CBOE exercise right plan put on hold

Chicago Board Options Exchange (CBOE) postponed its plan to purchase exercise rights from Chicago Board of Trade (CBoT) full members after a CBOE member contested the matter with Securities and Exchange Commission (SEC).

CBOE member Marshall Spiegel contends that exchange management has broken exchange bylaws concerning exercise rights and petitioned SEC to review the plan it approved on 15 July. The exchange was ready to send out its offer to the 1,402 full CBoT members last Monday. But, under SEC rules, Spiegel's request for a full staff review triggered an automatic stay until the matter can be reviewed again by the commission.

An exchange...