Self-Regulatory Organizations; Notice of Filing and Order Granting Accelerated Approval of Proposed Rule Change by the International Securities Exchange, Inc., Relating to the Nomination of Its Class B Directors Pursuant to Its Amended and Restated Constitution, 12518-12521 [E5-1051]
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12518
Federal Register / Vol. 70, No. 48 / Monday, March 14, 2005 / Notices
SECURITIES AND EXCHANGE
COMMISSION
[Release No. 34–51327; File No. SR–ISE–
2005–16]
Self-Regulatory Organizations; Notice
of Filing and Order Granting
Accelerated Approval of Proposed
Rule Change by the International
Securities Exchange, Inc., Relating to
the Nomination of Its Class B Directors
Pursuant to Its Amended and Restated
Constitution
March 7, 2005.
Pursuant to section 19(b)(1) of the
Securities Exchange Act of 1934 (the
‘‘Act’’),1 and Rule 19b–4 thereunder,2
notice is hereby given that on March 2,
2005, the International Securities
Exchange, Inc. (the ‘‘Exchange’’ or the
‘‘ISE’’) filed with the Securities and
Exchange Commission (‘‘Commission’’)
the proposed rule change as described
in items I and II below, which items
have been prepared by the Exchange.
The Commission is publishing this
notice to solicit comments on the
proposed rule change from interested
persons, and is approving the proposed
rule change on an accelerated basis.
I. Self-Regulatory Organization’s
Statement of the Terms of Substance of
the Proposed Rule Change
The Exchange is proposing to amend
its Amended and Restated Constitution
(which also serves as the Exchange’s
Bylaws) (the ‘‘Amended Constitution’’)
to provide for earlier notification to ISE
of nominations of candidates to serve as
Series B–1, Series B–2 and Series B–3
Directors (as defined below).
The text of the proposed rule change
is below. Proposed new language is in
italics; proposed deletions are in
brackets.
Amended and Restated Constitution of
International Securities Exchange, Inc.
(Serving also as the Bylaws of the
Corporation)
*
*
*
*
*
Section 3.10 Nomination of Directors.
(a) (i) Nominees for election of the
Series B–1 Directors, Series B–2
Directors and Series B–3 Directors shall
be selected by the Nominating
Committee as provided in Section 5.3(c)
or in this Section 3.10.
(ii) In addition to the nominees for the
Series B–1 Directors, Series B–2
Directors and Series B–3 Directors
named by the Nominating Committee,
persons eligible to serve as such may be
1 15
2 17
U.S.C. 78s(b)(1).
CFR 240.19b–4.
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nominated for election to the Board by
a petition, signed by the holders of not
less than five percent (5%) of the
outstanding shares of stock of such
series or class, as applicable, entitled to
elect such person if there are more than
eighty (80) shares in the class or series
entitled to vote, ten percent (10%) of the
outstanding shares of stock of such
series or class, as applicable, entitled to
elect such person if there are between
eighty (80) and forty (40) shares in the
class or series entitled to vote, and
twenty-five percent (25%) of the
outstanding shares of stock of such
series or class, as applicable, entitled to
elect such person if there are less than
forty (40) shares in the class or series
entitled to vote. Such petition must be
filed with the Secretary at least [one
month] 45 days prior to the annual
meeting for such year. Petitions
submitted must contain, for each
nominee, all information relating to
such nominee that is required to be
disclosed in solicitations of proxies for
the election of directors, or is otherwise
required, in each case pursuant to
Regulation 14A under the Exchange
Act, including such person’s written
consent to be named in the proxy
statement as a nominee and a statement
that such nominee complies with the
relevant requirements set forth in the
Amended and Restated Certificate of
Incorporation and this Constitution.
*
*
*
*
*
Section 5.3 Nominating Committee.
(a) The Nominating Committee shall not
act as a committee of the Board, but
rather shall be a committee of the
Corporation. The Nominating
Committee shall be composed of one (1)
Series B–1 Common Stock
representative, one (1) Series B–2
Common Stock representative and one
(1) Series B–3 Common Stock
representative. No officer or employee
of the Corporation shall serve on the
Nominating Committee. Not less than
[30] 60 days, but not more than [45] 75
days, prior to each annual meeting of
stockholders, the Nominating
Committee shall select nominees for
each Class B directorship to be filled.
The Board shall appoint the members of
the Nominating Committee in
accordance with this Section 5.3.
*
*
*
*
*
II. Self-Regulatory Organization’s
Statement of the Purpose of, and
Statutory Basis for, the Proposed Rule
Change
In its filing with the Commission, the
Exchange included statements
concerning the purpose of, and basis for,
the proposed rule change and discussed
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any comments it received on the
proposed rule change. The text of these
statements may be examined at the
places specified in item III below. The
self-regulatory organization has
prepared summaries, set forth in
sections A, B and C below, of the most
significant aspects of such statements.
A. Self-Regulatory Organization’s
Statement of the Purpose of, and
Statutory Basis for, the Proposed Rule
Change
1. Purpose
The Exchange proposes to amend its
Amended Constitution to provide for
earlier notification to ISE of
nominations of candidates to serve as
Series B–1 Directors,3 Series B–2
Directors 4 and Series B–3 Directors 5
(collectively, the ‘‘Class B Directors’’).
The Board currently consists of 15
members, 8 of whom are elected by the
holders of the Class A Common Stock,
including at least 2 of whom are public
representatives (the ‘‘Non-Industry
Directors’’), 6 of whom are elected by
the holders of the Class B Common
Stock (the ‘‘Industry Directors’’) and the
Chief Executive Officer of the
Exchange.6 Nominees for election to the
Board to serve as Industry Directors are
currently selected by the Exchange’s
Nominating Committee, which is not a
committee of the Board, and is
comprised of representatives of the
holders of Class B Common Stock,
3 Pursuant to section 3.2(b) of the Amended
Constitution, the ‘‘Series B–1 Directors’’ are two
directors who are officers, directors or partners of
Primary Market Makers and are elected by the
holders of Class B Common Stock, Series B–1, par
value $.01 per share. Primary Market Makers
(‘‘PMMs’’) are market makers with significant
responsibilities, including overseeing the opening
of trading in their assigned options classes,
providing continuous quotations in all of their
assigned options classes, and handling customer
orders that are not automatically executed. See
Chapter 8 of the ISE Rules for a discussion of the
role of PMMs.
