* NYSE Euronext clearing tie with LCH Clearnet to end in 2012
* NYSE Euronext to set up own clearing houses in London, Paris
* French regulators want smooth transition, watching credit
(adds details, adds regulators statement)
PARIS, May 12 French financial regulators said
on Wednesday they will closely monitor the change in clearing
system announced by NYSE Euronext NYX.N NYX.PA, saying
clearing houses played a "crucial role" in financial stability.
Earlier in the day, NYSE Euronext said it would stop using
the services of the LCH Clearnet group from 2012 and would start
its own clearing houses for European securities and derivatives
in London and Paris in late 2012.
"LCH.Clearnet Ltd in London and LCH.Clearnet SA in Paris
have been informed that NYSE Euronext's current contractual
arrangements for clearing with them will terminate accordingly
at that time," the NYSE Euronext statement said.
No termination fees or penalties will be payable.
The new clearing house in London will clear listed interest
rate, commodities and forex products and the new clearing house
in Paris will clear equities and equities derivatives.
In a joint statement, French stock market watchdog AMF, the
Bank of France and Authorite de Controle Prudentiel (ACP) urged
NYSE Euronext and LCH Clearnet to ensure a smooth transition.
They said they would be particularly vigilant on credit
derivatives clearing, in line with targets provided by the G20
and European Union finance ministers council.
(Reporting by Dominique Vidalon, editing by Marcel Michelson)