[Federal Register: September 25, 2009 (Volume 74, Number 185)]
[Notices]
[Page 49051-49052]
[DOCID:fr25se09-147]

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SECURITIES AND EXCHANGE COMMISSION

[Release No. 34-60686; File No. SR-BX-2009-041]

Self-Regulatory Organizations; NASDAQ OMX BX, Inc.; Order
Approving a Proposed Rule Change To Eliminate Chapter V, Section 13
(Unusual Market Conditions) of the BOX Trading Rules and To Modify
Related Rules

September 18, 2009.
    On August 3, 2009, NASDAQ OMX BX, Inc. (the ``Exchange''), filed
with the Securities and Exchange Commission (``Commission''), pursuant
to Section 19(b)(1) of the Securities Exchange Act of 1934 (``Act'')
\1\ and Rule 19b-4 thereunder,\2\ a proposed rule change to eliminate
Chapter V, Section 13 (Unusual Market Conditions) of the Trading Rules
of the Boston Options Exchange Group, LLC (``BOX'') and to modify
related rules. The proposed rule change was published for comment in
the Federal Register on August 18, 2009.\3\ The Commission received no
comments on the proposed rule change. This order approves the proposed
rule change.
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    \1\ 15 U.S.C. 78s(b)(1).
    \2\ 17 CFR 240.19b-4.
    \3\ See Securities Exchange Act Release No. 60465 (August 10,
2009), 74 FR 41765 (``Notice'').
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    The proposed rule eliminates Chapter V, Section 13, as well as
certain ancillary rules, which deal with fast markets.\4\ Chapter V,
Section 13 provides for an Options Official to determine that the level
of trading activity or the existence of unusual

market conditions is such that BOX is incapable of collecting,
processing, and making available to quotation vendors the data for the
option in a manner that accurately reflects the current state of the
market on BOX. If an Options Official determined the market in the
option to be ``fast,'' the Official could take various steps including
suspending minimum size requirements for quotations, turning off the
Price Improvement Period (``PIP'') process, or taking other actions in
order to promote a fair and orderly market. BOX represents that a fast
market is characterized by heavy trading and high price volatility in
which orders may be submitted to market makers at such a rapid pace
that a backlog of orders builds, causing delays in execution. If such a
fast market occurred, delays could in turn cause significant price
differentials between the quoted price and executed price.
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    \4\ In addition to removing Chapter V, Section 13, the proposed
rule change also removes certain rules related to fast markets.
Specifically, the Exchange proposes to modify Chapter VI, Section
6(a) to remove a fast market rule exception to the general rule that
all Market Maker bids or offers must be of a size of at least ten
(10) contracts. The Exchange also proposes to: (1) Remove Section
6(c)(ii)(2) of Chapter VI to reflect the previously described
removal of Chapter V, Section 13; (2) replace references to Rule
11Ac1-1 with Rule 602 of Regulation NMS under the Exchange Act; and
(3) modify Section 9(b) (Trading Sessions) of Chapter XIV (Index
Rules) by eliminating the declaration of a fast market as a factor
in determining whether to delay the opening of the index options
market.
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    BOX notes in its filing that in an electronic market such as BOX,
during trading hours, orders generally are matched automatically with
quotes on the other side of the market according to time priority, and
executed immediately.\5\ BOX states that any backlog in processing
orders would be a result of a systems malfunction rather than from fast
market conditions, and should any such backlog occur, the Exchange
would halt trading on BOX until the issue could be resolved.\6\
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    \5\ See BOX Trading Rules, Chapter V, Section 16. BOX further
states that because there is no trading floor and all orders are
received and managed electronically, orders on BOX are executed with
matching contra orders within a fraction of a second after the
matching quote is received, subject to certain exceptions written
into the BOX Trading Rules, such as Directed Orders (Chapter VI,
Section 5(b)-(c)), and other exposure periods. See generally Chapter
V, Section 16 (Execution and Price/Time Priority).
    \6\ See BOX Trading Rules, Chapter V, Section 10(a).
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    After careful review, 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.\7\
In particular, the Commission finds that the proposed rule change is
consistent with Section 6(b)(5) of the Act,\8\ which requires, among
other things, that a national securities exchange have rules that are
designed to prevent fraudulent and manipulative acts and practices, to
promote just and equitable principles of trade, to foster cooperation
and coordination with persons engaged in facilitating transactions in
securities, 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 Exchange stated in its
filing that it has never declared a fast market and that any backlog of
orders would be the result of a system malfunction. The Commission
notes that if there were a backlog of orders, the Exchange would halt
trading until such issue could be resolved pursuant to Chapter V,
Section 10(a) of the BOX Trading Rules. For the foregoing reasons, the
Commission finds the proposed rule change is consistent with the Act.
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    \7\ In approving this proposal, the Commission has considered
the proposed rule's impact on efficiency, competition, and capital
formation. See 15 U.S.C. 78c(f).
    \8\ 15 U.S.C. 78f(b)(5).
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    It is therefore ordered, pursuant to Section 19(b)(2) of the
Act,\9\ that the proposed rule change (SR-BX-2009-041) is approved.
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    \9\ 15 U.S.C. 78s(b)(2).

