Self-Regulatory Organizations; Notice of Filing and Immediate Effectiveness of Proposed Rule Change by New York Stock Exchange LLC To Extend the Pilot Program in Relation to Certain of Its Continued Listing Standards, 10336-10338 [2010-4659]
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10336
Federal Register / Vol. 75, No. 43 / Friday, March 5, 2010 / 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 Exchange consents,
the Commission shall: (a) By order
approve such proposed rule change, or
(b) institute proceedings to determine
whether the proposed rule change
should be disapproved.
For the Commission, by the Division of
Trading and Markets, pursuant to delegated
authority.21
Florence E. Harmon,
Deputy Secretary.
[FR Doc. 2010–4658 Filed 3–4–10; 8:45 am]
IV. Solicitation of Comments
BILLING CODE 8011–01–P
Interested persons are invited to
submit written data, views, and
arguments concerning the foregoing,
including whether the proposed rule
change, as amended, 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–BATS–2010–002 on the
subject line.
erowe on DSK5CLS3C1PROD with NOTICES
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–BATS–2010–002 and
should be submitted on or before March
26, 2010.
SECURITIES AND EXCHANGE
COMMISSION
[Release No. 34–61609; File No. SR–NYSE–
2010–13]
Self-Regulatory Organizations; Notice
of Filing and Immediate Effectiveness
of Proposed Rule Change by New York
Stock Exchange LLC To Extend the
Pilot Program in Relation to Certain of
Its Continued Listing Standards
March 1, 2010.
Pursuant to Section 19(b)(1) 1 of the
Securities Exchange Act of 1934 (the
Paper Comments
‘‘Exchange Act’’),2 and Rule 19b–4
thereunder,3 notice is hereby given that,
• Send paper comments in triplicate
on February 25, 2010, New York Stock
to Elizabeth M. Murphy, Secretary,
Exchange LLC (the ‘‘NYSE’’ or the
Securities and Exchange Commission,
‘‘Exchange’’) filed with the Securities
100 F Street, NE., Washington, DC
and Exchange Commission the proposed
20549–1090.
rule changes as described in Items I and
All submissions should refer to File
II below, which items have been
Number SR–BATS–2010–002. This file
prepared by the Exchange. The
number should be included on the
subject line if e-mail is used. To help the Exchange has designated this proposal
eligible for immediate effectiveness
Commission process and review your
pursuant to Rule 19b–4(f)(6) 4 under the
comments more efficiently, please use
only one method. The Commission will Exchange Act. The Commission is
post all comments on the Commission’s publishing this notice to solicit
comments on the proposed rule changes
Internet Web site (https://www.sec.gov/
from interested persons.
rules/sro.shtml). Copies of the
submission, all subsequent
I. Self-Regulatory Organization’s
amendments, all written statements
Statement of the Terms of Substance of
with respect to the proposed rule
the Proposed Rule Change
change that are filed with the
The Exchange proposes extend [sic]
Commission, and all written
until June 30, 2010, the operation of an
communications relating to the
amendment to the continued listing
proposed rule change between the
requirements in Section 802.01B of the
Commission and any person, other than
Exchange’s Listed Company Manual
those that may be withheld from the
(the ‘‘Manual’’) that is currently in effect
public in accordance with the
on a pilot program basis (the ‘‘Pilot
provisions of 5 U.S.C. 552, will be
Program’’).
available for Web site viewing and
printing in the Commission’s Public
21 17 CFR 200.30–3(a)(12).
Reference Room, on official business
1 15 U.S.C. 78s(b)(1).
days between the hours of 10 a.m. and
2 15 U.S.C. 78a.
3 17 CFR 240.19b–4.
3 p.m. Copies of the filing also will be
4 17 CFR 240.19b–4(f)(6).
available for inspection and copying at
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The text of the proposed rule change
is available on the Exchange’s Web site
(https://www.nyse.com), at the
Exchange’s Office of the Secretary 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
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 NYSE 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 NYSE proposes to extend until
June 30, 2010, the Pilot Program
currently in effect in relation to the
continued listing requirements in
Section 802.01B of the Manual.
