Federal Register / Vol. 74, No. 172 / Tuesday, September 8, 2009 / Notices 46285 

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

2Securities Exchange Act Release No. 60304 (Jul. 

14, 2009), 74 FR 35221. 

3 DTC has created a Profile Indemnity Insurance 

Program (‘‘PIP II’’) to replace the PSP II. Securities 

Exchange Act Release No. 60036 (Jun. 3, 2009), 74 

FR 28085 (Jun. 12, 2009) [File No. SR–DTC–2009– 

09]. 

4Securities Exchange Act Release No. 42704 

(Apr. 19, 2000), 65 FR 24242 (Apr. 25, 2000) [File 

No. SR–DTC–2000–04]. 

5Securities Exchange Act Release No. 43586 

(Nov. 17, 2000), 65 FR 70745 (Nov. 27, 

2000) [File No. SR–DTC–2000–09]. 

6Participation in PSP requires the payment of an 

annual premium of $3,150 to a surety provider and 

an administration fee of $250 to DTC. The PSP 

surety provider provides for a coverage limit of $3 

million per transaction with an annual aggregate 

limit of $6 million. On September 14, 2005, the 

Commission approved a DTC rule filing to establish 

the Profile Indemnity Insurance Program (‘‘PIP’’), 

which serves as an alternative to PSP. Securities 

Exchange Act Release No. 52422 (Sept. 14, 2005), 

70 FR 55196 (Sept. 20, 2005) [File No. SR–DTC– 

2005–11]. PIP allows users of Profile that agree to 

the Screen Indemnity have the option to procure 

insurance relating to a particular securities 

transaction according to the value of the securities 

transaction. PIP provides a coverage limit of $25 

million per transaction with an annual aggregate 

limit of $100 million. In addition to any passthrough fee from the insurer, DTC charges users 

participating in PIP an annual administration fee of 

$250 and a per transaction fee of $27.50. 

7Securities Exchange Act Release No. 58042 (Jun. 

26, 2008), 73 FR 39067 (July 8, 2008) [File No. SR– 

DTC–2008–04]. 

8Securities Exchange Act Release No. 60036 (Jun. 

3, 2009) 74 FR 28085 (Jun. 12, 2009) [File No. DTC– 

2009–09]. 

9 15 U.S.C. 78q–1(b)(3)(F). 

10 15 U.S.C. 78q–1. 

11 15 U.S.C. 78s(b)(2). 

12 In approving the proposed rule change, the 

Commission considered the proposal’s impact on 

efficiency, competition, and capital formation. 15 

U.S.C. 78c(f). 

13 17 CFR 200.30–3(a)(12). 

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

For the Commission, by the Division of 

Trading and Markets, pursuant to delegated 

authority.9

Florence E. Harmon, 

Deputy Secretary. 

[FR Doc. E9–21635 Filed 9–4–09; 8:45 am] 

BILLING CODE 8010–01–P 

SECURITIES AND EXCHANGE 

COMMISSION 

[Release No. 34–60594; File No. SR–DTC– 

2009–11] 

Self-Regulatory Organizations; The 

Depository Trust Company; Order 

Approving Proposed Rule Change To 

Eliminate One of the Indemnity Surety 

Programs in the Profile Modification 

System 

August 31, 2009. 

I. Introduction 

On June 11, 2009, The Depository 

Trust Company (‘‘DTC’’) filed with the 

Securities and Exchange Commission 

(‘‘Commission’’) proposed rule change 

SR–DTC–2009–11 pursuant to Section 

19(b)(1) of the Securities Exchange Act 

of 1934 (‘‘Act’’).1 The proposed rule 

change was published for comment in 

the Federal Register on July 20, 2009.2

No comment letters were received on 

the proposal. This order approves the 

proposal. 

