SEC Charges Capital One with Understating Auto Loan Losses
The Securities and Exchange Commission (Commission) today charged Capital One Financial Corporation and two senior executives for understating millions of dollars in auto loan losses incurred during the months leading into the financial crisis.
An SEC investigation found that in financial reporting for the second and third quarters of 2007, Capital One failed to properly account for losses in its auto finance business when they became higher than originally forecasted. The profitability of its auto loan business was primarily derived from extending credit to subprime consumers. As credit markets began to deteriorate, Capital One’s internal loss forecasting tool found that the declining credit environment had a significant impact on its loan loss expense. However, Capital One failed to properly incorporate these internal assessments into its financial reporting, and thus understated its loan loss expense by approximately 18 percent in the second quarter and 9 percent in the third quarter.
Capital One agreed to pay $3.5 million to settle the SEC’s charges. The two executives — former Chief Risk Officer Peter A. Schnall and former Divisional Credit Officer David A. LaGassa — also agreed to settle the charges against them.
“Accurate financial reporting is a fundamental obligation for any public company, particularly a bank’s accounting for its provision for loan losses during a time of severe financial distress,” said George Canellos, Co-Director of the Division of Enforcement. “Capital One failed in this responsibility by underreporting expenses relating to its loan losses even as its own internal forecasting tool had signaled an increase in incurred losses due to the impending financial crisis.”
According to the SEC’s order instituting settled administrative proceedings, beginning in October 2006 and continuing through the third quarter of 2007, Capital One Auto Finance (COAF) experienced significantly higher charge-offs and delinquencies for its auto loans than it had originally forecasted. The elevated losses occurred within every type of loan in each of COAF’s lines of business. Its internal loss forecasting tool assessed that its escalating loss variances were attributable to an increase in a forecasting factor it called the “exogenous” — which measured the impact on credit losses from conditions external to the business such as macroeconomic conditions. A change in this exogenous factor generally had a significant impact on COAF’s loan loss expense, and it was closely monitored by the company through its loss forecasting tool. Capital One determined that incorporating the full exogenous levels into its loss forecast would have resulted in a second quarter allowance build of $72 million by year-end. Since no such expense was incorporated for the second quarter, it would have resulted in a third quarter allowance build of $85 million by year-end.
However, according to the SEC’s order, instead of incorporating the results of its loss forecasting tool, Capital One failed to include any of COAF’s exogenous-driven losses in its second quarter provision for loan losses and included only one-third of such losses in the third quarter. The exogenous losses were an integral component of Capital One’s methodology for calculating its provision for loan losses. As a result, Capital One’s second and third quarter loan loss expense for COAF did not appropriately estimate probable incurred losses in accordance with accounting requirements.
The SEC’s order also finds that Schnall and LaGassa caused Capital One’s understatements of its loan loss expense by deviating from established policies and procedures and failing to implement proper internal controls for determining its loan loss expense. Schnall, who oversaw Capital One’s credit management function, took inadequate steps to communicate COAF’s exogenous treatment to the senior management committee in charge of ensuring that the company’s allowance was compliant with accounting requirements. Despite warnings, he also failed to ensure that the exogenous treatment was properly documented. LaGassa, who managed the COAF loss forecasting process, failed to ensure that the proper exogenous levels were incorporated into the COAF loss forecast. He also failed to ensure that the exogenous treatment was documented consistent with policies and procedures.
“Financial institutions, especially those engaged in subprime lending practices, must have rigorous controls surrounding their process for estimating loan losses to prevent material misstatements of those expenses,” said Gerald W. Hodgkins, Associate Director of the Division of Enforcement. “The SEC will not tolerate deficient controls surrounding an issuer’s financial reporting obligations, including quarterly reporting obligations.”
Capital One’s material understatements of its loan loss expense and internal controls failures violated the reporting, books and records, and internal controls provisions of the federal securities laws, namely Sections 13(a), 13(b)(2)(A), and 13(b)(2)(B) of the Securities Exchange Act of 1934 and Rules 12b-20 and 13a-13. Schnall and LaGassa caused Capital One’s violations of Section 13(a), 13(b)(2)(A), and 13(b)(2)(B) of the Exchange Act and Rule 13a-13 thereunder and violated Exchange Act Rule 13b2-1 by indirectly causing Capital One’s books and records violations.
Schnall agreed to pay an $85,000 penalty and LaGassa agreed to pay a $50,000 penalty to settle the SEC’s charges. Capital One and the two executives neither admitted nor denied the findings in consenting to the SEC’s order requiring them to cease and desist from committing or causing any violations of these federal securities laws. (Press Rel. 2013-72)(Rel. 34-69442; AAER-3456; File No. 3-15299).
Commission Summarily Affirms Initial Decision of Administrative Law Judge, In Part, and Revokes the Registration of A-Power Energy Generation Systems, Ltd.
