Dear Members:
Yesterday, the members of the Chicago Board Options Exchange voted in favor of the exercise right agreement that had been approved by the Boards of Directors of both exchanges. We congratulate Bill Brodsky and Mark Duffy, along with their Board, for their leadership in this matter that clarifies the scope of CBOT® members' exercise right.
The CBOE membership vote in favor of this fair and balanced agreement is a significant step forward for both exchanges. It not only permits the Chicago Board of Trade to go full-speed ahead with our restructuring while preserving the exercise right, it also promises to usher in a new era of cooperation between our two closely-linked exchanges.
While this outcome is a tremendous achievement, perhaps equally important is the mutual respect and goodwill that resulted from the negotiation process that took place between the two exchanges. We already have begun work on examining opportunities where we can provide business growth and cost savings to our respective exchanges, members and customers.
On Monday, our Board of Directors will vote to revise our registration statement with the Securities and Exchange Commission to include this agreement so that we can proceed with our restructuring. As we have done throughout, we will keep you informed of our progress.
Sincerely,
Nickolas J. Neubauer, David J. Vitale
