Federal Register / Vol. 75, No. 243 / Monday, December 20, 2010 / Notices 79435 

13See supra note 7. 

14 15 U.S.C. 78s(b)(3)(A)(ii). 15 17 CFR 200.30–3(a)(12). 

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

2 15 U.S.C. 78a. 

3 17 CFR 240.19b–4. 

the proposed fees are within the range 

assessed by other exchanges 13 and 

therefore continue to be reasonable and 

equitably allocated to those members 

that opt to direct orders to the Exchange 

rather than to a competing exchange. 

The Exchange’s maker/taker fees, which 

are currently applicable to each market 

participant, will continue to apply to 

the Select Symbols. 

B. Self-Regulatory Organization’s 

Statement on Burden on Competition 

The proposed rule change does not 

impose any burden on competition that 

is 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 

The Exchange has not solicited, and 

does not intend to solicit, comments on 

this proposed rule change. The 

Exchange has not received any 

unsolicited written comments from 

members or other interested parties. 

III. Date of Effectiveness of the 

Proposed Rule Change and Timing for 

Commission Action 

The foregoing rule change has become 

effective pursuant to Section 

19(b)(3)(A)(ii) of the Act.14 At any time 

within 60 days of the filing of such 

proposed rule change, the Commission 

summarily may temporarily suspend 

such 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. If the Commission 

takes such action, the Commission shall 

institute proceedings to determine 

whether the proposed rule should be 

approved or disapproved. 

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–ISE–2010–114 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–ISE–2010–114. 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 such filing also will be 

available for inspection and copying at 

the principal offices 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–ISE–2010–114, and should 

be submitted on or before January 10, 

2011. 

For the Commission, by the Division of 

Trading and Markets, pursuant to delegated 

authority.15

Florence E. Harmon, 

Deputy Secretary. 

[FR Doc. 2010–31825 Filed 12–17–10; 8:45 am] 

BILLING CODE 8011–01–P 

SECURITIES AND EXCHANGE 

COMMISSION 

[Release No. 34–63542; File No. SR–NYSE– 

2010–79] 

Self-Regulatory Organizations; New 

York Stock Exchange LLC; Notice of 

Filing and Immediate Effectiveness of 

Proposed Rule Change Amending 

NYSE Rule 123C(9)(a)(1) To Extend the 

Operation of a Pilot Operating 

Pursuant to the Rule Until June 1, 2011 

December 14, 2010. 

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

Securities Exchange Act of 1934 (the 

‘‘Act’’) 2 and Rule 19b–4 thereunder,3

notice is hereby given that on November 

30, 2010, New York Stock Exchange 

LLC (‘‘NYSE’’ or the ‘‘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 self-regulatory 

organization. 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 proposes to amend 

NYSE Rule 123C(9)(a)(1) to extend the 

operation of a pilot operating pursuant 

to the Rule until June 1, 2011. The text 

of the proposed rule change is available 

at the Exchange, the Commission’s 

Public Reference Room, http:// 

www.sec.gov, and http://www.nyse.com. 

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. 


jlentini on DSKJ8SOYB1PROD with NOTICES
79436 Federal Register / Vol. 75, No. 243 / Monday, December 20, 2010 / Notices 

4See Securities Exchange Act Release Nos. 59755 

(April 13, 2009), 74 FR 18009 (April 20, 2009) (SR– 

NYSE–2009–18) (order granting approval of the 

Pilot); 60809 (October 9, 2009), 74 FR 53532 

(October 19, 2009) (SR–NYSE–2009–104) 

(extending the operation of the Pilot to December 

31, 2009); 61264 (December 31, 2009), 75 FR 1107 

(January 8, 2010) (SR–NYSE–2009–131) (extending 

the operation of the Pilot from December 31, 2009 

to March 1, 2010); 61612 (March 1, 2010), 75 FR 

10543 (March 8, 2010) (SR–NYSE–2010–11) 

(extending the operation of the Pilot from March 1, 

2010 to June 1, 2010); 62231 (June 4, 2010), 75 FR 

33872 (June 15, 2010) (SR–NYSE–2010–42) 

(extending the operation of the Pilot from June 1, 

2010 to December 1, 2010). 

5The Exchange notes that parallel changes are 

proposed to be made to the rules of NYSE Amex 

LLC. See SR–NYSEAmex–2010–113. 

6See Securities Exchange Act Release No. 62231 

(June 4, 2010), 75 FR 33872 (June 15, 2010) (SR– 

NYSE–2010–42). 7 Id. 

8See e-mail from Theodore Lazo, Vice President, 

Legal and Government Affairs, NYSE Euronext, to 

David Liu, Senior Special Counsel, Division of 

Trading and Markets, Commission, and Nathan 

Saunders, Special Counsel, Division of Trading and 

Markets, Commission, dated December 13, 2010 

(‘‘NYSE Euronext E-mail’’). 

9 15 U.S.C. 78f(b)(5). 

10 15 U.S.C. 78s(b)(3)(A). 

