News Release

NYMEX Holdings Reports Record Fourth Quarter and Full Year Results

Fri Feb 01 2008

NEW YORK, Feb. 1 /PRNewswire-FirstCall/ -- NYMEX Holdings, Inc. (NYSE: NMX), parent company of the New York Mercantile Exchange, Inc. (NYMEX), today reported that total operating revenues for the fourth quarter ended December 31, 2007 rose 38% to a record $172.6 million compared to $124.8 million for the fourth quarter 2006. Net income for the fourth quarter 2007 increased 50% to a record $63.5 million compared to $42.3 million for the fourth quarter 2006. Diluted earnings per share for the fourth quarter 2007 were $0.67, based on 94.9 million shares outstanding, compared to $0.48, for the fourth quarter 2006 based on 87.6 million shares outstanding.

For the year ended December 31, 2007, NYMEX reported record total operating revenues of $673.6 million, a 35% increase from $497.2 million for 2006. Net income rose 45% to $224.0 million versus $154.8 million in 2006. Excluding the one-time charge related to Optionable, Inc., in the second quarter of 2007, net income increased 54% to $238.8 million for the full year. Diluted earnings per share were $2.36 versus $1.90 in 2006, based on 94.9 million and 81.5 million shares outstanding, respectively. Excluding the one- time charge, diluted earnings per share for the full year was $2.52.

The Board of Directors approved a regular quarterly dividend of 10 cents per share to shareholders of record as of March 3, 2008, payable on March 28, 2008.

NYMEX Chairman Richard Schaeffer said, "We delivered a strong year of operating performance and profitability as we continued to execute on our strategic goals. Throughout the year we delivered dramatic volume growth through the successful adoption of electronic trading of our markets, while also expanding into new markets and establishing important alliances, such as the launch of our leading Dubai Mercantile Exchange (DME) joint venture in June. Our recent purchase of 15% stake in Imarex ASA, a leading Norwegian freight derivatives exchange, represents an important expansion into the substantial European derivatives market. In addition, we are proud of our leadership in creating The Green Exchange venture, which we expect will become the primary exchange for environmental markets contracts. We remain focused on expanding our distribution internationally, developing innovative product offerings and new ventures, and continuing to deliver profitable growth to shareholders."

NYMEX President and Chief Executive Officer James E. Newsome stated, "We improved profitability in 2007 through our expense reduction program and achieved a record 71% pre-tax margin for the fourth quarter and 65% pre-tax margin for the year. NYMEX continued to set multiple single-day electronic trading volume records on the CME Globex® electronic trading platform, as well as numerous volume and open interest records in our benchmark contracts. Our product innovation continues to lead the industry with the listing of electronic options on futures, carbon emissions, uranium, catastrophe risk futures, and the growing Oman Sour Crude contract, which now dominates Middle Eastern crude oil volume and open interest."

Fourth Quarter Results

Clearing and transaction fees rose 38% for the fourth quarter 2007 to $144.9 million compared to $104.8 million for the year ago period. Market data fees increased 50% for the fourth quarter 2007 to $24.6 million versus $16.4 million for the fourth quarter 2006.

Average daily volume was 1.539 million contracts during the fourth quarter 2007, a 28% increase over the fourth quarter 2006. NYMEX electronic trading volume on CME Globex averaged 703,673 contracts per day and represented a 91% increase over fourth quarter 2006 electronic trading volume. NYMEX floor-traded energy futures and options averaged 228,678 contracts a day for the fourth quarter 2007 versus 362,259 contracts per day for the same period of 2006. COMEX electronic trading volume on CME Globex averaged 147,017 contracts per day, an increase of 808% over fourth quarter 2006 average daily electronic trading volume of 16,197 contracts.

NYMEX launched side-by-side trading of physically delivered futures for its COMEX division metals on CME Globex during open outcry hours on December 3, 2006. COMEX metals open outcry average daily volume was 42,095 contracts for the fourth quarter 2007 versus 75,790 contracts per day for the same period in 2006. Average daily volume on NYMEX ClearPort was 310,175 contracts in the fourth quarter 2007 as compared to 301,994 contracts in the same period of 2006. The remaining average daily volume of 107,400 contracts per day consisted of other transactions, which include position transfers and exchanges.

Total operating expenses, excluding direct transaction costs of $23.7 million, were $40.6 million for the fourth quarter 2007 compared to $38.5 million for the same period in 2006. Results for the fourth quarter 2007 included an additional $1.4 million of severance related to the Company's enterprise efficiency plan announced on November 1, 2007, while expenses in the fourth quarter 2006 were below their normal run-rate due to year-end adjustments of bonuses and other accruals.

