7020 Federal Register / Vol. 73, No. 25 / Wednesday, February 6, 2008 / Notices 

15For purposes only of waiving the 30-day 

operative delay, the Commission has considered the 

proposal’s impact on efficiency, competition, and 

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

16See NASD Rules 4632(c) and 4632C(c). 

17 17 CFR 200.30–3(a)(12). 

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

2 17 CFR 240.19b–4. 

3 In Amendment No. 1, the Exchange made 

clarifying changes to the purpose section of the 

filing. 

4 15 U.S.C. 78s(b)(3)(A)(ii). 

5 17 CFR 240.19b–4(f)(2). 

The Commission believes that 

waiving the 30-day operative delay is 

consistent with the protection of 

investors and the public interest 

because the deletion of the three-party 

trade report provisions is designed to 

ensure that the rules governing the 

NASD/NYSE TRF accurately reflect the 

operation of the NASD/NYSE TRF, 

which currently does not support the 

three-party trade report functionality.15

Similarly, the proposed changes to 

conform the NASD/NYSE TRF’s twoparty trade report rules to the two-party 

trade report rules of the NASD/Nasdaq 

TRF and the NASD/NSX TRF 16 will 

provide consistency among the rules of 

the TRFs and does not raise new 

regulatory issues. Accordingly, the 

Commission waives the 30-day 

operative delay and designates the 

proposal to be operative upon filing 

with the Commission. 

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–FINRA–2008–002 on the 

subject line. 

Paper Comments 

• Send paper comments in triplicate 

to Nancy M. Morris, Secretary, 

Securities and Exchange Commission, 

100 F Street, NE., Washington, DC 

20549–1090. 

All submissions should refer to File 

No. SR–FINRA–2008–002. 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. Copies of the filing also will be 

available for inspection and copying at 

the principal office of FINRA. 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–FINRA–2008–002 and should be 

submitted on or before February 27, 

2008. 

For the Commission, by the Division of 

Trading and Markets, pursuant to delegated 

authority.17

Florence E. Harmon, 

Deputy Secretary. 

[FR Doc. E8–2134 Filed 2–5–08; 8:45 am] 

BILLING CODE 8011–01–P 

SECURITIES AND EXCHANGE 

COMMISSION 

[Release No. 34–57237; File No. SR–ISE–

2007–124] 

Self-Regulatory Organizations; 

International Securities Exchange, 

LLC; Notice of Filing and Immediate 

Effectiveness of Proposed Rule 

Change and Amendment No. 1 Thereto 

Relating to Equity Fees 

January 30, 2008. 

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 December 

31, 2007, the International Securities 

Exchange, LLC (‘‘ISE’’ or ‘‘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 substantially prepared by ISE. 

On January 28, 2007, ISE submitted 

Amendment No. 1 to the proposed rule 

change.3 ISE filed the proposal pursuant 

to section 19(b)(3)(A)(ii) of the Act 4 and 

Rule 19b–4(f)(2) 5 thereunder, as 

establishing or changing a due, fee, or 

other charges applicable to a member, 

which renders the proposed rule change 

effective upon filing with the 

Commission. The Commission is 

publishing this notice to solicit 

comments on the proposed rule change, 

as amended, from interested persons. 

I. Self-Regulatory Organization’s 

Statement of the Terms of Substance of 

the Proposed Rule Change 

ISE is proposing to amend its 

Schedule of Fees with respect to equity 

transactions. The text of the proposed 

rule change is available at ISE, http:// 

www.ise.com, and 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 aspects 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 proposes to amend its 

Schedule of Fees to: (1) Distinguish 

between transaction fees related to 

equity orders and equity orders 

submitted on an order delivery basis; (2) 

to increase the rebate for equity orders 

that add liquidity for securities that 

trade at or above $1.00 from $0.0025 to 

$0.0032; (3) to increase the rebate for 

equity orders submitted on an order 

delivery basis that add liquidity for 

securities that trade at or above $1.00 

from $0.0025 to $0.0027 (these orders 

are submitted by Order Delivery Equity 

Electronic Access Members (‘‘Order 

Delivery Equity EAMs’’)); and (4) to 

cease sharing market data revenues 

except with respect to orders submitted 

on an order delivery basis. The 


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Federal Register / Vol. 73, No. 25 / Wednesday, February 6, 2008 / Notices 7021 

6See Securities Exchange Act Release No. 56890 

(December 4, 2007), 72 FR 70360 (December 11, 

2007) (SR–NSX–2007–13). 

