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07 - April 2017TOTAL VALUE OF YOUR ACCOUNT (as of 4/30/17)$16,160,294.51 Includes Accrued Interest CLIENT STATEMENT For the Period April 1-30, 2017 660 - 110000 - 095 -1 - 0 STATEMENT FOR: CITY OF ATLANTIC BEACH C/O RUSSELL CAFFEY Morgan Stanley Smith Barney LLC. Member SIPC. Access Your Account Online: www.morganstanley.com/online Your Financial Advisor Team BAGWELL/BRIDGES/TAYLOR 407-849-4700 Your Branch 201 E. PINE ST 11TH FL ORLANDO, FL 32801 Telephone:407-849-4700 ; Alt. Phone:800-869-0007 ; Fax:407-849-4797 #BWNJGWM CITY OF ATLANTIC BEACH C/O RUSSELL CAFFEY 800 SEMINOLE ROAD ATLANTIC BCH FL 32233-5444 Client Service Center (24 Hours a Day; 7 Days a Week): 800-869-3326 Standard Disclosures CLIENT STATEMENT For the Period April 1-30, 2017 Page 2 of 22 The following Disclosures are applicable to the enclosed statement(s). Expanded Disclosures are attached to your most recent June and December statement (or your first Statement if you have not received a statement for those months). The Expanded Disclosures are also available by selecting Account Documents when you log on to www.morganstanley.com/online or, call 800-869-3326. Questions? Questions regarding your account may be directed to your Financial Advisor or the Branch Manager of the office where you maintain your account, using the contact information on the statement cover page, or the Client Service Center at (800) 869-3326. Errors and Inquiries Be sure to review your statement promptly, and immediately address any concerns regarding entries that you do not understand or believe were made in error by contacting the Branch Manager of the office where you maintain your account. Oral communications regarding any inaccuracy or discrepancy in this statement should be re-confirmed in writing to further protect your rights, including rights under the Securities Investor Protection Act (SIPA). Your statement will be deemed correct unless we receive a written inquiry of a suspected error. See your account documentation for special rules regarding your rights and responsibilities with respect to erroneous electronic fund transfers, including a description of the transfers covered. For concerns or complaints, contact our Client Relations Department at (866) 227-2256. Senior Investor Helpline For concerns or complaints, Senior Investors may contact our Firm by calling (800) 280-4534. Availability of Free Credit Balances and Financial Statements Under the customer protection rules of the SEC [17 CFR §240.15c3-3], we may use funds comprising free credit balances carried for customer accounts here, provided that these funds are payable to customers on demand (i.e., are free of a lien or right of set-off in our favor or on behalf of some third party to whom you have given control). A financial statement of this organization is available for your personal inspection at its offices, or a copy will be mailed to you upon your written request. Listed Options Information with respect to commissions and other charges related to the execution of options transactions has been included in confirmations of such transactions previously furnished to you and such information will be made available to you promptly at your request. Promptly advise us of any material change in your investment objectives or financial situation. Important Information if you are a Margin Customer (not available for certain retirement accounts) If you have margin privileges, you may borrow money from us in exchange for pledging assets in your accounts as collateral for any outstanding margin loan. The amount you may borrow is based on the value of the eligible securities in your margin accounts. If a security has eligible shares, the number of shares pledged as collateral will be indicated below the position. Margin Interest Charges We calculate interest charges on margin loans as follows: (1) multiply the applicable margin interest rate by the daily close of business net settled debit balance, and (2) divide by 360 (days). Margin interest accrues daily throughout the month and is added to your debit balance at month-end. The month-end interest charge is the sum of the daily accrued interest calculations for the month. We add the accrued interest to your debit balance and start a new calculation each time the applicable interest rate changes and at the close of every statement month. For interest rate information, log into your Morgan Stanley account at morganstanley.com/online. Select your account with a Margin agreement and click Interest Rates for more information. Information regarding Special Memorandum Account If you have a Margin Account, this is a combined statement of your Margin Account and Special Memorandum Account maintained for you under Section 220.5 of Regulation T issued by the Board of Governors of the Federal Reserve System. The permanent record of the Special Memorandum Account as required by Regulation T is available for your inspection at your request. Important Information About Auction Rate Securities For certain Auction Rate Securities there is no or limited liquidity. Therefore, the price(s) for these Auction Rate Securities are indicated by N/A (not available). There can be no assurance that a successful auction will occur or that a secondary market exists or will develop for a particular security. Structured Investments Risks and Considerations Structured Investments (Structured Products) are complex products and may be subject to special risks. Investors should consider the concentration risk of owning the related security and their total exposure to any underlying asset. Structured Investments, which may appear in various statement product categories and are identified on the Position Description Details line as “Asset Class: Struct Inv,” may not perform in a manner consistent with the statement product category where they appear and therefore may not satisfy portfolio asset allocation needs for that category. For information on the risks and conflicts of interest related to Structured Investments generally, log in to Morgan Stanley Online and go to www.morganstanley.com/structuredproductsrisksandconflicts. Security Measures This statement features several embedded security elements to safeguard its authenticity. One is a unique security mark-a blue rectangle printed in heat-sensitive ink on the back of every page. When exposed to warmth, the blue rectangle will disappear, and then reappear. SIPC Protection We are a member of Securities Investor Protection Corporation (SIPC), which protects securities of its customers up to $500,000 (including $250,000 for claims for cash). An explanatory brochure is available upon request or at www.sipc.org. Losses due to market fluctuation are not protected by SIPC and assets not held with us may not be covered by SIPC protection. To obtain information about SIPC, including an explanatory SIPC brochure, contact SIPC at 1-202-371-8300 or visit www.sipc.org. Transaction Dates and Conditions Upon written request, we will furnish the date and time of a transaction and the name of the other party to a transaction. We and/or our affiliates may accept benefits that constitute payment for order flow. Details regarding these benefits and the source and amount of any other remuneration received or to be received by us in connection with any transaction will be furnished upon written request. Equity Research Ratings Definitions and Global Investment Manager Analysis Status Some equity securities may have research ratings from Morgan Stanley & Co. LLC or Morningstar, Inc. Research ratings are the research providers’ opinions and not representations or guarantees of performance. For more information about each research provider's rating system, see the Research Ratings on your most recent June or December statement (or your first statement if you have not received a statement for those months), go to www.morganstanley.com/online or refer to the research provider’s research report. Research reports contain more complete information concerning the analyst's views and you should read the entire research report and not infer its contents from the rating alone. If your account contains an advisory component or is an advisory account, a GIMA status will apply. Credit Ratings from Moody's Investors Service and Standard & Poor's The credit rating from Moody's Investors Service and Standard & Poor's may be shown for certain securities. All credit ratings represent the opinions of the provider and are not representations or guarantees of performance. Your Financial Advisor will be pleased to provide you with further information or assistance in interpreting these credit ratings. Revised 