It Pays to MonitorCompliance with Your

401(k)

Go Green and Save Green

The Future of California Enterprise ZonesThe California Enterprise Zone Program benefits economicallydistressed areas through special state tax and local economicincentives designed to promote business investment and jobcreation. By encouraging entrepreneurship and employergrowth, the program aims to create and sustain economicexpansion in California. It is one of the few tools the state hasto attract and retain businesses.

Controversy and uncertainty have surrounded enterprise zones inrecent years. Supporters of enterprise zones believe they givecommunities a chance to develop their economic potential,improve residents’ quality of life, and contribute to the state’seconomy in the process. Opponents of the enterprise zoneprogram believe the costs outweigh the benefits and that theprogram generates no statistically significant effect on employment.

Opponents have become increasingly vocal and diligent in their criticism. There have been several significant legislativebills introduced in the last few years that would curtail the tax incentives or eliminate the program altogether. With thesupport of enterprise zone businesses and other stakeholders, including the California Association of Enterprise Zones(CAEZ), the proposed legislation has not passed or materially impacted the program. We anticipate there will continueto be support for expansion of the program.

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By now, most of us are aware of the benefits of going green,such as tax credits on the purchase of hybrid cars or onenergy-efficient windows. However, did you know that thereare many other tax-related benefits for businesses to go greencurrently available in the Internal Revenue Code (IRC)?

ENERGY-EFFICIENT COMMERCIALBUILDING PROPERTYBack in 2005, former President George Bush signed TheEnergy Policy Act of 2005 into law. One of the provisionsof this Act included a tax deduction for investments in“energy-efficient commercial building property” designed toreduce the total annual energy and power costs for heating,

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Best Places To Work page 3Revenue Recognition Under Review page 5Brian Yacker Recognized as “Educator of the Year” page 7Windes in the Community / Excellence Awards page 8

I N S I D E

YOUR CATALYST FOR STRATEG I E S &

The IRS recently sent out 1,200 questionnaires to401(k) plan sponsors to determine where compliancedeficiencies may exist. The IRS intends to use what islearned from the questionnaire as the basis of futureexaminations.

These 1,200 recipients may be more fortunate thanthose plan sponsors who are chosen subsequently, sincethe latter group will likely be dealing with an IRSaudit. Plan sponsors have the ability to use a voluntaryIRS program called the Employee Plans ComplianceResolutions System (EPCRS) to correct problems they

The Future of California Enterprise Zones

It Pays to MonitorCompliance with Your

401(k)

Go Green and Save Green

Third Quarter 2010

CALIFORNIA ENTERPRISE ZONESCONTINUED FROM PAGE 1

CURRENT CALIFORNIAENTERPRISE ZONES

Antelope Valley (Palmdale, Lancaster, LosAngeles County) - Expires: 1/31/2012Arvin - Expires: 9/29/2024Barstow - Expires: 1/31/2021Calexico - Imperial County - Expires: 10/14/2021Coachella Valley (Coachella, Indio, Thermal) -

Expires: 11/10/2021Compton - Expires: 7/31/2022Delano - Expires: 12/16/2021Eureka - Expires: 10/14/2021Fresno, City of - Expires 10/14/2021Fresno County - Expires 6/26/2022Hesperia - Expires 3/31/2025Imperial Valley - Expires 2/28/2021Kings County - Expires 6/21/2023Lindsay - Expires 10/05/2010Long Beach - Expires: 1/7/2022Los Angeles, East - Expires: 1/10/2023Los Angeles, Hollywood - Expires: 10/14/2021Merced Regional - Expires 12/16/2021Oakland - Expires: 09/27/2023Oroville - Expires: 11/5/2021Pasadena - Expires: 4/10/2022Pittsburg - Conditional zone, no interim benefitsRichmond - Expires 03/01/2022Sacramento - Conditional zone, no interim benefitsSalinas Valley - Expires: 1/29/2024San Bernardino - Expires: 10/14/2021San Diego - Regional - Conditional zoneSan Francisco - Conditional zoneSan Joaquin - Expires: 06/21/2023San Jose - Expires: 12/30/2021Santa Ana - Expires: 06/21/2023Santa Clarita - Expires: 6/30/2022Sequoia Valley - Conditional zone, no interim

