Federal Register / Vol. 72, No. 92 / Monday, May 14, 2007 / Notices 27155 

3 17 CFR 240.6a–4. 

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

2 17 CFR 240.19b–4. 

3See Securities Exchange Act Release No. 55068 

(January 9, 2007), 72 FR 2044 (‘‘Notice’’). 

4See Notice, supra note 3. 

5Specifically, the Exchange made a clarifying 

change to the language of Commentary .03(vii) to 

Amex Rule 950–ANTE(d). The Exchange also 

confirmed that if a public customer order either on 

the book or represented in the trading crowd has 

priority over the at-risk cross, the member firm 

would be permitted to participate only in those 

contracts remaining after the public customer’s 

order has been filled. Further, the Exchange 

represented that if there is a public customer order 

on the book or represented in the trading crowd on 

the same side of the market as, and priced at or 

better than, the public customer order that is part 

of the at-risk cross, the public customer order on the 

book or represented in the trading crowd would 

have priority. 

futures market may trade security 

futures products by registering as a 

national securities exchange. Rule 6a–43

sets forth these registration procedures 

and directs futures markets to submit a 

notice registration on Form 1–N. Form 

1–N calls for information regarding how 

the futures market operates, its rules 

and procedures, its criteria for 

membership, its subsidiaries and 

affiliates, and the security futures 

products it intends to trade. Rule 6a–4 

also would require entities that have 

submitted an initial Form 1–N to file: (1) 

Amendments to Form 1–N in the event 

of material changes to the information 

provided in the initial Form 1–N; (2) 

periodic updates of certain information 

provided in the initial Form 1–N; (3) 

certain information that is provided to 

the futures market’s members; and (4) a 

monthly report summarizing the futures 

market’s trading of security futures 

products. The information required to 

be filed with the Commission pursuant 

to Rule 6a–4 is designed to enable the 

Commission to carry out its statutorily 

mandated oversight functions and to 

ensure that registered and exempt 

exchanges continue to be in compliance 

with the Act. 

The respondents to the collection of 

information are futures markets. 

The Commission estimates that the 

total annual burden for all respondents 

to provide the amendments and 

periodic updates under Rule 6a–4 

would be 105 hours (15 hours/ 

respondent per year × seven 

respondents) and $10,066 ($1438/ 

response × seven responses/year). The 

Commission estimates that the total 

annual burden for the filing of the 

supplemental information and the 

monthly reports required under Rule 

6a–4 would be 87.5 hours (25 filings/ 

respondent × seven respondents × 0.5 

hours/response). The SEC estimates that 

the total annual cost for all 

supplemental filings would be $3675 

(25 filings/respondent per year × seven 

respondents × $21/response). 

Written comments are invited on: (a) 

Whether the proposed collection of 

information is necessary for the proper 

performance of the functions of the 

agency, including whether the 

information shall have practical utility; 

(b) the accuracy of the agency’s estimate 

of the burden of the proposed collection 

of information; (c) ways to enhance the 

quality, utility, and clarity of the 

information to be collected; and (d) 

ways to minimize the burden of the 

collection of information on 

respondents, including through the use 

of automated collection techniques or 

other forms of information technology. 

Consideration will be given to 

comments and suggestions submitted in 

writing within 60 days of this 

publication. 

Comments should be directed to: R. 

Corey Booth, Director/Chief Information 

Officer, Securities and Exchange 

Commission, C/O Shirley Martinson, 

6432 General Green Way, Alexandria, 

VA 22312 or send an e-mail to: 

PRA_Mailbox@sec.gov. Comments must 

be submitted within 60 days of this 

notice. 

Dated: May 7, 2007. 

Florence E. Harmon, 

Deputy Secretary. 

[FR Doc. E7–9180 Filed 5–11–07; 8:45 am] 

BILLING CODE 8010–01–P 

SECURITIES AND EXCHANGE 

COMMISSION 

[Release No. 34–55719; File No. SR–Amex–

2006–17] 

Self-Regulatory Organizations; 

American Stock Exchange LLC; Notice 

of Filing of Amendment Nos. 3 and 4 

Relating to Procedures for At-Risk 

Cross Transactions 

May 7, 2007. 

On February 17, 2006, the American 

Stock Exchange LLC (‘‘Amex’’ or 

‘‘Exchange’’) filed with the Securities 

and Exchange Commission 

(‘‘Commission’’), pursuant to Section 

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

of 1934 (‘‘Act’’) 1 and Rule 19b–4 

thereunder,2 a proposed rule change to 

adopt a new crossing procedure, the ‘‘atrisk cross,’’ as an alternative to the 

Exchange’s existing facilitation cross 

procedure. On November 9, 2006, the 

Exchange filed Amendment No. 1 to the 

proposed rule change, and on December 

1, 2006, the Exchange filed Amendment 

No. 2 to the proposed rule change. The 

proposed rule change, as modified by 

Amendment Nos. 1 and 2, was 

published for comment in the Federal 

Register on January 17, 2007.3 On 

March 28, 2007, the Exchange filed 

Amendment No. 3 to the proposed rule 

change, and on May 3, 2007, the 

Exchange filed Amendment No. 4 to the 

proposed rule change. Amendment Nos. 

