1. InformationXchange FIA-Japan Chapter Presents: The Emerging Japanese Futures Markets March 14, 2007 FIA Boca Raton 2007

2. The Emerging Japanese Futures Markets Background & Current Status of Markets History Size Access FIA Boca Raton 2007

3. Commodity Market Revolution Big Bang! Foreign Investment Banks Enter the Market Prop Houses are Interested… FIA Boca Raton 2007

4. FIA – Japan Chapter  Membership – Broad representation  Japan, US, European  Exchanges, FCMs, Banks, ISVs, etc.  Purposes: Education, communication, regulatory issues, “best practices” FIA Boca Raton 2007

5. Japanese Futures Markets Today’s Program Commodities Industry Restructuring TFX: Growth and Expansion TOCOM: Internationalizing C-Com: Specialty Market Regulators’ Viewpoint: METI & MAFF Technology - ISVs FIA Boca Raton 2007

6. Tokyo Financial Exchange Inc. Euroyen Market at TFX March 14, 2007 32nd Annual International Futures Industry Conference

7. © Tokyo Financial Exchange Inc. All rights reserved. 1. 2006 Market Overview (1) Factors - Lift of Quantitative Easing Monetary Policy (2006 March) - Lift of Zero-interest Rate Policy(2006 July) (2) Annual Volume in 2006 (3) Open Interest of 2006 year-end Open Interestyear-on-year Euroyen Futures2,326,719 164 % Euroyen Options481,355 1,481 % Annual Volumeyear-on-year Euroyen Futures31,495,084 287 % Euroyen Options3,976,697 9,651 %

8. © Tokyo Financial Exchange Inc. All rights reserved. 2. Annual Volume - Euroyen * ‘Yield’ is a rate calculated based on a settlement price of Euroyen 1 st month (since 1989) Zero-interest Rate Policy (From Feb 1999 to July 2006) Quantitative Easing Monetary Policy (From Mar 2001 to Mar 2006) Futures

9. © Tokyo Financial Exchange Inc. All rights reserved. 3. Open Interest - Euroyen (Year-end, since 1989) (Open Interest in thousands)

10. © Tokyo Financial Exchange Inc. All rights reserved. 4. Outstanding of Japanese Government Debts Source: Bank of Japan (1) General Government Gross Financial Liabilities (Percent of Normal GDP) (2) Outstanding of Government Debts in Japan Source: OECD * Including Postal Savings 70 %

11. © Tokyo Financial Exchange Inc. All rights reserved. 5. Potentiality for Euroyen (Analysis) (1) Amount Holdings of Debt Securities and Loans by Private Financial Institutions JapanU.S.EU (12 Countries) (Amount in US$)13,080 billion30,272 billion18,078 billion (2) 2006 Trading Volume & Amount Value, Major STIR Products Euroyen (TFX)Eurodollar(CME)EURIBOR (liffe) Volume31 million502 million202 million (Amount in US$)25,000 billion502,000 billion250,000 billion (3) Turnover Ratio Euroyen (TFX)Eurodollar(CME)EURIBOR (liffe) [ (2) / (1) ] 1.916.613.8 Euroyen market has high potentiality to enlarge 7, 8 times. Source: FRB, ECB, Bank of Japan

12. © Tokyo Financial Exchange Inc. All rights reserved. 6. Global Trend of STIR Futures Global Uptrend 7, 8 times

13. © Tokyo Financial Exchange Inc. All rights reserved. 7. Edges on TFX  Enhanced System Architecture and Trading Facilities supported by LIFFE CONNECT TM  Availability of World Standardized Facilities and Systems such as Give-ups, SPAN®, Bust Scheme and Block Trades  A Number of Clearing Members with Wealth of Resource

14. © Tokyo Financial Exchange Inc. All rights reserved. Financial Futures Contracts Clearing Members ABN AMRO Securities (Japan) Ltd. Barclays Capital Japan Limited Calyon Capital Markets Asia B.V. Credit Suisse Securities (Japan) Limited Deutsche Securities Inc. Goldman Sachs Japan Co., Ltd. JPMorgan Securities Japan Co., Ltd. Merrill Lynch Japan Securities Co.,Ltd. Morgan Stanley Japan Securities Co., Ltd. Nikko Citigroup Ltd. Lehman Brothers Japan Inc. Societe Generale Securities (North Pacific) Ltd. UBS Securities Japan Ltd. The Bank of Tokyo-Mitsubishi UFJ, Ltd. Mizuho Bank, Ltd. Mizuho Corporate Bank, Ltd. Resona Bank, Ltd. Sumitomo Mitsui Banking Corporation Aozora Bank, Ltd. The Chuo Mitsui Trust and Banking Co., Ltd. Mitsubishi UFJ Trust and Banking Corporation The Shoko Chukin Bank The Sumitomo Trust and Banking Co., Ltd. Mizuho Trust & Banking Co., Ltd. The Norinchukin Bank Shinkin Central Bank Shinsei Bank, Ltd. Daiwa Securities SMBC Co., Ltd. Mitsubishi UFJ Securities Co., Ltd. Mizuho Investors Securities Co., Ltd. Mizuho Securities Co., Ltd. Nomura Securities Co., Ltd. Okasan Securities Co., Ltd. Shinko Securities Co., Ltd. The Ashikaga Bank, Ltd. The Bank of Fukuoka, Ltd. The Bank of Kyoto,Ltd. The Bank of Yokohama, Ltd. The Chiba Bank, Ltd. The Gunma Bank, Ltd. The Hachijuni Bank, Ltd. The Hyakujushi Bank, Ltd. The Johnan Shinkin Bank The Joyo Bank, Ltd. The Shizuoka Bank, Ltd. The Yamaguchi Bank, Ltd. (As of December 19, 2006)

