10th Apr 2006 07:00
Fairplace Consulting plc ("Fairplace" or "the Company") Termination of Licence and Receipt of Deferred Consideration Further to the announcement on 30 June 2005, regarding the sale of theCompany's distance-based division to Working Transitions 2005 Limited ("WT"),Fairplace announces that it has terminated its licence arrangements with WT andreceived an accelerated payment of deferred consideration in the amount of ‚£82,500.Principal terms * Fairplace and WT have terminated the arrangements whereby WT was licensed to operate Fairplace Direct, the distance-based service provided to employees of the Company's corporate clients. The Fairplace Direct brand and distance-based service will in future be operated by Fairplace. * Fairplace has waived the right to receive licence fees based on WT's sales for the period 30 June 2008 up to a maximum total amount of ‚£50,000. * WT has provided credit notes of ‚£42,000 in relation to services delivered to Fairplace clients since 1 July 2005. * WT has paid Fairplace deferred consideration of ‚£82,500 in cash. Under the previous agreement announced on 30 June 2005, a deferred cashconsideration of a minimum of ‚£50,000 and a maximum of ‚£125,000 would have beenpayable to Fairplace, calculated by reference to the average of WT's annualpost tax profits for the years ended 30 June 2006 and 30 June 2007.The Directors of Fairplace consider that an accelerated payment of deferredconsideration in the amount of ‚£82,500 is in the Company's best interests. * WT has agreed to certain continuing restrictions in relation to Fairplace clients and consultants. Enquiries:Mark Allsup, Chairman 020 7816 0707 Fairplace Consulting plc ENDFAIRPLACE CONSULTING PLCRelated Shares:
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