SWEDISH COMPETITION AUTHORITY REDUCES CLAIM FOR UNFAIR COMPETITION CHARGE FROM BILIA PERSONBILAR AB


In March 2004, the Swedish Competition Authority brought an action against Bilia Personbilar AB and seven other authorised Volvo dealers in Skåne and Blekinge. In its application for a summons, the Swedish Competition Authority claimed that Bilia Personbilar AB and the other dealers had been involved in illegal pricing agreements relating to new and used cars between June 1998 and October 2002. The Swedish Competition Authority demanded that the eight dealers should be instructed to pay an unfair competition charge totalling SEK 157.5 million. This sum was related to the net turnover of each of the companies involved and the Swedish Competition Authority therefore demanded that Bilia Personbilar AB should be instructed to pay SEK 121.7 million.

In a statement to the Stockholm City Court, the Swedish Competition Authority has now reduced the sum it demanded in the case. In the case of Bilia Personbilar AB, the claim has been reduced to SEK 55.3 million.

Bilia Personbilar still claims that this charge should never have been imposed in the first place.

Jan Pettersson, Bilia’s CEO, has reacted both positively and negatively to this reduction by the Swedish Competition Authority.

“It is clear that the Swedish Competition Authority has been influenced by the arguments we put forward, as it has now reduced the sum it was demanding from Bilia Personbilar by SEK 66.4 million. This is naturally positive. We are still, however, facing a claim of SEK 55.3 million, which is illogical and grossly exaggerated. This sum is based on the whole of Bilia Personbilar’s turnover, even though the Swedish Competition Authority claims that the breach took place in Skåne and Blekinge.”

 

Göteborg, 21 February 2006

 

Bilia AB (publ)

 

For further information, please contact Bilia’s managing director, Jan Pettersson, on +46 31 709 55 00.

 

 


Attachments

Bilia_February 21 2006_Eng.pdf