SEC NEWS DIGEST Issue 2006-171 September 5, 2006 COMMISSION ANNOUNCEMENTS SEC JOINS DEPARTMENT OF JUSTICE IN SUPPORTING CONSTITUTIONALITY OF PCAOB On September 1, Chairman Christopher Cox of the U.S. Securities and Exchange Commission announced, in connection with a pending lawsuit challenging the constitutionality of the Public Company Accounting Oversight Board, that the Commission joins with the U.S. Department of Justice in supporting the constitutionality of the PCAOB. A brief for the United States setting forth the government's arguments in support of the PCAOB's constitutionality was submitted today in the U.S. District Court for the District of Columbia in the case of Free Enterprise Fund v. The Public Company Accounting Oversight Board. Counsel on the brief include the Commission's General Counsel. (Press Rel. 2006-147) COMMISSION ANNOUNCES PANELISTS FOR THE SEC ROUNDTABLE ON REGULATION SHO PILOT The Securities and Exchange Commission announced today the participants for its upcoming roundtable on the efficacy of rules that limit the execution prices of short sales, such as the Tick Test (Rule 10a-1 under the Securities Exchange Act of 1934) and the Bid Test (former NASD Rule 3350) and the Commission's pilot program suspending operation of these rules for certain securities. The roundtable will take place on Sept. 15, 2006, from 10:00 a.m. to 3:00 p.m. at the Commission's headquarters in Washington, D.C. An agenda for the meeting is available at: http://www.sec.gov/about/economic/shopilotagenda091506.htm. The Regulation SHO Pilot suspends the provisions of Rule 10a-1 under the Securities Exchange Act of 1934 and any short sale price test of any exchange or national securities association for a subset of stocks. The pilot is intended to provide empirical data to help assess whether short sale price restrictions should be removed, in part or in whole, for U.S. securities, or if retained, should be applied to additional securities. More information on the Regulation SHO Pilot can be found at http://www.sec.gov/spotlight/shortsales.htm. The morning session of the roundtable will consist of distinguished academic researchers presenting the findings of their empirical studies. In particular, we expect the presentations to focus on how the price tests such as Exchange Act Rule 10a-1 and former NASD Rule 3350 affect liquidity, volatility, and market efficiency. Other researchers will follow each paper presentation with a short critical discussion of the work. The afternoon session will be a panel session focusing on the perspectives of leading scholars from academia and industry regarding the practical application of economic evidence on short selling. For example, do the panelists believe that the evidence suggests changes to Exchange Act Rule 10a-1 or former NASD rule 3350? Do price tests impose costs that are justified by their benefits? Should price tests apply only to smaller stocks, to all stocks, or to no stocks? What other evidence should be considered? The participants for the morning session include: * Gordon J. Alexander, John Spooner Chair in Investment Management and Professor of Finance, Carlson School of Management at the University of Minnesota * Frank Hatheway, Chief Economist, The NASDAQ Stock Market, Inc. * Charles Jones, Professor of Finance, Graduate School of Business, Columbia University * Paul J. Irvine, Assistant Professor, Terry College of Business, University of Georgia * Adam Reed, Assistant Professor of Finance, Kenan-Flagler Business School, The University of North Carolina at Chapel Hill * Ingrid Werner, Martin and Andrew Murrer Professor of Finance, Fisher College of Business, The Ohio State University The participants for the afternoon session include: * Larry Harris, Fred V. Keenan Chair in Finance, USC Marshall School of Business * Albert S. "Pete" Kyle, Charles E. Smith Professor of Finance, Robert H. Smith School of Business, University of Maryland Owen Lamont, Professor of Finance, Yale School of Management, and Portfolio Manager, DKR Fusion * Bruce N. Lehmann, Professor of Economics and Finance, Graduate School of International Relations and Pacific Studies, University of California at San Diego * Richard R. Lindsey, President, Bear Stearns Securities Corp. * George Sofianos, Vice President, Equity Execution Strategies, Goldman, Sachs & Co. Moderators of the roundtable include: * Chester Spatt, Chief Economist, Office of Economic Analysis, U.S. Securities and Exchange