Federal Register / Vol. 73, No. 162 / Wednesday, August 20, 2008 / Notices 49227 

7 17 CFR 200.30–3(a)(27). 

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

2 17 CFR 240.19b–4. 

3See Securities Exchange Act Release No. 54391 

(August 31, 2006), 71 FR 52836 (September 7, 

2006), File No. SR–NSX–2006–08. This rule change 

filing was filed under Section 19(b)(2) of the 

Securities Exchange Act of 1934 (the ‘‘Act’’). 

4 In January 2007, NSX Securities’ application for 

registration as a broker-dealer was approved by the 

NASD. To date, the Exchange has not used NSX 

Securities for routing services. 

5See Securities Exchange Act Release No. 54808 

(November 21, 2006), 71 FR 69163 (November 29, 

2006), File No. SR–NSX–2006–15. 

6See Securities Exchange Act Release No. 55624 

(April 12, 2007), 72 FR 19732 (April 19, 2007), File 

No. SR–NSX–2007–04; Securities Exchange Act 

Release No. 56067 (July 13, 2007), 72 FR 39650 

(July 19, 2007), File No. SR–NSX–2007–08; 

Securities Exchange Act Release No. 56587 (October 

1, 2007), 72 FR 57087 (October 5, 2007), File No. 

SR–NSX–2007–10; and Securities Exchange Act 

Release No. 57574 (March 27, 2008), 73 FR 18026 

(April 2, 2008), File No. SR–NSX–2008–08. 

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 the Amendments also will be 

available for inspection and copying at 

the principal office of the CTA. 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–CTA/CQ–2008–02 and 

should be submitted on or before 

September 10, 2008. 

For the Commission, by the Division of 

Trading and Markets, pursuant to delegated 

authority.7

Florence E. Harmon, 

Acting Secretary. 

[FR Doc. E8–19229 Filed 8–19–08; 8:45 am] 

BILLING CODE 8010–01–P 

SECURITIES AND EXCHANGE 

COMMISSION 

[Release No. 34–58354; File No. SR–NSX–

2008–15] 

Self-Regulatory Organizations; 

National Stock Exchange, Inc.; Notice 

of Filing and Immediate Effectiveness 

of a Proposed Rule Change Relating to 

the Operative Date of NSX Rule 2.11 

August 13, 2008. 

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 August 8, 

2008, National Stock Exchange, Inc. 

(‘‘NSX’’ or the ‘‘Exchange’’) 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 the Exchange. 

The Commission is publishing this 

notice to solicit comment 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 National Stock Exchange, Inc. 

(‘‘NSX’’ or the ‘‘Exchange’’) is proposing 

to accelerate the effectiveness of NSX 

Rule 2.11 in order to implement 

outbound routing through NSX 

Securities, LLC (‘‘NSX Securities’’) and 

to amend NSX Rule 2.12 which relates 

to the Exchange’s provision of routing 

services procured from a third party. 

The text of the proposed rule change 

is available on the Exchange’s Web site 

at http://www.nsx.com, at the principal 

office of the Exchange, 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 

Exchange 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. 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 is proposing to 

accelerate the effectiveness of NSX Rule 

2.11 in order to implement outbound 

routing with respect to orders entered in 

the Exchange’s trading system, NSX 

BLADE , through an affiliate of the 

Exchange, NSX Securities. In addition, 

the Exchange proposes to amend NSX 

Rule 2.12 which relates to the 

Exchange’s current provision of 

outbound routing of orders from the 

Exchange to other trading centers 

(‘‘Routing Services’’) using a third party. 

As background, the Exchange 

originally planned to provide Routing 

Services for orders entered into NSX 

BLADE through NSX Securities. NSX 

Rule 2.11 was approved by the 

Securities and Exchange Commission 

(‘‘Commission’’) in connection with the 

approval of the Exchange’s new trading 

rules relating to NSX BLADE on August 

31, 2006.3 The ability to route orders 

entered into NSX BLADE to away 

markets for execution at the best 

available prices is a key feature of NSX’s 

new system. NSX Rule 2.11 specifically 

provides for certain terms and 

conditions under which NSX Securities 

will provide Routing Services. Among 

other things, an ETP Holder’s use of 

NSX Securities to route orders to 

another Trading Center is optional. ETP 

Holders that do not want to route orders 

through NSX Securities may submit 

order instructions to NSX under NSX 

Rule 11.11 such as Immediate-orCancel, Post Only or NSX Only. 

However, as NSX Securities had not 

completed its registration process as a 

broker-dealer with the National 

Association of Securities Dealers, Inc. 

(‘‘NASD’’) (and thus would not be 

available to provide Routing Services) 

by the launch of NSX BLADE,4 the 

Exchange proposed the adoption of NSX 

Rule 2.12 so that the Exchange could 

route through a third party in the 

interim period.5 In the adoption of Rule 

2.12, the Exchange requested a finite 

period of effectiveness so NSX 

Securities could complete its 

registration as a broker-dealer and the 

Exchange could evaluate its options for 

providing Routing Services to ETP 

Holders. The Exchange subsequently 

filed several rule change proposals to 

extend the effective period for NSX Rule 

2.12, and to delay the effectiveness of 

NSX Rule 2.11 to certain dates, unless 

earlier amended, while the Exchange 

considered its options and made system 

and other changes to implement 

outbound routing through NSX 

Securities.6 Rule 2.12 currently provides 

that it is effective through September 30, 

2008, with the ability to route through 

NSX Securities under Rule 2.11 

becoming effective on October 1, 2008. 

