35/03

22 August 2003

STENA’S PROPOSED ACQUISITION OF P&O’S FERRY SERVICES IN THE IRISH SEA:
COMPETITION COMMISSION INVITES EVIDENCE

The OFT has today (22 August 2003) asked the Competition Commission to look into the proposed acquisition by Stena of certain routes operated by P&O on the Irish Sea.

The Commission has been asked to consider whether the proposed acquisition may be expected to result in a substantial lessening of competition in the market for the supply of ferry services from Great Britain to Ireland. The routes that would be transferred from P&O to Stena AB are from Fleetwood to Larne and Liverpool to Dublin. P&O has also announced that it intends to withdraw from its Mostyn to Dublin route. The Commission is required to publish its report by 6 February 2004.

This is only the second reference to the Commission under the provisions of the Enterprise Act 2002, which came into force on 20 June 2003.

The Commission would like to hear from all interested parties, as soon as possible, in writing, by 12 September 2003. To submit evidence, please write to:

Inquiry Secretary (Stena/P&O)
Competition Commission
New Court
48 Carey Street
LONDON WC2A 2JT

Or e-mail:

The inquiry will be chaired by Competition Commission Deputy Chairman Paul Geroski. Names of the other Commission members who will carry out this inquiry will be announced soon.

Notes to editors

1. The Enterprise Act 2002 empowers the OFT to refer to the Competition Commission completed or proposed mergers for investigation and report which create or enhance a 25% share of supply in the UK (or a substantial part thereof) or where the UK turnover associated with the enterprise being acquired is over £70m.
2. The Competition Commission has a 24 week period in which it is required to publish its report, which may be extended by no more than eight weeks if it considers that there are special reasons why the report cannot be published within that period.
3. Further information can be obtained from the Commission’s website at: http://www.competition-commission.org.uk
4. Enquiries should be directed to Francis Royle, Press Officer, Tel: 0207 271 0242

Group Members

Professor P A Geroski (Group Chairman)
Professor J Baillie
Mr E J Seddon
Mr P Stoddart
Dame Barbara Mills