ISE To Launch Two New Sector Indexes for Alternative Energy and Nanotechnology

The International Securities Exchange (NYSE:ISE)
announced today that it is launching two new specialized sector index
options, the ISE-CCM Alternative Energy Index (Ticker: POW) and the
ISE-CCM Nanotechnology Index (Ticker: TNY). These were developed with
Cronus Capital Markets (CCM), an independent and privately owned
capital market research and consulting firm. Timber Hill LLC will
serve as the Primary Market Maker in these products.
   The ISE-CCM Alternative Energy Index was developed as a result of
growing interest in domestic commercially viable alternative energy
sources in response to high oil prices, declining global supply and a
strong global economy. The ISE-CCM Alternative Energy index provides
investors with exposure to companies involved in the areas of
Geothermal Heat, Hydrogen/Fuel Cells, Hydropower, Nuclear Fusion,
Solar and Wind energy.
   The ISE-CCM Nanotechnology Index was conceived as a way to provide
investors with exposure to the nanotechnology industry, which involves
the science and technology of building electronic circuits and devices
from single atoms and molecules. Nanotechnology specifically covers
matter size of 1 to 100 nanometers (a nanometer is a billionth of a
meter). Applications involve the intended ability to manipulate
materials to fundamentally improve processes, materials and devices on
an 'atomic' scale with virtually unlimited research and development
opportunities. The fields of biotechnology, chemistry, physics,
information technology, engineering, and manufacturing are all
actively studying nanotechnology. The index includes some of the
largest, most liquid, and most mature companies within this sector.
   "The new ISE-CCM Indexes offer investors an opportunity to gain
exposure to the up and coming investment sectors of nanotechnology and
alternative energy. We remain at the forefront in developing and
launching innovative indices to anticipate market demand," said Bruce
D. Goldberg, ISE's Chief Marketing Officer. "Our second collaboration
with Cronus Capital Markets continues our record of innovation in the
options market and adds to ISE's portfolio of unique, proprietary
sector index options, to provide investors with additional trading
strategies for managing their portfolios."
   Michael Soni, President and CEO of Cronus Capital Markets, said,
"Cronus Capital Markets is pleased to join the International
Securities Exchange in launching these innovative new index products
in nanotechnology and alternative energy for investors. CCM has
focused its research on these important sectors for years and
recognizes the value of providing investors with innovative tools to
diversify their investments and manage their risk exposure."
   ISE's uses rules-based methodologies for calculating and
maintaining its sector indexes and makes the rules freely available to
everyone, for easy use in testing the historic performance of the
indexes. Additional information about these indexes, including
methodology guides, component lists and weightings, performance
metrics and historical data is available on ISE's website,
www.iseoptions.com, on the Products Traded / Index Options page.

   ISE Background

   The International Securities Exchange, the world's largest equity
options exchange, was founded on the principle that technology fosters
and infuses new efficiencies and operational innovations into
securities trading. After developing an innovative market structure
that integrated auction market principles into an advanced
screen-based trading system, ISE launched the first fully electronic
US options exchange in May 2000. ISE continually enhances its trading
systems to provide investors with the best marketplace to execute
their options orders.
   For more information about ISE, its products and its technology,
visit www.iseoptions.com.

   Forward Looking Statements

   This press release contains "forward looking statements." These
statements relate to future events or our future financial
performance, and involve known and unknown risks, uncertainties and
other factors that may cause our actual results, levels of activity,
performance or achievements, to be materially different from those
contemplated by the forward looking statements. We undertake no
ongoing obligation, other than that imposed by law, to update these
statements. Factors that could affect our results, levels of activity,
performance or achievements and cause them to materially differ from
those contained in the forward looking statements can be found in our
filings with the Securities and Exchange Commission, including our
registration statement on Form S-1, current reports on Form 8-K and
quarterly reports on Form 10-Q, as amended.