Announced Actions for March 22, 1996

For Your Information


The Federal Trade Commission today announced the following actions.

Applications for prior approval of transactions: The FTC has received applications for prior approval of transactions from the following entities. The Commission is seeking public comments on the applications for 30 days, until April 22. The staff contact is Dan Ducore, 202-326-2526.

  • Silicon Graphics, Inc., of Mountain View, California, has applied for FTC approval for a software porting agreement between Alias/Wavefront (a division of Silicon Graphics) and IBM. The agreement is required under a 1995 consent order settling FTC charges that Silicon Graphics’ acquisition of Alias Research, Inc. And Wavefront Technologies, Inc., and is one of several elements intended to help restore competition for software and hardware involved in producing computer-based graphics for the entertainment industry. The porting agreement must allow Alias’s two major entertainment graphics software programs to be run on the porting partner’s computer system (see June 9, 1995 news release regarding the consent order; Docket No. C-3626).
  • The Penn Traffic Company, of Syracuse, New York, has applied for FTC approval to divest the former Acme supermarket in Towanda, Pennsylvania (which currently is being operated as a P&C Food Market), to Hurley’s Super Markets, of Dushore, Pennsylvania; and the former Acme supermarket in Pittston, Pennsylvania (currently operated as an Insalaco’s Food Market), to Michael and Lisa Bruno, of Pittston. The divestitures are required, along with one other, under a 1995 consent order settling FTC charges that Penn Traffic’s acquisition of 45 Acme markets would violate antitrust laws. The required divestitures are intended to restore competition in Towanda, Pittston and Mount Carmel (see Jan. 19, 1995 news release regarding the consent order; Docket No. C-3577).

Consent agreements given final approval: Following a public comment period, the Commission has made final consent agreements with the following entities. The Commission action makes the orders binding on the respondents.

  • The Dannon Company, Inc., of Tarrytown, New York, regarding charges that the company made false or misleading fat and calorie claims for its Pure Indulgence line of frozen yogurt. The consent order prohibits Dannon from misrepresenting the fat, calories, saturated fat or cholesterol in any frozen food product, and requires it to pay $150,000 to the U.S. Treasury (see Nov. 28, 1995 news release for more detail; Docket No. C-3643; Commission vote 5-0 on March 18, 1996). Staff contact is Peter Metrinko, 202-326-2104.
  • Mama Tish’s Italian Specialties, Inc., of Chicago, Illinois, regarding charges that it misrepresented the calorie content of its flavored ice cup desserts. The consent order prohibits Mama Tish’s from misrepresenting the existence or amount of calories or any other nutrient or ingredient in any frozen dessert product (see Dec. 19, 1995 news release for more detail; Docket No. C-3644; Commission vote 5-0 on March 19, 1996). Staff contact is Steve Baker, Chicago Regional Office, 312-353-8156.
  • Johnson & Johnson, of New Brunswick, New Jersey, regarding charges that its acquisition of Cordis Corporation would violate federal antitrust laws and harm competition, raise prices and reduce innovation in the market for cranial shunts used in the treatment of hydrocephalus. The consent order requires Johnson & Johnson to divest the Cordis Neuroscience Business to a Commission-approved buyer within 12 months, and to hold the Cordis neuroscience assets separate from Johnson & Johnson and maintain their viability and competitiveness pending divestiture (see Dec. 20, 1995 news release for more detail; Docket No. C-3645; Commission vote 5-0 on March 19, 1996). Staff contact is Ann Malester, 202-326-2682.

Comments on the applications should be addressed to the FTC, Office of the Secretary, 6th Street and Pennsylvania Avenue, N.W., Washington, D.C. 20580. Copies of the documents referenced above are available from the FTC’s Public Reference Branch, Room 130, at the same address; 202-326-2222; TTY for the hearing impaired 1-866-653-4261. To find out the latest news as it is announced, call the FTC NewsPhone recording at 202-326-2710. FTC news releases and other materials also are available on the Internet at the FTC’s World Wide Web site at: http://www.ftc.gov

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