POLICY STATEMENT REGARDING THE EXTENSION OF THE FOREIGN STOCKS EXEMPTION PROVIDED BY ALA. CODE § 8-6-11(a)(2) TO ADR'S

WHEREAS the Alabama Securities Commission is charged with the administration of the Alabama Securities Act (the "Act");

WHEREAS Ala. Code § 8-6-11(a)(2)a. provides an exemption from the registration requirements of the Act for any nonissuer transaction in an outstanding security by a registered dealer if "the security is listed for trading on a foreign securities exchange and has been trading for at least six months and continues to trade on such exchange, and the aggregate market value of shares, the ownership of which is unrestricted, is not less than $500,000,000"; and

WHEREAS securities listed for trading on foreign stock exchanges trade in the United State of America as American Depository Receipts ("ADR's") which entitle the shareholder to all dividends and capital gains of such shares of foreign stock held in deposit in a United States bank;

NOW THEREFORE, IT IS HEREBY ORDERED AS FOLLOWS:

THAT THE EXEMPTION FROM REGISTRATION provided in Ala. Code § 8-6-11(a)(2)a. includes the ADR's representing the underlying securities.

See original statement of policy HERE.