[Federal Register Volume 77, Number 54 (Tuesday, March 20, 2012)]
[Notices]
[Pages 16283-16287]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2012-6582]


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SECURITIES AND EXCHANGE COMMISSION

[Release No. 34-66584; File No. SR-Phlx-2012-26]


Self-Regulatory Organizations; NASDAQ OMX PHLX LLC; Notice of 
Filing and Immediate Effectiveness of Proposed Rule Change Relating to 
Equity Options Fees

March 13, 2012.
    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 February 29, 2012, NASDAQ OMX PHLX LLC (``Phlx'' or 
``Exchange'') filed with the Securities and Exchange Commission 
(``SEC'' or ``Commission'') the proposed rule change as described in 
Items I, II, and III below, which Items have been prepared by the 
Exchange. The Commission is publishing this notice to solicit comments 
on the proposed rule change from interested persons.
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    \1\ 15 U.S.C. 78s(b)(1).
    \2\ 17 CFR 240.19b-4.
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I. Self-Regulatory Organization's Statement of the Terms of Substance 
of the Proposed Rule Change

    The Exchange proposes to amend Section II of the Exchange's Fee 
Schedule entitled ``Equity Options Fees.''
    While changes to the Fee Schedule pursuant to this proposal are 
effective upon filing, the Exchange has designated these changes to be 
operative on March 1, 2012.
    The text of the proposed rule change is available on the Exchange's 
Web site at http://nasdaqtrader.com/micro.aspx?id=PHLXRulefilings, at 
the principal office of the Exchange, 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 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. The Exchange has prepared summaries, set forth in 
sections A, B, and C below, of the most significant aspects of such 
statements.

[[Page 16284]]

A. Self-Regulatory Organization's Statement of the Purpose of, and the 
Statutory Basis for, the Proposed Rule Change

1. Purpose
    The Exchange proposes to amend Section II \3\ of the Exchange's Fee 
Schedule to: (i) Amend non-Penny Pilot \4\ option transaction fees for 
electronically-delivered Broker-Dealer and Firm orders; (ii) amend 
rebates paid for electronically-delivered Customer orders; and (iii) 
increase Market Maker \5\ and Firm fees on certain electronically-
delivered Customer transactions, in order to attract additional order 
flow to the Exchange and subsidize the cost of offering rebates to 
increase market participation through increased liquidity.
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    \3\ Section II of the Fee Schedule includes options overlying 
equities, ETFs, ETNs, indexes and HOLDRs which are Multiply Listed.
    \4\ Non-Penny refers to options classes not in the Penny Pilot. 
The Penny Pilot was established in January 2007; and in October 
2009, it was expanded and extended through June 30, 2012. See 
Securities Exchange Act Release Nos. 55153 (January 23, 2007), 72 FR 
4553 (January 31, 2007) (SR-Phlx-2006-74) (notice of filing and 
approval order establishing Penny Pilot); 60873 (October 23, 2009), 
74 FR 56675 (November 2, 2009) (SR-Phlx-2009-91) (notice of filing 
and immediate effectiveness expanding and extending Penny Pilot); 
60966 (November 9, 2009), 74 FR 59331 (November 17, 2009) (SR-Phlx-
2009-94) (notice of filing and immediate effectiveness adding 
seventy-five classes to Penny Pilot); 61454 (February 1, 2010), 75 
FR 6233 (February 8, 2010) (SR-Phlx-2010-12) (notice of filing and 
immediate effectiveness adding seventy-five classes to Penny Pilot); 
62028 (May 4, 2010), 75 FR 25890 (May 10, 2010) (SR-Phlx-2010-65) 
(notice of filing and immediate effectiveness adding seventy-five 
classes to Penny Pilot); 62616 (July 30, 2010), 75 FR 47664 (August 
6, 2010) (SR-Phlx-2010-103) (notice of filing and immediate 
effectiveness adding seventy-five classes to Penny Pilot); 63395 
(November 30, 2010), 75 FR 76062 (December 7, 2010) (SR-Phlx-2010-
167) (notice of filing and immediate effectiveness extending the 
Penny Pilot); and 65976 (December 15, 2011), 76 FR 79247 (December 
21, 2011) (SR-Phlx-2011-172) (notice of filing and immediate 
effectiveness extending the Penny Pilot). See also Exchange Rule 
1034.
    \5\ The term ``Market Maker'' is utilized herein to describe 
fees and rebates applicable to Specialists, Registered Options 
Traders, Streaming Quote Traders and Remote Streaming Quote Traders.
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    The Exchange currently does not distinguish between non-
electronically and electronically-delivered \6\ Firm transactions in 
Section II of the Fee Schedule. The Exchange, however, currently does 
categorize its Market Maker and Broker-Dealer fees by non-
electronically and electronically-delivered orders. At this time, the 
Exchange proposes to create separate fees for non-electronically versus 
electronically-delivered Firm orders in further recognition of the 
distinction between the floor order entry model and the electronic 
model and also in response to competition along the same lines. The 
Exchange currently assesses the following fees for Firms in Section II 
of the Fee Schedule:
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    \6\ A transaction resulting from an order that was 
electronically delivered utilizes Phlx XL II. See Exchange Rules 
1014 and 1080. Electronically delivered orders do not include orders 
delivered through the Floor Broker Management System. A transaction 
resulting from an order that is non-electronically-delivered is 
represented on the trading floor by a floor broker. See Exchange 
Rule 1063. All orders will be either electronically or non-
electronically delivered.

