52278 Federal Register / Vol. 74, No. 195 / Friday, October 9, 2009 / Notices 

7See supra note 1. 1 15 U.S.C. 78s(b)(1). 

2The Commission has modified the text of the 

summaries prepared by NSCC. 

3This proposed rule change filing replaces 

proposed rule change filing SR–NSCC–2009–06, 

which was withdrawn by NSCC on September 9, 

2009. 

4The credit will be calculated by subtracting the 

$350 discount from the member’s total monthly BIN 

and REP fees and then multiplying that resulting 

amount by 30%. 

specified in Rule 204(e), we estimate 

that a broker-dealer will have to make 

such determinations with respect to 

approximately 1.76 securities per day. 

As of December 31, 2007, there were 

5,561 registered broker-dealers. Each of 

these broker-dealers may clear trades 

through a participant of a registered 

clearing agency. We estimate that on 

average, a broker-dealer will have to 

certify to the participant that it has not 

incurred a fail to deliver position on 

settlement date in an equity security for 

which the participant has a fail to 

deliver position at a registered clearing 

agency or, alternatively, that it is in 

compliance with the requirements set 

forth in Rule 204(e), 2,466,415 times per 

year (5,561 broker-dealers certifying 

once per day on 1.76 securities, 

multiplied by 252 trading days in a 

year). The total approximate estimated 

annual burden hour per year will be 

approximately 394,626 burden hours 

(2,466,415 multiplied by 0.16 hours/ 

certification). 

V. Pre-Fail Credit Demonstration 

Requirement: If a broker-dealer 

purchases or borrows securities in 

accordance with the conditions 

specified in Rule 204(e) and determines 

that it has a net long position or net flat 

position on the settlement day on which 

the broker-dealer purchases or borrows 

securities we estimate that a brokerdealer will have to make such 

determination with respect to 

approximately 1.76 securities per day.7

As of December 31, 2007, there were 

5,561 registered broker-dealers. We 

estimate that on average, a broker-dealer 

will have to demonstrate in its books 

and records that it has a net long 

position or net flat position on the 

settlement day for which the brokerdealer is claiming credit, 2,466,415 

times per year (5,561 broker-dealers 

checking for compliance once per day 

on 1.76 securities, multiplied by 252 

trading days in a year). The total 

approximate estimated annual burden 

hour per year will be approximately 

394,626 burden hours (2,466,415 

multiplied by 0.16 hours/ 

demonstration). 

Please note that an agency may not 

conduct or sponsor, and a person is not 

required to respond to, a collection of 

information unless it displays a 

currently valid OMB control number. 

We submitted the collection of 

information to OMB for review and 

approval in accordance with 44 U.S.C. 

3507(j) and 5 CFR 1320.13. The title for 

the collection of information is ‘‘Rule 

204’’ and the OMB control number for 

the collection of information is 3235– 

0647. 

General comments regarding the 

above information should be directed to 

the following persons: (i) Desk Officer 

for the Securities and Exchange 

Commission, Office of Information and 

Regulatory Affairs, Office of 

Management and Budget, Room 10102, 

New Executive Office Building, 

Washington, DC 20503 or by sending an 

e-mail to: 

Shagufta_Ahmed@omb.eop.gov; and (ii) 

Charles Boucher, Director/Chief 

Information Officer, Securities and 

Exchange Commission, c/o Shirley 

Martinson, 6432 General Green Way, 

Alexandria, Virginia 22312 or send an email to: PRA_Mailbox@sec.gov. 

Comments must be submitted within 30 

days of this notice. 

Dated: October 5, 2009. 

Florence E. Harmon, 

Deputy Secretary. 

[FR Doc. E9–24358 Filed 10–8–09; 8:45 am] 

BILLING CODE 8011–01–P 

SECURITIES AND EXCHANGE 

COMMISSION 

[Release No. 34–60765; File No. SR–NSCC– 

2009–08] 

Self-Regulatory Organizations; The 

National Securities Clearing 

Corporation; Notice of Filing and 

Immediate Effectiveness of Proposed 

Rule Change To Revise Fees for 

Certain Insurance and Retirement 

Processing Services 

October 1, 2009. 

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

Securities Exchange Act of 1934 

(‘‘Act’’),1 notice is hereby given that on 

September 10, 2009, the National 

Securities Clearing Corporation 

(‘‘NSCC’’) filed with the Securities and 

Exchange Commission (‘‘Commission’’) 

the proposed rule change as described 

in Items I, II, and III below, which Items 

have been prepared primarily by NSCC. 

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 purpose of the proposed rule 

change is to revise fees for certain 

retirement and insurance processing 

services. 

II. Self-Regulatory Organization’s 

Statement of the Purpose of, and 

Statutory Basis for, the Proposed Rule 

Change 

In its filing with the Commission, 

NSCC 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 IV below. NSCC has prepared 

summaries, set forth in sections (A), (B) 

and (C) below, of the most significant 

aspects of such statements.2

(A) Self-Regulatory Organization’s 

Statement of the Purpose of, and 

Statutory Basis for, the Proposed Rule 

Change 

The purpose of the proposed rule 

change is to revise fees for certain 

insurance and retirement processing 

services provided by NSCC to better 

align fees with the costs of delivering 

services.3

Effective October 1, 2009, NSCC is 

adopting an incentive discount for 

Registered Representative (‘‘REP’’) and 

Brokerage Identification Number 

(‘‘BIN’’) transactions, a subset of InForce Transaction types that are 

formally called ‘‘Brokerage 

Identification Number Change 

Requests,’’ ‘‘Brokerage Identification 

Number Change Confirms,’’ ‘‘Registered 

Representative Change Requests,’’ and 

‘‘Registered Representative Change 

Confirms.’’ The first $350 that NSCC 

charges to a member each month for 

such transactions shall be waived. 

