Petron terminates contracts of 21 station dealers for 'dumping'

Posted at 01/29/2013 11:44 AM | Updated as of 01/29/2013 2:48 PM

MANILA, Philippines - Petron Corp. on Tuesday said it has terminated contracts of 21 service station dealers due to their alleged "dumping" activities.

Dumping pertains to service stations obtaining fuel from sources other than official dealers, making the products have questionable quality.

"It is our duty to make sure the consuming public only gets Petron's top-of-the-line fuel and lubricant products whenever they go to a Petron station," Archie B. Gupalor, Petron's vice-President for national sales, said in the statement.

"We do not tolerate these illegal activities and we will continue to go after unscrupulous dealers within our network to ensure the integrity of the Petron brand," Gupalor added.

Petron boasts of having the largest retail network in the country with its 2,000 service stations as of end-2012.

The firm in late 2011 filed criminal charges againsts a dealer in Bogo City in Cebu for trademark infringement, unfair competition and false designation of origin.