GENERAL: NZX: Change to ex-rec period

20 Aug 2010 5:06 pm

NZX 20/08/2010 GENERAL

REL: 1706 HRS NZX Limited

GENERAL: NZX: Change to ex-rec period

19 August 2010. NZX advises that due to the change to the "ex-rec" period which becomes effective following the cutover to the new settlement system, the Ex Date will be changing for all corporate actions with a Record Date that falls on or after 1 September 2010.

Currently the Ex Date is the Business Day after the Record Date. Trades prior to the Record Date trade on a "cum-entitlement" basis. Unsettled trades on Record Date are adjusted in FASTER to reflect the fact that Buyers will not receive the relevant entitlement.

The change to the "ex-rec" regime provides that the Ex Date will be two Business Days before the Record Date (three full trading days before "books close"). This removes the requirement to adjust trades.

Some Listed Issuers have announced a dividend with a Record Date between 1 - 7 September 2010. These events coincide with the cutover to the new settlement system. To ensure trades executed prior to the Record Date for these Issuers can be settled in the new system correctly, they must trade "ex-dividend".

After consultation with market participants, NZX has determined that these trades will not be adjusted in FASTER, and the new "ex-rec" period will be applied to affected dividends as follows:

CEN: XD-1/9, RD-3/9 TEL: XD-1/9, RD-3/9 SKT: XD-1/9, RD-3/9 DOW: XD-30/8, RD-1/9 APN: XD-3/9, RD-7/9 SPT: XD-2/9, RD-6/9

The weekly diary reflects the change to these and other corporate actions with a Record Date on or after 1 September 2010.

ENDS End CA:00198648 For:NZX Type:GENERAL Time:2010-08-20:17:06:52

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