In the past several years businesses have experienced varying degrees of business disruption. The disruptions have lasted from a few minutes to more than one week. RhumbLine Advisers has and will continue to take steps to continue to operate its business in the event of a disruption impacting any or all of its offices. As a valued customer, you should be aware of the steps RhumbLine Advisers has taken to be able to continue operating in the event of some form of disruption. The elements of the RhumbLine Advisers Business Continuity Plan (“Plan”) address:

 (1)       Data back-up and recovery (hard copy and electronic);

 (2)       All mission critical systems;

 (3)       Financial and operational assessments;

 (4)       Alternate communications between RhumbLine Advisers and our customers;

 (5)       Alternate communications between RhumbLine Advisers and our employees;

 (6)       Alternate physical location of employees;

 (7)       Critical business constituent, bank, and counter-party impact;

 (8)       Regulatory reporting;

 (9)       Communications with regulators; and

 (10)     How RhumbLine Advisers assures customers' prompt access to their funds and securities
             in the event that RhumbLine Advisers determines that it is unable to continue its business.

The Plan anticipates the resumption of trading no later than the next business day following a wide-scale business disruption. RhumbLine Advisers intends to continue its business during a disruption. The Plan reflects the firm’s intention to respond to events of varying scope. We all know too well that there may be occasions when one location is not able to be operational quickly because of external causes. All efforts will be undertaken to be operational as quickly as possible. Using an alternative site has been built into the Plan in order that RhumbLine will have a physical location from which it may conduct its core business. Personnel would be re-located to permit the firm to continue its business. RhumbLine Advisers also is contracted with Agility Recovery Solutions which will provide addition physical location alternatives and business equipment to continue business functions.

Like most firms, RhumbLine Advisers relies on third-parties to provide a number of services. These services among others include: trading systems, accounting systems, telephone and e-mail. Those firms have provided information about their own business continuity plans and have also identified emergency contact personnel.

Key personnel have been equipped with various communications’ devices such as mobile telephones, blackberries and laptop computers to facilitate communication during a disruption. In addition, access to the firm’s systems is available to key personnel from an alternate site. “Phone Trees” have been established to permit the firm’s employees to be kept informed of the firm’s business capabilities in the event of a disruption.

While all steps have been taken to permit the firm to continue its business after a disruption, we must assure our valued customers that they will have prompt access to funds and securities if it is determined that RhumbLine Advisers is unable to continue its business. Because RhumbLine Advisers does not hold customer funds or securities, customers will be able to obtain their funds and/or securities by contacting their custodial bank.

Customers should be aware that the Plan will be subject to on-going review and may be modified as the need arises.