Document ID: SEC-2008-1159-0001
Agency: sec
Document Type: Notice
Title: Filings: Consolidated Tape Association and Consolidated Quotation Plans
Posted Date: 2008-08-20T04:00Z

[Federal Register: August 20, 2008 (Volume 73, Number 162)]
[Notices]               
[Page 49225-49227]
From the Federal Register Online via GPO Access [wais.access.gpo.gov]
[DOCID:fr20au08-93]                         

-----------------------------------------------------------------------

SECURITIES AND EXCHANGE COMMISSION

[Release No. 34-58358; File No. SR-CTA/CQ-2008-02]

 
Consolidated Tape Association; Notice of Filing of the Twelfth 
Substantive Amendment to the Second Restatement of the Consolidated 
Tape Association Plan and Eighth Substantive Amendment to the 
Consolidated Quotation Plan

August 13, 2008.
    Pursuant to Section 11A of the Securities Exchange Act of 1934 
(``Act''),\1\ and Rule 608 thereunder,\2\ notice is hereby given that 
on June 19, 2008, the Consolidated Tape Association (``CTA'') Plan and 
Consolidated Quotation (``CQ'') Plan participants (``Participants'') 
\3\ filed with the Securities and Exchange Commission (``Commission'') 
a proposal to amend the CTA and CQ Plans (collectively, the 
``Plans'').\4\ The proposals represent the twelfth substantive 
amendment made to the Second Restatement of the CTA Plan (``Twelfth 
Amendment to the CTA Plan'') and the eighth substantive amendment to 
the Restated CQ Plan (``Eighth Amendment to the CQ Plan''), and reflect 
changes unanimously adopted by the participants. The Twelfth Amendment 
to the CTA Plan and the Eighth Amendment to the CQ Plan 
(``Amendments'') would amend the Plans to: (1) Permit ministerial 
amendments to the Plans to be submitted to the Commission under the 
signature of the Chairman of CTA and the CQ Plan Operating Committee, 
rather than by means of each Participant's execution of a Plan 
amendment, as Section IV(b) of the CTA Plan and IV(c) of the CQ Plan 
currently require for most amendments to the Plans; (2) to accommodate 
recent changes to the names and addresses of certain Participants; and 
(3) to change the Plans' references to Commission rules to reflect the 
re-designation of rules by Regulation NMS.\5\ The Commission is 
publishing this notice to solicit comments from interested persons on 
the proposed Amendments.
---------------------------------------------------------------------------

    \1\ 15 U.S.C. 78k-1.
    \2\ 17 CFR 242.608.
    \3\ Each Participant executed the proposed amendment. The 
Participants are the American Stock Exchange LLC; Boston Stock 
Exchange, Inc.; Chicago Board Options Exchange, Incorporated; 
Chicago Stock Exchange, Inc.; Financial Industry Regulatory 
Authority, Inc., International Securities Exchange, LLC; The NASDAQ 
Stock Market LLC (``NASDAQ''); National Stock Exchange, Inc.; New 
York Stock Exchange LLC; NYSE Arca, Inc.; and Philadelphia Stock 
Exchange, Inc.
    \4\ See Securities Exchange Act Release Nos. 10787 (May 10, 
1974), 39 FR 17799 (order approving CTA Plan); 15009 (July 28, 
1978), 43 FR 34851 (August 7, 1978) (order temporarily approving CQ 
Plan); and 16518 (January 22, 1980), 45 FR 6521 (order permanently 
approving CQ Plan). The most recent restatement of both Plans was in 
1995. The CTA Plan, pursuant to which markets collect and 
disseminate last sale price information for non-NASDAQ listed 
securities, is a ``transaction reporting plan'' under Rule 601 under 
the Act, 17 CFR 242.601, and a ``national market system plan'' under 
Rule 608 under the Act, 17 CFR 242.608. The CQ Plan, pursuant to 
which markets collect and disseminate bid/ask quotation information 
for listed securities, is also a ``national market system plan'' 
under Rule 608 under the Act, 17 CFR 242.608.
    \5\ See Securities Exchange Act Release No. 51808 (June 9, 
2005), 70 FR 37496 (June 29, 2005).
---------------------------------------------------------------------------

I. Rule 608(a)

A. Description and Purpose of the Amendment

    Currently, both Plans require each Participant to execute most 
amendments to the Plans before the amendments can be filed with the 
Commission. The Participants believe that this can result in delays and 
unwarranted administrative functioning in the context of certain 
amendments that are of a purely ministerial nature. For that reason, 
the Participants propose to amend the Plans to permit the submission of 
Plan amendments to the Commission under the signature of the Chairman 
of CTA and the CQ Plan Operating Committee, in lieu of requiring each 
Participants' signature indicating that it has executed the Amendment 
as required by Section IV(b) of the CTA Plan and Section IV(c) of CQ 
Plan.
    The categories of ministerial Plan amendments that the Participants 
may submit under the signature of the Chairman include amendments to 
the

[[Page 49226]]

