Rules and Regulations. Notice of addition and revision to Systems of Records
16,921 words·~77 min read·
/register/2007/09/24/07-4709A research copy — for the controlling text, always check the official state or federal source. Not legal advice.
BILLING CODE 7555-01-M NUCLEAR REGULATORY COMMISSION [Docket Nos. 50-334 and 50-412] FirstEnergy Nuclear Operating Company; Notice of Receipt and Availability of Application for Renewal of Beaver Valley Power Station, Units 1 and 2 Facility Operating License Nos. DPR-66 and NPF-73 for an Additional 20-Year Period The U.S. Nuclear Regulatory Commission (NRC or Commission) has received an application, dated August 27, 2007, from FirstEnergy Nuclear Operating Company, filed pursuant to Section 104b for Unit 1 and Section 103 for Unit 2, of the Atomic Energy Act of 1954, as amended, and Title 10 of the *Code of Federal Regulations* Part 54 (10 CFR Part 54), to renew the operating licenses for the Beaver Valley Power Station (BVPS), Units 1 and 2.
Renewal of the licenses would authorize the applicant to operate each facility for an additional 20-year period beyond the period specified in the respective current operating licenses. The current operating license for BVPS, Unit 1 (DPR-66), expires on January 29, 2016. BVPS, Unit 1, is a pressurized-water reactor designed by Westinghouse. The current operating license for BVPS, Unit 2 (NPF-73), expires on May 27, 2027. BVPS, Unit 2, is a pressurized-water reactor designed by Westinghouse.
Both units are located near Shippingport, Pennsylvania. The acceptability of the tendered application for docketing, and other matters including an opportunity to request a hearing, will be the subject of subsequent **Federal Register** notices. Copies of the application are available to the public at the Commission's Public Document Room (PDR), located at One White Flint North, 11555 Rockville Pike, Rockville, MD 20852 or through the internet from the NRC's Agencywide Documents Access and Management System (ADAMS) Public Electronic Reading Room under Accession Number ML072430913.
The ADAMS Public Electronic Reading Room is accessible from the NRC Web site at *http://www.nrc.gov/reading-rm/adams.html* . In addition, the application is available at *http://www.nrc.gov/reactors/operating/licensing/renewal/applications.html* . Persons who do not have access to the Internet or who encounter problems in accessing the documents located in ADAMS should contact the NRC's PDR reference staff at 1-800-397-4209, extension 4737, or by e-mail to *pdr@nrc.gov* . A copy of the license renewal application for the BVPS, Units 1 and 2, is also available to local residents near the site at the Beaver Area Memorial Library, 100 College Avenue, Beaver, Pennsylvania 15009.
Dated at Rockville, Maryland, this 18th day of September, 2007. For the Nuclear Regulatory Commission. Pao-Tsin Kuo, Director, Division of License Renewal, Office of Nuclear Reactor Regulation. [FR Doc. E7-18742 Filed 9-21-07; 8:45 am] BILLING CODE 7590-01-P OCCUPATIONAL SAFETY AND HEALTH REVIEW COMMISSION Privacy Act of 1974; New and Revised Systems of Records AGENCY: Occupational Safety and Health Review Commission. ACTION: Notice of addition and revision to Systems of Records.
SUMMARY: In accordance with the Privacy Act of 1974, 5 U.S.C. 552a, as amended, the Occupational Safety and Health Review Commission (OSHRC) is proposing in this notice
(1)the addition of a new system of records and
(2)revisions to its preexisting systems of records last published in full text on April 14, 2006 at 71 FR 19556. DATES: Comments must be received by OSHRC on or before October 24, 2007. The new and revised systems of records will become effective on November 23, 2007 without any further notice in the **Federal Register** , unless comments or government approval procedures necessitate otherwise. ADDRESSES: You may submit comments by any of the following methods: • *E-mail: regsdocket@oshrc.gov.* Include “PRIVACY ACT SYSTEM OF RECORDS” in the subject line of the message. • *Fax:*
(202)606-5417. • *Mail:* One Lafayette Centre, 1120 20th Street, NW., Ninth Floor, Washington, DC 20036-3457. • *Hand Delivery/Courier:* same as mailing address. *Instructions:* All submissions must include your name, return address and e-mail address, if applicable. Please clearly label submissions as “PRIVACY ACT SYSTEM OF RECORDS.” If you submit comments by e-mail, you will receive an automatic confirmation e-mail from the system indicating that we have received your submission. If, in response to your comment submitted via e-mail, you do not receive a confirmation e-mail within five working days, contact us directly at
(202)606-5410. FOR FURTHER INFORMATION CONTACT: Ron Bailey, Attorney-Advisor, Office of the General Counsel, via telephone at
(202)606-5410, or via e-mail at *rbailey@oshrc.gov.* SUPPLEMENTARY INFORMATION: The Privacy Act of 1974, 5 U.S.C. 552a(e)(4), requires federal agencies such as OSHRC to propose additions and revisions to its systems of records in a **Federal Register** publication. As detailed below, OSHRC is proposing the addition of one new system of records, as well as revisions to all its preexisting systems of records. *New System of Records.* OSHRC conducted an annual review of the systems of records that it presently maintains. OSHRC's review uncovered one possible system-of-records—the database of Commission cases on OSHRC's Web site—that is not included in OSHRC's current system-of-records notice. 71 FR 19556, Apr. 14, 2006. The capability exists for agency employees to search for records in this database by entering names or other individual identifiers into the search engine on the homepage of the Web site. Although OSHRC has not found that employees in fact search for decisions using individual identifiers, OSHRC prefers to exercise caution by recognizing this as a system of records for purposes of the Privacy Act. OSHRC would designate this system as OSHRC-10. Notice of OSHRC's proposed new system of records (OSHRC-10) is published below. *Revisions to Preexisting Systems of Records.* OSHRC recently revised its regulations implementing the Privacy Act. 71 FR 57416, Sept. 29, 2006. One revised provision, 29 CFR 2200.3(a), states that “[t]he Chairman shall designate an OSHRC employee as the Privacy Officer, and shall delegate to the Privacy Officer the authority to ensure agency-wide compliance with” OSHRC's Privacy Act regulations. In light of this revision to OSHRC's Privacy Act regulations, individuals interested in inquiring about, gaining access to, or contesting the accuracy of their records should now notify the Privacy Officer rather than the Executive Director. Also, the provision that sets forth the procedures for requesting amendment of records, which was previously at 29 CFR 2400.7(a) and (b), is now at 29 CFR 2400.8. Finally, the procedures for appealing the denial of a request to inspect, copy, or amend a record, which was previously at 29 CFR 2400.7(c), is now at 29 CFR 2400.9. In the notice of OSHRC's proposed new system of records (OSHRC-10) published below, the information included in the three sections pertaining to “Record Access Procedures,” “Notification Procedures,” and “Contesting Record Procedures,” which have changed as a result of revisions made to OSHRC's Privacy Act regulations, are also applicable to OSHRC's preexisting system of records—OSHRC-1 through OSHRC-9. OSHRC-10 SYSTEM NAME: Database of Commission and ALJ Decisions on OSHRC Web site. SECURITY CLASSIFICATION: None. SYSTEM LOCATION: Records are located on a Web server at the Government Printing Office (GPO), 732 North Capitol Street, NW., Washington, DC 20401. CATEGORIES OF INDIVIDUALS COVERED BY THE SYSTEM: This system of records covers all individuals referenced and described in Commission and ALJ decisions, including sole proprietors who were cited by OSHA, employees and other witnesses, attorney and non-attorney representatives of each party, and the Commissioners and ALJs. CATEGORIES OF RECORDS IN THE SYSTEM: This system of records includes final decisions issued by the Commission since 1979, and final decisions issued by the ALJs since 1993. The decisions may contain the following information:
(1)The names and locations (city and state) of the individuals representing each party;
(2)the names of sole proprietors cited by OSHA, as well as employees and other witnesses, and information describing those individuals, including job title and duties, medical history, and other descriptive information that is relevant to the disposition of a case; and
(3)the names and job titles of the Commissioners and ALJs. AUTHORITY FOR MAINTENANCE OF THE SYSTEM: Electronic Freedom of Information Act Amendments of 1996, Public Law 104-231, 110 Stat. 3048 (codified as amended in 5 U.S.C. 552); 29 U.S.C. 661(g). PURPOSE(S): This system of records is maintained in order to make Commission and ALJ decisions more accessible to the public and agency employees. ROUTINE USES OF RECORDS MAINTAINED IN THE SYSTEM, INCLUDING CATEGORIES OF USERS AND THE PURPOSES OF SUCH USES: In addition to the Blanket Routine uses discussed in 71 FR 19556-19557, Apr. 14, 2006, records included in OSHRC adjudicative decisions may be disclosed to the public, via OSHRC's Web site, pursuant to section 12(g) of the OSH Act, 29 U.S.C. 661(g), which states that “[e]very official act of the Commission shall be entered of record, and its hearings and records shall be open to the public.” Only personal information that is relevant and necessary to the disposition of OSHRC cases will be included in these decisions. Also, records are disclosed to GPO to make certain that decisions published on OSHRC's Web site are current. DISCLOSURES TO CONSUMER REPORTING AGENCIES: None. POLICIES AND PRACTICES FOR STORING, RETRIEVING, ACCESSING, RETAINING, AND DISPOSING OF RECORDS IN THE SYSTEM: STORAGE: Records are stored on a Web server located at the GPO. RETRIEVABILITY: Records can be retrieved by using the search engine on the homepage of OSHRC's Web site to conduct a simplified Boolean search. RETENTION AND DISPOSAL: Records are retained indefinitely on the GPO Web server. SAFEGUARDS: OSHRC sends updates for its Web site via e-mail to GPO, which is located in a secured federal complex. GPO secures information on the Web server in accordance with federal standards. SYSTEM MANAGER(S) AND ADDRESS: Information Technology Specialist, OSHRC, 1120 20th Street, NW., Ninth Floor, Washington, DC 20036-3457. RECORD ACCESS PROCEDURES: Individuals who wish to gain access to their records should notify: Privacy Officer, OSHRC, 1120 20th Street, NW., Ninth Floor, Washington, DC 20036-3457. For an explanation on how such requests should be drafted, refer to 29 CFR 2400.6 (Procedures for requesting records). NOTIFICATION PROCEDURE: Individuals interested in inquiring about their records should notify: Privacy Officer, OSHRC, 1120 20th Street, NW., Ninth Floor, Washington, DC 20036-3457. For an explanation on how such requests should be drafted, refer to 29 CFR 2400.5 (Notification), and 29 CFR 2400.6 (Procedures for requesting records). CONTESTING RECORD PROCEDURES: Individuals who wish to contest their records should notify: Privacy Officer, OSHRC, 1120 20th Street, NW., Ninth Floor, Washington, DC 20036-3457. For an explanation on the specific procedures for contesting the contents of a record, refer to 29 CFR 2400.8 (Procedures for requesting amendment), and 29 CFR 2400.9 (Procedures for appealing). RECORD SOURCE CATEGORIES: Information in this system of records is derived from case records that are developed during litigation before the Commission and/or the ALJs and, thus, the information may come from individuals who are the subjects of the records or from other sources. EXEMPTIONS CLAIMED FOR THE SYSTEM: None. Dated: September 18, 2007. Horace A. Thompson III, Chairman. [FR Doc. E7-18746 Filed 9-21-07; 8:45 am] BILLING CODE 7600-01-P SECURITIES AND EXCHANGE COMMISSION [Release No. 34-56446; File No. SR-Amex-2007-85] Self-Regulatory Organizations; American Stock Exchange, LLC; Order Approving a Proposed Rule Change To Establish a New Class of Off-Floor Market Makers in ETFs and Equities Called Designated Amex Remote Traders September 17, 2007. I. Introduction On August 8, 2007, the American Stock Exchange, LLC. (“Amex” or “Exchange”) filed with the Securities and Exchange Commission (“Commission”), pursuant to Section 19(b)(1) of the Securities Exchange Act of 1934 (“Act”) 1 and Rule 19b-4 thereunder, 2 a proposal to create a new class of off-floor market makers, called “Designated Amex Remote Traders” or “DARTs,” in all ETF and equity-traded securities that trade on the Exchange. The proposed rule change was published for comment in the **Federal Register** on August 16, 2007. 