Self-Regulatory Organizations; The Depository Trust Company; Notice of Filing of Proposed Rule Change To Amend the Certificate of Organization To Authorize Additional Shares of Preferred Stock and Designate Shares as Series A Preferred Stock, 69514-69515 [2010-28442]
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69514
Federal Register / Vol. 75, No. 218 / Friday, November 12, 2010 / Notices
VII. Conclusion
It is therefore ordered, pursuant to
Section 19(b)(2) of the Act,85 that the
proposed rule change (SR–FINRA–
2010–034), as modified by Amendments
No. 1 and 2, be, and hereby is, approved
on an accelerated basis.
For the Commission, by the Division of
Trading and Markets, pursuant to delegated
authority.86
Florence E. Harmon,
Deputy Secretary.
[FR Doc. 2010–28444 Filed 11–10–10; 8:45 am]
BILLING CODE 8011–01–P
SECURITIES AND EXCHANGE
COMMISSION
[Release No. 34–63254; File No. SR–DTC–
2010–14]
Self-Regulatory Organizations; The
Depository Trust Company; Notice of
Filing of Proposed Rule Change To
Amend the Certificate of Organization
To Authorize Additional Shares of
Preferred Stock and Designate Shares
as Series A Preferred Stock
November 5, 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 October
22, 2010, The Depository Trust
Company (‘‘DTC’’) 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
primarily by DTC.3 The Commission is
publishing this notice to solicit
comments on the proposed rule change
from interested persons.
mstockstill on DSKH9S0YB1PROD with NOTICES
I. Self-Regulatory Organization’s
Statement of the Terms of the Substance
of the Proposed Rule Change
The purpose of this proposed rule
change is to amend DTC’s Certificate of
Organization to authorize an additional
1,750,000 shares of preferred stock and
to designate such shares as Series A
preferred stock.
II. Self-Regulatory Organization’s
Statement of the Purpose of, and
Statutory Basis for, the Proposed Rule
Change
In its filing with the Commission,
DTC included statements concerning
85 15
U.S.C. 78s(b)(2).
CFR 200.30–3(a)(12).
1 15 U.S.C. 78s(b)(1).
2 17 CFR 240.19b–4.
3 The text of the proposed rule change is attached
as Exhibit 5 to DTC’s filing, which is available at
https://www.dtcc.com/downloads/legal/rule_filings/
2010/dtc/2010-14.pdf.
86 17
VerDate Mar<15>2010
17:23 Nov 10, 2010
Jkt 223001
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. DTC has prepared
summaries, set forth in sections (A), (B),
and (C) below, of the most significant
aspects of these statements.4
(A) Self-Regulatory Organization’s
Statement of the Purpose of, and
Statutory Basis for, the Proposed Rule
Change
In 1999, DTC’s Certificate of
Organization was amended (‘‘1999
Amendment’’) to provide for the
authorization and issuance of 1,500,000
shares of preferred stock, par value $100
per share.5 The 1999 Amendment also
provided that the preferred stock could
be issued in one or more classes having
such designations, relative rights,
preferences, or limitation as fixed by the
Board of Directors of DTC at the time of
issuance of any such preferred stock.
DTC’s Certificate of Organization has
been amended three times thereafter to
provide for the issuance of variable rate,
noncumulative, nonvoting shares of
Series A preferred stock, par value $100
per share, which are preferred over
DTC’s common stock as to dividends
and in the event of liquidation (‘‘Series
A Preferred Stock’’). The first such
amendment (filed in 2000) provided for
the issuance of 750,000 shares of the
Series A Preferred Stock. The second
amendment (filed in 2006) provided for
the issuance of an additional 500,000
shares of Series A Preferred Stock. The
third amendment (filed in 2009)
provided for the issuance of an
additional 250,000 shares of Series A
Preferred Stock.6
DTC participants are required to
purchase and own shares of the Series
A Preferred Stock in proportion to their
use of DTC services. DTC treats the
Series A Preferred Stock held by
participants substantially the same as it
treats the mandatory cash deposits made
by participants to the Participants Fund
for purposes of collateralizing securities
transactions, limiting net debit
4 The Commission has modified the text of the
summaries prepared by NSCC.
