(B) All orders for spread transactions (intercommodity, intra~-commodity, cracks, options or
futures-options) and strip transactions on such Exchange electronic trading systems shall be made
at a stated price differential.

(C) To the extent applicable to the particular electronic trading system, transactions executed by
the matching system of the applicable Exchange electronic trading system (“Matching System”)
as legs as a result of orders for spread transactions or strip transactions shall set off stops in the
affected contract. To the extent applicable to the particular electronic trading system, transactions
executed by the Matching System as spread transactions or strip transactions shall not set off
stops in the affected contract, but shall set off stops with respect to the spread transaction or the
strip transaction, as applicable.

(D) Section (D) is applicable only to NYMEX ACCESS®. If a spread order is entered, and no
opposing orders exist in the Matching System for NYMEX ACCESS® at the same price
differential, the Matching System for NYMEX ACCESS® will create an "implied" bid, which
will be above the best current bid, and/or an "implied" offer, which will be below the best current
offer, then in the Matching System for NYMEX ACCESS® for the separate legs of the spread
transaction; provided, however, that in the event that either an “implied” bid or offer would be
outside the maximum permissible price fluctuation limits for the contract involved, the NYMEX
ACCESS® system will not create the "implied" bid or offer and no further "implied" bids or
offers will be created for that commodity for the remainder of the NYMEX ACCESS® Trading
Session in which the spread order was entered.

11.54 Standard Forms of Orders for Exchange Electronic Trading Systems

Until further notice from the Exchange, only limit orders may be utilized for trading on NYMEX
ACCESS®. Until further notice from the Exchange, only limit and stop limit orders may be used
for trading on NYMEX ClearPorttTrading, ee
(A) Limit Order. A limit order is an order to buy or sell a stated amount of commodity futures or
options contracts at a specified price, or at a better price, if obtainable

Deleted: an Alternative Electronic
‘Trading System. For the purposes of this
rule, the term "Alternative Electronic
Trading System” shall mean any
clectronic trading system other than
NYMEX ACCESS on which NYMEX
Division or COMEX Division products
are traded, but not including GLOBEX®.

(B) Stop Limit Order. A stop limit order to buy becomes a limit order when after the order is
received, a transaction in the contract occurs at or above the specified price or, if so specified by
the customer, when a bid for the contract is made at or above the specified price. A stop limit
order to sell becomes a limit order executable at the limit price when after the order is received a
transaction in the contract occurs at or below the stop price or, if so specified by the customer,
when an offer for the contract is made at or below the specified price.

(C) An Electronic Trader or an Authorized Terminal User for an Electronic Trader in the case of
orders submitted for execution on NYMEX ACCESS® and a User or User Agent in the case of
orders submitted for execution on NYMEX ClearPort® Trading may accept orders on a "Not _ -

Deleted: Alternative Electronic Trading

Held" basis provided that they have received prior written permission from the ultimate customer
and retained such written documentation with their required records. An Electronic Trader or |
User as applicable shall not be responsible to the customer for the execution or failure to execute ~~~ J
such order on the applicable Exchange electronic trading system. However, a claim may be
asserted against the Electronic Trader or User by the customer and/or the Compliance
Department, if the execution or the failure thereof, was done fraudulently or by willful
misconduct.

“Alternative Electronic Trading System”
shall mean any electronic trading system
other than NYMEX ACCESS on which
NYMEX Division or COMEX Division
products are traded, but not including.
GLOBEX®.



(E) Floor Reporting Requirements and Deadlines. A report of each EFM transaction must be given and
notice thereof must be posted on the Floor of the Exchange. The report of an EFM transaction must be
given on the Floor prior to the end of the trading session on the day that the agreement was made, or if such
agreement was made after the close of trading, then during the trading session on the next business day.

(F) Clearing. EFM transactions shall be cleared through the Exchange in accordance with normal
procedures, shall be clearly identified and marked in the manner provided by the Exchange, and shall be
recorded by the Exchange and by the Clearing Members involved.

9.19 Final Day of Trading

(A)(1) On the final day of trading in the delivery month of a contract that is listed for trading by open
outcry on the trading floor, it shall be the responsibility of each Clearing Member who is not in a position
to fulfill his contractual obligation on any maturing contract by prescribed notice and tender, to have a
liquidating order entered on the Exchange floor one hour before the time established for the beginning of
the closing range for such delivery month, All such orders shall be market orders to be executed prior to the
expiration of trading.

(2) On the final day of trading in the delivery month of a contract that is listed for trading solely on
NYMEX ACCESS® or on NYMEX ClearPoriW® Trading, it shall be the responsibility of each Clearing
Member who is not in a position to fulfill its contractual obligation on any maturing contract by prescribed
notice and tender, to have a liquidating order entered on NYMEX ACCESS® or on NYMEX ClearPoryg_
‘Trading, as applicable.

Deleted: an Alternative Electronic

‘Trading System

{ Deleted: an Alternative Electronic
Trading System

Deleted: For the purposes of this rule,
the term "Alternative Electronic Trading

System” shall mean any electronic
trading system other than NYMEX

ACCESS® on which NYMEX Division
or COMEX Division products are traded,
but not including GLOBEX®.


Member, Member Firm or commodity trading advisory or commodity pool operator provided,
however, that a User Agent of a User may enter orders into the system for the account(s) of an
entity that is the corporate parent of the User or a wholly-owned subsidiary of the User or where
the User is an affiliate of another corporate entity and both companies are wholly-owned
subsidiaries of a parent company.

User Agents who do not otherwise qualify as a User may not enter orders on the Alternative
Electronic Trading System for any account in which the User Agent has an ownership interest.

(C) The Exchange in its sole discretion shall determine whether the scope of applicable trading
privileges for any other Non-Member User may include execution of orders for customers of such
User,

Page 11: [39] Deleted bregan 5/27/2005 11:00:00 AM
® for the account of a member or member firm other than himself or his Clearing Member he
must designate such orders as 3.

(D) When a User or User Agent in the case of trading on an Alternative Electronic Trading
System ® executes trades for any account, other than those listed in subdivisions (A), (B), (C),
he/she shall designate the trades as:

(i) 4 Customer-All other accounts.

(ii) 4 House-Firms affiliated with the Clearing Member, including parent and subsidiary
corporations, or Principals or employees (located off the floor), trading for their own account at
the Clearing Member in which they have an ownership interest in or by whom they are employed.

(E) It shall be a Major Offense for Users or User Agents to knowingly assign false indicator
codes to trades executed on Alternative Electronic Trading System.

Page £4: [40} Deleted: bregan : 5/22/2005 5:39:00 PM
an Alternative Electronic Trading System. For purposes of this tule, an “Alternative Electronic
Trading System" shall mean any electronic trading system other than NYMEX ACCESS on
which NYMEX Division or COMEX Division products are traded, but not including GLOBEX®.



requiring any User or User Agent to produce documents, to answer questions from the
Exchange, and/or to appear in connection with an investigation.

(3) Upon request by the Exchange, Clearing Members shall suspend or terminate a User’s

or User Agent’s NY MEX ClearPort® Trading access if the Exchange believes that the
actions of the User or User Agent: (i) threaten or compromise the security or integrity of
the System or any of the Services or the use thereof by any other use: violate the
Exchange Rules, any applicable laws or regulations, or the terms of any Consents, (iii)
threaten the integrity or liquidity of any contract, or (iv) otherwise violate the terms of the
EULA,

|
|
|

11.35 Acceptance of Orders for Entry into NYMEX ClearPort Trading,

(A) No Clearing Member shall assign an account number that would accept the entry of orders
into NYMEX ClearPort® Trading for, or on behalf of, a customer, unless such customer is first
provided with an Electronic
approved by the Exchange.

Trading and Order Routing Systems Disclosure Statement in a form

(B) ACCEPTANCE OF ORDERS FROM CUSTOMERS-No person or entity may accept an
order for execution on an NY MEX ClearPort® Trading unless the following information is
received:

(1) Commodity;

(2) Contract Month;

(3) Purchase or Sale;

(4) Customer Account Number (or certification that the order is for multiple accounts to be later
allocated except as provided in connection with Rule 11.35A);

(5) Quantity;

(6) Limit Price (and stop limit if applicable);

(7) Clearing Member; and

(8) Strike prices, put or call (for options when available).

(©) ORDER RECORDATION-Immediately upon receipt, all customer orders for execution on an
NYMEX ClearPort® Trading must be (1) entered into the Matching System or, if such orders
cannot be entered into the Matching System within one minute of receipt, they must be (2)

Rule, when a FCM or Member Firm receives z
order shall be made in non-erasable ink which
number and shall be time stamped when received and time stamped when a report of the

execution is made, and, in addition, in the case of option customers' orders, the memorandum

shall be time stamped to the nearest minute the order is transmitted for execution.

Rule 11.35A Use of Customer Omnibus Accounts by Clearing Members.

~ », \{Deleted: (m

_- (Deleted: (sm)

Deleted: 4

For the purposes of this rule, the term
“Alternative Electronic Trading System"
shall mean any electronic trading system
other thin NYMEX ACCESS on which
NYMEX Division or COMEX Division
products are traded, but not including

s+, [GLOBEX®. 4

Deleted: Exchange Alternative
Electronic Trading Systems

Deleted: For purposes of this rule, an
, | "Altemative Electronic Trading Systems"
“| shall mean any electronic trading system
other than NYMEX ACCESS on which
NYMEX Division or COMEX Division
products are traded, but not including
GLOBEX®.

*\{ Deleted: an Aitemative Electronic
Trading System

\ | Deleted: Ahemative Electronic Trading
* | System



Inc, or its affiliates (including the Class B member) or their officers, directors, members or
employees, Task Management, Inc. ("TMI"), the International Petroleum Exchange of London
Limited ("IPE"); , IPE Officers, Directors, Members or Employees; Members, Member Firms,
Clearing Members, Electronic Traders, Authorized Terminal Users of Electronic Traders, Users, _
User Agents or other persons acting as agents in causing the orders of others to be entered into
NYMEX ACCESS® or NYMEX ClearPor® Trading nor any of their respective officers, _
directors, employees, agents or designees shall be liable to any person, including a customer, for
any losses, damages, costs or expenses (including, but not limited to, loss of profits, loss of use,
direct, special, indirect incidental or consequential damages), arising from:

(1) any failure or malfunction, including any inability to enter or cancel orders in whole or in part
on NYMEX ACCESS® or NYMEX ClearPort® Trading, of NYMEX ACCESS® or an NYMEX
ClearPory® Trading or any Exchange, NYMEX Holdings Inc, or its affiliates (including the Class
B member), AT&T or TMI Services or any Exchange services or facilities used to support
NYMEX ACCESS® or NYMEX ClearPor Trading, including but not limited to the Trade
Management System and Clearing 21®, or

(2) any fault in delivery, delay, omission, suspension, inaccuracy or termination, or any other
cause, in connection with the furnishing, performance, maintenance, use of or liability to use all Dace AE
or any part of NYMEX ACCESS® or NYMEX ClearPort® Trading, data or other information Trading System
made available on NYMEX ACCESS® or NY MEX ClearPort® Trading or any services or on ener oe

facilities used to support NYMEX ACCESS® or NY MEX ClearPorye ing,
Deleted: an Alternative Electronic

; oo ; . Tredin
‘The foregoing shall apply regardless of whether a claim arises in contract, tort, negligence, strict eal
Deleted: an Alternative Electronic.

liability or otherwise; furthermore, it shall not limit the liability of any Member, Member Firm, . | Peete an

Clearing Member, Electronic Trader, Authorized Terminal Users of Electronic Traders, User, Deleted =] —
User Agent or other person acting as an agent in causing the orders of other to be entered into —

NYMEX ACCESS® or an NYMEX ClearPort® Trading or any of their respective officers, _
directors, employees, agents or designees for any act, incident or occurrence within their control.

(C) There are no express or implied warranties or representations provided by the Exchange, TMI
NYMEX Holdings Inc, or its affiliates (including the Class B men member), TMI or the IPE se
or facilities used to support NYMEX ACCESS® or an Alternative Electronic Trading System,
including but not limited to warranties of merchantability and warranties of fitness for a particular
purpose or use.

(D) Any dispute arising out of the use of NYMEX ACCESS® or NY MEX ClearPory Trading or Deleted: an Ahemane Ehcuonie
Exchange, NYMEX Holdings Inc, or its affiliates (including the Class B member), or TMI a
services of or facilities used to support NYMEX ACCESS® or NY MEX ClearPoryé: Trading in Red Ga

which the Exchange , NYMEX Holdings Inc, or its affiliates (including the Class B member),or
any of their respective officers, Directors, employees, agents or designees is a party shall be
construed and enforced in accordance with the laws of the State of New York without regard to
conflict of laws, rules or procedures. Any actions, suits or proceedings against any of the above
must be brought within two years from the time that a cause of action has accrued, and any party
bringing such action consents to jurisdiction in the U.S. District Court for the Southern District of
New York and waives any objection to venue. This provision shall in no way create a cause of
action and shall not authorize an action that would otherwise be prohibited by NYMEX Rules.

