[Federal Register: August 20, 2008 (Volume 73, Number 162)]
[Notices]
[Page 49225-49227]
From the Federal Register Online via GPO Access [wais.access.gpo.gov]
[DOCID:fr20au08-93]
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SECURITIES AND EXCHANGE COMMISSION
[Release No. 34-58358; File No. SR-CTA/CQ-2008-02]
Consolidated Tape Association; Notice of Filing of the Twelfth
Substantive Amendment to the Second Restatement of the Consolidated
Tape Association Plan and Eighth Substantive Amendment to the
Consolidated Quotation Plan
August 13, 2008.
Pursuant to Section 11A of the Securities Exchange Act of 1934
(``Act''),\1\ and Rule 608 thereunder,\2\ notice is hereby given that
on June 19, 2008, the Consolidated Tape Association (``CTA'') Plan and
Consolidated Quotation (``CQ'') Plan participants (``Participants'')
\3\ filed with the Securities and Exchange Commission (``Commission'')
a proposal to amend the CTA and CQ Plans (collectively, the
``Plans'').\4\ The proposals represent the twelfth substantive
amendment made to the Second Restatement of the CTA Plan (``Twelfth
Amendment to the CTA Plan'') and the eighth substantive amendment to
the Restated CQ Plan (``Eighth Amendment to the CQ Plan''), and reflect
changes unanimously adopted by the participants. The Twelfth Amendment
to the CTA Plan and the Eighth Amendment to the CQ Plan
(``Amendments'') would amend the Plans to: (1) Permit ministerial
amendments to the Plans to be submitted to the Commission under the
signature of the Chairman of CTA and the CQ Plan Operating Committee,
rather than by means of each Participant's execution of a Plan
amendment, as Section IV(b) of the CTA Plan and IV(c) of the CQ Plan
currently require for most amendments to the Plans; (2) to accommodate
recent changes to the names and addresses of certain Participants; and
(3) to change the Plans' references to Commission rules to reflect the
re-designation of rules by Regulation NMS.\5\ The Commission is
publishing this notice to solicit comments from interested persons on
the proposed Amendments.
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\1\ 15 U.S.C. 78k-1.
\2\ 17 CFR 242.608.
\3\ Each Participant executed the proposed amendment. The
Participants are the American Stock Exchange LLC; Boston Stock
Exchange, Inc.; Chicago Board Options Exchange, Incorporated;
Chicago Stock Exchange, Inc.; Financial Industry Regulatory
Authority, Inc., International Securities Exchange, LLC; The NASDAQ
Stock Market LLC (``NASDAQ''); National Stock Exchange, Inc.; New
York Stock Exchange LLC; NYSE Arca, Inc.; and Philadelphia Stock
Exchange, Inc.
\4\ See Securities Exchange Act Release Nos. 10787 (May 10,
1974), 39 FR 17799 (order approving CTA Plan); 15009 (July 28,
1978), 43 FR 34851 (August 7, 1978) (order temporarily approving CQ
Plan); and 16518 (January 22, 1980), 45 FR 6521 (order permanently
approving CQ Plan). The most recent restatement of both Plans was in
1995. The CTA Plan, pursuant to which markets collect and
disseminate last sale price information for non-NASDAQ listed
securities, is a ``transaction reporting plan'' under Rule 601 under
the Act, 17 CFR 242.601, and a ``national market system plan'' under
Rule 608 under the Act, 17 CFR 242.608. The CQ Plan, pursuant to
which markets collect and disseminate bid/ask quotation information
for listed securities, is also a ``national market system plan''
under Rule 608 under the Act, 17 CFR 242.608.
\5\ See Securities Exchange Act Release No. 51808 (June 9,
2005), 70 FR 37496 (June 29, 2005).
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I. Rule 608(a)
A. Description and Purpose of the Amendment
Currently, both Plans require each Participant to execute most
amendments to the Plans before the amendments can be filed with the
Commission. The Participants believe that this can result in delays and
unwarranted administrative functioning in the context of certain
amendments that are of a purely ministerial nature. For that reason,
the Participants propose to amend the Plans to permit the submission of
Plan amendments to the Commission under the signature of the Chairman
of CTA and the CQ Plan Operating Committee, in lieu of requiring each
Participants' signature indicating that it has executed the Amendment
as required by Section IV(b) of the CTA Plan and Section IV(c) of CQ
Plan.
