Beginning on December 1, 2008, the New York Stock Exchange will accept and no longer reject orders priced less than $1 that are entered in sub-pennies for all securities listed on both the NYSE and NYSE Alternext. The Exchange will round limit orders to the nearest next whole penny, either down for buy orders or up for sell orders, to represent the order for execution or to transmit the bid or offer to the Consolidated Quote System using the rounded limit price. Please refer to the two attached links for additional technical details and for the SEC Rule filing.

Additionally, at a date to be announced shortly, the Exchange systems will also begin passing back reports to clients in sub-pennies, with a maximum of a four decimal place increment for executions that are received from away market centers.

NYSE Rule File # SR-NYSE-2008-123
NYSE Sub-Penny Order Technical Specifications

CCG connectivity into the New York Stock Exchange continues to grow since our last client communication on September 29, 2008. We now have over 65 connected firms and continue to receive more than 78-80% of our daily order traffic through CCG. With the continued growth of CCG and as previously mentioned in the last client communication, where the Exchange announced a 33% reduction to CMS, the NYSE has a plan in place to reduce the current capacity in CMS by 50% on December 5, 2008. We will continue to further reduce capacity in CMS on a scheduled basis, until the full decommission of CMS is completed.

In order to better serve our customers, the NYSE System Status & NYSE Trader Updates messaging platform was recently enhanced with several new features. We have added a subscription manager on nyse.com which allows for all our customers to customize their subscription preferences by opting in and out of individual categories of messages; more detailed subject lines for easy identification of content in emails and RSS feeds, and finally better views of all types of messages on nyse.com through the addition of category filtering.

This Saturday, November 22, 2008 is the final opportunity for firms to participate in production Amex Integration testing before the Amex listed securities are migrated to 11 Wall Street and integrated onto the NYSE trading Platform on December 1, 2008. Firms wishing to participate in the test must register by sending an email to relationshipmgt@nyx.com including the production customer lines and entering firm mnemonics that they plan to use for the day of the test and a contact person at your firm (including email address and phone number).

As previously announced in the September 9, 2008 Information Memo titled ‘NYSE/Amex Integration – Trading Systems Update', member firms were informed that Amex Equities will be migrated onto the NYSE Trading Platform in the December 1, 2008 time frame. In preparation for this integration, the NYSE will systemically (without any action required from member firms) make all current entering firm mnemonics eligible for order entry into both the NYSE and Amex symbols over their currently registered CMS or CCG lines. Firms wishing to enable their mnemonics for booth routing or local order entry at the booth should contact the NYSE Mnemonics Database Group at 212.656.5778 or at mnemonics@nyx.com.

NYSE/Amex Integration - Entering Firm Mnemonic Migration

Effective Monday, November 17, 2008, the NYSE is eliminating the “Sub-penny Trading Halt Condition.” All securities currently subject to a sub-penny trading halt will resume trading on the NYSE. Orders routed to the NYSE in these securities will be executed on the NYSE (unless routed in compliance with Reg NMS), and all valid NYSE order types and times-in-force will again be accepted. Going forward, the NYSE will no longer halt trading and transfer securities to the NYSE Arca trading platform when they reach the $1.05 threshold.

The NYSE completed rollout of the first of two phases of its newly approved next-generation market model. This set of transformative changes begins the transition to Designated Market Maker (DMM) for the Exchange’s current primary dealers known as Specialists.

NYSE Euronext completed its acquisition of the American Stock Exchange (Amex) on October 1, 2008. Post merger, the Amex SRO has been renamed NYSE Alternext US LLC and the equity business has been rebranded NYSE Alternext. We have received a number of questions regarding the NYSE Alternext equity trading business, and have compiled the most frequently asked questions in an FAQs. For additional questions regarding NYSE Alternext's equity business, please contact Oscar N. Onyema at OOnyema@nyx.com, 212-656-4555.

NYSE Alternext Equity Trading FAQs

As previously announced in the September 25, 2008 Information Memo titled ‘NYSE/Amex Integration – Industry Testing', member firms were informed of Saturday industry testing opportunities, the next of which is scheduled for Saturday, November 8, 2008. Member Firms wishing to participate in the test must register by sending an email to relationshipmgt@nyx.com including the production customer lines and entering firm mnemonics that they plan to use for the day of the test and a contact person at your firm (including email address and phone number). Those registered lines and mnemonics will be enabled to send order flow in both the NYSE and Alternext test symbols identified in the Information Memo. Market Data will be disseminated via the production CT/CQ multicast IP lines.

NYSE/Amex Integration - Industry Testing