Addition bolsters corporate trust capabilities in public finance sector

NEW YORK and DALLAS, September 2, 2009 — BNY Mellon has signed a definitive agreement to acquire Pinnacle Arbitrage Compliance, one of the largest independent U.S. firms devoted exclusively to arbitrage compliance services for tax-exempt bond issues and conduit borrowers. Based in Dallas, the privately held company handles the wide variety of requirements associated with arbitrage regulation. Terms of the agreement, expected to close by the end of 2009, were not disclosed.

"The acquisition of Pinnacle will significantly enhance the comprehensive range of services and transparency tools we offer to the public finance market in the United States," said Scott Posner, chief executive officer of BNY Mellon Corporate Trust. "With this acquisition, we will incorporate arbitrage compliance services into our offerings, providing issuers with seamless rebate reporting and information to help maximize investment returns on bond funds. It will help further differentiate BNY Mellon from other corporate trust providers and extend our leadership position in the municipal finance sector."

"By joining BNY Mellon Corporate Trust, we will be able to integrate the established compliance services provided by our highly experienced staff with a broad array of trust services already recognized in the marketplace for innovation. Their well-established distribution channels will help increase awareness of our different methodologies to approaching arbitrage regulations, which often reduce or eliminate a client's arbitrage liability. We believe clients will benefit from a wider portfolio of easily accessible compliance services designed to simplify their entire arbitrage compliance process," said Terence Burke, Pinnacle president and chief executive officer, who will continue to oversee this business following the close of the transaction.

Established in 2006 by former professionals of the Ernst & Young Arbitrage Rebate Compliance Group when that firm made the decision to exit the service area, Pinnacle Arbitrage Compliance is dedicated solely to arbitrage compliance services for tax-exempt bonds. With additional offices in Charlotte, Houston, Memphis, Phoenix and St. Louis, Pinnacle's professional staff have performed tens of thousands of arbitrage compliance calculations for more than 1,000 issuers of almost every type of debt, including colleges/universities, counties, hospitals, municipalities, private activities, school districts, state agencies, and utilities. Additional information is available at www.pinnaclearbitrage.com.

BNY Mellon Corporate Trust was ranked the number one trustee in the U.S. for 2008, according to Thomson Reuters, a leading source of industry information for businesses and professionals. During 2008, the company served as trustee on 1,656 new issues, or about 45 percent more than its closest competitor. These new issues represented more than $529 billion in proceeds, more than three times the amount serviced by any other trustee in the U.S.

BNY Mellon Corporate Trust services nearly $12 trillion in outstanding debt from 58 locations in 20 countries. Its clients include governments and their agencies, multinational corporations, financial institutions and other entities that access the global debt capital markets. The corporate trust business utilizes its global footprint and expertise to deliver a full range of issuer and related investor services and develop customized and market-driven solutions. Its range of core services includes debt trustee, paying agency, escrow and other fiduciary offerings.

Corporate trust providers are appointed by debt issuers as well as fund and collateral management institutions to perform a variety of services related to debt and collateral administration, safekeeping, direct cash and investment management, portfolio and transparency analytics, reporting, and final asset disposition and distribution activities.

BNY Mellon is the corporate brand of The Bank of New York Mellon Corporation (NYSE: BK). BNY Mellon 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 $20.7 trillion in assets under custody and administration, $926 billion in assets under management, services $11.8 trillion in outstanding debt and processes global payments averaging $1.8 trillion per day. Additional information is available at www.bnymellon.com.