01/2017 Consulting and Evaluation Services Active Assets Account 660-110000-095 CHANGE IN VALUE OF YOUR ACCOUNTS (includes accrued interest) This Period (4/1/17-4/30/17) This Year (1/1/17-4/30/17) TOTAL BEGINNING VALUE $16,147,541.69 $16,100,433.59 Credits —1,839.01 Debits (7,246.45)(12,491.07) Security Transfers —— Net Credits/Debits/Transfers $(7,246.45)$(10,652.06) Change in Value 19,999.27 70,512.98 TOTAL ENDING VALUE $16,160,294.51 $16,160,294.51 Net Credits / Debits include investment advisory fees as applicable. See Activity section for details. MARKET VALUE OVER TIME The below chart displays the most recent thirteen months of Market Value. CLIENT STATEMENT For the Period April 1-30, 2017 Account Summary CITY OF ATLANTIC BEACH C/O RUSSELL CAFFEY This asset allocation represents holdings on a trade date basis, and projected settled Cash/ BDP and MMF balances. These classifications do not constitute a recommendation and may differ from the classification of instruments for regulatory or tax purposes. APR MAY JUN JUL AUG SEP OCT NOV DEC JAN FEB MAR APR 13 14 15 16 17 18 ($ ) M i l l i o n s This chart does not reflect corrections to Market Value made subsequent to the dates depicted. It may exclude transactions in Annuities or positions where we are not the custodian, which could delay the reporting of Market Value. 2016 2017 Page 3 of 22 ASSET ALLOCATION (includes accrued interest) Cash Fixed Income & Preferreds Market Value Percentage Cash $1,931,878.60 11.95 Fixed Income & Preferreds 14,228,415.91 88.05 TOTAL VALUE $16,160,294.51 100.00% FDIC rules apply and Bank Deposits are eligible for FDIC insurance but are not covered by SIPC. Cash and securities (including MMFs) are eligible for SIPC coverage. See Expanded Disclosures. Values may include assets externally held, which are provided to you as a courtesy, and may not be covered by SIPC. For additional information, refer to the corresponding section of this statement. Account Summary CLIENT STATEMENT For the Period April 1-30, 2017 Consulting and Evaluation Services Active Assets Account 660-110000-095 CITY OF ATLANTIC BEACH C/O RUSSELL CAFFEY Page 4 of 22 BALANCE SHEET (^ includes accrued interest) Last Period (as of 3/31/17) This Period (as of 4/30/17) Cash, BDP, MMFs $543,478.65 $2,062,895.23 Corporate Fixed Income^3,786,402.19 4,262,235.27 Government Securities^11,817,483.55 9,966,180.64 Net Unsettled Purchases/Sales 177.30 (49,969.30) Total Assets $16,147,541.69 $16,241,341.84 Cash, BDP, MMFs (Debit)—(81,047.33) Total Liabilities (outstanding balance)—$(81,047.33) TOTAL VALUE $16,147,541.69 $16,160,294.51 CASH FLOW This Period (4/1/17-4/30/17) This Year (1/1/17-4/30/17) OPENING CASH, BDP, MMFs $543,478.65 $4,239,844.93 Purchases (959,936.34)(20,614,147.54) Dividend Reinvestments —(22,669.13) Sales and Redemptions 2,343,541.17 18,251,280.70 Prior Net Unsettled Purch/Sales 177.30 N/A Net Unsettled Purch/Sales 49,969.30 49,969.30 Return of Principal 3,504.95 7,753.47 Income and Distributions 8,359.32 80,468.23 Total Investment Related Activity $1,445,615.70 $(2,247,344.97) Other Credits —1,839.01 Other Debits (7,246.45)(12,491.07) Total Cash Related Activity $(7,246.45)$(10,652.06) Total Card/Check Activity —— CLOSING CASH, BDP, MMFs $1,981,847.90 $1,981,847.90 INCOME AND DISTRIBUTION SUMMARY This Period (4/1/17-4/30/17) This Year (1/1/17-4/30/17) Other Dividends —$22,460.98 Interest 8,359.32 39,825.23 Total Taxable Income And Distributions $8,359.32 $62,286.21 Total Tax-Exempt Income —— TOTAL INCOME AND DISTRIBUTIONS $8,359.32 $62,286.21 Taxable and tax exempt income classifications are based on the characteristics of the underlying securities and not the taxable status of the account. GAIN/(LOSS) SUMMARY Realized This Period (4/1/17-4/30/17) Realized This Year (1/1/17-4/30/17) Unrealized Inception to Date (as of 4/30/17) Short-Term Gain $7,823.95 $10,973.76 $12,003.72 Short-Term (Loss)(420.46)(6,435.94)(17,854.50) Total Short-Term $7,403.49 $4,537.82 $(5,850.78) Long-Term Gain —10,958.01 — Long-Term (Loss)—(90,901.54)— Total Long-Term —$(79,943.53)— TOTAL GAIN/(LOSS)$7,403.49 $(75,405.71)$(5,850.78) The Gain/(Loss) Summary, which may change due to basis adjustments, is provided for informational purposes and should not be used for tax preparation. Refer to Gain/(Loss) in the Expanded Disclosures. Account Summary CLIENT STATEMENT For the Period April 1-30, 2017 Consulting and Evaluation Services Active Assets Account 660-110000-095 CITY OF ATLANTIC BEACH C/O RUSSELL CAFFEY Page 5 of 22 ADDITIONAL ACCOUNT INFORMATION Category This Period (4/1/17-4/30/17) This Year (1/1/17-4/30/17)Category This Period (4/1/17-4/30/17) This Year (1/1/17-4/30/17) Accrued Interest Paid $3,476.31 $53,567.84 Accrued Interest Received 6,094.50 11,453.05 U.S. Treasury Coupon Interest 202.02 23,202.02 Account Detail CLIENT STATEMENT For the Period April 1-30, 2017 Consulting and Evaluation Services Active Assets Account 660-110000-095 Investment Objectives †: Income,Capital Appreciation,Aggressive Income,Speculation Investment Advisory Account Manager:GALLIARD CAPITAL MANAGEMENT, INC. CITY OF ATLANTIC BEACH C/O RUSSELL CAFFEY Page 6 of 22 † Inform us if your investment objectives, as defined in the Expanded Disclosures, change. HOLDINGS This section reflects positions purchased/sold on a trade date basis. "Market Value" and "Unrealized Gain/(Loss)" may not reflect the value that could be obtained in the market. Fixed Income securities are sorted by maturity or pre-refunding date, and alphabetically within date. Estimated Annual Income a) is calculated on a pre-tax basis, b) does not include any reduction for applicable non-US withholding taxes, c) may include return of principal or capital gains which could overstate such estimates, and d) for securities that have a defined maturity date within the next 12 months, is reflected only through maturity date. Actual income or yield may be lower or higher than the estimates. Current yield reflects the income generated by an investment, and does not reflect changes in its price. Structured Investments, identified on the Position Description Details line as "Asset Class: Struct Inv," may appear in various statement product categories. When displayed, the accrued interest, annual income and current yield for those with a contingent income feature (e.g., Range Accrual Notes or Contingent Income Notes) are estimates and assume specified accrual conditions are met during the relevant period and payment in full of all contingent interest. For Floating Rate Securities, the accrued interest, annual income and current yield are estimates based on the current floating coupon rate and may not reflect historic rates within the accrual period. CASH, BANK DEPOSIT PROGRAM AND MONEY MARKET FUNDS Cash, Bank Deposit Program, and Money Market Funds are generally displayed on a settlement date basis. You have the right to instruct us to liquidate your bank deposit balance(s) or shares of any money market fund balance(s) at any time and have the proceeds of such liquidation remitted to you. Estimated Annual Income, Accrued Interest, and APY% will only be displayed for fully settled positions. Description Market Value 7-Day Current Yield %Est Ann Income APY % CASH $(81,047.33) MSILF GOVT SEC PART 62,883.26 0.340 213.80 — MORGAN STANLEY PRIVATE BANK NA #1,755,009.56 —351.00 0.020 MORGAN STANLEY BANK N.A. #245,002.41 —49.00 0.020 BANK DEPOSITS $2,000,011.97 $400.00 Percentage of Holdings Market Value Est Ann Income CASH, BDP, AND MMFs $1,981,847.90 $613.80 NET UNSETTLED PURCHASES/SALES $(49,969.30) CASH, BDP, AND MMFs (PROJECTED SETTLED BALANCE)11.95%$1,931,878.60 # Bank Deposits are held at Morgan Stanley Bank, N.A. and/or Morgan Stanley Private Bank, National Association, affiliates of Morgan Stanley Smith Barney LLC and each a national bank and FDIC member. Certain money market funds classified as government funds and retail funds seek (although they cannot guarantee) to maintain a share price of $1.00, therefore the dollar amounts listed equal the number of shares. Additional information concerning these transactions is available upon request. For more information about the pricing of Money Market Funds, please see the Expanded Disclosures. The money market funds reflected above include the balances in your automatic sweep feature, if any, and may include other money market funds that have been purchased in your account. Account Detail CLIENT STATEMENT For the Period April 1-30, 2017 Consulting and Evaluation Services Active Assets Account 660-110000-095 CITY OF ATLANTIC BEACH C/O RUSSELL CAFFEY Page 7 of 22 Percentage of Holdings Market Value Est Ann Income The “Projected Settled Balance” includes accrued interest