(Case T-30/05)

Competition – Cartels – European haberdashery market (needles) – Product market sharing – Geographic market sharing – Fine – Guidelines on the method of setting fines – Duty to state reasons – Gravity and duration of the infringement – Leniency notice

4. Competition – Fines – Amount – Determination – Measure of the actual capacity to cause significant damage to competition on the market concerned (Art. 81(1) EC; Council Regulation No 17, Art. 15(2)) (see para. 90)

6. Competition – Agreements, decisions and concerted practices – Agreements between undertakings – Effect on trade between Member States – Criteria – Market not significantly affected – Agreement not prohibited (Art. 81(1) EC) (see paras 102-103, 140)

8. Competition – Fines – Amount – Determination – Criteria – Duration of the infringement (Art. 81(1) EC; Council Regulation No 17, Art. 15(2)) (see paras 127-128, 133)

9. Competition – Community rules – Infringement committed by a wholly owned subsidiary – Imputed by presumption to the parent company (Art. 81 EC) (see para. 146)

10. Competition – Fines – Amount – Determination – Power of assessment conferred on the Commission by Article 23 of Regulation No 1/2003 (Council Regulation No 1/2003, Art. 23) (see paras 153-156)

11. Community law – Principles – Non-retroactivity of penal provisions – Scope – Fines imposed for breach of the competition rules – Included (Council Regulation No 1/2003, Art. 23; Commission Notice 98/C 9/03) (see paras 164-168)

13. Competition – Fines – Amount – Determination – Criteria – Seriousness of the infringement – Attenuating circumstances (Council Regulation No 17, Art. 15(2); Commission Notice 98/C 9/03, point 3) (see paras 204-205, 207-208, 211)

14. Competition – Fines – Amount – Determination – Criteria – Obligation to take account of the financial situation of the undertaking concerned (Council Regulation No 17, Art. 15(2)) (see para. 230)

15. Competition – Fines – Amount – Determination – Criteria – Attitude of the undertaking during the administrative procedure (Council Regulation No 17, Art. 15(2); Commission Notice 96/C 207/04, Title D, point 2) (see paras 251-252)

Re:

APPLICATION, principally, for annulment of Commission Decision C(2004) 4221 final of 26 October 2004 relating to a proceeding under Article 81 [EC] (Case COMP/F-1/38.338 – PO/Needles) in so far as it relates to the applicants, and, in the alternative, for annulment or reduction of the fine imposed on the applicants.

Operative part

The Court:

1.Sets the amount of the fine imposed on William Prym GmbH & Co. KG and Prym Consumer GmbH & Co. KG under Article 2 of Commission Decision C(2004) 4221 final of 26 October 2004 relating to a proceeding under Article 81 [EC] (Case COMP/F-1/38.338 – PO/Needles) at EUR 27 million;

2.Dismisses the remainder of the appeal;

3.Orders William Prym and Prym Consumer to bear 90% of their own costs and to pay 90% of the costs incurred by the Commission, and the Commission to bear 10% of its own costs and to pay 10% of the costs incurred by William Prym and Prym Consumer.