Federal Register / Vol. 69, No. 234 / Tuesday, December 7, 2004 / Rules and Regulations 70543

List of Subjects in 14 CFR Part 71

Airspace, Incorporation by reference, 

Navigation (air).

Adoption of Amendment

■ In consideration of the foregoing, the 

Federal Aviation Administration 

amends 14 CFR part 71 as follows:

PART 71—DESIGNATION OF CLASS A, 

B, C, D, AND E, AIRSPACE AREAS; 

AIR TRAFFIC SERVICE ROUTES; AND 

REPORTING POINTS

■ 1. The authority citation for part 71 

continues to read as follows:

Authority: 49 U.S.C. 106(g), 40103, 40113, 

40120; E.O. 10854, 24 FR 9565, 3 CFR, 1959–

1963 Comp., p. 389.

§ 71.1 [Amended]

■ 2. The incorporation by reference in 14 

CFR 71.1 of the Federal Aviation 

Administration Order 7400.9M, 

Airspace Designations and Reporting 

Points, dated August 30, 2004, and 

effective September 16, 2004, is 

amended as follows:

Paragraph 6007 Offshore airspace areas.

* * * * *

Control 1143L [Revised] 

That airspace extending upward from 

5,500 feet MSL within tangent lines drawn 

from the circumference of a 4.3-mile radius 

circle centered on lat. 41°16′07′′ N., long. 

70°10′48′′ W., to a 13-mile radius circle 

centered at the midway point on a direct line 

between lat. 41°16′07′′ N., long. 70°10′48′′ W., 

and the Yarmouth, NS, Canada, NDB to a 4.3-

mile radius circle centered on the Yarmouth 

NDB excluding that airspace within the 

confines of Federal airways and east of long. 

67°00′00′′ W.

* * * * *

Control 1146L [Revised] 

That airspace extending upward from 

5,500 feet MSL within a 5-mile radius circle 

centered on lat. 41°16′07′′ N., long. 70°10′48′′

W., and that airspace bounded by a line 

drawn from the tangent of the 5-mile radius 

circle centered on lat. 41°16′07′′ N., long. 

70°10′48′′ W., to lat. 42°05′20′′ N., long. 

67°59′58′′ W.; to lat. 42°19′00′′ N., long. 

67°59′58′′ W.; to lat. 43°00′00′′ N., long. 

67°00′00′′ W.; to lat. 41°52′00′′ N., long. 

67°00′00′′ W.; to lat. 41°46′00′′ N., long. 

67°59′58′′ W.; to the tangent of the 5-mile 

radius circle centered on lat. 41°16′07′′ N., 

long. 70°10′48′′ W.

* * * * *

Issued in Washington, DC, on December 1, 

2004. 

Reginald C. Matthews, 

Manager, Airspace and Rules.

[FR Doc. 04–26845 Filed 12–6–04; 8:45 am] 

BILLING CODE 4910–13–P

DEPARTMENT OF COMMERCE

Bureau of Economic Analysis 

15 CFR Part 806

[Docket No. 040907254–4254–01] 

RIN 0691–AA52

Direct Investment Surveys: BE–10, 

Benchmark Survey of U.S. Direct 

Investment Abroad—2004

AGENCY: Bureau of Economic Analysis, 

Commerce

ACTION: Final rule.

SUMMARY: This final rule amends 

regulations for the BE–10, Benchmark 

Survey of U.S. Direct Investment 

Abroad. 

The BE–10 survey is conducted once 

every five years by the Bureau of 

Economic Analysis (BEA), U.S. 

Department of Commerce, under the 

International Investment and Trade in 

Services Survey Act. The benchmark 

survey will be conducted for 2004. The 

benchmark survey covers virtually the 

entire universe of U.S. direct investment 

abroad in terms of value, and is BEA’s 

most comprehensive survey of such 

investment in terms of subject matter. It 

obtains universe data on financial and 

operating characteristics of, and on 

positions and transactions between, U.S. 

parent companies and their foreign 

affiliates. The data are needed to 

measure the size and economic 

significance of U.S. direct investment 

abroad, measure changes in such 

investment, and assess its impact on the 

U.S. and foreign economies. 

