CELEX: 51977PC0053
Language: en
Date: 1977-03-09
Title: COMMISSION DECISION amending Decision No 25-67 of 22 June 1967 laying down in implementation of Article 66(3) of the Treaty establishing the European Coal and Steel Community a regulation concerning exemption from prior authorization

ARCHIVES HISTORIQUES
DE LA COMMISSION
COLLECTION RELIEE DES
DOCUMENTS "COM"
COM (77) 53
Vol. 1977/0022
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 ---pagebreak--- COMMISSION OP THE EUROPE AN COMMUNITIE
                                      COM(77 ) 53 final
                                      Brussels , 9 '''arch 1977
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                               DRAFT
                         COMMISSION DECISION
            amending Decision Ho 25-67 of 22 June 1967
            laying down in implementation of Article 66(3 )
            of the Treaty establishing the European Coal
          > and Steel Community a regulation concerning
            exemption from prior authorization
  COM(77 ) 53 final
 ---pagebreak---                          EXPLANATORY             MEMORANDUM
1.         By Decision No 25-67 the High Authority , acting under Article
66(3 ) of the Treaty establishing the ECSC with the assent of the Council ,
exempted from the requirement of prior authorization certain categories
of transaction which , by reason of the size of the assets or undertakings
concerned and of the nature of the resulting concentration , satisfied the
tests of Artiole 66(2 ).
2.         Since that Decision came into force in 19^7 » Community steal
output has expanded considerably , there have been major structural ohangse
in the steel and coal industries and new Member States have joined the
Community, For these reasons , and to reflect several years' experience
in applying the Decision , it has "now been found necessary to adapt the
limits and conditions laid down by the Decision to the economic reality
of today.
3 . Article 1
           The limits set in Article 1 of Decision No 25-67 represented
between 3 and 8 $ of Community output as it was in 1966 , depending on the
product . But by 1974t "the last year of normal activity in the industry ,
the combined effect of a general expansion in output and the accession of
the United Kingdom meant that total Community output was 82 % higher than
in i960 .
 ---pagebreak---          It is therefore proposed that this situation "be reflected "by-
raising the limits set in Artiole 1 to at least the same percentage of
total output as they represented when Decision No 25-67 was adopted.
         The new technique of prereduction of iron ore has also developed
during the same period. Since prereduction will continue to be of
growing importance , this technological development should "be reflected
by the introduction of a new limit for "prereduced iron ore ". The
proposed limit is 400 000 tonnes .
         The limit of 2 500 000 tonnes set for pig iron and ferro-alloys
has now been found to be inadequate for pig irons but too high for ferro­
alloys , and particularly for ferro-manganese . It is therefore proposed
that this item   be split into "steelmaking pig iron ", where the limit
could be raised to 4 000 000 tonnes , and "other forms of pig iron and
ferro-alloys ", where a limit of 250 000 tonnes is proposed.
4 . Article 3
         In the case of concentrations between major steel producers and
undertakings using very little steel as a raw material , the annual pre­
concentration consumption in the undertakings concerned ofteji exceeds
50 % of their output in certain categories of product which are not direct­
ly affected by the concentration. In most cases , therefore , the exemption
from the requirement of prior authorization is not available .
         To avoid such situations it is proposed that Article 3 be so
amended that the 50 % limit will apply only to products used by the under­
takings which are not covered by Article 80.
         This criterion would seem more objective for the assessment of the
importance of the additional outlets to which the producing undertakings
concerned would gain access through the concentration.
                                                             /
 ---pagebreak---                                     - 3 -
         It is also proposed that concentrations between undertakings
covered "by Article 80 and undertakings oonsuming very small quantities of
steel be exempted from the requirement of prior authorization . The
additional outlets are negligible enough for such concentrations to be
without effeot on competition.
5 . Article 4
                                                                  4T
         The quantitative limit on concentrations between coal distributors
will remain at 2 500 000 tonnes . It is , however , proposed that there be
an exemption from the requirement of prior authorization for concentrations
exceeding this tonnage where the smallest of the undertakings involved
distributes less than 200 000 tonnes annually in a wholesale capacity
( excluding supplies to households and small oraft industries ). These are
concentrations of limited scope which are unlikely to affect competition
on the coal market .
