Exchange Bulletin€¦ · Andrew W. Hall, CBT registered for Paul Kepes, CBT registered for John J...

Exchange Bulletin

January 14, 1998 Volume 26, Number 2

The Constitution and Rules of the Chicago Board Options Exchange, Incorporated ("Exchange"), in certain specific instances, req uire theExchange to provide notice to the Exchange membership. To satisfy this requirement, a complimentary copy of the Exchange Bulletin ,including the bi-monthly Regulatory Bulletin , is provided to all individual members and nominees of member organizations on a weeklybasis.

Additional subscriptions may be obtained by submitting your name, firm, address and telephone number to: Chicago Board Options Ex-change, Attention: Marketing Department, 400 South LaSalle, Chicago, Illinois 60605. The cost of an annual subscription (July 1 throughJune 30) is $100.00, ($50.00 after January 1) payable in advance. Non-members are welcome to subscribe.

MEMBERSHIP INFORMATION FOR January 1, 1998 THROUGH January 7, 1998

Members are required to report any address or telephone number changes to the Membership Department at (312) 786-7449 pursuant toExchange Rule 3.6(b). For Seat Market Quotes, call (312) 786-7456.

SEAT MARKET QUOTES as of January 9, 1998 SEAT MARKET QUOTES as of December 31, 1997

Bid: $720,000.00 Bid: $711,000.00

Offer: $770,000.00 Offer: $770,000.00

Last Sale: $725,000.00 on December 17, 1997 Last Sale: $725,000.00 on December 17, 1997

Information Circulars

Information Circular IC97-96

Date: December 16, 1997

To: CBOE SIPC Members

From : Nancy Weber - CBOE SIPC Coordinator

Re: 1998 Annual SIPC Filing

As a reminder, any registered broker/dealer is also a SIPC member (Securities Investor Protection Corporation). Responsibilities of SIPC membershipincludes filing an annual form (SIPC-4) and paying an annual assessment, whether or not any revenue is derived from the securities business.

SIPC has announced that the annual fee for 1998 will be $150, equal to the 1997 assessment. The annual SIPC fee is due by January 31, 1998.

In an effort to streamline the filing and payment process for CBOE members, clearing firms and staff, the Exchange will draft t he annual filingfee for CBOE designated SIPC members via your clearing firm. Form SIPC-4 will not be required to be submitted if your payment wasreceived via draft from your clearing firm. The revised SIPC fee collection process is similar to the method of collecting CBO E member duesvia your clearing firm. The 1998 fee of $150 will appear in January 1998 Exchange billing statements and drafted from clearin g firms in earlyFebruary.

I will be coordinating efforts with clearing firms to ensure a smooth transition in the new procedures.

Only those SIPC members who are effective and designated to CBOE will have their annual fee drafted. All other broker/dealers will bemailed SIPC-4 forms from SIPC’s Washington D.C. office. Also, SIPC members designated to CBOE who do not have an account at a clearingfirm are still required to pay the annual fee and file form SIPC-4 by January 31, 1998.

Please note that SIPC filing requirements are in addition to FOCUS report filing requirements.

Please call me at (312) 786-7038 if you have any questions.

January 14, 1998 Volume 26, Number 2 The Chicago Board Options Exchange Bulletin

OPTION TRADING PERMIT- LEASE POOL as of January 9, 1998

Highest Bid: $2,750.00 Highest Monthly Rate: $4,700.00

OTP's Available: None Lowest Monthly Rate: $2,850.00

Last Lease: $2,800.00 1/9/98

Membership Sales and Transfers

This notice is given pursuant to Rules 3.15 and 3.16 which permit certain types of claims to be filed with the Membership Depar tmentwithin 20 days from the date of this Exchange Bulletin.

From To Price/Transfer Date

Rauscher Pierce Refsnes Inc. Dain Rauscher Incorporated Transfer 1/2/98

MEMBERSHIP APPLICATIONS RECEIVEDThis notice is given pursuant to Exchange Rule 3.9. Please sendany comments to the Membership Committee in care of theMembership Department.

Individual Member Applicants Date Posted

Date Posted

Darryl A. Behn, Nominee 1/02/98Panos Trading L.P436 EdgeWater LaneWaucaonda, IL 60084

Peter A. Mayer, Nominee 1/02/98Downtown Options Inc.585 Wicklow CourtDeerfield, IL 60015

Glenn G. Baytala, Nominee 1/02/98LakeShore Securities L.P15215 S. LasfloresOak Forest, IL 60452

Adam R. Bloom, Nominee 1/02/98Flash Trading LLC1635 W. Belmont #205Chicago, IL 60657

Terrence J. Shakon, CBT registered for 1/05/98Sparta Group of Chicago L.P.525 W. MapleHinsdale, IL 60521

Todd Raarup, Nominee 1/05/98Arbitrade, L.L.C.1723 W. BarryChicago, IL 60657

Gary P. Lahey, Nominee 1/05/98Arbitrade L.L.C.33 West Shagbark Lane Box 1125Wayne, IL 60184

Andrew N. Evans, Nominee 1/05/98Arbitrade LLC534 W. Dickens AvenueChicago, IL 60614

Shaun E. Buss, Nominee 1/05/98JSS Investments LLC2643 N. Sheffield Avenue #1FChicago, IL 60614

Thomas J. Blake, Lessee 1/06/982539 N. WayneChicago, IL 60614

Joseph F. Cusick III, Nominee 1/06/98Timber Hill LLC1219 W. Grace StreetChicago, IL 60613

Christopher F. Beaulieu, CBT registered for 1/06/98Prime International Equities LTD919 W. Armitage Avenue #2Chicago, IL 60614

Thomas J. Pradd, Jr., Nominee 1/06/98Refco Securities210 Cathy LaneMt. Prospect, IL 60056

David L. Ellman, CBT exerciser 1/06/9858 W. St. AndrewsDeerfield, IL 60015

Bradley W. Grant, Nominee 1/06/98Smith Barney Inc.611 Pearces FordOswego, IL 60543

Stephen W. Nelson, Nominee 1/06/98Futrex Trading L.L.C.5111 Clausen AvenueWestern Springs, IL 60558

Michael E. Horn, Nominee 1/07/98Sallerson-Troob L.L.C.891 McKenzie Station DriveLisle, IL 60532

James J. Wallace, Nominee 1/06/98Smith Barney Inc.7942 W. 164th PlaceTinley Park, IL 60477


Kevin P. Kolb, Nominee 1/06/98Timber Hill L.L.C.1115 Holly LaneMunster, IN 46321

Christopher G. Larkin, Nominee 1/06/98Susquehanna Securities9421 South 54th CourtOak Lawn, IL 60453

Todd A. Hanold, CBT registered for 1/06/98The Helios Group Illinois L.L.C.1570 North Milwaukee Apt. JChicago, IL 60606

Laurence J. Witort, Lessee 1/06/981514 Walnut AvenueWilmette, IL 60091

Sidney K. Wiener, Lessee 1/06/98641 W. Willow - #143Chicago, IL 60614

Thomas A. Simmons, Nominee 1/06/98Timber Hill LLC2013 W. DickensChicago, IL 60647

Bryan D. Stewart, Nominee 1/06/98The Option Resource Group511 W. Melrose Street - #402Chicago, IL 60657

Paul J. Schranz, CBT registered for 1/06/98Dennis P. Flynn, Inc.440 Chicago AvenueClarendon Hills, IL 60514

Andrew M. Sullivan, Nominee 1/06/98JES Securities, Ltd.10551 S. HamiltonChicago, IL 60643

Patrick M. Walsh, Nominee 1/06/98Lakota Trading, Inc1250 N. Dearborn - Apt. 11AChicago, IL 60610

Orbit II Partners, LLC 1/06/98Thomas M. Hurley, NomineeAlan S. Mackenzie Jr., NomineeMatthew S. Rudge, NomineeDavid L Wetzstein, NomineeTwo Rector St., 16th Fl.New York, NY 10006

Joel S. Kraut - Managing MemberAlan S. Mackenzie Jr.- Managing MemberDavid N. Marino - Managing MemberStephen T. McQuade - Investing Member

CTC LLC 1/06/98Erich W. Tengelsen, NomineeAndrew W. Hall, CBT registered forPaul Kepes, CBT registered forJohn J Watrous, Nominee440 S.LaSalle, Suite 2500Chicago, IL 60605

Erich W. Tengelsen - Managing MemberEric H. Chern - MemberAndrew W. Hall - MemberPaul Kepes - MemberJohn J. Watrous - Member

Honor Trading, L.L.C. 1/06/98Jay Rosenbloom, Nominee3914 Raintree LaneNorthbrook, IL 60062

Jay Rosenbloom - Managing MemberJeffrey Kost - MemberEdward Hanhardt - Member

Sling Trading Corp 1/06/98Gregory J. Olson, Nominee440 S. LaSalle - Ste. 1021Chicago, IL 60605

Gary Silverman - ChairmanDaniel C. Williams - PresidentGeneva Securities Trading Corporation - Shareholder

Fortune Trading, L.P. 1/06/98Richard K. Wallace, Nominee440 South LaSalle Street #3100Chicago, IL 60605

Richard K. Wallace - General PartnerHonor Trading LLC - Limited PartnerJay Rosenbloom - Managing Member

MEMBERSHIP LEASES

This notice is given pursuant to Exchange Rules 3.15 and 3.16which permit certain types of claims to be filed with the Member-ship Department within 20 days from the date of this ExchangeBulletin.

New Leases Effective Date

Lessor: Dain Rauscher Incorporated 01/02/98Lessee: Interra Clearing Services Inc.

James N. Sinnott, NOMINEERate: $3600 Term: 1 year

Lessor: Donald S. Finkelman 01/02/98Lessee: GPZ Trading L.L.C.

Robert J. Carignan, NOMINEERate: 1 1/8% Term: 8 Months

Member Organization Applicants Date Posted

FIMAT USA, INC. 1/05/98Stephen C. Bergan, Nominee432 Paul AvenueAllendale, NJ 07401

Marc A. Breillout - ChairmanStephen C. Bergan - PresidentFIMAT International Banque - Shareholder

Endeavor Trading 1/06/98Paul T. Savoie, Nominee325 W. Fullerton #708Chicago, IL 60614

Paul T. Savoie - PartnerJefferson B. Martin - Partner

OTC Arbitrage LTD 1/06/98Tom R. Fehrenbacher, Nominee2328 N. Greenview #1RChicago, IL 60614

Gary L. Knoblauch - President/Shareholder

Date Posted Date Posted


Lessor: Robert E. Murtagh 01/02/98Lessee: JKJ Trading, Inc.

Jeffrey W. Jachimek, NOMINEERate: 1 1/8% Term: Month to Month

Lessor: W. Thomas Jones 01/02/98Lessee: Waveland II, L.L.C.

Patrick S. Tray, NOMINEERate: 1 1/8% Term: Month to Month

Lessor: Merrill Lynch Professional Clearing Corp. 01/02/98Lessee: Professional Edge Fund, L.P.

Daniel T. Dismukes, NOMINEERate: 1 1/8% Term: Month to Month

Lessor: Arthur M. Pearson 01/02/98Lessee: Shafton Partnership, L.P.

David L. Shafton, NOMINEERate: 1 1/8% Term: Month to Month

Lessor: Gabriel, Inc. 01/02/98Lessee: The Helios Group Illinois L.L.C.

Raoul P. Rodriguez, NOMINEERate: 1 1/8% Term: Month to Month

Lessor: S & S Options 01/02/98Lessee: The Helios Group Illinois L.L.C.

John M. Fusco, NOMINEERate: 1 1/8% Term: Month to Month

Lessor: Robert E. Mc Guire 01/02/98Lessee: ING TT&S (U.S.) Securities Inc.

Thomas P. Campbell, NOMINEERate: 1 1/8% Term: Month to Month

Lessor: Gloria And David Company 01/02/98Lessee: Third Millennium Trading L.L.P.

Greg A. Loehr, NOMINEERate: 1 1/8% Term: Month to Month

Lessor: RCH Partnership 01/02/98Lessee: Saliba Partners, L.L.C.

Scott B. Mollner, NOMINEERate: 1 1/8% Term: Month to Month

Lessor: Larkspur Securities, Inc. 01/02/98Lessee: BOTTA Trading, Inc.

Mark A. Nesci, NOMINEERate: 1 1/8% Term: Month to Month

Lessor: Larkspur Securities, Inc. 01/02/98Lessee: ING TT&S (U.S.) Securities Inc.

Sean M. Mc Grath, NOMINEERate: 1 1/8% Term: Month to Month

Lessor: Patrick J. English 01/02/98Lessee: Martin E. LacknerRate: 1 1/8% Term: Month to Month

Lessor: Thomas V. Gariti 01/02/98Lessee: Frank E. LiskovecRate: 1 1/8% Term: Month to Month

Lessor: J. Stephen Fossett 01/02/98Lessee: The Helios Group Chicago LLC

Kenneth J. Heinz, NOMINEERate: 1 1/4% Term: Month to Month

Lessor: Gail S. Meyers 01/02/98Lessee: WST Trading Inc.

Mark E. Westcott, NOMINEERate: 1 1/8% Term: One Day

Lessor: Gregory F. Mathis 01/02/98Lessee: GPZ Trading L.L.C.

Richard J. Bloss, NOMINEERate: 1 1/8% Term: Month to Month

Lessor: Merrill Lynch Professional Clearing 01/02/98 Corp.

Lessee: GPZ Trading L.L.C.Roy M. Briggs, NOMINEE

Rate: 1 1/8% Term: Month to Month

Lessor: MSM Enterprises Inc. 01/02/98Lessee: Herzog, Heine, Geduld, Inc.

Francis P. Wondrasek, NOMINEERate: 1 1/8% Term: Month to Month

Lessor: Harbar Trading Co. Inc. 01/02/98Lessee: GPZ Trading L.L.C.

Edward V. Dolinar, NOMINEERate: 1 1/8% Term: Month to Month

Lessor: Magesty Capital Corp. 01/02/98Lessee: GPZ Trading L.L.C.

Michael B. Hoban, NOMINEERate: 1 1/8% Term: Month to Month

Lessor: FCT Equities L.L.C. 01/02/98Lessee: GPZ Trading L.L.C.

Andre C. Hughes, NOMINEERate: 1 1/8% Term: Month to Month

Lessor: Lewis H. Haupt III 01/02/98Lessee: GPZ Trading L.L.C.

Robert E. Klaskin, NOMINEERate: 1 1/8% Term: Month to Month

Lessor: Tracy L. Lancaster 01/02/98Lessee: GPZ Trading L.L.C.

Charles A. Maylee, NOMINEERate: 1 1/8% Term: Month to Month

Lessor: William S. Persky 01/02/98Lessee: GPZ Trading L.L.C.

Timothy J. Smock, NOMINEERate: 1 1/8% Term: Month to Month

Lessor: Magesty Capital Corp. 01/02/98Lessee: GPZ Trading L.L.C.

David R. Tilley, NOMINEERate: 1 1/8% Term: Month to Month

Lessor: Larkspur Securities, Inc. 01/05/98Lessee: James F. BarlowRate: 1 1/8% Term: Month to Month

Lessor: Daniel A. Stucka 01/05/98Lessee: Cornerstone Partners

Roberto Zagaroli, NOMINEERate: 1 1/8% Term: Month to Month

Lessor: Alan Zahtz 01/05/98Lessee: Stuart B. YoungRate: 1 1/8% Term: Month to Month

Effective Date Effective Date


Lessor: Gail S. Meyers 01/05/98Lessee: Joseph D. Heard Jr., Inc.

John R. Harrell, NOMINEERate: 1 1/8% Term: 3 Years

Lessor: Troob-Sallerson Partnership 01/06/98Lessee: AMBO General Partnership

Matthew G. Amberson, NOMINEERate: 1 1/8% Term: Month to Month

Terminated Leases Termination Date

Lessor: Rauscher Pierce Refsnes, Inc. 01/02/98Lessee: Interra Clearing Services Inc.

James N. Sinnott (JNS), NOMINEE

Lessor: Donald S. Finkelman 01/02/98Lessee: GPZ Trading

Robert J. Carignan (IGN), NOMINEE

Lessor: W. Thomas Jones 01/02/98Lessee: Sallerson-Troob L.L.C.

Lessor: Robert E. Murtagh 01/02/98Lessee: Jeffrey W. Jachimek (JKJ)

Lessor: Thomas V. Gariti 01/02/98Lessee: Madison Partners L.L.C.

Andrew W. Smyth (AWS), NOMINEE

Lessor: Alan Zahtz 01/02/98Lessee: Herzog, Heine, Geduld, Inc.

Francis P. Wondrasek, NOMINEE

Lessor: Merrill Lynch Professional Clearing Corp.01/02/98Lessee: H & P Trading Limited Partnership

John J. Fox (FOX), NOMINEE

Lessor: Howard M. Weinstein 01/02/98Lessee: Richard M. Gabriel (ORO)

Lessor: RCH Partnership 01/02/98Lessee: Jasper Co.

Jonathan Stern (CCJ), NOMINEE

Lessor: Arthur M. Pearson 01/02/98Lessee: William M. Kennedy (WMK)

Lessor: Larkspur Securities, Inc. 01/02/98Lessee: Lakota Trading, Inc.

Robert J. Lane (RTL), NOMINEE



Kurt Hodak (KXH), NOMINEE

Lessor: Gabriel, Inc. 01/02/98Lessee: The Helios Group Chicago L.L.C.

Raoul P. Rodriguez, NOMINEE

Lessor: Robert E. Mc Guire 01/02/98Lessee: JFJ Traders Limited Partnership

John M. Legg (LEG), NOMINEE

Lessor: Gloria And David Company 01/02/98Lessee: KP Limited Partnership

Kevin D. Powers (PRS), NOMINEE

Lessor: S & S Options 01/02/98Lessee: The Helios Group Chicago LLC

John M. Fusco (SCO), NOMINEE

Lessor: Gail S. Meyers 01/02/98Lessee: Martin E. Murphy (MEM)

Lessor: Patrick J. English 01/02/98Lessee: Third Millennium Trading Llp, NOMINEE

Lessor: David M. Ofman 01/02/98Lessee: DBS Partners L.P.

David R. Scherer (DLS), NOMINEE

Lessor: J. Stephen Fossett 01/02/98Lessee: Lakota Trading, Inc.

Lessor: Daniel A. Stucka 01/02/98Lessee: Brian Stucka (BRS)

Lessor: Gregory F. Mathis 01/02/98Lessee: GPZ Trading

Richard J. Bloss (RJB), NOMINEE

Lessor: Merrill Lynch Professional Clearing Corp.01/02/98Lessee: GPZ Trading

Roy M. Briggs (BRG), NOMINEE

Lessor: Harbar Trading Co. Inc. 01/02/98Lessee: GPZ Trading

Edward V. Dolinar (EDG), NOMINEE

Lessor: Magesty Capital Corp. 01/02/98Lessee: GPZ Trading

Michael B. Hoban (HOB), NOMINEE

Lessor: FCT Equities L.L.C. 01/02/98Lessee: GPZ Trading

Andre C. Hughes (DRE), NOMINEE

Lessor: Lewis H. Haupt 01/02/98Lessee: GPZ Trading

Robert E. Klaskin, NOMINEE

Lessor: Tracy L. Lancaster 01/02/98Lessee: GPZ Trading

Charles A. Maylee (CMZ), NOMINEE

Lessor: William S. Persky 01/02/98Lessee: GPZ Trading

Timothy J. Smock (OCK), NOMINEE

Lessor: Magesty Capital Corp. 01/02/98Lessee: GPZ Trading

David R. Tilley (TLE), NOMINEE

Lessor: Gail S. Meyers 01/05/98Lessee: WST Trading Inc.

Mark E. Westcott (WST), NOMINEE

Lessor: Troob-Sallerson Partnership 01/06/98Lessee: Sallerson-Troob L.L.C.

Shaun E. Buss (SEB), NOMINEE


Christopher J. McHugh (CMQ) 01/07/98G-Bar Limited Partnership440 S. LaSalle, Suite 650Chicago, IL 60606

Joseph P. Wall (JPW) 01/07/98DBS Partners L.P.2750 N. Wayne - #CChicago, IL 60614

Member Organizations

KP Limited Partnership 01/02/98440 S. LaSalle - Ste. 3100Chicago, IL 60605

Jasper Co. 01/02/98P.O. Box 2896Chicago, IL 60690

Rauscher Pierce Refsnes, Inc. 01/02/98401 S. LaSalle, Suite 704Chicago, IL 60605

MSM Enterprises Inc. 01/02/982095 Hidden Ridge LaneHighland Park, IL 60035

GPZ Trading 01/02/98230 S. LaSalle - Ste. 688Chicago, IL 60604

EFFECTIVE MEMBERSHIPSThis notice is given pursuant to Exchange Rule 3.11.

