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Maxcor Financial Group Inc. Announces 2000 Third Quarter Earnings; Third Quarter Net Operating Loss is $173,000, or $.02 Per Share;.

Business Editors

NEW YORK--(BUSINESS WIRE)--Nov. 10, 2000

Maxcor Financial Group Inc. (Nasdaq: MAXF) today announced a net operating loss of $173,000, or $.02 per common share, for its third quarter ended September 30, 2000. For the comparable period in 1999, the Company reported net operating income of $248,000, or $.03 per common share.

In connection with its third quarter acquisition of Tradesoft Technologies, Inc., a business-to-business e-commerce technology provider of electronic trading platforms, the Company recorded approximately $988,000 in goodwill, which is being amortized over 5 years, and incurred a one-time net charge of $429,000 for Tradesoft's in-process research and development initiatives. Including this one-time charge and goodwill amortization, the Company's net loss for the third quarter was $625,000, or $.08 per common share.

For the nine months ended September 30, 2000, the Company showed total net income of $1,946,262, or $.23 per diluted common share, compared to a net profit of $3,668,402, or $.36 per diluted common share, for the comparable period in 1999.

Total revenues for the third quarter of 2000 were lower, at $35 million, compared to $38 million for the third quarter of 1999. For the nine months ended September 30, 2000, total revenues were $115 million, compared to $125 million for the nine months ended June 30, 1999. The Company noted that the differences, both for the three-month and nine-month comparisons, were attributable primarily to reduced revenues in its London and Geneva operations, as well as to the effects of closing its Toronto office and discontinuing its Connecticut-based energy-related derivatives operations. In its New York center (which includes Connecticut), the Company said that revenues actually increased by about 3% in the current quarter over the comparison period, notwithstanding the discontinued operations.

As of September 30, 2000, the Company's book value per share was $3.38, versus $3.29 per share at year end 1999. The Company also reported that, through September 30th, it has repurchased 261,802 shares under the repurchase program for up to 833,744 shares authorized by its Board in May 2000.

Maxcor Financial Group Inc. (www.maxf.com), through its various Euro Brokers entities, is a leading domestic and international inter-dealer brokerage firm specializing in interest rate and currency derivatives, emerging market products, cash deposits and other money market instruments, repurchase agreements, corporate bonds and other fixed income securities, and certain energy products. Tradesoft Technologies, Inc., acquired by the Company in August 2000, is the Company's software and technology arm, specializing in the development and licensing of electronic trading platforms. Maxcor Financial Inc. is the Company's U.S. registered broker-dealer subsidiary and Maxcor Financial Asset Management Inc. is the Company's SEC registered investment adviser subsidiary. The Company employs approximately 570 persons and maintains principal offices in New York, London, and Tokyo, with other offices in Stamford (CT), York (PA), Vancouver (WA), Geneva and Mexico City.

This release contains certain "forward-looking" statements made pursuant to the "safe harbor" provisions of the Private Securities Litigation Reform Act of 1995. Wherever possible, the Company has identified these forward-looking statements by words such as "believes," "anticipates," "intends," "expects" and similar phrases. Such forward-looking statements, which describe the Company's current beliefs concerning future business conditions and the outlook for the Company, are subject to significant uncertainties, many of which are beyond the control of the Company. Actual results or performance could differ materially from that expected by the Company. Uncertainties include factors such as market and economic conditions, the success of technology development and deployment, the status of relationships with employees, customers and clearing firms, possible third-party litigations or other unanticipated contingencies, the actions of competitors, the effects of industry consolidations and government regulatory changes. Reference is made to the "Cautionary Statements" section of the Company's 1999 Annual Report on Form 10-K and to the Company's subsequent filings with the Securities and Exchange Commission for a fuller description of these and additional uncertainties. The forward-looking statements made herein are only made as of the date of this press release, and the Company undertakes no obligation to publicly update such forward-looking statements to reflect subsequent events or circumstances.

 MAXCOR FINANCIAL GROUP INC.
 Selected Financial Data

 For the Three For the Three
 Months Ended Months Ended
 September 30, September 30,
 2000 1999
 (unaudited) (unaudited)

Total revenue $ 35,076,656 $ 38,349,256
Net (loss) income ($ 624,945)(1)$ 1,047,599(2)
Basic earnings per share ($ 0.08) $ 0.12
Diluted earnings per share ($ 0.08) $ 0.12
Weighted average common shares
 outstanding: basic 8,461,820 8,337,437
Weighted average common shares
 outstanding: diluted 8,461,820 8,707,738

 For the Nine For the Nine
 Months Ended Months Ended
 September 30, September 30,
 2000 1999
 (unaudited) (unaudited)

Total revenue $114,992,880 $124,546,419
Net income $ 1,946,262(3) $ 3,668,402(2)
Basic earnings per share $ 0.23 $ 0.36
Diluted earnings per share $ 0.23 $ 0.36
Weighted average common shares
 outstanding: basic 8,372,575 10,175,187
Weighted average common shares
 outstanding: diluted 8,415,473 10,220,538


(1) Includes third quarter 2000 net charges of approximately $429,000,
 related to Tradesoft's in-process research and development
 initiatives, and approximately $22,000, for Tradesoft-related
 goodwill amortization.

(2) Includes third quarter 1999 non-recurring tax benefit of $800,000.

(3) Includes (i) first quarter 2000 after-tax gain of approximately
 $1.6 million realized in connection with restructuring of
 Tokyo-based brokerage operations; (ii) first quarter 2000
 after-tax charge of approximately $100,000 taken in anticipation
 of relocation of Toronto-based brokerage operations to New York;
 and (iii) third quarter 2000 net charges of approximately
 $429,000, related to Tradesoft's in-process research and
 development initiatives, and approximately $22,000, for
 Tradesoft-related goodwill amortization.
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Publication:Business Wire
Geographic Code:1USA
Date:Nov 10, 2000
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