• We do not discuss with competitors prices or price-related information, information related to bids or proposals, the division or allocation of markets, or our business dealings with any third party.
• We obtain competitive information legally and ethically.
• We deal fairly with our suppliers and business partners.
• We provide truthful information to our suppliers and business partners.
• We respect the intellectual property rights of others.

We believe in free and fair competition. The majority of the countries where we do business prohibit anti-competitive collusion between competitors and abuse of a dominant position (known as “monopolization” in the United States). They also prohibit agreements with customers and suppliers that impose unreasonable restrictions on their commercial independence. We must comply with applicable antitrust and competition laws in all countries where we do business. In doing so, we ensure that our customers have access to quality products and services at fair prices.

It is important to avoid contact with competitors and their employees, except in those limited situations in which contacts are clearly necessary and for a lawful purpose.

It is never acceptable to discuss with a competitor about any of the following:

• Prices we charge for our products
• Terms of sale
• Production output
• Allocation of markets or customers

Gathering competitive intelligence is an important business tool. However, that information should only be collected in legal and ethical ways. Never solicit or accept competitive information directly from any competitor. If you hire an associate who previously worked for a competitor, you must honor any non-disclosure obligations that person may have. You should not accept or solicit the disclosure of confidential competitor information from that associate. Further, you should never hire a competitor’s associate specifically to obtain the competitor’s confidential information. If colleagues, customers or business partners have competitive information they are required to keep confidential, never ask them to share it with you.

If you work in sales, marketing, corporate development, purchasing or any other area of Timken where you may interact with competitors, be sure to review and understand the Timken antitrust guidelines. Before attempting to impose any contractual restrictions on any customer or supplier that would limit their ability to purchase from or sell to our competitors or otherwise restrict their commercial freedom (for example, restricting a customer’s resale prices or sales territory), you should consult with legal services.

Q: Recently, Josue had lunch with his old friend, Rick, who is Josue’s sales counterpart from one of Timken’s competitors. The two used to work together, and decided to catch up on old times. Though they stuck to personal discussion at first, the conversation eventually turned to their current jobs. Rick began to share with Josue his company’s pricing strategy for a new line of power transmission components. Josue tells Rick that they shouldn’t be discussing this information. What else should Josue do?

 

A: Josue has done the right thing by ending the conversation. However, the issue doesn’t end there. Because competition laws take into account even the appearance of collusion, Josue should make it clear to Rick that this topic is off limits. Then, Josue should report the conversation to legal services. Keeping our company informed of such issues will help us deal with them appropriately – before they become larger problems.