From: William L. Crothers, Jr.
Sent: June 13, 2007
Subject: 12b-1 Fee's

Relative to other expense levels charged in the brokerage community, 12b1 fees are very low relative to wrap account charges and compensate the advisor for ongoing service and advice. I think that for load funds there should be appropriate disclosure that the fee’s are for ongoing service by the financial advisor. For no load funds where the fund is retaining the fee, there should be better disclosure or reimbursement for actual expenses up to a limit of 25BP or whatever level is approved.

William L. Crothers, Jr.
Senior Vice President
Global Wealth Management Group
Morgan Stanley