TNAG-2826-FCO40-4079-Investment-Protection-and-Promotion-Agreements-(IPPA)-betwee-1993 — Page 172

(b)

the

definition

CONFIDENTIAL

of

"investment"

(Article 1(e) of

the model text and Article 1(5) of the initialled

text) was elaborated to make clear that indirectly

held investments were covered and το include additional examples;

(c)

the

(d)

final

clause

of

of

the definition

"investment", which made it clear that the term

"investment" Covers investments made both before

and after the entry into force of the IPPA, is now

a separate Article (Article 9). The Italian side

took the view that this was not a question of definition but of application of the Agreement;

for simplicity and consistency, the definition of

"investors" (Article 1 (6) of the initialled text

and Article 1(f) of the model text) refers to

"companies" as defined in Article 1(2) of the

initialled text; and

(e)

the

definition of

include an

"

"returns' was elaborated to

additional example, payment for

assistance and technical services (Article 1(7) of

the initialled text and Article 1(g) of the model

text).

ARTICLE 2

3.

Article 2 is very similar to Article 2 of the Hong Kong model text, except that at the request of the Italian delegation, the guarantee of "full protection and security"

for investments and returns

Kong model was deleted.

that this

could be more

in Article 2 (2) of the Hong

The Italian side held the view

appropriately dealt with in the

context of guarantees on treatment of investments under Article 3 of the initialled IPPA (see paragraph 4).

CONFIDENTIAL