Federal Register / Vol. 69, No. 25 / Friday, February 6, 2004 / Notices 5885

18Similarly, the Exchange’s current fee schedule 

reflects that ETP fees are discounted for multiple 

memberships. The fee respecting ETPs is $3,500 per 

month per ETP (‘‘Regular ETP’’), however a Regular 

ETP 3-Seat Fee of $1,350 per month per ETP is 

charged for Regular ETP holders and ETP 

organizations in lieu of the Regular ETP Fee if the 

ETP organization has at all times at least three 

associated persons who are members of the 

Exchange by virtue of a membership, whether 

owned or leased. See Securities Exchange Act 

Release No. 45480 (February 26, 2002), 67 FR 10029 

(March 5, 2002) (SR–Phlx–2002–10).

19This is similar to the current Off-Floor ETP fee 

of $500 per month per ETP, which is charged to OffFloor ETP holders, while Regular ETPs are $3,500 

per month per ETP, the Regular ETP 3-Seat Fee is 

$1,350 per month per ETP and the Regular ETP RS 

Fee is $1,000 per month per ETP. See Securities 

Exchange Act Release Nos. 45480 (February 26, 

2002), 67 FR 10029 (March 5, 2002) (SR–Phlx–

2002–10) and 48925 (December 15, 2003), 68 FR 

70855 (December 19, 2003) (SR–Phlx–2003–78).

20 Id.

21 In terms of membership-type fees, currently, 

FCOPs who do not hold legal title to a Phlx 

membership are assessed a technology fee of $150 

monthly in lieu of the $950 monthly technology fee. 

In addition, they are assessed a Foreign Currency 

User fee of $166.67 and a FCOP fee of $166.67 per 

month. Of course, as stated above, other nonmembership fees, such as transaction fees, may 

apply to FCOPs.

22FCOPs may, of course, determine to dispose of 

their FCOP and apply for a permit instead.

23 15 U.S.C. 78(s)(b)(3)(A)(ii).

24 17 CFR 240.19b–4(f)(2).

25 17 CFR 200.30–3(a)(12).

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

2 17 CFR 240.19b–4.

3See letter from Angela Saccomandi Dunn, 

Counsel, Phlx to Nancy J. Sanow, Assistant 

Director, Division of Market Regulation 

(‘‘Division’’), Commission, dated January 23, 2004. 

(‘‘Amendment No. 1’’). Amendment No. 1 replaced 

and superceded the original proposed rule change 

in its entirety.

4See letter from Angela Saccomandi Dunn, 

Counsel, Phlx to Nancy J. Sanow, Assistant 

Director, Division of Market Regulation 

(‘‘Division’’), Commission, dated January 29, 2004. 

(‘‘Amendment No. 2’’). Amendment No. 2 replaced 

and superceded Amendment No. 1 in its entirety.

plus approximately $167 for 

membership dues). Moreover, the 

Exchange believes that charging $200 

more for the first permit in each member 

organization is reasonable and 

equitable, in light of the administration 

of a member organization’s registration; 

the first ‘‘membership’’ or permit 

qualifies a member organization, which 

requires certain registration, filing and 

processing by the Exchange.18 The 

Exchange believes that the $200–$300 

monthly fee for order flow providers 

should attract order flow providers as 

well as reflect their limited, order entry 

access.19 Order flow providers will not 

take up space and resources on the Phlx 

trading floor or use floor services to the 

same extent as Phlx floor-based 

members. The Exchange believes that 

this proposal to impose permit fees 

depending on how a permit is used is 

both reasonable and equitable, similar to 

its current ETP structure.20 The 

Exchange also believes that the 

proposed increased Foreign Currency 

User Fee is reasonable and equitable 

because, although the fee will increase 

substantially from current membership 

fees for FCOPs who do not also hold 

legal title to a Phlx membership,21 it 

will be more closely aligned with permit 

fees, such that access to Phlx products 

will be similarly priced.22

B. Self-Regulatory Organization’s 

Statement on Burden on Competition 

The Exchange does not believe that 

the proposed rule change will impose 

any inappropriate burden on 

competition. 

