Self-Regulatory Organizations; Chicago Board Options Exchange, Incorporated; Notice of Filing of Proposed Rule Change and Amendment No. 1 Thereto To Amend CBOE Rules Relating to the Electronic Designated Primary Market Maker Program, 47834-47836 [E6-13643]

Download as PDF 47834 Federal Register / Vol. 71, No. 160 / Friday, August 18, 2006 / Notices promote just and equitable principles of trade, to remove impediments to and perfect the mechanisms 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 Exchanges believes that the proposed rule change does not impose any burden on competition that is not necessary or appropriate in furtherance of the purposes of the Act. jlentini on PROD1PC65 with NOTICES C. Self-Regulatory Organization’s Statement on Comments on the Proposed Rule Change Received From Members, Participants or Others No written comments were solicited or received with respect to the proposed rule change. 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–2006–71 and should be submitted on or before September 8, 2006. IV. Commission’s Findings and Order Granting Accelerated Approval of Proposed Rule Change The Commission finds that the proposed rule change is consistent with the requirements of the Act and the rules and regulations thereunder III. Solicitation of Comments applicable to a national securities exchange.6 In particular, the Interested persons are invited to Commission finds that the proposed submit written data, views and rule change is consistent with Section arguments concerning the foregoing, 6(b)(5) of the Act,7 which requires that including whether the proposed rule an exchange have rules designed, among change is consistent with the Act. other things, to promote just and Comments may be submitted by any of equitable principles of trade, to remove the following methods: impediments to and perfect the Electronic Comments mechanisms of a free and open market and a national market system, and, in • Use the Commission’s Internet general, to protect investors and the comment form (http://www.sec.gov/ public interest. The Commission rules/sro.shtml); or believes that the proposal should help • Send an e-mail to ruleto promote just and equitable principles comments@sec.gov. Please include File of trade and remove impediments to and Number SR–Amex–2006–71 on the perfect the mechanisms of a free and subject line. open market by clarifying current Paper Comments requirements for floor broker access to • Send paper comments in triplicate the liquidity on ANTE, the Exchange’s to Nancy M. Morris, Secretary, electronic options marketplace. Securities and Exchange Commission, The Commission finds good cause for Station Place, 100 F Street, NE., approving this proposed rule change Washington, DC 20549–1090. before the thirtieth day after the All submissions should refer to File publication of notice thereof in the Number SR–Amex–2006–71. This file Federal Register pursuant to Section number should be included on the 19(b)(2) of the Act.8 The proposal does subject line if e-mail is used. To help the not raise any new or novel regulatory Commission process and review your issues and merely codifies a current comments more efficiently, please use requirement for floor broker access to only one method. The Commission will ANTE. post all comments on the Commission’s Internet Web site (http://www.sec.gov/ V. Conclusion rules/sro.shtml). Copies of the It is therefore ordered, pursuant to submission, all subsequent Section 19(b)(2) of the Act,9 that the amendments, all written statements proposed rule change (SR–Amex–2006– with respect to the proposed rule 71) is hereby approved on an change that are filed with the accelerated basis. Commission, and all written communications relating to the 6 In approving this rule change, the Commission proposed rule change between the Commission and any person, other than notes that it has considered the proposed rule’s impact on efficiency, competition, and capital those that may be withheld from the formation. See 15 U.S.C. 78c(f). public in accordance with the 7 15 U.S.C. 78f(b)(5). 