Prior to the adoption of the Pilot
Program,5 Section 802.01B(I) of the
Manual provided that any company that
qualified to list under the Earnings Test
set out in Section 102.01C(I) or in
Section 103.01B(I) (in the case of foreign
private issuers) or pursuant to the
requirements set forth under the Assets
and Equity Test set forth in Section
102.01C(IV) or the ‘‘Initial Listing
Standard for Companies Transferring
from NYSE Arca’’ (the ‘‘NYSE Arca
Transfer Standard’’) set forth in Section
102.01(C)(V) (the NYSE Arca Transfer
Standard expired by its terms on August
31, 2009) was considered to be below
compliance standards if such company’s
average global market capitalization
over a consecutive 30 trading-day
period was less than $75 million and, at
the same time, total stockholders’ equity
was less than $75 million. Under the
Pilot Program, companies that listed
under the initial listing standards set
forth in the immediately preceding
sentence are considered to be below
compliance standards if average global
market capitalization over a consecutive
30 trading-day period is less than $50
million and, at the same time, total
stockholders’ equity is less than $50
5 See Securities Exchange Act Release No. 59996
(May 28, 2009), 74 FR 26912 (June 4, 2009) (SR–
NYSE–2009–48) (the ‘‘Pilot Program Notice’’).
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Federal Register / Vol. 75, No. 43 / Friday, March 5, 2010 / Notices
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million. The Pilot Program originally
expired by its terms on October 31,
2009, but the Exchange extended its
application for an additional five
months, until February 28, 2010.6 The
Exchange now proposes to extend the
Pilot Program until June 30, 2010. The
Exchange is submitting a filing
concurrently with this filing in which it
proposes to make the Pilot Program
permanent.7 If the SEC approves that
filing prior to June 30, 2010, the Pilot
Program will expire and the amendment
to Section 802.01B(I) will become
permanent at that time.
For companies listed under the
Earnings Test, the Pilot Program
returned continued listing requirements
to those in place prior to the adoption
of the current requirements on June 9,
2005.8 Consequently, prior to
implementation of the Pilot Program,
the Exchange had considerable
historical experience with the continued
listing of companies that had continued
to trade on the Exchange with global
market capitalization and stockholders’
equity each below $75 million but
greater than $50 million. In addition,
the Exchange’s experience under the
Pilot Program has been very positive, as
only one of the companies that was
deemed back in compliance as a result
of the adoption of the Pilot Program has
subsequently fallen below the standard
as amended by the Pilot Program as of
the date of this filing and only two
additional companies have been newly
identified as being below the Pilot
Program standard. Based on this
experience, the Exchange believes that
companies that exceed the continued
listing standards as amended by the
Pilot Program are suitable for continued
listing on the Exchange.
The Exchange believes that the
continued listing standards as amended
by the Pilot Program are at least as
stringent as those of any other national
securities exchange. Consequently, the
Exchange believes that the Pilot
Program is consistent with the
protection of investors and the public
interest and does not raise any novel
regulatory issues. In addition, the
Exchange notes that the Commission
6 See Securities Exchange Act Release No. 60911
(November 2, 2009), 74 FR 57730 (November 9,
2010) (SR–NYSE–2009–109).
7 The Commission notes that on February 26,
2010, the Exchange submitted a proposed rule
change to make the Pilot Program permanent. (See
SR–NYSE–2010–15).
8 See Securities Exchange Act Release No. 51813
(June 9, 2005), 70 FR 35484 (June 20, 2005) (SR–
NYSE–2004–20). The Assets and Equity Test set
forth in Section 102.01C(IV) and the NYSE Arca
Transfer Standard set forth in Section 102.01C(V)
were adopted subsequent to this amendment.
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stated in the Pilot Program Notice 9 that
it believed that the continued listing
standards adopted under the Pilot
Program met the requirements
established in Exchange Act Rule 3a51–
1(a)(2)(ii) 10 in that they were reasonably
related to the initial listing standards set
forth in paragraph (a)(20)(i)[sic] of
Exchange Act Rule 3a51–1 (the ‘‘Penny
Stock Rule’’).11
2. Statutory Basis
The Exchange believes that the
proposed rule change is consistent with
Section 6(b) 12 of the Exchange Act, in
general, and furthers the objectives of
Section 6(b)(5) 13 of the Exchange Act in
particular in that it is designed to
promote just and equitable principles of
trade, to foster cooperation and
coordination with persons engaged in
regulating, clearing, settling, processing
information with respect to, and
facilitating 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. The Exchange believes
that the proposed extension to the Pilot
Program is consistent with the investor
protection objectives of the Exchange
Act in that the continued listing
standards under the Pilot Program are
set at a high enough level that only
companies that are suitable for
continued listing on the Exchange will
exceed the standards.
