On May 26 2011 the Commission for the Protection of Competition fined Grand Prom, a foodstuffs producer, and Idea, one of the leading fast-moving consumer goods retail chains in Serbia and the region, 2% (€2.5 million) and 1.5% (€4.5 million) of their respective turnovers in the year preceding that in which the proceeding was initiated. The fines were imposed for concluding and implementing an agreement which stipulated that a 2% rebate should be granted by Grand Prom for retail price maintenance. The commission was notified on retail price maintenance through a leniency application.

After conducting an extensive investigation, the commission found that the conclusion of the agreement had been initiated by Idea, and that Grand Prom had agreed to the suggested terms pertaining to retail price maintenance due, among other things, to its fear of losing a significant customer.

When determining fines, the commission took into account the total income achieved by the parties in the year preceding that in which the proceeding was initiated. The commission revised its fining guidelines(1) just seven days before the decision was rendered. The new guidelines(2) provide for total annual income, while the old guidelines provided for income achieved in the relevant product market, which was generally more favourable for the undertakings concerned.

For further information on this topic please contact Srdjana Petronijević at Moravcevic Vojnovic Zdravkovic in cooperation with Schoenherr by telephone (+381 11 320 26 00), fax (+381 11 320 26 10) or email ([email protected]).


(1) Guidelines of July 28 2010.

(2) Guidelines of May 19 2011.