Commission * Amy K. Edwards, Financial Economist, Office of Economic Analysis, U.S. Securities and Exchange Commission * Bob Colby, Deputy Director, Division of Market Regulation, U.S. Securities and Exchange Commission * James Brigagliano, Acting Associate Director, Division of Market Regulation, U.S. Securities and Exchange Commission The roundtable will be held in the Auditorium at the Commission's headquarters at 100 F Street, N.E., Washington, D.C., and will be open to the public. Doors will open at 8:00 a.m. Visitors will be subject to security checks. For planning purposes, members of the public wishing to attend are asked to notify the Commission by sending an e- mail to RegSHOPilot@sec.gov. This will allow us to provide sufficient copies of handouts and to facilitate security screening. The Commission welcomes feedback on the Regulation SHO Pilot. Submissions to the Commission may be provided by any of the following methods: Electronic submissions: Use the Commission's Internet submission form at www.sec.gov/news/press.shtml; or Send an e-mail to rule-comments@sec.gov. Please include File Number 4-520 on the subject line. Paper submissions: Send paper submissions in triplicate to Nancy M. Morris, Secretary, Securities and Exchange Commission, 100 F Street, NE, Washington, DC 20549-1090. All submissions should refer to File Number 4-520. This file number should be included on the subject line if e-mail is used. To help us process and review your submissions more efficiently, please use only one method. The Commission will post all submissions on the Commission's Internet Web site (http://www.sec.gov/comments/4-520/4- 520.shtml). All submissions received will be posted without change; we do not edit personal identifying information from submissions. You should submit only information that you wish to make available publicly. (Press Rel. 2006-148) ENFORCEMENT PROCEEDINGS IN THE MATTER OF KENNETH MARTIN On September 5, the Commission issued an Order Instituting Administrative Proceedings Pursuant to Sections 15(b) and 15B(c)(4) of the Securities Exchange Act of 1934, Making Findings, and Imposing Remedial Sanctions against Kenneth R. Martin. The Order finds that on Aug. 24, 2006, in a civil injunctive action in U.S. District Court, Mr. Martin was permanently enjoined from violations of Section 17(a) of the Securities Act of 1933 and Section 10(b) of the Securities Exchange Act of 1934 and Rule 10b-5 thereunder. Based on the above, Mr. Martin was barred from association with any broker or dealer or municipal securities dealer with the right to reapply for association after five (5) years. Mr. Martin consented to the issuance of the Order without admitting or denying any of the findings in the Order except as to Commission's jurisdiction over him. (Rel. 34-54402; File No. 3-12407) SEC SUES OIL AND GAS PROMOTERS FOR FRAUD AND SEEKS APPOINTMENT OF A RECEIVER ON BEHALF OF INVESTORS On September 5, the Commission filed a civil injunctive action in U.S. District Court in Dallas, Texas against PetroSite Assets, Inc. (PetroSite), Masset, Inc. (Masset), Ivan Dearaujo and Wesley A. Harbison, Jr. In its complaint, the Commission alleges fraud in connection with two securities offerings. First, the Commission alleges that California-based PetroSite, between August 2002 and July 2005, through its owner Ivan Dearaujo, and salesperson, Wesley Harbison, Jr., fraudulently raised $2.2 million from at least 70 investors nationwide, and, second, that between June and December 2005, Dearaujo and Harbison raised $250,000 through sales of preferred stock issued by Dearaujo's inactive jewelry business, Masset, Inc. According to the complaint, Dearaujo and Harbison raised the money for PetroSite by offering participation interests in the future production revenue of certain oil and gas wells. The Commission alleges that Dearaujo defrauded the PetroSite investors on the front-end by misappropriating a substantial portion of their funds, instead of investing the money, as promised, in the wells; the Commission further alleges that Dearaujo defrauded the PetroSite investors on the back- end by diverting for his own benefit much of the revenue generated by the wells. Harbison, according to the complaint, was paid a commission on his sales of the PetroSite participation interests, and participated knowingly in Dearaujo's misrepresentation of those interests. The Commission alleges that Dearaujo and Harbison defrauded the Masset investors by