Self-Regulatory Organizations; Philadelphia Stock Exchange, Inc.; Notice of Filing and Immediate Effectiveness of Proposed Rule Change Relating to the Trading Phase Date of Regulation NMS, 7807-7809 [E7-2843]

Download as PDF Federal Register / Vol. 72, No. 33 / Tuesday, February 20, 2007 / Notices implementation of the Exchange’s new equity system.8 The Exchange proposes at this time to also eliminate this fee for members, participants, and member or participant organizations on the options and foreign currency trading floors. Any member, participant, and member or participant organization may, however, keep their telephone system line extensions without being charged. The purpose of this proposal is to simplify the Exchange’s fee schedule and billing process. The Exchange proposes to eliminate the telephone system line extension charge for the billing period beginning January 2007.9 2. Statutory Basis The Exchange believes that its proposal to amend Appendix A of its fee schedule by deleting the telephone system line extension charge for its members, participants, and member or participant organizations is consistent with Section 6(b) of the Act 10 in general and furthers the objectives of Section 6(b)(4) of the Act 11 in particular in that it is an equitable allocation of reasonable fees and other charges among Exchange members. 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 No written comments were either solicited or received. hsrobinson on PROD1PC76 with NOTICES III. Date of Effectiveness of the Proposed Rule Change and Timing for Commission Action The foregoing rule change has become effective pursuant to Section 19(b)(3)(A)(ii) of the Act 12 and paragraph (f)(2) of Rule 19b–4 thereunder, because it establishes or changes a due, fee, or other charge.13 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 8 See Securities Exchange Act Release No. 54941 (December 14, 2006), 71 FR 77079 (December 22, 2006) (SR–Phlx–2006–70). 9 See note 5 supra. 10 15 U.S.C. 78f(b). 11 15 U.S.C. 78f(b)(4). 12 15 U.S.C. 78s(b)(3)(A)(ii). 13 17 CFR 240.19b–4(f)(2). VerDate Aug<31>2005 16:14 Feb 16, 2007 Jkt 211001 interest, for the protection of investors, or otherwise in furtherance of the purposes of the Act. IV. Solicitation of Comments Interested persons are invited to submit written data, views, and arguments concerning the foregoing, including whether the proposed rule change is consistent with the Act. Comments may be submitted by any of the following methods: Electronic Comments • Use the Commission’s Internet comment form (http://www.sec.gov/ rules/sro.shtml); or • Send an e-mail to rulecomments@sec.gov. Please include File Number SR–Phlx–2007–03 on the subject line. 7807 For the Commission, by the Division of Market Regulation, pursuant to delegated authority.14 Florence E. Harmon, Deputy Secretary. [FR Doc. E7–2838 Filed 2–16–07; 8:45 am] BILLING CODE 8010–01–P SECURITIES AND EXCHANGE COMMISSION [Release No. 34–55273; File No. SR–Phlx– 2007–11] Self-Regulatory Organizations; Philadelphia Stock Exchange, Inc.; Notice of Filing and Immediate Effectiveness of Proposed Rule Change Relating to the Trading Phase Date of Regulation NMS February 12, 2007. Pursuant to Section 19(b)(1) of the Securities Exchange Act of 1934 Paper Comments: (‘‘Act’’),1 and Rule 19b–4 thereunder,2 notice is hereby given that on February • Send paper comments in triplicate 6, 2007, the Philadelphia Stock to Nancy M. Morris, Secretary, Exchange, Inc. (‘‘Phlx’’ or ‘‘Exchange’’) Securities and Exchange Commission, filed with the Securities and Exchange 100 F Street, NE., Washington, DC Commission (‘‘Commission’’) the 20549–1090. proposed rule change as described in All submissions should refer to File Items I and II, below, which Items have Number SR–Phlx–2007–03. This file been prepared by the Phlx. The number should be included on the Exchange filed the proposal as a ‘‘nonsubject line if e-mail is used. To help the controversial’’ rule change pursuant to Section 19(b)(3)(A) of the Act 3 and Rule Commission process and review your 19b–4(f)(6) thereunder,4 which rendered comments more efficiently, please use only one method. The Commission will the proposal effective upon filing with post all comments on the Commission’s the Commission. The Commission is publishing this notice to solicit Internet Web site (http://www.sec.gov/ comments on the proposed rule change rules/sro.shtml). Copies of the from interested persons. submission, all subsequent 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 The Phlx proposes to clarify the communications relating to the operation of XLE, the Exchange’s new proposed rule change between the equity trading system, and various Phlx Commission and any