Release: 5593-08
For Release: December 24, 2008

CFTC Reopens Public Comment Period on Request to Permit Clearing of Certain OTC Agricultural Swaps

Exemptive and Other Relief Sought for OTC Corn Basis Swaps and OTC Calendar Swaps for Corn, Wheat, and Soybeans

Washington, DC – The Commodity Futures Trading Commission (Commission) is reopening the public comment period for a petition submitted jointly by the Chicago Mercantile Exchange Inc. (CME) and the Board of Trade of the City of Chicago, Inc. (CBOT) in connection with certain over-the-counter (OTC) agricultural contracts to be listed for clearing-only on the CBOT and cleared through CME. The comment period is being reopened due to the non-transmission of a comment letter that was submitted through the Federal Rulemaking Portal. The Commission is taking this action specifically to afford the commenter whose submission was not received, the opportunity to resubmit the comment. In addition, any other member of the public may submit a comment during the reopened comment period, which ends 21 days after publication in the Federal Register.

CME and CBOT are requesting that the Commission issue an order under Section 4(c) of the Commodity Exchange Act (CEA) that would permit qualified participants who enter into OTC corn basis swaps and OTC calendar swaps for corn, wheat, and soybeans to submit those contracts to CME for clearing. CME and CBOT also are requesting that the Commission issue an order under Section 4d of the CEA that would permit CME and clearing member futures commission merchants to commingle customer funds used to margin, secure, or guarantee these contracts with other funds held in segregated accounts.

Comments may be submitted electronically to, or by any other means listed in the attached Notice. All comments received will be posted on the Commission’s website.

Media Contact
R. David Gary


Last Updated: December 24, 2008