SEAT MARKET QUOTES AS OF FRIDAY, November 27, 2009 CLASS BID OFFER LAST SALE AMOUNT LAST SALE DATE CBOT FULL MEMBERSHIP (WITHOUT STOCK)

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1 Exchange November 27, 2009 Volume 37, Number 48 Bulletin The Constitution and Rules of the Chicago Board Options Exchange, Incorporated ( Exchange ), in certain specific instances, require the Exchange to provide notice to the Exchange membership. To satisfy this requirement, a copy of the Exchange Bulletin, including the Regulatory Bulletin, is delivered by free of charge or by hard copy for a fee to all effective members on a weekly basis. Members are encouraged to receive the Exchange and Regulatory Bulletin and Information Circulars via . subscriptions may be obtained by submitting your name, firm if applicable, address, and phone number, to members@cboe.com. There is no charge for delivery of the Exchange and Regulatory Bulletin or for Information Circulars. If you do sign up for delivery, please remember to inform the Membership Department of address changes. Subscriptions for hard copy delivery may be obtained by submitting your name, firm if any, mailing address and telephone number to: Chicago Board Options Exchange, Accounting Department, 400 South LaSalle, Chicago, Illinois 60605, Attention: Bulletin Subscriptions. The cost of an annual subscription (January 1 through December 31) is $ ($ after July 1), payable in advance. For up-to-date Seat Market Quotes, call THE-CBOE and select choice 3 from the main menu, or, visit click CBOE Member Site and then Seat Market Information on the following page. For access to the CBOE Member Web Site, please also notify the Membership Department by sending an to members@cboe.com or by phone at Copyright 2009 Chicago Board Options Exchange, Incorporated SEAT MARKET QUOTES AS OF FRIDAY, November 27, 2009 CLASS BID OFFER LAST SALE AMOUNT LAST SALE DATE CBOE $2,500, $2,800, $2,750, November 5, 2009 CBOT FULL MEMBERSHIP (WITHOUT STOCK) CLASS BID OFFER LAST SALE AMOUNT LAST SALE DATE With ERP None None $725, September 30, 2008 Without ERP $270, $275, $275, November 19, 2009 ERP None None $230, October 13, 2008

2 Page 2 November 27, 2009 Volume 37, Number 48 Chicago Board Options Exchange MEMBERSHIP INFORMATION FOR 11/19/09 THROUGH 11/25/09 MEMBERSHIP APPLICATIONS RECEIVED FOR WHICH A POSTING PERIOD IS REQUIRED Individual Membership Applicants Date Posted Chad I. Sinsheimer, Nominee 11/25/09 Cutler Group, L.P. 449 E. 14th Street Apt. #12H New York, NY Adam Houser, Nominee 11/25/09 TradeLink LLC 2325 N. Halsted St., #1 Chicago, IL Member Organization Applicants Date Posted Kapital Trading LLC 11/24/09 Douglas H. Edelman, Nominee Gennady Gertsman, Nominee 161 E. Chicago # 58K1 Chicago, IL Kapital Holdings LP Manager/Member Gennady Gertsman - Manager Kerrigan Nine, LLC 11/23/ N. Racine Chicago, IL Myles J. Kerrigan Revocable Trust Member Myles J. Kerrigan Grantor/Trustee Kerrigan Family Trust Member Joanne Kerrigan - Trustee MEMBERSHIP TERMINATIONS Individual Members Nominee: Termination Date Nicholas A. Jonker (JNK) 11/20/09 S & W Grain Co. Justin J. Waggoner (JUT) 11/23/09 Andrie Trading LLC Eric F. Jacobson (EFJ) 11/24/09 CTC LLC Ted M. Piotrowski (PIO) 11/25/09 Ronin Capital, LLC Kevin Kwiatt (KKW) 11/25/09 Ronin Capital, LLC Harry J. Kasprzyk (HJK) 11/25/09 TD Options, LLC EFFECTIVE MEMBERSHIPS Individual Members Nominee: Effective Date Scott Sortal (SRT) 11/23/09 Andrie Trading LLC Type of Business to be Conducted: Market Maker Kurt A. McFarlane (KRT) 11/24/09 CTC LLC Type of Business to be Conducted: Market Maker Nicholas J. Cassano (CAS) 11/25/09 Blue Capital Group LLC Type of Business to be Conducted: Market Maker

