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<p class="MsoNormal" style="MARGIN: 0in 0in 0pt; FONT-FAMILY: verdana,arial,helvetica,sans-serif; TEXT-ALIGN: center" align="center"><strong><span style="text-decoration: underline;"><span style="FONT-SIZE: 11pt; COLOR: blue">Pension Protection Act 2006 Highlights</span></span></strong></p>
<p class="MsoNormal" style="MARGIN: 0in 0in 0pt; FONT-FAMILY: verdana,arial,helvetica,sans-serif"><span style="font-size: x-small;">&nbsp;</span></p>
<p class="MsoNormal" style="MARGIN: 0in 0in 0pt; FONT-FAMILY: verdana,arial,helvetica,sans-serif"><span style="FONT-SIZE: 8pt">4<span style="FONT-FAMILY: verdana,arial,helvetica,sans-serif">01k Plan sponso</span>rs must effective December 31, 2006:</span></p>
<p class="MsoNormal" style="MARGIN: 0in 0in 0pt; FONT-FAMILY: verdana,arial,helvetica,sans-serif"><span style="FONT-SIZE: 8pt">&nbsp;</span></p>
<p class="MsoNormal" style="MARGIN: 0in 0in 0pt 0.5in; TEXT-INDENT: -0.25in; FONT-FAMILY: verdana,arial,helvetica,sans-serif"><span><span>1.<span style="FONT-WEIGHT: normal; FONT-SIZE: 7pt; LINE-HEIGHT: normal; FONT-STYLE: normal; FONT-VARIANT: normal; font-size-adjust: none; font-stretch: normal">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; </span></span>Broker of record / investment advisers <span style="text-decoration: underline;">to the plan</span> and the new fiduciary advisers, if any,&nbsp;who provide investment advice <span style="text-decoration: underline;">to participants</span> will have to acknowledge their fiduciary status in writing</span></p>
<p class="MsoNormal" style="MARGIN: 0in 0in 0pt; FONT-FAMILY: verdana,arial,helvetica,sans-serif"><span style="FONT-SIZE: 8pt">&nbsp;</span></p>
<p class="MsoNormal" style="MARGIN: 0in 0in 0pt 0.5in; TEXT-INDENT: -0.25in; FONT-FAMILY: verdana,arial,helvetica,sans-serif"><span><span>2.<span style="FONT-WEIGHT: normal; FONT-SIZE: 7pt; LINE-HEIGHT: normal; FONT-STYLE: normal; FONT-VARIANT: normal; font-size-adjust: none; font-stretch: normal">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; </span></span>All conflicts of interest held by the above and or affiliates must be disclosed in writing</span></p>
<p class="MsoNormal" style="MARGIN: 0in 0in 0pt; FONT-FAMILY: verdana,arial,helvetica,sans-serif"><span style="FONT-SIZE: 8pt">&nbsp;</span></p>
<p class="MsoNormal" style="MARGIN: 0in 0in 0pt 0.5in; TEXT-INDENT: -0.25in; FONT-FAMILY: verdana,arial,helvetica,sans-serif"><span><span>3.<span style="FONT-WEIGHT: normal; FONT-SIZE: 7pt; LINE-HEIGHT: normal; FONT-STYLE: normal; FONT-VARIANT: normal; font-size-adjust: none; font-stretch: normal">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; </span></span>All forms of compensation, revenue, economic benefit&nbsp;of the above and or affiliates must be disclosed in writing</span></p>
<p class="MsoNormal" style="MARGIN: 0in 0in 0pt; FONT-FAMILY: verdana,arial,helvetica,sans-serif"><span style="FONT-SIZE: 8pt">&nbsp;</span></p>
<p class="MsoNormal" style="MARGIN: 0in 0in 0pt 0.5in; TEXT-INDENT: -0.25in; FONT-FAMILY: verdana,arial,helvetica,sans-serif"><span><span>4.<span style="FONT-WEIGHT: normal; FONT-SIZE: 7pt; LINE-HEIGHT: normal; FONT-STYLE: normal; FONT-VARIANT: normal; font-size-adjust: none; font-stretch: normal">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;</span></span>Annual&nbsp;audit&nbsp;of investment adviser,&nbsp;fiduciary adviser&nbsp;and computer model, if any, is required </span></p>
<p class="MsoNormal" style="MARGIN: 0in 0in 0pt; FONT-FAMILY: verdana,arial,helvetica,sans-serif"><span style="font-size: x-small;">&nbsp;</span></p>
<p class="MsoNormal" style="MARGIN: 0in 0in 0pt; FONT-FAMILY: verdana,arial,helvetica,sans-serif"><strong><span style="text-decoration: underline;"><span style="FONT-SIZE: 8pt">Added Safe harbor protection is available</span></span></strong><span style="FONT-SIZE: 8pt"> for those plans already compliant with the 9 (8 old plus 1 new) requirements of 404-c <span style="text-decoration: underline;">and</span> who prudently select and monitor the new fiduciary adviser, whose advice is appropriate for the plan and whose fees are fair and reasonable in addition to required disclosures 1 &iuml;&iquest;&frac12; 4 noted above.<span>&nbsp; </span>The new <strong><span style="text-decoration: underline;">Eligible investment advice arrangement (EIAA)</span></strong>must include fee-neutral compensation of the fiduciary adviser and or use a certified computer model to provide such advice.&nbsp;&nbsp;C</span><span style="FONT-SIZE: 8pt">omputer model must be&nbsp;audited annually.</span></p>
