1911003 Informal Interpretation

Date:

Tags:

Rule:
Item 5
Staff:
Nora Whitehead
Response/Comments:

As these are non-manufacturing intracompany sales, they would not be included in Item 5.

Question

From: Whitehead, Nora


Sent: Wednesday, November 6, 2019 11:29:14 AM (UTC-05:00) Eastern Time (US & Canada)


To: [Redacted]


Cc: [Redacted]


Subject: RE: Item 5 - Revenues Generated with a Single HSR Person

As these are non-manufacturing intracompany sales, they would not be included in Item 5.

From: [Redacted]


Sent: Tuesday, November 5, 2019 7:32:50 PM (UTC-05:00) Eastern Time (US & Canada)


To: [Redacted]


Subject: Item 5 - Revenues Generated with a Single HSR Person

Good Evening,

Do revenues generated between entities within the same Person need to be included in Item 5? The UPE of our client received rental income in excess of $1 million in 2018 pursuant to rental agreements with several of its wholly owned subsidiaries (each is a controlled entity). The subsidiaries each expensed their applicable payments under these agreements. Informal Interpretation 8604003 seems to suggest that these revenues must be reported, because they are generated internally and not otherwise captured by the other reported revenues. Is that correct?

About Informal Interpretations

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

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