EFTA01557900.pdf

04 2004 Confidential FINANCIAL TRUST COMPANY INC Page 1 of 17 J.P. Morgan Portfolios April 1 - April 30, 2004 Table of Contents Page Account Summary Asset Account Portfolio Margin Account Portfolio 0 JPMCB JPMSI 2 3 15 000000.0000.00.0000.000.000000000.000000 FINANCIAL TRUST COMPANY INC ATTN: JEFFREY E EPSTEIN C/O AMERICAN YACHT HARBOR 6100 RED HOOK, QUARTERS 153 ST THOMAS 00802 US VIRGIN ISLDS EFTA01557900 04 2004 Portfolio Summary FINANCIAL TRUST COMPANY INC April 01, 2004 - April 30, 2004 Page 2 of 17 Portfolio Summary Net Worth Summary Asset Portfolio USD Assets(Long) Total Cash S Short Term Accrued Income Total Net Worth Private Investments Income Summary Dividends Total 118,200.33 118,200.33 118,200.33 153.12 118,353.45 26,006,755.48 Margin Portfolio USD 0.00 0.00 0.00 0.00 0.00 0.00 118,200.33 118,200.33 118,200.33 153.12 118,353.45 26,006,755.48 This Period 1,642.24 1,642.24 Year to Date 50,273.74 50,273.74 JPMorgan provides this Portfolio Summary for informational purposes. This summary includes informati on about assets held at JPMCB and JPMSI in accounts listed on the front page. Securities are not bank deposits or FDIC insured, are not obligations of or guaranteed by JPMCB or a ny of its bank of thrift affiliates (unless otherwise indicated), and are subject to investment risks, including possible loss of the pr incipal amount invested. Assets held in custody by JPMCB are not protected under the Securities Investor Protection Corporati on ("SIPC") insurance. Total USD EFTA01557901 04 JPMorgan Chase Bank 2004 Account Number: I FINANCIAL TRUST COMPANY, INC. 345 Park Avenue, New York, NY 10154-1002 Asset Account Portfolio April 01, 2004 - April 30, 2004 Page 3 of 17 Asset Account Portfolio April 1 - April 30, 2004 Table of Contents Portfolio Summary Cash and Short Term Private Investments Trade Activity Account Transactions Account Officers D'ORAZIO/HORNAK Page 4 5 6 7 8 EFTA01557902 04 JPMorgan Chase Bank 2004 Account Number: I FINANCIAL TRUST COMPANY, INC. 345 Park Avenue, New York, NY 10154-1002 Asset Account Portfolio April 01, 2004 - April 30, 2004 Page 4 of 17 Overview Portfolio Summary Except for the Deposit Account (if elected), and the cash in your Asset Account, which are insured deposits with JPMCB, none of the investments referred to in this statement of your Asset Account, including mutual funds, are FDIC insured or bank deposits, obligations of or guaranteed by JPMCB or any of its bank or thrift affiliates (unless otherwise indicated). Such securities and other investments are subject to investment risks, including possible loss of the principal amount invested. See "Important Information about your JPMSI Brokerage Account" at the end of this Asset Account Portfolio. Asset Allocation 1% Cash and Short Term 99% Private Investments* Market Value USD Apr 30 Cash S Short Term Total Accrued Income Total Portfolio Value Private Investments * 118,200.33 118,200.33 153.12 118,353.45 26,006,755.48 Market Value USD Mar 31 1,831,795.70 1,831,795.70 1,642.24 1,833,437.94 26,069,249.00 Tax Cost USD 118,200.33 118,200.33 Estimated Annual Income USD 1,099.26 1,099.26 Yield 0.9 0.9 Income Summary Dividends Total This Period USD 1,642.24 1,642.24 Year to Date USD* 50,273.74 50,273.74 *Value is an estimated figure given the illiquid nature of Private Investments (see Private Investment information at end of section summary). EFTA01557903 04 JPMorgan Chase Bank 2004 Account Number: I FINANCIAL TRUST COMPANY, INC. 345 Park Avenue, New York, NY 10154-1002 Asset Account Portfolio April 01, 2004 - April 30, 2004 Page 5 of 17 Cash and Short Term Summary by Maturity Current Market Value USD Cash Total 118,200.33 118,200.33 Estimated Annual Income USD 1,099.26 1,099.26 Current yield is displayed for instruments with no maturity and YTM on market is displayed for instr uments that mature. Cash and Short Term by Type Description Cusip/S&P/Moody's Rating Cash JP MORGAN INSTITUTIONAL PRIME MONEY INSTITUTIONAL CLASS