[Federal Register Volume 78, Number 210 (Wednesday, October 30, 2013)]
[Notices]
[Page 65038]
[FR Doc No: 2013-25756]

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DEPARTMENT OF TRANSPORTATION

National Highway Traffic Safety Administration

Information Collection Activities: Submission for the Office of
Management and Budget (OMB) Review; Request for Comment

AGENCY: National Highway Traffic Safety Administration (NHTSA), DOT.

ACTION: Notice of the OMB review of information collection and
solicitation of public comment.

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SUMMARY: In compliance with the Paperwork Reduction Act of 1995 (44
U.S.C. chapter 35), this notice announces that the Information
Collection Request (ICR) abstracted below will be submitted to the
Office of Management and Budget (OMB) for review. The ICR describes the
nature of the information collection and its expected burden. A Federal
Register Notice with a 60-day comment period soliciting public comments
on the following information collection was published on August 5, 2013
(Federal Register/Vol. 78, No. 150/pp. 47488-47489).

DATES: Submit comments to the Office of Management and Budget (OMB) on
or before November 29, 2013.

FOR FURTHER INFORMATION CONTACT: Alan Block at the National Highway
Traffic Safety Administration, Office of Behavioral Safety Research
(NTI-131), W46-499, Department of Transportation, 1200 New Jersey
Avenue SE., Washington, DC 20590. Mr. Block's phone number is 202-366-
6401 and his email address is<EMAIL_ADDRESS>
SUPPLEMENTARY INFORMATION:
    OMB Control Number: 2127-0667.
    Type of Request: Renewal.
    Title: Focus Groups for Traffic Safety Programs, Interventions and
Countermeasures.
    Form No.: This collection of information uses no standard form.
    Type of Review: Regular.
    Respondents: Each year NHTSA anticipates conducting 140 focus
groups annually, or 420 over the three year period under a renewed
clearance. Likely respondents are licensed drivers 18 years of age and
older who have not participated in a previous focus group session. In
some cases, stakeholders such as law enforcement and health officials
may participate in the focus groups. Each respondent would participate
in one focus group.
    Estimated Number of Respondents: There will be an average of 10
participants per focus group, for an annual total of 1,400 respondents
and a three year total of 4,200 respondents.
    Estimated Time per Response: Each respondent would participate in a
single focus group that would average 80 minutes in duration.
Participants will be recruited by intercept or telephone using a brief
screening questionnaire estimated to take no more than another 10
minutes, for a total of 90 minutes.
    Total Estimated Annual Burden Hours: The total estimated annual
burden would be 140 groups x 10 participants x 90 minutes = 2,100
hours. Total estimated burden under the three year period covered by
the clearance would be 6,300 hours.
    Frequency of Collection: Focus groups will be conducted on an as-
needed (periodic) basis during each of the three years covered by the
clearance.
    Abstract: The National Highway Traffic Safety Administration
(NHTSA) proposes to renew its generic clearance to conduct focus
groups. NHTSA anticipates the need to periodically conduct focus group
sessions to refine its efforts to reduce traffic injuries and
fatalities. Session participation would be voluntary and the focus
group participants would receive remuneration for their involvement.
The respondents would not incur any reporting cost from the information
collection. The respondents also would not incur any record keeping
burden or record keeping cost from the information collection. Focus
group topics will include: Strategic messaging (e.g., slogans or
advertisement concepts concerning seat belt use, impaired driving,
driver distraction, tire pressure monitoring), problem identification
(e.g., discussions with high-risk groups on beliefs, attitudes, driving
behaviors, or reactions to interventions and countermeasures), and
resource development (e.g., testing materials designed to communicate
essential information about traffic safety issues such as vehicle or
equipment performance rating systems). For each focus group project,
NHTSA will submit an individual Information Collection Request (ICR) to
the Office of Management and Budget (OMB) detailing the specific nature
and methodology of planned focus group sessions prior to any collection
activity covered under this generic clearance.

ADDRESSES: Send comments regarding the burden estimate, including
suggestions for reducing the burden, to the Office of Information and
Regulatory Affairs, Office of Management and Budget, 725 17th Street
NW., Washington, DC 20503, Attention: Desk Officer for Department of
Transportation, National Highway Traffic Safety Administration, or by
email at<EMAIL_ADDRESS>or fax:<PHONE_NUMBER>.
    Comments Are Invited on: Whether the proposed collection of
information is necessary for the proper performance of the functions of
the Department of Transportation, including whether the information
will have practical utility; the accuracy of the Department's estimate
of the burden of the proposed information collection; ways to enhance
the quality, utility and clarity of the information to be collected;
and ways to minimize the burden of the collection of information on
respondents, including the use of automated collection techniques or
other forms of information technology. A comment to OMB is most
effective if OMB receives it within 30 days of publication of this
notice.

    Authority:  44 U.S.C. 3506(c)(2)(A).

    Issued in Washington, DC, on October 25, 2013.
Jeffrey Michael,
Associate Administrator, Research and Program Development.
[FR Doc. 2013-25756 Filed 10-29-13; 8:45 am]
BILLING CODE 4910-59-P


[Federal Register Volume 85, Number 250 (Wednesday, December 30, 2020)]
[Proposed Rules]
[Pages 86515-86518]
[FR Doc No: 2020-28823]

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DEPARTMENT OF TRANSPORTATION

Federal Aviation Administration

14 CFR Part 39

[Docket No. FAA-2020-1022; Project Identifier AD-2020-01101-T]
RIN 2120-AA64

Airworthiness Directives; The Boeing Company Airplanes

AGENCY: Federal Aviation Administration (FAA), DOT.

ACTION: Notice of proposed rulemaking (NPRM).

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SUMMARY: The FAA proposes to adopt a new airworthiness directive (AD)
for certain The Boeing Company Model 757-200, -200CB, and -300 series
airplanes. This proposed AD was prompted by a report indicating the
passenger service units (PSUs) and life vest panels became separated
from their attachments during several survivable accident sequences.
This proposed AD would require installing lanyard assemblies on the
PSUs, and, for certain airplanes, on the life vest panels and video
panels as applicable. The FAA is proposing this AD to address the
unsafe condition on these products.

DATES: The FAA must receive comments on this proposed AD by February
12, 2021.

ADDRESSES: You may send comments, using the procedures found in 14 CFR
11.43 and 11.45, by any of the following methods:
     Federal eRulemaking Portal: Go to https://www.regulations.gov. Follow the instructions for submitting comments.
     Fax:<PHONE_NUMBER>.
     Mail: U.S. Department of Transportation, Docket
Operations, M-30, West Building Ground Floor, Room W12-140, 1200 New
Jersey Avenue SE, Washington, DC 20590.
     Hand Delivery: Deliver to Mail address above between 9
a.m. and 5 p.m., Monday through Friday, except Federal holidays.
    For service information identified in this NPRM, contact Boeing
Commercial Airplanes, Attention: Contractual & Data Services (C&DS),
2600 Westminster Blvd., MC 110-SK57, Seal Beach, CA 90740-5600; phone:
562-797-1717; internet: https://www.myboeingfleet.com. You may view
this referenced service information at the FAA, Airworthiness Products
Section, Operational Safety Branch, 2200 South 216th St., Des Moines,
WA. For information on the availability of this material at the FAA,
call<PHONE_NUMBER>. It is also available on the internet at https://www.regulations.gov by searching for and locating Docket No. FAA-2020-
1022.

Examining the AD Docket

    You may examine the AD docket on the internet at https://www.regulations.gov by searching for and locating Docket No. FAA-2020-
1022; or in person at Docket Operations between 9 a.m. and 5 p.m.,
Monday through Friday, except Federal holidays. The AD docket contains
this NPRM, any comments received, and other information. The street
address for Docket Operations is listed above. Comments will be
available in the AD docket shortly after receipt.

