By Josh Beckerman
The Options Clearing Corp., which processes clearing and
settlement services for options and futures, said the Securities
and Exchange Commission has approved its capital plan.
The plan, which the OCC disclosed in December, increases
shareholder equity from $25 million at the end of 2013 to $247
million, via equity capital contributions from the exchanges that
are OCC's stockholders and retained earnings from 2014.
The exchanges will also provide as much as $117 million in
replenishment capital in the event of unexpected losses.
The OCC said the plan strengthens its capital base and
facilitates compliance with proposed SEC regulations for
Systemically Important Financial Market Utilities as well as
international standards.
The organization said the new plan enables it to lower fees,
effective April 1.
Write to Josh Beckerman at josh.beckerman@wsj.com
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