Netting Legislation Update

House (Financial Services Committee/Toomey) and Senate (Gramm) staff met
this afternoon to agree on provisions for a stand-alone netting bill that is
likely to be brought-up under a suspension vote in the House next week.
This morning Gramm's office indicated that most of the bill looked fine
(including the Section 562 modification) except for the 907A provisions,
which they believed to be covered in the October 4 SEC-CFTC Rule on
"Customer protection, Recordkeeping, Reporting, and Bankruptcy Rules and the
Securities Investor Protection Act of 1970 to Accounts Holding Security
Futures Products".  We are currently vetting this view with the CFTC and
SEC. Gramm's staff (Linda Lord/Sarah DuMont) reiterated their concern in
this afternoon's meeting.  
Apologies for the late notice but we have been asked for our views today as
to whether we wish to keep the provisions in the underlying bill or if we
support dropping the provisions. We would like to schedule a conference call
ASAP to receive your views about these provisions.  
Call Details
Phone Number: 888-904-9318
Group Leader: Stacy Carey
Password:  Bankruptcy
Please call Frank or Stacy if you have any questions.  Thank you.
Stacy Carey
Policy Director 
International Swaps and Derivatives Association
600 5th Avenue, 27th Floor
Rockefeller Center
New York, NY  10020
(212) 332-1202 ph
(212) 332-1212 fax
(917) 543-9622 cell
scarey@isda.org