EFTA01555764.pdf

For the Period 1/1/10 to 1/31/10 0000004462.00.0.21.00001.FINAN18.20100202 FINANCIAL TRUST COMPANY INC ATTN: JEFFREY E EPSTEIN C/O AMERICAN YACHT HARBOR 6100 RED HOOK, QUARTERS #B3 ST THOMAS 00802 VIRGIN ISLANDS, U.S. Consolidated Summary Account Number Investment Account(s) FINANCIAL TRUST COMPANY INC FINANCIAL TRUST COMPANY INC Total Value 2 Beginning Net Market Value 130,768,742.74 0.00 $130,768,742.74 Ending Net Market Value 127,511,759.14 0.00 $127,511,759.14 This consolidated summary is provided for informational purposes and includes assets at different entities. (1) Assets held at JPMorgan Chase Bank, N.A., member Federal Deposit Insurance Corporation ("FDIC"). The Asset Account Statement reflects brokerage transactions executed through J.P. Morgan Securities, Inc. ("JPMSI"), see "Portfolio Activity Detail". Equity securities, fixed income securities, and listed options transactions are generally cleared through JPMorgan Clearing Corporation ("JPMCC"), a wholly owned subsidiary of JPMSI. Please see "Additional Information About Your Accounts" at the end of the Asset Account Statement. (2) Assets held in Margin Account at JPMCC, member Financial Regulatory Authority ("FINRA") and Securities Insurance Protection Corporation ("SIPC"). The Margin Account Statement reflects brokerage transactions executed by JPMSI, see "Portfolio Activity Detail". Such transactions are cleared and carried through JPMCC. Page 1 of 21 Change In Value (3,256,983.60) 0.00 ($3,256,983.60) Start on Page EFTA01555764 2 16 Client News The following notice is required by the Unlawful Internet Gambling Enforcement Act of 2006 and applies to all commercial clients. JPMorgan Chase Bank, N.A. strictly prohibits the use of accounts to conduct transactions, including but not limited to the receipt of funds through electronic funds transfer, by check, draft, or any similar instrument, that are related, directly or indirectly, to unlawful internet gambling. EFTA01555765 THIS PAGE INTENTIONALLY LEFT BLANK EFTA01555766 JPMorgan Chase Bank, N.A. 270 Park Avenue, New York, NY 10017-2014 FINANCIAL TRUST COMPANY INC ACCT. For the Period 1/1/10 to 1/31/10 Asset Account J.P. Morgan Private Bank Team Mary Casey Janet Young William Doherty III Online access Banker Client Service Team Client Service Team www.MorganOnline.com (212) 464-0374 (800) 634-1318 Table of Contents Account Summary Holdings Cash and Short Term Portfolio Activity 4 7 Page 2 Account Page 1 of 14 Page 2 of 21 EFTA01555767 FINANCIAL TRUST COMPANY INC ACCT. For the Period 1/1/10 to 1/31/10 Account Summary Asset Allocation Cash & Short Term Market Value Accruals Market Value with Accruals Beginning Ending Market Value 130,752,174.28 $130,752,174.28 16,568.46 $130,768,742.74 Market Value 127,498,742.73 $127,498,742.73 13,016.41 $127,511,759.14 Current Portfolio Activity Beginning Market Value Withdrawals & Fees Net Contributions/Withdrawals Income & Distributions Change In Investment Value Ending Market Value Accruals Market Value with Accruals Period Value 130,752,174.28 (3,270,000.00) ($3,270,000.00) 16,568.46 (0.01) $127,498,742.73 13,016.41 $127,511,759.14 Change In Value (3,253,431.55) ($3,253,431.55) (3,552.05) ($3,256,983.60) Year-to-Date Value 130,752,174.28 (3,270,000.00) ($3,270,000.00) 16,568.46 EFTA01555768 (0.01) $127,498,742.73 13,016.41 $127,511,759.14 Estimated 127,498.74 Current Annual Income Allocation 100% 100% Account Page 2 of 14 Page 3 of 21 EFTA01555769 FINANCIAL TRUST COMPANY INC ACCT. For the Period 1/1/10 to 1/31/10 Account Summary Tax Summary Domestic Dividends/Distributions Interest Income Taxable Income CONTINUED Current Period Value 16,550.93 17.53 $16,568.46 Year-to-Date Value 16,550.93 17.53 $16,568.46 Unrealized Gain/Loss To-Date Value ($0.05) Account Page 3 of 14 Page 4 of 21 EFTA01555770 FINANCIAL TRUST COMPANY INC ACCT. For the Period 1/1/10 to 1/31/10 Cash & Short Term Summary Beginning Asset Categories Cash Short Term Total Value Market Value 1,022,517.23 129,729,657.05 $130,752,174.28 Ending Market Value 0.22 127,498,742.51 $127,498,742.73 Change In Value (1,022,517.01) (2,230,914.54) ($3,253,431.55 ) Current Allocation 1% 99% 100% Cash Asset Categories Short Term Current Market Value/Cost Market Value Tax Cost Unrealized Gain/Loss Estimated