Federal Register / Vol. 74, No. 110 / Wednesday, June 10, 2009 / Notices 27581 

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

6 15 U.S.C. 78(f)(b)(5). 

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

8 17 CFR 240.19b–4(f)(6). In addition, Rule 19b– 

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

the Commission written notice of its intent to file 

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 Commission has determined to 

waive the five-day pre-filing period in this case. 

9 17 CFR 240.19b–4(f)(6). 

10 17 CFR 240.19b–4(f)(6). 

11For 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). 

12For purposes of calculating the 60-day period 

within which the Commission may summarily 

abrogate the proposed rule change under Section 

19(b)(3)(C) of the Act, the Commission considers 

the period to commence on June 2, 2009, the date 

on which CBOE submitted Amendment No. 1. See 

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

13 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)(ii). 

4 17 CFR 240.19b–4(f)(2). 

applicable to a national securities 

exchange and, in particular, the 

requirements of Section 6(b) of the Act.5

Specifically, the Exchange believes the 

proposed rule change is consistent with 

the Section 6(b)(5) 6 requirements that 

the rules of an exchange be designed to 

promote just and equitable principles of 

trade, to prevent fraudulent and 

manipulative acts and, in general, to 

protect investors and the public interest. 

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 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 neither solicited nor 

received comments on the proposal. 

III. Date of Effectiveness of the 

Proposed Rule Change and Timing for 

Commission Action 

Because the foregoing proposed rule 

change does not: (i) Significantly affect 

the protection of investors or the public 

interest; (ii) impose any significant 

burden on competition; and (iii) become 

operative for 30 days from the date on 

which it was filed, or such shorter time 

as the Commission may designate, it has 

become effective pursuant to Section 

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

4(f)(6) thereunder.8

A proposed rule change filed 

pursuant to Rule 19b–4(f)(6) under the 

Act 9 normally does not become 

operative for 30 days after the date of its 

filing. However, Rule 19b–4(f)(6) 10

permits the Commission to designate a 

shorter time if such action is consistent 

with the protection of investors and the 

public interest. CBOE requests that the 

Commission waive the 30-day operative 

delay because the acceleration of the 

operative date is consistent with the 

protection of investors and the public 

interest. The Commission believes that 

waiving the 30-day operative delay 11 is 

consistent with the protection of 

investors and the public interest and 

designates the proposal 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.12

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–CBOE–2009–032 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–2009–032. 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 publicly available. All 

submissions should refer to File 

Number SR–CBOE–2009–032 and 

should be submitted on or before July 1, 

2009. 

For the Commission, by the Division of 

Trading and Markets, pursuant to delegated 

authority.13

Florence E. Harmon, 

Deputy Secretary. 

[FR Doc. E9–13569 Filed 6–9–09; 8:45 am] 

BILLING CODE 8010–01–P 

SECURITIES AND EXCHANGE 

COMMISSION 

[Release No. 34–60041; File No. SR–BATS– 

2009–017] 

Self-Regulatory Organizations; BATS 

Exchange, Inc.; Notice of Filing and 

Immediate Effectiveness of Proposed 

Rule Change Related to Fees for Use 

of BATS Exchange, Inc. 

June 3, 2009. 

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 May 28, 

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, II, and 

III below, which Items have been 

prepared by BATS. BATS has 

designated the proposed rule change as 

one establishing or changing a member 

due, fee, or other charge imposed by the 

Exchange under Section 19(b)(3)(A)(ii) 

of the Act 3 and Rule 19b–4(f)(2) 

thereunder,4 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 


erowe on PROD1PC63 with NOTICES
27582 Federal Register / Vol. 74, No. 110 / Wednesday, June 10, 2009 / Notices 

5See SR–BATS–2009–014 (May 22, 2009), 

available at http://www.batstrading.com/regulation/ 

rule_filings/. 

6See NYSE Arca Client Notice (May 19, 2009), 

available at http://www.nyse.com/pdfs/ 

NYSEArca_Fee_Notice_6109.pdf. 

change, as amended, from interested 

persons. 

I. Self-Regulatory Organization’s 

Statement of the Terms of Substance of 

the Proposed Rule Change 

The Exchange proposes to modify its 

fee schedule applicable to use of the 

Exchange. While changes to the fee 

schedule pursuant to this proposal will 

be effective upon filing, the changes will 

become operative on June 1, 2009. 

The text of the proposed rule change 

is available at the Exchange’s Web site 

at http://www.batstrading.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 proposes to modify its 

fee schedule applicable to use of the 

Exchange effective June 1, 2009, in 

order to (i) implement pricing for its 

recently introduced BATS Optional 

Liquidity Technology (‘‘BOLT’’) 

program; and (ii) increase the fee 

charged by the Exchange for Destination 

Specific Orders for Tape A and C 

securities routed to NYSE Arca from 

$0.0027 per share to $0.0030 per share. 

