NEWSLETTER ISSN 1027-930X FROM THE EUROPEAN COMMISSION

NUMBER 19 / EN - 2001-2 uro In thjs issue

ι citizens' euro Euro Trophies Euro Trophies awarded to five proactive firms han "simplifies the euro" for customers and staff The Euro Trophies - which are organised by the Association for the Monetary Union of Europe (AMUE) and hice for shopkeepers-, do not telay in seizing the opportunity supported by the European Commission - have been f to prepare for the euro awarded to five firms which developed innovative

CD-ROM for very small firms approaches in preparing for the euro.

In the field Change of notes and coins: situation by country

! euro and Member States hmunication plans of I euro-area Member States Pedro Solbes, ι the field Europciin Commissioner for economic and STEPl: A new tool for cross-border monetary affairs, on the ' transfers of small euro amounts occasion of the award of the Euro Trophies: The ECB lays down the principles "These exemplary for frontloading banknotes outside approaches, ­which the euro area have heen widely disseminated, can help The Catholic Church in Portugal is other SMEs in cooperating with the National Euro implementing their Commission euro plans. "

They were established by the AMUE in part­ Several thousand firms took an interest in this nership with the European Federation of event, which was managed on the relevant Accountants and IBM and, with the support of Internet site. The greater number of entries from the European Commission, are awarded to France, Germany and the Netherlands is due to firms which have adopted an exemplary­ the fact that similar events had been held at approach in their switchover to the single cur­ national level. From the 79 entries finally selected, rency. The experience of those firms can then 20 were submitted to a European jury composed be used to encourage and assist others in of representatives of the European Commission, preparing for the euro. The aim here is the Association for the Monetary Union of twofold: to raise the awareness of European Europe, the European Federation of Accountants SMEs regarding the benefits of effective prepa­ and IBM. The jurv met on 9 November in ration and to identify good practices which can Brussels to select the award­winning firms. Under be useful for them. Many SMEs have not yet the regulations governing the event five SMEs are made serious preparations for the changeover honoured, one from each category: manufactur­ Internet Site to the euro. They are waiting until the last ing, commerce, tourism and leisure, transport and http://europa.eu.int/euro/ minute and at the risk of having to act hastily at services and, finally, craft firms and one­man busi­ the end of 2001 and of missing out on the nesses. The professionals who assisted the firms, advantages of proper administrative, business especially financial institutions and the Euro Info and financial preparations. Centres, also received awards. ( >■ 2)

Information Programme for the European Citizen The Citizens'euro

r> /; The five winning firms Commercial firm: Ben Vroklage Fashion, Bussimi, Netherlands Tourism industry firm: Figi, Zeist, Netherlands One-man business: City Sensors, Massy, Frunce Sei-vice company: Schwingel Automaten, Dorsten, Germany Manufacturing company: Newmec, Monza, Italy

The Euro Trophies: the five winners

Ben Vroklage Fashion (Netherlands) its customers, it has earned die image of a top-of-the- Supported by: ABN/AMRO Bank range firm. Its main supplier also works in euros, and This medium- to top-of-the-range clothing store for this enables it to avoid die foreign exchange commis• men and women is developing a partnership based on sions charged by banks. City Sensors has also opened trust with more than 4 000 customers, who automat• a second euro account to take advantage of competi• ically receive a 5% bonus with each purchase. The tion between banks and thus to benefit from more transaction is carried out with the aid of an electron• favourable rates. All internal transactions have been ic card and till which make it possible to send carried out fully in euros since 1 January 2000. The regularly to each customer a voucher which can be set staff, who are paid in euros, have been familiar with against the next purchase. Since the beginning of this die currency since 1998. year, the card and voucher - which are issued every two months - have been denominated in euros. The Schwingel Automaten (Germany) customers were advised of this transaction by letter in Supported by: Zenit GmbH/Euro Info Centre and December 2000. The finn has now gone even fur• Bundesverband Automatenunternehmer E. V. ther: price labels and receipts are printed in euros, (a trade federation) plastic bags and envelopes show euro notes and coins, This firm specialises in vending machines and is and the shop window also highlights the euro. The clearly vety well placed to meet die challenge of the tills and other equipment are readv for the euro even euro. It has drawn up an inventory of all the applica• now in order to avoid excessively high costs. tions with a view to studying their compatibility widi the euro. It was dierefore able to ascertain quickly Figi (Netherlands) which machines could not be adapted. In connection Supported by: Deloitte & Touche and Rabobank with die purchase of new equipment, top priority has This firm, which is active in the hotel business, long been given to compatibility, and this has enabled catering, theatres, cinemas and the tourist industry, the firm to cut expenditure and avoid unnecessary is a pioneer of the euro. Back in 1996 it already had investment. The workforce was trained at a very early dual-price displays based on the presumed value of stage to use the euro, in particular with die assistance the future currency! One year later, it introduced of a euro team working on die basis of a checklist. the virtual euro in its various businesses as a means An in-depth analysis of the impact of die euro also of payment; this boosted public awareness in both made it possible to acquire suitable new software. the Netherlands and abroad and led to an increase Even if some work remains to be done, the firm con• in sales. At the same time, the company has dis• siders diat diis dynamic approach to die euro has seminated its experience widely, to the extent of enabled it to increase its competitiveness, which is encouraging other firms to follow its example and due, among other things, to the ability to work on a develop a common synergy based on the euro. project management basis. These communication and training efforts have been continued in 2001 in relation to both busi• Newmec (Italy) ness-to-business transactions and consumers. Supported by: Banca Intesa Internally, Figi has chosen to introduce the euro in This company manufactures microprocessors and has stages with a view to familiarising all of its staff been using die euro for all its transactions since with use of the euro. A conference on the opportu• January 1999. As it works widi many customers and nities created by the euro will be organised at suppliers throughout Europe, diis option has enabled the end of 2 001. it to eliminate die exchange-rate risk and reduce bank charges. The firm has, however, been obliged to con• City Sensors (France) tinue using the lira in its own country because its Supported by: Banque Société Générale and Banque private-sector partners in Italy and die public are not Populaire BICS yet ready for the euro. Technically, the microproces• This high-tech SME works in the field of industrial sors are adapted for die euro, and diis will ensure a pressure sensors. It exports 33% of its output. smooth changeover when the euro becomes die only The firm took the plunge very early as regards using currency in circulation. Newmec is considered by its the euro and, as a result, it is now more competitive partners to be a vanguard company and it believes and able to devote all its efforts to other challenges, that this proactive preparation will very soon show up ¡ufa nu nti on Programme particularly commercial ones. By using the euro with in improved competitiveness. for ¡he fin rop c n n Citizen ~T\EN Ίβ citizens' euro »■""Jl-l Ίι.-..'l

