CAP Survey Numbers

CAP/401(k) Survey Numbers

Employees were asked to rank the importance of 9 features or potential features of the CAP/401(k) plan from very important to very unimportant. In addition, employees were provided the opportunity to write additional comments. There were a total of 468 surveys returned out of 5,935 distributed (8% return rate) and 135 employees provided additional comments (29% of all returned surveys).

Investment Performance

	Very Important	Somewhat Important	Neutral	Somewhat Unimportant	Very Unimportant	No Answer
Number	*418*	23	17	3	4	3
Percent	89%	5%	4%	0.5%	1%	0.5%

The goal of the 401(k) plan is to have the investment funds consistently perform in the top third of similar funds over the long run. Some 401(k) funds provide more services at the expense of investment performance. How important is superior investment performance?

Low Fees

	Very Important	Somewhat Important	Neutral	Somewhat Unimportant	Very Unimportant	No Answer
Number	*282*	*116*	52	10	7	1
Percent	60%	25%	11%	2%	2%	0%

All 401(k) funds charge an investment management fee which is paid by the fund. Fees can range up to 1.5% or higher depending upon the type of fund and the types of services provided. Usually more services often mean higher fees. Airborne's current funds expense ratio average about 0.5% for the entire plan. Keeping in mind that fees are deducted from your overall investment return how important are low investment fees to you?

Fund Options

	Very Important	Somewhat Important	Neutral	Somewhat Unimportant	Very Unimportant	No Answer
Number	*180*	*118*	97	34	37	2
Percent	39%	25%	21%	7%	8%	0%

Currently CAP offers 7 fund options in all categories of investments.

Large Stock Funds Growth & Income Fund Aggressive Growth Funds Income Fund Minimal Risk Fund

Stock Fund Balanced Fund Small CAP Fund Bond Fund Stable Value Fund

Index Fund International Fund

The goal of the program is to provide you with an investment variety that allows you to tailor the investments to your long term retirement savings needs. Each fund has different levels of risk and expected patterns of investment returns. Most retirement planning experts suggest that retirement savings be invested in a well diversified portfolio of funds. How important is adding additional fund options to help you meet your retirement goals?

Web Access

	Very Important	Somewhat Important	Neutral	Somewhat Unimportant	Very Unimportant	No Answer
Number	*176*	*110*	85	36	59	2
Percent	38%	24%	18%	8%	12%	0%

Many 401(k) plans today allow employees to access their accounts to check account balances and make changes through an Internet web site. How important is this to you?

Fund Information

	Very Important	Somewhat Important	Neutral	Somewhat Unimportant	Very Unimportant	No Answer
Number	*187*	*149*	78	19	15	20
Percent	40%	32%	17%	4%	3%	4%

Many 401(k) plans provide fund information about the types of securities that the fund manager invests in and the general strategy of the investment fund. How important is knowing this type of information or do you prefer to leave this to the professionals?

Education Information

	Very Important	Somewhat Important	Neutral	Somewhat Unimportant	Very Unimportant	No Answer
Number	*185*	*143*	79	24	21	16
Percent	40%	31%	17%	5%	4%	3%

Some 401(k) plans provide educational materials about retirement investing. How important is having educational information provided to you?

Daily Valuation

	Very Important	Somewhat Important	Neutral	Somewhat Unimportant	Very Unimportant	No Answer
Number	98	*100*	*121*	61	78	10
Percent	21%	21%	26%	13%	17%	2%

Many 401(k) plans today provide daily valuations for employees. This allows you to see how your account has gained or lost each day. How important is knowing your daily gains or losses?

Daily Investment Changes

	Very Important	Somewhat Important	Neutral	Somewhat Unimportant	Very Unimportant	No Answer
Number	*113*	99	*104*	67	77	8
Percent	24%	21%	22%	14%	17%	2%

Some 401(k) plans allow employees to make daily changes. Keeping in mind that changes would be executed the next trading day and that it is nearly impossible to "time the market", how important is it to you to have the ability to make daily changes to your account balances?

Published Net Asset Value

	Very Important	Somewhat Important	Neutral	Somewhat Unimportant	Very Unimportant	No Answer
Number	*104*	*118*	*136*	51	50	9
Percent	22%	25%	29%	11%	11%	2%

Some 401(k) plans use mutual funds that have their Net Asset Value (NAV) published on the Phone Benefit System or on the Internet. NAV is the price per share of the fund. How important is being able to hear the NAV on the Phone Benefit System or on the Internet?

Revised: January 14, 2005.