3 Page 3 November 27, 2009 Volume 37, Number 48 Chicago Board Options Exchange RESEARCH CIRCULARS The following Research Circulars were distributed between Novermber 24, 2009 and Novermber 27, If you wish to read the entire document, please refer to the CBOE website at and click on the Trading Tools Tab. New listings and series information is also available in the Trading Tools section of the website. For questions regarding information discussed in a Research Circular, please call The Options Clearing Corporation at OPTIONS. Research Circular #RS November 24, 2009 Time Warner Inc. ( TWX/AOE/VAN/WAN & adj. TXZ/ZEX ) Distribution of Shares of AOL Inc. ( AOL ) Ex-Distribution Date: December 10, 2009 Research Circular #RS November 24, 2009 Frontier Financial Corporation ( FTBK/FQC ) 1-for-10 Reverse Stock Split Ex-Distribution Date: November 25, 2009 Research Circular #RS November 25, 2009 Systemax Inc. ( SYX ) CONTRACT ADJUSTMENT FOR SPECIAL CASH DIVIDEND Ex-Date: November 27, 2009 Research Circular #RS November 25, 2009embers National Oilwell Varco, Inc. ( NOV/NON/OKP/YMP & adj. KIW ) CONTRACT ADJUSTMENT FOR SPECIAL CASH DIVIDEND Ex-Date: November 30, 2009 Research Circular #RS DATE: November 25, 2009 Tween Brands, Inc. ( TWB ) Merger COMPLETED with The Dress Barn, Inc. ( DBRN/DTQ ) Research Circular #RS November 27, 2009 Oil Service HOLDRs Trust ( OIH/ZJO/LLB & adj. QDL/QZL/ZAO/ ZEI/LAI/ KAU/JMJ/ZYS/ZYM/DXM/XWJ/XWO/YYW/KXF/KXN/ ZJY/LGS/LGO/YYR ) Cash Distribution Ex-Distribution Date: November 30, 2009 Research Circular #RS November 27, 2009 *****CORRECTION*****CORRECTION*****CORRECTION***** National Oilwell Varco, Inc. ( NOV/NON/OKP/YMP & adj. KIW ) CONTRACT ADJUSTMENT FOR SPECIAL CASH DIVIDEND Ex-Date: November 30, 2009 POSITION LIMIT CIRCULARS Pursuant to Exchange Rule 4.11, the Exchange issued the below listed Position Limit Circular on November 24, The complete circulars are available from the Department of Market Regulation, in the data information bins on the 2nd Floor of the Exchange, and on the CBOE website at cboe.com under the Market Data tab. To receive regular updates of the position limit list via fax, contact Candice Nickrand at (312) Questions concerning position and exercise limits may be directed to the Department of Market Regulation to Joe Acevedo at (312) or Tim MacDonald at (312) Position Limit Circular PL09-40 November 24, 2009 Exchange Traded Funds and Equity Position and Exercise Limits will be decreased to a Lower Tier Limit Effective December 21, 2009 Position Limit Circular PL09-41 November 24, 2009 Adjusted Position and Exercise Limit for a certain Equity Option Class will revert to its Applicable Standard or Adjusted Position and Exercise Limit effective December 21, 2009

4 December 2, 2009 Volume RB20, Number 48 The Constitution and Rules of the Chicago Board Options Exchange, Incorporated ( Exchange ), in certain specific instances, require the Exchange to provide notice to the membership. The weekly Regulatory Bulletin is delivered to all effective members to satisfy this requirement. Copyright 2009 Chicago Board Options Exchange, Incorporated. REGULATORY CIRCULARS Regulatory Circular RG To: From: Members, Member Organizations Division of Member and Regulatory Services Date: November 20, 2009 Subject: Update of RG09-097, Margin Requirements for Leveraged ETFs and Uncovered Options on Leveraged ETFs Exchange Contacts: James Adams (312) KEY POINTS CBOE Regulatory Circular RG announced margin requirement increases effective December 1, 2009, for leveraged ETFs, uncovered options overlying leveraged ETFs, and day trading involving leveraged ETFs or uncovered options overlying leveraged ETFs. The effective date of increased margin requirements for positions in leveraged ETFs remains December 1, 2009, as originally set in RG However, due to the necessity that members concentrate systems programming efforts on the Options Symbology Initiative in order to meet industry deadlines, as well as other systems-related issues, the effective date for the margin requirement increases pertaining to uncovered options on ETFs, and day trading involving leveraged ETFs or uncovered options on leveraged ETFs, is being delayed until April 30, DISCUSSION Pursuant to its authority under CBOE Rules 12.3(g) and (Margin Required is Minimum), the Exchange announced higher margin requirements for leveraged ETFs and uncovered options on leveraged ETFs in Regulatory Circular RG09-097, in view of the increased volatility inherent in leveraged ETFs relative to their non-leveraged counterparts. December 2, 2009 Volume RB20, Number 48 1

