Federal Register / Vol. 65, No. 217 / Wednesday, November 8, 2000 / Notices 67029

employees are not required to also seek permission

from the NYSE. Telephone call between Steve

Abrams, NYSE, and Jennifer Colihan, Attorney,

Division of Market Regulation, Commission,

October 25, 2000.

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

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

6 15 U.S.C. 78s(b)(3)(A)(iii).

7 17 CFR 240.19b-4(f)(3).

8 17 CFR 200.30-3(a)(12).

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

2 17 CFR 240.19b–4.

3See File No. SR–NYSE–00–39.

4See Securities Exchange Act Release No. 40695

(November 19, 1998), 63 FR 65834 (November 30,

1998).

5See supra note 3.

2. Basis

The Exchange believes that the

proposed rule change is consistent with

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

furthers the objectives of Section

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

designed to prevent fraudulent and

manipulative acts and practices, and, in

general, to protect investors and the

public interest.

B. Self-Regulatory Organization’s

Statement on Burden on Competition

The proposed rule change does 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

Written comments were neither

solicited nor received.

III. Date of Effectiveness of the

Proposed Rule Change and Timing for

Commission Action

The foregoing rule change is

concerned solely with the

administration of the Exchange.

Therefore, the proposed rule change has

become effective pursuant to Section

19(b)(3)(A) of the Act 6 and Rule 19b–

4(f)(3) thereunder.7 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.

IV. Solicitation of Comments

Interested persons are invited to

submit written data, views and

arguments concerning the foregoing.

Persons making written submissions

should file six copies thereof with the

Secretary, Securities and Exchange

Commission, 450 Fifth Street, N.W.,

Washington, D.C. 20549–0609. 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. Copies of such filing will also

be available for inspection and copying

at the principal office of the NYSE. All

submissions should refer to the File No.

SR–NYSE–00–41 and should be

submitted by November 29, 2000.

For the Commission, by the Division of

Market Regulation pursuant to delegated

authority.8

Margaret H. McFarland,

Deputy Secretary.

[FR Doc. 00–28649 Filed 11–7–00; 8:45 am]

BILLING CODE 8010–01–M

SECURITIES AND EXCHANGE

COMMISSION

[Release No. 34–43496; File No. SR–NYSE–

00–44]

Self-Regulatory Organizations; Notice

of Filing and Immediate Effectiveness

of Proposed Rule Change by the New

York Stock Exchange, Inc. Regarding

the Extension of the Pilot Programs for

Mediation and Administrative

Conferences

October 31, 2000.

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

27, 2000, the New York Stock Exchange,

Inc. (‘‘NYSE’’ 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 NYSE. 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 Exchange is proposing to extend

its pilot programs for mediation and

administrative conferences (NYSE Rules

638 and 639) that expire on November

20, 2000. The Exchange has separately

requested that the pilot programs, as

amended, (‘‘the amended pilots’’) be

extended for two years.3 An extension

of the present pilots is needed pending

the Commission’s approval or

disapproval of the amended pilots.

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

NYSE 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 NYSE 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

On November 19, 1998, the

Commission approved a two-year pilot

program for mediation and

administrative conferences in the

Exchange’s arbitration facility.4 The

pilot mediation program is intended to

allow parties to settle cases earlier with

lower costs. The administrative

conference allows arbitrators to

intervene early in the case to set

deadlines and resolve preliminary

procedural issues. On September 27,

2000, the Exchange requested

Commission approval to amend and

extend the pilot programs for mediation

and administrative conferences.5 The

Exchange is requesting an extension of

the present pilot programs pending the

Commission’s decision to approve or

disapprove its request to amend and

extend the pilot programs. The

Exchange believes that the pilot

programs are operating successfully,

and on that basis, the Exchange believes

that a six-month extension of the pilots

is warranted. By this filing, the

Exchange is not seeking to modify the

present pilot programs.

2. Statutory Basis

The Exchange believes that proposed

changes are consistent with Section

6(b)(5) of the Act in that they promote

just and equitable principles of trade by

insuring that members and member

organizations and the public have a fair

and impartial forum for the resolution of

their disputes.

67030 Federal Register / Vol. 65, No. 217 / Wednesday, November 8, 2000 / Notices

6 15 U.S.C. 78s(b)(3)(A).

