Self-Regulatory Organizations; NYSE Arca, Inc.; Notice of Filing of Proposed Rule Change Relating to Listing Certain Derivative Products Pursuant to Continued Listing Criteria, 60388-60390 [E8-24180]

Download as PDF 60388 Federal Register / Vol. 73, No. 198 / Friday, October 10, 2008 / Notices designates the proposal operative upon filing. 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. 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 (http://www.sec.gov/ rules/sro.shtml); or • Send an e-mail to rulecomments@sec.gov. Please include File Number SR–NYSEArca–2008–106 on the subject line. you wish to make available publicly. All submissions should refer to File Number SR–NYSEArca–2008–106 and should be submitted on or before October 31, 2008. For the Commission, by the Division of Trading and Markets, pursuant to delegated authority.15 Florence E. Harmon, Acting Secretary. [FR Doc. E8–24179 Filed 10–9–08; 8:45 am] BILLING CODE 8011–01–P SECURITIES AND EXCHANGE COMMISSION [Release No. 34–58734; File No. SR– NYSEArca–2008–105] Self-Regulatory Organizations; NYSE Arca, Inc.; Notice of Filing of Proposed Rule Change Relating to Listing Certain Derivative Products Pursuant to Continued Listing Criteria October 6, 2008. Pursuant to Section 19(b)(1) of the Securities Exchange Act of 1934 (‘‘Act’’ or ‘‘Exchange Act’’) 1 and Rule 19b–4 Paper Comments thereunder,2 notice is hereby given that on October 1, 2008, NYSE Arca, Inc. • Send paper comments in triplicate (‘‘NYSE Arca’’ or ‘‘Exchange’’) filed to Secretary, Securities and Exchange with the Securities and Exchange Commission, 100 F Street, NE., Commission (‘‘Commission’’) the Washington, DC 20549–1090. proposed rule change as described in All submissions should refer to File Items I, II, and III below, which Items Number SR–NYSEArca–2008–106. This have been prepared by NYSE Arca. The file number should be included on the Commission is publishing this notice to subject line if e-mail is used. To help the solicit comments on the proposed rule Commission process and review your change from interested persons. comments more efficiently, please use only one method. The Commission will I. Self-Regulatory Organization’s post all comments on the Commission’s Statement of the Terms of Substance of the Proposed Rule Change Internet Web site (http://www.sec.gov/ rules/sro.shtml). Copies of the NYSE Arca, through its wholly owned submission, all subsequent subsidiary NYSE Arca Equities, Inc. amendments, all written statements (‘‘NYSE Arca Equities’’), proposes to with respect to the proposed rule adopt Commentary .01 to Rule 5.2(b) to change that are filed with the allow NYSE Arca to list Derivative Commission, and all written Products (as defined in the proposed communications relating to the Commentary .01 to Rule 5.2(b)) that (1) proposed rule change between the were originally listed on another Commission and any person, other than registered national securities exchange those that may be withheld from the on an initial listing basis and continue public in accordance with the to be listed on such other registered provisions of 5 U.S.C. 552, will be national securities exchange, and (2) available for inspection and copying in satisfy the Exchange’s continued listing the Commission’s Public Reference criteria. The text of the proposed rule Room, 100 F Street, NE., Washington, change is set forth below (new language DC 20549, on official business days is in italics): between the hours of 10 a.m. and 3 p.m. Rule 5.2(b) Copies of the filing also will be available * * * * * for inspection and copying at the Commentary: principal office of the Exchange. All .01 The Exchange is permitted to list comments received will be posted any Derivative Product, as described without change; the Commission does not edit personal identifying 15 17 CFR 200.30–3(a)(12). 