NYSE Euronext (NYX): Financial and Operating Highlights (Non-GAAP)Third consecutive quarterly increase in net revenues and earnings per shareEPS of $0.58, up 12% versus 4Q08; up 9% versus 3Q09Net revenue of $640 million, down 6% versus 4Q08; up 3% versus 3Q09Derivatives net revenue up 21% versus 4Q08; U.S. options market share increases to 24% in 4Q09Fixed operating expenses down 16% and 11% versus 4Q08 and full-year 2008, respectively, adjusted for acquisitions, foreign currency fluctuations and investment in new businessesClosed the acquisition of NYFIX and semi-mutualization of NYSE Liffe U.S.Signed definitive agreement for semi-mutualization of NYSE Amex Options14% reduction in staff year-over-year excluding NYFIX NYSE Euronext (NYX) a leading global operator of financial markets and provider of innovative trading technologies, today reported net income of $172 million, or $0.66 per diluted share for the fourth quarter of 2009, compared to a net loss of ($1,338) million, or ($5.06) per diluted share for the fourth quarter of 2008. Fourth quarter 2009 GAAP results include the impact of merger expenses and exit costs and the requisite reversal of discrete tax reserves. Fourth quarter 2008 results include the impact of merger expenses and exit costs and a non-cash charge for the impairment of certain goodwill and indefinite-lived intangible assets. Non-GAAP diluted earnings per share excluding these items was $0.58 in the fourth quarter of 2009, compared to $0.52 in the fourth quarter of 2008. “Our fourth quarter and full-year results were solid, reflecting growing revenue and earnings power driven by our new businesses and our continuing efforts to harmonize our technology infrastructure and trading platforms,” said Duncan L. Niederauer, CEO, NYSE Euronext. “With the addition of NYFIX Marketplace, we expanded our customer base and points of connectivity with our trading communities. We moved forward with the semi-mutualization of our U.S. futures platform, and we plan to do the same with the NYSE Amex options business. We continue to make progress with the migration to the Universal Trading Platform that will provide global scale and will be a competitive differentiator and with our data center build-out nearly complete, we will expand the suite of technology services we offer our clients today, while enhancing our ability to develop the cutting-edge products of the future.” The table below summarizes our non-GAAP results:   ($ in millions, except EPS)   4Q09   3Q09   4Q08   % Δ 4Q09vs. 4Q08   FY 2009   FY 2008   % Δ FY 2009vs. FY 2008Gross Revenues $1,014 $1,048 $1,177 (14%) $4,299 $4,474 (4%) Net Revenues $640 $624 $683 (6%) $2,479 $2,882 (14%) Fixed Operating Expenses ($432) ($431) ($473) (9%) $1,683 $1,742 (3%) Operating Income1 $210 $197 $210 - $803 $1,143 (30%) Net Income $151 $138 $137 10% $533 $763 (30%) Diluted Earnings Per Share   $0.58   $0.53   $0.52   12%   $2.04   $2.87   (29%) 1 Includes regulatory fine income Michael S. Geltzeiler, Group Executive Vice President and Chief Financial Officer, NYSE Euronext, commented, “Our fourth quarter results represented the third consecutive quarterly increase in net revenue and earnings per share, reflecting increasing momentum in our business model and the continuing benefit of our various cost reduction programs. For the full-year 2009, we recorded fixed operating expenses of $1,683 million, well below the $1,742 million for full-year 2008, despite the addition of several new businesses including the former Amex businesses, NYSE Liffe Clearing and NYFIX. On a constant portfolio and constant currency basis, our underlying expense base was down $195 million, or 11% when compared to full-year 2008. As we move into 2010, our new initiatives are gaining traction, we are aggressively moving forward with the NYFIX integration and we expect to realize the full-year benefit from cost reduction programs launched in 2009.” Non-GAAP net income for the fourth quarter of 2009 was $151 million, or $0.58 per diluted share, compared to non-GAAP net income of $137 million, or $0.52 per diluted share for the fourth quarter of 2008. Non-GAAP results for the fourth quarter of 2009 exclude $44 million in merger expenses and exit costs and the favorable impact of the requisite reversal of discrete tax reserves. Non-GAAP results for the fourth quarter of 2008 exclude $94 million in pre-tax merger expenses and exit costs and a pre-tax $1,590 million non-cash charge, primarily for the impairment of certain goodwill and indefinite-lived intangible assets. Non-GAAP net income for the full-year 2009 was $533 million, or $2.04 per diluted share, compared to non-GAAP net income of $763 million, or $2.87 per diluted share, for the full-year 2008. In addition to the items excluded above, non-GAAP results also exclude activity assessment and Section 31 fees1. A full reconciliation of our non-GAAP results to our GAAP results is included in the attached tables. Other Financial Highlights (Non-GAAP Basis) Gross revenues, excluding activity assessment fees, were $1,014 million in the fourth quarter of 2009, a 14% decrease compared to the fourth quarter of 2008 and a 3% decrease compared to the third quarter of 2009. For the full-year 2009, gross revenues of $4,299 million decreased 4% compared to full-year 2008. Full-year 2009 gross revenues were negatively impacted by a decline in global cash equities volumes and pricing changes across our European and U.S. cash businesses. Net revenues, defined as gross revenues less direct transaction costs consisting of Section 31 fees, liquidity payments and routing and clearing fees, were $640 million in the fourth quarter of 2009, down 6% compared to $683 million in the fourth quarter of 2008, but up 3% compared to $624 million in the third quarter of 2009. Fourth quarter 2009 net revenues compared to the fourth quarter of 