FrancophonIA/JRC-Acquis_subcorpus_EL-FR_Hunalign_aligned-TMX huggingface dataset:
Greek: (23) As regards the envisaged payment by Racing of a consideration taking into account "the fair value of the Tote to Racing" instead of the market value, the UK Government argues that this was justified because Racing did not benefit from synergies with betting activities, since it was not yet active in the betting market. Other potential buyers (bookmakers, alone or with financial investors) with purely commercial considerations would be able to reap these synergies.
French: (23) As regards the envisaged payment by Racing of a consideration taking into account "the fair value of the Tote to Racing" instead of the market value, the UK Government argues that this was justified because Racing did not benefit from synergies with betting activities, since it was not yet active in the betting market. Other potential buyers (bookmakers, alone or with financial investors) with purely commercial considerations would be able to reap these synergies.
Greek: (24) Finally, the UK Government argued that the Government would retain certain claw back rights under the terms of the envisaged sale agreement. If Racing were to sell its share in the successor company or if the successor company were to sell its assets or any significant proportion of them to a third party within a specified period, it would have to pay back to the Government a percentage of any profits the Government would have made from such a sale had the Government not sold its stake [12].
French: (24) Finally, the UK Government argued that the Government would retain certain claw back rights under the terms of the envisaged sale agreement. If Racing were to sell its share in the successor company or if the successor company were to sell its assets or any significant proportion of them to a third party within a specified period, it would have to pay back to the Government a percentage of any profits the Government would have made from such a sale had the Government not sold its stake [12].
Greek: 2. Even if the envisaged sales transaction involved aid, this aid should be regarded as compatible with the EC Treaty either under Article 87(3)(c) or Article 87(3)(d) of the EC Treaty
French: 2. Even if the envisaged sales transaction involved aid, this aid should be regarded as compatible with the EC Treaty either under Article 87(3)(c) or Article 87(3)(d) of the EC Treaty
Greek: (25) With regard to Article 87(3)(c) EC Treaty, the UK Government stressed that the envisaged sales transaction was in the Community interest because it was part of the Government's plans to open up the pool betting sector to competition and to reduce the level of State involvement in the industry. Selling the Tote to Racing would also preserve the Tote as an independent player in the UK betting industry which is dominated by three mayor players.
French: (25) With regard to Article 87(3)(c) EC Treaty, the UK Government stressed that the envisaged sales transaction was in the Community interest because it was part of the Government's plans to open up the pool betting sector to competition and to reduce the level of State involvement in the industry. Selling the Tote to Racing would also preserve the Tote as an independent player in the UK betting industry which is dominated by three mayor players.
Greek: (26) Furthermore, the closed sale of the Tote to Racing facilitated the development of certain economic activities such as horseracing and pool betting because it ensured the self-financing of the horseracing sector and helped to preserve and develop pool betting.
French: (26) Furthermore, the closed sale of the Tote to Racing facilitated the development of certain economic activities such as horseracing and pool betting because it ensured the self-financing of the horseracing sector and helped to preserve and develop pool betting.
Greek: (27) The UK Government argued that the closed sale would adequately address market failures arising in the horseracing sector: The racing sector generates positive externalities for the betting industry which base some of their activities on horseracing. On the other hand, the racing industry is not able to reap the full benefits of these externalities. The financing of the racing sector by means of charging bookmakers for the value of the horseracing products through a mandatory betting levy or other revenues generated through the commercial exploitation of the racing product (e.g. sale of TV pictures) have been insufficient and/or fraught with uncertainties. In the absence of sufficient financial funds channelled from e.g. the betting industry back into racing, an economically inefficient level of activity in the racing sector would take place. It was also argued that market forces alone did not ensure a fair distribution of revenues between all stakeholders of the racing sector (race course owners, horse breeders, etc.).
French: (27) The UK Government argued that the closed sale would adequately address market failures arising in the horseracing sector: The racing sector generates positive externalities for the betting industry which base some of their activities on horseracing. On the other hand, the racing industry is not able to reap the full benefits of these externalities. The financing of the racing sector by means of charging bookmakers for the value of the horseracing products through a mandatory betting levy or other revenues generated through the commercial exploitation of the racing product (e.g. sale of TV pictures) have been insufficient and/or fraught with uncertainties. In the absence of sufficient financial funds channelled from e.g. the betting industry back into racing, an economically inefficient level of activity in the racing sector would take place. It was also argued that market forces alone did not ensure a fair distribution of revenues between all stakeholders of the racing sector (race course owners, horse breeders, etc.).
