April 22, 2002

Dear Client:

Most of the major market indices increased negligibly in the first quarter. The exceptions were U.S. Small Cap stocks (up 3.7%) and technology and health care stocks (down about 6%).

Consumer products, food and agricultural stocks, and real estate investment trusts continued to outperform the rest of the U.S. stock market. Since 9/11 we have increased clients' investments in these sectors.

Although the International Stock index was basically flat for the quarter, our clients' foreign mutual fund investments had strong gains. Most of our portfolios include Tweedy Browne Global Value, Harbor International, and/or Fidelity Diversified International funds, which returned 7%, 7% and 5% respectively.

We saw good results in U.S. Small Cap fund investments as well. Although the Small-Cap index (the Russell 2000) gained about 4%, the funds we employ in most portfolios gained over 8%, including Goldman Sachs Small Cap Value, Royce Total Return and Royce Low Priced Stock.

Technology and health care stocks continued to perform poorly this quarter. The Nasdaq Composite declined 6%, bringing the total loss since March 2000 to -70%. It is hard to predict the end of the technology debacle. More importantly, what are the chances of a quick recovery? Valuations of technology stocks are still high by historical standards, as are the valuations of the S&P 500 overall. We are holding off on increasing technology and health care weightings at this time.

I hope you are pleased with the performance of your portfolio. I appreciate the opportunity you have given me to help manage your finances.

Please call me if you have questions or wish to discuss your portfolio in greater detail.

Regards,

Audrey Grubman, CFP^®