SWEEP FUND (829) (SWEEP DEADLINE IS 4:30 PM EST) 7-Day Annualized Yield: .93% USD 118,200.33 1.00 1.00 118,200.33 118,200.33 153.12 1,099.26 0.93 Currency/ Unit Cost Adjusted Account Type Quantity Original Market Price Tax Cost Adjusted Original Market Value USD Accrued Interest USD Unrealized Gain/Loss USD Estimated Current Annual Yield/ Income USD YTM Current EFTA01557904 04 JPMorgan Chase Bank 2004 Account Number: I FINANCIAL TRUST COMPANY, INC. 345 Park Avenue, New York, NY 10154-1002 Asset Account Portfolio April 01, 2004 - April 30, 2004 Page 6 of 17 Private Investments * Private Investments Summary Estimated Direct Investments LPs, LLCs, and Other Total Current Value USD 24,677,500.00 1,329,255.48 26,006,755.48 Private Investment Holdings by Type Description Direct Investments CALIBER ONE LP 01-04 129990-92-5 N/0 Client USD 25,000,000.000 1.00 0.9871 3 /31/04 Units/ Commitment USD Description LPs,LLCs, and Other NESTOR 2000 SPECIAL LLC COMMITMENT EXPRESSED IN EUROS) r ant Information About Private Investments at the end of this statement Important Information about Pricing and Valuations Prices, some of which are provided by pricing services or other sources which we deem reliable, are not guaranteed for accuracy or as realizable values. USD 2,073,336.59 1,436,362.76 0.00 1,329,255.48 Currency Net of Origination Fee Capital Called Since Inception USD Cash/Security Distributions Since Inception USD 25,000,000.00 24,677,500.00 0.00 Currency Units Unit Cost Unit Value Nav/Unit Cost USD Estimated Value USD Unrealized Gain/Loss USD Estimated Annual Income USD Estimated Value USD EFTA01557905 04 JPMorgan Chase Bank 2004 Account Number: I FINANCIAL TRUST COMPANY, INC. 345 Park Avenue, New York, NY 10154-1002 Asset Account Portfolio April 01, 2004 - April 30, 2004 Page 7 of 17 Trade Activity Realized Gain/Loss Summary Short Term Gain/Loss Long Term Gain/Loss Note: indicates Short Term Realized Gain/Loss indicates Long Term Realized Gain/Loss S L Capital gains and losses on sales with missing or incomplete tax cost are identified with N/A. Trade Date Settlement Date Counter Currency Settled Foreign Exchange Contracts TRADE RELATED EURO CURRENCY - U S DOLLAR Apr 28 04 Apr 30 04 EUR 3,126.40 USD - 3,737.61 1.195500 1.195500 - 3,737.61 3,737.61 Amount Currency Counter Amount Contract Rate Revaluation Rate Contracted/ Base Amount USD Revalued Amount USD Realized Gain/Loss USD Amount USD 0.00 0.00 EFTA01557906 04 JPMorgan Chase Bank 2004 Account Number: I FINANCIAL TRUST COMPANY, INC. 345 Park Avenue, New York, NY 10154-1002 Asset Account Portfolio April 01, 2004 - April 30, 2004 Page 8 of 17 Account Transactions by Currency Euro Currency Activity Summary Amount this Period Beginning Balance Credits Debits Foreign Exchange Miscellaneous Disbursements Ending Balance Euro Currency Activity by Date Settlement Date Apr 30 Type Spot FX Quantity Description - 3,737.61 SPOT CURRENCY TRANSACTION - BUY BUY EUR SELL USD SPOT RATE : 1.195500000 TRADE 4/28/04 VALUE 4/30/04 REP: FX TO COVER NESTOR CONDUIT EXPENSES EURO PRINCIPAL CURRENCY U S DOLLAR Apr 30 Misc. Disbursement NESTOR - OGC - 4.30.04 EURO PRINCIPAL CURRENCY .00 3,126.40 - 3,126.40 -00 3,126.40 - 3,126.40 Amount to Date Realized Amount Gain/Loss USD 3,126.40 3,737.61 Amount USD - 3,126.40 - 3,737.61 EFTA01557907 04 JPMorgan Chase Bank 2004 Account Number: I FINANCIAL TRUST COMPANY, INC. 345 Park Avenue, New York, NY 10154-1002 Asset Account Portfolio April 01, 2004 - April 30, 2004 Page 9 of 17 Account Transactions by Currency U S Dollar Activity Summary Amount this Period USD Beginning Balance Credits Dividends Sweep Account Sales Miscellaneous Receipts Debits Sweep Account Purchases Miscellaneous Disbursements Foreign Exchange Ending Balance - 156,500.00 - 2,208,000.00 - 3,737.61 .00 *Year to date information is calculated on a calendar year basis. - 24,340,022.88 - 32,531,000.00 - 3,737.61 1,642.24 1,870,095.37 496,500.00 50,273.74 55,797,986.75 1,026,500.00 .00 Amount Year to Date