DHL 2015 Annual Report Download - page 98

Deutsche Post  Group —  Annual Report
sector-specic regulation by the Bundesnetzagentur (German federal network agency) pur-
suant to the Postgesetz (PostG– German Postal Act). e Bundesnetzagentur approves or
reviews prices, formulates the terms of downstream access and has special super visory
powers to combat market abuse.
On  January , the European Commission issued a ruling on the formal in-
vestigation regarding state aid that it had initiated on  September . In its review,
the European Commission determined that Deutsche Post  was not overcompensated
for providing universal services between  and  using state resources. It also
did not nd fault with the guarantees issued by the German state for legacy liabilities.
By contrast, in its review of funding for civil servants’ pensions, the European Commis-
sion concluded that illegal state aid had, in part, been received. It found that the pension
relief granted to Deutsche Post  by the Bundesnetzagentur during the price approval
process led to Deutsche Post ’s receiving a benet, which it must repay to the Federal
Republic of Germany; in addition, it must also be ensured that no benets are received
in the future which could be considered illegal state aid. e commission furthermore
stated that the precise amount to be repaid was to be calculated by the Federal Republic
of Germany. In a press release, the European Commission had referred to an amount
of between  million and  billion. Deutsche Post  is of the opinion that the
commission’s state aid decision of  January  cannot withstand legal review and
has led an appeal with the European Court of Justice in Luxembourg. e Federal
Republic of Germany has similarly appealed the decision.
To implement the state aid ruling, the federal government called upon
Deutsche Post  on  May  to make a payment of  million including inter-
est. Deutsche Post  paid that amount to a trustee on  June  and appealed the
recovery order to the Administrative Court. e appeal, however, has been suspended
pending a ruling from the European Court. e company made additional payments
to the trustee of . million on  January , . million on  January ,
. million on  January  and . million on  January . ose payments
were reported in the balance sheet under non-current assets; the earnings position re-
mained unaected. e European Commission has not expressed its nal acceptance
of the calculation of the state aid to be repaid. On  December , it initiated pro-
ceedings with the European Court of Justice against the Federal Republic of Germany
to eect a higher repayment amount. In its decision on those proceedings of  May ,
the European Court of Justice merely ruled that Germany must independently dene
the individual markets before making the calculation. It did not rule on the amount of
the repayment claim.
In its ruling of  September , the General Court of the European Union held
that the decision of the European Commission dated  September  regarding the
initiation of a formal state aid investigation was null and void based upon a complaint
led by Deutsche Post. e legal action did not involve the substantive proceedings, but
rather the procedural side issue of whether the European Commission was acting within
its rights in reopening the state aid proceedings in . In , Deutsche Post had
led an action against the reopening of the state aid proceedings as a precautionary
measure. e substantive proceedings of the legal dispute will continue, i. e. the action
brought by Deutsche Post against the  state aid ruling of  January  that is still
pending before the General Court of the European Union.
If the appeals of Deutsche Post  or the federal government against the state
aidruling are successful, the opportunity exists that the payment of  million and
thepayments of . million, . million, . million and . million made in
Glossary, page 
Glossary, page 
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