misrepresenting Masset's business prospects and financial stability, and by exaggerating, without basis, the likely future value of Masset stock. In its complaint, the Commission charges each of the four defendants with violations of the federal securities antifraud provisions, specifically, Section 17(a) of the Securities Act of 1933 and Section 10(b) of the Securities Exchange Act of 1934 (Exchange Act) and Rule 10b-5 thereunder. The Commission is also charging Harbison with violations of Section 15(a) of the Exchange Act for acting as a securities broker without having been registered with the Commission. The Commission is seeking against each of the defendants a permanent injunction, disgorgement plus prejudgment interest and a civil money penalty, and, in addition, a penny stock bar against Dearaujo and Harbison. The Commission is also seeking against each of the defendants an accounting and an order prohibiting the destruction of records, and, with respect to PetroSite and Masset, the appointment of a receiver to marshal and conserve PetroSite's and Masset's assets for the benefit of the investors. [SEC v. PetroSite Assets, Inc., Masset, Inc., Ivan Dearaujo and Wesley A. Harbison Jr., Civil Action No.3:06- CV -1611-N, USDC NDTX, Dallas Division] (LR-19820; Press Rel. 2006- 149) SELF-REGULATORY ORGANIZATIONS IMMEDIATE EFFECTIVENESS OF PROPOSED RULE CHANGE A proposed rule change (SR-NYSEArca-2006-49) filed by the NYSE Arca to extend the standard position and exercise limit pilot program has become effective under Section 19(b)(3)(A) of the Securities Exchange Act of 1934. Publication is expected in the Federal Register during the week of September 4. (Rel. 34-54385) APPROVAL OF PROPOSED RULE CHANGE The Commission approved a proposed rule change (SR-CBOE-2006-58) and Amendment No. 1 thereto submitted by the Chicago Board Options Exchange regarding DPM and e-DPM membership ownership requirements and the Ultimate Matching Algorithm. Publication is expected in the Federal Register during the week of September 4. (Rel. 34-54395) DECLARATION OF EFFECTIVENESS OF PLAN The Commission declared a fingerprint plan filed by the Philadelphia Stock Exchange effective pursuant to Rule 17f-2(c) under the Securities Exchange Act of 1934. Publication is expected in the Federal Register during the week of September 4. (Rel. 34-54396) ACCELERATED APPROVAL OF PROPOSED RULE CHANGE The Commission granted accelerated approval to a proposed rule change (SR-BSE-2005-11) and Amendments Nos. 1 and 2 thereto filed by the Boston Stock Exchange relating to rules to allow listing and trading of options on indices on the Boston Options Exchange. Publication is expected in the Federal Register during the week of September 4. (Rel. 34-54397) SECURITIES ACT REGISTRATIONS The following registration statements have been filed with the SEC under the Securities Act of 1933. The reported information appears as follows: Form, Name, Address and Phone Number (if available) of the issuer of the security; Title and the number and/or face amount of the securities being offered; Name of the managing underwriter or depositor (if applicable); File number and date filed; Assigned Branch; and a designation if the statement is a New Issue. Registration statements may be obtained in person or by writing to the Commission's Public Reference Branch at 100 F Street, N.E., Washington, D.C. 20549-1090 or at the following e-mail box address: . In most cases, this information is also available on the Commission's website: . S-8 Bank of the Carolinas CORP, 135 BOXWOOD VILLAGE DRIVE, MOCKSVILLE, NC, 27028, 336-751-5755 - 302,369 ($5,013,278.00) Equity, (File 333-137041 - Sep. 1) (BR. 07) S-4 PETROHAWK ENERGY CORP, 1100 LOUISIANA SUITE 4400, HOUSTON, TX, 77002, 8322042700 - 0 ($775,000,000.00) Non-Convertible Debt, (File 333-137042 - Sep. 1) (BR. 04A) SB-2 IMVISION THERAPEUTICS INC., FEODOR-LYNEN STRASSE 5, HANNOVER, 2M, 30625, 49 511 53 88 96 76 - 24,425,000 ($18,318,750.00) Equity, (File 333-137043 - Sep. 1) (BR. 09) F-1 Photowatt Technologies Inc., 25 REUTER DRIVE, CAMBRIDGE, A6, N3E 1A9, (519) 650-6505 - 0 ($250,000,000.00) Equity, (File 333-137044 - Sep. 1) (BR. 10) S-1 PHASE III MEDICAL INC/DE, 330 SOUTH SERVICE ROAD, SUITE 120, MELVILLE, NY, 11747, 6315744955 - 0 ($8,311,069.00) Equity, (File 333-137045 - Sep. 1) (BR. 01C) S-1 Heelys, Inc., 3200 BELMEADE, CARROLLTON, TX, 75006, 214-390-1831 - 0 ($115,000,000.00) Equity, (File 333-137046 - Sep. 1) (BR. 02) S-8 NEW BRUNSWICK