VOLUME 23 - BULLETIN #167
TO:
|
ALL CLEARING PARTICIPANTS
|
FROM:
|
CLIENT SERVICES AND SUPPORT
|
DATE:
|
December 18, 2003
|
SUBJECT:
|
Expiration of January 2004 Option Contracts
|
On Saturday, December 27, 2003, the following January 2004 option contracts for the Chicago Board of Trade will officially expire:
CBOT
|
10-Year Agency Long Term, 5-Year Agency, U.S. Treasury Bonds,
2-Year Treasury Notes, 5-Year Treasury Notes, 10-Year Treasury Notes
|
|
|
Firms should note that all option positions that are in-the-money will be exercised unless firms submit exercise cancellation records. For further information on canceling automatic exercises refer to Chapter 4.D1 of the OTIS® Trade Entry Manual.
Firms are reminded that all unmatched trades for expiring option contracts should be reconciled and corrected by the 8:00 p.m. final reconciliation on Friday, the last day of trading.
Firms are also reminded that the give-up system is available Saturdays and all expiration reports will be distributed to Infopac.
Firms who have trading activity or open positions in expiring option contracts must supply The Clearing Corporation with the name and phone number of your firm's Saturday Expiration representative. To update the Saturday Expiration Contact List on www.clearingcorp.com, please email css@clearingcorp.com with your firm's most updated information. Firms' staff should be available by 7:30 a.m. on Saturday Expirations. Firms who fail to have a representative available to address Saturday Expiration issues are subject to a $500 surcharge per offense.
Firms are reminded if they have any questions or problems during expiration processing on Saturday, please call 786-5732 to contact The Clearing Corporation’s Client Services and Support Group.
Should you have any questions, please call or e-mail one of the following Client Services and Support Representatives:
Friday
|
|
|
|
|
12:00 p.m.
|
Trading stops in expiring open outcry financial options contracts *
|
|
|
|
12:30 p.m.
|
Trading stops in expiring electronic financial options contracts *
|
|
|
|
2:50 p.m.
|
Expiring unmatched option reports will be available in Infopac. Reports reflect transactions entered prior to 2:15 p.m.
|
|
|
|
3:15 p.m.
|
Mandatory trade checking session for financial contracts*
|
|
|
|
3:30 p.m.
|
Expiring option transactions are processed.
|
|
|
|
4:00 p.m.
|
Expiring option reports available on Infopac. Reports reflect transactions entered prior to 3:30 p.m.
|
|
|
|
4:15 p.m.
|
Expiring unmatched trade reports will not be distributed to the trading floor, but will be available via Infopac. Reports reflect transactions entered prior to 3:45 p.m.
|
|
|
|
5:00 p.m.
|
Expiring option transactions are processed.
|
|
|
|
5:30 p.m.
|
Expiring option reports available on Infopac. Reports reflect transactions entered prior to 5:00 p.m.
|
|
|
|
6:00 p.m.
|
Deadline for submission of exercise records and cancellation of automatic exercise records. Exercise and automatic exercise cancellation records will be held for Saturday Expiration processing.
|
|
|
|
8:00 p.m.
|
A final reconciliation involving equal quantities cleared will be run for Friday day trades.
|
|
|
|
Saturday
|
|
7:00 a.m.
|
MATCH UPDATE (EXCHANGE 01)
|
7:30 a.m.
|
MATCH UPDATE (EXCHANGE 01)
|
7:45 a.m.
|
MATCH UPDATE (EXCHANGE 01)
|
8:00 a.m.
|
MATCH UPDATE (EXCHANGE 01)
|
|
|
|
8:30 a.m.
|
MATCH (EXCHANGE 01). Changes made to unmatched trades after this deadline will result in a charge being assessed to the firm.
|
|
|
|
9:00 a.m.
|
Unmatched Trade, Option Expiration and Matched Trade reports will be available via Infopac.
|
|
|
|
10:00 a.m.
|
Deadline for firms to submit exercise, adjustment, and transfer records to The Clearing Corporation. Exercise records must be submitted in accordance with the rules and regulations of the CBOT Exchange.
|
|
|
|
10:00 a.m.
|
MATCH (EXCHANGE 01)
|
|
|
|
10:30 a.m.
|
Edit Error, Matched Trade and Option Expiration Reports will be available via Infopac. Any errors must be reported to the Clearing Corporation IMMEDIATELY. Any additional entries required will result in a charge being assessed to the firm. Final processing of Expiring Options and Exercise and Assignment procedures will begin 30 minutes after the reports are issued
|
|
|
|
|
|
Final Expiration reports are expected to be completed 1½ hours after final processing begins. They will be available via Infopac.
|
|
|
|
|
|
* Financial contracts will be closing early due to the Christmas holiday. The Board of Trade has moved the mandatory trade checking session from the usual time of 4:30 p.m. to 4:00 p.m. For more information on the Christmas holiday schedule, please see Volume 23 – Bulletin #166, Processing Schedule for Christmas.
| |
Printer
Friendly Version