C. Self-Regulatory Organization’s 

Statement on Comments on the 

Proposed Rule Change Received From 

Members, Participants, or Others 

The Phlx neither solicited nor 

received written comments on this 

proposal. 

III. Date of Effectiveness of the 

Proposed Rule Change and Timing for 

Commission Action 

The foregoing proposed rule change 

has been designated as a fee change 

pursuant to section 19(b)(3)(A)(ii) of the 

Act 23 and Rule 19b–4(f)(2) 

thereunder.24 Accordingly, the proposal 

has taken effect upon filing with the 

Commission. At any time within 60 

days after the filing of the proposed rule 

change, the Commission may summarily 

abrogate the 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, as amended, is consistent with 

the Act. Persons making written 

submissions should file six copies 

thereof with the Secretary, Securities 

and Exchange Commission, 450 Fifth 

Street NW., Washington, DC 20549–

0609. Comments may also be submitted 

electronically at the following e-mail 

address: rule-comments@sec.gov. All 

comment letters should refer to File No. 

SR–Phlx–2004–02. 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, comments 

should be sent in hardcopy or by e-mail 

but not by both methods. 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 inspection and copying in 

the Commission’s Public Reference 

Room. Copies of such filing will also be 

available for inspection and copying at 

the principal office of the Phlx. All 

submissions should refer to File No. 

SR–Phlx–2004–02, and should be 

submitted by February 27, 2004.

For the Commission, by the Division of 

Market Regulation, pursuant to delegated 

authority.25

Margaret H. McFarland, 

Deputy Secretary.

[FR Doc. 04–2552 Filed 2–5–04; 8:45 am] 

BILLING CODE 8010–01–P

SECURITIES AND EXCHANGE 

COMMISSION 

[Release No. 34–49163; File No. SR–Phlx–

2003–89] 

Self-Regulatory Organizations; Notice 

of Filing and Order Granting 

Accelerated Approval of Proposed 

Rule Change and Amendments No. 1 

and 2 Thereto by the Philadelphia 

Stock Exchange, Inc. Relating to the 

Extension of a Linkage Fee Pilot 

Program 

January 30, 2004. 

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 December 

31, 2003, the Philadelphia Stock 

Exchange, Inc. (‘‘Exchange’’ or ‘‘Phlx’’) 

filed with the Securities and Exchange 

Commission (‘‘Commission’’) the 

proposed rule change as described in 

Items I and II below, which Items have 

been prepared by the Exchange. On 

January 26, 2004, the Exchange 

submitted Amendment No. 1 to the 

proposed rule change.3 On January 29, 

2004, the Exchange submitted 

Amendment No. 2 to the proposed rule 

change.4 The Commission is publishing 

this notice to solicit comments on the 

proposed rule change, as amended, from 

interested persons and is approving the 

proposed rule change, as amended, on 

an accelerated basis.

5886 Federal Register / Vol. 69, No. 25 / Friday, February 6, 2004 / Notices 

5See infra note 8.

6See Securities Exchange Act Release Nos. 43086 

(July 28, 2000), 65 FR 48023 (August 4, 2000) (order 

approving the Plan submitted by American Stock 

Exchange LLC, Chicago Board Options Exchange, 

Inc. and International Securities Exchange, Inc.); 

and 43573 (November 16, 2000), 65 FR 70851 

(November 28, 2000) (order approving Phlx as 

participant in the Plan).

7Eligible Market Maker is defined, with respect 

to an Eligible Options Class, as a Market Maker that: 

(a) Is assigned to, and is providing two-sided 

quotations in, the Eligible Option Class; 

(b) is participating in its market’s automatic 

execution system in such Eligible Option Class; and 

(c) is not prohibited from sending Principal 

Orders in such Eligible Option Class through the 

Linkage pursuant to Section 8(b)(iii) of the Plan. 

See Section 2(7) of the Plan.

8Under the Plan and Exchange Rule 1083(k), 

which tracks the language of the Plan, a ‘‘Linkage 

Order’’ means an Immediate or Cancel order routed 

through the Linkage as permitted under the Plan. 

