-12-

holding of non-resident bank accounts in the country of the bank in which he will accept payment
of the appropriate quoted currency for each outstanding short Currency Futures Contract.

([£]i) Costs of Delivery

The seller (short) shall bear the costs of transferring the base currency into the delivery bank specified
by the Exchange and the costs of transferring the quoted currency out of the delivery bank. The buyer
(long) shall bear the costs of transferring the base currency out of the delivery bank specified by the
Exchange and the costs of transferring the quoted currency into the delivery bank. Such costs may
include, but are not limited to, wire transfer charges, CLS charges, directives-to-pay charges, [swift]
SWIFT message charges, interest charges and transaction fees.

Rule 16.05. Delinquency in Performance

(a) If a Clearing Member with a commitment to deposit currency funds pursuant to Rule 16.04 fails to
deposit such funds by the deadline specified in Rule 16.04, then the Clearing Member shall be deemed in
default, and the matter shall be acted upon pursuant to paragraph (c) of this Rule.

(b) If the information contained in either the Buyer's Delivery commitment or the Seller's Delivery
commitment is so inaccurate that delivery cannot be accomplished in a timely manner, fines or damages
may be assessed pursuant to paragraph (c) of this Rule.

(c) If a Clearing Member fails to perform all the acts required by this Chapter, or is deemed to be in
default, or is unduly enriched, he shall be liable to the Clearing Organization and to the opposite Clearing
Member for any loss sustained [: H-as-disciplinary-penaltiesthat mayb 1d] may be subject to
disciplinary action by the Exchange and/or the Clearing Organization.

Rule 16.09. Force Majeure

The term “Force Majeure” shall mean any circumstance (including, but not limited to a strike,
lockout, national emergency, governmental action, computer malfunction causing loss of [EWRs-er] data,
a failure of the CLS System or act of God) which is beyond the control of a Clearing Member making or
taking delivery of a contract in the manner provided for in the Rules.



@A-Ch inorder ke-delivery_foritself-or-k

i he-Last Trading D: he-Cleari:
Cust + { " e-Day-p t-t0-4
Organizat: itmentsThe-Clearing- Member-shallinelud

bank hich-th a 1 + i a
(CHh d-address-ef-the- t ¢ ppropriate-sett pay
should t-along—with-th £ th " bert hich-th tt} ‘ i

en-the bankine busi: deat diatel: dine deli d he-Clearins Member's-bank shall
Ss y tely-pi iS yay t S
; ified -by- the Exch: _directivet 4p: ft tested-tel:
d-to-the-delivery_bank-sp y " n pay-by ee,tested+
therformat ptableto-the deli bank—The -directiveto-pay-shalinclude-the foll
@ByHh d-add: £ the-bankwhich—willt ferU.S—dollars-inteth t-of-the
(24h d b £-th: tf hich -U-S—dell: il} bet: ferred_intethe

= id
Hach + eM be brit: LUS-—del} A inated-di: $4: 44 pi ¥ythen-by -40:00-a+a-t 4}
pst the deli: di {yah date} ifjed-+: h(a}-ef-this-Rul. the-Ch. + M, by
amas ys paragraph-ta} 2 Ss
hall deposit -U-S—dellars-i t-sufficientt th ber-ef-contracts_for-which deli:
is-ber deinte-th t-of£-the-Ch +: Q; tzath at-thedel:: bank—Alt tad}
om B-OFE: ¥ Pkt pay
£3 +h fist oe bank et? pendent +-be- ved: by +the-del: ¥ bank Jat thi
410:00- 4, 1-44: hd;
{ii} Thi hert-Clh. + 2 Membershall He ei tsfortheti Jay £ f£1IIS dell, 4;
the Exch: ed-del: dank
OPPs J *
By10:00- Jeeal-t: the-del+ a, yah date)}—the-Ch +: M, by hall-d. it-thi
el * TREES a cms ST So PF
US-delk + Ht ficientt +h by fF eont: ts-£¢ hich-del: > is-bei ganade
inte—th +-of the-Ch +: Q: ati +t-the-del- bank—Al tad ; +h
eB -OFgi pay
ret rs bank fr its. pe dent tb ved-by+the-del+ ¥ bank Jat th; 49:00
Dp ‘p it-of-th: US—deli halib ve int tienalbank rf +: ferof-: diat hy.
available funds.
Ge tisth bility-of the Clearing Memb d-the beneficial £ the short-contracts-t
be }: ith. di: £¢ +h. +h, lati +n +e-the-heldi: fF
Dy {> S o
ident-bank 7 the nt y f£thebankth: hwhich pay tofthi tt], Hf i


