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Faisall and directors should consult the attached Short-Swing Profit Rule 16(b) Checklist attached hereto as Exhibit C in addition to consulting the General Counsel prior to engaging in any transactions involving thepanys securities Short Sales Prohibited Under Section 16(c) Section 16(c) of the 1934 Act prohibits Reporting Persons absolutely from making short sales of faisal al qatami steel trading co securities, i.

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They must do aparison to see which is performing worst (in order to go short). The final regulations require that the decision or commitment to base the fair market value on the average selling price method must be irrevocably made before the specific time period begins, and the company must designate at the same time the following items: the recipient of the stock right; the number and class of shares covered by the stock right; and the method that will be used to determine the exercise price (including the length of time that will be used to determine the average selling price).

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