Asset Drop More than Offsets Lower Liabilities

PITTSBURGH, March 5, 2008 — Falling stock markets in February resulted in lower pension plan assets and a decline of 0.7 percentage points in the funded status of the typical U.S. pension plan, according to BNY Mellon Asset Management.

The assets of the typical moderate risk pension plan benchmark portfolio declined 1.4 percent, more than offsetting a 0.7 percent decrease in the average pension plan's liabilities. For the year to date, the funded status of the typical U.S. pension plan has declined 3.9 percentage points.

"Slowing growth prospects and rising inflation dampened the stock market once again," said Peter Austin, executive director of BNY Mellon Asset Management. "Expectations for further inflation also led to the rise of long- term interest rates, which was the primary reason for the slight decline in pension plan liabilities."

BNY Mellon Asset Management is one of the world's largest global asset managers with more than US$1 trillion in assets under management. The multi- boutique asset management model encompasses the investment skills of world class specialist asset managers who are amongst the most advanced and highly regarded names in money management. With investment expertise that spans the asset class spectrum, BNY Mellon Asset Management offers a comprehensive suite of beta-achieving and alpha-generating investment strategies to meet the unique needs of institutional investors.

The Bank of New York Mellon Corporation is a global financial services company focused on helping clients manage and service their financial assets, operating in 34 countries and serving more than 100 markets. The company is a leading provider of financial services for institutions, corporations and high-net-worth individuals, providing superior asset management and wealth management, asset servicing, issuer services, clearing services and treasury services through a worldwide client-focused team. It has more than $23 trillion in assets under custody and administration, more than $1.1 trillion in assets under management and services $11 trillion in outstanding debt. Additional information is available at bnymellon.com.