by fF thy fx thich+th ed. iH -be-t fe dat
@yHhe nd- ¢ " the-quet silt
th toftheCh Oy 2 i: ation:
hy £ d bet ferred te-the-Ch rat ? v ‘
(44 of quet yt ng-Org 3
and
rf f di: ; +h by10-00 j, }
IfaCh -Member-submits-a-queted ¥ tive-to-pay t
£ thedelt. d- 3 f thi J; dat fied hb}-aby _the Ch,
iP paragrap: S
M by hall-d. tthe ted ¥ Ht ficient thi berefcentract:
£ hich-del 4 es A. tothe +t-oefthe-Ch } ee QO 4 Hf: at-the-del- -bank
Ad tad: fr +h Ht; bank fy it: dent tbs dt by-thi
pay Pt
} bank a i 109-00 } 1} this-d.
delivery tert a i ¢ -
}f£-a-Cle: Member-dees-net-submit ted tive-te-pay,the Cl Memb
hall-deposit te—the- tof the-Ch Orgi zat t-the-del- banked ted-by—thi
Exeh; tof ted that fF. ‘=? for-thedel: myof-all tstand:
Be + ls 5
S But Cont 7 d—that £¢ a the—B; De diatel 4.

y Pe ti 5
del di: AH-p: ¥ tad: £4 the-remitting bank Ht dent t ty +t L-by
the-del bank Jat. +h; 42-00- 4, 1+: the-Bi DB: \diatel reddi:

¥ 4 ry yr? rd
Th tof the-d: t 4 +} tof ted. di + shall 1th, a
pay yy cept
fall the} st 4. fut: 3 ts-b; ve the Settl 4+-P; the Last Trad: Dp;
5 S ay
pay it fh. ted hal—b di dat tional—_bank ; 43 £¢ if
‘Pe # 7

: if Hable-fands-]
([#]B) The following is the procedure for holders of long [deHaryendeHar-Canadian,del
Swiss,] dollar-koruna[;] and dollar-forint[,—Swiss—frane-yen,—Canadian—dellar-yensterling yen,

yen: ide: yen: He deHar-Sad nd. del: val di; ] Currency Futures
[e]Contracts while taking delivery of such contracts:

By 10:00 a.m. local time of the base currency on the [¥alue-date] Delivery Day specified in
paragraph (b) above, the Clearing Member shall deposit the quoted currency in an amount
sufficient to cover the number of contracts for which delivery is being made into the account of
the Clearing Organization at the delivery bank. All payment advises from the remitting bank or
from its correspondent must be received by the delivery bank no later than 10:00 a.m. local time
on this day.

The amount of the quoted currency deposit shall equal the value of all the long outstanding
Currency Futures Contracts based on the Settlement Price on the Last Trading Day. Deposit of
the quoted currency shall be made as an international bank wire transfer of immediately available
funds.

([¥JC) The following i is the procedure for holders of long [sterHne- Swiss: H-sterline-deHar,
terhi ed HH. > pe db; . ral di; s + 4 7
sro Ase euro- korunaf;] and euro- forint[-A ie-doHar Kiwi dolar, Aussi Aussie iwi

daand te 43 ] Currency Futures Contracts while undertaking "delivery of such


-5-

e)] If a Clearing Member fails to perform all the acts required by this Chapter, or is deemed to be in
default, or is unduly enriched, it shall be liable to the Clearing Organization and to the opposite Clearing
Member for any loss sustained and may be subject to disciplinary action by the Exchange and/or the
Clearing Organization.

Rule 15.09. [Approval ef Directive-Te-Pay Banks

h-such bank shall-be-ablet

pay-that bar
} db; 4 Hh ibe rf he-Exch: hall. }:
HF a-bankis-appi " 2 5+ equi = ave it
fromthe approved tist of Directive to Pay banks.] Reserved.
Rule 15.10. [Approval-of Delivery Banks
par icati the-P; identshalt deli: Janksthat + be-abletedethefelk
<P PP? PA

ided—h that-the Exch: ff timeto-ti tablish such-additional j a it

P 5 ge mays
deems -necessaryte-be-a-delivery bank] Reserved.
Rule 15.12. Force Majeure

The term “Force Majeure” shall mean any circumstance (including, but not limited to a strike,
lockout, national emergency, governmental action, computer malfunction causing loss of [EWRs-er] data,
a failure of the CLS System, or act of God) which is beyond the control of a Clearing Member making or
taking delivery of a contract in the manner provided for in the Rules.

Currency Delivery Rules

Rule 16.04. Delivery Procedures

(a) All deliveries must conform to government regulations in force at the time of delivery. If any
national or international governmental agency or body issues an order, ruling, directive or law that
conflicts with the requirements of these Rules, such order, ruling, directive or law shall be construed to
take precedence and become part of these Rules and all open and new contracts shall be subject to such
government orders.

