Lancaster Colony Corporation

Text (OCR of the scan at left; may contain errors)

IN THE MATTER OF .

LANCASTER COLONY CORPORATION, ET AL.

’ CONSENT ORDER, ETC., IN REGARD TO ALLEGED’ VIOLATION OF THE FEDERAL TRADE COMMISSION ACT AND SEC. 7 OF THE CLAYTON. ACT Docket 9101. Complaint, June 12,1977 — Decision, Feb. 1, 1978 This consent order, among other things, requires a Columbus, Ohio manufacturer of machine-made glassware, and a Montvale, N.J. firm, similarly engaged, to ee present the Commission with evidence that their acquisition agreement has * been terminated, and to return to each other all exchanged confidential “documents. Further, during periods set forth’in the order; these firms are required to provide the Commission with: prescribed advance notice of ‘any intention’ to acquire a machine-made glassware business, and refrain from ‘consummating any such transaction, pending final Commission decision. . Appearances2 1 6 0 0 0 652 1317 1314 223 -1 3 1 6 1 0 0 652 1317 1312 123 -1 4 1 6 1 1 0 696 1317 1268 74 -1 5 1 6 1 1 1 696 1318 68 59 97.002792 For5 1 6 1 1 2 779 1345 63 32 96.986740 thes 1 6 1 1 3 851 1322 251 69 88.689682 Commission:5 1 6 1 1 4 1102 1323 111 66 58.838772 Peters 1 6 1 1 5 1224 1348 38 33 90.476013 E.5 1 6 1 1 6 1283 1348 134 36 96.096992 Greene,5 1 6 1 1 7 1435 1350 113 32 92.874733 Brian5 1 6 1 1 8 1562 1350 42 33 91.564781 H.5 1 6 1 1 9 1624 1317 126 74 95.493080 Siegel,5 1 6 1 1 10 1762 1351 157 33 92.704979 Edwards 1 6 1 1 11 1933 1353 31 33 82.249664 S.4 1 6 1 2 0 652 1394 1040 46 -1 5 1 6 1 2 1 652 1394 182 40 93.288521 Atkinson,5 1 6 1 2 2 848 1395 59 44 51.377357 Jr.,5 1 6 1 2 3 921 1395 118 33 96.832573 David5 1 6 1 2 4 1047 1396 37 33 93.324005 J.5 1 6 1 2 5 1092 1387 125 50 95.907730 Saylor5 1 6 1 2 6 1225 1398 71 33 96.609261 ands 1 6 1 2 7 1303 1398 129 41 93.290306 Alfred5 1 6 1 2 8 1440 1392 34 39 91.752998 F.5 1 6 1 2 9 1488 1398 204 42 96.559479 Dougherty.3 1 6 2 0 0 652 1443 1314 97 -1 4 1 6 2 1 0 695 1443 1271 48 -1 5 1 6 2 1 1 695 1443 67 41 96.682854 For5 1 6 2 1 2 777 1440 67 36 97.010475 thes 1 6 2 1 3 848 1437 245 49 96.365471 respondents:5 1 6 2 1 4 1106 1446 160 34 93.265976 Richards 1 6 2 1 5 1276 1447 40 32 93.225922 R.5 1 6 2 1 6 1334 1447 189 41 93.191803 Murphey,5 1 6 2 1 7 1528 1448 59 35 90.092262 Jr.,5 1 6 2 1 8 1605 1449 154 36 96.117401 Dunbar,5 1 6 2 1 9 1776 1443 148 48 90.456703 Kiengle5 1 6 2 1 10 1938 1453 28 31 93.132187 &4 1 6 2 2 0 652 1492 1311 48 -1 5 1 6 2 2 1 652 1483 195 50 64.810760 Murphey,5 1 6 2 2 2 861 1493 199 39 94.316536 Columbus,5 1 6 2 2 3 1089 1495 91 33 96.217308 Ohio5 1 6 2 2 4 1207 1491 71 47 96.582237 ands 1 6 2 2 5 1304 1496 130 41 93.036453 Ralph5 1 