In June 2007, ASX advised that the Cash Market gross (pre-rebate) revenue uplift threshold for FY08 is 12.5%. This is the level at which Cash Market gross revenue must grow for the Large Participant Rebate (LPR) pool to reach $24.5 million, equivalent to the total rebates paid in FY07. However, transitional arrangements, for FY08 only, ensure that an equivalent LPR pool will be earned in FY08, as in FY07, if gross revenue is at least equal to FY07.
The total Cash Market gross revenue in FY07 was $188.5 million ($164.0 million reported Cash Market net revenue plus $24.5 million in rebates). In FY08, once Cash Market gross revenue reaches $179.4 million a rebate will start to accrue at the rate of 75% of the incremental Cash Market gross revenue.
The table below summarises the parameters for the FY08 LPR.
| Cash Market Gross Revenue | FY08 LPR Pool |
| Less than $179.4 million | Nil rebate payable |
| Between $179.4 million and $188.5 million | 75% of gross Cash Market revenue above $179.4 million |
| Between $188.5 million and $212.1 million | $24.5 million |
| Above $212.1 million | $24.5 million plus 75% of gross Cash Market revenue above $212.1 million |
The table below summarises the possible total rebate payable in FY08 under various gross revenue scenarios.
|
Cash Market ($ million) |
FY07 Actual |
FY08 5% Decrease |
FYO8 0% Increase |
FY08 12.5% Increase |
FY08 25% Increase |
| Gross revenue | 188.5 | 179.0 | 188.5 | 212.1 | 235.6 |
| Total rebate (LPR) | 24.5 | Nil | 24.5 | 24.5 | 42.2 |
| Net ASX revenue | 164.0 | 179.0 | 164.0 | 187.6 | 193.4 |
Please note the above growth rates are used for illustrative purposes only and ASX does not give guidance on revenue growth. Percentage increase refers to the increase in Cash Market gross revenue over FY07 actual. All revenue and rebate figures are exclusive of GST.
