Cabinet of Ministers Regulations No. 269 in Riga, 24 March 2009 (pr. No 21 70. §) rules on guarantees the competitiveness of economic operators Issued pursuant to the Cabinet of Ministers Act article 31 equipment, first paragraph, point 3 i. General questions 1. determines the conditions for granting support guarantees the competitiveness of economic operators (hereinafter referred to as the guarantee), issued by limited liability company "Latvian guarantee agency" (hereinafter referred to as the Latvian guarantee agency).
2. support is provided to the 2010 December 31.
3. the guarantee procedure, compensation and loss reduction measures shall be determined in accordance with the civil law contracts concluded between the Latvian guarantee agency and credit institutions or their subsidiaries. 
II. non-eligible activities and sectors, operators 4. Aid shall be granted to the following sectors: fisheries and aquaculture, 4.1, subject to Council 1999 17. Regulation (EC) No 104/2000 on the common organisation of the markets in fishery and aquaculture products;
4.2. the primary production of agricultural products in accordance with Commission Regulation (EC) No 1857/2006 on 87 and 88 of the Treaty. application of article regarding small and medium-sized enterprises active in the production of agricultural products and amending Regulation (EC) No 70/2001 (hereinafter Regulation No 1857/2006), article 2, paragraph 2;
4.3. the agricultural product processing and marketing under Regulation No 1857/2006, article 2, paragraph 3 and 4 in the following cases: 4.3.1. If the amount of the aid shall be fixed on the basis of the prices and quantities of products for which the trader purchased from primary producers or put on the market;
4.3.2. where the aid is partially or fully served primary producers;
4.4. wholesale and retail trade;
4.5. financial and insurance activities;
4.6. vehicles, machinery and equipment, personal effects, household hardware and equipment rentals;
4.7. operations with real estate;
4.8. gambling and betting;
4.9. weapons, ammunition, tobacco, beer and alcoholic beverages, and trade.
5. the aid shall be granted to the following activities and merchants: 5.1 to export-related activities towards third countries or Member States, the European Union – aid directly linked to the quantities exported, to the establishment and operation of a distribution network or to other current expenditure linked to the export activity;
5.2. action to import goods to be used in domestic products;
5.3. the merchants who by court decision declared insolvency proceedings or by court decision to implement legal protection process, economic activity has been terminated in accordance with the commercial register or the information is in the process of liquidation;
5.4. traders who on 1 July 2008, the losses were greater than half of the share capital and more than one quarter of these capital losses occurred during the previous 12 months;
5.5. the big traders who on 1 July 2008, the detection of such distressed merchant signs: damage increase, diminishing turnover, growing stock inventories, excess capacity, declining cash flow, debt growth, rising interest rates and falling or nil net asset value. The meaning of these rules large traders are commercial companies that do not meet the Commission's august 6, 2008, Regulation (EC) No 800/2008, which recognize certain categories of aid compatible with the common market in application of articles 87 and 88. (General block exemption regulation) (hereinafter referred to as Commission Regulation No 800/2008), 1. the definitions laid down in the annex;
5.6. the merchants whose members who have unlimited liability for the operator's debt, on July 1, 2008, had lost more than half of the capital (according to reports) and more than one quarter of that capital has been lost over the preceding 12 months.
6. Latvian guarantee agency may set additional conditions for traders, if any are defined in the law on the financing of the Latvian guarantee agency. The information that the Latvian guarantee agency shall immediately publish the Web site www.lga.lv. 
III. eligible financial services, and the amount of the guarantee 7. support can be paid if the guarantees provided for such financial services you: 7.1. loan investment;
7.2. working capital loan;
7.3. financial leasing;
7.4. factoring in which the debtor is registered in Latvia, and the client (merchant) in accordance with the factoring contract signed response factor (credit institution or its subsidiary) on the passed in or outgoing claims.
8. Aid shall not be granted for existing financial liabilities (with the exception of aid which may be granted, if the guarantee provides for this rule 7.1 and 7.3 below. financial services referred to in paragraph 1, provided that the repayment of principal is deferred for at least a year, but not more than two years).
9. Can I get support if the economic operator: 9.1. guarantee covers up to 80% of financial services, but one economic operator not more than EUR 3 000 000 equivalent in dollars by the Bank of Latvia the rate at the date of the granting of the guarantee;
9.2. the warranty period shall not exceed 10 years these rules 7.1 and 7.3. referred to financial services and three years this rule 7.2 and 7.4 referred to financial services. 
IV. modalities for the calculation of the guarantee Premium 10. The guarantee premium is calculated by applying the annual premium rate (1. Add Kuma) according to the merchant's credit quality and the level of the security determined in accordance with Latvian guarantee agency's credit quality rating system.
11. Can I get support if the guarantee credit quality is not less than the provisions prescribed in annex 1 credit quality class ' Solvency depends on favourable conditions of stability. "
12. the newly created businesses annual bonuses a higher rate of 1.2% and lower than the premium rate applicable to the parent operator (the operator). The meaning of these provisions on newly considered merchant, which is registered in the commercial register not later than three years ago. 
V. calculation of the grant equivalent of aid and cumulation 13. Grant equivalent of the economic operators shall be calculated as the difference between the answers community credit quality class annual safe-harbour premium rate (annex 1) and the application of the rate of the annual premium in money terms. If the guarantee lasts more than a year, the difference between the rates are discounted, using European Commission Latvia approved reference rate which is added to the base rate 100 basis points.
