Document ID: SEC-2010-1210-0001
Agency: sec
Document Type: Notice
Title: Self-Regulatory Organizations; Proposed Rule Changes: NYSE Arca, Inc.
Posted Date: 2010-08-10T04:00Z

[Federal Register: August 10, 2010 (Volume 75, Number 153)]
[Notices]               
[Page 48385-48387]
From the Federal Register Online via GPO Access [wais.access.gpo.gov]
[DOCID:fr10au10-84]                         

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SECURITIES AND EXCHANGE COMMISSION

[Release No. 34-62625; File No. SR-NYSEArca-2010-70]

 
Self-Regulatory Organizations; NYSE Arca, Inc.; Notice of Filing 
and Immediate Effectiveness of Proposed Rule Change Adding 75 Options 
Classes to the Penny Pilot Program

August 2, 2010.
    Pursuant to Section 19(b)(1) of the Securities Exchange Act of 1934 
(the ``Act''),\1\, and Rule 19b-4 thereunder,\2\ notice is hereby given 
that on July 20, 2010, NYSE Arca, Inc. (``NYSE Arca'' or the 
``Exchange'') filed with the Securities and Exchange Commission (the 
``Commission'') the proposed rule change as described in Items I, II, 
and III below, which Items have been prepared by the self-regulatory 
organization. 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 designate 75 options classes to be added 
to the Penny Pilot Program for Options (``Penny Pilot'' or ``Pilot'') 
on August 2, 2010. The text of the proposed rule change is attached as 
Exhibit 5 to the 19b-4 form.\3\ A copy of this filing is available on 
the Exchange's Web site at http://www.nyse.com, at the Exchange's 
principal office, and at the Commission's Public Reference Room.
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    \3\ The Commission notes that there are no changes to the rule 
text and no exhibit 5 was attached to the form 19b-4.
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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 self-regulatory organization 
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 those 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 parts of such statements.

A. Self-Regulatory Organization's Statement of the Purpose of, and the 
Statutory Basis for, the Proposed Rule Change

1. Purpose
    NYSE Arca proposes to identify the next 75 options classes to be 
added to the Penny Pilot effective August 2, 2010. The Exchange 
recently received approval to extend and expand the Pilot through 
December 31, 2010.\4\ In that filing, the Exchange had proposed 
expanding the Pilot on a quarterly basis to add the next 75 most 
actively traded multiply listed options classes based on national 
average daily volume for the six months prior to selection, closing 
under $200 per share on the Expiration Friday prior to expansion, 
except that the month immediately preceding their addition to the Penny 
Pilot will not be used for the purpose of the six month analysis.\5\
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    \4\ See Exchange Act Release No. 60711 (September 23, 2009), 74 
FR 49419 (September 28, 2009) (order approving SR-NYSEArca-2009-44).
    \5\ Index products would be included in the expansion if the 
underlying index level was under 200.
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    NYSE Arca proposes adding the following 75 options classes to the 
Penny Pilot on August 2, 2010, based on national average daily volume 
from January 1, 2010 through June 30, 2010:

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                                                                                     Nat'l
          Nat'l ranking                   Symbol              Security name         ranking          Symbol                    Security name
--------------------------------------------------------------------------------------------------------------------------------------------------------
199..............................  MBI................  MBIA Inc................         316  CB.................  Chubb Corp.
205..............................  MA.................  Mastercard Inc..........         320  ADM................  Archer-Daniels-Midland Co.
224..............................  ATPG...............  ATP Oil & Gas Corp/              322  HSY................  Hershey Co/The.
                                                         United States.
226..............................  YUM................  Yum! Brands Inc.........         323  TXT................  Textron Inc.
232..............................  RCL................  Royal Caribbean Cruises          324  GGP................  General Growth Properties Inc.
                                                         Ltd.

[[Page 48386]]