(E) Notwithstanding any of the foregoing provisions, this Rule shall in no way limit the
applicability of any provision of the Commodity Exchange Act or the CFTC's regulations.

19


Page'3: [1] Deleted ; e bregan 5/23/2005 5:47:00 PM
For the purposes of this rule, the term "Alternative Electronic Trading System” shall mean any electronic
trading system other than NYMEX ACCESS on which NYMEX Division or COMEX Division products

are traded, but not including. GLOBEX®
‘bregan

, with the exception of the GLOBEX session on Sunday evening

5/23/2005 5:47:00 PM


402.06 Termination of Trading

Trading in the current delivery month shall cease on the business day immediately _

preceding she last day of trading in the current delivery month of the Natural Gas futures
contract.

402.07 Final Settlement

settlement. Final settlement, following termination of trading for a contract month, will —

be based on the Floating Price. The final settlement price will be the Floating Price
calculated for each contract month.

Deleted: third-to-last

Deleted: prior to the contract month


Page 1: [1] Formatted EES bregan 7/8/2005 3:54:00 PM
Different first page

Page 1: [2] Deleted bregan 5/22/2005 4:42:00 PM
Specified Exchange Alternative Electronic Trading Systems
“Page 1: [3] Deleted — bregan 5/22/2005 4:43:00 PM

For the purposes of this rule, the term "Alternative Electronic Trading System” shall mean any electronic
trading system other than NYMEX ACCESS® on which NYMEX Division or COMEX Division products
are traded, but not including GLOBEX®.

Page 1: [4] Formatted bregan 5/22/2005 5:01:00 PM
Font: 11 pt
“Page 1; [5] Formatted bregan ° 5/22/2005 5:01:00 PM
Font: 11 pt, Bold
- Page-1: [6] Formatted - bregan 5/22/2005 5:01:00 PM
Font: 11 pt

Page 1: [7] Formatted : bregan ; 5/22/2005 5:01:00 PM
Font: 11 pt

“Page'1: [8] Formatted bregan 5/22/2005 5:01:00 PM
Font: 11 pt, Bold

Page 1: [9] Formatted bregan 5/22/2005 5:01:00 PM
Font: 11 pt
~ Page 1: [10] Formatted bregan 5/22/2005 5:01:00 PM
Font: 11 pt

Page 1: [11] Formatted: , eae bregan 5/22/2005'5:01:00 PM
Font: 11 pt
. Page'2: [12] Formatted . bregan : 5/22/2005 5:01:00 PM
Font: 11 pt, Bold

Page 1:[13] Formatted. ~ bregan 5/22/2005 5:01:00 PM
Font: 11 pt

Page 1: [14] Deleted. ea , bregah pees ¢ "572212005 4:43:00. PM
an Alternative Electronic Trading System (“AETS contract”)
© Page 1: [15] Formatted’ we pregan: "7 5/22/2005 5:01:00 PM
Font: 11 pt
© Page 1: [16}'Formatted
Font: 11 pt

Page 2: [17} Formatted: ‘5/227 2005 5:01:00 PM
Font: 11 pt

Page 1: [18] Formatted ~~ bregan: e 5/22/2005 5:01:00 PM
Font: 11 pt

Page 1: [19] Formatted bregan 5/22/2005 5:01:00 PM
Font: 11 pt

Page 1:[20] Formatted bregan 5/22/2005 5:01:00 PM
Font: 11 pt

Page 1: [21] Deleted bregan 5/22/2005 4:54:00 PM


Nothing in this rule shall be construed as a limitation of the Exchange's disciplinary authority.

11.55 Errors and Omissions in Handling Orders

(A) An Electronic Trader or Authorized Terminal User on NYMEX ACCESS® or a User or User
Agent on.
execute an order at the time it should have been executed may, upon discovery of such error or
omission, execute such order at the best obtainable price. Such order shall be executed openly and
competitively and should be executed in the next available Exchange trading sion for the

Deleted: an Alternative Electronic

applicable listed product but in any event must be executed no later than the close of the next
electronic trading session and shall be reported to the client at the price at which actually
executed. If such price is to the advantage of the client the client shall receive the benefit thereof;
if not, the client shall receive such monetary adjustment as will afford the client the equivalent of
the price at which such order should and could have been executed. Any member receiving such
report and adjustment with respect to an order of a client shall report to such client the execution
at the price reported to such member and make the same monetary adjustment for the account of
such client. Full details of all transactions consummated hereunder shall be reported promptly to
the President and maintained as a permanent record of the Exchange.,

(B) This rule shall not be construed to contravene any instructions received from a client
respecting any order prior to its execution, but shall be construed to permit execution of orders
under the conditions prescribed without prior instructions from the client.

11.56 Surrender of Trading Records for Examination

Each Electronic Trader, Authorized Terminal User, User or User Agent shall be required to
submit for examination trading records maintained in the manner required by the Exchange at
such times and in such manner as requested by the President or other designated Exchange
employee.

11.57 Trading Standards for Electronic Trading Systems

must exercise reasonable care in the entry of customer order information into the applicable
Exchange electronic trading system.

(B) An Electronic Trader or an Authorized Terminal User in the case of trading on NYMEX
ACCESS® or a User or User Agent in the case of trading on NYMEX ClearPory Trading shall

not withhold or withdraw from the market any customer order or any part of a customer order for
his personal benefit or for the convenience of another.

(C) An Electronic Trader or an Authorized Terminal User in the case of trading on NYMEX
ACCESS® or a User or User Agent in the case of trading on NYMEX ClearPory® Trading must
enter all customer orders available for input into the applicable Exchange electronic trading
system before entering any order for his own account, an account in which he has a proprietary

16

Deleted: openly and competitively on
NYMEX ACCESS® during the NYMEX
ACCESS trading session or on the
Alternative Electronic Trading System
‘during the trading session for such
system

Deleted: For purposes of this rule, an
“Alternative Electronic Trading System"
shall mean any electronic trading system
other than NYMEX ACCESS on which |
NYMEX Division or COMEX Division |
products are traded, but not including |
GLOBEX® j

Deleted: For purposes of this rule, an
“Alternative Electronic Trading System”
shall mean any electronic trading system
other than NYMEX ACCESS on which
NYMEX Division or COMEX Division
products are traded, but not including.
GLOBEX®.

Deleted: Alternative Electronic Trading
System
Deleted: (sm)

Deleted: an Alternative Electronic
Trading System

Deleted: an Altemative Electronic
Trading System



relevant documents. The panel shall have the power to issue and enforce subpoenas in accordance
with the procedures of the American Arbitration Association. Whenever such production or
appearance results from the request of a party, all reasonable costs incurred shall be borne by the
party making the request, unless directed otherwise by the panel.

(c) The panel shall be the sole judge of the law and the facts, but if the panel is in doubt as to any
questions of law, it may refer the question to Exchange legal counsel for an opinion. The panel
shall not be bound by the formal rules of evidence. Ex parte contacts by any of the parties with
persons on the arbitration panel shall not be permitted.

(d) An audio recording of the proceeding shall be made and maintained until the decision
becomes final. A verbatim record of such recording shall not be transcribed unless requested by a
party, who shall bear the cost of transcription.

(5) Decision

(a) Within thirty days of a completed hearing, the panel shall issue a written decision. The amount
of any award issued by the panel shall be limited to the lesser of the actual loss or the loss that
would have occurred if the claimant had diligently taken all necessary actions to mitigate the loss.
The decision of a majority of the panel shall be final, and there shall be no appeal.

(b) An award shall be satisfied within three business days of receipt of the notice of decision.
However, a party may, within three business days, request the arbitration panel to modify or
correct its decision when there has been an obvious material miscalculation or misdescription or
where the decision is imperfect in a matter of form not affecting the merits of the controversy.

(6) Applicability of Commodity Exchange Act

Notwithstanding the foregoing, this Rule shall in no way limit the applicability of any provision
of the Commodity Exchange Act or the CFTC's regulations,

11.62A Phantom Orders

For purposes of this rule, a phantom order is an order: 1) that was not authorized by am
person but was caused by a failure, malfunction or negligent operation of an Exchange
electronic trading system or any other Exchange system. service or facility. or 2) whose
terms (e.g., contract, contract month, quantity, price or direction) were changed without
authorization of the person placing the order solely as a result of a failure, malfunction, or
negligent operation of an Exchange electronic trading system or any other Exchange
system, service or facility.

If the Exchange has reason to believe that phantom orders have been or are being entered
into and/or executed on any Exchange system, service or facility, the Exchange shall
have authority to take appropriate action with respect to any affected market, including
without limitation, closing the market, deleting bids and offers, and/or suspending new
bids and offers.

22


|

(C) A period of at least 10 seconds shall elapse between entry of the two orders during which the
order first entered is resting in the market.

(D) Orders entered pursuant to this Rule must be entered in accordance with the provisions of
Rule 11.57(0), if applicable.

11.58 Reporting and Record keeping Requirements for Electronic Trading Systems

Exchange electronic trading system trading session shall be retained in accordance with NYMEX
Rule 8.50.

(B) All information entered into the applicable Exchange electronic trading system shall be
retained by the Electronic Trader in the case of trading on NYMEX ACCESS® or by the User in

period set forth in NYMEX Rule 8.50. _ - an

11.59 User of Passwords

No person may use a user ID or password not assigned to him by the NYMEX Customer Service
Call Center (“NCSCC”). No person may disclose or knowingly permit the use by another of the
user ID or password assigned by the NCSCC. With respect to access to the NYMEX ACCESS®

-{ Deleted: For purposes of this rule, an
“Altemative Electronic Trading System”
shall mean any electronic trading system
other than NYMEX ACCESS on which
NYMEX Division or COMEX Division
products are traded, but not including
GLOBEX®.

system. gach Electronic Trader shall take such steps as are necessary to prohibit any person other
than an Authorized Terminal User under the control of the Electronic Trader from using the
password of any Authorized Terminal User under the control of the Electronic Trader. With

Deleted: E

respect to access to NYMEX ClearPort# Trading. each User shall take such steps as are

necessary to prohibit any person other than a User Agent under the control of the User from using
the password as applicable of any other User Agent under the control of the User.

11.60 Exchange of Futures for Physicals and Exchange of Futures for Swaps

‘The exchange of futures for physicals for contracts listed for trading on NYMEX ACCESS® or
listed for trading on NYMEX ClearPort® Trading shall be governed by the provisions of Fa
NYMEX Rule 6.21, and the exchange of futures for swaps for contracts listed for trading on

the provisions of NYMEX Rule 6.21A.,_

11.61 Limitation of Liability

(B) Except as provided in Rule 11.62, and except in instances where there has been a finding of
willful or wanton misconduct, in which case the party found to have engaged in such conduct
cannot avail itself of the protections of this rule, none of the Exchange or its affiliates or its
subsidiaries or any of their respective officers, directors, members, employees, agents, designees,
vendors, information providers, independent contractors or subcontractors, ; NYMEX Holdings

18

tem

“.4 Deleted: an Alternative Electronic
Execution System

Deleted: For purposes of this rule, an
“Alternative Electronic Trading System"
shall mean any electronic trading system
other than NYMEX ACCESS on which
NYMEX Division or COMEX Division
products are traded, but not including
GLOBEX®.

