Form BRD-1 2008 Business Research & Development Survey

DUE DATE March 31, 2009 Report electronically: www.census.gov/econhelp/rd Username: Password: Reporting electronically allows you to save your work as you go through the form and could save you time. Report by mail: If you report online, please do not mail in the paper form. U.S. Census Bureau 1201 East 10th Street Jeffersonville, IN 47132-0001 For information or assistance: www.census.gov/econhelp/rd Call 1-800-851-2014, option "0" (8 a.m. – 5 p.m. EST, M-F) Write to the address above. Include your 11-digit ID printed on the mailing label.	(Please correct any errors in this mailing address.)
Y OUR RESPONSE IS REQUIRED BY LAW. Title 13, United States Code, requires businesses and other organizations that receive this questionnaire to answer the questions and return the report to the U.S. Census Bureau. By the same law, YOUR CENSUS REPORT IS CONFIDENTIAL. It may be seen only by persons sworn to uphold the confidentiality of Census Bureau information and may be used only for statistical purposes. Further, copies retained in respondents’ files are immune from legal process.
What does this survey ask? This survey will ask questions about your company's R&D expenses as well as R&D that is paid for by customers, the government, and other organizations that are not owned or controlled by your company (funded R&D). This survey also requests data on your company’s R&D employees and intellectual property (IP). What is research and development (R&D)? R&D is planned, creative work aimed at discovering new knowledge or developing new or significantly improved goods or services. The term Research and Development does not include expenditures for: Routine quality control testing Market research Efficiency surveys or management studies Literary, artistic, or historical projects such as films, music, or books and other publications Prospecting or exploration for natural resources ~ This survey is jointly conducted by the U.S. Census Bureau and the National Science Foundation ~

	U.S. DEPARTMENT OF COMMERCE	2008 BUSINESS RESEARCH AND DEVELOPMENT
	Economics and Statistics Administration
	U.S. CENSUS BUREAU	SURVEY
	FORM
	BRD-1 (01-02-2009)	OMB No. 1234-5678: Approval Expires 12/31/2012

Eligibility Criteria

Please answer the following questions to determine whether or not your company must complete this survey.

A  Did your company do any of the following during 2008?

• Incur R&D expenses

• Perform R&D that was paid for by a party that is not owned or controlled by your company, such as:

- Product development performed under contract for another company

- Research funded by a government grant

  Yes  Go to C  

  No  Go to B  

B  Did your company do any of the following during 2008?

• Own, receive, or apply for utility patents (patents for invention) from the U.S. Patent and Trademark Office

• License intellectual property to an outside party

  Yes

Go to page 48, provide the information and return the form to the U.S. Census Bureau

  No

C  Did another U.S. company own more than 50 percent of your company as of March 31, 2008?

  Yes  Go to 6.2   on page 47, certify form on page 48 and return to the U.S. Census Bureau

  No  Go to D  

D  Did another U.S. company purchase more than 50 percent of your company between March 31, 2008

and December 31, 2008?

Yes  1) Complete the survey form for the period prior to the purchase of your company

2) Go to 6.2   on page 47, certify form on page 48 and return to the U.S. Census Bureau

  No  Go to E  

E  Did your company cease operations before April 1, 2008?

  Yes  Certify the form on page 48 and return this survey to the U.S. Census Bureau

No  Complete the survey form for the period your company was operating in 2008

General Instructions

How do I fill out this survey?

The Business Research and Development survey asks questions on a variety of topics. It has been organized into six sections for ease of completion: (1) R&D Finance; (2) R&D Human Resources; (3) R&D Management & Strategy; (4) R&D Paid for by External Parties; and (5) Intellectual Property and Technology Transfer and (6) General Information.

The questions have been grouped into sections because of their specialized nature and to make it easier for your company to report. The different sections may need to be completed by different persons within the organization.

• Section 1 asks for information about your company’s R&D expenses, sales or revenues and capital expenditures. Persons with knowledge of and access to the company’s financial records should complete this section.

• Section 2 asks for information about your company’s R&D employees. Persons with knowledge and access to the company’s HR records should complete this section.

• Section 3 asks specialized questions about the characteristics of your company’s R&D reported in Section 1. Persons with direct access and knowledge to R&D operations, such as a VP of Research should complete this section.

• Section 4 asks for information about R&D that is paid for by others, such as under a contract or by a federal grant. R&D paid for by a third party is considered funded R&D. Persons with knowledge of and access to the company’s financial records should complete this section.

• Section 5 asks for information about intellectual property such as patents and technology transfer activities such as licensing. Persons with specialized knowledge of these activities should complete this section.

We ask that you coordinate and review all responses to the survey before submitting your final form. Please watch for times when you will be asked to transfer some information from one section to other sections.

We encourage you to distribute sections or questions appropriately. To help you distribute sections or questions, we have set up a special website (www.census.gov/econhelp/rd). You can access electronic copies of the questions or the whole survey that you may distribute via internal email.

You may submit your final report by mail or electronically via a web-based form. To submit electronically (1) go to www.census.gov/econhelp/rd (2) click on Electronic Reporting (3) enter your Username and Password (4) make a selection form the Form Section List (5) click on Go To. Please complete the form either in mail or on the web.

To make our web reporting easy: You may enter data in any order; You may save, exit and return as many times as you like; You may print your entries; You may change your password and You may get a certificate of completion.

Business Segments

Business Segment Code	Description
PREPRINT 1 PREPRINT 2 PREPRINT 3 PREPRINT 4 PREPRINT 5 PREPRINT 6

Printed above are the business segment codes and descriptions in which we believe your company operates. These codes and descriptions have been derived from the North American Industry Classification System (NAICS). For each of your company's business segments, confirm that the code(s) listed above are consistent with this company’s business activities. If they are not correct, select the code that best describes the segment's business (or intended business for development-stage segments) from the list starting on page 5 and correct the business segment code(s) to reflect your company’s worldwide business activities.

These business segment codes will be used to report the following data items:

• Worldwide R&D expense, Domestic R&D expense and performance in question 1.10

• Worldwide and Domestic sales and operating revenue in question 1.11

• Domestic R&D funded by others in question 4.6

For more information on business segments, refer to FASB SFAS No. 131 (Disclosure About Segments of an Enterprise and Related Information).

Aerospace & Defense		Commercial and Professional Services (including contract research)
33641	Aircraft manufacturing	54120	Accounting, tax preparation, bookkeeping and payroll services
33642	Aircraft engine and engine parts manufacturing	54180	Advertising and related services
33643	Other aircraft parts and auxiliary equipment manufacturing	54130	Architectural, engineering, and related services
33644	Guided missiles, space vehicles and parts manufacturing	56140	Business support services
33692	Military armored vehicle, tank, and tank components manufacturing	53240	Commercial and industrial machinery and equipment rental and leasing
33452	Search, detection, navigation, guidance, aeronautical, and nautical system and instruments manufacturing	54110	Legal services
33660	Ship and boat building	54160	Management, scientific, and technical consulting services
		56190	Office administrative, facilities, employment, and other support services
Automobiles, Motorcycles & Components		54190	Professional, scientific, and technical services (Not listed elsewhere in this category)
33610	Motor vehicles manufacturing	32300	Printing and related support activities
33620	Motor vehicle body and trailer manufacturing	56290	Remediation and other waste management services
33630	Motor vehicle parts manufacturing	54170	Scientific research & development services
33691	Motorcycle, bicycle, and parts manufacturing	54140	Specialized design services
33699	All other transportation equipment manufacturing	56150	Travel arrangement and reservation services
		56210	Waste collection, treatment, and disposal
Capital Goods
33430	Audio and video equipment manufacturing	Consumer Goods & Services
33330	Commercial, service industry, temperature control, and air-flow control machinery manufacturing	71300	Amusement, gambling, and recreation industries
33312	Construction machinery manufacturing	31500	Apparel manufacturing
23600	Construction of buildings	33430	Audio and video equipment manufacturing
33360	Engine, turbine, and power transmission equipment manufacturing	81110	Automotive repair and maintenance
33200	Fabricated metal products manufacturing	31210	Beverage manufacturing
33311	Farm machinery and equipment manufacturing	51520	Cable and other subscription programming (except Internet)
23700	Heavy and civil engineering construction	62440	Child day care services
33322	Industrial machinery manufacturing, except semiconductor machinery	44800	Clothing and clothing accessories stores
33390	Metalworking and other general purpose machinery manufacturing	23600	Construction of buildings
33313	Mining machinery and equipment manufacturing	53220	Consumer goods and general rental centers
33651	Railroad rolling stock manufacturing	61100	Educational services
33660	Ship and boat building	33500	Electrical equipment, appliances, and components manufacturing
23800	Specialty trade contractors	45410	Electronic shopping and mail-order houses
		44300	Electronics and appliance stores
		44500	Food and beverage stores
		31100	Food manufacturing
		72200	Food services and drinking places

