1. DRS Guidelines Committee Update STA Annual Conference October 20 th, 2006 Katie Sevcik

2. DRS Enhancements Recent DRS Enhancements Pending DRS Enhancements How will agents/issuers get paid for these enhancements?

3. Addition of a second TIN/SSN field for matching Excess Medallion Coverage – DTCC’s new insurance program –Increases coverage from $3 million to $25 million per transaction –Allows brokers to pay per transaction Recent Enhancements

4. Move “all” book-entry shares, sell fractional shares, and close the registered account –High level scenarios/workflows complete –DTCC is currently documenting the detailed specifications –Industry would like programming to be completed in 2007 Pending DRS Initiatives

5. Restricted DRS shares –Identifying legends –Broker/bank regulations – good control location –October 2006 industry meeting Gifting DRS shares Corporate Action Processing Commingling of DRS and plan shares Registration concerns for 401k plan distributions Pending DRS Initiatives

6. How do TA’s pay (or get paid) for all these enhancements? To date – agents/issuer agents are incurring the costs –for development –for on-going costs –AND for each transaction

7. Future Enhancements? DTCC to charge participants for “move all, sell fracs, close account” development –2-year cost recovery to agents Debate on whether issuers should be paying for further enhancements –If yes, SEC will need to require issuers - new regulation

8. Thank You Questions and Answers