Federal Register / Vol. 76, No. 37 / Thursday, February 24, 2011 / Notices 10411 

2See Docket No. CP2009–50, Order Granting 

Clarification and Adding Global Expedited Package 

Services 2 to the Competitive Product List, August 

28, 2009 (Order No. 290). 

3See Docket Nos. MC2010–18, CP2010–21 and 

CP2010–22, Notice of the United States Postal 

Service of Filing Two Functionally Equivalent IBRS 

Contracts and Request to Establish Successor 

Instruments as Baseline International Business 

Reply Service Competitive Contract 2, February 9, 

2010. 

4The Postal Service states that the statement 

provided by Jo Ann Miller, originally filed in 

Docket No. MC2009–14 is applicable to the instant 

proceeding and supports the addition of IBRS 

Competitive Contract 3 to the competitive product 

list. 

5The Postal Service states that it does not intend 

to remove the IBRS Competitive Contract 2 from the 

competitive product list at this time. 

6See Order No. 178, Order Concerning 

International Business Reply Service Contract 1 

Negotiated Service Agreement, Docket Nos. 

MC2009–14 and CP2009–14, February 5, 2009. 

The Postal Service uses IBRS 

contracts for customers that sell 

lightweight articles to foreign 

consumers and desire to offer their 

customers a way to return the articles to 

the United States for recycling, 

refurbishment, repair, or value-added 

processing. Id. at 4–5. 

The instant contract. The Postal 

Service filed the instant contract 

pursuant to 39 CFR 3015.5. In addition, 

the Postal Service contends that the 

contract is in accordance with Order No. 

290.2 The term of the instant contract is 

1 year from the date the Postal Service 

notifies the customer that all necessary 

regulatory approvals have been 

received. The agreement expires 1 year 

after the effective date unless the parties 

agree to an earlier termination. The 

Postal Service states that the instant 

contract is the successor agreement to 

the IBRS Competitive Contract 2 

contract in Docket No. CP2010–21 for 

the same mailer.3 Request at 3. The 

Postal Service notes that the current 

contract expires on February 28, 2011 

and its intent is to have the instant 

contract begin March 1, 2011. Id. at 4. 

In support of its Request, the Postal 

Service filed the following attachments: 

• Attachment 1—a Statement of 

Supporting Justification as required by 

39 CFR 3020.32; 

• Attachment 2—a redacted copy of 

the contract; 

• Attachment 3—a redacted copy of 

the certified statement required by 39 

CFR 3015.5(c)(2); 

• Attachment 4—Governors’ Decision 

No. 08–24 which establishes prices and 

classifications for the IBRS Contracts 

product; and includes Mail 

Classification Schedule (MCS) language 

for IBRS contracts, formulas for pricing 

along with an analysis, certification of 

the Governors vote, and certification of 

compliance with 39 U.S.C. 3633 (a); and 

• Attachment 5—an application for 

non-public treatment of materials to 

maintain the redacted portions of the 

contract, customer identifying 

information and related financial 

information under seal. 

In the Statement of Supporting 

Justification, Jo Ann Miller, former 

Director, Global Business Development, 

asserts that the services to be provided 

under the instant contract will cover its 

attributable costs, make a positive 

contribution to institutional costs, and 

increase contribution toward the 

requisite 5.5 percent of total 

institutional costs charged to 

competitive products.4 Id. Attachment 1. 

Thus, Ms. Miller contends there will be 

no issue of subsidization of competitive 

products by market dominant products 

as a result of these contracts. Id. 

Baseline agreement. The Postal 

Service requests that the instant contract 

be deemed the new baseline agreement 

for functional equivalency analyses of 

the IBRS product.5 Id. at 2–4. The Postal 

Service asserts that the instant contract 

is essentially the same as the IBRS 

contracts filed previously. Id. at 4. The 

Postal Service represents that prices and 

classifications ‘‘not of general 

applicability’’ for IBRS contracts were 

established by Governors’ Decision No. 

08–24 filed in Docket Nos. MC2009–14 

and CP2009–20.6 It also identifies the 

instant contract as fitting within the 

MCS language for IBRS contracts 

included as an attachment to Governors’ 

Decision No. 08–24. Id. at 2. 

The Request advances reasons why 

IBRS Competitive Contracts 3 should be 

added to the competitive product list 

and fits within the MCS language for 

IBRS contracts. Id. at 4–5. The Postal 

Service also explains that a redacted 

version of the supporting financial 

documentation is included with this 

filing as a separate Excel file. Id. at 3. 