Consumer Goods & Services - Continued		Financials
33700	Furniture and related products manufacturing	52230	Activities related to credit intermediation
45200	General merchandise stores	52420	Agencies, brokerages, and other insurance related activities
51600	Internet publishing and broadcasting	52210	Depository credit intermediation
56160	Investigation, security, and services to buildings and dwellings	52500	Funds, trusts, and other financial vehicles
31600	Leather and allied products manufacturing	52410	Insurance carriers
33990	Miscellaneous manufacturing (Not elsewhere listed in this category)	52100	Monetary authorities-central bank
51200	Motion picture and sound recording (except Internet)	52220	Nondepository credit intermediation
44100	Motor vehicle and parts dealers	53100	Real estate
71200	Museums, historical sites, and similar institutions	52300	Securities, commodity contracts, and other financial investments and related activities
51110	Newspaper, periodical, book, and directory
45490	Nonstore retailers, except electronic shopping and mail-order houses	Health Care
71100	Performing arts, spectator sports, and related industries	33451	Electromedical, electrotherapeutic and irradiation apparatus manufacturing
81200	Personal care, death care, laundry, and other personal services	62210	General medical and surgical hospitals
51510	Radio and television broadcasting (except Internet)	62160	Home health care services
81190	Repair and maintenance, except automotive	32543	In-vitro diagnostic substances manufacturing
45990	Retail trade stores, including gasoline stations (Not elsewhere listed in this category)	62150	Medical and diagnostic laboratories
32591	Soap, cleaning compound, and toilet preparations manufacturing	33910	Medical equipment and supplies manufacturing
62400	Social assistance (except child day care services)	62300	Nursing and residential care facilities
31300	Textile mill products	62120	Offices of dentists and other health practitioners
31220	Tobacco manufacturing	62110	Offices of physicans
56150	Travel arrangement and reservation services	62190	Outpatient care centers and other ambulatory health care services
72100	Traveler accommodation services	32541	Pharmaceutical, medicinal, botanical, and biological products (except diagnostic) manufacturing
		62220	Psychiatric, substance abuse, and specialty hospitals
Energy		54170	Scientific research & development services
21210	Coal mining
22110	Electric power generation, transmission, and distribution	Information Technology - Goods and services
21100	Oil and gas extraction	33429	Communication equipment manufacturing, except broadcasting, wireless, and telephone apparatus
33313	Oil and gas field machinery and equipment manufacturing	54150	Computer systems design and related services
32400	Petroleum and coal products manufacturing	33410	Computers and peripheral equipment manufacturing
48610	Pipeline transportation of crude oil, refined petroleum, and miscellaneous products, except natural gas	51820	Data processing, hosting, and related services
48620	Pipeline transportation of natural gas	33500	Electrical equipment, appliances, and components manufacturing
21300	Support activities for oil and gas operations	51900	Information services (Not elsewhere listed in this category)

Information Technology - Goods and services - Continued		Transportation
51810	Internet service providers and web search portals	48100	Air transportation
33460	Manufacturing and reproducing magnetic and optical media manufacturing	53210	Automotive equipment rental and leasing
33459	Measuring and control instruments manufacturing (Not listed elsewhere in this category)	49200	Couriers and messengers
33422	Radio and television broadcasting and wireless communications equipment manufacturing	48200	Rail transportation
33452	Search, detection, navigation, guidance, aeronautical, and nautical system and instruments manufacturing	48700	Scenic and sightseeing transportation
33440	Semiconductor and other electronic components manufacturing	48800	Support activities for transportation
33321	Semiconductor machinery manufacturing	48500	Transit and ground passenger transportation
51120	Software	48400	Truck transportation
33421	Telephone apparatus manufacturing	49300	Warehousing and storage
		48300	Water transportation
Materials
32511	Basic chemicals manufacturing	Utilities
32790	Cement, concrete, lime, gypsum, and other nonmetallic mineral product manufacturing	22110	Electric power generation, transmission, and distribution
32710	Clay and glass products manufacturing	22120	Natural gas distribution
33150	Ferrous and nonferrous foundries	56290	Remediation and other waste management services
33110	Iron and steel mills, ferroalloy, and steel product from purchased steel	56210	Waste collection, treatment, and disposal
21220	Metal ore mining	22130	Water, sewage, and other systems
33130	Nonferrous metals production and processing
21230	Nonmetallic mineral mining and quarrying	Business Segments Not Elsewhere Classified
32592	Paint, adhesive, and other chemical manufacturing	81390	Business, professional, labor, political, and similar organizations
32200	Paper manufacturing	53300	Lessors of nonfinancial intangible assets
32530	Pesticide, fertilizer, and other agricultural chemical manufacturing	55100	Management of companies and enterprises
32600	Plastics and rubber products manufacturing	33990	Manufacturing (Not listed elsewhere)
32512	Resin, synthetic rubber, and artificial synthetic fibers and filaments manufacturing	42300	Merchant wholesalers, durable goods
32591	Soap, cleaning compound, and toilet preparations manufacturing	42400	Merchant wholesalers, nondurable goods
21310	Support activities for solid mineral operations	81310	Religious, grantmaking, social advocacy, civic, and social organizations
32100	Wood products manufacturing	42500	Wholesale electronic markets and agents and brokers
Telecommunication Services
51750	Cable and other program distribution
51740	Satellite telecommunications
51790	Telecommunications services (Not listed elsewhere in this category)
51710	Wired telecommunications carriers
51720	Wireless telecommunications carriers (except satellite)

SECTION 1 – R&D FINANCE

What does this section cover?

This section requests financial information about your company’s R&D expenses, sales or revenues, and capital expenditures for R&D.

Who should answer this section?

Personnel familiar with accounting concepts and with access to financial records related to your company's R&D activities should complete this section.

What is the reporting unit?

Report data for your company, including all subsidiaries and divisions. Include operations of subsidiary companies, where there is more than 50 percent ownership, as well as companies that your company has the power to direct or cause the direction of management and policies.

This section requests information about your company’s R&D at multiple levels of detail: for your global consolidated enterprise, for units or parts of your company defined by geography (countries, states, specific location), and for parts of your company defined by business segment. The questions in this section provide detailed definitions of these terms and clarifying examples.

What is the difference between R&D expense and R&D performance?

This section uses two different concepts to collect information about your company’s R&D: an accounting concept (R&D expense) and a physical concept (R&D performance). The amount of R&D reported using these two concepts may differ.

Report R&D expense using your company's accounting definitions of R&D. Examples of accounting standards commonly used by companies include the Financial Accounting Standards Board (FASB) Statement of Accounting Standards No. 2 (Accounting for Research and Development Costs) and Section 1.174 of the U.S. Code of Federal Regulations (Title 26, Internal Revenue) which defines R&D for tax filing purposes.

Exclude:

• R&D from acquired companies prior to acquisition (in-process R&D)

• Costs for routine product testing, quality control, and technical services

• Work funded or paid for by parties not owned or controlled by your company (these costs are reported in

Section 4).

Report R&D performance based on the location where R&D was carried out.

Exclude:

• R&D performed for your company by external parties not owned or controlled by your company such as

contract research organizations, universities, and federal laboratories.

What does the term "Domestic" mean?

The term "Domestic" refers to the 50 United States and the District of Columbia only.

Are estimates acceptable?

Please report all items to the best of your ability. Reasonable estimates are acceptable.

Example: If figure is $179,125,628.00 report:	$Bil.	Mil.	Thou.
		179	126

Report all dollar amounts rounded to the nearest thousands.

What time period should be reported?

Report data for calendar year 2008, if possible.

