Federal Register / Vol. 72, No. 13 / Monday, January 22, 2007 / Notices 2717 

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

2 17 CFR 240.19b–4. 

3 In Amendment No. 1 the Exchange provided 

additional information relating to the dissemination 

of the index value and the estimates of the value 

of the fund shares. 

consultation is required under Section 7 

of the Endangered Species Act. The 

NRC staff has also determined that the 

proposed action is not the type of 

activity that has the potential to cause 

effects on historic properties. Therefore, 

no further consultation is required 

under Section 106 of the National 

Historic Preservation Act. 

III. Finding of No Significant Impact 

The NRC staff has prepared this EA in 

support of the proposed action. On the 

basis of this EA, the NRC finds that 

there are no significant environmental 

impacts from the proposed action, and 

that preparation of an environmental 

impact statement is not warranted. 

Accordingly, the NRC has determined 

that a Finding of No Significant Impact 

is appropriate. 

IV. Further Information 

Documents related to this action, 

including the application for license 

amendment and supporting 

documentation, are available 

electronically at the NRC’s Electronic 

Reading Room at http://www.nrc.gov/ 

reading-rm/adams.html. From this site, 

you can access the NRC’s Agencywide 

Document Access and Management 

System (ADAMS), which provides text 

and image files of NRC’s public 

documents. The documents related to 

this action are listed below, along with 

their ADAMS accession numbers. 

1. NUREG–1757, ‘‘Consolidated 

NMSS Decommissioning Guidance;’’

2. Title 10 Code of Federal 

Regulations, Part 20, Subpart E, 

‘‘Radiological Criteria for License 

Termination;’’

3. Title 10, Code of Federal 

Regulations, Part 51, ‘‘Environmental 

Protection Regulations for Domestic 

Licensing and Related Regulatory 

Functions;’’

4. NUREG–1496, ‘‘Generic 

Environmental Impact Statement in 

Support of Rulemaking on Radiological 

Criteria for License Termination of NRCLicensed Nuclear Facilities;’’

5. Notification Letter dated September 

6, 2006 (ML062850444); 

6. Amendment Request Letter with 

Final Status Report (ML063210371). 

If you do not have access to ADAMS, 

or if there are problems in accessing the 

documents located in ADAMS, contact 

the NRC Public Document Room (PDR) 

Reference staff at 1–800–397–4209, 301–

415–4737, or by e-mail to pdr@nrc.gov. 

These documents may also be viewed 

electronically on the public computers 

located at the NRC’s PDR, O 1 F21, One 

White Flint North, 11555 Rockville 

Pike, Rockville, MD 20852. The PDR 

reproduction contractor will copy 

documents for a fee. 

Dated at King of Prussia, Pennsylvania this 

12th day of January, 2007. 

For The Nuclear Regulatory Commission. 

James P. Dwyer, 

Chief, Commercial and R&D Branch, Division 

of Nuclear Materials Safety, Region I. 

[FR Doc. E7–793 Filed 1–19–07; 8:45 am] 

BILLING CODE 7590–01–P 

OFFICE OF THE UNITED STATES 

TRADE REPRESENTATIVE 

Generalized System of Preferences 

(GSP): Accession of Bulgaria and 

Romania to the European Union (EU) 

and Loss of GSP Eligibility 

AGENCY: Office of the United States 

Trade Representative (USTR). 

ACTION: Notice. 

SUMMARY: As a result of becoming EU 

Member States on January 1, 2007, 

Bulgaria and Romania are no longer 

designated as beneficiary developing 

countries under the U.S. GSP program, 

effective as of that date. 

FOR FURTHER INFORMATION CONTACT: GSP 

Subcommittee, Office of the United 

States Trade Representative, USTR 

Annex, 1724 F Street, NW., Room F220, 

Washington, DC 20508. The telephone 

number is 202–395–6971. 

SUPPLEMENTARY INFORMATION: The GSP 

program is authorized pursuant to title 

V of the Trade Act of 1974, as amended 

(‘‘the Trade Act’’) (19 U.S.C. 2461 et 

seq.). The GSP program grants duty-free 

treatment to designated eligible articles 

that are imported from designated 

beneficiary developing countries. 

