getting there your guide to saving and investing for retirement

Transcription

1 getting there your guide to saving and investing for retirement

2 Favorite Healthcare Staffing 401(k) Retirement Plan Favorite Healthcare Staffing, Inc. is pleased to welcome you to the Favorite Healthcare Staffing 401(k) Retirement Plan. The Favorite Healthcare Staffing 401(k) Retirement Plan is a valuable benefit program offered to you as an employee of Favorite Healthcare Staffing, Inc. It can help you put money aside for a financially secure retirement. Through the 401(k) Plan, you can save for retirement now so that you can have the income you ll need after you stop working. Participating in the Favorite Healthcare Staffing 401(k) Retirement Plan is easy. You contribute a portion of your pay to your 401(k) account each payday through convenient payroll deduction. Favorite Healthcare Staffing, Inc. can also make discretionary contributions to your account. All contributions are invested in the 401(k) Plan s investment options you select. If you do not make an investment selection, your contributions will be allocated to the JP Morgan Smart Retirement target date fund that is closest to your assumed retirement age, which is selected by the Plan. There are tax benefits as well. Your qualifying contributions, employer contributions and all earnings on your account are not subject to current federal income tax (or, where applicable, state or local taxes) until you take them out of the Plan. This tax deferral gives your retirement savings the opportunity to grow under the most favorable terms possible. What's the next step? 1) Read through the enrollment kit to understand the Plan benefits and to learn about the available investment options. 2) Enroll in the plan today by completing the Enrollment Form and Beneficiary Designation Form in the back of the enrollment kit or utilizing the On-Line Enrollment System (instructions are in the back of the kit). 3) Return the Enrollment Form and Beneficiary Designation Form to the 401(k) Plan Administrator (there is nothing to return if you are utilizing On-Line Enrollment). Joining the Plan is one of the more important decisions you ll make. We hope you take full advantage of what the Favorite Healthcare Staffing 401(k) Retirement Plan has to offer. Sincerely, Gerhard J. Kuti Chairman/CEO

3 Favorite Healthcare Staffing 401(k) Retirement Plan Plan Highlights ELIGIBILITY Employees are eligible to enroll in the plan after meeting the eligibility requirements listed below: Completed one year of service and 1000 hours, as defined by the Plan There is no minimum age requirement The Plan does not allow participation by employees who are: Non-Resident Aliens Reclassified Employees Leased Employees Independent Contractors ENTRY DATES Upon meeting the eligibility requirements, you may enroll in the Plan on the following dates: January 1st and July 1st You are eligible to enter the plan on the next entry date after you meet the eligibility requirements for the plan. YOUR CONTRIBUTIONS Through payroll deduction, you can make pre-tax contributions up to a maximum election of 50% of your eligible pay. There is no minimum amount that you must elect to contribute. Pre-tax contributions that are deferred from your compensation are subject to the dollar limit for the calendar year as provided by law. The maximum dollar limit applies to the aggregate of all amounts that you contribute to this plan and all other 401(k), 403(b) and SEPs of this employer or any other employer during the calendar year. If you reach age 50 sometime during the calendar year, you are also eligible to make catch-up contributions in addition to the normal maximum dollar limit. These limits may be increased from year to year. Please check with the Plan Representative on the limit for the current calendar year. Changes to your election to contribute will be governed by either your plan document or your employer s administrative policy. ROLLOVERS DISTRIBUTIONS The plan will accept rollover contributions from other eligible plans. Money may be distributed from your Plan account in these events: Death Disability Termination of Service See your Summary Plan Description for more details about taking a distribution from the Plan. Be sure to talk with your tax advisor before taking a distribution of any money from your Plan account.

4 FINANCIAL HARDSHIP WITHDRAWALS Hardship withdrawals are permitted from this Plan. A hardship can include: Buying a house Paying for college tuition and expenses Paying certain medical expenses Preventing eviction from or foreclosure on your home Paying burial or funeral expenses Paying expenses to repair damage to your home If you feel you are facing a financial hardship, you should see your Plan Representative on the options available to you as defined in the Plan. LOANS EMPLOYER CONTRIBUTIONS TO THE PLAN The plan does not permit loans to participants The Plan also provides for your employer to make contributions. Employer Matching Contributions Your employer may make contributions that are based on the amount of employee pre-tax contributions that you elect to contribute. These matching contributions will be a discretionary amount to be determined by the Employer each plan year. Employer Non-Elective Contributions The employer may make a discretionary contribution in an amount to be determined each plan year. VESTING Vesting refers to your ownership of a benefit from the Plan. You are always 100% vested in your Plan contributions and your rollover contributions, plus any earnings they generate. Employer Contributions are vested as follows: INVESTING PLAN CONTRIBUTIONS CONTRIBUTIONS Vesting Years of Service Percentage Less than 2 0% 2 20% 3 40% 4 60% 5 80% 6 100% The Plan is intended to be an ERISA Section 404(c) plan. This simply means that you exercise control over some or all of the investments in your Plan account. The fiduciaries of the Plan may be relieved of liability, or responsibility, for any losses that you may experience as a direct result of your investment decisions. As a plan participant, you may request additional investment information from your Plan Representative.

5 ACCOUNT INFORMATION You will receive a personalized account statement quarterly. The statement shows your account balance as well as any contributions and earnings credited to your account during the reporting period. You will also have access to an automated voice response system designed to give you current information about your Plan account. You can get up-to-date information about your account balance, contributions, investment choices, and other Plan data. Participant Voice Response System Participant Website Participant Service Center (ext. 206) FINANCIAL ADVISOR Brian J. Tamasi (913) BTA Financial Group, Inc. btamasi@ssnrep.com SUMMARY PLAN DESCRIPTION The above highlights are only a brief overview of the Plan s features and are not a legally binding document. You will also receive a Summary Plan Description (SPD) that contains more information. If there are discrepancies between the Plan Highlights and the Summary Plan Description and the Plan Document, the Plan Document will govern. Please read it carefully and contact your Plan Representative if you have any further questions. The Plan Sponsor reserves the right to amend, modify or terminate this Plan at any time at its sole discretion.

6 the modern american retirement system Where do you begin? First, you should understand that retirement plans are very different for most of today s workers, compared to those being used by today s retirees. The modern American retirement system offers much greater flexibility, opportunity and individual control; however, these benefits come with a great deal more personal responsibility. This means that you will have to spend some time learning about saving and investing, and you must accept the responsibility of ensuring that you save enough and spend responsibly. While learning of this responsibility may seem unfair or make you feel shortchanged, you should consider the benefits. Today s generation of workers will control how much of their compensation is saved for retirement, how it s invested, and how they spend their savings during retirement. This is quite different from the retirement plans of previous generations, which were managed and controlled entirely by the employer rather than the employee. This meant that employees had almost no responsibility to learn about or monitor their investments, and their Plans were very restrictive and offered little or no individual control. These Plans were designed for a generation of workers who spent the majority of their career with a single employer, whereas the modern American retirement plans are designed with portability features for today s more mobile workforce. Like previous generations, the primary source of retirement income for most American workers will come from their employer-sponsored retirement plan. However, the method in which the money to pay for these retirement benefits is accumulated, invested, and, ultimately distributed (spent), will be much different for current and future generations of workers. Why? One school of thought is that a portion of the previous generations compensation was paid in salary and a portion was allocated to pension benefits. Employers hired professionals to manage the entire pool of investments for everyone in the Plan, and employees were limited to just a few retirement income options. Therefore, an employee s retirement income was defined by the Plan, rather than their lifestyle. Today s workers receive more of their compensation in cash and are expected to voluntarily save a portion of their wages for retirement. This means that you ll be responsible for establishing a retirement income goal and calculating your ongoing progress. Also, you ll need to learn the basic principles of saving and investing for retirement. This is no longer an option for employees such as yourself - this is an absolute must. the modern american retirement system > saving and investing for retirement is different today, compared to previous generations > you ll have more flexibility, opportunity, and control > you ll have more responsibility > americans are living longer, which means a longer retirement and more money saved to pay for it > your employer s plan offer tax benefits and other features to make your money grow faster modern retirement lifestyle The number of years spent in retirement is another consideration for today s workers. Thanks to advances in the medical profession and healthier lifestyles Americans are living longer and enjoying a longer retirement. While a 10-year retirement was a typical period for previous generations, it s not unreasonable for today s retirees to expect a retirement that lasts 20 years or more. Of course, this means that retirees will have to save more money to pay for an extended retirement or plan to generate additional income by working, at least parttime, during a portion of their retirement years. what are the advantages? Your employer s retirement plan is designed to provide much greater individual control. You are in control of your retirement age, savings rates, investment decisions and how to spend your savings. Your retirement plan representative can help calculate the amount you should save and explain available investment options.

7 what do you mean: modern american retirement system? what changed, and why am I responsible? the three-legged stool For over fifty years financial planners and advisors have referred to retirement planning as a three-legged stool to describe the importance of creating retirement income from multiple sources. The first leg represents benefits from an employer-sponsored pension plan. The second leg represents retirement benefits expected from Social Security, and the third leg represents personal (supplemental) savings. Together, the three legs (sources) create a complete retirement income package. employer-sponsored retirement plan personal savings the history While this three-legged approach is still recommended today, the first leg (employer-sponsored pension plans) has changed significantly in the modern American retirement system. For previous generations, their employer s primary pension plan was generally a Defined Benefit (DB) retirement plan. Employees covered by these types of Plans had very little responsibility, because their benefit was based solely upon a formula. Some of these Plans would be funded entirely by the employer, and others would require employees to contribute a portion of their pay in addition to employer contributions. All of the money was invested in a single (pooled) account, and the employer hired professionals to make all of the investment decisions. Additionally, the employer hired specialized accountants, called actuaries, to calculate how much would need to be contributed to the Plan in order to maintain enough money to pay future promised retirement benefits. Their calculations were based upon many factors, including the amount of money currently in the Plan, expected future contributions and an assumed annual growth rate of the Plan s investments. These employer-does-everything Defined Benefit (DB) Plans certainly have many advantages; however, they are typically very restrictive. Employees are usually limited to just a few retirement income choices from the Plan and a lump-sum withdrawal option that is subject to substantial penalties, which makes these Plans less attractive to anyone who may not plan to be a career employee. Most DB Plans have been replaced by Defined Contribution (DC) Plans. In fact, it s estimated that over 80% of Americans retirement plans are DC Plans, which operate much differently. social security why am I responsible? As an employee participating in a Defined Contribution Plan you have the ability to decide how much to contribute, how to invest the money, and how to have it paid to you when you re eligible to receive a distribution. These Plans are generally much more portable and easy to transfer to another employer s Plan, which makes them attractive to a more mobile workforce. In exchange for all of this flexibility, opportunity, portability and control, you take on the task of ensuring that you save enough money, invest wisely, and spend responsibly. what are my responsibilities? > participation in most of these Plans is discretionary (you decide if you want to invest, and how much) > choose how the money is invested > establish a retirement income goal > determine a savings goal > periodically calculate progress to ensure that you re on pace to achieve your savings goal

8 getting there: why should I save? Why should you save money in my employersponsored retirement plan? There are a number of reasons why you should save money for retirement, which were described in the previous sections. Bottom line - as a participant in the modern American retirement system, you have the sole responsibility to make yourself save for retirement. In most cases, your employer will not require that you participate in the Plan; however, there are many advantages to using this Plan. pre-tax savings Your employer-sponsored Plan allows you to invest money on a pre-tax basis, which means that your contributions are deducted from your paycheck before income taxes are calculated. In other words, you can use this tax strategy to make your account grow faster by saving more money than you re able to if you saved on an after-tax basis. Saving money after-tax means that you would decide to take a portion of your take-home pay to save and invest after your employer has deducted all of the necessary income taxes. The table below is provided to help you understand the difference between pre-tax and after-tax savings. In this comparison you can see that the semi-monthly gross salary (row 2) and the net take-home pay (row 8) are identical for both pre-tax and after-tax savers. However, the difference is in the amount saved/invested each paycheck. The after-tax saver is investing $100 (row 7) each paycheck, while the pretax saver is investing $117 (row 3), and both have the same net take-home pay. The pre-tax saver is able to save an additional $17 each paycheck because the amount withheld for federal income taxes is reduced (row 6). Federal income taxes on these pre-tax contributions are deferred until the money is withdrawn from the account. Therefore, the pre-tax saver can use the additional amount contributed to invest and make the account grow faster. Additionally, there are three other potential tax benefits. First, if you reside in a state that requires you to pay state income tax, you may further increase the amount invested on a pre-tax basis, because these contributions are also why should I save for retirement? > it s your responsibility to make yourself save > your employer s retirement plan offers pre-tax savings benefits to help your money grow faster > your employer may offer free money in the form of matching contributions exempt from most state income taxes. Also, you benefit from paying income taxes at a lower rate when you receive a distribution if your taxable income is lower during retirement than it was when you made the contributions. row pre-tax savings after-tax savings 1 annual salary $ 45,000 $ 45,000 2 semi-monthly gross salary $ 1,875 $ 1,875 3 pre-tax retirement savings $ 117 $ 0 4 taxable income $ 1,758 $ 1,875 5 fica and medicare taxes $ 143 $ federal income tax $ 110 $ after-tax retirement savings $ 0 $ net (take-home) pay $ 1,505 $ 1,505 9 total income taxes paid $ 110 $ pre-tax savings difference $ 17 Note: Assumes semi-monthly (24) payroll cycle and married taxpayer claiming 2 withholding allowances.

