Federal Register / Vol. 62, No. 158 / Friday, August 15, 1997 / Notices 43709

commission agent. We verified that the

U.S. customer, not the selling agent,

pays Borckenstein for the merchandise.

In addition, Borckenstein makes

payments directly to the selling agent

for services rendered in the sales

transaction.

During verification, we also reviewed

documentation regarding the

shareholder listings for Borckenstein’s

selling agent, Beavertown, and

Beavertown’s parent company which

demonstrated that the selling agent is

not affiliated with Beavertown. The

controlling shareholder of the selling

agent owns no shares in either

Beavertown or Beavertown’s parent

company. Therefore, we do not find

Borckenstein’s selling agent to be

affiliated with Beavertown under

section 771(33) of the Act for the

purposes of the treatment of this

commission. Therefore, in this final

determination, we have treated this

expense as a commission and offset it

with home market indirect selling

expenses.

Comment 15: Depreciation Expense in

Reported Cost of Production

The petitioner contends that

Borckenstein underreported its

depreciation expense. Among the

excluded costs were depreciation

expenses for the plant in which the

product is produced, all depreciation

related to the general and administrative

functions of the company, and

depreciation related to assets that

directly or indirectly support the

manufacturing operation. Borckenstein

states that it does not object to an

appropriate and reasonable increase of

submitted depreciation expenses in

calculating the cost of production.

DOC Position: We agree with

petitioner. For the final determination,

we recalculated depreciation expense to

include depreciation from the other

categories of fixed assets used in the

production of the subject merchandise.

Additionally, we included a portion of

the depreciation expense related to

Borckenstein’s assets used to perform

the administrative functions of the

company.

Comment 16: Failure to Include Indirect

Material Expenses

The petitioner contends that

Borckenstein failed to include indirect

material expenses in its reported cost of

production. The indirect materials

excluded were: (1) Materials purchased

for the refurbishment of the open-end

equipment specifically used to produce

the merchandise under investigation;

and (2) repair materials. Further, the

petitioner asserts that these costs were

incurred during the fiscal period on

which Borckenstein’s cost response was

based, and related directly to the

equipment used to produce the

merchandise under investigation.

Borckenstein states that it properly

reported indirect material expenses in

its reported cost of production, and that,

at verification, the Department

determined that the expenses in

question were not incurred for the

production of the subject merchandise

during the POI.

DOC Position: The Department agrees,

in part, with petitioner. The Department

verified that the majority of the parts

purchased by respondent in the last

month of the cost calculation period

were used to refurbish and extend the

useful life of the machinery sold

subsequent to the POI. Given the fact

that Borckenstein intended to sell the

machinery, the company expensed the

cost of these parts rather than capitalize

them. In the normal course of business,

Borckenstein depreciates its machinery

over four years. Since the refurbishment

was so extensive, we agree that the costs

incurred should have been capitalized.

Accordingly, we consider it appropriate

for Borckenstein to depreciate the

refurbishment costs over four years

beginning with the month of purchases

(the last month of the POI). Thus,

Borckenstein should recognize one

month of depreciation related to the

purchased parts in its submitted POI

costs of manufacturing. We verified that

the remaining parts Borckenstein

purchased at the end of the year related

to repairs and maintenance for the

subsequent year. In the ordinary course

of business, Borckenstein expenses

small parts and maintenance supplies

when purchased rather than when

consumed. As such, the Department

maintains that the cost of these parts are

representative of Borckenstein’s yearly

repairs and maintenance expense and

should be included in its COP and CV.

However, consistent with 19 C.F.R.

§ 353.59(a), which permits the

Department to disregard insignificant

adjustments, we have elected not to

adjust Borckenstein’s COM for either the

depreciation expense or cost of the

parts, since the addition of these costs

would not affect our overall margin

calculation.

Continuation of Suspension of

Liquidation

In accordance with section 735(c) of

the Act, we are directing the Customs

Service to continue to suspend

liquidation of all entries of open-end

spun rayon singles yarn that are entered,

or withdrawn from warehouse, for

consumption on or after March 26,

1997, the date of publication of our

preliminary determination in the

Federal Register. We will instruct the

Customs Service to require a cash

deposit or the posting of a bond equal

to the weighted-average amount by

which the normal value exceeds the

export price, as indicated in the chart

below. This suspension of liquidation

will remain in effect until further notice.

