After paragraph 12 insert—

“12AThe number of employees requirement

(1)

The number of employees requirement in the case of a single company is that the full-time equivalent employee number for it is less than 250.

(2)

The number of employees requirement in the case of a parent company is that the sum of—

(a)

the full-time equivalent employee number for it, and

(b)

the full-time equivalent employee numbers for each of its qualifying subsidiaries,

is less than 250.

(3)

The full-time equivalent employee number for a company is calculated as follows—

Step 1

Find the number of full-time employees of the company.

Step 2

Add, for each employee of the company who is not a full-time employee, such fraction as is just and reasonable.

The result is the full-time equivalent employee number.

(4)

In this paragraph references to an employee—

(a)

include a director, but

(b)

do not include—

(i)

an employee on maternity or paternity leave, or

(ii)

a student on vocational training.”

In paragraph 16 (excluded activities), after paragraph (i) insert—

“(ia)

shipbuilding (see also paragraph 20A);

(ib)

producing coal (see also paragraph 20B);

(ic)

producing steel (see also paragraph 20C);”.

After paragraph 20 insert—

“20AExcluded activities: shipbuilding

In paragraph 16(ia) “shipbuilding” has the same meaning as in the Framework on state aid to shipbuilding (2003/C 317/06), published in the Official Journal on 30 December 2003.

20BExcluded activities: producing coal

(1)

This paragraph supplements paragraph 16(ib).

(2)

“Coal” has the meaning given by Article 2 of Council Regulation (EC) No. 1407/2002 (state aid to coal industry).

(3)

The production of coal includes the extraction of it.

20CExcluded activities: producing steel

In paragraph 16(ic) “steel” means any of the steel products listed in Annex 1 to the Guidelines on national regional aid (2006/C 54/08), published in the Official Journal on 4 March 2006.”