         It would nevertheless seem desirable for the aggregate of such
concentrations occurring within any three-year period not to exceed
600 000 tonnes . Beyond that limit , each concentration would be subject to
case-by-case examination.
6 . Article 5
         As regards concentrations between steel distributors , it is pro­
posed that the limit be raised from 60 to 150 million units of account .
It is also proposed that exemption be given in respect of concentrations
which , while exceeding a turnover of 150 million u.a. , involve an under­
taking whose ainnual turnover is less than 30 million u.a. In addition the
total permissible increase attained through exempted concentrations in
any given three-year period would be raised from 30 to 60 million u.a.
 ---pagebreak---                                    - 4 -
         In the scrap industry , although it is necessary to set special
sales limits , there is no apparent reason why the same criteria as
applied to the exemption of steel concentrations should not apply here
too . It is therefore proposed that the limit be raised from 400 000 to
700 000 tonnes . and that there he an exemption from the requirement of
prior authorization for concentrations where one of the undertakings
involved has an annual volume of "business not exceeding 100 000 tonnes .
A limit is set for repeated concentrations .
7.       The new limits for exemption and the proposed amendments to
Decision No 25-67 satisfy the requirements of Article 66(2 ) since all the
concentrations thus exempted can be regarded as satisfying the tests for
authorization laid down in Article 66 . The Council 's assent to the
attached draft Decision should accordingly be sought .
 ---pagebreak---                               COMMISSION DECISION
              amending Decision No 25-67 of 22 June 1967 laying down in
              implementation of Article 66(3 ) of the Treaty establishing
              the European Coal and Steel Community a regulation con­
              cerning exemption from prior authorization
THE COMMISSION OP THE EUROPEAN COMMUNITIES ,
          having regard to the Treaty establishing the European Coal and
Steel Community , and in particular Articles 47 » 66 and 80 thereof ?
          having regard to the Treaty establishing a Single Council and a
Single Commission of the European Communities , and in particular Article 9
thereof j
          having regard to Decision No 25-67 of 22 June 1967 laying down in
implementation of Article 66(3 ) of the Treaty a regulation concerning
exemption from prior authorization ( Official Journal of the European
Communities , 14 July 1967 » pa.ge 11 et seq. );
                     \
          with the assent of the Council ;
          whereas by Decision No 25-67 the High Authority , acting under
Article 66(3 )1 exempted from prior authorization oertain classes of trans­
action which , by reason of the size of the assets or undertakings con­
cerned and of the nature of the resulting concentration , satisfied the
tegts of Article 66( 2)j
 ---pagebreak---           whereas experience has shown that Decision No 25-67 should be
adapted to take account of the ohanges which have meanwhile occurred in the
volume of production , in economic structure and in market and competitive
conditions , particularly as regards quantitative limits ;
          whereas the production of prereduced iron ore is of growing impor­
tance and appropriate limits should therefore be set for that category of
product ;
          whereas , in view of the peouliar characteristics distinguishing
them from steelmaking pig irons , ferro-alloys and other forms of pig iron
should constitute a distinct product category with an appropriate limit for
exemption ;
          whereas in the case of concentrations between undertakings en­
gaged in coal or steel production and undertakings which are not within
the scope of the Treaty , account must be taken of the privileged position
which such concentrations can secure for Community undertakings by pro­
viding outlets for their products ; whereas , in concentrations between
steel producers and undertakings using little steel as a raw material , the
annual pre-concentration consumption of the undertakings in question often
exceeds 50 % of their output in categories of product which are not affected
by the concentration; whereas , therefore , exemption from the requirement
of prior authorization on the tests in Article 3 of Decision No 25-67 was
in most cases unavailable ; whereas the importance of the additional markets
to which such producers gain access through the concentration should be
appraised by reference to the steel input of the undertakings involved
which are not within the scope of the Treaty ; whereas exemption from prior
authorization should, however , be allowed wherever a concentration gives
the Community undertakings a negligible increase only in their potential
outlets and has no influence on competition ;
                                                                    /.