8 15 U.S.C. 78s(b)(2). provisions of 5 U.S.C. 552, will be 9 15 U.S.C. 78s(b)(2). available for inspection and copying in VerDate Aug<31>2005 18:35 Aug 17, 2006 Jkt 208001 PO 00000 Frm 00063 Fmt 4703 Sfmt 4703 For the Commission, by the Division of Market Regulation, pursuant to delegated authority.10 Nancy M. Morris, Secretary. [FR Doc. E6–13637 Filed 8–17–06; 8:45 am] BILLING CODE 8010–01–P SECURITIES AND EXCHANGE COMMISSION [Release No. 34–54311; File No. SR–CBOE– 2005–103] Self-Regulatory Organizations; Chicago Board Options Exchange, Incorporated; Notice of Filing of Proposed Rule Change and Amendment No. 1 Thereto To Amend CBOE Rules Relating to the Electronic Designated Primary Market Maker Program August 11, 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 December 5, 2005, the Chicago Board Options Exchange, Incorporated (‘‘CBOE’’ 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 CBOE. On August 11, 2006, the Exchange filed Amendment No. 1 to the proposed rule change. The Commission is publishing this notice to solicit comments on the proposed rule change, as amended, from interested persons. I. Self-Regulatory Organization’s Statement of the Terms of Substance of the Proposed Rule Change The Exchange proposes to amend CBOE rules relating to the Electronic Designated Primary Market Maker (‘‘eDPM’’) Program. The text of the proposed rule change is set forth below. Proposed additions are in italics, and proposed deletions are in brackets. * * * * * Rule 8.92. Electronic DPM Program (a)–(b) No change. (c) Allocation of Option Classes. The Board of Directors or a committee designated by the Board of Directors shall grant e-DPMs allocations in option classes. Factors to be considered in granting allocations include performance, capacity, performance commitments, efficiency, competitiveness, and operational 10 17 CFR 200.30–3(a)(12). U.S.C. 78s(b)(1). 2 17 CFR 240.19b–4. 1 15 E:\FR\FM\18AUN1.SGM 18AUN1 Federal Register / Vol. 71, No. 160 / Friday, August 18, 2006 / Notices factors. In addition, the following shall apply: (i)–(iv) No change. (v) An e-DPM may not be allocated an option class for which the e-DPM organization serves as DPM on the trading floor, [.] (vi) The Exchange may remove any option class from the e-DPM Program at any time if certain factors no longer warrant its inclusion in the program. Factors to be considered in removing an option class include any of the following: Market share, number of exchanges trading the product, average daily trading volume, and liquidity in the product. The Exchange shall give prior notice of any removal of an option class to the e-DPMs trading in that option class. (d)–(e) No change. * * * * * II. Self-Regulatory Organization’s Statement of the Purpose of, and Statutory Basis for, the Proposed Rule Change In its filing with the Commission, CBOE 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. CBOE 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 the Statutory Basis for, the Proposed Rule Change 1. Purpose jlentini on PROD1PC65 with NOTICES CBOE’s e-DPM Program was created, generally, to enhance the liquidity base of the CBOE Hybrid Trading System and to increase the Exchange’s market share in overall options trading by allowing member organizations, e-DPMs, to operate remotely as competing DPMs in the same option classes.3 The Exchange, through its designees, determines which option classes to include in the e-DPM Program and, accordingly, which classes to allocate to each respective e-DPM.4 This rule change proposes to clarify that the Exchange should also have the authority to remove any e-DPM option class from the e-DPM Program if certain factors no longer warrant the continued 3 See CBOE Rules 8.92 through 8.94 and Securities Exchange Act Release No. 50003 (July 12, 2004), 69 FR 43028 (July 19, 2004) (Order approving SR–CBOE–2004–24). e-DPMs operate remotely as specialists by entering bids and offers electronically from locations other than the trading floor. 4 Id. VerDate Aug<31>2005 18:35 Aug 17, 2006 Jkt 208001 inclusion of that option class in the eDPM Program. The factors used in making such a determination would relate to the option class itself and will include any of the following: (i) Market share, (ii) number of exchanges trading the product, (iii) average daily trading volume, and (iv) liquidity in the product. The Exchange will consider any one or all of these factors in determining whether to remove an option class from the e-DPM Program. Such factors will be considered by the Exchange in removing any option class(es) from the e-DPM Program, including those option classes that are the top classes trading on the Exchange and those option classes that are the bottom classes trading on the Exchange.5 The ability to remove and limit the number of e-DPM option classes is necessary to further the competitive goals of the e-DPM Program. The purpose of the e-DPM Program is to create, among other things, greater market share, volume and liquidity. For certain option classes that have been in the e-DPM Program, there may