[Federal Register Volume 64, Number 200 (Monday, October 18, 1999)] [Notices] [Pages 56189-56191] From the Federal Register Online via the Government Publishing Office [www.gpo.gov] [FR Doc No: 99-27092] ======================================================================= ----------------------------------------------------------------------- DEPARTMENT OF COMMERCE International Trade Administration Export Trade Certificate of Review ACTION: Notice of Application. ----------------------------------------------------------------------- SUMMARY: The Office of Export Trading Company Affairs (``OETCA''), International Trade Administration, Department of Commerce, has received an application for an Export Trade Certificate of Review. This notice summarizes the conduct for which certification is sought and requests comments relevant to whether the Certificate should be issued. FOR FURTHER INFORMATION CONTACT: Morton Schnabel, Director, Office of Export Trading Company Affairs, International Trade Administration, (202) 482-5131. This is not a toll-free number. SUPPLEMENTARY INFORMATION: Title III of the Export Trading Company Act of 1982 (15 U.S.C. Sections 4001-21) (``the Act'') authorizes the Secretary of Commerce, with the concurrence of the Attorney General, to issue Export Trade Certificates of Review. A Certificate of Review protects the holder and the members identified in the Certificate from state and federal government antitrust actions and from private, treble damage antitrust actions for the export conduct specified in the Certificate and carried out in compliance with its terms and conditions. Section 302(b)(1) of the Act and 15 CFR Section 325.6(a) require the Secretary to publish a notice in the Federal Register identifying the applicant and summarizing its proposed export conduct. Request for Public Comments Interested parties may submit written comments relevant to the determination whether a Certificate should be issued. If the comments include any privileged or confidential business information, it must be clearly marked and a nonconfidential version of the comments (identified as such) should be included. Any comments not marked privileged or confidential business information will be deemed to be nonconfidential. An original and five copies, plus two copies of the nonconfidential version, should be submitted no later than 20 days after the date of this notice to: Office of Export Trading Company Affairs, International Trade Administration, Department of Commerce, Room 1104H, Washington, D.C. 20230. Information submitted by any person is exempt from disclosure under the Freedom of Information Act (5 U.S.C. Section 552). However, nonconfidential versions of the comments will be made available to the applicant if necessary for determining whether or not to issue the Certificate. Comments should refer to this application as ``Export Trade Certificate of Review, application number 99-00005.'' A summary of the application follows. Summary of the Application Applicant: California Almond Export Association, LLC (``CAEA''), 4800 Sisk Road, Modesto, CA 95356. Contact: Ronald C. Peterson, Attorney. Telephone: (415) 995-5005. Application No.: 99-00005. Date Deemed Submitted: October 4, 1999. Members (in addition to applicant): A & P Growers Cooperative, Inc., Tulare, CA; Almonds California Pride, Inc., Caruthers, CA; Baldwin-Minkler Farms, Orland, CA; Blue Diamond Growers, Sacramento, CA; Calcot, Ltd., Bakersfield, CA; California Independent Almond Growers, Ballico, CA; Campos Brothers, Caruthers, CA; Chico Nut Company, Chico, CA; Del Rio Nut Company, Livingston, CA; Dole Nut Company, Bakersfield, CA (Controlling Entity: Dole Food Company, Inc., West Lake Village, CA); Fair Trade Corner, Inc., Chico, CA; Gold Hills Nut Co., Inc., Ballico, CA; Golden West Nuts, Inc., [[Page 56190]] Ripon, CA; Harris Woolf California Almonds, Huron, CA; Hilltop Ranch, Ballico, CA; Hughson Nut Company, Hughson, CA; Kindle Nut Company, Denair, CA; Paramount Farms, Inc., Los Angeles, CA (Controlling Entity: Roll International Corporation, Los Angeles, CA); P-R Farms, Inc., Clovis, CA; Santa Fe Nut Company, Ballico, CA; South Valley Farms, Wasco, CA; and Western Nut Company, Chico, CA. CAEA seeks a Certificate to cover the following specific Export Trade, Export Markets, and Export Trade Activities and Methods of Operation. Export Trade 1. Products California almonds in processed and unprocessed form (``almonds''). 2. Services Marketing, distribution and promotional services. 3. Export Trade Facilitation Services (as they Relate to the Export of Products and Services) All export trade-related facilitation services, including but not limited to: development of trade strategy; sales, marketing, and distribution; foreign market development; promotion; all aspects of foreign sales transactions, including export brokerage, freight forwarding, transportation, insurance, billing, collection, trade documentation, and foreign exchange; customs, duties and taxes; and inspection and quality control. Export Markets The Export Markets include all parts of the world except the United States (the fifty states of the United States of America, the District of Columbia, the Commonwealth of Puerto Rico, the Virgin Islands, American Samoa, Guam, the Commonwealth of the Northern Mariana Islands, and the Trust Territories of the Pacific Islands). Export Trade Activities and Methods of Operation CAEA and its Members seek to have the following conduct certified: 1. To undertake on its own behalf or on behalf of all or less than all of its Members, with respect to the trade in almonds handled by the Members with any or all customers in the Export Markets, or any country or geographical area within the Export Markets, all activities conducted through CAEA or through Export Intermediaries (to the extent provided in section 1.g below) as follows: a. Sales Prices. Establish sale prices, minimum sale prices, target sale prices and/or minimum target sale prices and other terms of sale. b. Marketing and Distribution. Marketing and distribution. c. Promotion. Promotion. d. Quantities. Agree on quantities of almonds to be sold, provided each Member shall be required to dedicate only such quantity or quantities, as each such Member shall independently determine. CAEA shall not require any Member to export a minimum quantity. e. Market and Customer Allocation. Allocate geographic areas or countries in the Export Markets and/or customers in the Export Markets among Members. f. Refusals to deal. Refuse to quote prices for almonds, or to market or sell almonds, to or for any customers in the Export Markets, or any countries or geographical areas in the Export Markets. g. Exclusive and Non-exclusive Export Intermediaries. Enter into exclusive and non-exclusive agreements appointing one or more Export Intermediaries for the sale of almonds with price, quantity, territorial and/or customer restrictions as otherwise provided in sections 1.a. through 1.f., inclusive, above. h. Non-Member Activities. Solicit individual non-Members either to sell almonds to CAEA for sale in the Export Markets or otherwise to combine those non-Member almonds with those of some or all of the Members for sale in the Export Markets. In no event shall a non-Member be included in any deliberations concerning any export trade activities. 