7 17 CFR 240.196b–4(F)(6)

8For purposes of accelerating the operative date

of this proposal, the Commission has considered

the proposed rule’s impact on efficiency,

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

9 17 CFR 200.30–3(a)(12).

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

2 17 CFR 240.19b–4.

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.

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 with respect to the proposed

rule change.

III. Date of Effectiveness of the

Proposed Rule Change and Timing for

Commission Action

Because the foregoing proposed rule:

(1) Does not significantly affect the

protection of investors or the public

interest; (2) does not impose any

significant burden on competition; and

(3) does not become operative for 30

days or such shorter time as the

Commission may designate, the

proposed rule change has become

effective pursuant to Section 10(b)(3)(A)

of the Act 6 and subparagraph (f)(6) of

Rule 19b–4 thereunder. 7

The Commission notes that under

Rule 19b–4(f)(6)(iii), the proposal does

not become operative for 30 days after

date of its filing, or such shorter time as

the Commission may designate if

consistent with the protection of

investors and the public interest. The

Exchange requested a waiver of this 30-

day period to extend the pilot programs

before they are due to expire on

November 20, 2000. The Commission

believes that the waiver of the 30-day

period is consistent with the protection

of investors and the public interest. 8

Any time within 60 days of the filing

of the proposed rule change, as

amended, 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.

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.

Persons making written submissions

should file six copies there of with the

Secretary, Securities and Exchange

Commission, 450 Fifth Street, NW,

Washington, DC 20549–0609. 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 will also be

available for inspection and copying at

the principal office of the NYSE. All

submissions should refer to File No.

SR–NYSE–00–44 and should be

submitted by November 29, 2000.

For the Commission, by the Division of

Market Regulation, Pursuant to delegated

authority. 9

Margaret H. McFarland,

Deputy Secretary.

[FR Doc. 00–28652 Filed 11–7–00; 8:45 am]

BILLING CODE 8010–01–M

SECURITIES AND EXCHANGE

COMMISSION

[Release No. 34–43505; File No. SR–PCX–

00–27]

Self-Regulatory Organizations; Notice

of Filing of a Proposed Rule Change by

the Pacific Exchange, Inc., Relating to

Options Trade Reporting

November 1, 2000.

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 August 5,

2000, the Pacific Exchange, Inc. (‘‘PCX’’

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 by the PCX. 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 PCX proposes to amend Exchange

Rule 6.69 to require Exchange options

transactions to be reported immediately

upon execution and no later than 90

seconds following execution of the

trade. The PCX also proposes to amend

Exchange Rule 10.13 to include

Exchange Rule 6.69 in the Exchange’s

Minor Violation Plan (‘‘Plan’’).

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

PCX 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.

A. Self-Regulatory Organization’s

Statement of the Purpose of, and

Statutory Basis for, the Proposed Rule

Change

1. Purpose

The purpose of the proposed rule

change is to require options transactions

to be reported within 90 seconds to the

Options Price Reporting Authority

(‘‘OPRA’’), which disseminates trade

information to the investing public

through vendors. Specifically, proposed

Rule 6.69(a) would require all Exchange

members and member organization’s

who are required to report trades either

directly to OPRA or to another party

responsible for reporting trades to

OPRA, to immediately report all trades

to the Exchange for disseminations to

OPRA within the required 90 second

time frame.

Currently, Commentary .01 to

Exchange Rule 6.69 states that trade

must be immediately reported at the

time of execution. The Exchange

proposes to require immediate trade

reporting, and in any event, no later

than 90 seconds following execution.

This would serve as a specific time limit

for trade participants and should enable

the Exchange’s Market Surveillance

Department and Enforcement

Department to monitor for violations of

the rule. The Exchange also believes

that the proposed rule change should

facilitate transparency and help to

create an accurate picture of market

activity and enable the Exchange to

better monitor compliance with the

order handling and transparency rules,

including limit order protection,

priority, and best execution.

The Exchange also proposes to amend

Rule 10.13 to include violations of

proposed Rule 6.69(a) in the Plan. The

Exchange believes that the proposed

rule is consistent with and furthers the

goals and objectives of the Plan. The