UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
FORM 8-K
CURRENT REPORT
Pursuant to Section 13 or 15(d) of the Securities Exchange Act of 1934
Date of Report (Date of earliest event reported) 01/31/2007 (01/31/2007)
NYMEX Holdings, Inc.
(Exact name of registrant as specified in its charter)
| Delaware | 333-30332 | 13-4098266 | ||
| (State or other jurisdiction of incorporation) |
(Commission File Number) | (IRS Employer Identification No.) |
| One North End Avenue, World Financial Center, New York, NY |
10282-1101 | |
| (Address of principal executive offices) | (Zip Code) |
Registrant’s telephone number, including area code (212) 299-2000
(Former name or former address, if changed since last report.)
Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions (see General Instruction A.2. below):
| ¨ | Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425) |
| ¨ | Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12) |
| ¨ | Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b)) |
| ¨ | Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c)) |
Item 7.01. Regulation FD Disclosure.
Pursuant to Regulation FD, the registrant hereby furnishes the information contained in the investor presentation materials attached as Exhibit 99.1 to this Current Report on Form 8-K, which information is incorporated into this Item 7.01 by this reference.
Item 9.01. Financial Statements and Exhibits.
(c) Exhibits
| 99.1 | Presentation of NYMEX Holdings, Inc., dated January 31, 2007 |
2
SIGNATURES
Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized.
| NYMEX Holdings, Inc. | ||
| By: | /s/ RICHARD D. KERSCHNER | |
| Name: | Richard D. Kerschner | |
| Title: | SVP – Corporate Governance and Strategic Initiatives | |
Date: January 31, 2007
3
EXHIBIT INDEX
| Exhibit No. | Description | |
| 99.1 | Presentation of NYMEX Holdings, Inc., dated January 31, 2007 |
4
 Citigroup Financial Services Conference January 31, 2007 Exhibit 99.1 |
 1 Forward-looking statements Safe Harbor Statement Statements contained in this Presentation that are not based on current or historical
fact are forward-looking in nature. Such forward-looking statements
are based on current plans, estimates and expectations and are made pursuant
to the Private Securities Litigation Reform Act of 1995. Forward-looking
statements are based on known and unknown risks, assumptions, uncertainties
and other factors. The Company's actual results, performance, or achievements may differ materially from any future results, performance, or achievements expressed or
implied by such forward-looking statements. The Company undertakes no
obligation to publicly update or revise any forward-looking
statement. For a discussion of some of the important factors that
could cause the issuer’s results to differ from those expressed in, and implied by, the following forward-looking statements, please refer to the Company's results and
the 10-Q filed with the SEC, in particular, the “Risk
Factors” section thereof. |
 2 NYMEX Presenters James Newsome, Ph.D. Director, President and Chief Executive Officer Kenneth Shifrin Chief Financial Officer |
 3 James E. Newsome President and Chief Executive Officer, Director Business overview |
 4 Record Financial Performance in 2006 Operating Revenues up 49% Net Earnings increased 118%, with diluted EPS reaching $1.90 Average Daily Volume rose to 1.2 million contracts, up 40% Pre-tax Margin expanded to 60% from 41% |
 5 2006 milestones Agreement with CME and migration to the CME Globex® electronic trading platform Enhanced corporate governance structure Side-by-side trading COMEX agreement Continued global focus Initial Public Offering |
 6 Key highlights A leading exchange in the fast growing energy and metals markets Hybrid, side-by-side platform with access to industry leading technology
Strong growth with significant operating leverage and margins Robust product set with continued innovation and global focus Well capitalized wholly-owned clearinghouse |
    7 Global benchmark contracts Energy Metals Light sweet crude Henry Hub natural gas NY heating oil NY harbor gasoline Gold Silver High grade copper |
