PENSION COMMITTEE

SPECIAL MEETING

NOVEMBER 29, 2007

TOWN HALL 9:30 A.M.

CALL TO ORDER: The meeting was called to order at 9:30 A.M.

MEMBERS PRESENT: Bill Kirkpatrick, chair; George Warner and Ham Wilson, members; and Tom Forma, Merrill Lynch, and Greg Simmons, Somers’ new CFO

INVESTMENT REVIEW: Led by Tom Forma, there was an investment review and discussion with the primary focus on asset allocation.

RAISING CASH TO FUND LUMP SUM PAYOUTS: After discussion, a motion was made seconded, and unanimously passed to liquidate some equity positions to fund two large payouts for retirement and rebalance the portfolio as follows:

Fixed Income 20% (purchase two CD’s)

Marsico 25%

Goldman Sachs 20%

NWQ Global 20%

Neuberger 15%

This allocation is consistent with the determination from our November meeting.

TOWN HELP IN FUNDING LUMP SUM PAYOUTS: As the funded ratio of the Pension Plan is about 75%, each withdrawal has a major negative effect on the remaining assets for Plan participants. Several strategies were discussed including a special contribution from the Town to the make the plan’s ratio 100%, or having the Town issue a check for 25% of each future retirement’s benefit payout. The committee plans to propose these possible solutions to the Selectmen and Finance Board.

ADJOURNMENT: The meeting was adjourned at 10:33 A.M.

Respectfully submitted,

Hamline C. Wilson, Clerk