
[Federal Register: June 11, 2008 (Volume 73, Number 113)]
[Notices]               
[Page 33125-33126]
From the Federal Register Online via GPO Access [wais.access.gpo.gov]
[DOCID:fr11jn08-104]                         

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SECURITIES AND EXCHANGE COMMISSION

[Release No. 34-57916; File No. SR-Amex-2008-14]

 
Self-Regulatory Organizations; American Stock Exchange LLC; Order 
Approving Proposed Rule Change, and Amendment No. 1 Thereto, To Amend 
Rule 903C To Permit the Listing and Trading of Additional Index Options 
Series

June 4, 2008.

I. Introduction

    On February 20, 2008, 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 (the ``Act''),\1\ and Rule 19b-4 thereunder,\2\ a 
proposed rule change to amend Rule 903C to permit the listing and 
trading of additional index options

[[Page 33126]]

series that do not meet current requirements. On April 24, 2008, Amex 
submitted Amendment No. 1 to the proposed rule change. The proposed 
rule change was published for comment in the Federal Register on May 1, 
2008.\3\ The Commission received no comments on the proposal. This 
order approves the proposed rule change, as amended.
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    \1\ 15 U.S.C. 78s(b)(1).
    \2\ 17 CFR 240.19b-4.
    \3\ See Securities Exchange Act Release No. 57707 (April 24, 
2008), 73 FR 24098 (``Notice'').
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II. Description of the Proposal

    The Exchange proposes to add new Commentary .06 to Rule 903C to 
permit the listing and trading of additional index options series that 
do not meet current Rule 903C requirements if such options series are 
listed on at least one other national securities exchange in accordance 
with the applicable rules of such exchange for the listing and trading 
of index options. For each additional options series listed by the 
Exchange pursuant to proposed Commentary .06, the Exchange would submit 
a proposed rule change with the Commission that is effective upon 
filing within the meaning of Section 19(b)(3)(A) of the Act.
    Rule 903C provides the mechanism for the Exchange to list or open 
options expiration month series on particular index options classes 
approved for listing and trading on the Exchange. Currently, up to six 
expiration month series may be listed at any one time. Amex Rule 
903C(a) permits the Exchange to open options expiration month series on 
approved index options classes as follows: (i) Consecutive Month 
Series; (ii) Cycle Month Series; (iii) Long-Term Options Series; (iv) 
Short-Term (1 week) Options Series; and (v) Quarterly Options Series. 
This proposal seeks to permit the Exchange to list additional index 
options expiration month series if another options exchange does so, 
regardless of whether the additional series listing complies with the 
requirements of Rule 903C.
    Consistent with this proposal, the index options class must either 
be specifically reviewed and approved by the Commission under Section 
19(b)(2) of the Act and rules thereunder, or comply with Commentary .02 
or .03 to Rule 901C, for the Exchange to be able to list the additional 
series.

III. Discussion and Commission Findings

    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.\4\ In 
particular, the Commission finds that the proposal is consistent with 
Section 6(b)(5) of the Act,\5\ which requires that an exchange have 
rules designed to promote just and equitable principles of trade, to 
remove impediments to and perfect the mechanism of a free and open 
market and a national market system, and, in general, to protect 
investors and the public interest.
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    \4\ In approving this proposed rule change, the Commission notes 
that it has considered the proposed rule's impact on efficiency, 
competition, and capital formation. 15 U.S.C. 78c(f).
    \5\ 15 U.S.C. 78f(b)(5).
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    The Commission notes that in order for Amex to list any additional 
expiration month series of an index option class pursuant to new 
Commentary .06 to Rule 903C, such series must: (1) Be already listed on 
another options exchange; (2) belong to an index options class that has 
been specifically reviewed and approved by the Commission under Section 
19(b)(2) of the Act or that complies with Commentary .02 or .03 to Rule 
901C; and (3) Amex must submit a proposed rule change with the 
Commission that is effective upon filing within the meaning of Section 
19(b)(3)(A) of the Act.\6\ In addition, the Commission notes that the 
proposal would allow Amex the ability to quickly list and trade 
additional expiration month series of an index options class based on 
the listing of the series by another options exchange.
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    \6\ Commentary .02 (Broad Stock Index Groups) and Commentary .03 
(Stock Index Industry Groups) of Rule 901C provide the requirements 
that must be met before those specific options groups may be traded 
on the Exchange pursuant to Rule 19b-4(e) under the Act.
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IV. Conclusion

    It is therefore ordered, pursuant to Section 19(b)(2) of the 
Act,\7\ that the proposed rule change (SR-Amex-2008-14), as modified by 
Amendment No. 1, is hereby approved.
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    \7\ 15 U.S.C. 78s(b)(2).

    For the Commission, by the Division of Trading and Markets, 
pursuant to delegated authority.\8\
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    \8\ 17 CFR 200.30-3(a)(12).
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Florence E. Harmon,
Acting Secretary.
 [FR Doc. E8-13038 Filed 6-10-08; 8:45 am]

BILLING CODE 8010-01-P
