21st Jun 2005 11:00
Office of Fair Trading21 June 2005 OFT to review National Express Group undertakings 21 June 2005 The OFT has received a request from National Express Group PLC (NationalExpress) to review undertakings it gave relating to fares on its London-Stanstedcoach service, with a view to examining whether the undertakings can be varied. The undertakings were accepted by the Secretary of State for Trade and Industryin 2000 in lieu of a reference to the Monopolies and Mergers Commission (now theCompetition Commission) to address competition concerns arising from theacquisition by National Express of Prism Rail PLC. National Express became the owner and operator of both the coach service and therail service from London to Stansted Airport. The purpose of the undertakingsis to address the loss of competition resulting from this common ownership. The undertakings provide that National Express will ensure that each farecharged for travel on a National Express Stansted coach service is no greaterthan the equivalent fare on the National Express Heathrow coach service and thatfares on the Stansted service are made available on no less favourable terms andconditions than the most favourable terms and conditions available for theHeathrow fares. With effect from end 2004, National Express has discontinued its dedicatedHeathrow coach service and instead has carried passengers to Heathrow on itsnetwork services travelling from the West and South West to Central London,which call at Heathrow. It has therefore requested the OFT to review theundertakings given in 2000 to ascertain what should be the appropriatecomparator for the Stansted service. The OFT will examine whether, for example as a result of changes anddevelopments in the market, the undertakings can be varied, removed orsuperseded. Before reaching any final decision, interested parties are invited to give theirviews to the OFT. Representations should be made in writing by 12 July 2005 to Renella Reumerman,Mergers Branch, Office of Fair Trading, Fleetbank House, 2-6 Salisbury Square,London EC4Y 8JX, telephone 020 7211 8348, email [email protected] This information is provided by RNS The company news service from the London Stock ExchangeRelated Shares:
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