Expanded Benefits Statements Required under the Pension Protection Act of 2006

The Pension Protection Act of 2006 requires participant-directed 401(k) plans to provide additional information to participants beginning with the benefit statements for the quarter ending March 31, 2007. The participant-directed plan must furnish the March 31, 2007 statement no later than 45 days after the end of the quarter, or May 15, 2007. The consequence of not complying with this new requirement is that a participant may bring a legal action to obtain a one hundred dollar per day penalty from the Company. Multiply this one hundred dollar per day penalty by the number of participants in the Company's plan and noncompliance can get very expensive. Under this new law, benefit statements must include more information than in the past. Specifically, the quarterly benefit statements must include:

1. Any limits on restrictions on a participant's right to direct investments;

2. An explanation of the importance of having a well-balanced and diversified investment portfolio for long-term retirement security;

3. A warning that holding more than 20% of a portfolio in the securities of one entity may not provide adequate diversification and;

4. The Department of Labor's website on investing and diversification.