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COVID-19 Government Intervention Schemes Current As of 29 May 2020 Government Intervention Schemes COVID-19 Government Intervention Schemes 2

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COVID-19 Government Intervention Schemes Current As of 29 May 2020 Government Intervention Schemes COVID-19 Government Intervention Schemes 2 COVID-19 Government Intervention Schemes Current as of 29 May 2020 Government Intervention Schemes COVID-19 Government Intervention Schemes 2 EMEA AMERICAS AP Countries around the globe are facing unprecedented and rapid change due to the COVID-19 pandemic. This guide provides a summary of key government interventions around the globe in relation to: EU State Aid Approvals (for EMEA region), foreign investment restrictions, Navigate to: debt, equity and taxation. Regional insights . Foreign Investment Restrictions: Businesses and investors must carefully consider foreign investment review risks at this highly sensitive and volatile time. Taking the time to understand the rules, which are changing day after day, and identify a regulatory strategy, including appropriate messaging and communication with the relevant governmental authorities, and the consequential impact on deal EMEA documentation. Debt: In response to COVID-19, governments have announced various measures to support companies' debt arrangements including deferred payments, guaranteed credit facilities, and government-backed loans. Americas . Equity: While still in the minority, some governments have announced or are considering various (semi-) equity support measures to support businesses. Such measures may include, among others, taking an equity stake, purchasing convertible bonds and subordinated loans. Asia Pacific . Taxation: Similarly, governments have announced new taxation measures to support businesses including deferral of payments, expedited customs clearance and suspension of interest on tax payments. EU State Aid Approvals: Due to the rapid impact on EU Member States' economies directly resulting from COVID-19, the EU Summary Commission has taken measures (the 'Temporary Framework'), explained in this guide, which permit fast-track COVID-19 State aid approvals in certain areas including State guarantees for loans. A summary of measures per jurisdiction is provided on the following pages. It can be accessed throughout the document by clicking on the icon shown on the right. Legend: If you would like further information, contact your relationship partner, the key partners for this publication (details on page 5) or our multi- disciplinary team via our dedicated helpdesk: COVID-19 Government Intervention Schemes Helpdesk. = newly added chapter since 22 May 2020 You can also visit Baker McKenzie's 'Beyond COVID-19: Resilience, Recovery & Renewal' Resource Hub to access a wealth of publication reference materials on this topic. = updated since The situation is evolving and so too are government responses. We are continuing to review the situations across multiple jurisdictions (please note the date on the cover page). 22 May 2020 publication This guide is intended to provide an overview of certain key measures in specific jurisdictions. The high level overviews in this document is not intended to be comprehensive legal advice. Summary of measures in place COVID-19 Government Intervention Schemes 3 HOME EMEA AMERICAS AP To go to the relevant chapter, please click on the flag EMEA Ukraine Austria Austria Bahrain Belgium Rep. Czech Egypt France Germany Hungary Italy Luxembourg Morocco Netherlands Poland Russia Arabia Saudi Africa South Spain Sweden Switzerland Turkey UK EU EU State Aid Approvals Foreign Investment Restrictions Debt Equity Taxation = measures in place; please refer to chapter for details = no measures in place in specific response to COVID-19 blank = not (yet) included in this guide or N/A Summary of measures in place COVID-19 Government Intervention Schemes 4 HOME EMEA AMERICAS AP To go to the relevant chapter, please click on the flag Americas APAC Taiwan Argentina Argentina Brazil Canada Chile Colombia Mexico Peru US Australia China Kong Hong Japan Philippines Singapore Vietnam Foreign Investment Foreign Investment Restrictions Restrictions Debt Debt Equity Equity Taxation Taxation = measures in place; please refer to chapter for details = no measures in place in specific response to COVID-19 blank = not (yet) included in this guide or N/A Contact details COVID-19 Government Intervention Schemes 5 Navigate to: Debt Schemes Equity Schemes Foreign Investment Restrictions Regional insights Lynn Rosell Rowley Koen Vanhaerents Samantha Mobley Partner, London Partner, Brussels Partner, London EMEA + 44 20 7919 1549 + 32 2 639 36 11 + 44 20 7919 1956 lynn.rosellrowley koen.vanhaerents samantha.mobley @bakermckenzie.com @bakermckenzie.com @bakermckenzie.com Americas State Aid Insolvency Schemes Asia Pacific Nina Niejahr Mark Mandel Counsel, Brussels Partner, New York Summary +32 2 639 37 46 + 1 212 626 4527 nina.niejahr mark.mandel @bakermckenzie.com @bakermckenzie.com Legend: = newly added chapter If you have any queries relating to Government Intervention Schemes, email our Helpdesk with as much since 22 May 2020 publication Helpdesk detail as possible and the appropriate person will be in touch: = updated since Baker McKenzie COVID-19 Government Intervention Measures Helpdesk 22 May 2020 publication Austria Hungary Saudi Arabia UK Bahrain Italy South Africa EU Belgium Luxembourg Spain Czech Morocco Sweden Republic Egypt Netherlands Switzerland EMEA France Poland Turkey Germany Russia Ukraine Navigate to chapters and back by clicking the flag or regional map Austria COVID-19 Government Intervention Schemes 7 Home Summary EMEA AMERICAS AP EU State Aid First scheme with a total estimated budget of EUR 15 billion has been approved. The scheme allows for the provision of aid in the form of (i) direct Approvals grants, repayable advances and guarantees with a maximum of EUR 800.000 per company; (ii) State guarantees for loans subject to safeguards for banks to channel State aid to the real economy; and (iii) subsidised public loans to companies, with favourable interest rates (8 April) Second measure which will provide 100% guarantees for underlying loans up to an amount of €500,000 (except for the agricultural and the fisheries and aquaculture sectors, where the 100% guarantees are limited to underlying loans up to an amount of €100,000 and €120,000, respectively). For loans above those thresholds, the schemes will provide 90% guarantees for underlying loans up of €25 million. The measure is limited to SMEs (16 April) Foreign The responsible Minister for Economics announced in April 2020 that the government is working on a legislative proposal on a new law (under the Investment title "Investment Control Act") which is intended to replace the current regime (one specific provision in the Foreign Trade Law). The aim is to Restrictions tighten foreign investment control, and one of the measures (according to media reports) would be to extend the scope of the screening by lowering the current 25% threshold to 10%. Debt The Austrian Federal Government set up an initial COVID-19 Fund of EUR 4 billion, to provide support to companies mainly in the form of loans with terms, conditions and termination provisions that are more favourable than those on the market. It subsequently added to that an additional EUR 36 billion package consisting of EUR 15 billion in emergency aid for particularly affected sectors; EUR 10 billion for tax deferrals and EUR 9 billion for guarantees and warranties for current loans of affected companies; and an additional EUR 2 billion working capital credit lines for affected exporting companies. Exclusions . Companies must have their registered office or a permanent establishment in Austria. Must carry out their "essential operational activities" in Austria, i.e., foreign activities must not be "more important" than those in Austria. Must be economically healthy, with business activities in Austria that suffer 'financial difficulties' due to COVID-19. Austria COVID-19 Government Intervention Schemes 8 Home Summary EMEA AMERICAS AP Equity No (semi-) equity support measures have been announced. Taxation Corporate income tax . Prepayments for income or corporate tax can be reduced more easily (even to zero) by submitting a request. Specific interest due (which results from an additional claim assessed in an income or corporate tax decree) can be reduced (also to zero) by request. Such reduction will however not become effective - regarding income and corporate tax for 2019 – until 1 October 2020. Social security / Employment / Wage taxes / Personal Income Tax N/A VAT No interest will be charged in case of a respite for tax payments, if a request is filed. Excise / Import duties N/A Other taxes N/A Comments Austria has announced reliefs for tax payments in order to secure the taxpayer's liquidity. Deadlines for filing returns are not extended automatically. If the taxpayer wants to extend a deadline, a specific request is still required. Austria COVID-19 Government Intervention Schemes 9 Home Summary EMEA AMERICAS AP Taxation . No interest will be charged in case of a respite for tax payments (currently, 3.88% interest become due per annum) if a respective request is filed (the request is also simplified). Surcharges for late payments of taxes due can also be reduced (even to zero) upon request. Such request is recommended for monthly or quarterly prepayments of VAT and also, for example, for payroll tax. A combined form for all reliefs can be found on https://www.bmf.gv.at/public/informationen/coronavirus-hilfe.html Bahrain COVID-19 Government Intervention Schemes 10 Home Summary EMEA AMERICAS AP Foreign No new measures have been announced in specific response to COVID-19. Investment Restrictions Debt The government launched a financial
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