33422 Federal Register / Vol. 63, No. 117 /Thursday, June 18, 1998 / Notices

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

2 17 CFR 240.19b–4.

security or transaction, or any class or

classes of persons, securities or

transactions, from any provision or

provisions of the Act when the

exemption is necessary or appropriate

in the public interest and consistent

with the protection of investors and the

purposes fairly intended by the policy

and provisions of the Act. Applicant

states that for the reasons given above

its request for exemptive relief meets the

standards of section 6(c).

Applicant’s Condition

Applicant agrees that the order

granting the requested relief will be

subject to the following condition:

1. Applicant will comply with all of

the provisions of rule 3a–5 under the

Act, except: (a) New York Life will not

meet the portion of the definition of

parent company in rule 3a–5(b)(2)(i)

solely because it is excluded from the

definition of investment company under

section 3(c)(3) of the Act; and (b)

Controlled Companies will not meet the

portion of the definition of ‘‘company

controlled by the parent company’’ in

rule 3a–5(b)(3)(i) solely because they are

excluded from the definition of

investment company by sections 3(c)(2),

3(c)(3), 3(c)(5), or 3(c)(6) of the Act,

provided that any such entity excluded

from the definition of investment

company under section 3(c)(5) of the

Act will fall within section 3(c)(5)(A) or

section 3(c)(5)(B) solely by reason of its

holdings of accounts receivable of either

their own customers or of the customers

of other New York Life Controlled

Companies, or by reason of loans made

by it to such New York Life Controlled

Companies or customers, provided

further, that any such entity excluded

from the definition of investment

company pursuant to section 3(c)(6) of

the Act will not be engaged primarily,

directly or through majority-owned

subsidiaries, in one or more of the

businesses described in section 3(c)(5)

of the Act (except as permitted in this

condition).

For the SEC, by the Division of Investment

Management, pursuant to delegated

authority.

Jonathan G. Katz,

Secretary.

[FR Doc. 98–16259 Filed 6–17–98; 8:45 am]

BILLING CODE 8010–01–M

SECURITIES AND EXCHANGE

COMMISSION

Sunshine Act Meeting

Notice is hereby given, pursuant to

the provisions of the Government in the

Sunshine Act, Pub. L. 94–409, that the

Securities and Exchange Commission

will hold the following meetings during

the week of June 22, 1998.

An open meeting will be held on

Monday, June 22, 1998, at 11:00 a.m.

A closed meeting will be held on

Monday, June 22, 1998, following the

11:00 a.m. closed meeting. A closed

meeting will be held on Tuesday, June

23, 1998, at 10:00 a.m.

Commissioners, Counsel to the

Commissioners, the Secretary to the

Commission, and recording secretaries

will attend the closed meeting. Certain

staff members who have an interest in

the matters may also be present.

The General Counsel of the

Commission, or his designee, has

certified that, in his opinion, one or

more of the exemptions set forth in 5

U.S.C. 552b(c)(4), (8), (9)(A) and (10)

and 17 CFR 200.402(a)(4), (8), (9)(i) and

(10), permit consideration of the

scheduled matters at the closed meeting.

Commissioner Unger, as duty officer,

voted to consider the items listed for the

closed meeting in a closed session.

The open meeting scheduled for

Monday, June 22, 1998, at 11:00 a.m.,

will be:

The Commission will hear oral

argument on an appeal by Laurie Jones

Canady, formerly a salesperson with

Merrill Lynch, Pierce, Fenner & Smith

Incorporated, from an administrative

law judge’s initial decision. For further

information, contact Kermit B. Kennedy

at (202) 942–0879.

The closed meeting scheduled for

Monday, June 22, 1998, following the

11:00 a.m. open meeting, will be:

Post argument discussion.

The subject matter of the closed

meeting scheduled for Tuesday, June 23,

1998, at 10:00 a.m., will be:

Institution and settlement of

injunctive actions.

Institution and settlement of

administrative proceedings of an

enforcement nature.

At times, changes in Commission

priorities require alterations in the

scheduling of meeting items. For further

information and to ascertain what, if

any, matters have been added, deleted

or postponed, please contact: The Office

of the Secretary at (202) 942–7070.

Dated: June 16, 1998.

Jonathan G. Katz,

Secretary.

