EUR MERKEL/SARKOZY: Propose 'economic government' for the euro-area, headed by Van Rompuy.
SARKOZY: Aim is to reduce debts, deficits. France, Germany to propose financial-transaction tax in September.
MERKEL/SARKOZY: France, Germany to aim to harmonize corporate taxes from 2013.
EUR Merkel: Euro needs stronger economic ties
MERKEL: Reiterates France, Germany determined to strengthen euro. Says stronger euro needs stronger economic ties.
MERKEL: One 'big bang' will not solve the sovereign debt crisis, sees a 'new phase' in terms of work in the euro-area.
MERKEL: EU debt rules must take priority, EU structural funds must be aimed to boost growth.
MERKEL: Van Rompuy to oversee adherence to debt rules, says financial transaction tax is needed.
MERKEL: Germany, France aims to rebuild trust in euro, proposal to push for balanced-budget amendments.
MERKEL: Euro-bond will not 'help us now.' Says euro-bond is a last resort.
SARKOZY: Euro-bonds could be final step of integration, but wouldn't work to control debts.
SARKOZY: Bailout fund (European Financial Stability Facility) is big enough. Adjusting the pool would invite speculation.
MERKEL: Solidarity always comes with conditions.
MERKEL: Not pessimistic about German growth prospects.
SARKOZY: Reining in debts will bolster confidence, confident in French, European growth.
MERKEL: Aims to have budget rules in place by mid-2012.