BRUSSELS, March 28 The European Commission said
on Wednesday it had reached agreement with Germany and its
state-backed lender Commerzbank on a restructuring
plan related to a state bailout and will announce the details on
"For Commerzbank... we have finally an agreement. The formal
decision will be adopted... on Friday, in a couple of days," EU
Competition Commissioner Joaquin Almunia told a news briefing.
"You know that we were discussing how to modify the
commitment regarding (mortgage unit) Eurohypo and we have
reached an agreement with Commerzbank and the German
authorities, and this is very positive."
He gave no details of the decision.
Commerzbank was ordered to sell its Eurohypo mortgage bank
by 2014 after the European Commission cleared its
18-billion-euro bailout in the financial crisis. But it has run
into difficulties trying to find a buyer for the loss-making
Almunia also said it had not yet been possible to reach
agreement on restructuring German lender BayernLB.
"There are still some aspects that continue to be discussed
with the savings bank, with the German authorities, at the
different levels. I hope that we will close soon this case, but
we are not yet there, unfortunately," he told the briefing.
Scores of financial institutions across the 27-country
European Union had to seek state support during the financial
Almunia has ordered more than 40 bailed-out banks across the
27-country European Union to sell assets, halt dividend payments
and acquisitions to ensure they do not have an unfair advantage
over rivals that had not taken state help.
(Reporting by Foo Yun Chee and Charlie Dunmore; editing by Rex