The Commission has summarily affirmed an administrative law judge's initial decision, in part, and revoked the registration of the securities of A-Power Energy Generation Systems, Ltd. The law judge found that A-Power had violated Exchange Act periodic reporting requirements by failing to file its required annual report for fiscal year 2010. The law judge also found, in determining sanctions, that A-Power failed to file an annual report for fiscal year 2011 or report the resignation of its auditor on Form 6-K. The Commission determined that the factual findings of the law judge were correct, with the exception of her finding with respect to Form 6-K. The Commission also determined that the law judge was correct in finding that A-Power violated Exchange Act § 13(a) and Exchange Act Rule 13a-1. Accordingly, on its own initiative, the Commission determined that it was appropriate to summarily affirm these factual and legal findings. The Commission further determined that A-Power's failure to file was serious, recurrent, and evidenced a high degree of culpability, and that A-Power failed to demonstrate any effort to remedy its past violations or to offer any credible assurances against future violations. The Commission concluded therefore that revoking the registration of A-Power's registered securities was necessary and appropriate for the protection of investors. (Rel. 34-69439; File No. 3-14935)
In the Matter of Tara Bryson
The Commission announced the issuance of an Order Instituting Administrative Proceedings Pursuant to Section 203(f) of the Investment Advisers Act of 1940, Making Findings and Imposing Remedial Sanctions (Order) against Tara Bryson. The Order finds that Tara Bryson was a former employee of New Stream Capital, LLC (New Stream), an unregistered investment adviser and Delaware limited liability company organized in October 2002 with its principal place of business in Ridgefield, Connecticut. Tara Bryson worked for New Stream and its predecessor entities from approximately 2004 to 2010. On February 26, 2013, the Commission filed a civil action against Tara Bryson and others in the United States District Court for the District of Connecticut, SEC v. New Stream Capital, LLC, et al., Civil Action No. 3:13-cv-00264-RNC. The Commission’s Complaint alleges, inter alia, that while employed at New Stream, Tara Bryson engaged in conduct that violated Section 17(a) of the Securities Act of 1933 (Securities Act), Section 10(b) of the Securities Exchange Act of 1934 (Exchange Act) and Rule 10b-5 thereunder, and that she aided and abetted violations of Section 206(4) of the Investment Advisers Act of 1940 (Advisers Act) and Rule 206(4)-8 thereunder. On April 16, 2013, the United States District Court for the District of Connecticut entered, by consent, a final judgment against Tara Bryson permanently enjoining her from violating Section 17(a) of the Securities Act, Section 10(b) of the Exchange Act and Rule 10b-5 thereunder, and Section 206(4) of the Advisers Act and Rule 206-4(8) thereunder.
Based on the above, the Order bars Tara Bryson from association with any broker, dealer, investment adviser, municipal securities dealer, or transfer agent. Tara Bryson consented to the issuance of the Order without admitting or denying any of the findings in the Order, except she admitted to the entry of the injunction. (Rel. IA- 3592; File No. 3-15300)
STETSON CAPITAL FUND LP AND DAVIS POLK & WARDWELL LLP
An order has been issued on an application filed by Stetson Capital Fund LP and Davis Polk & Wardwell LLP to exempt certain limited partnerships formed for the benefit of eligible employees of Davis Polk & Wardwell LLP and its affiliates from certain provisions of the Investment Company Act of 1940 (Act). Each company will be an “employees’ securities company” within the meaning of Section 2(a)(13) of the Act. (Rel. IC-30475-April 23, 2013)
SAGE QUANT MANAGEMENT LLC, ET AL.
An order has been issued on an application filed by Sage Quant Management LLC, et al. The order permits: (a) certain open-end management investment companies or series thereof to issue shares (Shares) redeemable in large aggregations only (Creation Unit Aggregations); (b) secondary market transactions in Shares to occur at negotiated market prices; (c) certain series to pay redemption proceeds, under certain circumstances, more than seven days after the tender of Shares for redemption; (d) certain affiliated persons of the series to deposit securities into, and receive securities from, the series in connection with the purchase and redemption of Creation Unit Aggregations; and (e) certain registered management investment companies and unit investment trusts outside of the same group of investment companies as the series to acquire Shares. (Rel. IC-30476- April 23, 2013)
NEUBERGER BERMAN ETF TRUST AND NEUBERGER BERMAN MANAGEMENT LLC
An order has been issued on an application filed by Neuberger Berman ETF Trust and Neuberger Berman Management LLC. The order permits: (a) series of certain actively managed open-end management investment companies to issue shares (Shares) redeemable in large aggregations only (Creation Units); (b) secondary market transactions in Shares to occur at negotiated market prices; (c) certain series to pay redemption proceeds, under certain circumstances, more than seven days after the tender of Shares for redemption; (d) certain affiliated persons of the series to deposit securities into, and receive securities from, the series in connection with the purchase and redemption of Creation Units; and (e) certain registered management investment companies and unit investment trusts outside of the same group of investment companies as the series to acquire Shares. (Rel. IC-30473- April 22, 2013)
Immediate Effectiveness of Proposed Rule Change
A proposed rule change filed by Chicago Board Options Exchange, Incorporated to amend the Fees Schedule (SR-CBOE-2013-042) has become effective pursuant to Section 19(b)(3)(A) of the Securities Exchange Act of 1934. Publication is expected in the Federal Register during the week of April 22nd. (Rel. 34-69422)
A proposed rule change filed by BOX Options Exchange LLC to amend Rule 7170 to clarify that the Exchange may grant Obvious Error relief in the event of unusual circumstances (SR-BOX-2013-21) has become effective pursuant to Section 19(b)(3)(A) of the Securities Exchange Act of 1934. Publication is expected in the Federal Register during the week of April 29th. (Rel. 34-69429)
The Chicago Mercantile Exchange Inc. (CME) filed a proposed rule change (File No. SR-CME-2013-04) under Section 19(b)(1) of the Securities Exchange Act of 1934 related to the Liquidity Factor of its CDS margin methodology. Publication is expected in the Federal Register during the week of April 29th. (Rel. 34-69435)
Notice of Filing of a Proposed Rule Change
Fixed Income Clearing Corporation filed a proposed rule change (File No. SR-FICC-2013-03) pursuant to Section 19(b)(1) of the Act to amend FICC’s Mortgage-Backed Securities Division Clearing Rules in order to accurately reflect the manner in which FICC should allocate an indemnity claim made in connection with the use of the Board of Governors of the Federal Reserve System’s National Settlement Service. Publication of the proposal is expected to be made in the Federal Register during the week of April 29th. (Rel. 34-69434)
New York Stock Exchange LLC filed with the Securities and Exchange Commission a proposed rule change under Rule 19b-4 (SR-NYSE-2013-21) amending NYSE Rule 104 to codify certain traditional trading floor functions that may be performed by Designated Market Makers (“DMMs”), to make exchange systems available to DMMs that would provide DMMs with certain market information, to amend the Exchange’s rules governing the ability of DMMs to provide market information to floor brokers, and to make conforming amendments to other rules. Publication is expected in the Federal Register during the week of April 29th. (Rel. 34-69427)
NYSE MKT LLC filed with the Securities and Exchange Commission a proposed rule change under Rule 19b-4 (SR-NYSEMKT-2013-25) to amend NYSE MKT Rule 104 - Equities to codify certain traditional trading floor functions that may be performed by Designated Market Makers (“DMMs”) to make exchange systems available to DMMs that would provide DMMs with certain market information, to amend the Exchange’s rules governing the ability of DMMs to provide market information to floor brokers, and to make conforming amendments to other rules. Publication is expected in the Federal Register during the week of April 29th. (Rel. 34-69428)
Notice of Withdrawal of a Proposed Rule Change
ICE Clear Europe Limited withdrew its proposed rule change (File No. SR-ICEEU-2013-05) to implement central counterparty resolution and recovery procedures. Publication is expected in the Federal Register during the week of April 22nd. (Rel. 34-69423)
The following registration statements have been filed with the SEC under the Securities Act of 1933. The reported information appears as follows: Form, Name, Address and Phone Number (if available) of the issuer of the security; Title and the number and/or face amount of the securities being offered; Name of the managing underwriter or depositor (if applicable); File number and date filed; Assigned Branch; and a designation if the statement is a New Issue.
