82 FR 35573 - Self-Regulatory Organizations; Bats BZX Exchange, Inc.; Notice of Filing and Immediate Effectiveness of a Proposed Rule Change Related to Fees for Use on Bats BZX Exchange, Inc.
SECURITIES AND EXCHANGE COMMISSION Federal Register Volume 82, Issue 145 (July 31, 2017)
Federal Register Volume 82, Issue 145 (July 31, 2017)
| Page Range | 35573-35575 | |
| FR Document | 2017-15996 |
[Federal Register Volume 82, Number 145 (Monday, July 31, 2017)] [Notices] [Pages 35573-35575] From the Federal Register Online [www.thefederalregister.org] [FR Doc No: 2017-15996] [[Page 35573]] ----------------------------------------------------------------------- SECURITIES AND EXCHANGE COMMISSION [Release No. 34-81206; File No. SR-BatsBZX-2017-44] Self-Regulatory Organizations; Bats BZX Exchange, Inc.; Notice of Filing and Immediate Effectiveness of a Proposed Rule Change Related to Fees for Use on Bats BZX Exchange, Inc. July 25, 2017. Pursuant to Section 19(b)(1) of the Securities Exchange Act of 1934 (the ``Act''),\1\ and Rule 19b-4 thereunder,\2\ notice is hereby given that on July 12, 2017, Bats BZX Exchange, Inc. (the ``Exchange'' or ``BZX'') filed with the Securities and Exchange Commission (``Commission'') the proposed rule change as described in Items I, II and III below, which Items have been prepared by the Exchange. 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\ 17 CFR 240.19b-4. --------------------------------------------------------------------------- I. Self-Regulatory Organization's Statement of the Terms of Substance of the Proposed Rule Change The Exchange filed a proposal to amend the fee schedule applicable to Members \3\ and non-Members of the Exchange pursuant to BZX Rules 15.1(a) and (c). --------------------------------------------------------------------------- \3\ The term ``Member'' is defined as ``any registered broker or dealer that has been admitted to membership in the Exchange.'' See Exchange Rule 1.5(n). --------------------------------------------------------------------------- The text of the proposed rule change is available at the Exchange's Web site at www.bats.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 Exchange included statements concerning the purpose of and basis for the proposed rule change and discussed any comments it received on the proposed rule change. The text of these statements may be examined at the places specified in Item IV below. The 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 Exchange proposes to amend its fee schedule to modify the tier- based incremental credits for Members that are Lead Market Makers (``LMMs'') for their orders that provide displayed liquidity in the securities described under footnote 14.\4\ --------------------------------------------------------------------------- \4\ See the Exchange's fee schedule available at https://www.bats.com/us/equities/membership/fee_schedule/bzx/. --------------------------------------------------------------------------- On April 17, 2014, the Exchange filed a proposal to adopt rules to create an LMM Program (the ``Program'') on an immediately effective basis.\5\ The Program is designed to strengthen market quality for Exchange-listed Exchange Traded Products (``ETPs'') \6\ by offering enhanced pricing to Market Makers \7\ registered with the Exchange \8\ that are also registered as an LMM in an LMM Security \9\ and meet certain minimum quoting standards (``Minimum Performance Standards'').\10\ In October 2015, the Exchange filed a proposed rule change with the Commission to adopt LMM credit tiers under part (B) of footnote 14 on an immediately effective basis.