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Code · BILL · 119th Congress · S. 4007 (Introduced in Senate) — To restore competition in the meatpacking industry by reducing excessive concentration and market power and ultimatel... · Sec. 202

Sec. 202. Regional and national beef market divestiture authority and process

347 words·~2 min read·/bill/119/s/4007/is/section-202

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Divestiture under this section may consist of— sale of 1 or more entities, facilities, or business units to 1 or more independent entities; or the creation of 1 or more new, independent entities, including through spin-offs or other structural separation. With respect to a condition described in paragraph
(1)or
(2)of section 201, the Commission shall order divestiture in the regional market as follows: The largest covered meatpacking enterprise in the regional beef market that owns multiple beef slaughter or processing entities in that region shall divest its largest entity, facility, or business unit in that region. After the divestiture required under clause (i), the Commission shall reassess the concentration in the regional beef market under section 201(a). If 1 or more thresholds described in section 201 is met after the reassessment under clause (ii), the Commission shall repeat the process described in clauses
(i)and
(ii)as necessary, including by ordering further divestitures, until no threshold described in section 201 is met or until the Commission determines that further divestiture would not reduce market concentration. With respect to a condition described in section 201(3), the Commission shall order divestiture in the regional market of the covered meatpacking enterprise meeting that condition. If the Commission is unable to order further divestitures under subparagraph (A)(iii) of paragraph
(1)and 1 or more thresholds described in section 201 is still met, such as if the largest covered meatpacking enterprise has only 1 entity, facility, or business unit in the market which cannot be divided, the Commission shall use all equitable powers to otherwise deconcentrate the market until the Commission determines that none of the thresholds described in section 201 are met. In the national beef market, the Commission shall apply a substantially similar process to the process described in subsection (b), as appropriate, to require divestiture by covered meatpacking enterprises (including by ordering divestiture of specified entities, facilities, or business units, or other assets) and use all equitable powers to deconcentrate the market until the Commission determines that none of the thresholds described in section 201 are met.
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