Alimentation Couche-Tard Inc. and CrossAmerica Partners LP; Analysis To Aid Public Comment, 57265-57267 [2017-26012]
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Federal Register / Vol. 82, No. 231 / Monday, December 4, 2017 / Notices
CFR 78.27(b)(1) require the licensee of
a Cable Television Relay Service (CARS)
station to notify the Commission in
writing when the station commences
operation. Such notification shall be
submitted on or before the last day of
the authorized one year construction
period; otherwise, the station license
shall be automatically forfeited. The
information collection requirements
contained in 47 CFR 78.27(b)(2) require
CARS licensees needing additional time
to complete construction of the station
and commence operation shall request
an extension of time 30 days before the
expiration of the one year construction
period. Exceptions to the 30-day
advance filing requirement may be
granted where unanticipated delays
occur.
Federal Communications Commission.
Katura Jackson,
Federal Register Liaison Officer, Office of the
Secretary.
[FR Doc. 2017–25954 Filed 12–1–17; 8:45 am]
sradovich on DSK3GMQ082PROD with NOTICES
BILLING CODE 6712–01–P
Proposed Final Audit Report on the
Conservative Majority Fund (A13–17)
FY 2017 Annual FOIA Report
Management and Administrative
Matters
CONTACT PERSON FOR MORE INFORMATION:
Judith Ingram, Press Officer, Telephone:
(202) 694–1220.
Individuals who plan to attend and
require special assistance, such as sign
language interpretation or other
reasonable accommodations, should
contact Dayna C. Brown, Secretary and
Clerk, at (202) 694–1040, at least 72
hours prior to the meeting date.
Dayna C. Brown,
Secretary and Clerk of the Commission.
[FR Doc. 2017–26207 Filed 11–30–17; 4:15 pm]
BILLING CODE 6715–01–P
18:22 Dec 01, 2017
Jkt 244001
2016; to acquire/retain shares of First
Team Resources Corporation, Derby,
Kansas, and thereby retain/acquire
shares of Verus Bank, Derby Kansas.
Board of Governors of the Federal Reserve
System, November 29, 2017.
Ann E. Misback,
Secretary of the Board.
[FR Doc. 2017–26054 Filed 12–1–17; 8:45 am]
BILLING CODE 6210–01–P
FEDERAL TRADE COMMISSION
[File No. 171 0207]
Alimentation Couche-Tard Inc. and
CrossAmerica Partners LP; Analysis
To Aid Public Comment
ACTION:
FEDERAL RESERVE SYSTEM
Change in Bank Control Notices;
Acquisitions of Shares of a Bank or
Bank Holding Company
PO 00000
Frm 00071
Fmt 4703
Federal Trade Commission.
Proposed consent agreement.
AGENCY:
The notificants listed below have
applied under the Change in Bank
FEDERAL ELECTION COMMISSION
Control Act (12 U.S.C. 1817(j)) and
§ 225.41 of the Board’s Regulation Y (12
Notice of Agency Relocation
CFR 225.41) to acquire shares of a bank
The Federal Election Commission will or bank holding company. The factors
that are considered in acting on the
be moving to a new location in early
notices are set forth in paragraph 7 of
2018. Specific information, including
the Act (12 U.S.C. 1817(j)(7)).
move dates and delivery instructions
The notices are available for
during the transition period, will be
immediate inspection at the Federal
forthcoming.
Reserve Bank indicated. The notices
Contact Person for More Information:
Judith Ingram, Press Officer, Telephone: also will be available for inspection at
the offices of the Board of Governors.
(202) 694–1220.
Interested persons may express their
Dayna C. Brown,
views in writing to the Reserve Bank
Secretary and Clerk of the Commission.
indicated for that notice or to the offices
[FR Doc. 2017–25950 Filed 12–1–17; 8:45 am]
of the Board of Governors. Comments
BILLING CODE 6715–01–P
must be received not later than
December 20, 2017.
