SEC Approves Implementation of SuperMontage


Washington, D.C., August 28, 2002 - The Securities and Exchange Commission took action today that will allow The Nasdaq Stock Market's SuperMontage trading system to begin operation.

To establish the SuperMontage's start date, the Commission ordered Alternative Trading Systems (ATS) - potential users of the NASD's Alternative Display Facility (ADF) - to certify under oath that they are actively preparing to use the ADF as an alternative to SuperMontage.

If the Commission does not receive a certification within five business days from today indicating that an ATS intends to use ADF to quote Nasdaq securities representing a substantial proportion of their Nasdaq business, SuperMontage may begin operation on Sept. 6, 2002. If the Commission receives certifications within five business days, SuperMontage may be implemented on Oct. 11, 2002.

"The proposal to establish SuperMontage was originally filed on October 1, 1999 and was amended nine times to reflect the concerns of market participants," said Annette Nazareth, director of the Division of Market Regulation. "SuperMontage adds a limit order book that is electronically displayed and executed through automatic execution. The system was designed to enable Nasdaq to compete more effectively with ECNs and other market participants. Moreover, SuperMontage is the centerpiece of Nasdaq's vision for its future and it is a key element in its plans to transform itself into a for-profit entity."

Copies of the Commission's order can be obtained by contacting the SEC's Public Reference Room, 450 Fifth Street, N.W., Washington, DC 20549-0609 or by accessing the SEC's website at

Last modified: 8/28/2002