[Federal Register Volume 59, Number 129 (Thursday, July 7, 1994)]
[Unknown Section]
[Page 0]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 94-16373]


[[Page Unknown]]

[Federal Register: July 7, 1994]


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SECURITIES AND EXCHANGE COMMISSION
[Release No. 34-34276; File No. SR-PSE-94-8]

 

Self-Regulatory Organizations; Pacific Stock Exchange, Inc.; 
Order Approving Proposed Rule Change Relating to Amendments to Its 
Listing Fee Schedule for Listed Companies

June 29, 1994.
    On March 8, 1994, the Pacific Stock Exchange, Inc. (``PSE'' or 
``Exchange'') submitted to the Securities and Exchange Commission 
(``SEC'' or ``Commission''), pursuant to Section 19(b)(1) of the 
Securities Exchange Act of 1934 (``Act'')\1\ and Rule 19 8b-4 
thereunder,\2\ a proposed rule change to amend its original listing 
fee, processing and fee and annual maintenance fee.
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    \1\15 U.S.C. 78s(b)(1) (1988).
    \2\17 CFR 240.19b-2 (1994).
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    The proposed rule change was notified in Securities Exchange Act 
Release No. 33928 (April 19, 1994), 59 FR 21793 (April 26, 1994). No 
comments were received on the proposal.
    The PSE is amending its fees for listed companies. Specifically, 
the Exchange is increasing its original listing fee for the common 
stock of exclusively listed companies from $10,000 to $20,000. In 
addition, the Exchange is increasing its initial processing fee, 
applicable to all original listing applications, from $250 to $500. 
Finally, the Exchange is increasing its annual maintenance fee for 
exclusively listed companies from $1,000 to $2,000. Dually listed 
equity securities would continue to be charged $10,000 for original 
listings, and $1,000 for the annual maintenance fee (for one issue).\3\
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    \3\The Exchange stated that for the purposes of this amendment, 
an equity security is dually listed if it is listed on both the PSE 
and either the New York Stock Exchange, Inc. (``NYSE'') or the 
American Stock Exchange, Inc. (``Amex''). An equity security is 
exclusively listed for purposes of this amendment if it is listed on 
the PSE and not on either the NYSE or the Amex.
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    The Exchange states that the fee increases are designed to offset 
rising costs associated with maintaining listing services and related 
overhead expenses.\4\
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    \4\The Complete schedule of fee changes is contained in Exhibit 
A to File No. SR-PSE-94-8.
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    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, and in 
particular, with the requirements of Section 6 of the Act.\5\ More 
specifically, the Commission believes that the proposed rule change is 
consistent with Section 6(b)(4) of the Act which requires that the 
rules of an exchange assure the equitable allocation of reasonable 
dues, fees, and other charges among members, issuers, and other persons 
using its facilities. The Commission notes that an increase in the 
PSE's listing fees was last approved in 1991.\6\ Moreover, the current 
increases do not place an excessive allocation of Exchange fees on its 
issuers as opposed to members and other persons using its facilities. 
Accordingly, the Commission believes that it is appropriate to approve 
the proposed rule change.
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    \5\15 U.S.C. 78f (1988).
    \6\See Securities Exchange Act Release No. 29882 (October 29, 
1991), 56 FR 57028 (October 29, 1991) (order approving File No. SR-
PSE-91-29).
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    The Commission believes that it is appropriate for the Exchange to 
charge greater original listing fees for exclusive listings as opposed 
to dual listings due to the additional costs incident to maintaining 
exclusive listings. For example, with respect to exclusively listed 
companies, the Exchange may incur additional costs for, among other 
things, monitoring the company for corporate developments.
    The Commission further finds that the fees are reasonable because 
the Exchange has proposed the increases to offset rising costs 
associated with maintaining listing services and related overhead 
expenses. Accordingly, the Commission believes that it is appropriate 
to approve the proposed rule change.
    It is therefore ordered, pursuant to Section 19(b)(2) of the 
Act,\7\ that the proposed rule change (SR-PSE-94-8) is approved.

    \7\15 U.S.C. 78s(b)(2) (1988).
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    For the Commission, by the Division of Market Regulation, 
pursuant to delegated authority.\8\
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    \8\17 CFR 200.30-3(a)(12) (1994).
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Jonathan G. Katz,
Secretary.
[FR Doc. 94-16373 Filed 7-6-94; 8:45 am]
BILLING CODE 8010-01-M