Tom Curtis to Michael Nehf re: Cutting costs at STRS

From Tom Curtis, January 29, 2009
Subject: 012909 Curtis To Nehf, A Time To Reconsider Revisited

Hello Mr. Nehf,

I wish to thank you for agreeing with Dr. Leone, that the suspension of the PBIs was necessary at this time and the right thing to do.

It was my hope, that when I wrote to you in late December 2008, I would open a line of communication with you. With all due respect, your response was very brief and far less then I had expected. You answered none of my questions.

In my December correspondence to you, I stated that in my opinion, "the lavish lifestyle, misspending practices and greed of the management and investment people of various enterprises have brought this country and the world into a financial crisis, one that I fear will loom for a long time. The effects have not even begun to be realized."

Well, the time has come where we are starting to see the fallout from the huge financial crisis laid at our feet, by greedy people not living within reality. Thousands are being laid off daily. Programs and people are being cut to reduce costs and increase the efficiency of the operation. What plans do you have to cut costs?

I will again emphasize to you, that this is a time to reassess your position as our director and to look at ways you can reduce the cost of operation.

A wage freeze, staff reduction, and other needed reforms that would cut costs are and will continue to be issues with the stakeholder.

Would you kindly address your current thoughts to me on these issues and other means are you considering in reducing costs?

Mr. Nehf, please remember, as I stated before, "We the stakeholders will be ever vigilant, not because we desire to be, but because the personal greed of our money managers has forced us to be."

Thomas Curtis