The Postal Service asserts that the 

instant contract is in compliance with 

39 U.S.C. 3633, is functionally 

equivalent to other IBRS agreements, fits 

within the MCS language for IBRS 

contracts, will serve as the new baseline 

contract for the proposed product, and 

should be added to the competitive 

product list included within the IBRS 

Competitive Contracts 3 product. Id. at 

5–6. Accordingly, it urges the 

Commission to add the proposed IBRS 

Competitive Contract 3 to the 

competitive product list along with the 

instant contract as the baseline 

agreement within the product. Id. at 6. 

II. Notice of Filing 

The Commission establishes Docket 

Nos. MC2011–21 and CP2011–59 for 

consideration of matters identified in 

the Postal Service’s Request. 

The Commission appoints Diane K. 

Monaco to serve as Public 

Representative in these dockets. 

Comments. Interested persons may 

submit comments on whether the Postal 

Service’s filings in the captioned 

dockets are consistent with the policies 

of 39 U.S.C. 3632, 3633 or 3642 and 39 

CFR part 3015 and 39 CFR part 3020 

subpart B. Comments are due no later 

than February 22, 2011. The public 

portions of these filings can be accessed 

via the Commission’s Web site (http:// 

www.prc.gov). 

III. Ordering Paragraphs 

It is ordered: 

1. The Commission establishes Docket 

Nos. MC2011–21 and CP2011–59 for 

consideration of the matters raised in 

these dockets. 

2. Pursuant to 39 U.S.C. 505, Diane K. 

Monaco is appointed to serve as officer 

of the Commission (Public 

Representative) to represent the 

interests of the general public in these 

proceedings. 

3. Comments by interested persons in 

these proceedings are due no later than 

February 22, 2011. 

4. The Secretary shall arrange for 

publication of this Order in the Federal 

Register. 

By the Commission. 

Ruth Ann Abrams, 

Acting Secretary. 

[FR Doc. 2011–4055 Filed 2–23–11; 8:45 am] 

BILLING CODE 7710–FW–P 

SECURITIES AND EXCHANGE 

COMMISSION 

Proposed Collection; Comment 

Request 

Upon Written Request, Copies Available 

From: Securities and Exchange 

Commission, Office of Investor 

Education and Advocacy, 

Washington, DC 20549–0213. 

Extension: 

Electronic Data Collection System; OMB 

Control No. 3235–0672; SEC File No. 

270–621. 

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 an extension for this 

current collection of information to the 

Office of Management and Budget for 

approval. 


emcdonald on DSK2BSOYB1PROD with NOTICES
10412 Federal Register / Vol. 76, No. 37 / Thursday, February 24, 2011 / Notices 

1 15 U.S.C. 78s(b)(1). 

2 17 CFR 240.19b–4. 

3For example, CBOE calculates the CBOE Gold 

ETF Volatility Index (‘‘GVZ’’), which is based on the 

VIX methodology applied to options on the SPDR 

Gold Trust (‘‘GLD’’). The current filing would permit 

$0.50 strike price intervals for GLD options where 

the strike price is $75 or less. CBOE is currently 

permitted to list strike prices in $1 intervals for 

GLD options (where the strike price is $200 or less), 

as well as for other exchange-traded fund (‘‘ETF’’) 

options. See Rule 5.5.08. 

The Securities and Exchange 

Commission has begun the design of a 

new Electronic Data Collection System 

database (the Database) and invites 

comment on the Database that will 

support information provided by the 

general public that would like to file a 

tip or complaint with the SEC. The 

Database will be a web based e-filed 

dynamic report based on technology 

that pre-populates and establishes a 

series of questions based on the data 

that the individual enters. The 

individual will then complete specific 

information on the subject(s) and nature 

of the suspicious activity, using the data 

elements appropriate to the type of 

complaint or subject. The information 

collection is voluntary. The first phase 

of the Database is scheduled to be 

released as a pilot in February 2011. 

Any public suggestions that are received 

during the pilot phase will be reviewed 

and changes will be considered. Phase 

2 is currently scheduled to be released 

in the Fall of 2011. There are no costs 

associated with this collection. The 

public interface to the Database will be 

available using the agency’s Web site 

http://www.sec.gov. Information is 

voluntary. 

Estimated number of annual 

responses = 25,000. 