 8 135 years of operations 1.2 million average daily volume as of December 31, 2006 +40% versus 2005 Strong start to 2007 Market dominance in open interest Physical delivery 7 benchmark contracts in energy and metals Benchmark settlement prices The leading and most established physical commodity-based futures exchange and clearinghouse Energy 63% Metals 10% Off-exchange 27% Trade Execution Clearing Market data Diverse products Vertically integrated “NYMEX doesn’t make the prices, it makes the prices known” Note: Volume percent distribution based on Full Year 2006, ending December 31, 2006; NYMEX
volume assumed to be 100% energy, COMEX volume assumed to be 100% metals |
 |
 10 Leading position in fast-growing energy and metals markets Acceptance as credit risk management tools Desire to hedge market exposure, portfolio diversification Electronic access growth Underlying price volatility New market participants Industry growth drivers |
 11 NYMEX ClearPort ® Clearing High margin business Flexibility for new product introductions Leverages financial strength of clearinghouse Internally-developed contracts for the off-exchange market Off-exchange, bilaterally negotiated futures and options contracts
|
 12 Options have been a significant driver of growth NYMEX pioneered options on energy and precious metals futures contracts, and has the deepest liquidity in these options contracts ¹ September 2006 Option average daily volume (000) 165 266 282 314 252 178 219 Q4 '05 Q1 '06 Q2 '06 Q3 '06 Q4 '06 FY 2005 FY 2006 YoY growth 61% |
 13 Global reach and penetration through international alliances and joint ventures Russian Energy Futures, Ltd. NYMEX NYC (headquarters) NYMEX London CME Globex contract Dubai Mercantile Exchange (with Tatweer Dubai LLC) Russian Energy Futures (with Expertica Limited) Multicommodity Exchange of India NYMEX locations Outsourced service Letter of intent Joint venture Licensing agreement Tokyo Commodity Exchange Mexican Derivative Exchange Interconnexion Electrica Budapest Commodity Exchange Shanghai Futures Exchange Taiwan Futures Exchange Central Japan Commodity Exchange NYMEX – Tokyo NYMEX – Houston Singapore Exchange Cooperation agreement |
 14 Innovation in new product introductions Innovation is key to NYMEX’s success Over 100 new products introduced in 2006 : 3-2-1 Plus Energy Index Futures Contract Focus on metals and international products : 6 new soft commodity futures contracts on NYMEX ClearPort® New New |
 15 Market data business High Margins Low Incremental Costs Scalability |
 16 Kenneth Shifrin Chief Financial Officer Financial highlights |
 17 Strong 2006 Fourth Quarter Results Total operating revenue: Increase of 40% to a record $124.8 million Clearing & Transaction fees: Increase of 41% to $104.8 million Market data fees: Increase of 43% to $16.4 million Operating expenses excluding direct transaction costs: Decrease of 16% to $38.5 million Net income: Increase of 105% to $42.3 million Pre-tax margin: 64% vs. 44% Diluted earnings per share (EPS): $0.48 Adjusted diluted earnings per share before one time gains: $0.46 |
 18 Record 2006 Full Year Results Total operating revenue: Increase of 49% to a record $497.2 million Clearing & Transaction fees: Increase of 51% to $419.7 million Market data fees: Increase of 43% to $63.6 million Operating expenses excluding direct transaction costs: Decrease of 2% to $174.4 million Net income: Increase of 118% to $154.8 million Pre-tax margin: 60% vs. 41% Diluted earnings per share (EPS): $1.90 Adjusted diluted earnings per share before one time gains: $1.88 |
 19 2006 Balance Sheet Highlights Cash and Marketable Securities: $504 million which includes the proceeds of $348 million from the IPO in November 2006 Working Capital: $486 million Capital Expenditures: $11 million Goodwill and Indefinite Life Intangible Asset includes the acquisition of COMEX
electronic trading rights valued at $281 million
|
             20 Summary - Positioned for continued growth Entrants will require broad counterparty credit mitigation Demand for new products Continued rapid adoption of electronic trading Strong secular trends NYMEX ClearPort products Options trading on CME Globex Partnerships and alliances Global indices New product offerings Further develop market data offering Leverage clearinghouse for third-party clearing opportunities Risk management enhancements Enhanced client services Global distribution via the CME Globex® electronic trading platform Expand NYMEX ClearPort internationally Penetration of new customer markets Growing distribution |