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 Exchange 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.
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
9 See
the Pilot Program Notice at Note 5.
CFR 240.a51–1(a)(2)(ii). [sic]
11 17 CFR 240.a51–1. [sic]
12 15 U.S.C. 78f(b).
13 15 U.S.C. 78f(b)(5).
10 17
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10337
this 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) 14 of the Act and
Rule 19b–4(f)(6) thereunder.15
A proposed rule change filed under
Rule 19b–4(f)(6) 16 normally may not
become operative prior to 30 days after
the date of filing. However, Rule 19b–
4(f)(6)(iii) 17 permits the Commission to
designate a shorter time if such action
is consistent with the protection of
investors and the public interest. The
Exchange requests that the Commission
waive the 30-day operative delay, as
specified in Rule 19b–4(f)(6)(iii),18
which would make the rule change
operative upon filing.
The Commission believes that
waiving the 30-day operative delay is
consistent with the protection of
investors and the public interest
because such waiver will allow the
current Pilot Program to continue
without interruption. The Commission
notes that the standards under the Pilot
Program are identical, for those
companies qualifying under the
Earnings Test, to those in effect on the
Exchange prior to the adoption of the
current standards in 2005.19 The NYSE
represents that the continued listing
standards proposed under the Pilot
Program are at least as stringent as those
of any other national securities
exchange. In addition, the Commission
notes that the pilot period will allow the
NYSE and the Commission to continue
to assess the new continued listing
standards. For these reasons, the
Commission designates the proposed
rule change operative upon filing.20
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
14 15
U.S.C. 78s(b)(3)(A).
CFR 240.19b–4(f)(6). In addition, Rule 19b–
4(f)(6)(iii) requires a self-regulatory organization to
provide the Commission with written 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 fulfilled this requirement.
16 Id.
17 17 CFR 240.19b–4(f)(6)(iii).
18 Id.
19 See Securities Exchange Act Release No. 51813
(June 9, 2005), 70 FR 35484 (June 20, 2005) (SR–
NYSE–2004–20).
20 For purposes only of waiving the operative
delay for this proposal, the Commission has
considered the proposed rule’s impact on
efficiency, competition, and capital formation. See
15 U.S.C. 78c(f).
15 17
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10338
Federal Register / Vol. 75, No. 43 / Friday, March 5, 2010 / Notices
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 Exchange
Act. Comments may be submitted by
any of the following methods:
Electronic Comments
erowe on DSK5CLS3C1PROD with NOTICES
• 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–2010–13 on the
subject line.
For the Commission, by the Division of
Trading and Markets, pursuant to delegated
authority.21
Florence E. Harmon,
Deputy Secretary.
[FR Doc. 2010–4659 Filed 3–4–10; 8:45 am]
BILLING CODE 8011–01–P
DEPARTMENT OF STATE
[Public Notice: 6914]
60-Day Notice of Proposed Information
Collection: DS–2031, Shrimp
Exporter’s/Importer’s Declaration,
OMB Control Number 1405–0095
ACTION: Notice of request for public
comments.
SUMMARY: The Department of State is
seeking Office of Management and
Budget (OMB) approval for the
information collection described below.
Paper Comments
The purpose of this notice is to allow 60
• Send paper comments in triplicate
days for public comment in the Federal
to Secretary, Securities and Exchange
Register preceding submission to OMB.
Commission, 100 F Street, NE.,
We are conducting this process in
Washington, DC 20549–1090.
accordance with the Paperwork
Reduction Act of 1995.
All submissions should refer to File
• Title of Information Collection:
Number SR–NYSE–2010–13. This file
Shrimp Exporter’s/Importer’s
number should be included on the
Declaration
subject line if e-mail is used. To help the
• OMB Control Number: 1405–0095
Commission process and review your
• Type of Request: Extension of a
comments more efficiently, please use
Currently Approved Collection.
only one method. The Commission will
• Originating Office: Bureau of
post all comments on the Commission’s Oceans and International Environmental
Internet Web site (https://www.sec.gov/
and Scientific Affairs, Office of Marine
rules/sro.shtml ). Copies of the
Conservation (OES/OMC)
submission, all subsequent
• Form Number: DS–2031
amendments, all written statements
• Respondents: Business or other forprofit organizations
with respect to the proposed rule
• Estimated Number of Respondents:
change that are filed with the
3,000
Commission, and all written
• Estimated Number of Responses:
communications relating to the
10,000
proposed rule change between the
• Average Hours per Response: 10
Commission and any person, other than
minutes
those that may be withheld from the
• Total Estimated Burden: 1,666
public in accordance with the
• Frequency: On occasion
provisions of 5 U.S.C. 552, will be
• Obligation to Respond: Mandatory
available for Web site viewing and
DATE(S): The Department will accept
printing in the Commission’s Public
comments from the public up to 60 days
Reference Room, on official business
from March 5, 2010.
