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No Interest in Investment Returns

Proceeds from the sale of Tuition Certificates will be placed in the Program Trust and invested in accordance with TPC’s investment objectives and guidelines.

The purchase of a Tuition Certificate is the prepayment, on behalf of the Beneficiary, of future educational services, and should not be viewed as an investment. In the event of a refund, the Purchaser will receive only the amount paid for a Tuition Certificate, adjusted by the net investment performance of the Program Trust, subject to a maximum return of 2% per annum and a maximum loss of 2% per annum

(in each case, compounded annually). The Refund Amount will be paid from the Program Trust only,

and no other person, including the Program Manager, TPC or any Participating Institution, will be liable for any payments, including those that are greater than the amounts in the Program Trust.

The Purchaser has no right to or interest in any investment returns on the purchase price of Tuition Certificates beyond such limits. Generally, investment returns or losses will accrue to the account of the Participating Institution upon enrollment.

No Ability to Direct Investments

Investment decisions concerning Program Trust assets will be made by the TPC Investment Committee. Purchasers and Beneficiaries have no ability, either directly or indirectly, to control, direct or influence investment decisions made by the investment committee.

Refunds Limited to Assets of Program Trust

The Program Trust is the sole source of refunds under the Plan. There can be no assurance that there will be sufficient funds in the Program Trust to satisfy all refund requests under all circumstances.

18 Non-Transferability

Purchasers may not assign or transfer any interest in Tuition Certificates, except involuntary transfers such as those that result from death. Purchasers may designate a Successor Account Owner in the event of their death. An attempted voluntary assignment or transfer of such an interest will be void. No Pledging of Tuition Certificate as Security

Tuition Certificates may not be pledged by Purchasers or Beneficiaries as collateral for any purpose, including loans. Any attempt to make any such pledge will be void.

Limited Liquidity

The purchase of a Tuition Certificate should be viewed as a commitment to the future education of the Beneficiary.

Once a Tuition Certificate has been purchased, the Purchaser may not obtain a refund without suffering adverse tax consequences except in limited circumstances. Moreover, unless the Beneficiary dies, a Purchaser may not request a refund from the Plan for one full year from the Issue Date of the Tuition Certificate.

Withdrawal of a Participating Institution

Participating Institutions may withdraw from the Plan at any time. If a Participating Institution withdraws, it

has no obligation to honor Tuition Certificates purchased after it has withdrawn, although institutions that

have withdrawn from the Plan continue to be obligated to accept Tuition Certificates purchased at any time prior to their withdrawal from the Plan. If a Beneficiary attends a withdrawn Participating Institution, the Beneficiary will not be able to use Tuition Certificates at that Participating Institution if they were purchased following the withdrawal.

Partial Redemption or Refund

If your Account has more than one Eligible Tuition Certificate for a Beneficiary and you redeem, or request a refund of, less than the full amount of those certificates, the amount of the redemption or refund will be taken on a pro-rata basis of the Eligible Tuition Certificate(s) held in the Account. Because you cannot choose to redeem, or have a refund paid from a particular Eligible Tuition Certificate, redemption proceeds may come from a particular Eligible Tuition Certificate that would be more valuable if held and later redeemed to pay for Tuition in the future.

Rate of Return

Tuition Certificates are valuable primarily because of the educational services they can purchase. The portion of Tuition at a Participating Institution for a particular year that may be paid through redemption of a Tuition Certificate remains constant, regardless of external rates of inflation or deflation. Tuition

Certificates do not reflect any minimum or specific rate of return on amounts paid for their purchase, except to a limited extent in case of refund. It is possible that, if you invested the funds on your own instead of using those amounts to purchase Tuition Certificates, you could earn a return that would exceed the value of the prepaid Tuition covered by a Tuition Certificate.

Consequences of Not Attending a Participating Institution

In the event that the Beneficiary does not attend a Participating Institution (e.g., the Beneficiary enrolls at an educational institution that is not a Participating Institution), or is otherwise unable to use Tuition Certificates, the Purchaser may request a refund. As noted above, the Refund Amount does not provide a meaningful rate of return and may not be sufficient to cover the costs of attending another

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institution. Further, the Purchaser will have lost the opportunity to invest the prepaid amounts in investments that could have yielded a higher rate of return.

Termination Risk

The Plan may be terminated at any time by TPC. If the Plan is terminated, a termination plan will be developed, and all outstanding Tuition Certificates will remain useable for payment of Tuition or refund for at least 20 years from the date of purchase.

Changes in Terms

The Plan has been designed based on laws, rules and regulations currently in effect as of the date of this Disclosure Statement. Key terms may be affected by future changes in such laws, rules and regulations. In addition, the Enrollment Agreement may be amended by TPC as necessary in order to keep the Plan qualified under Section 529 or as TPC may otherwise determine is advisable or necessary in the administration of the Plan. Purchasers will be informed of such changes and will have the option to refuse such changes by canceling their Tuition Certificates and receiving the Refund Amount. Medicaid Eligibility

A purchaser or Beneficiary of Tuition Certificates may seek eligibility for Medicaid, and the impact of a Tuition Certificate in the name of the purchaser or on behalf of the Beneficiary is not clear. There can be no assurance that Tuition Certificates will not be treated as “countable resources” in determining the financial eligibility of a purchaser or Beneficiary for Medicaid. In addition, Tuition Certificate refunds or redemptions may delay or otherwise affect Medicaid payments or eligibility for a purchaser or Beneficiary. Purchasers and Beneficiaries should consult with a qualified attorney or other advisor to determine the impact of Tuition Certificates on Medicaid payments and the timing of Medicaid payments.

Creditor Protection

Federal bankruptcy law provides certain creditor protection for Tuition Certificates and other assets in qualified Section 529 tuition programs in federal bankruptcy proceedings. Generally, your Tuition Certificates will be protected for federal bankruptcy purposes if (i) the Beneficiary is your child, stepchild, grandchild, or step grandchild (including a child, stepchild, grandchild, or step grandchild through

adoption or foster care), (ii) the purchase amounts do not exceed the Plan’s maximum limits, and (iii) the purchases are made more than 365 days before the federal bankruptcy filing. However, purchases made for the same Beneficiary more than 365 days but less than 720 days before the federal bankruptcy filing are only protected up to $5,850.

State laws may also provide creditor protections with respect to Tuition Certificates. You should consult a qualified attorney for advice on how federal and state bankruptcy and debtor/creditor laws may apply to your Tuition Certificates. Neither TPC nor the Program Manager makes any representations or

warranties regarding creditor protections or their applicability to Tuition Certificates.