no longer be a need to have such option classes in the program since at the present time, those classes have consistently maintained a level of greater market share, higher volume and/or greater liquidity. In reviewing these factors, the Exchange may determine that such class(es) no longer need to be in the eDPM Program and can therefore be removed from the e-DPM Program, since that class meets the levels that the Exchange deems appropriate. In addition, the Exchange may wish to remove an option class from the e-DPM Program for the opposite reason. Certain option classes that are in the e-DPM Program may not have increased in market share, volume and/or liquidity, or may have even gone down in total market share, volume and/or liquidity. Since being in the e-DPM Program did not increase these factors, the Exchange may wish to remove such option class(es) from the program since they have not benefited from being in the program. Prior to removing any option class from the e-DPM Program, the Exchange would notify the e-DPMs trading in that option class that such class is being removed from the program. Persons aggrieved by the removal of an option class from the eDPM Program may appeal such decision to the Exchange’s Appeals Committee pursuant to Chapter XIX of the rules of the Exchange. By being able to review these proposed factors for all option classes in the e-DPM Program and in making a determination on whether an option class(es) should be included in the eDPM Program, the Exchange believes it will have the flexibility to ultimately enhance the overall market share and volume of all option classes trading on the Exchange. 2. Statutory Basis The Exchange believes that the proposal is consistent with Section 6(b) of the Act,6 in general, and Sections 6(b)(5) and 6(b)(7) of the Act,7 in particular, in that it is designed to promote just and equitable principles of trade and to remove impediments to and perfect the mechanism of a free and open market and a national market system, and provides a fair procedure for the limitation by the Exchange of any person with respect to access to services offered by the Exchange. 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 did not solicit or receive any written comments with respect to the proposed rule change. III. Date of Effectiveness of the Proposed Rule Change and Timing for Commission Action Within 35 days of the date of publication of this notice in the Federal Register or within such longer period (i) as the Commission may designate up to 90 days of such date if it finds such longer period to be appropriate and publishes its reasons for so finding or (ii) as to which the self-regulatory organization consents, the Commission will: A. By order approve the proposed rule change, or B. institute proceedings to determine whether the proposed rule change should be disapproved. 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: 6 15 5 Based PO 00000 on the National Average Daily Volume. Frm 00064 Fmt 4703 Sfmt 4703 47835 7 15 E:\FR\FM\18AUN1.SGM U.S.C. 78f(b). U.S.C. 78f(b)(5) and 78f(b)(7). 18AUN1 47836 Federal Register / Vol. 71, No. 160 / Friday, August 18, 2006 / Notices Electronic Comments • 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–CBOE–2005–103 on the subject line. Paper Comments SECURITIES AND EXCHANGE COMMISSION [Release No. 34–54301; File No. SR–CHX– 2006–05] Self-Regulatory Organizations; Chicago Stock Exchange, Inc,; Notice of Filing of a Proposed Rule Change and Amendment No. 1 Thereto to Implement a New Trading Model • Send paper comments in triplicate to Nancy M. Morris, Secretary, Securities and Exchange Commission, Station Place, 100 F Street NE., Washington, DC 20549–1090. August 10, 2006. For the Commission, by the Division of Market Regulation, pursuant to delegated authority.8 Nancy M. Morris, Secretary. [FR Doc. E6–13643 Filed 8–17–06; 8:45 am] In its filing with the Commission, the CHX 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 CHX has prepared 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 February 2, 2006, the Chicago Stock Exchange, Inc. (‘‘CHX’’ or ‘‘Exchange’’) filed with All submissions should refer to File the Securities and Exchange Number SR–CBOE–2005–103. This file Commission (‘‘Commission’’) the number should be included on the subject line if e-mail is used. To help the proposed rule change as described in Items I, II, and III below, which Items Commission process and review your have been prepared by the CHX. On comments more efficiently, please use August 10, 2006, the Exchange filed only one method. The