There are three types of Linkage Orders: 

(i) ‘‘Principal Acting as Agent (‘‘P/A’’) Order,’’

which is an order for the principal account of a 

specialist (or equivalent entity on another 

Participant Exchange that is authorized to represent 

Public Customer orders), reflecting the terms of a 

related unexecuted Public Customer order for 

which the specialist is acting as agent; 

(ii) ‘‘Principal (‘‘P’’) Order,’’ which is an order for 

the principal account of an Eligible Market Maker 

and is not a P/A Order; and 

(iii) ‘‘Satisfaction Order,’’ which is an order sent 

through the Linkage to notify a member of another 

Participant Exchange of a Trade-Through and to 

seek satisfaction of the liability arising from that 

Trade-Through.

9See Securities Exchange Act Release No. 47953 

(May 30, 2003), 68 FR 34027 (June 6, 2003) (SRPhlx-2003–16).

10Currently, for non-Linkage off-floor brokerdealer orders sent via the Philadelphia Stock 

Exchange Automated Options Market (‘‘AUTOM’’), 

which is the Exchange’s electronic order delivery, 

routing, execution and reporting system, the 

Exchange charges $.45 per contract for trades 

executed by AUTO–X, the automatic execution 

feature of AUTOM, and $.35 per contract up to 

2,000 contracts, $.25 per contract for 2,001 to 3,000 

contracts, and $.20 per contract above 3,000 

contracts (with the first 3,000 contracts charged 

$.25 per contract) to the sending off-floor brokerdealer for non–AUTO–X trades.

11 15 U.S.C. 78f(b).

12 15 U.S.C. 78f(b)(4).

13 In approving this rule, the Commission notes 

that it has considered its impact on efficiency, 

competition, and capital formation. 15 U.S.C. 78c(f).

14 15 U.S.C. 78f(b).

15 15 U.S.C. 78f(b)(4).

I. Self-Regulatory Organization’s 

Statement of the Terms of Substance of 

the Proposed Rule Change 

The Phlx proposes to extend the 

Exchange’s current one-year pilot 

program until July 31, 2004, in order to 

continue to impose its current schedule 

of dues, fees and charges applicable to 

execution of Principal Orders (‘‘P 

Orders’’)5 sent via the Intermarket 

Options Linkage (the ‘‘Linkage’’) under 

the Plan for the Purpose of Creating and 

Operating an Options Intermarket 

Linkage (the ‘‘Plan’’).6

The proposed fee schedule is 

available at the Exchange and at the 

Commission.

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 

Phlx 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 III below. The Exchange 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 the proposed rule 

change is to extend the Exchange’s 

current pilot program until July 31, 

2004, so that the Phlx may continue to 

impose the transaction charges to 

Eligible Market Makers 7 who send 

inbound P Orders to the Exchange 

pursuant to the Plan.8 The Commission 

previously approved such charges, on a 

pilot basis, scheduled to expire on 

January 31, 2004.9

The fee schedule is intended to 

provide that execution of inbound P 

Orders routed through Linkage would 

be subject to the same fees as nonLinkage broker-dealer orders that are not 

subject to automatic execution 

(‘‘AUTO–X’’).10 The Exchange will not 

assess any charges for P/A Orders and 

Satisfaction Orders.

2. Statutory Basis 

The Exchange believes that its 

proposal to amend its schedule of dues, 

fees and charges is consistent with 

Section 6(b) of the Act 11 in general, and 

furthers the objectives of Section 6(b)(4) 

of the Act 12 in particular, in that it is 

an equitable allocation of reasonable 

dues, fees, and other charges among 

Eligible Market Makers who submit P 

Orders to the Exchange through the 

Linkage.

B. Self-Regulatory Organization’s 

Statement on Burden on Competition 

The Exchange does not believe that 

the proposed rule change will impose 

any inappropriate burden on 

competition. 