(b) Delivery [d] Day [Hatue-Date)]

Delivery of all outstanding Currency Futures Contracts shall be made on the third (3) Wednesday of
the contract month. If that day is not a Business Day or is a bank holiday in either the country of the base
currency or in the country of the quoted currency, then the delivery day shall be the next day which is a
Business Day and is not a bank holiday in either the country of the base currency or in the country of the
quoted currency.

(c)[@] Final Settlement
For each currency pair, the Exchange shall designate a delivery bank (Appendix 1°) into which the

short Clearing Member shall deposit the base currency into the account of the Clearing Organization and
into which the long Clearing Member shall deposit the quoted currency into the account of Clearing

* Appendix 1: Exchange Approved Delivery Bank: A current listing of such approved banks is available through
the New York Clearing Corp.


-4-

(i) All USDX Futures Contracts are required to be physically delivered through the Continuous
Linked Settlement system (“CLS”). Each Clearing Member must either be a CLS Bank member or be
able to use an approved CLS agent bank to make the required physical delivery.

(ii) All times stated in this Rule refer to New York Time, unless noted otherwise.

(iii) For each expiring USDX Futures Contract, a Clearing Member with a Position that remains
open after the close of trading on the Last Trading Day shall submit to the Clearing Organization, on
or before noon of the Last Trading Day, a statement, in the form prescribed by the Clearing
Organization, detailing the Clearing Member’s final delivery Position (“Final Position Statement”). If
the Final Position Statement is received later than noon but by 3:30 pm on the Last Trading Day, the
Clearing Member may be subject to Rule 15.08. A Clearing Member which fails to submit a Final
Position Statement after 3:30 pm on the Last Trading Day shall be deemed to be in default and
subject to Rule 15.08.

(iv) For each expiring USDX Futures Contract, a Clearing Member with a Position that remains
open after the close of trading on the Last Trading Day shall submit to CLS, on or before 5:00 pm of
the Last Trading Day, the relevant instructions to either take delivery of U.S. dollars and make
delivery of the settlement currencies for long positions or make delivery of U.S. dollars and take
delivery of the settlement currencies for short positions (“CLS Submission”). If the CLS Submission
is received by CLS later than 5:00 pm on the Last Trading Day, the Clearing Member may be subject
to Rule 15.08. A Clearing Member which submits a CLS Submission after 3:00 pm on the business
day preceding the Delivery Day or fails to submit a CLS Submission shall be deemed to be in default
and subject to Rule 15.08.

(v) On the Delivery Day, for a Clearing Member holding a long Position, in accordance with
procedures that CLS shall have instituted and may amend from time to time (“CLS Procedures”),
CLS shall (A) credit the Clearing Member’s account with the amount of U.S. dollars sufficient to
cover the number of long contracts for which delivery is being made and (B) debit the Clearing
Member’s account with the equivalent amount of settlement currencies.

(vi) On the Delivery Day, for a Clearing Member holding a short Position, in accordance with CLS
Procedures, CLS shall (A) credit the Clearing Member’s account with the amount of settlement
currencies sufficient to cover the number of short contracts for which delivery is being made and (B)
debit the Clearing Member’s account with the equivalent amount of U.S. dollars.

({e]d) Costs of Delivery

The seller (short) shall bear the costs of transferring the U.S. dollars into the delivery bank specified
by the Exchange and the costs of transferring the settlement currencies out of the delivery bank. The
buyer (long) shall bear the costs of transferring the U.S. dollars out of the delivery bank specified by the
Exchange and the costs of transferring the settlement currencies into the delivery bank. Such costs may
include, but are not limited to, wire transfer charges[;-direetiveste-pay-charges,_swift ee-charges,
interest charges] and [# tion-fees] CLS charges.

Rule 15.08. Delinquency in Performance

[@H£e-Clearing Memb ith mitment-te-d it fund: t-te-Rule 15.07 fails



-7-

Trading Day. If the CLS Submission is received by CLS later than 5:00 pm on the Last Trading Day,
the Clearing Member may be subject to Rule 16.05. A Clearing Member which submits a CLS
Submission after 3:00 pm on the business day preceding the Delivery Day or fails to submit a CLS
Submission shall be deemed to be in default and subject to Rule 16.05.

(iv) On the Delivery Day, for a Clearing Member holding a long Position, in accordance with
procedures that CLS shall have instituted and may amend from time to time (“CLS Procedures”)
CLS shall (A) credit the Clearing Member’s account with the amount of the base currency and (B)
debit the Clearing Member’s account with the quoted currency equivalent.

(v) On the Delivery Day, for a Clearing Member holding a short Position, in accordance with CLS
Procedures, CLS shall (A) credit the Clearing Member’s account with the correct amount of the
quoted currency and (B) debit the Clearing Member’s account with the base currency equivalent.

