Federal Register / Vol. 72, No. 90 / Thursday, May 10, 2007 / Notices 26663 

9 17 CFR 200.30–3(a)(12). 

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

2 17 CFR 240.19b–4. 

3Amendment No. 1 makes clarifications to the 

purpose section of the proposed rule change and 

technical formatting corrections to the Schedule of 

Fees contained in Exhibit 5. 

4 15 U.S.C. 78s(b)(3)(A)(ii). 

5 17 CFR 240.19b–4(f)(2). 

6 ‘‘Premium Products’’ is defined in the Schedule 

of Fees as the products enumerated therein. 

7See Securities Exchange Act Release No. 55575 

(April 3, 2007), 72 FR 17963 (April 10, 2007) (SR–

ISE–2006–59) (order approving the listing and 

trading of foreign currency options). 

8These fees will be charged only to Exchange 

members. 

9The execution fee is currently between $.21 and 

$.12 per contract side, depending on the Exchange 

Average Daily Volume, and the comparison fee is 

currently $.03 per contract side. 

10 ‘‘Public Customer Order’’ is defined in 

Exchange Rule 100(a)(39) as an order for the 

account of a Public Customer. ‘‘Public Customer’’

is defined in Exchange Rule 100(a)(38) as a person 

that is not a broker or dealer in securities. 

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–FICC–2007–02 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–FICC–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 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. The text of the proposed rule 

change is available at FICC, the 

Commission’s Public Reference Room, 

and http://www.ficc.com/commondocs/ 

rule.filings/rule.filing.07–02.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–FICC–2007–02 and should 

be submitted on or before May 31, 2007. 

For the Commission by the Division of 

Market Regulation, pursuant to delegated 

authority.9

Florence E. Harmon, 

Deputy Secretary. 

[FR Doc. E7–8913 Filed 5–9–07; 8:45 am] 

BILLING CODE 8010–01–P 

SECURITIES AND EXCHANGE 

COMMISSION 

[Release No. 34–55704; File No. SR–ISE–

2007–25] 

Self-Regulatory Organizations; 

International Securities Exchange, 

LLC; Notice of Filing and Immediate 

Effectiveness of a Proposed Rule 

Change as Modified by Amendment 

No. 1 Thereto Relating to Fee Changes 

May 3, 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 17, 

2007, the International Securities 

Exchange, LLC (‘‘ISE’’ 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 prepared substantially by the 

Exchange. On May 2, 2007, the ISE 

submitted Amendment No. 1 to the 

proposed rule change.3 ISE has 

designated this proposal as one 

establishing or changing a due, fee, or 

other charge imposed by ISE under 

Section 19(b)(3)(A)(ii) of the Act 4 and 

Rule 19b–4(f)(2) thereunder,5 which 

renders the proposal effective upon 

filing with the Commission. The 

Commission is publishing this notice to 

solicit comments on the proposed rule 

change, as amended, from interested 

persons. 

I. Self-Regulatory Organization’s 

Statement of the Terms of Substance of 

the Proposed Rule Change 

The ISE is proposing to amend its 

Schedule of Fees to establish fees for 

transactions in options on a new 

category of Premium Products.6 The text 

of the proposed rule change is available 

at the Exchange, the Commission’s 

Public Reference Room, and http:// 

www.iseoptions.com. 

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. ISE 

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 amend 

its Schedule of Fees to establish fees for 

transactions in options on a new 

category of Premium Products, foreign 

currency options, referred to in the 

Exchange’s Schedule of Fees as FX 

options.7 The Exchange began trading in 

FX options on April 17, 2007. All of the 

applicable execution fees covered by 

this filing are identical to fees charged 

by the Exchange for all other Premium 

Products. Specifically, the Exchange is 

proposing to adopt an execution fee and 

a comparison fee for all transactions in 

FX options.8 The amount of the 

execution fee and comparison fee for all 

ISE Market Maker transactions shall be 

equal to the execution fee and 

comparison fee currently charged by the 

Exchange for ISE Market Maker 

transactions in equity options.9 The 

amount of the execution fee and 

comparison fee for products covered by 

this filing shall be $0.15 and $0.03 per 

contract, respectively, for all Public 

Customer Orders 10 and Firm 

Proprietary orders. Finally, the amount 

of the execution fee and comparison fee 

for all non-ISE Market Maker 

transactions shall be $0.16 and $0.03 

per contract, respectively. Since FX 

options are not multiply-listed, the 

Payment for Order Flow fee shall not 

apply. 

