Self-Regulatory Organizations; BATS Exchange, Inc.; Notice of Filing and Immediate Effectiveness of Proposed Rule Change Related to Fees for Use of BATS Exchange, Inc., 16899-16901 [E9-8323]
Download as PDF
16899
Federal Register / Vol. 74, No. 69 / Monday, April 13, 2009 / Notices
POSTAL SERVICE
Change in Rates of General
Applicability for Competitive Products;
Correction
Postal Service. TM
Notice; correction.
AGENCY:
ACTION:
SUMMARY: The Postal Service published
in the Federal Register of February 24,
2009 (74 FR 8434), in accordance with
39 U.S.C. 3632(b)(2), a Notice document
providing the February 3, 2009 Decision
of the Governors of the United States
Postal Service on Changes in Rates and
Classes of General Applicability for
Certain Competitive Products
(Governors Decision No. 09–01), and a
record of the proceedings in connection
with the Decision. The Decision did not
include planned increases to pickup on
demand fees for Express Mail®, Priority
Mail®, GXG, Express Mail International
(EMI), and Priority Mail International
(PMI) services to conform to the change
in the Pickup on Demand TM service fee
for Parcel Post® Single-Piece, which was
raised in Postal Regulatory Commission
Docket No. R2009–2 from $14.75 to
$15.30. This document accordingly sets
forth a correction to the prior notice to
give effect to the planned change in
Pickup on Demand fees for competitive
services, to include Express Mail,
Priority Mail, GXG, EMI, and PMI
services.
DATES: This correction is effective April
13, 2009 and is applicable on May 11,
2009.
FOR FURTHER INFORMATION CONTACT:
Anthony Alverno, 202–268–2997.
SUPPLEMENTARY INFORMATION:
Background
On February 3, 2009, the Governors of
the Postal Service established prices and
classification changes for competitive
products, pursuant to their authority
under 39 U.S.C. 3632. On February 24,
2009, the Governors’ Decision and the
record of proceedings in connection
with the Decision were published in the
Federal Register as required by 39
U.S.C. 3632(b)(2). Following the
adoption of the Governors’ Decision, it
was discovered that pickup on demand
fees for Express Mail®, Priority Mail®,
GXG, EMI, and PMI services set out in
sections 2105.6, 2110.6, 2205.6, and
2215.7 of the Mail Classification
Schedule were not identified as
increasing from $14.75 to $15.30. This
increase in the fee when combined with
these services conforms to the increase
in fees for Pickup on Demand service
provided in connection with Parcel Post
Single-Piece service. The fee for Pickup
on Demand provided in connection
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18:51 Apr 10, 2009
Jkt 217001
with Parcel Post Single-Piece was
changed in Postal Regulatory
Commission (PRC) Docket No. R2009–2
at section 1405.6 of the Mail
Classification Schedule and is to
become effective on May 11, 2009. See
United States Postal Service Notice of
Price Adjustment, PRC Docket No.
R2009–2 (filed February 10, 2009); PRC
Order No. 191 (March 16, 2009).1
Postal Service management has
advised the Governors of this matter and
has provided them with information
concerning the corrected fees.
Concurrently with the submission of
this notice to the Federal Register, the
Postal Service will file with the PRC a
corresponding notice of correction in
PRC Docket No. CP2009–23.
2110.6
Need for Correction
Commercial Pickup on Demand
The rates for Pickup on Demand
service in sections 2105.6, 2110.6,
2205.6, and 2215.7 of the Mail
Classification Schedule, attached to
Governors’ Decision No. 09–01, did not
incorporate the correct fees for pickup
on demand services combined with
Express Mail, Priority Mail, GXG,
Express Mail International (EMI), and
Priority Mail International (PMI)
services.