6 2 2 6 1459 1497 55 33 91.995430 W..5 1 6 2 2 7 1529 1497 161 36 96.355583 Brenner,5 1 6 2 2 8 1720 1497 243 43 96.039284 Montgomery,2 1 7 0 0 0 651 1542 1387 44 -1 3 1 7 1 0 0 651 1542 1387 44 -1 4 1 7 1 1 0 651 1542 1387 44 -1 5 1 7 1 1 1 651 1538 219 40 96.307381 McCracken,5 1 7 1 1 2 910 1543 134 34 89.728043 Walker5 1 7 1 1 3 1072 1546 28 31 89.728043 &5 1 7 1 1 4 1129 1536 152 45 96.185509 Rhoads,5 1 7 1 1 5 1315 1545 256 41 93.261604 Philadelphia,5 1 7 1 1 6 1602 1547 148 33 87.553192 Pa:.for5 1 7 1 1 7 1777 1548 191 34 0.000000 Lancaster2 1 8 0 0 0 652 1590 1315 94 -1 3 1 8 1 0 0 652 1590 1315 94 -1 4 1 8 1 1 0 652 1590 1315 49 -1 5 1 8 1 1 1 652 1587 133 45 96.317032 Colony5 1 8 1 1 2 808 1591 100 41 96.200630 Corp.5 1 8 1 1 3 933 1593 156 33 95.950760 Edwards 1 8 1 1 4 1119 1594 125 41 79.799042 Wolfe,’5 1 8 1 1 5 1262 1595 109 34 93.027817 Whites 1 8 1 1 6 1396 1597 42 31 93.027817 &5 1 8 1 1 7 1453 1595 91 37 94.456024 Case,5 1 8 1 1 8 1573 1596 90 33 96.965820 News 1 8 1 1 9 1686 1593 97 37 96.814911 Yorks 1 8 1 1 10 1807 1597 82 42 96.522102 City5 1 8 1 1 11 1905 1599 62 33 96.634666 fora 1 8 1 2 0 652 1640 665 44 -1 5 1 8 1 2 1 652 1640 145 34 96.711441 Federal5 1 8 1 2 2 809 1641 114 40 96.501602 Papers 1 8 1 2 3 933 1642 114 33 96.217850 Boards 1 8 1 2 4 1058 1642 180 42 95.876312 Company5 1 8 1 2 5 1248 1644 69 33 96.901939 Inc.2 1 9 0 0 0 1200 1731 213 33 -1 3 1 9 1 0 0 1200 1731 213 33 -1 4 1 9 1 1 0 1200 1731 213 33 -1 5 1 9 1 1 1 1200 1731 213 33 89.120499 COMPLAINT2 1 10 0 0 0 616 1810 1353 341 -1 3 1 10 1 0 0 616 1810 1353 335 -1 4 1 10 1 1 0 668 1810 1296 44 -1 5 1 10 1 1 1 668 1819 2 2 88.021072 _5 1 10 1 1 2 691 1810 73 32 96.197586 Thes 1 10 1 1 3 779 1810 146 34 95.886948 Federal5 1 10 1 1 4 939 1812 114 33 96.484009 Trades 1 10 1 1 5 1066 1812 240 39 96.425186 Commission,5 1 10 1 1 6 1322 1814 132 40 96.400742 having5 1 10 1 1 7 1468 1824 126 24 95.728638 reasons 1 10 1 1 8 1608 1818 38 36 95.728638 to5 1 10 1 1 9 1659 1815 134 33 96.148972 believes 1 10 1 1 10 1807 1817 81 32 96.952240 that5 1 10 1 1 11 1902 1818 62 33 96.972191 thea 1 10 1 2 0 649 1839 1314 66 -1 5 1 10 1 2 1 649 1839 251 65 96.037277 above-named5 1 10 1 2 2 924 1861 239 40 96.290054 respondents,5 1 10 1 2 3 1187 1863 92 33 96.806389 each5 1 10 1 2 4 1289 1863 143 48 96.095963 subjects 1 10 1 2 5 1455 1866 37 30 96.095963 to5 1 10 1 2 6 1514 1864 63 33 96.989861 thes 1 10 1 2 7 1596 1865 222 40 96.878418 jurisdictions 1 10 1 2 8 1843 1861 40 38 96.505257 of5 1 10 1 2 9 1901 1867 62 32 96.805931 thea 1 10 1 3 0 616 1906 1351 47 -1 5 1 10 1 3 1 616 1901 273 46 37.529106 Commission,5 1 10 1 3 2 909 1910 89 33 96.435783 have5 1 10 1 3 3 1018 1911 156 