days between the hours of 10 a.m. and
ADDRESSES: You may submit comments
3 p.m. Copies of the filing also will be
by any of the following methods:
available for inspection and copying at
• Mail (paper, disk, or CD–ROM
the principal office of the Exchange. All
submissions): Office of Marine
comments received will be posted
Conservation (OES/OMC), 2201 C
without change; the Commission does
Street, NW., Section 609 Program, Room
not edit personal identifying
2758, Washington, DC 20520
information from submissions. You
• Fax: (202) 736–7350
should submit only information that
You must include the DS form
you wish to make available publicly. All number (if applicable), information
submissions should refer to File
collection title, and OMB control
Number SR–NYSE–2010–13 and should number in any correspondence.
be submitted on or before March 26,
2010.
21 17 CFR 200.30–3(a)(12).
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FOR FURTHER INFORMATION CONTACT:
Direct requests for additional
information regarding the collection
listed in this notice, including requests
for copies of the proposed information
collection and supporting documents, to
James J. Hogan, III, Office of Marine
Conservation, Bureau of Oceans and
International Environmental and
Scientific Affairs, Department of State,
Washington, DC 20520–7818; who may
be reached on (202) 647–2252.
SUPPLEMENTARY INFORMATION:
We are soliciting public comments to
permit the Department to:
• Evaluate whether the proposed
information collection is necessary for
the proper performance of our
functions.
• Evaluate the accuracy of our
estimate of the burden of the proposed
collection, including the validity of the
methodology and assumptions used.
• Enhance the quality, utility, and
clarity of the information to be
collected.
• Minimize the reporting burden on
those who are to respond, including the
use of automated collection techniques
or other forms of technology.
Abstract of proposed collection: The
Form DS–203 is necessary to document
imports of shrimp pursuant to the State
Department’s implementation of Section
609 of Public Law 101–162, which
prohibits the entry into the United
States of shrimp harvested in ways
which are harmful to sea turtles.
Respondents are shrimp exporters and
government officials in countries which
export shrimp to the United States. The
DS–2031 Form is to be retained by the
importer for a period of three years
subsequent to entry, and during that
time is to be made available to U.S.
Customs and Border Protection or the
Department of State upon request.
Methodology: The DS–2031 form is
completed by the exporter, the importer,
and under certain conditions a
government official of the exporting
country. The DS–2031 Form
accompanies shipment of shrimp and
shrimp products to the United States
and is to be made available to U.S.
Customs and Border Protection at the
time of entry.
Dated: February 17, 2010.
David A. Balton,
Deputy Assistant Secretary for Oceans and
Fisheries, Department of State.
[FR Doc. 2010–4705 Filed 3–4–10; 8:45 am]
BILLING CODE 4710–09–P
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]]>Agencies
[Federal Register Volume 75, Number 43 (Friday, March 5, 2010)]
[Notices]
[Pages 10336-10338]
From the Federal Register Online via the Government Printing Office [www.gpo.gov]
[FR Doc No: 2010-4659]
-----------------------------------------------------------------------
SECURITIES AND EXCHANGE COMMISSION
[Release No. 34-61609; File No. SR-NYSE-2010-13]
Self-Regulatory Organizations; Notice of Filing and Immediate
Effectiveness of Proposed Rule Change by New York Stock Exchange LLC To
Extend the Pilot Program in Relation to Certain of Its Continued
Listing Standards
March 1, 2010.
Pursuant to Section 19(b)(1) \1\ of the Securities Exchange Act of
1934 (the ``Exchange Act''),\2\ and Rule 19b-4 thereunder,\3\ notice is
hereby given that, on February 25, 2010, New York Stock Exchange LLC
(the ``NYSE'' or the ``Exchange'') filed with the Securities and
Exchange Commission the proposed rule changes as described in Items I
and II below, which items have been prepared by the Exchange. The
Exchange has designated this proposal eligible for immediate
effectiveness pursuant to Rule 19b-4(f)(6) \4\ under the Exchange Act.
