AddressUnit 8, Atley Way, North Nelson Industrial Estate, Cramlington
Mobile+44 (0) 7956729465
Office01670 716811
Write usenquiries@cpfl-tvs.co.uk
Antitrust Policy
Purpose:
To establish the general rules, principles, guidelines, and commitments related to full compliance with competition laws, ensuring the ethical development of CPFL's activities with active involvement and cooperation with the relevant authorities.
Implementation:
This Policy applies exclusively to Cramlington Precision Forge Ltd. (CPFL). All employees (permanent, temporary, and trainees), third parties acting on behalf of CPFL, interns, directors, and officers must comply with this Policy and all related regulatory documents, even if the country in which they work or reside has more lenient rules or practices. Conversely, if the country has stricter rules, the stricter rules should apply. In all cases, the highest and most restrictive standard must always apply.
References:
– Code of Conduct
– Human Rights Policy
– Risk Management Policy
– Anti-Corruption Policy
Context:
Most countries where CPFL operates have competition protection laws designed to prevent practices that restrict trade and/or free competition, such as forming cartels and exercising dominant positions in the market. Violation of these competition laws can lead to serious consequences for CPFL and its representatives. Therefore, all representatives and third parties acting on behalf of CPFL must comply with the rules of conduct described in this Policy.
Definitions:
Associative Contracts: Contracts with a total aggregate term of two years or more, entered into between competitors in the market that involve sharing risks and results of the economic activity.
Competition Laws: Refers to laws and regulations governing the prevention and suppression of violations against economic order and free competition in the countries where CPFL operates.
Competitive Sensitive Information: Non-public information related to CPFL's commercial activities, including sales conditions, pricing, costs, strategic plans, and other commercially sensitive data.
Competitor: Any individual or legal entity that supplies or could supply the same or substitute products as those sold by CPFL.
Illegal Behavior: Any behavior that has the potential to impair free competition, dominate a relevant market, increase profits arbitrarily, or exercise market power abusively.
Market Power: The ability of a company to reduce its supply or raise its prices above competitive levels without losing customers.
Public Authority: Any authority, agency, or representative of the state at any municipal, state, or federal level.
Representative(s): Directors, board members, committee members, employees, managers, external advisors, lawyers, consultants, and any other individuals or legal entities acting on behalf of CPFL.
Third Parties: Suppliers, customers, agents, and traders who have relationships with CPFL.
Principles:
In line with our value “Act with Integrity,” free competition is essential for promoting a fair and healthy business environment. CPFL is committed to maintaining a business environment free from fraud and manipulation, whether in bidding processes or contracts with the public or private sectors. Compliance with competition laws reinforces CPFL's commitment to acting as an effective and responsible institution.
This Policy aligns with CPFL's Code of Conduct commitments, including:
Zero tolerance for corruption and bribery.
Protecting CPFL's reputation.
Prioritizing risk management and internal controls.
Acting with legality, formality, transparency, and accountability.
Guidelines:
The primary objective of this Policy is to prevent and repress violations of economic order, guided by the principles of freedom of initiative, free competition, consumer protection, and the repression of economic power abuse.
CPFL representatives and third parties must act independently when defining prices, production levels, sales, and marketing strategies, and when selecting customers and suppliers.
To establish the general rules, principles, guidelines, and commitments related to full compliance with competition laws, ensuring the ethical development of CPFL's activities with active involvement and cooperation with the relevant authorities.
Implementation:
This Policy applies exclusively to Cramlington Precision Forge Ltd. (CPFL). All employees (permanent, temporary, and trainees), third parties acting on behalf of CPFL, interns, directors, and officers must comply with this Policy and all related regulatory documents, even if the country in which they work or reside has more lenient rules or practices. Conversely, if the country has stricter rules, the stricter rules should apply. In all cases, the highest and most restrictive standard must always apply.
References:
– Code of Conduct
– Human Rights Policy
– Risk Management Policy
– Anti-Corruption Policy
Context:
Most countries where CPFL operates have competition protection laws designed to prevent practices that restrict trade and/or free competition, such as forming cartels and exercising dominant positions in the market. Violation of these competition laws can lead to serious consequences for CPFL and its representatives. Therefore, all representatives and third parties acting on behalf of CPFL must comply with the rules of conduct described in this Policy.
Definitions:
Associative Contracts: Contracts with a total aggregate term of two years or more, entered into between competitors in the market that involve sharing risks and results of the economic activity.
Competition Laws: Refers to laws and regulations governing the prevention and suppression of violations against economic order and free competition in the countries where CPFL operates.
Competitive Sensitive Information: Non-public information related to CPFL's commercial activities, including sales conditions, pricing, costs, strategic plans, and other commercially sensitive data.
Competitor: Any individual or legal entity that supplies or could supply the same or substitute products as those sold by CPFL.
Illegal Behavior: Any behavior that has the potential to impair free competition, dominate a relevant market, increase profits arbitrarily, or exercise market power abusively.
Market Power: The ability of a company to reduce its supply or raise its prices above competitive levels without losing customers.
Public Authority: Any authority, agency, or representative of the state at any municipal, state, or federal level.
Representative(s): Directors, board members, committee members, employees, managers, external advisors, lawyers, consultants, and any other individuals or legal entities acting on behalf of CPFL.
Third Parties: Suppliers, customers, agents, and traders who have relationships with CPFL.
