Self-Regulatory Organizations; NYSE Arca, Inc.; Notice of Filing and Immediate Effectiveness of Proposed Rule Change Relating to Further Extending the Time Period by Which the Exchange Will Enter Into the NASD/NYSE Arca Options Agreement Pursuant to Rule 17d-2, 5483-5485 [E7-1861]
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Federal Register / Vol. 72, No. 24 / Tuesday, February 6, 2007 / Notices
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:
submissions should refer to File
Number SR–NYSEArca–2007–10 and
should be submitted on or before
February 27, 2007.
For the Commission, by the Division of
Market Regulation, pursuant to delegated
authority.16
Florence E. Harmon,
Deputy Secretary.
[FR Doc. E7–1829 Filed 2–5–07; 8:45 am]
BILLING CODE 8011–01–P
SECURITIES AND EXCHANGE
COMMISSION
[Release No. 34–55186; File No. SR–
NYSEArca–2007–08]
sroberts on PROD1PC70 with NOTICES
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–2007–10 on the
subject line.
Self-Regulatory Organizations; NYSE
Arca, Inc.; Notice of Filing and
Immediate Effectiveness of Proposed
Rule Change Relating to Further
Extending the Time Period by Which
the Exchange Will Enter Into the NASD/
NYSE Arca Options Agreement
Pursuant to Rule 17d–2
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–2007–10. 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 the filing also will be
available for inspection and copying at
the principal office of NYSEArca. 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
January 29, 2007.
proposed rule’s impact on efficiency, competition,
and capital formation. See 15 U.S.C. 78c(f).
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16:03 Feb 05, 2007
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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 January
23, 2007, NYSE Arca, Inc. (‘‘NYSE
Arca’’ 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 Exchange filed the
proposal as a ‘‘non-controversial’’ rule
change pursuant to Section 19(b)(3)(A)
of the Act 3 and Rule 19b–4(f)(6)
thereunder,4 which renders the proposal
effective upon filing with the
Commission.5 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 is proposing to amend
its undertaking 6 to extend for 90 days
from the date of this filing the time
16 17
CFR 200.30–3(a)(12).
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).
5 The Exchange has asked the Commission to
waive the 5-day pre-filing notice requirement and
the 30-day operative delay. See 15 U.S.C.
78s(b)(3)(A), 17 CFR 240.19b–4(f)(6)(iii).
6 See Securities Exchange Act Release No. 54238
(July 28, 2006), 71 FR 44758 (August 7, 2006) (SR–
NYSEArca–2006–13) (OX Approval Order). See
Securities Exchange Act Release No. 54690
(November 2, 2006), 71 FR 66211 (November 13,
2006) (SR–NYSEArca–2006–79) (90-Day Extension).
1 15
PO 00000
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Sfmt 4703
5483
period by which the Exchange will enter
into an agreement with the National
Association of Securities Dealers, Inc.
(‘‘NASD’’) pursuant to Rule 17d–2
under the Act 7 (the ‘‘NASD/NYSE Arca
Options Agreement’’ or ‘‘Agreement’’).
The Agreement would expand the
allocation to NASD of regulatory
responsibility to encompass all the
regulatory oversight and enforcement
responsibilities with respect to the
options activities of Archipelago
Securities, L.L.C. (‘‘Archipelago
Securities’’),8 except for ‘‘real-time
market surveillance.’’
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
In connection with the Commission’s
approval of the Exchange’s new
electronic options trading platform, OX,
Archipelago Securities became a routing
broker for OX options orders on the
Exchange.9 In Amendment No. 3 to its
filing seeking approval of the OX
platform,10 the Exchange proposed to
7 17
CFR 240.17d–2.
Securities, a wholly-owned
subsidiary of Archipelago Holdings, Inc. and a
registered broker-dealer, acts as the outbound order
router for the NYSE Arca Marketplace (formerly
known as the Archipelago Exchange) and, as such,
is regulated as an exchange ‘‘facility’’ of NYSE Arca
and NYSE Arca Equities, Inc. See 15 U.S.C.
78c(a)(2). As such, any proposed rule change
relating to Archipelago Securities’ order-routing
function must be filed with the Commission, and
must operate in a manner that is consistent with the
provisions of the Act applicable to exchanges and
with NYSE Arca rules.
