Document ID: SEC-2008-0061-0001
Agency: sec
Document Type: Notice
Title: Consolidated Tape Association: Immediate Effectiveness of the Tenth Charges Amendment to the Second Restatement of the Consolidated Tape Association Plan, etc.
Posted Date: 2008-01-14T05:00Z

[Federal Register: January 14, 2008 (Volume 73, Number 9)]
[Notices]               
[Page 2289-2291]
From the Federal Register Online via GPO Access [wais.access.gpo.gov]
[DOCID:fr14ja08-108]                         

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

SECURITIES AND EXCHANGE COMMISSION

[Release No. 34-57107; File No. SR-CTA/CQ-2007-03]

 
Consolidated Tape Association; Notice of Filing and Immediate 
Effectiveness of the Tenth Charges Amendment to the Second Restatement 
of the Consolidated Tape Association Plan and the Sixth Charges 
Amendment to the Restated Consolidated Quotation Plan

January 7, 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 December 19, 2007,\3\ the Consolidated Tape Association (``CTA'') 
Plan and Consolidated Quotation (``CQ'') Plan participants 
(``Participants'') \4\ submitted to the Securities and Exchange 
Commission (``Commission'') proposals to amend the CTA and CQ Plans 
(collectively, the ``Plans'').\5\ The proposals represent the tenth 
charges amendment to the Second Restatement of the CTA Plan (``Tenth 
Amendment to the CTA Plan'') and the sixth charges amendment to the 
Restated CQ Plan (``Sixth Amendment to the CQ Plan''), and reflect 
changes unanimously adopted by the participants. The Tenth Amendment to 
the CTA Plan and the Sixth Amendment to the CQ Plan (collectively, the 
``Amendments'') seek to permanently extend per query pricing for 
Network B data to professional subscribers, following a pilot program

[[Page 2290]]

that began on June 1, 2006. The pilot program was originally scheduled 
to terminate on May 31, 2007 but was extended at the May 9, 2007 CTA 
and CQ Operating Committee meeting until such time as the related per 
query pricing fee schedule for professional subscribers was made 
permanent by amendment to the CTA Plan and the CQ Plan.
---------------------------------------------------------------------------

    \1\ 15 U.S.C. 78k-1.
    \2\ 17 CFR 242.608.
    \3\ The proposal was originally filed on November 27, 2007. 
However, it was refiled on December 7, 2007, and December 19, 2007 
to reflect technical revisions made in response to the Commission's 
staff comments.
    \4\ Each Participant executed the proposed amendments. The 
current Participants are the American Stock Exchange LLC; Boston 
Stock Exchange, Inc.; Chicago Board Options Exchange, Incorporated; 
Chicago Stock Exchange, Inc.; National Association of Securities 
Dealers, Inc. (n/k/a the Financial Industry Regulatory Authority); 
National Stock Exchange; New York Stock Exchange LLC; NYSE Arca, 
Inc.; and Philadelphia Stock Exchange, Inc.
    \5\ 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 CTA Plan, pursuant to which markets collect 
and disseminate last sale price information for 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.
---------------------------------------------------------------------------

    Pursuant to Rule 608(b)(3)(i) under the Act,\6\ the Participants 
designated the Amendments as establishing or changing a fee or other 
charge collected on behalf of all of the sponsors and/or participants 
in connection with access to, or use of, any facility contemplated by 
the plan or amendment. As a result, the Amendments have become 
effective upon filing with the Commission. At any time within 60 days 
of the filing of the Amendments, the Commission may summarily abrogate 
the Amendments and require that the Amendments be refiled in accordance 
with paragraph (a)(1) of Rule 608 and reviewed in accordance with 
paragraph (b)(2) of Rule 608, if it appears to the Commission that such 
action is necessary or appropriate in the public interest, for the 
protection of investors, or the maintenance of fair and orderly 
markets, to remove impediments to, and perfect the mechanisms of, a 
national market system or otherwise in furtherance of the purposes of 
the Act. The Commission is publishing this notice to solicit comments 
from interested persons.
---------------------------------------------------------------------------

    \6\ 17 CFR 242.608(b)(3)(i).
---------------------------------------------------------------------------

I. Rule 608(a)

A. Description and Purpose of the Amendments

    The CTA Plan and the CQ Plan both currently provide, in attached 
Schedules A-3, for a usage-based, per quote fee for non-professional 
Network B subscribers. The fee is based on the number of quotes 
disseminated during a month, and is $.0075 per quote for the first 20 
million quotes, $.0050 per quote for the next 20 million quotes, and 
$.0025 for each additional quote thereafter. This pricing schedule is 
an alternative to monthly display charges. Vendors may cap at $1.00 the 
per-quote-packet charges payable for any month in respect of any 
customer that qualifies as a non-professional subscriber, regardless of 
how many quote-packets the customer may receive during the month.
    Following a pilot program that began on June 1, 2006, the 
Amendments propose to permanently extend the usage-based, per query 
pricing schedule to professional Network B subscribers as well. 
However, the $1.00 monthly cap described in the preceding paragraph 
will not apply to such professional subscribers. 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 Amendments
    The proposed pricing schedule for professional Network B 
subscribers has previously been implemented under the pilot program 
that began on June 1, 2006. The Amendments will make this per query 
pricing permanent for professional subscribers and have become 
effective upon filing.\7\
---------------------------------------------------------------------------

    \7\ See id.
---------------------------------------------------------------------------

3. Development and Implementation Phases
    See Item 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 CTA Plan or the CQ Plan as a result 
of the Amendments.
6. Approval by Sponsors in Accordance With Plan
    Under Section XII(b) of the CTA Plan, each Plan Participant must 
execute a written amendment to the CTA Plan before the amendment can 
become effective. Under Section IX(b) of the CQ Plan, each CQ Plan 
Participant must execute a written amendment to the CQ Plan before the 
amendment can become effective. Both 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

    The Network B Participants and the vendors that the proposed 
Amendments would affect have already entered into the Network B 
Participants' standard form of agreement. No new terms of access will 
apply.

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 
Amendments 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-2007-03 on the subject line.

Paper Comments

     Send paper comments in triplicate to Nancy M. Morris, 
Secretary, Securities and Exchange Commission,

[[Page 2291]]

100 F Street, NE., Washington, DC 20549-1090.

All submissions should refer to File Number SR-CTA/CQ-2007-03. 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 Amendments that are 
filed with the Commission, and all written communications relating to 
the Plan amendments 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 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-2007-03 and should be submitted on or before February 4, 2008.

    For the Commission, by the Division of Trading and Markets, 
pursuant to delegated authority.\8\
---------------------------------------------------------------------------

    \8\ 17 CFR 200.30-3(a)(27).
---------------------------------------------------------------------------

Florence E. Harmon,
Deputy Secretary.
 [FR Doc. E8-348 Filed 1-11-08; 8:45 am]

BILLING CODE 8011-01-P