33 96.711632 entered5 1 10 1 3 4 1181 1913 75 31 96.870399 into5 1 10 1 3 5 1275 1909 47 36 96.672043 an5 1 10 1 3 6 1340 1906 209 47 96.200111 acquisitions 1 10 1 3 7 1568 1914 205 39 96.572327 agreements 1 10 1 3 8 1791 1916 124 37 96.904564 which,5 1 10 1 3 9 1936 1917 31 32 96.939026 if4 1 10 1 4 0 648 1957 1313 47 -1 5 1 10 1 4 1 648 1957 274 43 96.393181 consummated,5 1 10 1 4 2 953 1960 115 32 96.230156 would5 1 10 1 4 3 1098 1962 129 39 96.342545 violates 1 10 1 4 4 1257 1961 140 43 96.373230 Sections 1 10 1 4 5 1427 1962 20 33 96.634483 75 1 10 1 4 6 1478 1963 39 33 96.209457 of5 1 10 1 4 7 1542 1963 78 33 56.931133 thes 1 10 1 4 8 1627 1962 175 42 56.931133 Clayton5 1 10 1 4 9 1814 1965 76 38 88.357101 Act,5 1 10 1 4 10 1921 1976 40 23 86.765915 as4 1 10 1 5 0 618 2003 1351 45 -1 5 1 10 1 5 1 618 1998 211 47 57.866905 _amended,5 1 10 1 5 2 866 2008 62 33 31.461311 15.5 1 10 1 5 3 939 2008 116 34 31.461311 U.S.C.5 1 10 1 5 4 1080 2002 61 46 95.546700 18,5 1 10 1 5 5 1175 2002 76 47 95.165535 ands 1 10 1 5 6 1279 2010 139 34 95.165535 Sections 1 10 1 5 7 1453 2012 20 32 96.010292 55 1 10 1 5 8 1505 2013 40 32 96.010292 of5 1 10 1 5 9 1573 2013 63 33 96.713516 thes 1 10 1 5 10 1669 2013 145 34 90.249413 Federal5 1 10 1 5 11 1848 2015 121 33 90.249413 Trade4 1 10 1 6 0 646 2057 1315 51 -1 5 1 10 1 6 1 646 2057 220 32 96.575806 Commissions 1 10 1 6 2 883 2059 71 37 97.000992 Act,5 1 10 1 6 3 972 2069 35 22 96.934746 as5 1 10 1 6 4 1012 2060 181 38 96.777466 amended,5 1 10 1 6 5 1216 2061 33 31 96.154045 155 1 10 1 6 6 1267 2061 113 32 95.584045 U.S.C.5 1 10 1 6 7 1396 2062 50 37 95.584045 45,5 1 10 1 6 8 1462 2062 70 32 95.961250 that5 1 10 1 6 9 1546 2062 70 32 95.961250 said5 1 10 1 6 10 1631 2068 184 40 96.732407 agreements 1 10 1 6 11 1831 2064 130 47 96.964523 already4 1 10 1 7 0 644 2106 1314 45 -1 5 1 10 1 7 1 644 2106 191 33 96.096085 constitutes5 1 10 1 7 2 848 2118 19 22 96.096085 a5 1 10 1 7 3 880 2109 156 32 96.295425 violations 1 10 1 7 4 1048 2109 40 32 96.992004 of5 1 10 1 7 5 1096 2109 53 33 96.776085 thes 1 10 1 7 6 1162 2110 134 33 96.998085 Federal5 1 10 1 7 7 1308 2103 104 40 96.455376 Trades 1 10 1 7 8 1424 2104 218 40 96.622330 Commissions 1 10 1 7 9 1655 2113 72 36 96.857292 Act,5 1 10 1 7 10 1741 2122 35 21 96.529053 as5 1 10 1 7 11 1788 2109 170 42 96.434792 amended,2 1 11 0 0 0 592 2155 1366 50 -1 3 1 11 1 0 0 592 2155 1366 50 -1 4 1 11 1 1 0 592 2155 1366 50 -1 5 1 11 1 1 1 592 2156 119 31 0.000000 --and.5 1 11 1 1 2 730 2155 69 33 93.802704 that5 1 11 1 1 3 815 2166 19 22 93.802704 a5 1 11 1 1 4 850 2153 221 49 96.802650 proceedings 1 11 1 1 5 1063 2169 32 22 96.982765 in5 1 11 1 1 6 1112 2164 124 39 96.849915 