34. Notes that in highly integrated financial markets, a crisis spilling over national jurisdictions cannot be
tackled individually by national authorities; in this respect, considers that the current networks of national
supervisors, the supervisory arrangements, and the non-legally binding memoranda of understanding maynot be sufficient to face a major crisis caused by a failure of markets or important cross-border financialgroups; considers that cooperation and mutual trust between supervisory authorities in a crisis event is cru-cial and urges the Commission and responsible national authorities to develop jointly appropriate proposals
for effective crisis management for the further consideration of the Parliament;
35. Considers that the EU's authority in international negotiations, particularly as regards bank supervi-
sion, would be reinforced by the clarification of its internal functioning;
36. Notes that the question of the lender of last resort must be resolved in parallel to any further discus-
sions about EU financial supervision; in this respect, stresses that a clear decision on responsibilities is neces-
sary;
37. Notes that the current supervisory system leads to multiple reporting requirements for banks and that,
therefore, an important task for all supervisory institutions is to converge the standards;
38. Believes that it is high time that the EU institutions, and particularly the Parliament, opened a debate
on the structure of supervision of EU financial markets; for this reason, calls for the setting up, by the end
of 2006, of a committee of “wise persons” to study —and report back six months after the establishment
of the committee —the implications of the consolidation of markets and financial institutions, prudential
supervision, financial stability, and crisis management; in this regard, asks the committee to propose conc-rete ideas regarding the simplification of multiple reporting requirements and the improvement of the cur-rent structures, and, ultimately, to reflect on the needs and structures of European financial supervisors;
*
* *
39. Instructs its President to forward this resolution to the Council and the Commission.
P6_TA(2006)0295
Recent developments in and prospects for company law
European Parliament resolution on recent developments and prospects in relation to company law
(2006/2051(INI))
The European Parliament,
—having regard to the Communication from the Commission to the Council and the European Parliament
of 21 May 2003, entitled “Modernising Company Law and Enhancing Corporate Governance in the
European Union —A Plan to Move Forward” (COM(2003)0284),
—having regard to the Commission's Communication to the spring European Council: Working together
for growth and jobs —A new start for the Lisbon Strategy (COM(2005)0024),
—having regard to the Communication from the Commission to the Council and the European Parliament
entitled “Common Actions for Growth and Employment: the Community Lisbon programme”
(COM(2005)0330),
—having regard to the Communication from the Commission to the Council and the European Parliament
entitled “Outcome of the screening of legislative proposals pending before the Legislator ”
(COM(2005)0462),13.12.2006 114 Il-Ġurnal Uffiċjali ta' l-Unjoni Ewropea
It-Tlieta, 4 ta' Lulju 2006MT
—having regard to the Communication from the Commission to the European Parliament, the Council, the
European Economic and Social Committee and the Committee of Regions entitled “Implementing the
Community Lisbon programme: a strategy for the simplification of the regulatory environment”(COM(2005)0535),
—having regard to the Communication from the Commission to the Council, the European Parliament, the
European Economic and Social Committee and the Committee of Regions entitled “Implementing the
Community Lisbon programme —Modern SME policy for growth and employment” (COM(2005)
0551),
—having regard to its resolution of 21 April 2004 on modernising company law and enhancing corporate
governance (
1),
—having regard to Rule 45 of its Rules of Procedure,
—having regard to the report of the Committee on Legal Affairs and the opinion of the Committee on
Economic and Monetary Affairs (A6-0229/2006),
A. whereas the Action Plan proposed in the abovementioned Commission communication of 21 May 2003
(“the 2003 Action Plan”) defines important objectives for the modernisation of company law and corpo-rate governance,
B. whereas important progress has already been made in the achievement of those objectives,
C. whereas, since the 2003 Action Plan has to be seen in the light of the renewed Lisbon Strategy, measures
need to be taken in order to provide for company law mechanisms that enhance the efficiency and com-petitiveness of business across Europe,
D. whereas improving the competitiveness of European business requires an integrated approach at EU
level,
E. whereas it is essential to improve the regulatory environment for companies in order to achieve the Lis-
bon Agenda objectives,
F. whereas a statutorily regulated system of employee participation at the level of undertakings, as found in
a large number of Member States, should be seen as forming an integral part of European corporategovernance which makes a contribution to achieving the objectives of the Lisbon Strategy,
G. whereas better regulation is of particular importance for small and medium-sized enterprises (“SMEs”),
H. whereas simplification of the company law acquis can be an efficient tool to improve the effectiveness of
the legislative framework; whereas, however, simplification does not mean deregulation,
General aspects
1. Calls on the Commission to ensure that the measures aimed at modernisation in the field of company
law and corporate governance are consistent with measures in related sectors, such as financial services,
industrial policy, social policy and corporate social responsibility;
2. Stresses the importance of taking into account the case-law of the Court of Justice of the European
Communities on the principle of freedom of establishment;
3. Calls on the Commission to take the European social model into consideration when deciding on furt-
her measures for the development of company law; this also involves the participation of employees;
Better regulation and simplification
4. Highlights the importance of better regulation in order to provide a more effective legislative frame-
work; emphasises that it is important to improve the quality of legislation through systematic consultationswith stakeholders on all future initiatives, strict compliance with the principle of subsidiarity, choosinginstruments that place less of a burden on companies and leave them as much flexibility as possible, and
comprehensive impact assessment in respect of any new legislative initiative;13.12.2006 115 Il-Ġurnal Uffiċjali ta' l-Unjoni Ewropea
It-Tlieta, 4 ta' Lulju 2006MT
(1) OJ C 104 E, 30.4.2004, p. 714.