3 The Commission received no comments regarding the proposal. This order approves the proposed rule change. 1 15 U.S.C. 78s(b)(1). 2 17 CFR 240.19b-4. 3 Securities Exchange Act Release No. 56236 (August 9, 2007), 72 FR 46113. II. Description The Exchange proposes to adopt changes to its rules to create a new class of off-floor market makers in all ETF and equity-traded securities that trade on the Exchange, including the implementation of related changes to the Exchange's AEMI trading platform. These market makers, to be called “Designated Amex Remote Traders” or “DARTs,” will be members or member organizations physically located off-floor that will electronically enter competitive quotations into AEMI on a regular basis in all securities to which they are assigned in the DART program. DARTs will also have to meet certain business requirements, which will include minimum performance standards. The proposed DART program is similar to the Supplemental Registered Options Traders (“SROT”) program implemented by the Amex for options, 4 with its own unique caveats. Under the DART proposal, an Amex specialist firm may also be a DART, although it may not be registered as such in securities in which it is also the specialist. In ETFs, DARTs will trade in an identical way as Registered Traders in the same securities on the Exchange when auto-ex is on, with similar obligations under Exchange rules such as those relating to a course of dealings that contributes to the maintenance of a fair and orderly market. DARTs in equity-traded securities will be subject to the same obligations as DARTs in ETFs and will not be subject to the stabilization rules that are applicable to equity specialists. A DART will not participate in any post-trade allocation in connection with an auction trade; instead, a DART's participation in an auction pair-off on the Exchange will be limited to the size of its quotation on the AEMI Book at the time of the pair-off. 4 *See* Amex Rule 993-ANTE (Supplemental Registered Options Traders). Amex will establish minimum requirements for a DART to remain in the program, which may be modified by the Exchange from time to time. Business requirements will include minimum performance standards, including that a DART's quotations must be on one side of the NBBO for a required percentage of the time in all assigned securities. Other performance standards will include average displayed size, average quoted spread, and the ability of the DART to transact in underlying markets in the case of a derivative security. A DART that fails to comply with one or more of the performance standards, as determined by the Chief Executive Officer of the Exchange or his/her designee, may be subject to loss of the benefits to which it would otherwise be entitled under Amex rules by virtue of its status as a DART ( *e.g.* , rebates for providing liquidity), including suspension or termination of DART status. A DART may be either a regular member of the Exchange or an associate member of the Exchange that meets the requirements for electronic access to the Exchange's automated systems. DARTs will receive benefits for participating in and meeting the requirements of the DART program. While the Exchange anticipates starting the program with a limited group of DARTs, no specific upper limit on the number of DARTs is anticipated. In addition to the requirements cited above, DARTs will be required to meet eligibility criteria similar to those specified in the SROT program, which include:
(i)Adequacy of resources including capital, technology, and personnel;
(ii)History of stability, superior electronic capacity, and superior operational capacity;
(iii)Level of market-making and/or specialist experience in a broad array of securities;
(iv)Ability to interact with order flow in all types of markets;
(v)Existence of order flow commitments;
(vi)Willingness and ability to make competitive markets on the Exchange and otherwise promote the Exchange in a manner that is likely to enhance the ability of the Exchange to compete successfully for order flow in the equity and ETF securities it trades; and
(vii)The number of member organizations requesting approval to act as a DART. The regulatory requirements applicable to DARTs will be surveilled for by the FINRA Market Regulation Amex Division (“FINRA”) consistent with current surveillance procedures for Registered Traders on the Exchange. FINRA staff will work with Amex technical staff on planning the necessary changes to AEMI to capture required surveillance data and in surveilling the increased number of market makers that the program is expected to attract. Adjustments to current technology and surveillance procedures will likely also be necessitated by the fact that the DARTs will not be physically located on the floor of the Exchange. III. Discussion After careful review, the Commission finds that the proposed rule change is consistent with the requirements of the Act and the rules and regulations thereunder applicable to a national securities exchange. 5 In particular, the Commission finds that the proposal is consistent with Section 6(b)(5) of the Act, 6 which requires, among other things, that a national securities exchange's rules be designed to promote just and equitable principles of trade, to remove impediments to and to perfect the mechanism of a free and open market and a national market system, and, in general, to protect investors and the public interest. 5 In approving this proposal, the Commission has considered the proposed rule's impact on efficiency, competition, and capital formation. *See* 15 U.S.C. 78c(f). 6 15 U.S.C. 78f(b)(5). Under the proposal, DARTs would be permitted to quote electronically in equities and ETFs from off the Exchange's physical trading floor. Introducing a new class of market participant able to enter quotes from off the physical trading floor should attract new market makers to the Exchange, which should increase the liquidity available in those classes to which DARTs are assigned. The Commission notes that DARTs will be required to meet certain eligibility requirements. The existence of order flow commitments between a DART applicant and order flow providers is one such factor. The Exchange represents, and the Commission emphasizes, that a future change to, or termination of, any such commitments would not be used by the Exchange at any point in the future to terminate or take remedial action against a DART and that the Committee would not take remedial action solely because orders subject to any such commitments were not subsequently routed to the Exchange. Similarly, the Exchange has included the “willingness to promote the Exchange” as a factor that the Committee may consider when making its application decisions. The Exchange represents, and the Commission emphasizes, that the Committee would not apply this factor to in any way restrict, either directly or indirectly, a DART's activities as a market maker or specialist on other exchanges, or to restrict how a DART handles orders it holds in a fiduciary capacity to which it owes a duty of best execution. The Commission also notes that should the Committee decide not to approve a DART applicant, or should an DART's appointment be suspended or terminated in one or more classes, a DART applicant or DART, respectively, would be entitled to a hearing under Article IV, Section 1(g) of the Amex Constitution and Amex Rule 40. Proposed Amex Rule 110A(b)—AEMI sets forth the obligations that a DART would be required to fulfill. Specifically, a DART would be required to generate continuous, two-sided quotations in all assigned securities that are on at least one side of the NBBO for a specified percentage of the time. A DART's affirmative obligations appear to be sufficient to justify the benefits it would receive as a market maker. The proposal also requires information barriers to be in place to prevent the misuse of material, non-public information with any affiliates that may conduct a brokerage business in securities assigned to a DART, or that may act as a specialist or market maker in any security underlying a derivative security assigned to a DART. DARTs would also be required to comply with Amex Rule 193 regarding the misuse of material non-public information. IV. Conclusion *It is therefore ordered,* pursuant to Section 19(b)(2) of the Act, 7 that the proposed rule change (SR-Amex-2007-85) is approved. 7 15 U.S.C. 78s(b)(2). For the Commission, by the Division of Market Regulation, pursuant to delegated authority. 8 8 17 CFR 200.30-3(a)(12). Florence E. Harmon, Deputy Secretary. [FR Doc. E7-18727 Filed 9-21-07; 8:45am] BILLING CODE 8010-01-P SECURITIES AND EXCHANGE COMMISSION [Release No. 34-56448; File No. SR-CBOE-2007-111] Self-Regulatory Organizations; Chicago Board Options Exchange, Incorporated; Notice of Filing and Immediate Effectiveness of a Proposed Rule Change To Retire Two Existing Pilot Programs that Permit the Exchange To list Options on the Vanguard Emerging Markets Exchange Traded Fund and the iShares MSCI Emerging Markets Index Fund September 17, 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 September 11, 2007, the Chicago Board Options Exchange, Incorporated (“CBOE” 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 the Exchange. The Exchange has designated the proposed rule change as constituting a stated policy, practice or interpretation with respect to the meaning, administration or enforcement of an existing rule under Section 19(b)(3)(A)(i) of the Act, 3 and Rule 19b-4(f)(1) thereunder, 4 which renders the proposal effective upon filing of this proposal with the Commission. The Commission is publishing this notice to solicit comments on the proposed rule change from interested persons. 1 1 15 U.S.C. 78s(b)(1). 2 2 17 CFR 240.19b-4. 3 3 15 U.S.C. 78s(b)(3)(A)(i). 4 4 17 CFR 240.19b-4(f)(1). I. Self-Regulatory Organization's Statement of the Terms of Substance of the Proposed Rule Change The Exchange submits this rule filing to retire two existing pilot programs that permit the Exchange to list options on the Vanguard Emerging Markets Exchange Traded Fund (“VWO Fund”) and on the iShares MSCI Emerging Markets Index Fund (“EEM Fund”). 5 The Exchange is proposing to retire the two pilot programs because both the VWO Fund and the EEM Fund now meet all of the Exchange's generic initial and maintenance listings standards, which permit the Exchange to list options on the VWO Fund and the EEM Fund without having to file for Commission approval. The text of the proposed rule change is available on the Exchange's Web site ( *http://www.cboe.org/legal)* , at the Exchange's Office of the Secretary and at the Commission. 5 The VWO Fund pilot program commenced on March 19, 2007 and is scheduled to expire on September 19, 2007. *See* Securities Exchange Act Release No. 55491 (March 19, 2006), 72 FR 14145 (March 26, 2007) (order granting accelerated approval of SR-CBOE-2006-95). The EEM Fund pilot program commenced on April 10, 2006 and has been renewed four times. The EEM Fund pilot program is scheduled to expire on December 7, 2007. *See* Securities Exchange Act Release No. 53621 (April 10, 2006), 71 FR 19568 (April 14, 2006) (approval of SR-CBOE-2006-32, which established EEM Fund pilot program to expire on June 9, 2006); Securities Exchange Act Release No. 53930 (June 1, 2006), 71 FR 33322 (June 8, 2006) (granting immediate effectiveness to SR-CBOE-2006-56, which renewed EEM Fund pilot through September 7, 2006); Securities Exchange Act Release No. 54347 (August 22, 2006), 71 FR 51242 (August 29, 2006) (granting immediate effectiveness to SR-CBOE-2006-72, which renewed EEM Fund pilot program through December 7, 2006); Securities Exchange Act Release No. 54876 (December 5, 2006), 71 FR 74968 (December 13, 2006) (granting immediate effectiveness to SR-CBOE-2006-103, which renewed EEM Fund pilot program through June 7, 2007); Securities Exchange Act Release No. 55758 (May 14, 2007), 72 FR 28090 (May 18, 2007) (granting immediate effectiveness to SR-CBOE-2007-43, which renewed EEM Fund pilot program through December 7, 2007). 