Self-Regulatory Organizations; The NASDAQ Stock Market LLC; Notice of Filing and Immediate Effectiveness of Proposed Rule Change Regarding Technical and Conforming Changes to Nasdaq's 7000 Series Rules, 9805-9807 [E7-3751]

Download as PDF erjones on PRODPC74 with NOTICES Federal Register / Vol. 72, No. 42 / Monday, March 5, 2007 / Notices governing the trading of equity securities. The Commission further believes that the proposal is consistent with Section 11A(a)(1)(C)(iii) of the Act,25 which sets forth Congress’ finding that it is in the public interest and appropriate for the protection of investors and the maintenance of fair and orderly markets to assure the availability to brokers, dealers, and investors of information with respect to quotations for and transactions in securities. Quotations for and last sale information regarding the Shares are disseminated through the facilities of the CTA and the Consolidated Quotation System. Furthermore, the IIV, updated to reflect changes in currency exchange rates, is calculated by Amex and published via the facilities of the Consolidated Tape Association on a 15-second delayed basis throughout the Exchange’s Core Trading Session. In addition, if the listing market halts trading when the IIV is not being calculated or disseminated, the Exchange would halt trading in the Shares. The Commission notes that, if the Shares should be delisted by the listing exchange, the Exchange would no longer have authority to trade the Shares pursuant to this order. In support of this proposal, the Exchange has made the following representations: 1. The Exchange’s surveillance procedures are adequate to properly monitor Exchange trading of the Shares in all trading sessions and to deter and detect violations of Exchange rules. 2. Prior to the commencement of trading, the Exchange would inform its members in an Information Bulletin of the special characteristics and risks associated with trading the Shares. 3. Prior to the commencement of trading, the Exchange would inform its members in an Information Bulletin the requirement that members deliver a prospectus to investors purchasing newly issued Shares prior to or concurrently with the confirmation of a transaction. This approval order is conditioned on the Exchange’s adherence to these representations. The Commission finds good cause for approving this proposal before the thirtieth day after the publication of notice thereof in the Federal Register. As noted previously, the Commission previously found that the listing and trading of the Shares on Amex and the trading of the Shares on NYSE Area pursuant to UTP are consistent with the 25 15 U.S.C. 78k–1(a)(1)(C)(iii). VerDate Aug<31>2005 15:17 Mar 02, 2007 Jkt 211001 Act. The Commission presently is not aware of any regulatory issue that should cause it to revisit those findings or would preclude the trading of the Shares on the Exchange pursuant to UTP. Therefore, accelerating approval of this proposal should benefit investors by creating, without undue delay, additional competition in the market for the Shares. V. Conclusion It is therefore ordered, pursuant to Section 19(b)(2) of the Act,26 that the proposed rule change (SR–NASDAQ– 2007–011), be and it hereby is, approved on an accelerated basis. For the Commission, by the Division of Market Regulation, pursuant to delegated authority.27 Florence E. Harmon, Deputy Secretary. [FR Doc. E7–3749 Filed 3–2–07; 8:45 am] BILLING CODE 8010–01–P SECURITIES AND EXCHANGE COMMISSION [Release No. 34–55355; File No. SR– NASDAQ–2007–007] Self-Regulatory Organizations; The NASDAQ Stock Market LLC; Notice of Filing and Immediate Effectiveness of Proposed Rule Change Regarding Technical and Conforming Changes to Nasdaq’s 7000 Series Rules February 26, 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 9, 2007, The NASDAQ Stock Market LLC (‘‘Nasdaq’’) filed with the Securities and Exchange Commission (‘‘Commission’’) the proposed rule change as described in Items I and II below, which Items have been substantially prepared by Nasdaq. Nasdaq has designated this proposal as non-controversial under Section 19(b)(3)(A)(iii) of the Act 3 and Rule 19b–4(f)(6) thereunder,4 which renders the proposed rule change effective upon filing with the Commission. The Commission is publishing this notice to solicit comments on the proposed rule change from interested persons. 26 15 U.S.C. 78s(b)(2). CFR 200.30–3(a)(12). 1 15 U.S.C. 78s(b)(1). 2 17 CFR 240.19b–4. 3 15 U.S.C. 78s(b)(3)(A)(iii). 