Competition weekly news summary
28 November 2014


Conferences and Speeches

  • EU Merger Control: The Big Picture
    Sixth Annual GCR Conference, Brussels, Carles Esteva Mosso
    12 November 2014
    "In this context of recovery, M&A activity presents important opportunities for the European economy: it contributes to industry restructuring and therefore to more competitive European players, and it can be a vehicle for increased investment in the EU economy, both of which are very necessary to consolidate a healthy and sustainable recovery."
    Read full speech >

Competition

  • Commission welcomes entry into force of Cooperation Agreement with Switzerland
    28 November 2014
    The cooperation agreement in competition matters with Switzerland will enter into force on 1 December 2014. The agreement will strengthen co-operation between the Commission and the Swiss Competition Commission. This is the first time the EU concludes an agreement with a third country that will enable the two competition authorities to exchange evidence they have obtained in their respective investigations.
    Read more >

Mergers

  • Commission approves acquisition of Covidien by Medtronic, subject to conditions
    28 November 2014
    The Commission has cleared the proposed acquisition of Covidien, a global Ireland-based manufacturer of medical devices, by Medtronic, a US-based company active in medical technologies and therapies. The decision is conditional upon the divestment of Covidien's Stellarex, a promising drug coated balloon currently in development, which, once launched, would compete with Medtronic's leading drug coated balloon device In.Pact. The Commission had concerns that the transaction, as initially notified, would have removed a credible future competitor of Medtronic and reduced innovation in this area. The commitments offered by Medtronic address these concerns.
    Read more >
  • Mergers: Commission approves aerospace and defence joint venture between Airbus and Safran, subject to conditions
    26 November 2014
    The Commission has concluded that the proposed creation of a joint venture for space launchers, satellite subsystems and missile propulsion between Airbus Group N.V. of The Netherlands and Safran S.A. of France is in line with the EU Merger Regulation. Both Airbus and Safran are active in the aerospace and defence industries. The decision is conditional upon the exclusion of Safran's activities in electric satellite thrusters from the joint venture, as well as on certain supply assurance commitments. The Commission had concerns that the joint venture could have shut out Airbus' competitors or limited their access to certain supplies, as well as transmitted strategic information to Airbus. The commitments offered by Airbus and Safran address these concerns.
    Read more >

State aid

  • Commission approves state aid measures for Bulgarian First Investment Bank
    25 November 2014
    The Commission has found that liquidity measures granted by Bulgaria in favour of First Investment Bank (FIB) in Bulgaria were in line with EU state aid rules. The Commission concluded that the measures were necessary to preserve the financial stability of the Bulgarian economy and financial system. Furthermore, FIB's restructuring plan will ensure that the bank continues to be viable in the long-term without unduly distorting competition in the Single Market.
    Read more >
  • Commission approves German renewable energy law (EEG 2014) for railway sector
    25 November 2014
    The Commission has found that a German scheme promoting electricity production from renewable energy sources and benefitting railway companies is in line with EU state aid rules. The Commission concluded that the aid is limited to compensating railway companies for the opportunity costs that arise from using rail transport rather than a more polluting mode of transport, and therefore furthers common transport objectives without unduly distorting competition in the Single Market.
    Read more >
  • Commission approves German aid scheme for renewable energy (EEG 2012); orders partial recovery
    25 November 2014
    Following an in-depth investigation, the Commission has concluded that aid granted for the production of energy from renewable energy sources under the German Renewable Energy Act of 2012 (Erneuerbare-Energien-Gesetz – "EEG") was in line with EU state aid rules. The Commission has also approved the majority of reductions granted to energy-intensive companies on a surcharge to finance the support for renewables. This surcharge was imposed on electricity suppliers and passed on to end consumers (EEG-surcharge). However, a limited portion of the reductions exceeded what is permitted under EU state aid rules. The beneficiaries now have to pay this excess back to remedy the distortion of competition. The recovery only concerns 2013 and 2014.
    Read more >

Court

  • Cases T-517/09 and T-521/09 (power transformers cartel)
    27 November 2014
    The EU General Court ruled on appeals by Alstom Grid and Alstom against a Commission decison of October 2009 fining several companies for their participation in a cartel in the market for power transformers. The GC dismissed Alstom Grid's appeal and confirmed the Commission's findings in that regard. The GC also annulled the Commission's decision insofar as it concerns the parental liability of Alstom.
    Read full Alstom judgment >
    Read full Alstom Grid judgment >
    Read more about the Commission's 2009 decision >
  • Commission welcomes General Court judgment confirming its inspection powers in the area of electronic searches
    26 November 2014
    The Commission welcomes the judgment of the EU General Court, dismissing an appeal by Energetický a prumyslový holding (EPH) and its subsidiary EP Investment Advisors (EPIA) against a €2.5 million fine the Commission imposed on them in 2012. EPH and EPIA were fined for obstructing a Commission inspection in an antitrust investigation, by failing to block an email account and diverting incoming emails. The judgment sends a clear message to companies that any steps that undermine the integrity and effectiveness of inspections, including tampering with data stored electronically, are illegal and will be sanctioned.
    Read more >
    Read full judgment >
    Read more about the Commission's 2012 decision >
  • Case T-402/13 (internet connectivity)
    25 November 2014
    The General Court ruled on Orange's appeal against a Commission decision ordering inspections at Orange's premises in connection with the possible abuse of a dominanat market position. The GC dismissed the appeal and upheld the Commission's decision.
    Read Court's press release >
    Read full judgment >
  • Case T-512/11 (Irish air passenger tax)
    25 November 2014
    The General Court ruled on Ryanair's appeal against a Commission decision of July 2011 finding that certain exemptions from an Irish tax on air travel passengers were in line with EU state aid rules. The GC held that the Commission should have opened an in-depth investigation in order to verify whether the exemptions at hand constituted state aid or not.
    Read court's press release >
    Read full judgment >
    Read more about Commission's 2011 decision >

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Published by the Competition Directorate General of the European Commission. The content of this publication does not necessarily reflect the official position of the European Commission. Neither the Commission nor any person acting on its behalf is responsible for the use which might be made of the above information.

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