2008 include a $27 million positive impact attributable to foreign currency fluctuations. Full-year 2009 net revenues were $2,479 million compared to $2,882 million for full-year 2008 and include a ($123) million negative impact attributable to foreign currency fluctuations. NYSE Euronext continues to make significant strides in diversifying revenue streams and creating a world-class diversified multi-asset global exchange group. Net revenues from its primary business activities are represented below as a percentage of total net revenues for the fourth quarter of 2009. Global derivatives trading 28%Global listings 17%Global market data 15%European cash trading 13%Software and technology services 10%U.S. cash trading 9%Other 8% Beginning with first quarter 2010 results, NYSE Euronext will change its segment reporting to reflect how NYSE Euronext’s primary businesses will be managed in 2010. The new reportable segments will be focused on our three primary global business units: Derivatives, Cash Equities & Listings and Technology and Information Solutions. Fixed operating expenses, defined as operating expenses less merger expenses and exit costs, direct transaction costs, and excluding regulatory fine income, were $432 million, compared to $473 million in the fourth quarter of 2008 and $431 million in the third quarter of 2009. For the full-year 2009, fixed operating expenses of $1,683 million were down 3% compared to full-year 2008. Excluding the impact of acquisitions, foreign currency fluctuations and investment in new businesses, underlying fixed expenses were down $74 million, or 16% compared to the fourth quarter of 2008 and were down $195 million or 11% compared to the full-year 2008. Operating income was $210 million, flat compared to the fourth quarter of 2008, but up $13 million or 7% compared to the third quarter of 2009. Fourth quarter 2009 operating income compared to the fourth quarter of 2008 includes a $10 million positive impact attributable to foreign currency fluctuations. For the full-year 2009, operating income was $803 million compared to $1,143 million for full-year 2008 and includes a ($66) million negative impact attributable to foreign currency fluctuations. The effective tax rate for the fourth quarter and full-year 2009 was 27%, down from 29% in the prior year. The decline in the tax rate was due to the favorable mix of profits from our global subsidiaries. Non-operating income for the fourth quarter of 2009 includes the impact of a special dividend from LCH.Clearnet, as well as the impact of the sale of stakes in NYSE Liffe U.S. which resulted in the retroactive sharing of losses with our partners in the new venture. Despite the closing of the NYFIX acquisition, at December 31, 2009, total debt declined $119 million from the third quarter of 2009 to $2.8 billion and consists of $2.2 billion in long-term debt and $0.6 billion in short-term debt. Cash, cash equivalents, investments and other securities (including $145 million related to Section 31 fees collected from market participants and due to the SEC) was $0.5 billion and net debt was $2.3 billion. Headcount as of December 31, 2009 was 3,231 (excluding 136 headcount from NYFIX), down 5% from September 30, 2009 and down 14% from December 31, 2008. Business HighlightsGlobal Derivatives Markets Global derivatives markets net trading revenue, which includes our European and U.S. derivatives businesses, was $182 million in the fourth quarter of 2009, up 21% from $150 million in the fourth quarter of 2008 and down 1% from $184 million recorded in the third quarter of 2009. For the full-year 2009, global derivatives markets net revenue was $668 million, a decrease of 7% compared to $714 million for full-year 2008. European derivatives net trading revenue of $146 million in the fourth quarter of 2009 increased 23% from $119 million in the fourth quarter of 2008, driven primarily by the addition of NYSE Liffe Clearing, but was down $6 million, or 4% from $152 million in the third quarter of 2009, driven by higher liquidity rebates. For the full-year 2009, European derivatives net revenue of $535 million decreased 14% from $620 million for full-year 2008, primarily driven by a ($82) million negative impact attributable to foreign currency fluctuations. U.S. derivatives net trading revenue of $36 million in the fourth quarter of 2009, increased $5 million from the fourth quarter of 2008 and increased $4 million from the third quarter of 2009 driven by an increase in matched market share which increased 670 and 460 basis points, respectively, compared to fourth quarter 2008 and third quarter 2009. For the full- year 2009, net revenue of $133 million increased 41%, compared to $94 million for full-year 2008 driven by the addition of the former Amex options business from October 1, 2008 and the increase in matched market share beginning in the third quarter of 2009. Global Cash Markets Global cash markets net trading revenue, which includes our U.S. and European cash equities businesses, was $139 million in the fourth quarter of 2009, down 38% from the fourth quarter of 2008, but up 3% from the third quarter of 2009. For the full-year 2009 global cash markets net revenue of $580 million decreased 42% from $998 million for full-year 2008. The decrease in net revenue for all periods was driven primarily by declines in global cash equities trading volumes from the record levels achieved in 2008 and net pricing reductions. European cash equities net trading revenue of $80 million in the fourth quarter of 2009, decreased $62 million from the fourth quarter of 2008 and decreased $1 million from the third quarter of 2009. For the full-year 2009, European cash equities net revenue of $345 million decreased 45% from $628 million for full-year 2008 and included a ($19) million negative impact attributable to foreign currency