• Investing
  • Stock
  • Editor’s Pick
  • Economy
The Significant Deals
Investing

Top liquor distributor favored Costco and Kroger over small businesses, FTC says

by December 13, 2024
written by December 13, 2024

The Federal Trade Commission in a new lawsuit accuses the largest U.S. distributor of wine and spirits of illegal price discrimination that gave large chains — among them Costco, Kroger and Total Wine & More — much better prices than those offered to neighborhood grocery stores, convenience shops and independent liquor stores.

The distributor, Southern Glazer’s Wine and Spirits, is the tenth largest privately held company in the United States, generating about $26 billion in revenues from sales to retail customers in 2023, the FTC said Thursday in announcing the suit.

The complaint says Southern, which distributes around 5,600 wine and spirit brands, deprived smaller businesses of access to discounts and rebates, harming their ability to compete with large national and regional chain stores.

The suit alleges the distributor violated the Robinson-Patman Act by providing “steep discounts” without any market justification to a certain set of retailers.

“When local businesses get squeezed because of unfair pricing practices that favor large chains, Americans see fewer choices and pay higher prices — and communities suffer,” said FTC Chair Lina Khan in a statement.

“The law says that businesses of all sizes should be able to compete on a level playing field,” Khan said. “Enforcers have ignored this mandate from Congress for decades, but the FTC’s action today will help protect fair competition, lower prices, and restore the rule of law.”

CNBC has requested comment on the lawsuit from Southern.

The suit, filed in U.S. District Court for the Central District of California, accuses Southern of price discrimination since at least 2018 up to now.

Southern distributes wine and spirits for many big suppliers, including Pernod Ricard, the supplier of Jameson Irish Whiskey and Absolut Vodka; Bacardi U.S.A., the supplier of Patron Silver Tequila, Grey Goose Vodka, and Bacardi Rum; Diageo, the supplier of Smirnoff Vodka; and Beam Suntory, the supplier of Jim Beam Bourbon and Makers Mark Whiskey, according to the FTC.

This post appeared first on NBC NEWS
0 comment
0
FacebookTwitterPinterestEmail

previous post
Mexico regulator rules Walmex used monopolistic practice, orders fine
next post
Factbox-Big banks expect a quarter-point cut for ECB’s first meeting of 2025

You may also like

Lawsuit accuses Apple of stealing trade secrets to...

August 9, 2025

Trump demands resignation of Intel CEO over alleged...

August 7, 2025

Claire’s, known for piercing millions of teens’ ears,...

August 7, 2025

Tim Cook to join Trump at White House...

August 7, 2025

Fox One streaming service to launch ahead of...

August 6, 2025

Murdoch to provide Trump health updates in deal...

August 6, 2025

U.S. farm agency allows six more states to...

August 5, 2025

Amazon lays off over 100 employees in Wondery...

August 5, 2025

All major Las Vegas Strip casinos are now...

August 5, 2025

Columbia Sportswear sues Columbia University, alleging trademark infringement

August 4, 2025
Fill Out & Get More Relevant News








    Stay ahead of the market and unlock exclusive trading insights & timely news. We value your privacy - your information is secure, and you can unsubscribe anytime. Gain an edge with hand-picked trading opportunities, stay informed with market-moving updates, and learn from expert tips & strategies.

    Recent Posts

    • Lawsuit accuses Apple of stealing trade secrets to create Apple Pay

      August 9, 2025
    • Trump demands resignation of Intel CEO over alleged China ties

      August 7, 2025
    • Claire’s, known for piercing millions of teens’ ears, files for Chapter 11

      August 7, 2025
    • Tim Cook to join Trump at White House for Apple investment announcement

      August 7, 2025

    Categories

    • Economy (245)
    • Editor's Pick (3,646)
    • Investing (591)
    • Stock (6,426)

    Latest News

    • Lawsuit accuses Apple of stealing trade secrets to create Apple Pay
    • Trump demands resignation of Intel CEO over alleged China ties

    Popular News

    • Euro to stay weak, but avoid parity to USD for now: Reuters poll
    • Analysis-Honda, Nissan tie-up requires something neither can spare: time

    About The Significant deals

    • Privacy Policy
    • Terms & Conditions

    Copyright © 2025 thesignificantdeals.com | All Rights Reserved

    The Significant Deals
    • Investing
    • Stock
    • Editor’s Pick
    • Economy