WPC ?uaւH?2$~ryJtN2̬"0l͢ZoQ4hDkFE%*oǜb@D7L:j S [ƼSokr#K_Z?.?,"epv M@ _E^ O0JA*&Mv%UH$ lU*XU, 1u 72#^ Uwa4ey mNLexmark Optra S 1855 (MS),,,,0(9 Z6Times New Roman RegularX($USUS.,*+ (_2623  ..*D+J (_25   ," <DL,23  ..  2( 4 <DL2  *A+J (_24   ) <DL)23  ..  2( 4 <DL2  *>+J (_23  ` &<<DL&23  ..  2( 4 <DL2  *;+J (_22   #DL#23  ..  2( 4 <DL2  *8+J (_21    DL 23  ..  2( 4 <DL2  *5+J (_20  h DDL23  ..  2( 4 <DL2  *2+J (_19   L23  ..  2( 4 <DL2  */+J (_18    L23  ..  2( 4 <DL2  * (_1723  Ԁ*DJ (_16   ," <DL,23  Ԁ  2( 4 <DL2  *AJ (_15   ) <DL)23  Ԁ  2( 4 <DL2  *>J (_14  ` &<<DL&23  Ԁ  2( 4 <DL2  *;J (_13   #DL#23  Ԁ  2( 4 <DL2  *8J (_12    DL 23  Ԁ  2( 4 <DL2  *5J (_11  h DDL23  Ԁ  2( 4 <DL2  *2J (_10   L23  Ԁ  2( 4 <DL2  (/J &_9    L23  Ԁ  2( 4 <DL2  ( &_823  (DJ &_7   ," <DL,23   2( 4 <DL2  (AJ &_6   ) <DL)23   2( 4 <DL2  (>J &_5  ` &<<DL&23   2( 4 <DL2  (;J &_4   #DL#23   2( 4 <DL2  (8J &_3    DL 23   2( 4 <DL2  (5J &_2  h DDL23   2( 4 <DL2  (2J &_1   L23   2( 4 <DL2  &/J $_    L23   2( 4 <DL2  ,35;AGMSY_1a.a.a.a.a.a.a.a.\  `&Times New Roman\  `Times $Tahoma3#37=CIQYag1.a.i.(1)(a)(i)1)a)$i)$8  +8:i+003|xU !USUS.,  _!XpXXX!&%X!Xp8XXdd8   `     h      p   BillingCode:3510#!XpX%!&\#!&%X!Xp33#!XpX%!&g#!&%X!XpP  #!XpX%!&۬#!&%X!XpDEPARTMENTOFCOMMERCE  p  #!XpX%!&#!&%X!XpBureauofIndustryandSecurity   #!XpX%!&v#!&%X!Xp15CFRParts736,740,742,744,748,752,760,and772 0 #!XpX%!&#!&%X!Xp[DocketNo.080220216#!XpX%!&|#!&%X!Xp8518#!XpX%!&#!&%X!Xp01] @ #!XpX%!&#!&%X!XpRIN0694#!XpX%!&v#!&%X!XpAD59  #!XpX%!&#!&%X!XpConformingChangestoCertainEnd#!XpX%!&#!&%X!XpUser/End#!XpX%!&ہ#!&%X!XpUseBasedControlsintheEAR;ClarificationoftheTerm P #!XpX%!&#!&%X!Xp Transfer#!XpX%!&[#!&%X!XpandRelatedTermsasUsedintheEAR   #!XpX%!&۩#!&%X!XpAGENCY:BureauofIndustryandSecurity,Commerce. #`$ #!XpX%!&*#!&%X!XpACTION:ProposedRule p&!( #!XpX%!&۴#!&%X!XpSUMMARY:TheBureauofIndustryandSecurity(BIS)proposestoamendtheExportAdministration ) %, Regulations(EAR)bymakingconformingchangesincertainend#!XpX%!&##!&%X!Xpuser/end#!XpX%!& #!&%X!XpusecontrolsintheEARto +&. ensurethattheterminologyusedtodescribeeachtypeofend#!XpX%!&d #!&%X!Xpuser/end#!XpX%!& #!&%X!Xpusecontrolisconsistent,tothe  fullestextentpossible,withtheterminologyinothersuchcontrolsintheEAR.Theproposed ` amendmentswouldclarifythatapartycannotproceedwithanexport,reexport,ortransfer(in#!XpX%!&^ #!&%X!Xpcountry) ` thatisintransitatthetimethepartyisinformedbyBISthatalicenseisrequired(inaccordancewith   certainend#!XpX%!&ۨ #!&%X!Xpuser/end#!XpX%!&ے #!&%X!XpusecontrolsintheEAR),unlessthatpartyfirstobtainsalicensefromBIS p  authorizingthecompletionofthetransaction.Theseproposedchangestopart744areintendedto  p  enhancetheabilityofBIStostopitemssubjecttotheEAR,includingitemsnotontheCommerce   ControlList,frombeingexported,reexportedortransferred(in#!XpX%!& #!&%X!Xpcountry)whenthereisanunacceptable   riskthatsuchitemswillbeusedin,ordivertedto,anyoftheproliferationactivitiesspecifiedin#!XpX%!&ۭ#!&%X!Xp#!XpX%!&ۑ#!&%X!Xp744.2, 0  744.3,744.4and744.6oftheEAR.ThisrulealsoproposestoamendtheEARbyrevisingthedefinition 0 oftheterm#!XpX%!&#!&%X!Xp transfer#!XpX%!&#!&%X!Xpandcertainrelatedterms,toprovidegreaterclarityregardingtheseprovisions.  #!XpX%!&#!&%X!XpDATES:CommentsmustbereceivedbyJune17,2008. @ #!XpX%!&۽#!&%X!XpADDRESSES:WrittencommentsonthisrulemaybesenttotheFederalRegistereRulemakingPortal: P #!XpX%!&G#!&%X!Xphttp://www.regulations.gov,#!XpX%!&#!&%X!XpԀorbye#!XpX%!&ۆ#!&%X!Xpmailto#!XpX%!&#!&%X!Xppubliccomments@bis.doc.gov.Ԁ#!XpX%!&.#!&%X!XpIncludeRIN0694#!XpX%!&ۥ#!&%X!XpAD59in P thesubjectlineofthemessage.CommentsmaybesubmittedbymailorhanddeliverytoTimothy   Mooney,OfficeofExporterServices,RegulatoryPolicyDivision,BureauofIndustryandSecurity,U.S. `!" DepartmentofCommerce,14#!XpXJ!&#!&%h!Xpth#!XpX%!&b#!&%X!XpԀSt.&PennsylvaniaAvenue,NW.,RoomH2705,Washington,DC20230, #`$ ATTN:RIN0694#!XpX%!&۩#!&%X!XpAD59;orbyfaxto(202)482#!XpX%!&Q#!&%X!Xp3355. $ & #!XpX%!&۰#!&%X!XpSendcommentsregardingthecollectionofinformationtoDavidRostker,OfficeofManagementand  (p#* Budget(OMB),bye#!XpX%!& #!&%X!Xpmailto#!XpX%!&#!&%X!XpDavid_Rostker@omb.eop.gov,#!XpX%!&4#!&%X!XpԀorbyfaxto(202)395#!XpX%!&ۧ#!&%X!Xp7285;andtothe ) %, RegulatoryPolicyDivision,BureauofIndustryandSecurity,U.S.DepartmentofCommerce,14#!XpXJ!&#!&%h!Xpth#!XpX%!&#!&%X!XpԀSt.& +&. PennsylvaniaAvenue,NW.,RoomH2705,Washington,DC20230.  #!XpX%!&#!&%X!XpFORFURTHERINFORMATIONCONTACT:TimothyMooney,OfficeofExporterServices,Bureau ` ofIndustryandSecurity,U.S.DepartmentofCommerce;bytelephone:(202)482#!XpX%!&ۼ#!&%X!Xp2440;orbyfax:202   #!XpX%!&۶#!&%X!Xp482#!XpX%!&"#!&%X!Xp3355. p  #!XpX%!&h#!&%X!XpSUPPLEMENTARYINFORMATION   #!XpX%!&#!&%X!XpBackground#!XpX%!&6#!&%X!Xp ` #!XpX%!&ۂ#!&%X!Xp #!XpX%!&#!&%X!Xp  #!XpX%!&#!&%X!Xp h #!XpX%!&l#!&%X!Xp  #!XpX%!&ۺ#!&%X!Xp  #!XpX%!& #!&%X!Xp p #!XpX%!&V #!&%X!Xp   0  #!XpX%!&ۤ #!&%X!XpConformingchangestocertainend#!XpX%!& !#!&%X!Xpuser/end#!XpX%!&n!#!&%X!XpusebasedcontrolsintheEAR 0 #!XpX%!&۹!#!&%X!XpPart744oftheEARdealswiththeend#!XpX%!&0"#!&%X!Xpuserandend#!XpX%!&ۙ"#!&%X!XpusebasedcontrolpolicyundertheEAR.  #!XpX%!&"#!&%X!XpSection744.3prohibitsexports,reexportsandtransfers(in#!XpX%!&h##!&%X!Xpcountry)ofitemssubjecttotheEARto @ certainmissile#!XpX%!&##!&%X!Xprelatedend#!XpX%!&u$#!&%X!Xpuses.Section744.4prohibitsexports,reexportsandtransfers(in#!XpX%!&$#!&%X!Xpcountry)of @ itemssubjecttotheEARtocertainchemicalandbiologicalproliferationactivities.Section744.6  prohibitscertainactivitiesbyU.S.personsinsupportofcertainnuclear,missile,chemical,orbiological P end#!XpX%!&I%#!&%X!Xpuses.Section744.2presentlyprohibitsexportsandreexportsofitemssubjecttotheEARtocertain P nuclearproliferationactivities.Thisruleproposestoaddtransfer(in#!XpX%!&۩&#!&%X!Xpcountry)tothescopeofthe   prohibitionsetforthin#!XpX%!&ۯ'#!&%X!Xp744.2toensurethatthelanguageinthatsectionconformswiththelanguagein `!" #!XpX%!&;(#!&%X!Xp#!XpX%!&(#!&%X!Xp744.3,744.4and744.6. #`$ #!XpX%!&+)#!&%X!XpWithineachofthesesectionsofpart744,thereisaparagraphbthatincludes#!XpX%!&۞)#!&%X!Xp isinformed#!XpX%!&0*#!&%X!Xpprovisions p&!( thatsetouttherequirementsofwhatpersonsneedtodooncetheyareinformedbyBISthattheir  (p#* transactionswouldbesubjecttotheprohibitionssetforthin#!XpX%!&ہ*#!&%X!Xp#!XpX%!&ۜ+#!&%X!Xp744.2,744.3,744.4or744.6.Underthe ) %, currentEAR,thereareminordifferencesintheterminologyusedtodescribetheend#!XpX%!&+#!&%X!Xpuser/end#!XpX%!&ۺ,#!&%X!Xpuse +&. controlsineachofthesesections.Thisruleproposestoamendtheend#!XpX%!&-#!&%X!Xpuser/end#!XpX%!&ۨ-#!&%X!Xpusecontrolsinthese  sectionsofpart744toensurethattheterminologyusedinanyoneofthesesectionsconforms,tothe ` fullestextentpossible,withtheterminologyusedintheothersections.Theseproposedchangesare ` intendedtomaketheend#!XpX%!&-#!&%X!Xpuser/end#!XpX%!&m/#!&%X!Xpusecontrolsinpart744oftheEARmoreconsistentaswellas   transparent,sothatmembersofthepubliccanmoreclearlyunderstandtheirobligationsundertheEAR. p  #!XpX%!