HC Deb 07 March 2003 vol 400 cc1275-6W
John Mann

To ask the Secretary of State for Trade and Industry whether BNFL owns(a) BNFL Instruments Inc, (b) Manufacturing Sciences Corporation, (c) Sierra Nuclear Corporation, (d) Westinghouse Electric Company LLC and (e) ABB; and what the current market value of each company owned by BNFL is. [95967]

Mr. Wilson

BNFL owns 100 per cent. of the share capital of BNFL Instruments Inc, Manufacturing Sciences Corporation, and Sierra Nuclear Corporation. None of these entities has a material net worth in BNFL's balance sheet and there is currently no market valuation available.

BNFL acquired the Westinghouse Electric Company LLC in March 1999 for a total consideration of £641 million (which comprised a mixture of cash and liabilities assumed). This was disclosed in BNFL's annual report and accounts for 1998–99. The acquisition of ABB's nuclear business was completed in April 2000 for £300 million. This transaction is disclosed in BNFL's 1999–00 annual report and accounts and the business has now been fully integrated into the Westinghouse entity. In line with the requirements of the relevant accounting standard BNFL reviewed the carrying value of these acquisitions for potential impairment at the end of the first full financial year following acquisition. There was no evidence of impairment at that stage and there have been no subsequent events or changes in circumstances which might indicate that the carrying value may not be recoverable. This was disclosed under note 1,c in the 2002 Annual report and accounts.

John Mann

To ask the Secretary of State for Trade and Industry how many claims for compensation BNFL inc has against the United States Department of Energy; and what the total amount being claimed is. [95968]

Mr. Wilson

BNFL operates at several sites in the United States owned by the United States Department of Energy. The company were awarded contracts at the Advanced Mixed Waste Treatment Plant (AMWTP) and the East Tennessee Technology Park (ETTP) worth circa $850 million and $250 million respectively. The contractual terms at each site are different and the process for claims can also vary. The amount of formal claims BNFL has at any site therefore will vary over time and is subject to continuous negotiation. However the total can represent a reasonable percentage of the contract value and run in to millions of dollars.

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