WPCH  "ƈσz-Sd`z|g0:,Cjhfcosm*,Mٟץt^|-H0} 1_!^ΤM,{znn ˀzWpL0Ø L 0nL 0U  0 # UN % M(N.w044H mJ 1ea^ UN 0:  1Z 0 0 0 0 0[ 02 0 0 0C 0 0 0 0R 0 0 0 0` 0@ 0Z 0( 0 0 0 0B! 0" 0" 1t# 1u# 72p$ 72$ 00$ 0<% 0@% 0>% 0v<& 0`& 0`' 0`r' 0`' 0`2( 08( 0( 02) 0) 0:* 0Y+ 0_]+ 0 + 0j, 00. B*/ D// D+ 0 080 D/1 01 0Ac2 13 063 13 0`4 1h5 0:5 0^)6 0<6U66U*6 0V#7 By7 0 w7 D5 8 0VB88 0 8 0 29 AS9%: 0D: 1/; 72;; 0~< 0D< 0 < 0 x= 0 ?>? 0 ? 0 D@ 1B 72B 1B 72SC 1C 72 D 1>D 72D 1D 72~E 1E 727F 1iF 72F 1"G 72G 1G 72bH\  `&Times New Roman<:Default ParaXXX*+ (_2623  ..#|x(j$..      X1YXXXX1YXXX1Y\\GSDDPRINT\QMS_000(hH  Z6Times New Roman RegularX b-,:i+00l !"#$% 35;AGMSY_11.1.1.1.1.1.1.1.}. (hH  Z6Times New Roman Regular($USUS.,N[_`ijkmh iCEIMQUY]aAutoList5""""""""i)1)a)*D+J (_25   ," <DL,23  ..  2( 4 <DL2  *A+J (_24   ) <DL)23  ..  2( 4 <DL2  *>+J (_23  ` &<<DL&23  ..  2( 4 <DL2  *;+J (_22   #DL#23  ..  2( 4 <DL2  *8+J (_21    DL 23  ..  2( 4 <DL2  *5+J (_20  h DDL23  ..  2( 4 <DL2  *2+J (_19   L23  ..  2( 4 <DL2  */+J (_18    L23  ..  2( 4 <DL2  * (_1723  Ԁ*DJ (_16   ," <DL,23  Ԁ  2( 4 <DL2  *AJ (_15   ) <DL)23  Ԁ  2( 4 <DL2  *>J (_14  ` &<<DL&23  Ԁ  2( 4 <DL2  *;J (_13   #DL#23  Ԁ  2( 4 <DL2  *8J (_12    DL 23  Ԁ  2( 4 <DL2  *5J (_11  h DDL23  Ԁ  2( 4 <DL2  *2J (_10   L23  Ԁ  2( 4 <DL2  (/J &_9    L23  Ԁ  2( 4 <DL2  ( &_823  (DJ &_7   ," <DL,23   2( 4 <DL2  (AJ &_6   ) <DL)23   2( 4 <DL2  (>J &_5  ` &<<DL&23   2( 4 <DL2  (;J &_4   #DL#23   2( 4 <DL2  (8J &_3    DL 23   2( 4 <DL2  (5J &_2  h DDL23   2( 4 <DL2  (2J &_1   L23   2( 4 <DL2  &/J $_    L23   2( 4 <DL2  (5hCEKQW]cioAutoList1a.a.a.a.a.a.a.a.3#37=CIQYag1.a.i.(1)(a)(i)1)a)1i)n"0.Normal<:Definition T<AA:Definition L , 5+ ` hp x 5  5+ ` hp x 586Definition(''&H1      (&H2  (&H3  (&H4 XXX (&H5  (&H6  20Address8MM6Blockquote , , 5+ ` hp x 5   5+ ` hp x 5,*CITE,dl*CODEKW<6X9`(Courier NewKS\  `&Times New RomanS42Emphasis64Hyperlink    <:FollowedHype    4go2Keyboard KW<6X9`(Courier NewKS\  `&Times New RomanS <:Preformatted/%  ,Kk %#/KW<6X9`(Courier NewKS\  `&Times New RomanS/%  ,Kk %#/<:zBottom of 7I(X7  ?X%2A`Arial?  S\  `&Times New RomanS7J(X7&  d dH)1dxd'dxd<:zTop of For7L(X7  ?X%2A`Arial?  S\  `&Times New RomanS7J(X7H)2dxd0KS.SampleKW<6X9`(Courier NewKS\  `&Times New RomanS(;3$2#  0  .3  0  (EhCEKQW]cioAutoList2a.a.a.a.a.a.a.a.0.Strong (UhCEKQW]cioAutoList3a.a.a.a.a.a.a.a.8dl6TypewriterKW<6X9`(Courier NewKS\  `&Times New RomanS(ehCEKQW]cioAutoList4a.a.a.a.a.a.a.a.42Variable: 8HTML MarkupB      2 0CommentB  <6X9`(Courier New%2A`Arial(.3^$ !USUS.,   d(O;$0  2#  a  .3  0` (#(#ZZZZ)!dxdx(.3^$ !USUS.,   i(b$0  0` (#(#2#   .3  0 ` (#` (#(xir$0  0` (#(#0 ` (#` (#2#(  0  )3  0 (# (#b]Yc\E<<CLevel 1Level 2Level 3Level 4Level 5($$   1  03CSY_ekou{Numbers 2Numbers1.1.1.1."1.1.1.d1. e (.(3D)$ !USUS.,      0  (#$  0  ($0  0` (#(#0 ` (#` (#0 (# (#2#(  a  )3  0h(#(#(F$0  0` (#(#0 ` (#` (#0 (# (#0h(#(#2#(   )3  0h(#h(#($0  0` (#(#0 ` (#` (#0 (# (#0h(#(#0h(#h(#2#  0  )3  0(#(#Level 1Level 2Level 3Level 4Level 5({$0  0` (#(#0 ` (#` (#0 (# (#0h(#(#0h(#h(#0(#(#2#  a  )3  0p(#(#(F$0  0` (#(#0 ` (#` (#0 (# (#0h(#(#0h(#h(#0(#(#0p(#(#2#     )3  0p(#p(# N[_`ijkmpiCEIMQUY]aAutoList6""""""""i)1)a)on"N[_`ijkmh*iCEIMQUY]aAutoList7""""""""i)1)a)qn"N[_`ijkmh:iCEIMQUY]aAutoList8""""""""i)1)a)sn"N[_`ijkmhJiCEIMQUY]aAutoList9""""""""i)1)a)un"N[_`ijkmhjEGKOSW[_cAutoList10"""""""")1)a)wn"N[_`ijkmhzEGKOSW[_cAutoList11"""""""")1)a)yn"N[_`ijkmhEGKOSW[_cAutoList12"""""""")1)a){n"N[_`ijkmhEGKOSW[_cAutoList13"""""""")1)a)}n"N[_`ijkmhEGKOSW[_cAutoList14"""""""")1)a)n" !USUS.,  _ 8|XXdd8fOpp(#BillingCode:351033P d (#(#(#DEPARTMENTOFCOMMERCE   BureauofIndustryandSecurity 8  15CFRparts734,740,742,748,770,and774 L  DocketNo.030529136313601  RIN0694AC78 \ ExportAdministrationRegulations:EncryptionClarificationsandRevisions. p  AGENCY:BureauofIndustryandSecurity,Commerce.  ! ACTION:Finalrule. $l! SUMMARY:ThisruleamendstheExportAdministrationRegulations(EAR)toclarifywhen ("% encryptioncommoditiesandsoftwaremaybegivendeminimistreatment,whenshortrange X*#' wirelessdevicesincorporatingencryptionmaybegivenmassmarketorretailtreatment,andto 0,%) provideguidanceonwhenexportersarerequiredtosubmitencryptionreviewrequests.Italso d expandstheauthorizationsaccordingtowhichtravelersdepartingtheUnitedStatesmaytake < encryptionfortheirpersonaluse,andclarifiesthatspeciallydesignedmedicalequipmentand   softwarearenotcontrolledasencryptionor informationsecurityitemsundertheEAR.   FinallythisruleimplementschangestotheWassenaarArrangementListofdualuseitems  ` (agreeduponintheSeptember2002meetingandfinalizedinDecember2002)thateliminate 8  fromExportControlClassificationNumber(ECCN)5A002certaintypesof Personalizedsmart t  cardsandequipmentspeciallydesignedandlimitedtocontrollingaccesstocopyrightprotected L  data. $ EFFECTIVEDATES:[INSERTDATEOFPUBLICATION] H FORFURTHERINFORMATIONCONTACT:NormanLaCroix,ActingDirector,Information \ TechnologyControlsDivision,OfficeofStrategicTradeandForeignPolicyControls,Bureauof 4  IndustryandSecurity,U.S.DepartmentofCommerceat(202)4824439.  " SUPPLEMENTARYINFORMATION %X" Background l)#& Thisruleamends734.4(b)toclarifythedeminimiseligibilityofencryptionitemscontrolledfor -&* NationalSecurity( NS)orAntiTerrorism( AT)reasonsundertheExportAdministration d Regulations(EAR),subjecttotheapplicablenotificationorreviewrequirementsdescribedin < 740.13(e)and742.15(b).Aswithotherencryptionitemsnolongersubjectto EIcontrols   (suchasitemsclassifiedunderExportControlClassificationNumbers(ECCNs)5A992,5D992   or5E992),thisruleclarifiesthatECCN5D002encryptionsourcecodethatwouldbeconsidered  ` publiclyavailableunder734.3(b)(3)oftheEAR(andthecorrespondingobjectcode)iseligible 8  fordeminimistreatmentonceexportershavecompliedwiththeapplicablenotification t  requirementthatreleasessuchECCN5D002softwarefrom EIcontrols. L  ThisrulealsoupdatesLicenseExceptionBAGandtheRelatedControlnotestoECCN5A002  relativetotheWassenaarArrangementListofdualuseitems,andinseveralsectionsoftheEAR p clarifiesexistinginstructionsrelatedtoencryptioncommoditiesandsoftwarepreloadedonto H laptops,handhelddevices,computersorotherequipment.Thisrulealsoaddsa checkliston   encryptionandother informationsecurityfunctionstoSupplement5topart742oftheEAR,to \ helpexportersmorefullyconsiderandidentifycontrolledencryptionand informationsecurity 4  componentswithintheirproducts,whenmakingclassificationdecisionsandassessingwhether  " anencryptionreviewbyBISisrequired. #  ConsistentwiththestandingexportcontrolagreementamongWassenaarArrangementmember '0!$ nations,thisrulealsoaddsaNotaBene( NB)immediatelyfollowingNote1inCategory5part l)#& IIthatclarifiesthatcommoditiesandsoftwarespeciallydesignedformedicalendusethat D+$( incorporateencryptionitemslistedinCategory5partIIarenotcontrolledbycategory5,partII -&* oftheCommerceControlList.Thisrulethusclarifiesthatacommodityorsoftwareproductthat d isspeciallydesignedformedicalend-useisclassifiedasEAR99,evenifthemedicalproduct < incorporatesanotherproduct,partorcomponentthatwouldotherwisebeclassifiedas5A002,   5D002,5A992or5D992.   ThisruleexpandsthescopeofLicenseExceptionBAGbyallowingU.S.citizensorpermanent 8  residentaliensoftheUnitedStatestoexportencryptioncommoditiesandsoftwarefortheir t  personalusetoanydestinationexceptCountryGroupE:1.PersonsotherthanU.S.citizensor L  permanentresidentaliensoftheUnitedStates(exceptnationalsofcountrieslistedinCountry $ GroupE:1ofSupplementNo.1topart740whoarenotU.S.citizensorpermanentresident  aliensoftheUnitedStates)mayalsotakesuchcommoditiesandsoftwareasaccompanying p baggagefortheirpersonalusetoanydestinationexceptCountryGroupE:1.Thisruleupdates H theprovisionsin740.14(d)for unaccompaniedbaggagebypermittingshipmentsofpersonal   useencryptioncommoditiesandsoftwaresubjectto EIcontrolstothesamedestinationsthat \ arepermittedforCB,MT,NSandNPcontrolleditems. 