Individual Members Effective Date

CBT Exerciser:

Brian T. Patton (BNY) 01/06/984324 Kathleen LaneOak Lawn, IL 60453Type of Business to be Conducted: Market Maker

Lessees:

Martin E. Lackner (LAC) 01/02/98440 S. LaSalle-Ste 2500Chicago, IL 60605Type of Business to be Conducted: Market Maker

Frank E. Liskovec (LIS) 01/02/98131 Michelle Pl.Schaumburg , IL 60173Type of Business to be Conducted: Market Maker

James F. Barlow (MOP) 01/05/98P.O. Box 06141Chicago, IL 60606Type of Business to be Conducted: Market Maker

Stuart B. Young (SPY) 01/05/98230 S. LaSalle - Ste. 688Chicago, IL 60604Type of Business to be Conducted: Market Maker

MEMBERSHIP TERMINATIONS

Individual Members Termination Date

CBT Exerciser:

James C. Downs (JCD) 01/06/98141 W. Jackson - Ste 1260Chicago, IL 60604

Lessee:

Martin E. Murphy (MEM) 01/02/98440 S. LaSalle-Ste 2500Chicago, IL 60605

Nominees / Inactive Nominees:

Dipen K. Mehta (DPN) 01/02/98Archelon L.L.C.411 S. Wells, Suite 1200Chicago, IL 60607

John S. Stafford III (GPZ) 01/02/98GPZ Trading230 S. LaSalle, Suite 688Chicago, IL 60604

John R. Harrell (JHQ) 01/02/98Maple Partners U.S.A. Inc.1109 Woodview Rd.Burr Ridge, IL 60521

Lawrence J. Hanson (LJH) 01/02/98ABN AMRO Chicago Corporation208 S. LaSalleChicago, IL 60604

Kevin D. Powers (PRS) 01/02/98K.P. Limited Partnership440 S. LaSalle, Ste. 3100Chicago, IL 60605

Mark E. Westcott (WST) 01/05/98WST Trading Inc.440 S. LaSalle - Ste. 2500Chicago, IL 60605

Norman D. Friedman (NDF) 01/05/98JSS Investments L.L.C.4142 Miller DrGlenview, IL 60025

Steven Stefancic (SSF) 01/05/98Spear, Leeds & Kellogg440 S. LaSalle - Ste 2118Chicago, IL 60605

Shaun E. Buss (SEB) 01/06/98Sallerson-Troob L.L.C.2643 N. Sheffield Ave.Chicago, IL 60614

Christopher J. Delaney (CJD) 01/07/98DBS Partners L.P.30 S. WackerChicago, IL 60604


John R. Harrell (JHQ) 01/02/98Joseph D. Heard, Jr., Inc.1109 Woodview Rd.Burr Ridge, IL 60521Type of Business to be Conducted: Market Maker

Roberto Zagaroli (RZX) 01/05/98Cornerstone Partners3626 N. Marshfield, #GDNChicago, IL 60613Type of Business to be Conducted: Market Maker

Dipen K. Mehta (DPN) 01/05/98JSS Investments L.L.C.440 S. LaSalle, Suite 688Chicago, IL 60605Type of Business to be Conducted: Market Maker

Registered For a Member Organization:

Perry P. Bazianos (CBT) (PPB) 01/02/98JSS Investments L.L.C.230 South LaSalle, 6th FloorChicago, IL 60604Type of Business to be Conducted: Market Maker

Desmond S. Paden (CBT) (DSZ) 01/02/98JSS Investments, L.L.C.141 West Jackson #1920Chicago, IL 60604Type of Business to be Conducted: Market Maker

Louis Pargiolas (CBT) (LPA) 01/05/98Remy L.L.C.2019 W. GiddingsChicago, IL 60625Type of Business to be Conducted: Market Maker


Shafton Partnership, L.P. 01/02/98440 S. LaSalle - Ste. 2800Chicago, IL 60605Membership Function: LESSEEType of Business to be Conducted: associated with a Market Maker

GPZ Trading L.L.C. 01/02/98230 S. LaSalle, Suite 688Chicago, IL 60604Membership Function: LESSEEType of Business to be Conducted: associated with a Market Maker

JKJ Trading, Inc. 01/02/98440 S. LaSalle, Suite 1021Chicago, IL 60605Membership Function: LESSEEType of Business to be Conducted: associated with a Market Maker

KLR Trade Corp Inc. 01/02/98665 W. MelroseChicago, IL 60657Type of Business to be Conducted: associated with a Market Maker

Nominees/Inactive Nominees:

David L. Shafton (SHF) 01/02/98Shafton Partnership, L.P.440 S. LaSalle - Ste. 2800Chicago, IL 60605Type of Business to be Conducted: Market Maker

Hunt Hamill Jr. (HHJ) 01/02/98ABN AMRO Chicago Corporation400 S Lasalle-CBOE Box 265Chicago, IL 60605Type of Business to be Conducted: Floor Broker

Daniel T. Dismukes (DTD) 01/02/98Professional Edge Fund, L.P.1435 West Grand Avenue #3FChicago, IL 60622Type of Business to be Conducted: Market Maker

Bradley P. Anderson (GFR) 01/02/98The Arbitrage Group, L.P.440 S. LaSalle St., Suite 3010Chicago, IL 60605Type of Business to be Conducted: Market Maker

Mark E. Westcott (WST) 01/02/98WST Trading Inc.440 S. LaSalle - Ste. 2500Chicago, IL 60605Type of Business to be Conducted: Market Maker

Thomas P. Campbell (TPC) 01/02/98ING TT&S (U.S.) Securities Inc.440 S. LaSalle - Ste 2800Chicago, IL 60605Type of Business to be Conducted: Market Maker

Robert K. Farkas (BOC) 01/02/98G-Bar Limited Partnership440 S LaSalle-Ste. 650Chicago, IL 60605Type of Business to be Conducted: Market Maker

Mark A. Nesci (NSI) 01/02/98BOTTA Trading, Inc.Botta Trading Inc.440 S. LaSalle - Ste. 3100Chicago, IL 60605Type of Business to be Conducted: Market Maker

Sean M. Mc Grath (MCG) 01/02/98ING TT&S (U.S.) Securities Inc.401 S. Lasalle Suite 1200Chicago, IL 60605Type of Business to be Conducted: Market Maker

William P. Kollada Jr. (KOL) 01/02/98William P Kollada, Jr., Inc.P.O. Box 837Beverly Shores, IN 46301Type of Business to be Conducted: Floor Broker, Market Maker

Norman D. Friedman (NDF) 01/02/98JSS Investments, L.L.C.4142 Miller Dr.Glenview, IL 60025Type of Business to be Conducted: Market Maker



Effective Date

James C. Downs QWD 01/06/98

James C. Downs QSV 01/06/98

Christopher J. Delaney QDB 01/07/98

Joseph P. Wall QDB 01/07/98

Christopher J. Mc Hugh QZZ 01/07/98

Terminated Accounts

Scott J. O’Connell QOJ 01/05/98

Jefferson B. Martin QOJ 01/05/98

CHANGES IN MEMBERSHIP STATUS

Individual Members Effective Date

Steven A. Smyth 01/02/98From: Nominee for LETCO Trading L.P.; Market MakerTo: CBT Exerciser Registered For LETCO Trading

L.P.; Market Maker

Andrew W. Smyth 01/02/98From: Nominee for Madison Partners L.L.C.;

Market MakerTo: CBT Exerciser Registered For Madison Partners

L.L.C.; Market Maker

Brian Stucka 01/02/98From: Lessee from Daniel A. Stucka; Market MakerTo: CBT Exerciser; Market Maker

Robert J. Carignan 01/02/98From: Nominee for GPZ Trading; Market MakerTo: Nominee for GPZ Trading L.L.C.; Market Maker

Berton Rubin 01/02/98From: Nominee for William P. Kollada, Jr., Inc.;

Floor Broker, Market MakerTo: Lessor to IVAR Enterprises Limited Partnership

Jeffrey W. Jachimek 01/02/98From: Lessee from Robert E. Murtagh; Market MakerTo: Nominee for JKJ Trading, Inc.; Market Maker

John J. Fox 01/02/98From: Nominee for H & P Trading Limited Partnership;

Market MakerTo: CBT Exerciser Registered For H & P Trading

Limited Partnership; Market Maker

Richard M. Gabriel 01/02/98From: Lessee from Howard M. Weinstein;

Market MakerTo: CBT Exerciser; Market Maker

Jonathan Stern 01/02/98From: Nominee for Jasper Co.; Floor BrokerTo: CBT Exerciser; Floor Broker

William M. Kennedy 01/02/98From: Lessee from Arthur M. Pearson; Market MakerTo: CBT Exerciser; Floor Broker, Market Maker

JOINT ACCOUNTSThis notice is given pursuant to Exchange Rule 8.9.

New Participants Acronym Effective Date

Mark A. Nesci QGN 01/02/98

Bradley P. Anderson QCB 01/02/98

Mark A. Nesci QNK 01/02/98

Thomas P. Campbell QXM 01/02/98

Thomas P. Campbell QDX 01/02/98

Sean M. Mc Grath QDX 01/02/98

Mark A. Nesci QTK 01/02/98

Thomas P. Campbell QUP 01/02/98

Sean M. Mc Grath QUP 01/02/98

Sean M. Mc Grath QXM 01/02/98

Daniel A. Dismukes QJB 01/02/98

Gary B. Patzik QGN 01/05/98

Louis Pargiolas QPD 01/05/98

Eric S. Parmacek QRA 01/07/98

New Accounts

John M. Fusco QNR 01/02/98

Raoul P. Rodriguez QNR 01/02/98

David G. Nuelle QNR 01/02/98

John M. Fusco QGN 01/02/98

Raoul P. Rodriguez QGN 01/02/98

David G. Nuelle QGN 01/02/98

John R. Harrell QJO 01/05/98

Timothy A. Krause QJO 01/05/98

Jeffrey H. Savage QJO 01/05/98

Lorry A. Lichtenstein QFY 01/02/98

Stuart B. Young QFY 01/02/98

Patrick G. Rooney QSY 01/07/98Neil F. Sy

Terminated Participants Acronym Termination Date

John R. Harrell QFM 01/02/98

Steven R. Stefancic QLS 01/05/98

Steven R. Stefancic QSP 01/05/98


Roy M. Briggs 01/02/98From: Nominee for GPZ Trading; Market MakerTo: Nominee for GPZ Trading L.L.C.; Market Maker

Michael J. Carberry 01/02/98From: Nominee for GPZ Trading; Market MakerTo: Nominee for GPZ Trading L.L.C.; Market Maker

Edward V. Dolinar 01/02/98From: Nominee for GPZ Trading; Market MakerTo: Nominee for GPZ Trading L.L.C.; Market Maker

John W. Fickle 01/02/98From: Nominee for GPZ Trading; Market MakerTo: Nominee for GPZ Trading L.L.C.; Market Maker

Michael B. Hoban 01/02/98From: Nominee for GPZ Trading; Market MakerTo: Nominee for GPZ Trading L.L.C.; Market Maker

Andre C. Hughes 01/02/98From: Nominee for GPZ Trading; Market MakerTo: Nominee for GPZ Trading L.L.C.; Market Maker

Richard J. Iwanski 01/02/98From: CBT Exerciser Registered For GPZ Trading;

Market MakerTo: CBT Exerciser Registered For GPZ Trading L.L.C.;

Market Maker

Robert E. Klaskin 01/02/98From: Nominee for GPZ Trading; Market MakerTo: Nominee for GPZ Trading L.L.C.; Market Maker

Frederick J. Lovely 01/02/98From: Nominee for GPZ Trading; Market MakerTo: Nominee for GPZ Trading L.L.C.; Market Maker

Charles A. Maylee 01/02/98From: Nominee for GPZ Trading; Market MakerTo: Nominee for GPZ Trading L.L.C. Market Maker

Timothy J. Smock 01/02/98From: Nominee for GPZ Trading; Market MakerTo: Nominee for GPZ Trading L.L.C.; Market Maker

David R. Tilley 01/02/98From: Nominee for GPZ Trading; Market MakerTo: Nominee for GPZ Trading L.L.C.; Market Maker

Trevor J. Vernier 01/02/98From: CBT Exerciser Registered For GPZ Trading;

Market MakerTo: CBT Exerciser Registered For GPZ Trading L.L.C.;

Market Maker

Patrick J. McGuire 01/02/98From: Lessor to Scott A. SnyderTo: Nominee for Schroeder & Co. Incorporated;

Floor Broker/Lessor to Scott A. Snyder

Matthew G. Amberson 01/06/98From: CBT Exerciser Registered For AMBO General

Partnership; Market Maker, Floor BrokerTo: Nominee for AMBO General Partnership;

Floor Broker, Market Maker

Christopher J. Hart 01/06/98From: Nominee for Okoboji Options Inc.; Market MakerTo: Nominee for Okoboji Options Inc.; Market Maker,

Floor Broker

Robert J. Lane 01/02/98From: Nominee for Lakota Trading, Inc.;

Floor Broker, Market MakerTo: CBT Exerciser Registered For Lakota Trading, Inc.;


Howard M. Weinstein 01/02/98From: Lessor to Richard M. GabrielTo: Membership Owner; Market Maker

Kurt Hodak 01/02/98From: Nominee for Lakota Trading, Inc.;

Floor Broker, Market MakerTo: CBT Exerciser Registered For Lakota Trading, Inc.;


Raoul P. Rodriguez 01/02/98From: Nominee for The Helios Group Chicago L.L.C.;

Market MakerTo: Nominee for The Helios Group Illinois L.L.C. ;

Market Maker

John M. Legg 01/02/98From: Nominee for JFJ Traders Limited Partnership;

Market MakerTo: CBT Exerciser Registered For JFJ Traders Limited

Partnership; Market Maker

John M. Fusco 01/02/98From: Nominee for The Helios Group Chicago L.L.C.;

Market MakerTo: Nominee for The Helios Group Illinois L.L.C. ;

Market Maker

David M. Ofman 01/02/98From: Lessor to DBS Partners, L.P.To: Membership Owner; Floor Broker, Market Maker

David G. O’Donoghue 01/02/98From: CBT Exerciser Registered For New Concepts

L.L.C.; Floor Broker, Market MakerTo: CBT Exerciser; Floor Broker, Market Maker

Leo L. Libfeld 01/02/98From: Nominee for Schroder & Co. Incorporated;

Floor Broker; Lessor to LLL Investments, Inc.To: Nominee for LLL Investments, Inc.; Market Maker,

Floor Broker/Lessor to LLL Investments, Inc.

Kenneth J. Heinz 01/02/98From: CBT Exerciser Registered For The Helios Group

Chicago L.L.C.; Market MakerTo: Nominee for The Helios Group Illinois L.L.C. ;

Market Maker

Kevin J. Keller 01/02/98From: CBT Exerciser; Market MakerTo: CBT Exerciser Registered For KLR Trade

Corp. Inc.; Market Maker

John A. Koltes III 01/02/98From: CBT Exerciser Registered For Archelon L.L.C.;

Market MakerTo: Nominee for Archelon L.L.C.; Market Maker

Richard J. Bloss 01/02/98From: Nominee for GPZ Trading; Market MakerTo: Nominee for GPZ Trading L.L.C. ; Market Maker



Vincent J. Hart 01/06/98From: Nominee for Okoboji Options Inc.; Market MakerTo: Nominee for Okoboji Options Inc.; Market Maker,

Floor Broker


BNP Securities (U.S.A.), Inc. 01/06/98From: OCC Clearing; Stock Execution Service;

associated with a Floor BrokerTo: Non-Member Customer Business; OCC

Clearing Stock Execution Service; associatedwith a FloorBroker

MEMBER NAME CHANGES

Members Organizations Effective DateFrom: Dain Bosworth Incorporated 01/02/98To Dain Rauscher Incorporated

MEMBER ADDRESS CHANGES

Individual Members

Kevin A. Wales111 W. Jackson - Ste. 550Chicago, IL 60604

Position LimitsFor all equity options classes except those listed below, the standard position and exercise limits pursuant to Exchange Rule 4 .11 and4.12 will be applicable. For a complete list of all applicable lists, check 2nd floor data information bins or contact the Depa rtment ofMarket Surveillance.

AOL 50,000 contracts 1/17/98CNC/VIV 30,000 contracts 1/17/98BAY/ZBN/WBW/ 3,750,000 shares 1/17/98 ZBU/WBVCSN 15,000 contracts 1/17/98CXU/QQA/ 4,250,000 shares 1/17/98 VSD/WSDDKB 9,000 contracts 1/17/98EFQ 42,000 contracts 1/17/98FJ/HFZ 3,790,000 shares 1/17/98GE/WGE/VGE 50,000 contracts 1/17/98GWV/WAQ 4,750,000 shares 1/17/98HFZ/FJ 3,790,000 shares 1/17/98HNZ/ZHN/WHN/ 3,000,000 shares 1/17/98 HNX/ZHY/WHZHQB/HZ 825,000 shares 1/17/98PG/IPV 1,125,000 shares 1/17/98PHI 9,000 contracts 1/17/98PQK 15,000 contracts 1/17/98QQA/WSD/VSD 4,250,000 shares 1/17/98 CXUSCI 50,000 contracts 1/17/98TJX 21,000 contracts 1/17/98T/WT/ZTU/TZY 25,000 contracts 1/17/98BEL/VBU/LEU 4,400,000 shares 1/18/98NYZ/BEL/VBU/LEU 4,400,000 shares 1/18/98AES 15,000 contracts 2/21/98CQG 21,000 contracts 2/21/98GQA 21,000 contracts 2/21/98HOU/NAY 2,770,000 shares 2/21/98IS 9,000 contracts 2/21/98LVQ/LVU 1,050,000 shares 2/21/98MDT 50,000 contracts 2/21/98NSM/YRZ 4,550,000 shares 2/21/98PQP 21,000 contracts 2/21/98SC 13,500 contracts 2/21/98VUQ/VQU 1,575,000 shares 2/21/98WLL 15,000 contracts 2/21/98YRZ/NSM 4,550,000 shares 2/21/98

BAQ 10,500 contracts 3/21/98DO 21,000 contracts 3/21/98ESV 21,000 contracts 3/21/98HBI/WNU 7,500 contracts 3/21/98IR 1,575,000 shares 3/21/98PIR/PZW 1,250,000 shares 3/21/98RAQ/WYH 3,445,000 shares 3/21/98WYH/RAQ 3,445,000 shares 3/21/98CA/CWA 3,750,000 shares 4/18/98CZA/TMR 1,260,000 shares 4/18/98HHX/HRC 3,382,000 shares 4/18/98HRC/HHX 3,382,000 shares 4/18/98IBC 9,000 contracts 4/18/98IMG 459,000 shares 4/18/98KZQ/KZY 1,125,000 shares 4/18/98PWJ/PWZ 1,575,000 shares 4/18/98QOE/QZE 463,500 shares 4/18/98QTI/ZIT 1,125,000 shares 4/18/98ROK/ROX 10,500 contracts 4/18/98SUB/SUV 1,125,000 shares 4/18/98SFY/SYF 495,000 shares 4/18/98SFV 9,000 contracts 4/18/98TEO 15,000 contracts 4/18/98USI 1,125,000 shares 4/18/98AGE 1,125,000 shares 5/16/98BQF 21,000 contracts 5/16/98CDN 50,000 contracts 5/16/98CWQ 50,000 contracts 5/16/98DLP 997,500 shares 5/16/98HMA/HMZ 1,575,000 shares 5/16/98HRS 15,000 contracts 5/16/98LM 598,500 shares 5/16/98MZY/OFQ/OFZ 3,603,000 shares 5/16/98NOI 9,000 contracts 5/16/98OFQ/QFZ 3,000,000 shares 5/16/98QVY 15,000 contracts 5/16/98RKQ 21,000 contracts 5/16/98RWQ/RZW 937,500 shares 5/16/98SEI 9,000 contracts 5/16/98

Class Limit Date

William P. White430 S. WashingtonHinsdale, IL 60521

Robert J. Snyder3222 N. Seminary Ave.Chicago, IL 60657

Gregory Shenkman2679 N. Burling, #2Chicago, IL 60614


Alex. Brown & Sons, Inc.1 South StreetBaltimore, MD 21202

Bull PartnershipAttn: Marc R. Laguardia1316 W. George Street, #3Chicago, IL 60657

Class Limit Date

Effective Date


Class Limit DateVFC 15,000 contracts 5/16/98WPI 21,000 contracts 5/16/98XRQ 9,000 contracts 5/16/98AKS 9,000 contracts 6/20/98HP 9,000 contracts 6/20/98HQR/HZR 7,500 contracts 6/20/98OCN 9,000 contracts 6/20/98WAI/WZA 7,500 contracts 6/20/98KHQ/KHW 1,575,000 shares 6/20/98QEF 21,000 contracts 6/20/98UQD 15,000 contracts 6/20/98CQM/NWY 3,320,000 shares 7/18/98ENZ/ENX 472,500 shares 7/18/98EQD/EZD 937,500 shares 7/18/98MEA 15,000 contracts 7/18/98MOQ/MOZ 937,500 shares 7/18/98NWY/CQM 3,320,000 shares 7/18/98ORG/ORY 562,500 shares 7/18/98PQO 50,000 contracts 7/18/98QRT 21,000 contracts 7/18/98QTP/ZTP 4,500 contracts 7/18/98TCB 9,000 contracts 7/18/98UYQ 21,000 contracts 7/18/98IOM 50,000 contracts 8/22/98AAL/VHW 50,000 contracts 1/23/99BA/WBO/VBO 50,000 contracts 1/23/99CIQ/WCI/VHR 42,000 contracts 1/23/99CS 40,000 contracts 1/23/99CTC/WDT/VDT/ 4,462,500 ADSs 1/23/99 CUC/WZC/VXDKRB/VZK/KRW/VUK/ 4,500,000 shares 1/23/99 WKY/VKX

Class Limit DateMER/VME/LME 50,000 contracts 1/23/99MMM/WMU/VMU/ 25,000 contracts 1/23/99 VMVUQY/WZL/VUZ/ 6,875,000 shares 1/23/99THQ/VTH/LTHAIG/VAF/LAJ/AZG/ 3,750,000 shares 1/22/2000 VXE/LVJARC/VFR/LFR 40,000 contracts 1/22/2000BAC/VBA/LBA 50,000 contracts 1/22/2000BM/VIB/LIB 50,000 contracts 1/22/2000CYQ/VYC/LCY/CYZ 3,750,000 shares 1/22/2000 VYV/LYLDD/VDD/LDD 50,000 contracts 1/22/2000EMC 50,000 contracts 1/22/2000HWP/VSZ/WZY/VVX 32,500 contracts 1/22/2000LUV/VUV/LOV/ 3,000,000 shares 1/22/2000 LYU/VUY/LVWMTC/VM/LCT/MZM 25,000 contracts 1/22/2000 VZV/LYCORQ/VOR/LRO/OWQ 3,750,000 shares 1/22/2000 VZR/LRZ/WOUPEP/VP/LPP/PVP/ 25,000 contracts 1/22/2000 VPR/LDVSCH/VYS/LWS 1,575,000 shares 1/22/2000 SYH/VZY/LWZSLB/VWY/LYS 50,000 contracts 1/22/2000SLM/VRM/LOS/SLZ/ 2,625,000 shares 1/22/2000 VZL/LYMTXN/VXT/LTN 50,000 contracts 1/22/2000VSZ/WZY/VVX/HWP 32,500 contracts 1/22/2000WMB/VBB/LMB 21,000 contracts 1/22/2000MOB/VML/LML 50,000 contracts 2/19/2000

Position Limit Circulars

Position Limit Circular PL98-05

DATE: January 5, 1998

TO: Members and Member Organizations

FROM: Department of Market Regulation

RE: Equity Option Position and Exercise Limits

As a result of a review of trading statistics, the following classes now qualify for a higher position and exercise limit:

Option Class New Tier HP 10,500 MQL 10,500

RYA 20,000

YPQ/VX 2,500,000* Shares

*Position reflected in shares due to a Merger. After May 16, 1998, the position and exercise limit will revert to 25,000 Contracts of YPQ.

For additional information, please contact Karen Charleston at (312) 786-7724 in the Department of Market Regulation.

Position Limit Circular PL98-06


TO: Members and Member Organizations

FROM: Department of Market Regulation

RE: Equity Option Position and Exercise Limits

The position and exercise limits in the Acclaim Entertainment, Inc. (KKQ), American Radio Systems Corp. (AFM), ASM Lithography Holding N.V. (MFQ),Best Buy Co., Inc. (BBY), Comverse Technology (CQV), Computervision Corporation (CVN), Donna Karan International, Inc. (DK), Indigo (DQF),Intimate Brands Inc. (IBI), Kent Electronic Corp. (KNT), Liz Claiborne Inc. (LIZ), Loral Space & Communications Ltd. (LOR), Matrix Pharmaceuticals,Inc. (QTA), Premark International (PMI), Presstak, Inc. (PQK), Ramtron International Corp. (RQM), Retrix (QXD), classes of options were scheduledto be decreased after the June 1997, expiration. However, as a result of a review of trading statistics, it has been determined that AFM, DK, DQF, KNT,QTA, PMI, PQK and RQM’s position and exercise limits will remain unchanged at 7,500 contracts, BBY, CQV, CVN, IBI, KKQ, LIZ, and QXD’s positionand exercise limits will remain unchanged at 10,500 contracts and LOR and MFQ’s position and exercise limits will remain unchanged at 20,000contracts.

For additional information, please contact Karen Charleston at (312) 786-7724 in the Department of Market Regulation.


