Self-Regulatory Organizations; International Securities Exchange, LLC; Notice of Filing and Immediate Effectiveness of Proposed Rule Change Relating to the Qualified Contingent Trade Exemption, 60400-60402 [E7-20898]

Download as PDF 60400 Federal Register / Vol. 72, No. 205 / Wednesday, October 24, 2007 / Notices will require, the operative date will be at least 90 days after the date of filing. 2. Statutory Basis FINRA believes that the proposed rule change is consistent with the provisions of Section 15A(b)(6) of the Act,15 which requires, among other things, that FINRA rules be designed to prevent fraudulent and manipulative acts and practices, to promote just and equitable principles of trade, and, in general, to protect investors and the public interest. FINRA believes that the proposed rule change will promote a more complete and accurate audit trail and enable FINRA to properly assess applicable transaction-related fees. B. Self-Regulatory Organization’s Statement on Burden on Competition yshivers on PROD1PC62 with NOTICES III. Date of Effectiveness of the Proposed Rule Change and Timing for Commission Action Because the proposed rule change 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 after the date of filing, or such shorter time as the Commission may designate if consistent with the protection of investors and the public interest, the proposed rule change has become effective pursuant to Section 19(b)(3)(A) of the Act 16 and subparagraph (f)(6) of Rule 19b–4 thereunder.17 FINRA believes that the filing is appropriately designated as ‘‘non-controversial’’ because the proposed rule change is not imposing a new requirement on members to report odd-lot transactions, but merely is changing the manner in which members must report such transactions to the FINRA Facilities. In accordance with Rule 19b–4(f)(6)(iii),18 FINRA submitted written notice of its intent to file the proposed rule change, along with a brief description and text of the proposed U.S.C. 78o–3(b)(6). 16 15 U.S.C. 78s(b)(3)(A). 17 17 CFR 240.19b–4(f)(6). 18 17 CFR 210.19b–4(f)(6)(iii). VerDate Aug<31>2005 15:33 Oct 23, 2007 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: FINRA 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. 15 15 rule change, at least five business days prior to the date of filing.19 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 the furtherance of the purposes of the Act. • Use the Commission’s Internet comment form (http://www.sec.gov/ rules/sro.shtml); or • Send an e-mail to rulecomments@sec.gov. Please include File Number SR–FINRA–2007–017 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-FINRA–2007–017. This file number should be included on the subject line if e-mail is used. To help the Commission process and review your comments more efficiently, please use only one method. The Commission will post all comments on the Commission’s Internet Web site (http://www.sec.gov/ rules/sro.shtml). Copies of the submission, all subsequent amendments, all written statements with respect to the proposed rule change that are filed with the Commission, and all written communications relating to the proposed rule change between the Commission and any person, other than those that may be withheld from the public in accordance with the provisions of 5 U.S.C. 552, will be available for inspection and copying in the Commission’s Public Reference Room, 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 filing also will be available for inspection and copying at 19 See e-mail dated August 13, 2007 from Lisa C. Horrigan, Associate General Counsel, FINRA to Katherine A. England, Assistant Director, Division of Market Regulation, Commission. Jkt 214001 PO 00000 Frm 00091 Fmt 4703 Sfmt 4703 the principal office of FINRA. 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–FINRA–2007–017 and should be submitted on or before November 14, 2007. For the Commission, by the Division of Market Regulation, pursuant to delegated authority.20 Florence E. Harmon, Deputy Secretary. [FR Doc. E7–20899 Filed 10–23–07; 8:45 am] BILLING CODE 8011–01–P SECURITIES AND EXCHANGE COMMISSION Release No. 34–56671; File No. SR–ISE– 2007–88] Self-Regulatory Organizations; International Securities Exchange, LLC; Notice of Filing and Immediate Effectiveness of Proposed Rule Change Relating to the Qualified Contingent Trade Exemption October 18, 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 October 5, 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 and II below, which Items have been substantially prepared by the ISE. The ISE has designated the proposed rule change as ‘‘non-controversial’’ under Section 19(b)(3)(A)(iii) 3 of the Act and Rule 19b–4(f)(6) thereunder,4 which renders 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 ISE proposes to amend its rules to incorporate the qualified contingent trade exemption into ISE Rule 2107 (Priority and Execution of Orders). The text of the proposed rule change is available at the ISE, the Commission’s 20 17 CFR 200.30–3(a)(12). 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). 1 15 E:\FR\FM\24OCN1.SGM 24OCN1 Federal Register / Vol. 72, No. 205 / Wednesday, October 24, 2007 / Notices Public Reference Room, and www.ise.