4 17 CFR 240.19b–4(f)(6). 27 17 PO 00000 Frm 00081 Fmt 4703 Sfmt 4703 9805 I. Self-Regulatory Organization’s Statement of the Terms of Substance of the Proposed Rule Change Nasdaq proposes to reflect in the Rule 7000 Series of Nasdaq’s rules certain changes made to the Rule 7000 Series of the rules of the National Association of Securities Dealers, Inc. (‘‘NASD’’) in recent months with respect to systems operated by Nasdaq and its affiliates under NASD rules, and to make other conforming changes to reflect Nasdaq commencing operations as an exchange for trading non-Nasdaq listed securities on February 12, 2007. Nasdaq proposed to implement the proposed rule change on February 12, 2007. The text of the proposed rule change is below. Proposed new language is in italics; proposed deletions are in brackets. 7013. Consolidated Quotation Service and Exchange-Listed Securities Transaction Credit. (a) No change. (b) Nasdaq members that trade securities listed on the NYSE (‘‘Tape A’’) and Amex (‘‘Tape B’’) through Nasdaq may receive from Nasdaq transaction credits based on the number of transactions attributed to them. A transaction is attributed to a member if the transaction is executed through [CAES, ITS or Nasdaq’s Brut Facility] the Nasdaq Market Center, and the member acts as liquidity provider (i.e., the member sells in response to a buy order or buys in response to a sell order). A Nasdaq member may earn credits from one or both pools maintained by Nasdaq, each pool representing 50% of the revenue paid by the Consolidated Tape Association to Nasdaq for each of Tape A and Tape B transactions after deducting the amount that Nasdaq pays to the Consolidated Tape Association for capacity usage. A Nasdaq member may earn credits from the pools according to the member’s pro rata share of transactions attributed to Nasdaq members in each of Tape A and Tape B for each calendar quarter. Liquidity providers executing transactions in Tape B securities through the Nasdaq Market Center will receive credits with respect to such transactions on an estimated monthly basis; all other credits under this rule will be paid on a quarterly basis. 7014. [Computer Assisted Execution Service] Nasdaq Market Center for Non-Nasdaq Securities. The charges to be paid by members [receiving the Computer Assisted Execution Service (CAES)] using the Nasdaq Market Center for trading non- E:\FR\FM\05MRN1.SGM 05MRN1 9806 Federal Register / Vol. 72, No. 42 / Monday, March 5, 2007 / Notices Nasdaq exchange-listed securities through the Nasdaq Market Center shall consist of a fixed service charge of $200 per member per month, transaction charges as provided in Nasdaq Rule 7018 and equipment-related charges as provided elsewhere in the Rule 7000 Series. Nasdaq Workstation Trader ..................................................................... Nasdaq Workstation Post Trade .............................................................. * (e)–(g) No change. * * * * II. Self-Regulatory Organization’s Statement of the Purpose of, and Statutory Basis for, the Proposed Rule Change In its filing with the Commission, Nasdaq 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. Nasdaq 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 Nasdaq is modifying its 7000 Series Rules to reflect certain changes made to the Rule 7000 Series of the rules of the NASD in recent months with respect to systems operated by Nasdaq and its affiliates under NASD rules, and to make other conforming changes to reflect Nasdaq commencing operations as an exchange for trading non-Nasdaq listed securities on February 12, 2007. Specifically, Nasdaq is: • Amending Nasdaq Rule 7013 to reflect changes to NASD Rule 7010(c)(2) by SR–NASD–2006–067 5 and to update system names to reflect Nasdaq’s operation as an exchange. • Amending Nasdaq Rule 7014 to update system names to reflect Nasdaq’s operation as an exchange. • Amending Nasdaq Rule 7015 to correct a cross-reference in the rule. erjones on PRODPC74 with NOTICES 2. Statutory Basis Nasdaq believes that the proposed rule change is consistent with the provisions of Section 6 of the Act,6 in general, and with Sections 6(b)(4) and (5) of the Act,7 in particular, in that the proposal provides for the equitable allocation of reasonable dues, fees and 5 Securities Exchange Act Release No. 54015 (June 19, 2006), 71 FR 36369 (June 26, 2006) (SR– NASD–2006–067). 