(The news featured below is a selection from the news covered in the Federal Securities Report Letter, which is distributed to subscribers of the Federal Securities Law Reports.)

Restrictions on Insider Trades During Blackout Periods Approved

The SEC adopted rules pursuant to Section 306(a) of the Sarbanes-Oxley Act. This section prohibits the directors and executive officers of an issuer from directly or indirectly trading any equity security of the issuer during a pension plan blackout period that prevents plan participants or beneficiaries from engaging in equity securities transactions. The restrictions apply if the equity security was acquired in connection with the director or executive officer's service or employment as a director or executive officer. The rules also specify the content and timing of the notice that issuers must provide to their directors and executive officers and to the Commission about a blackout period.

The changes are effective January 26, 2003. Issuers must comply with Rule 104(b)(3)(i) and (iii) of Regulation BTR concerning notices filed on Form 8-K beginning March 31, 2003.

¨ Release No. 34-47225 is reported at ¶86,817 .