Registration statements may be viewed in person in the Commission's Public Reference Branch at 100 F Street, N.E., Washington, D.C. To obtain paper copies, please refer to information on the Commission's Web site at http://www.sec.gov/answers/publicdocs.htm. In most cases, you can view and download this information by using the search function located at http://www.sec.gov/edgar/searchedgar/companysearch.html.
S-8 EWaste Systems, Inc., 101 FIRST STREET, NUMBER 493, LOS ALTOS, CA, 94022, 650-283-2907 - 30,000,000 ($31.92) Equity, (File 333-188069 - Apr. 23) (BR. 02) S-8 Hannon Armstrong Sustainable Infrastructure Capital, Inc., 1906 TOWNE CENTRE BLVD, SUITE 370, ANNAPOLIS, MD, 21401, (410) 571-9860 - 0 ($13,709,288.94) Equity, (File 333-188070 - Apr. 23) (BR. 08B) S-3ASR KINDER MORGAN ENERGY PARTNERS L P, 1001 LOUISIANA STREET, SUITE 1000, HOUSTON, TX, 77002, 713-369-9457 - 0 ($0.00) Unallocated (Universal) Shelf, (File 333-188071 - Apr. 23) (BR. 02C) S-3ASR NIKE INC, ONE BOWERMAN DR, BEAVERTON, OR, 97005-6453, 5036713173 - 0 ($0.00) Debt, (File 333-188072 - Apr. 23) (BR. 06C) S-3 Symmetry Medical Inc., 3724 N STATE ROAD 15, WARSAW, IN, 46582, 574-268-2252 - 0 ($150,000,000.00) Equity, (File 333-188073 - Apr. 23) (BR. 10B) F-3ASR Grifols SA, 1585 BROADWAY, SUITE 2376, NEW YORK, NY, 10036, 212-969-3335 - 0 ($129,711,997.02) Other, (File 333-188074 - Apr. 23) (BR. 01B) S-8 eLayaway, Inc., 1625 SUMMIT LAKE DRIVE, SUITE 205, TALLAHASSEE, FL, 32317, 850-219-8210 - 950,000,000 ($285,000.00) Equity, (File 333-188075 - Apr. 23) (BR. 03B) S-8 WASHINGTON TRUST BANCORP INC, 23 BROAD ST, WESTERLY, RI, 02891, 4013481200 - 1,748,250 ($46,258,695.00) Equity, (File 333-188076 - Apr. 23) (BR. 07C) S-3ASR UMB FINANCIAL CORP, 1010 GRAND AVE, KANSAS CITY, MO, 64106, 8168607000 - 0 ($23,362,500.00) Equity, (File 333-188080 - Apr. 23) (BR. 07B) S-3ASR UMB FINANCIAL CORP, 1010 GRAND AVE, KANSAS CITY, MO, 64106, 8168607000 - 0 ($0.00) Other, (File 333-188082 - Apr. 23) (BR. 07B) S-8 SANMINA CORP, 2700 N FIRST ST, SAN JOSE, CA, 95134, 4089643500 - 0 ($17,748,000.00) Equity, (File 333-188085 - Apr. 23) (BR. 03A) S-3 PULASKI FINANCIAL CORP, 12300 OLIVE BLVD, ST LOUIS, MO, 63141, 3148782210 - 0 ($40,000,000.00) Other, (File 333-188086 - Apr. 23) (BR. 07C) S-8 PULASKI FINANCIAL CORP, 12300 OLIVE BLVD, ST LOUIS, MO, 63141, 3148782210 - 0 ($5,140,000.00) Equity, (File 333-188087 - Apr. 23) (BR. 07C) S-8 HYPERION THERAPEUTICS INC, 601 GATEWAY BLVD., SUITE 200, SOUTH SAN FRANCISCO, CA, 94080, 650-745-7802 - 0 ($16,090,265.00) Equity, (File 333-188088 - Apr. 23) (BR. 01A) S-4 SCBT FINANCIAL CORP, 520 GERVAIS STREET, COLUMBIA, SC, 29201, 803-231-3581 - 0 ($340,551,986.00) Equity, (File 333-188089 - Apr. 23) (BR. 07B)
Form 8-K is used by companies to file current reports on the following events:
8-K reports may be viewed in person in the Commission's Public Reference Branch at 100 F Street, N.E., Washington, D.C. To obtain paper copies, please refer to information on the Commission's Web site at http://www.sec.gov/answers/publicdocs.htm. In most cases, you can view and download this information by using the search function located at http://www.sec.gov/edgar/searchedgar/companysearch.html.