Correction
Corrections to the Mail Classification
Schedule, which is marked as
Attachment B to Governors’ Decision
09–01, published in the Federal
Register of February 24, 2009, should
read as follows:
*
*
*
*
*
2100
*
Express Mail
*
2105.6
*
*
DOMESTIC PRODUCTS
2105
*
*
*
*
*
*
*
Commercial Pickup On Demand
Add $15.30 for each Pickup on
Demand stop.
*
*
*
*
*
Commercial Plus Priority Mail Zone/
Weight
*
*
*
*
*
Add $15.30 for each Pickup on
Demand stop.
2200
INTERNATIONAL PRODUCTS
2205 Outbound International
Expedited Services
*
*
2205.6
*
*
*
*
*
*
*
Prices
*
Pickup on Demand
Add $15.30 for each Pickup on
Demand stop.
*
*
*
*
*
2215 Outbound Priority Mail
International
*
*
*
*
*
Prices
Add $15.30 for each Pickup on
Demand stop.
*
*
*
*
*
Stanley F. Mires,
Chief Counsel, Legislative.
[FR Doc. E9–8501 Filed 4–9–09; 4:15 pm]
*
*
SECURITIES AND EXCHANGE
COMMISSION
Prices
*
*
*
*
1 Notice of the change in the pickup on demand
fee for domestic Express Mail and Priority Mail was
published with other changes to the Domestic Mail
Manual in the Federal Register on February 23,
2009 (74 FR 8009).
PO 00000
*
BILLING CODE 7710–12–P
Priority Mail
*
*
*
Add $15.30 for each Pickup on
Demand stop.
*
*
*
*
*
*
Commercial Base Priority Mail Zone/
Weight
*
Pickup on Demand
2110
Add $15.30 for each Pickup on
Demand stop.
*
*
*
*
*
Pickup on Demand
*
2001 COMPETITIVE PRODUCT
DESCRIPTIONS
*
Retail Pickup on Demand
2215.7
Mail Classification Schedule
Prices
Frm 00070
Fmt 4703
Sfmt 4703
[Release No. 34–59709; File No. SR–BATS–
2009–008]
Self-Regulatory Organizations; BATS
Exchange, Inc.; Notice of Filing and
Immediate Effectiveness of Proposed
Rule Change Related to Fees for Use
of BATS Exchange, Inc.
April 6, 2009.
Pursuant to Section 19(b)(1) of the
Securities Exchange Act of 1934 (the
E:\FR\FM\13APN1.SGM
13APN1
16900
Federal Register / Vol. 74, No. 69 / Monday, April 13, 2009 / Notices
‘‘Act’’),1 and Rule 19b–4 thereunder,2
notice is hereby given that on March 31,
2009, BATS Exchange, Inc. (‘‘BATS’’ 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 the Exchange. BATS has designated
the proposed rule change as one
establishing or changing a member 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
proposed rule change 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 modify its
fee schedule applicable to use of the
Exchange. While changes to the fee
schedule pursuant to this proposal will
be effective upon filing, the changes will
become operative on April 1, 2009.
The text of the proposed rule change
is available at the Exchange’s Web site
at https://www.batstrading.com, at the
principal office of the Exchange, and at
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
Exchange 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
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 proposes to modify its
fee schedule applicable to use of the
Exchange effective April 1, 2009, in
order to: (i) Reduce the rebate provided
to Members who add liquidity to the
1 15
U.S.C. 78s(b)(1).
CFR 240.19b–4.
3 15 U.S.C. 78s(b)(3)(A)(ii).
4 17 CFR 240.19b–4(f)(2).