Commission will Amendment No. 1 to the proposed rule post all comments on the Commission’s change.3 The Commission is publishing Internet Web site (http://www.sec.gov/ this notice to solicit comments on the rules/sro.shtml). Copies of the proposed rule change, as amended, from submission, all subsequent interested persons. amendments, all written statements I. Self-Regulatory Organization’s with respect to the proposed rule Statement of the Terms of Substance of change that are filed with the the Proposed Rule Change Commission, and all written communications relating to the The CHX proposes to amend its rules to implement a new trading model that proposed rule change between the Commission and any person, other than provides the opportunity for entirely automated executions to occur within a those that may be withheld from the central matching system accessible by public in accordance with the all Exchange participants. The new provisions of 5 U.S.C. 552, will be model also would end the Exchange’s available for inspection and copying in operation of a physical trading floor and the Commission’s Public Reference Room. Copies of such filing also will be is intended to comply with the requirements of Regulation NMS (‘‘Reg. available for inspection and copying at 4 the principal office of the Exchange. All NMS’’). The text of this proposed rule change is available on the Exchange’s comments received will be posted Web site at http://www.chx.com/rules/ without change; the Commission does proposed_rules.htm, in the not edit personal identifying Commission’s Public Reference Room, information from submissions. You and on the Commission’s Web site at should submit only information that http://www.sec.gov. you wish to make available publicly. All II. Self-Regulatory Organization’s submissions should refer to File Statement of the Purpose of, and Number SR–CBOE–2005–103 and Statutory Basis for, the Proposed Rule should be submitted on or before Change September 8, 2006. jlentini on PROD1PC65 with NOTICES BILLING CODE 8010–01–P 1 15 U.S.C. 78s(b)(1). CFR 240.19b–4. 3 Amendment No. 1 replaces and supersedes the original filing in its entirety. 4 17 CFR 242.600, et seq. 2 17 8 17 CFR 200.30–3(a)(12). VerDate Aug<31>2005 18:35 Aug 17, 2006 Jkt 208001 PO 00000 Frm 00065 Fmt 4703 Sfmt 4703 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 Through this proposed rule change, the Exchange seeks to implement a new trading model that allows its participants to interact in a fullyautomated matching system. In this model, the Exchange would no longer operate a physical trading floor where on-floor specialists, brokers and market makers seek execution of their orders. Instead, the Exchange would operate an automated system where its participants—from any location—could submit orders for immediate execution. The Exchange believes that this new model provides an opportunity for its participants and their customers to receive efficient, low-cost executions, while giving the Exchange enhanced capabilities for surveilling its participants’ trading activities. In this new model, the Exchange anticipates that most of its participants would continue to be ‘‘off-Exchange’’ order-sending firms that would simply send orders to the Matching System for execution. These firms would not be required to register with the Exchange to act in any specific capacity other than as trading participants.5 The Exchange would, however, allow participant firms to register in two special categories—to operate as proprietary market makers on the Exchange or to act as institutional brokers. Market makers could choose to post two-sided quotations and trade for their proprietary accounts. Any customer order would be accepted off the Exchange and a market maker could then choose whether or not to enter the order in the Exchange’s Matching System or submit the order to a different venue. In contrast, any customer orders accepted by institutional brokers would be deemed to be on the Exchange when accepted. These market makers and institutional brokers would operate on the Exchange, even if they are not physically located on a single trading floor. Because the Exchange is taking this opportunity to modernize many of its long-standing procedures and rules, the implementation of the new trading model will result in changes to virtually 5 Since its demutualization in February 2005, the Exchange has not had ‘‘members.’’ Instead, a broker-dealer that seeks to effect transactions directly on the Exchange must become an Exchange ‘‘participant.’’ E:\FR\FM\18AUN1.SGM 18AUN1