9 getting there: how much will I need? Remember, one of your most important responsibilities is to calculate how much you ll need to save in your employer s retirement plan and personal savings to supplement retirement income that you expect to receive from Social Security and any other sources. In order to accurately determine how much you need to save you should use a retirement planning calculator, which is usually provided on your Plan administrator s web site, or have your investment professional perform the calculations for you and provide a retirement savings plan. what s involved with figuring the amount I need to save for retirement? The first step in calculating required funding (savings) is to establish a retirement income goal based upon your spending expectations during retirement. If you re unsure of spending expectations you might use a common guideline often recommended by financial planners, which is to provide retirement income that would replace 70% - 80% of your projected final salary. The reasoning behind these amounts are based upon the assumption that you are saving 20% or more of your annual income prior to retirement, so you re already used to living on 80% or less of your income. Additionally, you may have lower expenses during retirement, which means that your income requirements are lower. calculating how much you ll need to save > establish a desired retirement age and a retirement income goal (i.e. 75% of salary) > estimate how much you ll get from other sources, such as Social Security > use an online retirement calculator to determine how much you would need to save to pay for the difference, or have your investment professional do this for you. > use the same online retirement calculator (or investment professional) to estimate how you ll need to save each paycheck to reach your savings goal. > periodically recalculate your progress - you should do this at least every 2-3 years. Remember that retirement income will likely come from several sources (the three-legged stool), which include your employersponsored retirement plan, Social Security, and supplemental savings. So be sure to include expected retirement income from all sources when calculating your funding requirements. Social Security estimates can be obtained from their web site ( where there are several calculators available, ranging from simple to sophisticated Alternatively, if you re wondering approximately how much you ll need to save, the table below provides estimates for a range of time horizons and current salary figures. current years until retirement salary $30,000 $298,500 $363,100 $537,500 $50,000 $605,700 $736,900 $1,090,800 $80,000 $1,176,200 $1,431,100 $2,118,400 These projections assume you are single, receive a 4% annual pay increase, an 8% rate of return (not guaranteed), need 80% of current salary, live 25 years in retirement, and receive Social Security benefits of $13,800, $19,300, and $23,800, respectively. These examples are hypothetical and do not represent the return of any particular investment. how much will I need to save? As a general rule you will probably need to save about 15% - 20% of your annual income for retirement if you are seeking to replace 80% of your final salary. Of course, there are many variables that would alter this rule, so it s really best to perform an individual calculation. The most important decision that you ll make is to get started saving as soon as possible. While investment selection and management can help your portfolio grow faster, your greatest ally as an investor is time.

10 getting there: what do I need to know about investing? Investing for retirement can be narrowed down to two very important principles - asset allocation and diversification. Ironically, these two concept are often confused with one another. So, this section was written to eliminate the confusion by describing the two concepts and their differences in easy-tounderstand terms. the three major asset classes The first, and most important decision that you ll make about your investments is referred to as asset allocation. To understand asset allocation you must first understand the three major asset classes and what makes each of them unique. The three major asset classes are stocks, bonds and cash. Each of these are different types of investments that have very different risk and potential reward characteristics. The chart below shows the historical performance of the three major asset classes and inflation (we ll get to that later) during the past 20 years. Let s start with the definition of each of the three major asset classes. what is a cash investment? These are short-term loans that generally have some sort of guarantee to return all of your principal (initial investment) and interest. Examples of cash investments would be a bank or credit union savings account, certificates of deposit (CDs), U.S. government treasury bills, and money market accounts. All of these are really loans that guarantee a stated amount of interest. In other words, when you deposit money into your savings account, you are loaning your money to the bank or credit union. In exchange for loaning them your money you receive interest. Therefore, your profit from a cash investment is derived from interest. However, because this could be a very short-term loan (you may deposit money today and withdraw all or a portion any time you wish), and because you are provided some sort of guarantee to get all of your money and interest returned, the profit (interest) is generally very low. This asset class will be most appealing to an investor seeking maximum protection of their investments, with little concern about the potential reward or profitability. 20-year historic performance of the three major asset classes and inflation (results of $1 invested in january 1990) Annualized average returns Small Stocks Large Stocks Bonds Inflation 10.4% 8.2% $7.19 $4.84 $ % 4.0% $2.19 $1.70 $1 2.7% January 1990 December 2000 December Notes: 20-year historical performance of Small Stock (Russell 2000 Value), Large Stocks (S&P 500); Bonds (LB U.S. Aggregate); (90-day U.S. Treasury Bill); and, Inflation (Consumer Price Index). Past performance is not guaranteed and is not Indicative of future results. Source: Morningstar Principia

11 getting there: what do I need to know about investing? what is a bond investment? Similar to cash investments, a bond is also a loan with a promise to return all of your principal (initial investment) and interest. Bonds are really IOUs issued by corporations and governments as a way to raise money to fund a specific project or other endeavor. In exchange for these loans/ious the investor receives a certificate that states the period (term) of the loan and amount of interest to be paid. Unlike cash investments, the term of these loans are longerterm and generally promise to pay a higher rate of interest as a result. The performance of bonds are also affected by current interest rates. When interest rates are decreasing, existing bonds tend to outperform the average return shown in the chart on the previous page. Likewise, when interest rates are rising, existing bonds tend to underperform their long-term averages. Additionally, bonds range in quality and risk based upon the ability of the issuer (corporation or government) to repay the loan/iou and all of the promised interest. Therefore, the risk and potential investment return from bond investments are determined both by the term of the loan and the quality of the issuer. Historically, the investment performance for a diversified pool of high-quality bonds has been greater than cash investments, while offering relatively low risk characteristics. what is a stock investment? Unlike cash and bond investments, an investment in stocks does not represent a loan or IOU, so there s no guarantee or promise to get any of your money back and there s no guarantee that you ll make a profit. When you invest in stocks you are buying a small piece (share) of ownership in a corporation. Therefore, an investment in stock is an investment of confidence that represents your confidence that the company (and it s stock) could increase in value over time. what do I need to know about investing? > the three major asset classes (stocks, bonds, cash) > understand asset allocation and diversification Much like real estate, shares of stock are purchased at their current value, which is determined by what other investors/ buyers are willing to pay at a particular point in time. The value of both real estate and stock may increase or decrease in value. Investors hope to profit from their investment by selling it (stock or real estate) to someone else at some point in the future for an amount greater than their purchase price. The historic performance of stocks has been much greater than that of cash bonds over longer periods of time; however, the performance of stocks during short periods of time can be extremely volatile (potentially extreme increases or decreases in value) during short time periods. Therefore, an investment in stocks is generally more attractive to the long-term investor, because the short-term ups and downs are outweighed by the potential greater long-term investment returns. how does inflation impact investments? Inflation represents a measurement of the increased costs for goods and services over time. As a long-term investor, inflation is an important consideration, because the cost of goods and services will likely increase while your money is invested. Over the long-term, it s advisable to invest in asset classes that have outperformed inflation by a meaningful amount.

12 getting there: what do I need to know about investing? what do I need to know about asset allocation? > control your potential risk and return by adjusting the amount allocated to stocks, bonds, and cash. > allocate more stocks in the early years of your career. > gradually decrease the allocation and increase the allocation to bonds as you near retirement age asset allocation models 88% 12% age 25 what is asset allocation? 87% As mentioned previously in this section, asset allocation is the most important decision that you ll make initially, and the most important revision made to your portfolio over time. Asset allocation is simply how you decide to allocate (divide) your investments among the three major asset classes (stocks, bonds and cash). Independent studies have concluded that this decision is representative of over 90% of the potential investment return of a diversified portfolio, and that individual investment selection and timing have very little influence on the performance of a long-term portfolio. The amount allocated to each asset class should be based upon an investor s current time horizon (the length of time between today and when they intend to start spending money in the account - in this case, retirement age) and risk tolerance, which is the level of risk an investor is comfortable accepting Therefore, a younger person with a longer time horizon would generally be more comfortable with a large portion of their portfolio in stocks, while someone closer to retirement would begin to favor the greater stability of bonds. Therefore, it s generally advisable to allocate a greater percentage of your portfolio to stocks during the early years of your career, and then gradually reduce the allocation stocks while increasing your allocation to bonds as you near your planned retirement age. Finally, the cash asset class should be added when an investor gets very close to retirement, and this lower-risk asset class will continue to be attractive during one s retirement years. age 45 58% 42% 13% 77% 55% 23% age 35 age 55 The pie charts shown here provide an example of how the average investor, with a planned retirement age of 65, might allocate their investments. These allocation models are based purely upon time horizon, so it should be noted that an investor may wish to be more aggressive or conservative than these models when factoring their personal tolerance for investment risk. age 65 stocks 45% bonds

13 getting there: creating and managing your own mix of investments what is diversification? Remember, asset allocation is the percentage of your portfolio that is allocated to each of the three major asset classes, and diversification is how you divide assets within one or more of the three major asset classes. Ultimately, the primary purpose of diversification is to reduce risk in your overall portfolio. For example, if you decided to allocate 70% of your portfolio to stocks, you would not want to invest the entire 70% in a single stock, because 70% of your portfolio would be subject to the success or failure of one company. Instead, you could substantially reduce risk by diversifying your allocation to stocks among many different companies, with different characteristics, operating in several different industries/ markets. mutual funds One the most common methods of diversifying is to invest in mutual funds. These are investment companies that combine the assets of many individual and institutional investors into a single pool, which is invested into several, often hundreds, of different securities (stocks, bonds, etc.). Individual investors benefit by accessing the expertise and resources of a team of investment professionals who make all of the investment management decisions, and their investments are immediately diversified. Investors further benefit by sharing the investment management and operating expenses of mutual funds, which are spread across all of the fund s investors. step one: asset allocation three step process Remember the first, and most important step is to determine an appropriate allocation of your portfolio based upon your time horizon and risk tolerance. Younger investors should have greater allocations to stocks, while those closer to retirement will want to favor the bond and cash asset classes. step two: diversification (choose your funds) Your retirement plan offers a broad range of investments to choose from, which provides you with the ability to have a diverse mix of investments by adding funds from several asset classes to your portfolio. You can find more detailed information about each of the funds offered in your retirement plan in the next section of this guide. step three: monitor and manage your portfolio You will want to periodically review your investment mix and make adjustments so that your allocation gradually becomes more conservative as you near your anticipated retirement age. Additionally, you should periodically rebalance your portfolio so that it doesn t become more aggressive than you intended. Every mutual fund has a stated investment objective that provides potential investors with information about the types of investments, management style and risk/reward characteristics of the fund. There are over 20,000 mutual funds available that offer a wide variety of risk and return characteristics based upon the types of investments and particular investment strategies of each fund. The table shown here illustrates the risk and reward characteristics of various types of mutual fund strategies. Mutual funds with more aggressive investment strategies may offer potential higher investment returns, along with an increased risk of losing value. Likewise, funds with more conservative investment strategies offer greater protection from severe losses while limiting the expected investment return. lower risk higher mutual fund asset classes small company stocks foreign company stocks large company stocks corporate bonds government bonds cash & equivalents lower return higher

14 ASSET ALLOCATION QUESTIONNAIRE Successful investors adhere to a disciplined investing process. To determine which investment process is appropriate for you and your retirement plan assets, answer the following questions regarding your time horizon, risk tolerance, and investment objectives. The result will lead you to an asset allocation strategy that may be appropriate for your particular financial needs and objectives. Diversification through asset allocation attempts to balance the level of risk with which you are comfortable and the level of return you would like to receive. *Diversification does not guarantee against a loss, and there is no guarantee that a diversified portfolio will outperform a non-diversified portfolio. Question 1 When do you expect to begin withdrawing money from your investment account? A. 0 B. 1 A. Less than 1 year D. 5 to 7 years C. 3 B. 1 to 2 years E. 8 to 10 years D. 7 C. 3 to 4 years F. 11 years or more E. 9 F. 11 Question 2 Once you begin withdrawing money from your investment account, how long do A. 0 you expect the withdrawals to last? B. 2 C. 4 A. I plan to take a lump sum distribution D. 8 to 10 years D. 5 B. 1 to 4 years E. 11 years or more E. 6 C. 5 to 7 years Question 3 Historically, investors who have received high long-term average returns A. 0 have experienced greater fluctuations in their account values than investors B. 5 in more conservative investments. Considering the above, which statement C. 10 best describes your investment objectives? D. 15 A. Protect the value of my account C. Balance risk and return B. Keep risk to a minimum D. Maximize long- term investment returns Question 4 Suppose you owned a well-diversified portfolio that declined 20% in a short A. 15 period of time in a volatile market environment. Assuming you still have 10 B. 10 years until you begin taking withdrawals, what, if any, action would you take? C. 5 D. 0 A. I would not change my portfolio C. I would wait at least three months B. I would wait at least a year D. I would make a change immediately Score (please circle one) Score (please circle one) Score (please circle one) Score (please circle one) Question 5 Score (please circle one) How do you feel about this statement I am comfortable with investments that may A. 15 frequently experience large declines in value if there is a potential for higher returns? B. 8 C. 0 A. Agree C. Strongly disagree B. Disagree Total Score Aggressive Growth Score between Growth Score between Moderate Growth Score between Conservative Growth Score between Income Score between 7-16 Conservative Income Score between 0-6 Equities 90% Fixed Income 10% Stable/Money Market 0% Equities 75% Fixed Income 25% Stable/Money Market 0% Equities 65% Fixed Income 25% Stable/Money Market 10% Equities 50% Fixed Income 35% Stable/Money Market 15% Equities 40% Fixed Income 40% Stable/Money Market 20% Equities 30% Fixed Income 50% Stable/Money Market 20%

