Manager Changes within the Portfolio Funds Russell Investments continually monitors the managers employed within the funds. In addition they also continually search the world for new managers who can bring something new to the mix. Through this continuous process managers are both removed and added from the underlying Russell Investments Funds. Below are 'Take Note' documents that explain these manager changes as they occur. SWIP Multi-Manager Global Real Estate Securities Fund Manager Change In December 2008 Russell hired Perennial Investment Partners to the Global ex-Europe portion of the fund. Pacific Basin Equity Fund Manager Change In December 2008 we replaced Fortis with Ignis Asset Management (formerly Resolution Asset Management). SWIP UK Equity Income Fund Manager Change In July 2008 Russell terminated GMO and hired Jupiter Asset Management. Jupiter has a more aggressive approach and greater flexibility in its implementation. (posted July 08) Pacific Basin Equity Fund Manager Change In June 2008 we replaced Schroders with Fortis Investment Management and changed the benchmark of Legg Mason. (posted June 08) SWIP Multi-Manager US Small Cap Portfolio Fund Manager Change In April 2008 we terminated David J. Greene and hired Buckhead Capital Management. (posted April 08) Japan Equity Fund Manager Change In March 2008 we terminated Barclays Global Investors (BGI) and hired JPMorgan Asset Management and Bayview Asset Management. (posted March 08) SWIP Multi-Manager UK Equity Focus Fund Manager Change In February 2008 Russell hired Jupiter Asset Management in the Fund. (posted February 08) SWIP Multi-Manager European Equity Fund Manager Change In December 2007 we replaced Schroders with T. Rowe Price International. (posted December 07) SWIP Multi-Manager UK Equity Growth Fund Manager Change In December 2007 Russell replaced Goldman Sachs Asset Management (GSAM) with Baillie Gifford.(posted December 07) US Growth Fund Manager Change In October 2007 we replaced Jacobs Levy with Suffolk Capital Management and Sustainable Growth Advisers (SGA). (posted Oct 07) Global Bond Fund & Global Bond Fund Euro Hedged Manager Change In August 2007 we added Drake Capital Management and terminated MSIM from all three funds. (posted Aug 07) SWIP Multi-Manager UK Equity Focus Fund Manager Change In August 2007 Russell added Cartesian Capital to the SWIP UK Equity Focus Fund and removed Mirabaud. The change continues the process of introducing new managers in whom we have high conviction. (posted August 07) SWIP Multi-Manager UK Equity Income Fund Manager Change In May 2007, we added Henderson and New Star to the Fund and increased the weight of Rensburg Aggressive. This was financed by reducing the allocation to GMO and Rensburg Income. (posted May 07) US Small Cap Equity Fund Manager Change In February 2007 we replaced Nicholas Applegate with DePrince, Race & Zollo (DRZ), both value-oriented managers. (posted Feb 07) US Small Cap Equity Fund Manager Change We have recently replaced Goldman Sachs with PanAgora and ClariVest. (posted Jan 07) UK Equity Fund Manager Change We have enhanced the manager line-up by removing Fidelity and Threadneedle and hiring Morley Fund Management and RCM Capital Management into the Fund. (posted Jan 07) Continental European Equity Fund Manager Addition Recently we replaced Thames River with Invesco Perpetual. The manager change was made to increase the fund’s exposure to managers in which we have higher conviction and to those with more aggressive portfolios. (posted Dec 06) US Equity Fund - Manager Change We have improved the manager line-up by hiring Columbus Circle Investors. At the same time we consolidated the two Turner mandates into one product benchmarked against the Russell 1000 Growth Index. (posted December 06) SWIP Multi-Manager UK Growth Fund Manager Change In December 2006, we replaced Fidelity with State Street Global Advisors. (posted December 06) SWIP UK Equity Focus Fund Manager Change We have improved the manager line-up in the SWIP UK Focus Fund by adding Morley Fund Management. (posted Sept 06) UK Equity Fund Manager Change In August 2006 we improved the manager line-up by adding Alliance Bernstein (Bernstein), primarily by reducing the