Trading Statement

London Stock Exchange Plc
24 January 2002



24 January 2002

                           LONDON STOCK EXCHANGE plc

                        THIRD QUARTER TRADING STATEMENT
                     FOR THE PERIOD ENDED 31 DECEMBER 2001


Turnover from continuing operations for the three months ended 31 December 2001
increased to £55.6 million (2000: £50.6 million), representing 10 per cent
growth over the same period last year.

For the nine months ended 31 December 2001, turnover from continuing operations
increased 15 per cent to £162.4 million (2000: £141.2 million).



Broker Services

For the three months ended 31 December 2001, Broker Services turnover increased
33 per cent to £21.2 million (2000: £15.9 million), reflecting strong volume
growth, particularly for SETS, the electronic order book.  For the three months
ended 31 December 2001, the daily average number of equity bargains was 216,000
(2000: 155,000) and the daily average number of SETS bargains was 79,000 (2000:
37,000).


Broker Services turnover for the nine months ended 31 December 2001 increased 34
per cent to £61.1 million (2000: £45.5 million), contributing 38 per cent of
total turnover.  For the nine months ended 31 December 2001, the daily average
number of equity bargains was 199,000 (2000: 151,000) and the daily average
number of SETS bargains was 68,000 (2000: 34,000).



To accommodate further volume growth, the Exchange successfully completed a £12
million enhancement to SETS in December 2001 which trebled trading capacity.



Issuer Services


Issuer Services turnover for the three months ended 31 December 2001 decreased
38 per cent to £6.3 million (2000: £10.2 million).  This fall reflects
continuing weakness in the IPO market and the fact that the corresponding period
last year benefited from an exceptional level of new issue activity.  New issues
on the Exchange's markets for the three months ended 31 December 2001 totalled
67 (2000: 150).



For the nine months ended 31 December 2001, Issuer Services turnover decreased
22 per cent from £25.7 million to £20.1 million.  During this period, the number
of new issues on the Exchange's markets was 237 (2000: 400).



Despite difficult market conditions, the number of companies on AIM, the
Exchange's global market for smaller and growing businesses, had grown from 550
at 31 March 2001 to 629 at 31 December 2001.  Since its launch, some 90
companies have used it as a platform to move onto the main market.



Information Services


For the three months ended 31 December 2001, Information Services turnover
increased 11 per cent to £23.7 million (2000: £21.4 million).  For the nine
months ended 31 December 2001, turnover was up 14 per cent to £69.9 million
(2000: £61.1 million).



The increase in turnover for the quarter and the nine months ended 31 December
2001 against the corresponding periods last year reflects an increase in the
number of professional users receiving Exchange data on a real time basis.  As
at 31 December 2001, approximately 107,000 terminals in total received Exchange
data (31 December 2000: 107,000), of which approximately 98,000 were
professional users (31 December 2000: 96,000).



Commenting on the business, Clara Furse, Chief Executive of the Exchange, said:



'Turnover in the third quarter has been resilient despite economic uncertainty,
with the Broker Services division in particular continuing to perform strongly.
Our business has performed well for the first nine months of this year and we
continue to view the prospects for the Exchange with confidence.'



Further information is available from:

London Stock Exchange     John Wallace - Media                     020 7797 1222
                          Ruth Anagnos - Investor Relations        020 7797 3322
Finsbury                  James Murgatroyd                         020 7251 3801




                                                 Attachment 1


Nine months ended 31 December 2001


Turnover                                                        Nine months ended           Year Ended
                                                                      31 December             31 March
                                                             2001            2000                 2001
                                                               £m              £m                   £m

Continuing operations
Issuer services                                              20.1            25.7                 31.9
Broker services                                              61.1            45.5                 64.2
Information services                                         69.9            61.1                 85.3
Other income                                                 11.3             8.9                 12.0
                                                            162.4           141.2                193.4
Discontinued operations
Competent authority                                             -             1.2                  1.2

Gross turnover                                              162.4           142.4                194.6

Less: share of joint venture's turnover                     (6.5)           (4.2)                (6.2)

Net turnover                                                155.9           138.2                188.4




Three months ended 31 December 2001

Turnover                                                               Three months ended
                                                      30 June      30 September      31 December      31 December 
                                                         2001              2001             2001             2000
                                                           £m                £m               £m               £m

Issuer services                                           7.5               6.3              6.3             10.2
Broker services                                          20.2              19.7             21.2             15.9
Information services                                     23.2              23.0             23.7             21.4
Other income                                              3.5               3.4              4.4              3.1
Gross turnover                                           54.4              52.4             55.6             50.6

Less: share of joint venture's turnover                 (2.0)             (2.2)            (2.3)            (1.5)

Net turnover                                             52.4              50.2             53.3             49.1





                      This information is provided by RNS
            The company news service from the London Stock Exchange