Self-Regulatory Organizations; New York Stock Exchange LLC; Notice of Filing and Immediate Effectiveness of Proposed Rule Change Amending Section 902.03 of the New York Stock Exchange LLC Listed Company Manual To Amend Annual Fees and Certain Other Listing Fees Included Therein and To Make Technical and Conforming Changes, 63388-63390 [2012-25356]
Download as PDF
63388
Federal Register / Vol. 77, No. 200 / Tuesday, October 16, 2012 / Notices
incentivizing NOM Participants to
transact greater Customer volume on the
Exchange benefits all market
participants because of the increased
liquidity to the market.
C. Self-Regulatory Organization’s
Statement on Comments on the
Proposed Rule Change Received From
Members, Participants, or Others
No written comments were either
solicited or received.
III. Date of Effectiveness of the
Proposed Rule Change and Timing for
Commission Action
The foregoing rule change has become
effective pursuant to Section
19(b)(3)(A)(ii) of the Act.22 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:
tkelley on DSK3SPTVN1PROD with NOTICES
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–NASDAQ–2012–114 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–NASDAQ–2012–114. 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
10:00 a.m. and 3:00 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–
NASDAQ–2012–114 and should be
submitted on or before November 6,
2012.
For the Commission, by the Division of
Trading and Markets, pursuant to delegated
authority.23
Kevin M. O’Neill,
Deputy Secretary.
[FR Doc. 2012–25357 Filed 10–15–12; 8:45 am]
BILLING CODE 8011–01–P
SECURITIES AND EXCHANGE
COMMISSION
[Release No. 34–68024; File No. SR–NYSE–
2012–51]
Self-Regulatory Organizations; New
York Stock Exchange LLC; Notice of
Filing and Immediate Effectiveness of
Proposed Rule Change Amending
Section 902.03 of the New York Stock
Exchange LLC Listed Company
Manual To Amend Annual Fees and
Certain Other Listing Fees Included
Therein and To Make Technical and
Conforming Changes
October 10, 2012.
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
September 28, 2012, New York Stock
Exchange LLC (‘‘NYSE’’ or the
‘‘Exchange’’) filed with the Securities
and Exchange Commission (the
‘‘Commission’’) the proposed rule
change as described in Items I, II, and
III below, which Items have been
prepared by the Exchange. The
Commission is publishing this notice to
23 17
CFR 200.30–3(a)(12).
U.S.C. 78s(b)(1).
2 17 CFR 240.19b–4.
1 15
22 15
U.S.C. 78s(b)(3)(A)(ii).
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16:06 Oct 15, 2012
Jkt 229001
PO 00000
Frm 00101
Fmt 4703
Sfmt 4703
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 Exchange proposes to amend
Section 902.03 of its Listed Company
Manual to amend certain of the fees
included therein and to make technical
and conforming changes. The text of the
proposed rule change is available on the
Exchange’s Web site at www.nyse.com,
at the principal office of the Exchange,
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 the
Statutory Basis for, the Proposed Rule
Change
1. Purpose
The Exchange proposes to amend
Section 902.03 of its Listed Company
Manual to amend certain of the fees
included therein and to make technical
and conforming changes. The Exchange
proposes to immediately reflect the
proposed changes in the Listed
Company Manual, but not to implement
the proposed changes until January 1,
2013.3
The Exchange proposes to amend
Section 902.03 of the Listed Company
Manual, which currently provides, in
part, for minimum Listing Fees for
subsequent listing of additional equity
securities. The Exchange proposes to
increase the minimum Listing Fee from
$5,000 to $7,500. Section 902.03 also
currently provides, in part, for a fee for
applications for changes that involve
modifications to Exchange records (e.g.,
changes of name, par value, title of
security or designation) and for
applications relating to poison pills. The
3 The Exchange has proposed changes to the
Listed Company Manual, as reflected in the Exhibit
5 attached hereto, in a manner that would permit
readers of the Listed Company Manual to identify
the changes that would be implemented on January
1, 2013.
