Depositary Receipt Liquidity Levels Reach New Highs in 2008, According to The Bank...

Depositary Receipt Liquidity Levels Reach New Highs in 2008, According to The
Bank of New York Mellon Year-End Industry Report

Amid weakened economy, over 700 new DR programs established and more than $4.4
trillion in DRs traded globally, up 34% from last year

Record $3.7 trillion in DRs traded on U.S. exchanges in 2008

NEW YORK, Jan. 12 /PRNewswire-FirstCall/ -- Record levels of liquidity and a
jump in new depositary receipt (DR) programs were the highlights of the
American and global DR markets in 2008, according to The Bank of New York
Mellon's annual year-end report on the DR industry.

"In a year marked by unprecedented equity declines and market volatility, DRs
traded at record levels of liquidity," said Michael Cole-Fontayn, chief
executive officer of The Bank of New York Mellon's Depositary Receipt
Division. "While DR capital raisings and DR initial public offerings (IPOs)
declined, as would be expected, DRs from all regions saw a double-digit
increase in trading volume due to market volatility. And with the supply of
DR programs on the market greatly expanded in 2008, we expect fundamental DR
investment will again pick up in 2009, led by the emerging markets."

Statistics in the report are as of December 31, 2008, unless otherwise noted.
Highlights of the report include:

-- DR liquidity in 2008 topped 2007's record levels. More than $4.4
trillion of DRs traded on U.S. and non-U.S. markets and exchanges
during
2008, an increase of 34% year-over-year.

-- DR outstanding value decreased to $1.2 trillion as of September 30,
2008, a 31% drop from the record $1.8 trillion DR value six months
prior.

-- More than 2,900 DR programs from 80 countries were available to
investors, up from about 2,200 a year ago, due largely to growth in
new
unsponsored programs arising from changes to SEC Rule 12g3-2(b) this
October.

-- DR capital raisings totaled $14.4 billion, a 74% decrease from
2007's record $54.7 billion. Issuers from 16 countries completed
41 initial public offerings (IPOs) and follow-on offerings, including
the year-end $216 million follow-on offering from Japan's
Mitsubishi Financial.

-- DR issuers from Brazil, Russia, India and China (the "BRIC"
countries) continued to dominate the DR markets, accounting for 56% of
DR capital raisings, 54% of DR trading value, 25% of DR outstanding
value, and 49% of new sponsored DR programs, including 20 companies
spun
off from Russia's RAO UES, the largest DR corporate action in
history.

-- Global merger and acquisition (M&A) activity was down 29% over 2007
levels. Large M&A deals involving DRs included Israel's
Teva's acquisition of Barr Pharmaceuticals as well as the
acquisition of Business Objects by Germany's SAP.

Further results from The Bank of New York Mellon's year-end industry report
follow.

DR Liquidity Surges to Record Levels
2008's overall DR trading value reached an all-time high, growing more than
34% year-over-year to $4.4 trillion. The major U.S. stock exchanges -- the
New York Stock Exchange (NYSE), NASDAQ and NYSE Alternext US (formerly the
American Stock Exchange) -- remained the largest markets for DR trading,
accounting for 84% of total DR trading value. A record 119 billion DRs valued
at $3.7 trillion traded on the U.S. exchanges during 2008, representing 56%
and 28% increases, respectively. European-listed DR trading value also grew
strongly, with a projected $556 billion of DRs traded on the International
Order Book (IOB), the primary trading platform for DRs listed on both the
Luxembourg Stock Exchange (LuxSE) and the London Stock Exchange (LSE)(i).
This represents a 44% increase over the 2007 total. Other trading, primarily
DRs traded over-the-counter (OTC) and on PORTAL, comprised an estimated $146
billion in value.

New Programs Established from Countries Worldwide
In 2008, 707 new DR programs for companies from 47 countries were
established(ii). Japan led the way with 98 new DR programs created during the
year. Overall, sponsored DR program establishment was down from 2007 due to
market uncertainty. Of 2008's 102 new sponsored DR programs, 32 were listed
on stock exchanges -- 12 in the U.S. and 20 in Europe and Asia. Thirty-four
issuers chose to trade their new sponsored DRs on the U.S. OTC market, with
four of the issuers using the OTCQX platform. The remaining 36 new sponsored
programs trade on various other platforms. Russian issuers established the
highest number of new sponsored programs with 23 in total.

