
Article 1 
The agreement concluded on 5 November 1993 between the undertaking Sociedad Nacional de Industrias y Aplicaciones de Celulosa Española SA (SNIACE) and the Fondo de Garantía Salarial (FOGASA) did not constitute, on the date on which it was concluded, State Aid for the purposes of Article 87(1) of the EC Treaty.
The following State Aid implemented by Spain in favour of SNIACE is incompatible with the common market:

((a)) the debt rescheduling agreement concluded on 8 March 1996 (as amended by the agreement of 7 May 1996 and subsequently by the agreement of 30 September 1997) between SNIACE and the Tesorería General de la Seguridad Social;
((b)) the implementation of the agreement concluded on 5 November 1993 between SNIACE and FOGASA;
((c)) the agreement concluded on 31 October 1995 between SNIACE and FOGASA.
As regards the other matters that were the subject of the proceedings opened pursuant to Article 93(2) of the EC Treaty, namely a loan guarantee approved totalling ESP 1 billion approved by Law No 7/93, the financing arrangements for the planned construction of a waste treatment plant and the partial cancellation of debts by the Torrelavega City Council, these measures do not constitute aid and the procedure can be closed. However, Spain must inform the Commission within a period of two months from the date of this decision of the modified assessments made by Torrelavega City Council in respect of SNIACE's business taxes for the years 1995 to date. As regards the unpaid environmental levies during the period 1987 to 1995, the Commission will take a separate decision in due course.
Article 2 

1. Spain shall obtain from the recipient the repayment of the aid specified in the second paragraph of Article 1.
2. The sums to be recovered shall bear interest from the date on which they were made available to the recipient until the date of their actual recovery.
3. The recovery of the aid specified in the second paragraph of Article 1 shall be immediate and effective.
4. Spain shall ensure that this Decision is implemented within four months of the date of its notification.
Article 3 

1. Spain shall submit the following information to the Commission within two months of notification of this Decision:
(a) the total amount (principal and interest) to be recovered from the recipient;
(b) a detailed description of the measures already adopted and planned for the purpose of complying with this Decision;
(c) the documents proving that the recipient has been ordered to repay the aid.
2. Spain shall keep the Commission informed of the progress of the national measures adopted pursuant to this Decision until the recovery of the aid specified in the second paragraph of Article 1 has been concluded. At the Commission’s request, it shall immediately submit information on the measures already adopted and planned for the purpose of complying with this Decision. It shall also provide detailed information on the amounts of aid and interest already recovered from the recipient.
Article 4 
This Decision is addressed to the Kingdom of Spain.