USD* U S Dollar Activity by Date Type Settlement Date Apr 1 Apr 1 Apr 1 Dividend Misc. Receipt Misc. Receipt Quantity Description JP MORGAN INSTITUTIONAL PRIME MONEY INSTITUTIONAL CLASS SWEEP FUND (829) (SWEEP DEADLINE IS 4:30 PM EST) FED FUNDS RCVD FROM MELLON BK N.A. B/O CMMTY INTS FED FUNDS FROM SILICON MELLON BANK BO INTL CHARITABLE ST THOMAS VI Amount USD 1,642.24 340,000.00 156,500.00 EFTA01557908 04 Settlement Date Apr 1 Apr 1 JPMorgan Chase Bank 2004 Account Number: M FINANCIAL TRUST COMPANY, INC. 345 Park Avenue, New York, NY 10154-1002 Asset Account Portfolio April 01, 2004 - April 30, 2004 Page 10 of 17 U S Dollar Activity by Date Type continued Quantity Description Sale Misc. Disbursement - 1,658,357.76 JP MORGAN INSTITUTIONAL PRIME MONEY INSTITUTIONAL CLASS SWEEP FUND (829) (SWEEP DEADLINE IS 4:30 PM EST) FUNDS TRANSFERRED FROM BRKRG ACt TO DDA ACI LETTER Apr 2 Apr 6 Apr 6 Purchase Sale Misc. Disbursement 156,500 - 100,000 JP MORGAN INSTITUTIONAL PRIME MONEY INSTITUTIONAL CLASS SWEEP FUND (829) (SWEEP DEADLINE IS 4:30 PM EST) JP MORGAN INSTITUTIONAL PRIME MONEY INSTITUTIONAL CLASS SWEEP FUND (829) (SWEEP DEADLINE IS 4:30 PM EST) TRANSFERRED BY WIRE TO FIRSTBANK PUERTO RICO FAO FINANCIAL TRUST COMPANY, INC. LETTER FROM CLIENT Apr 14 Apr 14 Sale Misc. Disbursement - 29,000 JP MORGAN INSTITUTIONAL PRIME MONEY INSTITUTIONAL CLASS SWEEP FUND (829) (SWEEP DEADLINE IS 4:30 PM EST) TRANSFERRED BY WIRE TO FIRSTBANK PUERTO RICO FAO FINANCIAL TRUST COMPANY, INC. LETTER FROM CLIENT Apr 20 Sale - 50,000 JP MORGAN INSTITUTIONAL PRIME MONEY INSTITUTIONAL CLASS SWEEP FUND (829) (SWEEP DEADLINE IS 4:30 PM EST) 50,000.00 29,000.00 - 29,000.00 Amount USD 1,658,357.76 - 2,000,000.00 - 156,500.00 100,000.00 - 100,000.00 EFTA01557909 04 Settlement Date Apr 20 JPMorgan Chase Bank 2004 Account Number: 0 FINANCIAL TRUST COMPANY, INC. 345 Park Avenue, New York, NY 10154-1002 Asset Account Portfolio April 01, 2004 - April 30, 2004 Page 11 of 17 U S Dollar Activity by Date Type continued Quantity Description Misc. Disbursement TRANSFERRED BY WIRE TO FIRSTBANK PUERTO RICO FAO FINANCIAL TRUST COMPANY, INC. LETTER FROM CLIENT Apr 27 Apr 27 Sale Misc. Disbursement - 29,000 JP MORGAN INSTITUTIONAL PRIME MONEY INSTITUTIONAL CLASS SWEEP FUND (829) (SWEEP DEADLINE IS 4:30 PM EST) TRANSFERRED BY WIRE TO FIRSTBANK PUERTO RICO FAO FINANCIAL TRUST COMPANY, INC. AS REQUESTED Apr 28 Free Delivery - 926,663.41 NESTOR 2000 SPECIAL LLC (COMMITMENT EXPRESSED IN EUROS) COMMITMENT REDUCTION OF 30.88% EFFECTIVE APRIL 1 2004 JPMORGAN CHASE BANK TRADE DATE 04/28/04 Apr 30 Spot FX 3,126.40 SPOT CURRENCY TRANSACTION - BUY BUY EUR SELL USD SPOT RATE : 1.195500000 TRADE 4/28/04 VALUE 4/30/04 REP: FX TO COVER NESTOR CONDUIT EXPENSES EURO PRINCIPAL CURRENCY U S DOLLAR Apr 30 Sale - 3,737.61 JP MORGAN INSTITUTIONAL PRIME MONEY INSTITUTIONAL CLASS SWEEP FUND (829) (SWEEP DEADLINE IS 4:30 PM EST) - 3,737.61 29,000.00 - 29,000.00 Amount USD - 50,000.00 3,737.61 EFTA01557910 04 JPMorgan Chase Bank 2004 Account Number: I FINANCIAL TRUST COMPANY, INC. 345 Park Avenue, New York, NY 10154-1002 Asset Account Portfolio April 01, 2004 - April 30, 2004 Page 12 of 17 In Case of Errors or Questions About Your Electronic Transfers. Contact yourMorgan Teamat one ofthe telephonenumbers on the front of this statement or write us at 5 00 Stanton ChristianaRoad, 1/OPS, Newark,DE19713-2107 as soon as you can, if you think yourstatement is wrong or if you needmore information about a transfer on the statement. We must hearfrom you no laterthan 60 days afterwe sent you the FIRSTstatement on w hich the erroror problem appeared. (1) Tellus yourname and account number. (2) Describethe erroror t he transferyou are unsure about, and explainas clearly as you can why you believe it is in erroror why you need more information. (3) tell us the dollaramount of the suspected error. Ifyou contact us orally, you must send us your complaint or question in wri ting within 10 business days in order to