9008 Federal Register / Vol. 75, No. 38 / Friday, February 26, 2010 / Notices 

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

2 17 CFR 240.19b–4. 

3See NASDAQ OMX BX Price List—Trading & 

Connectivity. 

4 15 U.S.C. 78s(b)(1). 

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

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

7 15 U.S.C. 78s(b)(3)(A)(ii). 

8 17 CFR 240.19b–4(f)(2). 

Nanotechnology Coordination Office. Email: capstone@nnco.nano.gov. 

M. David Hodge, 

Operations Manager. 

[FR Doc. 2010–4037 Filed 2–25–10; 8:45 am] 

BILLING CODE P 

SECURITIES AND EXCHANGE 

COMMISSION 

[Release No. 34–61550; File No. SR–CBOE– 

2010–017] 

Self-Regulatory Organizations; 

Chicago Board Options Exchange, 

Incorporated; Notice of Filing and 

Immediate Effectiveness of a Proposed 

Rule Change To Amend the CBOE 

Stock Exchange Fees Schedule To 

Increase the Maker Rebate for 

Transactions in Securities Priced Less 

Than $1 to 0.25% of the Dollar Value 

of the Transaction 

February 19, 2010. 

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 

12, 2010, the Chicago Board Options 

Exchange, Incorporated (‘‘Exchange’’ or 

‘‘CBOE’’) 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 proposes to amend the 

Fees Schedule for the CBOE Stock 

Exchange (‘‘CBSX’’) to increase the 

Maker rebate for transactions in 

securities priced less than $1 to 0.25% 

of the dollar value of the transaction. 

The text of the proposed rule change is 

available on the Exchange’s Web site 

(http://www.cboe.org/legal), at the 

Exchange’s Office of the Secretary, at 

the Commission’s Web site (http:// 

www.sec.gov), 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 

CBSX proposes to amend its Fees 

Schedule to increase the Maker rebate 

for transactions in securities priced less 

than $1 to 0.25% of the dollar value of 

the transaction. This increase would 

serve to attract trading activity to CBSX 

and match the rebate offered by other 

stock exchanges, including NASDAQ 

OMX BX.3

2. Statutory Basis 

The Exchange believes the proposed 

rule change is consistent with the 

Securities Exchange Act of 1934 (the 

‘‘Act’’) 4 and the rules and regulations 

thereunder and, in particular, the 

requirements of Section 6(b) of the Act.5

Specifically, the Exchange believes the 

proposed rule change is consistent with 

the Section 6(b)(5) 6 requirements that 

the rules of an exchange be designed to 

promote just and equitable principles of 

trade, to prevent fraudulent and 

manipulative acts, to remove 

impediments to and to perfect the 

mechanism for a free and open market 

and a national market system, and, in 

general, to protect investors and the 

public interest. Specifically, increasing 

the Maker rebate encourages investment 

and trading activity. 

B. Self-Regulatory Organization’s 

Statement on Burden on Competition 

CBOE 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 is 

designated by the Exchange as 

establishing or changing a due, fee, or 

other charge, thereby qualifying for 

effectiveness on filing pursuant to 

Section 19(b)(3)(A)(ii) 7 of the Act and 

subparagraph (f)(2) of Rule 19b–4 8

thereunder. At any time within 60 days 

of the filing of the proposed rule change, 

the Commission may summarily 

abrogate 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–CBOE–2010–017 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–CBOE–2010–017. 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 


sroberts on DSKD5P82C1PROD with NOTICES
Federal Register / Vol. 75, No. 38 / Friday, February 26, 2010 / Notices 9009 

9 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. 

4The Exchange attempted to file this proposed 

rule change prior to the close of business on 

February 12, 2010, but experienced delays with the 

electronic filing system which caused this filing to 

be received after the close of business and to be 

assigned a filing date of February 16, 2010, the next 

business day. Because the delay was caused by 

technical issues, the Commission deems the official 

filing date of this proposed rule change to be 

February 12, 2010. 

5See Securities Exchange Act Release No. 59755 

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

NYSE–2009–15). 

6See NYSE Rule 123C(9)(a)(1). 

7Specifically, the order acceptance cut-off time 

period designated by the Exchange was 4:35 p.m. 

Thereafter, once such offsetting interest from both 

on-Floor and off-Floor participants was received, 

the closing transaction for the Class A security was 

completed at approximately 4:41 p.m. See E-mail 

from Deanna G. W. Logan, Managing Director, 

NYSE Regulation, to David Liu, Assistant Director, 

et al., Division of Trading and Markets, 

Commission, dated February 16, 2010. 

