Our actuarial consultant, Gabriel, Roeder, Smith & Company, reviewed the Florida Retirement System's 2009 valuation report and June 30, 2008, experience study. With respect to the valuation report, our consultant concluded that the 2009 valuation was conducted in accordance with relevant state laws and rules and actuarial standards. It further concluded that the assumptions and methods used in the 2009 valuation were generally reasonable. The 2009 actuarial valuation determined that the plan had an unfunded actuarial liability totaling $15.4 billion as of July 1, 2009. The Pension Plan experienced an actuarial loss of $18.37 billion, primarily due to investment losses. The 2009 actuarial valuation also shows that the plan's funding status (as measured by the ratio of its assets to liabilities) has experienced a decline over the last nine fiscal years (from 118% in Fiscal Year 1999-00 to 88% in Fiscal Year 2008-09). With respect to the experience study, our consultant concluded that the assumptions used in the valuation were generally reasonable and appropriate; however, it noted the inactive mortality rates appear to be conservative.