Self-Regulatory Organizations; Notice of Filing and Immediate Effectiveness of Proposed Rule Change by NYSE Alternext U.S. LLC Extending the Implementation of the NYSE Alternext Book Clerk Program From January 1, 2009 Through March 31, 2009, 751-753 [E9-2]
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Federal Register / Vol. 74, No. 4 / Wednesday, January 7, 2009 / Notices
which requires an exclusive processor
that distributes information with respect
to quotations for or transactions in an
NMS stock to do so on terms that are
fair and reasonable and that are not
unreasonably discriminatory.15
The Commission approved the fee for
NYSE Realtime Reference Prices for a
pilot period which runs until December
31, 2008.16 The Commission notes that
the Exchange proposes to extend the
pilot program for three months. The
Exchange proposes no other changes to
the existing pilot program.
On December 2, 2008, the
Commission issued an approval order
(‘‘Order’’) that sets forth a market-based
approach for analyzing proposals by
self-regulatory organizations to impose
fees for ‘‘non-core’’ market data
products, such as NYSE Realtime
Reference Prices.17 The Commission
believes that NYSE’s proposal to
temporarily extend the pilot program is
consistent with the Act for the reasons
noted in the Order.18 The Commission
believes that approving NYSE’s
proposal to temporarily extend the pilot
program that imposes a fee for NYSE
Realtime Reference Prices for an
additional three months will be
beneficial to investors and in the public
interest, in that it is intended to allow
continued broad public dissemination
of increased real-time pricing
information. In addition, extending the
pilot program for an additional three
months will allow NYSE, consistent
with its representation,19 to file, the
public to comment on, and the
Commission to analyze consistent with
the Order and in light of Section 19(b)
of the Act, a proposal to permanently
approve the fee for NYSE Realtime
Reference Prices.
The Commission finds good cause for
approving the proposed rule change
before the thirtieth day after the date of
15 NYSE is an exclusive processor of its last sale
data under Section 3(a)(22)(B) of the Act, 15 U.S.C.
78c(a)(22)(B), which defines an exclusive processor
as, among other things, an exchange that distributes
data on an exclusive basis on its own behalf.
16 See supra notes 3 and 7. NYSE reduced the flat
monthly fee for NYSE Realtime Reference Prices
from $100,000 per month to $70,000 per month. See
Securities Exchange Act Release No. 58443 (August
29, 2008), 73 FR 52436 (September 9, 2008) (SR–
NYSE–2008–79).
17 See Securities Exchange Act Release No. 59039
(December 2, 2008), 73 FR 74770 (December 9,
2008) (Order Setting Aside Action by Delegated
Authority and Approving Proposed Rule Change
Relating to NYSE Arca Data).
18 See supra notes 3 and 7.
19 The Exchange represents that it intends to file
a proposal seeking permanent approval of NYSE
Realtime Reference Prices. Telephone conversation
between Ronald Jordan, Executive Vice President,
Market Data Services, NYSE Euronext, and John
Roeser, Assistant Director, Division of Trading and
Markets, Commission, on December 30, 2008.
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16:10 Jan 06, 2009
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publication of notice of filing thereof in
the Federal Register. Accelerating
approval of this proposal is expected to
benefit investors by continuing to
facilitate their access to widespread,
free, real-time pricing information
contained in NYSE Realtime Reference
Prices. Therefore, the Commission finds
good cause, consistent with Section
19(b)(2) of the Act,20 to approve the
proposed rule change on an accelerated
basis to extend the operation of the pilot
until March 31, 2009.
V. Conclusion
It is therefore ordered, pursuant to
Section 19(b)(2) of the Act, that the
proposed rule change (SR–NYSE–2008–
141) is hereby approved on an
accelerated basis until March 31, 2009.
For the Commission, by the Division of
Trading and Markets, pursuant to delegated
authority.21
Florence E. Harmon,
Acting Secretary.