Greek: (28) If Racing were the owner of the Tote, it could directly exploit some of the positive externalities which the horseracing product provides for the betting industry. This would — according to the UK authorities — be an efficient way to address the identified market failure. The income from the Tote would be used for the development of the whole horseracing sector.
French: (28) If Racing were the owner of the Tote, it could directly exploit some of the positive externalities which the horseracing product provides for the betting industry. This would — according to the UK authorities — be an efficient way to address the identified market failure. The income from the Tote would be used for the development of the whole horseracing sector.
Greek: (29) As regards the development of pool betting, the UK Government claims that the universal coverage and development of pool betting across Britain at the end of the seven year transitional period (after the exclusive licence has come to an end) could only be assured if the Tote is owned by Racing rather than by a commercial bookmaker.
French: (29) As regards the development of pool betting, the UK Government claims that the universal coverage and development of pool betting across Britain at the end of the seven year transitional period (after the exclusive licence has come to an end) could only be assured if the Tote is owned by Racing rather than by a commercial bookmaker.
Greek: (30) In addition, the UK Government maintains that the closed sale did not affect trading conditions and competition in the Community to an extent that was contrary to the common interest. There were almost no negative effects on competition and effects on Intra-Community trade were negligible. This was in particular due to the fact that the Tote held only a very small share of the overall betting market in the UK.
French: (30) In addition, the UK Government maintains that the closed sale did not affect trading conditions and competition in the Community to an extent that was contrary to the common interest. There were almost no negative effects on competition and effects on Intra-Community trade were negligible. This was in particular due to the fact that the Tote held only a very small share of the overall betting market in the UK.
Greek: (31) Finally, the UK Government argued that the closed sale was also compatible with the EC Treaty pursuant to Article 87(3)(d) EC Treaty, because the measure promoted culture and heritage conservation, while not adversely affecting trading conditions and competition in the Community. The UK Government argues that horseracing forms an important part of British culture, being a major national sport deeply entrenched in British society and with an important influence on English language and art.
French: (31) Finally, the UK Government argued that the closed sale was also compatible with the EC Treaty pursuant to Article 87(3)(d) EC Treaty, because the measure promoted culture and heritage conservation, while not adversely affecting trading conditions and competition in the Community. The UK Government argues that horseracing forms an important part of British culture, being a major national sport deeply entrenched in British society and with an important influence on English language and art.
Greek: 3. The exclusive licence for pool betting
French: 3. The exclusive licence for pool betting
Greek: (32) Concerning the award of the exclusive licence for pool betting to the successor company of the Tote, the UK authorities explained that the licence was only a technical means to phase out the monopoly over a temporary period of seven years. The UK authorities underline that the licence is not a contract but rather a regulatory act whereby a prohibition on the provision of certain services is relaxed in a limited period of transition from a monopoly to an open market for those services. Furthermore, the licence lacks certain remedies which are typical for a contract. Notably, if the licence holder fails to carry out the activities covered by the licence, the grantor has no remedy of specific performance or damage: it can only revoke the licence. Consequently, the UK authorities do not consider this licence to be a service concession within the meaning of Directive 2004/18/EC [13] and of the Commission's interpretative communication on concessions under Community law [14]. Therefore, a closed sale of the Tote to Racing, including the exclusive licence on pool betting was justified.
French: (32) Concerning the award of the exclusive licence for pool betting to the successor company of the Tote, the UK authorities explained that the licence was only a technical means to phase out the monopoly over a temporary period of seven years. The UK authorities underline that the licence is not a contract but rather a regulatory act whereby a prohibition on the provision of certain services is relaxed in a limited period of transition from a monopoly to an open market for those services. Furthermore, the licence lacks certain remedies which are typical for a contract. Notably, if the licence holder fails to carry out the activities covered by the licence, the grantor has no remedy of specific performance or damage: it can only revoke the licence. Consequently, the UK authorities do not consider this licence to be a service concession within the meaning of Directive 2004/18/EC [13] and of the Commission's interpretative communication on concessions under Community law [14]. Therefore, a closed sale of the Tote to Racing, including the exclusive licence on pool betting was justified.