4  IntheRelatedControlnotestoECCN5A002,thepreviousrestrictionto"onetime"copycontrol #  ofcopyrightprotectedaudio/videodatahasbeenremoved.Likewise,asisnowthecaseforsuch %X" playbackaudio/videodata,softwarethatissubjecttotheEARbutnotspecifiedonthe '0!$ CommerceControlList(i.e.,itemsthatareclassifiedasEAR99)remainsclassifiedEAR99when l)#& copyprotected.Lastly,RelatedControlnote(a)isamendedanddividedintotwosub D+$( paragraphs. -&* ЇAlthoughtheExportAdministrationActexpiredonAugust20,2001,ExecutiveOrder13222of d August17,2001(66FR44025,August22,2001),asextendedbytheNoticeofAugust14,2002 < (67FR53721,August16,2002),continuestheRegulationsineffectundertheInternational   EmergencyEconomicPowersAct.    RulemakingRequirements  8    1.ThisfinalrulehasbeendeterminedtobenotsignificantforpurposesofE.O.12866. t    2.Notwithstandinganyotherprovisionoflaw,nopersonisrequiredtorespondto,nor L  shallanypersonbesubjecttoapenaltyforfailuretocomply,withacollectionofinformation $ subjecttotherequirementsofthePaperworkReductionAct,unlessthatcollectionofinformation  displaysacurrentlyvalidOfficeofManagementandBudgetControlNumber.Thisruleinvolves p acollectionofinformationsubjecttothePaperworkReductionActof1980(44U.S.C.3501et H seq.).ThiscollectionhasbeenapprovedbytheOfficeofManagementandBudgetundercontrol   number06940088, MultiPurposeApplication,whichcarriesaburdenhourestimateof45 \ minutesforamanualsubmissionand40minutesforanelectronicsubmission. 4    3.ThisruledoesnotcontainpolicieswithFederalismimplicationsasthattermisdefined  " underE.O.13132. #    4.TheprovisionsoftheAdministrativeProcedureAct(5U.S.C.553)requiringnoticeof %X" proposedrulemaking,theopportunityforpublicparticipation,andadelayineffectivedate,are '0!$ inapplicablebecausethisregulationinvolvesamilitaryandforeignaffairsfunctionoftheUnited l)#& States(5U.S.C.553(a)(1)).Further,nootherlawrequiresthatanoticeofproposedrulemaking D+$( andanopportunityforpubliccommentbegivenforthisinterimrule.Becauseanoticeof -&* proposedrulemakingandanopportunityforpubliccommentarenotrequiredtobegivenforthis d ruleundertheAdministrativeProcedureActorbyanyotherlaw,theanalyticalrequirements < oftheRegulatoryFlexibilityAct(5U.S.C.601etseq.)arenotapplicable.Therefore,this   regulationisissuedinfinalform.Althoughthereisnoformalcommentperiod,publiccomments   onthisregulationandonproposalstofurtherupdatetheencryptionprovisionsoftheEARare  ` welcomeonacontinuingbasis.CommentsshouldbesubmittedtoSharronCook,Officeof 8  ExporterServices,BureauofIndustryandSecurity,DepartmentofCommerce,P.O.Box273, t  Washington,D.C.20044. L  ListofSubjects  15CFRPart734 H   Administrativepracticeandprocedure,Exports,Foreigntrade,Reportingand \ recordkeepingrequirements. 4  15CFRParts740and748 #    Administrativepracticeandprocedure,Advisorycommittees,Exports,Foreigntrade, '0!$ Reportingandrecordkeepingrequirements. l)#& 15CFRParts742,770,and774 -&* fO fe f    Exports,Foreigntrade.    Accordingly,parts734,740,742,748,770,and774oftheExportAdministration   Regulations(15CFRparts730799)areamendedasfollows: y `  [PART734AMENDED]     d(3031"N3"    N3+23  1  .3  0 `   ݀Theauthoritycitationforpart734continuestoreadasfollows:N3+P+݌` (#` (# Ќ  Authority: 50U.S.C.app.2401etseq.;50U.S.C.1701etseq.;E.O.12938,59FR59099,3  CFR,1994Comp.,p.950;E.O.13020,61FR54079,3CFR,1996Comp.p.219;E.O.13026, x 61FR58767,3CFR,1996Comp.,p.228;E.O.13222,66FR44025,3CFR,2001Comp.,p. iP 783;NoticeofNovember9,2001,66FR56965,3CFR,2001Comp.,p.917;NoticeofAugust A( 14,2002,67FR53721,August16,2002.  "N3"    N32.23  2  .3  0 `   Section734.4isamendedbyrevisingparagraph(b)toreadasfollows:N32.k.݌!` (#` (# Ќ  734.4DeMinimisU.S.Content. y%`" (a)*** ))#& (b)ThereisnodeminimislevelforforeignmadeitemsthatincorporateU.S.originitems ,&* controlledfor EIreasonsunderECCN5A002,5D002or5E002ontheCommerceControlList  (SupplementNo.1topart774theEAR).However,exportersmay,aspartofanencryption  reviewrequest,askthatsoftwarecontrolledforEIreasonsunderECCN5D002andeligiblefor   exportunderthe"retail"or"sourcecode"provisionsoflicenseexceptionENC,andpartsand   componentscontrolledunderECCN5A002,bemadeeligiblefordeminimistreatment.The y ` reviewofdeminimiseligibilitywilltakeU.S.nationalsecurityinterestsintoaccount.Other Q8  encryptionitemscontrolledforNSorATreasonsunderECCNs5D002,5A992,5D992,and )  5E992arenoteligiblefordeminimistreatment,unlessexportershavecompliedwiththe   applicablenotificationorreviewrequirementsdescribedin740.13(e),742.15(b)(1),and  742.15(b)(2)oftheEAR.EncryptionitemscontrolledbyECCN5A992,5D992,or5E992and  describedin742.15(b)(3)oftheEARarenotsubjecttothesenotificationorreview p requirements. aH    `    * h *  *  * p * 9   [PART740AMENDED]   "N3"    N3523  3  .3  0 `   ݀Theauthoritycitationforpart740continuestoreadasfollows: N356݌# ` (#` (# Ќ    Authority: 50U.S.C.app.2401etseq.;50U.S.C.1701etseq.;Sec.901911,Pub.L. q%X" 106387;E.O.13026,61FR58767,3CFR,1996Comp.,p.228;E.O.13222,66FR44025,3 Q'8!$ CFR,2001Comp.,p.783;NoticeofAugust14,2002,67FR53721,August16,2002. ))#& "N3"    N3J823  4  .3  0 `   Section740.9isamendedbyrevisingparagraph(a)(2)(i)toreadasfollows:N3J88݌,&*` (#` (# Ќ  740.9Temporaryimports,exports,andreexports(TMP).    %ok%XX   `    *0 h *0h(#h(#*0(#(#*0p(#(#* #X|X%%ok9#Ԁ p(#p(# (a)*** y `   (2)*** Q8     ` (i)Toolsoftrade.Usualandreasonablekindsandquantitiesoftoolsoftrade )  (commoditiesandsoftware)forusebytheexporteroremployeesoftheexporterinalawful   enterpriseorundertakingoftheexporter.Eligibletoolsoftrademayinclude,butarenotlimited  to,suchequipmentandsoftwareasisnecessarytocommissionorservicegoods,providedthat  theequipmentorsoftwareisappropriateforthispurposeandthatallgoodstobecommissioned p orservicedareofforeignorigin,orifsubjecttotheEAR,havebeenlegallyexportedor aH reexported.Thetoolsoftrademustremainundertheeffectivecontroloftheexporterorthe 9  exporter'semployee(seepart772oftheEARforadefinitionof"effectivecontrol").Alltoolsof  trademayaccompanytheindividualdepartingfromtheUnitedStatesormaybeshipped  unaccompaniedwithinonemonthbeforetheindividual'sdeparturefromtheUnitedStates,orat ! anytimeafterdeparture.NotoolsofthetrademaybetakentoCountryGroupE:2(see #  SupplementNo.1topart740)orSudan.ForexportsunderthisLicenseExceptionoflaptops, q%X" handhelddevicesandothercomputersandequipmentloadedwithencryptioncommoditiesor I'0!$ software,refertoiteminterpretation13in770.2oftheEAR. !)#&    `    * h *  *  * p * ,&* Ї"N3"    N3A23  5  .3  0 `   Section740.14isamendedbyrevising itemsinthelastsentenceofparagraph  (b)(4)toread commoditiesandsoftware,andbyrevisingparagraphs(d)and(f)  toreadasfollows:N3AA݌ ` (#` (# Ќ  740.14Baggage(BAG).  Q8   %ok%XX|   `    *0 h *0h(#h(#*0(#(#*0p(#(#* #X|X%%okC#Ԁ p(#p(# (b)***    (4)ToolsofTrade.Usualandreasonablekindsandquantitiesoftools,instruments,or aH equipmentandtheircontainersforuseinthetrade,occupation,employment,vocation,orhobby 9  ofthetravelerormembersofthehouseholdbeingmoved.Forspecialprovisionsregarding  encryptioncommoditiesandsoftwaresubjecttoEIcontrols,seeparagraph(f)ofthissection.   %ok%XX|   `    *0 h *0h(#h(#*0(#(#*0p(#(#* #X|X%%ok|F#Ԁ# p(#p(# (d)Specialprovision:unaccompaniedbaggage.IndividualsdepartingtheUnitedStatesmayship I'0!$ unaccompaniedbaggage,whichisbaggagesentfromtheUnitedStatesonacarrierotherthan !)