Henry Schein (NSDQ:HSIC) said yesterday that the U.S. Federal Trade Commission dismissed claims that it conspired with competitors to avoid giving discounts to buying groups representing dental practitioners.
In February 2018, the FTC filed a complaint against Schein, Patterson (NSDQ:PDCO) and Benco alleging violations of U.S. antitrust law by conspiring to refuse to provide such discounts or to serve such buying groups.
The FTC said at the time that the three companies controlled more than 85% of all dental product distributor sales in the U.S. The commission alleged that they denied independent benefits of such buying groups, mostly made up of small businesses, including solo practices or small groups of dentists.
Schein denied the allegations, saying that it had consistently done business with such buying groups and that it never entered into an agreement looking to deny those groups business. Now, the FTC has determined that there was no wrongdoing in that sense by the Melville, N.Y.-based company.
“We have publicly denied these allegations from the very start of this matter,” chairman & CEO Stanley Bergman said in prepared remarks. “Henry Schein has always been committed to doing business in an ethical manner wherever we operate, and our team looks forward to continuing to serve our customers and suppliers with the excellence that is expected from us.”
Shares of HSIC were up 1.9% at $63.64 per share in mid-morning trading today.