80 FR 12232 - Self-Regulatory Organizations; The Options Clearing Corporation; Order Instituting Proceedings To Determine Whether To Approve or Disapprove a Proposed Rule Change in Order To Permit OCC To Adjust the Size of Its Clearing Fund on an Intra-Month Basis
SECURITIES AND EXCHANGE COMMISSION Federal Register Volume 80, Issue 44 (March 6, 2015)
Federal Register Volume 80, Issue 44 (March 6, 2015)
| Page Range | 12232-12234 | |
| FR Document | 2015-05160 |
[Federal Register Volume 80, Number 44 (Friday, March 6, 2015)] [Notices] [Pages 12232-12234] From the Federal Register Online [www.thefederalregister.org] [FR Doc No: 2015-05160] ----------------------------------------------------------------------- SECURITIES AND EXCHANGE COMMISSION [Release No. 34-74406; File No. SR-OCC-2014-21] Self-Regulatory Organizations; The Options Clearing Corporation; Order Instituting Proceedings To Determine Whether To Approve or Disapprove a Proposed Rule Change in Order To Permit OCC To Adjust the Size of Its Clearing Fund on an Intra-Month Basis March 2, 2015. I. Introduction On November 13, 2014, The Options Clearing Corporation (``OCC'') filed with the Securities and Exchange Commission (``Commission'') proposed rule change SR-OCC-2014-21 (``Proposed Rule Change'') pursuant to Section 19(b)(1) of the Securities Exchange Act of 1934 (``Exchange Act'') \1\ and Rule 19b-4 thereunder.\2\ In the Proposed Rule Change, OCC proposes to amend its Rule 1001(a) to delete the requirement that OCC readjust the size of its clearing fund on a monthly basis.\3\ On December 2, 2014, the proposed rule change was published in the Federal Register.\4\ The Commission received no comments to the Proposed Rule Change.\5\ This order institutes proceedings under Section 19(b)(2)(B) of the Exchange Act \6\ to determine whether to approve or disapprove the Proposed Rule Change. --------------------------------------------------------------------------- \1\ 15 U.S.C. 78s(b)(1). \2\ 17 CFR 204.19b-4. On October 15, 2014, OCC also filed an emergency notice with the Commission to suspend the effectiveness of the second sentence of Rule 1001(a). See infra note 10 and accompanying discussion. \3\ Exchange Act Release No. 73685 (November 25, 2014) 78 FR 71479 (December 2, 2014) (SR-OCC-2014-21). \4\ Id. \5\ On January 5, 2015, pursuant to Section 19(b)(2)(A)(ii)(II) of the Exchange Act, as amended, OCC consented to an extension until March 2, 2015, for the Commission to approve the proposed rule change, disapprove the Proposed Rule Change, or institute proceedings to determine whether to disapprove the Proposed Rule Change. 15 U.S.C. 78s(b)(2)(A)(ii)(II). \6\ 15 U.S.C. 78s(b)(2)(B). --------------------------------------------------------------------------- II. Description of the Proposed Rule Change OCC proposed this Proposed Rule Change to permit OCC to collect additional financial resources from its clearing members by increasing the size of its clearing fund on an intra-month basis when OCC determines that such action should be taken to ensure the clearing fund has sufficient resources to protect OCC against potential losses under simulated default scenarios. Specifically, OCC's Proposed Rule Change proposes to amend Rule 1001(a) to delete the second sentence, which states, ``[s]uch [clearing fund resizing calculations] shall be made on a daily basis, and the size of the Clearing Fund shall be readjusted monthly based upon the average of such daily calculations performed during the preceding month.'' \7\ --------------------------------------------------------------------------- \7\ OCC Rule 1001(a). --------------------------------------------------------------------------- A. Background In emergency circumstances and subject to certain conditions, Article IX, Section 14, of OCC's By-Laws permit OCC's Board of Directors, Executive Chairman, or President to waive or suspend its by- laws, rules, policies and procedures, or any other rules issued by OCC, or extend the time fixed thereby for the doing of any act or acts for up to thirty calendar days. To extend such a wavier or suspension for more than thirty calendar days, OCC's by-laws require it to submit a proposed rule change to the Commission seeking approval of such waiver.\8\ Upon submission of a rule filing, the waiver may continue in effect until the Commission approves or disapproves the proposed rule change.