15802 Federal Register / Vol. 74, No. 65 / Tuesday, April 7, 2009 / Notices 

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

2 17 CFR 240.19b–4. 

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

4 17 CFR 240.19b–4(f)(6). 

5See Exchange Act Release No. 34–59472 

(February 27, 2009), 74 FR 9843. 

6See Exchange Act Release No. 34–59454 

(February 25, 2009), 74 FR 9461. 

7 15 U.S.C. 78f(b). 

8 15 U.S.C. 78f(b)(5). 

9 15 U.S.C. 78s(b)(3)(A). 

10 17 CFR 240.19b–4(f)(6). In addition, Rule 19b– 

4(f)(6)(iii) requires the self-regulatory organization 

to submit to the Commission written notice of its 

intent to file the proposed rule change, along with 

a brief description and text of the proposed rule 

change, at least five business days prior to the date 

of filing of the proposed rule change, or such 

shorter time as designated by the Commission. The 

Exchange has satisfied this requirement. 

11For 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). 

SECURITIES AND EXCHANGE 

COMMISSION 

[Release No. 34–59660; File No. SR– 

NYSEAmex–2009–03] 

Self-Regulatory Organizations; Notice 

of Filing and Immediate Effectiveness 

of Proposed Rule Change by NYSE 

Amex LLC Deleting Rule 936C, 

Cancellation and Adjustment of Index 

Option Transactions 

March 31, 2009. 

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

Securities Exchange Act of 1934 (the 

‘‘Act’’) 1 and Rule 19b–4 thereunder,2

notice is hereby given that, on March 

20, 2009, NYSE Amex LLC (‘‘NYSE 

Amex’’ or the ‘‘Exchange’’) filed with 

the Securities and Exchange 

Commission (the ‘‘Commission’’) the 

proposed rule change as described in 

Items I and II below, which Items have 

been prepared by the Exchange. The 

Exchange filed the proposed rule change 

pursuant to Section 19(b)(3)(A) of the 

Act 3 and Rule 19b–4(f)(6) thereunder,4

which renders it effective upon filing 

with the Commission. 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 proposes to delete Rule 

936C governing the Cancellation and 

Adjustment of Index Options Contracts. 

The text of the proposed rule change is 

attached as Exhibit 5 to the 19b–4 form. 

A copy of this filing is available on the 

Exchange’s Web site at http:// 

www.nyse.com, at the Exchange’s 

principal office 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 

self-regulatory organization 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 those 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 parts of such 

statements. 

A. Self-Regulatory Organization’s 

Statement of the Purpose of, and 

Statutory Basis for, the Proposed Rule 

Change 

1. Purpose 

The Exchange recently received 

approval of SR–NYSEALTR–2008–14 ,5

which proposed new Rule Section 

900NY for the trading of options 

contracts, and also filed as immediately 

effective SR–NYSEALTR–2009–17 ,6

which deleted certain rules that were no 

longer relevant or were superseded by 

Rules in Section 900NY. 

SR–NYSEALTR–2009–17 

inadvertently omitted deleting Rule 

936C, Cancellation and Adjustment of 

Index Options Contracts, which has 

been replaced by Rule 975NY, Obvious 

Errors and Catastrophic Errors. Rule 

975NY governs Obvious Errors and 

Catastrophic Errors in all options 

products, including options on indexes, 

exchange-traded funds, and trust issued 

receipts. 

2. Statutory Basis 

The proposed rule change is 

consistent with Section 6(b) 7 of the 

Securities Exchange Act of 1934 (the 

‘‘Act’’), in general, and furthers the 

objectives of Section 6(b)(5) 8 in 

particular in that it is designed to 

prevent fraudulent and manipulative 

acts and practices, to promote just and 

equitable principles of trade, to foster 

cooperation and coordination with 

persons engaged in facilitating 

transactions in securities, and to remove 

impediments to and perfect the 

mechanisms of a free and open market 

and a national market system. 

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 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 

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 

change does not: 

(i) Significantly affect the protection 

of investors or the public interest; 

(ii) Impose any significant burden on 

competition; and 

(iii) Become operative for 30 days 

from the date on which it was filed, or 

such shorter time as the Commission 

may designate, if consistent with the 

protection of investors and the public 

interest, it has become effective 

pursuant to Section 19(b)(3)(A) of the 

Act 9 and Rule 19b–4(f)(6) thereunder.10

The Exchange has requested that the 

Commission waive the 30-day operative 

delay to the extent that such action is 

necessary to clarify the applicable rule 

in cases of Obvious Errors and 

Catastrophic Errors involving options on 

indexes, exchange-traded funds, and 

trust issued receipts. The Commission 

hereby grants the Exchange’s request.11

The Commission believes that such 

action is consistent with the protection 

of investors and the public interest 

because the Exchange is merely deleting 

an obsolete rule. 

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. 

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 e-mail to rulecomments@sec.gov. Please include File 

Federal Register / Vol. 74, No. 65 / Tuesday, April 7, 2009 / Notices 15803 

12 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. 58704 

(October 1, 2008), 73 FR 59026 (October 8, 2008) 

(order approving listing and trading on the 

Exchange of the Trusts (‘‘Approval Order’’)); See 

also Securities Exchange Act Release No. 58469 

(September 5, 2008), 73 FR 53306 (September 15, 

2008) (SR–NYSEArca–2008–92) (notice of proposed 

rule change to list and trade the Trusts on the 

Exchange) (‘‘Initial Notice’’). The Shares are being 

offered by the Trusts under the Securities Act of 

1933, 15 U.S.C. 77a. On February 17, 2009, the 

depositor filed with the Commission preliminary 

Registration Statements on Form S–1 (Amendment 

No. 3) for the Up MacroShares (File No. 333– 

151522) and for the Down MacroShares (File No. 