5 In short, the margin requirement is increased by a factor commensurate with the leverage of the ETF or underlying ETF in the case of an uncovered option. CBOE continues to believe that the increases are necessary and prudent, but CBOE is also cognizant that listed options markets are in the final stages of programming a significant change in the way exchangetraded options contracts are symbolized in electronic systems. The Options Symbology Initiative ( OSI ) requires broker-dealers to redesign their systems to accommodate a February 12, 2010, implementation date of the new symbology. To allow firms to devote the necessary resources to meet this deadline, CBOE, and the Financial Industry Regulatory Authority ( FINRA ), are deferring the effective date of the increased maintenance margin requirements for uncovered options overlying leveraged ETFs until April 30, CBOE and FINRA are also deferring the effective date of the day trading margin requirements until April 30, 2010; as such calculations also may incorporate options overlying leveraged ETFs. However, the effective date for the increased maintenance margin requirement for leveraged ETFs will remain December 1, 2009, as originally set. Members are reminded to review Regulatory Circular RG09-097, which discusses the increased maintenance margin requirements in detail. Other Leveraged Products CBOE encourages members to assess the adequacy of house maintenance margin requirements for all other securities that contain inherent leverage or are linked to a leveraged product, and to implement higher requirements where appropriate. In particular, members should be attentive to leveraged mutual funds and security futures that have leveraged ETFs as the underlying security, as well as Exchange Traded Notes ( ETNs ) linked to a leveraged ETF. Questions concerning this Regulatory Circular may be directed to Jim Adams, (312) , in the Exchange s Department of Member Firm Regulation. (Updates RG09-097) 1 See FINRA Regulatory Notice December 2, 2009 Volume RB20, Number 48 2

6 Regulatory Circular RG Date: November 23, 2009 To: Members From: Office of the Secretary Re: Gratuities Policy Rule 4.4 This circular addresses the Exchange's policy regarding the permissibility of members and member organizations giving gratuities to employees of the Exchange and employees of financial concerns ("Gratuities Policy"). The Gratuities Policy restates limitations on gifts that are reflected in Exchange Rule 4.4 ("Rule") and the Exchange's Conflict of Interest Policy. Gifts and Gratuities to CBOE Employees In pertinent part, the Exchange's Gratuities Policy with respect to CBOE employees provides: CBOE employees may not accept any gift or gifts (including a gratuity, loan, discount, free service not generally available to the public, or other thing) valued in excess of $50 (in the aggregate) during any calendar year from the same member or person associated with a member or any person or entity with whom the employee is directly and/or substantially involved in conducting business on behalf of CBOE. A gift to the spouse or domestic partner of a CBOE employee from any member or person associated with a member or from any CBOE business contact of the employee shall also be considered a gift to the employee under this policy, with the following exception. If a spouse or domestic partner of a CBOE employee is an employee of a CBOE member or person associated with a member, any salary or other gift from the member or person associated with a member to the spouse or domestic partner shall not be considered a gift to the CBOE employee under this policy. If an employee receives gifts from more than one person associated with the same member or member firm, these gifts are considered to be from the same member and are aggregated for the purposes of this Policy. Legal Division and Regulatory Services Division employees may not accept any gift that has more than a nominal value (such as a coffee mug) from the same member or any person or entity with whom the employee is directly and/or substantially involved in conducting business on behalf of CBOE. There are no exceptions to this restriction, without obtaining prior written consent from the Division Head in charge of the employee s division. In the case of Division Heads, this prior written consent must be obtained from the President; in the case of the President, this prior written consent must be obtained from the Chairman; and in the case of the Chairman, this prior written consent must be obtained from the Chairperson of the Audit Committee. December 2, 2009 Volume RB20, Number 48 3

7 Gratuities or Compensation to Employees of Financial Concerns. Where gratuities or compensation from a member to an employee of a financial concern (including another member or a non-member broker, dealer, bank or institution) exceed $100 in any given calendar year, the donor must obtain the prior consent of the recipient s employer and of the Exchange. Procedure to Request Gift Approval No member should make a gift in excess of the limits indicated above, without first obtaining Exchange approval. Requests for Exchange approval may be made on the attached form. Additional copies of the form may be obtained from the Exchange's Office of the Secretary. To obtain approval for a gift to an Exchange employee that exceeds the limits indicated above, the request should be submitted to the employee's Division Head. (Upon granting or denying the request, Division Heads will submit the information to the Office of the Secretary.) To obtain Exchange approval for a gift to an employee of a financial concern (including another member), the request should be submitted to the Office of the Secretary. The request should also reflect the consent of the financial concern. The Gratuities Policy is set forth in the CBOE Employee Handbook under the Workplace Policies tab (p. 27). Questions regarding the Gratuities Policy may be directed to Patrick Sexton at or sexton@cboe.com. December 2, 2009 Volume RB20, Number 48 4

