NYSE Proposes Rule Change Relating to New Trading Service

Washington, DC, June 23, 2000 - The Securities and Exchange Commission has published for comment a proposed rule change filed by the New York Stock Exchange relating to NYSE Direct+, a new facility of the Exchange which would provide automatic execution of limit orders of 1,099 shares or less ("auto ex" orders). The proposed rule change would, among other things, amend existing NYSE rules to define an "auto ex" order and implement several new NYSE rules governing trading through NYSE Direct+. Comments on the proposed rule change are due to the SEC no later than July 6, 2000.

The proposed rules also list six situations where the auto ex facility would not be available due to market situations, lack of depth in the published quotation, or inappropriate pricing of the auto ex order, and provides that an auto ex order that cannot be immediately executed for any of these six reasons will be automatically entered for execution in the NYSE's auction market.

The proposal would be implemented at the outset as a pilot program in a limited number of stocks before being made available to all stocks. The Release states that the NYSE has discussed with SEC staff the possibility of limiting the term of the pilot program to a one-year period, and that the NYSE has not yet determined which stocks will be eligible for automatic execution under the pilot.