The European Commission has said that it will closely examine the State aid implications of the proposed merger between German banks, WestLB and BayernLB. Both banks have received substantial State aid in the form of a capital injection and a risk shield conditional upon undergoing intensive restructuring to restore long-term viability. “Given that both banks are under restructuring process, a merger itself may not automatically result in restoration of their long-term viability”, Commissioner Almunia said in a press statement dated 21 September 2010.