Federal Register / Vol. 72, No. 11 / Thursday, January 18, 2007 / Notices 2319 

13 17 CFR 200.30–3(a)(12) 

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

2 17 CFR 240.19b–4. 

3The amendment added the number of the new 

rule inadvertently omitted in the original filing. 

4The Commission has modified the text of the 

summaries prepared by NSCC. 5 15 U.S.C. 78q–1. 

100 F Street, NE., Washington, DC 

20549–1090. 

All submissions should refer to File 

Number SR–CBOE–2007–02. 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 Commissions 

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 

Room. 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–2007–02 and should 

be submitted on or before February 8, 

2007. 

For the Commission, by the Division of 

Market Regulation, pursuant to delegated 

authority.13

Florence E. Harmon, 

Deputy Secretary. 

[FR Doc. E7–615 Filed 1–17–07; 8:45 am] 

BILLING CODE 8011–01–P 

SECURITIES AND EXCHANGE 

COMMISSION 

[Release No. 34–55082; File No. SR–NSCC–

2006–18] 

Self-Regulatory Organizations; 

National Securities Clearing 

Corporation; Notice of Filing of 

Proposed Rule Change To Create 

Service To Facilitate the Exchange of 

Account Related Information on an 

Automated Basis Between Members 

January 10, 2007. 

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 December 

21, 2006, the National Securities 

Clearing Corporation (‘‘NSCC’’) filed 

with the Securities and Exchange 

Commission (‘‘Commission’’) and on 

January 5, 2007, amended 3 the 

proposed rule change 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 parties. 

I. Self-Regulatory Organization’s 

Statement of the Terms of Substance of 

the Proposed Rule Change 

The proposed rule change seeks to 

modify NSCC’s Rules to provide for a 

service to facilitate the exchange of 

account related information on an 

automated basis during the movement 

of correspondent broker accounts 

between members or during other 

material events that result in the bulk 

movement of accounts between 

members. 

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 these statements.4

(A) Self-Regulatory Organization’s 

Statement of the Purpose of, and 

Statutory Basis for, the Proposed Rule 

Change 

Currently, when a correspondent firm 

chooses to move its book of business 

from one NSCC member to another, 

there is no standard method for 

transmitting the detailed customer data 

between the members. This information 

is currently exchanged through tapes, 

CDs, and other means and is dependent 

on the proprietary data format and 

values defined by the clearing firm from 

which the correspondent is moving. The 

process is time-consuming and prone to 

incorrect interpretation of data values. It 

is made more inefficient because 

clearing firms maintain separate code 

for each other clearing firm for which 

they convert data. 

NSCC proposes to modify its rules to 

create the Account Information 

Transmission Service (‘‘AIT’’) to 

facilitate the exchange of account 

related information during the 

movement of correspondent broker 

accounts between members or during 

other material events that result in the 

bulk movement of accounts between 

members. AIT will provide members 

with a standard mechanism to transmit 

customer data that will reduce the 

potential for lost and incorrectly 

interpreted data and will provide 

members with a secure facility for the 

exchange of data. The standard data 

model also will allow for the adoption 

of a single code base that is applicable 

for all conversion events. NSCC believes 

the single standard format could reduce 

costs, increase accuracy, and accelerate 

delivery time. 

NSCC proposes to develop and 

introduce AIT in two phases. The first 

phase will be to create the mechanism 

by which members may transmit data 

between themselves. Subject to final 

approval, NSCC intends to implement 

the first phase on Monday, February 12, 

2007. The second phase will involve the 

development of standardized data 

formats. NSCC will notify the 

Commission of phase two 

enhancements prior to their 

implementation. 

Since AIT is only an information 

transmission service, NSCC is also 

proposing to amend its rules to clarify 

that NSCC will neither be responsible 

for the accuracy or completeness of any 

information transmitted through AIT 

nor for any omissions or delays that may 

occur in the transmission of AIT data. 

Finally, NSCC is proposing a $200 

monthly subscription fee for 

participation in AIT during phase one. 

NSCC will reevaluate AIT service fees as 

subsequent enhancements are 

completed. 

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 because by reducing costs, 

increasing accuracy, and accelerating 

delivery time of bulk movement of 

accounts between members, it will 

enable NSCC to facilitate the prompt 

and accurate clearance and settlement of 

securities transactions. 

(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. 


pwalker on PROD1PC71 with NOTICES
2320 Federal Register / Vol. 72, No. 11 / Thursday, January 18, 2007 / Notices 

6 17 CFR 200.30–3(a)(12). 

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

2 17 CFR 240.19b–4. 

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

4 17 CFR 240.19b–4(f)(6). 

