Self-Regulatory Organizations; American Stock Exchange LLC; Notice of Filing and Immediate Effectiveness of Proposed Rule Change Relating to the Extension of Time for Exercising Expiring Options and Submitting Contrary Exercise Advices, 15229-15231 [E6-4343]

Download as PDF wwhite on PROD1PC65 with NOTICES Federal Register / Vol. 71, No. 58 / Monday, March 27, 2006 / Notices License Nos. DPR–51 & NPF–6 1448 S. R. 333 Russellville, AR 72802 M. R. Blevins Senior Vice President and Chief Nuclear Officer TXU Generation Company, LP Comanche Peak Steam Electric Station, Units 1 & 2 Docket Nos. 50–445 & 50–446 License Nos. NPF–87 & NPF–89 5 Miles North of Glen Rose Glen Rose, TX 76043 Mr. Randall K. Edington Vice President—Nuclear and CNO Nebraska Public Power District Cooper Nuclear Station Docket No. 50–298 License No. DPR–46 1200 Prospect Road Brownville, NE 68321 Mr. George A. Williams GGNS Vice President, Operations Entergy Operations, Inc. Grand Gulf Nuclear Station, Unit 1 Docket No. 50–416 License No. NPF–29 7003 Bald Hill Road-Waterloo Road Port Gibson, MS 39150 Mr. Paul D. Hinnenkamp Vice President—Operations Entergy Operations, Inc. 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DPR–80 & DPR–82 77 Beale Street, Mail Code B32 San Francisco, CA 94105 Mr. R. T. Ridenoure VerDate Aug<31>2005 18:19 Mar 24, 2006 Jkt 208001 Vice President—Chief Nuclear Officer Omaha Public Power District Fort Calhoun Station, Unit 1 Docket No. 50–285 License No. DPR–40 Fort Calhoun Station Administration Building 9750 Power Lane Blair, NE 68008 Mr. James M. Levine Executive Vice President, Generation Arizona Public Service Company Palo Verde Nuclear Generating Station, Units 1, 2 and 3 Docket Nos. 50–528, 50–529 & 50–530 License Nos. NPF–41, NPF–51 & NPF–74 5801 S. Wintersburg Road Tonopah, AZ 85354–7529 Mr. Richard M. Rosenblum Chief Nuclear Officer Southern California Edison Company San Onofre Nuclear Station, Units 2 & 3 Docket Nos. 50–361 & 50–362 License Nos. NPF–10 & NPF–15 5000 Pacific Coast Highway San Clemente, CA 92674 Mr. J. V. Parrish Chief Executive Officer Energy Northwest Columbia Generating Station Docket No. 50–397 License No. NPF–21 Snake River Warehouse North Power Plant Loop Richland, WA 99352 Mr. Rick A. Muench President & Chief Executive Officer Wolf Creek Nuclear Operating Corporation Wolf Creek Generating Station, Unit 1 Docket No. 50–482 License No. NPF–42 1550 Oxen Lane, NE Burlington, KS 66839 Mr. Jeffrey B. Archie Vice President, Nuclear Operations South Carolina Electric and Gas Company Virgil C. Summer Nuclear Station Docket No. 50–395 License No. NPF–12 Hwy 215N at O.S. Bradham Boulevard Jenkinsville, SC 29065 [FR Doc. E6–4371 Filed 3–24–06; 8:45 am] BILLING CODE 7590–01–P POSTAL RATE COMMISSION Sunshine Act; Notice of Meetings NAME OF AGENCY: Postal Rate Commission. 10 a.m., Tuesday, March 28, 2006. PLACE: Commission conference room, 901 New York Avenue, NW., Suite 200, Washington, DC 20268–0001. STATUS: Closed. MATTERS TO BE CONSIDERED: Personnel issues. FOR FURTHER INFORMATION CONTACT: Steven W. Williams, Secretary, 202– 789–6842. TIME AND DATE: PO 00000 Frm 00073 Fmt 4703 Sfmt 4703 15229 Dated: March 23, 2006. Steven W. Williams, Secretary. [FR Doc. 06–2963 Filed 3–23–06; 11:06 am] BILLING CODE 7710–FW–M SECURITIES AND EXCHANGE COMMISSION [Release No. 34–53519; File No. SR–Amex– 2006–26] Self-Regulatory Organizations; American Stock Exchange LLC; Notice of Filing and Immediate Effectiveness of Proposed Rule Change Relating to the Extension of Time for Exercising Expiring Options and Submitting Contrary Exercise Advices March 20, 2006. Pursuant to section 19(b)(1) of the Securities Exchange Act of 1934 (‘‘Act’’),1 and Rule 19b–4 thereunder,2 notice is hereby given that on March 14, 2006, the American Stock Exchange LLC (‘‘Amex’’ or ‘‘Exchange’’) 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 Amex filed the proposal as a ‘‘non-controversial’’ proposed rule change pursuant to Section 19(b)(3)(A) of the Act 3 and Rule 19b–4(f)(6) thereunder,4 which renders it effective upon filing with the Commission. The Commission is publishing this notice to solicit comments on the proposed rule change from interested persons. I. Self-Regulatory Organization’s Statement of the Terms of Substance of the Proposed Rule Change The Amex, pursuant to section 19(b)(1) of the Act 5 and Rule 19b–4 thereunder,6 proposes to amend Amex Rule 980 ‘‘Exercise of Options Contracts’’ to add two additional minutes to the time frame within which one may make a final decision to exercise or not exercise an option, or to deliver a contrary exercise advice (‘‘CEA’’) 7 to the Exchange. The proposal 1 15 U.S.C. 78s(b)(1). CFR 240.19b–4. 