Worldwide R&D expense  

1.1  What was the total Worldwide R&D expense for this company (including

all Domestic expenditures) in 2008? (Enter 0 if none)

Include:

• R&D expenses for all foreign and domestic subsidiaries and divisions

owned or controlled by this company

• Contract R&D services purchased from third parties, including clinical

trials

• R&D in social science (the application of scientific methods to the study

of the human aspects of the world), including anthropology, economics,

political science, psychology, and sociology.

Exclude:

• R&D costs paid for by parties not owned or controlled by this company

(these costs are reported in Section 4):

- Costs associated with contract services this company provides to

others

- Costs for R&D funded by government grants

- Costs reimbursed by business partners

• Capital expenditures for R&D (Report Domestic capital expenditures in

question 1.15)

1.1a  Was the amount entered in 1.1 greater than zero?

Yes  Go to  1.2  

No  Complete questions  1.3 , 1.4 , 1.11 ,  1.16 and 1.17 , and continue to Section 2.

1.2  Of the amount reported in Question 1.1 (Worldwide R&D expense),

what amount was for gross payroll (wages and salaries of employees

excluding the cost of fringe benefits) in 2008? (Enter 0 if none)

Worldwide net sales and operating revenues  

1.3  What was the amount of this company's Worldwide net sales and

operating revenues (the value of goods and services sold during the

year, net of discounts, returns, and allowances) during 2008? (Enter 0

if none)

Exclude:

• Non-operating income (e.g. dividends, interest)

• Excise and sales taxes paid to Federal, State, local, or other taxing

agencies

Domestic net sales and operating revenues  

1.4  What was the amount of this company's net sales and operating

revenues (the value of goods and services sold during the year, net

of discounts, returns, and allowances) attributable to Domestic

operations during 2008? (Enter 0 if none)

Include:

• Intra-company sales and operating revenues to foreign subsidiaries

Exclude:

• Non-operating income (e.g. dividends, interest)

• Excise and sales taxes paid to Federal, State, local, or other taxing

agencies

Worldwide R&D by country  

1.5  Of the amount reported in Question 1.1 (Worldwide R&D expense), what are the expenses by country and the amount of R&D performed by your company by country in 2008?

R&D expense by country should reflect the R&D costs incurred on behalf of or for the benefit

of the company operations in each country. R&D that is applicable to more than one country

should be allocated to those countries on a reasonable basis. Allocation in proportion to

operating revenues is acceptable unless some alternative allocation basis is more appropriate.

R&D performance by country should reflect the actual location where your company

performed R&D. Exclude R&D performed for your company by external parties not owned or

controlled by your company such as contract research organizations, universities, and

federal laboratories.

Example: Company A is based in the United States and earns all its revenue from its U.S.

operations and its R&D is for the benefit of its U.S. operations. In 2008 Company A has $10

million of R&D expenses. $6 million of R&D was performed by a research facility the company

owns in Japan and $4 million was performed by a contract research organization in the U.S.

Company A reports $10 million of R&D expenses for the United States and $6 million of R&D

performance for Japan. Company A does not report the $4 million of R&D it outsourced in the

“R&D Performance” column because the R&D was not performed by A or any of A’s

subsidiaries.

R&D expense R&D performance

a. United States .........................................................................

b. Puerto Rico ..........................................................................

c. Canada .................................................................................

d. China ....................................................................................

e. France .................................................................................

f. Germany .................................................................................

QUESTION CONTINUES ON NEXT PAGE

Worldwide R&D by country (continued)  

1.5  (Continued)

R&D expense R&D performance

g. India ....................................................................................

h. Ireland .................................................................................

i. Israel ...................................................................................

j. Italy .................................................................................

k. Japan .................................................................................

l. Russia ...................................................................................

m. Singapore .................................................................................

n. Sweden .................................................................................

o. United Kingdom .................................................................................

p. All other .................................................................................

q. Total (R&D expense equals Question 1.1,

R&D performance may be less) ..................................................................

Domestic R&D performance funded by company Foreign operations  

1.6  Of the amount reported in Question 1.5, row a, column 2

(Domestic R&D performance), what amount was for the benefit or on

behalf of this company’s Foreign operations or Foreign subsidiaries

(i.e. what amount was not a Domestic R&D expense) in 2008?

(Enter 0 if none)

External R&D expenses  

1.7  Of the amount reported in Question 1.1 (Worldwide R&D expense),

what amount was for external R&D (R&D performed by other parties

not owned or controlled by your company such as contract research

organizations, universities, or government labs)? (Enter 0 if none)

1.8  Of the amount reported in Question 1.7 (external R&D expense), what was

the amount performed by each of the following types of organizations?

a. For-profit companies .......................................................................................................

1. Located in the United States ........................................................

2. Located outside the United States ..........................................................

b. U.S. federal agencies or laboratories ....................................................................................

c. U.S. state government agencies or laboratories .................................................................................

d. Foreign government agencies or laboratories .................................................................................

e. Universities, colleges, and academic researchers, including individual

primary investigators .........................................................................................................

f. Other nonprofit organizations ..................................................................................................

g. Total (equals Question 1.7) ................................................................................................

Domestic R&D performance by type of cost  

1.9  Of the amount reported in Question 1.5, row a, column 2 (Domestic R&D performance),

what were the amounts for the following types of cost in 2008?

a. Gross annual payroll (wages and salaries of R&D employees and

officers excluding fringe benefits) …………………………………………………………………….

b. Employer’s cost for fringe benefits ……..........................................................................

Include:

• Disability benefits;

• Life and medical insurance;

• Paid holidays, time off benefits, vacation, annual, sick, and

maternity leave;

• Retirement benefits, pension, and social security contributions.

c. Temporary staffing and leased employees .......................................................................

d. Expensed equipment ……………….................................................................................

e. Materials and supplies (both those purchased and those withdrawn

from inventory) ..........................................................................................................

f. Lease and rental payments ………………………………………………………………………

g. Depreciation on R&D property and equipment ...........................................................................

Include:

• Depreciation and amortization against property and equipment

acquired since the beginning of the year that was sold or retired

during the year and not in service at the end of the year;

h. Stock option expense ……………………………………...............……………………

i. All other costs………………………………….……………………...............…………

j. Total (equals Question 1.5, row a, column 2) ..................................................................

R&D by business segment (Worldwide expense, Domestic expense and performance)  

1.10  What were the amounts of Worldwide R&D expense, Domestic R&D expense, and Domestic

R&D performance for each business segment listed or amended on page 4 of this form?

R&D expense by business segment should reflect the R&D costs incurred on behalf of or for

the benefit of each business segment. R&D that is applicable to more than one segment should

be allocated to those segments on a reasonable basis. Allocation in proportion to operating

revenues is acceptable unless some alternative allocation basis is more appropriate.

Business segment Worldwide Domestic Domestic

code (see page 4) R&D expense R&D expense R&D performance

a.    .........

b.    .........

c.    .........

d.    .....…

e.    .........

f.    .........

g.    .........

h.    .........

i.  (Less eliminations) .............

j. Total.......………………….

Sales and operating revenues by business segment (Worldwide and Domestic)  

1.11  What were the amounts of Worldwide net sales and operating revenues and Domestic net

sales and operating revenues for each business segment listed or amended on page 4 of

this form?

Business segment Worldwide Domestic

code (see page 4) sales and revenues sales and revenues

a.    ..................................................

b.    ...................................................

c.    ....................................................

d.    ....................................................

e.    ......................................................

f.    ......................................................

g.    ......................................................

h.    ......................................................

i.  (Less eliminations)  ......................................................

j. Total....................................................………………

Domestic R&D performance by state  

1.12  Of the amount reported in Question 1.5, row a, column 2 (Domestic R&D performance),

what were the amounts performed by state (including D.C.) in 2008?

Alabama …………………………….. Michigan ……………………….

Alaska ………………………………. Minnesota ……………………….

Arizona ……………………………… Mississippi ……………………….

Arkansas ……………………………… Missouri ……………………….

California ……………………………… Montana ……………………….

Colorado ……………………………… Nebraska ……………………….

Connecticut ……………………………… Nevada ……………………….

Delaware ……………………………… New Hampshire ……………………….

District of Columbia ……………………………… New Jersey ……………………….

Florida ……………………………… New Mexico ……………………….

Georgia ……………………………… New York ……………………….

Hawaii ……………………………… North Carolina ……………………….

