ý | QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 |
¨ | TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 |
Delaware | 36-4459170 | |
(State or other jurisdiction of incorporation or organization) | (I.R.S. Employer Identification No.) | |
20 South Wacker Drive, Chicago, Illinois | 60606 | |
(Address of principal executive offices) | (Zip Code) |
Large accelerated filer x | Accelerated filer o | ||
Non-accelerated filer o (Do not check if a smaller reporting company) | Smaller reporting company o | ||
Emerging growth company o |
Page | ||
Item 1. | ||
Item 2. | ||
Item 3. | ||
Item 4. | ||
Item 1. | ||
Item 1A. | ||
Item 2. | ||
Item 4. | ||
Item 6. | ||
• | increasing competition by foreign and domestic entities, including increased competition from new entrants into our markets and consolidation of existing entities; |
• | our ability to keep pace with rapid technological developments, including our ability to complete the development, implementation and maintenance of the enhanced functionality required by our customers while maintaining reliability and ensuring that such technology is not vulnerable to security risks; |
• | our ability to continue introducing competitive new products and services on a timely, cost-effective basis, including through our electronic trading capabilities, and our ability to maintain the competitiveness of our existing products and services, including our ability to provide effective services to the swaps market; |
• | our ability to adjust our fixed costs and expenses if our revenues decline; |
• | our ability to maintain existing customers, develop strategic relationships and attract new customers; |
• | our ability to expand and offer our products outside the United States; |
• | changes in regulations, including the impact of any changes in laws or government policy with respect to our industry, such as any changes to regulations and policies that require increased financial and operational resources from us or our customers; |
• | the costs associated with protecting our intellectual property rights and our ability to operate our business without violating the intellectual property rights of others; |
• | decreases in revenue from our market data as a result of decreased demand; |
• | changes in our rate per contract due to shifts in the mix of the products traded, the trading venue and the mix of customers (whether the customer receives member or non-member fees or participates in one of our various incentive programs) and the impact of our tiered pricing structure; |
• | the ability of our financial safeguards package to adequately protect us from the credit risks of clearing members; |
• | the ability of our compliance and risk management methods to effectively monitor and manage our risks, including our ability to prevent errors and misconduct and protect our infrastructure against security breaches and misappropriation of our intellectual property assets; |
• | changes in price levels and volatility in the derivatives markets and in underlying equity, foreign exchange, interest rate and commodities markets; |
• | economic, political and market conditions, including the volatility of the capital and credit markets and the impact of economic conditions on the trading activity of our current and potential customers; |
• | our ability to accommodate increases in contract volume and order transaction traffic and to implement enhancements without failure or degradation of the performance of our trading and clearing systems; |
• | our ability to execute our growth strategy and maintain our growth effectively; |
• | our ability to manage the risks and control the costs associated with our strategy for acquisitions, investments and alliances; |
• | our ability to continue to generate funds and/or manage our indebtedness to allow us to continue to invest in our business; |
• | industry and customer consolidation; |
• | decreases in trading and clearing activity; |
• | the imposition of a transaction tax or user fee on futures and options on futures transactions and/or repeal of the 60/40 tax treatment of such transactions; and |
• | the unfavorable resolution of material legal proceedings. |
ITEM 1. | FINANCIAL STATEMENTS |
June 30, 2017 | December 31, 2016 | |||||||
Assets | ||||||||
Current Assets: | ||||||||
Cash and cash equivalents | $ | 1,362.3 | $ | 1,868.6 | ||||
Marketable securities | 84.3 | 83.3 | ||||||
Accounts receivable, net of allowance of $2.1 and $3.5 | 416.4 | 364.4 | ||||||
Other current assets (includes $30.0 in restricted cash) | 228.9 | 171.7 | ||||||
Performance bonds and guaranty fund contributions | 47,405.0 | 37,543.5 | ||||||
Total current assets | 49,496.9 | 40,031.5 | ||||||
Property, net of accumulated depreciation and amortization of $631.8 and $597.2 | 399.5 | 425.2 | ||||||
Intangible assets—trading products | 17,175.3 | 17,175.3 | ||||||
Intangible assets—other, net | 2,393.8 | 2,441.8 | ||||||
Goodwill | 7,569.0 | 7,569.0 | ||||||
Other assets (includes $22.1 and $61.7 in restricted cash) | 1,509.3 | 1,726.6 | ||||||
Total Assets | $ | 78,543.8 | $ | 69,369.4 | ||||
Liabilities and Equity | ||||||||
Current Liabilities: | ||||||||
Accounts payable | $ | 25.5 | $ | 26.2 | ||||
Other current liabilities | 239.1 | 1,376.7 | ||||||
Performance bonds and guaranty fund contributions | 47,405.0 | 37,542.7 | ||||||
Total current liabilities | 47,669.6 | 38,945.6 | ||||||
Long-term debt | 2,232.1 | 2,231.2 | ||||||
Deferred income tax liabilities, net | 7,318.8 | 7,291.0 | ||||||
Other liabilities | 546.5 | 560.9 | ||||||
Total Liabilities | 57,767.0 | 49,028.7 | ||||||
Shareholders’ Equity: | ||||||||
Preferred stock, $0.01 par value, 10,000 shares authorized at June 30, 2017 and December 31, 2016; none issued | — | — | ||||||
Class A common stock, $0.01 par value, 1,000,000 shares authorized at June 30, 2017 and December 31, 2016; 338,673 and 338,240 shares issued and outstanding as of June 30, 2017 and December 31, 2016, respectively | 3.4 | 3.4 | ||||||
Class B common stock, $0.01 par value, 3 shares authorized, issued and outstanding as of June 30, 2017 and December 31, 2016 | — | — | ||||||
Additional paid-in capital | 17,870.4 | 17,826.9 | ||||||
Retained earnings | 2,889.7 | 2,524.5 | ||||||
Accumulated other comprehensive income (loss) | 13.3 | (14.1 | ) | |||||
Total shareholders’ equity | 20,776.8 | 20,340.7 | ||||||
Total Liabilities and Equity | $ | 78,543.8 | $ | 69,369.4 |
Quarter Ended | Six Months Ended | |||||||||||||||
June 30, | June 30, | |||||||||||||||
2017 | 2016 | 2017 | 2016 | |||||||||||||
Revenues | ||||||||||||||||
Clearing and transaction fees | $ | 792.0 | $ | 767.6 | $ | 1,584.0 | $ | 1,563.7 | ||||||||
Market data and information services | 96.1 | 102.9 | 192.9 | 205.3 | ||||||||||||
Access and communication fees | 24.9 | 22.3 | 49.2 | 43.9 | ||||||||||||
Other | 11.6 | 13.6 | 27.8 | 27.7 | ||||||||||||
Total Revenues | 924.6 | 906.4 | 1,853.9 | 1,840.6 | ||||||||||||
Expenses | ||||||||||||||||
Compensation and benefits | 139.3 | 131.7 | 281.6 | 263.6 | ||||||||||||
Communications | 6.0 | 6.3 | 12.3 | 13.0 | ||||||||||||
Technology support services | 18.2 | 17.7 | 36.9 | 35.1 | ||||||||||||
Professional fees and outside services | 28.6 | 39.0 | 57.2 | 70.7 | ||||||||||||
Amortization of purchased intangibles | 24.0 | 24.0 | 48.0 | 48.0 | ||||||||||||
Depreciation and amortization | 28.8 | 30.4 | 58.2 | 64.3 | ||||||||||||
Occupancy and building operations | 19.2 | 24.4 | 39.3 | 45.7 | ||||||||||||
Licensing and other fee agreements | 32.9 | 32.8 | 66.7 | 71.8 | ||||||||||||
Other | 22.0 | 36.8 | 46.9 | 91.2 | ||||||||||||
Total Expenses | 319.0 | 343.1 | 647.1 | 703.4 | ||||||||||||
Operating Income | 605.6 | 563.3 | 1,206.8 | 1,137.2 | ||||||||||||
Non-Operating Income (Expense) | ||||||||||||||||
Investment income | 112.4 | 17.2 | 251.3 | 34.8 | ||||||||||||
Interest and other borrowing costs | (29.0 | ) | (31.0 | ) | (58.8 | ) | (60.8 | ) | ||||||||
Equity in net earnings (losses) of unconsolidated subsidiaries | 31.8 | 27.0 | 62.6 | 53.8 | ||||||||||||
Other non-operating income (expense) | (83.5 | ) | (10.4 | ) | (117.6 | ) | (20.4 | ) | ||||||||
Total Non-Operating Income (Expense) | 31.7 | 2.8 | 137.5 | 7.4 | ||||||||||||
Income before Income Taxes | 637.3 | 566.1 | 1,344.3 | 1,144.6 | ||||||||||||
Income tax provision | 221.5 | 246.0 | 528.7 | 456.7 | ||||||||||||
Net Income | $ | 415.8 | $ | 320.1 | $ | 815.6 | $ | 687.9 | ||||||||
Earnings per Common Share: | ||||||||||||||||
Basic | $ | 1.23 | $ | 0.95 | $ | 2.41 | $ | 2.04 | ||||||||
Diluted | 1.22 | 0.95 | 2.40 | 2.03 | ||||||||||||
Weighted Average Number of Common Shares: | ||||||||||||||||
Basic | 338,556 | 337,289 | 338,448 | 337,152 | ||||||||||||
Diluted | 340,020 | 338,706 | 339,974 | 338,599 |
Quarter Ended | Six Months Ended | |||||||||||||||
June 30, | June 30, | |||||||||||||||
2017 | 2016 | 2017 | 2016 | |||||||||||||
Net income | $ | 415.8 | $ | 320.1 | $ | 815.6 | $ | 687.9 | ||||||||
Other comprehensive income (loss), net of tax: | ||||||||||||||||
Investment securities: | ||||||||||||||||
Net unrealized holding gains (losses) arising during the period | 1.7 | 85.8 | 31.1 | 195.4 | ||||||||||||
Reclassification of net (gains) losses on sales included in investment income | — | — | (87.1 | ) | — | |||||||||||
Income tax benefit (expense) | (0.5 | ) | 0.2 | 76.1 | (0.6 | ) | ||||||||||
Investment securities, net | 1.2 | 86.0 | 20.1 | 194.8 | ||||||||||||
Defined benefit plans: | ||||||||||||||||
Net change in defined benefit plans arising during the period | — | — | 0.4 | 3.1 | ||||||||||||
Amortization of net actuarial (gains) losses included in compensation and benefits expense | 0.7 | 0.8 | 1.4 | 1.6 | ||||||||||||
Income tax benefit (expense) | (0.3 | ) | (0.3 | ) | (0.7 | ) | (1.8 | ) | ||||||||
Defined benefit plans, net | 0.4 | 0.5 | 1.1 | 2.9 | ||||||||||||
Derivative investments: | ||||||||||||||||
Amortization of effective portion of net (gains) losses on cash flow hedges included in interest expense | (0.3 | ) | (0.3 | ) | (0.6 | ) | (0.6 | ) | ||||||||
Income tax benefit (expense) | 0.1 | 0.1 | 0.2 | 0.2 | ||||||||||||
Derivative investments, net | (0.2 | ) | (0.2 | ) | (0.4 | ) | (0.4 | ) | ||||||||
Foreign currency translation: | ||||||||||||||||
Foreign currency translation adjustments | 1.1 | (1.7 | ) | 9.5 | (5.0 | ) | ||||||||||
Income tax benefit (expense) | — | 0.6 | (2.9 | ) | 1.8 | |||||||||||
Foreign currency translation, net | 1.1 | (1.1 | ) | 6.6 | (3.2 | ) | ||||||||||
Other comprehensive income (loss), net of tax | 2.5 | 85.2 | 27.4 | 194.1 | ||||||||||||
Comprehensive Income | $ | 418.3 | $ | 405.3 | $ | 843.0 | $ | 882.0 |
Class A Common Stock (Shares) | Class B Common Stock (Shares) | Common Stock and Additional Paid-in Capital | Retained Earnings | Accumulated Other Comprehensive Income (Loss) | Total Shareholders’ Equity | |||||||||||||||||
Balance at December 31, 2016 | 338,240 | 3 | $ | 17,830.3 | $ | 2,524.5 | $ | (14.1 | ) | $ | 20,340.7 | |||||||||||
Net income | 815.6 | 815.6 | ||||||||||||||||||||
Other comprehensive income (loss) | 27.4 | 27.4 | ||||||||||||||||||||
Dividends on common stock of $1.32 per share | (448.2 | ) | (448.2 | ) | ||||||||||||||||||
Impact of adoption of standards update on employee share-based payments, net of tax | 1.4 | (2.2 | ) | (0.8 | ) | |||||||||||||||||
Exercise of stock options | 242 | 22.9 | 22.9 | |||||||||||||||||||
Vesting of issued restricted Class A common stock | 162 | (12.1 | ) | (12.1 | ) | |||||||||||||||||
Shares issued to Board of Directors | 20 | 2.4 | 2.4 | |||||||||||||||||||
Shares issued under Employee Stock Purchase Plan | 9 | 1.2 | 1.2 | |||||||||||||||||||
Stock-based compensation | 27.7 | 27.7 | ||||||||||||||||||||
Balance at June 30, 2017 | 338,673 | 3 | $ | 17,873.8 | $ | 2,889.7 | $ | 13.3 | $ | 20,776.8 |
