The UK Competition Appeals Tribunal upholds the decision of the DGFT that the appellant has abused a dominant position by pricing advertising in one of its newspapers at below average variable cost, but reduces the fine since the abusive conduct had only continued for one month (Aberdeen Journals)

This case involved two decisions by the Director General of Fair Trading (the « DGFT »), under the Competition Act 1998 (the « Act ») each of which was appealed to the Competition Appeals Tribunal (CAT). In both decisions the DGFT found that, in the period 1 March to 29 March 2000, Aberdeen Journals had abused its dominant position in the market for the supply of advertising space in local newspapers in the Aberdeen area, contrary to the section 18 of the Act (the Chapter II prohibition); it had done so by deliberately incurring losses in respect of advertising revenue on its free title, the Aberdeen Herald & Post (« the Herald & Post ») in an attempt to expel its only rival, the Aberdeen & District Independent (« the Independent »). The DGFT imposed a penalty of £1,328,040 on

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  • Kings Chambers (Leeds)

Quotation

Adam Aldred, The UK Competition Appeals Tribunal upholds the decision of the DGFT that the appellant has abused a dominant position by pricing advertising in one of its newspapers at below average variable cost, but reduces the fine since the abusive conduct had only continued for one month (Aberdeen Journals), 23 June 2003, e-Competitions Bulletin June 2003, Art. N° 21104

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