[Federal Register Volume 59, Number 107 (Monday, June 6, 1994)]
[Unknown Section]
[Page 0]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 94-13684]


[[Page Unknown]]

[Federal Register: June 6, 1994]


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SECURITIES AND EXCHANGE COMMISSION
[Release No. 34-34133; File No. SR-Amex-94-12]

 

Self-Regulatory Organizations; Notice of Filing of Proposed Rule 
Change by the American Stock Exchange, Inc.; Relating to Amendments to 
its Listing Fees

May 31, 1994.
    Pursuant to section 19(b)(1) of the Securities Exchange Act of 1934 
(``Act''), 15 U.S.C. 72s(b)(1), notice is hereby given that on May 3, 
1994, the American Stock Exchange, Inc. (``Amex'' or ``Exchange'') 
filed with the Securities and Exchange Commission (``SEC'' or 
``Commission'') the proposed rule change as described in Items I, II 
and III below, which Items have been prepared by the self-regulatory 
organization. The Commission is publishing this notice to solicit 
comments on the proposed rule change from interested persons.

I. Self-Regulatory Organization's Statement of the Terms of Substance 
of the Proposed Rule Change

    The Amex is proposing to reduce the maximum fee applicable to 
original listings of stock issues. The fee is proposed to be amended as 
follows:\1\
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    \1\With respect to the following schedule, italicizing indicates 
new material and brackets indicate material to be deleted.

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Sec. 140. Original Listing Fees

    Stock Issues
Less than 1 million shares
$5,000
1+ - 2 million shares
10,000
2+ - 3 million shares
15,000
3+ - 4 million shares
17,500
4+ - 5 million shares
20,000
5+ - 6 million shares
22,500
6+ - 7 million shares
25,000
7+ - 8 million shares
27,500
8+ - 9 million shares
30,000
9+ - 10 million shares
32,500
10+ - 15 million shares
37,500
15+ million shares
45,000
[15+ - 25 million shares
47,500
25+ - 50 million shares
72,500
50+ - 75 million shares
97,500
75+ - 100 million shares
122,500

All Shares over 100 million -\1/10\ cents per share (no maximum)]

    In addition to the above per-share fee, there is a one-time charge 
of $5,000 for companies that do not have a stock or warrant issue 
listed on the Exchange. (The one-time charge of $5,000 does not apply 
to any company which previously paid the one-time charge in connection 
with the listing of a debt issue.)
    [There is no maximum fee applicable to original listings of stock 
and warrant issues, except] I [i]n the case of non-U.S. companies 
listed on foreign stock exchanges[.], [For such issues,] the fee, 
including the one-time charge, will be 50% of the rates set forth 
above, with a maximum fee of [$30,000] $25,000. Where the original 
listing of more than one class of stock is included in the same 
application, the fee is based on the aggregate number of shares of all 
such classes.

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 fee increase and discussed 
any comments it received on the fee increase. 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
    When an issuer applies for listing on the Exchange, an original 
listing fee is levied on the company based on the total number of 
shares to be listed. Currently, the fee ranges from $5,000 for new 
listings of less than one million shares to more than $122,500 for 
listings of greater than 100 million shares. In addition, each issuer 
which does not already have securities listed on the Exchange is 
assessed a one-time charge of $5,000. Listing fees for non-U.S. issuers 
listed on foreign stock exchanges are currently 50% of the rates for 
U.S. companies, including the one-time charge, with maximum of $30,000.
    Based upon discussions with prospect companies, the Exchange 
believes that each year several large companies elect not to list on 
the Amex because the expense of the Exchange's listing fee can become 
significant at the upper end of the scale.
    The Exchange is therefore proposing to amend section 140 of its 
Company Guide to provide that the maximum fee applicable to the 
original listing of stock issues is $50,000, inclusive of the one-time 
charge of $5,000. To be consistent, the Exchange is proposed to reduce 
the maximum listing fee for non-U.S. issuers already listed on a 
foreign exchange from $30,000 to $25,000.
    The Exchange notes that Nasdaq/NMS original listing fees are 
roughly comparable to the Exchange's current fees, although their fees 
are already capped at $50,000 (also inclusive of a $5,000 one-time fee 
for new listings).\2\
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    \2\See NASD Manual, part IV, paragraph 1814(A)(1).
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(2) Statutory Basis
    The Exchange believes that the proposed rule change is consistent 
with section 6(b) of the Act in general and furthers the objectives of 
section 6(b)(5) in particular in that it is designed to remove 
impediments to and perfect the mechanism of a free and open market.

B. Self-Regulatory Organization's Statement on Burden on Competition

    The Exchange believes that the proposed rule change will remove or 
lessen an existing burden on competition in that it proposes to reduce 
an existing difference between the Exchange's original listing fees and 
those charged by Nasdaq.

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

    Within 35 days of the publication of this notice in the Federal 
Register or within such other 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 the 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. Persons making written submissions 
should file six copies thereof with the Secretary, Securities and 
Exchange Commission, 450 Fifth Street NW., Washington, DC 20549. Copies 
of the submission, all subsequent amendments, all written statements 
with respect to the proposed fee increase that are filed with the 
Commission, and all written communications relating to the proposed fee 
increase 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 at the 
Commission's Public Reference Room, 450 Fifth Street, NW., Washington, 
DC 20549. Copies of the filing will also be available for inspection 
and copying at the principal office of the Amex. All submissions should 
refer to File No. SR-Amex-94-12 and should be submitted by June 27, 
1994.

    For the Commission, by the Division of Market Regulation, 
pursuant to delegated authority.
Margaret H. McFarland,
Deputy Secretary.
[FR Doc. 94-13684 Filed 6-3-94; 8:45 am]
BILLING CODE 8010-01-M