4 Pursuant to section 3.2(b) of the Amended
Constitution, the ‘‘Series B–2 Directors’’ are two
directors who are officers, directors or partners of
Competitive Market Makers and are elected by the
holders of Class B Common Stock, Series B–2, par
value $.01 per share. Competitive Market Makers
(‘‘CMMs’’) are market makers that add depth and
liquidity to the market and are required to provide
continuous quotations in at least 60% of the options
classes in their assigned group. See Chapter 8 of the
ISE Rules for a discussion of the role of CMMs.
5 Pursuant to section 3.2(b) of the Amended
Constitution, the ‘‘Series B–3 Directors’’ are two
directors who are officers, directors or partners of
Electronic Access Members and are elected by the
holders of Class B Common Stock, Series B–3, par
value $.01 per share. Electronic Access Members
(‘‘EAMs’’) are broker-dealers that represent agency
and proprietary orders on ISE, and cannot enter
quotations or otherwise engage in market making
activities on ISE. See Chapter 8 of the ISE Rules for
a discussion of the role of EAMs.
6 Amended Constitution, section 3.2 (b).
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Federal Register / Vol. 70, No. 48 / Monday, March 14, 2005 / Notices
Series B–1, par value $.01 per share (the
‘‘Series B–1 Stock’’), Class B Common
Stock, Series B–2, par value $.01 per
share (the ‘‘Series B–2 Stock’’) and Class
B Common Stock, Series B–3, par value
$.01 per share (the ‘‘Series B–3 Stock’’
and together with the Series B–1 Stock
and Series B–2 Stock, the ‘‘Class B
Common Stock’’) and are elected by the
relevant series of holders of Class B
Common Stock.7 The Amended
Constitution currently requires the
Nominating Committee to select its
nominees for Class B Directors not less
than 30, but not more than 45, days
prior to each annual meeting of
stockholders.8 After the Nominating
Committee selects its slate of Class B
Director nominees, Class B stockholders
may also directly nominate Industry
Director candidates for election to the
Board by petition.9 Petitions properly
submitted by the Class B stockholders
with respect to the nomination of
persons eligible to serve as Series B–1,
Series B–2 or Series B–3 Directors, as
the case may be, must be filed with the
Secretary of the Exchange at least one
month prior to each annual meeting of
stockholders.10 The Non-Industry
Directors are selected by the Corporate
Governance Committee, which is a
committee of the Board, prior to the
annual meeting of stockholders and the
Non-Industry Directors and the Chief
Executive Officer are elected by the
holders of shares of Class A Common
Stock.11 Under the Exchange’s ‘‘advance
notice’’ bylaw provision, Class A
stockholders may also nominate NonIndustry Directors by petition, though
they must do so prior to knowing the
Corporate Governance Committee’s slate
of nominees.12
7 Amended
Constitution, section 5.3(a).
Constitution, section 5.3(a).
9 Amended Constitution, section 3.10(a)(ii).
10 Amended Constitution, section 3.10(a)(ii).
Section 3.10(a)(ii) also requires that any petitions
submitted must be signed by the holders of not less
than 5% of the outstanding shares of stock of such
series or class, as applicable, entitled to elect such
nominee if there are more than 80 shares in the
class or series entitled to vote, 10% of the
outstanding shares of stock of such series or class,
as applicable, entitled to elect such nominee if there
are between 80 and 40 shares in the class or series
entitled to vote, and 25% of the outstanding shares
of stock of such series or class, as applicable,
entitled to elect such nominee if there are less than
40 shares in the class or series entitled to vote. The
Exchange represents that there are currently 10
shares of Series B–1 Stock, 143 shares of Series B–
2 Stock and 123 shares of Series B–3 Stock
outstanding.
11 Amended Constitution, sections 2.7 and 3.2(b).
12 Amended Constitution, sections 2.7 and
3.10(b)(ii). In general, petitions by Class A
stockholders must be submitted not less than 60
days nor more than 90 days prior to the first
anniversary of the preceding year’s annual meeting.
The Exchange believes that the receipt of Class A
stockholders’ petitions in the current timeframe
8 Amended
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In July 2004, the Exchange filed a
registration statement on Form S–1 in
connection with its contemplated initial
public offering of shares of its Class A
common stock, par value $.01 per
share.13 Upon becoming a public
company with shares listed and traded
on a national securities exchange, the
Exchange will be required to meet
certain reporting and disclosure
obligations under the Act, including
with respect to the solicitation of
proxies in connection with its annual
meeting of stockholders for the election
of directors and other proper matters.
Specifically, the Exchange will be
required to file its proxy statement
within 120 days after the end of its
fiscal year, or the end of April.14
However, like many public companies,
the Exchange has set its annual meeting
of stockholders to occur in mid-May,
and to ensure proper time to solicit
proxies before the annual stockholders’
meeting, the Exchange believes it
should mail its proxy statement by midApril.15 Under the current timeframe for
the nomination of candidates to serve as
Class B Directors provided for in the
Amended Constitution, it would not be
practicable—given drafting, printing
and mailing considerations—to
accommodate the inclusion of the Class
B Director nominees in ISE’s proxy
statement and also ensure adequate time
between the mailing of its proxy
statement and the annual meeting of
will provide adequate time for the inclusion of
those nominees in the proxy statement.
13 See ISE’s Form S–1 (File No. 333–117145). At
the time of the filing of this Form 19b–4, ISE’s Form
S–1 had not yet been declared effective by the
Securities and Exchange Commission. See also
Securities Exchange Act Release No. 51029 (January
12, 2005), 70 FR 3233 (January 21, 2005) (approving
certain amendments to the Certificate of
Incorporation, Constitution and Rules of ISE in
connection with ISE’s proposed initial public
offering).
14 See General Instruction G(3) to Form 10–K
under the Act.
15 While there are no legal requirements regarding
the amount of time the Exchange must provide with
respect to the solicitation of proxies prior to its
annual stockholders’ meeting, the Exchange notes
that, upon becoming a public company, its
stockholder base will be much larger than it is
currently and it is not uncommon for publicly held
shares to be held in ‘‘street name’’ (i.e., in the name
of a broker on behalf of the beneficial owner of the
shares). The Exchange will mail the proxy
statement to the record holders of shares. These
record holders, many of whom will be ‘‘street
name’’ holders, may in turn need time to mail the
proxy statements to the ultimate beneficial owners
of the shares, after which the beneficial owners will
need time to return their proxies. To ensure
adequate time for this process, the Exchange
believes that it needs at least four weeks between
the mailing of the proxy statement and the date of
the annual meeting. The Exchange further believes
that this four-week period is in line with the current
practice among public companies.