Exporter/manufacturer

Weighted

average

margin

percentage

Linz ............................................... 12.36

Borckenstein ................................. 2.36

All Others ...................................... 7.42

Pursuant to section 733(d)(1)(A) and

section 735(c)(5) of the Act, the

Department has not included zero or de

minimis weighted-average dumping

margins, or margins determined entirely

under section 776 of the Act, in the

calculation of the ‘‘all others’’ rate.

ITC Notification

In accordance with section 735(d) of

the Act, we have notified the ITC of our

determination. As our final

determination is affirmative, the ITC

will determine, within 45 days, whether

these imports are causing material

injury, or threat of material injury, to an

industry in the United States. If the ITC

determines that material injury, or

threat of material injury, does not exist,

the proceeding will be terminated and

all securities posted will be refunded or

canceled. If the ITC determines that

such injury does exist, the Department

will issue an antidumping duty order

directing Customs officials to assess

antidumping duties on all imports of the

subject merchandise entered, or

withdrawn from warehouse, for

consumption on or after the effective

date of the suspension of liquidation.

This determination is published

pursuant to section 735(d) of the Act.

Dated: August 8, 1997.

Richard W. Moreland,

Acting Assistant Secretary for Import

Administration.

[FR Doc. 97–21710 Filed 8–14–97; 8:45 am]

BILLING CODE 3510–DS–P

DEPARTMENT OF COMMERCE

International Trade Administration

Applications for Duty-Free Entry of

Scientific Instruments

Pursuant to Section 6(c) of the

Educational, Scientific and Cultural

Materials Importation Act of 1966 (Pub.
43710 Federal Register / Vol. 62, No. 158 / Friday, August 15, 1997 / Notices

L. 89–651; 80 Stat. 897; 15 CFR part

301), we invite comments on the

question of whether instruments of

equivalent scientific value, for the

purposes for which the instruments

shown below are intended to be used,

are being manufactured in the United

States.

Comments must comply with 15 CFR

301.5(a) (3) and (4) of the regulations

and be filed within 20 days with the

Statutory Import Programs Staff, U.S.

Department of Commerce, Washington,

D.C. 20230. Applications may be

examined between 8:30 A.M. and 5:00

P.M. in Room 4211, U.S. Department of

Commerce, 14th Street and Constitution

Avenue, N.W., Washington, D.C.

Docket Number: 97–060. Applicant:

The Pennsylvania State University,

Chemistry Department, 152 Davey

Laboratory, University Park, PA 16802.

Instrument: NMR Spectrometer, Model

Avance DRX–600. Manufacturer: Bruker

Instruments, Inc., Switzerland. Intended

Use: The instrument will be used for

studies of proteins and nucleic acids

produced in the research laboratories of

the chemistry and the biochemistry and

molecular biology departments. The

experiments are all state-of-the-art

nuclear magnetic resonance

experiments. Most will be in aqueous

solution and involve multiple nuclei:

1H, 2H, 15N, 13C, and 31P. Application

accepted by Commissioner of Customs:

July 15, 1997.

Docket Number: 97–062. Applicant:

Clemson University, Department of

Bioengineering, 501 Rhodes Engineering

Research Center, P.O. Box 340905,

Clemson, SC 29634–0905. Instrument:

Knee Joint Simulator. Manufacturer:

UCL Ltd., United Kingdom. Intended

Use: The instrument will be used for a

research program conducted to provide

materials and designs for artificial joints

that can last longer than those presently

used. The relevant research projects will

include but are not limited to the

following:

(1) Reciprocating-Sliding Wear

Resistance of Orthopaedic Titanium

Alloys,

(2) Ultrasonic Method for In-situ

Continuous Wear Measurements of

Orthopaedic Alloys,

(3) Analytical Modeling of Total Knee

Replacement: Effect of Misalignment,

(4) Elastomeric Composites as Bearing

Surfaces, and

(5) Improving Boundary Lubrication

of Elastomeric Bearing Surfaces.

In addition, the instrument will be

used for educational purposes in

various bioengineering courses.

Application accepted by Commissioner

of Customs: July 16, 1997.

