Treasurer Lemoine Announces Agreement with Merrill Lynch

August 28, 2008

(Augusta) State Treasurer David Lemoine announced today that the State has reached an agreement with Merrill Lynch concerning the Mainsail II commercial paper. In making the announcement, Lemoine issued the following statement:

“I want to thank Attorney General Steve Rowe, Acting Securities Administrator Bonnie Russell, and Assistant Attorney General Mike Colleran for bringing us together with Merrill Lynch so that we could amicably resolve our concerns to the benefit of both the State of Maine and Merrill Lynch. We have reached an agreement with Merrill Lynch that concludes my goal of satisfactorily resolving issues related to one transaction last summer. The agreement involves the purchase of the Mainsail II commercial paper by Merrill Lynch at the price paid by the State, approximately $20 million. We commend Merrill Lynch for the amicable manner in which this settlement was reached. Merrill Lynch is in good standing with the State of Maine, and we look forward to a mutually beneficial future.”