Annual Income Accrued Interest Yield Period Value 127,498,742.73 127,498,742.78 (0.05) 127,498.74 13,016.41 0.10% Account Page 4 of 14 Page 5 of 21 EFTA01555771 FINANCIAL TRUST COMPANY INC ACCT. For the Period 1/1/10 to 1/31/10 Cash & Short Term Summary SUMMARY BY MATURITY Short Term Less than 3 months SUMMARY BY TYPE Short Term Mutual Funds Market Value 127,498,742.51 % of Bond Portfolio 100% CONTINUED 127,498,742.51 Market Value Account Page 5 of 14 Page 6 of 21 EFTA01555772 FINANCIAL TRUST COMPANY INC ACCT. For the Period 1/1/10 to 1/31/10 Note: 1 This is the Annual Percentage Yield (APY) which is the rate earned if balances remain on deposit for a full year with compounding, there is no change in the interest rate and all interest is left in the account. Cash & Short Term Detail Quantity Cash POUND STERLING US DOLLAR Total Cash Short Term JPMORGAN PRIME MONEY MARKET FUND CAPITAL SHARE CLASS FUND 3605 7-Day Annualized Yield: .11% 4812A0-36-7 127,498,742.51 1.00 127,498,742.51 127,498,742.51 127,498.74 13,008.40 0.10% 0.14 1.60 1.00 0.22 0.27 (0.05) N/A 8.01 $0.22 $0.27 ($0.05) $0.00 $8.01 0.00% 0.05% Price Market Value Tax Cost Adjusted Original Estimated Unrealized Gain/Loss EFTA01555773 Annual Income Accrued Interest Yield Account Page 6 of 14 Page 7 of 21 EFTA01555774 FINANCIAL TRUST COMPANY INC ACCT. For the Period 1/1/10 to 1/31/10 Portfolio Activity Summary Beginning Cash Balance Transactions Income INFLOWS Total Inflows OUTFLOWS Total Outflows Withdrawals TRADE ACTIVITY Settled Sales/Maturities/Redemptions Settled Securities Purchased Total Trade Activity Ending Cash Balance * Year to date information is calculated on a calendar year basis. 2,270,000.00 (39,085.46) $2,230,914.54 $0.00 2,270,000.00 (39,085.46) $2,230,914.54 -Current Period Value 1,022,517.00 16,568.46 $16,568.46 (3,270,000.00) ($3,270,000.00) Year-To-Date Value* -16,568.46 $16,568.46 (3,270,000.00) ($3,270,000.00) Account Page 7 of 14 Page 8 of 21 EFTA01555775 FINANCIAL TRUST COMPANY INC ACCT. For the Period 1/1/10 to 1/31/10 Portfolio Activity Detail INFLOWS & OUTFLOWS Settlement Date 1/4 Type Domestic Dividend/Distribution Description JPMORGAN PRIME MONEY MARKET FUND CAPITAL SHARE CLASS FUND 3605 FOR DEC @ VARIOUS RATES FROM 0.0003581% TO 0.0004405% 1/4 Interest Income DEPOSIT SWEEP INTEREST FOR DEC. @ .07% RATE ON NET AVG COLLECTED BALANCE OF $294,844.22 AS OF 01/01/10 1/6 Misc. Disbursement FUNDS TRANSFERRED FROM ASSET AC# TO DDA AC# AS REQUESTED 1/13 Misc. Disbursement FUNDS TRANSFERRED FROM ASSET AC# TO DDA AC# AS REQUESTED 1/21 Misc. Disbursement TRANSFERRED BY WIRE TO CITIBANK NA FAO KIRKLAND & ELLIS LLP AS REQUESTED 1/27 Misc. Disbursement TRANSFERRED BY WIRE TO FIRSTBANK PUERTO RICO FAO FINANCIAL TRUST COMPANY INC AS REQUESTED (70,000.00) (200,000.00) (1,000,000.00) (1,000,000.00) 17.53 Quantity EFTA01555776 129,729,657.050 Per Unit Amount Amount 16,550.93 Account Page 8 of 14 Page 9 of 21 EFTA01555777 FINANCIAL TRUST COMPANY INC ACCT. • For the Period 1/1/10 to 1/31/10 INFLOWS & OUTFLOWS Settlement Date 1/28 Type Misc. Disbursement Description FUNDS TRANSFERRED FROM ASSET AC# TO DDA AC# AS REQUESTED Total Inflows & Outflows TRADE ACTIVITY Settlement Trade Date 1/13 Date 1/13 Type Settled Sales/Maturities/Redemptions Sale Description JPMORGAN PRIME MONEY MARKET FUND CAPITAL SHARE CLASS FUND 3605 @ 1.00 TRADE DATE 01/13/10 1/21 1/21 Sale JPMORGAN PRIME MONEY MARKET FUND CAPITAL SHARE CLASS FUND 3605 @ 1.00 TRADE DATE 01/21/10 1/27 1/27 Sale JPMORGAN PRIME MONEY MARKET FUND CAPITAL SHARE CLASS FUND 3605 @ 1.00 TRADE DATE 01/27/10 (70,000.000) 1.00 70,000.00 (70,000.00) (200,000.000) EFTA01555778 1.00 200,000.00 (200,000.00) Quantity (1,000,000.000 ) ($3,253,431.54) Quantity Per Unit Amount Amount (1,000,000.00) Per Unit Amount 1.00 Proceeds Tax Cost 1,000,000.00 (1,000,000.00) Realized Gain/Loss Account Page 9 of 14 Page 10 of 21 EFTA01555779 FINANCIAL TRUST COMPANY INC ACCT. For the Period 1/1/10 to 1/31/10 Trade Date 1/28 Settlement Date 1/28 Type Settled Sales/Maturities/Redemptions Sale Description JPMORGAN PRIME MONEY MARKET FUND CAPITAL SHARE CLASS FUND 3605 @ 1.00 TRADE DATE 01/28/10 Total Settled Sales/Maturities/Redemptions Trade Date Settlement Date 1/4 Type Settled Securities Purchased 1/4 Purchase Description JPMORGAN PRIME MONEY