I wish to advise you that Morrison Utility Services Ireland, whose parent company is (AWG Plc), has acquired TE Services Limited.  AWG employs nearly 10,000 staff throughout the UK. Its subsidiary, Morrison, provides a wide range of infrastructure related support capabilities ranging from construction to utility services and also has a presence in Ireland in the water business.

We have been advised that the company will continue to trade as TE Services.  As part of the deal and to honour a commitment made by the shareholders at the time that TESL was established, I wish to confirm that an Approved Profit Sharing Scheme (APSS) will be set up for eligible Irish staff and a bonus in lieu of shares to eligible UK employees.

To facilitate the payment of Irish employees in the most tax efficient way it is intended to establish an Approved Profit Sharing Scheme (APSS). Eligible employees will be those with one year’s continuous employment on the 30th November 2005. They will receive appropriations of shares in AWG Plc, which is the ultimate parent company. Once the Revenue Commissioners approve the establishment of an APSS, AWG shares will be appropriated on a flat rate and all participants will be treated on similar terms. The shares are then individually held in the APSS for three years after which time they can be distributed with no liability for income tax. All of this is subject to Revenue Approval.

As UK employees do not qualify to participate in the APSS under Irish tax legislation it is intended that in lieu of shares that qualifying UK employees will be paid a bonus via payroll. The Union is in discussion with Morrisson to see if the UK employees can participate in the Company’s share buy scheme.

I would like to take this opportunity to wish Morrison well and look forward to building on the strong relationship that we have developed to date. I would also like to publicly thank Gerry Ruane Sectoral Executive member for the sterling work he has done in concluding such a groundbreaking agreement, which will be of tremendous benefit to our members in TE Services.