SECURITIES AND EXCHANGE COMMISSION

Litigation Release No. 17789 / October 16, 2002

   , CV-99-523 (E.D.N.Y.) (TCP)

   TWO LONG ISLAND BROKERS SETTLE INSIDER TRADING CHARGES ARISING OUT OF
   PRE-PUBLICATION ACCESS TO BUSINESS WEEK MAGAZINE

   On October 3, 2002, the Honorable Thomas C. Platt of the United States
   District Court for the Eastern District of New York entered consent
   judgements against defendants Peter L. Cohen and Seth J. Glaser for
   their involvement in an insider trading scheme involving trading on
   the basis of non-public information about the contents of the "Inside
   Wall Street" column in Business Week magazine. The judgments settle
   claims the Commission asserted against these two defendants in a civil
   action filed on January 27, 1999.

   The Commission's Complaint alleges that, from June 1995 to January
   1996, Cohen, Glaser, and four other defendants participated in an
   insider trading scheme involving nonpublic advance copies of the
   "Inside Wall Street" column of Business Week magazine. At the time of
   their participation, the Complaint alleges, Cohen and Glaser were
   registered representatives at Renaissance Financial Securities Corp.,
   a now defunct broker-dealer in Mineola, New York. The Complaint
   alleges that Cohen and Glaser paid cash to defendant Larry F. Smath, a
   fellow broker at Renaissance, in exchange for nonpublic advance copies
   of a series of "Inside Wall Street" columns that Smath had illegally
   obtained from defendant Gregory R. Salvage, a foreman at Hudson News
   Company. While in possession of the nonpublic information, the
   Complaint alleges, Cohen and Glaser traded securities mentioned in the
   columns and recommended those securities to their customers, illegally
   obtaining trading profits and brokerage commissions on client trades.
   In total, the six defendants and their family members and customers
   purchased approximately $8 million of securities mentioned in "Inside
   Wall Street" columns.

   Without admitting or denying the allegations in the Complaint, Cohen
   and Glaser each consented to the entry of Final Judgments which (a)
   permanently enjoin them from violating Section 10(b) of the Securities
   Exchange Act of 1934 and Rule 10b-5 thereunder; (b) order them each to
   pay $4,073.53 in disgorgement and prejudgment interest; and (c) order
   them each to pay a civil penalty of $6,988.50. In related criminal
   proceedings brought by the United States Attorney's Office for the
   Eastern District of New York, Cohen and Glaser previously pleaded
   guilty to one felony count each of conspiracy to commit securities
   fraud, and Smath pleaded guilty to one felony count of conspiracy to
   commit securities fraud. Defendant Joseph T. Falcone was found guilty