,,ib  ,union ,cal5d> ,no4 #dgd  #aad?   
,,congress  #b;d ,session  ,h4 ,r4 #dfch
  ,report ,no4 #aad-fji  ,,9 ,,! ,,h\se 
,,( ,,repres5tatives  ,febru>y #bf1     
#bjaf ,mr4 ,g>rett 7= himself & ,mr4    
,*abot7 introduc$ ! foll[+ bill2 :i* 0  
ref]r$ to ! ,committee on ,f9ancial     
,s]vices  ,june #h1 #bjaf ,report$ ) an 
am5dm5t1 committ$ to ! ,committee ( !   
,:ole ,h\se on ! ,/ate ( ! ,union1 &    
ord]$ to be pr9t$ ,/rike out all aft] ! 
enact+ clause & ins]t ! "p pr9t$ 9      
italic ,= text ( introduc$ bill1 see    
copy ( bill z introduc$ on ,febru>y #bf1
 #bjaf  ,a ,,bill  ,to am5d !           
,securities ,ex*ange ,act ( #aicd to    
all[ = ! creation ( v5ture ex*anges to  
promote liquidity ( v5ture securities1 &
 = o!r purposes4  #a4 ,%ort title ,?is  
,act may be cit$ z ! ,ma9 ,/reet ,gr[?  
,act4  #b4 ,v5ture ex*anges  7a7        
,securities ,ex*ange ,act ( #aicd       
,section #f ( ! ,securities ,ex*ange    
,act ( #aicd 7#ae ,u4,s4,c4 #gh;f7 is   
am5d$ by add+ at ! end ! foll[+3  7m7   

,v5ture ex*ange  7#a7 ,regi/ration  7,a7
 ,9 g5]al ,a national securities ex*ange
 may elect to be treat$ 7or = a li/+ ti]
 ( su* ex*ange to be treat$7 z a v5ture 
ex*ange by notify+ ! ,commission ( su*  
election1 ei!r at ! "t ! ex*ange applies
 to be regi/]$ z a national securities  
ex*ange or aft] regi/]+ z a national    
securities ex*ange4  7,b7 ,det]m9ation  
"t p]iod ,) respect to a securities     
ex*ange elect+ to be treat$ 7or = a li/+
 ti] ( su* ex*ange to be treat$7 z a    
v5ture ex*ange--  7i7 at ! "t ! ex*ange 
applies to be regi/]$ z a national      
securities ex*ange1 su* application &   
election %all be deem$ to h be5 approv$ 
by ! ,commission unless ! ,commission   
d5ies su* application be=e ! end ( !    
#f-mon? p]iod beg9n+ on ! date !        
,commission receiv$ su* application2 &  
7ii7 aft] regi/]+ z a national          
securities ex*ange1 su* election %all be
 deem$ to h be5 approv$ by ! ,commission
 unless ! ,commission d5ies su* approval
 be=e ! end ( ! #f-mon? p]iod beg9n+ on 

! date ! ,commission receiv$            
notification ( su* election4  7#b7 ,p[]s
 & re/rictions ,a v5ture ex*ange-- 7,a7 
may only con/itute1 ma9ta91 or provide a
 m>ket place or facilities = br++ toge!r
 pur*as]s & sell]s ( v5ture securities2 
7,b7 may det]m9e ! increm5t to be us$ = 
quot+ & trad+ v5ture securities on !    
ex*ange2  7,c7 %all dissem9ate la/ sale 
& quotation in=mation on t]ms t are fair
 & reasonable & n unreasonably          
discrim9atory2  7,d7 may *oose to c>ry  
out p]iodic auctions = ! sale ( a v5ture
 security in/ead ( provid+ cont9u\s     
trad+ ( ! v5ture security2 &  7,e7 may n
 ext5d unli/$ trad+ privileges to any   
v5ture security4  7#c7 ,exemptions f    
c]ta9 national security ex*ange         
regulations ,a v5ture ex*ange %all n be 
requir$ to-- 7,a7 comply ) any (        
sections #bdb4fjj ?r\gh #bdb4fab ( title
 #ag1 ,code ( ,f$]al ,regulations2  7,b7
 comply ) any ( sections #bdb4cjj ?r\gh 
#bdb4cjc ( title #ag1 ,code ( ,f$]al    
,regulations2  7,c7 submit any data to a

 securities in=mation processor2 or     
7,d7 use decimal pric+4  7#d7 ,treatm5t 
( c]ta9 exempt$ securities ,a security t
 is exempt f regi/ration pursuant to    
section #c7;b7 ( ! ,securities ,act (   
#aicc %all be exempt f section #ab7;a7 (
 ?is title ) respect to ! trad+ ( su*   
security on a v5ture ex*ange1 if ! issu]
 ( su* security is 9 compliance ) all   
disclosure obligations ( su* section    
#c7;b7 & ! regulations issu$ "u su*     
section4  7#e7 ,def9itions ,= purposes (
 ?is subsection3 7,a7 ,e>ly-/age1 gr[?  
company  7i7 ,9 g5]al ,! t]m e>ly-/age1 
gr[? company means an issu]--  7,i7 t   
has n made an initial public (f]+ ( any 
securities ( ! issu]2 &  7,,ii7 ) a     
m>ket capitalization ( #a1jjj1jjj1jjj 7z
 su* am\nt is index$ = inflation e #e   
ye>s by ! ,commission to reflect ! *ange
 9 ! ,consum] ,price ,index = ,all      
,urban ,consum]s publi%$ by ! ,bureau ( 
,labor ,/ati/ics1 sett+ ! ?re%old to !  
ne>e/ #a1jjj1jjj7 or less4  7ii7        
,treatm5t :5 m>ket capitalization exce$s