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 ISE 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 yshivers on PROD1PC62 with NOTICES 1. Purpose The purpose of this filing is to amend ISE Rule 2107 (Priority and Execution of Orders) to incorporate the exemption granted by the Commission for qualified contingent trades from Rule 611(a) of Regulation NMS under the Act.5 In accordance with Rule 611 of Regulation NMS, ISE Rule 2107 governs the priority and execution of equity orders on the ISE Stock Exchange 6 and prohibits orders from being executed at prices that are inferior to Protected Quotations 7 available at other Trading Centers.8 ISE Rule 2107(c) provides Trade-Through 9 exceptions, as set forth in Rule 611 of Regulation NMS. Accordingly, the Exchange proposes to add the qualified contingent trade exemption to Rule 2107(c). A contingent trade ‘‘is a multicomponent trade involving orders for a security and a related derivative, or, in the alternative, orders for related securities, that are executed at or near the same time.’’ Proposed Rule 2107(c)(8) provides an exemption for any Trade-Throughs caused by the execution of an order involving one or more NMS stocks (each an ‘‘Exempted Stock Transaction’’) that are components of a qualified contingent trade. A ‘‘qualified contingent trade’’ is a transaction consisting of two or more component orders, executed as agent or principal, where: (1) At least one component order is in an NMS stock; (2) 5 See Securities Exchange Act Release No. 54389 (August 31, 2006), 71 FR 52829 (September 7, 2006) (order granting an exemption for each NMS stock component of certain qualified contingent trades from Rule 611(a) of Regulation NMS). 6 The ISE Stock Exchange is a facility of ISE, LLC. 7 See ISE Rule 2100(c)(16). 8 See ISE Rule 2100(c)(20). 9 See ISE Rule 2100(c)(19). VerDate Aug<31>2005 15:33 Oct 23, 2007 Jkt 214001 all components are effected with a product or price contingency that has been agreed to by the parties; (3) the execution of one component is contingent upon the execution of all other components at or near the same time; (4) the specific relationship between the component orders is determined at the time the contingent order is placed; (5) the component orders bear a derivative relationship to one another, represent different classes of shares of the same issuer, or involve the securities of participants in mergers or with intentions to merge that have been announced or since cancelled; (6) the exempted transaction is fully hedged as a result of the other components of the contingent trade; and (7) the exempted transaction that is part of a contingent trade involves at least 10,000 shares or has a market value of at least $200,000. The Exchange also proposes to cleanup the rule text in the Supplementary Material to Rule 2107, which contains provisions applicable to trading in securities prior to the ‘‘Trading Phase Date’’ of Regulation NMS as that date has since past. 2. Statutory Basis The basis under the Act for this proposed rule change is found in Section 6(b)(5).10 Specifically, the Exchange believes the proposed rule change is consistent with Section 6(b)(5) requirements that the rules of an exchange be designed to promote just and equitable principles of trade, serve to remove impediments to and perfect the mechanism for 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 proposed rule change does not 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 The Exchange has not solicited, and does not intend to solicit, comments on this proposed rule change. The Exchange has not received any unsolicited written comments from members or other interested persons. III. Date of Effectiveness of the Proposed Rule Change and Timing for Commission Action Because the proposed rule change 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 after the date of filing, or such shorter time as the Commission may designate if consistent with the protection of investors and the public interest, the proposed rule change has become effective pursuant to Section 19(b)(3)(A) of the Act 11 and subparagraph (f)(6) of Rule 19b–4 thereunder.12 As required under Rule 19b–4(f)(6)(iii),13 the ISE provided the Commission with written notice of its intent to file the proposed rule change, along with a brief description and text of the proposed rule change, at least five business days prior to the date of the filing of the proposed rule change. 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.14 However, Rule 19b– 4(f)(6)(iii) 15 permits the Commission to designate a shorter time if such action is consistent with the protection of investors and the public interest. The ISE requests that the Commission waive the 30-day operative delay period for ‘‘non-controversial’’ proposals under Rule 19b–4(f)(6) 16 and make the proposed rule change effective and operative upon filing. The Commission believes that waiving the 30-day operative delay is consistent with the protection of investors and the public interest. The Commission notes that the proposed rule language is identical to language contained in the Commission’s exemption for qualified contingent 11 15 U.S.C. 78s(b)(3)(A). CFR 240.19b–4(f)(6). 13 17 CFR 240.19b–4(f)(6)(iii). 