Chapter 399
Russell 2000 Annual Dividend Index Futures®

39900.

SCOPE OF CHAPTER
This chapter is limited in application to Russell 2000 ® Annual Dividend Index futures (“Russell2000 Annual Dividend Index Futures” or “futures”). In addition to this chapter, futures shall besubject to the general rules and regulations of the Exchange as applicable.
Unless otherwise specified, times referenced herein shall refer to and indicate Chicago time.
39900.A. Market Decline
For the purposes of this chapter a Market Decline shall be as defined in New York Stock
Exchange Rule 7.12 for Trading Halts Due to Extraordinary Volatility or in Nasdaq Stock
Market Rule 4121 for Trading Halts Due to Extraordinary Volatility.
39900.B. Primary Listing Exchange
For the purposes of this chapter a Primary Listing Exchange shall be as defined in the “Plan toAddress Extraordinary Market Volatility Submitted to the Securities and Exchange Commission
Pursuant to Rule 608 of Regulation NMS Under the Securities Exchange Act of 1934”
approved 31 May 2012 by the U.S. Securities and Exchange Commission (“SEC”), as
amended from time to time (SEC, SRO Rulemaking, National Market System Plans, File 4631).
39900.C. Regulatory Halt
For the purposes of this chapter a Regulatory Halt shall be as defined in the “Plan to Address
Extraordinary Market Volatility Submitted to the Securities and Exchange Commission
Pursuant to Rule 608 of Regulation NMS Under the Securities Exchange Act of 1934”
approved 31 May 2012 by the SEC, as amended from time to time (SEC, SRO Rulemaking,National Market System Plans, File 4-631) and as implemented under New York Stock
Exchange Rule 7.12 for Trading Halts Due to Extraordinary Volatility or under Nasdaq Stock
Market Rule 4121 for Trading Halts Due to Extraordinary Volatility.

39901.

CONTRACT SPECIFICATIONSEach futures contract shall be valued at $500.00 times the Russell 2000 Dividend Index(“Index”).
The Index tracks the total dividends from the constituents of the Russell 2000 index. TheIndex resets to zero annually, at the end of the third Friday of each December. On a given
day, the Index level is based on the running total accumulation of all ordinary gross dividends
paid on Russell 2000 index constituent stocks that have gone ex-dividend since the previous
zero-reset date. The Index is expressed in Russell 2000 index points .

39902.

TRADING SPECIFICATIONS
39902.A. Trading Schedule
Futures shall be scheduled for trading during such hours and for delivery in such months as
may be determined by the Exchange.
39902.B. Trading Unit
The unit of trade shall be $500.00 times the Index.
39902.C. Price Increments
Bids and offers shall be quoted in Index points. The minimum price increment shall be 0.05
Index points, equal to $25.00 per contract, except for intermonth spreads executed pursuant toRule 542.A., for which the minimum price increment shall be 0.01 Index points, equal to $5.00
per intermonth spread.
39902.D. Position Limits, Exemptions, Position Accountability and Reportable Levels
The applicable position limits and/or accountability levels, in addition to the reportable levels,
are set forth in the Position Limit, Position Accountability and Reportable Level Table in theInterpretations & Special Notices Section of Chapter 5.
A Person seeking an exemption from position limits for bona fide commercial purposes shallapply to the Market Regulation Department on forms provided by the Exchange, and theMarket Regulation Department may grant qualified exemptions in its sole discretion.
Refer to Rule 559 for requirements concerning the aggregation of positions and allowable
exemptions from the specified position limits.
39902.E. [Reserved]
39902.F. [Reserved]© Copyright Chicago Mercantile Exchange, Inc. All rights reserved.

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39902.G. Termination of Trading
Trading in expiring futures shall terminate at the regularly scheduled start of trading on theprimary listing exchange on the Business Day scheduled for determination of the Final
Settlement Price (Rule 39903.A.) for such futures.
39902.H. [Reserved]
39902.I. Price Limits and Trading Halts
There shall be no futures trading when trading is halted in the Primary Futures Contract Monthpursuant to Rule 36302.I. In accordance with Rule 36302.I. the Exchange shall determine, inits sole discretion, the futures delivery month that represents such Primary Futures Contract
Month.
39902.J. Trading Prohibition
The following persons are prohibited from trading in futures (each, a “Prohibited Person”):
1.
Any person who is a director or officer, subject to Section 16 of the Securities
Exchange Act of 1934 as amended from time to time, of a corporation that is a constituent of
the Russell 2000 index.
2.
Any person who is in possession of material non-public information relating toordinary cash dividends of a constituent corporation of Russell 2000 index, including (but notlimited to) information concerning the timing or amount of any ordinary cash dividend.
39902.K. Acceptance for Clearing
A clearing member shall not accept an order for futures contracts from any person, whether
such person is trading for its own account or for the account of another person, unless such
person provides to the clearing member at or before the time of the order a representation andcovenant that, at the time such order is accepted or executed, or the position is held, such
person and, as applicable, the other person for whose account such person is trading, is not a
Prohibited Person (Rule 39902.J.).

39903.

SETTLEMENT PROCEDURES
Delivery shall be by cash settlement.
39903.A. Final Settlement Price
For a futures contract for a given delivery month, the Final Settlement Price shall be the Index
value determined on the third Friday of such delivery month, based on the accumulation of all
ordinary gross dividends paid on Russell 2000 index constituent stocks that have gone exdividend since the Index’s previous zero-reset date.
If the Index is not scheduled to be published on the third Friday of the contract delivery month,then such Final Settlement Price shall be scheduled for determination on the first preceding
Business Day on which the Index is scheduled to be published.
39903.B. Final Settlement
Clearing members holding open positions in an expiring futures contract at its termination oftrading (Rule 39902.G.) shall make payment to or receive payment from the Clearing House inaccordance with normal variation margin procedures based on such expiring contract’s Final
Settlement Price (Rule 39903.A.).

39904.
39905.
39906.

[RESERVED][RESERVED][RESERVED]

INTERPRETATIONS AND SPECIAL NOTICES RELATING TO CHAPTER 399
Neither Frank Russell Company’s publication of the Russell Indexes nor its licensing of its trademarks
for use in connection with securities or other financial products derived from a Russell Index in any
way suggests or implies a representation or opinion by Frank Russell Company as to theattractiveness of investment in any securities or other financial products based upon or derived fromany Russell Index. Frank Russell Company is not the issuer of any such securities or other financial
products and makes no express or implied warranties of merchantability or fitness for any particularpurpose with respect to any Russell Index or any data included or reflected therein, nor as to results
to be obtained by any person or any entity from the use of the Russell Index or any data included orreflected therein.

© Copyright Chicago Mercantile Exchange, Inc. All rights reserved.

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