Since 1972, the membership of these conferences has

been remarkably static (compare CHART C to CHART B). From January 1, 1972, until November 1, 1975, there were only 15 membership changes (admissions or resignations) in the seven major North Atlantic conferences. Five of these were the admission of Canadian Pacific Steamships as an associate member of five conferences in June and July, 1975. In contrast, the fouryear period 1968-1971 saw 65 membership changes in the six major conferences (excluding the dissolved Baltic Westbound Conference). The experience in the Pacific trade during 1972-75 also contrasts sharply with that in the North Atlantic. During that period (January 1, 1972 to November 1, 1975), the four major Pacific conferences 349 had 51 membership changes. The stability of the North Atlantic conferences since 1972 compared with prior history in that trade and the experience of conferences in the Pacific trades show the degree of success achieved in eliminating competitive forces in the North Atlantic. Conference stability is typically a function of the degree of conference control; if the conference totally dominates the trade, there is no reason for any line to resign nor opportunity for it to enter.

340 The Pacific Westbound Conference (No. 57), the TransPacific Freight Conference (Hong Kong) (No. 14), the TransPacific Freight Conference of Japan-Korea (No. 150), and the Philippines North America Conference (No. 5600).

In recent years control has come to mean not only the elimination of intra-trade competition, but inter-conference competition as well. The effect of these membership changes in the North Atlantic has been the establishment of a bloc of large containership firms which control the North Atlantic conferences. Of course, the conferences can control rates, practices, classifications, and cargo regulations. This arrangement has been stable, as the low number of membership changes and the pattern of membership indicates. Thus, whenever the seven firms meet, they represent the controlling authority on the North Atlantic. In effect, they constitute a superconference.

Since the seven large containship firms obtained

control of the North Atlantic, the conferences have behaved
virtually as one entity: they have established common
administrative machinery; they have acted in unison on
rates, eliminating interconference competition; and they have
established a common policing unit to enforce the conferences'
rate structure. Of course, each conference retained the
theoretical right of independent action in formal agreements,
as required by statute.

341/ Rut. in effect, their concerted

action described here is like that of a superconference.

341/ 46 U.S.c. S 814 (1975).

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