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12519
stockholders for the proper solicitation
of stockholder proxies.
Accordingly, the Exchange proposes
to require that the Nominating
Committee select its nominees for Class
B Directors not less than 60, but not
more than 75, days prior to each annual
meeting of stockholders and that
petitions properly submitted by holders
of shares of Class B Common Stock with
respect to the nomination of persons
eligible to serve as such be filed with
the Secretary of the Exchange at least 45
days prior to each annual meeting.16 To
facilitate the inclusion in the proxy
statement of Industry Director nominees
submitted by petition, the Exchange also
proposes to require that the petitions
submitted by Class B stockholders
contain, for each nominee, all
information relating to such nominee
that is required to be disclosed in
solicitations of proxies for the election
of directors, or is otherwise required, in
each case pursuant to Regulation 14A
under the Exchange Act, including such
person’s written consent to be named in
the proxy statement as a nominee and
a statement that such nominee complies
with the relevant requirements set forth
in the Amended and Restated Certificate
of Incorporation and Amended
Constitution.17
The Exchange believes that the
proposed rule change would allow
adequate time between the mailing of
ISE’s proxy statement and the
solicitation of proxies of the
stockholders of ISE, including the
16 The Exchange anticipates that the Board of
Directors of ISE will establish May 11, 2005 as the
date of the 2005 annual meeting of stockholders of
ISE. If so, the Nominating Committee may choose
its slate of Industry Directors as soon as February
25, 2005 and no later than March 12, 2005 (because
March 12 is not a business day, the Exchange would
accept nominations by the Nominating Committee
on the next following business day, or March 14,
2005) and petitions may be submitted by Class B
stockholders no later than March 27, 2005 (because
March 27 is not a business day, the Exchange would
accept petitions from Class B stockholders
submitted on the next following business day, or
March 28). The Exchange represents that it will
inform its Class B stockholders of this proposed
change in the Nominating Committee and petition
process as soon as possible but not later than March
4, 2005, including the changes with respect to the
information that must be provided with respect to
any nominee nominated by any Class B
stockholder, and will note that the proposed
changes are subject to Commission approval.
17 For example, Regulation 14A under the
Exchange Act requires, among other things, with
respect to each nominee, the disclosure of items
required by Item 401 (Management and Certain
Security Holders—Directors, Executive Officers,
Promoters and Control Persons), Item 404(a)–(c)
(Management and Certain Security Holders—
Certain Relationships and Related Transactions)
and Item 405 (Management and Certain Security
Holders—Compliance with Section 16(a) of the
Exchange Act) of Regulation S–K under the Act. See
also Item 7 of Schedule 14A. 17 CFR 240.14a–101.
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Federal Register / Vol. 70, No. 48 / Monday, March 14, 2005 / Notices
Paper Comments
• Send paper comments in triplicate
to Jonathan G. Katz, Secretary,
Securities and Exchange Commission,
450 Fifth Street, NW., Washington, DC
2. Statutory Basis
20549–0609.
The Exchange believes that the
All submissions should refer to File
proposed rule change is consistent with Number SR–ISE–2005–16. This file
and furthers the objective of section
number should be included on the
6(b)(1) of the Act 18 that an exchange be
subject line if e-mail is used. To help the
so organized so as to have the capacity
Commission process and review your
to be able to carry out the purposes of
comments more efficiently, please use
the Act and to comply, and (subject to
only one method. The Commission will
any rule or order of the Commission
post all comments on the Commission’s
pursuant to section 17(d) 19 or 19(g)(2) of Internet Web site (https://www.sec.gov/
the Act 20) to enforce compliance by its
rules/sro.shtml). Copies of the
members and persons associated with
submission, all subsequent
its members, with the provisions of the
amendments, all written statements
Act, the rules and regulations
with respect to the proposed rule
thereunder and the rules of the
change that are filed with the
exchange. The Exchange also believes
Commission, and all written
communications relating to the
that the proposed rule change furthers
proposed rule change between the
the objective of section 6(b)(3) of the
Commission and any person, other than
Act 21 that an exchange have rules that,
those that may be withheld from the
among other things, assure fair
public in accordance with the
representation of its members in the
provisions of 5 U.S.C. 552, will be
selection of its directors and
available for inspection and copying in
administration of its affairs.
the Commission’s Public Reference
B. Self-Regulatory Organization’s
Room. Copies of such filing also will be
Statement on Burden on Competition
available for inspection and copying at
the principal office of the ISE. All
The Exchange believes that the
comments received will be posted
proposed rule change does not impose
without change; the Commission does
any burden on competition.
not edit personal identifying
C. Self-Regulatory Organization’s
information from submissions. You
Statement on Comments on the
should submit only information that
Proposed Rule Change Received From
you wish to make available publicly. All
Members, Participants or Others
submissions should refer to File
Number SR–ISE–2005–16 and should be
The Exchange has not solicited, and
submitted by April 4, 2005.
does not intend to solicit, comments on
this proposed rule change. The
IV. Commission’s Findings and Order
Exchange has not received any
Granting Accelerated Approval of
unsolicited written comments from
Proposed Rule Change
members or other interested parties.
The Commission has considered the
III. Solicitation of Comments
ISE’s proposed rule change, and finds
that the proposed rule change is
Interested persons are invited to
consistent with the requirements of the
submit written data, views, and
Act and the rules and regulations
arguments concerning the foregoing,
thereunder applicable to a national
including whether the proposed rule
securities exchange.22 In particular, the
change is consistent with the Act.
Commission finds that the proposal is
Comments may be submitted by any of
consistent with section 6(b)(3) of the
the following methods:
Act,23 which requires that the rules of
Electronic Comments
a national securities exchange assure the
fair representation of its members in the
• Use the Commission’s Internet
selection of its directors and
comment form (https://www.sec.gov/
administration of its affairs and provide
rules/sro.shtml); or
that one or more directors shall be
• Send an e-mail to rulerepresentative of issuers and investors
comments@sec.gov. Please include File
and not be associated with a member of
No. SR–ISE–2005–16 on the subject
the exchange, broker, or dealer.24 The
line.
holders of Class B Common Stock, with
respect to the election of directors and
other such matters to be voted on at the
annual meeting of stockholders.
