Self-Regulatory Organizations; NYSE Arca, Inc.; Notice of Filing and Amendment No. 1 Thereto of Proposed Rule Change Relating to Voluntary Withdrawal Procedures by Listed Issuers, 51264-51266 [E6-14275]
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51264
Federal Register / Vol. 71, No. 167 / Tuesday, August 29, 2006 / Notices
announcing that its annual report has
been filed, it must also specify in the
press release the Web site address where
shareholders may access the annual
report.44
The changes proposed by the
Exchange in Amendment No. 3 respond
to a concern raised by the ICI and are
designed to ensure that the proposed
rule change works as intended with
respect to investment companies.45 The
proposed change also improves the
press release proposal by requiring that
the Web site address where financial
statement can be accessed be included
in the press release. The Commission
believes that these proposed changes
strengthen the proposed rule change
and do not raise any new regulatory
issues beyond those raised by the
original proposal. Therefore, the
Commission finds good cause,
consistent with Sections 19(b) and
6(b)(5) of the Act, to approve
Amendment No. 3 to the proposed rule
change prior to the 30th day after the
amendment is published for comment
in the Federal Register.
V. Solicitation of Comments
Interested persons are invited to
submit written data, views, and
arguments concerning Amendment No.
3, including whether Amendment No. 3
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 rulecomments@sec.gov. Please include File
No. SR–NYSE–2005–68 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.
jlentini on PROD1PC65 with NOTICES
44 See
Amendment No. 3, supra note 6.
45 The Commission notes that in its comment
letter, the ICI’s proposed modifications to Section
303A.14 referred to ‘‘investment companies,’’
whereas the Exchange’s proposed rule text
contained in Amendment No. 3 refers to ‘‘closedend funds.’’ See ICI Letter, supra note 5; see also
Amendment No. 3, supra note 6. The Exchange has
represented that the reason that it made this change
to the ICI’s suggested language is because under the
Exchange’s rules, the only listed ‘‘investment
companies’’ to which the proposed rule change can
apply are closed-end funds. See Telephone
Conference between Annmarie Tierney, Assistant
General Counsel, NYSE, and Raymond Lombardo,
Special Counsel, Division of Market Regulation,
Commission, on August 14, 2006.
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17:07 Aug 28, 2006
Jkt 208001
All submissions should refer to File No.
SR–NYSE–2005–68. 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 will also be
available for inspection and copying at
the principal office of the NYSE. 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.
SR–NYSE–2005–68 and should be
submitted on or before September 19,
2006.
VI. Conclusion
It is therefore ordered, pursuant to
Section 19(b)(2) of the Act,46 that the
proposed rule change (SR–NYSE–2005–
68), as amended, is approved.
For the Commission, by the Division of
Market Regulation, pursuant to delegated
authority.47
Nancy M. Morris,
Secretary.
[FR Doc. E6–14276 Filed 8–28–06; 8:45 am]
BILLING CODE 8010–01–P
SECURITIES AND EXCHANGE
COMMISSION
[Release No. 34–54348; File No. SR–
NYSEArca–2006–47]
Self-Regulatory Organizations; NYSE
Arca, Inc.; Notice of Filing and
Amendment No. 1 Thereto of Proposed
Rule Change Relating to Voluntary
Withdrawal Procedures by Listed
Issuers
August 22, 2006.
Pursuant to Section 19(b)(1) of the
Securities Exchange Act of 1934
46 15
47 17
PO 00000
U.S.C. 78s(b)(2).
CFR 200.30–3(a)(12).
Frm 00082
Fmt 4703
Sfmt 4703
(‘‘Act’’) 1 and Rule 19b–4 thereunder,2
notice is hereby given that on August 4,
2006, NYSE Arca, Inc. (‘‘NYSE Arca’’ 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. On August
17, 2006, the Exchange filed
Amendment No. 1 to the proposed rule
change.3 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
NYSE Arca, through its wholly-owned
subsidiary NYSE Arca Equities, Inc.
(‘‘NYSE Arca Equities’’ or
‘‘Corporation’’), proposes to amend
NYSE Arca Equities Rule 5.4(b) relating
to the voluntary withdrawal by issuers
of their securities listed on NYSE Arca,
L.L.C. (also referred to as the ‘‘NYSE
Arca Marketplace’’), the equities trading
facility of NYSE Arca Equities,
including with respect to dually-listed
issuers. Below is the text of the
proposed rule change, as amended.