5 The amendment was the subject of a DTC
proposed rule change approved by the Commission.
Securities Exchange Act No. 34–41529 (June 15,
1999), 64 FR 33333 (June 22, 1999) [File No. SR–
DTC–1999–08]. The amendment was also approved
by the New York State Superintendent of Banks.
6 Securities Exchange Release Nos. 34–43197
(August 23, 2000), 65 FR 52459 (August 29, 2000)
[File No. SR–DTC–2000–02]; 34–54775 (November
17, 2006), 71 FR 68662 (November 27, 2006) [SR–
DTC–2006–14]; 34–59612 (March 20, 2009), 74 FR
13488 (March 27, 2009) [File No. SR–DTC–2009–
06].
PO 00000
Frm 00119
Fmt 4703
Sfmt 4703
positions, implementing default
procedures, and allocating unrecovered
losses.
In order that DTC may further
increase its capital,7 DTC is proposing
to amend its Certificate of Organization 8
to authorize an additional 1,750,000
shares of preferred stock at the par value
of $100 per share and to designate such
shares as Series A Preferred Stock with
such rights, preferences, and limitations
as provided in its Certificate of
Organization.9
The proposed rule change is
consistent with the requirements of the
Securities Exchange Act of 1934, as
amended, (‘‘Act’’) and the rules and
regulations thereunder applicable to
DTC, as well as CPSS/IOSCO
Recommendations for Securities
Settlement Systems applicable to DTC
because the proposed rule change will
not affect the safeguarding of securities
and funds in DTC’s custody or control
or for which it is responsible.
(B) Self-Regulatory Organization’s
Statement on Burden on Competition
DTC does not believe that the
proposed rule change would impose any
burden on competition.
(C) Self-Regulatory Organization’s
Statement on Comments on the
Proposed Rule Change Received From
Members, Participants or Others
Written comments relating to the
proposed rule change have not been
solicited or received. DTC will notify
the Commission of any written
comments received by DTC.
III. Date of Effectiveness of the
Proposed Rule Change and Timing for
Commission Action
Within forty-five days of the date of
publication of this notice in the Federal
7 DTC, as a member institution of the Federal
Reserve System, is subject to capital guidelines
issued by the Board of Governors of the Federal
Reserve System. To be considered ‘‘wellcapitalized’’ under these guidelines, DTC must,
among other things, maintain a Total Risk-Based
Capital Ratio of at least 10%, a Leverage Ratio of
at least 5%, and a Tier 1 Risk-Based Capital Ratio
of at least 6%. The issuance of the additional Series
A preferred stock will enable DTC to continue to
meet these requirements.
8 In order to amend its Certificate of Organization
to increase the authorized preferred stock, DTC is
also required to seek approval from the New York
State Banking Department. DTC has sought such
approval concurrently with this rule filing. On
October 20, 2010, DTC’s sole stockholder, The
Depository Trust & Clearing Corporation,
authorized DTC to make this amendment, as
required by Section 8003 of the Banking Law of the
State of New York.
9 The authorization of an additional 1,750,000
shares will increase the number of authorized
shares of Preferred Stock and of Series A Preferred
stock to a total of 3,250,000 shares with a par value
of $100 per share and a total value of $325 million.
E:\FR\FM\12NON1.SGM
12NON1
Federal Register / Vol. 75, No. 218 / Friday, November 12, 2010 / Notices
Register or within such longer period (i)
as the Commission may designate up to
ninety 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 or disapprove
the 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 Act.
Comments may be submitted by any of
the following methods:
mstockstill on DSKH9S0YB1PROD 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–DTC–2010–14 on the
subject line.
rule_filings/2010/nscc/2010-11.pdf. 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–DTC–2010–14 and should
be submitted on or before December 3,
2010.
For the Commission by the Division of
Trading and Markets, pursuant to delegated
authority.10
Florence E. Harmon,
Deputy Secretary.
