“Wake Me Up When September Ends” -Green Day

It has been a rough 3 months. In fact, it has been the worst 3 months since 2011. Unfortunately, we were prescient in our last letter when we said “The reason for our increased caution is China. China is dealing with a myriad of financial, societal and governmental issues, any of which could affect our markets.” China has been, and continues to be, an albatross for the global economy.

As long term value investors, we are never completely out of the market. So while we took action ahead of the market turmoil, we understand that losses (even losses that are only half of the overall market losses) are hard to take. We continue to evaluate our holdings every day to make sure that you are properly invested.

We have gone through a market correction. Looking at the strength of the U.S. economy, it does not look like the current correction will push us into a recession. Unemployment is at 5.1%. U.S 2nd Quarter GDP has been revised up to 3.9%. The low price of oil is allowing the U.S. consumer to start spending again. Historically, the first and second week of October have been the low marks for the year. We are hopeful that this trend continues in that the market can get on track and recover through yearend.

Cyber security and cyber fraud continue to be big concerns in our business. In the next quarter, we will be sending you an additional mailing with tips on how you can protect yourself from cyber fraud. In addition, please be understanding of our concerns when we call to verify any unusual activity that we see in your account. While we do not have asset movement authorization for your account, we want to make sure that someone else doesn’t either.

Very truly yours,

Michael F. Cantlon

Thomas E. Guyett

Robert T. Gephart