Roundtable on Fair Value Accounting Standards, 39349-39350 [E8-15570]

Download as PDF jlentini on PROD1PC65 with NOTICES Federal Register / Vol. 73, No. 132 / Wednesday, July 9, 2008 / Notices including the consideration to be paid and received, as described in this Application, are reasonable and fair and do not involve overreaching on the part of any person concerned. The Section 17 Applicants also submit that the proposed in-kind purchases by the Separate Accounts are consistent with the policies of Penn Mutual and PIA and the individual Replacement Funds. Finally, the Section 17 Applicants submit that the proposed Substitutions are consistent with the general purposes of the 1940 Act. 9. To the extent that the Separate Accounts’ in-kind purchases of Replacement Fund shares are deemed to involve principal transactions between entities which are affiliates of affiliates, the Section 17 Applicants maintain that the terms of the proposed in-kind purchase transactions, including the consideration to be paid and received by each Replacement Fund involved, are reasonable, fair and do not involve overreaching. In addition, although not applicable, the Section 17 Applicants represent that the in-kind transactions will conform with all of the conditions enumerated in Rule 17a–7, except that the consideration paid for the securities being purchased or sold may not be entirely cash. 10. The proposed transactions will take place at relative net asset value in conformity with the requirements of Section 22(c) of the 1940 Act and Rule 22c–1 thereunder with no change in the amount of any Contract Owner’s Account Value or death benefit or in the dollar value of his or her investment in any Sub-Account. Contract Owners will not suffer any adverse tax consequences as a result of the Substitutions. The fees and charges under the Contracts will not increase because of the Substitutions. 11. Even though they may not rely on Rule 17a–7, the Section 17 Applicants believe that the Rule’s conditions outline the type of safeguards that result in transactions that are fair and reasonable to registered investment company participants and preclude overreaching. Nevertheless, the circumstances surrounding the proposed Substitutions will be such as to offer the same degree of protection to each Replacement Fund from overreaching that Rule 17a–7 provides to them generally in connection with their purchase and sale of securities under that Rule in the ordinary course of their business. In particular, Penn Mutual and PIA (or any of their affiliates) cannot effect the proposed transactions at a price that is disadvantageous to any of the Replacement Funds. Moreover, although the transactions may not be entirely for VerDate Aug<31>2005 16:15 Jul 08, 2008 Jkt 214001 39349 cash, the Section 17 Applicants assert that each will be effected based upon (1) the independent market price of the portfolio securities valued as specified in paragraph (b) of Rule 17a–7, and (2) the net asset value per share of each Replacement Fund involved valued in accordance with the procedures disclosed in its registration statement and as required by Rule 22c–1 under the 1940 Act. No brokerage commission, fee, or other remuneration will be paid to any party in connection with the proposed transactions. 12. The Section 17 Applicants also argue that the sale of shares of Replacement Funds for investment securities, as contemplated by the proposed in-kind transactions, is consistent with the investment policy and restrictions of the Replacement Funds because (1) the shares are sold at their net asset value, and (2) the portfolio securities are of the type and quality that the Replacement Funds would each have acquired with the proceeds from share sales had the shares been sold for cash. To assure that the second of these conditions is met, the adviser or sub-adviser, as applicable of a Replacement Fund will undertake to examine the portfolio securities being offered to each Replacement Fund and accept only those securities as consideration for shares that it would have acquired for each such fund in a cash transaction. 13. The Section 17 Applicants also assert that the proposed in-kind transactions are consistent with the general purposes of the 1940 Act as stated in the Findings and Declaration of Policy in Section 1 of the 1940 Act and do not present any of the conditions or abuses that the 1940 Act was designed to prevent. SECURITIES AND EXCHANGE COMMISSION Conclusion: Dated: July 2, 2008. Florence E. Harmon, Acting Secretary. [FR Doc. E8–15480 Filed 7–8–08; 8:45 am] For the reasons set forth in the application, the Applicants each respectfully request that the Commission issue an order of approval pursuant to Section 26(c) of the 1940 Act and an order of exemption pursuant to Section 17(b) of the 1940 Act. For the Commission, by the Division of Investment Management, pursuant to delegated authority. Florence E. Harmon, Acting Secretary. [FR Doc. E8–15514 Filed 7–8–08; 8:45 am] BILLING CODE 8010–01–P PO 00000 Frm 00072 Fmt 4703 Sfmt 4703 Sunshine Act Meeting Notice is hereby given, pursuant to the provisions of the Government in the Sunshine Act, Public Law 94–409, that the Securities and Exchange Commission will hold a Closed Meeting on July 10, 2008 at 2 p.m. Commissioners, Counsel to the Commissioners, the Secretary to the Commission, and recording secretaries will attend the Closed Meeting. Certain staff members who have an interest in the matters also may be present. The General Counsel of the Commission, or his designee, has certified that, in his opinion, one or more of the exemptions set forth in 5 U.S.C. 552b(c)(5), (7), (9)(B), and (10) and 17 CFR 200.402(a)(5), (7), 9(ii) and (10), permit consideration of the scheduled matters at the Closed Meeting. Commissioner Atkins, as duty officer, voted to consider the items listed for the Closed Meeting in closed session. The subject matter of the Closed Meeting scheduled for July 10, 2008 will be: Formal orders of investigation; Institution and settlement of injunctive actions; Institution and settlement of administrative proceedings of an enforcement nature; Amicus consideration; and Other matters related to enforcement proceedings. At times, changes