FOR IMMEDIATE RELEASE AT

THURSDAY, DECEMBER 1, 1994 (202) 616-2771

TDD (202) 514-1888

JOINT ANTITRUST SUIT AND PROPOSED SETTLEMENT

FILED IN TRASH HAULING ACQUISITION

WASHINGTON, D.C. -- In a joint antitrust prosecution, the

Department of Justice and the states of Florida and Maryland
today sought to block a proposed merger that would have reduced
competition in so-called "dumpster" service in Florida and the
Mid-Atlantic region, the Department of Justice announced. At the
same time, federal and state antitrust enforcers agreed to a
proposed settlement that would eliminate the transaction's
potential harm to competition.
Federal and state officials challenged the proposed cash
tender offer by Browning-Ferris Industries Inc., the nation's
second largest trash hauling company to acquire one of its major
competitors, Attwoods plc, which is headquartered in the United
Kingdom. Attwoods has important trash hauling operations in
Florida, Maryland, Pennsylvania and Delaware.
BFI of Houston, has annual revenues of more than $3 billion
and Attwoods' U.S. 1993 revenues were more than $300 million.
In September, BFI launched an unsolicited cash tender offer
for the shares of Attwoods.
Dumpster service, or small containerized waste hauling
service, is provided by using metal containers of between one and
10 cubic yards that are generally picked up by a frontload truck.
This service is typically used by commercial establishments such
as restaurants, retail and wholesale stores and office buildings.
Opposition to the proposed acquisition by BFI was announced
jointly by the head of the Department's Antitrust Division,
Assistant Attorney General Anne K. Bingaman, Florida Attorney
General Robert A. Butterworth and Maryland Attorney General J.
Joseph Curran Jr.
The complaint was filed in U.S. District Court in
Washington. The proposed settlement, if approved by the court,
would settle the suit.
The complaint alleges that the merger would lessen
competition in the market for small containerized waste hauling
services in Duval, Clay, Polk and Broward counties in Florida;
Chester County, Pennsylvania; Sussex County, Delaware; Frederick
and Washington counties in Maryland; the southern Eastern Shore
of Maryland; and the Baltimore, Maryland area.
Under the proposed settlement BFI would:
​ Divest Attwoods' small containerized hauling service
assets in several markets, including Chester County,
Pennsylvania; Duval and Clay counties, Florida; Frederick and
Washington counties, Maryland; and the southern Eastern Shore of
Maryland and southern Delaware.
​ Begin to offer new contracts with less restrictive terms
to small containerized hauling service customers in the Baltimore
area, and in Polk and Broward counties, Florida. These new
contracts will help promote opening up these markets to more
vigorous competition and provide a level playing field for new
entrants.
Bingaman said, "This joint settlement preserves competition
and protects consumers from higher prices, and is a model for
modern antitrust enforcement. By pooling resources, state and
federal antitrust enforcers can conduct their investigations and
cases more efficiently and with fewer resources. At the same
time, parties to transactions receive the benefits of a more
efficient process and avoid the burden of dealing with multiple
enforcement agencies."
This is the third case in which the Antitrust Division and a
state's Attorney General's office have jointly acted to prosecute
a civil antitrust case.
In May of this year, the Department of Justice and the state
of Florida together filed an antitrust suit to challenge the
proposed merger of two hospitals in North Pinellas County,
Florida.
In August of this year, the Department of Justice and the
state of Arizona filed a suit against Delta Dental Plan of
Arizona Inc., alleging that a statewide agreement between Delta
and dentists in Arizona made it impossible for dentists to cut
their fees below those offered in the Delta Plan.
As required by the Tunney Act, the proposed consent decree
will be published in the Federal Register, along with the
Department's competitive impact statement. Any person may submit
written comments concerning the proposed decree during a 60-day
comment period to Anthony V. Nanni, Chief, Litigation I section,
Antitrust Division, U.S. Department of Justice, 1401 H St., N.W.,
Suite 4000, Washington, D.C. 20530 (202/307-6576).
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