ESPD Espeed (MM)

Senior District Judge James Moran of the U.S. District Court for the Northern District of Illinois has ruled that no reasonable jury could find that eSpeed, Inc. (NASDAQ: ESPD) willfully infringed Trading Technologies International�s (TT) patents. In his January 3, 2008 order, the judge agreed with eSpeed�s motion for a judgment as a matter of law, overturning the jury�s October 10, 2007 verdict that certain versions of eSpeed�s futures-trading software had infringed TT�s patents. The judge also denied TT�s motion for enhanced damages, which had been premised upon proof of willful infringement. It is expected the judge will issue a subsequent ruling with respect to whether the amount of the damage award, which the jury had assessed to be $3.5 million, should be reduced. Howard W. Lutnick, Chairman, CEO and President of eSpeed, said, �This decision clearly validates eSpeed�s view that there had been no willful infringement by eSpeed in the case before the court, which addressed a minor three-year old matter involving earlier versions of eSpeed�s software covering only the period of August to December 2004.� Mr. Lutnick noted there had been no effect on eSpeed�s business or suite of products as a result of the October 2007 jury finding, and that all of eSpeed�s current products have already been found to not infringe the patents that were litigated. He also noted the U.S. Patent and Trademark Office announced on August 1, 2007 that it would reexamine patents held by Trading Technologies in light of �substantial new questions of patentability�, reinforcing eSpeed�s view that TT�s� patent claims are unsupportable. The case in question is Trading Technologies International Inc. v. ESpeed Inc., 04cv5312, U.S. District Court for the Northern District of Illinois. About eSpeed, Inc. eSpeed, Inc. (NASDAQ: ESPD) is a leader in developing and deploying electronic marketplaces and related trading technology that offers traders access to the most liquid, efficient and neutral financial markets in the world. eSpeed operates multiple buyer, multiple seller real-time electronic marketplaces for the global capital markets, including the world's largest government bond markets and other fixed income and foreign exchange marketplaces. eSpeed's suite of marketplace tools provides end-to-end transaction solutions for the purchase and sale of financial products over eSpeed's global private network or via the Internet. eSpeed's neutral platform, reliable network, straight-through processing and superior products make it the trusted source for electronic trading at the world's largest fixed income and foreign exchange trading firms and major exchanges. To learn more, please visit www.espeed.com. On May 29, 2007, eSpeed announced that it had entered into an Agreement and Plan of Merger, dated as of May 29, 2007 with BGC Partners, Inc. (�BGC Partners�); Cantor Fitzgerald, L.P. (�Cantor�); BGC Partners, L.P., a Delaware limited partnership; BGC Global Holdings, L.P., a Cayman Islands exempted limited partnership; and BGC Holdings, L.P., a Delaware limited partnership pursuant to which eSpeed will acquire BGC Partners through a merger of BGC Partners with and into eSpeed. For more information, see eSpeed�s Report on Form 8-K dated May 29, 2007, and its preliminary proxy statement dated December 28, 2007, as well is its definitive proxy statement when it becomes available. Important Information In connection with the proposed Merger, the Company filed a preliminary proxy statement on December 28, 2007, and intends to file a definitive proxy statement and related materials with the U.S. Securities and Exchange Commission (the �SEC�) for the meeting of stockholders to vote on the proposed Merger. BECAUSE THOSE DOCUMENTS WILL CONTAIN IMPORTANT INFORMATION, HOLDERS OF THE COMPANY�S COMMON STOCK ARE URGED TO READ THEM CAREFULLY, IF AND WHEN THEY BECOME AVAILABLE. The preliminary proxy statement and related materials are, and the definitive proxy statement, when it becomes available, will be available for free (along with any other documents and reports filed by the Company with the SEC) at the SEC�s website, www.sec.gov, and at the Company�s website, www.espeed.com. Participant Information The Company and its directors and executive officers may be deemed to be participants in the solicitation of proxies from the Company�s stockholders in connection with the proposed Merger. Certain information regarding the participants and their interests in the solicitation are set forth in the Company�s Annual Report on Form 10-K/A for the year ended December 31, 2006, which was filed with the SEC on August 23, 2007, and is set forth in the preliminary proxy statement filed with the SEC on December 28, 2007, and will be set forth in its definitive proxy statement when it becomes available for the Company�s meeting of stockholders to vote on the proposed Merger. Stockholders may obtain additional information regarding the proposed Merger by reading the preliminary proxy statement and the definitive proxy statement and the related materials relating to the proposed Merger when they become available. Discussion of Forward-Looking Statements The information in this release contains forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. Such statements are based upon current expectations that involve risks and uncertainties. Any statements contained herein that are not statements of historical fact may be deemed to be forward-looking statements. For example, words such as �may,� �will,� �should,� �estimates,� �predicts,� �potential,� �continue,� �strategy,� �believes,� �anticipates,� �plans,� �expects,� �intends� and similar expressions are intended to identify forward-looking statements. The actual results of eSpeed, BGC or the combined company in the merger (�we�, �our� or the �combined company�) and the outcome and timing of certain events may differ significantly from the expectations discussed in the forward-looking statements. Factors that might cause or contribute to such a discrepancy for eSpeed, BGC and/or the combined company include, but are not limited to, the combined company�s relationship with Cantor and its affiliates and any related conflicts of interests, competition for and retention of brokers and other managers and key employees, pricing and commissions and market position with respect to any of our products, and that of the combined company�s respective competitors, the effect of industry concentration and consolidation, and market conditions, including trading volume and volatility, as well as economic or geopolitical conditions or uncertainties. Results may also be impacted by the extensive regulation of our respective businesses and risks relating to compliance matters, as well as factors related to specific transactions or series of transactions, including credit, performance and unmatched principal risk as well as counterparty failure. Factors may also include the costs and expenses of developing, maintaining and protecting intellectual property, including judgments or settlements paid or received in connection with intellectual property or employment or other litigation and their related costs, and certain financial risks, including the possibility of future losses and negative cash flow from operations, risks of obtaining financing and risks of the resulting leverage, as well as interest and currency rate fluctuations. Discrepancies may also result from such factors as the ability to enter new markets or develop new products, trading desks, marketplaces or services and to induce customers to use these products, trading desks, marketplaces or services, to secure and maintain market share, to enter into marketing and strategic alliances, and other transactions, including acquisitions, dispositions, reorganizations, partnering opportunities, and joint ventures, and the integration of any completed transactions, to hire new personnel, to expand the use of technology for screen-assisted, voice-assisted and fully electronic trading and to effectively manage any growth that may be achieved. Results are also subject to risks relating to the proposed merger and separation of the BGC businesses and the relationship between the various entities, financial reporting, accounting and internal control factors, including identification of any material weaknesses in our internal controls, our ability to prepare historical and pro forma financial statements and reports in a timely manner, and other factors, including those that are discussed under �Risk Factors� in each of eSpeed�s Annual Report on Form 10-K/A for the year ended December 31, 2006, which was filed with the SEC on August 23, 2007 and preliminary proxy statement filed with the SEC on December 28, 2007. We believe that all forward-looking statements are based upon reasonable assumptions when made. However, we caution that it is impossible to predict actual results or outcomes or the effects of risks, uncertainties or other factors on anticipated results or outcomes and that accordingly you should not place undue reliance on these statements. Forward-looking statements speak only as of the date when made and we undertake no obligation to update these statements in light of subsequent events or developments.