E:\FR\FM\16OCN1.SGM
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Federal Register / Vol. 77, No. 200 / Tuesday, October 16, 2012 / Notices
Exchange proposes to increase this fee
from $5,000 to $7,500. Section 902.03
also currently provides, in part, for
Annual Fees for listed equity securities.
Currently, the Annual Fee for an issuer’s
primary class of common shares and, if
no class of common shares is listed,
preferred stock is the greater of $38,000
or $0.00093 per share. The Exchange
proposes to increase the $38,000
threshold to $42,000.4
2. Statutory Basis
The Exchange believes that the
proposed rule change is consistent with
Section 6(b) of the Act,5 in general, and
furthers the objectives of Section 6(b)(4)
of the Act,6 in particular, because it
provides for the equitable allocation of
reasonable dues, fees, and other charges
among its members, issuers and other
persons using its facilities and does not
unfairly discriminate between
customers, issuers, brokers, or dealers.
The Exchange believes that amending
Section 902.03 of the Listed Company
Manual to increase the minimum
Listing Fee for subsequent listing of
additional equity securities from $5,000
to $7,500 and to increase the fixed
Annual Fee for shares of common stock
and preferred stock from $38,000 to
$42,000 is reasonable because the
resulting fees would better reflect the
Exchange’s cost related to such listings
and the resulting value that such listings
provide to the issuers. In this regard, the
Exchange notes that it has not recently
increased these fees, but continually
enhances and upgrades the level of
service it provides in the listings area,
including with respect to technology,
compliance and other regulatory matters
related to listings.7 The Exchange
believes that the proposed change is
reasonable because the increased fees
would be used by the Exchange to
offset, in part, the cost the Exchange
incurs to provide listing services.
Listing service costs include, but are not
limited to, rulemaking initiatives, listing
administration processes, issuer
services, and administration of other
regulatory functions related to listing.
The Exchange also believes that the
proposed changes are equitable and not
unfairly discriminatory because they
tkelley on DSK3SPTVN1PROD with NOTICES
4 The
Exchange also proposes a non-substantive
change to remove the related asterisk and
accompanying text that currently provides that
these fees are applicable as of January 1, 2006, all
of which is obsolete text.
5 15 U.S.C. 78f(b).
6 15 U.S.C. 78f(b)(4).
7 See Securities Exchange Act Release No. 52696
(October 28, 2005), 70 FR 66881 (November 3, 2005)
(SR–NYSE–2005–35). See also Securities Exchange
Act Release No. 52463 (September 16, 2005), 70 FR
55933 (September 23, 2005) (SR–NYSE–2005–35),
at 55934 [sic].
VerDate Mar<15>2010
16:06 Oct 15, 2012
Jkt 229001
would apply equally to all issuers on
the Exchange.
The Exchange believes that amending
Section 902.03 of the Listed Company
Manual to increase the fee for certain
changes and for poison pills from
$5,000 to $7,500 is reasonable because
the Exchange has not increased such
fees since 2005, while the salaries of the
staff that are responsible for processing
the applications for these certain
changes and inputting the data in the
Exchange’s systems and disseminating
relevant information to the marketplace
have all increased, as have the costs
associated with maintaining and
updating the computer systems used in
these processes.8 The Exchange also
believes that the proposed changes are
equitable and not unfairly
discriminatory because they would
apply equally to all issuers on the
Exchange.
The Exchange does not believe that
the proposed fee changes would in any
way negatively affect its ability to
continue to adequately fund its
regulatory program or the services the
Exchange provides to issuers.
Additionally, the Exchange believes
that the non-substantive changes that
are proposed, which are technical and
conforming changes, are reasonable
because they will result in the removal
of obsolete text from the Listed
Company Manual. These changes are
also equitable and not unfairly
discriminatory because they will benefit
all issuers and all other readers of the
Listed Company Manual.
B. Self-Regulatory Organization’s
Statement on Burden on Competition
The Exchange does not believe that
the proposed rule change will impose
any burden on competition that is not
necessary or appropriate in furtherance
of the purposes of the Act.
