[Federal Register Volume 66, Number 156 (Monday, August 13, 2001)]
[Notices]
[Pages 42579-42580]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 01-20182]


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SECURITIES AND EXCHANGE COMMISSION

[Release No. 34-44658; File No. SR-NYSE-2001-12]


Self Regulatory Organizations; New York Stock Exchange; Order 
Granting Approval to Proposed Rule Change Amending Sections 102.01C, 
103.01B, and 802.01C of the Listed Company Manual and NYSE Rule 499

August 6, 2001.
    On May 17, 2001, the New York Stock Exchange, Inc. (``NYSE'') filed 
with the Securities and Exchange Commission (``Commission''), pursuant 
to Section 19(b)(1) of the securities Exchange Act of 1934 (``Act'') 
\1\ and Rule 19b-4 thereunder,\2\ a proposed rule change to amend 
sections 102.01C and 103.01B of the Listed Company Manual to align the 
cash flow revenue original listing standard with that of the global 
market capitalization standard. The proposed rule change would also 
amend section

[[Page 42580]]

802.01C of the Listed Company Manual and NYSE Rule 499 to require a 
press release announcement when a company is notified it is below the 
$1.00 price standard.
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    \1\ 15 U.S.C. 78s(b)(1).
    \2\ 17 CFR 240.19b-4.
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    The proposed rule change was published for comment in the Federal 
Register on July 6, 2001.\3\ The Commission received no comments on the 
proposal.
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    \3\ See Securities Exchange Act Release No. 44484 (June 28, 
2001), 66 FR 35686.
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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 \4\ and, in 
particular, the requirements of Section 6 of the Act \5\ and the rules 
and regulations thereunder. The Commission finds specifically that the 
proposed rule change is consistent with Section 6(b)(5) of the Act \6\ 
because it is designed to promote just and equitable principles of 
trade, to remove impediments to, and perfect the mechanism of a free 
and open market and, in general, to protect investors and the public 
interest. The proposal, which will align the cash flow revenue original 
listing standard with the global market capitalization standard, should 
continue to allow the Exchange to list companies that the Exchange 
believes will prove to be financially successful in the future, 
although recently they may not have been as profitable. The Commission 
also believes that the press release requirement for companies that are 
below criteria by reason of their share price is consistent with the 
Act, because it improves investor access to information. The Exchange 
already requires companies falling below the Exchange's other financial 
continued listing criteria related to market capitalization and 
shareholder's equity to put out a press release after notification by 
the Exchange.\7\
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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.
    \6\ 15 U.S.C. 78f(b)(5).
    \7\ See Listed Company Manual sections 802.02 and 802.03.
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    It is Therefore Ordered, pursuant to Section 19(b)(2) of the Act 
\8\, that the proposed rule change (SR-NYSE-2001-12) be, and it hereby 
is, approved.
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    \8\ 15 U.S.C. 78s(b)(2).

    For the Commission, by the Division of Market Regulation, 
pursuant to delegated authority.\9\
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    \9\ 17 CFR 200.30-3(a)(12).
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Margaret H. McFarland,
Deputy Secretary.
[FR Doc. 01-20182 Filed 8-10-01; 8:45 am]
BILLING CODE 8010-01-M