II. Description 

The proposed rule change eliminates 

one of the Indemnity Surety Programs 

(‘‘PSP II’’) of DTC’s Profile Modification 

System (‘‘Profile’’).3

On April 19, 2000, the Commission 

approved a DTC rule filing to establish 

Profile,4 an electronic communication 

system between transfer agents that are 

Direct Registration System (‘‘DRS’’) 

Limited Participants (‘‘Limited 

Participants’’) and broker-dealers that 

are DRS Participants (‘‘Participants’’). In 

May 2000, DTC implemented Profile. 

Profile allows Participants to submit 

electronically an instruction to move a 

share position from an account at the 

Limited Participant to the Participant’s 

account at DTC (‘‘Electronic Participant 

Instruction’’). Profile also allows 

Limited Participants to submit an 

instruction for the movement of a share 

position from a Participant’s account at 

DTC to an account at the Limited 

Participant (‘‘Electronic Limited 

Participant Instruction;’’ together with 

Electronic Participant Instruction, 

‘‘Electronic Instruction’’). A Participant 

or Limited Participant submitting an 

Electronic Instruction through Profile is 

required to agree to a Participant 

Terminal System (‘‘PTS’’) screen 

indemnity (‘‘Screen Indemnity’’). 

On November 17, 2000, the 

Commission approved a DTC rule filing 

to establish the Profile Indemnity Surety 

Program (‘‘PSP’’).5 Under PSP, all users 

of Profile that agree to the Screen 

Indemnity as part of their use of Profile 

must procure a surety bond (‘‘Surety 

Bond’’) to back the representations 

under the Screen Indemnity.6

On June 26, 2008, the Commission 

approved a DTC rule filing to establish 

PSP II,7 which provides for a coverage 

limit of $7.5 million per transaction 

with an annual aggregate limit of $15 

million. Users of PSP II are required to 

pay an annual premium of $6,000 to a 

surety provider and a DTC 

administration fee of $250. 

On June 3, 2009, the Commission 

approved a DTC rule filing to establish 

a new Profile Indemnity Insurance 

Program (‘‘PIP II’’) to replace PSP II.8

PIP II will account for the additional, 

larger value Profile transactions that 

DRS currently handles by providing the 

same coverage limits (i.e., $7.5 million 

per transaction with an annual aggregate 

limit of $15 million) at the same annual 

premium (i.e., $6,000 to a provider and 

a $250 administration fee to DTC) as 

PSP II without requiring users of Profile 

to procure a surety bond. Since PIP II 

will perform the same function of PSP 

II, DTC is eliminating PSP II. 

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 registered clearing 

agency. In particular, the Commission 

believes the proposal is consistent with 

the requirements of Section 

17A(b)(3)(F),9 which requires, among 

other things, that the rules of a clearing 

agency are designed to remove 

impediments to and perfect the 

mechanisms of a national system for the 

prompt and accurate clearance and 

settlement of securities transactions. 

IV. Conclusion 

On the basis of the foregoing, the 

Commission finds that the proposal is 

consistent with the requirements of the 

Act and in particular with the 

requirements of Section 17A of the 

Act 10 and the rules and regulations 

thereunder. 

It is therefore ordered, pursuant to 

Section 19(b)(2) of the Act,11 that the 

proposed rule change (File No. SR– 

DTC–2009–11) be, and hereby is, 

approved.12

For the Commission by the Division of 

Trading and Markets, pursuant to delegated 

authority.13

Florence E. Harmon, 

Deputy Secretary. 

[FR Doc. E9–21619 Filed 9–4–09; 8:45 am] 

BILLING CODE 8010–01–P 

SECURITIES AND EXCHANGE 

COMMISSION 

[Release No. 34–60610; File No. SR–BX– 

2009–058] 

Self-Regulatory Organizations; 

NASDAQ OMX BX, Inc.; Notice of Filing 

and Immediate Effectiveness of 

Proposed Rule Change To Amend the 

Fee Schedule of the Boston Options 

Exchange Facility 

September 1, 2009. 

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

Securities Exchange Act of 1934 (‘‘Act’’ 

or ‘‘Exchange Act’’) 1 and Rule 19b–4 


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