9 See OX Approval Order, supra note 6. Pursuant
to NYSE Arca Rule 6.1A(a)(15), which was adopted
in connection with the establishment of the new OX
trading platform, the term ‘‘OX Routing Broker’’
refers to the broker-dealer affiliate of the Exchange
that acts as agent for routing orders entered into OX
of OTP Holders, OTP Firms and OTP Firms’
Sponsored Participants to other Market Centers for
execution whenever such routing is permitted by
Exchange Rules. Archipelago Securities is the
Exchange’s only OX Routing Broker.
10 See OX Approval Order, supra note 6.
8 Archipelago
E:\FR\FM\06FEN1.SGM
06FEN1
sroberts on PROD1PC70 with NOTICES
5484
Federal Register / Vol. 72, No. 24 / Tuesday, February 6, 2007 / Notices
clarify that NASD, a self-regulatory
organization unaffiliated with the
Exchange or any of its affiliates, would
continue to carry out oversight and
enforcement responsibilities as the
Designated Examining Authority
designated by the Commission pursuant
to Rule 17d–1 under the Act 11 with the
responsibility for examining
Archipelago Securities for compliance
with the applicable financial
responsibility rules. Furthermore, the
Exchange represented that it would
enter into the NASD/NYSE Arca
Options Agreement pursuant to Rule
17d–2 under the Act,12 to expand the
allocation to NASD of regulatory
responsibility to encompass all the
regulatory oversight and enforcement
responsibilities with respect to the
options activities of Archipelago
Securities, except for ‘‘real-time market
surveillance.’’ 13 The Exchange agreed to
submit the NASD/NYSE Arca Options
Agreement to the Commission under
Rule 17d–2 within 90 days of the date
of the Commission’s approval of the OX
trading platform (July 28, 2006), which
was October 26, 2006.14
On October 20, 2006, the Exchange
submitted to the Commission a draft
NASD/NYSE Arca Options Agreement
and requested a ninety day extension 15
of the October 26, 2006 deadline to
January 24, 2007, in order for the
Commission to review the proposed
NASD/NYSE Arca Options Agreement.
Based on the recommendation of the
staff, the Exchange hereby seeks a
further extension of time, permitting an
additional 90 days from the date of this
filing to enter into the NASD/NYSE
Arca Options Agreement. NYSE Arca
believes this will afford the Commission
staff sufficient time to review, publish,
and take action on the proposal.
The Exchange believes that the
requested extension of time is consistent
with the Act and the rules and
regulations thereunder, will not
significantly affect the protection of
investors or the public interest, and
does not impose any significant burden
on competition. The Exchange notes
that NASD already carries out oversight
and enforcement responsibilities as the
Designated Examining Authority
designated by the Commission pursuant
to Rule 17d–1 with the responsibility for
examining Archipelago Securities for
compliance with the applicable
financial responsibility rules.
11 17
CFR 240.17d–1.
CFR 240.17d–2.
13 See OX Approval Order, supra note 6.
14 Id.
15 See 90-Day Extension, supra note 6.
12 17
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16:03 Feb 05, 2007
Jkt 211001
2. Statutory Basis
The Exchange believes that the
proposed rule change is consistent with
Section 6(b) of the Act,16 in general, and
furthers the objectives of Section 6(b)(5)
of the Act,17 in particular, in that 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
regulating clearing, settling, processing
information with respect to, and
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
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
Written comments on the proposed
rule change were neither solicited nor
received.
III. Date of Effectiveness of the
Proposed Rule Change and Timing for
Commission Action
Because the foregoing rule: (i) Does
not significantly affect the protection of
investors or the public interest; (ii) does
not impose any significant burden on
competition; and (iii) by its terms, does
not become operative for 30 days from
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,18 the proposed rule change has
become effective pursuant to Section
19(b)(3)(A) of the Act 19 and Rule 19b–
4(f)(6) thereunder.20
The Exchange has requested that the
Commission waive the 30-day operative
16 15
U.S.C. 78f(b).
17 15 U.S.C. 78f(b)(5).
