Effective Monday, February 10, 2014, and pending all relevant CFTC regulatory review periods, the New York Mercantile Exchange, Inc. (NYMEX or Exchange) will implement amendments to Chapter 7, Rule 704.B (Storage and Handling Charges) for metal licensed facilities.
The amendments will: (1) require regular facilities seeking to amend their storage and handling charges to make application to the Exchange for the desired change; and (2) allow the Exchange, in its sole discretion, to approve application of changes to storage and handling charges by regular facilities. The Exchange will continue to provide the marketplace with a 90-day notice period prior to implementation of changes to storage and handling charges; however the amendments provide that the Exchange shall approve such changes. The amendments are set forth below, with additions underscored and deletions overstruck.
In addition, also effective Monday, February 10, 2014, the Exchange will incorporate the current storage and handling charges for regular metal facilities (base and precious metals), which are currently published on the CME Group website, into the Interpretations & Special Notices Relating to Chapter 7 (Delivery Facilities and Procedures). The Exchange is also reformatting the Interpretations & Special Notices Relating to Chapter 7 by providing its contents in Excel format for ease of use for market participants.
If you have any questions concerning this matter, please contact Nadine Brown in the Market Regulation Department at 212.299.2223.
704. STORAGE OF METALS
704.B. Storage and Handling Charges
In the event a Licensed Facility wishes to change its fees, the Licensed Facility shall
provide the Exchange with at least ninety (90) days prior written notice of any changes and such notice shall itemize each proposed increase. The proposed fee increases may become effective on the first calendar day of the month following the ninety (90) day notification period.
For media inquiries concerning this Special Executive Report, please contact CME Group Corporate Communications at 312.930.3434 or firstname.lastname@example.org.