Greetings! I just got back from two full weeks of family vacation. Great time in Colorado. Highlight of the trip was the rodeo in Edwards, just outside of Vail.

Here's what's happening around FEI. Much going on as usual. Check out some of the upcoming chapter events too. Jessie Ventura and Arthur Levitt are scheduled to speak to the Twin Cities Chapter this fall (different times of course). We'll webcast both if we can. Paul Volcker is addressing FEI members in September too. Our technology forum in Las Vegas is nearing a sell-out. Don't forget about our top-seller, Current Financial Reporting Issues Conference. Sign-up on the web site.

IASC Update
Today we sent a letter to Paul Volcker emphasizing the importance of the initial board member selection of the new international accounting standards body. Here is a link to the full text of the letter.

SEC Fair Disclosure Rules
The SEC recently released new rules on selective disclosure and insider trading that become effective October 23, 2000. FEI has watched the developments on selective disclosure and whether there will be an impact on the flow of information with particular interest. The SEC believes that "material nonpublic" information, including advance warnings of earnings results, has been disclosed on a selective basis to securities market professionals and institutional investors.

The new rules are designed to promote full and fair disclosure of information to the public. The existing case law definition of material information is that "information is material if there is a substantial likelihood that a reasonable shareholder would consider it important in making an investment decision." The SEC deems information is nonpublic if it has not been disseminated in a manner making it available to investors generally. The rules cover disclosures that are intentional and unintentional. From now on, when material information is intentionally disclosed, it must be a disclosed simultaneously to the public on a "broad, nonexclusionary basis." However, there are exemptions for communications with the press, customers, suppliers, and rating agencies because they are not expected to trade securities on the basis of the information. The selective disclosure rules apply to communications with:

1. broker-dealers
2. investment advisers and certain institutional investment managers
3. investment companies and
4. any holder of securities that would reasonably be expected to the trade securities on the basis of the information disclosed.

When an unintentional disclosure of material information is made, it must be publicly disclosed within 24 hours. The required public disclosure can be made by filing a Form 8-K or by other means designed to reach the public.

The disclosure restrictions will apply only to senior company officials and those officers, employees and agents who regularly communicate with the investment professionals listed above and not lower level employees. A violation of the disclosure rules will not lead to an enforcement action under the securities laws' anti-fraud provisions. Nor do they create a liability for fraud for companies solely because of a disclosure violation.

FEI supported these new regulations in general. Many companies felt that the rules reflected existing practices in most companies. We plan to do some survey work among FEI members to determine the extent of any changes in internal in practice and guidelines.

Boris Feldman, a member of Wilson Sonsini Goodrich & Rosati, in Palo Alto, Calif., prepared a worthwhile FAQ document on Regulation FD. Access it here.

FASB Board Members
Last week, the FASB announced that Board members Gaylen Larson and Gary Mueller would not stand for reappointment when their terms expire on June 30, 2001. The nominating committee of the Financial Accounting Foundation has called for recommendations from interested parties by September 13, 2000. If you are interested or want to recommend someone, either contact me at plivingston@financialexecutives.org or contact Joe LaGambina of the FAF at 203.847.0700.

Webcasting Test …
We're testing out our ability to webcast live events. Check out this demo (it's using my very own Sony digital camcorder). It's a short ramble from me about what is FEI.

Discounted Term Life Insurance
Eligibility to request life insurance coverage made available under the American Institute of Certified Public Accounts Insurance Trust (AICPA) - the premier member insurance program for CPAs nationwide - is being extended to FEI members.

On Oct. 1, FEI members up to age 74 may begin participation in the CPA Flexible Life Insurance Plan. Trust participation of up to $750,000 for FEI members is on the same basis as members of State Societies of CPAs. Maximum participation of up to $2 million is available if you are also an AICPA member.

If you would like more information or wish to request CPA Flexible Life Insurance Plan coverage for the Oct. 1 Plan Entrance Date, please contact the Trust directly. Available on the same date is the alternate Trust plan for individual life insurance, the Group Variable Universal Life Insurance Plan (GVUL), which in addition to life insurance provides tax-deferred investment opportunities in equity funds. Questions on CPA Flexible Life Insurance Plan participation and information on GVUL may be obtained by visiting Aon Insurance Services, the Plan Agent's, website at http://www.cpai.com, by calling them directly at 800.223.7473, faxing them at 800-AICPAIT, or emailing John Pfeiffer at jpfeiffe@aon.com.

Forum on Finance and Technology
"Finance Leading Change in the Internet Economy" boasts top-level speakers, including:

• Charles Wang, Chairman of Computer Associates
• John Connors, CFO of Microsoft
• Philip Thompson, CIO of IBM
• Larry Downes, co-author of "Unleashing the Killer App."

This is an outstanding opportunity to network with the e-Business Global leaders. Also, findings from two major research efforts - the annual FEI/CSC Survey of Technology Issues for Financial Executives; and the FERF B2B e-Commerce study, will be presented during the program.

Plan to attend Sept. 18-19 at the Four Seasons Hotel in Las Vegas. Click here to register.

FEI YELLOW PAGES: A Great Place to Advertise
If you're selling to top financial executives, check out our new online yellow pages. We have very competitive rates, and a targeted audience of 15,000 decision-makers. Members- don't forget- you get a FREE entry! Sign up today. Check it out!

Dinner with Colorado Chapter Leaders
While on vacation in Colorado, my wife Karen and I were lucky enough to have dinner with the leaders of FEI's Colorado Chapter. Chapter President Seth Patterson kindly organized a great setting and FEI Western Area VP Steve Fisher arranged for the scenery. We had a spectacular time allowing me to get to know the group and thank them for all the hard work they do for FEI members. You can review some pictures of the event here.

New FEI Staff Members
Last week we added two new key staff members. Dean Krogman joins us as VP of Technical Activities and Conferences, and Bill McGrath joins as Director of Conferences. Both have impressive backgrounds and I look forward to their leadership on behalf of FEI members. Either can be reached through our main number here at FEI 973.898.4600. They are here to help you, so call soon and often!

FEI Deal Doers
Congratulations to past FEI Chairman Jim Abel! The NY Times reported this week that his company, Lamson & Sessions, had closed another acquisition.

New SEC Deputy Chief Accountant
Jackson Day, a former E&Y partner, was appointed a deputy chief accountant at the SEC this week.

New Member Welcome
Congratulations to Glenn Yee, CFO and Treasurer, Persis Corporation, in Honolulu, and to Mark D. Shapiro, SVP and CFO, Consolidated Stores, in Columbus, OH.

Job Posting - CFO
A leading retailer and e-retailer of quality outdoor clothing and recreational equipment seeks a CFO. Located in Seattle, WA, the CFO will take full responsibility for the financial and business process infrastructure. Lead a staff of 170 FTEs, including Accounting, Internal Audit, Inventory Management, Finance and Treasury. Full accountability for corporate Information Technology and Systems including Internet Commerce with the international component. Please respond to Gene Horne, President, Horne/Brown International, ghh@rmci.net.

To view more jobs, visit the FEI Career Center.

That's all for now,