Greek: B. Arguments brought forward by third parties alleging that the envisaged sales transaction could not be regarded as compatible with the EC Treaty
French: B. Arguments brought forward by third parties alleging that the envisaged sales transaction could not be regarded as compatible with the EC Treaty
Greek: (33) Subsequent to the notification of the envisaged sale of the Tote, the Commission received comments from several third parties. These parties claim that the envisaged closed sale at 50 % of the so-called "fair value", including the award of an exclusive pool betting licence for a period of 7 years, was incompatible with Community law.
French: (33) Subsequent to the notification of the envisaged sale of the Tote, the Commission received comments from several third parties. These parties claim that the envisaged closed sale at 50 % of the so-called "fair value", including the award of an exclusive pool betting licence for a period of 7 years, was incompatible with Community law.
Greek: (34) It is claimed that the envisaged sales transaction would enable Racing to acquire a pool betting and fixed-odds betting business with a recognised and unique brand without paying a market price. Competitors or other new entrants looking to establish a similar fixed-odds business would need to incur much higher cost. Furthermore, since the transaction was comparable to a "leveraged buyout", Racing would not have to pay for the Tote but the price for the transaction would be effectively financed through the Tote itself. Since the debt level of the Tote would be lower than if the Racing Trust had to pay the true market value, it would enjoy greater facility to borrow from capital markets for upcoming investment programmes, competing directly with the established bookmakers. Hence, the transaction granted a considerable financial advantage to Racing. With reference to estimates made by investment banks in London, it is claimed that the value of the Tote would be at least GBP 500 million.
French: (34) It is claimed that the envisaged sales transaction would enable Racing to acquire a pool betting and fixed-odds betting business with a recognised and unique brand without paying a market price. Competitors or other new entrants looking to establish a similar fixed-odds business would need to incur much higher cost. Furthermore, since the transaction was comparable to a "leveraged buyout", Racing would not have to pay for the Tote but the price for the transaction would be effectively financed through the Tote itself. Since the debt level of the Tote would be lower than if the Racing Trust had to pay the true market value, it would enjoy greater facility to borrow from capital markets for upcoming investment programmes, competing directly with the established bookmakers. Hence, the transaction granted a considerable financial advantage to Racing. With reference to estimates made by investment banks in London, it is claimed that the value of the Tote would be at least GBP 500 million.
Greek: (35) Moreover, some parties assert that various conflicts of interest could arise if the Racing Trust would gain ownership of the Tote as Racing provides various inputs to bookmakers with which they, as owners of the Tote, would compete downstream in the betting market.
French: (35) Moreover, some parties assert that various conflicts of interest could arise if the Racing Trust would gain ownership of the Tote as Racing provides various inputs to bookmakers with which they, as owners of the Tote, would compete downstream in the betting market.
Greek: (36) The aid resulting from this transaction could not be declared compatible under Article 87(3)(c) EC Treaty because it was doubtful whether the racing industry actually needed State support in addition to the existing means and revenues generated by normal commercial activities of this sector. Moreover, the adverse effects on competition — in particular as regards fixed odds betting — would be severe and disproportionate.
French: (36) The aid resulting from this transaction could not be declared compatible under Article 87(3)(c) EC Treaty because it was doubtful whether the racing industry actually needed State support in addition to the existing means and revenues generated by normal commercial activities of this sector. Moreover, the adverse effects on competition — in particular as regards fixed odds betting — would be severe and disproportionate.
Greek: V. PRELIMINARY ASSESSMENT
French: V. PRELIMINARY ASSESSMENT
Greek: A. State aid within the meaning of Article 87(1) EC Treaty
French: A. State aid within the meaning of Article 87(1) EC Treaty
Greek: (37) According to the EC Treaty and consolidated case-law there is State aid within the meaning of Article 87(1) when:
French: (37) According to the EC Treaty and consolidated case-law there is State aid within the meaning of Article 87(1) when:
Greek: - there is an intervention by the State or through State resources;
French: - there is an intervention by the State or through State resources;
Greek: - it confers an advantage on the recipient;
French: - it confers an advantage on the recipient;
Greek: - it distorts or threatens to distort competition;
French: - it distorts or threatens to distort competition;
Greek: - the intervention is liable to affect trade between Member States;
French: - the intervention is liable to affect trade between Member States;
Greek: (38) Pursuant to the Horserace Betting and Olympic Lottery Act 2004 assets of the Tote shall be transferred to the successor company, which is wholly owned by the UK Government. Consequently, when selling the newly established Tote to Racing, the Government disposes of public property. By selling the Tote below market value, the UK Government foregoes revenues resulting from the sale of public property, which involves State resources within the meaning of Article 87(1) EC.
