Contact: Michael Warden, (512) 499-4363

Date: April 29, 2004

UT System News Release

Regents Approve Recommendations of UTIMCO Review

AUSTIN – The University of Texas System Board of Regents today unanimously voted to adopt recommendations made by a working group appointed in February to review the current structure and services provided by the University of Texas Investment Management Company. Charles Miller, chairman of the Board of Regents, appointed the working group to assist the Board in its ongoing review of its fiduciary role and responsibilities in the management and oversight of UTIMCO.

The Board authorized Mark G. Yudof, chancellor of the UT System, to recommend more effective oversight and policies regarding:

• Investment policies
• Selection of outside UTIMCO directors
• Budget review (including compensation)
• Review of the Investment Management Services Agreement between the Board of Regents and UTIMCO
• Assignment of UT System staff and consultants relating to UTIMCO activities

The Chancellor of the UT System will now work with staff and UTIMCO to develop proposed policies and changes authorized by the motion and report back to the Board of Regents on those changes for their approval. That work will take place over the course of the next several months as the Board begins implementation of recommendations of the review group.

Archived webcast of the Board meeting

Approved Board Motion from Open Session, April 29, 2004 (by Regent Estrada/Seconded Vice Chairman Krier)

UT System Staff Observations and Recommendations on UTIMCO Review Issues

Report of UTIMCO Working Group

Regents Announce Working Group to Review UTIMCO (Feb. 3, 2004)

UT System Regents Approve Agenda Items in Final Meeting of 2003 (Dec. 19, 2003) [includes UTIMCO items and resolution]

UTIMCO website