fluctuations. U.S. cash equities net trading revenue of $59 million in the fourth quarter of 2009, decreased $24 million from the fourth quarter of 2008 and increased $5 million from the third quarter of 2009. For the full-year 2009, U.S. cash equities net revenue of $235 million decreased 36% from $370 million for full-year 2008. Total global listings revenue in the fourth quarter of 2009 was $106 million, compared to $101 million in the fourth quarter of 2008 and $100 million in the third quarter of 2009. For the full-year 2009 total global listings revenue of $406 million increased 3% from $395 million for full-year 2008. In the fourth quarter of 2009, a total of 20 IPOs listed on NYSE Euronext markets for total proceeds of $14.2 billion. Among the IPOs were 3 closed-end funds, 1 REIT and 16 operating companies including Banco Santander Brasil, Hyatt Hotels, Cobalt International Energy, Dollar General, Cloud Peak and Dole Food. The 20 IPOs listed on NYSE Euronext markets in the fourth quarter of 2009 represented 38% of the IPOs NYSE Euronext brought to market in 2009. According to Dealogic, for the full-year 2009, NYSE Euronext raised the second most capital among all exchanges through 53 IPOs for a total of $24.5 billion, behind the Hong Kong Stock Exchange which raised a total of $27.0 billion, but ahead of the Shanghai Exchange that raised $21.6 billion, and Nasdaq OMX which raised $8.1 billion through 33 IPOs. In 2009, NYSE Euronext raised $7.5 billion in the Banco Santander Brasil IPO, the single largest IPO for the year. Technology Services NYSE Euronext closed the previously announced NYFIX acquisition on November 30, 2009. The acquisition significantly expands NYSE Euronext’s pre-trade product offering and global buy-side and sell-side trading communities. The NYFIX Marketplace is one of the industry’s broadest and deepest FIX-based communities where more than 1,000 global trading counterparties connect to one another via more than 9,000 fully managed FIX-based messaging channels. NYSE Euronext Earnings News Release with Tables and Operating DataAnalyst/Investor/Media Call: February 9, 2010 at 8:00 a.m. (NY/EST)/2:00 p.m. (Paris/CET) A presentation and live audio webcast of the fourth quarter and full-year 2009 earnings conference call will be available on the Investor Relations section of NYSE Euronext’s website, http://www.nyseeuronext.com/ir. Those wishing to listen to the live conference via telephone should dial-in at least ten minutes before the call begins. An audio replay of the conference call will be available approximately one hour after the call on the Investor Relations section of NYSE Euronext’s website, http://www.nyseeuronext.com/ir or by dial-in beginning approximately two hours following the conclusion of the live call. Live Dial-in Information:United States: 866.578.5788International: 617.213.8057Passcode: 50789946Replay Dial-in Information:United States: 888.286.8010International: 617.801.6888Passcode: 89047921 To supplement NYSE Euronext’s consolidated financial statements prepared in accordance with GAAP and to better reflect period-over-period comparisons, NYSE Euronext uses non-GAAP financial measures of performance, financial position, or cash flows that either exclude or include amounts that are not normally excluded or included in the most directly comparable measure, calculated and presented in accordance with GAAP. Non-GAAP financial measures do not replace and are not superior to the presentation of GAAP financial results, but are provided to (i) present the effects of certain merger expenses, exit costs and other special items, and (ii) improve overall understanding of NYSE Euronext’s current financial performance and its prospects for the future. Specifically, NYSE Euronext believes the non-GAAP financial results provide useful information to both management and investors regarding certain additional financial and business trends relating to financial condition and operating results. In addition, management uses these measures for reviewing financial results and evaluating financial performance. The non-GAAP adjustments for all periods presented are based upon information and assumptions available as of the date of this release. About NYSE Euronext NYSE Euronext (NYX) is a leading global operator of financial markets and provider of innovative trading technologies. The company's exchanges in Europe and the United States trade equities, futures, options, fixed-income and exchange-traded products. With more than 8,000 listed issues, NYSE Euronext's equities markets -- the New York Stock Exchange, NYSE Euronext, NYSE Amex and NYSE Alternext as well as NYSE Arca – represent nearly 40 percent of the world's equities trading, the most liquidity of any global exchange group. NYSE Euronext also operates NYSE Liffe, the leading European derivatives business and the world's second-largest derivatives business by value of trading. The company offers comprehensive commercial technology, connectivity and market data products and services through NYSE Technologies. NYSE Euronext is in the S&P 500 index, and is the only exchange operator in the S&P 100 index and Fortune 500. For more information, please visit: http://www.nyx.comCautionary Note Regarding Forward-Looking Statements This press release may contain forward-looking statements, including forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. Such forward-looking statements include, but are not limited to, statements concerning NYSE Euronext’s plans, objectives, expectations and intentions and other statements that are not historical or current facts. Forward-looking statements are based on NYSE Euronext’s current expectations and involve risks and uncertainties that could cause actual results to differ materially from those expressed or implied in such forward-looking statements. Factors that