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Daily EU Competition News
10 October 2014
MERGERS & ACQUISITIONS
Commission - Merger Cases
October
10 oct 2014
M.7409 APOLLO MANAGEMENT / COMPANHIA DE SEGUROS TRANQUILIDADE (document
published)
M.7353 AIRBUS / SAFRAN / JV (document published)
M.7342 ALCOA / FIRTH RIXSON (document published)
M.7311 MOL / ENI CESKA / ENI ROMANIA / ENI SLOVENSKO (public version of decision published)
M.6360 NYNAS / SHELL / HARBURG REFINERY (public version of decision published)
M.7380 EQT INFRASTRUCTURE / IMMOMUTUA / ACVIL JV (public version of decision published)
M.7037 ASA-BAU / MIBAU HOLDING / GAM (public version of decision published)
09 oct 2014
M.7412 SVP / LSHL (Notification)
M.7409 APOLLO MANAGEMENT / COMPANHIA DE SEGUROS TRANQUILIDADE (Notification)
M.7352 GDF SUEZ / SOPER / NATIXIS / LCS1 / LCS2 / LCS5 / LCS9 / LCSGO (Notification)
M.7265 ZIMMER / BIOMET (Changed deadline - extension of 15 WD under Article 10(3)2)
Commission

Mergers: Commission clears acquisition of Dutch cable TV operator Ziggo by Liberty Global,
subject to conditions
Following an in-depth investigation, the European Commission has approved under the EU
Merger Regulation the proposed acquisition of Dutch cable TV operator Ziggo by Liberty Global.
The approval is conditional upon the implementation of a commitments package. The
Commission had concerns that the merger, as initially notified, would have hindered competition
by removing two close competitors and important competitive forces in the Dutch market for the
wholesale of premium Pay TV film channels, and by increasing Liberty Global's buyer power visà-vis TV channel broadcasters, allowing it to hinder innovation in the delivery of audio visual
content over the Internet (so-called over-the-top or "OTT" services). To address these concerns,
Liberty Global offered to sell Film1, its premium Pay TV film channel. Liberty Global also
committed to terminate clauses in channel carriage agreements that limit broadcasters' ability to
offer their channels and content over the Internet, and not to include such clauses in future
channel carriage agreements for eight years. These commitments remove the Commission's
concerns.

Mergers: Commission clears acquisition of Milford Haven refinery by Klesch Refining
The European Commission has approved under the EU Merger Regulation the acquisition of the
Milford Haven Refinery and its ancillary assets ("Milford Haven") of the UK by Klesch Refining
Limited of the UK. Milford Haven refines crude oil into gasoline, diesel, fuel oil, jet fuel, LPG and
propylene. Klesch belongs to the Klesch Group, that produces and trades chemicals, metals and
oil. The Klesch Group owns and operates the Heide Refinery in Germany, which alsorefines
crude oil into gasoline, diesel, fuel oil, jet fuel, LPG and propylene. The Commission concluded
that the proposed acquisition would not raise competition concerns, because the overlaps were
very limited and the new entity would continue to face strong competition from a number of
credible players. The transaction was examined under the simplified merger review procedure.
More information is available on the Commission's competition website, in the public case
register under the case number M.7402 .
Various
“EU regulators extend Zimmer, Biomet deal deadline to March 11”
European Union antitrust regulators will decide on U.S. medical device maker Zimmer's $13.4 billion
bid for Biomet by March 11, a three-week extension from the previous deadline, the European
Commission said on Friday. The EU executive opened last week an extensive probe into the deal,
which would make Zimmer the second-largest seller of orthopaedic products in the world behind
Johnson & Johnson. It voiced concerns on reduced competition in certain medical devices following
the takeover. Analysts say Zimmer may counter such worries by selling units where the combined
company would have a high market share. http://www.reuters.com/article/2014/10/10/zimmer-mabiomet-eu-idUSL6N0S51GO20141010
“Albemarle and Rockwood - November 13 EU review deadline”
Both are chemicals companies, with market-leading positions across four high-margin businesses:
lithium, catalysts, bromine and surface treatment. The commission’s case file number is M.7393. The
transaction is subject to shareholder and regulatory approvals and other customary closing conditions
and is expected to close in the first quarter of 2015. (As reported in the press)
“Alcoa and Firth Rixson - New EU notification”
Alcoa pulled the notification, October 8, and the EU watchdog has set a new November 12 deadline
for its merger review. Alcoa is an aluminium producer and Firth Rixson, a UK aerospace-components
maker. The commission’s case file number is M.7342. (As reported in the press)
“Airbus and Safran space - November 12 EU deadline”
The companies announced the plan to combine Airbus launcher systems with Safran propulsion
systems in June. The commission’s case file number is M.7353. (As reported in the press)
“Siemens and Dresser-Rand: Antitrust approvals in US, EU, China”
Siemens must obtain antitrust approvals in the US, China, the EU and seven other jurisdictions before
it can complete its takeover rival turbine maker Dresser-Rand Group. Foreign antitrust and
competition authorities in the required foreign jurisdictions may take action under the laws of their
respective jurisdictions, which could include seeking to enjoin the completion of the merger. Foreign
antitrust and competition authorities in the required foreign jurisdictions may take action under the
laws of their respective jurisdictions, which could include seeking to enjoin the completion of the
merger.