person, other than Rules in light of the Commission’s those that may be withheld from the extension of the Trading Phase Date of public in accordance with the Regulation NMS from February 5, 2007 provisions of 5 U.S.C. 552, will be until March 5, 2007.5 There is no available for inspection and copying in change to Phlx Rule text. the Commission’s Public Reference II. Self-Regulatory Organization’s Room. Copies of the filing also will be Statement of the Purpose of, and available for inspection and copying at Statutory Basis for, the Proposed Rule the principal office of the Phlx. All Change comments received will be posted In its filing with the Commission, the without change; the Commission does Phlx included statements concerning not edit personal identifying the purpose of and basis for the information from submissions. You should submit only information that 14 17 CFR 200.30–3(a)(12). you wish to make available publicly. All 1 15 U.S.C. 78s(b)(1). submissions should refer to File 2 17 CFR 240.19b–4. 3 15 U.S.C. 78s(b)(3)(A). Number SR–Phlx–2007–03 and should 4 17 CFR 240.19b–4(f)(6). be submitted on or before March 13, 5 See Securities Exchange Act Release No. 55160 2007. PO 00000 (January 24, 2007), 72 FR 4202 (January 30, 2007). Frm 00045 Fmt 4703 Sfmt 4703 E:\FR\FM\20FEN1.SGM 20FEN1 7808 Federal Register / Vol. 72, No. 33 / Tuesday, February 20, 2007 / Notices 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 Phlx has prepared summaries, set forth in Sections A, B, and C below, of the most significant aspects of such statements. A. Self-Regulatory Organization’s Statement of the Purpose of, and Statutory Basis for, the Proposed Rule Change 1. Purpose The purpose of the proposed rule change is to clarify the effect on XLE and various Phlx Rules of the Commission’s extension of the Trading Phase Date of Regulation NMS from February 5, 2007 until March 5, 2007.6 The Trading Phase Date is significant to the Exchange because that is the ‘‘[f]inal date for full operation of Regulation NMS-compliant trading systems [by exchanges] that intend to qualify their quotations for trade-through protection under Rule 611 [during the roll-out of Regulation NMS].’’ 7 The Phlx intends to qualify its quotations for trade-through protection under Rule 611 during the roll-out of Regulation NMS and therefore intends to operate a Regulation NMS-compliant trading system no later than the Trading Phase Date.8 A number of Phlx Rules or portions of Rules adopted by Phlx in connection with XLE were approved with delayed effectiveness by the Commission until the Trading Phase Date that was in effect at that time, which was February 5, 2007.9 With this proposed rule change, the Exchange clarifies that the effectiveness of these rules or portions of rules is tied to the Trading Phase Date, currently March 5, 2007, not to February 5, 2007. The Phlx Rules that are affected by this clarification include, but are not necessarily limited to the following: Phlx Rule 1(cc), Definition of Protected Bid, Offer or Quotation; Phlx Rule 185(b)(2)(C), regarding Intermarket Sweep Orders (‘‘ISOs’’); 10 Phlx Rule 185(c)(2)(D), regarding IOC Cross Orders marked by the XLE Participant entering 6 Id. hsrobinson on PROD1PC76 with NOTICES 7 Id. at 4203. 8 See Phlx Rule 160. 9 See Securities Exchange Act Release No. 54538 (September 28, 2006), 71 FR 59184 (October 6, 2006) (‘‘XLE Approval Order’’). 10 Phlx notes, however, ISOs and IOC Cross Orders marked by the XLE Participant entering the order as meeting the requirements of an intermarket sweep order in Regulation NMS Rule 600(b)(30) currently have a limited effectiveness pursuant to Phlx Rule 185A(b). See Securities Exchange Act Release Nos. 54788 (November 20, 2006), 71 FR 68877 (November 28, 2006) (SR–Phlx–2006–77) and 54760 (November 15, 2006), 71 FR 67687 (November 22, 2006) (SR–Phlx–2006–76). VerDate Aug<31>2005 16:14 Feb 16, 2007 Jkt 211001 the order as meeting the requirements of an intermarket sweep order in Regulation NMS Rule 600(b)(30); 11 Phlx Rule 185(c)(3), regarding IOC Cross Orders marked Benchmark or Qualified Contingent Trade; 12 Phlx Rule 185(h), regarding the ‘‘self-help’’ exemption to Rule 611; and Phlx Rule 186, Locking or Crossing Quotations in NMS Stocks. The Exchange also clarifies that the use of the term ‘‘Trading Phase Date’’ in Phlx Rule 185A means the Trading Phase Date, currently March 5, 2007, not February 5, 2007. Finally, the XLE Approval Order noted that the certain features of XLE would be rolled out in three phases. Phases 1 and 2, concerning two-sided orders and ‘‘Do Not Route’’ orders, are completed. Phase 3, routing functionally, is currently being rolled out and is scheduled to be completed before March 5, 2007. 