Deleted: (A) For the purposes of this
rule, the term “Alternative Electronic
‘Trading System” shall mean any
electronic trading system other then
NYMEX ACCESS on which NYMEX
Division or COMEX Division products
are traded, including GLOBEX®.



or related Exchange systems as may be specified by the Exchange,

Page 1: [22] Formatted bregan 5/22/2005 5:01:00 PM
Font: 11 pt

Page 1: [23] Formatted bregan 5/22/2005 5:01:00 PM
Font: 11 pt, Bold

Page 1: [24] Formatted : bregan 5/26/2005 2:50:00 PM -
Font: Bold

Page’ 1: [25] Formatted 2 ~'bregan 5/26/2005 2:50:00 PM
Font: Bold

Page 1: [26] Formatted OBR bregan =< - 5/22/2005 5:01:00 PM: ©
Font: 11 pt, Bold

Page 1: [27] Formatted bregan 5/22/2005 5:01:00 PM
Font: 11 pt, Bold

Page 1: [28] Formatted : bregan 5/22/2005 5:01:00 PM
Font: 11 pt, Bold
“page 1: [29] Formatted bregan: 5/22/2005 5:01:00 PM
Font: 11 pt

Page 1: [30] Formatted bregan 5/23/2005:2:44:00 PM
Font: Not Bold

Page 1: [31] Formatted bregan 5/23/2005: 2:44:00 PM”
Font: Not Bold

Page 1: [32] Formatted 2 bregan 5/23/2005 2:44:00 PM
Font: Not Bold

; Page 2: [33] Formatted Soe eS pregan 5/23/2005 2:44:00 PM

Font: Not Bold
© Page 1: [34] Formatted ~” ~bregan "5/23/2005 2:44:00 PM.
Font: Not Bold

Page 1: [35] Format! es ‘regan 8) 5 /2372005 2:44:00 PM
Font: Not Bold

Page 1: [36] Formatted bregan 5/23/2005 2:44:00 PM
Font: Not Bold

Pi (5 [37]} Formatted ee <bregan o> 5/22/2005:'5:01:00 PM”
Font: 11 pt
“ Page’8: [38] Deleted bregan 5/22/2005, 5:37:00 PM

an Alternative Electronic Trading System, as follows:

(A) Except as otherwise provided in this rule, a User and its User Agents may enter orders into
the system for the account of others only if the User is a Member or Member Firm of the
Exchange. Accordingly, except as otherwise provided in this rule, a Non-Member User and its
User Agents may only enter orders into the system for the account(s) of the User.

(B) Except as otherwise provided in this rule, or unless a User Agent is also a User, a User Agent
may enter orders on the Alternative Electronic Trading System only for an account of the User
that has authorized him to enter orders and for the customers of such User but only if the User is a


C. Application Process. Any Member Firm or Member is eligible to submit an application, in the
manner provided by the Exchange, to become a Lead Market Maker. Such applications must
include for each NY MEX miNY futures contract an indication of the width and depth to be
consistently quoted on NYMEX ClearPort® Trading for that contract.

D. Maintenance of Working Capital, As a continuing condition for appointment as an LMM, at
all times an LMM shall maintain an amount in working capital in excess of that otherwise
required by Exchange rules as further specified by the Steering Committee. The LMM shail
promptly inform the Steering Committee and the Exchange's Compliance Department within
forty-eight hours of any material change in financial or operational conditions or in personnel.

E. LMM Priority Rights. Except as otherwise provided below, the LMM will have priority rights
in the NYMEX miNY sm contracts covered by the LMM Program as provided below

(4) After the opening, the LMM has the opportunity to match the best bid or offer. In the event
that the LMM does so before bids and offers are matched by the system, the LMM Algorithm will
allocate a specified minimum proportion of the trade to the LMM provided that the LMM's bid or
offer matches the best available bid or offer. Any contracts still to be allocated after the "LMM
Allocation" are allocated based upon the time of order entry.

If the allocations to the LMM results ina fraction. the LMM Algorithm will "Round Down Bp"
to the nearest integral contract multiple.

_ Formatted: Strikethrough

(2) In the event that the Exchange designates a single LMM in a specified market, the LMM's
allocated proportion shall be up to 40% (and scaled according to voluine targets).

(3) In the event that the Exchange initially designates three (2) LMMs ina specified market, the
allocated proportion for each of the LMMs will be 15% (for a total of 45% allocated to LMMs)

provided, fowever. that, in the event that the number of designated LMMs for such a market | Formatted: Font: Italic
subsequently declines, the total allocated proportion available to LMMs will be 40% and will be Formatted: Font: Irae

split evenly between the remaining LMM(s) for thal specified market.

F. Duration of LMM Appointment and Related Priority Rights. Consistent with the other
provisions of this rule and the other conditions of the LMM program, an LMM's appointment will
continue for a period of two (2) years following the trade date where there has been on average
over the preceding twenty (20) business days daily trading volume of 10,000 or more contracts
for NYMEX miNY Crude Oil and 5,000 or more contracts for NY MEX miNY Natural Gas
covered by the LMM Program.

G. Clearing and System Rates. Clearing fees and NYMEX ClearPort® Trading fees for an ee

LMM's trading may be waived for a period established by the Steering Committee.

| 11.39-11.49 Reserved

l.

13


11.60 Exchange of Futures for Physicals and Exchange of Futures for Swaps

11.61 Limitation of Liability

11.62 NYMEX Personnel ~ Limitation of Liability

11.62A_Phantom Orders

11,63 Electronic Trading Error Trade Procedures

11.64 Trading Prohibition by Certain Persons

11.65 Trading Prohibitions: Representatives of Other Clearing Members

11.66 Restriction on Simultaneous Buy and Sell Orders on Exchange Electronic Trading Systems
11.67 General Trading Standards for Exchange Electronic Trading Systems

11.68 Closing Range and Close

11.69 Registration for Billing of Brokerage on Exchange Electronic Trading Systems


price at which such transaction can be made for the Member's own account or the account in
which he has an interest.

(B) No Electronic Trader or Authorized Terminal User in the case of trading on NYMEX
ACCESS® and no User or User Agent in the case of trading on NY MEX ClearPory Trading
shall sell any commodity for future delivery, sell any call option or purchase any put option for
his own account, or for any account in which he has an interest, while holding an order of another
person for the sale of any future, any call option, or purchase of any put option, in the same
commodity which is executable at the market price or at the price at which such transaction can
be made for the Member's own account or the account in which he has an interest.

(©) No Electronic Trader or Authorized Terminal User in the case of trading on NYMEX
ACCESS® and no User or User Agent in the case of trading on NYMEX ClearPory® Trading
shall place an order in the applicable trading system for any account of another person for which
buying or selling orders can be placed or originated or for which transactions can be executed by
such member, without the prior specific consent of such other person (hereinafter referred as to
"discretionary orders") regardless of whether the general authorization for such orders or
transactions is pursuant to a written agreement, except that discretionary orders may be placed
with another Member for execution.

The restrictions set forth in this subparagraph shall not apply to discretionary orders for: (i)
member of the Electronic Trader's or User’s immediate family, which is defined to mean a
spouse, parent, parent of a spouse, brother, sister, child, or spouse of a child; (ii) a member of the
Exchange; (iii) a proprietary account of the Electronic Trader or User as that term is defined in
Reg. §1.3(y); or (iv) a non-member account provided the Member does not trade for his personal
account or any other customer account.

(D) No Electronic Trader in the case of trading on NYMEX ACCESS® and no User in the case
order of another person or shall divulge any order revealed to him by reason of his relationship to _
such other person, except to execute an order or at the request of an authorized representative of
the Commodity Futures Trading Commission or the Exchange.

11.68 Closing Range and Close

The closing range for each futures and option contract that is listed for trading only on an
Exchange electronic trading system for each day of trading, including the closing range on the
final day of trading in such contract listed for trading only on such system, shall include all trades
made within the last (10) ten minutes of the applicable trading session for such contract and all
bids higher than as well as offers lower than any trade made within such periods.

11.69 Registration for Billing of Brokerage on Exchange Electronic Trading Systems

(A) Member Firms or Members engaged in operating brokerage businesses are required to
register with the Membership Department, their names and the names of the entities under which
brokerage will be billed, and the names of all persons having ownership interests in such entities,
including the percentage of their ownership interests, and to provide upon request any supporting
information requested by the Membership Department or the Compliance Department. For the

28

| Deleted: an Alternative Electronic
Trading System

| Deleted: an Alternative Electronic
Trading System

- { Deleted: Alternative Electronic Trading
System



the transaction will be reviewed by the Electronic Trading Review Committee, which shall be
comprised of Exchange employees in accordance with Exchange Rule 3.46.

(6) (a) Ifa transaction is to be reviewed by the Electronic Trading Review Committee, a Panel of
at least two (2) members of the Committee shall be convened to review circumstances
surrounding the transaction and determine whether the transaction was an Error and, if so,
whether such trade should be cancelled. The panel may, at its discretion, consult with Electronic
Traders, Authorized Terminal Users or market participants and consider market information
provided by those sources in rendering its decision.

(b) The factors that may be considered by the Committee include:

(i) the market conditions before and after the transaction occurred, including, but not limited to,
current bids and/or offers or transactions in other contract months;

(ii) whether one or more parties to the trade believe the trade was at a valid price or quantity, as
applicable;

(iii) whether there is any indication that the transaction in question triggered stops or resulted in
the execution of a spread transaction as a result thereof;

(iv) whether a third party relied on the price; and
(v) any other factors that the Committee deems relevant.

(c) The Panel shall make its decision as soon as practicable afier being convened. The decision of
the Panel shall be a final decision.

(7) Once the Panel has reached a decision, the NCSCC shall send a system notice indicating
whether the trade will be cancelled and shall also directly contact the parties to the trade in this
regard.

(8) In addition, the NCSCC will initiate an alert to the quote vendor network indicating whether
the trade will be cancelled.

(9) Ifa trade is cancelled subject to these error procedures, the NCSCC may also cancel any and
all trades that were executed, and bids or offers posted, as a result of contingent orders having
been elected by the Error trade. NCSCC shall consider the factors indicated in subsection (6)(b),
above, in determining whether to cancel such additional trades and shall take the actions required
under subsection (B)(7) and (B)(8) of this rule in connection with such cancelled trades.

(C) The party requesting that the trade be cancelled must submit to the NCSCC no later than two
(2) hours after the end of the applicable trading session, a completed Exchange form documenting
in writing the reasons for the request that previously had been provided verbally to the NCSCC.

(D) A fee for each Error trade cancelled in accordance with this rule shall be charged to the party
responsible for such Error trade as follows:

(1) $250 for each of the first three (3) instances within one calendar year;

(2) $500 for each of the next five (5) instances within one calendar year; and

25


(C) With respect to NYMEX ClearPort® Trading, the B-RAV risk filter shall include the
limit for a given customer account permission

permissioning of specific contracts, a dollar limit for a stomer ¢ med by
the Clearing Member as well as pet long and net short position limits set by the Clearing Member
for each contract permissioned for that customer,

Formatted: Font: 11 pt
~ Cromated: fous rpe—)

Deleted: for trading on such a system
will not be used by the AETS as part of
the risk filter for that system. Instead, the

AETS will only utilize the

(E) A Clearing Member agrees unconditionally to accept and to clear all trades executed for that
account for which it has input information pursuant to Section (A), regardless of malfunction or
non-operation of the Exchange’s contracts order filter functionality, the Risk Allocation Value

order filter functionality, and/or the position limit functionality. Dold et cunpouaontins

\ accordingly

(F) Following input of the information required in Section (A) above for any account, an order for
such account may be executed by or on behalf of the account-holder of the permissioned account,

*“{ Deleted: User for such system. 1

Procedures for Denial of Access”) shal] have the right without limitation at any time to terminate .
a User's and/or Us

+ Agent's user identification, passwords and access to NYMEX ClearPont® _
tn - - - - Deleted: the AETS __

9.19 Final Day of Trading

{AX(1) On the final day of trading in the delivery month of a contract that is listed for trading by open
outcry on the trading floor, it shall be the responsibility of each Clearing Member who is not in a position
to fulfill his contractual obligation on any maturing contract by prescribed notice and tender, to have a
liquidating order entered on the Exchange floor one hour before the time established for the beginning of
the closing range for such delivery month, All such orders shall be market orders to be executed prior to the
expiration of trading.

(2) On the final day of trading in the delivery month of a contract that is listed for trading solely on
NYMEX ACCESS® or on NYMEX ClearPort® Trading, it shall be the responsibility of each Clearing
Member who is not in a position to fulfill its contractual obligation on any maturing contract by prescribed
notice and tender, to have a liquidating order entered on NYMEX ACCESS® or on NYMEX ClearPort®
Trading, a

Chapter 11 (Rules for Exchange Electronic Trading Systems)
And Former Chapter 11G (Rules for Globex Trading System)

11.01-11.30 Rules Applicable only to NYMEX ACCESS®
11.01 Holders of Electronic Trading Privileges
11,02 Electronic Trader Designation Requirements

11.03 Scope of Trading Privileges


(A) MANDATORY USE OF EXCHANGE E-RAV

ISK FILTER FORORDERS —__

SUBMITTED, TO NYMEX ClearPort® TRADING VIA FRONT-END TRADING

APPLICATION TO CPT PROVIDED BY NYMEX,

bmitted to

No order for a contract listed for trading, or )
CPT via the trading graphical user interfé CPT. provided

by the Exchange may be accepted for entry into NY MEX ClearPort® Trading pnless and until
the carrying Clearing Member for the applicable account-holder has input electronically
taNYMEX ClearPort® Trading, the following required information:

(1) the account number;
(2) the contracts approved for trading for that account;

(3) with respect to trading on NY MEX ClearPort® Trading the Risk Allocation Value for that
account using the Exchange’s enterprise risk allocation value system (“E-RAV”); and

(4) in addition to the Risk Allocation Value, setting net short and net long position limits for each
contract permissioned by the Clearing Member for that account.

