Self-Regulatory Organizations; Philadelphia Stock Exchange, Inc.; Notice of Filing and Immediate Effectiveness of Proposed Rule Change as Modified by Amendment No. 1 Thereto Relating to the Extension of a Pilot Program to Quote and Trade Options in Penny Increments, 42216-42218 [E7-14844]
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jlentini on PROD1PC65 with NOTICES
42216
Federal Register / Vol. 72, No. 147 / Wednesday, August 1, 2007 / Notices
based on such currency. In addition,
NYSE Arca Equities Rule 8.202(g)
prohibits an ETP Holder acting as a
registered Market Maker in the Shares
from being affiliated with a market
maker in the applicable foreign
currency, options, futures or options on
futures on such currency, or any other
derivatives based on such currency,
unless adequate information barriers are
in place, as provided in NYSE Arca
Equities Rule 7.26.
The Commission also believes that the
Exchange’s trading halt rules are
reasonably designed to prevent trading
in the Shares when transparency is
impaired. NYSE Arca Equities Rule
8.202(e)(2) provides that, when the
Exchange is the listing market, if the
value of the underlying foreign currency
or IIV is no longer calculated or
available on at least a 15-second delayed
basis, the Exchange would consider
suspending trading in the Shares.37
NYSE Arca Equities Rule 8.202(e)(2)
also provides that the Exchange may
seek to delist the Shares in the event the
value of the applicable foreign currency
or IIV is no longer calculated or
available as required.
The Commission further believes that
the trading rules and procedures to
which the Shares will be subject
pursuant to this proposal are consistent
with the Act. The Exchange has
represented that any securities listed
pursuant to this proposal will be
deemed equity securities, and subject to
existing Exchange rules governing the
trading of equity securities.
In support of this proposal, the
Exchange has made the following
representations:
(1) The Exchange represents that it
intends to utilize its existing
surveillance procedures applicable to
derivative products to monitor trading
in the Shares and that such procedures
are adequate to properly monitor
Exchange trading of the Shares in all
trading sessions and to deter and detect
violations of Exchange rules. The
Exchange may obtain information via
ISG from other exchanges who are
members or affiliates of ISG.
Specifically, the Exchange can obtain
such information from Phlx in
connection with foreign currency
options trading on Phlx and from CME
in connection with foreign currency
futures trading on CME.
(2) The Exchange represents that if the
interruption to the calculation or wide
dissemination of the value of the
underlying foreign currency or IIV
persists past the trading day in which it
occurred, the Exchange would halt
37 See
trading no later than the beginning of
the trading day following the
interruption.
(3) Prior to listing and trading the
Shares, the Exchange represents that it
will inform its ETP Holders in the
Bulletin of the special characteristics
and risks associated with trading the
Shares.
This approval order is based on the
Exchange’s 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 above, the Commission
previously approved the original listing
and trading of the Shares on NYSE and
the trading of the Shares pursuant to
UTP on the Exchange.38 The
Commission presently is not aware of
any regulatory issue that should cause it
to revisit those findings or would
preclude the listing and trading of the
Shares on the Exchange. Accelerating
approval of this proposed rule change
would allow the Shares to be listed on
the Exchange without undue delay and
continuously traded without
interruption, to the benefit of investors.
V. Conclusion
It is therefore ordered, pursuant to
section 19(b)(2) of the Act,39 that the
proposed rule change (SR–NYSEArca–
2007–57) be, and it hereby is, approved
on an accelerated basis.
For the Commission, by the Division of
Market Regulation, pursuant to delegated
authority.40
Florence E. Harmon,
Deputy Secretary.
[FR Doc. E7–14836 Filed 7–31–07; 8:45 am]
BILLING CODE 8010–01–P
SECURITIES AND EXCHANGE
COMMISSION
[Release No. 34–56141; File No. SR-Phlx2007–53]
Self-Regulatory Organizations;
Philadelphia Stock Exchange, Inc.;
Notice of Filing and Immediate
Effectiveness of Proposed Rule
Change as Modified by Amendment
No. 1 Thereto Relating to the Extension
of a Pilot Program to Quote and Trade
Options in Penny Increments
July 24, 2007.