STATE NAME OF ISSUER CODE 8K ITEM NO. DATE COMMENT 3DICON CORP OK 8.01,9.01 04/23/13 AASTROM BIOSCIENCES INC MI 7.01,9.01 04/17/13 ACACIA RESEARCH CORP DE 7.01,9.01 04/23/13 ACCELERATED ACQUISITIONS XXII DE 1.01,5.01,5.02,9.01 04/23/12 ACORDA THERAPEUTICS INC 8.01,9.01 04/23/13 ADCARE HEALTH SYSTEMS INC OH 3.01,9.01 04/17/13 ADDVANTAGE TECHNOLOGIES GROUP INC OK 7.01,9.01 04/23/13 AeroGrow International, Inc. NV 1.01,1.02,2.03, 04/22/13 3.02,5.02,5.03,9.01 AFFYMAX INC DE 5.02,8.01 04/19/13 AIR INDUSTRIES GROUP, INC. DE 5.02 04/19/13 AIR PRODUCTS & CHEMICALS INC /DE/ DE 2.02,9.01 04/23/13 AK STEEL HOLDING CORP DE 2.02,9.01 04/23/13 ALCO STORES INC KS 2.02,7.01,9.01 04/18/13 ALL AMERICAN SPORTPARK INC NV 5.02 04/17/13 Alliance Bancorp, Inc. of Pennsylvani PA 7.01,9.01 04/23/13 ALLIANCE DATA SYSTEMS CORP DE 7.01,9.01 04/23/13 ALLIANCE FIBER OPTIC PRODUCTS INC CA 2.02,9.01 04/23/13 ALR TECHNOLOGIES INC. NV 4.01,9.01 04/09/13 AMEND AMAG PHARMACEUTICALS INC. DE 2.02,9.01 04/23/13 AMARIN CORP PLC\UK X0 8.01 04/23/13 AMARU INC NV 4.02 04/18/13 AMEREN CORP MO 5.02,5.07 04/22/13 AMERICAN NATIONAL INSURANCE CO /TX/ TX 2.02,9.01 04/23/13 Ameris Bancorp GA 2.02,9.01 04/23/13 AMERISERV FINANCIAL INC /PA/ PA 8.01 04/23/13 AMGEN INC DE 2.02,9.01 04/23/13 AMSURG CORP TN 2.02,7.01,9.01 03/31/13 ANAREN INC NY 2.02,9.01 04/23/13 ANIXTER INTERNATIONAL INC DE 2.02,9.01 04/23/13 Anoteros, Inc. NV 5.02 04/23/12 API Technologies Corp. DE 1.01,2.01,8.01,9.01 04/17/13 APOLLO GROUP INC AZ 5.02 04/17/13 APPLE INC CA 2.02,9.01 04/23/13 APPLE INC CA 7.01,9.01 04/23/13 ARCA biopharma, Inc. DE 7.01,9.01 04/23/13 ARCH COAL INC DE 2.02,9.01 04/23/13 ARKANSAS BEST CORP /DE/ DE 8.01,9.01 04/23/13 Arlington Asset Investment Corp. VA 2.02,8.01 04/23/13 ARRHYTHMIA RESEARCH TECHNOLOGY INC /D DE 3.01,9.01 04/23/13 ASSOCIATED MATERIALS, LLC DE 1.01,2.03,8.01 04/18/13 ASSOCIATED MATERIALS, LLC DE 8.01,9.01 04/23/13 ASSURED GUARANTY LTD D0 2.02,9.01 04/23/13 ASTEC INDUSTRIES INC TN 2.02,9.01 04/23/13 AT&T INC. DE 2.02,9.01 04/23/13 AT&T INC. DE 8.01,9.01 04/23/13 Atlantic Coast Financial CORP MD 1.01,8.01,9.01 04/22/13 ATLAS PIPELINE PARTNERS LP DE 1.01,8.01,9.01 04/17/13 AWARE INC /MA/ MA 2.02,9.01 04/23/13 BANCORPSOUTH INC MS 2.02,7.01,9.01 04/22/13 Bank of Marin Bancorp CA 5.02 04/23/13 BankUnited, Inc. DE 5.02,8.01,9.01 04/19/13 BANNER CORP WA 2.02,9.01 04/22/13 BAR HARBOR BANKSHARES ME 8.01 04/23/13 BARD C R INC /NJ/ NJ 2.02,9.01 04/23/13 BCSB Bancorp Inc. 8.01,9.01 04/19/13 BEHRINGER HARVARD MULTIFAMILY REIT I 7.01,9.01 04/23/13 Bering Exploration, Inc. NV 5.02 04/22/13 BERKLEY W R CORP DE 2.02,9.01 04/23/13 BIOTIME INC CA 7.01,9.01 04/23/13 Black Elk Energy Offshore Operations, TX 5.02,9.01 04/16/13 Boardwalk Pipeline Partners, LP DE 3.03,9.01 04/18/13 BOVIE MEDICAL CORP DE 1.01,9.01 04/18/13 BRAINSTORM CELL THERAPEUTICS INC. DE 5.07 04/18/13 BRINKER INTERNATIONAL INC DE 2.02,9.01 04/23/13 BROADCOM CORP CA 2.02,9.01 04/23/13 CABLEVISION SYSTEMS CORP /NY DE 1.01,1.02,2.03,9.01 04/17/13 CAESARS ENTERTAINMENT Corp DE 8.01,9.01 04/23/13 CAPELLA EDUCATION CO 2.02,9.01 04/23/13 CARNIVAL CORP DE 5.07 04/17/13 CECIL BANCORP INC MD 5.07 04/17/13 CENTENE CORP 2.02,9.01 04/23/13 CHEMBIO DIAGNOSTICS, INC. NV 7.01,9.01 04/23/13 CHIQUITA BRANDS INTERNATIONAL INC NJ 5.02,9.01 04/23/13 CHROMCRAFT REVINGTON INC DE 5.04,9.01 04/18/13 CIT GROUP INC DE 2.02,7.01,9.01 04/23/13 CITIZENS FINANCIAL SERVICES INC PA 2.02,9.01 04/17/13 CME GROUP INC. DE 5.03,9.01 04/17/13 COACH INC MD 2.02,5.02,9.01 