#& thatonwhichanindividualdeparts.Crewmembersofexportingcarriersmaynotship *$( unaccompaniedbaggage.UnaccompaniedshipmentsunderthisLicenseExceptionshallbe ,&* clearlymarked"BAGGAGE."Shipmentsofunaccompaniedbaggagemaybemadeatthetime  of,orwithinareasonabletimebeforeorafterdepartureoftheconsigneeorownerfromthe  UnitedStates.Personalbaggagecontrolledforchemicalandbiologicalweapons(CB),missile   technology(MT),nationalsecurity(NS),encryptionitems(EI)ornuclearnonproliferation(NP)   mustbeshippedwithin3monthsbeforeorafterthemonthinwhichtheconsigneeorowner y ` departstheUnitedStates.However,commoditiescontrolledforCB,MT,NS,EIorNPmaynot Q8  beexportedunderthisLicenseExceptionasunaccompaniedbaggagetoCountryGroupsD:1, )  D:2,D:3,D:4,orE:1.(SeeSupplementNo.1ofthispart).    %ok%XX|   `    *0 h *0h(#h(#*0(#(#*0p(#(#* #X|X%%okzL#Ԁp(#p(# (f)Specialprovisions:encryptioncommoditiesandsoftwaresubjecttoEIcontrolsonthe aH CommerceControlList.(1)AU.S.citizenorpermanentresidentalienoftheUnitedStatesas 9  definedby8U.S.C.1101(a)(20)mayusethislicenseexceptiontoexportorreexportencryption  commoditiesandsoftwaretoanydestinationnotinCountryGroupE:1ofSupplementNo.1of  thispart. ! (2)ApersonotherthanaU.S.citizenorpermanentresidentalienoftheUnitedStatesasdefined I'0!$ by8U.S.C.1101(a)(20)(exceptanationalofacountrylistedinCountryGroupE:1of !)#& SupplementNo.1ofthispartwhoisnotaU.S.citizenorpermanentresidentalienoftheUnited *$( States)mayalsousethislicenseexceptiontoexportorreexportencryptioncommoditiesand ,&* softwaretoanydestinationnotinCountryGroupE:1ofSupplementNo.1ofthispart.  "N3"    N3Q23  6  .3  0 `   Section740.17isamendedbyrevisingparagraph(b)(3)(iii)(H)toreadasfollows:N3QQ݌ ` (#` (# Ќ  740.17EncryptionCommoditiesandSoftware(ENC).  Q8   %ok%XX|   `    *0 h *0h(#h(#*0(#(#*0p(#(#* #X|X%%okR#Ԁ) p(#p(# (b)***     (3)***     ` (iii)*** aH    ` (H)Shortrangewirelesscomponentsandsoftwarethatdonotqualifyasmass  market.CommoditiesandsoftwarethatwouldnototherwisebecontrolledunderCategory5  (telecommunicationsand informationsecurity)oftheCommerceControlList,butwhichare ! controlledunderECCN5A002or5D002onlybecausetheyincorporatecomponentsorsoftware #  thatprovideshortrangewirelessencryptionfunctions(e.g.,withanoperatingrangetypicallynot q%X" exceeding100meters),maybeexportedorreexportedundertheretailprovisionsofLicense I'0!$ ExceptionENC,withoutrevieworreporting. !)#&    `    * h *  *  * p * *$(  ,&* Ї [PART742AMENDED]   "N3"    N3&X23  7  .3  0 `   ݀Theauthoritycitationforpart742continuestoreadasfollows:N3&X_X݌` (#` (# Ќ    Authority: 50U.S.C.app.2401etseq.;50U.S.C.1701etseq.;18U.S.C.2510etseq.;   22U.S.C.3201etseq.;42U.S.C.2139a;Sec.901911,Pub.L.106387;Sec.221,Pub.L.107   56;E.O.12058,43FR20947,3CFR,1978Comp.,p.179;E.O.12851,58FR33181,3CFR,  h 1993Comp.,p.608;E.O.12938,59FR59099,3CFR,1994Comp.,p.950;E.O.13026,61FR Y@  58767,3CFR,1996Comp.,p.228;E.O.13222,66FR44025,3CFR,2001Comp.,p.783; 1  NoticeofNovember9,2001,66FR56965,3CFR,2001Comp.,p.917;NoticeofAugust14,    2002,67FR53721,August16,2002.  "N3"    N32\23  8  .3  0 `   Section742.15isamendedbyrevisingthefirsttwosentencesofparagraph(b)(1), A( andrevisingparagraph(b)(3)(ii)toreadasfollows:N32\k\݌` (#` (# Ќ  742.15EncryptionItems.  !  %ok%XX|   `    *0 h *0h(#h(#*0(#(#*0p(#(#* #X|X%%ok]#Ԁy%`"p(#p(# (b)*** ))#&   (1)f  g f  g Notificationrequirementforspecifiedencryptionitemsf  g f  g .f  g ԀYoumayexportorreexport ,&* encryptionitemscontrolledunderECCN5A992,5D992or5E992andidentifiedinf  g paragraphf  g sf  g   (b)(1)f  g (i)and(b)(1)(ii)ofthissectionf  g Ԁtomostdestinationswithoutalicense(NLR:f  g ԀNoLicense  Required),providedthatyouhavesubmittedtoBIS,bythetimeofexport,theinformation   describedinparagraphs(a)through(e)ofSupplementNo.6f  g f  g off  g Ԁthispartf  g f  g .Fornotifications   submittedunderparagraph(b)(1)(i)ofthissection,youmustalsoprovidef  g Ԁspecificinformation y ` describinghowyourproductsqualifyformassmarkettreatmentunderthecriteriainthe Q8  CryptographyNote(Note3)ofCategory5,Part2,oftheCommerceControlList(Supplement )  No.1topart774oftheEAR).f  Ԁ h *  *  *        `    * h *  *  * p *    (3)*** aH    ` (ii)f  g f  g Ԁf  g Massmarketshortrangewirelessf  g f  g commoditiesorsoftware.Massmarket  commoditiesorsoftwarethatwouldnototherwisebecontrolledunderCategory5  (telecommunicationsand informationsecurity)oftheCommerceControlList,butwhichf  g Ԁare ! controlledunderECCN5A992or5D992onlybecausetheyincorporatecomponentsorsoftware #  f  g f  g thatf  g Ԁprovideshortrangewirelessencryptionfunctions(e.g.f  ,g Ԁwirelessproductswithanoperating q%X" rangetypicallynotexceeding100meters). I'0!$    `    * h *  *  * p * *$(  ,&* Ї"N3"    N3h23  9  .3  0 `   Part742isamendedbyaddinganewSupplementNo.5toreadasfollows:N3hi݌` (#` (# Ќ     `     h      p     SUPPLEMENTNO.5TOPART742CHECKLISTONENCRYPTIONANDOTHER    INFORMATIONSECURITYFUNCTIONS y ` 1.Doesyourproductperform cryptography,orotherwisecontainanypartsorcomponentsthat )  arecapableofperforminganyofthefollowing informationsecurityfunctions?   (Markwithan Xallthatapply)     a._____0 encryptionp (# (#   b._____0 decryptiononly(noencryption)M4 (# (#   c._____0 keymanagement/publickeyinfrastructure(PKI) (# (#   d._____ authentication(e.g.,passwordprotection,digitalsignatures)      e._____0 copyprotection#$ (# (#   f._____0 antivirusprotection]&D ( (# (#   g._____0 other(pleaseexplain):________________________________________!)#, (# (#   h._____0 NONE/NOTAPPLICABLE +%0 (# (#  2.Foritemswithencryption,decryptionand/orkeymanagementfunctions(1.a,1.b,1.cabove):   X   a.Whatsymmetricalgorithmsandkeylengths(e.g.,56bitDES,112/168bitTriple   DES,128/256bitAES/Rijndael)areimplementedorsupported? y `  Q8    b.Whatasymmetricalgorithmsandkeylengths(e.g.,512bitRSA/DiffieHellman, )  1024/2048bitRSA/DiffieHellman)areimplementedorsupported?       c.Whatencryptionprotocols(e.g.,SSL,SSH,IPSECorPKCSstandards)are  implementedorsupported? p  aH   d.Whattypeofdataisencrypted? 9      X3.Forproductsthatcontainan encryptioncomponent,canthisencryptioncomponentbe  easilyusedbyanotherproduct,orelseaccessed/retransferredbytheenduserforcryptographic ! use? #   [PART748AMENDED]  I'0!$ "N3 "    N3t23  10  .3  0 `   ݀Theauthoritycitationforpart748continuestoreadasfollows:N3tNt݌*$(` (#` (# Ќ    Authority: 50U.S.C.app.2401etseq.;50U.S.C.1701etseq.;E.O.13026,61FR ,&* 58767,3CFR,1996Comp.,p.228;E.O.13222,66FR44025,3CFR,2001Comp.,p.783;  NoticeofAugust14,2002,67FR53721,August16,2002.  "N3 "    N3iv23  11  .3  0 `   Section748.3isamendedbyaddingasentencetotheendofparagraph(a),and   revising(d)toreadasfollows:N3ivv݌y `` (#` (# Ќ  748.3ClassificationRequests,AdvisoryOpinions,andEncryptionReviewRequests.  )  (a)Introduction. *  * h *AreviewofthequestionsprovidedinSupplementNo.5  topart742oftheEARmayassistindeterminingwhetheryoumustsubmitanencryptionreview  request(seeparagraph(d)ofthissection)foryourparticularitem. p  %ok%XX|   `    *0 h *0h(#h(#*0(#(#*0p(#(#* #X|X%%oky#Ԁ9 p(#p(# (d)Reviewrequestsforencryptionitems.f  g f  g Ԁf  g ADepartmentofCommercereviewofencryption  itemstransferredfromtheU.S.MunitionsListconsistentwithExecutiveOrder13026of ! November15,1996(3CFR,1996Comp.,p.228)f  g ԀandpursuanttothePresidentialMemorandum #  ofthatdatemayberequiredtodetermineeligibilityunderLicenseExceptionENCorforrelease q%X" from EIcontrols.Refertof  g f  g SupplementNo.5topart742oftheEARforquestionsthatprovide I'0!$ initialguidanceindeterminingwhetheryoumustsubmitanencryptionreviewrequestforyour !)