respects 1 11 1 1 7 1253 2160 128 32 96.849915 thereof5 1 11 1 1 8 1392 2160 108 33 96.929153 would5 1 11 1 1 9 1516 2149 32 60 96.890717 be5 1 11 1 1 10 1575 2171 32 22 96.606728 in5 1 11 1 1 11 1624 2160 52 33 96.596405 thes 1 11 1 1 12 1693 2161 111 44 96.596405 public5 1 11 1 1 13 1820 2156 138 44 96.907021 interest,2 1 12 0 0 0 638 2204 1320 147 -1 3 1 12 1 0 0 638 2204 1320 147 -1 4 1 12 1 1 0 644 2204 1314 50 -1 5 1 12 1 1 1 644 2196 144 52 96.864876 hereby5 1 12 1 1 2 779 2215 101 23 93.765846 issues5 1 12 1 1 3 894 2207 39 32 93.765846 its5 1 12 1 1 4 947 2200 188 51 96.883240 complaint,5 1 12 1 1 5 1148 2214 158 38 96.933594 pursuant5 1 12 1 1 6 1319 2215 34 27 96.831741 to5 1 12 1 1 7 1367 2202 129 50 96.831741 Sections 1 12 1 1 8 1513 2211 32 31 82.920013 115 1 12 1 1 9 1564 2211 39 31 96.591675 of5 1 12 1 1 10 1612 2211 52 31 96.951744 thes 1 12 1 1 11 1677 2211 142 43 96.922371 Clayton5 1 12 1 1 12 1832 2212 72 37 96.594353 Act,5 1 12 1 1 13 1924 2213 34 31 96.976906 154 1 12 1 2 0 646 2255 1311 57 -1 5 1 12 1 2 1 646 2255 120 40 0.000000 U.S.C.5 1 12 1 2 2 781 2255 50 38 70.072449 21,5 1 12 1 2 3 852 2247 65 41 85.729645 ands 1 12 1 2 4 937 2257 129 43 92.863670 Sections 1 12 1 2 5 1086 2258 79 41 92.559616 5(b),5 1 12 1 2 6 1184 2259 47 34 96.661530 of5 1 12 1 2 7 1238 2259 55 32 96.661530 thes 1 12 1 2 8 1313 2259 132 33 96.665543 Federal5 1 12 1 2 9 1465 2249 106 43 96.876701 Trades 1 12 1 2 10 1588 2256 219 56 96.598396 Commissions 1 12 1 2 11 1827 2254 71 45 96.426605 Act,5 1 12 1 2 12 1923 2262 34 31 96.660210 154 1 12 1 3 0 638 2304 756 47 -1 5 1 12 1 3 1 638 2304 122 32 40.907497 ‘U.S.C.5 1 12 1 3 2 772 2305 101 41 76.567780 45(b),5 1 12 1 3 3 886 2307 120 43 96.981522 stating5 1 12 1 3 4 1016 2307 39 32 96.852493 its5 1 12 1 3 5 1066 2307 133 44 90.338020 charges5 1 12 1 3 6 1210 2318 36 22 90.338020 as5 1 12 1 3 7 1258 2308 136 33 96.509216 follows:2 1 13 0 0 0 1196 2395 206 120 -1 3 1 13 1 0 0 1196 2395 206 120 -1 4 1 13 1 1 0 1292 2395 15 33 -1 5 1 13 1 1 1 1292 2395 15 33 96.882896 I4 1 13 1 2 0 1196 2491 206 24 -1 5 1 13 1 2 1 1196 2477 209 49 95.916718 DEFINITION2 1 14 0 0 0 684 2541 1269 71 -1 3 1 14 1 0 0 684 2541 1269 71 -1 4 1 14 1 1 0 684 2541 1269 71 -1 5 1 14 1 1 1 684 2542 46 48 78.479889 15 1 14 1 1 2 756 2562 68 33 96.122391 For5 1 14 1 1 3 847 2563 61 32 96.122391 thes 1 14 1 1 4 932 2573 150 31 69.498596 purposes 1 14 1 1 5 1105 2565 40 32 69.498596 of5 1 14 1 1 6 1163 2565 89 33 96.672348 this5 1 14 1 1 7 1259 2565 201 40 95.377464 complaint,5 1 14 1 1 8 1484 2566 63 33 95.377464 thes 1 14 1 1 9 1570 2566 176 41 92.924881 following5 1 14 1 1 10 1763 2541 190 71 95.623764 definition . Complaint 91 FTC.

