[Federal Register Volume 66, Number 211 (Wednesday, October 31, 2001)]
[Notices]
[Page 55037]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 01-27327]


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SECURITIES AND EXCHANGE COMMISSION

[Release No. 34-44975; File No. SR-NYSE-2001-17]


Self-Regulatory Organizations; Order Granting Approval of 
Proposed Rule Change by the New York Stock Exchange, Inc. to Amend the 
Exchange's Allocation Policy and Procedures

October 24, 2001.
    On July 3, 2001, the New York Stock Exchange, Inc. (``NYSE'' or 
``Exchange'') 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 the Exchange's Allocation Policy and 
Procedures to allow a listing company to send a separate letter to the 
Allocation Committee indicating the role that one specialist unit has 
played in helping the company to reach its listing decision. Such 
specialist unit would then be included in the pool of potential 
specialist units that would be interviewed by the listing company. 
Notice of the proposed rule change appeared in the Federal Register on 
August 17, 2001.\3\ The Commission received no comments on the proposed 
rule change. This order approves the proposed rule change.
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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. 44676 (August 9, 
2001), 66 FR 43281.
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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\ 
Specifically, the Commission believes that the proposal is consistent 
with section 6(b)(5) of the Act, which requires among other things, 
that the rules of an exchange promote just and equitable principles of 
trade, remove impediments to and perfect the mechanism of a free and 
open market and a national market system and, in general, protect 
investors and the public interests.\5\ The Commission bases its 
findings on representations by the NYSE that the Exchange's Allocation 
Policy and Procedures would continue to carefully restrict 
communications between specialists and issuers, and that the fairness 
of the allocation process would not be compromised
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    \4\ In approving this proposal, the Commission has considered 
its 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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    It is therefore ordered, pursuant to section 19(b)(2) of the 
Act,\6\ that the proposed rule change (SR-NYSE-2001-17) be, and it 
hereby is, approved.
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    \6\ 15 U.S.C. 78s(b)(2).

    For the Commission, by the Division of Market Regulation, 
pursuant to the delegated authority.\7\
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    \7\ 17 CFR 200.30-3(a)(12).
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Margaret H. McFarland,
Deputy Secretary.
[FR Doc. 01-27327 Filed 10-30-01; 8:45 am]
BILLING CODE 8010-01-M