Federal Register / Vol. 66, No. 90 / Wednesday, May 9, 2001 / Rules and Regulations 23561

Interested persons are invited to

comment on this rule by submitting

such written data, views, or arguments

as they may desire. Communications

should identify the Rules Docket

number and be submitted in triplicate to

the address specified under the caption

ADDRESSES. All communications

received on or before the closing date

for comments will be considered, and

this rule may be amended or withdrawn

in light of the comments received.

Factual information that supports the

commenter’s ideas and suggestions is

extremely helpful in evaluating the

effectiveness of this action and

determining whether additional

rulemaking action would be needed.

Comments are specifically invited on

the overall regulatory, economic,

environmental, and energy-related

aspects of the rule that might suggest a

need to modify the rule. All comments

submitted will be available, both before

and after the closing date for comments,

in the Rules Docket for examination by

interested persons. A report that

summarizes each FAA-public contact

concerned with the substance of this

action will be filed in the Rules Docket.

Commenters wishing the FAA to

acknowledge receipt of their comments

submitted in response to this rule must

submit a self-addressed, stamped

postcard on which the following

statement is made: ‘‘Comments to

Docket No. 01–ACT–5.’’ The postcard

will be date stamped and returned to the

commenter.

Agency Findings

The regulations adopted herein will

not have a substantial direct effect on

the States, on the relationship between

the national Government and the States,

or on the distribution of power and

responsibilities among the various

levels of government. Therefore, it is

determined that this final rule does not

have federalism implications under

Executive Order 13132.

The FAA has determined that this

regulation is noncontroversial and

unlikely to result in adverse or negative

comments. For the reasons discussed in

the preamble, I certify that this

regulation (1) is not a ‘‘significant

regulatory action’’ under Executive

Order 12866; (2) is not a ‘‘significant

rule’’ under Department of

Transportation (DOT) Regulatory

Policies and Procedures (44 FR 11034,

February 26, 1979); and (3) if

promulgated, will not have a significant

economic impact, positive or negative,

on a substantial number of small entities

under the criteria of the Regulatory

Flexibility Act.

List of Subjects in 14 CFR Part 71

Airspace, Incorporation by reference,

Navigation (air).

Adoption of the Amendment

Accordingly, the Federal Aviation

Administration amends 14 CFR part 71

as follows:

PART 71—DESIGNATION OF CLASS A,

CLASS B, CLASS C, CLASS D, AND

CLASS E AIRSPACE AREAS;

AIRWAYS; 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 Federal Aviation

Administration Order 7400.9H Airspace

Designations and Reporting Points,

dated September 1, 2000, and effective

September 16, 2000, is amended as

follows:

Paragraph 6004 Class E Airspace Areas

Extending Upward From the Surface of the

Earth.

* * * * *

ACE KS E4 Olathe, Johnson County

Executive Airport, KS

Olathe, Johnson County Executive Airport,

KS

(Lat. 38°50′51′′ N., long. 94°44′15′′ W.)

Johnson County VOR/DME

(Lat. 38°50′26′′ N., long. 94°44′12′′ W.)

That airspace extending upward from the

surface within 1.2 miles each side of the

Johnson County VOR/DME 180° radial,

extending from the 3.9-mile radius, to 7 miles

south of the Johnson County VOR/DME. This

Class E airspace area is effective during the

specific dates and times established in

advance by a Notice to Airmen. The effective

date and time will thereafter be continuously

published in the Airport Facility Directory.

* * * * *

Paragraph 6005 Class E Airspace Areas

Extending Upward From 700 Feet or More

Above the Surface of the Earth

* * * * *

ACE KS E5 Olathe, Johnson County

Executive Airport, KS

Olathe, Johnson County Executive Airport,

KS

(Lat. 38°50′51′′ N., long. 94°44′15′′ W.)

Johnson County VOR/DME

(Lat. 38°50′26′′ N., long. 94°44′12′′ W.)

That airspace extending upward from 700

feet above the surface within a 6.4-mile

radius of the Johnson County Executive

Airport, and within 1.2 miles each side of the

Johnson County VOR/DME 180° radial,

extending from the 6.4-mile radius, to 7 miles

south of the Johnson County VOR/DME.

* * * * *

Issued in Kansas City, MO, on April 20,

2001.

Herman J. Lyons, Jr.,

Manager, Air Traffic Division, Central Region.

[FR Doc. 01–11724 Filed 5–8–01; 8:45 am]

BILLING CODE 4910–13–M

FEDERAL TRADE COMMISSION

16 CFR Parts 801, 802 and 803

Premerger Notification; Antitrust

Improvements Act Notification and

Report Form

AGENCY: Federal Trade Commission.

ACTION: Interim rule with request for

comment.

