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E. I. DU PONT DE NEMOURS & CO. v. UNITED STATES

Nos. 256-66, 371-66.

608 F.2d 445 (1979)

E. I. DU PONT DE NEMOURS AND COMPANY v. The UNITED STATES.

United States Court of Claims.

October 17, 1979.

Attorney(s) appearing for the Case

Daniel M. Gribbon, Washington, D. C., for plaintiff. Harris Weinstein, Coleman S. Hicks, Michael R. Levy, Washington, D. C., Roy A. Wentz, William F. Loftus, Wilmington, Del., Thomas M. Russon, Legal Dept., E. I. du Pont de Nemours & Co., Wilmington, Del., and Covington & Burling, Washington, D. C., of counsel.

Gilbert W. Rubloff, Washington, D. C., with whom was Asst. Atty. Gen. M. Carr Ferguson, Washington, D. C., for defendant. Theodore D. Peyser, Jr., and Donald H. Olson, Washington, D. C., of counsel.

Before FRIEDMAN, Chief Judge, and DAVIS, NICHOLS, KASHIWA, KUNZIG, BENNETT and SMITH, Judges, en banc.

OPINION

DAVIS, Judge:

Taxpayer Du Pont de Nemours, the American chemical concern, created early in 1959 a wholly-owned Swiss marketing and sales subsidiary for foreign sales — Du Pont International S.A. (known to the record and the parties as DISA). Most of the Du Pont chemical products marketed abroad were first sold by taxpayer to DISA, which then arranged for resale to the ultimate consumer through independent distributors. The profits on these...

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