NYSE Euronext reports net $738-M loss in 2008

Agence France-Presse

Posted at Feb 09 2009 05:56 PM | Updated as of Feb 10 2009 01:56 AM

PARIS - The US-French stock market operator NYSE Euronext reported a net loss of $738 million for 2008 on Monday after plunging to a loss of $1.34 billion (1.0 billion euros) in the fourth-quarter.

The company attributed the loss in the last three months of 2008 to a provision, or charge, for the depreciation of assets arising from the merger which created the group, but stood by its dividend payout for this year.

In 2007, the trans-Atlantic stock exchange had reported a net profit of $643 million, and in the fourth quarter of that year it made a profit of $156 million.

The company said that the fourth-quarter, and annual loss, in 2008 included a pre-tax depreciation provision of $1.59 billion.

This was linked to the merger of the US NYSE stock exchange and the pan-European Euronext exchange in 2007.

The operating result showed a loss of $588 million for 2008, and a loss of $1.47 billion in the last quarter.

Annual business figures equivalent to sales rose by 19.4 percent to $4.7 billion and in the fourth quarter rose by 10.8 percent to $1.22 billion.

Company director general Duncan L. Niederauer, said that during the unprecedented turbulence and uncertainty on financial markets, the business had continued to pursue strategic initiatives which would support growth in the long term.

Given difficult market conditions, the company had decided to suspend a programme to buy its own shares, while reserving the possibility to do so as authorised by the board.

The company said that the quarterly dividend of $0.30 per share would be paid in 2009.

The results were presented under the US GAAP accounting standard.