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Press release from PR Newswire

ICE Reports 17% Increase in March Daily Futures Volume

Wednesday, April 03, 2013

ICE Reports 17% Increase in March Daily Futures Volume

08:30 EDT Wednesday, April 03, 2013

ATLANTA, April 3, 2013 /PRNewswire/ -- IntercontinentalExchange (NYSE: ICE), a leading operator of global markets and clearing houses, today reported futures volume for March and the first quarter of 2013. ICE's average daily volume (ADV) for futures and options for March 2013 was 3,808,927 contracts, an increase of 17% from the prior March. Total contract volume in March 2013 was 76 million. All prior period contract volumes have been adjusted to include the transitioned futures contracts, which previously traded in ICE's OTC markets.

Credit Transaction and Clearing Revenues

  • First quarter revenues from ICE's credit default swap (CDS) trade execution, processing and clearing business totaled $33 million, compared to $40 million in the prior first quarter, and included $16 million in CDS clearing revenues.

Financial Guidance

  • ICE expects 1Q13 acquisition-related transaction costs in the range of $16 million to $18 million, related to the NYSE Euronext and ICE Endex transactions, which will be excluded from non-GAAP results.
  • ICE expects duplicate rent expenses and lease termination costs in the range of $3 million to $4 million in both 1Q13 and 2Q13, which will be excluded from non-GAAP results.

March 2013 Review

  • Following the receipt of European regulatory competition clearance, ICE announced the launch of ICE Endex, a transparent exchange platform for European natural gas and power markets.
  • In May 2013, ICE will introduce four credit index futures contracts based on the Markit CDX and Markit iTraxx indices, subject to regulatory review.
  • ICE Clear Credit surpassed $350 billion cumulatively cleared by buy-side customers. Of this total, ICE has cleared $169 billion since mandatory clearing of CDX for Category 1 firms began on March 11, 2013.
  • ICE Trade Vault Europe filed its application with European regulators to establish a trade repository to serve European futures and swaps markets.
  • Daily volume records were established in ICE USDX futures (88,394 contracts on March 13), RBOB Gasoline futures (37,744 contracts on March 11), Heating Oil futures (26,850 contracts on March 6) and Russell 1000 Growth Index Mini futures (11,064 contracts on March 12).  A monthly volume record was also set in RBOB Gasoline futures of 342,306 contracts.
  • In March, ICE's Henry Hub Natural Gas futures contract recorded nine daily open interest records. Additional open interest records were set in ICE Brent Crude futures, Dutch TTF Gas futures and options, and Rotterdam Coal futures and options contracts.

 

ICE Futures Contracts & Markets ADV

Product Line (Futures & Options)

ADV

Mar

2013

ADV

Mar

2012

ADV

%

Change

 

ADV

1Q13

 

ADV

1Q12

ADV

%

Change

ICE Brent

719,735

575,479

25.1%

694,059

595,323

16.6%

ICE Gasoil

265,143

251,861

5.3%

281,743

271,996

3.6%

ICE Other Oil (1)*

238,637

197,910

20.6%

258,636

215,728

19.9%

   ICE OIL

1,223,514

1,025,250

19.3%

1,234,438

1,083,047

14.0%

ICE Natural Gas*

1,618,252

1,475,048

9.7%

1,355,797

1,863,185

-27.2%

ICE Power*

488,657

268,975

81.7%

565,301

363,995

55.3%

ICE Emissions & Other (2)

48,607

38,059

27.7%

50,357

39,386

27.9%

   TOTAL ENERGY

3,379,030

2,807,332

20.4%

3,205,893

3,349,613

-4.3%

ICE Sugar

116,323

128,797

-9.7%

141,166

136,713

3.3%

ICE Other Ags (3)

114,434

119,180

-4.0%

137,897

121,607

13.4%

   TOTAL AGRICULTURAL

230,758

247,977

-6.9%

279,063

258,320

8.0%

ICE Equity Index (4)

154,409

175,158

-11.8%

116,215

144,541

-19.6%

ICE FX (5)

44,730

36,862

21.3%

38,670

31,703

22.0%

   TOTAL FINANCIALS

199,139

212,020

-6.1%

154,886

176,244

-12.1%

   TOTAL FUTURES & OPTIONS

3,808,927

3,267,329

16.6%

3,639,842

3,784,177

-3.8%

Note: Figures may not foot due to rounding.

(1) "ICE Other Oil" includes futurized oil contracts, WTI, Heating Oil, RBOB Gasoline and Middle East Sour Crude. Excludes Daily Brent Bullet contracts.

(2) "ICE Emissions & Other" includes all emissions contracts, freight, coal and iron ore and uranium.

(3) "ICE Other Ags" includes Cocoa, Coffee "C", Cotton No. 2, Orange Juice, Corn, Wheat, Soybeans, Barley and Canola.

(4) "ICE Equity Index" includes the Russell 2000®, Russell 1000®, and the Continuous Commodity Index.

