On January 29, 2019, the FCO imposed fines totaling €13.4 million on the bicycle wholesaler Zweirad-Einkaufs-Genossenschaft eG (“ZEG”) and its representatives for fixing resale prices with 47 bicycle retailers.^[1] The FCO found that from early 2007 until the FCO’s dawn raid of ZEG’s Cologne premises in February 2015, ZEG and the retailers had agreed not to undercut minimum resale prices for a number of bicycle models that ZEG had set. ZEG had not only monitored the retailers’ adherence to these prices, but also intervened in case a retailer undercut the minimum resale price. In such cases, ZEG requested the retailer to adhere to the agreed price. Given their secondary role (compared to ZEG), the FCO decided not to initiate formal proceedings against the retailers involved. The FCO’s fine reflects the fact that ZEG had cooperated in the proceedings and agreed to settle the case with the FCO. The fining decisions are already final.

[1]              FCO Press Release, “Fine imposed on bicycle wholesaler ZEG for vertical price-fixing”, January 29, 2019, available in English here.