on deposits and reflects the impact of unsettled purchases/sales. CORPORATE FIXED INCOME CORPORATE BONDS Security Description Trade Date Face Value Orig Unit Cost Adj Unit Cost Unit Price Orig Total Cost Adj Total Cost Market Value Unrealized Gain/(Loss) Est Ann Income Accrued Interest Current Yield % ECOLAB INC Coupon Rate 1.450%; Matures 12/08/2017; CUSIP 278865AP5 3/2/17 50,000.000 $99.929 $99.929 $99.870 $49,964.50 $49,964.50 $49,935.00 $(29.50)ST $725.00 $285.97 1.45 Int. Semi-Annually Jun/Dec 08; Yield to Maturity 1.666%; Moody BAA1 S&P A-; Issued 12/13/12; Asset Class: FI & Pref BECTON DICKINSON AND CO Coupon Rate 1.800%; Matures 12/15/2017; CUSIP 075887BD0 3/7/17 35,000.000 100.229 100.187 99.935 35,080.15 35,065.32 34,977.25 (88.07)ST 630.00 236.25 1.80 Int. Semi-Annually Jun/Dec 15; Yield to Maturity 1.904%; Moody BAA2 (-) S&P BBB+ (-); Issued 12/15/14; Asset Class: FI & Pref MORGAN STANLEY SER-F Coupon Rate 1.875%; Matures 01/05/2018; CUSIP 61761JVM8 3/21/17 30,000.000 100.187 100.162 100.181 30,056.10 30,048.73 30,054.30 5.57 ST 563.00 179.68 1.87 Int. Semi-Annually Jan/Jul 05; Yield to Maturity 1.605%; Moody A3 S&P BBB+; Issued 12/05/14; Asset Class: FI & Pref REALTY INCOME CORPORATION Coupon Rate 2.000%; Matures 01/31/2018; CUSIP 756109AM6 3/3/17 55,000.000 100.347 100.290 100.204 55,190.85 55,159.55 55,112.20 (47.35)ST 1,100.00 275.00 1.99 Int. Semi-Annually Jan/Jul 31; Callable $100.00 on 12/31/17; Yield to Call 1.691%; Moody BAA1 S&P BBB+; Issued 10/10/12; Asset Class: FI & Pref AIRGAS INC Coupon Rate 1.650%; Matures 02/15/2018; CUSIP 009363AN2 3/9/17 50,000.000 100.124 100.106 100.180 50,062.00 50,053.23 50,090.00 36.77 ST 825.00 171.87 1.64 Int. Semi-Annually Feb/Aug 15; Callable $100.00 on 01/15/18; Yield to Call 1.393%; Moody A3 S&P A-; Issued 02/14/13; Asset Class: FI & Pref NORTHERN STATES PWR MINN Coupon Rate 5.250%; Matures 03/01/2018; CUSIP 665772CD9 3/3/17 45,000.000 103.651 103.087 103.035 46,642.95 46,389.35 46,365.75 (23.60)ST 2,363.00 387.18 5.09 Int. Semi-Annually Mar/Sep 01; Yield to Maturity 1.579%; Moody AA3 S&P A; Issued 03/18/08; Asset Class: FI & Pref PECO ENERGY CO Coupon Rate 5.350%; Matures 03/01/2018; CUSIP 693304AL1 3/6/17 32,000.000 103.717 103.170 103.243 33,189.44 33,014.37 33,037.76 23.39 ST 1,712.00 280.57 5.18 Int. Semi-Annually Mar/Sep 01; Yield to Maturity 1.432%; Moody AA3 S&P A-; Issued 03/03/08; Asset Class: FI & Pref MIDAMERICAN ENERGY CO Coupon Rate 5.300%; Matures 03/15/2018; CUSIP 595620AH8 3/8/17 35,000.000 103.716 103.225 103.251 36,300.60 36,128.81 36,137.85 9.04 ST 1,855.00 231.87 5.13 Int. Semi-Annually Mar/Sep 15; Yield to Maturity 1.543%; Moody AA2 S&P A+; Issued 03/25/08; Asset Class: FI & Pref OVERSEAS PRIVATE INVESTMENT CORPORATION Zero Coupon; Matures 03/17/2018; CUSIP 690353T31 3/13/17 200,000.000 100.000 100.000 100.221 200,000.00 200,000.00 200,442.00 442.00 ST —— Issued 03/17/17; Asset Class: FI & Pref DUKE ENERGY CAROLINAS Coupon Rate 5.100%; Matures 04/15/2018; CUSIP 26442CAD6 3/28/17 50,000.000 103.514 103.233 103.419 51,757.00 51,616.66 51,709.50 92.84 ST 2,550.00 106.25 4.93 Int. Semi-Annually Apr/Oct 15; Yield to Maturity 1.493%; Moody AA2 S&P A; Issued 04/14/08; Asset Class: FI & Pref Account Detail CLIENT STATEMENT For the Period April 1-30, 2017 Consulting and Evaluation Services Active Assets Account 660-110000-095 CITY OF ATLANTIC BEACH C/O RUSSELL CAFFEY Page 8 of 22 Security Description Trade Date Face Value Orig Unit Cost Adj Unit Cost Unit Price Orig Total Cost Adj Total Cost Market Value Unrealized Gain/(Loss) Est Ann Income Accrued Interest Current Yield % SOUTHERN CALIF GAS CO Coupon Rate 5.450%; Matures 04/15/2018; CUSIP 842434CD2 2/7/17 30,000.000 104.372 103.535 103.542 31,311.60 31,060.55 31,062.60 2.05 ST 1,635.00 68.12 5.26 Int. Semi-Annually Apr/Oct 15; Yield to Maturity 1.707%; Moody AA2 S&P A+; Issued 10/17/03; Asset Class: FI & Pref BANK OF AMERICA NA Coupon Rate 5.650%; Matures 05/01/2018; CUSIP 06051GDX4 2/24/17 30,000.000 104.534 103.890 103.766 31,360.20 31,167.07 31,129.80 (37.27)ST 1,695.00 842.79 5.44 Int. Semi-Annually May/Nov 01; Yield to Maturity 1.842%; Moody BAA1 S&P BBB+; Issued 05/02/08; Asset Class: FI & Pref CONNECTICUT LIGHT & PWR Coupon Rate 5.650%; Matures 05/01/2018; CUSIP 207597ED3 3/2/17 50,000.000 104.599 104.002 103.992 52,299.50 52,001.23 51,996.00 (5.23)ST 2,825.00 1,404.65 5.43 Int. Semi-Annually May/Nov 01; Yield to Maturity 1.621%; Moody A2 S&P A+; Issued 05/27/08; Asset Class: FI & Pref PUB SVC ELEC & GAS Coupon Rate 5.300%; Matures 05/01/2018; CUSIP 74456QAS5 3/21/17 50,000.000 103.966 103.598 103.558 51,983.00 51,799.16 51,779.00 (20.16)ST 2,650.00 1,317.63 5.11 Int. Semi-Annually May/Nov 01; Yield to Maturity 1.706%; Moody AA3 S&P A; Issued 04/17/08; Asset Class: FI & Pref ENTERPRISE PRODUCTS OPER Coupon Rate 1.650%; Matures 05/07/2018; CUSIP 29379VBG7 3/9/17 35,000.000 99.806 99.806 99.896 34,932.10 34,932.10 34,963.60 31.50 ST 578.00 277.52 1.65 Int. Semi-Annually May/Nov 07; Yield to Maturity 1.753%; Moody BAA1 S&P BBB+; Issued 05/07/15; Asset Class: FI & Pref PARKER-HANNIFIN CORP Coupon Rate 5.500%; Matures 05/15/2018; CUSIP 70109HAH8 3/3/17 30,000.000 104.643 104.070 104.100 31,392.90 31,220.98 31,230.00 9.02 ST 1,650.00 756.24 5.28 Int. Semi-Annually May/Nov 15; Yield to Maturity 1.517%; Moody BAA1 S&P A; Issued 05/16/08; Asset Class: FI & Pref TRAVELERS COS INC Coupon Rate 5.800%; Matures 05/15/2018; CUSIP 89417EAE9 2/6/17 30,000.000 105.317 104.367 104.258 31,595.10 31,310.06 31,277.40 (32.66)ST 1,740.00 797.49 5.56 Int. Semi-Annually May/Nov 15; Yield to Maturity 1.659%; Moody A2 S&P A; Issued 05/13/08; Asset Class: FI & Pref AVISTA CORPORATION Coupon Rate 5.950%; Matures 06/01/2018; CUSIP 05379BAN7 4/12/17 50,000.000 104.604 104.456 104.465 52,302.00 52,228.18 52,232.50 4.32 ST 2,975.00 1,231.31 5.69 Int. Semi-Annually Jun/Dec 01; Yield to Maturity 1.779%; Moody A2 S&P A-; Issued 04/03/08; Asset Class: FI & Pref NORTHROP GRUMMAN CORP Coupon Rate 1.750%; Matures 06/01/2018; CUSIP 666807BF8 3/1/17 35,000.000 100.209 100.183 100.196 35,073.15 35,064.16 35,068.60 4.44 ST 613.00 253.50 1.74 Int. Semi-Annually Jun/Dec 01; Yield to Maturity 1.567%; Moody BAA2 S&P BBB; Issued 05/31/13; Asset Class: FI & Pref UNITED DOMINION REALTY TRUST, INC. Coupon Rate 4.250%; Matures 06/01/2018; CUSIP 91019PCS9 2/24/17 25,000.000 103.185 102.763 102.471 25,796.25 25,690.79 25,617.75 (73.04)ST 1,063.00 439.75 4.14 Int. Semi-Annually Jun/Dec 01; Yield to Maturity 1.939%; Moody BAA1 S&P BBB+; Issued 05/23/11; Asset Class: FI & Pref CARDINAL HEALTH INC Coupon Rate 1.950%; Matures 06/15/2018; CUSIP 14149YBC1 2/13/17 30,000.000 100.324 100.274 100.217 30,097.20 30,082.09 30,065.10 (16.99)ST 585.00 219.37 1.94 Int. Semi-Annually Jun/Dec 15; Yield to Maturity 1.754%; Moody BAA2 S&P A- (-); Issued 06/23/15; Asset Class: FI & Pref WEC ENERGY GROUP INC Coupon Rate 1.650%; Matures 06/15/2018; CUSIP 976657AJ5 3/8/17 50,000.000 99.817 99.817 99.964 49,908.50 49,908.50 49,982.00 73.50 ST 825.00 309.37 1.65 Int. Semi-Annually Jun/Dec 15; Yield to Maturity 1.682%; Moody A3 S&P BBB+; Issued 06/10/15; Asset Class: FI & Pref Account Detail CLIENT STATEMENT For the Period April 1-30, 2017 Consulting and Evaluation Services Active Assets Account 660-110000-095 CITY OF ATLANTIC BEACH C/O RUSSELL CAFFEY Page 9 of 22 Security Description Trade Date Face Value Orig Unit Cost Adj Unit Cost Unit Price Orig Total Cost Adj Total Cost Market Value Unrealized Gain/(Loss) Est Ann Income Accrued Interest Current Yield % PACIFICORP Coupon Rate 5.650%; Matures 07/15/2018; CUSIP 695114CH9 3/1/17 30,000.000 105.348 104.751 104.692 31,604.40 31,425.27 31,407.60 (17.67)ST 1,695.00 494.37 5.39 Int. Semi-Annually Jan/Jul 15; Yield to Maturity 1.708%; Moody A1 S&P A+; Issued 07/17/08; Asset Class: FI & Pref GOLDMAN SACHS GROUP INC Coupon Rate 2.900%; Matures 07/19/2018; CUSIP 38147MAA3 3/21/17 30,000.000 101.366 101.260 101.335 30,409.80 30,378.13 30,400.50 22.37 ST 870.00 244.08 2.86 Int. Semi-Annually Jan/Jul 19; Yield to Maturity 1.787%; Moody A3 S&P BBB+; Issued 07/19/13; Asset Class: FI & Pref VERIZON COMMUNICATIONS Coupon Rate 2.871%; Matures 09/14/2018; CUSIP 92343VBM5 3/9/17 35,000.000 102.256 102.061 102.042 35,789.60 35,721.45 35,714.70 (6.75)ST 1,005.00 128.40 2.81 Interest Paid Quarterly Dec 14; Yield to Maturity 1.363%; Floater; Moody BAA1 S&P BBB+; Issued 09/18/13; Asset Class: FI & Pref NORTHERN STATES POWER COMPANY Coupon Rate 5.250%; Matures 10/01/2018; CUSIP 665789AV5 3/6/17 30,000.000 105.174 104.700 105.011 31,552.20 31,409.93 31,503.30 93.37 ST 1,575.00 126.87 4.99 Int. Semi-Annually Apr/Oct 01; Yield to Maturity 1.662%; Moody AA3 S&P A; Issued 10/02/03; Asset Class: FI & Pref MARSH & MCLENNAN COS INC Coupon Rate 2.550%; Matures 10/15/2018; CUSIP 571748AT9 2/1/17 30,000.000 101.097 100.946 101.181 30,329.10 30,283.66 30,354.30 70.64 ST 765.00 31.87 2.52 Int. Semi-Annually Apr/Oct 15; Callable $100.00 on 09/15/18; Yield to Call 1.677%; Moody BAA1 S&P A-; Issued 09/27/13; Asset Class: FI & Pref BOSTON PROPERTIES LP Coupon Rate 3.700%; Matures 11/15/2018; CUSIP 10112RAT1 2/7/17 25,000.000 102.908 102.542 102.412 25,727.00 25,635.47 25,603.00 (32.47)ST 925.00 423.95 3.61 Int. Semi-Annually May/Nov 15; Callable $100.00 on 08/15/18; Yield to Call 1.801%; Moody BAA2 S&P A-; Issued 11/10/11; Asset Class: FI & Pref KEYCORP Coupon Rate 2.300%; Matures 12/13/2018; CUSIP 49326EEE9 2/27/17 30,000.000 100.658 100.598 100.525 30,197.40 30,179.46 30,157.50 (21.96)ST 690.00 262.58 2.28 Int. Semi-Annually Jun/Dec 13; Callable $100.00 on 11/13/18; Yield to Call 1.951%; Moody BAA1 S&P BBB+; Issued 11/13/13; Asset Class: FI & Pref THERMO FISHER SCIENTIFIC INC Coupon Rate 2.150%; Matures 12/14/2018; CUSIP 883556BL5 4/18/17 35,000.000 100.612 100.602 100.428 35,214.20 35,210.63 35,149.80 (60.83)ST 753.00 282.18 2.14 Int. Semi-Annually Jun/Dec 15; Yield to Maturity 1.880%; Moody BAA2 S&P BBB; Issued 12/09/15; Asset Class: FI & Pref BANK OF AMERICA CORP Coupon Rate 2.600%; Matures 01/15/2019; CUSIP 06051GEX3 2/24/17 35,000.000 101.371 101.251 101.021 35,479.85 35,437.68 35,357.35 (80.33)ST 910.00 265.41 2.57 Int. Semi-Annually Jan/Jul 15; Yield to Maturity 1.988%; Moody BAA1 S&P BBB+; Issued 10/22/13; Asset Class: FI & Pref GOLDMAN SACHS GROUP INC Coupon Rate 2.625%; Matures 01/31/2019; CUSIP 38145XAA1 2/1/17 30,000.000 101.102 100.973 101.161 30,330.60 30,291.84 30,348.30 56.46 ST 788.00 196.87 2.59 Int. Semi-Annually Jan/Jul 31; Yield to Maturity 1.947%; Moody A3 S&P BBB+; Issued 01/31/14; Asset Class: FI & Pref CONOCOPHILLIPS Coupon Rate 5.750%; Matures 02/01/2019; CUSIP 20825CAR5 3/28/17 25,000.000 106.858 106.550 106.725 26,714.50 26,637.59 26,681.25 43.66 ST 1,438.00 355.38 5.38 Int. Semi-Annually Feb/Aug 01; Yield to Maturity 1.832%; Moody BAA2 S&P A-; Issued 02/03/09; Asset Class: FI & Pref MORGAN STANLEY Coupon Rate 2.450%; Matures 02/01/2019; CUSIP 61746BDX1 2/3/17 30,000.000 100.834 100.738 100.826 30,250.20 30,221.50 30,247.80 26.30 ST 735.00 181.70 2.42 Int. Semi-Annually Feb/Aug 01; Yield to Maturity 1.967%; Moody A3 S&P BBB+; Issued 01/27/16; Asset Class: FI & Pref Account Detail CLIENT STATEMENT For the Period April 1-30, 2017 Consulting and Evaluation Services Active Assets Account 660-110000-095 CITY OF ATLANTIC BEACH C/O RUSSELL CAFFEY Page 10 of 22 Security Description Trade Date Face Value Orig Unit Cost Adj Unit Cost Unit Price Orig Total Cost Adj Total Cost Market Value Unrealized Gain/(Loss) Est Ann Income Accrued Interest Current Yield % SIMON PROPERTY GROUP LP Coupon Rate 2.200%; Matures 02/01/2019; CUSIP 828807CQ8 2/3/17 25,000.000 100.879 100.778 100.678 25,219.75 25,194.50 25,169.50 (25.00)ST 550.00 135.97 2.18 Int. Semi-Annually Feb/Aug 01; Callable $100.00 on 11/01/18; Yield to Call 1.741%; Moody A2 S&P A; Issued 01/21/14; Asset Class: FI & Pref UNION ELECTRIC CO Coupon Rate 6.700%; Matures 02/01/2019; CUSIP 906548CG5 2/24/17 35,000.000 109.170 108.335 108.062 38,209.50 37,917.42 37,821.70 (95.72)ST 2,345.00 579.73 6.20 Int. Semi-Annually Feb/Aug 01; Yield to Maturity 1.994%; Moody A2 S&P A; Issued 06/19/08; Asset Class: FI & Pref PROLOGIS LP Coupon Rate 2.750%; Matures 02/15/2019; CUSIP 74340XAV3 2/2/17 3/7/17 30,000.000 25,000.000 101.628 101.443 101.395 101.294 101.377 101.377 30,488.40 30,432.84 25,348.75 25,323.53 30,413.10 25,344.25 (19.74) 20.72 ST ST Total 55,000.000 55,837.15 55,756.37 55,757.35 0.98 ST 1,513.00 315.10 2.71 Int. Semi-Annually Feb/Aug 15; Callable $100.00 on 01/15/19; Yield to Call 1.926%; Moody A3 S&P A-; Issued 08/15/13; Asset Class: FI & Pref PRINCETON UNIVERSITY Coupon Rate 4.950%; Matures 03/01/2019; CUSIP 89837LAA3 3/24/17 50,000.000 106.229 105.944 105.997 53,114.50 52,972.17 52,998.50 26.33 ST 2,475.00 405.62 4.66 Int. Semi-Annually Mar/Sep 01; Yield to Maturity 1.621%; Moody AAA S&P AAA; Issued 01/21/09; Asset Class: FI & Pref ROCK-TENN COMPANY Coupon Rate 4.450%; Matures 03/01/2019; CUSIP 772739AJ7 2/9/17 31,000.000 104.440 103.984 104.098 32,376.40 32,234.95 32,270.38 35.43 ST 1,380.00 226.08 4.27 Int. Semi-Annually Mar/Sep 01; Yield to Maturity 2.160%; Moody BAA2 S&P BBB (-); Issued 03/01/13; Asset Class: FI & Pref MIDAMERICAN ENERGY CO Coupon Rate 2.400%; Matures 03/15/2019; CUSIP 595620AJ4 2/1/17 25,000.000 101.072 100.954 101.159 25,268.00 25,238.41 25,289.75 51.34 ST 600.00 75.00 2.37 Int. Semi-Annually Mar/Sep 15; Callable $100.00 on 02/15/19; Yield to Call 1.739%; Moody AA2 S&P A+; Issued 09/19/13; Asset Class: FI & Pref EATON CORP Coupon Rate 6.950%; Matures 03/20/2019; CUSIP 278058DH2 3/3/17 40,000.000 109.728 109.034 108.998 43,891.20 43,613.70 43,599.20 (14.50)ST 2,780.00 308.88 6.37 Int. Semi-Annually Mar/Sep 20; Yield to Maturity 2.067%; Moody BAA1 S&P A-; Issued 03/16/09; Asset Class: FI & Pref CATERPILLAR FINL SERVICE Coupon Rate 1.900%; Matures 03/22/2019; CUSIP 14912L6W6 3/20/17 60,000.000 99.940 99.940 100.035 59,964.00 59,964.00 60,021.00 57.00 ST 1,140.00 117.16 1.89 Int. Semi-Annually Mar/Sep 22; Callable $100.00 on 05/28/17; Yield to Call 1.438%; First Coupon 09/22/17; Moody A3 S&P A; Issued 03/23/17; Asset Class: FI & Pref NORTHWESTERN CORP Coupon Rate 6.340%; Matures 04/01/2019; CUSIP 668074AT4 4/24/17 30,000.000 108.302 108.255 108.161 32,490.60 32,476.44 32,448.30 (28.14)ST 1,902.00 153.21 5.86 Int. Semi-Annually Apr/Oct 01; Yield to Maturity 1.985%; Moody A2 S&P A-; Issued 03/26/09; Asset Class: FI & Pref PORTLAND GENERAL ELECTRIC Coupon Rate 6.100%; Matures 04/15/2019; CUSIP 736508BQ4 3/1/17 45,000.000 108.304 107.712 108.208 48,736.80 48,470.34 48,693.60 223.26 ST 2,745.00 114.37 5.63 Int. Semi-Annually Apr/Oct 15; Yield to Maturity 1.814%; Moody A1 S&P A-; Issued 04/16/09; Asset Class: FI & Pref SUNTRUST BANKS INC Coupon Rate 2.500%; Matures 05/01/2019; CUSIP 867914BG7 2/24/17 40,000.000 101.163 101.075 101.074 40,465.20 40,430.00 40,429.60 (0.40)ST 1,000.00 497.22 2.47 Int. Semi-Annually May/Nov 01; Callable $100.00 on 04/01/19; Yield to Call 1.927%; Moody BAA1 S&P BBB+; Issued 05/01/14; Asset Class: FI & Pref Account Detail CLIENT STATEMENT For the Period April 1-30, 2017 Consulting and Evaluation Services Active Assets Account 660-110000-095 CITY OF ATLANTIC BEACH C/O RUSSELL CAFFEY Page 11 of 22 Security Description Trade Date Face Value Orig Unit Cost Adj Unit Cost Unit Price Orig Total Cost Adj Total Cost Market Value Unrealized Gain/(Loss) Est Ann Income Accrued Interest Current Yield % PEPSICO INC Coupon Rate 1.550%; Matures 05/02/2019; CUSIP 713448DR6 4/27/17 30,000.000 99.925 99.925 99.945 29,977.50 29,977.50 29,983.50 6.00 ST 465.00 1.55 Int. Semi-Annually May/Nov 02; Yield to Maturity 1.578%; First Coupon 11/02/17; Moody A1e; Issued 05/02/17; Asset Class: FI & Pref AMERICAN EXPRESS CREDIT Coupon Rate 1.875%; Matures 05/03/2019; CUSIP 0258M0EK1 4/27/17 20,000.000 99.959 99.959 100.060 19,991.80 19,991.80 20,012.00 20.20 ST 375.00 1.87 Int. Semi-Annually May/Nov 03; Callable $100.00 on 04/03/19; Yield to Call 1.843%; First Coupon 11/03/17; Moody A2; Issued 05/03/17; Asset Class: FI & Pref PUBLIC SERVICE COLORADO Coupon Rate 5.125%; Matures 06/01/2019; CUSIP 744448CC3 2/1/17 41,000.000 107.210 106.489 106.520 43,956.10 43,660.49 43,673.20 12.71 ST 2,101.00 869.68 4.81 Int. Semi-Annually Jun/Dec 01; Yield to Maturity 1.921%; Moody A1 S&P A; Issued 06/04/09; Asset Class: FI & Pref NORFOLK SOUTHERN CORP Coupon Rate 5.900%; Matures 06/15/2019; CUSIP 655844BC1 2/1/17 41,000.000 108.734 107.877 108.124 44,580.94 44,229.38 44,330.84 101.46 ST 2,419.00 907.12 5.45 Int. Semi-Annually Jun/Dec 15; Yield to Maturity 1.976%; Moody BAA1 S&P BBB+; Issued 06/01/09; Asset Class: FI & Pref MAGELLAN MIDSTREAM PARTNERS LP Coupon Rate 6.550%; Matures 07/15/2019; CUSIP 559080AE6 4/18/17 35,000.000 109.630 109.512 109.210 38,370.50 38,329.35 38,223.50 (105.85)ST 2,293.00 668.64 5.99 Int. Semi-Annually Jan/Jul 15; Yield to Maturity 2.250%; Moody BAA1 S&P BBB+; Issued 06/26/09; Asset Class: FI & Pref ROCKWELL COLLINS INC Coupon Rate 1.950%; Matures 07/15/2019; CUSIP 774341AG6 3/28/17 10,000.000 99.904 99.904 100.127 9,990.40 9,990.40 10,012.70 22.30 ST 195.00 10.83 1.94 Int. Semi-Annually Jan/Jul 15; Yield to Maturity 1.891%; First Coupon 07/15/17; Moody BAA2 S&P BBB; Issued 04/10/17; Asset Class: FI & Pref AMERICAN EXPRESS CREDIT Coupon Rate 2.250%; Matures 08/15/2019; CUSIP 0258M0DP1 2/27/17 35,000.000 100.928 100.867 100.747 35,324.80 35,303.49 35,261.45 (42.04)ST 788.00 164.06 2.23 Int. Semi-Annually