Each of these proposals is discussed in 

further detail below. 

(i) BOLT Pricing 

On May 22, 2009, the Exchange 

adopted changes to BATS Rules 11.9 

and 11.13 pursuant to an immediately 

effective rule filing that will permit the 

Exchange to offer both a ‘‘BATS Only 

BOLT Order’’ and a pre-routing 

processing method (‘‘BOLT Routing’’) 

that will each include an optional 

display period through which a 

marketable order will be displayed to 

Exchange Users (and market data 

recipients) for a brief period of time 

designated by the Exchange (the 

‘‘variable BOLT display period’’) for 

potential execution.5 As explained in 

more detail below, with the exception of 

orders subject to BOLT Routing that are 

executed on the Exchange during the 

variable BOLT display period, BATS 

Only BOLT Orders and orders subject to 

BOLT Routing will be charged fees and 

will receive rebates consistent with all 

other orders executed on the Exchange 

or routed from the Exchange to away 

trading centers. 

BATS Only BOLT Orders in securities 

priced at any limit price will be treated 

in the same manner as other such orders 

submitted to the Exchange. Thus, to the 

extent a BATS Only BOLT Order 

removes liquidity from the BATS Book 

in securities priced $1.00 or above it 

will be charged the Exchange’s standard 

fee for removing liquidity from the 

BATS Book ($0.0025 per share); to the 

extent a BATS Only BOLT Order adds 

liquidity to the BATS Book in securities 

priced $1.00 or above it will receive the 

Exchange’s standard $0.0024 per share 

rebate for adding liquidity. 

Similarly, BATS Only BOLT Orders 

in securities priced below $1.00 will be 

treated in the same manner as all other 

such orders priced below $1.00 

submitted to the Exchange. Specifically, 

for executions on the Exchange, the 

Exchange does not propose to provide 

any rebates for BATS Only BOLT Orders 

that add liquidity to the BATS Book in 

securities priced below $1.00 nor does 

the Exchange propose to charge a fee for 

BATS Only BOLT Orders that remove 

liquidity in securities priced below 

$1.00. 

Orders subject to BOLT Routing in 

securities priced below $1.00 will also 

be treated in the same manner as all 

other such orders priced below $1.00 

submitted to the Exchange (i.e., no 

rebate and no charge). With respect to 

orders subject to BOLT Routing in 

securities priced below $1.00 that are 

routed and executed at an away trading 

center, such orders will be charged fees 

applicable to all other routed orders in 

securities priced below $1.00 (e.g., 

$0.0020 charge per share for shares 

executed at a dark liquidity venue, or 

‘‘DART’’ routing; 0.25% charge of the 

total dollar value for executions 

occurring through CYCLE or RECYCLE 

routing). Thus, as set forth above, the 

Exchange has not proposed any changes 

to its fee schedule related to BATS Only 

BOLT Orders priced at any limit price, 

or orders subject to BOLT Routing in 

securities priced below $1.00. 

To the extent an order subject to 

BOLT Routing removes liquidity from 

the BATS Book prior to entering the 

variable BOLT display period in 

securities priced $1.00, such order will 

be charged the Exchange’s standard fee 

for removing liquidity from the BATS 

Book ($0.0025 per share). In addition, 

orders subject to BOLT Routing in 

securities priced $1.00 or above that are 

routed and executed at an away trading 

center after the variable BOLT display 

period will be charged the Exchange’s 

standard routing fees. Thus, the 

Exchange has not proposed any changes 

to its fee schedule for orders subject to 

BOLT Routing that remove liquidity 

from the BATS Book or that execute 

after routing to an away trading center. 

However, with respect to orders subject 

to BOLT Routing that execute on the 

Exchange during the pre-routing 

variable BOLT display period, the 

Exchange proposes to pay Members a 

$0.0015 per share rebate. The Exchange 

proposes to reflect this new rebate on 

the revised fee schedule. 

As explained in the Exchange’s rule 

filing, the Exchange expects to have 

technological changes in place to 

support the proposed rule change on or 

about June 5, 2009. Accordingly, 

although the changes to the fee schedule 

proposed in this filing will become 

operative on June 1, 2009, the fees and 

rebates applicable to BOLT will not be 

charged or paid to Members until BOLT 

is implemented by the Exchange. 