The final rule: Increases the 

exemption level for reporting on the 

BE–10B(SF) short form from $7 million 

to $25 million and on the BE–10B Bank 

form from $7 million to $10 million; 

increases the exemption level for 

reporting on the BE–10B(LF) long form 

from $100 million to $150 million; and 

increases the exemption level for 

reporting only selected items on the BE–

10A form from $100 million to $150 

million. In conjunction with these 

increases in exemption levels, BEA is 

introducing an abbreviated short form, 

Form BE–10B Mini, for reporting 

nonbank foreign affiliates with assets, 

sales or gross operating revenues, and 

net income (loss) less than or equal to 

$25 million but greater than $10 

million.

DATES: This final rule will be effective 

January 6, 2005.

FOR FURTHER INFORMATION CONTACT: Obie 

G. Whichard, Chief, International 

Investment Division (BE–50), Bureau of 

Economic Analysis, U.S. Department of 

Commerce, Washington, DC 20230; 

phone (202) 606–9890 or e-mail 

(obie.whichard@bea.gov).

SUPPLEMENTARY INFORMATION: In the 

August 17, 2004, Federal Register, 69 

FR 51020–51024, BEA published a 

notice of proposed rulemaking setting 

forth revised reporting requirements for 

the BE–10, Benchmark Survey of U.S. 

Direct Investment Abroad. No 

comments on the proposed rule were 

received. Thus, the proposed rule is 

adopted without change. 

This final rule amends 15 CFR 806.16 

to set forth the reporting requirements 

for the BE–10, Benchmark Survey of 

U.S. Direct Investment Abroad—2004. 

Description of Changes 

The BE–10, Benchmark Survey of U.S. 

Direct Investment Abroad, is a 

mandatory survey and is conducted 

once every 5 years by BEA, under the 

International Investment and Trade in 

Services Survey Act (22 U.S.C. 3101–

3108), hereinafter, ‘‘the Act.’’ BEA will 

send the survey to potential respondents 

in March 2005; responses will be due by 

May 31, 2005, for respondents required 

to file fewer than 50 foreign affiliate 

report forms and by June 30, 2005 for 

those required to file 50 or more forms. 

This final rule: (1) Increases the 

exemption level for reporting on the 

BE–10B(SF) short form from $7 million 

to $25 million and on the BE–10B Bank 

form from $7 million to $10 million; (2) 

increases the exemption level for 

reporting on the BE–10B(LF) long form 

from $100 million to $150 million; and 

(3) increases the exemption level for 

reporting only selected items on the BE–

10A form from $100 million to $150 

million. In conjunction with these 

increases in exemption levels, an 

abbreviated short form is introduced for 

reporting nonbank foreign affiliates with 

assets, sales or gross operating revenues, 

and net income (loss) less than or equal 

to $25 million but with at least one of 

these items greater than $10 million. 

In addition to the changes in the 

reporting criteria mentioned above, BEA 

will expand reporting requirements on 

the BE–10B(SF) so that certain items 

that previously had been reportable only 

for majority-owned affiliates with assets, 

sales or gross operating revenues, or net 

income (loss) over $50 million will now 

be reportable for all majority-owned 

affiliates being filed on the BE–10B(SF). 

BEA will add questions to the BE–

10A form and BE–10B(LF) long form to 

collect detail on: (1) The broad 

occupational structure of employment; 

(2) premiums earned and claims paid 

for U.S. Reporters and foreign affiliates 

operating in the insurance industry; (3)

70544 Federal Register / Vol. 69, No. 234 / Tuesday, December 7, 2004 / Rules and Regulations 

finished goods purchased for resale for 

U.S. Reporters and foreign affiliates 

operating in the wholesale and retail 

trade industries; and (4) research and 

development performed for affiliated 

persons or for others. In addition, BEA 

will expand the income statement on 

the BE–10B(SF) short form to include 

items on the long form and to add 

questions to the BE–10A Bank and BE–

10B Bank forms to collect information 

on sales of services and on interest 

received and paid.

To offset the burden imposed by these 

additional questions, BEA will remove 

questions on: (1) U.S. trade in goods by 

product; (2) U.S. Reporter exports to 

unaffiliated foreign persons by country 

of destination; and (3) composition of 

external finances for the U.S. Reporter. 

In addition, BEA will replace sales by 

country of destination on the BE–

10B(LF) with sales by major countries/

regions. 