18 Pursuant to Rule 19b–4(f)(6)(iii) under the Act,
the Exchange is required to give the Commission
written notice of its intent to file the proposed rule
change, along with a brief description and text of
the proposed rule change, at least five business days
prior to the date of filing of the proposed rule
change, or such shorter time as designated by the
Commission. The Exchange has requested that the
Commission waive the 5-day pre-filing notice
requirement. The Commission has determined to
waive this requirement for this filing.
19 15 U.S.C. 78s(b)(3)(A).
20 17 CFR 240.19b–4(f)(6).
PO 00000
Frm 00071
Fmt 4703
Sfmt 4703
delay, which would make the rule
change effective and operative upon
filing. The Commission believes that
waiving the 30-day operative delay is
consistent with the protection of
investors and the public interest. Such
waiver will allow the Exchange to
comply with its undertaking made in
connection with the OX Approval Order
to submit the NASD/NYSE Arca
Options Agreement to the Commission.
The Exchange requests a waiver of the
30-day period on the basis that the
current deadline for entering into the
NASD/NYSE Arca Options Agreement
was January 24, 2007 and a delay of 30
days would place the Exchange out of
compliance with its undertaking.
Extending the compliance date for the
Exchange’s undertaking by an
additional 90 days will provide time for
the Exchange to finalize and file the
Agreement. For these reasons, the
Commission designates the proposal to
be effective and operative upon filing
with the Commission.21
At any time within 60 days of the
filing of the 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:
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–2007–08 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–2007–08. This
file number should be included on the
subject line if e-mail is used. To help the
21 For purposes only of waiving the 30-day
operative delay, the Commission has considered the
proposed rule’s impact on efficiency, competition,
and capital formation. 15 U.S.C. 78c(f).
E:\FR\FM\06FEN1.SGM
06FEN1
Federal Register / Vol. 72, No. 24 / Tuesday, February 6, 2007 / Notices
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 the 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–2007–08 and
should be submitted on or before
February 27, 2007.
For the Commission, by the Division of
Market Regulation, pursuant to delegated
authority.22
Florence E. Harmon,
Deputy Secretary.
[FR Doc. E7–1861 Filed 2–5–07; 8:45 am]
BILLING CODE 8011–01–P
SMALL BUSINESS ADMINISTRATION
sroberts on PROD1PC70 with NOTICES
Public Federal Regulatory
Enforcement Fairness Hearing; Region
VI Regulatory Fairness Board
The U.S. Small Business
Administration (SBA) Region VI
Regulatory Fairness Board and the SBA
Office of the National Ombudsman will
hold a public hearing on Friday,
February 23, 2007, at 10 a.m. The
meeting will take place at the State
Capitol, Blue Room, NE 23rd & Lincoln
Boulevard, Oklahoma City, OK 73105.
The purpose of the meeting is to receive
comments and testimony from small
business owners, small government
entities, and small non-profit
organizations concerning regulatory
enforcement and compliance actions
taken by Federal agencies.
Anyone wishing to attend or to make
a presentation must contact Darla
Booker, in writing or by fax, in order to
be placed on the agenda. Darla Booker,
22 17
CFR 200.30–3(a)(12).
VerDate Aug<31>2005
18:47 Feb 05, 2007
Jkt 211001
Public Information Officer, SBA,
Oklahoma District Office, 301 NW 6th
Street, Suite 116, Oklahoma City, OK
73102, phone (405) 609–8012 and fax
(202) 401–0944, e-mail:
Darla.booker@sba.gov.
For more information, see our Web
site at www.sba.gov/ombudsman.
Matthew Teague,
Committee Management Officer.
[FR Doc. E7–1897 Filed 2–5–07; 8:45 am]
BILLING CODE 8025–01–P
DEPARTMENT OF TRANSPORTATION
Federal Aviation Administration
Noise Exposure Map Notice: Receipt of
Noise Compatibility Program and
Request for Review
Federal Aviation
Administration, DOT.
ACTION: Notice.
AGENCY:
SUMMARY: The Federal Aviation
Administration (FAA) announces its
determination that the noise exposure
maps submitted by Columbus Regional
Airport Authority for Rickenbacker
International Airport under the
provisions of 49 U.S.C. 47501 et. seq.