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. CBOE 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 purpose of this rule filing is to retire two existing pilot programs that permit the Exchange to list options on the VWO Fund and the EEM Fund. 6 The Exchange is proposing to retire the two pilot programs because both the VWO Fund and the EEM Fund now meet all of the Exchange's generic initial and maintenance standards. Specifically, the Exchange has in place initial and maintenance listing standards set forth in Rules 5.3.06 and 5.4.08, respectively (“Listing Standards”), that are designed to allow the Exchange to list funds structured as open-end investment companies, such as the VWO Fund and the EEM Fund, without having to file for Commission approval to list for trading options on these types of funds. 7 6 The VWO Fund is an open-end investment company that is designed to hold a portfolio of securities that tracks the Morgan Stanley Capital International, Inc. (“MSCI”) Emerging Markets Select Index, which consists of stocks that can be purchased free of restrictions in 18 emerging markets in Europe, Asia, Africa and Latin America. The EEM Fund is an open-end investment company that is designed to hold a portfolio of securities that tracks the MSCI Emerging Markets Free Index, which is designed to measure equity market performance in the global emerging markets. 7 Rules 5.3.06 and 5.4.08 set forth the initial listing and maintenance standards for registered investment companies (or series thereof) organized as open-end management investment companies, unit investment trust or other similar entities traded on a national securities exchange or through the facilities of a national securities exchange. *See* Exchange Act Release, No. 40166 (July 2, 1998), 63 FR 37430 (July 10, 1998) (approval order for SR-CBOE-97-045, predating the Commission's adoption of Rule 19b-4(e) of the Act; *see also* Exchange Act Release No. 34-40761 (December 8, 1998), 63 FR 70952 (December 22, 1998). When the Exchange first sought to list options on the VWO Fund and EEM Fund, the Exchange had determined that the VWO Fund and the EEM Fund both met substantially all of the Exchange's Listing Standards requirements, but did not meet the Listing Standards requirement that no more than 50% of the weight of the securities in the VWO Fund and the EEM Fund be comprised of securities that are not subject to a comprehensive surveillance sharing agreement (“CSSA”). 8 As to the VWO Fund, the Exchange had in place CSSAs with foreign exchanges that covered 48.10% of the securities in the VWO Fund. As to the EEM Fund, the Exchange had in place CSSAs with foreign exchanges that covered 49.76% of the securities in the EEM Fund. In order to meet the 50% threshold, the Exchange requested the Commission's approval to rely upon a memorandum of understanding that the Commission had entered into with the Mexican Bolsa (“MOU”) because the securities traded on that exchange represented 6.6% of the weight of the securities in the VWO Fund and 7.54% of the weight of the securities in the EEM Fund. 9 8 *See* Rule 5.3.06(A). 9 *See* supra note 5. The Commission permitted the Exchange to rely on the MOU, and the Exchange agreed to use its best efforts to obtain a CSSA with the Bolsa during the respective pilot periods, which to date has not been obtained. Since the Commission approved the VWO Fund pilot program in March 2007 and since the last renewal of the EEM Fund pilot program in May 2007, the VWO Fund and the EEM Fund have both become compliant with Rule 5.3.06(A) and more than 50% of the weight of the securities in the VWO Fund and the EEM Fund are now subject to a CSSA. Specifically, the Exchange represents that the Korean Exchange (“KRX”) recently became a member of the Intermarket Surveillance Group; therefore, securities and other products trading on its markets are now subject to a CSSA. 10 As a result, the percentage of the weight of the VWO Fund and the EEM Fund represented by South Korean securities now renders both the VWO Fund and the EEM Fund compliant with the Exchange's Listing Standards requirements. 10 The KRX was created on January 27, 2005 through the consolidation of three domestic Korean exchanges: Korea Stock Exchange (KSE), KOSDAQ Market and Korea Futures Market (KOFEX). *See http://eng.krx.co.kr/index.html.* 2. Statutory Basis The Exchange believes the proposed rule change is consistent with the Act and the rules and regulations under the Act applicable to a national securities exchange and, in particular, the requirements of Section 6(b) of the Act. 11 Specifically, the Exchange believes the proposed rule change is consistent with the Section 6(b)(5) Act 12 requirements that the rules of an exchange be designed to promote just and equitable principles of trade, to prevent fraudulent and manipulative acts and, in general, to protect investors and the public interest. 11 15 U.S.C. 78f(b). 12 15 U.S.C. 78f(b)(5). B. Self-Regulatory Organization's Statement on Burden on Competition CBOE does not believe that the proposed rule change will impose any burden on competition 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 The Exchange neither solicited nor received comments on the proposal. III. Date of Effectiveness of the Proposed Rule Change and Timing for Commission Action Because the proposed rule change constitutes a stated policy, practice, or interpretation with respect to the meaning, administration, or enforcement of an existing rule, the proposed rule change has become effective pursuant to Section 19(b)(3)(A) of the Act 13 and subparagraph (f)(1) of Rule 19b-4 thereunder. 14 13 15 U.S.C. 78s(b)(3)(A). 14 17 CFR 240.19b-4(f)(1). 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 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 Number SR-CBOE-2007-111 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-CBOE-2007-111. 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 CBOE. 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-CBOE-2007-111 and should be submitted on or before October 15, 2007. For the Commission, by the Division of Market Regulation, pursuant to delegated authority. 15 Florence E. Harmon, Deputy Secretary. 15 17 CFR 200.30-3(a)(12). [FR Doc. E7-18728 Filed 9-21-07; 8:45 am] BILLING CODE 8010-01-P SECURITIES AND EXCHANGE COMMISSION [Release No. 34-56449; File No. SR-CBOE-2007-52] Self-Regulatory Organizations; Chicago Board Options Exchange, Incorporated; Notice of Filing of a Proposed Rule Change as Modified by Amendment No. 1 Thereto Relating to $1 Strikes for VXD and VXN Options and $1 Strikes for RVX, VIX, VXD and VXN LEAPs September 17, 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 July 11, 2007, the Chicago Board Options Exchange, Incorporated (“Exchange” or “CBOE”) 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 Exchange. On August 20, 2007, CBOE filed Amendment No. 1 to the proposed rule change. The Commission is publishing this notice to solicit comments on the proposed rule change, as amended, from interested persons. 1 15 U.S.C. 78s(b)(1). 2 17 CFR 240.19b-4. I. Self-Regulatory Organization's Statement of the Terms of Substance of the Proposed Rule Change CBOE proposes rules that would permit the Exchange to:
(i)List and trade CBOE Dow Jones Industrial Average Volatility Index (“VXD”) options and Nasdaq-100 Volatility Index (“VXN”) options in $1 strike price intervals; and
(ii)list and trade CBOE Russell 2000 Volatility Index (“RVX”), VXD, VXN and CBOE Volatility Index (“VIX”) LEAPs in $1 strike price intervals. The text of the rule proposal is available on the Exchange's Web site ( *http://www.cboe.org/legal* ), at the Exchange's Office of the Secretary and at the Commission. II. Self-Regulatory Organization's Statement of the Purpose of, and Statutory Basis for, the Proposed Rule Change In its filing with the Commission, CBOE 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. CBOE 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 purpose of the proposed rule change is to permit the Exchange to list and trade options on the CBOE Dow Jones Industrial Average Volatility Index (“VXD”) and the Nasdaq-100 Volatility Index (“VXN”) in $1 strike price intervals within certain parameters described below. 3 Additionally, the rule change proposes to permit the Exchange to list and trade CBOE Russell Volatility Index (“RVX”), CBOE Volatility Index (“VIX”), VXD, and VXN LEAPs in $1 strike price intervals within certain parameters also described below. 3 The SEC previously approved the listing and trading of VXD and VXN options, which the Exchange anticipates trading shortly. *See* Securities Exchange Act Release No. 49563 (April 14, 2004), 69 FR 21589 (April 21, 2004) (approving SR-CBOE-2003-40). $1 Strikes for VXD and VXN Options Similar to other volatility indexes, VXD and VXN are calculated using real- time quotes of out-of-the-money and at-the-money and second nearly index puts and calls on the Dow Jones Industrial Index (“DJIA”) and the Nasdaq-100 Index (“NDX”) respectively. VXD and VXN are quoted in absolute numbers that represent the volatility of the DJIA and the NDX respectively in percentage points per annum. For example, a VXD level of 11.63 (the closing value of the VXD on April 26, 2007) represents an annualized volatility of 11.637% in the DJIA Index and a VXN level of 15.97 (the closing value of the VXN on April 26, 2007) represents an annualized volatility of 15.77% in the NDX. As with other proprietary CBOE volatility indexes, VXD and VXN levels fluctuate quite differently than individual equity securities or indexes of individual equity securities. Specifically, indexes such as VXD and VXN that track volatility are “mean-reverting,” a statistical term used to describe a strong tendency for the volatility index to move toward its long-term historical average level. In other words, at historically low volatility index levels, there is a higher probability that the next big move will be up rather than down. Conversely, at historically high volatility index levels, the next big move is more likely to be down rather than up. Thus, as exemplified by VXD and VXN, volatility indexes tend to move within set ranges, and even when a level moves outside that range, the tendency towards mean-reversion often results in the volatility index returning to a level within the range. In the case of VXD, the historical average index value since January 2, 2002 is 16.92. Since January 2002, VXD has fluctuated in a range between 9.28 and 41.85. Furthermore, VXD closed under 25 for 85% of the days on which the level was calculated since 2002 (1,171 days out of a total of 1,372 days) and has closed under 30 for 91% of the days on which the level was calculated since 2002 (1,245 days out of a total of 1,372 days). VXD has closed between 10 and 25 for 82% of the days on which the level was calculated since 2002 (1,130 days out of a total of 1,372 days). In the case of VXN, the historical average index value since January 2, 2002 is 26.14. Since January 2002, VXN has fluctuated in a range between 12.61 and 60.66. Furthermore, VXN closed under 25 for 61% of the days on which the level was calculated since 2002 (822 days out of a total of 1,355 days) and has closed under 30 for 73% of the days on which the level was calculated since 2002 (987 days out of a total of 1,355 days). VXN has closed between 15 and 30 for 66% of the days on which the level was calculated since 2002 (895 days out of a total of 1,355 days). Because of the generally limited range in which VXD and VXN have fluctuated, the Exchange believes that investors will be better served if the Exchange is able to list $1 strike price intervals in VXD and VXN option series. To address this, the Exchange is proposing to list series at $1 or greater strike price intervals for each expiration on up to 5 VXD and VXN option series above and 5 VXD and VXN option series below the current index level. 