Feb/Aug 15; Yield to Maturity 1.915%; Moody A2 S&P A-; Issued 08/15/14; Asset Class: FI & Pref PUBLIC SERVICE ELECTRIC Coupon Rate 2.000%; Matures 08/15/2019; CUSIP 74456QBJ4 3/20/17 35,000.000 99.971 99.971 100.133 34,989.85 34,989.85 35,046.55 56.70 ST 700.00 145.83 1.99 Int. Semi-Annually Feb/Aug 15; Callable $100.00 on 07/15/19; Yield to Call 1.938%; Moody AA3 S&P A; Issued 08/12/14; Asset Class: FI & Pref BOSTON PROPERTIES INC Coupon Rate 5.875%; Matures 10/15/2019; CUSIP 10112RAQ7 2/3/17 30,000.000 108.859 108.118 108.026 32,657.70 32,435.47 32,407.80 (27.67)ST 1,763.00 73.43 5.44 Int. Semi-Annually Apr/Oct 15; Callable $100.00 on 07/15/19; Yield to Call 2.133%; Moody BAA2 S&P A-; Issued 10/09/09; Asset Class: FI & Pref JPMORGAN CHASE & CO Coupon Rate 2.250%; Matures 01/23/2020; CUSIP 46625HKA7 3/14/17 25,000.000 99.798 99.798 100.412 24,949.50 24,949.50 25,103.00 153.50 ST 563.00 151.56 2.24 Int. Semi-Annually Jan/Jul 23; Callable $100.00 on 12/23/19; Yield to Call 2.089%; Moody A3 S&P A-; Issued 01/23/15; Asset Class: FI & Pref MORGAN STANLEY Coupon Rate 2.650%; Matures 01/27/2020; CUSIP 61747YDW2 2/6/17 34,000.000 101.003 100.928 101.313 34,341.02 34,315.57 34,446.42 130.85 ST 901.00 232.75 2.61 Int. Semi-Annually Jan/Jul 27; Yield to Maturity 2.154%; Moody A3 S&P BBB+; Issued 01/27/15; Asset Class: FI & Pref SUNTRUST BANKS INC Coupon Rate 2.250%; Matures 01/31/2020; CUSIP 86787EAR8 4/12/17 20,000.000 100.546 100.539 100.518 20,109.20 20,107.82 20,103.60 (4.22)ST 450.00 111.24 2.23 Int. Semi-Annually Jan/Jul 31; Callable $100.00 on 12/31/19; Yield to Call 2.049%; First Coupon 07/31/17; Moody BAA1 S&P A-; Issued 02/01/17; Asset Class: FI & Pref Account Detail CLIENT STATEMENT For the Period April 1-30, 2017 Consulting and Evaluation Services Active Assets Account 660-110000-095 CITY OF ATLANTIC BEACH C/O RUSSELL CAFFEY Page 12 of 22 Security Description Trade Date Face Value Orig Unit Cost Adj Unit Cost Unit Price Orig Total Cost Adj Total Cost Market Value Unrealized Gain/(Loss) Est Ann Income Accrued Interest Current Yield % APPLE INC Coupon Rate 1.900%; Matures 02/07/2020; CUSIP 037833CK4 2/2/17 60,000.000 99.951 99.951 100.537 59,970.60 59,970.60 60,322.20 351.60 ST 1,140.00 256.50 1.88 Int. Semi-Annually Feb/Aug 07; Yield to Maturity 1.700%; First Coupon 08/07/17; Moody AA1 S&P AA+; Issued 02/09/17; Asset Class: FI & Pref PNC FUNDING CORP Coupon Rate 5.125%; Matures 02/08/2020; CUSIP 693476BJ1 2/24/17 30,000.000 108.679 108.199 108.135 32,603.70 32,459.59 32,440.50 (19.09)ST 1,538.00 350.20 4.74 Int. Semi-Annually Feb/Aug 08; Yield to Maturity 2.088%; Moody A3 S&P A-; Issued 02/08/10; Asset Class: FI & Pref AMERICAN HONDA FINANCE Coupon Rate 2.000%; Matures 02/14/2020; CUSIP 02665WBM2 2/13/17 55,000.000 99.858 99.858 100.519 54,921.90 54,921.90 55,285.45 363.55 ST 1,100.00 226.11 1.98 Int. Semi-Annually Feb/Aug 14; Yield to Maturity 1.808%; First Coupon 08/14/17; Moody A1 S&P A+; Issued 02/16/17; Asset Class: FI & Pref NOVARTIS CAPITAL CORP Coupon Rate 1.800%; Matures 02/14/2020; CUSIP 66989HAL2 2/14/17 50,000.000 99.609 99.609 100.037 49,804.50 49,804.50 50,018.50 214.00 ST 900.00 182.50 1.79 Int. Semi-Annually Feb/Aug 14; Yield to Maturity 1.786%; First Coupon 08/14/17; Moody AA3 S&P AA-; Issued 02/17/17; Asset Class: FI & Pref PACCAR FINANCIAL CORP Coupon Rate 1.950%; Matures 02/27/2020; CUSIP 69371RN69 2/22/17 50,000.000 99.820 99.820 100.279 49,910.00 49,910.00 50,139.50 229.50 ST 975.00 170.62 1.94 Int. Semi-Annually Feb/Aug 27; Yield to Maturity 1.848%; First Coupon 08/27/17; Moody A1 S&P A+; Issued 02/27/17; Asset Class: FI & Pref ROCKWELL AUTOMATION INC Coupon Rate 2.050%; Matures 03/01/2020; CUSIP 773903AF6 2/3/17 3/3/17 33,000.000 22,000.000 99.813 99.813 99.492 99.492 99.998 99.998 32,938.29 32,938.29 21,888.24 21,888.24 32,999.34 21,999.56 61.05 111.32 ST ST Total 55,000.000 54,826.53 54,826.53 54,998.90 172.37 ST 1,128.00 184.78 2.05 Int. Semi-Annually Mar/Sep 01; Callable $100.00 on 02/01/20; Yield to Call 2.050%; Moody A3 S&P A; Issued 02/17/15; Asset Class: FI & Pref AMERICAN EXPRESS CREDIT Coupon Rate 2.200%; Matures 03/03/2020; CUSIP 0258M0EE5 2/28/17 20,000.000 99.896 99.896 100.530 19,979.20 19,979.20 20,106.00 126.80 ST 440.00 69.66 2.18 Int. Semi-Annually Mar/Sep 03; Callable $100.00 on 02/01/20; Yield to Call 2.001%; First Coupon 09/03/17; Moody A2 S&P A-; Issued 03/03/17; Asset Class: FI & Pref THE WALT DISNEY COMPANY Coupon Rate 1.950%; Matures 03/04/2020; CUSIP 25468PDP8 3/1/17 40,000.000 99.974 99.974 100.501 39,989.60 39,989.60 40,200.40 210.80 ST 780.00 117.00 1.94 Int. Semi-Annually Mar/Sep 04; Yield to Maturity 1.768%; First Coupon 09/04/17; Moody A2 S&P A; Issued 03/06/17; Asset Class: FI & Pref GREAT PLAINS ENERGY INC Coupon Rate 2.500%; Matures 03/09/2020; CUSIP 391164AG5 3/6/17 55,000.000 99.922 99.922 101.165 54,957.10 54,957.10 55,640.75 683.65 ST 1,375.00 194.79 2.47 Int. Semi-Annually Mar/Sep 09; Yield to Maturity 2.078%; First Coupon 09/09/17; Moody BAA3 S&P BBB; Issued 03/09/17; Asset Class: FI & Pref JOHN DEERE CAPITAL CORP Coupon Rate 2.200%; Matures 03/13/2020; CUSIP 24422ETQ2 3/10/17 55,000.000 99.922 99.922 100.845 54,957.10 54,957.10 55,464.75 507.65 ST 1,210.00 151.25 2.18 Int. Semi-Annually Mar/Sep 13; Yield to Maturity 1.896%; First Coupon 09/13/17; Moody A2 S&P A; Issued 03/15/17; Asset Class: FI & Pref GOLDMAN SACHS GROUP INC Coupon Rate 5.375%; Matures 03/15/2020; CUSIP 38141EA58 2/1/17 30,000.000 108.466 107.843 108.266 32,539.80 32,352.89 32,479.80 126.91 ST 1,613.00 201.56 4.96 Int. Semi-Annually Mar/Sep 15; Yield to Maturity 2.382%; Moody A3 S&P BBB+; Issued 03/08/10; Asset Class: FI & Pref Account Detail CLIENT STATEMENT For the Period April 1-30, 2017 Consulting and Evaluation Services Active Assets Account 660-110000-095 CITY OF ATLANTIC BEACH C/O RUSSELL CAFFEY Page 13 of 22 Security Description Trade Date Face Value Orig Unit Cost Adj Unit Cost Unit Price Orig Total Cost Adj Total Cost Market Value Unrealized Gain/(Loss) Est Ann Income Accrued Interest Current Yield % JP MORGAN CHASE Coupon Rate 4.950%; Matures 03/25/2020; CUSIP 46625HHQ6 2/23/17 30,000.000 108.274 107.816 107.931 32,482.20 32,344.69 32,379.30 34.61 ST 1,485.00 144.37 4.58 Int. Semi-Annually Mar/Sep 25; Yield to Maturity 2.118%; Moody A3 S&P A-; Issued 03/25/10; Asset Class: FI & Pref AMPHENOL CORP Coupon Rate 2.200%; Matures 04/01/2020; CUSIP 032095AF8 3/29/17 40,000.000 99.922 99.922 100.233 39,968.80 39,968.80 40,093.20 124.40 ST 880.00 61.11 2.19 Int. Semi-Annually Apr/Oct 01; Yield to Maturity 2.117%; First Coupon 10/01/17; Moody BAA1 S&P BBB+; Issued 04/05/17; Asset Class: FI & Pref CONSUMERS ENERGY CO Coupon Rate 5.650%; Matures 04/15/2020; CUSIP 210518CL8 2/1/17 53,000.000 109.873 109.166 110.708 58,232.69 57,857.76 58,675.24 817.48 ST 2,995.00 124.77 5.10 Int. Semi-Annually Apr/Oct 15; Yield to Maturity 1.910%; Moody AA3 S&P A; Issued 03/24/05; Asset Class: FI & Pref MCDONALD'S CORP Coupon Rate 2.200%; Matures 05/26/2020; CUSIP 58013MET7 3/6/17 50,000.000 100.053 100.051 100.362 50,026.50 50,025.35 50,181.00 155.65 ST 1,100.00 470.55 2.19 Int. Semi-Annually May/Nov 26; Callable $100.00 on 04/26/20; Yield to Call 2.074%; Moody BAA1 S&P BBB+; Issued 05/26/15; Asset Class: FI & Pref DUKE ENERGY CAROLINAS LLC Coupon Rate 4.300%; Matures 06/15/2020; CUSIP 26442CAJ3 4/18/17 30,000.000 107.299 107.236 107.036 32,189.70 32,170.87 32,110.80 (60.07)ST 1,290.00 483.75 4.01 Int. Semi-Annually Jun/Dec 15; Yield to Maturity 1.967%; Moody AA2 S&P A; Issued 06/07/10; Asset Class: FI & Pref MORGAN STANLEY Coupon Rate 2.800%; Matures 06/16/2020; CUSIP 61761JB32 3/21/17 30,000.000 101.323 101.282 101.524 30,396.90 30,384.67 30,457.20 72.53 ST 840.00 312.66 2.75 Int. Semi-Annually Jun/Dec 16; Yield to Maturity 2.292%; Moody A3 S&P BBB+; Issued 06/16/15; Asset Class: FI & Pref BANK OF AMERICA CORP Coupon Rate 5.625%; Matures 07/01/2020; CUSIP 06051GEC9 3/7/17 30,000.000 109.939 109.528 109.829 32,981.70 32,858.42 32,948.70 90.28 ST 1,688.00 557.81 5.12 Int. Semi-Annually Jan/Jul 01; Yield to Maturity 2.385%; Moody BAA1 S&P BBB+; Issued 06/22/10; Asset Class: FI & Pref ERP OPERATING-LP Coupon Rate 4.750%; Matures 07/15/2020; CUSIP 26884AAY9 2/1/17 3/28/17 30,000.000 20,000.000 107.259 106.779 106.929 106.760 106.955 106.955 32,177.70 32,033.83 21,385.80 21,351.92 32,086.50 21,391.00 52.67 39.08 ST ST Total 50,000.000 53,563.50 53,385.75 53,477.50 91.75 ST 2,375.00 890.62 4.44 Int. Semi-Annually Jun/Dec 15; Callable $100.00 on 04/15/20; Yield to Call 2.304%; Moody BAA1 S&P A-; Issued 07/15/10; Asset Class: FI & Pref COMMONWEALTH EDISON COMPANY Coupon Rate 4.000%; Matures 08/01/2020; CUSIP 202795HV5 2/16/17 50,000.000 105.233 104.952 105.561 52,616.50 