preserveyour rights. We will investigateyourcomplaint and will correct any errorpromptly. Ifwe take more than 10 business days to do this (20 days for purchases using yourdebit card or for internationaltransactions),we will credi t youraccount for the amount you think is in error, so that you will have the use ofmoneyduring the time it takes us to complete our investigation. In case of errors or questions about your statement, including your line of credit. If you think that your statement is incorrect or if you need more information about a transaction on your statement including a line of credit transaction, you must write to us on a separate sheet des cribing the error and send it to: JPMorgan, Private Bank, 500 Stanton Christiana Road, 1/OPS3, Newark, DE 19713-2107. We must hear from you no 1 ater than 60 days after the statement on which the error or problem appeared is sent. You can contac t your client service specialist but doing so will not preserve your rights. In your letter, please provide the following information: (1) your name and account number; (2) the dollar amount of the suspected error; and (3) a description of the error and explanation, if you can , why you believe there is an error. If you need more information, you must describe the item you are unsure about. The JPMorgan Funds or The JPMorgan Institutional Funds or The American Century Funds Shares of the funds are not bank deposits and are not guaranteedby any bank, governmententity, or th e FDIC. Return and share price will fluctuate and redemption valuemay be more or less than original cost. While the money marketfunds seekto maintain a stable net asset valueof$1.00 pershare, there is no assurancethat they will continue to do so. The estimatedann ualincome and dividendyieldfigures for mutual funds representthe funds' most recentincome dividendan nualized. J.P. Morgan Funds Distributor, Inc. is the distributor of the JPMorgan Funds and American Centurylnv estmentServices, Inc. is the distributor of the American CenturyFunds. J.P. Morgan InvestmentManagem entlnc. and American CenturylnvestmentManagement Inc. serveas investment advisors to theirrespectivefund familiesand receivecompensation from theirrespect ivefund families for providing investment advisoryand other services. If you have chosen one of the sweep mutual funds, you are notified that positions in the Prime Money Market Sweep Fund represent holdings in the JPMorgan Prime Money Market Fund; positions in the Fede ralMoney Market Sweep Fund represent holdings in the JPMorgan FederalMoneyMarketFund; and positions in the TaxExemptMoneyMarketSweep Fund representholdin gs in the JPMorgan TaxExemptMoneyMarketFund. JPMSI is the custodian of listed options and all mutual funds purchasedthrough JPMSI excludingJPMorg an and AmericanCenturyfunds. JPMSI is a memberof the Securities InvestorProtection Corporation ("SIPC"),a not-for-profit membersh ip corporation funded by broker-dealersregisteredwith the Securitiesand ExchangeCommission. Securiti esand cash held for a customer account at JPMSI are protected up to the total net equity ofeach account.. The first $500,000 of protection, which includes up to $ 100,000 of protection for cash, is providedby SIPC. As ofMarch 2004, the balanceof the protection is providedby a separateExcessSlPC SuretyBond issued by Customer Asset Protection Company. SIPCand excessSlPCprotection do not protect against losses from fluctuatio ns in the valueof the securities. Assets held in custody by JPMorgan ChaseBank(the "Bank")are not su bject to SIPCor excessSlPC protection. J.P. Morgan Securities Inc., JPMorgan Chase Bank or their affiliates (the "Morgan Companies")may pro vide administrative, custodial, sales, distribution or shareholderservices to JPMorgan Funds, Americ an Century Funds, or funds established, sponsored, advised, or managedby third parties, and the Morgan Companiesmaybe compensatedfor such services. JPMorgan Private Bank is the marketing name for the private banking