BAe's 17 takeover pledges

By THIS IS MONEY
Updated:

 

Objectors to proposals from the Director General of Fair Trading, John Bridgeman, for a series of undertakings following the British Aerospace acquisition of Marconi Electronic Systems, will have just 14 days from today to make them known to Trade and Industry Secretary Stephen Byers.

Bridgeman has recommended that BAE Systems must agree to 17 undertakings concerning competition and national security before the takeover is allowed to go ahead.

They range from the appointment by BAE Systems of a compliance officer whose job will be to ensure that all the undertakings are me, with the Ministry of Defence and Bridgeman being kept informed of all developments.

There are a series of other requirements. Among them are assurances that the two competing teams for the multi-million pound Joint Strike Fighter must be kept in place and must not confer on the project. The same will apply to the Skynet 5 and associated satellite communications programmes, where the two independent companies have teams at work.

BAE Systems must also maintain capacity at its Clyde shipyards to build the new Type 45 destroyer.

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