Position Limit Circular PL98-07Effective January 20, 1998

Unhedged Position and Exercise Limits

Pursuant to Exchange Rule 4.11, Interpretation .02 and Exchange Rule 4.12, all securities underlying the Exchange’s listed equity options have beenreviewed to determine which options are eligible for either the 25,000, 20,000, 10,500, 7,500 or 4,500 contract position and exercise limits. Accountswhich are directly or indirectly controlled by the same individual or entity must be aggregated to determine compliance with the position and exerciselimit rules. Unless specifically mentioned, this notice refers to unhedged position and exercise limits.

To be eligible for the 25,000 tier limit either:

a. the number of outstanding shares must be at least 300 million and the past six-month trading volume in the underlying security must havetotaled at least 75 million shares, or

b. the past six-month trading volume in the underlying security must be at least 100,000 million shares.



b. the past six-month trading volume in the underlying security must be at least 80,000 million shares.



b. the past six-month trading volume in the underlying security must be at least 40 million shares.



b. the past six-month trading volume in the underlying security must be at least 20 million shares.

Position and exercise limits for equity options whose underlying security fails to meet any of the above criteria will be 4,500 option contracts.

NOTE: Exchange Rules 4.11 and 4.12 also provide for equity option positions hedged with 100 shares of the underlying security or securities readilyconvertible into stock to be three times the standard limit for determining position and exercise limit compliance. The exemption applies tocustomer, firm and market-maker accounts. The exemption is automatic for accounts that have established one of the following four hedgestrategies: long call/short stock, short call/long stock, long put/long stock, short put/short stock. As an example, a member or customermaintaining a short position of 5,000,000 shares of IBM common stock may establish a maximum long call, short put position of 75,000 IBMoption contracts provided that two-thirds or 50,000 option contracts are hedged as described above. Members should also be reminded thatthe hedge must be established prior to exceeding the standard limit and generally must be held in the same account as the option positions.

Equity Flex options positions shall not be aggregated with positions in non-Flex equity options for position and exercise limit compliance purposes.

In addition, pursuant to Exchange Rule 24.4A, Exchange listed industry index options have also been reviewed to determine which options are eligiblefor either the 15,000, 12,000, or 9,000 contract position limit. These limits are also reflected on the attached listing.

Following is a list of CBOE options with their applicable limits. Those option classes which now qualify for a higher tier limit will have the 25,000, 20,000,10,500 or 7,500 contract limit effective Tuesday, January 20, 1998.1 For those equity option classes whose limit has fallen to a lower tier (noted by asingle, double, triple, or quadruple asterisk) the limit will be reduced effective the dates as noted. For those industry index options whose limit has fallento a lower tier (noted by a single or double pound (#) sign) the limit will also be reduced effective the dates as noted.

Also included is a list of option classes which have special position and exercise limits due to stock splits, dividends, or mergers.

Please refer to the Exchange Bulletin for updates of non-standard position and exercise limits due to adjustments in the underlying securities, such asstock splits, stock dividends, etc.

The general review for eligibility of equity and narrow based index options will be conducted again in July, 1998. If prior to the six-month review, anunderlying security for an equity option qualifies for a higher limit based on criteria met as defined in Exchange Rule 4.11, the position and exercise limitwill be increased at that time. Industry index option position and exercise limits may also be increased prior to the July, 1998, review if the criteria asdefined in Exchange Rule 24.4A is met.

Any questions concerning position and exercise limits should be directed to Patricia Cerny (312) 786-7722 or Karen Charleston (312) 786-7724.

1Monday, January 19, 1998, was an Exchange holiday.


EFFECTIVE DATE 1/20/98

UNDERLYING STOCK SYMBOL POSITIONA.G. EDWARDS, INC. AGE *****AAMES FINANCIAL CORP. AAM 20,000 ***ABACAN RESOURCE CORP. (ABACF) AQY 25,000 ***ABERCROMBIE & FITCH COMPANY ANF 7,500ABITIBI-CONSOLIDATED INC. ABY 4,500ABN AMRO HOLDING NV ADR AAN 4,500ACCESS HEALTH, INC. (ACCS) QQC 10,500 **ACCLAIM ENTERTAINMENT, INC. (AKLM) KKQ 10,500ACCUSTAFF, INC. ASI 20,000 ***ACT NETWORKS, INC. (ANET) QTE 7,500ACTION PERFORMANCE COMPANIES, INC. (ACTN) QNC 7,500ACTIVISION, INC. (ATVI) AQV 7,500ADVANCED ENERGY INDUSTRIES, INC. (AEIS) OEQ 7,500ADVANTA CORP. (ADVNA) AVQ 20,000 ***AERIAL COMMUNICATIONS, INC. (AERL) IQA 7,500AES CORP. AES *****AGNICO-EAGLE MINES LTD. AEM 7,500 *AGOURON PHARMACEUTICALS, INC. (AGPH) GQA 25,000AGRIBIO TECH, INC. (ABTX) QXQ 10,500AGRIUM, INC. AGU 10,500AIRTOUCH COMMUNICATION, INC. ATI 25,000AIRTRAN HOLDINGS, INC. (AAIR) VJQ 25,000 ***AK STEEL HOLDING CORPORATION AKS *****ALBEMARLE CORP. ALB 4,500ALBERTO CULVER CO. ACV 4,500ALBERTO CULVER CO. CLASS A (ACV.A) ACJ 4,500ALCATEL ALSTHOM ALA 10,500ALLEGHENY TELEDYNE INCORPORATED ALT 10,500ALLEGIANCE CORP. AEH 10,500 **ALLIANCE CAPITAL MANAGEMENT AC 4,500ALLIANCE PHARMACEUTICAL CORP. (ALLP) AYQ 7,500ALLIANCE SEMICONDUCTOR CORP. (ALSC) QAS 10,500ALLIANT TECHSYSTEMS INC. ATK 4,500ALLIED WASTE INDUSTRIES, INC (AWIN) WQN 10,500ALLSTATE CORPORATION ALL 25,000ALPHA-BETA TECHNOLOGY, INC. (ABTI) IQD 10,500ALTERA CORPORATION (ALTR) LTQ 25,000ALTERNATIVE RESOURCES CORP. (ALRC) EQM 7,500 *ALTRON, INC. (ALRN) NQR 7,500ALUMINUM CO. OF AMERICA AA 20,000ALYDAAR SOFTWARE CORPORATION (ALYD) QLI 4,500AMATI COMMUNICATIONS CORP. (AMTX) ARQ 10,500AMAX GOLD INC. AU 7,500AMAZON.COM, INC. (AMZN) ZQN 10,500AMBRESCO, INC. (AMMB) UKQ 10,500AMERICA WEST HOLDINGS CORPORATION AWA 10,500AMERICAN ECO CORPORATION (ECGOF) EOQ 10,500AMERICAN ELECTRIC POWER CO., INC. AEP 10,500AMERICAN EXPRESS CO. AXP 25,000AMERICAN GENERAL CORP. AGC 10,500AMERICAN INTERNATIONAL GROUP, INC. AIG *****AMERICAN MANAGEMENT SYSTEMS, INC. (AMSY) YAQ 10,500AMERICAN MOBILE SATELLITE CORP. (SKYC) KQF 4,500AMERICAN ONCOLOGY RESOURCES, INC. (AORI) QIA 10,500AMERICA ONLINE INC. AOL 25,000AMERICAN POWER CONVERSION CORP.(APCC) PWQ 25,000AMERICAN RADIO SYSTEMS CORP. AFM 7,500AMERICAN STANDARD CORP. ASD 10,500AMERICAN STORES COMPANY ASC 25,000AMERICREDIT CORP. ACF 7,500AMERITECH AIT 25,000AMES DEPARTMENT STORES (AMES) QAF 10,500 **AMOCO CORPORATION AN 25,000AMP, INC. AMP 20,000AMPEX CORP. AXC 7,500AMWAY ASIA PACIFIC LTD. AAP 4,500ANADARKO PETROLEUM CORPORATION APC 7,500ANADIGICS, INC. (ANAD) DQA 7,500ANDREA ELECTRONICS CORPORATION AND 10,500ANDREW CORP. (ANDW) AQN 25,000ANGEION CORP, (ANGN) GCQ 7,500ANIXTER INTERNATIONAL INC. AXE 4,500ANN TAYLOR STORES CORP. ANN 10,500 **ANTEC CORPORATION (ANTC) AQC 7,500APACHE CORP. APA 10,500APEX PC SOLUTIONS INC. (APEX) PXQ 7,500APOLLO GROUP INC. (APOL) OAQ 10,500 **APPLEBEE’S INTERNATIONAL, INC. (APPB) AQB 10,500APPLIX, INC. (APLX) LQX 10,500 **APPLE SOUTH, INC. (APSO) SQO 10,500APPLIED MAGNETICS CORPORATION APM 25,000APRIA HEALTHCARE GROUP INC. AHG 10,500 **ARACRUZ CELLULOSE SA ARA 7,500ARBOR SOFTWARE CORPORATION (ARSW) WQE 7,500

ARCADIA FINANCIAL LTD. AAC 10,500 **ARCTIC CAT INC. (ACAT) AQO 4,500ARKANSAS BEST CORPORATION (ABFS) QFA 7,500ARTERIAL VASCULAR ENGINEERING, INC. (AVEI) GQZ 10,500ASA HOLDINGS, INC. (ASAI) AIQ 7,500 *ASCEND COMMUNICATIONS (ASND) QQA *****ASM INTERNATIONAL N.V. (ASMIF) IQB 7,500ASM LITHOGRAPHY HOLDING NV (ASMLF) MFQ 25,000ASSOCIATED BANC-CORP (ASBC) QVS *****ASSOCIATED FIRST CAPITAL CORP. AFS 10,500 **ASTORIA FINANCIAL CORPORATION (ASFC) AQR 4,500AT HOME CORPORATION (ATHM) AHQ 20,000AT&T CORP. T 25,000ATC COMMUNICATIONS GROUP, INC. (ATCT) AGQ 10,500 **ATLANTIC RICHFIELD CO. ARC *****ATLAS AIR, INC. (CGO) CGO 7,500ATMEL CORPORATION (ATML) AQT 25,000AU BON PAIN CO., INC. (ABPCA) BPQ 4,500AUSPEX SYSTEMS, INC. (ASPX) AQX 10,500 **AUTOLIV, INC. ALV 7,500AUTOZONE INC. AZO 25,000 ****AVID TECHNOLOGY INC. (AVID) AQI 10,500AVIRON (AVIR) QCV 7,500AVIS RENT A CAR, INC. AVI 10,500AVON PRODUCTS, INC. AVP 25,000AVX CORP. AVX 7,500AZTAR CORPORATION AZR 10,500 **B.F. GOODRICH COMPANY GR 10,500BA MERCHANT SERVICES, INC. BPI 4,500BAAN COMPANY NV (BAANF) BQF 25,000BAKER (J.) INC. (JBAK) JBQ 4,500BALLARD POWER SYSTEMS, INC. (BLDPF) DFQ 4,500BANCO FRANCES DEL RIO DE LA PLATA S.A. ADR BFR 7,500BANK OF NEW YORK CO. BK 25,000BANKAMERICA CORP. BAC *****BANCTEC, INC. BTC 4,500BANTA CORP. (BNTA) BQQ 4,500BARNES AND NOBLE, INC. BKS 10,500BATTLE MOUNTAIN GOLD CO. BMG 20,000 ***BAXTER INTERNATIONAL, INC. BAX 25,000BAY NETWORKS, INC. BAY 25,000BB&T CORPORATION BBK 10,500BEA SYSTEMS, INC. (BEAS) BRQ 10,500BEAR STEARNS COMPANIES BSC 10,500BECKMAN INSTRUMENTS, INC. BEC 4,500BED BATH & BEYOND INC. (BBBY) BHQ 10,500BELL ATLANTIC CORP. BEL 25,000BELLWETHER EXPLORATION CO. (BELW) UQQ 7,500BELO (A.H.) CORP. BLC 7,500 *BEMA GOLD CORP. BGO 10,500BERGEN BRUNSWIG CORPORATION BBC 10,500BEST BUY CO., INC. BBY 10,500BETHLEHEM STEEL CORP. BS 25,000BIOCHEM PHARMA, INC. (BCHE) BQX 25,000BIOGEN INC. (BGEN) BGQ 25,000BIOMET, INC. (BMET) BIQ 20,000 ***BIO-TECHNOLOGY GENERAL CORP. (BTGC) QTG 25,000 ***BIOVAIL CORPORATION INTERNATIONAL BVF 4,500BIO-VASCULAR, INC. (BVAS) BVQ 4,500BIRMINGHAM STEEL CORPORATION BIR 4,500BJ SERVICES COMPANY BJS 10,500BJ’S WHOLESALE CLUB, INC. BJ 4,500BLACK & DECKER MANUFACTURING CO. BDK 10,500BMC SOFTWARE, INC. (BMCS) BCQ 25,000BOEING CO. BA *****BOISE CASCADE CORP. BCC 10,500 **BOISE CASCADE OFFICE PRODUCTS CORPORATION BOP 4,500BORDEN CHEMICALS AND PLASTICS L.P. BCU 4,500BORDERS GROUP, INC. BGP 10,500 **BORLAND INTL. INC. (BORL) BLQ 25,000 ***BOSTON CHICKEN, INC. (BOST) BQN 25,000BOSTON COMMUNICATIONS GROUP, INC. (BCGI) QGB 7,500BOSTON SCIENTIFIC CORPORATION BSX 25,000BRIGHTPOINT, INC. (CELL) QEF 25,000BRISTOL-MYERS SQUIBB CO. BMY 25,000BRITISH SKY BROADCASTING GROUP PLC ADS BSY 4,500BRITISH STEEL PLC ADS BST 10,500BRITISH TELECOMMUNICATIONS PLC BTY 10,500BROADBAND TECHNOLOGIES, INC. (BBTK) BQK 7,500BRODERBUND SOFTWARE, INC. (BROD) BDQ 10,500BROOKS AUTOMATION, INC. (BRKS) BQE 7,500

UNDERLYING STOCK SYMBOL POSITION


BRUNSWICK CORP. BC 10,500BUFFETS, INC. (BOCB) BOQ 7,500BURLINGTON NORTHERN SANTA FE CORP. BNI 10,500BURR BROWN CORP. (BBRC) BQB 7,500BUSINESS OBJECTS S.A. ADR (BOBJY) BBQ 10,500C-CUBE MICROSYSTEMS, INC. (CUBE) UQB 25.000CABLE & WIRELESS PLC ADS CWP 10,500 **CABLEVISION SYSTEMS CORPORATION CVC 4,500CABOT CORPORATION CBT 7,500CADENCE DESIGN SYSTEMS, INC. CDN *****CAIRN ENERGY USA, INC. (CEUS) CZA *****CALIFORNIA AMPLIFIER, INC. (CAMP) QPM 10,500 *CALLAWAY GOLF CO. ELY 10,500CAMPBELL SOUP COMPANY CPB 25,000CANADIAN NATIONAL RAILWAY COMPANY CNI 10,500CANADIAN OCCIDENTAL PETROLUEM LTD. CXY 7,500CAPITAL ONE FINANCIAL COF 10,500CARDIO THORACIC SYSTEMS INC. (CTSI) QAO 4,500CARNIVAL CORPORATION CCL 10,500CARRAMERICA REALTY CORP. CRE 7,500 *CARTER-WALLACE, INC. CAR 4,500CASEY’S GENERAL STORES, INC. (CASY) YQC 4,500CATALYTICA INC. (CTAL) QAN 7,500CATELLUS DEVELOPMENT CORP. CDX 7,500CATO CORPORATION (CACOA) CQO 7,500CBT GROUP PLC ADR (CBTSY) QAG 7,500CDW COMPUTER CENTERS, INC. (CDWC) DWQ 7,500 *CELGENE CORP. (CELG) LQH 4,500CELL GENESYS, INC. (CEGE) QII 7,500CELLPRO, INC. (CPRO) CQP 4,500CELLSTAR CORP. (CLST) EQL 20,000CELLULAR TECHNICAL SERVICES CO. (CTSC) CVQ 10,500CENDANT CORPORATION CD *****CENTEX CORPORATION CTX 4,500CENTOCOR INC. (CNTO) COQ 25,000CENTRAL GARDEN AND PET CO. (CENT) EQH 7,500CENTURY COMMUNICATIONS CORPORATION (CTYA) CQA 7,500CEPHALON INC. (CEPH) CQE 20,000 ***CERIDIAN CORP. CEN 10,500CERNER CORP. (CERN) CQN 10,500CHAMPION INTERNATIONAL CORP. CHA 10,500CHARLES SCHWAB CORPORATION (THE) SCH *****CHECKFREE HOLDINGS CORPORATION (CKFR) FCQ 10,500CHECK POINT SOFTWARE TECHNOLOGIES LTD. (CHKPF) KEQ 10,500CHIRON CORP. (CHIR) CIQ *****CHOLESTECH CORPORATION (CTEC) QDT 4,500CHRIS-CRAFT INDUSTRIES, INC. CCN 4,500CHRONIMED, INC. (CHMD) HQC 4,500CHRYSLER CORP. C 25,000CHS ELECTRONICS, INC. (CHSE) KZQ *****CHUBB CORPORATION CB 10,500CIDCO, INC. (CDCO) OQI 7,500 *CIENA CORPORATION, INC. (CIEN) EUQ 25,000CIGNA CORP. CI 7,500CINCINNATI BELL INC. CSN 10,500CINERGY CORP. CIN 10,500CIRCUIT CITY STORES, INC. KMX 10,500 *CIRRUS LOGIC, INC. (CRUS) CUQ 25,000CISCO SYSTEMS, INC. (CSCO) CYQ *****CITICORP CCI 25,000CITRIX SYSTEMS, INC. (CTXS) XSQ 25,000CITY NATIONAL CORP. CYN 4,500CITYSCAPE FINANCIAL CORP. (CTYS) YQA 25,000CKE RESTAURANTS, INC. CKR *****CLAIRES STORES INC. CLE 10,500CLARIFY, INC. (CLFY) QCY 20,000 ***CLAYTON HOMES CMH 10,500 **CLEAR CHANNEL COMMUNICATIONS, INC. CCU 10,500CLIFFS DRILLING CO. CDG 7,500CMS ENERGY CORPORATION CMS 7,500CNF TRANSPORATION INC. CNF 10,500 **CNS, INC. (CNXS) CQX 7,500COAST SAVINGS FINANCIAL, INC. CSA 4,500COASTAL CORP. CGP 7,500COCA-COLA CO. KO 25,000COCA-COLA ENTERPRISES, INC. CCE 25,000COCA-COLA FEMSA S.A. KOF 7,500COEUR D’ALENE MINES CORPORATION CDE 7,500COFLEXIP SA ADR (CXIPY) QCP 7,500COHO ENERGY, INC. (COHO) QHO 10,500COLGATE PALMOLIVE CO. CL 25,000COLUMBIA HCA/HEALTHCARE CORPORATION COL 25,000COLUMBIA LABORATORIES, INC. COB 7,500COMAIR HOLDINGS INC. (COMR) KHQ *****COMMONWEALTH INDUSTRIES, INC, (CMIN) LQC 4,500

COMPANHIA CERVEJARIA BRAHMA ADR BRH 10,500COMPANIA ANONIMA NACIONAL TELEFONOS DE VENEZUELA VNT 10,500COMPANIA DE TELECOMUICACIONES CTC ***** DE CHILE S.A.COMPUCOM SYSTEMS, INC. (CMPC) ICQ 10,500COMPUSA INC. CPU 25,000COMPUSERVE CORP. (CSRV) QSV 10,500COMPUTER ASSOCIATES INTERNATIONAL INC. CA *****COMPUTER HORIZONS CORP. (CHRZ) ZQH 10,500COMPUTER PRODUCTS, INC. (CPRD) DQP 10,500COMPUTER SCIENCES CORP. CSC 10,500COMPUTERVISION CORPORATION CVN 10,500COMPUWARE CORPORATION (CPWR) CWQ *****COMSHARE, INC. (CSRE) RQJ 7,500 *COMVERSE TECHNOLOGY (CMVT) CQV 10,500CONCENTRA MANAGED CARE, INC. (CCMC) QYS 10,500CONSECO, INC. CNC 25,000CONSOLIDATED FREIGHTWAYS CORP. (CFWY) XQF 10,500 **CONSOLIDATED GRAPHICS, INC. CGX 4,500CONTINENTAL AIRLINES, INC. (CAI.B) CAI 10,500COREL CORP. (COSFF) CQF 7,500CORESTAFF, INC. (CSTF) EQB 10,500CORNING INCORPORATED GLW 25,000CORPORATE EXPRESS, INC. (CEXP) XQP 25,000CORRECTIONS CORP. OF AMERICA CXC 10,500COTT CORPORATION (COTTF) CQT 7,500COULTER PHARMACEUTICAL, INC. (CLTR) QCE 4,500COVANCE INC. CVD 10,500 **COVENTRY CORP. (CVTY) OVQ 10,500COX COMMUNICATIONS COX 10,500COX RADIO, INC. CXR 4,500CREATIVE TECHNOLOGY (CREAF) RFQ 25,000CREE RESEARCH, INC. (CREE) CQR 7,500CSG SYSTEMS INTERNATIONAL, INC. (CSGS) QGA 4,500CUMMINS ENGINE COMPANY INC. CUM 7,500CURATIVE HEALTH SERVICES, INC. (CURE) NQH 4,500CYBERGUARD CORPORATION (CYBG) HFQ 4,500CYBERONICS, INC. (CYBX) QAJ 7,500CYLINK CORP. (CYLK) YQB 7,500CYMER INC. (CYMI) CQG 25,000CYPRESS SEMICONDUCTOR CORP. CY 25,000CYPRUS AMAX MINERALS COMPANY CYM 10,500CYRIX CORP. (CYRX) YRZ *****CYTYC CORP. (CYTC) YQK 7,500CYTOTHERAPEUTICS, INC. (CTII) QIT 4,500DAIMLER BENZ AG DAI 4,500DAMARK INTERNATIONAL, INC. (DMRK) DQN 4,500DANA CORPORATION DCN 7,500DARDEN RESTAURANTS, INC. DRI 10,500DATA BROADCASTING CORP. (DBCC) BQD 4,500DATA DIMENSIONS INC. (DDIM) QM 10,500DATAWORKS CORPORATION (DWRX) XBQ 7,500DAVE & BUSTER’S INC. (DANB) QUB 7,500DEKALB GENETICS CORP.-CLASS B DKB *****DELTA AIR LINES, INC. DAL 20,000 ***DELTA & PINE LAND COMPANY DLP *****DELTA WOODSIDE INDUSTRIES, INC. DLW 4,500DENTSPLY INTERNATIONAL INC. (XRAY) XRQ *****DESIGNER HOLDINGS LTD. (DSH) DSZ 7,500DETROIT DIESEL CORP. DDC 4,500DEUTSCHE TELEKOM AG ADR DT 7,500DIAMOND MULTIMEDIA SYSTEMS, INC (DIMD) DAQ 20,000DIAMOND OFFSHORE DRILLING, INC. DO 25,000DIGITAL EQUIPMENT CORP. DEC 25,000DONALDSON LUFKIN & JENRETTE INC. DLJ 4,500DONNA KARAN INTERNATIONAL, INC. DK 7,500DOUBLETREE CORPORATION (TREE) KOZ *****DOW CHEMICAL CO. DOW 25,000 ****DREXLER TECHNOLOGY CORPORATION (DRXR) RXQ 4,500DSP GROUP, INC. (DSPG) DPQ 10,500DSP COMMUNICATIONS, INC. (DSP) DQC 25,000 ****DURA PHARMACEUTICALS, INC. (DURA) DQR 10,500DURAMED PHARMACEUTICALS, INC. (DRMD) DUQ 7,500E.I. DUPONT DE NEMOURS & CO. DD *****EAGLE HARDWARE & GARDEN (EAGL) HGQ 10,500EASTMAN CHEMICAL COMPANY EMN 7,500EASTMAN KODAK CO. EK 25,000EATON CORP. ETN 7,500ECHOSTAR COMMUNICATIONS CORP. (DISH) QHS 7,500ECI TELECOM LTD. (ECILF) ECQ 10,500ECOLAB INC. ECL *****8X8, INC. (EGHT) EDQ 7,500EINSTEIN/NOAH BAGEL CORP. (ENBX) BXQ 10,500ELAN CORPORATION, PLC ADRs ELN 7,500ELECTROGLAS, INC. (EGLS) EIQ 10,500ELECTRONIC ARTS (ERTS) EZQ 25,000

