Benchmark Survey of U.S. Direct Investment Abroad--2014

BE-10 Instructions

OMB No. 0608-0049: Approval Expires 11/30/2012

(REV. 2/2010)

U.S. DEPARTMENT OF COMMERCE
BUREAU OF ECONOMIC ANALYSIS

2009 BENCHMARK SURVEY OF U.S. DIRECT INVESTMENT ABROAD
INSTRUCTION BOOKLET FOR FORMS BE-10A,
BE-10B, BE-10C, AND BE-10D
The Bureau of Economic Analysis (BEA) is conducting the 2009 Benchmark Survey of U.S. Direct
Investment Abroad. BEA will use the data collected to provide a factual framework through which
policymakers and the general public may address issues pertaining to U.S. direct investment
abroad. Reporting on the survey is mandatory under the International Investment and Trade in
Services Survey Act (22 U.S.C. 3101-3108). By the same law, BEA may use the information
reported only for analytical and statistical purposes and, without your written permission,
individually identifiable data cannot be disclosed.
The benchmark survey obtains universe data on the financial and operating characteristics of, and
on positions and transactions between, U.S. parent companies and their foreign affiliates. These
data are used to derive current universe estimates of direct investment from sample data BEA
collects in nonbenchmark years. In particular, the data serve as benchmarks for the quarterly
direct investment statistics included in the U.S. international transactions and national income and
product accounts, and for annual statistics on the U.S. direct investment position abroad and of
the operations of U.S. parent companies and their foreign affiliates.
Each U.S. business enterprise that, at any time during its 2009 fiscal year, directly or indirectly
owned or controlled 10 percent or more of a foreign business enterprise must file this survey. See
this Instruction Booklet for reporting requirements and general instructions. You must return
the completed survey by May 28, 2010 if you have fewer than 50 forms to file and by June 30,
2010 if you have 50 or more forms to file. If you received this survey but are not required to
report, you must complete a "Claim for Not Filing a BE-10" and return it to BEA by the due date of
the survey.
The Bureau is aware of the reporting burden that surveys such as this impose on respondents,
and it has sought to keep this burden to the minimum consistent with achieving the objectives of
the survey. Nonetheless, I recognize and appreciate your efforts to meet the reporting
requirements.
If you have questions, please call my staff at (202) 606–5566 or contact us by e-mail at
be10/[email protected]. Thank you for your cooperation.
Sincerely,

J. Steven Landefeld
Director
Bureau of Economic Analysis

Prints Black 100%

CONTENTS
PAGE
I. REPORTING REQUIREMENTS
A. Who must report. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

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B. Forms for U.S. Reporters and foreign affiliates . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

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1. Form BE-10A – Report for U.S. Reporter . . . . . . . . . . . . .
a. Basic requirements . . . . . . . . . . . . . . . . . . . . . . . . . .
b. Definition of "fully consolidated U.S. domestic business
c. Calculation of ownership percentage. . . . . . . . . . . . . .
d. Other requirements for filing Form BE-10A . . . . . . . . .

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II. DEFINITIONS . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

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2. Form BE-10B, BE-10C, or BE-10D – Report for foreign affiliate . . . . .
a. Basic requirements for BE-10B . . . . . . . . . . . . . . . . . . . . . . . . .
b. Basic requirements for BE-10C . . . . . . . . . . . . . . . . . . . . . . . . .
c. Basic requirements for BE-10D . . . . . . . . . . . . . . . . . . . . . . . . .
d. Other requirements for filing Forms BE-10B, BE-10C, and BE-10D.

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III. CLARIFICATION OF COVERAGE
A.
B.
C.
D.
E.
F.
G.
H.
I.
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Accounting methods and records . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
Translation of foreign currency financial and operating data into U.S. dollars
Method of accounting for equity investments. . . . . . . . . . . . . . . . . . . . . . .
Industry classifications . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
Estimates . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
Specify . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
Space on form insufficient . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

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Determining existence of a foreign affiliate . . . . . . . . . . . . . . . . . . . . . .
U.S. Reporter owned by a foreign person . . . . . . . . . . . . . . . . . . . . . . .
Partnerships . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
Determining country of residence or jurisdiction of individuals . . . . . . . .
Foreign affiliate operating completely outside its country of incorporation
Agencies and representative offices . . . . . . . . . . . . . . . . . . . . . . . . . . .
Foreign affiliate owned for only part of FY 2009 . . . . . . . . . . . . . . . . . . .
Real estate . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
Airlines and ship operators . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
Estates, trusts, and intermediaries. . . . . . . . . . . . . . . . . . . . . . . . . . . . .

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IV. GENERAL INSTRUCTIONS
A.
B.
C.
D.
E.
F.
G.

V. U.S.EXPORTS AND IMPORTS OF GOODS
A.
B.
C.
D.
E.

Timing . . . . . . . . . . . . . . . . . . . . . .
Trade of the U.S. Reporter . . . . . . . .
Trade of a foreign affiliate . . . . . . . .
By (or to) whom goods were shipped
Valuation of exports and imports . . .

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Due date . . . . . . . . . . . . . . . . . . . . . . . .
Extensions . . . . . . . . . . . . . . . . . . . . . . .
Assistance . . . . . . . . . . . . . . . . . . . . . . .
Retention of copies . . . . . . . . . . . . . . . . .
Electronic filing option (eFile) . . . . . . . . . .
Where to send the report . . . . . . . . . . . . .
Confidentiality . . . . . . . . . . . . . . . . . . . .
Annual stockholders’ report and Form 10K.

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11

VI. FILING THE BE-10
A.
B.
C.
D.
E.
F.
G.
H.

BE-10 Order Form

Page 2

Prints Black 100%

BE-10 Instructions (REV. 2/2010)