(As reported in the press)
UK – “CMA cases: phase 1 mergers”
Enterprise Rent-A-Car UK Limited / Vulcan Holdco Limited
9 October 2014: Derogation published. The CMA has published its consent for a derogation from the
initial order made in relation to the completed acquisition by Enterprise Rent-A-Car UK Limited of
Vulcan Holdco Limited and its subsidiary Burnt Tree Holdings Limited.
Xchanging / Agencyport Software Europe
9 October 2014: Derogation published. The CMA has published its consent for a derogation from the
initial order made in relation to the completed acquisition by Xchanging Holdings Limited and
Xchanging, Inc. of certain companies of Agencyport Software Group.
ANTITRUST
Commission

Antitrust: Commission confirms unannounced inspections in biofuel sector
The European Commission can confirm that on 7 October 2014, Commission officials carried out
unannounced inspections at the premises of companies active in the production, distribution and
trading of ethanol, a biofuel. These inspections took place in two EU Member States. They follow
inspections that the Commission and the EFTA Surveillance Authority undertook in May 2013 in
the crude oil, refined oil products and biofuel sectors (see MEMO/13/435). The Commission has
concerns that price benchmarks may have been distorted through anti-competitive behaviour,
including through possible collusion when submitting price information to a Price Reporting
Agency. Such behaviour, if established, may amount to violations of European antitrust rules that
prohibit cartels and restrictive business practices and abuses of a dominant market position
(Articles 101 and 102 of the Treaty on the Functioning of the EU and Articles 53 and 54 of the
EEA Agreement).
Court/General Court
Judgment in Case T-68/09 Soliver v Commission - (Competition – car glass cartel) - In November
2008 the Commission fined four producers of car glass over €1.38 billion for operating a cartel
(see Commission Press Release). This is the highest total fine imposed on a cartel. Belgian company
Soliver, received a fine of €4.396m which they have now challenged. Background Documents ↡
Friday 10/10/2014 Judgment
09:30
T-68/09
Competition
Soliver v
Commission
General
Court Second
Chamber
NL
Grande salle - Annexe "C"
Application (OJ) HTML / PDF - The General Court will give a ruling on an appeal
brought by Dutch company Soliver against a European Commission fine imposed
for its role in a car glass cartel. (See attached)
Friday 10/10/2014 Hearing
14:30
T-248/12
Competition
Fuhr v
Commission
General
Court - Third
Chamber
DE
Grande salle - Annexe "C"
Application (OJ) HTML / PDF - The General Court will be hearing an appeal
by window-fixture manufacturer Fuhr against an antitrust fine imposed by the
European Commission on the company for its participation in a cartel for
mountings for windows and window-doors.
“ECJ preliminary ruling on distortions of competition in excise duty applied to cigarettes”
On 9 October 2014, the ECJ handed down its ruling on a preliminary reference from the Italian
Council of State. The ECJ has concluded that Directive 2011/64 precludes a provision of national law
which, rather than establishing an identical minimum excise duty applicable to all cigarettes,
establishes a minimum excise duty that applies only to cigarettes with a retail selling price lower than
that of cigarettes in the most popular price category. The ECJ held that the establishment of different
minimum tax thresholds according to the characteristics or price of cigarettes would lead to distortions
of competition as between different cigarettes. Source: Case C-428/13, Ministero dell'Economia e
delle Finanze and Amministrazione Autonoma dei Monopoli di Stato, judgment of 9 October 2014
and Press Release No 136/14.
