Self-Regulatory Organizations; New York Stock Exchange LLC; Notice of Filing and Immediate Effectiveness of Proposed Rule Change Extending the Pilot Program That Offers Liquidity Takers a Reduced Transaction Fee Structure for Certain Bond Trades Executed on the NYSE Bonds System and Retiring the Liquidity Provider Credit Pilot Program, 68651-68653 [E9-30616]

Download as PDF Federal Register / Vol. 74, No. 247 / Monday, December 28, 2009 / Notices acts and practices, to promote just and equitable principles of trade, and, in general, to protect investors and the public interest, and Section 15A(b)(5) of the Act,7 which requires, among other things, that FINRA rules provide for the equitable allocation of reasonable dues, fees and other charges among members and issuers and other persons using any facility or system that FINRA operates or controls. FINRA believes that the proposed rule will codify FINRA’s authority and discretion to review and process documents related to requests for Company-Related Actions in the OTC securities and, along with the proposed new fees for such services, act to ensure there is more complete, accurate and timely information concerning Company-Related Actions. B. Self-Regulatory Organization’s Statement on Burden on Competition FINRA does not believe that the proposed rule change will result in any burden on competition that is not necessary or appropriate in furtherance of the purposes of the Act. C. Self-Regulatory Organization’s Statement on Comments on the Proposed Rule Change Received From Members, Participants or Others Written comments were neither solicited nor received. erowe on DSK5CLS3C1PROD with NOTICES 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 such 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 Exchange 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 7 15 U.S.C. 78o–3(b)(5). VerDate Nov<24>2008 11:00 Dec 24, 2009 Jkt 220001 • Send an e-mail to rulecomments@sec.gov. Please include File Number SR–FINRA–2009–089 on the subject line. Paper Comments 68651 SECURITIES AND EXCHANGE COMMISSION [Release No. 34–61201; File No. SR–NYSE– 2009–127] • Send paper comments in triplicate to Elizabeth M. Murphy, Secretary, Securities and Exchange Commission, 100 F Street, NE., Washington, DC 20549–1090. Self-Regulatory Organizations; New York Stock Exchange LLC; Notice of Filing and Immediate Effectiveness of Proposed Rule Change Extending the Pilot Program That Offers Liquidity Takers a Reduced Transaction Fee All submissions should refer to File Structure for Certain Bond Trades Number SR–FINRA–2009–089. This file Executed on the NYSE Bonds System number should be included on the and Retiring the Liquidity Provider subject line if e-mail is used. To help the Credit Pilot Program Commission process and review your December 18, 2009. comments more efficiently, please use only one method. The Commission will Pursuant to Section 19(b)(1) of the post all comments on the Commission’s Securities Exchange Act of 1934 Internet Web site (https://www.sec.gov/ (‘‘Act’’) 1 and Rule 19b–4 thereunder,2 rules/sro.shtml). Copies of the notice is hereby given that on December submission,8 all subsequent 17, 2009, the New York Stock Exchange amendments, all written statements LLC (‘‘NYSE’’ or the ‘‘Exchange’’) filed with respect to the proposed rule with the Securities and Exchange change that are filed with the Commission (‘‘Commission’’) the proposed rule change as described in Commission, and all written Items I, II, and III below, which Items communications relating to the have been prepared by the Exchange. proposed rule change between the Commission and any person, other than The Exchange has designated this proposal as one establishing or changing those that may be withheld from the a due, fee, or other charge imposed by public in accordance with the the Exchange under Section provisions of 5 U.S.C. 552, will be 19(b)(3)(A)(ii) of the Act 3 and Rule 19b– available for inspection and copying in 4(f)(2) thereunder,4 which renders the the Commission’s Public Reference proposal effective upon filing with the Room, 100 F Street, NE., Washington, Commission. The Commission is DC 20549, on official business days between the hours of 10 a.m. and 3 p.m. publishing this notice to solicit Copies of the filing also will be available comments on the proposed rule change from interested persons. for inspection and copying at the principal office of FINRA. All comments I. Self-Regulatory Organization’s received will be posted without change; Statement of the Terms of Substance of the Commission does not edit personal the Proposed Rule Change identifying information from The Exchange proposes to extend the submissions. You should submit only pilot program that offers liquidity takers information that you wish to make a reduced transaction fee structure for available publicly. All submissions should refer to File Number SR–FINRA– certain bond trades executed on the NYSE BondsSM system (‘‘NYSE Bonds’’) 2009–089 and should be submitted on to June 30, 2010, and retire the pilot or before January 19, 2010. program that issues liquidity providers For the Commission, by the Division of a $20 credit for certain bond trades Trading and Markets, pursuant to delegated executed on NYSE Bonds with an authority.9 execution size of less than 20 bonds that Florence E. Harmon, is due to expire on December 31, 2009. Deputy Secretary. The text of the proposed rule change is available on the NYSE’s Web site [FR Doc. E9–30597 Filed 12–24–09; 8:45 am] (https://www.nyx.com), on the BILLING CODE 8011–01–P Commission’s Web site (https:// www.sec.gov), at the Exchange’s principal office, and at the Commission’s Public Reference Room. 8 The text of the proposed rule change is available on the Commission’s Web site at https:// www.sec.gov/. 