SUMMARY: The Federal Trade

Commission (‘‘Commission’’) is

amending the Antitrust Improvements

Act Notification and Report Form (‘‘the

Form’’) and the accompanying

Instructions for Certain Mergers and

Acquisitions (‘‘the Instructions’’) which

must be completed and submitted by

persons required to report mergers or

acquisitions pursuant to section 7A of

the Clayton Act, as added by the HartScott-Rodino Antitrust Improvements

Act of 1976 (‘‘HSR Act’’). The amended

Form and Instructions will require filing

persons to: report revenue data using

the North American Industry

Classification System (‘‘NAICS’’) rather

than the Standard Industrial

Classification (‘‘SIC’’); use 1997 rather

than 1992 as the base year for reporting

revenue data; and report insurance

activities in the body of the Form rather

than in an Insurance Appendix. In

addition, the references to the SIC will

be replaced with references to the

NAICS. Finally, the Commission will

make minor revisions to the Instructions

to provide further assistance to persons

required to file under the HSR Act.

DATES: This interim rule is effective July

1, 2001. The Commission, however, is

soliciting comments regarding the July

1, 2001 effective date of these

amendments, which the Commission

will change if appropriate. Comments

must be received on or before June 8,

2001. In addition, it is important to note

that filing persons must continue to use

the SIC codes through June 30, 2001,

and that all parties to a transaction must

use the same classification system.

However, for transactions identified as

Section 801.30 transactions, where the

acquiring person files before July 1,

2001 with the expectation that the

acquired person will file on or after July

23562 Federal Register / Vol. 66, No. 90 / Wednesday, May 9, 2001 / Rules and Regulations

1The ECPC was chaired by the Bureau of

Economic Analysis, U.S. Department of Commerce,

with representatives from the Bureau of the Census,

U.S. Department of Commerce, and the Bureau of

Labor Statistics, U.S. Department of Labor.

2The North American Free Trade Agreement

provided an impetus to create a new industry

classification system as well, since the United

States, Mexico, and Canada favored the

development of a uniform industrial classification

system for North America. Mexico and Canada have

also adopted NAICS, with variations.

3A NAICS ‘‘sector’’ is comparable to the term

‘‘division’’ used in the SIC.

4 Information regarding the NAICS can be found

in the ‘‘North American Industry Classification—

United States, 1997’’ (1997 NAICS Manual)

published by the Executive Office of the President,

Office of Management and Budget should be used

to locate NAICS industry codes. Information is also

is available at www.census.gov, or by dialing 1–

888–75NAICS.

1, 2001, the Premerger Notification

Office recommends that the acquiring

person use the NAICS industry and

product codes to ensure the efficient

handling of the filing.

ADDRESSES: Address all comments to:

Secretary, Federal Trade Commission,

600 Pennsylvania Avenue, NW.,

Washington, DC 20580, or by e-mail to

hsr-rules@ftc.gov, and the Director of

Operations and Merger Enforcement,

Antitrust Division, Department of

Justice, Room 10103, 601 D Street, NW.,

Washington, DC 20530.

FOR FURTHER INFORMATION CONTACT:

William L. Lanning, Acting Deputy

Assistant Director, or Alice M.

Villavicencio, Compliance Specialist, of

the Premerger Notification Office,

Bureau of Competition at (202) 326–

3361 or (202) 326–3155, respectively.

SUPPLEMENTARY INFORMATION:

Background

Section 7A of the Clayton Act, 15

U.S.C. 18a, as added by the Hart-ScottRodino Antitrust Improvements Act of

1976, Pub. L. 94–435, 90 Stat. 1390, and

amended by Pub. L. 106–553, 114 Stat.

2762 (‘‘HSR Act’’), requires all persons

contemplating certain mergers or

acquisitions to file notification with the

Commission and the Assistant Attorney

General for the Antitrust Division of the

Department of Justice (‘‘Assistant

Attorney General’’). The HSR Act

further provides that such persons wait

a designated period of time before

consummating such transactions.

Congress empowered the

Commission, with the concurrence of

the Assistant Attorney General, to

require ‘‘that the notification * * * be

in such form and contain such

documentary material and information

* * * as is necessary and appropriate’’

to enable the agencies ‘‘to determine

whether such acquisitions may, if

consummated, violate the antitrust

laws.’’ Congress similarly granted

rulemaking authority to, inter alia,

‘‘prescribe such other rules as may be

necessary and appropriate to carry out

the purposes of this section.’’ 15

U.S.C.18a(d). Pursuant to this section,

the Commission, with the concurrence

of the Assistant Attorney General,

promulgated the Antitrust

Improvements Act Notification and

Report Form for Certain Mergers and

Acquisitions on July 31, 1978, with an

effective date of September 5, 1978, 43

FR 33450 (July 31, 1978), and has since

amended or revised the rules and Form

on fifteen occasions. The Commission,

with the concurrence of the Assistant

Attorney General, is promulgating these

amendments to the Form and the

Instructions relating to Items 3, 5, 6, 7,

and 8 as well as to Sections 801.1(j),

802.2(g), and 803.2 of the Rules as

indicated herein.

Completion of the Form provides the

Commission and the Assistant Attorney

General with information and

documentary material necessary to

conduct an initial review of mergers,

acquisitions, and other similar

transactions ‘‘to determine whether

such acquisitions may, if consummated,

violate the antitrust laws.’’ 15 U.S.C.

