Notice to Members
Notice No. 404 11/21/2000
Delivery Issues-Platinum And Palladium Futures Contracts
The Exchange has received approval from the Commodity Futures Trading Commission to amend; 1) Platinum Futures Contract Rules: 90.02, "Contract Unit"; 90.03, "Grade and Quality Specifications"; 90.08, "Delivery Procedure"; 90.10, "Depository Receipt"; 90.11, "Inspection"; 90.14, "Rights and Obligations in a Delivery"; 90.18, "Transition of 99.5 Contract to 99.9 Contract"; 90.18A, "Transition Rules" and Supplement No.5, "Approved Brands Acceptable on the London Platinum and Palladium Market" and 2) Palladium Futures Contract Rules: 100.02, "Contract Unit"; 100.03, "Grade and Quality Specification"; 100.04, "Packaging and Marking"; 100.08 "Delivery Procedure"; 100.10, "Depository Receipt"; 100.11, "Inspection"; 100.14, "Rights and Obligations in a Delivery"; 100.17, "Transition of 99.8 Contract to 99.9 Contract"; 100.17A, "Transition Rules" and Supplement No.5, "Approved Brands Acceptable on the London Platinum and Palladium Market". The approved amendments are effective commencing with deliveries in the December 2000 Palladium Futures Contract and with deliveries in the January 2001 Platinum Futures Contract. The approved amendments: 1.increase the weight tolerance on the platinum and palladium ingots/plate delivered from five (5) percent to seven (7) percent; 2.expand the list of approved brands acceptable for delivery against the respective Exchange contracts by adding all of the brands of platinum and palladium acceptable on the London Platinum and Palladium Market ("LPPM") as of September 18, 2000; 3.permit the delivery of approved brands of platinum and palladium to an Exchange approved depository directly from the vaults of Credit Suisse First Boston and UBS Warburg in Zurich, Switzerland, which are delivery locations for the London Platinum and Palladium Market, by an Exchange approved carrier without the requirement for an assay certificate; 4.eliminate the transition rules which were applicable when the contract’s quality specifications were transitioned to the current 99.95% pure specification; and 5.establish procedures and safeguards for the buyer in the event the metal being delivered does not meet the quality specifications of the contract. This document requires Adobe Acrobat Reader to be viewed. If you do not have a copy click here for download instructions
Should you have any questions or require any further information, please contact exchangeinfo@nymex.com