Article 14

75 % of the loans amounting to GRD 1,99 billion (EUR 5,9 million), USD 10 million and USD 5 million granted by ETVA to HSY respectively on 25 July 1997, 15 October 1997 and on 27 January 1998 (these measures were named ‘measure E16’ in the preamble of the present decision) are covered by Article 296 of the Treaty.

The remaining 25 % of the loans constitute aid.

The aid included in the first loan, which was denominated in drachma, amounts to the difference between the reference rate for Greece increased by 400 basis points and the interest rate paid by HSY. The aid included in the second and the third loan, which were denominated in US dollar, amounts to the difference between US LIBOR increased by 475 basis points and the interest rate paid by HSY.

In the three cases, the aid has been put into effect in contravention of Article 88(3) of the Treaty and is incompatible with the common market.

This aid has therefore to be recovered.