Self-Regulatory Organizations; American Stock Exchange LLC; Notice of Filing and Immediate Effectiveness of a Proposed Rule Change Relating to its Options Marketing Fee Program, 37626-37627 [06-5904]

Download as PDF 37626 Federal Register / Vol. 71, No. 126 / Friday, June 30, 2006 / Notices For the Commission, by the Division of Market Regulation, pursuant to delegated authority.7 Nancy M. Morris, Secretary. [FR Doc. 06–5905 Filed 6–29–06; 8:45 am] 7. Identification of Marketplace of Execution Not Applicable. II. Solicitation of Comments Interested persons are invited to submit written data, views, and arguments concerning the foregoing, including whether the proposed Plans amendments are consistent with the Act. Comments may be submitted by any of the following methods: BILLING CODE 8010–01–P Electronic Comments Self-Regulatory Organizations; American Stock Exchange LLC; Notice of Filing and Immediate Effectiveness of a Proposed Rule Change Relating to its Options Marketing Fee Program • Use the Commission’s Internet comment form (https://www.sec.gov/ rules/sro.shtml); or • Send an e-mail to rulecomments@sec.gov. Please include File No. SR–CTA/CQ–2006–01 on the subject line. Paper Comments rwilkins on PROD1PC63 with NOTICES_1 • Send paper comments in triplicate to Nancy M. Morris, Secretary, Securities and Exchange Commission, Station Place, 100 F Street, NE., Washington, DC 20549–1090. All submissions should refer to File No. SR–CTA/CQ–2006–01. 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 Plan amendment that are filed with the Commission, and all written communications relating to the proposed Plan amendment 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 the filing also will be available for inspection and copying at the principal office of the CTA. 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 No. SRCTA/CQ–2006–01 and should be submitted on or before July 21, 2006. VerDate Aug<31>2005 16:30 Jun 29, 2006 Jkt 208001 SECURITIES AND EXCHANGE COMMISSION [Release No. 34–54042; File No. SR–Amex– 2006–59] June 26, 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 June 15, 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, II, and III below, which Items have been prepared by the Exchange. The Amex has designated this proposal as one establishing or changing a due, fee, or other charge imposed by the Amex under section 19(b)(3)(A)(ii) of the Act 3 and Rule 19b–4(f)(2) thereunder,4 which renders the proposal 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 proposes to amend its fee schedule and marketing fee program to assess a marketing fee of $0.75 per contract on options on the Nasdaq–100 Index (‘‘NDX’’) and on the Russell 2000 Index (‘‘RUT’’). The text of the proposed rule change is available on the Amex’s Web site at https://www.amex.com, at the principal office of the Exchange, 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 7 17 CFR 200.30–3(a)(27). U.S.C. 78s(b)(1). 2 17 CFR 240.19b–4. 3 15 U.S.C. 78s(b)(3)(A)(ii). 4 17 CFR 240.19b–4(f)(2). 1 15 PO 00000 Frm 00100 Fmt 4703 Sfmt 4703 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 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 Amex proposes to amend its fee schedule and marketing fee program to assess a marketing fee of $0.75 per contract on options on the NDX and on the RUT. This fee would apply to specialists and Registered Options Traders (‘‘ROTs’’).5 The Exchange represents that its current marketing fee of $0.75 is assessed upon specialists and ROTs for all equity options classes; exchangetraded fund share options, including options on the Nasdaq 100 Tracking Stock (‘‘QQQQ’’), and excluding options on the Standard & Poor’s Depositary Receipts (‘‘SPY’’); and Trust Issued Receipt (‘‘HOLDR’’) options.6 Prior to the filing of the proposed rule change, the marketing fee did not apply to index options, including options on the MiniNasdaq 100 Index (‘‘MNX’’), NDX, or RUT options.7 In addition, a marketing fee of $1.00 is assessed upon specialists and ROTs 8 for all SPY options. The marketing fee does not apply to firms, non-member market makers, broker/ dealers and customers. The Exchange asserts that the proposal is equitable as required by section 6(b)(4) of the Act.9 5 The Exchange states that it has proposed these changes to its marketing fees in order to remain competitive with other options exchanges and to attract order flow. Telephone conference between Hong-Anh Tran, Special Counsel, Division of Market Regulation (‘‘Division’’), Commission, and Nyieri Nazarian, Assistant General Counsel, Exchange, on June 20, 2006. 6 See Securities Exchange Act Release No. 53341 (February 21, 2006), 71 FR 10085 (February 28, 2006) (SR–Amex–2006–15). 