The Governing Board of the Exchange welcomes the decision of the Securities and Exchange Board of India as announced vide its Press Release dated 29^th November 2002, whereby the SEBI Board has approved the recommendations of the Group formed under the Chairmanship of Justice Kania subject to certain modifications.

BSE is confident that the process of Corporatisation and Demutualisation of Stock Exchanges in India will now be expedited and implemented immediately so that the benefits associated with Corporatisation and Demutualisation are enjoyed by all Exchanges.

BSE, as a leading Stock Exchange in India would be able to further improve the transparency and efficiency in its functioning and thereby live upto the expectations invested in it by its members, and vast multitude of Investors. BSE is confident that it would be able to adapt itself to the demands imposed by global markets and carve its own niche amongst the major International Stock Exchanges.

December 18, 2002