NewRiver Delivers Comments to the SEC Regarding Summary Prospectus Rule

Creators of the Leading Central Repository of Mutual Fund Documents and Data Emphasizes the Technology is Already in Place to Address Key Concerns

Media Contacts:

Chris McCoin or Richard Smith
McCoin & Smith Communications LLC
508-429-5988 (Chris) or 978-433-3304 (Rick)
chris@mccoinsmith.com or rick@mccoinsmith.com

Andover, MA, April 22, 2008 – In an April 18 meeting with the Securities and Exchange Commission (SEC), NewRiver Inc. emphasized that most of the concerns and comments posted by both the industry and public concerning the Summary Prospectus can be answered through the use of existing technology and processes.  NewRiver is currently providing similar technological solutions to more than 100 of the leading financial services firms, including more than 3 million prospectus e-deliveries to investors. The technology is already in place to address major industry concerns including:

• Layered disclosure - investors seeking more information beyond what is contained in the Summary Prospectus would be able to access such information fast and efficiently online.
• Quarterly updates – NewRiver currently enables delivery of daily updates directly from the SEC EDGAR system.
• Static view of disclosure documents through the use of permalinks, making the original document available after it has been archived.

Separate from the SEC meeting, NewRiver is also prepared to address a public comment which poses an additional challenge for the adoption of the rule.  The Securities Industry and Financial Markets Association (SIFMA) – which brings together the shared interests of more than 650 securities firms, banks and asset managers – has commented that the industry will need a utility or third party vendor to make the statutory prospectus available via the Internet.  The concern is that intermediaries distribute hundreds and sometimes thousands of different funds across many fund families, and it may be operationally and economically unfeasible to download and maintain the vast quantity of information that would be required through multiple fund websites.  In addition, pointing clients to multiple websites would be confusing and could compromise client confidentiality. (see http://www.sec.gov/comments/s7-28-07/s72807-88.pdf)

NewRiver already addresses this issue through Prospectus Express which is utilized by nearly 100 brokerage firms servicing more than 50 million investors.  NewRiver has also developed a solution that can not only make the summary prospectus available online, but also links directly to the statutory prospectus in support of the SEC’s concept of layered disclosure.  This online service will enable both prospectus versions to be delivered via print-on-demand technology and the delivery of a trade confirmation at the same time -- promoting greater operational efficiencies and cost reductions associated with postage and fulfillment.  NewRiver’s product roadmap is positioned to address most technology issues and can either support firms directly or partner with other firms via an industry utility.

“The overwhelming support of the Summary Prospectus Rule comes as no real surprise because it is something people have been requesting for years and in our opinion is long overdue,” said Russell Planitzer, President and CEO of NewRiver.  “The ICI has been conducting research on this issue for the past 10 years, including a survey in February 2008.  At the same time, broker/dealers have been struggling to better meet the needs of their investors.  By embracing the Internet, our technology helps create a competitive landscape that sparks innovation for companies that manufacture, distribute, and service mutual funds.  Clearly this is needed, considering nearly half of the public comments to the SEC came directly from individual investors looking for better mutual fund disclosure.”

NewRiver has also found one estimate of industry savings amounting to $300 million per year for printing and postage costs to be conservative (see http://www1.newriver.com/news_events/news/paper_form2.php).  Based on findings confirmed through extensive visits with customers and industry firms, the savings is likely to be much greater.

About the SEC Summary Prospectus
On November 21, 2007, the Securities and Exchange Commission announced a proposed rule for a shorter version of the standard mutual fund prospectus, or “Summary Prospectus” (see http://www.sec.gov/rules/proposed/2007/33-8861.pdf). The document addresses key questions surrounding the rule such as what it entails, potential industry impact, and next steps.  The key objectives of this initiative are to get investors a concise summary document containing key information about a fund; to simplify disclosure, and enable easier funds comparisons; to supply investors with information that is easier to use and more readily accessible; to help investors who are overwhelmed by the choices among funds which are too often described in lengthy and legalistic prospectuses; and to provide investors with ready access to information that is important to making an informed investment decision, including information about fund fees.  The comment period for this proposal closed on February 28, 2008 and a final rule is expected later this year.

Additional information on the Summary Prospectus can be found at http://www1.newriver.com/summary_prospectus/index.php as well as at www.summaryprospectus.com.

About NewRiver, Inc.
NewRiver develops innovative technology solutions that help financial leaders simplify investor disclosure - providing transparency and cost savings to the delivery of fund data and investor communications.  Since 1995, the company has helped some of the world's leading financial organizations move from paper to electronic disclosure via an easy to use, cost-effective, managed service offering.  NewRiver pioneered the first electronic prospectus, and is the only company to guarantee its data to be "compliance grade" which allows customers to reduce risk, lower compliance costs and increase revenues.  Through a patent-pending, automated process NewRiver efficiently monitors 6.5 million data points from over 23,500 fund CUSIPs.  Further, the company's unique "paperless" approach improves the investor experience while offering a real alternative to the environmental impact of paper-only delivery.  Relied on daily by over 100 leading financial services firms, and millions of investors, NewRiver is a trusted and growing solution provider facilitating the transition from paper-based mutual fund information, to electronic.  To learn more, please visit our website www.newriver.com or call 978-247-7200.

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Prospectus Express is a registered trademark of NewRiver, Inc. The names of actual companies or products mentioned herein may be the trademarks of their respective owners.