Federal Register / Vol. 74, No. 135 / Thursday, July 16, 2009 / Notices 34603 

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

2 17 CFR 240.19b–4. 

3The Commission notes that the suspension 

period under this filing commenced at the time that 

the proposed rule change was filed on July 2, 2009 

and will continue through July 31, 2009. 

4See Securities Exchange Act Release No. 59854 

(May 1, 2009), 74 FR 21730 (May 8, 2009) 

(NYSEArca–2009–29). 

5See, e.g., Securities Exchange Act Release No. 

58588 (September 18, 2008), 73 FR 55174 

(September 24, 2008) (‘‘The Commission is aware 

of the continued potential of sudden and excessive 

fluctuations of securities prices and disruption in 

the functioning of the securities markets that could 

threaten fair and orderly markets. Given the 

importance of confidence in our financial markets 

as a whole, we have also become concerned about 

sudden and unexplained declines in the prices of 

securities. Such price declines can give rise to 

questions about the underlying financial condition 

of an issuer, which in turn can create a crisis of 

confidence without a fundamental underlying basis. 

This crisis of confidence can impair the liquidity 

and ultimate viability of an issuer, with potentially 

broad market consequences.’’). 

6The NYSE has filed an immediately effective 

rule filing extending its suspension of its dollar 

stock price continued listing standard through July 

31, 2009 (the ‘‘NYSE Amendment’’). See SR–NYSE– 

2009–64 (filed July 2, 2009). 

7One NYSE Arca listed company was below 

compliance with the dollar stock price continued 

listing standard at the time of commencement of the 

suspension. This company has since regained 

compliance. 

8A company would continue to be subject to 

delisting for failure to comply with other listing 

requirements. 

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

10 15 U.S.C. 78f(b)(5). 

Dated: July 13, 2009. 

Elizabeth M. Murphy, 

Secretary. 

[FR Doc. E9–17000 Filed 7–15–09; 8:45 am] 

BILLING CODE 8010–01–P 

SECURITIES AND EXCHANGE 

COMMISSION 

[Release No. 34–60272; File No. SR– 

NYSEArca–2009–64] 

Self-Regulatory Organizations; Notice 

of Filing and Immediate Effectiveness 

of Proposed Rule Change by NYSE 

Arca, Inc. That Extends the 

Suspension of NYSE Arca’s Stock 

Price Continued Listing Standard to 

July 31, 2009 

July 9, 2009. 

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

Securities Exchange Act of 1934 

(‘‘Exchange Act’’),1 and Rule 19b–4 

thereunder,2 notice is hereby given that 

on July 2, 2009, NYSE Arca, Inc. 

(‘‘NYSE Arca’’ 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 

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, through Its wholly 

owned subsidiary NYSE Arca Equities, 

Inc. (‘‘NYSE Arca Equities’’), proposes 

to amend its rules governing NYSE 

Arca, LLC (also referred to as the ‘‘NYSE 

Arca Marketplace’’) by extending 

through July 31, 2009, the suspension of 

the application of its price criteria for 

capital and common stock set forth in 

NYSE Arca Equities Rule 5.5(b)(2).3 The 

text of the proposed rule change is 

available at the Exchange, the 

Commission’s Public Reference Room, 

and http://www.nyse.com. 

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 IV below. 

The Exchange 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 

From mid-2008 through the first 

quarter of 2009, the U.S. and global 

equities markets experienced extreme 

volatility and a precipitous decline in 

trading prices of many securities. In 

response to these conditions, the 

Exchange suspended through June 30, 

2009, application of the $1.00 price 

requirement for capital and common 

stock set forth in NYSE Arca Equities 

Rule 5.5(b)(2).4 A listed company falls 

below compliance with NYSE Arca 

Equities Rule 5.5(b)(2) if the average 

closing price of its stock falls below 

$1.00 over a consecutive 30 trading-day 

period (the Exchange’s ‘‘dollar price 

continued listing standard’’). This 

suspension provided temporary relief to 

companies in response to the extreme 

volatility and a precipitous decline in 

trading prices of many securities 

experienced in the U.S. and global 

equities markets, which the Commission 

had acknowledged constituted a threat 

to the fair and orderly functioning of the 

securities markets and could lead to a 

crisis of confidence among investors 

regarding the viability of companies 

whose stock prices have declined 

significantly.5 The Exchange now 

proposes to extend its suspension of the 

dollar stock price continued listing 

standard through July 31, 2009.6

Under the proposed extended 

suspension of the Exchange’s dollar 

stock price continued listing standard, 

companies will not be notified of new 

events of noncompliance with that 

standard during the suspension period.7

Following the temporary rule 

suspension, any new events of 

noncompliance with the Exchange’s 

dollar price continued listing standard 

will be determined based on a 

consecutive 30 trading-day period 

commencing on August 1, 2009. 

The proposed extended suspension of 

the Exchange’s dollar price continued 

listing standard will enable companies 

to remain listed in the current difficult 

market conditions with the prospect of 

a future recovery in their stock prices, 

potentially enabling them to comply 

with the applicable listing requirements 

upon the standard’s reinstatement.8

During the period between now and July 

31, 2009, the Exchange will consider 

whether it is appropriate to propose 

further revisions to these requirements. 

