[Federal Register Volume 69, Number 137 (Monday, July 19, 2004)]
[Notices]
[Pages 43043-43044]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 04-16323]
-----------------------------------------------------------------------
SECURITIES AND EXCHANGE COMMISSION
[Release No. 34-50004; File No. SR-PCX-2004-53]
Self-Regulatory Organizations; Notice of Filing and Immediate
Effectiveness of Proposed Rule Change and Amendment No. 1 Thereto by
the Pacific Exchange, Inc. Relating to Changes to the Schedule of Fees
and Charges for Exchange Services
July 12, 2004.
Pursuant to Section 19(b)(1) of the Securities Exchange Act of 1934
(``Act'') \1\ and Rule 19b-4 \2\ thereunder, notice is hereby given
that on June 14, 2004, the Pacific Exchange, Inc. (``PCX'' 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 prepared by PCX. On June 30, 2004,
PCX filed Amendment No. 1 to the proposed rule change.\3\ 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.
\3\ See letter from Steven B. Matlin, Regulatory Policy, PCX, to
Nancy J. Sanow, Assistant Director, Division of Market Regulation
(``Division''), Commission, dated June 29, 2004 (``Amendment No.
1''). In Amendment No. 1, PCX amended its Schedule of Fees and
Charges for Exchange Services to replace a reference to the term
``Order Service Firm'' with ``any OTP Holder or OTP Firm that has
activated their OTP for trading or clearing purposes'' and to make a
conforming change to a related footnote. PCX also made technical
corrections to the proposed rule text. Amendment No. 1 supercedes
and replaces the proposed rule change in its entirety.
---------------------------------------------------------------------------
[[Page 43044]]
I. Self-Regulatory Organization's Statement of the Terms of Substance
of the Proposed Rule Change
PCX is proposing to amend its Schedule of Fees and Charges for
Exchange Services in order to adopt fees and charges that are
applicable to the services provided by PCX under its new demutualized
structure. The text of the proposed rule change is available at PCX 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, PCX 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. PCX has prepared summaries, set forth in Sections A, B,
and C below, of the most significant parts of such statements.
A. Self-Regulatory Organization's Statement of the Purpose of, and
Statutory Basis for, the Proposed Rule Change
1. Purpose
The Exchange proposes to adopt fees and charges that are applicable
to the services provided by the Exchange under its new demutualized
structure. Under the demutualized structure, the Exchange will no
longer have seats. The former seatholders of the Exchange became
holders of option trading permits (``OTPs'') and stockholders in PCX's
new parent company. As such, the Exchange has removed all references to
``seats,'' ``members,'' and ``member organizations'' on its Schedule of
Fees and Charges for Exchange Services and replaced them with ``OTPs,''
``OTP Holders,'' ``OTP Firms'' and made other revisions to conform to
the demutualized structure. The Exchange represents that it is not
creating any additional fees under the proposed rule change.
2. Statutory Basis
The Exchange believes that the proposed rule change is consistent
with Section 6(b) of the Act,\4\ in general, and furthers the
objectives of Section 6(b)(4) of the Act,\5\ in particular, in that the
proposed rule change provides for the equitable allocation of
reasonable dues, fees, and other charges among its members.
---------------------------------------------------------------------------
\4\ 15 U.S.C. 78f(b).
\5\ 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
Written comments were neither solicited nor 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 become effective pursuant to
Section 19(b)(3)(A)(ii) of the Act \6\ and subparagraph (f)(2) of Rule
19b-4\7\ thereunder, because the proposed rule change establishes or
changes a due, fee, or other charge imposed by the Exchange.
---------------------------------------------------------------------------
\6\ 15 U.S.C. 78s(b)(3)(A)(ii).
\7\ 17 CFR 240.19b-4(f)(2).
---------------------------------------------------------------------------
At any time within 60 days of June 30, 2004, the Commission may
summarily abrogate such proposed 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.\8\
---------------------------------------------------------------------------
\8\ For purposes of calculating the 60-day period within which
the Commission may summarily abrogate the proposed rule change under
Section 19(b)(3)(C) of the Act, 15 U.S.C. 78s(b)(3)(C), the
Commission considers that period to commence on June 30, 2004, the
date PCX filed Amendment No. 1 to the proposed rule change.
---------------------------------------------------------------------------
IV. Solicitation of Comments
Interested persons are invited to submit written data, views, and
arguments concerning the foregoing, including whether the proposed rule
change, as amended, 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 [email protected]. Please include
File Number SR-PCX-2004-53 on the subject line.
Paper Comments
Send paper comments in triplicate to Jonathan G. Katz,
Secretary, Securities and Exchange Commission, 450 Fifth Street, NW.,
Washington, DC 20549-0609.
All submissions should refer to File Number SR-PCX-2004-53. 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 Section, 450 Fifth Street,
NW., Washington, DC 20549. Copies of such filing also will be available
for inspection and copying at the principal office of PCX. 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-PCX-2004-53 and should be
submitted on or before August 9, 2004.
For the Commission, by the Division of Market Regulation,
pursuant to delegated authority.\9\
---------------------------------------------------------------------------
\9\ 17 CFR 200.30-3(a)(12).
---------------------------------------------------------------------------
Jill M. Peterson,
Assistant Secretary.
[FR Doc. 04-16323 Filed 7-16-04; 8:45 am]
BILLING CODE 8010-01-P