Estimated annual reporting burden = 

12,500 hours (30 minutes per 

submission). 

Written comments are invited on: (a) 

Whether this collection of information 

is necessary for the proper performance 

of the functions of the agency, including 

whether the information will have 

practical utility; (b) the accuracy of the 

agency’s estimate of the burden imposed 

by the collection of information; (c) 

ways to enhance the quality, utility, and 

clarity of the information collected; and 

(d) ways to minimize the burden of the 

collection of information on 

respondents, including through the use 

of automated collection techniques or 

other forms of information technology. 

Consideration will be given to 

comments and suggestions submitted in 

writing within 60 days of this 

publication. Please direct your written 

comments to Thomas Bayer, Chief 

Information Officer, Securities and 

Exchange Commission, c/o Remi PavlikSimon, 6432 General Green Way, 

Alexandria, Virginia 22312; or send an 

e-mail to: PRA_Mailbox@sec.gov. 

February 18, 2011. 

Cathy H. Ahn, 

Deputy Secretary. 

[FR Doc. 2011–4134 Filed 2–23–11; 8:45 am] 

BILLING CODE 8011–01–P 

SECURITIES AND EXCHANGE 

COMMISSION 

[Release No. 34–63927; File No. SR–CBOE– 

2011–008] 

Self-Regulatory Organizations; 

Chicago Board Options Exchange, 

Incorporated; Notice of Proposed Rule 

Change To Permit the Listing of $0.50 

and $1 Strike Price Increments on 

Certain Options Used To Calculate 

Volatility Indexes 

February 17, 2011. 

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 February 

4, 2011, the Chicago Board Options 

Exchange, Incorporated (‘‘CBOE’’ or 

‘‘Exchange’’) filed with the Securities 

and Exchange Commission (the 

‘‘Commission’’) the proposed rule 

change as described in Items I and II 

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. 

I. Self-Regulatory Organization’s 

Statement of the Terms of Substance of 

the Proposed Rule Change 

CBOE proposes to amend Rules 5.5 

and 24.9 to permit the listing of strike 

prices in $0.50 intervals where the 

strike price is less than $75, and strike 

prices in $1.00 intervals where the 

strike price is between $75 and $150 for 

option series used to calculate volatility 

indexes. The text of the rule proposal is 

available on the Exchange’s Web site 

(http://www.cboe.org/legal), 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 purpose of this proposed rule 

change is to permit the Exchange to list 

strike prices in $0.50 intervals where 

the strike price is less than $75, and 

strike prices in $1.00 intervals where 

the strike price is between $75 and $150 

for option series 3 used to calculate 

volatility indexes. 

To effect this change, the Exchange is 

proposing to add new Interpretation and 

Policy .19 to Rule 5.5, Series of Option 

Contracts Open for Trading, and new 

Interpretation and Policy .12 to Rule 

24.9, Terms of Index Option Contracts. 

These new provisions will permit the 

listing of strike prices in $0.50 intervals 

where the strike price is less than $75, 

and strike prices in $1.00 intervals 

where the strike price is between $75 

and $150 for option series used to 

calculate volatility indexes. The 

Exchange is also proposing to amend 

Interpretation and Policy .08 to Rule 5.5 

to permit $0.50 strike price intervals for 

options on exchange-traded funds that 

are used to calculate a volatility index 

by cross-referencing Rule 5.5.19. 

The CBOE Volatility Index (‘‘VIX’’) is 

widely recognized as a benchmark 

measure of the expected volatility of the 

S&P 500 Index. In less than four years 

of trading, VIX options have become the 

second most actively traded index 

option class in the U.S., averaging 

248,000 contracts per day in 2010. 

Combined trading activity in listed VIX 

options and futures in 2010 accounted 

for over $42 million of ‘‘vega’’ (the unit 

of trading commonly used for over-thecounter (‘‘OTC’’) volatility contracts) per 

day, which represents a significant 

portion of all volatility trading executed 

in both listed and OTC markets. 

The VIX methodology is derived from 

a body of research showing that it is 

possible to create pure exposure to 

volatility by assembling a special 

portfolio of options. While the price of 

a single option depends on both the 

underlying price and volatility, this 

special portfolio is constructed, in the 

aggregate, to eliminate the stock price 

dependence. In theory, this option 

portfolio would be comprised of an 


emcdonald on DSK2BSOYB1PROD with NOTICES