A. Federal Reserve Bank of Kansas
FEDERAL ELECTION COMMISSION
City (Dennis Denney, Assistant Vice
President) 1 Memorial Drive, Kansas
Sunshine Act Meeting
City, Missouri 64198–0001:
1. Peter Chase, Eastborough, Kansas
TIME AND DATE: Thursday, December 7,
and members of the Chase Family
2017 at 10:00 a.m.
control group, Cynthia Chase, Derby,
PLACE: 999 E Street NW., Washington,
Kansas; Kyler Chase, Minneapolis,
DC (ninth floor).
Minnesota; Brayden Chase, Overland
STATUS: This meeting will be open to the Park, Kansas; Jantzen Chase, Shawnee,
public.
Kansas; The Kevin Chase and Cindy
Chase Living Trust dated December 31,
MATTERS TO BE CONSIDERED:
2016; The Alex J. Chase Irrevocable
Audit Division Recommendation
Trust dated December 13, 2016; The
Memorandum on the NY Republican
Addison S. Chase Irrevocable Trust
Federal Campaign Committee (NYR)
dated December 31, 2016; The Kyler J.
(A13–11)
Chase Irrevocable Trust dated December
Audit Division Recommendation
13, 2016; the Brayden J. Chase
Memorandum on the Hawaii
Irrevocable Trust dated December 13,
Democratic Party (HDP) (A13–07)
2016; and The Jantzen J. Chase
Proposed Final Audit Report on the
Irrevocable Trust dated December 13,
Freedom’s Defense Fund (A13–14)
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The consent agreement in this
matter settles alleged violations of
federal law prohibiting unfair methods
of competition. The attached Analysis to
Aid Public Comment describes both the
allegations in the complaint and the
terms of the consent orders—embodied
in the consent agreement—that would
settle these allegations.
DATES: Comments must be received on
or before December 22, 2017.
ADDRESSES: Interested parties may file a
comment online or on paper, by
following the instructions in the
Request for Comment part of the
SUPPLEMENTARY INFORMATION section
below. Write: ‘‘In the Matter of ACT/Jet
Pep, Inc., File No. 171 0207’’ on your
comment, and file your comment online
at https://ftcpublic.commentworks.com/
ftc/actconsent by following the
instructions on the web-based form. If
you prefer to file your comment on
paper, write ‘‘In the Matter of ACT/Jet
Pep, Inc., File No. 171 0207’’ on your
comment and on the envelope, and mail
your comment to the following address:
Federal Trade Commission, Office of the
Secretary, 600 Pennsylvania Avenue
NW., Suite CC–5610 (Annex D),
Washington, DC 20580, or deliver your
comment to the following address:
Federal Trade Commission, Office of the
Secretary, Constitution Center, 400 7th
Street SW., 5th Floor, Suite 5610
(Annex D), Washington, DC 20024.
FOR FURTHER INFORMATION CONTACT: Kara
Todd, (202–326–2015), Bureau of
Competition, 600 Pennsylvania Avenue
NW., Washington, DC 20580.
SUPPLEMENTARY INFORMATION: Pursuant
to Section 6(f) of the Federal Trade
Commission Act, 15 U.S.C. 46(f), and
FTC Rule 2.34, 16 CFR 2.34, notice is
hereby given that the above-captioned
SUMMARY:
E:\FR\FM\04DEN1.SGM
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57266
Federal Register / Vol. 82, No. 231 / Monday, December 4, 2017 / Notices
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 thirty (30) 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 November 22, 2017), on
the World Wide Web, at https://
www.ftc.gov/news-events/commissionactions.
You can file a comment online or on
paper. For the Commission to consider
your comment, we must receive it on or
before December 22, 2017. Write ‘‘In the
Matter of ACT/Jet Pep, Inc., File No. 171
0207’’ on your comment. Your
comment—including your name and
your state—will be placed on the public
record of this proceeding, including, to
the extent practicable, on the public
Commission Web site, at https://
www.ftc.gov/policy/public-comments.
Postal mail addressed to the
Commission is subject to delay due to
heightened security screening. As a
result, we encourage you to submit your
comments online. To make sure that the
Commission considers your online
comment, you must file it at https://
ftcpublic.commentworks.com/ftc/
actconsent by following the instructions
on the web-based form. If this Notice
appears at https://www.regulations.gov/
#!home, you also may file a comment
through that Web site.
