Federal Register / Vol. 79, No. 220 / Friday, November 14, 2014 / Rules and Regulations 68107 

Deposit Insurance Act (12 U.S.C. 

1823(c)); or 

(3) A covered acquisition that would 

result in an increase in the liabilities of 

the financial company that does not 

exceed $2 billion, when aggregated with 

all other acquisitions by the financial 

company made pursuant to this 

paragraph (a)(3) during the twelve 

months preceding the projected date of 

the acquisition. 

(b) Prior written consent—(1) General. 

Except as provided in paragraph (c) of 

this section, a financial company must 

request that the Board provide prior 

written consent before the financial 

company consummates a transaction 

described in paragraph (a) of this 

section. 

(2) Contents of request. (i) A request 

for prior written consent under 

paragraph (a) of this section must 

contain: 

(A) A description of the covered 

acquisition; 

(B) The projected increase in the 

company’s liabilities resulting from the 

acquisition; 

(C) If the request is made pursuant to 

paragraph (a)(3) of this section, the 

projected aggregate increase in the 

company’s liabilities from acquisitions 

during the twelve months preceding the 

projected date of the acquisition; and 

(D) Any additional information 

requested by the Board. 

(ii) A financial company may satisfy 

the requirements of this paragraph (b) if: 

(A) The proposed transaction 

otherwise requires approval by, or prior 

notice to, the Board under the Change 

in Bank Control Act, Bank Holding 

Company Act, Home Owners’ Loan Act, 

International Banking Act, or any other 

applicable statute, and any regulation 

thereunder; and 

(B) The financial company includes 

the information required in paragraph 

(b)(2) of this section in the notice or 

request for prior approval described in 

paragraph (b)(2)(ii)(A) of this section. 

(3) Procedures for providing written 

consent. (i) The Board will act on a 

request for prior written consent filed 

under this paragraph (b) within 90 

calendar days after the receipt of a 

complete request, unless that time 

period is extended by the Board. To the 

extent that a proposed transaction 

otherwise requires approval from, or 

prior notice to, the Board under another 

provision of law, the Board will act on 

that request for prior written consent 

concurrently with its action on the 

request for approval or notice. 

(ii) In acting on a request under this 

paragraph (b), the Board will consider 

whether the consummation of the 

covered acquisition could pose a threat 

to financial stability. 

(c) General consent. The Board grants 

prior written consent for a covered 

acquisition that would result in an 

increase in the liabilities of the financial 

company that does not exceed $100 

million, when aggregated with all other 

covered acquisitions by the financial 

company made pursuant to this 

paragraph (c) during the twelve months 

preceding the date of the acquisition. A 

financial company that relies on prior 

written consent pursuant to this 

paragraph (c) must provide a notice to 

the Board within 10 days after 

consummating the covered acquisition 

that describes the covered acquisition, 

the increase in the company’s liabilities 

resulting from the acquisition, and the 

aggregate increase in the company’s 

liabilities from covered acquisitions 

during the twelve months preceding the 

date of the acquisition. 

§ 251.5 No evasion. 

A financial company may not 

organize or operate its business or 

structure any acquisition of or merger or 

consolidation with another company in 

such a manner that results in evasion of 

the concentration limit established by 

section 14 of the Bank Holding 

Company Act or this part. 

§ 251.6 Reporting requirements. 

By March 31 of each year: 

(a) A U.S. financial company (other 

than a U.S. financial company that is 

required to file the Bank Consolidated 

Reports of Condition and Income (Call 

Report), the Consolidated Financial 

Statements for Holding Companies (FR 

Y–9C), the Parent Company Only 

Financial Statements for Small Holding 

Companies (FR Y–9SP), or the Parent 

Company Only Financial Statements for 

Large Holding Companies (FR Y–9LP), 

or is required to report consolidated 

total liabilities on the Quarterly Savings 

and Loan Holding Company Report (FR 

2320)) must report to the Board its 

consolidated liabilities as of the 

previous calendar year-end in the 

manner and form prescribed by the 

Board; and 

(b) A foreign financial company (other 

than a foreign financial company that is 

required to file a FR Y–7) must report 

to the Board its U.S. liabilities as of the 

previous calendar year-end in the 

manner and form prescribed by the 

Board. 

By order of the Board of Governors of the 

Federal Reserve System, November 4, 2014. 

