Stock Exchange Notice N38/00

London Stock Exchange
28 June 2000


For the attention of the
chairman/senior partner/compliance officer,
all member firms                                                   N38/00

STOCK EXCHANGE NOTICE

RULE AMENDMENT 

MIGRATION OF NON-BRITISH GOVERNMENT AND UK PUBLIC BOARD STOCKS FROM THE
CENTRAL GILTS OFFICE TO CREST

1. Due to certain legislative provisions, a small number of non-British
Government securities and UK public board stocks that are currently settled in
the Central Gilts Office ('CGO'), will not be eligible for settlement in CREST
when the transfer of CGO securities to CREST takes place on 3 July 2000.

2. London Stock Exchange rule A1.1 currently requires these securities to be
dealt for settlement on the day after trade date (T+1). It is recognised that
for these securities settlement may not be achieveable on a T+1 basis after
today, 28 June 2000. 

3. The Exchange is therefore amending rule A1.2 to specify that the settlement
period for transactions dealt in securities subject to accrued interest and
not eligible for settlement in CREST shall be T+5, unless otherwise agreed at
the time of dealing.

4. The amendment to the rule is attached as appendix 1 to this Notice and is
effective immediately. A list of securities affected by this rule change is
also attached in appendix 2.

5. Updated pages for insertion into rule books will be issued in due course.

Andrew McStravick
Head of Market Regulation

Any comments or queries on this Notice should be addressed to Regulatory
Development, telephone [phone] (STX 33310) or 
Email: [e-mail].

This Stock Exchange Notice will be available on the website at
www.londonstockexchange.com/regulation/notices/.