EuroCCP Signs Clearing and Settlement Code of Conduct

EuroCCP announced today that it had signed the Code of Conduct for
clearing and settlement during a meeting at the European Commission in
Brussels.

The Code was signed formally by Diana Chan, chief executive
officer of EuroCCP, in keeping with a commitment made by The
Depository Trust & Clearing Corporation (DTCC), EuroCCP´s parent
organisation, when it was selected to provide a clearing and
settlement solution for Turquoise, a group of global investment banks
creating a pan-European trading platform. By signing the voluntary
Code of Conduct, EuroCCP agrees to enhance transparency and increase
competition in the post-trade sector.

EuroCCP received approval two weeks ago as a Recognised Clearing
House (RCH) from the U.K.´s Financial Services Authority (FSA). That
approval allows EuroCCP to begin clearing and settling trades for
Turquoise and other multilateral trading platforms and exchanges in
Europe.

"We believe EuroCCP can set a new standard in helping to reduce
the costs of clearing and settlement in Europe," said Chan. "We are
already in discussions with a number of trading platforms who are
looking for an alternative low-cost clearing and settlement provider."

As a result of EuroCCP being approved by the FSA as a Recognised
Clearing House and EuroCCP signing the Code of Conduct, the firm has
published its fee schedule on its Web site. The fees are expected to
be significantly less than other clearing organisations in Europe.

Chan pointed out that in addition to low fees for clearing and
settlement, EuroCCP will provide added processing efficiencies. It is
envisaged that financial firms that trade on any multilateral trading
facility or exchange that uses EuroCCP can benefit by having their
trade obligations netted down or reduced into one net settlement
position each day per security, thereby requiring only one settlement
for all trades on all platforms. Moreover, there will be one
collateral amount to secure open positions across all platforms.

EuroCCP´s "at-cost" business model means it will return any excess
money beyond that required to fund the business to its participant
firms in the form of rebates or discounts. The organisation is also
user-governed, with a 13-member board made up of participant firm
representatives, three independent board members and two management
representatives. The participant organisations include Deutsche Bank,
Goldman Sachs, Merrill Lynch, Citi, UBS, BNP Paribas, Credit Suisse,
and Morgan Stanley. The three independent directors are
Edouard-Francois de Lencquesaing (former head of transaction banking
and IT at Credit Commercial de France), Iain Saville (former Chief
Executive of CRESTCo Ltd.) and Derek Ross (former Partner at Deloitte
U.K.).

The Code of Conduct essentially requires stock exchanges, central
securities depositories and central counterparties (such as EuroCCP)
to open up competition in clearing and settlement. Key among the
voluntary provisions are that prices charged by clearing and
settlement organisations be publicly disclosed and made comparable.
The code also establishes ground rules for access and interoperability
between market infrastructures, building on the provisions under the
Markets in Financial Instruments Directive (MiFID). MiFID fosters
cross-border securities market integration by removing barriers to
competition in the trading of securities. Finally, the code requires
that services be made available to users on an unbundled basis.

"We are charging very low fees," Chan said. "In addition, one of
the key differences between us and some other clearing organisations
in Europe is that we give back to clearing participants the full
amount of interest earned on cash collateral, because of our ´at-cost´
business model. For some firms, the spread they lose on the interest
on cash collateral is a very significant hidden cost."

The fee schedule for EuroCCP is available at the company´s web
site at
http://www.euroccp.co.uk/docs/EuroCCP_Fee_Schedule_Mar2008.pdf.

About EuroCCP

European Central Counterparty Limited (EuroCCP), headquartered in
London, is a subsidiary of The Depository Trust & Clearing Corporation
(DTCC). It was formed to provide clearing and settlement services for
multilateral trading facilities and exchanges across Europe. It will
initially clear equity trades in 14 countries and in seven different
currencies. For more information, visit www.euroccp.co.uk.

About DTCC

The Depository Trust & Clearing Corporation (DTCC), through its
subsidiaries, provides clearance, settlement and information services
for equities, corporate and municipal bonds, government and
mortgage-backed securities, money market instruments and
over-the-counter derivatives.

In addition, DTCC is a leading processor of mutual funds and
insurance transactions, linking funds and carriers with financial
firms and third parties who market these products. DTCC´s depository
provides custody and asset servicing for more than 3.5 million
securities issues from the United States and 110 other countries and
territories, valued at $40 trillion. Last year, DTCC settled more than
$1.8 quadrillion in securities transactions. DTCC has operating
facilities in multiple locations in the United States and overseas.
For more information on DTCC, visit www.dtcc.com.