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Billion Dollar Ice Market Probed for Price-Fixing

Three Companies Scrutinized by Federal Antitrust Enforcers

Federal prosecutors in conjunction with federal antitrust enforcers are looking into allegations of price fixing in the US packaged ice market - which is worth approximately $1.8 billion annually.

According to interviews with an ex Party Time Ice vice president, some industry executives have been recorded on FBI wire taps allegedly conspiring to fix prices.

Prosecutors have already unsealed charges against Home City Ice Co, which alleged that the company conspired to suppress competition in the Detroit market from 2001 through to 2007. Home City subsequently pled guilty, and faces fines of up to $100 million.

Reddy Ice Holdings of Dallas have had their offices searched by the FBI, and Arctic Glacier Inc of Canada has been subpoenaed. However, as yet, neither company has been charged.

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Published on Aug-7-08


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