Press Release: State aid: Commission approves German banking rescue aid for NordLB

The European Commission approved, under EC Treaty state aid rules, a guarantee package, that Germany intends to grant to NordLB to cover the bank's medium-term refinancing needs in the financial crisis. The Commission found the measure appropriate to stabilise the bank, in line with its Guidance Communication on state aid in the financial crisis. The guarantee was necessary to avoid a serious disturbance in the German economy. The measure was limited in time and scope, ensures a market- oriented remuneration and foresees sufficient behavioural safeguards to avoid abuses. The guarantee was therefore compatible with Article 87.3.b of the EC Treaty.