[ by Howard Haykin ] FINRA filed for immediate effectiveness to modify fees and transaction credits applicable to members that use the FINRA/NYSE Trade Reporting Facility (the "FINRA/NYSE TRF").  The FINRA/NYSE TRF is a facility of FINRA that's operated by The NYSE Market, Inc.  The changes, which are scheduled to become effective 7/2/12, would affect the FINRA Rule 7600B Series.  Proposed Amendments to Rule 7610B. The FINRA/NYSE TRF receives revenue for transactions reported to the 3 tapes from the Consolidated  Tape Association and Nasdaq Securities Information Processor.  Currently, FINRA/NYSE TRF shares 100% of the market data revenue it earns with FINRA members reporting trades in Tape A, Tape B, and Tape C securities to the FINRA/NYSE TRF. FINRA is amending Rule 7610B so as to base the percentage of market data revenue shared with a FINRA member that reports trades to the FINRA/NYSE TRF on that member's "Market  Share." That figure is defined as the percentage calculated by dividing the total number of shares represented by trades reported by a member to the FINRA/NYSE TRF during a given calendar quarter by the total number of shares represented by all trades reported to the Consolidated Tape Association or the Nasdaq Securities Information Processor, as applicable, during that quarter. Market Share will be calculated separately for each tape.  The proposed definition of"Market Share" is identical to the definition in Rule 7610A applicable to the FINRA/Nasdaq Trade Reporting Facility ("FINRA/Nasdaq TRF").

• A member with a Market Share of 0.9% or more in Tape A or Tape C, or0.7% or more in Tape B, would receive 90% of the attributable market data revenue;
• a member with less than 0.9% but at least 0.5% in Tape A or Tape C, or less than 0.7% but at least 0.5% in Tape B, would receive 75%;
• a member with less than 0.5% but at least 0.4% in Tape A, Tape B or Tape C would receive 70%;
• a member with less than 0.4% but at least 0.075% in Tape A, Tape B or Tape C would receive 25%;  and,
• a member with less than 0.075% in Tape A, Tape B or Tape C would not be eligible for the market data revenue sharing program.

Thus, as a general matter, market participants that make the most use of the FINRA/NYSE TRF will be eligible for the highest level of revenue sharing with others receiving progressively lower percentages. FINRA notes that the Market Share and revenue percentages for each tape are independent of each other and, as such, may subsequently be adjusted individually. Proposed Amendments to Rule 7620B. FINRA will begin charging members a monthly fee for use of the FINRA/NYSE TRF - they currently are not charged a fee.  Members will be charged either $500 or $1,000 per month beginning in the month of the member's first trade report on or after 7/2/12.  Once a member's fee begins, the fee will be charged each month unless and until the member cancels its access to the FINRA/NYSE TRF, even if the member reports no trades to that facility in a given month. Proposed Rule 7630B. This would allow affiliated members to aggregate their activity for purposes of the fee and credit schedule applicable to the FINRA/NYSE TRF.   For example, affiliated members that might not qualify by themselves for a certain Market Share percentage under the proposed changes to Rule 76108 may be able to qualify by aggregating their activity. For further details on all rule changes, including those noted above, go to:  [FINRA Rule Filing 12-32, 6/19/12].