Self-Regulatory Organizations; Chicago Board Options Exchange, Incorporated; Notice of Filing and Immediate Effectiveness of a Proposed Rule Change To Amend the CBOE Stock Exchange Fees Schedule, 518-520 [2011-33789]
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Federal Register / Vol. 77, No. 3 / Thursday, January 5, 2012 / Notices
proposed consent decree may also be
obtained by mail from the Consent
Decree Library, P.O. Box 7611, U.S.
Department of Justice, Washington, DC
20044–7611, or by faxing or emailing a
request to ‘‘Consent Decree Copy’’
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(202) 514–0097, phone confirmation
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reproduction cost) payable to the U.S.
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fax, please forward a check in that
amount to the Consent Decree Library at
the address given above.
Robert Brook,
Assistant Chief, Environmental Enforcement
Section, Environment and Natural Resources
Division.
[FR Doc. 2011–33821 Filed 1–4–12; 8:45 am]
BILLING CODE 4410–15–P
DEPARTMENT OF JUSTICE
emcdonald on DSK5VPTVN1PROD with NOTICES
Notice of Lodging of the Consent
Decree Under the Resource
Conservation and Recovery Act and
the Clean Water Act
Notice is hereby given that on
December 22, 2011, a proposed Consent
Decree in United States v. County of
Erie (‘‘Erie’’), Civil Action No. 1:11–cv–
01083 (WMS), was lodged with the
United States Court for the Western
District of New York.
The proposed Consent Decree
resolves Erie’s Resource Conservation
and Recovery Act (‘‘RCRA’’) violations
stemming from its failure to meet
cathodic protection requirements,
release detection requirements, and
other record-keeping requirements in to
relation to its Underground Storage
Tanks (‘‘USTs’’) at sixteen facilities
throughout the county. The Consent
Decree also resolves Erie’s Clean Water
Act (‘‘CWA’’) violations stemming from
its failure to prepare and implement
Spill Prevention Control and
Countermeasure plans (‘‘SPCC plans’’)
at eleven facilities throughout the
county that utilize applicable above
ground storage tanks. Under the terms of
the Consent Decree, Erie will pay a
$275,000 penalty, prepare and
implement eleven SPCC plans, and
undertake a full RCRA audit to certify
to the United States that it is in
complete compliance with all RCRA
requirements at the thirty-six facilities it
owns or operates that utilize USTs.
The Department of Justice will receive
for a period of thirty (30) days from the
date of this publication comments
relating to the Consent Decree.
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14:51 Jan 04, 2012
Jkt 226001
Comments should be addressed to the
Assistant Attorney General,
Environment and Natural Resources
Division, and either emailed to
pubcomment-ees.enrd@usdoj.gov or
mailed to P.O. Box 7611, U.S.
Department of Justice, Washington, DC
20044–7611, and should refer to the
matter as United States v. County of
Erie, D.J. Ref. 90–7–1–09728.
During the public comment period,
the Consent Decree may also be
examined on the following Department
of Justice Web site, https://www.usdoj.
gov/enrd/Consent_Decrees.html. A copy
of the Consent Decree may also be
obtained by mail from the Consent
Decree Library, P.O. Box 7611, U.S.
Department of Justice, Washington, DC
20044–7611 or by faxing or emailing a
request to ‘‘Consent Decree Copy’’
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address given above.
Ronald G. Gluck,
Assistant Section Chief, Environmental
Enforcement Section, Environment and
Natural Resource Division.
[FR Doc. 2011–33805 Filed 1–4–12; 8:45 am]
BILLING CODE 4410–15–P
[Release No. 34–66067; File No. SR–CBOE–
2011–127]
Self-Regulatory Organizations;
Chicago Board Options Exchange,
Incorporated; Notice of Filing and
Immediate Effectiveness of a Proposed
Rule Change To Amend the CBOE
Stock Exchange Fees Schedule
December 29, 2011.
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 December
20, 2011, Chicago Board Options
Exchange, Incorporated (the ‘‘Exchange’’
or ‘‘CBOE’’) filed with the Securities
and Exchange Commission
(‘‘Commission’’) the proposed rule
change as described in Items I, II, and
III below, which items have been
prepared by the self-regulatory
2 17
PO 00000
U.S.C. 78s(b)(1).
