0203016 Informal Interpretation

From: [redacted]
To: novuka@ftc.gov
Date: 3/29/02

Subject: Question

Ms. Ovuka,

I spoke with you yesterday regarding the preparation of a premerger notification form and have a follow up question that I thought would be best written out. My question focuses on Item 5 of the report form requiring dollar revenue information by 6-digit industry codes.

As I explained, our client, the acquired entity, is a grocery/food wholesaler. It engages in selling a wide range and variety of food products as well as some restaurant and cafeteria type equipment. The NAICS lists 6-digit industry codes based on activities in which a company is primarily engaged. Our client fits clearly within code [redacted] as it sells a wide range and general line of grocery products. However, sales could be broken down further into, e.g., Packaged Frozen Foods [redacted] Poultry Products [redacted] etc.

Prior to requesting additional detailed information from our client, I am requesting clarification on how the term primarily is applied in this context and specifically, whether it is necessary to break down these activities beyond the companys true primary business.

Any assistance would be appreciated. Thanks.