4 Additional series at $1.00 or greater strike price internals could be listed for each expiration as the current index levels of VXD and VXD, respectively, move from the exercise price of the VXD and VXN options series that already have been opened for trading on the Exchange in order to maintain at least 5 VXD and VXD option series above and 5 VXD and VXN option series below the current index levels respectively. As the current index level of RVX, VIX, VXD and VXN moves from the exercise price of those RVX, VIX, VXD and VXN options and LEAPs series that already have been opened for trading on the Exchange, the Exchange may open for trading additional series at $1.00 or greater strike price intervals for each expiration on up to 5 RVX, VIX, VXD and VXN option and LEAPs series above and 5 RVX, VIX, VXD and VXN option and LEAPs series below the current index level. 4 The Commission previously approved the listing of VIX and RVX options at $1 strike intervals. *See* Securities Exchange Act Release No. 54192 (July 21, 2006), 71 FR 43251 (July 31, 2006) (approving SR-CBOE-2006-27); *see also* Securities Exchange Act Release No. 55425 (March 8, 2007), 72 FR 12238 (March 15, 2007) (approving SR-CBOE-2006-73). For purposes of adding strike prices at $1.00 or greater strike price intervals, as well as at $2.50 or greater strike price intervals, the “current index level” would be defined as the “implied forward level” of VXN and VXD for each expiration. 5 The Exchange believes that the $1 strike price intervals will more closely bracket the levels of VXN and VXD when it remains locked within a static range, as currently exists, and will enable investors to assume more dynamic volatility index option positions that reflect greater possibilities of settling in-the-month. 5 With respect to $2.50 or greater strikes, the $2.50 or greater strike price intervals will be reasonably related to the current index value of VXN and VXD at or about the time such series are first opened for trading. The term “reasonably related to the current index value of the underlying index” means that the exercise price is within 30% of the current index value. The Exchange may also open additional $2.50 or greater strike price series that are more than 30% away from the current index value, provided that demonstrated customer interest exists for such series, as expressed by institutional, corporate, or individual customers or their brokers. See Interpretations and Policies .01(d) and .04 of Rule 24.9. The Exchange intends to determine implied forward levels of VXN and VXD through the use of VXN and VXD futures prices respectively. Its reasons for using this approach are explained below. By way of background, option prices reflect the market's expectation of the price of the underlying at expiration, which is referred to as the “forward” level. For stock indexes such as the DJIA and the NDX, the best estimate of the forward level is the current, or “spot,” price adjusted for the “carry,” which is the financing cost of owning the component stocks in the index less the dividends paid by those stocks. For volatility indexes such as VXD and VXN, a better estimate than the standard “cash and carry” model for calculating the forward levels of VXN and VXD at each expiration is reflected in the prices of the options that will be used to calculate VXN and VXD on that expiration day. For example, December 2007 DJIA options will be used to calculate VXD on the November 2007 VXD expiration date. Likewise, February 2008 VXN options are tied to the implied volatility of March 2008 NDX options, and so on. One important property of implied volatility is that it exhibits a “term structure.” In other words, the implied volatility of options expiring on different dates can trade at different levels and can move independently. Another property related to the term structure is that implied volatility tends to trend toward the market's expectation of a long-term “average” value. As a result, a large spike in one-month implied volatility might not affect implied volatility of longer-dated options very much at all. The Exchange states that the VXD futures contract and the VXN futures contract were first listed for trading on CBOE Futures Exchange, LLC (“CFE”) on March 26, 2004 and July 6, 2007, respectively. 6 The Exchange believes that traders will likely use VXD and VXN futures prices as a proxy for forward VXD and VXN levels. CBOE believes that using these prices is an accurate and transparent method for determining the “current index level” used to center the limited range in which $1 or greater strikes in VXD and VXN options will be listed and the broader range in which $2.50 or greater strikes in VXD and VXN options will be listed. 6 The VIX futures contract was first listed for trading on CFE on March 26, 2004 and the RVX futures contract was first listed for trading on CFE on July 6, 2007. Additionally, the Exchange is proposing that it would not list series with $1 intervals within $0.50 of an existing $2.50 strike price with the same expiration month ( *e.g.* , if there is an existing 12.50 strike, the Exchange would not list a 12 or 13 strike). $1 Strike LEAPs for RVX, VIX, VXN and VXD. Similar to the rationale advanced for $1 strikes for options, the Exchange is proposing rules to permit $1 strike intervals for RVX, VIX, VXD and VXN LEAPs. Typically, LEAPs strike prices moves in increments of $2.50 and $5.00 and such incremental pricing is suited for long-term contracts on traditional equity and stock index products. However, as discussed above, the levels of volatility indexes fluctuate quite differently than equities and stock indexes. As a “mean-reverting” product, volatility indexes gravitate towards their historical average levels; thus, limiting the range of movement. As with volatility index options, the Exchange is proposing to list series at $1 or greater strike price intervals for each expiration on up to 5 RVX, VIX, VXD and VXN LEAPs series above and 5 RVX, VIX, VXD and VXN LEAPs series below the current index level. As the current index level of RVX, VIX, VXD and VXN moves from the exercise price of those RVX, VIX, VXD and VXN options and LEAPs series that already have been opened for trading on the Exchange, the Exchange may open for trading additional series at $1.00 or greater strike price intervals for each expiration on up to 5 RVX, VIX, VXD and VXN option and LEAPs series above and 5 RVX, VIX, VXD and VXN option and LEAPs series below the current index level. For purposes of adding strike prices at $1.00 or greater strike price intervals, as well as at $2.50 or greater strike price intervals, the “current index level” would be defined as the “implied forward level” of RVX, VIX, VXN and VXD for each expiration. Capacity CBOE has analyzed its capacity and represents that it believes the Exchange and the Options Price Reporting Authority have the necessary systems capacity to handle the additional traffic associated with the listing and trading of the $1 strikes for VXD and VXN option and of the $1 strikes for RVX, VIX, VXD and VXN LEAPs. 2. Statutory Basis The Exchange believes this rule proposal is consistent with the Act and the rules and regulations under the Act applicable to a national securities exchange and, in particular, the requirements of Section 6(b) of the Act. 7 Specifically, the Exchange believes that the proposed rule change is consistent with the Section 6(b)(5) Act 8 requirements that the rules of an exchange be designed to promote just and equitable principles of trade, to prevent fraudulent and manipulative acts and, in general, to protect investors and the public interest. 7 15 U.S.C. 78f(b). 8 15 U.S.C. 78f(b)(5). B. Self-Regulatory Organization's Statement on Burden on Competition CBOE does not believe that the proposed rule change will impose any burden on competition not necessary or appropriate in furtherance of purposes of the Act. C. Self-Regulatory Organization's Statement on Comments on the Proposed Rule Change Received From Members, Participants or Others The Exchange neither solicited nor received comments on the proposal. III. Date of Effectiveness of the Proposed Rule Change and Timing for Commission Action Within 35 days of the date of publication of this notice in the **Federal Register** or within such longer period
(i)as the Commission may designate up to 90 days of such date if it finds such longer period to be appropriate and publishes its reasons for so finding or
(ii)as to which the self-regulatory organization consents, the Commission will:
(A)By order approve such proposed rule change, or
(B)Institute proceedings to determine whether the proposed rule change should be disapproved. 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-CBOE-2007-52 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-CBOE-2007-52. 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 am and 3 pm. Copies of such filing also will be available for inspection and copying at the principal office of CBOE. 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-CBOE-2007-52 and should be submitted on or before October 15, 2007.. For the Commission, by the Division of Market Regulation, pursuant to delegated authority. 9 9 17 CFR 200.30-3(a)(12). Florence E. Harmon, Deputy Secretary. [FR Doc. E7-18729 Filed 9-21-07; 8:45 am] BILLING CODE 8010-01-P SECURITIES AND EXCHANGE COMMISSION [Release No. 34-56458; File No. SR-CBOE-2007-107] Self-Regulatory Organizations; Chicago Board Options Exchange, Incorporated; Notice of Filing and Immediate Effectiveness of Proposed Rule Change Regarding Continuation of Temporary Membership Status From and After Commission Approval of a Pending Rule Interpretation Concerning Exercise Right Eligibility September 18, 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 September 10, 2007, the Chicago Board Options Exchange, Incorporated (“CBOE” 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 the CBOE. The Exchange has designated this proposal as one constituting a stated policy, practice, or interpretation with respect to the meaning, administration, or enforcement of an existing rule under Section 19(b)(3)(A)(i) of the Act 3 and Rule 19b-4(f)(1) 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. 1 15 U.S.C. 78s(b)(1). 2 17 CFR 240.19b-4. 3 15 U.S.C. 78s(b)(3)(A)(i). 4 17 CFR 240.19b-4(f)(1). I. Self-Regulatory Organization's Statement of the Terms of Substance of the Proposed Rule Change CBOE proposes to adopt new Interpretation and Policy .02 of CBOE Rule 3.19 that continues the temporary membership status provided to certain persons under existing Interpretation and Policy .01 of CBOE Rule 3.19 from and after any approval of SR-CBOE-2006-106. 5 The text of proposed Interpretation and Policy .02 of CBOE Rule 3.19 is set forth below (since Interpretation and Policy .02 of CBOE Rule 3.19 is completely new, its text is *italicized* ). 5 *See* Securities Exchange Act Release No. 55190 (January 29, 2007), 72 FR 5472 (February 6, 2007). The Exchange filed SR-CBOE-2006-106 on December 12, 2006. On January 17, 2007, the Exchange filed Amendment No. 1 to the proposed rule change. Numerous comments were received, and the Exchange responded to those comments on June 15, 2007. On June 29, 2007, the Exchange filed a partial amendment, Amendment No. 2, to the proposed rule change. Chicago Board Options Exchange, Incorporated Rules Rule 3.19. No change. * * * *Interpretations and Policies:* .01 No change. .02 *A person (“Temporary Member”) who has been granted temporary membership (“Temporary Membership”) status at the Exchange pursuant to Interpretation and Policy .01 of this Rule 3.19 shall continue in that Temporary Membership status after the Commission's approval of SR-CBOE-2006-106, if and only if such person
