NYSE's New Corporate-Governance Standards For Listed Issuers Approved By SEC

The New York Stock Exchange's new corporate governance standards for listed companies were approved today by the Securities and Exchange Commission.

This is a culmination of the corporate governance reforms proposed by the NYSE last year to strengthen corporate transparency and accountability.

Central to the new standards are the requirements that boards of NYSE-listed companies have a majority of independent directors and that nomination and compensation committees consist solely of independent directors, as well as tightening the definition of director independence.

"These new governance standards are a major step forward in corporate accountability, strengthening the governance of NYSE-listed companies and the checks and balances among investors, issuers and the NYSE market," said NYSE Executive Vice Chairman, President and Co- Chief Operating Officer Catherine R. Kinney. "The approval of these far-reaching changes reflects the work and input of many participants in the industry, and we are thankful for their contributions."

On June 30, 2003, the SEC separately approved the NYSE corporate governance proposal requiring shareholder approval of equity compensation plans.

The final rule text is available at: http://www.nyse.com/pdfs/finalcorpgovrules.pdf