54184 Federal Register / Vol. 73, No. 182 / Thursday, September 18, 2008 / Notices 

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

2 17 CFR 240.19b–4. 

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

4 17 CFR 240.19b–4(f)(6). 

ETS to deliver a Product Description to 

purchasers of ETS. 

5. The Trust’s Web site, which will be 

publicly accessible at no charge, will 

contain the following information, on a 

per ETS basis, for each Fund: (a) The 

prior Business Day’s NAV and the 

reported closing price, and a calculation 

of the premium or discount of such 

price against such NAV; and (b) data in 

chart format displaying the frequency 

distribution of discounts and premiums 

of the daily closing price against the 

NAV, within appropriate ranges, for 

each of the four previous calendar 

quarters (or the life of the Fund, if 

shorter). In addition, the Product 

Description for each Fund will state that 

the Trust’s Web site has information 

about the premiums and discounts at 

which the ETS have traded. 

6. The Prospectus and annual report 

for each Fund also will include: (a) The 

information listed in condition 5(b), (i) 

in the case of the Prospectus, for the 

most recently completed year (and the 

most recently completed quarter or 

quarters, as applicable) and (ii) in the 

case of the annual report, for the 

immediately preceding five years (or the 

life of the Fund, if shorter); and (b) the 

following data, calculated on a per ETS 

basis for one, five and ten year periods 

(or life of the Fund, if shorter), (i) the 

cumulative total return and the average 

annual total return based on NAV and 

closing price, and (ii) the cumulative 

total return of the relevant Underlying 

Index. 

7. The requested relief to permit ETF 

operations will expire on the effective 

date of any Commission rule under the 

Act that provides relief permitting the 

operation of index-based exchangetraded funds and exchange-traded funds 

that seek to return a multiple, the 

inverse or an inverse multiple of an 

index. 

For the Commission, by the Division of 

Investment Management, under delegated 

authority. 

Florence E. Harmon, 

Acting Secretary. 

[FR Doc. E8–21763 Filed 9–17–08; 8:45 am] 

BILLING CODE 8010–01–P 

SECURITIES AND EXCHANGE 

COMMISSION 

[File No. 500–1] 

In the Matter of Cadema Corp. and 

Caredata.com, Inc.; Order of 

Suspension of Trading 

September 16, 2008. 

It appears to the Securities and 

Exchange Commission that there is a 

lack of current and accurate information 

concerning the securities of Cadema 

Corp. because it has not filed any 

periodic reports since the period ended 

September 30, 2002. 

It appears to the Securities and 

Exchange Commission that there is a 

lack of current and accurate information 

concerning the securities of 

Caredata.com, Inc. because it has not 

filed any periodic reports since the 

period ended September 30, 2000. 

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 

Act of 1934, that trading in the 

securities of Cadema Corp. and 

Caredata.com, Inc. is suspended for the 

period from 9:30 a.m. EDT on 

September 16, 2008, through 11:59 p.m. 

EDT on September 29, 2008. 

By the Commission. 

Florence E. Harmon, 

Acting Secretary. 

[FR Doc. E8–21938 Filed 9–16–08; 4:15 pm] 

BILLING CODE 8010–01–P 

SECURITIES AND EXCHANGE 

COMMISSION 

[Release No. 34–58516; File No. SR–Amex– 

2008–69] 

Self-Regulatory Organizations; 

American Stock Exchange LLC; Notice 

of Filing and Immediate Effectiveness 

of Proposed Rule Change Related to 

the Listing and Trading of Options on 

Section 107 Securities 

September 11, 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 

September 3, 2008, the American Stock 

Exchange LLC (‘‘Amex’’ or ‘‘Exchange’’), 

filed with the Securities and Exchange 

Commission (‘‘Commission’’) the 

proposed rule change as described in 

Items I and II below, which Items have 

been prepared by the Exchange. Amex 

filed the proposal pursuant to Section 

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

4(f)(6) thereunder,4 which renders the 

proposal effective upon filing with the 

Commission. 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 

The Exchange proposes to add new 

Commentary .11 to Rule 915 and new 

Commentary .12 to Rule 916 to enable 

the listing and trading of options on 

securities meeting the requirements of 

Sections 107D, 107E, 107F, 107G, 107H 

or 107I of the Amex Company Guide 

(the ‘‘Company Guide’’). 