Proposed new language is italics;
proposed deletions are in brackets.
*
*
*
*
*
Rule 5 Listings
*
*
*
*
*
[Issuer Proposing to Withdraw]
Rule 5.4(b). Issuer Proposing to
Withdraw
[An issuer proposing to withdraw a
security from listing on the Corporation
shall submit to the Corporation a
certified copy of a resolution adopted by
the board of directors of the issuer
authorizing withdrawal from listing and
registrations, a letter from an authorized
officer of the issuer providing the
specific reasons cited by the board of
directors of the issuer for the proposed
withdrawal, and a copy of the Form 25
that the issuer has filed with the
Securities and Exchange Commission in
accordance with Rule 12d2–2
promulgated under Section 12(d) of the
Securities Exchange Act of 1934, as
amended, no later than the date of such
filing. The issuer may be required,
under special circumstances, to submit
the proposed withdrawal to the
shareholders for their vote at a meeting
1 15
U.S.C. 78s(b)(1).
CFR 240.19b–4.
3 In Amendment No. 1, the Exchange replaced
Exhibit 5 with the correct rule text and corrected
a typographical error in the heading of Exhibit 1.
2 17
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29AUN1
jlentini on PROD1PC65 with NOTICES
Federal Register / Vol. 71, No. 167 / Tuesday, August 29, 2006 / Notices
for which proxies are solicited provided
the security is not also listed on another
exchange having similar requirements.]
An issuer may delist a security from
the Exchange after its board approves
the action and the issuer (i) furnishes
the Exchange with a copy of the Board
resolution authorizing such delisting
certified by the secretary of the issuer
and (ii) complies with all of the
requirements of Rule 12d2–2(c) under
the Securities Exchange Act of 1934.
The issuer must thereafter file a Form 25
with the Securities and Exchange
Commission to withdraw the security
from listing on the Exchange and from
registration under the Securities
Exchange Act of 1934. In addition, the
issuer must provide a copy of the Form
25 to the Exchange simultaneously with
the filing of such Form 25 with the
Securities and Exchange Commission. If
an issuer delists a class of stock from
the Exchange pursuant to this Rule, but
does not delist other classes of listed
securities, the Exchange will give
consideration to delisting one or more of
such other classes.
If, however, an issuer proposing to
withdraw from listing is also listed on a
national securities exchange or the
Nasdaq Stock Market (including the
Nasdaq Capital Market or any successor
thereto), it need not submit the board
resolution required by Rule 5.4(b)(i)
above, but, in lieu thereof, must provide
a letter signed by an executive officer of
the issuer setting forth the reasons for
the proposed withdrawal. Such issuers
must still otherwise comply with the
other requirements of this Rule and Rule
12d2–2(c) under the Securities
Exchange Act of 1934.
The Exchange [Corporation], upon
receiving written notification of the
issuer’s intent to withdraw its securities
from listing and registration, shall post
notice of such intent on the Exchange’s
website by the next business day and
until the delisting becomes effective. An
issuer seeking to voluntarily apply to
withdraw a class of securities from
listing on NYSE Arca pursuant to this
paragraph that has received notice from
NYSE Arca, pursuant to Rule 5.3, Rule
5.5 or otherwise, that it is below NYSE
Arca’s continued listing policies and
standards, or that is aware that it is
below such continued listing policies
and standards notwithstanding that it
has not received such notice from NYSE
Arca, must disclose that it is no longer
eligible for continued listing
(identifying the specific continued
listing policies and standards with
which it does not comply) in: (i) Its
statement of all material facts relating to
the reasons for withdrawal from listing
provided to NYSE Arca along with
VerDate Aug<31>2005
17:07 Aug 28, 2006
Jkt 208001
written notice of its determination to
withdraw from listing required by Rule
12d2–2(c)(2)(ii) under the Exchange Act;
and (ii) its public press release and Web
site notice required by Rule 12d2–
2(c)(2)(iii) under the Exchange Act.
*
*
*
*
*
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
Exchange 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
On March 7, 2006, Archipelago
Holdings, Inc. and the New York Stock
Exchange, Inc. completed the merger
creating the NYSE Group, Inc. (‘‘NYSE
Group’’). The NYSE Group is a holding
company that operates, among other
things, two securities exchanges: New
York Stock Exchange LLC (‘‘NYSE’’) and
NYSE Arca Marketplace.4 In connection
with the merger, NYSE Arca
Marketplace examined its listings
program, and determined to revitalize
and refocus its primary listings program.