could cause NYSE Euronext’s results to differ materially from current expectations include, but are not limited to: NYSE Euronext’s ability to implement its strategic initiatives, economic, political and market conditions and fluctuations, government and industry regulation, interest rate risk and U.S. and global competition, and other factors detailed in NYSE Euronext’s reference document for 2008 ("document de référence") filed with the French Autorité des Marchés Financiers (Registered on April 28, 2009 under No. R. 09-031), 2008 Annual Report on Form 10-K and other periodic reports filed with the U.S. Securities and Exchange Commission or the French Autorité des Marchés Financiers. In addition, these statements are based on a number of assumptions that are subject to change. Accordingly, actual results may be materially higher or lower than those projected. The inclusion of such projections herein should not be regarded as a representation by NYSE Euronext that the projections will prove to be correct. This press release speaks only as of this date. NYSE Euronext disclaims any duty to update the information herein. 1 Section 31 of the Securities Exchange Act of 1934 requires each Self-Regulatory Organization to pay the SEC twice annually a fee based on the aggregate dollar amount of certain sales of securities such that the SEC can recover the costs to the government of supervision and regulation of securities markets and securities professionals. NYSE Euronext Condensed consolidated statements of income in accordance with U.S. GAAP (unaudited) (in millions, except per share data)                   Three months ended December 31, Year ended December 31, 2009   2008 2009   2008     Revenues Activity assessment $ 117 $ 40 $ 388 $ 229 Cash trading 453 679 2,204 2,387 Derivatives trading and clearing 242 190 862 919 Listing 106 101 406 395 Market data 97 108 402 429 Software and technology services 61 53 201 160 Regulatory 12 13 43 49 Other   43     33     181     135   Total revenues 1,131 1,217 4,687 4,703 Section 31 fees (117 ) (40 ) (388 ) (229 ) Liquidity payments (331 ) (405 ) (1,573 ) (1,292 ) Routing and clearing (43 ) (89 ) (247 ) (300 ) Merger expenses and exit costs (44 ) (94 ) (517 ) (177 ) Impairment charges - (1,590 ) - (1,590 ) Compensation (157 ) (184 ) (649 ) (664 ) Systems and communications (58 ) (80 ) (225 ) (317 ) Professional services (60 ) (57 ) (223 ) (163 ) Depreciation and amortization (66 ) (72 ) (266 ) (253 ) Occupancy (43 ) (29 ) (156 ) (125 ) Marketing and other (48 ) (51 ) (164 ) (184 ) Regulatory fine income   2     -     7     3   Operating income (loss) from continuing operations 166 (1,474 ) 286 (588 ) Net interest and investment loss (29 ) (27 ) (110 ) (99 ) Gain on sale of equity investment 1 2 1 4 Other income   9     10     28     38   Income (loss) from continuing operations before income tax benefit (provision) 147 (1,489 ) 205 (645 ) Income tax benefit (provision)   14     149     7     (95 ) Income (loss) from continuing operations 161 (1,340 ) 212 (740 ) Income from discontinued operations, net of tax   -     2     -     7   Net income (loss) 161 (1,338 ) 212 (733 ) Net loss (income) attributable to noncontrolling interest   11     -     7     (5 ) Net income (loss) attributable to NYSE Euronext $ 172   $ (1,338 ) $ 219   $ (738 )   Basic earnings per share attributable to NYSE Euronext Earnings per share, continuing operations $ 0.66 $ (5.07 ) $ 0.84 $ (2.81 ) Earnings per share, discontinued operations   -     0.01     -     0.03   $ 0.66 $ (5.06 ) $ 0.84 $ (2.78 ) Diluted earnings per share attributable to NYSE Euronext Earnings per share, continuing operations 0.66 $ (5.07 ) $ 0.84 $ (2.81 ) Earnings per share, discontinued operations   -     0.01     -     0.03   $ 0.66 $ (5.06 ) $ 0.84 $ (2.78 )   Basic weighted average shares outstanding 260 264 260 265 Diluted weighted average shares outstanding   261       264     261       265       NYSE Euronext Condensed combined statements of income including non-GAAP financial measures (unaudited) (in millions, except per share data)                   We use non-GAAP financial measures of operating performance. Non-GAAP measures do not replace and are not superior to the presentation of our GAAP financial results but are provided to improve overall understanding of our current financial performance and our prospects for the future. Please refer to the table entitled "Reconciliation of non-GAAP Financial Measures to GAAP Measures (unaudited)"                 Three months ended December 31, [a, b, c, d, e] Year ended December 31, [a, b, c, d, e] 2009 2008 2009 2008 Revenues Cash trading $ 453 $ 679 $ 2,204 $ 2,387 Derivatives trading and clearing 242 190 862 919 Listing 106 101 406 395 Market data 97 108 402 429 Software and technology services 61 53 201 160 Regulatory 12 13 43 49 Other   43     33     181     135   Total revenues 1,014 1,177 4,299 4,474 Liquidity payments (331 ) (405 ) (1,573 ) (1,292 ) Routing and clearing (43 ) (89 ) (247 ) (300 ) Compensation (157 ) (184 ) (649 ) [g] (700 ) [f] Systems and communications (58 ) (80 ) (225 ) (317 ) Professional services (60 ) (57 ) (223 ) (163 ) Depreciation and amortization (66 ) (72 ) (266 ) (253 ) Occupancy (43 ) (29 ) (156 ) (125 ) Marketing and other (48 ) (51 ) (164 ) (184 ) Regulatory fine income   2     -     7     3   Operating income 210 210 803 1,143 Net interest and investment loss (29 ) (27 ) (110 ) (99 ) Other income   9     10     24   [h]   38   Income before income tax provision 190 193 717 1,082 Income tax provision   (50 )   (56 )   (191 )   (314 ) Net income 140 137 526 768 Net loss (income) attributable to noncontrolling interest   11     -     7     (5 ) Net income attributable to NYSE Euronext $ 151   $ 137   $ 533   $ 763     Basic earnings per share attributable to NYSE Euronext $ 0.58 $ 0.52 $ 2.05 $ 2.88 Diluted earnings per share attributable to NYSE Euronext $ 0.58 $ 0.52 $ 2.04 $ 2.87   Basic weighted average shares outstanding 260 264 260 265 Diluted weighted average shares outstanding   261         264     261         266   The non-GAAP results of NYSE Euronext include the following adjustments to the GAAP results:   [a] The results of operations are presented as if the divestiture of the investment in GL Trade had been completed at the beginning of the earliest period presented.   [b] Merger expenses and exit costs of $44 million and $94 million have been eliminated from the results of operations for the three months ended December 31, 2009 and 2008, respectively, and $517 million and $177 million have been eliminated from the results of operations for the year ended December 31, 2009 and 2008, respectively.   [c] Impairment losses of $1,590 million have been eliminated from the results of operations for the three months and the year ended December 31, 2008.   [d] Activity assessment fees and Section 31 fees have been excluded from revenues and expenses, respectively, as they have no impact on operating income or net income.   [e] Gains on sale of equity investments of $1 million and $2 million have been eliminated from the results of operations for the three months ended December 31, 2009 and 2008, respectively, and $1 million and $4 million have been eliminated from the results of operations for the year ended December 31, 2009 and 2008, respectively.   [f] Excludes $36 million of income from the reversal of an accrual relating to certain litigation between a former Chairman & CEO and the NYSE, which was terminated on July 31, 2008.   [g] Includes a $10 million curtailment gain associated with a change in our retiree medical plan.   [h] Excludes a $4 million net gain from the sale of our investment in BM&F Bovespa, partially offset by fair value adjustments of our investments in Hugin and BIDS Holdings, L.P.     NYSE Euronext Condensed combined statements of income including non-GAAP financial measures (unaudited) (in millions, except per share data)               We use non-GAAP financial measures of operating performance. Non-GAAP measures do not replace and are not superior to the presentation of our GAAP financial results but are provided to improve overall understanding of our current financial performance and our prospects for the future.       Three months endedDecember 31, 2009 [a, b, c] Three months endedDecember 31, 2008 [a, b, c, d] USOperations EuropeanOperations CorporateItems [f] Pro FormaCombined USOperations EuropeanOperations CorporateItems [f] Pro FormaCombined   Revenues Cash trading $ 373 $ 80 $ - $ 453 $ 537 $ 142 $ - $ 679 Derivatives trading and clearing 58 184 - 242 44 146 - 190 Listing 92 14 - 106 94 7 - 101 Market data 49 48 - 97 59 49 - 108 Other revenues   91     49     (24 )   116     60     66     (27 )   99   Total revenues (1) 663 375 (24 ) 1,014 794 410 (27 ) 1,177 Liquidity payments, routing and clearing (2) (336 ) (38 ) - (374 ) (467 ) (27 ) - (494 ) Fixed operating expenses (245 ) (201 ) 14 (432 ) (286 ) (208 ) 21 (473 ) Regulatory fine income   2     -     -     2     -     -     -     -   Operating income $ 84     $ 136     $ (10 )   $ 210   $ 41     $ 175     $ (6 )   $ 210       Net revenues= (1) + (2) $ 327     $ 337     $ (24 )   $ 640   $ 327     $ 383     $ (27 )   $ 683         Year endedDecember 31, 2009 [a, b, c] Year endedDecember 31, 2008 [a, b, c, d] USOperations EuropeanOperations CorporateItems [f] Pro FormaCombined USOperations EuropeanOperations CorporateItems [f] Pro FormaCombined   Revenues Cash trading $ 1,856 $ 348 $ - $ 2,204 $ 1,759 $ 628 $ - $ 2,387 Derivatives trading and clearing 194 668 - 862 152 767 - 919 Listing 365 41 - 406 363 32 - 395 Market data 214 188 - 402 215 214 - 429 Other revenues   280     195     (50 )   425     252     119     (27 )   344   Total revenues (1) 2,909 1,440 (50 ) 4,299 2,741 1,760 (27 ) 4,474 Liquidity payments, routing and clearing (2) (1,687 ) (134 ) 1 (1,820 ) (1,445 ) (147 ) - (1,592 ) Fixed operating expenses (962 ) (743 ) 22 (1,683 ) (947 ) [e] (781 ) (14 ) (1,742 ) Regulatory fine income   7     -     -     7     3     -     -     3   Operating income $ 267     $ 563     $ (27 )   $ 803   $ 352     $ 832     $ (41 )   $ 1,143       Net revenues= (1) + (2) $ 1,222     $ 1,306     $ (49 )   $ 2,479   $ 1,296     $ 1,613     $ (27 )   $ 2,882   The non-GAAP results of NYSE Euronext include the following adjustments to the GAAP results:   [a] The results of operations are presented as if the divestiture of the investment in GL Trade had been completed at the beginning of the earliest period presented.   [b] Merger expenses and exit costs of $44 million and $94 million have been eliminated from the results of operations for the three months ended December 31, 2009 and 2008, respectively, and $517 million and $177 million have been eliminated from the results of operations for the year ended December 31, 2009 and 2008, respectively.   [c] Activity assessment fees and Section 31 fees have been excluded from revenues and expenses, respectively, as they have no impact on operating income or net income.   [d] Impairment losses of $1,590 million have been eliminated from the results of operations for the three months and year ended December 31, 2008.   [e] Excludes $36 million of income from the reversal of an accrual relating to certain litigation between a former Chairman & CEO and the NYSE, which was terminated on July 31, 2008.   [f] Corporate Items include intercompany eliminations of revenues and expenses between U.S. and Europe.     NYSE Euronext Reconciliation of non-GAAP financial measures to GAAP measures (unaudited) (in millions)     We use non-GAAP financial measures of operating performance. Non-GAAP measures do not replace and are not superior to the presentation of our GAAP financial results but are provided to improve overall understanding of our current financial performance and our prospects for the future.   