18a(d). The Form is not designed to

elicit all potentially relevant

information relating to a transaction.

Instead, the information requested

enables the Commission and the

Assistant Attorney General to determine

whether the waiting period for a

proposed acquisition should be allowed

to expire; whether a request by one or

both of the filing persons for early

termination of the waiting period

should be granted; or whether the

Commission or the Assistant Attorney

General should issue a request for

additional information and

documentary materials pursuant to

section 7A(e) of the HSR Act and 16

CFR 803.20.

The Form and the Instructions

currently require that filing persons

report revenue data contained in the

1992 Economic Census and the ‘‘1992

Numerical List of Manufactured and

Mineral Products.’’ The Bureau of the

Census has recently published its 1997

versions of the Economic Census and

the ‘‘Numerical List of Manufactured

and Mineral Products.’’ In these reports,

the data is compiled using the NAICS

which has replaced the SIC as the

industrial classification for the United

States. As a result, the Form, the

Instructions, and several rules will be

amended to replace references to the

SIC codes with references to the NAICS

codes, and references to a 1992 base

year to a 1997 base year.

Statement of Basis and Purpose for the

Commission’s Revision of the Form and

the Instructions

In 1992, OMB established the

Economic Classification Policy

Committee (ECPC).1 Among other

things, OMB asked the ECPC to evaluate

the SIC to determine whether it should

be revised or it should be replaced with

a new industry classification system for

the United States. The ECPC concluded

that the SIC should be replaced because

it did not adequately describe the

economy of the United States.

Specifically, the ECPC noted that the

SIC had failed to address two significant

economic trends which had transformed

the economy over the last 20 years: the

emergence of service-producing

industries and the rapid development of

technology-based industries.

After conducting an extensive

examination of the economy, the ECPC

determined that a new industrial

classification system would best

describe the economy if it were based

on a production-oriented, or supplybased, conceptual framework that

grouped together businesses using

identical or similar production

processes. The ECPC also noted that a

single conceptual framework would add

internal consistency to the new

classification system and would ensure

that the system could adapt to future

economic trends.

Acting in concert with similar

committees in Mexico and Canada, the

ECPC developed the NAICS to replace

the SIC.2 The NAICS divides the

economy into 20 sectors 3 and identifies

nine new service industries sectors and

358 new national industries. The NAICS

employs a 6-digit coding system in

which the first two digits designate the

sector, the third digit designates the

subsector, the fourth digit designates the

industry group, the fifth digit represents

the NAICS industry, and the sixth digit

designates individual national

industries (either Canadian, Mexican, or

United States). A 6-digit NAICS

industry code is comparable to a 4-digit

SIC industry code. A 7-digit NAICS

product class code and a 10-digit NAICS

product code are comparable to a 5-digit

SIC product class code and a 7-digit SIC

product code, respectively.4 A review of

NAICS industry codes is slated for every

five years and is expected to keep the

NAICS current as economic sectors

evolve.

In April, 1997, OMB issued its

decision to require all Federal statistical

agencies that collect or publish data by

industry to adopt the NAICS as the

industrial classification system for the

Federal Register / Vol. 66, No. 90 / Wednesday, May 9, 2001 / Rules and Regulations 23563

5Periodically, the Commission has adjusted the

base year when the Bureau of the Census published

a new ‘‘Economic Census.’’ See 45 FR 14205 (March

5, 1980); 51 FR 10368 (March 26, 1986); 55 FR

31371 (August 2, 1990); and 60 FR 40704 (August

9, 1995).

6Cross-reference tables comparing the 1997

NAICS product classes and product codes to the

1992 SIC product classes and vice versa, are found

in Appendices E and F, respectively, in the ‘‘1997

Numerical List of Manufactured and Mineral

Products.’’ For an electronic version of the

‘‘Numerical List,’’ visit the Bureau of Census web

site. Click on ‘‘Publications’’ and search the

‘‘Numerical List.’’ Where a product code is not

listed in the specific subsector table refer to the

‘‘Current Industrial Reports’’ by clicking on the

letter ‘‘C’’ located on the left grid of the web site.

United States, 62 FR 17287–17337

(April 9, 1997). However, OMB

specifically noted that it was not

requiring any non-statistical agencies,

such as the Commission, to use the

NAICS because the non-statistical

agencies played no role in the

development of the NAICS. Instead,

OMB noted that non-statistical agencies

should utilize the NAICS only after the

‘‘head of the agency administering that

program has . . . determined that the use

of such industry definitions is

appropriate to the implementation of

the program’s objectives.’’ Id.

The Commission has determined that

requiring filing persons to report

revenue data using the NAICS will

further the policy objectives of the HSR

notification program because the NAICS

has several characteristics that will

contribute to a more meaningful

antitrust analysis. First, the NAICS was

designed to describe the United States

economy more accurately than the SIC.