({B) OPTIONAL USE OF EXCHANGE E-RAV RISK FILTER FORORDERS
SUBMITTED TO NYMEX ClearPort® TRADING VIA A FRONT-END TRADING
APPLIGATION CERTIFIED BY THE EXCHANGE,

With respect to access to NYMEX ClearPort(sm) Trading via a non-Exchange trading front-end _
trading trading application that is. d by the Exchange, for each connection to NYMEX ClearPort®
Trading via such an application, the User in its discretion may determine to use or not use the E-
RAV risk filter provided by the Exchange. If the User determines for a particular connection not

to utilize the E-RAV risk filter, this filter will not be available for any orders submitted through

such connection, including orders subinitted by any and all of the User Agents making use of
such connection. If the User determines for a particular connection to utilize the E-RAV risk
filter, use of the filter will be mandatory for all orders submitted through such connection,
including orders submitted by any and all of the User Agents making use of such connection, and
all of the requirements of this Rule 9.04B shall be applicable.

© The E-RAV risk filter does not apply to trading activity for the Regular Trading Hours
session or trading activity for the NYMEX ACCESS® trading session. Trading on NYMEX
ACCESS@® is governed by a separate and distinct risk filter.



Deleted: New Alternative Electronic
‘Trading System

Deleted: New Alternative Electronic
‘Trading System

Trading

Rules that are Common to NYMEX ACCESS® and to NY MEX ClearPort® Trading

11.50 NYMEX Customer Service Call Center

(A) The NYMEX Customer Service Call Center ("NCSCC") provides customer support

only to Members, Clearing Members and customers designated by Clearing Members.
In order to be eligible for NCSCC support, such persons must register with the NCSCC
(‘Registered Contacts”). The NCSCC_ provides customer support via a specified
telephone number and during specified hours. NCSCC employees may not always be
available to assist Registered Contacts.

(B) Access to NYMEX ClearPort® Trading via a Non-Exchange Trading Front-End Deleted: (sm)
‘Application that is Certified by the Exchange.

During a NYMEX ClearPort® Trading_session, a User obtaining acces
ClearPort® Trading via a Certified Application generally must make available to i
at Jeast one person who is a Registered Contact as described above and who can serve to contact

the NCSCC on behalf of such User’s User Agents.

Persons other than Registered Contacts, including User Agents who are customers of the .
User, may not directly contact the NCSCC but instead must contact their User and/or (Formatted: Font: Not Bla y
Clearing Member to make support requests.

11.51 Business Day
The Business Day for trading sessions on Exchange electronic trading systems shall be governed
by the provisions of NYMEX Rule 6.00 (Exchange Business Day).

11,52 Hours of Trading

The Board shall establish the hours for trading in commodities on the Exchange for each trading
session. All such trading shall take place within the prescribed hours.

11.53 Electronic Trading Spread Transactions and Strip Transactions ;
fy’ [Trading System.

Deleted: For purposes of this rule, an

(A) This Rule shall apply to all orders for and execution of spread transactions and strip (| bagreds or purpose of ti ru,

transactions on NYMEX ACCESS(r) and on NYMEX ClearPort® Trading, notwithstanding | shall mean any electronic tading system
anything to the contrary in Rules 6.07, 6.07A, 6.08A, 6.08B, and 6.08D which Rules shall apply" _| other than NYMEX ACCESS on which

NYMEX Division or COMEX Division
Products are traded, but not including
GLOBEX®.

exclusively to spread transactions and strip transactions on the Exchange Floor, respectively. , a

14


11.24 Authorized Communications
11.25 Acceptance of Orders for Entry into NYMEX ACCESS®
11.26 Settlement Prices and Price Fluctuation Limits for NYMEX ACCESS®

11.27 Type Indicator Codes for Trading on NYMEX ACCESS®

11.31-11.50 Rules Applicable Only to NY MEX ClearPort®, Trading,

NYMEX ClearPort®) Trading,

11.31 Electronic Trading Privileges for NYMEX ClearPort®Trading,

11.32 Designation Requirements for Users and User Agents of Exchange's NY MEX ClearPoryt
Trading System

11.33 Scope of Trading Privileges for NY MEX ClearPorts: Trading

11.34 Responsibilities of Users on NY MEX ClearPory Trading ,

11.35 Acceptance of Orders for Entry into NYMEX ClearPom® Trading,

11.36 Type Indicator Codes for Trading on NYMEX ClearPortg Trading

| 11.37 Settlement Prices for Contracts Traded Only on NYMEX ClearPort®, Trading,

| 11.38-11.49, Reserved

"| Deleted: New Alternative Electronic
Trading System

Deleted: (sm)

11.51 Business Day

11.52 Hours of Trading

11.53 Electronic Trading Spread Transactions and Strip Transactions

11.54 Standard Forms of Orders for Exchange Electronic Trading Systems

11.55 Errors and Omissions in Handling Orders

11.56 Surrender of Trading Records for Examination

11.57 Trading Standards for Electronic Trading Systems

11.57A Permissible Pre-Execution Discussions

11.58 Reporting and Record keeping Requirements for Electronic Trading Systems

11.59 User of Passwords

Deleted: (sm)

Deleted: Specified Alternative
Electronic Trading Systems



("NCSCC ") and elsewhere to perform certain services for Members, Member Firms, Clearing
Members, Electronic Traders and Authorized Terminal Users with respect to NYMEX
ACCESS® and for Members, Member Firms, Clearing Members, Users and User Agents with
| respect to NYMEX ClearPort® Trading, Such employees may not always be available to assist
Members, Member Firms, Clearing Members, Electronic Traders, Authorized Terminal Users,
Users and User Agents. The Exchange shall be liable when such employees negligently: (1)
cancel, or fail to cancel, orders resting in NYMEX ACCESS® or in NYMEX ClearPort®

{ Deteted: (F) Any claim against the

Chicago Mercantile Exchange Inc.
("CME") for any losses, damages or

service, equipment or facility used to
support the trading of NYMEX Products
on GLOBEX® shall be governed by the
provisions of NYMEX Rule G11.04.

Deleted: For the purposes of this rule

only, the term "Alternative Electronic
Trading System" shall mean any
electronic trading system other than
NYMEX ACCESS on which NYMEX
Division or COMEX Division products
are traded, but not including GLOBEX(r).

Deleted: Alternative Electronic
Trading Systems covered by this rule

that were resting in the system at the time of deactivation may be basis for an allowable claim; (3)
fail to terminate an Electronic Trader's or User's privileges pursuant to valid instructions, in which
case those orders that were entered or matched after the instruction was received by the NCSCC,

but before the NCSCC has had a reasonable period of time to act upon such instruction, shall not
form the basis for an allowable claim; and (4) issue passwords to unauthorized persons.

(B) The liability of the Exchange for the above shall be limited as follows:

(1) $10,000 for any single claim; and

(2) $100,000 for all claims arising out of the negligent actions or failures to act of all NYMEX
employees on any single day.

(C) A single claim shall mean a loss resulting from all actions or failures to act as described

above that were performed negligently by all NYMEX employees with respect, as applicable, toa
single order entered through NYMEX ACCESS® or through NYMEX ClearPory® Trading, or, as__
applicable, multiple orders entered through NYMEX ACCESS® or through the NY MEX :

Firm, Clearing Member, Electronic Trader, or User who (01

(D) If the number of allowed claims arising out of the negligent actions or failures to act of all
NYMEX employees on a single day cannot be fully satisfied because of the above limitations, all
such claims shall be limited to a pro rata share of the maximum per day amount.

(E) ARBITRATION OF CLAIMS-A claim against the Exchange for the negligent actions or
failures to act enumerated above of the NCSCC employees shall only be allowed if such claim is
brought pursuant to and in accordance with this Rule.

(1) Notice of Claim

(a) A written notice of the claim, including the amount of the loss incurred as a result of the
alleged negligent action, must be presented to the Exchange within ten days following, as

20

Deleted: (sm)

Deleted: Alternative Electronic Trading
Systems



November 17, 2005

VIA E-MAIL

Office of the Secretariat

Commodity Futures Trading Commission
Three Lafayette Centre

1155 21st Street, N.W.

Washington, D.C. 20581

Re: Rule Certifications. New York Mercantile Exchange, Inc. Submission
#05.210: Change in Listed Trading Platform for Two NYMEX Contracts and
Related Rule Amendments

Dear CFTC Commissioners:

The New York Mercantile Exchange, Inc. (“Exchange”) is notifying the Commodity Futures
Trading Commission (“Commission”) that it will be delisting two NYMEX mini energy futures contracts
from being listed on the CME®’s Globex® electronic trading platform and then relisting those products on
the Exchange’s own NYMEX ClearPort® Trading electronic platform. (The Exchange had previously
notified the Commission in prior NYMEX filings (NYMEX Submission # 05.108 and NYMEX Submission
05.175) but then later determined to defer this transition. The transition will occur pursuant to the
schedule set forth in Exchange Notice to Members 05.494, which is included as part of this certification.
In addition, the Exchange has attached various rule amendments that will be implemented in connection
with the transition. Pursuant to Section 5c(c) of the Commodity Exchange Act (“Act”) and CFTC Rule
40.6, the Exchange hereby certifies that all of the attached rule changes and transition information comply
with the Act, including regulations under the Act; these changes will be made effective on November 18,
2005.

Should you have any questions concerning the above, please contact the undersigned at (212)
299-2207.

Very truly yours,

Brian J. Regan
Vice President and Counsel

Att.


Until further notice from the Exchange, every individual or entity applying for designation as a

In addition, an entity that is a NYMEX Clearing Member that is seeking to obtain designation as
a User for purposes of access to NY MEX ClearPortt) Trading via a Certified Application must
execute Schedule A-1 to Schedule A of the EULA and related attachments.

An individual or entity that is nota NYMEX Clearing Member (including both non-clearing
Member Firms and non-Member Firms) and that is seeking to obtain designation as a User for

- (Bete

purposes of access 10 NY MEX ClearPortst Trading via a Certified Application must execute

Schedule A-2 to Schedule A of the EULA and related attachments.

Every individual or entity applying for designation as a User further inust establish an account

with an Exchange Clearing Member who will guarantee trading activity for that account as
provided by NYMEX Rule 9.04B.

(B) Upon confirmation of an applicant's satisfaction of the requirements set forth jn Section (A)
above, the Exchange in its sole discretion may determine to designate the applicant as a User with
trading rights as specified by the Exchange.

(C) No person who executes customer orders during Regular Trading Hours who is employed by
a Member, Member Firm or Clearing Member during Regular Trading Hours in any capacity
other than as a write-up clerk, as that term is defined in Rule 8.58A, may be employed by any
other Member, Member firm or Clearing Member during the trading session for NYMEX
ClearPort® Trading, No Clerk, as that term is defined in Rule 8.58A, may become a User.

‘@) Responsibili

Access to NYMEX ClearPort® Trading via the Front-End Trading Application Provided _

by the Exchange.

(User shall be responsible for selecting its own User Agents with respect to NYMEX ClearPort®
Trading and must register with the Exchange in the manner provided of all such employees and
agents who have been designated by the User as User Agents for that User. The User also shall be
responsible for notifying the Exchange prior to any change in its User Agents. By registering any
such User Agents, User agrees to be bound by and to indemnify and hold the Exchange harmless
for any and all actions taken by, or omissions of, User Agents or others using the Passwords as
defined below of such User Agents. whether or not such actions were authorized, through the
User’s Certified Application with respect to NYMEX ClearPort® Trading.

Access to AEX ClearPort® Trading via a Non-Exchange Front-End Trading
Application that is Certified by the Exchange.

User agrees to be responsible for and to be bound hy and to indemnify and hold the Exchange
harmless for any and all actions taken , or omissions of, by User Agents or others using the
Passwords as defined below of such User Agents, whether or not such actions were authorized,
through the User’s Certified Application.

- { Deleted: (sm) T

~ | Deteted: such on-line agreements and
forms as required by the Exchange, as

may be amended from time to time; and 4

4
2)

Deleted: the provisions required

Deleted: an Exchange Alternative
Electronic Trading System

Deleted: (E) For the purposes of this
rule, the term "Alternative Electronic

‘Trading System” shall mean any
electronic trading system other than
NYMEX ACCESS® on which NYMEX
Division or COMEX Division products
are traded, but not including GLOBEX®.§



Deleted; 11.31-11.50 Rules Applicable
Only to New Alternative Electronic
Trading System ¥

1
Rules Applicable Only to New
‘Alternative Electronic Trading System

Deleted: (sm)

Deleted: Exchange Alternative
Electronic Trading Systems

Deleted: an Alternative Electronic
Trading System

11.31 Electronic Trading Privileges for NY MEX ClearPory® Trading and Related Definitions,

The Exchange in its sole discretion may determine to extend electronic trading privileges on
NYMEX ClearPort Trading to firms and individuals who comply with the designa

tequirements specified in Rule 11.32 (“DESIGNATION REQUIREMENTS FOR USERS AND
USER AGENTS OF NY

For purposes of this Chapter 11, in connection with access to NYMEX ClearPort® Trading, the
term “User” will refer to the firm or individual that has fully met all designation requirements
required by the Exchange and has been granted the privilege of accessing the NYMEX
ClearPort® Trading system.

