20th Nov 2006 12:00
Office of Fair Trading20 November 2006 UNDERTAKINGS GIVEN BY BRITISH AEROSPACE PLC (SUBSEQUENTLY RE-NAMED BAE SYSTEMSPLC) TO THE SECRETARY OF STATE FOR TRADE & INDUSTRY ON 28 MARCH 2000 -CONSULTATION ON VARIATION Following a previous round of consultation on the continued relevance of theabove undertakings, the OFT has come to a provisional view that the undertakingsbe revised to reflect changes and developments in the defence sector since theywere adopted. The undertakings were given by British Aerospace plc (subsequently re-named BAESystems plc) following its acquisition of the Marconi Electronic Systemsbusiness of the General Electric Company plc in 1999. The undertakings wereaccepted by the Secretary of State for Trade and Industry on 28 March 2000 inlieu of a reference to the Competition Commission to address competition andother public interest concerns arising from the acquisition. These includedmeasures to safeguard competition at prime contractor and subcontract level andto address national security concerns arising in the defence sector. The main changes which the OFT is proposing are the removal of specificundertakings covering the avionics and shipbuilding sectors. The OFT considersthat Undertaking 9, which requires BAE SYSTEMS to make available, on request andon fair, reasonable and non-discriminatory terms, its capabilities to otherprime contractors in the defence sector, should be retained. A consultation document which lists the proposed changes in further detail andattaches the proposed revised undertakings can be found at http://www.oft.gov.uk/Business/Register+of+Orders/Mergers+undertakings/BAEconsultation.htm Representations should be made in writing by 4 December 2006 to DavidBlocksidge, Mergers Branch, Office of Fair Trading, Fleetbank House, 2-6Salisbury Square, London EC4Y 8JX, telephone 020 7211 8933, email [email protected] This information is provided by RNS The company news service from the London Stock ExchangeRelated Shares:
BAE Systems