Self-Regulatory Organizations; American Stock Exchange LLC; Notice of Filing and Immediate Effectiveness of Proposed Rule Change Relating To Quoting Obligations in Long Term Options, 55260-55261 [E7-19160]
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55260
Federal Register / Vol. 72, No. 188 / Friday, September 28, 2007 / Notices
Based on the application, the
Commission finds that the requirements
of Section 15E of the Exchange Act are
satisfied.
Accordingly, It is ordered, under
paragraph (a)(2)(A) of Section 15E of the
Exchange Act, that the registration of
Rating and Investment Information, Inc.,
with the Commission as an NRSRO
under Section 15E of the Exchange Act
for the classes of credit ratings described
in clauses (i) through (v) of Section
3(a)(62)(B) of the Exchange Act is
granted.
By the Commission.
Nancy M. Morris,
Secretary.
[FR Doc. E7–19175 Filed 9–27–07; 8:45 am]
BILLING CODE 8010–01–P
SECURITIES AND EXCHANGE
COMMISSION
[Release No. 34–56498; File No. SR–Amex–
2007–103]
By the Commission.
Nancy M. Morris,
Secretary.
[FR Doc. E7–19173 Filed 9–27–07; 8:45 am]
Self-Regulatory Organizations;
American Stock Exchange LLC; Notice
of Filing and Immediate Effectiveness
of Proposed Rule Change Relating To
Quoting Obligations in Long Term
Options
BILLING CODE 8010–01–P
September 21, 2007.
SECURITIES AND EXCHANGE
COMMISSION
[Release No. 34–56513/September 24, 2007]
jlentini on PROD1PC65 with NOTICES
Securities Exchange Act of 1934;
Order Granting Registration of
Standard & Poor’s Ratings Services as
a Nationally Recognized Statistical
Rating Organization
Standard & Poor’s Ratings Services, a
credit rating agency, furnished to the
Securities and Exchange Commission
(‘‘Commission’’) an application for
registration as a nationally recognized
statistical rating organization
(‘‘NRSRO’’) under Section 15E of the
Securities Exchange Act of 1934
(‘‘Exchange Act’’) for the classes of
credit ratings described in clauses (i)
through (v) of Section 3(a)(62)(B) of the
Exchange Act. The Commission finds
that the application furnished by
Standard & Poor’s Ratings Services is in
the form required by Exchange Act
Section 15E, Exchange Act Rule 17g–1
(17 CFR 240.17g–1), and Form NRSRO
(17 CFR 249b.300) and contains the
information described in subparagraph
(B) of Section 15E(a)(1) of the Exchange
Act.
Based on the application, the
Commission finds that the requirements
of Section 15E of the Exchange Act are
satisfied.
Accordingly,
It is ordered, under paragraph
(a)(2)(A) of Section 15E of the Exchange
Act, that the registration of Standard &
Poor’s Ratings Services with the
Commission as an NRSRO under
Section 15E of the Exchange Act for the
classes of credit ratings described in
clauses (i) through (v) of Section
3(a)(62)(B) of the Exchange Act is
granted.
VerDate Aug<31>2005
17:12 Sep 27, 2007
Jkt 211001
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
September 17, 2007, the American Stock
Exchange LLC (‘‘Amex’’ 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 substantially prepared by the
Amex. 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
from interested persons.
I. Self-Regulatory Organization’s
Statement of the Terms of Substance of
the Proposed Rule Change
The Amex proposes to limit the
expirations that are included in a
Registered Options Trader’s (‘‘ROTs’’),
Supplemental Registered Options
Trader’s (‘‘SROTs’’), and Remote
Registered Options Trader’s (‘‘RROTs’’)
minimum quoting requirements.
The text of the proposed rule change
is available at the Amex, the
Commission’s Public Reference Room,
and https://www.amex.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
Amex included statements concerning
the purpose of, and basis for, the
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).