3 15 U.S.C. 78s(b)(3)(A). 4 17 CFR 240.19b-4(f)(6). 5 15 U.S.C. 78s(b)(1). 6 17 CFR 240.19b–4. 7 Amex Rule 980(b)(ii) defines a CEA as a communication either: (A) To not exercise an option that would be automatically exercised under the Options Clearing Corporation’s (‘‘OCC’’) Ex-byEx procedure, or (B) to exercise an option that would not be automatically exercised under the OCC’s Ex-by-Ex procedure. 2 17 \\ALPHA3\E\FR\FM\27MRN1.SGM 27MRN1 15230 Federal Register / Vol. 71, No. 58 / Monday, March 27, 2006 / Notices is intended to conform Amex Rule 980 to the recent industry-wide change in the close of trading for equity options and narrow-based index options from 4:02 p.m. to 4 p.m. (EST).8 The Exchange further proposes to amend the text of Amex Rule 980 to correspond to the more appropriate classification of Eastern Time (‘‘ET’’) rather than New York Time (‘‘NY Time’’). The text of the proposed rule change is available on the Amex’s Web site at (http:// www.amex.com), at the Amex’s principal office, and at the Commission’s Public Reference Room. 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 proposal. The text of these statements may be examined at the places specified in Item IV below. The Amex 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 wwhite on PROD1PC65 with NOTICES 1. Purpose The purpose of the proposed rule change is to amend Amex Rule 980 to add two additional minutes to the time frame within which one may make a final decision to exercise or not exercise an option, or to deliver a CEA to the Exchange. This proposal is intended to conform Amex Rule 980 to the recent industry-wide change to the close of trading for equity and narrow-based index options from 4:02 p.m. to 4 p.m. (ET). The Exchange further proposes to amend the text of Amex Rule 980 to correspond to the more appropriate classification of ET rather than NY Time. Currently, Amex Rule 980(c) establishes that on the business day immediately prior to an expiration date, option holders may make final decisions to exercise or not exercise options, and members and member organizations may accept exercise instructions and submit a CEA to the Exchange as late as 5:30 p.m. or 6:30 p.m. NY Time, 8 See Securities Exchange Act Release No. 53244 (February 7, 2006), 71 FR 8008 (February 15, 2006) (approving SR–Amex–2006–003, which amended Amex Rules 1,918—ANTE, 936C—ANTE and 903C to adjust the close of normal trading hours in equity options and narrow-based index options from 4:02 p.m. to 4:02 p.m. (ET)). VerDate Aug<31>2005 18:19 Mar 24, 2006 Jkt 208001 pursuant to the circumstances set forth in Rule 980(c). Amex Rule 980(g) establishes that where, on the last business day before the day of expiration, the Exchange provides advance notice of a modified time for the close of trading in equity options, the deadline to make a final decision to exercise or not exercise an expiring option and to deliver a CEA to the Exchange will be 1 hour 28 minutes or 2 hours 28 minutes after the announced modified closing time, instead of the 5:30 p.m. or 6:30 p.m. (ET). The Exchange proposes to add two minutes to each of these timeframes to correspond to the two-minute difference in trading time created by the change in the close of trading time from 4:02 p.m. to 4 p.m. (ET). This proposal seeks only to change the exercise timeframes for equity options, not index options, because Amex Rule 980C governing index options does not have pre-set times.9 According to the Exchange, the proposed rule change is based on similar rule changes submitted by the Pacific Exchange, Inc., the Philadelphia Stock Exchange, Inc., the International Securities Exchange, Inc., and the Chicago Board Options Exchange, Incorporated.10 2. Statutory Basis The Exchange believes that the proposed rule change is consistent with section 6(b) of the Act 11 in general, and furthers the objectives of section 6(b)(5) of the Act 12 in particular, because it is designed to prevent fraudulent and manipulative acts and practices, to promote just and equitable principles of trade, to foster cooperation and coordination with persons engaged in facilitating transactions in securities, 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. B. Self-Regulatory Organization’s Statement on Burden on Competition The Exchange does not believe that the proposed rule change will impose 9 Amex Rule 980C provides that a memorandum to exercise any American-style index option must be received or prepared by the member organization no later than five (5) minutes after the close of trading on that day and must be time stamped at the time it is received or prepared. 