Culture, Media and Sport CommitteeWritten evidence submitted by James Saunders, Saunders Law Ltd

As previously advised, I am instructed by Mr Chapman in relation to his appearance before your Committee next Tuesday 6 September, and matters generally arising from his employment by News International.

It has been variously reported in the media that on resigning from News International Mr Chapman became entitled to a severance payment of some £1.6 million, payable in such a manner that he will not have received the full sum by 6 September.

In view of the innuendo inherent in such reporting, may I inform you that the payment provided for in Mr Chapman's compromise agreement with News International was a small fraction of £1.6 million, and I understand that News International had settled in full by 18 August 2011. For completeness, Mr Chapman continues to have the benefit of company private medical insurance until September 2012.

I have not copied this letter to others, and am happy to leave it within your discretion as to whether it should be on the published record.

1 September 2011