C. Self-Regulatory Organization’s
Statement on Comments on the
Proposed Rule Change Received From
Members, Participants, or Others
No written comments were solicited
or received with respect to the proposed
rule change.
III. Date of Effectiveness of the
Proposed Rule Change and Timing for
Commission Action
The foregoing rule change is effective
upon filing pursuant to Section
19(b)(3)(A) 9 of the Act and
subparagraph (f)(2) of Rule 19b–4 10
thereunder, because it establishes a due,
8 Id.
9 15
U.S.C. 78s(b)(3)(A).
CFR 240.19b–4(f)(2).
10 17
PO 00000
Frm 00102
Fmt 4703
Sfmt 4703
63389
fee, or other charge imposed by the
NYSE.
At any time within 60 days of the
filing of such 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:
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–NYSE–2012–51 on the
subject line.
Paper Comments
• Send paper comments in triplicate
to Elizabeth M. Murphy, Secretary,
Securities and Exchange Commission,
100 F Street NE., Washington, DC
20549–1090.
All submissions should refer to File
Number SR–NYSE–2012–51. 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 Section, 100 F Street NE.,
Washington, DC 20549–1090, on official
business days between 10:00 a.m. and
3:00 p.m.. Copies of the filing will also
be available for Web site viewing and
printing at the NYSE’s principal office
and on its Internet Web site at
www.nyse.com. All comments received
will be posted without change; the
Commission does not edit personal
E:\FR\FM\16OCN1.SGM
16OCN1
63390
Federal Register / Vol. 77, No. 200 / Tuesday, October 16, 2012 / Notices
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–
2012–51 and should be submitted on or
before November 6, 2012.
For the Commission, by the Division of
Trading and Markets, pursuant to delegated
authority.11
Kevin M. O’Neill,
Deputy Secretary.
[FR Doc. 2012–25356 Filed 10–15–12; 8:45 am]
BILLING CODE 8011–01–P
SECURITIES AND EXCHANGE
COMMISSION
[Release No. 34–68032; File No. SR–ISE–
2012–83]
Self-Regulatory Organizations;
International Securities Exchange,
LLC; Notice of Filing and Immediate
Effectiveness of Proposed Rule
Change Regarding Route Out Fees for
Priority Customers
October 10, 2012.
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 October
1, 2012, the International Securities
Exchange, LLC (the ‘‘Exchange’’ or the
‘‘ISE’’) filed with the Securities and
Exchange 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.
tkelley on DSK3SPTVN1PROD with NOTICES
I. Self-Regulatory Organization’s
Statement of the Terms of the Substance
of the Proposed Rule Change
The ISE is proposing to adopt a fee
related to the execution of Priority
Customer orders subject to linkage
handling. The text of the proposed rule
change is available on the Exchange’s
Web site (https://www.ise.com), at the
principal office of the Exchange, 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,
11 17
CFR 200.30–3(a)(12).
U.S.C. 78s(b)(1).
2 17 CFR 240.19b–4.
1 15
VerDate Mar<15>2010
16:06 Oct 15, 2012
Jkt 229001
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
1. Purpose
The purpose of this proposed rule
change is to adopt a fee related to the
execution of Priority Customer 3 orders
subject to linkage handling (‘‘Linkage
Fee’’) in symbols that are not currently
subject to a Linkage Fee.
On August 31, 2009, the Exchange
implemented the new Options Order
Protection and Locked/Crossed Market
Plan (‘‘Distributive Linkage’’) and the
use of Intermarket Sweep Orders
(‘‘ISOs’’). Consistent with Distributive
Linkage and pursuant to ISE rules, the
Exchange’s Primary Market Makers
(‘‘PMMs’’) have an obligation to address
customer 4 orders when there is a better
market displayed on another exchange.