I. REPORTING REQUIREMENTS
Authority – This survey is being conducted pursuant to the
International Investment and Trade in Services Survey Act (P.L.
94-472, 90 Stat. 2059, 22 U.S.C. 3101-3108, as amended –
hereinafter "the Act"), and the filing of reports is mandatory
pursuant to Section 5(b)(2) of the Act (22 U.S.C. 3104).
The publication in the Federal Register of the final rule
implementing this survey is considered legal notice to U.S.
business enterprises of their obligation to report. Therefore, a
response is required from persons subject to the reporting
requirements of the BE-10 survey, whether or not they are
contacted by BEA. Also, a person, or their agent, contacted by BEA
concerning their being subject to reporting, either by sending them
a report form or by written inquiry, must respond in writing
pursuant to section 806.4 of 15 CFR, Chapter VIII. This may be
accomplished by: (1) certifying in writing, by the due date of the
survey, to the fact that the person had no direct investment within
the purview of the reporting requirements of the BE-10 survey; (2)
completing and returning the "BE-10 Claim for Not Filing" by the
due date of the survey; or (3) filing the properly completed BE-10
report by May 28, 2010, or June 30, 2010, as required.
Penalties – Whoever fails to report shall be subject to a civil penalty
of not less than $2,500, and not more than $25,000, and to injunctive
relief commanding such person to comply, or both. Whoever willfully
fails to report shall be fined not more than $10,000 and, if an
individual, may be imprisoned for not more than one year, or both.
Any officer, director, employee, or agent of any corporation who
knowingly participates in such violations, upon conviction, may be
punished by a like fine, imprisonment or both (22 U.S.C. 3105).
Notwithstanding any other provision of the law, no person is required
to respond to, nor shall any person be subject to a penalty for failure
to comply with, a collection of information subject to the requirements
of the Paperwork Reduction Act, unless that collection of information
displays a currently valid OMB Control Number. The control number
for this survey, 0608-0049, appears at the top of each form.
Forms comprising a BE-10 report are:
1. Form BE-10A – Report for U.S. Reporter;
2. Form BE-10B – Report for majority-owned foreign affiliates of
U.S. parents with assets, sales, or net income greater than $80
million (positive or negative);
3. Form BE-10C – Report for majority-owned foreign affiliates of
U.S. parents with assets, sales, or net income greater than $25
million (positive or negative) but no one of these items was greater
than $80 million (positive or negative); for minority-owned foreign
affiliates of U.S. parents with assets, sales, or net income greater
than $25 million (positive or negative); and for foreign affiliates for
which no one of the items: assets, sales, and net income was
greater than $25 million (positive or negative) and is a foreign
affiliate parent of another foreign affiliate being filed on Form
BE-10B or BE-10C;
4. Form BE-10D – Report for foreign affiliates for which no one
of the items: assets, sales, and net income was greater than
$25 million (positive or negative), and is not a foreign affiliate
parent of another foreign affiliate being filed on Form BE-10B
or BE-10C. See I.B.2.b.3.
For definitions of terms, see Section II of these instructions.
A. Who must report – A BE-10 report is required of any U.S.
person that had a foreign affiliate – that is, that had direct or
indirect ownership or control of at least 10 percent of the voting
stock of an incorporated foreign business enterprise, or an
equivalent interest in an unincorporated foreign business
enterprise – at any time during the U.S. person’s 2009 fiscal year.
If the U.S. person had no foreign affiliates during its 2009 fiscal
year, it must file a "BE-10 Claim for Not Filing"; no other forms in
the survey are required. If the U.S. person had any foreign
affiliates during its 2009 fiscal year, a BE-10 report is required and
the U.S. person is a U.S. Reporter in this survey. To determine
which forms must be filed, U.S. Reporters should see I.B.
B. Forms for U.S. Reporters and foreign affiliates
1. Form BE-10A – Report for U.S. Reporter
a. Basic requirements – Each U.S. Reporter must complete a
BE-10A report. If the U.S. Reporter is a corporation, Form
BE-10A must cover the fully consolidated U.S. domestic
BE-10 Instructions (REV. 2/2010)

Prints Black 100%

business enterprise (banking and nonbanking). See
I.B.1.b. for the definition of "fully consolidated U.S.
domestic business enterprise."
The U.S. Reporter must file a complete Form BE-10A
if any one of the following three items of the fully
consolidated U.S. domestic business enterprise was
greater than $300 million (positive or negative) at any
time during the Reporter’s 2009 fiscal year:
(1) total assets,
(2) sales or gross operating revenues excluding sales
taxes, or
(3) net income after provision for foreign income taxes.
The U.S. Reporter must file a partial Form BE-10A if
no one of the three items listed above for the fully
consolidated U.S. domestic business enterprise was
greater than $300 million (positive or negative) at any
time during the Reporter’s 2009 fiscal year.
The U.S. Reporter, whether filing a complete or partial
BE-10A report, must also complete a Form BE-10B,
BE-10C, or BE-10D, as appropriate, for its foreign
affiliate(s). See I.B.2.
b. Definition of "fully consolidated U.S. domestic
business enterprise" – The fully consolidated U.S.
domestic business enterprise is defined as: 1. the U.S.
corporation whose voting securities are not owned
more than 50 percent by another U.S. corporation,
and 2. proceeding down each ownership chain from
that U.S. corporation, any U.S. corporation (including
Foreign Sales Corporations located in the United
States) whose voting securities are more than 50
percent owned by the U.S. corporation above it. This
consolidation excludes foreign branches and all
other foreign affiliates.
Conditions may exist that cause a U.S. parent company
to exclude a domestic subsidiary from its
consolidation. If a U.S. Reporter cannot consolidate all
of its domestic subsidiaries in its Form BE-10A, it must
request and be granted written permission from BEA
to file on an unconsolidated basis prior to filing the
report. The U.S. parent is responsible for ensuring that
the required Forms BE-10A and related Forms BE-10B,
BE-10C, and BE-10D for itself and any unconsolidated
domestic subsidiaries, are filed with BEA. The filing
deadline for an unconsolidated domestic subsidiary is
the same as that for its U.S. parent.
c. Calculation of ownership percentage – A U.S.
Reporter’s ownership interest in a foreign business
enterprise may be directly held, indirectly held, or
both. It is directly held if the U.S. Reporter itself
holds the ownership interest in a foreign business
enterprise. It is indirectly held if, for example, the
U.S. Reporter holds an ownership interest in another
foreign business enterprise that, in turn, owns the
given foreign business enterprise. The Reporter
must sum all direct and indirect lines of ownership
interest in the foreign business enterprise to
determine whether it holds a foreign business
enterprise to the extent of 10 percent or more,
directly or indirectly. Note – An associated group is
deemed to be one U.S. Reporter. See II.C for a
definition of an associated group.
A U.S. Reporter’s percentage of indirect ownership
interest in a given foreign business enterprise is the
product of the direct ownership percentage that the
U.S. Reporter has in the first foreign business
enterprise in the ownership chain, multiplied by that
first enterprise’s direct ownership percentage in the
second enterprise in the chain, multiplied by the direct
ownership percentages for all other intervening
enterprises in the ownership chain, multiplied by the
last intervening enterprise’s direct ownership
percentage in the given foreign business enterprise. To
illustrate, assume the U.S. Reporter owned 50 percent
Page 3

I. REPORTING REQUIREMENTS — Continued
of foreign business enterprise A directly, and that A
owned 75 percent of foreign business enterprise B
which, in turn, owned 80 percent of foreign business
enterprise C. Then the U.S. Reporter’s percentage of
indirect ownership of B would be 37.5 percent (the
product of the first two percentages), its indirect
ownership of C would be 30 percent (the product of all
three percentages), and B and C (as well as A) would
be considered foreign affiliates of the U.S. Reporter.
d. Other requirements for filing Form BE-10A –
(1) Foreign affiliate owned by only part of the fully
consolidated U.S. domestic business enterprise –
The U.S. Reporter is deemed to be the fully
consolidated U.S. domestic business enterprise even if
only one entity in the consolidated U.S. enterprise
directly owns the foreign affiliate.
(2) U.S. Reporter that is an individual, estate, trust,
or nonprofit organization – A U.S. Reporter that is
an individual, estate, trust, or religious, charitable, or
other nonprofit organization, and that owns a foreign
affiliate directly, rather than through a U.S. business
enterprise, should complete only items 1, 2, and 5 of
Form BE-10A.