allocation to Fidelity. (posted September 06) Euro Fixed Income Fund Manager Change We have improved the manager line-up in the RIC II Euro Fixed Income Fund (the Fund) by removing Sal Oppenheim at a 30% weight and hiring Fidelity Investments International at a 30% weight. (posted July 06) Sterling Bond Fund Manager Change At the end of June 2006, we improved the manager line-up in the RIC Sterling Bond Fund by moving two-manager to a three-manager structure. We replaced Merrill Lynch Investment Managers with Fidelity Investments and Aberdeen Asset Management (both at a weight of 30%). In addition, Western Asset Management's weight was reduced from 50% to 40%. At this time, we also changed the benchmark moving to the Merrill Lynch Sterling Broad Market Index from the FTSE UK Gilts All Stocks Index. (posted July 2006) US Equity Fund Manager Change In June 2006, we improved the Funds' structure by replacing BKF and Jacobs Levy Value with Institutional Capital Corporation (ICap) and Sound Shore Management. In addition, we trimmed the Turner mid-cap holding. (posted July 2006) SWIP UK Equity Growth Fund Manager Change We have improved the manager line-up in the SWIP Uk Growth Fund by adding Investec and Mirabaud. (posted July 2006) Japan Equity Fund Manager Change In June 2006, we improved the manager line-up in the RIC Japan Equity Fund by replacing Martin Currie (market-oriented) with Alliance Bernstein (value) and Invest-Asia (growth) and adjusted the manager weights in thefund. (posted June 2006) UK Equity Fund Manager Changes Russell has enhanced the manager line-up in the RIC UK Equity Fund by removing Capital Group, hiring Standard Life Investments and making an allocation to Russell’s new RIC II UK Equity Plus Fund. (posted June 2006) Global Bond Fund (RIC) Manager Addition We are improving the manager line-up in the RIC, RIC II euro-hedged, MSMM and MSMM euro-hedged Global Bond funds by adding Loomis, Sayles & Company. (posted April 06) Sterling Bond Fund Benchmark Change We are improving the benchmark of the FRIC Sterling Bond Fund by changing it to the Merrill Lynch Sterling Broad Market Index from the FTSE UK Gilts All Stocks Index on 30 June 2006. This document explains why we have made this change and addresses key questions. (posted April 2006) Pacific Basin Equity Fund Manager Change We have improved the manager line-up in the Pacific Basin Equity Fund by replacing APS with Rexiter Capital Management Limited and Legg Mason Asset Management (Asia). (posted January 2006) Pacific Basin Equity Fund Manager Change We have improved the manager line-up in the FRIC and MSMM Pacific Basin Equity Funds (the Funds) by adding Aberdeen Asset Management. (posted October 2005) Pacific Basin Equity Fund Benchmark Change The benchmark for the FRIC and MSMM Pacific Basin Equity Funds (the Funds) has been changed from the MSCI AC Pacific ex-Japan to the MSCI AC Asia Pacific ex-Japan, effective October 2005. (posted October 05) Sterling Bond Fund Manager Change We have changed the manager mix of the FRIC Sterling Bond Fund, replacing M&G Investment Management Limited (M&G) with Western Asset Management (Western). The Fund has an equal weight to Western and Merrill Lynch Investment Management (MLIM).(posted May 2005) US Growth Fund Manager Change We have improved the manager mix of the FRIC II US Growth Fund by replacing aggressive manager, TCW, with another aggressive manager, Wells Capital Management (Wells). (posted March 2005) US Equity Fund Manager Change We have enhanced the manager mix of the FRIC US Equity Fund by replacing BGI with John A Levin & Co (Levin) and Systematic Financial Management (Systematic). We have also changed Jacobs Levy Equity Management's (Jacobs Levy's) mandate. (posted February 2005) US Quant Fund Manager Change We have enhanced the manager mix of the FRIC II US Quant Fund by replacing core quantitative (quant) manager, BGI, with another core quant manager, Goldman Sachs Asset Management (GSAM).