STRS BOARD APPOINTMENT

From Mario Iacone, July 20, 2009
GREATEST REASON TO APPOINT Dr. Leone

GOOD JUDGMENT!

Dennis Leone Urges STRS Board to Prepare for Significant Stock Market Downturn

The following excerpt is taken from:

Ohio Retired Teachers Association (ORTA)
QUARTERLY REPORT*
By Dennis Leone,
STRS Retiree Board Member
March, 2007

Among a number of items Dennis reported and discussed in his quarterly report was,

………………………….I am hopeful my fellow board members will be agreeable to approving a contingency plan to minimize the negative impact of a significant stock market downturn………………………

Was he being too cautious or too prudent or both?

And why not!

STRS was in the driver’s seat.

When Dr. Leone suggested what he did, STRS was not only meeting the 30 Year Funding Period, but was ahead of it, by June of 2007,

THE FUNDING PERIOD WAS AT 26.1 YEARS!

Now, IS IT AT INFINITY?

At a funding period of 26.1 Years, STRS would have been able to afford current benefits for years to come. Even with returns of 4% or 5%.

One does NOT NEED TO HAVE EXPERTISE!

GOOD JUDGMENT WILL SUFFICE!