FEI Invites Comments On SEC Selective Disclosure Proposals.

• Position: Brief Article

FEI's Committee on Corporate Reporting (CCR) is preparing position letters in response to the Securities and Exchange Commission's proposed new rules regarding selective disclosure, and invites comments.

The SEC will examine the selective disclosure by issuers of material nonpublic information; whether insider trading liability depends on a trader's "use" or "knowing possession" of material nonpublic information; and when the breach of a family or other non-business relationship may give rise to liability under the misappropriation theory of insider trading. The proposals

are designed to promote the full and fair disclosure of information by issuers, and to clarify and enhance existing prohibitions against insider trading. Public comments are due on or before March 29, 2000.

In addition, the SEC is proposing to reposition certain schedule information currently required under Rule 12-09 of Regulation S-X within a new Item 302(c) of Regulation S-K to specify the disclosures to be provided by registrants concerning changes in...