&۸/#!&%X!XpInaddition,thisruleproposestoaddnewprovisionsto#!XpX%!&0#!&%X!Xp744.1toclarifythatapartycannotproceedwith   anexport,reexport,ortransfer(in#!XpX%!&E1#!&%X!Xpcountry)thatisintransitatthetimethepartyisinformedbyBISthat   alicenseisrequired(inaccordancewiththeend#!XpX%!&1#!&%X!Xpuser/end#!XpX%!&2#!&%X!Xpusecontrolsin#!XpX%!&3#!&%X!Xp#!XpX%!&e3#!&%X!Xp744.2,744.3,744.4or744.6 0  oftheEAR),unlessthatpartyfirstobtainsalicensefromBISauthorizingthecompletionofthe 0 transaction.Thisruleproposesthatonceaperson#!XpX%!&۫3#!&%X!Xp isinformed#!XpX%!&4#!&%X!XpbyBISthatatransactionissubjectto  oneoftheprohibitionsin#!XpX%!&5#!&%X!Xp#!XpX%!&ۻ5#!&%X!Xp744.2,744.3,744.4or744.6,apersonwouldberequiredtoapplyfor @ authorizationfromBISbeforeproceedingwiththetransaction.Thisrulefurtherproposestoamendthe @ EARtoclearlyexplainthestepsapersonmusttakeifanitemincludedinsuchatransactionisalreadyin  transitwhenaperson#!XpX%!&6#!&%X!Xp isinformed#!XpX%!&۳7#!&%X!XpbyBIS. P #!XpX%!&8#!&%X!XpTheseproposedchangestopart744areintendedtoenhancetheabilityofBIStostopitemssubjecttothe   EAR,includingitemsnotontheCommerceControlList,frombeingexported,reexportedortransferred `!" (in#!XpX%!&j8#!&%X!Xpcountry)whenthereisanunacceptableriskthatsuchitemswillbeusedin,ordivertedto,anyofthe #`$ proliferationactivitiesspecifiedin#!XpX%!&۩9#!&%X!Xp#!XpX%!&ۍ:#!&%X!Xp744.2,744.3,744.4and744.6oftheEAR. $ & #!XpX%!&:#!&%X!XpThisclarificationisconsistentwithUNSecurityCouncilResolution1540(2004),whichincludes  (p#* bindingobligationsonallUNMemberStatestopreventtheproliferationofnuclear,chemical,or ) %, biologicalweaponsandtheirmeansofdelivery,includingbyestablishingappropriatecontrolsover +&. relatedmaterials.UNSCR1540stipulatesthatStatesaretoestablish,develop,reviewandmaintain  appropriateeffectivenationalexportandtransshipmentcontrolsoversuchitems,includingappropriate ` lawsandregulationstocontrolexport,transit,transshipmentandre#!XpX%!&X;#!&%X!Xpexport;andtoestablishandenforce ` appropriatecriminalorcivilpenaltiesforviolationsofsuchexportcontrollawsandregulations.   #!XpX%!&8>#!&%X!XpThroughthisclarification,theUnitedStatesiscontinuingtocarryoutitscommitmenttotheProliferation  p  SecurityInitiative(PSI)StatementofInterdictionPrinciples,whichstatesthatPSIpartnerswillworkto   strengthentheirrelevantnationallegalauthoritieswherenecessaryandnottoallowanypersonssubject   totheirjurisdictiontotransportorassistinthetransportofanycargoesofweaponsofmassdestruction 0  (WMD),theirdeliverysystems,orrelatedmaterialstoorfromstatesornon#!XpX%!&,?#!&%X!Xpstateactorsofproliferation 0 concern.ThePSIisaglobaleffortthataimstostopshipmentsofWMD,theirdeliverysystems;and  relatedmaterialsflowingtoorfromstatesornon#!XpX%!&ۺA#!&%X!Xpstateactorsofproliferationconcern.Announcedby @ PresidentBushonMay31,2003,thePSIstemsfromtheNationalStrategytoCombatWeaponsofMass @ DestructionissuedinDecember2002.Thatstrategyrecognizestheneedformorerobusttoolstodefeat  theproliferationofWMDaroundtheworld,andspecificallyidentifiesinterdictionasanareawhere P greaterfocuswillbeplaced.ThePSIisasetofactivities,notaformaltreaty#!XpX%!&B#!&%X!Xpbasedorganization,that P focusesonestablishinggreatercoordinationamongitspartnerstateswhenaparticularactionisneeded.   #!XpX%!&$E#!&%X!XpThisrulemakesthefollowingspecificrevisionstotheEAR: #`$ #!XpX%!&F#!&%X!XpԀ $ & #!XpX%!&ۧF#!&%X!Xp1.In#!XpX%!&F#!&%X!Xp744.1(GeneralProvisions),thisruleproposestoamendparagraph(a)(1)(Introduction),by p&!( adding#!XpX%!&KG#!&%X!Xp transfer(in#!XpX%!&H#!&%X!Xpcountry)#!XpX%!&ZH#!&%X!Xptospecifyclearlythattheprohibitionsin#!XpX%!&ۤH#!&%X!Xp#!XpX%!&I#!&%X!Xp744.2,744.3,744.4and744.6  (p#* alsoapplytosuchscenarios.Thisrulealsoproposestoamendparagraph(b)(2)(Determine ) %, Applicability),byaddingasentenceattheendofthatparagraphthatstates#!XpX%!&]I#!&%X!Xp Forexports,reexportsor +&. transfers(in#!XpX%!&ۓJ#!&%X!Xpcountry)thatareintransitatthetimeyouareinformedbyBISthatalicenseisrequiredin  accordancewith#!XpX%!&K#!&%X!Xp#!XpX%!&K#!&%X!Xp744.2(b),744.3(b),744.4(b)or744.6(b)oftheEAR,youmaynotproceedanyfurther ` withthetransaction,unlessyoufirstobtainalicensefromBIS(seepart748oftheEARforinstructions ` onhowtoapplyforalicense).#!XpX%!& L#!&%X!XpThisrulealsoproposestoamendparagraph(a)(1)byadding#!XpX%!&mM#!&%X!Xp transfer   (in#!XpX%!&M#!&%X!Xpcountry)#!XpX%!&XN#!&%X!Xptospecifyclearlythattheprohibitionspecifiedin#!XpX%!&ۢN#!&%X!Xp744.5alsoappliestosuchscenarios. p  #!XpX%!&O#!&%X!Xp2.In#!XpX%!&۟O#!&%X!Xp744.2(RestrictionsonCertainNuclearEnd#!XpX%!&O#!&%X!XpUses),thisruleproposestoamendparagraph(a)   (GeneralProhibition)byclarifyingthatthisprohibitionin#!XpX%!&\P#!&%X!Xp744.2alsoappliestotransfers(in#!XpX%!& Q#!&%X!Xpcountry)to   conformwiththelanguageusedin#!XpX%!&ۊQ#!&%X!Xp#!XpX%!&R#!&%X!Xp744.3,744.4and744.6.Inparagraph(b)(AdditionalProhibition), 0  thisruleproposestoamendtheheadingtoclarifythatthisparagraphappliesanadditionalprohibition 0 #!XpX%!&TR#!&%X!Xp onpersonsinformedbyBIS#!XpX%!&oS#!&%X!Xp.Alsoinparagraph(b),thisruleproposestoamendthe#!XpX%!&S#!&%X!Xp isinformed#!XpX%!&OT#!&%X!Xp  provisionstoconformwiththe#!XpX%!&۠T#!&%X!Xp isinformed#!XpX%!&U#!&%X!Xpprovisionsin#!XpX%!&kU#!&%X!Xp#!XpX%!&U#!&%X!Xp744.3,744.4and744.6.Specifically,the @ proposedrulewouldremovethephrase#!XpX%!&V#!&%X!Xp exportersorreexporters#!XpX%!&۱V#!&%X!Xp,replaceitwiththeterm#!XpX%!&W#!&%X!Xp persons#!XpX%!&pW#!&%X!Xpin @ threelocations,andaddthephrase#!XpX%!&۽W#!&%X!Xp transfer(in#!XpX%!&?X#!&%X!Xpcountry)#!XpX%!&ےX#!&%X!Xptoclarifythatthisprohibitionalsoappliesto  transfers(in#!XpX%!&X#!&%X!Xpcountry).Alsoinparagraph(b),thisruleproposestoaddthephrase#!XpX%!&vY#!&%X!Xp orfortheexport, P reexport,ortransfer(in#!XpX%!&Y#!&%X!Xpcountry)#!XpX%!&ۆZ#!&%X!Xpbeforethephrase#!XpX%!&Z#!&%X!Xp ofspecifieditems#!XpX%!&)[#!&%X!Xpinthefirstsentence,among P otherminorchanges,toconformwith#!XpX%!&ہ[#!&%X!Xp#!XpX%!&\#!&%X!Xp744.3,744.4and744.6.   #!XpX%!&d\#!&%X!Xp3.In#!XpX%!&\#!&%X!Xp744.3(RestrictionsonCertainRocketSystems(IncludingBallisticMissileSystemsAndSpace #`$ LaunchVehiclesAndSoundingRockets)andUnmannedAirVehicles(IncludingCruiseMissile $ & Systems,TargetDronesAndReconnaissanceDrones)End#!XpX%!&&]#!&%X!XpUses),thisruleproposestoamendparagraph p&!( (a)(GeneralProhibition)byinsertingtheword#!XpX%!&ہ^#!&%X!Xp that#!XpX%!&4_#!&%X!Xpafterthephrase,#!XpX%!&~_#!&%X!Xp ...ortransferyouknow#!XpX%!&_#!&%X!Xpandby  (p#* deletingtheword#!XpX%!&4`#!&%X!Xp the#!XpX%!&ۨ`#!&%X!Xpinthephrase#!XpX%!&`#!&%X!Xp atthetimeofexport#!XpX%!&Fa#!&%X!Xptoconformwith#!XpX%!&ۡa#!&%X!Xp#!XpX%!&a#!&%X!Xp744.2,744.4and744.6. ) %, Inparagraph(b)(AdditionalProhibition),thisruleproposestoamendtheheadingtoclarifythatthis +&. paragraphappliesanadditionalprohibition#!XpX%!&>b#!&%X!Xp onpersonsinformedbyBIS#!XpX%!&Yc#!&%X!Xp.Alsoinparagraph(b),this  ruleproposestoamendthe#!XpX%!&۹c#!