1 15 U.S.C. 78s(b)(1). information from submissions. You 2 17 CFR 240.19b–4. should submit only information that VerDate Aug<31>2005 20:11 Oct 09, 2008 Jkt 217001 PO 00000 Frm 00161 Fmt 4703 Sfmt 4703 below, that (1) was originally listed on another registered national securities exchange (‘‘Other SRO’’) and continues to be listed on such Other SRO; and (2) satisfies the Exchange’s continued listing criteria that are applicable to the product class that would include such Derivative Product. For the purposes of this rule, the term ‘‘Derivative Product’’ shall include securities described in NYSE Arca Equities Rules 5.2(j)(2) (Equity Linked Notes); 5.2(j)(3) (Investment Company Units); 5.2(j)(4) (Index-Linked Exchangeable Notes); 5.2(j)(6) (Equity Index-Linked Securities, Commodity-Linked Securities, Currency-Linked Securities, Fixed Income Index-Linked Securities, Futures-Linked Securities and Multifactor Index-Linked Securities); 8.100 (Portfolio Depositary Receipts); and Commentary .01 to Rule 8.200 (Trust Issued Receipts). 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 self-regulatory organization 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 those 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 parts 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 to adopt Commentary .01 to NYSE Arca Equities Rule 5.2(b) to allow NYSE Arca to list Derivative Products (as defined in the proposed Commentary .01 to Rule 5.2(b)) 3 that (1) were originally listed on 3 For purposes of proposed Rule 5.2(b), Commentary .01, the term ‘‘Derivative Products’’ includes securities described in Rule 5.2(j)(2) (Equity-Linked Notes); Rule 5.2(j)(3) (Investment Company Units); Rule 5.2(j)(4) (Index-Linked Exchangeable Notes); and Rule 5.2(j)(6) (IndexLinked Securities); and the following securities enumerated in provisions of section 2 to Rule 8: Portfolio Depositary Receipts; and Trust Issued Receipts to be listed pursuant to Rule 8.200, Commentary .01. Exchange rules relating to listing and trading, including trading pursuant to unlisted trading privileges, of ‘‘Derivative Products’’ as described above permit listing and trading pursuant to Rule 19b–4(e) under the Exchange Act. Rule 19b– 4(e) under the Exchange Act provides that the listing and trading of a new derivative securities product by a self-regulatory organization (‘‘SRO’’) shall not be deemed a proposed rule change, E:\FR\FM\10OCN1.SGM 10OCN1 Federal Register / Vol. 73, No. 198 / Friday, October 10, 2008 / Notices mstockstill on PROD1PC66 with NOTICES another registered national securities exchange (‘‘Other SRO’’) on an initial listing basis and continue to be listed on such Other SRO and (2) satisfy the Exchange’s continued listing criteria applicable to the relevant product class. Such Derivative Products would be listed pursuant to NYSE Arca Equities continued listing criteria. For example, in the case of an IndexLinked Security that is listed on an Other SRO, the staff of the Exchange would determine whether the IndexLinked Security met the continued listing criteria. If the Index-Linked Security met the continued listing criteria, then the Exchange would proceed to list such security on the Exchange. If the Index-Linked Security did not meet the continued listing criteria, the staff of the Exchange would then, in its sole discretion, either file a separate rule filing under Rule 19b–4 of the Exchange Act proposing that the Index-Linked Security be listed on the Exchange pursuant to the criteria set forth in the rule filing, or decline to list the Index-Linked Security on the Exchange. The Exchange believes that application of continued listing criteria is appropriate to facilitate the listing of Derivative Products from Other SROs to the Exchange. Because the Exchange’s continued listing criteria are similar or identical to those of certain Other SROs, the Exchange believes there would be no significant regulatory concerns with facilitating the efficient and timely listing of Other SRO-listed Derivative Products by allowing such products to satisfy continued listing criteria.4 Also, in light of the similar nature of the continued listing criteria of the Exchange and Other SROs, such as the Amex, the Exchange believes that having the ability to apply continued listing criteria in verifying that the pursuant to section (c)(1) of Rule 19b–4, if the Commission has approved, pursuant to Section 19(b) of the Exchange Act, the SRO’s trading rules, procedures, and listing standards for the product class that would include the new derivatives securities product, and the SRO has a surveillance program for the product class. See Securities Exchange Act Release No. 40761 (December 8, 1998), 63 FR 70952 (December 22, 1998) (File No. S7–13–98). 