1564 Federal Register / Vol. 72, No. 8 / Friday, January 12, 2007 / Notices 

than 30 years may use the 30-year 

interest rate. 

[FR Doc. E7–308 Filed 1–11–07; 8:45 am] 

BILLING CODE 3110–01–P 

PENSION BENEFIT GUARANTY 

CORPORATION 

Required Interest Rate Assumption for 

Determining Variable-Rate Premium for 

Single-Employer Plans; Interest on 

Late Premium Payments; Interest on 

Underpayments and Overpayments of 

Single-Employer Plan Termination 

Liability and Multiemployer Withdrawal 

Liability; Interest Assumptions for 

Multiemployer Plan Valuations 

Following Mass Withdrawal 

AGENCY: Pension Benefit Guaranty 

Corporation. 

ACTION: Notice of interest rates and 

assumptions. 

SUMMARY: This notice informs the public 

of the interest rates and assumptions to 

be used under certain Pension Benefit 

Guaranty Corporation regulations. These 

rates and assumptions are published 

elsewhere (or can be derived from rates 

published elsewhere), but are collected 

and published in this notice for the 

convenience of the public. Interest rates 

are also published on the PBGC’s Web 

site (http://www.pbgc.gov). 

DATES: The required interest rate for 

determining the variable-rate premium 

under part 4006 applies to premium 

payment years beginning in January 

2007. The interest assumptions for 

performing multiemployer plan 

valuations following mass withdrawal 

under part 4281 apply to valuation dates 

occurring in February 2007. The interest 

rates for late premium payments under 

part 4007 and for underpayments and 

overpayments of single-employer plan 

termination liability under part 4062 

and multiemployer withdrawal liability 

under part 4219 apply to interest 

accruing during the first quarter 

(January through March) of 2007. 

FOR FURTHER INFORMATION CONTACT: 

Catherine B. Klion, Manager, Regulatory 

and Policy Division, Legislative and 

Regulatory Department, Pension Benefit 

Guaranty Corporation, 1200 K Street, 

NW., Washington, DC 20005, 202–326–

4024. (TTY/TDD users may call the 

Federal relay service toll-free at 1–800–

877–8339 and ask to be connected to 

202–326–4024.) 

SUPPLEMENTARY INFORMATION: 

Variable-Rate Premiums 

Section 4006(a)(3)(E)(iii)(II) of the 

Employee Retirement Income Security 

Act of 1974 (ERISA) and § 4006.4(b)(1) 

of the PBGC’s regulation on Premium 

Rates (29 CFR part 4006) prescribe use 

of an assumed interest rate (the 

‘‘required interest rate’’) in determining 

a single-employer plan’s variable-rate 

premium. Pursuant to the Pension 

Protection Act of 2006, for premium 

payment years beginning in 2006 or 

2007, the required interest rate is the 

‘‘applicable percentage’’ (currently 85 

percent) of the annual rate of interest 

determined by the Secretary of the 

Treasury on amounts invested 

conservatively in long-term investment 

grade corporate bonds for the month 

preceding the beginning of the plan year 

for which premiums are being paid (the 

‘‘premium payment year’’). Thus, the 

required interest rate to be used in 

determining variable-rate premiums for 

premium payment years beginning in 

January 2007 is 4.89 percent (i.e., 85 

percent of the 5.75 percent composite 

corporate bond rate for December 2006 

as determined by the Treasury). 

On December 2, 2005, the Internal 

Revenue Service published proposed 

regulations containing updated 

mortality tables for determining current 

liability under section 412(l)(7) of the 

Code and section 302(d)(7) of ERISA for 

plan years beginning on or after January 

1, 2007, http://www.irs.gov/pub/irs-regs/ 

12498805.pdf. If these regulations are 

finalized and effective for plan years 

beginning on or after January 1, 2007, 

the required interest rate to be used in 

determining variable-rate premiums 

would be 100 percent (instead of 85 

percent) of the composite corporate 

bond rate. If the required interest rate 

for premium payment years beginning 

in January 2007 changes, the PBGC will 

promptly publish a Federal Register 

notice with the new rate. 

The following table lists the required 

interest rates to be used in determining 

variable-rate premiums for premium 

payment years beginning between 

February 2006 and January 2007. 

