14.10.2003 Official Journal of the European Union L 263/9 COMMISSION DECISION of 21 May 2003 relating to a proceeding under Article 82 of the EC Treaty (Case COMP|C-1/37.451, 37.578, 37.579 — Deutsche Telekom AG) (notified under document number C(2003) 1536) (Only the German text is authentic) (Text with EEA relevance) (2003/707[EC) THE COMMISSION OF THE EUROPEAN COMMUNITIES, Having regard to the Treaty establishing the European Commu- nity, Having regard to Council Regulation No 17 of 6 February 1962, the first Regulation implementing Articles 85 and 86 of the Treaty ('), as last amended by Regulation (EC) No 1216/ 1999 (3), and in particular Articles 3 and 15(2) thereof, Having regard to the complaints lodged on 18 March 1999, 19 July 1999 and 20 July 1999 by Mannesmann Arcor AG & Co. and 14 German regional fixed-network operators, alleging infringement of Article 82 of the EC Treaty by Deutsche Telekom AG and asking the Commission to put an end to that infringement, Having regard to the Commission decision of 2 May 2002 to initiate proceedings in this case, Having heard the undertakings concerned in accordance with Article 19(1) of Council Regulation No 17 and Commission Regulation (EC) No 2842/98 of 22 December 1998 on the hearing of parties in certain proceedings under Articles 81 and 82 of the EC Treaty (), Having consulted the Advisory Committee on Restrictive Prac- tices and Dominant Positions, Having regard to the report by the Hearing Officer, Whereas: I. THE FACTS (1) This decision concerns unfair pricing contrary to Article 82(a) of the EC Treaty. The prices in question are charged to competitors and end-users by Deutsche Telekom AG (DT) for access to its local networks. DT’s local networks each consist of a number of local loops. () O] 13, 21.2.1962, p. 204/62. () OJ L 148, 15.6.1999, p. 5. () O] L 354, 30.12.1998, p. 18. In accordance with Article 2(e) of Directive 2002/19/EC of the European Parliament and of the Council of 7 March 2002 on access to, and interconnection of, electronic communications networks and associated facilities (Access Directive) (), the local loop is the physical circuit connecting the network termination point at a subscriber’s premises to the main distribution frame or equivalent facility in the fixed public telephone network. (2) On 18 March 1999, Mannesmann Arcor AG & Co. lodged a complaint against DT under Article 82 of the EC Treaty and against Germany under Article 86 of the EC Treaty. (3)  The Commission received two further complaints in respect of the same facts, one on 19 July 1999, from TeleBeL GmbH and seven other companies (see recital 9) (Case COMP/C-1/37.37.58) and one on 20 July 1999, from EWE TEL GmbH and five other companies (see recital 10) (Case COMP/C-1/37.579). All of these addi- tional 14 complainants are German local and regional telecommunications operators active in different German towns or cities. (4)  The main contention in all three complaints is that the margin between the prices DT charges its competitors for unbundled access to local loops in Germany and the prices it charges end-users for access to its fixed network is not sufficient to enable its competitors to compete with it to provide end-user access over local networks. The main accusation made against Germany is that the German regulatory authority for telecommu- nications and posts (Regulierungsbehorde fur Telekommuni- kation und Post, abbreviated to RegTP and hereinafter referred to as ‘the regulatory authority) has fixed the wholesale charges at a level exceeding the retail charges. (5)  Charges for access to local networks are partly regulated by the regulatory authority, but this decision is concerned with unfair prices which have been set by DT itself in the exercise of its own commercial freedom, and for which it is directly responsible. () OJ L 108, 24.4.2002, p. 7.