(5) "ICE FX" includes futures and options for the U.S. Dollar Index and foreign exchange.

*Historical volume has been adjusted to include new energy futures contracts.

 

ICE Futures Monthly and YTD Volume

Futures & Options Products

 

March

2013

 

March

2012

Volume

%

Change

 

Volume

1Q13

 

Volume

1Q12

Volume

%

Change

Energy*

67,580,602

61,761,293

9.4%

192,353,582

207,676,002

-7.4%

Agricultural

4,615,155

5,455,490

-15.4%

16,765,106

16,040,182

4.5%

Financials

3,982,785

4,664,445

-14.6%

9,293,132

10,927,119

-15.0%

TOTAL CONTRACTS

76,178,542

71,881,228

6.0%

218,411,820

234,643,303

-6.9%

*Historical energy volume has been adjusted to include new energy futures contracts.

 

Rolling Three-Month Average Rate per Contract (RPC)

 

Futures & Options

Products

Three Months

Ending

March 2013

Three Months

Ending

February 2013

Three Months

Ending

January 2013

Energy*

$1.05

$1.07

$1.08

Agricultural*

$2.59

$2.59

$2.54

Financials

$1.02

$1.03

$1.04

*Historical energy RPC has been adjusted to include new energy futures contracts and agricultural RPC has been adjusted to include Canadian contracts.

 

ICE Futures & Options Open Interest

March 31, 2013

December 31, 2012

Energy*

79,020,878

70,108,837

Agricultural

2,681,722

2,502,583

Financials

541,436

463,058

 *Historical energy open interest has been updated to include new energy futures contracts.

 

  • Through March 28, ICE's CDS clearing houses have cleared $39 trillion in gross notional value on a cumulative basis across 1.2 million trades. ICE Clear Credit has cleared $22.8 trillion in CDS resulting in open interest of $793 billion. ICE Clear Europe has cleared ?11.9 trillion ($16.1 trillion) in CDS resulting in ?561 billion ($718 billion) of open interest. ICE lists 439 CDS instruments for clearing. A complete summary of CDS clearing can be found at: https://www.theice.com/clear_credit.jhtml
  • Trading days in March 2013
    • ICE Futures Europe & U.S: 20
    • ICE Futures Canada: 20

Note: As of October 15, 2012, ICE transitioned all of the open interest in OTC cleared energy swaps contracts to futures contracts. All futures volumes in the tables above have been adjusted to treat, on a pro forma basis, the OTC cleared energy swaps contracts as futures contracts for all periods prior to October 2012.

RPC is calculated by dividing transaction revenues by contract volume, and may vary based on pricing, customer and product mix.

Historical futures volume and OTC commission data can be found at:  http://ir.theice.com/supplemental.cfm

About IntercontinentalExchange IntercontinentalExchange (NYSE: ICE) is a leading operator of regulated exchanges and clearing houses serving the risk management needs of global markets for agricultural, credit, currency, emissions, energy and equity index products. www.theice.com   

The following are trademarks of IntercontinentalExchange, Inc. and/or its affiliated companies: IntercontinentalExchange, ICE, ICE and block design, ICE Futures Europe, ICE Clear Europe, ICE Clear Canada, ICE Clear US, ICE Futures U.S., and ICE OTC. All other trademarks are the property of their respective owners. For more information regarding registered trademarks owned by IntercontinentalExchange, Inc. and/or its affiliated companies, see https://www.theice.com/terms.jhtml

CAUTIONARY STATEMENT REGARDING FORWARD LOOKING STATEMENTS This written communication contains "forward-looking statements" made pursuant to the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. In some cases, you can identify forward-looking statements by words such as "may," "hope," "will," "should," "expect," "plan," "anticipate," "intend," "believe," "estimate," "predict," "potential," "continue," "could," "future" or the negative of those terms or other words of similar meaning. You should carefully read forward-looking statements, including statements that contain these words, because they discuss our future expectations or state other "forward-looking" information. Forward-looking statements are subject to numerous assumptions, risks and uncertainties which change over time. ICE Group, ICE and NYSE Euronext caution readers that any forward-looking statement is not a guarantee of future performance and that actual results could differ materially from those contained in the forward-looking statement.