[FR Doc. 98–16344 Filed 6–16–98; 11:46 am]

BILLING CODE 8010–01–M

SECURITIES AND EXCHANGE

COMMISSION

Sunshine Act Meeting

FEDERAL REGISTER CITATION OF PREVIOUS

ANNOUNCEMENT: [63 FR 32273, June 12,

1998].

STATUS: Closed Meeting.

PLACE: 450 Fifth Street, N.W.,

Washington, D.C.

DATE PREVIOUSLY ANNOUNCED: June 12,

1998.

CHANGE IN THE MEETING: Correction.

The Commission considered the

following item at a closed meeting held

on Tuesday, June 16, 1998, at 10:00 a.m.

The item was inadvertently omitted

from the notice announced in the

Federal Register on June 12, 1998 (63

FR 32273).

Post argument discussion.

Commissioner Unger, as duty officer,

determined that Commission business

required the above change and that no

earlier notice thereof was possible.

At times, changes in Commission

priorities require alterations in the

scheduling of meeting items. For further

information and to ascertain what, if

any, matters have been added, deleted

or postponed, please contact:

The Office of the Secretary (202) 942–

7070.

Dated: June 16, 1998.

Jonathan G. Katz,

Secretary.

[FR Doc. 98–16345 Filed 6–16–98; 11:46 am]

BILLING CODE 8010–01–M

SECURITIES AND EXCHANGE

COMMISSION

[Release No. 34–40080; File No. SR–CBOE–

98–24]

Self-Regulatory Organizations; Notice

of Filing and Immediate Effectiveness

of Proposed Rule Change by the

Chicago Board Options Exchange,

Inc., Relating to ILX Fees

June 9, 1998.

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 June 2,

1998, the Chicago Board Options

Exchange, Inc. (‘‘CBOE’’ 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 CBOE. The Commission
Federal Register / Vol. 63, No. 117 /Thursday, June 18, 1998 / Notices 33423

*[The first Select Ticker window will be no

charge, each additional window will be the rate

shown.] The basic package now includes at no

additional cost a Business Pulse window (several

economic/business reports for the current day) and

one Select Ticker window (combined NYSE, AMEX,

Nasdaq, US Options and US Equities trades

throughout the day).

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 revise the

monthly fees for ILX optional features

available to members. These fees are

currently set forth in Regulatory

Circular 95–74. The CBOE will issue a

new regulatory circular, as set forth

below. Proposed new language is in

italics; proposed deleted language is in

brackets.

REGULATORY CIRCULAR [RG 95–74]

RG 98–

DATE: [September 8, 1995]

llllllllll

TO: CBOE [Member Firms] Members/

Member Firms

FROM: [Department of Trading

Operations] Market Operations

Systems Operations

RE: [Monthly Fees for Optional ILX

Features/Entitlements] Revised

Monthly ILX Fees for Optional

Features/Entitlements

The following is a listing of optional

features or entitlements now available

from ILX, in addition to the basic ILX

package [covered by the $350.00

monthly fee].* The optional features

fees below are stated on a monthly, per

ILX terminal basis.

New Feature Available: FEE/month Each addl. terminal

Firse Call Analysis Estimate ......................................... $25.00 .................................................................................................... same

[NOW AVAILABLE:

Options Analytics (OPA) ........................................ $50.00 .................................................................................................... same

Intermediate Charts CIT ........................................ $20.00 .................................................................................................... ‘‘

CTI real time intraday charting (CTI) .................... $35.00 .................................................................................................... ‘‘]

[FEATURE:] Feature:

Block Ticker [(BLT)] ............................................... $10.00 .................................................................................................... [’’]same

[Business Pulse (BPP ........................................... $10.00 .................................................................................................... ‘‘]

Futures Montage [(FUT)] ....................................... $25.00 .................................................................................................... [‘‘] same

Market Guide [(MGD)] ........................................... [$70.00] $50.00 ...................................................................................... [‘‘] $20.00

NASDAQ Static Level II ........................................ $35.00 .................................................................................................... same

NASDAQ Dynamic Level II ................................... $175.00 .................................................................................................. same

Options Analytics w/Intermediate Charts .............. $25.00 .................................................................................................... same

Options on Futures Montage [(OFM)] ................... $25.00 .................................................................................................... [‘‘] same