in Commission priorities require alterations in the scheduling of meeting items. For further information and to ascertain what, if any, matters have been added, deleted or postponed, please contact: The Office of the Secretary at (202) 551–5400. BILLING CODE 8010–01–P SECURITIES AND EXCHANGE COMMISSION [Release Nos. 33–8941; 34–58097; File No. 4–560] Roundtable on Fair Value Accounting Standards Securities and Exchange Commission. ACTION: Notice of roundtable discussion; request for comment. AGENCY: E:\FR\FM\09JYN1.SGM 09JYN1 39350 Federal Register / Vol. 73, No. 132 / Wednesday, July 9, 2008 / Notices SUMMARY: On July 9, 2008, the Securities and Exchange Commission will hold a roundtable to facilitate an open discussion of the benefits and potential challenges associated with existing fair value accounting and auditing standards. The roundtable will be organized as two panels: The first panel to discuss fair value accounting issues from the perspective of larger financial institutions and the needs of their investors; and the second panel to discuss the issues from the perspective of all public companies, including small public companies, and the needs of their investors. The panels will include investors, preparers, auditors, regulators and other interested parties. Additionally, representatives from the Financial Accounting Standards Board, International Accounting Standards Board and Public Company Accounting Oversight Board will be present as observers. The roundtable will be held in the auditorium at the SEC’s headquarters at 100 F Street, NE., Washington, DC. The roundtable will be open to the public with seating on a first-come, first-served basis. The roundtable discussions also will be available via webcast on the SEC’s Web site at http://www.sec.gov. The roundtable agenda and other materials related to the roundtable, including a list of participants and moderators, will be accessible at http://www.sec.gov/spotlight/ fairvalue.htm. The Commission welcomes feedback regarding any of the topics to be addressed at the roundtable. DATES: Comments should be received on or before July 23, 2008. ADDRESSES: Comments may be submitted by any of the following methods: Electronic Comments • Use the Commission’s Internet submission form (http://www.sec.gov/ rules/other.shtml); or • Send an e-mail to rulecomments@sec.gov. Please include File Number 4–560 on the subject line. jlentini on PROD1PC65 with NOTICES Paper Comments • Send paper comments in triplicate to Florence Harmon, Acting Secretary, Securities and Exchange Commission, 100 F Street, NE., Washington, DC 20549–1090. All submissions should refer to File No. 4–560. This file number should be included on the subject line if e-mail is used. To help us process and review your comments more efficiently, please use only one method. The Commission staff will post all comments on the Commission’s Internet Web site (http:// VerDate Aug<31>2005 16:15 Jul 08, 2008 Jkt 214001 www.sec.gov/comments/4–560/4– 560.shtml). Comments also will be available for public 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. All comments received will be posted without change; we do not edit personal identifying information from submissions. You should submit only information that you wish to make available publicly. FOR FURTHER INFORMATION CONTACT: James L. Kroeker, Deputy Chief Accountant, or Rachel Mincin, Associate Chief Accountant, at (202) 551–5300, Office of the Chief Accountant, Securities and Exchange Commission, 100 F Street, NE., Washington, DC 20549–6561. SUPPLEMENTARY INFORMATION: The Commission welcomes feedback regarding any of the topics to be addressed at the roundtable. The panel discussions will focus on: • The usefulness of fair value accounting to investors • Potential market behavior effects from fair value accounting • Practical experience and potential challenges in applying fair value accounting standards • Aspects of the current standards, if any, that can be improved • Experience with auditors providing assurance regarding fair value accounting. By the Commission. Dated: July 3, 2008. Florence E. Harmon, Acting Secretary. [FR Doc. E8–15570 Filed 7–8–08; 8:45 am] BILLING CODE 8010–01–P SECURITIES AND EXCHANGE COMMISSION [Release No. 34–58060; File No. SR–Amex– 2008–49] Self-Regulatory Organizations; American Stock Exchange LLC; Notice of Filing and Immediate Effectiveness of Proposed Rule Change To Amend Section 107 of the Company Guide June 30, 2008. 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 13, 2008, the American Stock Exchange LLC (‘‘Amex’’ or ‘‘Exchange’’) filed with the Securities and Exchange Commission PO 00000 1 15 2 17 U.S.C. 78s(b)(1). CFR 240.19b–4. Frm 00073 Fmt 4703 (‘‘Commission’’) the proposed rule change as described in Items I and II below, which Items have been prepared substantially by Amex. Amex filed the proposal as a ‘‘non-controversial’’ proposed rule change pursuant to Section 19(b)(3)(A)(iii) of the Act 3 and Rule 19b–4(f)(6) thereunder,4 which renders it 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 Exchange proposes to make certain non-substantive housekeeping changes to various subsections of Section 107 of the Amex Company Guide (the ‘‘Company Guide’’). The text of the proposed rule change is available at Amex, the Commission’s Public Reference Room, and http:// 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, 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. 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 The purpose of the proposed rule change is to make certain nonsubstantive changes to the rule text of Section 107 of the Company Guide. The Exchange in this proposal seeks to reduce the duplications in subsections of Sections 107D through 107I by consolidating provisions that apply to all securities listed under Section 107 of the Company Guide (the ‘‘Section 107 Securities’’). Over the past several years, the Exchange has adopted a variety of ‘‘generic’’ listing standards applicable to Index-Linked Securities, CommodityLinked Securities, Currency-Linked Securities, Fixed Income-Linked Securities, Futures-Linked Securities 3 15 4 17 Sfmt 4703 E:\FR\FM\09JYN1.SGM U.S.C. 78s(b)(3)(A). CFR 240.19b–4(f)(6). 09JYN1