UNDERLYING STOCK SYMBOL POSITION UNDERLYING STOCK SYMBOL POSITION


ELECTRO SCIENTIFIC INDUSTRIES, INC. (ESIO) EQO 4,500ELECTRONICS FOR IMAGING, INC. (EFII) EFQ 25,000ELF AQUITAINE ADS ELF 10,500 **EMC CORP. EMC *****EMISPHERE TECHNOLOGIES, INC. (EMIS) MTQ 7,500 *EMPLOYEE SOLUTIONS, INC. (ESOL) OQC 25,000 ***EMPRESAS ICA SOCIEDAD CONTROLADORA S.A. DE C.V. ICA 10,500EMPRESAS LA MODERNA S.A. DE C.V. ELM 4,500ENCAD, INC. (ENCD) QEM 10,500ENDOSONICS CORP. (ESON) QEN 7,500ENERGY GROUP PLC ADS TEG 25,000 **ENGLEHARD CORP. EC 10,500ENRON CORP. ENE 25,000ENRON OIL & GAS EOG 10,500ENSCO INTERNATIONAL, INC. ESV 25,000ENTERGY CORPORATION ETR 25,000ENTREMED, INC. (ENMD) QMA 4,500ENZO BIOCHEM, INC. ENZ *****EPITOPE, INC. (EPTO) QTP *****EQUITABLE COMPANIES INCORPORATED EQ 10,500EQUITY CORPORATION INTERNATIONAL EQU 4,500ERICSSON (L.M.) TELEPHONE CO. (ERICY) RQC 25,000ESC MEDICAL SYSTEMS LIMITED (ESCMF) QFC 10,500ESS TECHNOLOGY, INC. (ESST) SEQ 25,000 ****ESTEE LAUDER COMPANIES INC. EL 7,500E*TRADE GROUP, INC. (EGRP) QGR 25,000EVEREST REINSURANCE HOLDINGS INC. RE 7,500 *EVI, INC. EVI 10,500EXABYTE CORPORATION (EXBT) EXQ 10,500 **EXCALIBUR TECHNOLOGIES CORP. (EXCA) XQA 4,500EXCEL COMMUNICATIONS, INC. ECI 7,500EXCEL TECHNOLOGY, INC. (XLTC) XNQ 7,500EXCITE, INC. (XCIT) KQB 10,500EXECUTIVE TELECARD LTD. (EXTL) XTQ 7,500EXTENDED STAY AMERICA, INC. ESA 10,500 **EXXON CORP. XON 25,000FAMILY GOLF CENTERS (FGCI) JZQ 7,500FASTCOMM COMMUNICATIONS CORP. (FSCX) FXQ 4,500FEDDERS CORPORATION FJC 4,500FEDERAL EXPRESS CORP. FDX 10,500FEDERATED DEPARTMENT STORES, INC. FD 25,000FIELDCREST CANNON FXL 4,500FILA HOLDING S.P.A. ADR FLH 10,500 **FILENET CORP. (FILE) ILQ 10,500FINGERHUT CO. INC. FHT 7,500FINISH LINE, INC. (FINL) FQN 10,500FIRST AMERICAN CORP. OF TENNESSEE (FATN) EQJ 10,500 **FIRST CHICAGO NBD CORPORATION FCN 25,000FIRST COMMERCE CORPORATION (FCOM) OZQ 7,500FIRST DATA CORPORATION FDC 25,000FIRST FINANCIAL CORPORATION (FFHC) FXH *****FIRST HAWAIIAN, INC. (FHWN) WQW 4,500FIRST HEALTH GROUP CORPORATION (FHCC) HLQ 10,500 **FIRST SECURITY CORPORATION (FSCO) FQB 10,500 **FIRSTAR CORP. FSR 10,500 **FISHER SCIENTIFIC INTERNATIONAL, INC. FSH 7,500FLORIDA PANTHERS HOLDINGS INC. PAW 4,500FLOWSERVE CORPORATION FLS 7,500FLUOR CORP. FLR 20,000FMC CORPORATION FMC 4,500FOAMEX INTERNATIONAL, INC. (FMXI) FQX 4,500FOODMAKER, INC. FM 7,500FORD MOTOR CO. F 25,000FORE SYSTEMS, INC. (FORE) FQO 25,000FOREST LABORATORIES, INC. FRX 7,500FOREST OIL CORP. FST 4,500FORT JAMES CORPORATION FJ 25,000FORTE SOFTWARE, INC. (FRTE) RQF 10,500 **FOUNDATION HEALTH SYSTEMS, INC. FHS 10,500FPA MEDICAL MANAGEMENT, INC. (FPAM) FFQ 25,000FREEPORT-MC MORAN COPPER & GOLD INC. FCX 10,500FREEPORT-MC MORAN INC. FTZ *****FRESENIUS MEDICAL CARE AG ADS FMS 20,000 **FRIEDE GOLDMAN INTERNATIONAL INC. (FGII) FQG 10,500FRITZ COMPANIES, INC. (FRTZ) TQZ 10,500 **FRONTIER CORPORATION FRO 10,500FRUIT OF THE LOOM INC. FTL 10,500FSI INTERNATIONAL (FSII) FQH 7,500FTP SOFTWARE, INC. (FTPS) FQS 7,500FUISZ TECHNOLOGIES LTD. (FUSE) QML 7,500FURNITURE BRANDS INTERNATIONAL, INC. FBN 7,500GADZOOKS, INC. (GADZ) EQK 10,500GAP INC. GPS *****GALILEO INTERNATIONAL, INC. GLC 10,500GALOOB TOYS, INC. GAL 7,500GARDEN RIDGE CORP. (GRDG) DQQ 4,500

GARTNER GROUP (GART) GQT 20,000GATEWAY 2000 INC. GTW 25,000GAYLORD CONTAINER CORP. GCR 7,500GAYLORD ENTERTAINMENT COMPANY GET 7,500 *GEMSTAR INTERNATIONAL GROUP LTD. (GMSTF) QLF 7,500GENCORP GY 7,500GENERAL CABLE CORP. GCN 4,500GENERAL DATACOMM INDUSTRIES, INC. GDC 7,500GENERAL DYNAMICS CO. GD 7,500GENERAL ELECTRIC CO. GE 25,000GENERAL MOTORS CORP. GM 25,000GENERAL MOTORS CORP. CLASS H GMH 10,500GENERAL NUTRITION COMPANIES, INC. (GNCI) GQN 25,000GENUS INC. (GGNS) GQG 4,500GENZYME CORPORATION (GENZ) GZQ 25,000 ****GENZYME GENERAL DIVISION CORP. (GENZL) YQZ 7,5004,500GENZYME TRANSGENICS CORPORATION (GZTC) GEQ 4,500GEOTEK COMMUNICATIONS, INC. (GOTK) GKQ 20,000GERON CORPORATION (GERN) GQD 10,500GILAT SATELLITE NETWORKS LTD. (GILTF) FQI 4,500GLAMIS GOLD LTD. GLG 4,500GLENAYRE TECHNOLOGIES, INC. (GEMS) GQM 25,000GLOBAL MARINE, INC. GLM 25,000GLOBALSTAR TELECOMMUNICATIONS LTD. (GSTRF) YVQ 7,500GOLDEN STAR RESOURCES LTD. GSR 4,500GOLDEN STATE BANCORP, INC. GSB 7,500GOOD GUYS, INC. (GGUY) GQU 4,500GPU, INC. GPU 10,500GRAHAM FIELD HEALTH PRODUCTS GFI 7,500 *GRAND CASINOS, INC. GND 10,500 **GREAT LAKES CHEMICAL GLK 10,500 **GREEN TREE FINANCIAL CORP. GNT 25,000GREY WOLF, INC. GW 25,000GRIFFON CORPORATION GFF 4,500GRUPO TELEVISA, S.A. TV 25,000 ***GRUPO TRIBASA S.A. GTR 10,500GST TELECOMMUNICATIONS, INC. GST 7,500GT INTERACTIVE SOFTWARE CORP. (GTIS) GQB 7,500GTECH HOLDINGS CORPORATION GTK 7,500GUCCI GROUP, INC. GUC 10,500GUESS?, INC. GES 7,500 *GUILFORD PHARMACEUTICALS, INC. (GLFD) GQF 7,500GULF CANADA RESOURCES LTD. GOU 25,000GULF ISLAND FABRICATION, INC. (GIFI) QIF 7,500GULF INDONESIA RESOURCES, LTD. GRL 7,500GULF SOUTH MEDICAL SUPPLY, INC. (GSMS) MQG 7,500GULFSTREAM AEROSPACE CORP. GAC 7,500GYMBOREE CORPORATION (THE) (GYMB) GMQ 10,500 **H.J. HEINZ COMPANY HNZ 25,000HADCO CORPORATION (HDCO) HQO 10,500HAEMONETICS CORPORATION HAE 4,500HAIN FOOD, INC. (HAIN) QQH 7,500HALLIBURTON CO. HAL *****HAMBRECHT & QUIST GROUP HQ 4,500HANNA (M.A.) COMPANY MAH 4,500HANSON TRUST, P.L.C. HAN 20,000 **HARCOURT GENERAL, INC. H 7,500HARLAND (JOHN H.) COMPANY JH 4,500HARMAN INTERNATIONAL INDUSTRIES, INC. HAR 4,500HARMONIC LIGHTWAVES, INC. (HLIT) LOQ 10,500 **HARRAH’S ENTERTAINMENT, INC. HET 20,000 ***HARRIS CORP. HRS *****HARTFORD FINANCIAL SERVICES GROUP, INC. (THE) HIG 10,500HARTFORD LIFE, INC. HLI 7,500HAUSER, INC. (HAUS) HUQ 4,500HEALTH & RETIREMENT PROPERTIES, INC. HRP 7,500HEALTH MANAGEMENT ASSOCIATES, INC. HMA *****HEALTH SOUTH CORPORATION HRC *****HEARTPORT INC. (HPRT) HQK 10,500HEILIG-MEYERS CO. HMY 10,500HELENE CURTIS INDUSTRIES INC. RHC 4,500HELMERICH AND PAYNE INC. HP 10,500HENRY SCHEIN, INC. (HSIC) HQE 7,500HERBALIFE INTERNATIONAL INC. (HERBA) HQR *****HERTZ CORPORATION HRZ 7,500 *HEWLETT-PACKARD CO. HWP *****HFS, INC. HZF *****HIBERNIA CORP. HIB 10,500HIGHWOODS PROPERTIES INC. HIW 7,500HITACHI, LTD. HIT 4,500HMT TECHNOLOGY CORP. (HMTT) HTQ 25,000HOECHST AG HOE 4,500HOLLINGER INTERNATIONAL, INC. HLR 7,500HOLLYWOOD ENTERTAINMENT CORP. (HLYW) HWQ 10,500HOLLYWOOD PARK INC. HPK 7,500HOMEBASE, INC. HBI *****



HOMESTAKE MINING CO. HM 25,000HONEYWELL, INC. HON 10,500HONG KONG TELECOMMUNICATIONS HKT 10,500HORIZON HEALTHCARE CORP. (HHC) HHX *****HOUSTON INDUSTRIES INC. HOU *****HUBCO, INC. (HUBC) QOE *****HUMANA, INC. HUM 20,000 ***HUMMINGBIRD COMMUNICATIONS LTD. (HUMCF) UQH 4,500HUNTINGTON BANCSHARES INC. (HBAN) HQB 10,500HUTCHINSON TECHNOLOGY, INC. (HTCH) UTQ 25,000 ***HYPERION SOFTWARE CORP. (HYSW) QHY 7,500I-STAT CORP. (STAT) TAQ 4,500ICG COMMUNICATIONS, INC. (ICGX) QIG 10,500ICN PHARMACEUTICALS ICN 10,500ICOS CORP. (ICOS) IIQ 7,500IDEXX LABORATORIES, INC. (IDXX) IQX 25,000 ***IKON OFFICE SOLUTIONS, INC. IKN 25,000 ***IKOS SYSTEMS, INC. (IKOS) QIK 7,500IMATION CORP. IMN 7,500IMC GLOBAL, INC. IGL *****IMCLONE SYSTEMS, INC. (IMCL) QCI 7,500IMMUNE RESPONSE CORP. (IMNR) IMQ 7,500IMMUNOMEDICS, INC. (IMMU) QUI 7,500 *IMNET SYSTEMS, INC. (IMNT) IWQ 10,500IMPERIAL CHEMICAL INDUSTRIES PLC ADR ICI 7,500IMPERIAL CREDIT INDUSTRIES, INC. (ICII) BQJ 10,500IMPERIAL OIL LTD. IMO 4,500INDIGO N.V. (INDGF) DQF 7,500IIN FOCUS SYSTEMS, INC. (INFS) IQL 7,500INFORMATION MANAGEMENT RESOURCES,INC. (IMRS)QIQ 7,500INFORMATION RESOURCES, INC. (IRIC) IRQ 7,500INFORMIX CORP. (IFMX) IFQ 25,000ING GROEP NV ADR ING 7,500INGERSOLL RAND COMPANY IR *****INGRAM MICRO, INC. IM 10,500 **INNOVEX, INC. (INVX) IVQ 10,500INPUT/OUTPUT, INC. IO 10,500INTEGRATED CIRCUIT SYSTEMS INC. (ICST) IBQ 7,500INTEGRATED DEVICE TECHNOLOGY, INC. (IDTI) ITQ 25,000INTEGRATED HEALTH SERVICES INC. IHS 7,500INTEGRATED PROCESS EQUIPMENT CORPORATION (IPEC) IQP 20,000INTEGRATED SILICON SOLUTION, INC. (ISSI) IXQ 10,500IINTL BUSINESS MACHINES CORP. IBM *****INTERIM SERVICE INC. IS *****INTERMAGNETICS GENERAL CORPORATION IMG *****INTERNT’L FLAVORS & FRAGRANCES INC. IFF 7,500INTERNATIONAL PAPER CO. IP 25,000INTERNATIONAL RECTIFIER CORP. IRF 10,500INTERPUBLIC GROUP OF COMPANIES INC. IPG *****INTERSOLV, INC. (ISLI) IQV 10,500INTERSTATE BAKERIES CORP. IBC *****NTERVOICE, INC. (INTV) VQN 7,500 *INTIMATE BRANDS, INC. IBI 10,500INTUIT CORP. (INTU) IQU 25,000INVISION TECHNOLOGIES, INC. (INVN) VYQ 7,500IOMEGA CORP. IOM *****IONA TECHNOLOGIES PLC (IONAY) YWQ 7,500IRIDIUM WORLD COMMUNICATION, INC. (IRIDF) QAK 10,500ISIS PHARMACEUTICALS, INC. (ISIP) QIS 7,500 *ITEQ, INC. (ITEQ) QIE 7,500ITT CORP. ITT 25,000ITT INDUSTRIES, INC. IIN 10,500 **IVAX CORP. IVX 25,000 ***JABIL CIRCUIT, INC. (JBIL) JQB 25,000JACKPOT ENTERPRISES, INC. J 4,500J.D. EDWARDS & COMPANY (JDEC) QJD 10,500JEFFERSON SMURFIT CORP. (JJSC) JJQ 7,500JLG INDUSTRIES, INC. JLG 7,500JOHN MANVILLE CORPORATION JM 4,500JOHNSON & JOHNSON JNJ 25,000JONES APPAREL GROUP, INC. JNY 10,500JONES MEDICAL INDUSTRIES, INC. (JMED) JQM 20,000JOSTENS INC. JOS 4,500JP FOODSERVICE, INC. JPF 4,500JUST FOR FEET, INC. (FEET) JQF 20,000 ***K MART CORP. KM 25,000KELLSTROM INDUSTRIES, INC. (KELL) KQC 7,500KELLY SERVICES INC. CL.A (KELYA) YQE 4,500KEMET COPORATION (KMET) KQE 10,500KENT ELECTRONICS CORP. KNT 7,500KERR-MCGEE CORP. KMG 7,500KEYSTONE FINANCIAL, INC. (KSTN) QPX 4,500KLA -TENCOR CORPORATION (KLAC) KCQ 25,000KLM ROYAL DUTCH AIRLINES ADRS KLM 4,500KIRBY CORP. KEX 4,500

KOHL’S CORPORATION KSS 7,500KOPIN CORP. (KOPN) KQO 4,500KULICKE AND SOFFA INDUSTRIES, INC. (KLIC) KQS 25,000LANCASTER COLONY CORP. (LANC) LCQ 4,500LAND’S END, INC. LE 4,500LANDRY’S SEAFOOD RESTAURANTS, INC. (LDRY) YQR 7,500LA QUINTA INNS INC. LQI 10,500LATTICE SEMICONDUCTOR CORP. (LSCC) LQT 25,000LCI INTERNATIONAL, INC. LCI 20,000LEARNING COMPANY (THE) TLC 10,500LEGG MASON, INC. LM *****LEGATO SYSTEMS, INC. (LGTO) YQN 10,500LEHMAN BROTHERS HOLDING CORP. LEH 20,000LEVEL ONE COMMUNICATIONS, INC. (LEVL) LVQ *****LEXMARK INTERNATIONAL GROUP, INC. LXK 10,500LIMITED, INC. LTD 25,000LIN TELEVISION CORP. (LNTV) LQV 7,500LIPOSOME COMPANY INC. (LIPO) LPQ 25,000 ***LITTON INDUSTRIES, INC. LIT 7,500LIZ CLAIBORNE, INC. LIZ 10,500LOEWEN GROUP, INC. LWN 7,500LOEWS CORPORATION LTR 7,500LOJACK CORPORATION (LOJN) LQJ 4,500LONE STAR STEAKHOUSE AND SALOON, INC. (STAR) LQS 25,000 ****LONG BEACH FINANCIAL CORP. (LBFC) QBB 10,500LONG ISLAND BANCORP, INC. (LISB) LBQ 7,500LONG ISLAND LIGHTING COMPANY LIL 10,500LONGVIEW FIBRE COMPANY LFB 7,500LORAL SPACE & COMMUNICATIONS LTD. LOR 25,000LSI LOGIC CORP. LSI 25,000LTX CORP. (LTXX) XQT 10,500LTV CORPORATION LTV 10,500LUCASVARITY PLC LVA 7,500LUCENT TECHNOLOGIES INC. LU 25,000LYCOS, INC. (LCOS) QWL 10,500LYONDELL PETROCHEMICAL COMPANY LYO 10,500MADERAS Y SINTETICOS S. A. ADS MYS 4,500MAGAININ PHARMACEUTICALS INC. (MAGN) NQG 7,500 *MADGE, N.V. (MADGF) MQE 20,000 ***MAGNA INTERNATIONAL INC. MGA 7,500MAIL BOXES ETC. (MAIL) MZY *****MALLINCKRODT GROUP INC. MKG 10,500MANPOWER INC. MAN 10,500 **MANUGISTICS GROUP, INC. (MANU) ZUQ 10,500MARINE DRILLING COMPANIES INC. (MDCO) QDM 25,000MARINER HEALTH GROUP, INC. (MRNR) MQO 10,500 **MARK IV INDUSTRIES IV 7,500MASCOTECH, INC. MSX 7,500MATRIX PHARMACEUTICALS, INC. (MATX) QTA 7,500MAY DEPARTMENT STORES MAY 20,000 ***MAYTAG CORPORATION MYG 10,500MBNA CORPORATION KRB *****MCDONALD’S CORP. MCD 25,000MCI COMMUNICATIONS CORP. (MCIC) MCQ 25,000MCLEOD USA (MCLD) QMD 7,500MEAD CORP. MEA *****MEDAPHIS CORP. (MEDA) MQA 25,000 ****MEDAREX, INC. (MEDX) XDQ 4,500MEDEVA PLC ADS MDV 4,500MEDICIS PHARMACEUTICAL CORP. (MDRX) MXQ 10,500MEDTRONIC INC. MDT *****MELLON BANK CORPORATION MEL 25,000MEMC ELECTRONIC MATERIALS, INC. WFR 7,500MERCANTILE BANCSHARES CORP. (MRBK) QKM 7,500MERCER INTERNATIONAL, INC. (MERCS) MQC 4,500MERCK & CO. MRK 25,000MERCURY INTERACTIVE CORP. (MERQ) RQB 10,500MERITOR AUTOMOTIVE, INC. MRA 4,500MERRILL LYNCH & CO., INC. MER *****MESA AIRLINES, INC. (MESA) EAQ 7,500METACREATIONS CORPORATION (MCRE) MQZ 10,500METHANEX CORP. (MEOHF) MQN 4,500METRICOM, INC. (MCOM) MQM 7,500METROMEDIA INTERNATIONAL GROUP, INC. MMG 7,500MEXICO FUND INC. MXF 7,500MICREL, INC. (MCRL) MIQ 7,500MICROAGE INC. (MICA) MQI 10,500MICROCHIP TECHNOLOGY INC. (MCHP) QMT 25,000 ****MICROGRAFX, INC. (MGXI) XQG 7,500 *MICRON ELECTRONICS, INC. (MUEI) MQU 25,000MICRON TECHNOLOGY INC. MU 25,000MICROTOUCH SYSTEMS, INC. (MTSI) TQM 4,500MILLENNIUM CHEMICALS INC. MCH 10,500 **MILLER (HERMAN) INC. (MLHR) MHQ 10,500MILLICOM INT’L. CELLULAR S.A. (MICCF) MQS 7,500MISSISSIPPI CHEMICAL CORP. GRO 4,500MINNESOTA MINING & MANUFACTURING CO. MMM *****