I Qu'e«l-ce qui Mt le plu· cher : un Utre » baguette a 0.62 euro l (ou 62 cent«}.

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yi¿/c/?a/7 "simplifies the euro" fori mers

"Following a brisk launch on 1 Janna ty 1999, which was who pay in euros ­far from it. In September 2000 there preceded hy intensive preparations, our shops attached new were exactly 4 618 of them in the 118 hypennarkets. labels with prices in euros and they accepted the first pay­ However, what is astonishing is that one of them registered ments in euros. An intensive communication campaign a figure of I 836 during that period. " was earned out for several months. There was a great deal of curiosity and then nothing marc. Until then, for What was the reason for this? It can be found in most of us the euro had, as it were, ceased to be a daily con­ the enthusiasm of the personnel of this hypermar­ 41 - SIMPLE QUESTION cai!. And yet " ket, which is located in Faches Thumesnil in Northern France. In February 1999 the personnel It was widi diis realistic finding diat die Auchan dis­ initiated drives and various awareness campaigns tribution group, which has a presence in five of the for both customers and staff. A working group Qu'est-ce qui est le plus countries in the euro area, launched its campaigns to made up of checkout employees actively prepares cher : un litre de lait à 4 F. ou une baguette à 0,62 euro make a success of die final stage of die transition to these operations, which include training in the use (ou 62 cents). the euro. It is a stage which, as Auchan's managers of the euro for customers, consumer protection emphasise, will result in what "promises to be a real cul­ associations and senior citizens (stand and euro tural revolution for each of us, in both personal and guides) and also campaigns targeting children R C est pareti s> tor. considere le a.·, de ÎSMW <*""" euTO professional tenns". In diis context, the approach (drawing competition, snacks). Moreover, in­house 3 6.5 f- adopted by Auchan dierefore aims at being "reassur­ training is provided for each new employee by ing and educational". It will revive and restate all means of a game specially created by Auchan and aspects of the commitment given at die outset: called "Euraucban". Round­table discussions with "Anchan will simplify the euro for you.'" customers and many other ideas are also under consideration at this store. /VII levels of die company, which has a staff of nearly 110 000 in 201 hypermarkets and 523 supermarkets in The campaign will spread to all of Auchen's stores die euro area, will be involved in die transition during 2001, widi due regard for the national diver­ process. "Accountants and management controllers at first, sity of consumers. For example, Auchan Portugal has but also beads of department, managers and executives will drawn up its own action plan built around two unify­ be writing, reading and counting in euros. " Throughout ing diemes: "come to the euro" and "in euros or escudos, 2001, Auchan will dierefore, in particular, adopt an the price is still the sinne". In Portugal many campaigns incentive­based and progressive approach in order to have also been organised in stores since January of have tens of diousands ol suppliers of merchandise diis year. For instance, all die hypennarkets will have ami general expenditure items make die switchover a euro stand made up of a display of infonnation smoothly: changeover programmes for relations widi sheets togedier with a giant price­converter and suppliers have been drawn up in each country, and countdown mechanism designed to attract attention pavanent in euros for all purchases and for company and maintain interest. Each day, a trolley full of expenditures will become widespread diroughout die shopping items will also be exhibited in die store and year. In die case of wages, die changeover in 2001 will will go to die customer who guesses dieir euro value occur on a country­by­counny basis: from January in most accurately Italy, from September in France and Luxembourg, from October in Portugal and from December A major training programme targeting checkout onwards in Spain. employees as a matter of priority is also being prepared and coordinated on an international Since it is intrinsically well placed to facilitate adop­ basis. Nearly 300 000 training hours will be tion of die euro by millions of consumers, Auchan devoted to it in the various countries during also intends to launch further initiatives. This will October and November 2001. Michel Paillard not be its first attempt, and various trials tend to says: "All these ca?npaigns will be intensified and show that, if these are backed up in an entertaining speeded up as the months go by. They will form pint of and intelligent manner, consumers will be ready to an approach which we wish to make both reassuring use die euro right away. Michel Paillard, who is in and educational. The aim is to ensure that the transi­ charge of communication relating to euro matters at tion to the euro will be as simple as possible for both our Auchan, says: "There are not many customers in France customers and staff. " Infpr wallon Programmi fin tkl 1'. a rap nui ('itizrii The Citizens' euro