\11\ --------------------------------------------------------------------------- \5\ See Securities Exchange Act Release No. 72020 (April 25, 2014), 79 FR 24807 (May 1, 2014) (SR-BATS-2014-015). \6\ As defined in Exchange Rule 11.8(e)(1)(A), ETP means any security listed pursuant to Exchange Rule 14.11. \7\ As defined in Exchange Rule 1.5(l), Market Maker means a Member that acts as a Market Maker pursuant to Chapter XI. \8\ See Exchange Rule 11.5. \9\ As defined in Exchange Rule 11.8(e)(1)(C), LMM Security means an ETP that has an LMM. \10\ As defined in Exchange Rule 11.8(e)(1)(D), Minimum Performance Standards means a set of standards applicable to an LMM that may be determined from time to time by the Exchange. \11\ See Securities Exchange Act Release No. 76147 (October 14, 2015), 80 FR 63621 (October 20, 2015) (SR-BATS-2015-89). --------------------------------------------------------------------------- As described above, the Exchange offers tier-based incremental credits to Members that are LMMs for their orders that provide displayed liquidity pursuant to part (B) of footnote 14 of the fee schedule. Specifically, Members that are a Qualified LMM \12\ in at least 25 LMM Securities receive an additional rebate per share (``LMM Credit'') for orders that provide displayed liquidity in Tape B securities traded on the Exchange, including non-Exchange-listed securities, except that such LMM Credits are not applied to the rebates provided to LMMs pursuant to part (A) of footnote 14 of the fee schedule (the ``LMM Rebate''). Currently, the LMM Credits and volume thresholds associated with Tape B securities are as follows: (i) An LMM Credit of $0.0001 per share where an LMM is a Qualified LMM in at least 25 ETPs; (ii) an LMM Credit of $0.0002 per share where an LMM is a Qualified LMM in at least 50 ETPs; (iii) an LMM Credit of $0.0003 per share where an LMM is a Qualified LMM in at least 75 ETPs; and (iv) an LMM Credit of $0.0004 per share where an LMM is a Qualified LMM in at least 125 ETPs. --------------------------------------------------------------------------- \12\ An LMM is a ``Qualified LMM'' in a security where it provides pricing for orders that add displayed liquidity in an LMM Security that meets the Minimum Performance Standards during the applicable billing month. See Exchange Rule 11.8(e). --------------------------------------------------------------------------- The Exchange proposes to increase these LMM Credits for Tape B securities and to create new LMM Credits for Tape A and Tape C securities. For Tape B securities, the Exchange is proposing to increase the LMM Credits as follows: (i) From an LMM Credit of $0.0001 to $0.0002 per share where an LMM is a Qualified LMM in at least 25 ETPs; (ii) from an LMM Credit of $0.0002 to $0.0004 per share where an LMM is a Qualified LMM in at least 50 ETPs; (iii) from an LMM Credit of $0.0003 to $0.0006 per share where an LMM is a Qualified LMM in at least 75 ETPs; and (iv) from an LMM Credit of $0.0004 to $0.0008 per share where an LMM is a Qualified LMM in at least 125 ETPs. For Tape A and Tape C securities, the Exchange is proposing to create new LMM Credit Tiers such that a Member would receive: (i) An LMM Credit of $0.0001 per share where an LMM is a Qualified LMM in at least 25 ETPs; (ii) an LMM Credit of $0.0002 per share where an LMM is a Qualified LMM in at least 50 ETPs; (iii) an LMM Credit of $0.0003 per share where an LMM is a Qualified LMM in at least 75 ETPs; and (iv) an LMM Credit of $0.0004 per share where an LMM is a Qualified LMM in at least 125 ETPs. Finally, the Exchange proposes to implement a cap of $100,000 per Member on a monthly basis for additional rebates as part of the LMM Credit Tiers under part B of footnote 14. Implementation Date The Exchange proposes to implement these amendments to its fee schedule on September 1, 2017. 2. Statutory Basis The Exchange believes that the proposed rule change is consistent with the objectives of Section 6 of the Act,\13\ in general, and furthers the objectives of [[Page 35574]] Section 6(b)(4),\14\ in particular, as it is designed to provide for the equitable allocation of reasonable dues, fees and other charges among its Members and other persons using its facilities and it does not unfairly discriminate between customers, issuers, brokers or dealers. The proposed rule change reflects a competitive pricing structure designed to incent market participants to direct their order flow to the Exchange. The Exchange believes that the proposed rebates are equitable and non-discriminatory in that they would apply uniformly to all Members. --------------------------------------------------------------------------- \13\ 15 U.S.C. 78f. \14\ 15 U.S.C. 78f(b)(4). --------------------------------------------------------------------------- The