2. Statutory Basis The Exchange believes that its proposal is consistent with Section 6(b) of the Act 13 in general, and furthers the objectives of Section 6(b)(5) of the Act 14 in particular, in that it is designed to promote just and equitable principles of trade, 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 by clarifying the effect on Phlx Rules of the recent extension of the Trading Phase Date of Regulation NMS from February 5, 2007 until March 5, 2007. 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 No written comments were solicited or received by the Exchange. 11 See supra note 10. notes, however, IOC Cross Orders marked Benchmark or Qualified Contingent Trade for Nasdaq securities currently are effective pursuant to Phlx Rule 185A(c) and (d). See Securities Exchange Act Release No. 55044 (January 5, 2007), 72 FR 1361 (January 11, 2007) (SR–Phlx–2006–92). In addition, Phlx may file additional proposed rule change(s) regarding IOC Cross Orders marked Benchmark or Qualified Contingent Trade for nonNasdaq securities before March 5, 2007. 13 15 U.S.C. 78f(b). 14 15 U.S.C. 78f(b)(5). 12 Phlx PO 00000 Frm 00046 Fmt 4703 Sfmt 4703 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, provided that the Exchange has given the Commission written notice of its intent to file 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 proposed rule change has become effective pursuant to Section 19(b)(3)(A) of the Act 15 and Rule 19b–4(f)(6) thereunder.16 As required under Rule 19b–4(f)(6)(iii) under the Act,17 Phlx provided the Commission with written notice of its intent to file the proposed rule change, along with a brief description and text of the proposed rule change, prior to the date of the filing of the proposed rule change. A proposed rule change filed under Rule 19b–4(f)(6) under the Act 18 normally may not become operative prior to 30 days after the date of filing. However, Rule 19b–4(f)(6)(iii) under the Act 19 permits the Commission to designate a shorter time if such action is consistent with the protection of investors and the public interest. 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 waiver of the 30-day operative delay is consistent with the protection of investors and the public interest because the proposed rule change clarifies the effect on Phlx Rules of the recent extension of the Trading Phase Date of Regulation NMS from February 5, 2007 until March 5, 2007.20 Accordingly, the Commission designates the proposal to be effective and operative upon filing with the Commission. At any time within 60 days of the filing of the proposed rule change, the 15 15 U.S.C. 78s(b)(3)(A). CFR 240.19b–4(f)(6). 17 17 CFR 240.19b–4(f)(6)(iii). 18 17 CFR 240.19b–4(f)(6). 19 17 CFR 240.19b–4(f)(6)(iii). 20 For the purposes only of waiving the operative delay for this proposal, the Commission has considered the proposed rule’s impact on efficiency, competition, and capital formation. 15 U.S.C. 78c(f). 16 17 E:\FR\FM\20FEN1.SGM 20FEN1 Federal Register / Vol. 72, No. 33 / Tuesday, February 20, 2007 / Notices 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.21 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: be submitted on or before March 13, 2007. For the Commission, by the Division of Market Regulation, pursuant to delegated authority.22 Florence E. Harmon, Deputy Secretary. [FR Doc. E7–2843 Filed 2–16–07; 8:45 am] BILLING CODE 8011–01–P SOCIAL SECURITY ADMINISTRATION Agency Information Collection Activities: Proposed Request and Comment Request Electronic Comments The Social Security Administration (SSA) publishes a list of information collection packages that will require clearance by the Office of Management and Budget (OMB) in compliance with P.L. 104–13, the Paperwork Reduction Act of 1995, effective October 1, 1995. The information collection packages that may be included in this notice are Paper Comments for new information collections, approval of existing information • Send paper comments in triplicate collections, revisions to OMB-approved to Nancy M. Morris, Secretary, information collections, and extensions Securities and Exchange Commission, (no change) of OMB-approved 100 F Street, NE., Washington, DC information collections. 