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09 - June 2017TOTAL VALUE OF YOUR ACCOUNTS (as of 6/30/17)$16,178,717.51 Includes Accrued Interest CLIENT STATEMENT For the Period June 1-30, 2017 660 - 110000 - 095 -1 - 0 STATEMENT PACKAGE FOR: CITY OF ATLANTIC BEACH C/O RUSSELL CAFFEY Morgan Stanley Smith Barney LLC. Member SIPC. Access Your Account s 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 Client Service Center (24 Hours a Day; 7 Days a Week): 800-869-3326 0003131 04 AB 1.297 04 TR 00057 MSADT232 100000 #BWNJGWM CITY OF ATLANTIC BEACH C/O RUSSELL CAFFEY 800 SEMINOLE ROAD ATLANTIC BCH FL 32233-5444 00 3 1 3 1 M S A D T 2 3 2 Expanded Disclosures CLIENT STATEMENT For the Period June 1-30, 2017 CONTINUED Page 2 of 30 Expanded Disclosures, which apply to all statements Morgan Stanley Smith Barney LLC (we/us) sends to you, are provided with your first statement and thereafter twice a year. 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 Please 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 or mail to P.O. Box 95002, South Jordan, UT 84095, or “Contact Us” at www.morganstanley.com. Senior Investor Helpline For concerns or complaints, Senior Investors may contact our Firm at (800) 280-4534 or use the PO Box or corporate website listed above. Account Valuation Account values are computed by adding (1) the market value of all priced positions and (2) market values provided by pricing services and/or outside custodians, as applicable for other positions, and by adding any credit or subtracting any debit to your closing Cash, Money Market Funds and/or Deposit balance. Cash, Deposits and Money Market Funds are displayed on a settlement date basis, and other positions are displayed in your account on a trade date basis. The values of fixed income positions in summary displays include accrued interest in the totals. In the “Holdings” section, fixed income market value and accrued interest are also displayed in separate columns. Accrued interest is the interest earned but not yet paid on the bond since its last interest payment. In most cases, it is calculated from the date of the last coupon payment (or “dated date”) through the closing date of the statement. Foreign Currency Deposits are reflected in U.S. dollars as of the statement end date. The Annual Percentage Yield (APY) for deposits represents the applicable rate in effect for your deposits at the statement ending date. This APY may be different than the APY that was in effect during the statement period. For current Bank Deposit or Money Market Fund yields, go to www.morganstanley.com/wealth-investmentstrategies/ratemonitor.html. Additional Retirement Account Information Tax-qualified account contributions are subject to IRS eligibility rules and regulations. The Contributions information in this statement reflects contributions for a particular account, without reference to any other account. Check with your tax advisor to verify how much you can contribute, if the contribution will be tax deductible, and if other special rules apply (e.g., to conversions/recharacterizations of Traditional to Roth/Roth to Traditional IRAs). Tax reporting is provided for IRA, VIP Basic and 403(b) accounts but not for VIP Plus and RPM accounts. The account value used for your Required Minimum Distribution calculation, if any, is based on the prior December 31st Account Value, including accrued interest. Additionally, for IRAs (1) the "Max. Individual Contributions Allowed (by SSN)" reflects the annual limit on contributions that you can make to Traditional and Roth IRAs under the Internal Revenue Code (this limit applies on a per person basis, not per account; other rules apply to IRAs which are part of employer- sponsored plans); (2) you cannot make an individual contribution to a Traditional IRA for the year in which you reach age 70 1/2 or any later year; and (3) the categorization of any contribution’s deductibility is based upon information provided by you. The information included in this statement is not intended to constitute tax, legal or accounting advice. Contact us if any of this information is incorrect. 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. Gain/(Loss) Information Gain/(Loss) is provided for informational purposes. It is not a substitute for Internal Revenue Service (IRS) Form 1099 (on which we report cost basis for covered securities) or any other IRS tax form, and should not be used for tax preparation. Unrealized Gain/(Loss) provided on this statement is an estimate. Contact your own independent legal or tax advisor to determine the appropriate use of the Gain/(Loss) information on this statement. For more information, go to www.morganstanley.com/wealth/disclosures/disclosures.asp, or call Client Service Center. Tax Reporting Under Federal Income Tax law, we are required to report gross proceeds of sales (including entering into short sales) on Form 1099-B by February 15 of the year following the calendar year of the transaction for reportable (i.e. non-retirement) accounts. For sales of certain securities acquired on or after January 1, 2011 (or applicable date for the type of security) we are also required to report cost basis and holding period. Under Internal Revenue Service regulations, if you have not provided us with a certification of either U.S. or foreign status on applicable Form W-9 or W-8, your accounts may be subject to either 28% back-up withholding or 30% nonresident alien withholding on payments made to your accounts. Investment Objectives The following is an explanation of the investment objective alternatives applicable to your account(s): Income - for investors seeking regular income with low to moderate risk to principal; Capital Appreciation - for investors seeking capital appreciation with moderate to high risk to principal; Aggressive Income - for investors seeking higher returns either as growth or as income with greater risk to principal; Speculation - for investors seeking high profits or quick returns with considerable possibility of losing most or all of their investment. 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. The amount you may borrow is based on the value of eligible securities in your margin accounts. If a security has eligible shares the number of shares pledged as collateral is indicated below the position. If you have a margin account, as permitted by law, we may use certain securities in your account for, among other things, settling short sales or lending the securities for short sales, for which we may receive compensation. 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 Expanded Disclosures (CONTINUED) CLIENT STATEMENT For the Period June 1-30, 2017 Page 3 of 30 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. Money Market Fund (MMF) Pricing You could lose money in MMFs. Although MMFs classified as government funds (i.e., MMFs that invest 99.5% of total assets in cash and/or securities backed by the U.S government) and retail funds (i.e., MMFs open to natural person investors only) seek to preserve value at $1.00 per share, they cannot guarantee they will do so. The price of other MMFs will fluctuate and when you sell shares they may be worth more or less than originally paid. MMFs may impose a fee upon sale or temporarily suspend sales if liquidity falls below required minimums. During suspensions, shares would not be available for purchases, withdrawals, check writing or ATM debits. A MMF investment is not insured or guaranteed by the Federal Deposit Insurance Corporation or other government agency. Notice Regarding Global Investment Manager Analysis Morgan Stanley’s Global Investment Manager Analysis team conducts analysis on various mutual funds and exchange-traded funds for clients holding those funds in certain investment advisory programs. If you have invested in any of these funds in another type of account, such as a brokerage account, you will not receive the same materials and status updates on the funds as we provide to investment advisory clients (including instructions on selling fund shares). Pricing of Securities The prices of securities are derived from various sources, and do not necessarily represent the prices at which those securities could have been bought or sold. Although we attempt to use reliable sources of information, we can offer no assurance as to their accuracy. Prices of securities not actively traded may not be available, and are indicated by N/A (not available). For additional information on how we price securities, go to www.morganstanley.com/wealth/disclosures/disclosures.asp. 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, which may include, but are not limited to: loss of initial investment; issuer credit risk and price volatility resulting from any actual or anticipated changes to issuer's and/or guarantor's credit ratings or credit spreads; limited or no appreciation and limits on participation in any appreciation of underlying asset(s); risks associated with the underlying reference asset(s); no periodic payments; call prior to maturity; early redemption fees for market linked deposits; lower interest rates and/or yield compared to conventional debt with comparable maturity; unique tax implications; limited or no secondary market; and conflicts of interest due to affiliation, compensation or other factors which could adversely affect market value or payout to investors. Investors also 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. When displayed, the accrued interest, annual income and yield for structured investments with a contingent income feature (e.g., Range Accrual Notes and Contingent Income Notes) are estimates and assume specified accrual conditions are met during the relevant observation period and payment in full of all contingent interest. Actual accrued interest, annual income and yield will be dependent upon the performance of the underlying asset(s) and may be significantly lower than the estimates shown. 