Swedish Match comments on Competition Authority lawsuit


As previously communicated the Swedish Competition Authority has been conducting
an investigation regarding a uniform labelling system for snus coolers owned by
Swedish Match and placed in retail outlets. On December 9, 2014 the Competition
Authority submitted a lawsuit to the Stockholm district court. In its
submission, the Competition Authority alleges that Swedish Match, when
implementing the labelling system, has abused a dominant position on the Swedish
snus market in breach of the competition legislation. Swedish Match does not
agree with this allegation and will defend the case vigorously.
Standardized labels are widely used for different consumer goods categories on
the Swedish market in order to create an orderly and transparent category
presentation. Swedish Match implemented its labelling system for the same
purpose. The labelling system applied uniformly to Swedish Match’s own products
and to products of other manufacturers. The implementation of the labelling
system started at the end of 2012, but it was shortly thereafter withdrawn.

Swedish Match is of the opinion that the labelling system did not impact sales
of other manufacturers, complies with market standards and that the Swedish
Competition Authority has based its opinion on false assumptions about the
purpose of the labelling system. The Competition Authority is seeking 38 MSEK in
penalties. Swedish Match will defend the case vigorously.
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For further information, please contact:

Marie-Louise Heiman, Vice President Legal Affairs
Office +46 8 658 0179

Emmett Harrison, Senior Vice President Investor Relations and Corporate
Sustainability
Office +46 8 658 0173

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The character of this information is such that it shall be disclosed by Swedish
Match AB (publ) in accordance with the Swedish Securities Markets Act. The
information was disclosed to the media on 10 December, 2014 at 08.30 a.m. (CET).
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Swedish Match develops, manufactures, and sells quality products with market
-leading brands in the product areas Snus and moist snuff, Other tobacco
products (cigars and chewing tobacco), and Lights (matches and lighters).Well
known brands include General snus, Longhorn moist snuff, White Owl cigars, Red
Man chewing tobacco, Fiat Lux matches, and Cricket lighters. The Group sells
products across the globe, with production units in six countries. The Group’s
global operations generated sales of 12,947 MSEK for the twelve month period
ending September 30, 2014. The Swedish Match share is listed on NASDAQ OMX
Stockholm (SWMA).
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Swedish Match AB (publ), Box 7179, SE-103 88 Stockholm, Sweden
Visiting address: Västra Trädgårdsgatan 15. Telephone: +46 8 658 0200
Corporate Identity Number: 556015-0756
www.swedishmatch.com

Attachments

12102351.pdf