EU sparks crisis at German shipbuilder
Thursday 22 February 1996
Though Bremen's regional parliament went into an emergency session to discuss how to rescue the city-state's biggest employer, any such attempt is complicated by Vulkan's cavalier attitude to public subsidies. Yesterday's crisis was sparked by a European Union demand that Vulkan should release DM600m in structural funds earmarked for the company's shipyards in eastern Germany. The EU alleges that Vulkan illegally diverted the EU money to keep the Bremen headquarters afloat, starving the eastern shipyards of cash. Yesterday the European Competition Commissioner, Karel Van Miert, was adamant that "the enterprise must pay back the money".
In Bonn, the Economics Minister, Gunter Rexrodt pledged that the government do its utmost to prevent massive layoffs. But any rescue attempt would also have to involve the EU and the local governments of Bremen and Mecklenburg- Western Pomerania in the east. The banks, which are now having to renegotiate their debts, have indicated that they are not prepared to keep throwing good money after bad. Private companies have been steering clear of Vulkan for years. The consensus in the German business world is that without subsidies Bremer Vulkan would have gone under long ago.
- 1 Man on naked bike ride gets ejected after becoming aroused
- 2 Charles Kennedy dead: Former Lib Dem leader dies at home aged 55 - latest news
- 3 Ayyan Ali: Pakistan's top model now appears in the courtroom rather than on the catwalk
- 4 Fifa corruption: Europe plots to stage an 'alternative World Cup' in place of Russia 2018
- 5 Jaden Smith wears gender fluid dress to high school prom with Hunger Games actress
Photographer who performed naked shoot in China's Forbidden City sparks outrage
Ed Miliband returns to the backbenches but it's all a bit awkward as he tries to avoid eye-contact with fellow Labour MPs
Man on naked bike ride gets ejected after becoming aroused
Charles Kennedy dead: Former Lib Dem leader dies at home aged 55 - latest news
Isis tortures 14-year-old Syrian boy and films it in graphic video for 'propaganda purposes'
Migrants in Kos: Photos show real tragedy after Brits abroad complain of 'awkward' holidays
Thousands of teenage girls enduring debilitating illnesses after routine school cancer vaccination
British tourists complain that impoverished boat migrants are making holidays 'awkward' in Kos
Michael Gove determined to scrap the Human Rights Act – even if Scotland retains it
Threat to scrap Human Rights Act could see UK follow Nazi example, warns UN official
Why this year's general election was the most unfair in Britain's history
iJobs Money & Business
£70000 - £90000 per annum: Recruitment Genius: A Financial Reporting Manager i...
£23000 - £25000 per annum: Recruitment Genius: They win lots of awards for the...
£13500 - £20000 per annum: Recruitment Genius: This nationwide enforcement com...
£25 - £30K: Guru Careers: We are seeking a highly-motivated and ambitious Comm...