ISE Intl Secs Exchange Hldgs

The International Securities Exchange (NYSE:ISE) today reported that average daily trading volume for equity and index options contracts for July 2007 increased 55.8% to a record 3.6 million contracts as compared to 2.3 million contracts during the same period in 2006. Average daily trading volume in equity options contracts increased 54.4% to a record 3.5 million contracts for the month. Average daily trading volume in index options contracts also reached a record 0.1 million contracts per day, an increase of 155.0% over the same period last year. Total equity and index options volume for the month increased 63.6% to a record 75.1 million contracts from 45.9 million contracts in the same year-ago period. On a year-to-date basis, average daily trading volume of equity and index options increased 23.8% to 2.9 million contracts traded as compared to 2.4 million contracts traded in the prior year. Total year-to-date equity and index volume through July 2007 increased 23.8% to 427.5 million contracts from 345.4 million contracts in the same period last year. Equity and Index Options Volume Statistics Current Month Year-to-Date (000s) � Jul-07 � Jul-06 � % Change � Jul-07 � Jul-06 � % Change ISE Average Daily Volume 3,575.7 2,295.0 55.8% 2,948.4 2,382.2 23.8% ISE Total Volume 75,089.1 45,900.0 63.6% 427,524.2 345,420.3 23.8% Industry Average Daily Volume 12,660.4 7,730.7 63.8% 10,518.4 8,015.6 31.2% Market Share � 28.2% � 29.7% � (1.5) pts � 28.0% � 29.7% � (1.7) pts Market Share: Customer 28.8% 28.9% (0.1) pts 29.3% 30.4% (1.1) pts Market Share: Firm 28.2% 26.7% 1.5 pts 25.7% 25.8% (0.1) pts Market Share: Market Maker � 27.7% � 31.3% � (3.6) pts � 27.7% � 30.3% � (2.6) pts Equity Options Volume Statistics Current Month Year-to-Date (000s) � Jul-07 � Jul-06 � % Change � Jul-07 � Jul-06 � % Change ISE Average Daily Volume 3,494.5 2,263.2 54.4% 2,896.3 2,350.3 23.2% ISE Total Volume 73,384.1 45,263.2 62.1% 419,959.2 340,789.8 23.2% Industry Average Daily Volume 11,459.8 6,979.2 64.2% 9,505.1 7,283.3 30.5% Market Share � 30.5% � 32.4% � (1.9) pts � 30.5% � 32.3% � (1.8) pts Market Share: Customer 31.0% 31.4% (0.4) pts 31.8% 32.7% (0.9) pts Market Share: Firm 31.0% 29.7% 1.3 pts 28.3% 28.8% (0.5) pts Market Share: Market Maker � 29.8% � 34.3% � (4.5) pts � 30.0% � 32.9% � (2.9) pts Index Options Volume Statistics Current Month Year-to-Date (000s) � Jul-07 � Jul-06 � % Change � Jul-07 � Jul-06 � % Change ISE Average Daily Volume 81.2 31.8 155.0% 52.2 31.9 63.4% ISE Total Volume 1,705.0 636.8 167.8% 7,565.0 4,630.5 63.4% Industry Average Daily Volume 1,197.8 750.9 59.5% 1,011.8 731.8 38.3% Market Share � 6.8% � 4.2% � 2.6 pts � 5.2% � 4.4% � 0.8 pts Dividend Trade Activity Our market share statistics continue to be negatively impacted by trading activity related to dividend trades among certain options market makers. These trades temporarily inflate and distort trading volume and market share when transacted. If the volume from the largest dividend trades were excluded from the data, our market share of equity options for the month of July would increase to 30.7% from 30.5%, an increase of 0.2 market share points. On a year-to-date basis, our market share would increase to 31.3% from 30.5%, an increase of 0.8 market share points, if the volume from the largest dividend trades were excluded. The exclusion of dividend trades from total industry volume data presents a more relevant measure of the relative trends in our business. Monthly Highlights ISE was the largest U.S. equity options exchange in July. On July 18, 2007, ISE announced the launch of a newly redesigned corporate website, www.ise.com. The site features a simplified user interface along with enhanced content and functionality providing up-to-date information and data on ISE's options exchange, stock exchange, alternative markets platform, and market data business. On July 26, 2007, ISE set a record for daily trading volume of 6,226,821 equity and index options contracts, surpassing the previous record of 5,531,875 contracts set on February 27, 2007. On July 27, 2007, the ISE Stock Exchange set a daily trading volume record of 33,234,500 shares. On July 27, 2007, ISE�s stockholders voted to approve the merger agreement in which Eurex will acquire ISE. 99.7 percent of the stockholders who voted were in favor of the agreement. More than 67 percent of eligible shares were voted. Under the terms of the merger agreement announced on April 30, 2007, ISE stockholders will receive $67.50 in cash for each ISE share held. ISE traded more volume than any other options exchange in 966 of 1,787 issues in its listings. ISE Background International Securities Exchange Holdings, Inc. (NYSE: ISE), through its subsidiaries, operates a family of innovative securities markets. ISE is founded on the principle that technology and competition create better, more efficient markets for investors and consists of an options exchange, a stock exchange and an alternative markets platform. ISE continually enhances its trading systems and develops new products to provide investors with the best marketplace and investment tools to trade smarter. ISE developed a unique market structure for advanced screen-based trading systems and in May 2000 launched the first fully electronic US options exchange. Currently, ISE operates the largest U.S. equity options exchange and is among the leading options exchanges in the world. ISE offers index options, including a portfolio of proprietary index products, and enhanced market data products for sophisticated investors. ISE FX OptionsSM launched in the second quarter of 2007. ISE Stock Exchange, launched in September 2006, is a completely electronic marketplace and the only dual structure platform that integrates a dark pool, MidPoint MatchSM, with a fully displayed stock market. Midpoint Match is a proprietary, non-displayed market that trades equity securities at the midpoint between the National Best Bid and Offer (NBBO). ISE�s alternative markets business currently consists of an events market trading platform known as Longitude. Longitude�s patented and proprietary technology provides a unique parimutuel structure for derivatives auctions which results in greater trading and pricing flexibility for market participants. For more information about ISE, visit www.ise.com.