(ii) BATS + NYSE ARCA Destination 

Specific Orders 

The Exchange currently charges a 

consistent, discounted fee for 

Destination Specific Orders routed to 

certain of the largest market centers 

measured by volume (NYSE, NYSE Arca 

and NASDAQ), which, in each instance 

is $0.0001 less per share for orders 

routed to such market centers by the 

Exchange than such market centers 

currently charge for removing liquidity 

(referred to by the Exchange as ‘‘One 

Under’’ pricing). NYSE Arca recently 

announced an increase to its liquidity 

removal fee from $0.0028 per share to 

$0.0030 per share in Tape A and Tape 

C securities.6 In order to maintain its 

One Under pricing with respect to 

Destination Specific Orders routed to 

NYSE Arca, BATS proposes to charge 

$0.0029 per share for BATS + NYSE 

ARCA Destination Specific Orders 

executed at NYSE Arca in Tape A or 

Tape C securities. The Exchange’s ‘‘One 

Under’’ pricing does not apply to 


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Federal Register / Vol. 74, No. 110 / Wednesday, June 10, 2009 / Notices 27583 

7 15 U.S.C. 78f. 

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). 

securities priced below $1.00 nor does 

it apply to odd lot orders routed to 

NYSE Arca; such order types will 

continue to be priced as set forth on the 

Exchange’s fee schedule. In addition, 

the Exchange will maintain the pricing 

currently charged by the Exchange for 

BATS + NYSE ARCA Destination 

Specific Orders for Tape B securities 

and for all other Destination Specific 

Orders. 

2. Statutory Basis 

The Exchange believes that the 

proposed rule change is consistent with 

the requirements of the Act and the 

rules and regulations thereunder that 

are applicable to a national securities 

exchange, and, in particular, with the 

requirements of Section 6 of the Act.7

Specifically, the Exchange believes that 

the proposed rule change is consistent 

with Section 6(b)(4) of the Act,8 in that 

it provides for the equitable allocation 

of reasonable dues, fees and other 

charges among members and other 

persons using any facility or system 

which the Exchange operates or 

controls. The Exchange notes that it 

operates in a highly competitive market 

in which market participants can 

readily direct order flow to competing 

venues if they deem fee levels at a 

particular venue to be excessive. 

Finally, the Exchange believes that the 

proposed rates are equitable in that they 

apply uniformly to all Members. 

B. Self-Regulatory Organization’s 

Statement on Burden on Competition 

The Exchange does not believe that 

the proposed rule change imposes any 

burden on competition. 

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. 

III. Date of Effectiveness of the 

Proposed Rule Change and Timing for 

Commission Action 

The foregoing proposed rule change 

has been designated as a fee change 

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

Act 9 and Rule 19b–4(f)(2) thereunder,10

because it establishes or changes a due, 

fee or other charge imposed on members 

by the Exchange. Accordingly, the 

proposal is effective 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–BATS–2009–017 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–BATS–2009–017. 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 publicly available. All 

submissions should refer to File 

Number SR–BATS–2009–017 and 

should be submitted on or before July 1, 

2009. 

For the Commission, by the Division of 

Trading and Markets, pursuant to delegated 

authority.11

Florence E. Harmon, 

Deputy Secretary. 

[FR Doc. E9–13553 Filed 6–9–09; 8:45 am] 

BILLING CODE 8010–01–P 

DEPARTMENT OF TRANSPORTATION 

Pipeline and Hazardous Materials 

Safety Administration 

Office of Hazardous Materials Safety; 

Notice of Application for Special 

Permits 

AGENCY: Pipeline and Hazardous 

Materials Safety Administration 

(PHMSA), DOT. 

ACTION: List of applications for special 

permits. 

SUMMARY: In accordance with the 

procedures governing the application 

for, and the processing of, special 

permits from the Department of 

Transportation’s Hazardous Material 

Regulations (49 CFR Part 107, Subpart 

B), notice is hereby given that the Office 

of Hazardous Materials Safety has 

received the application described 

herein. Each mode of transportation for 

which a particular special permit is 

requested is indicated by a number in 

the ‘‘Nature of Application’’ portion of 

the table below as follows: 1—Motor 

vehicle, 2—Rail freight, 3—Cargo vessel, 

4—Cargo aircraft only, 5—Passengercarrying aircraft. 

DATES: Comments must be received on 

or before July 10, 2009. 

ADDRESSES: Address Comments to: 

Record Center, Pipeline and Hazardous 

Materials Safety Administration, U.S. 

Department of Transportation, 

Washington, DC 20590. 

Comments should refer to the 

application number and be submitted in 

triplicate. If confirmation of receipt of 

comments is desired, include a selfaddressed stamped postcard showing 

the special permit number. 

FOR FURTHER INFORMATION CONTACT: 

Copies of the applications are available 

for inspection in the Records Center, 

East Building, PHH–30, 1200 New 

Jersey Avenue, Southeast, Washington 

DC or at http://fdms.gov. 

This notice of receipt of applications 

for special permit is published in 

accordance with Part 107 of the Federal 

hazardous materials transportation law 

(49 U.S.C. 5117(b); 49 CFR 1.53(b)). 


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