shall apply: “Machine-made glassware” m means all moderately. priced ae soda-lime glass beverageware, tableware, food preparation glassware — and novelty and ornamental glassware items produced by. machine . and employed i in everyday use. & cia Federal Paper Board Company, Inc. ‘ 2. Federal Paper Board’ Company, Inc. (Federal Paper) is a corporation organized and existing under the laws of the State of New York, with a principal place of business at 75 Chestnut Ridge Road, Montvale, New Jersey.

3. Federal Paper through. its unincorporated Federal Glass Company division (F.G.D.) produces machine-made glassware. and sells said machine-made glassware throughout the United States. z 4. In its fiscal year ended January 1, 1977, Federal Paper had net sales of approximately $393,580,000, and net income of approximately $22,589,000; F.G.D. had net sales of approximately $50,000,000.and income before allocation for taxes. and corporate overhead of approximately $4,000,000.

5. F.G.D. is the third largest manufacturer of. machine-made glassware in the United States.

6. F.G.D. is now and for many years has been a member of the American Glassware Association, which is a trade association made up of the major domestic manufacturers of machine-mede glassware. | Ill LANCASTER COLONY CORPORATION 7. Lancaster Colony Corporation (Lancaster Colony) is a corporation organized and existing under the laws of the State of Delaware, with a principal place of business at 37 West Broad St., Columbus, Ohio.

8. Lancaster Colony, through its subsidiary Indiana Glass Company, an Indiana corporation, produces machine-made glassware, and sells said machine-made glassware throughout the United States. Lancaster Colony also produces machine-made glassware through its subsidiary Lancaster Glass Corporation, and sells said machine-made glassware throughout the United States. 9. In its fiscal year ended June 30, 1976, Lancaster Colony had sales of approximately $174,500,000 and net income of approximately _ $8,236,000. Indiana Glass Company had sales of machine-made LANCASTER COLONY CORP., ET AL. “115 113: Complaint glassware of approximately $36,488,445, and Lancaster Glass Company had sales of machine-made glassware of approximately $382,000. 10. Indiana Glass Company is the fifth largest manufacturer of -machine-made glassware in the United States. 11. Indiana Glass Company is and for many years has been a member of the American Glassware Association, which is a trade _association made up of the major domestic manufacturers of machine-made glassware.

IV JURISDICTION | 12. At all times relevant herein Federal Paper and Lancaster Colony have been engaged i in the manufacture and sale of machinemade glassware in interstate commerce and are engaged in commerce as “commerce” is defined in Section 1 of the Clayton Act, as amended, 15 U.S.C. 12, and each is a corporation whose business is -in or affecting commerce, as “commerce” is defined in Section 4 of the Federal Trade Commission Act, as amended, 15 U.S.C. 44. Vv THE ACQUISITION AGREEMENT “18. On or about March 4, 1977 Federal Paper and Lancaster Colony agreed in principle to the acquisition by Lancaster Colony of all F.G.D. assets of Federal Paper. The proposed purchase agreement provides, inter alia, for the sale of the F.G.D. assets of Federal Paper in exchange for approximately $45, 000, 000. TRADE AND COMMERCE 14. Relevant lines of commerce are the manufacture and sale of machine-made glassware and submarkets thereof. 15. A relevant section of the country or geographic market is the entire United States.