Portfolio Watch [(PTF)] .......................................... [$125.00] $25.00 .................................................................................... [$25.00] same

Select Ticker (additional window fee) [(SLT)] ....... $10.00 .................................................................................................... same

Ticker [(TKR)] ........................................................ $10.00 .................................................................................................... [‘‘] same

Traders Portfolio [(TRP)] ....................................... [$125.00] $40.00 .................................................................................... [$40.00] same

[CHARTS:] Charts:

[Basic Historical (HST) .......................................... $25.00 .................................................................................................... same

Real Time/Intraday (CHI) ...................................... $45.00 .................................................................................................... ‘‘

Advanced (WCA) ................................................... $60.00 .................................................................................................... ‘‘

Additional Windows (CHT) .................................... $10.00 .................................................................................................... ‘‘]

Windows Advanced Historical ............................... $60.00 .................................................................................................... same

Windows Advanced Historical & Real-Time .......... $100.00 .................................................................................................. same

[NEWS:] News:

[Dow Jones & Reuters .......................................... $101.00 .................................................................................................. ‘‘]

Dow Jones Headlines & Retrieval ......................... $79.00 .................................................................................................... ‘‘

Reuters Headlines & Retrieval .............................. $35.00 .................................................................................................... ‘‘

[EXCHANGES:] Exchanges:

Chicago Board of Trade [(CBT)] ........................... $66.00 .................................................................................................... [$11.50] $12.00

Commodities Exchange Center [(CEC)] ............... $100.00 .................................................................................................. [21.00] $11.00

Kansas City Board of Trade [(KCB)] ..................... [$11.50] $14.50 ...................................................................................... [$1.50] $3.25

Mid-America Commodity Exchange ...................... $9.50 per user (additional user windows at no charge).

NASDAQ-Level II ................................................... $50 ......................................................................................................... same

New York Commodity Exchange .......................... $63.00 .................................................................................................... $12.00

New York Mercantile [(NYM)] ................................ [$62.50]$63.00 ....................................................................................... [$11.50] $12.00

Members who wish to [receive] access

optional ILX features on ILX kiosk

terminals, or member firms who wish to

receive optional ILX features at their ILX

workstation terminals may direct any

questions to Steve Pawloski at 786–7789

in Trading Operations.

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

CBOE 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 CBOE 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 CBOE proposes to revise monthly

fees for optional ILX news and

information services available to

members on the CBOE trading floor. ILX

Systems is an information vendor. The

proposed changes result from ILX’s

recently announced changes to features

and/or fees.
33424 Federal Register / Vol. 63, No. 117 /Thursday, June 18, 1998 / Notices

3 In 1994, the CBOE established a monthly $350

fee for the basic ILX news package to members with

ILX/WDN PC terminals at their floor booth

locations. See Securities Exchange Act Release No.

33983 (April 29, 1994), 59 FR 23756 (May 6, 1994).

In 1995, the CBOE established monthly fees for

optional ILX news, market data and informational

features available on terminals at member firm

booth locations. See Securities Exchange Act

Release No. 36349 (October 6, 1995), 60 FR 53651

(October 16, 1995).

4The Regulatory Circular will list all currently

available ILX optional features and current fees,

although some fees have not changed since the 1995

filing referenced in note 3 above.

5 In April 1998, the CBOE filed with the

Commission a proposed rule change to revise the

same ILX fees. See SR–CBOE–98–18. In May 1998,

the CBOE withdrew that filing and replaced it with

this filing, SR–CBOE–98–24, to make technical

corrections to the fees. Based on SR–CBOE–98–18

becoming effective on filing, the CBOE began

charging the revised ILX fees (as those fees were

stated in SR–CBOE–98–24) to members as of May

1, 1998.

6 15 U.S.C. 78f(b)(4).

7 15 U.S.C. 78s(b)(3)(A).

8 17 CFR 204.19b–4(e)(2).

9 17 CFR 200.30–3)a)(12).

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

2Securities Exchange Act Release No. 40042 (May

28, 1998), 63 FR 30544 (June 4, 1998).

3For a complete description of the hedge

program, refer to Securities Exchange Act Release

No. 32638 (July 15, 1993), 58 FR 39264 (July 22,

1993) [File No. SR–OCC–92–34] (order approving

proposed rule change).