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. For more information on the risks specific to your Structured Investments, contact your Financial Advisor. 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. Certain Assets Not Held at Morgan Stanley Smith Barney LLC You may purchase certain assets through us that may be held at another financial institution. Assets not held with us may not be covered by SIPC protection. We may include information about certain of these assets on this statement solely as a service to you and are not responsible for any information provided by external sources. Generally, any financial institution that holds securities is responsible for year-end reporting (1099s) and separate periodic statements, which may vary from our information due to different tax reporting periods. In the case of networked mutual funds, we perform all year-end tax reporting. Under certain circumstances, such as IRA accounts, we perform all tax reporting. Total Income Total income, as used in the income summaries, represents dividends and/or interest on securities we receive on your behalf and credit to your account(s) during the calendar year. We report dividend distributions and taxable bond interest credited to your account to the Internal Revenue Service. The totals we report may differ from those indicated as "This Year" figures on the last statement for the calendar year. In the case of Real Estate Investment Trusts (REITs), Master Limited Partnerships, Regulated Investment Companies and Unit Investment Trusts, some sponsors may reclassify the distribution to a different tax type for year-end reporting. Transaction Dates and Conditions Transactions display trade date and settlement date. Transactions are included on this statement on trade date basis (excluding BDP and MMFs). Trades that have not settled as of statement month end will also be displayed in the “Unsettled Purchases/Sales Activity” section. Upon written request, we will give you 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. Tax and Legal Disclosure Morgan Stanley does not provide legal or tax advice. Please consult your own tax advisor. Revised 03/2017 00 3 1 3 1 M S A D T 2 3 2 This page intentionally left blank Page 4 of 30 CONSOLIDATED SUMMARY PERSONAL ACCOUNTS RETIREMENT ACCOUNTS EDUCATION ACCOUNTS TRUST ACCOUNTS BUSINESS ACCOUNTS Consulting and Evaluation Services Active Assets Account 660-110000-095 CHANGE IN VALUE OF YOUR ACCOUNTS (includes accrued interest) This Period (6/1/17-6/30/17) This Year (1/1/17-6/30/17) TOTAL BEGINNING VALUE $16,192,070.16 $16,100,433.59 Credits —1,839.01 Debits (5,397.18)(17,888.25) Security Transfers —— Net Credits/Debits/Transfers $(5,397.18)$(16,049.24) Change in Value (7,955.47)94,333.16 TOTAL ENDING VALUE $16,178,717.51 $16,178,717.51 Net Credits / Debits include investment advisory fees as applicable. See Activity section for details. MARKET VALUE OVER TIME The below chart displays the most recent thirteen months of Market Value. CLIENT STATEMENT For the Period June 1-30, 2017 Account Summary CITY OF ATLANTIC BEACH C/O RUSSELL CAFFEY This asset allocation represents holdings on a trade date basis, and projected settled Cash/ BDP and MMF balances. These classifications do not constitute a recommendation and may differ from the classification of instruments for regulatory or tax purposes. JUN JUL AUG SEP OCT NOV DEC JAN FEB MAR APR MAY JUN 13 14 15 16 17 18 ($ ) 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 5 of 30 ASSET ALLOCATION (includes accrued interest) Cash Fixed Income & Preferreds Market Value Percentage Cash $89,652.92 0.55 Fixed Income & Preferreds 16,089,064.59 99.45 TOTAL VALUE $16,178,717.51 100.00% 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. 00 3 1 3 1 M S A D T 2 3 2 Account Summary CLIENT STATEMENT For the Period June 1-30, 2017 Consulting and Evaluation Services Active Assets Account 660-110000-095 CITY OF ATLANTIC BEACH C/O RUSSELL CAFFEY Page 6 of 30 BALANCE SHEET (^ includes accrued interest) Last Period (as of 5/31/17) This Period (as of 6/30/17) Cash, BDP, MMFs $61,455.64 $69,540.48 Corporate Fixed Income^4,902,449.16 4,948,206.56 Government Securities^11,092,712.74 11,140,858.03 Net Unsettled Purchases/Sales 135,452.62 20,112.44 Total Assets $16,192,070.16 $16,178,717.51 Total Liabilities (outstanding balance)—— TOTAL VALUE $16,192,070.16 $16,178,717.51 CASH FLOW This Period (6/1/17-6/30/17) This Year (1/1/17-6/30/17) OPENING CASH, BDP, MMFs $61,455.64 $4,239,844.93 Purchases (684,011.76)(23,585,133.98) Dividend Reinvestments —(22,669.13) Sales and Redemptions 560,012.89 19,353,002.51 Prior Net Unsettled Purch/Sales 135,452.62 N/A Net Unsettled Purch/Sales (20,112.44)(20,112.44) Return of Principal 4,830.33 12,783.69 Income and Distributions 17,310.38 107,874.14 Total Investment Related Activity $13,482.02 $(4,154,255.21) Electronic Transfers-Debits (5,397.39)(5,397.39) Other Credits —1,839.01 Other Debits 0.21 (12,490.86) Total Cash Related Activity $(5,397.18)$(16,049.24) Total Card/Check Activity —— CLOSING CASH, BDP, MMFs $69,540.48 $69,540.48 Account Summary CLIENT STATEMENT For the Period June 1-30, 2017 Consulting and Evaluation Services Active Assets Account 660-110000-095 CITY OF ATLANTIC BEACH C/O RUSSELL CAFFEY Page 7 of 30 INCOME AND DISTRIBUTION SUMMARY This Period (6/1/17-6/30/17) This Year (1/1/17-6/30/17) Other Dividends —$22,463.64 Interest 17,310.38 67,228.48 Total Taxable Income And Distributions $17,310.38 $89,692.12 Total Tax-Exempt Income —— TOTAL INCOME AND DISTRIBUTIONS $17,310.38 $89,692.12 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 (6/1/17-6/30/17) Realized This Year (1/1/17-6/30/17) Unrealized Inception to Date (as of 6/30/17) Short-Term Gain $1,722.16 $12,805.41 $11,567.28 Short-Term (Loss)(791.47)(8,049.14)(41,642.07) Total Short-Term $930.69 $4,756.27 $(30,074.79) Long-Term Gain —10,958.01 — Long-Term (Loss)—(90,901.54)— Total Long-Term —$(79,943.53)— TOTAL GAIN/(LOSS)$930.69 $(75,187.26)$(30,074.79) Disallowed Loss —$112.09 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. ADDITIONAL ACCOUNT INFORMATION Category This Period (6/1/17-6/30/17) This Year (1/1/17-6/30/17)Category This Period (6/1/17-6/30/17) This Year (1/1/17-6/30/17) Accrued Interest Paid $1,758.62 $61,218.35 Accrued Interest Received 1,981.50 15,046.32 U.S. Treasury Coupon Interest —23,202.02 00 3 1 3 1 M S A D T 2 3 2 Account Summary CLIENT STATEMENT For the Period June 1-30, 2017 Consulting and Evaluation Services Active Assets Account 660-110000-095 CITY OF ATLANTIC BEACH C/O RUSSELL CAFFEY Page 8 of 30 ADVISORY ACCOUNT REVIEW (as of 06/30/17) Below is important information about your advisory account. Confirm that the information is consistent with your understanding of the details of the account and contact your Advisor if you have questions or updates. The disclosure documents for our investment advisory services relating to the specific advisory program(s) you participate in can be found at morganstanley.com/adv. Advisory Program: Consulting and Evaluation Services Advisory Account Inception Date: 01/25/17 Current Morgan Stanley Advisory Effective Fee Rate For This Account*: 0.18% Last Advisory Trade: 06/27/17 Account Holder Votes Proxy +: No Investment Objectives:(1) Income; (2) Capital Appreciation; (3) Aggressive Income; (4) Speculation Account Risk Tolerance:Conservative Primary Financial Need:Current Income Investment Time Horizon:Immediate Liquidity Needs:11 - 20 years Restrictions: None If you currently have a Single Advisory Contract on file with Morgan Stanley, you can open other advisory accounts or make changes to this advisory account through discussions with your Advisor. If you open a new advisory account or make changes to this advisory account, the terms of the new account or changes will be confirmed back to you in writing. *This Advisory Fee Rate is effective as of the date referenced above and is based upon the last posted quarterly or inception fee for this account. The fee rate is blended. This means that as the value of account assets reaches certain breakpoints, the incremental assets above each threshold are charged the applicable rate, as referenced in your fee schedule. The effective fee rate for the account as a whole is then a weighted average of the scheduled rates, and may change with the account asset level. There may be additional fees or expenses that you may incur depending on the investment products in your account. Please review the applicable investment advisory agreement and Form ADV Brochure for additional information. +The account holder has delegated the authority to vote proxies for the account to Morgan Stanley, an affiliate, or a third party portfolio manager, as applicable and if available in the advisory program. Account Detail CLIENT STATEMENT For the Period June 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 9 of 30 † 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 $4,256.16 MORGAN STANLEY PRIVATE BANK NA #65,284.32 —13.00 0.020 Percentage of Holdings Market Value Est Ann Income CASH, BDP, AND MMFs $69,540.48 $13.00 NET UNSETTLED PURCHASES/SALES $20,112.44 CASH, BDP, AND MMFs (PROJECTED SETTLED BALANCE)0.55%$89,652.92 # 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. The “Projected Settled Balance” includes accrued interest on deposits and reflects the impact of unsettled purchases/sales. 