If you prefer to file your comment on
paper, write ‘‘In the Matter of ACT/Jet
Pep, Inc., File No. 171 0207’’ on your
comment and on the envelope, and mail
your comment to the following address:
Federal Trade Commission, Office of the
Secretary, 600 Pennsylvania Avenue
NW., Suite CC–5610 (Annex D),
Washington, DC 20580, or deliver your
comment to the following address:
Federal Trade Commission, Office of the
Secretary, Constitution Center, 400 7th
Street SW., 5th Floor, Suite 5610
(Annex D), Washington, DC 20024. If
possible, submit your paper comment to
the Commission by courier or overnight
service.
Because your comment will be placed
on the publicly accessible FTC Web site
at https://www.ftc.gov, you are solely
responsible for making sure that your
comment does not include any sensitive
or confidential information. In
particular, your comment should not
include any sensitive personal
information, such as your or anyone
else’s Social Security number; date of
birth; driver’s license number or other
VerDate Sep<11>2014
18:22 Dec 01, 2017
Jkt 244001
state identification number, or foreign
country equivalent; passport number;
financial account number; or credit or
debit card number. You are also solely
responsible for making sure that your
comment does not include any sensitive
health information, such as medical
records or other individually
identifiable health information. In
addition, your comment should not
include any ‘‘trade secret or any
commercial or financial information
which . . . is privileged or
confidential’’—as provided by Section
6(f) of the FTC Act, 15 U.S.C. 46(f), and
FTC Rule 4.10(a)(2), 16 CFR 4.10(a)(2)—
including in particular competitively
sensitive information such as costs,
sales statistics, inventories, formulas,
patterns, devices, manufacturing
processes, or customer names.
Comments containing material for
which confidential treatment is
requested must be filed in paper form,
must be clearly labeled ‘‘Confidential,’’
and must comply with FTC Rule 4.9(c).
In particular, the written request for
confidential treatment that accompanies
the comment must include the factual
and legal basis for the request, and must
identify the specific portions of the
comment to be withheld from the public
record. See FTC Rule 4.9(c). Your
comment will be kept confidential only
if the General Counsel grants your
request in accordance with the law and
the public interest. Once your comment
has been posted on the public FTC Web
site—as legally required by FTC Rule
4.9(b)—we cannot redact or remove
your comment from the FTC Web site,
unless you submit a confidentiality
request that meets the requirements for
such treatment under FTC Rule 4.9(c),
and the General Counsel grants that
request.
Visit the FTC Web site at https://
www.ftc.gov to read this Notice and the
news release describing it. The FTC Act
and other laws that the Commission
administers permit the collection of
public comments to consider and use in
this proceeding, as appropriate. The
Commission will consider all timely
and responsive public comments that it
receives on or before December 22,
2017. For information on the
Commission’s privacy policy, including
routine uses permitted by the Privacy
Act, see https://www.ftc.gov/siteinformation/privacy-policy.
Analysis of Agreement Containing
Consent Orders To Aid Public Comment
I. Introduction
The Federal Trade Commission
(‘‘Commission’’) has accepted for public
comment, subject to final approval, an
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Agreement Containing Consent Orders
(‘‘Consent Agreement’’) from
Alimentation Couche-Tard Inc. (‘‘ACT’’)
and CrossAmerica Partners LP (‘‘CAPL’’)
(collectively, the ‘‘Respondents’’). The
Consent Agreement is designed to
remedy the anticompetitive effects that
likely would result from the proposed
acquisition of Jet-Pep, Inc. (‘‘Jet-Pep’’)
assets.
Under the terms of the proposed
Consent Agreement, ACT and CAPL
must divest to a Commission-approved
buyer (or buyers) certain Jet-Pep retail
fuel outlets and related assets in three
local markets in Alabama. ACT must
complete the divestiture no later than
120 days after the closing of ACT’s
acquisition of Jet-Pep. The Commission
and Respondents have agreed to an
Order to Maintain Assets that requires
Respondents to operate and maintain
each divestiture outlet in the normal
course of business until a Commissionapproved buyer acquires the outlet.
The Commission has placed the
proposed Consent Agreement on the
public record for 30 days to solicit
comments from interested persons.
Comments received during this period
will become part of the public record.
