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Clear-cut goal awaits document writers

Crain's Cleveland Business, June, 1998 by Porter, David

DAVID PORTER Are you tired of the turgid legalese that fills proxy statements, prospectuses and other documents created by public companies? Do you long for some clear writing that tells you what management is asking for, and what it is offering you? If so, you should appreciate an upcoming change in how public companies write their disclosures.

Effective this October, the Securities and Exchange Commission will require that companies use 'plain English' in writing certain critical sections of public disclosure documents, including the cover page, summary and risk factor sections of prospectuses. And while not required, using plain English throughout public disclosure documents now is encouraged. The plain English movement is a pet project of SEC chairman Arthur...

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