Acquisition of the Global Commodities Group (Tables)

9 Months Ended

Aug. 31, 2011

Acquisition of the Global Commodities Group [Abstract]

Assets acquired and liabilities assumed, by major class

Assets acquired:
Cash and cash equivalents	$	101,343
Cash and securities segregated		3,130,586
Financial instruments owned, at fair value		918,598
Securities purchased under agreements to resell		1,489
Receivables:
Brokers, dealers and clearing organizations		313,939
Customers		173,477
Fees, interest and other		122
Premises and equipment		13,584
Indefinite-lived intangible exchange memberships and licences (1)		11,219
Finite-lived intangible customer relationships (1)(2)		5,800
Trade names (1)(3)		1,300
Other assets		32,076
Total assets	$	4,703,533
Liabilities assumed:
Short-term borrowings	$	301,027
Financial instruments sold, not yet purchased, at fair value		267,200
Payables:
Brokers, dealers and clearing organizations		43,588
Customers		3,384,263
Accrued expenses and other liabilities		232,933
Total liabilities	$	4,229,011
Fair value of net assets acquired	$	474,522
Purchase price:
Cash	$	422,013
Total purchase price	$	422,013
Bargain purchase gain	$	52,509

(1)	Intangible assets are recorded within Other assets on the Consolidated Statements of Financial Condition.
(2)	The fair value of the finite-lived customer relationships will be amortized on a straight line basis over a weighted-average useful life of approximately 9.6 years.
(3)	The fair value of the Bache trade name will be amortized on a straight line basis over a useful life of 1.5 years.

Unaudited pro forma combined financial information related to global commodities group

	Three months ended				Nine months ended		Eight months ended
(in millions, except per share data)	August 31, 2011		August 31, 2010		August 31, 2011		August 31, 2010
Total net revenues	$	473.3	$	566.7	$	2,079.7	$	1,703.0
Net earnings to common shareholders	$	16.7	$	37.6	$	198.4	$	210.8
Earnings per common share:
Basic	$	0.07	$	0.18	$	0.90	$	1.03
Diluted	$	0.07	$	0.18	$	0.90	$	1.03
Weighted average common shares:
Basic		218,426		195,601		209,544		196,943
Diluted (1)		218,431		195,612		213,661		201,062

(1) The conversion of our mandatorily redeemable convertible preferred stock was considered anti-dilutive for the purposes of the pro forma calculation for the three months ended August 31, 2011.