FOR FURTHER INFORMATION CONTACT: Scott Craig, Aerospace Engineer, Cabin
Safety and Environmental Systems Section, FAA, Seattle ACO Branch, 2200

South 216th St., Des Moines, WA 98198; phone and fax:<PHONE_NUMBER>;
email<EMAIL_ADDRESS>
SUPPLEMENTARY INFORMATION:

Comments Invited

    The FAA invites you to participate in this rulemaking by submitting
written comments, data, or views about this proposal. The most helpful
comments reference a specific portion of the proposal, explain the
reason for any recommended change, and include supporting data. To
ensure the docket does not contain duplicate comments, commenters
should submit only one copy of the comments. Send your comments to an
address listed under the ADDRESSES section. Include ``Docket No. FAA-
2020-1022; Project Identifier AD-2020-01101-T'' at the beginning of
your comments.
    Except for Confidential Business Information (CBI) as described in
the following paragraph, and other information as described in 14 CFR
11.35, the FAA will post all comments received, without change, as well
as a report summarizing each substantive public contact with FAA
personnel concerning this proposed rulemaking. Before acting on this
proposal, the FAA will consider all comments received by the closing
date for comments. The FAA will consider comments filed after the
comment period has closed if it is possible to do so without incurring
expense or delay. The FAA may change this NPRM because of those
comments.

Confidential Business Information

    CBI is commercial or financial information that is both customarily
and actually treated as private by its owner. Under the Freedom of
Information Act (FOIA) (5 U.S.C. 552), CBI is exempt from public
disclosure. If your comments responsive to this NPRM contain commercial
or financial information that is customarily treated as private, that
you actually treat as private, and that is relevant or responsive to
this NPRM, it is important that you clearly designate the submitted
comments as CBI. Please mark each page of your submission containing
CBI as ``PROPIN.'' The FAA will treat such marked submissions as
confidential under the FOIA, and they will not be placed in the public
docket of this NPRM. Submissions containing CBI should be sent to the
person identified in the FOR FURTHER INFORMATION CONTACT section. Any
commentary that the FAA receives which is not specifically designated
as CBI will be placed in the public docket for this rulemaking.

Discussion

    The FAA has received a report indicating the PSUs and life vest
panels became separated from their attachments during several
survivable accident sequences. In addition, there is no secondary means
of retention (lanyards) for the PSU to the airplane structure. The FAA
has determined that video panels may also become separated from their
attachments during survivable accident sequences. This condition, if
not addressed, could result in the PSUs, life vest panels, and video
panels becoming detached and falling into the cabin, which could lead
to passenger injuries and impede egress during an evacuation.

Related Service Information Under 1 CFR Part 51

    The FAA reviewed Boeing Special Attention Requirements Bulletin
757-25-0315 RB, Revision 1, dated May 20, 2020. The service information
describes procedures for installing lanyard assemblies on the PSUs,
life vest panels, and video panels as applicable. This service
information is reasonably available because the interested parties have
access to it through their normal course of business or by the means
identified in the ADDRESSES section.

FAA's Determination

    The FAA is proposing this AD because the agency evaluated all the
relevant information and determined the unsafe condition described
previously is likely to exist or develop in other products of the same
type design.

Proposed AD Requirements

    This proposed AD would require accomplishment of the actions
identified in Boeing Special Attention Requirements Bulletin 757-25-
0315 RB, Revision 1, dated May 20, 2020, described previously, except
as discussed under ``Differences Between this Proposed AD and the
Service Information,'' and except for any differences identified as
exceptions in the regulatory text of this proposed AD.
    For information on the procedures and compliance times, see this
service information at https://www.regulations.gov by searching for and
locating Docket No. FAA-2020-1022.

Explanation of Requirements Bulletin

    The FAA worked in conjunction with industry, under the
Airworthiness Directive Implementation Aviation Rulemaking Committee
(AD ARC), to enhance the AD system. One enhancement is a process for
annotating which steps in the service information are ``required for
compliance'' (RC) with an AD. Boeing has implemented this RC concept
into Boeing service bulletins.
    In an effort to further improve the quality of ADs and AD-related
Boeing service information, a joint process improvement initiative was
worked between the FAA and Boeing. The initiative resulted in the
development of a new process in which the service information more
clearly identifies the actions needed to address the unsafe condition
in the ``Accomplishment Instructions.'' The new process results in a
Boeing Requirements Bulletin, which contains only the actions needed to
address the unsafe condition (i.e., only the RC actions).

Differences Between This Proposed AD and the Service Information

    Since Boeing Special Attention Requirements Bulletin 757-25-0315
RB, Revision 1, dated May 20, 2020, was issued, the FAA has determined
that airplane having variable number NB451 is also affected by the
unsafe condition. Therefore, we have included variable number NB451 in
this AD. This difference has been coordinated with Boeing.

Costs of Compliance

    The FAA estimates that this proposed AD affects 363 airplanes of
U.S. registry. The FAA estimates the following costs to comply with
this proposed AD:

                                                          Estimated Costs for Required Actions
--------------------------------------------------------------------------------------------------------------------------------------------------------
              Action                             Labor cost                      Parts cost            Cost per  product        Cost on U.S. operators
--------------------------------------------------------------------------------------------------------------------------------------------------------
Install Lanyard Assemblies........  Up to 75 work-hours x $85 per hour =  Up to $45,750...........  Up to $52,125..........  Up to $18,921,375.
                                     Up to $6,375.
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Authority for This Rulemaking

    Title 49 of the United States Code specifies the FAA's authority to
issue rules on aviation safety. Subtitle I, section 106, describes the
authority of the FAA Administrator. Subtitle VII: Aviation Programs,
describes in more detail the scope of the Agency's authority.
    The FAA is issuing this rulemaking under the authority described in
Subtitle VII, Part A, Subpart III, Section 44701: General requirements.
Under that section, Congress charges the FAA with promoting safe flight
of civil aircraft in air commerce by prescribing regulations for
practices, methods, and procedures the Administrator finds necessary
for safety in air commerce. This regulation is within the scope of that
authority because it addresses an unsafe condition that is likely to
exist or develop on products identified in this rulemaking action.

Regulatory Findings

    The FAA determined that this proposed AD would not have federalism
implications under Executive Order 13132. This proposed AD would not
have a substantial direct effect on the States, on the relationship
between the national Government and the States, or on the distribution
of power and responsibilities among the various levels of government.
    For the reasons discussed above, I certify this proposed
regulation:
    (1) Is not a ``significant regulatory action'' under Executive
Order 12866,
    (2) Will not affect intrastate aviation in Alaska, and
    (3) Will not have a significant economic impact, positive or
negative, on a substantial number of small entities under the criteria
of the Regulatory Flexibility Act.

List of Subjects in 14 CFR Part 39

    Air transportation, Aircraft, Aviation safety, Incorporation by
reference, Safety.

The Proposed Amendment

    Accordingly, under the authority delegated to me by the
Administrator, the FAA proposes to amend 14 CFR part 39 as follows:

PART 39--AIRWORTHINESS DIRECTIVES

0
1. The authority citation for part 39 continues to read as follows:

    Authority:  49 U.S.C. 106(g), 40113, 44701.

Sec.  39.13   [Amended]

0
2. The FAA amends Sec.  39.13 by adding the following new airworthiness
directive (AD):

The Boeing Company: Docket No. FAA-2020-1022; Project Identifier AD-
2020-01101-T.

(a) Comments Due Date

    The FAA must receive comments by February 12, 2021.

(b) Affected ADs

    None.

(c) Applicability

    This AD applies to The Boeing Company Model 757-200, -200CB, and
-300 series airplanes, certificated in any category, as identified
in Boeing Special Attention Requirements Bulletin 757-25-0315 RB,
Revision 1, dated May 20, 2020, and airplane having variable number
NB451.

(d) Subject

    Air Transport Association (ATA) of America Code 25, Equipment/
furnishings.

(e) Unsafe Condition

    This AD was prompted by a report indicating the passenger
service units (PSUs) and life vest panels became separated from
their attachments during several survivable accident sequences. The
FAA is issuing this AD to address the PSUs, life vest panels, and
video panels becoming detached and falling into the cabin, which
could lead to passenger injuries and impede egress during an
evacuation.

(f) Compliance

    Comply with this AD within the compliance times specified,
unless already done.

(g) Required Actions

    Except as specified by paragraph (h) of this AD: At the
applicable times specified in the ``Compliance'' paragraph of Boeing
Special Attention Requirements Bulletin 757-25-0315 RB, Revision 1,
dated May 20, 2020, do all applicable actions identified in, and in
accordance with, the Accomplishment Instructions of Boeing Special
Attention Requirements Bulletin 757-25-0315 RB, Revision 1, dated
May 20, 2020.