After 30 days, the Commission will
again review the proposed Consent
Agreement and the comments received,
and will decide whether it should
withdraw from the Consent Agreement,
modify it, or make it final.
II. The Respondents
Respondent ACT, a publicly traded
company headquartered in Laval,
Quebec, Canada, operates convenience
stores and retail fuel outlets throughout
the United States and the world. ACT is
the parent of wholly owned subsidiary,
Circle K Stores Inc. (‘‘Circle K’’). ACT’s
current U.S. network consists of
approximately 7,200 stores located in 42
states, making ACT the second-largest
retail fuel chain in the country. ACT
convenience store locations operate
primarily under the Circle K and
Kangaroo Express banners, while its
retail fuel outlets provide a variety of
company unbranded and third-party
branded fuels. ACT owns 158 retail fuel
outlets in Alabama.
Respondent CAPL, a publicly traded
master limited partnership
headquartered in Allentown,
Pennsylvania, markets fuel at wholesale,
and owns and operates convenience
stores and retail fuel outlets. ACT, via
Circle K, acquired CST Brands, Inc.
(‘‘CST’’) in June 2017, which gave Circle
K operational control and management
of CAPL. CAPL supplies fuel to nearly
1,200 sites across 29 states, but it does
not operate in Alabama.
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Federal Register / Vol. 82, No. 231 / Monday, December 4, 2017 / Notices
III. The Proposed Acquisition
Through three separate agreements
(collectively ‘‘the Acquisition’’), ACT
will acquire ownership or operation of
120 Jet-Pep retail fuel outlets with
attached convenience stores. Circle K
intends to acquire 18 retail fuel outlets
and Jet-Pep’s terminal and related
assets. CAPL will acquire the remaining
102 Jet-Pep retail fuel outlets. The
Acquisition is not reportable under the
Hart-Scott-Rodino Antitrust
Improvements Act of 1976, 15 U.S.C.
18a (‘‘HSR Act’’). The Acquisition
would extend ACT’s position as one of
the largest operators of retail fuel outlets
in the United States.
The proposed Complaint alleges that
the Acquisition, if consummated, would
violate Section 7 of the Clayton Act, as
amended, 15 U.S.C. 18, and Section 5 of
the Federal Trade Commission Act, as
amended, 15 U.S.C. 45, by substantially
lessening competition for the retail sale
of gasoline and diesel in three local
markets in Alabama. The proposed
Complaint further alleges that
Acquisition agreements constitute a
violation of Section 5 of the FTC Act, as
amended, 15 U.S.C. 45.
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IV. The Complaint
As alleged in the proposed Complaint,
the relevant product markets in which
to analyze the Acquisition are the retail
sale of gasoline and the retail sale of
diesel. The retail sale of gasoline and
the retail sale of diesel constitute
separate relevant markets because the
two are not interchangeable. Consumers
require gasoline for their gasolinepowered vehicles and can purchase
gasoline only at retail fuel outlets.
Likewise, consumers require diesel for
their diesel-powered vehicles and can
purchase diesel only at retail fuel
outlets.
The proposed Complaint alleges the
relevant geographic markets in which to
assess the competitive effects of the
Acquisition are three local areas in
Brewton, Monroeville, and Valley,
Alabama. Each particular geographic
market is unique, with factors such as
commuting patterns, traffic flows, and
outlet characteristics playing important
roles in determining the scope of the
geographic market. Retail fuel markets
are highly localized and can range in
size up to a few miles.
According to the proposed Complaint,
the Acquisition would reduce the
number of independent market
participants in each market to three or
fewer. The Acquisition would thereby
substantially lessen competition in
these local markets by increasing the
likelihood that ACT will unilaterally
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18:22 Dec 01, 2017
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exercise market power and by
increasing the likelihood of successful
coordination among the remaining
firms. Absent relief, the Acquisition
would likely result in higher prices in
each of the three local markets.
The proposed Complaint alleges that
entry into each relevant market would
not be timely, likely, or sufficient to
deter or counteract the anticompetitive
effects arising from the Acquisition.
Barriers to entry include the availability
of attractive real estate, the time and
cost associated with constructing a new
retail fuel outlet, and the time
associated with obtaining necessary
permits and approvals.
