COE FUTURES EXCHANGE

December 15, 2006

ia Electronic Mail

Ms. Eileen A. Donovan

Acting Seerctary

Commodity Futures Trading Commission
Three Lafayette Centre

T15S 24st Street, NW

Washington, D.C, 20581

Re CBOE Futures Exchange, LLC Rule Certification
ubmission Number CFE-2006-

Dear Ms, Donovan

Pursuant to Section Se(c) 1) of the Commodity Fxchange Act, as amended ("Act"), and
$40.6(4) of the regulations promulgated by the Commodity Futures Trading Commission under
the Act, CBOE Futures Exchange. LLC ("CEE" or “Exchange") hereby submits an amendment
C’Amendment") to CFE Policy and Procedure VI. which sets forth CFE's Trading Privilege
Holder Permit Program ("Program"). The Amendment extends the Program for an additional
year so that all wading permits issued under the Program will now expire on December 31, 200%
As owas the cuse previously, CEE may subsequently determme to further extend the Program or
allow the permits issued under the Program to expire and replace the Program with a different
permit program. Phe Amendment will become effective on December 18, 2006

CEE ts not aware of a

ny substantive opposmg views to the Amendment. CFE he
certifies that the Amendment complies with the ¢

etand the regulations thereunder.

The Amendment, marked to show additions in underlined text and deletions in
[bracketed] text, conststs of the following:

tae
Policy and Procedure VI. Trading Privilege Holder Permit Program

Any Person that desires to become a Trading Privilege Holder is required to obtain a
Frading Privilege Holder pernnt (PPE Permit")

Initially. the Exchange will make available 2.500 PPE Permits. The Exchange may
subsequently make available additional TPH Permits if the mitial supply of 2,500 TPE Permits is
exhausted,

{PHL Permits may be obtuned by any Person that is a member of CBOE with CBOF
irading privileges and any other Person that satistics the requirements fof] set forth in Rule 304
[(b)] (a)

bach Person desiring to obtain a TPIE Permit must submit an applicauion to the Exchange

ia form and manner prescribed by the Fxchange pursuant to Rule 30[4]8 and become approved

$90 South LaSali

Chicago. Ilinois 66605-1023 www cboe comicte


Ms. Lileen A. Donovan
Page 2 of 2

by the Exchange as a Trading Privilege Holder. Each Trading Privilege Holder may permit one
or more individuals to act as its Authorized Traders pursuant to Rule 303

Any organization that desires to become a Clearing Member of the Exchange ts required
to become a Trading Privilege Holder and to obtain a [PH Permit. Additionally, in order to be an
Exchange Clearing Member, an organization is required to be a member of the Cleanny
Corporation that is authorized under the rules of the Clearing Corporation to clear trades in
Contracts traded on the Exchange

bach TPH Permit entitles its holder to access the CBOE System through one login code.
To the extent that.a Trading Privilege Holder desires to use more than one login code, the Trading
Privilege Holder must obtain additional TPH Permits from the Exchange.

The Exchange may trom time to time determine to limit the amount of CFE bandwidth
that may be utilized through each TPH Permit.

EPIL Permit holders shall have all of the rights and obligations of Trading Privilege
Holders under the Rules of the Exchange except to the extent otherwise provided under this
Policy and the Rules of the Exchange

A TPEL Permit ts non-transterable and non-assignable. except m connection with a
transfer. assignment, sale. or lease of a CBOE membership pursuant to Rule 302. Any recipient
of a PPEL Permit as permitted by Rule 302 ts required to provide the Exchange with the
appropriate appheation matertals and to be approved as a Trading Privilege Holder pursuant to,
Rule 304 before the reerpient will be permitted to act as a Trading Privilege Holder.

AIL TP PEE Pernuts shall expire on December 34. 200[6)7 Phe xchange may determine to
extend the term of (PEE Pernits or allow PPE Permits to expire and replace the PPE Permut

prowrame with a different permit program

AH Exchange fees applicabic to TPH Permit holders and all other Exchange fees
will be as set forth in a separate Exchange fee schedule.

Wek

Questions regarding this submission may be directed to Arthur Reinstein at (312) 786-
7570 or Jennifer Klebes at (312) 786-7466. Please reference our subrnission number ¢ 2006-
21 many related correspondence

CBOE Futures Exchange, LEC

By 7 Ee
Patrick J —

Managing Director

ce Edward Dasso (NEA)
Phe Options Clearing Corporation