BDUG 2006

Preparing for the FutureTown Hall Meeting

October 18th, 2006

8:15 AM – 9:30 AM

Agenda

• BDUG Mission Statement

• 2006 Results Toward Goals

• Industry Challenges

• Open Discussion

BDUG Mission Statement

• Increase the information flow between DTCC and its participant banks.

• Provide DTCC management with input related to their policies, procedures, and operations.

• Promotes a spirit of cooperation and goodwill among BDUG members and DTCC.

2006 Results Toward Goals

Goal: Maintain the on going financial viability of the organization.

Results: Maintained balances in reserve funds to allow the organization to plan out 2 years.

Invested the reserve funds in CD’s to generate investment income to offset the majority

of credit card fee’s.

2006 Results Toward GoalsGoal: Increase DTCC presences and support of BDUG.

Results: Provided Bill Aimetti, COO of DTC as key note speaker to our Annual Meeting

Solid attendance and participation of key personnel at Annual Meeting

Sponsored the visit and reception to the Southern Business Center

Organized the first Webinar on Deriv SERV

BDUG Chairman and Vice Chairman met with Senior DTCC leadership to confirm continued support of BDUG

2006 Results Toward Goals

Goal: Increase BDUG presence throughout the year to our members.

Results: Conducted first ever Webinar session on Deriv SERV.

Updated website on a regular basis.

Continued to use e – mail to reach out to our members.

Publish a key contact document for each participating Bank.

2006 Results to GoalsGoal: Increase Bank membership by 10% from 51,

56 members.

Results: 2003 2004 2005 2006

Banks 51 53 51 43

Members 127 130 127 114

Dues Collected $16,500 $22,850 $20,900 $18,300

2006 Results Toward GoalsGoal: Increase Bank membership participants at Annual Meeting by 10%

from 75 to 82.

Results:

Total Attendees 1999 2000 2001 2002 2003 2004 20052006

Bankers 113 101 77 71 78 67 75 70

DTC 15 25 19 20 17 14 14 17

Guest 17 15 14 10 10 10 15 10

Vendors 33 40 35 27 27 27 38 30

Total 188 175 146 125 129 118 142 127

Challenges ImpactConsolidation of Member Banks. Reduction in the number of members.

Reduction in the number of members. Reduction in the number of potential attendees to the Annual Meeting

Firms moving operation centers to outside the Reduction in the number of potential attendeesU.S. to the annual meeting.

Lack of compelling industry initiatives or mandates Less need to attend Annual Meeting.(Prior initiatives were T+3, Y2K.)

Improved communication tools Less need to attend Annual Meeting.(e-mail, web-site).

More frequent communication by DTCC Less need to attend Annual Meeting.(Quarterly Updates, Monthly Newsletter).

DTCC’s participant in other industry Reduce need to be a member and to attendForums. Annual Meeting

Consolidation of industry associations Maintaining membership is increasingly difficult(SIA with BMA, and ABA with Cannon School)

Industry Challenges

The World is Changing

We Need to Change to Maintain Viability

Open Discussion Items

• How do we get more Bank participants? How do we get those Banks to participants in the annual meeting?

• How do we get more participants at the annual meeting by each participant bank?

• How important is hotel price staying below $200?• How important are the CSOP credits to participants?• How important is the membership book and how often

do you refer to it?• Do we consolidate the annual membership fee with the

annual meeting fee (for 1 or 2 attendees)?

Sunday Event Feedback

• Added a Luncheon Cruise– Huge success, 25 participants.

• 3rd Annual Golf Tournament– 24 Participants– Change Format?

• Best Ball Tournament

• Overall participation, 49 members & guests.

Please Consider Joining the Steering Committee.

3 Open Positions!!

Key Points to Keep in Mind:

• 4 year commitment by both the member and the Bank• Requires attendance at the Annual Meeting• Requires attendance at 2 committee meetings throughout the year• Each member takes on specific roles on the committee• Participating on the committee provides both professional and

personal enrichment

Thank You!!John HostyTodd RhodesAnita HigginsMargaret BondScott NielsenDaniel McHaleVeneta KokenesMark Cashion