lar revenues. We believe that the Form may be in error in calling for 1997 data. The
year 1997 indicates the NAICS promulgation, but this information may not neces-
sarily be relevant to antitrust issues that the Form is designed to address.
Item 5(b)(ii) seeks information about products added or deleted, described by the
ten-digit NAICS product code. A business may be selling part of its operations or
cease certain activities in its quest for antitrust clearance. Additions typically reflect
scalar economies or other efficiencies than an increase in transfer pricing transactions.
Item 5(b)(iii) seeks dollar revenues by manufactured product class. Item 5(c)
seeks dollar revenues by nonmanufacturing industry. The manufactured product
classes are determined at the seven-digit NAICS level. The dollar revenues for the
nonmanufacturing industry can be determined by the six-digit NAICS code. The in-
structions for the Form indicate that industries for which the dollar revenues totaled
less than one million dollars in the most recent year may be omitted. Item 5(d) ad-
dresses the acquisition in the context of a joint venture, including contributions, con-
tracts, credit guarantees, consideration, business description, and dollar revenues.
(vi) Shareholders, Holdings, and Entities. Item 2(a) had addressed information con-
cerning the ultimate parent entities of all acquiring persons and the ultimate parent
entities of all acquired persons. In contrast, item 6(a) seeks information concerning
entities within the person filing the Notification, most typically the subsidiaries of the
person filing the notification. The instructions to item 6(a) specify that the person
seeking the Notification may omit entities with total assets of less than $10 million.
Item 6(b) seeks shareholders of the parent seeking the Notification. The instructions
to item 6(b) specify that shareholders include the ultimate parent, and that holders
need not be listed for entities with total assets of less than $10 million. Item 6(c)
seeks information as to the holdings of the person filing the Notification.
(vii) Dollar Revenues and Geographic Market Information. Item 7(a) seeks dollar
revenues, specified by the six-digit NAICS code and description. Item 7(b) requests
the name of each person who derived dollar revenues. Item 7(c) requests geographic
market information. Of the three items, geographic market information is most sig-
nificantly related to the transfer pricing inquiry. As a general matter, the geographic
information required by item 7(c) is significantly more detailed than required for
transfer pricing purposes, but this information can be used to challenge or substanti-
ate assertions made for transfer pricing purposes.
(viii) Previous Acquisitions. Item 8 seeks information concerning previous informa-
tion from the acquiring persons. For each such acquisition, the acquiring persons are
to supply the following:
- The name of the entity acquired
- The headquarters of the entity prior to acquisition
- Whether the acquiring person acquired securities or assets
- The consummation date of the acquisition
- The six-digit NAICS code in which the acquired entity derived dollar revenues
Item 8 has two safe harbors, a $1 million exclusion and a $10 million exclusion.
The person filing the Notification is to reflect each six-digit NAICS code for which
29.21 TRANSFER PRICING INFORMATION DOCUMENT REQUEST 29 • 37