With its nine new service industry

sectors and 358 new industries, the

NAICS should provide more precise

comparisons for product markets. The

review of the NAICS every five years

should also provide more accurate

comparisons in a dynamic economy.

Second, the Commission has

traditionally relied upon the most

current economic data to analyze the

potential anticompetitive effects of

proposed transactions.5 The ‘‘1997

Economic Census’’ and the ‘‘1997

Numerical List of Manufactured and

Mineral Products’’ published by Bureau

of the Census contain such data and use

the NAICS.

Third, the NAICS is erected on a

production-oriented, or supply-based,

conceptual framework to ensure the

internal consistency of its industry

classifications. Businesses that use

identical or similar production

processes are grouped together. This

organizational concept will be useful to

the Commission and the Assistant

Attorney General when they evaluate

entry and industry overlap issues as part

of their antitrust analysis of proposed

transactions.

Incorporating the NAICS into the

Form and the Instructions will ensure

that filing persons provide revenues in

a format that can be compared to the

most recent and complete economic

data published by the Bureau of the

Census. The amended Form and

Instructions will require the 6-digit

NAICS industry code where the Form

and Instructions currently require the 4-

digit SIC industry code. Filing persons

should be aware, however, that certain

NAICS industry codes only contain 5-

digits. In those instances, the filing

person should add a zero (0) to the end

of the five-digit code when completing

the Form. Seven-digit NAICS product

class codes and the 10-digit NAICS

product codes should be used where the

Form and Instructions currently require

the 5-digit SIC class codes and the 7-

digit SIC product codes.6

We reiterate that filing persons must

continue to use the SIC codes through

June 30, 2001, and that all parties to a

transaction must use the same

classification system. For transactions

identified as Section 801.30

transactions, where the acquiring person

files before July 1, 2001 with the

expectation that the acquired person

will file on or after July 1, 2001, the

Premerger Notification Office

recommends that the acquiring person

use the NAICS industry and product

codes to ensure the efficient handling of

the filing.

Amendments to the Form and

Instructions

Items 5, 7, and 8 of the Form and

Instructions will require that revenue

data be provided using the NAICS.

References to the SIC codes in Section

801.1(j) and Section 802.2(g) will be

replaced with NAICS references.

References to the ‘‘1992 base year’’ will

replaced with ‘‘1997 base year’’

throughout the Form and Instructions.

Filing persons should refer to the ‘‘1997

Numerical List of Manufactured and

Mineral Products’’ (EC97M31R-NL)

published by the Bureau of the Census

to locate product class codes and

product codes.

As noted above, several other minor

changes to the Form and the

Instructions will be made. Most of these

changes either clarify the requirements

of the Form and Instructions or correct

technical errors in earlier versions. In

addition, the Insurance Appendix will

be deleted and filing persons should

report revenues from all insurance

activities in Item 5 of the Form. Finally,

Section 803.2 will be amended to reflect

the deletion of the Insurance Appendix.

Section 801.1(j) Engaged in

Manufacturing

In Section 801.1(j), the definition of

‘‘Engaged in manufacturing,’’ will be

amended by replacing ‘‘products within

industries 2000–3999 as coded in the

Standard Industrial Classification

Manual (1972 Edition)’’ with ‘‘products

within industries in Sectors 31–33 as

coded by the North American Industrial

Classification System (1997 Edition).’’

This amendment is needed to update

the definition to refer to the applicable

NAICS sector rather than the SIC

industry code.

Section 802.2(g) Certain Acquisitions

of Real Property Assets

In Section 802.2(g), the reference to

the SIC in the parenthetical will be

amended by replacing ‘‘(activities

within SIC Major Groups 01 and 02)’’

with ‘‘(activities within NAICS sector

11).’’ This amendment is necessary to

update the definition to refer to the

applicable NAICS sector rather than the

SIC industry codes. Section 802.2(g) is

also the subject of a substantive

proposed rule change set forth at 66 FR

8723–8729 (February 1, 2001), but that

change will not affect the parenthetical

referenced here. The parenthetical

reference to ‘‘(activities within SIC

Major Groups 01 and 02)’’ will be

amended as of July 1, 2001, along with

the other NAICS changes.

Item 3 of the Instructions

The last sentence of the Instruction to

Item 3(a) will be corrected by inserting

the word ‘‘involved’’ between the words

‘‘persons’’ and ‘‘in.’’ In the Instruction

to Item 3(c), the reference to ‘‘items

3(c)(i)–3(c)(viii)’’ will be corrected to

read ‘‘items 3(c)(i)–3(c)(vi).’’

Item 5 of the Form and Instructions

The last paragraph of the general

instruction to Items 5(a) through 5(c)

will be revised to clarify that persons

filing notification should report

revenues derived by all entities

included within the person at the time

the Notification and Report Form is

prepared for each applicable subpart of

Item 5. Filing persons have always been

required to provide this information for

all entities they controlled at the time of

filing. The specific reference to the base

year in the instruction was added

because the Commission wanted to

make clear that information for the base

year should be included for those

entities that were acquired after the base

year. Since the instruction has been the

subject of questions on several

23564 Federal Register / Vol. 66, No. 90 / Wednesday, May 9, 2001 / Rules and Regulations

occasions, the revised language should

eliminate any confusion about this

requirement.

