CBOT Members Approve EFP 10-Cent Surcharge, Measure to Reduce Paper

Members of the Chicago Board of Trade on December 19, 2000, voted approval to establish a surcharge of 10 cents per contract per side for member and non-member Exchange for Physicals (EFP) transactions, to become effective January 1, 2001. The vote for this proposal was 372 5/6 for and 97 4/6 against. After enactment, the CBOT® fees for member EFP transactions still will be lower than fees charged by other major exchanges for comparable transactions.

Members also approved, by a vote of 415 for to 55 4/6 against, a proposal to help reduce "paper mailings" from the exchange by modifying mandatory notification provisions in several exchange rules from "send" to "make available." The primary vehicle for information such as seat sales, membership lease terminations, and applicant information is the Bi-Weekly Bulletin to Members. After implementation of these revisions, relevant information still would be available to the membership on a voluntary rather than mandatory basis, with the members only web site, MemberNet, already offering a cost-effective method for members to access such information. Members who wish to continue receiving hard copy information can still do so upon request to the Secretary’s Office.