Note – Unless otherwise stated, whenever reference is
made to the financial or operating data of a foreign
affiliate, such as assets, sales, or net income, the data
are to represent 100 percent of the foreign affiliate and
not just the portion, if less than 100 percent, owned by
the U.S. Reporter(s). Also, do not eliminate an affiliate’s
receivables due from its parent or from other affiliated
persons from the affiliate’s total assets when applying
the reporting criteria for this report.
An affiliate is majority–owned by virtue of being owned
more than 50 percent by all U.S. Reporters of the affiliate
combined.

a. Basic requirements for BE-10B – A BE-10B must be filed
for each foreign affiliate of a U.S. Reporter, whether held
directly or indirectly, for which any one of the following
three items was greater than $80 million (positive or
negative) at any time during the affiliate’s 2009 fiscal year:
(1) total assets,
(2) sales or gross operating revenues excluding sales
taxes, or
(3) net income after provision for foreign income taxes.
b. Basic requirements for BE-10C – A BE-10C must be
filed for:
(1) each majority-owned foreign affiliate of a U.S.
(3) U.S. business enterprise owned by an individual,
Reporter, whether held directly or indirectly, for
estate, trust, or nonprofit organization – If a U.S.
which any one of the three items listed in I.B.2.a.
individual, estate, trust, or nonprofit organization owns
was greater than $25 million (positive or negative),
more than 50 percent of a U.S. business enterprise
but for which no one of these items was greater
that, in turn, owns a foreign affiliate, then the U.S.
than $80 million (positive or negative) at any time
Reporter is deemed to be the U.S. business enterprise,
during the affiliate’s 2009 fiscal year;
not the individual, etc. The BE-10 report must be filed
by, and Form BE-10A must be for, the U.S. business
(2) each minority-owned foreign affiliate of a U.S. Reporter
enterprise not the individual, etc. However, direct
for which any one of the three items listed in I.B.2.a.
financial transactions or positions, if any, by the
was greater than $25 million (positive or negative) at
individual, etc., with the foreign affiliate must be
any time during the affiliate’s 2009 fiscal year; and
included in the business enterprise’s report.
(3) each foreign affiliate of a U.S. Reporter for which no
(4) U.S. Reporter owned by a foreign person (see II.Q.) –
one of the three items listed in I.B.2.a. was greater than
A U.S. Reporter that is a U.S. affiliate of a foreign person
$25 million (positive or negative) at any time during
and that is filing a 2009 BE-15A, Annual Survey of
the affiliate’s 2009 fiscal year that is a foreign affiliate
Foreign Direct Investment in the United States should
parent of another foreign affiliate being filed on Form
only complete items 1 through 11, 28 through 30, 47
BE-10B or BE-10C.
through 50, 62 through 90, and 94 through 99. If the U.S.
c. Basic requirements for BE-10D – A BE-10D must be
Reporter is filing a BE-15B, or BE-15(EZ), in lieu of the
filed for foreign affiliate(s) of a U.S. Reporter for
BE-15A, it should complete the entire Form BE-10A.
which no one of the three items listed in 1.B.2.a. was
See also III.B.
greater than $25 million (positive or negative) at any
(5) Joint ownership of foreign affiliate – If two or more
time during the affiliate’s 2009 fiscal year, and is not
U.S. Reporters jointly own, directly or indirectly, a
a foreign affiliate parent of another foreign affiliate
foreign affiliate, each U.S. Reporter must file a Form
being filed on Form BE-10B or BE-10C. See I.B.2.b.3.
BE-10A.
d. Other requirements for filing Forms BE-10B,
2. Form BE-10B, BE-10C, or BE-10D – Reports for foreign
BE-10C, and BE-10D –
affiliates. The coverage of the forms is summarized in the
following chart.
(1) Rules for consolidation of foreign affiliate – Use
the following rules to determine which foreign
Form BE-10B, C, or D – Report for foreign affiliates.
business enterprises may be consolidated into one
The coverage of the forms is summarized in the chart below.
foreign affiliate report:
MAJORITY-OWNED MINORITY-OWNED
Ownership
(a) FOREIGN BUSINESS ENTERPRISES LOCATED IN
FOREIGN AFFILIATE FOREIGN AFFILIATE
U.S. $ amount
DIFFERENT COUNTRIES MAY NOT, UNDER ANY
CIRCUMSTANCES, BE CONSOLIDATED.
BE-10B,
At least one of the three items* is
greater than $300 mil. (+ or -).

except Part III

At least one of the three items* is
greater than $80 mil. (+ or -), but
no one is greater than $300 mil.
(+ or -),

BE-10B,
except Part IV

At least one of the three items* is
greater than $25 mil. (+ or -), but
no one is greater than $80 mil.
(+ or -),
All three items* are less
than $25 mil. (+ or -).

BE-10C

BE-10C**

BE-10D** (Schedule)

* Total assets, sales or gross operating revenues excluding sales
taxes, net income (loss) after provision for foreign income taxes.
** If a foreign affiliate meeting the reporting requirements for
Form BE-10D owns another foreign affiliate being filed on
Form BE-10B or BE-10C, the foreign affiliate parent must be
filed on Form BE-10C.

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(b) Foreign business enterprises located in the same
country that are integral parts of the same business
operation may be consolidated into one affiliate
report.
(c) Foreign business enterprises located in the same
country and in the same BEA 4-digit International
Surveys Industry (ISI) code, as defined in the Guide
to Industry Classifications for International
Surveys, 2007 may be consolidated.
(d) Foreign business enterprises that have an equity
investment in an unconsolidated business
enterprise, should report that investment using
the equity method of accounting. See also IV.C.

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I. REPORTING REQUIREMENTS – Continued
(e) Foreign bank branches of the U.S. Reporter that are
located in the same country must be consolidated on
one Form BE-10B, BE-10C, or BE-10D, even if the U.S.
Reporter’s practice is to report data for these
branches separately to the Federal Reserve (on Form
FFIEC 030) or to the Comptroller of the Currency.
Incorporated foreign bank affiliates of the U.S.
Reporter located in the same country may be
consolidated.
(f) Bank and nonbank enterprises located in the same
country may not be consolidated.
Note – A U.S. Reporter that participates in BEA’s
BE-577 quarterly survey of U.S. direct investment
abroad, Direct Transactions of a U.S. Reporter
with Foreign Affiliate, must consolidate foreign
business enterprises on Form BE-10B, BE-10C, or
BE-10D in the same manner as on Form BE-577.

reflect the foreign affiliate’s relationship with the
entire U.S. enterprise, not merely with one division,
operating unit, or part.
(5) Reporting for majority- or minority-owned, and
for directly or indirectly owned, foreign
affiliates – The specific items required to be
reported on Form BE-10B or BE-10C, depend on
whether the foreign affiliate was majority or
minority-owned, and on whether it was directly or
indirectly owned, by the U.S. Reporter. For example,
on the BE-10C, Part V must be completed only if the
affiliate is majority-owned. Similarly, more
information is required for directly owned than for
indirectly owned foreign affiliates on Forms BE-10B
and BE-10C. Specifically, for an indirectly owned
foreign affiliate, only direct transactions and
positions between the affiliate and the U.S. Reporter
are to be reported in Part V of Form BE-10B, and
Part III of Form BE-10C. Unless otherwise specified
in the instructions on Forms BE-10B or BE-10C, all
other items in each Part must be completed.