Further, effective October 1, 2009, a 

member that submits any of these 

transaction types will receive a credit 

equaling 30% of its monthly fee for BIN 

and REP transactions.4 The 30% credit 

will then be applied against fees that are 

charged to a member for NSCC’s 

established Insurance and Retirement 

Products (called ‘‘Core Products’’). 

Established products that are designated 

as Core Products are Positions, 

Commissions, Financial Activity 

Reporting, Applications/Subsequent 

Premiums, and Asset Pricing. The 

purpose of bundling products in this 

fashion and providing a credit in 

connection with usage of new products 

is to compensate members for the 

mstockstill on DSKH9S0YB1PROD with NOTICES

Federal Register / Vol. 74, No. 195 / Friday, October 9, 2009 / Notices 52279 

5 15 U.S.C. 78q–1. 

6 15 U.S.C. 78s(b)(3)(A)(ii). 

7 17 CFR 240.19b–4(f)(2). 

8 17 CFR 200.30–3(a)(12). 

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

2 17 CFR 240.19b–4. 

3An SQT is an Exchange Registered Options 

Trader (‘‘ROT’’) who has received permission from 

the Exchange to generate and submit option 

quotations electronically in eligible options to 

which such SQT is assigned. An SQT may only 

submit such quotations while such SQT is 

physically present on the floor of the Exchange. See 

Continued 

programming and other costs associated 

with new product adoption. 

In addition, effective October 1, 2009, 

NSCC is adopting a reduction in fees 

that may be incurred by a member due 

to extraordinary events, such as mergers 

or mass reconciliations, that generate 

unusually high transaction volume for a 

limited duration. A member must 

arrange with NSCC in advance for the 

appropriate reduction in fees in such 

circumstances. With respect to 

transaction types for which the member 

has no history of prior usage, the credit 

will be 85% of the transaction fees 

chargeable for the transaction type. 

There will be an additional credit of 5% 

if the member continues use of the 

transaction type in its usual processing 

flows after the event. With respect to 

transaction types for which the member 

has a history of prior usage, the credit 

will be in an amount sufficient to 

produce an aggregate fee that is no more 

than 120% of the average amount 

charged to the member for such 

transactions in the prior three months. 

NSCC believes that the proposed rule 

change is consistent with the 

requirements of Section 17A of the Act 5

and the rules and regulations 

thereunder applicable to NSCC because 

the proposed rule change updates 

NSCC’s fee schedule and provides for 

equitable allocation of fees among its 

members. 

(B) Self-Regulatory Organization’s 

Statement on Burden on Competition 

NSCC does not believe that the 

proposed rule change will have any 

impact or impose any burden on 

competition. 

(C) Self-Regulatory Organization’s 

Statement on Comments on the 

Proposed Rule Change Received From 

Members, Participants, or Others 

Written comments relating to the 

proposed rule change have not yet been 

solicited or received. NSCC will notify 

the Commission of any written 

comments received by NSCC. 

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 6 and Rule 19b– 

4(f)(2) 7 thereunder because the 

proposed rule change is establishing or 

changing a due, fee, or other charge 

applicable only to a member. At any 

time within sixty days of the filing of 

such 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 

• Electronic comments may be 

submitted by using the Commission’s 

Internet comment form (http:// 

www.sec.gov/rules/sro.shtml), or 

• Send an e-mail to 

rule-comment@sec.gov. Please include 

File No. SR–NSCC–2009–08 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–NSCC–2009–08. 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 inspection and copying in 

the Commission’s Public Reference 

Section, 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 filings also will be 

available for inspection and copying at 

the principal office of NSCC and on 

NSCC’s Web site at http:// 

www.dtcc.com/legal/rule_filings/nscc/ 

2009.php. 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–NSCC– 

2009–08 and should be submitted on or 

before October 30, 2009. 

For the Commission, by the Division of 

Trading and Markets, pursuant to delegated 

authority.8

Florence E. Harmon, 

Deputy Secretary. 

[FR Doc. E9–24350 Filed 10–8–09; 8:45 am] 

BILLING CODE 8011–01–P 

SECURITIES AND EXCHANGE 

COMMISSION 

[Release No. 34–60785; File No. SR–Phlx– 

2009–86] 

Self-Regulatory Organizations; 

NASDAQ OMX PHLX, Inc.; Notice of 

Filing and Immediate Effectiveness of 

Proposed Rule Change Relating to 

Specialist and Registered Options 

Traders Allocation and Assignment 

Rules 

October 2, 2009. 

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

Securities Exchange Act of 1934 

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

notice is hereby given that on 

September 30, 2009, NASDAQ OMX 

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

with the Securities and Exchange 

Commission (‘‘SEC’’ or ‘‘Commission’’) 

the proposed rule change as described 

in Items I, II, and III, 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 

Phlx Rules 501 (Specialist 

Appointment), 505 (Allocation, 

Reallocation and Transfer of Issues), 506 

(Allocation Application), 507 

(Application for Approval as an SQT or 

RSQT and Assignment of Options), and 

513 (Voluntary Resignation of Options 

Privileges) to clarify and streamline the 

process for specialist allocations and 

Streaming Quote Trader (‘‘SQT’’) 3 and 

mstockstill on DSKH9S0YB1PROD with NOTICES