Logo Competition

Flugþjónustan at Keflavíkurflugvöllur ehf., v. The Competition Authority

Analysis

The Competition Appeals Tribunal upheld the decision of the Competition Authority. No. 9/2006, where the Competition Authority concluded that the Icelandair Ground Handling Service (IGS), a subsidiary of FL Group, had abused its dominant market position in the handling of passenger aircraft. The company breached the prohibition on restrictive practices in competition law by entering into 10 exclusive purchasing agreements with airlines flying into Keflavik Airport and by making a competitively restrictive offer to the airline LTU. The Competition Authority had ordered the company to pay a fine of 80 million krónur, but the appeals board reduced this amount to 60 million krónur.

Rulings
Case number

3 / 2006

Date
7th July 2006
Company

The flight service at Keflavik Airport

The Competition Authority

Industries

Air service

Transport and tourism

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