In particular, with this filing, NYSE
Arca proposes to: (1) Substantially align
its voluntary withdrawal requirements
with those of the NYSE,5 and (2)
eliminate—for all issuers listed on
NYSE Arca, on the one hand, and either
a national securities exchange or the
Nasdaq Stock Market (including the
Nasdaq Capital Market or any successor
thereto), on the other hand (which will
be referred to as ‘‘dually-listed
issuers’’)—the requirement set forth in
the current NYSE Arca Equities Rule
5.4(b) that issuers which propose to
4 The Commission notes that NYSE Group
operates two national securities exchanges: NYSE
and NYSE Arca. NYSE Arca Marketplace is a
facility of NYSE Arca Equities.
5 For example, current Section 806.02 of the
NYSE Listed Company Manual states that if an
issuer delists a class of stock from NYSE but does
not delist other classes of securities, NYSE will give
consideration to the delisting of one or more of such
other classes. Proposed NYSE Arca Equities Rule
5.4 will provide the Exchange with similar
flexibility.
PO 00000
Frm 00083
Fmt 4703
Sfmt 4703
51265
withdraw a security from listing shall
submit a certified copy of a resolution
adopted by the board of directors
authorizing withdrawal from listing and
registration. Instead, a dually-listed
issuer wishing to voluntarily withdraw
will be required to submit a letter from
an executive officer of the issuer setting
forth the reasons for the proposed
withdrawal.
The elimination of the board
resolution requirement applies to
dually-listed issuers only; the board
resolution requirement will continue to
apply to all issuers listed exclusively on
NYSE Arca. Furthermore, all other
requirements of NYSE Arca Equities
Rule 5.4(b) will continue to apply to
dually-listed issuers. The Exchange also
notes that dually-listed issuers will still
be required to comply with any
applicable state laws.
Additionally, based on informal
discussions with its dually-listed
issuers, NYSE Arca believes that
removing the board resolution
requirement will ease the process for
any dually-listed issuer who wishes to
voluntarily withdraw from NYSE Arca.
Furthermore, the Exchange believes that
the removal of this requirement would
not create or raise any new or significant
regulatory issues. While a dually-listed
issuer will not be listed and traded on
NYSE Arca following its withdrawal
from the NYSE Arca Marketplace, the
issuer will continue to be listed and
traded on either a registered securities
exchange or the Nasdaq Stock Market
(or any successor thereto).
Consequently, transparent last sale
reporting information regarding trading
in the issuer’s securities will continue to
be disseminated, and the continued
listing and trading of such securities
will remain subject to the same or
substantially similar protections and
requirements to which such listing and
trading is currently subject on NYSE
Arca. Moreover, in lieu of the board
resolution requirement, an executive
officer of the dually-listed issuer will be
required to present a detailed rationale
for the proposed withdrawal. In
contrast, those issuers exclusively listed
on NYSE Arca that wish to delist will
continue to be required to comply with
the board resolution requirement.
2. Statutory Basis
The Exchange believes that the
proposed rule change, as amended, is
consistent with Section 6(b)(5) of the
Act 6 because it is designed to prevent
fraudulent and manipulative acts and
practices, to promote just and equitable
principles of trade, to foster cooperation
6 15
E:\FR\FM\29AUN1.SGM
U.S.C. 78f(b)(5).
29AUN1
51266
Federal Register / Vol. 71, No. 167 / Tuesday, August 29, 2006 / Notices
and coordination with persons engaged
in regulating, clearing, settling,
processing information with respect to,
and facilitating transactions in
securities, and to remove impediments
to and perfect the mechanism of a free
and open market and a national market
system.
B. Self-Regulatory Organization’s
Statement on Burden on Competition
The Exchange does not believe that
the proposed rule change, as amended,
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 has neither solicited
nor received written comments on the
proposed rule change, as amended.
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 such proposed
rule change, or
(B) Institute proceedings to determine
whether the proposed rule change
should be disapproved.
All submissions should refer to File
Number SR–NYSEArca–2006–47. 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 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–NYSEArca–2006–47 and
should be submitted on or before
September 19, 2006.
For the Commission, by the Division of
Market Regulation, pursuant to delegated
authority.7
Nancy M. Morris,
Secretary.