(i)has not previously terminated that Temporary Membership status and remains in good standing as of the close of business on the trading day immediately before the date of that approval,
(ii)thereafter remains in good standing and continues to pay all applicable fees, dues, assessments and other like charges that are assessed against CBOE members, and
(iii)pays to the Exchange a monthly access fee set by the Exchange, which shall be due and payable in accordance with the provisions of the Exchange Fee Schedule. Such access fee shall be paid directly to the Exchange and shall not be escrowed.* *The Temporary Membership status granted to a Temporary Member pursuant to this Interpretation and Policy .02 shall terminate upon the earlier of
(i)the voluntary termination of that Temporary Membership status by the Temporary Member,
(ii)the approval by the Commission of a further proposed rule change that provides for the termination of that status and the granting of trading permits or another form of trading access to Temporary Members, or
(iii)the consummation of a transaction pursuant to which either CBOE is converted into a stock corporation or memberships in CBOE are converted into stock. Temporary Members shall be subject to the regulatory jurisdiction of CBOE under the Act, the Constitution and the Rules, including CBOE's disciplinary jurisdiction under Chapter XVII.* II. Self-Regulatory Organization's Statement of the Purpose of, and Statutory Basis for, the Proposed Rule Change In its filing with the Commission, CBOE 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. CBOE 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 filed this proposed rule change with the Commission to continue the temporary membership (“Temporary Membership”) status, including trading access, of persons (“Temporary Members”) who currently enjoy that status pursuant to Interpretation and Policy .01 of CBOE Rule 3.19 from and after the time their current Temporary Membership status would otherwise terminate if the Commission were to approve SR-CBOE-2006-106. The underlying purpose of this proposed rule change is to ensure fair and orderly markets at the Exchange when as many as 229 former exerciser members cease to be eligible to remain members of the Exchange under Interpretation and Policy .01 of CBOE Rule 3.19, upon an approval of SR-CBOE-2006-106 by the Commission. 6 6 According to the Exchange, there currently are 229 former exerciser members that qualify for temporary membership status under Interpretation and Policy .01 of CBOE Rule 3.19. Continuation of Temporary Membership Status In SR-CBOE-2006-106, CBOE proposed an interpretation of paragraph
(b)of Article Fifth of the CBOE Certificate of Incorporation (“Article Fifth(b)”) to address the impact of the then-proposed acquisition of The Board of Trade of the City of Chicago, Inc. (“CBOT”) by Chicago Mercantile Exchange Holdings Inc. (“CME Holdings”) on the eligibility of persons who were members of CBOE (“exerciser members”) pursuant to Article Fifth(b) (the right provided under this provision is sometimes referred to as the “exercise right”). 7 Under that interpretation, the consummation of the CME/CBOT Transaction resulted in no person any longer qualifying as a member of the CBOT within the meaning of Article Fifth(b) and therefore resulted in the elimination of any person's eligibility to qualify thereafter to become or remain an exerciser member of the Exchange. Thus, if the Commission were to approve SR-CBOE-2006-106, and in the absence of any provision for continuing the membership status of such persons on a temporary basis after that approval, former exerciser members would cease to be entitled, among other things, to trade on the Exchange. 7 CME Holdings proposed to acquire CBOT by merging CME Holdings with CBOT Holdings, Inc. (“CBOT Holdings”), of which CBOT was a wholly-owned subsidiary (the “CME/CBOT Transaction”). The CME/CBOT Transaction was consummated on July 12, 2007. In SR-CBOE-2006-106, the Exchange stated that it was prepared to maintain the status quo for some period of time after the exercise right was terminated, in order to control the risk that the loss of exerciser members upon the termination of the exercise right might adversely affect liquidity in CBOE's market. The Exchange also stated that this result would be accomplished by staying, for an interim period of time, the impact of the termination of the exercise right on the trading access of those individuals who were exerciser members of CBOE on a designated cut-off date, and that this action would permit those individuals to continue to trade on CBOE in the capacity of CBOE members during that interim period. The Exchange indicated that this decision to stay the effectiveness of what otherwise would result in a termination of trading access was analogous to the right of the Exchange under CBOE Rule 3.19. The Exchange also indicated that this interim period would continue for so long as necessary to avoid any disruption to the market as a result of the loss of exerciser members, which could involve the Exchange adopting a plan to provide some form of trading access to such persons in the absence of the exercise right. In other words, the Exchange envisioned that this interim period would start upon the approval of SR-CBOE-2006-106, with the Exchange initially maintaining the status quo for former exerciser members, and could eventually involve the adoption of a plan to provide some form of trading access to former exerciser members through trading permits or some other form of substitute trading access rights, at which point the interim period would terminate and trading access would be provided under such substitute trading access rights. SR-CBOE-2006-106 contemplated that any such substitute trading access rights would require the approval of CBOE members under Section 2.1 of the Exchange's Constitution, and would be subject to the approval of the Commission under Section 19(b) of the Act. 8 8 15 U.S.C. 78s(b). While SR-CBOE-2006-106 was pending before the Commission, the Exchange was faced with a situation that was not addressed in that filing, when the CME/CBOT Transaction was consummated before the Commission had acted on SR-CBOE-2006-106. In response to that impending situation, the Exchange adopted Interpretation and Policy .01 of CBOE Rule 3.19 to provide temporary trading access to certain former exerciser members. Under that interpretation, these Temporary Members have been granted continued membership status on a temporary basis—including the right to trade—following the consummation of the CME/CBOT Transaction on July 12, 2007. However, under the express terms of that interpretation, that Temporary Membership status will terminate upon any approval of SR-CBOE-2006-106. 9 The Exchange also indicated in the rule filing adopting Interpretation and Policy .01 that, as contemplated in SR-CBOE-2006-106, there would be a different temporary access plan to address transitional issues that would arise from the approval of SR-CBOE-2006-106. 10 9 Interpretation and Policy .01 allows a Temporary Member to maintain Temporary Membership status at the Exchange if and only if such person
(i)remains in good standing and continues to pay all applicable fees, dues, assessments and other like charges that are assessed against CBOE members, and
(ii)pays to the Exchange a monthly access fee. A person who has voluntarily terminated a Temporary Membership is no longer a member in good standing, and consequently would cease to be eligible for the Temporary Membership status provided under that interpretation. If that person seeks to access the Exchange as a member of the Exchange after such a termination, that person will need to lease or purchase a transferable Exchange membership. 10 *See* Securities Exchange Act Release No. 56016 (July 5, 2007), 72 FR 38106 (July 12, 2007) (SR-CBOE-2007-77). The Exchange is filing this proposed rule change to implement its original intention, as reflected in SR-CBOE-2006-106, to maintain the status quo for former exerciser members by providing them with an interim period of trading access after the approval of that filing. The Exchange believes that this rule change is appropriate to prevent any disruption that might occur in the Exchange's markets if former exerciser members suddenly lost all rights to trade on the Exchange if the Commission were to approve SR-CBOE-2006-106. To avoid the possibility of such a disruption, the Exchange proposes to provide interim trading access by adopting Interpretation and Policy .02 of CBOE Rule 3.19. This interpretation will extend the Temporary Membership status provided to Temporary Members under Interpretation and Policy .01 of CBOE Rule 3.19. 11 Under Interpretation and Policy .02, this Temporary Membership status will be conditioned on the Temporary Member:
(i)Not having previously terminated that Temporary Membership status and thereafter remaining in good standing,
(ii)continuing to pay all applicable fees, dues, assessments and other like charges that are assessed against CBOE members, and
(iii)paying to the Exchange a monthly access fee. 12 11 As long as they remain Temporary Members, these persons will continue to possess all of the rights, and be subject to all of the obligations, of exerciser members prior to the CME/CBOT Transaction. 12 Interpretation and Policy .01 of CBOE Rule 3.19 requires, among other things, persons to have been exerciser members of the Exchange as of July 1, 2007 to qualify for the Temporary Membership status provided under that interpretation. This cut-off date was chosen to ensure that only those persons who had a *bona fide* interest in trading on CBOE qualified for the Temporary Membership status in Interpretation and Policy .01. For this reason, as well as the reasons given for adopting Interpretation and Policy .01, the Exchange believes that this cut-off date also is appropriate for Interpretation and Policy .02. The interim trading access plan contained in Interpretation and Policy .02 of CBOE Rule 3.19 addresses the extenuating circumstances that would be faced by the Exchange if SR-CBOE-2006-106 were approved and, by virtue of that approval, Interpretation and Policy .01 of Rule 3.19 ceases to apply. Although the Exchange in SR-CBOE-2006-106 indicated that its decision to stay the effectiveness of the termination of trading access upon the approval of that filing was “analogous” to the right of the Exchange under CBOE Rule 3.19, the Exchange subsequently has determined that it is appropriate to rely on CBOE Rule 3.19 itself to provide trading access to Temporary Members. Rule 3.19 allows the Exchange, if the Exchange finds extenuating circumstances, to permit a member to retain the member's membership status for such period of time as the Exchange deems reasonably necessary to enable that person to obtain a membership under those extenuating circumstances. Because the Exchange's goal in providing interim trading access under Interpretation and Policy .02 of CBOE Rule 3.19 is to avoid any disruption to the Exchange's markets as a result of the sudden loss of Temporary Members, the Exchange proposes to continue the Temporary Membership status of Temporary Members without requiring any action by them and without requiring that they hold any particular interests in CBOT. Rather, the Exchange will determine who is an eligible Temporary Member under the provisions of this interpretation and will take appropriate action to ensure that those persons retain their Temporary Membership status. Of course, Temporary Members will be subject to the regulatory jurisdiction of CBOE under the Act, the Constitution and the Rules, including CBOE's disciplinary jurisdiction under Chapter XVII. The Exchange states that Interpretation and Policy .02 of CBOE Rule 3.19 does not trigger the membership vote provision found in Section 2.1 of the Exchange's Constitution. That provision applies only when the Exchange issues “new” memberships. In contrast, Interpretation and Policy .02 temporarily preserves the membership rights of existing Temporary Members if and as of the time that the Commission approves SR-CBOE-2006-106. Because the interpretation would not create any new memberships or trading rights, no membership approval is required under Section 2.1 of the Exchange's Constitution or otherwise. Duration of Temporary Membership Status CBOE Rule 3.19 provides CBOE with the authority to allow members to retain their membership status for such time as is reasonably necessary for such persons to obtain a membership under the extenuating circumstances that necessitated application of CBOE Rule 3.19. There are several extenuating circumstances that would continue to exist if the Commission were to approve SR-CBOE-2006-106. Most importantly, but for Interpretation and Policy .02 of CBOE Rule 3.19, any approval of SR-CBOE-2006-106 would cause the sudden loss of as many as 229 Temporary Members who then would be providing liquidity to the Exchange's markets. 