19. 3. 77 Official Journal of the European Communities No L 72/25 COUNCIL DECISION of 14 March 1977 concerning the changing of a tranche of a Community loan from variable to fixed rates of interest (77/232/EEC) THE COUNCIL OF THE EUROPEAN COMMUNITIES, Having regard to the Treaty establishing the European Economic Community, Having regard to Council Regulation (EEC) No 397/75 of 17 February 1975 concerning Community loans ('), and in particular the second paragraph of Article 2, and Article 3 thereof, Having regard to the proposal from the Commission, which for this purpose consulted the Monetary Committee, Whereas by Council Decision 76/322/EEC of 15 March 1976 concerning a Community loan in favour of the Italian Republic and of Ireland (?), the Commis- sion has been authorized to conclude, on behalf of the Community, a series of borrowing operations which form a package including, in particular, a variable interest rate loan of § US 300 million for five years from a syndicate of banks, as provided for by Article 1 (4), and whereas this borrowing has been made ; Whereas it is in the interests of both the Community and of the Member States benefiting from the said Decision to change the Community loans from vari- able to fixed rates of interest; Whereas the Council has therefore authorized the Commission to initiate negotiations to this end; Whereas these negotiations have made possible the first funding operation of $US 100 million, which was the subject of Council Decision 76/771/EEC (%); whereas a further operation, also for an amount of $US 100 million, would seem possible in the form of a fixed interest rate bank loan; " Whereas the financial terms of the loan to Ireland and to the Italian Republic must therefore be altered, HAS ADOPTED THIS DECISION : Article 1 The Commission shall be authorized to exercise the right to repay one tranche of $US 100 million of the (') OJ No L 46, 20. 2. 1975, p. 1, (3) OJ No L 77, 24. 3. 1976, p. 12. () OJ No L 265, 29. 9. 1976, p. 27. variable interest rate bank loan referred to in Article 1 (4) of Decision 76/322/EEC, and to take all neces- sary measures to that end. Article 2 The Commission shall be authorized to take all actions and execute all documents necessary, proper or desirable to conclude with a syndicate of banks, on behalf of the Community, an agreement for a loan denominated in US dollars on the following major terms : Form of loan : a single, overall loan contract. " Total amount : $US 100 million. Redemption : in three tranches: $US 25 million after three and a half years, $US 45 million after four and a half years, $US 30 million after five and a half years. Payment of interest : annually. Leading bank : Algemene Bank Nederland. The rate of interest shall be fixed by agreement between the Commission, or such agents as it may designate, and the syndicate of banks. Article 3 The Commission shall be authorized to conclude the necessary agreements on behalf of the Community with Ireland and the Italian Republic: — for repayment by these Member States of their portion of the proceeds of the variable interest rate bank loan to be repaid by the Community, and — to lend Ireland and the Italian Republic respec- tively three-thirteenths and ten-thirteenths of the proceeds of the borrowing operation carried out in accordance with Article 2, and in the same curren- cies and on the same terms as the said operation.