Plans that pertain solely to any one or more of the following:
    (1) Admitting a new Participant into these Plans;
    (2) Changing the name or address of a Participant;
    (3) Incorporating a change that the Commission has implemented by 
rule and that requires no conforming language to the text of the Plans 
(e.g., the Commission rule establishing the Advisory Committee);
    (4) Incorporating a change (i) that the Commission has implemented 
by rule, (ii) that requires conforming language to the text of the 
Plans (e.g., the Commission rule amending the revenue allocation 
formula), and (iii) that a majority of all Participants has voted to 
approve; \6\
---------------------------------------------------------------------------

    \6\ The Commission notes that the vote of the Participants woudl 
concern the exact wording of conforming language, but not the change 
implemented by the Commission.
---------------------------------------------------------------------------

    (5) Incorporating a purely technical change, such as correcting an 
error or an inaccurate reference to a statutory provision, or removing 
language that has become obsolete (e.g., language regarding the 
Intermarket Trading System Plan).
    The Participants believe that submission of these categories of 
ministerial amendments will improve the efficiency of the 
administration of the Plans and that the signature of each Participant 
provides no safeguards that are necessary or appropriate in the context 
of these categories of ministerial amendments.
    In addition, the Participants propose to amend the Plans to reflect 
changes in the corporate names of the Chicago Board Options Exchange, 
Incorporated (formerly, Chicago Board Options Exchange, Inc.; 
``CBOE''), the Financial Industry Regulatory Authority, Inc. (formerly, 
the National Association of Securities Dealers, Inc.) and National 
Securities Exchange, Inc. (formerly, National Securities Exchange) and 
changes in the street address of CBOE.
    The Participants propose to change references in the Plans to rules 
of the Commission to reflect the re-designation of certain Commission 
rules as a result of Regulation NMS. The proposed amendments to the 
names and addresses of Participants and to the references to the 
Commission rules serve as examples of ministerial amendments that the 
Participants could submit to the Commission under the signature of the 
Chairman if these Amendments are approved.
    The text of the proposed Amendments is available on the CTA's Web 
site (http://www.nysedata.com/cta), at the principal office of the CTA, 
and at the Commission's Public Reference Room.

B. Additional Information Required by Rule 608(a)

1. Governing or Constituent Documents
    Not applicable.
2. Implementation of the Amendment
    The Participants propose to implement the change upon Commission 
approval of the Amendments.
3. Development and Implementation Phases
    See Item I(B)(2) above.
4. Analysis of Impact on Competition
    The Amendments will impose no burden on competition.
5. Written Understanding or Agreements Relating to Interpretation of, 
or Participation in, Plan
    The Participants have no written understandings or agreements 
relating to interpretation of the Plans as a result of the Amendments.
6. Approval by Sponsors in Accordance With Plan
    Under Section IV(b) of the CTA Plan and Section IV(c) of the CQ 
Plan, each Plan Participant must execute a written amendment to the CTA 
Plan before the amendment can become effective. The Amendments are so 
executed.
7. Description of Operation of Facility Contemplated by the Proposed 
Amendment
a. Terms and Conditions of Access
    Not applicable.
b. Method of Determination and Imposition, and Amount of, Fees and 
Charges
    Not applicable.
c. Method of Frequency of Processor Evaluation
    Not applicable.
d. Dispute Resolution
    Not applicable.

II. Rule 601(a)

A. Equity Securities for Which Transaction Reports Shall be Required by 
the Plan.

    Not applicable.

B. Reporting Requirements

    Not applicable.

C. Manner of Collecting, Processing, Sequencing, Making Available and 
Disseminating Last Sale Information

    Not applicable.

D. Manner of Consolidation

    Not applicable.

E. Standards and Methods Ensuring Promptness, Accuracy and Completeness 
of Transaction Reports

    Not applicable.

F. Rules and Procedures Addressed to Fraudulent or Manipulative 
Dissemination

    Not applicable.

G. Terms of Access to Transaction Reports

    Not applicable.

H. Identification of Marketplace Execution

    Not applicable.

III. Solicitation of Comments

    Interested persons are invited to submit written data, views, and 
arguments concerning the foregoing, including whether the proposed 
Twelfth Substantive Amendment to the CTA Plan and the Eighth Amendment 
to the CQ Plan are 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 rule-comments@sec.gov. Please include 
File Number SR-CTA/CQ-2008-02 on the subject line.

Paper Comments

     Send paper comments in triplicate to Secretary, Securities 
and Exchange Commission, 100 F Street, NE., Washington, DC 20549-1090.

All submissions should refer to File Number SR-CTA/CQ-2008-02. 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 Plan amendment that are 
filed with the Commission, and all written communications relating to 
the Plan amendment change between the Commission and any person, other 
than those that may be withheld from the

[[Page 49227]]

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 Amendments also will be available for 
inspection and copying at the principal office of the CTA. 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-CTA/CQ-2008-02 and should be 
submitted on or before September 10, 2008.

    For the Commission, by the Division of Trading and Markets, 
pursuant to delegated authority.\7\
Florence E. Harmon,
Acting Secretary.
---------------------------------------------------------------------------

    \7\ 17 CFR 200.30-3(a)(27).
---------------------------------------------------------------------------

[FR Doc. E8-19229 Filed 8-19-08; 8:45 am]

BILLING CODE 8010-01-P