Managed Structures

The Principal Global Investors CDO platform is a natural extension of its existing credit business which leverages off the extensive network of talent already available throughout the organization. With over 176 fixed income investment professionals in offices worldwide, we have been able to effectively implement our vision of being a proven CDO manager and investor. Our experience with CDS and CDO trades began in 1994 and has evolved to the current structures under management which are outlined below. All synthetic credit CDOs currently under management have all performed well with no tranche downgrades or credit events in any of the portfolios¹. In addition, since 1994 the firm has participated in CDO investments of over 200 tranches of 140 different CDOs.

Investment Grade Synthetic CDO

• Avenue Series CDO, 2002 - synthetic CDO (matured August 2007)
• Craft Collateralized Loan Obligations (CLO), 2004 - synthetic CLO
• STEERS CDO Squared Trust, Series, 2005 - synthetic CDO-squared
• M-2 SPC, 2005 - single tranche synthetic CDO
• Heartland, 2006 - single tranche CDO
• 801 Grand, 2006 - single tranche synthetic CDO
• Ashworth, 2006 - rated equity tranche synthetic CDO
• Grand River, 2007 - single tranche synthetic CDO
• Copper Creek, 2007 - single tranche synthetic CDO
• Anson Road II, 2008 - single tranche synthetic CDO

Cash CDO

• Trapeza Edge², 2005 - Cash insurance & bank trust preferred CDO
• Blue Edge, 2006 - Cash ABS CDO

¹As of 31 March 2008.

²Principal Global Investors is a co-manager of this portfolio.

The information in this document has been derived from sources believed to be accurate as of April 2007. It contains general information only on investment matters and should not be considered as a comprehensive statement on any matter and should not be relied upon as such. The information it contains does not take account of any investor's investment objectives, particular needs or financial situation. You should considerwhether an investment fits your investment objectives, particular needs and financial situation before making any investment decision.

Subject to any contrary provisions of applicable law, no company in the Principal Financial Group nor any of their employees or directors gives any warranty of reliability or accuracy nor accepts any responsibility arising in any other way (including by reason of negligence) for errors or omissions in this document.

All figures shown in this document are in U.S. dollars unless otherwise noted.

This document is issued in:

• The United Kingdom by Principal Global Investors (Europe) Limited, 16 St Martins Le Grand, London, EC1A 4EN, registered in England, No. 03819986, which has approved its contents, and which is authorised and regulated by the Financial Services Authority.
• Singapore by Principal Global Investors (Singapore) Limited (ACRA Reg. No. 199603735H), which is regulated by the Monetary Authority of Singapore.
• Hong Kong by Principal Global Investors (Asia) Limited, which is regulated by the Securities and Futures Commission.
• Australia by Principal Global Investors (Australia) Limited (ABN 45 102 488 068, AFS Licence No. 225385), which is regulated by the Australian Securities and Investment Commission.

In the United Kingdom this document is directed exclusively at persons who are market counterparties or intermediate customers (as defined by the rules of the Financial Services Authority). In connection with its management of client portfolios, Principal Global Investors (Europe) Limited may delegate management authority to affiliates that are not authorised and regulated by the Financial Services Authority. In any such case, the client may not benefit from all protections afforded by rules and regulations enacted under the Financial Services and Markets Act 2000.