2. Exchange of Information. To exchange and discuss the following information: a. Information about sale and marketing efforts for the Export Markets, activities and opportunities for sales of almonds in the Export Markets, selling strategies for the Export Markets, sales for the Export Markets, contract and spot pricing in the Export Markets, projected demands in the Export Markets for almonds, customary terms of sale in the Export Markets, prices and availability of almonds from competitors for sale in the Export Markets, and specifications for almonds by customers in the Export Markets; b. Information about the price, quality, quantity, source, and delivery dates of almonds available from the Members to export; c. Information about terms and conditions of contracts for sale in the Export Markets to be considered and/or bid on by CAEA and its Members; d. Information about joint bidding or selling arrangements for the Export Markets and allocations of sales resulting from such arrangements among the Members; e. Information about expenses specific to exporting to and within the Export Markets, including without limitation, transportation, trans- or intermodal shipments, insurance, inland freights to port, port storage, commissions, export sales, documentation, financing, customs, duties and taxes; f. Information about U.S. and foreign legislation and regulations, including federal marketing order programs, affecting sales for the Export Markets; g. Information about CAEA's or its Members' export operations, including without limitation, sales and distribution networks established by CAEA or its Members in the Export Markets, and prior export sales by Members (including export price information); and h. Information about customer credit terms and credit history. 3. To prescribe the following conditions for admission of Members to CAEA and termination of membership in CAEA: a. Membership shall be limited to persons, firms or organizations who meet the definition of ``handler'' as defined in 7 CFR Section 981.13. b. Membership shall terminate on the occurrence of the following events: i. Withdrawal or resignation of a Member; ii. Expulsion approved by a majority of all Members for a material violation of the CAEA's Operating Agreement, after prior written notice to the Member proposed to be expelled and an opportunity of such Member to appeal and be heard before a meeting of the Members; iii. Death or permanent disability of a Member who is an individual or the dissolution of a Member other than an individual; and iv. The bankruptcy of a Member as provided in the CAEA's Operating Agreement. 4. To meet to engage in the activities described in paragraphs 1 through 3 above. Definitions 1. Export Intermediary means a person, including a Member, who acts as a distributor, sales representative, sales or marketing agent, or broker, or who performs similar functions, engaged to conduct export trade activities on behalf of CAEA or any or all of its Members as provided in section 1.g. above, and for the providing of or arranging for the provision of Export Trade Facilitation Services. 2. Handler means a person handling almonds grown in California as defined in 7 CFR Section 981.13 under Order [[Page 56191]] Regulating Handling of Almonds Grown in California. 3. Member means a person who has membership in CAEA and who has been certified as a ``Member'' within the meaning of 15 CFR Section 325.2(1) of the Regulations. Terms and Conditions of Certificate 1. Except as provided in Section 2 of the Export Trade Activities and Methods of Operation above, CAEA and its Members shall not intentionally disclose, directly or indirectly, to any handler (as defined in 7 CFR Section 981.13) of Products (including Members) any information about its or any other handler's costs, production capacity, inventories, domestic prices, domestic sales, domestic orders, terms of domestic marketing or sale, or U.S. business plans, strategies or methods, unless: (1) such information is already generally available to the trade or public; (2) such disclosure is a material part of the negotiations for an actual or potential bona fide sale or purchase of the Products and the disclosure is limited to that prospective purchaser or seller; or (3) such disclosure is made in connection with the administration of the United States Department of Agriculture marketing order for almonds grown in California. 2. Each Member shall determine independently of other Members the quantity of Products the Member will make available for export or sell through CAEA. CAEA may not solicit from any Member specific quantities for export or require any Member to export any minimum quantity of almonds. 3. Meetings at which CAEA allocates export sales among Members and establishes export prices shall not be open to the public. 4. Participation by a Member in any Export Trade Activity or Method of Operation under this Certificate shall be entirely voluntary as to that Member, subject to the honoring of contractual commitments for sales of Products in specific export transactions. A Member may withdraw from coverage under this Certificate at any time by giving a written notice to CAEA, a copy of which CAEA shall promptly transmit to the Secretary of Commerce and the Attorney General. 5. CAEA and its Members will comply with requests made by the Secretary of Commerce, on behalf of the Secretary or the Attorney General, for information or documents relevant to conduct analysis under the Certificate. The Secretary of Commerce will request such information or documents when either the Attorney General or the Secretary believes that the information or documents are required to determine that the Export Trade or Export Trade Activities and Methods of Operation of a person protected by this Certificate of Review continue to comply with the standards of Section 303(a) of the Act. Dated: October 12, 1999. Morton Schnabel, Director, Office of Export Trading, Company Affairs. [FR Doc. 99-27092 Filed 10-15-99; 8:45 am] BILLING CODE 3510-DR-P