Self-Regulatory Organizations; Chicago Board Options Exchange, Incorporated; Notice of Filing and Immediate Effectiveness of Proposed Rule Change To Amend Its Fees Schedule and Circular Regarding Trading Permit Holder Application and Other Related Fees, 51132-51134 [2010-20407]
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51132
Federal Register / Vol. 75, No. 159 / Wednesday, August 18, 2010 / Notices
sroberts on DSKD5P82C1PROD with NOTICES
expectation of selling them at higher
prices shortly thereafter. Furthermore,
the MSRB stated that the proposed rule
change incorporates the same
exceptions to the priority provisions
that exist under current law, and that
what the proposed rule change would
do is to require accountability of
underwriters who deviated from the
priority provisions, because they would
be required to keep records of why they
did so. The Commission believes the
MSRB’s explanation of the application
of the proposal adequately addresses
Mr. Melton’s concerns. With regard to
all other issues raised by the
commenters, the Commission believes
that the MSRB has adequately addressed
the commenters’ concerns.
IV. Order Granting Accelerated
Approval of Proposed Rule Change
Pursuant to Section 19(b)(2) of the
Exchange Act,14 the Commission may
not approve any proposed rule change,
or amendment thereto, prior to the 30th
day after the date of publication of
notice of the filing thereof, unless the
Commission finds good cause for so
doing and publishes its reasons for so
finding. The MSRB requests that the
Commission find good cause, pursuant
to Section 19(b)(2) of the Exchange Act,
for approving Amendment No. 1 prior to
the thirtieth day after publication of
notice of filing of Amendment No. 1 in
the Federal Register. The MSRB
believes that the Commission has good
cause for granting accelerated approval
of the proposed rule change because the
revisions made by Amendment No. 1
are technical amendments that do not
significantly alter the substance of the
original proposed rule change, are
consistent with the purpose of the
original proposed rule change, and do
not raise significant new issues. The
Commission hereby finds good cause for
approving the proposed rule change, as
modified by Amendment No. 1, before
the 30th day after the date of
publication of notice of filing thereof in
the Federal Register. The Commission
notes that the original proposed rule
change was published in the Federal
Register on December 10, 2009. The
Commission does not believe that
Amendment No. 1 significantly alters
the proposal. In Amendment No. 1, the
MSRB made technical revisions in
response to comments. The Commission
believes that Amendment No. 1 is
consistent with the proposal’s purpose
and raises no new significant issues.
Accordingly, pursuant to Section
19(b)(2) of the Exchange Act,15 the
14 15
15 15
U.S.C. 78s(b)(2).
U.S.C. 78s(b)(2).
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18:40 Aug 17, 2010
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Commission finds good cause to
approve the proposed rule change, as
amended, on an accelerated basis.
V. Solicitation of Comments
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 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 rulecomments@sec.gov. Please include File
Number SR–MSRB–2009–17 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–MSRB–2009–17. 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, 100 F Street, NE.,
Washington, DC 20549, on official
business days between the hours of
10 a.m. and 3 p.m. Copies of such filing
also will be available for inspection and
copying at the principal office of the
MSRB. 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–MSRB–2009–17 and should
be submitted on or before September 8,
2010.
PO 00000
Frm 00150
Fmt 4703
Sfmt 4703
VI. Conclusion
For the foregoing reasons, the
Commission finds that the proposed
rule change, as amended, is consistent
with the Exchange Act and the rules and
regulations thereunder applicable to the
MSRB16 and, in particular, the
requirements of Section 15B(b)(2)(C) of
the Exchange Act17 and the rules and
regulations thereunder. The proposal
will become effective for new issues of
municipal securities for which the Time
of Formal Award (as defined in Rule
G–34(a)(ii)(C)(1)(a)) occurs more than 60
days after approval of the proposed rule
change by the SEC, as requested by the
MSRB.
It is therefore ordered, pursuant to
Section 19(b)(2) of the Exchange Act,18
that the proposed rule change (SR–
MSRB–2010–17), as amended, be, and it
hereby is, approved on an accelerated
basis.
