LCH.Clearnet and NYSE Euronext agree on the main terms of a long-term agreement for cash equity clearing

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Clearing fees will be reduced by 20% for market participants 

Paris, 24 December 2012 LCH.Clearnet SA, the Paris-based clearing house of LCH.Clearnet Group, and NYSE Euronext today jointly announced they have reached an agreement on the main terms and conditions of a six year clearing contract with respect to NYSE Euronext’s continental cash equities markets. The Parties are currently reviewing the technical elements and are in the process of finalising the agreement.

The agreement is expected to commence on 1 January 2013 and will run through 2018. The new contract would then replace the existing contract that was due to end on 31 December 2013 for cash equity transactions.

The contract, once signed, would enable LCH.Clearnet SA to further reduce clearing fees for clearing members. Fees will be reduced from €0.05 to €0.04 for blue chips stocks.

Christophe Hémon, Chief Executive of LCH.Clearnet SA, said: “We are delighted to continue providing clearing services for NYSE Euronext by extending our long-standing relationship. This is testament to our industry-leading risk management and the choice it brings to clients and financial market participants.”

Roland Bellegarde, Group EVP for European Equities and Equity derivatives at NYSE Euronext, added: “We are pleased to have negotiated the main terms of an agreement with LCH.Clearnet SA which would allow our customers to maintain their infrastructure with their existing clearing house. This six year agreement, once in place, will contribute towards ensuring that market participants have access to a robust, regulated and organised clearing house. Following our negotiations with LCH.Clearnet SA, clearing costs are expected to decrease 20% for blue chips, the largest segment of the cash equity clearing business.”

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About Euronext 
Euronext is the leading pan-European market infrastructure, connecting European economies to global capital markets, to accelerate innovation and sustainable growth. It operates regulated exchanges in Belgium, France, Ireland, Italy, the Netherlands, Norway and Portugal. With close to 2,000 listed issuers and around €5.8 trillion in market capitalisation as of end June 2022, it has an unmatched blue-chip franchise and a strong diverse domestic and international client base. Euronext operates regulated and transparent equity and derivatives markets, one of Europe’s leading electronic fixed income trading markets and is the largest centre for debt and funds listings in the world. Its total product offering includes Equities, FX, Exchange Traded Funds, Warrants & Certificates, Bonds, Derivatives, Commodities and Indices. The Group provides a multi-asset clearing house through Euronext Clearing, and custody and settlement services through Euronext Securities central securities depositories in Denmark, Italy, Norway and Portugal. Euronext also leverages its expertise in running markets by providing technology and managed services to third parties. In addition to its main regulated market, it also operates a number of junior markets, simplifying access to listing for SMEs.  
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