From: Barrett, Paul S Sent: Monday, October 3, 2011 1:53 PM To: Jeffrey epstein Cc: Ens, Amanda Subject: RE: Update Jeffrey We are now up $1.1MM for the year and down $5.8MM since inception. We are still seeing more funding stress in European banks. We own 2.5MM face of the MG Pfds which I think we should sell. The company tried to call these at par earlier in the year but the Dutch govt rejected this request and the long spread duration embedded here makes us think we should cut. We paid 97 for them. Would work 72 to sell. In the US we should sell the 2MM of our Wachovia Pfds we own. Same story —just looking to reduce financial pfd exposure. Paid 93.50. Would work 83.00 to sell. We have protection on half our MS and Telefonica positions. Corn was down 5% on Friday's inventory report. We are still up $1.5MM on this position. I think we spend some of these profits on a 1 month put. If China fears accelerate there could be significant downside from here and would like to protect these gains. Let me know Paul EFTA_R1_00087071 EFTA01773938