To ask the Secretary of State for Defence what stake (a) the Government and (b) Carlyle retains in QinetiQ following the initial public offering in January. (76987)

The successful Initial Public Offering (IPO) of QinetiQ took place on 10 February 2006. The Ministry of Defence (MOD) continues to own 19.3 per cent. of the ordinary shares of the company and the Carlyle Group 10.5 per cent. The MOD has also retained a special share in QinetiQ to protect the defence or security interests of the United Kingdom.

To ask the Secretary of State for Defence what percentage interest his Department retains in the profits on future disposal or revaluation of property assets of QinetiQ. (76988)

As part of the Vesting Agreement between the Ministry of Defence (MOD) and QinetiQ in 2001 a Property Clawback Agreement was signed, through which the MOD retained an interest in future profits on disposal of QinetiQ property assets, to ensure that the MOD and therefore the taxpayer, gains from past investment. A summary of this agreement, which extends until 2013, was set out in the QinetiQ Global Offer Prospectus, a copy of which was placed in the Library of the House on 26 January 2006 (see p154). Management of the QinetiQ estate is the responsibility of the company.