4 For example, the following are American Stock Exchange LLC (‘‘Amex’’) listing standards for Derivative Products having similar or identical continued listing standards to those of the Exchange: Index Fund Shares (Amex Rule 1000A et seq.); Portfolio Depositary Receipts (Rules 1000 et seq.); Trust Issued Receipts (Rules 1200 et seq.); and securities listed under Section 107 of the Amex Company Guide, including Equity-Linked Term Notes; Index-Linked Exchangeable Notes; IndexLinked Securities; Commodity-Linked Securities; Currency-Linked Securities; Fixed Income-Linked Securities; Futures-Linked Securities; and Combination-Linked Securities. VerDate Aug<31>2005 20:11 Oct 09, 2008 Jkt 217001 Derivatives Products are qualified to be listed on the Exchange will not harm investors. In addition, such flexibility will assist certain issuers of Derivative Products in remaining listed and traded on a national securities exchange, without risking possible delisting based on a failure to meet the applicable Exchange initial listing criteria. Prior to listing on the Exchange, the issuer of a Derivative Product would be required to properly delist from the Other SRO and satisfy the applicable listing procedures of the Exchange and applicable statutory and regulatory requirements, including, without limitation, Section 12 of the Act,5 relating to listing such Derivative Product on the Exchange. The Exchange represents that, for any Derivative Product listed pursuant to proposed Commentary .01 to Rule 5.2(b), other than the initial listing standards, the shares of such Derivative Product will comply with all other pertinent requirements applicable to the product class that would include such Derivative Product, including, but not limited to, requirements relating to the dissemination of key information, such as an index value, reference asset value, and intraday indicative value, rules governing the trading of equity securities, trading hours, trading halts, surveillance, firewalls, and Information Bulletins to ETP Holders, as set forth in Exchange rules applicable to such Derivative Product and prior Commission orders approving the generic listing rules applicable to the listing and trading of such Derivative Product.6 2. Statutory Basis The proposed rule change is consistent with Section 6(b) 7 of the Act in general and furthers the objectives of Section 6(b)(5) 8 in particular in that it is designed to prevent fraudulent and manipulative acts and practices, to promote just and equitable principles of trade, to foster cooperation and coordination with persons engaged in regulating, clearing, settling, processing information with respect to, and facilitating transaction in securities, and, in general to protect investors and the public interest. The proposed rule change would assist Other-SRO Derivative Product issuers to list on the Exchange, thus removing a potential impediment to the mechanism of a free 5 15 U.S.C. 78(l). email from Michael Cavalier, Chief Counsel, NYSE Euronext, to Christopher Chow, Special Counsel, Commission, dated October 2, 2008. 7 15 U.S.C. 78f(b). 8 15 U.S.C. 78f(b)(5). 6 See PO 00000 Frm 00162 Fmt 4703 Sfmt 4703 60389 and open market and protecting the public interest. B. Self-Regulatory Organization’s Statement on Burden on Competition The Exchange does not believe that the proposed rule change will impose any burden on competition that is not necessary or appropriate in furtherance of the purposes of the Act. C. Self-Regulatory Organization’s Statement on Comments on the Proposed Rule Change Received from Members, Participants or Others No written comments were solicited or received with respect to the proposed rule change. 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 self-regulatory organization consents, the Commission will: A. By order approve the 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 (http://www.sec.gov/ rules/sro.shtml); or • Send an e-mail to rulecomments@sec.gov. Please include File Number SR–NYSEArca–2008–105 on the subject line. Paper Comments • Send paper comments in triplicate to Secretary, Securities and Exchange Commission, 100 F Street, NE., Washington, DC 20549–1090. All submissions should refer to File Number SR–NYSEArca–2008–105. 