Self-Regulatory Organizations; International Securities Exchange, LLC; Notice of Filing of Proposed Rule Change as Modified by Amendment No. 1 Thereto Relating to a Quote Mitigation Plan for Competitive Market Makers, 44903-44904 [E7-15549]
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Federal Register / Vol. 72, No. 153 / Thursday, August 9, 2007 / Notices
All submissions should refer to File
Number SR–FICC–2007–07. This file
number should be included on the
subject line if e-mail is used. To help the
Commission process and review your
comments more efficiently, please use
only one method. The Commission will
post all comments on the Commission’s
Internet Web site (https://www.sec.gov/
rules/sro.shtml). Copies of the
submission, all subsequent
amendments, all written statements
with respect to the proposed rule
change that are filed with the
Commission, and all written
communications relating to the
proposed rule change between the
Commission and any person, other than
those that may be withheld from the
public in accordance with the
provisions of 5 U.S.C. 552, will be
available for inspection and copying in
the Commission’s Public Reference
Section, 100 F Street, NE., Washington,
DC 20549, on official business days
between the hours of 10 a.m. and 3 p.m.
Copies of such filings also will be
available for inspection and copying at
the principal office of FICC and on
FICC’s Web site at https://ficc.com/
commondocs/rule.filings/rule.filing.0707.pdf. 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–FICC–2007–07 and should
be submitted on or before August 30,
2007.
For the Commission by the Division of
Market Regulation, pursuant to delegated
authority.9
Florence E. Harmon,
Deputy Secretary.
[FR Doc. E7–15542 Filed 8–8–07; 8:45 am]
(‘‘Act’’),1 and Rule 19b–4 thereunder,2
notice is hereby given that on June 8,
2007, the International Securities
Exchange, LLC (‘‘ISE’’ or ‘‘Exchange’’)
filed with the Securities and Exchange
Commission (‘‘Commission’’) the
proposed rule change as described in
Items I, II, and III below, which Items
have been substantially prepared by the
ISE. On August 1, 2007, the Exchange
filed Amendment No. 1 to the proposed
rule change.3 The Commission is
publishing this notice to solicit
comments on the proposed rule change,
as amended, from interested persons.
I. Self-Regulatory Organization’s
Statement of the Terms of Substance of
the Proposed Rule Change
The ISE proposes, on a one-year pilot
basis, a quote mitigation plan for the
Exchange’s Competitive Market Makers
(‘‘CMMs’’). The text of the proposed rule
change is available at ISE, the
Commission’s Public Reference Room,
and https://www.iseoptions.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
ISE 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
BILLING CODE 8010–01–P
1. Purpose
SECURITIES AND EXCHANGE
COMMISSION
mstockstill on PROD1PC66 with NOTICES
[Release No. 34–56201; File No. SR–ISE–
2007–45]
Self-Regulatory Organizations;
International Securities Exchange,
LLC; Notice of Filing of Proposed Rule
Change as Modified by Amendment
No. 1 Thereto Relating to a Quote
Mitigation Plan for Competitive Market
Makers
August 3, 2007.
Pursuant to section 19(b)(1) of the
Securities Exchange Act of 1934
9 17
CFR 200.30–3(a)(12).
VerDate Aug<31>2005
18:25 Aug 08, 2007
Jkt 211001
The Exchange is proposing a quote
mitigation plan for its CMMs on a pilot
basis for one (1) year in no more than
twenty (20) securities (‘‘Pilot Program
Securities’’) designated by the
Exchange. With the explosion of
quotation traffic—exacerbated by the
penny pilot—the Exchange continues to
seek ways to mitigate the generation of
quotations. At least two exchanges have
adopted quote mitigation plans that
relieve some market makers of the
obligation to quote in every series of
1 15
U.S.C. 78s(b)(1).
CFR 240.19b–4.
3 Amendment No. 1 replaced the original filing in
its entirety.
2 17
PO 00000
Frm 00085
Fmt 4703
Sfmt 4703
44903
every class of options in which they are
a market maker.4
Under ISE’s current rules, a CMM
must enter continuous quotations in all
the series of at least 60 percent of the
options classes for the group or ‘‘bin’’ to
which it is appointed, or 60 options
classes in the Group, whichever is less.
