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Accordingly, the Commission finds the Federal Register on March 3, 2006.4 ensure that the Exchange’s clearly
good cause for approving this proposed The Commission received no comments erroneous execution rule is exercised in
rule change prior to the thirtieth day on the proposal. This order approves the a fair and reasonable manner. As the
after the date of publication of notice proposed rule change. Exchange noted, the primary listing
thereof in the Federal Register. The proposed rule change would exchange’s opening price for an IPO
Specifically, the Commission believes revise the procedures in NYSE Arca security may not necessarily be
that it is consistent with Section 19(b)(2) Equities Rule 7.10(e) relating to trade indicative of the actual trading price of
of the Act 48 to approve the Exchange’s nullifications (‘‘busts’’) and price the security, and, thus the Commission
proposed rule change prior to the adjustments (‘‘adjusts’’) of the initial believes that it is fair and reasonable for
thirtieth day after publication of the trade of securities issued in IPOs that NYSE Arca Equities staff to have the
notice of filing thereof in the Federal are traded on the Archipelago Exchange discretion to review all prices at the
Register. (n/k/a NYSE Arca Marketplace) on an time the IPO security first trades on the
unlisted trading privileges basis. primary listing exchange to determine
V. Conclusion Currently, initial trades on NYSE Arca whether it is appropriate to adjust or
It is therefore ordered, pursuant to Marketplace of these securities that are bust the trade at issue.
Section 19(b)(2) of the Act,49 that the executed at prices of $1.00 or 10% It is therefore ordered, pursuant to
proposed rule change (File No. SR– (whichever is lesser) away from the section 19(b)(2) of the Act,7 that the
CBOT–2006–01) is approved on an primary listing exchange’s opening proposed rule change (SR–PCX–2006–
accelerated basis. price are automatically busted or 12) is approved.
adjusted to the opening price of the
For the Commission, by the Division of For the Commission, by the Division of
Market Regulation, pursuant to delegated security on the primary listing Market Regulation, pursuant to delegated
authority.50 exchange. Under the proposed rule authority.8
Nancy M. Morris, change, NYSE Arca Equities staff would Nancy M. Morris,
have the discretion to bust or adjust
Secretary. Secretary.
initial trades in IPO securities that are
[FR Doc. E6–5650 Filed 4–14–06; 8:45 am] executed at $1.00 or 10% (whichever is [FR Doc. E6–5609 Filed 4–14–06; 8:45 am]
BILLING CODE 8010–01–P lesser) away from the opening price on BILLING CODE 8010–01–P
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