For the Commission, by the Division of
Trading and Markets, pursuant to delegated
authority.19
Florence E. Harmon,
Deputy Secretary.
[FR Doc. 2010–20467 Filed 8–17–10; 8:45 am]
BILLING CODE 8010–01–P
SECURITIES AND EXCHANGE
COMMISSION
[Release No. 34–62704; File No. SR–CBOE–
2010–073]
Self-Regulatory Organizations;
Chicago Board Options Exchange,
Incorporated; Notice of Filing and
Immediate Effectiveness of Proposed
Rule Change To Amend Its Fees
Schedule and Circular Regarding
Trading Permit Holder Application and
Other Related Fees
August 12, 2010.
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 August 3,
2010, the Chicago Board Options
Exchange, Incorporated (‘‘CBOE’’ or the
‘‘Exchange’’) filed with the Securities
and Exchange Commission
(‘‘Commission’’) the proposed rule
change as described in Items I and II
below, which Items have been prepared
by CBOE. The Commission is
16 In approving this proposed rule change, the
Commission notes that it has considered the
proposed rule’s impact on efficiency, competition
and capital formation. 15 U.S.C. 78c(f).
17 15 U.S.C. 78o–4(b)(2)(C).
18 15 U.S.C. 78s(b)(2).
19 17 CFR 200.30–3(a)(12).
1 15 U.S.C. 78s(b)(1).
2 17 CFR 240.19b–4.
E:\FR\FM\18AUN1.SGM
18AUN1
Federal Register / Vol. 75, No. 159 / Wednesday, August 18, 2010 / Notices
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
Chicago Board Options Exchange,
Incorporated (‘‘CBOE’’ or ‘‘Exchange’’)
proposes to amend its Fees Schedule
and circular regarding Trading Permit
Holder application and other related
fees (‘‘Trading Permit Fee Circular’’) as
they apply to tier appointments and
bandwidth packets. The text of the
proposed rule change is available on the
Exchange’s Web site (https://
www.cboe.org/Legal/), 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,
CBOE 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. CBOE 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
sroberts on DSKD5P82C1PROD with NOTICES
1. Purpose
CBOE is proposing to amend its Fees
Schedule and Trading Permit Fee
Circular to extend the deadline for
notification of termination of a tier
appointment or bandwidth packet until
the last business day of the prior month.
Specifically, tier appointments and
bandwidth packets will be renewed
automatically for the next month unless
the Trading Permit Holder submits
written notification to the CBOE
Registration Services Department by the
last business day of the prior month to
cancel the tier appointment or
bandwidth packet effective at or prior to
the end of the applicable month.
Trading Permit Holders were previously
required to submit this notification by
the 25th day of the prior month (or the
preceding business day if the 25th was
not a business day). CBOE no longer
believes that it requires this additional
notice in the context of tier appointment
and bandwidth packet terminations.
CBOE is also proposing to amend its
Fees Schedule and Trading Permit Fee
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18:40 Aug 17, 2010
Jkt 220001
Circular to establish a fee scale for the
purchase of Order Entry Bandwidth
Packets under which the cost of an
Order Entry Bandwidth Packet would
decline at certain break points as
additional Order Entry Bandwidth
Packets are purchased. Specifically, the
first through fifth Order Entry
Bandwidth Packets obtained by a
Trading Permit Holder would cost
$2,000 per packet per month, the sixth
through eighth Order Entry Bandwidth
Packets obtained by that Trading Permit
Holder would cost $1,000 per packet per
month, the ninth through thirteenth
Order Entry Bandwidth Packets
obtained by that Trading Permit Holder
would cost $500 per packet per month,
and the fourteenth and each additional
Order Entry Bandwidth Packet obtained
by that Trading Permit Holder would
cost $250 per packet per month. As with
CBOE’s current bandwidth packet fees,
the foregoing fees would be discounted
by 20% through the end of 2010.