52,475.88 52,780.50 304.62 ST 2,000.00 494.44 3.78 Int. Semi-Annually Feb/Aug 01; Callable $100.00 on 05/01/20; Yield to Call 2.080%; Moody A2 S&P A-; Issued 08/02/10; Asset Class: FI & Pref PNC FUNDING CORP. Coupon Rate 4.375%; Matures 08/11/2020; CUSIP 693476BL6 3/28/17 30,000.000 106.442 106.288 106.763 31,932.60 31,886.29 32,028.90 142.61 ST 1,313.00 288.02 4.09 Int. Semi-Annually Feb/Aug 11; Yield to Maturity 2.225%; Moody A3 S&P A-; Issued 08/11/10; Asset Class: FI & Pref GILEAD SCIENCES INC Coupon Rate 2.550%; Matures 09/01/2020; CUSIP 375558BB8 2/28/17 40,000.000 100.885 100.846 101.314 40,354.00 40,338.23 40,525.60 187.37 ST 1,020.00 167.16 2.51 Int. Semi-Annually Mar/Sep 01; Yield to Maturity 2.139%; Moody A3 S&P A; Issued 09/14/15; Asset Class: FI & Pref Account Detail CLIENT STATEMENT For the Period April 1-30, 2017 Consulting and Evaluation Services Active Assets Account 660-110000-095 CITY OF ATLANTIC BEACH C/O RUSSELL CAFFEY Page 14 of 22 Security Description Trade Date Face Value Orig Unit Cost Adj Unit Cost Unit Price Orig Total Cost Adj Total Cost Market Value Unrealized Gain/(Loss) Est Ann Income Accrued Interest Current Yield % AVALONBAY COMMUNITIES IN Coupon Rate 3.625%; Matures 10/01/2020; CUSIP 05348EAS8 2/8/17 30,000.000 104.286 104.040 103.815 31,285.80 31,211.87 31,144.50 (67.37)ST 1,088.00 87.60 3.49 Int. Semi-Annually Apr/Oct 01; Callable $100.00 on 07/01/20; Yield to Call 2.368%; Moody A3 S&P A-; Issued 09/20/13; Asset Class: FI & Pref KENTUCKY UTILITIES COMPANY Coupon Rate 3.250%; Matures 11/01/2020; CUSIP 491674BE6 2/17/17 55,000.000 103.537 103.362 103.270 56,945.35 56,849.27 56,798.50 (50.77)ST 1,788.00 888.78 3.14 Int. Semi-Annually May/Nov 01; Callable $100.00 on 08/01/20; Yield to Call 2.202%; Moody A1 S&P A; Issued 05/01/11; Asset Class: FI & Pref OVERSEAS PRIVATE INV COR Zero Coupon; Matures 11/13/2020; CUSIP 690353U70 4/19/17 175,000.000 100.000 100.000 100.130 175,000.00 175,000.00 175,227.50 227.50 ST —— Issued 04/26/17; Asset Class: FI & Pref EMERSON ELECTRIC CO. Coupon Rate 4.250%; Matures 11/15/2020; CUSIP 291011BC7 2/28/17 50,000.000 107.159 106.858 107.186 53,579.50 53,429.13 53,593.00 163.87 ST 2,125.00 973.95 3.96 Int. Semi-Annually May/Nov 15; Yield to Maturity 2.132%; Moody A2 S&P A; Issued 11/16/09; Asset Class: FI & Pref LOCKHEED MARTIN CORP Coupon Rate 2.500%; Matures 11/23/2020; CUSIP 539830BF5 2/3/17 15,000.000 100.930 100.876 101.166 15,139.50 15,131.33 15,174.90 43.57 ST 375.00 163.54 2.47 Int. Semi-Annually May/Nov 23; Callable $100.00 on 10/23/20; Yield to Call 2.150%; Moody BAA1 S&P BBB+; Issued 11/23/15; Asset Class: FI & Pref MARATHON PETROLEUM CORP Coupon Rate 3.400%; Matures 12/15/2020; CUSIP 56585AAL6 4/17/17 35,000.000 103.157 103.132 103.197 36,104.95 36,096.07 36,118.95 22.88 ST 1,190.00 446.25 3.29 Int. Semi-Annually Jun/Dec 15; Callable $100.00 on 11/15/20; Yield to Call 2.452%; Moody BAA2 S&P BBB; Issued 12/14/15; Asset Class: FI & Pref UNION PACIFIC CORP Coupon Rate 4.000%; Matures 02/01/2021; CUSIP 907818DG0 2/1/17 30,000.000 106.011 105.670 106.414 31,803.30 31,700.89 31,924.20 223.31 ST 1,200.00 296.66 3.75 Int. Semi-Annually Feb/Aug 01; Callable $100.00 on 11/01/20; Yield to Call 2.091%; Moody A3 S&P A; Issued 08/02/10; Asset Class: FI & Pref ENTERGY ARKANSAS, INC. Coupon Rate 3.750%; Matures 02/15/2021; CUSIP 29364DAQ3 2/1/17 3/1/17 30,000.000 20,000.000 104.961 104.682 104.776 104.599 105.100 105.100 31,488.30 31,404.65 20,955.20 20,919.73 31,530.00 21,020.00 125.35 100.27 ST ST Total 50,000.000 52,443.50 52,324.38 52,550.00 225.62 ST 1,875.00 390.62 3.56 Int. Semi-Annually Feb/Aug 15; Callable $100.00 on 11/15/20; Yield to Call 2.244%; Moody A2 S&P A; Issued 11/12/10; Asset Class: FI & Pref JPMORGAN CHASE & CO Coupon Rate 1.656%; Matures 03/09/2021; CUSIP 46647PAC0 3/2/17 40,000.000 100.000 100.000 99.674 40,000.00 40,000.00 39,869.60 (130.40)ST 662.00 93.85 1.66 Interest Paid Quarterly Jun 09; Yield to Maturity 1.744%; First Coupon 06/09/17; Floater; Moody A3 S&P A-; Issued 03/09/17; Asset Class: FI & Pref KIMCO REALTY CORP Coupon Rate 3.200%; Matures 05/01/2021; CUSIP 49446RAL3 2/17/17 30,000.000 102.012 101.926 101.747 30,603.60 30,577.71 30,524.10 (53.61)ST 960.00 477.33 3.14 Int. Semi-Annually May/Nov 01; Callable $100.00 on 03/01/21; Yield to Call 2.717%; Moody BAA1 S&P BBB+; Issued 04/24/14; Asset Class: FI & Pref EQUIFAX INC Coupon Rate 2.300%; Matures 06/01/2021; CUSIP 294429AK1 2/28/17 35,000.000 98.712 98.712 99.208 34,549.20 34,549.20 34,722.80 173.60 ST 805.00 333.18 2.31 Int. Semi-Annually Jun/Dec 01; Callable $100.00 on 05/01/21; Yield to Maturity 2.505%; Moody BAA1 S&P BBB+; Issued 05/12/16; Asset Class: FI & Pref Account Detail CLIENT STATEMENT For the Period April 1-30, 2017 Consulting and Evaluation Services Active Assets Account 660-110000-095 CITY OF ATLANTIC BEACH C/O RUSSELL CAFFEY Page 15 of 22 Security Description Trade Date Face Value Orig Unit Cost Adj Unit Cost Unit Price Orig Total Cost Adj Total Cost Market Value Unrealized Gain/(Loss) Est Ann Income Accrued Interest Current Yield % JPMORGAN CHASE & CO Coupon Rate 2.400%; Matures 06/07/2021; CUSIP 46625HRT9 2/23/17 30,000.000 99.563 99.563 99.800 29,868.90 29,868.90 29,940.00 71.10 ST 720.00 285.99 2.40 Int. Semi-Annually Jun/Dec 07; Callable $100.00 on 05/07/21; Yield to Maturity 2.451%; Moody A3 S&P A-; Issued 06/07/16; Asset Class: FI & Pref FISERV, INC. Coupon Rate 4.750%; Matures 06/15/2021; CUSIP 337738AL2 2/2/17 30,000.000 108.051 107.642 107.940 32,415.30 32,292.70 32,382.00 89.30 ST 1,425.00 534.37 4.40 Int. Semi-Annually Jun/Dec 15; Yield to Maturity 2.702%; Moody BAA2 S&P BBB; Issued 06/14/11; Asset Class: FI & Pref MCCORMICK & CO Coupon Rate 3.900%; Matures 07/15/2021; CUSIP 579780AH0 3/3/17 35,000.000 105.351 105.179 106.317 36,872.85 36,812.61 37,210.95 398.34 ST 1,365.00 398.12 3.66 Int. Semi-Annually Jan/Jul 15; Callable $100.00 on 04/15/21; Yield to Call 2.224%; Moody A2 S&P A-; Issued 07/08/11; Asset Class: FI & Pref SIMON PROPERTY GROUP LP Coupon Rate 2.500%; Matures 07/15/2021; CUSIP 828807CX3 2/2/17 30,000.000 100.068 100.065 100.302 30,020.40 30,019.38 30,090.60 71.22 ST 750.00 218.75 2.49 Int. Semi-Annually Jan/Jul 15; Callable $100.00 on 04/15/21; Yield to Call 2.419%; Moody A2 S&P A; Issued 01/13/16; Asset Class: FI & Pref GOLDMAN SACHS GROUP INC Coupon Rate 5.250%; Matures 07/27/2021; CUSIP 38141GGQ1 2/1/17 30,000.000 109.622 109.143 110.003 32,886.60 32,742.98 33,000.90 257.92 ST 1,575.00 406.87 4.77 Int. Semi-Annually Jan/Jul 27; Yield to Maturity 2.735%; Moody A3 S&P BBB+; Issued 07/27/11; Asset Class: FI & Pref BURLINGTN NORTH SANTA FE Coupon Rate 3.450%; Matures 09/15/2021; CUSIP 12189LAF8 2/15/17 60,000.000 103.853 103.697 104.448 62,311.80 62,218.27 62,668.80 450.53 ST 2,070.00 258.75 3.30 Int. Semi-Annually Mar/Sep 15; Callable $100.00 on 06/15/21; Yield to Call 2.313%; Moody A3 S&P A; Issued 08/22/11; Asset Class: FI & Pref LOCKHEED MARTIN CORP Coupon Rate 3.350%; Matures 09/15/2021; CUSIP 539830AY5 2/2/17 35,000.000 103.339 103.178 104.095 36,168.65 36,112.42 36,433.25 320.83 ST 1,173.00 146.56 3.21 Int. Semi-Annually Mar/Sep 15; Yield to Maturity 2.359%; Moody BAA1 S&P BBB+; Issued 09/09/11; Asset Class: FI & Pref NORFOLK SOUTHERN CORP Coupon Rate 3.250%; Matures 12/01/2021; CUSIP 655844BG2 3/14/17 20,000.000 101.767 101.724 103.015 20,353.40 20,344.76 20,603.00 258.24 ST 650.00 269.02 3.15 Int. Semi-Annually Jun/Dec 01; Callable $100.00 on 09/01/21; Yield to Call 2.511%; Moody BAA1 S&P BBB+; Issued 11/17/11; Asset Class: FI & Pref PREMIER AIRCRAFT LEASING EXIM Coupon Rate 3.547%; Matures 04/10/2022; CUSIP 74046BAB2 3/28/17 150,000.000 103.428 103.428 103.226 68,592.52 64,967.42 64,840.53 (126.89)ST 2,228.00 123.77 3.43 Interest Paid Quarterly Jul 10; Yield to Maturity 2.843%; Factor .41876102; Issued 04/29/10; Current Face 62,814.153; Asset Class: FI & Pref SAFINA LTD Coupon Rate 2.000%; Matures 12/30/2023; CUSIP 78657AAB5 1/31/17 200,000.000 99.000 99.000 99.106 126,014.55 121,808.51 121,938.93 130.42 ST 2,461.00 205.06 2.01 Interest Paid Quarterly Sep 30; Yield to Maturity 2.144%; Factor .61519450; Issued 06/25/12; Current Face 123,038.900; Asset Class: FI & Pref Account Detail CLIENT STATEMENT For the Period April 1-30, 2017 Consulting and Evaluation Services Active Assets Account 660-110000-095 CITY OF ATLANTIC BEACH C/O RUSSELL CAFFEY Page 16 of 22 Percentage of Holdings Face Value Orig Total Cost Adj Total Cost Market Value Unrealized Gain/(Loss) Est Ann Income Accrued Interest Current Yield % CORPORATE FIXED INCOME 4,282,000.000 $4,236,871.14 $4,221,170.44 $4,229,806.50 $8,636.06 ST $130,419.00 $32,428.77 3.08% TOTAL CORPORATE FIXED INCOME (includes accrued interest) 26.37%$4,262,235.27 