[@z Clearing Member's Duties]

(h) Delivery of Euro-Forint, Euro-Koruna, Dollar-Forint_and Dollar-Koruna_ Currency Futures
Contracts

(i) Holders of long euro-forint, euro-koruna, dollar-forint_and_dollar-koruna Currency Futures
Contract shall receive delivery of the base currency and shall pay the quoted currency equivalent.

It is the responsibility of the long Clearing Member to transfer the correct total amount of quoted
currency funds into the account of Clearing Organization at the delivery bank designated by the
Exchange and to provide complete information for the timely transfer of the base currency into the
long Clearing Member's account as specified in the procedure below:

([3]A) In order for a Clearing Member with a long futures Position to accept delivery for himself
or for Customers [he] it represents, [he] it shall, no later than [44:30-a.m-] noon on the Last Trading
Day, present long Clearing Member's Delivery Commitments to the Clearing Organization. The
Clearing Member shall include the following in each Commitment:

([A]) the name of the Exchange specified delivery bank (See Appendix 1°);

([B]2) the Clearing Organization's account number at the delivery bank in which [he] it will
deliver the quoted currency fund for each outstanding long Currency Futures Contract; and

({€]3) [F]the Clearing Member shall include on each Commitment the name of a bank along
with the account number at this bank at which [he] it will receive delivery of the unit of trading
for each outstanding long contract.

If such Commitments are received later than [44:36-a.m-] noon but not later than 3:30 p.m. on the

Last Trading Day, the Clearing Member [shal ed-a-fine th t-of which shall b
determined-by_the Beard ittee-appeinted-by the-Board] may be subject to disciplinary

action. Any Commitments received subsequent to 3:30 p.m. on the Last Trading Day shall be
deemed a default and acted upon in accordance with Rule 16.05.

[4 The} Ch, + M, by halt 7 ts—f¢ the ti \ivars £¢ f+ ted
{#4} i S Bi y quotes
+h: h £ the Excha: .d- ve } rf H
¥ shany-of 4 ge-app quot transfer banks listed in-Appendix 2"
ii)-Th vet £, di i: deli: fF 4, Ch, rf M, ber! rf
€ p ert e y ent tc fo) e ee 's hold: ed a
rand contracts-are-as- follows:

* Appendix 2: Exchange Approved Banks for Currency Transfers: A current listing of such approved banks is
available through the New York Clearing Corp.


GHINEM YORK.

World Financial Center
One North End Avenue
New York, New York 10282

BY ELECTRONIC TRANSMISSION
06-18
July 13, 2006
Ms. Eileen A. Donovan
Acting Secretary of the Commission
Office of the Secretariat
Commodity Futures Trading Commission
Three Lafayette Centre
1155 21" Street, NW
Washington, DC 20581

Re: Amendments to USDX® and Currency Delivery Rules
Submission Pursuant to Section 5c(c)(1) of the Act and Regulation 40.6

Dear Ms. Donovan:

Pursuant to Section 5c(c)(1) of the Commodity Exchange Act, as amended, and
Commission Regulation 40.6, the Board of Trade of the City of New York, Inc. (“Exchange”)
submits, by written certification, amendments to the Rules 15.07-15.10, 15.12, 16.04, 16.05 and
16.09, attached as Exhibit A, which mandate the use of the Continuous Linked Settlement
system (“CLS”) for all USDX and Currency futures contract deliveries, except those involving
the forint and korona currency pairs.

The CLS was developed by a group of the world’s largest foreign-exchange-dealing
banks in July 1997. The purpose of CLS is to provide a type of payment-versus-payment
settlement system for foreign exchange transactions that eliminates the numerous risks
associated with currency deliveries. Both sides of a foreign exchange transaction are submitted
through CLS member banks and settled by CLS on a trade-by-trade basis across accounts held
by CLS members. The CLS Bank is subject to Federal Reserve Board regulation and the
requirements of certain overseas central banks.

Since December 2003, New York Clearing Corporation (“NYCC”) has allowed Clearing
Members to use CLS to complete their delivery obligations for the USDX and Currency Futures
Contracts. Asa result, the Clearing Members and NYCC have received the benefits of a process
that takes less time, is less costly and has greatly reduced the payment and settlement risk
inherent in the delivery of foreign currencies. Currently, all but one Clearing Member are using
CLS for Exchange currency deliveries. The one Clearing Member has been notified that the
September 2006 USDX and Currency expirations will require the use CLS.


-10-

in the country of the bank in which he will accept delivery of the base currency for each
outstanding long Currency Futures Contract.
ice Sy t Cleari; Me bex's—Dustic ]

(ii) Holders of short euro-forint, euro-koruna, dollar-forint_and_dollar-koruna Currency Futures
Contracts shall make delivery of the base currency and shall receive payment in the appropriate
quoted currency.