00 3 1 3 1 M S A D T 2 3 2 Account Detail CLIENT STATEMENT For the Period June 1-30, 2017 Consulting and Evaluation Services Active Assets Account 660-110000-095 CITY OF ATLANTIC BEACH C/O RUSSELL CAFFEY Page 10 of 30 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 $99.938 $49,964.50 $49,964.50 $49,969.00 $4.50 ST $363.00 $44.30 0.72 Int. Semi-Annually Jun/Dec 08; Yield to Maturity 1.591%; Moody BAA1 S&P A-; Issued 12/13/12; Asset Class: FI & Pref MORGAN STANLEY SER-F Coupon Rate 1.875%; Matures 01/05/2018; CUSIP 61761JVM8 3/21/17 30,000.000 100.187 100.123 100.119 30,056.10 30,036.79 30,035.70 (1.09)ST 563.00 273.43 1.87 Int. Semi-Annually Jan/Jul 05; Yield to Maturity 1.641%; 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 55,000.000 100.347 100.226 100.098 55,190.85 55,124.11 55,053.90 (70.21)ST 1,100.00 458.33 1.99 Int. Semi-Annually Jan/Jul 31; Callable $100.00 on 12/31/17; Yield to Call 1.803%; 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 50,000.000 100.124 100.084 100.076 50,062.00 50,042.02 50,038.00 (4.02)ST 825.00 309.37 1.64 Int. Semi-Annually Feb/Aug 15; Callable $100.00 on 01/15/18; Yield to Call 1.508%; Moody A3 S&P A-; Issued 02/14/13; Asset Class: FI & Pref VENTAS REALTY LP/CAP CRP Coupon Rate 2.000%; Matures 02/15/2018; CUSIP 92276MBA2 5/16/17 35,000.000 100.168 100.142 100.136 35,058.80 35,049.54 35,047.60 (1.94)ST 700.00 262.50 1.99 Int. Semi-Annually Feb/Aug 15; Callable $100.00 on 01/15/18; Yield to Call 1.746%; Moody BAA1 S&P BBB+; Issued 12/13/12; Asset Class: FI & Pref NORTHERN STATES PWR MINN Coupon Rate 5.250%; Matures 03/01/2018; CUSIP 665772CD9 3/3/17 45,000.000 103.651 102.473 102.434 46,642.95 46,112.69 46,095.30 (17.39)ST 2,363.00 780.93 5.12 Int. Semi-Annually Mar/Sep 01; Yield to Maturity 1.577%; 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 32,000.000 103.717 102.539 102.431 33,189.44 32,812.37 32,777.92 (34.45)ST 1,712.00 565.91 5.22 Int. Semi-Annually Mar/Sep 01; Yield to Maturity 1.679%; 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 35,000.000 103.716 102.612 102.590 36,300.60 35,914.07 35,906.50 (7.57)ST 1,855.00 541.04 5.16 Int. Semi-Annually Mar/Sep 15; Yield to Maturity 1.604%; 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 3/13/17 200,000.000 100.000 100.000 100.457 200,000.00 200,000.00 200,914.00 914.00 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 50,000.000 103.514 102.672 102.696 51,757.00 51,335.92 51,348.00 12.08 ST 2,550.00 531.24 4.96 Int. Semi-Annually Apr/Oct 15; Yield to Maturity 1.655%; Moody AA2 S&P A; Issued 04/14/08; Asset Class: FI & Pref SOUTHERN CALIF GAS CO Coupon Rate 5.450%; Matures 04/15/2018; CUSIP 842434CD2 2/7/17 30,000.000 104.372 102.921 102.939 31,311.60 30,876.39 30,881.70 5.31 ST 1,635.00 340.62 5.29 Int. Semi-Annually Apr/Oct 15; Yield to Maturity 1.693%; Moody AA2 S&P A+; Issued 10/17/03; Asset Class: FI & Pref Account Detail CLIENT STATEMENT For the Period June 1-30, 2017 Consulting and Evaluation Services Active Assets Account 660-110000-095 CITY OF ATLANTIC BEACH C/O RUSSELL CAFFEY Page 11 of 30 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 % BANK OF AMERICA NA Coupon Rate 5.650%; Matures 05/01/2018; CUSIP 06051GDX4 2/24/17 30,000.000 104.534 103.245 103.140 31,360.20 30,973.39 30,942.00 (31.39)ST 1,695.00 277.79 5.47 Int. Semi-Annually May/Nov 01; Yield to Maturity 1.845%; 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 50,000.000 104.599 103.338 103.304 52,299.50 51,669.02 51,652.00 (17.02)ST 2,825.00 462.98 5.46 Int. Semi-Annually May/Nov 01; Yield to Maturity 1.652%; 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 50,000.000 103.966 103.001 103.169 51,983.00 51,500.54 51,584.50 83.96 ST 2,650.00 434.30 5.13 Int. Semi-Annually May/Nov 01; Yield to Maturity 1.470%; 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 99.916 34,932.10 34,932.10 34,970.60 38.50 ST 578.00 85.02 1.65 Int. Semi-Annually May/Nov 07; Yield to Maturity 1.749%; 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 30,000.000 104.643 103.420 103.383 31,392.90 31,025.93 31,014.90 (11.03)ST 1,650.00 206.25 5.32 Int. Semi-Annually May/Nov 15; Yield to Maturity 1.589%; 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 30,000.000 105.317 103.669 103.607 31,595.10 31,100.84 31,082.10 (18.74)ST 1,740.00 217.50 5.59 Int. Semi-Annually May/Nov 15; Yield to Maturity 1.629%; 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 50,000.000 104.604 103.774 103.792 52,302.00 51,887.09 51,896.00 8.91 ST 2,975.00 239.65 5.73 Int. Semi-Annually Jun/Dec 01; Yield to Maturity 1.772%; 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 35,000.000 100.209 100.155 100.105 35,073.15 35,054.34 35,036.75 (17.59)ST 613.00 49.34 1.74 Int. Semi-Annually Jun/Dec 01; Yield to Maturity 1.634%; 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 5/24/17 25,000.000 25,000.000 103.185 102.340 102.407 102.201 102.211 102.211 25,796.25 25,585.11 25,601.75 25,550.31 25,552.75 25,552.75 (32.36) 2.44 ST ST Total 50,000.000 51,398.00 51,135.42 51,105.50 (29.92)ST 2,125.00 171.18 4.15 Int. Semi-Annually Jun/Dec 01; Yield to Maturity 1.813%; 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 30,000.000 100.324 100.233 100.265 30,097.20 30,069.99 30,079.50 9.51 ST 585.00 24.37 1.94 Int. Semi-Annually Jun/Dec 15; Yield to Maturity 1.670%; 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 99.817 100.059 49,908.50 49,908.50 50,029.50 121.00 ST 825.00 34.37 1.64 Int. Semi-Annually Jun/Dec 15; Yield to Maturity 1.588%; Moody A3 S&P BBB+; Issued 06/10/15; Asset Class: FI & Pref 00 3 1 3 1 M S A D T 2 3 2 Account Detail CLIENT STATEMENT For the Period June 1-30, 2017 Consulting and Evaluation Services Active Assets Account 660-110000-095 CITY OF ATLANTIC BEACH C/O RUSSELL CAFFEY Page 12 of 30 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 30,000.000 105.348 104.100 104.026 31,604.40 31,229.87 31,207.80 (22.07)ST 1,695.00 776.87 5.43 Int. Semi-Annually Jan/Jul 15; Yield to Maturity 1.732%; 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 30,000.000 101.366 101.089 101.136 30,409.80 30,326.78 30,340.80 14.02 ST 870.00 389.08 2.86 Int. Semi-Annually Jan/Jul 19; Yield to Maturity 1.805%; Moody A3 S&P BBB+; Issued 07/19/13; Asset Class: FI & Pref VERIZON COMMUNICATIONS Coupon Rate 2.991%; Matures 09/14/2018; CUSIP 92343VBM5 3/9/17 35,000.000 102.256 101.814 101.809 35,789.60 35,634.76 35,633.15 (1.61)ST 1,047.00 46.53 2.93 Interest Paid Quarterly Dec 14; Yield to Maturity 1.471%; 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 30,000.000 105.174 104.152 104.099 31,552.20 31,245.69 31,229.70 (15.99)ST 1,575.00 389.37 5.04 Int. Semi-Annually Apr/Oct 01; Yield to Maturity 1.920%; 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 30,000.000 101.097 100.838 100.968 30,329.10 30,251.50 30,290.40 38.90 ST 765.00 159.37 2.52 Int. Semi-Annually Apr/Oct 15; Callable $100.00 on 09/15/18; Yield to Call 1.736%; 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 25,000.000 102.908 102.270 102.081 25,727.00 25,567.39 25,520.25 (47.14)ST 925.00 115.62 3.62 Int. Semi-Annually May/Nov 15; Callable $100.00 on 08/15/18; Yield to Call 1.821%; Moody BAA2 S&P A-; Issued 11/10/11; Asset Class: FI & Pref CITIGROUP INC Coupon Rate 2.050%; Matures 12/07/2018; CUSIP 172967KE0 5/2/17 30,000.000 100.199 100.180 100.149 30,059.70 30,053.92 30,044.70 (9.22)ST 615.00 39.29 2.04 Int. Semi-Annually Jun/Dec 07; Yield to Maturity 1.944%; Moody BAA1 S&P BBB+; Issued 12/07/15; Asset Class: FI & Pref KEYCORP Coupon Rate 2.300%; Matures 12/13/2018; CUSIP 49326EEE9 2/27/17 30,000.000 100.658 100.537 100.540 30,197.40 30,161.19 30,162.00 0.81 ST 690.00 32.58 2.28 Int. Semi-Annually Jun/Dec 13; Callable $100.00 on 11/13/18; Yield to Call 1.898%; Moody BAA1 S&P BBB+; Issued 11/13/13; Asset Class: FI & Pref MARATHON PETROLEUM CORP Coupon Rate 2.700%; Matures 12/14/2018; CUSIP 56585AAK8 5/25/17 20,000.000 101.087 101.020 100.763 20,217.40 20,203.91 20,152.60 (51.31)ST 540.00 22.50 2.67 Int. Semi-Annually Jun/Dec 15; Yield to Maturity 2.164%; Moody BAA2 S&P BBB; Issued 12/14/15; Asset Class: FI & Pref THERMO FISHER SCIENTIFIC INC Coupon Rate 2.150%; Matures 12/14/2018; CUSIP 883556BL5 4/18/17 35,000.000 100.612 100.540 100.375 35,214.20 35,189.17 35,131.25 (57.92)ST 753.00 31.35 2.14 Int. Semi-Annually Jun/Dec 15; Yield to Maturity 1.887%; 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 35,000.000 101.371 101.130 100.942 35,479.85 35,395.52 35,329.70 (65.82)ST 910.00 417.08 2.57 Int. Semi-Annually Jan/Jul 15; Yield to Maturity 1.976%; 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 30,000.000 101.102 100.882 101.011 30,330.60 30,264.48 30,303.30 38.82 ST 788.00 328.12 2.60 Int. Semi-Annually Jan/Jul 31; Yield to Maturity 1.974%; Moody A3 S&P