18818 Federal Register / Vol. 76, No. 65 / Tuesday, April 5, 2011 / Notices 

4 In addition, the $2.50 Strike Price Program also 

permits the Exchange to list any option class with 

$2.50 strike intervals that is included in the $2.50 

Strike Price Program of another exchange. See Phlx 

Rule 1012, Commentary .05(b). 

5 In approving this proposed rule change, the 

Commission has considered the proposed rule’s 

impact on efficiency, competition, and capital 

formation. See 15 U.S.C. 78c(f). 

6 15 U.S.C. 78f(b)(5). 

7 15 U.S.C. 78s(b)(2). 

8 17 CFR 200.30–3(a)(12). 

1 15 U.S.C. 78s(b)(7). 

2 7 U.S.C. 7a–2(c). 

3See Securities Exchange Act Release No. 62139 

(May 19, 2010) 75 FR 29597 (May 26, 2010) (order 

approving proposal to list and trade GVZ options 

on CBOE). 

4 74 FR 61380 (November 24, 2009). See also CFE 

Policy and Procedure VIII E. (Eligibility for Listing 

Security Futures on Securities Approved for 

Options Trading). 

(‘‘Program’’) from between $50 and $75 

to between $50 and $100, provided the 

$2.50 strike price intervals are no more 

than $10 from the closing price of the 

underlying stock in the primary market. 

The Exchange also proposed to increase 

the number of option classes on 

individual stocks, from 46 to 60, that it 

may select for the Program.4

In support of its proposal, Phlx stated 

that $2.50 strike intervals above $75 

would afford investors the ability to 

more closely tailor investment strategies 

to the precise movement of the 

underlying security. The Exchange also 

stated that the number of option classes 

in the Program has not expanded since 

1998, although increasingly more 

companies have completed initial 

public offerings since 1998 and 

significantly more options classes are 

trading now as compared to 1998. The 

Exchange stated that the increase would 

allow it to accommodate investor 

requests for $2.50 strikes in additional 

options classes. 

Finally, Phlx stated that it analyzed 

its capacity, and represented that the 

Exchange and the Options Price 

Reporting Authority have the necessary 

systems capacity to handle the potential 

additional traffic that would result from 

expanding the Program. 

III. Discussion 

The Commission finds that the 

proposed rule change is consistent with 

the requirements of the Act and the 

rules and regulations thereunder 

applicable to a national securities 

exchange.5 Specifically, the 

Commission finds that the proposal is 

consistent with Section 6(b)(5) of the 

Act,6 which requires, among other 

things, that the rules of a national 

securities exchange be designed to 

promote just and equitable principles of 

trade, to prevent fraudulent and 

manipulative acts, to remove 

impediments to and perfect the 

mechanism of a free and open market 

and a national market system, and, in 

general, to protect investors and the 

public interest. 

The Commission believes that the 

proposal strikes a reasonable balance 

between the Exchange’s desire to offer a 

wider array of investment opportunities 

and the need to avoid unnecessary 

proliferation of options series and the 

corresponding increase in quotes and 

market fragmentation. The Commission 

expects the Exchange to monitor the 

trading volume associated with the 

additional options series listed as a 

result of this proposal and the effect of 

these additional series on market 

fragmentation and on the capacity of the 

Exchange’s, OPRA’s, and vendors’ 

automated systems. 

In addition, the Commission notes 

that Phlx has represented that it believes 

the Exchange and the Options Price 

Reporting Authority have the necessary 

systems capacity to handle the 

additional traffic associated with the 

newly permitted listings. 

IV. Conclusion 

It is therefore ordered, pursuant to 

Section 19(b)(2) of the Act,7 that the 

proposed rule change (SR–Phlx–2011– 

15) be, and it hereby is, approved. 

For the Commission, by the Division of 

Trading and Markets, pursuant to delegated 

authority.8

Cathy H. Ahn, 

Deputy Secretary. 

[FR Doc. 2011–8054 Filed 4–4–11; 8:45 am] 

BILLING CODE 8011–01–P 

SECURITIES AND EXCHANGE 

COMMISSION 

[Release No. 34–64153; File No. SR–CFE– 

2011–002] 

Self-Regulatory Organizations; CBOE 

Futures Exchange, LLC; Notice of 

Filing and Immediate Effectiveness of 

a Proposed Rule Change Relating to 

Listing and Trading CBOE Gold ETF 

Volatility Index Security Futures 

March 30, 2011. 