 ---pagebreak---            whereas , in view of the contraction of the household coal market
 and of the atomistic structure of the wholesale trade in certain Member
 States , there should "be a general exemption for concentrations between a
 distributor and another , small , distributor ! whereas , however , the number
 of such exempted concentrations should be limited over timej
           whereas changes in the structure of the steel distribution busi­
ness in the Community warrants higher limits in Article 5 for concen­
trations between distributors ;
           whereas , although special limits must be fixed for sales of scrap ,
it is appropriate that the same criteria be applied as for steel concen­
trations ;
HAS ADOPTED THIS DECISION :
                                      Article 1
           The items from ( f ) to the end of the list in Article l(l ) of
Decision No 25-67 are replaced by the following t
( f ) Prereduced ore                                        400 000 tonnes
( g) SteelmaJcing pig iron                                4 000 000 tonnes
( h ) Other forms of pig iron, ferro-alloys                 2*50 000 tonnes
( i ) Crude steel ( ordinary steel : ingots , semi­
      finished products and liquid steel )                5 000 000 tonnes
( j ) Alloy and non-alloy special steels
      ( ingots , semi-finished produots and liquid
      steel )                                               500 000 tonnes
(k ) Finished rolled steel products
      including end products                              4 000 000 tonnes
 ---pagebreak---                                    Article 2
        Article 3 of Decision No 25-67 is replaced "by the following :
                      Concentrations Between steel producers
           and undertakings not falling within the scope of the Treaty
                                   Article 3
1.      Transactions referred to in Article 66 ( l ) shall be exempted from
the requirement of prior authorization where they have the direct or in­
direct effect of bringing about concentration between :
    a) undertakings engaged in steel production, and
    b) undertakings not falling within the scope of Article 80, if :
       - the annual production of undertakings referred to in (a) does not
         exceed 20 % of the tonnages set out for the groups of products
         referred to in ( f) to (k ) in Article l(l)j or
       - the annual steel consumption of undertakings involved in the
          concentration does not exceed 50    of their production of the
         product categories used by the undertakings referred to in (b ) .
          However , in respect of finished rolled steel products and end
         products only the groups of products listed in the Annex to this
         Decision shall be taken into account ; or
       - the undertakings referred to in (b ) use no more than 10 000 tonnes
          of ordinary steel or 1 000 tonnes of special steel , and the
         resulting expansion in potential sales by the undertakings re-
          ferred to in fa ) is no more than 20 000 tonnes of ordinary steel
          or 2 000 tonnes of spécial steel in any three-year period .
2.      Tonnages used in the production of steel and m the upkeep and
renewal of installations of the undertakings in question shall not be
considered as steel consumption.
                                                                - / -
 ---pagebreak---                                    Article 3
          Artiole 4 of Decision No 25-67 is replaced by the following :
                      Concentrations "between distributors
                                       COAL
                                   Article 4                           -
1.        Transactions referred to in Article 66(l ) shall "be exempted fro.n
the requirement of prior authorization where they have the direct or
indireot effect of "bringing     about concentration between undertakings
engaged in coal distribution , other than sales to domestic consumers or
to small craft industries ( hereinafter called "distribution undertakings ")
if *
     ( a) either the total volume of business dealt with annually by distri­
          bution undertakings involved in the concentration does not
          exceed 2 500 000 tonnes of coal ; or
     (b ) the increase in the annual volume of business brought about by
          the concentration does not exceed 200 000 tonnes of coal .
However , transactions of this type which are repeated or involve several
distribution undertakings at the same time shall be exempted from the
requirement of authorization only if the consequent total increase in
the volume of business does not exceed 600 000 tonnes in any three-year
period .
2.         "Volume of business " means the quantities sold by the distribution
undertakings for their own account and for account of third parties . Sales
to domestic consumers and to small craft industries are not to be taken
into account .
