For Immediate Release

 

Contact: Tyler Bradford

                Intermarket Communications

                (212) 888-6115 x245

    tyler@intermarket.com

  
RSS Creates First Technology Solution linking Brokerage Firms with Public Corporations to Automatically Report Corporate Insider Transactions.
-RSS Connect breaks new ground in Straight-Through Processing and electronic filing-
 
PRINCETON, N.J., October 10, 2003 - The first solution to electronically link brokerage firms and public corporations involved in the execution and reporting of corporate insider transactions was unveiled today by Princeton-based Restricted Stock Systems, Inc. (RSS), a leading provider of restricted and control stock management solutions. 
 
The new RSS software solution, called RSS Connect, links the brokerage firms who execute restricted and control stock transactions with the public corporations that must file electronic reports within 48 hours with the SEC on these very same transactions.  When a brokerage firm executes a corporate insider's transaction, RSS Connect automatically notifies the corporation and passes transaction details to all necessary parties, including legal counsel, corporate secretaries, and stock plan administrators. 
 
"RSS Connect creates the first infrastructure for transacting and reporting restricted and control stock transactions, which now account for a growing share of all equity transactions," said Greg Besner, Chief Executive Officer of RSS.  "In this way, RSS Connect facilitates timely and accurate reporting of corporate insider transactions by bringing them closer to straight-through processing than ever before."
 
Lately, corporations have greatly increased the amount of restricted stock they issue, in many cases offering restricted stock as compensation in place of stock options.  Additionally, the Sarbanes-Oxley Act now requires public corporations to file reports on transactions by their insiders electronically within 48 hours of the change of ownership.  These factors have combined to dramatically increase the number of such filings and have made an automated solution a virtual necessity for all U.S. public corporations. 
 
Derived from a combination of RSS' original financial services technology solution, RSS One, and its corporate technology solution, RSS Section 16 Manager, RSS Connect bridges the data gap between brokerage firms transacting for Section 16 insiders and public companies filing insider trading reports.  RSS Connect provides a secure channel for routing transaction details to the appropriate parties and systems in real-time, enabling full corporate compliance with recently modified reporting requirements for insider transactions.
 
About Restricted Stock Systems (RSS)
 
Restricted Stock Systems, Inc. (RSS) (www.RSSgroup.com) is a leading provider of restricted and control stock management solutions for reporting corporate insider transactions.  RSS solutions automate what until now has been a complex manual process so as to significantly reduce the time and resources involved in processing and documenting insider transactions.  Founded in February 2000, RSS already counts among its clients some of the world's leading financial services firms and public companies.  RSS CEO, Greg Besner, was recently named Entrepreneur of the Year for Emerging Growth Companies in New Jersey at Ernst & Young's 16th annual Entrepreneur of the Year (EOY) event.  In recognition of its rapid growth, RSS has also been ranked second on Deloitte & Touche's Rising Star list in New Jersey as part of the Technology Fast 50 program.