True/False

1. If two U.S. companies in the railroad industry are considering a merger, and the pre-transaction Hefindahl-Hirschman Index (HHI) is above 2700, then it is unlikely that the merger will be allowed to proceed by the Federal Trade Commission (FTC).

2. In most M&A transactions where the Buyer is a public company, it is important to conduct EPS accretion & dilution analysis. The results of this analysis are affected by the choice of consideration (cash versus stock) offered to the Target shareholders. It is even possible that the transaction is dilutive if cash is used (as consideration), but accretive if stock is used (as consideration).