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FEDER AL REGISTER, Thursday , June 8, 1939
a The proposed substitution shall not be an express or implied condition of the spot order or contract.
b Thecoal substituted must be either coal which the Code Member has al ready produced and loaded into trans portation facilities or coal which the Code Member is about to produce, and which substituted coal, in either case, cannot be sold promptly by the exercise of the usual sales effort. Such substitution must be limited to a specific tonnage for ship ment on a specific spot order or contract and from a specific mine.
c T h e substitution must be necessary as a temporary and emergency measure in order to continue the operation of the mine of the Code Member.
d The substitution shall not be made except with the authorization of the pur chaser and it shall not be made with the purpose or effect of conferring any ad vantage on the purchaser or of securing any preference or advantage for the Code Member over his competitors.
e Such substitution may only be made with the approval of a duly desig nated representative of the Coal Com mission and in each instance formal ap plication therefor shall be made by the Code Member upon forms provided by the Commission. The application is to be submitted to the Statistical Bureau of the District. If such application .is approved, a written formal permit shall be issued prescribing the conditions in each case so approved.
1 The Code Member may make in formal application by telegraph for a substitution permit setting forth briefly the substance of the information as re quired in the formal application. In such case, the Code Member shall immediately confirm the telegraphic application by submitting the formal application for substitution provided by the Commission.
2 If the telegraphic application for substitution is approved, an informal telegraphic permit may be issued pre scribing the conditions of substitution in each case so approved. Upon ap proval of the formal application for sub stitution, the informal permit shall be confirmed by the issuance of the formal permit as herein provided.
3 If a District Board so desires, it may appoint a representative who may propose recommendations to the duly designated representative of the Com mission with respect to such applica tions for substitution as may be sub mitted to the Statistical Bureau of the District.
f Substitution may be made by Code -Members on spot orders and/or contracts for railroad fuel without prior approval of the representative of the Commission; Provided, however, That the Code Members immediately shall file the form prescribed by the Com m issio n with the Statistical Bureau. All substi tutions made without the prior approval No. n o ------2

of the representative of the Commission which are in violation of paragraphs a, b, c, and d, of this section will be deemed to be sales of coal below the established minimum price.
g A monthly report of substitution permits shall be mailed by Code Mem bers to the office of their District Board.
The Commission may from time to time publish the essential facts as to all sub stitution permits granted.
h In each case of coal shipped un der a substitution permit the invoice shall specifically show the permit num ber and the size and grade of coal sub stituted.!
318.12 Miscellaneousa General.
1 If, in converting a net or gross ton price, freight rate or freight rate differ ential, the calculation extends to more than two 2 decimals, and the third decimal is 0.085 or more, it shall be added as 0.01, and if under 0.005, it shall be eliminated.
2 All coal shall be sold and invoiced on a price per ton basis, and all coal must be sold and invoiced under the size, price classification and other designa tion therefor in the price schedule pub lished by the Coal Commission.
3 Failure to file information re quired by the rules and regulation in this part or the filing of false information, wilfully made, will subject the party failing to file the information required, or the party so filing, to the penalties of the Act and other penalties imposed by law.
4 Except where the context of the rule indicates the contrary, the rules and regulations in this part are applicable to transactions and in circumstances wherein the transgression thereof would result in either the violation of the ap plicable minimum price as established by the Coal Commission or of the pro hibited Unfair Methods of Competition.
N o te : The following subparagraph is ap plicable to Code Members In D istrict No. 16
only.

5 Pea or slack coal shall not be loaded for shipment in box cars.
b Advertising. 1> No deduction or allowance from invoice prices shall be granted by any Code Member, his Sales Agent or a Distributor to any purchaser for advertising which would have the effect of reducing the invoice price be low the applicable minimum price.
2 Code Members or their agents or representatives or Distributors, either in dividually or collectively, with or without financial participation by retailers of coal, may conduct advertising campaigns seeking to increase the use of coal. The amount of expenditures incurred by a Codé Member, his agent or representa tive or a Distributor for advertising shall be subject to review by the Coal Com mission as to the good faith of the transaction.
c Screening for buyers account. The screening of mine run or re-screening of
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other grades of coal, sold and billed as such, for the buyers account for the pur pose of keeping the resultant products separate in the shipment thereof is pro hibited.
d Coal confiscated or lost in transit.
All coal confiscated or lost in transit shall be invoiced to the carrier at not less than the minimum price established for such coal for sale to the carrier at the place of confiscation or loss.
e Reports of changes in use and reconsignments.- All Code Members, or their Sales Agents or Distributors, shall on or before the last day of each month furnish to the District Board and the Statistical Bureau for the District in which the coal originated full reports of all changes in use and all reconsignments and/or diversions made during the pre ceding calendar month, and shall author ize the carrier making such reconsign ments to furnish complete information thereon to such Statistical Bureau; Pro vided, however, That a Distributor is not required by this paragraph to make re ports of reconsignments and changes in use to any District Board.
f Revision of marketing rules and regulations. The rules and regulations in this part are subject to revision and amendment by further order of the Coal Commission.!
318.13 Unfair methods of competi tion. In accordance with the provisions of Section 4 n of the Act, the follow ing practices with respect to coal are unfair methods of competition and con stitute violations of the Bituminous Coal Code:
a The consignment of unordered coal, or the forwarding of coal which has not actually been sold, consigned to the producer or his agent: - Provided, however, that coal which has not ac tually been sold may be forwarded, con signed to the producer or his agent at rail or track yards, tidewater ports, river ports, or lake ports, or docks beyond such ports, when for application to any of the following classes: Bunker coal, coal applicable against existing contracts, coal for storage other than in railroad cars by the producer or his agent in rail or track yard or on docks, wharves, or other yards for resale by the producer or his agent.
b The adjustment of claims with purchasers of coal in such manner as to grant secret allowances, secret rebates, or secret concessions, or other price dis crimination.
c The prepayment of freight charges with intent to or having the effect of granting a discriminatory credit allow ance.
d The granting in any form of ad justments, allowances, discounts, cred its, or refunds to purchasers or sellers of coal, for the purposes or with the effect of altering retroactively a price previ ously agreed upon, in such manner as to create price discrimination.