15 Favorite Healthcare Staffing 401(k) Retirement Plan This document contains important information concerning our retirement plan. The first section provides you with information about the plan in general, including any expenses you might incur through participation in the plan or through taking advantage of different plan features. The second section provides information about the plan's investment alternatives, including any fees or expenses associated with those investments. If you have questions concerning any of this information, contact Meley King at Plan Information The Plan is intended to be an ERISA Section 404(c) plan. This simply means that you "exercise control" over some or all of the investments in your Plan account. The fiduciaries of the Plan may be relieved of liability, or responsibility, for any losses that you may experience as a direct result of your investment decisions. As a Plan participant, you may request certain information from Meley King, 7255 W. 98th Terrace Bld 5, Suite 150, Overland Park, KS 66212, Phone: This information includes: annual operating expenses of the Plan investments; copies of prospectuses, financial statements, reports, or other materials relating to Plan investments provided to the Plan; a list of assets contained in each Plan investment portfolio; the value of those assets and fund units or shares; and the past and current performance of each Plan investment. You give investment directions for your Plan account, selecting from investment choices provided under the Plan, as determined by Favorite Healthcare Staffing, Inc. You may change your investment choices daily. Other Plan related Expenses Retirement plans have different types of expenses. Administration expenses These are charges for services such as legal, accounting and recordkeepingexpenses. In our Plan, these expenses are paid by the Plan sponsor and are not allocated to Plan participants. You do not pay any administration expenses. Although the Plan sponsor currently pays the administration expenses, they may be paid from the Plan at the employer's discretion or due to other extenuating circumstances. Any administration expenses paid by the Plan, and which are charged against participant accounts, will be reflected on the quarterly benefit statements. The Plan benefits from revenue sharing, and these payments offset some of the administration expenses. In the absence of revenue sharing, a participant's share of these expenses might be higher. Individual expenses These are expenses you may incur if you take advantage of certain Plan features. Qualified Domestic Relations Order (QDRO) The Following expenses apply to QDROs. Account Segregation Fee: $85.00 per hour. DRO Qualification Fee: Contact Plan Administrator for more information. The Participant named in the order will pay 50% of the fees. The Alternate Payee named in the order will pay 50% of the fees. Distributions $50 for each type of distribution Other Expenses You may incur certain charges for special requests: Check reissuance: $25.00

16 Favorite Healthcare Staffing 401(k) Retirement Plan Investment Options 09/30/2012 This document includes important information to help you compare the investment options under your retirement plan. If you want additional information about your investment options, you can go to the specific Internet Web site address shown below or you can contact Meley King at A free paper copy of the information available on the Web site[s] can be obtained by contacting Meley King at Document Summary This section has two parts. Part I consists of performance informationfor plan investment options. This part shows you how well the investments have performed in the past. Part II shows you the fees and expenses you will pay if you invest in an option. Part I. Performance Information Table 1 focuses on the performance of investment options that do not have a fixed or stated rate of return. Table 1 shows how these options have performed over time and allows you to compare them with an appropriate benchmark for the same time periods. Table 1 displays two benchmarks: first a broad based index that is designed to reflect the movement of the entire market and second, a narrow based index that is more specific to the designated investment alternative. Past performance does not guarantee how the investment option will perform in the future. Your investment in these options could lose money. Information about an option s principal risks is available on the Web site[s]. Name Table 1 Variable Return Investments Average Annual Total Return as of 09/30/ yr. 5 yr. 10 yr. Since Inception Benchmark 1 yr. 5 yr. 10 yr. Since Inception STOCK American Century Mid Cap Value Fund (A) 25.50% 3.57% N/A 7.33% 30.11% 1.51% 8.72% 5.36% Morningstar US Market Index 27.31% 1.43% 10.01% 5.25% Morningstar Mid Cap Value Index Additional information may be found at: American Funds EuroPacific Growth Fund (R3) 17.70% 2.49% 9.92% 6.92% 15.40% 3.99% 9.79% N/A Morningstar Developed ex US Index 15.40% 3.99% 9.79% N/A Morningstar Developed ex US Index Additional information may be found at: Columbia Dividend Income Fund (A) 26.92% 2.28% 9.14% 7.81% 30.11% 1.51% 8.72% N/A Morningstar US Market Index 28.23% 2.46% 7.32% N/A Morningstar Large Cap Value Index Additional information may be found at: Note on Performance : Performance for this investment for the period prior to 11/25/2002 is based on a different share class for the investment. Columbia Large Cap Index Fund (A) 29.65% 0.67% 7.58% 6.96% 30.11% 1.51% 8.72% N/A Morningstar US Market Index 30.75% 1.02% 7.79% N/A Morningstar Large Cap Index Additional information may be found at: Columbia Mid Cap Index Fund (A) 27.97% 3.46% 10.35% 7.05% 30.11% 1.51% 8.72% N/A Morningstar US Market Index 27.42% 2.24% 10.90% N/A Morningstar Mid Cap Index Additional information may be found at:

17 Name Table 1 Variable Return Investments Average Annual Total Return as of 09/30/ yr. 5 yr. 10 yr. Since Inception Benchmark 1 yr. 5 yr. 10 yr. Since Inception Columbia Select Large Cap Growth Fund (A) 23.02% 2.96% 9.52% 2.90% 30.11% 1.51% 8.72% N/A Morningstar US Market Index 33.49% 2.87% 7.26% N/A Morningstar Large Cap Growth Index Additional information may be found at: Note on Performance : Performance for this investment for the period prior to 09/27/2007 is based on a different share class for the investment. Columbia Small Cap Index Fund (A) 32.89% 2.99% 10.31% 7.93% 30.11% 1.51% 8.72% N/A Morningstar US Market Index 31.11% 3.61% 11.36% N/A Morningstar Small Cap Index Additional information may be found at: Invesco Real Estate Fund (A) 31.46% 1.53% 12.14% 9.77% 30.11% 1.51% 8.72% N/A Morningstar US Market Index 32.05% 1.77% 10.63% N/A Morningstar Real Estate Category Average Additional information may be found at: Invesco Small Cap Equity Fund (A) 28.80% 2.45% 9.91% 5.94% 30.11% 1.51% 8.72% N/A Morningstar US Market Index 31.11% 3.61% 11.36% N/A Morningstar Small Cap Index Additional information may be found at: Invesco SmallCap Value Fund (A) 36.85% 4.11% 11.50% 9.61% 30.11% 1.51% 8.72% N/A Morningstar US Market Index 33.27% 5.06% 11.47% N/A Morningstar Small Cap Value Index Additional information may be found at: Ivy Mid Cap Growth Fund (A) 24.22% 5.31% 11.45% 5.51% 30.11% 1.51% 8.72% N/A Morningstar US Market Index 24.38% 1.73% 11.38% N/A Morningstar Mid Cap Growth Index Additional information may be found at: JPMorgan Large Cap Growth Fund (A) 25.16% 4.13% 8.66% 6.93% 30.11% 1.51% 8.72% N/A Morningstar US Market Index 33.49% 2.87% 7.26% N/A Morningstar Large Cap Growth Index Additional information may be found at: Oppenheimer Equity Income Fund (A) 29.57% 3.08% 9.74% 11.28% 30.11% 1.51% 8.72% N/A Morningstar US Market Index 28.23% 2.46% 7.32% N/A Morningstar Large Cap Value Index Additional information may be found at: Oppenheimer Intl. Diversified Fund (A) 15.51% 1.61% N/A 5.17% 15.40% 3.99% 9.79% 3.11% Morningstar Developed ex US Index 15.40% 3.99% 9.79% 3.11% Morningstar Developed ex US Index Additional information may be found at: Oppenheimer Rising Dividends Fund (A) 24.91% 0.82% 8.58% 12.47% 30.11% 1.51% 8.72% N/A Morningstar US Market Index 30.75% 1.02% 7.79% N/A Morningstar Large Cap Index Additional information may be found at: BOND

18 Name Table 1 Variable Return Investments Average Annual Total Return as of 09/30/ yr. 5 yr. 10 yr. Since Inception Benchmark 1 yr. 5 yr. 10 yr. Since Inception JPMorgan Core Bond Fund (A) 5.61% 6.97% 5.41% 6.71% 5.36% 6.81% 5.50% N/A Morningstar Core Bond Index 6.04% 7.07% 5.54% N/A Morningstar Intermediate US Government/Corporate Bond Index Additional information may be found at: Pioneer Global High Yield Fund (A) 16.36% 5.94% 11.42% 9.77% 5.36% 6.81% 5.50% N/A Morningstar Core Bond Index 17.92% 8.62% 10.54% N/A Credit Suisse High Yield Bond Index Additional information may be found at: BLENDED American Funds American Balanced Fund (R3) 21.19% 2.80% 7.44% 5.63% 30.11% 1.51% 8.72% N/A Morningstar US Market Index 16.88% 3.40% 8.37% N/A Morningstar Moderate Target Risk Index Additional information may be found at: JPMorgan SmartRetirement Fund (A) 13.47% 3.18% N/A 4.59% 5.36% 6.81% 5.50% 6.86% Morningstar Core Bond Index 15.36% 4.57% 9.07% 6.28% Morningstar Lifetime Moderate Index Additional information may be found at: JPMorgan SmartRetirement 2015 Fund (A) 17.15% 2.94% N/A 4.70% 30.11% 1.51% 8.72% 4.54% Morningstar US Market Index 16.67% 4.07% 9.59% 6.11% Morningstar Lifetime Moderate 2015 Index Additional information may be found at: JPMorgan SmartRetirement 2020 Fund (A) 19.50% 2.61% N/A 4.67% 30.11% 1.51% 8.72% 4.54% Morningstar US Market Index 18.30% 3.33% 10.01% 5.76% Morningstar Lifetime Moderate 2020 Index Additional information may be found at: JPMorgan SmartRetirement 2025 Fund (A) 21.63% 2.24% N/A 2.98% 30.11% 1.51% 8.72% 2.46% Morningstar US Market Index 20.11% 2.52% 10.21% 3.30% Morningstar Lifetime Moderate 2025 Index Additional information may be found at: JPMorgan SmartRetirement 2030 Fund (A) 23.10% 1.48% N/A 4.17% 30.11% 1.51% 8.72% 4.54% Morningstar US Market Index 21.65% 1.87% 10.25% 4.93% Morningstar Lifetime Moderate 2030 Index Additional information may be found at: JPMorgan SmartRetirement 2035 Fund (A) 24.58% 1.48% N/A 2.30% 30.11% 1.51% 8.72% 2.46% Morningstar US Market Index 22.53% 1.51% 10.27% 2.34% Morningstar Lifetime Moderate 2035 Index Additional information may be found at: JPMorgan SmartRetirement 2040 Fund (A) 24.69% 1.36% N/A 4.09% 30.11% 1.51% 8.72% 4.54% Morningstar US Market Index 22.79% 1.36% 10.33% 4.65% Morningstar Lifetime Moderate 2040 Index Additional information may be found at:

19 Name Table 1 Variable Return Investments Average Annual Total Return as of 09/30/ yr. 5 yr. 10 yr. Since Inception Benchmark 1 yr. 5 yr. 10 yr. Since Inception JPMorgan SmartRetirement 2045 Fund (A) 24.74% 1.75% N/A 2.54% 30.11% 1.51% 8.72% 2.46% Morningstar US Market Index 22.71% 1.28% 10.41% 2.12% Morningstar Lifetime Moderate 2045 Index Additional information may be found at: JPMorgan SmartRetirement 2050 Fund (A) 24.73% 1.76% N/A 2.57% 30.11% 1.51% 8.72% 2.46% Morningstar US Market Index 22.57% 1.22% 10.48% 2.07% Morningstar Lifetime Moderate 2050 Index Additional information may be found at: JPMorgan SmartRetirement Income Fund (A) 13.46% 3.98% N/A 4.93% 5.36% 6.81% 5.50% 6.86% Morningstar Core Bond Index 12.86% 4.97% 7.72% 6.15% Morningstar Lifetime Moderate Income Index Additional information may be found at: CASH/STABLE VALUE American Century Prime Money Mkt. Fund (A) 0.01% 0.80% 1.55% 2.25% 0.04% 0.54% 1.65% N/A Morningstar Index 0.04% 0.54% 1.65% N/A Morningstar Index Additional information may be found at: Part II. Fee and Expense Information Table 2 shows fee and expense information for the investment options listed in Table 1. Table 2 shows the Total Annual Operating Expenses of the options in Table 1. Total Annual Operating Expenses are expenses that reduce the rate of return of the investment option. Table 2 may also show Shareholder type Fees. These fees are in addition to Total Annual Operating Expenses. Name / Type of Option STOCK American Century Mid Cap Value Fund (A) 1.26% $12.60 Table 2 Fees and Expenses Total Annual Gross Operating Expense As a Per % $1000 Shareholder Type Fees American Funds EuroPacific Growth Fund (R3) 1.14% $11.40 Columbia Dividend Income Fund (A) 1.06% $10.60 Columbia Large Cap Index Fund (A) 0.45% $4.50 Columbia Mid Cap Index Fund (A) 0.68% $6.80

20 Name / Type of Option Columbia Select Large Cap Growth Fund (A) 1.11% $11.10 Table 2 Fees and Expenses Total Annual Gross Operating Expense As a Per % $1000 Shareholder Type Fees Columbia Small Cap Index Fund (A) 0.47% $4.70 Invesco Real Estate Fund (A) 1.30% $13.00 Invesco Small Cap Equity Fund (A) 1.35% $13.50 Invesco SmallCap Value Fund (A) 1.17% $11.70 Ivy Mid Cap Growth Fund (A) 1.40% $14.00 JPMorgan Large Cap Growth Fund (A) 1.24% $12.40 Oppenheimer Equity Income Fund (A) 1.09% $10.90 Oppenheimer Intl. Diversified Fund (A) 1.37% $13.70 Oppenheimer Rising Dividends Fund (A) 1.09% $10.90 BOND JPMorgan Core Bond Fund (A) 0.99% $9.90 Pioneer Global High Yield Fund (A) 1.09% $10.90 BLENDED American Funds American Balanced Fund (R3) 0.95% $9.50 JPMorgan SmartRetirement Fund (A) 1.16% $11.60 JPMorgan SmartRetirement 2015 Fund (A) 1.21% $12.10 JPMorgan SmartRetirement 2020 Fund (A) 1.24% $12.40 JPMorgan SmartRetirement 2025 Fund (A) 1.29% $12.90

21 Name / Type of Option JPMorgan SmartRetirement 2030 Fund (A) 1.33% $13.30 Table 2 Fees and Expenses Total Annual Gross Operating Expense As a Per % $1000 Shareholder Type Fees JPMorgan SmartRetirement 2035 Fund (A) 1.37% $13.70 JPMorgan SmartRetirement 2040 Fund (A) 1.37% $13.70 JPMorgan SmartRetirement 2045 Fund (A) 1.43% $14.30 JPMorgan SmartRetirement 2050 Fund (A) 1.43% $14.30 JPMorgan SmartRetirement Income Fund (A) 1.17% $11.70 CASH/STABLE VALUE American Century Prime Money Mkt. Fund (A) 0.83% $8.30 The cumulative effect of fees and expenses can substantially reduce the growth of your retirement savings. Visit the Department of Labor s Web site for an example showing the long term effect of fees and expenses at Fees and expenses are only one of many factors to consider when you decide to invest in an option. You may also want to think about whether an investment in a particular option, along with your other investments, will help you achieve your financial goals. Please visit for a glossary of investment terms relevant to the investment options under this plan. This glossary is intended to help you better understand your options.