[FR Doc. E9–9 Filed 1–6–09; 8:45 am]
BILLING CODE 8011–01–P
751
Book Clerk program from January 1,
2009 through March 31, 2009.
The text of the proposed rule change
is available at https://www.nyse.com,
NYSE Alternext, and the Commission’s
Public Reference Room.
II. Self-Regulatory Organization’s
Statement of the Purpose of, and
Statutory Basis for, the Proposed Rule
Change
In its filing with the Commission, the
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
SECURITIES AND EXCHANGE
COMMISSION
[Release No. 34–59176; File No. SR–
NYSEALTR–2008–20]
Self-Regulatory Organizations; Notice
of Filing and Immediate Effectiveness
of Proposed Rule Change by NYSE
Alternext U.S. LLC Extending the
Implementation of the NYSE Alternext
Book Clerk Program From January 1,
2009 Through March 31, 2009
December 30, 2008.
Pursuant to Section 19(b)(1)1 of the
Securities Exchange Act of 1934 (the
‘‘Act’’) 2 and Rule 19b–4 thereunder,3
notice is hereby given that, on December
29, 2008, NYSE Alternext U.S. LLC (the
‘‘Exchange’’ or ‘‘NYSE Alternext’’) filed
with the Securities and Exchange
Commission (the ‘‘Commission’’) the
proposed rule change as described in
Items I and II below, which Items have
been prepared by NYSE Alternext. 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 extend the
implementation of the NYSE Alternext
20 15
U.S.C. 78s(b)(2).
CFR 200.30–3(a)(12).
1 15 U.S.C. 78s(b)(1).
2 15 U.S.C. 78a.
3 17 CFR 240.19b–4.
21 17
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The Commission previously approved
a proposed rule change by the American
Stock Exchange (‘‘Amex’’), the
predecessor of the Exchange before
Amex’s acquisition by NYSE Euronext,
Inc. on October 1, 2008 (the
‘‘Acquisition’’), to (1) Eliminate the
obligation and ability of an Amex
options specialist to act as an agent in
connection with orders in his or her
assigned options classes, (2) establish an
Amex Book Clerk (now NYSE Alternext
Book Clerk) program (‘‘ABC program’’)
to designate unaffiliated persons
responsible for operating and
maintaining the customer limit order
book and effecting proper executions,
and (3) amending certain Amex rules
relating to the operation of the ABC
program.4
Exchange Rule 995–ANTE originally
provided that the roll-out of the ABC
program would occur over a six-month
period ending on May 1, 2008. On May
1, 2008, Amex filed a proposal to extend
the roll-out of the ABC program from
May 2, 2008 through December 31,
2008, and that proposal was designated
by the Commission as operative upon
filing.5 Due to integration activities
subsequent to the Acquisition, the
Exchange seeks an additional extension
of the roll-out period from January 1,
4 See Securities Exchange Act Release No. 56804
(November 16, 2007), 72 FR 66002 (November 26,
2007) (SR–Amex–2006–107) (‘‘ABC Proposal’’).
5 See Securities Exchange Act Release No. 57770
(May 2, 2008), 73 FR 26452 (May 9, 2008) (SR–
Amex–2008–37).
E:\FR\FM\07JAN1.SGM
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752
Federal Register / Vol. 74, No. 4 / Wednesday, January 7, 2009 / Notices
2009 through March 31, 2009. The
Exchange submits that complexities
associated with the aforementioned
integration activities, including plans to
replace the Exchange’s current
technology with NYSE Arca electronic
trading technology and to move the
Exchange’s trading floor operations to a
new options trading floor located at 11
Wall Street in February 2009, have
caused a delay in the revised ABC
program roll-out schedule. The
Exchange believes that an extension of
the roll-out period of the ABC program
through March 31, 2009 will allow the
Exchange sufficient time to resolve the
integration activity that has delayed
completion of the roll-out.
