Document ID: SEC-2007-0909-0001
Agency: sec
Document Type: Notice
Title: Self-regulatory organizations; proposed rule changes: American Stock Exchange LLC
Posted Date: 2007-07-06T04:00Z

[Federal Register: July 6, 2007 (Volume 72, Number 129)]
[Notices]               
[Page 37061-37062]
From the Federal Register Online via GPO Access [wais.access.gpo.gov]
[DOCID:fr06jy07-113]                         

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SECURITIES AND EXCHANGE COMMISSION

[Release No. 34-55986; File No. SR-Amex-2007-69]

 
Self-Regulatory Organizations; American Stock Exchange LLC; 
Notice of Filing and Immediate Effectiveness of Proposed Rule Change To 
Modify the Fees Charged to Member Organizations for Transactions in 
Equity Securities

June 29, 2007.
    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 June 29, 2007, the American Stock Exchange LLC (``Exchange'' or 
``Amex'') filed with the Securities and Exchange Commission 
(``Commission'') the proposed rule change as described in Items I, II, 
and III below, which Items have been substantially prepared by the 
Exchange. 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 proposes to amend its Equity Fee Schedule to revise 
various transaction fees. The text of the proposed rule change is 
available on the Exchange's Web site (http://www.amex.com), at the 

Exchange's principal office, and at the Commission's Public Reference 
Room.

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 Exchange 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
    The Exchange proposes to revise certain fees it charges to members 
for transactions in customer accounts.\3\ Currently, Amex does not 
assess transaction charges for equities priced under $1.00. 
Additionally, for orders routed to another market center, Amex charges 
clearing fees and passes through to its customers the access charges it 
incurs for such orders. In order to provide members with consistent and 
transparent fees, the Exchange now proposes to: (1) Establish a flat 
rate of $0.0007 per share (or seven cents per 100 shares) for clearing 
charges for orders routed to and executed at another market center; (2) 
establish a flat rate of $0.0030 per share for orders routed to and 
executed at another market center; \4\ and (3) establish a fee of 0.3% 
of the total dollar value of the transaction for equities trading with 
a share price of less than $1. All other aspects of the existing fee 
schedule will remain unchanged, including fee caps and waivers for 
small transactions.
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    \3\ Customer accounts are defined for purposes of the fee 
schedule to include accounts for all market participants except 
specialists and registered traders. Therefore, customer accounts 
(and the fees charged to them) include members' off-floor 
proprietary accounts, competing market makers on another exchange, 
and other member and non-member broker-dealers.
    \4\ Orders routed to and executed on another exchange are 
charged this fee in lieu of the Amex transaction charge.
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    The revisions to the Equity Fee Schedule will be implemented 
beginning July 1, 2007.
2. Statutory Basis
    The Exchange believes that the proposed rule change is consistent 
with Section 6(b) of the Act \5\ in general, and furthers the 
objectives of Section 6(b)(4) of the Act \6\ in particular, in that it 
is designed to provide for the equitable allocation of reasonable dues, 
fees, and other charges among its members and other persons using its 
facilities. Specifically, the Exchange is proposing to establish and 
revise various fees for transactions in its equity securities in order 
to collect revenue for transactions in equities with a share price of 
less than $1.00 and to provide consistency and clarity in the fees 
charged for orders routed to and executed on another market center.
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    \5\ 15 U.S.C. 78f(b).
    \6\ 15 U.S.C. 78f(b)(4).
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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 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 foregoing proposed rule change has been designated by 
the Exchange as one that establishes or changes a due, fee, or other 
charge imposed by the Exchange, it has become effective upon filing 
pursuant to Section 19(b)(3)(A) of the Act \7\ and Rule 19b-4(f)(2) 
thereunder.\8\ 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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    \7\ 15 U.S.C. 78s(b)(3)(A).
    \8\ 17 CFR 19b-4(f)(2).
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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 proposed rule 
change is 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 No. SR-Amex-2007-69 on the subject line.

Paper Comments

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

All submissions should refer to File Number SR-Amex-2007-69. This file 
number should be included on the

[[Page 37062]]

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, 100 F Street, NE., Washington, DC 20549, on official 
business days between the hours of 10 a.m. and 3 p.m. Copies of such 
filing also will be available for inspection and copying at the 
principal office of the Amex. 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-Amex-2007-69 and should be submitted on or before July 
27, 2007.

    For the Commission, by the Division of Market Regulation, 
pursuant to delegated authority.\9\
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    \9\ 17 CFR 200.30-3(a)(12).
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Florence E. Harmon,
Deputy Secretary.
 [FR Doc. E7-13066 Filed 7-5-07; 8:45 am]

BILLING CODE 8010-01-P