15. © Tokyo Financial Exchange Inc. All rights reserved. 8. Major Achievements of TFX 2007  Expanding Market Opportunities - Extension of Trading Hours[2007Feb]  Euroyen Options Promotions - Introduction of Market-maker scheme[2007Jan] - Reduction of Exchange Fee[2007Jan]  Improvement of Clearing System Functions - Bulk Notifications for Give-ups and Off-setting

16. © Tokyo Financial Exchange Inc. All rights reserved. 9. Challenges of the Future  Upgrade Installation (LIFFE CONNECT TM Ver 9.1) -Changing Matching Algorithm to Pro-rata -Supporting 6 million orders per a day  Remote Membership -No-Action Relief by CFTC -Providing Global Network Hubs  New Products Listing (Credit Derivatives, etc)

17. © Tokyo Financial Exchange Inc. All rights reserved. Tokyo Financial Exchange Inc. 21 Ichiban-cho, Chiyoda-ku, Tokyo 102-0082 Tel: 81-3-3514-2418 Fax: 81-3-3514-2425 URL: http://www.tfx.co.jp E-Mail: intlinfo@tfx.co.jp The copyright for this publication is held by Tokyo Financial Exchange Inc. (TFX). This publication has been compiled by TFX for general information purpose only. Although every attempt has been made to ensure the accuracy of the information, TFX assumes no responsibility for any errors and omissions. All matters pertaining to rules and procedures herein are made subject to and are superseded by official TFX rules. The descriptions in this publication are only intended to commentary and none of them aims to provide investors or asset management advice. TFX reserves the right to change the contents of this publication without prior notice. SPAN® used herein is a registered trademark of Chicago Mercantile Exchange and used herein under license. Chicago Mercantile Exchange assumes no liability in connection with the use of SPAN® by any person or entity.

18. InformationXchange FIA Japan Chapter FIA Boca Raton 2007 March 14, 2007 The piece to complete your portfolio Updates on the Tokyo Commodity Exchange

19. Total volume 93 million lots Updates on the Tokyo Commodity Exchange Share of TOCOM in Japanese commodity market in 2006 InformationXchange FIA Japan Chapter

20. Updates on the Tokyo Commodity Exchange TOCOM daily volume average since 1995 InformationXchange FIA Japan Chapter

21. “% of foreign trades” indicates the share of foreign trades among client trades Updates on the Tokyo Commodity Exchange Growth of foreign trades: average daily foreign volume 2001-2006 InformationXchange FIA Japan Chapter

22. 56% 6% 18% 24% 8% 44% Composition of trading volume by type of traders in 2006 Proprietary Trade Customer Trade 8% 36% Updates on the Tokyo Commodity Exchange InformationXchange FIA Japan Chapter

23. 56% 44% International firms obtain membership May 2004 Fimat (proprietary trade only) March 2005 Morgan Stanley (customer and proprietary trade) July 2005 Goldman Sachs (proprietary trade) June 2006 Lehman Brothers (proprietary trade) December 2006 Credit Suisse (customer and proprietary trade) East West Trading (proprietary trade) May 2005 Amended Commodity Exchange Law was enforced. InformationXchange FIA Japan Chapter Updates on the Tokyo Commodity Exchange

24. 03/14/2007 InformationXchange FIA Japan Chapter FIA Boca Raton 2007 Hayami Shiraishi

25. Central Part of Japan NagoyaNagoya Industrial and Agricultural commodities Established 1996Established 1996 Acquired Osaka Mercantile Exchange - 1/1/2007 Who We Are Who We Are 1

26. Acquisition of Osaka Mercantile Exchange Added AluminumAluminum NickelNickel Rubber (TSR20, RSS3, Index)Rubber (TSR20, RSS3, Index) Total 10 Products Gasoline, Kerosene, Gas Oil, Ferrous Scrap, EggsGasoline, Kerosene, Gas Oil, Ferrous Scrap, Eggs Trading facilities Nagoya Headquarters (electronic)Nagoya Headquarters (electronic) Osaka Trading Center (trading floor)Osaka Trading Center (trading floor) All electronic – Fall 2007All electronic – Fall 2007 2

27. C-COM Monthly Volume (2006-2007) 3

28. Internationalization Internationalization FIA member since 09/2005FIA member since 09/2005 Application for CFTC Part 30 ExemptionApplication for CFTC Part 30 Exemption MOU Information Exchange & CorporationMOU Information Exchange & Corporation NYMEX, KRX, DCE, TAIFEX, AFET Associate Membership for Foreign InvestorsAssociate Membership for Foreign Investors 60 members from 9 countries 60 members from 9 countries Lower Margin Requirements Lower Margin Requirements Promotion — Free to join now! Promotion — Free to join now! 4

29. Future Plans Future Plans New Trading System - Fall 2007 ISV ConnectivityISV ConnectivityDemutualization Enhanced governanceEnhanced governance More efficient operationsMore efficient operations New products US$ Gold, Commodity Index, LPG, etc.US$ Gold, Commodity Index, LPG, etc. 5

30. Thank you!

31. InformationXchange FIA-Japan Chapter The Emerging Japanese Futures Markets March 14, 2007 FIA Boca Raton 2007

32. InformationXchange FIA-Japan Chapter Thank you! March 14, 2007 FIA Boca Raton 2007