4For a detailed section-by-section discussion of

the specific changes to OCC’s By-Laws and Rules

refer to Securities Exchange Act Release No. 40042,

supra note 2. The rule change adds a new Rule 2201

to OCC’s rules. As a result, Rules 2201–2210 have

been renumbered 2202–2211 and they are referred

to in this order by their revised numbers.

5Clearing members that are approved to

participate in the hedge program are referred to as

‘‘hedge clearing members.’’ A clearing member that

lends stock through the hedge program is referred

to as a ‘‘lending clearing member,’’ and a clearing

member that borrows stock through the hedge

program is referred to as a ‘‘borrowing clearing

member.’’

In the past, the Commission approved

the basic ILX package fee and optional

ILX news and information service fees

for member firms accessing the services

from terminals located in trading floor

booths.3 Members can now more readily

access optional ILX services from

numerous CBOE-owned kiosk terminals

located throughout the trading floor, as

well as from firm booth terminals.

The revised ILX fees will be outlined

in detail in a Regulatory Circular which

will be issued to the Exchange’s

membership.4 An individual member

can request optional ILX features to be

displayed on a CBOE-owned kiosk

terminal by submitting to the Exchange

an Entitlement Request form, and

entering an ILX user identification

number of the kiosk terminal. ILX will

then switch on the chose feature(s) or

‘‘entitlement(s)’’ from a remote location

to enable that terminal to receive the

data.

The revised ILX optional fees will be

effective retroactive to May 1, 1998.5

2. Statutory Basis

The CBOE believes that the proposed

rule change is consistent with Section

6(b)(4) of the Act,6 in that it is designed

to provide for the equitable allocation of

reasonable dues, fees, and other charges

among CBOE members, issuers, and

other persons using CBOE facilities.

B. Self-Regulatory Organization’s

Statement on Burden on Competition

The CBOE does not believe that the

proposed rule change will impose any

inappropriate 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

The foregoing rule change establishes

or changes a due, fee, or other charge

imposed by the Exchange and, therefore,

has become effective pursuant to

Section 19(b)(3)(A) of the Act 7 and

subparagraph (e)(2) of Rule 19b–4

thereunder.8 At any time within 60 days

of the filing of the 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,

including whether the proposed rule

change is consistent with the Act.

Persons making written submissions

should file six copies thereof with the

Secretary, Securities and Exchange

Commission, 450 Fifth Street, N.W.,

Washington, DC 20549. 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, 450 Fifth Street, N.W.,

Washington, DC 20549. Copies of such

filing will also be available for

inspection and copying at the principal

office of CBOE. All submissions should

refer to File No. SR–CBOE–98–24 and

should be submitted by July 9, 1998.

For the Commission, by the Division of

Market Regulation, pursuant to delegated

authority.9

Jonathan G. Katz,

Secretary.

[FR Doc. 98–16260 Filed 6–17–98; 8:45 am]

BILLING CODE 8010–01–M

SECURITIES AND EXCHANGE

COMMISSION

[Release No. 34–40083; File No. SR–OCC–

98–03]

Self-Regulatory Organizations; The

Options Clearing Corporation; Order

Granting Accelerated Approval of a

Proposed Rule Change Relating to the

Stock Loan/Hedge Program

June 11, 1998.

On April 13, 1998, The Options

Clearing Corporation (‘‘OCC’’) filed with

the Securities and Exchange

Commission (‘‘Commission’’) a

proposed rule change (File No. SR–

OCC–98–03) pursuant to Section

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

of 1934 (‘‘Act’’).1 Notice of the proposal

was published in the Federal Register

on June 4, 1998.2 No comment letters

were received. For the reasons

discussed below, the Commission is

granting accelerated approval of the

proposed rule change.

I. Description

OCC’s stock loan/hedge program

(‘‘hedge program’’) is a clearing system

for stock loans between OCC clearing

members.3 The rule change amends

OCC’s By-Laws and Rules governing the

hedge program.4

A. Stock Loan Initiation and Mark-toMarket Payments

Currently under the hedge program, a

stock loan is initiated when two hedge

clearing members agree on the terms of

the loan.5 Next, the lending clearing

member transfers the stock to OCC’s

account at a ‘‘correspondent depository’’