Principles:
In line with our value “Act with Integrity,” free competition is essential for promoting a fair and healthy business environment. CPFL is committed to maintaining a business environment free from fraud and manipulation, whether in bidding processes or contracts with the public or private sectors. Compliance with competition laws reinforces CPFL's commitment to acting as an effective and responsible institution.
This Policy aligns with CPFL's Code of Conduct commitments, including:
Zero tolerance for corruption and bribery.
Protecting CPFL's reputation.
Prioritizing risk management and internal controls.
Acting with legality, formality, transparency, and accountability.
Guidelines:
The primary objective of this Policy is to prevent and repress violations of economic order, guided by the principles of freedom of initiative, free competition, consumer protection, and the repression of economic power abuse.
CPFL representatives and third parties must act independently when defining prices, production levels, sales, and marketing strategies, and when selecting customers and suppliers.
Key Points to Note:
Anti-competitive conduct constitutes a crime and can result in severe penalties for individuals and companies.
The actual result of the conduct is not decisive; practices with potential anti-competitive effects are illegal.
Intent is not required to prove a violation; companies can be punished even without intent or negligence.
Cartel practices are generally considered illegal, with authorities only needing to prove the existence of the agreement.
Prohibited Conduct:
Cartels: Coordinating agreements or behaviors between competitors to fix prices, divide markets, establish quotas, or restrict production.
Bidding Cartels: Agreements between competitors in bidding processes, including price-fixing and market division.
Sharing Competitive Sensitive Information: Sharing commercially sensitive information with competitors.
Influencing Uniform Behaviour: Promoting or influencing coordinated commercial behaviour among competitors.
Unilateral Anti-Competitive behaviour:
Exclusivity: Entering into exclusive agreements or refusing to contract with third parties for anti-competitive reasons.
Refusal to Contract: Arbitrarily boycotting customers, suppliers, or competitors.
Discrimination: Setting different prices or conditions without legitimate business reasons.
Predatory Pricing: Offering products below cost to eliminate competitors.
Setting Resale Conditions: Fixing prices or conditions for resale by distributors.
Tie-in Sales: Requiring the purchase of additional goods or services as a condition of sale.
Rival Costs Increase: Adopting practices to increase competitor costs without legitimate business reasons.
Mandatory Notification to Competition Authorities:
Certain commercial transactions may require prior approval from competition authorities. Representatives must consult CPFL’s General Counsel before and during negotiations to determine if the transaction constitutes a concentration act or if there are potential competition issues.
Gun Jumping: Premature integration of companies involved in a transaction before final approval is illegal and can result in fines and other penalties.
General Provisions:
The General Counsel’s Office should always be consulted in cases of doubt regarding this Policy or during events and negotiations involving competitive practices.
Any suspected violation of this Policy must be reported to the Whistleblower Channel. The channel is operated by an independent company, ensuring confidentiality and protecting whistleblowers from retaliation.
Failure to comply with this Policy may expose CPFL and its representatives to administrative, civil, and criminal penalties and may result in disciplinary measures, including termination of employment or contracts.
This Policy must be reviewed periodically, at least once every three years.
This adaptation tailors the policy specifically to CPFL, ensuring it reflects the company's values and operational context while maintaining the integrity and legal compliance essential for antitrust practices.
Anti-competitive conduct constitutes a crime and can result in severe penalties for individuals and companies.
The actual result of the conduct is not decisive; practices with potential anti-competitive effects are illegal.
Intent is not required to prove a violation; companies can be punished even without intent or negligence.
Cartel practices are generally considered illegal, with authorities only needing to prove the existence of the agreement.
Prohibited Conduct:
Cartels: Coordinating agreements or behaviors between competitors to fix prices, divide markets, establish quotas, or restrict production.
Bidding Cartels: Agreements between competitors in bidding processes, including price-fixing and market division.
Sharing Competitive Sensitive Information: Sharing commercially sensitive information with competitors.
Influencing Uniform Behaviour: Promoting or influencing coordinated commercial behaviour among competitors.
Unilateral Anti-Competitive behaviour:
Exclusivity: Entering into exclusive agreements or refusing to contract with third parties for anti-competitive reasons.
Refusal to Contract: Arbitrarily boycotting customers, suppliers, or competitors.
Discrimination: Setting different prices or conditions without legitimate business reasons.
Predatory Pricing: Offering products below cost to eliminate competitors.
Setting Resale Conditions: Fixing prices or conditions for resale by distributors.
Tie-in Sales: Requiring the purchase of additional goods or services as a condition of sale.
Rival Costs Increase: Adopting practices to increase competitor costs without legitimate business reasons.
Mandatory Notification to Competition Authorities:
Certain commercial transactions may require prior approval from competition authorities. Representatives must consult CPFL’s General Counsel before and during negotiations to determine if the transaction constitutes a concentration act or if there are potential competition issues.
Gun Jumping: Premature integration of companies involved in a transaction before final approval is illegal and can result in fines and other penalties.
General Provisions:
The General Counsel’s Office should always be consulted in cases of doubt regarding this Policy or during events and negotiations involving competitive practices.
Any suspected violation of this Policy must be reported to the Whistleblower Channel. The channel is operated by an independent company, ensuring confidentiality and protecting whistleblowers from retaliation.
Failure to comply with this Policy may expose CPFL and its representatives to administrative, civil, and criminal penalties and may result in disciplinary measures, including termination of employment or contracts.
This Policy must be reviewed periodically, at least once every three years.
This adaptation tailors the policy specifically to CPFL, ensuring it reflects the company's values and operational context while maintaining the integrity and legal compliance essential for antitrust practices.
