NOTICE OF DISCIPLINARY ACTION

FILE NO.:

CME 11-8671-BC

NON-MEMBERS:

Carson Larson
Julie Larson

CME RULE VIOLATION:

Rule 562. (“POSITION LIMIT VIOLATIONS”) (in part)
Any positions in excess of those permitted under the rules of the Exchange shall be deemed position limit violations. Additionally, any person making a bid or offer that would, if accepted, cause such person to exceed the applicable position limits shall be in violation of this rule.

FINDINGS:

Pursuant to an offer of settlement in which Carson and Julie Larson neither admitted nor denied the rule violation upon
which the penalty is based, a Panel of the CME Business Conduct Committee (“Panel”) found that as of the close of business on December 5, 2011, Carson and Julie Larson’s aggregated accounts held an end of day position equaling 596 contracts long in December 2011
Live Cattle futures, which exceeded the spot month speculative position limit of 450 contracts by 146 contracts or approximately 32%.

PENALTY:

In accordance with the settlement offer the Panel ordered the Larson’s to pay a fine of $7,000 and disgorgement of $15,171.

EFFECTIVE DATE:

October 26, 2012