(Aviation Safety and Noise Abatement
Act) and 14 CFR Part 150 are in
compliance with applicable
requirements. The FAA also announces
that it is reviewing a proposed noise
compatibility program that was
submitted for Rickenbacker
International Airport under Part 150 in
conjunction with the noise exposure
map, and that this program will be
approved or disapproved on or before
July 23, 2007.
EFFECTIVE DATE: The effective date of the
FAA’s determination on the noise
exposure maps and of the start of its
review of the associated noise
compatibility program is January 25,
2007. The public comment period ends
March 25, 2007.
FOR FURTHER INFORMATION CONTACT: Ms.
Katherine S. Jones, Federal Aviation
Administration, Detroit Airports District
Office, 11677 South Wayne Road, Suite
107, Romulus, Michigan, phone number
(734) 229–2958. Comments on the
proposed noise compatibility program
should also be submitted to the above
office.
SUPPLEMENTARY INFORMATION: This
notice announces that the FAA finds
that the noise exposure maps submitted
for Rickenbacker International Airport
are in compliance with applicable
requirements of Part 150, effective
January 25, 2007. Further, FAA is
PO 00000
Frm 00072
Fmt 4703
Sfmt 4703
5485
reviewing a proposed noise
compatibility program for that airport
which will be approved or disapproved
on or before July 23, 2007. This notice
also announces the availability of this
program for public review and
comment.
Under 49 U.S.C., section 47503 (the
Aviation Safety and Noise Abatement
Act, hereinafter referred to as ‘‘the
Act’’), an airport operator may submit to
the FAA noise exposure maps which
meet applicable regulations and which
depict non-compatible land uses as of
the date of submission of such maps, a
description of projected aircraft
operations, and the ways in which such
operations will affect such maps. The
Act requires such maps to be developed
in consultation with interested and
affected parties in the local community,
government agencies, and persons using
the airport.
An airport operator who has
submitted noise exposure maps that are
found by FAA to be in compliance with
the requirements of Federal Aviation
Regulations (FAR) Part 150,
promulgated pursuant to the Act, may
submit a noise compatibility program
for FAA approval which sets forth the
forth the measures the operator has
taken or proposes to take to reduce
existing non-compatible uses and
prevent the introduction of additional
non-compatible uses.
Columbus Regional Airport Authority
submitted to the FAA on December 21,
2006 noise exposure maps, descriptions
and other documentation that were
produced during the Rickenbacker
International Airport FAR Part 150
Noise Compatibility Program Update,
December 2006. It was requested that
the FAA review this material as the
noise exposure maps, as described in
section 47503 of the Act, and that the
noise mitigation measures, to be
implemented jointly by the airport and
surrounding communities, be approved
as a noise compatibility program under
section 47504 of the Act.
The FAA has completed its review of
the noise exposure maps and related
descriptions submitted by Columbus
Regional Airport Authority. The specific
documentation determined to constitute
the noise exposure maps includes:
Existing (2006) Noise Exposure Map
(NEM), Future (2011) NEM with Noise
Compatibility Program (NCP), FAR Part
150 Noise Compatibility Program
Update contains the required
information for Section 47503 and
section A150.101 including the
following specific references: Current
and forecast operations in Appendix J,
Table 8; fleet mix and nighttime
operations in Appendix J–Table 8,
E:\FR\FM\06FEN1.SGM
06FEN1
]]>Agencies
[Federal Register Volume 72, Number 24 (Tuesday, February 6, 2007)]
[Notices]
[Pages 5483-5485]
From the Federal Register Online via the Government Printing Office [www.gpo.gov]
[FR Doc No: E7-1861]
-----------------------------------------------------------------------
SECURITIES AND EXCHANGE COMMISSION
[Release No. 34-55186; File No. SR-NYSEArca-2007-08]
Self-Regulatory Organizations; NYSE Arca, Inc.; Notice of Filing
and Immediate Effectiveness of Proposed Rule Change Relating to Further
Extending the Time Period by Which the Exchange Will Enter Into the
NASD/NYSE Arca Options Agreement Pursuant to Rule 17d-2
January 29, 2007.