business conducted by J.P.Morgan Chase & Co. through its subsidiaries worldwide, including JPMorgan Chase Bank, J.P. Morgan Trust Co mpany, N.A. and J.P. Morgan Securities Inc. EFTA01557911 04 JPMorgan Chase Bank 2004 Account Number: I FINANCIAL TRUST COMPANY, INC. 345 Park Avenue, New York, NY 10154-1002 Asset Account Portfolio April 01, 2004 - April 30, 2004 Page 13 of 17 IMPORTANT INFORMATION ABOUT PRIVATE INVESTMENTS: FOOTNOTES 1 - 3 Private Equity, Hedge Funds, Exchange Funds, Real Estate and Other Alternative Assets 1. Direct privateequityinvestments and pooled privateinvestments (e.g., interests in limited partner shipsand limited liabilitycompanies)are generallyilliquid securities. Valuesare estimates only and a re not warrantedfor accuracyor completeness. Valuesdo not represent the actual terms at which transactions or securities could be bought or sold or new transactions cou Id be enteredinto or the actual terms on which existing transactions could be liquidatedas ofthe dat e of this statement. Direct private equity investments are generallyvaluedat cost, unless there is an active secondarytra ding market in the securities, in which case, direct private equity investments are valuedusing mark et prices as of the close of the last business day for this statement period. Pooled private equity investments are valuedaccording to the GeneralPartner's or Manager's s tated methodology. In general,pooled private equity investments are valuedat cost unless a significa nt investment event occurs which mandates a revaluationof the investment. The valuation methodologies generallyinclude an appraisalof the underlying assets at the lower of cost or a written-down amount, at a value at which third party financing has occurred, at a market price if an active secondarymarket develops, or at a value calculated by an independent party. Please refer to the limited partnership agreement, limited liabi lity company agreement or other operative documentation for each investment for the specific valuati on methodology used by the GeneralPartner or Manager for that investment. Morgan expresslydisclaims anyresponsibilityfor (1) the accuracyofthe information and the methodologyused by the GeneralPartneror Managerin derivingvaluations, (2)anyerrors or omissions in compiling or disseminating the valuations, and (3)anyuse to which the valuationsare put. Valuationsare providedfor information purposes only and are intendedsol elyfor yourown use. Hedge funds generallycalculate the price (the "Net Asset Value"or " NAV"), 10-15 business days folio wing the last business day of the month. For that reason, hedge fund NAVs shown will generallybe the NAVof the month preceding this statement period. In general, the NAVis stated net of managementand incentive fees. The NAVis calculatedaccording to the GeneralPa rtner's or Manager's stated methodology. Pleasereferto the limited partnership agreement,limited lia bilitycompany agreementor other operative documentation for each hedge fund for the specific valuation methodology used by the GeneralPartneror Managerfor t hat hedge fund. Morgan expresslydisclaims any responsibilityfor (1) the accuracyof the information a nd the methodology used by the GeneralPartneror Manager in derivingvaluations, (2)anyerrors or omissions in compiling or disseminating the valuations, and (3)a nyuse to which the valuationsare put. Valuationsare providedfor information purposes only and are in tendedsolelyfor yourown use. ForExchangeFunds, the price (the "Net Asset Value"or "NAV")includes the valueofanynon-marketablesecu rities that are valuedmonthly using a fairvaluemethodologyapprovedby the board of the Manager. The ' Net Asset ValueUSD' reflects the line of credit used to finance the non-marketablesecurities, the non-marketablesecurities and the swap contracts used to mi tigate the interest rate risk between the floating rate on the line of credit and the fixed rate of the non-marketablesecurities. The Fund can draw down on the line of credit to payexpensesand managementfees at startup or in the eventthat the dividendincome from the u nderlyingsecurities cannot paythe expensesof the Fund. This statement does not provide tax reporting on private investments. Please continue to rely upon t he General Partner or Manager of the investment vehicle for this information. Prices, some of which are provided by pricing services or other sources which we deem reliable, are not guaranteed for accuracy or as realizable values. 