Federal Register / Vol. 75, No. 89 / Monday, May 10, 2010 / Notices 25901 

12 17 CFR 240.19b–4(f)(6). 

13 17 CFR 240.19b–4(f)(6)(iii). 

14For purposes only of waiving the 30-day 

operative delay, the Commission has considered the 

proposed rule’s impact on efficiency, competition, 

and capital formation. 15 U.S.C. 78c(f). 15 17 CFR 200.30–3(a)(12). 

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

2 15 U.S.C. 78a. 

3 17 CFR 240.19b–4. 

4See Securities Exchange Act Release No. 60534 

(August 19, 2009), 74 FR 44410 (August 28, 2009) 

(order approving SR–FINRA–2009–036) (‘‘Release 

No. 34–60534’’). 

5See Securities Exchange Act Release No. 61744 

(March 19, 2010), 75 FR 14648. 

6See Release No. 34–60534, supra note 4. 

Act 12 normally does not become 

operative for 30 days after the date of its 

filing. However, Rule 19b–4(f)(6)(iii) 13

permits the Commission to designate a 

shorter time if such action is consistent 

with the protection of investors and the 

public interest. The Exchange has 

requested that the Commission waive 

the 30-day operative delay to allow the 

Exchange to begin listing options 

overlying the S&P 500 Annual Dividend 

Index beginning on Tuesday, May 25, 

2010. 

The Commission believes that 

acceleration of the operative date is 

consistent with the protection of 

investors and the public interest 

because the Commission has previously 

considered and approved the listing of 

options on the S&P 500 Annual 

Dividend Index and the current 

proposal raises no new regulatory 

issues. Acceleration of the operative 

date will allow the Exchange to list 

options on the S&P 500 Annual 

Dividend Index on May 25, 2010, 

thereby providing investors with an 

additional investment tool and greater 

flexibility in meeting their investment 

objectives without delay. For these 

reasons, the Commission designates that 

the proposed rule change become 

operative on May 25, 2010.14

At any time within 60 days of the 

filing of the proposed rule change, the 

Commission may summarily abrogate 

the 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 

No. SR–CBOE–2010–039 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 No. 

SR–CBOE–2010–039. 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 Web site viewing and 

printing in the Commission’s Public 

Reference Room, 100 F Street, NE., 

Washington, DC 20549, 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 

CBOE. 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 No. 

SR–CBOE–2010–039 and should be 

submitted on or before June 1, 2010. 

For the Commission, by the Division of 

Trading and Markets, pursuant to delegated 

authority.15

Florence E. Harmon, 

Deputy Secretary. 

[FR Doc. 2010–10956 Filed 5–7–10; 8:45 am] 

BILLING CODE 8010–01–P 

SECURITIES AND EXCHANGE 

COMMISSION 

[Release No. 34–62014; File No. SR– 

NYSEAMEX–2010–26] 

Self-Regulatory Organizations; NYSE 

Amex LLC; Order Approving a 

Proposed Rule Change Deleting Rule 

446—NYSE Amex Equities and 

Adopting New Rule 4370—NYSE Amex 

Equities To Correspond With Rule 

Changes Filed by the Financial 

Industry Regulatory Authority, Inc. 

April 30, 2010. 

I. Introduction 

On March 11, 2010, NYSE Amex LLC 

(‘‘NYSE Amex’’ or ‘‘Exchange’’) filed with 

the Securities and Exchange 

Commission (‘‘Commission’’) pursuant 

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

Exchange Act of 1934 (the ‘‘Act’’) 2 and 

Rule 19b–4 thereunder,3 a proposed rule 

change to delete Rule 446—NYSE Amex 

Equities and adopt new Rule 4370— 

NYSE Amex Equities to correspond 

with rule changes filed by the Financial 

Industry Regulatory Authority, Inc. 

(‘‘FINRA’’) and approved by the 

Commission.4 The proposed rule change 

was published for comment in the 

Federal Register on March 26, 2009.5

The Commission received no comments 

regarding the proposal. This order 

approves the proposed rule change. 