Pursuant to section 19(b)(1) of the
Securities Exchange Act of 1934
supra note 22.
VerDate Aug<31>2005
20:12 Jul 31, 2007
Jkt 211001
PO 00000
(‘‘Act’’),1 and Rule 19b–4 thereunder,2
notice is hereby given that on July 24,
2007, the Philadelphia Stock Exchange,
Inc. (‘‘Phlx’’ or ‘‘Exchange’’) filed with
the Securities and Exchange
Commission (‘‘Commission’’) the
proposed rule change asescribed in
Items I and II below, which Items have
been substantially prepared by the Phlx.
On July 25, 2007 the Exchange filed
Amendment No. 1 to the proposal. The
Exchange filed the proposal as a ‘‘noncontroversial’’ proposed 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, as amended, from interested
persons.
I. Self-Regulatory Organization’s
Statement of the Terms of Substance of
the Proposed Rule Change
The Exchange proposes to extend a
pilot (the ‘‘Pilot’’) that permits certain
options series to be quoted and traded
in increments of $0.01. The text of the
proposed rule change is available at
Phlx, the Commission’s Public
Reference Room, and https://
www.phlx.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, the
Phlx 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
The purpose of the proposed rule
change is to continue to permit
specified options series to be quoted
and traded in increments of $0.01 by
extending the Pilot through September
27, 2007.
1 15
38 See
supra notes 5 and 6.
39 15 U.S.C. 78s(b)(2).
40 17 CFR 200.30–3(a)(12).
Frm 00175
Fmt 4703
Sfmt 4703
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).
2 17
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Federal Register / Vol. 72, No. 147 / Wednesday, August 1, 2007 / Notices
The Pilot began on January 26, 2007.5
All series in options included in the
Pilot (‘‘Pilot Options,’’ listed below)
trading at a price of less than $3.00 are
currently quoted and traded in
minimum increments of $0.01, and Pilot
Options with a price of $3.00 or higher
are currently quoted and traded in
minimum increments of $0.05, except
that options overlying the Nasdaq-100
Index Tracking Stock (‘‘QQQQ’’) 6 are
quoted and traded in minimum
increments of $0.01 for all series
regardless of the price. A list of all Pilot
Options was communicated to
membership via Exchange circular.
The options included in the Pilot are:
Symbol
Underlying security
IWM ...........................
QQQQ .......................
SMH ..........................
Ishares Russell 2000.
QQQQ.
SemiConductor Holders.
General Electric.
Advanced Micro Devices.
Microsoft.
Intel.
Caterpillar.
Whole Foods.
Texas Instruments.
Agilent Tech Inc.
Flextronics International.
Sun Micro.
GE .............................
AMD ..........................
MSFT ........................
INTC ..........................
CAT ...........................
WFMI .........................
TXN ...........................
A ................................
FLEX .........................
SUNW .......................
Report to the Commission
Phlx Rule 1034(a)(i)(B)(2) required the
Exchange to prepare and submit an
analytical report (‘‘Report’’) to the
Commission that addressed the impact
of the first three months of the Pilot on
the quality of the Exchange’s markets
and option quote traffic and capacity on
or before the last day of the fourth
month of the Pilot. The Exchange
submitted the Report on May 31, 2007,
jlentini on PROD1PC65 with NOTICES
5 See
Securities Exchange Act Release No. 55153
(January 23, 2007), 72 FR 4553 (January 31, 2007)
(SR-Phlx-2006–74). In that filing, the Exchange also
made conforming amendments to various Exchange
rules in order to be consistent with the pilot. These
conforming changes were also approved on a sixmonth pilot basis. Therefore, the Exchange is
proposing to extend the effective date for these
rules through September 27, 2007.
6 The Nasdaq-100, Nasdaq-100 Index, Nasdaq,
The Nasdaq Stock Market, Nasdaq-100 SharesSM,
Nasdaq-100 TrustSM, Nasdaq-100 Index Tracking
StockSM, and QQQSM are trademarks or service
marks of The Nasdaq Stock Market, Inc. (Nasdaq)
and have been licensed for use for certain purposes
by the Philadelphia Stock Exchange pursuant to a
License Agreement with Nasdaq. The Nasdaq-100
Index (the Index) is determined, composed, and
calculated by Nasdaq without regard to the
Licensee, the Nasdaq-100 TrustSM, or the beneficial
owners of Nasdaq-100 SharesSM. Nasdaq has
complete control and sole discretion in
determining, comprising, or calculating the Index or
in modifying in any way its method for
determining, comprising, or calculating the Index in
the future.