    For the Commission, by the Division of Trading and Markets,
pursuant to delegated authority.\10\
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    \10\ 17 CFR 200.30-3(a)(12).
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Florence E. Harmon,
Deputy Secretary.
[FR Doc. E9-23147 Filed 9-24-09; 8:45 am]

BILLING CODE 8010-01-P


[Federal Register: September 27, 2010 (Volume 75, Number 186)]
[Notices]
[Page 59326-59327]
[DOCID:fr27se10-155]

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DEPARTMENT OF TRANSPORTATION

Federal Aviation Administration

Eighth Meeting--RTCA Special Committee 220: Automatic Flight
Guidance and Control

AGENCY: Federal Aviation Administration (FAA), DOT.

ACTION: Notice of RTCA Special Committee 220: Automatic Flight Guidance
and Control meeting.

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SUMMARY: The FAA is issuing this notice to advise the public of a
meeting of RTCA Special Committee 220: Automatic Flight Guidance and
Control.

DATES: The meeting will be held October 12-14, 2010. October 12th and
13th from 9 a.m. to 5 p.m. and October 14th from 9 a.m. to 2 p.m.

ADDRESSES: The meeting will be held at the Wichita Airport Hilton, 2098
Airport Road, Wichita, Kansas, 67209-1941, USA. telephone (316) 945-
5272, fax<PHONE_NUMBER>, e-mail<EMAIL_ADDRESS>
FOR FURTHER INFORMATION CONTACT: (1) RTCA Secretariat, 1828 L Street,
NW., Suite 805, Washington, DC, 20036; telephone<PHONE_NUMBER>; fax
(202) 833-9434; Web site http://www.rtca.org.

SUPPLEMENTARY INFORMATION: Pursuant to section 10(a) (2) of the Federal
Advisory Committee Act (Pub. L. 92-463, 5 U.S.C., Appendix 2), notice
is hereby given for a Special Committee 220: Automatic Flight Guidance
and Control meeting. The agenda will include:
     Welcome/Agenda Overview.
     Consider for Approval--New Document--Minimum Operational
Performance Standards (MOPS) for Automatic Flight Guidance and Control
Systems and Equipment, RTCA Paper No. 088-10/SC220-016.
     Continue Development of Installation Guidance White
Papers.
     Wrap-up and Review of Action Items.
     Establish Dates, Location, Agenda for Next Meeting.
     Other Business.
    Attendance is open to the interested public but limited to space
availability. With the approval of the chairmen, members of the public
may present oral statements at the meeting. Persons wishing to present
statements or obtain information should contact the person listed in
the FOR FURTHER INFORMATION CONTACT section. Members of the public may
present a written statement to the committee at any time.

    Issued in Washington, DC, on September 17, 2010.
Robert L. Bostiga,
RTCA Advisory Committee.
[FR Doc. 2010-24111 Filed 9-24-10; 8:45 am]
BILLING CODE 4910-13-P