13 In addition, there is a strong likelihood that there will be an insufficient number of transferable Exchange memberships available for purchase or lease by Temporary Members upon that approval. In accordance with its original plan, as reflected in SR-CBOE-2006-106, the Exchange intends to offer trading permits or some other form of substitute trading access rights to Temporary Members after the approval of SR-CBOE-2006-106. However, given the current legal controversy surrounding the effect of that approval on the rights claimed by former exerciser members and by persons who assert the right to become exerciser members, 14 the Exchange does not believe it is possible at this time to formulate prudently such a trading rights plan and to submit it for Exchange membership approval, as required under Section 2.1 of the Exchange's Constitution. Instead, the Exchange intends to design that trading access rights plan after Commission approval of SR-CBOE-2006-106 should such approval be given, and possibly other developments, provide the Exchange with appropriate guidance about the legal backdrop that may affect the structure of that trading access rights plan. In light of these extenuating circumstances, the Exchange believes that it is reasonably necessary for Temporary Memberships to continue in place until such a well-defined trading access rights plan could be developed and put in place if the Commission were to approve SR-CBOE-2006-106. Accordingly, under Interpretation and Policy .02 of CBOE Rule 3.19, the Temporary Membership status granted to a Temporary Member would continue, absent voluntary termination of that Temporary Membership status by the Temporary Member, until the earlier of
(i)the approval by the Commission of a further proposed rule change that provides for the termination of that status and for the granting of trading permits or other form of substitute trading access rights to Temporary Members or
(ii)the consummation of a transaction pursuant to which either CBOE is converted into a stock corporation or memberships in CBOE are converted into stock (collectively, a “Demutualization Transaction”). Each of these events would grant trading permits or other form of substitute trading access rights to Temporary Members, and each would be subject to the approval of CBOE members under Section 2.1 of the Exchange's Constitution and to the approval of the Commission under Section 19(b) of the Act. 15 13 According to the Exchange, as of September 6, 2007, approximately 17 of these Temporary Members were registered to trade on behalf of Designated Primary Market-Makers (“DPMs”), while 154 of them were registered to trade as Market-Makers, and 46 were registered to trade as either Remote Market-Makers or on behalf of Electronic DPMs. 14 In current litigation, purported representatives of such persons have claimed that their rights survive the CME/CBOT Transaction and would not be affected by approval of SR-CBOE-2006-106. 15 15 U.S.C. 78s(b). Trading Access Fees Currently, pursuant to Interpretation and Policy .01 of CBOE Rule 3.19 and the Exchange Fee Schedule, Temporary Members are required to pay a monthly access fee of $4700 per month. 16 The amount of this fee was based on the then-current monthly lease fees being paid to lessors of the interest that CBOT denominates as a full CBOT membership, as reflected in published lease fee information. Because the Commission has not yet determined whether to approve SR-CBOE-2006-106, those fees are being held in an interest-bearing escrow account maintained by the Exchange, and will be distributed in a manner consistent with any Commission action on SR-CBOE-2006-106. 17 16 *See* Securities Exchange Act Release No. 56197 (August 3, 2007), 72 FR 44897 (August 9, 2007) (SR-CBOE-2007-91). 17 Under its proposed rule change, the Exchange would retain the access fees if the Commission approves SR-CBOE-2006-106, and the fees would be returned to the payor with interest if the Commission disapproves SR-CBOE-2006-106. *See* Securities Exchange Act Release No. 56016 (July 5, 2007), 72 FR 38106 (July 12, 2007) (SR-CBOE-2007-77). If the Commission approves SR-CBOE-2006-106, former exerciser members no longer would have any right of trading access in the capacity of an exerciser member. However, pursuant to Interpretation and Policy .02, they would continue to have trading access to the Exchange as Temporary Members. Accordingly, it is appropriate that these persons pay the Exchange a fee for the temporary continued trading access that they will be granted, and an escrow no longer will be appropriate because the Commission will have approved SR-CBOE-2006-106. The Exchange therefore proposes that these monthly access fees be paid directly to the Exchange and that they not be escrowed. The Exchange will modify the amount of the monthly access fee if SR-CBOE-2006-106 is approved. In this regard, absent Interpretation and Policy .02 of CBOE Rule 3.19, Temporary Members would need to lease (or purchase) transferable Exchange memberships to continue to have trading access to the Exchange after the approval of SR-CBOE-2006-106. The Exchange therefore believes that the appropriate amount of the monthly access fee after such approval should be an amount reasonably related to the current lease market rate for transferable Exchange memberships. The Exchange will file a rule change relating to that amount in a separate proposed rule change that will be filed with the Commission under Section 19(b)(3)(A) of the Act. 18 18 15 U.S.C. 78s(b)(3)(A). Filing Pursuant to Section 19(b)(3)(A) of the Act 19 The Exchange is filing Interpretation and Policy .02 of CBOE Rule 3.19 pursuant to Section 19(b)(3)(A) of the Act. 20 As was the case in respect of Interpretation and Policy .01, Interpretation and Policy +.02 constitutes a stated policy, practice, or interpretation with respect to the meaning, administration, or enforcement of an existing rule and therefore qualifies for filing under Section 19(b)(3)(A). 21 According to Commission Rule 19b-4(b)(2)(ii), 22 a “stated policy, practice or interpretation” means, among other things, “[a]ny statement made generally available to the membership of * * * or to persons having or seeking access * * * to the facilities of [the Exchange] * * * with respect to * * * the meaning * * * of an existing rule.” Interpretation and Policy .02 of CBOE Rule 3.19 is such a statement made to the entire membership of CBOE, and to those who are “seeking access” to CBOE, “with respect to the meaning of an existing rule”—namely, CBOE Rule 3.19. CBOE Rule 3.19 provides in general for the temporary continuation of a person's membership status when that membership status is lost under “extenuating circumstances” and provides that the membership status may be continued for a period of time that the Exchange determines to be “reasonably necessary” to allow a substitute membership to be obtained. Interpretation and Policy .02 applies those general standards to the present situation. In particular, as more fully set forth above, the interpretation identifies several circumstances that would exist if the Commission were to approve SR-CBOE-2006-106 as qualifying as “extenuating circumstances” that make it appropriate to allow Temporary Members to continue in that membership status after that approval. In addition, the interpretation construes the duration of that continued Temporary Membership status that is “reasonably necessary” in light of those extenuating circumstances. The interpretation of those elements of CBOE Rule 3.19 is an interpretation of the “meaning of an existing rule” and therefore is appropriately submitted under Section 19(b)(3)(A). 23 19 15 U.S.C. 78s(b)(3)(A). 20 15 U.S.C. 78s(b)(3)(A). 21 15 U.S.C. 78s(b)(3)(A). 22 17 CFR 240.19b-4(b)(2)(ii). 23 15 U.S.C. 78s(b)(3)(A). Although the proposed rule change will be effective upon filing, it will not become operative, in accordance with its terms, unless the Commission were to approve SR-CBOE-2006-106. Accordingly, the actual implementation of Interpretation and Policy .02 of CBOE Rule 3.19 is dependent on Commission action on SR-CBOE-2006-106. General Reasons Supporting the Proposed Rule Change The Exchange believes that the proposed rule change preserves fair and orderly markets at CBOE by avoiding the sudden loss of as many as 229 Temporary Members who presently are contributing liquidity to CBOE's markets. Moreover, the proposed rule change treats these Temporary Members fairly by avoiding the immediate termination of their trading access on the Exchange upon the approval of SR-CBOE-2006-106. 2. Statutory Basis For the reasons discussed above, the Exchange believes that the proposed rule change is consistent with Section 6(b) of the Act, 24 in general, and furthers the particular objectives of Section 6(b)(5) of the Act. 25 In particular, the proposed rule change is designed to promote just and equitable principles of trade, to remove impediments to, and perfect the mechanism of a free and open market, and, in general, to protect investors and the public interest. 24 15 U.S.C. 78f(b). 25 15 U.S.C. 78f(b)(5). 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 foregoing rule change has become effective pursuant to Section 19(b)(3)(A) of the Act 26 and paragraph
(f)of Rule 19b-4 thereunder. 27 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. 26 15 U.S.C. 78s(b)(3)(A). 27 17 CFR 240.19b-4(f). 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-CBOE-2007-107 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-CBOE-2007-107. 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, on official business days between the hours of 10 am and 3 pm. Copies of the filing also will be available for inspection and copying at the principal office of CBOE. 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-CBOE-2007-107 and should be submitted on or before October 15, 2007. 28 17 CFR 200.30-3(a)(12). For the Commission, by the Division of Market Regulation, pursuant to delegated authority. 28 Florence E. Harmon, Deputy Secretary. [FR Doc. E7-18730 Filed 9-21-07; 8:45 am] BILLING CODE 8010-01-P SECURITIES AND EXCHANGE COMMISSION [Release No. 34-56456; File No. SR-NYSE-2007-79] Self-Regulatory Organizations; New York Stock Exchange LLC; Notice of Filing and Immediate Effectiveness of Proposed Rule Change Tto Amend the Fee Charged to Member Organizations for Maintenance of Exchange-Issued Cellular Phones September 18, 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 August 30, 2007, the New York Stock Exchange LLC (“Exchange” or “NYSE”) 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 Exchange has designated this proposal as one establishing or changing a due, fee, or other charge applicable only to a member 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. 