Federal Register / Vol. 74, No. 130 / Thursday, July 9, 2009 / Notices 33003 

12 17 CFR 200.30–3(a)(12). 

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

2 17 CFR 240.19b–4. 

3References to ISE Members in this filing refer to 

DECN Subscribers who are ISE Members. 

4 In SR–ISE–2009–43, the Exchange amended the 

DECNs’ fee schedule to include a per share rebate 

in securities reported to Tape A and Tape C of 

$0.003 for securities priced at or above $1.00 when 

ISE Members add liquidity on EDGX if the ISE 

Member satisfies any of the following three criteria 

on a daily basis, measured monthly: (i) Adding 

40,000,000 shares or more on either EDGX, EDGA 

or EDGX and EDGA combined; (ii) adding 

20,000,000 shares or more on either EDGX, EDGA 

or EDGX and EDGA combined and routing 

20,000,000 shares or more through EDGA; or (iii) 

adding 10,000,000 shares or more of liquidity to 

EDGX, so long as added liquidity on EDGX is at 

least 5,000,000 shares greater than the previous 

calendar month. 

5 In SR–ISE–2009–43, the Exchange adopted Ultra 

Tier Rebates that provide ISE Members a $0.0032 

rebate per share for securities priced at or above 

$1.00 when ISE Members add liquidity on EDGX if 

the attributed MPID satisfies one of the following 

criteria on a daily basis, measured monthly: (i) 

Adding 100,000,000 shares or more on EDGX; or (ii) 

adding 50,000,000 shares or more of liquidity to 

EDGX, so long as added liquidity on EDGX is at 

least 20,000,000 shares greater than the previous 

calendar month. The liquidity required to qualify 

for criteria (i) above shall be adjusted in the event 

that Total Consolidated Volume (‘‘TCV’’), defined 

as volume reported by all exchanges and trade 

reporting facilities to the consolidated transaction 

reporting plans for Tape A, B and C securities, falls 

below an average of 10,000,000,000 shares per day 

(‘‘Target TCV’’) in the relevant calendar month. In 

such circumstances, the adjusted amount of 

liquidity required to qualify under criteria (i) above 

shall be the percentage that actual reported TCV 

represents of Target TCV, multiplied by 

100,000,000. 

6See SR–ISE–2009–43. 

7 Id. 

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–NASDAQ–2009–51 and should be 

submitted on or before July 30, 2009. 

For the Commission, by the Division of 

Trading and Markets, pursuant to delegated 

authority.12

Elizabeth M. Murphy, 

Secretary. 

[FR Doc. E9–16179 Filed 7–8–09; 8:45 am] 

BILLING CODE 8010–01–P 

SECURITIES AND EXCHANGE 

COMMISSION 

[Release No. 34–60233; File No. SR–ISE– 

2009–44] 

Self-Regulatory Organizations; 

International Securities Exchange, 

LLC; Notice of Filing and Order 

Granting Accelerated Approval to a 

Proposed Rule Change Relating to the 

Amounts That Direct Edge ECN, in Its 

Capacity as an Introducing Broker for 

Non-ISE Members, Passes Through to 

Such Non-ISE Members 

July 2, 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 June 30, 

2009, the International Securities 

Exchange, LLC (the ‘‘Exchange’’ or 

‘‘ISE’’) filed with the Securities and 

Exchange Commission (‘‘Commission’’) 

a proposed rule change as described in 

Items I and II below, which Items have 

been prepared by ISE. The Commission 

is publishing this notice to solicit 

comments on the proposed rule change 

from interested persons, and is 

approving the proposal on an 

accelerated basis. 

I. Self-Regulatory Organization’s 

Statement of the Terms of Substance of 

the Proposed Rule Change 

The Exchange proposes to modify the 

amounts that Direct Edge ECN 

(‘‘DECN’’), in its capacity as an 

introducing broker for non-ISE 

Members, passes through to such nonISE Members. 

The text of the proposed rule change 

is available on the Exchange’s Internet 

Web site at http://www.ise.com 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 these statements may be examined at 

the places specified in Item III below. 

The self-regulatory organization 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 

DECN, a facility of ISE, operates two 

trading platforms, EDGX and EDGA. On 

June 30, 2009, the ISE filed for 

immediate effectiveness a proposed rule 

change to amend DECN’s fee schedule 

for ISE Members 3 to: (1) Reinstate the 

Super Tier Rebates that apply to ISE 

Members whose transactions meet 

certain volume thresholds; 4 (2) adopt 

new Ultra Tier Rebates that apply to ISE 

Members whose transactions meet 

certain other volume thresholds; 5 (3) 

adopt a new fee of $0.0015 per share for 

securities priced at or above $1.00 any 

time the ROUQ or ROUC routing 

strategy is used on either EDGX or 

EDGA and this routing strategy results 

in an execution by an Enhanced 

Liquidity Provider; 6 and (4) make 

certain other clean-up changes.7 The fee 

changes made pursuant to SR–ISE– 

2009–43 became operative on July 1, 

2009. 

