Silver Futures Trading

The seller shall deliver one Contract Unit of silver with a weight tolerance of 6% either higher or lower. Said delivery shall be made up exclusively of:

(a) Each Contract Unit shall consist of five (5) bars of refined silver cast in bars of one thousand (1,000) troy ounces, with a weight tolerance of 10% either higher or lower.

(b) Each Contract Unit shall consist of silver made up of one or more of the officially listed brands or markings as provided in Rule 112.04, current at the date of delivery of such silver.

(c) Each bar of eligible silver must have the weight, fineness, bar number, and brand or hallmark clearly incised on the bar. The weight may be in troy ounces or grams. If the weight is in grams, it must be converted to troy ounces for documentation purposes by dividing the weight in grams by 31.1035 and rounding to the nearest tenth of a troy ounce. All documentation must show the weight in troy ounces.

(b) Silver refiners, in order to have their silver brands registered as eligible, shall file such documents as required by the Exchange in its sole discretion, to establish their qualifications.

(b) Brands No Longer in Production

1. The Exchange, in its discretion, may determine to remove from the Official List of Approved Refiners and Brands a particular silver brand or marking of an Approved Producer that has ceased production. The factors to be considered in delisting an approved brand include, but are not limited to, limited commercial acceptability of the brand; concerns about quality or quality uniformity of the brand; or total inventory on warrant at all Licensed Depositories for silver of the brand that is less than 2,000 bars.

2. Effective September 30, 1997, silver bars incised with the "SM" brand, i.e., Spiral Metal Co., Inc., that are not residing in a Licensed Depository for silver and on warrant as of that date shall not be deliverable against an Exchange Silver Futures Contract. Beginning June 25, 1998, no warrant containing any silver bars incised with the "SM" brand may be presented for delivery against an Exchange Silver Futures Contract.

(b) No Warrant shall be issued for more or less than one contract unit.

(a) The silver must be weighed by a Licensed Weighmaster.

(b) The weight of each bar and the identification stamp of the Licensed Weighmaster must be incised with an appropriate tool which will create a permanent record on each bar.

(c) The weight so marked on each bar shall be to the nearest 1/10th of an ounce.

(d) The Licensed Weighmaster shall prepare a certificate stating the procedures which he has followed, and said certificate shall be attached to the itemized bar list identifying the bars by number and weights of each. Said Weighmaster's Certificate and bar list shall be maintained by the Licensed Depository.

(e) For all silver placed in tenderable condition prior to December 1, 2003, a separate bar number incised with an appropriate tool will be acceptable in lieu of the identification stamp of the Licensed Weighmaster.

During each calendar month (the "current calendar month"), the Exchange will make available for trading futures contracts that provide for delivery of silver in the following months: 1) the current calendar month; 2) the first calendar month following the current calendar month; 3) the second calendar month following the current calendar month; 4) each January, March, May, and September falling within a 23-month period beginning with the current month; and 5) each July and December falling within a 60-month period beginning with the current month.

(b) The bar list must be an instrument prepared and signed by the refiner of the silver identified therein or by the Licensed Depository issuing the Warrant.

(c) A Warrant must be endorsed by each person or party whose endorsement is necessary to pass title thereto; and in addition, a Warrant, irrespective of its form, must be endorsed and dated by every member of the Exchange who passes it in connection with an Exchange transaction.

(d) The receiver shall not be required to accept any tender varying more than 6% above or below 5,000 troy ounces.

(e) Payment shall be made upon the basis of the weight stamped upon the bars delivered. If the material is stamped in grams the weight must be converted to troy ounces in accordance with Rule 112.02 (c).