CBOE also proposes to allow Trading
Permit Holders to obtain and assign to
a particular Sponsored User of the
Trading Permit Holder one or more
Order Entry Bandwidth Packets. In that
event, the fees for the assigned
bandwidth packet(s) would be assessed
to the Trading Permit Holder and the
bandwidth packet(s) could be utilized
solely by the Sponsored User (and not
by the Trading Permit Holder or any
other Sponsored User).
Fees for Order Entry Bandwidth
Packets assigned to a particular
Sponsored User would be subject to the
same fee scale as above and to the 20%
discount through the end of 2010 that
would apply to Order Entry Bandwidth
Packets obtained by Trading Permit
Holders that are not assigned to a
particular Sponsored User, with one
difference. Specifically, each break
point in the fee scale would be one
numeral higher than in the fee scale for
Order Entry Bandwidth Packets not
assigned to a particular Sponsored User.
Thus, for example, the first tier of the
fee scale for Order Entry Bandwidth
Packets assigned to a particular
Sponsored User would be for the first
four Order Entry Bandwidth Packets
instead of for the first three Order Entry
Bandwidth Packets. The reason for this
difference is that each Trading Permit
Holder has already paid for the order
entry bandwidth allocation that is
provided by the Trading Permit by
paying for the Trading Permit so the fee
scale is structured so that the fee for the
first Order Entry Bandwidth Packet that
is assigned to a Sponsored User is paid
before the sliding scale becomes
applicable.
PO 00000
Frm 00151
Fmt 4703
Sfmt 4703
51133
Thus, the full fee scale for Order Entry
Bandwidth Packets assigned by a
Trading Permit Holder to a Sponsored
User would be that the first through
sixth Order Entry Bandwidth Packets
assigned to the Sponsored User would
cost $2,000 per packet per month, the
seventh through ninth Order Entry
Bandwidth Packets assigned to that
Sponsored User would cost $1,000 per
packet per month, the tenth through
fourteenth Order Entry Bandwidth
Packets assigned to that Sponsored User
would cost $500 per packet per month,
and the fifteenth and each additional
Order Entry Bandwidth Packet assigned
to that Sponsored User would cost $250
per packet per month.
CBOE is proposing to implement the
foregoing changes effective for the
month of August 2010.
2. Statutory Basis
The proposed rule change will treat
all Trading Permit Holders in a
consistent manner and apply the same
fees with respect to all Sponsored Users.
The difference in the fee scale
applicable with respect to Sponsored
Users is reasonable in that Sponsored
Users are not CBOE Trading Permit
Holders and have not already obtained
an order entry bandwidth allowance
through the purchase of a Trading
Permit. Accordingly, the Exchange
believes that the proposed rule change
is consistent with Section 6(b) of the
Act,3 in general, and furthers the
objectives of Section 6(b)(4) of the Act 4
in particular, in that it is designed to
provide for the equitable allocation of
reasonable dues, fees, and other charges
among persons using its facilities for the
reasons described above.
B. Self-Regulatory Organization’s
Statement on Burden on Competition
CBOE 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
The foregoing rule has become
effective pursuant to Section 19(b)(3)(A)
3 15
4 15
E:\FR\FM\18AUN1.SGM
U.S.C. 78f(b).
U.S.C. 78f(b)(4).
18AUN1
51134
Federal Register / Vol. 75, No. 159 / Wednesday, August 18, 2010 / Notices
of the Act 5 and subparagraph (f)(2) of
Rule 19b–46 thereunder. At any time
within 60 days of the filing of the
proposed rule change, the Commission
summarily may temporarily suspend
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:
sroberts on DSKD5P82C1PROD with NOTICES
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–CBOE–2010–073 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–CBOE–2010–073. 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, 100 F Street, NE.,
Washington, DC 20549, on official
business days between the hours of
10 a.m. and 3 p.m. Copies of such filing
also will be available for inspection and
copying at the principal office of the
Exchange. All comments received will
be posted without change; the
Commission does not edit personal
identifying information from
submissions. You should submit only
information that you wish to make
available publicly. All submissions
should refer to File No. SR–CBOE–
2010–073 and should be submitted on
or before September 8, 2010.
