Market Makers to Create New Opportunities in CME E-Livestock Trading

Electronic trading in the CME^® E-Livestock (Live Cattle, Lean Hogs, Feeder Cattle) futures and options will receive a big boost with five official market makers providing continuous liquidity starting on January 3, 2005. Market makers will post continuous bids and offers on electronically traded CME E-Livestock contracts and build liquidity in these markets by providing transparent and competitive prices, and extend trading to a greater number of participants. The electronic contracts are fungible with and identical to the floor-traded contracts, and will only trade side-by-side with the floor-traded contracts during Regular Trading Hours.

As an FCM or IB with customers who trade these markets, this change offers a number of potential benefits. The speed of the CME electronic markets - with trades executed in less than a second - will enable you to serve your customers more efficiently and to manage your own time more productively.

The transition to screen-based trading is also likely to be minimal for anyone who already uses an electronic order entry system (e.g. CUBS), since trading on the CME^® Globex^® platform essentially involves the same process. Please note, however, that although the order entry procedure is similar, the product codes are different for electronically traded contracts. Please click here for contract specifications and details.

Trading CME E-Livestock futures will provide you with immediate and current information, including an on-screen view of:

• Best bids and offers
• Quantities
• Depth of liquidity

You'll also experience significantly greater control over the entire trading process as you benefit from:

• Execution with a "click"
• Instantaneous information
• Action, not reaction

CME has led the way in creating electronic trading opportunities in the futures markets. The introduction of market makers in CME E-Livestock products puts you in a position to benefit from opportunities that users of other electronically traded CME products already enjoy.

If you have questions about this program that you would like to discuss now, please call Anne Carrara at 312-930-4597 or email her at acarrara@cme.com.

We look forward to your participation in CME E-Livestock trading.

For more information on CME E-Livestock products, go to www.cme.com/E-Livestock.