Three months ended December 31, 2009 U.S. GAAPResults Adjustments Non-GAAPresults   Revenues $ 1,131 $ (117 ) [a] $ 1,014 Operating expenses, net   (965 )   161   [b]   (804 ) Operating income 166 44 210 Net interest and investment loss (29 ) - (29 ) Gain on sale of equity investment 1 (1 ) - Other income   9     -     9   Income before income tax benefit (provision) 147 43 190 Income tax benefit (provision)   14     (64 ) [d]   (50 ) Net income 161 (21 ) 140 Noncontrolling interest   11     -     11   Net income attributable to NYSE Euronext $ 172   $ (21 )   $ 151     Three months ended December 31, 2008 U.S. GAAPResults Adjustments Non-GAAPresults   Revenues $ 1,217 $ (40 ) [a] $ 1,177 Operating expenses, net   (2,691 )   1,724   [b]   (967 ) Operating income (1,474 ) 1,684 210 Net interest and investment loss (27 ) - (27 ) Gain on sale of equity investment 2 (2 ) - Other income   10     -     10   (Loss) income before income tax benefit (provision) (1,489 ) 1,682 193 Income tax benefit (provision) 149 (205 ) [d] (56 ) Income from discontinued operations, net of tax   2     (2 ) [e]   -   Net (loss) income (1,338 ) 1,475 137 Noncontrolling interest   -     -     -   Net (loss) income attributable to NYSE Euronext $ (1,338 )   $ 1,475     $ 137     Year ended December 31, 2009 U.S. GAAPResults Adjustments Non-GAAPresults   Revenues $ 4,687 $ (388 ) [a] $ 4,299 Operating expenses, net   (4,401 )   905   [b]   (3,496 ) Operating income 286 517 803 Net interest and investment loss (110 ) - (110 ) Gain on sale of equity investment 1 (1 ) - Other income   28     (4 ) [c]   24   Income before income tax benefit (provision) 205 512 717 Income tax benefit (provision)   7     (198 ) [d]   (191 ) Net income 212 314 526 Noncontrolling interest   7     -     7   Net income attributable to NYSE Euronext $ 219     $ 314     $ 533     Year ended December 31, 2008 U.S. GAAPResults Adjustments Non-GAAPresults   Revenues $ 4,703 $ (229 ) [a] $ 4,474 Operating expenses, net   (5,291 )   1,960   [b]   (3,331 ) Operating income (588 ) 1,731 1,143 Net interest and investment loss (99 ) - (99 ) Gain on sale of equity investment 4 (4 ) - Other income   38     -     38   (Loss) income before income tax provision (645 ) 1,727 1,082 Income tax provision (95 ) (219 ) [d] (314 ) Income from discontinued operations, net of tax   7     (7 ) [e]   -   Net (loss) income (733 ) 1,501 768 Noncontrolling interest   (5 )   -     (5 ) Net (loss) income attributable to NYSE Euronext $ (738 )   $ 1,501     $ 763   [a] Includes Activity assessment fees.         [b] Includes the following adjustments: Three months ended Year ended December 31, 2009 December 31, 2008 December 31, 2009 December 31, 2008 Section 31 fees $ 117   $ 40   $ 388   $ 229   Merger expenses and exit costs 44 94 517 177 Impairment charges - 1,590 - 1,590 Compensation   -     -     -     (36 ) * $ 161   $ 1,724   $ 905   $ 1,960   * To eliminate the reversal of an accrual relating to certain litigation.   [c] Includes a $4 million net gain from the sale of our investment in BM&F Bovespa, partially offset by fair value adjustments of our investments in Hugin and BIDS Holdings, L.P.   [d] Includes the tax effect of pro forma adjustments and normalization of our effective tax rate.   [e] Includes the adjustment to present results of operations as if the divestiture of GL Trade had been completed at the beginning of the earliest period presented.     NYSE Euronext Operating expenses including non-GAAP financial measures (unaudited) (in millions)   We use non-GAAP financial measures of operating performance. Non-GAAP measures do not replace and are not superior to the presentation of our GAAP financial results but are provided to improve overall understanding of our current financial performance and our prospects for the future.         Operating expenses for the three months ended December 31, 2009 on a GAAP basis $ 967 less: Section 31 fees (117 ) Liquidity payments (331 ) Routing and clearing (43 ) Merger expenses and exit costs   (44 )   Fixed operating expenses for the three months ended December 31, 2009 432   Excluding the impact of: Currency translation (17 ) Acquisitions and dispositions, net (1 ) * New business initiatives (12 ) ** Duplicative datacenter and integration (3 )   Fixed operating expenses for the three months ended December 31, 2009 on a non-GAAP basis $ 399   [a]     Operating expenses for the three months ended December 31, 2008 on a GAAP basis $ 2,691 less: Section 31 fees (40 ) Liquidity payments (405 ) Routing and clearing (89 ) Impairment charges (1,590 ) Merger expenses and exit costs   (94 )   Fixed operating expenses for the three months ended December 31, 2008 $ 473   [b]   Variance ($) $ (74 ) [a] - [b] = [c] Variance (%)   -16 %   [c] / [b]       Operating expenses for the year ended December 31, 2009 on a GAAP basis $ 4,408 less: Section 31 fees (388 ) Liquidity payments (1,573 ) Routing and clearing (247 ) Merger expenses and exit costs   (517 )   Fixed operating expenses for the year ended December 31, 2009   1,683     Excluding the impact of: Currency translation 57 Acquisitions and dispositions, net (110 ) * New business initiatives (65 ) ** Duplicative datacenter and integration   (18 )   Fixed operating expenses for the year ended December 31, 2009 on a non-GAAP basis $ 1,547   [d]   Operating expenses for the year ended December 31, 2008 on a GAAP basis $ 5,294 less: Section 31 fees (229 ) Liquidity payments (1,292 ) Routing and clearing (300 ) Impairment charges (1,590 ) Merger expenses and exit costs (177 ) Compensation   36   ***   Fixed operating expenses for the year ended December 31, 2008 $ 1,742   [e]   Variance ($) $ (195 ) [d] - [e] = [f] Variance (%)   -11 %   [f] / [e]   * Includes the contribution of Amex, AEMS and NYFIX, net of the disposition of Hugin. ** Includes the contribution of new business initiatives, primarily SFTI Europe, SmartPool, NYSE Liffe Clearing and NYSE Liffe U.S. *** Adjusted to exclude $36 million of income from the reversal of an accrual related to certain litigation.     