BBB+; Issued 01/31/14; Asset Class: FI & Pref Account Detail CLIENT STATEMENT For the Period June 1-30, 2017 Consulting and Evaluation Services Active Assets Account 660-110000-095 CITY OF ATLANTIC BEACH C/O RUSSELL CAFFEY Page 13 of 30 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 % ANHEUSER-BUSCH INBEV FIN Coupon Rate 1.900%; Matures 02/01/2019; CUSIP 035242AG1 5/19/17 35,000.000 100.274 100.257 100.224 35,095.90 35,090.12 35,078.40 (11.72)ST 665.00 275.23 1.89 Int. Semi-Annually Feb/Aug 01; Yield to Maturity 1.756%; Moody A3 S&P A-; Issued 01/25/16; Asset Class: FI & Pref CONOCOPHILLIPS Coupon Rate 5.750%; Matures 02/01/2019; CUSIP 20825CAR5 3/28/17 7,000.000 106.858 106.858 105.845 7,480.06 7,480.05 7,409.15 (70.90)ST 403.00 166.59 5.43 Int. Semi-Annually Feb/Aug 01; Yield to Maturity 1.987%; 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 30,000.000 100.834 100.669 100.668 30,250.20 30,200.76 30,200.40 (0.36)ST 735.00 304.20 2.43 Int. Semi-Annually Feb/Aug 01; Yield to Maturity 2.019%; Moody A3 S&P BBB+; Issued 01/27/16; Asset Class: FI & Pref SIMON PROPERTY GROUP LP Coupon Rate 2.200%; Matures 02/01/2019; CUSIP 828807CQ8 2/3/17 25,000.000 100.879 100.705 100.631 25,219.75 25,176.25 25,157.75 (18.50)ST 550.00 227.63 2.18 Int. Semi-Annually Feb/Aug 01; Callable $100.00 on 11/01/18; Yield to Call 1.719%; 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 35,000.000 109.170 107.553 107.291 38,209.50 37,643.59 37,551.85 (91.74)ST 2,345.00 970.56 6.24 Int. Semi-Annually Feb/Aug 01; Yield to Maturity 2.005%; Moody A2 S&P A; Issued 06/19/08; Asset Class: FI & Pref OVERSEAS PRIVATE INV COR Zero Coupon; Matures 02/11/2019; CUSIP 690353V20 6/19/17 40,000.000 100.000 100.000 99.993 40,000.00 40,000.00 39,997.20 (2.80)ST —— Issued 06/26/17; Asset Class: FI & Pref PRINCETON UNIVERSITY Coupon Rate 4.950%; Matures 03/01/2019; CUSIP 89837LAA3 3/24/17 50,000.000 106.229 105.411 105.371 53,114.50 52,705.31 52,685.50 (19.81)ST 2,475.00 818.12 4.69 Int. Semi-Annually Mar/Sep 01; Yield to Maturity 1.673%; 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 31,000.000 104.440 103.628 103.716 32,376.40 32,124.70 32,151.96 27.26 ST 1,380.00 456.00 4.29 Int. Semi-Annually Mar/Sep 01; Yield to Maturity 2.170%; 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 25,000.000 101.072 100.870 101.043 25,268.00 25,217.50 25,260.75 43.25 ST 600.00 175.00 2.37 Int. Semi-Annually Mar/Sep 15; Callable $100.00 on 02/15/19; Yield to Call 1.746%; 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 40,000.000 109.728 108.249 108.089 43,891.20 43,299.51 43,235.60 (63.91)ST 2,780.00 772.22 6.42 Int. Semi-Annually Mar/Sep 20; Yield to Maturity 2.138%; 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 99.940 100.376 59,964.00 59,964.00 60,225.60 261.60 ST 1,140.00 307.16 1.89 Int. Semi-Annually Mar/Sep 22; Callable $100.00 on 07/30/17; Yield to Call .005%; 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 30,000.000 108.302 107.547 107.136 32,490.60 32,264.10 32,140.80 (123.30)ST 1,902.00 470.21 5.91 Int. Semi-Annually Apr/Oct 01; Yield to Maturity 2.167%; Moody A2 S&P A-; Issued 03/26/09; Asset Class: FI & Pref 00 3 1 3 1 M S A D T 2 3 2 Account Detail CLIENT STATEMENT For the Period June 1-30, 2017 Consulting and Evaluation Services Active Assets Account 660-110000-095 CITY OF ATLANTIC BEACH C/O RUSSELL CAFFEY Page 14 of 30 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 % PORTLAND GENERAL ELECTRIC Coupon Rate 6.100%; Matures 04/15/2019; CUSIP 736508BQ4 3/1/17 45,000.000 108.304 107.065 107.411 48,736.80 48,179.20 48,334.95 155.75 ST 2,745.00 571.87 5.67 Int. Semi-Annually Apr/Oct 15; Yield to Maturity 1.873%; 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 40,000.000 101.163 100.987 100.938 40,465.20 40,394.69 40,375.20 (19.49)ST 1,000.00 163.88 2.47 Int. Semi-Annually May/Nov 01; Callable $100.00 on 04/01/19; Yield to Call 1.952%; Moody BAA1 S&P BBB+; Issued 05/01/14; Asset Class: FI & Pref PEPSICO INC Coupon Rate 1.550%; Matures 05/02/2019; CUSIP 713448DR6 4/27/17 30,000.000 99.925 99.925 99.966 29,977.50 29,977.50 29,989.80 12.30 ST 465.00 74.91 1.55 Int. Semi-Annually May/Nov 02; Yield to Maturity 1.569%; First Coupon 11/02/17; Moody A1 S&P A+; 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 99.992 19,991.80 19,991.80 19,998.40 6.60 ST 375.00 59.37 1.87 Int. Semi-Annually May/Nov 03; Callable $100.00 on 04/03/19; Yield to Call 1.879%; First Coupon 11/03/17; Moody A2 S&P A-; Issued 05/03/17; Asset Class: FI & Pref BANK OF NEW YORK MELLON Coupon Rate 5.450%; Matures 05/15/2019; CUSIP 06406HBM0 5/16/17 35,000.000 107.017 106.611 106.541 37,455.95 37,313.85 37,289.35 (24.50)ST 1,908.00 238.43 5.11 Int. Semi-Annually May/Nov 15; Yield to Maturity 1.882%; Moody A1 S&P A; Issued 05/12/09; Asset Class: FI & Pref DARTMOUTH COLLEGE Coupon Rate 4.750%; Matures 06/01/2019; CUSIP 89837RAA0 5/23/17 50,000.000 105.764 105.490 105.862 52,882.00 52,744.75 52,931.00 186.25 ST 2,375.00 191.31 4.48 Int. Semi-Annually Jun/Dec 01; Yield to Maturity 1.635%; Moody AA1 S&P AA+; Issued 06/10/09; Asset Class: FI & Pref PUBLIC SERVICE COLORADO Coupon Rate 5.125%; Matures 06/01/2019; CUSIP 744448CC3 2/1/17 41,000.000 107.210 105.978 105.968 43,956.10 43,451.18 43,446.88 (4.30)ST 2,101.00 169.26 4.83 Int. Semi-Annually Jun/Dec 01; Yield to Maturity 1.942%; Moody A1 S&P A; Issued 06/04/09; Asset Class: FI & Pref CITIGROUP INC Coupon Rate 2.050%; Matures 06/07/2019; CUSIP 172967KS9 5/2/17 30,000.000 100.060 100.056 100.065 30,018.00 30,016.68 30,019.50 2.82 ST 615.00 39.29 2.04 Int. Semi-Annually Jun/Dec 07; Yield to Maturity 2.015%; Moody BAA1 S&P BBB+; Issued 06/09/16; Asset Class: FI & Pref NORFOLK SOUTHERN CORP Coupon Rate 5.900%; Matures 06/15/2019; CUSIP 655844BC1 2/1/17 41,000.000 108.734 107.270 107.605 44,580.94 43,980.73 44,118.05 137.32 ST 2,419.00 100.79 5.48 Int. Semi-Annually Jun/Dec 15; Yield to Maturity 1.924%; 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 35,000.000 109.630 108.807 108.449 38,370.50 38,082.46 37,957.15 (125.31)ST 2,293.00 1,050.72 6.04 Int. Semi-Annually Jan/Jul 15; Yield to Maturity 2.290%; 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 99.904 100.147 9,990.40 9,990.40 10,014.70 24.30 ST 195.00 43.33 1.94 Int. Semi-Annually Jan/Jul 15; Yield to Maturity 1.876%; First Coupon 07/15/17; Moody BAA2 S&P BBB; Issued 04/10/17; Asset Class: FI & Pref TOYOTA MOTOR CREDIT CORP Coupon Rate 2.125%; Matures 07/18/2019; CUSIP 89236TBP9 5/4/17 50,000.000 100.681 100.637 100.694 50,340.50 50,318.40 50,347.00 28.60 ST 1,063.00 478.12 2.11 Int. Semi-Annually Jan/Jul 18; Yield to Maturity 1.779%; Moody AA3 S&P AA-; Issued 07/18/14; Asset Class: FI & Pref Account Detail CLIENT STATEMENT For the Period June 1-30, 2017 Consulting and Evaluation Services Active Assets Account 660-110000-095 CITY OF ATLANTIC BEACH C/O RUSSELL CAFFEY Page 15 of 30 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 % AMERICAN EXPRESS CREDIT Coupon Rate 2.250%; Matures 08/15/2019; CUSIP 0258M0DP1 2/27/17 35,000.000 100.928 100.805 100.861 35,324.80 35,281.82 35,301.35 19.53 ST 788.00 295.31 2.23 Int. Semi-Annually Feb/Aug 15; Yield to Maturity 1.835%; 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 99.971 100.101 34,989.85 34,989.85 35,035.35 45.50 ST 700.00 262.50 1.99 Int. Semi-Annually Feb/Aug 15; Callable $100.00 on 07/15/19; Yield to Call 1.949%; 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 30,000.000 108.859 107.581 107.222 32,657.70 32,274.24 32,166.60 (107.64)ST 1,763.00 367.18 5.48 Int. Semi-Annually Apr/Oct 15; Callable $100.00 on 07/15/19; Yield to Call 2.236%; Moody BAA2 S&P A-; Issued 10/09/09; Asset Class: FI & Pref ALEXANDRIA REAL ESTATE EQUITIES Coupon Rate 2.750%; Matures 01/15/2020; CUSIP 015271AF6 6/20/17 30,000.000 100.835 100.828 100.687 30,250.50 30,248.38 30,206.10 (42.28)ST 825.00 378.12 2.73 Int. Semi-Annually Jan/Jul 15; Callable $100.00 on 12/15/19; Yield to Call 2.460%; Moody BAA2 S&P BBB; Issued 07/18/14; 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 99.798 100.310 24,949.50 24,949.50 25,077.50 128.00 ST 563.00 245.31 2.24 Int. Semi-Annually Jan/Jul 23; Callable $100.00 on 12/23/19; Yield to Call 2.121%; 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 34,000.000 101.003 100.873 101.055 34,341.02 34,296.95 34,358.70 61.75 ST 901.00 382.92 2.62 Int. Semi-Annually Jan/Jul 27; Yield to Maturity 2.226%; 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 20,000.000 100.546 100.507 100.431 20,109.20 20,101.43 20,086.20 (15.23)ST 450.00 186.25 2.24 Int. Semi-Annually Jan/Jul 31; Callable $100.00 on 12/31/19; Yield to Call 2.072%; First Coupon 07/31/17; Moody BAA1 S&P A-; Issued 02/01/17; Asset Class: FI & Pref APPLE INC Coupon Rate 1.900%; Matures 02/07/2020; CUSIP 037833CK4 2/2/17 60,000.000 99.951 99.951 100.251 59,970.60 59,970.60 60,150.60 180.00 ST 1,140.00 446.50 1.89 Int. Semi-Annually Feb/Aug 07; Yield to Maturity 1.801%; 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 30,000.000 108.679 107.718 107.571 32,603.70 32,315.48 32,271.30 (44.18)ST 1,538.00 606.45 4.76 Int. Semi-Annually Feb/Aug 08; Yield to Maturity 2.122%; 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 99.858 100.219 54,921.90 54,921.90 55,120.45 198.55 ST 1,100.00 409.44 1.99 Int. Semi-Annually Feb/Aug 14; Yield to Maturity 1.914%; 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 99.609 100.070 49,804.50 