Federal Register / Vol. 75, No. 96 / Wednesday, May 19, 2010 / Notices 28093 

designated by the Commission. The Exchange has 

met this requirement. 

10 17 CFR 240.19b–4(f)(6)(iii). 

11 Id. 

12See NYSE Arca Equities Rule 5.32(d)(1); CBOE 

Rule 24A.4(a)(4)(i). 

13See CBOE Rule 24A.4 Interpretations and 

Policies .01(b); see also Securities Exchange Act 

Release No. 61439 (January 28, 2010) 75 FR 5831 

(February 4, 2010) (SR–CBOE–2009–087). 

14See Securities Exchange Act Release No. 61439 

(January 28, 2010) 75 FR 5831 (February 4, 2010) 

(SR–CBOE–2009–087). 

15For the purposes only of waiving the operative 

date of this proposal, the Commission has 

considered the proposed rule’s impact on 

efficiency, competition, and capital formation. See 

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

16 17 CFR 200.30–3(a)(12). 

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

2 17 CFR 240.19b–4. 

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

4 17 CFR 240.19b–4(f)(2). 

A proposed rule change filed under 

Rule 19b–4(f)(6) normally may not 

become operative prior to 30 days after 

the date of filing.10 However, Rule 19b– 

4(f)(6) 11 permits the Commission to 

designate a shorter time if such action 

is consistent with the protection of 

investors and the public interest. NYSE 

Amex has requested that the 

Commission waive the 30-day operative 

delay. 

The Commission believes that 

waiving the 30-day operative delay with 

respect to the proposed rule change to 

the maximum term of FLEX options is 

consistent with the protection of 

investors and the public interest. The 

Commission notes that this proposed 

rule change will make the Amex rule 

substantially similar to the 

corresponding provisions of the Arca 

and CBOE rules, and may provide 

investors with greater flexibility when 

conducting transactions in FLEX 

options.12

The Commission has also considered 

NYSE Amex’s request to waive the 30- 

day operative delay with respect to the 

minimum size pilot. Because, however, 

the Commission does not believe, 

practically speaking, that a pilot should 

retroactively commence, the 

Commission is only waiving the 

operative delay as of the date of this 

notice for the reasons discussed below. 

The Commission believes that 

shortening the 30-day operative delay to 

allow the commencement of the pilot as 

of the date of this notice is consistent 

with the protection of investors and the 

public interest. The Commission notes 

that the proposed rule change is 

substantially similar to a pilot that was 

previously approved by the Commission 

and is currently in existence for 

CBOE.13 The Commission also notes 

that the corresponding CBOE pilot was 

subject to full notice and comment in 

the Federal Register, and that the 

Commission only received comments 

that supported that proposal.14

Moreover, waiving the operative date as 

of the date of this notice is consistent 

with approval of CBOE’s pilot, which 

allowed implementation as of the date 

of the Commission’s approval order. For 

these reasons, the Commission 

designates the portion of the proposal to 

establish a minimum size pilot to be 

operative upon the date of issuance of 

this notice.15

At any time within 60 days of the 

filing of Amendment No. 1, 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 the 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 

Number SR–NYSEAmex–2010–40 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–2010–40. 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 the 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–2010–40 and should be 

submitted on or before June 9, 2010. 

For the Commission, by the Division of 

Trading and Markets, pursuant to delegated 

authority.16

Elizabeth M. Murphy, 

Secretary. 

[FR Doc. 2010–11937 Filed 5–18–10; 8:45 am] 

BILLING CODE 8010–01–P 

SECURITIES AND EXCHANGE 

COMMISSION 

[Release No. 34–62080; File No. SR–BX– 

2010–035] 

Self-Regulatory Organizations; 

NASDAQ OMX BX, Inc.; Notice of Filing 

and Immediate Effectiveness of 

Proposed Rule Change To Modify Fees 

for Members Using the NASDAQ OMX 

BX Equities System 

May 11, 2010. 