&%X!Xp isinformed#!XpX%!&Od#!&%X!Xpprovisionsbyaddingtheword#!XpX%!&۠d#!&%X!Xp persons#!XpX%!&e#!&%X!Xpintwolocations,by ` addingthephrase#!XpX%!&Re#!&%X!Xp (in#!XpX%!&e#!&%X!Xpcountry)#!XpX%!&f#!&%X!Xpafterthewordtransferandbyaddingthephrase#!XpX%!&hf#!&%X!Xp orfortheexport, ` reexport,ortransfer(in#!XpX%!&f#!&%X!Xpcountry)#!XpX%!&gg#!&%X!Xpbeforethephrase#!XpX%!&۱g#!&%X!Xp ofspecifieditems#!XpX%!& h#!&%X!Xpinthefirstsentence,among   otherminorchanges,toconformwith#!XpX%!&bh#!&%X!Xp#!XpX%!&h#!&%X!Xp744.2,744.4and744.6. p  #!XpX%!&Ei#!&%X!Xp4.In#!XpX%!&۹i#!&%X!Xp744.6(RestrictionsonCertainActivitiesofU.S.Persons),thisruleproposestoamendparagraph   (a)(GeneralProhibition)toconformwith#!XpX%!&j#!&%X!Xp#!XpX%!&j#!&%X!Xp744.2,744.3and744.4byaddingthephrase#!XpX%!&.k#!&%X!Xp (in#!XpX%!&۠k#!&%X!Xpcountry)#!XpX%!&k#!&%X!Xp   aftertheword#!XpX%!&4l#!&%X!Xp transfer#!XpX%!&۞l#!&%X!Xpinparagraphs(a)(1)(i)and(a)(1)(ii)andinparagraph(a)(3)toclarifythatthis 0  prohibitionin#!XpX%!&l#!&%X!Xp744.6alsoappliestotransfers(in#!XpX%!&۪m#!&%X!Xpcountry).Inparagraph(b)(AdditionalProhibitionson 0 U.S.personsinformedbyBIS)thisruleproposestoupdatethe#!XpX%!&n#!&%X!Xp isinformed#!XpX%!&n#!&%X!Xpprovisionstoconformwith  #!XpX%!&2o#!&%X!Xp#!XpX%!&ۨo#!&%X!Xp744.2,744.3and744.4;specificallybyaddingthephrase#!XpX%!&o#!&%X!Xp byspecificnotice#!XpX%!&np#!&%X!Xpaftertheword @ #!XpX%!&p#!&%X!Xp individually#!XpX%!&0q#!&%X!Xpinthefirstsentenceandbyremovingtheterm#!XpX%!&ۂq#!&%X!Xp exporter#!XpX%!&q#!&%X!Xpandreplacingitwiththeterm @ #!XpX%!&Fr#!&%X!Xp U.S.persons#!XpX%!&r#!&%X!Xpinthelastsentence.  #!XpX%!&s#!&%X!Xp5.In#!XpX%!&ۅs#!&%X!Xp744.5(RestrictionsonCertainMaritimeNuclearPropulsionEnd#!XpX%!&s#!&%X!XpUses),thisruleproposesto P amendparagraph(a)(GeneralProhibition)byclarifyingthatthisprohibitionin#!XpX%!&Rt#!&%X!Xp744.5alsoappliesto   transfers(in#!XpX%!&u#!&%X!Xpcountry).Withthisproposedrule,thisparagraph(a)wouldprohibittheexports,reexports, `!" andtransfers(in#!XpX%!&۔u#!&%X!Xpcountry)ofitemssubjecttotheEARtodefinednuclearmaritimeend#!XpX%!&Zv#!&%X!Xpusesin#!XpX%!&v#!&%X!Xp744.5. #`$  ,<( 4 <DLX< ,?( 4 <DL4X?#!XpX%!&+w#!&%X!XpRevisionstodefinitionsoftransferandrelatedterms p&!( #!XpX%!&)x#!&%X!XpIn#!XpX%!&۹x#!&%X!Xp772.1(DefinitionsofTermsasUsedintheExportAdministrationRegulations),thisruleproposesto  (p#* revisetheterm#!XpX%!&x#!&%X!Xp transfer#!XpX%!&y#!&%X!Xptoclarifythatthetermmerelyreferstoaconveyanceofitems.Thisrule ) %, proposestofurtherclarifythedefinitionbyincludingthedefinitionof#!XpX%!&z#!&%X!Xp in#!XpX%!& {#!&%X!Xpcountrytransfer/transfer(in +&. #!XpX%!&U{#!&%X!Xpcountry)#!XpX%!&{#!&%X!Xpasanancillarydefinitiontotheterm#!XpX%!&|#!&%X!Xp transfer#!XpX%!&ۂ|#!&%X!Xp,referringtotheconveyanceofitemswithina  singleforeigncountry.Theseproposedrevisionswillprovidegreaterclarityregardingthemeaningof ` thesedefinedtermsundertheEAR.Inanoteattheendofthesedefinitions,thisruleaddscross ` referencesto#!XpX%!&|#!&%X!Xp#!XpX%!&\~#!&%X!Xp750.7(c)(Changestoalicense)and764.2(e)(Actingwithknowledgeofaviolation).The   term#!XpX%!&ۢ~#!&%X!Xp transfer#!XpX%!&Y#!&%X!XpmayalsobeincludedonlicensesissuedbyBIS.Inthatregard,thesecrossreferencesare p  aremindertopersonsinvolvedwithitemsauthorizedbyaBISlicensethatchangesthatcanbemadetoa  p  BISlicensearethenon#!XpX%!&ۧ#!&%X!Xpmaterialchangesdescribedin#!XpX%!&#!&%X!Xp750.7(c).Inaddition,personsshouldbeaware   thatanypersonthatknowinglymakesamaterialchangetoaBISlicensewithoutproperauthorization   wouldviolate#!XpX%!&S#!&%X!Xp764.2(e)oftheEAR. 0  #!XpX%!&d#!&%X!XpThisrulealsoproposestocorrectseveralplacesintheEARwheretheterm#!XpX%!&ւ#!&%X!Xp transfer#!XpX%!&d#!&%X!Xpisused,butthe  intendedmeaningis#!XpX%!&۲#!&%X!Xp transfer(in#!XpX%!&2#!&%X!Xpcountry)#!XpX%!&ۅ#!&%X!Xpor#!XpX%!&τ#!&%X!Xp in#!XpX%!&#!&%X!Xpcountrytransfer#!XpX%!&b#!&%X!Xp.Specifically,referencestotheterm @ #!XpX%!&۴#!&%X!Xp transfer#!XpX%!&6#!&%X!Xpin#!XpX%!&ۄ#!&%X!Xp736.2,GeneralOrderNo.2toSupp.No.1topart736,#!XpX%!&Ά#!&%X!Xp#!XpX%!&K#!&%X!Xp740.5,740.7,740.9,740.11, @ 740.17,742.15,744.3,744.4,744.6,Supp.No.2topart748,#!XpX%!&ۑ#!&%X!Xp#!XpX%!&F#!&%X!Xp752.5,752.8,752.16,andSupplement  No.3topart752areproposedtobeclarifiedwiththisrule.Thisrulealsoproposestoclarifythatthe P term#!XpX%!&ی#!&%X!Xp retransfer#!XpX%!&ې#!&%X!Xpmeans#!XpX%!&#!&%X!Xp in#!XpX%!&-#!&%X!Xpcountrytransfer#!XpX%!&v#!&%X!Xpbyreplacingtheterm#!XpX%!&Ȋ#!&%X!Xp retransfer#!XpX%!&%#!&%X!Xpwiththeterm#!XpX%!&u#!&%X!Xp transfer P (in#!XpX%!&ʋ#!&%X!Xpcountry)#!XpX%!&1#!&%X!Xpin#!XpX%!&{#!&%X!Xp#!XpX%!&Ō#!&%X!Xp740.11,740.17,742.15,752.5andSupp.No.3topart752.Thisrulealsoproposesto   clarifythattheterms#!XpX%!& #!&%X!Xp transferred#!XpX%!&Ӎ#!&%X!Xpand#!XpX%!&$#!&%X!Xp transfer#!XpX%!&o#!&%X!Xp,inthecontextof#!XpX%!&۽#!&%X!Xp#!XpX%!&#!&%X!Xp760.1and760.3,mean#!XpX%!&]#!&%X!Xp assigned `!" to#!XpX%!&۹#!&%X!Xpand#!XpX%!&#!&%X!Xp assignment#!XpX%!&i#!&%X!Xp,respectively. #`$ #!XpX%!&۹#!&%X!Xp  AlthoughtheExportAdministrationActexpiredonAugust20,2001,thePresident,through p&!( ExecutiveOrder13222ofAugust17,2001,3CFR,2001Comp.,p.783(2002),asextendedbythe  (p#* NoticeofAugust15,2007,72FR46137(August16,2007),hascontinuedtheExportAdministration ) %, RegulationsineffectundertheInternationalEmergencyEconomicPowersAct.#!XpX%!&*##XXX!Xp=#"XpXXX"&%X"XpԀ +&. #"XpX%"&]#"&%X"Xp#&%%"&>#!&%%& #!XpX%!&۽#!&%X!XpRulemakingRequirements `  #!XpX%!&E#!&%X!Xp  1.ThisproposedrulehasbeendeterminedtobenotsignificantforpurposesofE.O.12866. ` #!XpX%!&۶#!&%X!Xp  2.Notwithstandinganyotherprovisionoflaw,nopersonisrequiredtorespondto,norshallany p  personbesubjecttoapenaltyforfailuretocomplywithacollectionofinformation,subjecttothe  p  requirementsofthePaperworkReductionAct,unlessthatcollectionofinformationdisplaysacurrently   validOfficeofManagementandBudgetControlNumber.Thisproposedruleinvolvesacollectionof   informationsubjecttothePaperworkReductionActof1980(44U.S.C.3501#!XpX%!&v#!&%X!Xpetseq.#!XpX%!&#!&%X!Xp).Thiscollection 0  hasbeenapprovedbytheOfficeofManagementandBudgetundercontrolnumber0694#!XpX%!&B#!&%X!Xp0088,#!XpX%!&#!&%X!Xp Multi 0 #!XpX%!&G#!&%X!XpPurposeApplication,#!XpX%!&ۨ#!&%X!Xpwhichcarriesaburdenhourestimateof58minutesforamanualorelectronic  submission.Thisproposedruleisexpectedtohaveaminimalincreaseonthetotalnumberoflicense @ applicationssubmittedtoBIS.Sendcommentsregardingtheseburdenestimatesoranyotheraspectof @ thesecollectionsofinformation,includingsuggestionsforreducingtheburden,toDavidRostker,Office  ofManagementandBudget(OMB),andtotheRegulatoryPolicyDivision,BureauofIndustryand P Securityasindicatedinthe#!XpX%!&#!&%X!Xp ADDRESSES#!XpX%!&ۧ#!&%X!Xpsectionofthisrule. P #!XpX%!&#!&%X!Xp  3.ThisruledoesnotcontainpolicieswithFederalismimplicationsasthattermisdefined `!" underE.O.13132. #`$ #!XpX%!&h#!&%X!Xp  4.TheprovisionsoftheAdministrativeProcedureAct(5U.S.C.553)requiringnoticeof p&!