CFR 240.19b–4.
Frm 00049
Fmt 4703
I. Self-Regulatory Organization’s
Statement of the Terms of Substance of
the Proposed Rule Change
The Exchange proposes to amend the
CBOE Stock Exchange (‘‘CBSX’’) Fees
Schedule. 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, 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 those statements may be examined at
the places specified in Item IV below.
The Exchange has prepared summaries,
set forth in sections A, B, and C below,
of the most significant parts of such
statements.
A. Self-Regulatory Organization’s
Statement of the Purpose of, and
Statutory Basis for, the Proposed Rule
Change
1. Purpose
SECURITIES AND EXCHANGE
COMMISSION
1 15
organization. The Commission is
publishing this notice to solicit
comments on the proposed rule change
from interested persons.
CBSX proposes to amend its
CBOEdirect Connectivity Charges.
Currently, the CBSX Fees Schedule
applies CBOE’s CBOEdirect
Connectivity Charges to CBSX users.3
However, CBOE recently filed a
proposed rule change to increase its
CBOEdirect Connectivity Charges.4
Because CBSX does not desire to adopt
all of the proposed changes to CBOE’s
CBOEdirect Connectivity Charges, CBSX
hereby proposes to amend its Fees
Schedule to adopt its own CBOEdirect
Connectivity Charges.
Currently, CBSX assesses a monthly
Network Access Port fee of $250 for
regular access and $500 for Sponsored
User access, as those are the amounts of
the Network Access Port fees on CBOE.
In SR–CBOE–2011–121, CBOE proposes
to increase the fees charged for access to
a Network Access Port to $500 per
month for regular access and $1000 per
month for Sponsored User access. CBSX
desires to keep the Network Access Port
fee rates at their current levels and not
3 See
4 See
Sfmt 4703
E:\FR\FM\05JAN1.SGM
CBSX Fees Schedule, Section 1.
SR–CBOE–2011–121.
05JAN1
Federal Register / Vol. 77, No. 3 / Thursday, January 5, 2012 / Notices
increase them to the levels proposed by
CBOE.
CBOE also proposes to increase their
monthly CMI and FIX charges from $80
to $500 per month for regular access and
$160 to $1000 per month for Sponsored
User access.5 CBSX does not desire to
adopt these increases. Instead, CBSX
proposes to adopt more moderate
increases, from $80 to $100 for regular
access and $160 to $200 for Sponsored
User access. Sizable investment [sic]
were recently made to upgrade the
equipment involved in the CMI Client
Application Servers and FIX Ports, and
thereby increasing these fees will help
recoup such costs and maintain such
equipment in the future. Moreover,
following these changes, CBSX
connectivity costs will still be lower
than those assessed for connectivity at
other exchanges. Along with the
proposed CBOE changes, ISE assesses a
FIX fee of $1200 for a minimum of two
monthly login IDs (so, $600 for one), or
a fee of $2,400 for a higher-volume
user.6 The NASDAQ Stock Market LLC’s
Options Market (‘‘NOM’’) assesses a fee
of $500 per FIX port per month, as
well.7 Regarding the Sponsored User
fees, the Exchange currently charges a
different rate for regular access and
Sponsored User access, and merely
proposes to increase the rates in equal
proportion.
The proposed changes are to take
effect January 1, 2012.
2. Basis
The proposed rule change is
consistent with Section 6(b) of the Act,8
in general, and furthers the objectives of
Section 6(b)(4) 9 of the Act in particular,
in that it is designed to provide for the
equitable allocation of reasonable dues,
fees, and other charges among CBOE
Trading Permit Holders and other
persons using Exchange facilities. The
proposed ‘‘change’’ to add the Network
Access Port fees into the CBSX Fees
Schedule is reasonable because the
amounts of the fees are not changing.
This proposed ‘‘change’’ is equitable
and not unfairly discriminatory because
the fees, as before, will be assessed to all
5 See
SR–CBOE–2011–121.