20549–1090. SSA is soliciting comments on the All submissions should refer to File accuracy of the agency’s burden Number SR–Phlx–2007–11. This file estimate; the need for the information; number should be included on the its practical utility; ways to enhance its subject line if e-mail is used. To help the quality, utility, and clarity; and on ways Commission process and review your to minimize burden on respondents, comments more efficiently, please use including the use of automated only one method. The Commission will collection techniques or other forms of post all comments on the Commission’s information technology. Written Internet Web site (http://www.sec.gov/ comments and recommendations rules/sro.shtml). Copies of the regarding the information collection(s) submission, all subsequent should be submitted to the OMB Desk amendments, all written statements Officer and the SSA Reports Clearance with respect to the proposed rule Officer. The information can be mailed, change that are filed with the faxed or e-mailed to the individuals at Commission, and all written the addresses and fax numbers listed communications relating to the below: proposed rule change between the (OMB) Office of Management and Commission and any person, other than Budget, Attn: Desk Officer for SSA, Fax: those that may be withheld from the 202–395–6974, E-mail address: public in accordance with the OIRA_Submission@omb.eop.gov. provisions of 5 U.S.C. 552, will be (SSA) Social Security Administration, available for inspection and copying in DCFAM, Attn: Reports Clearance the Commission’s Public Reference Officer, 1333 Annex Building, 6401 Room. Copies of the filing also will be Security Blvd., Baltimore, MD 21235, available for inspection and copying at Fax: 410–965–6400, E-mail address: the principal office of the Phlx. All OPLM.RCO@ssa.gov. comments received will be posted I. The information collections listed without change; the Commission does below are pending at SSA and will be not edit personal identifying submitted to OMB within 60 days from information from submissions. You the date of this notice. Therefore, your should submit only information that comments should be submitted to SSA you wish to make available publicly. All within 60 days from the date of this submissions should refer to File publication. You can obtain copies of Number SR–Phlx–2007–11 and should the collection instruments by calling the hsrobinson on PROD1PC76 with NOTICES • Use the Commission’s Internet comment form (http://www.sec.gov/ rules/sro.shtml); or • Send an e-mail to rulecomments@sec.gov. Please include File Number SR-Phlx-2007–11 on the subject line. 21 See 15 U.S.C. 78s(b)(3)(C). VerDate Aug<31>2005 16:14 Feb 16, 2007 22 17 Jkt 211001 PO 00000 CFR 200.30–3(a)(12). Frm 00047 Fmt 4703 Sfmt 4703 7809 SSA Reports Clearance Officer at 410– 965–0454 or by writing to the address listed above. 1. Application for Benefits under the Italy-U.S. International Social Security Agreement—0960–0445—20 CFR 404.1925. The United States and Italy entered into an agreement on November 1, 1978. Article 19.2 of that agreement provides that an applicant for benefits can file his application with either country. Article 4.3 of the Protocol to the Agreement provides that the country that receives the application will forward agreed upon forms and applications to the other country. Form SSA–2528 is the form agreed upon that is completed by individuals who file an application for U.S. benefits directly with one of the Italian Social Security Agencies. The information collected on Form SSA–2528 is required by SSA in order to determine entitlement to benefits. The respondents are applicants for old-age, survivors or disability benefits, who reside in Italy. Type of Request: Extension of an OMB-approved information collection. Number of Respondents: 200. Frequency of Response: 1. Average Burden Per Response: 20 minutes. Estimated Annual Burden: 67 hours. 2. Social Security Benefits Applications—20 CFR Subpart D, 404.310–404.311 and 20 CFR Subpart F, 404.601–401.603—0960–0618. One of the requirements for obtaining Social Security benefits is the filing of an application so that a determination may be made on the applicant’s eligibility for monthly benefits. In addition to the traditional paper application, SSA has developed various options for the public to add convenience and operational efficiency to the application process. The total estimated number of respondents to all application collections formats is 3,843,369 with a cumulative total of 995,457 burden hours. The respondents are applicants for retirement insurance benefits (RIB), disability insurance benefits (DIB), and/ or spouses’ benefits. Type of Request: Extension of an OMB-approved information collection. Internet Social Security Benefits Application (ISBA) ISBA, which is available through SSA’s Internet site, is one method that an individual can choose to file an application for benefits. Individuals can use ISBA to apply for retirement insurance benefits RIB, DIB and spouse’s insurance benefits based on age. SSA gathers only information relevant to the individual applicant’s circumstances and will use the E:\FR\FM\20FEN1.SGM 20FEN1