MITCHAM INDUSTRIES, INC. (MIND) QMU 7,500MOBIL CORP. MOB *****MOBILE TELECOMMUNICATIONS TECHNOLOGIES CORP. (MTEL) MMQ 20,000MORGAN STANLEY, DEAN WITTER, DISCOVER & CO. MWD 25,000MOLEX INC. (MOLX) MOQ *****MOLEX, INC. CLASS A (MOLXA) EQD *****MOLTEN METAL TECHNOLOGY, INC. (MLTNQ) MQL 10,500MONSANTO CO. MTC *****MOORE CORP. LTD MCL 7,500MORRISON KNUDSEN CORPORATION MK 7,500 *MRV COMMUNICATIONS, INC. (MRVC) VQX 10,500MYLEX CORPORATION (MYLX) MJQ 10,500 **NABI, INC. (NABI) BQO 10,500NABISCO HOLDINGS CORP. NA 10,500NABORS INDUSTRIES INC. NBR 25,000NAM TAI ELECTRONICS, INC. (NTAIF) QNA 7,500NATIONAL COMMERCE BANCORPORATION (NCBC) QTQ 4,500NATIONAL-OILWELL, INC. NOI *****NATIONAL SEMICONDUCTOR CORP. NSM *****NATIONAL STEEL NS 7,500NATIONAL TECHTEAM, INC (TEAM) QEA 10,500NATIONWIDE FINANCIAL SERVICES, INC. NFS 7,500NAUTICA ENTERPRISES, INC. (NAUT) NQT 10,500NAVISTAR INTERNATIONAL, INC. NAV 7,500NCR CORP. NCR 20,000 ***NEIMAN MARCUS GROUP INC. NMG 7,500 *NEOMAGIC CORPORATION (NMGC) GJQ 10,500NEOPATH, INC. (NPTH) DQW 7,500 *NEOPROBE CORP. (NEOP) PQN 7,500NETCOM ON LINE COMMUNICATION SERVICES, INC. (NETC) TQW 7,500NETMANAGE, INC. (NETM) NEQ 10,500NETSCAPE COMMUNICATIONS CORP. (NSCP) NQY 25,000NETWORK ASSOCIATES, INC. (NETA) CQM *****NETWORK COMPUTING DEVICES, INC. (NCDI) NQK 10,500 **NETWORK GENERAL CORP. (NETG) NWY *****NETWORK PERIPHERALS, INC. (NPIX) NQA 7,500 *NEUROMEDICAL SYSTEMS, INC. (NSIX) QXI 7,500NEWELL CO. NWL 10,500NEWS CORP. LTD NWS 20,000NEXTEL COMMUNICATIONS, INC. CL A (NXTL) FQC 25,000 ***NEXTLINK COMMUNICATIONS, INC. (NXLK) QNF 7,500NICE SYSTEMS LTD. ADR (NICEY) QIC 7,500NIMBUS CD INTERNATIONAL , INC. (NMBS) NMQ 4,500NOBLE DRILLING CORPORATION NE 25,000NOKIA CORP. (NOK.A) NKA 25,000NORFOLK SOUTHERN CORP. NSC 25,000NORTHFIELD LABORATORIES, INC. (NFLD) DHQ 4,500NORTHERN TELECOM LTD. NT *****NORTHERN TRUST CORP. (NTRS) NRQ 10,500NORTHLAND CRANBERRIES, INC. (CBRYA) YLQ 7,500 *NORTHROP CORP. NOC 10,500NORTHWEST AIRLINES CORP. (NWAC) NAQ 10,500NOVELLUS SYSTEMS INC. (NVLS) NLQ *****NTL INCORPORATED (NTLI) IQS 4,500NUCOR CORPORATION NUE 10,500NUEVO ENERGY CO. NEV 7,500OAK TECHNOLOGIES (OAKT) OQK 25,000 ***OAKLEY, INC. OO 25,000 ***OBJECT DESIGN, INC. (ODIS) QSE 7,500OCCIDENTAL PETROLEUM CORP. OXY 25,000OCWEN FINANCIAL CORPORATION OCN *****OEC MEDICAL SYSTEMS INC. OXE 4,500ODS NETWORKS INC. (ODSI) OQT 7,500 *OFFICEMAX, INC. OMX 25,000 ***OGDEN CORPORATION OG 7,500OLICOM A/S (OLCMF) OQL 7,500OLYMPIC STEEL, INC. (ZEUS) ZQU 7,500 *OMI CORPORATION OMM 7,500OMNIPOINT CORP. (OMPT) QTT 10,500OPEN MARKET, INC. (OMKT) OQM 7,500OPEN TEXT CORPORATION (OTEXF) QFT 7,500 *OPTI, INC. (OPTI) OQP 4,500ORACLE SYSTEMS CORPORATION (ORCL) ORQ *****ORBITAL SCIENCES CORP. (ORBI) OQB 10,500OREGON METALLURGICAL CORPORATION (OREM) QOU 10,500ORGANOGENESIS, INC. ORG *****ORTEL CORP. (ORTL) OQE 4,500ORTHOLOGIC CORPORATION (OLGC) QLG 20,000 **ORYX ENERGY CO. ORX 20,000 ***OUTBACK STEAKHOUSE, INC. (OSSI) OSQ 20,000 ***OWENS-ILLINOIS, INC. OI 10,500OXFORD HEALTH PLANS, INC. (OXHP) OQX 25,000PACCAR INC. (PCAR) PAQ 10,500 **PACIFIC HEALTH SYSTEMS, INC. CL. B (PHSYB) HYQ 10,500PAINE WEBBER GROUP INC. PWJ *****

PAIR GAIN TECHNOLOGIES, INC.(PAIR) PQG 25,000PALL CORPORATION PLL 10,500PAN AMERICAN BEVERAGES, INC. PB 7,500PANAMSAT CORP. (SPOT) OQO 7,500 *PAPA JOHN=S INTERNATIONAL, INC. (PZZA) ZZQ 7,500PARAGON TRADE BRANDS, INC. PTB 4,500PARKER DRILLNG COMPANY PKD 20,000PATHOGENESIS CORP. (PGNS) PHQ 4,500PATTERSON DENTAL CORPORATION (PDCO) QDA 4,500PATTERSON ENERGY, INC. (PTEN) NZQ 10,500PAXSON COMMUNICATIONS CORPORATION PAX 7,500PAYLESS SHOESOURCE, INC. PSS 4,500PC DOCS GROUP INTERNATIONAL (DOCSF) OQZ 7,500 *P-COM, INC. (PCMS) PQP 25,000PEAPOD, INC. (PPOD) QPP 7,500 *PEGASUS GOLD INC. PGU 10,500PENNZOIL CO. PZL 10,500PEOPLE’S BANK BRIDGEPORT (PBCT) PQY 7,500PEOPLES HERITAGE FINANCIAL GROUP, INC. (PHBK) EQP 4,500PEOPLESOFT INC. (PSFT) PQO *****PEP BOYS MANNY MOE AND JACK PBY 10,500PEPSI-GEMEX, S.A. DE C.V. GEM 4,500PEPSICO INC. PEP *****PERRIGO CO. (PRGO) POQ 10,500PERSEPTIVE BIOSYTEMS, INC. (PBIO) OPQ 7,500PETROLEUM GEO-SERVICE A/S PGO 10,500 *PFF BANCORP (PFFB) QFB 7,500 *PHARMACIA & UPJOHN, INC. PNU 25,000PHARMERICA, INC. (DOSE) XUQ 7,500PHILIPPINE LONG DISTANCE TELEPHONE PHI 7,500PHILIPS ELECTRONICS N.V. ADRS PHG 25,000PHILLIPS VAN HUESEN CORP. PVH 4,500PHP HEALTHCARE CORP. PPH 4,500PHYSICIAN COMPUTER NETWORK, INC. (PCNI) DQS 10,500 **PHYSIO-CONTROL HOLDINGS INC. (PHYS) QBK 7,500PIER 1 IMPORTS INC. PIR *****PILLOWTEX CORPORATION PTX 4,500PLANET HOLLYWOOD PHL 10,500 ** INTERNATIONAL, INC.PLATINUM SOFTWARE CORP. (PSQL) PQS 7,500PLATINUM TECHNOLOGY, INC. (PLAT) FLQ 25,000PLC SYSTEMS, INC. PLC 7,500PLEXUS CORPORATION (PLXS) QUA 7,500PMI GROUP INC. PMA 7,500 *PMT SERVICES, INC. (PMTS) QAM 10,500POGO PRODUCING COMPANY PPP 7,500POLAROID CORP. PRD 7,500POLO RALPH LAUREN CORP. RL 10,500POOL ENERGY SERVICES, CO. (PESC) UVQ 10,500POTASH CORP. OF SASKATCHEWAN POT 10,500 **POTLATCH CORPORATION PCH 4,500POWERHOUSE TECHNOLOGIES, INC. (PWRH) QV 4,500POWERWAVE TECHNOLOGIES, INC. (PWAV) VFQ 10,500PRECISION RESPONSE CORP. (PRRC) MQX 10,500 **PREMARK INTERNATIONAL PMI 7,500PREMIER LASER SYSTEMS, INC. (PLSIA) JTQ 10,500 **PREMIERE TECHNOLOGIES, INC. (PTEK) TQO 10,500PREMISYS COMMUNICATIONS, INC. (PRMS) RQS 25,000PRESSTEK, INC. (PRST) PQK 7,500PRI AUTOMATION INC. (PRIA) UXQ 10,500PRIMADONNA RESORTS, INC (PRMA) PQR 4,500PRIME MEDICAL SERVICES, INC. (PMSI) QSI 4,500PROGRESS SOFTWARE CORPORATION (PRGS) RGQ 7,500 *PROMUS HOTELS CORPORATION PPZ *****PROTEIN DESIGN LABS, INC. (PDLI) PQI 7,500PROVIDIAN CORP. PVN 10,500PROXIM, INC. (PROX) WQG 7,500PROXY MED, INC. (PILL) PQQ 4,500PSINET INC. (PSIX) SQP 10,500PUMA TECHNOLOGY, INC. (PUMA) ZVQ 4,500PURE ATRIA CORP. (PASW/WQH) WYH *****QUALCOMM INC. (QCOM) QAQ 25,000QUANTUM CORPORATION (QNTM) QNQ 25,000QUEST DIAGNOSTICS INCORPORATED DGX 7,500 *QUICK & REILLY GROUP, INC. (THE) BQR 7,500QUICKTURN DESIGN SYSTEMS INC. (QKTN) TQB 7,500QUINTILES TRANSNATIONAL CORP. (QTRN) QRT *****QWEST COMMUNICATION INC. (QWST) QWA 10,500RADICA GAMES LTD. (RADAF) QDR 7,500RAINFOREST CAFE, INC. (RAIN) QRI *****RALCORP HOLDING, INC. RAH 4,500RALSTON-RALSTON PURINA CO. RAL 7,500RAMBUS INC. (RMBS) BNQ 10,500RAMTRON INTERNATIONAL CORP. (RMTR) RQM 7,500RANGER OIL LTD. RGO 7,500RAPTOR SYSTEMS, INC. (RAPT) QRP 7,500RATIONAL SOFTWARE CORP. (RATL) RAQ *****



RAYONIER INC. RYN 4,500RAYTHEON COMPANY CLASS A (RTN.A) RYA 20,000RAYTHEON CO. (RTN.B) RTN 20,000READERS DIGEST RDA 7,500READ-RITE CORP. (RDRT) RDQ 25,000RENAISSANCE WORLDWIDE, INC. (THE) (REGI) QRG 4,500RELIANCE ACCEPTANCE GROUP INC. (RACC) QDO 4,500RELIANCE BANCORP, INC. (RELY) RLQ 4,500REMEDY CORPORATION (RMDY) LRQ 10,500RENO AIR, INC. (RENO) RQN 4,500REPUBLIC WASTE INDUSTRIES, INC. RII 25,000RESOUND CORP. (RSND) RQD 4,500RESPIRONICS, INC. (RESP) RQT 4,500RETRIX (RETX) QXD 10,500REVLON, INC. REV 4,500REXALL SUNDOWN, INC. (RXSD) RKQ *****REYNOLDS & REYNOLDS COMPANY REY 10,500RHONE-POULENC SA ADR RP 7,500RIO HOTEL & CASINO, INC. (RIOH) RHC 4,500RJR NABISCO HOLDINGS CORP. RN 25,000ROBERTS PHARMACEUTICAL CORP. RPC 7,500 *ROCKWELL INTERNATIONAL CORP. ROK *****ROSLYN BANCORP. INC. (RSLN) OQU 10,500 **RPM. INC. (RPOW) RWQ *****RSL COMMUINICATIONS LTD. (RSLCF) QRL 7,500RUBY TUESDAY INC. RI 4,500RUSS BERRIE AND COMPANY INC. RUS 4,500S3 INCORPORATED (SIII) SQI 25,000SABRE GROUP HOLDINGS INC. TSG 7,500SAFECO CORPORATION (SAFC) SAQ 10,500SAFEGUARD SCIENTIFICS INC. SFE 4,500SAFEWAY, INC. SWY 20,000SAINT JUDE MEDICAL STJ 25,000 ***SAKS HOLDINGS, INC. SKS 10,500SAMSONITE CORPORATION (SAMC) QDS 10,500SANMINA CORP. (SANM) SQN 10,500SANTA CRUZ OPERATION (SCOC) UQS 7,500SANTA FE INTERNATIONAL CORP. SDC 10,500SAPIENS INTERNATIONAL CORP. N.V. (SPNSF) QHH 10,500 **SAVILLE SYSTEMS IRELAND PLC ADR (SAVLY) QVY *****SAWTEK INC. (SAWS) QWS 7,500SCHLUMBERGER LTD SLB *****SCHOLASTIC CORPORATION (SCHL) NHQ 7,500 *SCI SYSTEMS, INC. SCI *****SCICLONE PHARMACEUTICALS, INC. (SCLN) SQA 7,500 *SCIENTIFIC GAMES HOLDINGS CORP. SG 4,500SCOPUS TECHNOLOGY, INC. (SCOP) QHT 20,000SDL, INC. (SDLI) QSL 7,500 *SEACOR SMIT, INC. CKH 7,500 *SEARS ROEBUCK & CO. S 25,000SEITEL, INC. SEI *****SEPRACOR INC. (SEPR) ERQ 10,500SGS THOMSON MICROELECTRONICS NV STM 10,500 **SHANGHAI PETROCHEMICAL CO. LTD. SHI 4,500SHAW INDUSTRIES SHX 10,500SHELL TRANSPORT & TRADING CO., P.L.C. SC *****SHERWIN-WILLIAMS CO. SHW 10,500SHIVA CORP. (SHVA) VQS 25,000 ****SHOWBOAT, INC. SBO 4,500SIEBEL SYSTEMS, INC. (SEBL) SGQ 10,500SIGMA ALDRICH CP (SIAL) IAQ 10,500 **SIGMA DESIGNS, INC. (SIGM) SQB 7,500SIGNATURE RESORTS, INC. (SIGR) QTI *****SILICON VALLEY GROUP INC. (SVGI) VQQ 20,000SINGER COMPANY N.V. SEW 10,500SK TELECOM CO., LTD. ADS SKM 10,500SKYLINE CORP. SKY 4,500SKYWEST INC. (SKYW) UWQ 4,500SLM HOLDING CORPORATION SLM *****SMITH’S FOOD AND DRUG CENTERS, INC. (SFD) SFV *****SMARTALK TELESERVICES, INC. (SMTK) QMM 7,500SMART MODULAR TECHNOLOGIES, INC. (SMOD) UYQ 25,000SNYDER COMMUNICATIONS, INC. SNC 7,500SODAK GAMING, INC. (SODK) RQK 7,500 *SOFAMOR/DANEK GROUP, INC. SDG 4,500SOLA INTERNATIONAL, INC. SOL 7,500 *SOLECTRON CORPORATION SLR 10,500SOLUTIA, INC. SOI 20,000SOMATOGEN, INC. (SMTG) GNQ 7,500 *SOUTHERN CO. SO 25,000SOUTHERN NEW ENGLAND TELECOMMUN. CORP. SNG 7,500SOUTHERN PACIFIC FUNDING CORP. SFC 7,500SOUTHWEST AIRLINES CO. LUV *****SPECTRIAN CORPORATION (SPCT) QCS 10,500SPEEDFAM INTERNATIONAL, INC. (SFAM) FQF 10,500SPELLING ENTERTAINMENT GROUP, INC. SP 4,500SPIEGEL, INC. (SPGLA) SQE 4,500

SPORTS (THE) AUTHORITY TSA 10,500SPX CORPORATION SPW 4,500SPYGLASS, INC. (SPYG) YQG 7,500ST. PAUL COMPANIES SPC 7,500STAAR SURGICAL COMPANY (STAA) SQT 4,500STAGE STORES, INC. (STGE) QSA 10,500STANDARD MICROSYSTEMS (SMSC) OMQ 7,500STARBUCKS CORPORATION (SBUX) SQX 25,000STARWOOD HOTELS & RESORTS TRUST HOT 10,500STATION CASINOS, INC. STN 7,500STERIS CORP. (STRL) SQR 10,500STERLING BANCORP STL 4,500STERLING COMMERCE, INC. SE 10,500STORAGE TECHNOLOGY STK 20,000 ***STORMEDIA INC. (STMD) USQ 7,500STURM RUGER & COMPANY, INC. RGR 4,500SUMMIT BANCORP SUB *****SUMMIT DESIGN, INC. (SMMT) DQB 7,500SUMMIT TECHNOLOGY INC. (BEAM) BAQ *****SUNDSTRAND CORPORATION SNS 7,500SUNGLASS HUT INTERNATIONAL, INC. (RAYS) RQY 25,000SUN HEALTHCARE GROUP, INC. SHG 7,500SUN INTERNATIONAL HOTELS LTD. SIH 4,500SUNRISE ASSISTED LIVING INC. (SNRZ) QSR 7,500SUPERIOR ENERGY SERVICES, INC. (SESI) SCQ 10,500SUPERIOR INDUSTRIES INTERNATIONAL SUP 4,500SUPERIOR SERVICES, INC. (SUPR) QSU 4,500SWIFT ENERGY CORPORATION SFY *****SWIFT TRANSPORTATION CO., INC. (SWFT) FQW 4,500SYNOPSYS, INC. (SNPS) YPQ *****SYNOVOUS FINANCIAL CORP. SNV 10,500SYNTHETECH, INC. (NZYM) YZQ 4,500SYSCO CORPORATION SYY 10,500SYSTEMSOFT CORP. (SYSF) QSY 10,500T. ROWE PRICE ASSOCIATES, INC. (TROW) RQW 7,500TADIRAN LIMITED TAD 4,500TANDY CORP. TAN 20,000TASEKO MINES LTD. (TKOCF) TQA 4,500TAUBMAN CENTERS INC. TCO 7,500TBC CORPORATION (TBCC) TBQ 4,500TCA CABLE TV, INC. (TCAT) TTQ 4,500TCF FINANCIAL CORP. TCB *****TCI SATELLITE ENTERTAINMENT, INC. (TSATA) TSQ 10,500TCI VENTURES GRP-A (TCIVA) VXQ 25,000TCSI CORP. (TCSI) QSC 10,500 **TECHNOLOGY SOLUTIONS CO. (TSCC) QST *****TEL-SAVE HOLDINGS INC. (TALK) QQK 25,000TELECOM ARGENTINA STET-FRANCE TELECOM S.A. ADR TEO *****TELECOM ITALIA SPA ADR TI 4,500TELECOMMUNICATIONS INTERNATIONAL (TINTA) YQT 7,500TELECOMUNICACOES BRASILEIRAS SA (TELEBRAS) TBR 25,000TELE-DANMARK A/S TLD 4,500TELEDATA COMMUNICATIONS LTD. (TLDCF) QBC 7,500TELEFONICA DE ARGENTINA S.A. TAR 25,000 ****TELEFONICA DEL PERU S.A. ADR TDP 10,500TELEFONOS DE MEXICO TMX 25,000TELEPORT COMMUNICATIONS GROUP INC. (TCGI) GQV 25,000TELESPECTRUM WORLDWIDE, INC. (TLSP) QBA 7,500TELETECH HOLDINGS, INC. (TTEC) QTC 10,500TELXON CORP. (TLXN) TNQ 7,500TERRA INDUSTRIES INC. TRA 4,500TEVA PHARMACEUTICALS INDUSTRIES LTD. (TEVIY) TVQ 20,000 ***TEXAS INSTRUMENTS INC. TXN *****THERAGENICS CORPORATION (THRX) XQH 7,5003DO COMPANY (THDO) TQD 7,500360 COMMUNICATIONS XO 10,500THERMO ELECTRON CORPORATION TMO 10,500TIDEWATER INC. TDW 20,000TIMES MIRROR COMPANY TMC 7,500TIMKEN COMPANY TKR 7,500TITAN EXPLORATION, INC. (TEXP) XXQ 7,500TJX COMPANIES, INC. (THE) TJX 25,000TOMMY HILFIGER CORP. TOM 10,500TOTAL RENAL CARE HOLDINGS, INC. TRL 7,500TOYS ‘R’ US, INC. TOY 25,000TRACOR, INC. (TTRR) HQU 4,500TRANSCANADA PIPELINES LTD. TRP 7,500 *TRANSITION SYSTEMS, INC. (TSIX) QXS 7,500 *TRANSPORTATION MARITIMA MEXICANA S.A. DE C.V. TMM 4,500TRANS WORLD AIRLINES, INC. TWA 25,000TRIBUNE COMPANY TRB 10,500TRICO MARINE (TMAR) MUQ 10,500TRICON GLOBAL RESTAURANTS, INC. YUM 25,000TRIQUINT SEMICONDUCTOR, INC. (TQNT) TQN 7,500TRITON ENERGY CORPORATION OIL 7,500TRIZEC HAHN CORPORATION TZH 10,500 **



TUBOS DE ACERO DE MEXICA SA ADR TAM 10,500TUBOSOPE , INC. TBI 7,500TUPPERWARE CORP. TUP 10,500T.V. AZTECA S.A. DE C.V. ADR TZA 7,500TVX GOLD, INC. TVX 25,000TWENTIETH CENTURY INDUSTRIES TW 4,500UAL CORPORATION UAL 10,500UCAR INTERNATIONAL INC. UCR 7,500UGLY DUCKLING CORP. (UGLY) QRD 10,500UICI (UICI) FQJ 4,500ULTRAK INC. (ULTK) ULQ 7,500 *ULTRATECH STEPPER, INC. (UTEK) UQT 10,500ULTRAMAR DIAMOND SHAMROCK CORP. UDS 7,500UNIBANCO UNIAO DE BANCOS BRASILEROS UBB 10,500UNICOM CORPORATION UCM 25,000UNION CAMP CORP. UCC 7,500UNION PACIFIC RESOURCES GROUP, INC. UPR 25,000UNIFI, INC. UFI 7,500UNIPHASE CORPORATION (UNPH) UQD *****UNISOURCE WORLDWIDE INC. UWW 10,500 **UNIT CORP. UNT 7,500 *UNITED HEALTHCARE CORPORATION UNH 25,000UNITED MERIDIAN CORP. UMC 7,500UNITED STATES FILTER CORPORATION USF 25,000UNITED TECHNOLOGIES INC. UTX 25,000UNITRIN INC. (UNIT) UNQ 4,500UNOVA, INC. UNA 7,500U.S. BANCORP. USB 20,000U.S. BIOSCIENCE, INC. UBS 7,500 *U.S. DIAGNOSTIC LABS, INC. (USDL) DQH 10,500U.S. FREIGHTWAYS CORPORATION (USFC) TFQ 7,500U.S. INDUSTRIES, INC. USI *****US OFFICE PRODUCTS COMPANY (OFIS) OFQ *****U.S. ROBOTICS, INC. (USRX) UQY *****US SATELLITE BROADCASTING CO., INC.(USSB) QUS 7,500USA WASTE SERVICES, INC. UW 25,000USCS INTERNATIONAL, INC. (USCS) QSK 7,500USG CORP. USG 7,500UST INC. UST 25,000 ***VAIL RESORTS, INC. MTN 7,500 *VALASSIS COMMUNICATIONS, INC. VCI 7,500VALENCE TECHNOLOGY, INC. (VLNC) VHQ 7,500VANGUARD CELLULAR SYSTEMS (VCELA) VCQ 7,500VANS, INC. (VANS) VQG 7,500VANSTAR CORP. VST 10,500 **VANTIVE CORP. (VNTV) QTZ 10.500VERIFONE, INC. (VFI) VSZ *****VERILINK CORP. (VRLK) QWQ 10,500 **VERITAS SOFTWARE CORPORATION (VRTS) VUQ *****VERITY, INC. (VRTY) YQV 7,500V.F. CORPORATION VFC *****VIACOM INC. B (VIAB) VMB 25,000VIASOFT, INC. (VIAS) QVV 10,500VICOR CORP. (VICR) VIQ 4,500VIDAMED, INC. (VIDA) DVQ 7,500VIDEOSERVER, INC. (VSVR) UFQ 7,500VIEWLOGIC SYSTEMS, INC. (VIEW) VX *****VIMPEL-COMMUNICATIONS ADR VIP 4,500VITESSE SEMICONDUCTOR CORPORATION (VTSS) VQT 20,000VITRO SOCIEDAD AMOMINA ADR VTO 10,500