Forward-looking statements include, but are not limited to, statements about the benefits of the proposed merger involving ICE Group, ICE and NYSE Euronext, including future financial results, ICE's and NYSE Euronext's plans, objectives, expectations and intentions, the expected timing of completion of the transaction and other statements that are not historical facts. Important factors that could cause actual results to differ materially from those indicated by such forward-looking statements are set forth in ICE's and NYSE Euronext's filings with the U.S. Securities and Exchange Commission (the "SEC"). These risks and uncertainties include, without limitation, the following: the inability to close the merger in a timely manner; the inability to complete the merger due to the failure of NYSE Euronext stockholders to adopt the merger agreement or the failure of ICE stockholders to adopt the merger agreement or approve related proposals; the failure to satisfy other conditions to completion of the merger, including receipt of required regulatory and other approvals; the failure of the proposed transaction to close for any other reason; the possibility that any of the anticipated benefits of the proposed transaction will not be realized; the risk that integration of NYSE Euronext's operations with those of ICE will be materially delayed or will be more costly or difficult than expected; the challenges of integrating and retaining key employees; the effect of the announcement of the transaction on ICE's, NYSE Euronext's or the combined company's respective business relationships, operating results and business generally; the possibility that the anticipated synergies and cost savings of the merger will not be realized, or will not be realized within the expected time period; the possibility that the merger may be more expensive to complete than anticipated, including as a result of unexpected factors or events; diversion of management's attention from ongoing business operations and opportunities; general competitive, economic, political and market conditions and fluctuations; actions taken or conditions imposed by the United States and foreign governments or regulatory authorities; and adverse outcomes of pending or threatened litigation or government investigations.  In addition, you should carefully consider the risks and uncertainties and other factors that may affect future results of the combined company, as are described in the section entitled "Risk Factors" in the joint proxy statement/prospectus filed by ICE Group with the SEC, and as described in ICE's and NYSE Euronext's respective filings with the SEC that are available on the SEC's web site located at www.sec.gov, including the sections entitled "Risk Factors" in ICE's Form 10-K for the fiscal year ended December 31, 2012, as filed with the SEC on February 6, 2013, and "Risk Factors" in NYSE Euronext's Form 10-K for the fiscal year ended December 31, 2012, as filed with the SEC on February 26, 2013. You should not place undue reliance on forward-looking statements, which speak only as of the date of this written communication. Except for any obligations to disclose material information under the Federal securities laws, ICE Group undertakes no obligation to publicly update any forward-looking statements to reflect events or circumstances after the date of this written communication.

IMPORTANT INFORMATION ABOUT THE PROPOSED TRANSACTION AND WHERE TO FIND IT This communication does not constitute an offer to sell or the solicitation of an offer to buy any securities or a solicitation of any vote or approval. In connection with the proposed transaction, ICE Group has filed with the SEC a registration statement on Form S?4, which includes a preliminary joint proxy statement/prospectus with respect to the proposed acquisition of NYSE Euronext by ICE. The final joint proxy statement/prospectus will be delivered to the stockholders of ICE and NYSE Euronext. INVESTORS AND SECURITY HOLDERS OF BOTH ICE AND NYSE EURONEXT ARE URGED TO READ THE JOINT PROXY STATEMENT/PROSPECTUS REGARDING THE PROPOSED TRANSACTION CAREFULLY AND IN ITS ENTIRETY, INCLUDING ANY DOCUMENTS PREVIOUSLY FILED WITH THE SEC AND INCORPORATED BY REFERENCE INTO THE JOINT PROXY STATEMENT/PROSPECTUS, AS WELL AS ANY AMENDMENTS OR SUPPLEMENTS TO THOSE DOCUMENTS, BECAUSE IT WILL CONTAIN IMPORTANT INFORMATION REGARDING ICE, NYSE EURONEXT AND THE PROPOSED TRANSACTION. Investors and security holders may obtain a free copy of the joint proxy statement/prospectus, as well as other filings containing information about ICE and NYSE Euronext, without charge, at the SEC's website at http://www.sec.gov. Investors may also obtain these documents, without charge, from ICE's website at http://www.theice.com and from NYSE Euronext's website at http://www.nyx.com.

PARTICIPANTS IN THE MERGER SOLICITATION ICE, NYSE Euronext and their respective directors, executive officers and other members of management and employees may be deemed to be participants in the solicitation of proxies in respect of the transactions contemplated by the Merger Agreement.

You can find information about ICE and ICE's directors and executive officers in ICE's Annual Report on Form 10-K for the year ended December 31, 2012, as filed with the SEC on February 6, 2013, and ICE's proxy statement for its 2012 annual meeting of stockholders, as filed with the SEC on March 30, 2012.

You can find information about NYSE Euronext and NYSE Euronext's directors and executive officers in NYSE Euronext's Annual Report on Form 10-K for the year ended December 31, 2012, as filed with the SEC on February 26, 2013, NYSE Euronext's proxy statement for its 2012 annual meeting of stockholders, filed with the SEC on March 26, 2012.

Additional information about the interests of potential participants is included in the joint proxy statement/prospectus, and the other relevant documents filed by ICE and NYSE Euronext with the SEC.

ICE-CORP

(Logo: http://photos.prnewswire.com/prnh/20090727/CL51999LOGO )

SOURCE IntercontinentalExchange

For further information: Investor & Media Contacts: Kelly Loeffler, VP, Investor Relations & Corp. Communications, IntercontinentalExchange, Inc., 770-857-4726, kelly.loeffler@theice.com, or Melanie Skijus, Director, Investor Relations, IntercontinentalExchange, Inc., 770-857-2532, melanie.skijus@theice.com

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