3 and 4 are described in Item II below. 

The Commission is publishing this 

notice to solicit comments on the 

proposed rule change, as amended by 

Amendment Nos. 3 and 4, from 

interested persons. 

I. Self-Regulatory Organization’s 

Statement of the Terms of Substance of 

the Proposed Rule Change 

The Amex proposes to revise the 

procedures applicable to cross 

transactions in equity options to provide 

procedures for at-risk cross transactions. 

The text of the proposed rule change is 

available at the Amex, on the Amex’s 

Web site at http://amex.com, 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 

Amex 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. 

A. Self-Regulatory Organization’s 

Statement of the Purpose of, and 

Statutory Basis for, the Proposed Rule 

Change 

1. Purpose 

The Exchange proposes to provide an 

alternative crossing procedure to 

supplement the existing facilitation 

cross procedure in Commentary .02 to 

Amex Rule 950–ANTE(d). In this 

manner, the Amex would permit ‘‘atrisk’’ cross transactions by member 

firms. A complete description and 

statement of purpose of the proposed 

rule change, as modified by Amendment 

Nos. 1 and 2, may be found in the notice 

of filing previously published for 

comment in the Federal Register.4

In Amendment No. 3, the Exchange 

made technical and clarifying changes 

to the proposal 5 and stated that the 

proposed at-risk cross procedure would 

not apply to options classes that are part 

of the Exchange’s options penny pilot 


pwalker on PROD1PC71 with NOTICES
27156 Federal Register / Vol. 72, No. 92 / Monday, May 14, 2007 / Notices 

6See Securities Exchange Act Release No. 55162 

(January 24, 2007), 72 FR 4738 (February 1, 2007) 

(SR–Amex–2006–106). 

7 In addition, Amendment No. 4 makes nonsubstantive rule text changes and shows the text of 

the final proposal as marked against the current text 

of Amex Rule 950–ANTE(d). 

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

9 15 U.S.C. 78f(b)(5). 10 17 CFR 200.30–3(a)(12). 

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

2 17 CFR 240.19b–4. 

program.6 In Amendment No. 4, the 

Exchange proposes to allow the 

proposed at-risk crossing procedure to 

apply to options classes that are part of 

the options penny pilot program.7

2. Statutory Basis 

The Exchange believes that the 

proposed rule change is consistent with 

Section 6 of the Act 8 in general and 

furthers the objectives of Section 

6(b)(5) 9 in particular in that it is 

designed to perfect the mechanisms of 

a free and open market and the national 

market system, protect investors and the 

public interest, to foster cooperation and 

coordination with persons engaged in 

facilitating transactions in securities and 

promote just and equitable principles of 

trade. 

B. Self-Regulatory Organization’s 

Statement on Burden on Competition 

The proposed rule change will impose 

no burden on competition that is 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 by the Exchange on this 

proposal. 

III. Date of Effectiveness of the 

Proposed Rule Change and Timing for 

Commission Action 

Within 35 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 

90 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 Exchange 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–Amex–2006–17 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–Amex–2006–17. 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 the 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–Amex–2006–17 and should 

be submitted on or before May 29, 2007. 

For the Commission, by the Division of 

Market Regulation, pursuant to delegated 

authority.10

Florence E. Harmon, 

Deputy Secretary. 

[FR Doc. E7–9176 Filed 5–11–07; 8:45 am] 

BILLING CODE 8010–01–P 

SECURITIES AND EXCHANGE 

COMMISSION 

[Release No. 34–55724; File No. SR–CBOE–

2007–39] 

Self-Regulatory Organizations; 

Chicago Board Options Exchange, 

Incorporated; Notice of Filing of 

Proposed Rule Change Regarding 

Penny Price Improvement 

May 8, 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 April 24, 

2007, the Chicago Board Options 

Exchange, Incorporated (‘‘CBOE’’ 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 CBOE. 

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 CBOE proposes to amend its 

Rules regarding penny price 

improvement for options not currently 

quoted in one-cent increments. The text 

of the proposed rule change is set forth 

below. Proposed new language is 

italicized; and proposed deletions are 

[bracketed]. 

* * * * * 

Rule 6.13B. Penny Price Improvement 

The Exchange may designate one or 

more options trading on the Hybrid 

System for inclusion in the Penny Price 

Improvement Program. Under this 

program, the Exchange will allow all 

users to provide price improvement 

beyond the Exchange’s disseminated 

quotation (‘‘Penny Pricing’’) for classes 

or series that are not already quoted in 

one-cent increments and for which the 

Simple Auction Liaison system in Rule 

6.13A is not in effect. 

(a) Electronic Penny Pricing. 

Electronic penny prices may be 

established as follows: 

(1) Market-Makers. Market-Makers 

may electronically provide the Exchange 

with indications of interest that are 

superior to their own quotations in 

increments no smaller than one-cent. 

Such indications shall be firm for all 

interest received by the Exchange. The 

Exchange shall disseminate such 


pwalker on PROD1PC71 with NOTICES