SNDV Soundview Technology Grp. (MM)

Schwab Shares Kept at 'Avoid' (** out of *****) by S&P Equity Research NEW YORK, Nov. 19 /PRNewswire/ -- Standard & Poor's equity analyst covering asset management and brokerage firms has reiterated the STARS ranking on shares of Charles Schwab Corp. of "Avoid" (** out of *****) at $11.00 per share. A leading provider of independent investment research, ratings and indices, Standard & Poor's made this announcement through Standard & Poor's MarketScope, its real-time market intelligence service. "Charles Schwab plans to acquire SoundView Technology Group (NASDAQ:SNDV) for about $321 million in cash," says Robert Hansen, CFA, Asset Managers and Brokers Analyst, Standard & Poor's Equity Research Services. "The deal is expected to close in the first quarter of 2004, subject to necessary approvals, and the company sees it as earnings per share (EPS) neutral in 2004, but accretive in 2005. We think the move is poorly timed amid the current regulatory issues, and is expensive, given the level of organic growth opportunities and SoundView's narrow technology research focus. We think Schwab has lost its competitive differentiation as a discount broker as it moves toward full service. We are maintaining our EPS estimate but are cutting our 12-month target price on Schwab to $10 from $11, which is 20 times our 2004 estimate," concludes Hansen. About Standard & Poor's STock Appreciation Ranking System (STARS) Standard & Poor's STock Appreciation Ranking System (STARS), which was first introduced on December 31, 1986, reflects the opinions of Standard & Poor's equity analysts on the price appreciation potential of 1,200 U.S. stocks for the next 12 month period. Rankings range from five-STARS ("Buy") to one-STARS ("Sell"). About Standard & Poor's Standard & Poor's Equity Research Services has the largest U.S. equity coverage count among equity research firms that are not affiliated with a Wall Street investment bank, analyzing 1,200 U.S. stocks. Standard & Poor's, a division of The McGraw-Hill Companies (NYSE:MHP), is the world's foremost provider of independent credit ratings, indices, risk evaluation, investment research, data and valuations. With 5000 employees located in 20 countries, Standard & Poor's is an essential part of the world's financial infrastructure and has played a leading role for more than 140 years in providing investors with the independent benchmarks they need to feel more confident about their investment and financial decisions. For more information, visit http://www.standardandpoors.com/. The analyst quoted above is a Standard & Poor's equity analyst. He has no affiliation with any company referenced above. He has no ownership interest in any company referenced above. Standard & Poor's other affiliates may provide services to the companies that are the subject of this report. Standard & Poor's analytic services are performed as entirely separate activities in order to preserve the independence of each analytic process. In this regard, STARS, which are published by Standard & Poor's Equity Research Services, operates independently from, and has no access to information obtained by Standard & Poor's Ratings Services, which may in the course of its operations obtain access to confidential information. Standard & Poor's analytic services are performed as entirely separate activities in order to preserve the independence of each analytic process. In this regard, STARS, which are published by Standard & Poor's Equity Research Services, operates independently from, and has no access to information obtained by Standard & Poor's Rating Services, which may in the course of its operations obtain access to confidential information. DATASOURCE: Standard & Poor's CONTACT: John J. Piecuch Communications Manager of Standard & Poor's +1-212-438-1102 Web site: http://www.standardandpoors.com/

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