Federal Register / Vol. 63, No. 141 /Thursday, July 23, 1998 / Notices 39609

7 17 CFR 200.30–3(a)(12).

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

2 17 CFR 240.19b–4.

3See Securities Exchange Act Release No. 38850

(July 18, 1997) 62 FR 39755 (July 24, 1997) (S7–15–

96) (Adopting Phase 2 Recommendations of Task

Force on Disclosure Simplification).

4The Amex represents that its ‘‘Guide to Filing

Requirements’’ will be similarly amended.

5The proposed rule change, although

immediately effective pursuant to Section

19(b)(3)(A), will not be implemented until the

Exchange receives approval from the Commission

of its related request for no action relief.

90 days of such date if it finds such

longer period to be appropriate and

publishes its reasons for so finding or

(ii) as to which the Exchange consents,

the Commission will:

(A) By order approve such proposed

rule change, or

(B) Institute proceedings to determine

whether the proposed rule change

should be 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.

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 the Amex. All submissions

should refer to File No. SR–AMEX–98–

20 and should be submitted by August

24, 1998.

For the Commission, by the Division of

Market Regulation, pursuant to delegated

authority.7

Jonathan G. Katz,

Secretary.

[FR Doc. 98–19572 Filed 7–22–98; 8:45am]

BILLING CODE 8010–01–M

SECURITIES AND EXCHANGE

COMMISSION

[Release No. 34–40223; File No. SR–Amex–

98–26]

Self-Regulatory Organizations; Notice

of Filing and Immediate Effectiveness

of Proposed Rule Change by the

American Stock Exchange, Inc.

Relating to the Listed Company Filings

With the Exchange

July 16, 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 July 8,

1998, the American Stock Exchange,

Inc. (‘‘Amex’’ 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 Amex. 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 Amex proposes to amend Section

134, 1101 and 1102 of its Company

Guide to cease requiring listed

companies to file with the Exchange

paper copies of material which they

electronically file with the Commission.

The Exchange also proposes to amend

Section 402, 610, 623, 701, 922, 930 and

940 of the Company Guide to reduce, in

certain instances, the number of copies

of documents which must be filed with

the Exchange. The Exchange further

proposes to amend Section 210 to

conform it to rule changes that the

Commission adopted with respect to

SEC Form 8–A.3

The text of the proposed rule change

is available at the Office of the

Secretary, the Amex, and at the

Commission.

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

Amex 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 Amex 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

Under the Federal securities laws,

companies listed on national securities

exchanges are required to file with the

Commission and their listed

marketplace various reports including,

for example, proxy statements and

annual and interim financial reports.

The Exchange’s review of these filings

plays a central role in the ongoing

process of monitoring corporate

transactions as well as in evaluating

compliance with the Exchange’s

continued listing guidelines.

Over the past several years, the

Commission has phased-in a

requirement that domestic issuers file

their reports electronically through the

Commission’s Electronic Data

Gathering, Analysis, and Retrieval

(‘‘EDGAR’’) system although certain

documents, such as annual reports to

shareholders, may, but are not required

to be filed electronically. Similarly, nonU.S. issuers may, but are not required

to, file electronically.

To relieve listed companies of the

burden and cost of providing separate

paper copies of their SEC filings to the

Exchange, the Amex is proposing to

amend Section 1101 of its Company

Guide to provide that a company which

files any of the specified documents

with the Commission electronically will

be deemed to have satisfied its

comparable Exchange filing

requirement.4 The only exception will

be for the EDGAR-optional annual

reports to shareholders. The Exchange

believes that since issuers’ annual

reports will continue to be mailed in

hard copy to shareholders, it will not be

burdensome to the listed companies to

continue to provide paper copies to the

Exchange. In addition, the Amex

believes this distinction is appropriate

because annual reports often contain

relevant material which is not

susceptible to electronic transmission.

