NYSE Amends Rules For The Release of Material News


Halts Before Open

Under the amended NYSE Listed Company Manual, between 7:00 a.m. and the opening of trading, the NYSE can implement a regulatory halt if (i) the listed company has informed the NYSE staff that it intends to make a public announcement of material news, and (ii) the listed issuer requests that trading in its listed securities be halted pending dissemination of the public announcement.

Halts During Trading Hours

Under amended Rule 202.06, if it is necessary to request information from a NYSE issuer relating to (i) material news, (ii) the listed company’s compliance with Exchange continued listing requirements, or (iii) any other information which is necessary to protect investors and the public interest, the NYSE can halt trading of the listed company’s security until it has evaluated the requested information.

Material News After Trading Hours

Amended Rule 202.06 requests that NYSE listed issuers that plan to release material news after the close of trading wait until the earlier of the publication of its security’s official closing price or 15 minutes after the scheduled closing time on the NYSE.

Timeliness of Material News Releases

The NYSE requires companies to release material news by the fastest possible method. Amended Rule 202.06 requires that issuers release material news by either (i) including the news in a Current Report on Form 8-K or other Securities and Exchange Commission filing, or (ii) issuing the information in a press release to major news outlets including, at a minimum, Dow Jones & Company, Inc., Reuters Economic Services and Bloomberg Business News.

For further information about this securities law blog post, please contact Brenda Hamilton, Securities Attorney at 101 Plaza Real S, Suite 202 N, Boca Raton, Florida, (561) 416-8956, by email at [email protected] or visit  www.securitieslawyer101.com.   This securities law blog post is provided as a general informational service to clients and friends of Hamilton & Associates Law Group and should not be construed as, and does not constitute, legal and compliance advice on any specific matter, nor does this message create an attorney-client relationship. Please note that the prior results discussed herein do not guarantee similar outcomes.

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