2 17
VerDate Nov<24>2008
18:51 Apr 10, 2009
Jkt 217001
Exchange in Tape A securities and Tape
C securities from $0.0024 per share to
$0.0023 per share; (ii) expand the
securities for which the Exchange does
not pay a rebate to all securities priced
below $5.00, rather than securities
priced below $1.00, and provide a
rebate of $0.0001 per share for trades
that remove liquidity in securities
priced below $5.00; (iii) decrease the fee
charged by the Exchange for its
‘‘CYCLE’’ routing strategy from $0.0029
per share to $0.0026 per share; and (iv)
make modifications to certain of the
Exchange’s non-standard routing
charges. In addition to these specific
changes, which are discussed in further
detail below, the Exchange has
proposed additional modifications to its
fee schedule for clarity. For instance,
the Exchange has proposed re-ordering
the list of non-standard routing changes,
added language to certain headings to
make clear the distinction between
securities priced at $5.00 or above and
below $5.00, and proposed modified
language describing non-displayed
liquidity and Modified Destination
Specific Orders to more closely reflect
the language typically used by Members
of the Exchange. The Exchange has also
proposed removing a descriptive chart
that it previously included on its fee
schedule.
(i) Reduction of Tape A and C Rebates
The Exchange proposes to reduce the
rebate provided to Members who add
liquidity to the Exchange in Tape A and
Tape C securities from $0.0024 per
share to $0.0023 per share. The
Exchange believes that this proposed fee
change is consistent with its long-term
goal of providing access to the Exchange
at competitive rates that do not expose
the Exchange to significant losses or
capital outlays.
(ii) Securities Priced Below $5.00
The Exchange does not currently
charge fees for removing liquidity nor
does the Exchange provide a rebate for
adding liquidity in any securities priced
below $1.00. The Exchange proposes to
expand the no-rebate structure for
liquidity adders to all securities priced
below $5.00. In addition, the Exchange
proposes to provide a rebate of $0.0001
per share for all orders that remove
liquidity in securities priced below
$5.00. The Exchange believes that this
proposed fee structure, which differs
depending on whether a security trades
below $5.00 or at or above $5.00, will
benefit both the Exchange and Members
of the Exchange by encouraging market
participants to send order flow in lower
priced securities to the Exchange for
execution, resulting in higher liquidity
PO 00000
Frm 00071
Fmt 4703
Sfmt 4703
and better execution quality. In
addition, the Exchange believes that the
fee and rebate rates it proposes are
reasonable.
(iii) Decrease of Standard Routing Fee
The Exchange proposes to decrease
the fee charged by the Exchange for its
CYCLE routing strategy 5 from $0.0029
per share to $0.0026 per share. This
proposed change reflects decreases
recently made by certain other protected
markets to their access fees.
(iv) Changes to Non-Standard Routing
Charges
As described below, the Exchange
also proposes certain changes to the
non-standard routing charges charged to
Members. First, the Exchange proposes
to modify the routing charges applicable
to Destination Specific Orders sent to all
market centers that display Protected
Quotations 6 (each a ‘‘Protected Market
Center’’) other than the NYSE, NYSE
Arca or NASDAQ, by increasing the
standard charge for all such orders from
$0.0029 per share to $0.0030 per share.
Second, for Destination Specific Orders
routed to NYSE, the Exchange proposes
providing a discounted price from the
NYSE’s current removal fee of $0.0018
per share by charging $0.0017 per share
for such orders. Third, with respect to
Destination Specific Orders routed to
NYSE Arca and NASDAQ, the Exchange
will charge the lowest transaction fee
currently available at such market
centers in each Tape. Specifically, the
Exchange will charge: (A) $0.0028 per
share for Destination Specific orders
executed at NYSE Arca; (B) $0.0026 per
share for Destination Specific orders in
Tape A securities and Tape C securities
executed at NASDAQ; and (C) $0.0029
per share for Destination Specific orders
in Tape B securities executed at
NASDAQ. Finally, to be consistent with
the change to the CYCLE routing fee
described above, the Exchange proposes
to charge 0.26%, rather than 0.29%, of
the total dollar value of the execution
for any security (all Tapes) priced under
$1.00 per share that is routed away from
the Exchange.
