Jim Buckley, Chief Executive of the Exchange said yesterday:
"The Exchange is located in the centre of the City and offers members superb restaurant facilities which we believe will prove to be very attractive to many people working in the City. The introduction of this new member category - carrying a proposed annual individual subscription of £500 - will enable those not working in the Exchange's businesses to enjoy the facilities that we provide."
He explained that the proposed changes in the rules had two main thrusts: first, the election of members will be greatly simplified; and second, subscriptions will be charged on a corporate basis.
"The concept of membership of the Exchange giving a right to 'trade on the Floor' is largely historic and today companies as a whole benefit from membership, for example, by access to our unique range of freight market information," he said.
If the proposed changes are approved, annual subscriptions will broadly reflect the size of the company or group of companies, in terms of its interest in shipbroking, arbitration, law, finance, freight derivatives and related employment as measured by the number of employees. Under the existing Exchange rules, subscriptions have been calculated by reference to the number of principals and representatives representing each member company. There will be five categories of membership. At the same time the procedures for election of new members will be streamlined.
Meanwhile, the Exchange is also considering changes to the interior of its building. It is analysing alternative uses for the large trading Floor, in particular to generate a steady rental income. Attendance by members at the traditional Monday lunch time trading period on the Floor has declined steadily in recent years. Conversion of the Floor area to commercial office space with members' facilities consolidated on to the first floor of the Exchange is being considered. "But", said Mr Buckley, "the Exchange remains committed to providing appropriate space for its members to meet to talk about business as well as to eat and drink in an atmosphere of international shipping."
Members of the Exchange have been sent details of the proposed rule changes which will be considered at an Extraordinary General Meeting on 17 January 2002.