------------------------------------------------------------------------
                                                                   Firm
------------------------------------------------------------------------
Options Transaction Charge (Penny Pilot).......................      .25
Options Transaction Charge (non-Penny Pilot)...................      .25
Options Surcharge in RUT, MNX and NDX..........................      .15
Options Surcharge in BKX.......................................      .10
FLEX Options...................................................      .10
Cabinet Options................................................      .10
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    The Exchange proposes to assess the same fees for non-
electronically and electronically-delivered Firm orders with the 
exception of the options transaction charge for a non-Penny Pilot which 
is electronically-delivered. The Exchange proposes to amend the current 
$.25 per contract transaction Firm fee for a non-Penny Pilot, 
electronically-delivered options order to $.40 per contract. Section II 
of the Fee Schedule would be amended to reflect the Firm transaction 
charges as follows:

------------------------------------------------------------------------
                                                          Firm
------------------------------------------------------------------------
                                                                 Non-
                                                 Electronic   electronic
------------------------------------------------------------------------
Options Transaction Charge (Penny Pilot)......          .25          .25
Options Transaction Charge (non-Penny Pilot)..          .40          .25
Options Surcharge in RUT, MNX and NDX.........          .15          .15
Options Surcharge in BKX......................          .10          .10
FLEX Options..................................          .10          .10
Cabinet Options...............................          .10          .10
------------------------------------------------------------------------