ISE’s PMMs meet this obligation via the
use of ISOs. In meeting their obligations,
PMMs may incur fees when they send
ISOs, especially when sending ISOs to
exchanges that charge ‘‘taker’’ fees. To
minimize the PMM’s financial burden
and help offset such fees, the ISE
adopted a rebate for the PMM of $0.20
per contract on all ISO orders sent to an
away exchange (regardless of the fee
charged by the exchange where the ISO
order sent away was executed).5 The
rebate for PMMs for Priority Customer
orders in the Select Symbols is equal to
the fee charged by the away exchange.6
With the costs associated with
servicing Priority Customer orders that
must be executed at another exchange
coupled with the cost of funding the
existing fee credit, the Exchange
recently adopted a Linkage Fee for
executions that result from the PMM
routing ISOs to another exchange in a
3 Pursuant to ISE Rule 100(37A), a Priority
Customer is a person or entity that is not a broker
or dealer in securities, and does not place more
than 390 orders in listed options per day on average
during a calendar month for its own beneficial
account.
4 Pursuant to ISE Rule 1900(f) of the Distributive
Linkage rules, a customer is an individual or
organization that is not a broker-dealer.
5 See Securities and Exchange Act Release No.
60791 (October 5, 2009), 74 FR 52521 (October 13,
2009) (SR–ISE–2009–74).
6 See Securities and Exchange Act Release No.
66746 (April 5, 2012), 77 FR 21833 (April 11, 2012)
(SR–ISE–2012–28).
PO 00000
Frm 00103
Fmt 4703
Sfmt 4703
limited number of symbols.7 The
Linkage Fee is currently $0.35 per
contract 8 and is only charged for
Priority Customer orders that are routed
to an away exchange in symbols that are
subject to the Exchange’s modified
maker/taker pricing model. These
symbols, which currently number 93,
are identified on the Exchange’s
Schedule of Fees as Select Symbols.
Priority Customer orders that are routed
out to another exchange are charged the
Linkage Fee at the current rate instead
of the standard taker fee applicable to
the Select Symbols. The purpose of this
proposed rule change is to extend the
current Linkage Fee to Priority
Customer orders that are routed to an
away exchange in all symbols traded on
the Exchange.
The Linkage Fee allows the Exchange
to equitably assess reasonable fees
incurred for processing such orders, and
permits the Exchange to recoup
administrative and other costs.
However, because the fees assessed by
other exchanges vary considerably, the
Exchange has determined to simply
rebate to PMMs the actual transaction
fee assessed by the exchange to which
the order is routed, while requiring the
PMM to make every effort, all things
being equal, to route the order to the
lowest cost away market.9
The Exchange notes that it currently
has a similar fee and credit for
Professional Customer orders.
Specifically, the Exchange currently
charges Professional Customers a fee of
$0.45 per contract for executions of
orders that are routed to one or more
exchanges in connection with
Distributive Linkage, and also provides
PMMs with a credit equal to the fee
charged by the destination exchange for
such Professional Customer orders, but
not more than $0.45 per contract.10 This
routing fee and credit applies to all the
symbols that are traded on the
Exchange.
2. Statutory Basis
The basis under the Securities
Exchange Act of 1934 (the ‘‘Exchange
Act’’) for this proposed rule change is
the requirement under Section 6(b)(4) 11
of the Exchange Act that an exchange
have an equitable allocation of
7 See Securities and Exchange Act Release No.
66589 (March 14, 2012), 77 FR 16311 (March 20,
2012) (SR–ISE–2012–13).
8 See Securities and Exchange Act Release No.
66746 (April 5, 2012), 77 FR 21833 (April 11, 2012)
(SR–ISE–2012–28).
9 See ISE Schedule of Fees, Section E. PMM
Linkage Credit.
10 See Securities and Exchange Act Release No.
61855 (April 6, 2010), 75 FR 19441 (April 14, 2010)
(SR–ISE–2010–26).
11 15 U.S.C. 78f(b)(4).