Advice for shopkeepers: do not delay in seizing the opportunity to prepare for the euro

As you know, if you are a shopkeeper, you can decide use labels of different colours. As far as your cash whether or not to use the euro until 31 December register is concerned, you will need to indicate only 2001. However, you must be ready to do so on the corresponding value for the total amount, not all 1 January 2002. By that date, you must have convert­ prices line-by-line on a dual-display basis. In this ed your prices and accounts into euros and be in a way, you will more easily avoid rounding errors. In position to accept payment in euro notes and coins. any event, you should make sure with your supplier In addition, you will have a ringside seat as regards that sales receipts are printed in euros as of 1 January helping your customers to familiarise themselves with 2002. Finally, do not forget to diink about the ques­ these coins and notes. It is therefore essential that you tion of psychological prices and rounded prices in prepare for this right now, especially as the people euros: do not wait until die last minute to adapt your and organisations who could advise you will be in business strategy. increasing demand as the deadline approaches. Here we summarise for you die most important aspects 4) Introduction of euro notes and coins involved. Book-money payments in euros (transfers, cheques, cards) have been possible since 1 January 1999, while 1) Managing the euro in your business euro notes and coins will be used as from 1 January Your business is unique. It is therefore for you to 2002. At the end of the dual circulation period, which decide how to organise it. Nevertheless, you will not will be at die end of February at die latest, only die be alone in this regard, as many partners (trade asso­ euro can be used. Starter kits will be distributed to ciations, Euro Info Centres, financial bodies, etc.) can shopkeepers with a view to facilitating the introduc­ help you devise solutions. You should set about diis tion of notes and coins, aldiough you will have to without delay, e.g., by starting to convert some of assess your supply requirements after 1 January 2002 your current prices into euros and by having dual dis­ in order to be in a position to give change in euros. It plays of prices. Remember that only the official is well to remember that euro coins have a "national" conversion rate should be used. face but that this will not prevent them from being used throughout the euro area. Also make sure to set 2) Communicating with your customers aside somewhere other dian your cash register where You should not underestimate your customers' reac­ you will be able to store the national currency before tions. Some of them will be enthusiastic while others sending it to die bank responsible for wididrawing it will perhaps be more worried. Whatever their reac­ from circulation. You should also ascertain from your tions, your customers will expect to receive practical insurance company what additional measures, if any, information from you and they will need to be reas­ should be taken if you find yourself holding more sured regarding the transparency of the transactions cash than usual during diis period. It is at this stage, involved. You will therefore need to explain to them when you have to handle two currencies, that you will the current conversion and rounding rules, apply appreciate the extent of your own preparedness as these scrupulously and show customers that conver­ well as diat of your customers. sion does not involve any price increases. Do not hesitate to use more than one method of communi­ 5) Relations with your staff, business partners and cation (explanations, folders, displays). You can also financial institutions subscribe to a voluntary code of good conduct which Like yourself, your staff will need to field customers' will enable you to put up a confidence logo (euro- queries. They should therefore be able to explain die logo) in your shop. main features involved (conversion rate, rounding rules, payment methods, etc.). Do not hesitate diere­ M*· 3) Converting prices into euros fore to include them right now in die transition All your prices (in your shop, your catalogue or on process, especially as diey themselves will be seeking ^ »οο your price list) will have to be displayed in euros by information from you too (conversion of pay, bonus­ 0 1 January 2002 at the latest. In Greece and Austria, es, etc.). Your main suppliers and business partners ι* dual display of prices will be compulsory during themselves will probably not wait until die last 2001. Therefore, do not wait until the last minute: minute to finalise their switchover to die euro. It is instead, proceed by stages, adopting dual display of therefore essential that you consult them about their prices for your most important products so that you, timetable right now, so that you will be in a position your staff and your customers will get used to these to prepare for it. Your accounts are not die only prices. In each case make sure diat the conversion aspect involved: you will have to be alile to negotiate and rounding rules are correct and, where necessary, your prices in euros. As regards relations widi your