In the instant proposed rule change, 

the Exchange is requesting that the 

operative date of Rule 2.11 be 

accelerated to August 8, 2008. The 

Exchange and NSX Securities have 

made all necessary changes to activate 

NSX Securities, including NSX 

Securities being approved as a brokerdealer, entering into a clearing and 

routing agreement, and making the 

required systems and regulatory 

changes. Further, because the current 

Rule 2.12 is effective until September 

30, 2008, the Exchange proposes to 

amend NSX Rule 2.12 to provide that 

during that period it be operative only 

in the event that the Exchange is not 


dwashington3 on PRODPC61 with NOTICES
49228 Federal Register / Vol. 73, No. 162 / Wednesday, August 20, 2008 / Notices 

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

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

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

10 17 CFR 240.19b–4. 11 17 CFR 200.30–3(a)(12). 

able to provide Routing Services 

through Rule 2.11. Thus, an alternative 

router would be available as necessary, 

and on an all-or-none basis, in the 

course of transitioning the Routing 

Services to NSX Securities under Rule 

2.11. This rule change proposal does not 

change Rule 2.12’s current expiration of 

September 30, 2008. 

2. Statutory Basis 

The Exchange believes that the 

proposed rule change is consistent with 

the provisions of Section 6(b) of the 

Act,7 in general, and Section 6(b)(5) of 

the Act,8 in particular, which requires, 

among other things, that the rules of an 

exchange be designed 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. 

B. Self-Regulatory Organization’s 

Statement on Burden on Competition 

The Exchange does not believe that 

the proposed rule change will impose 

any inappropriate burden on 

competition. 

C. Self-Regulatory Organization’s 

Statement on Comments on the 

Proposed Rule Change Received From 

Members, Participants or Others 

The Exchange has neither solicited 

nor received written comments on the 

proposed rule change. 

III. Date of Effectiveness of the 

Proposed Rule Change and Timing for 

Commission Action 

The proposed rule change will take 

effect upon filing pursuant to Section 

19(b)(3)(A)(iii) of the Act 9 and 

subparagraph (f)(5) of Rule 19b–4 10

thereunder, because the proposal effects 

a change in an existing order-entry 

system or trading system of a selfregulatory organization that: (i) Does not 

significantly affect the protection of 

investors or the public interest; (ii) does 

not impose any significant burden on 

competition; and (iii) does not have the 

effect of limiting the access to or 

availability of the system. This proposal 

does not raise these concerns as it 

primarily pertains to the operative date 

of a rule that has already been approved 

by the Commission through a rule 

change filed under Section 19(b)(2) of 

the Act. At any time within sixty (60) 

days of the filing of such 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–NSX–2008–15 on the 

subject line. 

Paper Comments 

• Send paper comments in triplicate 

to Secretary, Securities and Exchange 

Commission, 100 F Street, NE., 

Washington, DC 20549–1090. 

All submissions should refer to File 

Number SR–NSX–2008–15. 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, 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 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–NSX–

2008–15 and should be submitted on or 

before September 10, 2008. 

For the Commission, by the Division of 

Trading and Markets, pursuant to delegated 

authority.11

Florence E. Harmon, 

Acting Secretary. 

[FR Doc. E8–19228 Filed 8–19–08; 8:45 am] 

BILLING CODE 8010–01–P 

SECURITIES AND EXCHANGE 

COMMISSION 

[File No. 500–1] 

In the Matter of Pacific Gateway 

Exchange, Inc., Pallet Management 

Systems, Inc., Panaco, Inc., Paragon 

Financial Corp. (n/k/a NewMarket Latin 

America, Inc.), and Patriot Motorcycle 

Corp.; Order of Suspension of Trading 

August 18, 2008 

It appears to the Securities and 

Exchange Commission that there is a 

lack of current and accurate information 

concerning the securities of Pacific 

Gateway Exchange, Inc. because it has 

not filed any periodic reports since the 

period ended September 30, 2000. 

It appears to the Securities and 

Exchange Commission that there is a 

lack of current and accurate information 

concerning the securities of Pallet 

Management Systems, Inc. because it 

has not filed any periodic reports since 

the period ended September 28, 2002. 

It appears to the Securities and 

Exchange Commission that there is a 

lack of current and accurate information 

concerning the securities of Panaco, Inc. 

because it has not filed any periodic 

reports since the period ended March 

31, 2002. 

It appears to the Securities and 

Exchange Commission that there is a 

lack of current and accurate information 

concerning the securities of Paragon 

Financial Corp. (n/k/a NewMarket Latin 

America, Inc.) because it has not filed 

any periodic reports since the period 

ended December 31, 2005. 

It appears to the Securities and 

Exchange Commission that there is a 

lack of current and accurate information 

concerning the securities of Patriot 

Motorcycle Corp. because it has not 

filed any periodic reports since the 

period ended December 31, 2005. 

The Commission is of the opinion that 

the public interest and the protection of 

investors require a suspension of trading 

in the securities of the above-listed 

companies. 

Therefore, it is ordered, pursuant to 

Section 12(k) of the Securities Exchange 


dwashington3 on PRODPC61 with NOTICES