benefits. See Tulare County on TTA webpage.Shafter - Expires: 10/3/2010Shasta County - Expires: 11/5/2021Siskiyou County - Expires 6/21/2023Southgate - Lynwood - Expires: 10/14/2021Stanislaus (Ceres, Modesto, Stanislaus County,

Turlock) - Expires: 11/15/2020Taft - Conditional zone, no interim benefitsWatsonville - Expires: 4/30/2012West Sacramento - Expires: 1/10/2023Yuba-Sutter - Expires: 10/14/2021

We have also seen transition of the zones and zone boundaries. The state allows for 42enterprise zones, each with a fifteen-year designation period. Whenever one expires, thestate designates a new zone through a lengthy and competitive application process. In2007 and 2008, twelve zones expired, opening up opportunities for other distressed cities.In 2009, the state received multiple applications for four available zones. The zonesreceiving conditional designation were Hesperia, Pittsburg, and Tulare/Sequoia Valley.

In the next two years, only four more zones expire. At that point, there are no moreexpirations and, therefore, no more new zone designations until 2020. This leavescities without an enterprise zone to struggle in a troubling economy with few tools toattract and retain businesses. One option for existing zones is to apply for anexpansion of its zone boundaries. Last year Sacramento applied for, and received, alarger zone designation to replace the existing zone.

Other cities are following suit. In May of this year, the City of Los Angelesannounced the expansion of the Hollywood enterprise zone. The approval of thezone was expedited when Mayor Antonio Villaraigosa approached Governor ArnoldSchwarzenegger in connection with the Chinese automobile manufacturer BYD’spending move of its North America headquarters to Los Angeles. In addition, thecity is offering local incentives, including a five-year electrical rate discount, site planreview waiver, and reduced parking rates.

The expanded zone includes:

In June, the City of Santa Clarita, which received its designation in 2006, announcedthat it was submitting an application for expansion. If approved by the state, thenew enterprise zone would stretch beyond the city limits.

Please see the list of all current California Enterprise Zones at right.

Windes & McClaughry supports the enterprise zone program and has significantexpertise helping taxpayers make sure they are utilizing the available benefits. Tolearn more about the programand how you may benefit,please contact Susan Laputzat slaputz@windes.com orKim Rokicki atkrokicki@windes.com, or byphone at (562) 435-1191.

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CALIFORNIA ENTERPRISE ZONESCONTINUED FROM PAGE 1

• Warner Center portion of Woodland Hills

• Canoga Park, Chatsworth, and Northridge industrial areas

• Van Nuys Airport area

• Van Nuys Boulevard from Saticoy Street to Oxnard Street

• Surrounding areas of LAX

• Portions of San Fernando Road and Foothill Boulevard in Sylmar

• Washington Boulevard and Glendale Boulevard in Echo Park

Kim Rokicki, CPAManager

Tax & Accounting Services

Susan Laputz, CPA, MSPartner

Tax & Accounting Services

COMPLIANCE WITH YOUR 401(K)CONTINUED FROM PAGE 1

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COMPLIANCE WITH YOUR 401(K)CONTINUED FROM PAGE 1

discover before an IRS audit occurs. Plan sponsors who fail to take advantage of EPCRS will not receive the favorable taxtreatment if the problems are discovered upon examination. After an audit notice is received, the only avenue to correctproblems discovered during the examination is the IRS Correction on Audit Program (Audit CAP) . This program carriesmuch stiffer penalties than EPCRS and is generally less favorable to plan sponsors than the voluntary compliance program.

