State Aid Law Blog

State Aid Uncovered Blog

In Lexxion’s State Aid Uncovered blog, Prof. Phedon Nicolaides publishes weekly critical analyses of recent State aid judgments and decisions. Each post presents the key points of a court judgment or EU Commission decision, places it in the context of similar case law or practice, assesses the underlying reasoning and highlights any inconsistencies or contradictions.

Guest contributions from other State aid experts will also be published on the blog at irregular intervals to complement the content of the blog posts.

- Commission decision 2017/365 ×

13. December 2022 | State Aid Uncovered by Phedon Nicolaides

State Guarantees for Undertakings in Difficulty

State Aid Blogs - State Aid Uncovered SM posts 12

In order to detect State aid in a state guarantee, it is necessary to carry out a search to identify the market rate, if it exists. There is no general presumption that an undertaking in difficulty cannot obtain a guarantee from the market. It is necessary to consider the risk of default. The calculation of the amount of aid must […]

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27. April 2020 | State Aid Uncovered by Phedon Nicolaides

Identification of Undertakings in Difficulty

corona virus poster

A company is in difficulty if, in practice, its accumulated net losses exceed 50% of its subscribed capital, regardless of whether the subscribed capital is formally written down. The classification of a company as being in difficulty is independent of the sector in which it operates and of whether a private investor would be willing to invest in it. Temporary […]

7 Comments

20. April 2020 | State Aid Uncovered by Phedon Nicolaides

How to Price a Guarantee

Football ball on a field

The pricing of a guarantee must take into account not only the financial situation of the borrower but also the value of any collateral. Temporary Framework As of 17 April 2020, the European Commission authorised 61 State aid measures from 23 Member States and the UK to combat covid-19. Introduction State guarantees on loans make up the largest category […]

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- Commission decision 2017/365 ×

13. December 2022 | State Aid Uncovered by Phedon Nicolaides

State Guarantees for Undertakings in Difficulty

State Aid Blogs - State Aid Uncovered SM posts 12

In order to detect State aid in a state guarantee, it is necessary to carry out a search to identify the market rate, if it exists. There is no general presumption that an undertaking in difficulty cannot obtain a guarantee from the market. It is necessary to consider the risk of default. The calculation of the amount of aid must […]

No Comments

27. April 2020 | State Aid Uncovered by Phedon Nicolaides

Identification of Undertakings in Difficulty

corona virus poster

A company is in difficulty if, in practice, its accumulated net losses exceed 50% of its subscribed capital, regardless of whether the subscribed capital is formally written down. The classification of a company as being in difficulty is independent of the sector in which it operates and of whether a private investor would be willing to invest in it. Temporary […]

7 Comments

20. April 2020 | State Aid Uncovered by Phedon Nicolaides

How to Price a Guarantee

Football ball on a field

The pricing of a guarantee must take into account not only the financial situation of the borrower but also the value of any collateral. Temporary Framework As of 17 April 2020, the European Commission authorised 61 State aid measures from 23 Member States and the UK to combat covid-19. Introduction State guarantees on loans make up the largest category […]

No Comments

- Commission decision 2017/365 ×

13. December 2022 | State Aid Uncovered by Phedon Nicolaides

State Guarantees for Undertakings in Difficulty

State Aid Blogs - State Aid Uncovered SM posts 12

In order to detect State aid in a state guarantee, it is necessary to carry out a search to identify the market rate, if it exists. There is no general presumption that an undertaking in difficulty cannot obtain a guarantee from the market. It is necessary to consider the risk of default. The calculation of the amount of aid must […]

No Comments

27. April 2020 | State Aid Uncovered by Phedon Nicolaides

Identification of Undertakings in Difficulty

corona virus poster

A company is in difficulty if, in practice, its accumulated net losses exceed 50% of its subscribed capital, regardless of whether the subscribed capital is formally written down. The classification of a company as being in difficulty is independent of the sector in which it operates and of whether a private investor would be willing to invest in it. Temporary […]

7 Comments

20. April 2020 | State Aid Uncovered by Phedon Nicolaides

How to Price a Guarantee

Football ball on a field

The pricing of a guarantee must take into account not only the financial situation of the borrower but also the value of any collateral. Temporary Framework As of 17 April 2020, the European Commission authorised 61 State aid measures from 23 Member States and the UK to combat covid-19. Introduction State guarantees on loans make up the largest category […]

No Comments

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