For the Commission, by the Division of
Trading and Markets, pursuant to delegated
authority.7
Florence E. Harmon,
Deputy Secretary.
[FR Doc. 2010–20407 Filed 8–17–10; 8:45 am]
BILLING CODE 8010–01–P
SECURITIES AND EXCHANGE
COMMISSION
[Release No. 34–62703; File No. SR–ISE–
2010–81]
6 17
VerDate Mar<15>2010
18:40 Aug 17, 2010
Jkt 220001
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 self-regulatory organization 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
August 12, 2010.
The Exchange proposes to amend its
Rules 2001, 2004 and 2009 to provide
for the listing and trading of options on
the Mini DAX, which represents 1/10th
of the full value of the DAX Index. In
addition to options on the Mini DAX,
the Exchange may list long-term options
on the Mini DAX (the ‘‘Mini DAX
LEAPS’’).3 Options on the Mini DAX
will A.M. cash-settled and will have
European-style exercise provisions.
The DAX Index is an internationally
recognized, capitalization-weighted
index based on the prices of the 30 most
highly capitalized German stocks
admitted to the Prime Standard Segment
¨
of the FWB Frankfurter Wertpapierborse
(Frankfurt Stock Exchange) and traded
on the Xetra trading system operated by
¨
Deutsche Borse AG (‘‘DBAG’’). DBAG is
regulated by the German Federal
Financial Supervisory Authority
(‘‘BaFin’’). DBAG’s Xetra trading system
is a fully electronic order book trading
service. Xetra is the central price
formation and trading service for the
securities comprising the DAX Index.
DBAG and the SIX Swiss Exchange
jointly operate a fully electronic
derivatives exchange called Eurex.
Eurex lists futures and options on,
among other things, equities, equity
indexes, interest rates, and
commodities.
Pursuant to Section 19(b)(1) of the
Securities Exchange Act of 1934 (the
‘‘Act’’),1 and Rule 19b–4 thereunder,2
notice is hereby given that on August 3,
2010, the International Securities
Exchange, Inc. (the ‘‘Exchange’’ or the
‘‘ISE’’) filed with the Securities and
Exchange Commission (the
‘‘Commission’’) the proposed rule
change, replacing the original filing in
its entirety, as described in Items I and
II, which items have been prepared by
the self-regulatory organization. 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 ISE is proposing to amend its
rules to trade options on a reduced
value DAX Index (‘‘Mini DAX’’). The
Mini DAX represents 1/10th of the full
value of the DAX Index. The Exchange
also proposes to list and trade long-term
options on the Mini DAX. Options on
the Mini DAX will be A.M. cash-settled
and will have European-style exercise
provisions. The text of the proposed
rule change is available on the
Exchange’s Web site at https://
www.ise.com, on the Commission’s Web
site at https://www.sec.gov, at the
PO 00000
Frm 00152
Fmt 4703
(a) Purpose
3 Under ISE Rule 2009(b), ‘‘Long-Term Index
Options Series,’’ the Exchange may list long-term
options that expire from 12 to 60 months from the
date of issuance.
CFR 200.30–3(a)(12).
1 15 U.S.C. 78s(b)(1).
2 17 CFR 240.19b–4.
U.S.C. 78s(b)(3)(A).
CFR 240.19b–4(f)(2).
II. Self-Regulatory Organization’s
Statement of the Purpose of, and
Statutory Basis for, the Proposed Rule
Change
Self-Regulatory Organizations;
International Securities Exchange,
LLC; Notice of Filing of Proposed Rule
Change Relating to Trading Options on
a Reduced Value of the DAX Index,
Including Long-Term Options
7 17
5 15
Exchange, and at the Commission’s
Public Reference Room. A copy of this
filing is available on the Exchange’s
Web site at https://www.ise.com, at the
Exchange’s principal office and at the
Commission’s Public Reference Room.
