THE BONUS . FIRST , THEY MUST STOCK AT LEAST 60% OF THE BRANDS SUPPLIED TO THE NETHERLANDS MARKET , WITHOUT DISCRIMINATING BETWEEN THE CONTRACTING PARTIES . SECONDLY , THEY MUST RESERVE A QUARTER OF THEIR WINDOW AND COUNTER SPACE FOR DISPLAYING CIGARETTES AND CIGARETTE ADVERTISING MATERIAL . THIRDLY , THEY MUST COOPERATE IN THE LAUNCHING OF NEW BRANDS . FINALLY , THEY MUST ACHIEVE MINIMUM ANNUAL SALES OF 1.5 MILLION CIGARETTES SUPPLIED , DIRECTLY OR THROUGH WHOLESALERS , BY MANUFACTURERS AND IMPORTERS WHO ARE PARTY TO THE AGREEMENT . IT IS ALSO PROVIDED THAT PARTIES CANNNOT WITHDRAW UNILATERALLY FROM THE SCHEME .
9 THE BONUS SCHEME IS ONE OF A NUMBER OF AGREEMENTS AND CONCERTED PRACTICES ADOPTED BY THE MEMBERS OF THE SSI CONCERNING RETAILERS ' MARGINS ( THAT IS TO SAY , THEIR SHARE OF THE RETAIL PRICE ). IN LATE 1979 THE MEMBERS OF THE SSI ENTERED INTO AN AGREEMENT SETTING THE MAXIMUM MARGIN FOR RETAILERS IN THE CASE OF DIRECT SUPPLIES . THAT AGREEMENT ALSO PROVIDED FOR THE CONTINUATION OF THE BONUS SCHEME .
10 DURING THE SAME PERIOD THE SCHEME WAS COMPLEMENTED BY A CONCERTED PRACTICE BETWEEN THE MEMBERS OF THE SSI RELATING TO THE GRANT OF A FIXED MARGIN FOR DIRECT SUPPLIES AND BY CONCERTED PRACTICES WITH WHOLESALERS RELATING TO THE GRANT OF A MAXIMUM MARGIN IN DELIVERIES FROM WHOLESALERS TO SPECIALIST RETAILERS .
11 FINALLY , THE EFFECTS OF THE AGREEMENTS AND PRACTICES DESCRIBED ABOVE WERE REINFORCED BY ANOTHER AGREEMENT ENTERED INTO BY THE MEMBERS OF THE SSI ON 23 APRIL 1975 . THAT AGREEMENT , LAYING DOWN RULES OF CONDUCT IN THE SALE OF CIGARETTES , PROVIDES THAT NO DISCOUNT MAY BE GRANTED OTHER THAN THOSE AGREED UPON BY THE MEMBERS OF THE SSI .
12 IN ITS DECISION , THE COMMISSION CONSIDERED THAT ALL THOSE AGREEMENTS AND CONCERTED PRACTICES WERE CONTRARY TO ARTICLE 85 ( 1 ) OF THE TREATY SINCE THEY MADE COMPETITION ON MARGINS IMPOSSIBLE .
13 WITH PARTICULAR REGARD TO THE BONUS SCHEME , THE COMMISSION CONSIDERED FIRST OF ALL THAT IT HAD THE EFFECT OF SIGNIFICANTLY RESTRICTING COMPETITION IN THE FORM OF EXTRA DISCOUNTS TO RETAILERS . SINCE THE AMOUNT OF THE BONUS IS BASED ON THE TOTAL VOLUME OF PURCHASES FROM PARTIES TO THE AGREEMENT , ANY EFFORT ON THE PART OF THE RETAILER TO OBTAIN AN EXTRA DISCOUNT BY CONCENTRATING HIS CUSTOM ON ONE OR MORE SUPPLIERS OR BY RENDERING THEM SPECIAL SERVICES BECOMES POINTLESS . FURTHERMORE , THE GRANT OF THE BONUS CONSTITUTES DISCRIMINATION AGAINST RETAILERS WHO DO NOT FULFIL THE CONDITIONS LAID DOWN BY THE AGREEMENT . THE JOINT REQUIREMENTS LAID DOWN IN THE SCHEME WHICH RETAILERS MUST MEET IN ORDER TO QUALIFY FOR THE BONUS CONSTITUTE APPRECIABLE RESTRICTIONS ON THEIR FREEDOM OF ACTION . FINALLY , THE VIRTUALLY GENERAL COVERAGE OF THE BONUS SCHEME HAD THE PRACTICAL EFFECT OF OBLIGING MANUFACTURERS AND IMPORTERS ENTERING THE NETHERLANDS MARKET TO GRANT RETAILERS A BETTER REBATE THAN THAT GIVEN BY THE PARTIES TO THE SCHEME