V. The Consent Agreement
The proposed Consent Agreement
would remedy the Acquisition’s likely
anticompetitive effects by requiring
ACT to divest certain Jet-Pep retail fuel
outlets and related assets in three local
markets.
The proposed Consent Agreement
requires that the divestiture occur no
later than 120 days after ACT
consummates the Acquisition. This
Agreement protects the Commission’s
ability to obtain complete and effective
relief in light of the non-reportable
nature of the Acquisition and the small
number of outlets to be divested.
Further, based on Commission staff’s
investigation, the Commission believes
that ACT can identify an acceptable
buyer (or buyers) within 120 days.
The proposed Consent Agreement
further requires ACT to maintain the
economic viability, marketability, and
competitiveness of each divestiture
asset until the Commission approves a
buyer (or buyers) and the divestiture is
complete. For up to twelve months
following the divestiture, ACT must
make available transitional services, as
needed, to assist the buyer of each
divestiture asset.
In addition to requiring outlet
divestitures, the proposed Consent
Agreement also requires ACT to provide
the Commission notice before acquiring
designated outlets in the three local
areas for ten years. The prior notice
provision is necessary because
acquisitions of the designated outlets
likely raise competitive concerns and
may fall below the HSR Act premerger
notification thresholds.
The proposed Consent Agreement
contains additional provisions designed
to ensure the effectiveness of the
proposed relief. For example,
Respondents have agreed to an Order to
Maintain Assets that will issue at the
time the proposed Consent Agreement is
accepted for public comment. The Order
to Maintain Assets requires
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Fmt 4703
Sfmt 4703
57267
Respondents to operate and maintain
each divestiture outlet in the normal
course of business, through the date the
Respondents’ complete divestiture of
the outlet. During this period, and until
such time as the buyer (or buyers) no
longer requires transitional assistance,
the Order to Maintain Assets authorizes
the Commission to appoint an
independent third party as a Monitor to
oversee the Respondents’ compliance
with the requirements of the proposed
Consent Agreement.
The purpose of this analysis is to
facilitate public comment on the
proposed Consent agreement, and the
Commission does not intend this
analysis to constitute an official
interpretation of the proposed Consent
Agreement or to modify its terms in any
way.
By direction of the Commission.
Donald S. Clark,
Secretary.
[FR Doc. 2017–26012 Filed 12–1–17; 8:45 am]
BILLING CODE 6750–01–P
GENERAL SERVICES
ADMINISTRATION
[OMB Control No. 3090–0293; Docket No.
2017–0001; Sequence 9]
Information Collection; Reporting and
Use of Information Concerning
Integrity and Performance of
Recipients of Grants and Cooperative
Agreements
Office of Technology Strategy/
Office of Government-wide Policy,
General Services Administration (GSA).
ACTION: Notice of request for public
comments regarding an extension to an
existing OMB clearance.
AGENCY:
Under the provisions of the
Paperwork Reduction Act, the
Regulatory Secretariat Division (MVCB)
will be submitting to the Office of
Management and Budget (OMB) a
request to review and approve an
extension of the currently approved
information collection requirement
concerning the reporting and use of
information concerning integrity and
performance of recipients of grants and
cooperative agreements.
DATES: Submit comments on or before
February 2, 2018.
ADDRESSES: Submit comments
identified by Information Collection
3090–0293, Reporting and Use of
Information Concerning Integrity and
Performance of Recipients of Grants and
Cooperative Agreements by any of the
following methods:
SUMMARY:
E:\FR\FM\04DEN1.SGM
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Agencies
[Federal Register Volume 82, Number 231 (Monday, December 4, 2017)]
[Notices]
[Pages 57265-57267]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2017-26012]
=======================================================================
-----------------------------------------------------------------------
FEDERAL TRADE COMMISSION
[File No. 171 0207]
Alimentation Couche-Tard Inc. and CrossAmerica Partners LP;
Analysis To Aid Public Comment
AGENCY: Federal Trade Commission.
ACTION: Proposed consent agreement.
-----------------------------------------------------------------------
SUMMARY: The consent agreement in this matter settles alleged
violations of federal law prohibiting unfair methods of competition.
