FOi - Futures and Options Intelligence

SIX profits sag as ISE stake is written downSIX Swiss Exchange, which owns 15% of Eurex, suffered a 28% fall in net income for 2009 to Sfr220m ($205m). Operating income decreased by 7% to Sfr1.25bn.The bourse blamed declining turnover on its stock exchanges, low interest rates and price cuts, as well as value adjustments on assets of its US options exchange, International Securities Exchange (ISE), which was acquired by Eurex in 2007.The group made a loss of Sfr20.4m on its 15% stake in Eurex, largely due to a Sfr45.4m writedown on the value of its stake in ISE. It blamed this on “intensified competition in the stagnating US derivatives market [which] led to a reassessment of the perspectives for ISE”.Once the value adjustments and price cuts are taken into account, the group said its annual profit was in the region of 2008’s figure. SIX made price reductions of Sfr44.1m in...