Intercontinental Exchange Inc. · NYSE:ICE

Intercontinental Exchange — Goldman Sachs Financial Services Conference 2012

16 slides from Intercontinental Exchange's conference presentation, Dec 5, 2012

  1. Slide 1: IntercontinentalExchange (ICE)

    GOLDMAN SACHS FINANCIAL SERVICES CONFERENCE IntercontinentalExchange (ICE) December 5, 2012

  2. Slide 2: Safe Harbor

    Safe Harbor Forward-Looking Statements This presentation may contain “forward-looking statements” made pursuant to the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. Statements regarding our business that are not historical facts are forward-looking statements that i

  3. Slide 3: ICE: A Focus on Growth and Innovation

    ICE: A Focus on Growth and Innovation Annual Revenue $1,400 $1,327 $1,200 $1,150 +4% yty $1,040 $995 $1,000 Millions $813 $800 $600 $574 $400 $314 $200 $156 $- 2005 2006 2007 2008 2009 2010 2011 9-mos '12 IntercontinentalExchange 3

  4. Slide 4: Growth on Top of Growth: YTD Sep 30, 2012

    Growth on Top of Growth: YTD Sep 30, 2012 Volume Revenues EPS Op Cash Flow +13% +11% +6% +4% 670 $5.76 $573 $1,040 594 $5.17 $541 $1,000 9-mos '11 9-mos '12 9-mos '11 9-mos '12 9-mos '11 9-mos '12 9-mos '11 9-mos '12 IntercontinentalExchange 4

  5. Slide 5: ICE Annual Volume Growth

    ICE Annual Volume Growth Futures and Options ADV1 +1% y/y 1,513 1,564 1,600 Thousands (contracts) 1,306 1,200 1,036 922 767 800 549 400 322 - 2005 2006 2007 2008 2009 2010 2011 9-mos '12 OTC Energy Average Daily Commissions +5% y/y $2,000 $1,643 $1,578 $1,600 $1,374 $1,202 $1,200 $1,117 Thousands $8

  6. Slide 6: Exposure to Multiple Long-term Growth Drivers

    Exposure to Multiple Long-term Growth Drivers Sector and company-specific drivers:  Strong growth in globally relevant commodity markets  Rising demand for risk management tools  Regulatory reform implementation  Demand for clearing and capital efficient solutions  Well positioned in energy, ag

  7. Slide 7: ICE Leadership in Global Energy Markets

    ICE Leadership in Global Energy Markets Brent, Gas Oil & WTI Futures and Options Average Daily Volume 1,200 +3% yty 1,000 Thousands (contracts) 800 600 400 200 0 2006 2007 2008 2009 2010 2011 9-mos '12 Brent Gas Oil WTI  Growth in Brent, Gasoil & Natural Gas markets  Timely transition of energy sw

  8. Slide 8: Growth Drivers in Agriculture

    Growth Drivers in Agriculture  Underlying demand for food is expected to have increased by 70 to 100% by 2050  ICE Ag benchmarks are globally relevant  Open interest is up 19% YTD October  Full transition to screen completed October 2012  Expansion into grains and oilseeds, extends reach  Proa

  9. Slide 9: Financial Opportunities Span FX, CDS & Equity Index

    Financial Opportunities Span FX, CDS & Equity Index OI (Billions) CDS Open Interest & Gross Notional Cleared Notional (Billions) 1,800 $40,000 1,600 $35,000 1,400 $30,000 1,200 $25,000 1,000 $20,000 800 $15,000 600 400 $10,000 200 $5,000 $ 1 31 61 91 121 151 181 Clearing Week Open Interest Gross Not

  10. Slide 10: Delivering Solutions for Financial Reform

    Delivering Solutions for Financial Reform  Leadership in helping customers meet new compliance requirements  Transitioned energy swaps to futures providing regulatory certainty  ICE Trade Vault’s SDR now accepting CDS trades  Working with the industry and regulators to evolve market structure 

  11. Slide 11: Strategic Approach to Market Opportunities

    Strategic Approach to Market Opportunities Opportunity to Bring ICE’s Develop a platform expand into new platform and Brought Options markets expertise in that provides asset classes & Establish a new transparency & complement energy markets to transparent and benefit business risk Nascent emerging

  12. Slide 12: Looking Ahead

    Looking Ahead  Well positioned in commodity markets as risk management demand continues  Leader in financial reform implementation from clearing to transparency  Global clearing houses for futures & OTC markets; capital efficiency and safeguards  Technology enabling expansion from options market

  13. Slide 13: Leading Returns on Invested Capital

    Leading Returns on Invested Capital 19% 18% 17% 2010 2011 *LTM 2012 CME NYX NDAQ S&P 500 ICE (1) ROIC = (Operating Income x (1-Tax Rate) ) / (Avg Debt + Avg Shareholders Equity + Avg Minority Interest – Avg Cash, Cash Equiv, & ST Investments) *Source: Factset, Company Filings. S&P data represents on

  14. Slide 14: Delivering Long-Term Growth

    Delivering Long-Term Growth 80,000 ICE Futures and OTC Markets Open Interest 70,000 Open Interest (contracts in thousands) 60,000 50,000 40,000 30,000 20,000 10,000 - 2006 2007 2008 2009 2010 2011 10-mos '12 IntercontinentalExchange 14

  15. Slide 15: Appendix

    APPENDIX

  16. Slide 16: Historical Aggregate Data

    Historical Aggregate Data 2012 Trading Days* 20 20 22 20 22 21 21 23 19 23 21 20 Average Daily Volume (000s) Jan-12 Feb-12 Mar-12 Apr-12 May-12 Jun-12 Jul-12 Aug-12 Sep-12 Oct-12 Nov-12 Dec-12 Energy 3,700 3,596 2,807 2,795 3,075 3,032 2,703 2,576 2,888 3,067 2,836 Ags 228 301 248 311 230 336 236 21

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