1. Member States shall submit on an annual basis a report to the Commission and the European Central Bank including information on the following aspects:
(a) the established exceptions to the principle of mandatory acceptance and their application;
(b) detailed data and assessment of the situation in the Member State as regards acceptance of payments in cash and access to cash, and the remedial measures to be taken pursuant to Articles 7 and 8;
(c) the implemented penalties including financial penalties and non-criminal fines.
2. The first annual report shall be submitted one year after the entry into force of this Regulation. Subsequent annual reports shall be submitted yearly after the date of the entry into force of this Regulation.
3. The Commission shall examine the annual reports in close consultation with the European Central Bank.