    Note 1 to paragraph (g):  Guidance for accomplishing the actions
required by this AD can be found in Boeing Special Attention Service
Bulletin 757-25-0315, Revision 1, dated May 20, 2020, which is
referred to in Boeing Special Attention Requirements Bulletin 757-
25-0315 RB, Revision 1, dated May 20, 2020.

(h) Exceptions to Service Information Specifications

    (1) Where Boeing Special Attention Requirements Bulletin 757-25-
0315 RB, Revision 1, dated May 20, 2020, uses the phrase ``the
Revision 1 date of Requirements Bulletin 757-25-0315 RB,'' this AD
requires using ``the effective date of this AD.''
    (2) For airplane variable number NB451, do the applicable
actions for Group 4 identified in, and in accordance with, the
Accomplishment Instructions of Boeing Special Attention Requirements
Bulletin 757-25-0315 RB, Revision 1, dated May 20, 2020.

(i) Parts Installation Limitation

    As of the applicable time specified in paragraph (i)(1) or (2)
of this AD, no person may install on any airplane any PSU, life vest
panel, or video panel without an updated lanyard assembly installed.
    (1) For airplanes that have PSUs, life vest panels, or video
panels without the updated lanyard assemblies installed as of the
effective date of this AD: After modification of the airplane as
required by paragraph (g) of this AD.
    (2) For airplanes that do not have PSUs, life vest panels, or
video panels without the updated lanyard assemblies installed as of
the effective date of this AD: As of the effective date of this AD.

(j) Alternative Methods of Compliance (AMOCs)

    (1) The Manager, Seattle ACO Branch, FAA, has the authority to
approve AMOCs for this AD, if requested using the procedures found
in 14 CFR 39.19. In accordance with 14 CFR 39.19, send your request
to your principal inspector or local Flight Standards District
Office, as appropriate. If sending information directly to the
manager of the certification office, send it to the attention of the
person identified in paragraph (k)(1) of this AD. Information may be
emailed to<EMAIL_ADDRESS>    (2) Before using any approved AMOC, notify your appropriate
principal inspector, or lacking a principal inspector, the manager
of the local flight standards district office/certificate holding
district office.
    (3) An AMOC that provides an acceptable level of safety may be
used for any repair, modification, or alteration required by this AD
if it is approved by The Boeing Company Organization Designation
Authorization (ODA) that has been authorized by the Manager, Seattle
ACO Branch, FAA, to make those findings. To be approved, the repair
method, modification deviation, or alteration deviation must meet
the certification basis of the airplane, and the approval must
specifically refer to this AD.

(k) Related Information

    (1) For more information about this AD, contact Scott Craig,
Aerospace Engineer, Cabin Safety and Environmental Systems Section,
FAA, Seattle ACO Branch, 2200 South 216th St., Des Moines, WA 98198;
phone and fax:<PHONE_NUMBER>; email<EMAIL_ADDRESS>    (2) For service information identified in this AD, contact
Boeing Commercial Airplanes, Attention: Contractual & Data Services
(C&DS), 2600 Westminster Blvd., MC 110-SK57, Seal Beach, CA 90740-
5600; phone:<PHONE_NUMBER>; internet: https://www.myboeingfleet.com.
You may view this referenced service information at the FAA,
Airworthiness Products Section, Operational Safety Branch, 2200
South 216th St., Des Moines, WA. For information on the availability
of this material at the FAA, call<PHONE_NUMBER>.

    Issued on November 6, 2020.
Lance T. Gant,
Director, Compliance & Airworthiness Division, Aircraft Certification
Service.
[FR Doc. 2020-28823 Filed 12-29-20; 8:45 am]
BILLING CODE 4910-13-P


[Federal Register: August 13, 2007 (Volume 72, Number 155)]
[Notices]
[Page 45282-45283]
[DOCID:fr13au07-107]

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SECURITIES AND EXCHANGE COMMISSION

[Release No. 34-56210; File No. SR-Amex-2007-58]

Self-Regulatory Organizations; American Stock Exchange, LLC.;
Notice of Filing and Order Granting Accelerated Approval to Proposed
Rule Change Modifying an Aspect of the Definition of Independent
Director

August 6, 2007.
    Pursuant to Section 19(b)(1) \1\ of the Securities Exchange Act of
1934 (``Act'') and Rule 19b-4 thereunder,\2\ notice is hereby given
that on June 8, 2007, 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 and
II below, which Items have been prepared by the Exchange. This order
provides notice of the proposed rule change and approves the proposed
rule change on an accelerated basis.
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    \1\ 15 U.S.C. 78s(b)(1).
    \2\ 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 Exchange proposes to amend Section 121A(2)(b) of its Company
Guide (``Guide'') to modify an aspect of the definition of
``independent director.''
    The text of the proposed rule change is available at Amex, the
Commission's Public Reference Room, and http://www.amex.com.

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 III below. The Exchange 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 the
Statutory Basis for, the Proposed Rule Change

1. Purpose
    Under current Section 121A(2)(b) of the Guide, a director of a
listed issuer is generally precluded from being considered
``independent'' if that director has received more than $60,000 in
compensation from the issuer or any parent or subsidiary of the issuer
during any period of twelve consecutive months within the three years
preceding the determination of independence.\3\ The Exchange proposes
to raise this amount to $100,000, which is the same amount specified by
both the New York Stock Exchange, LLC. (``NYSE'') \4\ and NASDAQ Stock
Market, LLC. (``Nasdaq'') \5\ in their comparable provisions.
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    \3\ See Section 121A(2)(b) of the Guide.
    \4\ See Section 303A.02(b)(ii) of the NYSE Listed Company
Manual.
    \5\ See Nasdaq Rule 4200(a)(15)(B).
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    The Exchange believes that the current $60,000 threshold was
originally based on the disclosure threshold set by the Commission in
Regulation S-K, Item 404.\6\ The Exchange notes that the Commission
last year adopted a proposal to raise the threshold in Item 404 of
Regulation S-K to $120,000 \7\ and recently approved Nasdaq's proposal
to raise the compensation threshold in its definition of independent
director from $60,000 to $100,000.\8\ As a result, the Exchange
believes that it would be appropriate to also raise its compensation
threshold.
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    \6\ 17 CFR 229.404.
    \7\ See Securities Exchange Act Release No. 54302A (August 29,
2006), 71 FR 53158 (September 8, 2006).
    \8\ See Securities Exchange Act Release No. 55463 (March 13,
2007), 72 FR 13327 (March 21, 2007) (SR-NASDAQ-2006-041).
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    Further, the Exchange believes that by making its ``bright line''
test with respect to the maximum amount of compensation a director can
receive from the issuer (or any parent or subsidiary) consistent with
the equivalent tests of NYSE and Nasdaq, it will provide a uniform
standard for issuers to understand and apply. However, the Exchange
notes that even if a director passes the ``bright line'' test as
proposed to be amended, an issuer's board of directors must still make
an affirmative determination that such director has no relationship
whatsoever with the issuer that would interfere with the director's
exercise of independent judgment.\9\
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    \9\ See Section 121A(2) of the Guide.
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2. Statutory Basis
    The Exchange states that the proposed rule change is consistent
with Section 6(b) of the Act \10\ in general, and furthers the
objectives of Section 6(b)(5) of the Act \11\ in particular, in that it
is designed to prevent fraudulent and manipulative acts and practices,
to promote just and equitable principles of trade, to remove
impediments to and perfect the mechanism of a free and open market and
a national market system, and, in general, to protect investors and the
public interest.
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    \10\ 15 U.S.C. 78f(b).
    \11\ 15 U.S.C. 78f(b)(5).
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B. Self-Regulatory Organization's Statement on Burden on Competition

    According to the Exchange, the proposed rule change does not impose
any burden on competition that is not necessary or appropriate in
furtherance of the purposes of the Act. The Exchange believes that the
proposed rule change will promote greater uniformity with the corporate
governance standards of other markets.

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. 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_ADDRESS>Please include

File Number SR-Amex-2007-58 on the subject line.

Paper Comments

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

All submissions should refer to File Number SR-Amex-2007-58. 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/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, 100 F Street, NE.,
Washington, DC 20549, on official business days between the hours of 10
a.m. and 3 p.m. Copies of such filing also will be available for
inspection and copying at the principal office of 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-2007-58 and should be
submitted on or before September 4, 2007.

