September 21^st, 2012

Production and Distribution of Ready-mixed Concrete

Anti-competitive Agreements, Abuse of a Dominant Position

Articles 1 and 2 of L. 3959/2011

Finding of infringement

Ex-officio investigation

1. BETARM S.A.

2. LATOM-TECHNOBETON S.A.

3. RETHYMNIAKI KRITIS S.A.

4. EUROBETON S.A.

5. BETODOMIKI S.A.

Following letters of protest received from residents of the prefecture of Heraklion regarding the high prices at which ready-mixed concrete is sold in this prefecture, in relation to the other prefectures of Crete, the Directorate-General for Competition initiated an ex-officio investigation in the above market, in the context of which numerous on-site inspections were carried out at undertakings active in the production of concrete and at associations of undertakings in the Region of Crete, as well as at the Association of Greek Ready-mixed Concrete Industries (SEVES).

The evaluation and assessment of all the evidence in the case filed to the finding of infringements of article 1 of Law 703/1977, as it was in force, due to the participation of certain companies in prohibited agreements.

Subsequently, by its unanimous decision No. 547/VII/2012, the Hellenic Competition Commission (HCC) held as follows:

1. It found that the companies "BETARM S.A.", "LATOM-TECHNOBETON S.A", "RETHYMNIAKI KRITIS S.A." and "EUROBETON S.A"  infringed Article 1 of Law 703/1977, as it was in force, for the period from 30.7.2001 until the year 2008, due to their participation in prohibited conducts (price-fixing, limitation/control of production, exchange of confidential information), in particular under agreements concluded between 30.7.2001 and 22.8.2005.

2. It found that the company "BETODOMI S.A." infringed Article 1 of Law 703/1977, as it was in force, for the period from 22.8.2005 until the year 2008, due to its participation in prohibited conducts(price-fixing, limitation/control of production, exchange of confidential information), in particular under the agreement concluded on 22.8.2005.

3. Ordered the aforementioned companies to cease and refrain from repeating in the future the established violation of Article 1 of Law 703/1977, as it was in force (prohibited agreements).

 4. Imposed on the undertakings concerned, fines totaling ninety-four thousand six hundred and twenty-one euro (€ 94,621) for the infringement of Article 1 of Law 703/1977, as it was in force.

5. It addressed a warning to the Association of Greek Ready-Mixed Concrete and Aggregates Industries of Western Crete for its participation in the established infringement of Article 1 of Law 703/1977, as it was in force.