Agencies

[Federal Register Volume 72, Number 33 (Tuesday, February 20, 2007)]
[Notices]
[Pages 7807-7809]
From the Federal Register Online via the Government Printing Office [www.gpo.gov]
[FR Doc No: E7-2843]


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SECURITIES AND EXCHANGE COMMISSION

[Release No. 34-55273; File No. SR-Phlx-2007-11]


Self-Regulatory Organizations; Philadelphia Stock Exchange, Inc.; 
Notice of Filing and Immediate Effectiveness of Proposed Rule Change 
Relating to the Trading Phase Date of Regulation NMS

February 12, 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 February 6, 2007, the Philadelphia Stock Exchange, Inc. (``Phlx'' 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 Phlx. 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 rendered the proposal effective upon filing with the Commission. 
The Commission is publishing this notice to solicit comments on the 
proposed rule change from interested persons.
---------------------------------------------------------------------------

    \1\ 15 U.S.C. 78s(b)(1).
    \2\ 17 CFR 240.19b-4.
    \3\ 15 U.S.C. 78s(b)(3)(A).
    \4\ 17 CFR 240.19b-4(f)(6).
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I. Self-Regulatory Organization's Statement of the Terms of Substance 
of the Proposed Rule Change

    The Phlx proposes to clarify the operation of XLE, the Exchange's 
new equity trading system, and various Phlx Rules in light of the 
Commission's extension of the Trading Phase Date of Regulation NMS from 
February 5, 2007 until March 5, 2007.\5\ There is no change to Phlx 
Rule text.
---------------------------------------------------------------------------

    \5\ See Securities Exchange Act Release No. 55160 (January 24, 
2007), 72 FR 4202 (January 30, 2007).
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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 Phlx included statements 
concerning the purpose of and basis for the

[[Page 7808]]

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 Phlx has prepared summaries, 
set forth in Sections A, B, and C below, of the most significant 
aspects of such statements.

