Competition Commission
12 June 2007


News Release

34/07 12 June 2007

                            SPORTECH/VERNONS MERGER

                              Statement of issues

The Competition Commission (CC) has today published an issues statement as part
of its inquiry into the anticipated acquisition by Sportech plc of the Vernons
football pools business of Ladbrokes plc.

The CC has been asked to decide whether the acquisition may be expected to
result in a substantial lessening of competition in any market or markets within
the UK for goods or services including the supply of football pools.

The acquisition would mean that Sportech, which already owns the Littlewoods and
Zetters football pools, would operate the three main football pools operators in
the UK.

The merger was referred by the Office of Fair Trading (OFT) on 3 May 2007 and
the CC is expected to report by 17 October 2007.

The issues statement follows the initial process of gathering information, views
and evidence; and identifies the specific questions and areas the inquiry is
examining. This statement will form the basis for hearings with Sportech,
Ladbrokes, and other interested parties.

The full issues statement is available on the CC website at
www.competition-commission.org.uk/inquiries/ref2007/sportech/index.htm. It
examines issues such as:

(a)   definition of the relevant markets affected by the merger;

(b)   the approach the CC will take in assessing the competitive effects of the
merger; and

(c)   the counterfactual-what may have been expected to happen in the absence of
the merger.

If the CC considers that the merger may be expected to result in a substantial
lessening of competition, it will consider whether and, if so, what remedies
might be appropriate, taking into account any customer benefits that might arise
from the acquisition. The CC will issue any remedies statement, should this be
required, at about the time it publishes its provisional findings.

The issues statement should not be seen as implying that the CC has identified
any competition concerns-the CC has yet to reach any conclusions on this
inquiry. The purpose of making the issues statement public is to inform all
interested parties and give them an opportunity to raise any further points with
the CC.

Anyone wishing to comment further on any of the issues raised is requested to do
so by 26 June 2007 by email to edwin.james@cc.gsi.gov.uk or in writing to:

Inquiry Secretary (Sportech/Vernons merger inquiry)
Victoria House
Southampton Row
London
WC1B 4AD


The CC will now continue to gather evidence in this inquiry and will publish its
provisional findings according to the administrative timetable available on the
CC website.

Notes for editors

1.      The CC is an independent public body, which carries out investigations
into mergers, markets, and the regulated industries.

2.      The Enterprise Act 2002 empowers the OFT to refer to the CC, for
investigation and report, completed or proposed mergers which would give the
merged group a share of supply in the UK (or a substantial part of the UK) of 25
per cent or more, or where the UK turnover associated with the enterprise being
acquired is over £70 million.

3.      The CC 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.
It is required to report by 17 October 2007, but intends to do so sooner.

4.      Further information on the CC and its procedures, including its policy
on the provision of information and the disclosure of evidence, can be obtained
from its website at: www.competition-commission.org.uk.

5.      Enquiries should be directed to Siobhan Allen on 020 7271 0242 (email
siobhan.allen@cc.gsi.gov.uk.




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