International Securities Exchange Receives Independent Assurance Of Control Effectiveness

The International Securities Exchange (ISE) said today that it has received an independent audit report prepared according to the American Institute of Certified Public Accountants (AICPA) Type II Statement on Auditing Standards No. 70 (SAS 70). The report was prepared by Deloitte & Touche, LLP and includes an independent opinion that ISE's controls over its automated trading system are suitably designed and operate effectively.

This independent assurance makes it easier for ISE's vendors and market participants to assess the level of risk in ISE's marketplace. During the examination the auditors assessed ISE's control environment and performed tests of the operating effectiveness of controls over ISE's information resource strategy and planning, information system operations, vendor management, information security, application system development, implementation and maintenance, system and network redundancy, database implementation and support, network management and systems software and hardware support.

"ISE is committed to high standards of customer service. Efficiency in execution and control consciousness is the management's philosophy at ISE. An independent assurance like the Type II SAS 70 review demonstrates that ISE continually evaluates its practices to bring the highest level of security and reliability to its customers," said Gary Katz, ISE's Chief Operating Officer.

The examination of controls was performed for the period from Oct. 1, 2003 to Sept. 30, 2004. ISE is the only US options exchange to achieve the Type II SAS 70.

ISE Background
The International Securities Exchange, the world's largest equity options exchange, was founded on the principle that technology fosters and infuses new efficiencies and operational innovations into securities trading. After developing an innovative market structure that integrated auction market principles into an advanced screen-based trading system, ISE launched the first fully electronic US options exchange in May 2000. ISE continually enhances its trading systems to provide investors with the best marketplace to execute their options orders.

For more information about ISE, its products and its technology, visit www.iseoptions.com.