Class A Common Stock (Shares) | Class B Common Stock (Shares) | Common Stock and Additional Paid-in Capital | Retained Earnings | Accumulated Other Comprehensive Income (Loss) | Total Shareholders’ Equity | ||||||||||||||||
Balance at December 31, 2015 | 336,938 | 3 | $ | 17,725.0 | $ | 2,907.6 | $ | (80.8 | ) | $ | 20,551.8 | ||||||||||
Net income | 687.9 | 687.9 | |||||||||||||||||||
Other comprehensive income (loss) | 194.1 | 194.1 | |||||||||||||||||||
Dividends on common stock of $1.20 per share | (406.2 | ) | (406.2 | ) | |||||||||||||||||
Exercise of stock options | 292 | 20.0 | 20.0 | ||||||||||||||||||
Excess tax benefits from option exercises and restricted stock vesting | 3.4 | 3.4 | |||||||||||||||||||
Vesting of issued restricted Class A common stock | 181 | (10.5 | ) | (10.5 | ) | ||||||||||||||||
Shares issued to Board of Directors | 27 | 2.5 | 2.5 | ||||||||||||||||||
Shares issued under Employee Stock Purchase Plan | 10 | 0.9 | 0.9 | ||||||||||||||||||
Stock-based compensation | 30.0 | 30.0 | |||||||||||||||||||
Balance at June 30, 2016 | 337,448 | 3 | $ | 17,771.3 | $ | 3,189.3 | $ | 113.3 | $ | 21,073.9 |
Six Months Ended June 30, | ||||||||
2017 | 2016 | |||||||
Cash Flows from Operating Activities | ||||||||
Net income | $ | 815.6 | $ | 687.9 | ||||
Adjustments to reconcile net income to net cash provided by operating activities: | ||||||||
Stock-based compensation | 27.7 | 30.0 | ||||||
Amortization of purchased intangibles | 48.0 | 48.0 | ||||||
Depreciation and amortization | 58.2 | 64.3 | ||||||
Gain on sale of BM&FBOVESPA shares | (86.5 | ) | — | |||||
Income tax expense reclassified from accumulated other comprehensive income upon final sale of BM&FBOVESPA shares | 87.8 | — | ||||||
Loss on datacenter | — | 27.1 | ||||||
Undistributed earnings, net of losses, of unconsolidated subsidiaries | (12.4 | ) | (3.3 | ) | ||||
Deferred income taxes | 11.8 | 22.0 | ||||||
Change in: | ||||||||
Accounts receivable | (50.6 | ) | (71.1 | ) | ||||
Other current assets | (2.6 | ) | 6.0 | |||||
Other assets | 48.6 | (20.3 | ) | |||||
Accounts payable | (0.7 | ) | 6.8 | |||||
Income taxes payable | (98.6 | ) | (12.8 | ) | ||||
Other current liabilities | (25.5 | ) | (30.8 | ) | ||||
Other liabilities | 2.6 | (5.3 | ) | |||||
Other | (0.4 | ) | 5.2 | |||||
Net Cash Provided by Operating Activities | 823.0 | 753.7 | ||||||
Cash Flows from Investing Activities | ||||||||
Proceeds from maturities of available-for-sale marketable securities | 1.2 | 36.4 | ||||||
Purchases of available-for-sale marketable securities | (0.5 | ) | (40.3 | ) | ||||
Purchases of property, net | (37.6 | ) | (39.6 | ) | ||||
Investments in business ventures | (2.3 | ) | (3.8 | ) | ||||
Proceeds from sale of BM&FBOVESPA shares | 244.0 | — | ||||||
Net Cash Provided by (Used in) Investing Activities | 204.8 | (47.3 | ) | |||||
Cash Flows from Financing Activities | ||||||||
Cash dividends | (1,546.1 | ) | (1,381.7 | ) | ||||
Proceeds from finance lease obligation | — | 130.0 | ||||||
Proceeds from exercise of stock options | 22.9 | 20.0 | ||||||
Excess tax benefits related to employee option exercises and restricted stock vesting | — | 3.4 | ||||||
Employee taxes paid on restricted stock vesting | (12.1 | ) | (10.5 | ) | ||||
Other | 1.2 | 0.9 | ||||||
Net Cash Used in Financing Activities | (1,534.1 | ) | (1,237.9 | ) | ||||
Net change in cash and cash equivalents | (506.3 | ) | (531.5 | ) | ||||
Cash and cash equivalents, beginning of period | 1,868.6 | 1,692.6 | ||||||
Cash and Cash Equivalents, End of Period | $ | 1,362.3 | $ | 1,161.1 | ||||
Supplemental Disclosure of Cash Flow Information | ||||||||
Income taxes paid | $ | 476.2 | $ | 410.3 | ||||
Interest paid | 42.4 | 42.4 |
June 30, 2017 | December 31, 2016 | |||||||||||||||||||||||
(in millions) | Assigned Value | Accumulated Amortization | Net Book Value | Assigned Value | Accumulated Amortization | Net Book Value | ||||||||||||||||||
Amortizable Intangible Assets: | ||||||||||||||||||||||||
Clearing firm, market data and other customer relationships | $ | 2,838.8 | $ | (896.4 | ) | $ | 1,942.4 | $ | 2,838.8 | $ | (849.2 | ) | $ | 1,989.6 | ||||||||||
Technology-related intellectual property | 29.4 | (29.3 | ) | 0.1 | 29.4 | (28.6 | ) | 0.8 | ||||||||||||||||
Other | 2.4 | (1.1 | ) | 1.3 | 2.4 | (1.0 | ) | 1.4 | ||||||||||||||||
Total amortizable intangible assets | $ | 2,870.6 | $ | (926.8 | ) | 1,943.8 | $ | 2,870.6 | $ | (878.8 | ) | 1,991.8 | ||||||||||||
Indefinite-Lived Intangible Assets: | ||||||||||||||||||||||||
Trade names | 450.0 | 450.0 | ||||||||||||||||||||||
Total intangible assets – other, net | $ | 2,393.8 | $ | 2,441.8 | ||||||||||||||||||||
Trading products (1) | $ | 17,175.3 | $ | 17,175.3 |
(1) | Trading products represent futures and options products acquired in our business combinations with CBOT Holdings, Inc., NYMEX Holdings, Inc. and The Board of Trade of Kansas City, Missouri, Inc. Clearing and transaction fees are generated through the trading of these products. These trading products, most of which have traded for decades, require authorization from the Commodity Futures Trading Commission (CFTC). Product authorizations from the CFTC have no term limits. |
(in millions) | Amortization Expense | ||
Remainder of 2017 | $ | 47.5 | |
2018 | 94.7 | ||
2019 | 94.7 | ||
2020 | 94.7 | ||
2021 | 94.7 | ||
2022 | 94.7 | ||
Thereafter | 1,422.8 |
(in millions) | June 30, 2017 | December 31, 2016 | ||||||
$750.0 million fixed rate notes due September 2022, stated rate of 3.00% (1) | $ | 745.6 | $ | 745.2 | ||||
$750.0 million fixed rate notes due March 2025, stated rate of 3.00% (2) | 744.5 | 744.2 | ||||||
$750.0 million fixed rate notes due September 2043, stated rate of 5.30% (3) | 742.0 | 741.8 | ||||||
Total long-term debt | $ | 2,232.1 | $ | 2,231.2 |
(1) | In August 2012, the company entered into a forward-starting interest rate swap agreement that modified the interest obligation associated with these notes so that the interest payable on the notes effectively became fixed at a rate of 3.32%. |
(2) | In December 2014, the company entered into a forward-starting interest rate swap agreement that modified the interest obligation associated with these notes so that the interest payable on the notes effectively became fixed at a rate of 3.11%. |
(3) | In August 2012, the company entered into a forward-starting interest rate swap agreement that modified the interest obligation associated with these notes so that the interest payable on the notes effectively became fixed at a rate of 4.73%. |
(in millions) | Par Value | ||
2018 | $ | — | |
2019 | — | ||
2020 | — | ||
2021 | — | ||
2022 | 750.0 | ||
Thereafter | 1,500.0 |
(in millions) | Investment Securities | Defined Benefit Plans | Derivative Investments | Foreign Currency Translation | Total | ||||||||||||||
Balance at December 31, 2016 | $ | (19.5 | ) | $ | (37.8 | ) | $ | 58.9 | $ | (15.7 | ) | $ | (14.1 | ) | |||||
Other comprehensive income (loss) before reclassifications and income tax benefit (expense) | 31.1 | 0.4 | — | 9.5 | 41.0 | ||||||||||||||
Amounts reclassified from accumulated other comprehensive income (loss) | (87.1 | ) | 1.4 | (0.6 | ) | — | (86.3 | ) | |||||||||||
Income tax benefit (expense) | 76.1 | (0.7 | ) | 0.2 | (2.9 | ) | 72.7 | ||||||||||||
Net current period other comprehensive income (loss) | 20.1 | 1.1 | (0.4 | ) | 6.6 | 27.4 | |||||||||||||
Balance at June 30, 2017 | $ | 0.6 | $ | (36.7 | ) | $ | 58.5 | $ | (9.1 | ) | $ | 13.3 |
(in millions) | Investment Securities | Defined Benefit Plans | Derivative Investments | Foreign Currency Translation | Total | ||||||||||||||
Balance at December 31, 2015 | $ | (95.0 | ) | $ | (36.6 | ) | $ | 59.6 | $ | (8.8 | ) | $ | (80.8 | ) | |||||
Other comprehensive income (loss) before reclassifications and income tax benefit (expense) | 195.4 | 3.1 | — | (5.0 | ) | 193.5 | |||||||||||||
Amounts reclassified from accumulated other comprehensive income (loss) | — | 1.6 | (0.6 | ) | — | 1.0 | |||||||||||||
Income tax benefit (expense) | (0.6 | ) | (1.8 | ) | 0.2 | 1.8 | (0.4 | ) | |||||||||||
Net current period other comprehensive income (loss) | 194.8 | 2.9 | (0.4 | ) | (3.2 | ) | 194.1 | ||||||||||||
Balance at June 30, 2016 | $ | 99.8 | $ | (33.7 | ) | $ | 59.2 | $ | (12.0 | ) | $ | 113.3 |
• | Level 1 inputs, which are considered the most reliable evidence of fair value, consist of quoted prices (unadjusted) for identical assets or liabilities in active markets. |
• | Level 2 inputs consist of observable market data, such as quoted prices for similar assets and liabilities in active markets, or inputs other than quoted prices that are directly observable. |
• | Level 3 inputs consist of unobservable inputs which are derived and cannot be corroborated by market data or other entity-specific inputs. |
June 30, 2017 | ||||||||||||||||
(in millions) | Level 1 | Level 2 | Level 3 | Total | ||||||||||||
Assets at Fair Value: | ||||||||||||||||
Marketable securities: | ||||||||||||||||
Corporate debt securities | $ | 20.0 | $ | — | $ | — | $ | 20.0 | ||||||||
Mutual funds | 63.9 | — | — | 63.9 | ||||||||||||
Equity securities | 0.1 | — | — | 0.1 | ||||||||||||
Asset-backed securities | — | 0.3 | — | 0.3 | ||||||||||||
Total Marketable Securities | 84.0 | 0.3 | — | 84.3 | ||||||||||||
Equity investments | 20.7 | — | — | 20.7 | ||||||||||||
Total Assets at Fair Value | $ | 104.7 | $ | 0.3 | $ | — | $ | 105.0 |
(in millions) | Fair Value | ||
$750.0 million fixed rate notes due September 2022, stated rate of 3.00% | $ | 774.0 | |
$750.0 million fixed rate notes due March 2025, stated rate of 3.00% | 763.1 | ||
$750.0 million fixed rates notes due September 2043, stated rate of 5.30% | 933.0 |
Quarter Ended June 30, | Six Months Ended June 30, | ||||||||||
(in thousands) | 2017 | 2016 | 2017 | 2016 | |||||||
Stock options | — | 320 | — | 320 | |||||||
Restricted stock and performance shares | 70 | — | 71 | — | |||||||
Total | 70 | 320 | 71 | 320 |
Quarter Ended June 30, | Six Months Ended June 30, | |||||||||||||||
2017 | 2016 | 2017 | 2016 | |||||||||||||
Net Income (in millions) | $ | 415.8 | $ | 320.1 | $ | 815.6 | $ | 687.9 | ||||||||
Weighted Average Number of Common Shares (in thousands): | ||||||||||||||||
Basic | 338,556 | 337,289 | 338,448 | 337,152 | ||||||||||||
Effect of stock options, restricted stock and performance shares | 1,464 | 1,417 | 1,526 | 1,447 | ||||||||||||
Diluted | 340,020 | 338,706 | 339,974 | 338,599 | ||||||||||||
Earnings per Common Share: | ||||||||||||||||
Basic | $ | 1.23 | $ | 0.95 | $ | 2.41 | $ | 2.04 | ||||||||
Diluted | 1.22 | 0.95 | 2.40 | 2.03 |
ITEM 2. | MANAGEMENT’S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND RESULTS OF OPERATIONS |
Quarter Ended June 30, | Six Months Ended June 30, | |||||||||||||||||||||
(dollars in millions, except per share data) | 2017 | 2016 | Change | 2017 | 2016 | Change | ||||||||||||||||
Total revenues | $ | 924.6 | $ | 906.4 | 2 | % | $ | 1,853.9 | $ | 1,840.6 | 1 | % | ||||||||||
Total expenses | 319.0 | 343.1 | (7 | ) | 647.1 | 703.4 | (8 | ) | ||||||||||||||
Operating margin | 65.5 | % | 62.1 | % | 65.1 | % | 61.8 | % | ||||||||||||||
Non-operating income (expense) | $ | 31.7 | $ | 2.8 | n.m. | $ | 137.5 | $ | 7.4 | n.m. | ||||||||||||
Effective tax rate | 34.7 | % | 43.5 | % | 39.3 | % | 39.9 | % | ||||||||||||||
Net income | $ | 415.8 | $ | 320.1 | 30 | $ | 815.6 | $ | 687.9 | 19 | ||||||||||||
Diluted earnings per common share | 1.22 | 0.95 | 28 | 2.40 | 2.03 | 18 | ||||||||||||||||
Cash flows from operating activities | 823.0 | 753.7 | 9 |
Quarter Ended June 30, | Six Months Ended June 30, | |||||||||||||||||||||
(dollars in millions) | 2017 | 2016 | Change | 2017 | 2016 | Change | ||||||||||||||||
Clearing and transaction fees | $ | 792.0 | $ | 767.6 | 3 | % | $ | 1,584.0 | $ | 1,563.7 | 1 | % | ||||||||||
Market data and information services | 96.1 | 102.9 | (7 | ) | 192.9 | 205.3 | (6 | ) | ||||||||||||||
Access and communication fees | 24.9 | 22.3 | 11 | 49.2 | 43.9 | 12 | ||||||||||||||||
Other | 11.6 | 13.6 | (16 | ) | 27.8 | 27.7 | — | |||||||||||||||