Deleted: EXCHANGE
ALTERNATIVE ELECTRONIC
‘TRADING SYSTEMS

Deleted: For the purposes of this rule,
the term "Alternative Electronic Trading
System" shall mean any electronic
trading system other than NYMEX
ACCESS® on which NYMEX Division
or COMEX Division products are traded,
but not including GLOBEX®.

Deleted: (sm) 7

“fBeltet Ager)

For purposes of this Chapter 11, in connection with access to NYMEX ClearPort® Trading via

the trading graphical user interface (which may also be referred to in these rules as a front-end

trading application) provided by the Exchange, the term “User Agent” as applied to NY MEX
ClearPortg Trading will refer generally to those employees and/or agents that a User has
designated to serve as its authorized terminal operators and has properly notified the Exchange in
the manner provided by the Exchange.

For purposes of this Chapter 11, in connection with access to NYMEX ClearPory® Trading via a
front end application that is proprietary to the User or provided by a third party and that is
certified by the Exchange, the term “User Agent” as applied to NYMEX ClearPort® Trading
shall mean those individuals or entities (including. without limitation, User's customers,
employees, agents and independent contractors) authorized by User to access the NY MEX
ClearPorts, Trading Services via a Certified Application (as defined immediately below). __

4
For purposes of this Chapter 11, in connection with access to NYMEX ClearPort® Trading viaa “>
front-end trading application that is proprietary to the User or provided by a third party and that is WN
certified by the Exchange, the term “Certified Application” shall refer to any front-end trading
application, provided by User or a third party, via which User and/or its User Agent(s)
may access the NYMEX ClearPort® Trading services (and all modifications of such
application) and any connection of such front-end trading application to the NYMEX
ClearPon® Trading Services must (i) be certified by the Exchange in accordance with the
Exchange’s current technical certification procedures. as prescribed by the Exchange, and
(ii) meet the Exchange’s credit contro] and audit trail requirements as set forth by the
Exchange.

Deleted: Altemative Electronic Trading
*[ System

11.32 Designation Requirements for Users and User Agents of Exchange’s NYMEX ClearPort® , aa Deleted: for
Trading

Deleted: an Alternative Electronic
Trading System

(NYMEX ClearPortt®,Trading as defined below, every individual or _-- {Deleted:@m SS—~«@dS

(A) To qualify as a User pf, Deleted —

entity applying for designation as a User mustexecute such agreements and forms as required by

the Exchange, as may be amended from time to time. . {Deleted::3  S~*d

Deleted: (1)



(E) An employee of TMI.

11.65 Trading Prohibitions: Representatives of Other Clearing Members

(A) No Clearing Member shall accept or execute any trade for an employee, representative,
person in joint account, person in partnership with, another Member, Electronic Trader,
Authorized Terminal User, User or User Agent or for any qualified floor trader guaranteed by
another Clearing Member, without the prior written consent, filed with the Exchange, of such
other Clearing Member and in the case of the partner without the prior written consent of such
other Clearing Member's partner. In addition, a Clearing Member accepting or executing any
trade for any of the aforementioned persons must send a duplicate confirmation of the trade to the
individual or firm from which prior written consent must be obtained.

(B) Members of the Clearing House shall not solicit, or accept, selling or buying orders from any
employee of the Exchange; nor finance any employee of the Exchange in carrying trades, in any
manner.

(C) For the purpose of this rule the Chairman of the Board, members of the Board and members
of all Exchange Committees are not considered to be employees of the Exchange.

11.66 Restriction on Simultaneous Buy and Sell Orders on Exchange Electronic Trading Systems

With respect to trading on NYMEX ACCESS®, an Electronic Trader or Authorized Terminal
User may not enter orders for different principals as a cross-trade into the system.

With respect to trading on NYMEX ClearPor® Trading, a User or User Agent may not enter
orders for different principals as a cross-trade into the system.

Instead, an Electronic Trader, Authorized Terminal User, User or User Agent, as applicable, shall
enter orders into the system strictly on the basis of time of receipt of the orders. An Electronic
Trader, Authorized Terminal User, User or User Agent, as applicable, who has entered a buy
(sell) order for one principal into the system shall not enter a sell (buy) order for another principal
for the same commodity, month and price or for the same option (both puts or calls, with the
same underlying contract for future delivery, expiration date and strike price) unless the first
order has rested in the applicable system for at least ten (10) seconds.

11.67 General Trading Standards for Exchange Electronic Trading Systems

ACCESS® and no User or User Agent in the case of trading on NYMEX ClearPory Trading

shall purchase any commodity for future delivery, purchase any call option, or sell any put option

for any commodity options contract, for his own account, or for any account in which he has an
interest, while holding an order of another person for the purchase of any future, any call option,
or sale of any put option, in the same commodity which is executable at the market price or at the

27

Deleted: an Alternative Electronic
‘Trading System

Deleted: For the purposes of this rule

only, the term "Altemative Electronic
Trading System” shall mean any
electronic trading system other than
NYMEX ACCESS on which NYMEX
Division or COMEX Division products
are traded, but not including GLOBEX(1).

+| Deleted: For purposes of this rule, an

“Alternative Electronic Trading System”
shall mean any electronic trading system
other than NYMEX ACCESS on which

NYMEX Division or COMEX Division

products are traded, but not including



(3) $1000 for each instance thereafter within one calendar year.

Notwithstanding the above, there shall be no fee charged in connection with any Error Trade
cancelled for any product traded on an Alternative Electronic Trading System, i.e., NYMEX
ClearPoryt Trading.

(E) Except as provided in Section (F) below, if a potential user Error is brought to the attention of
the NCSCC by one of the parties to the potential Error trade later than ten (10) minutes after the
trade occurs, the trade will stand. However, NCSCC staff will assign both sides of the transaction
to the account of one of the parties if:

(1) The trade would otherwise qualify for treatment as an Error in accordance with section (B)(1)
of this rule;

(2) the NCSCC staff, using its best efforts, is able to contact the opposite party to the transaction;
and

(3) both parties to the transaction agree to the assignment.

The party reporting the Error and requesting the assignment under this section shall be charged an
Error fee in accordance with section (D) of this rule.

(F) Clearly Erroneous Trades Brought to the NCSCC Attention Outside 10-Minute Window. If
any transaction is brought to the attention of or is otherwise identified by NCSCC Staff as clearly
erroneous and thus inconsistent with the maintenance of overall integrity in the marketplace, Staff
shall be authorized to assemble an Electronic Trading Review Committee for the purpose of
determining whether to cancel or bust such transaction regardless of whether the notification
occurred outside the prescribed 10-minute notification period.

11.64 Trading Prohibition by Certain Persons

Members, Member Firms, Permit Holders, Electronic Traders, Authorized Terminal Users, Users
and User Agents are prohibited from directly or indirectly accepting or executing an order or,
accepting trades for clearance or maintaining positions in contracts, for the delivery of any
commodity traded or otherwise listed for clearing on the Exchange if such Member, Member
Firm, Permit Holder, Electronic Trader, Authorized Terminal Users, User or User Agent knows,
or with the exercise of reasonable care, should know, that the transaction was executed or carried
for or on behalf of:

(A) An employee or public director of the Exchange.

(B) An employee of another Member, Member Firm, Electronic Trader or User without the prior
written consent of such employer;

(©) A floor clerk, messenger or Authorized Terminal User or User Agent who is not also
designated as a User; .

(D) An employee of AT&T or its successor with any employment responsibilities directly
associated with NYMEX ACCESS®;, or

26



11.04 Responsibilities of Electronic Traders

11.04A Primary Clearing Member Guarantees for NYMEX ACCESS®

11.04B Obligations of Non-Primary Clearing Members for Trading on NYMEX ACCESS®
11.05 Reserved

11.06 Reserved

11.07 Primary Clearing Member Permission for Electronic Trader Accounts with Other Clearing
Members and Additional Authorized Terminal Users and Electronic Trading Privileges

11.08 Commodity Trading Advisors and Commodity Pool Operators

11.08A-1 COMEX Division Members Trading NYMEX Contracts on NYMEX ACCESS®
11.08A-2 Rules of Uniform Application

11.09 Duties of Primary Clearing Members to Monitor Electronic Traders

11.10 Termination of Guarantees and Ability of Electronic Traders and Authorized Terminal
Users to Trade

11.11 Reserved

11.12 Reserved

11.13 Termination of Designation as Electronic Trader or Authorized Terminal User
11.14 Leases of Electronic Trading Privileges

11.15 Terms of Electronic Trading Privileges Lease Agreement

11.16 Notices Required of Lessor and Lessees

11.17 Transfer of Electronic Trading Privileges

11.18 Effect of Filing Notice of Intention to Transfer

11.19 Termination by an Electronic Trader of Authorized Terminal Users

11.20 Class A Member and COMEX Division Member NYMEX ACCESS® Trading Rights and
Privileges

11.21 NYMEX ACCESS® Administrative Work Station Functionality
11.22 Reserved

11.23 Trade Limit Monitoring System


interest, a discretionary account for an immediate family member, or an account in which his
employer or any other employee of his employer has an interest.

(D) An Electronic Trader or an Authorized Terminal User in the case of trading on NYMEX

ACCESS® or a User or User Agent in the case of trading on NYMEX ClearPory Trading who -4
has entered an order into the Matching System which results in him having (immediately or ~.
subsequently) the highest bid or lowest offer for a particular futures or options contract resting in .
the applicable Exchange electronic trading system for his personal account, any account in which

he has a proprietary interest, a discretionary account for an immediate family member or an

account in which his employer or other employee of his employer has an interest shall disclose

the facts of the resting order to a customer prior to accepting from such customer any order for

the opposite purchase or sale of the same contract.

(E) An Electronic Trader or an Authorized Terminal User in the case of trading on NYMEX
ACCESS® or a User or User Agent in the case of trading on NYMEX ClearPory® Trading may
not enter an order for his own account, an account in which he has a proprietary interest, a
discretionary account for an immediate family member or an account in which his employer or
any employee of his employer has an interest which reflects the opposite side of a customer order
already resting in the applicable Exchange electronic trading system, unless the customer order

has rested in the applicable Exchange electronic trading system for at least ten seconds.

(F) An Electronic Trader or an Authorized Terminal User in the case of trading on NYMEX
ACCESS®&' or a User or User Agent in the case of trading on NYMEX ClearPory Trading shall
not make any purchase or sale, or shall not enter an order through any NYMEX electronic trading ~ Trading System

system, to effect a trade that has been pre-arranged. The foregoing restriction shall not apply to
transactions executed pursuant to permissible Pre-Execution Discussions in accordance with the

provisions of Rule 11.57A below.

11.57A Permissible Pre-Execution Discussions

Firms may engage in pre-execution discussions with regard to transactions executed on NYMEX
electronic trading systems where the firm wishes to be assured that a counter-party will take the
opposite side of the order. One party may agree in advance with another party that the first party

will take the opposite side of the first party's order, under the following circumstances: = -

(A) Customers must consent to allow pre-execution discussions with other market participants.

(B) Electronic Traders or Authorized Terminal Users in the case of trading on NYMEX
ACCESS® or Users or User Agents in the case of trading on NYMEX ClearPort® Trading, who
are solicited to participate in an electronic transaction through pre-execution discussions shall not
(i) disclose to another Electronic Trader or an Authorized Terminal User in the case of trading on
NYMEX ACCESS® or a User or User Agent in the case of trading on an NYMEX ClearPort®_
Trading the details of such discussions; or (ii) enter an order through a NY MEX electronic .
trading system to take advantage of information conveyed during such discussions unless the
Electronic Trader or an Authorized Terminal User in the case of trading on NYMEX ACCESS®

or a User or User Agent in the case of trading on an NYMEX ClearPory® Trading has agreed

during the pre-execution discussions to participate in the transaction in accordance with this Rule ~~~
and the order is entered to implement that agreement.