14. support one economic operator in the framework of these rules shall not exceed EUR 500 000 grant equivalent of dollars by the Bank of Latvia the rate at the date of the granting of the guarantee.
15. The rules laid down in point 14 of the allowable amount of the aid, take into consideration other economic operator of aid already granted in accordance with the Commission on 15 December 2006, Regulation (EC) No 1998/2006 on 87 and 88 of the Treaty. application of article de minimis aid (hereinafter referred to as Commission Regulation No 1998/2006), as well as support for other aid programmes, the European Commission has approved as a special economic crisis new aid measures with the maximum amount of aid of EUR 500 000 for one operator to the equivalent in local currency.
16. before the grant of the aid the merchant submits the Latvian guarantee agency of any declaration pursuant to Commission Regulation No 1998/2006 support received under these rules, the aid and other aid received other aid programmes, the European Commission has approved as a special economic crisis new aid measures with the maximum amount of aid of EUR 500 000 per operator equivalent in dollars, giving information on the current year and the two previous calendar years šēj 16.1. the economic operator shall submit: Latvian guarantee agency statement in accordance with the laws and regulations on de minimis aid and the procedure for and de minimis form samples, if the aid received, in accordance with Commission Regulation No 1998/2006;
16.2. the operator shall submit to the Latvian guarantee agency Declaration in accordance with the provisions of annex 2 If the aid received in the framework of these rules, or of other aid programmes, the European Commission has approved as a special economic crisis new aid measures with the maximum amount of aid of EUR 500 000 for one operator to the equivalent in local currency.
17. The Latvian guarantee agency verifies that the total amount of aid, which he received during the period from January 1, 2008 to December 31, according to Commission Regulation No 1998/2006, these provisions and other support programmes, which have been approved by the European Commission as a special new economic crisis support measures with the maximum amount of aid of EUR 500 000 per operator equivalent in dollars, does not exceed EUR 500 000 in the framework of the provisions 18. the support received for the same eligible costs should not be cumulated with aid granted in conformity with Commission Regulation (EC) No 1998/2006.

19. Aid may be cumulated with aid for the same costs, if such cumulation results in an aid intensity does not exceed the Commission Regulation No 800/2008 or the European Commission approved aid scheme or individual aid projects, the maximum allowable aid intensity. 
Vi. Support account 20. Latvian guarantee agency provides a record of these regulations support the framework, including information showing that under these provisions have not received economic operators which comply with such rules 5.3, 5.4 and 5.5 the conditions listed in the bottom. This records the Latvian guarantee agency keeps for 10 years and, upon request, submit to the European Commission.
21. the accounts shall be kept in accordance with the provisions of annex 3.
The Prime Minister, the children, family and integration Affairs v. Economic Minister Dombrovskis a. camphor Editorial Note: rules shall enter into force on the 2 April 2009.
 
 
1. the annex to Cabinet of 24 March 2009. Regulations No 269 of the annual premium rates the credit quality rating agency Standard and Poor's rating "rating agency" Fitch "rating" rating agency "Moody's rating of the annual premium rate (annual safe-harbour premium rate) level normal high low the highest quality AAA Aaa AAA 0.2% (0.4%)
0.2% (0.4%)
0.2% (0.4%) very high solvency AA + AA AA-AA AA AA-Aa Aa + 1 2 3 0.2% (0.4%) Aa
0.2% (0.4%)
0.2% (0.4%)
High solvency of A + A A-A A + A A-A A 1 A 2 A 3 0.2% (0.4%)
0.25% (0.55%)
0.25% (0.55%)
Sufficient solvency BBB BBB BBB + – + BBB-1 Ba Ba Ba 2 a 0.25% (0.55%) 3
0.3% (0.8%)
0.3% (0.8%)
Solvency are sensitive react to disadvantage BB BB BB BB + Ba + 1 Ba 2 0.3% (0.8%)
0.7% (2%)
0.7% (2%)
BB-BB-B + B B + 0.7% Ba 3 1 (2%)
1.2% (3.8%)
1.2% (3.8%)
Solvency could reduce the adverse conditions B B B B B – B – 0.7% 2 3 (2%)
1.2% (3.8%)
2% (6.3%)
Solvency is dependent on favourable conditions of stability – CCC CCC CCC + CC + CCC-CC C Ca 1 Ca 2 Ca 1.2% (3.8%) 3
2% (6.3%)
3% (9.8%)
Not being met or nearly does not comply with the obligation D DDD DD D SD Ca (C) – – – Note.
* High level – losses in case of default is 30% or less. Ordinary level – losses in case of default is from 31% to 59%. Low level – losses in case of default is greater than 60%. Start-up businesses annual safe-harbour premium rate is 3.8%, but not lower than the safe-harbour premium rate applicable to the parent operator (the operator).
Economic Minister a. camphor annex 2 Cabinet of 24 March 2009. Regulations No 269 form received support under the support programmes, which are approved by the European Commission as special economic crisis support programs with a maximum aid level of EUR 500 000 for one operator to the equivalent in local currency of the economy Minister a. camphor annex 3 Cabinet of 24 March 2009. Regulations No 269 form aid the European Commission has approved as a special economic crisis support through the maximum amount of aid of EUR 500 000 for one operator to the equivalent in local currency of the economy Minister a. camphor