    The Exchange also proposes to increase the current Broker-Dealer 
electronically-delivered, non-Penny Pilot options transaction fee from 
$0.45 per contract to $.50 per contract. The Exchange believes that 
increasing both the Firm and Broker-Dealer transaction charges for 
electronically-delivered, non-Penny Pilot Options will allow the 
Exchange to compete more effectively by subsidizing rebates offered on 
electronically-delivered Customer orders.
    The Exchange also proposes to amend the current rebate applicable 
to Customer Complex Orders \7\ that are electronically-delivered. The 
Exchange currently pays a rebate of $0.05 per contract for Customer 
Complex Orders that are electronically-delivered. The Exchange proposes 
to increase this rebate to $0.07 per contract and apply the rebate to 
all Customer orders (simple and Complex Orders) that are 
electronically-delivered provided the member has an average daily 
volume of 50,000 contracts or greater in a given month. PIXL Orders \8\ 
and QCC Orders \9\ would be ineligible for the rebate and excluded from 
the calculation of the 50,000 contracts. The Exchange believes that 
this rebate will encourage members to transact a greater number of 
orders and attract Customer order flow.
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    \7\ A Complex Order is any order involving the simultaneous 
purchase and/or sale of two or more different options series in the 
same underlying security, priced at a net debit or credit based on 
the relative prices of the individual components, for the same 
account, for the purpose of executing a particular investment 
strategy. Furthermore, a Complex Order can also be a stock-option 
order, which is an order to buy or sell a stated number of units of 
an underlying stock or ETF coupled with the purchase or sale of 
options contract(s). See Exchange Rule 1080, Commentary .08(a)(i).
    \8\ A member may electronically submit for execution an order it 
represents as agent on behalf of a public customer, broker-dealer, 
or any other entity (``PIXL Order'') against principal interest or 
against any other order (except as provided in Rule 1080(n)(i)(E)) 
it represents as agent (``Initiating Order'') provided it submits 
the PIXL order for electronic execution into the PIXL Auction 
(``Auction'') pursuant to Rule 1080. See Exchange Rule 1080(n).
    \9\ A QCC Order is comprised of an order to buy or sell at least 
1,000 contracts that is identified as being part of a qualified 
contingent trade, as that term is defined in Rule 1080(o)(3), 
coupled with a contra-side order to buy or sell an equal number of 
contracts. The QCC Order must be executed at a price at or between 
the National Best Bid and Offer and be rejected if a Customer order 
is resting on the Exchange book at the same price. A QCC Order shall 
only be submitted electronically from off the floor to the PHLX XL 
II System. See Rule 1080(o). See also Securities Exchange Act 
Release No. 64249 (April 7, 2011), 76 FR 20773 (April 13, 2011) (SR-
Phlx-2011-47) (a rule change to establish a QCC Order to facilitate 
the execution of stock/option Qualified Contingent Trades (``QCTs'') 
that satisfy the requirements of the trade through exemption in 
connection with Rule 611(d) of Regulation NMS). Floor QCC Orders are 
not electronically submitted. A Floor QCC Order must: (i) be for at 
least 1,000 contracts, (ii) meet the six requirements of Rule 
1080(o)(3) which are modeled on the QCT Exemption, (iii) be executed 
at a price at or between the National Best Bid and Offer (``NBBO''); 
and (iv) be rejected if a Customer order is resting on the Exchange 
book at the same price. In order to satisfy the 1,000-contract 
requirement, a Floor QCC Order must be for 1,000 contracts and could 
not be, for example, two 500-contract orders or two 500-contract 
legs. See Rule 1064(e). See also Securities Exchange Act Release No. 
64688 (June 16, 2011), 76 FR 36606 (June 22, 2011) (SR-Phlx-2011-
56).
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    Finally, the Exchange proposes to amend the current fees which are

[[Page 16285]]