The text of the proposed rule change 

is available on the Amex’s Web site at 

http://www.amex.com, the Office of the 

Secretary, the Amex 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 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 adopt new 

Commentary .11 to Rule 915 and new 

Commentary .12 to Rule 916 to enable 

the listing and trading of options on 

index-linked securities (‘‘Index-Linked 

Securities’’), commodity-linked 

securities (‘‘Commodity-Linked 

Securities’’), currency-linked securities 

(‘‘Currency-Linked Securities’’), fixed 

income-linked securities (‘‘Fixed 

Income-Linked Securities’’), futureslinked securities (‘‘Futures-Linked 

Securities’’) and combination-linked 

securities (‘‘Combination-Linked 

Securities’’) (collectively known as 

‘‘Section 107 Securities’’ as defined in 

Sections 107D, 107E, 107F, 107G, 107H 

and 107I, respectively, of the Company 

Guide) that are principally traded on a 

national securities exchange and an 

‘‘NMS Stock’’ (as defined in Rule 600 of 

Regulation NMS under the Securities 

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

Section 107 Securities are designed 

for investors who desire to participate in 

a specific market segment by providing 


dwashington3 on PRODPC61 with NOTICES
Federal Register / Vol. 73, No. 182 / Thursday, September 18, 2008 / Notices 54185 

5See Amex Rule 1200B–AEMI(b). The term 

‘‘Currency Trust Shares’’ means a security that (i) 

is issued by a trust that holds a specified non-U.S. 

currency deposited with the trust; (ii) when 

aggregated in some specified minimum number 

may be surrendered to the trust by the beneficial 

owner to receive the specified non-U.S. currency; 

and (iii) pays beneficial owners interest and other 

distributions on the deposited non-U.S. currency, if 

any, declared and paid by the trust. 

6See Amex Rules 904 and 905. 

7See Amex Rules 462. 

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

9 15 U.S.C. 78f(b)(5). 

exposure to one or more identifiable 

underlying securities, commodities, 

currencies, derivative instruments or 

market indexes of the foregoing 

(‘‘Underlying Index’’ or ‘‘underlying 

Indexes’’). Section 107 Securities are the 

non-convertible debt of an issuer that 

have a term of at least one (1) year but 

not greater than thirty (30) years. 

Despite the fact that Section 107 

Securities are linked to an underlying 

index, each trades as a single, exchangelisted security. Accordingly, rules 

pertaining to the listing and trading of 

standard equity options will apply to 

Section 107 Securities. The Exchange 

does not propose any changes to rules 

pertaining to Stock Index Options. 

Listing Criteria 

The Exchange will consider listing 

and trading options on Section 107 

Securities provided the Section 107 

Securities meet the criteria for 

underlying securities set forth in 

Commentary .01 to Rule 915. The 

Exchange proposes that Section 107 

Securities deemed appropriate for 

options trading represent ownership of 

a security that provides for the payment 

at maturity, as described below. 

• Index-Linked Securities are 

securities that provide for the payment 

at maturity of a cash amount based on 

the performance of an underlying index 

or indexes of equity securities (‘‘Equity 

Reference Asset’’). 

• Commodity-Linked Securities are 

securities that provide for the payment 

at maturity of a cash amount based on 

the performance of one or more physical 

commodities or commodity futures, 

options or other commodity derivatives 

or Commodity-Based Trust Shares or a 

basket or index of any of the foregoing 

(‘‘Commodity Reference Asset’’). 

• Currency-Linked Securities are 

securities that provide for the payment 

at maturity of a cash amount based on 

the performance of one or more 

currencies, or options or currency 

futures or other currency derivatives or 

Currency Trust Shares 5 or a basket or 

index of any of the foregoing (‘‘Currency 

Reference Asset’’). 