2. Statutory Basis
The Exchange believes that the
proposed rule change is consistent with
the requirements of the Act and the
rules and regulations thereunder that
5 The CYCLE routing strategy routes orders to any
market center or execution venue other than a dark
liquidity pool. Orders are routed to dark liquidity
pools through the Exchange’s DART routing
strategy. Orders executed through DART cost
$0.0020 per share, which the Exchange has not
proposed to change at this time.
6 As defined in BATS Rule 1.5(s).
E:\FR\FM\13APN1.SGM
13APN1
Federal Register / Vol. 74, No. 69 / Monday, April 13, 2009 / Notices
are applicable to a national securities
exchange, and, in particular, with the
requirements of Section 6 of the Act.7
Specifically, the Exchange believes that
the proposed rule change is consistent
with Section 6(b)(4) of the Act,8 in that
it provides for the equitable allocation
of reasonable dues, fees and other
charges among members and other
persons using any facility or system
which the Exchange operates or
controls. The Exchange notes that it
operates in a highly competitive market
in which market participants can
readily direct order flow to competing
venues if they deem fee levels at a
particular venue to be excessive. The
Exchange believes that its fees and
credits are competitive with those
charged by other venues and that the
various changes it has proposed to
reduce its fees will benefit Members
both due to the obvious economic
savings and due to the potential of
increased available liquidity at the
Exchange. For those proposed changes
that will result in increased fees charged
to Members or lower rebates received by
Members, such as the reduction of the
rebate in Tape A and C securities, the
Exchange believes that any additional
revenue it receives will allow the
Exchange to devote additional capital to
its operations, which may, in turn,
benefit Members of the Exchange.
Finally, the Exchange believes that the
proposed rates are equitable in that they
apply uniformly to all Members.
(B) Self-Regulatory Organization’s
Statement of Burden on Competition
The Exchange does not believe that
the proposed rule change imposes any
burden on competition.
(C) Self-Regulatory Organization’s
Statement on Comments Regarding the
Proposed Rule Change Received From
Members, Participants or Others
No written comments were solicited
or received.
III. Date of Effectiveness of the
Proposed Rule Change and Timing for
Commission Action
The foregoing proposed rule change
has been designated as a fee change
pursuant to Section 19(b)(3)(A)(ii) of the
Act 9 and Rule 19b–4(f)(2) thereunder,10
because it establishes or changes a due,
fee or other charge imposed on members
by the Exchange. Accordingly, the
7 15
U.S.C. 78f.
U.S.C. 78f(b)(4).
9 15 U.S.C. 78s(b)(3)(A)(ii).
10 17 CFR 240.19b–4(f)(6) [sic].
8 15
VerDate Nov<24>2008
18:51 Apr 10, 2009
Jkt 217001
proposal is effective upon filing with
the Commission.
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 proposal 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
No. SR–BATS–-2009–008 on the subject
line.
Paper Comments
• Send paper comments in triplicate
to Elizabeth M. Murphy, Secretary,
Securities and Exchange Commission,
100 F Street, NE., Washington, DC
20549–1090.
All submissions should refer to File No.
SR–BATS–2009–008. This file number
should be included on the subject line
if e-mail is used. To help the
Commission process and review your
comments more efficiently, please use
only one method. The Commission will
post all comments on the Commission’s
Internet Web site (https://www.sec.gov/
rules/sro.shtml). Copies of the
submission, all subsequent
amendments, all written statements
with respect to the proposed rule
change that are filed with the
Commission, and all written
communications relating to the
proposed rule changes 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 BATS. All
comments received will be posted
without change; the Commission does
not edit personal identifying
information from submissions. You
PO 00000
Frm 00072
Fmt 4703
Sfmt 4703
16901
should submit only information that
you wish to make available publicly. All
submissions should refer to File No.
SR–BATS–2009–008 and should be
submitted on or before May 4, 2009.
For the Commission, by the Division of
Trading and Markets, pursuant to delegated
authority.11
Florence E. Harmon,
Deputy Secretary.