22 In approving this proposal, the Commission has
considered the impact on efficiency, competition
and capital formation. 15 U.S.C. 78c(f).
23 15 U.S.C. 78f(b)(3).
24 15 U.S.C. 78s(b)(3).
18 15
U.S.C. 78f(b)(1).
19 15 U.S.C. 78q(d).
20 15 U.S.C. 78s(g)(2).
21 15 U.S.C. 78f(b)(3).
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Commission believes that the proposal
should enable the Exchange to include
the relevant information regarding Class
B Director nominees in its proxy
statement, which should enable the
Exchange to fulfill its obligation to
assure the fair representation of its
members in the selection of Class B
directors.
Pursuant to section 19(b)(2) of the
Act,25 the Commission may not approve
any proposed rule change prior to the
thirtieth day after the date of
publication of the notice of filing
thereof, unless the Commission finds
good cause for so finding. The
Commission hereby finds good cause for
approving the proposed rule change
prior to the thirtieth day after
publishing notice thereof in the Federal
Register. The Commission notes that the
Exchange has filed with the
Commission a registration statement on
Form S–1 in connection with its
contemplated initial public offering of
its Class A common stock. When it
becomes a public company, the
Exchange will be required to comply
with reporting and disclosure
obligations under the Act. The
Commission believes that the proposed
rule change is necessary to enable the
Exchange to include in the proxy
statement for its 2005 annual meeting of
stockholders, which is currently
scheduled for mid-May, information
regarding its Class B Director nominees
that is required to be disclosed in
solicitations of proxies for the election
of directors, or is otherwise required, in
each case pursuant to Regulation 14A
under the Act. By revising the
timeframe for the nomination of
candidates to serve as Class B Directors,
the Exchange would be able to include
the Class B Director nominees in its
proxy statement and also should have
adequate time between the mailing of its
proxy statement and the scheduled
annual meeting of shareholders for the
proper solicitation of shareholder
proxies.26
The Commission believes that the
proposed rule change would facilitate
the orderly inclusion of nominees of
Class B Directors in the Exchange’s
proxy statement in a timely fashion, and
thereby enable the Exchange to fulfill its
obligation to assure the fair
representation of its members on the
ISE’s Board. In the Commission’s view,
25 15
U.S.C. 78s(b)(2).
Commission notes that the Exchange has
represented that it would inform its Class B
stockholders by March 4, 2005, of the proposed
changes in the nomination process as they relate to
nominees for Class B Directors and indicate that the
proposed changes are subject to Commission
approval.
26 The
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Federal Register / Vol. 70, No. 48 / Monday, March 14, 2005 / Notices
accelerating the effectiveness of this
proposed rule change is necessary and
appropriate in order to enable the
Exchange to include the Class B Director
nominees in the Exchange’s proxy
statement this year. Therefore, the
Commission finds good cause exists to
accelerate approval of the proposal
pursuant to section 19(b)(2) of the Act.27
V. Conclusion
It is therefore ordered, pursuant to
section 19(b)(2) of the Act,28 that the
proposed rule change (SR–ISE–2005–16)
is hereby approved on an accelerated
basis.
For the Commission, by the Division of
Market Regulation, pursuant to delegated
authority.29
Margaret H. McFarland,
Deputy Secretary.
[FR Doc. E5–1051 Filed 3–11–05; 8:45 am]
BILLING CODE 8010–01–P
SECURITIES AND EXCHANGE
COMMISSION
[Release No. 34–51326; File No. SR–NASD–
2004–173]
Self-Regulatory Organizations;
National Association of Securities
Dealers, Inc.; Order Approving a
Proposed Rule Change and
Amendment No. 1 Thereto and Notice
of Filing and Order Granting
Accelerated Approval to Amendment
No. 2 Thereto To Establish Rules
Governing the Operation of Nasdaq’s
Brut Facility
March 7, 2005.
I. Introduction
On November 3, 2004, the National
Association of Securities Dealers, Inc.
(‘‘NASD’’), through its subsidiary, the
Nasdaq Stock Market, Inc. (‘‘Nasdaq’’),
filed with the Securities and Exchange
Commission (‘‘Commission’’), pursuant
to section 19(b)(1) of the Securities
Exchange Act of 1934 (‘‘Act’’) 1 and Rule
19b–4 thereunder,2 a proposed rule
change to establish rules governing the
operation of its Brut trading facility. On
January 24, 2005, Nasdaq submitted
Amendment No. 1 to the proposed rule
change.3 The proposed rule change was
published for comment in the Federal
27 15
U.S.C. 78s(b)(2).
28 15 U.S.C. 78s(b)(2).
29 17 CFR 200.30–3(a)(12).
1 15 U.S.C. 78s(b)(1).
2 17 CFR 240.19b–4.
3 Amendment No. 1 replaced and superseded the
originally filed proposed rule change.
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15:31 Mar 11, 2005
Jkt 205001
Register on January 31, 2005.4 The
Commission received no comments on
the proposal.
On March 2, 2005, Nasdaq submitted
Amendment No. 2 to the proposed rule
change.5 This order approves the
proposed rule change, as amended by
Amendment Nos. 1 and 2.
Simultaneously, the Commission is
providing notice of filing of Amendment
No. 2 and granting accelerated approval
of Amendment No. 2.
II. Description
On September 7, 2004, Nasdaq
acquired Brut LLC, a registered brokerdealer and member of the NASD, and
operator of the Brut ECN (‘‘Brut’’ or
‘‘Brut System’’), through an ownership
interest in Toll Associates LLC
(‘‘Toll’’).6 Once purchased by Nasdaq,
Brut became a facility of a national
securities association. Nasdaq currently
operates Brut pursuant to a Temporary
Conditional Exemption under Section
36 of the Act (‘‘Exemption’’), which the
Commission granted for a period of six
months following Nasdaq’s acquisition
of Brut.7
A condition to the exemption
required Nasdaq to submit rule filings
under Section 19(b) of the Act fully
articulating its operation of Brut and
Brut’s integration with Nasdaq within
60 days of the acquisition.8
Accordingly, Nasdaq proposes to
establish rules governing the operation
of its Brut trading facility. These rules,
proposed as NASD Rule 4900 Series,
address, among other things, the Brut
System’s order display and system
matching, access standards, order types,
time-in-force designations, out-bound
order routing, order execution
algorithm, clearly erroneous trade
procedures, and other system features
and standards.9 Under the proposal,
Nasdaq would operate Brut on a
platform separate from the Nasdaq
Market Center. Ultimately, Nasdaq
intends to unify Brut and the Nasdaq
Market Center into a single platform that
4 See Securities Exchange Act Release No. 51078
(January 25, 2005), 70 FR 4902 (January 31, 2005)
(SR–NASD–2004–173) (‘‘Release No. 51078’’).
