76058 Federal Register / Vol. 75, No. 234 / Tuesday, December 7, 2010 / Notices 

20 17 CFR 200.30–3(a)(12). 

1 15 U.S.C. 78k–1. 

2 17 CFR 242.608. 

3The OPRA Plan is a national market system plan 

approved by the Commission pursuant to Section 

11A of the Act and Rule 608 thereunder (formerly 

Rule 11Aa3–2). See Securities Exchange Act 

Release No. 17638 (March 18, 1981), 22 S.E.C. 

Docket 484 (March 31, 1981). The full text of the 

OPRA Plan is available at http:// 

www.opradata.com. 

The OPRA Plan provides for the collection and 

dissemination of last sale and quotation information 

on options that are traded on the participant 

exchanges. The nine participants to the OPRA Plan 

are BATS Exchange, Inc., Chicago Board Options 

Exchange, Incorporated, C2 Options Exchange, 

Incorporated, International Securities Exchange, 

LLC, NASDAQ OMX BX, Inc., NASDAQ OMX 

PHLX, Inc., NASDAQ Stock Market LLC, NYSE 

Amex, Inc., and NYSE Arca, Inc. 

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–NYSEArca–2010–105 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–NYSEArca–2010–105. 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, 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–NYSEArca–2010–105 and 

should be submitted on or before 

December 28, 2010. 

For the Commission, by the Division of 

Trading and Markets, pursuant to delegated 

authority.20

Florence E. Harmon, 

Deputy Secretary. 

[FR Doc. 2010–30574 Filed 12–6–10; 8:45 am] 

BILLING CODE 8011–01–P 

SECURITIES AND EXCHANGE 

COMMISSION 

[Release No. 34–63400; File No. SR–OPRA– 

2010–04) 

Options Price Reporting Authority; 

Notice of Filing and Immediate 

Effectiveness of Proposed Amendment 

To Revise Section 4.04 of the Data 

Recipient Interface Specification and 

Section 4.15 of the Participant 

Interface Specification and Make 

Conforming Changes to Appendix D 

November 30, 2010. 

Pursuant to Section 11A of the 

Securities Exchange Act of 1934 

(‘‘Act’’) 1 and Rule 608 thereunder,2

notice is hereby given that on November 

9, 2010, the Options Price Reporting 

Authority (‘‘OPRA’’) submitted to the 

Securities and Exchange Commission 

(‘‘Commission’’) an amendment to the 

Plan for Reporting of Consolidated 

Options Last Sale Reports and 

Quotation Information (‘‘OPRA Plan’’).3

The proposed amendment would make 

identical changes to Section 4.04 of 

OPRA’s Data Recipient Interface 

Specification and Section 4.15 of its 

Participant Interface Specification (both 

Specifications are collectively referred 

to herein as the ‘‘OPRA Spec’’), which 

govern the format in which options 

market information is input to and 

disseminated from the OPRA Processor, 

in order to add message type codes 

specifying that either the bid side or the 

offer side, but not both sides, of a 

quotation is not firm. OPRA also 

proposes to make a conforming change 

to Appendix D of the OPRA Spec 

describing Best Bid and Offer (BBO) 

calculations. Sections 4.04 and 4.15 and 

Appendix D of the OPRA Spec, marked 

to show the changes proposed to be 

made, are attached as Exhibits 1.1, 1.2 

and 1.3, respectively, to the OPRA Plan 

amendment. 

The Commission is publishing this 

notice to solicit comments from 

interested persons on the proposed 

OPRA Plan amendment. 

I. Description and Purpose of the Plan 

Amendment 

The purpose of this filing is to revise 

Sections 4.04 and 4.15 of the OPRA 

Spec, which set forth message type 

codes indicating the characteristics of 

particular disseminated options 

quotations, in order to add codes 

specifying that either the bid side or the 

offer side, but not both sides, of a 

quotation is not firm. Under Sections 

4.04 and 4.15 as currently in effect, code 

‘‘F’’ is appended to a quotation where 

both the bid side and the offer side are 

not firm. This code may be used, for 

example, where systems or 

communications problems at an 

exchange prevent that exchange from 

sending firm quotes to OPRA for 

dissemination, but where the exchange 

is capable of providing non-firm quotes 

to indicate some sense of its market 

notwithstanding its systems problems. 

Even if an exchange is not having 

systems problems, it might use code ‘‘F’’ 

to indicate that its quotes are not 

available for automatic execution 

because, for example, the quotes are 

disseminated outside of the hours when 

automatic execution facilities are in use. 

However, there are no codes in Sections 

4.04 and 4.15 to indicate that one side 

of a quote is not firm while the other 

side is firm. This situation could arise, 

for example, when an exchange is in the 

process of collecting liquidity, either 

during an auction or when there is a 

price-driven integrity pause. In this 

situation, OPRA believes it would be 

more useful to OPRA subscribers if the 

affected exchange and OPRA could 

indicate that one side of a quote is firm 

and the other side is not firm rather than 

not displaying the quote at all or 

displaying it under the ‘‘F’’ code, which 

would incorrectly indicate that neither 

side of the quote is firm. 