IV. Commission's Findings and Order Granting Accelerated Approval of
the Proposed Rule Change

    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.\12\ In
particular, the Commission finds that the proposed rule change is
consistent with Section 6(b)(5) of the Act,\13\ which requires, among
other things, that the Exchange's rules be designed to prevent
fraudulent and manipulative acts and practices, to promote just and
equitable principles of trade, to remove impediments to and perfect the
mechanism of a free and open market and a national market system, and,
in general, to protect investors and the public interest. The proposed
rule change would raise the amount of compensation that precludes a
director from being an ``independent director'' from $60,000 to
$100,000. The Commission believes that this change will promote greater
uniformity among the corporate governance listing standards of national
securities exchanges because it aligns Amex's rule with the equivalent
rules at Nasdaq \14\ and the NYSE.\15\
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    \12\ In approving this proposal, the Commission has considered
its impact on efficiency, competition, and capital formation. See 15
U.S.C. 78c(f).
    \13\ 15 U.S.C. 78f(b)(5).
    \14\ See Nasdaq Rule 4200(a)(15)(b) and IM-4200--``Definition of
Independence.''
    \15\ See Section 303A.02(b)(ii) of the NYSE Listed Company
Manual.
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    The Commission finds good cause, consistent with Section 19(b)(2)
of the Act,\16\ for approving this proposed rule change before the
thirtieth day after the publication of notice thereof in the Federal
Register. As noted above, the proposed rule change would harmonize
Amex's standard concerning the maximum amount of compensation an
independent director could receive from the issuer (or its parent or
subsidiary) with the standard of other markets. As such, the Commission
believes the proposal raises no new regulatory issues and that no
reasonable purpose would be served by delaying its implementation.
---------------------------------------------------------------------------

    \16\ 15 U.S.C. 78s(b)(2).
---------------------------------------------------------------------------

V. Conclusion

    It is therefore ordered, pursuant to Section 19(b)(2) of the
Act,\17\ that the proposed rule change (SR-Amex-2007-58), be, and it
hereby is, approved on an accelerated basis.
---------------------------------------------------------------------------

    \17\ Id.

    For the Commission, by the Division of Market Regulation,
pursuant to delegated authority.\18\
Florence E. Harmon,
Deputy Secretary.
---------------------------------------------------------------------------

    \18\ 17 CFR 200.30-3(a)(12).
---------------------------------------------------------------------------

[FR Doc. E7-15725 Filed 8-10-07; 8:45 am]

BILLING CODE 8010-01-P


[Federal Register Volume 80, Number 135 (Wednesday, July 15, 2015)]
[Notices]
[Pages 41494-41495]
[FR Doc No: 2015-17351]

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DEPARTMENT OF ENERGY

Federal Energy Regulatory Commission

Combined Notice of Filings #1

    Take notice that the Commission received the following electric
rate filings:

    Docket Numbers: ER11-4363-006.
    Applicants: Osage Wind, LLC.
    Description: Notice of Non-Material Change in Status of Osage Wind,
LLC.
    Filed Date: 7/8/15.
    Accession Number: 20150708-5217.
    Comments Due: 5 p.m. ET 7/29/15.

    Docket Numbers: ER11-4498-009; ER11-4499-009; ER14-325-006; ER11-
4500-009; ER11-4507-008; ER12-128-007; ER11-4501-010; ER12-979-009;
ER12-2542-006; ER12-2448-009; ER13-2409-005; ER14-2858-004
    Applicants: Smoky Hills Wind Farm, LLC, Smoky Hills Wind Project
II, LLC, Enel Cove Fort, LLC, Enel Stillwater, LLC, Canastota
Windpower, LLC, EGP Stillwater Solar, LLC, Caney River Wind Project,
LLC, Rocky Ridge Wind Project, LLC, Prairie Rose Wind, LLC, Chisholm
View Wind Project, LLC, Buffalo Dunes Wind Project, LLC, Origin Wind
Energy, LLC
    Description: Notice of Change in Status of Smoky Hills Wind Farm,
LLC, et al.
    Filed Date: 7/8/15.
    Accession Number: 20150708-5213.
    Comments Due: 5 p.m. ET 7/29/15.

    Docket Numbers: ER15-1728-000.
    Applicants: BIF II Safe Harbor Holdings, LLC.
    Description: Supplement to May 15, 2015 BIF II Safe Harbor
Holdings, LLC tariff filing.
    Filed Date: 7/8/15.
    Accession Number: 20150708-5015.
    Comments Due: 5 p.m. ET 7/29/15.

    Docket Numbers: ER15-2132-000.
    Applicants: Wisconsin Electric Power Company.
    Description: Sec.  205(d) Rate Filing: Wisconsin Electric FERC
Electric Tariff Volume 9--2015 to be effective 9/6/2015.
    Filed Date: 7/8/15.
    Accession Number: 20150708-5182.
    Comments Due: 5 p.m. ET 7/29/15.

    Docket Numbers: ER15-2133-000.
    Applicants: Wisconsin Electric Power Company.
    Description: Sec.  205(d) Rate Filing: Wisconsin Electric and WPPI
Rate Schedule FERC No. 90--2015 to be effective 9/6/2015.
    Filed Date: 7/8/15.
    Accession Number: 20150708-5183.
    Comments Due: 5 p.m. ET 7/29/15.

    Docket Numbers: ER15-2134-000.
    Applicants: Sky River Asset Holdings, LLC.
    Description: Baseline eTariff Filing: Sky River Asset Holdings, LLC
Application for Market-Based Rates to be effective 9/7/2015.
    Filed Date: 7/8/15.
    Accession Number: 20150708-5184.
    Comments Due: 5 p.m. ET 7/29/15.

    Docket Numbers: ER15-2135-000.
    Applicants: Alexander Wind Farm, LLC.
    Description: Baseline eTariff Filing: Alexander Wind Farm Initial
Baseline MBR Application Filing to be effective 9/8/2015.
    Filed Date: 7/9/15.
    Accession Number: 20150709-5088.
    Comments Due: 5 p.m. ET 7/30/15.

    Docket Numbers: ER15-2136-000.
    Applicants: PJM Interconnection, L.L.C., PPL Electric Utilities
Corporation.
    Description: Sec.  205(d) Rate Filing: PPL Electric submits
Coordination Agreement No. 1016 with Borough of Duncannon to be
effective 1/1/2014.
    Filed Date: 7/9/15.
    Accession Number: 20150709-5090.
    Comments Due: 5 p.m. ET 7/30/15.

    Docket Numbers: ER15-2137-000.
    Applicants: PJM Interconnection, L.L.C., PPL Electric Utilities
Corporation.
    Description: Sec.  205(d) Rate Filing: PPL Electric submits
Coordination Agreement No. 1017 with Borough of Ephrata to be effective
1/1/2014.
    Filed Date: 7/9/15.
    Accession Number: 20150709-5091.
    Comments Due: 5 p.m. ET 7/30/15.

    Docket Numbers: ER15-2138-000.
    Applicants: PJM Interconnection, L.L.C.,PPL Electric Utilities
Corporation.
    Description: Sec.  205(d) Rate Filing: PPL submits Coordination
Agreement No. 1020 with Borough of Leighton to be effective 1/1/2014.
    Filed Date: 7/9/15.
    Accession Number: 20150709-5092.
    Comments Due: 5 p.m. ET 7/30/15.

    Docket Numbers: ER15-2139-000.
    Applicants: PJM Interconnection, L.L.C., PPL Electric Utilities
Corporation.
    Description: Sec.  205(d) Rate Filing: PPL submits Coordination
Agreement No. 1021 with Borough of Mifflinburg to be effective 1/1/
2014.
    Filed Date: 7/9/15.
    Accession Number: 20150709-5097.
    Comments Due: 5 p.m. ET 7/30/15.

    Docket Numbers: ER15-2140-000.
    Applicants: PJM Interconnection, L.L.C., PPL Electric Utilities
Corporation.

    Description: Sec.  205(d) Rate Filing: PPL submits Coordination
Agreement No. 1023 with Borough of Perkasie to be effective 1/1/2014.
    Filed Date: 7/9/15.
    Accession Number: 20150709-5099.
    Comments Due: 5 p.m. ET 7/30/15.

