[Federal Register Volume 68, Number 81 (Monday, April 28, 2003)]
[Notices]
[Pages 22431-22432]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 03-10384]


-----------------------------------------------------------------------

SECURITIES AND EXCHANGE COMMISSION

[Release No. 34-47710; File No. SR-DTC-2003-04]


Self-Regulatory Organizations; The Depository Trust Company; 
Notice of Filing and Immediate Effectiveness of a Proposed Rule Change 
Relating to Revisions to the Fee Schedule

April 21, 2003.
    Pursuant to section 19(b)(1) of the Securities Exchange Act of 1934 
(``Act''),\1\ notice is hereby given that on March 28, 2003, The 
Depository Trust Company (``DTC'') filed with the Securities and 
Exchange Commission (``Commission'') the proposed rule change as 
described in Items I, II, and III below, which items have been prepared 
primarily by DTC. 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).
---------------------------------------------------------------------------

I. Self-Regulatory Organization's Statement of the Terms of Substance 
of the Proposed Rule Change

    The proposed rule change consists of revisions to DTC's fee 
schedule for low volume tender offers processed through the facilities 
of DTC and for certain tax products offered by DTC. The low volume 
tender offer fee is payable by the offeror in advance of DTC's 
processing the offer.\2\ The tax product fees are charged to 
participants using the selected tax products.
---------------------------------------------------------------------------

    \2\ For additional information concerning DTC's processing and 
fees for low volume tender offers see Securities Exchange Act 
Release No. 41032 (February 9, 1999), 64 FR 7931 (February 17, 1999) 
[SR-DTC-99-01].
---------------------------------------------------------------------------

II. Self-Regulatory Organization's Statement of the Purpose of, and 
Statutory Basis for, the Proposed Rule Change

    In its filing with the Commission, DTC 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. DTC has prepared summaries, set forth in sections (A), 
(B), and (C) below, of the most significant aspects of such 
statements.\3\
---------------------------------------------------------------------------

    \3\ The Commission has modified parts of these statements.
---------------------------------------------------------------------------

(A) Self-Regulatory Organization's Statement of the Purpose of, and 
Statutory Basis for, the Proposed Rule Change

    The purpose of the proposed rule change is to adjust the fees DTC 
charges for low volume tender offers and certain tax products so that 
the fees may be aligned with their respective estimated service costs. 
The new fees will be effective for low volume tender offers processed 
on and after April 1, 2003, and for certain tax products provided by 
DTC on and after April 1, 2003.
    The new fees are as follows:

------------------------------------------------------------------------
             Proposed change                Current fee       New fee
------------------------------------------------------------------------
Low Volume Tender Offer Fee.............          $2,700          $2,900
DTax PTS function.......................        \1\ 1.00        \2\ 5.00
U.S. Withholding Tax Service--Tax                    100             200
 Reporting..............................
TaxRelief--EDS Post payable adjustment..              70             100
Direct Payment Service..................              25             27
------------------------------------------------------------------------
\1\ Per screen.
\2\ Per CUSIP.

    DTC believes that the proposed rule change is consistent with the 
requirements of section 17A of the Act and the rules and regulations 
thereunder applicable to DTC because the fees will provide for a better 
allocation of DTC's service costs among users of DTC services.

(B) Self-Regulatory Organization's Statement on Burden on Competition

    DTC perceives no impact on competition by reason of the proposed 
rule change.

(C) Self-Regulatory Organization's Statement on Comments on the 
Proposed Rule Change Received From Members, Participants, or Others

    Written comments from DTC participants or others have not been 
solicited or received on the proposed rule change.

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

    Because the foregoing rule change establishes or changes fees to be 
imposed by DTC, it has become effective pursuant to section 
19(b)(3)(A)(ii) of the Act \4\ and Rule 19b-4(f)(2).\5\ At any time 
within sixty days of the filing of the 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.
---------------------------------------------------------------------------

    \4\ 15 U.S.C. 78s(b)(3)(A)(ii).
    \5\ 17 CFR 240.19b-4(f)(2).
---------------------------------------------------------------------------

IV. Solicitation of Comments

    Interested persons are invited to submit written data, views, and 
arguments concerning the foregoing, including whether the proposed rule 
change is consistent with the Act. Persons making written submissions 
should file six copies thereof with the Secretary, Securities and 
Exchange Commission, 450 Fifth Street NW., Washington, DC 20549-0609. 
Comments may also be submitted electronically at the following e-mail 
address: [email protected]. All comment letters should refer to 
File No. SR-DTC-2003-04. This file number should be included on the 
subject line if e-mail is used. To help us process and review comments 
more efficiently, comments should be sent in hardcopy or by e-mail but 
not by both methods. 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

[[Page 22432]]

public in accordance with the provisions of 5 U.S.C. 552, will be 
available for inspection and copying in the Commission's Public 
Reference Section, 450 Fifth Street NW., Washington, DC 20549. Copies 
of such filing will also be available for inspection and copying at the 
principal office of DTC. All submissions should refer to the File No. 
SR-DTC-2003-04 and should be submitted by May 19, 2003. 
---------------------------------------------------------------------------

    \6\ 17 CFR 200.30-3(a)(12).

    For the Commission by the Division of Market Regulation, 
pursuant to delegated authority.\6\
Jill M. Peterson,
Assistant Secretary.
[FR Doc. 03-10384 Filed 4-25-03; 8:45 am]
BILLING CODE 8010-01-P