Sunshine Act Meeting; Additional Item, 64966 [2016-22906]
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64966
Federal Register / Vol. 81, No. 183 / Wednesday, September 21, 2016 / Notices
SECURITIES AND EXCHANGE
COMMISSION
Sunshine Act Meeting; Additional Item
FEDERAL REGISTER CITATION OF PREVIOUS
ANNOUNCEMENT: To be published.
PREVIOUSLY ANNOUNCED TIME AND DATE OF
THE MEETING: Thursday, September 22,
2016.
The following
matters will also be considered during
the 2:00 p.m. Closed Meeting scheduled
for Thursday, September 22, 2016:
Adjudicatory matter
CONTACT PERSON FOR MORE INFORMATION:
For further information and to ascertain
what, if any, matters have been added,
deleted or postponed, please contact the
Office of the Secretary at (202) 551–
5400.
CHANGES IN THE MEETING:
Dated: September 16, 2016.
Lynn M. Powalski,
Deputy Secretary.
[FR Doc. 2016–22906 Filed 9–19–16; 4:15 pm]
BILLING CODE 8011–01–P
SECURITIES AND EXCHANGE
COMMISSION
[Release No. 34–78855; File No. SR–NYSE–
2016–31]
Self-Regulatory Organizations; New
York Stock Exchange LLC; Order
Granting Approval of Proposed Rule
Change Amending NYSE Rule 6A To
Exclude the Physical Area Within Fully
Enclosed Telephone Booths Located
in 18 Broad Street From the Definition
of Trading Floor
September 15, 2016.
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I. Introduction
On May 31, 2016, New York Stock
Exchange LLC (‘‘NYSE’’ or the
‘‘Exchange’’) filed with the Securities
and Exchange Commission
(‘‘Commission’’), pursuant to Section
19(b)(1) of the Securities Exchange Act
of 1934 (‘‘Act’’) 1 and Rule 19b–4
thereunder,2 a proposed rule change to
amend NYSE Rule 6A (‘‘Trading Floor’’)
to exclude a physical area within fully
enclosed telephone booths located in 18
Broad Street from the definition of
Trading Floor. The proposed rule
change was published for comment in
the Federal Register on June 17, 2016.3
On July 29, 2016, pursuant to Section
19(b)(2) of the Act,4 the Commission
1 15
U.S.C. 78s(b)(1).
2 17 CFR 240.19b–4.
3 See Securities Exchange Act Release No. 78057
(June 13, 2016), 81 FR 39722 (‘‘Notice’’).
4 15 U.S.C. 78s(b)(2).
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18:19 Sep 20, 2016
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designated a longer period within which
to either approve the proposed rule
change, disapprove the proposed rule
change, or institute proceedings to
determine whether to disapprove the
proposed rule change.5 The Commission
received no comments on the proposed
rule change. This order grants approval
of the proposed rule change.
II. Description of the Proposed Rule
Change
The Exchange proposes to amend
NYSE Rule 6A (‘‘Trading Floor’’) to
exclude an area within fully enclosed
telephone booths located in 18 Broad
Street from the definition of ‘‘Trading
Floor.’’ Under the proposal, as
discussed in more detail below, the area
within the enclosed telephone booths
will remain within the Exchange’s
broader definition of Floor under Rule
6.6 The Exchange also proposes to revise
the definition of ‘‘Trading Floor’’ to
reflect the renaming of a portion of its
physical area and relocation of where
NYSE Amex-listed options are traded.7
The Exchange currently defines
‘‘Trading Floor’’ in Rule 6A to mean the
restricted-access physical areas
designated by the Exchange for the
trading of securities, commonly known
as the ‘‘Main Room,’’ the ‘‘Blue Room,’’
and the ‘‘Garage.’’ 8 Rule 6A then
excludes from the definition of ‘‘Trading
Floor’’ those areas designated by the
Exchange where NYSE Amex-listed
options are traded, commonly known as
the ‘‘Extended Blue Room,’’ which, for
the purposes of the Exchange’s Rules,
are referred to as the ‘‘NYSE Amex
Options Trading Floor.’’ 9
The Exchange proposes to exclude an
additional area from the definition of
Trading Floor. Specifically, the proposal
would exclude from the defined Trading
Floor the physical area within fully
enclosed telephone booths located in 18
Broad Street at the Southeast wall of the
Trading Floor.10 These telephone booths
are located in a vestibule area adjacent
to the 18 Broad Street elevator banks
that provide access to the Trading Floor.
