Cedel to use Treasury Services Inc. software.

Cedel, a major international securities clearing consortium, has agreed to license risk management and profitability software from Treasury Services Inc., company officials announced earlier this month.

Luxembourg-based Cedel clears about $7 trillion in crossborder securities transactions annually for about 3,000 customer institutions. It is owned by around 100 global financial institutions, including Citicorp, Chase Manhattan

Corp., Chemical Banking Corp., and BankAmerica Corp.

Cedel's biggest competitor is Euroclear, operated by J.P. Morgan & Co. under a contract with its financial institution owners. Formed in 1970, Cedel has grown rapidly in recent years, now capturing 40% of the Eurobond settlement market, according to Katherine M. Jansen, a sales manager at Santa Monica, Calif.-based Treasury Services.

Cedel will use Treasury Services Evaluation and Reporting System to build customer risk profiles in order to better price their clearing services, Ms. Jansen said.

Cedel will also use the software to measure profitability by product, region, and line of business.

The contract, for an undisclosed sum, is the first in Europe for Treasury Services, Ms. Jansen said. "Working with Cedel also takes our software into a more transaction-intensive environment," she added, explaining that her firm is consulting with Cedel to modify the software so managers can obtain daily updates of customers' transaction activity.

The software, which runs over a network of personal computers, is expected to be installed in the first quarter of 1995.

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