Item 5(a) will require that the filing

person provide 1997 base year revenue

data for each 6-digit NAICS industry

code(s) in which it derived revenues.

Item 5(b)(i) will require that a filing

person engaged in manufacturing

provide 1997 base year revenue data for

each 10-digit NAICS product code(s) in

which it derived any revenues. Item 5(c)

will require that a filing person engaged

in non-manufacturing activities provide

6-digit NAICS industry revenue data for

the most recent year.

Item 5(b)(ii) will require that the filing

person identify each manufactured

product it has added or deleted since

1997 by 10-digit NAICS-based product

code(s). The filing person must also give

the year in which the product was

added or deleted, and must provide the

total dollar revenue attributable to each

product added for the most recent year

by 10-digit NAICS-based product code.

The second paragraph of the

Instruction to Item 5(b)(ii) will be

revised to clarify that while products

added by reason of acquisition of an

entity are not included in this item,

products added by reason of an

acquisition of assets constituting less

than an entity should be reported. The

paragraph will also be revised to clarify

that the same is true of products deleted

by disposition of assets. The reference to

dispositions of voting securities will be

removed in order to correct a technical

error in the original instructions. (If a

product has been deleted by a

disposition of voting securities, then

that issuer is no longer within the

person filing notification, and no Item 5

information is required for that issuer.)

Item 5(b)(iii) will require that the

filing person engaged in manufacturing

provide revenue data for the most recent

year for each 7-digit NAICS-based class

code(s) in which it derived revenues.

The paragraph following the note to

Item 5(c) in the Instructions references

the Insurance Appendix, which was

designed to elicit information relating to

insurance activities, broken down by

type of insurance. Over time, the

Commission has determined that

requiring a separate listing for insurance

overlaps has not been particularly

useful. Consequently, all insurance

revenues, including those revenues

previously classified under 2-digit SIC

major group 63, will now be required to

be reported in Item 5. The Insurance

Appendix will be deleted and this

reference in the Instructions will no

longer be needed.

Item 5(d)(iv) of the Form and the

Instructions will require that the filing

person identify the source of dollar

revenues by 6-digit NAICS industry

code(s) for a joint venture or other

corporation. If the joint venture or other

corporation is engaged in

manufacturing, the filing person will be

required to specify each 7-digit NAICSbased product class code in which it

will derive revenues.

In Item 5(d) of the Form, the number

‘‘(1)’’ will be changed to ‘‘( i )’’ to correct

a typographical error.

Item 6 of the Form

In the heading of Item 6(b) on the

Form, the word ‘‘or’’ will be corrected

to ‘‘of,’’ so that it reads, ‘‘Shareholders

of Person Filing Notification.’’

Item 7 of the Form and Instructions

Item 7, which currently requires

geographic market information for any

4-digit SIC code in which more than one

party to the transaction derives

revenues, will require this geographic

market information by 6-digit NAICS

industry code(s).

Items 7(c)(i–vi) of the Instructions,

which require the submission of

geographic market information by state

and, in some instances, by county, city

or town, will be amended by adding the

references to the NAICS sectors and

subsectors rather than the SIC major

groups. The reference to the NAICS

sectors and subsectors were carefully

compared with the SIC to ensure that

the assignment of NAICS codes to

subdivisions (i–vi) of Item 7(c) will

correspond to the SIC codes currently

required. For example, the Instructions

to Items 7(c)(v) and 7(c)(vi) will be

revised to accommodate a change in

classification under the NAICS of

insurance agencies/brokerages and

insurance carriers. Insurance agencies

and brokerages have always been

required to list the states in which their

establishments are located, while

insurance carriers are required to list the

states in which they are licensed to

write insurance. Under the SIC, agencies

and brokerages were reported under

Major Group 64, while insurance

carriers were reported under Major

Group 63. Both types of activities are

classified under Sector 52 in the NAICS,

but insurance carriers and insurance

agencies/brokerages are classified under

NAICS Industry Group 5241 and 5242,

respectively. Thus, the Instruction to

Item 7(c)(v) will apply to insurance

agencies/brokers (NAICS Industry

Group 5242) and the Instruction to Item

7(c)(vi) will apply to insurance carriers

(NAICS Industry Group 5241).

Item 8 of the Form and Instructions

Item 8 requires that the acquiring

person report certain recent acquisitions

of assets and voting securities, where

the assets or voting securities that were

previously acquired derived revenues in

the same 4-digit SIC code as reported in

Item 7 in the instant acquisition. This

item will ask for this information by 6-

digit NAICS industry code(s).

