EC Says Boeing Deal Could Hurt Competition

The European Commission, in a move that could lead to a damaging transatlantic fight, warned Boeing Co. and McDonnell Douglas Corp. that their planned $13.3-billion merger could hurt competition in Europe. The commission can block large non-European Union mergers or acquisitions if the companies involved do significant business in the 15-nation bloc. Almost a year ago, the commission forced Kimberly Clark and Scott Paper to divest important businesses in Britain and Ireland in return for its approval of their merger. A spokesman said he expects the aerospace companies to submit the deal for EU clearance in January. Boeing representatives met commission officials Tuesday. A spokesman for the company said it did not expect opposition from the EU.