As set forth in the ABC Proposal and
Amex Regulatory Circular 2008–03
(January 23, 2008), during the roll-out
period, options specialists who continue
to operate the customer limit order book
will continue to be subject to the same
agency obligations as are currently
provided under Exchange Rules 950–
ANTE(l) and 958–ANTE(e).
2. Statutory Basis
The proposed rule change is
consistent with Section 6(b) 6 of the
Securities Exchange Act of 1934 (the
‘‘Act’’), in general, and furthers the
objectives of Section 6(b)(5) 7 in
particular in that it is designed to
prevent fraudulent and manipulative
acts and practices, to promote just and
equitable principles of trade, to foster
cooperation and coordination with
persons engaged in facilitating
transactions in securities, to remove
impediments to and perfect the
mechanism of a free and open market
and a national market system and, in
general, to protect investors and the
public interest. Additionally, the
proposed rule change is not designed to
permit unfair discrimination between
customers, issuers, brokers and dealers.
More specifically, the Exchange
believes that extending the completion
date for the roll-out of the ABC program
will allow the Exchange to keep its
primary focus on transitioning options
trading to the NYSE Arca electronic
trading technology. This technology
update will provide the Exchange’s
options traders with a faster, more
transparent marketplace with greater
capacity, thereby contributing to
perfecting the mechanism of a free and
open market and a national market
system, and which is also consistent
6 15
7 15
U.S.C. 78f(b).
U.S.C. 78f(b)(5).
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16:10 Jan 06, 2009
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with the protection of investors and the
public interest.8
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
Because the foregoing proposed rule
change: (1) Does not significantly affect
the protection of investors or the public
interest; (2) does not impose any
significant burden on competition; and
(3) by its terms, does not 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 9 and Rule
19b–4(f)(6) thereunder.10
A proposed rule change filed under
Rule 19b–4(f)(6) normally does not
become operative for 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. NYSE
Alternext requested that the
Commission waive the 30-day operative
delay, as specified in Rule 19b–
4(f)(6)(iii),12 which would make the rule
change effective and operative upon
filing. The Exchange noted that this
proposal merely extends the
implementation date of the ABC
program due to circumstances (i.e., the
Acquisition) that it did not foresee at the
8 The Exchange notes that the new options
trading platform will have functionality that is
similar to the ABC program.
9 15 U.S.C. 78s(b)(3)(A).
10 17 CFR 240.19b–4(f)(6).
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. The
Exchange has satisfied this requirement.
12 17 CFR 240.19b–4(f)(6)(iii).
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Frm 00082
Fmt 4703
Sfmt 4703
time the previous extension was
granted.
The Commission believes that
waiving the 30-day operative delay is
consistent with the protection of
investors and the public interest
because it will allow the Exchange to
extend the roll-out of the ABC program
without interruption.13 In particular,
prompt effectiveness of this extension
will allow the Exchange to focus its
resources on the integration activities
resulting from the Acquisition and the
upgrading of its options trading
platforms. Therefore, the Commission
designates the proposal operative upon
filing.
At any time within 60 days of the
filing of such 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.14
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 rulecomments@sec.gov. Please include File
Number SR–NYSEALTR–2008–20 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–NYSEALTR–2008–20. 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
13 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. See 15 U.S.C. 78c(f).
14 15 U.S.C. 78s(b)(3)(C).
E:\FR\FM\07JAN1.SGM
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Federal Register / Vol. 74, No. 4 / Wednesday, January 7, 2009 / Notices
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 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–NYSEALTR–2008–20 and
should be submitted on or before
January 28, 2009.
For the Commission, by the Division of
Trading and Markets, pursuant to delegated
authority.15
Florence E. Harmon,
Acting Secretary.
