STT State Street Corporation

CitiStreet and Smith Barney have teamed up to offer a Self-Directed Retirement Account 401(k) product that allows employees broader investment options and advisory services, along with efficient payroll deduction processing and investment, it was announced today. The product, called SDRA Exclusive, differs significantly from traditional self-directed accounts by providing full automation that allows direct transfer of payroll deductions to a money market fund. At the end of a specified period, those funds are automatically transferred to the appropriate Smith Barney financial advisor handling the participant's SDRA Exclusive account. The financial advisor from Smith Barney, a division of Citigroup, one of CitiStreet's parent companies, invests the funds according to the goals and objectives established with the plan participant. Plan participants have access to a wide range of professionally managed accounts through their Smith Barney financial advisor. Financial advisors no longer have to handle the plan's payroll file or manually redirect participant contributions into brokerage accounts, resulting in more timely and efficient investment of the participant's contributions. "We've developed this offering based on the demand we've seen in the closely held, professional corporations like medical and legal practices," said Pat Bello, CitiStreet executive vice president. "Most brokerage account offerings provide either automation without personalized service or personalized service without automation. We have a unique ability, through our partnership with Smith Barney, to deliver both. The CitiStreet SDRA Exclusive product is a full-service bundled retirement plan solution, with CitiStreet providing the plan recordkeeping and administration. Investment education is handled by the Smith Barney financial advisor to help plan participants clearly understand their individual risk tolerance and investment goals. About CitiStreet CitiStreet, one of the largest global benefits delivery firms in the United States, is headquartered in Quincy, Mass. CitiStreet has 3,000 employees at offices in Somerset, N.J., Jacksonville, Fla., Lewiston, Maine, Boston and field offices around the nation. It also has a division, CitiStreet Australia, with offices in Sydney, Brisbane and Melbourne. CitiStreet serves more than 10 million participants and administers approximately $200 billion in assets in the United States for defined contribution, defined benefit and health and welfare plans of corporate, government, health care, Taft-Hartley and not-for-profit organizations. It also serves more than 1 million participants and administers about $15 billion in assets outside the United States. CitiStreet is a 50/50 joint venture between State Street Corp. (NYSE:STT) and Citigroup (NYSE:C). For more CitiStreet information, visit the Web site at www.citistreetonline.com.