5 Investment Company Units are defined in Rule 

703.16 of the NYSE Listed Company Manual. 

6Trust Issued Receipts are defined in Exchange 

Rule 1200. 

7At that time, order types available to customers 

included both Stop Orders and Stop Limit Orders. 

Subsequently, on November 27, 2006, the 

Commission approved the Exchange’s proposal to 

eliminate Stop Limit Orders as an acceptable order 

type on the Exchange. See Securities Exchange Act 

Release No. 54820 (November 27, 2006), 71 FR 

70824 (December 6, 2006) (SR–NYSE–2006–65). 

Stop Limit Orders are therefore not addressed in 

this filing. 

(C) Self-Regulatory Organization’s 

Statement on Comments on the 

Proposed Rule Change Received From 

Members, Participants, or Others 

The SIA Data Conversion Privacy 

Working Group initially requested 

NSCC provide this service. No written 

comments relating to the proposed rule 

change have been solicited or received. 

On November 3, 2006, NSCC notified 

members of the terms of AIT by 

Important Notice A#6334, P&S#5904. 

NSCC will notify the Commission of any 

written comments it receives. 

III. Date of Effectiveness of the 

Proposed Rule Change and Timing for 

Commission Action 

Within thirty-five days of the date of 

publication of this notice in the Federal 

Register or within such longer period: 

(i) As the Commission may designate up 

to ninety days of such date if it finds 

such longer period to be appropriate 

and publishes its reasons for so finding 

or (ii) as to which the self-regulatory 

organization consents, the Commission 

will: 

(A) By order approve such proposed 

rule change or 

(B) institute proceedings to determine 

whether the proposed rule change 

should be 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–NSCC–2006–18 on the 

subject line. 

Paper Comments 

• Send paper comments in triplicate 

to Nancy M. Morris, Secretary, 

Securities and Exchange Commission, 

100 F Street, NE., Washington, DC 

20549–1090. 

All submissions should refer to File 

Number SR–NSCC–2006–18. 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. 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.nscc.com/legal/2006/2006-18- 

amendment.pdf. 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–

2006–18 and should be submitted on or 

before February 2, 2007. 

For the Commission by the Division of 

Market Regulation, pursuant to delegated 

authority.6

Florence E. Harmon, 

Deputy Secretary. 

[FR Doc. E7–585 Filed 1–17–07; 8:45 am] 

BILLING CODE 8011–01–P 

SECURITIES AND EXCHANGE 

COMMISSION 

[Release No. 34–55084; File No. SR–NYSE–

2006–90] 

Self-Regulatory Organizations; New 

York Stock Exchange LLC; Notice of 

Filing and Immediate Effectiveness of 

Proposed Rule Change Relating to 

Rule 13 (Definitions of Orders) 

January 10, 2007. 

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 December 

27, 2006, the New York Stock Exchange 

LLC (‘‘NYSE’’ or ‘‘Exchange’’) filed with 

the Securities and Exchange 

Commission (‘‘Commission’’) the 

proposed rule change as described in 

Items I and II below, which Items have 

been substantially prepared by the selfregulatory organization. The Exchange 

filed the proposed rule change pursuant 

to Section 19(b)(3)(A) of the Act 3 and 

Rule 19b–4(f)(6) thereunder,4 which 

renders the proposed rule change 

effective upon filing with the 

Commission. 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 

NYSE proposes to amend Exchange 

Rule 13.30 to clarify that Stop Orders in 

Exchange Traded Funds (as defined 

below) are elected on quotes and trades. 

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. 

The text of these statements may be 

examined at the places specified in Item 

IV below. The self-regulatory 

organization has prepared summaries, 

set forth in sections A, B, and C below, 

of the most significant aspects of such 

statements. 

A. Self-Regulatory Organization’s 

Statement of the Purpose of, and 

Statutory Basis for, the Proposed Rule 

Change 

1. Purpose 

The Exchange is seeking to amend 

Exchange Rule 13.30 to clarify that Stop 

Orders (‘‘STP’’) in Investment Company 

Units,5 Trust Issued Receipts,6 and 

securities treated similarly (i.e., 

streetTRACKS Gold Shares, See 

Exchange Rule 1300) (collectively 

Exchange-Traded Funds (‘‘ETFs’’)) are 

elected on both quotes and trades. 

Prior to December 1, 2000, STP 7

Orders in ETFs were elected only on 

trades. At that time a STP Order to buy 

ETFs was elected and became a market 

order only when a transaction in the 

security occurred at or above the stop 

price, after the order was routed to the 

Display Book or was manually 

represented by a Floor broker in the 


pwalker on PROD1PC71 with NOTICES