For purposes of determining the aggregate total amount of assets under Section 7A(a)(2)(A), Section 7A(a)(2)(B)(i), Sec. 801.13(b), and Sec. 802.4:
(a) Cash shall not be considered an asset of the person from which it is acquired; and
(b) Neither voting or nonvoting securities nor obligations referred to in section 7A(c)(2) shall be considered assets of another person from which they are acquired.
Examples: 1. Assume that acquiring person ``A'' acquires voting securities of issuer X from ``B,'' a person unrelated to X. Under this paragraph, the acquisition is treated only as one of voting securities, requiring ``A'' and ``X'' to comply with the requirements of the act, rather than one in which ``A'' acquires the assets of ``B,'' requiring ``A'' and ``B'' to comply. See also example 2 to Sec. 801.30. Note that for purposes of section 7A(a)(2)--that is, for the next regularly prepared balance sheet of ``A'' referred to in Sec. 801.11--the voting securities of X must be reflected after their acquisition; see Sec. 801.11(c)(2).
2. In the previous example, if ``A'' acquires nonvoting securities of X from ``B,'' then under this section the acquisition would be treated only as one of nonvoting securities of X (and would be exempt under section 7A(c)(2)), rather than one in which ``A'' acquires assets of ``B,'' requiring ``A'' and ``B'' to comply. Again, the nonvoting securities of X would have to be reflected in ``A's'' next regularly prepared balance sheet for purposes of section 7A(a)(2).
3. In example 1, assume that ``B'' receives only cash from ``A'' in exchange for the voting securities of X. Under this section, ``B's'' acquisition of cash is not an acquisition of the ``assets'' of ``A,'' and ``B'' is not required to file notification as an acquiring person. [43 FR 33537, July 31, 1978, as amended at 66 FR 8690, Feb. 1, 2001; 68 FR 2430, Jan. 17, 2003; 70 FR 4992, Jan. 31, 2005]