E:\FR\FM\16OCN1.SGM
16OCN1
Agencies
[Federal Register Volume 77, Number 200 (Tuesday, October 16, 2012)]
[Notices]
[Pages 63388-63390]
From the Federal Register Online via the Government Printing Office [www.gpo.gov]
[FR Doc No: 2012-25356]
-----------------------------------------------------------------------
SECURITIES AND EXCHANGE COMMISSION
[Release No. 34-68024; File No. SR-NYSE-2012-51]
Self-Regulatory Organizations; New York Stock Exchange LLC;
Notice of Filing and Immediate Effectiveness of Proposed Rule Change
Amending Section 902.03 of the New York Stock Exchange LLC Listed
Company Manual To Amend Annual Fees and Certain Other Listing Fees
Included Therein and To Make Technical and Conforming Changes
October 10, 2012.
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 September 28, 2012, New York Stock Exchange LLC (``NYSE'' or
the ``Exchange'') filed with the Securities and Exchange Commission
(the ``Commission'') the proposed rule change as described in Items I,
II, and III below, which Items have been prepared by the Exchange. 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 Section 902.03 of its Listed Company
Manual to amend certain of the fees included therein and to make
technical and conforming changes. The text of the proposed rule change
is available on the Exchange's Web site at www.nyse.com, at the
principal office of the Exchange, 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 the
Statutory Basis for, the Proposed Rule Change
1. Purpose
The Exchange proposes to amend Section 902.03 of its Listed Company
Manual to amend certain of the fees included therein and to make
technical and conforming changes. The Exchange proposes to immediately
reflect the proposed changes in the Listed Company Manual, but not to
implement the proposed changes until January 1, 2013.\3\
---------------------------------------------------------------------------
\3\ The Exchange has proposed changes to the Listed Company
Manual, as reflected in the Exhibit 5 attached hereto, in a manner
that would permit readers of the Listed Company Manual to identify
the changes that would be implemented on January 1, 2013.
---------------------------------------------------------------------------
The Exchange proposes to amend Section 902.03 of the Listed Company
Manual, which currently provides, in part, for minimum Listing Fees for
subsequent listing of additional equity securities. The Exchange
proposes to increase the minimum Listing Fee from $5,000 to $7,500.
Section 902.03 also currently provides, in part, for a fee for
applications for changes that involve modifications to Exchange records
(e.g., changes of name, par value, title of security or designation)
and for applications relating to poison pills. The
[[Page 63389]]
Exchange proposes to increase this fee from $5,000 to $7,500. Section
902.03 also currently provides, in part, for Annual Fees for listed
equity securities. Currently, the Annual Fee for an issuer's primary
class of common shares and, if no class of common shares is listed,
preferred stock is the greater of $38,000 or $0.00093 per share. The
Exchange proposes to increase the $38,000 threshold to $42,000.\4\
---------------------------------------------------------------------------
\4\ The Exchange also proposes a non-substantive change to
remove the related asterisk and accompanying text that currently
provides that these fees are applicable as of January 1, 2006, all
of which is obsolete text.
---------------------------------------------------------------------------
2. Statutory Basis
The Exchange believes that the proposed rule change is consistent
with Section 6(b) of the Act,\5\ in general, and furthers the
objectives of Section 6(b)(4) of the Act,\6\ in particular, because it
provides for the equitable allocation of reasonable dues, fees, and
other charges among its members, issuers and other persons using its
facilities and does not unfairly discriminate between customers,
issuers, brokers, or dealers.
---------------------------------------------------------------------------
\5\ 15 U.S.C. 78f(b).
\6\ 15 U.S.C. 78f(b)(4).
---------------------------------------------------------------------------
The Exchange believes that amending Section 902.03 of the Listed
Company Manual to increase the minimum Listing Fee for subsequent
listing of additional equity securities from $5,000 to $7,500 and to
increase the fixed Annual Fee for shares of common stock and preferred
stock from $38,000 to $42,000 is reasonable because the resulting fees
would better reflect the Exchange's cost related to such listings and
the resulting value that such listings provide to the issuers. In this
regard, the Exchange notes that it has not recently increased these
fees, but continually enhances and upgrades the level of service it
provides in the listings area, including with respect to technology,
compliance and other regulatory matters related to listings.\7\ The
Exchange believes that the proposed change is reasonable because the
increased fees would be used by the Exchange to offset, in part, the
cost the Exchange incurs to provide listing services. Listing service
costs include, but are not limited to, rulemaking initiatives, listing
administration processes, issuer services, and administration of other
regulatory functions related to listing. The Exchange also believes
that the proposed changes are equitable and not unfairly discriminatory
because they would apply equally to all issuers on the Exchange.