The Commission is publishing this notice to solicit comments on the
proposed rule changes from interested persons.
---------------------------------------------------------------------------
\1\ 15 U.S.C. 78s(b)(1).
\2\ 15 U.S.C. 78a.
\3\ 17 CFR 240.19b-4.
\4\ 17 CFR 240.19b-4(f)(6).
---------------------------------------------------------------------------
I. Self-Regulatory Organization's Statement of the Terms of Substance
of the Proposed Rule Change
The Exchange proposes extend [sic] until June 30, 2010, the
operation of an amendment to the continued listing requirements in
Section 802.01B of the Exchange's Listed Company Manual (the
``Manual'') that is currently in effect on a pilot program basis (the
``Pilot Program'').
The text of the proposed rule change is available on the Exchange's
Web site (https://www.nyse.com), at the Exchange's Office of the
Secretary 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 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 NYSE 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 NYSE proposes to extend until June 30, 2010, the Pilot Program
currently in effect in relation to the continued listing requirements
in Section 802.01B of the Manual.
Prior to the adoption of the Pilot Program,\5\ Section 802.01B(I)
of the Manual provided that any company that qualified to list under
the Earnings Test set out in Section 102.01C(I) or in Section
103.01B(I) (in the case of foreign private issuers) or pursuant to the
requirements set forth under the Assets and Equity Test set forth in
Section 102.01C(IV) or the ``Initial Listing Standard for Companies
Transferring from NYSE Arca'' (the ``NYSE Arca Transfer Standard'') set
forth in Section 102.01(C)(V) (the NYSE Arca Transfer Standard expired
by its terms on August 31, 2009) was considered to be below compliance
standards if such company's average global market capitalization over a
consecutive 30 trading-day period was less than $75 million and, at the
same time, total stockholders' equity was less than $75 million. Under
the Pilot Program, companies that listed under the initial listing
standards set forth in the immediately preceding sentence are
considered to be below compliance standards if average global market
capitalization over a consecutive 30 trading-day period is less than
$50 million and, at the same time, total stockholders' equity is less
than $50
[[Page 10337]]
million. The Pilot Program originally expired by its terms on October
31, 2009, but the Exchange extended its application for an additional
five months, until February 28, 2010.\6\ The Exchange now proposes to
extend the Pilot Program until June 30, 2010. The Exchange is
submitting a filing concurrently with this filing in which it proposes
to make the Pilot Program permanent.\7\ If the SEC approves that filing
prior to June 30, 2010, the Pilot Program will expire and the amendment
to Section 802.01B(I) will become permanent at that time.
---------------------------------------------------------------------------
\5\ See Securities Exchange Act Release No. 59996 (May 28,
2009), 74 FR 26912 (June 4, 2009) (SR-NYSE-2009-48) (the ``Pilot
Program Notice'').
\6\ See Securities Exchange Act Release No. 60911 (November 2,
2009), 74 FR 57730 (November 9, 2010) (SR-NYSE-2009-109).
\7\ The Commission notes that on February 26, 2010, the Exchange
submitted a proposed rule change to make the Pilot Program
permanent. (See SR-NYSE-2010-15).
---------------------------------------------------------------------------
For companies listed under the Earnings Test, the Pilot Program
returned continued listing requirements to those in place prior to the
adoption of the current requirements on June 9, 2005.\8\ Consequently,
prior to implementation of the Pilot Program, the Exchange had
considerable historical experience with the continued listing of
companies that had continued to trade on the Exchange with global
market capitalization and stockholders' equity each below $75 million
but greater than $50 million. In addition, the Exchange's experience
under the Pilot Program has been very positive, as only one of the
companies that was deemed back in compliance as a result of the
adoption of the Pilot Program has subsequently fallen below the
standard as amended by the Pilot Program as of the date of this filing
and only two additional companies have been newly identified as being
below the Pilot Program standard. Based on this experience, the
Exchange believes that companies that exceed the continued listing
standards as amended by the Pilot Program are suitable for continued
listing on the Exchange.
---------------------------------------------------------------------------
\8\ See Securities Exchange Act Release No. 51813 (June 9,
2005), 70 FR 35484 (June 20, 2005) (SR-NYSE-2004-20). The Assets and
Equity Test set forth in Section 102.01C(IV) and the NYSE Arca
Transfer Standard set forth in Section 102.01C(V) were adopted
subsequent to this amendment.
