31236 Federal Register / Vol. 83, No. 128 / Tuesday, July 3, 2018 / Notices 

16For purposes only of waiving the 30-day 

operative delay, the Commission has considered the 

proposed rule’s impact on efficiency, competition, 

and capital formation. See 15 U.S.C. 78c(f). 

17 17 CFR 200.30–3(a)(12), (59). 

1 17 CFR 242.612(c). 

2See Securities Exchange Act Release No. 71176 

(December 23, 2013), 78 FR 79524 (December 30, 

2013) (SR–NYSEArca–2013–107) (‘‘Order’’). 

3See id. 

4On March 19, 2015, the Exchange requested an 

extension of the exemption for the Program. See 

letter from Martha Redding, Senior Counsel and 

Assistant Secretary, to Brent J. Fields, Secretary, 

Commission, dated March 19, 2015. The pilot 

period for the Program was extended until 

September 30, 2015. See Securities Exchange Act 

Release No. 74572 (Mar. 24, 2015), 80 FR 16705 

(Mar. 30, 2015) (SR–NYSEArca–2015–22). On 

September 17, 2015, the Exchange requested 

another extension of the exemption for the Program. 

See letter from Martha Redding, Senior Counsel and 

Assistant Secretary, to Brent J. Fields, Secretary, 

Commission, dated September 17, 2015. The pilot 

period for the Program was extended until March 

31, 2016. See Securities Exchange Act Release Nos. 

75994 (Sept. 28, 2015), 80 FR 59834 (Oct. 2, 2015) 

(SR–NYSEArca–2015–84) and 77236 (Feb. 25, 

2016), 81 FR 10943 (Mar. 2, 2016) (SR–NYSEArca– 

2016–30). On March 17, 2016, the Exchange 

requested another extension of the exemption for 

the Program. See letter from Martha Redding, 

Senior Counsel and Assistant Secretary, to Brent J. 

Fields, Secretary, Commission, dated March 17, 

2016. The pilot period for the Program was 

extended until August 31, 2016. See Securities 

Exchange Act Release No. 77425 (Mar. 23, 2016), 81 

FR 17523 (Mar. 29, 2016) (SR–NYSEArca–2016–47). 

On August 8, 2016, the Exchange requested another 

extension of the exemption for the Program. See 

Letter from Martha Redding, Associate General 

Counsel and Assistant Secretary, to Brent J. Fields, 

Secretary, Commission, dated August 8, 2016. The 

pilot period for the Program was extended until 

December 31, 2016. See Securities Exchange Act 

Release No. 78601 (Aug. 17, 2016), 81 FR 57632 

(Aug. 23, 2016) (SR–NYSEArca–2016–113). On 

November 28, 2016, the Exchange requested 

another extension of the exemption for the program. 

See Letter from Martha Redding, Associate General 

Counsel and Assistant Secretary, to Brent J. Fields, 

Secretary, Commission, dated November 28, 2016. 

The pilot period for the Program was extended until 

June 30, 2017. See Securities Exchange Act Release 

No. 79495 (Dec. 7, 2016), 81 FR 90033 (Dec. 13, 

2016) (SR–NYSEArca–2016–157). On May 23, 2017, 

the Exchange requested another extension of the 

exemption for the program. See Letter from Martha 

Redding, Associate General Counsel and Assistant 

Secretary, to Brent J. Fields, Secretary, Commission, 

dated May 23, 2017. The pilot period for the 

Program was extended until December 31, 2017. 

See Securities Exchange Act Release No. 80851 

(June 2, 2017), 82 FR 26722 (June 8, 2017) (SR– 

NYSEArca–2017–63). On November 30, 2017, the 

Exchange requested another extension of the 

exemption to the program. See Letter from Martha 

Redding, Assistant Secretary, NYSE, to Brent J. 

Fields, Secretary, Commission, dated November 30, 

2017. The pilot period for the Program was 

extended until June 30, 2018. See Securities 

Exchange Act Release No. 82289 (December 11, 

2017), 82 FR 59677 (December 15, 2017) (SR– 

NYSEArca–2017–137). 

5See Letter from Martha Redding, Associate 

General Counsel and Assistant Secretary, NYSE to 

Brent J. Fields, Secretary, Commission, dated June 

14, 2018. 

immediately. The Commission believes 

that waiving the 30-day operative delay 

is consistent with the protection of 

investors and the public interest, 

because waiver would allow the pilot 

period to continue uninterrupted after 

its current expiration date of June 30, 

2018, thereby avoiding any potential 

investor confusion that could result 

from temporary interruption in the pilot 

program. For this reason, the 

Commission hereby waives the 30-day 

operative delay and designates the 

proposal operative upon filing.16

At any time within 60 days of the 

filing of the proposed rule change, the 

Commission summarily may 

temporarily suspend 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. If the 

Commission takes such action, the 

Commission shall institute proceedings 

to determine whether the proposed rule 

change should be approved or 

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 email to rule-comments@

sec.gov. Please include File Number SR– 

NYSE–2018–29 on the subject line. 