(2) Reporting of foreign affiliates owned by more
than one U.S.Reporter – If the foreign affiliate is
owned directly and/or indirectly by more than one
II. DEFINITIONS
U.S. Reporter, the U.S. Reporter with the highest
A. 2009 fiscal year is the U.S. Reporter’s or the foreign
percentage of ownership in the foreign affiliate (direct
affiliate’s financial reporting year that has an ending date in
and indirect combined) must file a complete Form
calendar year 2009. U.S. Reporters or affiliates having a
BE-10B, BE-10C, or BE-10D on which all Parts have
"52/53 week" fiscal year that ended within the first week of
been completed. The other U.S. Reporter(s) with total
January 2010 are considered to have a 2009 fiscal year for
direct and indirect ownership of 10 percent or more
purposes of filing this survey, and should report December
must file a partial:
31, 2009 as their 2009 fiscal year end. A business enterprise
• BE-10B Part I, items 1–24 and Part V;
that does not have a financial reporting year, or does not
• BE-10C Part I, items 1–17 and Part III, or
have a financial reporting year ending in calendar year
2009, is deemed to have a fiscal year identical to calendar
• BE-10D with the affiliate’s name, country of location,
year 2009.
primary industry, ownership percentages and debt
balances.
Change in fiscal year
If no one of the U.S. Reporters owns a greater share of
(1) New fiscal year ends in calendar year 2009 – A U.S.
the foreign affiliate than the other U.S. Reporter(s),
Reporter that changed the ending date of its financial
then the U.S. Reporters must decide which one will file
reporting year should file a 2009 BE-10 report that covers
the complete Form BE-10B, BE-10C, or BE-10D and
the 12 month period prior to the new fiscal year end date.
which one(s) will file a partial Form BE-10B, BE-10C, or
The following example illustrates the reporting
BE-10D.
requirements.
Note – The U.S. Reporter filing a complete BE-10B or
Example 1: The U.S. Reporter had a June 30, 2008
BE-10C for a foreign affiliate owned by more than one
fiscal year end date but changed its 2009 fiscal year
U.S. Reporter should note that data must be reported
end date to March 31. The U.S. Reporter should file a
by transactor. If the U.S. Reporter filing the complete
2009 BE-10 report covering the 12 month period from
BE-10B or BE-10C cannot, or prefers not to, obtain from
April 1, 2008 to March 31, 2009.
the affiliate data about the other U.S. Reporter(s) of the
The ending balance sheet amounts reported must be the
affiliate, then each U.S. Reporter is required to report
correct balances as of March 31, 2009. The beginning
its own data. For example, each U.S. Reporter would
balance sheet amounts reported must be the
need to complete:
unrestated ending balances as of June 30, 2008.
• BE-10B Part III, Section A, Part IV, Section A and B, and
(2)
No
fiscal year ending in calendar year 2009 – If a
Part VI, Section A, or
change
in fiscal year results in the U.S. Reporter not
• BE-10C Part IV, Section A.
having a fiscal year that ended in calendar year 2009,
The U.S. Reporter filing the complete BE-10B or BE-10C
the U.S. Reporter should file a 2009 BE-10 report
must attach a note to the form stating it is not
that covers 12 months. The following example
reporting data for the other U.S. Reporter(s) and the
illustrates the reporting requirements.
U.S. Reporter must inform the other U.S. Reporter(s) of
Example
2: The U.S. Reporter had a December 31,
this fact.
2008 fiscal year end date but changed its next fiscal
(3) Reporting when there is more than one foreign
year end date to March 31. Instead of having a short
affiliate in a chain of ownership – A Form BE-10B,
fiscal year ending in 2009, the U.S. Reporter decides to
BE-10C, or BE-10D must be filed for a foreign affiliate of
have a 15 month fiscal year running from January 1,
the U.S. Reporter that owns another foreign affiliate of
2009 to March 31, 2010. The U.S. Reporter should file
that U.S. Reporter.
a 2009 BE-10 report covering a 12 month period
ending in calendar year 2009, such as the period from
Note – If a foreign affiliate meeting the reporting
April 1, 2008 to March 31, 2009.
requirements for form BE-10D owns another foreign
affiliate being filed on Form BE-10B or BE-10C, the
In this example, the ending balance sheet amounts
foreign affiliate parent must be filed on Form BE-10C.
reported must be the correct balances as of March 31,
2009. The beginning balance sheet amounts reported
(4) Relationship between Forms BE-10A and
must be the unrestated ending balances as of
BE-10B, BE-10C, or BE-10D – The term "U.S.
December 31, 2008.
Reporter" is defined to mean the fully consolidated
U.S. domestic business enterprise; therefore, on
For 2010, assuming no further changes in the fiscal year
Form BE-10B, BE-10C, or BE-10D, when data on trade
end date occur, the U.S. Reporter should file a BE-11
and financial relationships between the U.S. Reporter
report covering the 12 month period from April 1, 2009 to
and the foreign affiliate are requested, the data must
March 31, 2010.
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II. DEFINITIONS – Continued
B. Affiliate means a business enterprise located in one
country that is directly or indirectly owned or controlled by
a person of another country to the extent of 10 percent or
more of its voting securities for an incorporated business
enterprise or an equivalent interest for an unincorporated
business enterprise, including a branch.
C. Associated group means two or more persons who, by the
appearance of their actions, by agreement, or by an
understanding, exercise their voting privileges in a concerted
manner to influence the management of a business enterprise.
The following are deemed to be associated groups:
1. Members of the same family,
2. A business enterprise and one or more of its officers or
directors,
3. Members of a syndicate or joint venture, or
4. A corporation and its domestic subsidiaries.
D. Banking covers business enterprises engaged in deposit
banking or closely related functions, including commercial
banks, Edge Act corporations engaged in international or
foreign banking, foreign branches and agencies of U.S. banks
whether or not they accept deposits abroad, savings and
loans, savings banks, bank holding companies, and financial
holding companies under the Gramm-Leach-Bliley Act.
Banks located on U.S. Military bases abroad servicing base
personnel are not considered "foreign" and Form BE-10B,
BE-10C, or BE-10D should not be filed.
Activities of subsidiaries of a bank or bank holding company
that may not be banks but that provide support to the bank
parent company, such as real estate subsidiaries set up to
hold the office buildings occupied by the bank parent
company, are considered bank activities.
E. Branch means the operations or activities conducted by a
person in a different location in its own name rather than
through an incorporated entity.
F. Business enterprise means any organization, association,
branch, or venture which exists for profit making purposes
or to otherwise secure economic advantage, and any
ownership of any real estate.
G. Foreign, when used in a geographic sense, means that which
is situated outside the United States or which belongs to or is
characteristic of a country other than the United States.
H. Foreign affiliate means an affiliate located outside the
United States in which a U.S. person has direct investment
abroad. See II.R.
I. Foreign affiliate parent means a U.S. Reporter’s foreign
affiliate that has an equity interest in another foreign
affiliate of the U.S. Reporter.
J. Foreign person (see II.Q.) means any person resident
outside the United States or subject to the jurisdiction of a
country other than the United States. See III.D.
K. Fully consolidated U.S. domestic business enterprise
means:
1. The U.S. corporation whose voting securities are not owned
more than 50 percent by another U.S. corporation, and
2. Proceeding down each ownership chain from that U.S.
corporation, any U.S. corporation (including Foreign Sales
Corporations located in the United States) whose voting
securities are more than 50 percent owned by the U.S.
corporation above it. This consolidation excludes foreign
branches and all other foreign affiliates.
Note - A U.S. Reporter that is not a bank but that owns a
majority interest in a U.S. bank must consolidate its banking
activities when filing its Form BE-10A.
L. Intercompany means between a U.S. Reporter and its
foreign affiliates.
M. Intermediary means an agent, nominee, manager, custodian,
trust, or any person acting in a similar capacity.
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N. Lease is an arrangement conveying the right to use
property, plant, or equipment (i.e., land and/or
depreciable assets), usually for a stated period of time.
1. Capital lease – A long-term lease under which a
sale of the asset is recognized at the inception of the
lease. These may be shown as lease contracts or
accounts receivable on the lessor’s books. The assets
would not be considered to be owned by the lessor.
2. Operating lease – Generally, a lease with a term
which is less than the useful life of the asset and in
which a transfer of ownership is not contemplated.
O. Majority-owned foreign affiliate means a foreign
affiliate in which the combined direct and indirect
ownership interest of ALL U.S. REPORTERS of the
affiliate exceeds 50 percent.
P. Minority-owned foreign affiliate means a foreign
affiliate in which the combined direct and indirect
ownership interest of at least one U.S. reporter is 10
percent or more, but the combined direct and indirect
ownership of all U.S. Reporters of the affiliate is 50
percent or less.
Q. Person (as the term is used in the broad legal sense)
means any individual, branch, partnership, associated
group, association, estate, trust, corporation, or other
organization (whether or not organized under the laws of
any State), and any government (including a foreign
government, the United States Government, a State or
local government, and any agency, corporation, financial
institution, or other entity or instrumentality thereof,
including a government-sponsored agency).
R. U.S. direct investment abroad means the ownership
or control, directly or indirectly, by one U.S. person of
10 percent or more of the voting securities of an
incorporated foreign business enterprise or an
equivalent interest in an unincorporated foreign
business enterprise, including a branch.
S. U.S. person means any person resident in the United
States or subject to the jurisdiction of the United States.
See III.D.
T. U.S. Reporter means the U.S. person that has direct
investment in a foreign business enterprise, including a
branch. If the U.S. person is an incorporated business
enterprise, the U.S. Reporter is the fully consolidated
U.S. domestic business enterprise. See II.K.
U. United States, when used in a geographic sense,
means the several States, the District of Columbia, the
Commonwealth of Puerto Rico, and all territories and
possessions of the United States.
III. CLARIFICATION OF COVERAGE
A. Determining existence of a foreign affiliate – In
general, a U.S. person’s foreign operation or activity is
considered a foreign affiliate if it is legally or
functionally separable from the domestic operations or
activities of the U.S. person. In most cases, it is clear
whether the foreign operation or activity constitutes an
affiliate. If an operation or activity is incorporated
abroad – as most are – it is always considered a foreign
affiliate. Even if it is unincorporated, the foreign
operation or activity is usually legally or functionally
separable from the U.S. person’s domestic operations
or activities. In cases where it is not clearly separable,
the determination of whether the operations or activity
constitutes a foreign affiliate is made on a case-by-case
basis, depending on the weight of the evidence.
The following characteristics would indicate that an
operation or activity is a foreign affiliate:
1. It pays foreign income taxes.
2. It has a substantial physical presence abroad as
evidenced by plant and equipment or employees
permanently located abroad.