In 2008, 605 unsponsored DR programs were established, causing an
unprecedented 288% year-on-year rise in unsponsored programs. Initiating the
sharp increase in unsponsored programs was a change implemented in October by
the Securities and Exchange Commission to Rule 12g3-2(b) under the Securities
Exchange Act of 1934, which simplified the process for establishing
over-the-counter American depositary receipts (ADRs). In response to investor
and broker demand, The Bank of New York Mellon established 510 unsponsored ADR
programs for select, eligible non-U.S. companies in 2008.

Overall, at the close of 2008, investors were able to select from more than
2,900 DR programs for companies from 80 countries.

DR Outstanding Values Decrease
The Bank of New York Mellon estimates (iii) that, in line with global markets,
the total value of DRs outstanding decreased 31% year-over-year to $1.2
trillion at the end of the third quarter. Outstanding values of U.S.-listed
DRs totaled more than $862 billion on September 30, 2008, while outstanding
values of European-listed DRs were estimated to be $200 billion. The value of
OTC-traded and other DRs was estimated at $168 billion.

As in 2007, U.S. investors held more DRs than any other investor group.
According to Federal Reserve statistics released on December 11, 2008, the
total value of U.S. investment in non-U.S. equities (both DRs and non-U.S.
shares) decreased to $3.6 trillion in the third quarter(iv). This amount
represented 18.4% of the value of total U.S. equity investment, a decrease
from 20% during the same time last year.

BRIC Countries Lead DR Capital Raisings
DR issuers from 16 countries completed 41 new initial and follow-on DR
offerings in 2008, raising $14.4 billion. Continuing the trend from 2007, DR
capital raising transactions during 2008 were dominated by issuers from the
BRIC countries. Of the 41 DR capital raisings, 26 transactions totaling $8
billion were from companies in the BRIC nations, representing 56% of the
year's total value. Of the remaining 15 offerings, 10 were completed by
issuers from other emerging markets.

Reflecting Market Turmoil, ADR Index Closes Down for the First Time in Six
Years
Overall DR performance, as tracked by The Bank of New York Mellon ADR IndexSM,
fell during 2008. On December 31, 2008, the Index closed at 102.95, down
45.82% year-to-date. Notably, three country ADR sub-indices were affected by
the market downturn to a lesser extent than others: The Bank of New York
Mellon Israel ADR Index was down 10.87%, The Bank of New York Mellon Chile ADR
Index was down 20.45%, and The Bank of New York Mellon Denmark ADR Index was
down 22.64%.

The Bank of New York Mellon Emerging Markets ADR Index, down 49.75%,
outperformed the comparable MSCI Emerging Markets Index, down 54.48%.

At year end, the Composite ADR Index had 365 constituents and a free-float
market capitalization as defined by Dow Jones & Company of $3.8 trillion. In
2008, The Bank of New York Mellon ADR Index reached the 10-year anniversary
mark and remains the only real-time index to track all ADRs, New York Shares
and global registered shares traded on the NYSE, NYSE Alternext US and NASDAQ.

In July the Bank launched The Bank of New York Mellon Russia Select DR Index,
which comprises a select group of depositary receipts (DRs) from Russia. In
October 2008, the Bank launched The Bank of New York Mellon GDR IndexSM and 30
global depositary receipt (GDR) sub-indices. The Bank of New York Mellon GDR
Index comprises all GDRs traded on the London Stock Exchange (LSE). Also in
October, the Bank launched The Bank of New York Mellon DR IndexSM, which
includes all ADRs listed on the NYSE, the NYSE Alternext US and NASDAQ, as
well as all GDRs that trade on the LSE.

Demand for more exchange-traded funds (ETFs) based on DRs was evidenced by the
creation of the Claymore/BNY Mellon Frontier Markets (FRN) ETF, which tracks
The Bank of New York Mellon New Frontier DR Index. The Frontier index was
launched in May with 48 constituents representing ADRs and GDRs from 17
countries in four regions.

