EU Approves $8.8B Danish Bank Guarantee Plan

Law360, New York (February 17, 2012, 2:50 PM EST) -- Europe's top antitrust watchdog on Friday approved the Danish government's €6.7 billion ($8.8 billion) plan to support financially troubled banks by offering financial guarantees when they merge with solvent banks.

The European Commission ruled that the plan fell within the parameters of European Union state aid rules because it was aimed at fixing a “genuine market failure”and requires that the merged banking company be viable in order to receive funds.

“Under the scheme, any bank established in Denmark, including subsidiaries of foreign banks, could receive state...
To view the full article, register now.
Law360 Pro Say Podcast
Check out Law360's new podcast, Pro Say, which offers a weekly recap of both the biggest stories and hidden gems from the world of law.