49,804.50 50,035.00 230.50 ST 900.00 332.49 1.79 Int. Semi-Annually Feb/Aug 14; Yield to Maturity 1.772%; First Coupon 08/14/17; Moody AA3 S&P AA-; Issued 02/17/17; Asset Class: FI & Pref CITIGROUP INC Coupon Rate 2.400%; Matures 02/18/2020; CUSIP 172967JJ1 5/16/17 30,000.000 100.545 100.522 100.538 30,163.50 30,156.73 30,161.40 4.67 ST 720.00 264.00 2.38 Int. Semi-Annually Feb/Aug 18; Yield to Maturity 2.188%; Moody BAA1 S&P BBB+; Issued 02/18/15; Asset Class: FI & Pref 00 3 1 3 1 M S A D T 2 3 2 Account Detail CLIENT STATEMENT For the Period June 1-30, 2017 Consulting and Evaluation Services Active Assets Account 660-110000-095 CITY OF ATLANTIC BEACH C/O RUSSELL CAFFEY Page 16 of 30 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 % PACCAR FINANCIAL CORP Coupon Rate 1.950%; Matures 02/27/2020; CUSIP 69371RN69 2/22/17 50,000.000 99.820 99.820 99.993 49,910.00 49,910.00 49,996.50 86.50 ST 975.00 333.12 1.95 Int. Semi-Annually Feb/Aug 27; Yield to Maturity 1.952%; 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 99.492 100.059 100.059 32,938.29 32,938.29 21,888.24 21,888.24 33,019.47 22,012.98 81.18 124.74 ST ST Total 55,000.000 54,826.53 54,826.53 55,032.45 205.92 ST 1,128.00 372.70 2.04 Int. Semi-Annually Mar/Sep 01; Callable $100.00 on 02/01/20; Yield to Call 2.026%; 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 99.896 100.476 19,979.20 19,979.20 20,095.20 116.00 ST 440.00 143.00 2.18 Int. Semi-Annually Mar/Sep 03; Callable $100.00 on 02/01/20; Yield to Call 2.010%; 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 99.974 100.312 39,989.60 39,989.60 40,124.80 135.20 ST 780.00 247.00 1.94 Int. Semi-Annually Mar/Sep 04; Yield to Maturity 1.830%; 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 99.922 100.933 54,957.10 54,957.10 55,513.15 556.05 ST 1,375.00 423.95 2.47 Int. Semi-Annually Mar/Sep 09; Yield to Maturity 2.141%; First Coupon 09/09/17; Moody BAA3 S&P BBB; Issued 03/09/17; Asset Class: FI & Pref GOLDMAN SACHS GROUP INC Coupon Rate 5.375%; Matures 03/15/2020; CUSIP 38141EA58 2/1/17 30,000.000 108.466 107.403 107.954 32,539.80 32,220.79 32,386.20 165.41 ST 1,613.00 470.31 4.98 Int. Semi-Annually Mar/Sep 15; Yield to Maturity 2.326%; Moody A3 S&P BBB+; Issued 03/08/10; Asset Class: FI & Pref JP MORGAN CHASE Coupon Rate 4.950%; Matures 03/25/2020; CUSIP 46625HHQ6 2/23/17 30,000.000 108.274 107.379 107.248 32,482.20 32,213.65 32,174.40 (39.25)ST 1,485.00 391.87 4.61 Int. Semi-Annually Mar/Sep 25; Yield to Maturity 2.204%; 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 99.922 100.263 39,968.80 39,968.80 40,105.20 136.40 ST 880.00 207.77 2.19 Int. Semi-Annually Apr/Oct 01; Yield to Maturity 2.101%; 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 53,000.000 109.873 108.664 110.088 58,232.69 57,592.11 58,346.64 754.53 ST 2,995.00 623.85 5.13 Int. Semi-Annually Apr/Oct 15; Yield to Maturity 1.920%; Moody AA3 S&P A; Issued 03/24/05; Asset Class: FI & Pref BANK OF AMERICA CORP Coupon Rate 2.250%; Matures 04/21/2020; CUSIP 06051GFN4 5/2/17 30,000.000 99.991 99.991 100.041 29,997.30 29,997.30 30,012.30 15.00 ST 675.00 129.37 2.24 Int. Semi-Annually Apr/Oct 21; Yield to Maturity 2.234%; Moody BAA1 S&P BBB+; Issued 04/21/15; Asset Class: FI & Pref UNITED TECHNOLOGIES CORP Coupon Rate 1.900%; Matures 05/04/2020; CUSIP 913017CM9 5/1/17 10,000.000 99.951 99.951 100.172 9,995.10 9,995.09 10,017.20 22.11 ST 190.00 29.55 1.89 Int. Semi-Annually May/Nov 04; Yield to Maturity 1.837%; First Coupon 11/04/17; Moody A3 S&P A-; Issued 05/04/17; Asset Class: FI & Pref Account Detail CLIENT STATEMENT For the Period June 1-30, 2017 Consulting and Evaluation Services Active Assets Account 660-110000-095 CITY OF ATLANTIC BEACH C/O RUSSELL CAFFEY Page 17 of 30 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 % CONOCOPHILLIPS COMPANY Coupon Rate 2.200%; Matures 05/15/2020; CUSIP 20826FAJ5 5/19/17 40,000.000 100.571 100.552 100.327 40,228.40 40,220.70 40,130.80 (89.90)ST 880.00 110.00 2.19 Int. Semi-Annually May/Nov 15; Callable $100.00 on 04/15/20; Yield to Call 2.078%; Moody BAA2 S&P A-; Issued 05/18/15; Asset Class: FI & Pref SHERWIN-WILLIAMS CO Coupon Rate 2.250%; Matures 05/15/2020; CUSIP 824348AT3 5/2/17 30,000.000 99.997 99.997 100.224 29,999.10 29,999.10 30,067.20 68.10 ST 675.00 82.49 2.24 Int. Semi-Annually May/Nov 15; Yield to Maturity 2.169%; First Coupon 11/15/17; Moody BAA3 S&P BBB; Issued 05/16/17; Asset Class: FI & Pref MCDONALD'S CORP Coupon Rate 2.200%; Matures 05/26/2020; CUSIP 58013MET7 3/6/17 50,000.000 100.053 100.048 100.653 50,026.50 50,024.01 50,326.50 302.49 ST 1,100.00 103.88 2.18 Int. Semi-Annually May/Nov 26; Callable $100.00 on 04/26/20; Yield to Call 1.961%; 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 30,000.000 107.299 106.859 106.649 32,189.70 32,057.83 31,994.70 (63.13)ST 1,290.00 53.75 4.03 Int. Semi-Annually Jun/Dec 15; Yield to Maturity 1.975%; 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 30,000.000 101.323 101.216 101.454 30,396.90 30,364.80 30,436.20 71.40 ST 840.00 32.66 2.75 Int. Semi-Annually Jun/Dec 16; Yield to Maturity 2.289%; Moody A3 S&P BBB+; Issued 06/16/15; Asset Class: FI & Pref JOHN DEERE CAPITAL CORP Coupon Rate 1.950%; Matures 06/22/2020; CUSIP 24422ETS8 6/19/17 10,000.000 99.939 99.939 100.261 9,993.90 9,993.90 10,026.10 32.20 ST 195.00 4.33 1.94 Int. Semi-Annually Jun/Dec 22; Yield to Maturity 1.859%; First Coupon 12/22/17; Moody A2 S&P A; Issued 06/22/17; Asset Class: FI & Pref BB&T CORPORATION Coupon Rate 2.625%; Matures 06/29/2020; CUSIP 05531FAU7 6/14/17 30,000.000 101.952 101.931 101.698 30,585.60 30,579.31 30,509.40 (69.91)ST 788.00 2.18 2.58 Int. Semi-Annually Jun/Dec 29; Callable $100.00 on 05/29/20; Yield to Call 2.022%; Moody A2 S&P A-; Issued 06/29/15; Asset Class: FI & Pref AT&T INC Coupon Rate 2.450%; Matures 06/30/2020; CUSIP 00206RCL4 6/9/17 30,000.000 100.345 100.340 100.514 30,103.50 30,101.94 30,154.20 52.26 ST 735.00 2.43 Int. Semi-Annually Jun/Dec 30; Callable $100.00 on 05/30/20; Yield to Call 2.267%; Moody BAA1 (-) S&P BBB+ (-); Issued 05/04/15; Asset Class: FI & Pref BANK OF AMERICA CORP Coupon Rate 5.625%; Matures 07/01/2020; CUSIP 06051GEC9 3/7/17 30,000.000 109.939 109.045 109.511 32,981.70 32,713.39 32,853.30 139.91 ST 1,688.00 839.06 5.13 Int. Semi-Annually Jan/Jul 01; Yield to Maturity 2.327%; 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 20,000.000 107.259 106.440 106.929 106.420 106.610 106.610 32,177.70 31,932.02 21,385.80 21,284.08 31,983.00 21,322.00 50.98 37.92 ST ST Total 50,000.000 53,563.50 53,216.10 53,305.00 88.90 ST 2,375.00 98.95 4.45 Int. Semi-Annually Jun/Dec 15; Callable $100.00 on 04/15/20; Yield to Call 2.291%; 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 50,000.000 105.233 104.707 105.224 52,616.50 52,353.60 52,612.00 258.40 ST 2,000.00 827.77 3.80 Int. Semi-Annually Feb/Aug 01; Callable $100.00 on 05/01/20; Yield to Call 2.092%; Moody A2 S&P A-; Issued 08/02/10; Asset Class: FI & Pref 00 3 1 3 1 M S A D T 2 3 2 Account Detail CLIENT STATEMENT For the Period June 1-30, 2017 Consulting and Evaluation Services Active Assets Account 660-110000-095 CITY OF ATLANTIC BEACH C/O RUSSELL CAFFEY Page 18 of 30 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 % PNC FUNDING CORP. Coupon Rate 4.375%; Matures 08/11/2020; CUSIP 693476BL6 3/28/17 5/15/17 30,000.000 20,000.000 106.442 105.979 106.912 106.664 106.438 106.438 31,932.60 31,793.67 21,382.40 21,332.78 31,931.40 21,287.60 137.73 (45.18) ST ST Total 50,000.000 53,315.00 53,126.45 53,219.00 92.55 ST 2,188.00 844.61 4.11 Int. Semi-Annually Feb/Aug 11; Yield to Maturity 2.223%; Moody A3 S&P A-; Issued 08/11/10; Asset Class: FI & Pref BANK OF NY MELLON CORP Coupon Rate 2.600%; Matures 08/17/2020; CUSIP 06406HDD8 5/30/17 30,000.000 101.733 101.691 101.477 30,519.90 30,507.21 30,443.10 (64.11)ST 780.00 288.16 2.56 Int. Semi-Annually Feb/Aug 17; Callable $100.00 on 07/17/20; Yield to Call 2.097%; Moody A1 S&P A; Issued 08/17/15; Asset Class: FI & Pref GILEAD SCIENCES INC Coupon Rate 2.550%; Matures 09/01/2020; CUSIP 375558BB8 2/28/17 40,000.000 100.885 100.805 101.441 40,354.00 40,321.91 40,576.40 254.49 ST 1,020.00 337.16 2.51 Int. Semi-Annually Mar/Sep 01; Yield to Maturity 2.077%; Moody A3 S&P A; Issued 09/14/15; Asset Class: FI & Pref VERIZON COMMUNICATIONS Coupon Rate 4.500%; Matures 09/15/2020; CUSIP 92343VBQ6 5/5/17 20,000.000 106.799 106.521 106.824 21,359.80 21,304.18 21,364.80 60.62 ST 900.00 262.50 4.21 Int. Semi-Annually Mar/Sep 15; Yield to Maturity 2.281%; Moody BAA1 S&P BBB+; Issued 09/18/13; Asset Class: FI & Pref AVALONBAY COMMUNITIES IN Coupon Rate 3.625%; Matures 10/01/2020; CUSIP 05348EAS8 2/8/17 5/1/17 30,000.000 20,000.000 104.286 103.850 103.947 103.770 103.649 103.649 31,285.80 31,154.89 20,789.40 20,754.00 31,094.70 20,729.80 (60.19) (24.20) ST ST Total 50,000.000 52,075.20 51,908.89 51,824.50 (84.39)ST 1,813.00 448.09 3.49 Int. Semi-Annually Apr/Oct 01; Callable $100.00 on 07/01/20; Yield to Call 2.359%; 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 55,000.000 103.537 103.208 103.150 56,945.35 56,764.13 56,732.50 (31.63)ST 1,788.00 292.95 3.15 Int. Semi-Annually May/Nov 01; Callable $100.00 on 08/01/20; Yield to Call 2.188%; 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 4/19/17 175,000.000 100.000 100.000 100.244 175,000.00 175,000.00 175,427.00 427.00 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 