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 January 23, 2007, NYSE Arca, Inc. (``NYSE Arca'' 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 Exchange filed the proposal as
a ``non-controversial'' rule change pursuant to Section 19(b)(3)(A) of
the Act \3\ and Rule 19b-4(f)(6) thereunder,\4\ which renders the
proposal effective upon filing with the Commission.\5\ 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).
\5\ The Exchange has asked the Commission to waive the 5-day
pre-filing notice requirement and the 30-day operative delay. See 15
U.S.C. 78s(b)(3)(A), 17 CFR 240.19b-4(f)(6)(iii).
---------------------------------------------------------------------------
I. Self-Regulatory Organization's Statement of the Terms of Substance
of the Proposed Rule Change
The Exchange is proposing to amend its undertaking \6\ to extend
for 90 days from the date of this filing the time period by which the
Exchange will enter into an agreement with the National Association of
Securities Dealers, Inc. (``NASD'') pursuant to Rule 17d-2 under the
Act \7\ (the ``NASD/NYSE Arca Options Agreement'' or ``Agreement'').
The Agreement would expand the allocation to NASD of regulatory
responsibility to encompass all the regulatory oversight and
enforcement responsibilities with respect to the options activities of
Archipelago Securities, L.L.C. (``Archipelago Securities''),\8\ except
for ``real-time market surveillance.''
---------------------------------------------------------------------------
\6\ See Securities Exchange Act Release No. 54238 (July 28,
2006), 71 FR 44758 (August 7, 2006) (SR-NYSEArca-2006-13) (OX
Approval Order). See Securities Exchange Act Release No. 54690
(November 2, 2006), 71 FR 66211 (November 13, 2006) (SR-NYSEArca-
2006-79) (90-Day Extension).
\7\ 17 CFR 240.17d-2.
\8\ Archipelago Securities, a wholly-owned subsidiary of
Archipelago Holdings, Inc. and a registered broker-dealer, acts as
the outbound order router for the NYSE Arca Marketplace (formerly
known as the Archipelago Exchange) and, as such, is regulated as an
exchange ``facility'' of NYSE Arca and NYSE Arca Equities, Inc. See
15 U.S.C. 78c(a)(2). As such, any proposed rule change relating to
Archipelago Securities' order-routing function must be filed with
the Commission, and must operate in a manner that is consistent with
the provisions of the Act applicable to exchanges and with NYSE Arca
rules.
---------------------------------------------------------------------------
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
In connection with the Commission's approval of the Exchange's new
electronic options trading platform, OX, Archipelago Securities became
a routing broker for OX options orders on the Exchange.\9\ In Amendment
No. 3 to its filing seeking approval of the OX platform,\10\ the
Exchange proposed to
[[Page 5484]]
clarify that NASD, a self-regulatory organization unaffiliated with the
Exchange or any of its affiliates, would continue to carry out
oversight and enforcement responsibilities as the Designated Examining
Authority designated by the Commission pursuant to Rule 17d-1 under the
Act \11\ with the responsibility for examining Archipelago Securities
for compliance with the applicable financial responsibility rules.
Furthermore, the Exchange represented that it would enter into the
NASD/NYSE Arca Options Agreement pursuant to Rule 17d-2 under the
Act,\12\ to expand the allocation to NASD of regulatory responsibility
to encompass all the regulatory oversight and enforcement
responsibilities with respect to the options activities of Archipelago
Securities, except for ``real-time market surveillance.'' \13\ The
Exchange agreed to submit the NASD/NYSE Arca Options Agreement to the
Commission under Rule 17d-2 within 90 days of the date of the
Commission's approval of the OX trading platform (July 28, 2006), which
was October 26, 2006.\14\
---------------------------------------------------------------------------
\9\ See OX Approval Order, supra note 6. Pursuant to NYSE Arca
Rule 6.1A(a)(15), which was adopted in connection with the
establishment of the new OX trading platform, the term ``OX Routing
Broker'' refers to the broker-dealer affiliate of the Exchange that
acts as agent for routing orders entered into OX of OTP Holders, OTP
Firms and OTP Firms' Sponsored Participants to other Market Centers
for execution whenever such routing is permitted by Exchange Rules.
Archipelago Securities is the Exchange's only OX Routing Broker.
\10\ See OX Approval Order, supra note 6.
\11\ 17 CFR 240.17d-1.
\12\ 17 CFR 240.17d-2.
