Proposed Amendments to the German Financial Market Stabilization Program

This Alert Memo discusses the proposed amendments to the German Financial Market Stabilization Program which are scheduled to be completed by April 3, 2009. These amendments include, among other things, as a means of last resort to prevent the collapse of financial institutions that are critical to the functioning of the financial market the temporary authorization of the German government to nationalize such financial institutions through expropriation. The German government has further proposed certain amendments to the currently available stabilization measures, such as extensions of time limits and certain means of facilitating recapitalization measures.