( proposedrulemaking,theopportunityforpublicparticipation,andadelayineffectivedate,are  (p#* inapplicablebecausethisregulationinvolvesamilitaryandforeignaffairsfunctionoftheUnitedStates ) %, (5U.S.C.553(a)(1)).Further,nootherlawrequiresthatanoticeofproposedrulemakingandan +&. opportunityforpubliccommentbegivenforthisrule.Becauseanoticeofproposedrulemakingandan  opportunityforpubliccommentarenotrequiredtobegivenforthisruleundertheAdministrative ` ProcedureActorbyanyotherlaw,theanalyticalrequirementsoftheRegulatoryFlexibilityAct(5 ` U.S.C.601etseq.)arenotapplicable.However,inordertoobtainthebenefitofavarietyofviewpoints   beforepublishinganyfinalrule,BISisissuingthisproposedrulewithrequestforcomments.Comments p  mustbereceivedbyBISnolaterthanJune17,2008.Indevelopingafinalrule,BISwillconsiderall  p  commentsreceivedonorbeforethatdate.Commentsreceivedaftertheendofthecommentperiodwill   beconsideredifpossible,buttheirconsiderationcannotbeassured.BISwillnotacceptpublic   commentsaccompaniedbyarequestthatapartorallofthematerialbetreatedconfidentiallybecauseof 0  itsbusinessproprietarynatureorforanyotherreason.BISwillreturnsuchcommentsandmaterialsto 0 thepersonssubmittingthecommentsandwillnotconsidertheminthedevelopmentofthefinalrule.All  publiccommentsonthisproposedrulemustbeinwriting(includingfaxore#!XpX%!&P#!&%X!Xpmail)andwillbeamatter @ ofpublicrecord,availableforpublicinspectionandcopyingattheFederaleRulemakingPortalat @ http:www.regulations.govandontheBISFreedomofInformationAct(FOIA)websiteat  http:www.bis.doc.gov/foia.BISdoesnotmaintainaseparatepublicinspectionfacility.Ifyouhave P technicaldifficultiesaccessingthiswebsite,pleasecallBIS#!XpX%!&#!&%X!XpsOfficeofAdministrationat(202)482 P #!XpX%!&#!&%X!Xp0500forassistance.   #!XpX%!&۠#!&%X!XpListofSubjects #`$ #!XpX%!& #!&%X!Xp15CFRPart736and772 p&!( #!XpX%!&v#!&%X!Xp  Exports.  (p#* #!XpX%!&#!&%X!Xp15CFRPart740,748and752 ) %, #!XpX%!&P#!&%X!Xp  Administrativepracticeandprocedure,Exports,Reportingandrecordkeepingrequirements. +&. #!XpX%!&Ī#!&%X!Xp15CFRPart742  #!XpX%!&ۀ#!&%X!Xp  Exports,Terrorism. ` #!XpX%!&#!&%X!Xp15CFRPart744 ` #!XpX%!&]#!&%X!Xp  Exports,Reportingandrecordkeepingrequirements,Terrorism.   #!XpX%!&ì#!&%X!Xp15CFRPart760 p  #!XpX%!&c#!&%X!Xp  Boycotts,Exports,Reportingandrecordkeepingrequirements.  p  #!XpX%!&ʭ#!&%X!Xp  Accordingly,parts736,740,742,744,748,752,760,and772oftheExportAdministration   Regulations(15CFRparts730#!XpX%!&j#!&%X!Xp774)areproposedtobeamendedasfollows: 0   #!XpX%!&E#!&%X!XpPART736#!XpX%!&˯#!&%X!XpԀ[AMENDED]   #!XpX%!&#!&%X!Xp  1.#!XpX%!&{#!&%X!Xp ` Theauthoritycitationfor15CFRpart736continuestoreadasfollows: @ #!XpX%!&˰#!&%X!Xp  #!XpX%!&v#!&%X!XpAuthority: #!XpX%!&DZ#!&%X!XpԀ50U.S.C.app.2401#!XpX%!&#!&%X!Xpetseq#!XpX%!&p#!&%X!Xp.;50U.S.C.1701#!XpX%!&ۻ#!&%X!Xpetseq#!XpX%!&#!&%X!Xp.;22U.S.C.2151(note),Pub.L. @ 108#!XpX%!&]#!&%X!Xp175;E.O.12938,59FR59099,3CFR,1994Comp.,p.950;E.O.13020,61FR54079,3CFR,1996  Comp.p.219;E.O.13026,61FR58767,3CFR,1996Comp.,p.228;E.O.13222,66FR44025,3CFR, X 2001Comp.,p.783;E.O.13338,69FR26751,May13,2004;NoticeofAugust3,2006,71FR44551 X (August7,2006);NoticeofOctober27,2006,71FR64109(October31,2006);NoticeofAugust15,   2007,72FR46137(August16,2007). h!" #!XpX%!&ٳ#!&%X!Xp  2.#!XpX%!&)#!&%X!Xp ` Section736.2isamendedbyrevisingthefirstsentenceofparagraph(b)(10)toreadas $ & follows: x&!(  #!XpX%!&z#!&%X!Xp736.2 #!XpX%!&U#!&%X!XpԀ #!XpX%!&ۣ#!&%X!XpGeneralprohibitionsanddeterminationofapplicability. )(%,  #!XpX%!&#!&%X!Xp***** +&. #!XpX%!&{#!&%X!Xp(b)***  #!XpX%!&#!&%X!Xp  (10) #!XpX%!&T#!&%X!XpԀ #!XpX%!&۩#!&%X!Xp***Youmaynotsell,transfer,export,reexport,finance,order,buy,remove, ` conceal,store,use,loan,disposeof,transport,forward,orotherwiseservice,inwholeorinpart,anyitem h subjecttotheEARandexportedortobeexportedwithknowledgethataviolationoftheExport   AdministrationRegulations,theExportAdministrationActoranyorder,license,LicenseException,or x  otherauthorizationissuedthereunderhasoccurred,isabouttooccur,orisintendedtooccurin ( x  connectionwiththeitem.*** (  #!XpX%!&#!&%X!Xp  3.#!XpX%!&̼#!&%X!Xp ` GeneralOrderNo.2toSupplementNo.1topart736,isamendedbyrevisingthelast 8  sentenceofparagraph(b)toreadasfollows: 8  #!XpX%!&#!&%X!XpSupplementNo.1toPart736#!XpX%!&#!&%X!XpԀGeneralOrders H  #!XpX%!&z#!&%X!Xp***** H  #!XpX%!&#!&%X!XpGeneralOrderNo.2   #!XpX%!&V#!&%X!Xp***** X #!XpX%!&ÿ#!&%X!Xp(b)***LicenseconditionsrequiringwrittenU.S.Governmentauthorizationforthereexport, X transfer(in#!XpX%!&3#!&%X!Xpcountry),orresaleofitemsalreadyexportedorreexportedremainineffect,andrequestsfor   BISauthorizationtoreexport,transfer(in#!XpX%!&#!&%X!Xpcountry),orsellsuchitemswillrequireinteragencyapproval. h!" #!XpX%!&#!&%X!Xp***** #h$  #!XpX%!&y#!&%X!XpPART740#!XpX%!&#!&%X!XpԀ[AMENDED] x&!(  #!XpX%!&9#!&%X!Xp  4.#!XpX%!&۝#!&%X!Xp ` Theauthoritycitationfor15CFRpart740continuestoreadasfollows: ((x#* #!XpX%!&#!&%X!Xp  #!XpX%!&ۚ#!&%X!XpAuthority: #!XpX%!&#!&%X!XpԀ50U.S.C.app.2401#!XpX%!&:#!&%X!Xpetseq#!XpX%!&۔#!&%X!Xp.;50U.S.C.1701#!XpX%!&#!&%X!Xpetseq#!XpX%!&6#!&%X!Xp.;Sec.901#!XpX%!&ہ#!&%X!Xp911,Pub.L.106#!XpX%!&#!&%X!Xp387; )(%, E.O.13026,61FR58767,3CFR,1996Comp.,p.228;E.O.13222,66FR44025,3CFR,2001Comp., +&. p.783;NoticeofAugust3,2006,71FR44551(August7,2006);NoticeofAugust15,2007,72FR  46137(August16,2007). `   6" <DLX6#!XpX%!&##!&%X!Xp5.#!XpX%!&#!&%X!Xp ` Section740.5isamendedbyrevisingthefirstandsecondsentencesofparagraph(b)(1)   toreadasfollows: p    <( 4 <DL  X< #!XpX%!&-#!&%X!Xp740.5Civilend#!XpX%!&k#!&%X!Xpusers(CIV) #!XpX%!&#!&%X!Xp.   #!XpX%!&#!&%X!Xp*****   #!XpX%!&i#!&%X!Xp(b)#!XpX%!&#!&%X!XpRestrictions#!XpX%!&##!&%X!Xp. 8   #!XpX%!&t#!&%X!Xp  #!XpX%!&#!&%X!Xp(1)***YoumaynotuseCIVifyou#!XpX%!& #!&%X!Xp know#!XpX%!&ې#!&%X!Xptheitemwillbeorisintendedtobeexported, 8 reexported,ortransferred(in#!XpX%!&#!&%X!Xpcountry)tomilitaryusesormilitaryend#!XpX%!&ۄ#!&%X!Xpusers.Suchexports,reexports,  andtransfers(in#!XpX%!&#!&%X!Xpcountry)willcontinuetorequirealicense.Inadditiontoconventionalmilitary H activities,militaryusesincludeanyproliferationactivitiesdescribedandprohibitedbypart744ofthe H EAR.  #!XpX%!&y#!&%X!Xp*** X #!XpX%!&ۻ#!&%X!Xp*****   #!XpX%!& #!&%X!Xp  6.#!XpX%!&ۑ#!&%X!Xp ` Section740.7isamended: #h$ #!XpX%!&#!&%X!Xp  #!XpX%!&^#!&%X!Xp ` a.#!XpX%!&۬#!&%X!Xp Byrevisingthefirstsentenceofparagraph(b)(3);and $ & #!XpX%!&#!&%X!Xp  #!XpX%!&ۗ#!&%X!Xp ` b.#!XpX%!&#!&%X!Xp Byrevisingparagraph(b)(5)toreadasfollows: x&!(  #!XpX%!&6#!&%X!Xp740.7Computers(APP) )(%,  #!XpX%!&#!&%X!Xp***** +&. #!XpX%!&@#!&%X!Xp(b)***  #!XpX%!&۰#!&%X!Xp  (3)ComputersandsoftwareeligibleforLicenseExceptionAPPmaynotbereexportedor ` transferred(in#!XpX%!&#!&%X!Xpcountry)withoutpriorauthorizationfromBIS,#!XpX%!&#!&%X!Xpi.e.#!XpX%!&V#!&%X!Xp,alicense,apermissivereexport, ` anotherLicenseException,or#!XpX%!&۟#!&%X!Xp NoLicenseRequired#!XpX%!&7#!&%X!Xp.***   #!XpX%!&ې#!&%X!Xp  (4)*** p  #!XpX%!&#!