Document ID: SEC-2007-0418-0001
Agency: sec
Document Type: Notice
Title: Self-regulatory organizations; proposed rule changes: American Stock Exchange LLC
Posted Date: 2007-03-20T04:00Z

[Federal Register: March 20, 2007 (Volume 72, Number 53)]
[Notices]               
[Page 13145-13146]
From the Federal Register Online via GPO Access [wais.access.gpo.gov]
[DOCID:fr20mr07-98]                         

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SECURITIES AND EXCHANGE COMMISSION

[Release No. 34-55460; File No. SR-Amex-2007-30]

 
Self-Regulatory Organizations; American Stock Exchange LLC; 
Notice of Filing and Immediate Effectiveness of Proposed Rule Change 
Relating to Transaction Charges for Equities and ETFs

March 13, 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 March 8, 2007, the American Stock Exchange LLC (``Amex'' or 
``Exchange'') filed with the Securities and Exchange Commission 
(``Commission'') the proposed rule change as described in Items I and 
II 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 revise Equities and Exchange Traded Funds 
and Trust Issued Receipts (``ETFs'') Fee Schedules (collectively, the 
``Fee Schedule'').
    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 recently revised its Equities, ETFs, and Nasdaq UTP 
Fee Schedules.\3\ The Exchange is now proposing to make some additional 
changes to the Equities and ETFs Fee Schedules. The Equity Fee Schedule 
currently provides a waiver of transaction charges for orders of up to 
500 shares entered electronically into the Amex Order File from off the 
floor (``System Orders''). This transaction charge waiver does not 
apply to the System Orders of a member or member organization trading 
as an agent for the account of a non-member competing market maker.\4\ 
The Exchange is now proposing to extend the transaction charge waiver 
to System Orders for the accounts of non-member competing market 
makers. Thus, the Equity Fee Schedule is being amended to eliminate the 
second and third sentences of Item 3 on the schedule.
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    \3\ See SR-Amex-2007-23 filed on February 22, 2007 and SR-Amex-
2007-28 filed on March 1, 2007.
    \4\ A competing market maker is defined for purposes of the 
Equity and ETF Fee Schedules as a specialist or market maker 
registered as such on a registered stock exchange (other than Amex), 
or a market maker bidding and offering over-the-counter, in an Amex-
traded security.
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    The ETF Fee Schedule also provides a waiver of transaction charges 
for orders entered electronically into the Amex Order File from off the 
floor. However for ETFs, orders up to 2,400 shares are deemed to be 
System Orders for which transaction charges are waived. Again, the 
transaction charge waiver currently does not apply to the System Orders 
of a member or member organization trading as an agent for the account 
of a non-member competing market maker. The Exchange is now proposing 
to extend the transaction charge waiver to System Orders for the 
accounts of non-member competing market makers. Thus, the ETF Fee 
Schedule is being amended to eliminate the second and third sentences 
of Note 1 on the schedule.
    The Exchange is also proposing to apply the waiver of transaction 
charges for System Orders in equities and ETFs for the accounts of non-
member competing market makers retroactively, beginning March 1, 2007.
2. Statutory Basis
    The proposed fee change is consistent with Section 6(b)(4) of the 
Act \5\ regarding the equitable allocation of reasonable dues, fees, 
and other charges among exchange members and other persons using 
exchange facilities.
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    \5\ 15 U.S.C. 78f(b)(4).
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B. Self-Regulatory Organization's Statement on Burden on Competition

    The proposed rule change does not 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 foregoing rule change has become effective immediately pursuant 
to Section 19(b)(3)(A)(iii) of the Act \6\ and Rule 19b-4(f)(6) \7\ 
thereunder because it does not: (i) Significantly affect the protection 
of investors or the public interest; (ii) impose any significant burden 
on competition; (iii) become operative for 30 days from the date on 
which it was filed, or such shorter time as the Commission may 
designate.\8\
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    \6\ 15 U.S.C. 78s(b)(3)(A)(iii).
    \7\ 17 CFR 240.19b-4(f)(6).
    \8\ Rule 19b-4(f)(6) also requires the self-regulatory 
organization to give the Commission notice of its intent to file the 
proposed rule change, along with a brief description and text of the 
proposed rule change, at least five business days prior to the date 
of filing of the proposed rule change, or such shorter time as 
designed by the Commission. The Commission has determined to waive 
the five-day pre-filing requirement.
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    The Commission has determined to waive the 30-day operative delay. 
The Commission believes that doing so is consistent with the protection 
of investors and the public interest because eligible parties will be 
able to obtain the benefit of the fee waivers immediately. Accordingly, 
the

[[Page 13146]]

Commission designates the proposal to be operative upon filing with the 
Commission.\9\
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    \9\ For purposes only of waiving the 30-day operative delay of 
this proposal, the Commission has considered the propose rule's 
impact on efficiency, competition, and capital formation. See 15 
U.S.C. 78c(f).
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    At any time within 60 days of the filing of such proposed rule 
change, the Commission may summarily abrogate such rule change if it 
appears to the Commission that such action is necessary of appropriate 
in the public interest, for the protection of investors, or otherwise 
in the furtherance of the purposes of the Act.

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-2007-30 on the subject line.

Paper Comments

     Send paper comments in triplicate to Nancy M. Morris, 
Secretary, Securities and Exchange Commission, Station Place, 100 F 
Street, NE., Washington, DC 20549-1090.
    All submissions should refer to File Number SR-Amex-2007-30. 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 inspection 
and copying in the Commission's Public Reference Room. Copies of the 
filing also will be available for inspection and copying at the 
principal office of 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-2007-30 and should be submitted on or before April 10, 2007.
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    \10\ 17 CFR 200.30-3(a)(12).

    For the Commission, by the Division of Market Regulation, 
pursuant to delegated authority.\10\
Florence E. Harmon,
Deputy Secretary.
 [FR Doc. E7-4978 Filed 3-19-07; 8:45 am]

BILLING CODE 8010-01-P