2 17
PO 00000
Frm 00089
Fmt 4703
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 Amex 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
Amex Rule 958–ANTE sets forth an
ROT’s list of obligations, including the
maintenance of minimum quoting
requirements. As part of its quote
mitigation procedures, the Exchange is
proposing to exclude options with a
series of more than nine months until
expiration from an ROT’s, SROT’s, and
RROT’s minimum quoting
requirements. The Exchange believes
that this amendment will reduce market
data traffic because ROTs, SROTs and
RROTs will no longer be required to
comply with the minimum quoting
requirements in the less actively traded
series (far out months, etc.).
Amex Rule 958–ANTE (h)(iii)
provides that any ROT who transacts
more than 20% of their contract volume
in an assigned option class
electronically and not through open
outcry, measured over a calendar
quarter, shall, commencing the next
calendar quarter, be obligated to
maintain continuous two-sided
quotations for at least ten contracts in a
certain percentage of series in that
option class. The percentage of series an
ROT is obligated to quote varies
depending on the amount of contract
volume executed electronically on the
Exchange in that option class. The
Exchange has established for each
option class the percentage of series that
must be continuously quoted by those
ROTs based upon the Exchange’s
percentage of electronic contract
volume.5
Amex Rules 993–ANTE and 994–
ANTE provide that SROTs and RROTs
must provide continuous electronic
two-sided quotations in accordance
with the parameters set forth in Amex
Rule 958–ANTE (c) in at least 60% of
the series of their assigned classes.
To reduce the number of quotations
submitted by ROTs, SROTs and RROTs,
the Exchange is proposing to exclude
options with a series of more than nine
months until expiration, which are
known as LEAPS (Long-term Equity
Anticipation Securities), from an ROT’s,
5 See
Sfmt 4703
E:\FR\FM\28SEN1.SGM
Amex Rule 958–ANTE (h)(iii).
28SEN1
Federal Register / Vol. 72, No. 188 / Friday, September 28, 2007 / Notices
SROT’s and RROT’s minimum quoting
requirements.6 The effect of this is to
relax their continuous quoting
obligations, and ultimately the number
of quotes they are required to submit,
because the continuous quoting
obligations in Amex Rules 958–ANTE,
993–ANTE, and 994–ANTE will not
apply to those series of options classes
that have a time to expiration of more
than nine months.
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
prevent fraudulent and manipulative
practices, to promote just and equitable
principles of trade, to foster cooperation
and coordination with persons engaged
in facilitating transactions in securities,
and to remove impediments to and
perfect the mechanism of a free and
open market and a national market
system.
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
IV. Solicitation of Comments
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
jlentini on PROD1PC65 with NOTICES
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
6 Specialists will still be required to quote in
LEAPS as they are required to disseminate
quotations in all series of the option classes they
trade. See Amex Rule 950–ANTE(l).
7 15 U.S.C. 78f(b).
8 15 U.S.C. 78f(b)(5).
9 15 U.S.C. 78s(b)(3)(A).
10 17 CFR 240.19b–4(f)(6).
VerDate Aug<31>2005
17:12 Sep 27, 2007
Jkt 211001
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–
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 30-day operative
delay. The Commission believes that
waiving the 30-day operative delay is
consistent with the protection of
investors and the public interest
because such waiver will allow the
Exchange to immediately implement a
quote mitigation strategy that it believes
should help to mitigate the Exchange’s
quote message traffic and capacity. In
addition, the proposed rule change does
not present any novel regulatory issues
because it is substantially similar to
recently approved rules on the
Philadelphia Stock Exchange, Inc. and
the Chicago Board Options Exchange,
Incorporated.13 For these reasons, the
Commission designates the proposal to
be operative upon filing with the
Commission.14
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.15
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
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.
Amex has satisfied the five-day pre-filing
requirement.
12 17 CFR 240.19b–4(f)(6)(iii).