&%X!Xp  (5)LicenseExceptionAPPdoesnotauthorizeexports,reexportsandtransfers(in#!XpX%!&t#!&%X!Xpcountry)for  p  nuclear,chemical,biological,ormissileend#!XpX%!&#!&%X!Xpusersandend#!XpX%!&ۥ#!&%X!Xpusessubjecttolicenserequirementsunder   #!XpX%!&#!&%X!Xp744.2,#!XpX%!&v#!&%X!Xp744.3,#!XpX%!&#!&%X!Xp744.4,and#!XpX%!&#!&%X!Xp744.5oftheEAR.Suchexports,reexportsandtransfers(in#!XpX%!&a#!&%X!Xpcountry)will   continuetorequirealicenseandwillbeconsideredonacase#!XpX%!&#!&%X!Xpby#!XpX%!&ۇ#!&%X!Xpcasebasis. #!XpX%!&#!&%X!XpԀ #!XpX%!&#!&%X!XpԀReexportsandtransfers 0  (in#!XpX%!&c#!&%X!Xpcountry)totheseend#!XpX%!&#!&%X!Xpusersandend#!XpX%!&/#!&%X!Xpusesineligiblecountriesarestrictlyprohibitedwithoutprior 8 authorization.  #!XpX%!&#!&%X!Xp***** H #!XpX%!&9#!&%X!Xp  7.#!XpX%!&۪#!&%X!Xp ` Section740.9isamendedbyrevisingparagraph(a)(2)(ix)(A)toreadasfollows:   #!XpX%!&#!&%X!Xp740.9 #!XpX%!&۲#!&%X!XpԀ #!XpX%!&#!&%X!XpTemporaryimports,exports,andreexports(TMP). X  #!XpX%!&F#!&%X!Xp*****   #!XpX%!&#!&%X!Xp(a)*** p!" #!XpX%!&A#!&%X!Xp  (2)***  #p$ #!XpX%!&۩#!&%X!Xp  #!XpX%!&#!&%X!Xp ` (ix)#!XpX%!&k#!&%X!XpTemporaryexportstoaU.S.subsidiary,affiliateorfacilityinCountryGroupB. $ & #!XpX%!&#!&%X!Xp  #!XpX%!&l#!&%X!Xp ` #!XpX%!&ۺ#!&%X!Xp (A)Components,parts,toolsortestequipmentexportedbyaU.S.persontoits &!( subsidiary,affiliateorfacilityinacountrylistedinCountryGroupB(seeSupplementNo.1tothispart) 0(#* thatisownedorcontrolledbytheU.S.person,ifthecomponents,part,toolortestequipmentistobe )0%, usedformanufacture,assembly,testing,productionormodification,providedthatnocomponents,parts, +&. toolsortestequipmentorthedirectproductofsuchcomponents,parts,toolsortestequipmentare  transferred(in#!XpX%!&#!&%X!Xpcountry)orreexportedfromsuchsubsidiary,affiliateorfacilitywithoutprior ` authorizationbyBIS. ` #!XpX%!&۾#!&%X!Xp*****   #!XpX%!&ۏ#!&%X!Xp  8.#!XpX%!&#!&%X!Xp ` Section740.11isamendedbyrevisingparagraph(c)(3)toreadasfollows:  p   #!XpX%!&Q#!&%X!Xp740.11Governments,internationalorganizations,andinternationalinspectionsunderthe   ChemicalWeaponsConvention(GOV) #!XpX%!&##XXX!Xp##XN XXX#&s % X#XN. 0  ##XN X %#&s##XX X#XN#!XpXXX!&%X!Xp***** @ #!XpX%!&۵#!&%X!Xp(c)***  #!XpX%!&%#!&%X!Xp  (3)#!XpX%!&ۍ#!&%X!XpConfidentiality.#!XpX%!&#!&%X!XpԀTheapplicationoftheprovisionsofthisparagraph(c)issubjecttothe P conditionthattheconfidentialityofbusinessinformationisstrictlyprotectedinaccordancewith P applicableprovisionsoftheEARandotherU.S.lawsregardingtheuseandtransferofU.S.goodsand  services. ` #!XpX%!&7#!&%X!Xp***** ` #!XpX%!&#!&%X!Xp  9.#!XpX%!&Z#!&%X!Xp ` Section740.17isamendedbyrevisingthesecondsentenceoftheintroductorytextof p!" paragraph(a)(1)toreadasfollows:  #p$  #!XpX%!&۫#!&%X!Xp740.17Encryptioncommoditiesandsoftware(ENC) #!XpX%!&۠#!&%X!Xp. &!( #!XpX%!&#!&%X!Xp***** 8(#* #!XpX%!&q#!&%X!Xp(a)*** )8%, #!XpX%!&#!&%X!Xp  (1)***Anyencryptionitemproducedordevelopedwithanitemexportedorreexported +&. underthisparagraph(a)(1)issubjecttotheEARandrequiresreviewandauthorizationbeforeanysaleor  transferoutsideoftheprivatesectorend#!XpX%!&I#!&%X!Xpuserthatdevelopedit.*** ` #!XpX%!&۵#!&%X!XpԀ*****    #!XpX%!&4#!&%X!XpPART742#!XpX%!&۩#!&%X!XpԀ[AMENDED]  p   #!XpX%!&#!&%X!Xp  10.#!XpX%!&Y#!&%X!Xp ` Theauthoritycitationfor15CFRpart742continuestoreadasfollows:   #!XpX%!&۫#!&%X!Xp  #!XpX%!&V#!&%X!XpAuthority: #!XpX%!&ۧ#!&%X!XpԀ50U.S.C.app.2401#!XpX%!&#!&%X!Xpetseq#!XpX%!&P#!&%X!Xp.;50U.S.C.1701#!XpX%!&ۛ#!&%X!Xpetseq#!XpX%!&#!&%X!Xp.;22U.S.C.3201#!XpX%!&=#!&%X!Xpetseq#!XpX%!&۔#!&%X!Xp.;42   U.S.C.2139a;Sec.901#!XpX%!&#!&%X!Xp911,Pub.L.106#!XpX%!&R#!&%X!Xp387;Sec.221,Pub.L.107#!XpX%!&ۥ#!&%X!Xp56;Sec1503,Pub.L.108#!XpX%!&#!&%X!Xp11,117 8  Stat.559;E.O.12058,43FR20947,3CFR,1978Comp.,p.179;E.O.12851,58FR33181,3CFR, 8 1993Comp.,p.608;E.O.12938,59FR59099,3CFR,1994Comp.,p.950;E.O.13026,61FR58767,3  CFR,1996Comp.,p.228;E.O.13222,66FR44025,3CFR,2001Comp.,p.783;Presidential H Determination2003#!XpX%!&]#!&%X!Xp23ofMay7,2003,68FR26459,May16,2003;NoticeofAugust3,2006,71FR H 44551(August7,2006);NoticeofOctober27,2006,71FR64109(October31,2006);NoticeofAugust  15,2007,72FR46137(August16,2007). X   6" <DLX6#!XpX%!&&#!&%X!Xp11.#!XpX%!&#!&%X!Xp ` Section742.15isamendedbyrevisingthesecondsentenceofparagraph(b)(3)(i)toread   asfollows: h!"   <( 4 <DL  X< #!XpX%!&#!&%X!Xp742.15Encryptionitems #!XpX%!&P##XXX!Xp##XN XXX#&s % X#XN. $ & ##XN X %#&s##XX X#XN#!XpXXX!&%X!Xp***** &!( #!XpX%!&ی#!&%X!Xp(b)*** 8(#* #!XpX%!&#!&%X!Xp  (3)*** )8%, #!XpX%!&d#!&%X!Xp  #!XpX%!&#!&%X!Xp ` (i)*** +&. #!XpX%!&&#!&%X!XpAllitemsproducedordevelopedbyU.S.subsidiarieswithencryptioncommodities,softwareand  technologyexportedunderthisparagrapharesubjecttotheEARandrequirereviewandauthorization ` beforeanysaleortransferoutsideoftheU.S.company. ` #!XpX%!&ۛ#!&%X!Xp*****    #!XpX%!&#!&%X!XpPART744#!XpX%!&ۊ#!&%X!XpԀ[AMENDED]  p   #!XpX%!&#!&%X!Xp  12.#!XpX%!&:#!&%X!Xp ` Theauthoritycitationfor15CFRpart744continuestoreadasfollows:   #!XpX%!&ۋ#!&%X!Xp  #!XpX%!&6#!&%X!XpAuthority: #!XpX%!&ۇ#!&%X!XpԀ50U.S.C.app.2401#!XpX%!&#!&%X!Xpetseq#!XpX%!&0#!&%X!Xp.;50U.S.C.1701#!XpX%!&{#!&%X!Xpetseq#!XpX%!&#!&%X!Xp.;22U.S.C.3201#!XpX%!& #!&%X!Xpetseq#!XpX%!&t #!&%X!Xp.;42   U.S.C.2139a;Sec.901#!XpX%!&ۿ #!&%X!Xp911,Pub.L.106#!XpX%!&2 #!&%X!Xp387;Sec.221,Pub.L.107#!XpX%!&ۅ #!&%X!Xp56;E.O.12058,43FR20947,3 8  CFR,1978Comp.,p.179;E.O.12851,58FR33181,3CFR,1993Comp.,p.608;E.O.12938,59FR 8 59099,3CFR,1994Comp.,p.950;E.O.12947,60FR5079,3CFR,1995Comp.,p.356;E.O.13026,  61FR58767,3CFR,1996Comp.,p.228;E.O.13099,63FR45167,3CFR,1998Comp.,p.208;E.O. H 13222,66FR44025,3CFR,2001Comp.,p.783;E.O.13224,66FR49079,3CFR,2001Comp.,p. H 786;NoticeofAugust3,2006,71FR44551(August7,2006);NoticeofOctober27,2006,71FR64109  (October31,2006);NoticeofAugust15,2007,72FR46137(August16,2007). X #!XpX%!& #!&%X!Xp  #!XpX%!&#!&%X!Xp `  6" <DLX6#!XpX%!&O#!&%X!Xp13.#!XpX%!&#!&%X!Xp ` Section744.1isamendedbyrevisingparagraphs(a)(1)and(b)(2)toreadasfollows:     <( 4 <DL  X<#!XpX%!&5#!&%X!Xp  #!XpX%!&F#!&%X!Xp744.1Generalprovisions. #h$  #!XpX%!&ۘ#!&%X!Xp(a)(1)#!XpX%!&#!&%X!XpIntroduction.#!XpX%!&[#!&%X!XpԀInthispart,referencestotheEARarereferencesto15CFRchapterVII,subchapter $ & C.Thispartcontainsprohibitionsagainstexports,reexports,andselectedtransferstocertainend#!XpX%!&ۭ#!&%X!Xpusers x&!( andend#!XpX%!&#!&%X!XpusesasintroducedunderGeneralProhibitionFive(End#!XpX%!&$#!&%X!Xpuse/End#!XpX%!&۝#!&%X!Xpusers)andNine(Orders, ((x#* Terms,andConditions),unlessauthorizedbyBIS.Sections744.2,744.3,744.4prohibitexports, )(%, reexportsandtransfers(in#!XpX%!&#!&%X!Xpcountry)ofitemssubjecttotheEARtodefinednuclear,missile,andchemical +&. andbiologicalproliferationactivities.Section744.5prohibitsexports,reexportsandtransfers(in  #!XpX%!&#!&%X!Xpcountry)ofitemssubjecttotheEARtodefinednuclearmaritimeend#!XpX%!& #!&%X!Xpuses.Section744.6prohibits ` certainactivitiesbyU.S.personsinsupportofcertainnuclear,missile,chemical,orbiologicalend#!XpX%!