SCIENTIFIC CO INC, 44 TALMADGE RD, PO BOX 4005, EDISON, NJ, 08818-4005, 9082871200 - 117,255 ($874,722.00) Equity, (File 333-137047 - Sep. 1) (BR. 10B) F-6 FRANCE TELECOM /, 6 PLACE D ALLERAY, PARIS FRANCE CEDEX 15, I0, 75505, 30,000,000 ($1,500,000.00) ADRs/ADSs, (File 333-137049 - Sep. 1) (BR. 11C) S-8 NEW BRUNSWICK SCIENTIFIC CO INC, 44 TALMADGE RD, PO BOX 4005, EDISON, NJ, 08818-4005, 9082871200 - 320,000 ($2,387,200.00) Equity, (File 333-137050 - Sep. 1) (BR. 10B) F-3 Seaspan CORP, UNIT 2, 7TH FLOOR, BUPA CENTRE, 141 CONNAUGHT ROAD WEST, HONG KONG, F4, 00000, (852) 2540 1686 - 0 ($300,000,000.00) Unallocated (Universal) Shelf, (File 333-137051 - Sep. 1) (BR. 05C) S-3 ACTIVE POWER INC, 11525 STONEHOLLOW DR, STE 110, AUSTIN, TX, 78758, 5128366464 - 0 ($75,000,000.00) Unallocated (Universal) Shelf, (File 333-137054 - Sep. 1) (BR. 02A) F-3 PEACE ARCH ENTERTAINMENT GROUP INC, 124 MERTON STREET, SUITE 407, TORONTO, A6, M4S 2Z2, 416-487-0377 - 36,732,556 ($34,344,939.86) Equity, (File 333-137055 - Sep. 1) (BR. 05B) S-8 CYOP SYSTEMS INTERNATIONAL INC, UNIT A 149 SOUTH REEVES DRIVE, BEVERLY HILLS, CALIFORNIA, CA, 90212, 310-248-4860 - 45,000,000 ($589,500.00) Equity, (File 333-137056 - Sep. 1) (BR. 03C) S-8 RADISYS CORP, 5445 NE DAWSON CREEK DR, HILLSBORO, OR, 97124, 5036461800 - 0 ($8,515,450.00) Equity, (File 333-137060 - Sep. 1) (BR. 03C) S-8 YOUBET COM INC, 818-668-2100 - 2,500,000 ($9,900,000.00) Equity, (File 333-137061 - Sep. 1) (BR. 05C) S-1 EVERGREENBANCORP INC, 301 EASTLAKE AVENUE EAST, SEATTLE, WA, 98109, 2066284250 - 0 ($10,000,005.00) Equity, (File 333-137062 - Sep. 1) (BR. 07C) S-8 HARLEYSVILLE GROUP INC, 355 MAPLE AVE, HARLEYSVILLE, PA, 19438-2297, 2152565000 - 1,110,000 ($36,452,400.00) Equity, (File 333-137064 - Sep. 1) (BR. 01C) S-3ASR WHITNEY HOLDING CORP, 228 ST CHARLES AVE, NEW ORLEANS, LA, 70130, 5045867570 - 0 ($0.00) Unallocated (Universal) Shelf, (File 333-137065 - Sep. 1) (BR. 07B) S-4 FORD MOTOR CREDIT CO, ONE AMERICAN ROAD, DEARBORN, MI, 48126, 3135949876 - 0 ($2,565,317,000.00) Non-Convertible Debt, (File 333-137066 - Sep. 1) (BR. 07A) S-4 American Achievement Group Holding Corp., 7211 CIRCLE S ROAD, AUSTIN, TX, 78745, 512-444-0571 - 0 ($150,000,000.00) Non-Convertible Debt, (File 333-137067 - Sep. 1) (BR. ) SB-2 Connected Media Technologies, Inc., 950 SOUTH PINE ISLAND ROAD, SUITE A150-1094, PLANTATION, FL, 33324, 954-727-8218 - 1,201,491,000 ($8,410,437.00) Equity, (File 333-137068 - Sep. 1) (BR. 09B) S-4 China International Enterprises Inc, NO.5 FLOOR 6, BLOCK A,SKYWORTH BUILDING, HI-TECH INDUSTRIAL PARK, NANSHAN DISTRICT, SHENZHEN, F4, 518057, 212-232-0120 - 21,513,380 ($21,728,514.00) Equity, (File 333-137069 - Sep. 1) (BR. 11C) S-4 NEWALLIANCE BANCSHARES INC, C/O NEW HAVEN SAVINGS BANK, 195 CHURCH STREET, NEW HAVEN, CT, 06510, 203-789-2639 - 4,221,381 ($57,302,785.00) Equity, (File 333-137070 - Sep. 1) (BR. 07A) S-3 BEACON POWER CORP, 234 BALLARDVALE ST, WILMINGTON, MA, 01887, 9786949121 - 0 ($40,000,000.00) Equity, (File 333-137071 - Sep. 1) (BR. 02B) S-3 NORTHFIELD LABORATORIES INC /DE/, 1560 SHERMAN AVE, SUITE 1000, EVANSTON, IL, 60201-4800, 8478643500 - 0 ($100,000,000.00) Debt Convertible into Equity, (File 333-137072 - Sep. 1) (BR. 01B) S-3ASR HOSPITALITY PROPERTIES TRUST, 400 CENTRE ST, NEWTON, MA, 02158, 6179648389 - 0 ($0.00) Unallocated (Universal) Shelf, (File 333-137073 - Sep. 1) (BR. 08B) S-4 TIME WARNER TELECOM INC, 10475 PARK MEADOWS DRIVE, LITTLETON, CO, 80124, 3035661000 - 0 ($1.00) Other, (File 333-137075 - Sep. 1) (BR. 11B) SB-2 GLOBAL SUNRISE, Inc., 1628 SECOND AVENUE, APT. 2C, NEW YORK, NY, 10028, 718.909.5080 - 5,200,000 ($156,000.00) Equity, (File 333-137076 - Sep. 1) (BR. ) S-8 REDBACK NETWORKS INC, 300 HOLGER WAY, SAN JOSE, CA, 95134, 4087505000 - 10,000,000 ($188,800,000.00) Equity, (File 333-137077 - Sep. 1) (BR. 03A) S-1 Isilon Systems, Inc., 3101 WESTERN AVENUE, SEATTLE, WA, 98121, 206-315-7500 - 0 ($86,250,000.00) Equity, (File 333-137078 - Sep. 1) (BR. ) SB-2 WIRELESS AGE COMMUNICATIONS INC, 1150 ROSE STREET, REGINA, REGINA, A9, S49 1Z6, (306) 539-1666 - 22,514,329 ($6,078,868.83) Equity, (File 333-137080 - Sep. 1) (BR. 02C) S-8 GROUP 1 AUTOMOTIVE INC, 950 ECHO LANE, STE 100, HOUSTON, TX, 77024, 7134676268 - 500,000 ($22,585,000.00) Equity, (File 333-137081 - Sep. 1) (BR. 02A) S-8 BankFinancial CORP, 15W060 NORTH FRONTAGE ROAD, BURR RIDGE, IL, 60527, (800) 894-6900 - 0 ($58,195,422.00) Equity, (File 333-137082 - Sep. 1) (BR. 07) SB-2 CAMINOSOFT