MARKET FUND CAPITAL SHARE CLASS FUND 3605 REINVESTED @ 1.00 PER SHARE 1/29 1/29 Purchase JPMORGAN PRIME MONEY MARKET FUND CAPITAL SHARE CLASS FUND 3605 @ 1.00 TRADE DATE 01/29/10 Total Settled Securities Purchased ($39,085.46) 22,534.530 1.00 (22,534.53) Quantity 16,550.930 Per Unit Amount 1.00 $2,270,000.00 EFTA01555780 ($2,270,000.00) $0.00 Quantity (1,000,000.000 ) Per Unit Amount 1.00 Proceeds 1,000,000.00 Tax Cost (1,000,000.00) Realized Gain/Loss Market Cost (16,550.93) Account Page 10 of 14 Page 11 of 21 EFTA01555781 FINANCIAL TRUST COMPANY INC ACCT. For the Period 1/1/10 to 1/31/10 In Case of Errors or Questions About Your Electronic Transfers. Contact your J.P. Morgan Team at one of the telephone numbers on the front of this statement or write us at 500 Stanton Christiana Road, 1/OPS, Newark, DE 19713-2107 as soon as you can, if you think your statement is wrong or if you need more information about a transfer on the statement. We must hear from you no later than 60 days after we sent you the FIRST statement on which the error or problem appeared. (1) Tell us your name and account number. (2) Describe the error or the transfer you are unsure about, and explain as clearly as you can why you believe it is in error or why you need more information. (3) tell us the dollar amount of the suspected error. If you contact us orally, you must send us your complaint or question in writing within 10 business days in order to preserve your rights. We will investigate your complaint and will correct any error promptly. If we take more than 10 business days to do this (20 days for purchases using your debit card or for international transactions), we will credit your account for the amount you think is in error, so that you will have the use of money during the time it takes us to complete our investigation. In case of errors or questions about your statement, including your line of credit. If you think that your statement is incorrect or if you need more information about a transaction on your statement including a line of credit transaction, you must write to us on a separate sheet describing the error and send it to: J.P. Morgan's Private Bank, 500 Stanton Christiana Road, 1/OPS3, Newark, DE 19713-2107. We must hear from you no later than 60 days after the statement on which the error or problem appeared is sent. You can contact your client service specialist but doing so will not preserve your rights. Please review your account statement and promptly report any inaccuracy or discrepancy including possible unauthorized trading activity, unrecorded dividend payments, and unaccounted cash positions in writing to both the introducing broker, JPMSI and the clearing firm, JPMCC at the addresses shown on your statement. Any oral communication should be re-confirmed in writing to further protect your rights, including your rights under the Securities Investor Protection Act (SIPA). If you have any questions please contact your JPMSI Account Representative or JPMSI Compliance Department at (212) 483-2323. In your letter, please provide the following information: (1) your name and account number; (2) the dollar amount of the suspected error; and (3) a description of the error and explanation, if you can, why you believe there is an error. If you need more information, you must describe the item you are unsure about. Account Page 11 of 14 Page 12 of 21 EFTA01555782 FINANCIAL TRUST COMPANY INC ACCT. For the Period 1/1/10 to 1/31/10 Important Information about Pricing and Valuations Certain assets including but not limited to, pooled private investments, non - publicly traded and infrequently traded securities, derivatives, partnership interests and tangible assets are generally illiquid, the value of which may have been provided to us by third parties who may not be independent of the issuer or manager. Such information is reflected as of the last date provided to us, and is not independently verified. Prices, some of which are provided by pricing services or other sources which we deem reliable, are not guaranteed for accuracy or as realizable values. Market value information (including without limitation, prices, exchange rates, accrued income and bond ratings) furnished herein has been obtained from sources that J.P. Morgan believes