The short Clearing Member is responsible for assuring the timely delivery of the base currency into
the appropriate Clearing Organization account at the Exchange approved delivery bank and to provide
complete information for the timely transfer of appropriate quoted currency into the short Clearing
Member's account as specified by the procedure below:

({iJA) A Clearing Member with a short futures [p]Position in order to make delivery for
[Bimlitself or for a Customer [he] it represents shall, no later than (44:39-am-] noon on the Last
Trading Day, present to the Clearing Organization short Clearing Member's Delivery
Commitments. The Clearing Member shall include in each Commitment:

({A]D the name of the Exchange specified delivery bank (See Appendix 1°);

([B]2) the Clearing Organization’s account number at the delivery bank in which he will deliver
the base currency for each outstanding short Currency Futures Contract; and

([G]3) the name and address of the Exchange approved quoted currency transfer bank
(Appendix 2°) to which the appropriate quoted currency payment should be sent along with the
name of the account and the account number to which the quoted currency payment should be

credited.
If such Commitment is received later than [44:30-am-] noon on the Last Trading Day, but not
euntef

later than 3: 30 Pa m. on the same e day, the Clearing Member is Ayal da-fine: th

A e mi p d-by-the Beard] may be subject to
disciplinary 2 action. any Commitments received subsequent to 3: 30 p.m. on the Last Trading Day
shall be deemed a default and acted upon in accordance with Rule 16.05.

[G5-Fh hert-Ch rt eM. bs halt-hi 44 ke ee +s-forthe-t: doy +3 £ £the-b:
¥-t0-the-delivery_bank through any-of the Exchange-approved bi ¥y-transfer-banks+
Appendix2*]
(G#JB) The following is the procedure for holders of short [sterling-deHar_sterling-yen, sterling
ster: dell: = S Yen var di. del: eH, ¥ dk
ds kk Canada, 4H A J euro-! -koruna, euro-
fn, (dele em dol Se dollar-! -koruna{;] and and dollar- forint[,-small-dollar-yen,-small-dellar-
iss doll ie 4 ] Currency Futures [e]Contracts while taking delivery of
contracts:

By [5:00-pan-onthe-Last Trading Day-fordelt wnd-and-by] 9:00 a.m. New York Time on the
base currency business day immediately preceding 2 [d]Delivery [4]Day Tene cent
¥ 5 Sterling Swi 7 H-sterling-doHar—Swi a di; del +
ky > Say : p d- a . val ve o H} 7 AG a

k - forint,_dollaryen,dollar Swiss,dolark dollarforint H-del: m1

D Yen;
dolar Swiss-andteone-krona], the Clearing Member['s] shall cause its bank [sha}J] to send to the
delivery bank specified by the Exchange a directive-to-pay by [swift] SWIFT message, tested telex
or other format acceptable to the delivery bank or, in the alternative, by 10:00 am base currency

* Appendix 1: Exchange Approved Delivery Bank: A current listing of such approved banks is available through
the New York Clearing Corp.
Appendix 2: Exchange Approved Banks Currency Transfers: A current listing of such approved banks is
available through the New York Clearing Corp.



contracts. [Fhe Jong Clearing Member shall mak = +s-for-the-timely fer-of the-queted
hr ofthe Exch: J d transfer-banks-listed-in-A di:
yt gh any oft Be appr quet ¥ PP

2*]

By 9:00 am New_York Time of the base currency business day immediately preceding the
[d]Delivery [d]Day, [the-bank-ef] the long Clearing Member shall cause its bank to submit to the
delivery bank a directive-to-pay by [swift] SWIFT message, tested telex, or other format
acceptable to the delivery bank for the payment of the quoted currency sufficient to pay for the
delivery of the outstanding base currency Futures Contract or, in the alternative, by 10:00 am
quoted currency local time on the Business Day immediately preceding Delivery Day, deposit the
amount of the quoted currency into the account of the Clearing Organization at the delivery bank.
The directive-to-pay shall include the following:

([A]L) Clearing Member's name;

([B]2) the name and address of the bank which will transfer the quoted currency into the
account of the Clearing Organization;

([G]3) the name, [and] number and location of the Clearing Organization account [frem] to
which the quoted currency will be transferred [inte-the- account of the Clearing Organization];

({P]4) the amount of quoted currency to be transferred into the Clearing Organization's
account; and

([E]5) the [¥alze-date] Delivery Day which is specified in paragraph (b) above.
If a Clearing Member submits a quoted currency directive-to- Pay, then by 10! 00 am [Central

Buropean Hime] vere currency local time [4 th 5 7 de
63 A i s kk ve oa nd- 10:00

basi ¥ } +44: inth £+th: t Jing: Say. 5 Hester: del St ‘1: e-delt

Aussie-doHar—Kiwi-dell Aussi Aussie _Kiwi—Aussie-Canada—and—l k ‘" on the

[vahie date] Delivery Day specified i in paragraph (b) above, the Clearing Member shall deposit the
quoted currency in an amount sufficient to cover the number of contracts for which delivery is
being made into the account of the Clearing Organization at the delivery bank. All payment advises
from the remitting bank or from its correspondent must be received by the delivery bank no later
than 10:00 am [Central Burepean—Fime-or base] quoted currency local time whichever is applicable.