5. Stresses that EC company law directives in force should not be discussed: they should be simplified only
in exceptional and duly justified cases, when they are not dealing with very sensitive matters or are not the
result of difficult compromises, in order not to have an adverse effect on the companies concerned;
6. Calls on the Commission to explain in detail the plans to present a complete consolidation of the com-
pany law directives in one single act; stresses in this context that priority should be given to the objective of
achieving clarity and consistency of the company law acquis within the different areas of company law; calls
on the Commission to specify, in particular, which directives would be recast, which repealed, which codifiedand which modified;
Small and medium-sized enterprises
7. Welcomes the Commission's initiative to create a better regulatory environment for SMEs;
8. Calls on the Commission to examine the SME dimension when assessing the impact of legislative pro-
posals in the field of company law and to ensure that the needs of SMEs are properly and systematicallytaken into account;
9. Stresses that, in particular, the barriers faced by SMEs in terms of the administrative burden must be
removed;
10. Asks the Commission to have more regard to the needs of SMEs in future legislative proposals or
future revisions of existing legislation; recalls that SMEs are creators of jobs and a motor of economicgrowth;
Corporate governance
11. Stresses the importance of developing best practices which respect the different traditions and systems
in the Member States;
12. Notes that the European Corporate Governance Forum and Corporate Governance Advisory Group
have been established, and calls on the Commission to keep Parliament regularly informed about the results
of the work of those bodies and the decisions taken on the basis of those results;
13. Regrets that the Commission has not developed a clear vision of the governance of European busines-
ses but seems to be taking measures on disparate aspects on an ad hoc basis; reiterates the conclusions of its
abovementioned resolution of 21 April 2004 and calls on the Commission to act on them;
14. Stresses that corporate governance is not only about the relationship between shareholders and mana-
gement, but that other stakeholders within the company are also important for a balanced
decision-making process and should be able to contribute to decisions on the strategy of companies; pointsout, in particular, that there should be room for the provision of information to, and consultation of,employees;
15. Expresses doubts about the need for a European initiative in the field of the special investigation right
of shareholders, since this directly affects the separation of competences between directors, who manage thecompany, and shareholders, which is a topic typically addressed by national corporate laws; considers, inaddition, that any further initiative should be evaluated in the light of the on-going legislative process; points
out that the recent proposal for a directive on shareholders' rights already provides for the right to add items
to the agenda of the general meeting and to table resolutions;
16. Stresses the need for involvement of the financial market regulators and supervisors in the develop-
ment of clear corporate governance rules and recommendations, and for a close coordination of the policies
in the field of financial market regulation on the one hand and company law on the other;13.12.2006 116 Il-Ġurnal Uffiċjali ta' l-Unjoni Ewropea
It-Tlieta, 4 ta' Lulju 2006MT
Company law
17. Welcomes the abovementioned proposal of the Commission for a directive of the European Parlia-
ment and of the Council on the exercise of voting rights by shareholders of companies having their registe-red office in a Member State and whose shares are admitted to trading on a regulated market and amending
Directive 2004/109/EC (2005/0265(COD));
18. Welcomes the agreements reached on the following proposals:a) proposal for a directive of the European Parliament and of the Council amending Council Directive
77/91/EEC as regards the formation of public limited companies and the maintenance and alteration oftheir capital (2004/0256(COD));
b) proposal for a directive of the European Parliament and of the Council amending Council Directives
78/660/EEC and 83/349/EEC concerning the annual accounts of certain types of companies and consoli-dated accounts (2004/0250(COD));
19. Calls on the Commission to propose measures to enhance the cross-border availability of information
regarding the disqualification of directors;
20. States that there is no need for a European initiative in the field of wrongful trading since there are
already relevant regulations in the Member States; although those regulations in the Members States mayvary, the national differences constitute no obstacle to the internal market;
21. Calls on the Commission to submit a proposal for the differentiation of obligations to disclose share-