II. Description of the Proposal 

The Exchange proposes to delete Rule 

446—NYSE Amex Equities and adopt 

new Rule 4370—NYSE Amex Equities 

to correspond with rule changes filed by 

the Financial Industry Regulatory 

Authority, Inc. (‘‘FINRA’’) and approved 

by the Commission.6

III. Background 

On July 30, 2007, FINRA’s 

predecessor, the National Association of 

Securities Dealers, Inc. (‘‘NASD’’), and 

NYSE Regulation, Inc. (‘‘NYSER’’) 

consolidated their member firm 

regulation operations into a combined 

organization, FINRA. Pursuant to Rule 

17d–2 under the Act, the New York 

Stock Exchange LLC (‘‘NYSE’’), NYSER 

and FINRA entered into an agreement 

(‘‘Agreement’’) to reduce regulatory 

duplication for their members by 


jlentini on DSKJ8SOYB1PROD with NOTICES
25902 Federal Register / Vol. 75, No. 89 / Monday, May 10, 2010 / Notices 

7See Securities Exchange Act Release Nos. 56148 

(July 26, 2007), 72 FR 42146 (August 1, 2007) (order 

approving the Agreement); 56147 (July 26, 2007), 72 

FR 42166 (August 1, 2007) (SR–NASD–2007–054) 

(order approving the incorporation of certain NYSE 

Rules as ‘‘Common Rules’’); and 60409 (July 30, 

2009), 74 FR 39353 (August 6, 2009) (order 

approving the amended and restated Agreement, 

adding NYSE Amex LLC as a party). Paragraph 2(b) 

of the Agreement sets forth procedures regarding 

proposed changes by FINRA, NYSE or NYSE Amex 

to the substance of any of the Common Rules. 

8FINRA’s rulebook currently has three sets of 

rules: (1) NASD Rules, (2) FINRA Incorporated 

NYSE Rules, and (3) consolidated FINRA Rules. 

The FINRA Incorporated NYSE Rules apply only to 

those members of FINRA that are also members of 

the NYSE, while the consolidated FINRA Rules 

apply to all FINRA members. For more information 

about the FINRA rulebook consolidation process, 

see FINRA Information Notice, March 12, 2008. 

9See Securities Exchange Act Release No. 58533 

(September 12, 2008), 73 FR 54652 (September 22, 

2008) (order approving SR–FINRA–2008–036). 

10See Securities Exchange Act Release No. 59022 

(November 26, 2008), 73 FR 73683 (December 3, 

2008) (order approving SR–NYSEALTR–2008–10). 

11See Release No. 34–60534, supra note 4. 

12New York Stock Exchange LLC submitted a 

companion rule filing amending its rules in 

accordance with FINRA’s rule changes, which the 

Commission has approved. See Securities Exchange 

Act Release No. 62015 (April 30, 2010)(SR–NYSE– 

2010–23). 

13See FINRA Regulatory Notice 09–60 (October 

15, 2009). 

14As provided in paragraph 2(b) of the 

Agreement, FINRA and NYSE will amend the list 

of Common Rules to conform to the rule changes 

proposed herein. 

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

16 In approving the proposed rule change, the 

Commission has considered the proposed rule’s 

impact on efficiency, competition and capital 

formation. See 15 U.S.C. 78c(f). 

17 15 U.S.C. 78s(b)(2). 

18 17 CFR 200.30–3(a)(12). 

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

allocating to FINRA certain regulatory 

responsibilities for certain NYSE rules 

and rule interpretations (‘‘FINRA 

Incorporated NYSE Rules’’). The 

Exchange became a party to the 

Agreement effective December 15, 

2008.7

As part of its effort to reduce 

regulatory duplication and relieve firms 

that are members of FINRA, NYSE and 

NYSE Amex of conflicting or 

unnecessary regulatory burdens, FINRA 

is now engaged in the process of 

reviewing and amending the NASD and 

FINRA Incorporated NYSE Rules in 

order to create a consolidated FINRA 

rulebook.8

In 2008, FINRA deleted FINRA 

Incorporated NYSE Rule 446 (Business 

Continuity and Contingency Plans) as 

substantively duplicative of NASD 

Rules 3510 (Business Continuity Plans) 