Further, once a CMM enters a quote in
an options class to which it is
appointed, it must continuously quote
in all series of that options class until
the close of trading that day. ISE
proposes to amend its rule so that a
CMM will be required to enter
continuous quotations in just 60 percent
of the series, rather than in all series, of
the options classes overlying the Pilot
Program Securities, to which the CMM
is appointed. Once a CMM enters a
quote in a series, it must continue to
quote in that series until the close of
trading that day. The Exchange notes
that ISE Rule 804(e)(2)(iii), which states
that a CMM may be called upon to
submit quotes in one or more series of
options to which it is appointed in the
interest of maintaining fair and orderly
markets, shall continue to apply under
the proposed pilot program.
Under the proposal, the Exchange will
issue a circular to CMMs identifying the
initial Pilot Program Securities. The
Exchange notes that the Pilot Program
Securities selected by the Exchange are
subject to change based on the quoting
activity in these securities. The
proposed pilot will consist of up to 20
of the most active classes, in terms of
the number of quotes generated, that are
in the Exchange’s Penny Pilot Program.5
Each time a change takes place in the
Pilot Program Securities, the Exchange
will issue circulars to notify CMMs of
this change and shall provide them with
adequate notice in order for them to
make any required systems changes.
The Exchange believes the proposed
pilot is a good first step towards
adopting an internal quote mitigation
plan that is beneficial both to the
Exchange and its members without
adversely affecting the quality of the
Exchange’s markets.
2. Statutory Basis
The Exchange believes that the
proposed rule change is consistent with
section 6(b) of the Act,6 in general, and
furthers the objectives of section 6(b)(5)
4 See Phlx Rule 1014(b)(ii)(D)(1); see also Amex
Rule 994(c)(iv).
5 See Securities Exchange Act Release Nos. 55161
(January 24, 2007), 72 FR 4754 (February 1, 2007)
(SR–ISE–2006–62); 56151 (July 26, 2007), 72
FRlll (August lll, 2007) (SR–ISE–2007–68).
6 15 U.S.C. 78f(b).
E:\FR\FM\09AUN1.SGM
09AUN1
44904
Federal Register / Vol. 72, No. 153 / Thursday, August 9, 2007 / Notices
of the Act,7 in particular, in that it is
designed to prevent fraudulent and
manipulative acts and practices, 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
Written comments on the proposed
rule change were neither solicited nor
received.
III. Date of Effectiveness of the
Proposed Rule Change and Timing for
Commission Action
Within 35 days of the date of
publication of this notice in the Federal
Register or within such longer period (i)
as the Commission may designate up to
90 days of such date if it finds such
longer period to be appropriate and
publishes its reasons for so finding or
(ii) as to which the Exchange consents,
the Commission will:
(A) By order approve such proposed
rule change, or
(B) Institute proceedings to determine
whether the proposed rule change
should be disapproved.
IV. Solicitation of Comments
Interested persons are invited to
submit written data, views and
arguments concerning the foregoing,
including whether the proposed rule
change is consistent with the Act.
Comments may be submitted by any of
the following methods:
mstockstill on PROD1PC66 with NOTICES
Electronic Comments
• Use the Commission’s Internet
comment form https://www.sec.gov/
rules/sro.shtml; or
• Send an e-mail to rulecomments@sec.gov. Please include File
No. SR–ISE–2007–45 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 No.
SR–ISE–2007–45. 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 at 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 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 No.
SR–ISE–2007–45 and should be
submitted on or before August 30, 2007.
For the Commission, by the Division of
Market Regulation, pursuant to delegated
authority.8
Florence E. Harmon,
Deputy Secretary.
[FR Doc. E7–15549 Filed 8–8–07; 8:45 am]
BILLING CODE 8010–01–P
SECURITIES AND EXCHANGE
COMMISSION
[Release No. 34–56195; File No. SR–NYSE–
2007–71]
Self-Regulatory Organizations; New
York Stock Exchange LLC; Notice of
Filing and Immediate Effectiveness of
Proposed Rule Change to Exclude
from Its Earnings Standard Gains or
Losses From Extinguishment of Debt
Prior to Maturity on a Six Month Pilot
Basis
August 2, 2007.
