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Will offer interoperability with EMCF, LCH.Clearnet and SIX x-clear

08 October 2013

LONDON – 8th October 2013 – Aquis Exchange, the proposed pan-European equities trading exchange*, has entered into agreements with EMCF, LCH.Clearnet and SIX x-clear for them to provide it with central counterparty (CCP) services.

Aquis Exchange is set to introduce subscription pricing for European stock trading when it launches. It is currently awaiting approval from the UK’s Financial Conduct Authority. These CCP agreements mean that Aquis Exchange will be able to offer its Members very high quality counterparty risk protection, settlement netting facilities and post-trade anonymity. EMCF, LCH.Clearnet and SIX x-clear together account for the majority of the current European equities clearing market. All these agreements are subject to regulatory approval.

Commenting on the agreements, Aquis Exchange CEO Alasdair Haynes said: "We are strong advocates of the horizontal model and open access. It has always been our plan for Aquis Exchange to link to a number of CCPs so Members have choice of where to clear. These agreements mean that we will be able to offer them that choice, and interoperability, from the very beginning, which is great news."

Jan Booij, CEO of EMCF said: "We are delighted to be appointed as a clearer for Aquis Exchange. As the first pan-European CCP, we initiated safe and efficient European clearing and we are delighted to extend this further with Aquis Exchange."

Alberto Pravettoni, CEO, Repo and Exchanges businesses at LCH.Clearnet, said: "We are delighted to have been selected by Aquis Exchange to provide clearing services. This development underscores our ability to respond quickly to market needs and our commitment to an open, horizontal clearing model. We look forward to working with Aquis to help ensure that participants can benefit from the protection of centralised risk management and our wealth of clearing expertise."

Tomas Kindler, Head of Clearing Services, SIX Securities Services said: Aquis Exchange is an exciting example of market innovation and we are delighted to expand our interoperable market coverage in response. SIX x-clear enables clients to benefit from leading centralized risk management with the efficiencies of consolidated clearing and settlement. We look forward to working with Aquis Exchange as we continue to increase our venue and product coverage, meeting market demands.

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About Aquis Exchange

*Aquis Exchange, which has applied for regulatory approval as a multilateral trading facility (MTF) from the UK FCA, was established in October 2012 and has been created to operate a pan-European equities trading exchange and develop exchange software. Aquis Exchange is set to revolutionize the European trading landscape by its introduction of subscription pricing and innovative order types. Currently, over 90% of European equity trading in each individual country takes place on two exchanges. The aim of Aquis Exchange is to bring fresh competition into the marketplace in order to lower the trading costs maintained by the existing duopoly. Aquis Exchange’s subscription pricing works on a similar model to that of the telecoms industry and is designed to encourage participation from all categories of professional trading firm. Users will be charged according to the message traffic they generate, rather than a percentage of the value of each stock that they trade. There will be different pricing bands to accommodate varying degrees of activity. There will be a very low usage band for small firms, which are traditionally disadvantaged by the pricing structure of the incumbent exchanges and, at the other end of the pricing structure, will be the top category where usage is unlimited (subject to a “fair usage” policy).

About European Multilateral Clearing Facility (EMCF)

EMCF provides competitive central counterparty clearing services for the rapidly growing MTF market and selected stock exchanges. Established in March 2007, EMCF provides CCP services for a number of a European stock exchanges. EMCF provides tangible savings for the industry and offers clearing participants a transparent fee schedule, charging the lowest fee across European markets with participants having access to the lowest fees in the world. The activities of EMCF are regulated by the Dutch central bank (De Nederlandsche Bank, DNB), the Dutch Authority for the Financial Markets (AFM) and the Bank of England. EMCF is owned by ABN AMRO Clearing Bank N.V. (77%) and NASDAQ OMX (22%). On 17 July 2013, EMCF and EuroCCP announced that the sale and purchase agreement was signed to form a new pan-European cash equities clearing house that builds on the strengths of both firms. This follows the announcement made in March that the firms planned to combine.

About LCH.Clearnet

The LCH.Clearnet Group is a leading multi-asset class and multi-national clearing house, serving major exchanges and platforms as well as a range of OTC markets. LCH.Clearnet’s world-class risk management framework provides exceptional levels of protection to international markets, as has been proven through the management of recent defaults. As demand for robust clearing services continues to grow, LCH.Clearnet is committed to achieving the highest standards of risk management across all asset classes cleared. LCH.Clearnet is majority owned by London Stock Exchange Group (LSE.L), a diversified international exchange group that sits at the heart of the world's financial community. For more information on LCH.Clearnet visit www.lchclearnet.com/media_centre.

About SIX Securities Services

SIX Securities Services specializes in post-trade activities. Its services are available both for the domestic Swiss market and international markets. These services include: CCP Clearing, Risk Management, Real-time settlement (including real-time realignment of holdings), Custody (domestic and international), Collateral Management and Share Registration services. www.six-securities-services.com

For further information, please contact:

Belinda Keheyan at Aquis Exchange on +44 (0)20 3597 6329
Jana Sanchez at CitySavvy (for EMCF) on +44 (0)20 7936 9158
Kamyar Naficy at LCH.Clearnet on +44 (0)20 7526 3787
Phil McNelly at SIX Securities Services on +44 (0)20 7550 5446