Dear YMCA Colleagues,

Since my messages to you on September 18 and October 1, investment market deterioration has accelerated, and I'm sure that many of you are concerned about the impact on your YMCA Retirement Fund.

As you can see in the news, we are in the midst of a dramatic sell-off in the global investment markets. As a result, the value of the Fund's investments are down hard as well.

The liabilities of any pension fund are the estimated value of all future benefit payments. Due to investment market conditions, the current value of our future benefit payments over the next 50 years is greater than our assets. However, this is where the unique structure of the Fund will sustain us through this crisis period.

Let me explain:

60% of the Fund's liabilities - or benefit promises - are currently payable (or will eventually be payable) in the form of an annuity: a monthly stream of income. These monthly payments will be made over the next 30, 40 and 50 years, which provides us with the extended time to realize investment market recovery.

This is why the Fund has time on our side. Unlike short-term investors, we are long-term players, and the Fund is able to ride this out and wait for the markets to stabilize and eventually recover.

As we have weathered other storms throughout our history, the Fund will withstand these extraordinarily turbulent times and continue its mission of service to YMCA people.

Thanks for your confidence.

Sincerely,

John M. Preis, CEO
YMCA Retirement Fund

Committed to serving YMCA employees with
Security, Integrity and Enduring Value