Aronson+Johnson+Ortiz — Firm Summary

OVERVIEW

AJO is an independent, registered investment adviser founded in 1984.
The firm is a limited partnership, wholly owned by 11 active principals
and comprised of 26 investment professionals and 12 support personnel.
We can be reached at 215/546-7500 or [lastname]@ajopartners.com.

As of 8/31/08, we managed $22.2b in value-oriented, U.S. equity
mandates for 101 institutional clients in 146 accounts — $1.9b top,
$14.6b large, $0.8b mid, $1.6b small, $3.3b 130/30 & long/short.

We offer benchmark-relative and absolute-return strategies across
the market-cap spectrum of U.S. equities. Portfolios can be long-only,
130/30, or long/short. We can vary tracking error or total volatility.

PRINCIPALS

Theodore R. Aronson

MBA, BS, Wharton

Drexel Burnham/Addison

Kevin M. Johnson

PhD, UNC; BS, Delaware

Vanguard/DuPont

Martha E. Ortiz

MBA, Wharton; BA, Harvard

Continental Grain/Wilshire

Stefani Cranston

BS, Villanova

Deloitte & Touche

Joseph F. Dietrick

JD, Cornell; BS, Penn State

The Vanguard Group

Douglas D. Dixon

BS, Wharton

University of Pennsylvania

Paul Dodge

BA, William & Mary

Cambridge Associates

Stuart P. Kaye

MBA, Wharton; BBA, Michigan

Invesco; AT&T Investment Mgt

Gina Marie N. Moore

BA, BS, Delaware

Brandywine/Glenmede

Gregory J. Rogers

BS, Wharton; BS, Penn

First Boston

R. Brian Wenzinger

MBA, Delaware; BS, Northeastern

DuPont

PHILOSOPHY

We believe above-market returns can be achieved with a combination of classical security analysis, modern quantitative investment techniques, and keen attention to trading. We focus on asset-rich companies, selling at relatively low multiples of earnings, with proven and confident management, and earnings and price momentum.

PROCESS

We invest in a universe of seasoned, liquid, U.S.-listed stocks. We use our multi-factor valuation model to identify low-priced companies with effective management and positive momentum within 34 industry peer groups. Portfolios are sector-neutral and well-diversified in terms of industry, fundamental characteristics, and other statistical measures of risk. Individual security bets are controlled; number of positions ranges from 80 to 200.

TRADING

We seek to minimize implementation shortfall — the difference between valuation price and execution price, including commissions, dealer spreads, market impact, and opportunity costs. We capture trading results and use them to inform our investment decisions and guide our selection of trading methods and venues. Annual turnover ranges from 75% to 150%. Soft dollars are never used.

FEE SCHEDULE

AJO Top Cap AJO Top Cap – Absolute Value AJO Matched Cap AJO Matched Cap – Absolute Value* AJO Large Cap – Absolute Value LTE*	AJO Large Cap AJO Large Cap – Absolute Value* AJO Large Cap – Absolute Value 500	AJO Mid Cap* AJO Mid Cap – Absolute Value*
0.55% first $50mm	0.55% first $50mm	0.75% first $50mm
0.35% next 50mm	0.35% next $50mm	0.70% next $50mm
0.25% entire $100-$250mm	0.30% entire $100-$250mm	0.68% entire $100-$500mm
0.15% next $250mm	0.20% next $250mm	0.60% entire $500mm+
0.10% thereafter	0.15% thereafter

AJO Small Cap* AJO Small Cap – Absolute Value*	AJO Long/Short	AJO Long/Short Concentrated
0.90% across the board	1.00% across the board	1.30% across the board

Our 130/30 strategies are charged based on the above fee rates, multiplied by gross exposure (160%). Performance-based fees are available and encouraged. Minimum initial investment is $50 million. *Closed to new business.

CLIENTS

Absolute Investment Advisers ^P Aetna AFM † AFTRA Retirement Fund † AJO Market-Neutral Fund ^P Annenberg Foundation * Banco Popular Baptist Community Ministries * Baylor Health Care System * Bechtel Bettis/BPMI Bechtel Jacobs BWXT Y-12/UT-BATTELLE Campbell Soup Canada Post Cardinal Trust/NADART Caterpillar Central PA Teamsters † Charlotte Firefighters Christian Brothers Inv Svs ^P City of Austin ERS Cleveland Clinic * Commonfund * Connecticut Carpenters † D&B Detroit GRS District 9 IAM & AW † Duke Energy Fairfax County Edu ESRS Father Flanagan's Boys' Home * Florida Retirement System Fresno County ERA GuideStone Funds ^P Hanford Site Pension Plan HighMark Capital ^P Inova Health System * IWA Forest † Kaiser Permanente Laborers' DC of Western PA † Los Angeles City ERS Louisiana State ERS Louisiana State Police MacArthur Foundation * Manitoba HEPP MedStar Health Methodist Children's Home *		Missouri LAGERS Missouri PSRS/PEERS Monsanto Company Nashville & Davidson County Natl Railroad Retirement Natl Security Technologies NJT Amalgamated Transit Union † Nordson Nova Scotia Workers' Comp NY State Common Ret Fund NYC Retirement Systems Ohio SERS Oklahoma Firefighters Oklahoma PERS Oklahoma School Land Trust * Oklahoma Teachers' Ret Sys Operating Engineers Local 3 † Operating Engineers Local 101 † Oregon PERF Philadelphia PERS Plumbers & Pipefitters Natl † Prudential Retirement ^P Purolator Courier Quaker Small-Cap Value Fund ^P Reichhold RK Mellon Foundation * Rohm and Haas Russell Investment Group ^P San Bernardino County ERA Sandia National Labs Savings Banks ERA SEI Investments ^P Shell Oil Company Sisters of Mercy Health Sys * South Carolina Ret Sys Southern California Edison Spectra Energy Spelman College * St Louis County Ret Plans TIFF * Transamerica Asset Mgmt ^P United Space Alliance Univ of Arkansas Foundation * Virginia Retirement System West Virginia Inv Mgt Board
Clients are pension funds (public, ERISA, other) unless denoted as: * Endowment/Foundation † Multi-employer ^P Pooled N.B. — It is not known whether these clients approve or disapprove of AJO or the advisory services provided. All clients are listed, except twelve that wish to remain anonymous.