5 The text of Amendment No. 2 is available on the
NASD’s Web site (https://www.nasd.com), at the
NASD’s Office of the Secretary, and at the
Commission’s Public Reference Room.
6 Toll is a wholly-owned subsidiary of Nasdaq.
Toll owns 99.78% of Brut LLC and 100% of Brut
Inc., which owns the remaining 0.22% of Brut LLC.
Both Toll and Brut Inc. conduct no business other
than serving as holding entities for their respective
ownership interests in Brut LLC. See Release No.
51078 at 4906.
7 See Exchange Act Release No. 50311 (September
3, 2004), 69 FR 54818 (September 10, 2004).
8 See Exemption supra note 7.
9 See Release No. 51078, note 4 supra.
PO 00000
Frm 00084
Fmt 4703
Sfmt 4703
12521
would use the Brut broker-dealer for
out-bound access to other markets.10
In Amendment No. 2, Nasdaq
amended the proposed rule change to
clarify that Brut would continue
temporarily to provide access to its
system for approximately twelve nonNASD member entities.11 Under section
15A of the Act, as a facility of a selfregulatory organization, access to
Nasdaq facilities like Brut would be
limited to NASD broker-dealers, or
those sponsored by such broker-dealers.
Accordingly, Nasdaq proposes to allow
non-NASD members to continue to
participate in the Brut system through
the Brut broker-dealer. Pursuant to
proposed NASD Rule 4914, Nasdaq
would implement procedures and
internal controls to restrict the flow of
confidential information between the
Brut System and the separate
introducing broker functions Brut
performs for non-NASD member firms.
These procedures and controls are
intended to ensure that all Brut
participants have access to the same
information on the same terms.
III. Discussion
After careful review, the Commission
finds that the proposed rule change, as
amended, is consistent with the
requirements of the Act and the rules
and regulations thereunder applicable to
a self-regulatory organization 12 and, in
particular, the requirements of section
15A of the Act 13 and the rules and
regulations thereunder. The
Commission finds that the proposed
rule change is consistent with section
15A(b)(6) of the Act,14 in that it is
designed to prevent fraudulent and
manipulative acts and practices, to
promote just and equitable principles of
trade, to remove impediments to and
perfect the mechanism of a free and
open market and a national market
system, and, in general, to protect
investors and the public interest.
The Commission notes that the Brut
System became a facility of a national
securities association subject to the
standards set forth in sections 15A and
19(b)(1) of the Act when Nasdaq
completed its purchase of the Brut
System. As such, NASD and, pursuant
to NASD’s plan of allocation and
delegation of function to its
subsidiaries, Nasdaq are obligated to file
10 Id.
11 Nasdaq proposes to continue to provide nonmember access for a limited interim period to
expire on July 31, 2005.
12 The Commission has considered the proposed
rule’s impact on efficiency, competition and capital
formation. 15 U.S.C. 78c(f).
13 15 U.S.C. 78o–3.
14 15 U.S.C. 78o–3(b)(6).
E:\FR\FM\14MRN1.SGM
14MRN1
Agencies
[Federal Register Volume 70, Number 48 (Monday, March 14, 2005)]
[Notices]
[Pages 12518-12521]
From the Federal Register Online via the Government Printing Office [www.gpo.gov]
[FR Doc No: E5-1051]
[[Page 12518]]
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SECURITIES AND EXCHANGE COMMISSION
[Release No. 34-51327; File No. SR-ISE-2005-16]
Self-Regulatory Organizations; Notice of Filing and Order
Granting Accelerated Approval of Proposed Rule Change by the
International Securities Exchange, Inc., Relating to the Nomination of
Its Class B Directors Pursuant to Its Amended and Restated Constitution
March 7, 2005.
Pursuant to section 19(b)(1) of the Securities Exchange Act of 1934
(the ``Act''),\1\ and Rule 19b-4 thereunder,\2\ notice is hereby given
that on March 2, 2005, the International Securities Exchange, Inc. (the
``Exchange'' or the ``ISE'') filed with the Securities and Exchange
Commission (``Commission'') the proposed rule change as described in
items I and II below, which items have been prepared by the Exchange.
The Commission is publishing this notice to solicit comments on the
proposed rule change from interested persons, and is approving the
proposed rule change on an accelerated basis.
---------------------------------------------------------------------------
\1\ 15 U.S.C. 78s(b)(1).
\2\ 17 CFR 240.19b-4.
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I. Self-Regulatory Organization's Statement of the Terms of Substance
of the Proposed Rule Change
The Exchange is proposing to amend its Amended and Restated
Constitution (which also serves as the Exchange's Bylaws) (the
``Amended Constitution'') to provide for earlier notification to ISE of
nominations of candidates to serve as Series B-1, Series B-2 and Series
B-3 Directors (as defined below).
The text of the proposed rule change is below. Proposed new
language is in italics; proposed deletions are in brackets.
Amended and Restated Constitution of International Securities Exchange,
Inc.
(Serving also as the Bylaws of the Corporation)
* * * * *
Section 3.10 Nomination of Directors. (a) (i) Nominees for election
of the Series B-1 Directors, Series B-2 Directors and Series B-3
Directors shall be selected by the Nominating Committee as provided in
Section 5.3(c) or in this Section 3.10.
(ii) In addition to the nominees for the Series B-1 Directors,
Series B-2 Directors and Series B-3 Directors named by the Nominating
Committee, persons eligible to serve as such may be nominated for
election to the Board by a petition, signed by the holders of not less
than five percent (5%) of the outstanding shares of stock of such
series or class, as applicable, entitled to elect such person if there
are more than eighty (80) shares in the class or series entitled to
vote, ten percent (10%) of the outstanding shares of stock of such
series or class, as applicable, entitled to elect such person if there
are between eighty (80) and forty (40) shares in the class or series
entitled to vote, and twenty-five percent (25%) of the outstanding
shares of stock of such series or class, as applicable, entitled to
elect such person if there are less than forty (40) shares in the class
or series entitled to vote. Such petition must be filed with the
Secretary at least [one month] 45 days prior to the annual meeting for
such year. Petitions submitted must contain, for each nominee, all
information relating to such nominee that is required to be disclosed
in solicitations of proxies for the election of directors, or is
otherwise required, in each case pursuant to Regulation 14A under the
Exchange Act, including such person's written consent to be named in
the proxy statement as a nominee and a statement that such nominee
complies with the relevant requirements set forth in the Amended and
Restated Certificate of Incorporation and this Constitution.
