Proposed Rule Change to Extend the Operation of NASD's Alternative Display Facility ("ADF") on a Pilot Basis

NASD has filed with the Securities and Exchange Commission ("SEC" or "Commission") a proposed rule change to extend for nine months, to April 26, 2006, the operation of NASD's Alternative Display Facility ("ADF") on a pilot basis.  The ADF pilot program, as approved by the SEC on July 24, 2002, and extended on April 17, 2003, January 26, 2004, and October 26, 2004, will expire on July 26, 2005.  The pilot permits members to quote and trade only Nasdaq-listed securities on or through the ADF.