Its german BND sitting at DE-CIX, but they fully cooperate with NSA to the point where they had to answer some ugly questions about why the fuck they helped a foreign intelligence service to literally spy on the german governement. Answer was: they don't verify what NSA queries, they automatically run the selector list and send them the data.
Yes, but as you see, that's already legal (especially if with US-involvement). This is different from that, as it contains the requirement for the provider to manipulate traffic.