Idaho ……………………………… North Dakota ……………………….

Illinois ……………………………… Ohio ……………………….

Indiana ……………………………… Oklahoma ……………………….

Iowa ……………………………… Oregon ……………………….

Kansas ……………………………… Pennsylvania ……………………….

Kentucky ……………………………… Rhode Island ……………………….

Louisiana ……………………………… South Carolina ……………………….

Maine ……………………………… South Dakota ……………………….

Maryland ……………………………… Tennessee ……………………….

Massachusetts ……………………….

QUESTION CONTINUES ON NEXT PAGE

Domestic R&D performance by state (continued)  

1.12  (continued)

Texas …………………………….. Washington ……………………….

Utah ………………………………. West Virginia ……………………….

Vermont ……………………………… Wisconsin ……………………….

Virginia ……………………………… Wyoming ……………………….

Total (equals

Question 1.5,

row a, column 2) ………

Largest Domestic R&D location  

1.13  At what Domestic location did this company perform the largest amount of R&D,

in terms of dollars, in 2008?

Address 1  

Address 2  

City   State   ZIP  

1.14  Of the amount reported in Question 1.5, row a, column 2 (Domestic R&D performance),

What percentage was performed at the location identified in Question 1.13?

%

Domestic capital expenditures for R&D by type  

1.15  What was the amount of this company’s capital expenditures

attributable to Domestic R&D operations for each of the following

categories in 2008?

a. Structures (new construction, improvements, and capitalized repairs) .....................................................

b. Equipment ……………………..........................................................................................

c. Capitalized Software ....................................................................................................

d. All other capital expenditures…………………………………………………………………..

e. Total ..............................................................................................................................

Projected R&D expense  

1.16  What is this company’s projected Worldwide R&D expense for 2009?

1.17  Of the amount reported in Question 1.16 (projected 2009 R&D), what is the expected

amount for the following categories?

a. R&D performed by your company’s domestic operations .....................................................

b. R&D performed by your company’s foreign operations …...........................................................................

c. External R&D (R&D performed by parties not owned or controlled by

this company such as contract research organizations, universities,

or government labs) ...................................................................................................

d. Total .......................................................................................................................

Name of person to contact regarding this section						Title
	Area code	Number		Extension			Area code	Number		Extension
Telephone		-			Fax			-
								Month	Day	Year
E-mail address					Date completed

END OF SECTION 1

SECTION 2 – HUMAN RESOURCES

What does this section cover?

This section requests information about your company’s employees, focusing on those who worked on R&D activities either full- or part-time.

Who should answer this section?

Personnel familiar with human resources concepts and with access to records related to this company’s employees should complete this section. Refer to page 1 for definition of R&D.

What is the reporting unit?

Report data for your company, including all subsidiaries and divisions. Include operations of subsidiary companies, where there is more than 50 percent ownership, as well as companies that your company has the power to direct or cause the direction of management and policies.

What are R&D employees?

R&D employees include employees working on R&D projects, R&D managers, administrators, clerical staff, and interns.

R&D employees do not include staff providing indirect support such as security guards and cafeteria workers. Leased employees, temps, and on-site consultants should not be counted as R&D employees.

What is a full time equivalent (FTE)?

A full time equivalent is an adjusted count for employees who do not work full time or for employees who do not work on R&D activities full time. For example, an employee who works half-time would be counted as one employee on a headcount basis but as one-half (1/2) an FTE employee. The number of FTEs and the headcount may differ for your company.

Does it cover my worldwide employees?

Yes, we include questions about your worldwide employees as well as those employed in the United States.

What does the term "Domestic" mean?

The term "domestic" refers to the 50 United States and the District of Columbia only.

Are estimates acceptable?

Please report all items to the best of your ability. Reasonable estimates are acceptable.

What time period should be reported?

Report data for calendar year 2008, if possible.

Worldwide employees (including Domestic) 

2.1  What was the number of all employees working at this company for the

pay period that included March 12, 2008? (Enter 0 if none)

Include:

• For the Domestic employees, all employees whose payroll was reported

on IRS Form 941, Employer’s Quarterly Federal Tax Return

• Number of employees in all activities during the pay period that included

March 12, 2008

• Persons on paid sick leave, paid holidays, and paid vacations during the

pay period that included March 12, 2008

Worldwide R&D employees by occupation and gender  

2.2  Of the employees reported in Question 2.1(Worldwide employees), what was the number of

employees who worked on R&D activities by the following types of occupation and gender?

  Include:

• R&D managers, administrators, clerical staff, and interns

 

  Exclude:

• Staff providing indirect support such as security guards and cafeteria workers

• Leased employees, temps, and on-site consultants

Female employees Male employees Total employees

a. R&D scientists and their

managers (Enter 0 if none) ….............................……

b. R&D engineers and their

managers (not already reported

in row a) (Enter 0 if none) …………….............

c. R&D technicians and

technologists (Enter 0 if none) …..............................….

d. R&D support staff (clerical

and other) (Enter 0 if none) …........................

e. Total R&D employees ………………….

Worldwide R&D employees by educational attainment  

2.3  Of the total R&D employees reported in Question 2.2, row e, column 3 (Total Worldwide R&D employees), what was the number of employees by their highest level of educational attainment?

a. College level degrees below the PhD level (Enter 0 if none)………………………………..

b. PhD or equivalent (Enter 0 if none) ………………………………………………………………

c. All other (Enter 0 if none)…………………………………………………………………………….

d. Total R&D employees (equals Question 2.2, row e, column 3)……………………….

Domestic employees  

2.4  Of the employees reported in Question 2.1 (Worldwide employees), what was the number of Domestic employees working at this company for the pay period that included March 12, 2008? (Enter 0 if none)

 Include:

• Include all employees whose payroll was reported on IRS Form 941,

Employer’s Quarterly Federal Tax Return

• Persons on paid sick leave, paid holidays, and paid vacations during the

pay period that includes March 12, 2008

Domestic R&D employees by occupation and gender  

2.5  Of the number reported in Question 2.4 (Domestic employees), what was the number of

employees who worked on R&D activities, by the following types of occupation and gender?

Female employees Male employees Total employees

a. R&D scientists and their

managers (Enter 0 if none) ….............................……

b. R&D engineers and their

managers (not already reported

in row a) (Enter 0 if none) …………….............

c. R&D technicians and

technologists (Enter 0 if none) …..............................….

d. R&D support staff (clerical

and other) (Enter 0 if none) …........................

e. Total R&D employees………………….

Domestic R&D employees by educational attainment  

2.6  Of the number reported in Question 2.5, row e, column 3 (Total Domestic R&D employees),

what was the number of employees by their highest level of educational attainment?

a. College level degrees below the PhD level (Enter 0 if none)………………………………..

b. PhD or equivalent (Enter 0 if none)……………………………………………………………….

c. All other (Enter 0 if none) ……………………………………………………………………………

d. Total R&D employees (equals Question 2.5, row e, column 3)…………………………………………………

Domestic R&D employees employed under a visa  

2.7  Of the number reported in Question 2.5, row e, column 3 (Domestic R&D

employees), what was the number of R&D employees who were employed

under a visa (e.g., H-1B, L-1, etc.)? (Enter 0 if none)

Domestic R&D full-time equivalents (FTEs)  

2.8  What was the number of Domestic full-time equivalents (FTEs) engaged in

R&D activities during 2008?

A full time equivalent is an adjusted count for employees who do not work full

time or for employees who do not work on R&D activities full time. For

example, an employee who works half-time would be counted as one

employee on a headcount basis but as one-half (1/2) an FTE employee.

The number of FTEs and the headcount may differ for your company.

2.9  Of the number reported in Question 2.8 (Domestic FTEs), what was the

number of FTEs engaged in R&D activities funded by U.S. Federal

Government grants or contracts during 2008?

Name of person to contact regarding this section						Title
	Area code	Number		Extension			Area code	Number		Extension
Telephone		-			Fax			-
								Month	Day	Year
E-mail address					Date completed

END OF SECTION 2

SECTION 3 – R&D MANAGEMENT AND STRATEGY

What does this section cover?

This section requests information about the characteristics of this company’s R&D expenses (as reported in Section 1).

Who should answer this section?

Personnel familiar with the technical, managerial, and strategic aspects of this company’s R&D should complete this section.

What is the reporting unit?

