News Release

Swapstream Market Place to Expand Into Short End Interest Rate Swaps With Eonia Trading

Wed Jan 31 2007

LONDON, Jan. 31 /PRNewswire-FirstCall/ -- Swapstream, the market-leading multilateral electronic trading platform for interest rate swaps (IRS), today announced the expansion of its market place with the planned introduction in mid February of an Eonia (Euro Overnight Index Average) swaps trading facility. This new facility will allow traders on the short end of the IRS curve to experience the significant benefits realized by Swapstream users who currently trade on the medium to long end of the IRS curve. The Eonia market averages approximately 40 billion Euros in daily volume with only a very small percentage of trading conducted electronically.

In its continuing effort to improve its offering and meet market needs, the rebranded "sDealer" third generation platform now offers a new "click and trade" protocol. Platform users will continue to have the option to use the current "click and accept" trading protocol. By providing both trading protocols, sDealer covers the two key trading options that the marketplace can offer and allows users to customise their trading behaviour. Furthermore, sDealer's unique credit permissioning combined with these trading protocols enables users to control how and with whom they do business at a fraction of the cost of inter-dealer voice brokers.

"Successfully launching our third generation platform, sDealer, and integrating the entire interest rate trading curve for electronic trading clearly positions us as a leader in the marketplace. With our latest offering, Eonia traders will now be able to access the enormous benefits electronic trading has to offer, including more efficient electronic trading capabilities, expanded functionality and greater liquidity," said Stephane Rio, CEO of Swapstream. "Our trading volumes continue to build momentum, and with sDealer's extension to cover the entire interest rate curve we expect this momentum to accelerate."

Another feature of the sDealer third generation platform is an updated client interface (GUI), which will have a new design. Users will now be able to configure the screens to reflect their market choices and trading behaviour. This complete customised offering supports Swapstream's commitment to being the world's most advanced IRS trading platform.

Swapstream developed the expanded capabilities and new features in close consultation with the Swapstream User Board. By working closely with market participants and platform users, Swapstream ensures its platform remains the sharpest and most effective in the industry.

About Swapstream

Swapstream, a wholly-owned subsidiary of the Chicago Mercantile Exchange Inc. (NYSE/Nasdaq: CME), is a service provider offering a global trading platform to the banks and brokers in the interest rate swaps (IRS) trading community. Swapstream's platform, now branded sDealer, brings to the medium and long term IRS market the only neutral electronic multilateral marketplace and trading system that improves the way business is currently done and reduces costs without altering the behaviour of the market participants. sDealer currently handles medium and long-term interest rate swaps (outright and futures-crossed) and swap spreads in EUR and CHF with a planned introduction of Eonia trading in mid-February 2007. Swapstream is expected to launch USD and GBP swaps in 2007.

SOURCE: Swapstream

CONTACT: Mitchell Prather of River Rouge Communications for Swapstream,
+44-(0)-20-7419-7698, mprather@riverrouge.com

Web site: http://www.cme.com/

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