[Federal Register Volume 78, Number 13 (Friday, January 18, 2013)]
[Notices]
[Pages 4188-4189]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2013-00968]


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SECURITIES AND EXCHANGE COMMISSION

[Release No. 34-68652; File No. SR-CME-2012-47]


Self-Regulatory Organizations; Chicago Mercantile Exchange Inc.; 
Notice of Filing and Immediate Effectiveness of Proposed Rule Change 
Related to the Acquisition of the Kansas City Board of Trade Clearing 
Corporation

January 14, 2013.
    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 31, 2012, Chicago Mercantile Exchange Inc. (``CME'') 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 CME. CME filed the proposed rule 
change pursuant to Section 19(b)(3)(A) \3\ of the Act and Rule 19b-
4(f)(4)(ii) \4\ thereunder so that the proposal was 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(f)(4)(ii).
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I. Self-Regulatory Organization's Statement of the Terms of Substance 
of the Proposed Rule Change

    CME proposes to adopt revisions to certain CME rules in connection 
with the November 30, 2012, acquisition of the Kansas City Board of 
Trade Clearing Corporation (``KCBTCC'') by CME Group Inc., the parent 
holding company of CME. The proposed rule changes would amend CME Rules 
802 and 816 to integrate KCBTCC's derivatives clearing organization 
functions into CME's clearing functions. The proposed revisions became 
effective immediately upon filing and became operational on January 11, 
2013.

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

    In its filing with the Commission, CME 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. CME 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

    CME is proposing certain revisions to its rulebook in connection 
with the November 30, 2012, acquisition of KCBTCC by CME Group Inc., 
the parent holding company of CME. The purpose of the proposed rule 
changes is to amend CME Rules 802 and 816 to integrate KCBTCC's 
derivatives clearing organization functions into CME's clearing 
functions. The changes became operational on January 11, 2013. The 
proposed material changes: (1) Have the effect of making CME clearing 
member default rules applicable to KCBTCC clearing participants; and 
(2) establish the minimum guaranty fund deposit amount for KCBTCC 
clearing participants.
    CME also certified the proposed changes that are the subject of 
this filing to its primary regulator, the CFTC, in CME Submission 12-
461.
    The proposed CME changes relate to CME's activities as a 
derivatives clearing organization clearing futures transactions. As 
such, CME believes the proposed changes do not significantly affect the 
security-based swap clearing operations of CME or any related rights or 
obligations of CME security-based swap clearing participants. CME 
believes the proposed change is therefore properly filed under Section 
19(b)(3)(A) \5\ and Rule 19b-4(f)(4)(ii) \6\ thereunder because it 
effects a change in an existing service of a registered clearing agency 
that primarily affects the futures clearing operations of the clearing 
agency with respect to futures that are not security futures and does 
not significantly affect any securities clearing operations of the 
clearing agency or any related rights or obligations of the clearing 
agency or persons using such service.
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    \5\ 15 U.S.C. 78s(b)(3)(A).
    \6\ 17 CFR 240.19b-4(f)(4)(ii).
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B. Self-Regulatory Organization's Statement on Burden on Competition

    CME does not believe that the proposed change will have any impact, 
or impose any burden, on competition.

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

    CME has not solicited, and does not intend to solicit, comments 
regarding

[[Page 4189]]

this proposed change. CME has not received any unsolicited written 
comments from interested parties.

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

    The foregoing rule change has been filed pursuant to Section 
19(b)(3)(A) \7\ of the Act and Rule 19b-4(f)(4)(ii) \8\ thereunder and 
was effective upon filing. The changes became operational on January 
11, 2013. At any time within 60 days of the filing of the proposed rule 
change, the Commission summarily may temporarily suspend 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.\9\
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    \7\ 15 U.S.C. 78s(b)(3)(A).
    \8\ 17 CFR 240.19b-4(f)(4)(ii).
    \9\ 15 U.S.C. 78s(b)(3)(C).
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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 email to [email protected]. Please include 
File Number SR-CME-2012-47 on the subject line.

Paper Comments

     Send paper comments in triplicate to Elizabeth M. Murphy, 
Secretary, Securities and Exchange Commission, 100 F Street NE., 
Washington, DC 20549-1090.

All submissions should refer to File Number SR-CME-2012-47. This file 
number should be included on the subject line if email 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/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 Web site viewing and 
printing in the Commission's Public Reference Room, 100 F Street NE., 
Washington, DC 20549, on official business days between the hours of 
10:00 a.m. and 3:00 p.m. Copies of such filing also will be available 
for inspection and copying at the principal office of CME.
    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-CME-2012-47 
and should be submitted on or before February 8, 2013.
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    \10\ 17 CFR 200.30-3(a)(12).

    For the Commission, by the Division of Trading and Markets, 
pursuant to delegated authority.\10\
Kevin M. O'Neill,
Deputy Secretary.
[FR Doc. 2013-00968 Filed 1-17-13; 8:45 am]
BILLING CODE 8011-01-P