\9\ --------------------------------------------------------------------------- \8\ See OCC By-Laws, Article IX, Section 14(c). \9\ Id. --------------------------------------------------------------------------- Although OCC monitors the sufficiency of its clearing fund on a daily basis, OCC Rule 1001(a) provides that it may only readjust the size of the clearing fund on a monthly basis. On October 15, 2014, in order to address certain unanticipated intra-month market volatility OCC's Executive Chairman, pursuant to emergency authority, temporarily waived the OCC Rule 1001(a) requirement that OCC readjust the size of its clearing fund on a monthly basis, allowing OCC to resize the clearing fund intra-month. OCC was concerned that its current financial resources might not meet the total financial resources required to cover the default of its largest participant family. The waiver permitted OCC to increase the size of the clearing fund for the remainder of October 2014, prior to the next monthly resizing scheduled for the first business day of November 2014. As a result of the emergency action, OCC's clearing fund for October 2014 was increased by $1.8 billion to a total amount of $5.8 billion. B. Proposed Rule Change SR-OCC-2014-21 OCC submitted the Proposed Rule Change, which amends its Rule 1001(a) by deleting the provision that requires OCC to readjust the size of its clearing fund on a monthly basis, allowing OCC to continue to collect additional financial resources from its clearing membership by increasing the size of its clearing fund on an intra-month basis when OCC determines such action should be taken so that the clearing fund is sufficient to protect OCC against potential loss under simulated default scenarios.\10\ OCC stated that it took this action to respond to the potential risk under prevailing market conditions that the clearing fund could be underfunded, which could have affected OCC's ability to provide services in a safe and sound manner. As noted, OCC's waiver of the provisions of the second sentence of Rule 1001(a) is permitted to continue for [[Page 12233]] no more than thirty calendar days unless OCC submits a proposed rule change under Section 19 of the Exchange Act seeking approval of such waiver.\11\ By filing this proposed rule change, OCC preserved the suspended effectiveness of the second sentence of Rule 1001(a) beyond thirty calendar days. --------------------------------------------------------------------------- \10\ On October 15, 2014, OCC also filed an emergency notice with the Commission pursuant to Section 806(e)(2) of the Payment, Clearing, and Settlement Supervision Act of 2010 (``Clearing Supervision Act''). 12 U.S.C. 5465(e)(2). See Securities Exchange Act Release No. 73579 (November 12, 2014), 79 FR 68747 (November 18, 2014) (SR-OCC-2014-807). \11\ See supra note 8. --------------------------------------------------------------------------- OCC stated in its filing that it believes that the proposed rule change is appropriate: (i) To permit OCC to resize the clearing fund more frequently than monthly; and (ii) to determine the clearing fund's size in an amount sufficient to protect OCC from loss by relying on a broader range of sound risk management practices than only the average daily calculations under Rule 1001(a) that are performed during the preceding calendar month. OCC stated that it would use this authority to adjust the size of its clearing fund on an intra-month basis only to increase the size of the Clearing Fund where appropriate, not to decrease the size of the Clearing Fund. In continued reliance on the emergency rule waiver and the emergency notice, OCC set the November 2014 clearing fund size at $7.8 billion, which included an amount determined by OCC to be sufficient to protect OCC against loss under simulated default scenarios (i.e., $6 billion), plus a prudential margin of safety (the additional $1.8 billion collected in October).\12\ --------------------------------------------------------------------------- \12\ See Information Memorandum #35507, dated October 31, 2014, http://www.theocc.com/clearing/clearing-infomemos/infomemos1.jsp. --------------------------------------------------------------------------- C. Subsequent OCC Filings On December 1, 2014, OCC filed an Advance Notice pursuant to Section 806(e)(1) of the Clearing Supervision Act and Exchange Act Rule 19b-4(n)(1)(i)) and a corresponding proposed rule change, to establish procedures regarding the monthly resizing of the clearing fund and the addition of financial resources through intra-day margin calls and/or an intra-month increase of the clearing fund to ensure adequate financial resources.\13\ The monthly clearing fund sizing procedures set forth in the advance notice and proposed rule change are based on broader risk management practices and establish the procedures that OCC would use to determine the size of the clearing fund on a monthly basis. These filings, however, do not provide OCC with authority to resize the clearing fund intra-month. Both filings are pending consideration by the Commission.\14\ By their terms, the proposals as identified in this advanced notice and proposed rule change will not take effect until all regulatory actions required with respect to the proposed rule change presently at issue are completed. --------------------------------------------------------------------------- \13\ See Exchange Release No. 74091 (January 20, 2015), 80 FR 4001 (January 26, 2015) (SR-OCC-2014-811, as modified by Amendment No. 1); Exchange Act Release No. 73853 (December 16, 2014), 79 FR 76417 (December 22, 2014) (SR-OCC-2014-22, as modified by Amendment No. 1). \14\ On January 27, 2015, the Commission requested additional information regarding Advance Notice SR-OCC-2014-811, which tolled the review period pursuant to Section 806(e)(1) of the Clearing Supervision Act. 12 U.S.C. 5465(e)(1). OCC has also voluntarily extended the statutory review period for the review pursuant to Exchange Act Section 19(b)(2)(A)(ii)(II). 