NEW YORK, Feb. 9 /PRNewswire/ -- PR Newswire today issued the following
statement regarding the new U.S. Securities and Exchange Commission (SEC)
ruling that disclosure of material information over the Internet must be made
after the information is sent to traditional media outlets. The rule change,
which goes into effect in mid-March, was proposed last year by Nasdaq's
parent, the National Association of Securities Dealers Inc. (NASD). Issuing
the ruling publicly on Feb. 1, the SEC said the policy is necessary to
maintain a level playing field for all investors.
"PR Newswire's existing policy on distributing corporate news releases
over the Internet already complies with the new SEC ruling that material news
must be disclosed to traditional media outlets prior to dissemination to web
sites. We implemented the procedure that the SEC and the NASD now recommend
when we first began posting releases to web sites," said Ken Dowell, PRN's
vice president for media and content development.
"Companies that issue news releases through PRN satisfy disclosure
requirements with immediate and simultaneous distribution to The Associated
Press, Dow Jones & Co. Inc., Reuters Group Plc., Bloomberg Business News and
hundreds of other financial news outlets, newspapers and trade publications.
Fifteen minutes after this transmission, PRN provides its customers with the
broadest Internet exposure available by sending all news releases to our main
web site at http://www.prnewswire.com and to hundreds of premier web sites,
online services and databases including Yahoo!, PointCast, Dow Jones
Interactive, Bloomberg, Lexis/Nexis, America Online and online trading sites,"
Dowell continued.
"All outside services that carry or use PRN news releases receive them
after this 15-minute period and are subject to contractual requirements to
follow the policy. We actively monitor and enforce this requirement.
"The delay assures companies that they are in compliance with the new SEC
regulation by providing the appropriate time for dissemination of the
information through traditional sources before it is posted publicly.
"To further ensure meeting disclosure requirements, PRN also offers unique
Internet-based delivery services for journalists. The PRN Press Room,
http://www.prnmedia.com, is a password-protected web site accessible only to
journalists that displays news releases in real time. However, PRN does not
post news releases to the Press Room web site until after they have been
delivered via wire to disclosure points and traditional media outlets first.
In addition, journalists who register for access to the Press Room undergo a
verification process.
"Journalists also may receive custom e-mail delivery of PRN news releases
that fall under their chosen topics 15 minutes after the initial distribution.
This delay also affects news releases being posted to Company News On-Call, an
online archive of a company's entire news release database on PRN.
"PRN's procedures not only guarantee the broadest available visibility for
our members' news releases, but also adhere to all of the disclosure rules and
guidelines of the SEC and the stock markets. We are communicating directly
with our customers to assure them that they may remain confident using PRN
will satisfy their needs even as technological challenges require the
financial community to re-evaluate how it does business," concluded Dowell.
PR Newswire remains the world leader in the electronic distribution of
full-text news releases to the media and financial community since founding
the industry 45 years ago. With 29 U.S. bureaus, five overseas bureaus through
division PRN International, an exclusive partnership with Canada NewsWire and
its vast network of wire, fax, e-mail and Internet delivery, PRN serves the
news release needs of public relations and investor relations professionals
worldwide.
For more information, please contact Ken Dowell, PR Newswire's
vice president for media and content development, 201-946-5440,
Ken_Dowell@prnewswire.com, or Renu K. Aldrich, PRN's public relations manager,
212-282-1929, 800-503-2654, pager, Renu_Aldrich@prnewswire.com.
SOURCE PR Newswire
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Company News On-Call:
http://www.prnewswire.com/comp/106115.html or fax,
800-758-5804, ext. 106115
CONTACT:
Ken Dowell, vice president for media and
content development, 201-946-5440, or Ken_Dowell@prnewswire.com,
or Renu K. Aldrich, public relations manager, 212-282-1929,
800-503-2654, pager, or Renu_Aldrich@prnewswire.com, both of PR
Newswire
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