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

8 15 U.S.C. 78f(b)(4). 

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

10 17 CFR 240.19b–4(f)(2). 11 17 CFR 200.30–3(a)(12). 

Exchange proposes to implement these 

changes on January 2, 2008. 

The Exchange proposes to restructure 

its Schedule of Fees and allocation of 

market data rebates to provide Equity 

Electronic Access Members (‘‘Equity 

EAMs’’) that submit equity orders an 

efficient method of calculating the exact 

cost of trading on the ISE Stock 

Exchange. Specifically, rather than 

providing these Equity EAMs with a 

lump sum market data rebate every 

quarter, the Exchange proposes to 

increase the rebate for execution of 

equity orders that provide liquidity from 

$0.0025 to $0.0032 for securities that 

trade at or above $1.00. This change will 

allow Equity EAMs to perform a precise 

cost benefit analysis in determining 

where to route their order flow. 

The Exchange proposes to increase 

the rebate for the execution of equity 

orders submitted on an order delivery 

basis that provide liquidity from 

$0.0025 to $0.0027 for securities that 

trade at or above $1.00, but to leave the 

allocation of market data rebates the 

same for these orders. The Exchange has 

determined that increasing the maker 

rebate, discussed above, and continuing 

to rebate 50% of its quote and trade 

revenue to Order Delivery Equity EAMs 

is necessary for competitive reasons, 

particularly in light of the fact that other 

markets have similar maker rebates and 

provisions in their market data revenue 

rebate program.6

The Exchange believes that these fee 

changes will not impair its ability to 

carry out its regulatory responsibilities. 

Furthermore, the Exchange intends that 

this rule change will not have an overall 

effect on the amounts rebated to Equity 

EAMs, except that payments will occur 

on a monthly instead of quarterly basis. 

The monies rebated to Order Delivery 

Equity EAMs on a quarterly basis 

remain unchanged. 

2. Statutory Basis 

The Exchange believes that the 

proposed rule change is consistent with 

the objectives of section 6(b) of the Act,7

in general, and furthers the objectives of 

section 6(b)(4),8 in particular, in that it 

is designed to provide for the equitable 

allocation of reasonable dues, fees, and 

other charges among its members and 

issuers and other persons using its 

facilities. 

B. Self-Regulatory Organization’s 

Statement on Burden on Competition 

The Exchange believes that the 

proposed rule change does not impose 

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 

The Exchange has not solicited, and 

does not intend to solicit, comments on 

this proposed rule change. The 

Exchange has not received any 

unsolicited written comments from 

members or interested parties. 

III. Date of Effectiveness of the 

Proposed Rule Change and Timing for 

Commission Action 

The foregoing proposed rule change 

has become effective upon filing with 

the Commission pursuant to section 

19(b)(3)(A)(ii) of the Act 9 and Rule 19b–

4(f)(2) 10 thereunder, because it 

establishes or changes a due, fee, or 

other charge applicable only to a 

member. 

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–ISE–2007–124 on the 

subject line. 

Paper comments 

• Send paper comments in triplicate 

to Nancy M. Morris, Secretary, 

Securities and Exchange Commission, 

100 F Street, NE., Washington, DC 

20549–1090. 

All submissions should refer to File 

Number SR–ISE–2007–124. 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 such filing also will be 

available for inspection and copying at 

the principal office of ISE. 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–ISE–2007–124 and should 

be submitted on or before February 27, 

2008. 

For the Commission, by the Division of 

Trading and Markets, pursuant to delegated 

authority.11

Florence E. Harmon, 

Deputy Secretary. 

[FR Doc. E8–2124 Filed 2–5–08; 8:45 am] 

BILLING CODE 8011–01–P 

SECURITIES AND EXCHANGE 

COMMISSION 

[Release No. 34–57239; File No. SR–NYSE–

2007–98] 

Self-Regulatory Organizations; New 

York Stock Exchange LLC; Order 

Approving Proposed Rule Change, as 

Modified by Amendment No. 1 Thereto, 

To Reduce From Six Months to Three 

Months the Period for Which a 

Company’s Average Global Market 

Capitalization Must Exceed the Levels 

Established by the Exchange’s Pure 

Valuation/Revenue Test 

January 30, 2008. 

I. Introduction 

On October 29, 2007, the New York 

Stock Exchange LLC (‘‘NYSE’’ or 


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