ISE Schedule of Fees, page 8. The
Commission notes that the ISE fees cited by the
Exchange were modified as of December 1, 2011. As
of December 23, 2011, ISE assesses a FIX fee of
$1000 for a minimum of two monthly login IDs and
does not have a separate fee for a higher-volume
user. See Securities Exchange Act Release No.
65916 (December 8, 2011), 76 FR 77881 (December
14, 2011) (SR–ISE–2011–80).
7 See NOM Rule 7053.
8 15 U.S.C. 78f(b).
9 15 U.S.C. 78f(b)(4).
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6 See
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market participants, and in the same
amounts as previously assessed.
The proposed changes to increase the
fees assessed for CMI Login IDs and FIX
Login IDs are also reasonable because
the amounts of such fees are
significantly lower than those assessed
on other exchanges,10 and because such
increases will assist in recouping
expenditures recently made to upgrade
the CBOEdirect connectivity equipment.
This proposed change is equitable and
not unfairly discriminatory because the
fees, as before, will be assessed to all
market participants. Assessing higher
fees for Sponsored Users is equitable
and not unfairly discriminatory because
Sponsored Users are able to access the
Exchange and use the equipment
provided without purchasing a trading
permit. As such, Trading Permit Holders
who have purchased a trading permit
will have a higher level of commitment
to transacting business on the Exchange
and using Exchange facilities than
Sponsored Users.
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 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 proposed rule change is
designated by the Exchange as
establishing or changing a due, fee, or
other charge, thereby qualifying for
effectiveness on filing pursuant to
Section 19(b)(3)(A) of the Act 11 and
subparagraph (f)(2) of Rule 19b–4 12
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.
10 See ISE Schedule of Fees, page 8 and NOM
Rule 7053 and also SR–CBOE–2011–121.
11 15 U.S.C. 78s(b)(3)(A).
12 17 CFR 240.19b–4(f)(2).
PO 00000
Frm 00050
Fmt 4703
Sfmt 4703
519
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 email to rulecomments@sec.gov. Please include File
Number SR–CBOE–2011–127 on the
subject line.
Paper Comments
• Send paper comments in triplicate
to Elizabeth M. Murphy, Secretary,
Securities and Exchange Commission,
100 F Street NE., Washington, DC
20549–1090.
All submissions should refer to File
Number SR–CBOE–2011–127. This file
number should be included on the
subject line if email 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 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–CBOE–
2011–127 and should be submitted on
or before January 26, 2012.
13 17
E:\FR\FM\05JAN1.SGM
CFR 200.30–3(a)(12).
05JAN1
520
Federal Register / Vol. 77, No. 3 / Thursday, January 5, 2012 / Notices
For the Commission, by the Division of
Trading and Markets, pursuant to delegated
authority.13
Kevin M. O’Neill,
Deputy Secretary.
[FR Doc. 2011–33789 Filed 1–4–12; 8:45 am]
BILLING CODE 8011–01–P
SECURITIES AND EXCHANGE
COMMISSION
[Release No. 34–66070; File No. SR–OCC–
2011–13]
Self-Regulatory Organizations;
Options Clearing Corporation; Order
Approving Proposed Rule Change, as
Modified by Amendments No. 1, No. 2,
and No. 3, Relating to Relative
Performance Indexes
December 29, 2011.
I. Introduction
On September 21, 2011, the Options
Clearing Corporation (‘‘OCC’’) filed with
the Securities and Exchange
Commission (‘‘Commission’’) the
proposed rule change SR–OCC–2011–13
pursuant to Section 19(b)(1) of the
Securities Exchange Act of 1934
(‘‘Act’’) 1 and Rule 19b–4 thereunder.2
On October 4, 2011, OCC filed
Amendment No. 1 to the proposed rule
change. The proposed rule change, as
modified by Amendment No. 1, was
published for comment in the Federal
Register on October 11, 2011.3 On
November 17, 2011, OCC filed
Amendment No. 2 and Amendment No.
3 to the proposed rule change. The
proposed rule change, as modified by
Amendments No. 1, No. 2 and No. 3 was
published in the Federal Register on
November 29, 2011.4 The Commission
received no comment letters on the
proposed rule change, as modified by
Amendments No. 1, No. 2, and No. 3.
This order approves the proposed rule
change as modified by Amendments No.
