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How does the FTC determine whether the assets to be divested are viable and will restore competition?

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How does the FTC determine whether the assets to be divested are viable and will restore competition?

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This is the most critical question in crafting effective relief. A divestiture of the entire overlapping business (one that is operating effectively now), provides some comfort that those assets are viable and would restore competition. Such a divestiture reduces the risk to the Commission that it will be unable to obtain effective relief. However, with any divestiture proposal, we must examine the proposed divestiture and buyer to determine whether it will maintain or restore competition in the relevant market. See Q.6. for the criteria examined relating to a proposed buyer. Our inquiry is directed at current and future competitive issues, and respondents have the burden of showing that their proposal will have the likely effect of maintaining or restoring competition.

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