Report data for your company, including all subsidiaries and divisions. Include operations of subsidiary companies, where there is more than 50 percent ownership, as well as companies that your company has the power to direct or cause the direction of management and policies.

This section requests information about your company’s R&D at multiple levels of detail: for your global consolidated enterprise, for units or parts of your company defined by geography (countries, states, specific location), and for parts of your company defined by business segment. The questions in this section provide detailed definitions of these terms and clarifying examples.

What is the difference between R&D expense and R&D performance?

This section uses two different concepts to collect information about your company’s R&D: an accounting concept (R&D expense) and a physical concept (R&D performance). The amount of R&D reported using these two concepts might differ.

Report R&D expense using your company's accounting definitions of R&D. Examples of accounting standards commonly used by companies include the Financial Accounting Standards Board (FASB) Statement of Accounting Standards No. 2 (Accounting for Research and Development Costs) and Section 1.174 of the U.S. Code of Federal Regulations (Title 26, Internal Revenue) which defines R&D for tax filing purposes.

Exclude:

• R&D from acquired companies prior to acquisition (in-process R&D)

• Costs for routine product testing, quality control, and technical services

• Work funded or paid for by parties not owned or controlled by your company (these costs are reported in

Section 4).

Report R&D performance based on the location where R&D was carried out.

Exclude:

• R&D performed for your company by external parties not owned or controlled by your company such as

contract research organizations, universities, and federal laboratories.

What does the term "Domestic" mean?

The term "Domestic" refers to the 50 United States and the District of Columbia only.

Are estimates acceptable?

Please report all items to the best of your ability. Reasonable estimates are acceptable.

Example: If figure is $179,125,628.00 report:	$Bil.	Mil.	Thou.
		179	126

Report all dollar amounts rounded to the nearest thousands.

What time period should be reported?

Report data for calendar year 2008, if possible.

Worldwide R&D expense directed toward new business areas  

3.1  Of the amount reported in question 1.1 (Worldwide R&D expense in 2008), what

percentage was directed toward business areas in which this company had no

revenues prior to 2008? (Enter 0 if none)

Example: Company ABC is an automobile manufacturer. In 2008 it began a project

to develop the company’s first motorcycle. Since ABC has never manufactured %

motorcycles in the past, it reports the R&D directed to the motorcycle project in this

question.

Worldwide R&D expense involving science/technology new to this company  

3.2  Of the amount reported in question 1.1 (Worldwide R&D expense in 2008), what

percentage involved science/technology that had not been used by this

company in other projects prior to 2008? (Enter 0 if none)

Example: Company ABC is an automobile manufacturer. In 2008 it began to

explore the potential use of hydrogen fuel cell technology in its vehicles. Since ABC %

had no experience with this technology prior to 2008 it reports its R&D in this area in

this question.

  Worldwide R&D expense both directed toward new business areas and involving science/

technology new to this company  

3.3  Of the amount reported in question 1.1 (Worldwide R&D expense in 2008), what

percentage was both directed toward new business areas for this company and

involved science/technology new to this company? (Enter 0 if none)

Example: Company ABC is an automobile manufacturer. In 2008 it began a project

to develop the company’s first motorcycle. At the same time, ABC begins to explore %

the potential use of hydrogen fuel cell technology in its vehicles—including

motorcycles. Since motorcycle manufacturing is a new business area for ABC and

the company had no prior experience with hydrogen fuel cell technology prior to

2008, it would reports the hydrogen fuel cell R&D related to its motorcycle project in

this question.

Worldwide R&D expense in science/technology new to company’s market(s)  

3.4  Of the amount reported in question 1.1 (Worldwide R&D expense in 2008), what

percentages were in the following categories in relation to the market(s) in which

this company operates?

a. R&D in science/technology new to the marketplace ..................................................................... %

b. R&D to improve upon, replicate, or adopt science/technology currently in use in

the marketplace ........................................................................................................................... %

c. Total .................................................................................................................................... 100%

Worldwide R&D projects  

3.5  As of January 1, 2008, how many R&D projects funded by this company (included

in the R&D expense figure reported in question 1.1) were active Worldwide?

(Enter 0 if none)

3.6  How many new R&D projects funded by this company were started

in 2008 Worldwide? (Enter 0 if none)

3.7  In 2008, how many R&D projects funded by this company moved from R&D into

production or marketing Worldwide? (Enter 0 if none)

3.8  Of the amount reported in question 1.1 (Worldwide R&D expense in 2008),

what percentage was associated with the single largest R&D project funded

by this company? (Enter 0 if none) %

Worldwide R&D partnerships  

3.9  Of the amount reported in Question 1.1 (Worldwide R&D expense in 2008), what

percentage was devoted to partnerships with the following types of organizations?

R&D partnerships are defined here as agreements through which two or more

parties pool resources and expertise to undertake R&D and share in any resulting

intellectual property. R&D partnerships involve shared risk and shared reward.

NOTE: Items may not total 100%.

a. For-profit companies (Enter 0 if none) ............................................................................................... %

b. U.S. federal agencies or laboratories (Enter 0 if none) ...................................................................... %

c. Universities, colleges, and academic researchers, including individual

primary investigators (Enter 0 if none) ............................................................................................... %

d. Other nonprofit organizations (Enter 0 if none) .................................................................................. %

e. Other (please specify) (Enter 0 if none) ........................................................................................... %

3.10  In 2008, how many new R&D partnerships did your company enter into?

(Enter 0 if none)

Worldwide R&D partnerships (cont.)  

3.11  Of the amount reported in Question 3.10 (new R&D partnerships), what percentage

involved partnerships with the following types of organizations?

a. For-profit companies (Enter 0 if none) ........................................................................................... %

b. U.S. federal agencies or laboratories (Enter 0 if none) ...................................................................... %

c. Universities, colleges, and academic researchers, including individual

primary investigators (Enter 0 if none) ............................................................................................... %

d. Other organizations (Enter 0 if none) ............................................................................................... %

e. Total .................................................................................................................................... 100%

3.12  Of the amount reported in Question 3.10 (new R&D partnerships), what percentage

involved partnerships with the following types of organizations?

a. Customers (Enter 0 if none) ............................................................................................................... %

b. Vendors/suppliers (Enter 0 if none) ............................................................................................. %

c. Competitors (Enter 0 if none) ........................................................................................................ %

d. Other organizations (Enter 0 if none) ........................................................................................... %

e. Total ..................................................................................................................................... 100%

External R&D characteristics  

IF EXTERNAL R&D EXPENSES (QUESTION 1.7) = 0 THEN SKIP TO QUESTION 3.17

3.13  Of the amount reported in Question 1.7 (Worldwide external R&D expenses in 2008),

what percentage was for the following categories according to this company’s

primary objective for the R&D?

External R&D expenses are expenses for R&D performed by other parties not

owned or controlled by your company such as contract research organizations,

universities, or government labs.

a. Research (planned, systematic pursuit of new knowledge or understanding)

(Enter 0 if none).......................................................................................................................... %

b. Development of new or significantly improved products, services, or processes

(Enter 0 if none).......................................................................................................................... %

c. Total ................................................................................................................................… 100%

External R&D characteristics (continued)  

3.14  Of the amount reported in Question 3.13, row a (Research), what percentage was

for the following categories according to this company’s primary objective for the

research?

a. Applied research aimed at solving a specific problem or meeting a specific,

recognized need (Enter 0 if none) ................................................................................................... %

b. Basic research aimed at acquiring new knowledge or understanding without

a specific application or use in view (Enter 0 if none) ...................................................................... %

c. Total .................................................................................................................................. 100%

3.15  Of the amount reported in Question 1.7 (Worldwide external R&D expenses

in 2008), what p ercentage was for clinical trials of medical products?

(Enter 0 if none) %

3.16  Of the amount reported in Question 1.7 (Worldwide external R&D expenses

in 2008), what percentage was for the production of prototypes?