16." The United States machine-made glassware market is highly concentrated with the combined market share of the four. largest manufacturers estimated to be approximately 70 percent. 17. Barriers to entry into the manufacture of machine-made ~!~ceware and submarkets thereof are substantial. M6 FEDERAL TRADE COMMISSION DECISIONS ee Complaint gt FTC.

2 ACTUAL COMPETITION.

18. Federal Paper and Lancaster Colony: are anid’ have been for pe many years actual competitors of each other in the manufacture and sale of machine-made glassware and submarkets thereof, and actual _ _ competitors of others engaged in the manufacture and sale of machine-made glassware and submarkets thereof. throughout ‘the United States.

vil ~ BFFECTS 19. The effect of the proposed acquisition may be to substantially lessen competition or tend to create a monopoly. in the relevant — market in violation of Section. 7 of the Clayton Act, as amended, 15 U.S.C. 18, or Section 5 of the Federal Trade Commission Act, as amended, 15 U.S.C. 45, in the following ways, among others: (a) actual competition between Federal Paper and Lancaster Colony in the manufacture and sale of machine-made glassware and _ submarkets thereof will be eliminated;

(b) actual competition between competitors generally inthe manufacture and sale of machine-made glassware and submarkets thereof may be lessened;

(c) Federal Paper will be eliminated as an actual substantial independent competitor in the manufacture and sale of machinemade glassware and submarkets thereof; ; (d) concentration. in the manufacture and sale of machine-made glassware and submarkets thereof will be increased and possibilities for eventual deconcentration may be diminished; (e) mergers or acquisitions between other machine-made glassware manufacturers may be fostered, thus causing a further substantial lessening of competition and. tendency toward monopoly in the relevant markets.

ox “VIOLATIONS CHARGED 20. The proposed acquisition by Lancaster Colony of the F.G.D. assets of Federal Paper (if consummated), the proposed: Purchase Agreement between Lancaster Colony and Federal Paper (if executed), and the agreement in principle between Lancaster Colony ~ and Federal Paper, constitute violations of Section 7 of the Clavte~ — LANCASTER COLONY CORP., ET AL. 117 113 Decision and Order Act, as amended, 15 U.S.C. 18, and are or would be unfair acts, practices or methods of competition in violation of Section 5 of the Federal Trade Commission Act, as amended, 15 U.S.C. 45. DECISION AND ORDER The Commission having heretofore issued its complaint charging the respondents named in the caption hereof with violation of Section 5 of the Federal Trade Commission Act, as amended, and Section 7 of the Clayton Act, and the respondents having been served with a copy of that complaint, together with a notice of contemplated relief; and The respondents, their attorneys, and counsel for the Commission having thereafter executed an agreement containing a consent order, an admission by the respondents of all the jurisdictional facts set forth in the complaint, a statement, that the signing of said agreement is for settlement purposes only and does not constitute an admission by respondents that the law has been violated as alleged in such complaint, and waivers and other provisions as required by the Commission’s Rules; and The Secretary of the Commission having thereafter withdrawn this matter from adjudication in accordance with Section 3.25(c) of its Rules; and The Commission having considered the matter and having thereupon accepted the executed consent agreement and placed such agreement on the public record for a period of sixty (60) days, now in further conformity with the procedure prescribed in Section 3.25(f) of its Rules, the Commission hereby makes the following jurisdictional findings and enters the following order: 1. Respondent Lancaster Colony Corporation is a corporation, existing and doing business under and by virtue of the laws of the State of Delaware, with its office and principal place of business located in the City of Columbus, State of Ohio. 2. Respondent Federal Paper Board Company, Inc. is a corporation, existing and doing business under and by virtue of the laws of the State of New York, with its office and principal place of business located in the City of Montvale, State of New Jersey. 8. The Federal Trade Commission has jurisdiction of the subject matter of this proceeding and of the respondents, and the proceeding -~hin interest.