10 See Securities Exchange Act Release Nos. 53249 (February 7, 2006), 71 FR 8035 (February 15, 2006) (SR–PCX–2005–138); 53407 (March 3, 2006), 71 FR 12764 (March 13, 2006) (SR–Phlx–2006–12); 53439 (March 7, 2006), 71 FR 13643 (March 16, 2006) (SR–ISE–2006–11); 53438 (March 7, 2006), 71 FR 13641 (March 16, 2006) (SR–CBOE–2006–19). 11 15 U.S.C. 78f(b). 12 15 U.S.C. 78f(b)(5). PO 00000 Frm 00074 Fmt 4703 Sfmt 4703 any burden on competition that is not necessary or appropriate in furtherance of the purposes of the Act. C. Self-Regulatory Organization’s Statement on Comments on the Proposed Rule Change Received From Members, Participants, or Others The Amex has neither solicited nor received comments on the proposed rule change. III. Date of Effectiveness of the Proposed Rule Change and Timing for Commission Action Because the foregoing proposed rule change: (1) Does not significantly affect the protection of investors or the public interest; (2) does not impose any significant burden on competition; and (3) by its terms does not become operative for 30-days after the date on which it was filed, or such shorter time as the Commission may designate if consistent with the protection of investors and the public interest, the proposed rule change has become effective pursuant to section 19(b)(3)(A) of the Act 13 and Rule 19b–4(f)(6) thereunder.14 A proposed rule change filed under Rule 19b–4(f)(6) 15 normally does not become operative prior to 30-days after the date of filing. However, Rule 19b– 4(f)(6)(iii) permits the Commission to designate a shorter time if such action is consistent with the protection of investors and the public interest. The Amex has asked the Commission to waive the 30-day operative delay and the 5-day pre-filing requirement. The Commission believes that waiving the 30-day operative delay and the 5-day pre-filing requirement is consistent with the protection of investors and the public interest because such waiver will allow the Amex to immediately clarify its rule and conform it to the industrywide close of trading times now in effect. Accelerating the operative date will allow for a more efficient and effective market operation by offering clarity and internal consistency with existing Amex rules. For these reasons, the Commission designates the proposed rule change as effective and operative immediately upon filing with the Commission.16 At any time within 60-days after the filing of the proposed rule change, the Commission may summarily abrogate 13 15 14 17 U.S.C. 78s(b)(3)(A). CFR 240.19b–4(f)(6). 15 Id. 16 For the purposes only of waiving the 30-day operative date of this proposal, the Commission has considered the proposed rule’s impact on efficiency, competition, and capital formation. 15 U.S.C. 78c(f). \\ALPHA3\E\FR\FM\27MRN1.SGM 27MRN1 Federal Register / Vol. 71, No. 58 / Monday, March 27, 2006 / Notices the rule change if it appears to the Commission that such action is necessary or appropriate in the public interest, for the protection of investors, or otherwise in furtherance of the purposes of the Act. For the Commission, by the Division of Market Regulation, pursuant to delegated authority.17 Nancy M. Morris, Secretary. [FR Doc. E6–4343 Filed 3–24–06; 8:45 am] IV. Solicitation of Comments BILLING CODE 8010–01–P 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 wwhite on PROD1PC65 with NOTICES • Use the Commission’s Internet comment form (http://www.sec.gov/ rules/sro.shtml); or • Send an e-mail to rulecomments@sec.gov. Please include File Number SR–Amex–2006–26 on the subject line. SECURITIES AND EXCHANGE COMMISSION [Release No. 34–53525; File No. SR–Amex– 2005–117] Self-Regulatory Organizations; American Stock Exchange LLC; Order Granting Approval of Proposed Rule Change and Amendment Nos. 1 and 2 Thereto Relating to Amendments to the Amex Membership Corporation’s Certificate of Incorporation March 21, 2006. I. Introduction On November 23, 2005, the American Paper Comments Stock Exchange LLC (‘‘Amex’’ or ‘‘Exchange’’) filed with the Securities • Send paper comments in triplicate and Exchange Commission to Nancy M. Morris, Secretary, (‘‘Commission’’), pursuant to section Securities and Exchange Commission, 19(b)(1) of the Securities Exchange Act 100 F Street, NE., Washington, DC of 1934 (‘‘Act’’) 1 andRule 19b–4 20549–1090. thereunder,2 a proposed rule change to All submissions should refer to File amend the Amex Membership Number SR–Amex–2006–26. This file Corporation’s (‘‘AMC’’) 3 Restated number should be included on the Certificate of Incorporation (‘‘AMC subject line if e-mail is used. To help the Certificate’’) and AMC Constitution. On Commission process and review your January 24, 2006, Amex filed comments