American Stock Exchange And Philadelphia Stock Exchange Agree To Develop Mutual Back-Up Trading Arrangements In The Event Of Trading Interruption

The American Stock Exchange® (Amex®) and the Philadelphia Stock Exchange (PHLX) announced today that they have entered into a Memorandum of Understanding to develop back-up trading arrangements in the event they are unable to operate from their respective trading facilities. The Securities and Exchange Commission ("Commission") is reviewing how the markets and the Commission need to respond to future catastrophic events, and has expressed the belief that enhanced planning and intermarket coordination are necessary to ensure that options trading can be restored in a timely and orderly manner following a disabling event.

The Exchanges recognize the importance of having arrangements in place that would allow their members and customers to continue to trade in the event of a disabling event or occurrence. The Memorandum of Understanding contemplates that customers and members of each exchange will be able to continue to trade through the facilities of the back-up exchange. Both exchanges will work collaboratively to develop the logistics of the back-up arrangement. Final implementation will be subject to approval by the Commission.

Earlier this year the Amex completed its own disaster recovery site that replicates its trading facilities, enabling the Amex to relocate and continue trading operations in the event of an emergency.

"It is in the best interests of investors and the markets as a whole for the exchanges to be working together to ensure that trading can function effectively in light of any disabling event," said Salvatore F. Sodano, American Stock Exchange chairman and chief executive officer. "The Amex is pleased to be in a position to assist our fellow exchanges as well as to be working with the PHLX and others in formalizing an understanding that fully supports each of us."

"The importance of back-up trading capabilities is paramount in today's volatile world," said Meyer "Sandy" Frucher, chairman and CEO of the Philadelphia Stock Exchange. "Therefore, the PHLX is pleased to work with the Amex and other exchanges in providing a framework for continuous trading."

The American Stock Exchange® (Amex®) is the only primary exchange that offers trading across a full range of equities, options and exchange traded funds (ETFs), including structured products and HOLDRSSM. In addition to its role as a national equities market, the Amex is the pioneer of the ETF, responsible for bringing the first domestic product to market in 1993. Leading the industry in ETF listings, the Amex lists 123 ETFs. The Amex is also one of the largest options exchanges in the U.S., trading options on broad-based and sector indexes as well as domestic and foreign stocks. For more information, please visit www.amex.com.

The Philadelphia Stock Exchange (PHLX) was founded in 1790. The PHLX trades more than 2,000 stocks, 1,000 listed equity options, 13 sectors index options and currency pairs. For more information about the PHLX and its products, visit www.phlx.com.