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To: Brian P. who wrote (45437)	4/8/2000 5:36:00 PM
From: Joan Osland Graffius	Read Replies (2) \| Respond to of 99985

Brian, >>o you know what quantitative standards or trigger points the major online trading firms (Ameritrade, Schwab, etc.) set for immediately and peremptorily selling your shares versus giving you a call? I am sorry I do not know what level these trading firms use to insure they do not incur any losses. The document people sign for margin accounts lets the brokerage firm do anything they want to your account to cover margins. The old established firms, have brokers that know just exactly what assets their clients have to cover the margin accounts. One thing I do know is they will get the money out of their customers hide to cover the short falls. Believe it or not, I know of one person who is still paying off a firm for the 1987 crash. This is serious business and suspect some folks this week are taking margin accounts course 101. <g> I suspect that some people think of margin accounts like credit card debt. Reasoning, that they can just not pay the debt and the financier will just go away after a certain amount of time. These brokerage houses do not go away and never let the customer off the hook. Joan

To: Brian P. who wrote (45437)	4/8/2000 6:36:00 PM
From: Saulamanca	Read Replies (2) \| Respond to of 99985

Brian, The best place to check is the customer agreement for each brokerage. Here are a couple of paragraphs from Datek`s: 4.The amount of credit which may be extended by us and the terms of such extension are governed by rules of the Federal Reserve Board, the NYSE and NASD. Within the guidelines of these rules and subject to adjustment required by changes in such rules and our business judgment, we establish certain policies with respect to margin accounts. You acknowledge that we may require the deposit of additional acceptable collateral at any time. Margin account equity is the current market value of securities and cash deposited as security less the short market value of short securities less the amount owed us for credit extended at our discretion. It is our general policy to require margin account holders to maintain equity in their accounts in excess of the minimum equity requirements stated in NASD Rule 2520 (Margin Requirements). Additionally, certain securities may be ineligible for margin credit from time to time. Datek Online reserves the right, at our sole discretion, not to extend margin on any security for any reason. 5.Notwithstanding the above general policies, we reserve the right, at our sole discretion, to require the deposit of additional collateral and to set required margin at a higher or lower amount with respect to particular accounts or classes of accounts as we deem necessary. In making these determinations, we may take into account various factors including the size of the account, liquidity of a position, concentrations of securities in an account, or a decline in creditworthiness. It is our general policy to liquidate securities to satisfy margin calls on the due date if not met by the deposit of cash or securities. If you do not provide the additional collateral, we have the right to sell any or all securities and other property in your account; buy any or all securities and other property which may be short in your account; cancel any or all open orders; and/or close any or all outstanding contracts. Furthermore, if market conditions warrant, we reserve the right to liquidate securities prior to the margin call due date without any notice to you. It is understood that our giving of any prior demand or call or prior notice of the time and place of such sale or purchase shall not be considered as a waiver of our assigned and legal right to sell or buy without any such demand, call or notice. datek.com