to be reliable and is furnished for the exclusive use of the client. J.P. Morgan makes no representation, warranty or guarantee, express or implied, that any quoted value represents the actual terms at which transactions or securities could be bought or sold or new transactions could be entered into, or the actual terms on which existing transactions or securities could be liquidated. The current price is the value of the financial asset share, unit or contract as priced at the close of the market on the last day of the statement period or the last available price. All values provided for structured yield deposits (for example, JPMorgan London Time Deposits) reflect the original deposit amount only. The current value for Real Estate, Mineral Interests and Miscellaneous Assets may not reflect the most current value of the asset. Valuations of over-the-counter derivative transactions, including certain derivatives-related deposit products, have been prepared on a mid-market basis. These valuations are indicative values as of the close of business of the date of this statement and, except as otherwise agreed in writing, these valuations do not represent the actual terms at which transactions or securities could be bought or sold or new transactions could be entered into, or the actual terms on which existing transactions or securities could be liquidated as of the date of this statement. We do not warrant their completeness or accuracy. These valuations are derived from proprietary models based upon well-recognized financial principles and we have, when necessary to calculate the present value of future cash flows, made reasonable estimates about relevant future market conditions. Valuations based on other models or different assumptions may yield different results. J.P. Morgan expressly disclaims any responsibility for (1) the accuracy of the models or estimates used in deriving the valuations, (2) any errors or omissions in computing or disseminating the valuations, and (3) any uses to which the valuations are put. Valuations are provided for information purposes only and are intended solely for your own use. Please refer to the trade confirmation for details of each transaction. Please review your statement promptly and report any discrepancies EFTA01555783 immediately to an account officer whose name appears on the contact page of this statement. The JPMorgan Funds or The JPMorgan Institutional Funds or The American Century Funds Shares of the funds are not bank deposits and are not guaranteed by any bank, government entity, or the FDIC. Return and share price will fluctuate and redemption value may be more or less than original cost. While the money market funds seek to maintain a stable net asset value of $1.00 per share, there is no assurance that they will continue to do so. The estimated annual income and dividend yield figures for mutual funds represent the funds' most recent income dividend annualized. The distributor of the JPMorgan Funds is JPMorgan Distribution Services, Inc., which is an affiliate of the Bank. The Bank and its affiliates receive compensation from JPMorgan Funds for providing services. American Century Investment Services, Inc. is the distributor of the American Century Funds. American Century Investment Management Inc. serves as investment advisor to its respective fund family and receives compensation from that fund family for providing investment advisory and other services. Account Page 12 of 14 Page 13 of 21 EFTA01555784 FINANCIAL TRUST COMPANY INC ACCT. For the Period 1/1/10 to 1/31/10 Important Information Regarding Auction Rate Securities (ARS). ARS are debt or preferred securities with an interest or dividend rate reset periodically in an auction. Although there may be daily, weekly and monthly resets, there is no guarantee that there will be liquidity. If there are not enough bids at an auction to redeem the securities available for sale, the result may be a failed auction. In a failed auction, there is no assurance that a secondary market will develop or that the security will trade at par or any other price reflected on statements. Accordingly, investors should not rely on pricing information appearing in their statements with respect to ARS. You should have received separate