---------------------------------------------------------------------------
The Exchange believes that the continued listing standards as
amended by the Pilot Program are at least as stringent as those of any
other national securities exchange. Consequently, the Exchange believes
that the Pilot Program is consistent with the protection of investors
and the public interest and does not raise any novel regulatory issues.
In addition, the Exchange notes that the Commission stated in the Pilot
Program Notice \9\ that it believed that the continued listing
standards adopted under the Pilot Program met the requirements
established in Exchange Act Rule 3a51-1(a)(2)(ii) \10\ in that they
were reasonably related to the initial listing standards set forth in
paragraph (a)(20)(i)[sic] of Exchange Act Rule 3a51-1 (the ``Penny
Stock Rule'').\11\
---------------------------------------------------------------------------
\9\ See the Pilot Program Notice at Note 5.
\10\ 17 CFR 240.a51-1(a)(2)(ii). [sic]
\11\ 17 CFR 240.a51-1. [sic]
---------------------------------------------------------------------------
2. Statutory Basis
The Exchange believes that the proposed rule change is consistent
with Section 6(b) \12\ of the Exchange Act, in general, and furthers
the objectives of Section 6(b)(5) \13\ of the Exchange Act in
particular in that it is designed to promote just and equitable
principles of trade, to foster cooperation and coordination with
persons engaged in regulating, clearing, settling, processing
information with respect to, and facilitating 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. The Exchange believes that
the proposed extension to the Pilot Program is consistent with the
investor protection objectives of the Exchange Act in that the
continued listing standards under the Pilot Program are set at a high
enough level that only companies that are suitable for continued
listing on the Exchange will exceed the standards.
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\12\ 15 U.S.C. 78f(b).
\13\ 15 U.S.C. 78f(b)(5).
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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 Exchange 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.
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 this 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) \14\ of the Act and Rule 19b-4(f)(6)
thereunder.\15\
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\14\ 15 U.S.C. 78s(b)(3)(A).
\15\ 17 CFR 240.19b-4(f)(6). In addition, Rule 19b-4(f)(6)(iii)
requires a self-regulatory organization to provide the Commission
with written 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 fulfilled this requirement.
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A proposed rule change filed under Rule 19b-4(f)(6) \16\ normally
may not become operative prior to 30 days after the date of filing.
However, Rule 19b-4(f)(6)(iii) \17\ permits the Commission to designate
a shorter time if such action is consistent with the protection of
investors and the public interest. The Exchange requests that the
Commission waive the 30-day operative delay, as specified in Rule 19b-
4(f)(6)(iii),\18\ which would make the rule change operative upon
filing.
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\16\ Id.
\17\ 17 CFR 240.19b-4(f)(6)(iii).
\18\ Id.
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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 such waiver will allow the current Pilot Program to continue
without interruption. The Commission notes that the standards under the
Pilot Program are identical, for those companies qualifying under the
Earnings Test, to those in effect on the Exchange prior to the adoption
of the current standards in 2005.\19\ The NYSE represents that the
continued listing standards proposed under the Pilot Program are at
least as stringent as those of any other national securities exchange.
In addition, the Commission notes that the pilot period will allow the
NYSE and the Commission to continue to assess the new continued listing
standards. For these reasons, the Commission designates the proposed
rule change operative upon filing.\20\
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\19\ See Securities Exchange Act Release No. 51813 (June 9,
2005), 70 FR 35484 (June 20, 2005) (SR-NYSE-2004-20).
\20\ For purposes only of waiving the operative delay for this
proposal, 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
[[Page 10338]]
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 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
Send an e-mail to rule-comments@sec.gov. Please include
File Number SR-NYSE-2010-13 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-NYSE-2010-13. 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 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 Web site viewing and printing in
the Commission's Public Reference Room, on official business days
between the hours of 10 a.m. and 3 p.m. Copies of the filing also will
be available for inspection and copying at the principal office of the
Exchange. All comments received will be posted without change; the
Commission does not edit personal identifying information from
submissions. You should submit only information that you wish to make
available publicly. All submissions should refer to File Number SR-
NYSE-2010-13 and should be submitted on or before March 26, 2010.
For the Commission, by the Division of Trading and Markets,
pursuant to delegated authority.\21\
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\21\ 17 CFR 200.30-3(a)(12).
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Florence E. Harmon,
Deputy Secretary.
[FR Doc. 2010-4659 Filed 3-4-10; 8:45 am]
BILLING CODE 8011-01-P