[FR Doc. E9–8323 Filed 4–10–09; 8:45 am]
BILLING CODE 8010–01–P
SECURITIES AND EXCHANGE
COMMISSION
[Release No. 34–59708; File No. SR–
NYSEArca–2009–12]
Self-Regulatory Organizations; NYSE
Arca, Inc.; Order Approving Proposed
Rule Change Relating to SPDR
Barclays Capital Convertible Bond ETF
April 6, 2009.
I. Introduction
On February 18, 2009, NYSE Arca,
Inc. (‘‘Exchange’’ or ‘‘NYSE Arca’’),
through its wholly owned subsidiary,
NYSE Arca Equities, Inc. (‘‘NYSE Arca
Equities’’), filed with the Securities and
Exchange Commission (‘‘Commission’’)
pursuant to Section 19(b)(1) of the
Securities Exchange Act of 1934
(‘‘Act’’) 1 and Rule 19b–4 thereunder,2 a
proposed rule change to list and trade
shares (‘‘Shares’’) of the SPDR® Barclays
Capital Convertible Bond ETF. The
proposed rule change was published for
comment in the Federal Register on
March 6, 2009.3 The Commission
received no comment letters on the
proposed rule change. This order
approves the proposed rule change.
II. Description of the Proposed Rule
Change
The Exchange proposes to list and
trade the SPDR® Barclays Capital
Convertible Bond ETF (‘‘Fund’’) 4 under
NYSE Arca Equities Rule 5.2(j)(3), the
Exchange’s listing standards for
Investment Company Units (‘‘Units’’).5
11 17
CFR 200.30–3(a)(12).
U.S.C. 78s(b)(1).
2 17 CFR 240.19b–4.
3 See Securities Exchange Act Release No. 59459
(February 26, 2009), 74 FR 9860 (‘‘Notice’’).
4 See the Registration Statement on Form N–1A of
the SPDR Series Trust, dated January 15, 2009 (File
Nos. 333–57793 and 811–08839) (‘‘Registration
Statement’’).
5 An Investment Company Unit is a security that
represents an interest in a registered investment
company that holds securities comprising, or
otherwise based on or representing an interest in,
an index or portfolio of securities (or holds
securities in another registered investment
1 15
E:\FR\FM\13APN1.SGM
Continued
13APN1
Agencies
[Federal Register Volume 74, Number 69 (Monday, April 13, 2009)]
[Notices]
[Pages 16899-16901]
From the Federal Register Online via the Government Printing Office [www.gpo.gov]
[FR Doc No: E9-8323]
=======================================================================
-----------------------------------------------------------------------
SECURITIES AND EXCHANGE COMMISSION
[Release No. 34-59709; File No. SR-BATS-2009-008]
Self-Regulatory Organizations; BATS Exchange, Inc.; Notice of
Filing and Immediate Effectiveness of Proposed Rule Change Related to
Fees for Use of BATS Exchange, Inc.
April 6, 2009.
Pursuant to Section 19(b)(1) of the Securities Exchange Act of 1934
(the
[[Page 16900]]
``Act''),\1\ and Rule 19b-4 thereunder,\2\ notice is hereby given that
on March 31, 2009, BATS Exchange, Inc. (``BATS'' 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 the Exchange. BATS has designated the
proposed rule change as one establishing or changing a member 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
proposed rule change 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)(ii).
\4\ 17 CFR 240.19b-4(f)(2).
---------------------------------------------------------------------------
I. Self-Regulatory Organization's Statement of the Terms of Substance
of the Proposed Rule Change
The Exchange proposes to modify its fee schedule applicable to use
of the Exchange. While changes to the fee schedule pursuant to this
proposal will be effective upon filing, the changes will become
operative on April 1, 2009.