NYSE Euronext Condensed consolidated statements of financial condition (unaudited) (in millions)     December 31, 2009 2008   Assets Current assets: Cash, cash equivalents, investment and other securities $ 490   $ 1,013   Accounts receivable, net 660 744 Deferred income taxes 100 113 Other current assets   270     156   Total current assets 1,520 2,026   Property and equipment, net 986 695 Goodwill 4,210 3,985 Other intangible assets, net 6,184 5,866 Deferred income taxes 656 671 Investment in associates and other assets   802     705   Total assets $ 14,358   $ 13,948     Liabilities and equity Accounts payable and accrued expenses $ 1,328 $ 1,330 Deferred revenue 163 113 Short term debt 616 1,101 Deferred income taxes   18     38   Total current liabilities 2,125 2,582   Long term debt 2,166 1,787 Deferred income taxes 2,090 2,002 Accrued employee benefits 504 576 Deferred revenue 362 360 Other liabilities   176     67   Total liabilities 7,423 7,374   Equity 6,935 6,574     Total liabilities and equity $ 14,358   $ 13,948       NYSE EuronextSelected Statistical Data:Volume Summary - Cash Products                         Average Daily VolumeTotal VolumeAverage Daily VolumeTotal Volume (Unaudited) Q4 '09Q4 '08% ChgQ4 '09Q4 '08% ChgFY 2009FY 2008% ChgFY 2009FY 2008% Chg   Number of Trading Days - European Markets 65 64 - 65 64 - 256 256 - 256 256 - Number of Trading Days - U.S. Markets 64 64 - 64 64 - 252 253 - 252 253 -   European Cash Products (trades in thousands)1,3291,621-18.0%86,423103,721-16.7%1,3681,551-11.8%350,282396,956-11.8%   Equities 1,273 1,560 -18.4% 82,768 99,869 -17.1% 1,310 1,497 -12.5% 335,405 383,119 -12.5% Exchange-Traded Funds 15 14 11.4% 983 869 13.1% 14 9 55.5% 3,677 2,365 55.5% Structured Products 35 42 -15.4% 2,286 2,661 -14.1% 38 40 -4.0% 9,745 10,150 -4.0% Bonds 6 5 18.0% 386 322 19.8% 6 5 10.1% 1,455 1,322 10.1%   U.S. Cash Products (shares in millions)2,5704,088-37.1%164,455261,667-37.2%3,2813,536-7.2%826,738894,503-7.6%   NYSE Listed Issues 1   NYSE Group Handled Volume 2 1,896 2,884 -34.3% 121,316 184,604 -34.3% 2,398 2,585 -7.2% 604,231 653,910 -7.6% NYSE Group Matched Volume 3 1,748 2,600 -32.8% 111,881 166,379 -32.8% 2,183 2,331 -6.4% 550,000 589,712 -6.7% Total NYSE Listed Consolidated Volume 4,774 6,052 -21.1% 305,536 387,345 -21.1% 5,686 5,111 11.3% 1,432,761 1,292,987 10.8%   NYSE Group Share of Total NYSE Listed Consolidated Volume Handled Volume 2 39.7% 47.7% -8.0% 39.7% 47.7% -8.0% 42.2% 50.6% -8.4% 42.2% 50.6% -8.4% Matched Volume 3 36.6% 43.0% -6.4% 36.6% 43.0% -6.4% 38.4% 45.6% -7.2% 38.4% 45.6% -7.2%   NYSE Arca & Amex Listed Issues   NYSE Group Handled Volume 2 365 742 -50.8% 23,362 47,493 -50.8% 514 495 3.7% 129,457 125,327 3.3% NYSE Group Matched Volume 3 320 637 -49.7% 20,494 40,782 -49.7% 450 429 4.9% 113,278 108,452 4.5% Total NYSE Arca & Amex Listed Consolidated Volume 1,431 2,172 -34.1% 91,569 139,005 -34.1% 1,888 1,489 26.8% 475,653 376,728 26.3%   NYSE Group Share of Total NYSE Arca & NYSE Amex Listed Consolidated Volume Handled Volume 2 25.5% 34.2% -8.7% 25.5% 34.2% -8.7% 27.2% 33.3% -6.1% 27.2% 33.3% -6.1% Matched Volume 3 22.4% 29.3% -6.9% 22.4% 29.3% -6.9% 23.8% 28.8% -5.0% 23.8% 28.8% -5.0%   Nasdaq Listed Issues   NYSE Group Handled Volume 2 309 462 -33.1% 19,777 29,570 -33.1% 369 456 -19.0% 93,050 115,266 -19.3% NYSE Group Matched Volume 3 251 386 -35.0% 16,055 24,695 -35.0% 301 381 -21.0% 75,887 96,467 -21.3% Total Nasdaq Listed Consolidated Volume 2,051 2,322 -11.7% 131,265 148,638 -11.7% 2,236 2,280 -1.9% 563,411 576,878 -2.3%   NYSE Group Share of Total Nasdaq Listed Consolidated Volume Handled Volume 2 15.1% 19.9% -4.8% 15.1% 19.9% -4.8% 16.5% 20.0% -3.5% 16.5% 20.0% -3.5% Matched Volume 3 12.2% 16.6% -4.4% 12.2% 16.6% -4.4% 13.5% 16.7% -3.2% 13.5% 16.7% -3.3%   Exchange-Traded Funds 1,4   NYSE Group Handled Volume 2 343 746 -54.1% 21,934 47,770 -54.1% 502 516 -2.8% 126,431 130,529 -3.1% NYSE Group Matched Volume 3 302 647 -53.3% 19,348 41,425 -53.3% 440 450 -2.2% 110,970 113,817 -2.5% Total ETF Consolidated Volume 1,388 2,286 -39.3% 88,835 146,299 -39.3% 1,896 1,567 21.0% 477,683 396,436 20.5%   NYSE Group Share of Total ETF Consolidated Volume Handled Volume 2 24.7% 32.7% -8.0% 24.7% 32.7% -8.0% 26.5% 32.9% -6.5% 26.5% 32.9% -6.5% Matched Volume 3 21.8% 28.3% -6.5% 21.8% 28.3% -6.5% 23.2% 28.7% -5.5% 23.2% 28.7% -5.5%     Please refer to footnotes on the following page.       NYSE EuronextSelected Statistical Data:Volume Summary - Derivatives Products   Average Daily VolumeTotal VolumeAverage Daily VolumeTotal Volume (Unaudited; contracts in thousands) Q4 '09Q4 '08% ChgQ4 '09Q4 '08% ChgFY 2009FY 2008% ChgFY 2009FY 2008% Chg   Number of Trading Days - European Markets 65 64 - 65 64 - 256 256 - 256 256 - Number of Trading Days - U.S. Markets 64 64 - 64 64 - 252 253 - 252 253 -   European Derivatives Products4,0603,68910.1%263,903236,10711.8%4,1254,1000.6%1,056,0111,049,7300.6%   Total Interest Rate Products52,0401,73717.5%132,576111,14019.3%2,0222,168-6.7%517,700554,878-6.7%   Short Term Interest Rate Products 1,936 1,644 17.7% 125,813 105,217 19.6% 1,922 2,065 -6.9% 492,024 528,578 -6.9% Medium and Long Term Interest Rate Products 104 93 12.4% 6,763 5,923 14.2% 100 103 -2.4% 25,676 26,300 -2.4%   Total Equity Products 61,9721,9083.3%128,174122,1404.9%2,0551,8819.3%526,170481,6069.3%   Total Individual Equity Products 1,381 1,158 19.2% 89,786 74,142 21.1% 1,445 1,205 19.9% 369,915 308,574 19.9% Total Equity Index Products 591 750 -21.3% 38,388 47,998 -20.0% 610 676 -9.7% 156,255 173,032 -9.7%     Bclear 867 713 21.6% 56,386 45,666 23.5% 1,019 746 36.7% 260,950 190,874 36.7%   Individual Equity Products 732 584 25.3% 47,592 37,392 27.3% 887 634 39.9% 226,972 162,272 39.9%   Equity Index Products 135 129 4.6% 8,794 8,274 6.3% 133 112 18.8% 33,978 28,602 18.8%   Commodity Products49449.8%3,1542,82711.5%4752-8.3%12,14113,246-8.3%   U.S. Derivatives Products - Equity Options 7   NYSE Group Options Contracts 3,096 2,074 49.3% 198,151 132,721 49.3% 2,641 1,822 44.9% 665,560 461,013 44.4% Total Consolidated Options Contracts 12,862 11,932 7.8% 823,183 763,628 7.8% 13,360 12,983 2.9% 3,366,731 3,284,761 2.5%   NYSE Group Share of Total 24.1% 17.4% 6.7% 24.1% 17.4% 6.7% 19.8% 14.0% 5.8% 19.8% 14.0% 5.8%   NYSE Liffe U.S.   