07/14/2006
The Board of Directors voted in its July 10, 2006 meeting to approve the launch of financially-settled, NYMEX miNY™ Platinum and NYMEX miNY™ Palladium futures contracts on Launch Date 2 of NYMEX products on GLOBEX®. This is scheduled for trade date Monday, August 7, 2006, which starts with the beginning of GLOBEX® trading on calendar date, Sunday, August 6, 2006. These contracts will be traded throughout GLOBEX® trading hours.
A summary of the details for trading these contracts is provided below and the full terms and conditions of contracts are attached.
NYMEX miNY Platinum (PQ)
- 10 oz. contract @ $0.50 per oz, cash-settled on NYMEX physical contract
- No price limit, if the floor hits a daily price limit, NYMEX Customer Service will notify GLOBEX®
- Jan, April, July, Oct are listed months, listed for current cycle month and next four cycle months
- No Bust Range of $4.00 (8 ticks)
NYMEX miNY Palladium (LQ)
- 25 oz. contract @ $0.25 per oz, cash-settled on NYMEX physical contract
- No price limits, same as physical contract
- March, June, Sep, Dec are listed months, listed for current cycle month and next four cycle months
- No Bust Range of $1.00 (4 ticks)
Fees for these NYMEX miNY™ PLATINUM & NYMEX miNY™ PALLADIUM trigger the provisions of the New York Mercantile Exchange, Inc. (the “Exchange”) Bylaws that were recently amended in connection with the closing of the General Atlantic transaction in March 2006, which contain new rights for owners of Class A Memberships as well as procedures to be followed for any proposed Bylaw or other changes affecting such rights. (These procedures are similar to the procedures that have been in place for nearly twelve years with regard to certain rule or product changes on the COMEX Division in relation to the NMEX-COMEX merger agreement.)
Section 311 of the Exchange Bylaws contains rights pertaining to NYMEX “Core Products”, which are defined to include various listed NYMEX futures and option contracts and also to include “similar or “look-alike” contracts or successor or similar contracts or products.” In particular, Section 311 provides that any change in fees of any kind for Core Products is a “Special Matter,” subject to approval by the owners of Class A Memberships. This Fee Schedule therefore constitutes a Special Matter. Accordingly, owners of Class A Memberships have fifteen (15) days from the date of this Notice to submit a petition by the owners of 82 Class A Memberships (representing at least 10% of the 816 outstanding Class A Memberships) requesting a Special Meeting of the owners of Class A Memberships to vote on the Fee Schedule. If such petition is not received within this time period, or if the Fee Schedule is approved at such a Special Meeting, the Fee Schedule will be deemed approved and will subsequently be submitted to the Commodity Futures Trading Commission (CFTC). A special meeting request form is attached to the end of this Notice in satisfaction of Exchange Bylaw Section 202 (B).
Inquiries regarding the aforementioned may be directed to Donna Talamo, Vice President – Office of the Corporate Secretary, at dtalamo@nymex.com or by fax to 212-301-4645.
RESPONSE FORM - REQUEST FOR SPECIAL MEETING
My name is _____________________ and I am the owner, either directly or by ABC, of __________ Class A Membership(s) in the New York Mercantile Exchange, Inc., and I hereby request a special meeting in response to the Fee Schedule contained in this Notice.
Signed By:
_____________________
Print Name:
NYMEX miNY™ Platinum Futures Contract
Rule xxx.01 Scope
The provisions of these rules shall apply to all contracts bought or sold on the NYMEX Division of the Exchange for cash settlement based on the Floating Price.
Rule xxx.02 Floating Price
The Floating Price for each contract month will be equal to the NYMEX Division Platinum Futures Contract’s final settlement price for the corresponding month on the fourth to the last business day of the month prior to the named contract month.
Rule xxx.03 Contract Quantity and Value
The contract quantity shall be 10 troy ounces of minimum 999.5 fine platinum. Each futures contract based on the NYMEX miNY Platinum Futures Contract shall be valued as the contract quantity (10 troy ounces) multiplied by the settlement price.
Rule xxx.04 Contract Months
Trading shall be conducted in the contract months as shall be determined by the Board of Directors and will be limited to January, April, July and October.
Rule xxx.05 Prices and Fluctuations
Prices shall be quoted in U.S. dollars and cents per troy ounce. The minimum price fluctuation shall be $0.50 per troy ounce. There shall be no maximum price fluctuation.
Rule xxx.06 Termination of Trading
Trading for each Contract Month shall terminate on the third last business day of the month preceding the named contract month.
Rule xxx.07 Final Settlement
The NYMEX miNY Platinum Futures Contract shall be cash settled. Final settlement, following termination of trading will be based on the Floating Price. The final settlement price will be the Floating Price calculated for each contract month.
Rule xxx.01 Scope
The provisions of these rules shall apply to all contracts bought or sold on the NYMEX Division of the Exchange for cash settlement based on the Floating Price.
Rule xxx.02 Floating Price
The Floating Price for each contract month will be equal to the NYMEX Division Palladium Futures Contract’s final settlement price for the corresponding month on the fourth to the last business day of the month prior to the named contract month.
Rule xxx.03 Contract Quantity and Value
The contract quantity shall be 25 troy ounces of minimum 999.5 fine palladium. Each futures contract based on the NYMEX miNY Palladium MiNY Futures Contract shall be valued as the contract quantity (25 troy ounces) multiplied by the settlement price.
Rule xxx.04 Contract Months
Trading shall be conducted in the contract months as shall be determined by the Board of Directors and will be limited to March, June, September and December.
Rule xxx.05 Prices and Fluctuations
Prices shall be quoted in U.S. dollars and cents per troy ounce. The minimum price fluctuation shall be $0.25 per troy ounce. There shall be no maximum price fluctuation.
Rule xxx.06 Termination of Trading
Trading for each Contract Month shall terminate on the third last business day of the month preceding the named contract month.
Rule xxx.07 Final Settlement
The NYMEX miNY Palladium Futures Contract shall be cash settled. Final settlement, following termination of trading will be based on the Floating Price. The final settlement price will be the Floating Price calculated for each contract month.