22 Invesco Small Cap Equity A Invesco Aim Funds Group 11 Greenway Plaza,Suite 100 Houston, TX SMEAX 1.35% $13.46 None Team 6.92 Yr(s) 08/31/2000 US Stock Million % Small Blend Val Blnd Grwth Large Small Conservative Moderate Aggressive Fund 5.82% 10.42% 28.80% 12.95% 2.45% 9.91% 5.94% MorningStar Cat* 5.37% 12.51% 29.94% 12.49% 1.46% 9.49% --- Category Rank 36% 76% 63% 37% 30% 38% * MorningStar Small Blend Average The investment seeks long-term growth of capital. The fund invests, under normal circumstances, at least 80% of its net assets (plus any borrowings for investment purposes) in equity securities of small-capitalization issuers. It considers a company to be a small-capitalization issuer if it has a market capitalization, at the time of purchase, no larger than the largest capitalized issuer included in the Russell 2000 Index. 28K 24K 2 16K 12K 8K 4K Top 10 Holdings as of 06/30/2012 Eagle Materials, Inc. 1.52% OSI Systems, Inc. 1.43% Questcor Pharmaceuticals, Inc. 1.41% Meritage Homes Corporation 1.36% GNC Acquisition Holdings Inc 1.33% Heartland Payment Systems, Inc. 1.26% Valmont Industries, Inc. 1.24% Amsurg Corporation 1.19% Innophos Holdings, Inc. 1.18% Beacon Roofing Supply, Inc. 1.17% Percent of Assets in Top Holdings 13.09% Asset Allocation as of 06/30/2012 Equity 3.76% 96.24% Top Sectors By Percent** as of 06/30/2012 Invesco Small Cap Equity A % % 20.35% You should read the Prospectus carefully before choosing a Fund % -0.41% Industrials Technology Consumer Cyclical Financial Services Health Care Basic Materials Real Estate Energy Consumer Defensive and Equivalents Utilities 16.83% 16.44% 16.34% 13.18% 9.27% 8.92% 5.00% 4.86% 4.34% 3.76% 1.05%

23 American Funds American Balanced R3 American Funds American Balanced Fund Inc P.O. Box 7650, One Market, Steuart Tower San Francisco, CA RLBCX 0.95% $20.15 None Team 7.76 Yr(s) 06/04/2002 Balanced 54,490.1 Million % Moderate Allocation Val Blnd Grwth Large Small Conservative Moderate Aggressive Fund 4.60% 12.45% 21.19% 11.14% 2.80% 7.44% 5.63% MorningStar Cat* 4.57% 10.52% 17.84% 8.72% 1.92% 6.84% --- Category Rank 54% 13% 14% 9% 27% 31% * MorningStar Moderate Allocation Average The investment seeks conservation of capital, current income and long-term growth of capital and income. The fund invests in a broad range of securities, including common stocks and investment-grade bonds. It also invests in securities issued and guaranteed by the US government and by federal agencies and instrumentalities. 24K 2 16K 12K 8K 4K Top 10 Holdings as of 06/30/2012 Wells Fargo & Co 2.97% Chevron Corp 2.81% Home Depot, Inc. 2.15% Berkshire Hathaway Inc Class A 2.13% Royal Dutch Shell PLC ADR Class B 2.02% Union Pacific Corp 1.95% Merck & Co Inc 1.88% Amazon.com Inc 1.85% American Express Co 1.83% Boeing Co 1.74% Percent of Assets in Top Holdings 21.33% Asset Allocation as of 06/30/2012 Equity Fixed Other 2.44% 1.08% 26.73% 69.75% Top 15 Sectors By Percent** as of 06/30/2012 American Funds American Balanced R % % 20.73% You should read the Prospectus carefully before choosing a Fund % 3.50% Financial Services Industrials Corporate Bond Technology Government Health Care Agency Mtg Backed Energy Consumer Cyclical Consumer Defensive and Equivalents Communication Services Basic Materials Utilities Government Related 12.22% 10.57% 8.88% 8.85% 7.81% 7.75% 7.70% 7.59% 7.12% 6.87% 3.73% 3.49% 2.72% 1.79% 0.75%

24 American Funds EuroPacific Gr R3 American Funds Europacific Growth Fund 333 South Hope Street Los Angeles, CA RERCX 1.14% $38.90 None Team Yr(s) 05/21/2002 International Stock 97,135.6 Million % Foreign Large Blend Val Blnd Grwth Large Small Conservative Moderate Aggressive Fund 7.16% 12.69% 17.70% 3.04% -2.49% 9.92% 6.92% MorningStar Cat* 6.61% 11.02% 16.00% 2.67% -5.09% 7.76% --- Category Rank 29% 24% 30% 42% 16% 13% * MorningStar Foreign Large Blend Average The investment seeks long-term growth of capital. The fund invests primarily in common stocks of issuers in Europe and the Pacific Basin that the investment adviser believes have the potential for growth. Growth stocks are stocks that the investment adviser believes have the potential for above-average capital appreciation. It normally invests at least 80% of net assets in securities of issuers in Europe and the Pacific Basin. 32K 28K 24K 2 16K 12K 8K 4K Top 10 Holdings as of 06/30/2012 Novo Nordisk A/S 3.40% Samsung Electronics Co Ltd 2.27% Novartis AG 2.02% SOFTBANK Corp 1.77% America Movil, S.A.B. de C.V. ADR 1.64% Nestle SA 1.59% Bayer AG 1.46% Anheuser-Busch Inbev SA 1.38% British American Tobacco PLC 1.35% Taiwan Semiconductor Manufacturing 1.20% Percent of Assets in Top Holdings 18.08% Asset Allocation as of 06/30/2012 Equity Other Fixed 10.02% 2.07% 0.26% 87.64% Top 15 Sectors By Percent** as of 06/30/2012 American Funds EuroPacific Gr R % % 38.71% You should read the Prospectus carefully before choosing a Fund. 9.07% % Financial Services 14.32% Consumer Cyclical 11.70% Health Care 10.81% Consumer Defensive 10.44% and Equivalents 10.02% Industrials 9.50% Technology 9.28% Communication Services 7.53% Energy 5.99% Basic Materials 5.07% Utilities 1.67% Real Estate 0.85% Government Related 0.18% Corporate Bond 0.08% Preferred 0.03%

25 Columbia Large Cap Index A Columbia Columbia Funds Series Trust One Financial Center Boston, MA NEIAX 0.45% $27.99 None Team 2.18 Yr(s) 10/10/1995 US Stock 2,543.9 Million % Large Blend Val Blnd Grwth Large Small Conservative Moderate Aggressive Fund 6.22% 16.06% 29.65% 12.76% 0.67% 7.58% 6.96% MorningStar Cat* 6.08% 14.28% 27.07% 10.89% -0.03% 7.32% --- Category Rank 46% 30% 28% 23% 37% 40% * MorningStar Large Blend Average The investment seeks total return before fees and expenses that corresponds to the total return of the Standard & Poor's (S&P) 500 Index. Under normal circumstances, the fund invests at least 80% of its net assets in common stocks that comprise the Standard & Poor's (S&P) 500 Index. It may invest in derivatives, consisting of stock index futures or options, as substitutes for the underlying securities in the S&P 500 Index. 24K 2 16K 12K 8K 4K Top 10 Holdings as of 08/31/2012 Apple Inc 4.77% Exxon Mobil Corporation 3.13% Microsoft Corporation 1.77% International Business Machines Corp 1.72% Chevron Corp 1.70% General Electric Co 1.68% AT&T Inc 1.65% Johnson & Johnson 1.42% Procter & Gamble Co 1.41% S&P 500 Sep % Percent of Assets in Top Holdings 20.64% Asset Allocation as of 08/31/2012 Equity Other 1.13% 0.36% 98.50% Top Sectors By Percent** as of 08/31/2012 Columbia Large Cap Index A % % 26.03% You should read the Prospectus carefully before choosing a Fund % 1.73% Technology Financial Services Consumer Defensive Health Care Industrials Energy Consumer Cyclical Communication Services Utilities Basic Materials Real Estate and Equivalents 18.31% 12.80% 11.35% 11.31% 10.91% 10.85% 9.38% 4.27% 3.36% 2.66% 1.90% 1.13%

26 Columbia Mid Cap Index A Columbia Columbia Funds Series Trust One Financial Center Boston, MA NTIAX 0.46% $11.92 None Team 2.18 Yr(s) 05/31/2000 US Stock 2,254.5 Million % Mid-Cap Blend Val Blnd Grwth Large Small Conservative Moderate Aggressive Fund 5.30% 13.38% 27.97% 13.85% 3.46% 10.35% 7.05% MorningStar Cat* 5.33% 12.11% 26.16% 11.28% 0.83% 9.26% --- Category Rank 52% 38% 36% 16% 11% 23% * MorningStar Mid-Cap Blend Average The investment seeks total return before fees and expenses that corresponds to the total return of the Standard & Poor's (S&P) MidCap 400 Index. Under normal circumstances, the fund invests at least 80% of its net assets in common stocks that comprise the S&P MidCap 400 Index. 28K 24K 2 16K 12K 8K 4K Top 10 Holdings as of 08/31/2012 S&P Mid 400 Emini Sep % Regeneron Pharmaceuticals, Inc. 0.94% Vertex Pharmaceuticals 0.91% Equinix, Inc. 0.77% Kansas City Southern, Inc. 0.69% HollyFrontier Corp 0.68% Ametek, Inc. 0.67% Macerich Company 0.64% PetSmart Inc. 0.62% Church & Dwight Company, Inc. 0.62% Percent of Assets in Top Holdings 9.99% Asset Allocation as of 08/31/2012 Equity 3.20% 96.80% Top Sectors By Percent** as of 08/31/2012 Columbia Mid Cap Index A % % 36.79% You should read the Prospectus carefully before choosing a Fund % -2.14% Industrials Consumer Cyclical Technology Financial Services Health Care Real Estate Basic Materials Energy Utilities Consumer Defensive and Equivalents Communication Services 18.45% 13.69% 12.28% 10.86% 8.98% 8.87% 5.65% 5.40% 4.07% 3.45% 3.20% 1.66%

27 Columbia Small Cap Index A Columbia Columbia Funds Series Trust One Financial Center Boston, MA NMSAX 0.47% $17.92 None Team 2.18 Yr(s) 10/15/1996 US Stock 1,771.4 Million % Small Blend Val Blnd Grwth Large Small Conservative Moderate Aggressive Fund 5.29% 13.53% 32.89% 14.64% 2.99% 10.31% 7.93% MorningStar Cat* 5.37% 12.51% 29.94% 12.49% 1.46% 9.49% --- Category Rank 48% 36% 23% 15% 22% 26% * MorningStar Small Blend Average The investment seeks total return before fees and expenses that corresponds to the total return of the Standard & Poor's (S&P) SmallCap 600 Index. Under normal circumstances, the fund invests at least 80% of its net assets in common stocks that comprise the S&P SmallCap 600 Index. 28K 24K 2 16K 12K 8K 4K Top 10 Holdings as of 08/31/2012 Russell 2000 Emini Ice Sep % Extra Space Storage, Inc. 0.66% Kilroy Realty Corporation 0.64% Tanger Factory Outlet Centers 0.58% Hain Celestial Group, Inc. 0.57% Cubist Pharmaceuticals, Inc. 0.55% United Natural Foods, Inc. 0.52% Mid-America Apartment Communities 0.52% Post Properties Inc 0.51% Proassurance Corporation 0.51% Percent of Assets in Top Holdings 8.75% Asset Allocation as of 08/31/2012 Equity Other 3.33% 0.48% 96.19% Top Sectors By Percent** as of 08/31/2012 Columbia Small Cap Index A % % 25.19% You should read the Prospectus carefully before choosing a Fund % 0.58% Industrials Technology Consumer Cyclical Financial Services Health Care Real Estate Basic Materials Consumer Defensive Utilities and Equivalents Energy Communication Services 16.67% 16.21% 14.48% 10.34% 9.20% 7.87% 5.74% 4.82% 3.84% 3.33% 2.75% 0.57%

