OMX will comply with ruling stipulated by The Swedish Tax Board in 2004. As a
consequence, OMX will carry a VAT surcharge of around SEK 85 million as a
one-off operating cost in the fourth quarter of 2007. The surcharge will have no
cash flow effect. For 2008, OMX estimates a negative impact on operating income
of approximately SEK 3 million.
As previously communicated, the Swedish Tax Board ruled in 2004 that OMX Nordic
Exchange Stockholm AB (formerly Stockholmsbörsen AB) will be subject to a value
added tax (VAT) surcharge for the support and operation services it purchases
from other companies within the Group. OMX intends to appeal the ruling. Recent
practice from the Swedish Supreme Administrative Court and standpoints from the
Swedish Tax Board in a similar case have reduced the likelihood of a successful
appeal.
After discussions with the tax authorities and an analysis of the situation, OMX
will comply with the ruling. For 2007 the effect will be a one-off cost,
affecting operating income, of around SEK 85 million with no cash flow effect.
The cost will be recognized in the fourth quarter. For 2008, OMX estimates a
negative impact on operating income of approximately SEK 3 million for the full
year.
For more information, please contact:
Maria Andark, Media relations OMX +46 8 405 73 74
About OMX | OMX is a leading expert in the exchange industry. The OMX Nordic
Exchange comprises over 800 companies including its alternative market First
North. OMX provides technology to over 60 exchanges, clearing organizations and
central securities depositories in over 50 countries. The Nordic Exchange is not
a legal entity but describes the common offering from OMX exchanges in Helsinki,
Copenhagen, Stockholm, Iceland, Tallinn, Riga, and Vilnius. OMX is a Nordic
Large Cap company in the Financials sector on the OMX Nordic Exchange. For more
information, please visit www.omxgroup.com.