* * * * *
Section 5.3 Nominating Committee. (a) The Nominating Committee
shall not act as a committee of the Board, but rather shall be a
committee of the Corporation. The Nominating Committee shall be
composed of one (1) Series B-1 Common Stock representative, one (1)
Series B-2 Common Stock representative and one (1) Series B-3 Common
Stock representative. No officer or employee of the Corporation shall
serve on the Nominating Committee. Not less than [30] 60 days, but not
more than [45] 75 days, prior to each annual meeting of stockholders,
the Nominating Committee shall select nominees for each Class B
directorship to be filled. The Board shall appoint the members of the
Nominating Committee in accordance with this Section 5.3.
* * * * *
II. Self-Regulatory Organization's Statement of the Purpose of, and
Statutory Basis for, the Proposed Rule Change
In its filing with the Commission, the Exchange included statements
concerning the purpose of, and basis for, the proposed rule change and
discussed any comments it received on the proposed rule change. The
text of these statements may be examined at the places specified in
item III below. The self-regulatory organization has prepared
summaries, set forth in sections A, B and C below, of the most
significant aspects of such statements.
A. Self-Regulatory Organization's Statement of the Purpose of, and
Statutory Basis for, the Proposed Rule Change
1. Purpose
The Exchange proposes to amend its Amended Constitution to provide
for earlier notification to ISE of nominations of candidates to serve
as Series B-1 Directors,\3\ Series B-2 Directors \4\ and Series B-3
Directors \5\ (collectively, the ``Class B Directors''). The Board
currently consists of 15 members, 8 of whom are elected by the holders
of the Class A Common Stock, including at least 2 of whom are public
representatives (the ``Non-Industry Directors''), 6 of whom are elected
by the holders of the Class B Common Stock (the ``Industry Directors'')
and the Chief Executive Officer of the Exchange.\6\ Nominees for
election to the Board to serve as Industry Directors are currently
selected by the Exchange's Nominating Committee, which is not a
committee of the Board, and is comprised of representatives of the
holders of Class B Common Stock,
[[Page 12519]]
Series B-1, par value $.01 per share (the ``Series B-1 Stock''), Class
B Common Stock, Series B-2, par value $.01 per share (the ``Series B-2
Stock'') and Class B Common Stock, Series B-3, par value $.01 per share
(the ``Series B-3 Stock'' and together with the Series B-1 Stock and
Series B-2 Stock, the ``Class B Common Stock'') and are elected by the
relevant series of holders of Class B Common Stock.\7\ The Amended
Constitution currently requires the Nominating Committee to select its
nominees for Class B Directors not less than 30, but not more than 45,
days prior to each annual meeting of stockholders.\8\ After the
Nominating Committee selects its slate of Class B Director nominees,
Class B stockholders may also directly nominate Industry Director
candidates for election to the Board by petition.\9\ Petitions properly
submitted by the Class B stockholders with respect to the nomination of
persons eligible to serve as Series B-1, Series B-2 or Series B-3
Directors, as the case may be, must be filed with the Secretary of the
Exchange at least one month prior to each annual meeting of
stockholders.\10\ The Non-Industry Directors are selected by the
Corporate Governance Committee, which is a committee of the Board,
prior to the annual meeting of stockholders and the Non-Industry
Directors and the Chief Executive Officer are elected by the holders of
shares of Class A Common Stock.\11\ Under the Exchange's ``advance
notice'' bylaw provision, Class A stockholders may also nominate Non-
Industry Directors by petition, though they must do so prior to knowing
the Corporate Governance Committee's slate of nominees.\12\
---------------------------------------------------------------------------
\3\ Pursuant to section 3.2(b) of the Amended Constitution, the
``Series B-1 Directors'' are two directors who are officers,
directors or partners of Primary Market Makers and are elected by
the holders of Class B Common Stock, Series B-1, par value $.01 per
share. Primary Market Makers (``PMMs'') are market makers with
significant responsibilities, including overseeing the opening of
trading in their assigned options classes, providing continuous
quotations in all of their assigned options classes, and handling
customer orders that are not automatically executed. See Chapter 8
of the ISE Rules for a discussion of the role of PMMs.
\4\ Pursuant to section 3.2(b) of the Amended Constitution, the
``Series B-2 Directors'' are two directors who are officers,
directors or partners of Competitive Market Makers and are elected
by the holders of Class B Common Stock, Series B-2, par value $.01
per share. Competitive Market Makers (``CMMs'') are market makers
that add depth and liquidity to the market and are required to
provide continuous quotations in at least 60% of the options classes
in their assigned group. See Chapter 8 of the ISE Rules for a
discussion of the role of CMMs.
\5\ Pursuant to section 3.2(b) of the Amended Constitution, the
``Series B-3 Directors'' are two directors who are officers,
directors or partners of Electronic Access Members and are elected
by the holders of Class B Common Stock, Series B-3, par value $.01
per share. Electronic Access Members (``EAMs'') are broker-dealers
that represent agency and proprietary orders on ISE, and cannot
enter quotations or otherwise engage in market making activities on
ISE. See Chapter 8 of the ISE Rules for a discussion of the role of
EAMs.
\6\ Amended Constitution, section 3.2 (b).
\7\ Amended Constitution, section 5.3(a).
\8\ Amended Constitution, section 5.3(a).
\9\ Amended Constitution, section 3.10(a)(ii).
\10\ Amended Constitution, section 3.10(a)(ii). Section
3.10(a)(ii) also requires that any petitions submitted must be
signed by the holders of not less than 5% of the outstanding shares
of stock of such series or class, as applicable, entitled to elect
such nominee if there are more than 80 shares in the class or series
entitled to vote, 10% of the outstanding shares of stock of such
series or class, as applicable, entitled to elect such nominee if
there are between 80 and 40 shares in the class or series entitled
to vote, and 25% of the outstanding shares of stock of such series
or class, as applicable, entitled to elect such nominee if there are
less than 40 shares in the class or series entitled to vote. The
Exchange represents that there are currently 10 shares of Series B-1
Stock, 143 shares of Series B-2 Stock and 123 shares of Series B-3
Stock outstanding.