---------------------------------------------------------------------------
\7\ See Securities Exchange Act Release No. 52696 (October 28,
2005), 70 FR 66881 (November 3, 2005) (SR-NYSE-2005-35). See also
Securities Exchange Act Release No. 52463 (September 16, 2005), 70
FR 55933 (September 23, 2005) (SR-NYSE-2005-35), at 55934 [sic].
---------------------------------------------------------------------------
The Exchange believes that amending Section 902.03 of the Listed
Company Manual to increase the fee for certain changes and for poison
pills from $5,000 to $7,500 is reasonable because the Exchange has not
increased such fees since 2005, while the salaries of the staff that
are responsible for processing the applications for these certain
changes and inputting the data in the Exchange's systems and
disseminating relevant information to the marketplace have all
increased, as have the costs associated with maintaining and updating
the computer systems used in these processes.\8\ The Exchange also
believes that the proposed changes are equitable and not unfairly
discriminatory because they would apply equally to all issuers on the
Exchange.
---------------------------------------------------------------------------
\8\ Id.
---------------------------------------------------------------------------
The Exchange does not believe that the proposed fee changes would
in any way negatively affect its ability to continue to adequately fund
its regulatory program or the services the Exchange provides to
issuers.
Additionally, the Exchange believes that the non-substantive
changes that are proposed, which are technical and conforming changes,
are reasonable because they will result in the removal of obsolete text
from the Listed Company Manual. These changes are also equitable and
not unfairly discriminatory because they will benefit all issuers and
all other readers of the Listed Company Manual.
B. Self-Regulatory Organization's Statement on Burden on Competition
The Exchange does not believe that the proposed rule change will
impose any burden on competition that is not necessary or appropriate
in furtherance of the purposes of the Act.
C. Self-Regulatory Organization's Statement on Comments on the Proposed
Rule Change Received From Members, Participants, or Others
No written comments were solicited or received with respect to the
proposed rule change.
III. Date of Effectiveness of the Proposed Rule Change and Timing for
Commission Action
The foregoing rule change is effective upon filing pursuant to
Section 19(b)(3)(A) \9\ of the Act and subparagraph (f)(2) of Rule 19b-
4 \10\ thereunder, because it establishes a due, fee, or other charge
imposed by the NYSE.
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\9\ 15 U.S.C. 78s(b)(3)(A).
\10\ 17 CFR 240.19b-4(f)(2).
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At any time within 60 days of the filing of such 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:
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-NYSE-2012-51 on the subject line.
Paper Comments
Send paper comments in triplicate to Elizabeth M. Murphy,
Secretary, Securities and Exchange Commission, 100 F Street NE.,
Washington, DC 20549-1090.
All submissions should refer to File Number SR-NYSE-2012-51. 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 Section, 100 F Street
NE., Washington, DC 20549-1090, on official business days between 10:00
a.m. and 3:00 p.m.. Copies of the filing will also be available for Web
site viewing and printing at the NYSE's principal office and on its
Internet Web site at www.nyse.com. All comments received will be posted
without change; the Commission does not edit personal
[[Page 63390]]
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-2012-51 and should be submitted on
or before November 6, 2012.
For the Commission, by the Division of Trading and Markets,
pursuant to delegated authority.\11\
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\11\ 17 CFR 200.30-3(a)(12).
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Kevin M. O'Neill,
Deputy Secretary.
[FR Doc. 2012-25356 Filed 10-15-12; 8:45 am]
BILLING CODE 8011-01-P