Infot mallon Programme fol' ibi· European Citizen ~4~\EN The Citizens' euro

bank and accountant, you should make sure to What you should do: enquire in particular about the availability of starter • Think about the euro right away and decide when kits and about the practical aspects of managing the you intend to take measures and which ones. euro in your accounts. You should take into account • Have your prices converted into euros by 1 January the possible consequences of an accounting year 2002 at the latest. which is different from the calendar year. If you settle • Always use the exact conversion rate. these questions right now, you will be able to focus on • Ask your staff to familiarise themselves with the your customers during the second half of 2001. euro. • Ensure that your technical equipment (payment To sum up, as has been emphasised in particular by terminals, scales, etc.) is adapted in good time. the Association for the Monetary Union of Europe • Think of the practical aspects of handling two cur­ ('), only you can make the euro a success in your busi­ rencies during the dual circulation period. ness. You should therefore always keep in mind the • Ensure transparency for your customers. following: • Keep an eye on what your competitors are doing. • Talk about the euro with your business partners What you should not do: and financial institutions. • Wait for the introduction of euro notes and coins before making your own preparations. Two useful sites: • Imagine that you will be able to convert all your Eurochambres: http://www.eurochambres.be/ prices into euros in just one or two days. Eurocommerce: http: www.eurocommerce.be/ • Worry about not being able to cope with the changeover to the euro. (Most of the measures will be easy if you take them soon enough.) • Use the euro to increase prices surreptitiously. • Prevent your customers from using the euro. • Expect your customers to know everything about (I) The site of the Association for the Monetary Union of the euro before using it. Europe (AMUE) contains practical guidance in this matter, • Become impatient if your staff have questions which was prepared with an eye to specific national conditions: for you. http://www.nmne.org

ous PRÊTS POUR L- URO CD-ROM CO-ROM. which has been specially designed for very small firms. It covers six topics such as conversion and rounding, dual display of for very small prices and means of payment. Each topic can be covered in ten firms minutes, although this does not prevent the user from going into the Among the many initiatives matter in greater detail. Progress is guided by a "Super Euro" taken in the countries mascot. The CD also has a game with four problem levels designed participating in the euro, the to familiarise users with handling the euro during the dual circulation one by the French Euro Info period. With every fourth customer on average, the shopkeeper Centres is particularly receives payment in French francs or mixed currencies. He obviously interesting. Coordinated by the Bordeaux EIC, an eight-centre has to give change in euros. A total of 250 000 CD-ROMs have been steering group (Dijon, Versailles, Paris CCI, Chalons en Champagne, distributed free of charge by the EICs and through branches of Rouen, Orléans and Lille) has been offering the Tous prêts pour l'euro Société Générale. ■

¡rif orm a t ¡on Programme for thy Eurttptûfi i.midi In the field In the field

Useful sites Elements of the national cash changeover plans Government plans. European institutions European Commission: http://europa.eu.inl/euro/ Sub-frondoading Fron t loadi η μ financial Frondoading Free-of-charge * Denominations of End-date of Withdrawal Exchange at banks Redemption ** European Parliament: http://www.europarl.eu.int/ cash-in- coins to public exchange by banks notes at ATMs legal tender of national coins after legal tender after legal tender European Central Bank: http://www.ecb.int/ institutions transit/retailers

No limit for: notes Xotes: from By banks CIT: 1/9/2001 until 28/2/02; 28/2/2002, Notes: indefinitely Participating countries: November 2001 15/12/2001 € (5), 20, 50 under control of BNB 31/12/2002 Belgium Retailers: 1/12/2001 note-coin by deposit midnight Coins: end 2004 http://euro.fgov.be/ Coins: 1/9/2001 until 31/12/02 and Belgian Mint http://www.bnb.be At least until 28/2/2002. Subject to each € 5, 10, 20, 31/12/2001 By banks. Storage Germany 1/9/2001 1/9/2001 17/12/2001 Effort for flexibility Indefinitely bank's decision 50 mosdv in special BBK facilities http://www.bundesfinanzministerium.de/ thereafter. http://www.bundesbank.de/ Through BoG and Positive; period Notes: 10 years Greece 1/10/2001 1/12/2001 17/12/2001 No limit € 20, 50 mosdv 28/2/2002 http://www.mof-glk.gr/ Treasury branches. to be denned Coins: 2 years http://www.bankofgreece.gr/en/ CIT and large Following the same Notes: 1/11/2001 retailers: 1/9/2001 €10,20, 50 or Notes and coins : Spain 15/12/2001 No limit 28/2/2002 procedure used for the 30/6/2002 Coins: 1/9/2001 Small retailers: € 20, 50 indefinitely distribution of € coins http://www.euro.meh.es/ Dec 2001 http://www.bde.es/

