
                         Roanoke Times
                 Copyright (c) 1995, Landmark Communications, Inc.

DATE: TUESDAY, September 28, 1993                   TAG: 9309280098
SECTION: BUSINESS                    PAGE: B6   EDITION: METRO 
SOURCE: Associated Press
DATELINE: WASHINGTON                                LENGTH: Short

KEDS SETTLES CASE WITH BIG DONATIONS

The Keds Corp. won't demand that its shoes be sold at specific prices and will donate $5.7 million to women's and children's charities to settle a price-fixing case, federal and state authorities said Monday.

The settlement comes after an investigation by the Federal Trade Commission and the New York attorney general into retailers' complaints that Keds prohibited discounts on certain styles.

Last September, "in order to protect the long-term image of the brand," Keds told retailers to hold to certain prices for six women's styles, including the popular white canvas sports shoe at $19.99 and a similar leather version at $39.99, said Keds treasurer John Kelliher.

The company does not believe it violated any antitrust laws and that its pricing policy was lawful, said a company statement. But it decided to resolve the issue to avoid any business disruption.

Under an agreement with the FTC, Keds will refrain from fixing retail prices, pressuring any dealer to adhere to any resale price, trying to get dealers to commit to a certain price, and requiring or even suggesting that dealers report others who sell any Keds product below the suggested retail price.

by CNB