Paris, January 7, 1998 - A total of 4,502,175 contracts were traded on Matif in December, showing a rise of 15.7% from the previous month and setting the total for the year at 68,608,704 contracts. With the exception of the first half of 1994, a period of unusually buoyant activity, amounts and liquidity have been very steady, despite the trend to Europe-wide convergence which has mainly favored contracts denominated in D-Marks.

Matif now offers a full range of liquid products covering all key points on the future euro yield curve. Its 10-year Notional, 5-year and 3-month Pibor contracts each rank second in Europe on the corresponding three points.

Trading in the 10-year Notional contract jumped 40.5% from November to December, setting the monthly average for 1997 at 2.8 million contracts. This figure has varied little since 1992, although 1994 was an exception. Steady liquidity reflects in particular the vigor and sophistication of the underlying cash market.

A highlight of 1997 was the vigorous start made by the 5-year contract, with trades reaching a record of 61,349 lots on December 11 and open interest a peak of 68,511 lots on December 9. Trading since launch has averaged around 30,000 lots, and open interest has risen steadily to reach over 60,000 lots at year end. The new contract now accounts for almost 15% of all amounts traded in futures denominated in French francs.

Turning to the Pibor contract, trading totalled 14,417,310 lots in 1997, making it the second best year ever, while average monthly open interest reached an all-time high of 257,104 lots.

Finally, trading in the CAC 40 index future rose 10.4% from the previous year and end-of-month open interest averaged over 74,000 lots.

In the commodities compartment, highlights of the year included the launch of new sugar contracts covering the most widely traded grades (45 and 100 Icumsa ), adoption of international standards for the settlement of commodity contracts and a steep 23.7% rise in business on rapeseed contracts.

Over 6.5 million Matif contracts were traded through the Globex® system in 1997, accounting for roughly 60% of all business through the system and 9.5% of Matif's business.

Commenting on the steady overall performance for the year, Jacques Werren, Deputy Managing Director of Matif SA noted that "This stability reflects the mid-way position of the French market, which is neither the ERM benchmark like Germany nor a high-volatility market like Italy. Currently, German paper sets the standard for pricing in Europe, while volatility of French-franc interest rates is the same as for D-Mark debt. At this stage in the Emu process, the French bond market has temporarily lost some of its appeal for international investors. However, the introduction of the single currency will reshuffle the deck."

Gérard Pfauwadel, President and CEO of Matif SA, stressed that "in 1997, Matif SA opted for strategic repositioning. In particular, this has involved an overhaul of open outcry trading, unification of trading in CAC 40 index derivatives and closer ties to the SBF-Paris Bourse group. We have also signed an agreement for the adoption of international standards in trading and clearing, and have joined in an alliance to set up a trading platform for continental Europe. Building on these achievements, in 1998 we will be working to further enhance competitive strengths and increase market liquidity through a significant reduction in the fixed and variable costs of market access for both members and clients."

Contact: Antoinette Bouvier Darpy Tel. + 33/1 40 28 83 89 or + 33/1 40 28 80 26