Joint resolution replacing B3-1153, 1170 and 1196/91

The European Parliament,

A. aware of the need for a continuing manufacturing industry in the Community,

B. recognizing that ICI is one of the four largest chemical companies in the Community and the largest manufacturing company in the UK,

C. noting that ICI is also a major investor in R & D, having invested ECU 1 billion in this area in 1990,

D. alarmed that Hanson plc, a UK company with a record of acquiring and then breaking up companies, may be in the process of preparing a 'takeover' bid for ICI,

E. aware that Hanson plc has a very poor record in R & D,

F. concerned that there is still a possibility of such a bid being made in early August during the recess of the European Parliament and the UK Parliament, thus preventing full and proper debate on the effects of such a takeover,

G. determined to be in a position to debate the issue before a decision is made by the Commission, even if a bid is made at this time,

1. Calls on the Commission to evaluate and report on the likely effects of a takeover, not just on today's competition, but also upon future technological and economic progress in the Community and the UK, taking account of the Community's need to foster technology-based manufacturing industries that can compete with international Japanese and US companies, as outlined in Article 2 of Regulation (EEC) No. 4064/89 on the control of concentrations between undertakings;

2. Calls on the Commission consequently to investigate such a bid fully for the four-month period provided for under the merger control regulations of September 1990 and not permit any takeover on the basis of one month's summary review;

3. Also calls on the Commission to produce a report on the economic situation and the economic and social prospects of the European chemical industry and, in addition, to evaluate all the effects which company takeovers, particularly the one in question, have on industrial production and investments in research and development, in order to make possible the trouble-free development of the single market of the Community and to safeguard established social rights, notably in the field of employment and the rights of workers and retirement pensioners;

4. Instructs its President to forward this resolution to the Commission, the Council and the governments and parliaments of the Member States, and the management and trade unions of ICI.