50,000.000 107.159 106.546 107.371 53,579.50 53,273.04 53,685.50 412.46 ST 2,125.00 265.62 3.95 Int. Semi-Annually May/Nov 15; Yield to Maturity 1.981%; 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 15,000.000 100.930 100.836 101.373 15,139.50 15,125.39 15,205.95 80.56 ST 375.00 38.54 2.46 Int. Semi-Annually May/Nov 23; Callable $100.00 on 10/23/20; Yield to Call 2.069%; 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 35,000.000 103.157 102.993 102.865 36,104.95 36,047.56 36,002.75 (44.81)ST 1,190.00 49.58 3.30 Account Detail CLIENT STATEMENT For the Period June 1-30, 2017 Consulting and Evaluation Services Active Assets Account 660-110000-095 CITY OF ATLANTIC BEACH C/O RUSSELL CAFFEY Page 19 of 30 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 % Int. Semi-Annually Jun/Dec 15; Callable $100.00 on 11/15/20; Yield to Call 2.509%; 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 30,000.000 106.011 105.429 105.985 31,803.30 31,628.60 31,795.50 166.90 ST 1,200.00 496.66 3.77 Int. Semi-Annually Feb/Aug 01; Callable $100.00 on 11/01/20; Yield to Call 2.131%; 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 20,000.000 104.961 104.485 104.776 104.405 104.578 104.578 31,488.30 31,345.60 20,955.20 20,881.03 31,373.40 20,915.60 27.80 34.57 ST ST Total 50,000.000 52,443.50 52,226.63 52,289.00 62.37 ST 1,875.00 703.12 3.58 Int. Semi-Annually Feb/Aug 15; Callable $100.00 on 11/15/20; Yield to Call 2.331%; Moody A2 S&P A; Issued 11/12/10; Asset Class: FI & Pref STATE STREET CORP Coupon Rate 4.375%; Matures 03/07/2021; CUSIP 857477AG8 6/7/17 30,000.000 107.910 107.802 107.164 32,373.00 32,340.64 32,149.20 (191.44)ST 1,313.00 411.97 4.08 Int. Semi-Annually Mar/Sep 07; Yield to Maturity 2.335%; Moody A1 S&P A; Issued 03/07/11; Asset Class: FI & Pref JPMORGAN CHASE & CO Coupon Rate 1.771%; Matures 03/09/2021; CUSIP 46647PAC0 3/2/17 40,000.000 100.000 100.000 99.983 40,000.00 40,000.00 39,993.20 (6.80)ST 708.00 41.32 1.77 Interest Paid Quarterly Jun 09; Yield to Maturity 1.776%; Floater; Moody A3 S&P A-; Issued 03/09/17; Asset Class: FI & Pref CITIGROUP INC Coupon Rate 2.700%; Matures 03/30/2021; CUSIP 172967KK6 5/16/17 30,000.000 100.657 100.638 100.664 30,197.10 30,191.40 30,199.20 7.80 ST 810.00 202.50 2.68 Int. Semi-Annually Mar/Sep 30; Yield to Maturity 2.513%; Moody BAA1 S&P BBB+; Issued 03/30/16; Asset Class: FI & Pref KIMCO REALTY CORP Coupon Rate 3.200%; Matures 05/01/2021; CUSIP 49446RAL3 2/17/17 30,000.000 102.012 101.849 101.536 30,603.60 30,554.75 30,460.80 (93.95)ST 960.00 157.33 3.15 Int. Semi-Annually May/Nov 01; Callable $100.00 on 03/01/21; Yield to Call 2.756%; Moody BAA1 S&P BBB+; Issued 04/24/14; Asset Class: FI & Pref CENTERPOINT ENERGY HOUSTON ELE MTG BD Coupon Rate 1.850%; Matures 06/01/2021; CUSIP 15189XAP3 5/3/17 50,000.000 98.516 98.516 98.661 49,258.00 49,258.00 49,330.50 72.50 ST 925.00 74.51 1.87 Int. Semi-Annually Jun/Dec 01; Callable $100.00 on 05/01/21; Yield to Maturity 2.208%; Moody A1 S&P A; Issued 05/18/16; 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 99.314 34,549.20 34,549.20 34,759.90 210.70 ST 805.00 64.84 2.31 Int. Semi-Annually Jun/Dec 01; Callable $100.00 on 05/01/21; Yield to Maturity 2.485%; Moody BAA1 S&P BBB+; Issued 05/12/16; Asset Class: FI & Pref JPMORGAN CHASE & CO Coupon Rate 2.400%; Matures 06/07/2021; CUSIP 46625HRT9 2/23/17 30,000.000 99.563 99.563 99.811 29,868.90 29,868.90 29,943.30 74.40 ST 720.00 46.00 2.40 Int. Semi-Annually Jun/Dec 07; Callable $100.00 on 05/07/21; Yield to Maturity 2.450%; 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 30,000.000 108.051 107.350 108.055 32,415.30 32,204.90 32,416.50 211.60 ST 1,425.00 59.37 4.39 Int. Semi-Annually Jun/Dec 15; Yield to Maturity 2.595%; 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 35,000.000 105.351 104.984 105.502 36,872.85 36,744.42 36,925.70 181.28 ST 1,365.00 625.62 3.69 00 3 1 3 1 M S A D T 2 3 2 Account Detail CLIENT STATEMENT For the Period June 1-30, 2017 Consulting and Evaluation Services Active Assets Account 660-110000-095 CITY OF ATLANTIC BEACH C/O RUSSELL CAFFEY Page 20 of 30 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 % Int. Semi-Annually Jan/Jul 15; Callable $100.00 on 04/15/21; Yield to Call 2.373%; 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 30,000.000 100.068 100.062 100.017 30,020.40 30,018.65 30,005.10 (13.55)ST 750.00 343.74 2.49 Int. Semi-Annually Jan/Jul 15; Callable $100.00 on 04/15/21; Yield to Call 2.495%; 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 30,000.000 109.622 108.805 109.605 32,886.60 32,641.61 32,881.50 239.89 ST 1,575.00 669.37 4.78 Int. Semi-Annually Jan/Jul 27; Yield to Maturity 2.742%; 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 60,000.000 103.853 103.563 104.246 62,311.80 62,138.05 62,547.60 409.55 ST 2,070.00 603.75 3.30 Int. Semi-Annually Mar/Sep 15; Callable $100.00 on 06/15/21; Yield to Call 2.321%; 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 35,000.000 103.339 103.063 104.020 36,168.65 36,072.22 36,407.00 334.78 ST 1,173.00 341.97 3.22 Int. Semi-Annually Mar/Sep 15; Yield to Maturity 2.341%; 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 20,000.000 101.767 101.665 103.250 20,353.40 20,332.94 20,650.00 317.06 ST 650.00 52.36 3.14 Int. Semi-Annually Jun/Dec 01; Callable $100.00 on 09/01/21; Yield to Call 2.425%; 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 3/28/17 150,000.000 103.428 103.428 102.911 68,592.52 64,967.42 64,642.67 (324.75)ST 2,228.00 495.11 3.44 Interest Paid Quarterly Jul 10; Yield to Maturity 2.889%; Factor .41876102; Issued 04/29/10; Current Face 62,814.153; Asset Class: FI & Pref SAYARRA LTD Coupon Rate 2.575%; Matures 04/14/2022; CUSIP 805649AB6 6/7/17 125,000.000 101.430 101.430 100.990 58,540.74 58,540.74 58,286.78 (253.96)ST 1,486.00 251.82 2.54 Interest Paid Quarterly Oct 29; Yield to Maturity 2.355%; Factor .46172324; Issued 10/22/10; Current Face 57,715.405; 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 99.150 126,014.55 117,594.91 117,773.08 178.17 ST 2,376.00 2.01 Interest Paid Quarterly Sep 30; Yield to Maturity 2.141%; Factor .59391368; Issued 06/25/12; Current Face 118,782.736; Asset Class: FI & Pref 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 5,034,000.000 $4,934,229.54 $4,905,496.24 $4,912,851.58 $7,355.34 ST $148,712.00 $35,354.98 3.03% TOTAL CORPORATE FIXED INCOME (includes accrued interest) 30.58%$4,948,206.56 Watchlist and CreditWatch Indicators: (*) = developing/uncertain (+) = On Watchlist/CreditWatch Upgrade (-) = On Watchlist/CreditWatch Downgrade Account Detail CLIENT STATEMENT For the Period June 1-30, 2017 Consulting and Evaluation Services Active Assets Account 660-110000-095 CITY OF ATLANTIC BEACH C/O RUSSELL CAFFEY Page 21 of 30 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 1,950,000.000 $100.129 $100.101 $99.860 $1,952,520.21 $1,951,968.85 $1,947,270.00 $(4,698.85)ST $19,500.00 $7,272.09 1.00 Int. Semi-Annually Feb/Aug 15; Yield to Maturity 1.225%; 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 6,725,000.000 99.856 99.856 99.637 6,715,302.55 6,715,302.55 6,700,588.25 (14,714.30)ST 75,656.00 31,349.27 1.12 Int. Semi-Annually Jan/Jul 31; Yield to Maturity 1.357%; Moody AAA; Issued 01/31/17; Asset Class: FI & Pref UNITED STATES TREASURY NOTE Coupon Rate 1.500%; Matures 05/15/2020; CUSIP 912828X96 5/24/17 975,000.000 100.036 100.034 99.887 975,346.13 975,334.64 973,898.25 (1,436.39)ST 14,625.00 1,828.12 1.50 Int. Semi-Annually May/Nov 15; Yield to Maturity 1.540%; Issued 05/15/17; Asset Class: FI & Pref UNITED STATES TREASURY NOTE Coupon Rate 1.500%; Matures 06/15/2020; CUSIP 912828XU9 6/27/17 150,000.000 99.950 99.950 99.859 149,924.40 149,924.40 149,788.50 (135.90)ST 2,250.00 92.21 1.50 Int. Semi-Annually Jun/Dec 15; Yield to Maturity 1.549%; Issued 06/15/17; 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 99.848 164,269.44 164,269.44 163,776.67 (492.77)ST 205.00 42.57 0.12 Int. Semi-Annually Apr/Oct 15; Factor 1.03161000; Moody AAA; Issued 04/15/16; Current Face 164,025.990; 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 4/13/17 18,000.000 6,000.000 6,000.000 101.223 101.594 101.223 101.595 101.671 102.026 99.523 99.523 99.523 18,220.09 18,287.00 6,073.36 6,095.67 6,100.23 6,121.58 18,010.15 6,003.38 6,003.38 (276.85) (92.29) (118.20) ST ST ST H H H 4/17/17 12,000.000 100.903 202.572 99.523 12,108.36 24,308.66 12,006.77 (12,301.89)ST 4/17/17 24,000.000 100.883 101.267 99.523 24,211.92 24,304.03 24,013.54 (290.49)ST 4/17/17 48,000.000 100.930 101.444 99.523 48,512.24 48,693.33 48,027.09 (666.24)ST 4/17/17 24,000.000 100.905 101.420 99.523 24,250.14 24,340.89 24,013.54 (327.35)ST 4/17/17 18,000.000 100.903 101.418 99.523 18,187.24 18,255.32 18,010.15 (245.17)ST Total 156,000.000 157,663.58 170,406.48 156,088.05 (14,318.48)ST 196.00 40.70 0.12 Int. Semi-Annually Apr/Oct 15; Factor 1.00536000; Moody AAA; Issued 04/15/17; Current Face 156,836.160; Basis Adjustment Due to Wash Sale: $86.42; Asset Class: FI & Pref 00 3 1 3 1 M S A D T 2 3 2 Account Detail CLIENT STATEMENT For the Period June 1-30, 2017 Consulting and Evaluation Services Active Assets Account 660-110000-095 CITY OF ATLANTIC BEACH C/O RUSSELL CAFFEY Page 22 of 30 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 1.750%; Matures 05/31/2022; CUSIP 912828XR6 5/31/17 6/2/17 6/6/17 150,000.000 150,000.000 150,000.000 99.996 