Total Revenues | $ | 924.6 | $ | 906.4 | 2 | $ | 1,853.9 | $ | 1,840.6 | 1 |
Quarter Ended June 30, | Six Months Ended June 30, | |||||||||||||||||||||
2017 | 2016 | Change | 2017 | 2016 | Change | |||||||||||||||||
Total contract volume (in millions) | 1,036.5 | 965.2 | 7 | % | 2,096.6 | 1,998.8 | 5 | % | ||||||||||||||
Clearing and transaction fees (in millions) | $ | 776.1 | $ | 754.6 | 3 | $ | 1,550.8 | $ | 1,535.7 | 1 | ||||||||||||
Average rate per contract | $ | 0.749 | $ | 0.782 | (4 | ) | $ | 0.740 | $ | 0.768 | (4 | ) |
(in millions) | Quarter Ended | Six Months Ended | ||||||
Increases due to changes in total contract volume | $ | 53.4 | $ | 72.3 | ||||
Decreases due to changes in average rate per contract | (31.9 | ) | (57.2 | ) | ||||
Net increases in clearing and transaction fees | $ | 21.5 | $ | 15.1 |
Quarter Ended June 30, | Six Months Ended June 30, | |||||||||||||||||
(amounts in thousands) | 2017 | 2016 | Change | 2017 | 2016 | Change | ||||||||||||
Average Daily Volume by Product Line: | ||||||||||||||||||
Interest rate | 8,210 | 6,776 | 21 | % | 8,686 | 7,493 | 16 | % | ||||||||||
Equity | 2,707 | 2,957 | (8 | ) | 2,736 | 3,250 | (16 | ) | ||||||||||
Foreign exchange | 879 | 838 | 5 | 887 | 890 | — | ||||||||||||
Agricultural commodity | 1,492 | 1,722 | (13 | ) | 1,377 | 1,470 | (6 | ) | ||||||||||
Energy | 2,632 | 2,322 | 13 | 2,565 | 2,426 | 6 | ||||||||||||
Metal | 533 | 467 | 14 | 522 | 461 | 13 | ||||||||||||
Aggregate average daily volume | 16,453 | 15,082 | 9 | 16,773 | 15,990 | 5 | ||||||||||||
Average Daily Volume by Venue: | ||||||||||||||||||
Electronic | 14,582 | 13,355 | 9 | 14,763 | 14,018 | 5 | ||||||||||||
Open outcry | 1,115 | 1,076 | 4 | 1,238 | 1,245 | (1 | ) | |||||||||||
Privately negotiated | 756 | 651 | 16 | 772 | 727 | 6 | ||||||||||||
Aggregate average daily volume | 16,453 | 15,082 | 9 | 16,773 | 15,990 | 5 | ||||||||||||
Electronic Volume as a Percentage of Total Volume | 89 | % | 89 | % | 88 | % | 88 | % |
Quarter Ended June 30, | Six Months Ended June 30, | |||||||||||||||||
(amounts in thousands) | 2017 | 2016 | Change | 2017 | 2016 | Change | ||||||||||||
Eurodollar futures and options: | ||||||||||||||||||
Front 8 futures | 1,761 | 1,630 | 8 | % | 1,946 | 1,828 | 6 | % | ||||||||||
Back 32 futures | 738 | 594 | 24 | 837 | 660 | 27 | ||||||||||||
Options | 1,464 | 1,043 | 40 | 1,537 | 1,276 | 20 | ||||||||||||
U.S. Treasury futures and options: | ||||||||||||||||||
10-Year | 1,883 | 1,616 | 17 | 1,931 | 1,727 | 12 | ||||||||||||
5-Year | 994 | 842 | 18 | 1,044 | 889 | 17 | ||||||||||||
2-Year | 381 | 312 | 22 | 382 | 328 | 17 | ||||||||||||
Treasury bond | 382 | 318 | 20 | 376 | 351 | 7 | ||||||||||||
Federal Funds futures and options | 217 | 142 | 53 | 235 | 132 | 77 |
Quarter Ended June 30, | Six Months Ended June 30, | |||||||||||||||||
(amounts in thousands) | 2017 | 2016 | Change | 2017 | 2016 | Change | ||||||||||||
E-mini S&P 500 futures and options | 2,116 | 2,360 | (10 | )% | 2,182 | 2,566 | (15 | )% | ||||||||||
E-mini NASDAQ 100 futures and options | 304 | 258 | 18 | 259 | 305 | (15 | ) |
Quarter Ended June 30, | Six Months Ended June 30, | |||||||||||||||||
(amounts in thousands) | 2017 | 2016 | Change | 2017 | 2016 | Change | ||||||||||||
Euro | 214 | 219 | (2 | )% | 224 | 246 | (9 | )% | ||||||||||
Japanese yen | 165 | 147 | 12 | 172 | 169 | 2 | ||||||||||||
British pound | 123 | 134 | (9 | ) | 124 | 126 | (2 | ) | ||||||||||
Australian dollar | 91 | 112 | (19 | ) | 92 | 113 | (18 | ) | ||||||||||
Canadian dollar | 83 | 78 | 7 | 78 | 85 | (8 | ) |
Quarter Ended June 30, | Six Months Ended June 30, | |||||||||||||||||
(amounts in thousands) | 2017 | 2016 | Change | 2017 | 2016 | Change | ||||||||||||
Corn | 532 | 587 | (9 | )% | 471 | 492 | (4 | )% | ||||||||||
Soybean | 279 | 454 | (39 | ) | 274 | 374 | (27 | ) | ||||||||||
Wheat | 260 | 232 | 12 | 232 | 208 | 12 |
Quarter Ended June 30, | Six Months Ended June 30, | |||||||||||||||||
(amounts in thousands) | 2017 | 2016 | Change | 2017 | 2016 | Change | ||||||||||||
WTI crude oil | 1,483 | 1,231 | 20 | % | 1,406 | 1,312 | 7 | % | ||||||||||
Natural gas | 580 | 531 | 9 | 590 | 527 | 12 | ||||||||||||
Refined products | 387 | 369 | 5 | 388 | 371 | 5 | ||||||||||||
Brent crude oil | 106 | 92 | 15 | 104 | 104 | — |
Quarter Ended June 30, | Six Months Ended June 30, | |||||||||||||||||
(amounts in thousands) | 2017 | 2016 | Change | 2017 | 2016 | Change | ||||||||||||
Gold | 296 | 273 | 8 | % | 302 | 278 | 9 | % | ||||||||||
Copper | 102 | 89 | 15 | 99 | 83 | 19 | ||||||||||||
Silver | 108 | 84 | 28 | 95 | 77 | 24 |
Quarter Ended June 30, | Six Months Ended June 30, | |||||||||||||||||||||
(dollars in millions) | 2017 | 2016 | Change | 2017 | 2016 | Change | ||||||||||||||||
Compensation and benefits | $ | 139.3 | $ | 131.7 | 6 | % | $ | 281.6 | $ | 263.6 | 7 | % | ||||||||||
Communications | 6.0 | 6.3 | (4 | ) | 12.3 | 13.0 | (5 | ) | ||||||||||||||
Technology support services | 18.2 | 17.7 | 2 | 36.9 | 35.1 | 5 | ||||||||||||||||
Professional fees and outside services | 28.6 | 39.0 | (27 | ) | 57.2 | 70.7 | (19 | ) | ||||||||||||||
Amortization of purchased intangibles | 24.0 | 24.0 | — | 48.0 | 48.0 | — | ||||||||||||||||
Depreciation and amortization | 28.8 | 30.4 | (5 | ) | 58.2 | 64.3 | (9 | ) | ||||||||||||||
Occupancy and building operations | 19.2 | 24.4 | (21 | ) | 39.3 | 45.7 | (14 | ) | ||||||||||||||
Licensing and other fee agreements | 32.9 | 32.8 | — | 66.7 | 71.8 | (7 | ) | |||||||||||||||
Other | 22.0 | 36.8 | (40 | ) | 46.9 | 91.2 | (49 | ) | ||||||||||||||
Total Expenses | $ | 319.0 | $ | 343.1 | (7 | ) | $ | 647.1 | $ | 703.4 | (8 | ) |
Quarter Ended, June 30, 2017 | Six Months Ended, June 30, 2017 | |||||||||||||
Amount of Change | Change as a Percentage of Total Expenses | Amount of Change | Change as a Percentage of Total Expenses | |||||||||||
(dollars in millions) | ||||||||||||||
Loss on datacenter and related legal fees | $ | — | — | % | $ | (28.6 | ) | (4 | )% | |||||
Foreign currency exchange rate fluctuation | (16.2 | ) | (5 | ) | (22.6 | ) | (3 | ) | ||||||
Professional fees and outside services | (10.4 | ) | (3 | ) | (12.0 | ) | (2 | ) | ||||||
Rent expense | (5.0 | ) | (1 | ) | (5.7 | ) | (1 | ) | ||||||
Licensing and other fee agreements | 0.1 | — | (5.1 | ) | (1 | ) | ||||||||
Bonus expense | 3.6 | 1 | 4.2 | 1 | ||||||||||
Salaries, benefits and employer taxes | 2.8 | 1 | 9.0 | 1 | ||||||||||
Other expenses, net | 1.0 | — | 4.5 | 1 | ||||||||||
Total decrease | $ | (24.1 | ) | (7 | )% | $ | (56.3 | ) | (8 | )% |
• | In the first quarter of 2016, we sold and leased back our datacenter in the Chicago area. The transaction was recognized under the financing method under generally accepted accounting principles. In the first quarter of 2016, we recognized total losses and expenses of $28.6 million, representing a net loss on write-down to fair value of the assets and certain other transaction fees of $27.1 million within other expenses and $1.5 million of legal and other fees. |
• | In the second quarter of 2017, we recognized a net gain of $4.6 million due to a favorable change in exchange rates on foreign cash balances, compared with a net loss of $11.6 million in the second quarter of 2016. In the first six months of 2017, we recognized a net gain of $7.1 million due to a favorable change in exchange rates on foreign cash balances, compared with a net loss of $15.5 million in the first six months of 2016. Gains and losses from exchange rate fluctuations result when subsidiaries with a U.S. dollar functional currency hold cash as well as certain other monetary assets and liabilities denominated in foreign currencies. |
• | In 2016, we recognized higher professional fees and outside services expenses largely due to non-recurring legal efforts in 2016 related to our business activities and product offerings as well as higher professional fees related to a greater reliance on consultants for security and systems enhancement work in 2016. |
• | Rent expense decreased largely due to a reduction in office and data center space throughout 2016. |
• | A decrease in licensing and other fee sharing agreements expense in the first six months of 2017 resulted from lower expense related to revenue sharing agreements for certain equity and energy contracts due to lower volume for these products in the first six months of 2017. |
• | Bonus expense increased due to performance relative to our 2017 cash earnings target when compared with 2016 performance relative to our 2016 cash earnings target. |
• | Compensation and benefits expenses also increased as a result of increases in average headcount primarily in our international locations. |
Quarter Ended June 30, | Six Months Ended June 30, | |||||||||||||||||||||
(dollars in millions) | 2017 | 2016 | Change | 2017 | 2016 | Change | ||||||||||||||||
Investment income | $ | 112.4 | $ | 17.2 | n.m. | $ | 251.3 | $ | 34.8 | n.m. | ||||||||||||
Interest and other borrowing costs | (29.0 | ) | (31.0 | ) | (6 | ) | (58.8 | ) | (60.8 | ) | (3 | ) | ||||||||||
Equity in net earnings (losses) of unconsolidated subsidiaries | 31.8 | 27.0 | 17 | 62.6 | 53.8 | 16 | ||||||||||||||||
Other non-operating income (expense) | (83.5 | ) | (10.4 | ) | n.m. | (117.6 | ) | (20.4 | ) | n.m. | ||||||||||||
Total Non-Operating | $ | 31.7 | $ | 2.8 | n.m. | $ | 137.5 | $ | 7.4 | n.m. |
2017 | 2016 | |||||
Quarter ended June 30 | 34.7 | % | 43.5 | % | ||
Six months ended June 30 | 39.3 | % | 39.9 | % |
(in millions) | Par Value | ||
Fixed rate notes due September 2022, stated rate of 3.00% (1) | $ | 750.0 | |
Fixed rate notes due March 2025, stated rate of 3.00% (2) | 750.0 | ||
Fixed rate notes due September 2043, stated rate of 5.30% (3) | 750.0 |
(1) | In August 2012, we entered into a forward-starting interest rate swap agreement that modified the interest obligation associated with these notes so that the interest payable effectively became fixed at a rate of 3.32%. |
(2) | In December 2014, we entered into a forward-starting interest rate swap agreement that modified the interest obligation associated with these notes so that the interest payable effectively became fixed at a rate of 3.11%. |
(3) | In August 2012, we entered into a forward starting interest rate swap agreement that modified the interest obligation associated with these notes so that the interest payable effectively became fixed at a rate of 4.73%. |
Short-Term | Long-Term | |||||
Rating Agency | Debt Rating | Debt Rating | Outlook | |||
Standard & Poor’s | A1+ | AA- | Stable | |||
Moody’s Investors Service | P1 | Aa3 | Stable |
ITEM 3. | QUANTITATIVE AND QUALITATIVE DISCLOSURES ABOUT MARKET RISK |
ITEM 4. | CONTROLS AND PROCEDURES |
ITEM 1. | LEGAL PROCEEDINGS |
ITEM 1A. | RISK FACTORS |
ITEM 2. | UNREGISTERED SALES OF EQUITY SECURITIES AND USE OF PROCEEDS |
Period | (a) Total Number of Class A Shares Purchased (1) | (b) Average Price Paid Per Share | (c) Total Number of Class A Shares Purchased as Part of Publicly Announced Plans or Programs | (d) Maximum Number (or Approximate Value) that May Yet Be Purchased Under the Plans or Programs (in millions) | ||||||||||
April 1 to April 30 | 2,305 | $ | 117.41 | — | $ | — | ||||||||
May 1 to May 31 | 314 | 117.13 | — | — | ||||||||||
June 1 to June 30 | 1,494 | 126.78 | — | — | ||||||||||
Total | 4,113 | $ | 120.79 | — |
(1) | Shares purchased consist of an aggregate of 4,113 shares of Class A common stock surrendered in the second quarter of 2017 to satisfy employees’ tax obligations upon the vesting of restricted stock. |
ITEM 4. | MINE SAFETY DISCLOSURES |
ITEM 6. | EXHIBITS |
10.1 | Chicago Mercantile Exchange Inc. Senior Management Supplemental Deferred Savings Plan (As Amended and Restated Effective January 1, 2017).(1) | |
31.1 | Section 302 Certification—Terrence A. Duffy | |
31.2 | Section 302 Certification—John W. Pietrowicz | |
32.1 | Section 906 Certification | |
101.INS | XBRL Instance Document | |
