Federal Register / Vol. 66, No. 104 / Wednesday, May 30, 2001 / Notices 29373

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

2 17 CFR 240.19b–4.

3See Securities Exchange Act Release No. 42808

(May 22, 2000), 65 FR 34515 (May 30, 2000).

4Pursuant to the terms of the pilot, the ISE was

required to provide the Commission with

confidential statistics regarding executions on a

quarterly basis. In addition, the ISE was required to

lower the size of the orders for which the PMM

receives priority if more than 40% of the total

volume executed on the ISE (excluding facilitation

volume) was comprised of orders for five or fewer

contracts executed by PMMs. During the term of the

pilot, the Exchange has provided the statistics as

required and made no adjustments to the order size

for which the PMM receives priority as the

percentage of orders for five or fewer contracts

executed by PMMs did not approach the 40%

threshold. The Exchange will continue to provide

the required statistics during the pilot extension.

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

6 15 U.S.C. 78f.

7 In approving the rule, the Commission notes

that it 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. 34–44340; File No. SR–ISE–

2001–16]

Self-Regulatory Organizations; Notice

of Filing and Order Granting

Accelerated Approval of Proposed

Rule Change by the International

Securities Exchange LLC Related to a

Temporary Extension of Allocation

Algorithm Pilot

May 22, 2001.

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 May 21,

2001, the International Securities

Exchange LLC (the ‘‘Exchange’’ or the

‘‘ISE’’) filed with the Securities and

Exchange Commission (‘‘Commission’’)

the proposed rule change described in

Items I and II below, which Items have

been prepared by the ISE. The

Commission is granting accelerated

approval of the proposed rule change

and 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 amend

Supplementary Material .01 to ISE Rule

713 to temporarily extend, until August

1, 2001, the effectiveness of the

Exchange’s allocation algorithm pilot,

approved by the Commission on May

22, 2000.3 The Exchange is requesting

accelerated approval of the proposed

rule change so that the current

allocation formula will continue to

remain in effect on a pilot basis while

the Commission considers the

Exchange’s request for permanent

approval of the allocation formula. The

text of the proposed rule change is

available at the ISE and 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

ISE 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 III below. The ISE 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 ISE Rule 713, orders sent to the

ISE are executed at the best bid or offer

first against public-customer limit

orders on the ISE’s limit order book and

then against market maker quotes and

professional orders according to an

allocation formula. This allocation

formula is specified in Supplementary

Material .01 to ISE Rule 713. As

discussed above, the portion of the

allocation formula that gives the

primary market maker (‘‘PMM’’) priority

over other market makers and

professional orders with respect to

orders of five contracts or fewer was

approved by the Commission on May

22, 2000 on a one-year pilot basis.

According to the Exchange, it will be

filing shortly a proposed rule change

with the Commission requesting

permanent approval of the current

allocation formula. The Exchange is

requesting that the current pilot be

extended until August 1, 2001 so that

the current allocation formula will

remain in effect while the Commission

considers its request for permanent

approval.4

2. Statutory Basis

The ISE believes that the proposed

rule change is consistent with the

provisions of section 6(b)(5) of the Act,5

which requires that an exchange have

rules that are 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 regulating, clearing, settling,

processing information with respect to,

and facilitating transactions in

securities, to remove impediments to

and perfect the mechanism of a free and

open market and a national market

system, and, in general, to protect

investors and the public interest.

B. Self-Regulatory Organization’s

Statement on Burden on Competition

The ISE does not believe that the

proposed rule change will result in 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 on the proposed

rule change were neither solicited nor

received.

III. 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 20549–0609. 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 at

the commission’s Public Reference

Room. Copies of such filing will also be

available for inspection and copying at

the principal office of the ISE. All

submissions should refer to File No.

SR–ISE–2001–16 and should be

submitted by June 20, 2001.

IV. Commission’s Findings and Order

Granting Accelerated Approval of

Proposed Rule Change

After careful review, the Commission

finds that granting a temporary

extension to the existing pilot program

relating to the ISE’s existing allocation

algorithm, as described in the proposed

rule change, is consistent with the

requirements of section 6 of the Act6

and the rules and regulations

thereunder applicable to a national

securities exchange.7 Specifically, the

Commission believes the proposal is

29374 Federal Register / Vol. 66, No. 104 / Wednesday, May 30, 2001 / Notices

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

9 15 U.S.C. 78f.

10 15 U.S.C. 78s(b)(2).

11 17 CFR 200.30–3(a)(12).

consistent with Section 6(b)(5) of the

Act8 because it will facilitate

transactions in securities, promote just

and equitable principles of trade,

remove impediments to and perfect the

mechanisms of a free and open market,

by allowing the ISE to continue to

operate its system on a pilot basis until

August 1, 2001 according to the

established allocation algorithm and

allow market participants to rely upon

the current features of the ISE’s system,

until such time as the Commission has

the opportunity to review the ISE’s

request for permanent approval of its

allocation algorithm.