VerDate Aug<31>2005
20:12 Jul 31, 2007
Jkt 211001
within the timeframe specified in the
rule. The Exchange proposes to delete
Phlx Rule 1034(a)(i)(B)(2) because it is
no longer applicable, and to make a
technical numbering change to the rule.
The Exchange anticipates that it will
submit further reports as the Pilot
continues. The Exchange will amend its
rules accordingly.
2. Statutory Basis
The Exchange believes that its
proposal is consistent with section 6(b)
of the Act 7 in general, and furthers the
objectives of section 6(b)(5) of the Act 8
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.
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 by the Exchange.
III. Date of Effectiveness of the
Proposed Rule Change and Timing for
Commission Action
The proposed rule change has become
effective pursuant to section 19(b)(3)(A)
of the Act 9 and Rule 19b–4(f)(6)
thereunder,10 because the foregoing
proposed rule does not: (i) Significantly
affect the protection of investors or the
public interest; (ii) impose any
significant burden on competition; and
(iii) 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.
A proposed rule change filed under
Rule 19b–4(f)(6) normally may not
become operative prior to 30-days after
the date of filing.11 However, Rule 19b–
U.S.C. 78f(b).
U.S.C. 78f(b)(5).
9 15 U.S.C. 78s(b)(3)(A).
10 17 CFR 240.19b–4(f)(6).
11 17 CFR 240.19b–4(f)(6)(iii). In addition, Rule
19b–4(f)(6)(iii) requires the self-regulatory
organization to give the Commission 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
PO 00000
7 15
8 15
Frm 00176
Fmt 4703
Sfmt 4703
42217
4(f)(6)(iii) permits the Commission to
designate a shorter time if such action
is consistent with the protection of
investors and the public interest.12 The
Exchange has requested that the
Commission waive the 5-day notice
requirement and the 30-day operative
delay. The Commission believes that
waiving the 5-day notice requirement
and the 30-day operative delay is
consistent with the protection of
investors and the public interest
because such waiver will ensure
continuity of the Exchange’s rules and
will allow the Pilot to remain in effect
without interruption. For these reasons,
the Commission designates the proposal
to be operative upon filing with the
Commission.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
interest, for the protection of investors,
or otherwise in furtherance of the
purposes of the Act.14
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 rulecomments@sec.gov. Please include File
Number SR-Phlx-2007–53 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-2007–53. This file
number should be included on the
of filing of the proposed rule change, or such
shorter time as designated by the Commission.
12 17 CFR 240.19b–4(f)(6)(iii).
13 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).
14 For purposes of calculating the 60-day period
within which the Commission may summarily
abrogate the proposed rule change under section
19(b)(3)(C) of the Act, the Commission considers
the period to commence on July 25, 2007, the date
on which Phlx submitted Amendment No. 1. See
15 U.S.C. 78s(b)(3)(C).
E:\FR\FM\01AUN1.SGM
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Federal Register / Vol. 72, No. 147 / Wednesday, August 1, 2007 / Notices
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, 100 F Street, NE., Washington,
DC 20549, on official business days
between the hours of 10 a.m. and 3 p.m.
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–2007–53 and should
be submitted on or before August 22,
2007.
regulations (13 CFR 107.730). Founders
Equity SBIC I, L.P. proposes to provide
convertible preferred equity security
financing to Richardson Foods, Inc.
(‘‘Richardson’’), 101 Erie Blvd.,
Canajoharie, NY 13317. The financing is
contemplated to provide the company
with working capital and cash to replace
damaged assets.
The financing is brought within the
purview of Sec. 107.730(a)(1) of the
Regulations because Founders Equity
NY, L.P., and Associate of Founders
Equity SBIC I, L.P. owns 27% of
Richardson. Therefore, this transaction
is considered a financing of an
Associate requiring prior SBA approval.
