Mini Case: Valuing Currency Management: TOM Versus U.S. Commerce Bank On February 19, 2009, an arbitral tribunal found that U.S. Commerce Bank (USCB) Analytics, a wholly owned subsidiary of USCB...

Mini Case: Valuing Currency Management: TOM Versus U.S. Commerce Bank

On February 19, 2009, an arbitral tribunal found that U.S. Commerce Bank (USCB) Analytics, a wholly owned subsidiary of USCB Corporation, a large U.S.–based bank, had breached an exclusivity provision of its joint venture (JV) agreement with Trend Ontledings Maatschappij (TOM), a Dutch currency management business. Consequently, TOM claimed USCB was obligated to compensate the firm for lost earnings that would have accrued to TOM during the life of the JV.