proposed changes are intended to encourage Members to promote price discovery and market quality across all Exchange-listed securities for the benefit of all market participants. The Exchange believes that increasing the LMM Credits for Tape B securities and offering LMM Credits in Tape A and Tape C securities provides greater incentives to Members to become LMMs in Exchange-listed ETPs, to satisfy the Minimum Performance Standards in ETPs each month, and to add liquidity in securities on the Exchange, and is therefore reasonable because the Exchange believes doing so would encourage more LMMs to register to quote and trade in as many Exchange-listed ETPs as possible. While the Exchange already offers LMM Credits in Tape B securities, increasing such rebates will further incentivize Members to become LMMs in Exchange-listed ETPs and provide additional liquidity in other ETPs generally. In particular, enhanced rebates based on the number of securities for which a Member is registered as an LMM, would provide an incentive for such Members not only to register as an LMM in more liquid securities, but also to register to quote in lower volume ETPs, which are traditionally less profitable for Market Makers than more liquid ETPs. Moreover, the Exchange believes that the proposed change will incentivize LMMs to register as an LMM in more ETPs, including less liquid ETPs and, thus, add more liquidity in securities to the benefit of all market participants. The Exchange also believes that the proposed changes are equitable and not unfairly discriminatory because they remain consistent with the market quality and competitiveness benefits associated with the fee program and because the magnitude of the additional rebate is not unreasonably high in comparison to the requirements associated with receiving such LMM Credit and the rebate paid with respect to other displayed liquidity- providing orders. The Exchange further believes that it is an equitable allocation of reasonable fees to offer different LMM Credit rebates between Tape B securities as compared to Tape A and Tape C securities. As described above, LMM Credits are designed to incentivize increased participation in the Exchange's LMM Program, but the Exchange believes that they will also simultaneously incentivize higher trading volumes and enhanced market quality by LMMs in all securities for which the LMM Credits apply. While the Exchange believes that offering LMM Credits on each of Tape A, Tape B, and Tape C securities will enhance market quality on all securities traded on the Exchange, by offering higher LMM Credits for Tape B securities, the Exchange will further incentivize increased liquidity provision in Exchange-listed securities and for ETPs generally, which further supports the purpose of the LMM Credits. Finally, the Exchange believes that it is an equitable allocation of reasonable dues, fees and other charges among its Members and is not unfairly discriminatory to implement a monthly cap of $100,000 per Member for additional rebates as part of the LMM Credit Tiers under part B of footnote 14. Such a cap will help ensure that it will remain financially viable for the Exchange to continue to offer the LMM Credit Tiers. Further, the Exchange believes that the proposed cap is high enough as to not meaningfully reduce the incentives for Members to become an LMM in Bats-listed securities or significantly mitigate any of the market quality benefits to Bats-listed securities or other securities traded on the Exchange that were described above. 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 not necessary or appropriate in furtherance of the purposes of the Act. Similarly, the Exchange does not believe that the proposed change to the Exchange's pricing structure burden competition, but instead, that they enhance competition as they are intended to increase the competitiveness of the Exchange by modifying pricing incentives in order to attract order flow and incentivize participants to increase their participation on the Exchange. The Exchange does not believe that the proposed increase in rebates will burden competition, but instead, enhances competition, as