Countries that may not be designated as 

beneficiary countries for purposes of the 

GSP include, among others, EU Member 

States (19 U.S.C. 2462(b)). In 

Proclamation 8098 (December 29, 2006), 

the President, pursuant to section 

502(b)(1)(C) of the Trade Act of 1974, as 

amended (19 U.S.C. 2462(b)(1)(C)), 

announced that ‘‘Bulgaria and Romania 

shall no longer be designated as 

beneficiary developing countries for 

GSP upon the date that each country 

becomes a European Union Member 

State. The United States Trade 

Representative shall announce each 

such date in a notice published in the 

Federal Register.’’ The United States 

Trade Representative hereby announces 

that January 1, 2007, was the date on 

which Bulgaria and Romania became 

EU Member States and are no longer 

beneficiary developing countries for 

GSP. 

Susan C. Schwab, 

United States Trade Representative. 

[FR Doc. E7–809 Filed 1–19–07; 8:45 am] 

BILLING CODE 3190–W7–P 

SECURITIES AND EXCHANGE 

COMMISSION 

[Release No. 34–55085; File No. SR–

NYSEArca–2006–37] 

Self-Regulatory Organizations; NYSE 

Arca, Inc.; Notice of Filing and Order 

Granting Accelerated Approval of 

Proposed Rule Change as Modified by 

Amendment No. 1 Thereto To Trade 

the StreetTRACKS Dow Jones Global 

Titans Index Fund Pursuant to Unlisted 

Trading Privileges 

January 11, 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 October 

18, 2006, NYSE Arca, Inc. (‘‘NYSE 

Arca’’ 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 Exchange. 

On January 4, 2007, the Exchange 

amended the proposed rule change 

(‘‘Amendment No. 1’’).3 This order 

provides notice of the proposed rule 

change, as modified by Amendment No. 

1, and approves the proposed rule 

change as amended on an accelerated 

basis. 

I. Self-Regulatory Organization’s 

Statement of the Terms of Substance of 

the Proposed Rule Change 

The Exchange, through its wholly 

owned subsidiary NYSE Arca Equities, 

Inc. (‘‘NYSE Arca Equities’’) proposes to 

trade shares (‘‘Shares’’) of the 

streetTRACKS Dow Jones Global 

Titans Index Fund (Symbol: DGT) 

(‘‘Fund’’) pursuant to unlisted trading 

privileges (‘‘UTP’’) based on NYSE Arca 

Equities Rule 5.2(j)(3). 

The text of the proposed rule change 

is available on the Exchange’s Web site 

(http://www.nysearca.com), at the 

principal office of the Exchange, and at 

the Commission’s Public Reference 

Room. 


rmajette on PROD1PC67 with NOTICES
2718 Federal Register / Vol. 72, No. 13 / Monday, January 22, 2007 / Notices 

4See Securities Exchange Act Release No. 43338 

(September 25, 2000), 65 FR 59235 (October 4, 

2000) (SR–Amex–00–53). 

5 15 U.S.C. 80a–24(d). 

6See Investment Company Act Release No. 25738 

(October 11, 2002). 

7 15 U.S.C. 78f(b). 

8 15 U.S.C. 78f(b)(5). 

9 17 CFR 240.12f–5. 

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 

Exchange 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 III below. The 

Exchange 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 proposing to trade 

Shares of the Fund pursuant to UTP. 

The Fund is comprised of 50 common 

stocks, which are chosen by Dow Jones 

based on a multi-factor methodology. 