CIT (notes) and Standardised Notes: 1/12/2001 17/2/2002 Notes: 10 years France retailers: Dec. 2001 14/12/2001 No limit € 10 and 20 mosdv packing for retailers; 30/6/2002 Coins: 1/9/2001 midnight Coins: 3 years http://www.finances.gouv.fr/euro/ CIT (coins): 1/9/2001 storage BdF http://www.banaue-france.fr/ Up to an overall Notes: 15/11/2001 € 10 and 20 9/2/2002 For a period Ireland From 1/9/2001 17/12/2001 total of at least IEP Indefinitely Coins earlier predominandv midnight not yet specified http://www.irigov.ie/ecbi-euro/ 500 per individual http://www.centralbank.ie/ Banks and post offices Recommendation Banks to continue Retailers: €50 and 10 or 50 and 100 lire coins to be Notes: 15/11/2001 15/12/2001 € 500. No limit on 28/2/2002 the exchange on a 10 vears final days of 2001 €20 and 10 withdrawn before 2002 http://www.tesoro.it/Euro/ Coins: 1/9/2001 one day notice voluntan- basis http://www.bancaditalia.it/ Notes and coins Free for clients; free € 20, 50 or 100; By banks under Notes: indefinitely Luxembourg (banks and post offices): 1/9/2001 15/12/2001 for non-clients in - € 5 and 10 in 28/2/2002 30/6/2002 BCL control Coins: end 2004 http://www.etat.lu/FI/ 1/9/2001 the € change centres selected ATMs http://www.bcl.lu/html/fr/index.html By banks and NCB. Retailers: 17/12/2001 17/12/2001: Retailers can use a free For training No limit until 31/12/2002 (banks may End-date: free kits for 28/1/2002 collection service. With a Netherlands Notes and coins: 1/12/2001 purposes small 1/4/2002; exchange €5, 10,20,50 charge for the exchange notes 1/1/2032; those over 6 years; midnight phone call the guilder coins quantities in via bank account as from 1/4/2002) coins 1/1/2007 will be collected within October larger kits forsale http://www.euro.nl/ 3 days at the shop premises. http://www.dnb.nl/ By banks and CIT To be decided Recommended Austria Notes and coins: 1/9/2001 1/9/2001 17/12/2001 €10 and 100 28/2/2002 under control of the individually by banks Indefinitely ATS 50 000 http://www.euro.gv.at/ OeNB and the Mint after 28/2/2002 http://www.oenb.co.at/

Notes : 1/10/2001 Retailers: Storage in special Notes: 20\ears Portugal 17/12/2001 Free for clients €5, 10,20,50 28/2/2002 30/6/2002 facilities Coins: end' 2002 http://www.infoeuro.pt/ Coins : 1/9/2001 1/12/2001 http://www.bDortugai.ot/ CIT. Notes and Packs 1 piece of coins: 1/9/2001 Storage in special To be decided Notes and coins: Finland Notes and coins : 1/9/2001 each coin at face No limit € 20 and 50 28/2/2002 Retailers : start facilities individually by banks ten vears http://www.euro.fi/ December 2001 value: 15/12/2001 http://www.bof.fi/

Information Programme Tor clients. "At central hanks. "*ln line with the "Joint declaration" the use ofD.XI banknotes andcoins is allowed at least miri! 2S/2 2002 Information Programme tor the European Citizen for the European Citizen

6 EN F.s\7~ The euro and Member States

Communication plans of the euro-area Member States

Belgium: the "Master Plan" In Belgium the preparations for the euro began in event; and in December regarding early supply the summer of 1996 and the General Euro of notes and coins to the general public and the Commission was set up several months later. From scenario for their introduction. the outset, communication has been one of the main features of the campaigns undertaken in particular by • Companies and especially SMEs, self­employed the COM EURO COM Group, which, among people and microenterprises during the same peri­ other things, has the task of coordinating all the var­ od: An awareness­raising letter was sent to all firms ious campaigns. The overall objective is not to in December 2000 by the Ministry of Economic persuade Belgian citizens of the usefulness of the Affairs. There will be a follow­up to the eurolabel euro (as polls show that the euro is fully accepted in campaign during 2001 and conferences will be Belgium) but rather to guide and influence the organised throughout the year in collaboration behaviour of the population so that the changeover with trade associations. will take place under optimal conditions. • Vulnerable sections of the population through­ Following a very active phase during 1998 and the out 2001: A second phase relating to the first half of 1999, the communication initiatives have distribution of free converters has been initiated become far less frequent. However, while the general for the elderly (VIPO) and talking converters public has sometimes had the impression of an infor­ have been made available to the partially sighted mation overdose, surveys show that actual knowledge and blind people. Moreover, Belgium is extend­ of the euro is still limited as regards not only the ing in various ways the "'euro­easy" operation timetable for its introduction but also its practical launched by the European Commission. characteristics. The Master Plan 2001, which is guiding official The overall objectives of this plan, which is being Belgian communication policy for backed up by many private initiatives, are: "Bientôt l'euro the introduction of the euro, has • to provide detailed knowledge of the practical remplacera le franc" three priority targets: rules for the euro; • to encourage all sections of the Belgian popula­ • The general public, whose tion to make regular use of the euro; awareness has been raised since • to teach people to think, speak and count in "Straks vervangt de the end of last year and will be euros, with very special attention to the most vul­ raised throughout 2001, with a nerable members of society; euro de frank" peak occurring during the fourth • to give practical expression to the implications of quarter: The tools used include the dual circulation period; the Internet site of the Federal Information • to provide targeted and clear information regard­ Service (in particular FAQs), the federal govern­ ing the changeover to euro book money and ment's freephone number and distribution of a regarding the practical aspects of the changeover sixth folder. Four aspects were selected in connec­ to euro notes and coins (the duration of the dual tion with the launch of information campaigns circulation period, the "euro minikit" for private directed at the general public: in June prior to the individuals, the "euro staiterkit" for professionals, launch of the scenario for an early changeover to supplies of the currency, the period during which the euro; in September before the "piggy bank" national currencies can be changed, etc.).