The vestibule area is separated from the
equity trading areas of the Main Room
by approximately forty (40) feet and a
partial physical barrier. The Exchange
5 See Securities Exchange Act Release No. 78442
(July 29, 2016), 81 FR 51521 (August 4, 2016). The
Commission designated September 15, 2016 as the
date by which it shall approve, disapprove, or
institute proceedings to determine whether to
disapprove the proposed rule change.
6 See, infra, notes 16–17 and accompanying text.
7 See proposed Rule 6A.
8 See NYSE Rule 6A; see also Securities Exchange
Act Release No. 59479 (Mar. 2, 2009), 74 FR 10325
(Mar. 10, 2009) (SR–NYSE–2009–23).
9 See NYSE Rule 6A.
10 See proposed Rule 6A.
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represents that, while inside the
telephone booths, there is no visual or
auditory access to activities conducted
at the trading posts or by Floor
Brokers.11
Currently Exchange members and
employees of member organizations are
allowed to use personal portable or
wireless communication devices outside
the Trading Floor, provided that such
use is consistent with all other
Exchange Rules and federal securities
laws and rules thereunder.12 By
excluding the physical area within the
fully enclosed telephone booths
described herein from the definition of
Trading Floor, the proposal would
create an exception to restrictions that
would otherwise prohibit the use of
personal cellular telephones while in
the telephone booths. In its filing, the
Exchange states that it designed the
telephone booths for use by Designated
Market Makers (‘‘DMMs’’) and DMMs
could use this space to communicate
with issuers. However, the telephone
booths could be used by anyone with
access to the Trading Floor, including
Floor Brokers.13 In the Exchange’s view,
a DMM’s use of a personal cellular
telephone while within a telephone
booth to communicate with an issuer is
no different than a DMM’s use of a
personal cellular telephone to
communicate with an issuer from a
DMM’s office off the Exchange or while
outside the restricted-access areas of the
Floor.14
The Exchange states in its filing that,
while in a telephone booth, a DMM
would not have access to any time and
place information that he or she may
have at a trading post. According to the
Exchange, the following aspects of the
telephone booths would create privacy:
(1) The closest location of any Floor
Broker operations, which also contains
privacy barriers, is approximately forty
(40) feet from the proposed location of
the telephone booths; (2) there are high
arching walls with limited line and
sight vision separating the telephone
booths from any trading posts on the
Trading Floor; and (3) the telephone
booths are fully enclosed so any
conversation that would occur would
take place behind closed doors. The
Exchange states that it ‘‘believes that the
combination of these visual and
acoustical barriers would substantially
11 See
12 See
Notice, supra note 3, at 39722–23.
NYSE Rule 36, Supplementary Material
.23.
13 Currently, Floor Brokers on the Trading Floor
are only allowed to use an approved telephone line
or Exchange authorized and provided portable
phone. See NYSE Rule, Supplementary Material .20
and .21.
14 See Notice, supra note 3, at 39723.
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Agencies
[Federal Register Volume 81, Number 183 (Wednesday, September 21, 2016)]
[Notices]
[Page 64966]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2016-22906]
[[Page 64966]]
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SECURITIES AND EXCHANGE COMMISSION
Sunshine Act Meeting; Additional Item
FEDERAL REGISTER CITATION OF PREVIOUS ANNOUNCEMENT: To be published.
PREVIOUSLY ANNOUNCED TIME AND DATE OF THE MEETING: Thursday, September
22, 2016.
CHANGES IN THE MEETING: The following matters will also be considered
during the 2:00 p.m. Closed Meeting scheduled for Thursday, September
22, 2016:
Adjudicatory matter
CONTACT PERSON FOR MORE INFORMATION: For further information and to
ascertain what, if any, matters have been added, deleted or postponed,
please contact the Office of the Secretary at (202) 551-5400.
Dated: September 16, 2016.
Lynn M. Powalski,
Deputy Secretary.
[FR Doc. 2016-22906 Filed 9-19-16; 4:15 pm]
BILLING CODE 8011-01-P