Notice is hereby given that any
interested person may submit written
comments on the transaction, within 15
days of the date of this publication, to
the Associate Administrator for
Investment, U.S. Small Business
Administration, 409 Third Street, SW.,
Washington, DC 20416.
Dated: July 23, 2007.
Harry Haskins,
Acting Associate Administrator for
Investment.
[FR Doc. 07–3753 Filed 7–31–07; 8:45 am]
BILLING CODE 8025–01–M
DEPARTMENT OF TRANSPORTATION
Office of the Secretary
For the Commission, by the Division of
Market Regulation, pursuant to delegated
authority.15
[Docket No. OST–2004–16951]
Florence E. Harmon,
Deputy Secretary.
[FR Doc. E7–14844 Filed 7–31–07; 8:45 am]
AGENCY:
BILLING CODE 8010–01–P
SMALL BUSINESS ADMINISTRATION
[License No. 02/72–0625]
jlentini on PROD1PC65 with NOTICES
Founders Equity SBIC I, L.P.; Notice
Seeking Exemption Under Section 312
of the Small Business Investment Act,
Conflicts of Interest
Notice is hereby given that Founders
Equity SBIC I, L.P., 711 Fifth Avenue,
5th Floor, New York, New York 10022,
a Federal Licensee under the Small
Business Investment Act of 1958, as
amended (‘‘the Act’’), in connection
with the financing of a small concern,
has sought an exemption under section
312 of the Act and section 107.730,
Financings which Constitute Conflicts
of Interest of the Small Business
Administration (‘‘SBA’’) rules and
15 17
CFR 200.30–3(a)(12).
VerDate Aug<31>2005
20:12 Jul 31, 2007
Jkt 211001
Notice of Request for Renewal of a
Previously Approved Collection
ACTION:
Office of the Secretary, DOT.
Notice.
SUMMARY: In accordance with the
Paperwork Reduction Act of 1995 (44
U.S.C. Chapter 35, as amended), this
notice announces the U.S. Department
of Transportation’s (DOT) intention to
request renewal of a previously
approved information collection.
DATES: Comments on this notice must be
received by October 1, 2007.
ADDRESSES: You may submit comments
[identified by DOT DMS Docket Number
OST–2004–16951] by any of the
following methods:
• Web site: https://dms.dot.gov.
Follow the instructions for submitting
comments on the DOT electronic docket
site.
• Fax: 1–202–493–2251.
• Mail: Docket Management Facility;
U.S. Department of Transportation, 1200
New Jersey Avenue, SE., W12–140,
Washington, DC 20590.
• Hand Delivery: Room W12–140,
1200 New Jersey Avenue, SE.,
PO 00000
Frm 00177
Fmt 4703
Sfmt 4703
Washington, DC, between 9 a.m. and 5
p.m., Monday through Friday, except on
Federal holidays.
• Federal eRulemaking Portal: Go to
https://www.regulations.gov. Follow the
online instructions for submitting
comments.
Instructions: All submissions must
include the agency name and docket
number or Regulatory Identification
Number (RIN) for this rulemaking. For
detailed instructions on submitting
comments and additional information
on the rulemaking process, see the
Public Participation heading of the
SUPPLEMENTARY INFORMATION section of
this document. Note that all comments
received will be posted without change
to https://dms.dot.gov including any
personal information provided. Please
see the Privacy Act heading under
Regulatory Notes.
Docket: For access to the docket to
read background documents or
comments received, go to https://
dms.dot.gov at any time or to W12–140,
1200 New Jersey Avenue, SE.,
Washington, DC, between 9 a.m. and 5
p.m., Monday through Friday, except
Federal Holidays.
FOR FURTHER INFORMATION CONTACT:
Lauralyn Remo, Air Carrier Fitness
Division (X–56), Office of Aviation
Analysis, Office of the Secretary, U.S.
Department of Transportation, 400
Seventh Street, SW., Washington, DC
20590, (202) 366–9721.
SUPPLEMENTARY INFORMATION:
Title: Aircraft Accident Liability
Insurance, 14 CFR Part 205.
OMB Control Number: 2106–0030.
Type of Request: Renewal without
change, of a previously approved
collection.
Abstract: 14 CFR Part 205 contains
the minimum requirements for air
carrier accident liability insurance to
protect the public from losses, and
directs that certificates evidencing
appropriate coverage must be filed with
the Department.