assessed on Market Makers and Firms that are on the contra-side of an 
electronically-delivered and executed Customer Complex Order. 
Currently, the Exchange assesses Market Makers that (i) are on the 
contra-side of an electronically-delivered and executed Customer 
Complex Order; and (ii) have reached the Monthly Market Maker Cap,\10\ 
a $0.05 per contract fee. The Exchange is proposing to increase the fee 
assessed to Market Makers from $0.05 to $0.07 per contract and assess 
the fee on orders that (i) are on the contra-side of an electronically-
delivered and executed Customer order; and (ii) have reached the 
Monthly Market Maker Cap, excluding PIXL Orders. The increased fee 
would therefore apply to all Customer orders (both simple and Complex 
Orders). The Exchange is proposing the same amendment to the Monthly 
Firm Fee Cap.\11\ Currently, the Exchange assesses Firms that (i) are 
on the contra-side of an electronically-delivered and executed Customer 
Complex Order; and (ii) have reached the Monthly Firm Fee Cap, a $0.05 
per contract fee. The Exchange likewise proposes to assess Firms that 
(i) are on the contra-side of an electronically-delivered and executed 
Customer order (both simple and Complex Orders); and (ii) have reached 
the Monthly Firm Fee Cap, an increased fee of $0.07 per contract, 
excluding PIXL Orders.\12\ The Exchange believes that these increased 
fees assessed on Market Makers and Firms will allow the Exchange to 
continue to subsidize the rebates it offers to attract greater 
liquidity and Customer order flow to the Exchange.
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    \10\ Market Makers are currently subject to a Monthly Market 
Maker Cap of $550,000. The trading activity of separate Market Maker 
member organizations is aggregated in calculating the Monthly Market 
Maker Cap if there is at least 75% common ownership between the 
member organizations.
    \11\ Firms are subject to a maximum fee of $75,000 (``Monthly 
Firm Fee Cap''). Firm equity option transaction fees and QCC 
Transaction Fees in the aggregate, for one billing month, may not 
exceed the Monthly Firm Fee Cap per member organization when such 
members are trading in their own proprietary account. All dividend, 
merger, short stock interest and reversal and conversion strategy 
executions are excluded from the Monthly Firm Fee Cap. The Firm 
equity options transaction fees are waived for members executing 
facilitation orders pursuant to Exchange Rule 1064 when such members 
are trading in their own proprietary account. QCC Transaction Fees 
are included in the calculation of the Monthly Firm Fee Cap.
    \12\ QCC Orders are assessed a $0.07 Service Fee today, which 
applies to every contract side of the QCC Order and Floor QCC Order 
once a Firm or Market Maker has reached the Monthly Firm Fee Cap or 
Monthly Market Maker Cap, respectively.
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2. Statutory Basis
    The Exchange believes that its proposal to amend its Fee Schedule 
is consistent with Section 6(b) of the Act \13\ in general, and 
furthers the objectives of Section 6(b)(4) of the Act \14\ in 
particular, in that it is an equitable allocation of reasonable fees 
and other charges among Exchange members and other persons using its 
facilities. The Exchange also believes that it is an equitable 
allocation of reasonable rebates among Exchange members and other 
persons using its facilities.
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    \13\ 15 U.S.C. 78f(b).
    \14\ 15 U.S.C. 78f(b)(4).
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    The Exchange believes that its proposal to amend both the Firm and 
Broker-Dealer transaction charges for electronically-delivered, non-
Penny Pilot Options is reasonable because these fees are within the 
range of fees assessed by other Exchanges. NYSE Arca, Inc. (``NYSE 
Arca'') assesses Firms and Broker-Dealers a $0.50 per contract fee for 
electronic orders.\15\ The Exchange also proposes to assess Firms and 
Broker-Dealers these transaction fees in order to subsidize the rebates 
the Exchange pays members to incentivize liquidity.
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    \15\ See NYSE Arca's Fee Schedule.
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    The Exchange believes that its proposal to assess Firms and Broker-
Dealers increased transaction fees for electronically-delivered, non-
Penny Pilot Options is equitable and not unfairly discriminatory 
because the fees proposed for Firms and Broker-Dealers are within the 
range of fees assessed by the Exchange in Section I of the Fee 
Schedule.\16\ Firms and Broker Dealers are assessed a $0.45 per 
contract Fee for Removing Liquidity when transacting a Single contra-
side order in a Select Symbol.\17\ In addition, these fees would be 
assessed uniformly to all Firms and Broker-Dealers. The Exchange also 
believes that it is equitable and not unfairly discriminatory to assess 
Market Makers transacting electronically-delivered, non-Penny Pilot 
Options a lower fee \18\ as compared to Firms and Broker-Dealers 
because Market Makers have burdensome quoting obligations \19\ to the 
market which do not apply to Firms and Broker-Dealers. Customers are 
not assessed a fee for transacting non-Penny Pilot Options. The 
Exchange believes that not assessing Customers a fee for 
electronically-delivered, non-Penny Pilot Options benefits all market 
participants, because of the increased liquidity such Customer order 
flow brings to the Exchange. Also, Professionals continue to be 
assessed a higher fee as compared to Customers in non-Penny Pilot 
Options. This fee is the same rate ($0.20 per contract) as the 
Professional fee for Penny Pilot Options.
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    \16\ Section I of the Fee Schedule, entitled ``Rebates and Fees 
for Adding and Removing Liquidity in Select Symbols,'' applies to 
Select Symbols which are electronically traded. These Select Symbols 
are defined in Section I and are Multiply Listed, similar to the 
options in Section II of the Fee Schedule.
    \17\ See Section I of the Exchange's Fee Schedule.
    \18\ Market Makers are assessed a fee of $0.23 per contract for 
electronically-delivered, non-Penny Pilot Options.
    \19\ See Exchange Rule 1014 titled ``Obligations and 
Restrictions Applicable to Specialists and Registered Options 
Traders.''
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    The Exchange believes that its proposal to increase the current 
rebate paid for Customer Complex Orders from $0.05 to $0.07 per 
contract is reasonable because the Exchange is also expanding the 
rebate to apply to all Customer orders (both simple and Complex 
Orders), which are electronically-delivered.\20\ The Exchange's 
proposal also limits the rebate to a member who has an average daily 
volume of 50,000 contracts or greater in a given month. The Exchange 
believes that this proposed rebate is reasonable because it seeks to 
incentivize members to transact a greater number of Customer orders, 
which in turn benefits all market participants because of the increased 
liquidity such orders bring to the market. Similar to current fees on 
the NASDAQ Options Market LLC (``NOM''), the Exchange is proposing to 
offer a rebate based on a certain volume criteria.\21\ In particular, 
the Exchange believes the 50,000 contracts volume threshold is 
reasonable because the requirement to transact an average daily volume 
of at least 50,000 contracts or greater in a given month, should 
incentivize members to transact a greater number of orders on the 
Exchange to obtain the benefit of the rebate. The Exchange believes 
that the volume threshold should incentivize members to increase 
liquidity at the Exchange, thereby benefitting all market participants. 
Similar to this proposal, the Chicago Board Options Exchange 
Incorporated (``CBOE'') offers a volume incentive program. CBOE credits 
each Trading Permit Holder (``TPH'') a certain per contract amount 
based on the volume of customer contracts the TPH executes 
electronically at CBOE in multiply-listed option classes (excluding 
qualified contingent cross

