Federal Register / Vol. 70, No. 181 / Tuesday, September 20, 2005 / Notices 55185 

1On July 28, 2000, the Commission approved a 

national market system plan for the purpose of 

creating and operating an intermarket option 

linkage proposed by the Amex, the CBOE, and the 

ISE. See Securities Exchange Act Release No. 43086 

(July 28, 2000), 65 FR 48023 (August 4, 2000). 

Subsequently, upon separate requests by the Phlx, 

the PCX, and the BSE, the Commission issued 

orders to permit these exchanges to participate in 

the Linkage Plan. See Securities Exchange Act 

Release Nos. 43573 (November 16, 2000), 65 FR 

70851 (November 28, 2000); 43574 (November 16, 

2000), 65 FR 70850 (November 28, 2000); and 49198 

(February 5, 2004), 69 FR 7029 (February 12, 2004). 

2See Section 2(29) of the Linkage Plan. 

3Specified in Section 7(a)(i)(C) of the Linkage 

Plan. 

4See Securities Exchange Act Release No. 52167 

(July 29, 2005), 70 FR 46224. 

5See Section 2(16) of the Linkage Plan. 

6 15 U.S.C. 78k–1. 

7 17 CFR 240.11Aa3–2. 

8 15 U.S.C. 78k–1. 

9 17 CFR 240.11Aa3–2. 

10 17 CFR 200.30–3(a)(29). 

SECURITIES AND EXCHANGE 

COMMISSION 

[Release No. 34–52413; File No. 4–429] 

Joint Industry Plan; Order Approving 

Amendment No. 15 to the Plan for the 

Purpose of Creating and Operating an 

Intermarket Option Linkage Relating to 

a ‘‘Trade and Ship’’ Exception to the 

Definition of ‘‘Trade-Through’’ and a 

‘‘Book and Ship’’ Exception to the 

Locked Markets Provision 

September 13, 2005. 

I. Introduction 

On April 13, 2005, April 22, 2005, 

April 26, 2005, April 27, 2005, May 5, 

2005, and June 2, 2005, the International 

Securities Exchange (‘‘ISE’’), the 

American Stock Exchange LLC 

(‘‘Amex’’), the Chicago Board Options 

Exchange, Incorporated (‘‘CBOE’’), the 

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

Boston Stock Exchange, Inc. (‘‘BSE’’), 

and the Philadelphia Stock Exchange, 

Inc. (‘‘Phlx’’) (collectively, 

‘‘Participants’’), respectively, filed with 

the Securities and Exchange 

Commission (‘‘Commission’’) an 

amendment (‘‘Joint Amendment No. 

15’’) to the Plan for the Purpose of 

Creating and Operating an Intermarket 

Option Linkage (‘‘Linkage Plan’’).1 In 

Joint Amendment No. 15, the 

Participants propose to add a ‘‘trade and 

ship’’ exception to the definition of 

‘‘Trade-Through’’ 2 and a ‘‘book and 

ship’’ exception to the locked markets 

provision of the Linkage Plan.3 The 

proposed amendment to the Linkage 

Plan was published in the Federal 

Register on August 9, 2005.4 No 

comments were received on the 

proposed amendment. This order 

approves the proposed amendment to 

the Linkage Plan. 

II. Description and Purpose of the 

Proposed Amendment 

The purpose of Joint Amendment No. 

15 is to provide that: (i) A Participant 

may trade an order at a price that is one 

minimum quoting increment inferior to 

the national best bid or offer (‘‘NBBO’’) 

if a Linkage Order 5 is sent 

contemporaneously to each Participant 

disseminating the NBBO to satisfy all 

interest at the NBBO price; and (ii) a 

Participant may book an order that 

would otherwise lock another 

Participant if a Linkage Order is sent 

contemporaneously to such other 

Participant to satisfy all interest at the 

lock price and only the remaining 

portion of the order is booked. Under 

the proposed trade and ship provision, 

any execution received from the market 

disseminating the NBBO must (pursuant 

to agency obligations) be reassigned to 

the customer order underlying the 

Linkage Order that would be sent to 

trade with the market disseminating the 

NBBO. 

III. Discussion 

After careful consideration, the 

Commission finds that the proposed 

amendment to the Linkage Plan seeking 

to add a trade and ship exception to the 

definition of Trade-Through and a book 

and ship exception to the locked 

markets provision of the Linkage Plan is 

consistent with the requirements of the 

Act and the rules and regulations 

thereunder. Specifically, the 

Commission finds that the proposed 

amendment to the Linkage Plan is 

consistent with Section 11A of the Act 6

and Rule 11Aa3–2 thereunder,7 in that 

the proposed amendment should 

facilitate the ability of Participants’

members to execute their customer 

orders in a timely manner and 

potentially could decrease the incidence 

of Trade-Throughs and locked markets 

in the options market. 

IV. Conclusion 

It is therefore ordered, pursuant to 

Section 11A of the Act 8 and Rule 

11Aa3–2 thereunder,9 that the proposed 

Joint Amendment No. 15 is hereby 

approved. 

For the Commission, by the Division of 

Market Regulation, pursuant to delegated 

authority.10

Jonathan G. Katz, 

Secretary. 

[FR Doc. 05–18620 Filed 9–19–05; 8:45 am] 

BILLING CODE 8010–01–P 

SECURITIES AND EXCHANGE 

COMMISSION 

Sunshine Act Meeting Federal Register 

Citation of Previous Announcement: 

[To Be Published] 

STATUS: Open Meeting. 

PLACE: 100 F Street, NE., Washington, 

DC. 

DATE AND TIME OF PREVIOUSLY ANNOUNCED

MEETING: Wednesday, September 21, 

2005. 

CHANGE IN THE MEETING: Additional item. 

The following item has been added to 

the Open Meeting scheduled for 

Wednesday, September 21, 2005: 

In addition, the Commission will consider 

whether to propose interpretive guidance and 

solicit comment regarding the scope of 

‘‘brokerage and research services’’ within 

Section 28(e) of the Securities Exchange Act 

of 1934. The interpretive release is designed 

to provide guidance to securities industry 

participants on money managers’ use of 

client commission dollars to pay for research 

and brokerage services under Section 28(e). 

The release also reminds industry 

participants of the statutory requirements for 

client commission arrangements under 

Section 28(e). 

For further information, please contact Jo 

Anne Swindler, Assistant Director, at (202) 

551–5750; Patrick M. Joyce, Special Counsel, 

at (202) 551–5758; Stanley C. Macel, IV, 

Special Counsel, at (202) 551–5755; or 

Marlon Quintanilla Paz, Special Counsel, at 

(202) 551–5756, at the Office of Enforcement 

Liaison and Institutional Trading, Division of 

Market Regulation. 

Commissioner Glassman, 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 at (202) 551–5400. 

Dated: September 15, 2005. 

Jonathan G. Katz, 

Secretary. 

[FR Doc. 05–18816 Filed 9–16–05; 12:04 pm] 

BILLING CODE 8010–01–P