/ 1 June 2004

Coca-Cola may face antitrust action in Europe

The European Union’s executive commission might launch an antitrust action against United States soft-drink giant Coca-Cola even as it seeks a settlement with the group, a commission spokesperson said on Tuesday.

”We have decided that both ways are possible,” said Tilman Lueder, spokesperson for EU Competition commissioner Mario Monti.

”We will have to wait and see which one of the two approaches will win out … We are interested that the shop spaces of supermarkets are stocked according to the merits of the product.”

The commission for the past four years has been looking into Coca-Cola’s commercial practices that aim to ensure that its different products enjoy a high degree of visibility in the EU market.

EU competition authorities are particularly interested in the company’s policy of offering discounts on purchases that cover several Coca-Cola brand products.

Lueder said the commission is seeking a solution that ensures that weaker competitors are not harmed by the discount practice. — Sapa-AFP