VLSI TECHNOLOGY, INC. (VLSI) VLQ 25,000VODAFONE GROUP PLC VOD 10,500VOLVO AB-ADR (VOLVY) VQY 10,500 *VTEL CORPORATION (VTEL) VQE 7,500WABASH NATIONAL CORPORATION WNC 4,500WACKENHUT CORRECTIONS CORP. WHC 4,500WALL DATA INC. (WALL) WLQ 4,500WAL-MART STORES INC. WMT 25,000WALT DISNEY COMPANY (THE) DIS 25,000WANG LABORATORIES, INC. (WANG) WQA 7,500WASTE MANAGEMENT INT’L PLC WME 4,500WATSON PHARMACEUTICALS INC. WPI *****WEATHERFORD ENTERRA, INC WII 7,500WELLMAN INC. WLM 7,500 *WELLPOINT HEALTH NETWORKS INC. WLP 7,500WESTELL TECHNOLOGIES, INC. (WSTL) QLW 10,500WESTERN ATLAS, INC. WAI *****WESTERN NATIONAL CORP. WNH 7,500WESTERN RESOURCES, INC. WR 7,500WESTPOINT STEVENS INC. (WPSN) WQQ 7,500 *WET SEAL, INC. (WTSLA) UUQ 7,500WEYERHAEUSER CO. WY 10,500WHX CORPORATION HOLDING CO. WHX 7,500WHIRLPOOL CORP. WHR 10,500WHITMAN CORPORATION WH 10,500WHITMAN-HART, INC. (WHIT) WMQ 4,500WILLAMETTE INDUSTRIES INC. WLL *****WILLIAMS COMPANIES WMB *****WILLIAM-SONOMA, INC. (WSGC) WSQ 10,500WINN-DIXIE STORES INC. WIN 7,500WINNEBAGO INDUSTRIES, INC. WGO 4,500WINSTAR COMUNICATION, INC. (WCII) WQS 25,000WIRELESS TELECOM GROUP, INC. WTT 4,500WISCONSIN CENTRAL TRANSPORATION CORPORATION (WCLX) WQC 10,500WISCONSIN ENERGY CORPORATION WEC 10,500 **WITCO CORPORATION WIT 7,500 *WONDERWARE CORPORATION (WNDR) WQD 7,500WORLD ACCESS CORP. (WAXS) WXQ 10,500WORLD COLOR PRESS, INC. WRC 4,500WYMAN-GORDON (WYMN) WQY 10,500XEROX CORP. XRX 25,000XICOR, INC. (XICO) XQX 7,500 ***XILINX INC. (XLNX) XLQ 25,000XIRCOM INC. (XIRC) XQR 20,000 ***XYLAN CORP. (XYLN) YXQ 25,000YAHOO! INC. (YHOO) YHQ 25,000YORK INTERNATIONAL CORPORATION YRK 7,500YOUNG BROADCASTING INC. CL. A. (YBTVA) YQD 4,500YPF SOCIEDAD ANONIMA YPF 25,000YURIE SYSTEMS, INC. (YURI) YQI 10,500ZALE CORP. ZLC 7,500 *ZEBRA TECHNOLOGIES CORP. (ZBRA) ZBQ 7,500 *ZENECA GROUP PLC ADS ZEN 4,500ZILA, INC. (ZILA) QWC 7,500 *ZITEL CORP. (ZITL) ZQI 25,000 ***ZOLTEK COMPANIES, INC. (ZOLT) QOT 10,500ZONAGEN, INC. (ZONA) NQZ 10,500

*LIMITS FOR THESE CLASSES WILL BE DECREASED TO 4,500

CONTRACTS EFFECTIVE THE DATES AS NOTED BELOW:CLASS EFFECTIVE DATE FOR 4,500 LIMITAEM 2/21/98AIQ 9/19/98BLC 2/21/98CKH 3/21/98CRE 7/18/98DGX 8/22/98DQW 3/21/98DWQ 7/18/98EQM 8/22/98GES 2/21/98GET 9/19/98GFI 8/22/98GNQ 7/18/98HRZ 9/18/98KMX 7/18/98MK 8/22/98MTN 9/19/98MTQ 3/21/98NHQ 7/18/98NQA 9/19/98NMG 7/18/98NQG 8/22/98

OQI 3/21/98OQO 2/21/98OQT 8/22/98OQZ 2/21/98PGO 8/22/98PMA 9/19/98QFB 2/21/98QFT 8/22/98QIS 7/18/98QPM 3/21/98QPP 9/19/98QSL 3/21/98QUI 2/21/98QXS 3/21/98QWC 7/18/98RE 7/18/98RGQ 3/21/98RPC 7/18/98RQJ 2/21/98RQK 2/21/98SOL 2/21/98SQA 3/21/98


*LIMITS FOR THESE CLASSES WILL BE DECREASED TO 4,500CONTRACTS EFFECTIVE THE DATES AS NOTED BELOW:CLASS EFFECTIVE DATE FOR 4,500 LIMIT


TRP 3/21/98UBS 9/19/98ULQ 7/18/98UNQ 9/19/98UNT 9/19/98VQN 7/18/98VQY 7/18/98XQG 2/21/98

WLM 3/21/98WIT 7/18/98WQQ 9/19/98YLQ 8/22/98ZBQ 8/22/98ZLC 8/22/98ZQU 8/22/98

**LIMITS FOR THESE CLASSES WILL BE DECREASED TO 7,500CONTRACTS EFFECTIVE THE DATES AS NOTED BELOW:

CLASS EFFECTIVE DATE FOR 7,500 LIMITAAC 7/18/98AEH 2/21/98AFS 9/19/98AGQ 6/20/98AHG 3/21/98ANN 3/21/98AQX 7/18/98AZR 2/21/98BCC 2/21/98BGP 8/22/98CMH 8/22/98CNF 9/18/98CVD 8/22/98CWP 8/22/98DQS ###ELF 7/18/98EQJ 9/19/98ESA 9/19/98EXQ 8/22/98FLH 7/18/98FMS 2/21/98FQB 9/19/98FSR 7/18/98GLK 3/21/98GMQ 7/18/98GND 8/22/98HAN 3/21/98HLQ 8/22/98IAQ 7/18/98IIN 3/21/98IM 9/19/98

***LIMITS FOR THESE CLASSES WILL BE DECREASED TO 10,500CONTRACTS EFFECTIVE THE DATES AS NOTED BELOW:

CLASS EFFECTIVE DATE FOR 10,500 LIMITAAM 9/19/98AQY 7/18/98ASI 7/18/98AVQ 7/18/98AZO 9/19/98BIQ 7/18/98BLQ 1/22/2000BMG 7/18/98CQE 8/22/98DAL 1/23/99FQC 1/22/2000HET 2/21/98HUM 8/22/98IKN 1/22/2000IQX 9/19/98IVX 3/21/98JQF 3/21/98LPQ 1/22/2000MAY 9/19/98MQE 1/23/99

****LIMITS FOR THESE CLASSES WILL BE DECREASED TO 20,000CONTRACTS EFFECTIVE THE DATES AS NOTED BELOW:

CLASS EFFECTIVE DATE FOR 20,000 LIMITAZO 3/21/98DOW 1/23/99DQC 8/22/98GQZ 7/18/98LQS 9/19/98**LIMITS FOR THESE CLASSES WILL BE DECREASED TO 7,500

CONTRACTS EFFECTIVE THE DATES AS NOTED BELOW:

CLASS EFFECTIVE DATE FOR 7,500 LIMITJTQ 8/22/98LOQ 7/17/98LQX 7/18/98MAN 3/21/98MCH 9/19/98MJQ 2/21/98MQO 2/21/98MQX 7/18/98NQK 3/21/98OQU 7/18/98PAQ 8/22/98PHL 9/19/98POT 1/23/99OAQ 8/22/98QAF 7/18/98QHH 7/18/98QLG 2/21/98QQC 8/22/98QSC 3/21/98QWQ 7/18/98RQF 7/18/98STM 7/18/98TEG 3/21/98TQZ 2/21/98TZH 7/18/98XQF 7/18/98VJQ 9/19/98VST 8/22/98WEC 7/18/98UWW 8/22/98

***LIMITS FOR THESE CLASSES WILL BE DECREASED TO 10,500CONTRACTS EFFECTIVE THE DATES AS NOTED BELOW:

CLASS EFFECTIVE DATE FOR 10,500 LIMITNCR 7/18/98OMX 9/19/98OO 2/21/98OQC 8/22/98OQK 3/21/98ORX 7/18/98OSQ 2/21/98POT 1/23/99QCY 1/22/2000QTG 7/18/98STJ 7/18/98STK 1/23/99TV 1/22/2000TVQ 9/19/98UST 8/22/98UTQ 8/22/98VJQ 3/21/98XQR 9/19/98ZQI 9/19/98

****LIMITS FOR THESE CLASSES WILL BE DECREASED TO 20,000CONTRACTS EFFECTIVE THE DATES AS NOTED BELOW:

CLASS EFFECTIVE DATE FOR 20,000 LIMITMQA 9/19/98QMT 7/18/98SEQ 1/22/2000TAR 1/22/2000VQS 8/22/98




*****PLEASE NOTE: REFER TO THE EXCHANGE BULLETIN FOR THE NON-STAN-DARD POSITION & EXERCISE LIMITS.

### THE EFFECTIVE DATE WHEN THESE CLASSES WILL BE DECREASED TO ALOWER LIMIT WILL BE DETERMINED AFTER THE JULY, 1997 EXPIRATION.

INDEX OPTIONS

S&P 100® OEX/OEB/OEW/OEY/OEZ/CPO/OAX*/ 150,000 ****OLX*

S&P 500® SPX (AM)/SPB (AM) 100,000/SPQ (AM)/SPT(AM)/SPZ (AM)/SXB(AM)/SPL(AM)/SXG(AM)/LSX**(AM) LSX**(AM) /LSW**(AM)/LSY**(AM)/CPS (AM)/SPB(AM)/(SET@@)

S&P SMALL CAP600 SML(XSM@@) 100,000 *****

NASDAQ-100® NDXK/NCZ/NDU/NDVK 25,000 ***

IPC® MXX 50,000 ****

S&P® BANK BIX/BIY/(BBS@@) 15,000

S&P® CHEMICAL CEX (CXS@@) 9,000

S&P® HEALTH CARE HCX (HCS@@) 12,000

S&P® INSURANCE IUX/IUY (IUS@@) 12,000

S&P® RETAIL RLX (RRS@@) 12,000

S&P® TRANSPORTA-TION TRX (TRS@@) 12,000

COMPUTERSOFTWARE CWX (CWS@@) 12,000

ENVIRONMENTAL EVX (EVS@@) 12,000

GAMING GAX/GAW (GXS@@) 12,000

ISRAEL ISX(ILS@@) 12,000

LATIN 15 LTX(SLX@@) 15,000

MEXICO MEX/MZX/ZEX*/WXE*/VEX* 12,000(MEO@@)

REITS RIX(RSI@@) 15,000

TECHNOLOGY TXX/ZOC*VOC*/WXC*/ 15,000(TTS@@)

INTERNET NX/ZIX*/WXI*(ITS@@)15,000

AUTOMOTIVE AUS(AXS@@) 12.000

OIL OIX (OXS@@) 15,000

GOLD GOX (GDS@@) 15,000

FT-SE 100 FSX(FS@@) 25,000 ***

RUSSELL 2000® RUT/RUZ/ZRU*/WRU*/VRU* 50,000 ****(RLS@@)

NIKKEI 300 NIK/NIY/ZNX* 25,000***

FLEX 200,000 @

S&P 500®/ (SGX/SVX/SGS@@/SVS@@) 36,000******BARRA GROWTHAND VALUE

GSTITM GTC(GTZ@@) 100.000 *****COMPOSITE

GSTITM GHA(GHZ@@) 12,000HARDWARE

DJIA (DJX/DJV/WDJ/VDJ/LDJ) 1,000,000

DJUA (DUX/WDU*/VDU*/LDU*) 15,000

DJTA (DTX/WDX*/VDN*/LDN*) 15,000

GSTITM GIN(GGZ@@) 12,000INTERNET

GSTITM GIP(GPZ@@) 12,000MULTIMEDIANETWORKING

GSTITM GSM(GMZ@@) 12,000SEMICONDUCTOR

GSTITM GSV(GVZ@@) 12,000SERVICES

GSTITM GSO(GSZ@@) 12,000SOFTWARE

MORGAN STANLEY NFT(NMS@@) 50,000 ****MULTINATIONALCOMPANY

NYSE COMPOSITE NYA(NYX@@) 45,000 *******

LIPPER/SALOMON LGO 75,000 ********GROWTH FUNDS

LIPPER/SALOMON LIO 75,000 ********GROWTH & INCOMEFUNDS

*5 LEAP7 CONTRACTS = 1 OPTION CONTRACT

**10 LEAPS = 1 OPTION CONTRACT

**NEAR TERM SERIES RESTRICTED TO 15,000 CONTRACTS

****NEAR TERM SERIES RESTRICTED TO 30,000 CONTRACTS

*****NEAR TERM SERIES RESTRICTED TO 60,000 CONTRACTS

******NEAR TERM SERIES RESTRICTED TO 21,500 CONTRACTS

*******NEAR TERM SERIES RESTRICTED TO 25,000 CONTRACTS

********NEAR TERM SERIES RESTRICTED TO 50,000 CONTRACTS

*********NEAR TERM,SERIES RESTRICTED T0 100,000 CONTRACTS

@ The aggregate position limit on the same side of the market in FLEX Index Options onthe S&P100, the S&P 500, the NASDAQ7100, the Russell 2000 Index, or the Nikkei 300Index.

@@ Exercise Settlement Value

Index Warrants - 15 Million Warrants on the same side of the market in aggregate ofall warrants issued on the same index.

S&P 500 Index Bear Market Warrants OPT.WS

Japan Export Index Call Warrants JXC.WS

OPTIONS ON INTEREST RATES

SHORT-TERMIRX/WXB/VXB/SSX@@) 5,000

LONG-TERM 5-YEAR YIELD FVX/WXV/VXV(FVS@@) 25,000 10-YEAR YIELD TNX/WXN/VXN(TNS@@) 25,000 30-YEAR YIELD TYX/WYX/VYY(TYS@@) 25,000

7,500 Contracts of BAQ

CA/CWA3-for-211/28/97


CLASS STOCK SPLIT/ EX-DATE ADJUSTED DATE THE LIMIT EXPIRES ANDDISTRIBUTION POSITION LIMIT LIMIT THEREAFTER

DATE LIMITAES 2-for-1 8/29/97 15,000 Contracts 2/21/98 10,500 ContractsAGE/AEW 3-for-2 10/1/97 1,125,000 Shares 5/16/98 7,500 ContractsAIG/VAF/LAJ/AZG/VXE/LVJ 3-for-2 7/28/97 3,750.000 Shares 1/22/00 25,000 Contracts of AIGAKS 2-for-1 11/18/97 9,000 Contracts 6/20/98 7,500 ContractsARC/VFR/LFR 2-for-1 6/16/97 40,000 Contracts 1/22/00 25,000 ContractsBA/WBO/VBO 2-for-1 6/9/97 50,000 Contracts 1/23/99 25,000 ContractsBAC/VBA/LBA 2-for-1 6/17/97 50,000 Contracts 1/22/00 25,000 ContractsBAQ/BAW Stock Distribution 12/16/97 10,500 Contracts 3/21/98 7,500 Contracts of BAQCA/CWA 3-for-2 11/28/97 3,750,000 Shares 4/18/98 25,000 ContractsCD/CUV/HZF/VFS/LFZ Merger 12/17/97 9,750,000 Shares 1/22/00 25,000 Contracts of CDCDN 2-for-1 11/17/97 50,000 Contracts 5/16/98 25,000 ContractsCIQ/WCI/VHR 4-for-1 8/5/96 42,000 Contracts 1/23/99 25,000 ContractsCKR/CKY 10%StockDividend1/15/986/20/98 825,000 Shares 6/20/98 7,500 ContractsCQM/NWY Merger 12/2/97 3,320,000 Shares 7/18/98 25,000 Contracts of CQMCTC/WDT/VDT/CUC/WZC/VXD 4.25-to-1ADSSplit 1/2/97 4,462,500 ADSs 1/23/99 10,500 ContractsCWQ 2-for-1 11/5/97 50,000 Contracts 5/16/98 25,000 ContractsCYQ/VYC/LCY/CYZ/VYV/LYL 3-for-2 12/17/97 3,750,000 Shares 1/22/00 25,000 ContractsCZA/TMR Merger 11/6/97 1,260,000 Shares 4/18/98 4,500 of TMR (AMEX)DD/VDD/LDD 2-for-1 6/13/97 50,000 Contracts 1/22/00 25,000 ContractsDKB 2-for-1 8/11/97 9,000 Contracts 11/17/98 4,500 ContractsDLP/DLU 4-for-3 11/21/97 997,500 Shares 5/16/98 7,500 ContractsECL 2-for-1 1/16/98 15,000 Contracts 7/18/98 7,500 ContractsEMC/VUE/LUE 2-for-1 11/18/97 50,000 Contracts 1/22/00 25,000 ContractsENZ/ENX 5% Stock Dividend1/7/98 472,500 Shares 7/18/98 4,500 ContractsEQD/EZD 5-for-4 12/2/97 937,500 Shares 7/18/98 7,500 ContractsFTZ/IGL Merger 12/23/97 15,000 Contracts 5/16/98 10.500 Contracts of IGLFXH/QVS Merger 12/12/97 900,000 Shares 6/20/98 4,500 Contracts of QVSGPS/VGS/LGS/GZP/VWS/LYP 3-for-2 12/23/97 3,750,000 Shares 1/22/00 25,000 ContractsHAL/VHW 2-for-1 7/22/97 50,000 Contracts 1/23/99 25,000 ContractsHBI/WNU Stock Distribution 7/29/97 7,500 Contracts 3/21/98 7,500 Contracts of HBIHHX/HRC Merger 10/30/97 3,382,000 Shares 4/18/98 25,000 Contracts of HRCHMA/HMZ 3-for-2 10/24/97 1,575,000 Shares 5/16/98 10,500 ContractsHOU/NAY Merger 8/7/97 2,770,000 Shares 2/21/98 25,000 Contracts of HOUHQR/HZR 1-for-3 12/15/97 7,500 Contracts 12/20/98 7,500 ContractsHRC/HHX Merger 10/30/97 3,382,000 Shares 4/18/98 25,000 Contracts of HRCHRS 2-for-1 9/29/97 15,000 Contracts 5/16/98 7,500 ContractsHWP/VSZ/WZY/VVX Merger 6/26/97 32,500 Contracts 1/22/00 25,000 Contracts of HWPHZF/VFS/LFZ/CUV/CD Merger 12/17/97 9,750,000 Shares 1/22/00 25,000 Contracts of CDIBC 2-for-1 11/4/97 9,000 Contracts 4/18/98 7,500 ContractsIBM/VIB/LIB 2-for-1 5/28/97 50,000 Contracts 1/22/00 25,000 ContractsIGL/FTZ Merger 12/23/97 15,000 Contracts 5/16/98 10,500 Contracts of IGLIMG 2%Stock Dividend 8/22/97 459,000 Shares 4/18/98 4,500 ContractsIOM 2-for-1 12/23/97 50,000 Contracts 8/22/98 25,000 ContractsIPG/IPV 3-for-2 7/16/97 1,125,000 Shares 1/17/98 10,500 ContractsIR/IRU 3-for-2 9/3/97 1,575,000 Shares 3/21/98 10,500 ContractsIS 2-for-1 9/8/97 9,000 Contracts 2/21/98 4,500 ContractsKRB/VUK/LXK/WKY/VKX/VZK/KRW 3-for-2 10/2/97 4,500,000 Shares 1/23/99 25,000 ContractsKHQ/KHW 3-for-2 11/14/97 1,575,000 Shares 6/20/98 10,500 ContractsKOZ/PPZ/PRH Merger 12/19/97 15,000 Contracts 8/22/98 7,500 Contracts of PRHKZQ/KZY 3-for-2 9/16/97 2,000,000 Shares 4/18/98 20,000 ContractsLM/LYM 4-for-3 9/25/97 598,500 Shares 5/16/98 4,500 ContractsLUV/VUV/LOVLZY/VUY/LVW 3-for-2 11/28/97 3,000.000 Shares 1/22/00 25,000 Contracts of LUVLVQ/LVU 3-for-2 8/27/97 1,050,000 Shares 2/21/98 10,500 ContractsMDT 2-for-1 9/15/97 50,000 Contracts 2/21/98 25,000 ContractsMEA 2-for-1 12/2/97 15,000 Contracts 7/18/98 7,500 ContractsMER/VME/LME 2-for-1 6/2/97 50,000 Contracts40,000 Contracts 1/23/991/22/2000 25,000 ContractsMMM/WMU/VMU/VMV StockDistribution 7/16/96 25,000 Contracts 1/23/99 25,000 Contracts of MMMMOB/VML/LML 2-for-1 6/25/97 50,000 Contracts 2/19/00 25,000 ContractsMOQ/MOZ 5-for-4 12/2/97 1,050,000 Shares 7/18/98 10,500 ContractsMTC/VM/LCT/MZM/VZV/LYC Stock Distribution 9/13/97 25,000 Contracts 1/22/00 25,000 Contracts of MTCMZY/OFQ/OFZ Merger 12/12/97 3,603,000 Shares 5/16/986/20/98 3,103,000 Shares25,000 Contracts of OFQNLQ 2-for-1 10/14/97 50,000 Contracts 3/21/98 25,000 ContractsNOI 2-for-1 11/19/97 9,000 Contracts 5/16/98 7,500 ContractsNSM/YRZ Merger 11/18/97 4,550,000 Shares 2/21/98 25,000 Contracts of NSMNT 2-for-1 1/2/98 21,000 Contracts 6/20/98 10,500 ContractsNWY/CQM Merger 12/2/97 3,320,000 Shares 7/18/98 25,000 Contracts of CQMOCN 2-for-1 11/21/97 9,000 Contracts 6/20/98 4,500 ContractsOFQ/OFZ/MZY Merger 12/12/97 3,603,000 Shares 5/16/986/20/98 3,103,000 Shares25,000 Contracts of OFQORG/ORY 5-for-4 12/2/97 750,000 Shares 7/18/98 7,500 ContractsORQ/VOR/LRO/OWQ/VZR/LRZ/WOU 3-for-2 8/18/97 3,750,000 Shares 1/22/00 25,000 Contracts of ORQPEP/VP/LPP/PVP/VPR/LDV Stock Distribution 10/7/97 25,000 Contracts 1/22/00 25,000 ContractsPIR/PZW 3-for-2 7/31/97 1,125,000 Shares 3/21/98 10,500 Contracts of PIRPQO 2-for-1 12/8/97 50,000 Contracts 7/18/98 25,000 ContractsPRH/PPZ/KOZ Merger 12/19/97 15,000 Contracts 8/22/98 7,500 Contracts of PRHPWJ/PWZ 3-for-2 11/18/97 1,575,000 Shares 4/18/98 10,500 ContractsQOE/QZE 3%Stock Dividend 11/10/97 463,500 Shares 4/18/98 4,500 ContractsQQA/VSD/WSD Merger 7/1/97 4,250,000 Shares 1/17/98 25,000 Contracts of QQAQRI/RIU 3-for-2 1/16/98 1,125,000 Shares 8/22/98 7,500 ContractsQRT 2-for-1 12/2/97 21,000 Contracts 7/18/98 20,000 ContractsQST/QZT 3-for-2 8/4/97 1,125,000 Shares 3/21/98 7,500 Contracts of QSTQTI/ZIT 3-for-2 10/28/97 1,125,000 Shares 4/18/98 10,500 Contracts