Pursuant to Section 19(b)(7) of the 

Securities Exchange Act of 1934 

(‘‘Act’’),1 notice is hereby given that on 

March 18, 2011, CBOE Futures 

Exchange, LLC. (‘‘CFE’’ or ‘‘Exchange’’) 

filed with the Securities and Exchange 

Commission (‘‘SEC’’ or ‘‘Commission’’) 

the proposed rule change described in 

Items I, II, and III below, which Items 

have been prepared by CFE. The 

Commission is publishing this notice to 

solicit comments on the proposed rule 

change from interested persons. CFE 

also filed this proposed rule change 

concurrently with the Commodity 

Futures Trading Commission (‘‘CFTC’’). 

CFE filed a written certification with the 

CFTC under Section 5c(c) of the 

Commodity Exchange Act (‘‘CEA’’) 2 on 

March 18, 2011. 

I. Self-Regulatory Organization’s 

Description of the Proposed Rule 

Change 

The Exchange proposes to amend its 

rules to permit the Exchange to list and 

trade the Gold ETF Volatility Index 

(‘‘GVZ’’) security futures contract. The 

text of the proposed rule change is 

available on the Exchange’s Web site at 

http://www.cfe.cboe.com, on the 

Commission’s Web site at http:// 

www.sec.gov, 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, CFE 

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 these statements 

may be examined at the places specified 

in Item IV below. CFE 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 permit the Exchange to list 

and trade security futures on the CBOE 

Gold ETF Volatility Index (‘‘GVZ’’ or 

‘‘GVZ Index’’). Chicago Board Options 

Exchange, Incorporated (‘‘CBOE’’) 

received approval from the SEC to list 

and trade GVZ options.3 Consistent with 

the Joint Order issued by the SEC and 

the CFTC dated November 19, 2009 

(Securities Exchange Act Release No. 

61027) (‘‘Joint Order’’),4 the GVZ Index 

may underlie a security futures contract 

since the GVZ Index is eligible to 

underlie options traded on a national 

securities exchange. 

Index Design and Calculation 

The calculation of GVZ is based on 

the VIX methodology applied to options 

on the SPDR Gold Trust (‘‘GLD’’). The 


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Federal Register / Vol. 76, No. 65 / Tuesday, April 5, 2011 / Notices 18819 

5CBOE maintains a micro-site for GVZ options at: 

http://www.cboe.com/gvz. 

6CFE notes that the proposed 5,000/3,000 

position limit levels are equivalent to those 

established for security options trading on the GVZ 

Index (50,000/30,000) when scaled to reflect the 

larger size of the futures contract in relation to the 

options contract. See Securities Exchange Release 

No. 62139 (May 19, 2010), 75 FR 29597 (May 26, 

2010) (SEC order approving listing and trading of 

GVZ options, including GVZ option position 

limits). See also chart to CBOE Rule 24.4(a). 

Similarly, the proposed 1,350 position limit level 

complies with the provisions of § 41.25(a)(i) of the 

regulations promulgated by the CFTC under the 

CEA. This provision requires the Exchange to adopt 

a net position limit of no greater than 13,500 (100- 

share) contracts applicable to positions held during 

the last five days of trading of an expiring contract 

month, and the proposed 1,350 position limit is 

equivalent to this level when scaled to reflect the 

$1,000 contract multiplier for GVZ futures. 

index was introduced by CBOE on 

August 1, 2008 and has been 

disseminated in real-time on every 

trading day since that time.5 GVZ is an 

up-to-the-minute market estimate of the 

expected volatility of GLD calculated by 

using real-time bid/ask quotes of GLD 

options listed on Chicago Board Options 

Exchange, Incorporated. GVZ uses 

nearby and second nearby options with 

at least 8 days left to expiration and 

then weights them to yield a constant, 

30-day measure of the expected 

(implied) volatility. 

For each contract month, CBOE will 

determine the at-the-money strike price. 

The Exchange will then select the atthe-money and out-of-the money series 

with non-zero bid prices and determine 

the midpoint of the bid-ask quote for 

each of these series. The midpoint quote 

of each series is then weighted so that 

the further away that series is from the 

at-the-money strike, the less weight that 

is accorded to the quote. Then, to 

compute the index level, CBOE will 

calculate a volatility measure for the 

nearby options and then for the second 

nearby options. This is done using the 

weighted mid-point of the prevailing 

bid-ask quotes for all included option 

series with the same expiration date. 

