Financing of this proposal called for contributions from local governments—a first in France for construction of a high-speed line—and the Grand Duchy of Luxembourg. This was a favorable financial arrangement for SNCF due to low ridership projections and because the population of the towns served were below a threshold for building a high-speed line. The complexity of financing resulted in the long delay of the project. Under the government of Pierre Beregovoy (French Prime Minister from 1992 to 1993), the government refused to contribute more than 25 billion francs to the project, and limited the route to Baudrecourt, to which the Alsace region threatened to withdraw its financial contribution to the project. After long delays under the successive governments, all wanting to limit the cost of the project, a two-phase project was finally accepted by all parties, provided that commitments were made for the quick completion of the second phase.