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Globalization ~ Deutsche Boerse rebuffs rumors on NYSE talks

Of the world exchange centers - monopoly

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By The Associated Press | 07 Dec 2008 | 11:11 AM ET
By MELISSA EDDY
Associated Press Writer
The Associated Press
| 07 Dec 2008 | 11:11 AM ET

BERLIN - Deutsche Boerse rebuffed rumors that it might join with NYSE Euronext to create the world's leading stock exchange, issuing a statement Sunday flatly declaring it had nothing to report.

The remarks from the Frankfurt, Germany-based owner of the German stock exchange followed a report in the leading German weekly, Der Spiegel, that talks on a merger were under way. Deutsche Boerse said that even if talks had taken place, "they ended without any results."

Der Spiegel's advance edition said the two exchanges are considering creating a Netherlands-based holding company that would take over Deutsche Boerse's shares, which would then be fused with a U.S.-based subsidiary of the holding company.

An NYSE spokesman declined to comment in response to calls by The Associated Press.

Der Spiegel cited as the basis for its report a Deutsche Bourse "internal paper" to be presented at an exchange meeting Monday.

The new company would have current Deutsche Boerse Chief Executive Reto Francioni as its chairman, with NYSE's Duncan Niederauer as chief executive, Spiegel said.

Trading would based in New York, while derivatives would remain in Frankfurt, Der Spiegel said.

NYSE Euronext came out of a $9.96 billion deal that saw Euronext, which operates the Paris, Amsterdam, Brussels and Lisbon exchanges, combine with the U.S. exchange in 2007.

Deutsche Boerse had also been courting the company.

NYSE Euronext operates on a single platform where traders can deal in stocks, options, futures, commodities and corporate bonds across two continents — for up to 12 hours daily.

Deutsche Boerse, operator of the DAX-30 index and derivatives exchange Eurex, which it owns jointly with the Swiss Exchange, reported last month's earnings of euro257.3 million in the July-September period, compared with euro238.2 million euros last year.
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URL: http://www.cnbc.com/id/28084841/