Implementation of this proposal also

requires that the Commission provide

‘‘no action’’ relief from the statutory

requirements that exchange-listed

issuers file copies of their filings

directly with their marketplaces. The

Exchange is submitting a request for

such relief under separate cover.5

The Exchange believes that

elimination of paper filings with the

Exchange will not impair the

Exchange’s regulatory process since the

Amex has a contractual arrangement

with a commercial vendor which

provides real-time access to the EDGAR
39610 Federal Register / Vol. 63, No. 141 /Thursday, July 23, 1998 / Notices

6The Exchange represents that it has obtained

real-time access to all EDGAR filings made by

Exchange-listed companies through a ‘‘Level 1’’

subscription with a commercial vendor. Telephone

conversation between Claudia Crowley, Special

Counsel, Amex, and Deborah Flynn, Division of

Market Regulation, Commission, on July 16, 1998.

7The Commission notes that listed companies

will continue to have to file with the Amex paper

copies of certain documents that are not required

by the Commission to be filed through EDGAR.

Such documents include, for example, notices to

shareholders and press release.

8See note 3, supra.

9 15 U.S.C. 78f.

10 15 U.S.C. 78f(b)(5).

11 15 U.S.C. 78s(b)(3)(A)(i).

12 17 CFR 240.19b–4.

13 17 CFR 200.30–3(a)(12).

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

2FLEX equity options are flexible exchangetraded options contracts which overlie equity

securities. In addition, FLEX equity options provide

investors with the ability to customize basic option

features including size, expiration date, exercise

style, and certain exercise prices.

system 6 and will use that access to

continue to monitor and review SEC

filings made by listed companies.

The Exchange is also proposing to

reduce, in certain instances, the number

of copies which still need to be filed

with the Exchange.7 In addition, the

Exchange is proposing to eliminate

Section 1102 (and the reference to that

section in Section 134) because part of

Section 1102 is redundant of provisions

otherwise found in the Company Guide

and the balance more logically falls

within Section 1101.

Finally, the Exchange is proposing to

amend Section 210 to conform it to

amendments which were adopted by the

Commission with respect to SEC Form

8–A.8

2. Statutory Basis

The Amex believes the proposed rule

change is consistent with the

requirements of Section 6(b)(5) of the

Act 9 in general and furthers the

objectives of Section 6(b)(5) 10 in

particular in that it is designed to

promote just and equitable principles of

trade, remove impediments to and

perfect the mechanism of a free and

open market and a national market

system, and to protect investors and the

public interest.

B. Self-Regulatory Organization’s

Statement on Burden on Competition

The proposed rule change will impose

no 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 constitutes

a stated policy, practice, or

interpretation with respect to the

meaning, administration, or

enforcement of an existing rule of the

Exchange and therefore, has become

effective pursuant to Section

19(b)(3)(A)(i) of the Act,11 and

subparagraph (e) of Rule 19b–4

thereunder.12 The Amex will not

implement the proposed rule change

until the Commission approves the

Exchange’s related request for no action

relief providing, among other things,

that exchange-listed issuers filing

documents electronically through the

EDGAR system need not file hard copies

with 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.

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 NW.,

Washington, DC 20549. Copies of the

submissions, 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, NW.,

Washington, DC 20549. 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–Amex–98–

26 and should be submitted by August

13, 1998.

For the Commission, by the Division of

Market Regulation, pursuant to delegated

authority.13

Jonathan G. Katz,

Secretary.

[FR Doc. 98–19648 Filed 7–22–98; 8:45 am]

BILLING CODE 8010–01–M

SECURITIES AND EXCHANGE

COMMISSION

[Release No. 34–40221; File No. SR–CBOE–

98–21]

Self-Regulatory Organizations; Notice

of Filing of Proposed Rule Change by

the Chicago Board Options Exchange,

Incorporated Relating to Minimum

Opening Transaction Size in FLEX

Equity Options

July 16, 1998.

Pursuant to Section 19(b)(1) of the

Securities Exchange Act of 1934

(‘‘Act’’),1 notice is hereby given that on

May 18, 1998, the Chicago Board

Options Exchange, Incorporated (‘‘CBOE

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 CBOE. 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 CBOE proposes to change the

required minimum value size for an

opening transaction in any FLEX Equity

Option 2 series which has no open

interest, such that the minimum value

size shall be the lesser of 250 contracts

or the number of contracts overlying $1

million of the underlying securities.

The text of the proposed rule change

is available at the Office of the

Secretary, CBOE and at the Commission.

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 statutory 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 parts of such

statements.