1, No. 2, and No. 3.
emcdonald on DSK5VPTVN1PROD with NOTICES
II. Description
The purpose of the proposed rule
change is to remove any potential cloud
on the jurisdictional status of relative
performance indexes. NASDAQ OMX
PHLX has proposed to trade options on
indexes (‘‘Alpha Index Options’’) that
measure the relative total returns of a
stock or exchange-traded fund (‘‘ETF’’)
1 15
U.S.C. 78s(b)(1).
CFR 240.19b–4.
3 Securities Exchange Act Release No. 65483
(October 4, 2011), 76 FR 62981 (October 11, 2011).
4 Securities Exchange Act Release No. 65807
(September 21, 2011), 76 FR 73752 (November 29,
2011).
2 17
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Jkt 226001
against another stock or ETF, including
where one of the reference ETFs
measured by the index is a gold- or
silver-based ETF.5 Generally, OCC
believes that a relative performance
index should be considered to be an
index of securities since the
components of a relative performance
index are ETFs or other securities.
However, OCC would like to confirm
the jurisdictional treatment of relative
performance indexes in situations in
which a reference security of an
underlying relative performance index
is an ETF designed to measure the
return of gold or silver. To accomplish
this purpose, OCC is adding an
interpretation following Section 2 in
Article XVII of its By-Laws,6 clarifying
that OCC will clear and treat as
securities any relative performance
index. The Commission and Commodity
Futures Trading Commission (‘‘CFTC’’)
have previously approved changes to
OCC’s By-Laws clarifying that options
on the CBOE Gold ETF Volatility Index
will be cleared and treated as
securities.7
In its capacity as a ‘‘derivatives
clearing organization’’ registered as such
with the CFTC, OCC filed the proposed
rule change for prior approval by the
CFTC pursuant to provisions of the
Commodity Exchange Act (the ‘‘CEA’’)
in order to foreclose any potential
liability under the CEA based on an
argument that the clearing by OCC of
such options as securities options
constitutes a violation of the CEA. OCC
amended the rule filing at the request of
the CFTC to clarify that OCC will clear
and treat as options on securities any
options on relative performance indexes
for which a reference security is an
exchange-traded fund designed to
measure the return of gold or silver.8
5 The staff notes that on August 17, 2011, the
Commission issued an Order granting approval to
this proposed rule change. See Securities Exchange
Act Release No. 34–65149, 76 FR 52729 (August 23,
2011).
6 The staff notes that OCC is also adding a
definition of ‘‘relative performance index’’ to
Section 1, which will be defined as an index
designed to measure the relative performance of a
reference security or reference index in relation to
another reference security or reference index.
7 See Securities Exchange Act Release No. 34–
62290, 75 FR 35861 (June 23, 2010); CFTC Order
Exempting the Trading and Clearing of Certain
Products Related to the CBOE Gold ETF Volatility
Index and Similar Products, 75 FR 81977
(December 29, 2010).
8 The staff notes that Amendment Nos. 2 and 3
provide that the interpretation will not include
options on relative performance indexes for which
a reference security is an exchange-traded fund
designed to measure the return of a commodity
other than gold or silver.
PO 00000
Frm 00051
Fmt 4703
Sfmt 4703
III. Discussion
Section 17A(b)(3)(F) of the Act
requires, among other things, that the
rules of a clearing agency be designed to
promote the prompt and accurate
clearance and settlement of securities
transactions and derivative
transactions.9 The proposed rule change
is similar to a proposed rule change the
Commission approved previously with
respect to the jurisdictional status CBOE
Gold ETF Volatility Index and clarifies
that OCC will clear and treat as
securities any relative performance
index, including in situations in which
one of the reference securities of a
relative performance index is an ETF
designed to measure the return of gold
or silver. Any uncertainty regarding the
jurisdictional status of a product could
presumably interfere with OCC’s ability
to provide clearance and settlement
services with respect to the product.
The proposed rule change, by allowing
OCC to clarify in its rules the treatment
of a relative performance index, should
facilitate the clearance and settlement of
such products and, thus, should help
promote the prompt and accurate
clearance and settlement of securities
transactions and of derivative
transactions.