Paper Comments 

• Send paper comments in triplicate 

to Secretary, Securities and Exchange 

Commission, 100 F Street NE, 

Washington, DC 20549–1090. 

All submissions should refer to File 

Number SR–NYSE–2018–29. This file 

number should be included on the 

subject line if email 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 website (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 website viewing and 

printing in the Commission’s Public 

Reference Room, 100 F Street NE, 

Washington, DC 20549 on official 

business days between the hours of 

10:00 a.m. and 3:00 p.m. Copies of the 

filing also will be available for 

inspection and copying at the principal 

offices of the Exchange. All comments 

received will be posted without change. 

Persons submitting comments are 

cautioned that we do not redact or edit 

personal identifying information from 

comment submissions. You should 

submit only information that you wish 

to make available publicly. All 

submissions should refer to File 

Number SR–NYSE–2018–29, and 

should be submitted on or before July 

24, 2018. 

For the Commission, by the Division of 

Trading and Markets, pursuant to delegated 

authority.17

Eduardo A. Aleman, 

Assistant Secretary. 

[FR Doc. 2018–14286 Filed 7–2–18; 8:45 am] 

BILLING CODE 8011–01–P 

SECURITIES AND EXCHANGE 

COMMISSION 

[Release No. 34–83543; File No. SR– 

NYSEArca–2013–107] 

Self-Regulatory Organizations; NYSE 

Arca, Inc.; Order Granting an 

Extension to Limited Exemptions From 

Rule 612(c) of Regulation NMS In 

Connection With the Exchange’s Retail 

Liquidity Programs Until December 31, 

2018 

June 28, 2018. 

On December 23, 2013, the Securities 

and Exchange Commission 

(‘‘Commission’’) issued an order 

pursuant to its authority under Rule 

612(c) of Regulation NMS (‘‘Sub-Penny 

Rule’’) 1 that granted NYSE Arca, Inc. 

(‘‘Exchange’’) a limited exemption from 

the Sub-Penny Rule in connection with 

the operation of the Exchange’s Retail 

Liquidity Program (the ‘‘Program’’).2

The limited exemption was granted 

concurrently with the Commission’s 

approval of the Exchange’s proposal to 

adopt its Program for a one-year pilot 

term.3 The exemption was granted 

coterminous with the effectiveness of 

the pilot Program; both the pilot 

Program and exemption are scheduled 

to expire on June 30, 2018.4

The Exchange now seeks to extend 

the exemptions until December 31, 

2018.5 The Exchange’s request was 

made in conjunction with an 

immediately effective filing that extends 


sradovich on DSK3GMQ082PROD with NOTICES
Federal Register / Vol. 83, No. 128 / Tuesday, July 3, 2018 / Notices 31237 

6See SR–NYSEArca–2018–46. 

7 17 CFR 200.30–3(a)(83). 

1 12 U.S.C. 5465(e)(1). 

2 17 CFR 240.19b–4(n)(1)(i). 

3 15 U.S.C. 78a et seq. 

4Amendment No. 1 replaced and superseded the 

Initial Filing in its entirety. The only substantive 

change in Amendment No. 1 was to remove OCC’s 

proposal to establish certain ‘‘evergreen’’ provisions 

for future renewals of its revolving credit facility. 

Amendment No. 1 did not change the purpose, 

basis, or terms of the proposed renewal. 

5OCC’s By-Laws and Rules can be found on 

OCC’s public website: http://optionsclearing.com/ 

about/publications/bylaws.jsp. 

6See generally Article VIII, Sections 5(a), (b) and 

(e) of OCC’s By-Laws; Interpretation and Policy .06 

to Article VIII, Section 5; OCC Rules 1102 and 

1104(b). 

the operation of the Program through 

the same date.6 In its request to extend 

the exemption, the Exchange notes that 

the participation in the Program has 

increased more recently with additional 

Retail Liquidity Providers. Accordingly, 

the Exchange has asked for additional 

time to both allow for additional 

opportunities for greater participation in 

the Program and allow for further 

assessment of the results of such 

participation. For this reason and the 

reasons stated in the Order originally 

granting the limited exemptions, the 

Commission finds that extending the 

exemption, pursuant to its authority 

under Rule 612(c) of Regulation NMS, is 

appropriate in the public interest and 

consistent with the protection of 

investors. 

Therefore, it is hereby ordered that, 

pursuant to Rule 612(c) of Regulation 

NMS, the Exchange is granted a limited 

exemption from Rule 612 of Regulation 

NMS that allows it to accept and rank 

orders priced equal to or greater than 

$1.00 per share in increments of $0.001, 

in connection with the operation of its 

Retail Liquidity Program, until 

December 31, 2018. 

The limited and temporary exemption 

extended by this Order is subject to 

modification or revocation if at any time 

the Commission determines that such 

action is necessary or appropriate in 

furtherance of the purposes of the 

Securities Exchange Act of 1934. 

