1. Taylor Captline Matthew Chadwell Hadd Francis

3.  41 companies  11.82% of S&P 500  Sector Industries include:  Agricultural Products  Brewers  Distiller and Vinters  Food Distributors  Household Products  Hypermarkets and Supermarkets  Packaged Foods and Meats  Personal Products  Retail – Drugs  Retail – Food  Soft Drinks  Tobacco

4. COMPANY NAME MRKT CAP 5/1/09 (millions)% of Sector WAL-MART STORES $ 196,324.018.7% PROCTER & GAMBLE 145,076.013.9% COCA-COLA 98,304.09.4% PEPSICO 77,488.07.4% PHILIP MORRIS INTL 74,507.07.1% CVS/CAREMARK 46,955.04.5% KRAFT FOODS 34,516.03.3% ALTRIA GROUP 33,824.03.2% WALGREEN 31,112.03.0% COLGATE-PALMOLIVE 30,781.02.9% Top 10 account for 73.4% of sector market cap.

5. As of 5/1/09 Number of CompaniesMKTCAP Level as of 5/1/09DailyMTDQTDYTD S&P 500500 $ 7,626,466877.520.54% 9.98%-2.85% Energy39 $ 977,849366.873.05% 8.01%-5.04% Materials28 $ 256,116154.360.31% 15.45%12.19% Industrials58 $ 800,743192.921.10% 19.02%-6.89% Consumer Discretionary81 $ 717,135182.29-0.66% 17.75%7.61% Consumer Staples41 $ 917,842226.430.46% 3.51%-8.20% Health Care54 $ 1,048,033280.15-0.13% -1.02%-9.46% Financials80 $ 908,860142.95-1.68% 20.12%-15.31% Information Technology75 $ 1,404,006271.560.58% 12.69%17.15% Telecommunications Services9 $ 285,789105.991.42% 3.68%-5.10% Utilities35 $ 310,094134.412.66% 3.09%-9.14%  Consumer Staples performing below S&P 500 daily, MTD, QTD and YTD Information gathered from S&P500 website

7. Consumer Staples is currently weighted at 13.06% in the SIM compared to 12.04% in the S&P 500. It is currently overweight by 102 bps.

9.  Life cycle Domestic International

10.  Business cycle  Bernanke testified today that recession should end later this year.

11. Competition High Supplier power Low Substitutes High Buyer power High Barriers to entry High

15. Forward P/E to S&P 500 Trailing P/E to S&P 500

16. Price Net Profit Margin to S&P 500 ROE to S&P 500

20.  AGPRD – mean reversion  Hit hard by recession  HYPMK – stable  TBACO – stable but not showing signs of large growth MeanCurrent AGPRD16.67.3 BRWRS17.912.3 DSTLR18.511.6 FOODD20.713.8 HSHLD20.412.2 HYPMK16.914.9 PKGFD18.613.1 CSMTG23.815.9 RTDRG22.813.5 FOODR139.8 BEVGS21.213.7 TBACO11.911.1

21. Price to Book Price to Sales

22. Mean Reversion Price to CF

23. Price to Sales Price to Book

24.  Current values extremely close to mean values Price to CF

25. Sector P/E P/E TOP/EP/E TOP/E LATEST5 YR 10 YR REL TO 4 QTRSAVG SPX CONSUMER DISCRETION30.320.41.521.81.42.4 CONSUMER STAPLES13.018.60.720.60.61.0 ENERGY6.811.70.616.50.40.5 FINANCIALSNM14.5NM15.4NM HEALTH CARE10.417.20.622.10.50.8 INDUSTRIALS9.217.60.520.60.40.7 INFORMATION TECH14.221.50.733.50.41.1 MATERIALS10.815.90.720.50.50.8 TELECOMMUNICATION10.715.60.719.10.60.8 UTILITIES10.716.00.714.70.70.8

27.  Reduce sector weight in SIM portfolio by 124 basis points to bring in line with S&P 500.  Economic indicators signal recovery  Sector appears fairly valued

28. What Questions Do You Have?