Translation of "Régime de large répartition du capital " (French → English) :

In the light of the foregoing, it has been deemed appropriate to substantially review the State aid regime applicable to risk capital measures, including those covered by the General Block Exemption Regulation (21), so as to promote a more efficient and effective provision of various forms of risk finance to a larger category of eligible undertakings.

As regards the burden-sharing of the costs related to the impaired assets between the State, shareholders and creditors, both the former shareholders and the hybrid capital holders will contribute to the restructuring of the bank to the greatest extent possible as the former have been wiped-out (i.e. lost a substantial amount of their investment) as a result of NR’s nationalisation. The hybrid capital holders will [.] AssetCo.

In the case of arrangements based on capitalisation where the pension capital is situated outside the company, it is easier to transfer pension rights from one system to another than, for example, in the case of pay-as-you-go schemes, relief funds and systems based on book reserves.

The national rules in force on ownership of communications media (licensing systems, allocation of frequencies, audience thresholds, capital participation, etc.) should therefore be extended to the new digital broadcasting services (terrestrial, satellite and cable) in order to overcome any danger of abuse involving concentrations.

Reinsurance is a major financial activity as it allows direct insurance undertakings, by facilitating a wider distribution of risks at worldwide level, to have a higher underwriting capacity to engage in insurance business and provide insurance cover and also to reduce their capital costs; furthermore, reinsurance plays a fundamental role in financial stability, since it is an essential element in ensuring the financial soundness and the stability of direct insurance markets as well as the financial system as a whole, because it involves major financial intermediaries and institutional investors.

In regard to co-operative financial institutions and the public holding requirement, we support these public policy objectives, but we also argued in our submission to the MacKay commission that co-operatives inherently and intrinsically meet the objectives of widely-held status, namely, the independence of directors from management and concern by the board for the interests of all members or shareholders.