11 17 CFR 240.19b–4(f)(6)(iii). In addition, Rule 

19b–4(f)(6)(iii) requires that a self-regulatory 

organization submit to the Commission written 

notice of its intent to file the proposed rule change, 

along with a brief description and text of the 

A. Self-Regulatory Organization’s 

Statement of the Purpose of, and the 

Statutory Basis for, the Proposed Rule 

Change 

1. Purpose 

The Exchange proposes to amend 

NYSE Rule 123C(9)(a)(1) to extend the 

operation of a pilot that allows the 

Exchange to temporarily suspend 

certain rule requirements at the close 

when extreme order imbalances may 

cause significant dislocation to the 

closing price (‘‘Extreme Order 

Imbalances Pilot’’ or ‘‘Pilot’’) 4 until June 

1, 2011.5 The Pilot is currently 

scheduled to expire on December 1, 

2010.6

Background 

Pursuant to NYSE Rule 123C(9)(a)(1), 

the Exchange may suspend NYSE Rule 

52 (Hours of Operation) to resolve an 

extreme order imbalance that may result 

in a price dislocation at the close as a 

result of an order entered into Exchange 

systems or represented to a Designated 

Market Maker (‘‘DMM’’) orally at or near 

the close. The provisions of NYSE Rule 

123C(9)(a)(1) operate as the Extreme 

Order Imbalance Pilot. 

As a condition of the approval to 

operate the Pilot, the Exchange 

committed to provide the Commission 

with information regarding: (i) How 

often an NYSE Rule 52 temporary 

suspension pursuant to the Pilot was 

invoked during the six months 

following its approval; and (ii) the 

Exchange’s determination as to how to 

proceed with technical modifications to 

reconfigure Exchange systems to accept 

orders electronically after 4 p.m. 

During the operation of the Pilot, the 

Exchange believed that the systems 

modifications to allow Exchange 

systems to accept orders electronically 

after 4 p.m. would not be as onerous as 

previously believed when the Pilot was 

initially commenced. The Exchange 

completed the system modifications 

necessary to accept orders electronically 

after 4 p.m. and began the process of 

testing the modifications. The Exchange 

therefore filed to extend the Extreme 

Order Imbalance Pilot until the earlier 

of SEC approval to make such Pilot 

permanent or December 1, 2010.7 At the 

time, the Exchange anticipated that its 

quality assurance review process would 

be completed by December 1, 2010 and 

it would be able to operate under the 

new system. The quality assurance 

review determined that additional 

testing was required in order to assure 

the optimal functioning of the system 

modifications. 

Proposal To Extend the Operation of the 

Extreme Order Imbalance Pilot 

The Exchange established the Extreme 

Order Imbalance Pilot to create a 

mechanism for ensuring a fair and 

orderly close when interest is received 

at or near the close that could negatively 

affect the closing transaction. The 

Exchange believes that this tool has 

proved very useful to resolve an extreme 

order imbalance that may result in a 

closing price dislocation at the close as 

a result of an order entered into 

Exchange systems, or represented to a 

DMM orally at or near the close. 

NYSE Rule 123C(9) was intended to 

be and has been invoked to attract 

offsetting interest in rare circumstances 

where there exists an extreme imbalance 

at the close such that a DMM is unable 

to close the security without 

significantly dislocating the price. This 

is evidenced by the fact that since the 

inception of the Pilot in April 2009, the 

Exchange has invoked the provisions of 

NYSE Rule 123C(9)(a)(1) on only five 

occasions, and only once since the pilot 

was last extended, in June 2010. 

The Exchange proposes to extend the 

operation of the pilot for a six-month 

period. At this time, the Exchange is 

completing testing of functionality that 

would enable the electronic acceptance 

of orders after 4 p.m. If the tests are 

successful, the Exchange expects to be 

able to implement the new functionality 

by the end of December 2010. If the 

Exchange does not believe it will be able 

to implement the new functionality by 

the end of December 2010, it will work 

with the Commission to set a new target 

date for implementation as soon as 

practicable thereafter. In conjunction 

with the new functionality, the 

Exchange plans to file a proposed rule 

change to amend Rule 123C(9) to 

remove the limitation set forth in Rule 

123C(9)(a)(1)(iii) that only Floor brokers 

can represent interest after 4:00 p.m. 

and to make Rule 123C(9) permanent.8

2. Statutory Basis 

The basis under the Act for this 

proposed rule change is the requirement 

under Section 6(b)(5) 9 that an Exchange 

have rules that are designed to promote 

just and equitable principles of trade, 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 Exchange believes 

that this filing is consistent with these 

principles. Specifically, an extension 

will allow the Exchange to determine 

the efficacy of providing any additional 

functionality under this Pilot rule. The 

Pilot operates to protect investors and 

the public interest by ensuring that the 

closing price at the Exchange is not 

significantly dislocated from the last 

sale price by virtue of an extreme order 

imbalance at or near the close. 

