Note, the CME will not fully convert its GUS application to the new INTERNET based Allocate and Claim System (ACS) on December 6, 2002, as previously announced.  

Instead, we will take a �phased� approach to introducing several of the beneficial ACS processes prior to completely replacing GUS and its batch loading routing files.

This full implementation postponement is necessary to give additional testing time to those firms that have not completed their conversion from GUS batch files to load give-up MQM (API formatted) bookkeeping messages.

As a result, the ACS launch will be introduced in three phases:

Phase I � MOS to GUS

The first phase will provide �MOS to GUS� functionality, and will launch on Friday, December 6, 2002.  This functionality will offer firms the ability to accept an MOS confirm and route it, in a fully allocated state, to the GUS system.  (Upon full deployment of ACS, such selected MOS trades will be routed directly to ACS.)  For additional information, please refer to Client Management Notice number CMO#0308.

Phase II � Next Day GUS Adds via ETP (FEC)

The second phase will eliminate MEMOADD�s to GUS and is expected to launch on Friday, December 13, 2002.   On this date, the clearing system will load all prior day matched trades, not marked for give-up, to the existing ETP application.   These trades will be stored in ETP for a rolling 2-business day period, and will allow one to select and route a prior day�s trade directly to GUS.  As a result, you will not have to MEMOADD a prior day�s trade to GUS.  (Upon full deployment of ACS, such prior day�s trades will be stored for a rolling 5-business day period and, when selected for give-up, will route directly to ACS.)

Phase III � ACS On-line and GUS API

The third and final launch phase will completely replace the existing GUS system and batch files with the browser based ACS application and API formatted MQM messages.  This final implementation of ACS is expected to be completed on Friday, January 10, 2003.  It is our expectation that by phasing in the ACS deployment, firms will realize many of the processing benefits of ACS�s features, while offering additional time to convert and test the more critical API messaging requirements of the application.

In order to meet this new ACS implementation date, it is imperative that all firms complete their testing and conversion to load GUS-MQM records prior to Friday, January 3, 2003.  The Exchange will continue to support firms� testing efforts through the year-end holidays.   Additional details of the above-mentioned processing changes, along with screen print/examples and new application command functions, will be forthcoming.

If you have any questions, please contact Client Management at one of the numbers below:

Thank you!