&ې#!&%X!Xpuses. ` Section744.7prohibitsexportsandreexportsofcertainitemsforcertainaircraftandvessels.Section   744.9prohibitsU.S.personsfromprovidingtechnicalassistancetocertainforeignpersonsseekingto p  developormanufacturecertainencryptioncommoditiesorsoftware.Section744.10prohibitsexports  p  andreexportsofanyitemsubjecttotheEARtoRussianentities,includedinSupplementNo.4ofthis   part.Sections744.12,744.13and744.14prohibitexportsandreexportsofanyitemsubjecttotheEAR   topersonsdesignatedasSpeciallyDesignatedGlobalTerrorists,SpeciallyDesignatedTerrorists,or 0  ForeignTerroristOrganizations,respectively.Section744.19setsforthBIS#!XpX%!&l#!&%X!Xpslicensingpolicyfor 0 applicationsforexportsorreexportswhenapartytothetransactionisanentitythathasbeensanctioned  pursuanttoanyofthreespecifiedstatutesthatrequirecertainlicenseapplicationstobedenied.Section @ 744.20requiresalicense,totheextentspecifiedinSupplementNo.4tothispart,forexportsand @ reexportsofitemssubjecttotheEARdestinedtocertainsanctionedentitieslistedinSupplementNo.4  tothispart.Section744.15describesrestrictionsonexportsandreexportstopersonsnamedingeneral P orders.Inaddition,thesesectionsincludelicensereviewstandardsforexportlicenseapplications P submittedasrequiredbythesesections.Itshouldalsobenotedthatpart764oftheEARprohibits   exports,reexportsandcertaintransfersofitemssubjecttotheEARtodeniedparties. `!" #!XpX%!&#!&%X!Xp***** #`$ #!XpX%!&<#!&%X!Xp(b)*** p&!( #!XpX%!&ۭ#!&%X!Xp  (2)#!XpX%!& #!&%X!XpDetermineapplicability.#!XpX%!&k #!&%X!XpԀSecond,determinewhetheranyoftheend#!XpX%!& #!&%X!Xpuseandend#!XpX%!&5!#!&%X!Xpuser  (p#* prohibitionsdescribedinthispartareapplicabletoyourplannedexport,reexport,transfer(in#!XpX%!&ۃ!#!&%X!Xpcountry)or ) %, otheractivity.SeeSupplementNo.1topart732forguidance.Forexports,reexportsortransfers(in +&. #!XpX%!&@"#!&%X!Xpcountry)thatareintransitatthetimeyouareinformedbyBISthatalicenseisrequiredinaccordance  with#!XpX%!& ##!&%X!Xp#!XpX%!&##!&%X!Xp744.2(b),744.3(b),744.4(b)or744.6(b)oftheEAR,youmaynotproceedanyfurtherwiththe ` transactionunlessyoufirstobtainalicensefromBIS(seepart748oftheEARforinstructionsonhowto ` applyforalicense).Theprovisionsof#!XpX%!&+$#!&%X!Xp748.4(d)(2)shallnotapplytolicenseapplicationssubmitted   pursuanttoanotificationfromBISthatoccurswhileanexport,reexport,ortransfer(in#!XpX%!&ۋ%#!&%X!Xpcountry)isin p  transit.  p  #!XpX%!&~&#!&%X!Xp*****     ~9%Z Z <DLX9#!XpX%!&'#!&%X!Xp14.#!XpX%!&'#!&%X!Xp . Section744.2isamendedbyrevisingparagraph(a)introductorytextand 0   & X~<%4 4 <DLZ Z X<#!XpX%!& (#!&%X!Xpparagraph(b)toreadasfollows: 0  & X<( 4 <DL44X< #!XpX%!&)#!&%X!Xp744.2Restrictionsoncertainnuclearend#!XpX%!&)#!&%X!Xpuses. @ RB@ R #!XpX%!&]*#!&%X!Xp(a)#!XpX%!&*#!&%X!XpGeneralprohibition#!XpX%!&0+#!&%X!Xp.InadditiontothelicenserequirementsforitemsspecifiedontheCCL,youmay B notexport,reexport,ortransfer(in#!XpX%!&ۈ+#!&%X!Xpcountry)toanydestination,otherthancountriesinSupplementNo.3 B tothispart,anitemsubjecttotheEARwithoutalicenseif,atthetimeofexport,reexport,ortransfer(in  #!XpX%!&V,#!&%X!Xpcountry)youknow#!XpXJ!&w-#!&%h!Xp1#!XpX%!&-#!&%X!XpԀthattheitemwillbeuseddirectlyorindirectlyinanyoneormoreofthefollowing R activitiesdescribedinparagraphs(a)(1),(a)(2),and(a)(3)ofthissection:  R  #!XpX%!&.#!&%X!Xp***** "T" RX$$V#!XpX%!&#/#!&%X!Xp(b)#!XpX%!&ۨ/#!&%X!XpAdditionalprohibitiononpersonsinformedbyBIS.#!XpX%!&/#!&%X!XpԀBISmayinformpersons,eitherindividuallyby X$$ specificnoticeorthroughamendmenttotheEAR,thatalicenseisrequiredforaspecificexport, &X!& reexport,ortransfer(in#!XpX%!&h0#!&%X!Xpcountry),orfortheexport,reexport,ortransfer(in#!XpX%!&1#!&%X!Xpcountry)ofspecifieditemsto '#( acertainend#!XpX%!&1#!&%X!Xpuser,becausethereisanunacceptableriskofusein,ordiversionto,theactivitiesspecified h)$* inparagraph(a)ofthissection.Specificnoticeistobegivenonlyby,oratthedirectionof,theDeputy +h&, AssistantSecretaryforExportAdministration.Whensuchnoticeisprovidedorally,itwillbefollowed  byawrittennoticewithintwoworkingdayssignedbytheDeputyAssistantSecretaryforExport ` Administration.However,theabsenceofanysuchnotificationdoesnotexcusepersonsfromcompliance ` withthelicenserequirementsofparagraph(a)ofthissection.   #!XpX%!&{2#!&%X!Xp*****   #!XpX%!&r5#!&%X!Xp  15.#!XpX%!&5#!&%X!Xp ` Section744.3isamended:   #!XpX%!&46#!&%X!Xp  #!XpX%!&۱6#!&%X!Xp ` a.#!XpX%!&6#!&%X!Xp Byrevisingparagraph(a)introductorytext;   #!XpX%!&P7#!&%X!Xp  #!XpX%!&7#!&%X!Xp ` b.#!XpX%!&-8#!&%X!Xp Byrevisingparagraph(b);and  #!XpX%!&~8#!&%X!Xp  #!XpX%!&8#!&%X!Xp ` c.#!XpX%!&M9#!&%X!Xp Byrevisingparagraph(d)(1)toreadasfollows:#!XpX%!&۞9#!&%X!Xp  #!XpX%!&:#!&%X!Xp  #!XpX%!&j:#!&%X!Xp x #!XpX%!&۸:#!&%X!Xp    #!XpX%!&;#!&%X!Xp744.3Restrictionsoncertainrocketsystems(includingballisticmissilesystemsandspacelaunch ~ vehiclesandsoundingrockets)andunmannedairvehicles(includingcruisemissilesystems,target .~ dronesandreconnaissancedrones)end#!XpX%!&m;#!&%X!Xpuses. . R20 #!XpX%!&<#!&%X!Xp(a)#!XpX%!&;=#!&%X!XpGeneralprohibition#!XpX%!&ۄ=#!&%X!Xp.InadditiontothelicenserequirementsforitemsspecifiedontheCCL,youmay 2 notexport,reexport,ortransfer(in#!XpX%!&=#!&%X!Xpcountry)anitemsubjecttotheEARwithoutalicenseif,atthetime  2 ofexport,reexportortransfer(in#!XpX%!&۪>#!&%X!Xpcountry)youknowthattheitem: "  #!XpX%!&j?#!&%X!Xp***** $" #!XpX%!&?#!&%X!Xp(b)#!XpX%!&Q@#!&%X!XpAdditionalprohibitiononpersonsinformedbyBIS#!XpX%!&ۚ@#!&%X!Xp.BISmayinformpersons,eitherindividuallyby &!$ specificnoticeorthroughamendmenttotheEAR,thatalicenseisrequiredforaspecificexport,reexport F(#& ortransfer(in#!XpX%!&A#!&%X!Xpcountry)orfortheexport,reexport,ortransfer(in#!XpX%!&(B#!&%X!Xpcountry)ofspecifieditemstoacertain )F%( end#!XpX%!&۠B#!&%X!Xpuser,becausethereisanunacceptableriskofusein,ordiversionto,theactivitiesspecifiedin +&* paragraphs(a)(1)or(a)(2)ofthissection.Specificnoticeistobegivenonlyby,oratthedirectionof,  theDeputyAssistantSecretaryforExportAdministration.Whensuchnoticeisprovidedorally,itwillbe ` followedbyawrittennoticewithintwoworkingdayssignedbytheDeputyAssistantSecretaryfor ` ExportAdministration.However,theabsenceofanysuchnotificationdoesnotexcusepersonsfrom   compliancewiththelicenserequirementsofparagraphs(a)(1),(a)(2),or(a)(3)ofthissection. p  #!XpX%!&#C#!&%X!Xp***** r   #!XpX%!&?F#!&%X!Xp(d)#!XpX%!&ۯF#!&%X!XpԀLicensereviewstandards. t   #!XpX%!&F#!&%X!Xp  #!XpX%!&nG#!&%X!Xp(1)Applicationstoexport,reexportortransfer(in#!XpX%!&ۿG#!&%X!Xpcountry)theitemssubjecttothissectionwill v  beconsideredonacase#!XpX%!&6H#!&%X!Xpby#!XpX%!&H#!&%X!Xpcasebasistodeterminewhethertheexport,reexportortransfer(in#!XpX%!&I#!&%X!Xpcountry) &v wouldmakeamaterialcontributiontotheproliferationofcertainrocketsystems,orunmannedair & vehicles.Whenanexport,reexportortransfer(in#!XpX%!&۠I#!&%X!Xpcountry)isdeemedtomakeamaterialcontribution,  thelicensewillbedenied. 6  #!XpX%!&۪J#!&%X!Xp  #!XpX%!&iK#!&%X!Xp***** : #!XpX%!&ۻK#!