<p class="MsoNormal" style="MARGIN: 0in 0in 0pt; FONT-FAMILY: verdana,arial,helvetica,sans-serif"><span style="FONT-SIZE: 8pt">&nbsp;</span></p>
<p class="MsoNormal" style="MARGIN: 0in 0in 0pt; FONT-FAMILY: verdana,arial,helvetica,sans-serif"><strong><span style="text-decoration: underline;"><span style="FONT-SIZE: 8pt">A new second available Safe Harbor may be elected</span></span></strong><span style="FONT-SIZE: 8pt">&nbsp;Plan sponsors may choose to offer a Qualified Default Investment Alternative (QDIA).&nbsp;&nbsp;Some important limitations and participant notice requirements are available for any of 5 buckets&nbsp;acceptable&nbsp;by the US Department of Labor (DOL).</span></p>
<p class="MsoNormal" style="MARGIN: 0in 0in 0pt; FONT-FAMILY: verdana,arial,helvetica,sans-serif"><strong></strong></p>
<p class="MsoNormal" style="MARGIN: 0in 0in 0pt; FONT-FAMILY: verdana,arial,helvetica,sans-serif"><strong></strong>&nbsp;</p>
<p class="MsoNormal" style="MARGIN: 0in 0in 0pt; FONT-FAMILY: verdana,arial,helvetica,sans-serif"><span style="FONT-SIZE: 8pt">ERISA plan fiduciaries and co-fiduciaries are responsible&nbsp;for the acts and omissions of each other with certain exceptions for the investment advice provider.<span> </span></span></p>
<p class="MsoNormal" style="MARGIN: 0in 0in 0pt; FONT-FAMILY: verdana,arial,helvetica,sans-serif"><span style="FONT-SIZE: 8pt"><br /></span></p>
<p class="MsoNormal" style="MARGIN: 0in 0in 0pt; FONT-FAMILY: verdana,arial,helvetica,sans-serif"><span style="FONT-SIZE: 8pt">An example cited by the Center for Fiduciary Studies <a href="http://www.fi360.com/">www.fi360.com</a> states that the &iuml;&iquest;&frac12;best participant advice in the world will still fall short if the plan itself is not being properly managed and administered.<span>&nbsp; </span>Therefore a fiduciary adviser should begin an engagement with a 401k plan sponsor by assessing whether the plan is meeting its terms and purposes to provide benefits.<span>&nbsp; </span>Over 20 steps define procedural prudence of a plan sponsor.<span>&nbsp; </span>Each of which has been fully substantiated by ERISA, relevant case law and or regulatory opinion letter.&iuml;&iquest;&frac12;</span></p>
<p class="MsoNormal" style="MARGIN: 0in 0in 0pt; FONT-FAMILY: verdana,arial,helvetica,sans-serif"><span style="FONT-SIZE: 8pt">&nbsp;</span></p>
<p class="MsoNormal" style="MARGIN: 0in 0in 0pt; FONT-FAMILY: verdana,arial,helvetica,sans-serif"><strong><span style="FONT-SIZE: 8pt">ERISA 401k and Defined Benefit and other&nbsp;pension plan sponsors wishing to be recognized for achieving the highest level of fiduciary excellence may be assisted by an Accredited Investment Fiduciary Analyst&iuml;&iquest;&frac12; to apply for certification as a &iuml;&iquest;&frac12;Prudent Investment Steward&iuml;&iquest;&frac12; which is based on ISO - 19011 auditing standards and is issued and registered with the Centre for Fiduciary Excellence (CEFEX) </span></strong><span style="FONT-SIZE: 8pt"><a href="http://www.cefex.org">www.cefex.org</a></span></p>
<p class="MsoNormal" style="MARGIN: 0in 0in 0pt; FONT-FAMILY: verdana,arial,helvetica,sans-serif">&nbsp;</p>
<p class="MsoNormal" style="MARGIN: 0in 0in 0pt; FONT-FAMILY: verdana,arial,helvetica,sans-serif">&nbsp;</p>
<p class="MsoNormal" style="MARGIN: 0in 0in 0pt; FONT-FAMILY: verdana,arial,helvetica,sans-serif">&nbsp;</p>
<p class="MsoNormal" style="MARGIN: 0in 0in 0pt; FONT-FAMILY: verdana,arial,helvetica,sans-serif"><span style="FONT-SIZE: 8pt">Contact <a href="mailto:info@fiduciaryexpert.com">info@fiduciaryexpert.com</a> or (310) 943 - 6509<a href="mailto:info@fiduciaryexpert.com"></a></span></p>
<p class="MsoNormal" style="MARGIN: 0in 0in 0pt; FONT-FAMILY: verdana,arial,helvetica,sans-serif">&nbsp;</p>
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<p class="MsoNormal" style="MARGIN: 0in 0in 0pt; FONT-FAMILY: verdana,arial,helvetica,sans-serif"><span style="FONT-SIZE: 7pt">Copyright Chris McConnell &amp; Associates 2007 to 2011 &nbsp;<span>&nbsp;</span>All rights reserved</span><span style="font-size: x-small;"><br /></span></p>
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<p class="MsoNormal" style="MARGIN: 0in 0in 0pt; FONT-FAMILY: verdana,arial,helvetica,sans-serif"><span style="font-size: x-small;">&nbsp;</span></p>
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</span><span style="FONT-FAMILY: verdana,arial,helvetica,sans-serif">&nbsp;</span>
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