these changes are intended to increase LMM participation in securities, to incentivize Members to register as LMMs in Exchange-listed ETPs, and to encourage Members to meet the Minimum Performance Standards in such ETPs. As such, the proposal is a competitive proposal that is intended to add additional liquidity to the Exchange, which will, in turn, benefit the Exchange and all Exchange participants. Moreover, the Exchange does not believe that the proposed amendments would burden intramarket competition as they would be available to all Members uniformly. C. Self-Regulatory Organization's Statement on Comments on the Proposed Rule Change Received From Members, Participants or Others The Exchange has not solicited, and does not intend to solicit, comments on this proposed rule change. The Exchange has not received any unsolicited written comments from Members or other interested parties. III. Date of Effectiveness of the Proposed Rule Change and Timing for Commission Action The foregoing rule change has become effective pursuant to Section 19(b)(3)(A) of the Act\15\ and paragraph (f) of Rule 19b-4 thereunder.\16\ At any time within 60 days of the filing of the proposed rule change, the Commission summarily may temporarily suspend such rule change if it appears to the Commission that such action is necessary or appropriate in the public interest, for the protection of investors, or otherwise in furtherance of the purposes of the Act. --------------------------------------------------------------------------- \15\ 15 U.S.C. 78s(b)(3)(A). \16\ 17 CFR 240.19-4(f). --------------------------------------------------------------------------- IV. Solicitation of Comments Interested persons are invited to submit written data, views and arguments concerning the foregoing, including whether the proposal is consistent with the Act. 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 No. SR-BatsBZX-2017-44 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. [[Page 35575]] All submissions should refer to File No. SR-BatsBZX-2017-44. 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 will also 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 No. SR-BatsBZX-2017-44 and should be submitted on or before August 21, 2017. For the Commission, by the Division of Trading and Markets, pursuant to delegated authority.\17\ --------------------------------------------------------------------------- \17\ 17 CFR 200.30-3(a)(12). --------------------------------------------------------------------------- Eduardo A. Aleman, Assistant Secretary. [FR Doc. 2017-15996 Filed 7-28-17; 8:45 am] BILLING CODE 8011-01-P
![Federal Register / Vol. 82, No. 145 / Monday, July 31, 2017 / Notices 35573
SECURITIES AND EXCHANGE A. Self-Regulatory Organization’s Credits are not applied to the rebates
COMMISSION Statement of the Purpose of, and provided to LMMs pursuant to part (A)
Statutory Basis for, the Proposed Rule of footnote 14 of the fee schedule (the
[Release No. 34–81206; File No. SR– Change ‘‘LMM Rebate’’). Currently, the LMM
BatsBZX–2017–44] Credits and volume thresholds
1. Purpose
associated with Tape B securities are as
Self-Regulatory Organizations; Bats The Exchange proposes to amend its follows: (i) An LMM Credit of $0.0001
BZX Exchange, Inc.; Notice of Filing fee schedule to modify the tier-based per share where an LMM is a Qualified
and Immediate Effectiveness of a incremental credits for Members that are LMM in at least 25 ETPs; (ii) an LMM
Lead Market Makers (‘‘LMMs’’) for their Credit of $0.0002 per share where an
Proposed Rule Change Related to Fees
orders that provide displayed liquidity LMM is a Qualified LMM in at least 50
for Use on Bats BZX Exchange, Inc.
in the securities described under ETPs; (iii) an LMM Credit of $0.0003 per
July 25, 2017. footnote 14.4 share where an LMM is a Qualified
On April 17, 2014, the Exchange filed LMM in at least 75 ETPs; and (iv) an
Pursuant to Section 19(b)(1) of the a proposal to adopt rules to create an LMM Credit of $0.0004 per share where
Securities Exchange Act of 1934 (the LMM Program (the ‘‘Program’’) on an an LMM is a Qualified LMM in at least
‘‘Act’’),1 and Rule 19b-4 thereunder,2 immediately effective basis.5 The 125 ETPs.