• Fixed Income-Linked Securities are 

securities that provide for the payment 

at maturity of a cash amount based on 

the performance of one or more notes, 

bonds, debentures or evidence of 

indebtedness that include, but are not 

limited to, U.S. Department of the 

Treasury securities (‘‘Treasury 

Securities’’), government-sponsored 

entity securities (‘‘GSE Securities’’), 

municipal securities, trust preferred 

securities, supranational debt and debt 

of a foreign country or a subdivision 

thereof or a basket or index of any of the 

foregoing (‘‘Fixed Income Reference 

Asset’’); 

• Futures-Linked Securities are 

securities that provide for the payment 

at maturity of a cash amount based on 

the performance of an index of (a) 

futures on Treasury Securities, GSE 

Securities, supranational debt and debt 

of a foreign country or a subdivision 

thereof, or options or other derivatives 

on any of the foregoing; or (b) interest 

rate futures or options or derivatives on 

the foregoing in this subparagraph (b) 

(‘‘Futures Reference Asset’’); and 

• Combination-Linked Securities are 

securities that provide for the payment 

at maturity of a cash amount based on 

the performance of any combination of 

two or more Equity Reference Assets, 

Commodity Reference Assets, Currency 

Reference Assets, Fixed Income 

Reference Assets or Futures Reference 

Assets (‘‘Combination Reference 

Asset’’). 

For the purposes of Commentary .11 

to Rule 915, Equity Reference Assets, 

Commodity Reference Assets, Currency 

Reference Assets, Fixed Income 

Reference Assets, Futures Reference 

Assets and Combination Reference 

Assets, will be collectively referred to as 

‘‘Reference Assets,’’ as defined in 

Sections 107D, 107E, 107F, 107G, 107H 

and 107I, respectively, of the Company 

Guide. Section 107 Securities must meet 

the criteria and guidelines for 

underlying securities set forth in 

Commentary .01 to Rule 915, or the 

Section 107 Securities must be 

redeemable at the option of the holder 

at least on a weekly basis through the 

issuer at a price related to the applicable 

underlying Reference Asset. In addition, 

the issuing company is obligated to 

issue or repurchase the securities in 

aggregation units for cash or cash 

equivalents satisfactory to the issuer of 

Section 107 Securities which underlie 

the option as described in the Section 

107 Securities prospectus. 

Continued Listing Requirements 

Options on Section 107 Securities 

will be subject to all Exchange rules 

governing the trading of equity options. 

The current continuing or maintenance 

listing standards for options traded on 

the Amex will continue to apply. 

The Exchange proposes to establish 

Commentary .12 to Rule 916 which will 

include criteria related to the continued 

listing of options on Section 107 

Securities. 

Under the applicable continued 

listing criteria in proposed Commentary 

.12 to Rule 916, options on Section 107 

Securities initially approved for trading 

pursuant to proposed Commentary .11 

to Rule 915 may be subject to the 

suspension of opening transactions as 

follows: (1) Non-compliance with the 

terms of proposed Commentary .11 to 

Rule 915; (2) non-compliance with the 

terms of Commentary .01 to Rule 916, 

except that in the case of options 

covering Section 107 Securities 

approved pursuant to proposed 

Commentary .11(c)(2) to Rule 915 that 

are redeemable at the option of the 

holder at least on a weekly basis, then 

option contracts of the class covering 

such Securities may only continue to be 

open for trading as long as the Securities 

are listed on a national securities 

exchange and are an ‘‘NMS stock’’ as 

defined in Rule 600 of Regulation NMS; 

(3) in the case of any Section 107 

Security trading pursuant to 

Commentary .11 to Rule 915, the value 

of the Reference Asset is no longer 

calculated or available; or (4) such other 

event shall occur or condition exist that 

in the opinion of the Exchange makes 

further dealing in such options on the 

Exchange inadvisable. 

The Exchange represents that the 

listing and trading of options on Section 

107 Securities pursuant to proposed 

Commentary .11 to Rule 915 will not 

have any effect on the rules pertaining 

to position and exercise limits 6 or 

margin.7

The Exchange will implement 

surveillance procedures for options on 

Section 107 Securities, including 

adequate comprehensive surveillance 

sharing agreements with markets trading 

in non-U.S. components, as applicable. 

The Amex represents that these 

procedures will be adequate to properly 

monitor Exchange trading of options on 

these securities and to deter and detect 

violations of Exchange rules. 

2. Statutory Basis 

The Exchange believes that the 

proposal is consistent with Section 6 of 

the Act,8 in general, and furthers the 

objectives of Section 6(b)(5),9 in 

particular, in that it is designed to 

prevent fraudulent and manipulative 

acts and practices, to promote just and 

equitable principles of trade, to foster 

cooperation and coordination with 


dwashington3 on PRODPC61 with NOTICES
54186 Federal Register / Vol. 73, No. 182 / Thursday, September 18, 2008 / Notices 

10 15 U.S.C. 78s(b)(3)(A). 