Responsibility for compliance with any 

applicable provisions of the Federal 

securities laws must rest with the 

persons relying on the exemptions that 

are the subject of this Order. 

For the Commission, by the Division of 

Trading and Markets, pursuant to delegated 

authority.7

Eduardo A. Aleman, 

Assistant Secretary. 

[FR Doc. 2018–14283 Filed 7–2–18; 8:45 am] 

BILLING CODE 8011–01–P 

SECURITIES AND EXCHANGE 

COMMISSION 

[Release No. 34–83529; File No. SR–OCC– 

2018–802] 

Self-Regulatory Organizations; The 

Options Clearing Corporation; Notice 

of Filing of Advance Notice of and No 

Objection to The Options Clearing 

Corporation’s Proposal To Enter Into a 

New Credit Facility Agreement 

June 27, 2018. 

Pursuant to Section 806(e)(1) of Title 

VIII of the Dodd-Frank Wall Street 

Reform and Consumer Protection Act, 

entitled Payment, Clearing and 

Settlement Supervision Act of 2010 

(‘‘Clearing Supervision Act’’) 1 and Rule 

19b–4(n)(1)(i) 2 under the Securities 

Exchange Act of 1934 (‘‘Act’’),3 notice is 

hereby given that on May 25, 2018, The 

Options Clearing Corporation (‘‘OCC’’) 

filed with the Securities and Exchange 

Commission (‘‘Commission’’) an 

advance notice as described in Items I, 

II and III below, which Items have been 

prepared by OCC. On June 26, 2018, 

OCC filed Amendment No. 1 to the 

advance notice.4 The Commission is 

publishing this notice to solicit 

comments on the advance notice from 

interested persons, and to provide 

notice that the Commission does not 

object to the changes set forth in the 

advance notice. 

I. Clearing Agency’s Statement of the 

Terms of Substance of the Advance 

Notice 

This advance notice is filed in 

connection with a proposed change to 

its operations in the form of the 

replacement of a revolving credit facility 

that OCC maintains for a 364-day term 

and that it may use (i) in anticipation of 

a potential default by or suspension of 

a Clearing Member, (ii) to meet 

obligations arising out of the default or 

suspension of a Clearing Member, (iii) to 

meet reasonably anticipated liquidity 

needs for same-day settlement as a 

result of the failure of any bank or 

securities or commodities clearing 

organization to achieve daily settlement, 

or (iv) to meet obligations arising out of 

the failure of a bank or securities or 

commodities clearing organization to 

perform its obligations due to its 

bankruptcy, insolvency, receivership or 

suspension of operations. 

All terms with initial capitalization 

not defined herein have the same 

meaning as set forth in OCC’s By-Laws 

and Rules.5

II. Clearing Agency’s Statement of the 

Purpose of, and Statutory Basis for, the 

Advance Notice 

In its filing with the Commission, 

OCC included statements concerning 

the purpose of and basis for the advance 

notice and discussed any comments it 

received on the advance notice. The text 

of these statements may be examined at 

the places specified in Item IV below. 

OCC has prepared summaries, set forth 

in sections A and B below, of the most 

significant aspects of these statements. 

(A) Clearing Agency’s Statement on 

Comments on the Advance Notice 

Received From Members, Participants or 

Others 

Written comments were not and are 

not intended to be solicited with respect 

to the proposed rule change and none 

have been received. OCC will notify the 

Commission of any written comments 

received by OCC. 

(B) Advance Notices Filed Pursuant to 

Section 806(e) of the Payment, Clearing, 

and Settlement Supervision Act 

Description of the Proposed Change 

Background 

This advance notice is being filed in 

connection with a proposed change in 

the form of the replacement of a 

revolving credit facility that OCC 

maintains for a 364-day term and that it 

may use (i) in anticipation of a potential 

default by or suspension of a Clearing 

Member, (ii) to meet obligations arising 

out of the default or suspension of a 

Clearing Member, (iii) to meet 

reasonably anticipated liquidity needs 

for same-day settlement as a result of 

the failure of any bank or securities or 

commodities clearing organization to 

achieve daily settlement, or (iv) to meet 

obligations arising out of the failure of 

a bank or securities or commodities 

clearing organization to perform its 

obligations due to its bankruptcy, 

insolvency, receivership or suspension 

of operations (‘‘Permitted Use 

Circumstances’’). In any such Permitted 

Use Circumstance, OCC has certain 

conditional authority under its By-Laws 

and Rules to borrow or otherwise obtain 

funds from third parties using Clearing 

Member margin deposits and/or 

Clearing Fund contributions.6

OCC’s existing credit facility 

(‘‘Existing Facility’’) was implemented 

as of June 30, 2017, through the 

execution of a credit agreement among 

OCC, the administrative agent, collateral 

agent and the lenders that are parties to 

the agreement from time to time. The 

Existing Facility provides short-term 

secured borrowings in an aggregate 

principal amount of $2 billion but may 

be increased to $3 billion if OCC so 

requests and sufficient commitments 


sradovich on DSK3GMQ082PROD with NOTICES