Correcting plan errors under EPCRS allows participants to continue receiving tax-favored retirement benefits and protects theretirement benefits of employees and retirees. Under EPCRS, plan sponsors can self-correct certain errors in employeeretirement plans without notification to the IRS. In the most recent version of EPCRS, the IRS incorporated comments fromthe retirement plan community by adding flexibility and increasing correction methods. EPCRS includes three levels ofcorrection programs:

• The Self-Correction Program (SCP) permits a plan sponsor to correct “insignificant operational failures” in aqualified plan, 403(b) plan, SEP, or SIMPLE IRA plan. These corrections can be made without having to notifythe IRS and without paying any fee or sanction.

• The Voluntary Correction Program (VCP) allows a plan sponsor, at any time before an audit, to pay a limited feeand receive the IRS’s approval for a correction of a qualified plan, a 403(b) plan, SEP, or SIMPLE IRA plan.

• The Correction on Audit Program (Audit CAP) allows a sponsor to correct a failure or an error that has beenidentified on audit and pay a sanction based on the nature, extent, and severity of the failure being corrected.

The EPCRS Program is not available in cases where either the plan or the plan sponsor has been a party to an abusive taxavoidance transaction and the plan failure is directly or indirectly related to the abusive tax avoidance transaction.

Plan sponsors are encouraged to look at the issues raised by the IRS 401(k) questionnaire and work with their service providersto conduct self-audits before the IRS begins to use the data to select plans for examination. Even though the questionnaire isgeared to 401(k) plans, all qualified plans can benefit from routine compliance check-ups. Below is a short compliancechecklist all plan sponsors should use on at least an annual basis.

When reviewing the checklist, keep in mind that a qualified plan must satisfy the requirements listed under §401(a) of theInternal Revenue Code to maintain qualification. If a plan satisfies these requirements, contributions made by the employer tothe plan may be currently deductible and such contributions ordinarily will not be included in employees’ gross income until

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Windes has been named as one of the “Best Places to Work in Los Angeles” for2010. This is the third straight year that Windes has been recognized for this awardby the Los Angeles Business Journal. Windes participated in this competition bysubmitting information about the firm and by employee responses to a confidentialonline survey administered by Best Companies Group. Windes falls into themedium-sized category (25 to 250 employees), where the field of contestants was

reduced to a small list of awardees, subsequent to a review of all information submitted. The award reflects Windes’adherence to one of the firm’s core values, which is to value people first.

A past award for Windes in this category is the “2009 Best Accounting Firms to Work For” in the country byAccounting Today.

BEST PLACES TO WORKBEST PLACES TO WORK

GO GREEN AND SAVE GREENCONTINUED FROM PAGE 1GO GREEN AND SAVE GREENCONTINUED FROM PAGE 1

cooling, ventilation, interior lighting, and hot water systems of new or existing commercial buildings by at least 50% incomparison to a “reference building.” Thus, a taxpayer can currently expense and deduct the costs of making commercialbuildings energy-efficient as opposed to the former law, which required that these costs be capitalized and depreciated over 39years. The deduction is capped at $1.80 per square foot of the building.

Energy-efficient commercial building property is defined as tangible property that can be depreciated, is located within the UnitedStates, meets Standard 90.1-2001 as established by the American Society of Heating, Refrigerating, and Air ConditioningEngineers (ASHRAE), is installed as part of the interior lighting systems, heating, cooling, ventilation, hot water systems, orbuilding envelope, and is installed as part of a plan designed to reduce the total annual energy and power costs of these systems byat least 50%. This 50% reduction is met by comparing the reduction achieved in the taxpayer’s building to a reference building.A “reference building” is a building that is located within the same climate zone as the taxpayer’s building and is otherwisecomparable to the taxpayer’s building except that its interior lighting, heating, cooling, ventilations, and hot water systems meetthe minimum standards established by ASHRAE Standard 90.1-2001.