11 17 CFR 240.19b–4(f)(6). In addition, Rule 19b– 

4(f)(6)(iii) requires a self-regulatory organization to 

provide the Commission with written notice of its 

intent to file the proposed rule change, along with 

a brief description and text of the proposed rule 

change, at least five business days prior to the date 

of filing of the proposed rule change, or such 

shorter time as designated by the Commission. The 

Exchange has fulfilled this requirement. 

12For purposes only of waiving the 30-day 

operative delay, the Commission has considered the 

proposed rule’s impact on efficiency, competition, 

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

13See Securities Exchange Act Release Nos. 

58203 (July 22, 2008), 73 FR 43812 (July 28, 2008) 

(SR–NYSEArca–2008–57) and 58204 (July 22, 

2008), 73 FR 43807 (July 28, 2008) (SR–CBOE– 

2008–64). 

14 17 CFR 200.30–3(a)(12). 

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

2 17 CFR 240.19b–4. 

persons engaged in facilitating 

transactions in securities, to remove 

impediments to and perfect the 

mechanisms of a free and open market 

and a national market system, and, in 

general, to protect investors and the 

public interest. The Exchange submits 

that the instant proposal to adopt 

generic initial and continued listing 

criteria for options on Section 107 

Securities will serve to provide 

enhanced risk management tools for 

investors that, to date, have been absent 

in connection with Section 107 

Securities. In addition, the Exchange 

further believes that the proposed listing 

criteria together with the Exchange’s 

surveillance procedures will serve to 

protect investors and the public interest. 

B. Self-Regulatory Organization’s 

Statement on Burden on Competition 

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 

No written comments were solicited 

nor received with respect to the 

proposed rule change. 

III. Date of Effectiveness of the 

Proposed Rule Change and Timing for 

Commission Action 

Because the foregoing proposed rule 

change: (1) Does not significantly affect 

the protection of investors or the public 

interest; (2) does not impose any 

significant burden on competition; and 

(3) by its terms does not become 

operative for 30 days after the date of 

this filing, or such shorter time as the 

Commission may designate if consistent 

with the protection of investors and the 

public interest, the proposed rule 

change has become effective pursuant to 

Section 19(b)(3)(A) of the Act 10 and 

Rule 19b–4(f)(6) thereunder.11

A proposed rule change filed under 

Rule 19b–4(f)(6) normally does not 

become operative for 30 days after the 

date of filing. However, Rule 19b– 

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

designate a shorter time if such action 

is consistent with the protection of 

investors and the public interest. The 

Exchange requests that the Commission 

waive the 30-day operative delay so that 

the Exchange is able to compete with 

other options exchanges that are 

currently permitted to list and trade 

options on Section 107 Securities. The 

Commission believes that waiving the 

30-day operative delay is consistent 

with the protection of investors and the 

public interest.12 The Commission notes 

the proposal is substantively identical to 

proposals that were recently approved 

by the Commission, and does not raise 

any new regulatory issues.13 For these 

reasons, the Commission designates the 

proposed rule change as operative upon 

filing. 

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–Amex–2008–69 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–Amex–2008–69. 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 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–Amex–2008–69 and should 

be submitted on or before October 9, 

2008. 

For the Commission, by the Division of 

Trading and Markets, pursuant to delegated 

authority.14

Florence E. Harmon, 

Acting Secretary. 

[FR Doc. E8–21761 Filed 9–17–08; 8:45 am] 

BILLING CODE 8010–01–P 

SECURITIES AND EXCHANGE 

COMMISSION 

[Release No. 34–58513; File No. SR–CBOE– 

2008–92] 

Self-Regulatory Organizations; 

Chicago Board Options Exchange, 

Incorporated; Notice of Filing and 

Immediate Effectiveness of Proposed 

Rule Change Relating to Hybrid 

Electronic Quoting Fee 

September 11, 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 

29, 2008, the Chicago Board Options 

Exchange, Incorporated ( ‘‘Exchange’’ or 

‘‘CBOE’’) filed with the Securities and 

Exchange Commission (the 

‘‘Commission’’) the proposed rule 

change as described in Items I, II and III 

below, which Items have been prepared 

by the CBOE. The Commission is 

publishing this notice to solicit 


dwashington3 on PRODPC61 with NOTICES