These volatility measures are then 

interpolated to arrive at a single, 

constant 30-day measure of volatility. 

CBOE will compute values for the 

GVZ Index underlying security futures 

on a real-time basis throughout each 

trading day, from 8:30 a.m. until 3 p.m. 

(CT). GVZ Index levels will be 

calculated by CBOE and disseminated at 

15-second intervals to major market data 

vendors. 

Security Futures Trading 

The contract multiplier for each GVZ 

futures contract will be $1,000.00. For 

example, a contract size of one GVZ 

futures contract would be $18,950 if the 

GVZ Index level were 18.95 (18.95 x 

$1,000.00). The Exchange may list for 

trading up to nine near-term serial 

months and up to five additional 

months on the February quarterly cycle 

for the GVZ futures contract. The 

minimum fluctuation of the GVZ futures 

contract will be 0.05 index points, 

which has a value of $50.00, except that 

the individual legs and net prices of 

spread trades in the GVZ futures 

contract may be in increments of 0.01 

index points, which has a value of 

$10.00. The trading days for GVZ 

futures contracts shall be the same 

trading days of GLD options, as those 

days are determined by CBOE. The 

trading hours for GVZ contracts will be 

from 8:30 a.m. Chicago time to 3 p.m. 

Exhibit 3 presents contract 

specifications for GVZ futures. 

Position Limits 

The generic formula that is used to 

calculate position limit levels for cash 

settled Narrow-Based Stock Index 

Futures set forth in CFE Rule 1901(e) 

shall not apply to GVZ futures because 

that formula is premised upon an index 

that is comprised of stocks. As 

discussed above, the index components 

of GVZ are GLD options listed on CBOE. 

Accordingly, the Exchange is proposing 

to establish position limit levels for GVZ 

security futures at levels comparable to 

those previously established and 

approved for GVZ options trading by the 

SEC. Because GVZ futures will have 

different position limits than under the 

generic formula for cash settled NarrowBased Stock Index Futures and for ease 

of reference of the provisions applicable 

to GVZ futures by CFE market 

participants, CFE proposes to have a 

separate contract specification rule 

chapter for GVZ futures in CFE Rule 

Chapter 16. 

Specifically, GVZ futures will be 

subject to position limits under CFE 

Rule 412 (Position Limits). A person 

may not own or control: (1) More than 

5,000 contracts net long or net short in 

all GVZ futures contracts combined; (2) 

more than 3,000 contracts net long or 

net short in the expiring GVZ futures 

contract month; and (3) more than 1,350 

contracts net long or net short in the 

expiring GVZ futures contract held 

during the last five (5) trading days for 

the expiring GVZ futures contract 

month.6 For the purposes of this rule, 

the positions of all accounts directly or 

indirectly owned or controlled by a 

person or persons, and the positions of 

all accounts of a person or persons 

acting pursuant to an expressed or 

implied agreement or understanding 

shall be cumulated. The proposed GVZ 

position limits shall not apply to 

positions that are subject to a position 

limit exemption meeting the 

requirements of CFTC Regulations and 

CFE Rules. The minimum reportable 

level for GVZ futures will be 200 

contracts. 

Exercise and Settlement 

The final settlement date for a GVZ 

futures contract shall be on the third 

Friday of the expiring futures contract 

month. If the third Friday of the 

expiring month is a CBOE holiday, the 

final settlement date for the expiring 

contract shall be the CBOE business day 

immediately preceding the third Friday. 

Trading on the GVZ futures contract 

will terminate on the business day 

immediately preceding the final 

settlement date of the GVZ futures 

contract for the relevant spot month. 

When the last trading day is moved 

because of a CFE holiday, the last 

trading day for an expiring GVZ futures 

contract will be the day immediately 

preceding the last regularly-scheduled 

trading day. 

The final-settlement value for GVZ 

futures shall be a Special Opening 

Quotation (‘‘SOQ’’) of the GVZ Index 

calculated from the sequence of opening 

prices of a single strip of GLD options 

expiring 30 days after the settlement 

date. The opening price for any series in 

which there is no trade shall be the 

average of that option’s bid price and 

ask price as determined at the opening 

of trading. Exercise will result in 

delivery of cash on the business day 

following expiration. The final 

settlement value will be rounded to the 

nearest $0.01. 