For premium 

payment years beginning in: 

The required 

interest rate is: 

February 2006 ...................... 4.80 

March 2006 ........................... 4.87 

April 2006 ............................. 5.01 

May 2006 .............................. 5.25 

June 2006 ............................. 5.35 

July 2006 .............................. 5.36 

August 2006 ......................... 5.36 

September 2006 ................... 5.19 

October 2006 ........................ 5.06 

November 2006 .................... 5.05 

December 2006 .................... 4.90 

January 2007 ........................ 4.89 

Late Premium Payments; 

Underpayments and Overpayments of 

Single-Employer Plan Termination 

Liability 

Section 4007(b) of ERISA and 

§ 4007.7(a) of the PBGC’s regulation on 

Payment of Premiums (29 CFR part 

4007) require the payment of interest on 

late premium payments at the rate 

established under section 6601 of the 

Internal Revenue Code. Similarly, 

§ 4062.7 of the PBGC’s regulation on 

Liability for Termination of SingleEmployer Plans (29 CFR part 4062) 

requires that interest be charged or 

credited at the section 6601 rate on 

underpayments and overpayments of 

employer liability under section 4062 of 

ERISA. The section 6601 rate is 

established periodically (currently 

quarterly) by the Internal Revenue 

Service. The rate applicable to the first 

quarter (January through March) of 

2007, as announced by the IRS, is 8 

percent. 

The following table lists the late 

payment interest rates for premiums and 

employer liability for the specified time 

periods: 

From— Through— Interest rate 

(percent) 

4/1/00 ................ 3/31/01 9 

4/1/01 ................ 6/30/01 8 

7/1/01 ................ 12/31/01 7 

1/1/02 ................ 12/31/02 6 

1/1/03 ................ 9/30/03 5 

10/1/03 .............. 3/31/04 4 

4/1/04 ................ 6/30/04 5 

7/1/04 ................ 9/30/04 4 

10/1/04 .............. 3/31/05 5 

4/1/05 ................ 9/30/05 6 

10/1/05 .............. 6/30/06 7 

7/1/06 ................ 3/31/07 8 

Underpayments and Overpayments of 

Multiemployer Withdrawal Liability 

Section 4219.32(b) of the PBGC’s 

regulation on Notice, Collection, and 

Redetermination of Withdrawal 

Liability (29 CFR part 4219) specifies 

the rate at which a multiemployer plan 

is to charge or credit interest on 

underpayments and overpayments of 

withdrawal liability under section 4219 

of ERISA unless an applicable plan 

provision provides otherwise. For 

interest accruing during any calendar 

quarter, the specified rate is the average 

quoted prime rate on short-term 

commercial loans for the fifteenth day 

(or the next business day if the fifteenth 

day is not a business day) of the month 

preceding the beginning of the quarter, 

as reported by the Board of Governors 

of the Federal Reserve System in 

Statistical Release H.15 (‘‘Selected 

Interest Rates’’). The rate for the first 


rmajette on PROD1PC67 with NOTICES
Federal Register / Vol. 72, No. 8 / Friday, January 12, 2007 / Notices 1565 

quarter (January through March) of 2007 

(i.e., the rate reported for December 15, 

2006) is 8.25 percent. 

The following table lists the 

withdrawal liability underpayment and 

overpayment interest rates for the 

specified time periods: 

From— Through— Interest rate 

(percent) 

7/1/00 ................ 3/31/01 9.50 

4/1/01 ................ 6/30/01 8.50 

7/1/01 ................ 9/30/01 7.00 

10/1/01 .............. 12/31/01 6.50 

1/1/02 ................ 12/31/02 4.75 

1/1/03 ................ 9/30/03 4.25 

10/1/03 .............. 9/30/04 4.00 

10/1/04 .............. 12/31/04 4.50 

1/1/05 ................ 3/31/05 5.25 

4/1/05 ................ 6/30/05 5.50 

7/1/05 ................ 9/30/05 6.00 

10/1/05 .............. 12/31/05 6.50 

1/1/06 ................ 3/31/06 7.25 

4/1/06 ................ 6/30/06 7.50 

7/1/06 ................ 9/30/06 8.00 

10/1/06 .............. 3/31/07 8.25 

Multiemployer Plan Valuations 

Following Mass Withdrawal 

The PBGC’s regulation on Duties of 

Plan Sponsor Following Mass 

Withdrawal (29 CFR part 4281) 

prescribes the use of interest 

assumptions under the PBGC’s 

regulation on Allocation of Assets in 

Single-Employer Plans (29 CFR part 

4044). The interest assumptions 

applicable to valuation dates in 

February 2007 under part 4044 are 

contained in an amendment to part 4044 

published elsewhere in today’s Federal 

Register. Tables showing the 

assumptions applicable to prior periods 

are codified in appendix B to 29 CFR 

part 4044. 

Issued in Washington, DC, on this 9th day 

of January 2007. 

Vincent K. Snowbarger, 

Interim Director, Pension Benefit Guaranty 

Corporation. 

[FR Doc. E7–337 Filed 1–11–07; 8:45 am] 

BILLING CODE 7709–01–P 

SECURITIES AND EXCHANGE 

COMMISSION 

Proposed Collection; Comment 

Request 

Upon Written Request, Copies Available 

From: Securities and Exchange 

Commission, Office of Filings and 

Information Services, Washington, DC 

20549. 

