Attachment 11B - Brochure for completing Export repricing form

U.S. Department of Labor

Bureau of Labor Statistics

2 Massachusetts Ave., N.E.

Washington, D.C. 20212

Dear Respondent,

Thank you for participating in the U.S. Import and Export Price Index survey. This brochure will help you complete the survey forms that we will mail to you in the months you agreed to supply prices. When you receive them, please complete the forms using the current transaction price for each item and return the forms within one week. Fax the completed survey forms directly to our office at the number shown at the top of each form.

Thank you,

International Price Program

EXPORT

How to Complete the Export Item Price Survey

Item Description/Price Factors

Please make any corrections in the top section of your form. If you make any updates in this section, completely fill in the box in the upper right hand corner.

Explanation of Terms:

Exported under Schedule B Number: Enter the 10-digit number from the Harmonized Tariff Schedule of the United States Annotated or Schedule B under which you export this item.

Intracompany Transfer: Enter “Yes” if this is a transaction between two related companies (for example, between subsidiary and parent company). If this is a market sale, enter “No.”

Class of Buyer: Please provide the Class of Buyer if the class affects the price. Examples of Classes of Buyer include Parent Company, Affiliate, Subsidiary, Sister Company, Distributor, Dealer, End User, etc. If the price does not depend on the Class of Buyer, please enter "Class does not affect the price."

Quantity Ordered: If the price varies according to the Quantity Ordered, indicate a quantity for which you can consistently provide price information on this survey form.

Exported to: Enter the country or region to which you export this item. If you previously indicated that the price charged to buyers is the same regardless of destination, “World” will appear as the destination.

Priced per: Enter the unit of measurement used to price this item (for example, priced per pound, each, dozen, case).

Discounts/Surcharges: Indicate discount or surcharge type (for example, distributor, cash, quantity, commission, weight, off-peak, fuel surcharge) and the percentage or amount (with currency) of each. Specify whether you have already deducted the discount from the price you provided or whether you have already added a surcharge.

Example: The Wavebasher 26IB Motor Boat is now equipped with a 375 HP engine rather than a 350 HP engine.

1. Fill in the box to the right of #1.

2. In the item description, change the engine’s horsepower from “350” to “375.”

Past Price Data

Please review the Last Price Received. This area contains the last price, currency, and price basis that we received from you. ("Est." indicates that the previous price was estimated.) If this information is incorrect for the period specified, please make the necessary corrections in the Remarks area at the bottom of the page. Do NOT enter current price data in this area.

Current Price Data

Please enter current price data in the section shown above.

• If the price has changed from the last price received, enter the new price in the boxes in #2. If the price changed dramatically or in an unusual manner, we would like to understand the factors causing the price change. Please provide comments explaining significant price changes in the space under #2.

• If there has been no change in price, fill in the box to the right of #3.

• If the item was not traded this month, first fill in the box to the right of #4. Then, even though this item was not traded, please estimate in the boxes in #2 the price that would have been charged for an actual transaction.

Explanation of Terms:

Prices: Please provide a price for the transaction nearest the beginning of the month indicated in the Current Price Data area. A transaction price is the price for which you actually bought or sold the item.

Price Basis: Price Basis refers to the terms of transaction included in the price. Examples of export price bases include FAS/FOB Port, FOB Border, FOB Factory, FAF (Fly Away Factory), and DAF (Delivered at Frontier).

Example: The current price of this exported item increased from $45,000.00 to $47,000.00 due to higher demand and the engine upgrade.

1. Enter the price of $47,000.00 in the boxes in #2.

2. Add a comment under #2 explaining that higher demand and the engine upgrade caused the price to increase.

3. In #5 below, enter +$500 as the change in production cost associated with the engine upgrade (see the Modifications, Discontinuations, Replacements area for more information).

Modifications, Discontinuations, Replacements

Modifications:

In #5, enter the change in production cost that resulted from a modification to the physical characteristics of the item.

Do NOT simply enter the total change in price unless it is the same as the change in production cost.

Please do not use #5 for a simple price change. Use it only when the physical characteristics of the item have changed.

Example: A 26-foot motorboat with a 350 horsepower engine sold for $45,000. The same motorboat is now sold with an upgraded 375 horsepower engine for $47,000. The cost of producing the 375 horsepower engine is $500 more than the cost of producing the 350 horsepower engine.

1. Enter the new price of $47,000 in #2 and update the description under #1.

2. In #5, enter +$500 as the change in production cost associated with the engine upgrade.

3. In the Remarks area or in the explanation for price change area (under #2), explain that the upgraded engine caused the price to increase by $500 and that strong demand for this improved motorboat caused the price to increase further.

Example: A computer with a 3.0 GHz processor sold for $2,500. This computer has been upgraded and is now sold with a 3.4 GHz processor. The cost of producing the 3.4 GHz processor is $100 more than the 3.0 GHz processor, but in order to remain competitive in the industry, the manufacturer reduced the price of the improved computer to $2,450.

1. Enter the new price of $2,450 in #2 and update the description under #1.

2. In #5, enter +$100 to represent the increased production cost associated with the faster processor.

3. In the Remarks area or in the explanation for price change area (under #2), explain that although there was a $100 production cost increase associated with the improved processor, competitive pressures in the computer industry caused the manufacturer to cut the price of the computer to $2,450.

Discontinuations/Replacements:

If the item has been discontinued, fill in the box to the right of #6. Please call the analyst listed on the form to provide more specific information regarding the discontinuation. If the item was replaced, enter the new item description under #1 and make any necessary changes to the price factors.

Contact Information

If the respondent has changed or if any of the information in this section is incorrect or out of date, please fill in the box and make the corrections in the Remarks area above.

Example: Minnie Moke has left the company and is replaced by Joyce James.

1. Fill in the box in the left corner.

2. Update the contact information in the Remarks area.