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Appropriate Measures on Aid Schemes Including Firms in Difficulty

Thomas Schmidt-Koetters, Moritz Rademacher


I. Facts of the Case In 2003, the Free State of Saxony (Germany) issued two guarantees for Sachsen Zweirad GmbH, a bicycle manufacturer, and its legal successor Biria GmbH, respectively. The guarantees were issued on basis of an aid scheme, which was approved by the Commission in 1993. This aid scheme, the Guarantee Scheme (Bürgschaftsrichtlinien) of the Free State of Saxony, included two kinds of guarantees, (i) securities as regional aid and (ii) se


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