15 U.S.C. 78s(B)(2)(A)(ii)(II). --------------------------------------------------------------------------- III. Proceedings To Determine Whether To Approve or Disapprove SR-OCC- 2014-21 and Grounds for Disapproval Under Consideration The Commission is instituting proceedings pursuant to Section 19(b)(2)(B) of the Act \15\ to determine whether the proposed rule change should be approved or disapproved. Institution of proceedings is appropriate at this time in view of the legal and policy issues raised by the Proposed Rule Change. As noted above, institution of proceedings does not indicate that the Commission has reached any conclusions with respect to any of the issues involved. Rather, the Commission seeks and encourages interested persons to comment on the Proposed Rule Change, and provide the Commission with arguments to support the Commission's analysis as to whether to approve or disapprove the Proposed Rule Change, as amended. --------------------------------------------------------------------------- \15\ 15 U.S.C. 78s(b)(2)(B). --------------------------------------------------------------------------- Pursuant to Section 19(b)(2)(B) of the Exchange Act,\16\ the Commission is providing notice of the grounds for disapproval under consideration. The Commission is instituting proceedings to allow for additional analysis of, and input from commenters with respect to, the Proposed Rule Change's consistency with Section 17A of the Exchange Act, and in particular, Section 17A(b)(3)(F) of the Exchange Act, which requires, among other things, that the rules of a clearing agency must: (i) Assure the safeguarding of securities and funds which are in the custody or control of a clearing agency; and (ii) to protect investors and the public interest.\17\ --------------------------------------------------------------------------- \16\ 15 U.S.C. 78s(b)(2)(B). \17\ See 15 U.S.C. 78q-1(b)(3)(F). --------------------------------------------------------------------------- Here, the Proposed Rule Change is proposing to eliminate the currently waived second sentence of Rule 1001(a), which would result in the elimination of the monthly resizing requirement. In the absence of an alternative, OCC's rules are devoid of any timeframes within which OCC would be required to resize its clearing fund. OCC's clearing fund reinforces OCC's ability to protect against a clearing member's default, and as such, OCC's clearing fund size (and calculation thereof) would correlate directly with OCC's ability to protect the clearing agency and its members against default.\18\ Without a robust framework and specific requirements in OCC's rules to resize the clearing fund on an expressed and periodic basis, it is not apparent that OCC will have sufficient financial resources to manage the risks associated with the default of one or more clearing members. Furthermore, without such a provision in OCC's rules, clearing members may not be sufficiently prepared to fund OCC's clearing fund calls when such calls are made. --------------------------------------------------------------------------- \18\ See http://optionsclearing.com/components/docs/about/occ_financial_guarantee.pdf. --------------------------------------------------------------------------- With only pending proposals before the Commission for determining the clearing fund's size,\19\ the Proposed Rule Change raises concerns about how OCC will safeguard securities and funds that are in its custody or control, as well as how the Proposed Rule Change will protect investors and the public interest in the absence of any clearing fund resizing requirements. Consequently, the Commission believes that significant questions remain as to whether the Proposed Rule Change is consistent with the requirements of the Exchange Act, particularly when considered in combination with OCC's other proposed rule changes and advance notices currently pending before the Commission. Section 19(b)(2)(B) of the Exchange Act provides that proceedings to determine whether to approve or disapprove a proposed rule change must be concluded within 180 days of the date of publication of notice of the filing of the Proposed Rule Change. The time for conclusion of the proceedings may be extended for up to an additional 60 days if the Commission finds good cause for such extension and publishes its reasons for so finding or if the self- regulatory organization consents to the extension. --------------------------------------------------------------------------- \19\ See supra note 13 and accompanying text. --------------------------------------------------------------------------- IV. Procedure: Request for Written Comments The Commission requests that interested persons provide written submissions of their views, data, and arguments with respect to the concerns identified above, as well as any others they may have with the Proposed Rule Change. In particular, the Commission invites the written views of interested [[Page 12234]] persons concerning whether the proposed rule change is inconsistent with Section 17A of the Exchange Act or any other provision of the Exchange Act, or the rules and regulations thereunder. Although there do not appear to be any issues relevant to approval or disapproval which would be facilitated by an oral presentation of views, data, and arguments, the Commission will consider, pursuant to Rule 19b-4, any request for an opportunity to make an oral presentation.