28 Oppenheimer International Diversified A OppenheimerFunds 6803 South Tucson Way Centennial, CO OIDAX 1.37% $11.56 None George Evans 7.01 Yr(s) 09/27/2005 International Stock 1,937.5 Million % Foreign Large Blend Val Blnd Grwth Large Small Conservative Moderate Aggressive The investment seeks high total return through both capital appreciation and income. The fund is a special type of mutual fund known as a "fund of funds" because it primarily invests in other mutual funds. 16K 14K 12K 1 8K 6K 4K 2K Top 10 Holdings as of 08/31/2012 Oppenheimer International Growth Y 31.59% Master Intl Value Fund 18.51% Oppenheimer Developing Markets Y 15.24% Oppenheimer International Small Co Y 14.83% Oppenheimer International Bond Y 10.06% Oppenheimer International Value Y 9.73% Percent of Assets in Top Holdings 99.96% Fund 8.14% 13.78% 15.51% 5.49% -1.61% 5.17% MorningStar Cat* 6.61% 11.02% 16.00% 2.67% -5.09% 7.76% --- Category Rank 9% 13% 53% 9% 5% * MorningStar Foreign Large Blend Average Asset Allocation as of 08/31/2012 Equity Other Fixed 2.87% 8.92% 19.01% 69.20% Top 15 Sectors By Percent** as of 08/31/2012 Oppenheimer International Diversified A % % 49.45% You should read the Prospectus carefully before choosing a Fund % % Industrials Consumer Defensive Consumer Cyclical Technology Health Care Financial Services Government Communication Services Basic Materials Energy and Equivalents Corporate Bond Real Estate Government Related Utilities 12.89% 10.50% 10.19% 9.95% 6.50% 5.91% 5.79% 4.36% 3.97% 3.10% 2.80% 2.23% 1.01% 0.56% 0.22%

29 Pioneer Global High Yield A Pioneer Investments 60 State Street 13th Floor Boston, MA PGHYX 1.09% $10.05 None Team 8.30 Yr(s) 08/27/2001 Taxable Bond 2,026.1 Million % High Yield Bond Limtd Mod Extr High Low The investment seeks to maximize total return through a combination of income and capital appreciation. The fund normally invests at least 80% of total assets in below investment grade debt securities and preferred stocks of U.S. and preferred stocks of U.S. and non-u.s. issuers, including governmental and corporate issuers in emerging markets. It may invest in securities with a broad range of maturities. 32K 28K 24K 2 16K 12K 8K 4K Conservative Moderate Aggressive Fund 5.81% 11.91% 16.36% 11.31% 5.94% 11.42% 9.77% MorningStar Cat* 4.34% 11.28% 17.63% 11.40% 7.06% 9.20% --- Category Rank 4% 33% 80% 58% 83% 4% * MorningStar High Yield Bond Average Top 10 Holdings as of 07/31/2012 Minerva Overseas 144A % 0.91% Lyondellbasell Inds Nv 5% 0.85% Empresa Energetica De Sergipe 144A 9.5% 0.82% Berau Cap Res Pte 144A 12.5% 0.74% Massey Engy Cv 3.25% 0.73% Intelsat Bermuda 144A 11.5% 0.73% Frontier Comms 8.75% 0.73% Ford Mtr Co Del Cv 4.25% 0.72% Dyncorp Intl % 0.72% Expert Global Soluti L %, 0.70% Percent of Assets in Top Holdings 7.65% Asset Allocation as of 07/31/2012 Fixed Other Equity 7.18% 5.00% 1.01% 86.82% Top 15 Sectors By Percent** as of 07/31/2012 Pioneer Global High Yield A % % 63.83% You should read the Prospectus carefully before choosing a Fund % -2.38% Corporate Bond Bank Loan 7.32% Convertible 6.06% and Equivalents 5.54% Government 2.61% Asset Backed 1.94% Preferred 1.17% Non-Agency Res Mtg Bk 0.77% Government Related 0.74% US Muni Tax Advtged 0.61% Commercial Mtg Backed 0.54% Energy 0.36% Basic Materials 0.27% Industrials 0.19% Consumer Cyclical 0.16% 70.75%

30 Oppenheimer Rising Dividends A OppenheimerFunds 6803 South Tucson Way N/a Centennial, CO OARDX 1.09% $17.41 None Team 5.09 Yr(s) 04/30/1980 US Stock 4,162.7 Million % Large Blend Val Blnd Grwth Large Small Conservative Moderate Aggressive Fund 5.28% 12.10% 24.91% 11.16% 0.82% 8.58% 12.47% MorningStar Cat* 6.08% 14.28% 27.07% 10.89% -0.03% 7.32% --- Category Rank 77% 77% 72% 49% 33% 13% * MorningStar Large Blend Average The investment seeks total return. The fund invests mainly in common stocks of companies that currently pay dividends or are expected to begin paying dividends in the future. 24K 2 16K 12K 8K 4K Top 10 Holdings as of 08/31/2012 Apple Inc 2.93% Qualcomm, Inc. 2.34% Microsoft Corporation 2.27% Wells Fargo & Co 2.27% International Business Machines Corp 2.22% Pfizer Inc 2.13% U.S. Bancorp 2.11% JPMorgan Chase & Co 1.98% Philip Morris International, Inc. 1.96% Bristol-Myers Squibb Company 1.88% Percent of Assets in Top Holdings 22.09% Asset Allocation as of 08/31/2012 Equity 0.50% 99.50% Top Sectors By Percent** as of 08/31/2012 Oppenheimer Rising Dividends A % % 18.45% You should read the Prospectus carefully before choosing a Fund % 2.39% Technology Financial Services Industrials Health Care Energy Consumer Defensive Consumer Cyclical Communication Services Basic Materials Utilities and Equivalents 22.53% 14.99% 12.33% 12.08% 11.03% 9.73% 9.23% 3.31% 2.82% 1.47% 0.50%

31 Invesco SmallCapValue A Invesco Aim Sector Funds 11 Greenway Plaza,Suite 100 Houston, TX VSCAX 1.17% $17.87 None Team 2.27 Yr(s) 06/21/1999 US Stock 2,157.0 Million % Small Value Val Blnd Grwth Large Small Conservative Moderate Aggressive Fund 5.68% 15.81% 36.85% 12.34% 4.11% 11.50% 9.61% MorningStar Cat* 4.96% 11.83% 29.25% 11.49% 2.04% 10.24% --- Category Rank 34% 13% 7% 38% 14% 13% * MorningStar Small Value Average The investment seeks capital appreciation. The fund invests at least 80% of its net assets (plus any borrowings for investment purposes) in small capitalization companies at the time of investment. The adviser considers a company to be a small-capitalization issuer if it has a market capitalization, at the time of purchase, no larger than the largest capitalized issuer included in the Russell 2000 Index. 32K 28K 24K 2 16K 12K 8K 4K Top 10 Holdings as of 06/30/2012 Alere Inc 3.04% Belden, Inc. 2.79% AerCap Holdings N.V. 2.78% Zions Bancorporation 2.75% Sonic Corporation 2.72% Health Management Associates, Inc. 2.60% Jabil Circuit, Inc. 2.32% UTi Worldwide, Inc. 2.27% First Horizon National Corp 2.15% Terex Corp 2.11% Percent of Assets in Top Holdings 25.53% Asset Allocation as of 06/30/2012 Equity 6.31% 93.70% Top Sectors By Percent** as of 06/30/2012 Invesco SmallCapValue A % % 29.68% You should read the Prospectus carefully before choosing a Fund % -8.20% Technology Industrials Financial Services Consumer Cyclical Health Care and Equivalents Energy Consumer Defensive Utilities Basic Materials 22.68% 21.18% 17.43% 15.74% 10.21% 6.31% 2.74% 1.77% 1.07% 0.86%

32 JPMorgan Core Bond A JPMorgan Jpmorgan Trust II 245 Park Avenue New York, NY PGBOX 0.76% $12.13 None Team Yr(s) 05/01/1992 Taxable Bond 28,557.3 Million 4236 Intermediate-Term Limtd Mod Extr High Conservative Moderate Aggressive Low Fund 1.75% 4.53% 5.61% 6.52% 6.97% 5.41% 6.71% MorningStar Cat* 2.55% 6.20% 7.70% 7.13% 6.30% 5.22% --- Category Rank 79% 76% 77% 66% 34% 42% * MorningStar Intermediate-Term Bond Average The investment seeks to maximize total return by investing primarily in a diversified portfolio of intermediate- and long-term debt securities. The fund is designed to maximize total return by investing in a portfolio of investment grade intermediate- and long-term debt securities. 18K 16K 14K 12K 1 8K 6K 4K 2K Top 10 Holdings as of 08/31/2012 U S Treas Sec Stripped Int Pmt 1.57% US Treasury Note 3.25% 1.00% US Treasury Bond 8.875% 0.99% US Treasury Note 3.125% 0.89% US Treasury Note 2.75% 0.87% US Treasury Note 2.625% 0.84% US Treasury Note 1.375% 0.70% US Treasury Note 3.125% 0.68% U S Treas Sec Stripped Int Pmt 0.64% US Treasury Note 4.75% 0.62% Percent of Assets in Top Holdings 8.80% Asset Allocation as of 08/31/2012 Fixed Other 5.37% 0.25% 94.38% Top Sectors By Percent** as of 08/31/2012 JPMorgan Core Bond A % 3.79% 9.52% You should read the Prospectus carefully before choosing a Fund. 7.06% 7.18% Agency Mtg Backed Government Corporate Bond Non-Agency Res Mtg Bk Asset Backed and Equivalents Government Related Commercial Mtg Backed Muni Taxable 0.21% 10.04% 6.96% 5.37% 2.03% 1.28% 16.12% 23.92% 33.81%

33 Invesco Real Estate A Invesco AIM Investment Securities Funds 11 Greenway Plaza,Suite 100 Houston, TX IARAX 1.30% $26.04 None Team 8.86 Yr(s) 12/31/1996 US Stock 2,413.6 Million % Real Estate Val Blnd Grwth Large Small Conservative Moderate Aggressive Fund 0.71% 14.10% 31.46% 17.85% 1.53% 12.14% 9.77% MorningStar Cat* 0.61% 14.92% 31.89% 19.74% 1.64% 10.48% --- Category Rank 28% 49% 52% 85% 57% 16% * MorningStar Real Estate Average The investment seeks total return through growth of capital and current income. The fund invests, under normal circumstances, at least 80% of its net assets (plus any borrowings for investment purposes) in securities of real estate and real estate-related issuers, including real estate investment trusts (REITs). It invests primarily in equity securities. The fund may invest in non-investment grade debt securities (commonly known as "junk bonds") of real estate and real estate-related issuers. 35K 3 25K 2 15K 1 5K Top 10 Holdings as of 06/30/2012 Simon Property Group Inc 9.09% AvalonBay Communities Inc 6.26% American Tower Corp 6.02% Ventas Inc 5.08% Essex Property Trust 4.54% Boston Properties Inc 4.33% Host Hotels & Resorts Inc 4.31% Prologis Inc 4.10% Equity Residential 3.96% UDR Inc 3.36% Percent of Assets in Top Holdings 51.05% Asset Allocation as of 06/30/2012 Equity Other Fixed 2.15% 0.77% 0.08% 96.99% Top Sectors By Percent** as of 06/30/2012 Invesco Real Estate A % % 29.69% 22.79% 7.58% Real Estate 89.68% You should read the Prospectus carefully before choosing a Fund. Communication Services and Equivalents Industrials 6.02% 2.15% 1.28% Non-Agency Res Mtg Bk 0.04% Corporate Bond 0.04%

34 American Century Prime Money Mkt A American Century Investments 4500 Main Street Kansas City, MO ACAXX 0.83% $1.00 None Management Team 3.17 Yr(s) 08/28/1998 2,294.6 Million 170 Money Market - Limtd Mod Extr High Low Fund 0.00% 0.01% 0.01% 0.01% 0.80% 1.55% 2.25% MorningStar Cat* 0.02% 0.04% 0.04% 0.04% 0.67% 1.56% --- Category Rank * MorningStar Money Market - Taxable Average The investment seeks to earn the highest level of current income while preserving the value of the investment. Under normal market conditions, 25% or more of the fund's assets are invested in obligations of issuers in the financial services industry. The debt securities in which the fund invests may include municipal securities and variable-rate securities. 12K 1 8K 6K 4K 2K Top 10 Holdings as of 08/31/2012 FFCB FRN 4.01% US Treasury Note 1.375% 2.65% Govco Llc 2.29% US Treasury Note 3.125% 2.25% FHLBA FRN 2.20% Barclays Bk Plc / Barclays Us Ccp Fdg Ll 2.20% Honeywell Internatn' 2.20% General Elec Capt Co 2.20% Old Line Funding Llc 1.98% Crc Funding Llc 1.76% Percent of Assets in Top Holdings 23.74% Asset Allocation as of 08/31/2012 Fixed Other 5.16% 33.73% 61.11% Top Sectors By Percent** as of 08/31/2012 American Century Prime Money Mkt A % 2.55% 0.32% 0.01% 0.01% and Equivalents 61.11% You should read the Prospectus carefully before choosing a Fund. US Muni Tax Advtged Muni Taxable 5.91% 23.61% Corporate Bond 4.21%

