Greg Harman is a senior managing director in the FTI Economic Consulting practice based in London. Mr Harman joined FTI in April 2011.
Prior to joining FTI, Mr Harman was a managing director at LECG, where he was responsible for LECG’s International Arbitration practice in Europe. Mr Harman also headed LECG’s European Finance and Accounting Services practice. Mr Harman joined LECG in September 2003.
Prior to this, he was a director in the economic consulting division of Deloitte & Touche in London and before that, he was a senior manager in Arthur Andersen’s strategic, economic, and financial consulting practice.
During his 19 years in consultancy, Mr Harman has undertaken a wide range of assignments in the UK and abroad specialising in the areas of regulation, valuation, pricing, economic and financial analysis and dispute consulting. The majority of his assignments have been in the telecommunications, media, postal, water, gas and electricity, and transport industries.
Mr Harman’s experience has included the production of independent expert reports for submission to government departments, courts, tax authorities, competition and regulatory bodies, and inclusion in international corporate transaction agreements.
Mr Harman has given oral evidence in the High Court, before American Arbitration Association and ICC Tribunals and before the UK Competition Commission.
Mr. Harman holds a BSc in Management Sciences, University of Manchester, Institute of Science and Technology and an MSc in Competition and Regulatory Economics, The City University London.
He is a Fellow of the Institute of Chartered Accountants in England and Wales.
- Provided an expert report in an International Arbitration case before the American Arbitration Association. Due to give evidence in March 2011 in front of the panel and oral evidence via deposition (8 hours). The case relates to a failed distribution agreement in sports apparel distribution sector.
- Assisted in the production of an expert report under UNCITRAL Arbitration rules relating to a loss of profits case involving a mobile phone operator in the Middle East. The work involved the development of a sophisticated financial and economic damages model of the mobile sector in the Lebanon. Worked on the case over a two year period, and gained extensive experience of estimating damages in the telecoms sector.
- Appointed as an expert in arbitration proceedings under ICC Rules in the consumer electronics market in the Middle East. Produced an expert report on issues relating to lost profits post early termination of a distribution agreement. Gave oral evidence in 2011.
- Appointed as an expert in arbitration proceedings under LCIA Arbitration Rules in the chemical sector in Greece. Produced an expert report on issues relating to breach of warranty and a negligent valuation performed by a private equity firm. The case settled before trial.
- Expert support in an arbitration under UNCITRAL rules relating to the termination of a distribution and manufacturing agreement in the music sector.
- Provided an expert report in an International Arbitration case before the American Arbitration Association. Gave oral evidence in July 2010 in front of the panel and oral evidence via deposition (9 hours). The case relates to a failed distribution agreement in the technology and electronics sector.
- Appointed as an expert in a dispute between BT and Sky relating to Pay TV. The case will be heard before the UK Competition Appeals Tribunal, and relates to the price at which BT should gain access to Sky Sports 1 & 2. Due to give evidence in May 2011.
- Provided expert evidence and testimony (1.5 days) in the Queen’s Bench Division of the Bristol Mercantile Court, on the lost profits suffered by a car dealership that acted on a negligent misrepresentation to enter into an asset acquisition agreement and a Main Dealer Agreement.
- Provided written and oral evidence for Bristol Water in front of the UK Competition Commission on its appeal of the PR09 Ofwat determination. Give oral evidence in three separate hearings.
- Produced an expert report for a 3G mobile phone operator in the UK, in a potential competition damages case, relating to mobile number portability. Developed the economic theory of damages on the case, and estimated a potential range of damages.
- Produced an expert report for a UK telecoms company in a loss of profits claim. The case was in the context of a European Telco that started trading before receiving regulatory approval.
- Provided written expert evidence, and due to provide oral evidence in the High Court in 2011, in a matter relating to a failed distribution licence pertaining to the sale of homeopathic remedies. Provided oral evidence during a mediation attempt. Due to give evidence in May 2011.
- Advising a client in the energy sector in relation to a claim for damages arising from an alleged cartel. The alleged cartel is the subject of a European Commission decision currently on appeal to the CFI.
- Provided expert written evidence for the Gibraltar Football Association before the Court of Arbitration between the GFA and the Union of European Football Associations. Was due to give oral evidence but it was decided by the parties that this was not necessary.
