NEW YORK--(BUSINESS WIRE)--NYSE Euronext (NYSE) and The Receivables Exchange (TRE), the leading online marketplace for U.S. receivables sales, today announced the launch of a joint strategic initiative to market TRE’s Corporate Receivables Program (CRP) to potential sellers, including New York Stock Exchange listed companies. Under terms of the arrangement, the NYSE has acquired a minority ownership position in TRE. Terms of the investment were not disclosed.
TRE’s CRP is the world’s first electronic marketplace for the standardized purchase and sale of corporate accounts receivable. Through an innovative auction model, TRE provides an efficient and transparent way for corporations to monetize receivables. CRP gives companies increased flexibility in managing working capital via receivables sales, access to diverse funding sources without adding leverage, off-balance sheet benefits, reduced complexity and time to market, and competitive cost of capital. The process lowers Days Sales Outstanding (DSOs) to as little as one day and allows companies to tap into the $17 trillion U.S. accounts receivable market.
NYSE Euronext also announced the appointment of Paul DeDomenico as Head of Global Corporate Receivables Programs. DeDomenico is the former CEO of GE Capital – Working Capital Solutions and as a 23-year veteran of GE Capital has extensive commercial finance background in accounts receivable financing and factoring, leasing, and asset backed lending. Among other accomplishments, he developed and grew GE's global accounts receivable financing and servicing platform, Working Capital Solutions, from start up phase to $10 billion of assets.
“Our alliance with TRE adds to our growing portfolio of issuer services and provides our listed companies affordable and continuous access to working capital,” said Scott Cutler, NYSE Euronext Executive Vice President and Head, NYSE Listings “We believe that our issuer community will benefit from the technological elegance, practicality and business advantages of the CRP program, and we are proud to partner with TRE on this initiative; a unique capital efficient mechanism which is especially important during this time of market uncertainty and reduced access to credit facilities. We are also pleased to welcome Paul DeDomenico to NYSE Euronext. Paul’s expertise in asset based lending and capital markets within the global trade flow and accounts receivables industry and his successful track record of delivering working capital financing solutions to medium and large corporate customers, make him the ideal individual to lead NYSE Euronext’s CRP initiative.”
“This strategic initiative with NYSE Euronext is a significant milestone for TRE,” said TRE Co-Founders Justin Brownhill, CEO, and Nic Perkin, President. “CRP provides an efficient and cost-effective way for NYSE listed and other companies to leverage receivables for liquidity and balance sheet management and to improve return on assets and equity. By embarking on this bold initiative with us, NYSE has affirmed its confidence in the value of TRE’s game-changing business model and marketplace. We are very proud to be a partner of NYSE Euronext.”
TRE is a category creator and market leader for bringing affordable and needed capital to the $11 trillion U.S. small and medium business (SMB) market. Receivables constitute the majority of working capital for SMBs, which support 65 percent of U.S. private sector employees and 42 percent of business revenue. Since going live in 2008, TRE’s proposition has been instrumental in assisting with their capital needs, growth and job creation. TRE recently launched CRP after a successful pilot test with a Fortune 10 corporation in order to meet increasing large company demand for this service.
Live Webcast with Paul DeDomenico, Head of Global Corporate Receivables Programs, NYSE Euronext and The Receivables Exchange (TRE) Co-Founders Justin Brownhill, CEO, and Nic Perkin, President to take place from 1:00 - 1:30 p.m. ET . Webcast available at: http://www.thomson-webcast.net/us/dispatching/?event_id=5c25975db58ccff70cbd578342683ced&portal_id=98f1bf0c64b9668b7ef260bc00ff84b8
Media Contacts:
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NYSE Euronext |
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• Rich Adamonis: |
212-656-2140, | Radamonis@nyx.com | ||||
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• Annmarie Gioia: |
212-656-5437, | Agioia@nyx.com | ||||
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The Receivables Exchange |
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• Bob Leahy: |
202-550-4294, | bleahy@receivablesxchange.com | ||||
NYSE Closing Bell, Tuesday, Sept. 13, 2011—The Receivables Exchange
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When/Where for Media Access: |
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Tuesday, September 13, 2011 |
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NYSE Security Checkpoint/Tent at corner of Exchange Place and Broad Street |
| 3:30 p.m. | Media escorted into the building for bell ringing | ||
| 4:00 p.m. | The Closing Bell rings |
Contact:
Media interested in covering the bell ringing MUST contact Annmarie Gioia at 212-656-5437 or Agioia@nyx.com
Photo/Video:
Photos available via Associated Press/New York (212.621.1902), Reuters America (646.223.6285) and Bloomberg Photo (212.617.3420). The Closing Bell (starting at 3:55 p.m.) feed is available via Ascent loop #4009. Media seeking footage via The Switch should contact NYSE Broadcast at 212.656.5483.
Facebook/Twitter/YouTube:
For photos and video of the bell ringing, connect with NYSE Euronext on Facebook (NYSE Euronext-Official Site), Twitter (@NYSE_Euronext) and YouTube (nysetv1).
About The Receivables Exchange
Established in 2007, the Receivables Exchange is a first-to-market, real-time online marketplace for working capital financing that provides a game-changing solution for both small and large U.S. companies. The Exchange connects a global network of accredited Buyers to businesses (Sellers) in search of flexible, affordable and continuous access to working capital. Buyers get direct access to a $17 trillion new investable asset which comprises the largest asset class in the U.S. credit markets. Sellers gain prompt and highly cost-effective access to the capital they need, without onerous constraints. For more information, see www.receivablesXchange.com.
About NYSE Euronext
NYSE Euronext (NYX) is a leading global operator of financial markets and provider of innovative trading technologies. The Company's exchanges in Europe and the United States trade equities, futures, options, fixed-income and exchange-traded products. With approximately 8,000 listed issues (excluding European Structured Products), NYSE Euronext's equities markets – the New York Stock Exchange, NYSE Euronext, NYSE Amex, NYSE Alternext and NYSE Arca – represent one-third of the world's equities trading, the most liquidity of any global exchange group. NYSE Euronext also operates NYSE Liffe, one of the leading European derivatives businesses and the world's second-largest derivatives business by value of trading. The company offers comprehensive commercial technology, connectivity and market data products and services through NYSE Technologies. NYSE Euronext is in the S&P 500 index, and is the only exchange operator in the S&P 100 index and Fortune 500.
Photos/Multimedia Gallery Available: http://www.businesswire.com/cgi-bin/mmg.cgi?eid=6858519&lang=en