Robert deV. Frierson, 

Secretary of the Board. 

[FR Doc. 2014–26747 Filed 11–13–14; 8:45 am] 

BILLING CODE 6210–01–P 

DEPARTMENT OF TRANSPORTATION 

Federal Aviation Administration 

14 CFR Part 25 

[Docket No. FAA–2014–0564; Special 

Conditions No. 25–XXX–SC] 

Special Conditions: Dassault Model 

Falcon 900EX Airplane; Electronic 

System-Security Protection From 

Unauthorized External Access 

AGENCY: Federal Aviation 

Administration (FAA), DOT. 

ACTION: Final special conditions, request 

for comments. 

SUMMARY: These special conditions are 

issued for Dassault Model Falcon 900EX 

airplanes. These airplanes will have a 

novel or unusual design feature 

associated with electronic systemsecurity protection from unauthorized 

external access. The applicable 

airworthiness regulations do not contain 

adequate or appropriate safety standards 

for this design feature. These special 

conditions contain the additional safety 

standards that the Administrator 

considers necessary to establish a level 

of safety equivalent to that established 

by the existing airworthiness standards. 

DATES: Effective December 15, 2014. 

FOR FURTHER INFORMATION CONTACT: 

Varun Khanna, FAA, Airplane and 

Flightcrew Interface Branch, ANM–111, 

Transport Airplane Directorate, Aircraft 

Certification Service, 1601 Lind Avenue 

SW., Renton, Washington, 98057–3356; 

telephone (425) 227–1298; facsimile 

(425) 227–1320. 

SUPPLEMENTARY INFORMATION: 

Background 

On March 20, 2013, Dassault Aircraft 

Services applied for a type certificate for 

their new Model 900EX airplane. 

The Dassault Falcon 900EX is a 

business jet with seating for up to 19 

passengers. Three Allied Signal TFE 

731–60–1C engines power the airplane, 

which has a maximum takeoff weight of 

49,000 pounds. 

Contemporary transport-category 

airplanes have both safety-related and 

non-safety-related electronic system 

networks for many operational 

functions. However, electronic systemnetwork-security considerations and 

functions have played a relatively minor 

role in the certification of such systems 

because of the isolation, protection 

mechanisms, and limited connectivity 

between the different networks. 

Comments Invited 

We invite interested people to take 

part in this rulemaking by sending 

mstockstill on DSK4VPTVN1PROD with RULES

68108 Federal Register / Vol. 79, No. 220 / Friday, November 14, 2014 / Rules and Regulations 

written comments, data, or views. The 

most helpful comments reference a 

specific portion of the special 

conditions, explain the reason for any 

recommended change, and include 

supporting data. 

We will consider all comments we 

receive by the closing date for 

comments. We may change these special 

conditions based on the comments we 

receive. 

Type Certification Basis 

Under Title 14, Code of Federal 

Regulations (14 CFR) 21.17, Dassault 

must show that the Model Falcon 900EX 

airplane meets the applicable provisions 

of 14 CFR part 25, as amended by 

Amendments 25–1 through 25–129. 

If the Administrator finds that the 

applicable airworthiness regulations 

(i.e., 14 CFR part 25) do not contain 

adequate or appropriate safety standards 

for the Model Falcon 900EX airplane 

because of a novel or unusual design 

feature, special conditions are 

prescribed under § 21.16. 

Special conditions are initially 

applicable to the model for which they 

are issued. Should the type certificate 

for that model be amended later to 

include any other model that 

incorporates the same novel or unusual 

design feature, the special conditions 

would also apply to the other model 

under § 21.101. 

In addition to the applicable 

airworthiness regulations and special 

conditions, the Model Falcon 900EX 

airplane must comply with the fuel-vent 

and exhaust-emission requirements of 

14 CFR part 34, and the noisecertification requirements of 14 CFR 

part 36. The FAA must issue a finding 

of regulatory adequacy under section 

611 of Public Law 92–574, the ‘‘Noise 

Control Act of 1972.’’ 

The FAA issues special conditions, as 

defined in 14 CFR 11.19, under § 11.38, 

and they become part of the typecertification basis under § 21.17(a)(2). 

