Press Release: State aid: Commission temporarily approves guarantees on the refinancing of Dexia and DCL and opens in-depth investigation

The European Commission has temporarily authorised, under the EU state aid rules, a temporary guarantee on the refinancing of Dexia SA and its subsidiary Dexia Crédit Local (DCL), for a maximum capital value of €45 billion. This temporary guarantee, extended by Belgium (60.5%), France (36.5%) and Luxembourg (3%), is joint and non-several.

It covers the bank refinancing measures with a maturity of a maximum of three years, and was issued until 31 May 2012. The purpose of the guarantee is to enable the bank to draw up a restructuring plan, or – should Dexia SA prove not to be viable – a liquidation plan, which the three Member States undertake to submit to the Commission within three months from 21 December 2011.