Futures and Futures Options Volume 21.1 - 1,357.9 - 17.7 - 4,471.4 - -     1 Includes all volume executed in NYSE Group crossing sessions.   2 Represents the total number of shares of equity securities and ETFs internally matched on the NYSE Group's exchanges or routed to and executed at an external market center. NYSE Arca routing includes odd-lots.   3 Represents the total number of shares of equity securities and ETFs executed on the NYSE Group's exchanges.   4 Data included in previously identified categories.   5 Includes currency products.   6 Includes all trading activities for Bclear, NYSE Liffe's clearing service for wholesale derivatives.   7 Includes trading in U.S. equity options contracts, not equity-index options.   Source: NYSE Euronext, Options Clearing Corporation and Consolidated Tape as reported for equity securities.   All trading activity is single-counted, except European cash trading which is double counted to include both buys and sells.   US data has been updated for Amex integration for October 2008 forward.     NYSE EuronextSelected Statistical Data:Other Operating Statistics           Three Months EndedFull Year (Unaudited) December 31, 2009September 30, 2009December 31, 200820092008   NYSE Euronext Listed Issuers   NYSE Listed Issuers     Issuers listed on U.S. Markets1 2,946 2,974 3,108 2,946 2,447   Number of new issuer listings1 107 61 711 284 908   Capital raised in connection with new listings ($millions)2 $13,310 $3,098 $62 $18,997 $23,238   Euronext Listed Issuers     Issuers listed on Euronext1 1,035 1,040 1,110 1,035 1,110   Number of new issuer listings3 16 16 15 42 78   Capital raised in connection with new listings ($millions)2 $2,841 $7 $25 $2,692 $3,333     NYSE Euronext Market Data   NYSE Market Data4     Share of Tape A revenues (%) 45.1% 45.1% 49.7% 46.5% 51.8%   Share of Tape B revenues (%) 32.7% 31.7% 34.1% 33.1% 34.1%   Share of Tape C revenues (%) 17.7% 19.0% 21.4% 19.4% 20.6%   Professional subscribers (Tape A) 387,627 388,468 450,041 387,627 450,041   Euronext Market Data     Number of terminals 240,201 240,007 275,430 240,201 275,430     NYSE Euronext Operating Expenses   NYSE Euronext employee headcount5     NYSE Euronext headcount 3,367 3,399 3,757 3,367 3,757     NYSE Euronext Financial Statistics   NYSE Euronext foreign exchange rate   Average €/US$ exchange rate $1.476 $1.430 $1.319 $1.394 $1.471 Average £/US$ exchange rate $1.632 $1.641 $1.570 $1.566 $1.853   1 Figures for NYSE listed issuers include listed operating companies, SPACs, closed-end funds, and ETFs, and do not include NYSE Arca, Inc. or structured products listed on the NYSE. There were 1,065 ETFs and 3 operating companies exclusively listed on NYSE Arca, Inc. as of December 31, 2009. There were 483 structured products listed on the NYSE as of December 31, 2009.Figures for new issuer listings include NYSE new listings and new ETP listings only (NYSE Amex and NYSE Arca are excluded). Figures for Euronext present the operating companies were listed on Euronext and do not include NYSE Alternext, Free Market, closed-end funds, ETFs and structured product (warrants and certificates). As of December 31, 2009, 125 companies were listed on NYSE Alternext, 312 on Free Market and 497 ETFs were listed on NextTrack.   2 Euronext figures show capital raised in millions of dollars by operating companies listed on Euronext, NYSE Alternext and Free Market and do not include closed-end funds, ETFs and structured products (warrants and certificates). NYSE figures show capital raised in millions of dollars by operating companies listed on NYSE and NYSE Arca and do not include closed-end funds, ETFs and structured products.   3 Euronext figures include operating companies listed on Euronext, NYSE Alternext and Free Market and do not include closed-end funds, ETFs and structured products (warrants and certificates).   4 "Tape A" represents NYSE listed securities, "Tape B" represents NYSE Arca and NYSE Amex listed securities, and "Tape C" represents Nasdaq listed securities. Per Regulation NMS, as of April 1, 2007, share of revenues is derived through a formula based on 25% share of trading, 25% share of value traded, and 50% share of quoting, as reported to the consolidated tape. Prior to April 1, 2007, share of revenues for Tape A and B was derived based on number of trades reported to the consolidated tape, and share of revenue for Tape C was derived based on an average of share of trades and share of volume reported to the consolidated tape. The consolidated tape refers to the collection and dissemination of market data that multiple markets make available on a consolidated basis. Share figures exclude transactions reported to the FINRA/NYSE Trade Reporting Facility.   5 NYSE Euronext headcount includes both the employees of NYXT and NYSE Amex for all periods presented and excludes GL Trade headcounts resulting from the sale of its 40% stake in October 2008. December 2009 headcount includes 136 NYFIX employees of which 85 were terminated in January 2010.   Source: NYSE Euronext, Options Clearing Corporation and Consolidated Tape as reported for equity securities.