Netherlands: a proactive campaign The National Forum on the Introduction of the questions relating to local authority taxes are put Euro (NFE) was launched in 1996 with a commu­ to local authorities while questions which concern nication forum. The communication campaign insurance are put to insurers. These organisations proper began in 1998 with the objective of ensur­ rely in turn on the NFE. At the same time, the ing a smooth introduction of the euro with the aid NFE has identified several target groups which of clear, targeted and effective information. The require extra support: companies, people with conversion of guilders into euros affects all aspects disabilities, ethnic minorities, schools, the elderly of social life, and this requires that each citizen and the homeless. Specific initiatives are should be informed in good time regarding the planned for them. consequences of the changeover. Since then, the NFE has been working directly with the general During 2000 the information campaign pursued public and through intermediate organisations. the three major objectives of: Each organisation is responsible for the informa­ • maintaining the level of information; tion it relays to its own contacts, who therefore • raising awareness; Information Programme know where to go in order to find it. For example, • encouraging preparations. fur the Europeitn Citizen ~s] ι v The euro and Member States

The messages focused on two aspects: the value of coordinated manner and is integrated with the the euro and the participating countries together campaign of the European Central Bank. with a mnemonic message, "DING FLOF BIPS", made up of the initial letter of each country in Specific information is being disseminated accord­ Dutch. This campaign was aimed primarily at the ing to a precise timetable: intrinsic value and target groups referred to above. Special efforts purchasing power from January to April; dual dis­ (advertising in the press and audiovisual media, play of prices during May/June; pilot studies, work with intermediaries) were made holidays and foreign coins in in relation to companies with the aim of having the July/August; the changeover and large ones ready in July 2000 and SMEs ready in early supply scenario for coins "DING FLOF BIPS" January 2001. In addition, various instruments from September to December. were used such as information stands at exhibitions The campaign will be based on and a special exhibition at the Mint Museum. 60­ to 120­second TV commercials showing people in various situations. In particular, there are three The 2001 campaign is more focused as regards the target groups: the elderly, the mentally disabled and provision of information. Its strong points are the people without a fixed address. During the same countdown, boosting confidence in the euro, assis­ period, a proactive public relations campaign will be tance with preparation, and information regarding undertaken with a view to exploiting free advertising distribution methods and the authenticity of notes opportunities. The principal actors are the Ministry and coins. The campaign is being conducted in a of Finance and die President of the ECB.

Spain: targeted campaigns The Spanish communication campaign is being involved in the changeover; the timetable; no coordinated by the Directorate­General of the price changes; calculations in euros. Treasury and Financial Policy Department of the Ministry of Economic Affairs. During 1999 and • Firms: The aim is to encourage them to adapt to 2000 it pursued three main objectives: informing the new currency, e.g. by promoting use of the and familiarising the public with the euro; euro in all their business and accounting relations encouraging adaptation by SMEs to the new cur­ so that they will be ready to use only the euro in rency; and devoting special attention to the 2002. The basic message is clear: prepare now social groups with the greatest adaptation diffi­ because the process takes a long time. In the case culties. A specific strategy was conducted on the of SMEs in particular, many information chan­ basis of these general objectives. For instance, nels are used and these include intermediaries public attention was drawn in particular to the such as chambers of commerce, associations and new scale of values through several traditional tax consultants. channels and by means of direct marketing oper­ ations, including a "eurotrain" with an exhibition • Retailers: As they have daily contact with con­ on the euro. Another example relates to vulnera­ sumers, they have an essential role to play. ble groups: the awareness of people in rural areas Communication is focused on the Code of Good was raised by "curomobile" buses, which visited Conduct and, among other 546 towns and villages. aspects, on the eurolabel for die display of prices and on "Euro: el valor The 2001 campaign is once again based on a dif­ strict compliance with the ferentiation of messages and dissemination conversion rules. de la Unión" channels, depending on the type of target audi­ ence involved. The most effective communication Vulnerable groups: Although these groups are tools such as the euromobile bus and teams of exposed to the information distributed to society trainers for vulnerable social groups have been as a whole, campaigns directed specifically at maintained, and new initiatives will be under­ them are planned in 2001, mainly during the last taken from now until the end of the transitional three months of the year. period. Generally speaking, the messages for 2001 are very specific, practical and informative. Rural areas: 3 000 municipalities covering 5% The main target groups are: of the population do not have access to a bank­ ing service. Suitable support is being given to • The general public: The basic aim is to provide local authorities and the general public. sufficient information so diat individuals will be able to use the euro for dieir day­to­day needs as The tools: The telephone line, Web pages, the from 1 January 2002. A climate of trust must traditional media and all available channels will be created if there is to be a smooth transition. be used for die same message: "If you have any The main aspects include: the procedures doubts regarding the euro, please contact us. " information Programme for the European Citizei ΕΧΪΊΓ In the field

STEP1 participants (as of January 2001)

Bayerische Hypo-Vereinsbank, Commerzbank, Deutsche Bank, Deutsche Genossenschaftsbank, Dresdner Bank, Westdeutsche Landesbank

National Australia Bank (U.K.)

