fmxExchangeConnect - EXCHANGE NEWSWIRE, 28 April 2011

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EXCHANGE NEWSWIRE, 28 April 2011

April 28 2011, 09:58

EXCHANGE NEWSWIRE, 28 April 2011

NYX reported 1Q 2011 adjusted EPS of $0.68 (+26% y/y), on revenues of $679m (+5% y/y). CEO Duncan Niederauer also stressed that “we are confident that our strong standalone growth prospects will be enhanced and accelerated by the proposed merger with DB1”, which he will discuss with shareholders today. Shareholders have until July 7 to vote for or against the merger with DB1.

DB1 reported 1Q 2011 EBIT of EUR316.3m, and the exchange estimated EUR 150m in 2011 annual costs savings, approximating 2011 operating costs to be EUR 890m, 4% lower than its previous estimation.

CME reported 1Q 2011 EPS of $6.81 (+90% y/y), on revenues of $831.6m (+20% y/y) and a tax adjustment. Excluding the tax adjustment, EPS is $4.36 (+20% y/y).

NYX: eight out of nine investors polled feel that NYX management should at least discuss with NDAQ and ICE about their $11.1b takeover bid and “negotiate the best deal they can for shareholders”, according to a Bloomberg survey. There is still no obvious shareholder preference yet as “it’s pretty early to know which way the wind’s blowing”.

NYX previously considered deals with LSE and ICAP, as well as with NDAQ before opting to merge with DB1, according to Dow Jones Newswires. NYX CEO Duncan Niederauer said that the reason for dismissing a potential deal with NDAQ was the limited opportunities to grow revenues as both NYX and NDAQ overlapped in cash equities and stock-options trading as well as share listings, which could result in heavy layoffs if both firms merged.

NDAQ is currently in discussions with market-making firms regarding whether the exchange should compensate trading firms for losses experienced during a software difficulty on Monday. The “Nasdaq malfunction” caused trading in more than 80 securities to be halted after algorithms issued market makers “invalid and stale market data”.

Miami International Securities Exchange will be launched in 2Q 2012 as the tenth US options exchange, and an official SEC filing will be submitted within three months. The exchange believes “there’s room to compete in this marketplace because we are coming out with superior technology”.

BEN reported 1Q 2011 diluted EPS of $2.25 (+45% y/y) on operating revenues of $1,749.6m (+24% y/y) and operating income of $629.5m (+37% y/y). Ending assets under management (AUM) for the quarter were $703.5b (+20% y/y), due to record long-term sales of $55.6b and $23.4b in market appreciation, which were partially offset by long-term redemptions of $46.4b. During the quarter, BEN repurchased 1.8m common stock shares for a total of $215m.

OXPS is developing a new FX-trading platform and plans to launch retail FX trading soon. OXPS executive VP Dan O’Neil said OXPS “looked at the growth in the market and said ‘we’ve got to be involved’”.

WDR stands to gain the 11% premium that CenturyLink will pay in its planned $2.5b purchase of Savis Inc, of which WDR owns 7.2% as the second-largest shareholder.

CFTC approved a proposal which allows swap users who post collateral to a clearinghouse to have their margin protected from peer default, and this could result in higher trading costs. Clearinghouses will “have recourse against the collateral of defaulting customers, but not against the collateral of non-defaulting customers”.

CFTC unveiled the swaps definition measure, and said that most products and transactions would fall under the definition of a swap, with the exception of certain insurance products, consumer and commercial transactions, loan participations and commodity forward contracts. This proposal must be jointly approved by SEC to be put into legislation.

Provided By: Equity Research Desk, www.erdesk.com

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