Pursuant to an Order issued by the Securities and Exchange Commission on June 8, 2000, the national securities exchanges and the National Association of Securities Dealers, Inc. have submitted a comprehensive phase-in plan for decimal pricing in equity securities and options. The plan presented to the Commission calls for decimal pricing to begin in 13 exchange-listed securities and options on those
securities on August 28, 2000. Decimal pricing will then be expanded to 50 to 100 additional exchange-listed securities and their options on September 25, 2000. The plan provides that decimal pricing for all remaining exchange-listed securities and all options potentially could begin as early as December 2000. Any decision to convert all remaining exchange-listed securities and
options between the period December 2000 and April 9, 2001 will be based on an assessment of industry readiness, and will be preceded by at least 30 days notice. Consistent with the Commission's June 8th Order, the plan also calls for limited decimal pricing in Nasdaq securities no later than March 12, 2001, and completion of the decimal conversion for all equity securities and options on or before April 9, 2001.
SEC Chairman Arthur Levitt said, "Decimal pricing has the potential to significantly benefit investors, and to make our markets more competitive internationally. I wish to express my appreciation for the leadership of Congressman Thomas Bliley and other Members of Congress, as well as the extensive efforts of the self-regulatory organizations and the Securities Industry Association, in moving us to this critical juncture. The Commission will carefully review the decimal implementation plan in the coming weeks, and will work closely with the self-regulatory organizations and the securities industry to ensure that decimal conversion is implemented in a safe and orderly manner."