The Pharmaceutical Index is designed to represent a cross section of widely held, highly capitalized companies involved in various phases of the pharmaceutical industry.

Attesting to the industry's performance, pharmaceutical companies in the U.S. alone have collectively provided a median return on equity approximately 50% higher than the median for Fortune 500 industrial companies over the last 30 years.

DRG options come at a time when the pharmaceutical industry is delivering both life-saving and economic benefits. The industry continues to introduce many successful new products - drugs that lower cholesterol levels, blood-pressure reducers, antidepressants, even cures for ulcers - medicines that reduce the need for costly surgery and prevent the loss of work due to a variety of illnesses.

With an abundance of even newer remedies on the threshold and an ever-aging world population, the pharmaceutical industry promises to remain at the forefront of the world's industries.

The Pharmaceutical Index, created by the American Stock Exchange, is designed to serve as a measure of this vigorous industry as a whole and as a basis for trading and hedging opportunities for individual and institutional investors alike.

The Pharmaceutical Index measures the performance of a cross section of widely held, highly capitalized companies that are involved 'in various phases of the pharmaceutical industry and is designed to closely reflect the collective performance of leading companies in this global industry.

The Index is based on 15 U.S. and European companies actively involved in developing, manufacturing and marketing prescription, non- prescription, ethical and proprietary drugs and other related health products. Stocks in the Index range in capitalization from about $6.5 billion to $56.0 billion.