more efficiently, please use Amendment No. 1 to the proposed rule only one method. The Commission will change.4 On February 1, 2006, Amex post all comments on the Commission’s filed Amendment No. 2 to the proposed Internet Web site (http://www.sec.gov/ rule change.5 The proposed rule change, rules/sro.shtml). Copies of the as amended, was published for submission, all subsequent comment in the Federal Register on amendments, all written statements February 16, 2006.6 The Commission with respect to the proposed rule received no comments on the proposal. change that are filed with the This order approves the proposed rule Commission, and all written change, as amended. communications relating to the II. Description and Discussion proposed rule change between the Commission and any person, other than Currently, section 6 of the AMC those that may be withheld from the Certificate provides that AMC shall public in accordance with the make available one Regular Trading provisions of 5 U.S.C. 552, will be Right for each Regular Member and one available for inspection and copying in Options Principal Trading Right for the Commission’s Public Reference each Options Principal Member and that Room. Copies of such filing also will be such trading rights shall not be available for inspection and copying at 17 17 CFR 200.30–3(a)(12). the principal office of the Amex. All 1 15 U.S.C. 78s(b)(1). comments received will be posted 2 17 CFR 240.19b–4. without change; the Commission does 3 AMC is the sole owner of the Exchange. Amex not edit personal identifying members (Regular and Options Principal Members) information from submissions. You are members of AMC. See Securities Exchange Act should submit only information that Release No. 50927 (December 23, 2004), 69 FR you wish to make available publicly. All 78486 (December 30, 2004). 4 Amendment No. 1 replaced the original filing in submissions should refer to File its entirety. Number SR–Amex–2006–26 and should 5 See Partial Amendment No. 2. be submitted on or before April 17, 6 See Securities Exchange Act Release No. 53264 2006. (February 9, 2006), 71 FR 8320. VerDate Aug<31>2005 18:19 Mar 24, 2006 Jkt 208001 PO 00000 Frm 00075 Fmt 4703 Sfmt 4703 15231 transferred or leased apart from those memberships. In addition, section 7(a)(ii) of the AMC Certificate requires the consent of the AMC members (i.e., the Amex members) to authorize, grant, or issue trading rights other than Regular Trading Rights, Options Principal Trading Rights, or Limited Trading Permits. The proposed rule change would amend the AMC Certificate to: (i) Eliminate the reference in section 6 to one trading right, thus allowing the issuance of more than one right to Regular Members and Options Principal Members; (ii) eliminate the prohibition in section 6 on such trading rights being transferred or leased apart from Regular and Options Principal Memberships; and (iii) eliminate the requirement that a vote of the membership is required for the authorization, grant, or issuance of trading rights as described in section 7(a)(ii).7 The AMC Board determined to make these changes to give flexibility to Amex to take prompt action to implement new forms of trading rights designed to enhance Amex’s position in an increasingly competitive and fast moving marketplace. AMC membership’s consent will still be required for any action taken to increase the number of memberships issued by AMC. The proposed rule change, as amended, also makes other nonsubstantive changes to the AMC Certificate and the Amex Constitution. The Commission finds that the proposed rule change, as amended, is consistent with the requirements of section 6 of the Act,8 and the rules and regulations thereunder applicable to a national securities exchange.9 In particular, the Commission finds that the proposed rule change is consistent with section 6(b)(5) of the Act,10 which requires, among other things, that the Exchange’s rules be designed to prevent fraudulent and manipulative acts and practices, to promote just and equitable principles of trade, to foster cooperation and coordination with persons engaged in facilitating transactions in securities, and 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 Amex will still need to obtain AMC Board approval for 7 Amex will still need to obtain the consent of the AMC Board to authorize, grant, or issue new trading rights. See Amex Constitution Article 11, section 8. 8 15 U.S.C. 78f(b). 9 In approving this proposed rule change, the Commission has considered the proposed rule’s impact on efficiency, competition, and capital formation. 15 U.S.C. 78c(f). 10 15 U.S.C. 78f(b)(5). \\ALPHA3\E\FR\FM\27MRN1.SGM 27MRN1