holding levels; would welcome a differentiation which provided for the following percentage steps: 3 %, 5 %,10 %, 15 % and 20 %, plus a notification obligation for every percentage point above 20 %; notes that the
differentiation of disclosure obligations would necessarily improve transparency concerning shareholding;
22. Calls on the Commission to lay down clear rules governing transitional periods, i.e. the “decent inter-
val” after which active members of the management board who wish, on leaving the board, to transfer to
the supervisory board (in the dualistic system) or the non-executive board (in the monistic system), may doso; notes that these transitional periods must be at least two years; stresses the importance of such transitio-
nal periods in preserving the independence of supervisory boards;
23. Calls on the Commission to resolve legislative issues, such as the independence of directors, by legisla-
tive means (directives) rather than by recommendations, so that the public and the legislature are involvedand the resulting rules reflect actual practice;
24. Urges the Commission to be alert to conflicts of interests and the disproportional accumulation of
information and influence by some large players in the chain of intermediaries and advisors involved in the
exercise of shareholders' voting rights in companies, and stresses the need for transparency and fair opportu-
nities for issuers to defend themselves against the undue concentration and coordinated action of sharehol-der parties;
25. Asks for a clear regulatory regime for the disclosure and comparability of information on the indivi-
dual remuneration of, and remuneration policy for, directors, including elements such as pension schemes
and stock-option plans;
26. Calls on the Commission to ensure that companies are given the choice between different governance
systems, including the one-tier and two-tier systems, without there being any need to adopt provisions defi-ning the powers and obligations of a company's governing bodies;
27. Calls on the Commission to examine the possibilities for revision of the rules in the Statute for a Euro-
pean company on the formation of such companies, with a view to simplifying those rules and adjusting
them in line with market requirements;
28. Calls on the Commission to present a proposal on the European private company in order to meet
the needs of SMEs;
29. Strongly deplores the fact that the Commission has already decided to withdraw the two proposals for
a regulation on a Statute for a European association (1991/0386(COD)) and for a regulation on a Statute for
a European mutual society (1991/0390(COD)) and the two proposals for directives supplementing those
Statutes with regard to the involvement of employees (1991/0387(COD) and 1991/0391(COD));13.12.2006 117 Il-Ġurnal Uffiċjali ta' l-Unjoni Ewropea
It-Tlieta, 4 ta' Lulju 2006MT
30. Notes, however, that, in its 2003 Action Plan, the Commission announced its intention actively to
support the legislative process undertaken in relation to those statutes, in response to the desire expressed
by Parliament for significant attention to be given to the development of new legal forms of enterprises;regards those proposals as useful instruments for the development of economic activity throughout Europeby associations and mutual societies;
31. Calls on the Commission to submit new proposals for statutes for European mutual societies and
European associations;
32. Stresses that the transfer of a registered office is today either impossible or hindered by the require-
ments imposed at national level, that a directive in this area is crucial for freedom of establishment, and thatthe long-awaited Fourteenth Company Law Directive would fill a lacuna in the system of the internal marketfor companies;
33. Therefore calls on the Commission to present in the near future a proposal concerning the Fourteenth
Company Law Directive on the cross-border transfer of the registered office of limited companies; stressesthat the transfer of registered offices must not be wrongly used, for example to restrict workers' rights, inparticular as regards employee participation in company decisions, or to reduce the protection of creditors;
considers, in particular, that safeguarding employees' acquired rights as regards participation in company
decisions must be a declared aim of the directive;
34. Calls on the Commission to continue its preparation of Community legislation providing for other
legal forms of entrepreneurial organisation, such as the European foundation;
35. Recommends that the Commission should further examine whether there is a need to address the pro-
blems concerning groups and pyramids, especially with regard to the framework for the transparency of
group structures and the special problems relating to pyramid structures;
36. Calls on the Commission to pay greater attention to the issue of delisting and to submit a legislative
proposal for future harmonisation at EU level; notes that, while delisting is possible in the Member States, it