101.SCH | XBRL Taxonomy Extension Schema Document | |
101.CAL | XBRL Taxonomy Extension Calculation Linkbase Document | |
101.DEF | XBRL Taxonomy Extension Definition Linkbase | |
101.LAB | XBRL Taxonomy Extension Label Linkbase Document | |
101.PRE | XBRL Taxonomy Extension Presentation Linkbase Document | |
CME Group Inc. (Registrant) | ||||||
Dated: August 2, 2017 | By: | /s/ John W. Pietrowicz | ||||
Chief Financial Officer & Senior Managing Director Finance |
Years of Vesting Service | Vested percentage |
Less than 2 | 0% |
2 | 20% |
3 | 40% |
4 | 60% |
5 or more | 100% |
1. | The deemed investment of each Frozen NYMEX Account as of the Transfer Date shall correspond to the deemed investment of such account immediately before the Transfer Date, as determined by applying the investment mapping rule adopted by the Plan Administrator. The “Transfer Date” is the date on which the assets from the NYMEX Plan’s rabbi trust are transferred to the rabbi trust for this Plan. |
2. | In all other respects the Frozen NYMEX Accounts shall be subject to the provisions of Section 3.5. |
1. | Frozen NYMEX Accounts shall be subject to Sections 4.3 through 4.7 of the Core Plan, but, except as provided below, shall not be subject to Section 4.1 or 4.2. |
3. | Payment of a Participant’s Frozen NYMEX Account shall be made, or shall commence, on the first day of the month that next follows the six-month anniversary of the Participant’s separation from service (the “Distribution Commencement Date”). Payment shall be made in a lump sum unless the election previously made by the Participant under the NYMEX Plan specified an installment payout, in which event payment shall be made in annual installments payable on the Distribution Commencement Date and anniversaries thereof. |
4. | No changes to a Participant’s distribution election shall be permitted; provided, however, that a Participant may make an election under Section 4.2(d) with respect to any Frozen NYMEX Account. |
Dated: August 2, 2017 | /s/ Terrence A. Duffy | |
Name: Terrence A. Duffy | ||
Title: Chief Executive Officer |
Dated: August 2, 2017 | /s/ John W. Pietrowicz | ||
Name: John W. Pietrowicz | |||
Title: Chief Financial Officer |
/s/ Terrence A. Duffy | |
Name: Terrence A. Duffy | |
Title: Chief Executive Officer |
/s/ John W. Pietrowicz | |
Name: John W. Pietrowicz | |
Title: Chief Financial Officer |
Document And Entity Information - shares |
6 Months Ended | |
---|---|---|
Jun. 30, 2017 |
Jul. 12, 2017 |
|
Document Type | 10-Q | |
Amendment Flag | false | |
Document Period End Date | Jun. 30, 2017 | |
Document Fiscal Period Focus | Q2 | |
Document Fiscal Year Focus | 2017 | |
Entity Registrant Name | CME GROUP INC. | |
Entity Central Index Key | 0001156375 | |
Current Fiscal Year End Date | --12-31 | |
Entity Filer Category | Large Accelerated Filer | |
Class A Common Stock [Member] | ||
Entity Common Stock, Shares Outstanding | 339,909,019 | |
Class B Common Stock, Class B-1 [Member] | ||
Entity Common Stock, Shares Outstanding | 625 | |
Class B Common Stock, Class B-2 [Member] | ||
Entity Common Stock, Shares Outstanding | 813 | |
Class B Common Stock, Class B-3 [Member] | ||
Entity Common Stock, Shares Outstanding | 1,287 | |
Class B Common Stock, Class B-4 [Member] | ||
Entity Common Stock, Shares Outstanding | 413 |
Consolidated Balance Sheets (Parenthetical) - USD ($) shares in Thousands, $ in Millions |
Jun. 30, 2017 |
Dec. 31, 2016 |
---|---|---|
Accounts receivable, allowance | $ 2.1 | $ 3.5 |
Restricted cash, current | 30.0 | 30.0 |
Accumulated depreciation and amortization, property | 631.8 | 597.2 |
Restricted cash, noncurrent | $ 22.1 | $ 61.7 |
Preferred Stock [Member] | ||
Preferred stock, par value (in dollars per share) | $ 0.01 | $ 0.01 |
Preferred stock, shares authorized (in shares) | 10,000 | 10,000 |
Preferred stock, shares issued (in shares) | 0 | 0 |
Preferred stock, shares outstanding (in shares) | 0 | 0 |
Class A Common Stock [Member] | ||
Common stock, par value (in dollars per share) | $ 0.01 | $ 0.01 |
Common stock, shares authorized (in shares) | 1,000,000 | 1,000,000 |
Common stock, shares issued (in shares) | 338,673 | 338,240 |
Common stock, shares outstanding (in shares) | 338,673 | 338,240 |
Class B Common Stock [Member] | ||
Common stock, par value (in dollars per share) | $ 0.01 | $ 0.01 |
Common stock, shares authorized (in shares) | 3 | 3 |
Common stock, shares issued (in shares) | 3 | 3 |
Common stock, shares outstanding (in shares) | 3 | 3 |
Consolidated Statements Of Income - USD ($) shares in Thousands, $ in Millions |
3 Months Ended | 6 Months Ended | ||
---|---|---|---|---|
Jun. 30, 2017 |
Jun. 30, 2016 |
Jun. 30, 2017 |
Jun. 30, 2016 |
|
Revenues | ||||
Clearing and transaction fees | $ 792.0 | $ 767.6 | $ 1,584.0 | $ 1,563.7 |
Market data and information services | 96.1 | 102.9 | 192.9 | 205.3 |
Access and communication fees | 24.9 | 22.3 | 49.2 | 43.9 |
Other | 11.6 | 13.6 | 27.8 | 27.7 |
Total Revenues | 924.6 | 906.4 | 1,853.9 | 1,840.6 |
Expenses | ||||
Compensation and benefits | 139.3 | 131.7 | 281.6 | 263.6 |
Communications | 6.0 | 6.3 | 12.3 | 13.0 |
Technology support services | 18.2 | 17.7 | 36.9 | 35.1 |
Professional fees and outside services | 28.6 | 39.0 | 57.2 | 70.7 |
Amortization of purchased intangibles | 24.0 | 24.0 | 48.0 | 48.0 |
Depreciation and amortization | 28.8 | 30.4 | 58.2 | 64.3 |
Occupancy and building operations | 19.2 | 24.4 | 39.3 | 45.7 |
Licensing and other fee agreements | 32.9 | 32.8 | 66.7 | 71.8 |
Other | 22.0 | 36.8 | 46.9 | 91.2 |
Total Expenses | 319.0 | 343.1 | 647.1 | 703.4 |
Operating Income | 605.6 | 563.3 | 1,206.8 | 1,137.2 |
Non-Operating Income (Expense) | ||||
Investment income | 112.4 | 17.2 | 251.3 | 34.8 |
Interest and other borrowing costs | (29.0) | (31.0) | (58.8) | (60.8) |
Equity in net earnings (losses) of unconsolidated subsidiaries | 31.8 | 27.0 | 62.6 | 53.8 |
Other non-operating income (expense) | (83.5) | (10.4) | (117.6) | (20.4) |
Total Non-Operating Income (Expense) | 31.7 | 2.8 | 137.5 | 7.4 |
Income before Income Taxes | 637.3 | 566.1 | 1,344.3 | 1,144.6 |
Income tax provision | 221.5 | 246.0 | 528.7 | 456.7 |
Net Income | $ 415.8 | $ 320.1 | $ 815.6 | $ 687.9 |
Earnings per Common Share: | ||||
Basic (in dollars per share) | $ 1.23 | $ 0.95 | $ 2.41 | $ 2.04 |
Diluted (in dollars per share) | $ 1.22 | $ 0.95 | $ 2.40 | $ 2.03 |
Weighted Average Number of Common Shares: | ||||
Basic (in shares) | 338,556 | 337,289 | 338,448 | 337,152 |
Diluted (in shares) | 340,020 | 338,706 | 339,974 | 338,599 |
Consolidated Statements of Comprehensive Income - USD ($) $ in Millions |
3 Months Ended | 6 Months Ended | ||
---|---|---|---|---|
Jun. 30, 2017 |
Jun. 30, 2016 |
Jun. 30, 2017 |
Jun. 30, 2016 |
|
Statement of Comprehensive Income [Abstract] | ||||
Net income | $ 415.8 | $ 320.1 | $ 815.6 | $ 687.9 |
Other comprehensive income (loss), net of tax: | ||||
Net unrealized holding gains (losses) arising during the period | 1.7 | 85.8 | 31.1 | 195.4 |
Reclassification of net (gains) losses on sales included in investment income | 0.0 | 0.0 | (87.1) | 0.0 |
Income tax benefit (expense) | (0.5) | 0.2 | 76.1 | (0.6) |
Investment securities, net | 1.2 | 86.0 | 20.1 | 194.8 |
Net change in defined benefit plans arising during the period | 0.0 | 0.0 | 0.4 | 3.1 |
Amortization of net actuarial (gains) losses included in compensation and benefits expense | 0.7 | 0.8 | 1.4 | 1.6 |
Income tax benefit (expense) | (0.3) | (0.3) | (0.7) | (1.8) |
Defined benefit plans, net | 0.4 | 0.5 | 1.1 | 2.9 |
Amortization of effective portion of net (gains) losses on cash flow hedges included in interest expense | (0.3) | (0.3) | (0.6) | (0.6) |
Income tax benefit (expense) | 0.1 | 0.1 | 0.2 | 0.2 |
Derivative investments, net | (0.2) | (0.2) | (0.4) | (0.4) |
Foreign currency translation adjustments | 1.1 | (1.7) | 9.5 | (5.0) |
Income tax benefit (expense) | 0.0 | 0.6 | (2.9) | 1.8 |
Foreign currency translation, net | 1.1 | (1.1) | 6.6 | (3.2) |
Other comprehensive income (loss), net of tax | 2.5 | 85.2 | 27.4 | 194.1 |
Comprehensive Income | $ 418.3 | $ 405.3 | $ 843.0 | $ 882.0 |
Consolidated Statements Of Shareholders' Equity - USD ($) shares in Thousands, $ in Millions |
Total |
Common Stock And Additional Paid-In Capital [Member] |
Retained Earnings [Member] |
Accumulated Other Comprehensive Income (Loss) [Member] |
Class A Common Stock [Member] |
Class A Common Stock [Member]
Common Stock And Additional Paid-In Capital [Member]
|
Class B Common Stock [Member] |
Class B Common Stock [Member]
Common Stock And Additional Paid-In Capital [Member]
|
---|---|---|---|---|---|---|---|---|
Balance (in shares) at Dec. 31, 2015 | 336,938 | 3 | ||||||
Balance at December 31, 2016 at Dec. 31, 2015 | $ 20,551.8 | $ 17,725.0 | $ 2,907.6 | $ (80.8) | ||||
Net income | 687.9 | 687.9 | ||||||
Other comprehensive income (loss), net of tax | 194.1 | 194.1 | ||||||
Dividends on common stock | (406.2) | (406.2) | ||||||
Exercise of stock options (in shares) | 292 | |||||||
Exercise of stock options | 20.0 | 20.0 | ||||||
Excess tax benefits from option exercises and restricted stock vesting | 3.4 | 3.4 | ||||||
Vesting of issued restricted Class A common stock, in shares | 181 | |||||||
Vesting of issued restricted Class A common stock | (10.5) | (10.5) | ||||||
Stock-based compensation | 30.0 | 30.0 | ||||||
Balance (in shares) at Jun. 30, 2016 | 337,448 | 3 | ||||||
Balance at June 30, 2017 at Jun. 30, 2016 | 21,073.9 | 17,771.3 | 3,189.3 | 113.3 | ||||
Stock Issued To Related Parties During Period Shares | 27 | |||||||
Stock Issued To Related Parties During Period Value | 2.5 | 2.5 | ||||||
Stock Issued During Period, Shares, Employee Stock Purchase Plans | 10 | |||||||
Stock Issued During Period, Value, Employee Stock Purchase Plan | 0.9 | 0.9 | ||||||
Balance (in shares) at Dec. 31, 2016 | 338,240 | 338,240 | 3 | 3 | ||||
Balance at December 31, 2016 at Dec. 31, 2016 | 20,340.7 | 17,830.3 | 2,524.5 | (14.1) | ||||
Net income | 815.6 | 815.6 | ||||||
Other comprehensive income (loss), net of tax | 27.4 | 27.4 | ||||||
Dividends on common stock | (448.2) | (448.2) | ||||||
New Accounting Pronouncement or Change in Accounting Principle, Effect of Adoption, Quantification | (0.8) | (1.4) | 2.2 | |||||
Exercise of stock options (in shares) | 242 | |||||||
Exercise of stock options | 22.9 | 22.9 | ||||||
Vesting of issued restricted Class A common stock, in shares | 162 | |||||||
Vesting of issued restricted Class A common stock | (12.1) | (12.1) | ||||||
Stock-based compensation | 27.7 | 27.7 | ||||||
Balance (in shares) at Jun. 30, 2017 | 338,673 | 338,673 | 3 | 3 | ||||
Balance at June 30, 2017 at Jun. 30, 2017 | 20,776.8 | 17,873.8 | $ 2,889.7 | $ 13.3 | ||||
Stock Issued To Related Parties During Period Shares | 20 | |||||||
Stock Issued To Related Parties During Period Value | 2.4 | 2.4 | ||||||
Stock Issued During Period, Shares, Employee Stock Purchase Plans | 9 | |||||||
Stock Issued During Period, Value, Employee Stock Purchase Plan | $ 1.2 | $ 1.2 |
Consolidated Statements Of Shareholders' Equity (Parenthetical) - $ / shares |
6 Months Ended | |
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Jun. 30, 2017 |
Jun. 30, 2016 |
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Statement of Stockholders' Equity [Abstract] | ||
Cash dividends on common stock, per share (in dollars per share) | $ 1.32 | $ 1.20 |
Consolidated Statements Of Cash Flows - USD ($) $ in Millions |
6 Months Ended | |
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Jun. 30, 2017 |
Jun. 30, 2016 |
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Cash Flows from Operating Activities | ||
Net income | $ 815.6 | $ 687.9 |
Adjustments to reconcile net income to net cash provided by operating activities: | ||
Stock-based compensation | 27.7 | 30.0 |
Amortization of purchased intangibles | 48.0 | 48.0 |
Depreciation and amortization | 58.2 | 64.3 |
Gain on sale of BM&FBOVESPA shares | (86.5) | 0.0 |