[FR Doc. E6–14275 Filed 8–28–06; 8:45 am]
BILLING CODE 8010–01–P
IV. Solicitation of Comments
Interested persons are invited to
submit written data, views and
arguments concerning the foregoing,
including whether the proposed rule
change, as amended, 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 rulecomments@sec.gov. Please include File
Number SR–NYSEArca–2006–47 on the
subject line.
jlentini on PROD1PC65 with NOTICES
Paper Comments
• Send paper comments in triplicate
to Nancy M. Morris, Secretary,
Securities and Exchange Commission,
100 F Street, NE., Washington, DC
20549–1090.
VerDate Aug<31>2005
17:07 Aug 28, 2006
Jkt 208001
SMALL BUSINESS ADMINISTRATION
Reporting and Recordkeeping
Requirements Under OMB Review
Small Business Administration.
Notice of reporting requirements
submitted for OMB review.
AGENCY:
ACTION:
SUMMARY: Under the provisions of the
Paperwork Reduction Act (44 U.S.C.
Chapter 35), agencies are required to
submit proposed reporting and
recordkeeping requirements to OMB for
review and approval, and to publish a
notice in the Federal Register notifying
the public that the agency has made
such a submission.
DATES: Submit comments on or before
September 28, 2006. If you intend to
comment but cannot prepare comments
promptly, please advise the OMB
7 17
PO 00000
CFR 200.30–3(a)(12).
Frm 00084
Fmt 4703
Sfmt 4703
Reviewer and the Agency Clearance
Officer before the deadline.
Copies: Request for clearance (OMB
83–1), supporting statement, and other
documents submitted to OMB for
review may be obtained from the
Agency Clearance Officer.
ADDRESSES: Address all comments
concerning this notice to: Agency
Clearance Officer, Jacqueline White,
Small Business Administration, 409 3rd
Street, SW., 5th Floor, Washington, DC
20416; and
David_Rostker@omb.eop.gov, fax
number 202–395–7285 Office of
Information and Regulatory Affairs,
Office of Management and Budget.
FOR FURTHER INFORMATION CONTACT:
Jacqueline White, Agency Clearance
Officer, jacqueline.white@sba.gov (202)
205–7044.
SUPPLEMENTARY INFORMATION:
Title: Statement of Personal History.
Form No: 912.
Frequency: On Occasion.
Description of Respondents:
Applicants for Assistance or Temporary
Employment in Disaster.
Annual Responses: 55,000.
Annual Burden: 13,750.
Jacqueline White,
Chief, Administrative Information Branch.
[FR Doc. E6–14351 Filed 8–28–06; 8:45 am]
BILLING CODE 8025–01–P
SMALL BUSINESS ADMINISTRATION
[Disaster Declaration # 10569 and # 10570]
Virginia Disaster # VA–00003
U.S. Small Business
Administration.
ACTION: Notice.
AGENCY:
SUMMARY: This is a notice of an
Administrative declaration of a disaster
for the Commonwealth of Virginia dated
August 17, 2006.
Incident: Severe Storms and Flooding.
Incident Period: June 25, 2006
through June 30, 2006.
Effective Date: August 17, 2006.
Physical Loan Application Deadline
Date: October 16, 2006.
Economic Injury (EIDL) Loan
Application Deadline Date: May 17,
2007.
ADDRESSES: Submit completed loan
applications to: U.S. Small Business
Administration, National Processing
and Disbursement Center, 14925
Kingsport Road, Fort Worth, TX 76155.
FOR FURTHER INFORMATION CONTACT: A.
Escobar, Office of Disaster Assistance,
U.S. Small Business Administration,
409 3rd Street, SW., Suite 6050,
Washington, DC 20416.
E:\FR\FM\29AUN1.SGM
29AUN1
Agencies
[Federal Register Volume 71, Number 167 (Tuesday, August 29, 2006)]
[Notices]
[Pages 51264-51266]
From the Federal Register Online via the Government Printing Office [www.gpo.gov]
[FR Doc No: E6-14275]
-----------------------------------------------------------------------
SECURITIES AND EXCHANGE COMMISSION
[Release No. 34-54348; File No. SR-NYSEArca-2006-47]
Self-Regulatory Organizations; NYSE Arca, Inc.; Notice of Filing
and Amendment No. 1 Thereto of Proposed Rule Change Relating to
Voluntary Withdrawal Procedures by Listed Issuers
August 22, 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 August 4, 2006, NYSE Arca, Inc. (``NYSE Arca'' 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. On August 17, 2006, the
Exchange filed Amendment No. 1 to the proposed rule change.\3\ 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.