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 E:\FR\FM\10OCN1.SGM 10OCN1 60390 Federal Register / Vol. 73, No. 198 / Friday, October 10, 2008 / Notices 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 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 Number SR–NYSEArca–2008–105 and should be submitted on or before October 31, 2008. For the Commission, by the Division of Trading and Markets, pursuant to delegated authority.9 Florence E. Harmon, Acting Secretary. [FR Doc. E8–24180 Filed 10–9–08; 8:45 am] BILLING CODE 8011–01–P 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 President’s major disaster declaration on 09/26/2008, Private Non-Profit organizations that provide essential services of governmental nature may file disaster loan applications at the address listed above or other locally announced locations. The following areas have been determined to be adversely affected by the disaster: Primary Counties:Baldwin, Mobile. The Interest Rates are: Percent Other (Including Non-Profit Organizations) With Credit Available Elsewhere ................................. Businesses and Non-Profit Organizations Without Credit Available Elsewhere ......................... 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 President’s major disaster declaration on 09/26/2008, Private Non-Profit organizations that provide essential services of governmental nature may file disaster loan applications at the address listed above or other locally announced locations. The following areas have been determined to be adversely affected by the disaster: Primary Counties: Denali Borough, Fairbanks North Star Borough, North Slope Borough, YukonKoyukuk REAA. The Interest Rates are: 5.250 4.000 The number assigned to this disaster for physical damage and for economic injury is 11467. (Catalog of Federal Domestic Assistance Numbers 59002 and 59008) Herbert L. Mitchell, Associate Administrator for Disaster Assistance. [FR Doc. E8–24080 Filed 10–9–08; 8:45 am] Percent Other (Including Non-Profit Organizations) With Credit Available Elsewhere ................................. Businesses and Non-Profit Organizations Without Credit Available Elsewhere ......................... 5.250 4.000 The number assigned to this disaster for physical damage and economic injury is 11466. (Catalog of Federal Domestic Assistance Numbers 59002 and 59008) Alabama Disaster #AL–00016 SMALL BUSINESS ADMINISTRATION Herbert L. Mitchell, Associate Administrator for Disaster Assistance. [FR Doc. E8–24083 Filed 10–9–08; 8:45 am] U.S. Small Business Administration. ACTION: Notice. [Disaster Declaration #11466] BILLING CODE 8025–01–P SMALL BUSINESS ADMINISTRATION BILLING CODE 8025–01–P [Disaster Declaration #11467] mstockstill on PROD1PC66 with NOTICES AGENCY: Alaska Disaster #AK–00014 SUMMARY: This is a Notice of the Presidential declaration of a major disaster for Public Assistance Only for the State ofAlabama (FEMA–1797–DR), dated 09/26/2008. Incident: Severe Storms and Flooding associated with Hurricane Ike. Incident Period: 09/12/2008 through 09/14/2008. Effective Date: 09/26/2008. Physical Loan Application Deadline Date: 11/25/2008. Economic Injury (EIDL) Loan Application Deadline Date: 06/26/2009. ADDRESSES: Submit completed loan applications to:U.S. Small Business Administration, Processing and 9 17 CFR 200.30–3(a)(12). VerDate Aug<31>2005 20:11 Oct 09, 2008 Jkt 217001 SMALL BUSINESS ADMINISTRATION U.S. Small Business Administration. ACTION: Notice. AGENCY: [Disaster Declaration #11469 and #11470] Illinois Disaster #IL–00019 SUMMARY: This is a Notice of the Presidential declaration of a major disaster for Public Assistance Only for the State of Alaska (FEMA–1796–DR), dated 09/26/2008. Incident: Severe Storms, Flooding, Landslides, and Mudslides. Incident Period: 07/27/2008 through 08/06/2008. Effective Date: 09/26/2008. Physical Loan Application Deadline Date: 11/25/2008. Economic Injury (EIDL) Loan Application Deadline Date: 06/26/2009. ADDRESSES: Submit completed loan applications to: U.S. Small Business PO 00000 Frm 00163 Fmt 4703 Sfmt 4703 U.S. Small Business Administration. ACTION: Notice. AGENCY: SUMMARY: This is a Notice of the Presidential declaration of a major disaster for the State of Illinois (FEMA— 1800—DR), dated 10/03/2008. Incident: Severe Storms and Flooding. Incident Period: 09/13/2008 and continuing. Effective Date: 10/03/2008. Physical Loan Application Deadline Date: 12/02/2008. Economic Injury (EIDL) Loan Application Deadline Date: 07/03/2009. E:\FR\FM\10OCN1.SGM 10OCN1