99.996 100.145 100.143 100.176 100.174 99.414 99.414 99.414 149,994.60 149,994.60 150,217.35 150,214.37 150,264.15 150,260.80 149,121.00 149,121.00 149,121.00 (873.60) (1,093.37) (1,139.80) ST ST ST Total 450,000.000 450,476.10 450,469.77 447,363.00 (3,106.77)ST 7,875.00 645.49 1.76 Int. Semi-Annually May/Nov 30; Yield to Maturity 1.875%; Moody AAA; Issued 05/31/17; Asset Class: FI & Pref TREASURY SECURITIES 10,565,000.000 $10,565,502.41 $10,577,676.13 $10,538,772.72 $(38,903.46)ST $120,307.00 $41,270.45 1.14% 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 $101.862 $96,365.63 $96,162.90 $96,565.32 $402.42 ST $2,455.00 $197.79 2.54 Interest Paid Monthly Apr 01; Yield to Maturity 2.071%; Factor .99789631; Issued 04/01/17; Current Face 94,800.149; Asset Class: FI & Pref FEDERAL NATIONAL MTG ASSN POOL AN5051 Coupon Rate 2.550%; Matures 11/01/2021; CUSIP 3138LHTH7 3/27/17 80,000.000 101.125 101.125 101.762 80,900.00 80,722.82 81,231.30 508.48 ST 2,036.00 163.97 2.50 Interest Paid Monthly Apr 01; Yield to Maturity 2.122%; Factor .99780991; Issued 04/01/17; Current Face 79,824.793; Asset Class: FI & Pref FNMA 7 YR BALLOON AN5495 Coupon Rate 2.300%; Matures 01/01/2022; CUSIP 3138LJC99 4/13/17 220,000.000 100.609 100.609 100.718 221,340.63 221,094.21 221,332.91 238.70 ST 5,054.00 407.15 2.28 Interest Paid Monthly May 01; Yield to Maturity 2.132%; Factor .99888668; Issued 05/01/17; Current Face 219,755.070; Asset Class: FI & Pref FNMA 7 YR BALLOON AN5496 Coupon Rate 2.300%; Matures 01/01/2022; CUSIP 3138LJDA5 4/13/17 100,000.000 100.609 100.609 100.718 100,609.38 100,497.37 100,605.86 108.49 ST 2,297.00 185.07 2.28 Interest Paid Monthly May 01; Yield to Maturity 2.132%; Factor .99888668; Issued 05/01/17; Current Face 99,888.668; Asset Class: FI & Pref FNA 2017-M5 FA Coupon Rate 1.484%; Matures 04/25/2024; CUSIP 3136AWWC7 5/9/17 60,000.000 99.901 99.901 100.260 59,940.60 59,897.90 60,113.14 215.24 ST 890.00 12.35 1.48 Interest Paid Monthly Jun 25; Yield to Maturity 1.444%; Floater; Factor .99928756; Issued 05/01/17; Current Face 59,957.254; Asset Class: FI & Pref FEDERAL AGENCIES 555,000.000 $559,156.24 $558,375.20 $559,848.53 $1,473.33 ST $12,732.00 $966.33 2.27% Account Detail CLIENT STATEMENT For the Period June 1-30, 2017 Consulting and Evaluation Services Active Assets Account 660-110000-095 CITY OF ATLANTIC BEACH C/O RUSSELL CAFFEY Page 23 of 30 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 11,120,000.000 $11,124,658.65 $11,136,051.33 $11,098,621.25 $(37,430.13)ST $133,039.00 $42,236.78 1.20% TOTAL GOVERNMENT SECURITIES (includes accrued interest) 68.86%$11,140,858.03 Percentage of Holdings Total Cost Market Value Unrealized Gain/(Loss) Est Ann Income Accrued Interest Current Yield % TOTAL MARKET VALUE $16,041,547.57 $16,101,125.75 $(30,074.79)ST $281,764.00 $77,591.76 1.74% TOTAL VALUE (includes accrued interest)100.00%$16,178,717.51 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. H - Wash sale rules apply to this tax lot. The cost basis and acquisition date (trade date) have been adjusted to account for disallowed loss of a related wash sale transaction. The aggregate amount of the basis adjustment is identified in italics under the Security Description. ALLOCATION OF ASSETS (^includes accrued interest) Cash Equities Fixed Income & Preferred Securities Alternatives Annuities & Insurance Structured Investments Other Cash, BDP, MMFs $89,652.92 —————— Corporate Fixed Income^——$4,948,206.56 ———— Government Securities^——11,140,858.03 ———— TOTAL ALLOCATION OF ASSETS^$89,652.92 —$16,089,064.59 ———— 00 3 1 3 1 M S A D T 2 3 2 Account Detail CLIENT STATEMENT For the Period June 1-30, 2017 Consulting and Evaluation Services Active Assets Account 660-110000-095 CITY OF ATLANTIC BEACH C/O RUSSELL CAFFEY Page 24 of 30 ACTIVITY INVESTMENT RELATED ACTIVITY PURCHASES, DIVIDEND REINVESTMENTS, SALES AND REDEMPTIONS Activity Date Settlement Date Activity Type Description Comments Quantity Price Credits/(Debits) 6/2 6/5 Sold US TSY NOTE 1000 18FB15 ACTED AS AGENT ACCRUED INTEREST 455.80 150,000.000 $99.8864 $150,285.40 6/2 6/5 Bought US TSY NOTE 1750 22MY31 ACTED AS AGENT ACCRUED INTEREST 35.86 150,000.000 100.1449 (150,253.21) 6/6 6/7 Sold US TSY NOTE 1000 18FB15 ACTED AS AGENT ACCRUED INTEREST 309.39 100,000.000 99.8903 100,199.69 6/6 6/7 Bought US TSY NOTE 1750 22MY31 ACTED AS AGENT ACCRUED INTEREST 50.20 150,000.000 100.1761 (150,314.35) 6/7 6/8 Sold US TSY NOTE 1000 18FB15 ACTED AS AGENT ACCRUED INTEREST 187.29 60,000.000 99.8825 60,116.79 6/7 6/8 Sold US TSY NOTE 1000 18FB15 ACTED AS AGENT ACCRUED INTEREST 93.65 30,000.000 99.8786 30,057.23 6/7 6/12 Bought SAYARRA LTD 2575 22AP14 ACTED AS AGENT ACCRUED INTEREST 177.51 125,000.000 101.4300 (58,718.25) 6/7 6/12 Bought STATE STREET CORP 4375 21MH07 ACTED AS AGENT ACCRUED INTEREST 346.35 30,000.000 107.9100 (32,719.35) 6/7 6/22 Sold FHLMC ARM 2B615 2883 47JN01 ACTED AS AGENT ACCRUED INTEREST 201.78 a/o 05/24/17 120,000.000 102.2500 122,882.60 6/7 6/22 Cancel Sell FHLMC ARM 2B615 2883 47JN01 ACTED AS AGENT ACCRUED INTEREST 201.81 a/o 05/24/17 120,000.000 102.2500 (122,901.81) 6/9 6/12 Sold US TSY NOTE 1000 18FB15 ACTED AS AGENT ACCRUED INTEREST 161.60 50,000.000 99.8708 50,097.00 6/9 6/14 Bought AT&T INC 2450 *20JN30 ACTED AS AGENT ACCRUED INTEREST 334.83 30,000.000 100.3450 (30,438.33) 6/13 6/16 Sold JOHN DEERE CAP 2200 20MH13 ACTED AS AGENT ACCRUED INTEREST 305.86 55,000.000 101.0450 55,880.61 6/14 6/19 Bought BB&T CORP 2625 *20JN29 ACTED AS AGENT ACCRUED INTEREST 371.87 30,000.000 101.9520 (30,957.47) 6/19 6/19 Redemption BECTON DICKINSON 1800 17DE15 REDEMPTION OF CALLED BOND CUSIP: 075887BD0 35,000.000 100.2500 35,087.49 6/19 6/22 Bought JOHN DEERE CAP 1950 20JN22 ACTED AS AGENT 10,000.000 99.9390 (9,993.90) 6/19 6/26 Bought OVERSEAS PRIVATE 00000 19FB11 ACTED AS AGENT 40,000.000 100.0000 (40,000.00) 6/20 6/23 Bought ALEXANDRIA REAL 2750 *20JA15 ACTED AS AGENT ACCRUED INTEREST 362.08 30,000.000 100.8350 (30,612.58) 6/22 6/21 Sold - Adjusted CONOCOPHILLIPS 5750 19FB01 ACTED AS AGENT ACCRUED INTEREST 402.50 RATE ADJ-CALLED REDM 6-21 18,000.000 19,538.30 Account Detail CLIENT STATEMENT For the Period June 1-30, 2017 Consulting and Evaluation Services Active Assets Account 660-110000-095 CITY OF ATLANTIC BEACH C/O RUSSELL CAFFEY Page 25 of 30 PURCHASES, DIVIDEND REINVESTMENTS, SALES AND REDEMPTIONS (CONTINUED) Activity Date Settlement Date Activity Type Description Comments Quantity Price Credits/(Debits) 6/22 6/21 Cancel Call CONOCOPHILLIPS 5750 19FB01 ACTED AS AGENT RATE CHANGE REVERSAL 18,000.000 (18,000.00) 6/27 6/28 Bought US TSY NOTE 1500 20JN15 ACTED AS AGENT ACCRUED INTEREST 79.92 150,000.000 99.9496 (150,004.32) 6/30 6/30 Redemption PROLOGIS LP 2750 *19FB15 REDEMPTION OF CALLED BOND CUSIP: 74340XAV3 55,000.000 103.0130 56,657.15 6/30 7/6 Sold UNITED TECHNOLOGI 1900 20MY04 ACTED AS AGENT ACCRUED INTEREST 65.44 20,000.000 100.2350 20,112.44 TOTAL PURCHASES, DIVIDEND REINVESTMENTS, SALES AND REDEMPTIONS $(123,998.87) TOTAL PURCHASES $(684,011.76) TOTAL SALES AND REDEMPTIONS $560,012.89 Purchase and Sale transactions above may have received an average price execution. Details regarding the actual prices are available upon request. UNSETTLED PURCHASES/SALES ACTIVITY Activity Date Settlement Date Activity Type Description Comments Quantity Price Pending Credits/(Debits) 6/30 7/6 Sold UNITED TECHNOLOGI 1900 20MY04 UNSETTLED SALE 20,000.000 $100.2350 $20,112.44 NET UNSETTLED PURCHASES/SALES $20,112.44 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) 6/15 Return of Principal FHLMC ARM 2B615 2883 47JN01 CUSIP: 31326LZT5 $18.76 6/22 Return of Principal FHLMC ARM 2B615 2883 47JN01 ADJUSTMENT CUSIP: 31326LZT5 (18.76) 6/26 Return of Principal FNMA 7BL AN5495 2300 22JA01 CUSIP: 3138LJC99 244.93 6/26 Return of Principal FNMA 7BL AN5496 2300 22JA01 CUSIP: 3138LJDA5 111.33 6/26 Return of Principal FNMA POOL AN5056 2590 21AP01 CUSIP: 3138LHTN4 93.10 6/26 Return of Principal FNMA POOL AN5051 2550 21NV01 CUSIP: 3138LHTH7 82.06 6/26 Return of Principal FNA 2017-M5 FA 1484 24APRG CUSIP: 3136AWWC7 42.75 6/30 Return of Principal SAFINA LTD 2000 23DE30 CUSIP: 78657AAB5 4,256.16 TOTAL RETURN OF PRINCIPAL $4,830.33 TAXABLE INCOME AND DISTRIBUTIONS Activity Date Activity Type Description Comments Credits/(Debits) 6/1 Interest Income AVISTA CORP 5950 18JN01 CUSIP: 05379BAN7 $1,487.50 6/1 Interest Income DARTMOUTH COLLEGE 4750 19JN01 CUSIP: 89837RAA0 1,187.50 6/1 Interest Income UNITED DOMINION R 4250 18JN01 CUSIP: 91019PCS9 1,062.50 6/1 Interest Income PUBLIC SERVC COLO 5125 19JN01 CUSIP: 744448CC3 1,050.63 6/1 Interest Income CENTERPOINT ENERG 1850 *21JN01 CUSIP: 15189XAP3 462.50 6/1 Interest Income EQUIFAX INC 2300 *21JN01 CUSIP: 294429AK1 402.50 6/1 Interest Income NORFOLK SOUTHERN 3250 *21DE01 CUSIP: 655844BG2 325.00 00 3 1 3 1 M S A D T 2 3 2 Account Detail CLIENT STATEMENT For the Period June 1-30, 2017 Consulting and Evaluation Services Active Assets Account 660-110000-095 CITY OF ATLANTIC BEACH C/O RUSSELL CAFFEY Page 26 of 30 TAXABLE INCOME AND DISTRIBUTIONS (CONTINUED) Activity Date Activity Type Description Comments Credits/(Debits) 6/1 Interest Income NORTHROP CORP 1750 18JN01 CUSIP: 666807BF8 306.25 6/7 Interest Income JPMORGAN CHASE 2400 *21JN07 CUSIP: 46625HRT9 360.00 6/7 Interest Income CITIGROUP INC 2050 18DE07 CUSIP: 172967KE0 307.50 6/7 Interest Income CITIGROUP INC 2050 19JN07 