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Reclay UFH takes legal action against new ARA pricing structures

New pricing structure seriously threatens competitive market in packaging disposal industry

Vienna, 22.06.2012

Reclay UFH has instituted proceedings at Vienna Commercial Court together with Interseroh Austria GmbH against the new pricing structure announced by the company Altstoff Recycling Austria Aktiengesellschaft (ARA) on suspicion of unfair competition, and has also filed antitrust action at Vienna Higher Regional Court. In its position as an operator of an alternative collection and recycling system for packaging of commercial origin, Reclay UFH is therefore opposing ARA’s new licensing prices. The pricing structure would increase the costs of certain customers who separate their packaging according to household and commercial usage and register their commercially generated packaging with an alternative system operator.

Managing director of Reclay UFH Dr. Christian Keri commented: “The new pricing structure is another attempt by ARA to disrupt the competitive environment in the Austrian packaging disposal market. ARA is exploiting its monopoly on household packaging and is using a surcharge to literally force customers into registering all their packaging with ARA. In the opinion of Reclay UFH, the new pricing structure violates the law against unfair competition, cartel law and also the Packaging Ordinance, which demands generally applicable prices for one and the same packaging material.”

Shortly after ARA announced its new pricing structure, the Environment Ministry in Vienna provisionally hindered its implementation and announced a detailed examination. Managing director of Reclay UFH Walter Tanzer concluded: “The examination by the Environment Ministry is an important initial step. However, we would like legal compliance in the long term for all customers who would like to benefit from the free competitive market in the area of commercial packaging disposal. We are therefore committed to our legal action, including the applications for an interim injunction. In the interests of our customers, we will also continue to pursue fair competition in the area of packaging disposal and the opening of the market for household packaging.”

About Reclay UFH GmbH

Reclay UFH GmbH, based in Vienna, handles the system business of Reclay Österreich GmbH and is a cooperation between the Reclay Group and UFH. As a basis for long-term collaboration, the Reclay Group acquired the majority share of UFH Verpackung Systembetreiber GmbH from UFH Holding. Reclay UFH positions itself as a quality driven, alternative system on the Austrian market and can draw on the extensive experience of UFH in this area.