    Docket Numbers: ER15-2141-000.
    Applicants: PJM Interconnection, L.L.C., PPL Electric Utilities
Corporation.
    Description: Sec.  205(d) Rate Filing: PPL submits Coordination
Agreement No. 1025 with Borough of Schuylkill Haven to be effective 1/
1/2014.
    Filed Date: 7/9/15.
    Accession Number: 20150709-5101.
    Comments Due: 5 p.m. ET 7/30/15.

    Docket Numbers: ER15-2142-000.
    Applicants: PJM Interconnection, L.L.C., PPL Electric Utilities
Corporation.
    Description: Sec.  205(d) Rate Filing: PPL submits Coordination
Agreement No. 1026 with Borough of St. Clair to be effective 1/1/2014.
    Filed Date: 7/9/15.
    Accession Number: 20150709-5104.
    Comments Due: 5 p.m. ET 7/30/15.

    Docket Numbers: ER15-2143-000.
    Applicants: PJM Interconnection, L.L.C., PPL Electric Utilities
Corporation.
    Description: Sec.  205(d) Rate Filing: PPL submits Coordination
Agreement No. 1028 with Borough of Weatherly to be effective 1/1/2014.
    Filed Date: 7/9/15.
    Accession Number: 20150709-5111.
    Comments Due: 5 p.m. ET 7/30/15.

    The filings are accessible in the Commission's eLibrary system by
clicking on the links or querying the docket number.
    Any person desiring to intervene or protest in any of the above
proceedings must file in accordance with Rules 211 and 214 of the
Commission's Regulations (18 CFR 385.211 and 385.214) on or before 5
p.m. Eastern time on the specified comment date. Protests may be
considered, but intervention is necessary to become a party to the
proceeding.
    eFiling is encouraged. More detailed information relating to filing
requirements, interventions, protests, service, and qualifying
facilities filings can be found at: http://www.ferc.gov/docs-filing/efiling/filing-req.pdf. For other information, call<PHONE_NUMBER>
(toll free). For TTY, call<PHONE_NUMBER>.

    Dated: July 9, 2015.
Nathaniel J. Davis, Sr.,
Deputy Secretary.
[FR Doc. 2015-17351 Filed 7-14-15; 8:45 am]
 BILLING CODE 6717-01-P


[Federal Register Volume 78, Number 228 (Tuesday, November 26, 2013)]
[Notices]
[Pages 70610-70615]
[FR Doc No: 2013-28272]

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SECURITIES AND EXCHANGE COMMISSION

[Release No. 34-70905; File No. SR-NYSEArca-2013-122]

Self-Regulatory Organizations; NYSE Arca, Inc.; Notice of Filing
of Proposed Rule Change Relating to the Use of Derivative Instruments
by PIMCO Total Return Exchange Traded Fund

November 20, 2013.
    Pursuant to Section 19(b)(1) \1\ of the Securities Exchange Act of
1934 (the ``Act'') \2\ and Rule 19b-4 thereunder,\3\ notice is hereby
given that, on November 6, 2013, NYSE Arca, Inc. (the ``Exchange'' or
``NYSE Arca'') filed with the Securities and Exchange Commission (the
``Commission'') the proposed rule change as described in Items I and II
below, which Items have been prepared by the self-regulatory
organization. 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).
    \2\ 15 U.S.C. 78a.
    \3\ 17 CFR 240.19b-4.
---------------------------------------------------------------------------

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

    The Exchange proposes to amend the description of the means of
achieving the investment objective applicable to the PIMCO Total Return
Exchange Traded Fund relating to its Use [sic] of derivative
instruments. The text of the proposed rule change is available on the
Exchange's Web site at www.nyse.com, at the principal office of the
Exchange, and at the Commission's Public Reference Room.

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 self-regulatory organization
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 those statements may be examined at
the places specified in Item IV below. The Exchange has prepared
summaries, set forth in sections A, B, and C below, of the most
significant parts of such statements.

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

1. Purpose
    The Commission has approved the listing and trading on the Exchange
of shares (``Shares'') of the PIMCO Total Return Exchange Traded Fund
(``Fund''),\4\ under NYSE Arca Equities Rule 8.600, which governs the
listing and trading of Managed Fund Shares. The Shares are offered by
PIMCO ETF Trust (the ``Trust''), a statutory trust organized under the
laws of the State of Delaware and registered with the Commission as an
open-end management investment company.\5\ The investment manager to
the Fund is Pacific Investment Management Company LLC (``PIMCO'' or the
``Adviser'').
---------------------------------------------------------------------------

    \4\ See Securities Exchange Act Release No. 66321 (February 3,
2012), 77 FR 6850 (February 9, 2012) (SR-NYSEArca-2011-95) (``Prior
Order''). See also Securities Exchange Act Release No. 65988
(December 16, 2011), 76 FR 79741 (December 22, 2011) (SR-NYSEArca-
2011-95) (``Prior Notice,'' and together with the Prior Order, the
``Prior Release'').
    \5\ The Trust is registered under the Investment Company Act of
1940 (``1940 Act''). On October 29, 2012 the Trust filed with the
Commission the most recent post-effective amendment to its
registration statement under the Securities Act of 1933 (15 U.S.C.
77a) (``1933 Act'') and under the 1940 Act relating to the Fund
(File Nos. 333-155395 and 811-22250) (the ``Registration
Statement''). The description of the operation of the Trust and the
Fund herein is based, in part, on the Registration Statement. In
addition, the Commission has issued an order granting certain
exemptive relief to the Trust under the 1940 Act. See Investment
Company Act Release No. 28993 (November 10, 2009) (File No. 812-
13571) (``Exemptive Order'').
---------------------------------------------------------------------------

    In this proposed rule change, the Exchange proposes changing the
description of the Fund's use of derivative instruments, as described
below.
    On December 6, 2012, the staff of the Commission's Division of
Investment Management (``Division'') issued a no-action letter (``No-
Action Letter'') relating to the use of derivatives by actively-managed
exchange traded funds (``ETFs'').\6\ The No-Action Letter noted that,
in March of 2010, the Commission announced in a press release that the
staff was conducting a review to evaluate the use of derivatives by
mutual funds, ETFs, and other investment companies and that, pending
completion of this review, the staff would defer consideration of
exemptive requests under the 1940 Act relating to, among others,
actively-managed ETFs that would make significant investments in
derivatives.
---------------------------------------------------------------------------

    \6\ See No-Action Letter dated December 6, 2012 from Elizabeth
G. Osterman, Associate Director, Office of Exemptive Applications,
Division of Investment Management.
---------------------------------------------------------------------------

    The No-Action Letter stated that Division staff will no longer
defer consideration of exemptive requests under the 1940 Act relating
to actively-managed ETFs that make use of derivatives provided that
they include representations to address some of the concerns expressed
in the Commission's March 2010 press release. These representations
are: (i) That the ETF's board periodically will review and approve the
ETF's use of derivatives and how the ETF's investment adviser assesses
and manages risk with respect to the ETF's use of derivatives; and (ii)
that the ETF's disclosure of its use of derivatives in its offering
documents and periodic reports is consistent with relevant Commission
and staff guidance. The No-Action Letter stated that the Division would
not recommend enforcement action to the Commission under sections
2(a)(32), 5(a)(1), 17(a),

22(d), and 22(e) of the 1940 Act, or rule 22c-1 under the 1940 Act if
actively-managed ETFs operating in reliance on specified orders (which
include the Trust's Exemptive Order \7\) invest in options contracts,
futures contracts or swap agreements provided that they comply with the
representations stated in the No-Action Letter, as noted above.
---------------------------------------------------------------------------

    \7\ See note 5, supra.
---------------------------------------------------------------------------

    In the Prior Release, the Exchange stated that, consistent with the
Trust's Exemptive Order, the Fund would not invest in options
contracts, futures contracts or swap agreements. In view of the No-
Action Letter, the Exchange is proposing to change this representation
to permit the Fund to use derivative instruments, as described
below.\8\
---------------------------------------------------------------------------

    \8\ The Adviser represents that the Fund, in connection with its
use of derivative instruments, will comply with the representations
stated in the No-Action Letter, as noted above.
---------------------------------------------------------------------------

