Dear Friends and Family,

It’s hard to believe summer is already half over. We’re preparing for fall and hosting two Issaquah seminars. Guests are always welcome—please call to RSVP:

September 23, 2009 – Women, Wisdom & Wealth (Issaquah, 12:00 pm)

October 21, 2009 – College Planning (Issaquah, 12:00 pm)

Second Quarter 2009 Summary: Market sentiment improved thanks to:

• Slower pace of economic contraction.
• Credit conditions stabilized; corporate borrowing became easier.
• The Federal Reserve bought bonds to reduce mortgage rates and maintained near-zero interest rates.
• Government stimulus programs began impacting the economy.
• Layoffs declined; jobless claims fell from March highs.
• Bank confidence increased after ‘stress test’ results showed stronger-than-expected balance sheets.

Important Cost Basis Reporting Update:

• Stock purchases starting Jan 1, 2011 will require cost basis reporting on Form 1099-B.
• Mutual fund purchases starting Jan 1, 2012 will also be reported.
• All other covered securities purchased starting Jan 1, 2013 will be reported as well.

These changes will first appear in 2011 tax year forms, mailed in Jan/Feb 2012.

Sincerely,

Katz Family Financial