Agencies

[Federal Register Volume 71, Number 58 (Monday, March 27, 2006)]
[Notices]
[Pages 15229-15231]
From the Federal Register Online via the Government Printing Office [www.gpo.gov]
[FR Doc No: E6-4343]


=======================================================================
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SECURITIES AND EXCHANGE COMMISSION

[Release No. 34-53519; File No. SR-Amex-2006-26]


Self-Regulatory Organizations; American Stock Exchange LLC; 
Notice of Filing and Immediate Effectiveness of Proposed Rule Change 
Relating to the Extension of Time for Exercising Expiring Options and 
Submitting Contrary Exercise Advices

March 20, 2006.
    Pursuant to section 19(b)(1) of the Securities Exchange Act of 1934 
(``Act''),\1\ and Rule 19b-4 thereunder,\2\ notice is hereby given that 
on March 14, 2006, the American Stock Exchange LLC (``Amex'' or 
``Exchange'') 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 Amex 
filed the proposal as a ``non-controversial'' proposed rule change 
pursuant to Section 19(b)(3)(A) of the Act \3\ and Rule 19b-4(f)(6) 
thereunder,\4\ which renders it effective upon filing with the 
Commission. The Commission is publishing this notice to solicit 
comments on the proposed rule change from interested persons.
---------------------------------------------------------------------------

    \1\ 15 U.S.C. 78s(b)(1).
    \2\ 17 CFR 240.19b-4.
    \3\ 15 U.S.C. 78s(b)(3)(A).
    \4\ 17 CFR 240.19b-4(f)(6).
---------------------------------------------------------------------------

I. Self-Regulatory Organization's Statement of the Terms of Substance 
of the Proposed Rule Change

    The Amex, pursuant to section 19(b)(1) of the Act \5\ and Rule 19b-
4 thereunder,\6\ proposes to amend Amex Rule 980 ``Exercise of Options 
Contracts'' to add two additional minutes to the time frame within 
which one may make a final decision to exercise or not exercise an 
option, or to deliver a contrary exercise advice (``CEA'') \7\ to the 
Exchange. The proposal

