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Eurex to launch milk products

London 24 March 2010

Eurex To Launch First European Futures On Butter And Skimmed Milk Powder - Launch Of The Two New Agricultural Futures Planned For End Of Q2 2010/ Extension Of The Agricultural Derivatives Segment.

Eurex, the international derivatives exchange, today announced the expansion of its product range in the agricultural derivatives asset class. At the end of Q2 2010, the exchange will offer trading of two futures based on butter and skimmed milk powder in Europe. Both futures are based on established reference prices from the respective spot markets and will be settled in cash.

“We along with major market participants believe that the volatility of dairy markets will increase over the next few years. The use of derivatives to hedge against higher prices and fluctuating costs is expected to rise, thus the introduction of our new futures is a logical step,” said Peter Reitz, member of the Eurex Executive Board. “We also want to contribute our known strengths, particularly our global distribution network and central clearing services, to this growing market.”

Eurex has intensively prepared its market launch together with key players in this market segment, including the German and European dairy industry associations (MIV and Eucolait) and important market participants in the European and U.S. dairy industry. The participants in the spot market for these agricultural products have indicated a keen interest in collaborating with a major international derivatives exchange.

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