13 See Securities Exchange Act Release Nos.
55689 (May 1, 2007), 72 FR 26192 (May 8, 2007)
(SR–Phlx–2007–36) and 55853 (June 4, 2007), 72 FR
32151 (June 11, 2007) (SR–CBOE–2007–56).
14 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).
15 See 15 U.S.C. 78s(b)(3)(C).
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Fmt 4703
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55261
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–Amex–2007–103 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–Amex–2007–103. This file
number should be included on the
subject line if e-mail is used. To help the
Commission process and review your
comments more efficiently, please use
only one method. The Commission will
post all comments on the Commission’s
Internet Web site (https://www.sec.gov/
rules/sro.shtml). Copies of the
submission, all subsequent
amendments, all written statements
with respect to the proposed rule
change that are filed with the
Commission, and all written
communications relating to the
proposed rule change between the
Commission and any person, other than
those that may be withheld from the
public in accordance with the
provisions of 5 U.S.C. 552, will be
available for inspection and copying in
the Commission’s Public Reference
Room, 100 F St., 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 Amex. 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–Amex–
2007–103 and should be submitted on
or before October 19, 2007.
For the Commission, by the Division of
Market Regulation, pursuant to delegated
authority.16
Florence E. Harmon,
Deputy Secretary.
[FR Doc. E7–19160 Filed 9–27–07; 8:45 am]
BILLING CODE 8010–01–P
16 17
E:\FR\FM\28SEN1.SGM
CFR 200.30–3(a)(12).
28SEN1
]]>Agencies
[Federal Register Volume 72, Number 188 (Friday, September 28, 2007)]
[Notices]
[Pages 55260-55261]
From the Federal Register Online via the Government Printing Office [www.gpo.gov]
[FR Doc No: E7-19160]
-----------------------------------------------------------------------
SECURITIES AND EXCHANGE COMMISSION
[Release No. 34-56498; File No. SR-Amex-2007-103]
Self-Regulatory Organizations; American Stock Exchange LLC;
Notice of Filing and Immediate Effectiveness of Proposed Rule Change
Relating To Quoting Obligations in Long Term Options
September 21, 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 September 17, 2007, the American Stock Exchange LLC (``Amex'' 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 substantially prepared by the Amex. 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 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 Amex proposes to limit the expirations that are included in a
Registered Options Trader's (``ROTs''), Supplemental Registered Options
Trader's (``SROTs''), and Remote Registered Options Trader's
(``RROTs'') minimum quoting requirements.
The text of the proposed rule change is available at the Amex, the
Commission's Public Reference Room, and https://www.amex.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 Amex 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 Amex 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
Amex Rule 958-ANTE sets forth an ROT's list of obligations,
including the maintenance of minimum quoting requirements. As part of
its quote mitigation procedures, the Exchange is proposing to exclude
options with a series of more than nine months until expiration from an
ROT's, SROT's, and RROT's minimum quoting requirements. The Exchange
believes that this amendment will reduce market data traffic because
ROTs, SROTs and RROTs will no longer be required to comply with the
minimum quoting requirements in the less actively traded series (far
out months, etc.).
Amex Rule 958-ANTE (h)(iii) provides that any ROT who transacts
more than 20% of their contract volume in an assigned option class
electronically and not through open outcry, measured over a calendar
quarter, shall, commencing the next calendar quarter, be obligated to
maintain continuous two-sided quotations for at least ten contracts in
a certain percentage of series in that option class. The percentage of
series an ROT is obligated to quote varies depending on the amount of
contract volume executed electronically on the Exchange in that option
class. The Exchange has established for each option class the
percentage of series that must be continuously quoted by those ROTs
based upon the Exchange's percentage of electronic contract volume.\5\
---------------------------------------------------------------------------
\5\ See Amex Rule 958-ANTE (h)(iii).
---------------------------------------------------------------------------
Amex Rules 993-ANTE and 994-ANTE provide that SROTs and RROTs must
provide continuous electronic two-sided quotations in accordance with
the parameters set forth in Amex Rule 958-ANTE (c) in at least 60% of
the series of their assigned classes.