confirmations for each securities transaction. All transactions are subject to the terms and conditions stated on the reverse side of such confirmations and are subject to the constitution, by-laws, customs and interpretations of the marketplace where executed and governed by and construed in accordance with the laws of the State of New York and all applicable federal laws and regulations. Further information with respect to commissions and other charges related to the execution of transactions, including options transactions, has been included in confirmations that were previously furnished to you. Upon written request, JPMSI will promptly supply you with the latest such information. Shareholders of certain 3PMorgan Funds are charged a redemption fee equal to 2% of the proceeds if they exchange or redeem shares of such funds within 60 days of purchase, subject to certain exceptions set forth in the prospectus of the applicable Fund. Please consult your J.P. Morgan representative for a list of the JPMorgan Funds that impose redemption fees. JPMSI, JPMCB or their affiliates (the "J.P. Morgan Companies") may provide administrative, custodial, sales, distribution or shareholder services to 3PMorgan Funds, American Century Funds, or funds established, sponsored, advised, or managed by third parties, and the J.P. Morgan Companies may be compensated for such services. A financial statement of this organization is available to you for personal inspection at its offices, or a copy will be mailed to you upon written request Bank products and services are offered through JPMCB and its affiliates. Securities are offered by JPMSI and, to the extent noted above, cleared through JPMCC. If a partial call is made with respect to an issue of securities included in your Account we will allocate the call by a method we deem fair and equitable. You must promptly advise JPMSI of material changes in your investment objectives or financial situation. Unless you inform JPMSI otherwise, JPMSI will consider the information currently in its files to be complete and accurate. JPMSI is not a bank and is a separate legal entity from its bank or thrift affiliates, including JPMCB. The securities sold, offered, or recommended by JPMSI: (1) Are not insured by the Federal Deposit Insurance Corporation, or any EFTA01555785 other governmental agency; (2) Are not deposits or other obligations of JPMSI's bank or thrift affiliates (unless otherwise indicated), and are not guaranteed by or the responsibility of any such affiliates (unless explicitly stated otherwise); and (3) Involve investment risks, including possible loss of the principal invested. JPMSI's banking affiliates may be lenders to issuers of securities that JPMSI underwrites, in which case proceeds of offerings underwritten by JPMSI may be used for the repayment of such loans, and you should refer to the disclosure documents relating to particular securities for discussion of any such lending relationships. The Federal Reserve requires that JPMSI obtain your consent before it can obtain certain information from its bank or thrift affiliates, including their credit evaluation of you. We will assume that your continuing to transact business with JPMSI will constitute your consent to the sharing of such information by JPMSI and its bank or thrift affiliates, to the extent permitted by law. This statement is not an official document for income tax reporting purposes. Account Page 13 of 14 Page 14 of 21 EFTA01555786 FINANCIAL TRUST COMPANY INC ACCT. For the Period 1/1/10 to 1/31/10 Deposits in Foreign Branches are not insured by the FDIC or any other Agency of the Federal Government; Amounts in such foreign accounts do not have the benefit of any Domestic preference applicable to U.S Banks; certain Foreign accounts are considered reportable to the Internal Revenue Service on a Report of Foreign Bank and Financial Account (TD F 90-22.1). Account Page 14 of 14 Page 15 of 21 EFTA01555787 J.P. Morgan Securities Inc. 270 Park Avenue, New York, NY 10017 FINANCIAL TRUST COMPANY INC ACCT. For the Period 1/1/10 to 1/31/10 Margin Account J.P. Morgan Private Bank Team Mary Casey Janet Young William Doherty III Online access Banker Client Service Team Client Service Team www.MorganOnline.com Transactions cleared and