Skip Header
Important information: The value of investments can go down as well as up so you may get back less than you invest. Investors should note that the views expressed may no longer be current and may have already been acted upon. This is a third-party news feed and may not reflect Fidelity’s views.

EU slaps Mondelez with €337.5m fine

(Sharecast News) - Oreo cookie and Cadbury Dairy Milk parent Mondelez has been fined €337.5m by the European Commission for hindering trade between European Union countries in order to keep prices high. EU competition chief Margrethe Vestager said on Thursday that Mondelez had illegally limited cross-border sales within the EU to maintain higher prices for its products.

"This case is about the price of groceries. It's a key concern to European citizens and even more obviously in times of very high inflation, where many are in a cost-of-living crisis," she added.

The European Commission, which began its probe into Mondelez back in 2019, found that the US company had intentionally restricted cross-border trade and abused "its dominant position" in certain national markets for the sale of its chocolate bars.

Mondelez ceased supplying chocolate bars in the Netherlands to prevent them from being imported into Belgium, where it was selling the same products at higher prices, according to the European Union's executive arm.

"The commission concluded that Mondelez's illegal practices prevented retailers from being able to freely source products in member states with lower prices," it said.

According to the EU, Mondelez's illegal practices date as far back as 2006 and include refusing to supply a wholesaler in Germany in order to prevent the resale of chocolate bars in Austria, Belgium, Bulgaria and Romania where prices were higher.

Reporting by Iain Gilbert at Sharecast.com

Share this article

Related Sharecast Articles

FY turnover and profits grow at Arcontech
(Sharecast News) - Software firm Arcontech said on Monday that full-year pre-tax profits and turnover were both anticipated to come in ahead of current market expectations.
Brave Bison pre-tax profits grow in H1
(Sharecast News) - Digital advertising company Brave Bison said on Monday that adjusted pre-tax profits had grown in the six months ended 30 June, leaving it confident of its ability to meet current market expectations for FY24.
Fonix Mobile ends year ahead of market expectations
(Sharecast News) - Mobile payments and messaging technology provider Fonix Mobile reported a strong full-year financial performance in a trading update on Monday.
Tristel flags forecast-busting full-year results
(Sharecast News) - Infection prevention products manufacturer Tristel released a robust trading update for the year ended 30 June on Monday, with revenues and pre-tax profits surpassing market expectations.

Important information: This information is not a personal recommendation for any particular investment. If you are unsure about the suitability of an investment you should speak to one of Fidelity’s advisers or an authorised financial adviser of your choice. When you are thinking about investing in shares, it’s generally a good idea to consider holding them alongside other investments in a diversified portfolio of assets. Past performance is not a reliable indicator of future returns.

Award-winning online share dealing

Search, compare and select from thousands of shares.

Expert insights into investing your money

Our team of experts explore the world of share dealing.