Novel or Unusual Design Features 

The Dassault Model Falcon 900EX 

airplane will incorporate the following 

novel or unusual design feature: 

The digital systems architecture for 

the Dassault Model Falcon 900EX 

airplane is composed of several 

connected networks. This network 

architecture is used for a diverse set of 

functions, providing data connectivity 

between systems, including: 

1. Airplane control, communication, 

display, monitoring and navigation 

systems, 

2. Operator business and 

administrative support systems, 

3. Passenger entertainment systems, 

and 

4. Access by systems external to the 

airplane. 

Discussion 

The Dassault Model Falcon 900EX 

airplane network architecture and 

configuration may allow increased 

connectivity to, and access from, 

external network sources, and operator 

operations and maintenance networks to 

the airplane control domain and 

operator-information-services domain. 

The airplane-control domain and 

operator-information-services domain 

perform functions required for the safe 

operation and maintenance of the 

airplane. Previously, these domains had 

very limited connectivity with external 

network sources. The network 

architecture and configuration may 

allow the exploitation of networksecurity vulnerabilities resulting in 

intentional or unintentional destruction, 

disruption, degradation, or exploitation 

of data, systems, and networks critical 

to the safety and maintenance of the 

airplane. 

The existing regulations and guidance 

material did not anticipate these types 

of airplane system architectures. 

Furthermore, 14 CFR regulations and 

current system-safety assessment policy 

and techniques do not address potential 

security vulnerabilities, which could be 

exploited by unauthorized access to 

airplane networks, data buses, and 

servers. Therefore, these special 

conditions are to ensure that 

unauthorized wired or wireless 

electronic connections do not 

compromise the security (i.e., 

confidentiality, integrity, and 

availability) of airplane systems. 

These special conditions contain the 

additional safety standards that the 

Administrator considers necessary to 

establish a level of safety equivalent to 

that established by the existing 

airworthiness standards. 

Applicability 

As discussed above, these special 

conditions apply to the Dassault Model 

Falcon 900EX airplane. Should Dassault 

apply later for a change to the type 

certificate to include another model 

incorporating the same novel or unusual 

design feature, the special conditions 

would apply to that model as well. 

Conclusion 

This action affects only certain novel 

or unusual design features on the 

Dassault Model Falcon 900EX airplane. 

It is not a rule of general applicability. 

List of Subjects in 14 CFR Part 25 

Aircraft, Aviation safety, Reporting 

and recordkeeping requirements. 

The authority citation for these 

special conditions is as follows: 

Authority: 49 U.S.C. 106(g), 40113, 44701, 

44702, 44704. 

The Special Conditions 

Accordingly, pursuant to the 

authority delegated to me by the 

Administrator, the following special 

conditions are issued as part of the typecertification basis for Dassault Model 

Falcon 900EX airplanes. 

1. The applicant must ensure airplane 

electronic system-security protection 

from access by unauthorized sources 

external to the airplane, including those 

possibly caused by maintenance 

activity. 

2. The applicant must ensure that 

electronic system-security threats are 

identified and assessed, and that 

effective electronic system-security 

protection strategies are implemented to 

protect the airplane from all adverse 

impacts on safety, functionality, and 

continued airworthiness. 

3. The applicant must establish 

appropriate procedures to allow the 

operator to ensure that continued 

airworthiness of the airplane is 

maintained, including all post-typecertification modifications that may 

have an impact on the approved 

electronic system-security safeguards. 

Issued in Renton, Washington, on 

November 5, 2014. 

Jeffrey E. Duven, 

Manager, Transport Airplane Directorate, 

Aircraft Certification Service. 

[FR Doc. 2014–26819 Filed 11–13–14; 8:45 am] 

BILLING CODE 4910–13–P 

DEPARTMENT OF TRANSPORTATION 

Federal Aviation Administration 

14 CFR Part 39 

[Docket No. FAA–2014–0337; Directorate 

Identifier 2013–SW–029–AD; Amendment 

39–18008; AD 2014–22–03] 

RIN 2120–AA64 

Airworthiness Directives; Various 

Restricted Category Helicopters 

AGENCY: Federal Aviation 

Administration (FAA), DOT. 

ACTION: Final rule. 

SUMMARY: We are superseding 

Airworthiness Directive (AD) 2012–14– 

11 for Arrow Falcon Exporters, Inc. 

(AFE), Rotorcraft Development 

mstockstill on DSK4VPTVN1PROD with RULES