6 15 U.S.C. 78f. 7 15 U.S.C. 78f(b)(4) and (5). VerDate Aug<31>2005 15:17 Mar 02, 2007 Jkt 211001 B. Self-Regulatory Organization’s Statement on Burden on Competition Nasdaq does not believe that the proposed rule change will result in 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 were neither solicited nor received. III. Date of Effectiveness of the Proposed Rule Change and Timing for Commission Action Because the foregoing proposed rule change (i) Does not significantly affect the protection of investors or the public interest; (ii) does not impose any significant burden on competition; and (iii) 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, it has become effective pursuant to Section 19(b)(3)(A) of the Act 8 and subparagraph (f)(6)(iii) of Rule 19b–4 thereunder.9 A proposed rule change filed under Rule 19b–4(f)(6) normally does not become operative for 30 days after the date of filing. However, Rule 19b– 4(f)(6)(iii) permits the Commission to waive the operative delay if such action is consistent with the protection of 9 17 PO 00000 U.S.C. 78s(b)(3)(A). CFR 240.19b–4(f)(6)(iii). Frm 00082 Fmt 4703 (a)–(c) No change. (d) New Nasdaq Workstation. $475 per user per month (including data entitlement package). See Rule 7015[(d)](e). other charges among members and issuers and other persons using any facility or system which Nasdaq operates or controls, and 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. 8 15 7015. Access Services. Sfmt 4703 investors and the public interest. Nasdaq has requested that the Commission waive the five-day notice requirement and 30-day operative delay and designate the proposed rule change immediately operative. The Commission is exercising its authority to waive the five-day notice requirement and believes that waiver of the 30-day operative delay is consistent with the protection of investors and the public interest. The Commission notes that the rule changes proposed herein are intended to conform to changes which have either recently been made effective as changes to NASD rules or are merely technical in nature. Thus, Nasdaq’s proposal raises no new issues of regulatory concern. Moreover, waiving the operative delay will allow Nasdaq to implement the changes immediately in conjunction with Nasdaq beginning to operate as a national securities exchange for trading non-Nasdaq securities. Therefore, the Commission has determined to waive both the five-day notice requirement and the 30-day delay and allow the proposed rule change to become operative upon filing.10 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 (http://www.sec.gov/ rules/sro.shtml); or • Send an e-mail to rulecomments@sec.gov. Please include File 10 For purposes only of waiving the operative delay of this proposal, the Commission notes that it has considered the proposed rule’s impact on efficiency, competition, and capital formation. 15 U.S.C. 78c(f). E:\FR\FM\05MRN1.SGM 05MRN1 Federal Register / Vol. 72, No. 42 / Monday, March 5, 2007 / Notices No. SR–NASDAQ–2007–007 on the subject line. SECURITIES AND EXCHANGE COMMISSION Paper Comments • Send paper comments in triplicate to Nancy M. Morris, Secretary, Securities and Exchange Commission, 100 F Street, NE., Washington, DC 20549–1090. [Release No. 34–55346; File No. SR–NASD– 2007–014] erjones on PRODPC74 with NOTICES Self-Regulatory Organizations; National Association of Securities Dealers, Inc.; Notice of Filing and Immediate Effectiveness of Proposed All submissions should refer to File Rule Change To Make Conforming Changes to the Rules Relating to the Number SR–NASDAQ–2007–007. This NASD/NSX TRF, NASD/BSE TRF, and file number should be included on the subject line if e-mail is used. To help the NASD/NYSE TRF Consistent With the New Requirements of Regulation NMS Commission process and review your comments more efficiently, please use February 26, 2007. only one method. The Commission will Pursuant to Section 19(b)(1) of the post all comments on the Commissions Securities Exchange Act of 1934 Internet Web site (http://www.sec.gov/ (‘‘Act’’) 1 and Rule 19b–4 thereunder,2 rules/sro.shtml). Copies of the notice is hereby given that on February submission, all subsequent 12, 2007, the National Association of amendments, all written statements Securities Dealers, Inc. (‘‘NASD’’) filed with respect to the proposed rule with the Securities and Exchange change that are filed with the Commission (‘‘Commission’’) the Commission, and all written proposed rule change as described in communications relating to the Items I, II, and III below, which Items proposed rule change between