\11\ Amended Constitution, sections 2.7 and 3.2(b).
\12\ Amended Constitution, sections 2.7 and 3.10(b)(ii). In
general, petitions by Class A stockholders must be submitted not
less than 60 days nor more than 90 days prior to the first
anniversary of the preceding year's annual meeting. The Exchange
believes that the receipt of Class A stockholders' petitions in the
current timeframe will provide adequate time for the inclusion of
those nominees in the proxy statement.
---------------------------------------------------------------------------
In July 2004, the Exchange filed a registration statement on Form
S-1 in connection with its contemplated initial public offering of
shares of its Class A common stock, par value $.01 per share.\13\ Upon
becoming a public company with shares listed and traded on a national
securities exchange, the Exchange will be required to meet certain
reporting and disclosure obligations under the Act, including with
respect to the solicitation of proxies in connection with its annual
meeting of stockholders for the election of directors and other proper
matters. Specifically, the Exchange will be required to file its proxy
statement within 120 days after the end of its fiscal year, or the end
of April.\14\ However, like many public companies, the Exchange has set
its annual meeting of stockholders to occur in mid-May, and to ensure
proper time to solicit proxies before the annual stockholders' meeting,
the Exchange believes it should mail its proxy statement by mid-
April.\15\ Under the current timeframe for the nomination of candidates
to serve as Class B Directors provided for in the Amended Constitution,
it would not be practicable--given drafting, printing and mailing
considerations--to accommodate the inclusion of the Class B Director
nominees in ISE's proxy statement and also ensure adequate time between
the mailing of its proxy statement and the annual meeting of
stockholders for the proper solicitation of stockholder proxies.
---------------------------------------------------------------------------
\13\ See ISE's Form S-1 (File No. 333-117145). At the time of
the filing of this Form 19b-4, ISE's Form S-1 had not yet been
declared effective by the Securities and Exchange Commission. See
also Securities Exchange Act Release No. 51029 (January 12, 2005),
70 FR 3233 (January 21, 2005) (approving certain amendments to the
Certificate of Incorporation, Constitution and Rules of ISE in
connection with ISE's proposed initial public offering).
\14\ See General Instruction G(3) to Form 10-K under the Act.
\15\ While there are no legal requirements regarding the amount
of time the Exchange must provide with respect to the solicitation
of proxies prior to its annual stockholders' meeting, the Exchange
notes that, upon becoming a public company, its stockholder base
will be much larger than it is currently and it is not uncommon for
publicly held shares to be held in ``street name'' (i.e., in the
name of a broker on behalf of the beneficial owner of the shares).
The Exchange will mail the proxy statement to the record holders of
shares. These record holders, many of whom will be ``street name''
holders, may in turn need time to mail the proxy statements to the
ultimate beneficial owners of the shares, after which the beneficial
owners will need time to return their proxies. To ensure adequate
time for this process, the Exchange believes that it needs at least
four weeks between the mailing of the proxy statement and the date
of the annual meeting. The Exchange further believes that this four-
week period is in line with the current practice among public
companies.
---------------------------------------------------------------------------
Accordingly, the Exchange proposes to require that the Nominating
Committee select its nominees for Class B Directors not less than 60,
but not more than 75, days prior to each annual meeting of stockholders
and that petitions properly submitted by holders of shares of Class B
Common Stock with respect to the nomination of persons eligible to
serve as such be filed with the Secretary of the Exchange at least 45
days prior to each annual meeting.\16\ To facilitate the inclusion in
the proxy statement of Industry Director nominees submitted by
petition, the Exchange also proposes to require that the petitions
submitted by Class B stockholders contain, for each nominee, all
information relating to such nominee that is required to be disclosed
in solicitations of proxies for the election of directors, or is
otherwise required, in each case pursuant to Regulation 14A under the
Exchange Act, including such person's written consent to be named in
the proxy statement as a nominee and a statement that such nominee
complies with the relevant requirements set forth in the Amended and
Restated Certificate of Incorporation and Amended Constitution.\17\
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\16\ The Exchange anticipates that the Board of Directors of ISE
will establish May 11, 2005 as the date of the 2005 annual meeting
of stockholders of ISE. If so, the Nominating Committee may choose
its slate of Industry Directors as soon as February 25, 2005 and no
later than March 12, 2005 (because March 12 is not a business day,
the Exchange would accept nominations by the Nominating Committee on
the next following business day, or March 14, 2005) and petitions
may be submitted by Class B stockholders no later than March 27,
2005 (because March 27 is not a business day, the Exchange would
accept petitions from Class B stockholders submitted on the next
following business day, or March 28). The Exchange represents that
it will inform its Class B stockholders of this proposed change in
the Nominating Committee and petition process as soon as possible
but not later than March 4, 2005, including the changes with respect
to the information that must be provided with respect to any nominee
nominated by any Class B stockholder, and will note that the
proposed changes are subject to Commission approval.
\17\ For example, Regulation 14A under the Exchange Act
requires, among other things, with respect to each nominee, the
disclosure of items required by Item 401 (Management and Certain
Security Holders--Directors, Executive Officers, Promoters and
Control Persons), Item 404(a)-(c) (Management and Certain Security
Holders--Certain Relationships and Related Transactions) and Item
405 (Management and Certain Security Holders--Compliance with
Section 16(a) of the Exchange Act) of Regulation S-K under the Act.
See also Item 7 of Schedule 14A. 17 CFR 240.14a-101.
---------------------------------------------------------------------------
The Exchange believes that the proposed rule change would allow
adequate time between the mailing of ISE's proxy statement and the
solicitation of proxies of the stockholders of ISE, including the
[[Page 12520]]
holders of Class B Common Stock, with respect to the election of
directors and other such matters to be voted on at the annual meeting
of stockholders.
2. Statutory Basis
The Exchange believes that the proposed rule change is consistent
with and furthers the objective of section 6(b)(1) of the Act \18\ that
an exchange be so organized so as to have the capacity to be able to
carry out the purposes of the Act and to comply, and (subject to any
rule or order of the Commission pursuant to section 17(d) \19\ or
19(g)(2) of the Act \20\) to enforce compliance by its members and
persons associated with its members, with the provisions of the Act,
the rules and regulations thereunder and the rules of the exchange. The
Exchange also believes that the proposed rule change furthers the
objective of section 6(b)(3) of the Act \21\ that an exchange have
rules that, among other things, assure fair representation of its
members in the selection of its directors and administration of its
affairs.
