We were one of the first institutional brokers to enter the electricity markets. Today, we are a global leader, providing power marketers, utilities, producers and institutions with a single comprehensive source for price information, liquidity, market intelligence and innovative products.

Since completing our first electricity trade in the US in 1995 - a one month firm physical transaction round the clock for 25 MW each hour - our electricity capability has grown to include more than 60 brokers based in offices around the world, including London, Sydney and Japan.

As an early participant in deregulated power markets, we have played a pivotal role in standardizing trading in electricity products and supplying transparent prices. We have also introduced basic market standards, like client confidentiality and universal trade terminology, and acted as an important information provider - advising and consulting with new clients on how deregulation affects their businesses and introducing them to new concepts in risk management.

We have proven our ability to adapt existing products and develop new ones - from the most basic physical spot and forward contracts right through to some of the most sophisticated and innovative products in the market today (such as financial swaps and options, spark spreads and gas index-to-power transactions). In North America, we brokered the first electricity options based on the Dow Jones California-Oregon Border Daily Price Index, and were the first broker to arrange an electricity swap based on zonal price variations from the California Power Exchange Market Clearing Price.

Our Australian team has been invited to be involved in developing the country's first ever electricity price forward curve. In Tokyo, our new joint venture partner Yamane Prebon Co., Limited is preparing for the deregulated Japanese power market; wholesale market trading is expected to start in early 2004.