9 17 CFR 200.30–3(a)(12). PO 00000 Frm 00086 Fmt 4703 Sfmt 4703 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 E:\FR\FM\28DEN1.SGM 28DEN1 68652 Federal Register / Vol. 74, No. 247 / Monday, December 28, 2009 / Notices 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 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 aspects of such statements. A. Self-Regulatory Organization’s Statement of the Purpose of, and Statutory Basis for, the Proposed Rule Change Liquidity Taker Pilot Program erowe on DSK5CLS3C1PROD with NOTICES 1. Purpose The New York Stock Exchange LLC (the ‘‘Exchange’’ or the ‘‘NYSE’’) proposes to: (1) Extend the pilot program that offers liquidity takers a reduced transaction fee structure for certain bond trades executed on the NYSE BondsSM system (‘‘NYSE Bonds’’) to June 30, 2010, and (2) retire the pilot program that issues liquidity providers a $20 credit for certain bond trades executed on NYSE Bonds with an execution size of less than 20 bonds that is due to expire on December 31, 2009. Liquidity Taker Pilot Program The Exchange’s pilot program reduces transaction fees charged to liquidity takers for transactions executed on NYSE Bonds with a staggered transaction fee schedule based on the number of bonds purchased or sold in excess of ten (10) bonds. Currently, the transaction fee for orders that take liquidity from the market is $.50 per bond. This fee remains unchanged for orders up to ten (10) bonds. The extended fee filing pilot program provides for the following transaction fee schedule: (1) When the liquidity taker purchases or sells from one to ten (10) bonds, the Exchange will charge an execution fee of $0.50 per bond; (2) when the liquidity taker purchases or sells from eleven (11) to twenty-five (25) bonds, the Exchange will charge an execution fee of $0.20 per bond, and (3) when the liquidity taker purchases or sells twenty-six (26) bonds or more, the Exchange will charge an execution fee of $0.10 per bond. For example, if a liquidity taker purchases or sells five (5) bonds, the Exchange will charge $.50 per bond, or a total of $2.50 for execution fees. If a liquidity taker purchases or sells twenty (20) bonds, the Exchange will charge VerDate Nov<24>2008 11:00 Dec 24, 2009 Jkt 220001 $.20 per bond or a total of $4.00 for execution fees. If a liquidity taker purchases or sells thirty (30) bonds, the Exchange will charge $.10 per bond or a total of $3.00 for execution fees. The Exchange will continue to impose a $100 execution fee cap per transaction. The Exchange seeks to file with the Commission, a proposal to make this liquidity taker program permanent. Accordingly, the Exchange proposes to extend the pilot program for an additional six (6) months in order to give the Exchange the necessary time to complete the 19b–4 process regarding the program permanency filing. In December 2007, the Exchange initiated a four-month pilot program that issued liquidity providers a $20 credit for certain bond trades executed on the NYSE Bonds with an execution size of less than 20 bonds.5 This pilot program was extended twice with the most recent expiration date of December 31, 2009.6 The purpose of establishing a $20 credit program for liquidity providers was to incentivize them to display the best price available on NYSE Bonds. However, during the operation of this pilot, no significant liquidity was generated. This is not the case with the pilot program for liquidity takers. Accordingly, the Exchange proposes that the pilot program for liquidity providers be retired on its expiration date of December 31, 2009, and be removed from the NYSE Price List. 2. Statutory Basis The Exchange believes that the proposed rule change is consistent with the provisions of Section 6 of the Act 7 in general and Section 6(b)(4) of the Act 8 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. 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. 5 See Securities Exchange Act Release No. 56894 (December 7, 2007), 72 FR 70362 (December 11, 2007) (SR–NYSE–2007–107). 6 See Securities Exchange Act Release Nos. 57617 (April 4, 2008), 73 FR 19542 (April 10, 2008) (SR– NYSE–2008–25) and 59177 (December 30, 2008), 74 FR 747 (January 7, 2009) (SR–NYSE–2008–136). 7 15 U.S.C. 78f. 8 15 U.S.C. 78f(b)(4). PO 00000 Frm 00087 Fmt 4703 Sfmt 4703 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 rule change establishes or changes a due, fee, or other charge imposed by the Exchange, it has become effective pursuant to Section 19(b)(3)(A) of the Act 9 and subparagraph (f)(2) of Rule 19b–4 thereunder.10 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: 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–NYSE–20098–127 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 Number SR–NYSE–2009–127. 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 9 15 U.S.C. 78s(b)(3)(A). CFR 240.19b–4(f)(2). 10 17 E:\FR\FM\28DEN1.SGM 28DEN1 Federal Register / Vol. 74, No. 247 / Monday, December 28, 2009 / Notices 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 NYSE. 