the have been substantially prepared by Commission and any person, other than NASD. NASD has filed the proposal as those that may be withheld from the a ‘‘non-controversial’’ rule change public in accordance with the pursuant to Section 19(b)(3)(A) of the provisions of 5 U.S.C. 552, will be Act 3 and Rule 19b–4(f)(6) thereunder,4 available for inspection and copying in which renders it effective upon filing with the Commission. The Commission the Commission’s Public Reference Room. Copies of such filing also will be is publishing this notice to solicit comments on the proposed rule change available for inspection and copying at the principal office of the Exchange. All from interested persons. comments received will be posted I. Self-Regulatory Organization’s without change; the Commission does Statement of the Terms of Substance of not edit personal identifying the Proposed Rule Change information from submissions. You NASD proposes (1) amendments to should submit only information that the transaction reporting rules relating you wish to make available publicly. All to the NASD/NSX Trade Reporting submissions should refer to File Facility (‘‘NASD/NSX TRF’’), the Number SR-NASDAQ–2007–007 and NASD/BSE Trade Reporting Facility should be submitted on or before March (‘‘NASD/BSE TRF’’), and the NASD/ 26, 2007. NYSE Trade Reporting Facility (‘‘NASD/ For the Commission, by the Division of NYSE TRF’’) (collectively referred to Market Regulation, pursuant to delegated herein as the ‘‘Subject TRFs’’) consistent authority.11 with the new requirements of Regulation NMS under the Act;5 and (2) Florence E. Harmon, technical amendments to conform, to Deputy Secretary. the extent practicable, the reporting [FR Doc. E7–3751 Filed 3–2–07; 8:45 am] rules of the Subject TRFs to the BILLING CODE 8010–01–P reporting rules of the NASD/Nasdaq Trade Reporting Facility (‘‘NASD/ Nasdaq TRF’’) and NASD’s Alternative Display Facility (‘‘ADF’’). The text of the proposed rule change is available at NASD, the Commission’s Public 1 15 U.S.C. 78s(b)(1). CFR 240.19b–4. 3 15 U.S.C. 78s(b)(3)(A). 4 17 CFR 240.19b–4(f)(6). 5 See Securities Exchange Act Release No. 51808 (June 9, 2005), 70 FR 37496 (June 29, 2005) (‘‘Regulation NMS Adopting Release’’). 2 17 11 17 CFR 200.30–3(a)(12). VerDate Aug<31>2005 15:17 Mar 02, 2007 Jkt 211001 PO 00000 Frm 00083 Fmt 4703 Sfmt 4703 9807 Reference Room, and http:// www.nasd.com. II. Self-Regulatory Organization’s Statement of the Purpose of, and Statutory Basis for, the Proposed Rule Change In its filing with the Commission, NASD 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. NASD 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 Background On June 29, 2005, the Commission published its release adopting Regulation NMS,6 which established new substantive rules designed to modernize and strengthen the regulatory structure of the U.S. equities markets. Pursuant to Regulation NMS, the Commission, among other things, adopted Rule 611 (‘‘Order Protection Rule’’) to establish protection against trade-throughs for NMS stocks.7 In general, the Order Protection Rule requires a trading center (which includes national securities exchanges, self-regulatory organization (‘‘SRO’’) trading facilities, alternative trading systems, OTC market makers, and block positioners) to establish, maintain, and enforce written policies and procedures that are reasonably designed to prevent trade-throughs on that trading center of protected quotations and, if relying on an exception, that are reasonably designed to assure compliance with the terms of the exception. There currently are nine exceptions and two exemptions to the Order Protection Rule.8 In 6 Id. 7 NMS stock is defined in Rule 600(b)(47) of Regulation NMS as ‘‘any NMS security other than an option.’’ Rule 600(b)(46) of Regulation NMS defines NMS security as ‘‘any security or class of securities for which transaction reports are collected, processed, and made available pursuant to an effective transaction reporting plan, or an effective national market system plan for reporting transactions in listed options.’’ 8 See 17 CFR 242.611; Securities Exchange Act Release Nos. 54389 (August 31, 2006), 71 FR 52829 (September 7, 2006) (Order Granting an Exemption for Qualified Contingent Trades from Rule 611(a) of Regulation NMS) and 54678 (October 31, 2006), 71 FR 65018 (November 6, 2006) (Order Exempting Certain Sub-Penny Trade-Throughs from Rule 611 of Regulation NMS). E:\FR\FM\05MRN1.SGM 05MRN1