\20\ --------------------------------------------------------------------------- \20\ Section 19(b)(2) of the Exchange Act, as amended by the Securities Acts Amendments of 1975, Pub. L. 94-29, 89 Stat. 97 (1975), grants the Commission flexibility to determine what type of proceeding--either oral or notice and opportunity for written comments--is appropriate for consideration of a particular proposal by a self-regulatory organization. See Securities Acts Amendments of 1975, Report of the Senate Committee on Banking, Housing and Urban Affairs to Accompany S. 249, S. Rep. No. 75, 94th Cong., 1st Sess. 30 (1975). --------------------------------------------------------------------------- Interested persons are invited to submit written data, views, and arguments on or before March 27, 2015. Any person who wishes to file a rebuttal to any other person's submission must file that rebuttal on or before April 10, 2015. Comments may be submitted by any of the following methods: Electronic CommentsUse 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-OCC-2014-21 on the subject line. Paper Comments Send paper comments in triplicate to Secretary, Securities and Exchange Commission, 100 F Street NE., Washington, DC 20549-1090. All submissions should refer to File Number SR-OCC-2014-21. 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 filings also will be available for inspection and copying at the principal office of OCC and on OCC's Web site at http://www.theocc.com/components/docs/legal/rules_and_bylaws/sr_occ_14_21.pdf. 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-OCC-2014-21 and should be submitted on or before March 27, 2015. If comments are received, any rebuttal comments should be submitted on or before April 10, 2015. For the Commission, by the Division of Trading and Markets, pursuant to delegated authority.\21\ --------------------------------------------------------------------------- \21\ 17 CFR 200.30-3(a)(57). --------------------------------------------------------------------------- Brent J. Fields, Secretary. [FR Doc. 2015-05160 Filed 3-5-15; 8:45 am] BILLING CODE 8011-01-P
![12232 Federal Register / Vol. 80, No. 44 / Friday, March 6, 2015 / Notices
rules/sro.shtml). Copies of the Act’’) 1 and Rule 19b–4 thereunder.2 In require it to submit a proposed rule
submission, all subsequent the Proposed Rule Change, OCC change to the Commission seeking
amendments, all written statements proposes to amend its Rule 1001(a) to approval of such waiver.8 Upon
with respect to the proposed rule delete the requirement that OCC submission of a rule filing, the waiver
change that are filed with the readjust the size of its clearing fund on may continue in effect until the
Commission, and all written a monthly basis.3 On December 2, 2014, Commission approves or disapproves
communications relating to the the proposed rule change was published the proposed rule change.9
proposed rule change between the in the Federal Register.4 The Although OCC monitors the
Commission and any person, other than Commission received no comments to sufficiency of its clearing fund on a
those that may be withheld from the the Proposed Rule Change.5 This order daily basis, OCC Rule 1001(a) provides
public in accordance with the institutes proceedings under Section that it may only readjust the size of the
provisions of 5 U.S.C. 552, will be 19(b)(2)(B) of the Exchange Act 6 to clearing fund on a monthly basis. On
available for Web site viewing and determine whether to approve or October 15, 2014, in order to address
printing in the Commission’s Public disapprove the Proposed Rule Change. certain unanticipated intra-month
Reference Room, 100 F Street NE., II. Description of the Proposed Rule market volatility OCC’s Executive
Washington, DC 20549, on official Change Chairman, pursuant to emergency
business days between the hours of authority, temporarily waived the OCC
OCC proposed this Proposed Rule Rule 1001(a) requirement that OCC
10:00 a.m. and 3:00 p.m. Copies of the
Change to permit OCC to collect readjust the size of its clearing fund on
filing will also be available for
additional financial resources from its a monthly basis, allowing OCC to resize
inspection and copying at the NYSE’s
clearing members by increasing the size the clearing fund intra-month. OCC was
principal office and on its Internet Web
of its clearing fund on an intra-month concerned that its current financial
site at www.nyse.com. All comments
basis when OCC determines that such resources might not meet the total
received will be posted without change;
action should be taken to ensure the financial resources required to cover the
the Commission does not edit personal
clearing fund has sufficient resources to default of its largest participant family.