Reclassification from AOCI, Current Period, Tax | 87.8 | 0.0 |
Loss on datacenter | 0.0 | 27.1 |
Undistributed earnings, net of losses, of unconsolidated subsidiaries | (12.4) | (3.3) |
Deferred income taxes | 11.8 | 22.0 |
Change in: | ||
Accounts receivable | (50.6) | (71.1) |
Other current assets | (2.6) | 6.0 |
Other assets | 48.6 | (20.3) |
Accounts payable | (0.7) | 6.8 |
Income taxes payable | (98.6) | (12.8) |
Other current liabilities | (25.5) | (30.8) |
Other liabilities | 2.6 | (5.3) |
Other | (0.4) | 5.2 |
Net Cash Provided by Operating Activities | 823.0 | 753.7 |
Cash Flows from Investing Activities | ||
Proceeds from maturities of available-for-sale marketable securities | 1.2 | 36.4 |
Purchases of available-for-sale marketable securities | (0.5) | (40.3) |
Purchases of available-for-sale marketable securities | (37.6) | (39.6) |
Investments in business ventures | (2.3) | (3.8) |
Proceeds from sale of BM&FBOVESPA shares | 244.0 | 0.0 |
Net Cash Provided by (Used in) Investing Activities | 204.8 | (47.3) |
Cash Flows from Financing Activities | ||
Cash dividends | (1,546.1) | (1,381.7) |
Proceeds from finance lease obligation | 0.0 | 130.0 |
Proceeds from exercise of stock options | 22.9 | 20.0 |
Excess tax benefits related to employee option exercises and restricted stock vesting | 0.0 | 3.4 |
Business Combination, Contingent Consideration Arrangements, Change in Amount of Contingent Consideration, Liability | (12.1) | (10.5) |
Proceeds from (Payments for) Other Financing Activities | 1.2 | 0.9 |
Net Cash Used in Financing Activities | (1,534.1) | (1,237.9) |
Net change in cash and cash equivalents | (506.3) | (531.5) |
Cash and cash equivalents, beginning of period | 1,868.6 | 1,692.6 |
Cash and Cash Equivalents, End of Period | 1,362.3 | 1,161.1 |
Supplemental Disclosure of Cash Flow Information | ||
Income taxes paid | 476.2 | 410.3 |
Interest paid | $ 42.4 | $ 42.4 |
Basis Of Presentation |
6 Months Ended |
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Jun. 30, 2017 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
Basis Of Presentation | Basis of Presentation The consolidated financial statements consist of CME Group Inc. (CME Group) and its subsidiaries (collectively, the company), including Chicago Mercantile Exchange Inc. (CME), Board of Trade of the City of Chicago, Inc. (CBOT), New York Mercantile Exchange, Inc. (NYMEX), Commodity Exchange, Inc. (COMEX), CME Clearing Europe Limited (CMECE) and CME Europe Limited (CME Europe). CME, CBOT, NYMEX, COMEX, CMECE and CME Europe and their subsidiaries are referred to collectively as “the exchange” in the notes to the consolidated financial statements. The clearing houses include CME Clearing, which is the U.S. clearing house and a division of CME, and CMECE. The accompanying interim consolidated financial statements have been prepared by CME Group without audit. Certain notes and other information normally included in financial statements prepared in accordance with accounting principles generally accepted in the United States have been condensed or omitted. In the opinion of management, the accompanying consolidated financial statements include all normal recurring adjustments considered necessary to present fairly the financial position of the company at June 30, 2017 and December 31, 2016 and the results of operations and cash flows for the periods indicated. Quarterly results are not necessarily indicative of results for any subsequent period. The accompanying consolidated financial statements should be read in conjunction with the consolidated financial statements and notes thereto in CME Group’s Annual Report on Form 10-K for the year ended December 31, 2016, filed with the Securities and Exchange Commission (SEC) on February 27, 2017. |
Accounting Policies (Notes) |
6 Months Ended |
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Jun. 30, 2017 | |
Accounting Changes and Error Corrections [Abstract] | |
Accounting Changes [Text Block] | Accounting Policies Newly Adopted Accounting Policies. In March 2016, the Financial Accounting Standards Board (FASB) issued a standards update that changes certain aspects of accounting for share-based payments to employees. The guidance requires all income tax effects of awards to be recognized in the income statement when the awards vest or are settled. It also allows an employer to repurchase more of an employee’s shares for tax withholding purposes without triggering liability accounting and to make a policy election to account for forfeitures as they occur. The company implemented this standards update as of January 1, 2017 on a prospective basis. Starting in the first quarter of 2017, all income tax effects of awards are recognized in the income statement as part of income tax expense when the awards vest or are settled. During the first six months of 2017, the company recognized a net tax benefit of $3.7 million related to the income tax effects of awards as part of income tax expense. The company also adopted a policy to recognize forfeitures as compensation expense as the forfeitures occur. Previously, the company estimated the number of awards that would be forfeited and recognized the estimate as part of compensation expense. This policy change was adopted on a modified retrospective basis with a cumulative-effect adjustment to additional paid in capital and retained earnings as of January 1, 2017. The excess tax benefits are now reported as an operating activity within the change in income taxes payable instead of a financing activity on the statements of cash flows. Prior periods have not been adjusted for this change. The employee taxes paid by the company when the company withholds shares for tax-withholding purposes when restricted stock awards vest are now classified as a financing activity on the statements of cash flows. Prior periods have been adjusted for this change. Recently Issued Accounting Pronouncements. In May 2014, the FASB issued a new standard on revenue recognition that replaces numerous, industry-specific requirements and converges U.S. accounting standards with International Financial Reporting Standards. The new standard introduces a framework for recognizing revenue that focuses on the transfer of control rather than risks and rewards. The new standard also requires significant additional disclosures about the nature, amount, timing and uncertainty of revenue and cash flows arising from customer contracts, including significant judgments, changes in judgments and assets recognized from costs incurred to obtain or fulfill a contract. The application of the new standard becomes effective in the first annual period beginning after December 15, 2017, with early adoption permitted. This guidance may be adopted using one of two transition methods: retrospectively to each prior reporting period presented (full retrospective method) or retrospectively with the cumulative effect of initially applying the guidance recognized at the date of initial adoption (the modified retrospective approach). Management is on course to comply with the guidance by the effective date. The project team has completed the contract review phase. Based on their initial assessment, management expects the financial statement impact related to clearing and transaction fees to be immaterial based on current customer trading patterns. Management expects to adopt the guidance based on the modified retrospective approach. The impact related to the remaining revenue streams and the impact the guidance will have on policies, processes, controls and disclosures will be finalized by the third quarter of 2017. In January 2016, the FASB issued a standards update that will change how entities measure certain equity investments. It does not change the guidance for classifying and measuring investments in debt securities and loans. Under the new guidance, entities will have to measure many equity investments at fair value and recognize any changes in fair value in net income, unless the investments qualify for a practicability exception. Entities will no longer be able to recognize unrealized holding gains and losses on equity securities classified today as available for sale in other comprehensive income. The update is effective for reporting periods beginning after December 15, 2017. Early adoption is permitted. The company is still in the process of evaluating the impact of this update on the consolidated financial statements. In February 2016, the FASB issued a standards update that requires lessees to recognize on the balance sheet the assets and liabilities associated with the rights and obligations created by those leases. The guidance for lessors is largely unchanged from current U.S. GAAP. Under the new guidance, a lessee will be required to recognize assets and liabilities for leases with terms of more than 12 months. Consistent with current U.S. GAAP, the recognition, measurement, and presentation of expenses and cash flows arising from a lease by a lessee primarily will depend on its classification as a finance or operating lease. The update is effective for reporting periods beginning after December 15, 2018. Early adoption is permitted. The company is in the process of evaluating the impact of this update on the consolidated financial statements. In June 2016, the FASB issued guidance that changes how credit losses are measured for most financial assets measured at amortized cost and certain other instruments. The standard requires an entity to estimate its lifetime expected credit loss and record an allowance, that when deducted from the amortized cost basis of the financial asset, presents the net amount expected to be collected on the financial asset. This forward-looking expected loss model generally will result in the earlier recognition of allowances for losses. The standard also amends the impairment model for available for sale debt securities and requires entities to determine whether all or a portion of the unrealized loss on an available for sale debt security is a credit loss. Severity and duration of the unrealized loss are no longer permissible factors in concluding whether a credit loss exists. Entities will recognize improvements to estimated credit losses on available for sale debt securities immediately in earnings rather than as interest income over time. The standard is effective for reporting periods beginning after December 15, 2019. The standard’s provisions must be applied as a cumulative-effect adjustment to retained earnings as of the beginning of the first reporting period in which the guidance is effective. Early adoption is permitted for reporting periods beginning in 2019. The company is in the process of evaluating the impact of this standard on the consolidated financial statements. In November 2016, the FASB issued a standards update aimed at promoting consistency in the classification and presentation of changes in restricted cash on the statement of cash flows. Previously, there was diversity in practice as to whether the change in restricted cash was included in the reconciliation of beginning-of-period and end-of-period total cash amounts shown on the statement of cash flows. The amendments require that a statement of cash flows explain the change during the period in the total of cash, cash equivalents, as well as amounts described as restricted cash on the balance sheet. This guidance is effective for fiscal years beginning after December 15, 2017 and interim periods within those fiscal years. Early adoption is permitted. The amendments must be applied using a retrospective transition method to each period presented. The company is in the process of evaluating the impact of this update on our consolidated financial statements. In March 2017, the FASB issued a standards update that will change certain presentation and disclosure requirements for employers that sponsor defined benefit pension as well as other postretirement benefit plans. Under current accounting rules, defined benefit pension cost and postretirement benefit cost (net benefit cost) comprise several components that reflect different aspects of an employer’s financial arrangements as well as the cost of benefits provided to the employees. Those components are aggregated for reporting in the financial statements within compensation and benefits on the income statement. The amendments in the update require that the service cost component is reported in the same line as other compensation costs, whereas the other components of net benefit cost are required to be presented in the income statement separately from the service cost component. The amendments are effective for reporting periods beginning after December 15, 2017. Early adoption is permitted as of the beginning of an annual period for which financial statements have not been issued. The company is in the process of evaluating the impact of this update on the consolidated financial statements. |