To be eligible for this deduction, the energy-efficient commercial building property – such as state-of-the-art lighting system- musthave been placed in service between January 1, 2006 and December 31, 2008. However, The Emergency Economic StabilizationAct of 2008 extended the original deadline under the Energy Policy Act of 2005 to December 31, 2013. Additionally, any energyor power cost savings calculation for energy-efficient commercial building property must be prepared using qualified computersoftware approved by the Department of Energy (http://www1.eere.energy.gov/buildings/qualified_software.html).

There is also a partial deduction allowance if the 50% cost reduction cannot be met for the building as a whole. The partialallowance deduction is capped at the reduced rate of $0.60 per square foot of the building and is available for investments in oneof three systems—lighting, heating and cooling, or building envelope—designed to reduce energy costs by at least 20 2/3% (i.e.,one-third of the 50% requirement) in comparison to a “reference building.”

The person or organization that pays for the construction is generally the recipient of the deduction. This is usually the buildingowner, but for some HVAC or lighting efficiency projects, it could be the tenant. For government-owned buildings, the personprimarily responsible for designing the building or project may be able to claim the deduction.

IRC SECTION 48 – ENERGY CREDITAnother opportunity for businesses to take advantage of the green incentives is the Energy Credit under IRC Section 48. Ataxpayer is allowed to either claim a credit for 30% or 10% of the cost of energy property placed in service during the year,depending on the type of energy property placed in service. To qualify for either the 30% or 10% credit, the energy propertymust be constructed, reconstructed, or erected by the taxpayer; or acquired by the taxpayer if original use begins with the taxpayer.Also, the credit can only be taken on energy property that is amortizable or depreciable and meets the official governmentstandards for quality and performance in effect at the time of acquisition. These standards are prescribed by the Internal RevenueService in coordination with the Department of Energy.

The following items are entitled to the 30% credit: solar energy systems used to generate electricity, heat or cool a structure, orprovide solar process heat; solar energy systems designed to light the inside of a structure using fiber-optic distributed sunlight; qualified fuel cell or microturbine property; and qualified small wind energyproperty. These items are eligible for the reduced 10% credit: a heating system that uses the ground orground water as a thermal energy source to heat or cool a structure; combined heat and power systemproperty; and a system that is used to produce, distribute, or use energy derived from a geothermaldeposit (as defined by the Internal Revenue Code).

The basis of the energy property on which the credit is claimed must be reduced by 50% of the energycredit generated, even if the full amount is not used in the current year.

For more information about the tax-related benefits of going green, please contact Carl Didrikson at(949) 271-2600 or at cdidrikson@windes.com.

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Carl Didrikson, CPAManager

Tax & Accounting Services

This summer, as part of a joint project, the Financial Accounting Standards Board and International Accounting StandardsBoard (the Boards) issued exposure drafts on revenue recognition. The goals of the project are to:

• remove inconsistencies and weaknesses in existing revenue recognition standards and practices;

• provide a more robust framework for addressing revenue recognition issues;

• improve comparability of revenue recognition practices across entities, industries, jurisdictions, and capitalmarkets; and

• simplify the preparation of financial statements by reducing the number of requirements to which entities must refer.

The new guidance will have a significant impact on the way entities have historically approached revenue recognition.

RECOGNIZE REVENUEWHEN A PERFORMANCE OBLIGATIONIS SATISFIEDA core principal presented in the proposed guidance is that an entity recognizesrevenue relating to the transfer of goods or services to customers in an amount that theentity expects to receive in exchange from those customers. Under the guidance, allgoods and services to be delivered under customer contracts would be identified andevaluated to determine an entity’s specific performance obligations. The contract pricewould be allocated to any separate performance obligations identified using amethodology that considers the relative selling price of the deliverables as a basis forallocation. When an entity satisfies a performance obligation, revenue would berecognized for the amount of the contract price allocated to that performanceobligation.