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–NYSE–2009–127 and should be submitted on or before January 19, 2010. I. Self-Regulatory Organization’s Statement of the Terms of Substance of the Proposed Rule Change NASDAQ is filing a proposal for the NASDAQ Options Market (‘‘NOM’’ or ‘‘Exchange’’) [sic] amend its Chapter IV, Section 6 (Series of Options Contracts Open for Trading) to apply uniform objective standards to the range of options series exercise (or strike) prices available for trading on the Exchange. The text of the proposed rule change is available from Nasdaq’s Web site at https://nasdaq.cchwallstreet.com, at Nasdaq’s principal office, 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 BILLING CODE 8011–01–P In its filing with the Commission, Nasdaq 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. Nasdaq has prepared summaries, set forth in Sections A, B, and C below, of the most significant aspects of such statements. SECURITIES AND EXCHANGE COMMISSION A. Self-Regulatory Organization’s Statement of the Purpose of, and the Statutory Basis for, the Proposed Rule Change For the Commission, by the Division of Trading and Markets, pursuant to delegated authority.11 Florence E. Harmon, Deputy Secretary. [FR Doc. E9–30616 Filed 12–24–09; 8:45 am] 1. Purpose [Release No. 34–61203; File No. SR– NASDAQ–2009–108] Self-Regulatory Organizations; The NASDAQ Stock Market LLC; Notice of Filing and Immediate Effectiveness of Proposed Rule Change To Codify Certain Provisions of the Options Listing Procedures Plan Into the Exchange’s Rules erowe on DSK5CLS3C1PROD with NOTICES December 18, 2009. Pursuant to Section 19(b)(1) of the Securities Exchange Act of 1934 (‘‘Act’’) 1 and Rule 19b–4 2 thereunder, notice is hereby given that on December 7, 2009, The NASDAQ Stock Market LLC (‘‘Nasdaq’’) filed with the Securities and Exchange Commission (‘‘SEC’’ or ‘‘Commission’’) the proposed rule change as described in Items I, II, and III below, which Items have been prepared by Nasdaq. The Commission is publishing this notice to solicit comments on the proposed rule change from interested persons. 11 17 CFR 200.30–3(a)(12). U.S.C. 78s(b)(1). 2 17 CFR 240.19b–4. 1 15 VerDate Nov<24>2008 11:00 Dec 24, 2009 Jkt 220001 The purpose of the proposal is to implement in NOM rules, specifically Chapter IV, Section 6, changes that were recently made to the Plan for the Purpose of Developing and Implementing Procedures Designated to Facilitate the Listing and Trading of Standardized Options Submitted Pursuant to Section 11A(a)(3)(B) of the Securities Exchange Act of 1934, also known as the Options Listing Procedures Plan (‘‘OLPP’’), in Amendment No. 3 thereto.3 The 3 See Securities Exchange Act Release No. 60531 (August 19, 2009), 74 FR 43173 (August 26, 2009) (order approving Amendment No. 3 to the OLPP, which would apply uniform objective standards to the range of options series exercise or strike prices available for trading on exchanges that are sponsors of OLPP). The sponsors of OLPP include NASDAQ, Chicago Board Options Exchange, Incorporated; International Stock Exchange LLC; NASDAQ OMX BX, Inc.; NASDAQ OMX Phlx, Inc.; NYSE Amex, LLC; and NYSE Arca, Inc. (together known as the ‘‘Plan Sponsor Exchanges’’). The OLPP is a national market system plan that, among other things, sets forth procedures governing the listing of new options series and replaces and supersedes the Joint-Exchange Options Plan (‘‘JEOP’’). See Securities Exchange Act Release No. 44521 (July 6, 2009), 66 FR 36809 (July 13, 2001) (order approving OLPP). See also Securities Exchange Act Release PO 00000 Frm 00088 Fmt 4703 Sfmt 4703 68653 proposed rule change incorporates uniform objective standards to the range of options series exercise (or strike) prices available for trading on the Exchange, as a quote mitigation strategy intended to reduce the overall number of option series available for trading, which will in turn lessen the rate of increase in quote traffic (‘‘range limitations’’ or ‘‘range limitation strategy’’).4 Chapter IV, Section 6 currently indicates what series of option contracts may be open for trading after a particular class of options has been approved for trading on the Exchange. This proposal adds Supplementary Material .09 to Section 6 that applies certain ‘‘range limitations’’ to the addition of new series for options classes overlying equity securities, Exchange Traded Funds (‘‘ETFs’’), or Trust Issued Receipts (‘‘TIRs’’). As proposed in Supplementary Material .09 to Section 6, if the price of the underlying security is less than or equal to $20, the Exchange would not list new option series with an exercise price more than 100 percent above or below the price of the underlying security.5 If the price of the underlying security is greater than $20, the Exchange would not list new option series with an exercise price more than 50 percent above or below the price of the underlying security. The proposal provides for an objective basis upon which the underlying prices for the price range limitations described above shall be determined, specifically in regard to intra-day add-on series and next-day series additions, new expiration months and for option series to be added as a result of pre-market trading. The proposal also allows the Exchange to designate up to five underlying securities to which, instead of the aforementioned 50 percent restriction, a 100 percent restriction would apply. These designations would be made on an annual basis and cannot be removed during the calendar year unless the option class is delisted by the Exchange, in which case the Exchange may designate another class to replace the delisted class. If a designated class No. 29698 (September 17, 1991), 56 FR 48954 (September 25, 1991) (order approving JEOP). 4 The Exchange expects that other Plan Sponsor Exchanges will file similar rule change proposals implementing range limitations in their rules to mitigate quotes. See, for example, Securities Exchange Act Release No. 60995 (November 13, 2009), 74 FR 60008 (November 19, 2009) (SR– CBOE–2009–084) (notice of filing and immediate effectiveness). 5 This restriction would not prohibit the listing of at least three options series per expiration month in an option class. E:\FR\FM\28DEN1.SGM 28DEN1

