Removal of Certain References to Credit Ratings Under the Securities Exchange Act of 1934

This is one of several proposed rules that the Securities and Exchange Commission (the "Commission') will be considering relating to the use of credit ratings in Commission rules and forms. Section 939A of the Dodd-Frank Act Wall Street Reform and Consumer Protection Act (the "Dodd-Frank Act') requires the Commission to remove any references to credit ratings from its regulations and to substitute such standard of creditworthiness as the Commission determines to be appropriate. In this release, the Commission is proposing to amend certain rules and one form under the Securities Exchange Act of 1934 (the "Exchange Act') applicable to broker-dealer financial responsibility, distributions of securities, and confirmations of transactions. The Commission also is requesting comment on potential standards of creditworthiness for purposes of Exchange Act Sections 3(a)(41) and 3(a)(53), which define the terms "mortgage related security' and "small business related security,' respectively, as the Commission considers how to implement Section 939(e) of the Dodd- Frank Act.