Deutsche Börse Group Continues Success of Previous Years

The Deutsche Börse Group's performance in 1998 was a continuation of its successful development in previous years. It is building on its business concept of developing and operating complex trading, clearing and information systems and "loading them up" with transactions. The financial figures for the 1998 business year presented by CEO Dr. Werner Seifert at the annual press briefing on Tuesday March 30, show another boost in performance. With an increase in sales of about 40 percent to DEM928.2 million, pre-tax profit rose about 72 percent to more than DEM213 million. The group holding company Deutsche Börse AG generated pre-tax profit of DEM134.4 million, about 61 percent higher than in the previous year. Net profit for the year was DEM60.9 million, which is to be disbursed to shareholders in full. On this basis, the Executive Board and Supervisory Board will propose to the general meeting a dividend of DEM8.30 per share. Deutsche Börse attributes the positive performance to the rise in transaction volumes, resulting in turn from higher volatilities, restructuring of portfolios due to the Euro's introduction and a large number of new market participants. At the same time, the business system was further enhanced, which enabled the growth in transaction volumes to have exponential economies of scale. Deutsche Börse is expecting to have another profitable year in 1999. The rise in volume on the cash and derivatives markets points to a continuing favourable development in business. First quarter increases of more than 50 percent have been posted in turnover on both the equity market and on Eurex, the derivatives market.