Watchlist and CreditWatch Indicators: (*) = developing/uncertain (+) = On Watchlist/CreditWatch Upgrade (-) = On Watchlist/CreditWatch Downgrade GOVERNMENT SECURITIES TREASURY SECURITIES Security Description Trade Date Face Value Orig Unit Cost Adj Unit Cost Unit Price Orig Total Cost Adj Total Cost Market Value Unrealized Gain/(Loss) Est Ann Income Accrued Interest Current Yield % UNITED STATES TREASURY NOTE Coupon Rate 1.000%; Matures 02/15/2018; CUSIP 912828H94 1/31/17 2,515,000.000 $100.129 $100.072 $99.926 $2,518,250.42 $2,516,808.51 $2,513,138.90 $(3,669.61)ST $25,150.00 $5,141.16 1.00 Int. Semi-Annually Feb/Aug 15; Yield to Maturity 1.094%; Moody AAA; Issued 02/15/15; Asset Class: FI & Pref UNITED STATES TREASURY NOTE Coupon Rate 1.125%; Matures 01/31/2019; CUSIP 912828V56 1/31/17 6,825,000.000 99.856 99.856 99.801 6,815,158.35 6,815,158.24 6,811,418.25 (3,739.99)ST 76,781.00 18,877.15 1.12 Int. Semi-Annually Jan/Jul 31; Yield to Maturity 1.240%; Moody AAA; Issued 01/31/17; Asset Class: FI & Pref UNITED STATES TREASURY NOTE Coupon Rate 1.375%; Matures 01/15/2020; CUSIP 912828V31 1/31/17 125,000.000 99.782 99.782 99.926 124,727.00 124,726.92 124,907.50 180.58 ST 1,719.00 498.53 1.37 Int. Semi-Annually Jan/Jul 15; Yield to Maturity 1.403%; Moody AAA; Issued 01/15/17; Asset Class: FI & Pref UNITED STATES TREASURY NOTE-INFLATION INDEXED Coupon Rate 0.125%; Matures 04/15/2021; CUSIP 912828Q60 1/31/17 159,000.000 101.306 101.306 100.953 164,269.44 164,269.44 164,931.04 661.60 ST 204.00 8.36 0.12 Int. Semi-Annually Apr/Oct 15; Factor 1.02751000; Moody AAA; Issued 04/15/16; Current Face 163,374.090; Asset Class: FI & Pref UNITED STATES TREASURY NOTE-INFLATION INDEXED Coupon Rate 0.125%; Matures 04/15/2022; CUSIP 912828X39 4/13/17 4/13/17 4/17/17 30,000.000 6,000.000 48,000.000 101.108 101.137 101.195 101.225 100.930 100.960 95.233 95.233 95.233 30,332.25 30,341.19 6,071.71 6,073.48 48,446.35 48,460.80 28,569.90 5,713.98 45,711.84 (1,771.29) (359.50) (2,748.96) ST ST ST 4/17/17 24,000.000 100.903 100.933 95.233 24,216.72 24,223.96 22,855.92 (1,368.04)ST 4/17/17 24,000.000 100.905 100.935 95.233 24,217.20 24,224.43 22,855.92 (1,368.51)ST 4/17/17 24,000.000 100.883 100.913 95.233 24,211.92 24,219.16 22,855.92 (1,363.24)ST Account Detail CLIENT STATEMENT For the Period April 1-30, 2017 Consulting and Evaluation Services Active Assets Account 660-110000-095 CITY OF ATLANTIC BEACH C/O RUSSELL CAFFEY Page 17 of 22 Security Description Trade Date Face Value Orig Unit Cost Adj Unit Cost Unit Price Orig Total Cost Adj Total Cost Market Value Unrealized Gain/(Loss) Est Ann Income Accrued Interest Current Yield % Total 156,000.000 157,496.15 157,543.02 148,563.48 (8,979.54)ST 195.00 7.99 0.13 Int. Semi-Annually Apr/Oct 15; Yield to Maturity 1.116%; Issued 04/15/17; Asset Class: FI & Pref TREASURY SECURITIES 9,780,000.000 $9,779,901.36 $9,778,506.13 $9,762,959.17 $(15,546.96)ST $104,049.00 $24,533.19 1.07% FEDERAL AGENCIES Security Description Trade Date Face Value Orig Unit Cost Adj Unit Cost Unit Price Orig Total Cost Adj Total Cost Market Value Unrealized Gain/(Loss) Est Ann Income Accrued Interest Current Yield % FEDERAL NATIONAL MTG ASSN POOL AN5056 Coupon Rate 2.590%; Matures 04/01/2021; CUSIP 3138LHTN4 3/27/17 95,000.000 $101.438 $101.438 $101.953 $96,365.63 $96,365.63 $96,855.35 $489.72 ST $2,461.00 $198.20 2.54 Interest Paid Monthly Apr 01; Yield to Maturity 2.068%; Issued 04/01/17; Asset Class: FI & Pref FEDERAL NATIONAL MTG ASSN POOL AN5051 Coupon Rate 2.550%; Matures 11/01/2021; CUSIP 3138LHTH7 3/27/17 80,000.000 101.125 101.125 101.838 80,900.00 80,900.00 81,470.40 570.40 ST 2,040.00 164.33 2.50 Interest Paid Monthly Apr 01; Yield to Maturity 2.120%; Issued 04/01/17; Asset Class: FI & Pref FEDERAL AGENCIES 175,000.000 $177,265.63 $177,265.63 $178,325.75 $1,060.12 ST $4,501.00 $362.53 2.52% Percentage of Holdings Face Value Orig Total Cost Adj Total Cost Market Value Unrealized Gain/(Loss) Est Ann Income Accrued Interest Current Yield % GOVERNMENT SECURITIES 9,955,000.000 $9,957,166.99 $9,955,771.76 $9,941,284.92 $(14,486.84)ST $108,550.00 $24,895.72 1.09% TOTAL GOVERNMENT SECURITIES (includes accrued interest) 61.67%$9,966,180.64 Percentage of Holdings Total Cost Market Value Unrealized Gain/(Loss) Est Ann Income Accrued Interest Current Yield % TOTAL MARKET VALUE $14,176,942.20 $16,102,970.02 $(5,850.78)ST $239,582.80 $57,324.49 1.48% TOTAL VALUE (includes accrued interest)100.00%$16,160,294.51 Unrealized Gain/(Loss) totals only reflect positions that have both cost basis and market value information available. Cash, MMF, Deposits and positions stating 'Please Provide' or 'Pending Corporate Actions' are not included. Account Detail CLIENT STATEMENT For the Period April 1-30, 2017 Consulting and Evaluation Services Active Assets Account 660-110000-095 CITY OF ATLANTIC BEACH C/O RUSSELL CAFFEY Page 18 of 22 ALLOCATION OF ASSETS (^includes accrued interest) Cash Equities Fixed Income & Preferred Securities Alternatives Annuities & Insurance Structured Investments Other Cash, BDP, MMFs $1,931,878.60 —————— Corporate Fixed Income^——$4,262,235.27 ———— Government Securities^——9,966,180.64 ———— TOTAL ALLOCATION OF ASSETS^$1,931,878.60 —$14,228,415.91 ———— ACTIVITY INVESTMENT RELATED ACTIVITY PURCHASES, DIVIDEND REINVESTMENTS, SALES AND REDEMPTIONS Activity Date Settlement Date Activity Type Description Comments Quantity Price Credits/(Debits) 4/5 4/6 Sold US TSY NOTE 1000 18FB15 ACTED AS AGENT ACCRUED INTEREST 207.18 150,000.000 $99.9723 $150,165.63 4/5 4/6 Bought US TSY NOTE 1875 22MH31 ACTED AS AGENT ACCRUED INTEREST 46.11 150,000.000 99.9652 (149,993.91) 4/12 4/18 Bought AVISTA CORP 5950 18JN01 ACTED AS AGENT ACCRUED INTEREST 1,132.15 50,000.000 104.6040 (53,434.15) 4/12 4/18 Bought SUNTRUST BANKS IN 2250 *20JA31 ACTED AS AGENT ACCRUED INTEREST 96.25 20,000.000 100.5460 (20,205.45) 4/13 4/17 Sold US TSY NOTE TIIN 0125 21AP15 ACTED AS AGENT ACCRUED INTEREST .21 30,000.000 101.3951 31,219.66 4/13 4/17 Sold US TSY NOTE TIIN 0125 21AP15 ACTED AS AGENT ACCRUED INTEREST .04 6,000.000 101.4659 6,248.29 4/17 4/18 Sold US TSY NOTE 1125 19JA31 ACTED AS AGENT ACCRUED INTEREST 837.53 350,000.000 99.9059 350,508.18 4/17 4/18 Sold US TSY NOTE TIIN 0125 21AP15 ACTED AS AGENT ACCRUED INTEREST .50 48,000.000 101.2184 49,869.43 4/17 4/18 Sold US TSY NOTE TIIN 0125 21AP15 ACTED AS AGENT ACCRUED INTEREST .25 24,000.000 101.2110 24,932.89 4/17 4/18 Sold US TSY NOTE TIIN 0125 21AP15 ACTED AS AGENT ACCRUED INTEREST .25 24,000.000 101.2070 24,931.91 4/17 4/18 Sold US TSY NOTE TIIN 0125 21AP15 ACTED AS AGENT ACCRUED INTEREST .25 24,000.000 101.1910 24,927.96 4/17 4/20 Bought MARATHON PETROLEU 3400 *20DE15 ACTED AS AGENT ACCRUED INTEREST 413.19 35,000.000 103.1570 (36,518.14) 4/18 4/19 Sold US TSY NOTE 1375 20JA15 ACTED AS AGENT ACCRUED INTEREST 535.57 150,000.000 100.1637 150,781.12 4/18 4/21 Bought MAGELLAN MIDSTREA 6550 19JL15 ACTED AS AGENT ACCRUED INTEREST 611.33 35,000.000 109.6300 (38,981.83) Account Detail CLIENT STATEMENT For the Period April 1-30, 2017 Consulting and Evaluation Services Active Assets Account 660-110000-095 CITY OF ATLANTIC BEACH C/O RUSSELL CAFFEY Page 19 of 22 PURCHASES, DIVIDEND REINVESTMENTS, SALES AND REDEMPTIONS (CONTINUED) Activity Date Settlement Date Activity Type Description Comments Quantity Price Credits/(Debits) 4/18 4/21 Bought THERMO FISHER SCI 2150 18DE14 ACTED AS AGENT ACCRUED INTEREST 263.38 35,000.000 100.6120 (35,477.58) 4/18 4/21 Bought DUKE ENERGY CAROL 4300 20JN15 ACTED AS AGENT ACCRUED INTEREST 451.50 30,000.000 107.2990 (32,641.20) 4/19 4/20 Sold US TSY NOTE 1125 19JA31 ACTED AS AGENT ACCRUED INTEREST 1,227.56 500,000.000 99.9294 500,874.56 4/19 4/20 Sold US TSY NOTE 1000 18FB15 ACTED AS AGENT ACCRUED INTEREST 132.60 75,000.000 99.9723 75,111.83 4/20 4/21 Sold US TSY NOTE 1375 20JA15 ACTED AS AGENT ACCRUED INTEREST 1,458.56 400,000.000 100.0544 401,676.16 4/20 4/21 Sold US TSY NOTE 1875 22MH31 ACTED AS AGENT ACCRUED INTEREST 161.37 150,000.000 100.5192 150,940.17 4/20 4/26 Bought OVERSEAS PRIVATE 00000 20NV13 ACTED AS AGENT a/o 04/19/17 175,000.000 100.0000 (175,000.00) 4/20 4/28 Bought US TSY NOTE TIIN 0125 22AP15 ACTED AS AGENT a/o 04/17/17 48,000.000 100.9299 (48,446.35) 4/20 4/28 Bought US TSY NOTE TIIN 0125 22AP15 ACTED AS AGENT a/o 04/13/17 30,000.000 101.1075 (30,332.25) 4/20 4/28 Bought US TSY NOTE TIIN 0125 22AP15 ACTED AS AGENT a/o 04/17/17 24,000.000 100.9050 (24,217.20) 4/20 4/28 Bought US TSY NOTE TIIN 0125 22AP15 ACTED AS AGENT a/o 04/17/17 24,000.000 100.9030 (24,216.72) 4/20 4/28 Bought US TSY NOTE TIIN 0125 22AP15 ACTED AS AGENT a/o 04/17/17 24,000.000 100.8830 (24,211.92) 4/20 4/28 Bought US TSY NOTE TIIN 0125 22AP15 ACTED AS AGENT a/o 04/13/17 