The instruction to Item 8 will be

revised to clarify that information

should be provided as to any previous

acquisitions where such acquisitions

were of a controlling interest in an

issuer with sales or assets satisfying the

threshold in the instruction. The

previous language, requiring the listing

of acquisitions of ‘‘more than 50

percent’’ of the voting securities of an

entity, did not technically encompass an

acquisition of exactly 50 percent, which

also would constitute a controlling

interest. The instruction for asset

acquisitions will also be revised to

require the listing of any previous

acquisition of assets valued at or above

the statutory size-of-transaction test at

the time of their acquisition, rather than

any acquisition of more than 50 percent

of the assets of an entity. Requiring the

listing of asset acquisitions of a

potentially reportable size at the time of

their acquisition, and therefore deemed

by Congress to warrant antitrust

scrutiny, should yield more meaningful

information than the listing of

acquisitions of over 50 percent of the

assets of an entity with assets of $10

million or more, which could be

extremely small and of little antitrust

significance. In addition, the

requirement to provide annual net sales

and total assets of the acquired entity in

the year prior to the acquisition has

been eliminated. Numerous informal

comments have been received over the

years indicating that this information is

often difficult to obtain, particularly for

prior acquisitions of assets. The

agencies have determined that the

burden placed on persons filing

notification outweighs the usefulness of

the information in analyzing the

antitrust implications of the transaction.

Accordingly, Items 8(e) and 8(f) will be

deleted and Item 8(g) will be

redesignated as Item 8(e).

Insurance Appendix and Section 803.2

As noted in Item 5, this appendix will

be deleted in its entirety. Section 803.2

has been amended to reflect the

deletion.

Administrative Procedure Act

The requirement to publish a notice of

proposed rulemaking and afford an

Federal Register / Vol. 66, No. 90 / Wednesday, May 9, 2001 / Rules and Regulations 23565

7As noted in the Commission’s recent

publication of interim rules amending the

premerger notification rules, the increase in

reporting threshold from $15 million to $50 million

has significantly reduced the number of entities

affected by the premerger notification program. See

66 FR 8680, 8687 (February 2, 2001).

opportunity for public comment under

the Administrative Procedure Act does

not apply when an agency for good

cause finds that such procedure would

be ‘‘impracticable, unnecessary, or

contrary to the public interest.’’ See 5

U.S.C. 553(b)(A).

The Commission believes that a

notice of proposed rulemaking with

public comment is unnecessary here.

The NAICS has already become the U.S.

standard as an industrial classification

system for statistical agencies, replacing

the SIC. The NAICS is used by all

federal statistical agencies, and has

already been widely adopted by state

agencies, trade associations, private

businesses, and other organizations.

Moreover, as noted earlier, the use of

the NAICS will improve both the

accuracy and consistency of data

submitted by filing parties and the

evaluation of entry and industry overlap

issues as part of the Commission’s

premerger antitrust analysis. In

addition, these revisions will not alter

or otherwise affect the substantive rights

of the filing parties or the standards by

which the Commission is required to

conduct such premerger review. Finally,

the publication of this interim rule is

being made to provide the public with

ample opportunity to implement the

change to the NAICS from the SIC.

Nonetheless, the Commission is

soliciting comment regarding the July 1,

2001 effective date of these amendments

to ascertain whether it provides

sufficient time for filing persons to

comply.

After the comment period, the

Commission will publish a notice and

final rule in the Federal Register. The

notice will discuss comments received

and will indicate the action taken by the

Commission in light of such comments.

Regulatory Flexibility Act

The information required by the

amended Form is substantially the same

as the information elicited on the

current Form. The only difference is

that filing persons will be required to

report revenue data using the NAICS

instead of the SIC in Items 5, 7, and 8.

The change in base year simply requires

that filing persons use data from the

‘‘1997 Economic Census’’ rather than

data from the ‘‘1992 Economic Census.’’

The ministerial changes clarify or

simplify existing practices.

The Regulatory Flexibility Act, 5

U.S.C. 601–612, requires that the agency

conduct an initial and final regulatory

analysis of the anticipated economic

impact of the proposed amendments on

small businesses, except where the

agency head certifies that the regulatory

action will not have a significant

economic impact on a substantial

number of small entities. 5 U.S.C. 605.

Because of the size of the transactions

necessary to invoke a Hart-Scott-Rodino

filing,7 the premerger notification rules

rarely, if ever, affect small businesses.

The recent amendments to section 7A of

the Clayton Act and the Commission’s

implementing rule amendments were

intended to reduce the burden of the

premerger notification program by

exempting all transactions valued at $50

million or less.

Furthermore, most federal statistical

agencies have adopted the NAICS since

1997. Accordingly, many companies

that currently file HSR notifications

have submitted economic information to

the Bureau of the Census using the

NAICS codes since 1997. For these

filing persons, reporting base year

revenue data classified under the NAICS

should present little difficulty. For

persons that do not have base year

revenue data coded under the NAICS,

the delayed effective date of the

amendments to the Form should

provide sufficient time to convert their

SIC data to the NAICS format with

minimal burden. Finally, potential filers

have always been required to provide

base year data from the most recent

Economic Census since the inception of

the Form in 1978.