- Provided expert written evidence in a dispute between two football clubs. Was due to give oral evidence in an arbitration pursuant to Rule K of the rules of the Football Association. The case settled before trial.
- Assisted in the production of an expert report for an ICC Arbitration case relating to a loss of profits claim in the sports apparel market across Europe. The dispute relates to the termination of a licence, which gave the right to manufacture and distribute branded sportswear in a number of exclusive territories.
- Supported the production of an expert report for a proceeding before the Copyright Tribunal in a dispute between the BPI, a number of music service providers and four mobile network operators and the MCPS-PRS alliance. The dispute was over the terms of the license for mechanical and performing rights involved in the supply of music content online.
- Provided an expert report, following arbitration proceedings between a construction company and an African government. Produced an expert report on what constitutes a reasonable mark-up on costs to set a fair contract price.
- Produced an expert report for a large newspaper, in the context of a labour dispute. Was asked to determine whether the recorded patterns of production faults were explicable by the normal operation of random factors. It was found that certain employees were intentionally causing interruptions. The work was in the context of an industrial labour tribunal.
- Assisted in the production of an expert report for a proceeding before the High Court relating to a shareholder dispute involving Russian companies. The case related to whether certain information could be classified as being commercially confidential.
- For a large international paper manufacturer, assessed economically justifiable transfer prices in the context of a tax dispute.
- In the context of a post acquisition dispute, produced a valuation of a large international computing company.
- For a medium sized company, involved in the design, manufacture, sale and hire of high-pressure water pumps and ancillary equipment, performed work surrounding a post acquisition dispute.
- For a medium sized company, involved in the manufacture of home care and home laundry products, produced an expert accountants report surrounding a post acquisition dispute.
- In the context of a joint venture dispute, determined the value of an UK independent gas shipping company.
Valuation and Intellectual Property – Non Contentious
- Advised Sasol Gas on the value of it gas network, under different valuation approaches.
- Assisted with the separation of Transco's single Local Distribution Zone into eight regional price controls zones, which required the valuation of the individual regional zones.
- Advised the UK gas and electricity regulator on a price review of the domestic gas market, which required the valuation of BT’s gas trading business.
- Provided support to the DTI with respect to its notification of State aid to the European Commission in relation to British Energy, which required the valuation of nuclear liabilities.
- Worked on a power sector reform engagement in Central India which required the valuation of the incumbent state electricity monopoly.
- Worked on a power sector reform engagement in Northern India which required the valuation of the incumbent state electricity monopoly in whole.
- Produced a report on the value of British Gas’ brand for tax purposes.
- Produced a report on the value of a gas-fired power plant in the UK.
- Produced a report on the value of BG Transco’s regional gas assets, as at 31 March 2003 and as at 31 March 1982 for tax purposes.
- Advised a consortium of bidders on two attempted regional electricity company transactions.
- Advised a consortium of bidders on two attempted water company transactions.
- Produced a report for Postcomm valuing Royal Mail’s universal service obligation.
- Worked as advisor to the rail regulator from the period immediately prior to the regulator’s formal appointment through to the approval of initial access agreements and operator licences. Work included the valuation of Railtrack for regulatory purposes.
- Assisted in building a complex pensions block liability model for a group of investors.
- Provided advice to the IFPI on the merit of the introduction of a new form of copyright – the “Value Recognition Right” (‘VRR’) that would allow the music industry to create a commercial relationship with any company deriving value from either the sharing or storage of music.
- For a collection agency provided advice on the valuation of intellectual property and benchmarked prices for news content across different channels and product propositions.
- For a retail complex in Moscow performed a strategic evaluation of the market for expansion purposes and a valuation of the existing complex.
- For a medium sized chemical company provided valuation advice on the value of shares held in the company’s employee share scheme.
- Determined an appropriate royalty rate for the transfer of certain technologies between two medium sized companies.
- Assisted a large media company develop a framework for assessing the performance of its strategic business units using a value based management methodology.
- For a large French bank determined the value of certain non-core media investments.
- For a well-known venture capital firm provided valuation advice on the value of certain media related investments.