B. Self-Regulatory Organization’s 

Statement on Burden on Competition 

The Exchange does not believe that 

the proposed rule change will impose 

any burden on competition that is 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 

Because the foregoing proposed rule 

change does not: (i) Significantly affect 

the protection of investors or the public 

interest; (ii) impose any significant 

burden on competition; and (iii) become 

operative for 30 days from the date on 

which it was filed, or such shorter time 

as the Commission may designate, it has 

become effective pursuant to Section 

19(b)(3)(A) of the Act 10 and Rule 19b– 

4(f)(6)(iii) thereunder.11 The Exchange 


jlentini on DSKJ8SOYB1PROD with NOTICES
Federal Register / Vol. 75, No. 243 / Monday, December 20, 2010 / Notices 79437 

proposed rule change, at least five business days 

prior to the filing of the proposed rule change, or 

such shorter time as designated by the Commission. 

The Commission notes that the Exchange has 

satisfied this requirement. 

12See NYSE Euronext E-mail, supra note 8. 

13For purposes only of waiving the 30-day 

operative delay, the Commission has considered the 

proposed rule’s impact on efficiency, competition, 

and capital formation. See 15 U.S.C. 78c(f). 14 17 CFR 200.30–3(a)(12). 

has asked the Commission to waive the 

30-day operative delay so that the 

proposal may become operative 

immediately upon filing. The Exchange 

has represented that it is completing 

testing of a functionality that would 

enable the electronic acceptance of 

orders after 4 p.m., and if successful, the 

Exchange expects to be able to 

implement the new functionality by the 

end of December 2010. If the Exchange 

will not be able to implement the new 

functionality by that date, it will work 

with the Commission to set a new target 

date for implementation. The Exchange 

also has represented that it plans to file 

a proposed rule change to amend Rule 

123C(9) to make the pilot permanent 

and to remove the limitation that only 

Floor brokers can represent interest after 

4 p.m.12

The Commission believes that 

waiving the 30-day operative delay is 

consistent with the protection of 

investors and the public interest 

because it will allow the pilot to 

continue uninterrupted, thereby 

permitting offsetting interest 

represented by floor brokers to alleviate 

extreme order imbalances occurring at 

the close until the Exchange is able to 

allow the electronic submission of such 

interest after 4 p.m. in such 

circumstances.13 Accordingly, the 

Commission waives the 30-day 

operative delay requirement and 

designates the proposed rule change 

operative upon filing with the 

Commission. 

At any time within 60 days of the 

filing of the proposed rule change, the 

Commission summarily may 

temporarily suspend such 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 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–NYSE–2010–79 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–NYSE–2010–79. 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 such 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 

publicly available. All submissions 

should refer to File Number SR–NYSE– 

2010–79 and should be submitted on or 

before January 10, 2011. 

For the Commission, by the Division of 

Trading and Markets, pursuant to delegated 

authority.14

Florence E. Harmon, 

Deputy Secretary. 

[FR Doc. 2010–31817 Filed 12–17–10; 8:45 am] 

BILLING CODE 8011–01–P 

DEPARTMENT OF TRANSPORTATION 

Federal Aviation Administration 

Notification of Proposed Delegation 

Programs and Request for Comment 

AGENCY: Federal Aviation 

Administration (DOT). 

ACTION: Notice of availability and 

request for public comment. 

SUMMARY: This notice announces the 

availability of and request for public 

comments on the proposed new 

delegation programs (2) that will allow 

organizations to perform additional 

functions under the Federal Aviation 

Administration (FAA) Organization 

Designation Authorization (ODA) 

program. These two proposed ODA 

programs will provide: (1) Certification 

functions for rotorcraft-external load 

operator certificates under 14 CFR part 

133 and (2) the delivery of written 

airman knowledge tests. 

DATES: Comments must be received on 

or before January 17, 2011. 

ADDRESSES: Send all comments on both 

proposed delegation programs and 

functions to: Federal Aviation 

Administration, Aircraft Certification 

Service, Delegation and Airworthiness 

Programs Branch, 6500 S. MacArthur 

Blvd, ARB Room 308, Oklahoma City, 

OK 73169, ATTN: Sam Colasanti. Or, 

you may e-mail comments to: 

samuel.r.colasanti@faa.gov. Include in 

the subject line of your message the 

following: Comments on Proposed ODA 

Programs and Functions. 

FOR FURTHER INFORMATION CONTACT: Sam 

Colasanti, Aerospace Engineer, Federal 

Aviation Administration, Aircraft 

Certification Service, Aircraft 

Engineering Division, Delegation and 

Airworthiness Programs Branch, to 

address listed above or by phone at 

405.954.7044. 

SUPPLEMENTARY INFORMATION: 

Comments Invited 

Interested persons are invited to 

comment on the two (2) proposed ODA 

programs listed in this notice by 

submitting such written data, views, or 

arguments as they desire to the above 

specified address. Comments received 

on the two proposed ODA programs 

may be examined, before and after the 

comment closing date by making 

arrangements with the person listed in 

the ‘‘For Further Information Contact’’ 

paragraph above. All communications 

received on or before the closing date 

will be considered by the Director of the 

Aircraft Certification Service before 

approval of the two (2) programs. 


jlentini on DSKJ8SOYB1PROD with NOTICES