6,000.000 101.1952 (6,071.71) 4/21 4/24 Sold US TSY NOTE 1375 20JA15 ACTED AS AGENT ACCRUED INTEREST 564.05 150,000.000 100.1090 150,727.55 4/24 4/27 Bought NORTHWESTERN CORP 6340 19AP01 ACTED AS AGENT ACCRUED INTEREST 137.37 30,000.000 108.3020 (32,627.97) 4/25 4/25 Bought FNMA POOL AN5056 2590 21AP01 ACTED AS AGENT ACCRUED INTEREST 164.03 a/o 03/27/17 95,000.000 101.4375 (96,529.66) 4/26 4/25 Bought - Cancelled FNMA POOL AN5056 2590 21AP01 ACTED AS AGENT ACCRUED INTEREST 164.03 95,000.000 96,529.66 4/26 4/27 Sold US TSY NOTE 1375 20JA15 ACTED AS AGENT ACCRUED INTEREST 968.58 250,000.000 99.8629 250,625.83 4/26 4/27 Bought FNMA POOL AN5056 2590 21AP01 ACTED AS AGENT ACCRUED INTEREST 177.70 a/o 03/27/17 95,000.000 101.4375 (96,543.33) 4/27 5/2 Bought PEPSICO INC 1550 19MY02 ACTED AS AGENT 30,000.000 99.9250 (29,977.50) 4/27 5/3 Bought AMERICAN EXPRESS 1875 *19MY03 ACTED AS AGENT 20,000.000 99.9590 (19,991.80) 4/28 4/27 Bought FNMA POOL AN5051 2550 21NV01 ACTED AS AGENT ACCRUED INTEREST 147.33 a/o 03/27/17 80,000.000 101.1250 (81,047.33) TOTAL PURCHASES, DIVIDEND REINVESTMENTS, SALES AND REDEMPTIONS $1,383,604.83 TOTAL PURCHASES $(959,936.34) TOTAL SALES AND REDEMPTIONS $2,343,541.17 Purchase and Sale transactions above may have received an average price execution. Details regarding the actual prices are available upon request. Account Detail CLIENT STATEMENT For the Period April 1-30, 2017 Consulting and Evaluation Services Active Assets Account 660-110000-095 CITY OF ATLANTIC BEACH C/O RUSSELL CAFFEY Page 20 of 22 UNSETTLED PURCHASES/SALES ACTIVITY Activity Date Settlement Date Activity Type Description Comments Quantity Price Pending Credits/(Debits) 4/27 5/3 Bought AMERICAN EXPRESS 1875 *19MY03 UNSETTLED PURCHASE 20,000.000 $99.9590 $(19,991.80) 4/27 5/2 Bought PEPSICO INC 1550 19MY02 UNSETTLED PURCHASE 30,000.000 99.9250 (29,977.50) NET UNSETTLED PURCHASES/SALES $(49,969.30) This section displays transactions that have not settled during this statement period. The Holdings section includes positions purchased and omits positions sold or sold short as of the trade-date. The unit/share price for unsettled fixed income new issues in the Holdings section may be approximate in advance of active market pricing or pricing from third party pricing services. RETURN OF PRINCIPAL Activity Date Activity Type Description Comments Credits/(Debits) 4/10 Principal Payment PREMIER AIRCRAFT 3547 22AP10 CUSIP: 74046BAB2 $3,504.95 TOTAL RETURN OF PRINCIPAL $3,504.95 TAXABLE INCOME AND DISTRIBUTIONS Activity Date Activity Type Description Comments Credits/(Debits) 4/3 Interest Income NORTHERN STATES 5250 18OC01 CUSIP: 665789AV5 $787.50 4/3 Interest Income AVALONBAY COMM 3625 *20OC01 CUSIP: 05348EAS8 543.75 4/10 Interest Income PREMIER AIRCRAFT 3547 22AP10 CUSIP: 74046BAB2 588.08 4/17 Interest Income CONSUMERS ENERGY 5650 20AP15 CUSIP: 210518CL8 1,497.25 4/17 Interest Income PORTLAND GEN ELEC 6100 19AP15 CUSIP: 736508BQ4 1,372.50 4/17 Interest Income DUKE ENERGY 5100 18AP15 CUSIP: 26442CAD6 1,275.00 4/17 Interest Income BOSTON PROPERTIES 5875 *19OC15 CUSIP: 10112RAQ7 881.25 4/17 Interest Income SOUTHERN CALIF 5450 18AP15 CUSIP: 842434CD2 817.50 4/17 Interest Income MARSH & MCLENNAN 2550 *18OC15 CUSIP: 571748AT9 382.50 4/17 Interest Income US TSY NOTE TIIN 0125 21AP15 CUSIP: 912828Q60 202.02 4/28 Interest Income MORGAN STANLEY PRIVATE BANK NA (Period 04/01-04/30) 9.56 4/28 Interest Income MORGAN STANLEY BANK N.A. (Period 04/01-04/30) 2.41 TOTAL TAXABLE INCOME AND DISTRIBUTIONS $8,359.32 TOTAL INTEREST $8,359.32 CASH RELATED ACTIVITY OTHER CREDITS AND DEBITS Activity Date Activity Type Description Comments Credits/(Debits) 4/17 Service Fee 2ND QTR ADVISORY FEE $(7,246.45) TOTAL OTHER CREDITS AND DEBITS $(7,246.45) TOTAL OTHER DEBITS $(7,246.45) MONEY MARKET FUND (MMF) AND BANK DEPOSIT PROGRAM ACTIVITY Activity Date Activity Type Description Credits/(Debits) 4/3 Automatic Investment BANK DEPOSIT PROGRAM $5,579.77 Account Detail CLIENT STATEMENT For the Period April 1-30, 2017 Consulting and Evaluation Services Active Assets Account 660-110000-095 CITY OF ATLANTIC BEACH C/O RUSSELL CAFFEY Page 21 of 22 MONEY MARKET FUND (MMF) AND BANK DEPOSIT PROGRAM ACTIVITY (CONTINUED) Activity Date Activity Type Description Credits/(Debits) 4/6 Automatic Investment BANK DEPOSIT PROGRAM 10,167.70 4/7 Automatic Investment BANK DEPOSIT PROGRAM 171.72 4/10 Automatic Redemption BANK DEPOSIT PROGRAM (9,990.40) 4/11 Automatic Investment BANK DEPOSIT PROGRAM 4,093.03 4/17 Automatic Investment BANK DEPOSIT PROGRAM 6,422.88 4/18 Automatic Investment BANK DEPOSIT PROGRAM 30,226.64 4/19 Automatic Investment BANK DEPOSIT PROGRAM 401,530.77 4/20 Automatic Investment BANK DEPOSIT PROGRAM 150,781.12 4/21 Automatic Investment BANK DEPOSIT PROGRAM 539,468.25 4/24 Automatic Investment BANK DEPOSIT PROGRAM 445,515.72 4/25 Automatic Investment BANK DEPOSIT PROGRAM 150,727.55 4/26 Automatic Investment MSILF GOVT SEC PART 2,395.22 4/26 Automatic Redemption BANK DEPOSIT PROGRAM (273,924.88) 4/27 Automatic Investment MSILF GOVT SEC PART 96,529.66 4/28 Automatic Investment BANK DEPOSIT PROGRAM 9.56 4/28 Automatic Investment BANK DEPOSIT PROGRAM 2.41 4/28 Automatic Redemption MSILF GOVT SEC PART (36,041.62) NET ACTIVITY FOR PERIOD $1,523,665.10 REALIZED GAIN/(LOSS) DETAIL SHORT-TERM GAIN/(LOSS) Security Description Date Acquired Date Sold Quantity Sales Proceeds Orig / Adj Total Cost Realized Gain/(Loss)Comments PREMIER AIRCRAFT 3.547 4-10-22 03/28/17 04/10/17 3,504.950 $3,504.95 $3,625.10 $(120.15) US TSY NOTE 1 1/8 1-31-19 01/31/17 04/17/17 350,000.000 349,670.65 349,495.25 175.40 01/31/17 04/19/17 500,000.000 499,647.00 499,279.15 367.85 US TSY NOTE 1 3/8 1-15-20 01/31/17 04/18/17 150,000.000 150,245.55 149,672.41 573.14 01/31/17 04/20/17 400,000.000 400,217.60 399,126.37 1,091.23 01/31/17 04/21/17 150,000.000 150,163.50 149,672.41 491.09 01/31/17 04/26/17 250,000.000 249,657.25 249,453.95 203.30 US TSY NOTE 1 7/8 3-31-22 04/05/17 04/20/17 150,000.000 150,778.80 149,947.80 831.00 US TSY NOTE 1.000 2-15-18 01/31/17 04/05/17 150,000.000 149,958.45 150,160.97 (202.52) 01/31/17 04/19/17 75,000.000 74,979.23 75,077.02 (97.79) US TSY NOTE TIIN 1/8 4-15-21 01/31/17 04/13/17 30,000.000 31,219.45 30,391.87 827.58 01/31/17 04/13/17 6,000.000 6,248.25 6,078.37 169.88 01/31/17 04/17/17 48,000.000 49,868.93 48,626.99 1,241.94 01/31/17 04/17/17 24,000.000 24,927.71 24,313.49 614.22 Account Detail CLIENT STATEMENT For the Period April 1-30, 2017 Consulting and Evaluation Services Active Assets Account 660-110000-095 CITY OF ATLANTIC BEACH C/O RUSSELL CAFFEY Page 22 of 22 SHORT-TERM GAIN/(LOSS) (CONTINUED) Security Description Date Acquired Date Sold Quantity Sales Proceeds Orig / Adj Total Cost Realized Gain/(Loss)Comments 01/31/17 04/17/17 24,000.000 24,931.66 24,313.49 618.17 01/31/17 04/17/17 24,000.000 24,932.64 24,313.49 619.15 Short-Term This Period $2,340,951.62 $2,333,548.13 $7,403.49 Short-Term Year to Date $6,643,613.66 $6,639,075.84 $4,537.82 Net Realized Gain/(Loss) This Period $2,340,951.62 $2,333,548.13 $7,403.49 Net Realized Gain/(Loss) Year to Date $18,247,581.12 $18,322,986.83 $(75,405.71) Treasury regulations require that we report on Form 1099-B a) adjusted cost basis on the sale of covered securities acquired on or after 1/1/11 (or the applicable date for the type of security), b) the gain or loss as either long-term or short-term, and c) basis adjustments on covered securities due to wash sales, certain corporate actions and transfers by gift or inheritance. This section may not reflect all the basis adjustments required when filing your tax return. Refer to the Expanded Disclosures. MESSAGES Settlement Cycle Change to Trade Date Plus Two (T+2) On September 5, 2017, the settlement cycle for equities, corporate and municipal bonds, and unit investment trusts traded in the United States, Canada and Mexico will change from a three day to a two day cycle. Upon the effective date, you will be required to fund purchases and make deliveries of securities for sales on trade date plus two business days. Important Information About Advisory Accounts Please notify your Financial Advisor if there have been any changes in your financial situation or investment objectives, or if you wish to impose any reasonable restrictions on the management of your Investment Advisory accounts, or to reasonably modify existing restrictions. For a copy of the applicable ADV Brochure for Morgan Stanley Smith Barney LLC, or for any investment adviser with whom we contract to manage your investment advisory account, please visit www.morganstanley.com/ADV, or contact your Financial Advisor. These ADV Brochures contain important information about advisory programs.