Federal Register / Vol. 74, No. 113 / Monday, June 15, 2009 / Notices 28305 

8 17 CFR 200.30–3(a)(12). 

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

2 17 CFR 240.19b–4. 

3The Exchange’s two modes of order interaction 

are described in NSX Rule 11.13(b). 

4Explanatory Endnote 3 of the Fee Schedule 

contains the definition of ‘‘Liquidity Adding ADV.’’ 

5 ‘‘Zero Display Orders’’ means ‘‘Zero Display 

Reserve Orders’’ as specified in NSX Rule 

11.11(c)(2)(A). 

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–2009–051 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–2009–051. 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, 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– 

NASDAQ–2009–051 and should be 

submitted on or before July 6, 2009. 

For the Commission, by the Division of 

Trading and Markets, pursuant to delegated 

authority.8

Florence E. Harmon, 

Deputy Secretary. 

[FR Doc. E9–13974 Filed 6–12–09; 8:45 am] 

BILLING CODE 8010–01–P 

SECURITIES AND EXCHANGE 

COMMISSION 

[Release No. 34–60068; File No. SR–NSX– 

2009–04] 

Self-Regulatory Organizations; 

National Stock Exchange, Inc.; Notice 

of Filing and Immediate Effectiveness 

of Proposed Rule Change To Amend 

the Fee and Rebate Schedule To (i) 

Increase From 50,000 to 5 Million the 

Liquidity Adding Average Daily Volume 

Thresholds in the Automatic Execution 

Mode of Order Interaction (‘‘AutoEx’’); 

(ii) Include Securities Less Than One 

Dollar in the Calculation of Liquidity 

Adding and Total Average Volume 

Thresholds in AutoEx; and (iii) 

Eliminate the Two Lower Tiers With 

Respect to the AutoEx Liquidity 

Adding Zero Display Order Rebate 

June 8, 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 29, 

2009, National Stock Exchange, Inc. 

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 the Exchange. 

The Commission is publishing this 

notice to solicit comment on the 

proposed rule change from interested 

persons. 

I. Self-Regulatory Organization’s 

Statement of the Terms of Substance of 

the Proposed Rule Change 

National Stock Exchange, Inc. 

(‘‘NSX®’’ or ‘‘Exchange’’) is proposing to 

amend the Fee and Rebate Schedule (the 

‘‘Fee Schedule’’) issued pursuant to 

Exchange Rule 16.1(c) in order to (i) 

increase from 50,000 to 5 million the 

liquidity adding average daily volume 

thresholds in the Automatic Execution 

Mode of order interaction (‘‘AutoEx’’); 

(ii) include securities less than one 

dollar in the calculation of liquidity 

adding and total average volume 

thresholds in AutoEx; and (iii) eliminate 

the two lower tiers with respect to the 

AutoEx liquidity adding zero display 

order rebate. 

The text of the proposed rule change 

is available on the Exchange’s Web site 

at http://www.nsx.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 

Purpose 

With this rule change, the Exchange is 

proposing to make three changes to the 

Fee Schedule, in each case only with 

respect to AutoEx.3

First, the liquidity adding average 

daily volume (‘‘Liquidity Adding ADV’’) 

thresholds in AutoEx that are currently 

set at 50,000 are proposed to be 

increased to 5 million. This threshold is 

used to determine both the amount of 

the liquidity taking fee in AutoEx and 

eligibility for receipt of the liquidity 

adding zero display order rebate in 

AutoEx. Under the Fee Schedule in 

effect prior to effectiveness of the 

instant proposed rule change, an ETP 

Holder needs to achieve a Liquidity 

Adding ADV 4 of 50,000 in order to 

obtain a reduced liquidity taking fee 

from $0.0030 to $0.0028 per share. The 

instant rule filing proposes to increase 

the Liquidity Adding ADV used with 

respect to AutoEx liquidity taking fees 

from 50,000 to 5 million. In addition, 

under the Fee Schedule in effect prior 

to effectiveness of the instant proposed 

rule change, an ETP Holder needs to 

achieve a Liquidity Adding ADV of 

50,000 in order to become eligible to 

receive rebates for submitting liquidity 

adding Zero Display Orders 5 in AutoEx. 

If an ETP Holder fails to achieve a 

Liquidity Adding ADV of 50,000, such 

ETP Holder is not eligible to receive a 

liquidity adding Zero Display Order 

rebate. The instant rule filing proposes 

to increase the Liquidity Adding ADV 

used with respect to eligibility to 

receive a liquidity adding Zero Display 


pwalker on PROD1PC71 with NOTICES
28306 Federal Register / Vol. 74, No. 113 / Monday, June 15, 2009 / Notices 

6 ‘‘Total ADV’’ is used to determine the amount, 

if any, of an ETP Holder’s liquidity adding Zero 

Display Order rebate in AutoEx. See Explanatory 

Endnote 5 of the Fee Schedule. 