Various
“Icomp: The Google Case: Where are we now?”
The European Commission’s antitrust investigation into Google has been underway since 2010.
Indeed, the Commission has been looking into Google’s practices since at least 2008. Six years on,
Google’s latest package of proposed remedies has been rejected and there is no prospect that a
resolution will be found before Commissioner Almunia’s mandate expires. What happens next? The
key concern raised by the unprecedented number of formal complainants and other third parties has
been the systematic promotion of Google’s own services and the systematic demotion or exclusion of
its competitors’ services in Google search results. In its Preliminary Assessment, the Commission
concluded that this discrimination, and other practices, is an unlawful abuse of Google’s dominant
position in breach of EU competition law. As the new Commission takes office, it is clear from remarks
in Commissioners’ confirmation hearings that the Google case will be high on the agenda – not just of
the new Commissioner for Competition, Margrethe Vestager, but also of Commissioner Oettinger and
Vice President Ansip with their respective responsibilities for the Digital Economy & Society and the
Digital Single Market. It will be interesting to see how these different responsibilities interact.
Commissioner Vestager and her services will have to decide how to handle all these different
elements. She can decide to proceed with the Search case and follow up with investigations into the
other issues, or she can decide to roll them into a single matter.
http://www.icomp.org/blog/2014/google-case-now/
UK - “Ofgem confirms fine on EDF for breach of Gas and Electricity (Consumer Complaints Handling
Standards) Regulations 2008”
On 9 October 2014, the Office of Gas and Electricity Markets published a penalty notice confirming
the imposition of a financial penalty on EDF Energy due to breach of the Gas and Electricity
(Consumer Complaints Handling Standards) Regulations 2008. Ofgem has found, and EDF Energy
has admitted, that EDF Energy breached requirements for handling and recording complaints during a
nine month period while it was rolling out a new IT system.
“Taxi companies in Bucharest could get fine from Romanian competition authority for price fixing
cartel”
Romania’s Competition Council could rule up to EUR 1.8 million fines against the largest taxi
companies in Bucharest for cartel practices, after a two-year investigation, according toEconomica.net.
The competition authority has found that large taxi companies, such as Meridian, Cristaxi, Cobalcescu,
Grup AS, Pelicanul and Speed, have set up a cartel to fix prices for taxi fares in Bucharest, according
to a report. This investigation started about two years ago, after all taxi companies in Bucharest
started charging the same price, RON 1.39 (32 eurocents) per kilometer, which is the minimum price
set by Bucharest’s local authorities. http://www.romania-insider.com/taxi-companies-in-bucharestcould-get-fine-from-romanian-competition-authority-for-price-fixing-cartel/133253/
STATE AID
No developments reported in the sources consulted
VARIOUS
Commission

Weaving Europe’s single competition enforcement area
European Commission Joaquin ALMUNIA Vice President of the European Commission responsible
for Competition Policy European Competition Day – Change and challenges Rome, 10 October
“Telecoms: Commission adopts revised Recommendation on relevant markets”
On 9 October 2014, the European Commission adopted a revised Recommendation on relevant
product and service markets within the electronic communications sector that are susceptible to ex
ante regulation. It has also published a draft Explanatory Note to accompany the new
Recommendation. The draft Recommendation identifies only four wholesale markets (one divided into
two parts) which the Commission considers to be susceptible for ex ante regulation and should,
therefore, be reviewed by national regulators. These include fixed and mobile call termination markets,
as well as wholesale broadband access markets. Two markets (the retail market for access to fixed
telephony and the wholesale market for fixed call origination) are no longer included in the
Recommendation on the basis that, due to market and technological developments, they are likely to
be effectively competitive. The new Recommendation will take effect immediately.
Source:
Commission press release IP/14/1112, MEMO/14/573, Commission
Recommendation and Explanatory Note.
Top News from the European Commission 11 – 31 October 2014
CALENDRIER du 13 au 19 octobre 2014
European Parliament: The Week Ahead 13 – 19 October 2014
http://www.europarl.europa.eu/news/en/news-room/agenda/2014-W42
FURTHER INFORMATION
Carine Gaudry
[email protected]
If you have any questions/comments or would like to add colleagues to the distribution list, please contact Carine
Gaudry ([email protected] or + 32 2 239 25 40). Thank you.
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