7 Telephone conference between Hong-Anh Tran, Special Counsel, Division, Commission, and Nyieri Nazarian, Assistant General Counsel, Exchange, on June 20, 2006. As noted above, under the proposed rule change, a marketing fee of $0.75 per contract now will be assessed on NDX and RUT options. 8 The marketing fee applies to specialists and ROTs. Telephone conference between Hong-Anh Tran, Special Counsel, Division, Commission, and Nyieri Nazarian, Assistant General Counsel, Exchange, on June 20, 2006. 9 Section 6(b)(4) of the Act states that the rules of a national securities exchange should provide for the equitable allocation of reasonable dues, fees, and other charges among its members and issuers E:\FR\FM\30JNN1.SGM 30JNN1 Federal Register / Vol. 71, No. 126 / Friday, June 30, 2006 / Notices 2. Statutory Basis The Exchange believes that the proposed rule change is consistent with section 6(b) of the Act,10 in general, and furthers the objectives of section 6(b)(4) of the Act,11 in particular, in that it is designed to provide for the equitable allocation of reasonable dues, fees, and other charges among Amex members and other persons using Amex facilities. 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 Exchange neither solicited nor received comments with respect to the proposed rule change. III. Date of Effectiveness of the Proposed Rule Change and Timing for Commission Action The foregoing proposed rule change has been designated as a fee change pursuant to section 19(b)(3)(A)(ii) of the Act 12 and Rule 19b–4(f)(2) 13 thereunder, because it establishes or changes a due, fee, or other charge imposed by the Exchange. Accordingly, the proposal will take effect upon filing with the Commission. At any time within 60 days of the filing of such proposed rule change the Commission may summarily abrogate such 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: • Send an e-mail to rulecomments@sec.gov. Please include File Number SR–Amex–2006–59 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–2006–59. 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 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–2006–59 and should be submitted on or before July 21, 2006. For the Commission, by the Division of Market Regulation, pursuant to delegated authority.14 Nancy M. Morris, Secretary. [FR Doc. 06–5904 Filed 6–29–06; 8:45 am] BILLING CODE 8010–01–P Electronic Comments rwilkins on PROD1PC63 with NOTICES_1 • Use the Commission’s Internet comment form (https://www.sec.gov/ rules/sro.shtml); or and other persons using its facilities. See 15 U.S.C. 78f(b)(4). 10 15 U.S.C. 78f(b). 11 15 U.S.C. 78f(b)(4). 12 15 U.S.C. 78s(b)(3)(A)(ii). 13 17 CFR 240.19b–4(f)(2). VerDate Aug<31>2005 16:30 Jun 29, 2006 Jkt 208001 SECURITIES AND EXCHANGE COMMISSION [Release No. 34–54039; File No. SR–Amex– 2006–58] Self-Regulatory Organizations; American Stock Exchange LLC; Notice of Filing of a Proposed Rule Change Relating to an Amendment to Amex Rule 27 June 23, 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 June 9, 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, II and III below, which Items have been prepared by Amex. 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 Exchange proposes to amend Amex Rule 27 to revise the number and composition of the Allocation Committee (the ‘‘Allocations Committee’’ or the ‘‘Committee’’). The text of the proposed rule change is available on the Amex’s Web site (https://www.amex.com), the Office of the Secretary, Amex, and at the Commission’s Public Reference Room. The text of the proposed rule change also appears below. Proposed new language is italicized; proposed deletions are in [brackets]. Rule 27. Allocations Committee (a) The Allocations Committee allocates equity securities of operating companies, equity options admitted to dealings on the Exchange and all other securities to be admitted for trading on the Exchange. It consists of [six] eight persons drawn from a roster of approximately 75 persons and is comprised as follows: the Chief Executive Officer (or his or her designee), a representative of an upstairs member firm and either (i) [four (4)] six (6) brokers for equities and other securities admitted to trading on the Exchange except for Exchange Traded Funds and options; (ii) [two (2)] three (3) brokers and [two (2)] three (3) Registered Traders for Exchange Traded Funds; or (iii) [two (2)] three (3) brokers and [two (2)] three (3) Registered 1 15 14 17 PO 00000 CFR 200.30–3(a)(12). Frm 00101 Fmt 4703 Sfmt 4703 37627 2 17 E:\FR\FM\30JNN1.SGM U.S.C. 78s(b)(1). CFR 240.19b–4. 30JNN1