35 American Century Mid Cap Value A American Century Investments American Century Investments P.O. Box Kansas City, MD ACLAX 1.26% $12.97 None Team 6.54 Yr(s) 01/13/2005 US Stock 2,567.2 Million % Mid-Cap Value Val Blnd Grwth Large Small Conservative Moderate Aggressive Fund 4.82% 12.23% 25.50% 12.48% 3.57% 7.33% MorningStar Cat* 5.54% 12.90% 27.21% 11.45% 1.10% 9.50% --- Category Rank 78% 59% 67% 35% 13% * MorningStar Mid-Cap Value Average The investment seeks long-term capital growth; income is a secondary consideration. Under normal market conditions, the portfolio managers will invest at least 80% of the fund's assets in medium size companies. The portfolio managers consider medium size companies to include those whose market capitalization at the time of purchase is within the capitalization range of the Russell 3000 Index, excluding the largest 100 such companies. 18K 16K 14K 12K 1 8K 6K 4K 2K Top 10 Holdings as of 06/30/2012 Republic Services Inc Class A 3.29% Northern Trust Corporation 2.56% CareFusion Corp 1.91% Imperial Oil 1.90% Ralcorp Holdings, Inc. 1.86% Lowe's Companies Inc. 1.79% Tyco International Ltd 1.60% Great Plains Energy Inc 1.60% Zimmer Holdings Inc 1.58% Applied Materials, Inc. 1.51% Percent of Assets in Top Holdings 19.60% Asset Allocation as of 06/30/2012 Equity Other 1.16% 0.47% 98.38% Top Sectors By Percent** as of 06/30/2012 American Century Mid Cap Value A % % 29.97% You should read the Prospectus carefully before choosing a Fund % -0.97% Financial Services Industrials Utilities Health Care Consumer Defensive Technology Energy Consumer Cyclical Communication Services Real Estate Basic Materials and Equivalents 20.40% 14.42% 11.79% 10.88% 9.42% 8.14% 6.81% 5.84% 5.23% 2.80% 2.64% 0.47%

36 Columbia Dividend Income A Columbia Columbia Funds Series Trust I One Financial Center Boston, MA LBSAX 1.00% $15.06 None Team 5.72 Yr(s) 11/25/2002 US Stock 6,817.3 Million % Large Value Val Blnd Grwth Large Small Conservative Moderate Aggressive Fund 4.66% 12.54% 26.92% 13.06% 2.28% 9.14% 7.81% MorningStar Cat* 5.98% 13.49% 27.19% 10.42% -0.88% 7.36% --- Category Rank 85% 67% 56% 12% 7% 7% * MorningStar Large Value Average The investment seeks total return. The fund normally invests at least 80% of net assets in a diversified portfolio of income-producing equity securities. It invests principally in securities of companies that the adviser believes are undervalued but also may invest in securities of companies that the adviser believes have the potential for long-term growth. The fund may invest in companies that have market capitalizations of any size. 24K 2 16K 12K 8K 4K Top 10 Holdings as of 08/31/2012 Philip Morris International, Inc. 3.31% Verizon Communications Inc 3.23% AT&T Inc 2.86% Microsoft Corporation 2.85% Exxon Mobil Corporation 2.78% International Business Machines Corp 2.78% Pfizer Inc 2.53% Intel Corp 2.48% Merck & Co Inc 2.37% Bristol-Myers Squibb Company 2.26% Percent of Assets in Top Holdings 27.45% Asset Allocation as of 08/31/2012 Equity Other 2.97% 0.43% 96.59% Top Sectors By Percent** as of 08/31/2012 Columbia Dividend Income A % % 18.30% You should read the Prospectus carefully before choosing a Fund % 6.77% Health Care Financial Services Consumer Defensive Technology Energy Industrials Consumer Cyclical Communication Services Basic Materials Utilities and Equivalents Real Estate Preferred 13.86% 12.27% 12.13% 11.62% 10.78% 9.27% 8.96% 6.32% 5.17% 4.86% 2.97% 1.34% 0.43%

37 JPMorgan Large Cap Growth A JPMorgan Jpmorgan Trust II 245 Park Avenue New York, NY OLGAX 1.11% $24.67 None Team 7.29 Yr(s) 02/22/1994 US Stock 8,572.2 Million % Large Growth Val Blnd Grwth Large Small Conservative Moderate Aggressive Fund 4.36% 14.69% 25.16% 17.03% 4.13% 8.66% 6.93% MorningStar Cat* 6.14% 15.96% 26.84% 11.91% 1.10% 7.74% --- Category Rank 90% 64% 64% 5% 8% 25% * MorningStar Large Growth Average The investment seeks long-term capital appreciation and growth of income by investing primarily in equity securities. The fund normally invests at least 80% of assets in equity securities of large companies with market capitalizations equal to those within the universe of the Russell 1000 Growth Index at the time of purchase. It invests in common stocks of companies with a history of above-average growth or companies expected to enter periods of above-average growth. 24K 2 16K 12K 8K 4K Top 10 Holdings as of 08/31/2012 Apple Inc 10.17% MasterCard Incorporated Class A 3.27% Biogen Idec Inc 3.11% Philip Morris International, Inc. 2.73% International Business Machines Corp 2.42% Union Pacific Corp 2.40% Alexion Pharmaceuticals, Inc. 2.17% Amazon.com Inc 2.15% Starbucks Corporation 2.14% Intuitive Surgical, Inc. 2.07% Percent of Assets in Top Holdings 32.63% Asset Allocation as of 08/31/2012 Equity 4.50% 95.51% Top Sectors By Percent** as of 08/31/2012 JPMorgan Large Cap Growth A % % 34.51% You should read the Prospectus carefully before choosing a Fund % 2.72% Technology Consumer Cyclical Health Care Consumer Defensive Industrials Financial Services Basic Materials and Equivalents Energy Communication Services 14.52% 13.55% 13.07% 7.79% 5.54% 4.55% 4.50% 3.84% 2.49% 30.14%

38 JPMorgan SmartRetirement Income A JPMorgan JPMorgan Trust I 1111 Polaris Parkway, Ste. 2-j Columbus, OH JSRAX 0.88% $16.24 None Team 5.06 Yr(s) 05/15/2006 Balanced Million 25 Retirement Income Val Blnd Grwth Large Small Conservative Moderate Aggressive Fund 3.50% 8.33% 13.46% 7.73% 3.98% 4.93% MorningStar Cat* 3.58% 8.13% 12.51% 7.42% 2.89% 5.24% --- Category Rank 49% 43% 40% 47% 17% * MorningStar Retirement Income Average The investment seeks current income and some capital appreciation. The fund is a fund of funds that invests in other J.P. Morgan funds (underlying funds), and is generally intended for investors who are retired or about to retire soon. It is designed to provide exposure to a variety of asset classes through investments in underlying funds, with an emphasis on fixed income funds over equity funds and other funds. 14K 12K 1 8K 6K 4K 2K Top 10 Holdings as of 08/31/2012 JPMorgan Core Bond R % JPMorgan High Yield R % JPMorgan Disciplined Equity R6 9.36% JPMorgan Inflation Managed Bond R6 6.48% JPMorgan Emerging Markets Debt R6 4.92% JPMorgan Real Return Instl 3.18% JPMorgan International Equity R6 2.94% JPMorgan Intl Opp R6 2.73% JPMorgan Growth Advantage R5 2.68% JPMorgan Value Advantage Instl 2.56% Percent of Assets in Top Holdings 75.43% Asset Allocation as of 08/31/2012 Fixed Equity Other 0.64% 14.73% 32.87% 51.75% Top 15 Sectors By Percent** as of 08/31/2012 JPMorgan SmartRetirement Income A % % 21.08% You should read the Prospectus carefully before choosing a Fund % 0.90% Corporate Bond and Equivalents Government Agency Mtg Backed Financial Services Technology Consumer Cyclical Industrials Energy Non-Agency Res Mtg Bk Real Estate Health Care Consumer Defensive Asset Backed Basic Materials 4.61% 4.60% 4.23% 3.27% 3.26% 3.16% 3.01% 3.00% 2.45% 2.40% 2.34% 15.50% 14.76% 13.30% 12.23%

39 JPMorgan SmartRetirement A JPMorgan JPMorgan Trust I 1111 Polaris Parkway, Ste. 2-j Columbus, OH JSWAX 0.86% $15.75 None Team 5.06 Yr(s) 05/15/2006 Balanced Million 25 Target Date Val Blnd Grwth Large Small Conservative Moderate Aggressive Fund 3.46% 8.43% 13.47% 7.99% 3.18% 4.59% MorningStar Cat* 3.86% 8.38% 13.36% 7.68% 1.85% 5.99% --- Category Rank 78% 54% 56% 45% 18% * MorningStar Target Date Average The investment seeks current income and some capital appreciation. The fund is a fund of funds that invests in other J.P. Morgan funds (underlying funds), and is generally intended for investors who are retired or about to retire soon. It is designed to provide exposure to a variety of asset classes through investments in underlying funds, with an emphasis on fixed income funds over equity funds and other funds. The fund is a to target date fund. 14K 12K 1 8K 6K 4K 2K Top 10 Holdings as of 08/31/2012 JPMorgan Core Bond R % JPMorgan High Yield R % JPMorgan Disciplined Equity R6 9.29% JPMorgan Inflation Managed Bond R6 6.46% JPMorgan Emerging Markets Debt R6 5.01% JPMorgan Real Return Instl 3.29% JPMorgan Intl Opp R6 2.75% JPMorgan Growth Advantage R5 2.67% JPMorgan Value Advantage Instl 2.57% JPMorgan International Equity R6 2.50% Percent of Assets in Top Holdings 74.41% Asset Allocation as of 08/31/2012 Fixed Equity Other 0.62% 15.38% 32.76% 51.24% Top 15 Sectors By Percent** as of 08/31/2012 JPMorgan SmartRetirement A % % 23.11% You should read the Prospectus carefully before choosing a Fund % 0.82% and Equivalents Corporate Bond Government Agency Mtg Backed Technology Financial Services Consumer Cyclical Energy Industrials Non-Agency Res Mtg Bk Real Estate Health Care Consumer Defensive Asset Backed Basic Materials 4.63% 4.58% 4.21% 3.25% 3.23% 3.09% 3.05% 2.99% 2.41% 2.35% 2.31% 15.41% 15.35% 13.30% 12.01%

40 JPMorgan SmartRetirement 2015 A JPMorgan JPMorgan Trust I 1111 Polaris Parkway, Ste. 2-j Columbus, OH JSFAX 0.91% $15.91 None Team 5.06 Yr(s) 05/15/2006 Balanced Million 25 Target Date Val Blnd Grwth Large Small Conservative Moderate Aggressive Fund 4.01% 10.22% 17.15% 9.13% 2.94% 4.70% MorningStar Cat* 4.20% 9.27% 14.94% 7.94% 1.09% 5.17% --- Category Rank 68% 26% 22% 15% 15% * MorningStar Target Date Average The investment seeks total return with a shift to current income and some capital appreciation over time as the fund approaches and passes the target retirement date. The fund is a fund of funds that invests in other J.P. Morgan Funds including fixed income funds, high yield and emerging markets debt funds, REIT funds, US equity funds, international equity funds, commodities funds and money market funds. 14K 12K 1 8K 6K 4K 2K Top 10 Holdings as of 08/31/2012 JPMorgan Core Bond R % JPMorgan Disciplined Equity R % JPMorgan High Yield R % JPMorgan Emerging Markets Debt R6 4.47% JPMorgan International Equity R6 3.97% JPMorgan Intl Opp R6 3.96% JPMorgan Growth Advantage R5 3.71% JPMorgan Value Advantage Instl 3.56% JPMorgan Intrepid America R5 3.37% JPMorgan Inflation Managed Bond R6 3.31% Percent of Assets in Top Holdings 75.65% Asset Allocation as of 08/31/2012 Fixed Equity Other 0.55% 8.82% 45.37% 45.27% Top 15 Sectors By Percent** as of 08/31/2012 JPMorgan SmartRetirement 2015 A % % 26.46% You should read the Prospectus carefully before choosing a Fund % -0.11% Corporate Bond Government Agency Mtg Backed and Equivalents Financial Services Technology Consumer Cyclical Industrials Real Estate Energy Health Care Consumer Defensive Non-Agency Res Mtg Bk Basic Materials Asset Backed 13.81% 11.15% 11.02% 8.85% 6.69% 6.52% 5.93% 4.54% 4.40% 4.26% 4.09% 3.49% 3.07% 2.40% 2.27%

41 JPMorgan SmartRetirement 2020 A JPMorgan JPMorgan Trust I 1111 Polaris Parkway, Ste. 2-j Columbus, OH JTTAX 0.94% $16.00 None Team 5.06 Yr(s) 05/15/2006 Balanced 1,779.7 Million 25 Target Date Val Blnd Grwth Large Small Conservative Moderate Aggressive Fund 4.42% 11.51% 19.50% 9.75% 2.61% 4.67% MorningStar Cat* 4.40% 9.96% 16.77% 8.49% 1.01% 6.59% --- Category Rank 63% 15% 19% 11% 10% * MorningStar Target Date Average The investment seeks total return with a shift to current income and some capital appreciation over time as the fund approaches and passes the target retirement date. The fund is a fund of funds that invests in other J.P. Morgan Funds including fixed income funds, high yield and emerging markets debt funds, REIT funds, US equity funds, international equity funds, commodities funds and money market funds. 14K 12K 1 8K 6K 4K 2K Top 10 Holdings as of 08/31/2012 JPMorgan Core Bond R % JPMorgan Disciplined Equity R % JPMorgan High Yield R6 9.27% JPMorgan Intl Opp R6 4.92% JPMorgan International Equity R6 4.76% JPMorgan Growth Advantage R5 4.69% JPMorgan Value Advantage Instl 4.51% JPMorgan US Equity R6 4.33% JPMorgan Intrepid America R5 4.27% JPMorgan Emerging Markets Debt R6 3.94% Percent of Assets in Top Holdings 77.60% Asset Allocation as of 08/31/2012 Equity Fixed Other 0.49% 7.72% 37.52% 54.27% Top 15 Sectors By Percent** as of 08/31/2012 JPMorgan SmartRetirement 2020 A % % 28.95% You should read the Prospectus carefully before choosing a Fund % -1.00% Corporate Bond Agency Mtg Backed Government Financial Services Technology and Equivalents Consumer Cyclical Industrials Real Estate Energy Health Care Consumer Defensive Non-Agency Res Mtg Bk Basic Materials Communication Services 12.06% 9.02% 8.76% 8.29% 7.93% 7.75% 7.14% 5.44% 5.19% 5.03% 4.88% 4.30% 2.71% 2.48% 2.07%