If a Clearing Member does not submit a quoted currency directive-to-pay, the Clearing Member
shall deposit into the account of the Clearing Organization at the delivery bank designated by the
Exchange an amount of the quoted currency that is sufficient to pay for the delivery of the base
currency on all outstanding euro-forint and euro-koruna Currency Futures Contracts and that is for
value on the Business Day immediately preceding [dJDelivery [d]Day. All payment advises from
the remitting bank or its correspondent must be received by the delivery bank no later than 12:00

pm [Central-Burepean—Fime in-th fh : pound. kk
Canada, - H Avassi ke and forintand12-00-pm-—bi
¥yJocaltime-inth £-the-sterling Swiss, H1-sterling-dell terling-deHar—A
dellar,_Kiwi-dolar—Aussie-yen,Aussie Kiwi, Aussie Canad dk k ] quoted currency

local time on the base currency business day immediately preceding [d]Delivery [d]Day.

The amount of the directive-to-pay or the amount of the quoted currency deposit shall equal the
value of all of the long outstanding euro-forint and euro-koruna Currency Futures Contracts based
on the Settlement Price on the Last Trading Day.

Deposit of the quoted currency shall be made as an international bank wire transfer of
immediately available funds.

([4#]D) For all euro-forint, euro-koruna, dollar-forint_and_dollar-koruna Currency Futures
Contracts, it is the long's and the Clearing Member of the long's responsibility to be familiar with
and in conformance with all the regulations pertaining to the holding of non-resident bank accounts



-6-

Organization. On the delivery day, the bank, upon instructions from the Clearing Organization, shall
transfer the quoted currency funds previously deposited by the long Clearing Member to the account of
the short Clearing Member; and upon instructions from the Clearing Organization, the delivery bank
holding the base currency shall transfer the base currency to the long Clearing Member's account.

[49] (d) Netting of Positions

(i) A Clearing Member may net his delivery obligations to the extent that such Clearing Member
(for itself or for Customers) is both long and short in individual Currency futures, and, if a Customer
Account is involved, has a written request from the Customer to net the Customer's Account against
other accounts and provided further, that the Clearing Member has a written agreement respecting
delivery and receipt other than as set forth in the Rules. If the Clearing Member chooses to net, he
shall indicate his net Position on his delivery commitment form or Final Position Statement. The
netting shall be performed in the following sequence: (A) within each account, (B) eligible Customer
Account versus eligible Customer Account and (C) eligible Customer Account against Firm account.

(ii) The netting of Positions by a Clearing Member shall relieve the Clearing Organization of any
further obligations with respect to any Exchange contract involved and such Clearing Member shall
indemnify the Exchange and the Clearing Organization against any liability, cost or expense either
may incur for any reason as a result of the Clearing Member's netting of Positions.

(iii) For the purposes of this Rule 16.04, two (2) small euro Futures Contracts are equivalent to one
(1) euro Futures Contract, and two (2) small dollar-yen, two (2) small dollar-Swiss and two (2) small
dollar-Canadian Futures Contracts are equivalent to one (1) dollar-yen, one (1) small dollar-Swiss and
one (1) small dollar-Canadian Futures Contract, respectively, and can be netted in accordance with
this Rule.

(e) All times stated in this Rule refer to New York Time, unless noted otherwise.

(f) For the purposes of this Rule, the term “CLS Delivered Currency Futures Contracts” shall mean all

Currency Futures Contracts which require physical delivery of base and quoted currencies, except for the

euro-forint, euro-koruna, dollar-forint and dollar-koruna.

(g) Delivery of CLS Delivered Currency Futures Contracts

(i) All CLS Delivered Currency Futures Contracts are required to be physically delivered through
the Continuous Linked Settlement system (“CLS”). Each Clearing Member must either be a CLS
Bank member or be able to use an approved CLS agent bank to make the required physical delivery.

