News Release

NASD Announces New Organizational Structure

Washington, D.C.—The National Association of Securities Dealers, Inc. (NASD®), today announced the creation of two new divisions – The Nasdaq-Amex Market GroupSM and the NASD Regulation and Dispute Resolution Group – designed to enhance market efficiencies, as demonstrated by the following chart:

Organizational Chart

The Nasdaq-Amex Market Group, Inc., will address the market created by the merger of The Nasdaq Stock Market® and the American Stock Exchange® (Amex®). The other, NASD Regulation, Inc. & Dispute Resolution Group, will focus on regulatory and investor protection issues, as well as the dispute resolution function.

NASD Chairman & Chief Executive Officer Frank G. Zarb will lead the Nasdaq-Amex Market Group, which is the first of its kind—a unique dual market structure that sets the stage for the stock market of the future. The Nasdaq Stock Market, headed by President Alfred R. Berkeley, III, and the American Stock Exchange, headed by Chairman and Chief Executive Officer Richard Syron, will operate under a single holding company—with each market continuing to function as an independent subsidiary under The Nasdaq-Amex Market Group. Syron will also become a member of the Office of the Chairman of the NASD. Each market will be able to provide substantial benefits to investors, companies, and member firms of all sizes through technological innovation, and resource and operating efficiencies.

The NASD Regulation & Dispute Resolution Group, will be led by NASD President and Chief Operating Officer Richard G. Ketchum. This group will include NASD Regulation, Inc., headed by President Mary L. Schapiro. Elisse Walter will continue in her capacity of Chief Operating Officer of NASD Regulation, Inc. A new subsidiary, NASD Dispute Resolution, Inc., will be created within this group to handle all dispute resolution matters, including both arbitration and mediation.

"Now that our merger with the American Stock Exchange is complete, we are moving quickly to deliver enhanced value to investors, issuers, and member firms. Our first order of business is to make sure our organizations are properly melded, with sensitivity to both cultures," said Frank Zarb. "As we move down this new road, we must have the structure and leadership in place to meet the challenges of a more competitive and rapidly evolving marketplace. Our Market and Regulatory Groups give us this capability."

The National Association of Securities Dealers, Inc. is the largest securities-industry, self-regulatory organization in the United States and parent organization of NASD Regulation, Inc., and The Nasdaq-Amex Market Group. 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; www‌; or the Nasdaq-Amex NewsroomSM at www‌