Survey Background 

The Bureau of Economic Analysis 

(BEA), U.S. Department of Commerce, 

will conduct the survey under the 

International Investment and Trade in 

Services Survey Act (22 U.S.C. 3101–

3108), hereinafter, ‘‘the Act.’’ Section 

4(b) of the Act provides that with 

respect to United States direct 

investment abroad, the President shall 

conduct a benchmark survey covering 

year 1982, a benchmark survey covering 

year 1989, and benchmark surveys 

covering every fifth year thereafter. In 

conducting surveys pursuant to this 

subsection, the President shall, among 

other things and to the extent he 

determines necessary and feasible—

(1) Identify the location, nature, and 

magnitude of, and changes in total 

investment by any parent in each of its 

affiliates and the financial transactions 

between any parent and each of its 

affiliates; 

(2) Obtain (A) information on the 

balance sheet of parents and affiliates 

and related financial data, (B) income 

statements, including the gross sales by 

primary line of business (with as much 

product line detail as is necessary and 

feasible) of parents and affiliates in each 

country in which they have significant 

operations, and (C) related information 

regarding trade, including trade in both 

goods and services, between a parent 

and each of its affiliates and between 

each parent or affiliate and any other 

person; 

(3) Collect employment data showing 

both the number of United States and 

foreign employees of each parent and 

affiliate and the levels of compensation, 

by country, industry, and skill level; 

(4) Obtain information on tax 

payments by parents and affiliates by 

country; and 

(5) Determine, by industry and 

country, the total dollar amount of 

research and development expenditures 

by each parent and affiliate, payments 

or other compensation for the transfer of 

technology between parents and their 

affiliates, and payments or other 

compensation received by parents or 

affiliates from the transfer of technology 

to other persons. 

In Section 3 of Executive Order 

11961, the President delegated authority 

granted under the Act as concerns direct 

investment to the Secretary of 

Commerce, who has redelegated it to 

BEA. 

The benchmark surveys are BEA’s 

censuses, intended to cover the universe 

of U.S. direct investment abroad in 

terms of value. U.S. direct investment 

abroad is defined as the ownership or 

control, directly or indirectly, by one 

U.S. person of 10 percent or more of the 

voting securities of an incorporated 

foreign business enterprise or an 

equivalent interest in an unincorporated 

foreign business enterprise, including a 

branch. 

The purpose of the benchmark survey 

is to obtain universe data on the 

financial and operating characteristics 

of, and on positions and transactions 

between, U.S. parent companies and 

their foreign affiliates. The data are 

needed to measure the size and 

economic significance of U.S. direct 

investment abroad, measure changes in 

such investment, and assess its impact 

on the U.S. and foreign economies. The 

data are used to derive current universe 

estimates of direct investment from 

sample data collected in other BEA 

surveys in nonbenchmark years. In 

particular, they will serve as 

benchmarks for the quarterly direct 

investment estimates included in the 

U.S. international transactions and 

national income and product accounts, 

and for annual estimates of the U.S. 

direct investment position abroad and of 

the operations of U.S. parent companies 

and their foreign affiliates. 

The survey will consist of an 

instruction booklet, a claim for not filing 

the BE–10, and a number of report 

forms. The amount and type of data 

required to be reported vary according 

to the size of the U.S. Reporters or 

foreign affiliates, whether they are banks 

or nonbanks and, for foreign affiliates, 

whether or not they are majority-owned 

by U.S. direct investors. For purposes of 

the BE–10 survey, a ‘‘bank’’ is a 

business entity engaged in deposit 

banking or closely related functions, 

including commercial banks, Edge Act 

corporations engaged in international or 

foreign banking, foreign branches and 

agencies of U.S. banks whether or not 

they accept deposits abroad, savings and 

loans, savings banks, bank holding 

companies, and financial holding 

companies. The report forms that will 

be used in the survey consist of the 

following: 

1. Form BE–10A—Report for nonbank 

U.S. Reporters; 

2. Form BE–10A BANK—Report for 

U.S. Reporters that are banks; 

3. Form BE–10B(LF) (Long Form)—

Report for majority-owned nonbank 

foreign affiliates of nonbank U.S. 

parents with assets, sales, or net income 

greater than $150 million (positive or 

negative); 

4. Form BE–10B(SF) (Short Form)—

Report for majority-owned nonbank 

foreign affiliates of nonbank U.S. 