Agencies

[Federal Register Volume 71, Number 160 (Friday, August 18, 2006)]
[Notices]
[Pages 47834-47836]
From the Federal Register Online via the Government Printing Office [www.gpo.gov]
[FR Doc No: E6-13643]


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SECURITIES AND EXCHANGE COMMISSION

[Release No. 34-54311; File No. SR-CBOE-2005-103]


Self-Regulatory Organizations; Chicago Board Options Exchange, 
Incorporated; Notice of Filing of Proposed Rule Change and Amendment 
No. 1 Thereto To Amend CBOE Rules Relating to the Electronic Designated 
Primary Market Maker Program

August 11, 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 December 5, 2005, the Chicago Board Options Exchange, Incorporated 
(``CBOE'' 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 CBOE. On 
August 11, 2006, the Exchange filed Amendment No. 1 to the proposed 
rule change. The Commission is publishing this notice to solicit 
comments on the proposed rule change, as amended, from interested 
persons.
---------------------------------------------------------------------------

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

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

    The Exchange proposes to amend CBOE rules relating to the 
Electronic Designated Primary Market Maker (``e-DPM'') Program. The 
text of the proposed rule change is set forth below. Proposed additions 
are in italics, and proposed deletions are in brackets.
* * * * *
Rule 8.92. Electronic DPM Program
    (a)-(b) No change.
    (c) Allocation of Option Classes. The Board of Directors or a 
committee designated by the Board of Directors shall grant e-DPMs 
allocations in option classes. Factors to be considered in granting 
allocations include performance, capacity, performance commitments, 
efficiency, competitiveness, and operational

[[Page 47835]]

factors. In addition, the following shall apply:
    (i)-(iv) No change.
    (v) An e-DPM may not be allocated an option class for which the e-
DPM organization serves as DPM on the trading floor, [.]
    (vi) The Exchange may remove any option class from the e-DPM 
Program at any time if certain factors no longer warrant its inclusion 
in the program. Factors to be considered in removing an option class 
include any of the following: Market share, number of exchanges trading 
the product, average daily trading volume, and liquidity in the 
product. The Exchange shall give prior notice of any removal of an 
option class to the e-DPMs trading in that option class.
    (d)-(e) No change.
* * * * *

II. Self-Regulatory Organization's Statement of the Purpose of, and 
Statutory Basis for, the Proposed Rule Change

    In its filing with the Commission, CBOE 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. CBOE 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 the 
Statutory Basis for, the Proposed Rule Change

1. Purpose
    CBOE's e-DPM Program was created, generally, to enhance the 
liquidity base of the CBOE Hybrid Trading System and to increase the 
Exchange's market share in overall options trading by allowing member 
organizations, e-DPMs, to operate remotely as competing DPMs in the 
same option classes.\3\ The Exchange, through its designees, determines 
which option classes to include in the e-DPM Program and, accordingly, 
which classes to allocate to each respective e-DPM.\4\
---------------------------------------------------------------------------

    \3\ See CBOE Rules 8.92 through 8.94 and Securities Exchange Act 
Release No. 50003 (July 12, 2004), 69 FR 43028 (July 19, 2004) 
(Order approving SR-CBOE-2004-24). e-DPMs operate remotely as 
specialists by entering bids and offers electronically from 
locations other than the trading floor.
    \4\ Id.
---------------------------------------------------------------------------