Respondents: U.S. and foreign air
carriers.
Estimated Number of Respondents:
4,606.
Estimated Total Burden on
Respondents: 5,988 hours.
Comments are invited on: (a) Whether
the proposed collection of information
is necessary for the proper performance
of the functions of the Department,
including whether the information will
have practical utility; (b) the accuracy of
the Department’s estimate of the burden
of the proposed information collection;
(c) ways to enhance the quality, utility
and clarity of the information to be
collected; and (d) ways to minimize the
E:\FR\FM\01AUN1.SGM
01AUN1
]]>Agencies
[Federal Register Volume 72, Number 147 (Wednesday, August 1, 2007)]
[Notices]
[Pages 42216-42218]
From the Federal Register Online via the Government Printing Office [www.gpo.gov]
[FR Doc No: E7-14844]
-----------------------------------------------------------------------
SECURITIES AND EXCHANGE COMMISSION
[Release No. 34-56141; File No. SR-Phlx-2007-53]
Self-Regulatory Organizations; Philadelphia Stock Exchange, Inc.;
Notice of Filing and Immediate Effectiveness of Proposed Rule Change as
Modified by Amendment No. 1 Thereto Relating to the Extension of a
Pilot Program to Quote and Trade Options in Penny Increments
July 24, 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 July 24, 2007, the Philadelphia Stock Exchange, Inc. (``Phlx'' or
``Exchange'') filed with the Securities and Exchange Commission
(``Commission'') the proposed rule change asescribed in Items I and II
below, which Items have been substantially prepared by the Phlx. On
July 25, 2007 the Exchange filed Amendment No. 1 to the proposal. The
Exchange filed the proposal as a ``non-controversial'' proposed 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, as amended, 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).
---------------------------------------------------------------------------
I. Self-Regulatory Organization's Statement of the Terms of Substance
of the Proposed Rule Change
The Exchange proposes to extend a pilot (the ``Pilot'') that
permits certain options series to be quoted and traded in increments of
$0.01. The text of the proposed rule change is available at Phlx, the
Commission's Public Reference Room, and https://www.phlx.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, the Phlx 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
The purpose of the proposed rule change is to continue to permit
specified options series to be quoted and traded in increments of $0.01
by extending the Pilot through September 27, 2007.
[[Page 42217]]
The Pilot began on January 26, 2007.\5\ All series in options
included in the Pilot (``Pilot Options,'' listed below) trading at a
price of less than $3.00 are currently quoted and traded in minimum
increments of $0.01, and Pilot Options with a price of $3.00 or higher
are currently quoted and traded in minimum increments of $0.05, except
that options overlying the Nasdaq-100 Index Tracking Stock (``QQQQ'')
\6\ are quoted and traded in minimum increments of $0.01 for all series
regardless of the price. A list of all Pilot Options was communicated
to membership via Exchange circular.
---------------------------------------------------------------------------
\5\ See Securities Exchange Act Release No. 55153 (January 23,
2007), 72 FR 4553 (January 31, 2007) (SR-Phlx-2006-74). In that
filing, the Exchange also made conforming amendments to various
Exchange rules in order to be consistent with the pilot. These
conforming changes were also approved on a six-month pilot basis.
Therefore, the Exchange is proposing to extend the effective date
for these rules through September 27, 2007.
\6\ The Nasdaq-100[supreg], Nasdaq-100 Index[supreg],
Nasdaq[supreg], The Nasdaq Stock Market[supreg], Nasdaq-100
SharesSM, Nasdaq-100 TrustSM, Nasdaq-100 Index
Tracking StockSM, and QQQSM are trademarks or
service marks of The Nasdaq Stock Market, Inc. (Nasdaq) and have
been licensed for use for certain purposes by the Philadelphia Stock
Exchange pursuant to a License Agreement with Nasdaq. The Nasdaq-100
Index[supreg] (the Index) is determined, composed, and calculated by
Nasdaq without regard to the Licensee, the Nasdaq-100
TrustSM, or the beneficial owners of Nasdaq-100
SharesSM. Nasdaq has complete control and sole discretion
in determining, comprising, or calculating the Index or in modifying
in any way its method for determining, comprising, or calculating
the Index in the future.
