Our position on ending the delay measure is as follows:
(1) Current number of orders and executions
- Recently, the number of orders has been around 5 to 5.5 million
while the number of executions has been around 2 to 3 million. In
addition, there has been no significant change in the number of
orders and executions since the stock of Livedoor Co., Ltd was delisted
from the TSE market.
- The number of orders placed from 12:30 pm to 12:59 pm decreased
by 300,000 to 500,000 after TSE delayed the opening of afternoon
trading session. This decrease may be attributed to the fact that
trading was halted during this time period.
- Due to lifting of the delay in opening of the afternoon session,
the number of orders and executions between 12:30 p.m. and 12:59
p.m. may rise. Taking into account the current number of orders
and executions, however, it is believed that the system will have
enough capacity to accommodate this increase.
(2) Further system capacity augmentations
- TSE is now working to complete augmentation of its clearing system capacity by May 2006. TSE has already confirmed that system capacity has slightly improved as a result of the work that has already been completed.
Based on the circumstances mentioned in (1) and (2), TSE has concluded that the system will able to perform stably even if the delay of the afternoon session opening is ended before the completion of stock /convertible bond trading system and clearing system capacity augmentation.
Furthermore, until system capacity augmentation is completed, TSE will continue its policy of temporarily suspending transactions of all stocks after prior notification in the event of a sharp increase in orders and executions (i.e. should the number of orders exceed 8,500,000 or the number of executions exceed 4,500,000). We request that all investors and market participants pay close attention to order and execution number information available on TSE's website as necessary. We sincerely apologize for this temporary inconvenience.
TSE is committed to securing confidence in our market by continuously
improving market operations, including the system capacity augmentation
scheduled to be completed next month.
We sincerely ask for your kind understanding and cooperation.
April 20, 2006
Taizo Nishimuro
Chairman and CEO
Tokyo Stock Exchange, inc.