South Carolina Selects CitiStreet For Deferred Compensation Plans Full Benefits Service Covers 457 and 401(k) Plans.

Business/Technology Editors

South Carolina has chosen CitiStreet, a leading provider of benefit services and products, to provide services for all state and local government employees participating in 457 and 401(k) plans.

The State of South Carolina Deferred Compensation Program has 97,000 participants, including state employees and employees of 750 local government entities. The program has about $1.5 billion in assets and averages around $170 million in annual contributions.

CitiStreet will be the record-keeper and administrator for the state's 457 and 401(k) retirement programs. It also will provide extensive education resources and customer service for the participants. State Street Global Advisors, a division of State Street, the parent company of CitiStreet along with Citigroup, will serve as the investment manager of the Guaranteed Investment Contract (GIC) portfolio of the program as well.

"We are pleased to offer the services of CitiStreet to participants in the deferred compensation plan. We believe they will find considerable value in the extensive education materials and the advanced but user-friendly technology," said Peggy G. Boykin, director of the Retirement Division of South Carolina's State Budget and Control Board.

CitiStreet also currently serves as one of the providers for the State Optional Retirement Program, a defined contribution alternative to the traditional defined benefit program.

About CitiStreet

CitiStreet, one of the largest global benefits delivery firms in the United States, is headquartered in Quincy, Mass. It has 3,000 employees and offices in East Brunswick, N.J., Jacksonville, Fla., Lewiston, Maine, and Boston, and 35 field offices around the nation. It also has a division, CitiStreet Australia, with offices in Sydney and Brisbane. CitiStreet serves more than 6.5 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 about 700,000 participants and administers $1.5 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.