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ICE Announces Key Elements of New OTC Regulatory Regime

Atlanta, July 2009 

IntercontinentalExchange ( ICE), a leading operator of regulated global futures exchanges, clearing houses and over-the-counter (OTC) markets, announced enhancements to its OTC regulatory framework. 

In accordance with the recent rulemaking of the Commodity Futures Trading Commission (CFTC) regarding Significant Price Discovery Contracts (SPDC), ICE is now a registered entity with the CFTC and will begin submitting enhanced market statistics for its cash-settled Henry Hub natural gas swap market to the CFTC immediately. Clearing firms will begin providing large trader data to the CFTC and ICE's data will be incorporated in the weekly Commitment of Traders (COT) report. ICE has worked with the CFTC in developing regular OTC market reporting, including large trader information, since October 2006. In addition to its inclusion in the COT report, the ICE Henry Hub swap will also be subject to position limits and accountability levels.

In May 2008, Congress passed the Farm Bill, including provisions relating to the CFTC Reauthorization Act of 2008. This bill places futures-style regulation on contracts that serve a significant price discovery function, as determined by the CFTC.

Said ICE Chairman and CEO Jeffrey C. Sprecher: "We appreciate the CFTC's use of its broad powers in the OTC markets to provide regulatory certainty and to underscore the integrity of these important contracts. As the most transparent and standardized OTC energy marketplace, ICE demonstrated leadership in bringing visibility into these global markets, and we have worked proactively to ensure that the CFTC has the information it needs to effectively monitor our markets."

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