Business Wire’s Preliminary Comments on SEC Disclosure Vote

August 1, 2008

We know there has been much discussion in the past day with regards to the SEC’s statement on websites and disclosure. Our press release issued today indicates that before we can issue a detailed response, we are waiting until the SEC’s interpretive guidance is issued.

However, we continue to maintain that simply posting material news on a corporate web site or using blogs does not meet the spirit and intent of Regulation FD because it is neither simultaneous, nor full and fair. It is Business Wire’s belief that this is not what the SEC intended.

As we have stated in the past, the use of web sites as an ancillary means of news dissemination is, in our view, a best practice. However, web posting or blogs alone are not a substitute for secure and simultaneous push delivery of material news to the disclosure media, financial markets, online web portals, aggregators, and the global investing public. Neither does it accomplish the requirements of the major stock exchanges.


Investor Relations & Disclosure Practices – Observations on Academic Research

March 27, 2008

We came across this interesting blog post by John Palizza, Rice University instructor and founding partner of Palizza Partners who was prepping for his investor relations class. His post provides a summary of various research findings related to investor relations and disclosure practices. Here’s a highlight: “improvements in the quality and quantity of voluntary disclosures improves a stock’s share price, trading volumes and narrows the bid – ask spread. The result of all this is increased liquidity and decreased volatility.”

There are a number of additional conclusions he draws about IR as it relates to the size of the company as well as the positive effects of having an ongoing, transparent investor relations effort. Very interesting. (apologies for errors in the original post – TB)


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