[[Page 16286]]

trades).\22\ The Exchange's proposal to exclude PIXL and QCC Orders 
from the rebate and volume threshold calculation is reasonable, 
equitable and not unfairly discriminatory because PIXL and QCC Orders 
have the opportunity to receive rebates today,\23\ and the Exchange is 
paying the rebate uniformly to its members.
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    \20\ Today the rebate of $0.05 per contract is paid for a 
Customer Complex Order that is electronically-delivered.
    \21\ NOM currently has a tiered rebate with certain volume 
criteria for Customer orders in Penny Pilot Options. See Chapter XV, 
Section 2 entitled ``NASDAQ Options Market--Fees.''
    \22\ See CBOE's Fees Schedule. CBOE offers a per contract credit 
ranging from $.00 to $.20 per contract based on a certain volume 
threshold which ranges from 0 to 375,001 plus customer contracts per 
day.
    \23\ See Sections II and IV(A) of the Exchange's Fee Schedule. A 
PIXL Order will receive the rebate for adding liquidity when 
executed against contra-side order(s) that respond to the PIXL 
auction broadcast message as well as when executed against contra-
side quotes and unrelated orders on the PHLX book that arrived after 
the PIXL auction was initiated.
    A rebate of $0.07 per contract is paid for all qualifying 
executed QCC Orders up to 1,000,000 contracts in a month, as defined 
in Exchange Rule 1080(o) and Floor QCC Orders, as defined in 
1064(e), except where the transaction is either: (i) Customer-to-
Customer; or (ii) a dividend, merger or short stock interest 
strategy and executions subject to the Reversal and Conversion Cap 
(as defined in Section II). If a member exceeds 1,000,000 contracts 
in a month of qualifying executed QCC Orders, a $0.10 rebate will be 
paid on all qualifying executed QCC Orders, as defined in Exchange 
Rule 1080(o), and Floor QCC Orders, as defined in 1064(e), in that 
month.
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    The Exchange believes that its proposal to offer a rebate of $0.07 
per contract for Customer orders that are electronically-delivered, 
provided a member has an average daily volume of 50,000 contracts or 
greater in a given month, is equitable and not unfairly discriminatory 
because the Exchange is seeking to further incentivize members to send 
additional Customer order flow to the Exchange. Once the volume 
threshold is met, the Exchange would pay a $0.07 per contract rebate, 
on all applicable Customer orders, uniformly to members. The Exchange 
believes that by expanding the rebate to apply to all Customer orders, 
and not just Complex Orders, and also offering a higher rebate, 
provides members with an added incentive to successfully take advantage 
of the rebate by executing a greater number of orders at the Exchange 
to the benefit of all participants. In addition, the Exchange believes 
that its proposal to require members to transact an average daily 
volume of 50,000 contracts or greater in a given month to obtain the 
rebate is equitable and not unfairly discriminatory because the volume 
threshold should incentivize members to bring greater liquidity to the 
Exchange, thereby benefitting all market participants.
    The Exchange believes that the proposed Firm and Market Maker fees 
of $0.07 per contract, when a Firm or Market Maker is on the contra-
side of an electronically-delivered and executed Customer order and has 
reached the respective Monthly Firm Fee Cap or Monthly Market Maker 
Cap, are reasonable because the fees would continue to defray the cost 
of paying Customer rebates, which are offered in certain circumstances. 
Specifically, the Exchange's proposal to increase the fees applicable 
to Firms and Market Makers from $0.05 to $0.07 per contract and expand 
the applicable orders to all Customer orders, and not just Complex 
Orders, is reasonable because the Exchange desires to subsidize its 
proposal to increase the rebate on Customer orders from $0.05 to $0.07 
per contract and apply the rebate to all Customer orders, provided a 
volume threshold is met. The Exchange believes that it is reasonable, 
equitable and not unfairly discriminatory to exclude PIXL Orders 
because those orders have their own fees and rebates and the Exchange 
does not believe that additional rebates are required with respect to 
PIXL Orders.\24\ In addition, QCC Orders today pay a Service Fee of 
$0.07 per side in certain circumstances.\25\ Also, the Exchange would 
uniformly assess the proposed fees on its members.
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    \24\ See Section IV (A) of the Exchange's Fee Schedule.
    \25\ See Section II of the Exchange's Fee Schedule.
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    The Exchange believes that its proposal to assess increased fees of 
$0.07 per contract on Market Makers and Firms that have reached the 
respective cap and are on the contra-side of a Customer order is 
equitable and not unfairly discriminatory because the fees would only 
be assessed once the applicable cap is reached and would uniformly 
apply to all Market Makers and Firms that have reached the respective 
cap. Both Market Makers and Firms benefit from the liquidity which the 
proposed $0.07 per contract rebate on Customer orders brings to the 
Exchange, which rebate the proposed fees subsidize. In addition, the 
proposed fees would apply only in certain circumstances where the 
Market Maker or Firm is not otherwise subject to transaction fees 
(because the applicable cap has been reached) and specifically on the 
contra-side of a Customer order, which is electronically-delivered.
    The Exchange operates in a highly competitive market in which 
market participants can readily direct order flow to competing venues 
if they deem fee levels at a particular venue to be excessive. The 
Exchange believes that the fees it charges and rebates it pays must 
remain competitive with fees and rebates charged/paid by other venues 
and therefore continue to be reasonable and equitably allocated to 
those members that opt to direct orders to the Exchange rather than 
competing venues.