carried through J.P. Morgan Clearing Corp. One Metrotech Center North, Brooklyn, NY 11201-3859, (347) 643-2578 (212) 464-0374 (800) 634-1318 Table of Contents Account Summary Portfolio Activity Page 2 3 Client News As a result of the new clearing arrangement with J.P. Morgan Clearing Corp. ("JPMCC") that was previously communicated, you may receive two 1099's for activity in your margin account for tax year 2009. Should you receive two 1099's they will be mailed in separate envelo es. Account Page 1 of 6 Page 16 of 21 EFTA01555788 FINANCIAL TRUST COMPANY INC ACCT. For the Period 1/1/10 to 1/31/10 Account Summary MARGIN Cash Asset Allocation Cash & Short Term Market Value 0.00 Long Market Value 0.00 Short Market Value 0.00 Market Value Annual Income Allocation 0.00 Total Estimated Current Account Page 2 of 6 Page 17 of 21 EFTA01555789 FINANCIAL TRUST COMPANY INC ACCT. For the Period 1/1/10 to 1/31/10 Portfolio Activity Summary Current Transactions Portfolio Activity Detail Beginning Cash Balance Ending Cash Balance Period Value 0.00 $0.00 Year-To-Date Value --No Activity This Period Account Page 3 of 6 Page 18 of 21 EFTA01555790 FINANCIAL TRUST COMPANY INC ACCT. For the Period 1/1/10 to 1/31/10 All positions in this Margin Account Portfolio are held in custody at J.P. Morgan Clearing Corp. ("JPMCC"), One Metrotech Center North, Brooklyn, NY 11201-3859, (347) 643-2578. IMPORTANT INFORMATION ABOUT YOUR STATEMENT Contact your client service specialist if you think your statement is incorrect or you require additional information about a transaction on your statement. Important Information Regarding Auction Rate Securities (ARS). ARS are debt or preferred securities with an interest or dividend rate reset periodically in an auction. Although there may be daily, weekly and monthly resets, there is no guarantee that there will be liquidity. If there are not enough bids at an auction to redeem the securities available for sale, the result may be a failed auction. In a failed auction, there is no assurance that a secondary market will develop or that the security will trade at par or any other price reflected on statements. Accordingly, investors should not rely on pricing information appearing in their statements with respect to ARS. JPMSI and JPMCC are members of the Securities Investor Protection Corporation ("SIPC"). Securities and cash held for a customer at JPMCC are protected by SIPC up to $500,000 per customer, which includes up to $100,000 of protection for cash SIPC does not protect against losses from fluctuations in the value of the securities. Assets held in custody by JPMorgan Chase Bank, N.A. ("JPMCB") are not subject to SIPC. For more information about SIPC Coverage, including the SIPC Brochure, visit www.sipc.org or by calling SIPC at (202) 371-8300. To the extent applicable, please read the following disclosures regarding estimated annual income (EAI) and estimated yield (EY): EAI and EY for certain types of securities could include a return of principal or capital gains in which case the EAI and EY would be overstated. EAI and EY are estimates and the actual income and yield might be lower or higher than the estimated amounts. EY reflects only the income generated by an investment. It does not reflect changes in its price, which may fluctuate. JPMSI, JPMCB or their affiliates (the "J.P. Morgan Companies") may provide administrative, custodial, sales, distribution or shareholder services to JPMorgan Funds, American Century Funds, or funds established, sponsored, advised, or managed by third parties, and the J.P. Morgan Companies may be compensated for such services. A financial statement of this organization is available to you for personal inspection at its offices, or a copy will be mailed to you upon written request. Account Page 4 of 6 Page 19 of 21 EFTA01555791 FINANCIAL TRUST COMPANY INC ACCT. For the Period 1/1/10 to 1/31/10 IMPORTANT INFORMATION ABOUT YOUR MARGIN ACCOUNT Please keep the following in mind when using this statement to track your brokerage activity: This statement combines your general margin account with the special memorandum account required by Section 220.6 Regulation T. As required by Regulation T, a permanent record of your separate account is available upon your request. Important Information