FOR IMMEDIATE RELEASE
CBOE STOCK EXCHANGE (CBSX) LAUNCHED TODAY; FIRST DAY VOLUME WAS OVER 682,000 SHARES; CONGRESSMAN RAHM EMANUEL RANG OPENING BELL
Chicago, March 5, 2007
- The CBOE Stock Exchange, LLC, a subsidiary of the Chicago Board Options Exchange (CBOE), reported that it opened for trading today, with first day volume totaling more than 682,000 shares.
"We are extremely pleased with the successful launch today of CBSX, and we are honored that Congressman Rahm Emanuel (D-IL) joined us in ringing the opening bell for the world's newest stock exchange," said CBOE Chairman and CEO William J. Brodsky. " We would like to especially thank the specialist firms who partnered with us to make this venture a reality, along with the members and staff who are responsible for an on-time launch, less than seven months after we announced our plans."
"Today was a great success by all measures.This is further evidence of how good CBOE people are at creating and operating markets," said CBSX CEO David Harris. "We appreciate all of the hard work over the last months, and look forward to CBSX becoming the stock exchange of choice in the months to come."
CBOE announced on July 27, 2006 that it was partnering with four leading liquidity providing firms: Interactive Brokers Group, LLC; LaBranche & Co Inc.; Susquehanna International Group, LLP; and VDM Specialists, LLC to create a new stock exchange, the CBOE Stock Exchange (CBSX).
The CBOE Stock Exchange opened for trading on Monday with an initial roster of 12 stocks (list attached), but plans to list 2,800 of the most actively traded New York Stock Exchange, NASDAQ Stock Market, and American Stock Exchange listed securities as well as Exchange Traded Funds (ETFs) and other listed securities.
CBSX is a fully electronic, Reg NMS compliant marketplace, offering strict price-time priority for all participants. Liquidity will be provided by Designated Primary Market Makers (DPMs) and Remote Market Makers (RMMs) with stringent quoting standards to create competitive and deep markets for execution of large-sized orders at the best available price. All market participants will receive industry-leading liquidity and market data rebates, with DPMs and RMMs receiving the highest rebates. Other liquidity providing
market participants will be competing on equal footing with DPMs for liquidity and market data rebates. Price-setting competition between CBSX liquidity providers will ensure the market's success as an electronic trading center.
In addition to the four partner firms, Equitec Specialists, LLC and Wolverine Trading, LLC were appointed to serve as Designated Primary Market Makers to provide liquidity.
The CBOE Stock Exchange, LLC (CBSX) is a newly created stock trading facility of the Chicago Board Options Exchange, Incorporated (CBOE) and will employ the CBOEdirect trade engine, which currently is used by CBOE and the CBOE Futures Exchange (CFE). For more information about CBSX, including access, market model details, and fees, visit http://www.cbsx.com.
CBSX listed the following stocks on Monday:
Anheuser-Busch Companies, Inc. (BUD)
Elan Corporation PLC (ELN)
Golden Star Resources Ltd. (GSS)
iShares S&P 100 Index Fund (OEF)
iShares S&P 500 Value Index (IVE)
iShares S&P Small Cap 600 (IJR)
King Pharmaceuticals Inc. (KG)
Kraft Foods Inc-A (KFT)
SPDR Trust Series 1 (SPY)
Target Corp. (TGT)
The Gap Inc. (GPS)
Visteon Corp. (VC)
The roll-out schedule for additional listings is available at http://www.cbsx.com.
CBOE Stock Exchange and CBSX are service marks of CBOE Stock Exchange, LLC. CBOE®, Chicago Board Options Exchange®and CBOEdirect® are registered trademarks of Chicago Board Options Exchange, Incorporated.
This communication shall not constitute an offer to sell or the solicitation of an offer to buy any securities, nor shall there be any sale of securities in any state or jurisdiction in which an offer, solicitation or sale would be unlawful prior to registration or qualification under the securities laws of any such state or jurisdiction. No offering of securities shall be made except by means of a prospectus meeting the requirements of Section 10 of the Securities Act of 1933, as amended.
In connection with the proposed restructuring transaction, CBOE Holdings, Inc. ("CBOE Holdings") has filed certain relevant materials with the United States Securities and Exchange Commission (SEC), including a registration statement on Form S-4. Members are encouraged to read the registration statement, including the proxy statement/prospectus that are a part of the registration statement, because it contains important information about the proposed transaction. Members are able to obtain a free copy of the proxy statement/prospectus, as well as the other filings containing information about CBOE Holdings and the Chicago Board Options Exchange, Incorporated ("CBOE"), without charge, at the SEC's Web site, http://www.sec.gov, and the companies' website, http://www.cboe.com. In addition, CBOE members may obtain free copies of the proxy statement/prospectus and other documents filed by CBOE Holdings or the CBOE from CBOE Holdings by directing a request to the Office of the Secretary, CBOE Holdings, Inc., 400 South LaSalle Street, Chicago, Illinois 60605.
CBOE Holdings, the CBOE and their respective directors, executive officers and other employees may be deemed to be participants in the solicitation of proxies in connection with the proposed transaction. Information about the directors and executive officers of CBOE Holdings and of the CBOE is available in the prospectus/proxy statement.