Agencies

[Federal Register Volume 74, Number 247 (Monday, December 28, 2009)]
[Notices]
[Pages 68651-68653]
From the Federal Register Online via the Government Printing Office [www.gpo.gov]
[FR Doc No: E9-30616]


-----------------------------------------------------------------------

SECURITIES AND EXCHANGE COMMISSION

[Release No. 34-61201; File No. SR-NYSE-2009-127]


Self-Regulatory Organizations; New York Stock Exchange LLC; 
Notice of Filing and Immediate Effectiveness of Proposed Rule Change 
Extending the Pilot Program That Offers Liquidity Takers a Reduced 
Transaction Fee Structure for Certain Bond Trades Executed on the NYSE 
Bonds System and Retiring the Liquidity Provider Credit Pilot Program

December 18, 2009.
    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 17, 2009, the New York Stock Exchange LLC (``NYSE'' 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. 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.
---------------------------------------------------------------------------

    \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 extend the pilot program that offers 
liquidity takers a reduced transaction fee structure for certain bond 
trades executed on the NYSE BondsSM system (``NYSE Bonds'') 
to June 30, 2010, and retire the pilot program that issues liquidity 
providers a $20 credit for certain bond trades executed on NYSE Bonds 
with an execution size of less than 20 bonds that is due to expire on 
December 31, 2009. The text of the proposed rule change is available on 
the NYSE's Web site (https://www.nyx.com), on the Commission's Web site 
(https://www.sec.gov), at the Exchange's principal office, and at the 
Commission's Public Reference Room.

[[Page 68652]]

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 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 aspects of such statements.

A. Self-Regulatory Organization's Statement of the Purpose of, and 
Statutory Basis for, the Proposed Rule Change

1. Purpose
    The New York Stock Exchange LLC (the ``Exchange'' or the ``NYSE'') 
proposes to: (1) Extend the pilot program that offers liquidity takers 
a reduced transaction fee structure for certain bond trades executed on 
the NYSE BondsSM system (``NYSE Bonds'') to June 30, 2010, 
and (2) retire the pilot program that issues liquidity providers a $20 
credit for certain bond trades executed on NYSE Bonds with an execution 
size of less than 20 bonds that is due to expire on December 31, 2009.