04/23/13 COMERICA INC /NEW/ DE 7.01,9.01 04/23/13 COMM 2013-CCRE7 Mortgage Trust DE 8.01,9.01 04/23/13 COMMERCE BANCSHARES INC /MO/ MO 5.02,5.07,9.01 04/17/13 COMMUNITY TRUST BANCORP INC /KY/ KY 7.01,9.01 03/31/13 COMPUTER TASK GROUP INC NY 2.02,9.01 04/23/13 CONSOLIDATED TOMOKA LAND CO FL 2.02,9.01 04/23/13 Cornerworld Corp NV 5.07 04/17/13 CRANE CO /DE/ DE 2.02,5.02, 04/22/13 5.07,8.01,9.01 CREE INC NC 2.02,9.01 04/23/13 DARLING INTERNATIONAL INC DE 5.02,9.01 04/23/13 DELL INC DE 5.02,9.01 04/17/13 DELTA AIR LINES INC /DE/ DE 2.02,9.01 04/23/13 DEVRY INC DE 2.02,9.01 04/23/13 DICE HOLDINGS, INC. DE 2.02,9.01 04/23/13 DIRECTVIEW HOLDINGS INC 4.01,9.01 04/18/13 Discover Financial Services DE 2.02,9.01 04/23/13 Diversified Restaurant Holdings, Inc. NV 8.01,9.01 04/23/13 DNB FINANCIAL CORP /PA/ PA 2.02,9.01 04/23/13 DubLi, Inc. NV 2.03 04/23/13 Duff & Phelps Corp DE 2.01,2.03,3.01, 04/23/13 3.03,5.01,5.02,5.03,8.01,9.01 DUPONT E I DE NEMOURS & CO DE 2.02,9.01 04/23/13 EAGLE ROCK ENERGY PARTNERS L P DE 7.01 04/23/13 EAGLE ROCK ENERGY PARTNERS L P DE 7.01,8.01,9.01 04/23/13 Edwards Lifesciences Corp DE 2.02,9.01 04/23/13 ELITE PHARMACEUTICALS INC /NV/ NV 8.01,9.01 04/23/13 EMERSON ELECTRIC CO MO 2.02,7.01 04/23/13 ENBRIDGE ENERGY MANAGEMENT L L C DE 5.02 04/22/13 ENBRIDGE ENERGY PARTNERS LP DE 5.02 04/22/13 ENERNOC INC DE 5.02,9.01 04/23/13 ENNIS, INC. TX 2.02,8.01,9.01 04/22/13 ENTEGRIS INC DE 2.02,9.01 04/23/13 EQUITY LIFESTYLE PROPERTIES INC MD 2.02 04/22/13 EVEREST RE GROUP LTD D0 2.02,9.01 04/23/13 EVERTEC, Inc. PR 1.01,1.02,2.03, 04/17/13 5.03,9.01 EXACTECH INC FL 2.02,7.01,9.01 04/23/13 Expedia, Inc. DE 5.02,9.01 04/17/13 FARMERS & MERCHANTS BANCORP INC OH 5.07 04/18/13 Federal Home Loan Bank of Atlanta X1 2.03 04/17/13 Federal Home Loan Bank of Boston X1 2.03 04/18/13 Federal Home Loan Bank of Chicago X1 2.03 04/17/13 Federal Home Loan Bank of Chicago X1 2.02,9.01 04/23/13 Federal Home Loan Bank of Cincinnati X1 2.03,9.01 04/19/13 Federal Home Loan Bank of Dallas 2.03,9.01 04/17/13 Federal Home Loan Bank of Des Moines X1 2.03,9.01 04/19/13 Federal Home Loan Bank of Indianapoli X1 2.03,9.01 04/23/13 Federal Home Loan Bank of New York X1 2.03,9.01 04/17/13 Federal Home Loan Bank of Pittsburgh PA 2.03,9.01 04/17/13 Federal Home Loan Bank of San Francis X1 2.03 04/18/13 Federal Home Loan Bank of Seattle 2.03 04/17/13 Federal Home Loan Bank of Topeka 2.03,9.01 04/17/13 FINISH LINE INC /IN/ IN 8.01,9.01 04/23/13 FIRST COMMONWEALTH FINANCIAL CORP /PA PA 2.02,7.01,9.01 04/23/13 FIRST DEFIANCE FINANCIAL CORP OH 2.02,9.01 04/22/13 FIRST FINANCIAL BANKSHARES INC TX 7.01,9.01 04/23/13 FIRST FINANCIAL CORP /IN/ IN 5.07 04/17/13 FIRST INTERSTATE BANCSYSTEM INC MT 2.02,9.01 04/22/13 FIRSTBANK CORP MI 2.02,9.01 04/22/13 FIRSTBANK CORP MI 8.01 04/22/13 FIRSTMERIT CORP /OH/ OH 2.02,9.01 04/23/13 FNB CORP/FL/ FL 2.02,8.01,9.01 04/23/13 FOREST CITY ENTERPRISES INC OH 3.02 04/22/13 FOREST LABORATORIES INC DE 2.02,9.01 04/23/13 Fortegra Financial Corp DE 4.01 04/19/13 Fortegra Financial Corp DE 4.01 04/23/13 AMEND FOSTER WHEELER AG V8 2.02,7.01,9.01 04/23/13 FX ENERGY INC NV 8.01,9.01 04/23/13 GANNETT CO INC /DE/ DE 2.02 04/23/13 GASCO ENERGY INC NV 7.01,9.01 04/23/13 GASTAR EXPLORATION LTD 1.01,7.01 04/19/13 GE Dealer Floorplan Master Note Trust DE 1.01,9.01 04/17/13 AMEND GENSPERA INC DE 7.01,9.01 04/23/13 GENTEX CORP MI 2.02,9.01 04/23/13 GEOGLOBAL RESOURCES INC. DE 3.01 04/22/13 Georgia-Carolina Bancshares, Inc GA 2.02,7.01,9.01 04/23/13 