2. The 'Capital Called Since Inception USD' and "Cash/Security distributions Since Inception USD' co lumns are updated monthly to reflect activity (capital calls and distributions), if any. 3. Hedge funds generallyallow subscriptions on a monthly or quarterlybasis. Yourinterest in a hedge fund or hedge fund of funds is generallyas of the first business day of the subscription period. Due to earlyfunding requirementsby the applicablefund, your account maybe debited for the subscription amount priorto the subscription date. Pleasereferto the applicabl ehedge fund's operativedocumentation for furtherdetails. EFTA01557912 04 JPMorgan Chase Bank 2004 Account Number: I FINANCIAL TRUST COMPANY, INC. 345 Park Avenue, New York, NY 10154-1002 Asset Account Portfolio April 01, 2004 - April 30, 2004 Page 14 of 17 IMPORTANT INFORMATION ABOUT PRIVATE INVESTMENTS: FOOTNOTES 1 - 3 continued Hedge fund redemptions are generallyon a monthly, quarterlyor annual basis but can sometimes be subj ect to a multi-yearlockup before a redemption is permitted. For redemptions, there is generallya not ification period that can be a long interval before the actual redemption date. Redemption proceeds are generallypaid 3-5 business days afterthe final NAVis issued , but can be subject to a holdback of a portion of the proceeds until an annual audit of the Fund ha s been completed. Please referto the applicablehedge fund's operativedocumentation for furtherdetails. Forhedge funds, one of two methods will be used on this statement to report how incentive fees that may be owed to the GeneralPartneror Managerare paid. The first method is called "Series of Shares an d Consolidation Method" and will allocate a new series of the hedge fund at a parvalue (e.g. 1, 100 or 1000) for everysubscription period during the yearand a dif ferentNAVwill be trackedfor each series. At the end of the applicableincentive fee period (generally the end of the year),any series for which an incentive fee is payable (i.e., the fund has a net profit or is overthe applicable"high water mark"and known as the "Consolid sting Series")will be incorporatedwith and consolidated as part of the earliestseries issued by the fund in which an investorhas subscribed for which an incentive fee is payable(the "Lead Series"). Investorsholding shares in a Consolidating Series will have theirshares redeemedfrom each ofthe Consolidating Seriesand simultaneouslybe issued additionalshares ofthe LeadS eries(basedon the NAVofthe LeadSerieson the conversion date). Any series for which an incentive fee is not payable(i.e. the fund has a net loss or is not o verthe applicable"high water mark") will remain as a separateseries until the following incentive fe e period ends (generallyat year-end),when it will again be evaluated and consolidatedas part of the LeadSeries if the previouslydescribedcriteria is met. The second method is calledthe "EqualizationMethod". "Equalization"is an accounting methodologyused to ensure that each investorin a hedge fund is paying his/her equitableallocation of incentive fees. Unlike the Seriesof Shares method, shares held by all investors are valued at the same NAV. The "EqualizationAmount" reflects an amount deducted from the subscripti on amount in order to "equalize"the incentive fees among investors investing to the Fund in the curr ent year. The "EqualizationFactor" used to determine the EqualizationAmount may varyamong investors and depends on both the date at which an investorsubscrib