The attached Analysis to Aid Public Comment describes both the
allegations in the complaint and the terms of the consent orders--
embodied in the consent agreement--that would settle these allegations.
DATES: Comments must be received on or before December 22, 2017.
ADDRESSES: Interested parties may file a comment online or on paper, by
following the instructions in the Request for Comment part of the
SUPPLEMENTARY INFORMATION section below. Write: ``In the Matter of ACT/
Jet Pep, Inc., File No. 171 0207'' on your comment, and file your
comment online at https://ftcpublic.commentworks.com/ftc/actconsent by
following the instructions on the web-based form. If you prefer to file
your comment on paper, write ``In the Matter of ACT/Jet Pep, Inc., File
No. 171 0207'' on your comment and on the envelope, and mail your
comment to the following address: Federal Trade Commission, Office of
the Secretary, 600 Pennsylvania Avenue NW., Suite CC-5610 (Annex D),
Washington, DC 20580, or deliver your comment to the following address:
Federal Trade Commission, Office of the Secretary, Constitution Center,
400 7th Street SW., 5th Floor, Suite 5610 (Annex D), Washington, DC
20024.
FOR FURTHER INFORMATION CONTACT: Kara Todd, (202-326-2015), Bureau of
Competition, 600 Pennsylvania Avenue NW., Washington, DC 20580.
SUPPLEMENTARY INFORMATION: Pursuant to Section 6(f) of the Federal
Trade Commission Act, 15 U.S.C. 46(f), and FTC Rule 2.34, 16 CFR 2.34,
notice is hereby given that the above-captioned
[[Page 57266]]
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 thirty
(30) 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 November 22, 2017), on the
World Wide Web, at https://www.ftc.gov/news-events/commission-actions.
You can file a comment online or on paper. For the Commission to
consider your comment, we must receive it on or before December 22,
2017. Write ``In the Matter of ACT/Jet Pep, Inc., File No. 171 0207''
on your comment. Your comment--including your name and your state--will
be placed on the public record of this proceeding, including, to the
extent practicable, on the public Commission Web site, at https://www.ftc.gov/policy/public-comments.
Postal mail addressed to the Commission is subject to delay due to
heightened security screening. As a result, we encourage you to submit
your comments online. To make sure that the Commission considers your
online comment, you must file it at https://ftcpublic.commentworks.com/ftc/actconsent by following the instructions on the web-based form. If
this Notice appears at https://www.regulations.gov/#!home, you also may
file a comment through that Web site.
If you prefer to file your comment on paper, write ``In the Matter
of ACT/Jet Pep, Inc., File No. 171 0207'' on your comment and on the
envelope, and mail your comment to the following address: Federal Trade
Commission, Office of the Secretary, 600 Pennsylvania Avenue NW., Suite
CC-5610 (Annex D), Washington, DC 20580, or deliver your comment to the
following address: Federal Trade Commission, Office of the Secretary,
Constitution Center, 400 7th Street SW., 5th Floor, Suite 5610 (Annex
D), Washington, DC 20024. If possible, submit your paper comment to the
Commission by courier or overnight service.
Because your comment will be placed on the publicly accessible FTC
Web site at https://www.ftc.gov, you are solely responsible for making
sure that your comment does not include any sensitive or confidential
information. In particular, your comment should not include any
sensitive personal information, such as your or anyone else's Social
Security number; date of birth; driver's license number or other state
identification number, or foreign country equivalent; passport number;
financial account number; or credit or debit card number. You are also
solely responsible for making sure that your comment does not include
any sensitive health information, such as medical records or other
individually identifiable health information. In addition, your comment
should not include any ``trade secret or any commercial or financial
information which . . . is privileged or confidential''--as provided by
Section 6(f) of the FTC Act, 15 U.S.C. 46(f), and FTC Rule 4.10(a)(2),
16 CFR 4.10(a)(2)--including in particular competitively sensitive
information such as costs, sales statistics, inventories, formulas,
patterns, devices, manufacturing processes, or customer names.
