shorts asked to return positions

Significant news here, which I received just prior to market close...3.42pm today.

MG Global...I think maybe the 2nd or 3rd biggest CFD provider in Australia, is being asked to return borrowed shares.

Note carefully, if you are short this stock....(and for that matter, other positions in the ASX). A request for mandatory return of shorts, should send a shiver down the spine of those with short positions.

"best endeavours to contact affected clients with existing short CFD positions, but you should be aware that this may not always be possible'.....means they can buy back your position, even without contacting you.

__________________________________________________

Dear Client,

Due to ASIC's prohibition on short selling ASX listed shares, MF Global is experiencing higher stock recalls from our stock lenders than usual. Correspondingly, therefore, please note that MF Global may have to recall certain existing short CFD positions held by our clients.MF Global will use best endeavours to contact affected clients with existing short CFD positions, but you should be aware that this may not always be possible.

Kind regards,



RICHARD AVERY-WRIGHT
HEAD OF CFDs
MF GLOBAL AUSTRALIA LIMITED