[FR Doc. 2010–28442 Filed 11–10–10; 8:45 am]
BILLING CODE 8011–01–P
SOCIAL SECURITY ADMINISTRATION
Agency Information Collection
Activities: Proposed Request
The Social Security Administration
(SSA) publishes a list of information
collection packages requiring clearance
by the Office of Management and
Budget (OMB) in compliance with
Public Law (Pub. L.) 104–13, the
Paper Comments
Paperwork Reduction Act of 1995,
effective October 1, 1995. This notice
• Send paper comments in triplicate
includes revisions to OMB-approved
to Elizabeth M. Murphy, Secretary,
information collections.
Securities and Exchange Commission,
SSA is soliciting comments on the
100 F Street, NE., Washington, DC
accuracy of the agency’s burden
20549–1090.
estimate; the need for the information;
All submissions should refer to File
its practical utility; ways to enhance its
Number SR–DTC–2010–14. This file
quality, utility, and clarity; and ways to
number should be included on the
minimize burden on respondents,
subject line if e-mail is used. To help the
including the use of automated
Commission process and review your
collection techniques or other forms of
comments more efficiently, please use
information technology. Mail, e-mail, or
only one method. The Commission will
fax your comments and
post all comments on the Commission’s
recommendations on the information
Internet Web site (https://www.sec.gov/
collection(s) to the OMB Desk Officer
rules/sro.shtml). Copies of the
and SSA Reports Clearance Officer at
submission, all subsequent
the following addresses or fax numbers.
amendments, all written statements
with respect to the proposed rule
(OMB)
change that are filed with the
Office of Management and Budget,
Commission, and all written
Attn: Desk Officer for SSA, Fax: 202–
communications relating to the
395–6974, E-mail address:
proposed rule change between the
OIRA_Submission@omb.eop.gov.
Commission and any person, other than
(SSA)
those that may be withheld from the
public in accordance with the
Social Security Administration,
provisions of 5 U.S.C. 552, will be
DCBFM, Attn: Reports Clearance
available for Web site viewing and
Officer, 1333 Annex Building, 6401
printing in the Commission’s Public
Security Blvd., Baltimore, MD 21235,
Reference Section, 100 F Street, NE.,
Fax: 410–965–6400, E-mail address:
Washington, DC 20549–1090, on official OPLM.RCO@ssa.gov.
business days between the hours of 10
The information collections below are
a.m. and 3 p.m. Copies of such filings
pending at SSA. SSA will submit them
will also be available for inspection and to OMB within 60 days from the date of
copying at the principal office of DTC
this notice. To be sure we consider your
and on DTC’s Web site at https://
10 17 CFR 200.30–3(a)(12).
www.dtcc.com/downloads/legal/
VerDate Mar<15>2010
17:23 Nov 10, 2010
Jkt 223001
PO 00000
Frm 00120
Fmt 4703
Sfmt 4703
69515
comments, we must receive them no
later than January 11, 2011. Individuals
can obtain copies of the collection
instruments by calling the SSA Reports
Clearance Officer at 410–965–8783 or by
writing to the above email address.
1. Reporting Events-SSI—20 CFR
416.701–416.732—0960–0128.
Supplemental Security Income (SSI)
applicants, recipients, or their
representative payees must report any
change in circumstances that could
affect eligibility for SSI payments or the
payment amount. SSA uses Form SSA–
8150 for this purpose. The information
assists us in determining if we should
continue SSI payments or change a
payment amount. The respondents are
applicants for or recipients of SSI
payments, or their representative
payees.
Type of Request: Revision of an OMBapproved information collection.
Number of Respondents: 27,320.
Frequency of Response: 1.
Average Burden per Response: 5
minutes.
Estimated Annual Burden: 2,277
hours.
2. Request for Review of Hearing
Decision/Order—20 CFR 404.967–
404.981, 416.1467–416.1481—0960–
0277. Claimants have a statutory right
under the Social Security Act and
implementing regulations to request
review of an administrative law judge’s
(ALJ) hearing decision or dismissal of a
hearing request on Title II and Title XVI
claims. Claimants may request Appeals
Council review by filing a written
request using Form HA–520. SSA uses
the information to establish the claimant
filed her or his request for review within
the prescribed time and to ensure the
claimant completed the requisite steps
permitting the Appeals Council review.