identifying information from
protect OCC against potential losses The waiver permitted OCC to increase
submissions. You should submit only
under simulated default scenarios. the size of the clearing fund for the
information that you wish to make
Specifically, OCC’s Proposed Rule remainder of October 2014, prior to the
available publicly. All submissions
Change proposes to amend Rule 1001(a) next monthly resizing scheduled for the
should refer to File Number SR–NYSE–
to delete the second sentence, which first business day of November 2014. As
2015–08 and should be submitted on or
states, ‘‘[s]uch [clearing fund resizing a result of the emergency action, OCC’s
before March 27, 2015.
calculations] shall be made on a daily clearing fund for October 2014 was
For the Commission, by the Division of basis, and the size of the Clearing Fund increased by $1.8 billion to a total
Trading and Markets, pursuant to delegated shall be readjusted monthly based upon amount of $5.8 billion.
authority.15 the average of such daily calculations
Brent J. Fields, performed during the preceding B. Proposed Rule Change SR–OCC–
Secretary. month.’’ 7 2014–21
[FR Doc. 2015–05159 Filed 3–5–15; 8:45 am] A. Background OCC submitted the Proposed Rule
BILLING CODE 8011–01–P Change, which amends its Rule 1001(a)
In emergency circumstances and by deleting the provision that requires
subject to certain conditions, Article IX, OCC to readjust the size of its clearing
Section 14, of OCC’s By-Laws permit fund on a monthly basis, allowing OCC
SECURITIES AND EXCHANGE OCC’s Board of Directors, Executive
COMMISSION to continue to collect additional
Chairman, or President to waive or financial resources from its clearing
suspend its by-laws, rules, policies and membership by increasing the size of its
[Release No. 34–74406; File No. SR–OCC– procedures, or any other rules issued by
2014–21] clearing fund on an intra-month basis
OCC, or extend the time fixed thereby when OCC determines such action
for the doing of any act or acts for up should be taken so that the clearing
Self-Regulatory Organizations; The to thirty calendar days. To extend such
Options Clearing Corporation; Order fund is sufficient to protect OCC against
a wavier or suspension for more than potential loss under simulated default
Instituting Proceedings To Determine thirty calendar days, OCC’s by-laws
Whether To Approve or Disapprove a scenarios.10 OCC stated that it took this
Proposed Rule Change in Order To 1 15
action to respond to the potential risk
U.S.C. 78s(b)(1).
Permit OCC To Adjust the Size of Its 2 17 CFR 204.19b–4. On October 15, 2014, OCC
under prevailing market conditions that
Clearing Fund on an Intra-Month Basis also filed an emergency notice with the the clearing fund could be underfunded,
Commission to suspend the effectiveness of the which could have affected OCC’s ability
March 2, 2015. second sentence of Rule 1001(a). See infra note 10 to provide services in a safe and sound
and accompanying discussion.
manner. As noted, OCC’s waiver of the
I. Introduction 3 Exchange Act Release No. 73685 (November 25,
2014) 78 FR 71479 (December 2, 2014) (SR–OCC– provisions of the second sentence of
On November 13, 2014, The Options 2014–21). Rule 1001(a) is permitted to continue for
4 Id.
Clearing Corporation (‘‘OCC’’) filed with
5 On January 5, 2015, pursuant to Section 8 See OCC By-Laws, Article IX, Section 14(c).
the Securities and Exchange
mstockstill on DSK4VPTVN1PROD with NOTICES
19(b)(2)(A)(ii)(II) of the Exchange Act, as amended, 9 Id.