New Information Collection: 

Study of Marketing and Delivery of 

Financial Products to Individual 

Investors, OMB Control No. 3235-xxxx; 

SEC File No. 270–561. 

Notice is hereby given that pursuant 

to the Paperwork Reduction Act of 1995 

(44 U.S.C. 3501 et seq.) the Securities 

and Exchange Commission 

(‘‘Commission’’) is soliciting comments 

on the collection of information 

summarized below. The Commission 

plans to submit this collection of 

information to the Office of 

Management and Budget for approval. 

The Commission has engaged an 

outside contractor to undertake a study 

that will involve collecting, 

categorizing, and analyzing empirical 

data regarding the marketing, sale and 

delivery of financial products, accounts, 

programs and services offered to 

individual investors by broker-dealers 

and investment advisers. The 

contractor’s findings will be 

summarized in a report for the 

Commission. 

Participation in the study will be 

voluntary. Information collected during 

the study will not be kept confidential, 

except that the identity of a study 

participant, and information that would 

identify a participant to anyone outside 

the study will not be disclosed without 

the participant’s consent, except as 

required by law. Participants in the 

study are expected to include brokerdealers, investment advisers, individual 

investors, investor advocates and 

industry groups. We estimate that there 

would be approximately 330 

participants in the study at an estimated 

1.5 hours for a total annual burden of 

approximately 500 hours. 

An agency may not conduct or 

sponsor, and a person is not required to 

respond to, a collection of information 

unless it displays a currently valid 

control number. 

Written comments regarding the 

above information should be directed to 

the following persons: (i) Desk Officer 

for the Securities and Exchange 

Commission, Office of Information and 

Regulatory Affairs, Office of 

Management and Budget, Room 10102, 

New Executive Office Building, 

Washington DC 20503 or send an e-mail 

to David_Rostker@omb.eop.gov; and (ii) 

R. Corey Booth, Director/Chief 

Information Officer, Securities and 

Exchange Commission, C/O Shirley 

Martinson 6432 General Green Way, 

Alexandria, VA 22312; or send an email to: PRA_Mailbox@sec.gov. 

Comments must be submitted to OMB 

within 30 days of this notice. 

January 3, 2007. 

Florence E. Harmon, 

Deputy Secretary. 

[FR Doc. E7–300 Filed 1–11–07; 8:45 am] 

BILLING CODE 8011–01–P 

SECURITIES AND EXCHANGE 

COMMISSION 

Submission for OMB Review; 

Comment Request 

Upon Written Request, Copies Available 

From: U.S. Securities and Exchange 

Commission, Office of Filing and 

Information Services, Washington, DC 

20549. 

Extension: 

Rule 35d–1; SEC File No. 270–491; OMB 

Control No. 3235–0548. 

Notice is hereby given that pursuant 

to the Paperwork Reduction Act of 1995 

(44 U.S.C. 3501 et seq.) (‘‘Act’’) the 

Securities and Exchange Commission 

(‘‘Commission’’) has submitted to the 

Office of Management and Budget 

(‘‘OMB’’) a request for extension of the 

previously approved collection of 

information discussed below. 

Rule 35d–1 (17 CFR 270.35d–1) under 

the Investment Company Act of 1940 

(15 U.S.C. 80a–1 et seq.) generally 

requires that investment companies 

with certain names invest at least 80% 

of their assets according to what their 

names suggests. The rule provides that 

an affected investment company must 

either adopt this 80% requirement as a 

fundamental policy or adopt a policy to 

provide notice to shareholders at least 

60 days prior to any change in its 80% 

investment policy. This preparation and 

delivery of the notice to existing 

shareholders is a collection of 

information within the meaning of the 

Act. 

The Commission estimates that there 

are 7,200 open-end and closed-end 

management investment companies and 

series that have descriptive names that 

are governed by the rule. The 

Commission estimates that of these 

7,200 investment companies, 

approximately 24 provide prior notice 

to their shareholders of a change in their 

investment policies per year. The 

Commission estimates that the annual 

burden associated with the notice 

requirement of the rule is 20 hours per 

affected investment company or series. 

The total burden hours for Rule 35d–1 

is 480 per year in the aggregate (24 

responses x 20 hours per response). 

Estimates of average burden hours are 

made solely for the purposes of the Act, 

and are not derived from a 

comprehensive or even a representative 

survey or study of the costs of 

Commission rules and forms. 

The collection of information under 

Rule 35d–1 is mandatory. The 

information provided under Rule 35d–

1 is not kept confidential. An agency 

may not conduct or sponsor, and a 

person is not required to respond to a 


rmajette on PROD1PC67 with NOTICES