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Date
Rule
802.50, 802.51
Staff
Michael Verne
Response/Comments
Agree.

Question

From:

(redacted)]

Sent:

Tuesday, September 09,20089:52 AM

To:

Verne, B. Michael

Subject: HSR:sales not considered in or into the U.S.

Mike,

I am writing toconfirm my understanding as to what constitutes "sales in or into" theUnited States for purposes of 16 C.F.R. 802.50 and 802.51.

A part of aproposed transaction involves the acquisition of a Canadian entity("Canadian Target") that owns a manufacturing plant in Canada. The plant manufactures and assembles certain parts for automobiles. The sales byCanadian Target are made to customers in Canada, and the products sold byCanadian Target ultimately are incorporated in new automobiles.

The automobileparts sold by Canadian Target are not designed in such a way that they can onlybe sold in the United States, and Canadian Target does not control where theautomobile parts it sells to customers in Canada are ultimately resold.

The automobilesthe parts are incorporated into maybe sold primarily in the United States. However, we understand that these are not automobiles that can only be soldin the United States.

Please confirm myunderstanding is correct that the sales made by Canadian Target do notconstitute "sales in or into" the United States under the HSR rules.

Best regards,

About Informal Interpretations

Informal interpretations provide guidance from previous staff interpretations on the applicability of the HSR rules to specific fact situations. You should not rely on them as a substitute for reading the Act and the Rules themselves. These materials do not, and are not intended to, constitute legal advice.

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