7.5.3 The relevance of the identification of the beneficiaries

Why does it matter who the beneficiaries of State aid are? The answer lies in the fact that the Commission assesses the compatibility of the State aid on the basis of the restructuring plan. When there are several beneficiaries, then the State aid to each beneficiary should be compatible with the internal market. This means that each beneficiary should be subject to restructuring measures.

To give an example, in the case of Amagerbanken, there were two beneficiaries: i) the sold economic activities, and ii) the remaining business. In the first place, the Commission assessed whether the restructuring measures would ensure the viability of the sold economic activities, whether there was sufficient burden- sharing with respect to these activities, and whether the competition distortions were satisfactorily addressed.1 In the second place, the Commission assessed whether the winding-down of the remaining business was conducted in an orderly manner, whether there was sufficient burden-sharing with respect to these activities, and whether the compensatory measures were sufficient to limit the competition distortions.2 Thus, for each of the two beneficiaries, the Commission assessed whether the State aid was compatible in light of the restructuring measures.