Swatch allowed to reduce watch parts supply through 2013
May 15, 2012
Switzerland's Comco has extended through 2013 the temporary measures it granted to Swatch. The measures allow Swatch to reduce supplies to third parties by 15 percent of 2010 levels for movements, and 5 percent for components. Comco said that the extra year granted by the extension is to acknowledge that watch companies must order supplies before the competition commission will be able to complete its investigation.
The investigation is to determine whether Swatch, Switzerland's dominant market player, will be allowed to reduce the supply of watch parts to watchmakers. According to Swatch, some movements end up in counterfeit watches.
Full content: Bloomberg
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