Vienna Stock Exchange And CCP.A Tighten Delivery Terms

In agreement with the Austrian Financial Market Authority (FMA) and the clearing agent CCP.A, the Vienna Stock Exchange is tightening the terms of delivery for the sale of securities as a measure to calm the market. Sellers will remain under the obligation – just as up to now – to deliver the securities within three days of the trade (T+3). However, should a seller default on delivery, starting tomorrow, Tuesday, 23 September 2008, the clearing agent will require delivery to be to be completed in a much shorter time (within two days). In the case of failure to deliver on time, the Austrian clearing agent will cover the transaction (buy the securities) or settle the trade by cash (cash payment of the current value of the securities). In the case of cover purchases, the defaulting seller will be charged the higher price between the original sell price and the cover price. The rules on fines also remain unchanged.