[FR Doc. E9–2 Filed 1–6–09; 8:45 am]
BILLING CODE 8011–01–P
SECURITIES AND EXCHANGE
COMMISSION
[Release No. 34–59179; File No. SR–
NYSEALTR–2008–16]
Self-Regulatory Organizations; NYSE
Alternext U.S. LLC; Notice of Filing and
Immediate Effectiveness of Proposed
Rule Change To Make Permanent the
NYSE Alternext Bonds System Fee
Schedule Which Is Currently Set To
Expire on December 31, 2008 as Well
as Make Technical Amendments to the
Fee Schedule
December 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 December
24, 2008, NYSE Alternext U.S. LLC
(‘‘NYSEALTR’’ or the ‘‘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 NYSEALTR. The
Exchange has designated this proposal
as one establishing or changing a due,
fee, or other charge imposed by the
Exchange under Section 19(b)(3)(A)(ii)
of the Act 3 and Rule 19b-4(f)(2)
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 Exchange proposes to make
permanent the NYSE Alternext Bonds
System fee schedule which is currently
set to expire on December 31, 2008 as
well as make technical amendments to
the fee schedule.
The text of the proposed rule change
is available at NYSE Alternext, the
Commission’s Public Reference Room,
and https://www.nyse.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,
NYSEALTR 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.
NYSEALTR 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
NYSE Alternext proposes to make
permanent the NYSE Alternext Bonds
System fee schedule which is currently
set to expire on December 31, 2008 as
well as make technical amendments to
the fee schedule.
The Exchange recently filed a rule
change that established, inter alia, the
NYSE Alternext Bonds System fee
schedule (‘‘fee schedule’’).5 The fee
schedule established execution fees per
bond for orders that took liquidity from
the NYSE Alternext Bonds Book. The
fee schedule was structured to be
similar to the NYSE Bonds Price List.
The Exchange’s reasoning for
structuring the fee schedule in this
fashion was because member
organizations of NYSE Alternext that
3 15
U.S.C. 78s(b)(3)(A)(ii).
CFR 240.19b–4(f)(2).
5 See Securities Exchange Release No. 59045
(December 3, 2008), 73 FR 75151 (December 10,
2008) (SR–NYSEALTR–2008–09).
4 17
15 17
CFR 200.30–3(a)(12).
U.S.C. 78s(b)(1).
2 17 CFR 240.19b–4.
1 15
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16:10 Jan 06, 2009
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753
trade bonds and NYSE member
organizations are member organizations
of both exchanges. This dual
membership structure allows all
member organizations to trade on both
exchanges and harmonizes the pricing
structures of the two exchanges.
The Exchange is proposing a rule
change to make the fee schedule
permanent. At the time the fee schedule
was first implemented as part of a larger
NYSE Alternext filing (SR–NYSEALTR–
2008–09), the Exchange inadvertently
applied an expiration date of December
31, 2008 to the fee schedule which
corresponded with the expiration of the
NYSE Bonds pilot program for liquidity
takers.6 The Exchange intended to
implement a permanent fee schedule for
the NYSE Alternext Bonds System.
Accordingly, the Exchange requests that
the expiration date of December 31,
2008 be removed from the fee schedule.
Additionally, the Exchange seeks to
clarify the language in the fee schedule
by replacing the word ‘‘order’’ with
‘‘execution.’’ The Exchange is not
billing liquidity takers on the orders but
rather the executions of those orders.
Accordingly, the Exchange has
proposed to amend the fee schedule to
clarify the current language in the fee
schedule.
2. Statutory Basis
The Exchange believes that the
proposed rule change is consistent with
the provisions of Section 6 7 of the
Securities Exchange Act of 1934 (the
‘‘Act’’) 8 in general and Section 6(b)(4) of
the Act 9 in particular, in that it is
designed to provide for the equitable
allocation of reasonable dues, fees and
other charges among its members and
other persons using its facilities. The
Exchange believes that the proposal
does not constitute an inequitable
allocation of dues, fees and other
charges as the same fees will be charged
to all member organizations.
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 purposes of the Act.
6 See Securities Exchange Act Release No. 57823
(May 15, 2008), 73 FR 29804 (May 22, 2008) (SR–
NYSE–2008–38).
