Lyonnais SEB heavily sanctioned by the Competition Authority

This Thursday, December 19, the Competition Authority imposed a sanction of 611 million euros against twelve companies in the household appliances sector. The decision concerns ten manufacturers and two distributors. The Lyon company SEB alone was fined the highest, amounting to 189.5 million euros.

In the file concerning SEB, it is stated that“a bundle of serious, precise and consistent clues” showing that between November 12, 2008 and October 15, 2013, the group would have spent a “agreement of wills” with its distributors. In this sense, the Competition Authority criticizes these companies for having organized “a generalized agreement to fix, directly or indirectly, the retail selling price of products”.

The objective: to apply its strategy on the retail price level of its small household appliances products. This agreement would have resulted in SEB's desire “to see the resale price of its products maintained at an artificially high level by a wide range of distributors”, describes the Authority.

The SEB group, which notably owns the Tefal, Rowenta and Moulinex brands, quickly reacted to the decision. Through its representatives, the company announced its intention to appeal. “The group has always acted in the interest of its customers and for the benefit of French consumers, in strict compliance with the regulations in force. It therefore categorically refutes the conclusion of the Competition Authority made against it and rejects any allegation according to which its practices did not comply with competition rules.