- Decision and Order 9 FTC.

ORDER Definition __. For the purposes of this order the following definition shall ply: “Machine-made glassware” means all moderately priced soda-lime glass beverageware, tableware, food preparation glassware and novelty and ornamental glassware items produced by machine and employed in everyday use.

I it is ordered, That: Lancaster Colony: Corporation (Lancaster Colony) and Federal Paper Board Company, Inc. (Federal Paper) do forthwith provide evidence that the agreement (acquisition agreement) whereby Lancaster Colony agreed to purchase all or substantially all of the assets of Federal Paper used by it in its business of : the manufacture and sale of machine-made glassware which is conducted through its unincorporated Federal Glass Company Division has been terminated and each shall use its best efforts to forthwith return any confidential documents provided by either Lancaster Colony or Federal Paper to the other in connection with ‘the acquisition agreement. Nothing herein contained shall. relieve — any party from any obligations. of confidentiality imposed by agreement between them or by operation of law. Il It is further ordered, That until December 31, 1980 neither Lancaster Colony nor Federal Paper shall acquire either directly or indirectly any part of the machine-made glassware business of the other, whether represented by securities or assets (other than products and securities acquired in the regular course of business) until sixty (60) days following receipt. by the Director of the Bureau of Competition of the Federal Trade Commission of written notice of the proposed acquisition, which notice shall specifically refer to this order. If within sixty (60) days of receipt by the Director of said | notice the Commission issues an administrative complaint challenging the proposed acquisition such proposed acquisition shall not be consummated nor shall any steps be taken to effectuate such proposed acquisition until the administrative complaint issued by the Commission is dismissed by the Commission, or until a final order as defined in 15 U.S.C: 21 and 45 is entered, or until a consent order is entered and served upon the respondents in that administraive proceeding. If within the aforesaid sixty (69) dow- ++ - ~ LANCASTER COLONY CORP., ET AL. 119 113 ' Decision and Order Competition receives any additional written position papers from either Lancaster Colony or Federal Paper and the Bureau recommends the issuance of a complaint, the Bureau shall promptly forward to the Commission such papers together with the written notice submitted to the Bureau Director. In the event that within sixty (60) days of the Director’s receipt of the said notice the Commission issues an administrative complaint. challenging the proposed acquisition the Bureau of Competition shall exert its best efforts to complete the administrative proceeding in an expedited manner.

Ill It is further ordered, That until December 31, 1978 Lancaster Colony and Federal Paper each shall notify the Director of the Bureau of Competition of the Federal Trade Commission thirty (30) days prior to the consummation of any acquisition, merger, or sale of any of its machine-made glassware business, whether direct or indirect, (other than products and securities acquired or sold in the — regular course of business) if (a) such transaction is with any company engaged in the business of manufacture and domestic sale of machine-made glassware; and (b) such company for the year preceding such transaction had total domestic sales of such machinemade glassware of $10,000,000 or more. Such notice shall contain all information requested by the Commission’s pre-merger notification program (39 F.R. 35717-8, Oct. 3, 1974) on the forms as found in 1 CCH Trade Reg. Rep. § 4540. If, during the period in which this paragraph is in effect the rules and notification report forms to implement Section 7A of the Clayton Act become effective, this paragraph shall from that date forward have no further effect. IV It is further ordered, That Lancaster Colony and Federal Paper each shall notify the Commission at least thirty (30) days prior to any proposed corporate change such as dissolution, assignment, or sale resulting in the emergence of a successor corporation, the creation or dissolution of subsidiaries or any other change, which may affect compliance obligations arising out of this order. Vv It is further ordered, That Lancaster Colony and Federal Paper each shall, within sixty (60) days after service upon it of this order Decision and Order 91 F.T.C.

file with the Commission a written report setting forth in detail the manner and form in which it has complied with this order. AMERICAN CREDIT BUREAU, INC., ET AL. 121 121 Interlocutory Order