Understanding Your Loan Interest Rebate:

All Loans qualified for the interest rebate program:

Your Loan Interest Rebates have been deposited into your S1 savings account.

Interest Rebates were calculated on the 12 month (YTD) total amount of interest paid for each type of qualifying loan, including loans that were paid off in 2008.

Mortgage interest rebate amounts have been deducted from your YTD Mortgage Interest Paid amount, but have not been added to your YTD Taxable Dividends Earned.

Understanding Your Dividend Bonus:

Bonuses are in addition to normal quarterly dividends that posted to your shares and certificates on 12.31.08.

Share and Certificate Dividend Bonus amounts have been deposited into your S1 savings account.

Dividend bonus amounts have been added to your YTD Taxable Dividends Earned and are reflected on the enclosed 1099-INT.

Share Dividend Bonuses were calculated on the dividends earned for the first 3 quarters of 2008.

Money Market Bonuses were calculated on the dividends earned for the first 11 months of 2008.

Certificate Dividend Bonuses were calculated on the dividends earned for all four quarters in 2008.  The bonus was applied to both active and redeemed certificates.

Dividend Bonuses on IRA shares and certificates are not tax favored money and are not considered part of your 2008 contributions.  These Dividend Bonuses were credited to your S1 savings account as regular dividends.  The amounts have been added to your YTD Taxable Dividends Earned and are reflected on the enclosed 1099-INT.