Notice N62/99

LONDON STOCK EXCHANGE
4 October 1999


For the attention of the
chairman/senior partner/compliance officer,
all member firms                                                    N62/99

STOCK EXCHANGE NOTICE

TRADE PUBLICATION REGIME AMENDMENTS FOR AIM SECURITIES

Introduction

1. The Exchange recently introduced a revised trade publication regime for
illiquid SEAQ securities, as detailed in Stock Exchange Notice N49/99.  As
part of the Exchange's ongoing initiative to increase post trade transparency,
a review of the AIM trade publication regime has been conducted.

2. The review concluded that a short term enhancement should be introduced
this year, with more substantial enhancements being considered for
introduction in the Spring of 2000.  The Exchange fully supports AIM and,
where necessary, will develop both its rules and trading systems to ensure its
continued success.

Existing publication regime

3. Under current rules, all non-risk AIM trades are published within three
minutes of execution.  However, market making firms are able to delay the
publication of all risk trades for up to three days, regardless of trade size.
 Cumulative risk trade volumes, per security, are released to the market at
the end of each day and trade prices are published in the Daily Official List.

Short term amendment

4. Time constraints imposed by the millennium system freeze dictate that a
full enhancement will not be achievable in 1999.  However, following
consultation with a number of market making firms, the Exchange intends to
reduce the trade publication delay for risk trades from three to two business
days, with effect from Monday 1 November 1999.  The remainder of the AIM trade
publication regime will be unchanged.
 
5. This change involves a simple central system configuration change for the
Exchange and requires no changes to Exchange rules.  It will help to improve
visibility for institutional and private investors, whilst at the same time
maintaining some degree of risk protection for market makers.

Long term proposal

6. The Exchange will continue to explore development opportunities for AIM,
including a revised trade publication regime.  Provisional consultation
suggests that a SEAQ-style trade publication regime, for some or all AIM
securities, could be adopted and introduced next year.

7. Consideration will also be given to improving post-trade transparency for
the remainder of securities trading on SEATS PLUS.

8. The Exchange intends to issue a Consultation Notice to the market on the
long term proposals in due course.


A E Scott-Bishop
Head of Regulatory Development

Any comments or queries on this Notice should be addressed to the Market
Regulation department, telephone [phone] (STX 31615).