Federal Register / Vol. 75, No. 23 / Thursday, February 4, 2010 / Notices 5833 

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

2See Securities Exchange Act Release No. 56458 

(September 18, 2007), 72 FR 54309 (September 24, 

2007) (SR–CBOE–2007–107) for a description of the 

Temporary Membership status under Rule 3.19.02. 

3See Securities Exchange Act Release No. 58178 

(July 17, 2008), 73 FR 42634 (July 22, 2008) (SR– 

CBOE–2008–40) for a description of the Interim 

Trading Permits under Rule 3.27. 

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

5 15 U.S.C. 78f(b)(4). 

6 15 U.S.C. 78s(b)(3)(A). 

7 17 CFR 240.19b–4(f)(2). 

SECURITIES AND EXCHANGE 

COMMISSION 

[Release No. 34–61431; File No. SR–CBOE– 

2010–003] 

Self-Regulatory Organizations; 

Chicago Board Options Exchange, 

Incorporated; Notice of Filing and 

Immediate Effectiveness of Proposed 

Rule Change Relating to Temporary 

Waiver of Certain Fees 

January 27, 2010. 

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

Securities Exchange Act of 1934 

(‘‘Act’’),1 notice is hereby given that on 

January 7, 2010 the Chicago Board 

Options Exchange, Incorporated 

(‘‘CBOE’’ 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 

prepared by CBOE. 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 

Chicago Board Options Exchange, 

Incorporated (‘‘CBOE’’ or ‘‘Exchange’’) 

proposes to amend its Fees Schedule to 

(i) temporarily waive the Change of 

Status Fee for a membership status 

change involving a Temporary Member 

or a person on an Interim Trading 

Permit (‘‘ITP’’) who goes onto a CBOE 

transferable membership and (ii) 

temporarily waive the Lease 

Application Fee for a lease under which 

a Temporary Member or a person on an 

ITP goes onto a CBOE transferable 

membership. The text of the proposed 

rule change is available on the 

Exchange’s Web site (http:// 

www.cboe.org/legal), at the Exchange’s 

Office of the Secretary, 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, 

CBOE 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. CBOE 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 

Fees Schedule to (i) temporarily waive 

the Change of Status fee for a 

membership status change involving a 

Temporary Member 2 or a person on an 

ITP 3 who goes onto a CBOE transferable 

membership and (ii) temporarily waive 

the Lease Application fee for a lease 

under which a Temporary Member or a 

person on an ITP goes onto a CBOE 

transferable membership. The Exchange 

proposes to institute these fee waivers 

effective January 7, 2010. 

The Exchange currently has a number 

of unleased CBOE transferable 

memberships. The Exchange intends to 

provide incentives for Temporary 

Members and persons on ITPs to go onto 

CBOE transferable memberships to 

reduce the number of unleased CBOE 

transferable memberships. Specifically, 

CBOE will waive the $500 change of 

status fee for any Temporary Member 

who goes onto a CBOE transferable 

membership as well as for any person 

on an ITP who goes onto a CBOE 

transferable membership (to the extent 

that the change of status fee would 

otherwise be applicable to the person 

switching off of the ITP). In addition, 

CBOE will waive the $600 lease 

application fee for any CBOE 

transferable membership lease under 

which a Temporary Member or person 

on an ITP goes onto a CBOE transferable 

membership. These fee waivers will be 

in effect through April 2, 2010. 

For example, Floor Broker ABC (a 

Temporary Member) is employed by 

Firm XYZ (a member organization) and 

is an individual member with a 

Temporary Membership that has been 

registered for Firm XYZ. Firm XYZ now 

wishes to lease a CBOE transferable 

membership for Floor Broker ABC to 

have Floor Broker ABC become a 

nominee of Firm XYZ and eliminate his 

Temporary Membership status. 

Currently, the change of status to a 

nominee and the lease of a CBOE 

transferable membership by Firm XYZ 

would result in a $500 Change in Status 

fee for Floor Broker ABC and a $600 

Lease Application fee for the new lease. 

CBOE believes it is appropriate to 

temporarily waive this Change in Status 

fee and Lease Application fee to provide 

incentives for these types of status 

changes. These fee waivers would result 

in a total cost savings of $1,100 to Firm 

XYZ and Floor Broker ABC ($500 

savings for the Change in Status fee and 

$600 savings for the Lease Application 

fee). 

2. Statutory Basis 

The Exchange believes the proposed 

rule change is consistent with Section 

6(b) of the Securities Exchange Act of 

1934 (‘‘Act’’) 4, in general, and furthers 

the objectives of Section 6(b)(4) 5 of the 

Act in particular, in that it is designed 

to provide for the equitable allocation of 

reasonable dues, fees, and other charges 

among its members and other persons 

using its facilities in that it is designed 

to provide incentives to reduce the 

number of unleased CBOE transferable 

memberships. 

B. Self-Regulatory Organization’s 

Statement on Burden on Competition 

CBOE does not believe that the 

proposed rule change will 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 

or received with respect to the proposed 

rule change. 

