Nasdaq plans $40 million payout for Facebook losses

Nasdaq said Wednesday that it plans to spend $40 million to compensate trading firms for losses caused by glitches that delayed Facebook's debut.

Firms would be eligible to receive $13.7 million of that in cash, with the remainder coming from reduced trading fees over the next six months, according to a Nasdaq statement.

Knight Capital (KCG), Citadel, Citigroup (C, Fortune 500) and UBS (UBS) were among the biggest firms to incur losses from Nasdaq's technical problems in the opening minutes of Facebook's trading on May 18.

All four firms declined to comment.

While Nasdaq's (NDAQ) board backed the $40 million, the exchange still needs the Securities and Exchange Commission's to sign off.

Read Full Article from CNN

- Posted: 2012-06-06 14:31:37

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