Index Name Close One-Year
Change
The Bank of New York Mellon Composite ADR Index 102.95 -45.82%
The Bank of New York Mellon Latin America ADR Index 202.14 -52.52%
The Bank of New York Mellon Europe ADR Index 101.90 -46.40%
The Bank of New York Mellon Asia ADR Index 95.04 -42.99%
The Bank of New York Mellon Emerging Markets ADR
Index 189.03 -49.75%
The Bank of New York Mellon Developed Markets ADR
Index 78.46 -44.86%

Regional Review: DR Trading Value Up Across all Regions

Asia-Pacific
Trading of U.S.- and Europe-listed and OTC-traded DRs from the Asia-Pacific
region reached $1.27 trillion, representing more than 38 billion DRs -
increases of 27% and 49% over the previous year, respectively. For the second
year in a row, the most actively traded DR globally was China's Baidu.com,
which traded more than $332 billion in DRs in 2008, surpassing the program's
2007 year-end total value by 23%. China's China Mobile and Suntech Power,
along with Australia'sBHP Billiton and Taiwan's Taiwan Semiconductor
Manufacturing, were also among the region's most actively traded DRs.
Japan'sNintendo, Sumitomo Mitsui Financial, Mitsubishi Corp and Tokio Marine
Holdings and Singapore's DBS Group Holdings were the five most active
OTC-traded DRs in the region. The region's largest DR program as measured by
DR value was Taiwan Semiconductor Manufacturing, with more than $10 billion in
DRs.

The region's issuers established 37 new sponsored programs and raised more
than $2.5 billion in 23 DR-related transactions. Significant DR offerings
included China's JA Solar's $302 million offering on NASDAQ and Japan's
Mitsubishi Financial's follow-on offering of $216 million.

The March acquisition of Metal Management by Australia's Sims Group was valued
at $1.5 billion and created 53 million new DRs on the NYSE. In October, China
Unicom acquired China Netcom in a deal valued at $24 billion, which led to the
creation of approximately 22 million new DRs valued at $297 million on the
NYSE.

Emerging Europe, Middle East and Africa (EEMEA)
The EEMEA region's U.S.- and international-listed 2008 DR trading value
finished the year at $820 billion, a 48% increase from 2007. Russia'sGazprom
was the region's most active DR, with trading of nearly $196 billion, $188
billion of which changed hands on the LSE. The region's top five most
actively traded DRs also included Russia'sLukoil, Norilsk Nickel and Mobile
TeleSystems as well as Israel's Teva Pharmaceuticals. Notably, Gazprom,
Lukoil and Teva were also among the top 10 largest DR programs globally.

Issuers in the EEMEA region established 39 new sponsored DR programs,
including 20 that were spun off from Russia's RAO UES as part of the biggest
DR corporate action in history. Issuers from the region also completed 12 new
DR capital-raising transactions valued at $4.9 billion. A highlight was the
May offering from Kuwait's Global Investment House on the LSE, raising $1.15
billion in DRs, the largest Middle Eastern capital raising ever in DR form and
the first DR program from Kuwait. Other significant IPOs with DRs were
completed by Qatar's Commercial Bank of Qatar, Russia's GlobalTrans Investment
and Ukraine's MHP.

Teva acquired U.S. Barr Pharmaceuticals in a deal valued at approximately $7.3
billion. The acquisition involved nearly 69 million new DRs valued at $2.9
billion and a cash distribution of almost $4.4 billion.

Latin America
Trading of U.S.-listed DRs from Latin America totaled $1.19 trillion, growing
51% over the previous year as the region's issuers continued their strong
growth in liquidity and DRs outstanding. Brazil'sPetrobras (common and
preferred) traded more than $340 billion by year-end while CVRD (common and
preferred) traded more than $258 billion. The region's top 10 most actively
traded programs also included Mexico's America Movil (A and L series) and
Cemex, as well as Brazil's Unibanco, Banco Bradesco, Banco Itau and CSN, and
Argentina's Tenaris. The region's largest DR issue as measured by value was
America Movil (Series A and L), with nearly $32 billion worth of DRs
outstanding. With $28 billion in DRs outstanding at the close of the third
quarter, Brazil's CVRD (common and preferred) was the region's second-largest
issue.

Latin American issuers established 12 new sponsored DR programs and completed
four DR capital-raising transactions, raising more than $4.3 billion in 2008.
Of note were the NYSE rights offering by Brazil's Gerdau and CVRD's follow-on
offering of $2.3 billion.

Western Europe
Nearly $1.18 trillion of U.S.-listed and OTC-traded DRs from Western Europe
traded in 2008, a year-on-year increase of 27%. Finland's Nokia was the
region's most active DR program with $122 billion traded by year-end. The
U.K.'s BP, HSBC, Royal Dutch Shell and Rio Tinto, France'sTOTAL, Ireland's
Elan and Germany's SAP also were in the region's top 10. Switzerland'sNestle
and Roche Holding as well as Germany's E.ON AG and BASF and France's Societe
Generale were the region's top five most active OTC-traded DRs, aggregating
nearly $18.3 billion by year-end. The U.K.'s BP remained the world's largest
DR program as measured by DR assets, with $45 billion in DRs outstanding, a
30% decrease from 2007. Other issues with more than $15 billion in DR value
included the U.K.'s Royal Dutch Shell and GlaxoSmithKline, and Switzerland's
Novartis.

