Philadelphia Stock Exchange To Launch New Electronic Options Trading System - " Phl Xl To Debut In Late Fall"

The Philadelphia Stock Exchange announced today plans to launch Phl XL, a new electronic options trading system that will enhance PHLX's position as the most versatile marketplace, combining the best attributes of electronic and floor-based trading. The new system will enable market makers to electronically deliver streaming quotes producing tighter, deeper markets. The presentation of the new system was made at an annual customer roundtable meeting held by the Exchange in Absecon, N.J.

Phl XL will enable the PHLX to improve electronic access for customers, broker dealers and market makers while leveraging the advantages of a floor-based environment. Meyer "Sandy" Frucher, PHLX Chairman and CEO said, "This new trading system truly gives our market the best of both worlds. The investing public and the trading community will reap the benefits of deeper markets and speed of execution as we continue to strengthen Philadelphia's electronic and floor-based trading opportunities."

William H. Morgan, PHLX Executive Vice President and CIO said, "The system has been built using a middleware design with a combination of Sun Microsystems and Stratus Servers. The lightweight Application Program Interface (API) allows for fast, easy connectivity for liquidity providers. Both the hardware and the software design provides for significant capacity that can be expanded quickly as required."

Some of the features of the new system include electronic access to market makers on and off the floor. The new trading tool will produce tighter and deeper markets by providing low-cost electronic access to market makers delivering quotes electronically.

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