Customers May Prove Key In FTC's Sysco-US Foods Challenge

Law360, New York (February 20, 2015, 7:44 PM EST) -- After more than a year of investigation and a split vote, the Federal Trade Commission has taken on Sysco Corp.'s proposed $3.5 billion merger with US Foods Inc. in a detailed complaint that experts say tees up the antitrust watchdog for a trial filled with customer testimony.

The FTC rejected a plan from Sysco and US Foods to sell 11 food distribution centers to fix the deal and sued to block the transaction on Thursday, saying Sysco would end up with too tight a grasp over both national and local markets for food distribution services.

In its 24-page administrative complaint, the watchdog...

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