The Appeals Council uses the
information to: (1) Document the
claimant’s reason(s) for disagreeing with
the ALJ’s decision or dismissal;
(2) determine whether the claimant has
additional evidence to submit; and
(3) determine whether the claimant has
a representative or wants to appoint
one. The respondents are claimants
requesting review of an ALJ’s decision
or dismissal of hearing.
Type of Request: Revision of an OMBapproved information collection.
Number of Respondents: 145,000.
Frequency of Response: 1.
Average Burden per Response: 10
minutes.
Estimated Annual Burden: 24,167
hours.
3. Development for Participation in a
Vocational Rehabilitation or Similar
Program—20 CFR 404.316(c),
404.337(c), 404.352(d), 404.1586(g),
E:\FR\FM\12NON1.SGM
12NON1
]]>Agencies
[Federal Register Volume 75, Number 218 (Friday, November 12, 2010)]
[Notices]
[Pages 69514-69515]
From the Federal Register Online via the Government Printing Office [www.gpo.gov]
[FR Doc No: 2010-28442]
-----------------------------------------------------------------------
SECURITIES AND EXCHANGE COMMISSION
[Release No. 34-63254; File No. SR-DTC-2010-14]
Self-Regulatory Organizations; The Depository Trust Company;
Notice of Filing of Proposed Rule Change To Amend the Certificate of
Organization To Authorize Additional Shares of Preferred Stock and
Designate Shares as Series A Preferred Stock
November 5, 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 October 22, 2010, The Depository Trust Company (``DTC'') 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 primarily by DTC.\3\ 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\ The text of the proposed rule change is attached as Exhibit
5 to DTC's filing, which is available at https://www.dtcc.com/downloads/legal/rule_filings/2010/dtc/2010-14.pdf.
---------------------------------------------------------------------------
I. Self-Regulatory Organization's Statement of the Terms of the
Substance of the Proposed Rule Change
The purpose of this proposed rule change is to amend DTC's
Certificate of Organization to authorize an additional 1,750,000 shares
of preferred stock and to designate such shares as Series A preferred
stock.
II. Self-Regulatory Organization's Statement of the Purpose of, and
Statutory Basis for, the Proposed Rule Change
In its filing with the Commission, DTC 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. DTC has prepared summaries, set forth in sections (A),
(B), and (C) below, of the most significant aspects of these
statements.\4\
---------------------------------------------------------------------------
\4\ The Commission has modified the text of the summaries
prepared by NSCC.
---------------------------------------------------------------------------
(A) Self-Regulatory Organization's Statement of the Purpose of, and
Statutory Basis for, the Proposed Rule Change
In 1999, DTC's Certificate of Organization was amended (``1999
Amendment'') to provide for the authorization and issuance of 1,500,000
shares of preferred stock, par value $100 per share.\5\ The 1999
Amendment also provided that the preferred stock could be issued in one
or more classes having such designations, relative rights, preferences,
or limitation as fixed by the Board of Directors of DTC at the time of
issuance of any such preferred stock. DTC's Certificate of Organization
has been amended three times thereafter to provide for the issuance of
variable rate, noncumulative, nonvoting shares of Series A preferred
stock, par value $100 per share, which are preferred over DTC's common
stock as to dividends and in the event of liquidation (``Series A
Preferred Stock''). The first such amendment (filed in 2000) provided
for the issuance of 750,000 shares of the Series A Preferred Stock. The
second amendment (filed in 2006) provided for the issuance of an
additional 500,000 shares of Series A Preferred Stock. The third
amendment (filed in 2009) provided for the issuance of an additional
250,000 shares of Series A Preferred Stock.\6\
---------------------------------------------------------------------------
\5\ The amendment was the subject of a DTC proposed rule change
approved by the Commission. Securities Exchange Act No. 34-41529
(June 15, 1999), 64 FR 33333 (June 22, 1999) [File No. SR-DTC-1999-
08]. The amendment was also approved by the New York State
Superintendent of Banks.