Settlement of GVZ futures contracts 

will result in the delivery of a cash 

settlement amount on the business day 

immediately following the final 

settlement date. The cash settlement 

amount on the final settlement date 

shall be the final mark to market amount 

against the final settlement price of the 

GVZ futures contract multiplied by 

$1,000.00. 

If the final settlement value is not 

available or the normal settlement 

procedure cannot be utilized due to a 

trading disruption or other unusual 

circumstance, the final settlement value 

will be determined in accordance with 

the rules and bylaws of The Options 

Clearing Corporation (‘‘OCC’’’). 

Eligibility and Maintenance Criteria for 

GVZ Futures 

Pursuant to Exchange Policy and 

Procedure VIII E. (Eligibility for Listing 

Security Futures on Securities 

Approved for Options Trading), the 

Exchange may list securities futures on 

GVZ because GVZ is eligible to underlie 


srobinson on DSKHWCL6B1PROD with NOTICES
18820 Federal Register / Vol. 76, No. 65 / Tuesday, April 5, 2011 / Notices 

7CFE Rule 415 sets forth the conditions that must 

be met if Block Trades are permitted by the rules 

governing a contract. 

8CFE Rule 414 sets forth the conditions that must 

be met if ECRP transactions are permitted by the 

rules governing a contract. 

9 15 U.S.C. 78f(b). 

10 15 U.S.C. 78f(b)(5). 

options traded on a national securities 

exchange. GVZ security futures shall 

remain eligible for listing and trading on 

the Exchange so long as GVZ remains 

eligible to underlie options traded on a 

national securities exchange. If at any 

time GVZ no longer remains eligible to 

underlie options traded on a national 

securities exchange, GVZ shall be 

ineligible to underlie security futures 

and the Exchange will not open any 

additional GVZ futures contracts for 

trading until GVZ becomes eligible 

again to underlie options traded on a 

national securities exchange. 

Block Trades 

Block trades in the GVZ futures 

contract will be permitted. Pursuant to 

CFE Rule 415(a)(i), the minimum Block 

Trade quantity for the GVZ futures 

contract will be 200 contracts if there is 

only one leg involved in the trade.7 If 

the Block Trade is executed as a spread 

order, one leg must meet the minimum 

Block Trade quantity for the GVZ 

futures contract and the other leg(s) 

must have a contract size that is 

reasonably related to the leg meeting the 

minimum Block Trade quantity. If the 

Block Trade is executed as a transaction 

with legs in multiple contract months 

and all legs of the Block Trade are 

exclusively for the purchase or 

exclusively for the sale of GVZ futures 

contracts (a ‘‘strip’’), the minimum Block 

Trade quantity for the strip will be 300 

contracts and each leg of the strip will 

be required to have a minimum size of 

100 contracts. The minimum price 

increment for a Block Trade in the GVZ 

futures contract will be 0.01 index 

points. 

No natural person associated with a 

Trading Privilege Holder or Authorized 

Trader that has knowledge of a pending 

Block Trade of such Trading Privilege 

Holder or Authorized Trader, or a 

Customer thereof in the GVZ future on 

the Exchange, may enter an Order or 

execute a transaction, whether for his or 

her own account or, if applicable, for 

the account of a Customer over which 

he or she has control, for or in the GVZ 

Future to which such Block Trade 

relates until after (i) such Block Trade 

has been reported to and published by 

the Exchange and (ii) any additional 

time period from time to time 

prescribed by the Exchange in its block 

trading procedures or contract 

specifications has expired. 

Exchange of Contract for Related 

Position Transactions 

Exchange of Contract for Related 

Position (‘‘ECRP’’) transactions, as set 

forth in CFE Rule 414, in the GVZ 

futures contract will be permitted. Any 

Exchange of Contract for Related 

Position transaction must satisfy the 

requirements of Rule 414.8 The 

minimum price increment for an ECRP 

involving the GVZ futures contract will 

be 0.01 index points. 

Margin 

The customer margin requirements for 

GVZ futures will be governed by CFE 

Rule 517 (Customer Margin 

Requirements for Contracts That Are 

Security Futures). 