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 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 either solicited or received.

III. Date of Effectiveness of the Proposed Rule Change and Timing for 
Commission Action

    The foregoing rule change has become effective pursuant to Section 
19(b)(3)(A)(ii) of the Act.\26\ 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 should be approved or disapproved.
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    \26\ 15 U.S.C. 78s(b)(3)(A)(ii).
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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

    <bullet> Use the Commission's Internet comment form (http://www.sec.gov/rules/sro.shtml); or
    <bullet> Send an email to <a href="/cdn-cgi/l/email-protection#7b090e171e56181416161e150f083b081e18551c140d"><span class="__cf_email__" data-cfemail="354740595018565a5858505b4146754650561b525a43">[email protected]</span></a>. Please include 
File No. SR-Phlx-2012-26 on the subject line.

Paper Comments

    <bullet> Send paper comments in triplicate to Elizabeth M. Murphy, 
Secretary, Securities and Exchange Commission, 100 F Street NE., 
Washington, DC 20549-1090.

All submissions should refer to File No. SR-Phlx-2012-26. This file 
number should be included on the subject line if email is used. To help 
the Commission process and review your

[[Page 16287]]

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 Web site 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 a.m. and 3 p.m. 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 No. SR-Phlx-2012-26 and should be submitted on or before April 10, 
2012.

    For the Commission, by the Division of Trading and Markets, 
pursuant to delegated authority.\27\
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    \27\ 17 CFR 200.30-3(a)(12).
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Kevin M. O'Neill,
Deputy Secretary.
[FR Doc. 2012-6582 Filed 3-19-12; 8:45 am]
BILLING CODE 8011-01-P


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