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III. CLARIFICATION OF COVERAGE – Continued
3. It has separate financial records that would allow the
preparation of financial statements, including a balance
sheet and income statement. (A mere record of
disbursements to, or receipts from, the foreign operation
or activity does not constitute a "financial statement" for
this purpose.)
4. It takes title to the goods it sells and receives revenues
from the sale, or it receives funds from customers for its
own account for services it performs.
The following characteristics would indicate that the
operation or activity is probably not a foreign affiliate:
1. it engages only in sales promotion or public relations
activities on behalf of the U.S. person,
2. it conducts business abroad only for the U.S. person’s
account, not for its own account,
3. it has no separate financial records that allow the
preparation of financial statements,
4. its expenses are paid by the U.S. person,
5. it is not subject to foreign income taxes, and
6. it has limited physical assets or few employees
permanently located abroad.
B. U.S. Reporter owned by a foreign person – A U.S.
business enterprise that is a U.S. Reporter in this BE-10
survey may also be a U.S. affiliate of a foreign person that
must report in the BE-15, 2009 Annual Survey of Foreign
Direct Investment in the United States. This could be the
case if the U.S. business enterprise owns foreign affiliates
and is also owned 10 percent or more, directly or indirectly,
by a foreign person. In such cases, the U.S. business
enterprise should report in this survey for any foreign
business enterprise it owns or controls, directly or indirectly,
at least 10 percent or more, but should not report other
property of its foreign owner. (A foreign business enterprise
that is jointly owned by the U.S. Reporter and the foreign
owner of the U.S. Reporter should be considered a foreign
affiliate of the U.S. Reporter provided the U.S. Reporter has
a 10 percent or more ownership interest in it.) For purposes
of the BE-10 survey, consider the foreign owner of the U.S.
Reporter and the directly and indirectly owned foreign
affiliates of the foreign owner (other than those held
through the U.S. Reporter) as unaffiliated foreign persons.
C. Partnerships – Most partnerships are either general or
limited partnerships. The determination of percentage of
voting interest in a general or limited partnership is based
on who controls the partnership. The percentage of voting
interest is NOT based on the percentage of ownership in the
partnerships equity.
A general partnership usually consists of at least two
general partners who together control the partnership.
Unless a clause to the contrary is contained in the
partnership agreement a general partnership is presumed
to be controlled equally by each of the general partners.