Income before provision for income taxes was $110.6 million for the fourth quarter 2007 compared to $72.5 million for the fourth quarter 2006. Pre-tax margin, defined as income before provision for income taxes divided by operating revenues, investment income and interest income from securities lending (net of interest expense/fees from securities lending and direct transaction costs) was 71% in the fourth quarter 2007 compared to 64% in fourth quarter 2006.

Full Year 2007 Results

Clearing and transaction fees rose 35% for the year ended December 31, 2007 to $565.8 million compared to $419.7 million in 2006. Market data fees were $96.0 million for 2007 versus $63.6 million in 2006, an increase of 51%.

Average daily volume for 2007 was 1.485 million contracts, a 25% increase over 2006. NYMEX electronic trading volume on CME Globex averaged 649,552 contracts per day which represented a 234% increase over 2006 electronic trading volume. NYMEX floor-traded energy futures and options averaged 260,160 contracts a day in 2007. COMEX electronic trading volume on CME Globex averaged 113,509 contracts per day, an increase of 755% over 2006 average daily electronic trading volume. COMEX metals open outcry average daily volume was 43,852 contracts a day in 2007. Average daily volume on NYMEX ClearPort was 335,460 contracts in 2007, up from 313,953 contracts in 2006. The remaining average daily volume of 82,226 per day consisted of other transactions, which include position transfers and exchanges.

Total operating expenses for 2007, excluding direct transaction costs of $96.8 million, decreased to $167.2 million versus $174.4 million in 2006, driven primarily by the Company's cost cutting initiatives.

Income before provision for income taxes was $394.8 million for 2007 compared to $278.9 million in 2006. Excluding the one-time charge, income before provision for income taxes was $420.7 million. Pre-tax margin was 65% in 2007 compared to 60% in 2006. Excluding the one-time charge, pre-tax margin in 2007 was 70%.

For the full year 2007, the Company declared dividends totaling $128.4 million, or $1.36 per common share, which included a special, one-time dividend per share of $1.05.

Investor Conference Call / Webcast Details

NYMEX will hold a conference call to discuss 2007 fourth quarter and full year results today, February 1, 2008 at 8:00 AM Eastern Time. Those wishing to participate in the conference call can dial (888) 396-2369 (U.S. and Canada) or (617) 847-8710 (International) using the confirmation code 15861611. A live audio webcast of the call will also be available on the Investor Relations section of the NYMEX website at http://investor.nymex.com/. An archived version of the conference call will be available within approximately 90 minutes of the conclusion of the call.

About NYMEX Holdings, Inc.

NYMEX Holdings, Inc. (NYSE: NMX) is the parent company of the New York Mercantile Exchange, Inc., the world's largest physical commodities exchange, offering futures and options trading in energy and metals contracts and clearing services for more than 350 off-exchange contracts. Through a hybrid model of open outcry floor trading and electronic trading on CME Globex® and NYMEX ClearPort®, NYMEX offers crude oil, petroleum products, natural gas, coal, electricity, gold, silver, copper, aluminum, platinum group metals, emissions, and soft commodities contracts for trading and clearing virtually 24 hours each day. Further information about NYMEX Holdings, Inc. and the New York Mercantile Exchange, Inc. is available on the NYMEX website at http://www.nymex.com/.

Forward Looking and Cautionary Statements

This press release may contain forward-looking statements within the meaning of the Private Securities Litigation Reform Act with respect to our future performance, operating results, strategy, and other future events. Such statements generally include words such as could, can, anticipate, believe, expect, seek, pursue, and similar words and terms, in connection with any discussion of future results. Forward-looking statements involve a number of assumptions, risks, and uncertainties, any of which may cause actual results to differ materially from the anticipated, estimated, or projected results referenced in forward-looking statements. In particular, the forward-looking statements of NYMEX Holdings, Inc. and its subsidiaries are subject to certain risks and uncertainties including the following: the success and timing of new futures contracts and products; changes in political, economic, or industry conditions; the unfavorable resolution of material legal proceedings; the impact and timing of technological changes and the adequacy of intellectual property protection; the impact of legislative and regulatory actions, including without limitation, actions by the Commodity Futures Trading Commission; the outcome, including the timing of any outcome, of the preliminary discussions regarding the potential acquisition of NYMEX Holdings, Inc. by CME Group, Inc.; and terrorist activities and international hostilities, which may affect the general economy as well as oil and other commodity markets. We assume no obligation to update or supplement our forward-looking statements.

