RECENT NEWS
New York Times  Jan 25  Comment 
The European Commission said it will examine a joint venture proposed by BHP Billiton and Rio Tinto that steelmakers argue would stifle competition and raise prices for iron ore.
Clusterstock  Jan 21  Comment 
From New York Times: In the aftermath of Tuesday’s Massachusetts special election, the White House today is set to announce a major change of strategy on financial reform, with the president to propose new legislation that will limit the size...
The Times of India  Jan 18  Comment 
The Competition Commission of India, the country's top anti-trust body, is likely to come up with guidelines about public procurement by government agencies in order to ensure transparency.
New York Times  Jan 14  Comment 
Lawyers for the National Football League and an apparel company staked out aggressive positions at a Supreme Court argument Wednesday over whether the league should be treated as a single entity or a collection of 32 independent companies for...
Reuters  Jan 13  Comment 
* American Needle wants ruling NFL violated antitrust laws
Cellular News  Dec 29  Comment 
Two consumer groups have asked the Federal Trade Commission to block Google's $750 million deal to buy mobile advertising agency, AdMob, on anti-trust grounds. In addition, the groups said, the proposed acquisition raises privacy concerns that the...
PR Newswire  Dec 28  Comment 
BALA CYNWYD, Pa., Dec. 28 /PRNewswire-FirstCall/ -- Central European Distribution Corporation (Nasdaq: CEDC) today announced it has received approval from the Russian Anti-Trust Commission (FAS) to obtain voting control of the Russian Alcohol Group.
Upstream Online  Dec 22  Comment 
Russia will seek some input from foreign companies on proposed changes to investment laws needed to unlock the country's lucrative energy reserves, the head of Russia's anti-trust agency said today.
Flightglobal  Dec 22  Comment 
An anti-trust application filed by Oneworld Alliance members has drawn criticism by the US Department of Justice, who believes the proposed tie-up would...



Thank you for your suggestion
 
TOP CONTRIBUTORS


US antitrust legislation or "competition law" focuses on three kinds of activity discouraging to competition: monopoly, mergers and acquisitions (M&A), and price fixing.

Monopolies and M&A are both regulated to keep companies from becoming too large or powerful within a single or a few industry sectors. M&A activity is particularly worth noting: many industries have been undergoing a phase of general consolidation in the past few years, and U.S. M&A activity has risen more than 31% since 2005 (2006 saw more than US$ 1.5 trillion's worth of activity). Price fixing is also carefully watched to prevent some companies from gaining an "unfair" advantage; antritrust lawsuits in this category tend to target cartels (groups of nominally independent companies that try to artificially establish relatively high prices by agreement across a number of market players).

U.S. Democrats are traditionally harder on antitrust than their Republican counterparts, and the 2008 presidential election will play an important part in determining the strength of the next round of antitrust legislation. In naming his new attorney general and head of the Federal Trade Commission, the new president will heavily influence the political leanings of the two departments with the most control over the outcome of antitrust lawsuits: the Department of Justice and the Federal Trade Commission.

Antitrust Losers

  • TXU and other large utility companies are at risk of antitrust lawsuits for various price-fixing or merger/acquisitions practices. The utilities sector is a particularly common antiturst target because of the high fixed costs/barrier to entry.
    • Telephony/communications, oil, chemicals manufacturing, banking, and cable industries are also strongly at risk for antitrust lawsuits.
  • Microsoft, Apple, and recently even Google are examples of companies that are dominant enough in an industry that any further merger/acquisitions activity is immediately under antitrust activity.

Antitrust Winners

Legal and economic advisory firms like FTI Consulting, LECG, CRA International, Navigant Consulting, and Huron Consulting Group stand to benefit in all antitrust cases, as they assist parties on both sides by providing trial support services and expert testimony.

To Be Determined

  • XM and Sirius entered into a merger agreement in March 2007 which would leave only one company in the U.S. satellite radio business. Given that neither company has ever generated positive income, a combined company would likely eliminate overlapping costs and optimize operating efficiency. The companies argue against anti-trust worries, claiming their merged company would face heavy competition from traditional radio companies such as Clear Channel Communications (CCU) and CBS (CBS) as well as other audio options for consumers, such as iPods. The government had not decided on the merger as of early December 2007.
Wikinvest © 2006, 2007, 2008, 2009, 2010. Use of this site is subject to express Terms of Service, Privacy Policy, and Disclaimer. By continuing past this page, you agree to abide by these terms. Any information provided by Wikinvest, including but not limited to company data, competitors, business analysis, market share, sales revenues and other operating metrics, earnings call analysis, conference call transcripts, industry information, or price targets should not be construed as research, trading tips or recommendations, or investment advice and is provided with no warrants as to its accuracy. Stock market data, including US and International equity symbols, stock quotes, share prices, earnings ratios, and other fundamental data is provided by data partners. Stock market quotes delayed at least 15 minutes for NASDAQ, 20 mins for NYSE and AMEX. Market data by Xignite. See data providers for more details. Company names, products, services and branding cited herein may be trademarks or registered trademarks of their respective owners. The use of trademarks or service marks of another is not a representation that the other is affiliated with, sponsors, is sponsored by, endorses, or is endorsed by Wikinvest.
Powered by MediaWiki