Beacon Securities, Inc. P.O. Box 5969 Hilton Head Island, South Carolina 29938

TO: All NASD Members

ATTN: Operations Officer, Cashier, Fail-Control Department

On October 30, 1985, the United States District Court of South Carolina, Charleston Division, appointed a Temporary Receiver for the above-captioned firm.

Members may use the "immediate close-out" procedures as provided in Section 59(i)(2) of the NASD's Uniform Practice Code to close out open OTC contracts. Also, MSRB Rule G-12(h)(iii) provides that members may use the above procedures to close out transactions in municipal securities.

Questions regarding the firm should be directed to:

Temporary Receiver

Norman W. Stevenson, Esquire
Barnwell & Stevenson
P.O. Box 1429
Charleston, South Carolina 29402
Telephone: (803) 577-2960