#& item.Refertof  g ԀSupplementNo.6topart742oftheEARf  g Ԁforacompletelistoftechnical *$( informationthatisrequiredforencryptionreviewrequests.Referalsoto742.15(b)oftheEARf  g  ,&* forinstructionsregardingmassmarketencryptioncommoditiesandsoftware.Referto740.17  oftheEARfortheprovisionsofLicenseExceptionENC.  "N3 "    N323  12  .3  0 `   Part748,SupplementNo.1isamendedbyrevisingtheparagraphlabeled Block   5toreadasfollows:N3݌y `` (#` (# Ќ  SUPPLEMENTNO.1TOPART748!BIS!748P,BIS748PA;ITEMAPPENDIX,ANDBIS )  748PB;ENDUSERAPPENDIX;MULTIPURPOSEAPPLICATIONINSTRUCTIONS    %ok%XX|   `    *0 h *0h(#h(#*0(#(#*0p(#(#* #X|X%%ok#Ԁp(#p(#   Block5:TypeofApplication.Export.IftheitemsarelocatedwithintheUnitedStates, aH andyouwishtoexportthoseitems,marktheBoxlabeled"Export"withan(X).Reexport.Ifthe 9  itemsarelocatedoutsidetheUnitedStates,marktheBoxlabeled"Reexport"withan(X).  Classification.IfyouarerequestingBIStoclassifyyouritemagainsttheCommerceControlList  (CCL),marktheBoxlabeled"ClassificationRequest"withan(X).EncryptionReview.Ifyou ! arerequestingencryptionreviewunderLicenseExceptionENC(740.17oftheEAR)or mass #  marketencryptionprovisions(742.15(b)(2)oftheEAR),marktheBoxlabeled Classification q%X" Requestwithan(X).SpecialComprehensiveLicense.IfyouaresubmittingaSpecial I'0!$ ComprehensiveLicenseapplicationinaccordancewiththeproceduresdescribedinpart752of !)#& theEAR,marktheBoxlabeled"SpecialComprehensiveLicense"withan(X). *$(  ,&*    `    * h *  *  * p *  "N3 "    N323  13  .3  0 `   Part748,SupplementNo.2isamendedbyaddinganewparagraph(r)   immediatelyfollowingparagraph(q)andreadingasfollows:N3݌ ` (#` (# Ќ  SUPPLEMENTNO.2TOPART748UNIQUELICENSEAPPLICATION Q8  REQUIREMENTS  )   %ok%XX|   `    *0 h *0h(#h(#*0(#(#*0p(#(#* #X|X%%ok#Ԁ p(#p(# (r)Encryptionreviewrequests.Enter,inBlock9(SpecialPurpose)oftheBIS!748P, License  ExceptionENCifyouaresubmittinganencryptionreviewrequestforLicenseExceptionENC  (740.17oftheEAR)or massmarketencryptionifyouaresubmittinganencryptionreview p requestunderthemassmarketencryptionprovisions(742.15(b)(2)oftheEAR).Ifyouseekan aH encryptionreviewforanotherreason,enter encryptionother. 9   [PART770AMENDED] !  "N3 "  ݀0  N3ڌ23  14  .3  0` (#(#  Theauthoritycitationforpart770continuestoreadasfollows: N3ڌ݌q%X"` (#` (# Ќ  ݀  Authority: 50U.S.C.app.2401etseq.;50U.S.C.1701etseq.;E.O.13222,66FR I'0!$ 44025,3CFR,2001Comp.,p.783;NoticeofAugust14,2002,67FR53721,August16,2002. ))#& "N3"  0  N323  15  .3  0` (#(#  Section770.2isamendedbyrevisingparagraph(m)toreadasfollows:N3(݌,&*` (#` (# Ќ    770.2ItemInterpretations.     `    * h *  *  * p *   ̀(m)f  g   f  g ԀInterpretation13:Encryptionf  g Ԁcommoditiesandf  g ԀsoftwarecontrolledforEIreasons. y ` Encryptionf  g commoditiesandf  g softwarecontrolledforEIreasonsunderf  g f  g ECCNs5A002andf  g Ԁ5D002 Q8  maybepreloadedonalaptopf  g ,handhelddeviceorothercomputerorequipmentf  g Ԁandexported )  underthetoolsoftradeprovisionofLicenseExceptionTMPorthepersonaluseexemption   underLicenseExceptionBAG,subjecttothetermsandconditionsofsuchLicenseExceptions.  ThisprovisionreplacesthepersonaluseexemptionoftheInternationalTrafficandArms  Regulations(ITAR)thatexistedforsuchsoftwarepriortoDecember30,1996.NeitherLicense p ExceptionTMPnorLicenseExceptionBAGcontainsareportingrequirement.f  g ԀLikeother aH "informationsecurity""software",components,"electronicassemblies"ormodules,thecontrol 9  statusofencryptioncommoditiesandsoftwareisdeterminedinCategory5,part2evenifthey  arebundled,commingledorincorporatedinacomputerorotherequipment.However,  commoditiesandsoftwarespeciallydesignedformedicalendusethatincorporateanitemin ! Category5,part2arenotcontrolledinCategory5,part2.SeeNote1toCategory5,part2 #  ( InformationSecurity)ofSupplementNo.1toPart774(theCommerceControlList)ofthe q%X" EAR. I'0!$    `    * h *  *  * p * !)