(posted February 2005) US Small Cap Equity Fund Manager Change We have enhanced the mix of the FRIC US Small Cap Fund by replacing core value manager, Martingale, with core value manager, Integrity Asset Management (Integrity). We have also replaced core growth manager, Times Square, with another core growth manager, Westcap Investors (Westcap). (posted January 2005) UK Quant Fund Manager Change We have enhanced the manager mix of the FRIC II UK Quant Fund by replacing core quantitative (quant) manager, BGI, with another core quant manager, Goldman Sachs Asset Management (GSAM). (posted December 2004) UK Equity Fund Manager Change We have removed BGI from the FRIC UK Equity Fund and have distributed the assets previously managed by BGI to managers GMO, Majedie, SVM and Threadneedle. (Posted August 2004) US Small Cap Manager Change We have enhanced the manager mix of the FRIC US Small Cap Fund with two manager changes. Firstly, we've replaced value manager, Systematic, with another value manager, Nicholas-Applegate Capital Management (NACM). Secondly, we've replaced growth manager, Suffolk, with another growth manager, Gould Investment Partners (GIP). (Posted June 2004) Japan Equity Fund Manager Change We have enhanced the manager mix of the Japan Equity Fund by adding T&D Asset Management. T&D is a value manager that complements SGAM's deep value approach. (Posted March 2004) Global Bond Fund Manager Change Russell has decided to hire Morgan Stanley Investment Management (MSIM), replacing Fischer Francis Trees and Watts (FFTW) in the MSMM Global Bond Fund, MSMM Global Bond (euro hedged) Fund, MSMM Global Bond (euro unhedged) Fund, FRIC II Global Bond (euro hedged) Fund, FRIC Global Bond Fund and the FRIC Global Bond (US$ unhedged) Fund. (Posted January 2004) Continental European Equity Fund Manager Change Russell has decided to hire Bernstein and Nordea, replacing Putnam in the FRIC Continental European Equity Fund. (Posted November 2003) US Equity Fund Manager Change Russell has decided to hire Ark Asset Management, replacing Strong in the US Equity Fund. (Posted November 2003) Pan European Equity Fund Manager Change Russell has decided to hire Natexis Asset Management, replacing Putnam in the Pan European Equity Fund. We believe this will improve the quality of the structure, and should increase the potential for performance in the future. (Posted October 2003) UK Equity Fund Manager Change Russell has decided to replace Schroder Investment Management with Majedie Asset Management in the FRIC UK Equity Fund. Majedie's more aggressive approach is expected to enhance the Fund's performance potential. (Posted October 2003) US Equity Funds Manager Change We have replaced J.P. Morgan Investment Management in Russell's US Equity Fund with Jacobs Levy. Jacobs Levy is one of the world's leading quantitative asset managers and will take on the role of core market-oriented manager in the Fund. In the US Quant Fund, Russell has also replaced J.P. Morgan Investment Management and has substituted a higher conviction quant manager, Aronson+ Johnson+Ortiz LP. US Equity Fund Manager Change (Posted July 2003) US Quant Fund Manager Change (Posted July 2003) Pacific Basin Equity Fund Manager Change We have replaced Fidelity Investments in Russell's Pacific Basin Equity Fund with Lloyd George Management. We believe that the addition of this high conviction specialist manager reinforces the future performance potential of the Fund. (Posted June 2003) European Fixed Income Manager Change We have replaced Goldman Sachs with Western Asset Management in Russell's European Fixed Income Fund, in order to upgrade the fund's ability to outperform its benchmark. (Posted June 2003) Continental European Equity Fund Manager Change Russell is pleased to announce the addition of Thames River Capital to our Continental European Equity Fund. We believe that the fund will benefit, both in terms of increased outperformance potential, and because Thames River Capital has a distinctly different investment process from other managers in the fund. (Posted April 2003) Pan European Equity Fund Manager Change Russell is pleased to announce the addition of Thames River Capital to our Pan European Equity Fund. We believe that the fund will benefit, both in terms of increased outperformance potential, and because Thames River Capital has a distinctly different investment process from other managers in the fund. (Posted April 2003)

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