ISE Announces Changes to Board Leadership

The International Securities Exchange (NYSE: ISE)
announced today the following changes to its Board leadership. After
four distinguished years of service, Ivers W. Riley will be stepping
down as Chairman of the ISE, but will remain on the Board of
Directors. Dr. Frank J. Jones, Ph.D., who has been a director of the
ISE since 2000 and is currently Vice Chairman of the Board, will
become Chairman. Dr. John F. Marshall, Ph.D., who has been a director
of the ISE since 2000 and is currently Chairman of the Finance and
Audit Committee, will now become Vice Chairman. The ISE Board consists
of 15 members, which includes seven industry directors and eight
non-industry directors.
   Dr. Frank Jones has been a Professor in the accounting and
business department at San Jose State University since 2003.
Additionally, Dr. Jones was Executive Vice President and Chief
Investment Officer of Guardian Life Insurance Company of America from
1991 to 2002. Previously, Dr. Jones was Managing Director at Merrill
Lynch & Co., Global Fixed Income Research and Economics. He has served
on several boards, including The Intermarket Clearing Corporation (a
subsidiary of OCC), OCC and New York Futures Clearing Corporation. Dr.
Jones holds a Ph.D. in Economics from Stanford University, a M.B.A.
from the University of Pittsburgh, a M.S. in Nuclear Engineering from
Cornell University and a B.A. and B.S. from University of Notre Dame.
   Dr. John Marshall has been a Senior Member of Marshall, Tucker &
Associates, LLC since 1991. He is also the Chief Executive Officer of
Port Jefferson Capital I, LLC, a venture capital fund. Dr. Marshall
served on the faculty of the Tobin Graduate School of Business at St.
John's University from 1981 to 2000. Dr. Marshall also served as the
Executive Director of the International Association of Financial
Engineers. Dr. Marshall earned a Ph.D. in Financial Economics from the
State University of New York at Stony Brook, a M.B.A. in Finance from
St. John's University in 1977, a M.A. in Quantitative Economics from
the State University of New York at Stony Brook and a B.S. in
biology/chemistry from Fordham University in 1973.
   "We wish to thank Ivers for the significant contributions that he
has made over the past four years as our Chairman. He can be proud of
the organization's accomplishments during this period which have
established ISE as a leader in corporate governance and positioned us
for growth within the industry. His ongoing role as a board member is
appreciated," said David Krell, President and Chief Executive Officer
of ISE. "We are also delighted to have Frank assume the Chairmanship
and to have John become the Vice Chairman of the Board. As established
industry experts, both are well-positioned to build on our
organization's success and to lead ISE's future development."
   Mr. Riley became Chairman of ISE on May 26, 2002. Prior to serving
as ISE's first Vice Chairman, Mr. Riley held several senior level
positions in the financial services industry and is regarded as a
worldwide leader in the derivatives sector. Until the end of 2001, he
served as a member of the executive committee of the International
Options Market Association (IOMA), where he was formerly President,
from 1997 through 1998.
   From 1994 to 1997, and from 1999 to 2000, Mr. Riley was Chief
Executive of the Hong Kong Futures Exchange and Chairman of the HKFE
Clearing Corporation. From 1986 to 1993, he was Senior Executive Vice
President of the American Stock Exchange (AMEX) in charge of all
derivatives activity. While at AMEX, Mr. Riley was the driving force
in the development and introduction of SPDRs(R), one of the most
successful derivative products traded on any exchange.
   From 1983 to 1986 he was Executive Vice President of the New York
Stock Exchange, in charge of the options division. Previously, Mr.
Riley was a founding partner of The Options Group, an investment
advisory and consulting firm providing computerized support for
derivatives dealers and traders. In addition, he was a Senior Vice
President of both PaineWebber and the Chicago Board Options Exchange.

   ISE Background

   The International Securities Exchange (ISE) is an innovative
securities market, founded on the principle that technology and
competition create better, more efficient markets for investors. ISE
is the largest equity options exchange and is among the leading
options exchanges in the world. ISE developed a unique market
structure for advanced screen-based trading systems and in May 2000
launched the first fully electronic US options exchange. The ISE Stock
Exchange LLC will launch in the third quarter of 2006 with strategic
partners, offering an innovative MidPoint Match platform, followed by
a fully integrated displayed Best Bid Offer (BBO) market in the fourth
quarter. ISE is also a majority owner of Longitude LLC, an innovative
platform for events markets trading, and offers enhanced market data
products for sophisticated investors.

   ISE continually enhances its trading systems and develops new
products, including index options and market data, to provide
investors with the best marketplace and investment tools to trade
smarter. For more information about ISE, its options products and its
technology, visit www.iseoptions.com and for more information about
the ISE Stock Exchange LLC, visit www.isestock.com.