A Message From Robert Aguallo, Jr., General Manager

After five years with the City of Los Angeles and 28 years with the State of California, I am retiring from public service.

During my tenure as General Manager, I hope LACERS has served you well. When I started in 2003, the investment portfolio that provides more than 72% of our retirement allowance was at a mere $6.7 billion. Today, I am happy to report that through our asset allocation strategy, emerging managers program, new forays into real estate, alternative investments and a lot of hard work, our investment portfolio is $10.6 billion (as of April 14, 2008). Within the retirement industry, LACERS is considered a leader in investment strategies, health care pre-funding and customer service.

While most public employee pension systems struggle to find ways to pay benefits to current Retired Members, LACERS funded ratio status for retirement allowances is 81.7%. While these same systems are eliminating health care subsidies for Retirees and future Retirees, LACERS is prefunding your health care costs. The funded ratio status for your health care benefits is 68.5%.

Another area where I have devoted substantial resources is customer service. Our Member Communications staff has published a new Health Benefits Guide that was sent to your home in October along with your Health Member Statement. The Benefits Guide outlines your health benefits and should be kept on hand for when you have questions. You can also call LACERS at (800) 779-8328 on weekdays from 8:00 a.m. to 5:00 p.m. to speak to a representative. You can visit us 24/7 at www.LACERS.org or email us at lacers.services@lacity.org.

Thank you LACERS members and my best wishes for your happy and prosperous retirement from the City of Los Angeles.