Legal Library: Cases and Proceedings

The Commission withdrew a proposed consent agreement that settled allegations that PacifiCorp's proposed acquisition of The Energy Group PLC would lead to increases in wholesale and retail electricity prices in the United States. During the comment period PacificCorp withdrew its bid after the Texas Utilities Company announced a competing tender offer for The Energy Group.

Global Industrial Technologies, Inc. agreed to restructure its proposed acquisition of AP Green Industries, Inc. to resolve FTC allegations that the merger would likely substantially reduce competition by combining the two largest domestic producers of glass-furnace silica refractories in the United States. Under the terms of a settlement, Global divested AP Green’s silica refractories business to a Commission-approved buyer.

CUC International settled allegations that its proposed acquisition of HFS, Inc. would create a virtual monopoly in the worldwide market for full-service timeshare exchange services. CUC operates more than 20 membership-based consumer services companies, while HFS subsidiary, Resort Conduminiums International, is the world's largest provider of timeshare vacation exchanges.  Timeshare owners rely on exchange services to process exchanges. The consent order requires divestiture of CUC's interval timeshare business to Interval Acquisition Corporation, a new entrant. Should this divestiture not take place, the consent order requires CUC to divest either Interval or HFS' Resort Condominiums International.

Consent order settles charges that Johnson's acquisition of Dow brands would adversely affect competition and potentially raise the prices consumers pay for soil and stain removers and glass cleaners. The consent order requires the divestiture of Dow's "Spray 'n Starch", "Spray 'n Wash", and "Glass Plus" businesses to Reckitt & Colrnan.

The complaint accompanying the proposed consent order alleged that the merger between Guinness and Grand Metropolitan PLC would eliminate substantial competition between the two firms in the sale and distribution of premium Scotch and premium gin in the U.S. The order requires the divestiture of Dewar's Scotch, Bombay gin, and Bombay Sapphire gin brands worldwide to acquirers pre-approved by the Commission.