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 

available publicly. All submissions 

should refer to File Number SR–CBOE– 

2010–017 and should be submitted on 

or before March 19, 2010. 

For the Commission, by the Division of 

Trading and Markets, pursuant to delegated 

authority.9

Florence E. Harmon, 

Deputy Secretary. 

[FR Doc. 2010–3945 Filed 2–25–10; 8:45 am] 

BILLING CODE 8011–01–P 

SECURITIES AND EXCHANGE 

COMMISSION 

[Release No. 34–61549; File No. SR–NYSE– 

2010–09] 

Self-Regulatory Organizations; New 

York Stock Exchange LLC; Notice of 

Filing and Immediate Effectiveness of 

Proposed Rule Change Extending the 

Time Allowed To Temporarily Suspend 

Certain NYSE Requirements Relating 

to the Closing of Securities on the 

Exchange Which Currently Operates 

as a Pilot Pursuant to Former NYSE 

Rule 123C(8)(a)(1) Currently NYSE Rule 

123C(9)(a)(1) 

February 19, 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 February 

12, 2010,4 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 extend the 

time allowed to temporarily suspend 

certain NYSE requirements relating to 

the closing of securities on the Exchange 

which currently operates as a pilot 

pursuant to former NYSE Rule 

123C(8)(a)(1) currently NYSE Rule 

123C(9)(a)(1). The text of the proposed 

rule change is available at the Exchange, 

the Commission’s Public Reference 

Room, 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. 

A. Self-Regulatory Organization’s 

Statement of the Purpose of, and 

Statutory Basis for, the Proposed Rule 

Change 

1. Purpose 

NYSE Rule 123C(9)(a)(1), formerly 

NYSE Rule 123C(8)(a)(1), allows the 

Exchange to temporarily suspend 

certain rule requirements at the close 

when extreme order imbalances may 

cause significant dislocation to the 

closing price. The rule has operated on 

a pilot basis since April 2009 (‘‘Extreme 

Order Imbalance Pilot’’ or Pilot).5

Through this filing, [sic] proposes to 

temporarily extend the time allowed to 

temporarily suspend certain NYSE 

requirements relating to the closing of 

securities on the Exchange which 

currently operates as a pilot pursuant to 

123C(9)(a)(1). 

Background 

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

the Exchange may suspend NYSE Rules 

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 DMM orally 

at or near the close.6

The provisions of NYSE Rule 

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

Order Imbalance Pilot. The Exchange 

invokes NYSE Rule 123C(9)(a)(1) to 

attract offsetting interest in those rare 

circumstances where there exists such a 

large imbalance at the close that a DMM 

is unable to close the security without 

significantly dislocating the price. 

Further, pursuant to NYSE Rule 

123C(9)(ii) the time to receive such offsetting interest must not be later than 

4:30 p.m. (or 30 minutes after the 

scheduled close in the case of an earlier 

close). 

Proposal To Extend the Time To 

Receive Off-Setting Interest in Berkshire 

Hathaway A Security on February 12, 

2010 

On February 12, 2009, significant 

corporate actions in Berkshire Hathaway 

Class A and B securities significantly 

increased the trading volume in those 

securities. It was determined based on 

the fact that there is a relation between 

the price of the two securities and the 

fact that there was significantly greater 

liquidity in the Class B shares than the 

Class A shares that the most efficient 

manner to effect the close of trading in 

those securities was to effect the closing 

transaction in Berkshire Hathaway Class 

B securities first. 

The significant volume resulted in 

[sic] Class B security closing transaction 

be [sic] completed at 4:19 p.m. 

Thereafter the DMM immediately 

assessed the shares eligible to be 

executed in the closing transaction for 

the Class A securities. At 4:27 p.m. 

when the imbalance was determined the 

Exchange sought off-setting interest; 

however, the remaining 3 minutes was 

not a sufficient amount of time to 

receive and effect the closing 

transaction in the Class A security. 

As to effect a fair and orderly close, 

the closing transaction for the Class A 

security occurred after 4:30 p.m.7

2. Statutory Basis 

The Exchange believes that its 

proposal is consistent with Section 6(b) 

of the Securities Exchange Act of 1934 


sroberts on DSKD5P82C1PROD with NOTICES