What's happening ?


On 15 May 2014, INSEE included SAGESS in the list of Organismes divers d'administration centrale (ODAC) (Miscellaneous central government agencies). At that stage the classification only had a statistical purpose with regard to public accounting.

On 9 August 2016, a ministerial decree (arrêté) dated 27 July 2016 was published in the Journal officiel de la République Française (Official Journal of the French Republic) which included SAGESS in the list of ODAC entities that cannot enter into loans with a term longer than 12 months or issue debt securities with a maturity exceeding such duration. This restriction will apply one year after the publication of this ministerial decree, in other words starting from 9 August 2017.

On 7 September 2016, SAGESS initiated proceedings (recours) before the Conseil d'Etat (Supreme Administrative Court). The appeal seeks to overturn the classification of SAGESS as an ODAC entity and to allow it, in accordance with its status as a private limited company (société anonyme de droit privé), to continue to finance itself independently with credit institutions (établissements de crédit) or to issue further debt securities with a maturity of more than 12 months.

Following a decision dated June19, 2017, the Supreme Administrative Court has considered that the decision on SAGESS case should be attributed to the Paris administrative Court.

The Paris administrative Court has ruled against SAGESS on January 8, 2019. SAGESS has decided to appeal against this decision on March 7, 2019.

This legal procedure has no impact on the bonds issued by SAGESS, except the confirmation of their inclusion in the european statistical data on France external debt ; furthermore, SAGESS benefits of different means to easily face its financing needs.

What's happening ?