1. Individuals who reside, or expect to reside, outside their
country of citizenship for less than one year are
considered to be residents of their country of citizenship.
2. Individuals who reside, or expect to reside, outside
their country of citizenship for one year or more are
considered to be residents of the country in which they
are residing. There are two exceptions to this rule:
a. Individuals (and their immediate families) who either
own or are employed by a business in their country of
citizenship and who are residing outside of that country
for one year or more in order to conduct business for
the enterprise are considered residents of their country
of citizenship if they intend to return within a
reasonable period of time.
b. Individuals who reside outside their country of
citizenship because they are government employees
(such as diplomats, consular officials, members of the
armed forces, and their immediate families) are
considered residents of their country of citizenship
regardless of their length of stay.
E. Foreign affiliate operating completely outside its
country of incorporation – If a foreign affiliate conducts
all its operations from, and is located in, a single foreign
country that is different from its country of incorporation, it
is deemed to be operating totally outside its country of
incorporation. File a single BE-10B or BE-10C report, or
report on the BE-10D, for the entity in the country of
operation treating it as an incorporated foreign affiliate; do
not file a separate report for the entity in the country of
incorporation. If, however, the foreign affiliate has any of
the following in the foreign country of incorporation:
1. bank account,
2. employees,
3. property, plant, or equipment, or
4. sales,
it is considered to have operations in its foreign country of
incorporation and, therefore, a separate report must be
filed for the entity in that country.
If a foreign affiliate incorporated abroad conducts its
operations from, and has locations in, more than one foreign
country, a separate Form BE-10B, BE-10C, or entry on BE-10D
must be filed for each foreign country in which it has
operations, and a separate Form BE-10B, BE-10C, or entry on
BE-10D must be filed for the entity in the foreign country of
incorporation, treating the entity as an incorporated foreign
affiliate in that country.
If a foreign affiliate incorporated abroad conducts its
business operations from, and is located in, the United
States, you must file a Form BE-10B, BE-10C, or BE-10D entry
to report the equity investment in the affiliate and the
affiliate’s income. Show country of incorporation as country
of location and report the affiliate as a holding company
(ISI code 5512). You must report the operating business
enterprise located in the United States on the BE-15, 2009
Annual Survey of Foreign Direct Investment in the United
States.

A limited partnership usually consists of at least one general
partner and one limited partner. The general partner usually
F. Agencies and representative offices — Foreign
controls a limited partnership, and therefore, has 100 percent
representative offices, agents and employees of a U.S.
voting interest in the limited partnership. Limited partners do
person are not considered to be foreign affiliates, and
not normally exercise any control over a partnership. Therefore,
therefore, they should not be reported on Form BE-10B,
unless a clause to the contrary is contained in the partnership
BE-10C, or BE-10D. However, a U.S. Reporter’s
agreement, limited partners are presumed to have zero voting
disbursements to maintain foreign sales and representative
interest in a partnership.
offices must be reported on Form BE-125, Quarterly Survey
of Transactions in Selected Services and Intangible Assets
Note – Cross-border holdings of limited partnerships are
with Foreign Persons. Copies of Form BE-125 are available
included in the annual Department of Treasury International
by writing to BEA at: U.S. Department of Commerce, Bureau
Capital (TIC) securities data reports (TIC SHL(A) and TIC
of Economic Analysis, BE-50(SSB), Washington, DC 20230,
SHA(A)), and purchases and sales of limited partnerships with
by telephoning (202) 606–5588 or by accessing the BEA Web
foreign counterparties should be included on the TIC S report.
site at www.bea.gov. (Under "International," select "Survey
D. Determining country of residence or jurisdiction of
Forms and Related Materials" and then "U.S. International
individuals – An individual is considered a resident of, and
Services Transactions.") A foreign presence of a U.S. person
subject to the jurisdiction of, the country in which it is
is considered a foreign sales promotion or representative
physically located, subject to the following qualifications:
office if:

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III. CLARIFICATION OF COVERAGE – Continued
1. it has no assets (other than office furniture) held either in its
own name or in the name of the U.S. person,
2. to the extent that its employees are compensated by
commissions, the commissions arise only from sales or
business that the employees generate for the U.S. person,

Real estate that is normally included in the property, plant,
and equipment account of a foreign affiliate is not to be
reported as a separate affiliate.

3. it does not produce revenue (other than funds from the U.S.
person to cover its expenses), and

Residential real estate held exclusively by a U.S. person for
personal use and not for profit making purposes is not
subject to the reporting requirements. A primary residence
abroad leased to others while the owner is a U.S. resident,
but which the owner intends to reoccupy, is considered real
estate held for personal use.

4. it is engaged only in sales promotion, representational
activities, public relations activities, or the gathering of
market information, on behalf of the U.S. person.
Note – A foreign presence that produces revenue for its
own account (instead of, or in addition to, producing
revenue for the account of its U.S. parent) from goods or
services it provides to unaffiliated persons is considered a
foreign affiliate and is subject to the reporting requirements
on this BE-10 survey.
G. Foreign affiliate owned for only part of FY 2009
Reports are required even though a foreign business enterprise
was established, acquired, seized, liquidated, sold, expropriated,
or inactivated during the U.S. Reporter’s 2009 fiscal year.
The table below indicates how certain parts of Forms BE-10B,
BE-10C, and BE-10D must be completed for foreign affiliates
held by the U.S. Reporter for only part of FY 2009. All
remaining items of the report forms must be completed as
applicable. Note – All data for year-end 2008 must be before
restatement.
A "0" indicates that the entries should be zero. An "X"
indicates that the entries should be the value at the end of FY
2008 or FY 2009, as appropriate.
Data on Forms BE-10B, BE-10C, or BE-10D
Investment
between U.S.
Balance
Reporter and
Sheet Data
During FY 2009
1
foreign affiliate
the foreign
(a)
(b)
affiliate was:
Close
Close
Close
Close
FY 08
FY 09
FY 08
FY 09
1. Established

0

X

0

2. Acquired from:
(a) Another U.S. Reporter

0

X

X

(b) Foreign person

0

X

0

3. Sold to:
(a) Another U.S. Reporter

X

0

0

(b) Foreign person

X

0

X

0

4. Liquidated
1

2

3

H. Real estate – The ownership of foreign real estate is
defined to be a business enterprise and, if foreign real
estate is owned by a U.S. person, it is a foreign affiliate of a
U.S. Reporter.

X

(c)
Income
Statement
part 3
year

X

2

Income
statement
data

2

full 2
year

X

part 3
year

0

0

X

0

part
year

X

0

part 3
year

2

2
3

Part V, Section B of Form BE-10B, and Part III, Section B of Form BE-10C, and
debt and other intercompany balances on Form BE-10D.
A foreign affiliate that was acquired from (sold to) another U.S. Reporter
during FY 2009 should be treated by the acquiring U.S. Reporter as a foreign
affiliate for all of FY 2009. The foreign affiliate’s financial and operating data
reported by the U.S. Reporter acquiring the affiliate should cover all 12
months of FY 2009. The U.S. Reporter selling the foreign affiliate should
provide the U.S. Reporter acquiring the affiliate with balance sheet and
income statement data for the affiliate for the period from year end 2008 to
the time of the sale. The data should be combined with the data for the period
of time from the sale to year-end 2009.
A foreign affiliate that was established, liquidated, acquired from or sold to a
foreign person during FY 2009 should be treated as a foreign affiliate for only
the part of the year that the U.S. Reporter owned the affiliate. The foreign
affiliate’s financial and operating data should cover the period from
establishment or acquisition to year-end 2009, or the period from year-end
2008 to the time of the liquidation or sale, as appropriate.

