Document ID: SEC-2009-0029-0001
Agency: sec
Document Type: Notice
Title: Self-Regulatory Organizations; Proposed Rule Changes: NYSE Alternext US LLC
Posted Date: 2009-01-07T05:00Z

[Federal Register: January 7, 2009 (Volume 74, Number 4)]
[Notices]               
[Page 753-754]
From the Federal Register Online via GPO Access [wais.access.gpo.gov]
[DOCID:fr07ja09-67]                         

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SECURITIES AND EXCHANGE COMMISSION

[Release No. 34-59179; File No. SR-NYSEALTR-2008-16]

 
Self-Regulatory Organizations; NYSE Alternext U.S. LLC; Notice of 
Filing and Immediate Effectiveness of Proposed Rule Change To Make 
Permanent the NYSE Alternext Bonds System Fee Schedule Which Is 
Currently Set To Expire on December 31, 2008 as Well as Make Technical 
Amendments to the Fee Schedule

December 30, 2008.
    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 December 24, 2008, NYSE Alternext U.S. LLC (``NYSEALTR'' or the 
``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 prepared by NYSEALTR. The Exchange 
has designated this proposal as one establishing or changing a due, 
fee, or other charge imposed by the Exchange under Section 
19(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. 
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.
    \3\ 15 U.S.C. 78s(b)(3)(A)(ii).
    \4\ 17 CFR 240.19b-4(f)(2).
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I. Self-Regulatory Organization's Statement of the Terms of Substance 
of the Proposed Rule Change

    The Exchange proposes to make permanent the NYSE Alternext Bonds 
System fee schedule which is currently set to expire on December 31, 
2008 as well as make technical amendments to the fee schedule.
    The text of the proposed rule change is available at NYSE 
Alternext, the Commission's Public Reference Room, and http://
www.nyse.com.

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

    In its filing with the Commission, NYSEALTR 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. NYSEALTR 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
    NYSE Alternext proposes to make permanent the NYSE Alternext Bonds 
System fee schedule which is currently set to expire on December 31, 
2008 as well as make technical amendments to the fee schedule.
    The Exchange recently filed a rule change that established, inter 
alia, the NYSE Alternext Bonds System fee schedule (``fee 
schedule'').\5\ The fee schedule established execution fees per bond 
for orders that took liquidity from the NYSE Alternext Bonds Book. The 
fee schedule was structured to be similar to the NYSE Bonds Price List. 
The Exchange's reasoning for structuring the fee schedule in this 
fashion was because member organizations of NYSE Alternext that trade 
bonds and NYSE member organizations are member organizations of both 
exchanges. This dual membership structure allows all member 
organizations to trade on both exchanges and harmonizes the pricing 
structures of the two exchanges.
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    \5\ See Securities Exchange Release No. 59045 (December 3, 
2008), 73 FR 75151 (December 10, 2008) (SR-NYSEALTR-2008-09).
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    The Exchange is proposing a rule change to make the fee schedule 
permanent. At the time the fee schedule was first implemented as part 
of a larger NYSE Alternext filing (SR-NYSEALTR-2008-09), the Exchange 
inadvertently applied an expiration date of December 31, 2008 to the 
fee schedule which corresponded with the expiration of the NYSE Bonds 
pilot program for liquidity takers.\6\ The Exchange intended to 
implement a permanent fee schedule for the NYSE Alternext Bonds System. 
Accordingly, the Exchange requests that the expiration date of December 
31, 2008 be removed from the fee schedule.
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    \6\ See Securities Exchange Act Release No. 57823 (May 15, 
2008), 73 FR 29804 (May 22, 2008) (SR-NYSE-2008-38).
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    Additionally, the Exchange seeks to clarify the language in the fee 
schedule by replacing the word ``order'' with ``execution.'' The 
Exchange is not billing liquidity takers on the orders but rather the 
executions of those orders. Accordingly, the Exchange has proposed to 
amend the fee schedule to clarify the current language in the fee 
schedule.
2. Statutory Basis
    The Exchange believes that the proposed rule change is consistent 
with the provisions of Section 6 \7\ of the Securities Exchange Act of 
1934 (the ``Act'') \8\ 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. The Exchange believes that the 
proposal does not constitute an inequitable allocation of dues, fees 
and other charges as the same fees will be charged to all member 
organizations.
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    \7\ 15 U.S.C. 78f.
    \8\ 15 U.S.C. 78a et seq.
    \9\ 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 purposes of the Act.

[[Page 754]]

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 rule change establishes or changes a due, 
fee, or other charge imposed by the Exchange, it has become effective 
pursuant to Section 19(b)(3)(A) of the Act \10\ and subparagraph (f)(2) 
of Rule 19b-4 thereunder.\11\ 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-NYSEALTR-2008-16 on the subject line.

Paper Comments

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

All submissions should refer to File Number SR-NYSEALTR-2008-16. 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 such filing also will be available for 
inspection and copying at the principal office of NYSEALTR. 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-NYSEALTR-2008-16 and should 
be submitted on or before January 28, 2009.

    For the Commission, by the Division of Trading and Markets, 
pursuant to delegated authority.\12\
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    \12\ 17 CFR 200.30-3(a)(12).
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Florence E. Harmon,
Acting Secretary.
 [FR Doc. E9-5 Filed 1-6-09; 8:45 am]

BILLING CODE 8011-01-P