\6\ Securities Exchange Release Nos. 34-43197 (August 23, 2000),
65 FR 52459 (August 29, 2000) [File No. SR-DTC-2000-02]; 34-54775
(November 17, 2006), 71 FR 68662 (November 27, 2006) [SR-DTC-2006-
14]; 34-59612 (March 20, 2009), 74 FR 13488 (March 27, 2009) [File
No. SR-DTC-2009-06].
---------------------------------------------------------------------------
DTC participants are required to purchase and own shares of the
Series A Preferred Stock in proportion to their use of DTC services.
DTC treats the Series A Preferred Stock held by participants
substantially the same as it treats the mandatory cash deposits made by
participants to the Participants Fund for purposes of collateralizing
securities transactions, limiting net debit positions, implementing
default procedures, and allocating unrecovered losses.
In order that DTC may further increase its capital,\7\ DTC is
proposing to amend its Certificate of Organization \8\ to authorize an
additional 1,750,000 shares of preferred stock at the par value of $100
per share and to designate such shares as Series A Preferred Stock with
such rights, preferences, and limitations as provided in its
Certificate of Organization.\9\
---------------------------------------------------------------------------
\7\ DTC, as a member institution of the Federal Reserve System,
is subject to capital guidelines issued by the Board of Governors of
the Federal Reserve System. To be considered ``well-capitalized''
under these guidelines, DTC must, among other things, maintain a
Total Risk-Based Capital Ratio of at least 10%, a Leverage Ratio of
at least 5%, and a Tier 1 Risk-Based Capital Ratio of at least 6%.
The issuance of the additional Series A preferred stock will enable
DTC to continue to meet these requirements.
\8\ In order to amend its Certificate of Organization to
increase the authorized preferred stock, DTC is also required to
seek approval from the New York State Banking Department. DTC has
sought such approval concurrently with this rule filing. On October
20, 2010, DTC's sole stockholder, The Depository Trust & Clearing
Corporation, authorized DTC to make this amendment, as required by
Section 8003 of the Banking Law of the State of New York.
\9\ The authorization of an additional 1,750,000 shares will
increase the number of authorized shares of Preferred Stock and of
Series A Preferred stock to a total of 3,250,000 shares with a par
value of $100 per share and a total value of $325 million.
---------------------------------------------------------------------------
The proposed rule change is consistent with the requirements of the
Securities Exchange Act of 1934, as amended, (``Act'') and the rules
and regulations thereunder applicable to DTC, as well as CPSS/IOSCO
Recommendations for Securities Settlement Systems applicable to DTC
because the proposed rule change will not affect the safeguarding of
securities and funds in DTC's custody or control or for which it is
responsible.
(B) Self-Regulatory Organization's Statement on Burden on Competition
DTC does not believe that the proposed rule change would impose any
burden on competition.
(C) Self-Regulatory Organization's Statement on Comments on the
Proposed Rule Change Received From Members, Participants or Others
Written comments relating to the proposed rule change have not been
solicited or received. DTC will notify the Commission of any written
comments received by DTC.
III. Date of Effectiveness of the Proposed Rule Change and Timing for
Commission Action
Within forty-five days of the date of publication of this notice in
the Federal
[[Page 69515]]
Register or within such longer period (i) as the Commission may
designate up to ninety 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 or disapprove the 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 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-DTC-2010-14 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-DTC-2010-14. 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 Section, 100 F Street,
NE., Washington, DC 20549-1090, on official business days between the
hours of 10 a.m. and 3 p.m. Copies of such filings will also be
available for inspection and copying at the principal office of DTC and
on DTC's Web site at https://www.dtcc.com/downloads/legal/rule_filings/2010/nscc/2010-11.pdf. 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-DTC-2010-14 and should be submitted on or before December 3, 2010.
For the Commission by the Division of Trading and Markets,
pursuant to delegated authority.\10\
---------------------------------------------------------------------------
\10\ 17 CFR 200.30-3(a)(12).
---------------------------------------------------------------------------
Florence E. Harmon,
Deputy Secretary.
[FR Doc. 2010-28442 Filed 11-10-10; 8:45 am]
BILLING CODE 8011-01-P