Pursuant to section 19(b)(1)1 of the
Securities Exchange Act of 1934 (the
‘‘Exchange Act’’),2 and Rule 19b–4
I. Self-Regulatory Organization’s
Statement of the Terms of Substance of
the Proposed Rule Change
The Exchange proposes to amend the
earnings standard of section 102.01C(I)
of the Exchange’s Listed Company
Manual (the ‘‘Manual’’) on a six-month
pilot program basis. The amendment
will enable the Exchange to adjust the
earnings of companies for purposes of
its pre-tax earnings standard by
excluding gains or losses recognized in
connection with the extinguishment of
debt prior to its maturity. The text of the
proposed rule change is available on the
Exchange’s Web site (https://
www.nyse.com), at the Exchange’s
Office of the Secretary, and at the
Commission’s Public Reference Room.
II. Self-Regulatory Organization’s
Statement of the Purpose of, and
Statutory Basis for, the Proposed Rule
Change
In its filing with the Commission, the
Exchange included statements
concerning the purpose of and basis for
the proposed rule change and discussed
any comments it received on the
proposed rule change. The text of these
statements may be examined at the
places specified in Item IV below. The
Exchange has prepared summaries, set
forth in sections A, B and C below, of
the most significant aspects of such
statements.
A. Self-Regulatory Organization’s
Statement of the Purpose of, and
Statutory Basis for, the Proposed Rule
Change
1. Purpose
The Exchange proposes to amend the
earnings standard of section 102.01C(I)
of the Manual on a six-month pilot
U.S.C. 78f(b)(5).
VerDate Aug<31>2005
18:37 Aug 08, 2007
Jkt 211001
8 17
3 17
1 15
7 15
CFR 200.30–3(a)(12).
U.S.C. 78s(b)(1).
2 15 U.S.C. 78a.
thereunder,3 notice is hereby given that
on July 27, 2007, the New York Stock
Exchange LLC (the ‘‘NYSE’’ or the
‘‘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
substantially prepared by the Exchange.
The Exchange has designated the
proposed rule change as a ‘‘noncontroversial’’ rule change pursuant to
section 19(b)(3)(A) of the Act4 and Rule
19b–4(f)(6) thereunder,5 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
changes from interested persons.
4 15
PO 00000
Frm 00086
Fmt 4703
CFR 240.19b–4.
U.S.C. 78s(b)(3)(A).
5 17 CFR 240.19b–4(f)(6).
Sfmt 4703
E:\FR\FM\09AUN1.SGM
09AUN1
]]>Agencies
[Federal Register Volume 72, Number 153 (Thursday, August 9, 2007)]
[Notices]
[Pages 44903-44904]
From the Federal Register Online via the Government Printing Office [www.gpo.gov]
[FR Doc No: E7-15549]
-----------------------------------------------------------------------
SECURITIES AND EXCHANGE COMMISSION
[Release No. 34-56201; File No. SR-ISE-2007-45]
Self-Regulatory Organizations; International Securities Exchange,
LLC; Notice of Filing of Proposed Rule Change as Modified by Amendment
No. 1 Thereto Relating to a Quote Mitigation Plan for Competitive
Market Makers
August 3, 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 June 8, 2007, the International Securities Exchange, LLC (``ISE'' or
``Exchange'') filed with the Securities and Exchange Commission
(``Commission'') the proposed rule change as described in Items I, II,
and III below, which Items have been substantially prepared by the ISE.
On August 1, 2007, the Exchange filed Amendment No. 1 to the proposed
rule change.\3\ The Commission is publishing this notice to solicit
comments on the proposed rule change, as amended, from interested
persons.
---------------------------------------------------------------------------
\1\ 15 U.S.C. 78s(b)(1).
\2\ 17 CFR 240.19b-4.
\3\ Amendment No. 1 replaced the original filing in its
entirety.
