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Wednesday, June 27, 2001

EU chief looks to calm U.S.




The Associated Press

        BRUSSELS, Belgium — Providing little hope that General Electric Co. can rescue its proposed $41 billion purchase of Honeywell International Inc., the European Union antitrust chief sought Tuesday to smooth trans-Atlantic waves and said he was confident that differences with his U.S. counterparts would remain rare.

        Competition Commissioner Mario Monti avoided directly answering a question about whether there was still time for GE to satisfy the EU's objections to the deal, which is stalled in Brussels although it received conditional clearance from U.S. and Canadian regulators.

        Mr. Monti noted that the European Commission is scheduled to make its decision next Tuesday and pointed out the “very precise and tight rules governing deadlines” for submitting proposals to meet concerns raised by regulators. That deadline passed for GE June 14.

        He said he welcomed the backing the Commission's findings on the case received at a meeting Monday by EU national competition authority officials.

        Support from EU governments would strengthen Mr. Monti's hand in recommending a rejection of the GE-Honeywell merger to his colleagues on the 20-member Commission, the EU's executive branch.

        GE spokesman Gary Sheffer said GE and Honeywell executives met Monday.

        “We remain fully committed to our final proposal,” Mr. Sheffer said. “We continue to have discussions concerning it.”

        EU sources have expressed surprise that GE and Honeywell have not withdrawn the deal and instead are sticking by what they termed their “final offer,” which is almost certain to be rejected.

       



Delta says outlook bright
Comair's 1st flight Monday
Economy showing signs of life
Plan on despite job cuts
- EU chief looks to calm U.S.
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Industry notes: Banking
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