Text 3663, 65 rader
Skriven 2006-11-17 23:31:08 av Whitehouse Press (1:3634/12.0)
Ärende: Press Release (061117d) for Fri, 2006 Nov 17
====================================================

===========================================================================
Statement on CFIUS Recommendation Regarding Proposed Merger of Lucent
Technologies, Inc., and Alcatel
===========================================================================

For Immediate Release
November 17, 2006

Statement on CFIUS Recommendation Regarding Proposed Merger of Lucent
Technologies, Inc., and Alcatel



President Bush has accepted the recommendation of the Committee on Foreign
Investment in the United States (CFIUS) that he not suspend or prohibit the
proposed merger of Lucent Technologies, Inc., and Alcatel, provided that,
in time periods specified, the companies execute a National Security
Agreement and Special Security Agreement to which they have agreed with
U.S. Government agencies. The President's decision was made under section
721 of the Defense Production Act of 1950 (Exon-Florio), which authorizes
the President to suspend or prohibit the acquisition of a U.S. company by a
foreign company where there is credible evidence that the foreign interest
exercising control might take action that threatens to impair the national
security and where provisions of law other than Exon-Florio and the
International Emergency Economic Powers Act are not adequate and
appropriate. Consistent with Exon-Florio, the President will report to the
Congress on his decision.

The President's decision is based upon the results of comprehensive
consideration of this transaction by CFIUS, a 12-member U.S. Government
interagency group. In assessing the proposed acquisition's impact on
national security, CFIUS conducted both a 30-day, first-stage investigation
and a 45-day, second-stage investigation. With support from the
intelligence community, CFIUS's detailed analysis took into account all
relevant national security factors, including, but not limited to (1) the
scope of Lucent's operations and its work with state, local and federal
government agencies, (2) the globalizing nature of the telecommunications
industry, (3) the important research and development being conducted at
Lucent's Bell Laboratories, and (4) those factors enumerated in
Exon-Florio.

Based on these and other considerations, and as a strict condition for the
merger to proceed, Alcatel and Lucent have agreed with U.S. Government
agencies to enter into two robust and far-reaching agreements designed to
ensure the protection of our national security.

The President's decision demonstrates the commitment of the United States
to protect its national security interests and maintain its openness to
investment, including investment from overseas, which is vital to continued
economic growth, job creation, and an ever-stronger nation.

In addition to the Department of the Treasury, the Committee's member
agencies include the Departments of State, Defense, Justice, Commerce, and
Homeland Security; the Office of Management and Budget; the Office of the
United States Trade Representative; the National Security Council; the
National Economic Council; the Council of Economic Advisers; and the Office
of Science and Technology Policy.

# # #
===========================================================================
Return to this article at:
http://www.whitehouse.gov/news/releases/2006/11/20061117-13.html

 * Origin: (1:3634/12)