Silicon Investor (SI) -- The First Internet Community

STOCKTALK

We've detected that you're using an ad content blocking browser plug-in or feature. Ads provide a critical source of revenue to the continued operation of Silicon Investor. We ask that you disable ad blocking while on Silicon Investor in the best interests of our community. If you are not using an ad blocker but are still receiving this message, make sure your browser's tracking protection is set to the 'standard' level.

Technology Stocks : Discuss Year 2000 Issues -- Ignore unavailable to you. Want to Upgrade?

To: John Mansfield who wrote (901)	1/15/1998 8:57:00 PM
From: gamesmistress	Read Replies (1) \| Respond to of 9818

Year 2000 Glitch Could Trigger Global Financial Market Disruption, CSC Study Finds biz.yahoo.com Excerpt: The CSC study, titled "Sustaining Stable Financial Markets through the Millennium," was released during the Securities Industry Association Year 2000 Conference and Exhibit in New York. The study focuses on the settlement of foreign exchange transactions. It provides a blueprint for potential costs of Y2K disruption in all capital markets, which are heavily dependent on technology to process and communicate trading and market information. It found that problems caused by year 2000 non-compliance could cause settlement failures in foreign exchange to jump from the current one percent to as high as five percent -- a 400 percent increase. The study found that Y2K failures could cost up to $10 billion over five days. In examining the costs, CSC posed three potential scenarios: 1. The failure or serious system disruption of a major foreign exchange player. Total market costs: US$2.4 to $3.3 billion over five days. 2. A group of smaller institutions that have similar problems. Total market costs: up to US$2.2 billion over the same period. 3. A failure of a clearinghouse responsible for processing a significant number of transactions. Total market costs: up to US$5.2 billion over one week. "These costs cannot be examined in isolation," warned Peter Shelton, practice director, Banking & Capital Markets at CSC. "We have to take into account the far-reaching systemic impact these failures will have. "After all, foreign exchange underpins all international capital markets activity. Given the interdependency between foreign exchange and other capital markets, the actual costs of Y2K disruption to the capital markets as a whole will likely be significantly higher." "Global capital markets are virtually 100 percent electronic, making the marketplace utterly dependent on technology," explained Adrian Sharp, senior consultant, Banking & Capital Markets at CSC. "The inability of one firm to complete its trades in a timely manner, coupled with the uncertainty of when year 2000 'root cause' system faults will be rectified, will send shock waves through the whole market." "Software that uses dates to calculate interest, exchange rates or other monetary amounts may not perform those calculations properly," said Plotkin. "Trades may be transmitted with incorrect or missing information, or may not be transmitted at all, due to non-compliant computer systems. If one firm injects bad trades into the system, its trading partners would have to manually investigate each one, which would slow things considerably. "These delays, and the resulting skittishness of the market, will drive up costs and result in lost profits for the entire market," added Plotkin "Your firm's systems may be year-2000 compliant, but that won't protect you from the risks posed by firms that aren't. They don't even have to be direct trading partners to affect you." CSC's study findings are based on interviews conducted in October 1997 with more than 90 individuals representing financial institutions, regulatory bodies, associations and clearing houses including Citibank, Merrill Lynch, Deutsche Morgan Grenfell, the Federal Reserve Bank and CHIPS. Copies of the CSC study are available at a cost of $295. Discounts are available for group purchases, trade associations and academia. For copies, contact CSC at 973.243.7770.

To: John Mansfield who wrote (901)	1/16/1998 2:24:00 PM
From: John Mansfield	Read Replies (1) \| Respond to of 9818

'...tremble in fear for Unix, Linux, C and C++' Found on C.S.Y2K. I have found little on remediation of C,C++, programs compared to Cobol. This is a remark that should remind us that many of the programs written for the UNIX platform may have to be remediated also. John ---------- 'So, my vocal little Unix Weenie, have you looked at tm underscore year in time.h recently? Ponder the meaning of the comment for tm_year and tremble in fear for Unix, Linux, C and C++ have a huge vulnerbility and lots of Unix Weenies did it horribly wrong. Do you program or do you talk about programming? I eagerly await your critical analysis of time.h. Cory Hamasaki ...the power of the dark side.'