notice is hereby given that on July 12, Program is designed to strengthen
2017, Bats BZX Exchange, Inc. (the The Exchange proposes to increase
market quality for Exchange-listed these LMM Credits for Tape B securities
‘‘Exchange’’ or ‘‘BZX’’) filed with the Exchange Traded Products (‘‘ETPs’’) 6 by and to create new LMM Credits for Tape
Securities and Exchange Commission offering enhanced pricing to Market A and Tape C securities. For Tape B
(‘‘Commission’’) the proposed rule Makers 7 registered with the Exchange 8 securities, the Exchange is proposing to
change as described in Items I, II and III that are also registered as an LMM in an increase the LMM Credits as follows: (i)
below, which Items have been prepared LMM Security 9 and meet certain From an LMM Credit of $0.0001 to
by the Exchange. The Commission is minimum quoting standards $0.0002 per share where an LMM is a
publishing this notice to solicit (‘‘Minimum Performance Standards’’).10 Qualified LMM in at least 25 ETPs; (ii)
comments on the proposed rule change In October 2015, the Exchange filed a from an LMM Credit of $0.0002 to
from interested persons. proposed rule change with the $0.0004 per share where an LMM is a
Commission to adopt LMM credit tiers Qualified LMM in at least 50 ETPs; (iii)
I. Self-Regulatory Organization’s under part (B) of footnote 14 on an
Statement of the Terms of Substance of from an LMM Credit of $0.0003 to
immediately effective basis.11 $0.0006 per share where an LMM is a
the Proposed Rule Change As described above, the Exchange Qualified LMM in at least 75 ETPs; and
offers tier-based incremental credits to (iv) from an LMM Credit of $0.0004 to
The Exchange filed a proposal to
Members that are LMMs for their orders $0.0008 per share where an LMM is a
amend the fee schedule applicable to
that provide displayed liquidity Qualified LMM in at least 125 ETPs.
Members 3 and non-Members of the pursuant to part (B) of footnote 14 of the
Exchange pursuant to BZX Rules 15.1(a) fee schedule. Specifically, Members that For Tape A and Tape C securities, the
and (c). are a Qualified LMM 12 in at least 25 Exchange is proposing to create new
The text of the proposed rule change LMM Securities receive an additional LMM Credit Tiers such that a Member
is available at the Exchange’s Web site rebate per share (‘‘LMM Credit’’) for would receive: (i) An LMM Credit of
at www.bats.com, at the principal office orders that provide displayed liquidity $0.0001 per share where an LMM is a
in Tape B securities traded on the Qualified LMM in at least 25 ETPs; (ii)
of the Exchange, and at the
Exchange, including non-Exchange- an LMM Credit of $0.0002 per share
Commission’s Public Reference Room.
listed securities, except that such LMM where an LMM is a Qualified LMM in
II. Self-Regulatory Organization’s at least 50 ETPs; (iii) an LMM Credit of
Statement of the Purpose of, and 4 See the Exchange’s fee schedule available at $0.0003 per share where an LMM is a
Statutory Basis for, the Proposed Rule https://www.bats.com/us/equities/membership/fee_ Qualified LMM in at least 75 ETPs; and
Change schedule/bzx/. (iv) an LMM Credit of $0.0004 per share
5 See Securities Exchange Act Release No. 72020
where an LMM is a Qualified LMM in
(April 25, 2014), 79 FR 24807 (May 1, 2014) (SR–
In its filing with the Commission, the BATS–2014–015).
at least 125 ETPs.
Exchange included statements 6 As defined in Exchange Rule 11.8(e)(1)(A), ETP Finally, the Exchange proposes to
concerning the purpose of and basis for means any security listed pursuant to Exchange implement a cap of $100,000 per
the proposed rule change and discussed Rule 14.11.
7 As defined in Exchange Rule 1.5(l), Market
Member on a monthly basis for
any comments it received on the additional rebates as part of the LMM
Maker means a Member that acts as a Market Maker
proposed rule change. The text of these pursuant to Chapter XI. Credit Tiers under part B of footnote 14.
statements may be examined at the 8 See Exchange Rule 11.5.
Implementation Date
places specified in Item IV below. The 9 As defined in Exchange Rule 11.8(e)(1)(C), LMM
Exchange has prepared summaries, set Security means an ETP that has an LMM.
