Reader comment on: Antitrust Overreach
Submitted by Lyle (United States), Feb 3, 2013 20:17
Actually according to this finacial times article it is consistent with past practice: http://www.thefiscaltimes.com/Articles/2013/02/01/Too-Big-to-Brew-Why-the-DOJ-Wants-to-Block-Beer-Deal.aspx#page1
ABI controls 39% of the beer market by dollars and 46.3% by volume. Modelo is number 3: Whenever anyone buys control of more than 50% of the market it is regarded as an anti trust issue, always had. This is why GM did not take Chrysler out in the 1950s when it could have for fear of the DOJ. It turns out that ABI and Miller Coors play follow the leader on pricing and that Modelo has not. Howver the statement is that we are talking about .25 to .5 dollars per six pack.
While ABI was going to sell the import arm of Modello to Constellation, the DOJ does not feel that that gives it sufficient independence.
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Other reader comments on this item
|⇒ Financial times [132 words]||Lyle||Feb 3, 2013 20:17|
|Beyond Absurd [61 words]||Eliot Tarkinton||Feb 1, 2013 23:03|
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