8 Form to Request Prior Approval of Gratuities and Compensation Under Exchange Rule 4.4 This form may be used to request prior approval of the Exchange for gratuities or compensation to an: employee of the Exchange in an amount greater than $50 in any calendar year, employee of the Exchange's Legal Division or Regulatory Services Division that has more than a nominal value (such as a coffee mug), or employee of a financial concern in an amount greater than $100 in any calendar year. 1. Name of Recipient 2. Recipient's Employer 3. Recipient's Position/Title 4. Nature of gratuity or compensation 5. Dollar value of gratuity or compensation 6. Total dollar value and nature of other gratuities or compensation to recipient during calendar year 7. Reason for gratuity or compensation 8. Person Giving the Gratuity or Compensation Name of Member: (Print) Firm, if any Signature: Date: 9. Consent of Employer: Granted Denied (for employees of CBOE obtain consent from the employee's Division Head) Name: (print) Firm or CBOE Division Signature: Date: December 2, 2009 Volume RB20, Number 48 5 RETURN THIS FORM TO THE OFFICE OF THE SECRETARY

9 10. Consent of Exchange: Granted Denied (for gifts to employees of financial concerns) Name: (print) Signature: Date: December 2, 2009 Volume RB20, Number 48 6 RETURN THIS FORM TO THE OFFICE OF THE SECRETARY

10 Regulatory Circular RG Date: November 23, 2009 To: Members From: Trading Operations Re: Linkage Implementation Final Schedule CBOE will finalize linkage implementation of outbound Intermarket Sweep Order (ISO) routing over the next several weeks. Migration will restart on Tuesday, November 24 th. Tuesday, November 24 th includes the following 35 classes: AA, AAPL (AAQ), AIG, AMGN (AMQ), BAC, C, CAT, CSCO (CYQ), DIA, DRYS (DQR), EK, ETFC (EUS), FCX, GE, GLD, GOOG (GOQ), GS, INTC (INQ), IWM, JPM, LVS, MGM, MOT, MSFT (MSQ), ORCL (ORQ), PALM (UPY), QQQQ (QQQ), RIMM (RUL), SPY, WFC, WMT, XLF, XLU, XOM, YHOO (YHQ) Linkage implementation also includes the following dates: Wednesday, November 25 th Friday, November 27 th Tuesday, December 1 st Multiple option classes will be enabled for new linkage on these dates. Individual class names are available on request from the contact list below. Thursday, December 3 rd : All remaining multiple listed option classes will be enabled for new linkage routing. Rollout is complete. Floor brokers will be enabled for access to outbound linkage via the Sweep & Return functionality on PAR. Floor broker enablement will occur after the linkage rollout and after an education session has been completed. Education sessions will begin the week of 11/30/09. As classes are migrated to new linkage, the new HAL auction process (HAL2) will be activated, along with new order types AIM-ISO, Sweep-and-AIM, and Do-Not-Route (CBOE-only). For detail information please refer to Regulatory Circulars RG09-84 or RG For linkage questions please contact Roger Mulcahy at (312) , mulcahyr@cboe.com, Tim Watkins at (312) , watkins@cboe.com, or the CBOE Help Desk at (312) , helpdesk@cboe.com. December 2, 2009 Volume RB20, Number 48 7 RETURN THIS FORM TO THE OFFICE OF THE SECRETARY

11 Regulatory Circular RG DATE: November 24, 2009 TO: FROM: RE: Members and Member Firms Market Operations Department Restrictions on Transactions in Altus Pharmaceuticals, Inc. ( ALTU ) Effective November 23, 2009, NASDAQ suspended trading in Altus Pharmaceuticals, Inc. ( ALTU ). Trading on the CBOE in existing series of ALTU/QTA options is subject to the following restrictions. Only closing transactions may be effected in any series of QTA options except for (i) opening transactions by Market-Makers executed to accommodate closing transactions of other market participants and (ii) opening transactions by CBOE member organizations to facilitate the closing transactions of public customers executed as crosses pursuant to and in accordance with CBOE Rule 6.74(b) or (d). The execution of opening transactions in QTA options, except as permitted above, and/or the misrepresentation as to whether an order is opening or closing, will constitute a violation of CBOE rules, and may result in disciplinary action. Member organizations should ensure that they have appropriate procedures in place to prevent their customers from entering opening orders in this restricted option class. In addition, transactions in contravention of this restriction may be subject to nullification pursuant to Exchange Rule There are no restrictions in place with respect to the exercise of QTA options. The provisions of this circular apply to any options on QTA traded on CBOE. Any questions regarding this circular may be directed to Kerry Winters at (312) or Ji Min Kim at (312) CBOE restricted class memos can be accessed from CBOE.org at the following web address: December 2, 2009 Volume RB20, Number 48 8