To ask the Secretary of State for Transport (1) how many shares will be issued free or at a reduced price to Railtrack employees when the company's shares are put on the market; what he estimates the total value of employees' free shares and discounts will be; and how many employees will be eligible for these benefits; [38306](2) how many shares and share options will be issued free or at a reduced price to Railtrack directors when the company's shares are put on the market; what he estimates the total value of directors' free shares and discounts will be; and how many directors will be eligible for these benefits. [38305]
My right hon. Friend announced on 25 September the Railtrack employee share offers as part of the intended stock market flotation of Railtrack. The offers include:
- free shares for each eligible Railtrack employee worth approximately £160 at the offer price plus a further £2 worth of shares for each year of continuous service int eh rail industry;
- a matching offer of two free shares for every one purchased by eligible Railtrack employees up to a maximum value of approximately £250—that is, free shares of up to approximately £500;
- discount of 20 per cent. for eligible Railtrack employees on up to approximately £1,400 worth of shares at the offer price—that is, a discount of up to £280;
- priority over shares offered to the public to the value of approximately £18,000 at the offer price, including the shares purchased through the discount offer.