HEDGE
Street
February 24, 2006 Ves von Veo:

VIA EMAIL: secretary@cftc.gov

Ms. Jean A. Webb

Secretary of the Commission
Commodity Futures Trading Commission
3 Lafayette Centre

1155 21st Street, N.W.

Washington, D.C. 20581

RE: Rule Certification: HedgeStreet® Temporarily Reduces the Reporting
Levels and corresponding Speculative Position Limits for Crude Oil,
Gold, Natural Gas, and Silver Binary Instruments; Amendments made
pursuant to Section Sc(c)(1) and Part 40.6(a)

Dear Secretary Webb:

HedgeStreet, Inc, (“HedgeStreet”) hereby notifies the Commission that as of the start of
business on Monday, February 27, 2006, HedgeStreet will temporarily effect a
proportionate reduction in both the a) reporting levels; and b)speculative position limits
for the Binary contracts referenced below, (as represented by their corresponding
HedgeStreet Rules, also listed below):

Rule 12.59 Crude Oil Binary Hedgelet Contracts
Rule 12.66 Gold Binary Hedgelet Contracts

Rule 12.68 — Natural Gas Binary Hedgelet Contracts
Rule 12.70 Silver Binary Hedgelet Contracts

The amendments for these Contracts are defined in Exhibit A. The rule deletions are
stricken out and the amendments and/or additions are underlined. No substantive
opposing views were expressed to HedgeStreet with respect to these additions.

Should you have any questions regarding the above, please do not hesitate to contact
Stephanie Ford by telephone at (650) 638-3511 or by email at sford@hedgestreet.com.

Sincerely,

Stephanie Ford
Vice President, Legal & Compliance

cc: Clarissa Manansala — HedgeStreet, Inc.

1825 S. Grant Street
Suite 500
‘Sen Mateo, CA 94402
Tel: 650.638.3500
www. hedgestreet.com Fax: 650.638.3501



Street

EXHIBIT A

Amendment to Rules 12.59(i), 12.66(i), 12.68(i), and 12.70(i)
(The following new Rule additions are underlined and deletions are stricken out)

RULES 12.1 — 12.58 [unchanged]
RULE 12.59 CRUDE OIL BINARY HEDGELET CONTRACTS
(a) —(g) [unchanged]

(h) REPORTING LEVEL -— The Reporting Level for the Crude Oil Binary
Hedgelets shall be 425,000 1,250 Contracts.

(i) POSITION LIMIT — The Position Limits for the Crude Oil Binary Hedgelets
shall be 2-5-millien 25,000 Contracts.

Gj) — (0) [unchanged]

RULES 12.60 — 12.65 [unchanged]

RULE 12.66 GOLD BINARY HEDGELET CONTRACTS
(a) —(g) [unchanged]

(h) REPORTING LEVEL ~ The Reporting Level for the Gold Binary
Hedgelets shall be 425,000 417 Contracts.

(i) POSITION LIMIT - The Position Limits for the Gold Binary Hedgelets shall
be +S-millien 25,000 Contracts.

Gj) ~ (©) [unchanged]

RULE 12.67 [unchanged]

RULE 12.68 NATURAL GAS BINARY HEDGELET CONTRACTS
(a) ~(g) {unchanged]

(h) REPORTING LEVEL — The Reporting Level for the Natural Gas Binary
Hedgelets shall be 425,000 500 Contracts.

1825 S. Grant Street
Suite 500
San Mateo, CA 94402
Tel: 650.638.3500
www.hedgestrest.com Fax: 650.638.3501


HEDGE
Street

(i) POSITION LIMIT - The Position Limits for the Natural Gas Binary Hedgelets
shall be 2-5-mittien 10,000 Contracts.

G) - (©) [unchanged]
RULE 12.69 [unchanged]
RULE 12.70 SILVER BINARY HEDGELET CONTRACTS

(a) — (g) [unchanged]

(h) REPORTING LEVEL — The Reporting Level for the Silver Binary
Hedgelets shall be 425,000 625 Contracts.

(i) POSITION LIMIT - The Position Limits for the Silver Binary Hedgelets shall
be 4-millien 20,000 Contracts.

G) - (0) [unchanged]

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1625 S. Grant Street
‘Suite $00

San Mateo, CA 94402
Tel: 650.638.3500

www.hedgestrest.com Fax: 650.638.3501