GLADSTONE COMMERCIAL CORP MD 2.02,7.01 04/23/13 GLADSTONE COMMERCIAL CORP MD 7.01,9.01 04/23/13 Globalstar, Inc. DE 1.01,7.01,9.01 04/22/13 GRANT PARK FUTURES FUND LIMITED PARTN IL 7.01,9.01 04/19/13 GREAT CHINA MANIA HOLDINGS, INC. FL 1.01,9.01 04/23/13 GSE SYSTEMS INC DE 5.02 04/17/13 GULF ISLAND FABRICATION INC LA 5.02 04/18/13 GULF RESOURCES, INC. DE 8.01,9.01 04/23/13 HALF ROBERT INTERNATIONAL INC /DE/ DE 2.02,8.01,9.01 04/23/13 HALLIBURTON CO DE 1.04 04/17/13 Hanesbrands Inc. MD 2.02,7.01,9.01 04/23/13 HARMONIC INC DE 2.02,9.01 04/23/13 HARRIS & HARRIS GROUP INC /NY/ NY 8.01,9.01 04/23/13 Hatteras Financial Corp 2.02,9.01 04/23/13 HAWAIIAN HOLDINGS INC DE 2.02,9.01 04/23/13 HEALTH REVENUE ASSURANCE HOLDINGS, IN NV 5.01,5.02,9.01 04/22/13 HECLA MINING CO/DE/ DE 8.01,9.01 04/22/13 HOME BANCORP, INC. LA 2.02,9.01 04/23/13 HOMEAWAY INC DE 2.02,9.01 04/23/13 HORNE INTERNATIONAL, INC. DE 5.02 03/21/12 HOST HOTELS & RESORTS, INC. MD 1.01 04/17/13 HUDSON VALLEY HOLDING CORP NY 2.02,9.01 04/23/13 HUNTINGTON BANCSHARES INC/MD MD 5.07 04/19/13 HUTTIG BUILDING PRODUCTS INC DE 5.07 04/22/13 iBio, Inc. DE 1.01,9.01 04/23/13 IDENTIVE GROUP, INC. DE 1.01,9.01 04/22/13 IDERA PHARMACEUTICALS, INC. DE 1.01,9.01 04/23/13 IDEX CORP /DE/ DE 2.02,9.01 04/22/13 IDEXX LABORATORIES INC /DE DE 2.02,9.01 04/23/13 II-VI INC PA 2.02,9.01 04/23/13 ILLINOIS TOOL WORKS INC DE 2.02,9.01 04/23/13 INDEPENDENT BANK CORP /MI/ MI 7.01,9.01 04/23/13 Ingersoll-Rand plc L2 2.02,9.01 04/23/13 InspireMD, Inc. DE 8.01,9.01 04/19/13 INTERMOUNTAIN COMMUNITY BANCORP ID 2.02,9.01 04/23/13 IROBOT CORP DE 2.02,7.01,9.01 04/23/13 IRONWOOD PHARMACEUTICALS INC DE 2.02,9.01 04/23/13 JANUS CAPITAL GROUP INC DE 2.02,9.01 04/23/13 JBI, INC. NV 9.01 04/19/13 AMEND JOHNSON CONTROLS INC WI 2.02,7.01,9.01 04/23/13 JPMORGAN CHASE & CO DE 3.03,5.03,8.01,9.01 04/23/13 JUNIPER NETWORKS INC DE 2.02,9.01 04/23/13 KAISER ALUMINUM CORP DE 2.02,9.01 04/23/13 KANSAS CITY LIFE INSURANCE CO MO 5.07 04/22/13 KBS Legacy Partners Apartment REIT, I MD 1.01,2.03 04/18/13 KORN FERRY INTERNATIONAL DE 5.02,8.01 04/17/13 LAKELAND INDUSTRIES INC DE 1.01,9.01 04/19/13 LAZARE KAPLAN INTERNATIONAL INC DE 8.01,9.01 04/23/13 LEHMAN ABS CORP BACKED TRUST CERTS SE DE 8.01,9.01 04/15/13 LEHMAN ABS CORP HSBC DEBENTURE BACKED DE 8.01,9.01 04/12/13 LENCO MOBILE INC. DE 5.02 04/18/13 LEXMARK INTERNATIONAL INC /KY/ DE 2.02,9.01 04/23/13 Liberty Global, Inc. DE 2.03,9.01 04/19/13 LIBERTY PROPERTY TRUST MD 2.02,9.01 04/23/13 LIME ENERGY CO. DE 3.01,9.01 04/17/13 LINCOLN ELECTRIC HOLDINGS INC OH 2.02,9.01 04/23/13 LNB BANCORP INC OH 7.01,9.01 04/23/13 LOCKHEED MARTIN CORP MD 2.02,9.01 04/23/13 MANHATTAN ASSOCIATES INC GA 2.02,5.02,9.01 04/22/13 MB FINANCIAL INC /MD 2.02,9.01 04/22/13 McEwen Mining Inc. CO 7.01,9.01 04/23/13 MEDIVATION, INC. DE 5.02,9.01 04/22/13 MEMSIC Inc 8.01,9.01 04/22/13 MERIDIAN INTERSTATE BANCORP INC 2.02,9.01 04/23/13 MICROVISION INC DE 5.02 04/23/13 MIDDLEFIELD BANC CORP OH 2.02,9.01 04/23/13 Midway Gold Corp A1 7.01,9.01 04/23/13 MidWestOne Financial Group, Inc. IA 5.07,8.01,9.01 04/18/13 MOLEX INC DE 2.02,9.01 04/23/13 MONEYGRAM INTERNATIONAL INC 3.01,9.01 04/22/13 Monster Offers NV 1.01,9.01 04/11/13 Motors Liquidation Co DE 8.01,9.01 04/23/13 MSC INDUSTRIAL DIRECT CO INC NY 1.01,1.02, 04/22/13 2.01,2.03,9.01 MUELLER INDUSTRIES INC DE 2.02,9.01 04/23/13 NAKED BRAND GROUP INC. NV 3.02 04/19/13 Naugatuck Valley Financial Corp 5.02,8.01,9.01 04/18/13 NB&T FINANCIAL GROUP INC OH 2.02,7.01,9.01 