EU Commission fines former Boliden company for participation in copper tube cartel
As previously stated, the EU Commission has been investigating the operation of a cartel in the European market involving sanitary copper tubes over the period 1988-2001. Boliden AB's former subsidiary, Boliden Cuivre et Zinc SA (BCZ), which has now been sold, was one of nine companies under investigation. The Commission has now ruled that a cartel was effectively being operated and that fines should be imposed on the companies involved. The fine imposed on BCZ totals EUR 32.6 million. Boliden will appeal the Commission's ruling.
At the turn of the year 2003/2004, Boliden sold its Business Area Fabrication, which included BCZ, to Outokumpu. Boliden has undertaken to keep Outokumpu indemnified in respect of all consequences arising from Commission rulings concerning the cartel. Boliden will be making a special allocation for the fine in its results for the third quarter of 2004.
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For more information, please contact:
Jan Johansson, President and CEO, Boliden AB, tel: +46 (0) 8 610 16 02, +46 (0) 70 555 02 02
Boliden is one of the leading mining and smelting companies in the world with operations in Sweden, Finland, Norway and Ireland. Boliden's main products are copper, zinc, lead, gold and silver. Exploration and Recycling of Base Metals are also important within the company. The number of employees is approximately 4 500 and the turnover amounts to approximately EUR 2 billion annually. The Boliden share is quoted on the Stockholm Stock Exchange in Sweden as well as on the Toronto Stock Exchange in Canada. www.boliden.com