es to the fund and the fund's current levelofperformance. An investorwho subscribes to a fund follow ing the initial closing date will havean Equalization Amount effectivelysegregatedfrom the subscription amount utilized to purchase shares. The EqualizationAmoun t can change overtime, depending on anynew investors entering the fund as the amount is again "equal ized"to ensure each investorhas an equitable allocation of incentive fees. Note that a change in equalizationovertime can result in a negativeEqualizationAmoun t. A negativeequalizationamount implies a potential reduction in investorshares to payincentive fees to the Manager. There are two EqualizationMethods commonly used today: "Redemption Method" or "DepreciationMethod". Underboth methods, if the fund is up in value from its inception date and from the date in which an investorhas invested at the end of the applicable period (generallyyear-end)the EqualizationAmount is used by the Fund to issue additional shares to the inve stor. If the investor had invested in the fund when the fund is down in value from its inception dat e and the fund subsequently goes up in value (at or beyond the applicablehigh water mark), under the Redemption Method an investor's shares will be redeemedto pay incentive fees owed to the manager. Underthe DepreciationMethod, an amount is deducted from the subs cription amount and credited as a depreciation deposit which is then used to payincentivefees owed to the GeneralPartneror Manageron an ongoing basis. Fora dditionalinformation, referto the hedge fund's operatingdocuments. EFTA01557913 04 J.P. Morgan Securities Inc. 2004 Account Number: FINANCIAL TRUST COMPANY, INC. 270 Park Avenue, New York, NY 10017 Margin Account Portfolio April 01, 2004 - April 30, 2004 Page 15 of 17 Margin Account Portfolio April 1 - April 30, 2004 Table of Contents Portfolio Summary Account Officers D'ORAZIO/HORNAK Page 16 All positions in this Margin Account Portfolio are held in custody at J.P. Morgan Securities Inc. (mJPMSI"). Member SIPC. EFTA01557914 04 J.P. Morgan Securities Inc. 2004 Account Number: FINANCIAL TRUST COMPANY, INC. 270 Park Avenue, New York, NY 10017 Margin Account Portfolio April 01, 2004 - April 30, 2004 Page 16 of 17 Overview Portfolio Summary IMPORTANT INFORMATION ABOUT YOUR STATEMENT Contact your client service specialist if you think your statement is incorrect or you require addit ional information about a transaction on your statement. Market Value USD Total Apr 30 0.00 Estimated Annual Income USD JPMSI is a memberof the Securities InvestorProtection Corporation ("SIPC"),a not-for-profit membersh ip corporation funded by broker-dealersregisteredwith the Securitiesand ExchangeCommission. Securiti esand cash held for a customer account at JPMSI are protected up to the total net equity ofeach account.. The first $500,000 of protection, which includes up to $ 100,000 of protection for cash, is providedby SIPC. As ofMarch 2004, the balanceof the protection is providedby a separateExcessSlPC SuretyBond issued by Customer Asset Protection Company. SIPCand excessSlPCprotection do not protect against losses from fluctuatio ns in the valueof the securities. Assets held in custody by JPMorgan ChaseBank(the "Bank")are not su bject to SIPCor excessSlPC protection. J.P. Morgan Securities Inc., JPMorgan Chase Bank or their affiliates (the "Morgan Companies")may pro vide administrative, custodial, sales, distribution or shareholderservices to JPMorgan Funds, Americ an Century Funds, or funds established, sponsored, advised, or managedby third parties, and the Morgan Companiesmaybe compensatedfor such services. EFTA01557915 04 J.P. Morgan Securities Inc. 2004 Account Number: FINANCIAL TRUST COMPANY, INC. 270 Park Avenue, New York, NY 10017 Margin Account Portfolio April 01, 2004 - April 30, 2004 Page 17 of 17 IMPORTANT INFORMATION ABOUT YOUR JPMSI MARGIN ACCOUNT If there are any errors or omissions on this statement, or if you have any questions about