CORP, 600 HAMPSHIRE ROAD, SUITE #105, WESTLAKE VILLAGE, CA, 91361, 8053703100 - 847,674 ($339,070.00) Equity, (File 333-137083 - Sep. 1) (BR. 03A) S-4 SAFETY COMPONENTS INTERNATIONAL INC, 41 STEVENS STREET, GREENVILLE, SC, 29605, 8642402709 - 11,721,238 ($183,671,799.46) Equity, (File 333-137084 - Sep. 1) (BR. 05C) SB-2 BANK OF THE JAMES FINANCIAL GROUP INC, P O BOX 1200, LYNCHBURG, VA, 24505, 4348462000 - 280,000 ($5,320,000.00) Equity, (File 333-137085 - Sep. 1) (BR. 07B) S-4 SIRENZA MICRODEVICES INC, 303 S TECHNOLOGY COURT, BROOMFIELD, CO, 80021, 3033273030 - 0 ($51,239,946.00) Equity, (File 333-137086 - Sep. 1) (BR. 10C) S-8 AFC ENTERPRISES INC, 5555 GLENRIDGE CONNECTOR, NE, SUITE 300, ATLANTA, GA, 30342, 4044594450 - 0 ($48,857,968.00) Equity, (File 333-137087 - Sep. 1) (BR. 05A) S-3ASR GROUP 1 AUTOMOTIVE INC, 950 ECHO LANE, STE 100, HOUSTON, TX, 77024, 7134676268 - 0 ($287,500,000.00) Debt Convertible into Equity, (File 333-137088 - Sep. 1) (BR. 02A) S-8 BRUKER BIOSCIENCES CORP, 40 MANNING RD, BILLERICA, MA, 01821, 0 ($10,533,600.00) Equity, (File 333-137090 - Sep. 1) (BR. 10A) N-2 Kayne Anderson Canadian Energy Income Fund, Inc., 1100 LOUISIANA STREET, SUITE 4550, HOUSTON, TX, 77002, (713) 493-2000 - 0 ($1,000,000.00) Equity, (File 333-137091 - Sep. 1) (BR. ) S-8 CAPITOL BANCORP LTD, ONE BUSINESS & TRADE CNTR, 200 WASHINGTON SQ N, LANSING, MI, 48933, 5174876555 - 375,000 ($15,954,375.00) Other, (File 333-137092 - Sep. 1) (BR. 07C) S-3 VECTOR GROUP LTD, 100 S E SECOND ST, MIAMI, FL, 33131, 3055798000 - 0 ($110,000,000.00) Debt Convertible into Equity, (File 333-137093 - Sep. 1) (BR. 04C) S-8 SAVE THE WORLD AIR INC, 5125 LANKERSHIM BOULEVARD, NORTH HOLLYWOOD, CA, 91601, 818-487-8000 - 0 ($10,535,000.00) Equity, (File 333-137094 - Sep. 1) (BR. 09B) F-1 Rosetta Genomics Ltd., 10 PLAUT STREET, SCIENCE PARK, POB 4059, REHOVOT, L3, 76706, 972-8-9484755 - 0 ($44,850,000.00) Equity, (File 333-137095 - Sep. 1) (BR. ) RECENT 8K FILINGS Form 8-K is used by companies to file current reports on the following events: 1.01 Entry into a Material Definitive Agreement 1.02 Termination of a Material Definitive Agreement 1.03 Bankruptcy or Receivership 2.01 Completion of Acquisition or Disposition of Assets 2.02 Results of Operations and Financial Condition 2.03 Creation of a Direct Financial Obligation or an Obligation under an Off-Balance Sheet Arrangement of a Registrant 2.04 Triggering Events That Accelerate or Increase a Direct Financial Obligation under an Off-Balance Sheet Arrangement 2.05 Cost Associated with Exit or Disposal Activities 2.06 Material Impairments 3.01 Notice of Delisting or Failure to Satisfy a Continued Listing Rule or Standard; Transfer of Listing 3.02 Unregistered Sales of Equity Securities 3.03 Material Modifications to Rights of Security Holders 4.01 Changes in Registrant's Certifying Accountant 4.02 Non-Reliance on Previously Issued Financial Statements or a Related Audit Report or Completed Interim Review 5.01 Changes in Control of Registrant 5.02 Departure of Directors or Principal Officers; Election of Directors; Appointment of Principal Officers 5.03 Amendments to Articles of Incorporation or Bylaws; Change in Fiscal Year 5.04 Temporary Suspension of Trading Under Registrant's Employee Benefit Plans 5.05 Amendments to the Registrant's Code of Ethics, or Waiver of a Provision of the Code of Ethics 6.01. ABS Informational and Computational Material. 6.02. Change of Servicer or Trustee. 6.03. Change in Credit Enhancement or Other External Support. 6.04. Failure to Make a Required Distribution. 6.05. Securities Act Updating Disclosure. 7.01 Regulation FD Disclosure 8.01 Other Events 9.01 Financial Statements and Exhibits 8-K reports may be obtained in person or by writing to the Commission's Public Reference Branch at 100 F Street, N.E., Washington, D.C. 20549-1090 or at the following e-mail box address: . In most cases, this information is also available on the Commission's website: . STATE NAME OF ISSUER CODE 8K ITEM NO. DATE COMMENT ------------------------------------------------------------------------------------------------------- AARON RENTS INC GA 5.02 09/01/06 ACE COMM CORP MD 3.02 08/30/06 ACTIVE POWER INC DE 8.01,9.01 09/01/06 ACUSPHERE INC DE 1.01,7.01,9.01 08/31/06 ADVANCED ACCESSORY HOLDINGS CORP DE 8.01,9.01 08/31/06 ADVANCED MEDIA TRAINING INC DE 7.01,8.01,9.01 08/30/06 ADVO INC DE 8.01,9.01 09/01/06 AEROFLEX INC DE 1.01,9.01 08/28/06 AGL RESOURCES INC GA 1.01,2.03,9.01 08/31/06 AKSYS