To reduce the number of quotations submitted by ROTs, SROTs and
RROTs, the Exchange is proposing to exclude options with a series of
more than nine months until expiration, which are known as LEAPS (Long-
term Equity Anticipation Securities), from an ROT's,
[[Page 55261]]
SROT's and RROT's minimum quoting requirements.\6\ The effect of this
is to relax their continuous quoting obligations, and ultimately the
number of quotes they are required to submit, because the continuous
quoting obligations in Amex Rules 958-ANTE, 993-ANTE, and 994-ANTE will
not apply to those series of options classes that have a time to
expiration of more than nine months.
---------------------------------------------------------------------------
\6\ Specialists will still be required to quote in LEAPS as they
are required to disseminate quotations in all series of the option
classes they trade. See Amex Rule 950-ANTE(l).
---------------------------------------------------------------------------
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 prevent
fraudulent and manipulative practices, to promote just and equitable
principles of trade, to foster cooperation and coordination with
persons engaged in facilitating transactions in securities, and to
remove impediments to and perfect the mechanism of a free and open
market and a national market system.
---------------------------------------------------------------------------
\7\ 15 U.S.C. 78f(b).
\8\ 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 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.
---------------------------------------------------------------------------
\9\ 15 U.S.C. 78s(b)(3)(A).
\10\ 17 CFR 240.19b-4(f)(6).
---------------------------------------------------------------------------
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 30-day operative delay. The Commission
believes that waiving the 30-day operative delay is consistent with the
protection of investors and the public interest because such waiver
will allow the Exchange to immediately implement a quote mitigation
strategy that it believes should help to mitigate the Exchange's quote
message traffic and capacity. In addition, the proposed rule change
does not present any novel regulatory issues because it is
substantially similar to recently approved rules on the Philadelphia
Stock Exchange, Inc. and the Chicago Board Options Exchange,
Incorporated.\13\ For these reasons, the Commission designates the
proposal to be operative upon filing with the Commission.\14\
---------------------------------------------------------------------------
\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. Amex has satisfied the five-day pre-filing requirement.
\12\ 17 CFR 240.19b-4(f)(6)(iii).
\13\ See Securities Exchange Act Release Nos. 55689 (May 1,
2007), 72 FR 26192 (May 8, 2007) (SR-Phlx-2007-36) and 55853 (June
4, 2007), 72 FR 32151 (June 11, 2007) (SR-CBOE-2007-56).
\14\ 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).
---------------------------------------------------------------------------
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.\15\
---------------------------------------------------------------------------
\15\ 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 (https://
www.sec.gov/rules/sro.shtml); or
Send an e-mail to rule-comments@sec.gov. Please include
File Number SR-Amex-2007-103 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-Amex-2007-103. This file
number should be included on the subject line if e-mail is used. To
help the Commission process and review your comments more efficiently,
please use only one method. The Commission will post all comments on
the Commission's Internet Web site (https://www.sec.gov/rules/
sro.shtml). Copies of the submission, all subsequent amendments, all
written statements with respect to the proposed rule change that are
filed with the Commission, and all written communications relating to
the proposed rule change between the Commission and any person, other
than those that may be withheld from the public in accordance with the
provisions of 5 U.S.C. 552, will be available for inspection and
copying in the Commission's Public Reference Room, 100 F St., 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 Amex. 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-Amex-2007-103 and should be
submitted on or before October 19, 2007.
For the Commission, by the Division of Market Regulation,
pursuant to delegated authority.\16\
---------------------------------------------------------------------------
\16\ 17 CFR 200.30-3(a)(12).
---------------------------------------------------------------------------
Florence E. Harmon,
Deputy Secretary.
[FR Doc. E7-19160 Filed 9-27-07; 8:45 am]
BILLING CODE 8010-01-P
