Markit launches Inflation Service

London, 1st December 2005 - Markit Group Limited ("Markit"), the leading industry source for independent mark-to-market pricing and asset valuations, today announced it has launched a valuations service for inflation derivatives covering U.K., U.S., French and European zero coupon swaps.

Twelve of the largest dealers in inflation derivatives are participating in the service which provides independent verification of mark-to-market prices for U.K. RPI (Retail Price Index), U.S. CPI (Consumer Price Index), Euro HCPIx (Harmonised Consumer Price Inflation ex tobacco) and French CPIx (Consumer Price Inflation ex tobacco) zero coupon swaps. Pricing goes out to 30 year maturities, with monthly granularity out to 5 years. Markit expects to add year-on-year swaps and floors by 2006.

This new service is part of Markit's Totem Service which is aimed at risk managers and product controllers on the sell-side, and which provides month-end independent valuations on OTC derivatives spanning credit, equity, currency, interest rates, energy, power, metals and structured products. The service is regarded as the market standard in price verification.

Bradford S. Levy, Managing Director, Firmwide eBusiness Group at Goldman Sachs commented: "Markit's new inflation service is the first of its kind, and will allow us to mark our month-end revaluations with more certainty. Given the wide spreads in the broker market, it will also provide us with very useful information on monthly seasonality out to five years, something that has been unavailable up until now."

Tim Barker, Executive Vice President of Markit and Head of Valuations said: "The increasing focus on P&L recognition and accounting issues has reinforced the need for independent price verification to enhance in-house risk management practices. The Totem Service has been growing steadily for the past eight years, and our new service is in response to a surge of client interest in highly structured interest rate derivatives and inflation-linked trades."

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For further information, please contact:

Markit
Teresa Chick
Marketing and Communications Manager
Tel: +44 (0)20 7890 5094
Email: teresa.chick@markit.com

About Markit

Markit is the benchmark industry source for independent pricing and valuations for global financial and energy markets. The company is an independent enterprise with which the world's leading financial institutions and energy traders work to create price transparency. Today, Markit enjoys the sponsorship of 18 financial institutions, who manage assets in excess of $10 trillion, and data contribution relationships with over 50 dealing firms. Markit has 20 market leading services which are used by over 300 institutions globally. Areas of product expertise include OTC derivatives (credit, equity, FX, rates, energy, power, metals and structured products), corporate bonds, syndicated loans, dividend forecasting, and index and ETF management. In 2005, Markit's services to the derivative markets have been acknowledged by the industry with awards from Financial News for Best Derivatives Data Provider, and from Institutional Investor's 'Operations Management' for Vendor of the Year. For more information about Markit,see www.markit.com