Addendum to Guide to TSE April 2001

Business section * Please note that all red text in the Original column will be replaced by the text in the Correction column
Section / Exact reference / Original / Correction
International Retail Service / Section 3.3.2
First paragraph
Second and third sentence / A continuous execution phase enabling brokers to trade with CPs, will operate from 08:15 to16:00. Extended trading hours may apply for US securities. / … will operate from 08:15 to 16:00 for European securities. For US securities the continuous execution phase will operate from 14:45 to 17:00.
International Retail Service / Section 3.3.2
Second paragraph
Price orientation / The trading day will start at 07:45 with a price orientation phase during which time only CPs are able to enter and modify[1] their prices. During this phase only committed principal order entry and deletion will be permitted and broker participants will not be able to enter orders to execute against committed principal orders. Committed principal orders will execute against other committed principal orders during this phase to avoid choice price or backwardation. / While CPs are not obliged to open their prices before continuous execution (08:15 for European securities and before 14:45 for US securities) they may optionally choose to open their prices before the continuous execution (MCPP) starts.
Once CPs open their prices, brokers will be able to electronically execute against those prices as in the continuous execution / broker execution period (MCPP).
This means that CPs and brokers can execute against each other before the MCPP starts.
International Retail Service / Section 3.3.2
Paragraph 5
Closing prices / At the end of the mandatory committed principal period (16:00),order execution will cease except for committed principal versus committed principal order execution. The closing price will be determined at 16:00 by the best CP prices available. Committed principal orders will remain visible beyond the close of the market unless deleted by the respective committed principals. All orders will be deleted automatically overnight. / At the end of the MCPP period for European securities, CPs will not be obliged to continue to display their prices although they may do so if they wish, until 17:00. During this time broker orders can aggressively execute against CP orders. Closing prices will be taken at 16:002.
The mandatory period for US securities will last until 17:00 after which closing prices will be taken. There will be no extended trading after 17:00.
Trading day for the International Retail Service / Page 14, Trading day diagram Figure 3 / See original diagram below / See changed diagram below

Figure 3:IRS Trading Day on page 14


Technical section

Section / Exact reference / Original / Correction
Page breaks in PDF file / Just to confirm – some page breaks have been put into the detailed guide on the website which mean that some tables / bullet points list go over more than one page. The pages are:
Page 26/27
Page 29/30
Page 32/33
Page 36/37
Page 43/44
Page 54/55. / See individual pages. / Page breaks removed to ensure tables / bullet points are on one page.
Page 29, 6.2.2 New market segments and sectors, Table 4: market segments and sectors per service / Update to reflect changes. / See table in detailed guide. / Refer to Changes to Figures Section, any changes are highlighted.
Page 32, 6.2.3 New periods, Table 6: example default period schedule for IRS / Update to reflect changes. / See table in detailed guide. / Refer to Changes to Figures Section, any changes are highlighted.
Page 37; SEAQ Crosses,
Third paragraph / "Both Limit Orders (LO) and Market Orders (MO) can be entered from the start of the mandatory quote period to the closing cross. A minimum size will be set for orders by tradable instrument. This will be broadcast as reference data using a 5OB ‘Tradable Instrument / Currency in Market Segment’ message with the Minimum Principal and Minimum Agent Order Size set. " / "Both Limit Orders (LO) and Market Orders (MO) can be entered from the start of the mandatory quote period to the close. No minimum size will be set for these orders. "
Page 58, Appendix 2: trading parameters table IOB / Some of the trading parameters for the IOB service have changed. These changes are highlighted. / See table in detailed guide. / Refer to Changes to Figures Section, any changes are highlighted.

Technical section

Section / Exact reference / Original / Correction
Page 58, Appendix 2: trading parameters table IRS / The minimum order size for brokers is zero, but not for CPs who are obliged to enter a minimum display size. The guide is ambiguous in that it does not explicitly state what the display is. / See table in detailed guide. / Refer to Changes to Figures Section, any changes are highlighted.
Page 63, Appendix 7, Instrument Code Table / Some new instrument codes have been added and incorrect instrument codes need to be amended. / See table in detailed guide. / Refer to Changes to Figures Section, any changes are highlighted.

CHANGES TO FIGURES

6.2.2 Table 4: market segments and sectors per service on page 29

Service / Segment / Sector(s) / Description
IOB / IOB / LLIS
LIS1
NLLS
NLS1 / London Listed International Securities
London Listed International Securities 1
Non-London Listed International Securities
Non-London Listed International Securities 1
IRS / INTR / BECP
CHCP
DECP
ESCP
FICP
FRCP
ITCP
NLCP
NOCP
OTCP
SECP
USCP
BECL
CHCL
DECL
ESCL
FICL
FRCL
ITCL
NLCL
NOCL
SECL
USCL / Belgium Committed Principal Sector
Swiss Committed Principal Sector
German Committed Principal Sector
Spanish Committed Principal Sector
Finnish Committed Principal Sector
French Committed Principal Sector
Italian Committed Principal Sector
Netherlands Committed Principal Sector
Norway Committed Principal Sector
Other Committed Principal Sector
Swedish Committed Principal Sector
US Committed Principal Sector
Belgium Listed Committed Principal Sector
Swiss Listed Committed Principal Sector
German Listed Committed Principal Sector
Spanish Listed Committed Principal Sector
Finnish Listed Committed Principal Sector
French Listed Committed Principal Sector
Italian Listed Committed Principal Sector
Netherlands Listed Committed Principal Sector
Norway Listed Committed Principal Sector
Swedish Listed Committed Principal Sector
US Listed Committed Principal Sector
SEAQ / SEAQ / F250
SQOS / FTSE 250 Quoted
Other SEAQ Securities
SEQ1 / FS25
SEQ1 / FTSE 250 Quotes
Other SEAQ Securities
SETS / SET1 / FT10
FS10* / FTSE 100
FTSE 100
SET2 / FT25
FE25* / FTSE 250 Orders
FTSE 250 Orders
SET3 / EM
SECN
STOS
STSS# / ExtraMARK
Security Notifications
Other SETS Securities
SETS Securities

