1

PENSION RISK TRANSFER INDEX ™

September 1, 2012 PRT Index Level

81.33 120

Plan/Monitor Opportunistic Settlement Attractive

Aug 2010: Index Low =79.8

Jan 2009: Index High =121.4

80 95 105

Annuitization Attractiveness

What is the Dietrich Pension Risk Transfer (PRT) Index ? The Dietrich Pension Risk Transfer Index has been designed to create a monthly benchmark that tracks the relative attractiveness of annuitizing accrued pension obligations by considering three key underlying financial ratios Funded Status Level (50% Index Weight) Current /Historical Annuity Rates (30% Index Weight) Annuity Rates vs. Treasury and Corporate Bonds (20% Index Weight)

Commentary: The monthly index level buoyed upward by a rise in pension funding levels, and a slight uptick in Annuity Rate spreads. The current annuity discount rate proxy of 2.51% reached a new historical low.

Dietrich & Associates does not certify the information nor does it guarantee the accuracy or completeness of such information. Use of such information is voluntary and should not be relied upon unless an independent review of its accuracy and completeness has been performed. Materials may not be reproduced without the express consent of Dietrich & Associates.

Effective 9/1/2012

110.6 121.4

91.5 90.0 86.7

70.0%

90.0%

110.0%

130.0%

Jan-08 Jan-09 Jan-10 Jan-11 Jan-12

Annual PRT Index PRT INDEX

78.00

83.00

88.00

93.00

98.00

103.00

108.00

Jan

-10

Mar

-10

May

-10

Jul-

10

Sep

-10

No

v-1

0

Jan

-11

Mar

-11

May

-11

Jul-

11

Sep

-11

No

v-1

1

Jan

-12

Mar

-12

May

-12

Jul-

12

Sep

-12

Monthly PRT Index PRT INDEX