Commission (‘‘Commission’’) proposed OCC consented to an extension until March 2, 2015, 10 On October 15, 2014, OCC also filed an
rule change SR–OCC–2014–21 for the Commission to approve the proposed rule emergency notice with the Commission pursuant to
(‘‘Proposed Rule Change’’) pursuant to change, disapprove the Proposed Rule Change, or Section 806(e)(2) of the Payment, Clearing, and
Section 19(b)(1) of the Securities institute proceedings to determine whether to Settlement Supervision Act of 2010 (‘‘Clearing
disapprove the Proposed Rule Change. 15 U.S.C. Supervision Act’’). 12 U.S.C. 5465(e)(2). See
Exchange Act of 1934 (‘‘Exchange 78s(b)(2)(A)(ii)(II). Securities Exchange Act Release No. 73579
6 15 U.S.C. 78s(b)(2)(B).
(November 12, 2014), 79 FR 68747 (November 18,
15 17 CFR 200.30–3(a)(12). 7 OCC Rule 1001(a). 2014) (SR–OCC–2014–807).
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![12234 Federal Register / Vol. 80, No. 44 / Friday, March 6, 2015 / Notices
persons concerning whether the printing in the Commission’s Public the Federal Register on December 17,
proposed rule change is inconsistent Reference Room, 100 F Street NE., 2014.3 On January 30, 2015, the
with Section 17A of the Exchange Act Washington, DC 20549, on official Commission designated a longer period
or any other provision of the Exchange business days between the hours of for Commission action on the proposed
Act, or the rules and regulations 10:00 a.m. and 3:00 p.m. Copies of such rule change, until March 17, 2015.4 The
thereunder. Although there do not filings also will be available for Commission received no comments on
appear to be any issues relevant to inspection and copying at the principal the proposal. This order approves the
approval or disapproval which would office of OCC and on OCC’s Web site at proposed rule change.
be facilitated by an oral presentation of http://www.theocc.com/components/
II. Description of the Proposal
views, data, and arguments, the docs/legal/rules_and_bylaws/sr_occ_14_
Commission will consider, pursuant to 21.pdf. All comments received will be The Exchange proposes to amend
Rule 19b–4, any request for an posted without change; the Commission section 802.01E of its Listed Company
opportunity to make an oral does not edit personal identifying Manual (the ‘‘Late Filer Rule’’) to: (i)
presentation.20 information from submissions. You Expand the rule to impose a maximum
Interested persons are invited to should submit only information that period within which a company must
submit written data, views, and you wish to make available publicly. file a late quarterly report on Form
arguments on or before March 27, 2015. All submissions should refer to File 10–Q in order to maintain its listing,
Any person who wishes to file a rebuttal Number SR–OCC–2014–21 and should and (ii) clarify the Exchange’s treatment
to any other person’s submission must be submitted on or before March 27, of companies whose annual or quarterly
file that rebuttal on or before April 10, 2015. If comments are received, any reports are defective at the time of filing
2015. Comments may be submitted by rebuttal comments should be submitted or become defective at some subsequent
any of the following methods: on or before April 10, 2015. date.
Currently, the Late Filer Rule deems
Electronic Comments For the Commission, by the Division of
Trading and Markets, pursuant to delegated
a listed company to be delinquent in
• Use the Commission’s Internet authority.21 filing its annual report on Forms 10–K,
comment form (http://www.sec.gov/ Brent J. Fields, 20–F, 40–F or N–CSR with the
rules/sro.shtml); or Commission if it fails to submit the
Secretary.