Telecoms and Media
- Produced a report on the value of an international mobile and fixed line phone operator.
- Advised three European Telecoms Operators on the value of their business for regulatory purposes. Valued both regulated and unregulated parts of their business and assessed their cost of capital for pricing purposes.
- Advised Kingston Communications on how the company might go about identifying their cost of capital for regulatory purposes and performed a valuation of the company’s regulated activities.
- Engaged by a mobile operator in the UK to respond to Ofcom’s consultation on call termination.
- Engaged by a mobile operator to respond to Ofcom’s consultations on mobile number portability.
- Engaged by ComReg, the Irish telecoms regulator, to review Eircom’s (the dominant provider of telecommunications services in Ireland) proposal to separate itself structurally into two separate entities, a wholesale company and a retail company. As part of this work value Eircom’s businesses on a separated basis.
- Engaged by ComReg to determine the regulatory information Eircom should provide to the regulator to ensure ComReg can fulfill its regulatory duties.
- Worked with a mobile operator to respond to Ofcom’s Mobile Liberalisation consultation.
- Worked with a 3G operator in the UK on a study of the net benefits associated with the diffusion of 3G.
- For Ofcom, developed a set of regulatory training modules on economic regulation in the communications sector in the UK.
- Developed a robust business case for a UK telecoms operator to support various strategy initiatives. The worked involved the generation of a Economic Value Added model of the businesses various activities. This work required us to understand the value drivers of a telecoms company in detail.
- Assisted a UK TV satellite and telecoms company to develop revenue and pricing strategies for a number of core activities.
- Worked for a Swedish media company to support the development of interactive TV. This work required a review of the satellite and cable markets in Sweden.
- Advised Ireland's National Television and Radio Broadcaster (RTÉ) on its regulator strategy.
- For a UK television company provided consulting advise on the economic value add (EVA) of its different operating units
- Assisted certain regulated television companies with their response to the ITC’s (the regulator) consultation paper on the value of channel 3 licences.
- Advised a sporting association on the value of certain football broadcasting rights and valued an Internet sports associated portal proposition.
- Currently advising Sasol Gas on all aspect of regulation in South Africa, particularly in relation to its gas transportation network. Advising on regulatory best practice in relation to price controls, the form of controls, the structure of controls, the value of its asset base, etc. Assisting them with their negotiations with the newly formed regulator. Developing a strategic regulatory model to help inform their regulatory decisions.
- Performed a detailed review of an electricity distribution companies in 2009 price control, to assess whether there was sufficient grounds for appeal Ofgem’s price control determination to the UK Competition Commission.
- Advised Ofgem on the RPI-X@20 review. Specifically, advising on the role of ex post regulation.
- Advised Ofgem on the RPI-X@20 review. Specifically, advising on extending rights of appeal.
- For Ofgem, performed a study on the efficiency of indirect operating costs of gas distribution companies. This work was part of Ofgem’s review of the gas distribution price control review. The study was published.
- Assisted Ofgem with their review of Transco’s (the UK gas pipeline monopoly) price control.
- Advised the UK gas and electricity regulator on an application made by British Gas Trading to rebalance its domestic gas tariffs.
- Advised Ofgem on how to calculate a suitable return on investment for the retail business.
- Provided regulatory point expertise on LECG’s audit of Ofgem’s Fourth Distribution Price Control Financial Model.
- Worked on a power sector reform engagement in Central India over a 6 month period.
- Worked on a power sector reform engagement in Northern India over a 6 month period.
- For a large US oil and gas operation performed a business review of their risk management operations.
- For a UK energy utility helped to develop the financial management reporting function to assist regulatory reporting.
- Designed and implemented a financial management information system for a UK transmission business.
- For Postcomm, produced a report on Royal Mail’s regulatory value for price control purposes.
- Advised Bristol Water on price control matters for the PR09 review.
- Advised Southern Water on its price control determination, and on whether there were grounds to appeal Ofwat’s decision to the UK Competition Commission.
- Appointed for five years as the financial and accounting advisor to WICS, the water industry regulator in Scotland.
- Advised WICS on options for the further development of competition in the water industry.
- Provided assistance to WICS in its price regulation of Scottish Water’s remaining monopoly business.