Docket Number: 97–064. Applicant:

University of Illinois at UrbanaChampaign, Purchasing Division, 506

South Wright Street, 207 Henry

Administration Building, Urbana, IL

61801. Instrument: Reflection High

Energy Electron Gun. Manufacturer:

Focus GmbH, Germany. Intended Use:

The instrument will be used for a

variety of studies on the mechanisms of

growth of thin films. In particular, there

will be studies of magnetic multilayer

materials; of the effect of surface steps

on films growth and of a technique

called convergent beam diffraction. This

instrument allows both real time

monitoring of the growth conditions and

quick and reliable post-growth quality

control of the films’ crystallinity prior to

further study via transfer into a separate

low-energy electron microscope to

perform further microscopic studies

without the necessity of breaking

vacuum. Application accepted by

Commissioner of Customs: July 17,

1997.

Docket Number: 97–065. Applicant:

Princeton University, P.O. Box 33,

Princeton, NJ 08544–0033. Instrument:

(50) Seismometers. Manufacturer:

Guralp Systems Ltd., United Kingdom.

Intended Use: The instruments will be

used to study earthquakes and the

interior structure of the earth in a newly

devised high school science curriculum,

in which students study seismicity and

try to answer fundamental geophysical

questions about the earth. Application

accepted by Commissioner of Customs:

July 17, 1997.

Docket Number: 97–066. Applicant:

University of California, San Diego,

Scripps Institution of Oceanography,

7835 Trade Street, San Diego, CA 92121.

Instrument: Wave Measurement

Equipment. Manufacturer: Datawell bv,

The Netherlands. Intended Use: The

instruments will be used in support of

ongoing and proposed research on the

evolution of directional wave spectra

across the continental shelf and near

complex bathymetric features. The

instrument will significantly expand

Department of Defense wave data

measurement capabilities on the shelf

and will be used over the next 5 years

by a consortium of Office of Naval

Research principal investigators

studying wave propagation processes in

a wide range of geographic settings.

Application accepted by Commissioner

of Customs: July 22, 1997.

Docket Number: 97–067. Applicant:

Princeton University, P.O. Box 33,

Princeton, NJ 08544–0033. Instrument:

EPR Spectrometer, Model E580 FT/CW.

Manufacturer: Bruker Instruments,

Germany. Intended Use: The instrument

will be used for studies of sample

paramagnetic materials obtained from

various sources including chemical

synthesis and natural products. The

research projects will include the

following:

(1) Structure and function of multinuclear metallo-enzymes,

(2) Molecular probes of the

mechanism of cytochrome,

(3) ENDOR studies of metalloproteins,

(4) Observing and exploiting

intermolecular multiple-quantum

coherences in solution ESR,

(5) EPR analysis of photoluminescent

porous silicon,

(6) Core transformation in iron-sulfur

clusters,

(7) Pulsed EPR studies of vanadium

partial oxidation catalysts and,

(8) Dynamics of cation diffusion to

ionomers.

In addition, the instrument will be

used for educational purposes in the

course ‘‘Electron Magnetic Resonance

Spectroscopies: Survey of Techniques,

Applications and Spectral

Interpretation.’’ Application accepted by

Commissioner of Customs: July 28,

1997.

Frank W. Creel,

Director, Statutory Import Programs Staff.

[FR Doc. 97–21712 Filed 8–14–97; 8:45 am]

BILLING CODE 3510–DS–P

DEPARTMENT OF COMMERCE

International Trade Administration

University of Vermont, et al.; Notice of

Consolidated Decision on Applications

for Duty-Free Entry of Scientific

Instruments

This is a decision consolidated

pursuant to Section 6(c) of the

Educational, Scientific, and Cultural

Materials Importation Act of 1966 (Pub.

L. 89–651, 80 Stat. 897; 15 CFR part

301). Related records can be viewed

between 8:30 A.M. and 5:00 P.M. in

Room 4211, U.S. Department of

Commerce, 14th and Constitution

Avenue, N.W., Washington, D.C.

Comments: None received. Decision:

Approved. No instrument of equivalent

scientific value to the foreign

instruments described below, for such

purposes as each is intended to be used,

is being manufactured in the United

States.

Docket Number: 96–149R. Applicant:

University of Vermont, Burlington, VT

05405–0068. Instrument: Motion

Analysis System and Telemg System,

Model Elite Plus. Manufacturer:

Bioengineering Technology & Systems,

Italy. Intended Use: See notice at 62 FR