In the absence of a one-side only nonfirm code, in accordance with the 

current OPRA Spec, exchanges have 

displayed a zero value for the price and 

size of that side of a quote that is not 

firm while showing the actual price and 

size of the firm side of the quote. This 

has proved to be a less than optimal 

solution because it does not provide a 

way to indicate that there is bid or offer 

interest even if it is not available for 

automatic execution at that time. 

Bidding or offering at zero price and 

zero size means that no offer side or no 

bid side interests exists, which may not 

correctly reflect the actual state of the 

market. For this reason, OPRA is now 

proposing to add to Sections 4.04 and 

4.15 of the OPRA Spec two new codes: 


emcdonald on DSK2BSOYB1PROD with NOTICES
Federal Register / Vol. 75, No. 234 / Tuesday, December 7, 2010 / Notices 76059 

4 17 CFR 242.608(b)(3)(iii). 

5 17 CFR 242.608(b)(2). 6 17 CFR 200.30–3(a)(29). 

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

2 17 CFR 240.19b–4. 

‘‘X’’ to indicate that the offer side of a 

quote is not firm while the bid side is 

firm, and ‘‘Y’’ to indicate that the bid 

side of a quote is not firm while the 

offer side is firm. The use of ‘‘X’’ and ‘‘Y’’ 

in these circumstances is similar to the 

use of ‘‘E’’ and ‘‘F’’ by the CQS network 

in respect of stock quotations (the letter 

‘‘F’’ is already used by OPRA and thus 

is unavailable for this purpose), so the 

concept should be familiar to most 

OPRA subscribers. 

Consistent with the addition of these 

two new codes to Sections 4.04 and 

4.15, Appendix D of the OPRA Spec, 

which describes how options Best Bids 

and Offers (BBOs) are determined, is 

proposed to be revised to provide that 

when one side of a quote is indicated as 

not firm, that side will not be 

considered for the purpose of 

determining what is the BBO in the 

subject option, but the firm side of the 

quote will be so considered. 

The text of the proposed amendment 

to the OPRA Plan is available at OPRA, 

the Commission’s Public Reference 

Room, http://opradata.com, and on the 

Commission’s Web site at http:// 

www.sec.gov. 

II. Implementation of the OPRA Plan 

Amendment 

OPRA designated this amendment as 

qualified to be put into effect upon 

filing with the Commission in 

accordance with clause (iii) of 

paragraph (b)(3) of Rule 608 under the 

Act 4 since the proposed changes to the 

Data Recipient Interface Specification 

and Participant Interface Specification 

are solely technical or ministerial in 

nature. OPRA intends to implement the 

revised OPRA Spec in late January or 

early February, 2011, when the 

necessary systems work is expected to 

be completed by OPRA’s Processor. As 

required by OPRA’s Vendor and 

Subscriber Agreements, OPRA will 

provide its Vendors and Subscribers 

with not less than sixty days notice of 

this change. 

The Commission may summarily 

abrogate the amendment within sixty 

days of its filing and require refiling and 

approval of the amendment by 

Commission order pursuant to Rule 

608(b)(2) under the Act 5 if it appears to 

the Commission that such action is 

necessary or appropriate in the public 

interest, for the protection of investors, 

or the maintenance of fair and orderly 

markets, to remove impediments to, and 

perfect the mechanisms of, a national 

market system, or otherwise in 

furtherance of the purposes of the Act. 

III. Solicitation of Comments 

Interested persons are invited to 

submit written data, views, and 

arguments concerning the foregoing, 

including whether the proposed OPRA 

Plan amendment 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 

No. SR–OPRA–2010–04 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–OPRA–2010–04. 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 plan 

amendment that are filed with the 

Commission, and all written 

communications relating to the 

proposed plan amendment 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 such filing 

also will be available for inspection and 

copying at the principal office of OPRA. 

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–OPRA–2010–04 and should 

be submitted on or before December 28, 

2010. 

For the Commission, by the Division of 

Trading and Markets, pursuant to delegated 

authority.6

Florence E. Harmon, 

Deputy Secretary. 

[FR Doc. 2010–30575 Filed 12–6–10; 8:45 am] 

BILLING CODE 8011–01–P 

SECURITIES AND EXCHANGE 

COMMISSION 

[Release No. 34–63403; File No. SR–BATS– 

2010–034] 

Self-Regulatory Organizations; BATS 

Exchange, Inc.; Notice of Filing of a 

Proposed Rule Change To Create a 

Directed Order Program 

December 1, 2010. 

Pursuant to Section 19(b)(1) of the 

Securities Exchange Act of 1934 (the 

‘‘Act’’),1 and Rule 19b–4 thereunder,2

notice is hereby given that on November 

19, 2010, BATS Exchange, Inc. (the 

‘‘Exchange’’ or ‘‘BATS’’) 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. 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 

The Exchange is filing with the 

Commission a proposal for the BATS 

Exchange Options Market (‘‘BATS 

Options’’) to create new BATS Rule 

21.1(d)(13), entitled ‘‘Market Maker 

Price Improving Orders,’’ create new 

BATS Rule 21.1(d)(14), entitled 

‘‘Directed Orders,’’ and amend existing 

BATS Rule 21.1(d)(2), entitled ‘‘Price 

Improving Orders.’’ 

The text of the proposed rule change 

is available at the Exchange’s Web site 

at http://www.batstrading.com, 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 

Exchange 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 


emcdonald on DSK2BSOYB1PROD with NOTICES