Statement by Grant Thornton LLP on the SEC'sProposed Rules Changes.

Business Editors

NEW YORK--(BUSINESS WIRE)--July 26, 2000

Grant Thornton LLP believes that the Securities and Exchange Commission's efforts to modernize the rules governing auditor independence are a step in the right direction. We also look forward to participating in this process.

In particular, we hope that the Commission will focus attention on the special needs of middle-market, entrepreneurial companies. As the leading accounting, tax and management consulting firm dedicated to serving these companies, we recognize that they frequently regard their auditors as business and financial advisors. These companies both want and need a variety of non-audit advisory services to help them compete, grow and prosper in today's global marketplace. And we believe that those services can be provided without impairing auditor independence.

We are supportive of efforts to build a greater spirit of cooperation between the regulators and the accounting profession. Better cooperation between these two bodies is in the best interests of investors and our clients. For this reason, we were supportive of the recently proposed Public Oversight Board charter.