parents with assets, sales, or net income 

greater than $25 million but not greater 

than $150 million (positive or negative); 

minority-owned nonbank foreign 

affiliates of nonbank U.S. parents with 

assets, sales, or net income greater than 

$25 million (positive or negative); and 

nonbank affiliates of U.S. bank parents 

with assets, sales, or net income greater 

than $25 million (positive or negative); 

5. Form BE–10B Mini—Report for 

nonbank foreign affiliates with assets, 

sales, or net income greater than $10 

million but not greater than $25 million 

(positive or negative); and

6. Form BE–10B BANK—Report for 

foreign affiliates that are banks. 

Although the survey is intended to 

cover the universe of U.S. direct 

investment abroad, to reduce 

respondent burden, foreign affiliates 

with assets, sales, and net income each 

equal to or less than $10 million 

(positive or negative) are exempt from 

being reported on Form BE–10B(SF), 

BE–10B Mini, or BE–10B BANK (but 

must be listed, along with selected 

identification information and data, on 

Form BE–10A SUPPLEMENT A or BE–

10A BANK SUPPLEMENT A). 

Executive Order 12866

This final rule has been determined to 

be not significant for purposes of 

E.O.12866. 

Executive Order 13132

This final rule does not contain 

policies with Federalism implications 

sufficient to warrant preparation of a 

Federalism assessment under E.O. 

13132. 

Paperwork Reduction Act 

The collection of information required 

in this final rule has been approved by 

the Office of Management and Budget 

Federal Register / Vol. 69, No. 234 / Tuesday, December 7, 2004 / Rules and Regulations 70545

(OMB) under the Paperwork Reduction 

Act (PRA). 

Notwithstanding any other provision 

of the law, no person is required to 

respond to, nor shall any person be 

subject to a penalty for failure to comply 

with, a collection of information subject 

to the requirements of the Paperwork 

Reduction Act unless that collection 

displays a currently valid OMB control 

number. The OMB control number for 

the BE–10 is 0608–0049; the collection 

will display this number. 

The survey is expected to result in the 

filing of reports from approximately 

3,875 respondents. The respondent 

burden for this collection of information 

will vary from one company to another, 

but is estimated to average 110 hours 

per response, including time for 

reviewing instructions, searching 

existing data sources, gathering and 

maintaining the data needed, and 

completing and reviewing the collection 

of information. Thus the total 

respondent burden for the 2004 survey 

is estimated at 428,750 hours. 

Comments regarding the burden 

estimate or any other aspect of this 

collection of information should be 

addressed to: Director, Bureau of 

Economic Analysis (BE–1), U.S. 

Department of Commerce, Washington, 

DC 20230 (Fax: 202–606–5311); and 

Office of Management and Budget, 

O.I.R.A., Paperwork Reduction Project 

0608–0049, Attention PRA Desk Officer 

for BEA, via the Internet at 

pbugg@omb.eop.gov, or by Fax at 202–

395–7245. 

Regulatory Flexibility Act 

The Chief Counsel for Regulation, 

Department of Commerce, has certified 

to the Chief Counsel for Advocacy, 

Small Business Administration, under 

the provisions of the Regulatory 

Flexibility Act (5 U.S.C. 605(b)), that 

this final rule will not have a significant 

economic impact on a substantial 

number of small entities. A BE–10 

report is required of any U.S. company 

that had a foreign affiliate—that is, that 

had direct or indirect ownership or 

control of at least 10 percent of the 

voting stock of an incorporated foreign 

business enterprise, or an equivalent 

interest in an unincorporated foreign 

business enterprise at any time during 

the U.S. company’s 2004 fiscal year. 

Companies that have direct investments 

abroad tend to be quite large. To reduce 

the reporting burden on smaller U.S. 

companies, U.S. Reporters with total 

assets, sales or gross operating revenues, 

and net income less than or equal to 

$150 million (positive or negative) are 

required to report only selected items on 

the BE–10A form for U.S. Reporters in 

addition to forms they may be required 

to file for their foreign affiliates. 

No comments were received regarding 

the economic impact of the rule. As a 

result, no final regulatory flexibility 

analysis was prepared.

List of Subjects in 15 CFR Part 806

International transactions, Economic 

statistics, U.S. investment abroad, 

Penalties, Reporting and recordkeeping 

requirements.

