ISDA PUBLISHES COMMODITY DERIVATIVES DEFINITIONS UPDATE

AMSTERDAM, Friday, March 17, 2000 - The International Swaps and Derivatives Association (ISDA) announced publication of the 2000 Supplement to the 1993 ISDA Commodity Derivatives Definitions, updating its 1993 edition. The definitions and other information in the 76-page supplement are designed for use in confirmations of OTC commodity derivative transactions governed by the ISDA or other master agreements.

The document expands the list of price sources for petroleum-based commodities and natural gas and adds definitions of price sources for electricity and pulp. In addition, the new supplement provides greater coverage of European price sources.

Like the 1993 definitions, the new supplement applies to the whole range of cash-settled commodity swaps, options, caps, collars, floors, swaptions or other cash-settled transactions. Existing confirmations and agreements that incorporate the 1993 definitions are not affected by using the new 2000 supplement without specific agreement to the contrary by the parties to the transaction.

The new 2000 supplement is intended to further the smooth and efficient functioning of privately negotiated derivatives activity by providing a common set of terms for parties to use in preparing confirmations for commodity transactions, said Robert Pickel, ISDA's general counsel.