#&  ,&*  [PART774AMENDED]    SupplementNo1toPart774(TheCommercecontrolList)![Amended]    "N3"  ݀0  N3123  16  .3  0` (#(#  Theauthoritycitationforpart774continuestoreadasfollows:N31k݌y `` (#` (# Ќ    Authority: 50U.S.C.app.2401etseq.;50U.S.C.1701etseq.;10U.S.C.7420;10 Q8  U.S.C.7430(e);18U.S.C.2510etseq.;22U.S.C.287c,22U.S.C.3201etseq.,22U.S.C.6004; 1  30U.S.C.185(s),185(u);42U.S.C.2139a;42U.S.C.6212;43U.S.C.1354;46U.S.C.app.    466c;50U.S.C.app.5;Sec.901911,Pub.L.106387;Sec.221,Pub.L.10756;E.O.13026,61  FR58767,3CFR,1996Comp.,p.228;E.O.13222,66FR44025,3CFR,2001Comp.,p.783;  NoticeofAugust14,2002,67FR53721,August16,2002. x "N3"    N323  17  .3  0 `   SupplementNo.1toPart774(CommerceControlList),Category5 A( Telecommunicationsand"InformationSecurity",followingtheheadingII   INFORMATIONSECURITYisamendedbyaddinganewNotaBene(``N.B.'')  immediatelyfollowingNote1,andamendingExportControlClassification ! Number(ECCN)5A002byrevisingtheRelatedControlsparagraphoftheListof #  ItemsControlledsectionassetforthbelow:N3"݌y%`"` (#` (# Ќ  "N3"    N3ɟ23  18  .3  0 `   N3ɟ݌Q'8!$` (#` (# Ќ  Category5-Telecommunicationsand"InformationSecurity" ))#&    ` %ok%XX|   `    *0 h *0h(#h(#*0(#(#*0p(#(#* #X|X%%ok#Ԁ,&*p(#p(# PartII. InformationSecurity   %ok%XX|   `    *0 h *0h(#h(#*0(#(#*0p(#(#* #X|X%%ok1#Ԁ p(#p(#  Note1:  ` * *  * y `  N.B.toNote1: Commoditiesandsoftwarespeciallydesignedformedicalendusethat    incorporateaniteminCategory5,part2arenotclassifiedinanyECCNinCategory5,part2.   %ok%XX|   `    *0 h *0h(#h(#*0(#(#*0p(#(#* #X|X%%okJ#Ԁp(#p(# A.SYSTEMS,EQUIPMENTANDCOMPONENTS I0  5A002Systems,equipment,applicationspecific"electronicassemblies",modulesand  integratedcircuitsfor"informationsecurity",asfollows(seeListofItemsControlled),and ! otherspeciallydesignedcomponentstherefor.  #   %ok%XX|   `    *0 h *0h(#h(#*0(#(#*0p(#(#* #X|X%%ok#Ԁ1)#&p(#p(#  ListofItemsControlled  ,&* ЇUnit󀀀***  RelatedControls:Seealso5A992.Thisentrydoesnotcontrol:(a)"Personalizedsmartcards":   (1)Wherethecryptographiccapabilityisrestrictedforuseinequipmentorsystemsexcluded   fromcontrolparagraphs(b)through(f)ofthisnote;or(2)Forgeneralpublicuseapplications y ` wherethecryptographiccapabilityisnotuseraccessibleanditisspeciallydesignedandlimited Q8  toallowprotectionofpersonaldatastoredwithin.Notethatifa"personalizedsmartcard"has )  multiplefunctions,thecontrolstatusofeachfunctionisassessedindividually;(b)Receiving   equipmentforradiobroadcast,paytelevisionorsimilarrestrictedaudiencebroadcastofthe  consumertype,withoutdigitalencryptionexceptthatexclusivelyusedforsendingthebillingor  programrelatedinformationbacktothebroadcastproviders;(c)Portableormobile p radiotelephonesforciviluse(e.g.,forusewithcommercialcivilcellularradiocommunications aH systems)thatarenotcapableofendtoendencryption;(d)Equipmentwherethecryptographic 9  capabilityisnotuseraccessibleandwhichisspeciallydesignedandlimitedtoallowanyofthe  following:(1)Executionofcopyprotected"software";(2)Accesstoanyofthefollowing:(a)  Copyprotectedcontentsstoredonreadonlymedia;or(b)Informationstoredinencryptedform ! onmedia(e.g.,inconnectionwiththeprotectionofintellectualpropertyrights)wherethemedia #  isofferedforsaleinidenticalsetstothepublic;or(3)Copyingcontrolofcopyrightprotected q%X" audio/videodata;(e)Cryptographicequipmentspeciallydesignedandlimitedforbankinguseor I'0!$ moneytransactions;(f)Cordlesstelephoneequipmentnotcapableofendtoendencryption !)#& wherethemaximumeffectiverangeofunboostedcordlessoperation(e.g.,asingle,unrelayed *$( hopbetweenterminalandhomebasestation)islessthan400metersaccordingtothe ,&* manufacturer'sspecifications.TheseitemsarecontrolledunderECCN5A992.  RelatedDefintions: *  * h *   Items:  * ` * * y ` DATED:   JamesJ.Jochum p AssistantSecretary aH forExportAdministration