Euroclear Announces 2005 Rebates, EUR 45 Million In 2005

The Euroclear Boards have decided today to return EUR 45 million to the clients of Euroclear Bank, bringing the total rebates to EUR 70 million for 2005, the largest ever rebate in the bank's history. Tariffs will also be cut

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The Euroclear Boards have decided today to return EUR 45 million to the clients of Euroclear Bank, bringing the total rebates to EUR 70 million for 2005, the largest-ever rebate in the bank’s history.

Tariffs will also be cut across a range of Euroclear Bank services in 2006, ranging from securities lending and borrowing to services for domestic and international debt.

“In an increasingly competitive environment, Euroclear Bank’s operating performance continues to scale new heights,” said Martine Dinne, CEO, Euroclear Bank. “In addition to an active program of service enhancements, we have a unique track record of paying significant rebates to our users, and of progressively and transparently cutting our tariffs.”

In 2005, Euroclear Bank delivered a total of EUR 70 million in rebates and fee reductions to its clients. Over the past two years, including rebates and tariff reductions, Euroclear Bank has reduced client costs by 19%.

The new rebate will be distributed to clients in early 2006 in proportion to the amount of business placed by them with Euroclear Bank during 2005, based on a combination of safekeeping, settlement and securities-lending activity.

Tariff reductions of EUR 4 million will also benefit users of Euroclear Bank’s securities lending and borrowing services in 2006. Added to the EUR 7 million that was slashed from triparty collateral management fees in November 2005, the total annual savings accruing to users of these Euroclear Bank services is EUR 11 million.

Additional tariff reductions in the domestic and international fixed-income sectors will be announced in 2006.

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