IV. Conclusion
On the basis of the foregoing, the
Commission finds that the proposal is
consistent with the requirements of the
Act and in particular with the
requirements of Section 17A of the
Act 10 and the rules and regulations
thereunder.
It is therefore ordered, pursuant to
Section 19(b)(2) of the Act,11 that the
proposed rule change, as modified by
Amendments No. 1, No. 2, and No. 3,
(File No. SR–OCC–2011–13) be, and
hereby is, approved.12
For the Commission by the Division of
Trading and Markets, pursuant to delegated
authority.13
Kevin M. O’Neill,
Deputy Secretary.
[FR Doc. 2011–33795 Filed 1–4–12; 8:45 am]
BILLING CODE 8011–01–P
9 15
U.S.C. 78q–1(b)(3)(F).
U.S.C. 78q–1.
11 15 U.S.C. 78s(b)(2).
12 In approving this proposed rule change the
Commission has considered the proposed rule’s
impact of efficiency, competition, and capital
formation. See 15 U.S.C. 78c(f).
13 17 CFR 200.30–3(a)(12).
10 15
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05JAN1
]]>Agencies
[Federal Register Volume 77, Number 3 (Thursday, January 5, 2012)]
[Notices]
[Pages 518-520]
From the Federal Register Online via the Government Printing Office [www.gpo.gov]
[FR Doc No: 2011-33789]
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SECURITIES AND EXCHANGE COMMISSION
[Release No. 34-66067; File No. SR-CBOE-2011-127]
Self-Regulatory Organizations; Chicago Board Options Exchange,
Incorporated; Notice of Filing and Immediate Effectiveness of a
Proposed Rule Change To Amend the CBOE Stock Exchange Fees Schedule
December 29, 2011.
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 December 20, 2011, Chicago Board Options Exchange, Incorporated
(the ``Exchange'' or ``CBOE'') filed with the Securities and Exchange
Commission (``Commission'') the proposed rule change as described in
Items I, II, and III below, which items have been prepared by the self-
regulatory organization. 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.
---------------------------------------------------------------------------
I. Self-Regulatory Organization's Statement of the Terms of Substance
of the Proposed Rule Change
The Exchange proposes to amend the CBOE Stock Exchange (``CBSX'')
Fees Schedule. 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, 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 those statements may be examined at
the places specified in Item IV below. The Exchange has prepared
summaries, set forth in sections A, B, and C below, of the most
significant parts of such statements.
A. Self-Regulatory Organization's Statement of the Purpose of, and
Statutory Basis for, the Proposed Rule Change
1. Purpose
CBSX proposes to amend its CBOEdirect Connectivity Charges.
Currently, the CBSX Fees Schedule applies CBOE's CBOEdirect
Connectivity Charges to CBSX users.\3\ However, CBOE recently filed a
proposed rule change to increase its CBOEdirect Connectivity
Charges.\4\ Because CBSX does not desire to adopt all of the proposed
changes to CBOE's CBOEdirect Connectivity Charges, CBSX hereby proposes
to amend its Fees Schedule to adopt its own CBOEdirect Connectivity
Charges.
---------------------------------------------------------------------------
\3\ See CBSX Fees Schedule, Section 1.
\4\ See SR-CBOE-2011-121.
---------------------------------------------------------------------------
Currently, CBSX assesses a monthly Network Access Port fee of $250
for regular access and $500 for Sponsored User access, as those are the
amounts of the Network Access Port fees on CBOE. In SR-CBOE-2011-121,
CBOE proposes to increase the fees charged for access to a Network
Access Port to $500 per month for regular access and $1000 per month
for Sponsored User access. CBSX desires to keep the Network Access Port
fee rates at their current levels and not
[[Page 519]]
increase them to the levels proposed by CBOE.