Agencies

[Federal Register Volume 72, Number 42 (Monday, March 5, 2007)]
[Notices]
[Pages 9805-9807]
From the Federal Register Online via the Government Printing Office [www.gpo.gov]
[FR Doc No: E7-3751]


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SECURITIES AND EXCHANGE COMMISSION

[Release No. 34-55355; File No. SR-NASDAQ-2007-007]


Self-Regulatory Organizations; The NASDAQ Stock Market LLC; 
Notice of Filing and Immediate Effectiveness of Proposed Rule Change 
Regarding Technical and Conforming Changes to Nasdaq's 7000 Series 
Rules

February 26, 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 9, 2007, The NASDAQ Stock Market LLC (``Nasdaq'') filed 
with the Securities and Exchange Commission (``Commission'') the 
proposed rule change as described in Items I and II below, which Items 
have been substantially prepared by Nasdaq. Nasdaq has designated this 
proposal as non-controversial under Section 19(b)(3)(A)(iii) of the Act 
\3\ and Rule 19b-4(f)(6) thereunder,\4\ which renders the proposed rule 
change 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)(iii).
    \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

    Nasdaq proposes to reflect in the Rule 7000 Series of Nasdaq's 
rules certain changes made to the Rule 7000 Series of the rules of the 
National Association of Securities Dealers, Inc. (``NASD'') in recent 
months with respect to systems operated by Nasdaq and its affiliates 
under NASD rules, and to make other conforming changes to reflect 
Nasdaq commencing operations as an exchange for trading non-Nasdaq 
listed securities on February 12, 2007. Nasdaq proposed to implement 
the proposed rule change on February 12, 2007.
    The text of the proposed rule change is below. Proposed new 
language is in italics; proposed deletions are in brackets.

7013. Consolidated Quotation Service and Exchange-Listed Securities 
Transaction Credit.

    (a) No change.
    (b) Nasdaq members that trade securities listed on the NYSE (``Tape 
A'') and Amex (``Tape B'') through Nasdaq may receive from Nasdaq 
transaction credits based on the number of transactions attributed to 
them. A transaction is attributed to a member if the transaction is 
executed through [CAES, ITS or Nasdaq's Brut Facility] the Nasdaq 
Market Center, and the member acts as liquidity provider (i.e., the 
member sells in response to a buy order or buys in response to a sell 
order). A Nasdaq member may earn credits from one or both pools 
maintained by Nasdaq, each pool representing 50% of the revenue paid by 
the Consolidated Tape Association to Nasdaq for each of Tape A and Tape 
B transactions after deducting the amount that Nasdaq pays to the 
Consolidated Tape Association for capacity usage. A Nasdaq member may 
earn credits from the pools according to the member's pro rata share of 
transactions attributed to Nasdaq members in each of Tape A and Tape B 
for each calendar quarter. Liquidity providers executing transactions 
in Tape B securities through the Nasdaq Market Center will receive 
credits with respect to such transactions on an estimated monthly 
basis; all other credits under this rule will be paid on a quarterly 
basis. 

7014. [Computer Assisted Execution Service] Nasdaq Market Center for 
Non-Nasdaq Securities.

    The charges to be paid by members [receiving the Computer Assisted 
Execution Service (CAES)] using the Nasdaq Market Center for trading 
non-

[[Page 9806]]

Nasdaq exchange-listed securities through the Nasdaq Market Center 
shall consist of a fixed service charge of $200 per member per month, 
transaction charges as provided in Nasdaq Rule 7018 and equipment-
related charges as provided elsewhere in the Rule 7000 Series.

7015. Access Services.

    (a)-(c) No change.
    (d) New Nasdaq Workstation.

------------------------------------------------------------------------
 
------------------------------------------------------------------------
Nasdaq Workstation Trader..............  $475 per user per month
                                          (including data entitlement
                                          package).
Nasdaq Workstation Post Trade..........  See Rule 7015[(d)](e).
------------------------------------------------------------------------

    (e)-(g) No change.
* * * * *

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

    In its filing with the Commission, Nasdaq 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. Nasdaq 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
    Nasdaq is modifying its 7000 Series Rules to reflect certain 
changes made to the Rule 7000 Series of the rules of the NASD in recent 
months with respect to systems operated by Nasdaq and its affiliates 
under NASD rules, and to make other conforming changes to reflect 
Nasdaq commencing operations as an exchange for trading non-Nasdaq 
listed securities on February 12, 2007.
    Specifically, Nasdaq is:
     Amending Nasdaq Rule 7013 to reflect changes to NASD Rule 
7010(c)(2) by SR-NASD-2006-067 \5\ and to update system names to 
reflect Nasdaq's operation as an exchange.
---------------------------------------------------------------------------

