Carlton/United News and Media: deadline extended for report

United Kingdom

The Competition Commission has advised the DTI that it considers that there should be an extension to the reporting date for its inquiries into the proposed merger of Carlton and UNM, which was referred on 8 February.

The proposal by Granada to acquire either Carlton or UNM was referred to the Competition Commission on 25 February. The CC considers there are important common issues, such as the degree of potential dominance in the TV advertising market, which should be examined in relation to all of the possible acquisitions now proposed. The merger would create the dominant ITV company, on national advertising revenues. The combined companies are expected to have 34 % of revenues this year, breaching the ceiling set by the Independent Television Commission at 25 %. The Commission now considers that it will report on Carlton/UNM and the Granada reference by 16 June rather than 25 February. Subsequently, on the 19th April 2000 the Competition Commission sent issues letters to the main parties in the inquiry. The issues the Commission intends to examine are:

(a) market definition

(b) TV advertising markets

(c) programming/programme production markets

(d) other matters such as benefits to the public, any gains from cost efficiency in programme production and how the parties would intend to comply with the various regulatory requirements.

(DTI Press Release P/2000/242 and Competition Commission press release 18/00)