,,ii  #aadth ,,congress  #ast ,session  
,s4 #hgf  ,,in ,,the ,,senate ,,of ,,the
 ,,united ,,states  ,march #bf1         
#bjae,mr4 ,roberts introduced the       
following bill2 which was read twice and
 referred to the ,committee on          
,agriculture1 ,nutrition1 and ,forestry 
,a ,,bill  ,to amend the ,commodity     
,exchange ,act to specify how clearing  
requirements apply to certain affiliate 
transactions4  #a4 ,treatment of        
affiliate transactions  7a7 ,in general 
7#a7 ,commodity ,exchange ,act amendment
 ,section #b7;h77#g77;,d7 of the        
,commodity ,exchange ,act 7#g ,u4,s4,c4 
#b7;h77#g77;,d77 is amended by striking 
clause 7i7 and inserting the following3 
7i7 ,in general ,an affiliate of a      
person that qualifies for an exception  
under subparagraph 7,a7 7including      
affiliate entities predominantly engaged
 in providing financing for the purchase
 of the merchandise or manufactured     
goods of the person7 may qualify for the
 exception only if the affiliate enters 

into the swap to hedge or mitigate the  
commercial risk of the person or other  
affiliate of the person that is not a   
financial entity1 provided that if the  
hedge or mitigation of the commercial   
risk is addressed by entering into a    
swap with a swap dealer or major swap   
participant1 an appropriate credit      
support measure or other mechanism must 
be used4  4  7#b7 ,conforming amendment 
,section #c;,c7g77#d7 of the ,securities
 ,exchange ,act of #aicd 7#ae ,u4,s4,c4 
#gh;c-#c7;g77#d77 is amended by striking
 subparagraph 7,a7 and inserting the    
following3  7,a7 ,in general ,an        
affiliate of a person that qualifies for
 an exception under paragraph 7#a7      
7including affiliate entities           
predominantly engaged in providing      
financing for the purchase of the       
merchandise or manufactured goods of the
 person7 may qualify for the exception  
only if the affiliate enters into the   
security-based swap to hedge or mitigate
 the commercial risk of the person or   

other affiliate of the person that is   
not a financial entity1 provided that if
 the hedge or mitigation of the         
commercial risk is addressed by entering
 into a security-based swap with a      
security-based swap dealer or major     
security-based swap participant1 an     
appropriate credit support measure or   
other mechanism must be used4  4  7b7   
,applicability of credit support measure
 requirement ,the requirements in       
section #b7;h77#g77;,d77i7 of the       
,commodity ,exchange ,act and section   
#c;,c7g77#d77;,a7 of the ,securities    
,exchange ,act of #aicd1 as amended by  
subsection 7a71 requiring that a credit 
support measure or other mechanism be   
used if the transfer of commercial risk 
referred to in those sections is        
addressed by entering into a swap with a
 swap dealer or major swap participant  
or a security-based swap with a         
security-based swap dealer or major     
security-based swap participant1 as     
appropriate1 shall not apply with       

respect to swaps or security-based      
swaps1 as appropriate1 entered into     
before the date of enactment of this    
,act4