The text of the proposed rule change is available at the Exchange's
Web site at https://www.batstrading.com, at the principal office of the
Exchange, and at 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 Exchange 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 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 proposes to modify its fee schedule applicable to use
of the Exchange effective April 1, 2009, in order to: (i) Reduce the
rebate provided to Members who add liquidity to the Exchange in Tape A
securities and Tape C securities from $0.0024 per share to $0.0023 per
share; (ii) expand the securities for which the Exchange does not pay a
rebate to all securities priced below $5.00, rather than securities
priced below $1.00, and provide a rebate of $0.0001 per share for
trades that remove liquidity in securities priced below $5.00; (iii)
decrease the fee charged by the Exchange for its ``CYCLE'' routing
strategy from $0.0029 per share to $0.0026 per share; and (iv) make
modifications to certain of the Exchange's non-standard routing
charges. In addition to these specific changes, which are discussed in
further detail below, the Exchange has proposed additional
modifications to its fee schedule for clarity. For instance, the
Exchange has proposed re-ordering the list of non-standard routing
changes, added language to certain headings to make clear the
distinction between securities priced at $5.00 or above and below
$5.00, and proposed modified language describing non-displayed
liquidity and Modified Destination Specific Orders to more closely
reflect the language typically used by Members of the Exchange. The
Exchange has also proposed removing a descriptive chart that it
previously included on its fee schedule.
(i) Reduction of Tape A and C Rebates
The Exchange proposes to reduce the rebate provided to Members who
add liquidity to the Exchange in Tape A and Tape C securities from
$0.0024 per share to $0.0023 per share. The Exchange believes that this
proposed fee change is consistent with its long-term goal of providing
access to the Exchange at competitive rates that do not expose the
Exchange to significant losses or capital outlays.
(ii) Securities Priced Below $5.00
The Exchange does not currently charge fees for removing liquidity
nor does the Exchange provide a rebate for adding liquidity in any
securities priced below $1.00. The Exchange proposes to expand the no-
rebate structure for liquidity adders to all securities priced below
$5.00. In addition, the Exchange proposes to provide a rebate of
$0.0001 per share for all orders that remove liquidity in securities
priced below $5.00. The Exchange believes that this proposed fee
structure, which differs depending on whether a security trades below
$5.00 or at or above $5.00, will benefit both the Exchange and Members
of the Exchange by encouraging market participants to send order flow
in lower priced securities to the Exchange for execution, resulting in
higher liquidity and better execution quality. In addition, the
Exchange believes that the fee and rebate rates it proposes are
reasonable.
(iii) Decrease of Standard Routing Fee
The Exchange proposes to decrease the fee charged by the Exchange
for its CYCLE routing strategy \5\ from $0.0029 per share to $0.0026
per share. This proposed change reflects decreases recently made by
certain other protected markets to their access fees.
---------------------------------------------------------------------------
\5\ The CYCLE routing strategy routes orders to any market
center or execution venue other than a dark liquidity pool. Orders
are routed to dark liquidity pools through the Exchange's DART
routing strategy. Orders executed through DART cost $0.0020 per
share, which the Exchange has not proposed to change at this time.
---------------------------------------------------------------------------
(iv) Changes to Non-Standard Routing Charges
As described below, the Exchange also proposes certain changes to
the non-standard routing charges charged to Members. First, the
Exchange proposes to modify the routing charges applicable to
Destination Specific Orders sent to all market centers that display
Protected Quotations \6\ (each a ``Protected Market Center'') other
than the NYSE, NYSE Arca or NASDAQ, by increasing the standard charge
for all such orders from $0.0029 per share to $0.0030 per share.
Second, for Destination Specific Orders routed to NYSE, the Exchange
proposes providing a discounted price from the NYSE's current removal
fee of $0.0018 per share by charging $0.0017 per share for such orders.