10 As defined in Exchange Rule 11.8(e)(1)(D),
The Exchange proposes to implement
forth in Sections A, B, and C below, of Minimum Performance Standards means a set of these amendments to its fee schedule on
the most significant parts of such standards applicable to an LMM that may be September 1, 2017.
statements. determined from time to time by the Exchange.
sradovich on DSKBCFCHB2PROD with NOTICES
11 See Securities Exchange Act Release No. 76147 2. Statutory Basis
(October 14, 2015), 80 FR 63621 (October 20, 2015)
1 15 (SR–BATS–2015–89). The Exchange believes that the
U.S.C. 78s(b)(1).
2 17 CFR 240.19b–4.
12 An LMM is a ‘‘Qualified LMM’’ in a security proposed rule change is consistent with
3 The term ‘‘Member’’ is defined as ‘‘any
where it provides pricing for orders that add the objectives of Section 6 of the Act,13
displayed liquidity in an LMM Security that meets in general, and furthers the objectives of
registered broker or dealer that has been admitted the Minimum Performance Standards during the
to membership in the Exchange.’’ See Exchange applicable billing month. See Exchange Rule
Rule 1.5(n). 11.8(e). 13 15 U.S.C. 78f.
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![Federal Register / Vol. 82, No. 145 / Monday, July 31, 2017 / Notices 35575
All submissions should refer to File requests an order to amend a prior Web site by searching for the file
No. SR–BatsBZX–2017–44. This file order 1 that permits the Company to number, or for the applicant using the
number should be included on the issue Restricted Stock 2 to the Company name box, at http://
subject line if email is used. To help the Company’s Participants 3 under the www.sec.gov/search/search.htm or by
Commission process and review your terms of its 2010 Restricted Stock calling (202) 551–8090.
comments more efficiently, please use Award Plan, as amended on January 25, Applicant’s Representations
only one method. The Commission will 2017 (the ‘‘Amended Plan’’). The
post all comments on the Commission’s Company seeks to amend the Prior 1. The Company is an internally
Internet Web site (http://www.sec.gov/ Order to permit it to engage in certain managed, non-diversified, closed-end
rules/sro.shtml). Copies of the transactions in connection with the investment company that has elected to
submission, all subsequent Amended Plan and the Company’s 2009 be regulated as a business development
amendments, all written statements Stock Incentive Plan, as amended on company (‘‘BDC’’) under the Act. The
with respect to the proposed rule May 23, 2017 (the ‘‘Amended 2009 Amended Plan authorizes the Company,
change that are filed with the Plan’’) that may constitute purchases by among other things, to grant to
Commission, and all written the Company of its own securities Participants, in accordance with the
communications relating to the within the meaning of section 23(c) of terms and conditions of the Prior Order,
proposed rule change between the the Act. Restricted Stock. Further, under the
Commission and any person, other than terms of the Amended 2009 Plan, the
APPLICANT: Capital Southwest
those that may be withheld from the Company is authorized, among other
Corporation.
public in accordance with the things to grant to Participants options to
FILING DATES: The application was filed acquire shares of the Company’s
provisions of 5 U.S.C. 552, will be on January 30, 2017, and amended on
available for Web site viewing and common stock (‘‘Common Stock’’). The
May 23, 2017, June 19, 2017, and July Company seeks to amend the Prior
printing in the Commission’s Public 19, 2007.
Reference Room, 100 F Street NE., Order to permit it to withhold shares of
HEARING OR NOTIFICATION OF HEARING: the Company’s Common Stock or
Washington, DC 20549, on official An order granting the requested relief
business days between the hours of purchase shares of Common Stock from
will be issued unless the Commission the Participants to satisfy tax
10:00 a.m. and 3:00 p.m. Copies of the orders a hearing. Interested persons may
filing will also be available for withholding obligations related to the
request a hearing by writing to the vesting of Restricted Stock granted
inspection and copying at the principal Commission’s Secretary and serving pursuant to the Amended Plan or the
office of the Exchange. All comments applicant with a copy of the request, exercise of options to purchase shares of
received will be posted without change; personally or by mail. Hearing requests Common Stock granted pursuant to the
the Commission does not edit personal should be received by the Commission Amended 2009 Plan. In addition, the
identifying information from by 5:30 p.m. on August 21, 2017 and Company seeks to permit employees to
submissions. You should submit only should be accompanied by proof of pay the exercise price of options to
information that you wish to make service on applicant, in the form of an purchase shares of Common Stock
available publicly. All submissions affidavit, or for lawyers, a certificate of granted pursuant to the Amended 2009
should refer to File No. SR–BatsBZX– service. Pursuant to rule 0–5 under the Plan with shares of Common Stock
2017–44 and should be submitted on or Act, hearing requests should state the already held by them or pursuant to a
before August 21, 2017. nature of the writer’s interest, any facts net share settlement feature.4 The
For the Commission, by the Division of bearing upon the desirability of a Company will continue to comply with
Trading and Markets, pursuant to delegated hearing on the matter, the reason for the all of the terms and conditions of the
authority.17 request, and the issues contested. Prior Order.
