OREANDA-NEWS. October 13, 2009. The Federal Antimonopoly Service (FAS Russia) initiated proceedings against a group of persons including "Rexam Beverage Can Naro-Fominsk" Ltd., "Rexam Beverage Can Vsevolozhsk" Ltd. and "Rexam Beverage Can Dmitrov" Ltd. for abusing dominant position (Part 1 Article 10 of the Law on "Protection of Competition"), reported the press-centre of FAS Russia.

The companies, that belong to the "Rexam" group of companies (the U.K.) - the largest global producer of aluminum package products, are the only manufacturers of aluminum cans in the Russian Federation.

FAS Russia analysed economic performance of "Rexam Beverage Can Naro-Fominsk" Ltd., "Rexam Beverage Can Vsevolozhsk" Ltd. and "Rexam Beverage Can Dmitrov" Ltd. and ex-works prices in the first six months of 2009 for aluminum cans supplies by enterprises - members of the "Rexam" group of companies to their major customers. The findings showed that enterprises - members of the "Rexam" group of companies fixed different prices for the same types of products supplied to different customers, which was not pro rata to the amount of the ordered products.

Fixing different prices for the goods with the same costs, sold to different consumers of beer products could have resulted in increasing costs of not only the price of package but also the price of beer products and ultimately creating discriminatory conditions for consumers on domestic market.

Earlier FAS Russia granted the petition of "Rexam Beverage Can Holdings B.V." on acquiring control over manufacturers of aluminum cans: "ROSTAR" Ltd. and "ROSTAR-Vsevolzsk" Ltd.

Following the transactions the "Rexam"group of companies gained dominant position on the market of aluminum cans in the Russian Federation with its market share exceeding 90 %; and FAS Russia issued a determination to "Rexam Beverage Can Holdings B.V." on exercising certain actions to support competition.

Under the determination, "Rexam Beverage Can HoldingsB.V." is obliged to satisfy the needs of all buyers of aluminum cans and lids to them in the market of the Russian Federation, provided there is adequate production capacity and consumers are ready to pay for aluminum cans and lids to them. Also, prices for aluminum cans and lids to them can be increased by no more than 15% per year in the period of ten years after the date of the transactions.