* New sectors within the SET1 and SET2 segment

# New sector introduced in parallel with this release

6.2.3 Table 6: example default period schedule for IRS on page 32

Period start time / Period name / Period description
07:00 / OPEN / Market open
07:45 / PMCP / Pre mandatory committed principal period
08:15* / MCPP / Mandatory committed principal period
16:00** / EMCP / End of mandatory committed principal period
17:00 / OBC / Order book close
17:15 / CLOS / Market close
17:16 / ADMIN / Administration
17:30 / EOA / End of administration

*14:45 for USCL and USCP sectors.

**15:55 for NLCL, NLCP, CHCL and CHCP sectors. 17:00 for ULCL and USCP sectors.

Appendix 2: trading parameters on page 58

Please note that this list of parameters may be subject to change

Parameter / IOB / IRS
Dynamic price tolerance applied during continuous trading for stocks $5 and above / 10% / No dynamic price monitoring enabled
Dynamic price monitoring tolerance applied during continuous trading for stocks below $5 / 25% / N/A
Opening auction price monitoring tolerance / 20% / N/A
Closing auction price monitoring tolerance / 5% / N/A
Automatic execution suspension period / 5 minutes / No dynamic price monitoring enabled
Trade reporting deadline / 3 minutes / 3 minutes
Closing price determination / If the security does not uncross in the closing auction, the closing price will be the VWAP of all automatically executed trades (“ATs”) for a specified period.
In the event that there is no VWAP price the last AT price prior to the VWAP will be used. / Closing price determined by the mid-price of the best CP prices
Price monitoring extensions / Opening auction extension lasts 5 minutes and 2 minutes in the closing auction (+ up to 30 seconds random period).
There is a 2nd extension in the closing auction which lasts for 10 minutes (+ up to 30 seconds random period).
PMEs do not occur following AESP in continuous trading. / N/A
Market order extension / Duration of this extension is 2 minutes (+ up to 30 seconds random period) and will occur in all auctions. / N/A
Currency code / United States Dollar / Pence Sterling GBX
Tradable instrument type / DR (Depositary Receipt) / IE (International Equity)
Lot size / 50 shares / N/A
Quote unit size / N/A / N/A
Minimum order / quote size / 50 shares / No minimum order entry size, although CPs will maintain a minimum display size
Maximum order / quote size / 99999.99 x NMS / 99999.99 x NMS
Tick size / 1 US cent for all securities* / Share price ≤ £5 – 0.25p
Share price > £5 – 0.50p
Share price ≥ £10 – 1.00p

*revised parameter

Appendix 7: test instruments on page 63

Market Segment Code / Market Sector Code / Tradable Instrument Display Mnemonic / Currency Code / Tradable Instrument Code / SEDOL Code / Normal Market Size / Country of Register / Price Format Code
SET7 / IOB1 / ITS1 / USD / US0070008216 / 7000821 / 10000 / ZZ / D
SET7 / IOB1 / ITS2 / USD / US0070008323 / 7000832 / 25000 / US / D
SET7 / IOB1 / ITS8# / USD / US0027375999 / 2737599 / 5000 / TW / Q
SET7 / IOB1 / ITS9# / USD / US0027376070 / 2737607 / 10000 / TR / H
SET7 / IOB1 / IT10# / USD / US0027376187 / 2737618 / 25000 / IN / W
IOB / LLIS / CKTD / USD / US15713M1071 / 5474741 / 2500 / ZZ / J
IOB / LLIS / TPSD / USD / US87943D2071 / 5551611 / 25000 / ZZ / J
IOB / LLIS / KTCD / USD / US50063P1030 / 2419875 / 7500 / US / J
IOB / LLIS / SILA / USD / US8270848646 / 2577502 / 15000 / US / J
IRES / FR1 / ITS3 / GBX / FR0070178100 / 7017810 / 10000 / GB / D
IRES / FR1 / ITS4 / GBX / FR0070178217 / 7017821 / 10000 / GB / D
IRES / FR1 / ITS5 / GBX / FR0070178548 / 7017854 / 10000 / ZZ / D
IRES / FR1 / ITS6* / GBX / FR0070178654 / 7017865 / 10000 / ZZ / D
IRES / FR1 / ITS7* / GBX / FR0070178878 / 7017887 / 10000 / GB / D
INTR / FRCP / CYO / GBX / FR0000184202 / 5713477 / 1000 / ZZ / W
INTR / FRCP / FTE / GBX / FR0000133308 / 5176177 / 600 / ZZ / W
INTR / FRCP / SNF / GBX / FR0000120578 / 5671735 / 700 / FR / W
INTR / DECP / DCX / GBX / DE0007100000 / 5529027 / 800 / DE / W
INTR / DECP / DDE / GBX / DE0005016901 / 5361854 / 200 / DE / W
INTR / OTCP / SYZ / GBX / DE0005104806 / 4482154 / 1000 / ZZ / J

*No background scripted activity in these instruments

#Customers wishing to be enabled to enter orders in these instruments should contact their Account Manager.

[1] Committed principal order modification is achieved by deleting the relevant committed principal order(s) and entering a new committed principal order with revised details.

2 For the Netherlands and Switzerland the closing prices will be taken at 15:55.