42 JPMorgan SmartRetirement 2025 A JPMorgan JPMorgan Trust I 1111 Polaris Parkway, Ste. 2-j Columbus, OH JNSAX 0.99% $15.11 None Team 4.34 Yr(s) 07/31/2007 Balanced Million 21 Target Date Val Blnd Grwth Large Small Conservative Moderate Aggressive Fund 4.75% 12.60% 21.63% 9.88% 2.24% 2.98% MorningStar Cat* 4.99% 11.06% 18.68% 8.73% 0.63% --- Category Rank 66% 12% 12% 9% 10% * MorningStar Target Date Average The investment seeks total return with a shift to current income and some capital appreciation over time as the fund approaches and passes the target retirement date. The fund is a fund of funds that invests in other J.P. Morgan Funds including fixed income funds, high yield and emerging markets debt funds, REIT funds, US equity funds, international equity funds, commodities funds and money market funds. 12K 1 8K 6K 4K 2K Top 10 Holdings as of 08/31/2012 JPMorgan Core Bond R % JPMorgan Disciplined Equity R % JPMorgan High Yield R6 9.44% JPMorgan International Equity R6 5.84% JPMorgan Intl Opp R6 5.76% JPMorgan Growth Advantage R5 5.50% JPMorgan Value Advantage Instl 5.28% JPMorgan US Equity R6 5.17% JPMorgan Intrepid America R5 5.13% JPMorgan Emerging Mkts Eq Instl 3.95% Percent of Assets in Top Holdings 76.47% Asset Allocation as of 08/31/2012 Equity Fixed Other 0.47% 7.02% 28.50% 64.01% Top 15 Sectors By Percent** as of 08/31/2012 JPMorgan SmartRetirement 2025 A % 31.03% 15.43% You should read the Prospectus carefully before choosing a Fund % Corporate Bond Financial Services Technology Consumer Cyclical and Equivalents Industrials Government Energy Agency Mtg Backed Real Estate Health Care Consumer Defensive Basic Materials Communication Services Non-Agency Res Mtg Bk 10.65% 9.83% 9.39% 8.50% 7.05% 6.49% 6.21% 5.94% 5.94% 5.85% 5.79% 5.11% 2.85% 2.45% 1.84%

43 JPMorgan SmartRetirement 2030 A JPMorgan JPMorgan Trust I 1111 Polaris Parkway, Ste. 2-j Columbus, OH JSMAX 1.02% $15.73 None Team 5.06 Yr(s) 05/15/2006 Balanced 1,569.7 Million 21 Target Date Val Blnd Grwth Large Small Conservative Moderate Aggressive Fund 5.05% 13.24% 23.10% 9.87% 1.48% 4.17% MorningStar Cat* 5.09% 11.37% 19.79% 8.85% -0.05% 7.05% --- Category Rank 66% 10% 4% 18% 8% * MorningStar Target Date Average The investment seeks total return with a shift to current income and some capital appreciation over time as the fund approaches and passes the target retirement date. The fund is a fund of funds that invests in other J.P. Morgan Funds including fixed income funds, high yield and emerging markets debt funds, REIT funds, US equity funds, international equity funds, commodities funds and money market funds. 14K 12K 1 8K 6K 4K 2K Top 10 Holdings as of 08/31/2012 JPMorgan Disciplined Equity R % JPMorgan Core Bond R6 9.93% JPMorgan High Yield R6 9.50% JPMorgan International Equity R6 6.43% JPMorgan Intl Opp R6 6.37% JPMorgan Growth Advantage R5 6.19% JPMorgan Value Advantage Instl 5.94% JPMorgan US Equity R6 5.91% JPMorgan Intrepid America R5 5.61% JPMorgan Emerging Mkts Eq Instl 4.32% Percent of Assets in Top Holdings 74.90% Asset Allocation as of 08/31/2012 Equity Fixed Other 6.25% 0.46% 21.17% 72.12% Top 15 Sectors By Percent** as of 08/31/2012 JPMorgan SmartRetirement 2030 A % % 32.45% You should read the Prospectus carefully before choosing a Fund % -4.20% Financial Services Technology Consumer Cyclical Corporate Bond Industrials Energy Real Estate Health Care and Equivalents Consumer Defensive Government Agency Mtg Backed Basic Materials Communication Services Utilities 11.04% 10.58% 9.58% 9.43% 7.31% 6.68% 6.65% 6.55% 6.28% 5.74% 4.27% 3.36% 3.19% 2.76% 1.94%

44 JPMorgan SmartRetirement 2035 A JPMorgan JPMorgan Trust I 1111 Polaris Parkway, Ste. 2-j Columbus, OH SRJAX 1.04% $14.86 None Team 4.34 Yr(s) 07/31/2007 Balanced Million 21 Target Date Val Blnd Grwth Large Small Conservative Moderate Aggressive Fund 5.34% 13.96% 24.58% 9.97% 1.48% 2.30% MorningStar Cat* 5.57% 12.29% 21.43% 9.04% -0.12% --- Category Rank 70% 6% 5% 12% 8% * MorningStar Target Date Average The investment seeks total return with a shift to current income and some capital appreciation over time as the fund approaches and passes the target retirement date. The fund is a fund of funds that invests in other J.P. Morgan Funds including fixed income funds, high yield and emerging markets debt funds, REIT funds, US equity funds, international equity funds, commodities funds and money market funds. 12K 1 8K 6K 4K 2K Top 10 Holdings as of 08/31/2012 JPMorgan Disciplined Equity R % JPMorgan High Yield R6 8.90% JPMorgan International Equity R6 7.13% JPMorgan Intl Opp R6 7.02% JPMorgan Growth Advantage R5 6.73% JPMorgan US Equity R6 6.61% JPMorgan Value Advantage Instl 6.47% JPMorgan Intrepid America R5 6.20% JPMorgan Core Bond R6 5.34% JPMorgan Emerging Mkts Eq Instl 4.61% Percent of Assets in Top Holdings 73.01% Asset Allocation as of 08/31/2012 Equity Fixed Other 6.96% 0.44% 15.81% 76.79% Top 15 Sectors By Percent** as of 08/31/2012 JPMorgan SmartRetirement 2035 A % 33.63% 16.42% You should read the Prospectus carefully before choosing a Fund % Financial Services Technology Consumer Cyclical Corporate Bond Industrials Real Estate Energy and Equivalents Health Care Consumer Defensive Basic Materials Communication Services Government Utilities Agency Mtg Backed 11.82% 11.14% 10.21% 8.14% 7.77% 7.19% 7.10% 6.98% 6.94% 6.11% 3.44% 2.93% 2.89% 2.04% 1.81%

45 JPMorgan SmartRetirement 2040 A JPMorgan JPMorgan Trust I 1111 Polaris Parkway, Ste. 2-j Columbus, OH SMTAX 1.04% $15.69 None Team 5.06 Yr(s) 05/15/2006 Balanced 1,105.4 Million 21 Target Date Val Blnd Grwth Large Small Conservative Moderate Aggressive Fund 5.37% 14.01% 24.69% 9.99% 1.36% 4.09% MorningStar Cat* 5.49% 12.18% 21.59% 9.00% -0.42% 7.25% --- Category Rank 74% 9% 5% 15% 6% * MorningStar Target Date Average The investment seeks total return with a shift to current income and some capital appreciation over time as the fund approaches and passes the target retirement date. The fund is a fund of funds that invests in other J.P. Morgan Funds including fixed income funds, high yield and emerging markets debt funds, REIT funds, US equity funds, international equity funds, commodities funds and money market funds. 14K 12K 1 8K 6K 4K 2K Top 10 Holdings as of 08/31/2012 JPMorgan Disciplined Equity R % JPMorgan High Yield R6 8.91% JPMorgan International Equity R6 7.29% JPMorgan Intl Opp R6 7.11% JPMorgan Growth Advantage R5 6.92% JPMorgan US Equity R6 6.84% JPMorgan Value Advantage Instl 6.64% JPMorgan Intrepid America R5 6.26% JPMorgan Emerging Mkts Eq Instl 4.71% JPMorgan Intrepid International Inst 3.98% Percent of Assets in Top Holdings 73.39% Asset Allocation as of 08/31/2012 Equity Fixed Other 6.61% 0.43% 13.83% 79.12% Top 15 Sectors By Percent** as of 08/31/2012 JPMorgan SmartRetirement 2040 A % % 33.33% You should read the Prospectus carefully before choosing a Fund % -5.04% Financial Services Technology Consumer Cyclical Industrials Corporate Bond Energy Real Estate Health Care and Equivalents Consumer Defensive Basic Materials Communication Services Government Utilities Agency Mtg Backed 12.19% 11.52% 10.56% 8.03% 7.81% 7.33% 7.22% 7.17% 6.64% 6.30% 3.54% 3.02% 2.36% 2.11% 1.12%

46 JPMorgan SmartRetirement 2045 A JPMorgan JPMorgan Trust I 1111 Polaris Parkway, Ste. 2-j Columbus, OH JSAAX 1.04% $14.93 None Team 4.34 Yr(s) 07/31/2007 Balanced Million 21 Target Date Val Blnd Grwth Large Small Conservative Moderate Aggressive Fund 5.39% 14.13% 24.74% 9.92% 1.75% 2.54% MorningStar Cat* 5.83% 12.81% 22.68% 9.08% -0.39% --- Category Rank 82% 9% 8% 15% 3% * MorningStar Target Date Average The investment seeks total return with a shift to current income and some capital appreciation over time as the fund approaches and passes the target retirement date. The fund is a fund of funds that invests in other J.P. Morgan Funds including fixed income funds, high yield and emerging markets debt funds, REIT funds, US equity funds, international equity funds, commodities funds and money market funds. 12K 1 8K 6K 4K 2K Top 10 Holdings as of 08/31/2012 JPMorgan Disciplined Equity R % JPMorgan High Yield R6 8.77% JPMorgan International Equity R6 7.07% JPMorgan Intl Opp R6 6.96% JPMorgan Growth Advantage R5 6.79% JPMorgan US Equity R6 6.68% JPMorgan Value Advantage Instl 6.52% JPMorgan Intrepid America R5 5.89% JPMorgan Emerging Mkts Eq Instl 4.76% JPMorgan Core Bond R6 4.60% Percent of Assets in Top Holdings 73.19% Asset Allocation as of 08/31/2012 Equity Fixed Other 6.37% 0.43% 15.02% 78.18% Top 15 Sectors By Percent** as of 08/31/2012 JPMorgan SmartRetirement 2045 A % 33.88% 16.26% You should read the Prospectus carefully before choosing a Fund % Financial Services Technology Consumer Cyclical Corporate Bond Industrials Real Estate Energy Health Care and Equivalents Consumer Defensive Basic Materials Communication Services Government Utilities Agency Mtg Backed 12.02% 11.37% 10.39% 7.93% 7.91% 7.26% 7.23% 7.09% 6.40% 6.24% 3.48% 3.00% 2.73% 2.08% 1.56%

47 JPMorgan SmartRetirement 2050 A JPMorgan JPMorgan Trust I 1111 Polaris Parkway, Ste. 2-j Columbus, OH JTSAX 1.04% $14.92 None Team 4.34 Yr(s) 07/31/2007 Balanced Million 21 Target Date Val Blnd Grwth Large Small Conservative Moderate Aggressive Fund 5.31% 14.03% 24.73% 10.02% 1.76% 2.57% MorningStar Cat* 5.59% 12.42% 22.23% 9.03% -0.56% 7.06% --- Category Rank 80% 16% 10% 12% 3% * MorningStar Target Date Average The investment seeks total return with a shift to current income and some capital appreciation over time as the fund approaches and passes the target retirement date. The fund is a fund of funds that invests in other J.P. Morgan Funds including fixed income funds, high yield and emerging markets debt funds, REIT funds, US equity funds, international equity funds, commodities funds and money market funds. 12K 1 8K 6K 4K 2K Top 10 Holdings as of 08/31/2012 JPMorgan Disciplined Equity R % JPMorgan High Yield R6 8.86% JPMorgan Intl Opp R6 7.25% JPMorgan International Equity R6 7.09% JPMorgan Growth Advantage R5 6.80% JPMorgan US Equity R6 6.71% JPMorgan Value Advantage Instl 6.54% JPMorgan Intrepid America R5 5.78% JPMorgan Emerging Mkts Eq Instl 4.88% JPMorgan Core Bond R6 4.08% Percent of Assets in Top Holdings 72.94% Asset Allocation as of 08/31/2012 Equity Fixed Other 6.44% 0.43% 14.65% 78.47% Top 15 Sectors By Percent** as of 08/31/2012 JPMorgan SmartRetirement 2050 A % 33.42% 16.73% You should read the Prospectus carefully before choosing a Fund % Financial Services Technology Consumer Cyclical Industrials Corporate Bond Real Estate Energy Health Care and Equivalents Consumer Defensive Basic Materials Communication Services Government Utilities Agency Mtg Backed 12.07% 11.38% 10.45% 7.94% 7.92% 7.34% 7.24% 7.09% 6.47% 6.25% 3.50% 3.00% 2.63% 2.09% 1.38%