&%X!Xp  16.Section744.4isamended: >  #!XpX%!&-L#!&%X!Xp  #!XpX%!&۳L#!&%X!Xp ` a.#!XpX%!&M#!&%X!Xp Byrevisingparagraph(a);and @"  #!XpX%!&RM#!&%X!Xp  #!XpX%!&M#!&%X!Xp ` b.#!XpX%!&!N#!&%X!Xp Byrevisingparagraph(d)(1)toreadasfollows:#!XpX%!&rN#!&%X!Xp  #!XpX%!&N#!&%X!Xp   B$"  #!XpX%!&>O#!&%X!Xp744.4#!XpX%!&ۥO#!&%X!Xp  Restrictionsoncertainchemicalandbiologicalweaponsend#!XpX%!&O#!&%X!Xpuses #!XpX%!&{P#!&%X!Xp. F(#& #!XpX%!&P#!&%X!Xp(a)#!XpX%!&Q#!&%X!XpGeneralprohibition#!XpX%!&fQ#!&%X!Xp. P*%( #!XpX%!&۾Q#!&%X!XpInadditiontothelicenserequirementsforitemsspecifiedontheCCL,youmaynotexport,reexport,or R,'* transfer(in#!XpX%!&R#!&%X!Xpcountry)anitemsubjecttotheEARwithoutalicenseif,atthetimeofexport,reexport,or  transfer(in#!XpX%!&R#!&%X!Xpcountry)youknowthattheitemwillbeusedinthedesign,development,production, ` stockpiling,oruseofchemicalorbiologicalweaponsinorbyanycountryordestination,worldwide. ` #!XpX%!&ۣS#!&%X!Xp*****  b #!XpX%!&T#!&%X!Xp(d)#!XpX%!&9U#!&%X!XpLicensereviewstandards #!XpX%!&ۃU#!&%X!Xp.  d  #!XpX%!&U#!&%X!Xp  (1)Applicationstoexport,reexport,ortransfer(in#!XpX%!&>V#!&%X!Xpcountry)itemssubjecttothissectionwillbe j  consideredonacase#!XpX%!&V#!&%X!Xpby#!XpX%!&\W#!&%X!Xpcasebasistodeterminewhethertheexport,reexport,ortransfer(in#!XpX%!&ۡW#!&%X!Xpcountry)   wouldmakeamaterialcontributiontothedesign,development,production,stockpiling,oruseof z  chemicalorbiologicalweapons.Whenanexport,reexport,ortransfer(in#!XpX%!&*X#!&%X!Xpcountry)isdeemedtomake *z suchacontribution,thelicensewillbedenied.#!XpX%!&JY#!&%X!Xp   * #!XpX%!&Y#!&%X!Xp***** ,   ~9%Z Z <DLX9#!XpX%!&NZ#!&%X!Xp17.#!XpX%!&[#!&%X!Xp . Section744.5isamendedbyrevisingthefirstsentenceofparagraph(a)toreadas 0  & X~<%4 4 <DLZ Z X<#!XpX%!&Y[#!&%X!Xpfollows: 2  & X<( 4 <DL44X< #!XpX%!&h\#!&%X!Xp744.5Restrictionsoncertainmaritimenuclearend#!XpX%!&$]#!&%X!Xpuses.  6  #!XpX%!&۝]#!&%X!Xp(a)InadditiontothelicenserequirementsforitemsspecifiedontheCCL,youmaynotexport,reexport, "8  ortransfer(in#!XpX%!&]#!&%X!Xpcountry)certaintechnologysubjecttotheEARwithoutalicenseifatthetimeofthe $" export,reexportortransfer(in#!XpX%!&^#!&%X!Xpcountry)youknowtheitemisforuseinconnectionwithaforeign H&!$ maritimenuclearpropulsionproject. 'H#& #!XpX%!&ۚ_#!&%X!Xp*** )J%( #!XpX%!&m`#!&%X!Xp***** +L'* #!XpX%!&`#!&%X!Xp  18.Section744.6isamended:  #!XpX%!&Aa##XXX!Xpm# (<3$!XpXXX <( 4 <DLX<!&%X!Xp Byrevisingparagraph(a)(1)(i)introductorytext;   R#!XpX%!&b##XXX!Xpkb#&%XX!&%%& R#!XpX%!&ۨc##XXX!Xpc#!XpXXX!&%X!Xp Byrevisingparagraph(a)(1)(ii); d  #!XpX%!&bd#!&%X!Xp Byrevisingparagraph(a)(3);and f  #!XpX%!&d#!&%X!Xpd.#!XpX%!&{e#!&%X!Xp Byrevisingparagraph(b)toreadasfollow h   B( 4 <DL 4 XB #!XpX%!&ۿe#!&%X!Xp744.6RestrictionsoncertainactivitiesofU.S.persons. j   #!XpX%!&۠f#!&%X!Xp(a)*** l  #!XpX%!&7g#!&%X!Xp  (1)*** n #!XpX%!&۟g#!&%X!Xp  (i)NoU.S.personasdefinedinparagraph(c)ofthissectionmay,withoutalicensefromBIS, p export,reexport,ortransfer(in#!XpX%!&h#!&%X!Xpcountry)anitemwherethatpersonknowsthatsuchitem:*** #!XpX%!&h#!&%X!XpԀ  p  #!XpX%!&ۊi#!&%X!Xp** $  #!XpX%!&i#!&%X!Xp  #!XpX%!&Ij#!&%X!Xp(ii)NoU.S.personshall,withoutalicensefromBIS,knowinglysupportanexport,reexport,or & transfer(in#!XpX%!&۝j#!&%X!Xpcountry)thatdoesnothavealicenseasrequiredbythissection. #!XpX%!&ak#!&%X!XpԀ #!XpX%!&k#!&%X!XpSupportmeansanyaction,  includingfinancing,transportation,andfreightforwarding,bywhichapersonfacilitatesanexport, : reexport,ortransfer(in#!XpX%!&4l#!&%X!Xpcountry).  : #!XpX%!&8m#!&%X!Xp  (2)*** "<  #!XpX%!&ۘm#!&%X!Xp  (3)Wholeplantrequirement.NoU.S.personshall,withoutalicensefromBIS,participateinthe $> " design,construction,export,reexport,ortransfer(in#!XpX%!& n#!&%X!Xpcountry)ofawholeplanttomakechemical &!$ weaponsprecursorsidentifiedinECCN1C350,incountriesotherthanthoselistedinCountryGroupA:3 N(#& (AustraliaGroup)(SeeSupplementNo.1topart740oftheEAR). )N%(  ,P'* #!XpX%!&o#!&%X!Xp(b)AdditionalprohibitionsonU.S.personsinformedbyBIS.BISmayinformU.S.persons,either  individuallybyspecificnoticeorthroughamendmenttotheEAR,thatalicenseisrequiredbecausean ` activitycouldinvolvethetypesofparticipationandsupportdescribedinparagraph(a)ofthissection. ` Specificnoticeistobegivenonlyby,oratthedirectionof,theDeputyAssistantSecretaryforExport   Administration.Whensuchnoticeisprovidedorally,itwillbefollowedbyawrittennoticewithintwo p  workingdayssignedbytheDeputyAssistantSecretaryforExportAdministration.However,theabsence  p  ofanysuchnotificationdoesnotexcusetheU.S.personfromcompliancewiththelicenserequirements   ofparagraph(a)ofthissection.   #!XpX%!&np#!&%X!Xp*****    #!XpX%!&Et#!&%X!XpPART748#!XpX%!&۹t#!&%X!XpԀ[AMENDED]   #!XpX%!&u#!&%X!Xp  19.#!XpX%!&iu#!&%X!Xp ` Theauthoritycitationfor15CFRpart748continuestoreadasfollows:   R#!XpX%!&ۻu#!&%X!Xp  #!XpX%!&|v#!&%X!XpAuthority: #!XpX%!&v#!&%X!XpԀ50U.S.C.app.2401#!XpX%!&w#!&%X!Xpetseq#!XpX%!&vw#!&%X!Xp.;50U.S.C.1701#!XpX%!&w#!&%X!Xpetseq#!XpX%!&x#!&%X!Xp.;E.O.13026,61FR58767,3  CFR,1996Comp.,p.228;E.O.13222,66FR44025,3CFR,2001Comp.,p.783;NoticeofAugust3, B 2006,71FR44551(August7,2006);NoticeofAugust15,2007,72FR46137(August16,2007).#!XpX%!&cx#!&%X!Xp B   #!XpX%!&۪y#!&%X!Xp  R  6" <DLX6#!XpX%!&z#!&%X!Xp20.#!XpX%!&z#!&%X!Xp ` SupplementNo.2topart748isamendedbyrevisingparagraph(c)(2)toreadasfollows: #R"   <( 4 <DL  X< #!XpX%!& {#!&%X!XpSupplementNo.2toPart748#!XpX%!&"|#!&%X!XpԀUNIQUEAPPLICATIONANDSUBMISSIONREQUIREMENTS 'V"&  #!XpX%!&ۂ|#!&%X!Xp***** )X$( #!XpX%!& }#!&%X!Xp(c)***  +Z&*  R#!XpX%!&~}#!&%X!Xp  (2)SecuritySafeguardPlanrequirement.TheUnitedStatesrequiressecuritysafeguardsfor  exports,reexports,andtransfers(in#!XpX%!&}#!&%X!Xpcountry)ofHighPerformanceComputers(HPCs)toensurethatthey ` areusedforpeacefulpurposes.Ifyouaresubmittingalicenseapplicationforanexport,reexport,orin ` #!XpX%!&~#!&%X!XpcountrytransferofahighperformancecomputertoorwithinadestinationinComputerTier3(see   #!XpX%!&#!&%X!Xp740.7(c)(1)oftheEAR)ortoCuba,Iran,NorthKorea,Sudan,orSyriayoumustincludewithyour p  licenseapplicationasecuritysafeguardplansignedbytheend#!XpX%!&۴#!&%X!Xpuser,whomayalsobetheultimate  p  consignee.Thisrequirementalsoappliestoexports,reexports,andtransfers(in#!XpX%!&۰#!&%X!Xpcountry)of #!XpX%!&|#!&%X!XpԀ #!XpX%!&ς#!&%X!Xpcomponents   orelectronicassembliestoupgradeexisting#!XpX%!&#!&%X!Xp computer#!XpX%!&ۦ#!&%X!Xpinstallationsinthosecountries.Asample   securitysafeguardplanispostedonBIS'swebpageat 4  #!XpX%!&#!&%X!Xphttp://www.bis.doc.gov/hpcs/SecuritySafeguardPlans.html#!XpX%!&ل#!&%X!Xp. #!XpX%!&i#!&%X!XpԀ 4  #!XpX%!&۲#!&%X!Xp*****   #!XpX%!&#!&%X!XpPart752#!XpX%!&ۊ#!&%X!XpԀ[AMENDED] D  R #!XpX%!&ֆ#!&%X!Xp  21.#!XpX%!&P#!&%X!Xp ` Theauthoritycitationfor15CFRpart752continuestoreadasfollows:   R#!XpX%!&ۢ#!&%X!Xp  #!XpX%!&c#!&%X!XpAuthority: #!XpX%!&۴#!&%X!XpԀ50U.S.C.app.2401#!XpX%!&#!&%X!Xpetseq#!XpX%!&]#!&%X!Xp.;50U.S.C.1701#!XpX%!&ۨ#!&%X!Xpetseq#!XpX%!&#!