Antitrust
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Commission closes investigation into internet connectivity services but will continue to monitor the sector
3 October 2014
The Commission has closed an investigation into practices by European telecoms operators in the internet connectivity markets.
Inspections were carried out in July 2013.
Following a review of the evidence obtained during the investigation, the Commission has come to the provisional view that the observed practices do not appear to breach EU antitrust law with a view to shutting out competitors from either the internet transit market or internet content markets.
The fact that the Commission carries out unannounced inspections, under its responsibility to ensure EU antitrust rules are complied with, never prejudges the outcome of an investigation.
The Commission assesses the information collected through inspections impartially.
This sometimes leads, as today, to the closure of a case for lack of evidence of anti-competitive conduct.
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Competition
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Commission publishes results of retail food study
2 October 2014
The Commission has unveiled the results of a comprehensive study about the evolution of choice and innovation in food products in Europe during the last decade.
The results show that the entry of new competitors always increases choice and innovation.
In many Member States, retail markets are not overly concentrated, and the retailers' bargaining power does not seem to have a negative impact on choice and innovation.
Finally, while choice for European citizens has continuously increased in shops since 2004, the number of innovations reaching the consumer each year has decreased since 2008 largely due to the economic crisis.
The Commission is inviting stakeholders to submit their comments on the study results.
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Read full study >
Mergers
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Commission opens in-depth investigation into Zimmer's acquisition of
3 October 2014
The Commission has opened an in-depth investigation to assess whether the planned acquisition of Biomet Inc. by Zimmer Holdings Inc., both of the US, is in line with the EU Merger Regulation.
Both companies design and manufacture orthopaedic implants and related surgical products.
The Commission has concerns that the transaction may lead to less innovation and choice and to higher prices in these sectors.
Read more >
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Commission approves merger between banana companies Chiquita and Fyffes, subject to conditions
3 October 2014
The Commission has authorised the proposed merger between Chiquita Brands International of the US and Fyffes of Ireland.
Whilst the merger brings together the number 1 and 2 suppliers of fresh bananas in Europe, the Commission's investigation found that healthy competition will be preserved in the relevant markets,
thanks to the two companies' relatively low and decreasing overall share of banana imports into the main Northern European ports, competition from an increasing number of other players and the strong position of supermarkets, which develop their own private label bananas.
However, in order to prevent any risk of shutting out competitors at the shipping level, the clearance is conditional upon Fyffes releasing the shipping company Maersk from an exclusivity clause and upon both Chiquita and Fyffes refraining in the future from agreeing similar exclusivity provisions with shipping companies or incentivising shipping companies to refuse to provide services for other banana companies.
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Commission approves acquisition of WhatsApp by Facebook
3 October 2014
The Commission has authorised the proposed acquisition of WhatsApp Inc. by Facebook, Inc., both of the United States.
Facebook (via Facebook Messenger) and WhatsApp both offer applications for smartphones (so-called "apps") which allow consumers to communicate by sending text, photo, voice and video messages.
The Commission found that Facebook Messenger and WhatsApp are not close competitors and that consumers would continue to have a wide choice of alternative consumer communications apps after the transaction.
Although consumer communications apps are characterised by network effects, the investigation showed that the merged entity would continue to face sufficient competition after the merger.
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Commission approves acquisition of Novartis Animal Health division by Eli Lilly
3 October 2014
The Commission has cleared the proposed acquisition of the Novartis Animal Health business ("NAH") of Switzerland by the pharmaceutical company Eli Lilly and Company ("Eli Lilly") of the United States.
The Commission's investigation confirmed that the proposed transaction does not raise competition concerns, in particular because a number of strong players would remain in the markets after the merger.
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State aid
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Commission adopts a package of decisions regarding public support to airports and airlines in Belgium, Germany, Italy and Sweden
1 October 2014
The Commission adopted seven decisions concerning public support granted to airports and airlines in Belgium, Germany, Italy and Sweden.