                             (Tables Follow)



                  NYMEX HOLDINGS, INC. AND SUBSIDIARIES
         CONDENSED CONSOLIDATED STATEMENTS OF INCOME (Unaudited)
                  (in thousands, except for share data)

                                Three Months Ended         Year Ended
                                    December 31,           December 31,
  Operating Revenues             2007        2006       2007        2006
                                                                  (Audited)
    Clearing and
     transaction fees        $144,930    $104,765    $565,756    $419,731
    Market data fees           24,559      16,416      95,951      63,637
    Other, net                  3,092       3,589      11,897      13,881
              Total operating
               revenues       172,581     124,770     673,604     497,249

  Operating Expenses
    Direct transaction
     costs                     23,737      18,160      96,842      49,742
    Salaries and employee
     benefits                  20,609      16,726      81,660      76,772
    Occupancy and
     equipment                  5,648       5,788      22,501      28,255
    Depreciation and
     amortization, net of
     deferred credit
     amortization               3,359       3,597      13,776      15,167
    General and
     administrative             4,980       4,471      19,212      19,670
    Professional services       3,044       3,729      16,311      14,540
    Telecommunications          1,364       1,350       5,740       6,104
    Marketing                   1,175       1,019       5,573       5,439
    Other expenses                400       1,785       2,463       8,501
              Total operating
               expenses        64,316      56,625     264,078     224,190

    Operating income          108,265      68,145     409,526     273,059

  Non-Operating Income and
   Expenses
    Investment income, net      5,634       7,129      23,347      12,879
    Interest income from
     securities lending        11,460      32,270      91,908     130,184
    Interest expense/fees
     from securities
     lending                  (10,367)    (31,819)    (88,203)   (127,254)
    Interest expense           (1,586)     (1,620)     (6,425)     (6,620)
    Losses from
     unconsolidated
     investments               (2,764)     (1,561)    (35,371)     (3,329)
              Total
               non-operating
               income and
               expenses         2,377       4,399     (14,744)      5,860

    Income before
     provision for income
     taxes                    110,642      72,544     394,782     278,919
    Provision for income
     taxes                     47,142      30,233     170,743     124,118

    Net income                $63,500     $42,311    $224,039    $154,801



  Proforma weighted average common shares
   outstanding and earnings per share
   retroactively adjusted to reflect
   the 90,000-for-1 recapitalization on
   March 14, 2006:

  Earnings per Share
    Basic                       $0.67       $0.48       $2.37       $1.90
    Diluted                     $0.67       $0.48       $2.36       $1.90
  Weighted Average Number
   of Common Shares
   Outstanding
    Basic                  94,594,000  87,603,000  94,489,000  81,504,000
    Diluted                94,925,000  87,603,000  94,856,000  81,504,000



                  NYMEX HOLDINGS, INC. AND SUBSIDIARIES
                  CONDENSED CONSOLIDATED BALANCE SHEETS
                              (in thousands)

                                               (Unaudited)
                                                December 31,    December 31,
                   Assets                          2007             2006
      Cash and cash equivalents                   $3,296           $18,631
      Collateral from securities
       lending program                           847,581         2,547,312
      Marketable securities, at market
       value                                     461,582           485,581
      Clearing and transaction fees
       receivable, net of allowance for
       member credits                             38,443            32,853
      Prepaid expenses                             8,786             7,009
      Margin deposits and guaranty
       funds                                     170,192            17,052
      Other current assets                        29,113            10,238
             Total current assets              1,558,993         3,118,676

      Property and equipment, net                176,471           183,193
      Goodwill and indefinite-lived
       intangible asset                          307,125           307,125
      Long-term investments                      178,036             3,008
      Other assets                                 7,121            11,929
             Total assets                     $2,227,746        $3,623,931

                   Liabilities and
                    Stockholders' Equity

      Accounts payable and accrued
       liabilities                               $15,723           $14,854
      Accrued salaries and related
       liabilities                                17,107            13,688
      Payable under securities lending
       program                                   847,581         2,547,312
      Margin deposits and guaranty
       funds                                     170,192            17,052
      Income tax payable                               -             4,984
      Other current liabilities                   31,122            35,019
             Total current liabilities         1,081,725         2,632,909