Agencies

SECURITIES AND EXCHANGE COMMISSION

[Federal Register Volume 71, Number 126 (Friday, June 30, 2006)]
[Notices]
[Pages 37626-37627]
From the Federal Register Online via the Government Printing Office [www.gpo.gov]
[FR Doc No: 06-5904]


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SECURITIES AND EXCHANGE COMMISSION

[Release No. 34-54042; File No. SR-Amex-2006-59]


Self-Regulatory Organizations; American Stock Exchange LLC; 
Notice of Filing and Immediate Effectiveness of a Proposed Rule Change 
Relating to its Options Marketing Fee Program

June 26, 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 June 15, 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, II, 
and III below, which Items have been prepared by the Exchange. The Amex 
has designated this proposal as one establishing or changing a due, 
fee, or other charge imposed by the Amex under section 19(b)(3)(A)(ii) 
of the Act \3\ and Rule 19b-4(f)(2) thereunder,\4\ which renders the 
proposal 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)(ii).
    \4\ 17 CFR 240.19b-4(f)(2).
---------------------------------------------------------------------------

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

    The Amex proposes to amend its fee schedule and marketing fee 
program to assess a marketing fee of $0.75 per contract on options on 
the Nasdaq-100 Index (``NDX'') and on the Russell 2000 Index (``RUT''). 
The text of the proposed rule change is available on the Amex's Web 
site at https://www.amex.com, at the principal office of the Exchange, 
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 proposed rule change. 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 Amex proposes to amend its fee schedule and marketing fee 
program to assess a marketing fee of $0.75 per contract on options on 
the NDX and on the RUT. This fee would apply to specialists and 
Registered Options Traders (``ROTs'').\5\
---------------------------------------------------------------------------

    \5\ The Exchange states that it has proposed these changes to 
its marketing fees in order to remain competitive with other options 
exchanges and to attract order flow. Telephone conference between 
Hong-Anh Tran, Special Counsel, Division of Market Regulation 
(``Division''), Commission, and Nyieri Nazarian, Assistant General 
Counsel, Exchange, on June 20, 2006.
---------------------------------------------------------------------------

    The Exchange represents that its current marketing fee of $0.75 is 
assessed upon specialists and ROTs for all equity options classes; 
exchange-traded fund share options, including options on the Nasdaq 100 
Tracking Stock (``QQQQ''), and excluding options on the Standard & 
Poor's Depositary Receipts (``SPY''); and Trust Issued Receipt 
(``HOLDR'') options.\6\ Prior to the filing of the proposed rule 
change, the marketing fee did not apply to index options, including 
options on the Mini-Nasdaq 100 Index (``MNX''), NDX, or RUT options.\7\ 
In addition, a marketing fee of $1.00 is assessed upon specialists and 
ROTs \8\ for all SPY options. The marketing fee does not apply to 
firms, non-member market makers, broker/dealers and customers.
---------------------------------------------------------------------------

    \6\ See Securities Exchange Act Release No. 53341 (February 21, 
2006), 71 FR 10085 (February 28, 2006) (SR-Amex-2006-15).
    \7\ Telephone conference between Hong-Anh Tran, Special Counsel, 
Division, Commission, and Nyieri Nazarian, Assistant General 
Counsel, Exchange, on June 20, 2006. As noted above, under the 
proposed rule change, a marketing fee of $0.75 per contract now will 
be assessed on NDX and RUT options.
    \8\ The marketing fee applies to specialists and ROTs. Telephone 
conference between Hong-Anh Tran, Special Counsel, Division, 
Commission, and Nyieri Nazarian, Assistant General Counsel, 
Exchange, on June 20, 2006.
---------------------------------------------------------------------------

    The Exchange asserts that the proposal is equitable as required by 
section 6(b)(4) of the Act.\9\
---------------------------------------------------------------------------

    \9\ Section 6(b)(4) of the Act states that the rules of a 
national securities exchange should provide for the equitable 
allocation of reasonable dues, fees, and other charges among its 
members and issuers and other persons using its facilities. See 15 
U.S.C. 78f(b)(4).

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[[Page 37627]]

2. Statutory Basis
    The Exchange believes that the proposed rule change is consistent 
with section 6(b) of the Act,\10\ in general, and furthers the 
objectives of section 6(b)(4) of the Act,\11\ in particular, in that it 
is designed to provide for the equitable allocation of reasonable dues, 
fees, and other charges among Amex members and other persons using Amex 
facilities.
---------------------------------------------------------------------------

    \10\ 15 U.S.C. 78f(b).
    \11\ 15 U.S.C. 78f(b)(4).
---------------------------------------------------------------------------

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 Exchange neither solicited nor received comments with respect 
to the proposed rule change.

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

    The foregoing proposed rule change has been designated as a fee 
change pursuant to section 19(b)(3)(A)(ii) of the Act \12\ and Rule 
19b-4(f)(2) \13\ thereunder, because it establishes or changes a due, 
fee, or other charge imposed by the Exchange. Accordingly, the proposal 
will take effect upon filing with the Commission. At any time within 60 
days of the filing of such proposed rule change the Commission may 
summarily abrogate such 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.
---------------------------------------------------------------------------

    \12\ 15 U.S.C. 78s(b)(3)(A)(ii).
    \13\ 17 CFR 240.19b-4(f)(2).
---------------------------------------------------------------------------

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 (https://
www.sec.gov/rules/sro.shtml); or
     Send an e-mail to rule-comments@sec.gov. Please include 
File Number SR-Amex-2006-59 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-2006-59. 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 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-2006-59 and should be submitted on or before July 
21, 2006.

    For the Commission, by the Division of Market Regulation, 
pursuant to delegated authority.\14\
---------------------------------------------------------------------------

    \14\ 17 CFR 200.30-3(a)(12).
---------------------------------------------------------------------------

Nancy M. Morris,
Secretary.
[FR Doc. 06-5904 Filed 6-29-06; 8:45 am]
BILLING CODE 8010-01-P

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