Belgium to reassess Kinepolis competition rules

BRUSSELS, March 18 (Reuters) - Belgian cinema operator Kinepolis (KIPO.BR: Quote, Profile, Research) said on Tuesday Belgium's competition agency would reassess its decision to cancel specific competition rules which limited the group's development there.

Belgium's competition council had imposed the rules in 1997 as a condition to allow the merger which led to the creation of Kinepolis, but had lifted them in April last year.

"This decision (to lift the conditions) was contested by UGC, Utopolis and FCB, and the Court of Appeal has now ruled that the Competition Council should re-examine the dossier," Kinepolis said in a statement, referring to other cinema operators and the Belgian Cinema Federation.

"While awaiting the new judgement from the competition council, Kinepolis Group is taking account of the restrictions imposed when planning its growth strategy, just as it has for the past 10 years," it said in the statement, adding it was confident the competition council would confirm its decision.

Under the 1997 rules, Kinepolis was, for example, not allowed to increase the number of its auditoriums or take over auditoriums from other operators without the prior consent of the competition council.

The group operates cinemas in Belgium, France, Spain and Switzerland. (Reporting by Ingrid Melander; Editing by David Holmes)