Interactive Data Reports 32% Increase In Pro Forma EBITDA to $27.7 Million; Net Income of $0.01 Per Share Compared to Pro Forma Loss of $0.08 Per Share in 2000

Business Wire, July 26, 2001

Business Editors

BEDFORD, Mass.--(BUSINESS WIRE)--July 26, 2001

Interactive Data Corporation (Nasdaq NM: IDCO), formerly Data Broadcasting Corporation (Nasdaq NM: DBCC), today announced results for the second quarter ended June 30, 2001.

This is the company's fifth full reporting period since the completion of the Interactive Data (now known as FT Interactive Data) merger with Data Broadcasting on March 1, 2000.

On a pro forma basis, reported as if the merged businesses had been combined on January 1, 2000 and excluding the financial results from the Federal News Service and MarketWatch.com businesses that were sold in January 2001, revenues for the second quarter of 2001 increased by 5.5% to $84.4 million from $80.1 million in the comparable period in 2000. Pro forma EBITDA for the second quarter of 2001 increased by 32.2% to $27.7 million, or $0.30 per share, from $21.0 million, or $0.23 per share, in the same period in 2000. Pro forma net income for the quarter totaled $1.4 million, or $0.01 per share, compared to a loss of $7.0 million, or $0.08 per share, in last year's second quarter.

Stuart Clark, president and chief executive officer, commented, "We are very pleased to report our second quarter of strong performance in 2001. Our institutional business, which represents 86% of our revenues, had a particularly strong quarter, growing 11.1% before the effect of foreign exchange. All three of the geographic business areas for our institutional business - North America, Europe and Asia - contributed double digit growth through a combination of increased business with existing customers and the attainment of new customers."

Mr. Clark continued, "The growth of our institutional business is being driven by a number of positive factors. The stronger product and content set we have built as we integrated the TFSM businesses acquired from Thompson Financial has been a factor in North America. In Europe and Asia, our ability to provide "mark to market" pricing and related data for traded and illiquid securities has helped differentiate our service and allowed customers in some markets to meet new regulatory requirements. These factors, combined with the long-term trends of growth in funds under management and securitization of assets, help underpin our future and are reflected in our healthy pipeline of new business."

Mr. Clark added, "At CMS, we have established alliances with two electronic communications networks (ECNs) that will give BondEdge customers access to online fixed income trading. In addition, we are about to launch the multi-currency version of BondEdge, which will be attractive to international bond portfolio managers around the world."

Mr. Clark concluded, "Although Interactive Data's retail segment, which provides 14% of our revenues, continued to feel the effect of the downturn in online trading, the business is being managed very effectively through this difficult period. eSignal is not only EBITDA positive, but actually exceeded its EBITDA target for the first half of 2001. This business is the leader in its market segment and is well positioned to take advantage of an upturn when it eventually occurs. In the meantime, it will benefit from the recent launch of eSignal Turbofeed, a real time service that offers companies and web sites access to speedy and reliable market data and is already winning new customers for Interactive Data."

Financial Results

Actual

For the quarter ended June 30, 2001, Interactive Data reported revenues of $84.4 million versus $81.1 million for the second quarter of 2000. EBITDA totaled $27.7 million, or $0.30 per share, for the second quarter of 2001 versus $21.1 million, or $0.23 per share, for the same period in 2000. Net income totaled $1.4 million, or $0.01 per share, versus a loss of $18.8 million, or $0.21 per share, in the second quarter of 2000.

For the six months ended June 30, 2001, Interactive Data reported revenues totaling $168.2 million versus $145.6 million for the first six months of 2000. EBITDA totaled $52.3 million compared to $39.8 million for the same period last year. Net income totaled $1.5 million, or $0.02 per share, versus a loss of $24.1 million, or $0.30 per share, for the first half of 2000.

Pro Forma

On a pro forma basis, for the six months ended June 30, 2001, revenues increased 5.2% to $168.2 million from $159.8 million in the same period in 2000. EBITDA increased by 29.1% to $52.3 million from $40.5 million for the same period last year. Net income for the period totaled $1.5 million, compared to a loss of $13 million for the first six months of 2000.

As of June 30, 2001, the company had no outstanding debt and had cash of $83.2 million.

Conference Call Information

Interactive Data Corporation's management will conduct a conference call today at 11:00 a.m. Eastern Time to discuss the second quarter 2001 results. The dial-in number for the call is 212-346-6456; no access code is required. Investors and interested parties may also listen to the call via a live web broadcast available through the Investor Relations section of the Company's web site at www.interactivedatacorp.com and through www.StreetEvents.com. To listen, please register and download audio software at the site at least 15 minutes prior to the call. A replay will be available on both web sites shortly after the call. In addition, a telephone replay will be available for seven days beginning at 1:00 p.m. ET on July 26, 2001. To access the replay, please dial 800-633-8284 or 858-812-6440 and request reservation #19212344.