Securities and Exchange Commission Announces Availability of Options Intermarket Linkage

FOR IMMEDIATE RELEASE
2003-17

Options Intermarket Linkage Provides for Access Among Markets, Better Ensures Customer Orders Trade at Best Published Price

Washington, D.C., Jan. 31, 2003 -- The Securities and Exchange Commission today announced the implementation by the options exchanges of the intermarket linkage.

Since the expansion of multiple listing of options, and in particular over the past year, the Commission has encouraged the options exchanges to develop a linkage to ensure that customers' orders are executed at the best published price.

Today's implementation of the linkage by the options exchanges is the culmination of the efforts of the five options exchanges: the American Stock Exchange, the Chicago Board Options Exchange, the International Securities Exchange, the Pacific Exchange, and the Philadelphia Stock Exchange.

"The implementation of this linkage is a credit to the options exchanges and I commend their hard work in making it a reality." Chairman Harvey L. Pitt said. "This linkage is a victory for investors who are now better assured that their orders will be executed at the best published price."

Today, the linkage is available in 14 option classes to those orders that are eligible for automatic execution, which are the smaller-sized orders. The availability of the linkage for these smaller-sized orders will be rolled out to all classes over the next month. Beginning April 30, the exchanges will roll out the linkage for all other orders. For more information on the Commission's recent efforts with regard to the options intermarket linkage, see the SEC News Digest, (December 11, 2002) at http://www.sec.gov/news/digest/12-11.txt