Document ID: SEC-2007-1488-0001
Agency: sec
Document Type: Notice
Title: Self-regulatory organizations; proposed rule changes: New York Stock Exchange LLC
Posted Date: 2007-10-30T04:00Z

[Federal Register: October 30, 2007 (Volume 72, Number 209)]
[Notices]               
[Page 61411-61413]
From the Federal Register Online via GPO Access [wais.access.gpo.gov]
[DOCID:fr30oc07-75]                         

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SECURITIES AND EXCHANGE COMMISSION

[Release No. 34-56697; File No. SR-NYSE-2007-90]

 
Self-Regulatory Organizations; New York Stock Exchange LLC; 
Notice of Filing and Immediate Effectiveness of Proposed Rule Change to 
Amend the Fee Charged to Member Organizations for Participation in the 
Exchange's Continuing Education Program

October 24, 2007.
    Pursuant to section 19(b)(1) \1\ of the Securities Exchange Act of 
1934 (``Act''), and Rule 19b-4 thereunder,\2\ notice is hereby given 
that on October 1, 2007, New York Stock Exchange LLC (``NYSE'' or 
``Exchange'') 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 NYSE. 
The Exchange has designated the proposed rule change as establishing or 
changing a due, fee, or other charge applicable only to members, 
pursuant to section (b)(3)(A)(ii) of the Act,\3\ and Rule 19b-4(f)(2) 
thereunder,\4\ which renders the proposal effective upon filing with 
the Commission. On October 19, 2007, the Exchange submitted Amendment 
No. 1 to the proposed rule change.\5\ The Commission is publishing this 
notice to solicit comments on the proposed rule change, as amended, 
from interested persons.
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    \1\ 15 U.S.C. 78s(b)(1).
    \2\ 17 CFR 240.19b-4(f)(2).
    \3\ 15 U.S.C. 78s(b)(3)(A)(ii).
    \4\ 17 CFR 240.19b-4(f)(2).
    \5\ In Amendment No. 1, the Exchange made clarifying, non-
substantive changes to the filing.
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I. Self-Regulatory Organization's Statement of the Terms of Substance 
of the Proposed Rule Change

    NYSE proposes to amend, effective October 1, 2007, the fees charged 
for the Continuing Education Program for Active Floor Members from a 
$100 semi-annual participation fee, plus an additional $100 fee to re-
register for additional sessions, to a flat $50 fee per training 
module. The text of the proposed rule change is available on NYSE's Web 
site at http://www.nyse.com, at NYSE, 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, NYSE included statements 
concerning

[[Page 61412]]

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. 
NYSE 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 amend, effective October 1, 2007, the fees 
charged for the Continuing Education Program for Active Floor Members 
from a $100 semi-annual participation fee, plus an additional $100 fee 
to re-register for additional sessions, to a flat $50 fee per training 
module. The Exchange is proposing this change to reflect the changes 
being implemented in the delivery of such program.
    As required by NYSE Rule 103A, the Exchange provides Floor members 
with a mandatory continuing education program, known as the Floor 
Member Continuing Education Program (``FMCE Program''). The Exchange 
has been offering the FMCE Program in two training sessions per year. 
Members could complete such training at an on-site computer training 
laboratory only. As set forth in the current Price List, members were 
charged for each time they visited the lab to take a session of FMCE 
training. Accordingly, the minimum fees charged to members for such 
training was $200 per year, but could increase in $100 increments if a 
member was unable to complete a session in a single visit.
    Beginning in October 2007, the Exchange will be offering the FMCE 
Program via a web-based interactive program that members can access 
from an Internet-capable computer.\6\ Because of the web-based nature 
of this delivery method, members will no longer need to visit an on-
site laboratory to complete their FMCE Program requirements. 
Accordingly, the current billing structure, which is based on when a 
member visits the on-site laboratory, is no longer applicable.
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    \6\ A number of factors impact the actual launch of the web-
based FMCE Program, however, NYSE Regulation anticipates going live 
with the program sometime in October. In anticipation of the launch 
of the redesigned FMCE Program, NYSE closed its on-site laboratory. 
Accordingly, there is no possibility that pending the launch of the 
web-based program, a member will be charged under the prior pricing 
scheme. NYSE is filing this fee amendment in advance of the launch 
to ensure that the fee structure for the new, web-based program is 
in effect as of the first date that the new FMCE Program is 
available to members.
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    To reflect the delivery method of the revised, web-based FMCE 
Program, the Exchange proposes charging members a flat $50 fee for each 
training module offered. The Exchange anticipates issuing approximately 
six training modules per year. This number may vary depending on 
changes in rules and regulations that may warrant either more or less 
training per year.\7\
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    \7\ In addition to this fee filing, NYSE is submitting a 
proposed rule change to amend NYSE Rule 103A to reflect the 
administrative changes to the delivery of the FMCE program.
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    For this flat fee, members will have the capability to access the 
FMCE Program during their own time and from their own computers. Unlike 
the prior delivery method, members will also be able to stop and start 
a training module at any point and return to a module once completed 
without any additional charge. In addition, the Exchange is providing 
member organization compliance officers with access to the FMCE Program 
at no charge to the firms so that compliance officers may monitor their 
members' compliance with the FMCE Program. Again, this is a benefit 
that was not previously available to firms under the prior FMCE Program 
delivery method.
2. Statutory Basis
    NYSE believes that the proposed rule change is consistent with the 
provisions of section 6 \8\ of the Act in general and section 6(b)(4) 
of the Act \9\ 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.
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    \8\ 15 U.S.C. 78f.
    \9\ 15 U.S.C. 78f(b)(4).
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B. Self-Regulatory Organization's Statement on Burden on Competition

    NYSE does not believe that the proposed rule change will impose any 
burden on competition that is not necessary or appropriate in 
furtherance of the purpose of the Act.

C. Self-Regulatory Organization's Statement on Comments on the Proposed 
Rule Change Received From Members, Participants or Others

    Written comments were neither solicited nor received.

III. Date of Effectiveness of the Proposed Rule Change and Timing for 
Commission Action

    The foregoing rule change is effective upon filing pursuant to 
section 19(b)(3)(A)(ii) \10\ of the Act and subparagraph (f)(2) of Rule 
19b-4 \11\ thereunder, because it establishes a due, fee, or other 
charge imposed by NYSE, applicable only to members. 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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    \10\ 15 U.S.C. 78s(b)(3)(A).
    \11\ 17 CFR 240.19b-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 Number SR-NYSE-2007-90 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-NYSE-2007-90. 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, 100 F Street, 
NE., Washington, DC 20549, on official business days between the hours 
of 10 a.m. and 3 p.m. Copies of the filing also will be available

[[Page 61413]]

for inspection and copying at the principal office of the Exchange. 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-NYSE-2007-90 and should be 
submitted on or before November 20, 2007.

    For the Commission, by the Division of Market Regulation, 
pursuant to delegated authority.\12\
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    \12\ 17 CFR 200.30-3(a)(12).
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Nancy M. Morris,
Secretary.
[FR Doc. E7-21284 Filed 10-29-07; 8:45 am]

BILLING CODE 8011-01-P