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WRMA. ZURICH – 5 th OCTOBER 2007. Metnext, a joint-venture. METNEXT – A joint venture. A JOINT VENTURE Météo-France / NYSE-Euronext WITH A WORLDWIDE AMBITION TO DEVELOP THE WEATHER MARKET Unifying the competences from its shareholders:. Market knowledge Index-based contracts.
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WRMA ZURICH – 5th OCTOBER 2007 Metnext, a joint-venture
METNEXT – A joint venture A JOINT VENTURE Météo-France / NYSE-Euronext WITH A WORLDWIDE AMBITION TO DEVELOP THE WEATHER MARKET • Unifying the competences from its shareholders: Market knowledge Index-based contracts Meteorological expertise Strong scientific background A Service provider to everyactor in the market BringingWeather Expertise for Environmentalrisk management a joint-venture
METNEXT, twodifferentcorebusiness Corporate Solutions Finance & Insurance Weather-sensitive Companies, corporates Help to manage weather impacts Bring « Education » and expertise Banks, Brokers, Traders, Re-insurers… Facilitate access to tools & data Contribute to market development a joint-venture
METNEXT – Corporate Solutions • - Corporate Solutions answers the needs of: • Sales, • Supply-chain, • Marketing manager • With two main focuses… 1 2 Quantifythe weather impactson your business Anticipateyour future activityusing weather forecasts a joint-venture
METNEXT – Corporate Solutions • …and a well-defined and tested methodology: • Bring the weather expertise • Find the appropriate data • Build a statistical model Specificbusinessforecasts (sales, supply-chain, marketing…) Weather data & forecasts Statistical model a joint-venture
METNEXT – Finance & Insurance Answering the needs in the OTC Market to: 1 2 Have a reliableindependantthird-partycomputing indices Getworldwidedata & statistics in a Quick & Simple way 3 Gain weather expertisefor environmentalrisk management a joint-venture
METNEXT – Finance & Insurance 1 Getworldwidedata & statistics in a Quick & Simple way For brokers structuring & for risktakerspricing index-based weather covers • METNEXT: • Provides a choice of worldwide stations, models, reanalyses • Quicklysupplyraw, cleaned or homogenizedhistorical data • Allow to test different indices withoutfees a joint-venture
METNEXT – Finance & Insurance 2 Have a reliableindependantthird-partycomputing indices For brokers & risk takers following an index during a contract • METNEXT: • Positions itself as an independant reporting agency • Acts as a reliable third-party for weather covers • Supplies the parties with the index value on a regular basis a joint-venture
METNEXT – Finance & Insurance 3 Gain weather expertisefor environmentalrisk management • METNEXT can: • Supply risk takers with forecasts of their weather indices • Provide consulting on any weather-related issue a joint-venture
METNEXT – The economical model • is only paid when the deal is signed: • in % of the brokerage commission • in % of the capacity covered by the risk takers • The % decreases with the capacity • The % is due for each deal based on data provided by Metnext a joint-venture
METNEXT – The development aspects • A platformto build, test and followcustomized indices • Standardizedweatherindices to trade on organizedmarkets • Specificweatherindices for carbon & commoditiesmarkets a joint-venture
METNEXT – The research aspects • A strong collaboration with Météo-France: • Improvingthe production and dissemination of forecasts • Definingmethods to check, interpolate or reconstructweather data • Evaluatingthe change in riskslinked to climate change • Some active areas of researchatMetnext and withotherlaboratories: • Developing new solutions to coverflood and droughtrisks • Estimating the value of seasonalforecasts for differentusers a joint-venture
METNEXT – MarketCommittee Committee open to actors in Insurance, Reinsurance and Finance markets • To benefitfrom the latest information availableatMetnext: • Obtainingresultsfrom the latestresearchatMetnext and itscollaborators • Stayinginformedabout the future developments in Metnext services • To obtainprefered rate for METNEXT services as a subscriber: • Subscriptionwillbedeductiblefrom deals withMetnext in the followingyear • % feeswillbelower for brokers and risktakers in the Committee a joint-venture
METNEXT – Contacts CONTACTS: Place de la Bourse, Palais de la Bourse F- 75002 PARIS www.metnext.com Finance & Insurance E-mail: finance@metnext.com Tel: +33 (0) 1 4927 5627 a joint-venture