Agencies

[Federal Register Volume 73, Number 132 (Wednesday, July 9, 2008)]
[Notices]
[Pages 39349-39350]
From the Federal Register Online via the Government Printing Office [www.gpo.gov]
[FR Doc No: E8-15570]


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SECURITIES AND EXCHANGE COMMISSION

[Release Nos. 33-8941; 34-58097; File No. 4-560]


Roundtable on Fair Value Accounting Standards

AGENCY: Securities and Exchange Commission.

ACTION: Notice of roundtable discussion; request for comment.

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[[Page 39350]]

SUMMARY: On July 9, 2008, the Securities and Exchange Commission will 
hold a roundtable to facilitate an open discussion of the benefits and 
potential challenges associated with existing fair value accounting and 
auditing standards. The roundtable will be organized as two panels: The 
first panel to discuss fair value accounting issues from the 
perspective of larger financial institutions and the needs of their 
investors; and the second panel to discuss the issues from the 
perspective of all public companies, including small public companies, 
and the needs of their investors. The panels will include investors, 
preparers, auditors, regulators and other interested parties. 
Additionally, representatives from the Financial Accounting Standards 
Board, International Accounting Standards Board and Public Company 
Accounting Oversight Board will be present as observers.
    The roundtable will be held in the auditorium at the SEC's 
headquarters at 100 F Street, NE., Washington, DC. The roundtable will 
be open to the public with seating on a first-come, first-served basis. 
The roundtable discussions also will be available via webcast on the 
SEC's Web site at http://www.sec.gov. The roundtable agenda and other 
materials related to the roundtable, including a list of participants 
and moderators, will be accessible at http://www.sec.gov/spotlight/
fairvalue.htm. The Commission welcomes feedback regarding any of the 
topics to be addressed at the roundtable.

DATES: Comments should be received on or before July 23, 2008.

ADDRESSES: Comments may be submitted by any of the following methods:

Electronic Comments

     Use the Commission's Internet submission form (http://
www.sec.gov/rules/other.shtml); or
     Send an e-mail to rule-comments@sec.gov. Please include 
File Number 4-560 on the subject line.

Paper Comments

     Send paper comments in triplicate to Florence Harmon, 
Acting Secretary, Securities and Exchange Commission, 100 F Street, 
NE., Washington, DC 20549-1090.

    All submissions should refer to File No. 4-560. This file number 
should be included on the subject line if e-mail is used. To help us 
process and review your comments more efficiently, please use only one 
method. The Commission staff will post all comments on the Commission's 
Internet Web site (http://www.sec.gov/comments/4-560/4-560.shtml). 
Comments also will be available for public 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. All comments received will be posted without change; we do not 
edit personal identifying information from submissions. You should 
submit only information that you wish to make available publicly.

FOR FURTHER INFORMATION CONTACT: James L. Kroeker, Deputy Chief 
Accountant, or Rachel Mincin, Associate Chief Accountant, at (202) 551-
5300, Office of the Chief Accountant, Securities and Exchange 
Commission, 100 F Street, NE., Washington, DC 20549-6561.

SUPPLEMENTARY INFORMATION: The Commission welcomes feedback regarding 
any of the topics to be addressed at the roundtable. The panel 
discussions will focus on:
     The usefulness of fair value accounting to investors
     Potential market behavior effects from fair value 
accounting
     Practical experience and potential challenges in applying 
fair value accounting standards
     Aspects of the current standards, if any, that can be 
improved
     Experience with auditors providing assurance regarding 
fair value accounting.

    By the Commission.

    Dated: July 3, 2008.
Florence E. Harmon,
Acting Secretary.
 [FR Doc. E8-15570 Filed 7-8-08; 8:45 am]
BILLING CODE 8010-01-P