    The Prior Release stated that the Fund will invest under normal
market circumstances at least 65% of its total assets in a diversified
portfolio of Fixed Income Instruments of varying maturities.\9\ ``Fixed
Income Instruments'' include bonds, debt securities and other similar
instruments issued by various U.S. and non-U.S. public- or private-
sector entities.\10\ The Exchange proposes to revise this statement to
provide that the Fund will invest under normal market circumstances at
least 65% of its total assets in a diversified portfolio of Fixed
Income Instruments of varying maturities, which may be represented by
derivatives related to Fixed Income Instruments (the ``65% policy'').
---------------------------------------------------------------------------

    \9\ As stated in the Prior Release, the term ``under normal
market circumstances'' includes, but is not limited to, the absence
of extreme volatility or trading halts in the fixed income markets
or the financial markets generally; operational issues causing
dissemination of inaccurate market information; or force majeure
type events such as systems failure, natural or man-made disaster,
act of God, armed conflict, act of terrorism, riot or labor
disruption or any similar intervening circumstance.
    \10\ As noted in the Prior Release, ``Fixed Income
Instruments,'' as such term is used generally in the Registration
Statement, include: debt securities issued or guaranteed by the U.S.
Government, its agencies or government-sponsored enterprises (``U.S.
Government Securities''); corporate debt securities of U.S. and non-
U.S. issuers, including convertible securities and corporate
commercial paper; mortgage-backed and other asset-backed securities;
inflation-indexed bonds issued both by governments and corporations;
structured notes, including hybrid or ``indexed'' securities and
event-linked bonds; bank capital and trust preferred securities;
loan participations and assignments; delayed funding loans and
revolving credit facilities; bank certificates of deposit, fixed
time deposits and bankers' acceptances; repurchase agreements on
Fixed Income Instruments and reverse repurchase agreements on Fixed
Income Instruments; debt securities issued by states or local
governments and their agencies, authorities and other government-
sponsored enterprises; obligations of non-U.S. governments or their
subdivisions, agencies and government-sponsored enterprises; and
obligations of international agencies or supranational entities.
Securities issued by U.S. Government agencies or government-
sponsored enterprises may not be guaranteed by the U.S. Treasury.
---------------------------------------------------------------------------

    The Prior Release stated that the Fund's investment would not be
used to enhance leverage. In view of the Exchange's proposal to permit
the Fund to use derivative instruments, as described below, the Fund's
investments in derivative instruments may be used to enhance leverage.
However, as noted in the Prior Release, the Fund's investments will not
be used to seek performance that is the multiple or inverse multiple
(e.g., 2xs and 3times;s) of the Fund's broad-based securities market
index.
The Fund's Use of Derivatives
    With respect to the Fund, derivative instruments primarily will
include forwards, exchange-traded and over-the-counter (``OTC'')
options contracts, exchange-traded futures contracts, options on
futures contracts and swap agreements. Generally, derivatives are
financial contracts whose value depends upon, or is derived from, the
value of an underlying asset, reference rate or index, and may relate
to stocks, bonds, interest rates, currencies or currency exchange
rates, commodities, and related indexes. The Fund may, but is not
required to, use derivative instruments for risk management purposes or
as part of its investment strategies.\11\
---------------------------------------------------------------------------

    \11\ The Fund will seek, where possible, to use counterparties
whose financial status is such that the risk of default is reduced;
however, the risk of losses resulting from default is still
possible. PIMCO's Counterparty Risk Committee evaluates the
creditworthiness of counterparties on an ongoing basis. In addition
to information provided by credit agencies, PIMCO credit analysts
evaluate each approved counterparty using various methods of
analysis, including company visits, earnings updates, the broker-
dealer's reputation, PIMCO's past experience with the broker-dealer,
market levels for the counterparty's debt and equity, the
counterparty's liquidity and its share of market participation.
---------------------------------------------------------------------------

    Investments in derivative instruments will be made in accordance
with the 1940 Act and consistent with the Fund's investment objective
and policies. As described further below, the Fund will typically use
derivative instruments as a substitute for taking a position in the
underlying asset and/or as part of a strategy designed to reduce
exposure to other risks, such as interest rate or currency risk. The
Fund may also use derivative instruments to enhance returns. To limit
the potential risk associated with such transactions, the Fund will
segregate or ``earmark'' assets determined to be liquid by PIMCO in
accordance with procedures established by the Trust's Board of Trustees
and in accordance with the 1940 Act (or, as permitted by applicable
regulation, enter into certain offsetting positions) to cover its
obligations under derivative instruments. These procedures have been
adopted consistent with Section 18 of the 1940 Act and related
Commission guidance. In addition, the Fund will include appropriate
risk disclosure in its offering documents, including leveraging risk.
Leveraging risk is the risk that certain transactions of the Fund,
including the Fund's use of derivatives, may give rise to leverage,
causing the Fund to be more volatile than if it had not been
leveraged.\12\ Because the markets for certain securities, or the
securities themselves, may be unavailable or cost prohibitive as
compared to derivative instruments, suitable derivative transactions
may be an efficient alternative for the Fund to obtain the desired
asset exposure.
---------------------------------------------------------------------------

    \12\ To mitigate leveraging risk, the Adviser will segregate or
``earmark'' liquid assets or otherwise cover the transactions that
may give rise to such risk.
---------------------------------------------------------------------------

    The Adviser believes that derivatives can be an economically
attractive substitute for an underlying physical security that the Fund
would otherwise purchase. For example, the Fund could purchase Treasury
futures contracts instead of physical Treasuries or could sell credit
default protection on a corporate bond instead of buying a physical
bond. Economic benefits include potentially lower transaction costs or
attractive relative valuation of a derivative versus a physical bond
(e.g., differences in yields).
    The Adviser further believes that derivatives can be used as a more
liquid means of adjusting portfolio duration as well as targeting
specific areas of yield curve exposure, with potentially lower
transaction costs than the underlying securities (e.g., interest rate
swaps may have lower transaction costs than physical bonds). Similarly,
money market futures can be used to gain exposure to short-term
interest rates in order to express views on anticipated changes in
central bank policy rates. In addition, derivatives can be used to
protect client assets through selectively hedging downside (or ``tail
risks'') in the Fund.
    The Fund also can use derivatives to increase or decrease credit
exposure. Index credit default swaps (CDX) can be used to gain exposure
to a basket of credit risk by ``selling protection'' against default or
other credit events, or to hedge broad market credit risk by ``buying
protection.'' Single name credit default swaps (CDS) can be used to

allow the Fund to increase or decrease exposure to specific issuers,
saving investor capital through lower trading costs. The Fund can use
total return swap contracts to obtain the total return of a reference
asset or index in exchange for paying a financing cost. A total return
swap may be much more efficient than buying underlying securities of an
index, potentially lowering transaction costs.
    The Adviser believes that the use of derivatives will allow the
Fund to selectively add diversifying sources of return from selling
options. Option purchases and sales can also be used to hedge specific
exposures in the portfolio, and can provide access to return streams
available to long-term investors such as the persistent difference
between implied and realized volatility. Option strategies can generate
income or improve execution prices (i.e., covered calls).
Other Investments
    In addition to the Fund's use of derivatives in connection with the
65% policy, under the proposal the Fund would seek to invest in
derivative instruments not based on Fixed Income Instruments,
consistent with the Fund's investment restrictions relating to exposure
to those asset classes.
    The Prior Release also stated that the Fund may invest in debt
securities and instruments that are economically tied to foreign (non-
U.S.) countries. The Prior Release stated further that PIMCO generally
considers an instrument to be economically tied to a non-U.S. country
if the issuer is a foreign government (or any political subdivision,
agency, authority or instrumentality of such government), or if the
issuer is organized under the laws of a non-U.S. country. In the case
of applicable money market instruments, such instruments will be
considered economically tied to a non-U.S. country if either the issuer
or the guarantor of such money market instrument is organized under the
laws of a non-U.S. country.
    The Exchange proposes to add to this representation that, with
respect to derivative instruments, as proposed to be used, PIMCO
generally will consider such instruments to be economically tied to
non-U.S. countries if the underlying assets are foreign currencies (or
baskets or indexes of such currencies), or instruments or securities
that are issued by foreign governments (or any political subdivision,
agency, authority or instrumentality of such governments) or issuers
organized under the laws of a non-U.S. country (or if the underlying
assets are money market instruments, as applicable, if either the
issuer or the guarantor of such money market instruments is organized
under the laws of a non-U.S. country).
    The Fund's investments, including investments in derivative
instruments, are subject to all of the restrictions under the 1940 Act,
including restrictions with respect to illiquid securities. The Fund
may hold up to an aggregate amount of 15% of its net assets in illiquid
securities (calculated at the time of investment), including Rule 144A
securities deemed illiquid by the Adviser,\13\ consistent with
Commission guidance.\14\ The Fund will monitor its portfolio liquidity
on an ongoing basis to determine whether, in light of current
circumstances, an adequate level of liquidity is being maintained, and
will consider taking appropriate steps in order to maintain adequate
liquidity if, through a change in values, net assets, or other
circumstances, more than 15% of the Fund's net assets are held in
illiquid securities. Illiquid securities include securities subject to
contractual or other restrictions on resale and other instruments that
lack readily available markets as determined in accordance with
Commission staff guidance.\15\
---------------------------------------------------------------------------