CUSIP: 172967KS9 307.50 6/8 Interest Income ECOLAB INC 1450 17DE08 CUSIP: 278865AP5 362.50 6/9 Interest Income JPMORGAN CHASE 16562 21MH09 CUSIP: 46647PAC0 169.30 6/13 Interest Income KEYCORP 2300 *18DE13 CUSIP: 49326EEE9 345.00 6/14 Interest Income VERIZON COMM 28712 18SP14 CUSIP: 92343VBM5 256.81 6/15 Interest Income NORFOLK SOUTHERN 5900 19JN15 CUSIP: 655844BC1 1,209.50 6/15 Interest Income ERP OPERATING-LP 4750 *20JL15 CUSIP: 26884AAY9 1,187.50 6/15 Interest Income FISERV, INC. 4750 21JN15 CUSIP: 337738AL2 712.50 6/15 Interest Income DUKE ENERGY CAROL 4300 20JN15 CUSIP: 26442CAJ3 645.00 6/15 Interest Income MARATHON PETROLEU 3400 *20DE15 CUSIP: 56585AAL6 595.00 6/15 Interest Income WEC EGY GROUP INC 1650 18JN15 CUSIP: 976657AJ5 412.50 6/15 Interest Income THERMO FISHER SCI 2150 18DE14 CUSIP: 883556BL5 376.25 6/15 Interest Income BECTON DICKINSON 1800 17DE15 CUSIP: 075887BD0 315.00 6/15 Interest Income CARDINAL HEALTH 1950 18JN15 CUSIP: 14149YBC1 292.50 6/15 Interest Income FHLMC ARM 2B615 2883 47JN01 CUSIP: 31326LZT5 288.30 6/15 Interest Income MARATHON PETROLEU 2700 18DE14 CUSIP: 56585AAK8 270.00 6/16 Interest Income MORGAN STANLEY 2800 20JN16 CUSIP: 61761JB32 420.00 6/21 Interest Income-Adj BECTON DICKINSON 1800 17DE15 REDEMPTION OF CALLED BOND ACCRUED INTEREST PAID CUSIP: 075887BD0 7.00 6/22 Interest Income-Adj FHLMC ARM 2B615 2883 47JN01 REVERSE INTEREST PAYMENT CUSIP: 31326LZT5 (288.30) 6/26 Interest Income FNMA 7BL AN5495 2300 22JA01 CUSIP: 3138LJC99 435.72 6/26 Interest Income FNMA POOL AN5056 2590 21AP01 CUSIP: 3138LHTN4 211.63 6/26 Interest Income FNMA 7BL AN5496 2300 22JA01 CUSIP: 3138LJDA5 198.05 6/26 Interest Income FNMA POOL AN5051 2550 21NV01 CUSIP: 3138LHTH7 175.46 6/26 Interest Income FNA 2017-M5 FA 1484 24APRG CUSIP: 3136AWWC7 76.67 6/29 Interest Income BB&T CORP 2625 *20JN29 CUSIP: 05531FAU7 393.75 6/30 Interest Income SAFINA LTD 2000 23DE30 CUSIP: 78657AAB5 615.19 6/30 Interest Income AT&T INC 2450 *20JN30 CUSIP: 00206RCL4 367.50 6/30 Interest Income MORGAN STANLEY PRIVATE BANK NA (Period 06/01-06/30) 0.67 TOTAL TAXABLE INCOME AND DISTRIBUTIONS $17,310.38 TOTAL INTEREST $17,310.38 Account Detail CLIENT STATEMENT For the Period June 1-30, 2017 Consulting and Evaluation Services Active Assets Account 660-110000-095 CITY OF ATLANTIC BEACH C/O RUSSELL CAFFEY Page 27 of 30 CASH RELATED ACTIVITY ELECTRONIC TRANSFERS Check disbursements from branch offices are displayed as Electronic Transfers. Activity Date Activity Type Description Comments Credits/(Debits) 6/23 Funds Transferred WIRED FUNDS SENT BENE: TRUST WIRE CLEARING ACCT: XXXXXXXXXXXXX4321 $(5,397.39) TOTAL ELECTRONIC TRANSFERS $(5,397.39) TOTAL ELECTRONIC TRANSFERS-DEBITS $(5,397.39) OTHER CREDITS AND DEBITS Activity Date Activity Type Description Comments Credits/(Debits) 6/26 Service Fee Adj DEPOSIT/WITHDRAWAL ADJ $0.21 TOTAL OTHER CREDITS AND DEBITS $0.21 TOTAL OTHER DEBITS $0.21 MONEY MARKET FUND (MMF) AND BANK DEPOSIT PROGRAM ACTIVITY Activity Date Activity Type Description Credits/(Debits) 6/1 Automatic Investment BANK DEPOSIT PROGRAM $6,284.38 6/2 Automatic Redemption BANK DEPOSIT PROGRAM (5,449.19) 6/6 Automatic Investment BANK DEPOSIT PROGRAM 32.19 6/7 Automatic Redemption BANK DEPOSIT PROGRAM (49,139.66) 6/8 Automatic Investment BANK DEPOSIT PROGRAM 362.50 6/9 Automatic Investment BANK DEPOSIT PROGRAM 90,343.32 6/12 Automatic Redemption BANK DEPOSIT PROGRAM (41,340.60) 6/13 Automatic Investment BANK DEPOSIT PROGRAM 345.00 6/14 Automatic Redemption BANK DEPOSIT PROGRAM (30,438.33) 6/15 Automatic Investment BANK DEPOSIT PROGRAM 6,291.32 6/16 Automatic Investment BANK DEPOSIT PROGRAM 708.30 6/19 Automatic Investment BANK DEPOSIT PROGRAM 24,923.14 6/20 Automatic Investment BANK DEPOSIT PROGRAM 35,087.49 6/22 Automatic Investment BANK DEPOSIT PROGRAM 18,007.00 6/23 Automatic Investment BANK DEPOSIT PROGRAM 78,109.97 6/26 Automatic Redemption BANK DEPOSIT PROGRAM (39,349.16) 6/27 Automatic Investment BANK DEPOSIT PROGRAM 1,021.07 6/28 Automatic Redemption BANK DEPOSIT PROGRAM (150,004.32) 6/29 Automatic Investment BANK DEPOSIT PROGRAM 393.75 6/30 Automatic Investment BANK DEPOSIT PROGRAM 57,639.84 6/30 Automatic Investment BANK DEPOSIT PROGRAM 0.67 NET ACTIVITY FOR PERIOD $3,828.68 00 3 1 3 1 M S A D T 2 3 2 Account Detail CLIENT STATEMENT For the Period June 1-30, 2017 Consulting and Evaluation Services Active Assets Account 660-110000-095 CITY OF ATLANTIC BEACH C/O RUSSELL CAFFEY Page 28 of 30 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 BECTON DICKINSON 1.800 12-15-17 03/07/17 06/19/17 35,000.000 $35,087.49 $35,051.36 $36.13 CONOCOPHILLIPS 5 3/4 2-01-19 03/28/17 05/23/17 11,000.000 11,694.10 11,664.12 29.98 03/28/17 05/23/17 7,000.000 7,441.70 7,422.63 19.07 FHLMC ARM 2B615 2.883 6-01-47 04/24/17 05/24/17 120,000.000 122,680.82 123,013.57 (332.75) FNA 2017-M5 FA 1.484 4-25-24 05/09/17 06/25/17 42.750 42.75 42.71 0.04 FNMA 7BL AN5495 2.300 1-01-22 04/13/17 06/25/17 244.930 244.93 246.42 (1.49) FNMA 7BL AN5496 2.300 1-01-22 04/13/17 06/25/17 111.330 111.33 112.01 (0.68) FNMA POOL AN5051 2.550 11-01-21 03/27/17 06/25/17 82.060 82.06 82.98 (0.92) FNMA POOL AN5056 2.590 4-01-21 03/27/17 06/25/17 93.100 93.10 94.44 (1.34) JOHN DEERE CAP 2.200 3-13-20 03/10/17 06/13/17 55,000.000 55,574.75 54,957.10 617.65 PROLOGIS LP 2 3/4 2-15-19 02/02/17 06/30/17 30,000.000 30,903.90 30,393.82 510.08 03/07/17 06/30/17 25,000.000 25,753.25 25,294.35 458.90 SAFINA LTD 2.000 12-30-23 01/31/17 06/30/17 4,256.160 4,256.16 4,213.60 42.56 UNITED TECHNOLOGI 1.900 5-04-20 05/01/17 06/30/17 20,000.000 20,047.00 19,990.20 56.80 US TSY NOTE 1.000 2-15-18 01/31/17 06/02/17 150,000.000 149,829.60 150,130.23 (300.63) 01/31/17 06/06/17 100,000.000 99,890.30 100,085.98 (195.68) 01/31/17 06/07/17 60,000.000 59,929.50 60,051.38 (121.88) 01/31/17 06/07/17 30,000.000 29,963.58 30,025.70 (62.12) 01/31/17 06/09/17 50,000.000 49,935.40 50,042.13 (106.73) US TSY NOTE TIIN 1/8 4-15-22 04/13/17 04/17/17 18,000.000 18,162.90 18,199.35 (36.45)W 04/13/17 04/17/17 6,000.000 6,054.30 6,066.45 (12.15)> 04/13/17 04/17/17 6,000.000 6,054.30 6,066.45 (12.15)W Disallowed Loss Based On Wash Sale: $86.42; Basis Adjustment Due To Wash Sale: $25.67 Short-Term This Period $561,745.10 $560,814.41 $930.69 Short-Term Year to Date $7,795,206.82 $7,790,450.55 $4,756.27 Net Realized Gain/(Loss) This Period $561,745.10 $560,814.41 $930.69 Net Realized Gain/(Loss) Year to Date $19,399,174.28 $19,474,361.54 $(75,187.26) Disallowed Loss Based On Wash Sale Year to Date: $112.09 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. H, W, > - The wash sale rule applies to this tax lot. For lots noted with an “H,” the cost basis and acquisition date (trade date) have been adjusted to account for disallowed loss of a related wash sale transaction. For lots noted with a “W,” the disallowed loss on covered securities will be reported on Form 1099-B for the current tax year. The aggregate basis adjustment and the disallowed loss amount are identified in italics under the Security Description. Net Realized Gain/(Loss) for “This Period” and “Year to Date” includes disallowed loss. For lots noted with a “>,” both “H” and “W” apply. Account Detail CLIENT STATEMENT For the Period June 1-30, 2017 Consulting and Evaluation Services Active Assets Account 660-110000-095 CITY OF ATLANTIC BEACH C/O RUSSELL CAFFEY Page 29 of 30 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. Senior Investor Helpline For any inquiries or comments or potential concerns, senior investors or someone acting on their behalf may contact our Firm by calling (800) 280-4534. Sign up for eDelivery of your Account Documents Today Receiving documents through eDelivery is secure, convenient, green and may even help you save on annual account fees. Accounts enrolled in eDelivery of all eligible account documents for every account within an Account Link Group may qualify for a reduced annual fee. Contact your Financial Advisor or Private Wealth Advisor for additional details regarding annual account fees. Simply visit www.morganstanley.com/edelivery to set your eDelivery preferences today. Please note, if you have not already done so, you will first need to register for Morgan Stanley Online prior to making your eDelivery selections. Firm Discretion Select UMA CGCM Target Date Model Available in Non-Retirement Accounts Beginning on or about August 14, 2017, the CGCM Target Date Model will be available in the Firm Discretion Select UMA program to clients that are not retirement plans. This Model is currently available only to clients that are retirement plans. Clients that select the CGCM Target Date Model will be able to select from several Firm Discretion portfolios that Morgan Stanley will select (and change from time to time) based on various targeted retirement dates. If a client makes this selection, Morgan Stanley will restrict selection of investment products to Consulting Group Capital Markets Funds mutual funds (which are affiliated with Morgan Stanley), except that the Sweep Investment will not be a Consulting Group Capital Markets Funds mutual fund. Morgan Stanley may prohibit accounts that have selected a CGCM Target Date Model from changing to a model that is not a CGCM Target Date Model, without adjusting the fee. 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. 00 3 1 3 1 M S A D T 2 3 2 This page intentionally left blank Page 30 of 30