News

AFA Decaux has been fined DKK 10 million for illegally coordinating discount rates with a competitor for more than 6 years

The Copenhagen City Court has fined the company AFA Decaux A/S DKK 10 million for infringement of Section 6 of the Danish Competition Act and Article 101 of the Treaty on the Functioning of the European Union.

For over six years, AFA Decaux and its competitor Clear Channel Denmark coordinated their discount rates, thereby restricting competition to offer customers the best deals.

The illegal behavior meant that advertisers who purchased outdoor advertising from AFA Decaux or Clear Channel Denmark in the period from September 2008 to April 2015 were offered coordinated discount rates for media commission, information compensation, and security deposit. In the period from September 2008 to December 2011, they were also offered cash discounts, which were coordinated between the two competitors.

When determining the amount of the fine, the Copenhagen City Court placed emphasis on the fact that the violation must be characterized as serious and committed over an extended period of time. The court also took the defendant’s group turnover into account and took into consideration that part of the violation took place before the penalty increase on March 1, 2013.

In April 2024, Clear Channel Denmark admitted to violating the Competition Act and agreed to pay a fine of 6 million kroner.

The Competition Council decided in 2018 that the two companies had violated the Competition Act, and up to 2023, the case proceeded through various courts/tribunals.

The case predates the amendment of the Danish Competition Act in 2021. Therefore, the National Unit for Special Crime (NSK) has overseen the criminal proceedings after the Competition Council reported the company to the police. Had the violation occurred today, the Danish Competition and Consumer Authority would itself have handled the case for the purpose of imposing a fine.

For further information

Contact Head of Communications at the Danish Competition and Consumer Authority, Hanne Arentoft, at +45 41 71 50 98