(Enter 0 if none) %

Domestic R&D performance characteristics  

If this company did not perform any R&D in the U.S. in 2008 then skip to Question 3.36

3.17  Of the amount reported in Question 1.5, row a, column 2 (Domestic R&D

performance in 2008), what percentage was for the following categories

according to this company’s primary objective for the R&D?

a. Research (planned, systematic pursuit of new knowledge or understanding)

(Enter 0 if none) ........................................................................................................................... %

b. Development of new or significantly improved products, services, or processes

(Enter 0 if none) ............................................................................................................................ %

c. Total ................................................................................................................................... 100%

3.18  Of the amount reported in Question 3.17, row a (Domestic research), what

percentage was for the following categories according to this company’s

primary objective for the research?

a. Applied research aimed at solving a specific problem or meeting a specific,

recognized need (Enter 0 if none) ...................................................................................................... %

b. Basic research aimed at acquiring new knowledge or understanding without a

specific application or use in view (Enter 0 if none) ......................................................................... %

c. Total ................................................................................................................................... 100%

Domestic R&D performance directed toward new business areas  

3.19  Of the amount reported in Question 1.5, row a, column 2 (Domestic R&D

performance in 2008), what percentage was directed toward business areas in

which this company had no revenues prior to 2008? (Enter 0 if none)

Example: Company ABC is an automobile manufacturer. In 2008 it began a project

in its U.S. R&D facility to develop the company’s first motorcycle. Since ABC has %

never manufactured motorcycles in the past, it reports the R&D directed to the

motorcycle project in this question.

Domestic R&D performance involving science/technology new to this company  

3.20  Of the amount reported in Question 1.5, row a, column 2 (Domestic R&D

performance in 2008), what percentage was involved science/technology that had

not been used by this company in other projects prior to 2008? (Enter 0 if none)

Example: Company ABC is an automobile manufacturer. In 2008 it began to explore

the potential use of hydrogen fuel cell technology in its vehicles at its U.S. R&D %

facility. Since ABC had no experience with this technology prior to 2008 it reports its

R&D in this area in this question.

  Domestic R&D performance both directed toward new business areas and involving science/technology new to this company  

3.21  Of the amount reported in Question 1.5, row a, column 2 (Domestic R&D

performance in 2008), what percentage was both directed toward new business

areas for this company and involved science/technology new to this company?

(Enter 0 if none)

Example: Company ABC is an automobile manufacturer. In 2008 it began a project

at its U.S. R&D facility to develop the company’s first motorcycle. At the same time, %

ABC begins to explore the potential use of hydrogen fuel cell technology in its

vehicles—including motorcycles. Since motorcycle manufacturing is a new business

area for ABC and the company had no prior experience with hydrogen fuel cell

technology prior to 2008, it would reports the hydrogen fuel cell R&D related to its

motorcycle project in this question.

Domestic R&D in science/technology new to company’s market(s)  

3.22  Of the amount reported in Question 1.5, row a, column 2 (Domestic R&D

performance in 2008), what percentage was in the following categories in

relation to the market(s) in which this company operates?

a. R&D in science/technology new to the marketplace .......................................................................... %

b. R&D to improve upon, replicate, or adopt science/technology currently in use in

the marketplace ........................................................................................................................... %

c. Total ..................................................................................................................................... 100%

Domestic R&D performance by area of application  

3.23  Of the amount reported in Question 1.5, row a, column 2 (Domestic R&D

performance in 2008), what percentage had defense applications including

military applications and general security-related R&D? (Enter 0 if none)

Example: Company DEF produces mobile surgical units for military use. All of

DEF’s R&D is devoted to improving these products. DEF reports 100% for this %

question.

3.24  Of the amount reported in Question 1.5, row a, column 2 (Domestic R&D

performance in 2008), what percentage had health and medicine applications?

(Enter 0 if none)

Example: Company DEF produces mobile surgical units for military use. All of

DEF’s R&D is devoted to improving these products. DEF reports 100% for this %

question.

3.25  Of the amount reported in Question 1.5, row a, column 2 (Domestic R&D

performance in 2008), what percentage had energy applications including

energy production, distribution, storage, and efficiency? (Enter 0 if none)

Exclude:

• R&D related to prospecting %

Example: Company XYZ is a semiconductor manufacturer. Its products are not

designed specifically for energy applications, but it devotes ten percent of its R&D to

reduce the energy consumption of its products. XYZ reports ten percent for this

question.

3.26  Of the amount reported in Question 1.5, row a, column 2 (Domestic R&D

performance in 2008), what percentage had environmental protection

applications including pollution abatement R&D? (Enter 0 if none) %

3.27  Of the amount reported in Question 1.5, row a, column 2 (Domestic R&D

performance in 2008), what percentage had agricultural applications?

(Enter 0 if none) %

Domestic R&D performance by technology focus / nature of R&D  

3.28  Of the amount reported in Question 1.5, row a, column 2 (Domestic R&D

performance in 2008), what percentages were for the following types of

software?

NOTE: Total may not equal 100%

a. Software as final product (Enter 0 if none) ................................................................................. %

b. Software embedded in other projects (Enter 0 if none) ..................................................................... %

c. Other (please specify) (Enter 0 if none) ....................................................................................... %

d. Total software R&D (Enter 0 if none) ............................................................................................ %

3.29  Of the amount reported in Question 1.5, row a, column 2 (Domestic R&D

performance in 2008), what percentage was for the development of new

or improved processes? (Enter 0 if none) %

3.30  Of the amount reported in Question 1.5, row a, column 2 (Domestic R&D

performance in 2008), what percentage was for clinical trials of medical

products? (Enter 0 if none) %

3.31  Of the amount reported in Question 1.5, row a, column 2 (Domestic R&D

performance in 2008), what percentage was for the production of

prototypes? (Enter 0 if none) %

3.32  Of the amount reported in Question 1.5, row a, column 2 (Domestic R&D

performance in 2008), what percentage was for the operation of pilot plants?

(Enter 0 if none) %

3.33  Of the amount reported in Question 1.5, row a, column 2 (Domestic R&D

performance in 2008), what percentage was for biotechnology (the use of

cellular and bio-molecular processes to solve problems or make useful

products) R&D? (Enter 0 if none) %

3.34  Of the amount reported in question 1.5, row a, column 2 (Domestic R&D

performance in 2008), what percentage was for nanotechnology (science

and technology involving work at the nanometer scale) R&D? (Enter 0 if none) %

Domestic R&D performance by technology focus / nature of R&D (continued) 

3.35  Of the amount reported in question 1.5, row a, column 2 (Domestic R&D

performance in 2008), what percentage was for social sciences R&D (the

application of scientific methods to the study of the human aspects of the

world)? (Enter 0 if none) %

Include:

• R&D in anthropology, economics, political science, psychology, and sociology

Activities with academia  

3.36  Did this company perform any of the following activities with universities,

students, or academic faculty in 2008?

a. Hired academic consultants for short-term projects in science and engineering Yes No

b. Hosted student interns pursuing undergraduate or graduate degrees in science

or engineering for at least one month ................................................................. Yes No

c. Hosted post-doctoral fellows in science or engineering for at least one month ... Yes No

d. Scientists or engineers from this company served as visiting scientists or

engineers at a college or university for at least one month................................... Yes No

Company characteristics  

3.37  Are the following statements true for this company?

a. This company has been in business for 5 or fewer years as of Dec. 31, 2008. Yes No

b. This company was founded to commercialize science/technology discovered

or developed by academic researchers ............................................................... Yes No

c. This company had establishments located in science parks in 2008 .................. Yes No

d. This company received venture capital funding in 2008 ...................................... Yes No

Name of person to contact regarding this section						Title
	Area code	Number		Extension			Area code	Number		Extension
Telephone		-			Fax			-
								Month	Day	Year
E-mail address					Date completed

END OF SECTION 3

This page is intentially blank.

SECTION 4 – R&D FUNDED OR PAID FOR BY OTHERS

What does this section cover?

This section requests information about R&D this company performs that is paid for by other parties not owned or controlled by this company (funded R&D). Because the costs for this work are not paid for by this company they are not accounted for as R&D expenses, even though the nature of the work may be identical to other activities that are

accounted for as R&D expenses by this company.

Who should answer this section?

Personnel familiar with this company's funded R&D and with access to records related to this company's funded R&D activities should complete this section.

What is the reporting unit?

Report data for your company, including all subsidiaries and divisions. Include operations of subsidiary companies, where there is more than 50 percent ownership, as well as companies that your company has the power to direct or cause the direction of management and policies.

This section requests information about your company’s funded R&D at multiple levels of detail: for your global consolidated enterprise, for units or parts of your company defined by geography (countries, states, specific location), and for parts of your company defined by business segment. The questions in this section provide detailed definitions of these terms and clarifying examples.

