Threadneedle And JPMorgan Sign Outsourcing Contract

Threadneedle Investments and JPMorgan Chase Bank have today announced that they have signed the contract on 7th August to appoint JPMorgan as Threadneedle’s chosen provider of outsourced Investment Operations services.

Threadneedle and JPMorgan expect to transfer operational control of Threadneedle’s Swindon-based Investment Operations function to JPMorgan in October 2006.

The outsourcing will be achieved by way of an initial “lift out” of Threadneedle’s operations covering confirmation and settlement, valuations and pricing, and accounting activities for all of Threadneedle’s funds. JP Morgan plans to transition from the Threadneedle systems platform to the JPMorgan platform by early 2008.

Subsequently, Threadneedle’s Swindon operations and staff will form an integral part of JPMorgan’s expanded European service offering.

Crispin Henderson, Managing Director of Threadneedle Investments, said:

“We are pleased to have finalised a deal which allows us to focus on our key strength as a fund manager. Our clients can look forward to the support from JPMorgan’s strengths in service administration and commitment to providing state-of-the-art capabilities in derivatives and complex instruments.”

Conrad Kozak, JPMorgan Securities Company Executive, said:

“We are looking forward to working with a leading fund manager like Threadneedle, and as we continue to build upon our European outsourcing platform we think they will be an excellent partner. Their needs fit with our strengths. They needed a provider that can service derivatives and other complex instruments, which we already do and are expanding to ensure we stay ahead of our clients’ needs. They also wanted continuity in the transition, so we are keeping their systems in place and welcoming their Swindon-based Client Services team.”

Notes to Editors:

About JPMorgan:

JPMorgan Worldwide Securities Services, a division of JPMorgan Chase Bank, N.A., is a global industry leader with $11.5 trillion in assets under custody. JPMorgan provides innovative custody and securities services as well as clearance and asset services to the world’s largest institutional investors and debt and equity issuers. JPMorgan Chase & Co. (NYSE: JPM) is a leading global financial services firm with assets of $1.3 trillion and operations in more than 50 countries. The firm is a leader in investment banking, financial services for consumers, small business and commercial banking, financial transaction processing, asset and wealth management, and private equity. A component of the Dow Jones Industrial Average, JPMorgan Chase serves millions of consumers in the United States and many of the world’s most prominent corporate, institutional and government clients under its JPMorgan and Chase brands. Information about the firm is available at www.jpmorganchase.com

About Threadneedle:

Threadneedle Asset Management Limited manages in excess of £73 billion for clients worldwide (as at 30 April 2006). It is the UK’s fourth largest retail investment funds group (Source: IMA, June 2006). Threadneedle is a subsidiary of Ameriprise Financial, Inc., one of the leading providers of financial solutions in the United States.

Threadneedle is characterised by its dedication to a disciplined investment process based on four central tenets of teamwork, integrated research, dynamic style and risk control. Its team based approach connects the talents of outstanding individuals, with its investment process connects different product areas and diverse disciplines.

Disclaimer:

Issued by Threadneedle Investment Services Limited (TISL) the 3rd largest retail investment funds manager in the UK (source: IMA, Arpil 2006). Threadneedle Asset Management Limited (TAML) is responsible for asset management for TISL. Both TISL and TAML are authorised and regulated by the Financial Services Authority.

Any opinions expressed are made as at the date of publication but are subject to change without notice.

Contact Information

Juliana Wheeler

JPMorgan Worldwide Securities Services PR

JPMorgan Chase & Co.

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