Deleted: an Alternative Electronic
‘Trading System

Deleted: Altemative Electronic Trading
System

Deleted: (sm)

17


(@) any suspension, inaccuracy, interruption or termination, or any other cause, relating to the furnishing,
performance, operation, maintenance, use of or inability to use any or all portion of Exchange systems, or
services and facilities used to support the Exchange systems and services related thereto, regardless of
whether such services or facilities are provided by the Exchange or a third-party. In addition, the Exchange
shall have no liability for errors or inaccuracies in information provided by Exchange systems or for losses
or other injury or damages resulting from unauthorized access or any other misuse of any Exchange
systems by any person.

(©) The foregoing limitation of liability and disclaimers shall be in addition to any other limitation of
liability provision contained in these Rules, and, to the extent that they are inconsistent, the provisions of
this Rule shall control.

(A) The limitation of liability set forth in these rules shall not apply to or affect the rights or remedies of
either any Claimant or the Exchange with respect to violations of the commodities laws and regulations.

4. Any Claimant that institutes a lawsuit or other similar proceeding against the Exchange in any court of
law or otherwise and that fails to prevail in such lawsuit or proceeding shall pay to the Exchange any and
all reasonable expenses and disbursements of the Exchange, including reasonable attorney's fees, incurred
by the Exchange in the defense of such lawsuit or proceeding in addition to any statutory costs incurred by
the Exchange.

5. Claimant consents and submits to the in personam jurisdiction of State and Federal courts located in the
City and State of New York. No action against the Exchange shall be commenced except in those courts
located in the State of New York. Claimant waives personal service and consents to service of process by
registered or certified mail to the most recent address provided by Claimant to the Office of the Secretary.
Nothing in these Rules shall affect the right of the Exchange to serve legal process in any other manner
permitted by law or affect the right of the Exchange to bring any action or proceeding against Claimant or
Claimant's property in a court of any other jurisdiction.

6. The Exchange and Claimant waive their right to trial by jury in any action or proceeding between them.
To the extent permissible by law, Claimant waives the right to punitive damages, consequential damages,
multiple damages and attorneys’ fees in any such action or proceeding.

7. This Rule shall be construed and enforced in accordance with the laws of the State of New York without
regard to conflict of any other laws, except to the extent pre-empted by Federal law. Each provision of this
Rule shall be viewed as legally separate and distinct from the other provision contained herein and if any
provision of this Rule is held invalid, that provision shall not effect the legality and enforceability of any
other provision.

2.44 Disputes Between Members

Any Member, Member Firm, Clearing Member, Permit Holder, Electronic Trader, User, Authorized

about which a dispute arises that is not resolved shall act in the most expeditious manner practicable to
mitigate or limit any damage to any party to such transaction or relationship. There shall be a rebuttable
presumption that such acts of mitigation shall not be admissible with respect to liability for the transaction
or relationship giving rise to the dispute.

3.46 Electronic Trading Review Committee

(A) The Electronic Trading Review Committee shall be a Regular Committee and shall consist of such
| number of Exchange employees as the Chairman may appoint, subject to the approval of the Board. ,

User Agent.pr Clerk involved in a transaction or business relationship on the Exchange __

Deleted: NYMEX ACCESS® Operator

Deleted: For the purposes of this rule,
the term "Alternative Electronic Trading
System” shall mean any electronic

‘trading system other thin NYMEX
ACCESS® on which NYMEX Division
or COMEX Division products are traded,
ut not including GLOBEX®,



(B) The Committee shall have jurisdiction to review the circumstances surrounding NYMEX ACCESS®
transactions and transactions on NYMEX ClearPort® Trading Jo determine whether a transaction w:
error, and, if so, whether such trade should be cancelled.

5.05 Permissive Submissions

Any other dispute, claim, grievance, or controversy which involves (i) a Member or Member Firm or
employee of a Member or Member Firm or customer of a Member and a Member or Member Firm; (ii) a
Member or Member Firm that is a User of NY MEX ClearPort® Trading and a Non-Member User of
NYMEX ClearPort® Trading; or (iii) or which only involves Non-Member Deere of NYMEX
ClearPory® Trading may be arbitrated under these Rules as provided Bre ,
Arbitrate or Submission Agreement, but the Arbitrators shall have the right to decline the use of the
Exchange's arbitration facilities in any dispute, claim, grievance or controversy, where, having due regard
for the purposes of the Exchange, such dispute, claim, grievance or controversy is not a proper subject
matter for arbitration under these Rules,

6.00 Exchange Business Day
The Exchange business day shall include four jrading sessions:

a NYMEX ACCESS® trading session;
a regular trading hours (RTH) trading session in New York; and
a trading session on NYMEX ClearPor® Trading Saaeeneet

+ The trading day shall commence with the opening of trading on NYMEX ACCESS® ,The NYMEX
‘ACCESS® trading session andor. the NYMEX ClearPorw®) Trading session for certain products may
extend into RTH. The trading day will end at the close of the following session of RTH on the Exchange
floor, or at the end of the NYMEX ACCESS® trading session, whichever is later. No business will be
conducted on Saturdays or Sundays with the exception of NYMEX ACCESS® trading on Sunday evening

(A) General Requirements. An exchange of futures for, or in connection with, mini futures (EFM) consists
of two discrete, but related transactions; a purchase (sale) transaction in a NYMEX ymiNY futures contract
and a sale (purchase) transaction in the related NYMEX futures contract. At the time such transaction is
effected, the buyer (seller) of the NYMEX niNY shall be the seller (buyer) of the related NYMEX futures
contract in the ratio designated by the Board of Directors.

(B) Final Deadline for Transactions. An EFM involving an expiring NYMEX yniNY futures contract month _

is permitted at any time up to and must be reported to the Exchange by the close of trading one business
day preceding the expiration date of the NY MEX niNY Crude and Natural Gas contracts.

(C) Contract Month and Quantity. An EFM transaction may only be effected for the same contract month
in both of the applicable NYMEX futures contracts. The quantity of contracts to be exchanged in the EFM
transaction must be consistent with the size ratio then in effect between the applicable NYMEX miNY
NYMEX futures contract listed for trading on NY MEX ClearPory® Trading, and the regular size NYMEX
contract listed for trading at NYMEX

(D) Transaction Price. An EFM transaction may only be transacted at the settlement price for the regular
size NYMEX futures contract for the trading session in which the EFM transaction was reported to the
Exchange.

_ { Deleted: and a RTH trading session in

+ | defined below

_ { Deleted: (sm)

Deleted: For the purposes of this rule,
the term "Alternative Electronic Trading
System" shall mean any electronic
trading system other thin NYMEX
ACCESS on which NYMEX Division or
COMEX Division products are traded,
but not including GLOBEX®,

Dublin; ¥ i
a wading session on the Chicago
Mercantile Exchange GLOBEX® system
for Exchange products listed for trading
‘on that system (the GLOBEX

Deleted: (sm) __.

Deleted: an Altemative Electronic
| Trading System (the AETS session) as

ee ______—_
Deleted: For the purposes of this rule,
the term "Altemative Electronic Trading
‘System” shall mean any electronic
trading system other than NYMEX
ACCESS on which NYMEX Divi(—



The Exchange shall promptly give notice, as applicable, that all NYMEX ACCESS® or

_ - (Deleted: (sm) )

execution of phantom orders shall be voided. The Exchange shall have no liability or
responsibility to the parties to any transactions that are voided pursuant to this rule.

11.63 Electronic Trading Error Trade Procedures

(A) (1) Whenever an Electronic Trader or Authorized Terminal User_in the case of trading on

a result of an error ("Error"), the Electronic Trader or Authorized Terminal User or a
representative of the firm that is a party to the trade must contact the NYMEX Customer Service
Call Center ("NCSCC") immediately.

(2) Whenever a User or User Agent in the case of trading on NYMEX ClearPor( Trading

believes that he or she executed a trade on NYMEX ClearPort® Trading in error, the User or

User's User Agent or a representative of the firm that is a party to the trade must contact the

NY MEX Customer Service Call Center ("NCSCC") immediately -except that, as provided by
Rule 11.50, a User Agent that is a customer of a User obtaining access via a Certified Application
and that is not otherwise registered with the NCSCC must contact the User and/or carrying

Clearing Member for support assistance.

(B) Except as provided in Section (F) below, if a potential user Error is observed by or brought to
the attention of thé NCSCC within ten (10) minutes after the trade occurs, the following
procedures will apply:

(1) The NCSCC staff will determine whether the trade price is less than the number of ticks set
forth below away from the fair market value as determined by the NCSCC. In determining the
fair market value, the NCSCC will consider the notional settlement price, the actual settlement
price, the last traded price, a better bid or offer price, or any other information the NCSCC staff
deems relevant. If the trade price is within the relevant range, then the trade will stand.

(a) Products Traded on NYMEX ACCESS®:

Contract Outrights # Ticks From Market Minimum Tick Size $ per Tick
CL 100.01 10.00

GR 4.25 25.00
NG 200.001 10.00

PN 25.0.0001 4.20
PL 20 0.10 5.00

PA 10 0.05 5.00
QL 100.01 15.50
GC 10 0.10 10.00
S14 0.005 25.00
HG 100.0005 12.50
AL 5 0,0005 22.00
JM 12 0.05 42.00

23

Deleted: For the purposes of this rule,
the term "Alternative Electronic Trading
| System" shall mean any electronic
trading system other than NYMEX
ACCESS® on which NYMEX Division
‘or COMEX Division products are traded,
but not including GLOBEX®,

~~ > (Formatted: Portuguese (Brazil)


NYMEX miNY(sm) Natural Gas Futures Contract (Deleted: Mini

402.01 Scope

The provisions of these rules shall apply to all contracts bought or sold on the NYMEX
division of the Exchange for cash settlement based on the Floating Price.

402.02 Floating Price

The Floating Price for each contract month will be equal to the NYMEX (Henry Hub)
Natural Gas Futures contract final settlement price for the corresponding contract month
on the last trading day for that contract month.

402.03 Contract Quantity and Value

The contract quantity shall be 5,000 MMBtu (million British thermal units). Each futures

contract based on the NYMEX miNY(sm) Natural Gas Futures contract shall be valued __- -
as the contract quantity (5,000) multiplied by the settlement price. .

402.04 Contract Months and Maximum Quantity per Order

Trading shall be conducted in contracts in such months as shall be determined by the
Board of Directors._Until further notice from the Exchange, the listed contract months
shall be limited to the first nearby month until the tenth-to-last day of trading in such
contract month, at which time the second nearby month shall then also be listed.

The NYMEX ClearPon® Trading system precludes the entry of an order in a quantity in
excess of the maximum number of contracts allowed per transaction as set by the

Exchange. The maximum transaction size set by the Exchange for the NYMEX Formatted: Font: Not Bold

miNY(sm) Natural Gas Futures contract is presently setat 50 contracts.

Accordingly, an order that exceeds 50 contracts for the NYMEX miNY(sm) Natural Gas
Futures contract must be entered into the NYMEX ClearPon® Trading system as
multiple entries. each of which may not exceed the maximum number of allowable
contracts.

402.05 Prices and Fluctuations

Prices shall be quoted in U.S. dollars and cents per MMBtu. The minimum price

fluctuation shall be $0.005 per MMBtu ($25.00, per Contract). The maximum price ___. . - { Deleted: 20.00
fluctuation shall be consistent with the prevailing price limits of the NYMEX Natural

Gas Futures contract rounded down on the upper limit and up on the lower limit to the

nearest one cent increment.



Clearing Members may establish a customer omnibus account. upon proper notice and in the
manner provided to the Exchange for use on an-intra ion basis with orders to be transacted on
such electronic trading systems from new customers who have not been established as Users or
User Agents as applicable of such systems. ,In addition, subject to the conditions set forth below.
use of a customer omnibus account as a common “holding” or “suspense” account is acceptable
for Clearing Firms, for execution operations that give-up orders to other clearing firms. and for
entry of bunched orders by Fligible Account Managers which are to be allocated in accordance
with CFTC Regulation 1.35(a-1)(5) and NFA's Interpretive Notice related to Compliance Rule 2-

Deleted: Such an omnibus account
could only be used for any one customer
for one trading session, after which it
would be necessary for such customer to
be registered with and designated by the
Exchange as a User of the system.

10.

Whenever for an order input into NYMEX C’ 18
Trading, the \st create a contemporaneous written and time-stamped record of the order
bearing the correct customer account designation. Additionally. by the end of the trading day. the

ultimate customer account designation must be entered into the clearing system.