04/23/13 NBT BANCORP INC DE 2.02,9.01 04/22/13 NEOGENOMICS INC NV 5.02,9.01 04/19/13 NETFLIX INC DE 3.02 04/23/13 NEW ENERGY SYSTEMS GROUP NV 3.01,8.01,9.01 04/17/13 NEWS CORP 8.01,9.01 04/23/13 NORFOLK SOUTHERN CORP VA 2.02,7.01,9.01 04/23/13 NorthStar Real Estate Income Trust, I MD 1.01,9.01 04/18/13 OCEANEERING INTERNATIONAL INC DE 2.02,8.01,9.01 04/23/13 ONEOK INC /NEW/ OK 7.01,9.01 04/23/13 ONEOK Partners LP DE 7.01,9.01 04/23/13 ORAGENICS INC FL 1.01,9.01 04/19/13 ORBITAL SCIENCES CORP /DE/ DE 2.02,9.01 04/22/13 OWENS ILLINOIS INC /DE/ DE 2.02,9.01 04/23/13 PACCAR INC DE 2.02,9.01 04/23/13 PACIFIC BIOSCIENCES OF CALIFORNIA, IN DE 2.02,9.01 04/23/13 PACIFIC BIOSCIENCES OF CALIFORNIA, IN DE 2.02,9.01 04/23/13 PACIFIC GOLD CORP NV 1.01,9.01 04/12/13 PACIFIC MERCANTILE BANCORP CA 1.01,5.02,7.01,9.01 04/17/13 PACIFIC PREMIER BANCORP INC DE 8.01,9.01 04/23/13 PACKAGING CORP OF AMERICA 2.02,9.01 04/22/13 PANERA BREAD CO DE 2.02,7.01,9.01 04/23/13 PANERA BREAD CO DE 5.02,9.01 04/23/13 PAPA JOHNS INTERNATIONAL INC DE 5.02,9.01 03/19/13 AMEND PARK NATIONAL CORP /OH/ OH 5.02,5.07,8.01,9.01 04/22/13 PARKE BANCORP, INC. NJ 8.01,9.01 04/23/13 PARKER DRILLING CO /DE/ DE 1.01,2.01,2.03, 04/22/13 3.03,7.01,9.01 PARKER HANNIFIN CORP OH 5.05,9.01 04/18/13 PEAPACK GLADSTONE FINANCIAL CORP NJ 8.01,9.01 04/22/13 PEAPACK GLADSTONE FINANCIAL CORP NJ 2.02,9.01 04/23/13 PEDEVCO CORP TX 5.03,8.01,9.01 04/23/13 PEDEVCO CORP TX 4.02 04/22/13 AMEND PENN NATIONAL GAMING INC PA 2.02,2.06,9.01 04/18/13 PENNSYLVANIA REAL ESTATE INVESTMENT T PA 2.02,9.01 04/22/13 PennyMac Mortgage Investment Trust MD 2.02,9.01 04/23/13 PennyMac Mortgage Investment Trust MD 8.01,9.01 04/23/13 PENTAIR LTD V8 2.02,9.01 04/23/13 PEOPLES BANCORP INC OH 2.02,9.01 04/23/13 PETSMART INC DE 5.02 04/22/13 PIONEER NATURAL RESOURCES CO DE 2.02,7.01 04/22/13 Pioneer Southwest Energy Partners L.P DE 2.02,7.01 04/22/13 PMI GROUP INC DE 7.01,9.01 04/23/13 PNC FINANCIAL SERVICES GROUP, INC. PA 2.02,9.01 04/23/13 PNM RESOURCES INC NM 1.01,2.03,9.01 04/22/13 POLARIS INDUSTRIES INC/MN MN 2.02,7.01,9.01 04/23/13 POLYCOM INC DE 2.02,9.01 04/23/13 POTLATCH CORP DE 2.02,9.01 04/23/13 POWERSECURE INTERNATIONAL, INC. DE 8.01,9.01 04/22/13 PRECISION PETROLEUM Corp NV 1.01,9.01 04/19/13 PRECISION PETROLEUM Corp NV 5.02 04/19/13 Prothena Corp plc L2 7.01,8.01,9.01 04/23/13 PROVIDENT NEW YORK BANCORP DE 2.02,9.01 04/22/13 PURE BIOSCIENCE, INC. DE 1.01,3.02,9.01 04/17/13 Pzena Investment Management, Inc. DE 2.02,9.01 03/31/13 QNB CORP PA 2.02,9.01 04/23/13 QUEST DIAGNOSTICS INC DE 8.01 04/19/13 QUESTAR CORP UT 1.01 04/19/13 QUIDEL CORP /DE/ DE 2.02,7.01,9.01 04/23/13 QUINSTREET, INC DE 1.01,5.02,9.01 04/22/13 RADIOSHACK CORP DE 2.02,9.01 03/31/13 RAMCO GERSHENSON PROPERTIES TRUST MD 2.02,7.01,9.01 04/23/13 Rand Logistics, Inc. DE 5.02,8.01,9.01 04/18/13 Realogy Holdings Corp. DE 8.01,9.01 04/23/13 REGIONS FINANCIAL CORP DE 2.02,7.01,9.01 04/23/13 RENASANT CORP MS 2.02,9.01 04/23/13 RENTECH INC /CO/ CO 7.01,8.01,9.01 04/18/13 Rentech Nitrogen Partners, L.P. DE 7.01,9.01 04/18/13 RESOURCES CONNECTION INC DE 8.01,9.01 04/18/13 REX ENERGY CORP DE 7.01,8.01,9.01 04/23/13 REYNOLDS AMERICAN INC 2.02,9.01 04/23/13 RF MICRO DEVICES INC NC 2.02,9.01 04/23/13 ROCKY BRANDS, INC. OH 2.02,9.01 04/23/13 Rosetta Resources Inc. DE 1.01,9.01 04/18/13 ROTATE BLACK INC NV 8.01,9.01 04/23/13 RURBAN FINANCIAL CORP OH 2.02,9.01 04/22/13 RYDER SYSTEM INC FL 2.02,9.01 04/23/13 Ryman Hospitality Properties, Inc. DE 1.01,8.01,9.01 04/18/13 