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To: funk who wrote (716)	2/18/1999 12:54:00 PM
From: TFF	Respond to of 2802

Dow Jones creates Internet index By Sandeep Junnarkar Staff Writer, CNET News.com February 18, 1999, 6:30 a.m. PT The Dow Jones & Company, which runs the famous Dow Jones Industrial Average, announced that it will now also have a Dow Jones Internet Index (DJII). The DJII will use a 40-stock benchmark to measure the performance of U.S. Internet stocks. It will include only companies that generate a minimum of 50 percent of their revenue from the Internet. The DJII will be made of two subindexes: "Internet Commerce" and "Internet Services." These 40 stocks represent 80 percent of the market capitalization of Internet stocks. The commerce index currently consists of 15 stocks, all of which derive at least 50 percent of their revenue from providing goods and services over an open network like the World Wide Web. The Chicago Board Options Exchange will be launching an index option based on this commerce index with a ticker symbol "ECM" on February 26 The Internet Services Index currently includes 25 companies that generate at least 50 percent of their revenues by providing access to the Internet, or providing enabling services to Internet users. "Internet stocks have rapidly become among the most volatile, popular sectors of the equities market. This has led to the need for an Internet benchmark that can be the standard Internet stock measurement tool for all investors," said Michael Petronella, managing director of Dow Jones Indexes, a division of Dow Jones. In order to be included in the index, companies needed a minimum of three months trading history for stock issued through an initial public offering. The companies also needed a three-month average market cap of at least $100 million; a three-month average closing price above $10 (for new components); and enough trading activity to pass liquidity tests. Dow Jones Indexes said that because the industry is undergoing such rapid changes, the indexes will be reviewed quarterly. The Commerce Index is composed of the following stocks: Amazon.com Beyond.com Broadcast.com CDNOW Cyberian Outpost E*TRADE Group e-Bay Egghead.com Excite GeoCities Infoseek Lycos Onsale Ticketmaster Online-CitySearch Yahoo The Service Index is composed of the following stocks: America Online @Home AXTENT Technologies BroadVision Check Point Software Technologies CheckFree Holdings CMGI CNET Cybercash DoubleClick EarthLink Network Exodus Communications IDT Inktomi Mindspring Enterprises Netscape Communications Network Solutions Open Market PSINet RealNetworks Spyglass Sterling Commerce USWeb/CKS Verio VeriSign