Comments containing material for which confidential treatment is
requested must be filed in paper form, must be clearly labeled
``Confidential,'' and must comply with FTC Rule 4.9(c). In particular,
the written request for confidential treatment that accompanies the
comment must include the factual and legal basis for the request, and
must identify the specific portions of the comment to be withheld from
the public record. See FTC Rule 4.9(c). Your comment will be kept
confidential only if the General Counsel grants your request in
accordance with the law and the public interest. Once your comment has
been posted on the public FTC Web site--as legally required by FTC Rule
4.9(b)--we cannot redact or remove your comment from the FTC Web site,
unless you submit a confidentiality request that meets the requirements
for such treatment under FTC Rule 4.9(c), and the General Counsel
grants that request.
Visit the FTC Web site at https://www.ftc.gov to read this Notice
and the news release describing it. The FTC Act and other laws that the
Commission administers permit the collection of public comments to
consider and use in this proceeding, as appropriate. The Commission
will consider all timely and responsive public comments that it
receives on or before December 22, 2017. For information on the
Commission's privacy policy, including routine uses permitted by the
Privacy Act, see https://www.ftc.gov/site-information/privacy-policy.
Analysis of Agreement Containing Consent Orders To Aid Public Comment
I. Introduction
The Federal Trade Commission (``Commission'') has accepted for
public comment, subject to final approval, an Agreement Containing
Consent Orders (``Consent Agreement'') from Alimentation Couche-Tard
Inc. (``ACT'') and CrossAmerica Partners LP (``CAPL'') (collectively,
the ``Respondents''). The Consent Agreement is designed to remedy the
anticompetitive effects that likely would result from the proposed
acquisition of Jet-Pep, Inc. (``Jet-Pep'') assets.
Under the terms of the proposed Consent Agreement, ACT and CAPL
must divest to a Commission-approved buyer (or buyers) certain Jet-Pep
retail fuel outlets and related assets in three local markets in
Alabama. ACT must complete the divestiture no later than 120 days after
the closing of ACT's acquisition of Jet-Pep. The Commission and
Respondents have agreed to an Order to Maintain Assets that requires
Respondents to operate and maintain each divestiture outlet in the
normal course of business until a Commission-approved buyer acquires
the outlet.
The Commission has placed the proposed Consent Agreement on the
public record for 30 days to solicit comments from interested persons.
Comments received during this period will become part of the public
record. After 30 days, the Commission will again review the proposed
Consent Agreement and the comments received, and will decide whether it
should withdraw from the Consent Agreement, modify it, or make it
final.
II. The Respondents
Respondent ACT, a publicly traded company headquartered in Laval,
Quebec, Canada, operates convenience stores and retail fuel outlets
throughout the United States and the world. ACT is the parent of wholly
owned subsidiary, Circle K Stores Inc. (``Circle K''). ACT's current
U.S. network consists of approximately 7,200 stores located in 42
states, making ACT the second-largest retail fuel chain in the country.
ACT convenience store locations operate primarily under the Circle K
and Kangaroo Express banners, while its retail fuel outlets provide a
variety of company unbranded and third-party branded fuels. ACT owns
158 retail fuel outlets in Alabama.
Respondent CAPL, a publicly traded master limited partnership
headquartered in Allentown, Pennsylvania, markets fuel at wholesale,
and owns and operates convenience stores and retail fuel outlets. ACT,
via Circle K, acquired CST Brands, Inc. (``CST'') in June 2017, which
gave Circle K operational control and management of CAPL. CAPL supplies
fuel to nearly 1,200 sites across 29 states, but it does not operate in
Alabama.
[[Page 57267]]
III. The Proposed Acquisition
Through three separate agreements (collectively ``the
Acquisition''), ACT will acquire ownership or operation of 120 Jet-Pep
retail fuel outlets with attached convenience stores. Circle K intends
to acquire 18 retail fuel outlets and Jet-Pep's terminal and related
assets. CAPL will acquire the remaining 102 Jet-Pep retail fuel
outlets. The Acquisition is not reportable under the Hart-Scott-Rodino
Antitrust Improvements Act of 1976, 15 U.S.C. 18a (``HSR Act''). The
Acquisition would extend ACT's position as one of the largest operators
of retail fuel outlets in the United States.