S Y BANCORP INC KY 8.01 04/22/13 S&T BANCORP INC PA 2.02,8.01,9.01 04/22/13 SAIC, Inc. 1.01,9.01 04/19/13 Sanborn Resources, Ltd. DE 1.01,9.01 04/17/13 SBA COMMUNICATIONS CORP FL 1.01,2.03,9.01 04/04/13 SEACOR HOLDINGS INC /NEW/ DE 7.01 04/22/13 SECURITY FEDERAL CORP SC 2.02,9.01 04/22/13 Sensata Technologies Holding N.V. P7 2.02,9.01 04/23/13 Shire plc 8.01,9.01 04/23/13 SMITH A O CORP DE 2.02,9.01 04/23/13 SOLITRON DEVICES INC DE 5.03,9.01 04/22/13 SONIC AUTOMOTIVE INC DE 2.02,5.07,7.01,9.01 04/17/13 SOUTHERN CO DE 2.02,7.01 04/23/13 SOUTHERN FIRST BANCSHARES INC SC 2.02,9.01 04/23/13 SOUTHSIDE BANCSHARES INC TX 5.07 04/23/13 AMEND SOUTHWEST GEORGIA FINANCIAL CORP GA 2.02,9.01 03/31/13 SPARK NETWORKS INC DE 2.02,9.01 04/23/13 SPECTRANETICS CORP DE 2.02,9.01 04/23/13 STANCORP FINANCIAL GROUP INC OR 2.02,9.01 04/23/13 STATE BANK FINANCIAL CORP GA 7.01,9.01 04/23/13 STREAMTRACK, INC. 4.02 04/22/13 STRUCTURED PRODUCTS CORP CORTS FOR PR DE 8.01,9.01 04/17/13 STRUCTURED PRODUCTS CORP CORTS TR III DE 8.01,9.01 04/17/13 STUDIO ONE MEDIA, INC. DE 5.02 04/16/13 SUNOCO LOGISTICS PARTNERS L.P. DE 8.01,9.01 04/23/13 Super Micro Computer, Inc. CA 2.02,9.01 04/23/13 SYNOVUS FINANCIAL CORP GA 8.01 04/22/13 SYNOVUS FINANCIAL CORP GA 2.02,7.01,9.01 04/23/13 TAIWAN FUND INC DE 7.01,9.01 03/31/13 Targeted Medical Pharma, Inc. 2.02,7.01,9.01 04/23/13 Tennessee Valley Authority 1.01,9.01 04/18/13 Texas Rare Earth Resources Corp. DE 7.01,9.01 04/21/13 TherapeuticsMD, Inc. NV 8.01,9.01 04/19/13 Thermon Group Holdings, Inc. DE 1.01,2.03,2.04,9.01 04/22/13 Tonix Pharmaceuticals Holding Corp. NV 5.07 04/19/13 TORCHMARK CORP DE 2.02,9.01 04/23/13 TOTAL SYSTEM SERVICES INC GA 2.02,7.01,9.01 04/23/13 Tower International, Inc. DE 5.07 04/19/13 TRAVELERS COMPANIES, INC. MN 2.02,9.01 04/23/13 TRUE RELIGION APPAREL INC DE 1.01,5.02,9.01 04/17/13 Truli Media Group, Inc. 1.01,9.01 04/23/13 Trunkbow International Holdings Ltd NV 3.01,5.02,8.01,9.01 04/18/13 TRUSTMARK CORP MS 2.02,9.01 04/23/13 Tungsten Corp. NV 1.01,3.02,9.01 04/19/13 TWIN DISC INC WI 2.02,7.01,9.01 04/23/13 U.S. Auto Parts Network, Inc. DE 1.01,2.01,9.01 04/17/13 UMB FINANCIAL CORP MO 2.02,9.01 04/23/13 Uni-Pixel DE 8.01,9.01 04/23/13 UNIGENE LABORATORIES INC DE 8.01,9.01 04/16/13 UNISYS CORP DE 2.02,9.01 04/23/13 UNITED BANCORP INC /OH/ OH 2.02,5.02,5.07,9.01 04/17/13 UNITED BANCSHARES INC/OH OH 2.02,7.01,9.01 03/31/13 UNITED TECHNOLOGIES CORP /DE/ DE 2.02,9.01 04/23/13 UNITIL CORP NH 5.02,5.07 04/18/13 US AIRWAYS GROUP INC DE 2.02,9.01 04/23/13 US AIRWAYS GROUP INC DE 7.01,9.01 04/23/13 US ENERGY CORP WY 7.01,9.01 04/23/13 USANA HEALTH SCIENCES INC UT 2.02,9.01 04/23/13 VASCULAR SOLUTIONS INC MN 2.02,9.01 04/23/13 VICON INDUSTRIES INC /NY/ NY 1.01,9.01 04/17/13 VITAMIN BLUE, INC. DE 8.01,9.01 04/17/13 VLOV INC. NV 8.01 04/19/13 VMWARE, INC. DE 2.02,9.01 04/23/13 Vocus, Inc. DE 2.02,9.01 04/23/13 Voice Assist, Inc. NV 3.02,5.02 04/23/13 Voltari Corp DE 3.03,5.03,7.01,9.01 04/23/13 WADDELL & REED FINANCIAL INC DE 2.02,9.01 04/23/13 WATERS CORP /DE/ DE 2.02,9.01 04/23/13 WAUSAU PAPER CORP. WI 5.07,8.01 04/18/13 WELLPOINT, INC IN 5.02,9.01 04/23/13 WELLS FARGO & COMPANY/MN DE 9.01 04/23/13 WILSHIRE BANCORP INC 2.02,9.01 04/22/13 World Energy Solutions, Inc. DE 5.02 04/17/13 WYNN RESORTS LTD 7.01,9.01 04/23/13 XEROX CORP NY 2.02,9.01 04/23/13 YUM BRANDS INC NC 2.02,9.01 04/23/13 ZHONG SEN INTERNATIONAL TEA CO FL 4.01 04/17/13 ZIX CORP TX 2.02,9.01 04/23/13 ZULU ENERGY CORP. CO 5.02,5.07 04/03/13