[Federal Register Volume 64, Number 189 (Thursday, September 30, 1999)]
[Notices]
[Pages 52790-52791]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 99-25419]
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FEDERAL TRADE COMMISSION
[File No. 982-3588]
The Wire Works, Inc., et al.; Analysis To Aid Public Comment
AGENCY: Federal Trade Commission.
ACTION: Proposed consent agreement.
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SUMMARY: The consent agreement in this matter settles alleged
violations of federal law prohibiting unfair or deceptive acts or
practices or unfair methods of competition. The attached Analysis to
Aid Public comment describes both the allegations in the draft
complaint that accompanies the consent agreement and the terms of the
consent order--embodied in the consent agreement--that would settle
these allegations.
DATES: Comments must be received on or before November 29, 1999.
ADDRESSES: Comments should be directed to: FTC/Office of the Secretary,
Room 159, 600 Pennsylvania Ave., NW., Washington, DC 20580.
FOR FURTHER INFORMATION CONTACT: Elaine Kolish or Kent Howerton, FTC/S-
4302, 600 Pennsylvania Ave., NW., Washington, DC 20580. (202) 326-3042
or 326-3013.
SUPPLEMENTARY INFORMATION: Pursuant to section 6(f) of the Federal
Trade Commission Act, 38 Stat. 721, 15 U.S.C. 46 and Sec. 2.34 of the
Commission's Rules of Practice (16 CFR 2.34), notice is hereby given
that the above-captioned consent agreement containing a consent order
to cease and desist, having been filed with and accepted, subject to
final approval, by the Commission, has been placed on the public record
for a period of sixty (60) days. The following Analysis to Aid Public
comment describes the terms of the consent agreement, and the
allegations in the complaint. An electronic copy of the full text of
the consent agreement package can be obtained from the FTC Home Page
(for September 13, 1999), on the World Wide Web, at ``http://
www.ftc.gov/os/actions97.htm.'' A paper copy can be obtained from the
FTC Public Reference Room, Room H-130, 600 Pennsylvania Avenue, NW.,
Washington, DC 20580, either in person or by calling (202) 326-3627.
Public comment is invited. Comments should be directed to: FTC/
Office of the Secretary, Room 159, 600 Pennsylvania Ave., NW.,
Washington, DC 20580. Two paper copies of each comment should be filed,
and should be accompanied, if possible, by a 3\1/2\ inch diskette
containing an electronic copy of the comment. Such comments or views
will be considered by the Commission and will be available for
inspection and copying at its principal office in accordance with
Sec. 4.9(b)(6)(ii) of the Commission's rules of practice (16 CFR
4.9(b)(6)(ii)).
Analysis of Proposed Consent Order To Aid Public Comment
The Federal Trade Commission has accepted an agreement, subject to
final approval, to a proposed consent order
[[Page 52791]]
from respondents The Wire Works, Inc., and Electrodes, Inc.
The proposed consent order has been placed on the public record for
sixty (60) days for reception of comments by interested persons.
Comments received during this period will become part of the public
record. After sixty (60) days, the Commission will again review the
agreement and the comments received and will decide whether it should
withdraw from the agreement and take other appropriate action or make
final the agreement's proposed order.
This matter concerns advertising, labeling, and promotional
practices related to the sale of brass electrical discharge machining
(``EDM'') wire electrodes. Wire EDM is a metal removal technique that
is used to cut metal parts. The Commission's complaint charges that
respondents misrepresented that certain of its EDM wire electrodes were
all or virtually all made in the United States when, in truth and in
fact, a substantial portion of their content was of foreign origin.
The proposed consent order contains a provision that is designed to
remedy the charges and to prevent the respondents from engaging in
similar acts and practices in the future. Part I of the proposed order
prohibits the respondents from misrepresenting the extent to which
their EDM wire electrodes are made in the United States. The proposed
order would allow respondents to represent that such EDM wire
electrodes are made in the United States as long as all, or virtually
all, of the components of the EDM wire electrodes are of U.S. origin
and all, or virtually all, of the labor in manufacturing them is
performed in the United States. It also would allow respondents to make
a representation regarding the U.S. origin or U.S. content of their EDM
wire electrodes product as permitted in future regulations, guides, or
enforcement policy statements promulgated by the Commission. The
proposed order further would allow respondents to describe the specific
processing that is performed on the product in the United States, e.g.,
that the product is ``Drawn in the U.S.A.,'' ``Annealed in U.S.A.,''
``Coldworked in U.S.A.,'' or ``Strengthened in U.S.A.,'' so long as the
claim is truthful and substantiated. If the product is not last
substantially transformed in the United States, the proposed order
would require the respondents to comply with regulations and rulings
issued by the U.S. Customs Service under section 304 of the Tariff Act,
19 U.S.C. 1304.
Part II of the proposed order requires the respondents to maintain
materials relied upon in disseminating any representation covered by
the order. Part III of the proposed order requires the respondents to
distribute copies of the order to certain company officials and
employees. Part IV of the proposed order requires the respondents to
notify the Commission of any change in the corporations that may affect
compliance obligations under the order. Part V of the proposed order
requires the respondents to file one or more compliance reports. Part
VI of the proposed order is a provision whereby the order, absent
certain circumstances, terminates twenty years from the date of
issuance.
The purpose of this analysis is to facilitate public comment on the
proposed consent order. It is not intended to constitute an official
interpretation of the agreement and proposed order or to modify in any
way their terms.
By direction of the Commission.
Donald S. Clark,
Secretary.
[FR Doc. 99-25419 Filed 9-29-99; 8:45 am]
BILLING CODE 6750-01-M