Agencies

[Federal Register Volume 73, Number 198 (Friday, October 10, 2008)]
[Notices]
[Pages 60388-60390]
From the Federal Register Online via the Government Printing Office [www.gpo.gov]
[FR Doc No: E8-24180]


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SECURITIES AND EXCHANGE COMMISSION

[Release No. 34-58734; File No. SR-NYSEArca-2008-105]


Self-Regulatory Organizations; NYSE Arca, Inc.; Notice of Filing 
of Proposed Rule Change Relating to Listing Certain Derivative Products 
Pursuant to Continued Listing Criteria

 October 6, 2008.
    Pursuant to Section 19(b)(1) of the Securities Exchange Act of 1934 
(``Act'' or ``Exchange Act'') \1\ and Rule 19b-4 thereunder,\2\ notice 
is hereby given that on October 1, 2008, NYSE Arca, Inc. (``NYSE Arca'' 
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 prepared by NYSE Arca. 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.
---------------------------------------------------------------------------

I. Self-Regulatory Organization's Statement of the Terms of Substance 
of the Proposed Rule Change

    NYSE Arca, through its wholly owned subsidiary NYSE Arca Equities, 
Inc. (``NYSE Arca Equities''), proposes to adopt Commentary .01 to Rule 
5.2(b) to allow NYSE Arca to list Derivative Products (as defined in 
the proposed Commentary .01 to Rule 5.2(b)) that (1) were originally 
listed on another registered national securities exchange on an initial 
listing basis and continue to be listed on such other registered 
national securities exchange, and (2) satisfy the Exchange's continued 
listing criteria. The text of the proposed rule change is set forth 
below (new language is in italics):
    Rule 5.2(b)
* * * * *
    Commentary:
    .01 The Exchange is permitted to list any Derivative Product, as 
described below, that (1) was originally listed on another registered 
national securities exchange (``Other SRO'') and continues to be listed 
on such Other SRO; and (2) satisfies the Exchange's continued listing 
criteria that are applicable to the product class that would include 
such Derivative Product. For the purposes of this rule, the term 
``Derivative Product'' shall include securities described in NYSE Arca 
Equities Rules 5.2(j)(2) (Equity Linked Notes); 5.2(j)(3) (Investment 
Company Units); 5.2(j)(4) (Index-Linked Exchangeable Notes); 5.2(j)(6) 
(Equity Index-Linked Securities, Commodity-Linked Securities, Currency-
Linked Securities, Fixed Income Index-Linked Securities, Futures-Linked 
Securities and Multifactor Index-Linked Securities); 8.100 (Portfolio 
Depositary Receipts); and Commentary .01 to Rule 8.200 (Trust Issued 
Receipts).

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 self-regulatory organization 
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 those 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 parts 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 to adopt Commentary .01 to NYSE Arca 
Equities Rule 5.2(b) to allow NYSE Arca to list Derivative Products (as 
defined in the proposed Commentary .01 to Rule 5.2(b)) \3\ that (1) 
were originally listed on

[[Page 60389]]

another registered national securities exchange (``Other SRO'') on an 
initial listing basis and continue to be listed on such Other SRO and 
(2) satisfy the Exchange's continued listing criteria applicable to the 
relevant product class. Such Derivative Products would be listed 
pursuant to NYSE Arca Equities continued listing criteria.
---------------------------------------------------------------------------

    \3\ For purposes of proposed Rule 5.2(b), Commentary .01, the 
term ``Derivative Products'' includes securities described in Rule 
5.2(j)(2) (Equity-Linked Notes); Rule 5.2(j)(3) (Investment Company 
Units); Rule 5.2(j)(4) (Index-Linked Exchangeable Notes); and Rule 
5.2(j)(6) (Index-Linked Securities); and the following securities 
enumerated in provisions of section 2 to Rule 8: Portfolio 
Depositary Receipts; and Trust Issued Receipts to be listed pursuant 
to Rule 8.200, Commentary .01. Exchange rules relating to listing 
and trading, including trading pursuant to unlisted trading 
privileges, of ``Derivative Products'' as described above permit 
listing and trading pursuant to Rule 19b-4(e) under the Exchange 
Act. Rule 19b-4(e) under the Exchange Act provides that the listing 
and trading of a new derivative securities product by a self-
regulatory organization (``SRO'') shall not be deemed a proposed 
rule change, pursuant to section (c)(1) of Rule 19b-4, if the 
Commission has approved, pursuant to Section 19(b) of the Exchange 
Act, the SRO's trading rules, procedures, and listing standards for 
the product class that would include the new derivatives securities 
product, and the SRO has a surveillance program for the product 
class. See Securities Exchange Act Release No. 40761 (December 8, 
1998), 63 FR 70952 (December 22, 1998) (File No. S7-13-98).
---------------------------------------------------------------------------

    For example, in the case of an Index-Linked Security that is listed 
on an Other SRO, the staff of the Exchange would determine whether the 
Index-Linked Security met the continued listing criteria. If the Index-
Linked Security met the continued listing criteria, then the Exchange 
would proceed to list such security on the Exchange. If the Index-
Linked Security did not meet the continued listing criteria, the staff 
of the Exchange would then, in its sole discretion, either file a 
separate rule filing under Rule 19b-4 of the Exchange Act proposing 
that the Index-Linked Security be listed on the Exchange pursuant to 
the criteria set forth in the rule filing, or decline to list the 
Index-Linked Security on the Exchange.
    The Exchange believes that application of continued listing 
criteria is appropriate to facilitate the listing of Derivative 
Products from Other SROs to the Exchange. Because the Exchange's 
continued listing criteria are similar or identical to those of certain 
Other SROs, the Exchange believes there would be no significant 
regulatory concerns with facilitating the efficient and timely listing 
of Other SRO-listed Derivative Products by allowing such products to 
satisfy continued listing criteria.\4\ Also, in light of the similar 
nature of the continued listing criteria of the Exchange and Other 
SROs, such as the Amex, the Exchange believes that having the ability 
to apply continued listing criteria in verifying that the Derivatives 
Products are qualified to be listed on the Exchange will not harm 
investors. In addition, such flexibility will assist certain issuers of 
Derivative Products in remaining listed and traded on a national 
securities exchange, without risking possible delisting based on a 
failure to meet the applicable Exchange initial listing criteria.
---------------------------------------------------------------------------

