[Federal Register Volume 67, Number 235 (Friday, December 6, 2002)]
[Notices]
[Page 72714]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 02-30915]


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SECURITIES AND EXCHANGE COMMISSION

[Release No. 34-46933; File No. SR-ISE-2002-22]


Self-Regulatory Organizations; Order Granting Approval of 
Proposed Rule Change by the International Securities Exchange, Inc. 
(``ISE'') Relating to Pilot Fee Waivers

December 2, 2002.
    On October 3, 2002, the International Securities Exchange, Inc. 
(``ISE'') 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 waive certain fees on a pilot basis. The 
proposed rule change, as amended, would waive the following fees 
through May 31, 2003: firm proprietary execution fees for trading in 
the ISE Block Mechanism; firm proprietary execution fees for all trades 
on options on the iShares S&P 100 Index Fund; and the $.10 licensing 
surcharge fee for all firm proprietary trades in options on the iShares 
S&P 100 Index Fund. The ISE filed an amendment to the proposed rule 
change on October 9, 2002.\3\ The proposed rule change, as amended, was 
published for notice and comment in the Federal Register on October 28, 
2002.\4\ The Commission received no comments on the proposed rule 
change.
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    \1\ 15 U.S.C. 78s(b)(1).
    \2\ 17 CFR 240.19b-4.
    \3\ See letter from Michael J. Simon, Senior Vice President and 
General Counsel, ISE, to Nancy Sanow, Assistant Director, Division 
of Market Regulation, SEC, dated October 8, 2002, and attachment 
(``Amendment No. 1''). In Amendment No. 1, the ISE proposes to 
correct the rule text of the proposed rule change to clarify that 
the pilot period for the fee waivers would end on May 31, 2003.
    \4\ Securities Exchange Act Release No. 46698 (October 21, 
2002), 67 FR 65818.
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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 \5\ and, in 
particular, the requirements of Section 6 of the Act \6\ and the rules 
and regulations thereunder. The Commission believes that the proposed 
fee waivers, to be effective until May 31, 2003, are reasonable.
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    \5\ In approving this proposed rule change, the Commission has 
considered the proposed rule's impact on efficiency, competition, 
and capital formation. 15 U.S.C. 78c(f).
    \6\ 15 U.S.C. 78f.
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    It is therefore ordered, pursuant to Section 19(b)(2) of the Act 
\7\, that the proposed rule change, as amended (SR-ISE-2002-22), be, 
and hereby is, approved.
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    \7\ 15 U.S.C. 78s(b)(2).

    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).
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Margaret H. McFarland,
Deputy Secretary.
[FR Doc. 02-30915 Filed 12-5-02; 8:45 am]
BILLING CODE 8010-01-P