involves enormous bureaucratic and legal cost for the businesses concerned; calls, therefore, for “going pri-
vate” to be made possible in future with the minimum of bureaucratic effort, with particular consideration
being given to safeguarding the financial interests of the shareholders;
37. Calls on the Commission to involve Parliament more effectively in discussions concerning internatio-
nal and European accounting standards and to reinforce the definition of a European approach based on thebest practices and traditions in the Member States, instead of blindly following the traditions of US auditing;stresses again the need for more representatives with a European background in the international standard-setting bodies, in order to legitimate a true international approach; emphasises that regulations on accoun-
ting standards have an impact on tax law and business structures;
38. Deplores the fact that the International Accounting Standards Board (IASB) lacks democratic control
and thus comes to decisions that do not adequately reflect the reality of European companies and fail, for
example, to respond to the needs of SMEs; cites by way of example the requirement, laid down in IAS 32, todistinguish in balance sheets between equity and liability, which, in the case of partnerships, has led to signi-ficant material problems, such as a distorted portrayal of their creditworthiness; calls on the Commission,therefore, to ensure that greater weight is attached to Parliament's decisions within the IASB;
39. Wishes to make it clear that the Commission has no authority to endorse International Financial
Reporting Standards for SMEs;
40. Calls on the Commission to take further steps to keep the company law acquis constantly under
review;
41. Calls on the Commission to monitor thoroughly the transposition of the company law acquis in the
accession countries during the pre-accession period, and to report on the results of that monitoring;13.12.2006 118 Il-Ġurnal Uffiċjali ta' l-Unjoni Ewropea
It-Tlieta, 4 ta' Lulju 2006MT
42. Looks forward to the results of the external study commissioned by the Commission on proportiona-
lity between ownership and control in EU listed companies, provided that it delivers not only an objective
analysis of the empirical and theoretical evidence regarding the effects of the different ownership models inthe Member States on economic efficiency, owner-control of companies and the possibilities for cross-bordertransactions, but also a sound analysis of corporate law as regards the wider economic and legal context inMember States and different models of corporate governance; stresses that due account should be taken of
the need for transparency in the structure of control rights;
43. Expects that the Commission will, if appropriate make a legislative proposal concerning the principle
“one share one vote” only after the outcome of the revision of Directive 2004/25/EC of the European Parlia-
ment and of the Council of 21 April 2004 on takeover bids (
1), as provided for in Article 20 of that direc-
tive, and an evaluation of that directive;
44. Asks the Commission to propose measures for greater transparency regarding institutional investors;
recalls that transparency is needed with regard to investment policy, voting policy and share ownership, andthat such transparency must not be confined to the relationship between funds and single investors; recallsthat there should also be certain disclosure obligations incumbent on institutional investors towards thecompanies in which they are engaged, e.g., with regard to their intentions and the proposed duration of their
engagement;
45. Calls on the Commission to inform Parliament about the results of the consultation on the future
priorities for the 2003 Action Plan, launched by the Commission in December 2005, and to explain indetail the decisions taken by it as a result of the outcome of that consultation;
46. Calls on the Commission to analyse the problems relating to the implementation of the existing legis-
lation in order to take the results of that analysis into consideration when considering new legislativeproposals;
47. Calls on the Committee on Legal Affairs and the Committee on Economic and Monetary Affairs to fol-
low the work of the Commission;
*
* *
48. Instructs its President to forward this resolution to the Council and the Commission.
(1) OJ L 142, 30.4.2004, p. 12.
P6_TA(2006)0296
Reducing the climate change impact of aviation
European Parliament resolution on reducing the climate change impact of aviation (2005/2249(INI))
The European Parliament,
—having regard to the Communication from the Commission to the Council, the European Parliament, the
European Economic and Social Committee and the Committee of the Regions: Reducing the ClimateChange Impact of Aviation (COM(2005)0459),
—having regard to its resolution of 16 November 2005 on Winning the Battle against Climate Change (
1),13.12.2006 119 Il-Ġurnal Uffiċjali ta' l-Unjoni Ewropea
It-Tlieta, 4 ta' Lulju 2006MT
(1)Texts Adopted, P6_TA(2005)0433.