FINWIRE®

FCStone Group and NASDAQ OMX Group Announce Agora-X Investment

March 5th, 2008

Leader in Exchanges and Technologies Partners With Commodities Firm to Create New Electronic Marketplace for OTC Commodity Contracts.

FCStone Group, Inc., a commodity risk management firm, and The NASDAQ OMX Group, Inc., jointly announced that NASDAQ OMX Group has agreed to invest up to $7.5 million in FCStone’s subsidiary Agora-X, LLC.

Agora-X is developing a new electronic communications network for institutional trading in over-the-counter (OTC) commodity contracts.

FCStone, Agora-X and NASDAQ OMX have signed definitive agreements for NASDAQ OMX to acquire a 20 percent equity interest in Agora-X if the full $7.5 million is committed, pending fulfillment of closing conditions and milestones.

Founded with seed money from FCStone and currently a subsidiary of the company, Agora-X is creating an electronic communications network (ECN) to help institutional participants achieve strategic advantage in the rapidly growing OTC commodities market.

The new exchange is expected to launch in mid-2008. The trading platform initially will handle option "look-alikes" in energy and agricultural commodities, as well as commodity swaps, with the scalability to add other OTC derivatives.

The proceeds of the NASDAQ OMX investment will be used to continue such development, repay a portion of the advances made to Agora-X by FCStone and for general business purposes.

"We are delighted to have NASDAQ OMX join us as a developmental investor in transforming OTC commodity trading through the creation of Agora-X.

 Financial institutions and global companies seeking to hedge energy and agricultural assets will find strategic value in this efficient, liquid trading platform," said Pete Anderson, FCStone’s Chief Executive Officer.

"FCStone has served as an incubator for Agora-X to deliver better, more efficient order fulfillment for OTC participants, and we look forward to making this market a reality."

Agora-X has been working with NASDAQ OMX Group, a global leader in exchange technology, to design, build and host a best-in-class ECN marketplace for OTC commodity transactions.

NASDAQ OMX Group recently completed its combination with OMX AB. The Agora-X matching engine is designed to provide rapid, low-cost OTC order fulfillment and clearing, including capability for algorithmic trades.

"Partnering to develop Agora-X fits with NASDAQ OMX’s strategy to bring efficiencies and cost savings to the broader trading arena," said Chris Concannon, Executive Vice President, NASDAQ OMX.

"We believe that with Agora-X, OTC commodity traders can benefit from the same efficiency, cost savings, transparency and liquidity that NASDAQ OMX has brought to the equity markets."

Brent M. Weisenborn, Chief Executive Officer of Agora-X, added: "The global trading community has seen tremendous growth in OTC commodities and related derivatives, but the technology hasn’t kept pace.

“Financial institutions and companies hedging energy and agricultural positions through OTC contracts currently rely on a call-around system.

“Agora-X will transform this market by offering traders greater liquidity, a clear view of pricing and quick fills on orders."

Provident Group, a New York-based boutique investment bank and alternative asset management firm is the exclusive financial advisor to Agora-X.

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