Eduardo A. Aleman, Persons who wish to be notified of a 2. On the date that the Restricted
Assistant Secretary. hearing may request notification by Stock vests (assuming no election has
[FR Doc. 2017–15996 Filed 7–28–17; 8:45 am] writing to the Commission’s Secretary. been made under section 83(b) of the
BILLING CODE 8011–01–P ADDRESSES: Secretary, Securities and Internal Revenue Code of 1986, as
Exchange Commission, 100 F Street NE., amended), the shares are released to the
Washington, DC 20549–1090. Participant and are available for sale or
SECURITIES AND EXCHANGE Applicant: Bowen S. Deihl, Chief transfer (subject to the Company’s share
COMMISSION Executive Officer and President, Capital retention guidelines).5 The Company
[Investment Company Act Release No. Southwest Corporation, 5400 Lyndon B
4 Net share settlement allows the Company to
32742; File No. 812–14740] Johnson Freeway, Suite 1300, Dallas, deliver directly to the optionee only the number of
Texas 75240. shares underlying the portion of the option
Capital Southwest Corporation FOR FURTHER INFORMATION CONTACT: exercised less such number of shares as is equal to
Asen Parachkevov, Senior Counsel, or (X) the aggregate exercise price for the portion of
July 25, 2017. the option being exercised divided by (Y) the Fair
Robert Shapiro, Branch Chief, at (202) Market Value (as defined below) on the date of
AGENCY: Securities and Exchange
551–6821, (Division of Investment exercise. The Company states that the
Commission (‘‘Commission’’). Compensation Committee of the Board has
Management, Chief Counsel’s Office).
ACTION: Notice. determined to use the closing sales price of the
SUPPLEMENTARY INFORMATION: The Common Stock on the NASDAQ Global Select
Notice of an application for an order following is a summary of the Market (or any other such exchange on which the
sradovich on DSKBCFCHB2PROD with NOTICES
application. The complete application Common Stock may be traded in the future) on the
under section 23(c)(3) of the Investment date of the applicable transaction or other event as
Company Act of 1940 (the ‘‘Act’’) for an may be obtained via the Commission’s the fair market value (‘‘Fair Market Value’’) with
exemption from section 23(c) of the Act. respect to the Common Stock for all purposes under
1 Investment Company Act Release Nos. 29450
the Amended 2009 Plan.
SUMMARY OF THE APPLICATION: Capital (September 29, 2010) (notice) and 29491 (October 5 During the restriction period (i.e., prior to the
Southwest Corporation (‘‘Company’’) 26, 2010) (order) (the ‘‘Prior Order’’). lapse of the forfeiture restrictions), the Restricted
2 As defined in the Prior Order.
Stock may not be sold, transferred, pledged,
17 17 CFR 200.30–3(a)(12). 3 As defined in the Prior Order. Continued
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Document Created: 2017-07-29 00:21:30
Document Modified: 2017-07-29 00:21:30
| Category | Regulatory Information | |
| Collection | Federal Register | |
| sudoc Class | AE 2.7: GS 4.107: AE 2.106: | |
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| Section | Notices | |
| FR Citation | 82 FR 35573 |
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