The proposed Complaint alleges that the Acquisition, if
consummated, would violate Section 7 of the Clayton Act, as amended, 15
U.S.C. 18, and Section 5 of the Federal Trade Commission Act, as
amended, 15 U.S.C. 45, by substantially lessening competition for the
retail sale of gasoline and diesel in three local markets in Alabama.
The proposed Complaint further alleges that Acquisition agreements
constitute a violation of Section 5 of the FTC Act, as amended, 15
U.S.C. 45.
IV. The Complaint
As alleged in the proposed Complaint, the relevant product markets
in which to analyze the Acquisition are the retail sale of gasoline and
the retail sale of diesel. The retail sale of gasoline and the retail
sale of diesel constitute separate relevant markets because the two are
not interchangeable. Consumers require gasoline for their gasoline-
powered vehicles and can purchase gasoline only at retail fuel outlets.
Likewise, consumers require diesel for their diesel-powered vehicles
and can purchase diesel only at retail fuel outlets.
The proposed Complaint alleges the relevant geographic markets in
which to assess the competitive effects of the Acquisition are three
local areas in Brewton, Monroeville, and Valley, Alabama. Each
particular geographic market is unique, with factors such as commuting
patterns, traffic flows, and outlet characteristics playing important
roles in determining the scope of the geographic market. Retail fuel
markets are highly localized and can range in size up to a few miles.
According to the proposed Complaint, the Acquisition would reduce
the number of independent market participants in each market to three
or fewer. The Acquisition would thereby substantially lessen
competition in these local markets by increasing the likelihood that
ACT will unilaterally exercise market power and by increasing the
likelihood of successful coordination among the remaining firms. Absent
relief, the Acquisition would likely result in higher prices in each of
the three local markets.
The proposed Complaint alleges that entry into each relevant market
would not be timely, likely, or sufficient to deter or counteract the
anticompetitive effects arising from the Acquisition. Barriers to entry
include the availability of attractive real estate, the time and cost
associated with constructing a new retail fuel outlet, and the time
associated with obtaining necessary permits and approvals.
V. The Consent Agreement
The proposed Consent Agreement would remedy the Acquisition's
likely anticompetitive effects by requiring ACT to divest certain Jet-
Pep retail fuel outlets and related assets in three local markets.
The proposed Consent Agreement requires that the divestiture occur
no later than 120 days after ACT consummates the Acquisition. This
Agreement protects the Commission's ability to obtain complete and
effective relief in light of the non-reportable nature of the
Acquisition and the small number of outlets to be divested. Further,
based on Commission staff's investigation, the Commission believes that
ACT can identify an acceptable buyer (or buyers) within 120 days.
The proposed Consent Agreement further requires ACT to maintain the
economic viability, marketability, and competitiveness of each
divestiture asset until the Commission approves a buyer (or buyers) and
the divestiture is complete. For up to twelve months following the
divestiture, ACT must make available transitional services, as needed,
to assist the buyer of each divestiture asset.
In addition to requiring outlet divestitures, the proposed Consent
Agreement also requires ACT to provide the Commission notice before
acquiring designated outlets in the three local areas for ten years.
The prior notice provision is necessary because acquisitions of the
designated outlets likely raise competitive concerns and may fall below
the HSR Act premerger notification thresholds.
The proposed Consent Agreement contains additional provisions
designed to ensure the effectiveness of the proposed relief. For
example, Respondents have agreed to an Order to Maintain Assets that
will issue at the time the proposed Consent Agreement is accepted for
public comment. The Order to Maintain Assets requires Respondents to
operate and maintain each divestiture outlet in the normal course of
business, through the date the Respondents' complete divestiture of the
outlet. During this period, and until such time as the buyer (or
buyers) no longer requires transitional assistance, the Order to
Maintain Assets authorizes the Commission to appoint an independent
third party as a Monitor to oversee the Respondents' compliance with
the requirements of the proposed Consent Agreement.
The purpose of this analysis is to facilitate public comment on the
proposed Consent agreement, and the Commission does not intend this
analysis to constitute an official interpretation of the proposed
Consent Agreement or to modify its terms in any way.
By direction of the Commission.
Donald S. Clark,
Secretary.
[FR Doc. 2017-26012 Filed 12-1-17; 8:45 am]
BILLING CODE 6750-01-P