11.36 Customer Type Indicator Codes for Trading on NYMEX ClearPort® Trading
Users and their User Agents shall be responsible for reporting to the Exchange on an Alternative
Electronic Trading System, appropriate CTI and indicator codes for transactions executed on
NYMEX ClearPort® Trading Appropriate CTI and indicator codes shall include a combination.
from Sections A and B below:

(A) Users who execute trades for their personal account, whether owned in whole or in part, or
for an account which they control or have the right to initiate trades in, regardless of whether or
not they have an ownership interest in the account, or whether they are an employee, partner, or a
customer of a Clearing Member, shall designate the trades as:

(A)Q) When a User who is an Exchange Floor Member or such User’s User Agent
enters orders for the User’s personal account, for an account the User controls, or
for an account in which the User has an ownership or financial interest, the User
and/or the User’s User Agent shall designate the order as CTI 1.

(2) When a User who is an Exchange Floor Member or such User’s User Agent
enters orders for the trading account of a Member Firm or Clearing Member, the
User and/or the User’s User Agent shall designate the order as CTI 2. However, if
such User has either an interest in or discretionary control over such Member Firm
or Clearing Member trading account, the indicator codes of subdivision (1) shall

appl

(3) (a) When a User who is an Exchange Floor Member or such User’s User Agent
enters orders for the personal account of another Floor Member, or for an account
that the User knows is controlled by another Floor Trading Member, the User
and/or the User’s User Agent shall designate the order as CT1 3.

(4) When a User or User Agent enters orders for any account, other than those listed

in Subdivisions (1), (2), (3), such User or User Agent shall designate the order as
CTl4.

-| Deleted: (sm)

‘System. For purposes of this rule, an
“Altemative Electronic Trading System”
shall mean any electronic trading system
other than NYMEX ACCESS on which
NYMEX Division or COMEX Division
products are traded, but not including
GLOBEX®.


GH.08 11.38,

West Texas Intermediate Crude Oil Calendar Swap
New York Harbor No. 2 Heating Oil Crack Calendar Swap
New York Harbor Unleaded Gasoline Crack Calendar Swap
New York Harbor No. 2 Heating Oil Calendar Swap

New York Harbor Unleaded Gasoline Calendar Swap

(E) The Henry Hub Swap futures contract shall not be settled pursuant to this rule but rather shall
be settled pursuant to the provisions of NYMEX Rule 6.52A (‘Settlement Prices for Natural Gas
Futures Contracts.”) The Henry Hub Basis Swap futures contract shall be settled pursuant to the
provisions of this rule. The NY MEX miNY Natural Gas futures contract shall not be settled
pursuant to this rule but rather shall be settled pursuant to the provisions of NYMEX Rule 6.52A
(‘Settlement Prices for Natural Gas Futures Contracts.”) The NYMEX miNY Crude Oil futures,
contract shall not be settled pursuant to this rule but rather shall be settled pursuant to the
provisions of NYMEX Rule 6.52 (“Settlement Prices for Crude Oil, Heating Oil, Gasoline and
Coal Futures Contracts.”)

(F) Following determination of the settlement prices for a contract pursuant to this rule, such
prices shall be utilized in clearing and settlement in accordance with Exchange procedures and
operations.

NYMEX Lead Market Maker Prograin

A, General Provisions. The Exchange shall establish a Lead Market Maker ("LMM") Program to

remain in effect for a period determined by the Exchange. The principal obligation of a LMM is
to continuously make a market of a specified width and depth throughout the regular trading
session for the Exchange's NY MEX miNY Crude Oil and Natural Gas contracts listed for trading.

on NYMEX ClearPort® Trading electronic trading system and in all contract months of such
listed Exchange contracts, as such contract months may be modified from time to time. Trading
in the capacity of an LMM shall be limited to trading in proprietary trading accounts. The
Exchange may determine to appoint one or more LMMs for this Program.

B. Steering Committee. The Exchange's NY MEX miNYsm Steering Committee ("Steering
Committee") shall negotiate terms with prospective applicants during the application and review
process, and shall make recommendations for approval by the Board of Directors with respect to
eligible participants for the Lead Market Maker Program. The Steering Committee's
recommendations will be based, among other things. on the applicant's business reputation.
financial resources and trading activity in relevant futures, options or related cash markets. The
Steering Committee may determine to establish separate obligations respecting maintenance of
bid-ask spreads and minimum trade size obligations for trading during abnormal market
conditions.

The Steering Committee shall also supervise the operation of the LMM Program. Any individual
or entity accepted as a Lead Market Maker must comply with the conditions established by the
Steering Committee. The Steering Committee will have discretion in determining whether an
LMM has complied with this rule and with all conditions of the LMM program. In the event that
the Steering Committee determines that a 1.MM has failed to comply with any requirement, it
shall recommend to the Board that appropriate action be taken. The Exchange also reserves the
right to cancel the LMM Program upon 30 days notice to participating firms.

- -[ Deleted: (sm)


401.06 Termination of Trading

Trading in the current delivery month shall cease on the business day immediately _
preceding Jo the last day of trading in the current delivery month of the NYMEX Light

Sweet Crude Oil futures contract _

401.07 Final Settlement

settlement. Final settlement, following termination of trading for a contract month, will
be based on the Floating Price. The final settlement price will be the Floating Price
calculated for each contract month.

Deleted: the twenty-fifth calendar day
of the month preceding the delivery
‘month. If the twenty-fifth calendar day of

the month is a non-business day, trading
shall cease on the third-to-last business
day prior to the last business day
preceding the twenty-fifth calendar day.



‘2.43 Lawsuits Brought Against the Exchange 1

1. For purposes of these Rules
(a) the term “Claimant” shall mean any individual or legal entity that is presently, or was formerly, subject
to the jurisdiction of the New York Mercantile Exchange or New York Mercantile Exchange, Inc.
(collectively, “NYMEX”) or their respective parent companies, subsidiaries (direct and indirect) or
affiliates, (including the Class B member), including but not limited to Class A members, Commodity
Exchange, Inc. ("COMEX") Division Members, Class A Lessees, COMEX Division Lessees, Class A
Member Firms, COMEX Division Member Firms Class A Clearing Members, COMEX Division Clearing
Members, Permit Holders, Floor Brokerage Billing Entities, Electronic Traders.and_ Authorized Terminal
Users as both terms are defined in Chapter 11 in connection with NYMEX ACCESS, Op!

Aluminum Members and Eurotop Members, NYMEX Equity Members, COMEX Equity Members, Users
| and User Agents_as both terms are defined in Chapter 11 in connection with NYMEX ClearPort® Trading, - :

or any other individual or legal entity with some or all of the rights and privileges of membership or

ownership in NYMEX or any of its subsidiaries (direct or indirect) or affiliates , (including the Class B

member), or which has the right to trade in commodities or conduct business operations including but not

limited to use of clearing services for products listed only for clearing on NYMEX or any of their
respective parent companies, subsidiaries (direct or indirect), and any of their employees, including but not

| limited to clerks and Authorized Terminal Users., ~~ -{ Deleted: For the purposes of this rule,
the term "Alternative Electronic Trading

(b) the term "Exchange" shall include NYMEX, and its respective parents, (including the Class B member), System’ shall mean any electronic
subsidiaries (direct and indirect) or any of its respective affiliates, members, successors, assigns, directors, ACCESSD on which NYMEX Division
governors, officers, committee members, employees, consultants or agents. ‘or COMEX Division products are traded,

but not including GLOBEX®.

| 2. Eloor Trading, Claimant acknowledges that floor trading at the Exchange is accomplished by open out
cry ina trading "ring" or "pit" and that the Trading Floor is an environment of close physical proximity to
others that may result in substantial physical contact with others. Claimant further acknowledges that such
conditions on the Trading Floor may be exacerbated by volatility in trading or contract expiration. Claimant
assumes all risk of loss, damage or injury, personal or otherwise, caused by reason of conditions on the
Trading Floor and hereby waives (to the extent permissible under law) any claim based upon such
conditions.

3. Except to the extent such loss, expense, damages or claims are attributable to the willful misconduct,
gross negligence, bad faith, fraud, or criminal acts of the Exchange, and except as otherwise expressly
provided in these Rules, the Exchange shall not have liability to any Claimant for any loss, expense,
damages (including direct, indirect, consequential and punitive damages) or claims resulting from or
relating to:

(a) any personal injury or medical condition (and death resulting therefrom) that arise out of (i) the use or
employment of the facilities or services at the Exchange, regardless of whether such services or facilities
are provided by the Exchange or a third-party. or (ii) any interruption in or failure or unavailability of any
such facilities, services, regardless of whether such services or facilities are provided by the Exchange or a
third-party. or (iii) any action or failure to act by the Exchange.

(b) any error, omission or delay in calculating or disseminating any current, closing or settlement prices,
values, transactions in, quotations for or other information about futures contracts and options contracts
traded on the Exchange.

(©) the use of data transmitted or disseminated by or on behalf of the Exchange or any reporting authority
designated by the Exchange, including but not limited to reports of transactions in, quotations for or other
information about futures contracts and option contracts or reports of index values or related data; and, in
connection with the use of such data, the Exchange makes no express or implied warranties as to such data,
including but not limited to (i) the result to be obtained or (ii) the merchantability or fitness for a particular
Purpose or use.


| applicable, the NYMEX ACCESS® trading session or NYMEX ClearPory® Trading trading -
~\_ [System ;

session during which the negligent action allegedly occurred.

(b) The Exchange shall have twenty days from receipt of such notice to satisfy, agree to pay
subject to the limits in this Rule or dispute the claim. No payment in satisfaction of a claim may
exceed the limits in this Rule. The Exchange shall notify the Member, Member Firm, Clearing

Member, Electronic Trader, or User jf the Exchange disputes the claim.

- (Bek hari Tema)

- { Deleted: , Authorized Terminal User
User

Agent

(2) Filing a Claim/Answer

claim, on behalf of itself or a customer, within twenty days of notification that the Exchange
disputes the claim. Failure to file a formal claim shall result in dismissal of the claim.

|

(b) The Exchange shall file an answer within twenty days of receipt of a formal claim. Failure to
file an answer shall constitute an admission of liability, and the Exchange shall be required to pay
the amount of the claim; provided however, that no such payment may exceed the limits in this
Rule.

(3) Arbitration Panel

(a) All disputed claims shall be submitted to an arbitration panel for binding arbitration. The
panel shall consist of the three panelists selected from a list of arbitrators maintained by the

National Futures Association ("NFA"). The claimant and the Exchange shall each select one
panelist. The President of NFA shall choose the third panelist.

(b) No person shall serve as a panelist unless and until he has first pledged to the Exchange that
he will not publish, divulge, or make known in any manner, any facts or information regarding
the business of any person or any other information which may come to his attention in his
official capacity as a member of the panel, except when called upon to testify in any judicial or
administrative proceeding.

(c) Each person serving on the panel shall comply with the standards of the American Bar
Association-American Arbitration Association's "Code of Ethics for Arbitrators in Commercial
Disputes", incorporated herein by reference.

(d) No person shall serve on an arbitration panel if he has a personal or financial interest in the
matter under consideration.

(4) Hearing

(a) The panel shall consider all relevant testimony and documents submitted by the claimant and
the Exchange. Each party has the right to be present at the hearing, to be represented by counsel

at his own expense, to examine all relevant documents prior to and during the hearing, to present
all relevant evidence in support of or as rebuttal to a claim or defense, and to question witnesses

during the hearing. Testimony shall be taken under oath or affirmation.

(b) The panel may require any Member, Member Firm, Clearing Member, Electronic Trader or
Authorized Terminal User, User or User Agent or any person employed by or associated with a
Member, Member Firm, Clearing Member, Electronic Trader, or User or persons employed by

the Exchange or other persons having an interest in the claim, to appear, to testify or to produce

| 21


'YMEX miNY(sm) Crude Oil Futures Contract

401.01 Scope

The provisions of these rules shall apply to all contracts bought or sold on the NYMEX
division of the Exchange for cash settlement based on the Floating Price.

401.02 Floating Price

The Floating Price for each contract month will be equal to the NY MEX Light Sweet

Deleted: NYMEX Light Sweet Crude
01

Coed ar)

_ - (Deleted: NYMEX

Crude Oil Futures contract final settlement price for the corresponding contract month on
the last trading day for that contract month.

401.03 Contract Quantity and Value

The contract quantity shall be 500 barrels. Each futures contract based on the NYMEX
miNY(sm) Crude Oil Futures contract shall be valued as the contract quantity (500)
multiplied by the settlement price.

401.04 Contract Months and Maximum Quantity per Order

Trading shall be conducted in contracts in such months as shall be determined by the
Board of Directors. Until further notice from the Exchange, the listed contract months
shall be limited to the first nearby month until the tenth-to-last day of trading in such
contract month, at which time the second nearby month shall then also be listed.

The NYMEX ClearPort® Trading system precludes the entry of an order in a quantity in
excess of the maximum number of contracts allowed per transaction as set by the
Exchange. The maximum transaction size set by the Exchange for the NYMEX
miNY(sm) Crude Oil Futures contract is presently set at 50 contracts.

