International Securities Exchange Announces Pricing Of Its Initial Public Offering

The International Securities Exchange (ISE) said today that its initial public offering of 10,049,308 shares of Class A common stock has priced at $18.00 per share. Of the total offering, ISE is selling 4,000,000 shares of Class A common stock. The remaining 6,049,308 shares of Class A common stock are being sold by certain stockholders. ISE intends to use the net proceeds from the IPO for general corporate purposes, including expanding and diversifying the Company's product and service offerings. ISE will not receive any of the proceeds from the sale of shares by the selling stockholders. The Company's shares are expected to commence trading tomorrow, March 9, 2005, on the New York Stock Exchange under the symbol “ISE.”

The underwriters have an option to purchase up to an additional 602,115 shares from the Company, and up to an additional 905,282 shares from the selling stockholders, at the public offering price, less the underwriting discounts and commissions, to cover over-allotments.

Bear, Stearns & Co. Inc. and Morgan Stanley are joint book-running managers of the offering, with Goldman, Sachs & Co., Banc of America Securities LLC, Deutsche Bank Securities, Merrill Lynch & Co. and UBS Investment Bank serving as co-managers.

This announcement shall not constitute an offer to sell or the solicitation of an offer to buy nor shall there be any sale of these securities in any state in which such offer, solicitation or sale would be unlawful prior to registration or qualification under the securities laws of such state.

Copies of the final prospectus relating to this offering, when available, may be obtained from Bear, Stearns & Co. Inc., c/o Prospectus Department, 383 Madison Avenue, New York, NY 10179 (tel: +1 631-274-8321) or Morgan Stanley, Prospectus Department, 1585 Broadway, New York, NY 10036-8200 (tel: +1 212-761-6775).