Western European issuers established 14 new sponsored DR programs and
completed two new capital-raising transactions valued at nearly $2.7 billion
in 2008. Nine of the new issuers chose to trade over-the-counter, with the
U.K.'s Phynova opting to list on the OTCQX platform. The U.K.'s Barclays Bank
PLC listed its preference shares on the NYSE while Thomson Reuters chose
NASDAQ. Germany's Evotec also listed its DR program on NASDAQ.

In January, SAP acquired Business Objects in a deal valued at $6.8 billion.
Nearly $1 billion was distributed to DR holders of Business Objects to
facilitate the deal.

The Bank of New York Mellon Solidifies its Industry Leadership
During 2008, The Bank of New York Mellon continued to demonstrate its DR
leadership position across several key categories. Specifically, the Bank
acted as depositary for 64% of all DR capital-raising transactions, 56% of all
new and successor sponsored DR programs and 45% of the year's DR trading
value.

In 2008, The Bank of New York Mellon continued to draw established DR issuers.
Argentina's Tenaris, the U.K.'s Rexam, Japan's Komatsu, Italy's Intesa
Sanpaolo and India's Himachal Futuristic all decided to move their programs
and selected The Bank of New York Mellon as their successor depositary. In
total, 182 issuers have switched 219 DR programs to The Bank of New York
Mellon from other depositary banks since 1990.

The Bank facilitated 17 M&A transactions involving DRs during 2008. These
transactions created more than 147 million new DRs valued at more than $4.8
billion and the Bank distributed nearly $8 billion to DR holders.

The Bank of New York Mellon acts as depositary for more than 1,350 sponsored
American and global depositary receipt programs, acting in partnership with
leading companies from 63 countries. With an unrivalled commitment to helping
securities issuers succeed in the world's rapidly evolving financial markets,
the Company delivers the industry's most comprehensive suite of integrated
depositary receipt, corporate trust and stock transfer services. Additional
information is available at www.bnymellon.com/dr.

The Bank of New York Mellon Corporation (NYSE: BK) is a global financial
services company focused on helping clients manage and service their financial
assets, operating in 34 countries and serving more than 100 markets. The
company is a leading provider of financial services for institutions,
corporations and high-net-worth individuals, providing superior asset
management and wealth management, asset servicing, issuer services, clearing
services and treasury services through a worldwide client-focused team. It has
$22.4 trillion in assets under custody and administration, approximately $1.1
trillion in assets under management and services approximately $12 trillion in
outstanding debt. Additional information is available at bnymellon.com.

This release is for informational purposes only. The Bank of New York Mellon
provides no advice nor recommendation or endorsement with respect to any
company or securities. Nothing herein shall be deemed to constitute an offer
to sell or a solicitation of an offer to buy securities. Depositary Receipts:
Not FDIC, State or Federal Agency Insured; May Lose Value; No Bank, State or
Federal Agency Guarantee.

Note: New sponsored DR statistics count bifurcated GDRs (i.e. those with a
144A and a Regulation S tranche) as one new program and exclude successor DR
programs.

(i) Data provided by the London Stock Exchange

(ii) Data from Bank of New York Mellon and stock exchanges.

(iii) Research Approach: The total value of investment in DRs is derived by
multiplying DRs outstanding by DR price. All DR price figures are publicly
available from the applicable stock exchange or trading market. The number of
DRs outstanding for Bank of New York Mellon-sponsored DR programs was derived
from internal reporting sources. The number of DRs outstanding U.S.-listed
issues sponsored by other depositaries was derived from publicly available
figures provided by the NYSE and NASDAQ. DRs outstanding figures for
European-listed and OTC-traded issues that are not serviced by The Bank of New
York Mellon were estimated using publicly available information including, but
not limited to, company reports and SEC 13-F shareholder data.

(iv) Federal Reserve Statistical Release: Z.1 - Flow of Funds accounts of the
United States

SOURCE The Bank of New York Mellon Corporation

Dori Flanagan, +1-212-815-2291, dori.flanagan@bnymellon.com, or Joe Ailinger,
+1-617-722-7571, joe.ailinger@bnymellon.com