The categories of ministerial Plan amendments that the Participants
may submit under the signature of the Chairman include amendments to
the
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Plans that pertain solely to any one or more of the following:
(1) Admitting a new Participant into these Plans;
(2) Changing the name or address of a Participant;
(3) Incorporating a change that the Commission has implemented by
rule and that requires no conforming language to the text of the Plans
(e.g., the Commission rule establishing the Advisory Committee);
(4) Incorporating a change (i) that the Commission has implemented
by rule, (ii) that requires conforming language to the text of the
Plans (e.g., the Commission rule amending the revenue allocation
formula), and (iii) that a majority of all Participants has voted to
approve; \6\
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\6\ The Commission notes that the vote of the Participants woudl
concern the exact wording of conforming language, but not the change
implemented by the Commission.
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(5) Incorporating a purely technical change, such as correcting an
error or an inaccurate reference to a statutory provision, or removing
language that has become obsolete (e.g., language regarding the
Intermarket Trading System Plan).
The Participants believe that submission of these categories of
ministerial amendments will improve the efficiency of the
administration of the Plans and that the signature of each Participant
provides no safeguards that are necessary or appropriate in the context
of these categories of ministerial amendments.
In addition, the Participants propose to amend the Plans to reflect
changes in the corporate names of the Chicago Board Options Exchange,
Incorporated (formerly, Chicago Board Options Exchange, Inc.;
``CBOE''), the Financial Industry Regulatory Authority, Inc. (formerly,
the National Association of Securities Dealers, Inc.) and National
Securities Exchange, Inc. (formerly, National Securities Exchange) and
changes in the street address of CBOE.
The Participants propose to change references in the Plans to rules
of the Commission to reflect the re-designation of certain Commission
rules as a result of Regulation NMS. The proposed amendments to the
names and addresses of Participants and to the references to the
Commission rules serve as examples of ministerial amendments that the
Participants could submit to the Commission under the signature of the
Chairman if these Amendments are approved.
The text of the proposed Amendments is available on the CTA's Web
site (http://www.nysedata.com/cta), at the principal office of the CTA,
and at the Commission's Public Reference Room.
B. Additional Information Required by Rule 608(a)
1. Governing or Constituent Documents
Not applicable.
2. Implementation of the Amendment
The Participants propose to implement the change upon Commission
approval of the Amendments.
3. Development and Implementation Phases
See Item I(B)(2) above.
4. Analysis of Impact on Competition
The Amendments will impose no burden on competition.
5. Written Understanding or Agreements Relating to Interpretation of,
or Participation in, Plan
The Participants have no written understandings or agreements
relating to interpretation of the Plans as a result of the Amendments.
6. Approval by Sponsors in Accordance With Plan
Under Section IV(b) of the CTA Plan and Section IV(c) of the CQ
Plan, each Plan Participant must execute a written amendment to the CTA
Plan before the amendment can become effective. The Amendments are so
executed.
7. Description of Operation of Facility Contemplated by the Proposed
Amendment
a. Terms and Conditions of Access
Not applicable.
b. Method of Determination and Imposition, and Amount of, Fees and
Charges
Not applicable.
c. Method of Frequency of Processor Evaluation
Not applicable.
d. Dispute Resolution
Not applicable.
II. Rule 601(a)
A. Equity Securities for Which Transaction Reports Shall be Required by
the Plan.
Not applicable.
B. Reporting Requirements
Not applicable.
C. Manner of Collecting, Processing, Sequencing, Making Available and
Disseminating Last Sale Information
Not applicable.
D. Manner of Consolidation
Not applicable.
E. Standards and Methods Ensuring Promptness, Accuracy and Completeness
of Transaction Reports
Not applicable.
F. Rules and Procedures Addressed to Fraudulent or Manipulative
Dissemination
Not applicable.
G. Terms of Access to Transaction Reports
Not applicable.
H. Identification of Marketplace Execution
Not applicable.
III. Solicitation of Comments
Interested persons are invited to submit written data, views, and
arguments concerning the foregoing, including whether the proposed
Twelfth Substantive Amendment to the CTA Plan and the Eighth Amendment
to the CQ Plan are 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-CTA/CQ-2008-02 on the subject line.
Paper Comments
Send paper comments in triplicate to Secretary, Securities
and Exchange Commission, 100 F Street, NE., Washington, DC 20549-1090.
All submissions should refer to File Number SR-CTA/CQ-2008-02. 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 Plan amendment that are
filed with the Commission, and all written communications relating to
the Plan amendment change between the Commission and any person, other
than those that may be withheld from the
[[Page 49227]]
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 a.m.
and 3 p.m. Copies of the Amendments also will be available for
inspection and copying at the principal office of the CTA. 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-CTA/CQ-2008-02 and should be
submitted on or before September 10, 2008.
For the Commission, by the Division of Trading and Markets,
pursuant to delegated authority.\7\
Florence E. Harmon,
Acting Secretary.
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\7\ 17 CFR 200.30-3(a)(27).
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[FR Doc. E8-19229 Filed 8-19-08; 8:45 am]
BILLING CODE 8010-01-P