No L 352/42 Official Journal of the European Communities 15. 12. 87 (Acts whose publication is not obligatory) COMMISSION COMMISSION DECISION of 15 July 1987 on aid granted by the French Government to a producer of textiles, clothing and paper products — Boussac Saint Fréres (Only the French text is authentic) (87/585/EEC) THE COMMISSION OF THE EUROPEAN COMMUNITIES, Having regard to the Treaty establishing the European Economic Community, and in particular the first subpara- graph of Article 93 (2) thereof, Having given notice to the parties concerned to submit their comments as provided for in the said Article 93, and having regard to those comments, Whereas : Upon repeated requests from the Commission, the French Government belatedly informed the Commission by telex of 22 March 1984 and letter of 23 August 1984 that financial assistance had been granted to the third largest textile, clothing and paper producer in France. The aids had been granted between June 1982 and August 1984, taking the following forms: — a participation in the firm'’s capital amounting to FF 100,1 million by IDI (Institut de Développement Industriel) which later had been transferred to Sopari (Société de Participation et de Restructuration Indus- trielle), a 99,4 % subsidiary of IDI, which itself is State-owned, — capital advances (comptes courants d'actionnaire) by Sopari amounting to FF 380 million, granted as loans with reduced interest rate and State guarantee. According to the French Government’s initial statements, these financial injections had been considered necessary for the financing of investments which, however, were not quantified nor described as to their substance. On the basis of the information available to the Commis- sion at the time, additional aids were about to be paid. Following an initial scrutiny, the Commission considered that the aid, which had already been granted between 1982 and 1984 and which had not been notified to the Commission beforehand, was illegal as the French Government had failed to fulfil its obligations under Article 93 (3) of the EEC Treaty. The Commission also took the view that the interventions by IDI/Sopari in favour of the firm in question were to be considered as rescue aid in view of the company’s financial record and situation. As it is the Commission’s well-established policy that rescue aid pending a restructuring plan can only be granted for a short period and in the form of credit or loans at market rate, of which all Member States had been informed by letter of 24 January 1979, the aid in question in this case did not meet the conditions set out by the Commission. The Commission also considered that the aid which had already been paid was granted in contravention of the conditions set by itself when accepting on 21 December 1983 the French sectoral aid scheme in favour of the textile and clothing industry (reduction of social charges).