[Federal Register Volume 60, Number 154 (Thursday, August 10, 1995)]
[Notices]
[Pages 40872-40873]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 95-19790]



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SECURITIES AND EXCHANGE COMMISSION
[Release No. 34-36060; File No. SR-NYSE-95-27]


Self-Regulatory Organizations; Notice of Filing and Immediate 
Effectiveness of Proposed Rule Change by the New York Stock Exchange, 
Inc., Relating to Initial Listing Fees

August 4, 1995.
    Pursuant to Section 19(b)(1) of the Securities Exchange Act of 1934 
(``Act''),\1\ notice is hereby given that on August 3, 1995 the New 
York Stock Exchange, Inc. (``NYSE'' or ``Exchange'') filed with the 
Securities and Exchange Commission (``Commission'') the proposed rule 
change as described in Items I, and II 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.

    \1\ 15 U.S.C. 78s(b)(1).
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I. Self-Regulatory Organization's Statement of the Terms of Substance 
of the Proposed Rule Change

    The proposed rule change will amend the Exchange's fee schedule for 
listed companies by (i) limiting the initial listing fee component of 
the Original Listing Fee for common shares to the first 125 million 
common shares issued and (ii) establishing a flat $5,300 ``technical 
fee'' for reserve stock splits.\2\

    \2\ NYSE Listed Company Manual para. 902.02.
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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 self-regulatory organization 
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. The self-regulatory organization 
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
    The Exchange routinely reviews its pricing relative to listed and 
prospective listed companies. This proposal is intended to address 
certain anomalies within the Exchange's current pricing relating 
specifically to very large capitalization companies. The proposed rule 
change would limit the Initial Fee component of the Original Listing 
Fee for common shares to the first 125 million common shares issued. In 
addition, the initial fee for additional shares subsequently listed 
will be based on the fee bracket appropriate to the new shares being 
listed, in relation to the company's total number of shares issued.
    The proposal also amends the Exchange's listing fees with respect 
to reverse stock splits. The Exchange currently charges an initial fee 
on all shares issued in connection with a reverse stock split. A listed 
company effecting a reverse stock split, however, has already paid an 
initial fee on all its outstanding shares, and the reverse split will 
result in there being fewer shares outstanding. Thus, the Exchange is 
proposing to charge only $5,300 for reverse stock splits, the 
``technical fee'' that it currently charges for a reincorporation or a 
change in corporate structure, such as the formation of a holding 
company.
2. Statutory Basis
    The proposed rule change is consistent with Section 6(b) of the Act 
\3\ in general and furthers the objectives of Section 6(b)(4) \4\ in 
particular in that it provides for the equitable allocation of 
reasonable dues, fees and other charges among the Exchange's members 
and other persons using its facilities.

    \3\ 15 U.S.C. 78f(b).
    \4\ 15 U.S.C. 78f(b)(4).
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B. Self-Regulatory Organization's Statement on Burden on Competition

    The proposed rule change does not 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

    The Exchange has neither solicited nor received written comments on 
the proposed rule change.

III. Date of Effectiveness of the Proposed Rule Change and Timing for 
Commission Action

    Because the foregoing proposed rule change: (1) Does not 
significantly affect the protection of investors or the public 
interest; (2) does not impose any significant burden on competition; 
and (3) the Exchange provided the Commission with notice of its intent 
to file the proposed rule change at least five days prior to the filing 
date, the proposed rule change has become effective pursuant to Section 
19(b)(3)(A) of the Act \5\ and Rule 19b-4(e)(6) \6\ thereunder.

    \5\ 15 U.S.C. 78s(b)(3)(A).
    \6\ 17 CFR 240.19b-4(e)(6).
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    A proposed rule change filed under Rule 19b-4(e) \7\ does not 
become operative prior to thirty days after the date of filing or such 
shorter time as the Commission may designate if such action is 
consistent with the protection of investors and the public interest. 
The 

[[Page 40873]]
NYSE has requested, in order for it to reduce its listing fees as 
quickly as possible, that the Commission accelerate the implementation 
of the proposed rule change so that it may take effect prior to the 
thirty days specified under Rule 19b-4(e)(6)(iii).\8\ The Commission 
finds that the proposed rule change is consistent with the protection 
of investors and the public interest and therefore has determined to 
make the proposed rule change operative as of the date of this order.

    \7\ 17 CFR 240.19b-4(e).
    \8\ 17 CFR 240.19b-4(e)(6)(iii).
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    At any time within sixty days of the filing of such proposed rule 
change, the Commission may summarily abrogate such 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.

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 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 at 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 the New York Stock 
Exchange. All submissions should refer to File No. SR-NYSE-95-27 and 
should be submitted by August 31, 1995.

    For the Commission, by the Division of Market Regulation, 
pursuant to delegated authority.\9\

    \9\ 17 CFR 200.30-3(a)(12).
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Jonathan G. Katz,
Secretary.
[FR Doc. 95-19790 Filed 8-9-95; 8:45 am]
BILLING CODE 8010-01-M