7 15 U.S.C. 78f.
8 15 U.S.C. 78a et seq.
9 15 U.S.C. 78f(b)(4).
E:\FR\FM\07JAN1.SGM
07JAN1
]]>Agencies
[Federal Register Volume 74, Number 4 (Wednesday, January 7, 2009)]
[Notices]
[Pages 751-753]
From the Federal Register Online via the Government Printing Office [www.gpo.gov]
[FR Doc No: E9-2]
-----------------------------------------------------------------------
SECURITIES AND EXCHANGE COMMISSION
[Release No. 34-59176; File No. SR-NYSEALTR-2008-20]
Self-Regulatory Organizations; Notice of Filing and Immediate
Effectiveness of Proposed Rule Change by NYSE Alternext U.S. LLC
Extending the Implementation of the NYSE Alternext Book Clerk Program
From January 1, 2009 Through March 31, 2009
December 30, 2008.
Pursuant to Section 19(b)(1)\1\ of the Securities Exchange Act of
1934 (the ``Act'') \2\ and Rule 19b-4 thereunder,\3\ notice is hereby
given that, on December 29, 2008, NYSE Alternext U.S. LLC (the
``Exchange'' or ``NYSE Alternext'') filed with the Securities and
Exchange Commission (the ``Commission'') the proposed rule change as
described in Items I and II below, which Items have been prepared by
NYSE Alternext. 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\ 15 U.S.C. 78a.
\3\ 17 CFR 240.19b-4.
---------------------------------------------------------------------------
I. Self-Regulatory Organization's Statement of the Terms of Substance
of the Proposed Rule Change
The Exchange proposes to extend the implementation of the NYSE
Alternext Book Clerk program from January 1, 2009 through March 31,
2009.
The text of the proposed rule change is available at https://
www.nyse.com, NYSE Alternext, and the Commission's Public Reference
Room.
II. Self-Regulatory Organization's Statement of the Purpose of, and
Statutory Basis for, the Proposed Rule Change
In its filing with the Commission, the 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 Commission previously approved a proposed rule change by the
American Stock Exchange (``Amex''), the predecessor of the Exchange
before Amex's acquisition by NYSE Euronext, Inc. on October 1, 2008
(the ``Acquisition''), to (1) Eliminate the obligation and ability of
an Amex options specialist to act as an agent in connection with orders
in his or her assigned options classes, (2) establish an Amex Book
Clerk (now NYSE Alternext Book Clerk) program (``ABC program'') to
designate unaffiliated persons responsible for operating and
maintaining the customer limit order book and effecting proper
executions, and (3) amending certain Amex rules relating to the
operation of the ABC program.\4\
---------------------------------------------------------------------------
\4\ See Securities Exchange Act Release No. 56804 (November 16,
2007), 72 FR 66002 (November 26, 2007) (SR-Amex-2006-107) (``ABC
Proposal'').
---------------------------------------------------------------------------
Exchange Rule 995-ANTE originally provided that the roll-out of the
ABC program would occur over a six-month period ending on May 1, 2008.
On May 1, 2008, Amex filed a proposal to extend the roll-out of the ABC
program from May 2, 2008 through December 31, 2008, and that proposal
was designated by the Commission as operative upon filing.\5\ Due to
integration activities subsequent to the Acquisition, the Exchange
seeks an additional extension of the roll-out period from January 1,
[[Page 752]]
2009 through March 31, 2009. The Exchange submits that complexities
associated with the aforementioned integration activities, including
plans to replace the Exchange's current technology with NYSE Arca
electronic trading technology and to move the Exchange's trading floor
operations to a new options trading floor located at 11 Wall Street in
February 2009, have caused a delay in the revised ABC program roll-out
schedule. The Exchange believes that an extension of the roll-out
period of the ABC program through March 31, 2009 will allow the
Exchange sufficient time to resolve the integration activity that has
delayed completion of the roll-out.