it, pleas e contact your JPMSI Account Representative or JPMSI Compliance Department at Please keep the following in mind when using this statement to track your JPMSI brokerage activity: This statement combines your general margin account with the special memorandum account required by Section 220.6 Regulation T. As required by Regulation T, a permanent record of your separate account is available upon your requ est. Important Information about Pricing and Valuations. Prices, some of which are provided by pricing services or other sources which we deem reliable, are not guaranteed for accuracy or as realizable values Free credit balances in your account are not segregated and may be used in the operation of JPMSIs b usiness, subject to the limitations of SEC Rule 15c3-3. Unless otherwise instructed, JPMSI or its ag ents and depositories will hold your securities. Upon your demand, JPMSI will pay to you the amount of your free credit balance, and will deliver to you f ully-paid securities held on your behalf. Interest will be charged on any debit balance; the method of calculating interest is described in a letter sent to all margin customers. Upon written request, JPMSI will supply you with our most recen t statement required to be furnished to customers under SEC Rule 17a-5(c). If a partial call is made with respect to an issue of securities included in your Margin Account we will allocate the call by a method we deem fair and equitable. You should have received separate JPMSI trade confirmations for each securities transaction. All tra nsactions are subject to the terms and conditions stated on the reverse side of such confirmations a nd are subject to the constitution, by-laws, customs and interpretations of the marketplace where executed and governed by and construed in accordance wi th the laws of the state of New York and all applicable federal laws and regulations. You must promptly advise JPMSI of material changes in your investment objectives or financial situat ion. Unless you inform JPMSI otherwise, JPMSI will consider the information currently in its files t o be complete and accurate. JPMSI is required by law to report to the Internal Revenue Service all dividends and/or interest inc ome on bonds credited to your account during calendar year. Please retain all your statements to ass ist you in preparing your income tax returns. A financial statement of JPMSI is available for your personal inspection at its offices, or a copy o f it will be mailed upon your written request. JPMSI is not a bank and is a separate legal entity from its bank or thrift affiliates, including JPM CB. The securities sold, offered or recommended by JPMSI: (1) Are not insured by the Federal Deposit Insurance Corporation, or any other governmental agency; (2) Are not deposits or other obligations of JPMSI's bank or thrift affiliates (unless otherwise ind Jested), and are not guaranteed by or the responsibility of any such affiliates(unless explicitly st ated otherwise); and (3) Involve investment risks, including possible loss of the principal invested. JPMSI's banking affiliates may be lenders to issuers of securities that JPMSI underwrites, in which case proceeds of offerings underwritten by JPMSI may be used for the repayment of such loans, and yo u should refer to the disclosure documents relating to particular securities for discussion of any such lending relationships. The Federal Reserve requires that JPMSI obtain your consent before it can obtain certain information from its bank or thrift affiliates, including their credit evaluation of you. We will assume that y our continuing to transact business with JPMSI will constitute your consent to the sharing of such information by JPMSI and its bank or thrift affiliate s, to the extent permitted by law. JPMorgan Private Bank is the marketing name for the private banking business conducted by J.P. Morga n Chase a Co. through its subsidiaries worldwide, including JPMCB and JPMSI. EFTA01557916