QTP/ZTP Stock Distribution 1/8/96 4,500 Contracts 7/18/98 4,500 Contracts of QTPQVS/FXH Merger 12/12/97 900,000 Shares 6/20/98 4,500 Contracts of QVSQVY 2-for-1 11/5/97 15,000 Contracts 5/16/98 10,500 ContractsRAQ/WYH Merger 7/31/97 3,445,000 Shares 3/21/98 25,000 Contracts of RAQRKQ 2-for-1 10/24/97 21,000 Contracts 5/16/98 10,500 ContractsROK/ROX Stock Distribution 10/1/97 10,500 Contracts 4/18/98 10,500 ContractsRWQ/RZW 5-for-4 12/9/97 937,500 Shares 5/16/98 7,500 ContractsSC 3-for-1 7/1/97 13,500 Contracts 2/21/98 7,500 ContractsSCH/VYS/LWS/SYH/VZY/LWZ 3-for-2 9/16/97 2,000,000 Shares 1/22/00 20,000 ContractsSCI 2-for-1 8/25/97 21,000 Contracts 4/18/89 10,500 ContractsSEI 2-for-1 12/15/97 9,000 Contracts 5/16/98 4,500 ContractsSFV 2-for-1 10/1/97 9,000 Contracts 4/18/98 4,500 ContractsSFY/SYF 10%StockDividend10/8/97 750,000 Shares 4/18/98 7,500 Contracts of SFYSLB/VWY/LYS 2-for-1 7/14/97 50,000 Contracts 1/22/00 25,000 ContractsSLM/VRM/LOS/SLZ/VZL/LYM 7-for-2 1/5/98 2,625,000 Shares 1/22/00 7,500 ContractsSUB/SUV 3-for-2 9/25/97 1,125,000 Shares 4/18/98 10,500 ContractsTCB 2-for-1 12/1/97 9,000 Contracts 7/18/98 7,500 ContractsTEO 2-for-1 ADS 8/28/97 15,000 Contracts 4/18/98 10,500 ContractsTXN/VXT/LTN 2-for-1 11/24/97 50,000 Contracts 1/22/00 25,000 ContractsUQD 2-for-1 11/13/97 15,000 Contracts 6/21/98 7,500 ContractsUQY/WZL/VUZ/THQ/VTH/LTH Merger 6/12/97 6,875,000 Shares 1/23/99 25,000 contracts of THQ (PSE)USI/IRZ 3-for-2 9/24/97 1,125,000 Shares 4/18/98 7,500 ContractsVFC 2-for-1 11/25/97 15,000 Contracts 5/16/98 7,500 ContractsVSZ/WZY/VVX/HWP Merger 6/26/97 32,500 Contracts 1/22/00 25,000 Contracts of HWPVUQ/VQU 3-for-2 9/15/97 1,575,000 Shares 2/21/98 10,500 ContractsVX/YPQ Merger 12/5/97 2,500,000 Shares 5/16/98 25,000 Contracts of YPQWAI/WZA Stock Distribution 11/3/97 7,500 Contracts 6/20/98 7,500 Contracts of WAIWLL 2-for-1 9/15/97 15,000 Contracts 2/21/98 7,500 ContractsWMB/VBB/LMB 2-for-1 12/30/97 21,000 Contracts 1/22/00 10,500 ContractsWPI 2-for-1 10/30/97 21,000 Contracts 5/16/98 10,500 ContractsWYH/RAQ Merger 7/31/97 3,445,000 Shares 3/21/98 25,000 Contracts of RAQXRQ 2-for-1 10/30/97 9,000 Contracts 5/16/98 7,500 ContractsYPQ/VX Merger 12/5/97 2,500,000 Shares 5/16/98 25,000 Contracts of YPQYRZ/NSM Merger 11/18/97 4,550,000 Shares 2/21/98 25,000 Contracts of NSM

CLASS STOCK SPLIT/ EX-DATE ADJUSTED DATE THE LIMIT EXPIRES ANDDISTRIBUTION POSITION LIMIT LIMIT THEREAFTER

DATE LIMIT

Position Limit Circular PL98-08(Correction to Position Limit Circular PL98-01)


TO: Members

RE: Doubletree Corporation (“TREE/KQA”) Merger with Promus Hotel Corporation (“PRH”)Effective Date December 19, 1997

The Exchange has established that the position and exercise limits following this merger will be any combination of KOZ and PRH/PPZ option contractson the same side of the market not to exceed 15,000 contracts of the underlying security through August 22, 1998. Following the August, 1998,expiration, the position and exercise limits will revert to the standard limit of 7500 contracts of PRH. (In PL98-01 it was stated that the position andexercise limits would revert to the standard limit of 7500 contracts of KOZ rather than PRH).

For additional information, please contact Beth Hadley at (312) 786-7906 in the Department of Market Regulation.

Research Circulars

The following Research Circulars were distributed between January 2, 1998 and January 8, 1998 . If you wish to read the entire document, and haveaccess to a fax machine, please call the CBOE FaxLine at 1-800-OPTIONS, choose option “4” and then option “1”. Please have your fax number andthe corresponding FaxLine document number ready. The FaxLine number is listed adjacent to each circular. To receive a list of all available documents,use the FaxLine number 000. You may also access the Research Circulars on our Web Site at http://www.cboe.com Questions regarding any of theinformation that is discussed in any Research Circular may be directed to the CBOE Investor Services Department at 1-800-OPTIONS.

CBOE Research Circular #RS98-1 FaxLine Document No. 810January 2, 1998LIN Television Corporation (“LNTV/LQV”) Proposed Merger with Ranger Acquisition Company

CBOE Research Circular #RS98-2 FaxLine Document No. 811January 5, 1998Starwood Lodging Trust (“HOT”) Name Change to: Starwood Hotels & Resorts TrustEffective Date: January 5, 1998


CBOE Research Circular #RS98-3 FaxLine Document No. 812January 5, 1998Federal Express Company (“FDX/VFX/LFX”) Name Change to: FDX CorporationAnticipated Effective Date: January 22, 1998

CBOE Research Circular #RS98-4 FaxLine Document No. 813January 6, 1998General Motors Corp. (“GM/VGN/LGM/adj. GMX/VUM/LGZ”): Determination of Cash-in-Lieu Amount

CBOE Research Circular #RS98-5 FaxLine Document No. 814January 6, 1998General Motors Corporation Class H (“GMH/adj. GUZ”): Determination of Cash-in-Lieu Amount

CBOE Research Circular #RS 98-6 FaxLine Document No. 900January 7, 1998New Listing: RSL Communications Ltd. (“RSLCF/QRL”)

CBOE Research Circular #RS98-7 FaxLine Document No. 815January 7, 1998Computervision Corporation (“CVN”) Proposed Merger with Parametric Technology Corporation

CBOE Research Circular #RS98-8 FaxLine Document No. 816January 8, 1998Northern Telecom Ltd. (“NT”) 2-for-1 Stock SplitEx-Distribution Date: January 12, 1998

CBOE Research Circular #RS98-9 FaxLine Document No. 817January 7, 1998Freeport-McMoRan Inc. (“FTX/adj. FTZ”): Cash-in-Lieu Amount Determined

CBOE Research Circular #RS98-10 FaxLine Document No. 818January 8, 1998Ecolab Inc. (“ECL”) 2-for-1 Stock SplitEx-Distribution Date: January 16, 1998

CBOE Research Circular #RS98-11 FaxLine Document No. 819January 8, 1998Fieldcrest Cannon, Inc. (“FLD/adj. FXL”): Determination of Cash-in-Lieu Amount

RegulatoryCirculars

RegulatoryBulletin

January 14, 1998 Volume RB9, Number 1

The Constitution and Rules of the Chicago Board Options Exchange, in certain specificinstances, require the Exchange to provide notice to the membership. The RegulatoryBulletin will be mailed to all members twice a month and is intended to satisfy thisrequirement.

Regulatory Circular RG97-170


To: Members and Member Firms

From: The Market Performance Committee

Re: Options on Telecommunicacoes Brasileiras SA (TBR), (TYR) and TBR LEAPS

The Market Performance Committee has continued to monitor the trading characteristicsof the stock and options on Telecommunicacoes Brasileiras SA (TBR), (TYR) and TBRLEAPS. Based upon its review, the Committee has determined that as of the opening onMonday, December 22,1997, the exemption to the provision of Rule 8.7 pertaining to themaximum allowable bid/ask spread which was temporarily granted pursuant to ExchangeRule 8.7(b)(iv), will no longer be effective (see Regulatory Circular RG97-148). As of theopening on December 22, 1997, all (TBR), (TYR) and TBR LEAPS options will tradeaccording to the provisions of Exchange Rule 8.7(b)(iv).

Questions regarding this memorandum may be directed to Daniel Hustad at (312) 786-7715.



To: Members and Member Firms

From: The Market Performance Committee

Re: Options on the Standard and Poors 500 Index (SPX)

On November 7, 1997, the Market Performance Committee (MPC), by its authority underthe provisions of Exchange Rule 8.7(b)(iv), had temporarily established modified maxi-mum bid/ask differentials in the options on the Standard and Poor’s 500 Index (see Regu-latory Circular No. 97- 147). After noting the changed conditions in the characteristics ofthe underlying basket of stocks and futures contracts, the Committee has determined tonarrow the maximum bid/ask differentials in S & P 500 options to twice as wide as themarkets allowed under the provisions of Rule 8.7. These new bid/ask differentials whichwill become effective as of the opening on December 22, 1997, are the maximum allow-able, and in many instances may be narrower.

RB2RB2RB2RB2RB2 Jan Jan Jan Jan Januaruaruaruaruar y 14,y 14,y 14,y 14,y 14, 1998, 1998, 1998, 1998, 1998, VVVVVolume RB9,olume RB9,olume RB9,olume RB9,olume RB9, Number 1 Number 1 Number 1 Number 1 Number 1

Regulatory Circularscontinued

Regulatory Circular RG97-171 continued

This modification to Rule 8.7(b)(iv) will continue to be reviewed by the Market PerformanceCommittee.

Any questions regarding this memorandum may be directed to Daniel Hustad at (312) 786-7715.


To: All Exchange Members

From: Department of Financial and Sales Practice Compliance

Date: January 2, 1998

Subject: FOCUS REPORT (Form X-17A-5)1997 Year-End FilingDue March 2, 1998

Under SEC Rule 17a-10(a)(1) every registered broker-dealer is required to file FOCUSReport X-17A-5 IIA and Schedule I for the calendar year ended December 31, 1997.

Enclosed you will find a FOCUS Report Part IIA and Schedule I. EVERY EXCHANGEMEMBER AND MEMBER ORGANIZATION registered with the SEC as a broker-dealerand whose designated examining authority is the CBOE, must file FOCUS Report Part IIAand Schedule I thereto for calendar year 1997 no later than March 2, 1998 , with theExchange’s Department of Financial and Sales Practice Compliance on the 7th floor.

The CBOE will compile the data and forward a computer tape containing the data for allmembers to the Securities and Exchange Commission.

In an effort to increase the confidentiality of FOCUS information and reduce pro-cessing time and errors in the preparation of FOCUS filings, the CBOE has enteredinto an agreement with the Chicago Board of Trade (“CBOT”) and the ChicagoMercantile Exchange (“CME”) to utilize WinJammer, an electronic FOCUS filingsystem. This year, CBOE members will have the option of using WinJammer, whichprovides for the direct electronic submission of FOCUS reports to the CBOE. Thisprogram eliminates the need for a paper copy filing. WinJammer is a personalcomputer program which requires the installation of WinJammer software and aPersonal Identification Number diskette (“PIN” disk). The software and PIN diskwill be provided by the CBOE upon a member’s completion of the WinJammerSoftware License Agreement and PIN Agreement. If you have any questions re-garding WinJammer, and/or would like to request the WinJammer software andPIN disk, please contact the Department of Financial and Sales Practice Compli-ance at (312) 786-7942.

Computer system requirements for operating WinJammer are discussed later inthis memorandum.

A number of clearing firms have indicated that they would be providing assistanceto their Members for year-end FOCUS completion and/or electronic FOCUS filing.For information regarding the services offered, please contact your respectiveclearing firm.

A twenty-five dollar ($25) filing fee was approved by the Board of Directors on June 5, 1991(Regulatory Circular RG91-39). The fee was initiated to partially recover FOCUS process-ing costs and should be attached to form X-17A-5 (checks only, please). If the FOCUS is

Jan Jan Jan Jan Januaruaruaruaruar y 14,y 14,y 14,y 14,y 14, 1998, 1998, 1998, 1998, 1998, VVVVVolume RB9,olume RB9,olume RB9,olume RB9,olume RB9, Number 1 Number 1 Number 1 Number 1 Number 1 RB3 RB3 RB3 RB3 RB3


filed electronically, your account at your clearing firm will be charged $25 no later than March2, 1998. It is anticipated that a higher filing fee of $100 may be applied in 1999 for year-end1998 Focus filings submitted in paper form. Electronic filers would continue to be charged$25.

It should be noted that every member and member organization registered with the SEC asa broker/dealer for which the Exchange has regulatory responsibility must file a FOCUSReport Form X-17A-5 Part IIA and Schedule I. Therefore, if you are a nominee and aregistered broker/dealer, you must submit a separate FOCUS Report Form X-17A-5Part IIA and Schedule I for your personal broker-dealer activity. Your member orga-nization must also submit these reports for the firm’s activities.

ATTENTION: CBT Exercisers and Lessors

Even if you did not execute any trades on the CBOE during calendar year 1997, if you havea broker/dealer registration with the SEC you are still required to file the FOCUS ReportForm X-17A-5 Part IIA and Schedule I.

*************

In filling out FOCUS Form X-17A-5 and Schedule I, it is very important that the followingpoints be observed:

1. Your filing must be accurate. You may wish to consult your accountant forassistance in satisfying your filing obligations.

2. All entries should pertain to your business as a broker/dealer. You neednot list assets, liabilities or revenue derived outside your broker/dealer ac-tivity.

3. Line 12 (Total Assets) on page one (1) must equal line 25 (Total Liabilitiesand Ownership Equity) on page two (2).

4. The form must be signed (unless filing electronically) and must containyour broker/dealer number (SEC file number).

5. Please be aware that it is your ultimate responsibility to file the FOCUSReport. Although your clearing firm may provide assistance with regard tocompleting the FOCUS Report, it is your responsibility to make sure yourFOCUS Report is filed with the Department of Financial and Sales PracticeCompliance on or before March 2, 1998 .

*************

In accordance with CBOE Rule 17.50, any member who fails to file Form X-17A-5 andSchedule I for calendar year 1997 by March 2, 1998 shall be subject to the following fines:

DAYS LATE AMOUNT

1-30 $200 31-60 $400 61-90 $800

Repeated failure to file FOCUS Report Form X-17A-5 and Schedule I in a timely manner willbe referred to the Exchange’s Business Conduct Committee as will a failure to file more thanninety (90) days late.




If you are unsure as to whether you are required to file or have any questions, pleasecontact the Department of Financial and Sales Practice Compliance on the 7th floor at(312) 786-7942.

*************

ATTENTION: WinJammer System Requirements

In order to run WinJammer you must be using Windows 3.1, Windows NT, Windows 95,OS/2, or Windows for Workgroups.

WindJammer will operate on a 386 computer with 4 MB of RAM , but it is highly recom-mended that you use at least a 486 computer with 16 MB of RAM. Additionally, if thecomputer your using has only 4 MB of RAM it is suggested that you shut down all otherapplications to improve performance. Modem rate should be 2400 baud or higher. Specificinstructions are listed on page 3 of the Quick Start Guide which is provided with theWinJammer software.

In order to obtain a copy of the WinJammer software along with the Quick Start Guide ,please contact the Department of Financial and Sales Practice Compliance on the 7th floorat (312) 786-7942. For technical questions related to WinJammer’s installation anduse, please contact CBOE Focus Help-Line at 312 786-7035.


Date: January 6, 1998

To: Members

From: Department of Market Regulation

Re: OEX Position and Exercise Limit Increase

The Securities and Exchange Commission (“SEC”) has approved significant revisions toExchange Rule 24.4 (a) regarding Standard & Poors 100 (“OEX”) stock index option posi-tion and exercise limits. The SEC has approved an increase in the standard limit, the indexhedge and firm facilitation exemptions, as proposed by the Exchange in SR-97-11.

THESE REVISIONS ARE EFFECTIVE AT THE OPENING OF TRADING ON JANUARY6, 1998.

STANDARD POSITION AND EXERCISE LIMIT: The new OEX position limit is now 150,000contracts overall with no more than 100,000 contracts in the near term expiration month.With respect to the exercise limit, no more than 100,000 contracts (or the current appli-cable front month limit) can be exercised within any five (5) consecutive business dayperiod.

INDEX HEDGE EXEMPTION: A member or customer maintaining a qualified portfolio isnow eligible for an index hedge exemption of an additional 300,000 contracts. The indexhedge exemption is in addition to the standard limit and is not automatic; advance approvalis required from the Department of Market Regulation. A qualified portfolio is defined as (i)a net long or short position in common stocks or securities readily convertible into commonstock in at least four industry groups in at least 20 stocks, none of which accounts for morethan 15% of the value of the portfolio, and/or (ii) a net long or short index futures position,options on index futures contracts or positions in listed index options or index warrants for

Regulatory Circular RG97-RG98-01 continued



which the underlying index is included in the same margin or cross-margin product groupcleared at the Options Clearing Corporation as the index option class to which the hedgeexemption applies. (Refer to RG96-82 for a detailed description of the index hedge exemp-tion policy).

FIRM FACILITATION EXEMPTION: Pursuant to Exchange Rule 4.11.06, a member firmwho wishes to facilitate its customer order(s) pursuant to Exchange Rule 6.74(b)1when thetrading crowd is unwilling to do so, may receive a firm facilitation exemption in OEX up to two(2) times the standard limit (200,000 near term, 300,000 overall) upon application to theExemption Committee. For a detailed description of the firm facilitation policy please refer toRegulatory Circular RG 96 -35.

NEW REPORTING REQUIREMENT: Pursuant to Exchange Rule 24.4 Interpretation .03,each clearing member organization must file a report with the Department of Market Regula-tion on behalf of any customer or firm account that maintains an end of day OEX position inexcess of 65,000 contracts. This report must identify whether such option position is hedged,and if so, a description of the hedge employed. A report must be filed when a positionexceeds 65,000 contracts and thereafter, whenever the account increases or decreases itsoptions position by 10,000 contracts or more. In addition, any significant change to thehedge which would result in the options position becoming unhedged should be reported.Copies of the reporting form can be obtained in the Department of Market Regulation.

MAXIMUM ALLOWABLE POSITION LIMIT

The following chart illustrates the maximum position an account or accounts acting in con-cert may control in the OEX options class:

Maximum Position LimitOption Standard Index FirmClass Limit (all Hedge Facilitation

accounts) (all (clearing M/M 2 Firm Customeraccounts) firms only)

OEX 100,000 near 300,000 2 x base 400,000 600,000 400,000term; 150,000 limit (200,000 near near near termoverall near term; term; term; 450,000

300,000 450,000 750,000 overalloverall) overall overall

Questions concerning this memorandum can be directed to Pat Cerny at (312) 786-7722or Karen Charleston at (312) 786-7724 in the Department of Market Regulation.

1 For the purpose of facilitating , in accordance with the provisions of Rule 6.74(b), orders for its owncustomer is defined as orders that will have the resulting position carried with the firm or orders receivedfrom or on behalf of a customer for execution only against the member firm’s proprietary account.

2 Market maker accounts may be eligile for an additional exemption pursuant to Exchange Rule 4.11.05.


APPROVED RULE CHANGE(S )

The Securities and Exchange Commission (“SEC”) has approved the following change(s) toExchange Rules pursuant to Section 19(b) of the Securities Exchange Act of 1934, asamended (“the Act”). Copies are available from the Legal Department.

The effective date of the rule change is the date of approval unless otherwise noted.

SR-CBOE-97-11 — OEX Position Limits

On December 24, 1997, the SEC approved Rule Change File No. SR-CBOE-97-11, which

Rule ChangesInterpretationsand Policies


SR-CBOE-97-11 continuedRule ChangesInterpretations andPolicies continued amends Rule 24.4 and Interpretations thereunder with respect to position and exercise

limits for broad-based index options. (Securities Exchange Act Release No. 39489, 63 FR276 (January 5, 1998)) The amendments became effective January 6, 1998. Please referto Regulatory Circular RG98-002, printed above, for a discussion of the amendments. Anyquestions regarding the rule change may be directed to Pat Cerny at 312-786-7722 orKaren Charleston at 312-786-7724 in the Department of Market Regulation.

The amendments to Rule 24.4 and Interpretations thereunder are set forth below. Newlanguage is italicized.

RULE 24.4. Position Limits for Broad-Based Index Options

(a) In determining compliance with Rule 4.11, option contracts on a broad-based index shall be subject to a contract limitation fixed by the Exchange,which shall not be larger than the limits provided in the chart below.

