On Friday, CBOE Group Holdings Inc. (NASDAQ:CBOE) said it is in settlement discussions with the Securities and Exchange Commission (SEC) from the 2012 review into?self-regulatory compliance by the exchange.
A settlement has been estimated at $5 million.?
CBOE reported its fourth quarter earnings report on Friday and CBOE Holdings Executive Vice President and Chief Financial Officer Alan Dean said via The Wall Street Journal, “We are engaged in ongoing settlement discussions with the SEC staff on resolution of this matter. However, no agreement has been reached.”
The SEC has not commented on the matter.
From the company’s fourth quarter earnings and full-year report, net income increased to $39.2 million (45 cents a share), up from $31.3 million (35 cents a share), in the previous year. Analysts had expected a 42 cents a share average.
Revenue increased 8 percent to $130.1 million while fourth quarter trading dropped to a 4.1 million daily average. CBOE’s exclusive index options, such as those based on the Standard & Poor’s 500 Index, contributed to the average per-contract fee increase to 35.5 cents, up from 32.1 cents.
Dean added about the quarterly numbers, “Our record fourth-quarter results cap another year of strong performance for?CBOE Holdings?as we focused on optimizing our financial performance and investing in key initiatives to drive our long-term performance. In addition, we returned?$167 million?in capital to our stockholders in 2012 through dividends and share repurchases, nearly doubling the?$92 million?paid out in 2011.? We ended the year with a strong cash position of?$136 million, which will provide us with the flexibility to continue to deliver enhanced stockholder value through both internal investments and other capital allocation opportunities.”?