The antitrust regulator fined Colombia's largest cement maker, Cementos
Argos (CEMARGOS.BO), and the local units of Mexico-based Cemex SA (CX)
and Swiss-based Holcim Ltd (HOLN.VX).

"The fines are the result of an investigation that showed that during
the second half of 2005, the cited companies participated in an
agreement to fix prices of Gray Portland Type 1 cement to divide among
themselves the market of this product at a national level," the
regulator said.

The regulator found there was exchange of confidential information
between the three companies and contacts between officials.

The three companies can appeal the decision.

Natalia Agudelo, a stock analyst with local brokerage Interbolsa SA who
covers Cementos Argos, said the amount of the fine is not significant
for such big companies. "The amount is very low compared with the
potential profits of such an agreement," Agudelo said.

Cementos Argos said in a statement it always acts "in benefit of the
country and the industry." The company didn't say whether it will appeal
the decision. Cementos Argos reported a net profit of COP110 billion in
the first nine months of 2008, or $51 million. Agudelo said the
companies have the money to hire powerful lawyers that may be able to
reduce the fines.

"In many cases, the companies ended up paying much lessbecause of tough
lawyers," Agudelo's colleague Andres Jimenez said. "At the end of the
day, the fines are like jokes for the companies," he added. The
regulator also said it fined the legal representatives of the three
companies COP414 million. Cementos Argos' Chief Executive Jose Alberto
Velez is currently the company's legal representative.

The current legal representative of Cemex's Colombian unit is Cesar
Constain, according to the company.

Officials at Holcim and Cemex weren't immediately available for comment.