    \5\ Securities Exchange Act Release No. 54015 (June 19, 2006), 
71 FR 36369 (June 26, 2006) (SR-NASD-2006-067).
---------------------------------------------------------------------------

     Amending Nasdaq Rule 7014 to update system names to 
reflect Nasdaq's operation as an exchange.
     Amending Nasdaq Rule 7015 to correct a cross-reference in 
the rule.
2. Statutory Basis
    Nasdaq believes that the proposed rule change is consistent with 
the provisions of Section 6 of the Act,\6\ in general, and with 
Sections 6(b)(4) and (5) of the Act,\7\ in particular, in that the 
proposal provides for the equitable allocation of reasonable dues, fees 
and other charges among members and issuers and other persons using any 
facility or system which Nasdaq operates or controls, and 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.
---------------------------------------------------------------------------

    \6\ 15 U.S.C. 78f.
    \7\ 15 U.S.C. 78f(b)(4) and (5).
---------------------------------------------------------------------------

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

    Nasdaq does not believe that the proposed rule change will result 
in 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 were neither solicited nor received.

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

    Because the foregoing proposed rule change (i) Does not 
significantly affect the protection of investors or the public 
interest; (ii) does not impose any significant burden on competition; 
and (iii) 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, it 
has become effective pursuant to Section 19(b)(3)(A) of the Act \8\ and 
subparagraph (f)(6)(iii) of Rule 19b-4 thereunder.\9\
---------------------------------------------------------------------------

    \8\ 15 U.S.C. 78s(b)(3)(A).
    \9\ 17 CFR 240.19b-4(f)(6)(iii).
---------------------------------------------------------------------------

    A proposed rule change filed under Rule 19b-4(f)(6) normally does 
not become operative for 30 days after the date of filing. However, 
Rule 19b-4(f)(6)(iii) permits the Commission to waive the operative 
delay if such action is consistent with the protection of investors and 
the public interest. Nasdaq has requested that the Commission waive the 
five-day notice requirement and 30-day operative delay and designate 
the proposed rule change immediately operative.
    The Commission is exercising its authority to waive the five-day 
notice requirement and believes that waiver of the 30-day operative 
delay is consistent with the protection of investors and the public 
interest. The Commission notes that the rule changes proposed herein 
are intended to conform to changes which have either recently been made 
effective as changes to NASD rules or are merely technical in nature. 
Thus, Nasdaq's proposal raises no new issues of regulatory concern. 
Moreover, waiving the operative delay will allow Nasdaq to implement 
the changes immediately in conjunction with Nasdaq beginning to operate 
as a national securities exchange for trading non-Nasdaq securities. 
Therefore, the Commission has determined to waive both the five-day 
notice requirement and the 30-day delay and allow the proposed rule 
change to become operative upon filing.\10\
---------------------------------------------------------------------------

    \10\ For purposes only of waiving the operative delay of this 
proposal, the Commission notes that it 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 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 (http://
www.sec.gov/rules/sro.shtml); or
     Send an e-mail to rule-comments@sec.gov. Please include 
File

[[Page 9807]]

No. SR-NASDAQ-2007-007 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-NASDAQ-2007-007. 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 Commissions Internet Web site (http://www.sec.gov/
rules/sro.shtml). Copies of the submission, all subsequent amendments, 
all written statements with respect to the proposed rule change that 
are filed with the Commission, and all written communications relating 
to the proposed rule change between the Commission and any person, 
other than those that may be withheld from the public in accordance 
with the provisions of 5 U.S.C. 552, will be available for inspection 
and copying in the Commission's Public Reference Room. Copies of such 
filing also will be available for inspection and copying at the 
principal office of the Exchange. All comments received will be posted 
without change; the Commission does not edit personal identifying 
information from submissions. You should submit only information that 
you wish to make available publicly. All submissions should refer to 
File Number SR-NASDAQ-2007-007 and should be submitted on or before 
March 26, 2007.

    For the Commission, by the Division of Market Regulation, 
pursuant to delegated authority.\11\
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    \11\ 17 CFR 200.30-3(a)(12).
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Florence E. Harmon,
Deputy Secretary.
 [FR Doc. E7-3751 Filed 3-2-07; 8:45 am]
BILLING CODE 8010-01-P