14 Id. 15 Id. 16 Id. 12 17 10 15 PO 00000 U.S.C. 78f(b)(5). Frm 00092 Fmt 4703 Sfmt 4703 60401 E:\FR\FM\24OCN1.SGM 24OCN1 60402 Federal Register / Vol. 72, No. 205 / Wednesday, October 24, 2007 / Notices trades.17 In addition, the Commission notes that the proposed rule language is identical to a rule of the Chicago Stock Exchange, Inc. previously approved by the Commission.18 Accordingly, the Commission designates the proposed rule change operative upon filing with the Commission.19 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 the 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 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 such filing also will be available for inspection and copying at the principal office of the ISE. 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–ISE–2007–88 and should be submitted on or before November 14, 2007. The following areas have been determined to be adversely affected by the disaster: Primary Counties: Broward. Contiguous Counties: Florida: Collier, Hendry, Miami-Dade, Palm Beach. The Interest Rates are: For the Commission, by the Division of Market Regulation, pursuant to delegated authority.20 Florence E. Harmon, Deputy Secretary. [FR Doc. E7–20898 Filed 10–23–07; 8:45 am] 5.250 • Use the Commission’s Internet comment form (http://www.sec.gov/ rules/sro.shtml); or • Send an e-mail to rulecomments@sec.gov. Please include File Number SR–ISE–2007–88 on the subject line. BILLING CODE 8011–01–P Paper Comments AGENCY: • 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–ISE–2007–88. This file number should be included on the subject line if e-mail is used. To help the Commission process and review your comments more efficiently, please use only one method. The Commission will post all comments on the Commission’s Internet Web site (http://www.sec.gov/ rules/sro.shtml). Copies of the submission, all subsequent amendments, all written statements with respect to the proposed rule change that are filed with the Commission, and all written communications relating to the proposed rule change between the Commission and any person, other than 17 See supra note 5. Securities Exchange Act Release No. 54550 (September 29, 2006), 71 FR 59563 (October 10, 2006) (order approving SR–CHX–2006–05). 19 For purposes only of waiving the 30-day operative delay, the Commission has considered the impact of the proposed rule on efficiency, competition, and capital formation. See 15 U.S.C. 78c(f). yshivers on PROD1PC62 with NOTICES 18 See VerDate Aug<31>2005 15:33 Oct 23, 2007 Jkt 214001 SMALL BUSINESS ADMINISTRATION Percent Homeowners With Credit Available Elsewhere: .................................. Homeowners Without Credit Available Elsewhere: .......................... Businesses With Credit Available Elsewhere: .................................. Businesses & Small Agricultural Cooperatives Without Credit Available Elsewhere: ................... Other (Including Non-Profit Organizations) With Credit Available Elsewhere: .................................. Businesses and Non-Profit Organizations Without Credit Available Elsewhere: .................................. 6.250 3.125 8.000 4.000 4.000 The number assigned to this disaster for physical damage is 11067 5 and for economic injury is 11068 0. The States which received an EIDL Declaration # is Florida. [Disaster Declaration # 11067 and # 11068] (Catalog of Federal Domestic Assistance Numbers 59002 and 59008) Florida Disaster # FL–00028 Dated: October 16, 2007. Steven C. Preston, Administrator. [FR Doc. E7–20943 Filed 10–23–07; 8:45 am] U.S. Small Business Administration. ACTION: Notice. BILLING CODE 8025–01–P This is a notice of an Administrative declaration of a disaster for the State of Florida dated 10/16/ 2007. Incident: Fire. Incident Period: 09/20/2007. Effective Date: 10/16/2007. Physical Loan Application Deadline Date: 12/17/2007. Economic Injury (EIDL) Loan Application Deadline Date: 07/16/2008. ADDRESSES: Submit completed loan applications to: U.S. Small Business Administration, Processing and Disbursement Center, 14925 Kingsport Road, Fort Worth, TX 76155. FOR FURTHER INFORMATION CONTACT: A. Escobar, Office of Disaster Assistance, U.S. Small Business Administration, 409 3rd Street, SW., Suite 6050, Washington, DC 20416. SUPPLEMENTARY INFORMATION: Notice is hereby given that as a result of the Administrator’s disaster declaration, applications for disaster loans may be filed at the address listed above or other locally announced locations. SUMMARY: 20 17 PO 00000 CFR 200.30–3(a)(12). Frm 00093 Fmt 4703 Sfmt 4703 DEPARTMENT OF THE TREASURY Internal Revenue Service [REG–106902–98] Proposed Collection; Comment Request for Regulation Project Internal Revenue Service (IRS), Treasury. ACTION: Notice and request for comments. AGENCY: SUMMARY: The Department of the Treasury, as part of its continuing effort to reduce paperwork and respondent burden, invites the general public and other Federal agencies to take this opportunity to comment on proposed and/or continuing information collections, as required by the Paperwork Reduction Act of 1995, Public Law 104–13 (44 U.S.C. 3506(c)(2)(A)). Currently, the IRS is soliciting comments concerning an existing final regulation, REG–106902– 98 (TD 8833), Consolidated Returns— E:\FR\FM\24OCN1.SGM 24OCN1