[[Page 15230]]

is intended to conform Amex Rule 980 to the recent industry-wide change 
in the close of trading for equity options and narrow-based index 
options from 4:02 p.m. to 4 p.m. (EST).\8\ The Exchange further 
proposes to amend the text of Amex Rule 980 to correspond to the more 
appropriate classification of Eastern Time (``ET'') rather than New 
York Time (``NY Time''). The text of the proposed rule change is 
available on the Amex's Web site at (http://www.amex.com), at the 
Amex's principal office, and at the Commission's Public Reference Room.
---------------------------------------------------------------------------

    \5\ 15 U.S.C. 78s(b)(1).
    \6\ 17 CFR 240.19b-4.
    \7\ Amex Rule 980(b)(ii) defines a CEA as a communication 
either: (A) To not exercise an option that would be automatically 
exercised under the Options Clearing Corporation's (``OCC'') Ex-by-
Ex procedure, or (B) to exercise an option that would not be 
automatically exercised under the OCC's Ex-by-Ex procedure.
    \8\ See Securities Exchange Act Release No. 53244 (February 7, 
2006), 71 FR 8008 (February 15, 2006) (approving SR-Amex-2006-003, 
which amended Amex Rules 1,918--ANTE, 936C--ANTE and 903C to adjust 
the close of normal trading hours in equity options and narrow-based 
index options from 4:02 p.m. to 4:02 p.m. (ET)).
---------------------------------------------------------------------------

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 proposal. The text of these 
statements may be examined at the places specified in Item IV below. 
The Amex 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 purpose of the proposed rule change is to amend Amex Rule 980 
to add two additional minutes to the time frame within which one may 
make a final decision to exercise or not exercise an option, or to 
deliver a CEA to the Exchange. This proposal is intended to conform 
Amex Rule 980 to the recent industry-wide change to the close of 
trading for equity and narrow-based index options from 4:02 p.m. to 4 
p.m. (ET). The Exchange further proposes to amend the text of Amex Rule 
980 to correspond to the more appropriate classification of ET rather 
than NY Time.
    Currently, Amex Rule 980(c) establishes that on the business day 
immediately prior to an expiration date, option holders may make final 
decisions to exercise or not exercise options, and members and member 
organizations may accept exercise instructions and submit a CEA to the 
Exchange as late as 5:30 p.m. or 6:30 p.m. NY Time, pursuant to the 
circumstances set forth in Rule 980(c). Amex Rule 980(g) establishes 
that where, on the last business day before the day of expiration, the 
Exchange provides advance notice of a modified time for the close of 
trading in equity options, the deadline to make a final decision to 
exercise or not exercise an expiring option and to deliver a CEA to the 
Exchange will be 1 hour 28 minutes or 2 hours 28 minutes after the 
announced modified closing time, instead of the 5:30 p.m. or 6:30 p.m. 
(ET). The Exchange proposes to add two minutes to each of these 
timeframes to correspond to the two-minute difference in trading time 
created by the change in the close of trading time from 4:02 p.m. to 4 
p.m. (ET).
    This proposal seeks only to change the exercise timeframes for 
equity options, not index options, because Amex Rule 980C governing 
index options does not have pre-set times.\9\ According to the 
Exchange, the proposed rule change is based on similar rule changes 
submitted by the Pacific Exchange, Inc., the Philadelphia Stock 
Exchange, Inc., the International Securities Exchange, Inc., and the 
Chicago Board Options Exchange, Incorporated.\10\
---------------------------------------------------------------------------

    \9\ Amex Rule 980C provides that a memorandum to exercise any 
American-style index option must be received or prepared by the 
member organization no later than five (5) minutes after the close 
of trading on that day and must be time stamped at the time it is 
received or prepared.
    \10\ See Securities Exchange Act Release Nos. 53249 (February 7, 
2006), 71 FR 8035 (February 15, 2006) (SR-PCX-2005-138); 53407 
(March 3, 2006), 71 FR 12764 (March 13, 2006) (SR-Phlx-2006-12); 
53439 (March 7, 2006), 71 FR 13643 (March 16, 2006) (SR-ISE-2006-
11); 53438 (March 7, 2006), 71 FR 13641 (March 16, 2006) (SR-CBOE-
2006-19).
---------------------------------------------------------------------------