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Ownership of foreign residential real estate by a business
enterprise, the sole purpose of which is to hold the real
estate for the personal use of the owner(s) of the business
enterprise, is considered to be real estate held for personal
use and therefore not subject to the reporting requirements.
If a U.S. person has a direct or indirect voting ownership
interest of 10 percent or more in a joint venture,
partnership, etc., that is formed to own and hold, develop,
or operate real estate, the joint venture, partnership, etc., in
its entirety, not just the U.S. person’s share, is a foreign
affiliate and must be reported.
I. Airlines and ship operators – U.S. airlines’ and ship
operators’ foreign stations, ticket offices, and terminal and
port facilities that provide services only to their own
operations are not foreign affiliates and are not subject to
the reporting requirements. Reports are required when such
facilities produce significant revenues from services
provided to unaffiliated persons.
J. Estates, trusts, and intermediaries
1. A U.S. estate is a person (see II.Q.) and, therefore, may
have direct investment; the estate, not the beneficiary, is
considered to be the U.S. Reporter. Thus, ownership of a
foreign affiliate by a U.S. estate shall be reported by the
administrator, executor, etc., of the estate and not by the
beneficiary.
2. A trust, either U.S. or foreign, is a person (see II.Q.), but
is not a business enterprise. The trust is considered to be
the same as an intermediary, and should report as
outlined in III.J.3. For reporting purposes, the
beneficiary(ies) of the trust, is (are) considered to be the
owner(s) for purposes of determining the existence of
direct investment, except in two cases: (1) if there is, or
may be, a reversionary interest, and (2) if a corporation
or other organization creates a trust designating its
shareholders or members as beneficiaries. In these two
cases, the creator(s) of the trust is (are) deemed to be the
owner(s) of the investments of the trust (or succeeding
trusts where the presently existing trust has evolved out
of a prior trust), for the purposes of determining the
existence and reporting of direct investment.
This procedure is adopted to fulfill statistical purposes of
this survey and does not imply that control over an
enterprise owned or controlled by a trust is, or can be,
exercised by the beneficiary(ies) or creator(s).
3. Intermediary
a. If a particular U.S. direct investment abroad is held,
exercised, administered, or managed by a U.S.
intermediary, such intermediary is responsible for
reporting the required information for, and in the
name of, its principal or shall instruct the principal to
submit the required information. Upon instructing the
principal, the intermediary shall be released from
further liability to report provided it has informed BEA
of the date such instructions were given and the name
and address of the principal, and has supplied the
principal with any information in the possession of, or
which can be secured by, the intermediary that is
necessary to permit the principal to complete the
required reports. When acting in the capacity of an

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III. CLARIFICATION OF COVERAGE – Continued
intermediary, the accounts or transactions of the U.S.
intermediary with the foreign affiliate are considered
as accounts or transactions of the U.S. principal with
the foreign affiliate. To the extent such transactions or
accounts are unavailable to the principal, they may be
required to be reported by the intermediary.
b. If a U.S. person holds a foreign affiliate through a
foreign intermediary, the U.S. person is considered to
own the foreign affiliate directly and all accounts or
transactions of the U.S. person with the intermediary
are considered to be with the foreign affiliate.

IV. GENERAL INSTRUCTIONS
A. Accounting methods and records – Follow generally
accepted U.S. accounting principles unless otherwise
specified in the instructions. Corporations should generally
use the same methods and records used to generate
reports to stockholders, except where otherwise instructed.
Generate reports for unincorporated persons on an
equivalent basis.
Financial Accounting Standards Board Accounting
Standards Codification Topics are referred to as "FAS ASC
Topics" in the instructions.
B. Translation of foreign currency financial and
operating data into U.S. dollars
1. Financial statements – Translate foreign affiliate
financial statements including balance sheets and
income statements, not maintained in U.S. dollars from
the host country currency to U.S. dollars using FAS ASC
Topic 830 (Formerly FAS 52), as would be required to
incorporate foreign statements into the U.S. Reporter’s
financial statements for reports to shareholders.
2. Other financial and operating data of foreign
affiliate – According to FAS ASC Topic 830 (Formerly
FAS 52), "Revenue and expense transactions shall be
translated in a manner that produces approximately the
same dollar amounts that would have resulted had the
underlying transactions been translated into dollars on
the dates they occurred." Since separate translation of
each transaction is usually impracticable, the specific
results can be achieved by using an average rate for the
period.
On Forms BE-10B or BE-10C certain revenue and expense
transactions which may not be translated separately for
the financial statements, such as employee compensation
and exports and imports, must be reported. Translate
these transactions in a manner consistent with that used
to translate the financial statements into U.S. dollars.
C. Method of accounting for foreign equity investments
1. Form BE-10A – Report the U.S. Reporter’s equity
investments of 20 percent or more in foreign affiliates,
including all majority-owned foreign affiliates, using the
equity method of accounting. Report equity investments
of less than 20 percent, and immaterial investments,
using the cost method.
2. Form BE-10B, BE-10C, and BE-10D – Report a foreign
affiliate parent’s equity investments of 20 percent or more
in unconsolidated foreign affiliates, including all
unconsolidated majority-owned foreign affiliates, using the
equity method of accounting. You may report immaterial
investments using the cost method of accounting if this
treatment is consistent with your normal reporting practice.
Report investments owned less than 20 percent in
accordance with FAS ASC 320 (Formerly FAS 115) or the
cost basis of accounting. See important note on foreign
affiliate consolidation rules under instruction I.B.2.d.
Note – If it is determined that there is a material
difference between the "equity" and the "cost" methods
and the data should have been filed using the "equity"
method, BEA will require that the data be refiled.

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D. Industry classifications – A list and explanation of the
industry classifications used are given in the Guide to
Industry Classifications for International Surveys,
2007, BE-799, which is included as part of the BE-10 report
package.
E. Estimates – If actual data are not available, or only partial
data are available, provide estimates and label as such.
When data items cannot be fully subdivided as required,
provide totals and an estimated breakdown of the totals.
Certain sections of Forms BE-10A, BE-10B, and BE-10C
require data that may not be maintained in your customary
accounting records. Providing precise data in these areas
may require substantial burden beyond what is intended by
BEA. This may be especially true for:
• BE-10A, Part I, items 15 through 26 – Number of
employees in each industry of sales;
• BE-10A, Part III, Section B, items 47 through 50 –
Distribution of sales or gross operating revenues, by
transactor and by whether the sales were goods, services,
or investment income;
• BE-10A, Part IV, – Exports and imports of the U.S
Reporter on a shipped basis;
• BE-10B, Part IV, Section A – Distribution of sales or
gross operating revenues, by transactor, by destination,
and by whether the sales were goods, services or
investment income;
• BE-10B, Part VI and BE-10C, Part IV – Exports and
imports of the foreign affiliate on a shipped basis.
Data provided in these areas may be reasonable estimates
based upon the informed judgment of persons in the
responding organization, sampling techniques, prorations
based on related data, etc. Consistently apply any
estimating procedures used on all BEA surveys.
F. Specify – When asked to "specify" amounts reported for
certain data items, give the type and dollar amount of the
major items included in the data item.
G. Space on form insufficient – When space on the form is
insufficient to permit a full answer to any item, submit the
required information on supplementary sheets,
appropriately labeled and referenced to the item number
and the form.
V. U.S. EXPORTS AND IMPORTS OF GOODS
When there is a material difference between the "charged"
and "shipped" bases and the data have not been filed on the
"shipped" basis, or the necessary adjustments have not
been made to approximate a "shipped" basis, then BEA will
require the data to be refiled.
Differences between the "charged" and "shipped" bases
may be substantial. A major difference arises when the U.S.
Reporter buys goods in country A and sells them in country
B, but the goods are shipped directly from country A to
county B. Because the goods did not physically enter or
leave the United States, they are not U.S. trade. However,
when the U.S. Reporter records the transactions on its
books, it shows a purchase charged to it from country A
and a sale charged by it to country B. If the U.S. Reporter’s
trade data in this survey were prepared on the "charged"
basis, the purchase and sale would appear incorrectly as a
U.S. import and a U.S. export, respectively. Other
differences arise when the U.S. Reporter charges the sale of
its products to a foreign affiliate in one country, but ships
the goods directly from the United States to an unaffiliated
foreigner in another country. If the data are on the
"shipped" basis, this is a U.S. export to an unaffiliated
foreigner, not to the foreign affiliate and should not be
recorded on the BE-10B or BE-10C of the foreign affiliate.