Performance Bonds and Guaranty Fund Contributions (Notes) |
6 Months Ended |
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Jun. 30, 2017 | |
Performance Bonds and Guaranty Fund Contributions [Abstract] | |
Performance Bonds and Guaranty Fund Contributions | Performance Bonds and Guaranty Fund Contributions Performance Bonds and Guaranty Fund Contributions. CME has been designated as a systemically important financial market utility by the Financial Stability Oversight Council and is authorized to establish and maintain a cash account at the Federal Reserve Bank of Chicago. CME has received approval to establish this account at the Federal Reserve Bank of Chicago for clearing members' cash balances and the account is now operational. At June 30, 2017, CME maintained $38.6 billion within the cash account at the Federal Reserve Bank of Chicago. Clearing House Contract Settlement. CME Clearing and CMECE mark-to-market open positions for all futures and options contracts twice a day (once a day for CME's cleared-only credit default swap and interest rate swap contracts). Based on values derived from the mark-to-market process, CME Clearing and CMECE require payments from clearing firms whose positions have lost value and make payments to clearing firms whose positions have gained value. Under the extremely unlikely scenario of simultaneous default by every clearing firm who has open positions with unrealized losses, the maximum exposure related to positions other than cleared-only credit default and interest rate swap contracts would be one half day of changes in fair value of all open positions, before considering the clearing houses' ability to access defaulting clearing firms' collateral deposits. For CME's cleared-only credit default swap and interest rate swap contracts, the maximum exposure related to CME Clearing's guarantee would be one full day of changes in fair value of all open positions, before considering CME Clearing's ability to access defaulting clearing firms' collateral. During the first six months of 2017, CME Clearing and CMECE transferred an average of approximately $2.4 billion a day through their clearing systems for settlement from clearing firms whose positions had lost value to clearing firms whose positions had gained value. CME Clearing and CMECE reduce their guarantee exposure through initial and maintenance performance bond requirements and mandatory guaranty fund contributions. The company believes that its guarantee liability is immaterial and therefore has not recorded any liability at June 30, 2017. |
Intangible Assets And Goodwill |
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Intangible Assets And Goodwill | Intangible Assets Intangible assets consisted of the following at June 30, 2017 and December 31, 2016:
Total amortization expense for intangible assets was $24.0 million for the quarters ended June 30, 2017 and 2016, respectively. Total amortization expense for intangible assets was $48.0 million for the six months ended June 30, 2017 and 2016, As of June 30, 2017, the future estimated amortization expense related to amortizable intangible assets is expected to be as follows:
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Long-Term Investments (Notes) |
6 Months Ended |
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Jun. 30, 2017 | |
Investments, All Other Investments [Abstract] | |
Investment [Text Block] | Long-Term Investments In January 2017, the company sold its remaining 43.4 million shares of BM&FBOVESPA S.A. and recognized a net gain of $86.5 million, net of transaction costs, within investment income on the consolidated statements of income. In conjunction with the final sale of shares, the company reclassified income tax expense of $87.8 million from accumulated other comprehensive income to the income tax provision. |
Debt |
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Debt Disclosure [Abstract] | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Debt | Debt Long-term debt consisted of the following at June 30, 2017 and December 31, 2016:
Long-term debt maturities, at par value, were as follows at June 30, 2017:
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Contingencies |
6 Months Ended |
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Jun. 30, 2017 | |
Loss Contingency [Abstract] | |
Contingencies | Contingencies Legal and Regulatory Matters. In 2013, the CFTC filed suit against NYMEX and two former employees alleging disclosure of confidential customer information in violation of the Commodity Exchange Act. NYMEX’s motion to dismiss was denied in 2014. Based on its investigation to date and advice from legal counsel, the company believes that it has strong factual and legal defenses to the claim. In 2003, the U.S. Futures Exchange, L.L.C. (Eurex U.S.) and U.S. Exchange Holdings, Inc. filed suit in federal court alleging that CBOT and CME violated the antitrust laws and tortuously interfered with the business relationship and contract between Eurex U.S. and The Clearing Corporation. While the complaint requests treble damages, the plaintiffs have not specified the amount of damages sought. After years of relative inactivity, the case was recently reassigned to a new judge and a trial date was set for April 9, 2018. Based on its investigation to date and advice from legal counsel, the company believes that it has strong factual and legal defenses to the claim. Given the uncertainty of factors which may potentially impact the resolution of the matter, at this time the company is unable to estimate the reasonably possible loss or range of reasonably possible losses in the unlikely event it were found to be liable at trial in the matter. In the normal course of business, the company discusses matters with its regulators raised during regulatory examinations or otherwise subject to their inquiry and oversight. These matters could result in censures, fines, penalties or other sanctions. Management believes the outcome of any resulting actions will not have a material impact on its consolidated financial position or results of operations. However, the company is unable to predict the outcome or the timing of the ultimate resolution of these matters, or the potential fines, penalties or injunctive or other equitable relief, if any, that may result from these matters. In addition, the company is a defendant in, and has potential for, various other legal proceedings arising from its regular business activities. While the ultimate results of such proceedings against the company cannot be predicted with certainty, the company believes that the resolution of any of these matters on an individual or aggregate basis will not have a material impact on its consolidated financial position or results of operations. No accrual was required for legal and regulatory matters that were probable and estimable as of June 30, 2017 and December 31, 2016. Intellectual Property Indemnifications. Certain agreements with customers and other third parties related to accessing the CME Group platforms, utilizing market data services and licensing CME SPAN software may contain indemnifications from intellectual property claims that may be made against them as a result of their use of the applicable products and/or services. The potential future claims relating to these indemnifications cannot be estimated and therefore no liability has been recorded. |
Guarantees |
6 Months Ended |
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Jun. 30, 2017 | |
Guarantees [Abstract] | |
Guarantees | Guarantees Mutual Offset Agreement. CME and Singapore Exchange Limited (SGX) have a mutual offset agreement with a current term through October 2017. This agreement enables market participants to open a futures position on one exchange and liquidate it on the other. The term of the agreement will automatically renew for a one-year period unless either party provides advance notice of their intent to terminate. CME must maintain U.S. Treasury securities or irrevocable, standby letters of credit as collateral for this agreement. At June 30, 2017, CME was contingently liable to SGX on letters of credit totaling $285.0 million. Regardless of the collateral, CME guarantees all cleared transactions submitted through SGX and would initiate procedures designed to satisfy these financial obligations in the event of a default, such as the use of performance bonds and guaranty fund contributions of the defaulting clearing firm. The company believes that its guarantee liability is immaterial and therefore has not recorded any liability at June 30, 2017. Family Farmer and Rancher Protection Fund. In 2012, the company established the Family Farmer and Rancher Protection Fund (the Fund). The Fund is designed to provide payments, up to certain maximum levels, to family farmers, ranchers and other agricultural industry participants who use the company's agricultural commodity products and who suffer losses to their segregated account balances due to their CME clearing member becoming insolvent. Under the terms of the Fund, farmers and ranchers are eligible for up to $25,000 per participant. Farming and ranching cooperatives are eligible for up to $100,000 per cooperative. The Fund was established with a maximum of $100.0 million available for distribution to participants. Since its establishment, the Fund has made payments of approximately $2.0 million, which leaves $98.0 million available for future claims. If, at any time, payments due to participants were to exceed the amount remaining in the fund, payments would be pro-rated. Clearing members and customers must register with the company in advance and provide certain documentation in order to substantiate their eligibility. The company believes that its guarantee liability is immaterial and therefore has not recorded any liability at June 30, 2017. |
Accumulated Other Comprehensive Income (Notes) |
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Accumulated Other Comprehensive Income (Loss), Net of Tax [Abstract] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Schedule of Accumulated Other Comprehensive Income (Loss) | Accumulated Other Comprehensive Income (Loss) The following tables present changes in the accumulated balances for each component of other comprehensive income (loss), including current period other comprehensive income (loss) and reclassifications out of accumulated other comprehensive income (loss):
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Fair Value Measurements |
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Jun. 30, 2017 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Fair Value, Assets, Liabilities and Stockholders' Equity Measured on Recurring Basis [Abstract] | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Fair Value Measurements | Fair Value Measurements The company uses a three-level classification hierarchy of fair value measurements for disclosure purposes.