\3\ In Amendment No. 1, the Exchange replaced Exhibit 5 with the
correct rule text and corrected a typographical error in the heading
of Exhibit 1.
---------------------------------------------------------------------------
I. Self-Regulatory Organization's Statement of the Terms of Substance
of the Proposed Rule Change
NYSE Arca, through its wholly-owned subsidiary NYSE Arca Equities,
Inc. (``NYSE Arca Equities'' or ``Corporation''), proposes to amend
NYSE Arca Equities Rule 5.4(b) relating to the voluntary withdrawal by
issuers of their securities listed on NYSE Arca, L.L.C. (also referred
to as the ``NYSE Arca Marketplace''), the equities trading facility of
NYSE Arca Equities, including with respect to dually-listed issuers.
Below is the text of the proposed rule change, as amended. Proposed new
language is italics; proposed deletions are in brackets.
* * * * *
Rule 5 Listings
* * * * *
[Issuer Proposing to Withdraw]
Rule 5.4(b). Issuer Proposing to Withdraw
[An issuer proposing to withdraw a security from listing on the
Corporation shall submit to the Corporation a certified copy of a
resolution adopted by the board of directors of the issuer authorizing
withdrawal from listing and registrations, a letter from an authorized
officer of the issuer providing the specific reasons cited by the board
of directors of the issuer for the proposed withdrawal, and a copy of
the Form 25 that the issuer has filed with the Securities and Exchange
Commission in accordance with Rule 12d2-2 promulgated under Section
12(d) of the Securities Exchange Act of 1934, as amended, no later than
the date of such filing. The issuer may be required, under special
circumstances, to submit the proposed withdrawal to the shareholders
for their vote at a meeting
[[Page 51265]]
for which proxies are solicited provided the security is not also
listed on another exchange having similar requirements.]
An issuer may delist a security from the Exchange after its board
approves the action and the issuer (i) furnishes the Exchange with a
copy of the Board resolution authorizing such delisting certified by
the secretary of the issuer and (ii) complies with all of the
requirements of Rule 12d2-2(c) under the Securities Exchange Act of
1934. The issuer must thereafter file a Form 25 with the Securities and
Exchange Commission to withdraw the security from listing on the
Exchange and from registration under the Securities Exchange Act of
1934. In addition, the issuer must provide a copy of the Form 25 to the
Exchange simultaneously with the filing of such Form 25 with the
Securities and Exchange Commission. If an issuer delists a class of
stock from the Exchange pursuant to this Rule, but does not delist
other classes of listed securities, the Exchange will give
consideration to delisting one or more of such other classes.
If, however, an issuer proposing to withdraw from listing is also
listed on a national securities exchange or the Nasdaq Stock Market
(including the Nasdaq Capital Market or any successor thereto), it need
not submit the board resolution required by Rule 5.4(b)(i) above, but,
in lieu thereof, must provide a letter signed by an executive officer
of the issuer setting forth the reasons for the proposed withdrawal.
Such issuers must still otherwise comply with the other requirements of
this Rule and Rule 12d2-2(c) under the Securities Exchange Act of 1934.
The Exchange [Corporation], upon receiving written notification of
the issuer's intent to withdraw its securities from listing and
registration, shall post notice of such intent on the Exchange's
website by the next business day and until the delisting becomes
effective. An issuer seeking to voluntarily apply to withdraw a class
of securities from listing on NYSE Arca pursuant to this paragraph that
has received notice from NYSE Arca, pursuant to Rule 5.3, Rule 5.5 or
otherwise, that it is below NYSE Arca's continued listing policies and
standards, or that is aware that it is below such continued listing
policies and standards notwithstanding that it has not received such
notice from NYSE Arca, must disclose that it is no longer eligible for
continued listing (identifying the specific continued listing policies
and standards with which it does not comply) in: (i) Its statement of
all material facts relating to the reasons for withdrawal from listing
provided to NYSE Arca along with written notice of its determination to
withdraw from listing required by Rule 12d2-2(c)(2)(ii) under the
Exchange Act; and (ii) its public press release and Web site notice
required by Rule 12d2-2(c)(2)(iii) under the Exchange Act.
* * * * *
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 Exchange 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
On March 7, 2006, Archipelago Holdings, Inc. and the New York Stock
Exchange, Inc. completed the merger creating the NYSE Group, Inc.
