Federal Register / Vol. 74, No. 17 / Wednesday, January 28, 2009 / Notices 5019 

79 15 U.S.C. 78f(b)(5). 

80See, e.g., Securities Exchange Act Release Nos. 

54170 (July 18, 2006), 71 FR 42149 (July 25, 2006) 

(SR–NASDAQ–2006–006) (order approving 

Nasdaq’s proposal to adopt Nasdaq Rule 2140, 

restricting affiliations between Nasdaq and its 

members); 53382 (February 27, 2006), 71 FR 11251 

(March 6, 2006) (SR–NYSE–2005–77) (order 

approving combination of NYSE and Archipelago 

Holdings, Inc.); and 58673 (September 29, 2008), 73 

FR 57707 (October 3, 2008) (SR–Amex–2008–62) 

(order approving acquisition of the American Stock 

Exchange by NYSE Euronext). 

81 15 U.S.C. 78s(b)(2). 

82 17 CFR 200.30–3(a)(12). 

particular, the Commission finds that 

the proposal is consistent with Section 

6(b)(5) of the Act,79 which requires, 

among other things, that the rules of an 

exchange be designed to prevent 

fraudulent and manipulative acts and 

practices; 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; and 

are not designed to permit unfair 

discrimination between customers, 

issuers, brokers, or dealers. 

In the past, the Commission has 

expressed concern that the affiliation of 

an exchange with one of its members 

raises potential conflicts of interest and 

the potential for unfair competitive 

advantage.80 NYSE Market’s ownership 

interest in BIDS and the joint ownership 

of the Company by NYSE and BIDS 

raise similar concerns. The Commission 

continues to be concerned about 

potential unfair competition and 

conflicts of interest between an 

exchange’s self-regulatory obligations 

and its commercial interest when the 

exchange holds an ownership interest in 

a member or is affiliated with one of its 

members. 

Nevertheless, in view of the 

conditions described above, the 

Commission believes that it is 

consistent with the Act to permit the 

proposed exceptions to NYSE Rule 2B. 

These conditions appear reasonably 

designed to mitigate concerns about 

potential conflicts of interest and unfair 

competitive advantage. FINRA will 

conduct member regulation of BIDS 

and—if trading volume from the facility 

grows sufficiently large and BIDS does 

not wish to reduce its ownership 

interest in the Company—might also be 

required to conduct market regulation of 

BIDS. Furthermore, NYSE’s CRO will be 

provided quarterly reports of any alerts 

or investigations relating to BIDS. These 

conditions appear reasonably designed 

to promote robust and independent 

regulation of BIDS. NYSE and BIDS also 

must establish and maintain procedures 

and internal controls that are reasonably 

designed to prevent BIDS and its 

affiliates from deriving any unfair 

informational advantage resulting from 

its affiliation with NYSE. Finally, NYSE 

has proposed that the exception from 

NYSE Rule 2B be on a pilot basis, which 

will provide NYSE and the Commission 

an opportunity to assess whether there 

might be any adverse consequences of 

the exception and whether a permanent 

exception is warranted. The 

Commission believes that, taken 

together, these conditions are 

reasonably designed to mitigate 

potential conflicts between the 

Exchange’s commercial interest in BIDS 

and its regulatory responsibilities with 

respect to BIDS. 

IV. Conclusion 

It is therefore ordered, pursuant to 

Section 19(b)(2) of the Act,81 that the 

proposed rule change (SR–NYSE–2008– 

120) be, and it hereby is, approved. 

For the Commission, by the Division of 

Trading and Markets, pursuant to delegated 

authority.82

Florence E. Harmon, 

Deputy Secretary. 

[FR Doc. E9–1806 Filed 1–27–09; 8:45 am] 

BILLING CODE 8011–01–P 

DEPARTMENT OF STATE 

[Public Notice 6495] 

Designation of Benefits Under the 

Foreign Missions Act; Diplomatic and 

Consular Exemption From Tobacco 

Excise Taxes 

After due consideration of the 

benefits, privileges and immunities 

provided to missions of the United 

States under the Vienna Diplomatic and 

Consular Conventions and other 

governing treaties, and in order to 

facilitate relations between the United 

States and foreign governments, to 

improve or maintain the availability of 

tax exemption privileges for the United 

States, and by virtue of the authority 

vested in me under the Foreign 

Missions Act, 22 U.S.C. 4301 et seq., 

and Delegation of Authority No. 214, 

§ 14, dated September 20, 1994, I hereby 

designate as a benefit under the Act, to 

be granted to foreign diplomatic and 

consular missions and personnel in the 

United States on the basis of reciprocity 

and as otherwise determined by the 

Department, to include personnel of 

international organizations and 

missions to such organizations who are 

otherwise entitled to exemption from 

direct taxes, exemption from Federal 

and State or local excise taxes imposed 

with respect to tobacco products (as 

defined in 26 U.S.C. 5702) 

manufactured, packaged or sold in the 

United States. Procedures governing 

implementation of this benefit will be 

established by the Department of the 

Treasury. 

DATES: Effective Date: January 28, 2009. 

FOR FURTHER INFORMATION CONTACT: 

Technical Information: Cliff Seagroves, 

202–647–1395, seagrovescc@state.gov. 

Legal Information: Susan Benda, 202– 

647–0308, bendas@state.gov. 

Dated: January 14, 2009. 

Eric J. Boswell, 

Ambassador, Director of the Office of Foreign 

Missions and Assistant Secretary for 

Diplomatic Security, Department of State. 

[FR Doc. E9–1723 Filed 1–27–09; 8:45 am] 

BILLING CODE 4710–43–P 

DEPARTMENT OF STATE 

[Public Notice 6496] 

Notice of Intent to Prepare an 

Environmental Impact Statement and 

to Conduct Scoping Meetings and 

Notice of Floodplain and Wetland 

Involvement and to Initiate 

Consultation under Section 106 of the 

National Historic Preservation Act for 

the Proposed Transcanada Keystone 

Xl Pipeline 

Public Notice 

AGENCY: Department of State. 

ACTION: Notice. 

SUMMARY: TransCanada Keystone 

Pipeline, L.P. (Keystone) has applied to 

the United States Department of State 

for a Presidential Permit authorizing the 

construction, operation, and 

maintenance of facilities at the border of 

the United States for the importation of 

petroleum from a foreign country. 

Authorization is being requested in 

connection with Keystone’s proposed 

international pipeline project (the 

Keystone XL Project), which is designed 

to transport crude oil production from 

the Western Canadian Sedimentary 

Basin to existing markets in the Texas 

Gulf Coast area. The Department of State 

receives and considers applications for 

Presidential Permits for such energyrelated pipelines pursuant to authority 

delegated to it by the President under 

Executive Order 13337 of April 30, 2004 

(69 FR 25299), as amended. To issue a 

Permit, the Department of State must 


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