The Fund invests in foreign securities, 

including non-U.S.-dollar-denominated 

securities traded outside the United 

States and dollar-denominated 

securities of foreign issuers traded in the 

United States. The Fund’s investment 

objective is to replicate as closely as 

possible, before expenses, the 

performance of the Dow Jones Global 

Titans Index (‘‘Index’’), using an 

indexing investment approach. The net 

asset value (‘‘NAV’’) for the Fund is 

calculated by the Fund’s custodian, 

State Street Global Advisors. After 

calculation, such NAV is disseminated 

by the American Stock Exchange LLC 

(‘‘Amex’’) and is available to the public 

through the Fund’s distributor, State 

Street Capital Markets, LLC. The NAV is 

also available to National Securities 

Clearing Corporation (‘‘NSCC’’) 

participants through data made 

available from NSCC. The NAV of the 

Fund is determined each business day, 

normally at the close of regular trading 

of the New York Stock Exchange 

(‘‘NYSE’’). 

The Commission previously approved 

the original listing and trading of the 

Shares on Amex.4 The Exchange deems 

the Shares to be equity securities, thus 

rendering trading in the Shares subject 

to the Exchange’s existing rules 

governing the trading of equity 

securities. The trading hours for the 

Shares on the Exchange are the same as 

those set forth in NYSE Arca Equities 

Rule 7.34, except that the Shares will 

not trade during the Opening Session (4 

a.m. to 9:30 a.m. Eastern Time) unless 

the Indicative Optimized Portfolio 

Value (‘‘IOPV’’) is calculated and 

disseminated during that time. 

Quotations for and last sale 

information regarding the Shares are 

disseminated through the Consolidated 

Quotation System. The value of the 

Index is updated intra-day on a realtime basis as individual component 

securities of the Index change in price. 

The intra-day value of the Index is 

disseminated every 15 seconds 

throughout Amex’s trading day. In 

addition, a value for the Index is 

disseminated once each trading day, 

based on closing prices in the relevant 

exchange market. 

To provide updated information 

relating to the Shares for use by 

investors, professionals, and persons 

wishing to create or redeem them, Amex 

disseminates through the facilities of the 

Consolidated Tape Association (‘‘CTA’’) 

the IOPV for the Fund as calculated by 

a securities information provider. The 

IOPV is disseminated on a per-share 

basis every 15 seconds during regular 

Amex trading hours of 9:30 a.m. to 4 

p.m. or 4:15 p.m. Eastern Time 

depending on the time Amex specifies 

for the trading of the Shares. 

The Fund includes companies trading 

in markets with trading hours 

overlapping Amex’s regular trading 

hours. During the overlap period, an 

IOPV calculator updates an IOPV every 

15 seconds to reflect price changes in 

the principal foreign markets, and 

converts such prices into U.S. dollars 

based on the currency exchange rates. 

When the foreign market or markets are 

closed but Amex is open for trading, the 

IOPV is updated every 15 seconds to 

reflect changes in currency exchange 

rates. 

The IOPV may not reflect the value of 

all securities included in the Index. In 

addition, the IOPV does not necessarily 

reflect the precise composition of the 

current portfolio of securities held by 

the Fund at a particular point in time. 

Therefore, the IOPV on a per-share basis 

disseminated during the NYSE’s regular 

trading hours should not be viewed as 

a real time update of the NAV of the 

Fund, which is calculated only once a 

day. The IOPV is intended to closely 

approximate the value per share of the 

portfolio of securities for the Fund and 

provide for a close proxy of the NAV at 

a greater frequency for investors. 

The Commission has granted the 

Fund an exemption from certain 

prospectus delivery requirements under 

Section 24(d) of the Investment 

Company Act of 1940 (‘‘1940 Act.’’) 5

Any product description used in 

reliance on the Section 24(d) exemptive 

order will comply with all 

representations made and all conditions 

contained in the Fund’s application for 

orders under the 1940 Act.6

In connection with the trading of the 

Shares, the Exchange would inform ETP 

Holders in an Information Circular of 

the special characteristics and risks 

associated with trading the Shares, 

including how they are created and 

redeemed, the prospectus or product 

description delivery requirements 

applicable to the Shares, applicable 

Exchange rules, how information about 

the value of the underlying Index is 

disseminated, and trading information. 

In addition, before an ETP Holder 

recommends a transaction in the Shares, 

the ETP Holder must determine that the 

Shares are suitable for the customer as 

required by NYSE Arca Equities Rule 

9.2(a)–(b). 