(``NYSE Group''). The NYSE Group is a holding company that operates,
among other things, two securities exchanges: New York Stock Exchange
LLC (``NYSE'') and NYSE Arca Marketplace.\4\ In connection with the
merger, NYSE Arca Marketplace examined its listings program, and
determined to revitalize and refocus its primary listings program. In
particular, with this filing, NYSE Arca proposes to: (1) Substantially
align its voluntary withdrawal requirements with those of the NYSE,\5\
and (2) eliminate--for all issuers listed on NYSE Arca, on the one
hand, and either a national securities exchange or the Nasdaq Stock
Market (including the Nasdaq Capital Market or any successor thereto),
on the other hand (which will be referred to as ``dually-listed
issuers'')--the requirement set forth in the current NYSE Arca Equities
Rule 5.4(b) that issuers which propose to withdraw a security from
listing shall submit a certified copy of a resolution adopted by the
board of directors authorizing withdrawal from listing and
registration. Instead, a dually-listed issuer wishing to voluntarily
withdraw will be required to submit a letter from an executive officer
of the issuer setting forth the reasons for the proposed withdrawal.
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\4\ The Commission notes that NYSE Group operates two national
securities exchanges: NYSE and NYSE Arca. NYSE Arca Marketplace is a
facility of NYSE Arca Equities.
\5\ For example, current Section 806.02 of the NYSE Listed
Company Manual states that if an issuer delists a class of stock
from NYSE but does not delist other classes of securities, NYSE will
give consideration to the delisting of one or more of such other
classes. Proposed NYSE Arca Equities Rule 5.4 will provide the
Exchange with similar flexibility.
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The elimination of the board resolution requirement applies to
dually-listed issuers only; the board resolution requirement will
continue to apply to all issuers listed exclusively on NYSE Arca.
Furthermore, all other requirements of NYSE Arca Equities Rule 5.4(b)
will continue to apply to dually-listed issuers. The Exchange also
notes that dually-listed issuers will still be required to comply with
any applicable state laws.
Additionally, based on informal discussions with its dually-listed
issuers, NYSE Arca believes that removing the board resolution
requirement will ease the process for any dually-listed issuer who
wishes to voluntarily withdraw from NYSE Arca. Furthermore, the
Exchange believes that the removal of this requirement would not create
or raise any new or significant regulatory issues. While a dually-
listed issuer will not be listed and traded on NYSE Arca following its
withdrawal from the NYSE Arca Marketplace, the issuer will continue to
be listed and traded on either a registered securities exchange or the
Nasdaq Stock Market (or any successor thereto). Consequently,
transparent last sale reporting information regarding trading in the
issuer's securities will continue to be disseminated, and the continued
listing and trading of such securities will remain subject to the same
or substantially similar protections and requirements to which such
listing and trading is currently subject on NYSE Arca. Moreover, in
lieu of the board resolution requirement, an executive officer of the
dually-listed issuer will be required to present a detailed rationale
for the proposed withdrawal. In contrast, those issuers exclusively
listed on NYSE Arca that wish to delist will continue to be required to
comply with the board resolution requirement.
2. Statutory Basis
The Exchange believes that the proposed rule change, as amended, is
consistent with Section 6(b)(5) of the Act \6\ because it is designed
to prevent fraudulent and manipulative acts and practices, to promote
just and equitable principles of trade, to foster cooperation
[[Page 51266]]
and coordination with persons engaged in regulating, clearing,
settling, processing information with respect to, and facilitating
transactions in securities, and to remove impediments to and perfect
the mechanism of a free and open market and a national market system.
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\6\ 15 U.S.C. 78f(b)(5).
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B. Self-Regulatory Organization's Statement on Burden on Competition
The Exchange does not believe that the proposed rule change, as
amended, 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 has neither solicited nor received written comments on
the proposed rule change, as amended.
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 such 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, as amended, 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-NYSEArca-2006-47 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-NYSEArca-2006-47. 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 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-NYSEArca-2006-47 and should be submitted on or before
September 19, 2006.
For the Commission, by the Division of Market Regulation,
pursuant to delegated authority.\7\
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\7\ 17 CFR 200.30-3(a)(12).
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Nancy M. Morris,
Secretary.
[FR Doc. E6-14275 Filed 8-28-06; 8:45 am]
BILLING CODE 8010-01-P