- Helped design the methodology for WICS to calculate the wholesale charges applying to pre-existing non-standard tariff agreements.
- Audited the separation between Scottish Water and its retail subsidiary, Business Stream. The review examined whether the two companies had demonstrated sufficient accounting, legal, operational and informational separation to allow Business Stream to qualify for a licence in the new competitive market.
- As part of the wider price control process, produced a report that identified and quantified the factors that constrain the size of capital investment programmes that can be delivered efficiently.
- Advised WICS on governance options of Scottish Water.
- Produced an expert report for NIAUR (the water regulator in Northern Ireland) on the efficiency of the water sector in Northern Ireland.
- Engaged by two English water and sewerage companies help them in the context of PR09, including helping them prepare to challenge the price control at the Competition Commission.
- Prepared a presentation to IEA Annual Conference on Water (2003) on the implications of Ofwat’s Periodic Review. The presentation focused on Ofwat’s cost of capital conclusions and assessed the financial and economic implications of its proposals, in terms of financial viability.
- Advised Royal Mail on its relative efficiency using panel techniques.
- Advised Royal Mail on a range of Price Control issues.
- For Postcomm, produced a report reviewing volume trends in Europe and the rest of the world and assessed the drivers of these trends.
- For Postcomm, produced a report evaluating Royal Mail’s application to be allowed to introduce zonal pricing for certain bulk products.
- For Postcomm, reviewed Royal Mail’s financial position to identify the underlying causes of weaker financial viability.
- For Postcomm, produced a report evaluating ring fencing and separation choices for the contestable parts of Royal Mail’s value chain.
- For Postcomm, produced an expert report assessing the efficiency of Royal Mail.
- For Postcomm, developed a price control financial model to determine the total level of allowable revenues over a price control and for testing different tariff structure options.
- For Postcomm, developed a set of best practice principles for allocating costs between Royal Mail’s business units and to products.
- For ComReg, asked to review the 2001 Accounting Direction and to develop a revised Accounting Direction, together with supporting explanatory material. The study was published by ComReg on 29 September 2006.
- For ComReg, in light of the Third Postal Directive, asked to determine: i) what is the most appropriate form of price regulation for the Irish market following liberalisation; ii) how should quality standards for universal service be defined, set and regulated; and iii) what steps, if any, need to be taken to secure the provision of the universal service?
- Produced two expert reports for Network Rail in response to the Office of the Rail Regulator’s conclusions for efficiency targets.
- Produced an expert report for the CAA, which provided an assessment of NATS’ labour capitalisation policy. The findings were used as an input into a price control review.
- Produced an expert report for the CAA, which provided an assessment of NATS’ revenue and cost allocation processes. The findings were used as an input into a price control review.
- Produced an expert report for the CAA, which provided an assessment of NATS’ back office efficiency. The findings were used as an input into a price control review.
- Produced an expert report for the CAA, which provided an assessment of BAA's revenue and cost allocation processes. The findings were used as an input into a price control review.
- Acted as a regulatory advisor to CAA on cost efficiency analysis.
- Acted as QA director on an engagement to provide a financial audit of Railtrack’s fixed track access allocation model.
- Advised Visa CEMEA on an effective system for selecting and incentivising acquirers, taking into account the multisided nature of the payment card market.
- Advised Visa CEMEA on how to segment countries based on a range of factors.
- Assisted a major UK Retail Bank with their credit card pricing and marketing strategy.
- Conducted a strategic review of Visa International’s pricing structure and competitive position.
- Assisted Visa International by conducting detailed market and competitor analysis and he performed a sophisticated segmentation analysis on the customer base to determine whether differential pricing could be introduced across geographical regions.
- Performed a review of IT usage within a large professional services firm.
- For a large utilities organisation reviewed the rationale for the creation of a new engineering division.
- Created a foreign subsidiary translation and consolidation model for a large plc.
- Acted as management accountant for a three month period for a market-leading pharmaceutical manufacturer.
- Performed a comprehensive support functions review for a major professional services firm.
- During a two-year period in Arthur Andersen’s audit and business advisory division, Greg was involved in the statutory audits of both public and private clients. This work also involved preparation of statutory financial statements. (1991–1992).