Sfmt 4703
E:\FR\FM\18AUN1.SGM
18AUN1
Agencies
[Federal Register Volume 75, Number 159 (Wednesday, August 18, 2010)]
[Notices]
[Pages 51132-51134]
From the Federal Register Online via the Government Printing Office [www.gpo.gov]
[FR Doc No: 2010-20407]
-----------------------------------------------------------------------
SECURITIES AND EXCHANGE COMMISSION
[Release No. 34-62704; File No. SR-CBOE-2010-073]
Self-Regulatory Organizations; Chicago Board Options Exchange,
Incorporated; Notice of Filing and Immediate Effectiveness of Proposed
Rule Change To Amend Its Fees Schedule and Circular Regarding Trading
Permit Holder Application and Other Related Fees
August 12, 2010.
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 August 3, 2010, the Chicago Board Options Exchange, Incorporated
(``CBOE'' or the ``Exchange'') filed with the Securities and Exchange
Commission (``Commission'') the proposed rule change as described in
Items I and II below, which Items have been prepared by CBOE. The
Commission is
[[Page 51133]]
publishing this notice to solicit comments on the proposed rule change
from interested persons.
---------------------------------------------------------------------------
\1\ 15 U.S.C. 78s(b)(1).
\2\ 17 CFR 240.19b-4.
---------------------------------------------------------------------------
I. Self-Regulatory Organization's Statement of the Terms of Substance
of the Proposed Rule Change
Chicago Board Options Exchange, Incorporated (``CBOE'' or
``Exchange'') proposes to amend its Fees Schedule and circular
regarding Trading Permit Holder application and other related fees
(``Trading Permit Fee Circular'') as they apply to tier appointments
and bandwidth packets. The text of the proposed rule change is
available on the Exchange's Web site (https://www.cboe.org/Legal/), 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, CBOE 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. CBOE 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
CBOE is proposing to amend its Fees Schedule and Trading Permit Fee
Circular to extend the deadline for notification of termination of a
tier appointment or bandwidth packet until the last business day of the
prior month. Specifically, tier appointments and bandwidth packets will
be renewed automatically for the next month unless the Trading Permit
Holder submits written notification to the CBOE Registration Services
Department by the last business day of the prior month to cancel the
tier appointment or bandwidth packet effective at or prior to the end
of the applicable month. Trading Permit Holders were previously
required to submit this notification by the 25th day of the prior month
(or the preceding business day if the 25th was not a business day).
CBOE no longer believes that it requires this additional notice in the
context of tier appointment and bandwidth packet terminations.
CBOE is also proposing to amend its Fees Schedule and Trading
Permit Fee Circular to establish a fee scale for the purchase of Order
Entry Bandwidth Packets under which the cost of an Order Entry
Bandwidth Packet would decline at certain break points as additional
Order Entry Bandwidth Packets are purchased. Specifically, the first
through fifth Order Entry Bandwidth Packets obtained by a Trading
Permit Holder would cost $2,000 per packet per month, the sixth through
eighth Order Entry Bandwidth Packets obtained by that Trading Permit
Holder would cost $1,000 per packet per month, the ninth through
thirteenth Order Entry Bandwidth Packets obtained by that Trading
Permit Holder would cost $500 per packet per month, and the fourteenth
and each additional Order Entry Bandwidth Packet obtained by that
Trading Permit Holder would cost $250 per packet per month. As with
CBOE's current bandwidth packet fees, the foregoing fees would be
discounted by 20% through the end of 2010.
CBOE also proposes to allow Trading Permit Holders to obtain and
assign to a particular Sponsored User of the Trading Permit Holder one
or more Order Entry Bandwidth Packets. In that event, the fees for the
assigned bandwidth packet(s) would be assessed to the Trading Permit
Holder and the bandwidth packet(s) could be utilized solely by the
Sponsored User (and not by the Trading Permit Holder or any other
Sponsored User).
Fees for Order Entry Bandwidth Packets assigned to a particular
Sponsored User would be subject to the same fee scale as above and to
the 20% discount through the end of 2010 that would apply to Order
Entry Bandwidth Packets obtained by Trading Permit Holders that are not
assigned to a particular Sponsored User, with one difference.
