MEMORANDUM

October 31, 2003
TO: Files
FROM: Luis de la Torre
Counsel to Commissioner Goldschmid
RE: Amendment No. 3 to the Proposed Rule Change by the Boston Stock Exchange, Inc. Establishing Trading Rules for the Boston Options Exchange Facility, Release No. 34-48355, File No. SR-BSE-2002-15


On September 30, 2003, Gerald D. O'Connell, Todd L. Silverberg, and Joel Greenberg of Susquehanna International Group and Holly H. Smith of Sutherland Asbill & Brennan met with met with Commissioner Harvey J. Goldschmid and myself, counsel to the Commissioner. The Susquehanna representatives discussed the Boston Stock Exchange's proposed new electronic options trading facility, described in Notice of Filing of Amendment No. 3 to the Proposed Rule Change by the Boston Stock Exchange, Inc. Establishing Trading Rules for the Boston Options Exchange Facility, SEC Release No. 34-48355, File No. SR-BSE-2002-15 (Aug. 15, 2003). They expressed the views that are contained in Susquehanna's September 11, 2003 comment letter on that proposal, as well as Susquehanna's February 12, 2003 comment letter on the original proposal, described in Notice of Filing of Proposed Rule Change by the Boston Stock Exchange, Inc. Establishing Trading Rules for the Boston Options Exchange Facility, SEC Release No. 34-47186, File No. SR-BSE-2002-15 (Jan. 14, 2003).