The Exchange intends to utilize its 

existing surveillance procedures 

applicable to derivative products to 

monitor trading in the Shares. The 

Exchange represents that these 

procedures are adequate to monitor 

Exchange trading of the Shares. 

2. Statutory Basis 

The Exchange believes that the 

proposal is consistent with Section 6(b) 

of the Act 7 in general and Section 

6(b)(5) of the Act 8 in particular in that 

it is designed to promote just and 

equitable principles of trade, to foster 

cooperation and coordination with 

persons engaged in facilitating 

transactions in securities, to remove 

impediments and perfect the 

mechanisms of a free and open market, 

and to protect investors and the public 

interest. In addition, the Exchange 

believes that the proposal is consistent 

with Rule 12f–5 under the Act 9 because 

it deems the Shares to be equity 

securities, thus rendering trading in the 

Shares subject to the Exchange’s 

existing rules governing the trading of 

equity securities. 

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. 


rmajette on PROD1PC67 with NOTICES
Federal Register / Vol. 72, No. 13 / Monday, January 22, 2007 / Notices 2719 

10 In approving this rule change, the Commission 

notes that it has considered the proposal’s impact 

on efficiency, competition, and capital formation. 

See 15 U.S.C. 78c(f). 

11 15 U.S.C. 78f(b)(5). 12 15 U.S.C. 78l(f). 

13Section 12(a) of the Act, 15 U.S.C. 78l(a), 

generally prohibits a broker-dealer from trading a 

security on a national securities exchange unless 

the security is registered on that exchange pursuant 

to Section 12 of the Act. Section 12(f) of the Act 

excludes from this restriction trading in any 

security to which an exchange ‘‘extends UTP.’’

When an exchange extends UTP to a security, it 

allows its members to trade the security as if it were 

listed and registered on the exchange even though 

it is not so listed and registered. 

14See supra note 4. 

15 17 CFR 240.12f–5. 

16 15 U.S.C. 78k–1(a)(1)(C)(iii). 17See supra note 4. 

C. Self-Regulatory Organization’s 

Statement on Comments on the 

Proposed Rule Change Received From 

Members, Participants or Others 

Written comments on the proposed 

rule change were neither solicited nor 

received. 

III. 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–NYSEArca–2006–37 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–NYSEArca–2006–37. 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 

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–NYSEArca–2006–37 and 

should be submitted on or before 

February 12, 2007. 

IV. Commission’s Findings and Order 

Granting Accelerated Approval of the 

Proposed Rule Change 

After careful review, the Commission 

finds that the proposed rule change, as 

amended, is consistent with the 

requirements of the Act and the rules 

and regulations thereunder applicable to 

a national securities exchange.10 In 

particular, the Commission finds that 

the proposed rule change is consistent 

with Section 6(b)(5) of the Act,11 which 

requires that an exchange have rules 

designed, among other things, 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 

Commission believes that this proposal 

should benefit investors by increasing 

competition among markets that trade 

the Shares. 

In addition, the Commission finds 

that the proposal is consistent with 

Section 12(f) of the Act,12 which permits 

an exchange to trade, pursuant to UTP, 

a security that is listed and registered on 

another exchange.13 The Commission 

notes that it previously approved the 

listing and trading of the Shares on 

Amex.14 The Commission also finds that 

the proposal is consistent with Rule 

12f–5 under the Act,15 which provides 

that an exchange shall not extend UTP 

to a security unless the exchange has in 

effect a rule or rules providing for 

transactions in the class or type of 

security to which the exchange extends 

UTP. The Exchange has represented that 

it meets this requirement because it 

deems the Shares to be equity securities, 

thus rendering trading in the Shares 

subject to the Exchange’s existing rules 

governing the trading of equity 

securities. 

The Commission further believes that 

the proposal is consistent with Section 

11A(a)(1)(C)(iii) of the Act,16 which sets 

forth Congress’ finding that it is in the 

public interest and appropriate for the 

protection of investors and the 

maintenance of fair and orderly markets 

to assure the availability to brokers, 

dealers, and investors of information 

with respect to quotations for and 

transactions in securities. Quotations for 

and last sale information regarding the 

Shares are disseminated through the 

Consolidated Quotation System. 