CBOE also proposes to increase their monthly CMI and FIX charges
from $80 to $500 per month for regular access and $160 to $1000 per
month for Sponsored User access.\5\ CBSX does not desire to adopt these
increases. Instead, CBSX proposes to adopt more moderate increases,
from $80 to $100 for regular access and $160 to $200 for Sponsored User
access. Sizable investment [sic] were recently made to upgrade the
equipment involved in the CMI Client Application Servers and FIX Ports,
and thereby increasing these fees will help recoup such costs and
maintain such equipment in the future. Moreover, following these
changes, CBSX connectivity costs will still be lower than those
assessed for connectivity at other exchanges. Along with the proposed
CBOE changes, ISE assesses a FIX fee of $1200 for a minimum of two
monthly login IDs (so, $600 for one), or a fee of $2,400 for a higher-
volume user.\6\ The NASDAQ Stock Market LLC's Options Market (``NOM'')
assesses a fee of $500 per FIX port per month, as well.\7\ Regarding
the Sponsored User fees, the Exchange currently charges a different
rate for regular access and Sponsored User access, and merely proposes
to increase the rates in equal proportion.
---------------------------------------------------------------------------
\5\ See SR-CBOE-2011-121.
\6\ See ISE Schedule of Fees, page 8. The Commission notes that
the ISE fees cited by the Exchange were modified as of December 1,
2011. As of December 23, 2011, ISE assesses a FIX fee of $1000 for a
minimum of two monthly login IDs and does not have a separate fee
for a higher-volume user. See Securities Exchange Act Release No.
65916 (December 8, 2011), 76 FR 77881 (December 14, 2011) (SR-ISE-
2011-80).
\7\ See NOM Rule 7053.
---------------------------------------------------------------------------
The proposed changes are to take effect January 1, 2012.
2. Basis
The proposed rule change is consistent with Section 6(b) of the
Act,\8\ in general, and furthers the objectives of Section 6(b)(4) \9\
of the Act in particular, in that it is designed to provide for the
equitable allocation of reasonable dues, fees, and other charges among
CBOE Trading Permit Holders and other persons using Exchange
facilities. The proposed ``change'' to add the Network Access Port fees
into the CBSX Fees Schedule is reasonable because the amounts of the
fees are not changing. This proposed ``change'' is equitable and not
unfairly discriminatory because the fees, as before, will be assessed
to all market participants, and in the same amounts as previously
assessed.
---------------------------------------------------------------------------
\8\ 15 U.S.C. 78f(b).
\9\ 15 U.S.C. 78f(b)(4).
---------------------------------------------------------------------------
The proposed changes to increase the fees assessed for CMI Login
IDs and FIX Login IDs are also reasonable because the amounts of such
fees are significantly lower than those assessed on other
exchanges,\10\ and because such increases will assist in recouping
expenditures recently made to upgrade the CBOEdirect connectivity
equipment. This proposed change is equitable and not unfairly
discriminatory because the fees, as before, will be assessed to all
market participants. Assessing higher fees for Sponsored Users is
equitable and not unfairly discriminatory because Sponsored Users are
able to access the Exchange and use the equipment provided without
purchasing a trading permit. As such, Trading Permit Holders who have
purchased a trading permit will have a higher level of commitment to
transacting business on the Exchange and using Exchange facilities than
Sponsored Users.
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\10\ See ISE Schedule of Fees, page 8 and NOM Rule 7053 and also
SR-CBOE-2011-121.
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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 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 proposed rule change is designated by the Exchange as
establishing or changing a due, fee, or other charge, thereby
qualifying for effectiveness on filing pursuant to Section 19(b)(3)(A)
of the Act \11\ and subparagraph (f)(2) of Rule 19b-4 \12\ 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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\11\ 15 U.S.C. 78s(b)(3)(A).
\12\ 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 email to rule-comments@sec.gov. Please include
File Number SR-CBOE-2011-127 on the subject line.
Paper Comments
Send paper comments in triplicate to Elizabeth M. Murphy,
Secretary, Securities and Exchange Commission, 100 F Street NE.,
Washington, DC 20549-1090.
All submissions should refer to File Number SR-CBOE-2011-127. This file
number should be included on the subject line if email 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 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-CBOE-2011-127 and should be
submitted on or before January 26, 2012.
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\13\ 17 CFR 200.30-3(a)(12).
[[Page 520]]
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For the Commission, by the Division of Trading and Markets,
pursuant to delegated authority.\13\
Kevin M. O'Neill,
Deputy Secretary.
[FR Doc. 2011-33789 Filed 1-4-12; 8:45 am]
BILLING CODE 8011-01-P