J. Steven Landefeld, 

Director, Bureau of Economic Analysis.

■ For the reasons set forth in the 

preamble, BEA amends 15 CFR Part 806 

as follows:

PART 806—DIRECT INVESTMENT 

SURVEYS

■ 1. The authority citation for 15 CFR 

Part 806 is revised to read as follows:

Authority: 5 U.S.C. 301; 22 U.S.C. 3101–

3108; E.O. 11961 (3 CFR, 1977 Comp., p. 86), 

as amended by E.O. 12318 (3 CFR, 1981 

Comp., p. 173); E.O. 12518 (3 CFR, 1985 

Comp., p. 348).

■ 2. Section 806.16 is revised to read as 

follows:

§ 806.16 Rules and regulations for BE–10, 

Benchmark Survey of U.S. Direct 

Investment Abroad—2004.

A BE–10, Benchmark Survey of U.S. 

Direct Investment Abroad will be 

conducted covering 2004. All legal 

authorities, provisions, definitions, and 

requirements contained in § 806.1 

through § 806.13 and § 806.14(a) 

through (d) are applicable to this survey. 

Specific additional rules and regulations 

for the BE–10 survey are given in 

paragraphs (a) through (e) of this 

section. More detailed instructions are 

given on the report forms and 

instructions. 

(a) Response required. A response is 

required from persons subject to the 

reporting requirements of the BE–10, 

Benchmark Survey of U.S. Direct 

Investment Abroad—2004, contained in 

this section, whether or not they are 

contacted by BEA. Also, a person, or 

their agent, that is contacted by BEA 

about reporting in this survey, either by 

sending them a report form or by 

written inquiry, must respond in writing 

pursuant to § 806.4. This may be 

accomplished by: 

(1) Certifying in writing, by the due 

date of the survey, to the fact that the 

person had no direct investment within 

the purview of the reporting 

requirements of the BE–10 survey; 

(2) Completing and returning the 

‘‘BE–10 Claim for Not Filing’’ by the due 

date of the survey; or 

(3) Filing the properly completed BE–

10 report (comprising Form BE–10A or 

BE–10A BANK and Forms BE–10B(LF), 

BE–10B(SF), BE–10B Mini and/or BE–

10B BANK) by May 31, 2005, or June 30, 

2005, as required. 

(b) Who must report. (1) A BE–10 

report is required of any U.S. person 

that had a foreign affiliate—that is, that 

had direct or indirect ownership or 

control of at least 10 percent of the 

voting stock of an incorporated foreign 

business enterprise, or an equivalent 

interest in an unincorporated foreign 

business enterprise—at any time during 

the U.S. person’s 2004 fiscal year. 

(2) If the U.S. person had no foreign 

affiliates during its 2004 fiscal year, a 

‘‘BE–10 Claim for Not Filing’’ must be 

filed by the due date of the survey; no 

other forms in the survey are required. 

If the U.S. person had any foreign 

affiliates during its 2004 fiscal year, a 

BE–10 report is required and the U.S. 

person is a U.S. Reporter in this survey. 

(3) Reports are required even if the 

foreign business enterprise was 

established, acquired, seized, 

liquidated, sold, expropriated, or 

inactivated during the U.S. person’s 

2004 fiscal year. 

(4) The amount and type of data 

required to be reported vary according 

to the size of the U.S. Reporters or 

foreign affiliates, whether they are banks 

or nonbanks, and, for foreign affiliates, 

whether they are majority-owned or 

minority-owned by U.S. direct 

investors. For purposes of the BE–10 

survey, a ‘‘majority-owned’’ foreign 

affiliate is one in which the combined 

direct and indirect ownership interest of 

all U.S. parents of the foreign affiliate 

exceeds 50 percent; all other affiliates 

are referred to as ‘‘minority-owned’’

affiliates. In addition, a ‘‘bank’’ is a 

business entity engaged in deposit 

banking or closely related functions, 

including commercial banks, Edge Act 

corporations, foreign branches and 

agencies of U.S. banks whether or not 

they accept deposits abroad, savings and 

loans, savings banks, bank holding 

companies, and financial holding 

companies. Elsewhere in this section, 

when ‘‘bank’’ is used, it refers to all 

such organizations. 