 ---pagebreak---                                      - 10 -
                                    Article 4
        Article 5 of Deoision No 25-67 is replaced by the following:
                                      STEEL
                                    Article 5
1.      Transactions referred to in Article 66(l ) shall be exempted from
the requirement of prior authorization where they have the direct or
indirect effect of bringing about concentration between undertakings
engaged in steel distribution , other than sales to domestic consumers or
to small craft industries ( hereinafter called "distribution undertakings "),
if:
    (a) either the total annual turnover of steel - not including scrap -
        achieved by the distribution undertakings involved in the con­
        centration does not exceed 150 million units of account ; or
    (b) the annual turnover of steel - not including scrap - achieved by
        the distribution undertaking which represents one of the parties
        involved in the concentration does not exceed 30 m illion units of
        account . However , transactions of this type which are repeated or
        which involve several distribution undertakings at the- same time
        shall be exempted from the requirement of authorization only if
        the consequent total increase in turnover does not exceed 60
        million units of account in any three-year period .
2.      Transactions referred to in Article 66(l ) shall be exempted from
the requirement of prior authorization where they have the direct or
indirect effect of bringing about concentration between undertakings en­
gaged in scrap distribution, if:
    (a) either the total annual volume of business of the distribution
        undertakings involved in the concentration does not exceed
        700 000 tonnes of scrap : or
                                                                /•
 ---pagebreak---                                     I
                                      - 11 -
    (b) the annual volume of "business of the distribution undertaking
         which represents one of the parties involved in the concentration
         does not exceed 100 OOP tonnes of scrap . However , transactions of
         this type which are repeated or which involve several distri­
         bution undertakings at the same time shall be exempted from the
         requirement of authorization only if the consequent total in­
         crease in the volume of business does not exceed 200 000 tonnes
         of scrap in any three-year period.                           -
3.       The turnover shall be ascertained by reference to the amount of
products sold and invoiced for own account and for account of third
parties . "Volume of business " means the amounts sold by the distribution
undertakings for their own account and for account of third parties .
                                      Article 5
         In the heading to Article 6 of Decision No 25-67 ? "prior " is
inserted before "authorization ".
                                      Article 6
                      κ
         In Article 10(l ) of Decision No 25-67 » "the reference to the "High
Authority " is replaced by a reference to the "Commission ".
                                      Article 7
         This Decision shall enter into force on
         The text of Decision No 25-67 » as amended by this Deoision , shall
be published in the Official Journal of the European Communities .
                                                  Done at Brussels ,
                                                 For the Commission ,
 ---pagebreak---                                                                            ,  Annex
  1X6                              Official journal of the European Communities
 H.7.67                     OFFICIAL /OUR NA I. OF THE EUROPEAN COMMUNITIES                                Ho 154/ 1
                                                DECISION No 25-67
                                                   of 22 June 1967
             laying down in implementation of Article 66 (3) of the Treaty a regulation concerning
                                        exemption from prior authorisation
 THK IIK;H AUTHORITY,                                         changes which have occurred since that time in th
                                                              volume of production, in economic structure, i
 Having regard to Articles 47, 66 and 80 of the               marker and competitive conditions; whereas thi
Treat);                                                       applies particularly to quantitative limits and to tlv
                                                              ties which exist between Community undertaking
                                                              and undertakings in other sectors and tradin
Having regard to Decision No 25-54 of 6 May 1954              undertakings;
 on rules for the application of Article 66 (3) of the
Treaty, relating to exemption from prior
authorisation (Official Journal of the European Coal          Whereas in concentrations between undertaking
 and Steel Community, 11 May 1954, pp 346 <7 seq.),           engaged in the production of coal and steel, the siz
as supplemented by Decision No 28-54 of 26 May                of the industrial entity being formed depends on th>
 1954 (Official Journal of the Fjiro/jean Coal and
                                                              volume of production of the different types c
 Steel Community, 31 May 1954, p. 381 );                      products; whereas this volume should be limited bot!
