Antitrust and Competition: The EU Weekly Briefing | Winston & Strawn
••••  Volume 2, issue 22 Monday 4 August 2014
Antitrust
Commission closes investigation into refusal to supply spare parts by luxury watch manufacturers. On 29 July 2014, the Commission announced that it has closed its investigation into alleged anti-competitive practices by luxury watch manufacturers (Case AT.39097). The Commission opened an investigation after the General Court annulled the Commission’s earlier decision to reject a complaint alleging breach of Articles 101 and 102 of the TFEU by several watch manufacturers. The Commission has now concluded that there is a limited likelihood of establishing that the alleged discontinuance of supplies of spare parts by prestige watch manufacturers to independent watch repairers constitutes an infringement of Articles 101 and/or 102.
Cartels
Ombudsman dismisses complaint about Commission’s refusal to provide access to cartel file. On 29 July 2014, the European Ombudsman published a decision on a complaint about the Commission’s refusal to provide access to its file concerning the elevators and escalators cartel (2343/2011/KM). The Ombudsman decided that, in accordance with the case law of the European Courts, the Commission had been entitled to rely on the general presumption that the disclosure of the cartel file would undermine the protection of natural or legal persons’ commercial interests or the purpose of its inspections and investigations. Further, there was no overriding public interest by virtue of the fact that the documents were requested to support a private damages action. Therefore, the Commission did not commit any instance of maladministration.
EU Mergers
Phase I Clearance
  • M.7132 – Doeflex / INEOS (30.07.2014)
  • M.7230 – Pirelli Steel Tyre Cord / NV Bekaert SA (30.07.2014)
  • M.7261 – Ipreo Holdings LLC / Goldman Sachs Group, Inc / Blackstone Group L.P. (30.07.2014)
  • M.7290 – Apple / Beats Electronics / Beats Music (28.07.2014)
  • M.7298 – Uniqa Life / Uniqa Insurance Group (30.07.2014)
  • M.7303 – Vencorex / PTT Public Company Limited / PTTGC International (29.07.2014)
  • M.7306 – GEA / Triton (31.07.2014)
  • M.7308 – Bull S.A. / Atos S.E. (31.07.2014)
State Aid
Commission approves restructuring aid for LOT Polish Airlines. On 29 July 2014, the Commission announced that, following an in-depth state aid investigation, it has approved the grant by Poland of restructuring aid to support LOT Polish Airlines (IP/14/883). The Commission has found that the restructuring aid meets the conditions set out in the 2004 guidelines on state aid for the rescue and restructuring of companies in difficulty. The restructuring plan will allow LOT to become viable in the long-term, without unduly restricting competition. The Commission was satisfied that the “one time, last time” principle had not been breached by virtue of other measures and transactions in favour of LOT.
 
 
Commission approves further prolongation of Polish bank guarantee scheme. On 29 July 2014, the Commission announced that it has decided to prolong, until 31 December 2014, a Polish bank guarantee scheme (MEX/14/0729). The Commission initially approved the scheme, which covers guarantees and other liquidity support measures in favour of financial institutions in Poland, in September 2009 and it has already been prolonged several times for periods of six months (IP/09/1360). The scheme covers guarantees and other liquidity support measures in favour of different types of solvent credit institutions in Poland. The pricing conditions of the scheme are in line with the requirements of the Commission’s 2011 Communication on state aid to banks during the crisis. Other conditions of the original scheme remain unchanged.
 
 
Commission decides that Val Saint-Lambert must repay incompatible state aid. On 31 July 2014, the Commission announced that, following an in-depth state aid investigation, it has decided that the Belgian crystal producer Val Saint-Lambert received incompatible state aid from the Walloon Region (IP/14/896). The Commission decided the aid must be repaid and that the recovery obligation will not transfer the purchaser of certain of the company’s assets, which are being sold as a result of its bankruptcy.
UK Antitrust
CMA invites comments on research agencies invited to tender for market research in energy market investigation. On 25 July 2014, the Competition and Markets Authority (CMA) published a notice inviting comments on the research agencies that it has invited to tender to conduct market research as part of their energy market investigation. The overall aim of the research is to inform the CMA’s understanding of the retail energy market from a customer perspective, filling gaps in existing research. Most of the agencies invited to tender are conducting, or have recently conducted, research for customers in the energy industry.
 
 
CAT orders one month stay of Deutsche Bahn damages action. On 29 July 2014, the Competition Appeal Tribunal (CAT) published an order by which it imposes a stay (until 31 August 2014) of the damages action brought by Deutsche Bahn AG and others (the claimants) against Schunk, SGL Carbon, and Mersen (the remaining defendants) (Case 1173/5/7/10). All the claimants and the remaining defendants jointly agreed to apply for this stay. The CAT has also extended the deadline for review of documents disclosed pursuant to an order made in January 2014. A hearing has been listed for 29 September 2014, with a time estimate of two days.
UK Mergers
CAT publishes ruling on costs and use of disclosed documents. On 30 July 2014, the CAT published its ruling on costs and the use of disclosed documents in relation to the application by A.C. Nielsen for review of the Office of Fair Trading decision to clear the acquisition by Information Resources, Inc. (IRi) of Aztec Group. The CAT has declined to make any order in relation to A.C. Nielsen’s application for costs. It has, however, made an order confirming that the documents disclosed within the confidentiality ring can only be used for the purpose of the proceedings before the CAT and not during the process under which the CMA will review the case after its remittal.
 
 
CMA publishes final guidance on review of NHS mergers and short guide for NHS managers. On 31 July 2014, the CMA published the final version of its guidance on the review of NHS mergers. This explains the respective roles of the CMA and Monitor in relation to NHS mergers. It sets out the main procedural steps in the merger review process and explains certain jurisdictional issues relevant to NHS mergers. It then provides guidance on the CMA’s substantive assessment of NHS mergers and the assessment of relevant patient benefits.
 
Speeches & Publications
BEREC publishes third opinion on Phase II investigation into German regulator’s proposals for regulating wholesale voice call termination, 29 July 2014. Opinion
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