about Pricing and Valuations. Certain assets including but not limited to, pooled private investments, non - publicly traded and infrequently traded securities, derivatives, partnership interests and tangible assets are generally illiquid, the value of which may have been provided to us by third parties who may not be independent of the issuer or manager. Such information is reflected as of the last date provided to us, and is not independently verified. Prices, some of which are provided by pricing services or other sources which we deem reliable, are not guaranteed for accuracy or as realizable values. Free credit balances in your account are not segregated and may be used in the operation of JPMCCs business, subject to the limitations of SEC Rule 15c3-3. Unless otherwise noted, JPMCC or its agents and depositories will hold your securities. Upon your demand, JPMCC will pay to you the amount of your free credit balance, and will deliver to you fully-paid securities held on your behalf. Interest will be charged on any debit balance; the method of calculating interest is described in a letter sent to all margin customers. You should have received separate confirmations for each securities transaction. All transactions are subject to the terms and conditions stated on the reverse side of such confirmations and are subject to the constitution, by-laws, customs and interpretations of the marketplace where executed and governed by and construed in accordance with the laws of the State of New York and all applicable federal laws and regulations. Further information with respect to commissions and other charges related to the execution of transactions, including options transactions, has been included in confirmations that were previously furnished to you. Upon written request, JPMSI will promptly supply you with the latest such information. Bank products and services are offered through JPMCB and its affiliates. Securities are offered by JPMSI and, to the extent noted above, cleared through JPMCC. If a partial call is made with respect to an issue if securities included in your Account we will allocate the call by a method to which we deem equitable. You must promptly advise JPMSI of material changes in your investment objectives or financial situation. Unless you inform JPMSI otherwise, JPMSI will consider the information currently in its files to be complete and accurate. Account Page 5 of 6 Page 20 of 21 EFTA01555792 EFTA01555793 FINANCIAL TRUST COMPANY INC ACCT. For the Period 1/1/10 to 1/31/10 JPMSI is not a bank and is a separate legal entity from its bank or thrift affiliates, including JPMCB. The securities sold, offered or recommended by JPMSI: (1) Are not insured by the Federal Deposit Insurance Corporation, or any other governmental agency; (2) Are not deposits or other obligations of JPMSI's bank or thrift affiliates (unless otherwise indicated), and are not guaranteed by or the responsibility of any such affiliates(unless explicitly stated otherwise); and (3) Involve investment risks, including possible loss of the principal invested. JPMSI's banking affiliates may be lenders to issuers of securities that JPMSI underwrites, in which case proceeds of offerings underwritten by JPMSI may be used for the repayment of such loans, and you should refer to the disclosure documents relating to particular securities for discussion of any such lending relationships. The Federal Reserve requires that JPMSI obtain your consent before it can obtain certain information from its bank or thrift affiliates, including their credit evaluation of you. We will assume that your continuing to transact business with JPMSI will constitute your consent to the sharing of such information by JPMSI and its bank or thrift affiliates, to the extent permitted by law. This statement is not an official document for income tax reporting purposes. Deposits in Foreign Branches are not insured by the FDIC or any other Agency of the Federal Government; Amounts in such foreign accounts do not have the benefit of any Domestic preference applicable to U.S Banks; certain Foreign accounts are considered reportable to the Internal Revenue Service on a Report of Foreign Bank and Financial Account (TD F 90-22.1). Account Page 6 of 6 Page 21 of 21 EFTA01555794