British Airways has some tricky legal work ahead if it is to see off the class-action cases it faces in the US after admitting colluding with rivals over fuel surcharges on passengers and cargo. But it may take some comfort from news that it is not alone. The European Commission has slapped a Euro329 million fine on six companies and a trade association found guilty of acting as a cartel.
One expects better of zip and fastener manufacturers. Japan’s YKK group received the biggest fine, Euro150 million. But Coats of the UK must pay more than Euro122 million.
What’s worse, these guys should have seen it coming. It’s the second cartel exposed in haberdashery in three years. Some of the same firms were fined for fixing prices on needles and pins in 2004.
The EC says the zip conspiracy has been going on for more than 20 years and collusion went up to the highest level. Managing directors and board members were aware the conduct was illegal, but continued anyway – and that is not my opinion, it’s the view of the EU competition commissioner.
So it’s button flies from here on in.