Item 2.05. Costs Associated with Exit or Disposal Activities.

As a financial services company, the Registrant is navigating through the current challenging economic environment. In response to this, on May 13, 2008, the Registrant reduced its staffing by approximately 14%. This action was part of an overall effort to reduce operating costs in light of the Registrant's decision to moderate growth in fiscal 2008.
Approximately 51 employees were affected as a result of the staff reduction. On May 13, 2008, the Registrant notified the affected employees. The Registrant currently estimates that, in connection with this reduction, it will incur pre-tax costs in fiscal second quarter of approximately $485,000, almost all of which is related to severance costs. The total annualized pre-tax cost savings that are expected to result from this reduction are estimated to be approximately $2.64 million. Although the Registrant believes that its estimates are appropriate and reasonable based on available information, actual results could differ from these estimates.

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