LTD DE 3.01,8.01,9.01 08/25/06 ALBEMARLE CORP VA 1.01,2.05,8.01,9.01 08/31/06 Alpha Natural Resources, Inc. DE 1.01,1.02,9.01 09/01/06 ALTERNATIVE ENERGY SOURCES INC 2.01,9.01 09/01/06 AMEND AMCON DISTRIBUTING CO DE 4.01 08/28/06 AMERICAN CONSUMERS INC GA 1.01,9.01 08/15/06 AMERICAN EAGLE OUTFITTERS INC DE 7.01,9.01 08/30/06 AMERICAN EQUITY INVESTMENT LIFE HOLDI IA 7.01,9.01 08/31/06 AMERICAN MEDIA OPERATIONS INC DE 1.01,5.02,9.01 08/30/06 ANALEX CORP DE 1.01,9.01 08/29/06 AngioGenex, Inc. NV 1.01,9.01 08/31/06 ANTIGENICS INC /DE/ DE 5.02 08/28/06 APPLE COMPUTER INC CA 1.01,5.02,5.03,9.01 08/29/06 APPLERA CORP DE 1.01 08/28/06 APPLIED IMAGING CORP DE 8.01,9.01 09/01/06 APPLIED IMAGING CORP DE 1.01,3.03,9.01 08/31/06 APPLIED NEUROSOLUTIONS INC DE 1.01,5.02 09/01/06 ARMSTRONG HOLDINGS INC /PA/ PA 7.01,9.01 09/01/06 ASPEN INSURANCE HOLDINGS LTD D0 2.03,9.01 09/01/06 ASSURANCEAMERICA CORP NV 2.02,8.01,9.01 08/29/06 ATARI INC DE 3.01 08/31/06 ATLANTIC COAST FEDERAL CORP X1 8.01,9.01 08/31/06 AURIGA LABORATORIES, INC. DE 1.01,2.03,3.02,9.01 09/01/06 AUTOCAM CORP/MI MI 5.02 08/28/06 AVICI SYSTEMS INC DE 1.01,5.02,9.01 08/28/06 BARRY R G CORP /OH/ OH 1.01,2.02,9.01 08/28/06 BDC Capital, Inc. MN 8.01 05/31/06 BELLACASA PRODUCTIONS INC NV 1.01,9.01 08/28/06 BIODELIVERY SCIENCES INTERNATIONAL IN DE 5.02,9.01 08/28/06 BISYS GROUP INC DE 1.01,2.02,9.01 08/30/06 BLUE RIDGE REAL ESTATE CO PA 9.01 06/16/06 AMEND Blue Wireless & Data, Inc. DE 5.02 06/28/06 BLUEGATE CORP NV 9.01 09/15/05 AMEND BOYKIN LODGING CO OH 8.01,9.01 08/31/06 BRANDYWINE OPERATING PARTNERSHIP LP / DE 1.01,8.01,9.01 08/28/06 BRANDYWINE REALTY TRUST MD 1.01,8.01,9.01 08/28/06 BRODER BROS CO MI 1.01 08/31/06 CALAVO GROWERS INC CA 1.01,9.01 08/31/06 CALIFORNIA WATER SERVICE GROUP DE 1.01,2.03,9.01 08/31/06 CALLON PETROLEUM CO DE 1.01,2.03,9.01 08/30/06 CANDELA CORP /DE/ DE 5.02,9.01 08/28/06 CAREER EDUCATION CORP DE 8.01,9.01 08/31/06 CATALYTICA ENERGY SYSTEMS INC DE 1.01,9.01 08/29/06 CATCHER HOLDINGS, INC DE 4.02,9.01 08/31/06 CBL & ASSOCIATES PROPERTIES INC DE 1.01,2.03,9.01 08/29/06 CDKNET COM INC DE 5.03,9.01 08/31/06 CELLSTAR CORP DE 1.01,2.03,9.01 08/31/06 CENTER FINANCIAL CORP CA 8.01,9.01 08/29/06 CHAAS ACQUISITIONS LLC DE 8.01,9.01 08/31/06 CHECKFREE CORP \GA\ DE 1.02 08/29/06 CHINA BIOPHARMACEUTICALS HOLDINGS INC DE 1.02,2.01,9.01 08/29/06 CHINA FUND INC MD 7.01,9.01 07/01/06 CLARIENT, INC DE 1.01,9.01 08/31/06 CLARK INC DE 8.01,9.01 08/31/06 CLEARCOMM L P DE 5.02 08/29/06 CLEVELAND CLIFFS INC OH 7.01,9.01 08/30/06 CLUBCORP INC DE 1.01,9.01 07/31/06 COLDWATER CREEK INC DE 1.01,9.01 08/28/06 COLLINS & AIKMAN CORP DE 8.01,9.01 08/31/06 COMMERCE BANCSHARES INC /MO/ MO 9.01 09/01/06 COMMERCIAL METALS CO DE 1.01,9.01 09/01/06 COMPOSITE TECHNOLOGY CORP NV 9.01 07/03/06 AMEND COMPREHENSIVE HEALTHCARE SOLUTIONS IN DE 5.02 05/10/06 CONCORDE CAREER COLLEGES INC DE 2.01,3.01,3.03,5.01,5.03,9.01 09/01/06 CONSTELLATION BRANDS, INC. DE 7.01,9.01 09/01/06 CORNERSTONE BANCSHARES INC TN 8.01,9.01 09/01/06 CORPORATE PROPERTY ASSOCIATES 12 INC MD 5.02 09/01/06 COVALENT GROUP INC NV 3.02 07/06/06 AMEND COVER ALL TECHNOLOGIES INC DE 1.01,9.01 09/01/06 CRAWFORD & CO GA 8.01,9.01 08/31/06 CREDIT SUISSE (USA) INC DE 9.01 08/31/06 CRESCENT FINANCIAL CORP NC 1.01,2.01,5.02,8.01,9.01 08/31/06 CROSS COUNTRY HEALTHCARE INC DE 8.01,9.01 08/31/06 CURIS INC DE 8.01,9.01 09/01/06 CYTODYN INC CO 4.02 01/03/06 CYTORI THERAPEUTICS, INC. DE 8.01 08/31/06 DA-LITE SCREEN CO INC IN 1.01,9.01 08/28/06 DATALOGIC INTERNATIONAL INC DE 2.03,8.01 08/08/06 DEL GLOBAL TECHNOLOGIES CORP NY 8.01,9.01 09/01/06 DELTA MILLS INC DE 8.01 09/01/06 DELTA WOODSIDE INDUSTRIES INC /SC/ SC 8.01 09/01/06 DEVELOPERS DIVERSIFIED REALTY CORP OH 1.01,2.03,3.02,9.01 08/28/06 Diagnostic CORP of America DE 1.02 08/30/06 DIAMOND HILL INVESTMENT GROUP INC OH 8.01 08/31/06 DISCOVER CARD MASTER TRUST I DE 8.01 08/31/06 DOLLAR GENERAL CORP TN 1.01,3.03,9.01 08/30/06 DOLLAR THRIFTY AUTOMOTIVE GROUP INC DE 1.01,9.01 08/28/06 DURA AUTOMOTIVE SYSTEMS INC DE 8.01 08/29/06 DUSA PHARMACEUTICALS INC NJ 1.01,5.02 08/29/06 DYAX CORP DE 7.01,8.01,9.01 08/31/06 DynCorp International Inc DE 5.02 08/30/06 DynCorp International LLC 5.02 08/30/06 EFUNDS CORP DE 1.01 08/31/06 EGL INC TX 1.01 09/01/06 ELINEAR INC DE 5.02,9.01 08/24/06 EMULEX CORP /DE/ DE 1.01 08/25/06 EN POINTE TECHNOLOGIES INC DE 1.01,9.01 08/31/06 ENCORE WIRE CORP /DE/ DE 1.01,7.01,9.01 09/01/06 Eternal Energy Corp. 1.01,9.01 08/28/06 Ever-Glory International Group, Inc. FL 