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. Solicitation of Comments 

Interested persons are invited to 

submit written data, views and 

arguments concerning the foregoing, 

including whether the proposed rule 

change, as amended, is consistent with 

the Act. Persons making written 

submissions should file six copies 

thereof with the Secretary, Securities 

and Exchange Commission, 450 Fifth 

Street, NW., Washington, DC 20549–

0609. Comments may also be submitted 

electronically at the following e-mail 

address: rule-comments@sec.gov. All 

comment letters should refer to File No. 

SR–Phlx–2003–89. 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, comments 

should be sent in hardcopy or by e-mail 

but not by both methods. 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 inspection and copying in 

the Commission’s Public Reference 

Room. Copies of such filing will also be 

available for inspection and copying at 

the principal office of the Exchange. All 

submissions should be submitted by 

February 27, 2004. 

IV. Commission’s Findings and Order 

Granting Accelerated Approval of 

Proposed Rule Change 

After careful consideration, the 

Commission finds that the proposed 

rule change, as amended, is consistent 

with the requirements of the Act and the 

rules and regulations thereunder, 

applicable to a national securities 

exchange,13 and, in particular, with the 

requirements of Section 6(b) of the 

Act 14 and the rules and regulations 

thereunder. The Commission finds that 

the proposed rule change, as amended, 

is consistent with Section 6(b)(4) of the 

Act,15 which requires that the rules of 

the Exchange provide for the equitable 

allocation of reasonable dues, fees, and 

other charges among its members and 

other persons using its facilities. The 

Commission believes that the extension 

of the Phlx’s Linkage fee pilot until July 

Federal Register / Vol. 69, No. 25 / Friday, February 6, 2004 / Notices 5887

16 15 U.S.C. 78s(b)(2).

17 Id.

18 17 CFR 200.30–3(a)(12).

31, 2004 will give the Exchange and the 

Commission further opportunity to 

evaluate whether such fees are 

appropriate.

The Commission finds good cause, 

pursuant to Section 19(b)(2) of the 

Act,16 for approving the proposed rule 

change prior to the thirtieth day after 

the date of publication of the notice of 

the filing thereof in the Federal 

Register. The Commission believes that 

granting accelerated approval will 

preserve the Exchange’s existing pilot 

program for Linkage fees without 

interruption as the Phlx and the 

Commission further consider the 

appropriateness of Linkage fees.

V. Conclusion 

It is therefore ordered, pursuant to 

Section 19(b)(2) of the Act,17 that the 

proposed rule change, as amended, (SR–

Phlx–2003–89) is hereby approved on 

an accelerated basis for a pilot period to 

expire on July 31, 2004.

For the Commission, by the Division of 

Market Regulation, pursuant to delegated 

authority.18

Margaret H. McFarland, 

Deputy Secretary.

[FR Doc. 04–2553 Filed 2–5–04; 8:45 am] 

BILLING CODE 8010–01–P

DEPARTMENT OF STATE

[Public Notice 4616] 

Culturally Significant Objects Imported 

for Exhibition; Determinations: ‘‘The 

Drawings of Jim Dine’’

AGENCY: Department of State.

ACTION: Notice.

SUMMARY: Notice is hereby given of the 

following determinations: pursuant to 

the authority vested in me by the Act of 

October 19, 1965 (79 Stat. 985; 22 U.S.C. 

2459), Executive Order 12047 of March 

27, 1978, the Foreign Affairs Reform and 

Restructuring Act of 1998 (112 Stat. 

2681, et seq.; 22 U.S.C. 6501 note, et 

seq.), Delegation of Authority No. 234 of 

October 1, 1999, Delegation of Authority 

No. 236 of October 19, 1999, as 

amended, and Delegation of Authority 

No. 257 of April 15, 2003 (68 FR 19875), 

I hereby determine that the objects to be 

included in the exhibition ‘‘The 

Drawings of Jim Dine,’’ imported from 

abroad for temporary exhibition within 

the United States, are of cultural 

significance. The objects are imported 

pursuant to loan agreements with the 

foreign owners. I also determine that the 

exhibition or display of the exhibit 

objects at the National Gallery of Art, 

Washington, DC, from on or about 

March 21, 2004, to on or about August 

1, 2004, and at possible additional 

venues yet to be determined, is in the 

national interest. Public notice of these 

determinations is ordered to be 

published in the Federal Register.

