JAKARTA-KPPU remains sure PT Carrefour Indonesia has committed a monopolistic practice after the acquisition of PT Alfa Retailindo Tbk. KPPU is still waiting for the clear information on the acquisition of the Carrefour’s shares at Alfa Retailindo by Para Group.

“We have delivered the documents on the memorandum of cassation on March 12, 2010.  Now, we are waiting the decision on the filing of the cassation. How is the process, it depends on the Clerk and Supreme Judge who are in charge of examining the Cassation at the Supreme Court. For sure, we keep consistent with the decision of the KPPU, that is, Carrefour has been proved to commit the monopolistic practice,” the Head of the KPPU’s Public Relation Bureau, A Junaidi said to the Investor Daily Jakarta, Monday (4/12).

According to him, KPPU filed a cassation on the verdict of the South Jakarta District Court in the case number 1598/Pdt G/2009/ PN JktSel concerning Carrefour case. The District Court has won the appeal of Carrefour against KPPU in the alleged monopoly case. On November 3, 2009, KPPU decided that Carrefour has committed a monopolistic practice after the acquisition of PT Alfa Retailindo Tbk (Alfa).

He explained, it would take 30 working days to process the cassation decision upon the submission of the cassation documents. Meanwhile, he added. during the examination process, all related parties would not be notified.

“Today (April 12, 2010), a month has elapsed. However, there is no information received from the Supreme Court, we are still waiting for it. How is the process, we need not to be informed. Shortly, the point is at the hands of the Clerk of the Supreme Court,” he said.

Meanwhile, related to the plan of Para Group who is interested in acquiring 75% of Carrefour’s shares at Alfa Retailindo, Junaidi rejected to comment. “Until now, KPPU has yet to receive written report on such information (acquisition plan). We have not received proposal for the acquisition pre-notification. So, KPPU cannot comment more on this matter. It is a different case and involves other parties as well,” Junaidi affirmed.

When asked whether the cassation of the decision on Carrefour will impact the acquisition plan, Junaidi said, the question can be only answered after official written information has been received. “For sure, in the process of the cassation against the decision of the case, KPPU will follow the existing process. Regarding the information on the acquisition plan, it is a different matter. As far as no official written information received, KPPU cannot give detailed comments,” Junaidi said.

Previously, the owner of Para Group, Chairul Tanjung acknowledged to be interested in acquiring PT Alia Retailindo Tbk (ALFA), 75% shares of which is owned by PT Carrefour Indonesia. “Regarding the Carrefour’s shares at Alfa, please pray for us,” he said briefly. (Investor Daily, 12/4)

Meanwhile, the Corporate Secretary of PT Alfa Retailindo Tbk, Ales Okta Pratama explained, as of this day, no official notification from the shareholders on the planned sales of shares of PT Carrefour Indonesia at Alfa Retailindo to Para Group. “We will inform the public if there is new development,” she said in her written statement received by Investor Daily.

Carrefour Decreases

In separate occasion, the Corporate Affairs Director of Carrefour Indonesia, Irawan D Kadarman assessed, the competition in modern retail sector would be stricter. According to him, it was attributed to the appearance of new players and therefore the competition among the existing players would be more competitive.

At other side, with regard to the sales volume of Carrefour in February 2010, he acknowledged, there was a significant decrease compared to those of February 2009. “The sales in February 2010 decreases compared to January 2010. The decrease was more significant than February 2009. Many things affect this decrease, ranging from competition and consumer buying capability,” Irawan said, some time ago.

He added, the decrease of sales volume of Carrefour also occurred prior to Lebaran 2009. Based on the survey conducted by Carrefour, he stated, such decrease occurred as the consumers focused on buying the primary products, such as food and did not buy the secondary products such as textile and electronic equipments. After the Lebaran, he added, a recovery has risen, but not so optimum.

“In March 2010, we have not seen significant recovery from the decreasing trend in February 2010.” Irawan said.

Source: Investor Daily Indonesia, April 13, 2010