Level 1 assets generally include investments in publicly traded mutual funds, equity securities and corporate debt securities with quoted market prices. In general, the company uses quoted prices in active markets for identical assets to determine the fair value of marketable securities and equity investments. If quoted prices are not available to determine fair value, the company uses other inputs that are directly observable. Assets included in level 2 generally consist of asset-backed securities. Asset-backed securities were measured at fair value based on matrix pricing using prices of similar securities with similar inputs such as maturity dates, interest rates and credit ratings. Financial assets recorded in the consolidated balance sheet as of June 30, 2017 were classified in their entirety based on the lowest level of input that was significant to each asset's fair value measurement. There were no liabilities that were measured at fair value as of June 30, 2017. The following tables present financial instruments measured at fair value on a recurring basis:
There were no transfers of assets or liabilities between level 1, level 2 and level 3 during the first six months of 2017. There were no level 3 assets or liabilities valued at fair value on a recurring or non-recurring basis during the first six months of 2017. The following presents the estimated fair values of long-term debt notes, which are carried at amortized cost on the consolidated balance sheets. The fair values, which are classified as level 2 under the fair value hierarchy, were estimated using quoted market prices. At June 30, 2017, the fair values were as follows:
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Earnings Per Share |
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Earnings Per Share [Abstract] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Earnings Per Share | Earnings Per Share Basic earnings per share is computed by dividing net income attributable to the company by the weighted average number of shares of all classes of CME Group common stock outstanding for each reporting period. Diluted earnings per share reflects the increase in shares using the treasury stock method to reflect the impact of an equivalent number of shares of common stock if stock options were exercised and restricted stock awards were converted into common stock. Anti-dilutive stock options, restricted stock and performance share awards were as follows for the periods presented:
The following table presents the earnings per share calculation for the periods presented:
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Subsequent Events |
6 Months Ended |
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Jun. 30, 2017 | |
Subsequent Events [Abstract] | |
Subsequent Events | Subsequent Events The company has evaluated subsequent events through the date the financial statements were issued and has determined that there are no subsequent events that require disclosure. |
Intangible Assets And Goodwill (Tables) |
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Jun. 30, 2017 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Goodwill and Intangible Assets Disclosure [Abstract] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Components of intangible assets | Intangible assets consisted of the following at June 30, 2017 and December 31, 2016:
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Future estimated amortization expense | As of June 30, 2017, the future estimated amortization expense related to amortizable intangible assets is expected to be as follows:
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Debt (Tables) |
6 Months Ended | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
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Jun. 30, 2017 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Debt Disclosure [Abstract] | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Schedule Of Short-Term And Long-Term Debt | Long-term debt consisted of the following at June 30, 2017 and December 31, 2016:
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Long-term debt maturities at par value | Long-term debt maturities, at par value, were as follows at June 30, 2017:
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Accumulated Other Comprehensive Income (Tables) |
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Accumulated Other Comprehensive Income (Loss), Net of Tax [Abstract] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Schedule of Accumulated Other Comprehensive Income (Loss) | The following tables present changes in the accumulated balances for each component of other comprehensive income (loss), including current period other comprehensive income (loss) and reclassifications out of accumulated other comprehensive income (loss):
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Fair Value Measurements (Tables) |
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Fair Value, Assets, Liabilities and Stockholders' Equity Measured on Recurring Basis [Abstract] | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Financial instruments measured at fair value on a recurring basis | The following tables present financial instruments measured at fair value on a recurring basis:
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Fair value of Debt Instruments | At June 30, 2017, the fair values were as follows:
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Earnings Per Share (Tables) |
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Jun. 30, 2017 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Earnings Per Share [Abstract] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Schedule of Antidilutive Securities Excluded from Computation of Earnings Per Share | Anti-dilutive stock options, restricted stock and performance share awards were as follows for the periods presented:
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Basic And Diluted Earnings Per Share | The following table presents the earnings per share calculation for the periods presented:
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Accounting Policies (Details) $ in Millions |
6 Months Ended |
---|---|
Jun. 30, 2017
USD ($)
| |
Accounting Changes and Error Corrections [Abstract] | |
Excess Tax Benefit from Share-based Compensation, Operating Activities | $ 3.7 |
Performance Bonds and Guaranty Fund Contributions (Details) $ in Billions |
6 Months Ended |
---|---|
Jun. 30, 2017
USD ($)
| |
Guarantor Obligations [Line Items] | |
Average Daily Clearing Settlement | $ 2.4 |
Federal Reserve Reinvestment [Member] | |
Guarantor Obligations [Line Items] | |
Cash Equivalents, at Carrying Value | $ 38.6 |
Intangible Assets And Goodwill (Narrative) (Details) - USD ($) $ in Millions |
3 Months Ended | 6 Months Ended | ||
---|---|---|---|---|
Jun. 30, 2017 |
Jun. 30, 2016 |
Jun. 30, 2017 |
Jun. 30, 2016 |
|
Goodwill and Intangible Assets Disclosure [Abstract] | ||||
Amortization of purchased intangibles | $ 24.0 | $ 24.0 | $ 48.0 | $ 48.0 |
Intangible Assets And Goodwill (Components Of Intangible Assets) (Details) - USD ($) $ in Millions |
Jun. 30, 2017 |
Dec. 31, 2016 |
||
---|---|---|---|---|
Finite-Lived Intangible Assets [Line Items] | ||||
Indefinite-lived Intangible Assets | $ 2,393.8 | $ 2,441.8 | ||
Other Indefinite-lived Intangible Assets | [1] | 17,175.3 | 17,175.3 | |
Trade Names [Member] | ||||
Finite-Lived Intangible Assets [Line Items] | ||||
Indefinite-lived Intangible Assets | 450.0 | 450.0 | ||
Clearing Firm, Market Data And Other Customer Relationships [Member] | ||||
Finite-Lived Intangible Assets [Line Items] | ||||
Finite-Lived Intangible Assets, Gross | 2,838.8 | 2,838.8 | ||
Accumulated amortization | (896.4) | (849.2) | ||
Net book value | 1,942.4 | 1,989.6 | ||
Technology-Related Intellectual Property [Member] | ||||
Finite-Lived Intangible Assets [Line Items] | ||||
Finite-Lived Intangible Assets, Gross | 29.4 | 29.4 | ||
Accumulated amortization | (29.3) | (28.6) | ||
Net book value | 0.1 | 0.8 | ||
Other Intangible Assets [Member] | ||||
Finite-Lived Intangible Assets [Line Items] | ||||
Finite-Lived Intangible Assets, Gross | 2.4 | 2.4 | ||
Accumulated amortization | (1.1) | (1.0) | ||
Net book value | 1.3 | 1.4 | ||
Total Amortizable Intangible Assets [Member] | ||||
Finite-Lived Intangible Assets [Line Items] | ||||
Finite-Lived Intangible Assets, Gross | 2,870.6 | 2,870.6 | ||
Accumulated amortization | (926.8) | (878.8) | ||
Net book value | $ 1,943.8 | $ 1,991.8 | ||
|
Intangible Assets And Goodwill (Future Estimated Amortization Expense) (Details) $ in Millions |
Jun. 30, 2017
USD ($)
|
---|---|
Goodwill and Intangible Assets Disclosure [Abstract] | |
Remainder of 2017 | $ 47.5 |
2018 | 94.7 |
2019 | 94.7 |
2020 | 94.7 |
2021 | 94.7 |
2022 | 94.7 |
Thereafter | $ 1,422.8 |
Long-Term Investments (Details) - USD ($) shares in Millions, $ in Millions |
6 Months Ended | |
---|---|---|
Jun. 30, 2017 |
Jun. 30, 2016 |
|
Investments, All Other Investments [Abstract] | ||
Investment shares sold | 43.4 | |
Gain on Sale of Investments | $ 86.5 | |
Reclassification from AOCI, Current Period, Tax | $ 87.8 | $ 0.0 |
Debt (Schedule Of Short-Term And Long-Term Debt) (Details) - USD ($) $ in Millions |
1 Months Ended | 6 Months Ended | |||
---|---|---|---|---|---|
Mar. 31, 2015 |
Sep. 30, 2013 |
Sep. 30, 2012 |
Jun. 30, 2017 |
Dec. 31, 2016 |
|
Debt Instrument [Line Items] | |||||
Long-term debt | $ 2,232.1 | $ 2,231.2 | |||
Forward starting interest rate swap agreement fixed rate | 3.11% | 4.73% | 3.32% | ||
$750.0 million fixed rate notes due September 2022, stated rate of 3.00% [Member] | |||||
Debt Instrument [Line Items] | |||||
Long-term debt | 745.6 | 745.2 | |||
Debt Instrument, Face Amount | $ 750.0 | ||||
Debt Instrument, Maturity Date | Sep. 01, 2022 | ||||
Debt Instrument, Interest Rate, Stated Percentage | 3.00% | ||||
$750.0 million fixed rate notes due March 2025, stated rate of 3.00% [Member] | |||||
Debt Instrument [Line Items] | |||||
Long-term debt | $ 744.5 | 744.2 | |||
Debt Instrument, Face Amount | $ 750.0 | ||||
Debt Instrument, Maturity Date | Mar. 01, 2025 | ||||
Debt Instrument, Interest Rate, Stated Percentage | 3.00% | ||||
$750.0 million fixed rate notes due September 2043, stated rate of 5.30% [Member] | |||||
Debt Instrument [Line Items] | |||||
