Operating companies of the Oji Group involved with corrugated sheets and boxes were subject to onsite inspections by the Japan Fair Trade Commission on June 5, 2012 and September 19, 2012 after their business dealings were suspected of violating Japan’s Antimonopoly Act. The Oji Group fully cooperated with these as well as all subsequent investigations carried out by the Fair Trade Commission. Today, the Oji Group received a cease and desist order and surcharge payment order from the Japan Fair Trade Commission for business dealings involving corrugated sheets and boxes in Eastern Japan.
The Oji Group will closely examine the details of the cease and desist order and surcharge payment order and carefully consider its response given the fact there is a difference in perception between the Oji Group and the Japan Fair Trade Commission with regards to the business dealings that were investigated.
The Oji Group deeply regrets and apologizes for any concerns it has caused its shareholders, customers, and other stakeholders.
The Oji Group accepts the fact that it has received these orders issued from the Japan Fair Trade Commission with sincerity and austerity, and will take thorough measures within its compliance system.
About the Japan Fair Trade Commission’s Orders
1. Summary of the cease and desist order
For business dealings of corrugated sheets and boxes in Eastern Japan suspected of violating Article 3 (Prohibition of Unreasonable Restraint of Trade) of the Antimonopoly Act, eleven companies of the Oji Group were ordered to confirm that the business dealings in question have been terminated, the action guidelines on compliance with the Anti-Monopoly Act will be made fully known to employees, and that regular training and audits will be performed in-house.
2. Summary of surcharge payment order
Payable surcharge amount: \2,712.55 million (total for the 11 companies)
A provision of reserve for surcharges in the amount of \2,712 million was booked for the fiscal year ended March 31, 2014. As a result, the Oji Group’s earnings forecast will not be revised due to this matter.