Agencies

[Federal Register Volume 72, Number 205 (Wednesday, October 24, 2007)]
[Notices]
[Pages 60400-60402]
From the Federal Register Online via the Government Printing Office [www.gpo.gov]
[FR Doc No: E7-20898]


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SECURITIES AND EXCHANGE COMMISSION

Release No. 34-56671; File No. SR-ISE-2007-88]


Self-Regulatory Organizations; International Securities Exchange, 
LLC; Notice of Filing and Immediate Effectiveness of Proposed Rule 
Change Relating to the Qualified Contingent Trade Exemption

 October 18, 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 October 5, 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 and 
II below, which Items have been substantially prepared by the ISE. The 
ISE has designated the proposed rule change as ``non-controversial'' 
under Section 19(b)(3)(A)(iii) \3\ of the Act and Rule 19b-4(f)(6) 
thereunder,\4\ which renders 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)(iii).
    \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 ISE proposes to amend its rules to incorporate the qualified 
contingent trade exemption into ISE Rule 2107 (Priority and Execution 
of Orders). The text of the proposed rule change is available at the 
ISE, the Commission's

[[Page 60401]]

Public Reference Room, and www.ise.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 ISE 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 this filing is to amend ISE Rule 2107 (Priority and 
Execution of Orders) to incorporate the exemption granted by the 
Commission for qualified contingent trades from Rule 611(a) of 
Regulation NMS under the Act.\5\ In accordance with Rule 611 of 
Regulation NMS, ISE Rule 2107 governs the priority and execution of 
equity orders on the ISE Stock Exchange \6\ and prohibits orders from 
being executed at prices that are inferior to Protected Quotations \7\ 
available at other Trading Centers.\8\ ISE Rule 2107(c) provides Trade-
Through \9\ exceptions, as set forth in Rule 611 of Regulation NMS. 
Accordingly, the Exchange proposes to add the qualified contingent 
trade exemption to Rule 2107(c).
---------------------------------------------------------------------------

    \5\ See Securities Exchange Act Release No. 54389 (August 31, 
2006), 71 FR 52829 (September 7, 2006) (order granting an exemption 
for each NMS stock component of certain qualified contingent trades 
from Rule 611(a) of Regulation NMS).
    \6\ The ISE Stock Exchange is a facility of ISE, LLC.
    \7\ See ISE Rule 2100(c)(16).
    \8\ See ISE Rule 2100(c)(20).
    \9\ See ISE Rule 2100(c)(19).
---------------------------------------------------------------------------

    A contingent trade ``is a multi-component trade involving orders 
for a security and a related derivative, or, in the alternative, orders 
for related securities, that are executed at or near the same time.'' 
Proposed Rule 2107(c)(8) provides an exemption for any Trade-Throughs 
caused by the execution of an order involving one or more NMS stocks 
(each an ``Exempted Stock Transaction'') that are components of a 
qualified contingent trade. A ``qualified contingent trade'' is a 
transaction consisting of two or more component orders, executed as 
agent or principal, where: (1) At least one component order is in an 
NMS stock; (2) all components are effected with a product or price 
contingency that has been agreed to by the parties; (3) the execution 
of one component is contingent upon the execution of all other 
components at or near the same time; (4) the specific relationship 
between the component orders is determined at the time the contingent 
order is placed; (5) the component orders bear a derivative 
relationship to one another, represent different classes of shares of 
the same issuer, or involve the securities of participants in mergers 
or with intentions to merge that have been announced or since 
cancelled; (6) the exempted transaction is fully hedged as a result of 
the other components of the contingent trade; and (7) the exempted 
transaction that is part of a contingent trade involves at least 10,000 
shares or has a market value of at least $200,000.
    The Exchange also proposes to clean-up the rule text in the 
Supplementary Material to Rule 2107, which contains provisions 
applicable to trading in securities prior to the ``Trading Phase Date'' 
of Regulation NMS as that date has since past.