(c) Forms for nonbank U.S. Reporters 

and foreign affiliates. (1) Form BE–10A 

(Report for nonbank U.S. Reporter). A 

BE–10A report must be completed by a 

U.S. Reporter that is not a bank. If the 

U.S. Reporter is a corporation, Form 

BE–10A is required to cover the fully 

consolidated U.S. domestic business 

enterprise. However, where a U.S. 

Reporter’s primary line of business is 

not in banking (or related financial 

activities), but the Reporter also has 

70546 Federal Register / Vol. 69, No. 234 / Tuesday, December 7, 2004 / Rules and Regulations 

ownership in a bank, the bank, 

including all of its domestic subsidiaries 

or units, must file on the BE–10A BANK 

form and the nonbanking U.S. 

operations not owned by the bank must 

file on the BE–10A. 

(i) If for a nonbank U.S. Reporter any 

one of the following three items—total 

assets, sales or gross operating revenues 

excluding sales taxes, or net income 

after provision for U.S. income taxes—

was greater than $150 million (positive 

or negative) at any time during the 

Reporter’s 2004 fiscal year, the U.S. 

Reporter must file a complete Form BE–

10A and, as applicable, a BE–10A 

SUPPLEMENT A listing each, if any, 

foreign affiliate that is exempt from 

being reported on Form BE–10B(LF), 

BE–10B(SF), BE–10B Mini, or BE–10B 

BANK. It must also file a Form BE–

10B(LF), BE–10B(SF), BE–10B Mini, or 

BE–10B BANK, as appropriate, for each 

nonexempt foreign affiliate. 

(ii) If for a nonbank U.S. Reporter 

none of the three items listed in 

paragraph (c)(1)(i) of this section was 

greater than $150 million (positive or 

negative) at any time during the 

Reporter’s 2004 fiscal year, the U.S. 

Reporter is required to file on Form BE–

10A only certain items as designated on 

the form and, as applicable, a BE–10A 

SUPPLEMENT A listing each, if any, 

foreign affiliate that is exempt from 

being reported on Form BE–10B(LF), 

BE–10B(SF), BE–10B Mini, or BE–10B 

BANK. It must also file a Form BE–

10B(LF), BE–10B(SF), BE–10B Mini, or 

BE–10B BANK, as appropriate, for each 

nonexempt foreign affiliate. 

(2) Form BE–1OB(LF), (SF), or Mini 

(Report for nonbank foreign affiliate). (i) 

A BE–10B(LF) (Long Form) must be 

filed for each majority-owned nonbank 

foreign affiliate of a nonbank U.S. 

Reporter, whether held directly or 

indirectly, for which any one of the 

three items—total assets, sales or gross 

operating revenues excluding sales 

taxes, or net income after provision for 

foreign income taxes—was greater than 

$150 million (positive or negative) at 

any time during the affiliate’s 2004 

fiscal year. 

(ii) A BE–10B(SF) (Short Form) must 

be filed:

(A) For each majority-owned nonbank 

foreign affiliate of a nonbank U.S. 

Reporter, whether held directly or 

indirectly, for which any one of the 

three items listed in paragraph (c)(2)(i) 

of this section was greater than $25 

million but for which none of these 

items was greater than $150 million 

(positive or negative), at any time during 

the affiliate’s 2004 fiscal year, and 

(B) For each minority-owned nonbank 

foreign affiliate of a nonbank U.S. 

Reporter, whether held directly or 

indirectly, for which any one of the 

three items listed in paragraph (c)(2)(i) 

of this section was greater than $25 

million (positive or negative), at any 

time during the affiliate’s 2004 fiscal 

year, and 

(C) For each nonbank foreign affiliate 

of a U.S. bank Reporter, whether held 

directly or indirectly, for which any one 

of the three items listed in paragraph 

(c)(2)(i) of this section was greater than 

$25 million (positive or negative), at any 

time during the affiliate’s 2004 fiscal 

year. 

(iii) A BE–10B Mini must be filed for 

each nonbank foreign affiliate, whether 

held directly or indirectly, for which 

any one of the three items listed in 

paragraph (c)(2)(i) of this section was 

greater than $10 million but for which 

none of these items was greater than $25 

million (positive or negative), at any 

time during the affiliate’s 2004 fiscal 

year. 

