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Brau Union makes commitments to AFCA and concludes new framework agreement with logistics partners replacing all agreements under the previous sales partnership. AFCA modifies its Cartel Court applications.

BRAU UNION Österreich Aktiengesellschaft and BRAU UNION AG (“Brau Union”) take important steps and conclude new framework agreements with selected drinks retailers (“logistics partners”) to address the allegations made in the proceedings by the AFCA.

Commitment document BRAU UNION AG and BRAU UNION Österreich Aktiengesellschaft (in German)

The new contractual terms mark an important step in tackling the allegations recently made by the Austrian Federal Competition Authority (AFCA). Above all, logistics partners are no longer restricted with regard to selling the products of other brewers. AFCA is fully upholding its application for a fine.

The AFCA managed to quickly achieve a first important objective of the proceedings: guarantee fairness for the future. This is highly important for all market participants, and small and medium-sized companies in particular,” explains Director General Natalie Harsdorf.

The new logistics agreement regulates the provision of logistic services such as the delivery of beer to Brau Union customers by independent logistics partners, without restricting the latter’s own business or competition between Brau Union and those logistics partners.

The new agreement replaces all previous verbal and written agreements relating to the sales partnership. The commitment includes the following points:

1. Independence of logistics partners’ own business
    Brau Union’s logistics partners are free to decide on their own product range, sales territory and customers they deliver to.

2. No obligation to disclose information about own business
    Logistics partners are not obliged to inform Brau Union about their own operations.

    This means:
     • They do not need to inform Brau Union about new customers.
     • They may deliver to Brau Union customers as part of their own business.
     • They are not required to transfer their own customers to Brau Union.
     • They do not need to submit any other information about their own business to Brau Union (e.g. prices, customers).

3. No exclusivity requirements
    Logistics partners are free to decide which drinks they buy and which products they sell as part of their own business operations.

4. No territorial or customer group restrictions for own business

5. No non-poaching clause
    Logistics partners are not prohibited from poaching Brau Union’s customers or from acquiring them by other means.

6. No inadmissible checks of business premises

7. No exchange of competitively sensitive information
    Brau Union does not demand operational key figures on customers, suppliers or other information relating to their internal strategies from logistics partners unless required for the purposes of implementing the logistics framework agreement.

8. Logistics partners are entitled to also render services to Brau Union competitors

9. No inadmissible sanctions mechanisms
    Brau Union respects the rules of conduct defined in these principles and will not threaten logistics partners with illegal cartel-related sanctions or apply any such sanctions directly or indirectly.

Brau Union has made these commitments voluntarily. The out-of-court commitment does not constitute an admission of guilt on the part of Brau Union.

Compliance measures at Brau Union

Brau Union has further expanded and improved its internal compliance management system and amended its regulations on the proper management of logistics partnerships to ensure that all business activities are in line with the applicable competition laws.

Modification of AFCA application in Cartel Court proceedings

The AFCA regards Brau Union’s efforts as sufficient to remedy the allegations that it brought forward. The Authority has therefore retracted its application for termination. At the same time, the AFCA has modified its applications for the imposition of an appropriate fine for the misuse of a dominant position and the breach of the ban on cartels, which took place from 1 July 2002 until 31 July 2025.

For AFCA’s former application to the Cartel Court for a fine and termination, see the press release of 18 June 2024.