1.01,9.01 08/31/06 Ever-Glory International Group, Inc. FL 1.01 06/26/06 AMEND EXABYTE CORP /DE/ DE 1.01,1.02 09/01/06 EXELON CORP PA 8.01 08/31/06 FACEPRINT GLOBAL SOLUTIONS INC WY 5.02,9.01 08/20/06 FEDERATED DEPARTMENT STORES INC /DE/ DE 1.01,9.01 08/30/06 FERRELLGAS PARTNERS L P DE 8.01 08/29/06 Financial Media Group, Inc. NV 5.02 08/31/06 FINANCIAL SECURITY ASSURANCE HOLDINGS NY 2.02,9.01 09/01/06 FIRST AVENUE NETWORKS INC DE 1.01,2.01,5.02,8.01,9.01 08/29/06 FIRST COMMUNITY BANCSHARES INC /NV/ NV 8.01,9.01 09/01/06 FLIR SYSTEMS INC OR 8.01,9.01 08/30/06 FMC TECHNOLOGIES INC DE 7.01,9.01 09/01/06 GENERAL MOTORS CORP DE 8.01 09/01/06 GENESIS ENERGY LP DE 1.01,9.01 08/29/06 GENZYME CORP MA 8.01,9.01 08/30/06 GETTING READY CORP 8.01 09/01/06 GLACIER BANCORP INC DE 8.01,9.01 09/01/06 GLADSTONE CAPITAL CORP MD 8.01 08/29/06 GLADSTONE COMMERCIAL CORP MD 8.01,9.01 08/31/06 GLADSTONE INVESTMENT CORPORATION\DE DE 8.01 08/29/06 Global Employment Holdings, Inc. 5.02 08/10/06 GRANITE BROADCASTING CORP DE 1.01,8.01,9.01 08/21/06 GREAT WESTERN LAND RECREATION INC NV 5.02,8.01 08/30/06 GROUP 1 AUTOMOTIVE INC DE 8.01,9.01 08/31/06 GULFMARK OFFSHORE INC DE 7.01,9.01 08/31/06 Halo Technology Holdings, Inc. NV 4.02 09/01/06 Halo Technology Holdings, Inc. NV 2.02 05/15/06 AMEND HANOVER CAPITAL MORTGAGE HOLDINGS INC MD 1.01,9.01 08/28/06 Harbin Electric, Inc 1.01,2.03,3.02,9.01 08/29/06 HAROLDS STORES INC OK 1.01,3.01,3.02,3.03,9.01 06/01/06 HARRAHS ENTERTAINMENT INC DE 7.01,8.01,9.01 08/31/06 HAWK CORP DE 1.01,9.01 08/31/06 HEADWATERS INC DE 1.01,9.01 08/30/06 HEARTLAND OIL & GAS CORP NV 7.01 08/31/06 HEMOSENSE INC DE 1.01,5.02,9.01 09/01/06 HERITAGE OAKS BANCORP CA 8.01,9.01 09/01/06 HOLMES BIOPHARMA, INC. NV 4.01,8.01,9.01 08/02/06 AMEND HOOKER FURNITURE CORP VA 5.03 08/29/06 ICONIX BRAND GROUP, INC. DE 1.01,2.01,2.03,3.02,9.01 08/28/06 IMMUNE RESPONSE CORP DE 3.02 08/28/06 INTERNATIONAL PAPER CO /NEW/ NY 8.01,9.01 09/01/06 International Securities Exchange Hol 2.01,5.03,8.01,9.01 09/01/06 INVENTURE GROUP, INC. DE 8.01,9.01 09/01/06 IRVINE SENSORS CORP/DE/ DE 1.01,8.01 08/25/06 ITC Holdings Corp. MI 8.01 09/01/06 IVANHOE ENERGY INC 1.02,9.01 08/31/06 J P MORGAN CHASE & CO DE 9.01 08/31/06 JACKSONVILLE BANCORP INC /FL/ FL 5.02,9.01 08/31/06 JACLYN INC DE 1.01,9.01 08/31/06 JOY GLOBAL INC DE 2.02 09/01/06 KELLWOOD CO DE 2.02,9.01 08/31/06 KNIGHT CAPITAL GROUP, INC. DE 1.01,9.01 08/31/06 KOHLS CORPORATION WI 1.01,1.02,5.02 09/01/06 LIBERTY STAR GOLD CORP NV 7.01,9.01 08/14/06 LifeCare Holdings, Inc. DE 1.01 08/10/06 LITFUNDING CORP NV 8.01,9.01 08/29/06 LUNA INNOVATIONS INC 1.01,9.01 08/29/06 LYONDELL CHEMICAL CO DE 1.01,9.01 09/01/06 LYONDELL CHEMICAL CO DE 8.01,9.01 09/01/06 MAGNUS INTERNATIONAL RESOURCES, INC. NV 5.02,8.01,9.01 08/29/06 MATRIXX RESOURCE HOLDINGS, INC. DE 1.01,2.01,2.03,9.01 09/01/06 MCDONALDS CORP DE 8.01 09/01/06 MediaMax Technology CORP NV 1.01,9.01 08/28/06 MEDIWARE INFORMATION SYSTEMS INC NY 5.02 08/30/06 MERIX CORP OR 4.01,9.01 08/29/06 MGP INGREDIENTS INC KS 1.01,7.01,9.01 08/31/06 MGP INGREDIENTS INC KS 5.02,7.01,9.01 08/31/06 MGP INGREDIENTS INC KS 7.01,9.01 08/31/06 Middle Kingdom Resources Ltd. NV 4.01,9.01 07/21/06 AMEND MILESTONE SCIENTIFIC INC/NJ DE 3.01,8.01,9.01 09/01/06 Morgan Stanley Capital I Trust 2006 - DE 8.01,9.01 08/01/06 Morningstar, Inc. IL 7.01 09/01/06 MTS SYSTEMS CORP MN 1.01,5.03,9.01 08/29/06 MYLAN LABORATORIES INC PA 1.01,9.01 08/28/06 NATIONAL ATLANTIC HOLDINGS CORP NJ 1.01 08/29/06 NATIONAL QUALITY CARE INC DE 1.01 09/01/06 NATIONAL SECURITY GROUP INC DE 8.01 08/31/06 NETMANAGE INC DE 7.01 09/01/06 NETWORK APPLIANCE INC CA 5.02,5.03,9.01 08/31/06 NEW MEDIUM ENTERPRISES INC NV 8.01 09/01/06 NewGen Technologies, Inc NV 1.01,8.01,9.01 08/25/06 NEWMONT MINING CORP /DE/ DE 8.01 08/28/06 NOBLE INTERNATIONAL, LTD. DE 7.01,9.01 09/01/06 NORTH PITTSBURGH SYSTEMS INC PA 8.01,9.01 09/01/06 NORTHERN GROWERS LLC SD 1.01,2.03 08/28/06 NOVASTAR FINANCIAL INC MD 8.01,9.01 09/01/06 NUCRYST Pharmaceuticals Corp. A0 1.01,9.01 08/28/06 OCEAN BIO CHEM INC FL 4.02 08/31/06 OMNIVISION TECHNOLOGIES INC DE 1.01 08/28/06 ONE VOICE TECHNOLOGIES INC NV 1.01,2.03,3.02,9.01 08/28/06 Opexa Therapeutics, Inc. TX 8.01,9.01 09/01/06 PAB BANKSHARES INC GA 5.05,9.01 08/29/06 PACIFIC SPIRIT INC NV 1.01,3.02,5.01,5.02,5.03 08/31/06 PaperFree Medical Solutions, Inc. 5.02 09/01/06 PARAMETRIC TECHNOLOGY CORP MA 1.01,1.02,9.01 08/29/06 PATH 1 NETWORK TECHNOLOGIES INC DE 1.01,3.02,3.03,9.01 08/30/06 PEERLESS SYSTEMS