Accordingly. an order that exceeds 50 contracts for the NYMEX _miNY(sm) Crude Oil
Futures contract must be entered into the NYMEX ClearPort(sm) Trading system as
multiple entries, each of which may not exceed the maximum number of allowable
contracts.

401.05 Prices and Fluctuations

Prices shall be quoted in U.S. dollars and cents per barrel. The minimum price fluctuation
consistent with the prevailing price limits of the NYMEX Light Sweet Crude Oil Futures |
contract rounded down on the upper limit and up on the lower limit to the nearest five

cent increment.



purposes of this rule, the terms “Member”, “Member Firm” and “Floor Member” shall include
COMEX Members who have NYMEX Division trading privileges.

(B) (1) With respect only for the execution of brokerage on NYMEX ACCESS®, any entity

under which brokerage will be billed that is not a Member Firm of the Exchange must be:

(i) a sole proprietorship owned by a Member of the Exchange;
(ii) a corporation that is more than 50% owned by a Member or Members of the Exchange; or

(iii) a partnership, provided that the general partners who are Members of the Exchange own
more than 50% of the partnership; provided that if a non-member or non-members have an
interest in a corporation or partnership provided for in subsection (ii) or (ii) above, the non-
member or non-members’ interest cannot exceed the interest of the Member with the largest
interest.

(2)It will be a major offense to receive payment for brokerage services rendered, unless duly
registered with the Exchange.

(3) It will be a major offense for any Member, Electronic Trader, pr Member Firm to pay non- -

registered entities for brokerage services rendered. It is the obligation of all Members, Member

Firms and Electr - 2 {Deletes
with the Exchange. _

Members who are owners, shareholders or general partners of entities under which floor
brokerage will be billed shall be responsible for the acts of the employees and agents of those
entities.

29


Notification of NYMEX Notice to Members Notice No. 494
NYMEX miNYTM Energy Futures Transition Procedure

As previously announced, The New York Mercantile Exchange, Inc., will transition its
NYMEX miNYTM crude oil and natural gas futures contracts to the NYMEX ClearPort®
trading system from the Chicago Mercantile Exchange's Globex® electronic trading
system on Sunday, November 20, 2005.

For the transition, these two NYMEX miNYTM energy futures contracts will follow the
regular schedule for listing the nearby or next month futures contract month ten business
days before the front month futures contract expires.

NYMEX miNYTM Crude Oil
The January NYMEX miNYTM Crude futures will be listed for trading on the Globex®
trading system at 3:15 PM EST on November 3rd for trade date November 4th.

The December NYMEX miNYTM Crude futures will expire on the Globex® trading
system at 2:30 PM EST on Thursday, November 17th.

The January NYMEX miNYTM Crude futures will cease trading on Globex® at 2:30 PM
EST on Friday, November 18th and then be delisted from being traded on that system.

The January NYMEX miNYTM Crude futures will then transfer from the Globex®
trading system and be listed for and commence trading on the NY MEX ClearPort®
trading system at 7:00 PM EST on Sunday, November 20th for trade date Monday,
November 21st.

NYMEX miNYTM Natural Gas

The January NY MEX miNYTM Natural Gas futures will be listed for trading on the
Globex® trading system at 3:15 PM EST on November 9th for trade date November
10th. :

The December and January NY MEX miNYTM Natural Gas futures will cease trading on
Globex® on at 2:30 PM EST on Friday, November 18th and then be delisted from being
traded on that system.

The December and January NY MEX miNYTM Natural Gas futures will then transfer from
the Globex® trading system and be listed for and commence trading on the NYMEX
ClearPort® trading system at 7:00 PM EST on Sunday, November 20th for trade date
Monday, November 21st.


Intra~-Commodity Spreads # Ticks From Market Minimum Tick Size $ per Tick
CL 40.01 10.00

HO 10 0.0001 4.20

HU 10 0.0001 4.20

NG 5 0.001 10.00

PN 100.0001 4.20

PA 5 0.05 5. 00
QL 100.01 15.50
GC 5 0.10 10.00
SI 10 0.001 25.00
HG 2 0.0005 12.50
AL 5 0.0005 22.00
JM 12 0.05 42.00

Inter-Commodity Spreads # Ticks From Market Minimum Tick Size $ per Tick
CL/HO 50.01 10.00

CL/HU 50.01 10.00

HO / HU 25 0.0001 4.20

(b) Products Traded on NYMEX ClearPort:
by unit size)

Product (Unit Size) # Ticks From Market

(Crude Oil and Crude Products (1000 Barrels) 10
Crude Oil and Crude Products (42,000 Gallons) 24
Natural Gas 16

Electricity 30

NYMEX miNY Cr

(2) Upon determining that the trade price is outside the relevant range indicated above, the
NCSCC immediately will initiate an alert over the relevant trading system and to the quote
vendor network indicating that the trade may be an Error and will attempt to contact the parties to
the transaction to determine whether all parties to the trade consent to the cancellation of the
trade.

(3) If both parties consent to void the trade within ten (10) minutes after the alert is sent, and no
third party objects to the cancellation of the trade within ten (10) minutes of the alert, the trade
will be cancelled.

(4) Ifa third party contacts the NCSCC within ten (10) minutes of the time the system alert and
the alert to the quote vendor network set forth in Subsection (B)(2) were sent, objecting to the
cancellation of the trade, the NCSCC will not immediately cancel the trade and the transaction
will be reviewed by the Electronic Trading Review Committee.

(5) If the NCSCC is unable to contact all parties to a transaction or both parties do not consent to
cancel the trade within ten (10) minutes after the NCSCC is notified of a potential user Error then

24

Deleted: an Alternative Electronic
Trading System



11.33 Scope of Trading Privileges for N =X ClearPort® Trading

Only Users and their User Agents may enter orders on N
Non-Member Users and thei
NFA registration requirements.

EX ClearPort® Trading and any
Jer Agents must comply with any and all applicable CFTC and

11.34 Responsibilities of Users on N’

(1) Each User as defined by Exchange rules of NYME Trading shall be responsit
for all activity resulting from use of the user identification of that User (if an individual) and/or
the user identific

the Passwords to any third party. User must immediately notify the Exchange of (i) any

unauthorized losure or use of the Passwords, (ii) any unauthorized access to NY MEX
ClearPort® Trading, and (
Agents’ loss or disclosure of Passwords, any unauthorized use of Passwords, or any change in
User Agents.

11.34A Responsibilities of Clearing Members for Connections to NYMEX ClearPort® Trading
via a Certified Application

In addition to any other requirements as may be set forth in the Exchange's rules, the followin:
requirements apply specifically to Clearing Member obligations for connections to NYMEX
ClearPort® Trading via a Certitied Application.

t be

(1) Each connection to NYMEX ClearPort® Trading made via a Certified Application must
guaranteed by a Clearing Member that assumes financial responsibility for all activity
through such connection. If the User is not the Clearing Member itself, the scope of the
financial guarantee being made by the Clearing Member to the User will depend on

~ -{ Deleted: (sm) __.

4] System for any account in which the User

Deleted: an Aliemative Electronic
Trading System, as follows: 4
1

(A) Except as otherwise provided in this
tule, a User and its User Agents may
center orders into the system for the
account of others only if the User is a
‘Member or Member Firm of the
Exchange. Accordingly, except as
‘otherwise provided in this rule, a Non-
‘Member User and its User Agents may
only enter orders into the system for the
account(s) of the User.

(B) Except as otherwise provided in this
rule, or unless a User Agent is also a
User, a User Agent may enter orders on
the Alternative Electronic Trading
‘System only for an account of the User
that has authorized him to enter orders
and for the customers of such User but
only if the User is a Member, Member
Firm or commodity trading advisory or
‘commodity pool operator provided,
however, that a User Agent of a User may
‘enter orders into the system for the
account(s) of an entity that is the
corporate parent of the User or a wholly-
‘owned subsidiary of the User or where
the User is an affiliate of another
corporate entity and both companies are
wholly-owned subsidiaries of a parent
company.§

User Agents who do not otherwise
qualify as a User may not enter orders on.
the Alternative Electronic Trading

Agent ha:

whether or not the particular connection to NYMEX ClearPort® Trading is utilizing the

{ Deleted: (sm)

Exchange’s financial risk allocation value filter system (RAV). If the User has elected to
use the RAV system, the Clearing Member shall be responsible for all non-clearing
financial obligations of the activity through such comection. If the User has elected not
to use the RAV system, the Clearing Member shall be responsible for all financial
obligations of the activity through such connection and additionally shall be required to
serve as the Primary Clearing Member for all activity through such connection.

(2) Clearing Members shall assist the Exchange in any investigation into potential

Deleted: Alternative Electronic Trading
Systems

violations of the rules or the Act which occur through or with respect to such a
connection guaranteed by the clearing member. Such assistance must be timely and may
include, but not be limited to. identifyiny any User or User Agent to the Exchange and

Deleted: the Alternative Exchange
Electronic Trading System


Rule must be used in combination with one of the following indicator designations:

(1) C or Customer -- if the account owner is not affiliated with the Clearing
Member; or

(2) H or House -- an account affiliated with the Clearing Member, including parent
and subsidiary corporations, or principals or authorized employees, trading for
their own account at the Clearing Member in which they have an ownership interest
in or by whom they are employed.

(EC) It shall be a Major Offense for Users or User Agents to knowingly assign false
indicator codes to trades executed on NYMEX ClearPort® Trading .

11.37 Settlement Prices for Contracts Traded Only on NYMEX ClearPort® Trading,

(A) The terms of this rule shall generally govern the establishment of settlement prices for futures '

contracts that are listed for trading only on NY MEX ClearPort® Trading,
For cash-settled contracts, this rule shall govern only for trade dates other than the final day in an

expiring contract month, and final settlement following termination in an expiring contract month |

in such contracts shall be determined in accordance with the chapter of rules for the applicable
contract.

(B) The settlement prices established pursuant to this rule shall be determined by the President’s
designee. For purposes of this rule, the President’s designee shall refer to Exchange staff from
various Exchange departments assigned to this responsibility (hereafter “Staff’).

(C) Except with respect to the contracts listed in Sections (D) and (E) below, for each

remaining contract, Staff in its sole discretion and judgment shall determine settlement prices for
purposes of clearing and settlement for that contract. Staff shall determine such prices by
considering market information deemed to be appropriate, and such information may include, but
is not limited to:

(1) trading activity on NYMEX ClearPort® Trading, oo 7

(2) price data obtained from a cross-section of over-the-counter (“OTC”) brokers collectively
representing both buyers and sellers in OTC markets;

(3) price data obtained from OTC market participants, considering both buyers and sellers in such
markets;

(4) price data from other sources deemed to be reliable and accurate; and

(5) other relevant data and information.

(D) With respect to the contracts listed below, Staff shall determine settlement prices for purposes
of clearing and settlement for that contract based upon settlement prices for the applicable futures
contract trading on the Exchange:

{| Member Firm or of his/her Clearing

Deleted: (i) 1 Customer-If the Trading,
Member is not associated with the
Clearing Member clearing the trade.

1

Gil) 1 House-If the Trading Member is a
principal or employee of the Clearing
Member clearing the trade.

1

(B) When a User or User Agent in the
case of trading on an Alternative
Electronic Trading System ® executes
trades for the trading account of either a

Member he/she must designate the trades
as CTI2. However, ifthe executing
Member has either an interest in or
discretionary control over his, her or any
+ | other Clearing Member's trading account,
*\ | the indicator codes of subdivision (A)

| shall apply.

4
* | (C)(1) When a User or User Agent on
behalf of the User enters orders for

Deleted: ® for the account of a member
or member firm other than himself or his
Clearing Member he must designate such
orders as 3.9

1

(D) When a User or User Agent in the
case of trading on an Alternative
Electronic Trading System ® executes
trades for any account, other than those
listed in subdivisions (A), (B), (C), he/she
shall designate the trades as:4

1
| (@ 4 Customer-All other accounts 4

(ii) 4 House-Firms affiliated with the
Clearing Member, including parent and
subsidiary corporations, or Principals or
employees (located off the floor), trading
for their own account at the Clearing
‘Member in which they have an ownership |
interest in or by whom they are

employed.
4

(E) It shall be a Major Offense for Users
‘or User Agents to knowingly assign fa
indicator codes to trades execute'

1 Deleted: specified Alternative
Electronic Trading Systems

Deleted: an Alternative Electronic
Trading System. For purposes of this.
rule, an “Alternative Electronic Trading
System” shall mean any electronic

‘| trading system other than NYMEX

‘ACCESS on which NYMEX Dit
| COMEX Division products are

Deleted: (sm)

Deleted: the Altemative Electronic
Trading System