Short Selling Update

On 25 May 2009, ASIC lifted the ban it had imposed on the covered short selling of financial securities, effective from 10am that day.

The previously announced disclosure requirements are still in force for all permitted short sales.

The current Australian position is summarised as follows:

• Naked short selling is banned except for the following:
• • The giving or writing of certain exchange traded call options;
  • Financial products which are unobtained at the time of sale, but will be obtained by the exercise of an option registered with Australian Clearing House Pty Limited or SFE Clearing Corporation Pty Limited;
  • In relation to certain corporate bonds (if the amount of bonds on issue with same maturity exceeds $100,000,000 in value);