2. Statutory Basis 

The Exchange believes that the 

proposed rule change is consistent with 

Section 6(b) 9 of the Securities Exchange 

Act (the ‘‘Act’’), in general, and furthers 

the objectives of Section 6(b)(5) 10 in 

particular in that it is designed to 

prevent fraudulent and manipulative 

acts and practices, to promote just and 

equitable principles of trade, to foster 

cooperation and coordination with 

persons engaged in facilitating 

transactions in securities, and to remove 

impediments to and perfect the 

mechanism of a free and open market 

and a national market system, and 

thereby will provide investors with the 

ability to use security futures to gain 

exposure to or hedge risk associated 

with GLD volatility. 

B. Self-Regulatory Organization’s 

Statement on Burden on Competition 

CFE 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 has become 

effective on March 25, 2011. 

At any time within 60 days of the date 

of effectiveness of the proposed rule 

change, the Commission, after 

consultation with the CFTC, may 

summarily abrogate the proposed rule 

change and require that the proposed 

rule change be refiled in accordance 

with the provisions of Section 19(b)(1) 

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 (http://www.sec.gov/ 

rules/sro.shtml); or 

• Send an e-mail to rulecomments@sec.gov. Please include File 

Number SR–CFE–2011–002 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–CFE–2011–002. This file 

number should be included on the 

subject line if e-mail 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 (http://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–CFE– 


srobinson on DSKHWCL6B1PROD with NOTICES
Federal Register / Vol. 76, No. 65 / Tuesday, April 5, 2011 / Notices 18821 

11 17 CFR 200.30–3(a)(12). 

2011–002 and should be submitted on 

or before April 25, 2011. 

For the Commission, by the Division of 

Trading and Markets, pursuant to delegated 

authority.11

Cathy H. Ahn, 

Deputy Secretary. 

[FR Doc. 2011–7981 Filed 4–4–11; 8:45 am] 

BILLING CODE 8011–01–P 

SMALL BUSINESS ADMINISTRATION 

Reporting and Recordkeeping 

Requirements Under OMB Review 

AGENCY: Small Business Administration. 

ACTION: Notice of reporting requirements 

submitted for OMB review. 

SUMMARY: Under the provisions of the 

Paperwork Reduction Act (44 U.S.C. 

Chapter 35), agencies are required to 

submit proposed reporting and 

recordkeeping requirements to OMB for 

review and approval, and to publish a 

notice in the Federal Register notifying 

the public that the agency has made 

such a submission. 

DATES: Submit comments on or before 

May 5, 2011. If you intend to comment 

but cannot prepare comments promptly, 

please advise the OMB Reviewer and 

the Agency Clearance Officer before the 

deadline. 

Copies: Request for clearance (OMB 

83–1), supporting statement, and other 

documents submitted to OMB for 

review may be obtained from the 

Agency Clearance Officer. 

ADDRESSES: Address all comments 

concerning this notice to: Agency 

Clearance Officer, Jacqueline White, 

Small Business Administration, 409 3rd 

Street, SW., 5th Floor, Washington, DC 

20416; and OMB Reviewer, Office of 

Information and Regulatory Affairs, 

Office of Management and Budget, New 

Executive Office Building, Washington, 

DC 20503. 

FOR FURTHER INFORMATION CONTACT: 

Jacqueline White, Agency Clearance 

Officer, (202) 205–7044. 

SUPPLEMENTARY INFORMATION: 

Title: Guaranteed Disaster Assistance 

Program Payment Reporting. 

Frequency: On Occasion. 

SBA Form Number: N/A. 

Description of Respondents: Small 

Businesses that have experienced a 

physical or economic disaster in a 

federally declared disaster. 

Responses: 5,580. 

Annual Burden: 467. 

Title: Immediate Disaster Assistance 

Loan Program Application and 

Eligibility Data. 

Frequency: On Occasion. 

SBA Form Numbers: 2410, 2411, 

2412. 

Description of Respondents: Small 

Businesses that have experienced a 

physical or economic disaster in a 

federally declared disaster. 

Responses: 984. 

Annual Burden: 543. 

Jacqueline White, 

Chief, Administrative Information Branch. 