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

1. Purpose
    The purpose of the proposed rule change is to clarify the effect on 
XLE and various Phlx Rules of the Commission's extension of the Trading 
Phase Date of Regulation NMS from February 5, 2007 until March 5, 
2007.\6\ The Trading Phase Date is significant to the Exchange because 
that is the ``[f]inal date for full operation of Regulation NMS-
compliant trading systems [by exchanges] that intend to qualify their 
quotations for trade-through protection under Rule 611 [during the 
roll-out of Regulation NMS].'' \7\ The Phlx intends to qualify its 
quotations for trade-through protection under Rule 611 during the roll-
out of Regulation NMS and therefore intends to operate a Regulation 
NMS-compliant trading system no later than the Trading Phase Date.\8\
---------------------------------------------------------------------------

    \6\ Id.
    \7\ Id. at 4203.
    \8\ See Phlx Rule 160.
---------------------------------------------------------------------------

    A number of Phlx Rules or portions of Rules adopted by Phlx in 
connection with XLE were approved with delayed effectiveness by the 
Commission until the Trading Phase Date that was in effect at that 
time, which was February 5, 2007.\9\ With this proposed rule change, 
the Exchange clarifies that the effectiveness of these rules or 
portions of rules is tied to the Trading Phase Date, currently March 5, 
2007, not to February 5, 2007. The Phlx Rules that are affected by this 
clarification include, but are not necessarily limited to the 
following: Phlx Rule 1(cc), Definition of Protected Bid, Offer or 
Quotation; Phlx Rule 185(b)(2)(C), regarding Intermarket Sweep Orders 
(``ISOs''); \10\ Phlx Rule 185(c)(2)(D), regarding IOC Cross Orders 
marked by the XLE Participant entering the order as meeting the 
requirements of an intermarket sweep order in Regulation NMS Rule 
600(b)(30); \11\ Phlx Rule 185(c)(3), regarding IOC Cross Orders marked 
Benchmark or Qualified Contingent Trade; \12\ Phlx Rule 185(h), 
regarding the ``self-help'' exemption to Rule 611; and Phlx Rule 186, 
Locking or Crossing Quotations in NMS Stocks. The Exchange also 
clarifies that the use of the term ``Trading Phase Date'' in Phlx Rule 
185A means the Trading Phase Date, currently March 5, 2007, not 
February 5, 2007.
---------------------------------------------------------------------------

    \9\ See Securities Exchange Act Release No. 54538 (September 28, 
2006), 71 FR 59184 (October 6, 2006) (``XLE Approval Order'').
    \10\ Phlx notes, however, ISOs and IOC Cross Orders marked by 
the XLE Participant entering the order as meeting the requirements 
of an intermarket sweep order in Regulation NMS Rule 600(b)(30) 
currently have a limited effectiveness pursuant to Phlx Rule 
185A(b). See Securities Exchange Act Release Nos. 54788 (November 
20, 2006), 71 FR 68877 (November 28, 2006) (SR-Phlx-2006-77) and 
54760 (November 15, 2006), 71 FR 67687 (November 22, 2006) (SR-Phlx-
2006-76).
    \11\ See supra note 10.
    \12\ Phlx notes, however, IOC Cross Orders marked Benchmark or 
Qualified Contingent Trade for Nasdaq securities currently are 
effective pursuant to Phlx Rule 185A(c) and (d). See Securities 
Exchange Act Release No. 55044 (January 5, 2007), 72 FR 1361 
(January 11, 2007) (SR-Phlx-2006-92). In addition, Phlx may file 
additional proposed rule change(s) regarding IOC Cross Orders marked 
Benchmark or Qualified Contingent Trade for non-Nasdaq securities 
before March 5, 2007.
---------------------------------------------------------------------------

