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CBOE'S FLEX OPTIONS TOP $5 BILLION IN UNDERLYING VALUE

 CHICAGO, June 21 /PRNewswire/ -- The Chicago Board Options Exchange (CBOE) announced today that its FLexible EXchange (FLEX) Options, designed to broaden institutional investor access to customized derivatives, topped $5 billion in underlying value after only 79 days of trading.
 Open interest in FLEX Options on June 18, 1993, was 88,580 contracts, with average daily dollar volume surpassing $64.2 million.
 "Institutional investors are finding CBOE's FLEX Options market to be a timely, cost-efficient alternative to over-the-counter options," said CBOE Chairman Duke Chapman. "FLEX Options market users can, in effect, receive at least seven competitive bids and/or offers on a customized product with one request-for-quote."
 Listed on Feb. 26, 1993, FLEX Options accommodate institutional needs for hedging and asset allocation strategies by offering customized derivative products based on the S&P 100 and S&P 500 stock indexes. Transactions in which a FLEX series is created must represent at least $10 million in underlying value.
 "FLEX Options are proving their utility in the execution of large-scale equity portfolio hedges, with transaction sizes averaging $24.9 million in underlying value," Chapman added. On May 27, a FLEX Options transaction on $300 million of underlying value took place -- a record transaction size thus far.
 FLEX Options allow institutions, such as pension funds, money managers and insurance companies, to select various terms of an option contract: Length of time, strike price, exercise style and expiration value. Furthermore, FLEX reduces trading counter-party credit risk, because the options are issued and guaranteed by the Options Clearing Corporation, the only clearing corporation worldwide with a rating of "AAA" from Standard & Poor's Corporation.
 CBOE, regulated by the Securities and Exchange Commission (SEC), is the pioneer of listed options and the world's largest options marketplace.
 -0- 6/21/93
 /CONTACT: Stan Lata, 312-786-7392, or Bonnie Greenberg, 312-786-7393, both of Chicago Board Options Exchange/


CO: Chicago Board Options Exchange ST: Illinois IN: FIN SU:

CK -- NY059 -- 4065 06/21/93 12:53 EDT
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Date:Jun 21, 1993
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