[FR Doc. 2011–8092 Filed 4–4–11; 8:45 am] 

BILLING CODE 8025–01–P 

SMALL BUSINESS ADMINISTRATION 

[License No. 05/05–0293] 

Convergent Capital Partners II, L.P.; 

Notice Seeking Exemption Under 

Section 312 of the Small Business 

Investment Act, Conflicts of Interest 

Notice is hereby given that 

Convergent Capital Partners II, L.P., 505 

North Highway 169, Suite 245, 

Minneapolis, MN 55441, a Federal 

Licensee under the Small Business 

Investment Act of 1958, as amended 

(‘‘the Act’’), in connection with the 

financing of a small concern, has sought 

an exemption under Section 312 of the 

Act and Section 107.730, Financings 

which Constitute Conflicts of Interest of 

the Small Business Administration 

(‘‘SBA’’) Rules and Regulations (13 CFR 

107). Convergent Capital Partners II, 

L.P., proposes to provide debt financing 

to Key Health Group, Inc., 30699 Russell 

Ranch Road #170, Westlake Village, CA 

91362–7315. The financing is 

contemplated to provide capital that 

contributes to the growth and overall 

sound financing of the Key Health 

Group, Inc. 

The financing is brought within the 

purview of § 107.730(a)(1) and 

§ 107.730(a)(4) of the Regulations 

because Convergent Capital Partners II, 

L.P.’s financing will discharge an 

obligation owed to Convergent Capital 

Partners I, L.P., which is considered an 

Associate and because Convergent 

Capital Partners I, L.P., has a potential 

equity interest in Key Health Group, Inc. 

of greater than ten percent. 

Notice is hereby given that any 

interested person may submit written 

comments on the transaction to the 

Associate Administrator for Investment 

and Innovation, U.S. Small Business 

Administration, 409 Third Street, SW., 

Washington, DC 20416. 

Sean J. Greene, 

Associate Administrator for Investment. 

[FR Doc. 2011–8091 Filed 4–4–11; 8:45 am] 

BILLING CODE 8025–01–P 

SMALL BUSINESS ADMINISTRATION 

Interest Rates 

The Small Business Administration 

publishes an interest rate called the 

optional ‘‘peg’’ rate (13 CFR 120.214) on 

a quarterly basis. This rate is a weighted 

average cost of money to the 

government for maturities similar to the 

average SBA direct loan. This rate may 

be used as a base rate for guaranteed 

fluctuating interest rate SBA loans. This 

rate will be 3.750 (33⁄4) percent for the 

April–June quarter of FY 2011. 

Pursuant to 13 CFR 120.921(b), the 

maximum legal interest rate for any 

third party lender’s commercial loan 

which funds any portion of the cost of 

a 504 project (see 13 CFR 120.801) shall 

be 6% over the New York Prime rate or, 

if that exceeds the maximum interest 

rate permitted by the constitution or 

laws of a given State, the maximum 

interest rate will be the rate permitted 

by the constitution or laws of the given 

State. 

Walter C. Intlekofer, 

Acting Director, Office of Financial 

Assistance. 

[FR Doc. 2011–8093 Filed 4–4–11; 8:45 am] 

BILLING CODE P 

DEPARTMENT OF STATE 

[Public Notice 7408] 

Persons and Entities on Whom 

Sanctions Have Been Imposed Under 

the Iran Sanctions Act of 1996 

AGENCY: Department of State. 

ACTION: Notice. 

SUMMARY: The Secretary of State has 

determined that Belarusneft has engaged 

in a sanctionable investment described 

in section 5(a)(1) of the Iran Sanctions 

Act of 1996 (ISA) (50 U.S.C. 1701 note) 

and that certain sanctions should be 

imposed as a result. 

DATES: Effective April 5, 2011. 

FOR FURTHER INFORMATION CONTACT: On 

general issues: Brian Breuhaus, Office of 

Terrorism Finance and Economic 

Sanctions Policy, Department of State, 

Telephone: (202) 647–5763. For U.S. 

Government procurement ban issues: 

Kimberly Triplett, Office of the 

Procurement Executive, Department of 

State, Telephone: (703) 875–4079. 

SUPPLEMENTARY INFORMATION: Pursuant 

to the authority delegated to the 

Secretary of State in the Presidential 

Memorandum of November 21, 1996, 61 

FR 64249 (the ‘‘Delegation 

Memorandum’’), the Secretary has 

determined that Belarusneft has engaged 


srobinson on DSKHWCL6B1PROD with NOTICES