In its capacity as a member of ISE, 

DECN currently serves as an introducing 

broker for the non-ISE Member 

subscribers of DECN to access EDGX 

and EDGA. DECN, as an ISE Member 

and introducing broker, receives rebates 

and is assessed charges from DECN for 

transactions it executes on EDGX or 

EDGA in its capacity as introducing 

broker for non-ISE Members. Since the 

amounts of such rebates and charges 

were changed pursuant to SR–ISE– 

2009–43, DECN wishes to make 

corresponding changes to the amounts it 

passes through to non-ISE Member 

subscribers of DECN for which it acts as 

introducing broker. As a result, the per 

share amounts that non-ISE Member 

subscribers receive and are charged will 

be the same as the amounts that ISE 

Members receive and are charged. 

ISE is seeking accelerated approval of 

this proposed rule change, as well as a 

retroactive effective date of July 1, 2009. 

ISE represents that this proposal will 

ensure that both ISE Members and nonISE Members (by virtue of the passthrough described above) will in effect 

receive and be charged equivalent 

amounts and that the imposition of such 


rmajette on DSK29S0YB1 with NOTICES
33004 Federal Register / Vol. 74, No. 130 / Thursday, July 9, 2009 / Notices 

8 15 U.S.C. 78f. 

9 15 U.S.C. 78f(b)(4). 

10 In approving this proposal, the Commission has 

considered its impact on efficiency, competition, 

and capital formation. 15 U.S.C 78c(f). 11 15 U.S.C. 78f(b)(4). 12See File No. SR–ISE–2009–43 (the ‘‘Member 

Fee Filing’’). 

13 Id. 

14 15 U.S.C. 78s(b)(2). 

15 17 CFR 200.30–3(a)(12). 

amounts will begin on the same July 1, 

2009 start date. 

2. Statutory Basis 

The Exchange believes that the 

proposed rule change is consistent with 

the objectives of Section 6 of the Act,8

in general, and furthers the objectives of 

Section 6(b)(4),9 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 

particular, this proposal will ensure that 

dues, fees and other charges imposed on 

ISE Members are equitably allocated to 

both ISE Members and non-ISE 

Members (by virtue of the pass-through 

described above). 

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 

The Exchange has not solicited, and 

does not intend to solicit, comments on 

this proposed rule change. The 

Exchange has not received any 

unsolicited written comments from 

members or other interested parties. 

III. 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 

No. SR–ISE–2009–44 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–ISE–2009–44. 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 ISE. 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–ISE–2009–44 and should be 

submitted on or before July 30, 2009. 

IV. Commission’s Findings and Order 

Granting Accelerated Approval of 

Proposed Rule Change 

The Commission finds that the 

proposed rule change is consistent with 

the requirements of the Act and the 

rules and regulations thereunder 

applicable to a national securities 

exchange.10 Specifically, the 

Commission finds that the proposed 

rule change is consistent with Section 

6(b)(4) 11 of the Act, which requires that 

the rules of a national securities 

exchange provide for the equitable 

allocation of reasonable dues, fees, and 

other charges among members and 

issuers and other persons using its 

facilities. 

As described more fully above, ISE 

recently amended DECN’s fee schedule 

for ISE Members to, among other things, 

reinstate volume thresholds applicable 

to the Super Tier Rebates, adopt a new 

Ultra Tier Rebate, and adopt a new fee 

in connection with the use of the ROUQ 

and ROUC routing strategies.12 The fee 

changes made pursuant to the Member 

Fee Filing became operative on July 1, 

2009. DECN receives rebates and is 

charged fees for transactions it executes 

on EGDX or EDGA in its capacity as an 

introducing broker for its non-ISE 

member subscribers. 

The current proposal, which will 

apply retroactively to July 1, 2009, will 

allow DECN to pass through the revised 

rebates and fees to the non-ISE member 

subscribers for which it acts an 

introducing broker. The Commission 

finds that the proposal is consistent 

with the Act because it will provide 

rebates and charge fees to non-ISE 

member subscribers that are equivalent 

to those established for ISE member 

subscribers in the Member Fee Filing.13

ISE has requested that the 

Commission find good cause for 

approving the proposed rule change 

prior to the thirtieth day after 

publication of notice of filing thereof in 

the Federal Register. As discussed 

above, the proposal will allow DECN to 

pass through to non-ISE member 

subscribers the revised rebate and fees 

established for ISE member subscribers 

in the Member Fee Filing, resulting in 

equivalent rebates and fees for ISE 

member and non-member subscribers. 

In addition, because the proposal will 

apply the revised rebates and fees 

retroactively to July 1, 2009, the revised 

rebates and fees will have the same 

effective date, thereby promoting 

consistency in the DECN’s fee schedule. 

Accordingly, the Commission finds 

good cause, pursuant to Section 19(b)(2) 

of the Act, for approving the proposed 

rule change prior to the thirtieth day 

after the date of publication of notice of 

filing thereof in the Federal Register. 

V. Conclusion 

It is therefore ordered, pursuant to 

Section 19(b)(2) of the Act,14 that the 

proposed rule change (SR–ISE–2009–44) 

be, and hereby is, approved on an 

accelerated basis. 

For the Commission, by the Division of 

Trading and Markets, pursuant to delegated 

authority.15

Elizabeth M. Murphy, 

Secretary. 

[FR Doc. E9–16189 Filed 7–8–09; 8:45 am] 

BILLING CODE 8010–01–P 


rmajette on DSK29S0YB1 with NOTICES