CME GROUP INC. current report, Q1 FY2002

Business Context and Reporting Period

Company: Chicago Mercantile Exchange Holdings Inc. (CME Group Inc.)
Filing Type: Form 8-K (Current Report)
Date of Report: February 4, 2002
Subject: Regulation FD Disclosure regarding the scheduling of the 2002 Annual Meeting of Shareholders, director nominees, and proposed charter amendments.

Financial Metrics

This filing is a corporate governance disclosure and does not contain financial performance data. The filing text does not provide a clear value for revenue, profit, cash flow, margins, debt, or liquidity.

Material Changes

No material financial changes are reported in this document. The primary corporate actions disclosed are:

  • Board Reduction: Pursuant to demutualization terms, the Board of Directors is required to reduce from 30 directors to 19 directors at the upcoming Annual Meeting.
  • Charter Amendment Proposal: The Board proposes amending the charter to increase the Board size by one seat to ensure management representation. This would allow the appointment of President and CEO Jim McNulty as a Class A/B Director.
  • Bylaw Amendment Proposal: A proposed amendment to require the CEO to be included among Class A/B Director nominees in the future.

Guidance, Outlook, and Management Commentary

Annual Meeting Details:

  • Date: Wednesday, April 17, 2002
  • Time: 4:00 p.m. Chicago time
  • Location: Grand Ballroom, The Westin Chicago River North Hotel, Chicago, Illinois

Director Nominees:

  • Class A/B Directors (7 seats): Timothy R. Brennan, Martin J. Gepsman, Scott Gordon, Leo Melamed, John D. Newhouse, Myron S. Scholes, William R. Shepard.
  • Class B-1 Directors (2 seats): Leslie Henner Burns, Robert L. Haworth, Howard J. Siegel, Jeffrey L. Silverman (nominees listed).
  • Class B-2 Directors (1 seat): Patrick B. Lynch, Patrick J. Mulchrone (nominees listed).

Petitioning Process: Shareholders may nominate candidates by submitting a petition signed by holders of at least 100 Series B-1 or B-2 shares. The deadline for submission is February 15, 2002, at 5:00 p.m. Chicago time.

Risks and Contingencies: The filing notes that the bylaw amendment regarding CEO nomination is contingent upon shareholder approval of the charter amendment.

Key Facts for Investor Verification

  • Verify the final outcome of the shareholder vote on the proposed charter amendment to increase Board size.
  • Confirm the appointment of Jim McNulty as a director following the organizational meeting, contingent on the charter amendment approval.
  • Review the upcoming proxy statement for detailed biographical information on nominees and potential conflicts of interest.
  • Note the deadline of February 15, 2002, for submitting shareholder petitions for director nominations.