CORP DE 2.02,9.01 08/31/06 PEERLESS SYSTEMS CORP DE 8.01,9.01 08/31/06 PENNSYLVANIA REAL ESTATE INVESTMENT T PA 8.01 08/30/06 PEOPLENET INTERNATIONAL CORP DE 5.02 08/31/06 PEOPLES COMMUNITY BANCORP INC /MD/ MD 8.01,9.01 08/31/06 PETROHAWK ENERGY CORP DE 8.01,9.01 08/31/06 PHARSIGHT CORP CA 3.02 09/01/06 PHASE III MEDICAL INC/DE DE 8.01,9.01 08/31/06 PHH CORP MD 1.01,8.01,9.01 08/31/06 PIEDMONT NATURAL GAS CO INC NC 2.02,8.01,9.01 09/01/06 PINNACLE ENTERTAINMENT INC DE 5.02 08/20/06 AMEND PIPER JAFFRAY COMPANIES 5.02 08/30/06 PLAYBOY ENTERPRISES INC DE 5.02 08/30/06 PORTLAND GENERAL ELECTRIC CO /OR/ OR 8.01 08/31/06 PROTON LABORATORIES INC WA 3.02 07/31/06 PROXYMED INC /FT LAUDERDALE/ FL 5.02,9.01 08/28/06 PURE CYCLE CORP DE 1.01,1.02,3.02,9.01 08/31/06 PURE CYCLE CORP DE 2.01,2.03,3.02,5.02 08/31/06 QUANTUM CORP /DE/ DE 5.03,9.01 09/01/06 RADIOSHACK CORP DE 2.05 08/29/06 AMEND RADISYS CORP OR 1.01,2.01,9.01 08/31/06 RBC Bearings INC 8.01,9.01 09/01/06 REMY INTERNATIONAL, INC. DE 1.01,5.02,9.01 08/29/06 RENEWABLE ASSETS INC 5.01,9.01 08/29/06 RIVET ACQUISITION CORP DE 5.03 08/29/06 ROWAN COMPANIES INC DE 8.01,9.01 08/29/06 RSA SECURITY INC/DE/ DE 1.01 08/29/06 SAFETY COMPONENTS INTERNATIONAL INC DE 8.01,9.01 09/01/06 SAIA INC DE 1.01,5.02 09/01/06 SATCON TECHNOLOGY CORP DE 3.01 08/30/06 Select Notes Trust LT 2004-1 DE 8.01,9.01 09/01/06 SENTIGEN HOLDING CORP DE 1.01,9.01 08/31/06 Services Acquisition Corp. Internatio DE 1.01,9.01 08/29/06 Services Acquisition Corp. Internatio DE 1.01,9.01 08/01/06 AMEND SES SOLAR INC. 1.01,9.01 08/31/06 SIERRA PACIFIC RESOURCES /NV/ NV 8.01 08/30/06 SIGMATEL INC DE 1.01,9.01 08/31/06 SLS INTERNATIONAL INC DE 3.01,9.01 08/29/06 SOLECTRON CORP DE 1.01,2.03,8.01,9.01 08/28/06 SONA MOBILE HOLDINGS CORP DE 1.01 08/28/06 SOUTHWESTERN ENERGY CO AR 7.01 08/31/06 SOVRAN SELF STORAGE INC MD 1.01,3.03,9.01 09/01/06 SPEAKING ROSES INTERNATIONAL INC NV 5.02,8.01 08/28/06 SRKP 8 INC 1.01,2.01,2.02,3.02,4.01, 08/31/06 5.01,5.02,5.03,5.06 STANDARD MICROSYSTEMS CORP DE 1.01,9.01 09/01/06 STANDEX INTERNATIONAL CORP/DE/ DE 1.01 08/30/06 STERIS CORP OH 1.01,9.01 08/29/06 STERLING EQUITY HOLDINGS INC NV 1.01,9.01 08/31/06 STILLWATER MINING CO /DE/ DE 8.01 09/01/06 STRATEGIC HOTELS & RESORTS, INC 1.01,9.01 08/28/06 Strategic Rare Earth Metals Inc. NV 5.02 08/23/06 Structured Asset Mortgage Investments DE 8.01,9.01 09/01/06 SUMMA INDUSTRIES/ DE 1.01,7.01,8.01,9.01 08/31/06 SUN MICROSYSTEMS, INC. DE 1.01 08/28/06 SUNCOM WIRELESS HOLDINGS, INC. 5.02 08/29/06 SUNCOM WIRELESS INC 5.02 08/29/06 TC X CALIBUR INC NV 1.01,9.01 07/18/06 AMEND TESSCO TECHNOLOGIES INC DE 1.01,9.01 08/31/06 TETON ENERGY CORP DE 1.01,9.01 09/01/06 THERMO ELECTRON CORP DE 1.01,2.03,9.01 09/01/06 TIDEWATER INC DE 8.01,9.01 08/31/06 TIFFANY & CO DE 8.01,9.01 09/01/06 Tim Hortons Inc. DE 5.01,5.03,7.01,8.01,9.01 08/31/06 TODCO DE 7.01,9.01 08/31/06 TORCHMARK CORP DE 1.01,9.01 08/31/06 TOWER AUTOMOTIVE INC DE 7.01,9.01 09/01/06 AMEND TRANSACTION SYSTEMS ARCHITECTS INC DE 1.01,8.01,9.01 08/28/06 TRANSMONTAIGNE INC DE 1.01,2.01,2.03,3.01,3.03, 09/01/06 5.01,5.02,5.03,9.01 TRANSOCEAN INC E9 1.01,2.03,9.01 08/29/06 TRANSOCEAN INC E9 7.01,9.01 09/01/06 TRB SYSTEMS INTERNATIONAL INC DE 4.01,9.01 08/31/06 AMEND TRI-S SECURITY CORP GA 3.02 08/28/06 TRIMAX CORP NV 9.01 06/01/06 AMEND TRIPATH IMAGING INC DE 1.01,9.01 09/01/06 TUCOWS INC /PA/ PA 9.01 06/19/06 AMEND U S PHYSICAL THERAPY INC /NV NV 5.02 08/31/06 UIL HOLDINGS CORP CT 1.01 09/01/06 UNITED RENTALS INC /DE DE 1.01,5.02,8.01,9.01 08/30/06 UPSTREAM BIOSCIENCES INC. NV 7.01,9.01 08/31/06 UTEK CORP 8.01,9.01 08/30/06 VALASSIS COMMUNICATIONS INC DE 8.01,9.01 08/31/06 VERSO TECHNOLOGIES INC MN 3.01,9.01 08/28/06 VERTICALNET INC PA 3.02 09/01/06 VOXWARE INC DE 2.02,9.01 09/01/06 VOYAGER ONE INC NV 5.02,9.01 09/01/06 W&T OFFSHORE INC TX 2.02,9.01 08/28/06 WELLCARE HEALTH PLANS, INC. DE 1.01 07/18/06 WELLPOINT INC IN 1.01 08/29/06 WEST POINTE BANCORP INC IL 1.01,5.01,7.01,9.01 08/30/06 WHITEHALL LTD INC CO 1.01 08/07/06 WILLBROS GROUP INC R1 1.01 08/29/06 WILLBROS GROUP INC R1 1.01,5.02 08/14/06 AMEND WILLIS GROUP HOLDINGS LTD D0 1.01,8.01,9.01 08/31/06 WILSHIRE BANCORP INC CA 8.01,9.01 08/30/06 XCEL ENERGY INC MN 2.02,9.01 09/01/06 XETHANOL CORP CO 1.01,9.01 08/25/06 AMEND XL CAPITAL LTD 5.02,8.01,9.01 07/12/06 AMEND YARRAMAN WINERY, INC. NV 5.02,9.01 09/01/06 YOUTHSTREAM MEDIA NETWORKS INC DE 9.01 03/09/05 AMEND Z AXIS CORP CO 1.01,2.03,9.01 09/01/06 ZHONE TECHNOLOGIES INC DE 1.01,9.01 09/01/06