Examination of Witnesses (Questions 336-339)
SIR ROY MCNULTY AND MR DOUG ANDREW
TUESDAY 11 JUNE 2002
336. Good afternoon, gentlemen. May I ask you to identify yourselves.
(Mr McNulty) Good afternoon, Madam Chairman. I am Roy McNulty, I am Chairman of the CAA.
(Mr Andrew) Good afternoon, my name is Doug Andrew, Group Director Economic Regulation, CAA.
337. We are grateful to you both for waiting. I apologise for the delay. Is there anything you would like to say that you have not said before?
(Mr McNulty) Just very briefly, Madam Chairman. Since we last appeared in front of the Committee we have published our consultation document giving our preliminary conclusions on the NATS price application. As Richard Everitt mentioned, we are awaiting the responses on that, which we have asked for by 21 June. That is the stage we are at.
338. How is NATS going to fund a shortfall in revenue if it fails to achieve an increase in charges?
(Mr McNulty) It is our view that given the situation that NATS is in, the primary onus rests on the shareholders and the financiers
339. The Government and the banks?
(Mr McNulty) The Government and the potential new investor. Richard Everitt has mentioned BAA. Some form of financial restructuring we believe is required to give NATS a sustainable financial structure for the future.