---------------------------------------------------------------------------
The options included in the Pilot are:
------------------------------------------------------------------------
Symbol Underlying security
------------------------------------------------------------------------
IWM....................................... Ishares Russell 2000.
QQQQ...................................... QQQQ.
SMH....................................... SemiConductor Holders.
GE........................................ General Electric.
AMD....................................... Advanced Micro Devices.
MSFT...................................... Microsoft.
INTC...................................... Intel.
CAT....................................... Caterpillar.
WFMI...................................... Whole Foods.
TXN....................................... Texas Instruments.
A......................................... Agilent Tech Inc.
FLEX...................................... Flextronics International.
SUNW...................................... Sun Micro.
------------------------------------------------------------------------
Report to the Commission
Phlx Rule 1034(a)(i)(B)(2) required the Exchange to prepare and
submit an analytical report (``Report'') to the Commission that
addressed the impact of the first three months of the Pilot on the
quality of the Exchange's markets and option quote traffic and capacity
on or before the last day of the fourth month of the Pilot. The
Exchange submitted the Report on May 31, 2007, within the timeframe
specified in the rule. The Exchange proposes to delete Phlx Rule
1034(a)(i)(B)(2) because it is no longer applicable, and to make a
technical numbering change to the rule.
The Exchange anticipates that it will submit further reports as the
Pilot continues. The Exchange will amend its rules accordingly.
2. Statutory Basis
The Exchange believes that its proposal is consistent with section
6(b) of the Act \7\ in general, and furthers the objectives of section
6(b)(5) of the Act \8\ 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.
---------------------------------------------------------------------------
\7\ 15 U.S.C. 78f(b).
\8\ 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
No written comments were either solicited or received by the
Exchange.
III. Date of Effectiveness of the Proposed Rule Change and Timing for
Commission Action
The proposed rule change has become effective pursuant to section
19(b)(3)(A) of the Act \9\ and Rule 19b-4(f)(6) thereunder,\10\ because
the foregoing proposed rule does not: (i) Significantly affect the
protection of investors or the public interest; (ii) impose any
significant burden on competition; and (iii) 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.
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\9\ 15 U.S.C. 78s(b)(3)(A).
\10\ 17 CFR 240.19b-4(f)(6).
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A proposed rule change filed under Rule 19b-4(f)(6) normally may
not become operative prior to 30-days after the date of filing.\11\
However, Rule 19b-4(f)(6)(iii) permits the Commission to designate a
shorter time if such action is consistent with the protection of
investors and the public interest.\12\ The Exchange has requested that
the Commission waive the 5-day notice requirement and the 30-day
operative delay. The Commission believes that waiving the 5-day notice
requirement and the 30-day operative delay is consistent with the
protection of investors and the public interest because such waiver
will ensure continuity of the Exchange's rules and will allow the Pilot
to remain in effect without interruption. For these reasons, the
Commission designates the proposal to be operative upon filing with the
Commission.\13\
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\11\ 17 CFR 240.19b-4(f)(6)(iii). In addition, Rule 19b-
4(f)(6)(iii) requires the self-regulatory organization to give the
Commission 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.
\12\ 17 CFR 240.19b-4(f)(6)(iii).
\13\ 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.\14\
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\14\ For purposes of calculating the 60-day period within which
the Commission may summarily abrogate the proposed rule change under
section 19(b)(3)(C) of the Act, the Commission considers the period
to commence on July 25, 2007, the date on which Phlx submitted
Amendment No. 1. See 15 U.S.C. 78s(b)(3)(C).
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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-Phlx-2007-53 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-2007-53. This file
number should be included on the
[[Page 42218]]
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, 100 F Street, NE., Washington, DC 20549, on official
business days between the hours of 10 a.m. and 3 p.m. 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-2007-53 and should be submitted on or before August
22, 2007.
For the Commission, by the Division of Market Regulation,
pursuant to delegated authority.\15\
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\15\ 17 CFR 200.30-3(a)(12).
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Florence E. Harmon,
Deputy Secretary.
[FR Doc. E7-14844 Filed 7-31-07; 8:45 am]
BILLING CODE 8010-01-P