In addition to the execution fees 

noted above, the Exchange also 

proposes to charge ISE market makers a 

monthly access fee of $500 for the right 

to quote in FX options. In order to 

promote trading in FX options, the 

Exchange proposes to waive, through 

October 17, 2007: (1) All transaction 


pwalker on PROD1PC71 with NOTICES
26664 Federal Register / Vol. 72, No. 90 / Thursday, May 10, 2007 / Notices 

11 15 U.S.C. 78f(b). 

12 15 U.S.C. 78f(b)(4). 

13 15 U.S.C. 78s(b)(3)(A)(ii). 

14 17 CFR 240.19b–4(f)(2). 

15For purposes of calculating the 60-day period 

within which the Commission may summarily 

abrogate the proposed rule change, the Commission 

considers the period to commence on May 2, 2007, 

the date on which the Exchange filed Amendment 

No. 1. 

16 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)(iii). 

4 17 CFR 240.19b–4(f)(3). 

fees applicable to members and (2) the 

monthly access fee applicable to ISE 

market makers. As a further incentive 

for market makers to quote in FX 

options, the Exchange proposes to waive 

one API for each class of market maker 

in FX options. For example, a firm that 

is both a primary market maker 

(‘‘PMM’’) and a competitive market 

maker (‘‘CMM’’) in FX options 

(‘‘FXPMM’’ and ‘‘FXCMM,’’

respectively) will receive a waiver of 

two APIs, one for quoting as a FXPMM 

and one for quoting as a FXCMM. 

Finally, FX options are an options 

product and, as such, are subject to 

certain other fees that are currently on 

the Schedule of Fees. These fees include 

the minimum PMM fee and the 

Inactivity fee applicable to both PMMs 

and CMMs. In order to promote trading 

in FX options, ISE proposes to exclude 

FXPMMs and FXCMMs from being 

subject to these fees. 

The Exchange believes that the 

proposed rule change will further the 

Exchange’s goal of introducing new 

products to the marketplace that are 

competitively priced. 

2. Statutory Basis 

The Exchange believes that the 

proposed rule change is consistent with 

the objectives of Section 6(b) of the 

Act 11 in general, and Section 6(b)(4) of 

the Act 12 in particular, in that it is 

designed to provide for the equitable 

allocation of reasonable dues, fees, and 

other charges among Exchange members 

and other persons using Exchange 

facilities. 

B. Self-Regulatory Organization’s 

Statement on Burden on Competition 

The Exchange believes that the 

proposed rule change will not impose 

any 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 

The Exchange has not solicited, and 

does not intend to solicit, comments on 

the proposed rule change. The Exchange 

has not received any unsolicited written 

comments from its members or other 

interested parties. 

III. Date of Effectiveness of the 

Proposed Rule Change and Timing for 

Commission Action 

The foregoing proposed rule change 

has become effective pursuant to 

Section 19(b)(3)(A)(ii) of the Act 13 and 

Rule 19b–4(f)(2) 14 thereunder, because 

it establishes or changes a due, fee, or 

other charge imposed by the Exchange. 

At any time within 60 days of the filing 

of such proposed 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.15

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–ISE–2007–25 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–ISE–2007–25. 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 ISE. 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–ISE–2007–25 and should be 

submitted on or before May 31, 2007. 

For the Commission, by the Division of 

Market Regulation, pursuant to delegated 

authority.16

Florence E. Harmon, 

Deputy Secretary. 

[FR Doc. E7–8912 Filed 5–9–07; 8:45 am] 

BILLING CODE 8010–01–P 

SECURITIES AND EXCHANGE 

COMMISSION 

[Release No. 34–55703; File No. SR–NASD–

2007–026] 

Self-Regulatory Organizations; 

National Association of Securities 

Dealers, Inc.; Notice of Filing and 

Immediate Effectiveness of Proposed 

Rule Change To Implement Technical 

Changes to the Customer, Industry 

and Mediation Codes 

May 3, 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 13, 

2007 the National Association of 

Securities Dealers, Inc. (‘‘NASD ‘‘), 

through its wholly owned subsidiary, 

NASD Dispute Resolution, Inc. (‘‘NASD 

Dispute Resolution’’) 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 NASD Dispute 

Resolution. NASD has designated the 

proposed rule change as concerned 

solely with the administration of the 

self-regulatory organization under 

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

Rule 19b–4(f)(3) thereunder,4 which 

renders the proposal effective upon 

receipt of this filing by the Commission. 

The Commission is publishing this 

notice to solicit comments on the 

proposed rule change from interested 

persons. 


pwalker on PROD1PC71 with NOTICES