Third, with respect to Destination Specific Orders routed to NYSE Arca
and NASDAQ, the Exchange will charge the lowest transaction fee
currently available at such market centers in each Tape. Specifically,
the Exchange will charge: (A) $0.0028 per share for Destination
Specific orders executed at NYSE Arca; (B) $0.0026 per share for
Destination Specific orders in Tape A securities and Tape C securities
executed at NASDAQ; and (C) $0.0029 per share for Destination Specific
orders in Tape B securities executed at NASDAQ. Finally, to be
consistent with the change to the CYCLE routing fee described above,
the Exchange proposes to charge 0.26%, rather than 0.29%, of the total
dollar value of the execution for any security (all Tapes) priced under
$1.00 per share that is routed away from the Exchange.
---------------------------------------------------------------------------
\6\ As defined in BATS Rule 1.5(s).
---------------------------------------------------------------------------
2. Statutory Basis
The Exchange believes that the proposed rule change is consistent
with the requirements of the Act and the rules and regulations
thereunder that
[[Page 16901]]
are applicable to a national securities exchange, and, in particular,
with the requirements of Section 6 of the Act.\7\ Specifically, the
Exchange believes that the proposed rule change is consistent with
Section 6(b)(4) of the Act,\8\ in that it provides for the equitable
allocation of reasonable dues, fees and other charges among members and
other persons using any facility or system which the Exchange operates
or controls. The Exchange notes that it operates in a highly
competitive market in which market participants can readily direct
order flow to competing venues if they deem fee levels at a particular
venue to be excessive. The Exchange believes that its fees and credits
are competitive with those charged by other venues and that the various
changes it has proposed to reduce its fees will benefit Members both
due to the obvious economic savings and due to the potential of
increased available liquidity at the Exchange. For those proposed
changes that will result in increased fees charged to Members or lower
rebates received by Members, such as the reduction of the rebate in
Tape A and C securities, the Exchange believes that any additional
revenue it receives will allow the Exchange to devote additional
capital to its operations, which may, in turn, benefit Members of the
Exchange. Finally, the Exchange believes that the proposed rates are
equitable in that they apply uniformly to all Members.
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\7\ 15 U.S.C. 78f.
\8\ 15 U.S.C. 78f(b)(4).
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(B) Self-Regulatory Organization's Statement of Burden on Competition
The Exchange does not believe that the proposed rule change imposes
any burden on competition.
(C) Self-Regulatory Organization's Statement on Comments Regarding the
Proposed Rule Change Received From Members, Participants or Others
No written comments were solicited or received.
III. Date of Effectiveness of the Proposed Rule Change and Timing for
Commission Action
The foregoing proposed rule change has been designated as a fee
change pursuant to Section 19(b)(3)(A)(ii) of the Act \9\ and Rule 19b-
4(f)(2) thereunder,\10\ because it establishes or changes a due, fee or
other charge imposed on members by the Exchange. Accordingly, the
proposal is effective upon filing with the Commission.
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\9\ 15 U.S.C. 78s(b)(3)(A)(ii).
\10\ 17 CFR 240.19b-4(f)(6) [sic].
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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 proposal 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 No. SR-BATS--2009-008 on the subject line.
Paper Comments
Send paper comments in triplicate to Elizabeth M. Murphy,
Secretary, Securities and Exchange Commission, 100 F Street, NE.,
Washington, DC 20549-1090.
All submissions should refer to File No. SR-BATS-2009-008. This file
number should be included on the subject line if e-mail is used. To
help the Commission process and review your comments more efficiently,
please use only one method. The Commission will post all comments on
the Commission's Internet Web site (https://www.sec.gov/rules/sro.shtml). Copies of the submission, all subsequent amendments, all
written statements with respect to the proposed rule change that are
filed with the Commission, and all written communications relating to
the proposed rule changes 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 BATS. 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 No. SR-BATS-2009-008 and should be
submitted on or before May 4, 2009.
For the Commission, by the Division of Trading and Markets,
pursuant to delegated authority.\11\
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\11\ 17 CFR 200.30-3(a)(12).
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Florence E. Harmon,
Deputy Secretary.
[FR Doc. E9-8323 Filed 4-10-09; 8:45 am]
BILLING CODE 8010-01-P