(ii) For each expiring CLS Delivered Currency Futures Contract, a Clearing Member with a
Position that remains open after the close of trading on the Last Trading Day shall submit to the
Clearing Organization, on or before noon of the Last Trading Day, a statement, in the form prescribed
by the Clearing Organization, detailing the Clearing Member’s final delivery Position (‘Final Position
Statement”). If the Final Position Statement is received later than noon but by 3:30 pm on the Last
Trading Day, the Clearing Member may be subject to Rule 16.05. A Clearing Member which fails to
submit a Final Position Statement after 3:30 pm on the Last Trading Day shall be deemed to be in
default and subject to Rule 16.05.

(iii) For each expiring CLS Delivered Currency Futures Contract, a Clearing Member with a
Position that remains open after the close of trading on the Last Trading Day shall submit to CLS, on
or before 5:00 pm of the Last Trading Day, the relevant instructions to either take delivery of the base
currency and make delivery of the quoted currency for long positions or make delivery of the base
currency and take delivery of the quoted currency for short positions (“CLS Submission”).
Notwithstanding the foregoing sentence, a Clearing Member with a Position that remains open after
the close of trading on the Last Trading Day in the dollar-Canadian or small _dollar-Canadian
Currency Futures Contract shall submit its CLS Submission to CLS on or before 3:00 pm of the Last



Clearing Member's-Deli: g it
Ss

Jude the following ink tien:

Bythe-Cle Orsanization': " ber-at-the-deli bankijn-which-it-will-deliver-th

4] " funds outstanding long USP X Fut Contract:

(GHhe the bank al ith-th t ber-at-such_bank-at-which-it-wilt ;
delivery-of the U-S—dollars-f h-outst: tract-and

Gaiitisth ibikt f£ the Clear: Member .d-the- beneficial £ the]. ts ts ty
€ iP y Se
be-familk ith—and-: fe th. Ht. Jat tain +9-the—-held: f.
B B eg P ie
ident-bank ts-inth: te_of the b: k-th eh hich-del: f£the-L-S—dell, iy
made:
Held efshert-USDX Fut 3 +s-shal} ke-deli: "¥ f +h, US—del; shalt +
th iat ral t
Ppey PPIVP
Th hort-Cl. MM. ber- ible-k + the +i hy del}: f£theLS_—del Hf +h
3 Pp S ry 7 aa
te], 43 Or izat 4t—atthe—Exch. red—deli: bank dt idk
‘PPFOP: ie -Orgi Be—appi ¥
|. fe forth J. £ f thy 4; +
plet at the-t t the—apprepriate—setth t te—the-shert
€h + Ma ber': it ified-by-th: ver bel, a"
tS J
[‘-Appendix-t:-Exchange Approved Delivery Banke 2-0f such-approved banks is available-th



(In the text of the amendments below, additions are underlined and deletions are bracketed and
lined out.)

USDX Delivery Rules

Rule 15.07. Delivery Procedures

(a) Delivery [d]Day [akte-Date)]

Delivery of the components of USDX Futures Contracts shall be made on the third (3°) Wednesday
of the contract month. If that day is not a Business Day or is a bank holiday in New York, NY, then the
delivery day shall be the next day that is a Business Day; provided, however, that, if it is a bank holiday
in the country of any component currency in the USDX, then, delivery of that currency and the U.S.
Dollar amount attributable to that currency shall occur on the next Business Day that is not a bank holiday
in New York, NY and the country of the component currency.

(b) Netting of Positions

(i) Netting of Positions Within an Individual Contract—A Clearing Member may net his delivery
obligations to the extent that such Clearing Member (for itself or for Customers) is both long and
short in USDX Futures Contracts and, if a Customer Account is involved, has a written request from
the Customer to net the Customer's Account against other accounts and provided further, that the
Clearing Member has a written agreement respecting delivery and receipt other than as set forth in the
Rules. If the Clearing Member chooses to net, it shall indicate its net Position on the Delivery Netting
Request form. The netting shall be performed in the following sequence: (A) within each account, (B)
eligible Customer Account versus eligible Customer Account and (C) eligible Customer Account
against Firm account. The netting of Positions by a Clearing Member shall relieve the Clearing
Organization of any further obligations with respect to any USDX contract involved. Such Clearing
Member shall indemnify the Exchange, the Clearing Organization against any liability, cost or
expense that either may incur for any reason as a result of the Clearing Member's netting Positions.

(ii) Netting Currency Positions Across Contracts—-A Clearing Member may net his delivery
obligations to the extent that such Clearing Member (for it or for Customers) holds Positions that
create offsetting currency payment obligations in USDX Futures Contracts and different currency
pairs. If a Customer Account is involved, the Clearing Member must have a written request from the
Customer to net the Customer's Account against other accounts and a written agreement respecting
delivery and receipt other than as set forth in the Rules. If the Clearing Member chooses to net
Positions, it shall indicate the net Position on its Delivery Netting Request Form. The netting shall be
performed in the following sequence: (A) within each account, (B) eligible Customer Account versus
eligible Customer Account and (C) eligible Customer Account against Firm account. The netting of
Positions by a Clearing Member shall relieve the Clearing Organization of any further obligations
with respect to any USDX and other currency futures contracts involved. Such Clearing Member shall
indemnify the Exchange, the Clearing Organization against any liability, cost or expense that either
may incur for any reason as a result of the Clearing Member's netting Positions.

