To: Mark Fowler who wrote (140842 ) 3/23/2002 11:58:15 AM From: H James Morris Read Replies (1) | Respond to of 164684 Mark, I see MWD, Meeker & co are changing their rating system. That should make it easier for the herd to follow. >>Morgan Stanley Launches New Stock Rating System; Discloses Ratings Distribution New York, March 18, 2002 — Morgan Stanley (NYSE: MWD) implemented today its new stock rating system. With this new system, Equity Research at Morgan Stanley is taking a leadership position in defining how stocks are rated. We remain dedicated to integrity, insight, and service — the essential elements that add value to our clients and maintain efficient markets. As previously announced, Morgan Stanley moves to three ratings — Overweight, Equal-weight and Underweight — from four. Of the 912 companies Morgan Stanley Research covers in North America, 33% are rated Overweight, 45% Equal-weight, and 22% Underweight. Globally, the Firm's ratings distribution is: 33% Overweight, 47% Equal-weight, and 20% Underweight. "Investing clients want a transparent, consistent rating system that uses the full spectrum of ratings, and that's what we've developed," said Dennis Shea, Morgan Stanley's Director of Global Equity Research. "Our objective is thought leadership. This new framework is unlike any other rating system currently in use, and we believe it represents a significant step forward." In the United States, Europe and Japan, ratings are relative to an analyst's coverage universe, rather than to the broad market. In Asia/Pacific and Latin America, stocks will continue to be rated relative to the country benchmark. To provide context for the individual stock ratings, analysts are also publishing a view on each covered industry. In addition, the recommended sector weighting from Morgan Stanley's equity strategists appears on all company reports, alongside the actual weighting in the local benchmark. Morgan Stanley is a global financial services firm and a market leader in securities, asset management and credit services. With more than 700 offices in 28 countries, Morgan Stanley connects people, ideas and capital to help clients achieve their financial aspirations. © 2002 Morgan Stanley | Privacy morganstanley.com