News
Samskip´s main competitor in Iceland receives record fine: violated competition laws in attempt to damage Samskip
According to the Icelandic Competition Authority´s verdict yesterday, Samskip´s main local competitor and market leader in Iceland, transport company Eimskip, was found to have systematically conspired to push Samskip out of the Icelandic transport market in the years 2001 and 2002. The fine handed down for this violation of the competition laws is ISK 310 million (USD 4.9 million, EUR 3.4 million), the highest ever in Iceland. Eimskip plans to appeal the verdict and Samskip is considering a lawsuit.
“When the Competition Authority’s verdict is examined, it becomes evident that Eimskip had manoeuvred to systematically push Samskip out of the market,” says Samskip CEO Ásbjörn Gíslason. “It is surprising how organized and extensive the attack against Samskip was, and simultaneously against free competition in the country,” Gíslason adds.
The Competition Authority concluded that Eimskip had made a list of Samskip’s customers and then tried to persuade them to switch camps, as stated in a note delivered to Eimskip’s management on April 1, 2002. By May 2002, Eimskip had acquired business agreements worth ISK 200 million (USD 3.2 million, EUR 2.2 million) in this manner.
Eimskip issued a statement to the media yesterday saying the company does not understand why it took the Competition Authority such a long time to investigate the case (the authority searched Eimskip’s headquarters on September 4, 2002). The Competition Authority explained the delay was caused by disagreement surrounding all the main factors in this case, including how to define “market share.”
