1. The government does not intend to release the scoping studies for SA TAB and SA Lotteries.

The scoping reports were commissioned by the government to identify and assess the financial and commercial risks to government of ownership of SA TAB and SA Lotteries and to assist in determining the government's future relationship with, and future directions of, the organisations.

The Reports contain commercially sensitive information—including possible sale prices and strategies—which could adversely impact upon any sale process and, consequently, the value of the businesses, if released publicly.

2. The SA TAB and SA Lotteries Scoping Studies were undertaken by Macquarie Corporate Finance and Bankers Trust Wolfensohn respectively and were completed in May 1998.

Final cost of the SA TAB scoping review was $129 800 and final cost of the SA Lotteries scoping Review was $133 200.

3. The sale of SA TAB and SA Lotteries is primarily aimed at enabling the businesses to remain competitive in a changing market, which will prove increasingly difficult while these entities remain owned by government.

In the context of the state Budget, it is important to recognise that with the risk environment for the businesses changing, there is no certainty whatsoever that the businesses would be able to contribute to the Budget at current levels in the future.

By selling SA TAB and SA Lotteries now, before emerging risks impact significantly on their performance and contribution to the Budget, the government will be able to achieve maximum value for the taxpayers of South Australia.

Following the sales, the Budget would benefit from much lower-risk tax revenues along with interest savings on debt retirement.

Accordingly, the government has indicated that it will proceed with a sale of SA TAB and SA Lotteries only if the resulting overall benefit to taxpayers is assessed as being greater than the value of the businesses under continued government ownership.

4. The government confirmed when announcing the sale of SA TAB and SA Lotteries that its decision on a preferred purchaser would be based on a number of factors. Price will not be the only important factor, other issues such as employment, are also very important considerations in the selection process.

The government will be encouraging bids that identify opportunities for ongoing development of the businesses and there is every possibility that this could result in additional employment.

I take this opportunity to correct the honourable member's original question. SA TAB and SA Lotteries have a total of 673 employees not the, `well over 700' suggested by the honourable member.

The government is currently negotiating with SA TAB and SA Lotteries employee representatives to mutually agree transition arrangements for employees as part of the sale of the businesses.

The government's current offer to employee representatives on the Human Resource principles to apply during a sale includes specific provisions for a guaranteed period of employment for staff transferring to the new employer.

These principles are still being discussed with the Employee Representatives and it is therefore inappropriate, at this time, to discuss the offer in more detail.