25786 Federal Register / Vol. 74, No. 102 / Friday, May 29, 2009 / Notices 

17See Securities Exchange Act Release No. 58179 

(July 17, 2008), 73 FR 42874 (July 23, 2008) (SR– 

Phlx-2008–31). 

18See SR–NASDAQ–2009–047, Items 2 and 7. 

19For the 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). 

20 17 CFR 200.30–3(a)(12). 1 15 U.S.C. 78s(b)(1). 

2 15 U.S.C. 78s(b)(3)(A)(i). 

3 17 CFR 240.19b–4(f)(1). 

4The Commission has modified parts of these 

statements. 

5Securities Exchange Act Release Nos. 57543 

(March 20, 2008), 73 FR 16405 (March 27, 2008) 

and 58258 (July 30, 2008), 73 FR 46133 (August 7, 

2008), respectively. 

designate a shorter time if such action 

is consistent with the protection of 

investors and the public interest. The 

NASDAQ Exchange has requested that 

the Commission waive the 30-day 

operative delay. The Commission notes 

that the NASDAQ Exchange’s proposal 

is substantially similar to the proposal 

of another national securities exchange 

previously approved by the Commission 

and does not raise any new substantive 

issues.17 The NASDAQ Exchange 

proposes to implement the proposed 

rule change when PHLX implements its 

XLII trading system, and states that 

waiving the operative delay will ensure 

that the NASDAQ Exchange is able to 

implement the proposed rule change at 

such time.18 For these reasons, the 

Commission believes that waiving the 

30-day operative delay is consistent 

with the protection of investors and the 

public interest, and designates the 

proposed rule change to be operative 

upon filing with the Commission.19

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–NASDAQ–2009–047 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–NASDAQ–2009–047. 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 NASDAQ 

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– 

NASDAQ–2009–047 and should be 

submitted on or before June 19, 2009. 

For the Commission, by the Division of 

Trading and Markets, pursuant to delegated 

authority.20

Florence E. Harmon, 

Deputy Secretary. 

[FR Doc. E9–12449 Filed 5–28–09; 8:45 am] 

BILLING CODE 8010–01–P 

SECURITIES AND EXCHANGE 

COMMISSION 

[Release No. 34–59945; File No. SR–OCC– 

2009–09] 

Self-Regulatory Organizations; the 

Options Clearing Corporation; Notice 

of Filing and Immediate Effectiveness 

of a Proposed Rule Change Relating to 

Cross-Margining of Security Futures 

on Exchange-Traded Funds Based on 

Broad-Based Stock Indices 

May 20, 2009. 

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

Securities Exchange Act of 1934 

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

April 17, 2009, The Options Clearing 

Corporation (‘‘OCC’’) 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 primarily by OCC. OCC filed 

the proposed rule change pursuant to 

Section 19(b)(3)(A)(i) of the Act 2 and 

Rule 19b–4(f)(1) 3 thereunder so that the 

proposal was 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 proposed rule change would 

certify security futures contracts on two 

exchange-traded funds (‘‘ETFs’’) based 

on broad-based stock indices as eligible 

contracts for purposes of OCC–CME 

cross-margining. 

II. Self-Regulatory Organization’s 

Statement of the Purpose of, and 

Statutory Basis for, the Proposed Rule 

Change 

In its filing with the Commission, 

OCC 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. OCC has prepared 

summaries, set forth in sections (A), (B), 

and (C) below, of the most significant 

aspects of such statements.4

A. Self-Regulatory Organization’s 

Statement of the Purpose of, and 

Statutory Basis for, the Proposed Rule 

Change 

In proposed rule change File Nos. SR– 

OCC–2008–03 and SR–OCC–2008–12, 

respectively, OCC submitted rule 

changes to (i) expand its crossmargining programs with commodity 

clearing organizations to include as 

eligible contracts security futures on 

ETFs based on broad-based securities 

indices and (ii) file an Amended and 

Restated OCC–CME Cross-Margining 

Agreement (‘‘OCC–CME XM 

Agreement’’) and related forms of 

clearing member and market 

professional’s agreements.5 The Exhibit 

A attached to the OCC–CME XM 

Agreement referenced security futures 

on two such ETFs, Standard & Poor’s 

Depository Receipts (‘‘SPY’’) and 

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Federal Register / Vol. 74, No. 102 / Friday, May 29, 2009 / Notices 25787 

6Changes to Exhibit A are not required to be filed 

with the Commission. See Securities Exchange Act 

Release No. 57118 (January 9, 2008) 73 FR 2970 

(January 16, 2008) (File No. SR–OCC–2007–19). 