---------------------------------------------------------------------------
I. Self-Regulatory Organization's Statement of the Terms of Substance
of the Proposed Rule Change
The ISE proposes, on a one-year pilot basis, a quote mitigation
plan for the Exchange's Competitive Market Makers (``CMMs''). The text
of the proposed rule change is available at ISE, the Commission's
Public Reference Room, and https://www.iseoptions.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 ISE 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 Exchange is proposing a quote mitigation plan for its CMMs on a
pilot basis for one (1) year in no more than twenty (20) securities
(``Pilot Program Securities'') designated by the Exchange. With the
explosion of quotation traffic--exacerbated by the penny pilot--the
Exchange continues to seek ways to mitigate the generation of
quotations. At least two exchanges have adopted quote mitigation plans
that relieve some market makers of the obligation to quote in every
series of every class of options in which they are a market maker.\4\
---------------------------------------------------------------------------
\4\ See Phlx Rule 1014(b)(ii)(D)(1); see also Amex Rule
994(c)(iv).
---------------------------------------------------------------------------
Under ISE's current rules, a CMM must enter continuous quotations
in all the series of at least 60 percent of the options classes for the
group or ``bin'' to which it is appointed, or 60 options classes in the
Group, whichever is less. Further, once a CMM enters a quote in an
options class to which it is appointed, it must continuously quote in
all series of that options class until the close of trading that day.
ISE proposes to amend its rule so that a CMM will be required to enter
continuous quotations in just 60 percent of the series, rather than in
all series, of the options classes overlying the Pilot Program
Securities, to which the CMM is appointed. Once a CMM enters a quote in
a series, it must continue to quote in that series until the close of
trading that day. The Exchange notes that ISE Rule 804(e)(2)(iii),
which states that a CMM may be called upon to submit quotes in one or
more series of options to which it is appointed in the interest of
maintaining fair and orderly markets, shall continue to apply under the
proposed pilot program.
Under the proposal, the Exchange will issue a circular to CMMs
identifying the initial Pilot Program Securities. The Exchange notes
that the Pilot Program Securities selected by the Exchange are subject
to change based on the quoting activity in these securities. The
proposed pilot will consist of up to 20 of the most active classes, in
terms of the number of quotes generated, that are in the Exchange's
Penny Pilot Program.\5\ Each time a change takes place in the Pilot
Program Securities, the Exchange will issue circulars to notify CMMs of
this change and shall provide them with adequate notice in order for
them to make any required systems changes.
---------------------------------------------------------------------------
\5\ See Securities Exchange Act Release Nos. 55161 (January 24,
2007), 72 FR 4754 (February 1, 2007) (SR-ISE-2006-62); 56151 (July
26, 2007), 72 FR------ (August ------, 2007) (SR-ISE-2007-68).
---------------------------------------------------------------------------
The Exchange believes the proposed pilot is a good first step
towards adopting an internal quote mitigation plan that is beneficial
both to the Exchange and its members without adversely affecting the
quality of the Exchange's markets.
2. Statutory Basis
The Exchange believes that the proposed rule change is consistent
with section 6(b) of the Act,\6\ in general, and furthers the
objectives of section 6(b)(5)
[[Page 44904]]
of the Act,\7\ in particular, in that it is designed to prevent
fraudulent and manipulative acts and practices, 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.
---------------------------------------------------------------------------
\6\ 15 U.S.C. 78f(b).
\7\ 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
Written comments on the proposed rule change were neither solicited
nor received.
III. Date of Effectiveness of the Proposed Rule Change and Timing for
Commission Action
Within 35 days of the date of publication of this notice in the
Federal Register or within such longer period (i) as the Commission may
designate up to 90 days of such date if it finds such longer period to
be appropriate and publishes its reasons for so finding or (ii) as to
which the Exchange consents, the Commission will:
(A) By order approve such proposed rule change, or
(B) Institute proceedings to determine whether the proposed rule
change should be disapproved.
IV. Solicitation of Comments
Interested persons are invited to submit written data, views and
arguments concerning the foregoing, including whether the proposed rule
change 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 No. SR-ISE-2007-45 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 No. SR-ISE-2007-45. 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 at 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 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 No. SR-ISE-2007-45 and should be
submitted on or before August 30, 2007.
For the Commission, by the Division of Market Regulation,
pursuant to delegated authority.\8\
---------------------------------------------------------------------------
\8\ 17 CFR 200.30-3(a)(12).
---------------------------------------------------------------------------
Florence E. Harmon,
Deputy Secretary.
[FR Doc. E7-15549 Filed 8-8-07; 8:45 am]
BILLING CODE 8010-01-P
