[Federal Register Volume 70, Number 8 (Wednesday, January 12, 2005)]
[Notices]
[Pages 2193-2194]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: E5-74]


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SECURITIES AND EXCHANGE COMMISSION

[Release No. 34-50970; File No. SR-Amex-2004-110]


Self-Regulatory Organizations; American Stock Exchange LLC; 
Notice of Filing and Immediate Effectiveness of Proposed Rule Change To 
Extend the Suspension of the Specialist's and Registered Traders' 
Transaction Charges for the Trading of Nasdaq-100 Index Tracking 
Stock[reg]

January 6, 2005.
    Pursuant to section 19(b)(1) of the Securities Exchange Act of 1934 
(``Act'') \1\ and Rule 19b-4 thereunder,\2\ notice is hereby given that 
on December 28, 2004, the American Stock Exchange LLC (``Amex'' or 
``Exchange'') filed with the Securities and Exchange Commission 
(``Commission'') the proposed rule change as described in items I, II, 
III below, which items have been prepared by the Exchange. The Amex has 
designated the proposed rule change as ``establishing or changing a 
due, fee, or other charge'' under section 19(b)(3)(A) of the Act,\3\ 
and Rule 19b-4(f)(2) thereunder,\4\ which renders the proposal 
effective upon filing with the Commission. The Commission is publishing 
this notice to solicit comments on the proposed rule change from 
interested persons.
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    \1\ 15 U.S.C. 78s(b)(1).
    \2\ 17 CFR 240.19b-4.
    \3\ 15 U.S.C. 78s(b)(3)(A).
    \4\ 17 CFR 240.19b-4.
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I. Self-Regulatory Organization's Statement of the Terms of Substance 
of the Proposed Rule Change

    The Amex proposes to amend the Amex Equity and Exchange Traded 
Funds and Trust Issued Receipts Fee Schedules (``Amex Fee Schedules'') 
to extend the temporary suspension of the specialist's and registered 
traders' transaction charges for the trading of Nasdaq-100 Index 
Tracking Stock[reg] (Symbol: QQQQ) pursuant to the Nasdaq 
Unlisted Trading Privileges Plan. The text of the proposed rule change 
is available at the Office of the Secretary, Amex, and at the 
Commission.

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 Exchange 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 Amex 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
    Effective December 1, 2004, the Nasdaq-100 Index Tracking 
Stock[reg] listed on the Nasdaq Stock Market, Inc. It trades 
on Nasdaq under the symbol QQQQ. The Amex trades the QQQQ on an 
unlisted trading privileges basis. The transaction charges for the 
specialist and registered traders are $0.0037 ($0.37 per 100 shares) 
and $0.0038 ($0.38 per 100 shares) respectively. These transaction 
charges are also subject to a $300 per trade maximum. The Amex, 
however, has suspended these charges through December 31, 2004. The 
Amex now proposes to amend the Amex Fee Schedules to suspend the 
transaction charges for the specialist and registered traders until 
January 31, 2005. The Exchange believes that this fee suspension would 
encourage competition among markets trading QQQQ and enhance the Amex's 
competitiveness in trading this security.
2. Statutory Basis
    The Amex believes the proposed rule change is consistent with 
section 6(b) of the Act,\5\ in general, and furthers the objectives of 
section 6(b)(4) of the Act,\6\ in particular, in that it is intended to 
provide for the equitable allocation of reasonable dues, fees and other 
charges among its members and issuers and other persons using its 
facilities.\7\
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    \5\ 15 U.S.C. 78f(b).
    \6\ 15 U.S.C. 78f(b)(4).
    \7\ The Commission changed this sentence to reflect statutory 
basis for the proposed rule change pursuant to Section 6(b)(4) of 
the Act, rather than Section 6(b)(5). Telephone conversation between 
Claire P. McGrath, Senior Vice President and Deputy General Counsel, 
Amex, and Ted Venuti, Attorney, Division of Market Regulation, 
Commission (January 4, 2005).
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B. Self-Regulatory Organization's Statement on Burden on Competition

    The Exchange does not believe that the proposed rule change will 
impose any burden on competition.

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

    No written comments were solicited or received with respect to the 
proposed rule change.

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

    The foregoing rule change establishes or changes a due, fee, or 
other charge imposed by the Exchange, and, therefore, has become 
effective pursuant to section 19(b)(3)(A)(ii) of the Act \8\ and 
subparagraph (f)(2) of Rule 19b-4 thereunder.\9\ At any time within 60 
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.
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    \8\ 15 U.S.C. 78s(b)(3)(A)(ii).
    \9\ 17 CFR 240.19b-4(f)(2).
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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. Comments may be submitted by any of 
the following methods:

Electronic Comments

     Use the Commission's Internet comment form (http://www.sec.gov/rules/sro.shtml); or
     Send an e-mail to [email protected]. Please include 
File Number SR-Amex-2004-110 on the subject line.

Paper Comments

     Send paper comments in triplicate to Jonathan G. Katz, 
Secretary, Securities and Exchange Commission, 450 Fifth Street, NW., 
Washington, DC 20549-0609.
    All submissions should refer to File Number SR-Amex-2004-110. This 
file number should be included on the subject line if e-mail is used. 
To help the Commission process and review your comments more 
efficiently, please use only one method. The Commission will post all 
comments on the Commission's Internet Web site (http://www.sec.gov/

[[Page 2194]]

rules/sro.shtml). 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 in the Commission's Public Reference Room, 450 Fifth 
Street, NW., Washington, DC 20549. Copies of such filing will also be 
available for inspection and copying at the principal office of the 
Amex. All comments received will be posted without change; the 
Commission does not edit personal identifying information from 
submissions. You should submit only information that you wish to make 
available publicly. All submissions should refer to File Number SR-
Amex-2004-110 and should be submitted on or before February 2, 2005.

    For the Commission, by the Division of Market Regulation, 
pursuant to delegated authority.\10\
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    \10\ 17 CFR 200.30-3(a)(12).
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J. Lynn Taylor,
Assistant Secretary.
[FR Doc. E5-74 Filed 1-11-05; 8:45 am]
BILLING CODE 8010-01-P