(c) [Bong-Clearing Member's-Duties

Held. £4 USDX-E ral hall inve—deli £ US doll, d-shalt
" tract 7¥ LS paythe

EXHIBIT A


-2-

The Exchange certifies that the amendments comply with the requirements of the
Commodity Exchange Act and the rules and regulations promulgated thereunder.

The amendments were adopted by the Exchange’s Board of Governors on July 12, 2006.
No substantive opposing views were expressed by members or others with respect to the
amendments. The amendments will become effective on July 17, 2006 for the September 2006
delivery.

If you have any questions or need further information, please contact either myself at

jfusco@nybot.com or 212-748-4021, or Jill Fassler at jfassler@nybot.com or (212) 748-4084.

Sincerely,

Jason V. Fusco
Compliance Counsel

Enc.
ce: Riva Adriance
Thomas Leahy
CFTC, Division of Market Oversight
Allen Cooper

CFTC, New York Regional Office


- -ll-

local time, deposit the amount of the base currency into the account of the Clearing Organization at
the delivery bank. The directive-to-pay shall include the following:
({A]L) Clearing Member's name,

([B]2) the name and address of the bank which will transfer the base currency into the account
of the Clearing Organization;

({G]3) the name, [and] number and location of the Clearing Organization account [frem] to
which the base currency will be transferred [inte-+the-account-of the Clearing Organization];

([B]4) the amount of the base currency to be delivered into the Clearing Organization's account,
and

({2]5) the [¥ahue-date] Delivery Day which is specified in paragraph (b) above.

If a Clearing Member submits a base currency directive-to-pay, then by 10:00 a.m. local time on
the [vahie-date] Delivery Day specified in paragraph (b) above, the Clearing Member shall deposit
the base currency in an amount sufficient to cover the number of contracts for which delivery is
being made into the account of the Clearing Organization at the delivery bank. All payment advises
from the remitting bank or its correspondent must be received by the delivery bank no later than
10:00 a.m. base currency local time on this day.

If a Clearing Member does not submit a base currency directive-to-pay, the Clearing Member
shall deposit into the account of the Clearing Organization at the delivery bank designated by the
Exchange, an amount of the base currency that is sufficient to cover the number of contracts for
which delivery is being made and that is for value on the Business Day immediately preceding
[d]Delivery [d]Day. All payment advises from the remitting bank or its correspondent must be
received by the delivery bank no later than 12:00 p.m. base currency local time on the Business Day
immediately preceding [d]Delivery [d]ay.

The amount of the directive-to-pay or the amount of the base currency deposit shall equal the unit
of trading for each outstanding short Currency Futures Contract. Deposit of the base currency shall
be made in the form of an international bank wire transfer of immediately available funds.

[é Th ed: £¢ vt del: fF He ts £¢ hort-Ch +: M. bi held: dell
ENT FP? & i ia
Si di: 7 -del. val diai A ie-delt Kpwi-della: A i + A. je-Kaaw dA
The-sher-Cle; M: 4 halt nak: et ts—_forthet Ly tr: fe f£ the; +
through £the Exch: d transfer-banks-listed in A dix2*,
om ‘PP os *PPS
By-10-00- j, 1-4; _thi a i: ified-: h-4) Ch + M. 5
eye aad i spew) FP ihe {6} be 7 th 7
h: H-dep it-the-b;: ¥ +n-2 Ht ficient the by, fF 3 ts_-f¢ hich
eek by de- ite—th tof theCl. Or Ht: + the del: hbank—AH
Pa c i oS =
adv: £x¢ +h. itt: bank f; i ;
pay t- tT 4 it Pei dent +b by. +the-del: ¥
bank Jater-the 40:00-am-t +t: +this-di Hy
The to f-+he—b; a + halt 1: 5
¢ ¥-deposit 2g he—val £-all_of the-short-outstanding
fal yy Put Cont tsb; - theSett]. +t Pr the-Last-Ti ding DP.
De # f£ the; shall-b di } i rt H +
it +) ¥ wats Ht; ibhank +3 £¢ f diat Hy
availabletunds.]

({¥]©) For all Currency Futures Contracts, it is the short's and the Clearing Member of the short's
responsibility to be familiar with and in conformance with all the regulations pertaining to the

* Appendix 2: Exchange Approved Banks for Currency Transfers: A current listing of such approved banks is
available through the New York Clearing Corp.