Broad-Based Index Standard Limit RestrictionsOption Type (on the same side of

the market)

SPX 100,000 contracts no more than 25,000may be used to takeadvantage of anydifferential in pricebetween the S&P 500index and the securit-ies underlying thatindex

OEX 150,000 contracts no more than 100,000near-term

S&P 500/Barra 36,000 contracts in the no more than 21,500Growth or Value aggregate near-term

S&P SmallCap 600 100,000 contracts no more than 60,000GSTI Composite near-term

Russell 2000 50,000 contracts no more than 30,000Mexico 30 near-termIPC IndexGermany 25

other broad-based index 25,000 contracts no more than 15,000near-term

(b) - (d) No change.

Interpretations and Policies

.01 Broad-based Index Hedge Exemption

The broad-based index hedge exemption is in addition to the standard limit andother exemptions available under Exchange rules, interpretations and policies.The following procedures and criteria must be satisfied to qualify for a broad-basedindex hedge exemption:


Rule ChangesInterpretations andPolicies continued (a) - (d) No change.

(e) Positions in broad-based index options that are traded on the Exchangeare exempt from the standard limits to the extent specified below.

Broad-Based Index Broad-Based IndexOption Type Hedge Exemption (is

in addition to standard limit)

SPX 250,000 contracts

OEX 300,000 contracts

S&P 500/Barra Growth or 65,000 contractsValue

Other broad-based index 75,000 contracts

Money manager SPX exemption: If an SPX index hedge exemption is granted to anindividual or organization controlling or managing a customer account in which theexempt option positions are held (the “money manager”), control shall be deter-mined as provided in Interpretation .03 to Rule 4.11 and positions in all accountscontrolled or managed by the money manager shall be aggregated for position limitpurposes. In no event shall any money manager hold (i) in its aggregated accounts,more than 350,000 exempted same-side of the market SPX option contracts or (ii)in any single account, more than 235,000 exempted same-side of the market SPXoption contracts.

(f) - (h) No change.

.02 No Change

.03 Index Reporting Requirement

Each member or member organization (other than an Exchange market-maker)that maintains a position in excess of 45,000 option contracts in the case of SPX or65,000 option contracts in the case of OEX (but, in either case, not larger than thestandard limit specified in paragraph (a) of this Rule 24.4) option contracts on thesame side of the market on behalf of its own account or for the account of a cus-tomer shall report information as to whether those positions are hedged and providedocumentation as to how such contracts are hedged, in the manner and form re-quired by the Department of Market Regulation. The Exchange may specify otherindex options that may be subject to the reporting requirement of this Interpretationas well as the limit at which the reporting requirement may be triggered.

.04 Margin and Clearing Firm Requirements

Whenever the Exchange determines, based on a report by the Department of Mar-ket Regulation or otherwise, that additional margin is warranted in light of the risksassociated with an under-hedged SPX option position in excess of 45,000 con-tracts, or an under-hedged OEX option position in excess of 65,000 contracts, theExchange may consider imposing additional margin upon the account maintainingsuch under-hedged position pursuant to its authority under Exchange Rule 12.10.Additionally, it should be noted that the clearing firm carrying the account will besubject to capital charges under SEC Rule 15c3-1 to the extent of any margindeficiency resulting from the higher margin requirements.

SR-CBOE-97-11 continued


SR-CBOE-97-36 – Halting and Resumption of Trading in Index Options

On December 22, 1997, the SEC approved Rule Change File No. 97-36, which proposes toamend Exchange Rules regarding the conditions under which the Exchange may halttrading in a class of index options and may resume trading after such a halt, among othersthings. (Securities Exchange Act Release No. 39480, 62 FR 68327 (December 31, 1997))Any questions regarding the rule change may be directed to Arthur Reinstein, Senior Attor-ney, Legal Department, at 312-786-7570. The text of the amendments is set forth below.New language is italicized.

Rule 24.7 Trading Halts or Suspensions

(a) Trading on the Exchange in an index option shall be halted whenever two floorofficials, in consultation with a designated senior executive officer of the Exchange,shall conclude in their judgment that such action is appropriate in the interests ofa fair and orderly market and to protect investors. Among the facts that may beconsidered are the following:

(i) the extent to which trading is not occurring in stocks underlying the index;

(ii) through (iv) - No Change.

(b) Trading in options of a class or series that has been the subject of a halt orsuspension by the Exchange may resume if two floor officials, in consultation witha designated senior executive officer of the Exchange determine that the interestsof a fair and orderly market are served by a resumption of trading. Among thefactors to be considered in making this determination are whether the conditionswhich led to the halt or suspension are no longer present and the extent to whichtrading is occurring in stocks underlying the index.

(c) See also Rule 6.3B for the effect of the initiation of a marketwide trading haltcommonly known as a circuit breaker on the New York Stock Exchange.

(d) No change.


.01 No change.

.02 Upon reopening, a rotation shall be held in each class of index options unlesstwo floor officials, in consultation with a designated senior executive officer of theExchange, conclude that a different method of reopening is appropriate under thecircumstances, including but not limited to, no rotation, an abbreviated rotation orany other variation in the manner of the rotation.

Rule 24.13 Trading Rotations No Change


.01 and .02 No change.

.03 The commencement of the opening rotation in an index option may be de-layed whenever in the judgment of two Floor Officials such action is appropriate inthe interests of a fair and orderly market. Among the factors that may be consid-ered by the Floor Officials are: (i) unusual conditions or circumstances in othermarkets; (ii) an influx of orders that has adversely affected the ability of the OrderBook Official and/or Market-Makers to provide and to maintain fair and orderly

Rule ChangesInterpretations andPolicies continued



SR-CBOE-97-36 continued

markets; (iii) activation of opening price limits in stock index futures on one or morefutures exchanges; (iv) activation of daily price limits in stock index futures on one ormore futures exchanges; (v) the extent to which either there has been a delay inopening or trading is not occurring in stocks underlying the index; (vi) circumstancessuch as those which would result in the declaration of a fast market under Rule 6.6.

SR-CBOE-97-55 – OEX Telephone Policy

On December 11, 1997, the SEC granted accelerated approval to Rule Change File No. SR-CBOE-97-55, which amends the Exchange’s policy governing the use of telephones at theOEX option trading post by eliminating the restriction against market-makers receiving in-coming calls from locations outside of the Exchange building at the telephones at the OEXpost. (Securities Exchange Act Release No. 39435, 62 FR 66157 (December 17, 1997))This change makes the OEX telephone policy consistent with the telephone policy at allother trading locations on the floor in this respect. The policy change also will allow market-makers to have their own dedicated telephone or telephone line if space permits. TheExchange retains the discretion to decide whether a market-maker may have his/her owntelephone or whether the market-maker may have a dedicated line on an Exchange tele-phone depending on the space restrictions in the post. The Exchange will issue a Regula-tory Circular regarding the revised policy and will amend its OEX telephone application andagreement to reflect the change.

Any questions regarding the policy change may be directed to Timothy Thompson, SeniorAttorney, at 312-786-7070. The filing is available from the Legal Department.

SR-CBOE-97-61 – Committees

Rule Change File No. SR-CBOE-97-61 deletes from the rules of the Exchange specificreferences to and adds “appropriate” to all references that relate to a particular Floor Proce-dure Committee or Market Performance Committee, among other things. Pursuant to Sec-tion 19(b)(3) of the Securities Exchange Act, this rule change became effective upon filingwith the SEC on December 2, 1997. (Securities Exchange Act Release No. 39479, 62 FR68326 December 31, 1997)) A copy of the filing is available from the Legal Department.

SR-CBOE-97-62 – Transaction Fees

Rule Change File No. SR-CBOE-97-62 modifies the large trade discount program applicableto transactions in options based on Dow Jones indexes. The fee changes for the threeindexes that began trading on October 6, 1997 will be made retroactive to the launch of theproducts. Pursuant to Section 19(b)(3) of the Securities Exchange Act, this rule changebecame effective upon filing with the SEC on December 3, 1997. (Securities Exchange ActRelease No. 39433, 62 FR 66156 (December 17, 1997)) A copy of the filing is available fromthe Legal Department. Any questions regarding the discount program may be directed toDon Patton, Controller, at 312-786-7026.

SR-CBOE-97-63 – Dow Jones High Yield Select 10 Index

Rule Change File No. SR-CBOE-97-63 amends Exchange rules to provide for the listing andtrading of options on the Dow Jones High Yield Select 10 Index, a narrow-based indexcomprised of the ten highest yielding stocks from the Dow Jones Industrial Average. Pursu-ant to Section 19(b)(3) of the Securities Exchange Act, this rule change became effectiveupon filing with the SEC on December 8, 1997. The Exchange may not list the Index optionsfor trading prior to 30 days after the filing date. (Securities Exchange Act Release No.39453, 62 FR 67101 December 23, 1997)) A copy of the filing is available from the LegalDepartment. Any questions regarding the proposal may be directed to Joseph Levin, VicePresident, Research, at 312-786-7143.



PROPOSED RULE CHANGE(S)

Pursuant to Section 19(b)(1) of the Securities Exchange Act of 1934, as amended (“theAct”), and Rule 19b-4 thereunder, the Exchange has filed the following proposed rule change(s)with the Securities and Exchange Commission (“SEC”). A copy of the rule change filing(s)is available from the Legal Department. Members may submit written comments to theLegal Department.

The effective date of a proposed rule change will be the date of approval by the SEC,unless otherwise noted.

SR-CBOE-97-64 – Warrants on the CBOE Asia Tiger 100 Index

On December 4, 1997, the Exchange filed SR-CBOE-97-64, which proposes to list andtrade warrants on the CBOE Asia Tiger 100 Index, a broad-based index. Any questionsregarding the proposal may be directed to Joseph Levin, Vice President, Research, at 312-786-7143. A copy of the filing is available from the Legal Department.

As directed by the Board of Directors, Business Conduct Committee decision summariesare to include the names of the member, member organization and/or associated personinvolved in each case. Although member organizations are identified in cases involvingcurrent or fomer employees, such diciplinary actions are against the named individuals andnot the firms, unless specifically stated otherwise.

At its December 10, 1997 meeting, the Business Conduct Committee (“BCC”) resolved thefollowing disciplinary matters by accepting eleven offers of settlement and one letter ofconsent wherein the respondents and subject, respectively, consented to stipulations offacts and findings as detailed below without admitting or denying that Exchange Rules hadbeen violated. Additionally, the Committee instituted Summary Proceedings in one matter.

File Nos. 97-0037 and 97-0038 (Offer of Settlement) Gary R. Silverman, a market-makerand a nominee of GYS Corp., and Daniel C. Williams a market-maker and a nominee ofDCW Trading Corp., were jointly and severally fined $4,500 and each censured. Silvermanand Williams, as Directors of Winick Trading Corp. (“Winick”) and Bretter Securities, Inc.(“Bretter”): 1) caused Winick to enter into a financial arrangement to finance transactionsof a market-maker associated with Winick, and subsequently, from approximately March15, 1996 through January 28, 1997, Silverman and Williams failed on behalf of Winick toidentify to the Exchange the source and terms of the financial arrangement; and 2) causedBretter to enter into a financial arrangement to finance transactions of a market-makerassociated with Bretter, and subsequently, from approximately May 29, 1996 through March26, 1997, Silverman and Williams failed on behalf of Bretter to identify to the Exchange thesource and terms of the financial arrangement. (CBOE Rules 4.1 and 8.10)

File No. 97-0039 (Offer of Settlement) Bear, Stearns Securities Corp., an Exchange mem-ber organization, was fined in the amount of $2,500 for the following conduct. On Septem-ber 9, 1996, Bear Stearns controlled a short call, long put position of 21,000 near-term OEXoption contracts in one of its customer accounts, when the applicable position limit was25,000 contracts on the same side of the market, with no more than 15,000 contracts inthe near-term series. On September 10, 1996, Bear Stearns controlled a short call, longput position of 26,000 OEX option contracts, with 21,000 in the near-term series, in one ofits customer accounts. Bear Stearns did not make opening transactions which initiatedthese positions but, rather, they came to be controlled by Bear Stearns pursuant to aCMTA transfer. The decision reflects that the BCC considered Bear Stearns’ CMTA ar-rangement to be a mitigating circumstance, in determining to accept this offer. (CBOERules 4.11 and 24.4(a).)

DisciplinaryDecisions


DisciplinaryDecisions continued

File No. 97-0041 (Offer of Settlement) Robert K. Farkas, an Exchange market-maker, wasfined in the amount of $2,500 for the following conduct. On July 16, 1996, at approximately3:23 p.m. (Central Time), Farkas submitted an advice to the Exchange indicating his intentto exercise 8 OEX Jul 640 put option contracts, after the 3:20 p.m. cutoff time and after 3:19p.m. when Intel Corp. reported second quarter earnings of $1.17 (greater than the $ .99 pershare earnings predicted by analysts). Intel was a component of the OEX option class witha 2.85% weighting at the time. (CBOE Rule 11.1.)

File No. 97-0042 (Offer of Settlement) Equimax Partnership, L.P., an Exchange memberorganization, and Brian Patton, a market-maker and Equimax nominee, were jointly andseverally fined in the amount of $15,000 for the following conduct. On July 16, 1996, atapproximately 3:24 p.m. (Central Time), Patton on behalf of Equimax submitted an advice tothe Exchange indicating his intent to exercise 100 OEX Jul 625 put option contracts, afterthe 3:20 p.m. cutoff time and after 3:19 p.m. when Intel Corp. reported second quarter earn-ings of $1.17 (greater than the $ .99 per share earnings predicted by analysts).1 Intel was acomponent of the OEX option class with a 2.85% weighting at the time. (CBOE Rule 11.1.)

File No. 97-0043 (Offer of Settlement) David Rothberg, an Exchange market-maker, wasfined in the amount of $2,500 for the following conduct. On July 16, 1996, at approximately3:22 p.m. (Central Time), Rothberg submitted an advice to the Exchange indicating his intentto exercise 10 OEX Jul 625 put option contracts, after the 3:20 p.m. cutoff time and after 3:19p.m. when Intel Corp. reported second quarter earnings of $1.17 (greater than the $ .99 pershare earnings predicted by analysts). Intel was a component of the OEX option class witha 2.85% weighting at the time. (CBOE Rule 11.1.)

File No. 97-0044 (Offer of Settlement) JSS Investments L.L.C., an Exchange member orga-nization, and Richard Counts, a market-maker whose membership was registered for JSS,were jointly and severally fined in the amount of $2,500 for the following conduct. On July 16,1996, at approximately 3:23 p.m. (Central Time), Counts on behalf of JSS submitted anadvice to the Exchange indicating his intent to exercise 10 OEX Jul 645 put option contracts,after the 3:20 p.m. cutoff time and after 3:19 p.m. when Intel Corp. reported second quarterearnings of $1.17 (greater than the $ .99 per share earnings predicted by analysts). Intel wasa component of the OEX option class with a 2.85% weighting at the time. (CBOE Rule 11.1.)

File No. 97-0052 (Offer of Settlement) Tower Trading, L.P., an Exchange member organiza-tion appointed as a Designated Primary Market-Maker (“DPM”), was fined $7,500 and cen-sured. Tower Trading was also ordered to require a representative of Tower Trading to suc-cessfully complete the Series 27-Financial Principal Examination, and submit written proce-dures to the Exchange within 60 days of the issuance of a Decision in this matter for thedaily monitoring of net capital for the following conduct. Broker dealers computing net capitalpursuant to the basic method as set forth under Section 15(c) of the Act and Rule 15c3-1thereunder were required to maintain a minimum net capital of $100,000. On March 31,1997, Tower Trading operated with net capital below the minimum required amount of $100,000.(CBOE Rules 4.2, 13.1 and 15.1 and Section 15(c) of the Securities Exchange Act of 1934,as amended (the “Act”) and Rule 15c3-1; Section 17(a) of the Act and Rules 17a-3.)

File No. 97-0055 (Offer of Settlement) Ted Breiter, an Exchange market-maker, was cen-sured and fined $7,500 for the following conduct. Breiter permitted his clerk, Lane Samuels,to initiate and enter numerous option orders that increased or established positions in hismarket-maker account with Exchange floor brokers in the OEX class of option contractswhile Breiter was present in the OEX trading crowd. As a result of those transactions clear-ing into Breiter’s market-maker account, those transactions received preferential market-maker haircut and capital exempt treatment. At least 23 of the transactions effected bySamuels liquidated RAES positions in Breiter’s market-maker account from October 5,1994 through December 19, 1994.

1 At the October 29, 1997 BCC meeting, the Committee voted it would accept an offer conforming to its sanctionguidelilnes. On November 4, 1997, the Respondents submitted a conforming Offer.



File No. 97-0055 (Offer of Settlement) continued

In addition, in or about September 1995, Breiter and Charles Maylee, an Exchange mem-ber, submitted a Joint Account Application and Agreement (“Application”) to the Exchangeto establish a joint account (“QLT”) pursuant to Exchange Rule 8.9(c). The Applicationidentified Breiter and Maylee as the only participants in the joint account. Joint accountQLT became effective on or about October 2, 1995. Subsequently, Breiter permitted Samuelsto initiate and enter numerous option orders with Exchange floor broker members thatincreased or established positions in joint account QLT. The execution of these ordersresulted in transactions which Breiter allowed to be cleared into joint account QLT whenneither Breiter nor Maylee initiated or approved these orders. As a result of these transac-tions clearing into joint account QLT, these transactions received preferential market-makerhaircut and capital exempt treatment. Breiter caused to be submitted to the Exchange andthe Options Clearing Corporation records of these transactions effected by Samuels. (CBOERules 4.1, 4.2, 8.1 and 8.9(c), and FRB Regulation X.)

File No. 97-0056 (Offer of Settlement) Charles Maylee, an Exchange market-maker andnominee of ING TT&S (U.S.) Securities, Inc., an Exchange member organization, wascensured and fined $2,000 for the following conduct. In or about September 1995, Mayleeand Ted Breiter, an Exchange market-maker, submitted a Joint Account Application andAgreement (“Application”) to the Exchange to establish a joint account (“QLT”) pursuant toExchange Rule 8.9(c). The Application identified Maylee and Breiter as the only partici-pants in the joint account. Joint account QLT became effective on or about October 2,1995. Subsequently, during the approximate period from on or about October 2, 1995though on or about February 7, 1996, Maylee allowed Lane Samuels, a clerk on the floor ofthe Exchange for Breiter, to initiate and enter numerous option orders with Exchange floorbrokers that increased or established positions in joint account QLT. The execution ofthese orders resulted in transactions which Maylee allowed to be cleared into joint accountQLT when neither Maylee nor Breiter initiated or approved these orders. As a result of thesetransactions clearing into joint account QLT, these transactions received preferential mar-ket-maker haircut and capital exempt treatment. In addition, Maylee caused to be submit-ted to the Exchange and the Options Clearing Corporation records of these transactionseffected by Samuels. (CBOE Rules 4.1, 4.2, 8.1 and 8.9(c), and FRB Regulation X.)

File No. 97-0057 (Offer of Settlement) Lane Samuels, a clerk on the floor of the Exchangefor Ted Breiter, an Exchange market-maker, was censured and fined $500 for the followingconduct. In or about September 1995, Breiter and Charles Maylee, an Exchange market-maker, submitted a Joint Account Application and Agreement (“Application”) to the Ex-change to establish a joint account (“QLT”) pursuant to Exchange Rule 8.9(c). The Applica-tion identified Breiter and Maylee as the only participants in the joint account. Joint accountQLT became effective on or about October 2, 1995. Subsequently, from on or about Octo-ber 5, 1994 through in or about August 1995, Samuels, a non-member, initiated and enterednumerous option orders that increased or established positions in Breiter’s market-makeraccount with Exchange floor brokers in the OEX class of option contracts. As a result ofthese transactions clearing into Breiter’s market-maker account, these transactions re-ceived preferential market-maker haircut and capital exempt treatment. In addition, at least23 transactions effected by Samuels liquidated RAES positions in Breiter’s market-makeraccount between October 5, 1994 through December 19, 1994. Samuels also caused tobe submitted to the Exchange and the Options Clearing Corporation (“OCC”) records of thetransactions.

From on or about October 2, 1995 though on or about February 7, 1996, Samuels initiatedand entered numerous option orders with Exchange floor brokers that increased or estab-lished positions in joint account QLT. The execution of these orders resulted in transac-tions which cleared into joint account QLT when neither Breiter nor Maylee initiated orapproved these orders. As a result of these transactions clearing into joint account QLT,these transactions received preferential market-maker haircut and capital exempt treat-ment. Samuels also caused to be submitted to the Exchange and the OCC records of thetransactions. (CBOE Rules 4.1, 4.2, and 8.1, and FRB Regulation X.)



File No. 97-0059 (Letter of Consent) Robert Denning, a former registered representative ofDean Witter Reynolds, Inc., an Exchange member organization, was censured and fined$7,500 for the following conduct. Denning effected numerous stock and option transactionsin the accounts of four public customers on a discretionary basis without prior written autho-rization from the customers and written approval by his firm. In addition, Denning maderecommendations to two public customers to make two premature distributions from each oftheir individual retirement accounts (“IRA”). Denning also accepted instructions from a pub-lic customer to effect stock and options transactions in a public customer’s wife’s IRAwithout prior third-party written authorization from the customer’s wife. (CBOE Rules 4.1 and9.10(a).)

File No. 97-0060 (Offer of Settlement) Daniel I. Warsh, an Exchange market-maker, wascensured and fined $2,500 for the following conduct. On or about January 13, 1997 throughon or about January 16, 1997, prior to the opening of trading, Warsh was notified by hisclearing firm that his cross-margin account was in equity deficit. Subsequently, Warshentered into numerous option transactions which established or increased option positionsin his cross-margin account when his cross-margin account was in equity deficit. (CBOERules 4.1 and 4.2, and FRB Regulation X.)

The BCC resolved the following disciplinary matter by instituting summary proceedings dueto the respondent’s failure to answer or deny the allegations set forth in the statement ofcharges. As a result, the charges were deemed admitted by the respondent and disciplinarysanctions were accordingly imposed. (CBOE Rule 17.7.)

File No. 97-0054 (Summary Proceeding) Tae Ung Yun, a former registered representative ofCharles Schwab & Company, Incorporated (“Schwab”), an Exchange member organization,was permanently barred from Exchange membership and from association with any Ex-change member or member organization and censured. Yun: 1) effected numerous optionand stock transactions on a discretionary basis in the account of a public customer (the“Public Customer”) without prior written authorization from the Public Customer and writtenapproval by Schwab, and in contravention of Schwab’s internal policy prohibiting discretion-ary trading by its registered representatives for public customer accounts; 2) accessedSchwab’s Telebroker System and created a new Personal Identification Number (“PIN”) forthe Public Customer’s account without the Public Customer’s knowledge or consent, and incontravention of Schwab’s internal policy prohibiting its registered representatives from ac-cessing Schwab’s electronic Telebroker System without Schwab’s prior authorization. Sub-sequently, Yun entered several transactions through Schwab’s Telebroker System for thePublic Customer’s account on a discretionary basis without prior authorization from thePublic Customer. (CBOE Rules 4.1 and 9.10(a))

Exchange Bulletin€¦ · Andrew W. Hall, CBT registered for Paul Kepes, CBT registered for John J...

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