Furthermore, an IOPV calculator 

updates the IOPV every 15 seconds to 

reflect price changes in the principal 

foreign markets and converts such 

prices into U.S. dollars based on the 

current currency exchange rate. When 

the foreign market or markets are closed 

but Amex is open for trading, the IOPV 

is updated every 15 seconds to reflect 

changes in currency exchange rates. 

NYSE Arca Equities Rule 7.34 describes 

the situations when the Exchange would 

halt trading when the IOPV or the value 

of the Index underlying one of the 

Funds is not calculated or widely 

available. 

The Commission notes that, if the 

Shares should be delisted by Amex, the 

original listing exchange, the Exchange 

would no longer have authority to trade 

the Shares pursuant to this order. 

In support of this proposal, the 

Exchange has made the following 

representations: 

1. The Exchange’s surveillance 

procedures are adequate to monitor the 

trading of the Shares. 

2. In connection with the trading of 

the Shares, the Exchange would inform 

ETP Holders in an Information Circular 

of the special characteristics and risks 

associated with trading the Shares. 

3. The Information Circular would 

inform participants of the prospectus or 

product delivery requirements 

applicable to the Shares. 

This approval order is conditioned on 

the Exchange’s adherence to these 

representations. 

The Commission finds good cause for 

approving this proposal before the 

thirtieth day after the publication of 

notice thereof in the Federal Register. 

As noted previously, the Commission 

previously found that the listing and 

trading of the Shares on Amex is 

consistent with the Act.17 The 

Commission presently is not aware of 

any regulatory issue that should cause it 

to revisit that earlier finding or preclude 

the trading of the Shares on the 

Exchange pursuant to UTP. Therefore, 

accelerating approval of this proposal 

should benefit investors by creating, 

without undue delay, additional 


rmajette on PROD1PC67 with NOTICES
2720 Federal Register / Vol. 72, No. 13 / Monday, January 22, 2007 / Notices 

18 15 U.S.C. 78s(b)(2). 

19 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)(ii). 

4 17 CFR 240.19b–4(f)(2). 

6Market Maker, as defined in NYSE Arca Rule 

6.1(b)(29) and NYSE Arca Rule 6.1A(a)(4). 

competition in the market for the 

Shares. 

V. Conclusion 

It is therefore ordered, pursuant to 

Section 19(b)(2) of the Act,18 that the 

proposed rule change (SR–NYSEArca–

2006–37), as modified by Amendment 

No. 1, be, and it hereby is, approved on 

an accelerated basis. 

For the Commission, by the Division of 

Market Regulation, pursuant to delegated 

authority.19

Nancy M. Morris, 

Secretary. 

[FR Doc. E7–756 Filed 1–19–07; 8:45 am] 

BILLING CODE 8011–01–P 

SECURITIES AND EXCHANGE 

COMMISSION 

[Release No. 34–55099; File No. SR–

NYSEArca–2006–91] 

Self-Regulatory Organizations; NYSE 

Arca, Inc.; Notice of Filing and 

Immediate Effectiveness of Proposed 

Rule Change Relating to Exchange 

Fees and Charges 

January 12, 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 

22, 2006, NYSE Arca, Inc. (‘‘NYSE 

Arca’’ or ‘‘Exchange’’) 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 

substantially prepared by the Exchange. 

NYSE Arca has designated this proposal 

as one establishing or changing a due, 

fee, or other charge imposed by NYSE 

Arca under Section 19(b)(3)(A)(ii) of the 

Act 3 and Rule 19b–4(f)(2) thereunder,4

which renders the proposal 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 Arca is proposing to amend its 

Schedule of Fees and Charges for 

Exchange Services (‘‘Schedule’’) in 

order to revise certain Royalty Fees 

assessed on options contracts traded on 

certain Exchange Traded Funds 

(‘‘ETFs’’), and to revise the Marketing 

Charge related to Market Maker 

transactions. 

Below is the text of the proposed rule 

change. Proposed new language is in 

italics; deleted language is in [brackets]. 