    This rule change proposes to clarify that the Exchange should also 
have the authority to remove any e-DPM option class from the e-DPM 
Program if certain factors no longer warrant the continued inclusion of 
that option class in the e-DPM Program. The factors used in making such 
a determination would relate to the option class itself and will 
include any of the following: (i) Market share, (ii) number of 
exchanges trading the product, (iii) average daily trading volume, and 
(iv) liquidity in the product. The Exchange will consider any one or 
all of these factors in determining whether to remove an option class 
from the e-DPM Program. Such factors will be considered by the Exchange 
in removing any option class(es) from the e-DPM Program, including 
those option classes that are the top classes trading on the Exchange 
and those option classes that are the bottom classes trading on the 
Exchange.\5\ The ability to remove and limit the number of e-DPM option 
classes is necessary to further the competitive goals of the e-DPM 
Program.
---------------------------------------------------------------------------

    \5\ Based on the National Average Daily Volume.
---------------------------------------------------------------------------

    The purpose of the e-DPM Program is to create, among other things, 
greater market share, volume and liquidity. For certain option classes 
that have been in the e-DPM Program, there may no longer be a need to 
have such option classes in the program since at the present time, 
those classes have consistently maintained a level of greater market 
share, higher volume and/or greater liquidity. In reviewing these 
factors, the Exchange may determine that such class(es) no longer need 
to be in the e-DPM Program and can therefore be removed from the e-DPM 
Program, since that class meets the levels that the Exchange deems 
appropriate. In addition, the Exchange may wish to remove an option 
class from the e-DPM Program for the opposite reason. Certain option 
classes that are in the e-DPM Program may not have increased in market 
share, volume and/or liquidity, or may have even gone down in total 
market share, volume and/or liquidity. Since being in the e-DPM Program 
did not increase these factors, the Exchange may wish to remove such 
option class(es) from the program since they have not benefited from 
being in the program. Prior to removing any option class from the e-DPM 
Program, the Exchange would notify the e-DPMs trading in that option 
class that such class is being removed from the program. Persons 
aggrieved by the removal of an option class from the e-DPM Program may 
appeal such decision to the Exchange's Appeals Committee pursuant to 
Chapter XIX of the rules of the Exchange.
    By being able to review these proposed factors for all option 
classes in the e-DPM Program and in making a determination on whether 
an option class(es) should be included in the e-DPM Program, the 
Exchange believes it will have the flexibility to ultimately enhance 
the overall market share and volume of all option classes trading on 
the Exchange.
2. Statutory Basis
    The Exchange believes that the proposal is consistent with Section 
6(b) of the Act,\6\ in general, and Sections 6(b)(5) and 6(b)(7) of the 
Act,\7\ in particular, in that it is designed to promote just and 
equitable principles of trade and to remove impediments to and perfect 
the mechanism of a free and open market and a national market system, 
and provides a fair procedure for the limitation by the Exchange of any 
person with respect to access to services offered by the Exchange.
---------------------------------------------------------------------------

    \6\ 15 U.S.C. 78f(b).
    \7\ 15 U.S.C. 78f(b)(5) and 78f(b)(7).
---------------------------------------------------------------------------

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 did not solicit or receive any written comments with 
respect to the proposed rule change.

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

    Within 35 days of the date of publication of this notice in the 
Federal Register or within such longer period (i) as the Commission may 
designate up to 90 days of such date if it finds such longer period to 
be appropriate and publishes its reasons for so finding or (ii) as to 
which the self-regulatory organization consents, the Commission will:
    A. By order approve the proposed rule change, or
    B. institute proceedings to determine whether the proposed rule 
change should be disapproved.

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:

[[Page 47836]]

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-CBOE-2005-103 on the subject line.

Paper Comments

     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 Number SR-CBOE-2005-103. 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 Exchange. 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-CBOE-2005-103 and should be submitted on or before 
September 8, 2006.

    For the Commission, by the Division of Market Regulation, 
pursuant to delegated authority.\8\
---------------------------------------------------------------------------

    \8\ 17 CFR 200.30-3(a)(12).
---------------------------------------------------------------------------

Nancy M. Morris,
Secretary.
[FR Doc. E6-13643 Filed 8-17-06; 8:45 am]
BILLING CODE 8010-01-P