In light of the foregoing, the

Commission certifies that the

amendments to the Form will not have

a significant economic impact on a

substantial number of small entities

within the meaning of the Regulatory

Flexibility Act, 5 U.S.C. 601–612. Thus,

neither an initial nor a final regulatory

flexibility analysis of this revision is

required. 5 U.S.C. 605. This document

serves as the required notice of this

certification to the Small Business

Administration.

Paperwork Reduction Act

The Commission’s revisions to the

Form do not ‘‘substantive[ly] or

material[ly] modify’’ the existing terms

of the currently approved collection of

information (OMB Control Number

3084–0005) to necessitate OMB’s further

review and approval. See 44 U.S.C.

3507(h)(3); 5 CFR 1320.5(g).

List of Subjects in 16 CFR Parts 801,

802, and 803

Antitrust, Business and industry,

Reporting and recordkeeping

requirements.

For the reasons stated in the

preamble, the Commission amends 16

CFR part 801, 802, and 803 as follows:

PART 801—COVERAGE RULES

1. The authority citation for part 801

continues to read as follows:

Authority: 15 U.S.C. 18a(d).

2. Amend § 801.1 by revising

paragraph (j) to read as follows:

§ 801.1 Definitions

* * * * *

(j) Engaged in manufacturing. A

person is engaged in manufacturing if it

produces and derives annual sales or

revenues in excess of $1 million from

products within industries in Sectors

31–33 as coded by the North American

Industrial Classification System (1997

Edition) published by the Executive

Office of the President, Office of

Management and Budget.

* * * * *

PART 802—EXEMPTION RULES

3. The authority citation for part 802

continues to read as follows:

Authority: 15 U.S.C. 18a(d).

4. Amend § 802.2 by revising

paragraph (g) to read as follows:

§ 802.2 Certain acquisitions of real

property assets.

* * * * *

(g) Agricultural property. An

acquisition of agricultural property,

assets incidental to the ownership of

such property and associated

agricultural assets shall be exempt from

the requirements of the act. Agricultural

property is real property and assets that

primarily generate revenues from the

production of crops, fruits, vegetables,

livestock, poultry, milk and eggs

(activities within NAICS sector 11).

* * * * *

PART 803—TRANSMITTAL RULES

5. The authority citation for part 803

continues to read as follows:

Authority: 15 U.S.C. 18a(d).

6. Amend § 803.2 by revising

paragraphs (b) introductory text, (b)(1)

introductory text, and (c) introductory

text as set forth below.

§ 803.2 Instructions applicable to

Notification and Report Form.

* * * * *

23566 Federal Register / Vol. 66, No. 90 / Wednesday, May 9, 2001 / Rules and Regulations

(b) Except as provided in paragraph

(b)(2) of this section and paragraph (c)

of this section:

(1) items 5–8 of the Notification and

Report Form must be completed—

* * * * *

(c) In response to items 5, 7, and 8 of

the Notification and Report Form—

* * * * *

7. The Appendix to Part 803 is

amended by revising pages I, II, III, IV,

V, VI of the instructions to the Antitrust

Improvements Act Notification and

Report Form for Certain Mergers and

Acquisitions, and pages 1 through 15 of

the Notification and Report Form for

Certain Mergers and Acquisitions to

read as follows:

Federal Register / Vol. 66, No. 90 / Wednesday, May 9, 2001 / Rules and Regulations 23567

Appendix to Part 803

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23572 Federal Register / Vol. 66, No. 90 / Wednesday, May 9, 2001 / Rules and Regulations

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* * * * * By direction of the Commission.

Donald S. Clark,

Secretary.

[FR Doc. 01–11592 Filed 5–8–01; 8:45 am]

BILLING CODE 6750–01–C

23588 Federal Register / Vol. 66, No. 90 / Wednesday, May 9, 2001 / Rules and Regulations

DEPARTMENT OF HEALTH AND

HUMAN SERVICES

Food and Drug Administration

21 CFR Parts 510, 520, 522, and 558

Animal Drugs, Feeds, and Related

Products; Trichlorfon, etc.; Withdrawal

of Approval of NADAs

AGENCY: Food and Drug Administration,

HHS.

ACTION: Final rule.

SUMMARY: The Food and Drug

Administration (FDA) is amending the

animal drug regulations to remove those

portions that reflect approval of 11 new

animal drug applications (NADAs)

listed below. In a notice published

elsewhere in this issue of the Federal

Register, FDA is withdrawing approval

of the NADAs.

DATES: This rule is effective May 21,

2001.

FOR FURTHER INFORMATION CONTACT:

Pamela K. Esposito, Center for

Veterinary Medicine (HFV–210), Food

and Drug Administration, 7500 Standish

Pl., Rockville, MD 20855, 301–827–

5593.

SUPPLEMENTARY INFORMATION: The

following sponsors have requested that

FDA withdraw approval of the NADAs

listed below because the products are no

longer manufactured or marketed:

Sponsor NADA Number Product

(Drug)

21 CFR Cite Affected

(Sponsor Drug Labeler Code)

Purina Mills, Inc., P.O. Box 66812, St. Louis,

MO 63166–6812.