238..............................  BPOP...............  Popular Inc.............         325  NOV................  National Oilwell Varco Inc.
248..............................  EK.................  Eastman Kodak Co........         326  TWX................  Time Warner Inc.
252..............................  CNX................  Consol Energy Inc.......         327  XOP................  SPDR S&P Oil & Gas Exploration &
                                                                                                                    Production ETF.
260..............................  DCTH...............  Delcath Systems Inc.....         328  MYL................  Mylan Inc/PA.
274..............................  MTG................  MGIC Investment Corp....         329  TSO................  Tesoro Corp.
277..............................  PXP................  Plains Exploration &             330  CI.................  CIGNA Corp.
                                                         Production Co.
278..............................  GPS................  Gap Inc/The.............         331  ESI................  ITT Educational Services Inc.
280..............................  TSL................  Trina Solar Ltd.........         332  NKE................  NIKE Inc.
282..............................  EWW................  iShares MSCI Mexico              335  FIS................  Fidelity National Information
                                                         Investable Market Index                                    Services Inc.
                                                         Fund.
283..............................  CRM................  Salesforce.com Inc......         336  SUN................  Sunoco Inc.
286..............................  SWN................  Southwestern Energy Co..         338  BBBY...............  Bed Bath & Beyond Inc.
287..............................  HBAN...............  Huntington Bancshares            340  APWR...............  A-Power Energy Generation Systems
                                                         Inc/OH.                                                    Ltd.
288..............................  EOG................  EOG Resources Inc.......         341  FWLT...............  Foster Wheeler AG.
290..............................  APA................  Apache Corp.............         342  LNC................  Lincoln National Corp.
291..............................  VVUS...............  Vivus Inc...............         343  RSH................  RadioShack Corp.
292..............................  JDSU...............  JDS Uniphase Corp.......         344  TYC................  Tyco International Ltd.
293..............................  ACI................  Arch Coal Inc...........         345  CL.................  Colgate-Palmolive Co.
294..............................  NE.................  Noble Corp..............         346  FXP................  ProShares UltraShort FTSE/Xinhua
                                                                                                                    China 25.
296..............................  BAX................  Baxter International Inc         347  NTAP...............  NetApp Inc.
297..............................  ADSK...............  Autodesk Inc............         348  SO.................  Southern Co.
299..............................  KRE................  SPDR KBW Regional                349  PHM................  Pulte Group Inc.
                                                         Banking ETF.
300..............................  XL.................  XL Group Plc............         350  HOT................  Starwood Hotels & Resorts Worldwide
                                                                                                                    Inc.
302..............................  WLT................  Walter Energy Inc.......         351  QLD................  ProShares Ultra QQQ.
303..............................  IBN................  ICICI Bank Ltd..........         352  VRSN...............  VeriSign Inc.
305..............................  EWY................  iShares MSCI South Korea         353  PCL................  Plum Creek Timber Co Inc.
                                                         Index Fund.
306..............................  WHR................  Whirlpool Corp..........         354  NBR................  Nabors Industries Ltd.
307..............................  BHI................  Baker Hughes Inc........         355  ESRX...............  Express Scripts Inc.
308..............................  KMP................  Kinder Morgan Energy             356  ACAS...............  American Capital Ltd.
                                                         Partners LP.
309..............................  MRO................  Marathon Oil Corp.......         357  XLNX...............  Xilinx Inc.
310..............................  AGO................  Assured Guaranty Ltd....         358  DO.................  Diamond Offshore Drilling Inc.
311..............................  GIS................  General Mills Inc.......         359  CMA................  Comerica Inc.
312..............................  ANR................  Alpha Natural Resources          360  KEY................  KeyCorp.
                                                         Inc.
314..............................  GENZ...............  Genzyme Corp............
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2. Statutory Basis
    The Exchange believes the proposed rule change is consistent with 
and furthers the objectives of Section 6(b)(5) of the Act, in that it 
is designed to promote just and equitable principles of trade, remove 
impediments to and perfect the mechanisms of a free and open market and 
a national market system and, in general, to protect investors and the 
public interest, by identifying the options classes to be added to the 
Pilot in a manner consistent with prior approvals and filings.

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

    The proposed rule change is effective upon filing pursuant to 
Section 19(b)(3)(A)(i) \6\ of the Act and Rule 19b-4(f)(1) \7\ 
thereunder, in that it constitutes a stated policy, practice, or 
interpretation with respect to the meaning, administration, or 
enforcement of an existing rule of the Exchange. 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 the 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)(i).
    \7\ 17 CFR 240.19b-4(f)(1).
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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 Number SR-NYSEArca-2010-70 on the subject line.

[[Page 48387]]

Paper Comments

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

All submissions should refer to File Number SR-NYSEArca-2010-70. 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 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 Web viewing 
and printing 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 NYSE Arca's principal office and on its Web 
site at http://www.nyse.com. 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 No. SR-NYSEArca-2010-70 and should be submitted on or before 
August 31, 2010.
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    \8\ 17 CFR 200.30-3(a)(12).

    For the Commission, by the Division of Trading and Markets, 
pursuant to delegated authority.\8\
Florence E. Harmon,
Deputy Secretary.
[FR Doc. 2010-19603 Filed 8-9-10; 8:45 am]
BILLING CODE 8010-01-P