48 Columbia Select Large Cap Growth A Columbia Columbia Funds Series Trust I One Financial Center Boston, MA ELGAX 1.11% $13.84 None Team 5.54 Yr(s) 09/27/2007 US Stock 5,235.2 Million % Large Growth Val Blnd Grwth Large Small Conservative Moderate Aggressive Fund 9.67% 16.20% 23.02% 14.07% 2.96% 9.52% 2.90% MorningStar Cat* 6.14% 15.96% 26.84% 11.91% 1.10% 7.74% --- Category Rank 3% 48% 83% 19% 19% 14% * MorningStar Large Growth Average The investment seeks long-term capital appreciation. Under normal circumstances, the fund invests at least 80% of its net assets in common stocks of US and foreign companies that have market capitalizations in the range of companies in the Russell 1000 Growth Index at the time of purchase. It invests primarily in common stocks of companies that Columbia Management Investment Advisers, LLC, the fund's investment adviser (the Investment Manager) believes have the potential for long-term growth. 12K 1 8K 6K 4K 2K Top 10 Holdings as of 08/31/2012 Amazon.com Inc 4.45% Michael Kors Holdings Ltd 4.30% Baidu, Inc. ADR 4.15% Salesforce.com, Inc. 4.10% Biogen Idec Inc 4.05% Cognizant Technology Solutions Corporation Class 3.91% Celgene Corporation 3.88% Las Vegas Sands Corp 3.80% Visa, Inc. 3.77% EOG Resources 3.73% Percent of Assets in Top Holdings 40.14% Asset Allocation as of 08/31/2012 Equity 1.93% 98.07% Top Sectors By Percent** as of 08/31/2012 Columbia Select Large Cap Growth A % % 45.11% You should read the Prospectus carefully before choosing a Fund % -3.47% Technology Consumer Cyclical Health Care Financial Services Energy Consumer Defensive 7.64% 7.41% 3.03% 29.51% 24.92% 22.87% Industrials 2.68% and Equivalents 1.93%

49 Oppenheimer Equity Income A OppenheimerFunds 6803 South Tucson Way N/a Centennial, CO OAEIX 1.09% $25.68 Oppenheimer Capital LLC Michael Levine 5.21 Yr(s) 02/13/1987 US Stock 3,368.2 Million % Large Value Val Blnd Grwth Large Small Conservative Moderate Aggressive Fund 8.54% 17.08% 29.57% 12.03% 3.08% 9.74% 11.28% MorningStar Cat* 5.98% 13.49% 27.19% 10.42% -0.88% 7.36% --- Category Rank 3% 7% 22% 22% 3% 3% * MorningStar Large Value Average The investment seeks total return. The fund mainly invests in common stocks of US companies that the portfolio manager believes are undervalued. It normally invests at least 80% of its net assets, plus borrowings for investment purposes, in equity securities. The fund may invest in other equity securities, such as preferred stocks, warrants and securities convertible into common stocks. 28K 24K 2 16K 12K 8K 4K Top 10 Holdings as of 08/31/2012 JPMorgan Chase & Co 3.72% Citigroup Pfd 2.98% Chevron Corp 2.72% Merck & Co Inc 2.66% Microsoft Corporation 2.49% CenturyLink Inc 2.41% Pfizer Inc 2.39% Wells Fargo & Co 2.20% MetLife Inc 1.99% Target Corp 1.98% Percent of Assets in Top Holdings 25.54% Asset Allocation as of 08/31/2012 Equity Other Fixed 2.38% 0.69% 15.07% 81.87% Top 15 Sectors By Percent** as of 08/31/2012 Oppenheimer Equity Income A % % 42.21% You should read the Prospectus carefully before choosing a Fund % -6.43% Financial Services Energy Communication Services Health Care Convertible Consumer Cyclical Consumer Defensive Preferred Technology Industrials Utilities Basic Materials Real Estate Corporate Bond and Equivalents 15.87% 10.71% 9.55% 9.39% 7.19% 6.85% 6.82% 6.39% 6.14% 4.94% 4.79% 4.55% 2.23% 2.05% 0.69%

50 Ivy Mid Cap Growth A Ivy Funds 6300 Lamar Ave Overland Park, KS WMGAX 1.40% $18.06 None Kimberly Scott Yr(s) 06/30/2000 US Stock 2,499.0 Million % Mid-Cap Growth Val Blnd Grwth Large Small The investment seeks to provide growth of capital. The fund invests primarily in common stocks of mid cap companies that the adviser believes offer above-average growth potential. Under normal circumstances, it invests at least 80% of its net assets in the securities of mid-cap companies, which typically are companies with market capitalizations within the range of companies in the Russell Midcap Growth Index at the time of acquisition. 32K 28K 24K 2 16K 12K 8K 4K Conservative Moderate Aggressive Fund 5.06% 9.72% 24.22% 14.08% 5.31% 11.45% 5.51% MorningStar Cat* 4.63% 12.49% 24.40% 12.74% 1.34% 9.43% --- Category Rank 33% 80% 54% 30% 6% 15% * MorningStar Mid-Cap Growth Average Top 10 Holdings as of 06/30/2012 Varian Medical Systems, Inc. 2.99% CarMax, Inc. 2.66% Pall Corporation 2.42% Wyndham Worldwide Corporation 2.31% Vantiv Inc 2.30% Microchip Technology, Inc. 2.29% Northern Trust Corporation 2.27% Fortune Brands Home & Security Inc 2.18% Fastenal Company 2.18% Polypore International, Inc. 2.16% Percent of Assets in Top Holdings 23.76% Asset Allocation as of 06/30/2012 Equity Other Fixed 7.74% 0.77% 0.32% 91.17% Top Sectors By Percent** as of 06/30/2012 Ivy Mid Cap Growth A % % 48.19% You should read the Prospectus carefully before choosing a Fund % -0.61% Technology 24.42% Industrials 16.80% Consumer Cyclical 16.43% Financial Services 9.16% Health Care 8.71% Consumer Defensive 6.15% Energy 6.06% Basic Materials 1.99% Real Estate 1.44% US Muni Tax Advtged 0.52% and Equivalents 0.32% Non-Agency Res Mtg Bk 0.17% Muni Taxable 0.07%

51 Mutual Fund Detail Report Disclosure Statement This fund fact sheet is provided by Matrix Settlement and Clearing Services, LLC (MSCS) and its affiliate MSCS Financial Services, LLC (MSCSFS) member FINRA. Securities services may be offered through MSCSFS, a wholly -owned subsidiary of MSCS. This fund fact sheet is for informational and research purposes only and we do not guarantee the accuracy, timeliness or completeness of the information provided. company, it is updated as of the date shown in the section s title, and The total return information does not reflect the deduction of the Sales Load that may apply if the Fund shares were purchased outside of the Plan and, if the Sales Load were reflected, performance would be lower. A market index is an unmanaged portfolio of securities such as stocks and bonds. An index is often used as a comparative benchmark for managed portfolios such as mutual funds. These indices are presented to help you evaluate the performance of the broad market, which they represent, and provide you with an understanding of that market s historic long-term performance, and a broad indication of price movement. Individual investors cannot invest directly in an index. Past performance is not indicative of future results. Style Analysis The Morningstar Style Box reveals a Fund s investment style as of the date noted on this report. For equity funds the vertical axis shows the market capitalization of the stocks owned and the horizontal axis shows investment style (value, blend, or growth). Risk Morningstar Risk evaluates a mutual fund s downside volatility relative to that of other funds in its Morningstar Category. It is an assessment of the variations in a fund s monthly returns, with an emphasis on downside variations, in comparison with the mutual funds in its Morningstar Category. In each Morningstar Category, the 10% of funds with the lowest measured risk are described as Low Risk (LOW), the next 22.5% Below Average (-AVG), the middle 35% Average (AVG), the next 22.5% Above Average (+AVG), and the top 10% High (HIGH). Morningstar Risk is measured for up to three time periods (three-, five-, and 10 years). These separate measures are then weighted and averaged to produce an overall measure for the mutual fund. Funds with less than three years of performance history are not rated.

52 Investment Name Investment Performance Summary Performance as of October 31, 2012 Year to Date 3 Month 1 Year 3 Year 5 Year 10 Year Since Inception Fund Return Gross Expense Ratio Net Expense Ratio Invesco Small Cap Equity A 9.84% 5.18% 10.66% 15.50% 1.82% 9.56% 5.85% 1.35% 1.35% American Balanced R % 2.59% 12.22% 11.14% 2.52% 6.87% 5.54% 0.95% 0.95% American EuroPacific Growth R % 5.19% 7.13% 3.75% -3.64% 9.31% 6.86% 1.14% 1.14% Columbia Large Cap Index A 13.87% 2.85% 14.72% 12.76% -0.03% 6.48% 6.80% 0.45% 0.45% Columbia Mid Cap Index A 12.43% 4.51% 11.61% 15.29% 2.76% 9.79% 6.92% 0.68% 0.46% Columbia Small Cap Index A 11.18% 3.97% 13.22% 16.13% 2.19% 9.74% 7.75% 0.47% 0.47% Oppenheimer International Diversified A 15.35% 8.72% 8.35% 6.62% -2.41% NA 5.31% 1.37% 1.37% Pioneer Global High Yield A 13.50% 5.44% 11.89% 10.86% 6.04% 11.43% 9.83% 1.09% 1.09% Oppenheimer Rising Dividends A 10.30% 2.36% 10.12% 11.21% 0.34% 7.57% 12.38% 1.09% 1.09% Invesco Small Cap Value A 12.96% 5.06% 11.10% 13.14% 3.23% 10.99% 9.34% 1.17% 1.17% JPMorgan Core Bond A 4.75% 0.79% 5.70% 6.33% 6.86% 5.46% 6.69% 0.99% 0.76% Invesco Real Estate A 13.35% -1.62% 14.53% 19.13% 1.10% 12.48% 9.67% 1.30% 1.30% American Century Prime Money Market A 0.01% 0.00% 0.01% 0.01% 0.72% 1.54% 2.24% 0.83% 0.83% American Century Mid Cap Value A 12.41% 4.56% 14.59% 13.41% 4.10% NA 7.27% 1.26% 1.26% Columbia Dividend Income A 10.74% 1.03% 14.36% 12.72% 1.74% 8.10% 7.56% 1.08% 1.08% JPMorgan Large Cap Growth A 8.93% 0.00% 6.89% 15.24% 1.76% 7.21% 6.61% 1.24% 1.11% JPMorgan SmartRetirement Income A 8.27% 2.33% 7.68% 7.84% 3.67% NA 4.86% 1.15% 0.84% JPMorgan SmartRetirement A 8.43% 2.33% 7.73% 8.18% 2.81% NA 4.53% 1.17% 0.85% JPMorgan SmartRetirement 2015 A 10.08% 2.81% 9.17% 9.47% 2.49% NA 4.61% 1.20% 0.91% JPMorgan SmartRetirement 2020 A 11.31% 3.22% 10.28% 10.19% 2.12% NA 4.57% 1.24% 0.94% JPMorgan SmartRetirement 2025 A 12.30% 3.61% 10.80% 10.42% 1.65% NA 2.88% 1.28% 0.98% JPMorgan SmartRetirement 2030 A 12.88% 3.89% 11.13% 10.49% 0.90% NA 4.06% 1.32% 1.01% JPMorgan SmartRetirement 2035 A 13.50% 4.11% 11.56% 10.60% 0.81% NA 2.19% 1.36% 1.04% JPMorgan SmartRetirement 2040 A 13.50% 4.14% 11.62% 10.61% 0.73% NA 3.97% 1.39% 1.04% JPMorgan SmartRetirement 2045 A 13.67% 4.16% 11.65% 10.54% 1.10% NA 2.42% 1.41% 1.04% JPMorgan SmartRetirement 2050 A 13.57% 4.16% 11.65% 10.67% 1.22% NA 2.45% 1.43% 1.04% Columbia Select Large Cap Growth A 9.40% 3.99% 3.49% 13.08% -0.01% 7.80% 1.64% 1.11% 1.11% Oppenheimer Equity Income A 17.62% 6.98% 15.94% 13.00% 3.12% 9.05% 11.26% 1.09% 1.09% Ivy Mid Cap Growth A 8.51% 5.68% 7.84% 15.08% 4.54% 10.79% 5.38% 1.40% 1.40% For more information about any investment option available in your Retirement Plan, please request a prospectus. A prospectus contains more information regarding risks, fees, and expenses. You should read and consider information in a prospectus carefully before investing. Investment returns will fluctuate, cannot be guaranteed and do not predict the future performance of any investment.

53 Online Enrollment & Accessing Account Information Online enrollment can be as easy as accessing the Internet! To begin, participants will need to log in to the participant web site at Once a User Name and Password are established and personal information is verified, you re ready to go. It s that easy. Accessing Your Participant Web site The first time you access your participant web site at you will need to enter your social security number, date of birth, and plan reference number. You will then be asked to click on the name of the plan that you would like to access. Establish a User Name and Password After you finish with these preliminary screens, you will go to the introduction screen for online enrollment. Click Enroll Now to begin. Six Easy Steps Step 1 Eligibility. Review this screen to confirm you have met the eligibility requirements for entry into the Plan. Once you have accessed the web site, you will be asked to establish a User Name and Password that is unique to you. For security reasons, participants cannot use their social security number. It will then prompt you to confirm the information. In addition, you will also be given the option to provide a security question and answer to be used as a hint should you forget your login information at a later date, along with a personal address. Review & Contact Information Step 2 Retirement Savings Calculator / Financial Analyzer. You have the option to use these tools as little or as much as you wish during the enrollment process. With use of the Retirement Savings Calculator, you can project different rates of deferral to determine a hypothetical account balance at age 65 based on your personal facts (age, marital status, tax bracket, etc.). The next web site screen you come to will show you the mailing/home address that CPI has on file as well as any address provided. You will be requested to correct and/or update this information. With use of the MasteryPOINT Financial Analyzer tool, you can review the basics of retirement savings and investments that you will need to consider now that you are enrolling in the plan CPI