Significant Updates to the December 31, 2008 Investment Funds Description

Update to Page 71

In September 2009, the Benefit Board engaged the services of CB Richard Ellis (“CBRE”) to provide an independent third-party evaluation of the fair market value of loans originated through the General Board's Positive Social Purpose Lending Program (formerly known as the Positive Social Purpose Investment Program and hereafter referred to as “PSP”). CBRE will provide this service on an ongoing basis through its Valuation & Advisory Services division. The valuation methodology change is effective as of September 23, 2009. CBRE’s valuation methodology is similar to the prior valuation methodology in that it continues to use a discounted cash flow approach. The new methodology applies publicly available market information to the PSP loan portfolio to calculate the discount rates. CBRE also utilizes publicly available information regarding interest rate differentials for similar quality loans based on ratings by Moody's and Standard & Poor's. There are several other technical factors that CBRE evaluates when determining the fair market value of the PSP loans. Additionally, the Benefit Board’s custodial bank will price PSP loans for which public prices are available. The new pricing methodology for the Positive Social Purpose Lending Program continues to be administered daily by the Benefit Board’s custodial bank.