      Grant for building construction
       deferred credit                           104,021           106,166
      Long-term debt                              77,464            80,281
      Retirement obligation                       12,038            12,367
      Other liabilities                           23,962            17,286
             Total liabilities                 1,299,210         2,849,009

             Total stockholders'
              equity                             928,536           774,922
             Total liabilities and
              stockholders' equity            $2,227,746        $3,623,931


                         Non-GAAP Reconciliation

  The Company evaluates its financial performance using various measures.
  One measure is to exclude one-time gains and losses from its results to
  arrive at a pro forma earnings per share amount.  Pro forma earnings per
  share is a non-GAAP (generally accepted accounting principles)
  performance measure, however, the Company believes that it is useful to
  assist investors in gaining an understanding of the trends and operating
  results of the Company's business.  Pro forma earnings per share should
  be viewed in addition to, and not in lieu of, the Company's reported
  results under U.S. GAAP.

  During the second quarter of 2007, the Company recorded a one-time charge
  related to its investment in Optionable, Inc. of approximately $26.0
  million that was recorded in losses from unconsolidated investments under
  the caption "Non-Operating Income and Expenses" on its consolidated
  statements of income.  The following is a reconciliation of U.S. GAAP
  results to pro forma results for the periods presented:



                                       (in thousands, except share amounts)

                                       Three Months Ended     Year Ended
                                        December 31, 2007  December 31, 2007

  Net income                                $63,500            $224,039
     Add:  Impairment loss on
      investment in Optionable                    -              25,962
     Less:  Effective tax rate benefit
      of impairment loss on
      investment in Optionable                    -              11,229

  Pro forma net income                      $63,500            $238,772

  Earnings per common share on net
   income:
     Basic                                    $0.67               $2.37
     Diluted                                  $0.67               $2.36

  Pro forma earnings per common share
   on pro forma net income:
     Pro forma basic                          $0.67               $2.53
     Pro forma diluted                        $0.67               $2.52

  Weighted average common shares
   outstanding:
     Basic                               94,594,000          94,489,000
     Diluted                             94,925,000          94,856,000



                            Q4 2007   Q3 2007   Q2 2007   Q1 2007   Q4 2006
  Trading Days                   64        63        63        61        62


  Average Daily Volume (round turns, in thousands, difference is due to
                                rounding)

                            Q4 2007   Q3 2007   Q2 2007   Q1 2007   Q4 2006
  NYMEX Floor                   229       229       257       330       362
  NYMEX Electronic              704       687       608       597       368

  COMEX Floor                    42        36        42        56        76
  COMEX Electronic              147       114       101        90        16

  NYMEX ClearPort               310       351       309       373       302

  Other                         107        74        79        68        75
  Total                       1,539     1,491     1,396     1,513     1,199



          Gross Clearing and Transaction Revenue (in thousands)

                            Q4 2007   Q3 2007   Q2 2007   Q1 2007   Q4 2006
  NYMEX Floor               $21,517   $20,824   $19,966   $23,664   $24,497
  NYMEX Electronic           54,243    54,285    50,520    43,271    24,953

  COMEX Floor                 3,948     3,072     3,249     4,244     5,795
  COMEX Electronic           14,572    10,786     9,791     8,253     2,000

  NYMEX ClearPort            38,217    46,905    44,281    49,609    38,837

  Other                      12,433     9,387     9,583     9,136     8,683
  Total                    $144,930  $145,259  $137,390  $138,177  $104,765



                          Net Rates Per Contract

                            Q4 2007   Q3 2007   Q2 2007   Q1 2007   Q4 2006
  NYMEX Floor                 $1.47     $1.45     $1.23     $1.18     $1.10
  NYMEX Electronic             0.92      0.97      1.02      0.89      0.70

  COMEX Floor                  1.46      1.34      1.24      1.25      1.23
  COMEX Electronic             1.26      1.16      1.19      1.20      1.99

  NYMEX ClearPort              1.51      1.67      1.72      1.66      1.58

  Other                        1.81      2.02      1.92      2.19      1.88
  Total Net RPC                1.23      1.28      1.29      1.24      1.17
        Direct Cost            0.24      0.27      0.28      0.26      0.24
  Gross RPC                   $1.47     $1.55     $1.56     $1.50     $1.41

SOURCE: NYMEX Holdings, Inc.

CONTACT: Investors, Keil Decker, +1-212-299-2209, or Media, Anu
Ahluwalia, +1-212-299-2439, both of NYMEX Holdings, Inc.

Web site: http://www.nymex.com/

Corporate Communications

+1 312 930 3434
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