Deutsche Börse Up-dates SMAX Rules & Regulations - Transition To International Accounting Standards

As at January 1 2000, Deutsche Börse is adapting the SMAX Rules & Regulations to meet the growing requirements of the European capital market. Above all, SMAX-listed companies will, as of the beginning of the year 2002 reporting period, have to meet international accounting standards. Moreover, the regulations for preferential allocation of shares have been made more precise. By introducing international accounting standards at SMAX - they have applied in Neuer Markt from the outset - Deutsche Börse is endeavoring to enhance market transparency specifically for international investors. The new regulations are intended to boost the attention investors pay to this segment and facilitate international comparability while also meeting calls for greater transparency. In the process, all annual and quarterly reports for fiscal years beginning after December 31, 2001 shall be presented in line with the IAS International Accounting Standards, or US-GAAP, the US Generally Accepted Accounting Principles. In order to offer investors based outside Germany even better quality information, the new Rules & Regulations foresee ad hoc reports being also published in English as of the year 2002. This is already the case for annual and quarterly reports. Further changes have been made as regards preferential allocation of shares. In future, shares from a preferential allocation, for example for staff participation programs, shall no longer be classified as part of free-float. Shares in free float will therefore be fully available to the market and must, as hitherto, amount to at least 20 percent of the total issue volume, whereby Deutsche Börse recommends a free-float of 25 percent.