                                                              in absolute figures and in relation to production
Whereas under Article 66 ( 1 ), and subject to Article        within the Community as shown in the officis
66 (3), any transaction which would in itself have the        statistics;
direct or indirect effect of bringing about a
concentration between undertakings at least one of
which falls within the scope of application of Article        Whereas     in  the  case of concentration' betweer
•SO, requires the prior authorisation of the High             undertakings      engaged     in    production     anc
Authority: whereas the High Authority grants the              undertakings which are not within the scope of the
authorisation referred to in paragraph ( 1 ) if it finds      Treaty, account must be taken of the privilege^
that the proposed transaction will not give to the            position which concentration can secure fo
persons or undertakings concerned the power to                Community undertakings by ensuring disposal c
influence competition within the common market,               their products; whereas the relevant consumption c
within the meaning of Article 66 (2);                         coal and steel in this respect is either the toti
                                                              consumption of the undertakings concerned or thn
                                                              of the different undertakings which arc not within thi
Whereas by Decision No 25-54, and with the                    scope of the Treaty but are involved in the
concurring Opinion of the Council, the High                   concentration ;
Authority in accordance with Article 66 (3)
exempted      from    the    requirement     of    prior
authorisation certain classes of transactions which
would bring about concentration of undertakings and           Whereas any concentration of undertakings in th.
which, in view of the size of the assets or of the            wholesale trade which is subject to Article 66 shoulc
                                                              in accordance with Article 80, be assessed on th
undertakings     to which     they  relate,   taken   in      basis of the volume of their sales of coal anc
conjunction with the kind of concentration which
they effect, and having regard to the totality of the         turnover of steel, the tics which exist between :
undertakings grouped under the same control, must             wholesale undertaking and an undertaking cngngo
be deemed to meet the requirements of Article                 in production not forming an obstacle to exemprioi
66 (2);                                                       for purposes of concentration with anothe
                                                              wholesaler; whereas with regard to steel, repeate<
                                                              concentrations and concentrations which relate tc
Whereas experience has shown that Decision No                 several distribution undertakings at the same time
25-54 should be adapted to take account of the                should be limited;
 ---pagebreak---                                               ' hricial Journal of the European Communities                                    tS7
    Whereas special limits must be fixed for sales of                     (c) Coke                           3 000 000 metric tons
. scrap;
                                                                          (tl) Iron orc (gross
                                                                                production)                  No limit
    Whereas concentrations between producer undertak­
    ings and retailers and between distribution                           (e) Attulomcrareil ore             4 000 000 metric tons
    tiiuli rt.ikiiit'.s mill undertakings which arc not within            ( f) l'ii; iron aiul ferro-allovs  2 500 000 metric tons
    the sco|v <•(' die Treaty, may, in general, be exempted
    from the requirement of prior authorisation ;                         (g) Crude steel (ordinary
                                                                                steel : ingots, semi­
                                                                                finished products and
    Whereas, as regards concentrations effected by                              liquid steel )               3 000 000 metric tons
 -. establishing control over groups, it is impossible to
    define general criteria for exemption ; whereas                       (h) Alloy and non-allov
 - concentrations of this type should accordingly be                            special steels, (ingots,
   'excluded from the field of application of this                             semi-finished products
. 'lVcision, whether involving joint formation of new                          and liquid steel)               200 000 metric tons
    undertakings or control over groups of existing
    undertakings;                                                         ( i) Finished rolled steel
                                                                               products including
                                                                               end products                  2 400 000 metric tons
    Whereas the High Authority should be informed of
   any concentration effected within the common
   market for coal and steel, even if exempt from prior                  2. The annual output of undertakings involved in
   authorisation by virtue of this Decision ; whereas the                the concentration shall not exceed, for any of the
   undertakings or the persons who obtained control                      types of steel products listed in the Annex to this
   should accordingly be required to declare any such                    Decision, 30% of the overall output of products of
   concentration the size of which is not substantially                  this type within the Community. The overall output
   below the limits fixed for exemption;                                 within the Community shall be determined according
                                                                         to the production statistics published by the
                                                                         Statistical Office of rhe European Communities.