ø^a Bank Austria, Raiffeisen Zentralbank Österreich

■ ■ Banque Bruxelles Lambert, Fortis Bank, KBC Bank, Lloyds TSB Bank Belgium

Danske Bank, Sydbank, Unibank STEP1 : A new tool for cross-border transfers of small euro amounts Banco Atlántico, Banco Bilbao Vizcaya Argentaría, Launched by the Euro Banking Association (EBA) on Banco Cooperativo Español, Banco Español de Crédito, 20 November last year, STEP1 aims at facilitating Banco Guipuzcoano, international transfers of small amounts. Eventually, Banco Herrero, Banco Pastor, Banco Popular Español, Banco de this should help to make them less expensive. Sabadell, Banco Santander Central Hispano, Caixa d'Estalvis i Pensions de Barcelona, Caja de Assume that you live in Frankfurt and that you to contributing to reducing the cost of processing Ahorros de Galicia, Caja Madrid, have to transfer 2 000 euros to Spain for your next orders, the three main objectives of STEP 1 are: Confederación Española de Cajas holiday. Technically, this is not complicated. In de Ahorros practice, however, the transfer could cost you a • to offer direct access to a sufficient number of great deal. WTiile the single market has been a real­ banks without any size restriction (the only cri­ ity for years and while the euro has been in terion required is recognition as a financial Bank of America (Netherlands), existence for more than two years, cross­border institution in one of the EU countries). Nearly Chase Manhattan Bank (Germany), transfers of small amounts are not as simple or as 100 banks joined STEP 1 at the outset and new Citibank (U.K.), First Union inexpensive as national transfers. That said, the sit­ National Bank (U.K.). groups of participants are integrated every three uation is changing, especially under pressure from months. The current network covers all coun­ the European Commission, the European Central tries of the euro area and beyond; Aktia Savings Bank, Bank and governments anxious to make the use of Leonia Bank, Merita Bank, the euro easier and less expensive for individuals. • to simplify cash management: The institutions OKOBank participating in STEP 1 benefit from a reduction Even if the situation on the ground is not always in and standardisation of payment periods. The clear to consumers, the financial instiuitions have procedures are simple; II Banque Worms, BNP Paribas, realised that it is important to facilitate use of the Caisse Nationale de Crédit euro by both their business customers and their • to organise automatic processing of payments Agricole, CDC Finance - CDC Ixis, ordinary customers. On 20 November last year, the between accounts: STEP 1 uses the "Eurol" Crédit Commercial de France, Euro Banking Association (EBA) officially technology, which was developed by Swift tor Crédit Industriel et Commercial, launched STEP1, a cross­border clearing system the EBA and is already used for transfers of large Crédit Lyonnais, Crédit Mutuel, for the payment of small euro amounts. In addition amounts and by financial markets.