In particular, the Commission has concluded that the airports of Zweibrücken (Germany) and Charleroi (Belgium) received incompatible state aid and must now be recovered.
The Commission has also opened an in-depth investigation concerning public financial support granted to certain airlines flying from Bruxelles-National airport (Zaventem).
The decisions are based on the Commission's new guidelines on state aid to airports and airlines, adopted in February 2014 as part of its State Aid Modernisation strategy.
VP Almunia's statement >
Press release >
More info on decisions >
Policy brief on state aid rules in aviation sector >
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Commission extends in-depth investigation into Gibraltar corporate tax regime to include tax rulings practice
1 October 2014
The Commission has extended the scope of an ongoing in-depth investigation opened in October 2013 to verify whether the new Gibraltar corporate tax regime selectively favours certain categories of companies, in breach of EU state aid rules.
The Commission will now also examine the Gibraltar tax rulings practice.
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Commission decides Nürburgring racetrack in Germany received incompatible state aid
1 October 2014
After an in-depth investigation, the Commission has concluded that public support measures in favour of the racetrack, leisure park and hotels at Nürburgring in Germany gave the companies then owning or operating them an undue competitive advantage.
The beneficiary companies are all in insolvency proceedings.
The Commission has also found that their assets have been sold in an open and transparent tender at their market value.
The buyer is therefore not liable to pay back the incompatible aid.
Read more >
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Commission takes two state aid decisions regarding German paper mill Propapier
1 October 2014
The Commission has concluded that a German measure authorising investment aid to Propapier for the construction of a paper mill in Eisenhüttenstadt, in the region of Brandenburg, is in line with EU state aid rules.
In particular, The Commission has found that the positive effects of the aid on regional development outweigh its negative effects on competition.
The Commission has re-assessed this case, after the annulment of its original decision of 2008 by the EU General Court, in light of the guidance provided by the court.
In a separate investigation, the Commission also found that a new waste water plant and surrounding infrastructure built by the German state do not involve state aid, as they are general infrastructure, not dedicated specifically to Propapier.
Moreover, the wastewater treatment fees charged to Propapier cover the incremental costs and involve no state aid.
Read more >
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Commission orders recovery of incompatible aid from certain terrestrial digital platform operators in Castilla-La Mancha
1 October 2014
The Commission has concluded that subsidies worth €46 million granted in the Spanish region of Castilla-La Mancha to finance the digitisation and extension of the terrestrial television network in remote areas were incompatible with EU state aid rules.
The measure only benefits terrestrial digital technology, in breach of the principle of technological neutrality, and also discriminates between different terrestrial operators.
As a result, some operators of terrestrial platforms received a selective advantage over their competitors and have to pay it back to the region Castilla-La Mancha.
In June 2013 the Commission had already concluded that similar measures covering other regions of Spain were incompatible with EU state aid rules.
Read more >
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Commission opens in-depth investigation into proposed public financing for Volkswagen in Portugal
1 October 2014
The Commission has opened an in-depth investigation to examine whether Portugal's plans to grant €36.15 million public financing to Volkswagen Autoeuropa, a subsidiary of the Volkswagen group, for an investment project in the Setubal region are in line with EU state aid rules.
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Commission opens in-depth inquiry into measures to aid Kem One SAS in France
1 October 2014
The Commission has opened an in-depth investigation into a loan and other forms of public aid in the form of grants, repayable advances and the like accorded by France to Kem One SAS, a chlorochemicals and PVC producer.
The Commission will check whether the loan was awarded on market terms, as claimed by the French authorities, and whether the package of measures is likely to restore the business's long-term viability without causing undue distortion of competition within the single market.
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Commission opens in-depth investigation into part of public financing of Brussels public IRIS hospitals
The Commission has opened an in-depth investigation to ascertain whether specific deficit financing measures granted by the Brussels public authorities only to the public IRIS hospitals in the Brussels Capital region and not to private hospitals in the region, are in line with EU state aid rules.
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