The Commission finds good cause for

approving the proposed rule change

prior to the thirtieth day after the date

of publication of notice thereof in the

Federal Register. The Commission notes

that the ISE has not requested any

change to its existing allocation

algorithm, which was previously

approved by the Commission on a pilot

basis. Rather, it has requested only a

temporary extension of this pilot

program until August 1, 2001, during

which time the Commission expects to

review the ISE’s proposal for permanent

approval. The Commission notes that it

has received no complaints regarding

the operation of the allocation algorithm

during the pilot period. The

Commission believes, therefore, that

granting accelerated approval of the

proposed rule change is appropriate and

consistent with section 6 of the Act.9

It Is Therefore Ordered, pursuant to

section 19(b)(2) of the Act,10 that the

proposed rule change is hereby

approved on an accelerated basis as a

pilot scheduled to expire on August 1,

2001.

For the Commission, by the Division of

Market Regulation, pursuant to delegated

authority.11

Margaret H. McFarland,

Deputy Secretary.

[FR Doc. 01–13529 Filed 5–29–01; 8:45 am]

BILLING CODE 8010–01–M

SMALL BUSINESS ADMINISTRATION

[Declaration of Disaster #3337]

State of Iowa; Amendment #2

In accordance with a notice received

from the Federal Emergency

Management Agency, dated May 21,

2001, the above-numbered Declaration

is hereby amended to include Henry

and Sac Counties in the State of Iowa as

disaster areas caused by flooding and

severe storms beginning on April 8,

2001 and continuing.

In addition, applications for economic

injury loans from small businesses

located in Cherokee, Crawford and Ida

Counties in the State of Iowa may be

filed until the specified date at the

previously designated location. Any

counties contiguous to the above named

primary counties and not listed here

have been previously declared.

All other information remains the

same, i.e., the deadline for filing

applications for physical damage is July

1, 2001 and for economic injury the

deadline is February 1, 2002.

(Catalog of Federal Domestic Assistance

Program Nos. 59002 and 59008)

Dated: May 23, 2001.

Herbert L. Mitchell,

Associate Administrator for Disaster

Assistance.

[FR Doc. 01–13561 Filed 5–29–01; 8:45 am]

BILLING CODE 8025–01–P

SMALL BUSINESS ADMINISTRATION

[Declaration of Disaster #3340]

Commonwealth of Puerto Rico;

Amendment #2

In accordance with a notice received

from the Federal Emergency

Management Agency, dated May 11,

2001, the above-numbered Declaration

is hereby amended to establish the

incident period for this disaster as

beginning on May 6, 2001 and

continuing through May 11, 2001.

All other information remains the

same, i.e., the deadline for filing

applications for physical damage is July

15, 2001 and for economic injury the

deadline is February 15, 2002.

(Catalog of Federal Domestic Assistance

Program Nos. 59002 and 59008)

Dated: May 23, 2001.

Herbert L. Mitchell,

Associate Administrator for Disaster

Assistance.

[FR Doc. 01–13560 Filed 5–29–01; 8:45 am]

BILLING CODE 8025–01–P

DEPARTMENT OF TRANSPORTATION

Office of the Secretary

Aviation Proceedings, Agreements

Filed During the Week Ending May 18,

2001.

The following Agreements were filed

with the Department of Transportation

under the provisions of 49 U.S.C. 412

and 414. Answers may be filed within

21 days after the filing of the

application.

Docket Number: OST–2001–9673

Date Filed: May 14, 2001

Parties: Members of the International

Air Transport Association

Subject: PTC2 EUR 0377 dated May

11, 2001, TC2 Within Europe Expedited

Resolution 002tt, PTC2 EUR 0378 dated

May 11, 2001, TC2 Within Europe

Expedited Resolution 002mm, PTC2

EUR 0379 dated May 11, 2001, TC2

Within Europe Expedited Resolution

002o, Intended effective dates:

September 1, September 15, September

17, 2001

Docket Number: OST–2001–9674

Date Filed: May 14, 2001

Parties: Members of the International

Air Transport Association

Subject: PTC2 EUR 0380 dated May

11, 2001, TC2 Within Europe Expedited

Resolution 002p, PTC2 EUR 0381 dated

May 11, 2001, TC2 Within Europe

Expedited Resolution 002v, Intended

effective dates: October 1, November 1,

2001.

Docket Number: OST–2001–9712

Date Filed: May 17, 2001

Parties: Members of the International

Air Transport Association

Subject: PTC COMP 0808 dated May

18, 2001, Mail Vote 125—Resolution

010b, TC2/TC23 Special Passenger

Amending Resolution from Germany,

Intended effective date: June 1, 2001.

Dorothy Y. Beard

Federal Register Liaison.

[FR Doc. 01–13555 Filed 5–29–01; 8:45 am]

BILLING CODE 4910–62–P

DEPARTMENT OF TRANSPORTATION

National Highway Traffic Safety

Administration

Petition for Exemption From the

Vehicle Theft Prevention Standard;

Ford

AGENCY: National Highway Traffic

Safety Administration (NHTSA),

Department of Transportation (DOT).

ACTION: Grant of petition for exemption.

SUMMARY: This document grants in full

the petition of Ford Motor Company

(Ford) for an exemption of a high-theft

line, the Mercury Grand Marquis, from

the parts-marking requirements of the

Federal Motor Vehicle Theft Prevention

Standard. This petition is granted

because the agency has determined that

the antitheft device to be placed on the

line as standard equipment is likely to

be as effective in reducing and deterring

motor vehicle theft as compliance with