2. Statutory Basis

    The basis under the Act for this proposed rule change is found in 
Section 6(b)(5).\10\ Specifically, the Exchange believes the proposed 
rule change is consistent with Section 6(b)(5) requirements that the 
rules of an exchange be designed to promote just and equitable 
principles of trade, serve to remove impediments to and perfect the 
mechanism for a free and open market and a national market system, and, 
in general, to protect investors and the public interest.
---------------------------------------------------------------------------

    \10\ 15 U.S.C. 78f(b)(5).
---------------------------------------------------------------------------

B. Self-Regulatory Organization's Statement on Burden on Competition 
The proposed rule change does not 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 The Exchange 
has not solicited, and does not intend to solicit, comments on this 
proposed rule change. The Exchange has not received any unsolicited 
written comments from members or other interested persons.

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

    Because the proposed rule change 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 after the date of filing, or such shorter time as the Commission 
may designate if consistent with the protection of investors and the 
public interest, the proposed rule change has become effective pursuant 
to Section 19(b)(3)(A) of the Act \11\ and subparagraph (f)(6) of Rule 
19b-4 thereunder.\12\ As required under Rule 19b-4(f)(6)(iii),\13\ the 
ISE provided the Commission with written notice of its intent to file 
the proposed rule change, along with a brief description and text of 
the proposed rule change, at least five business days prior to the date 
of the filing of the proposed rule change.
---------------------------------------------------------------------------

    \11\ 15 U.S.C. 78s(b)(3)(A).
    \12\ 17 CFR 240.19b-4(f)(6).
    \13\ 17 CFR 240.19b-4(f)(6)(iii).
---------------------------------------------------------------------------

    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.\14\ 
However, Rule 19b-4(f)(6)(iii) \15\ permits the Commission to designate 
a shorter time if such action is consistent with the protection of 
investors and the public interest. The ISE requests that the Commission 
waive the 30-day operative delay period for ``non-controversial'' 
proposals under Rule 19b-4(f)(6) \16\ and make the proposed rule change 
effective and operative upon filing. The Commission believes that 
waiving the 30-day operative delay is consistent with the protection of 
investors and the public interest. The Commission notes that the 
proposed rule language is identical to language contained in the 
Commission's exemption for qualified contingent

[[Page 60402]]

trades.\17\ In addition, the Commission notes that the proposed rule 
language is identical to a rule of the Chicago Stock Exchange, Inc. 
previously approved by the Commission.\18\ Accordingly, the Commission 
designates the proposed rule change operative upon filing with the 
Commission.\19\
---------------------------------------------------------------------------

    \14\ Id.
    \15\ Id.
    \16\ Id.
    \17\ See supra note 5.
    \18\ See Securities Exchange Act Release No. 54550 (September 
29, 2006), 71 FR 59563 (October 10, 2006) (order approving SR-CHX-
2006-05).
    \19\ For purposes only of waiving the 30-day operative delay, 
the Commission has considered the impact of the proposed rule on 
efficiency, competition, and capital formation. See 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 the 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 Number SR-ISE-2007-88 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-ISE-2007-88. This file 
number should be included on the subject line if e-mail is used. To 
help the Commission process and review your comments more efficiently, 
please use only one method. The Commission will post all comments on 
the Commission's Internet Web site (http://www.sec.gov/rules/
sro.shtml). Copies of the submission, all subsequent amendments, all 
written statements with respect to the proposed rule change that are 
filed with the Commission, and all written communications relating to 
the proposed rule change between the Commission and any person, other 
than those that may be withheld from the public in accordance with the 
provisions of 5 U.S.C. 552, will be available for inspection and 
copying in the Commission's Public Reference Room, 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 filing also will be available for 
inspection and copying at the principal office of the ISE. 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-ISE-2007-88 and should be 
submitted on or before November 14, 2007.

    For the Commission, by the Division of Market Regulation, 
pursuant to delegated authority.\20\
---------------------------------------------------------------------------

    \20\ 17 CFR 200.30-3(a)(12).
---------------------------------------------------------------------------

Florence E. Harmon,
Deputy Secretary.
 [FR Doc. E7-20898 Filed 10-23-07; 8:45 am]
BILLING CODE 8011-01-P