    \13\ In reaching liquidity decisions with respect to Rule 144A
securities, the Adviser may consider the following factors: The
frequency of trades and quotes for the security; the number of
dealers willing to purchase or sell the security and the number of
other potential purchasers; dealer undertakings to make a market in
the security; and the nature of the security and the nature of the
marketplace trades (e.g., the time needed to dispose of the
security, the method of soliciting offers, and the mechanics of
transfer).
    \14\ The Commission has stated that long-standing Commission
guidelines have required open-end funds to hold no more than 15% of
their net assets in illiquid securities and other illiquid assets.
See Investment Company Act Release No. 28193 (March 11, 2008), 73 FR
14618 (March 18, 2008), footnote 34. See also, Investment Company
Act Release No. 5847 (October 21, 1969), 35 FR 19989 (December 31,
1970) (Statement Regarding ``Restricted Securities''); Investment
Company Act Release No. 18612 (March 12, 1992), 57 FR 9828 (March
20, 1992) (Revisions of Guidelines to Form N-1A). A fund's portfolio
security is illiquid if it cannot be disposed of in the ordinary
course of business within seven days at approximately the value
ascribed to it by the fund. See Investment Company Act Release No.
14983 (March 12, 1986), 51 FR 9773 (March 21, 1986) (adopting
amendments to Rule 2a-7 under the 1940 Act); Investment Company Act
Release No. 17452 (April 23, 1990), 55 FR 17933 (April 30, 1990)
(adopting Rule 144A under the 1933 Act).
    \15\ See note 14, supra.
---------------------------------------------------------------------------

    The changes described herein will be effective upon (i) the
effectiveness of an amendment to the Trust's Registration Statement
disclosing the Fund's intended use of derivative instruments and (ii)
when this proposed rule change has become operative. The Adviser
represents that the Adviser has managed and will continue to manage the
Fund in the manner described in the Prior Release, and will not
implement the changes described herein until this proposed rule change
is operative.
    The Adviser represents that there is no change to the Fund's
investment objective. The Fund will continue to comply with all initial
and continued listing requirements under NYSE Arca Equities Rule 8.600.
    Except for the changes noted above, all other facts presented and
representations made in the Prior Release remain unchanged.
    All terms referenced but not defined herein are defined in the
Prior Release.
Derivatives Valuation Methodology for Purposes of Determining Net Asset
Value
    According to the Registration Statement, the net asset value
(``NAV'') of the Fund's Shares is determined by dividing the total
value of the Fund's portfolio investments and other assets, less any
liabilities, by the total number of Shares outstanding. Fund Shares are
valued as of the close of regular trading (normally 4:00 p.m., Eastern
time (``E.T.'')) (the ``NYSE Close'') on each day NYSE Arca is open
(``Business Day''). Information that becomes known to the Fund or its
agents after the NAV has been calculated on a particular day will not
generally be used to retroactively adjust the price of a portfolio
asset or the NAV determined earlier that day. The Fund reserves the
right to change the time its NAV is calculated if the Fund closes
earlier, or as permitted by the Commission.
    For purposes of calculating NAV, portfolio securities and other
assets for which market quotes are readily available are valued at
market value. Market value is generally determined on the basis of last
reported sales prices, or if no sales are reported, based on quotes
obtained from a quotation reporting system, established market makers,
or pricing services. Domestic and foreign fixed income securities and
non-exchange-traded derivatives will normally be valued on the basis of
quotes obtained from brokers and dealers or pricing services using data
reflecting the earlier closing of the principal markets for those
assets. Prices obtained from independent pricing services use
information provided by market makers or estimates of market values
obtained from yield data relating to investments or securities with
similar characteristics. Exchange-traded options, futures and options
on futures will generally be valued at the settlement price determined
by the applicable exchange.

    Derivatives for which market quotes are readily available will be
valued at market value. Local closing prices will be used for all
instrument valuation purposes.
    For the Fund's 4:00 p.m. E.T. futures holdings, estimated prices
from Reuters will be used if any cumulative futures margin impact is
greater than $0.005 to the NAV due to futures movement after the fixed
income futures market closes (3:00 p.m. E.T.) and up to the NYSE Close
(generally 4:00 p.m. E.T.). Swaps traded on exchanges such as the
Chicago Mercantile Exchange (``CME'') or the Intercontinental Exchange
(``ICE-US'') will use the applicable exchange closing price where
available.
Derivatives Valuation Methodology for Purposes of Determining Intra-Day
Indicative Value
    On each Business Day, before commencement of trading in Fund Shares
on NYSE Arca, the Fund discloses on its Web site the identities and
quantities of the portfolio instruments and other assets held by the
Fund that will form the basis for the Fund's calculation of NAV at the
end of the Business Day.
    In order to provide additional information regarding the intra-day
value of Shares of the Fund, the NYSE Arca or a market data vendor
disseminates every 15 seconds through the facilities of the
Consolidated Tape Association or other widely disseminated means an
updated Intra-day Indicative Value (``IIV'') for the Fund as calculated
by an information provider or market data vendor.
    A third party market data provider is currently calculating the IIV
for the Fund. For the purposes of determining the IIV, the third party
market data provider's valuation of derivatives is expected to be
similar to their valuation of all securities. The third party market
data provider may use market quotes if available or may fair value
securities against proxies (such as swap or yield curves).
    With respect to specific derivatives:
     Foreign currency derivatives may be valued intraday using
market quotes, or another proxy as determined to be appropriate by the
third party market data provider.
     Futures may be valued intraday using the relevant futures
exchange data, or another proxy as determined to be appropriate by the
third party market data provider.
     Interest rate swaps may be mapped to a swap curve and
valued intraday based on changes of the swap curve, or another proxy as
determined to be appropriate by the third party market data provider.
     CDX/CDS may be valued using intraday data from market
vendors, or based on underlying asset price, or another proxy as
determined to be appropriate by the third party market data provider.
     Total return swaps may be valued intraday using the
underlying asset price, or another proxy as determined to be
appropriate by the third party market data provider.
     Exchange listed options may be valued intraday using the
relevant exchange data, or another proxy as determined to be
appropriate by the third party market data provider.
     OTC options may be valued intraday through option
valuation models (e.g., Black-Scholes) or using exchange traded options
as a proxy, or another proxy as determined to be appropriate by the
third party market data provider.
Disclosed Portfolio
    The Fund's disclosure of derivative positions in the Disclosed
Portfolio will include information that market participants can use to
value these positions intraday. This information will vary by line
item, and may include tickers or other identifiers which would identify
the listing or clearing exchange for exchange-traded and cleared
derivatives, strike price(s), underlying asset, swap or index, coupon,
effective date, maturity, and quantities or exposure. For example, a
Treasury future would require only a ticker/identifier and quantity. An
OTC option may require underlying asset or swap details, strike price,
quantity and expiration date. For the avoidance of doubt, exchange-
traded and cleared derivatives will be identified by ticker or other
identifiers which would identify the listing or clearing exchange for
those instruments.
Impact on Arbitrage Mechanism
    The Adviser believes there will be minimal, if any, impact to the
arbitrage mechanism as a result of the use of derivatives. Market
makers and participants should be able to value derivatives as long as
the positions are disclosed with relevant information. The Adviser
believes that the price at which Shares trade will continue to be
disciplined by arbitrage opportunities created by the ability to
purchase or redeem creation Shares at their NAV, which should ensure
that Shares will not trade at a material discount or premium in
relation to their NAV.
    The Adviser does not believe there will be any significant impacts
to the settlement or operational aspects of the Fund's arbitrage
mechanism due to the use of derivatives. Because derivatives generally
are not eligible for in-kind transfer, they will typically be
substituted with a ``cash in lieu'' amount when the Fund processes
purchases or redemptions of creation units in-kind.
Surveillance
    The Exchange represents that trading in the Shares will be subject
to the existing trading surveillances, administered by the Financial
Industry Regulatory Authority (``FINRA'') on behalf of the Exchange,
which are designed to detect violations of Exchange rules and
applicable federal securities laws.\16\ The Exchange represents that
these procedures are adequate to properly monitor Exchange trading of
the Shares in all trading sessions and to deter and detect violations
of Exchange rules and applicable federal securities laws.
---------------------------------------------------------------------------