   With the concurring Opinion of the Council of
   Ministers;
                                                                         Concentrations between coal producers and
   DECIDF.S :
                                                                         undertakings not falling within the scope af the
                                                                                                      Treaty
                 Concentrations between producers
                                                                                                     Artide 2
                                Article 1
                                                                         Transactions referred to in Article 66 ( 1 ) shall be
  Transactions referred to in Article 66 ( 1 ) which have                exempted from the requirement of prior
   the direct or indirect effect of bringing about                       authorisation where they have the direct or indirect
   concentration between undertakings engaged in                         effect of bringing about concentration between:
  production in the coal or the steel industry shall be
  exempted from the requirement of prior
  authorisation where:                                                   (a) undertakings engaged in coal production; and
                                                                         (b) undertakings not falling within the scope of
   1 . The annual output of products specified below,                          Article 80,
  achieved by all the undertakings involved in the
  concentration, does not exceed the following
   tonnages:                                                             if: –- cither the annual coal consumption,
                                                                                   considered as a whole for all the undertakings
                                                                                   involved in the concentration, does not exceed
   (a) Coal (net production                                                        5 000 000 metric tons; or
        screened and washed)            10 000 000 metric tons
                                                                              – the annual coal consumption of each of the
   (b) Manufactured fuels                                                          undertakings referred to in (b) is less than
        made from coal                    1 000 000 metric ton*                    500 000 metric tons.
 ---pagebreak---     IKK
                                        Official Journal of the European Communities
   Concentrations between feel producer* and                       domestic consumers and to the small craft industries
   undertakings not falling within the scope of the                arc not to be taken into account.
                            Treat"
                           Artide J                                                        STEF.L
  Transactions referred to in Article 66 (I ) shall bv                                    Article S
  exempted from the requirement of prior
  authorisation where they have the direct or indirect
  effect of bringing about concentration between :                 1.    Transactions referred to in Article 66 ( 1 ) shall
                                                                   be exempted from the requirement of prior
                                                                   authorisation where they have the direct or indirect
   (a) undertakings engaged in steel production, and               effect of bringing about concentration between
  (b) undertakings not falling within the scope of                 undertakings engaged in steel distribution, other than
        Article SO,                                                sales to domestic consumers or to small craft
                                                                   industries (hereinafter called 'distribution undertak­
                                                                   ings') if:
  iff ' the annual production of undertakings
          referred to in (a) does not exceed 20% of the
          tonnages set out in Article I ( I ) for the groups       (a) cither the total annual turnover of steel–not
          of products referred to in (f) to (i); or                     including scrap–achieved by the distribution
                                                                       undertakings involved in the concentration, does
      – the annual steel consumption of undertakings                   not exceed 60 million units of account; or
         involved in the concentration does not exceed
         50% of their production of these groups of                (b) the annual turnover of steel–not including
         products. However in respect of finished rolled               scrap–achieved by the distribution undertaking
          steel products and end products only the                     which represents one of the parties involved in
         groups of products listed in the Annex to this                the concentration does not exceed 10 million
         Decision shall be taken into account; or                      units of account. However, transactions of this
                                                                       type which are repeated or which involve several
      r– the undertakings referred to in (b) do nor use                distribution undertakings at the same time shall
         steel as a raw material.
                                                                       only be exempted from the requirement of
                                                                       authorisation if the consequent total increase in
 2.     Tonnages used in the production of steel and in                turnover does not exceed 30 million units of
 the upkeep and renewal of installations of the                        account.
 undertakings in question shall not be considered as
 steel consumption.                                               2. Transactions referred to in Article 66 ( 1 ) shall
                                                                  be exempted from the requirement of prior
                                                                  authorisation where they have the direct or indirect
                                                                  effect of bringing about concentration between
            Concentrations between distributors                   undertakings engaged in scrap distribution, if the
                                                                  total annual volume of business of the distribution
                            COAL                                  undertakings involved in the concentration docs not
                                                                  exceed 400 000 metric tons of scrap.
                          Article 4
                                                                 3. The turnover shall be ascertained by reference
 1. Transactions referred to in Article 66 ( 1 ) shall            to the amount of products sold and invoiced for own
 be exempted from the requirement of prior                        account and for account of third parties. 'Volume of
authorisation where they have the direct or indirect              business' means the amounts sold by the distribution
effect of bringing about concentration between                   undertakings for their own account and for account
undertakings engaged in coal distribution, other than            of third parties.