333–151523) (‘‘Registration Statements’’). 

4Shares of the Up Trust and the Down Trust are 

referred to collectively as ‘‘Shares.’’ 

5See Securities Exchange Act Release No. 59542 

(March 9, 2009), 74 FR 11167 (‘‘Notice’’). 

6See Approval Order, supra note 3. 

7The Reference Value of the Index is the 

Reference Price for purposes of NYSE Arca Equities 

Rule 8.400. 

8With the exception of the proposed change to 

the leverage factor, and a change in the distribution 

date from a date in 2018 to a date in 2014, the 

Exchange states that all representations made by the 

Exchange in the Initial Notice continue to apply. 

See Notice, supra note 5, 74 FR at 11168, n. 8. 

9See supra notes 3 and 5. 

Number SR–NYSEAmex–2009–03 on 

the subject line. 

Paper Comments 

• 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 

Number SR–NYSEAmex–2009–03. This 

file number should be included on the 

subject line if e-mail 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 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 inspection and copying in 

the Commission’s Public Reference 

Room 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 Number SR– 

NYSEAmex–2009–03 and should be 

submitted on or before April 28, 2009. 

For the Commission, by the Division of 

Trading and Markets, pursuant to delegated 

authority.12

Florence E. Harmon, 

Deputy Secretary. 

[FR Doc. E9–7831 Filed 4–6–09; 8:45 am] 

BILLING CODE 8010–01–P 

SECURITIES AND EXCHANGE 

COMMISSION 

[Release No. 34–59678; File No. SR– 

NYSEArca–2009–14] 

Self-Regulatory Organizations; NYSE 

Arca, Inc.; Order Granting Accelerated 

Approval of a Proposed Rule Change 

Relating to the Leverage Factor 

Applicable to the MacroShares Major 

Metro Housing Trusts 

April 1, 2009. 

On March 3, 2009, NYSE Arca, Inc. 

(‘‘NYSE Arca’’ or ‘‘Exchange’’), through 

its wholly owned subsidiary, NYSE 

Arca Equities, Inc. (‘‘NYSE Arca 

Equities’’), filed with the Securities and 

Exchange Commission (‘‘Commission’’) 

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

Securities Exchange Act of 1934 

(‘‘Act’’) 1 and Rule 19b–4 thereunder,2 a 

proposed rule change to modify the 

representation made in SR–NYSEArca– 

2008–92 3 regarding the leverage factor 

applicable to the MacroShares Major 

Metro Housing Up Trust (‘‘Up Trust’’) 

and the MacroShares Major Metro 

Housing Down Trust (‘‘Down Trust’’) 

(collectively, the ‘‘Trusts’’) and, 

specifically, to indicate that the leverage 

factor to be applied will be 3 rather than 

2.4 The proposed rule change was 

published in the Federal Register on 

March 16, 2009 for a 15-day comment 

period.5 The Commission received no 

comments on the proposal. This order 

grants approval to the proposed rule 

change on an accelerated basis. 

I. Description of the Proposal 

The Commission previously 

approved, pursuant to Section 19(b)(2) 

of the Act, the Exchange’s proposal to 

list and trade the Up MacroShares and 

the Down MacroShares as Paired Trust 

Shares under NYSE Arca Equities Rule 

8.400.6

As described in the Approval Order 

and the Initial Notice, the Up Trust and 

the Down Trust intend to issue Up 

MacroShares and Down MacroShares, 

respectively, on a continuous basis. The 

Up MacroShares and the Down 

MacroShares represent undivided 

beneficial interests in the Up Trust and 

the Down Trust, respectively. 

The Trusts will make quarterly 

distributions and a final distribution 

that is based on the value of the S&P/ 

Case-Shiller Composite-10 Home Price 

Index (‘‘Index’’), as well as on prevailing 

interest rates on U.S. Treasury 

obligations. The last published value of 

the S&P/Case-Shiller Composite-10 

Home Price Index is referred to as the 

‘‘Reference Value of the Index’’ or 

‘‘Reference Value’’, as discussed in the 

Initial Notice.7

If the Reference Value rises above its 

specified starting level, the Up Trust’s 

Underlying Value (as described in the 

Initial Notice) will increase to include 

all of its assets plus a portion of the 

assets of the paired Down Trust. This 

portion of assets due from the Down 

Trust will be multiplied by a specified 

‘‘leverage factor.’’ Conversely, if the 

level of the Reference Value of the Index 

falls below its starting level on and after 

the closing date, the Up Trust’s 

Underlying Value will decrease, because 

a portion of its assets will be included 

in the Underlying Value of its paired 

Down Trust, such portion being 

multiplied by the leverage factor. 

The Initial Notice stated that the 

leverage factor would be 2, as initially 

described in the Registration 

Statements. The Trusts now intend to 

utilize a leverage factor of 3.8 The effect 

of this will be to triple any increase or 

decrease in the Underlying Value of the 

Up Trust or the Down Trust, depending 

upon whether there is an increase or 

decrease in the Reference Value of the 

Index. 

Additional information relating to the 

Trusts and Shares is available in the 

Registration Statements, the Notice, the 

Initial Notice and the Approval Order.9

II. Discussion and Commission’s 

Findings 

The Commission has carefully 

reviewed the proposed rule change and 

finds that it is consistent with the