2. Statutory Basis
    The Exchange believes that the proposed rule change is consistent 
with section 6(b) of the Act \11\ in general, and furthers the 
objectives of section 6(b)(5) of the Act \12\ in particular, because it 
is designed to prevent fraudulent and manipulative acts and practices, 
to promote just and equitable principles of trade, to foster 
cooperation and coordination with persons engaged in facilitating 
transactions in securities, 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.
---------------------------------------------------------------------------

    \11\ 15 U.S.C. 78f(b).
    \12\ 15 U.S.C. 78f(b)(5).
---------------------------------------------------------------------------

B. Self-Regulatory Organization's Statement on Burden on Competition

    The Exchange does not believe that the proposed rule change will 
impose any burden on competition that is not necessary or appropriate 
in furtherance of the purposes of the Act.

C. Self-Regulatory Organization's Statement on Comments on the Proposed 
Rule Change Received From Members, Participants, or Others

    The Amex has neither solicited nor received comments on the 
proposed rule change.

III. Date of Effectiveness of the Proposed Rule Change and Timing for 
Commission Action

    Because the foregoing proposed rule change: (1) Does not 
significantly affect the protection of investors or the public 
interest; (2) does not impose any significant burden on competition; 
and (3) by its terms does not become operative for 30-days after the 
date on which it was filed, or such shorter time as the Commission may 
designate if consistent with the protection of investors and the public 
interest, the proposed rule change has become effective pursuant to 
section 19(b)(3)(A) of the Act \13\ and Rule 19b-4(f)(6) 
thereunder.\14\
---------------------------------------------------------------------------

    \13\ 15 U.S.C. 78s(b)(3)(A).
    \14\ 17 CFR 240.19b-4(f)(6).
---------------------------------------------------------------------------

    A proposed rule change filed under Rule 19b-4(f)(6) \15\ normally 
does not become operative prior to 30-days after the date of filing. 
However, Rule 19b-4(f)(6)(iii) permits the Commission to designate a 
shorter time if such action is consistent with the protection of 
investors and the public interest. The Amex has asked the Commission to 
waive the 30-day operative delay and the 5-day pre-filing requirement. 
The Commission believes that waiving the 30-day operative delay and the 
5-day pre-filing requirement is consistent with the protection of 
investors and the public interest because such waiver will allow the 
Amex to immediately clarify its rule and conform it to the industry-
wide close of trading times now in effect. Accelerating the operative 
date will allow for a more efficient and effective market operation by 
offering clarity and internal consistency with existing Amex rules. For 
these reasons, the Commission designates the proposed rule change as 
effective and operative immediately upon filing with the 
Commission.\16\
---------------------------------------------------------------------------

    \15\ Id.
    \16\ For the purposes only of waiving the 30-day operative date 
of this proposal, the Commission has considered the proposed rule's 
impact on efficiency, competition, and capital formation. 15 U.S.C. 
78c(f).
---------------------------------------------------------------------------

    At any time within 60-days after the filing of the proposed rule 
change, the Commission may summarily abrogate

[[Page 15231]]

the rule change if it appears to the Commission that such action is 
necessary or appropriate in the public interest, for the protection of 
investors, or otherwise in furtherance of the purposes of the Act.

IV. 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 (http://
www.sec.gov/rules/sro.shtml); or
     Send an e-mail to rule-comments@sec.gov. Please include 
File Number SR-Amex-2006-26 on the subject line.

Paper Comments

     Send paper comments in triplicate to Nancy M. Morris, 
Secretary, Securities and Exchange Commission, 100 F Street, NE., 
Washington, DC 20549-1090.

All submissions should refer to File Number SR-Amex-2006-26. 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 (http://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 Amex. 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-Amex-2006-26 and should be submitted on or before April 
17, 2006.

    For the Commission, by the Division of Market Regulation, 
pursuant to delegated authority.\17\
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    \17\ 17 CFR 200.30-3(a)(12).
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Nancy M. Morris,
Secretary.
 [FR Doc. E6-4343 Filed 3-24-06; 8:45 am]
BILLING CODE 8010-01-P