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Coca-Cola -vs- Pepsi

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Cola Wars

NEW YORK (CNNfn) - PepsiCo.  filed an antitrust lawsuit against rival Coca-Cola Co., charging the company with using intimidation to stifle competition.

The suit, filed in federal court in New York, says Coke threatened to stop selling to restaurants that also offered Pepsi.

Pepsi is asking the court to prohibit Coca-Cola from continuing the alleged practices, and is also seeking unspecified damages.

In its complaint, Pepsi said Coca-Cola, which already dominates the sales of fountain drinks, cracked down on independent beverage distributors who distributed both soft drinks. The move came after Pepsi lowered its prices, Pepsi said.
     "This competition not only threatened Coca-Cola with the loss of customers, but also posed a substantial risk that Coca-Cola's remaining customers would demand lower prices, more comparable to those being offered by PepsiCo, thereby jeopardizing the monopoly profits that Coca-Cola had enjoyed..." the complaint stated.