in fú rni α lion Programme for the European Citizen 10] ES In the field

Three conditions The demand for this kind of transfer is increasing, in line with the growth of cross­border trade Three conditions have to be met if a bank is to send denominated in euros. The necessary changes have a customer's transfer via STEP 1: to be made by the banks and this penalises the largest ones in particular. STEP 1 will reach cruis­ Crédit Mutuel de Bretagne, Natexis 1. The transfer must be effected from one account ing speed during the first few weeks of 2002. Banques Populaires, Société Générale Union de Banques à Paris to another on an order by a bank customer According to Olivier Mas, President of the EBA, (commercial transfer). the total volume of transactions involved and therefore the potential market should exceed one 2. The payment order must not be so urgent that it EFG Eurobank, National Bank million per day after 2002. In order to be in a posi­ of Greece has to be transmitted the same day tion to cope with this explosion in demand, STEP1 3. The amount of the payment must be less than has been designed to be evolutionary, especially in EUR 50 000. technological terms. However, the first few months Allied Irish Banks, Bank of Ireland of use have already shown that the system works II very well. Banca del Fucino, Banca II Agricola Mantovana, Banca Commerciale Italiana, Banca Intesa, Banca del Piemonte, Banca delle Marche, Banca Monte dei Paschi di Siena, Banca Nazionale del Lavoro, Banca Popolare dell' Emilia Romagna, Banca Popolare di Milano Banca Popolare di Sondrio, Banca Popolare di Verona, Banca di Roma The ECB lays down SanPaolo IMI, Unicredito Italiano |_5_J Bank of Tokyo-Mitsubishi the principles for (Germany) frontloading banknotes Banque et Caisse d'Epargne outside the euro-area de l'État, Banque Internationale à Luxembourg, Caisse Centrale The question of frontloading euro banknotes concerns not only banks established within the euro­ Raiffeisen, Kredietbank area but also, to a lesser extent, banks located outside the area. As was noted previously in Infiltro Luxembourgeoise by Eugenio Domingo Solans, a member of die ECB Executive Board, "circulation of banknotes out­ side the euro area is quite natural and depends on the free choice of the economic operators involved". On the basis of the principle that supplying banknotes to credit instiuitions not located in the Den norske Bank (U.K.) euro­area will contribute to a smoother cash changeover in 2002, the Governing Council of the European Central Bank therefore adopted last December three general principles for the distribution of frontloaded euro banknotes outside the euro area: ABN-AMRO Bank. ING Bank, Rabobank Nederland 1) Credit institutions which are counterparties for monetary policy operations within the Eurosystem will be allowed to distribute frontloaded euro banknotes to their branches or headquarters, as appropriate, located outside the euro­area. The general conditions of front­ Banco Comercial Português, loading indicated in August 2000 (0 apply accordingly. Banco Espírito Santo, Caixa Geral de Depósitos 2) Credit institutions with their main place of business inside the euro­area will in turn be allowed to sub­frontload to their subsidiaries that are also credit institutions and are located ^l^ outside die euro­area or to other credit institutions which have neither their registered office Bank of Scotland, Barclays Bank, nor their head office inside the euro­area. The financial procedures indicated in August 2000 Sl^ HSBC Bank, Lloyds TSB Bank, are to be applied equally for such sub­frontloading outside the euro­area. National Westminster Bank, Royal Bank of Scotland, Standard 3) Branches, headquarters and subsidiaries of credit institutions based in the euro­area, as well as Chartered Bank other credit institutions located outside the euro­area, to which euro banknotes would be distributed or sub­frontloaded, as appropriate, are not allowed to further sub­frontload euro banknotes to any third parties whatsoever. Nordbanken, Skandinaviska Enskilda Banken, Svenska (1) On 3 August 2000 the Governing Council adopted general principles governing the financial procedures applicable Handelsbanken, Swedbank to credit institutions in connection with the changeover to euro banknotes and coins in 2002. These decisions took into account the major role that credit institutions will play in making the 2002 cash changeover a smooth operation. They related to debiting cash, coverage of risks, frontloading and sub­frontloading. α UBS AG (Germany)

Information Programme for the European Citizen In the field

The Catholic Church in Portugal is cooperating with the National Euro Commission The approach adopted in this instance is, to say the least, an original one. In Portugal the Catholic Church and the National Euro Commission are cooperating closely with a view to facilitating the changeover to the euro for private individuals.

About i Inf€uro

wo is published six times lear in the 11 EU official Figuages by the European Following a meeting between Bishop Dom of the new currency in Portugal. In addition, the bmmission's programme Tomaz Silva Nunes, Secretary of the Conference Church is well placed to inform the most disad• FEuro: one currency for Europe". of Portuguese Bishops (CEP), and Consiglieri vantaged sections of the population. Pedroso, President of the National Euro ' Production and layout: Commission, a memorandum containing the The National Euro Commission is providing die De Visu Digital Document points relating to cooperationwas sent to the CEP various dioceses with all the necessary information Design, Brussels during the first half of 2000 in view of the "role material and intends, where necessary, to conduct which the Church can play as regards information, campaigns aimed at raising awareness and at train• Coordinator: especially for the most vulnerable members of society". ing trainers. It has also suggested that, at the end of SCAT - Juan Areas, Brussels The memorandum considered that the disruption the eucharistie celebrations and during the period Translations: ISO, Brussels caused by the introduction of the euro "especially usually devoted by priests to short announcements, at the end of 2001 and at the beginning of 2002 would the priests should refer in very simple terms to the Editorial coordination : tend to increase in inverse proportion to the extent of basic characteristics of the euro, e.g. by saying Synedi, Brussels information given to the population" and that "all "euro notes and coins will not begin to circulate until with the editorial collaboration groups in Portuguese society should be mobilised in January 2002" or "escudo notes and coins will stop of: Benoît July and ECO-European connection with this national and European project". circulating on 1 March 2002 at the latest". These Communications, Brussels. The prelates who attended the CEP plenary warnings should serve, on the one hand, to put the assembly in May therefore decided to lend the most vulnerable members of society on their guard Neither the European Church's support in accordance with procedures against the swindles which have already taken place Commission nor any person acting on behalf of the to be determined in cooperation with the bishop in some parts of the country and, on the other Commission is responsible of each diocese. hand, to protect them against any such swindles for the use which may in the future. be made of the information The various approaches undertaken by the contained in this publication. National Euro Commission in relation to the The responses received so far from the various prelates of all twenty dioceses in Portugal subse• dioceses, the designation of their preferential quently led to cooperation which should be very interlocutors for the National Euro Commission, fruitful because of the position of the Catholic the dispatch - at their request - of the most varied Church in Portugal. Its strong presence enables it kinds of information material to the dioceses, and to play a major role through priests, dioceses, lay a permanent presence, especially through both organisations and other channels in the context of correspondence and personal contacts, should the major challenge presented by the distribution ensure that this initiative will be effective.

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