The Taiwanese computer company Asustek Computer, known as Asus, announced on Friday, May 11, that it has reached a settlement agreement with the European Union in the amount of €65 million (US$77.6 million).
The settlement was agreed upon in regards to price manipulation allegations that stemmed from an investigation that the European Commission initiated in February 2017; simultaneously, the EC also initiated separate antitrust investigations into Denon & Marantz, Philips, and Pioneer.
Asus CFO Nick Wu said, “Although it is a high price to pay, this is the outcome we have to face and accept… Asus will train employees more carefully to abide by the law to prevent a similar case from happening again.”
It is uncertain how long Asus engaged in price manipulation since the company has been unwilling to come forth with information regarding the investigation.
While the year-plus long investigation wound down, Wu said Asus set aside the €65 million (US$77.6 million) to settle the case. The settlement payment took a toll on the profit margins for the January-March quarter, which plunged 35% on the year and 41% on the quarter.
Full Content: Asia Nikkei
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