Schneider Electric, Rexel, Legrand Confirm Statement of Objection From Competition Authority

Schneider Electric, Rexel, Legrand Confirm Statement of Objection From Competition Authority

PARIS and RUEIL-MALMAISON, France — On July 4, 2022, RexelSchneider Electric, and Legrand all received a statement of objections (notification de griefs) from the French Competition Authority (Autorité de la concurrence) alleging that the pricing autonomy of some distributors in the French market would have been limited, in breach of competition rules.

Here is Rexel’s statement:

The Competition Authority’s investigators believe that Rexel had implemented practices with some of its suppliers whose purpose was allegedly to restrict its freedom to determine its resale prices. The statement of objection specifically targets the special price agreement (“dérogation”) mechanism, which is a price reduction aimed at providing customers with the most competitive offer. This mechanism is a transparent practice that is known to all market players and is standard practice in the world of professional electrical equipment distribution.

Rexel is currently studying the statement of objections, which in no way prejudges the culpability of the companies involved and is the customary first step in contradictory proceedings before the Competition Authority.

Rexel constantly strives to strictly comply with applicable laws and regulations and the Group will assert its position and its rights within the framework of this procedure.

Schneider’s statement:

Schneider Electric strongly disagrees with the allegations of the statement of objections and will submit its response to the French Competition Authority in due course.

This statement of objections is the first step of an adversarial procedure and is without prejudice to the final assessment that will be made independently by the board (College) of the French Competition Authority.

Legrand’s statement:

Legrand is committed to strictly complying with all applicable legislation and intends to fully exercise its rights in the upcoming proceedings.

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