Liquidity Taker Pilot Program

    The Exchange's pilot program reduces transaction fees charged to 
liquidity takers for transactions executed on NYSE Bonds with a 
staggered transaction fee schedule based on the number of bonds 
purchased or sold in excess of ten (10) bonds. Currently, the 
transaction fee for orders that take liquidity from the market is $.50 
per bond. This fee remains unchanged for orders up to ten (10) bonds. 
The extended fee filing pilot program provides for the following 
transaction fee schedule: (1) When the liquidity taker purchases or 
sells from one to ten (10) bonds, the Exchange will charge an execution 
fee of $0.50 per bond; (2) when the liquidity taker purchases or sells 
from eleven (11) to twenty-five (25) bonds, the Exchange will charge an 
execution fee of $0.20 per bond, and (3) when the liquidity taker 
purchases or sells twenty-six (26) bonds or more, the Exchange will 
charge an execution fee of $0.10 per bond.
    For example, if a liquidity taker purchases or sells five (5) 
bonds, the Exchange will charge $.50 per bond, or a total of $2.50 for 
execution fees. If a liquidity taker purchases or sells twenty (20) 
bonds, the Exchange will charge $.20 per bond or a total of $4.00 for 
execution fees. If a liquidity taker purchases or sells thirty (30) 
bonds, the Exchange will charge $.10 per bond or a total of $3.00 for 
execution fees.
    The Exchange will continue to impose a $100 execution fee cap per 
transaction.
    The Exchange seeks to file with the Commission, a proposal to make 
this liquidity taker program permanent. Accordingly, the Exchange 
proposes to extend the pilot program for an additional six (6) months 
in order to give the Exchange the necessary time to complete the 19b-4 
process regarding the program permanency filing.

Liquidity Taker Pilot Program

    In December 2007, the Exchange initiated a four-month pilot program 
that issued liquidity providers a $20 credit for certain bond trades 
executed on the NYSE Bonds with an execution size of less than 20 
bonds.\5\ This pilot program was extended twice with the most recent 
expiration date of December 31, 2009.\6\
---------------------------------------------------------------------------

    \5\ See Securities Exchange Act Release No. 56894 (December 7, 
2007), 72 FR 70362 (December 11, 2007) (SR-NYSE-2007-107).
    \6\ See Securities Exchange Act Release Nos. 57617 (April 4, 
2008), 73 FR 19542 (April 10, 2008) (SR-NYSE-2008-25) and 59177 
(December 30, 2008), 74 FR 747 (January 7, 2009) (SR-NYSE-2008-136).
---------------------------------------------------------------------------

    The purpose of establishing a $20 credit program for liquidity 
providers was to incentivize them to display the best price available 
on NYSE Bonds. However, during the operation of this pilot, no 
significant liquidity was generated. This is not the case with the 
pilot program for liquidity takers. Accordingly, the Exchange proposes 
that the pilot program for liquidity providers be retired on its 
expiration date of December 31, 2009, and be removed from the NYSE 
Price List.
2. Statutory Basis
    The Exchange believes that the proposed rule change is consistent 
with the provisions of Section 6 of the Act \7\ in general and Section 
6(b)(4) of the Act \8\ 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.
---------------------------------------------------------------------------

    \7\ 15 U.S.C. 78f.
    \8\ 15 U.S.C. 78f(b)(4).
---------------------------------------------------------------------------

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 rule change establishes or changes a due, 
fee, or other charge imposed by the Exchange, it has become effective 
pursuant to Section 19(b)(3)(A) of the Act \9\ and subparagraph (f)(2) 
of Rule 19b-4 thereunder.\10\ 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.
---------------------------------------------------------------------------

    \9\ 15 U.S.C. 78s(b)(3)(A).
    \10\ 17 CFR 240.19b-4(f)(2).
---------------------------------------------------------------------------

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-NYSE-20098-127 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 Number SR-NYSE-2009-127. 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

[[Page 68653]]

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 NYSE. 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-NYSE-2009-127 and should be submitted on or before January 19, 2010.

    For the Commission, by the Division of Trading and Markets, 
pursuant to delegated authority.\11\
---------------------------------------------------------------------------

    \11\ 17 CFR 200.30-3(a)(12).
---------------------------------------------------------------------------

Florence E. Harmon,
Deputy Secretary.
[FR Doc. E9-30616 Filed 12-24-09; 8:45 am]
BILLING CODE 8011-01-P
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