7 15 U.S.C. 78s(b)(3)(A)(i). 

8 17 CFR 240.19b–4(f)(1). 

9 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). 

4 17 CFR 240.19b–4(f)(6). 

Diamonds Trust (‘‘DIA’’), as eligible 

contracts, but the filing did not 

specifically certify them as such. 

As noted in SR–OCC–2008–03, OCC 

had not included security futures on 

ETFs based on broad-based stock 

indices as eligible contracts in the OCC– 

CME cross-margining program because 

it was awaiting the issuance of an order 

by the Commodity Futures Trading 

Commission (‘‘CFTC’’) providing relief 

from certain provisions of Section 4d(a) 

of the Commodity Exchange Act. The 

CFTC staff recently contacted OCC and 

CME to request that each organization 

separately file with the CFTC rule 

changes certifying futures on SPY and 

DIA as eligible cross-margining 

contracts in connection with the 

issuance of the order.6 Although OCC 

functions as an SEC-registered clearing 

agency in connection with the OCC– 

CME cross-margin program, the CFTC 

made the request of OCC in its capacity 

as a CFTC-registered derivatives 

clearing organization. In response, OCC 

is submitting this filing to certify that 

futures on SPY and DIA will be eligible 

contracts for the OCC–CME crossmargining program upon issuance of the 

CFTC order and has attached as Exhibit 

5A to the filing of proposed rule change 

a current Exhibit A to the OCC–CME 

XM Agreement. 

The proposed change is consistent 

with Section 17A of the Act because it 

enhances the utility of an existing crossmargining program by permitting the 

inclusion of contracts that did not exist 

at the time the program was originally 

implemented. Cross-margining reduces 

systemic risk while providing lower 

margin costs to participants. Therefore, 

expanding the positions that may be 

included in cross-margining is 

beneficial to the clearing system and its 

participants. The proposed rule change 

is not inconsistent with the existing 

rules of OCC, including any other rules 

proposed to be amended. 

B. Self-Regulatory Organization’s 

Statement on Burden on Competition 

OCC does not believe that the 

proposed rule change would impose any 

burden on competition. 

C. Self-Regulatory Organization’s 

Statement on Comments on the 

Proposed Rule Change Received from 

Members, Participants, or Others 

Written comments were not and are 

not intended to be solicited with respect 

to the proposed rule change, and none 

have been received. 

III. Date of Effectiveness of the 

Proposed Rule Change and Timing for 

Commission Action 

The foregoing rule change has become 

effective upon filing pursuant to Section 

19(b)(3)(A)(i) of the Act 7 and Rule 19b– 

4(f)(1) 8 thereunder because the proposal 

constitutes an interpretation with 

respect to the meaning, administration, 

or enforcement of an existing rule of 

OCC. At any time within sixty days of 

the filing of such 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–OCC–2009–09 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–OCC–2009–09. 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 OCC. 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–OCC–2009–09 and should 

be submitted on or before June 19, 2009. 

For the Commission by the Division of 

Trading and Markets, pursuant to delegated 

authority.9

Florence E. Harmon, 

Deputy Secretary. 

[FR Doc. E9–12514 Filed 5–28–09; 8:45 am] 

BILLING CODE 8010–01–P 

SECURITIES AND EXCHANGE 

COMMISSION 

[Release No. 34–59963; File No. SR–BATS– 

2009–012] 

Self-Regulatory Organizations; BATS 

Exchange, Inc.; Notice of Filing and 

Immediate Effectiveness of Proposed 

Rule Change To Amend BATS Rules 

To Offer an After Hours Trading 

Session 

May 21, 2009. 

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 May 20, 

2009, BATS Exchange, Inc. (‘‘BATS’’ or 

the ‘‘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. The Exchange has 

designated this proposal as a ‘‘noncontroversial’’ proposed rule change 

pursuant to Section 19(b)(3)(A) of the 

Act 3 and Rule 19b–4(f)(6)(iii) 

thereunder,4 which renders it effective 

upon filing with the Commission. The 

Commission is publishing this notice to 

solicit comments on the proposed rule 

change from interested persons. 

mstockstill on PROD1PC66 with NOTICES