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). I. Self-Regulatory Organization's Statement of the Terms of Substance of the Proposed Rule Change The Exchange proposes to reduce, effective September 1, 2007, the annual ongoing maintenance fee paid by Member Organizations using Exchange-issued cellular phones on the NYSE trading floor from $2,400 to $240 per unit. The text of the proposed rule change is available at the Exchange, 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, 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 reduce, effective September 1, 2007, the annual ongoing maintenance fee paid by Member Organizations using Exchange-issued cellular phones on the NYSE trading floor from $2,400 to $240 per unit. This reduction results from the implementation of the latest generation of technology and network upgrades. All current capabilities, such as 4-digit, broker to booth dialing, and restrictions remain the same. Individual calling plans remain the choice and responsibility of the Member Organization. 2. Statutory Basis The Exchange believes that the proposed rule change is consistent with Section 6(b) of the Act 5 in general, and 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 exchange members and issuers and other persons using exchange facilities. 5 15 U.S.C. 78f(b). 6 15 U.S.C. 78f(b)(4). 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 foregoing proposed rule change has been designated as a fee change pursuant to Section 19(b)(3)(A)(ii) of the Act 7 and Rule 19b-4(f)(2) 8 thereunder, because it establishes or changes a due, fee, or other charge imposed by the Exchange. Accordingly, the proposal will take effect upon filing with the Commission. 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 or appropriate in the public interest, for the protection of investors, or otherwise in furtherance of the purposes of the Act. 7 15 U.S.C. 78s(b)(3)(A)(ii). 8 17 CFR 240.19b-4(f)(2). 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-2007-79 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-2007-79. 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 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-2007-79 and should be submitted on or before October 15, 2007. For the Commission, by the Division of Market Regulation, pursuant to delegated authority. 9 9 17 CFR 200.30-3(a)(12). Florence E. Harmon, Deputy Secretary. [FR Doc. E7-18766 Filed 9-21-07; 8:45 am] BILLING CODE 8010-01-P SMALL BUSINESS ADMINISTRATION Export Express Pilot Program AGENCY: U.S. Small Business Administration (SBA). ACTION: Notice of Pilot Program extension. SUMMARY: This notice announces the one-year extension of SBA's Export Express Pilot Program until September 30, 2008. This extension will allow time for the Agency to conclude its evaluation of this low-performing loan program for exporters. DATES: The Export Express Pilot Program is extended under this notice until September 30, 2008. FOR FURTHER INFORMATION CONTACT: Richard Ginsburg, Office of International Trade, U.S. Small Business Administration, 409 Third Street, SW., Washington, DC 20416; Telephone
(202)205-7429; *richard.ginsburg@sba.gov.* SUPPLEMENTARY INFORMATION: The Export Express Pilot Program was established in 1998 to assist current and prospective small exporters, particularly those needing revolving lines of credit. Export Express generally conforms to the streamlined procedures of SBAExpress, although it carries SBA's full 75-85 percent guaranty. The maximum loan amount under this Program is limited to $250,000. This notice announces the one-year extension of SBA's Export Express Pilot Program until September 30, 2008. Currently lenders have processed just 660 Export Express loans for the five-year period FY 2002-2006. Exports attributed to small businesses have grown from $300 billion in 2002 to $375 billion in 2006. During this time period, the number of small business exporters grew from 215,000 to 230,000, representing 97% of all U.S. exporters. In order for the Export Express loan product to reach maximum potential and serve the special capital needs of U.S. small business exporters, SBA is refocusing its efforts on Export Express and developing a strategic marketing plan to the U.S. small business community and to the Agency's lending partners. The further extension of this pilot program through September 30, 2008 will enable the Agency to determine whether Export Express should be retained or whether SBA's other programs, including SBAExpress and the Export Working Capital Program, can successfully serve the needs of small business exporters. (Authority: 13 CFR 120.3) James W. Hammersley, Acting Deputy Director, Office of Financial Assistance. [FR Doc. E7-18759 Filed 9-21-07; 8:45 am] BILLING CODE 8025-01-P SMALL BUSINESS ADMINISTRATION Audit and Financial Management Advisory Committee Pursuant to the Federal Advisory Committee Act, Appendix 2 of Title 5, United States Code, Public Law 92-463, notice is hereby given that the U.S. Small Business Administration, Audit and Financial Management Advisory Committee (AFMAC) will host a public meeting on Wednesday, October 3, 2007 at 9 a.m. The meeting will take place at the U.S. Small Business Administration, 409 3rd Street, SW., Office of the Chief Financial Officer Conference Room, 6th Floor, Washington, DC 20416. The purpose of this meeting is to discuss the SBA's FY 2007 Financial Reporting, FY 2007 Audit Findings, FY 2007 Financial Report Production and AFMAC Member Reviews, Information System Security, FY 2007 Credit Subsidy Modeling, A-123 Internal Control Program, Performance Management Framework, FY 2007 Financial and Information Systems Audits, and Performance Management. The AFMAC was established by the Administrator of the SBA to provide recommendation and advice regarding the Agency's financial management, including the financial reporting process, systems of internal controls, audit process and process for monitoring compliance with relevant laws and regulations. Anyone wishing to attend must contact Jennifer Main in writing or by fax. Jennifer Main, Chief Financial Officer, 409 3rd Street, SW., 6th Floor, Washington, DC 20416, phone:
(202)205-6449, fax:
(202)205-6969, e-mail: *Jennifer.main@sba.gov* . Raul Cisneros, Deputy Chief of Staff. [FR Doc. E7-18760 Filed 9-24-07; 8:45 am] BILLING CODE 8025-01-P DEPARTMENT OF STATE [Public Notice 5940] Culturally Significant Objects Imported for Exhibition Determinations: “The Arts of Kashmir” ACTION: Notice, correction. SUMMARY: On September 13, 2007, notice was published on page 52418 of the **Federal Register** (volume 72, number 177) of determinations made by the Department of State pertaining to the exhibit, “The Arts of Kashmir.” The referenced notice is corrected as to additional objects to be included in the exhibition. Pursuant to the authority vested in me by the Act of October 19, 1965 (79 Stat. 985; 22 U.S.C. 2459), Executive Order 12047 of March 27, 1978, the Foreign Affairs Reform and Restructuring Act of 1998 (112 Stat. 2681, *et seq.* ; 22 U.S.C. 6501 note, *et seq.* ), Delegation of Authority No. 234 of October 1, 1999, Delegation of Authority No. 236 of October 19, 1999, as amended, and Delegation of Authority No. 257 of April 15, 2003 [68 FR 19875], I hereby determine that the objects to be included in the exhibition “The Arts of Kashmir”, imported from abroad for temporary exhibition within the United States, are of cultural significance. The objects are imported pursuant to loan agreements with the foreign owners or custodians. I also determine that the exhibition or display of the exhibit objects at the Asia Society, New York, New York, from on or about October 1, 2007, until on or about January 6, 2008, and at the Cincinnati Art Museum, Cincinnati, Ohio, from on or about June 28, 2008 to on or about September 21, 2008, and at possible additional exhibitions or venues yet to be determined, is in the national interest. Public Notice of these Determinations is ordered to be published in the **Federal Register** . FOR FURTHER INFORMATION CONTACT: For further information, including a list of the exhibit objects, contact Wolodymyr Sulzynsky, Attorney-Adviser, Office of the Legal Adviser, U.S. Department of State (telephone:
(202)453-8050). The address is U.S. Department of State, SA-44, 301 4th Street, SW., Room 700, Washington, DC 20547-0001. Dated: September 18, 2007. C. Miller Crouch, Principal Deputy Assistant Secretary for Educational and Cultural Affairs, Department of State. [FR Doc. E7-18765 Filed 9-21-07; 8:45 am] BILLING CODE 4710-05-P DEPARTMENT OF STATE [Public Notice 5939] Culturally Significant Objects Imported for Exhibition Determinations: “Lawrence Weiner: As Far as the Eye Can See” SUMMARY: Notice is hereby given of the following determinations: Pursuant to the authority vested in me by the Act of October 19, 1965 (79 Stat. 985; 22 U.S.C. 2459), Executive Order 12047 of March 27, 1978, the Foreign Affairs Reform and Restructuring Act of 1998 (112 Stat. 2681, *et seq.* ; 22 U.S.C. 6501 note, *et seq.* ), Delegation of Authority No. 234 of October 1, 1999, Delegation of Authority No. 236 of October 19, 1999, as amended, and Delegation of Authority No. 257 of April 15, 2003 [68 FR 19875], I hereby determine that the object to be included in the exhibition “Lawrence Weiner: As Far as the Eye Can See,” imported from abroad for temporary exhibition within the United States, is of cultural significance. The object is imported pursuant to a loan agreement with the foreign owner or custodian. I also determine that the exhibition or display of the exhibit object at the Whitney Museum, New York, NY, from on or about November 15, 2007, until on or about February 10, 2008, and at the Museum of Contemporary Art, Los Angeles, CA, from on or about April 13, 2008, to on or about July 14, 2008, and at possible additional exhibitions or venues yet to be determined, is in the national interest. Public Notice of these Determinations is ordered to be published in the **Federal Register** . FOR FURTHER INFORMATION CONTACT: For further information, including a list of the exhibit objects, contact Carol B. Epstein, Attorney-Adviser, Office of the Legal Adviser, U.S. Department of State (telephone: 202/453-8048). The address is U.S. Department of State, SA-44, 301 4th Street, SW., Room 700, Washington, DC 20547-0001. Dated: September 17, 2007. C. Miller Crouch, Principal Deputy Assistant Secretary for Educational and Cultural Affairs, Department of State. [FR Doc. E7-18770 Filed 9-21-07; 8:45 am] BILLING CODE 4710-05-P DEPARTMENT OF TRANSPORTATION Office of the Secretary DOT's Migration to the Federal Docket Management Systems
(FDMS)AGENCY: Office of the Secretary (OST), DOT. ACTION: Notice. SUMMARY: This notice announces a service disruption to DOT's Docket Management System (DMS), which contains the public dockets for all DOT agencies (except for the Surface Transportation Board), the Transportation Security Administration (TSA), and the United States Coast Guard (USCG). (Subsequent references to ``DOT'' in this document also apply to TSA and USCG.) Effective September 30, 2007, DOT's DMS will be replaced by the Federal Docket Management System (FDMS), a government-wide, electronic docket management system. Please note that in preparation for migration, effective Thursday, September 27, 2007 at 5 p.m. DMS will no longer accept electronic comments/submissions. DMS will accept, as well as process, faxed and other paper documents up until 12 noon on Friday, September 28, 2007. If falling due during this transition, due dates for filings in rulemakings and adjudications will be delayed until October 1, 2007, unless otherwise advised by the originating office. On October 1, 2007 FDMS will begin accepting DOT-related electronic submission. At that time, it will display all open DOT dockets. Between October 1 and October 31, the remaining DOT dockets still will be accessible in DMS. By October 31, the full migration of all dockets currently in DMS is expected to be completed. The change in systems will not change any requirements in DOT regulations. FOR FURTHER INFORMATION CONTACT: Renee V. Wright, Program Manager, Docket Operations, Office of Information Services, 1200 New Jersey Avenue, SE., Washington, DC 20590; telephone number:
(202)493-0402; fax number