What is R&D performance?

This section requests information about funded R&D carried out by your company. Report R&D performance based on the location where the R&D was carried out.

Exclude:

• Costs for routine product testing, quality control, and technical services

• Work funded or paid for by parties not owned or controlled by your company such as contract research

organizations, universities, and federal laboratories.

• Payments in excess of the actual cost of the R&D (such as profits or fees)

What does the term "Domestic" mean?

The term "Domestic" refers to the 50 United States and the District of Columbia only.

Are estimates acceptable?

Please report all items to the best of your ability. Reasonable estimates are acceptable.

Example: If figure is $179,125,628.00 report:	$Bil.	Mil.	Thou.
		179	126

Report all dollar amounts rounded to the nearest thousands.

What time period should be reported?

Report data for calendar year 2008, if possible.

Worldwide R&D funded or paid for by others (funded R&D)  

4.1  What was the cost of R&D performed by this company Worldwide

(including Domestic) in 2008 that was funded or paid for by other parties

not owned or controlled by this company?

Include:

• Cost of sales for contract R&D services provided to other parties not

owned or controlled by this company

• Costs for R&D supported by grants from government agencies and

private foundations

• Costs paid for by others for the development, production, and testing of

prototypes prior to their introduction to the market

• Costs paid for by others for phase I - III clinical trials of medical products

Exclude:

• Payments in excess of the actual cost of the R&D (such as profits or fees)

• Costs accounted for as R&D expenses by this company (reported in

Section 1)

• Costs for routine testing of products currently on the market

• Costs for phase IV clinical trials or other post-marketing testing performed

for medical products

4.1a  Was the amount entered in 4.1  greater than zero?

  Yes  Go to 4.2 

  No  Skip to SECTION 5 

Worldwide funded R&D projects  

4.2  As of January 1, 2008, how many R&D projects that were funded or paid

for by others were active Worldwide? (Enter 0 if none)

4.3  How many R&D projects that were funded or paid for by others were

started in 2008 Worldwide? (Enter 0 if none)

4.4  In 2008, what were the costs associated with the single largest R&D

project funded or paid for by others Worldwide? (Enter 0 if none)

Domestic R&D performance funded by others  

4.5  What was the cost of Domestic R&D performed by this company in 2008

that was funded or paid for by other parties not owned or controlled by

this company?

Include:

• Cost of sales for contract R&D services provided to other parties not

owned or controlled by this company

• Costs for R&D supported by grants from government agencies and

private foundations

• Costs paid for by others for the development, production, and testing of

prototypes prior to their introduction to the market

• Costs paid for by others for phase I - III clinical trials of medical products

Exclude:

• Payments in excess of the actual cost of the R&D (such as profits or fees)

• Costs accounted for as R&D expenses by this company (reported in

Section 1)

• Costs for routine testing of products currently on the market

• Costs for phase IV clinical trials or other post-marketing testing performed

for medical products

   Domestic R&D performance funded by others by business segment  

4.6  What were the costs of Domestic R&D performance funded or paid for by others

for each business segment listed or amended on page 4 of this form?

Business segment code

(see worksheet on page 4)

a.    ..................................................................................

b.    ....................................................................................

c.    ....................................................................................

d.    ......................................................................................

e.    .....................................................................................

f.    ....................................................................................

g.    ....................................................................................

h.    ....................................................................................

i.   (Less eliminations)  .....................................................................................

j.   TOTAL (equals question 4.5) .....................................................................................

Domestic R&D performance funded by others by type of cost  

4.7  Of the amount reported in Question 4.5 (Domestic R&D performance funded or

paid for by others), what were the amounts for the following types of

costs in 2008?

a. Gross annual payroll (wages and salaries of R&D employees and

officers excluding fringe benefits)...............................................................................................

b. Employer’s cost for fringe benefits.................................................................................

Include:

• Disability benefits;

• Life and medical insurance;

• Paid holidays, time off benefits, vacation, annual, sick, and

maternity leave;

• Retirement benefits, pension, and social security contributions.

c. Temporary staffing and leased employees....................................................................

d. Expensed equipment.....................................................................................................

e. Materials and supplies (both those purchased and those withdrawn

from inventory)........................................................................................................

f. Lease and rental payments............................................................................................

g. Depreciation on R&D property and equipment..............................................................

Include:

• Depreciation and amortization against property and equipment

acquired since the beginning of the year that was sold or retired

during the year and not in service at the end of the year;

h. Stock option expense....................................................................................................

i. All other costs................................................................................................................

j. Total (equals question 4.5) ...........................................................................................

Domestic R&D performance funded by others by type of funding  

4.8  Of the amount reported in Question 4.5 (Domestic R&D performance funded or

paid for by others), what were the amounts received from each of the

following types of agreements? (Enter 0 if none)

a. Contracts............................................................................................................................

b. Grants, reimbursements, and all other agreements..........................................................

c. Total (equals question 4.5)..................................................................................................

Domestic R&D performance funded by others by source of funding  

4.9  Of the amount reported in Question 4.5 (Domestic R&D performance funded or

paid for by others), what were the amounts received from the following

types of organizations? (Enter 0 if none)

a. For-profit companies....................................................................................................

1. Foreign companies ............................................................................

b. U.S. federal government agencies – Include prime contracts and

subcontracts............................................................................................................

c. State and local governments – Include prime contracts and subcontracts.................

d. All other organizations (including foreign governments)..............................................

1. Foreign organizations ..........................................................................

e. Total (equals question 4.5).........................................................................................

Domestic R&D performance funded by others by state  

4.10  Of the amount reported in Question 4.5 (Domestic R&D performance funded or

paid for by others), what were the costs by state (including D.C.)?

Alabama.............................. Idaho..............................

Alaska................................. llinois............................

Arizona................................ Indiana................................

Arkansas............................. Iowa............................

California............................. Kansas.........................

Colorado............................. Kentucky........................

Connecticut......................... Louisiana..............................

Delaware............................. Maine.........................

District of Columbia............. Maryland................

Florida................................. Massachusetts..........................

Georgia............................... Michigan........................

Hawaii.................................

QUESTION CONTINUES ON NEXT PAGE

Domestic R&D performance funded by others by state (continued)  

4.10  (continued)

Minnesota.............................. Oregon..................

Mississippi.............................. Pennsylvania..................

Missouri.............................. Rhode Island..................

Montana.............................. South Carolina …...............

Nebraska............................ South Dakota................

Nevada............................... Tennessee..................

New Hampshire.................. Texas......................

New Jersey......................... Utah …..........................

New Mexico........................ Vermont................................

New York............................ Virginia..........................

North Carolina.................... Washington ……….................

North Dakota...................... West Virginia.....................

Ohio.................................... Wisconsin...................

Oklahoma........................... Wyoming........................

  Total (equals

question 4.5)....................................

Characteristics of domestic R&D performance funded by others  

4.11  Of the amount reported in Question 4.5 (Domestic R&D performance funded or

paid for by others), what are the percentages for the following categories

according to this company’s primary objective for the R&D?

a. Research (planned, systematic pursuit of new knowledge or understanding)

(Enter 0 if none) ............................................................................................................................ %

b. Development of new or significantly improved products, services, or processes

(Enter 0 if none) .............................................................................................................................. %

c. Total..................................................................................................................................... 100 %

4.12  Of the amount reported in Question 4.11, row a (Research funded or

paid for by others), what are the percentages for the following categories

according to this company’s primary objective for the research?

a. Applied research aimed at solving a specific problem or meeting a

specific, recognized need (Enter 0 if none).......................................................................................... %

b. Basic research aimed at acquiring new knowledge or understanding

without a specific application or use in view (Enter 0 if none)............................................................. %

c. Total ..................................................................................................................................... 100 %

Domestic R&D performance funded by others by type of R&D  

4.13  Of the amount reported in Question 4.5 (Domestic R&D performance funded or

paid for by others), what was the percentage for clinical trials (phases 1 through 3)

of medical products? (Enter 0 if none) %

4.14  Of the amount reported in Question 4.5 (Domestic R&D performance funded or

paid for by others), what was the percentage for the production of prototypes?