---------------------------------------------------------------------------
\5\ See Securities Exchange Act Release No. 57770 (May 2, 2008),
73 FR 26452 (May 9, 2008) (SR-Amex-2008-37).
---------------------------------------------------------------------------
As set forth in the ABC Proposal and Amex Regulatory Circular 2008-
03 (January 23, 2008), during the roll-out period, options specialists
who continue to operate the customer limit order book will continue to
be subject to the same agency obligations as are currently provided
under Exchange Rules 950-ANTE(l) and 958-ANTE(e).
2. Statutory Basis
The proposed rule change is consistent with Section 6(b) \6\ of the
Securities Exchange Act of 1934 (the ``Act''), in general, and furthers
the objectives of Section 6(b)(5) \7\ in particular in that it is
designed to prevent fraudulent and manipulative acts and practices, to
promote just and equitable principles of trade, to foster cooperation
and coordination with persons engaged in facilitating transactions in
securities, to remove impediments to and perfect the mechanism of a
free and open market and a national market system and, in general, to
protect investors and the public interest. Additionally, the proposed
rule change is not designed to permit unfair discrimination between
customers, issuers, brokers and dealers.
---------------------------------------------------------------------------
\6\ 15 U.S.C. 78f(b).
\7\ 15 U.S.C. 78f(b)(5).
---------------------------------------------------------------------------
More specifically, the Exchange believes that extending the
completion date for the roll-out of the ABC program will allow the
Exchange to keep its primary focus on transitioning options trading to
the NYSE Arca electronic trading technology. This technology update
will provide the Exchange's options traders with a faster, more
transparent marketplace with greater capacity, thereby contributing to
perfecting the mechanism of a free and open market and a national
market system, and which is also consistent with the protection of
investors and the public interest.\8\
---------------------------------------------------------------------------
\8\ The Exchange notes that the new options trading platform
will have functionality that is similar to the ABC program.
---------------------------------------------------------------------------
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
Because the foregoing proposed rule change: (1) Does not
significantly affect the protection of investors or the public
interest; (2) does not impose any significant burden on competition;
and (3) by its terms, does not 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 \9\ and Rule 19b-4(f)(6) thereunder.\10\
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\9\ 15 U.S.C. 78s(b)(3)(A).
\10\ 17 CFR 240.19b-4(f)(6).
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A proposed rule change filed under Rule 19b-4(f)(6) normally does
not become operative for 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. NYSE Alternext requested that the Commission waive
the 30-day operative delay, as specified in Rule 19b-4(f)(6)(iii),\12\
which would make the rule change effective and operative upon filing.
The Exchange noted that this proposal merely extends the implementation
date of the ABC program due to circumstances (i.e., the Acquisition)
that it did not foresee at the time the previous extension was granted.
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\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. The Exchange has satisfied this requirement.
\12\ 17 CFR 240.19b-4(f)(6)(iii).
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The Commission believes that waiving the 30-day operative delay is
consistent with the protection of investors and the public interest
because it will allow the Exchange to extend the roll-out of the ABC
program without interruption.\13\ In particular, prompt effectiveness
of this extension will allow the Exchange to focus its resources on the
integration activities resulting from the Acquisition and the upgrading
of its options trading platforms. Therefore, the Commission designates
the proposal operative upon filing.
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\13\ 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. See 15 U.S.C.
78c(f).
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At any time within 60 days of the filing of such 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.\14\
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\14\ 15 U.S.C. 78s(b)(3)(C).
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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-NYSEALTR-2008-20 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-NYSEALTR-2008-20. 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
[[Page 753]]
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 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-NYSEALTR-2008-20 and should be submitted
on or before January 28, 2009.
For the Commission, by the Division of Trading and Markets,
pursuant to delegated authority.\15\
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\15\ 17 CFR 200.30-3(a)(12).
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Florence E. Harmon,
Acting Secretary.
[FR Doc. E9-2 Filed 1-6-09; 8:45 am]
BILLING CODE 8011-01-P