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 3, 

2010, NASDAQ OMX BX, Inc. (‘‘BX’’) 

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 BX. Pursuant to 

Section 19(b)(3)(A)(ii) of the Act 3 and 

Rule 19b–4(f)(2) thereunder,4 BX has 

designated this proposal as establishing 

or changing a due, fee, or other charge, 

which renders the proposed rule change 

effective upon filing. 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 

BX proposes to modify pricing for BX 

members using the NASDAQ OMX BX 

Equities System. BX will implement the 

proposed change on May 3, 2010. The 

text of the proposed rule change is 


jlentini on DSKJ8SOYB1PROD with NOTICES
28094 Federal Register / Vol. 75, No. 96 / Wednesday, May 19, 2010 / Notices 

5See http://apps.nyse.com/commdata/ 

pub19b4.nsf/docs/50B8C6B6842FEA

1E85257700006A989D/$FILE/NYSEArca-2010- 

26.pdf (NYSE Arca); http://www.nsx.com/

resources/content/5/1/documents/SR-NSX-2010- 

04.pdf (National Stock Exchange); http://

www.ise.com/assets/documents/OptionsExchange/

legal/proposed_rule_changes/2010/SR-ISE-2010- 

29$Proposed_Rule_Change_Relating_

to_Direct_Edge%20_ECN_Fee_Change_for_

ISE_Members$20100405.pdf (Direct Edge). 

6 15 U.S.C. 78f. 

7 15 U.S.C. 78f(b)(4). 

8 15 U.S.C. 78s(b)(3)(A)(ii). 

9 17 CFR 240.19b–4(f)(2). 10 17 CFR 200.30–3(a)(12). 

available at http:// 

nasdaqomxbx.cchwallstreet.com, at 

BX’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, BX 

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. BX 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 

BX is proposing to modify its fees for 

orders that execute at prices below $1. 

Currently, BX charges 0.15% (15 basis 

points) of the total dollar value of the 

execution to members accessing 

liquidity, and provides a rebate of 

0.05% (5 basis points) of the total dollar 

value to members providing liquidity. 

Through this filing, BX will reduce the 

fee to access liquidity to 0.10% (10 basis 

points) of the total dollar value and 

eliminate the rebate for providing 

liquidity. The change is a competitive 

response to several other transaction 

venues that have made recent changes 

to fees for securities priced under $1.5

The new fees are consistent with the 

limitations of Regulation NMS, SEC 

Rule 610(c), for securities with a price 

of less than $1. 

2. Statutory Basis 

BX believes that the proposed rule 

change is consistent with the provisions 

of Section 6 of the Act,6 in general, and 

with Section 6(b)(4) of the Act,7 in 

particular, in that it provides for the 

equitable allocation of reasonable dues, 

fees and other charges among members 

and issuers and other persons using any 

facility or system which BX operates or 

controls. The impact of the price 

changes upon the net fees paid by a 

particular market participant will 

depend upon a number of variables, 

including the relative availability of 

liquidity on BX and other venues, the 

prices of the market participant’s quotes 

and orders relative to the national best 

bid and offer (i.e., its propensity to add 

or remove liquidity), and the types of 

securities that it trades. BX believes that 

the proposed changes are reasonable 

and equitable in that they apply 

uniformly to all similarly situated 

members. 

B. Self-Regulatory Organization’s 

Statement on Burden on Competition 

BX 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, as amended. 

Because the market for order execution 

and routing is extremely competitive, 

members may readily direct orders to 

BX’s competitors if they object to the 

proposed rule change. 

C. Self-Regulatory Organization’s 

Statement on Comments on the 

Proposed Rule Change Received From 

Members, Participants, or Others 

Written comments were neither 

solicited nor received. 

III. Date of Effectiveness of the 

Proposed Rule Change and Timing for 

Commission Action 

The foregoing rule change has become 

effective pursuant to Section 

19(b)(3)(A)(ii) of the Act 8 and 

subparagraph (f)(2) of Rule 19b–4 

thereunder.9 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 

Number SR–BX–2010–035 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–BX–2010–035. 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 the filing will 

also be available for inspection and 

copying at the principal office of the 

self-regulatory organization. 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–BX–2010–035 and should 

be submitted on or before June 9, 2010. 

For the Commission, by the Division of 

Trading and Markets, pursuant to delegated 

authority.10

Elizabeth M. Murphy, 

Secretary. 

[FR Doc. 2010–11935 Filed 5–18–10; 8:45 am] 

BILLING CODE 8010–01–P 


jlentini on DSKJ8SOYB1PROD with NOTICES