sales to domcsric consumers or to small craft
industries ( hereinafter called 'distribution undertak­
ings ; if the total volume of business dealt with                   Other concentrations exempted from authorisation
annually by distribution undertakings involved in the
concentration does not exceed 2 500 000 metric tons
of coal.                                                                                 Article 6
2. 'Volume of business* means the quantities sold                Transactions referred to in Article 66 (1 ) shall be
by the distribution undertakings for their own                   exempted from prior authorisation to the extent that
account and for account of third parties. Sales to               they have the effect of bringing about concentration:
 ---pagebreak---                                        Official Journal of the European Communities                                    1 US'
  – between undertakings engaged in production as                 2.     Transactions within the meaning or Article
      defined in Article 80, and undertakings which sell           66 ( 1 ), to which several of the Articles 1 to 6 above
      coal or steel exclusively to domestic consumers or           apply, shall only be exempted from the requirement
      to small craft industries;                                   of prior authorisation if the conditions of each of the
                                                                  relevant Articles are satisfied.
  – between distribution undertakings and undertak­
      ings not coming within Article 80.
                                                                                           Artulc 10
  ( Concentrations effected by providing for group
                           control
                                                                   1 . Transactions referred to in Article 66 ( 1 ) which
                          Artide 7                                in accordance with Articles 1 to 5 arc exempted from
                                                                  authorisation, shall be notified to the High Authority
                                                                  within      two   months   from    the  time  when   the
  1.    Articles 1 to 6 shall not apply to transactions           concentration was effected.
  referred to in Article 66 ( 1 ) which have the effect of
 bringing ahour concentration between:                                                                      *
 (a) on the one hand, a number of undertakings of
                                                                  The notification shall be made by the undertakings
                                                                  or persons who have acquired control.
      which at least one is engaged in production or
      distribution in the coal and steel sector, and
      which are not concentrated among themselves,                The      notification  shall   contain    the  following
      but which in fact or in law exercise joint control          information :
      (group control) over the undertaking or
      undertakings under (b); and                                – a description of the transaction leading to
                                                                      concentration ;
 (b) on the other hand, one or several undertakings
      which produce, distribute or process coal or steel          – the description of the undertakings which will be
      as a raw material.                                              directly or indirectly concentrated;
 2. Paragraph 1 shall apply where concentration                  – an estimate of production, sales or consumption
 results from the joint formation of a new undertaking                of coal or steel of the concentrated undertakings.
or the establishment of joint control of an existing
 undertaking.                                                    2.     Paragraph 1 shall not apply to concentrations
                                                                 which achieve less than 50% of the figures required
                                                                 under Articles 1 to 5 of this Decision for exemption
                     General provisions                          from authorisation.
                         Article 8
                                                                                          Article 11
1 . The figures to be considered in applying
Articles 1 to 5 above shall be the average annual
figures for production, consumption, turnover and               This Decision shall be published in the Official
volume of business attained during the last three               Juiiniiil of the European Communities. It shall enter
fin.iiu ial years preceding the date of concentration.           into force on 15 July IV67.
2. In the case of undertakings which have been in
existence for less than three years, the figures to be          On the same date. Decisions Nos 25-54 and 2X-54
considered shall be the yearly averages calculated on           shall cease to Ik in force.
the basis of production, consumption, turnover and
volume of business since those undertakings came
into existence.
                                                                This Decision was considered and adopted by the
                         Article 9                              High Authority at its meeting on 22 June 1967.
1 . In applying Articles 1 to 7 regard shall be had                                               For the High Authority
to the whole of the undertakings and activities                                                     The Vice-President
already grouped under one control or which would,
as a result of concentration, be under such control.                                                     A. COPPE
  \
 ---pagebreak---                           OHicial Journal of the Kuropcau Communities
                                               ANNEX
                                   (Ankle I (2) and Article .1 ( I ))
  Permanent railway material
  Sheet pilings
  Wide-flanged beams
  Other angles, shapes and sections, SO nun or more and Omega sections
 Tiilv rounds and stuiarc*
  Wire rod in coils
 Merchant steel
 univcrsal plates
 Hoop and strip and hot-rolled tube strip
 Hot-rolled plates of 4-76 mm or more
 Hot-rolled plates of .1–4*75 mm
 Hot-rolled sheets under .? mm
 Coils (end products)
Cold-rolled sheets under 3 mm
Hoop and strip, cold-rollcd, for making rinplatc
Tinplatc
Hlackplarc used as sud)
( Galvanised, lcad*coarcd and other clad sheets
lllectrical sheet