 ?re%old  7,i7 ,9 g5]al ,9 ! case ( an  
issu] t is an e>ly-/age1 gr[? company ! 
securities ( :i* are trad$ on a v5ture  
ex*ange1 su* issu] %all n cease to be an
 e>ly-/age1 gr[? company by reason ( !  
m>ket capitalization ( su* issu] exce$+ 
! ?re%old specifi$ 9 clause 7i77,,ii7   
until ! end ( ! p]iod ( #bd consecutive 
mon?s dur+ :i* ! m>ket capitalization ( 
su* issu] exce$s #b1jjj1jjj1jjj 7z su*  
am\nt is index$ = inflation e #e ye>s by
 ! ,commission to reflect ! *ange 9 !   
,consum] ,price ,index = ,all ,urban    
,consum]s publi%$ by ! ,bureau ( ,labor 
,/ati/ics1 sett+ ! ?re%old to ! ne>e/   
#a1jjj1jjj74  7,,ii7 ,exemptions ,if an 
issu] w\ld cease to be an e>ly-/age1    
gr[? company "u subclause 7,i71 ! v5ture
 ex*ange may1 at ! reque/ ( ! issu]1    
exempt ! issu] f ! m>ket capitalization 
requirem5ts ( ?is subp>agraph = ! #a-ye>
 p]iod t beg9s on ! day aft] ! end ( !  
#bd-mon? p]iod describ$ 9 su* subclause4
 ,! v5ture ex*ange may1 at ! reque/ ( ! 
issu]1 ext5d ! exemption = #a additional

 ye>4  7,b7 ,v5ture security ,! t]m     
v5ture security means-- 7i7 securities (
 an e>ly-/age1 gr[? company t are exempt
 f regi/ration pursuant to section      
#c7;b7 ( ! ,securities ,act ( #aicc2 &  
7ii7 securities ( an em]g+ gr[? company4
  4  7b7 ,securities ,act ( #aicc       
,section #ah7;b77#a7 ( ! ,securities    
,act ( #aicc 7#ae ,u4,s4,c4 #ggr7b77#a77
 is am5d$--  7#a7 9 subp>agraph 7,b71 by
 /rik+ or at ! end2  7#b7 9 subp>agraph 
7,c71 by /rik+ ! p]iod & ins]t+ 2 or2 & 
7#c7 by add+ at ! end ! foll[+3  7,d7 a 
v5ture security1 z def9$ "u section     
#f7m77#e7 ( ! ,securities ,ex*ange ,act 
( #aicd4  4  7c7 ,s5se ( ,congress ,x is
 ! s5se ( ! ,congress t ! ,securities & 
,ex*ange ,commission %\ld-- 7#a7 :5     
necess>y or appropriate 9 ! public      
int]e/ & consi/5t ) ! protection (      
inve/ors1 make use ( ! ,commission's    
g5]al exemptive au?ority "u section #cf 
( ! ,securities ,ex*ange ,act ( #aicd   
7#ae ,u4,s4,c4 #ghmm7 ) respect to !    
provisions add$ by ?is section2 &  7#b7 

if ! ,commission det]m9es appropriate1  
create an ,(fice ( ,v5ture ,ex*anges )9 
! ,commission's ,division ( ,trad+ &    
,m>kets4  7d7 ,rule ( con/ruction ,no?+ 
9 ?is section or ! am5dm5ts made by ?is 
section %all be con/ru$ to impair or    
limit ! con/ruction ( ! antifraud       
provisions ( ! securities laws 7z def9$ 
9 section #c7;a7 ( ! ,securities        
,ex*ange ,act ( #aicd 7#ae ,u4,s4,c4    
#gh;c7a777 or ! au?ority ( ! ,securities
 & ,ex*ange ,commission "u ^?           
provisions4  7e7 ,effective date = ti]s 
( exi/+ national securities ex*anges ,9 
! case ( a securities ex*ange t is      
regi/]$ z a national securities ex*ange 
"u section #f ( ! ,securities ,ex*ange  
,act ( #aicd 7#ae ,u4,s4,c4 #gh;f7 on ! 
date ( ! enactm5t ( ?is ,act1 any       
election = a li/+ ti] ( su* ex*ange to  
be treat$ z a v5ture ex*ange "u         
subsection 7m7 ( su* section %all n take
 effect be=e ! date t is #ahj days aft] 
su* date ( enactm5t4  ,june #h1 #bjaf   
,report$ ) an am5dm5t1 committ$ to !    

,committee ( ! ,:ole ,h\se on ! ,/ate ( 
! ,union1 & ord]$ to be pr9t$