French: (38) Pursuant to the Horserace Betting and Olympic Lottery Act 2004 assets of the Tote shall be transferred to the successor company, which is wholly owned by the UK Government. Consequently, when selling the newly established Tote to Racing, the Government disposes of public property. By selling the Tote below market value, the UK Government foregoes revenues resulting from the sale of public property, which involves State resources within the meaning of Article 87(1) EC.
Greek: Advantage
French: Advantage
Greek: (39) In accordance with established practice, the Commission considers that the privatisation of a publicly-owned company does not involve a financial advantage to the acquirer within the meaning of Article 87(1) EC provided that:
French: (39) In accordance with established practice, the Commission considers that the privatisation of a publicly-owned company does not involve a financial advantage to the acquirer within the meaning of Article 87(1) EC provided that:
Greek: - the company is sold by a competitive tender or an equivalent procedure, that is open, transparent and unconditional;
French: - the company is sold by a competitive tender or an equivalent procedure, that is open, transparent and unconditional;
Greek: - the company is sold to the highest bidder;
French: - the company is sold to the highest bidder;
Greek: - bidders have enough time and information to carry out a proper valuation of the assets on which to base their bids [15].
French: - bidders have enough time and information to carry out a proper valuation of the assets on which to base their bids [15].
Greek: (40) If, on the other hand, there is no public tender the transaction needs to be examined for possible State aid implications. The Commission has to ascertain that the company is sold at a price corresponding to its actual market value. The determination of the market price may rely on studies carried out by independent experts. Provided that the potential sales price was actually fixed at or above the market value established by the expert, it can be assumed that the State behaved like a private investor operating under normal market economy conditions, trying to obtain a maximum return from the sale without pursuing other policy objectives, including possible support measures. Under such circumstances, the notified measure can be assumed not to include State aid elements.
French: (40) If, on the other hand, there is no public tender the transaction needs to be examined for possible State aid implications. The Commission has to ascertain that the company is sold at a price corresponding to its actual market value. The determination of the market price may rely on studies carried out by independent experts. Provided that the potential sales price was actually fixed at or above the market value established by the expert, it can be assumed that the State behaved like a private investor operating under normal market economy conditions, trying to obtain a maximum return from the sale without pursuing other policy objectives, including possible support measures. Under such circumstances, the notified measure can be assumed not to include State aid elements.
Greek: (41) Based on the information submitted by the UK authorities, the Commission has serious doubts that the transaction can be regarded as being free of aid because, instead of paying the market price, Racing is supposed to pay only 50 % of what is called a "fair value" of the Tote as estimated by PwC.
French: (41) Based on the information submitted by the UK authorities, the Commission has serious doubts that the transaction can be regarded as being free of aid because, instead of paying the market price, Racing is supposed to pay only 50 % of what is called a "fair value" of the Tote as estimated by PwC.
Greek: (42) In principle, only an independent evaluation of the "market value" may replace the tender as a means of determining the "market price", with the consequence that "no aid" is being given. However, the estimation of the value of the Tote is lowered by the fact that PwC takes into account that the Tote is to be sold to a specific buyer [16]. The UK authorities admit that the sale of the Tote through an auction would probably yield higher revenues for the seller.
French: (42) In principle, only an independent evaluation of the "market value" may replace the tender as a means of determining the "market price", with the consequence that "no aid" is being given. However, the estimation of the value of the Tote is lowered by the fact that PwC takes into account that the Tote is to be sold to a specific buyer [16]. The UK authorities admit that the sale of the Tote through an auction would probably yield higher revenues for the seller.
Greek: (43) The reasons for a closed sale to Racing were concerns about the Tote's future (in case of a sale of different business segments) as well as concerns about a possible reduction of the Tote's contributions to racing over time (if sold to another commercial bookmaker). In the preliminary view of the Commission, these are policy considerations and not those of a private investor aiming at maximising his revenues.
French: (43) The reasons for a closed sale to Racing were concerns about the Tote's future (in case of a sale of different business segments) as well as concerns about a possible reduction of the Tote's contributions to racing over time (if sold to another commercial bookmaker). In the preliminary view of the Commission, these are policy considerations and not those of a private investor aiming at maximising his revenues.