SEC Unanimously Approves William J. McDonough as
Chairman of Public Company Accounting Oversight Board


Washington, D.C., May 21, 2003 — The Securities and Exchange Commission today announced that it has considered the results of the completed background investigation and unanimously approved the appointment of William J. McDonough to be Chairman of the Public Company Accounting Oversight Board. Mr. McDonough will officially assume the position of Chairman on June 11, 2003.

"The accounting profession, corporate America and American investors will be well served by Bill McDonough's dedication and strong leadership as he and the other members of the PCAOB work to promote integrity, honesty, and transparency throughout American business," said William H. Donaldson, Chairman of the Securities and Exchange Commission.

The Chairman went on to say, "I am pleased that the selection process outlined by the Commission has reached such a successful conclusion, and I look forward to Mr. McDonough's first day on the job."

"I am well aware of the great challenges facing the PCAOB to help restore confidence in the public accounting of American corporations, and I have no doubt of our ability to work successfully to achieve our goal. I am very much looking forward to getting started next month," said Mr. McDonough.

Today's action marks the completion of the selection process outlined and announced by the Commission on March 4, 2003. Mr. McDonough's nomination was first announced by the Commission on April 15, 2003.

Mr. McDonough is currently the President of the Federal Reserve Bank of New York, a post he has held since 1993. In that capacity, he serves as the vice chairman and a permanent member of the Federal Open Market Committee. Prior to joining the Federal Reserve, Mr. McDonough had spent 22 years at First Chicago Corp. and its bank, First National Bank of Chicago.