Lombard Risk Management Regulatory News (LRM)

Contract Win with Tier 1 German Bank

LONDON, UK - 19th September 2011: Lombard Risk Management plc (LSE: LRM) ("Lombard Risk"), a leading provider of integrated collateral management, liquidity and regulatory reporting solutions for the financial services industry, announces a major extension to its contract with a Tier 1 German bank to add Central Counterparty Clearing (CCP) functionality to the Bank's existing use of COLLINE® for global collateral management. This anticipated contract is expected to generate revenues of around £1 million in the first two years and contribute to future years.

COLLINE® is a state-of-the-art, web-based solution designed by experienced business practitioners for end-to-end, cross-product collateral management - required by firms to handle the increase in collateralised trades and meet new regulatory demands. It provides a consolidated solution for mitigating credit risk while meeting the growing demand for multiple/global entities, cross-product margining, Central Counterparty Clearing (CCP), MIS reporting, dispute management, optimisation and electronic messaging.

The bank will add its use of CCP functionality to its worldwide use of Lombard Risk's COLLINE® system. 

John Wisbey, CEO of Lombard Risk, commented: "We are delighted to expand our relationship with this valued Tier 1 German bank client for COLLINE®. We now have top clients from both the sell side and the buy side using COLLINE with Clearing/CCP functionality as well as our new advanced MIS Reporting module. Two of the most active trading banks in Europe are relying on us not only for managing their collateral worldwide but also for the evolution into Clearing, post Dodd-Frank and other regulatory developments."

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About Lombard Risk - www.lombardrisk.com (London Stock Exchange: LRM)

Lombard Risk enables firms in the financial industry significantly to improve their approach to managing the risk in their businesses. Founded in 1989 and headquartered in London, Lombard Risk has offices and representation in New York, Shanghai, Hong Kong, Luxembourg, Singapore and South Africa. Our clients include banking businesses - over 20 of the world's "Top 50" financial institutions - almost half of the banks operating in the UK, as well as investment firms, asset managers, hedge funds, fund administrators and large corporations worldwide.

The Lombard Risk solution suite is developed and supported by an extensive team of risk and financial experts and includes:

COLLINE® - collateral management and clearing. A state-of-the-art, web-based solution designed by experienced business practioners for end-to-end, cross-product collateral management. It provides a consolidated solution for mitigating credit risk while satisfying the growing demand for multiple global entities, cross-product margining, Central Counterparty Clearing (CCP), MIS reporting, dispute management, optimisation and electronic messaging.

REPORTER® - regulatory reporting. A fully scalable solution for regulatory compliance at branch and/or head office level and with global coverage. Fully supports key supervisory computations (including capital adequacy (Basel II and III) and large exposures) and integrates with LISA for stress testing and scenario analysis - now part of the regulatory scene. Powerful and streamlined integration to multiple source systems enabled by the ETL functionality.

MIS - a flexible and easy-to-use module for reporting across the Lombard Risk product range AND with external sources. Provides valuable Business Intelligence by combining risk and regulatory information in reports or on-screen dashboards, enabling well-informed business decisions to be made with confidence.

LISA® - scenario analysis and stress testing. LISA® satisfies the latest liquidity risk management requirements and supports growing regulatory demands for timely and reliable information.

The Lombard Risk software solution suite also includes OBERON® trade capture and valuation, Firmament® credit and equity valuation and Detector® AML and customer due diligence.

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