Wahaha to sue Danone for five billion euros

26th June 2007, Comments 0 comments

SHANGHAI, June 26, 2007 (AFP) - China's largest drink maker, Wahaha Group confirmed Tuesday it intends to sue its French partner Groupe Danone for up to five billion euros (6.7 billion dollars) for conducting illegal business.

SHANGHAI, June 26, 2007 (AFP) - China's largest drink maker, Wahaha Group confirmed Tuesday it intends to sue its French partner Groupe Danone for up to five billion euros (6.7 billion dollars) for conducting illegal business.

"We will countersue Danone, asking for two to five billion euros in damages," the company said.

"We have reliable evidence of their violations and will pursue their illegal activities according to the law," read the statement first issued on Monday.

It did not specify where or when Hangzhou-based Wahaha would sue the French firm it has partnered with since 1996, but company spokesman Shan Qining on Tuesday acknowledged the plan, declining further comment.

Danone and Wahaha are in the midst of bitter feud, in which the French firmed has alleged the Chinese drinks giants set up 20 independent companies and selling products identical to those sold by the joint ventures.

Danone, which owns 51-percent stakes in 39 joint ventures with Wahaha, has demanded a 51-percent stake in the non-joint venture companies, which Wahaha Group's chairman Zong Qinghou has rejected.


Copyright AFP

Subject: French news

0 Comments To This Article