SCOTT
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15
As we did not see the agreement between Rediffusion
and the consortium until late yesterday, we
have not yet studied it carefully. We started off this morning with a misunderstanding that
Rediffusion would lend $70 million to the reconstituted
RTV, but we now understand that this sum is actually part of the existing debt owed by RTV to Rediffusion (London) and will be repayable subject to certain conditions. Before we understood this, we were thinking there must be some side arrangement
that we did not know of. Nevertheless, all that is now clear, I have to put to you the question is there any other related or lateral arrangement between the consortium or any company in the
consortium and Rediffusion?
VERNON
Well certainly not as far as we are aware. There
have been no side deals and our solicitor can
make available our files for your examination.
They will show that we have not made any side deals in our negotiations.
TERRY
The main documents we have drawn up are the heads of agreement. These will be changed into a legal document later on. With the exception of the land matter, there are really no other separate conditions. There is the separate matter of the 70 million subordinated loan. There will be
agreements to cover shares, the subordinated loan and the land acquisition arrangement.