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Trader Information - Amex Notice

REG 2008-15
April 14th application deadline for Members seeking Exchange approval of existing electronic communications or proprietary trading systems on the trading floor

The purpose of this notice is to remind members and member organizations that the deadline for applying to the Exchange to obtain written approval for a member's continued use of an existing electronic communication system or proprietary trading system on the trading floor is Monday, April 14, 2008. Members who have not previously received Exchange approval in writing must submit an application to the Exchange for the continued use of these systems on the trading floor. Further, applications will not be accepted from vendors. Only members may apply for and obtain approval.

As previously stated in Amex Notice REG 2008-08, Amex Rules 220 and 220-AEMI 1, provide that no member shall establish or maintain any telephonic or electronic communication between the Floor and any other location, or between locations on the Floor without prior written approval of the Exchange.

Members are therefore required to submit an application to the Exchange and receive written Exchange approval prior to:

  1. Installing or using any telephonic or electronic means of communication (e.g. telephones, internet access, e-mail, instant messaging, text messaging, Skype-type communications, blogs, etc.) from on the Amex Trading Floor ("the Floor");
  2. Installing or substantively modifying any proprietary trading, quoting or order routing system or connectivity on the Floor.

To use any such system on the Floor, members must certify in the application that the use of the system will comply with recordkeeping requirements under the Securities Exchange Act of 1934 Section 17(a) 2 and Rules 17a-3 and 17a-4 thereunder, as well as Amex Rules, including Rules 153, 153-AEMI, 220, 220-AEMI and 324. Members must also certify that use of the system will be supervised pursuant to written compliance and supervisory policies and procedures in accordance with Amex Rule 320(e).

For further information on these systems and members' respective requirements, please see Amex Notice REG 2008-08.

How to Obtain Approval

When seeking Exchange approval for Electronic Communications Systems, members should complete the "Application for Electronic Communication Facilities on the Amex Trading Floor", which can be downloaded at http://www.amex.com/amextrader/membership/becomingAMember/Electronic_Communications_Application.doc.

When seeking Exchange approval for Proprietary Trading Systems, members should complete the "Application for Proprietary Systems on the American Stock Exchange Trading Floor", which can be downloaded at http://www.amex.com/amextrader/membership/becomingAMember/Application_Propietary_Systems_Amex_Trading_Floor.doc.

All completed applications should be submitted to colocation@amex.com by Monday, April 14, 2008.

Members are advised that the Exchange's approval does not, however, serve as a safe harbor, or excuse a member's failure to retain Electronic Communications, or other required records, or excuse a member's failure otherwise to comply with Amex rules, policies and procedures relating to the use and supervision of an approved system and/or applicable legal requirements.

Questions

Please direct regulatory questions to Ellen O'Rourke at 212-306-1865 or to Rick Farber at 212-306-5310. Technology questions may be directed to colocation@amex.com .

1 Approved Amex rules can be found on the web at http://wallstreet.cch.com/AMEX/Rules/.

2 Section 17(a) of the Securities Exchange Act of 1934 can be accessed at http://www.law.uc.edu/CCL/34Act/sec17.html.