\13\ See OX Approval Order, supra note 6.
\14\ Id.
---------------------------------------------------------------------------
On October 20, 2006, the Exchange submitted to the Commission a
draft NASD/NYSE Arca Options Agreement and requested a ninety day
extension \15\ of the October 26, 2006 deadline to January 24, 2007, in
order for the Commission to review the proposed NASD/NYSE Arca Options
Agreement. Based on the recommendation of the staff, the Exchange
hereby seeks a further extension of time, permitting an additional 90
days from the date of this filing to enter into the NASD/NYSE Arca
Options Agreement. NYSE Arca believes this will afford the Commission
staff sufficient time to review, publish, and take action on the
proposal.
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\15\ See 90-Day Extension, supra note 6.
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The Exchange believes that the requested extension of time is
consistent with the Act and the rules and regulations thereunder, will
not significantly affect the protection of investors or the public
interest, and does not impose any significant burden on competition.
The Exchange notes that NASD already carries out oversight and
enforcement responsibilities as the Designated Examining Authority
designated by the Commission pursuant to Rule 17d-1 with the
responsibility for examining Archipelago Securities for compliance with
the applicable financial responsibility rules.
2. Statutory Basis
The Exchange believes that the proposed rule change is consistent
with Section 6(b) of the Act,\16\ in general, and furthers the
objectives of Section 6(b)(5) of the Act,\17\ in particular, in that 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 regulating
clearing, settling, processing information with respect to, and
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.
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\16\ 15 U.S.C. 78f(b).
\17\ 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 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
Written comments on the proposed rule change were neither solicited
nor received.
III. Date of Effectiveness of the Proposed Rule Change and Timing for
Commission Action
Because the foregoing rule: (i) Does not significantly affect the
protection of investors or the public interest; (ii) does not impose
any significant burden on competition; and (iii) by its terms, does not
become operative for 30 days from 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,\18\ the proposed
rule change has become effective pursuant to Section 19(b)(3)(A) of the
Act \19\ and Rule 19b-4(f)(6) thereunder.\20\
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\18\ Pursuant to Rule 19b-4(f)(6)(iii) under the Act, the
Exchange is required to give the Commission written notice of its
intent to file the proposed rule change, along with a brief
description and text of the proposed rule change, at least five
business days prior to the date of filing of the proposed rule
change, or such shorter time as designated by the Commission. The
Exchange has requested that the Commission waive the 5-day pre-
filing notice requirement. The Commission has determined to waive
this requirement for this filing.
\19\ 15 U.S.C. 78s(b)(3)(A).
\20\ 17 CFR 240.19b-4(f)(6).
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The Exchange has requested that the Commission waive the 30-day
operative delay, which would make the rule change effective and
operative upon filing. The Commission believes that waiving the 30-day
operative delay is consistent with the protection of investors and the
public interest. Such waiver will allow the Exchange to comply with its
undertaking made in connection with the OX Approval Order to submit the
NASD/NYSE Arca Options Agreement to the Commission. The Exchange
requests a waiver of the 30-day period on the basis that the current
deadline for entering into the NASD/NYSE Arca Options Agreement was
January 24, 2007 and a delay of 30 days would place the Exchange out of
compliance with its undertaking. Extending the compliance date for the
Exchange's undertaking by an additional 90 days will provide time for
the Exchange to finalize and file the Agreement. For these reasons, the
Commission designates the proposal to be effective and operative upon
filing with the Commission.\21\
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\21\ For purposes only of waiving the 30-day operative delay,
the Commission has considered the proposed rule's impact on
efficiency, competition, and capital formation. 15 U.S.C. 78c(f).
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At any time within 60 days of the filing of the 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:
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-2007-08 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-2007-08. This
file number should be included on the subject line if e-mail is used.
To help the
[[Page 5485]]
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 the 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-2007-08 and
should be submitted on or before February 27, 2007.
For the Commission, by the Division of Market Regulation,
pursuant to delegated authority.\22\
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\22\ 17 CFR 200.30-3(a)(12).
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Florence E. Harmon,
Deputy Secretary.
[FR Doc. E7-1861 Filed 2-5-07; 8:45 am]
BILLING CODE 8011-01-P