7See SR–NSX–2009–03 (filed My [sic] 15, 2009). 

8The first tier is $0.0022 per share (applicable to 

shares executed in AutoEx which added liquidity 

as Zero Display Orders), where Total ADV is greater 

than or equal to 1 million and less than 15 million. 

9 The second tier is $0.0023 per share (applicable 

to shares executed in AutoEx which added liquidity 

as Zero Display Orders), where Total ADV is greater 

than or equal to 15 million and less than 30 million. 

10The third tier is $0.0025 per share (applicable 

to shares executed in AutoEx which added liquidity 

as Zero Display Orders), where Total ADV is greater 

than or equal to 30 million. 

11 15 U.S.C. 78f(b). 

12 15 U.S.C. 78f(b)(4). 

13 15 U.S.C. 78s(b)(3)(A)(ii). 

14 17 CFR 240.19b–4 [sic]. 

Order rebate in AutoEx from 50,000 to 

5 million. 

Second, the instant rule change 

proposes to include securities less than 

one dollar in the calculation of 

Liquidity Adding ADV and Total ADV.6

Prior to effectiveness of the instant rule 

change, securities less than one dollar 

were excluded from such calculations 

except only with respect to the volume 

tier thresholds relative to the AutoEx 

liquidity adding displayed order rebate 

for Tape A and C securities.7 The 

instant rule change would include subdollar securities in all calculations of 

both Liquidity Adding ADV and Total 

ADV. 

Third, the two lower of the three tiers 

used to determine the amount, if any, of 

an ETP Holder’s rebate for liquidity 

adding Zero Display Orders in AutoEx 

would be eliminated under the 

proposed rule change. Under the Fee 

Schedule prior to effectiveness of the 

instant proposed rule change, 

progressively higher rebates may be 

awarded where an ETP Holder achieves 

Total ADV of 1 million,8 15 million 9

and 30 million 10 shares. The instant 

rule change proposes to eliminate the 1 

million and 15 million tiers (together 

with the associated lesser rebate 

amounts of $0.0022 and $0.0023 per 

share, respectively), such that the sole 

remaining Total ADV tier would be 30 

million, for which the associated rebate 

would remain $0.0025 per share. 

The proposed rule change would not 

modify other calculations of average 

daily volume, volume tiers, or 

associated fees that are included in the 

Fee Schedule. 

Rationale 

The Exchange has determined that 

these changes are necessary to increase 

the volume of liquidity adding and subdollar orders in AutoEx for the purpose 

of increasing the revenue of the 

Exchange and adequately funding its 

regulatory and general business 

functions. The proposed modifications 

are reasonable and equitably allocated 

to those ETP Holders that opt to provide 

liquidity adding and sub-dollar orders 

in AutoEx, and are not discriminatory 

because ETP Holders are free to elect 

whether or not to send such orders. 

Based upon the information above, the 

Exchange believes that the proposed 

rule change is consistent with the 

protection of investors and the public 

interest. 

Operative Date and Notice 

The Exchange intends to utilize the 

proposed volume thresholds effective 

June 1, 2009. Pursuant to Exchange Rule 

16.1(c), the Exchange will ‘‘provide ETP 

Holders with notice of all relevant dues, 

fees, assessments and charges of the 

Exchange’’ through the issuance of a 

Regulatory Circular of the changes to the 

Fee Schedule and will post a copy of the 

rule filing on the Exchange’s Web site 

(http://www.nsx.com). 

Statutory Basis 

The Exchange believes that the 

proposed rule change is consistent with 

the provisions of Section 6(b) of the 

Act,11 in general, and Section 6(b)(4) of 

the Act,12 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 the facilities of the 

Exchange. Moreover, the proposed fee 

and rebate structure is not 

discriminatory in that all ETP Holders 

are eligible to submit (or not submit) 

liquidity adding and sub-dollar trades 

and quotes, and may do so at their 

discretion in the daily volumes they 

choose during the course of the 

measurement period. 

B. Self-Regulatory Organization’s 

Statement on Burden on Competition 

The Exchange does not believe that 

the proposed rule change will impose 

any inappropriate burden on 

competition. 

C. Self-Regulatory Organization’s 

Statement on Comments on the 

Proposed Rule Change Received From 

Members, Participants, or Others 

The Exchange has neither solicited 

nor received written comments on the 

proposed rule change. 

III. Date of Effectiveness of the 

Proposed Rule Change and Timing for 

Commission Action 

The proposed rule change has taken 

effect upon filing pursuant to Section 

19(b)(3)(A)(ii) of the Act 13 and 

subparagraph (f)(2) of Rule 19b–4 14

thereunder, because, as provided in 

(f)(2), it changes ‘‘a due, fee or other 

charge applicable only to a member’’ 

(known on the Exchange as an ETP 

Holder). At any time within sixty (60) 

days of the filing of such 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–NSX–2009–04 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–NSX–2009–04. 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 will also be available 

for inspection and copying at the 

principal office of the self-regulatory 

organization. All comments received 

will be posted without change; the 


pwalker on PROD1PC71 with NOTICES
Federal Register / Vol. 74, No. 113 / Monday, June 15, 2009 / Notices 28307 

15 17 CFR 200.30–3(a)(12). 

