OF THE RECOMMENDATION WITHOUT CONSIDERING WHAT WERE ITS EFFECTS .
40 IN THAT CONNECTION IT MUST BE NOTED THAT THE AIM OF THE RECOMMENDATION AT ISSUE WAS TO RESTORE SOUND FINANCIAL CONDITIONS FOR THE UNDERTAKINGS WHOSE FINANCIAL POSITION WAS ADVERSELY AFFECTED BY INSUFFICIENT PREMIUM INCOME AS AGAINST THE FORESEEABLE COSTS OF CLAIMS . IT WAS WITH THAT IN MIND THAT THE RECOMMENDATION TACKLED THE CAUSE OF THE IMBALANCE, NAMELY COMPETITION BY MEANS OF EVER LOWER PREMIUMS, BY PROVIDING FOR AN ACROSS-THE-BOARD INCREASE IN PREMIUMS .
41 THUS THROUGH THE INSTRUMENT OF THE RECOMMENDATION THE ASSOCIATION SOUGHT TO ACHIEVE A COLLECTIVE FIXED-RATE INCREASE IN THE PRICE OF THE SERVICES OFFERED BY ITS MEMBERS . IN THAT RESPECT IT MUST BE NOTED THAT THE VERY FIRST EXAMPLE GIVEN BY ARTICLE 85 ( 1 ) ( A ) OF ANTI-COMPETITIVE CONDUCT CONCERNS AN AGREEMENT, DECISION OR CONCERTED PRACTICE WHOSE OBJECT IS "DIRECTLY OR INDIRECTLY (( TO )) FIX PURCHASE OR SELLING PRICES OR ANY OTHER TRADING CONDITIONS ".
42 THERE IS THEREFORE NO NEED TO EXAMINE WHETHER THE STATISTICAL ANALYSES NEEDED FOR THE CALCULATION OF PREMIUMS PRESUPPOSE THE COOPERATION OF ALL INSURERS CONCERNED WITH A PARTICULAR CLASS OF INSURANCE, AS WAS MAINTAINED BY THE INTERVENER, AND IT IS SUFFICIENT TO STATE THAT ARTICLE 85 ( 1 ) DOES NOT PERMIT THOSE INSURERS TO EXTEND THEIR CONCERTATION TO THE PRICE WHICH THEY APPLY ON THE MARKET FOR THE SERVICE WHICH THEY PROVIDE .
43 IT FOLLOWS THAT THE RECOMMENDATION HAD AS ITS OBJECT THE RESTRICTION OF COMPETITION ON THE MARKET IN INDUSTRIAL FIRE AND CONSEQUENTIAL LOSS INSURANCE AND THAT THEREFORE THE FOURTH SUBMISSION MUST ALSO BE REJECTED .
FIFTH SUBMISSION : EFFECT ON TRADE BETWEEN MEMBER STATES
44 THE CONTESTED DECISION STATES THAT THE FACT THAT TRADE BETWEEN MEMBER STATES IS AFFECTED DERIVES IN THE FIRST PLACE FROM THE FACT THAT THE RECOMMENDATION WAS ALSO ADDRESSED TO FIRE INSURERS WHOSE HEAD OFFICE WAS IN A MEMBER STATE OTHER THAN THE FEDERAL REPUBLIC OF GERMANY BUT WHO PURSUED THEIR BUSINESS ON GERMAN TERRITORY EITHER AS LEADING OR SOLE INSURER OR AS CO-INSURER . ALTHOUGH IT IS TRUE THAT THE GERMAN INSURANCE SUPERVISION LAW REQUIRES INSURERS TO HAVE A BRANCH IN THE FEDERAL REPUBLIC, EXCEPT IN THE CASE OF CO-INSURANCE WHICH IS GOVERNED BY A COUNCIL DIRECTIVE, SUCH A BRANCH MUST BE REGARDED, FROM A COMPETITION POINT OF VIEW, MERELY AS AN EXTENDED ARM OF THE FOREIGN INSURER .
45 SECONDLY, THE DECISION FINDS THAT THE PREMIUM RECOMMENDATION WAS LIKELY TO HAVE THE EFFECT OF ISOLATING THE MARKET IN QUESTION BETWEEN MEMBER STATES AND OF HINDERING THE ECONOMIC INTERPENETRATION SOUGHT BY THE EEC TREATY . THAT ISOLATION WAS REINFORCED BY THE APPLICATION OF THE PREMIUM CALCULATION CLAUSE BY THE RE-INSURERS, THE APPLICATION OF WHICH COULD EXERT PRESSURE ALSO AFFECTING COMMUNITY FIRE INSURERS DOING BUSINESS IN THE FEDERAL REPUBLIC OF GERMANY BUT HAVING THEIR HEAD OFFICE ELSEWHERE .
46 THE APPLICANT DISPUTES THE COMMISSION' S FINDINGS ON THIS POINT AND SETS OUT A NUMBER OF ARGUMENTS THE