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V. EXPORTS AND IMPORTS – Continued
If a material difference exists between the "charged" and
"shipped" bases, trade must be reported on the "shipped"
basis. To do this, the U.S. Reporter may have to derive the
data from export and import declarations filed with U.S.
Customs or from shipping and receiving documents, rather
than from accounting records, or may have to otherwise
adjust its data from a "charged" to a "shipped" basis.
A. Timing. Only include goods actually shipped between the
United States and the affiliate during FY 2009 regardless of
when the goods were charged or consigned. For example,
include goods shipped by the U.S. Reporter to the affiliate
in FY 2009 that were charged or consigned in FY 2010 but
exclude goods shipped to the affiliate in FY 2008 that were
charged or consigned to the affiliate in FY 2009.
B. Trade of the U.S. Reporter. Goods shipped by, or to, the
U.S. Reporter, whether or not actually charged or consigned
by, or to, the U.S. Reporter, are considered to be trade of
the U.S. Reporter.
C. Trade of a foreign affiliate. Goods shipped by, or to, a
foreign affiliate, whether or not actually charged or
consigned by, or to, the foreign affiliate are considered to
be trade of the foreign affiliate.
D. By (or to) whom goods were shipped. Shipment by, or
to, an entity refers to the physical movement of goods to or
from the U.S. customs area by, or to, that entity regardless
of by, or to whom the goods were charged or consigned.
Thus, for example, if the U.S. Reporter charges goods to a
German affiliate but ships them to an Italian affiliate, the
goods should be recorded as U.S. exports shipped by the
U.S. Reporter on the Form BE-10B or BE-10C of the Italian
affiliate, but not on that of the German affiliate. Similarly, if
goods were charged by the U.S. Reporter to an affiliate but
shipped to the affiliate by another U.S. person, the goods
should be considered a U.S. export shipped by "other U.S.
persons," not by the U.S. Reporter, on the affiliate’s Form
BE-10B or BE-10C.
Note — Goods shipped by an independent carrier or a
freight forwarder at the expense of an entity are
shipments by that entity.
E. Valuation of exports and imports. Value U.S. exports
and imports f.a.s. (free alongside ship) at the port of
exportation. This includes all costs incurred up to the point
of loading the goods aboard the transportation carrier at the
U.S. or foreign port of exportation, including the selling
price at the interior point of shipment (or cost if not sold),
packaging costs, and inland freight and insurance. It
excludes all subsequent costs, such as loading costs, U.S.
and foreign import duties, and freight and insurance from
the port of exportation to the port of entry.

VI. FILING THE BE-10
A. Due date – A fully completed and certified BE-10 report
comprising Form BE-10A, and Form(s) BE-10B, BE-10C,
or BE-10D is due to BEA no later than May 28, 2010 for
U.S. Reporters required to file fewer than 50 forms, and
June 30, 2010 for U.S. Reporters required to file 50 or
more forms.

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B. Extensions – BEA hopes that by providing an extra month
to file for U.S. Reporters submitting more than 50 forms,
requests for extensions will not be necessary. Delays in
filing affect BEA’s tight schedule for processing the
benchmark survey. Nevertheless, reasonable requests for
an extension of the filing deadline will be considered.
Extension requests must be received by BEA no later than
the original due date of the report.
C. Assistance – For assistance, telephone (202) 606-5566
between 8:00 a.m. and 4:30 p.m., eastern time or e-mail
BEA at be10/[email protected].
D. Retention of copies – Each U.S Reporter must retain a
copy of its report to facilitate resolution of problems. These
copies should be retained by the U.S Reporter for at least 3
years after the report’s original due date.
E. Electronic filing option (eFile) – Forms that can be
transmitted to BEA electronically will be available on the
BEA Web site: www.bea.gov. If you eFile, please do not
submit paper reports.
F. Where to send the report – Send reports filed by mail
through the U.S. Postal Service to:
U.S. Department of Commerce
Bureau of Economic Analysis
BE-69(A)
Washington, DC 20230
Send reports filed by direct private delivery to:
U.S. Department of Commerce
Bureau of Economic Analysis, BE-69(A)
Shipping and Receiving Section M-100
1441 L Street, NW
Washington, DC 20005
G. Confidentiality – The information filed in this report may
be used only for analytical and statistical purposes and
access to the information shall be available only to officials
and employees (including consultants and contractors and
their employees) of agencies designated by the President to
perform functions under the Act. The President may
authorize the exchange of the information between
agencies or officials designated to perform functions under
the Act, but only for analytical and statistical purposes. No
official or employee (including consultants and contractors
and their employees) shall publish or make available any
information collected under the Act in such a manner that
the person to whom the information relates can be
specifically identified. Reports and copies of reports
prepared pursuant to the Act are confidential and their
submission or disclosure shall not be compelled by any
person without the prior written permission of the person
filing the report and the customer of such person where the
information supplied is identifiable as being derived from
the records of such customer (22 U.S.C. 3104).
H. Annual stockholders’ report and Form 10K – Business
enterprises issuing annual reports to stockholders and
completing Securities and Exchange Commission’s Form
10K should furnish copies of these reports for FY 2009 when
filing the BE-10 report.

BE-10 Instructions (REV. 2/2010)

2009 BE-10 ORDER FORM
To obtain additional copies of BE-10 Forms and Instructions, complete this order form or contact us.
Enter the quantity of each item you require:
Item

Quantity

Item

Form BE-10A

Instruction Booklet

Form BE-10B

Guide to Industry Classification for
International Surveys, 2007

Form BE-10C

BE-10 Claim for Not Filing

Quantity

Form BE-10D
PLEASE COMPLETE BELOW
Name of U.S. Reporter

Attention:

Cut along this line.

Street Address

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U.S. Department of Commerce
Bureau of Economic Analysis, BE-69(A)
Washington, DC 20230

RETURN TO

Telephone: 202–606–5566
Fax: 202–606–5312
E-mail: be10/[email protected]
Visit our BEA’s Web site: www.bea.gov
Select: International — Survey Forms and Related Materials — U.S. Direct
Investment Abroad, and download and print the survey forms.

BE-10 Instructions (REV. 2/2010)

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