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

2 15 U.S.C. 78a. 

3 17 CFR 240.19b–4. 

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

5 17 CFR 240.19b–4(f)(2). 

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

7 15 U.S.C. 78f(b)(4). 

8 15 U.S.C. 78s(b)(3)(A). 

9 17 CFR 240.19b–4(f)(2). 

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–NSX– 

2009–04 and should be submitted on or 

before July 6, 2009. 

For the Commission, by the Division of 

Trading and Markets, pursuant to delegated 

authority.15

Florence E. Harmon, 

Deputy Secretary. 

[FR Doc. E9–13973 Filed 6–12–09; 8:45 am] 

BILLING CODE 8010–01–P 

SECURITIES AND EXCHANGE 

COMMISSION 

[Release No. 34–60067; File No. SR– 

NYSEArca–2009–48] 

Self-Regulatory Organizations; NYSE 

Arca, Inc.; Notice of Filing and 

Immediate Effectiveness of Proposed 

Rule Change Amending Its Schedule of 

Fees and Charges for Exchange 

Services 

June 8, 2009. 

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

Securities Exchange Act of 1934 (the 

‘‘Act’’) 2 and Rule 19b–4 thereunder,3

notice is hereby given that, on May 29, 

2009, NYSE Arca, Inc. (‘‘NYSE Arca’’ or 

the ‘‘Exchange’’) 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 self-regulatory 

organization. NYSE Arca filed the 

proposal pursuant to Section 

19(b)(3)(A) 4 of the Act and Rule 19b– 

4(f)(2) 5 thereunder. 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 amend the 

section of its Schedule of Fees and 

Charges for Exchange Services (the 

‘‘Schedule’’). While changes to the 

Schedule pursuant to this proposal will 

be effective upon filing, the changes will 

become operative on June 1, 2009. A 

copy of this filing is available on the 

Exchange’s Web site at http:// 

www.nyse.com, at the Exchange’s 

principal office 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 

self-regulatory organization 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 those 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 make 

multiple changes to its Schedule that 

will take effect on June 1, 2009. A more 

detailed description of the proposed 

changes follows. 

Tier 1 Rates: 

Currently, Tier 1 rates are applied to 

customers with an average daily share 

volume per month greater than 90 

million shares in Tape A, B and C 

securities, including adding liquidity of 

more than 45 million shares. The 

Exchange proposes making Tier 1 rates 

more attainable for customers by 

lowering the adding liquidity 

component from 45 million shares to 30 

million shares. In Tape A and Tape C 

securities, the Exchange proposes a 

rebate of $0.0030 per share for orders 

that add liquidity (previously $0.0029) 

and a take fee of $0.0030 per share for 

orders that remove liquidity (previously 

$0.0028). 

Tier 2 Rates: 

Tier 2 rates are applied to customers 

with an average daily share volume per 

month greater than 60 million shares in 

Tape A, B and C securities, including 

adding liquidity of more than 30 million 

shares. The Exchange proposes making 

Tier 2 rates more attainable for 

customers by lowering the adding 

liquidity component from 30 million 

shares to 20 million shares. In Tape A 

and Tape C securities, the Exchange 

proposes a rebate of $0.0028 per share 

for orders that add liquidity (previously 

$0.0027) and a take fee of $0.0030 per 

share for orders that remove liquidity 

(previously $0.0029). 

Take Tier: 

The Take Tier rates are applied to 

customers that take liquidity or route to 

an away market center with an average 

daily share volume per month greater 

than 85 million shares and route an 

average daily share volume per month 

greater than 2 million shares. The 

Exchange proposes to eliminate the 

Take Tier. 

The proposed changes will become 

operative on June 1, 2009. 

2. Statutory Basis 

The Exchange believes that the 

proposed rule change is consistent with 

the provisions of Section 6 of the 

Securities Exchange Act of 1934 (the 

‘‘Act’’),6 in general, and Section 6(b)(4) 

of the Act,7 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. The 

proposed rates are part of the 

Exchange’s continued effort to attract 

and enhance participation on the 

Exchange, by offering attractive rebates 

for liquidity providers and volumebased incentives. The Exchange believes 

that the proposed changes to the 

Schedule are equitable in that they 

apply uniformly to our Users. 

B. Self-Regulatory Organization’s 

Statement on Burden on Competition 

The Exchange 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 proposed rule change is 

effective upon filing pursuant to Section 

19(b)(3)(A) 8 of the Act and 

subparagraph (f)(2) of Rule 19b–4 9

thereunder, because it establishes a due, 

fee, or other charge imposed by NYSE 

Arca. 

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, 


pwalker on PROD1PC71 with NOTICES