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FINRA

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Monday, December 21, 1998
Michael D. Jones - (202) 728-8157

 

NASD Holds Annual Meeting

Washington, D.C.—The National Association of Securities Dealers, Inc. (NASD®), parent organization of The Nasdaq-Amex Market GroupSM and NASD Regulation, Inc., today at its annual meeting in Washington, D.C., discussed the year’s accomplishments and elected 12 members to its Board of Governors. The governors include five representing the general public, three representing member firms, and four from outside the securities industry.

 

NASD Chairman and CEO Frank G. Zarb addressed the membership, citing the NASD’s significant progress in implementing its Market of Markets vision for the future of global investing.

 

"Providing investors, issuers, and members with the best and most fairly regulated market is our primary focus. This year we launched a series of historic initiatives designed to challenge the status quo by providing a better product at a lower cost, and to ensure that the NASD continues to provide the most liquid, cost-efficient, advanced, and fair securities market in the world," said Zarb. "Our merger with the Amex [The American Stock Exchange] was a step toward a better product at a lower cost with choice."

 

Zarb went on to say, "We’re investing in the most advanced market technologies to provide investors and securities firms with more efficient pricing, faster trade execution, and reduced transaction costs. By doing this, we’re also providing issuers with better liquidity, cost efficiency and increased market visibility."

 

Commenting on the election of the NASD Board of Governors, Zarb said, "I look forward to working with our new Board, and am pleased to have such a distinguished group of professionals helping us as we chart a new course for our industry. Our Board has a unique governance structure that assures representation to diverse industry, non-industry, and public members. We welcome diversity and inclusiveness as a strength in serving the investor and our many constituencies."

 

Board of Governors

 

The NASD membership elected the following new members to the NASD Board of Governors:

 

Representing the Public

 

Elected to serve a one-year term on the NASD Board of Governors, representing the general public is:

  • Gerald R. Ford, 38th President of the United States.

Elected to three-year terms as public representatives are:

  • Elaine L. Chao, Distinguished Fellow, The Heritage Foundation.
  • Kenneth M. Duberstein, Chairman and Chief Executive Officer, The Duberstein Group.
  • Donald J. Kirk, Executive-in-Residence, Columbia University.
  • John D. Markese, President, American Association of Individual Investors.

Industry Representatives

 

Three new governors from NASD member firms were elected to represent the securities industry. Each will serve a three-year term. They are:

  • M. LaRae Bakerink, Executive Vice President and Director of Compliance for SK International Securities Corporation.
  • Alan L. Davidson, President and Founder, Zeus Securities, Inc.
  • Richard C. Romano, President, Romano Brothers & Company.

Non-Industry Members

 

Four new governors from outside the securities industry were elected to three-year terms:

  • H. Furlong Baldwin, Chairman of the Mercantile Bankshares Corporation.
  • Eugene M. Isenberg, Chairman and Chief Executive Officer of Nabors Industries, Inc.
  • Arthur Rock, Principal, Arthur Rock & Co.
  • James F. Rothenberg, President, Capital Research and Management Company.

Ongoing Terms

 

Presently serving on the NASD Board of Governors until January 2000 are: Nancy Kassebaum Baker, former United States Senator; Jon S. Corzine, Chairman and CEO, Goldman, Sachs & Co.; Robert R. Glauber, Lecturer, John F. Kennedy School of Government, Harvard University;  Arvind Sodhani, Vice President and Treasurer, Intel Corporation; and Kenneth J. Wessels, CEO, Wessels, Arnold and Henderson, LLC.

 

Present governors whose terms expire in January 2001 are: Herbert M. Allison, Jr., President and COO, Merrill Lynch & Co., Inc.; Frank E. Baxter, Chairman and CEO, Jefferies Group, Inc.; Michael W. Brown, Retired Chief Financial Officer, Microsoft Corporation; Harry P. Kamen, Chairman and CEO, Metropolitan Life Insurance Co.; Donald B. Marron, Chairman and CEO, PaineWebber Group Inc.; Paul H. O’Neill, Chairman and CEO, ALCOA; James S. Riepe, Vice Chairman, T. Rowe Price Associates, Inc.; Todd A. Robinson, Chairman and CEO, LPL Financial Services; and Howard Schultz, Chairman and CEO, Starbucks Coffee Company.

 

NASD staff Board members include: Frank G. Zarb, Chairman and CEO, NASD and The Nasdaq-Amex Market Group; Richard G. Ketchum, President, NASD, Inc.; Alfred R. Berkeley, III, President, The Nasdaq Stock Market, Inc.; Richard F. Syron, Chairman and CEO, The American Stock Exchange, LLC; Anthony J. Boglioli, Vice Chairman, The American Stock Exchange, LLC; and Mary L. Schapiro, President, NASD Regulation, Inc.

 

During his tenure as Chairman of NASD’s National Adjudicatory Council (1999), Nicholas C. Cochran, Chairman, American Investors Company, will serve on the NASD Board of Governors.

 

The NASD is the largest securities-industry, self-regulatory organization in the United States. Through its regulatory subsidiary, the NASD develops rules and regulations, provides a dispute resolution forum, and conducts regulatory reviews of member activities for the protection and benefit of investors. Through the Nasdaq-Amex Market Group, the NASD operates The Nasdaq Stock Market® and the American Stock Exchange (Amex®) in a unique dual market structure that brings together the central auction specialist and multiple Market Maker systems. The NASD oversees the nation’s 5,600 brokerage firms and more than half a million registered brokers. Consumers can contact the NASD to obtain the disciplinary and work histories, as well as other selected background information, of member firms and individual brokers or to get information on how to lodge a complaint.

 

For more information about the NASD and its subsidiaries, please visit the following Web sites: www.nasd.com; http://www.nasdaq-amex.com;  or the Nasdaq-Amex NewsroomSM at www.nasdaqamexnews.com.