and 3520 (Emergency Contact 

Information).9 Correspondingly, the 

Exchange amended Rule 446—NYSE 

Amex Equities (Business Continuity and 

Contingency Plans) to remove the 

existing text and incorporate NASD 

Rules 3510 and 3520 by reference.10

Subsequently, FINRA adopted, subject 

to certain amendments, NASD Rules 

3510 and 3520 as consolidated FINRA 

Rule 4370 (Business Continuity Plans 

and Emergency Contact Information).11

The Exchange correspondingly 

proposes to delete Rule 446—NYSE 

Amex Equities and replace it with 

proposed Rule 4370—NYSE Amex 

Equities, which is substantially similar 

to the new FINRA Rule.12 The Exchange 

states that the purpose of this is to 

harmonize the NYSE Amex Equities 

Rules with the consolidated FINRA 

Rules. The Exchange states that, as 

proposed, Rule 4370—NYSE Amex 

Equities adopts the same language as 

FINRA Rule 4370, except for 

substituting for or adding to, as needed, 

the term ‘‘member organization’’ for the 

term ‘‘member,’’ and making 

corresponding technical changes that 

reflect the difference between NYSE 

Amex’s and FINRA’s membership 

structures. The Exchange also states 

that, in paragraph (f)(2) to proposed 

NYSE Rule 4370—NYSE Amex Equities, 

the Exchange has added a crossreference to Rule 416A—NYSE Amex 

Equities to ensure that those Exchange 

members and member organizations that 

are not FINRA members are required to 

update the contact information for 

emergency personnel in accordance 

with NYSE Amex Equities Rules. 

The Exchange also proposes to add 

Supplementary Material .01 to Rule 

4370—NYSE Amex Equities to provide 

that, for the purposes of the rule, the 

term ‘‘associated person’’ shall have the 

same meaning as the terms ‘‘person 

associated with a member’’ or 

‘‘associated person of a member’’ as 

defined in Article I (rr) of the FINRA ByLaws. The Exchange states that this 

change is necessary to ensure that both 

proposed Rule 4370—NYSE Amex 

Equities and FINRA Rule 4370 are fully 

harmonized. 

Finally, the Exchange proposes that 

the effective date for the proposed rule 

changes be retroactive to December 14, 

2009, the same effective date for the 

corresponding FINRA rule changes.13

As a result, there should be no 

regulatory gaps between the FINRA and 

NYSE Amex Equities Rules and that, as 

applicable, the NYSE Amex Equities 

Rules would maintain their status as 

Common Rules under the Agreement.14

IV. Discussion and Commission 

Findings 

After careful review, the Commission 

finds that the proposed rule change is 

consistent with the requirements of the 

Act and the rules and regulations 

thereunder applicable to a national 

securities exchange. Specifically, the 

Commission finds that the proposed 

rule change is consistent with Section 

6(b)(5) of the Act,15 which requires, 

among other things, that the rules of a 

national securities exchange be 

designed to prevent fraudulent and 

manipulative acts and practices, to 

promote just and equitable principles of 

trade, 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.16

The Commission believes that the 

proposed rule change provides greater 

harmonization between NYSE Amex 

Equities Rules and FINRA Rules of 

similar purpose, resulting in less 

burdensome and more efficient 

regulatory compliance for NYSE Amex 

members. In addition, the Commission 

believes that retroactive application of 

the proposed rule change to December 

14, 2009, is appropriate to assure that 

there are no regulatory gaps between 

FINRA and NYSE Amex Equities Rules, 

and that, as applicable, the NYSE Amex 

Rules would maintain their status as 

Common Rules under the Agreement. 

V. Conclusion 

It is therefore ordered, pursuant to 

Section 19(b)(2) of the Act,17 that the 

proposed rule change (SR–NYSEAmex– 

2010–26), be, and hereby is, approved. 

For the Commission, by the Division of 

Trading and Markets, pursuant to delegated 

authority.18

Florence E. Harmon, 

Deputy Secretary. 

[FR Doc. 2010–10952 Filed 5–7–10; 8:45 am] 

BILLING CODE 8011–01–P 

SECURITIES AND EXCHANGE 

COMMISSION 

[Release No. 34–62015; File No. SR–NYSE– 

2010–23] 

Self-Regulatory Organizations; New 

York Stock Exchange LLC; Order 

Approving Proposed Rule Change 

Deleting NYSE Rule 446 and Adopting 

New Rule 4370 To Correspond With 

Rule Changes Filed by the Financial 

Industry Regulatory Authority, Inc. 

April 30, 2010. 

I. Introduction 

On March 11, 2010, the New York 

Stock Exchange LLC (‘‘NYSE’’ or 

‘‘Exchange’’) filed with the Securities 

and Exchange Commission 

(‘‘Commission’’), pursuant to Section 

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


jlentini on DSKJ8SOYB1PROD with NOTICES