IB Communiqué - January 23, 2009

In a year that has proved difficult for the industry in general, Interactive Brokers Group yesterday reported record earnings for 2008, with pre-tax profits exceeding the billion dollar mark for the first time. Net revenues were $1,850 million and income before income taxes and minority interest was $1,250 million for the year, compared to net revenues of $1,468 million and income before income taxes of $932 million in 2007. In the press release, founder and CEO Thomas Peterffy noted that shareholders' equity of $4.4 billion makes IBG the largest in equity capital among those firms that did not receive government support in the industry, and provides a solid footing on which to keep growing. He attributed IB's notable performance to a continued focus on long term growth, controlling risk and building technology.

For more details, see the Interactive Brokers' Earnings Announcement press release.

We continue to add new products and services that are available to customers in the Trader Workstation, our direct-access multi-product trading platform. We have recently added trading support for:

• The Korean Kospi 200 Futures and Index Options, for US resident customers, at 0.2% (futures) and 2% (options) from market.
• American Century no-load mutual funds.

Coming in February, IB will also support trading futures and options on the National Stock Exchange of India (NSE). Initially these products are only available to residents of India, but we will expand for non-India residents and add stock trading at a future date.

For a complete listing of all the products we offer including options, futures, futures options, stocks, ETFs, forex and funds on multiple market centers worldwide, visit the Products pages.

Over the past months we have continued to enhance the TWS trading platform. The major changes are described below:

• Preset Order Strategies have replaced the basic Order Defaults. Presets allow you to create multiple, named order default strategies, for specific instruments or contracts. On the trading window, display the Presets field to pick a new strategy before you create an order. Strategies specify the default order type, offset amount, precautionary settings, attached orders and more.
• Aggregated Market Depth window with Deep Book button panel, which gives you access to NYSE Deep Book, Nasdaq TotalView and other Level I and Level II data all in one place.
• The Deep Book Panel, available on both the Market Depth and Integrated Stock Window, can display your own pending orders (for your eyes only) relative to the rest of the book, highlighted in white.
• The Market Scanners have been enhanced to include Global scans, which scan an instrument across global markets.
• BookTrader mode configuration has been modified to make order handling easier. Also, the Deep Book buttons are now available on BookTrader to control the deep data used in the price ladder.
• The Order Ticket has been redesigned to include the Quote Panel so you can always reference the ticker price.
• Algo orders can now be created on the trading screen directly from a market data line, and allow optional start and end times. Previously, algo orders could only be created from the Order Ticket.
• You can now elect to price volatility orders on Index Options relative to a selected futures contract by choosing the futures contract from the new Reference Contract field on the Volatility layout order line.
• Advisors: View multi-account data in the IB Risk Navigator^SM, and allocate to an Account or an Account Group on the trading page level by specifying the allocation in the Page Settings. Any orders created on that page will be allocated by default to the page-specified account or group. You can also view position and P&L for different accounts at the same time by associating one page to one account and then viewing multiple detached pages.
• The Rebalance Portfolio tool now includes the ability to export and import portfolios to and from Excel.
• Global configuration and the TWS menus have been reorganized to group trading windows, such as the order ticket, Accumulate/Distribute, BookTrader, ScaleTrader, etc under Trading Tools, and non-trading data tools, like Fundamentals and News, under Information Tools.

For complete details on these and other TWS fixes and enhancements, see the TWS Release Notes.

Once again, Interactive Brokers tops the industry on price improvement. Based on independent measurements, the Transaction Auditing Group, Inc. (TAG), a third-party provider of transaction analysis, has determined that during the second half of 2008, Interactive Brokers US stock executions for transactions up to 10,000 shares showed price improvement of 42 cents per 100 shares better than the rest of the industry, and US option executions for transactions up to 50 contracts showed price improvement of 60 cents per contract better.

For complete details, please click to see the Smart Routing Overview.

Once again it's tax reporting time. We have added a new Tax Basis Declaration page to Account Management, for customers who want to modify their valuation method from the default FIFO method to LIFO or Maximize Losses. The Tax Basis Declaration page can be found in the Report Management section of Account Management.

For deliverable dates and a full explanation of what to expect during the tax reporting process, see our Tax Information and Reporting page.

Recent upgrades to our customer statements include:

• A new table for customers with unbundled commissions, Unbundled Commission Details. Commissions are categorized by Broker Charges and Third-Party Charges, with execution, clearing, and regulatory fee subsections in each category.
• Equity Value Time Series charts, which display a bar chart time series of long and short equity balances by asset class in an account's base currency. Daily statements show the opening and closing balances, monthly statements show a bar for each trading day of the month, and yearly statements show a bar for each trading day of the year.
• A new Delivery Settings page has been added to Account Management. Use this page to specify delivery methods, from viewing online or receiving notification in the message center to having statements delivered via email or FTP. Define email or message center notification for Activity Statements, and FTP or email delivery modes for Activity Statements Flex and Trade Confirmations Flex.

For more information on these and other statement topics, see the Statements & Reports page.

We have recently added two new Flash-based tutorials to our suite of interactive tours.

• The Order Types tour, with a synopsis of each of our 40+ order types, shows you how to pick the best order type based on whether your strategy is to limit risk, speed execution, time the market, improve price, provide privacy, or automate the trading process. In conjunction with the new tour, we have also redesigned the individual order types pages to give you a brief summary of the order type's attributes, a generic example of how it could be used, and a link to the TWS user guide for instructions on how to set up the order in the Trader Workstation.
• The redesigned IB Application Program Interface tour shows you how to use the least technical of our TWS APIs, the DDE for Excel API, to integrate TWS with an Excel spreadsheet and create a custom trading application.

Keep on top of currency market performance with IB's weekly FX View, our popular commentary which includes vital statistics on forex movements, along with currency futures, open interest and implied currency options volatility. The FX View is published every Wednesday on the IB web site.

We invite you to download our 2009 IB Traders' Calendar in printable PDF format. The calendar marks exchange holidays and contract expiration dates for major exchanges and products around the world.

We have recently added the following third-party integrated software solutions to our Commercial Tools program:

• OptionScape
• RedBlack Software LLC

Find our more about our Commercial Tools and Technology Partner Programs on the IB web site.

Interactive Brokers LLC, member NYSE, FINRA, SIPC

* Interactive Brokers LLC and affiliates. Supporting documentation for any claims and statistical information will be provided upon request.