NYSE Arca Options: Trade-Related 

Charges 

* * * * * 

Marketing Charge 

For Nasdaq-100 Tracking Stock 

Options (QQQQ) $0.95 per contract side 

on all Market Maker transactions 

(excluding Market Maker to Market 

Maker transactions) and for Standard 

and Poor’s Depository Receipts (SPY) 

$1.00 per contract side on all Market 

Maker transactions (excluding Market 

Maker to Market Maker transactions). 

For all other NYSE Arca Equity 

Options: [$0.45] $0.65 per contract side 

on transactions of Lead Market Makers 

and Market Makers against all public 

customer orders. 

Royalty Fees 9

[For] Nasdaq Fidelity Composite 

Index ETF (ONEQ): $0.12[per contract 

side] 

Financial Select Sector SPRD 

(XLF) ......................................... $0.10 5

Technology Select Sector SPDR 

(XLK) ........................................ 0.10 

Healthcare Select Sector SPDR 

(XLV) ........................................ 0.10 

Russell 2000 Index (RUT) ........... 0.15 

5The Exchange inadvertently failed to designate the phrase ‘‘.10’’ in this line as proposed new text. For clarity, the new text has 

been underlined herein. 

Royalty Fees will be assessed on a percontract basis for firm, broker/dealer, 

and Market Maker transactions. [For 

IWB, IWD, IWM, IWN, IWO, IWR: $0.10 

per contract for firm, broker/dealer, and 

Market Maker transactions.] 

* * * * * 9[This] These fees will not be assessed on 

the customer side of transactions. Please refer 

to ‘‘Limit of Fees on Options Strategy 

Executions’’ section of this schedule for 

information regarding [r]Royalty [f]Fees 

associated with Options Strategy Executions 

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 

Exchange 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. NYSE 

Arca has substantially 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 

NYSE Arca is proposing to amend its 

Schedule in order to make the following 

changes to certain fees and charges that 

are assessed to OTP Holders and OTP 

Firms. The Exchange also proposes 

making minor technical changes to the 

Schedule at this time. 

Royalty Fees 

The Exchange proposes to eliminate 

the $0.10 per contract Royalty Fee on 

options traded on the following ETFs: 

the Russell 1000 Index Fund (IWB); the 

Russell 1000 Value Index Fund (IWD); 

the Russell 2000 Index Fund (IWM); the 

Russell 2000 Value Index Fund (IWN); 

the Russell 2000 Growth Fund (IWO); 

and the Russell Midcap Index fund 

(IWR). As of January 1, 2007, the 

Exchange will no longer assess the $0.10 

per contract on any transactions 

involving the aforementioned ETFs. 

The Exchange proposes to begin 

assessing a $0.10 per contract Royalty 

Fee on options traded on the following 

ETFs: the Financial Select Sector SPDR 

(XLF); the Technology Select Sector 

SPDR (XLK); and the Healthcare Select 

Sector SPRD (XLV). The Exchange also 

proposes a $0.15 per contract Royalty 

Fee on options traded on the Russell 

2000 Index (RUT). The Exchange will 

begin assessing these fees on 

transactions in the aforementioned ETFs 

as of January 1, 2007. 

Marketing Fees 

The Exchange presently assesses 

Market Makers 6 a per contract 

Marketing Fee on all transactions 

involving public customer orders. For 

orders in the NASDAQ–100 Tracking 

Stock (QQQQ), the Exchange charges 

Market Makers $0.95 per contract; in the 

Standard and Poor’s Depository 

Receipts (SPY), the Exchange charges 

$1.00 per contract. In all other issues, 

the Exchange charges Market Makers 

$0.45 per contract. The Exchange now 

proposes to amend the fee it charges on 

non-QQQQ and non-SPY transactions to 

$0.65 cents per contract. The fee on 

QQQQ and SPY orders will remain the 

same. The increased Marketing Fee will 

be used to attract additional order flow 

to the Exchange, thereby allowing NYSE 

Arca to remain competitive with other 


rmajette on PROD1PC67 with NOTICES