    Finally, the XLE Approval Order noted that the certain features of 
XLE would be rolled out in three phases. Phases 1 and 2, concerning 
two-sided orders and ``Do Not Route'' orders, are completed. Phase 3, 
routing functionally, is currently being rolled out and is scheduled to 
be completed before March 5, 2007.
2. Statutory Basis
    The Exchange believes that its proposal is consistent with Section 
6(b) of the Act \13\ in general, and furthers the objectives of Section 
6(b)(5) of the Act \14\ in particular, in that it is designed to 
promote just and equitable principles of trade, 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 by clarifying the effect on Phlx Rules of the recent extension 
of the Trading Phase Date of Regulation NMS from February 5, 2007 until 
March 5, 2007.
---------------------------------------------------------------------------

    \13\ 15 U.S.C. 78f(b).
    \14\ 15 U.S.C. 78f(b)(5).
---------------------------------------------------------------------------

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

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

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

    No written comments were solicited or received by the Exchange.

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, provided that the 
Exchange has given the Commission written notice of its intent to file 
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 proposed rule change has become 
effective pursuant to Section 19(b)(3)(A) of the Act \15\ and Rule 19b-
4(f)(6) thereunder.\16\ As required under Rule 19b-4(f)(6)(iii) under 
the Act,\17\ Phlx provided the Commission with written notice of its 
intent to file the proposed rule change, along with a brief description 
and text of the proposed rule change, prior to the date of the filing 
of the proposed rule change.
---------------------------------------------------------------------------

    \15\ 15 U.S.C. 78s(b)(3)(A).
    \16\ 17 CFR 240.19b-4(f)(6).
    \17\ 17 CFR 240.19b-4(f)(6)(iii).
---------------------------------------------------------------------------

    A proposed rule change filed under Rule 19b-4(f)(6) under the Act 
\18\ normally may not become operative prior to 30 days after the date 
of filing. However, Rule 19b-4(f)(6)(iii) under the Act \19\ permits 
the Commission to designate a shorter time if such action is consistent 
with the protection of investors and the public interest. 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 waiver of the 30-day operative delay is 
consistent with the protection of investors and the public interest 
because the proposed rule change clarifies the effect on Phlx Rules of 
the recent extension of the Trading Phase Date of Regulation NMS from 
February 5, 2007 until March 5, 2007.\20\ Accordingly, the Commission 
designates the proposal to be effective and operative upon filing with 
the Commission.
---------------------------------------------------------------------------

    \18\ 17 CFR 240.19b-4(f)(6).
    \19\ 17 CFR 240.19b-4(f)(6)(iii).
    \20\ For the purposes only of waiving the operative delay for 
this proposal, the Commission has considered the proposed rule's 
impact on efficiency, competition, and capital formation. 15 U.S.C. 
78c(f).
---------------------------------------------------------------------------

    At any time within 60 days of the filing of the proposed rule 
change, the

[[Page 7809]]

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.\21\
---------------------------------------------------------------------------

    \21\ See 15 U.S.C. 78s(b)(3)(C).
---------------------------------------------------------------------------

IV. Solicitation of Comments

    Interested persons are invited to submit written data, views, and 
arguments concerning the foregoing, including whether the proposed rule 
change is consistent with the Act. Comments may be submitted by any of 
the following methods:

Electronic Comments

     Use the Commission's Internet comment form (http://
www.sec.gov/rules/sro.shtml); or
     Send an e-mail to rule-comments@sec.gov. Please include 
File Number SR-Phlx-2007-11 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-Phlx-2007-11. 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 the filing 
also will be available for inspection and copying at the principal 
office of the Phlx. 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-Phlx-2007-11 and should be submitted on or before March 13, 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. E7-2843 Filed 2-16-07; 8:45 am]
BILLING CODE 8011-01-P