(Enter 0 if none) %

Domestic R&D performance funded by others by area of application  

4.15  Of the amount reported in Question 4.5 (Domestic R&D performance funded or

paid for by others), what percentage had defense applications including

military applications and general security-related R&D? (Enter 0 if none)

Example: Company DEF produces mobile surgical units for military use. All of

DEF’s funded R&D is devoted to improving these products. DEF reports 100% for %

this question because all of this R&D had defense applications.

4.16  Of the amount reported in Question 4.5 (Domestic R&D performance funded or

paid for by others), what percentage had health and medicine applications?

(Enter 0 if none)

Example: Company DEF produces mobile surgical units for military use. All of

DEF’s funded R&D is devoted to improving these products. DEF reports 100% for %

this question because of this R&D had medical applications.

4.17  Of the amount reported in Question 4.5 (Domestic R&D performance funded or

paid for by others), what percentage had energy applications including energy

production, distribution, storage, and efficiency? (Enter 0 if none)

Exclude:

• R&D related to prospecting %

Example: Company XYZ is a semiconductor manufacturer that receives R&D

funding from the federal government. Half of XYZ’s funded R&D is focused on

finding ways to reduce the energy consumption of semiconductor products. XYZ

reports 50% for this question.

4.18  Of the amount reported in Question 4.5 (Domestic R&D performance funded or

paid for by others), what percentage had environmental protection

applications including pollution abatement R&D? (Enter 0 if none) %

4.19  Of the amount reported in Question 4.5 (Domestic R&D performance funded or

paid for by others), what percentage had agricultural applications?

(Enter 0 if none) %

Domestic R&D performance funded or paid for by the federal government  

4.20  Was the amount reported in Question 4.9, row b (R&D funded or paid for

by U.S. federal government agencies) zero?

  Yes  Skip to 4.24 

  No  Go to 4.21 

4.21  Of the amount reported in Question 4.9, row b (R&D funded or paid for

by U.S. federal government agencies), what were the percentages for the

following categories according to this company’s primary objective

for the R&D? (Enter 0 if none)

a. Research (planned, systematic pursuit of new knowledge or understanding)

(Enter 0 if none) ............................................................................................................................ %

b. Development of new or significantly improved products, services, or processes

(Enter 0 if none) .............................................................................................................................. %

c. Total...................................................................................................................................... 100 %

4.22  Of the amount reported in Question 4.21, row a (research funded or paid

for by U.S. federal agencies), what were the percentages for the following

categories according to this company’s primary objective for the

research? (Enter 0 if none)

a. Applied research aimed at solving a specific problem or meeting a

specific, recognized need (Enter 0 if none)........................................................................................ %

b. Basic research aimed at acquiring new knowledge or understanding

without a specific application or use in view (Enter 0 if none)........................................................... %

c. Total ..................................................................................................................................... 100 %

4.23  What was the cost for the production of prototypes included in Question

4.9, row b (R&D funded or paid for by U.S. federal government

agencies)? (Enter 0 if none)

Projected R&D funded or paid for by others  

4.24  What are this company’s worldwide projected costs in 2009 for R&D

funded or paid for by others? (Enter 0 if none)

4.25  What are this company’s projected costs in 2009 for Domestic R&D

that is funded or paid for by others? (Enter 0 if none)

Name of person to contact regarding this section						Title
	Area code	Number		Extension			Area code	Number		Extension
Telephone		-			Fax			-
								Month	Day	Year
E-mail address					Date completed

END OF SECTION 4

SECTION 5 – INTELLECTUAL PROPERTY AND TECHNOLOGY TRANSFER

What does this section cover?

This section requests information about your company’s intellectual property (IP) and technology transfer activities.

Who should answer this section?

Personnel familiar with knowledge of this company’s patents, licensing, and other IP-related activities.

What is the reporting unit?

Report data for your company, including all subsidiaries and divisions. Include operations of subsidiary companies, where there is more than 50 percent ownership, as well as companies that your company has the power to direct or cause the direction of management and policies.

This section requests information about your company’s R&D at multiple levels of detail: for your global consolidated enterprise, for units or parts of your company defined by geography (countries, states, specific location), and for parts of your company defined by business segment. The questions in this section provide detailed definitions of these terms and clarifying examples.

What does the term "Domestic" mean?

The term "Domestic" refers to the 50 United States and the District of Columbia only.

Are estimates acceptable?

Please report all items to the best of your ability. Reasonable estimates are acceptable.

What time period should be reported?

Report data for calendar year 2008, if possible.

Patents  

5.1  In 2008, did this company own, apply for, or have pending utility patents

(patents for invention) from the U.S. Patent and Trademark Office (USPTO)?

Yes -> Continue with question 5.2 

No -> Skip to question 5.9 

5.2  How many U.S. utility patents did this company apply for in 2008?

(Enter 0 if none)

5.3  For what percentage of the patent applications reported in question 5.2 does

this company plan to apply for patents in foreign jurisdictions or already

possess patents in foreign jurisdictions? (Enter 0 if none) %

5.4  For what percentage of the patent applications reported in question 5.2 did

the innovation originate outside of this company’s organized R&D activities?

(Enter 0 if none) %

5.5  How many U.S. utility patents were issued to this company in 2008 by the

USPTO? (Enter 0 if none)

5.6  What percent of all company inventions considered for patenting in 2008

resulted in patent applications? (Enter 0 if none) %

Licensing patents to outside parties  

5.7  In 2008, how many new agreements did this company enter into to license

patents to parties not owned or controlled by this company? (Enter 0 if none)

5.8  If any of the licensing agreements reported in question 5.7 involved royalty

payments, what is the average royalty rate (as a percentage of gross sales)

for those agreements? (Enter 0 if none) %

Intellectual property transfer activities  

5.9  During 2008 did this company perform the following activities?

a. Participate in technical assistance or “know-how” agreements to transfer

intellectual property (IP) to another party .................................................................. Yes No

b. Participate in technical assistance or “know-how” agreements to receive

intellectual property (IP) from another party .............................................................. Yes No

c. Transfer IP to a spin out of your company (in which the owners of your

company maintain an equity stake) ........................................................................... Yes No

d. Receive IP from a parent company as part of a spin out (in which the owners

of the parent company maintain an equity stake in your company) .......................... Yes No

e. Acquire a controlling interest in another company for the primary purpose of

acquiring their IP ........................................................................................................ Yes No

f. Participate in cross-licensing agreements (agreements in which two or more

parties grant a license to each other for the exploitation of the subject-matter

claimed in one or more of the patents owned by each party) .................................... Yes No

g. Allowed free use of patents or other IP owned by this company (e.g., allowing

free use of certain software patents by the open-source community) ....................... Yes No

Intellectual property protection  

5.10  How important are the following types of intellectual property

protection for discoveries resulting from this company’s R&D?

Very Somewhat Not

important important important

a. Patents ....................................................................................

b. Trademarks .............................................................................

c. Copyrights ................................................................................

d. Mask works (copyright protection for semiconductor products)

e. Trade secrets ............................................................................

Name of person to contact regarding this Section						Title
	Area code	Number		Extension			Area code	Number		Extension
Telephone		-			Fax			-
								Month	Day	Year
E-mail address					Date completed

END OF SECTION 5

GENERAL INFORMATION

Please complete the following questions before returning this survey.

6.1  Is the time period covered by this report a calendar year?

  Yes  Continue with next question

  No  Enter time period covered

From (MM/YYYY): To (MM/YYYY):

6.2  Complete the following ownership information (if you checked ‘Yes” to Eligibility Criteria

Question C or D on page 2 you should provide this information)

Name of new owner: EIN (9 digits)

Mailing address

City State ZIP

 

6.3  How many people were involved in the preparation of this report,

including those who provided, collected, or reviewed information?

6.4  How long did it take to complete this survey, including the time spent by all Hours

employees gathering and providing this information?

Certification – This report is substantially accurate and was prepared in accordance with the instructions
Name of person to contact regarding this report						Title
	Area code	Number		Extension			Area code	Number		Extension
Telephone		-			Fax			-
								Month	Day	Year
E-mail address					Date completed

R emarks (Please use the space below for any explanations that may help us understand your reported data.)

Thank you for completing your 2008 Business Research and Development Survey.

PLEASE PHOTOCOPY THIS FORM FOR YOUR RECORDS AND RETURN THE ORIGINAL.

8