WASHINGTON, March 4 (Reuters) - A trade group representing musical instrument makers and retailers has reached an agreement with U.S. regulators that it would no longer facilitate discussion of prices of pianos, guitars and other instruments, the Federal Trade Commission said on Wednesday.
In its complaint, the FTC said that the National Association of Music Merchants (NAMM) had hosted meetings between 2005 and 2007 to discuss "strategies for implementing minimum advertised price policies, the restriction of retail price competition, and the need for higher retail prices."
The complaint said that the meetings "had the purpose, tendency, and capacity to facilitate collusion and to restrain competition unreasonably."
Under the terms of the settlement, NAMM would no longer advocate that dealers enter into any deals to buoy prices and would appoint an antitrust compliance officer. NAMM members would also be bound by the terms of the agreement, the FTC said.
Scott Robertson, a spokesman for NAMM, said the group's 9,000 members included "everyone from your hometown music store to Gibson [GIBSN.UL], Fender [FMICO.UL], Taylor and Yamaha."
"This agreement does not require any fundamental changes to NAMM's core activities nor does the agreement constitute an admission of any wrongdoing," the group said in a statement.
"However, under the terms of the agreement, NAMM will enhance various internal policies and procedures relating to the ways we communicate and work with our staff and our members," the statement said.
The order, which will expire in 20 years, must be approved by the commission. (Reporting by Diane Bartz; Editing by Phil Berlowitz)
In its complaint, the FTC said that the National Association of Music Merchants (NAMM) had hosted meetings between 2005 and 2007 to discuss "strategies for implementing minimum advertised price policies, the restriction of retail price competition, and the need for higher retail prices."
The complaint said that the meetings "had the purpose, tendency, and capacity to facilitate collusion and to restrain competition unreasonably."
Under the terms of the settlement, NAMM would no longer advocate that dealers enter into any deals to buoy prices and would appoint an antitrust compliance officer. NAMM members would also be bound by the terms of the agreement, the FTC said.
Scott Robertson, a spokesman for NAMM, said the group's 9,000 members included "everyone from your hometown music store to Gibson [GIBSN.UL], Fender [FMICO.UL], Taylor and Yamaha."
"This agreement does not require any fundamental changes to NAMM's core activities nor does the agreement constitute an admission of any wrongdoing," the group said in a statement.
"However, under the terms of the agreement, NAMM will enhance various internal policies and procedures relating to the ways we communicate and work with our staff and our members," the statement said.
The order, which will expire in 20 years, must be approved by the commission. (Reporting by Diane Bartz; Editing by Phil Berlowitz)
No comments:
Post a Comment