Investor Presentaiton

Update on Accelerated Pension Benefits Program • Accelerated Pension Benefit Programs (P.A. 100-587) • The Pension Buyout Program: Eligible members of SERS, TRS and SURS who have terminated service may forfeit all rights to future benefit payments in exchange for an accelerated pension benefit payment equal to 60% of the present value of the pension benefit to which the member is entitled • The AAI Reduction Program: At the time of retirement, eligible Tier 1 members of SERS, TRS and SURS may forfeit the 3%, compounded automatic annual increase ("AAI") in exchange for (i) a delayed 1.5% non-compounded AAI and (ii) an accelerated pension benefit payment from the State equal to 70% of the difference in the present value of such AAls • Public Act 101-0010 (enacted June 5, 2019) extended the end date of the programs from June 30, 2021 to June 30, 2024 BEAL · Updates: THE STATE OF ILLINOIS AUG 94 1818 • As of March 4, 2021, the balance in the Pension Obligation Acceleration Bond Fund was approximately $65 million • As of February 6, 2021, SERS' AAI Reduction Program participation was 25% and its Pension Buyout Program participation was 1% • As of February 15, 2021, TRS' AAI Reduction Program participation was 17% and its Pension Buyout Program participation was 10% 20 20

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