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COFES Blog
Nov
13
Written by:
Russ Henke
11/13/2008 8:22 AM
As if we didn’t have enough to worry about, the November 13, 2008 Wall Street Journal reports, "Three of the largest makers of computer and video screens, Sharp Corp., LG Display Co. and Chunghwa Picture Tubes Ltd., pleaded guilty to criminal price-fixing charges and will pay fines totaling $585 million. As a result of the price fixing," the US Justice Department said, "electronics manufacturers and, ultimately, consumers were forced to pay higher prices for televisions, cellphones and other products using liquid-crystal displays." According to the US officials, "Products affected by the price fixing included Apple Inc. iPods and Razr phones from Motorola Inc. as well as laptops and computer monitors from Dell Inc."
The US Justice Department also noted, the New York Times reports November 13, 2008, "Prices for the flat screens in televisions, personal computers and cellphones have plummeted in recent years -- but the decline would have been even faster if it hadn't been for an international price-fixing cartel." Of $585 million in criminal fines, "LG is paying the most: a $400 million fine, the second-highest criminal fine ever imposed by the Justice Department's antitrust division." Legal experts say that "the settlement...is unlikely to be the end of the flat-panel case. Under the settlement, the three companies have agreed to cooperate with the Justice Department's continuing investigation."
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