The OFT said the ‘detrimental effects' of the merger on the ad market had been reduced as ITV1's market position had declined.
The investigation found that it may be appropriate to ease CRR if a there is an effective remedy which prevents ITV1 having a dominant position in the market. One option could be to remove the requirement that ITV1 rolls over contracts so that trading deals better reflect ITV's current position. The CRR Undertakings allow buyers of advertising airtime to roll forward their pre-merger contracts, subject to annual adjustments which reflect the change in ITV1's share of advertising.
ITV said it ‘warmly welcomes the OFT's recognition of the case for change and the easing or removal of the CRR mechanism'.
The OFT may refer judgement to the Competition Commission, which makes the final decision on whether change to CRR is appropriate or not and, if it is, what form it should take.
It is asking for evidence for the investigation by 27 February 2009 be sent to CRR@oft.gsi.gov.uk.
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