In the proceeding opened by the CCA following the allegations in the media about the simultaneous price increase of nine dailies – „Jutarnji list“,„Slobodna Dalmacija“, „Zadarski list“, „Glas Istre“, „Novi list“, „Glas Slavonije“, „Večernji list“, „Vjesnik“ and „Slavonski dom“ by one Kuna, it was established that the publishers entered a prohibited agreement within the meaning of Article 9 paragraph 1 point 1 of the Competition Act which has as its object the distortion of competition in the relevant daily press publishers’ market in the territory of the Republic of Croatia. In the economic analysis carried out by the Agency it has been undoubtedly established that nine daily press publishers simultaneously increased the retail price of their daily papers by one Kuna regardless of their actual revenues and structure of costs. The economic analysis proved that the participants of the cartel have significantly different cost structure and source of revenue whereby the price increase is in no way economically justified. The agreement on price fixing between existing competitors is aimed exclusively against the consumers – Croatian daily press readers, leading to undeserved profit making of the undertakings that entered such an agreement. Within the meaning of Article 9 paragraph 1 point 1 of the Competition Act prohibited are all agreements between undertakings, contracts, single provisions of agreements, explicit or tacit agreements, concerted practices, decisions by associations of undertakings the object or effect of which is to prevent, restrict or distort competition in the relevant market, and in particular those which directly or indirectly fix purchase or selling prices to the harm of the consumers and generating undeserved profit of the cartel members. In such a case a cartel operates in practice as a collective monopoly which restricts the consumer choice as to the price of goods or services. At the same time such behaviour eliminates the mechanisms of the market which would otherwise motivate the publishers to cost effective operation, creation of products and services which are of better quality and lower price etc. The price fixing agreement also eliminates competition between the cartel members and is directed against the public interest, key principles of market based economy and competition, to the consumer detriment. In addition, such practices generate unjustified profit for the operators; in this particular case the publishers, whose costs are lower than the costs of the most inefficient member of the cartel. In this specific market – the media market, competitors should not only compete with the content but also with their price. Only price competition, in the sense of competition rules, generates benefit for the consumers – in this particular context the Croatian readers and offers them possibility for true choice. At the same session the CCA cleared the concentration (joint venture) between the undertakings which resulted in the creation of a new undertaking MR Servis d.o.o. under the joint control of the undertakings M SAN ulaganja d.o.o. and RECRO ULAGANJA d.o.o. This concentration arises within the meaning of Article 19 paragraph 2 of the Competition Act where its implementation may produce effects on the market in servicing of computer equipment, consumer electronics and mobile phones in the territory of the Republic of Croatia. The joint venture so created will have a 25 % to 30 % market share in the market in servicing of computer equipment, whereas 10 % – 15 % share will be held in the consumer electronics market, while less than 10 % share will be held in the last mentioned mobile phones servicing market. It is the view of the CCA that the creation of a new economic operator in this dynamic, open and fast growing technology market with low barriers to entry will contribute to strengthening of competition, better positioning of service providers in the market and consumer welfare in terms of standardization and better quality and lower prices of service providers. Finally, the Competition Council also adopted the decision on further decrease of the previously set base rate from 7.33 % to 5.46 %. The temporary reference rate is calculated by reducing the base rate of 4.98 % to 4.30 %. The new reference rate will apply from 1 April 2010. The purpose of this newly adjusted reference rate is to ensure aid grantors to grant aid particularly in the form of loans under the more favourable terms. Given the cut in loans supply in the market and increase in interests due to the global financial crisis, the CCA decreased the base reference rate by 21 % and ensured the adoption of aid schemes and financing of undertakings in the circumstances of the current financial and economic crisis.