(iv) Notwithstanding paragraphs 

(c)(2)(i), (c)(2)(ii), and (c)(2)(iii) of this 

section, a Form BE–10B(LF), (SF), or 

Mini must be filed for a foreign affiliate 

of the U.S. Reporter that owns another 

nonexempt foreign affiliate of that U.S. 

Reporter, even if the foreign affiliate 

parent is otherwise exempt, i.e., a Form 

BE–10B(LF), (SF), Mini, or BANK must 

be filed for all affiliates upward in a 

chain of ownership. 

(d) Forms for U.S. Reporters and 

foreign affiliates that are banks, bank 

holding companies, or financial holding 

companies. (1) Form BE–10A BANK 

(Report for a U.S. Reporter that is a 

bank). A BE–10A BANK report must be 

completed by a U.S. Reporter that is a 

bank. For purposes of filing Form BE–

10A BANK, the U.S. Reporter is deemed 

to be the fully consolidated U.S. 

domestic business enterprise and all 

required data on the form shall be for 

the fully consolidated domestic entity. 

(i) If a U.S. bank had any foreign 

affiliates at any time during its 2004 

fiscal year, whether a bank or nonbank 

and whether held directly or indirectly, 

for which any one of the three items—

total assets, sales or gross operating 

revenues excluding sales taxes, or net 

income after provision for foreign 

income taxes—was greater than $10 

million (positive or negative) at any 

time during the affiliate’s 2004 fiscal 

year, the U.S. Reporter must file a Form 

BE–10A BANK and, as applicable, a BE–

10A BANK SUPPLEMENT A listing 

each, if any, foreign affiliate, whether 

bank or nonbank, that is exempt from 

being reported on Form BE–10B(SF), 

BE–10B Mini, or BE–10B BANK. It must 

also file a Form BE–10B(SF) or BE–10B 

Mini for each nonexempt nonbank 

foreign affiliate and a Form BE–10B 

BANK for each nonexempt bank foreign 

affiliate. 

(ii) If the U.S. bank Reporter had no 

foreign affiliates for which any one of 

the three items listed in paragraph 

(d)(2)(i) of this section was greater than 

$10 million (positive or negative) at any 

time during the affiliate’s 2004 fiscal 

year, the U.S. Reporter must file a Form 

BE–10A BANK and a BE–10A BANK 

SUPPLEMENT A, listing all foreign 

affiliates exempt from being reported on 

Form BE–10B(SF), BE–10B Mini, or BE–

10B BANK. 

(2) Form BE–10B BANK (Report for a 

foreign affiliate that is a bank). (i) A BE–

10B BANK report must be filed for each 

foreign bank affiliate of a bank or 

nonbank U.S. Reporter, whether directly 

or indirectly held, for which any one of 

the three items—total assets, sales or 

gross operating revenues excluding sales 

taxes, or net income after provision for 

foreign income taxes—was greater than 

$10 million (positive or negative) at any 

time during the affiliate’s 2004 fiscal 

year. 

(ii) Notwithstanding paragraph 

(d)(3)(i) of this section, a Form BE–10B 

BANK must be filed for a foreign bank 

affiliate of the U.S. Reporter that owns 

another nonexempt foreign affiliate of 

that U.S. Reporter, even if the foreign 

affiliate parent is otherwise exempt, i.e., 

a Form BE–10B(LF), (SF), Mini, or 

BANK must be filed for all affiliates 

upward in a chain of ownership. 

However, a Form BE–10B BANK is not 

required to be filed for a foreign bank 

affiliate in which the U.S. Reporter 

holds only an indirect ownership 

interest of 50 percent or less and that 

does not own a reportable nonbank 

foreign affiliate, but the indirectly 

owned bank affiliate must be listed on 

the BE–10A BANK SUPPLEMENT A. 

(e) Due date. A fully completed and 

certified BE–10 report comprising Form 

BE–10A or 10A BANK and Form(s) BE–

10B(LF), (SF), Mini, or BANK (as 

required) is due to be filed with BEA not 

later than May 31, 2005 for those U.S. 

Reporters filing fewer than 50, and June 

30, 2005 for those U.S. Reporters filing 

50 or more, Forms BE–10B(LF), (SF), 

Mini, or BANK.

[FR Doc. 04–26764 Filed 12–6–04; 8:45 am] 

BILLING CODE 3510–06–P