Arbitration for S&N / Carlsberg dispute

December 6, 2007: Scottish & Newcastle has welcomed the appointment of a chairman for an arbitration tribunal which will rule on the firm's claim that Carlsberg has breached the shareholders' agreement relating to the pair's joint venture, Baltic Beverages Holding (BBH).

S&N's case is against Carlsberg A/S's wholly-owned subsidiary Pripps-Ringnes AB, for breaches of the BBH shareholders' agreement. A decision is expected by the end of June 2008. Arbitration decisions cannot be appealed against, except on procedural grounds.

The board of S&N is confident that the Arbitral Tribunal will confirm its claims under the BBH shareholders' agreement — which is claims Carlsberg breached by joining with Heineken to make a bid for S&N — and that S&N will, therefore, have the opportunity to take control of BBH.

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