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) 

of the Act 6 and subparagraph (f)(2) of 

Rule 19b–4 7 thereunder. 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. 


srobinson on DSKHWCL6B1PROD with NOTICES
5834 Federal Register / Vol. 75, No. 23 / Thursday, February 4, 2010 / Notices 

8 17 CFR 200.30–3(a)(12). 

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

2 17 CFR 240.19b–4. 

3 17 CFR 240.19b–4(f)(6). 

4The current FINRA rulebook consists of (1) 

FINRA Rules; (2) NASD Rules; and (3) rules 

incorporated from NYSE (‘‘Incorporated NYSE 

Rules’’) (together, the NASD Rules and Incorporated 

NYSE Rules are referred to as the ‘‘Transitional 

Rulebook’’). While the NASD Rules generally apply 

to all FINRA members, the Incorporated NYSE 

Rules apply only to those members of FINRA that 

are also members of the NYSE (‘‘Dual Members’’). 

The FINRA Rules apply to all FINRA members, 

unless such rules have a more limited application 

by their terms. For more information about the 

rulebook consolidation process, see Information 

Notice, March 12, 2008 (Rulebook Consolidation 

Process). 

5See Securities Exchange Act Release No. 61071 

(November 30, 2009), 74 FR 64109 (December 7, 

2009) (Order Approving File No. SR–FINRA–2009– 

067). 

6See Securities Exchange Act Release No. 60933 

(November 4, 2009), 74 FR 58334 (November 12, 

2009) (Order Approving File No. SR–FINRA–2008– 

067). 

7See Securities Exchange Act Release No. 60835 

(October 16, 2009), 74 FR 54616 (October 22, 2009) 

(Order Approving File No. SR–FINRA–2009–055). 

8See Securities Exchange Act Release No. 61052 

(November 23, 2009), 74 FR 62857 (December 1, 

2009) (Order Approving File No. SR–FINRA–2009– 

066). 

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–CBOE–2010–003 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–CBOE–2010–003. 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 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 No. 

SR–CBOE–2010–003 and should be 

submitted on or before February 25, 

2010. 

For the Commission, by the Division of 

Trading and Markets, pursuant to delegated 

authority.8

Florence E. Harmon, 

Deputy Secretary. 

[FR Doc. 2010–2332 Filed 2–3–10; 8:45 am] 

BILLING CODE 8011–01–P 

SECURITIES AND EXCHANGE 

COMMISSION 

[Release No. 34–61427; File No. SR–FINRA– 

2010–002] 

Self-Regulatory Organizations; 

Financial Industry Regulatory 

Authority, Inc.; Notice of Filing and 

Immediate Effectiveness of Proposed 

Rule Change To Update Certain CrossReferences and Make Other Various 

Non-Substantive Technical Changes to 

Certain FINRA Rules 

January 27, 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 January 

14, 2010, Financial Industry Regulatory 

Authority, Inc. (‘‘FINRA’’) filed with the 

Securities and Exchange Commission 

(‘‘SEC’’ or ‘‘Commission’’) the proposed 

rule change as described in Items I and 

II below, which Items have been 

prepared by FINRA. FINRA has 

designated the proposed rule change as 

constituting a ‘‘non-controversial’’ rule 

change under paragraph (f)(6) of Rule 

19b–4 under the Act,3 which renders 

the proposal effective upon receipt of 

this filing by 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 

FINRA is proposing to update crossreferences within certain FINRA rules to 

reflect changes adopted in the 

consolidated FINRA rulebook and to 

make non-substantive technical changes 

to certain FINRA rules. 

The text of the proposed rule change 

is available on FINRA’s Web site at 

http://www.finra.org, at the principal 

office of FINRA 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, 

FINRA 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. FINRA 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 

FINRA is in the process of developing 

a new consolidated rulebook 

(‘‘Consolidated FINRA Rulebook’’).4

That process involves FINRA submitting 

to the Commission for approval a series 

of proposed rule changes over time to 

adopt rules in the Consolidated FINRA 

Rulebook. The phased adoption and 

implementation of those rules 

necessitates periodic amendments to 

update rule cross-references and other 

non-substantive technical changes in 

the Consolidated FINRA Rulebook. 

The proposed rule change first would 

update rule cross-references to reflect 

recent changes adopted in the 

Consolidated FINRA Rulebook. The 

proposed rule change would update 

FINRA Rule 0150 to reflect the adoption 

into the Consolidated FINRA Rulebook 

of (1) FINRA Rule 2060 and the deletion 

of NASD Rule 3120,5 (2) FINRA Rules 

4120 and 4130 and the deletion of 

NASD Rules 3130 and 3131 and NASD 

IM–3130,6 and (3) FINRA Rules 5210 

and 5220 and the deletion of NASD 

Rules 3310 and 3320 and NASD IM– 

3310 and IM–3320.7 The rule crossreferences in FINRA Rule 6635 would 

be similarly updated to reflect the 

adoption of (1) FINRA Rule 2251 and 

the deletion of NASD Rule 2260,8 (2) 

FINRA Rules 5210 and 5520 and the 

deletion of NASD IM–3310 and IM– 


srobinson on DSKHWCL6B1PROD with NOTICES