Cowen Group, Inc. Announces 2008 First Quart...($16.4 million or 36% compared with$45.2 ...),Health

Date:5/8/2008

$16.4 million, or 36%, compared with $45.2 million in the prior year period. The decrease was primarily attributable to the application of the Company's compensation to revenue ratio to lower revenue in the first quarter of 2008, partially offset by a 2% increase in such ratio in the first quarter of 2008. Employee compensation and benefits expense for the first quarter of 2008 included a net benefit of $4.2 million associated with the compensation expense related to the initial grant of equity to the Company's employees in connection with its initial public offering which compares to $2.6 million of expense in the prior year period. The net benefit of $4.2 million in the first quarter primarily relates to the reversal of $5.1 million previously expensed in 2006 and 2007 associated with the IPO award that was forfeited by Kim S. Fennebresque in connection with his resignation as President and Chief Executive Officer. Excluding the expense associated with the initial grant of equity, employee compensation and benefits expense as a percentage of total revenues was 60% and 58% for three months ended March 31, 2008 and 2007, respectively.

Non-Compensation Expense

Non-compensation expense was $23.9 million in the first quarter of 2008, a decrease of $1.9 million, or 7%, compared with $25.8 million in the prior year period. The decrease was primarily attributable to a decrease in floor brokerage and trade execution related expenses and a decrease in other expense. These decreases were partially offset by increases in service fees and in marketing and business development expense.

Provision for Income Taxes

The Company recorded a provision for taxes of $1.6 million for the three months ended March 31, 2008, which reflects an effective tax rate of 71.1%, compared to a provision for taxes of $1.9 million in the first quarter of 2007, which reflects an effective tax rate of 43.8%. The higher effective tax rate in the first quarter of 2008 was prima
'/>"/>

SOURCE Cowen Group, Inc. Copyright©2008 PR Newswire. All rights reserved

0 GOOD

Page: 1 2 3 4 5 6 7 8 9 10 11
Related medicine news :

1. ISTA Pharmaceuticals Engages Cowen as Financial Advisor
2. ULURU Inc. to Present at Cowen and Company 28th Annual Health Care Conference 2008
3. Transdel Pharmaceuticals to Present at Cowen and Companys 28th Annual Health Care Conference
4. Transition Therapeutics to Present at Cowen & Company 28th Annual Healthcare Conference
5. MannKind to Present at the Cowen and Company Healthcare Conference
6. Johnson & Johnson to Participate in the 28th Annual Cowen & Company Health Care Conference
7. Medivation to Present at Cowen and Companys 28th Annual Health Care Conference
8. ISTA Pharmaceuticals to Present at the Cowen & Company 28th Annual Health Care Conference
9. XTENT to Present at Cowen and Companys 28th Annual Health Care Conference
10. Iomai CEO to Speak at Cowen and Company Health Care Conference on Monday, March 17
11. Edwards Lifesciences to Present at the Cowen and Company Annual Healthcare Conference