09/05/06: NYSE Annual Reporting Changes

The SEC has approved a revision to New York Stock Exchange rules that changes NYSE's annual financial statement distribution requirement to simply require a company's 10-K or 20-F to be made available on or by a link through its website rather than by mailing. The link or posting has to have a prominent legend undertaking to deliver a paper copy upon request free of charge. Companies will also have to issue a press release stating that the annual report had been filed with the SEC and specifying the website address. Since current SEC rules will in nearly all instances (other than for foreign private issuers) still require mailing, this rule will likely not have any near term impact (other than requiring an additional press release) until the SEC rules regarding electronic proxy delivery (expected to be approved in late 2006) are adopted.

The revised NYSE rules also make several technical changes and eliminate NYSE requirements regarding separate deadlines for annual reports, notices of late annual reports, content of annual reports and financial statements and distribution of annual reports -essentially NYSE now leaves this to SEC rules and requires listed companies to meet SEC deadlines.

The rules further eliminate the separate requirement to send 2 copies of the annual report to NYSE.

The new rules also require listed companies to have and maintain a website.

Click here to view the full SEC approving release.