FOR FURTHER INFORMATION CONTACT: For 

further information, including a list of 

the exhibit objects, contact Julianne 

Simpson, Attorney-Adviser, Office of 

the Legal Adviser, U.S. Department of 

State (telephone: 202/619–6529). The 

address is U.S. Department of State, SA–

44, 301 4th Street, SW., Room 700, 

Washington, DC 20547–0001.

Dated: January 28, 2004. 

C. Miller Crouch, 

Principal Deputy Assistant Secretary for 

Educational and Cultural Affairs, Department 

of State.

[FR Doc. 04–2617 Filed 2–5–04; 8:45 am] 

BILLING CODE 4710–08–P

DEPARTMENT OF STATE

[Public Notice 4617] 

The Department of State on Behalf of 

Millennium Challenge Corporation 

Section 608(a), Pub. L. 108–199 

(Division D) FR 04–02; Notice of 

Countries That are Candidates for 

Millennium Challenge Account 

Eligibility in FY 2004 and of Countries 

That are Not Candidates Because of 

Legal Prohibitions

AGENCY: Millennium Challenge 

Corporation.

SUMMARY: The Millennium Challenge 

Act of 2003 (the ‘‘Act’’) authorizes the 

provision of assistance to countries that 

enter into compacts with the United 

States to support policies and programs 

that advance the prospects of such 

countries achieving lasting economic 

growth and poverty reduction. The Act 

requires the Millennium Challenge 

Corporation to take a number of steps in 

determining the countries that, based on 

their demonstrated commitment to just 

and democratic governance, economic 

freedom and investing in their people, 

will be eligible countries for 

Millennium Challenge Account 

(‘‘MCA’’) assistance during Fiscal Year 

2004. These steps include the 

publication of Notices in the Federal 

Register that identify: 

1. The ‘‘candidate countries’’ for MCA 

assistance (Section 606(a)(1) of the Act); 

2. the eligibility criteria and 

methodology that will be used to choose 

‘‘eligible countries’’ from among the 

‘‘candidate countries’’ (Section 608(b) of 

the Act); and 

3. the countries determined by the 

Board of Directors of the Millennium 

Challenge Corporation to be ‘‘eligible 

countries’’ for Fiscal Year 2004 and 

identify the countries on the list of 

eligible countries with which the Board 

will seek to enter into compacts (Section 

608 (d) of the Act). 

This Notice is the first of the three 

required Notices listed above. 

Candidate Countries 

The Act requires the identification of 

all countries that are candidates to 

receive MCA assistance in FY 2004 and 

the identification of all countries that 

would be candidate countries but for 

legal prohibitions. Section 606(a)(1) of 

the Act provides that, during FY 2004, 

countries shall be candidate countries 

for the MCA if they: 

• are eligible for assistance from the 

International Development Association; 

• have a per capita income equal to 

or less than the historic ceiling of the 

International Development Association 

(or $1415 for FY 2004); 

• and are not subject to legal 

provisions that prohibit them from 

receiving United States economic 

assistance under Part I of the Foreign 

Assistance Act of 1961, as amended. 

Pursuant to Section 606(c) of the Act, 

the Board of Directors of the 

Millennium Challenge Corporation has 

identified the following countries as 

candidate countries under the Act for 

FY 2004:

1. Afghanistan 

2. Albania 

3. Angola 

4. Armenia 

5. Azerbaijan 

6. Bangladesh 

7. Benin 

8. Bhutan 

9. Bolivia 

10. Bosnia and Herzegovina 

11. Burkina Faso 

12. Cameroon 

13. Cape Verde 

14. Chad 

15. Comoros 

16. Congo, Dem. Rep. 

17. Congo, Rep. (Brazzaville) 

18. Djibouti 

19. East Timor 

20. Eritrea 

21. Ethiopia 

22. Gambia 

23. Georgia 

24. Ghana 

25. Guinea 

26. Guyana 

27. Haiti 

28. Honduras 

29. India