NADA 48–915 Purina Bot Control (trichlorfon) ..... 520.2520a (017800)

Golden Sun Feeds, Inc., 111 South Fifth St.,

Estherville, IA 51334.

NADA 97–567 Tylan 10 Premix (tylosin phosphate).558.625(b)(17) (021780)

...................................................................... NADA 97–615 Swine Med-A-Mix TS 8000 Premix,

Tylan 5, 10, 20, 40 Sulfa-G (tylosin phosphate and sulfamethazine).

558.630(b)(4) and (b)(10) (021780)

Quali-Tech Products, Inc., 318 Lake Hazeltine Dr., Chaska, MN 55318–1093.NADA 110–440 Hygromix Hygrowormer

Hyanthelmix (hygromycin B).

558.274(a)(2), (a)(3), (a)(4), (c)(1)(i), and

(c)(1)(ii) (016968)

Steris Laboratories Inc., 620 North 51st

Ave., Phoenix, AZ 85043–4705.

NADA 45–578 Lidocaine Hydrochloride With Epinephrine Injection 2%.522.1258 (000402)

...................................................................... NADA 44–585 Oxytocin Injection ........................... 522.1680 (000402)

...................................................................... NADA 45–737 Sodium Pentobarbital Injection ....... 522.1704(b) (000402)

...................................................................... NADA 45–848 Phenylbutazone Injection ................ 522.1720 (000402)

...................................................................... NADA 110–349 Dexamethasone Injection ............. 522.540(c)(2) (000402)

...................................................................... NADA 110–350 Dexamethasone Injection ............. 522.540(b)(2)(ii) (000402)

...................................................................... NADA 117–973 Prednisolone Sodium Succinate

for Injection.

522.1884(c) (000402)

Following the withdrawal of approval

of these NADAs, Golden Sun Feeds,

Inc., is no longer the sponsor of any

approved applications. Therefore, 21

CFR 510.600(c) is amended to remove

entries for the sponsor.

Steris Laboratories currently has

another approved application for

dexamethasone injection (NADA 104–

606). Therefore, the regulation is not

amended to reflect the withdrawal of

approval of NADA 110–349

(dexamethasone injection).

Steris Laboratories NADA 44–585

oxytocin injection is not codified under

21 CFR 522.1680 oxytocin injection.

Also, Steris Laboratories NADA 45–848

phenylbutazone injection is not codified

under 21 CFR 522.1720 phenylbutazone

injection. Therefore, amendments of the

cited regulations are not required.

As provided below, the animal drug

regulations are amended to reflect the

withdrawal of approvals.

This rule does not meet the definition

of ‘‘rule’’ in 5 U.S.C. 804(3)(A) because

it is a rule of ‘‘particular applicability.’’

Therefore, it is not subject to the

congressional review requirements in 5

U.S.C. 801–808.

List of Subjects

21 CFR Part 510

Administrative practice and

procedure, Animal drugs, Labeling,

Reporting and recordkeeping

requirements.

21 CFR Parts 520 and 522

Animal drugs.

21 CFR Part 558

Animal drugs, Animal feeds.

Therefore, under the Federal Food,

Drug, and Cosmetic Act and under

authority delegated to the Commissioner

of Food and Drugs and redelegated to

the Center for Veterinary Medicine, 21

CFR parts 510, 520, 522, and 558 are

amended as follows:

PART 510—NEW ANIMAL DRUGS

1. The authority citation for 21 CFR

part 510 continues to read as follows:

Authority: 21 U.S.C. 321, 331, 351, 352,

353, 360b, 371, 379e.

§ 510.600 [Amended]

2. Section 510.600 Names, addresses,

and drug labeler codes of sponsors of

approved applications is amended in

the table in paragraph (c)(1) by

removing the entry ‘‘Golden Sun Feeds,

Inc.’’, and in the table in paragraph

(c)(2) by removing the entry ‘‘021780’’.

PART 520—ORAL DOSAGE FORM

NEW ANIMAL DRUGS

3. The authority citation for 21 CFR

part 520 continues to read as follows:

Authority: 21 U.S.C. 360b.

§ 520.2520a [Removed]

4. Section 520.2520a Trichlorfon oral

is removed.

PART 522—IMPLANTATION OR

INJECTABLE DOSAGE FORM NEW

ANIMAL DRUGS

5. The authority citation for 21 CFR

part 522 continues to read as follows:

Authority: 21 U.S.C. 360b.

§ 522.1258 [Removed]

6. Section 522.1258 Lidocaine

injection with epinephrine is removed.

§ 522.1704 [Amended]

7. Section 522.1704 Sodium

pentobarbital injection is amended by

removing and reserving paragraph (b).

§ 522.1884 [Amended]

8. Section 522.1884 Prednisolone

sodium succinate injection is amended

by removing the second sentence of