• Send an email to rule-comments@ filing by the date such report was
[FR Doc. 2015–05160 Filed 3–5–15; 8:45 am]
sec.gov. Please include File Number SR– required to be filed by the applicable
BILLING CODE 8011–01–P
OCC–2014–21 on the subject line. form, or if a Form 12b–25 was timely
filed with the Commission, the
Paper Comments extended filing due date for the annual
• Send paper comments in triplicate SECURITIES AND EXCHANGE
report. During the six-month period
to Secretary, Securities and Exchange COMMISSION
from the date of such delinquency, the
Commission, 100 F Street NE., [Release No. 34–74412; File No. SR–NYSE– Exchange monitors the company and
Washington, DC 20549–1090. 2014–65] the status of the delinquent annual
All submissions should refer to File report, including through contact with
Number SR–OCC–2014–21. This file Self-Regulatory Organizations; New the company, until the filing
number should be included on the York Stock Exchange LLC; Order delinquency is cured. If the company
subject line if email is used. To help the Approving a Proposed Rule Change fails to cure such delinquency within
Commission process and review your Amending Its Continued Listing the initial six-month period, the
comments more efficiently, please use Requirements, as Set Forth in Section Exchange may, in its sole discretion,
only one method. The Commission will 802.01E of the Exchange’s Listed allow the company’s securities to be
post all comments on the Commission’s Company Manual, in Relation to the traded for up to an additional six-month
Internet Web site (http://www.sec.gov/ Late Filing of a Company’s Annual or period depending on the company’s
rules/sro.shtml). Copies of the Quarterly Report With the Securities specific circumstances. The Exchange
submission, all subsequent and Exchange Commission will commence suspension and
amendments, all written statements March 2, 2015. delisting procedures in accordance with
with respect to the proposed rule Section 804.00 of the Listed Company
change that are filed with the I. Introduction Manual if the Exchange determines that
Commission, and all written On December 4, 2014, New York an additional trading period of up to six
communications relating to the Stock Exchange LLC (‘‘NYSE’’ or the months is not appropriate, or if the
proposed rule change between the ‘‘Exchange’’) filed with the Securities Exchange determines that an additional
Commission and any person, other than and Exchange Commission (‘‘SEC’’ or trading period of up to six months is
those that may be withheld from the ‘‘Commission’’), pursuant to section appropriate and the company fails to
public in accordance with the 19(b)(1) of the Securities Exchange Act file its annual report by the end of the
provisions of 5 U.S.C. 552, will be of 1934 (‘‘Act’’) 1 and Rule 19b–4 additional period.
available for Web site viewing and thereunder,2 a proposed rule change to A company is not currently subject to
amend its continued listing the compliance periods set forth in the
20 Section 19(b)(2) of the Exchange Act, as
requirements, set forth in section Late Filer Rule in connection with a
amended by the Securities Acts Amendments of 802.01E of its Listed Company Manual, failure to timely file a quarterly report
1975, Pub. L. 94–29, 89 Stat. 97 (1975), grants the
mstockstill on DSK4VPTVN1PROD with NOTICES
with respect to companies whose on Form 10–Q with the SEC.5 Moreover,
Commission flexibility to determine what type of
proceeding—either oral or notice and opportunity required annual or quarterly reports are
3 See Securities Exchange Act Release No. 73821
for written comments—is appropriate for late or defective. The proposed rule
consideration of a particular proposal by a self- (December 11, 2014), 79 FR 75217 (‘‘Notice’’).
change was published for comment in 4 See Securities Exchange Act Release No. 74184,
regulatory organization. See Securities Acts
Amendments of 1975, Report of the Senate 80 FR 6558 (February 5, 2015).
21 17 CFR 200.30–3(a)(57).
Committee on Banking, Housing and Urban Affairs 5 While a company is not currently subject to the
1 15 U.S.C. 78s(b)(1).
to Accompany S. 249, S. Rep. No. 75, 94th Cong., compliance periods in the Late Filer Rule in
1st Sess. 30 (1975). 2 17 CFR 240.19b–4. connection with the failure to timely file a Form
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Document Created: 2018-02-21 09:33:16
Document Modified: 2018-02-21 09:33:16
| Category | Regulatory Information | |
| Collection | Federal Register | |
| sudoc Class | AE 2.7: GS 4.107: AE 2.106: | |
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| FR Citation | 80 FR 12232 |
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