2. Statutory Basis 

The Exchange believes that the 

proposed rule change is consistent with 

Section 6(b) 9 of the Act, in general, and 

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

of the Act 10 in particular in that it is 

designed to promote just and equitable 

principles of trade, to foster cooperation 

and coordination with persons engaged 

in regulating, clearing, settling, 

processing information with respect to, 

and facilitating transactions in 

securities, to remove impediments to 

and perfect the mechanism of a free and 

open market and a national market 

system, and, in general, to protect 

investors and the public interest. The 

proposed rule change is designed to 

remove uncertainty regarding the ability 

of certain companies to remain listed on 

NYSE Arca during the current highly 

unusual market conditions, thereby 

protecting investors, facilitating 

transactions in securities, and removing 

an impediment to a free and open 

market. 

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 


erowe on DSK5CLS3C1PROD with NOTICES
34604 Federal Register / Vol. 74, No. 135 / Thursday, July 16, 2009 / Notices 

11 15 U.S.C. 78s(b)(3)(A). 

12 17 CFR 240.19b–4(f)(6). Pursuant to Rule 19b– 

4(f)(6)(iii) under the Act, the Exchange is required 

to give the Commission written notice of its intent 

to file the proposed rule change, along with a brief 

description and text of 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 this requirement. 

13 17 CFR 240.19b–4(f)(6). 

14 17 CFR 240.19b–4(f)(6)(iii). 

15For purposes only of waiving the 30-day 

operative delay, the Commission has considered the 

proposed rule’s impact on efficiency, competition, 

and capital formation. 15 U.S.C. 78c(f). 

16 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). 

4 17 CFR 240.19b–4(f)(6)(iii). 

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 

Because the proposed rule change: (i) 

Does not significantly affect the 

protection of investors or the public 

interest; (ii) does not impose any 

significant burden on competition; and 

(iii) does not become operative for 30 

days after the date of the filing, or such 

shorter time as the Commission may 

designate if consistent with the 

protection of investors and the public 

interest, the proposed rule change has 

become effective pursuant to Section 

19(b)(3)(A) of the Act 11 and Rule 19b– 

4(f)(6) thereunder.12

A proposed rule change filed 

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

Act 13 normally does not become 

operative for 30 days after the date of its 

filing. However, Rule 19b–4(f)(6)(iii) 14

permits the Commission to designate a 

shorter time if such action is consistent 

with the protection of investors and the 

public interest. The Exchange has 

requested that the Commission waive 

the 30-day operative delay. 

The Commission believes that 

waiving the 30-day operative delay is 

consistent with the protection of 

investors and the public interest 

because it will allow the Exchange to 

extend, through July 31, 2009, the 

temporary suspension of its $1.00 price 

continued listing requirement for capital 

and common stock. The Commission 

notes that the extension of the 

temporary suspension will continue to 

provide certain companies with 

temporary relief from receiving a noncompliance or delisting notification, or 

from being delisted, and will provide 

some additional time to allow 

companies to regain compliance after 

the market volatility and conditions 

experienced earlier this year and last 

fall. The Commission notes that this 

action is temporary in nature. Further, 

companies will continue to be subject to 

delisting for failure to comply with 

other listing requirements during the 

suspension period. For these reasons, 

the Commission designates that the 

proposed rule change become operative 

immediately upon filing.15

At any time within 60 days of the 

filing of the proposed rule change, the 

Commission may summarily abrogate 

the 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 Exchange 

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–NYSEArca–2009–64 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–NYSEArca–2009–64. 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– 

NYSEArca–2009–64 and should be 

submitted on or before August 6, 2009. 

For the Commission, by the Division of 

Trading and Markets, pursuant to delegated 

authority.16

Elizabeth M. Murphy, 

Secretary. 

[FR Doc. E9–16808 Filed 7–15–09; 8:45 am] 

BILLING CODE 8010–01–P 

SECURITIES AND EXCHANGE 

COMMISSION 

[Release No. 34–60268; File No. SR–CHX– 

2009–06] 

Self-Regulatory Organizations; 

Chicago Stock Exchange, Inc.; Notice 

of Filing and Immediate Effectiveness 

of Proposed Rule Change Adding the 

Voluntary De-Registration Rule 

July 9, 2009. 

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

Securities Exchange Act of 1934 

(‘‘Act’’), 1 and Rule 19b–4 2 thereunder, 

notice is hereby given that on July 7, 

2009, the Chicago Stock Exchange, Inc. 

(‘‘CHX’’ 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 CHX. CHX has 

filed this proposal pursuant to Exchange 

Act Rule 19b–4(f)(6) 3 and requests that 

the Commission waive the 30-day preoperative waiting period contained in 

Exchange Act Rule 19b–4(f)(6)(iii).4 If 

such waiver is granted by the 

Commission, this rule proposal, which 

is effective upon filing with the 

Commission, shall become immediately 

operative. 


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