(202)493-2251; e-mail address: * renee.wright@dot.gov.* SUPPLEMENTARY INFORMATION: I. Background FDMS is a major component of the President's e-Rulemaking Initiative, which provides easy access to the public dockets maintained by Federal agencies, while streamlining and increasing the efficiency of the internal procedures for agencies that did not already have electronic internet-accessible systems. FDMS is designed so that the public has a single point of access to the public dockets across the Federal government. FDMS offers a standard, online procedure for Federal agencies to handle and process documents. The Initiative reduces costs by eliminating duplicative information systems and technical infrastructures. A. What Is FDMS? FDMS is a full-featured electronic docket management system that gives Federal personnel and docket managers the ability to better manage their rulemakings, adjudications, and other docketed program activities. With this system, more than thirty Federal departments and agencies can post documents, supporting materials, and public comments/submissions on the Internet and the public will have a one-stop site to search, view, and download documents, as well as to submit comments or other documents to the agency dockets. Although all Federal agencies are required to use FDMS for their rulemaking dockets, FDMS also will handle and process public docket materials for other purposes. DOT will use it for all of the material currently docketed in DMS, such as adjudications, peer review, and data quality. We will shortly add a docket subcategory for significant guidance documents. B. How Can I Access and Use FDMS? You may access FDMS on the Internet at *http://www.regulations.gov* . You may use FDMS to access available public docket materials online, as well as submit electronic comments or other documents to a particular docket available in FDMS. C. How Can I Search FDMS? You may also search for an available public docket or for particular docket material. FDMS provides two basic methods of searching to retrieve dockets and docket materials that are available in the system:
(1)“Quick Search” to search using a full-text search engine, or
(2)“Advanced Search,” which displays various indexed fields such as the docket name, docket identification number, phase of the action, initiating office, date of issuance, document title, document identification number, type of document, **Federal Register** reference, CFR citation, etc. Each data field in the advanced search may be searched independently or in combination with other fields, as desired. Each search yields a simultaneous display of all available information found in FDMS that is relevant to the requested subject or topic. D. How Can I Make Submissions to FDMS? 1. *Online.* You may submit your comments/submissions online to FDMS when a particular docket is open for public submissions. **Federal Register** notices and adjudicatory and other documents will usually identify whether a docket has been established in FDMS. FDMS also can be searched to determine if a docket has been established. Using *http://www.Regulations.gov* to submit comments or other documents is DOT's preferred method for receiving comments/submissions. Follow the online instructions for submitting comments/submissions. 2. *Mail* . Documents also may be submitted by mail to Docket Management Facility, U.S. Department of Transportation, 1200 New Jersey, SE., West Building Ground Floor, Room W12-140, Washington, DC 20590-0001. 3. *Hand-delivery* . Documents may be submitted by hand delivery or courier to West Building Ground Floor, Room W12-140, 1200 New Jersey Avenue, SE., Washington, DC between 9 a.m. and 5 p.m. ET, Monday through Friday, except Federal holidays. 4. *Fax* . Faxed submissions are accepeted at: 202-493-2251 E. How Will DOT Know Who Is Making a Submission? As with DMS, FDMS is an “anonymous access” system, which means DOT will not know your identity, e-mail address, or other contact information unless it is provided in the body of your submission. DOT rules applicable to adjudicatory submissions still apply. We recommend that you include your name, mailing address, and an e-mail address or other contact information in the body of your document to ensure that you can be identified as the submitter. This also allows DOT to contact you in the event further information is needed or if there are questions. For example, if DOT cannot read your submission due to technical difficulties and you cannot be contacted, your submission may not be considered. Note that it is DOT's policy not to edit your submission; all documents received will be posted without change to *http://www.regulations.gov* , including any personal information provided. Therefore, any identifying or contact information provided in the body of a submission will be included in the official public docket, and made available to the public. F. What Effect Will Use of FDMS Have on My Privacy? As with DMS, anyone is able to search the electronic form of all submissions entered into any of our dockets in FDMS by the name of the individual submitting the document (or signing the document, if submitted on behalf of an association, business, labor union, etc.). You may review DOT's complete Privacy Act Statement in the **Federal Register** published on April 11, 2000 (65 FR 19477-78) or you may visit *http://DocketsInfo.dot.gov* , which will be available by October 1, 2007. G. Will FDMS Offer List Serves Like DMS? FDMS will offer a list serve. Anyone who had formerly signed up for the DMS list serve will have to sign up again in FDMS to receive e-mail notifications from FDMS. We apologize for any inconvenience this will cause. Note that FDMS's list serve will only allow users to sign up for specific dockets. Users will not be able to sign up for categories of dockets, such as all FMCSA rulemakings. Users also will not be able to sign up for the subject areas currently allowed in DMS. (e.g., federalism). Some features that were available in DMS will not work in FDMS. For example, the list serve in DMS can search our Rulemaking Management System
(RMS)for data necessary to respond to a list serve request. FDMS cannot search RMS for data because it is not allowed to go behind the DOT firewall. In response to this change, to help identify matters of interest for which the public may wish to sign up in the FDMS list serve, DOT will provide some reports and other information on *http://DocketsInfo.dot.gov* . II. Migration From DMS to FDMS A. Phased Migration Using a phased approach, all dockets currently contained in DMS will be moved to FDMS. All open DOT dockets (dockets to which DOT agencies or the public may still submit documents or comments) will be available in FDMS on October 1, 2007. Due to the tremendous amount of data to be transferred from DOT DMS to FDMS, the migration of the remaining dockets will occur over the month of October and is expected to be completed by October 31, 2007. During this time, DMS will remain online for searching, viewing, and downloading documents in these remaining DOT dockets. Beginning October 1, 2007, any filing to an open docket must go to the FDMS at *http://www.Regulations.gov* . Until 12:00 noon on Friday, September 28, 2007, DMS will process all remaining September 27 electronic submissions in the pipeline, as well as any faxed or paper documents. DMS will accept, as well as process, faxed and paper documents up until 12:00 noon on Friday, September 28, 2007. Any faxed or paper submissions received after that time or not processed by 12:00 noon Friday, September 28, 2007, in DMS, will be processed on Monday, October 1 in FDMS. B. Docket ID Numbers When DOT migrates its DMS data to FDMS, docket (identification) numbers that were assigned in DMS (legacy numbers), will, for the most part, remain the same in FDMS. However, dockets that used to be designated “OST”, “RSPA”, “BTS”, and “OMCS” in DMS will change to the following: OST-2007-1486 will become DOT-OST-2007-1486. RSPA-2007-1486 will become PHMSA-RSPA-2007-1486. BTS-2007-1486 will become RITA-BTS-2007-1486. OMCS-2007-1486 will become FMCSA-OMCS-2007-1486. FDMS will provide online public access to all existing, legacy dockets in DMS. Any Docket opened after September 27, 2007, will receive a docket ID in FDMS format. C. DOT-wide Searches If you want to search all DOT agencies, including OST, for a docket, you should do so by selecting “Department of Transportation (ALL)”. D. FDMS Submissions and Docket Numbers Currently in DMS, the public may submit comments and other documents, such as applications, petitions, exemptions, waivers, and other documents without knowing the actual docket ID. In FDMS, you are not allowed to submit a document without a docket ID. To handle this, DOT will be implementing “shell dockets”. A “shell docket” will be a “catch all” for submissions, such as applications, petitions, exemptions, and/or waivers, and data quality without a docket ID. DOT staff will review the documents in the “shell docket” and file them appropriately. E. FDMS Docket Types FDMS dockets are divided into two types, ``Rulemaking'' and ``Non-Rulemaking.'' To review dockets or make submissions, please use the ``Search the Docket'' tab. Select the department or agency and use the docket type ``non-rulemaking'' for all dockets other than rulemaking; from there you can select the appropriate sub-type, such as ``Peer Review''. III. Additional Information A. Information on Use of FDMS Additional details about FDMS, as well as detailed instructions and assistance for using the system, are available at *http://www.regulations.gov* DOT will also have available online by October 1, 2007, a new site that will provide helpful information about the use of FDMS for DOT dockets. The site will also contain other helpful information, such as reports that were available on DMS but will not be available on FDMS. The site will be at *http://DocketsInfo.dot.gov.* In addition, if you are interested in attending informational sessions regarding FDMS that DOT will be offering on October 3, 2007, (2-4 pm for the public) and October 4, 2007, (9-11 am for the public) in the DOT Conference Center/Multi-Media Room, West Building, Room W11-130 at 1200 New Jersey Avenue, SE., Washington, DC. Sign up is available at *http://www.dms.dot.gov.* B. Agencies Covered This notice applies to: the Federal Aviation Administration (FAA), the National Highway Traffic Safety Administration (NHTSA), the Federal Highway Administration (FHWA), the Federal Railroad Administration (FRA), the Federal Motor Carrier Safety Administration (FMCSA), the Research and Innovative Technology Administrative (RITA), the Federal Transit Administration (FTA), the Maritime Administration (MARAD), the Pipeline and Hazardous Materials Safety Administration (PHMSA), the Saint Lawrence Seaway Development Corporation (SLSDC), and the Office of the Secretary (OST). Please note that the Transportation Security Administration
(TSA)and the United States Coast Guard
(USCG)also use DMS and their dockets will be transferring with the DOT dockets to FDMS. Renee V. Wright, Program Manager, Docket Operations. Dated: September 19, 2007. [FR Doc. 07-4709 Filed 9-19-07; 2:26 pm]
Connectionstraces to 19
Traces to 19 documents
U.S. Code
- Records maintained on individuals§ 552a
- Public information; agency rules, opinions, orders, records, and proceedings§ 552
- Occupational Safety and Health Review Commission§ 661
- Registration, responsibilities, and oversight of self-regulatory organizations§ 78s
- Definitions and application§ 78c
- National securities exchanges§ 78f
- Immunity from seizure under judicial process of cultural objects imported for temporary exhibition or display§ 2459
- Purposes§ 6501
CFR
- Use of number.§ 2200.3
- Procedures for appealing.§ 2400.7
- Procedures for statements of disagreement and notification of amendment.§ 2400.8
- Schedule of fees.§ 2400.9
- Procedures for amending personal records.§ 2400.6
- Special procedures for requesting medical records.§ 2400.5
- Delegation of authority to Director of Division of Trading and Markets.§ 200.30-3
- Pilot programs.§ 120.3
statutes-at-large
register
public-private-law
5 references not yet in our index
- 10 CFR 54
- Pub. L. 104-231
- 17 CFR 240.19
- Pub. L. 92-463
- 79 Stat. 985
Citation graph
cites case law
Rules and Regulations
Notice of addition and revision to Systems of Records
Cite10 CFR 54
Pub. L.Pub. L. 104-231
Cite17 CFR 240.19
Cites 24 · showing 12Cited by 0 across 0 sources