[Federal Register Volume 66, Number 29 (Monday, February 12, 2001)]
[Notices]
[Pages 9887-9888]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 01-3492]


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SECURITIES AND EXCHANGE COMMISSION

[Release No. 34-43925; File No. SR-PCX-01-06]


Self-Regulatory Organizations; Notice of Filing and Immediate 
Effectiveness of Proposed Rule Change by the Pacific Exchange, Inc. 
Regarding the Dissemination of Options Quote Size

February 5, 2001.
    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 January 22, 2001, the Pacific Exchange, Inc. (``PCX'' or 
``Exchange'') filed with the Securities and Exchange Commission 
(``SEC'' or ``Commission'') the proposed rule change as described in 
Items I, II, and III below, which Items have been prepared by the PCX. 
The Commission is publishing this notice to solicit comments on the 
proposed rule change from interested persons.
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    \1\ 15 U.S.C. 78s(b)(1).
    \2\ 17 CFR 240.19b-4.
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I. Self-Regulatory Organization's Statement of the Terms of 
Substance of the Proposed Rule Change

    The Exchange is proposing to effect a systems change to disseminate 
via the Options Price Reporting Authority (``OPRA'') the size of 
options markets in issues quoted and traded in decimals.

[[Page 9888]]

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 PCX 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 PCX 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
    The Exchange is modifying its systems to permit options market 
sizes to be disseminated via OPRA. Pursuant to this systems change, the 
Exchange will disseminate the size that the PCX guarantees in a 
particular issue for automatic execution on the Exchange's Automatic 
Execution System (``Auto-Ex'') pursuant to PCX Rule 6.87(b) and for 
manual execution pursuant to PCX Rule 6.86(a).\3\ At this time, the 
Exchange intends to disseminate the size of markets in only those 
issues that are quoted and traded in decimals.
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    \3\ These guaranteed market sizes range from between twenty 
contracts and one hundred contracts. See PCX Rule 6.87(b) and PCX 
Rule 6.86(a) and (g). The Exchange notes that the guaranteed Auto-Ex 
size in an issue must be the same as the guaranteed size for manual 
execution in that issue, pursuant to PCX Rule 6.86(g).
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2. Statutory Basis
    The Exchange believes that the proposal is consistent with section 
6(b) of the Act,\4\ in general, and section 6(b)(5),\5\ in particular, 
in that they are designed to facilitate transactions in securities and 
promote just and equitable principles of trade.
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    \4\ 15 U.S.C. 78f(b).
    \5\ 15 U.S.C. 78f(b)(5).
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B. Self-Regulatory Organization's Statement on Burden on Competition

    The PCX does not believe that the proposed rule change will impose 
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 with respect to the 
proposed rule change.

III. Date of Effectiveness of the Proposed Rule Change and Timing 
for Commission Action

    Because the foregoing proposed rule changes an existing trading 
system of the Exchange and does not (1) affect the protection of 
investors or the public interest; (2) impose any significant burden on 
competition; or (3) have the effect of limiting the access to or 
availability of the system, the proposed rule filing has become 
effective pursuant to section 19(b)(3)(A) of the Act \6\ and 
subparagraph (f)(5) of Rule 19b-4 thereunder.\7\ 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.
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    \6\ 15 U.S.C. 78s(b)(3)(A).
    \7\ 17 CFR 240.19b-4(f)(5)
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IV. Solicitation of Comments

    Interested persons are invited to submit written data, views, and 
arguments concerning the foregoing, including whether the propsoed rule 
change is consistent with the Act. Persons making written submissions 
should file six copies thereof with the Secretary, Securities and 
Exchange Commission, 450 Fifth Street, NW., Washington, DC 20549-0609. 
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. Copies of such filing also will be 
available for inspection and copying at the principal office of the 
PCX. All submissions should refer to File No. SR-PCX-01-06 and should 
be submitted by March 5, 2001.

    For the Commission, by the Division of Market Regulation, 
pursuant to delegated authority.\8\
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    \8\ 17 CFR 200.30-3(a)(12).
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Margaret H. McFarland,
Deputy Secretary.
[FR Doc. 01-3492 Filed 2-9-01; 8:45 am]
BILLING CODE 8010-01-M