&%X!Xp.;E.O.13020,61FR54079,3  CFR,1996Comp.p.219;E.O.13222,66FR44025,3CFR,2001Comp.,p.783;NoticeofAugust3, ^ 2006,71FR44551(August7,2006);NoticeofAugust15,2007,72FR46137(August16,2007).  ^   R  9% 4 <DLX9 #!XpX%!&J#!&%X!Xp22.#!XpX%!&#!&%X!Xp ` Section752.5isamendedbyrevisingtheundesignatedparagraphatthe n#$   <( 4 <DL 4X<#!XpX%!&[#!&%X!Xp  #!XpX%!&]#!&%X!Xp ` endof(c)(8)(ii)toreadasfollows: p% &  #!XpX%!&۫#!&%X!Xp752.5 #!XpX%!&7#!&%X!XpԀ #!XpX%!&ۅ#!&%X!XpStepsyoumustfollowtoapplyforanSCL #!XpX%!&ˎ#!&%X!Xp. t)$* #!XpX%!&9#!&%X!Xp***** ~+&, #!XpX%!&ۑ#!&%X!Xp(c)***  #!XpX%!&#!&%X!Xp  (8)***  #!XpX%!&i#!&%X!Xp  #!XpX%!&ݐ#!&%X!Xp ` (ii)***  #!XpX%!&+#!&%X!Xp  #!XpX%!&۠#!&%X!Xp ` #!XpX%!&#!&%X!Xp NochemicalsorchemicalequipmentreceivedunderthisSpecialComprehensive   Licensewillbetransferred,resold,orreexportedtoa #!XpX%!&<#!&%X!XpԀ #!XpX%!&#!&%X!Xpdestinationorend#!XpX%!&c#!&%X!Xpuserthatrequiresalicense, f  unlessthenewend#!XpX%!&۸#!&%X!XpuserhasbeenapprovedbytheBureauofIndustryandSecurity,andinnocasewill n  theitemsbetransferred,resold,orreexportedtoapartywhoisnottheend#!XpX%!&?#!&%X!Xpuser.#!XpX%!&6#!&%X!Xp   #!XpX%!&}#!&%X!Xp*****   #!XpX%!&ٕ#!&%X!Xp  #!XpX%!&I#!&%X!Xp `  6" <DLX6#!XpX%!&ۗ#!&%X!Xp23.#!XpX%!&8#!&%X!Xp ` Section752.8isamendedbyrevisingthelastsentenceofparagraph(a)toreadas $ follows:    <( 4 <DL  X< #!XpX%!&~#!&%X!Xp752.8 #!XpX%!&۬#!&%X!XpԀ #!XpX%!&#!&%X!XpSCLapplicationreviewprocess #!XpX%!&@#!&%X!Xp.  #!XpX%!&ۣ#!&%X!Xp(a)***InreviewingandapprovingaspecificSCLrequest,BISretainstherighttolimitthe  eligibilityofitemsortoprohibittheexport,reexport,ortransfer(in#!XpX%!&#!&%X!Xpcountry)ofitemsundertheSCLto B specificfirms,individuals,orcountries.  B #!XpX%!& #!&%X!Xp***** "D   #!XpX%!&#!&%X!Xp  #!XpX%!&5#!&%X!Xp24.#!XpX%!&ۆ#!&%X!Xp ` Section752.16isamendedbyrevisingparagraph(a)(1)(v)toreadasfollows: &H"$ #!XpX%!&̜#!&%X!Xp #!XpX%!&}#!&%X!Xp752.16Administrativeactions #!XpX%!&Ɲ#!&%X!Xp. *L&( #!XpX%!&(#!&%X!Xp(a)(1)***  #!XpX%!&ہ#!&%X!Xp  #!XpX%!&#!&%X!Xp ` (v)Requirethatcertainexports,reexports,ortransfers(in#!XpX%!&:#!&%X!Xpcountry)beindividually  authorizedbyBIS; b #!XpX%!&Ɵ#!&%X!Xp***** d    6" <DLX6#!XpX%!&\#!&%X!Xp25.#!XpX%!&#!&%X!Xp ` SupplementNo.3topart752isamendedbyrevisingBlock(8)paragraph(iv)toreadas f  follows: f    <( 4 <DL  X< #!XpX%!&e#!&%X!XpSupplementNo.3toPart752#!XpX%!&ۘ#!&%X!XpԀINSTRUCTIONSONCOMPLETINGFORMBIS#!XpX%!&#!&%X!Xp752 j  #!XpX%!&`#!&%X!Xp STATEMENTBYCONSIGNEEINSUPPORTOFSPECIALCOMPREHENSIVELICENSE#!XpX%!&ۺ#!&%X!Xp   #!XpX%!&B#!&%X!Xp*****  #!XpX%!&۠#!&%X!XpBlock8: #!XpX%!&#!&%X!XpԀDispositionorUseofItems.   #!XpX%!&]#!&%X!Xp***** ( #!XpX%!&֥#!&%X!Xp  #!XpX%!&F#!&%X!Xp ` (iv)Item(d):CompletethisBlockifyourcompanyplanstotransferorresellwithinthe * countryofimport.Statetheend#!XpX%!&۔#!&%X!Xpuseofyourcustomers.Ifyouplantotransfertoend#!XpX%!&s#!&%X!Xpusersthatrequire  priorapprovalbyBIS,completeandattachFormBIS#!XpX%!&#!&%X!Xp748P#!XpX%!&ۉ#!&%X!XpB,End#!XpX%!&Ш#!&%X!XpUserAppendix. : #!XpX%!&#!&%X!Xp***** #   #!XpX%!&>#!&%X!Xp  26.#!XpX%!&ۢ#!&%X!Xp ` Theauthoritycitationfor15CFRpart760continuestoreadasfollows: @% "  R #!XpX%!&#!&%X!Xp  Authority: #!XpX%!&۹#!&%X!XpԀCEUS.,#!XpX%!&#!&%X!XpԀUS.,CE.,4#!XpX%!&i#!&%X!Xp50U.S.C.app.2401#!XpX%!&Ƭ#!&%X!Xpetseq#!XpX%!&#!&%X!Xp.;50U.S.C.1701#!XpX%!&j#!&%X!Xpetseq#!XpX%!&#!&%X!Xp.;E.O.13222,66FR44025,3 B'"$ CFR,2001Comp.,p.783;NoticeofAugust3,2006,71FR44551(August7,2006);NoticeofAugust (J$& 15,2007,72FR46137(August16,2007). *%( Ї R#!XpX%!& #!&%X!Xp  27.#!XpX%!&J#!&%X!Xp ` Section760.1isamendedbyrevisingthefirstandsecondsentencesofparagraph  (b)(4)(viii)toreadasfollows: `  #!XpX%!&ۜ#!&%X!Xp760.1Definitions. d   #!XpX%!&ۈ#!&%X!Xp***** f  #!XpX%!&#!&%X!Xp(b)*** h  #!XpX%!&h#!&%X!Xp  (4)*** j  #!XpX%!&ϱ#!&%X!Xp  #!XpX%!&?#!&%X!Xp ` (viii)AttherequestofcountryY,A,anindividualemployedbyU.S.companyB,is l  assignedtocompanyCasanemployee.CisaforeigncompanyownedandcontrolledbycountryY.A,a l U.S.nationalwhowillresideinY,hasagreedtotheassignmentprovidedheisabletoretainhis  insurance,pension,andotherbenefits. | #!XpX%!&ۍ#!&%X!Xp*** ~ #!XpX%!&r#!&%X!Xp*****  #!XpX%!&״#!&%X!Xp  28.#!XpX%!&H#!&%X!Xp ` Section760.3isamendedbyrevisingthefirstsentenceofparagraph(f)(4)(i)toreadas  follows: 4!  #!XpX%!&ۚ#!&%X!Xp760.3Exceptionstoprohibitions. 8% "  #!XpX%!&w#!&%X!Xp***** :'"$ #!XpX%!&#!&%X!Xp(f)*** <)$& #!XpX%!&f#!&%X!Xp  (4)*** >+&( #!XpX%!&η#!&%X!Xp  #!XpX%!&B#!&%X!Xp ` (i)A,aU.S.individualemployedbyB,aU.S.manufacturerofsportinggoodswitha  plantinboycottingcountryY,wishestoobtainaworkvisasothathemaybeassignedtotheplantinY. ` *** ` #!XpX%!&ې#!&%X!Xp*****  b  #!XpX%!&#!&%X!XpPART772#!XpX%!&]#!&%X!XpԀ[AMENDED] f   #!XpX%!&۩#!&%X!Xp  29.#!XpX%!& #!&%X!Xp ` Theauthoritycitationfor15CFRpart772continuestoreadasfollows:#!XpX%!&_#!&%X!Xp x  h   R#!XpX%!&#!&%X!Xp  #!XpX%!&n#!&%X!XpAuthority: #!XpX%!&ۿ#!&%X!XpԀ50U.S.C.app.2401#!XpX%!&#!&%X!Xpetseq#!XpX%!&h#!&%X!Xp.;50U.S.C.1701#!XpX%!&۳#!&%X!Xpetseq#!XpX%!& #!&%X!Xp.;E.O.13222,66FR44025,3 j  CFR,2001Comp.,p.783;NoticeofAugust3,2006,71FR44551(August7,2006);NoticeofAugust " 15,2007,72FR46137(August16,2007).   R#!XpX%!&U#!&%X!Xp  #!XpX%!&ۖ#!&%X!Xp30.#!XpX%!&#!&%X!Xp ` Section772.1isamendedbyrevisingtheexistingdefinitionof#!XpX%!&-#!&%X!Xp transfer#!XpX%!&ۻ#!&%X!Xp,addingan 2 ancillarydefinitionattheendofthedefinitionof#!XpX%!& #!&%X!Xp transfer#!XpX%!&ۤ#!&%X!Xpforthedefinitionof#!XpX%!&#!&%X!Xp in#!XpX%!&O#!&%X!Xpcountry  transfer/transfer(in#!XpX%!&ۘ#!&%X!Xpcountry)#!XpX%!& #!&%X!Xp,andaddinga#!XpX%!&V#!&%X!Xp Note#!XpX%!&۫#!&%X!Xpforthedefinitionof#!XpX%!&#!&%X!Xp transfer#!XpX%!&R#!&%X!Xpassetforthbelow: B  #!XpX%!&۠#!&%X!Xp772.1DefinitionsoftermsasusedintheExportAdministrationRegulations(EAR). F   #!XpX%!&#!&%X!Xp***** H"  #!XpX%!&#!&%X!XpTransfer#!XpX%!&:#!&%X!Xp.Ashipment,transmission,orreleasetoanypersonofitemssubjecttotheEAReitherwithin J$" theUnitedStatesoroutsidetheUnitedStates. %J!$  X9%4 4 <DLX9#!XpX%!&ۊ#!&%X!XpIn#!XpX%!&#!&%X!Xpcountrytransfer/transfer(in#!XpX%!&#!&%X!Xpcountry)#!XpX%!&y#!&%X!Xp.Theshipment,transmission,orreleaseofitems 'L#& subjecttotheEARfromonepersontoanotherpersonthatoccursoutsidetheUnitedStates )$( withinasingleforeigncountry. \+&*  X<( 4 <DL44X< #!XpX%!&#!&%X!XpNote: #!XpX%!&D#!&%X!XpԀThisdefinitionoftransferdoesnotapplyto#!XpX%!&ێ#!&%X!Xp750.10orSupplementNo.8topart760oftheEAR.  Theterm#!XpX%!&#!&%X!Xp transfer#!XpX%!&ۖ#!&%X!XpmayalsobeincludedonlicensesissuedbyBIS.Inthatregard,thechangesthatcan j bemadetoaBISlicensearethenon#!XpX%!&#!&%X!Xpmaterialchangesdescribedin#!XpX%!&ۺ#!&%X!Xp750.7(c).AnyotherchangetoaBIS  j licensewithoutauthorizationisaviolationoftheEAR.See#!XpX%!&#!&%X!Xp#!XpX%!&#!&%X!Xp750.7(c)and764.2(e). #!XpX%!&#!&%X!XpԀ    #!XpX%!&|#!&%X!Xp*****    #!XpX%!&#!&%X!XpDATED:   #!XpX%!&G#!&%X!XpMatthewS.Borman " #!XpX%!&ۥ#!&%X!XpActingAssistantSecretary $  R#!XpX%!& #!&%X!XpforExportAdministration &  R#!XpX%!&۔##XXX!XpCd#!XpXXX R#XXX!XpC#