The National Depository Center (NDC), Russia's only settlement depository servicing the full range of debt and equity securities of Russian issuers, has announced its operating results for 1Q 2009. NDC's securities turnover (the market value of securities transferred in inventory operations) for the period reached RUR16.68 trillion. This is 10.9% more than for the same period of 2008 (RUR14.435 trillion).
The market value of securities on deposit with NDC as of 31 March, 2009 increased 5.4% to RUR 4.357 trillion compared with RUR4.13 trillion as of 31 December, 2008. The increase was caused by a 90.4% rise in securities on deposit (from RUR1.266 trillion as of 31 March, 2008 to RUR2.412 trillion as of 31 March, 2009). Growth of aggregate nominal value of corporate bonds on deposit for 1Q 2009 was 8% against 1Q 2008; the increase in the aggregate nominal value of Russian Federation's and corporate Eurobonds reached 318.5%. Aggregate nominal value of UIT units was 104.6% in 1Q 2009 in comparison with the same period of 2008.
NDC revenue for 1Q 2009 according to RAS was RUR266.783 million. This is 9.8% less than for the same period of 2008 (RUR295.606 million). Net profit reached RUR101.847 million or 21.1% less than for the comparable period of 2008 (RUR129.137 million).
Nikolay Egorov, NDC Director, said: "NDC's basic operating indicators strictly correspond with our plans and expectations. We regard these as positive results for the first quarter given the complicated situation in the stock market and dampening of the market participants' activity."
For 1Q 2009 NDC's total equity according to RAS rose 5.8% to RUR1.846 billion as of 31 March, 2009. Net assets value minus fixed and intangible assets depreciation was RUR1.803 billion.
As of 31 March, 2009 NDC's equity capital calculated in accordance with the method recommended by Russia's Federal Financial Markets Service (FFMS) decreased 24.9% for 1Q 2009 to RUR940.136 million. This corresponds with the capital adequacy ratio and even exceeds it by 280%. The decrease in NDC's equity capital was caused by a change in the method of calculation. Thus the value of NDC's equity capital calculated on the basis of the previous FFMS method rose 8.76% for 1Q 2009 to RUR1.362 billion.
The number of inventory operations conducted by NDC for 1Q 2009 increased 15.4% to 515,014 operations, including 400,811 with shares (78% of all operations). The number of depository accounts for 1Q 2009 rose 2% to 1,810.
The number of securities issues serviced by NDC increased 1.1% for 1Q 2009 reaching 2,726. This was 3.9% more than in 1Q 2008.
In January-March 2009 NDC as a paying agent on corporate and regional bonds conducted payments for RUR25.761 billion. This is 21.7% more against the comparable period of 2008 (RUR21.166 billion).
NDC's share of the market as paying agent on corporate bonds (excluding Bank of Russia bonds) and on regional bonds was as follows as of 31 March, 2009: 36.77% of all corporate and regional issues (34.83% as of 31 March, 2008); 39.96% of the number of issuers of the corporate and regional bonds in circulation (37.27% as of 31 March, 2008).
For 1Q 2009, in its role as Russia’s national numbering agency, NDC assigned international ISIN and CFI codes to 66 Russian securities and withdrew ISIN codes from 54 Russian securities.
As of 31 March, 2009, NDC received and processed approximately 25,800 requests on financial instruments (including requests on the same instrument sent by different clients). In the course of processing, the company determined that there were requests for information on 9,737 instruments.
It was determined that 1,092 instruments did not have CFI codes including 187 instruments which also did not have ISIN codes. 246 instruments had CFI codes which did not conform to ISO 10962 and the Federal Financial Markets Service’s qualification requirements (“Provision for Foreign Financial Instruments as Securities” approved by FFMS Order #07-105/pz-n of Oct. 23, 2007). Another 8,399 instruments had CFI codes which conform to the FFMS qualification requirements for foreign financial instruments. So in comparison with the last year's results a number of foreign financial instruments corresponding to qualification requirements rose 2.69% for 1Q 2009 (8,179 foreign financial instruments as of 31 December, 2008).
Note:
Value of securities held in NDC accounts is an operational indicator which does not include the market value of other assets held in issuers’ accounts. The value of shares and units of Unit Investment Trusts is based on market value, and the value of bonds is based on nominal value.
About NDC:
Not-for-Profit Partnership “The National Depository Center” is the largest settlement depository in Russia, servicing the full range of debt and equity securities of Russian issuers. NDC provides storage of global certificates and depository accounting for 99% of corporate bond issues, sub-federal and municipal bond issues. It services 100% of transactions conducted in the federal bond and the Bank of Russia bond markets, more than 99% of transactions conducted in the corporate and regional bond markets, and more than 99% of stock exchange transactions with equities and OTC trades. The international rating agency Thomas Murray has assigned NDC an АА- rating as a central depository. NDC is Russia's national numbering agency, and the substituting numbering agency for the CIS, authorized to assign the international ISIN and CFI codes.
Among NDC’s founders are MICEX and Bank of Russia (the founders’ shares in the property of NDC are 46.67% and 39.35% respectively, and in the votes 50.16% and 42.3% respectively). Members include GPB OJSC (Gazprombank), Evrofinans Mosnarbank, «ROSBANK» (OJSC JSCB), JSC VTB Bank (Vneshtorgbank), Bank of Moscow, JSC «ROSSIYSKIY KREDIT BANK, Vnesheconombank, ING BANK (EURASIA) ZAO, JP Morgan Bank International LLC, ZAO UniCredit Bank, Deutsche Bank, and Sberbank. The Partnership also has stakes in Depository Clearing Company CJSC (37.29%), in Settlement Depository Company CJSC (28.54%) and in Bank "National Clearing Centre" CJSC (0.27%).
For further information about NDC: www.ndc.ru, or NDC Public Affairs Department: +7 495 232 0910, .