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\18\ 15 U.S.C. 78f(b)(1).
\19\ 15 U.S.C. 78q(d).
\20\ 15 U.S.C. 78s(g)(2).
\21\ 15 U.S.C. 78f(b)(3).
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B. Self-Regulatory Organization's Statement on Burden on Competition
The Exchange believes that the proposed rule change does not impose
any burden on competition.
C. Self-Regulatory Organization's Statement on Comments on the Proposed
Rule Change Received From Members, Participants or Others
The Exchange has not solicited, and does not intend to solicit,
comments on this proposed rule change. The Exchange has not received
any unsolicited written comments from members or other interested
parties.
III. Solicitation of Comments
Interested persons are invited to submit written data, views, and
arguments concerning the foregoing, including whether the proposed rule
change is consistent with the Act. Comments may be submitted by any of
the following methods:
Electronic Comments
Use the Commission's Internet comment form (https://www.sec.gov/rules/sro.shtml); or
Send an e-mail to rule-comments@sec.gov. Please include
File No. SR-ISE-2005-16 on the subject line.
Paper Comments
Send paper comments in triplicate to Jonathan G. Katz,
Secretary, Securities and Exchange Commission, 450 Fifth Street, NW.,
Washington, DC 20549-0609.
All submissions should refer to File Number SR-ISE-2005-16. This
file number should be included on the subject line if e-mail is used.
To help the Commission process and review your comments more
efficiently, please use only one method. The Commission will post all
comments on the Commission's Internet Web site (https://www.sec.gov/rules/sro.shtml). Copies of the submission, all subsequent amendments,
all written statements with respect to the proposed rule change that
are filed with the Commission, and all written communications relating
to the proposed rule change between the Commission and any person,
other than those that may be withheld from the public in accordance
with the provisions of 5 U.S.C. 552, will be available for inspection
and copying in the Commission's Public Reference Room. Copies of such
filing also will be available for inspection and copying at the
principal office of the ISE. All comments received will be posted
without change; the Commission does not edit personal identifying
information from submissions. You should submit only information that
you wish to make available publicly. All submissions should refer to
File Number SR-ISE-2005-16 and should be submitted by April 4, 2005.
IV. Commission's Findings and Order Granting Accelerated Approval of
Proposed Rule Change
The Commission has considered the ISE's proposed rule change, and
finds that the proposed rule change is consistent with the requirements
of the Act and the rules and regulations thereunder applicable to a
national securities exchange.\22\ In particular, the Commission finds
that the proposal is consistent with section 6(b)(3) of the Act,\23\
which requires that the rules of a national securities exchange assure
the fair representation of its members in the selection of its
directors and administration of its affairs and provide that one or
more directors shall be representative of issuers and investors and not
be associated with a member of the exchange, broker, or dealer.\24\ The
Commission believes that the proposal should enable the Exchange to
include the relevant information regarding Class B Director nominees in
its proxy statement, which should enable the Exchange to fulfill its
obligation to assure the fair representation of its members in the
selection of Class B directors.
---------------------------------------------------------------------------
\22\ In approving this proposal, the Commission has considered
the impact on efficiency, competition and capital formation. 15
U.S.C. 78c(f).
\23\ 15 U.S.C. 78f(b)(3).
\24\ 15 U.S.C. 78s(b)(3).
---------------------------------------------------------------------------
Pursuant to section 19(b)(2) of the Act,\25\ the Commission may not
approve any proposed rule change prior to the thirtieth day after the
date of publication of the notice of filing thereof, unless the
Commission finds good cause for so finding. The Commission hereby finds
good cause for approving the proposed rule change prior to the
thirtieth day after publishing notice thereof in the Federal Register.
The Commission notes that the Exchange has filed with the Commission a
registration statement on Form S-1 in connection with its contemplated
initial public offering of its Class A common stock. When it becomes a
public company, the Exchange will be required to comply with reporting
and disclosure obligations under the Act. The Commission believes that
the proposed rule change is necessary to enable the Exchange to include
in the proxy statement for its 2005 annual meeting of stockholders,
which is currently scheduled for mid-May, information regarding its
Class B Director nominees that is required to be disclosed in
solicitations of proxies for the election of directors, or is otherwise
required, in each case pursuant to Regulation 14A under the Act. By
revising the timeframe for the nomination of candidates to serve as
Class B Directors, the Exchange would be able to include the Class B
Director nominees in its proxy statement and also should have adequate
time between the mailing of its proxy statement and the scheduled
annual meeting of shareholders for the proper solicitation of
shareholder proxies.\26\
---------------------------------------------------------------------------
\25\ 15 U.S.C. 78s(b)(2).
\26\ The Commission notes that the Exchange has represented that
it would inform its Class B stockholders by March 4, 2005, of the
proposed changes in the nomination process as they relate to
nominees for Class B Directors and indicate that the proposed
changes are subject to Commission approval.
---------------------------------------------------------------------------
The Commission believes that the proposed rule change would
facilitate the orderly inclusion of nominees of Class B Directors in
the Exchange's proxy statement in a timely fashion, and thereby enable
the Exchange to fulfill its obligation to assure the fair
representation of its members on the ISE's Board. In the Commission's
view,
[[Page 12521]]
accelerating the effectiveness of this proposed rule change is
necessary and appropriate in order to enable the Exchange to include
the Class B Director nominees in the Exchange's proxy statement this
year. Therefore, the Commission finds good cause exists to accelerate
approval of the proposal pursuant to section 19(b)(2) of the Act.\27\
---------------------------------------------------------------------------
\27\ 15 U.S.C. 78s(b)(2).
---------------------------------------------------------------------------
V. Conclusion
It is therefore ordered, pursuant to section 19(b)(2) of the
Act,\28\ that the proposed rule change (SR-ISE-2005-16) is hereby
approved on an accelerated basis.
---------------------------------------------------------------------------
\28\ 15 U.S.C. 78s(b)(2).
For the Commission, by the Division of Market Regulation,
pursuant to delegated authority.\29\
---------------------------------------------------------------------------
\29\ 17 CFR 200.30-3(a)(12).
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Margaret H. McFarland,
Deputy Secretary.
[FR Doc. E5-1051 Filed 3-11-05; 8:45 am]
BILLING CODE 8010-01-P