    \16\ FINRA surveils trading on the Exchange pursuant to a
regulatory services agreement. The Exchange is responsible for
FINRA's performance under this regulatory services agreement.
---------------------------------------------------------------------------

    The surveillances referred to above generally focus on detecting
securities trading outside their normal patterns, which could be
indicative of manipulative or other violative activity. When such
situations are detected, surveillance analysis follows and
investigations are opened, where appropriate, to review the behavior of
all relevant parties for all relevant trading violations.
    FINRA, on behalf of the Exchange, will communicate as needed
regarding trading in the Shares, exchange traded options, futures and
options on futures with other markets or other entities that are
members of the Intermarket Surveillance Group (``ISG''), and FINRA may
obtain trading information regarding trading in the Shares, exchange
traded options, futures and options on futures from such markets or
entities. In addition, the Exchange may obtain information regarding
trading in the Shares, exchange traded options, futures and options on
futures from markets or other entities that are members of ISG or with
which the Exchange has in place a comprehensive surveillance sharing
agreement.\17\ In addition, FINRA, on behalf of the Exchange, is able
to access, as needed, trade information for certain fixed income
securities held by the Fund

reported to FINRA's Trade Reporting and Compliance Engine (``TRACE'').
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    \17\ For a list of the current members of ISG, see
www.isgportal.org. The Exchange notes that not all components of the
Disclosed Portfolio for the Fund may trade on markets that are
members of ISG or with which the Exchange has in place a
comprehensive surveillance sharing agreement.
---------------------------------------------------------------------------

    In addition, the Exchange also has a general policy prohibiting the
distribution of material, non-public information by its employees.
2. Statutory Basis
    The basis under the Act \18\ for this proposed rule change is the
requirement under Section 6(b)(5) \19\ that an exchange have rules that
are designed to prevent fraudulent and manipulative acts and practices,
to promote just and equitable principles of trade, to remove
impediments to, and perfect the mechanism of a free and open market
and, in general, to protect investors and the public interest.
---------------------------------------------------------------------------

    \18\ 15 U.S.C. 78a.
    \19\ 15 U.S.C. 78f(b)(5).
---------------------------------------------------------------------------

    The Exchange believes that the proposed rule change is designed to
prevent fraudulent and manipulative acts and practices in that the
Shares will continue to be listed and traded on the Exchange pursuant
to the initial and continued listing criteria in NYSE Arca Equities
Rule 8.600. The Fund will continue to comply with all initial and
continued listing requirements under NYSE Arca Equities Rule 8.600.
    The Fund's investments will be consistent with the Fund's
investment objective, which remains unchanged. The proposed amendments
permitting the Fund to invest in derivative instruments, such as
options contracts, futures contracts and swap agreements, promotes just
and equitable principals of trade and furthers the protection of
investors and the public interest. The Fund's investments will not be
used to seek performance that is the multiple or inverse multiple
(e.g., 2Xs and 3Xs) of the Fund's broad-based securities market index.
    Permitting the use of derivatives will provide additional
flexibility to the Adviser in seeking to achieve the Fund's investment
objective. For example, because the markets for certain securities, or
the securities themselves, may be unavailable or cost prohibitive as
compared to derivative instruments, suitable derivative transactions
may be an efficient alternative for the Fund to obtain the desired
asset exposure. Additionally, derivatives allow parties to replicate
desired returns while eliminating the costs associated with acquiring
or holding the underlying asset. As such, the increased flexibility
afforded by the ability to use derivatives may enhance investor returns
by facilitating the Fund's ability to more economically seek its
investment objective, thereby reducing the costs--actual, opportunity
or otherwise--incurred by the Fund.
    Investor protection and the public interest are further advanced as
a result of the following factors:
    (1) The Fund's compliance with the requirements of the federal
securities laws, in particular, the restrictions under the 1940 Act
regarding limitation on investments in illiquid securities, and
diversification requirements set forth in Section 5(b)(1) [sic] 1940
Act;
    (2) The central clearing of U.S. exchange-traded futures and
options contracts;
    (3) In the case of swaps, the Adviser represents that it has
implemented detailed policies and procedures which govern the selection
of counterparties to reduce the risks associated with swaps, including,
but not limited to, counterparty risk and concentration risk.
    (4) The Adviser represents that the Fund will comply with the
representations stated in the No-Action Letter, as stated above. In
addition, all other representations in the Prior Release remain as
stated therein and no other changes are being made.
    (5) Investments in derivative instruments will be made in
accordance with the 1940 Act and consistent with the Fund's investment
objectives and policies. To limit the potential risk associated with
transactions in derivative instruments, the Fund will segregate or
``earmark'' assets determined to be liquid by PIMCO in accordance with
procedures established by the Trust's Board of Trustees and in
accordance with the 1940 Act (or, as permitted by applicable
regulation, enter into certain offsetting positions) to cover its
obligations under derivative instruments. These procedures have been
adopted consistent with Section 18 of the 1940 Act and related
Commission guidance. In addition, the Fund will include appropriate
risk disclosure in its offering documents, including leveraging risk.
    (6) The listing and trading of Shares of the Fund is governed by
Exchange initial and continued listing rules as approved by the
Commission, including NYSE Arca Equities Rule 8.600.
    (7) As described in the Prior Release under ``Availability of
Information'', the Fund's Web site discloses specified quantitative
information updated on a daily basis, as well as the Disclosed
Portfolio as defined in NYSE Arca Equities Rule 8.600(c)(2) that will
form the basis for the Fund's calculation of NAV at the end of the
business day. On a daily basis, the Adviser discloses for each
portfolio security or other financial instrument of the Fund the
following information: Ticker symbol (if applicable), name of security
or financial instrument, number of shares or dollar value of financial
instruments held in the portfolio, and percentage weighting of the
security or financial instrument in the portfolio. The Web site
information is publicly available at no charge. In addition, price
information for the debt securities held by the Fund is available
through major market data vendors.
    The proposed rule change helps to perfect the mechanism of a free
and open market by enhancing investor choice and providing investors a
cost effective and efficient means to access an asset class through a
diversified vehicle that is listed and traded on an exchange.

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 that is not necessary or appropriate
in furtherance of the purposes of the Act. The proposed rule change
will allow the Fund to use derivative instruments as a more efficient
substitute for taking a position in the underlying asset and/or as part
of a strategy designed to reduce exposure to risks (such as interest
rate or currency risk) or to enhance investment returns. The proposed
change, therefore, will provide additional flexibility to the Adviser
to seek the Fund's investment objective and will enhance the Fund's
ability to compete with other actively managed exchange-traded funds
and mutual funds.

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

    Within 45 days of the date of publication of this notice in the
Federal Register or within such longer period up to 90 days after
publication (i) as the Commission may designate if it finds such longer
period to be appropriate and publishes its reasons for so finding or
(ii) as to which the self-regulatory organization consents, the
Commission will:
    (A) By order approve or disapprove the proposed rule change, or

    (B) institute proceedings to determine whether the proposed rule
change should be disapproved.

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_ADDRESS>Please
include File Number SR-NYSEArca-2013-122 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-NYSEArca-2013-122.
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 the filing also will be
available for inspection and copying at the principal office of the
Exchange. 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-
NYSEArca-2013-122 and should be submitted on or before December 17,
2013.

For the Commission, by the Division of Trading and Markets, pursuant
to delegated authority.\20\
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    \20\ 17 CFR 200.30-3(a)(12).
---------------------------------------------------------------------------

Kevin M. O'Neill,
Deputy Secretary.
[FR Doc. 2013-28272 Filed 11-25-13; 8:45 am]
BILLING CODE 8011-01-P