Market Data Optimisation 2009 (MDO) Phase II

14 May 2009

A consultation

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MDO 2009 Phase II - Introduction

Following the success of Market Data Optimisation 2009, the Group is initiating on a second phase of the project, which aims to deliver further enhancements and a more diverse distribution of instruments across channels.The existing structure of both London and Milan channels will be further refined to allow an increase in the simulatenous publication of messages across a wider range of multicast channels, as well as deliver a number of optimisations driven directly by customer feedback.

MDO Phase II will deliver the following benefits:

• Improvements in the parallel distribution of real time messages – an increased number of channels for UK and Borsa data

• Streamlined processing path from TradElect to Infolect

• Optimised channel configurations, ensuring a consistent delivery approach across all markets and services – see slide 3 for more details

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MDO 2009 Phase II - Scope

Key scope items of MDO Phase II are:

• Additional load balancing of instruments across both London and Milan channels

• Reduction in idle poll interval from 15 to 5 seconds,

• Transfer of all Covered Warrants market data messages (some ‘added value’ and ‘trade reports’ message types) to appropriate Covered Warrants Service/Performance Channels,

• Rename of Px3 channels to Px2 to mirror Service Channel structure,

• Decommissioning of the following legacy Level 1 Plus messages:

— 5AB Return Measures— 5MV Market Share Top 5— 5AF Alpha/Betas— 5AP Average Cumulative Volumes,

• Decommissioning of the 5UP Uncrossing Price message from the Level 2 channels.

Target go-live date: September 2009

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UK Markets: Additional Load Balancing Impact Channel Structure -

Existing

S/Pax SETS: FTSE 100 > 1%

S/Pbx SETS: FTSE 100 < 1%

S/Pcx SETS: FTSE 250 1

S/Pdx SETS: FTSE 250 2

S/Pex ETFs, ETCs & Specialists

S/Pfx SETS, SETSqx, SEAQ, IRS & Misc.

S/Pgx Reserved for future use

S/Phx Reserved for future use

S/Pix Reserved for future use

S/Pjx Reserved for future use

Channel Structure Post MDO Phase II

S/Pax UK Instruments - Group 1

S/Pbx UK Instruments – Group 2

S/Pcx UK Instruments – Group 3

S/Pdx UK Instruments – Group 4

S/Pex UK Instruments – Group 5

S/Pfx UK Instruments – Group 6

S/Pgx UK Instruments – Group 7

S/Phx UK Instruments – Group 8

S/Pix UK Instruments – Group 9

S/Pjx UK Instruments – Group 10

S/Pkx UK Instruments – Group 11

S/Plx UK Instruments – Group 12

S/Pmx Reserved for future use

S/Pnx Reserved for future use

S/Pox Reserved for future use

S/Ppx Reserved for future use

S/Pqx Reserved for future use

S/Prx Reserved for future use

• The existing range of UK channels will be further distributed across 12 channels for each Level of data.

• Instruments within this product set will be balanced evenly across all of the channels.

• The Exchange will publish a list detailing which instruments will be sent on each channel.

• As and when instruments move channels, a revised list will be available.

• These changes will affect all data channels – see slide 4.

• The same approach will be adopted for the current and future Borsa Italiana data channels – see slide 6.

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UK Markets: Additional Load Balancing Impact(2)

• The remaining channels will have their Service Codes and multicast IP addresses updated to be contiguous.

Channel Structure Post MDO Phase II (Cont‘d)

S/P03 UK Reference Data

S/P04 International Level 1

S/P05 International Level 2

S/P06 International Reference Data

S/P07 European Level 1

S/P08 European Level 2

S/P09 European Reference Data

S/P10 Covered Warrants Level 1

S/P11 Covered Warrants Level 2

S/P12 Market Status Indicators

S/P13 Market Reference Data

S/P14 RNS News

S/P15 DOL (Full)

S/P16 DOL Changes

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Borsa Markets: Additional Load Balancing Impact

Structure Post Affari Phase II

D01

Italian - Level 1

D02

Reserved for future use

D03

Italian - Level 2 Depth

D04

Italian Reference Data

D05

Market Status Indicators (Borsa)

D06

Market Reference Data

D07

SEDEX – Level 1

D08

SEDEX – Level 2 Depth

D09

SEDEX Reference Data

D10

MOT – Level 1

D11

MOT – Level 2 Depth

D12

MOT Reference Data

D13

ETF Plus – Level 1

D14

ETF Plus - Level 2 Depth

D15

ETF Plus Reference Data

Structure Post MDO Phase II

D01

MTA & Expandi Instruments – Level 1 – Group 1

D22 SEDEX Reference Data

D02

MTA & Expandi Instruments – Level 1 – Group 2

D23 MOT Instruments – Level 1 – Group 1

D03

MTA & Expandi Instruments – Level 1 – Group 3

D24 MOT Instruments – Level 1 – Group 2

D04

Reserved for future use D25 Reserved for future use

D05

Reserved for future use D26 Reserved for future use

D06

Reserved for future use D27 MOT Instruments – Level 2 – Group 1

D07

MTA & Expandi Instruments – Level 2 – Group 1

D28 MOT Instruments – Level 2 – Group 2

D08

MTA & Expandi Instruments – Level 2 – Group 2

D29 Reserved for future use

D09

MTA & Expandi Instruments – Level 2 – Group 3

D30 Reserved for future use

D10

Reserved for future use D31 MOT Reference Data

D11

Reserved for future use D32 ETF Plus Instruments – Level 1 – Group 1

D12

Reserved for future use D33 ETF Plus Instruments – Level 1 – Group 2

D13

MTA & Expandi Instruments Reference Data

D34 Reserved for future use

D14

SEDEX Instruments – Level 1 – Group 1 D35 Reserved for future use

D15

SEDEX Instruments – Level 1 – Group 2 D36 ETF Plus Instruments – Level 2 – Group 1

D16

Reserved for future use D37 ETF Plus Instruments – Level 2 – Group 2

D17

Reserved for future use D38 Reserved for future use

D18

SEDEX Instruments – Level 2 – Group 1 D39 Reserved for future use

D19

SEDEX Instruments – Level 2 – Group 2 D40 ETF Plus Instruments Reference Data

D20

Reserved for future use D41 Market Status Indicators (Borsa)

D21

Reserved for future use D42 Market Reference Data

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We welcome your feedback on the proposed changes.

If you have any questions or comments please send them to us via your Technical Account Manager, or by emailing: infolect@londonstockexchange.com

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