    \4\ For example, the following are American Stock Exchange LLC 
(``Amex'') listing standards for Derivative Products having similar 
or identical continued listing standards to those of the Exchange: 
Index Fund Shares (Amex Rule 1000A et seq.); Portfolio Depositary 
Receipts (Rules 1000 et seq.); Trust Issued Receipts (Rules 1200 et 
seq.); and securities listed under Section 107 of the Amex Company 
Guide, including Equity-Linked Term Notes; Index-Linked Exchangeable 
Notes; Index-Linked Securities; Commodity-Linked Securities; 
Currency-Linked Securities; Fixed Income-Linked Securities; Futures-
Linked Securities; and Combination-Linked Securities.
---------------------------------------------------------------------------

    Prior to listing on the Exchange, the issuer of a Derivative 
Product would be required to properly delist from the Other SRO and 
satisfy the applicable listing procedures of the Exchange and 
applicable statutory and regulatory requirements, including, without 
limitation, Section 12 of the Act,\5\ relating to listing such 
Derivative Product on the Exchange.
---------------------------------------------------------------------------

    \5\ 15 U.S.C. 78(l).
---------------------------------------------------------------------------

    The Exchange represents that, for any Derivative Product listed 
pursuant to proposed Commentary .01 to Rule 5.2(b), other than the 
initial listing standards, the shares of such Derivative Product will 
comply with all other pertinent requirements applicable to the product 
class that would include such Derivative Product, including, but not 
limited to, requirements relating to the dissemination of key 
information, such as an index value, reference asset value, and 
intraday indicative value, rules governing the trading of equity 
securities, trading hours, trading halts, surveillance, firewalls, and 
Information Bulletins to ETP Holders, as set forth in Exchange rules 
applicable to such Derivative Product and prior Commission orders 
approving the generic listing rules applicable to the listing and 
trading of such Derivative Product.\6\
---------------------------------------------------------------------------

    \6\ See email from Michael Cavalier, Chief Counsel, NYSE 
Euronext, to Christopher Chow, Special Counsel, Commission, dated 
October 2, 2008.
---------------------------------------------------------------------------

2. Statutory Basis
    The proposed rule change is consistent with Section 6(b) \7\ of the 
Act in general and furthers the objectives of Section 6(b)(5) \8\ in 
particular in that it is designed to prevent fraudulent and 
manipulative acts and practices, to promote just and equitable 
principles of trade, to foster cooperation and coordination with 
persons engaged in regulating, clearing, settling, processing 
information with respect to, and facilitating transaction in 
securities, and, in general to protect investors and the public 
interest. The proposed rule change would assist Other-SRO Derivative 
Product issuers to list on the Exchange, thus removing a potential 
impediment to the mechanism of a free and open market and protecting 
the public interest.
---------------------------------------------------------------------------

    \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 solicited or received with respect to the 
proposed rule change.

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 self-regulatory organization consents, the Commission will:
    A. By order approve the 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 (http://
www.sec.gov/rules/sro.shtml); or
     Send an e-mail to rule-comments@sec.gov. Please include 
File Number SR-NYSEArca-2008-105 on the subject line.

Paper Comments

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

All submissions should refer to File Number SR-NYSEArca-2008-105. 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

[[Page 60390]]

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 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 Number SR-NYSEArca-2008-105 and should be submitted on or before 
October 31, 2008.
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    \9\ 17 CFR 200.30-3(a)(12).

    For the Commission, by the Division of Trading and Markets, 
pursuant to delegated authority.\9\
Florence E. Harmon,
Acting Secretary.
[FR Doc. E8-24180 Filed 10-9-08; 8:45 am]
BILLING CODE 8011-01-P