The Hindu Business Line : Five-month saga

October 2005: British-owned Peninsular & Oriental Steam Navigation Co, that runs operations at more than 100 ports all over the world (including five in the US — New York/New Jersey, Philadelphia, Baltimore, Miami and New Orleans) announces that it has been approached for a buyout. Dubai Ports World based in United Arab Emirates is the suitor.

December 16: DP World files formal notice with the US Treasury Department of its plans to purchase P&O, including its operations in the US.

January 17, 2006: After a 30-day review, the Federal Committee on Foreign Investment in the US approves the deal. The committee comprises representatives from 12 departments and agencies.

February 10: After a bidding contest with Port of Singapore Authority, another government organisation engaged in port operations in different parts of the world, DP World wins P&O for $6.8 billion.

February 19: The Homeland Security Chief in the US defends the deal calling it "appropriate from national security standpoint".

February 21: The US President, Mr George Bush, promises to use the first veto of his presidency on any legislative attempt to block the deal.

Mid-February: Democrats and Republicans in Congress express security concerns. Several lawmakers promise legislation to kill it. The State of New Jersey and the port authorities of New York/New Jersey and Miami file lawsuits to block the sale.

February 26: The administration announces a 45-day review of security risks, hoping the delay will allow the deal to proceed.

March 8: Under the leadership of Rep. Jerry Lewis, the US House Appropriations Committee votes 62-2 to attach deal-blocking legislation to a must-pass Bill providing hurricane relief and defence funds.

The committee's chairman, a supporter of Mr Bush, however, opposes the President on the ports deal, saying: "We want to make sure that the security of our ports is in America's hands".

March 9: The UAE's ruler, Sheikh Mohammed bin Rashid al-Maktoum, announces, "Because of the strong relationship between the UAE and the US and to preserve this relationship, DP World will transfer P&O's US operations to a United States entity."

Santanu Sanyal

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