Long-term debt | $ 742.0 | $ 741.8 | |||
Debt Instrument, Face Amount | $ 750.0 | ||||
Debt Instrument, Maturity Date | Sep. 01, 2043 | ||||
Debt Instrument, Interest Rate, Stated Percentage | 5.30% |
Debt (Schedule Of Maturities Of Long-Term Debt) (Details) $ in Millions |
Jun. 30, 2017
USD ($)
|
---|---|
Debt Disclosure [Abstract] | |
2018 | $ 0.0 |
2019 | 0.0 |
2020 | 0.0 |
2021 | 0.0 |
2022 | 750.0 |
Thereafter | $ 1,500.0 |
Guarantees (Details) |
6 Months Ended |
---|---|
Jun. 30, 2017
USD ($)
years
| |
Guarantor Obligations [Line Items] | |
Agreement automatic renewal period (in years) | years | 1 |
Contingent liability to SGX, amount of irrevocable letters of credit | $ 285,000,000 |
Family Farmer and Ranchers Protection Fund [Member] | |
Guarantor Obligations [Line Items] | |
Payment per participant | 25,000 |
Payment per cooperative | 100,000 |
FutureLosses | 100,000,000 |
Payments under Guarantee | 2,000,000 |
Guarantor Obligations, Maximum Exposure, Undiscounted | $ 98,000,000 |
Accumulated Other Comprehensive Income (Details) - USD ($) $ in Millions |
3 Months Ended | 6 Months Ended | ||
---|---|---|---|---|
Jun. 30, 2017 |
Jun. 30, 2016 |
Jun. 30, 2017 |
Jun. 30, 2016 |
|
Balance at December 31, 2016 | $ 20,340.7 | $ 20,551.8 | ||
Other comprehensive income (loss), net of tax | $ 2.5 | $ 85.2 | 27.4 | 194.1 |
Balance at June 30, 2017 | 20,776.8 | 21,073.9 | 20,776.8 | 21,073.9 |
Accumulated Other Comprehensive Income (Loss) [Member] | ||||
Balance at December 31, 2016 | (14.1) | (80.8) | ||
Comprehensive Income Before Reclassification Adjustments | 41.0 | 193.5 | ||
Reclassification from Accumulated Other Comprehensive Income, Current Period, before Tax | (86.3) | 1.0 | ||
Other Comprehensive Income (Loss), Net of Tax | 72.7 | (0.4) | ||
Other comprehensive income (loss), net of tax | 27.4 | 194.1 | ||
Balance at June 30, 2017 | 13.3 | 113.3 | 13.3 | 113.3 |
Foreign Currency Translation [Member] | ||||
Balance at December 31, 2016 | (15.7) | (8.8) | ||
Comprehensive Income Before Reclassification Adjustments | 9.5 | (5.0) | ||
Reclassification from Accumulated Other Comprehensive Income, Current Period, before Tax | 0.0 | 0.0 | ||
Other Comprehensive Income (Loss), Net of Tax | (2.9) | 1.8 | ||
Other comprehensive income (loss), net of tax | 6.6 | (3.2) | ||
Balance at June 30, 2017 | (9.1) | (12.0) | (9.1) | (12.0) |
Derivative Investments [Member] | ||||
Balance at December 31, 2016 | 58.9 | 59.6 | ||
Comprehensive Income Before Reclassification Adjustments | 0.0 | 0.0 | ||
Reclassification from Accumulated Other Comprehensive Income, Current Period, before Tax | (0.6) | (0.6) | ||
Other Comprehensive Income (Loss), Net of Tax | 0.2 | 0.2 | ||
Other comprehensive income (loss), net of tax | (0.4) | (0.4) | ||
Balance at June 30, 2017 | 58.5 | 59.2 | 58.5 | 59.2 |
Defined Benefit Plans [Member] | ||||
Balance at December 31, 2016 | (37.8) | (36.6) | ||
Comprehensive Income Before Reclassification Adjustments | 0.4 | 3.1 | ||
Reclassification from Accumulated Other Comprehensive Income, Current Period, before Tax | 1.4 | 1.6 | ||
Other Comprehensive Income (Loss), Net of Tax | (0.7) | (1.8) | ||
Other comprehensive income (loss), net of tax | 1.1 | 2.9 | ||
Balance at June 30, 2017 | (36.7) | (33.7) | (36.7) | (33.7) |
Investment Securities [Member] | ||||
Balance at December 31, 2016 | (19.5) | (95.0) | ||
Comprehensive Income Before Reclassification Adjustments | 31.1 | 195.4 | ||
Reclassification from Accumulated Other Comprehensive Income, Current Period, before Tax | (87.1) | 0.0 | ||
Other Comprehensive Income (Loss), Net of Tax | 76.1 | (0.6) | ||
Other comprehensive income (loss), net of tax | 20.1 | 194.8 | ||
Balance at June 30, 2017 | $ 0.6 | $ 99.8 | $ 0.6 | $ 99.8 |
Fair Value Measurements (Financial Instruments Measured At Fair Value On A Recurring Basis) (Details) - Fair Value, Measurements, Recurring [Member] $ in Millions |
Jun. 30, 2017
USD ($)
|
---|---|
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | |
Marketable Securities | $ 84.3 |
Investment Owned, at Fair Value | 20.7 |
Total Assets at Fair Value | 105.0 |
Corporate Debt Securities [Member] | |
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | |
Available-for-sale Securities at Fair Value | 20.0 |
Exchange Traded Funds [Member] | |
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | |
Trading Securities at Fair Value | 63.9 |
Equity Securities [Member] | |
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | |
Available-for-sale Securities at Fair Value | 0.1 |
Asset Backed Securities [Member] | |
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | |
Available-for-sale Securities at Fair Value | 0.3 |
Fair Value, Inputs, Level 1 [Member] | |
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | |
Marketable Securities | 84.0 |
Investment Owned, at Fair Value | 20.7 |
Total Assets at Fair Value | 104.7 |
Fair Value, Inputs, Level 1 [Member] | Corporate Debt Securities [Member] | |
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | |
Available-for-sale Securities at Fair Value | 20.0 |
Fair Value, Inputs, Level 1 [Member] | Exchange Traded Funds [Member] | |
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | |
Trading Securities at Fair Value | 63.9 |
Fair Value, Inputs, Level 1 [Member] | Equity Securities [Member] | |
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | |
Available-for-sale Securities at Fair Value | 0.1 |
Fair Value, Inputs, Level 1 [Member] | Asset Backed Securities [Member] | |
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | |
Available-for-sale Securities at Fair Value | 0.0 |
Fair Value, Inputs, Level 2 [Member] | |
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | |
Marketable Securities | 0.3 |
Investment Owned, at Fair Value | 0.0 |
Total Assets at Fair Value | 0.3 |
Fair Value, Inputs, Level 2 [Member] | Corporate Debt Securities [Member] | |
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | |
Available-for-sale Securities at Fair Value | 0.0 |
Fair Value, Inputs, Level 2 [Member] | Exchange Traded Funds [Member] | |
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | |
Trading Securities at Fair Value | 0.0 |
Fair Value, Inputs, Level 2 [Member] | Equity Securities [Member] | |
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | |
Available-for-sale Securities at Fair Value | 0.0 |
Fair Value, Inputs, Level 2 [Member] | Asset Backed Securities [Member] | |
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | |
Available-for-sale Securities at Fair Value | 0.3 |
Fair Value, Inputs, Level 3 [Member] | |
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | |
Marketable Securities | 0.0 |
Investment Owned, at Fair Value | 0.0 |
Total Assets at Fair Value | 0.0 |
Fair Value, Inputs, Level 3 [Member] | Corporate Debt Securities [Member] | |
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | |
Available-for-sale Securities at Fair Value | 0.0 |
Fair Value, Inputs, Level 3 [Member] | Exchange Traded Funds [Member] | |
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | |
Trading Securities at Fair Value | 0.0 |
Fair Value, Inputs, Level 3 [Member] | Equity Securities [Member] | |
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | |
Available-for-sale Securities at Fair Value | 0.0 |
Fair Value, Inputs, Level 3 [Member] | Asset Backed Securities [Member] | |
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | |
Available-for-sale Securities at Fair Value | $ 0.0 |
Fair Value Measurements (Estimated Fair Values of Long-Term Debt) (Details) $ in Millions |
6 Months Ended |
---|---|
Jun. 30, 2017
USD ($)
| |
$750.0 million fixed rate notes due September 2022, stated rate of 3.00% [Member] | |
Debt Instrument, Face Amount | $ 750.0 |
Debt Instrument, Maturity Date | Sep. 01, 2022 |
Debt Instrument, Interest Rate, Stated Percentage | 3.00% |
$750.0 million fixed rate notes due March 2025, stated rate of 3.00% [Member] | |
Debt Instrument, Face Amount | $ 750.0 |
Debt Instrument, Maturity Date | Mar. 01, 2025 |
Debt Instrument, Interest Rate, Stated Percentage | 3.00% |
$750.0 million fixed rate notes due September 2043, stated rate of 5.30% [Member] | |
Debt Instrument, Face Amount | $ 750.0 |
Debt Instrument, Maturity Date | Sep. 01, 2043 |
Debt Instrument, Interest Rate, Stated Percentage | 5.30% |
Fair Value, Inputs, Level 2 [Member] | $750.0 million fixed rate notes due September 2022, stated rate of 3.00% [Member] | |
Debt Instrument, Fair Value Disclosure | $ 774.0 |
Fair Value, Inputs, Level 2 [Member] | $750.0 million fixed rate notes due March 2025, stated rate of 3.00% [Member] | |
Debt Instrument, Fair Value Disclosure | 763.1 |
Fair Value, Inputs, Level 2 [Member] | $750.0 million fixed rate notes due September 2043, stated rate of 5.30% [Member] | |
Debt Instrument, Fair Value Disclosure | $ 933.0 |
Earnings Per Share (Narrative) (Details) - shares shares in Thousands |
3 Months Ended | 6 Months Ended | ||
---|---|---|---|---|
Jun. 30, 2017 |
Jun. 30, 2016 |
Jun. 30, 2017 |
Jun. 30, 2016 |
|
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | ||||
Antidilutive Securities Excluded from Computation of Earnings Per Share, Amount | 70 | 320 | 71 | 320 |
Stock Options [Member] | ||||
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | ||||
Antidilutive Securities Excluded from Computation of Earnings Per Share, Amount | 0 | 320 | 0 | 320 |
Restricted Stock [Member] | ||||
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | ||||
Antidilutive Securities Excluded from Computation of Earnings Per Share, Amount | 70 | 0 | 71 | 0 |
Earnings Per Share (Net Income Attributable To CME Group) (Details) - USD ($) $ / shares in Units, shares in Thousands, $ in Millions |
3 Months Ended | 6 Months Ended | ||
---|---|---|---|---|
Jun. 30, 2017 |
Jun. 30, 2016 |
Jun. 30, 2017 |
Jun. 30, 2016 |
|
Earnings Per Share [Abstract] | ||||
Net income | $ 415.8 | $ 320.1 | $ 815.6 | $ 687.9 |
Basic (in shares) | 338,556 | 337,289 | 338,448 | 337,152 |
Dilutive Securities, Effect on EPS | 1,464 | 1,417 | 1,526 | 1,447 |
Diluted (in shares) | 340,020 | 338,706 | 339,974 | 338,599 |
Earnings per common share, basic (in dollars per share) | $ 1.23 | $ 0.95 | $ 2.41 | $ 2.04 |
Earnings per common share, diluted (in dollars per share) | $ 1.22 | $ 0.95 | $ 2.40 | $ 2.03 |
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