Specifically, each break point in the fee scale would be one numeral
higher than in the fee scale for Order Entry Bandwidth Packets not
assigned to a particular Sponsored User. Thus, for example, the first
tier of the fee scale for Order Entry Bandwidth Packets assigned to a
particular Sponsored User would be for the first four Order Entry
Bandwidth Packets instead of for the first three Order Entry Bandwidth
Packets. The reason for this difference is that each Trading Permit
Holder has already paid for the order entry bandwidth allocation that
is provided by the Trading Permit by paying for the Trading Permit so
the fee scale is structured so that the fee for the first Order Entry
Bandwidth Packet that is assigned to a Sponsored User is paid before
the sliding scale becomes applicable.
Thus, the full fee scale for Order Entry Bandwidth Packets assigned
by a Trading Permit Holder to a Sponsored User would be that the first
through sixth Order Entry Bandwidth Packets assigned to the Sponsored
User would cost $2,000 per packet per month, the seventh through ninth
Order Entry Bandwidth Packets assigned to that Sponsored User would
cost $1,000 per packet per month, the tenth through fourteenth Order
Entry Bandwidth Packets assigned to that Sponsored User would cost $500
per packet per month, and the fifteenth and each additional Order Entry
Bandwidth Packet assigned to that Sponsored User would cost $250 per
packet per month.
CBOE is proposing to implement the foregoing changes effective for
the month of August 2010.
2. Statutory Basis
The proposed rule change will treat all Trading Permit Holders in a
consistent manner and apply the same fees with respect to all Sponsored
Users. The difference in the fee scale applicable with respect to
Sponsored Users is reasonable in that Sponsored Users are not CBOE
Trading Permit Holders and have not already obtained an order entry
bandwidth allowance through the purchase of a Trading Permit.
Accordingly, the Exchange believes that the proposed rule change is
consistent with Section 6(b) of the Act,\3\ in general, and furthers
the objectives of Section 6(b)(4) of the Act \4\ in particular, in that
it is designed to provide for the equitable allocation of reasonable
dues, fees, and other charges among persons using its facilities for
the reasons described above.
---------------------------------------------------------------------------
\3\ 15 U.S.C. 78f(b).
\4\ 15 U.S.C. 78f(b)(4).
---------------------------------------------------------------------------
B. Self-Regulatory Organization's Statement on Burden on Competition
CBOE 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
The foregoing rule has become effective pursuant to Section
19(b)(3)(A)
[[Page 51134]]
of the Act \5\ and subparagraph (f)(2) of Rule 19b-4\6\ thereunder. At
any time within 60 days of the filing of the proposed rule change, the
Commission summarily may temporarily suspend 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.
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\5\ 15 U.S.C. 78s(b)(3)(A).
\6\ 17 CFR 240.19b-4(f)(2).
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IV. Solicitation of Comments
Interested persons are invited to submit written data, views, and
arguments concerning the foregoing, including whether the proposed rule
change is consistent with the Act. Comments may be submitted by any of
the following methods:
Electronic Comments
Use the Commission's Internet comment form (https://www.sec.gov/rules/sro.shtml); or
Send an e-mail to rule-comments@sec.gov. Please include
File Number SR-CBOE-2010-073 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-CBOE-2010-073. 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, 100 F Street, NE.,
Washington, DC 20549, on official business days between the hours of 10
a.m. and 3 p.m. Copies of such filing also will be available for
inspection and copying at the principal office of the Exchange. All
comments received will be posted without change; the Commission does
not edit personal identifying information from submissions. You should
submit only information that you wish to make available publicly. All
submissions should refer to File No. SR-CBOE-2010-073 and should be
submitted on or before September 8, 2010.
For the Commission, by the Division of Trading and Markets,
pursuant to delegated authority.\7\
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\7\ 17 CFR 200.30-3(a)(12).
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Florence E. Harmon,
Deputy Secretary.
[FR Doc. 2010-20407 Filed 8-17-10; 8:45 am]
BILLING CODE 8010-01-P