Extension of Exemptions for Security-Based Swaps; Interim Final Rule (SEC - Pre-Fed. Reg. Version)

The SEC is extending the expiration dates to its interim final rules that provide exemptions under the Securities Act, the Exchange Act, and the Trust Indenture Act for security-based swaps that, as a result of Dodd-Frank Title VII, are presently defined as "securities". Without the exemption, security-based swaps would be subject to the ordinary provisions of the securities laws (such as the prospectus-delivery requirement, or the requirement that they be issued subject to a qualified indenture). Under the amendments, the expiration dates for the exemptions in the interim final rules is extended to February 11, 2014. If the extension had not been granted, the exemptions would have expired on February 11, 2013.

The exemptions that are being extended apply to security based swaps

Effective Date: The amendments are effective [insert date of publication in the Federal Register], and the expiration dates in the interim final rules published July 1, 2011 (76 FR 40605) are extended to February 11, 2014.

Cross-Reference(s): Securities Act Rule 240 ("Exemption for Certain Security-Based Swaps"), Exchange Acts Rules 12a-11 ("Exemption of Security-Based Swaps Sold in Reliance on Securities Act Rule 240 from Section 12(A) of the Act") and 12h-1 ("Exemptions from Registration Under Section 12(g) of the Act"), and Trust Indenture Act Rule 4d-12 ("Exemption for security-based swaps offered and sold in reliance on Securities Act Rule 240").

Click here to view rule release in full (links externally to SEC website).