An entity would satisfy a performance obligation by transferring a promised good or service to a customer. A good or serviceis transferred when the customer obtains control of that good or service. A customer obtains control of a good or servicewhen the customer has the ability to direct the use of, and receive the benefit from, the good or service.

HOWWILL THIS IMPACT YOUR ORGANIZATION?The theories discussed in this exposure draft will present many challenges for entities to implement. Much of the rules-basedguidance previously considered when recognizing revenue, such as when title transfers to a customer, as services are provided, andmatching revenues and costs under percentage-of-completion, may no longer apply. The determination of when a customerobtains control may be inconsistent across contracts or performance obligations. Entities will need to spend time analyzing theterms of their contracts and how those relate to their standard business practices. Furthermore, the stated prices for goods andservices used in the past to determine the amounts to recognize for revenue may no longer be the correct indicator going forward.The time value of money, credit risk, right of return, noncash consideration, and other factors may need to be considered whendetermining the amount that an entity expects to receive from a customer when recording revenue.

The proposed guidance is also likely to change the way that many entities have accounted forcosts to obtain and fulfill contracts and how they have developed warranty reserve obligations.Entities would also be required to disclose qualitative and quantitative information about certaincustomer contracts and how they have been accounted for.

The comment period for the drafts ends on October 22, 2010. The Boards have indicated thatthe final guidance will be issued during the second quarter of 2011; however, the effective datefor the potential changes has not been set. To review the Boards’ complete exposure drafts withspecific examples, go to www.fasb.org.

For more information about the exposure drafts on revenue recognition, please contact RonKulek at (562) 435-1191 or at rkulek@windes.com.

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REVENUE RECOGNITIONUNDER REVIEW

Ron Kulek, CPAPartner

Audit & Assurance Services

REVENUE RECOGNITIONUNDER REVIEW

COMPLIANCE WITH YOUR 401(K)CONTINUED FROM PAGE 3

distributed from the plan. If a plan fails to satisfy any of the §401(a) requirements, the plan becomes “disqualified” and thefavorable tax benefits associated with these plans may be lost.

• Is the plan document in compliance with the Economic Growth Tax Relief and Reconciliation Act of 2001 (EGTRRA)?April 30, 2010 was the IRS deadline for all employers adopting pre-approved defined contribution plans to amend theirplans for EGTRRA. Under certain circumstances, there is some relief under the IRS EPCRS Program until April 30,2011. (The EGTRRA compliance deadline for Defined Benefit Pension Plans is April 30, 2012.)

• Is the plan being operated based on the terms of the plan document?

• If the plan offers loans to participants, are loans being operated based on the terms of the plan, Summary PlanDescription and Loan Program?

• Are loan repayments being transmitted to the plan timely?

• If a 401(k) plan, are employee deferrals being transmitted to the plan timely?

• Is the plan’s definition of compensation being reported and used correctly?

• Are forfeitures being allocated in the year in which they occur?

• Are distributions to eligible participants being made timely?

• Are mandatory distributions to certain participants over age 70½ being made timely?

• Is the plan filing IRS Form 5500 annually? Form 5500 is required to be filed electronically for Plan Years beginningin 2009.

• Is the Summary Annual Report (or Annual Funding Notice) being distributed to the participants annually?

• Are the required notices under the Pension Protection Act of 2006 being provided annually (or quarterly if the planallows for participant direction of accounts)?

• If a 403(b) plan, is the plan complying with the new document and Form 5500 requirements?

If the answer to any of the above questions is “no,” we suggest consulting with the plan’s advisors to determine a course ofappropriate action. More extensive checklists and compliance tools can be found on the IRS’s website at www.irs.gov(Retirement Plans Community).

As Congress passes new legislation and government agencies issue new regulations, plan sponsors must adopt interimamendments to keep their plans compliant. In addition to the above items, plan sponsors should be aware of the upcomingdocument compliance checklist for all qualified plans:

• The Heroes Earnings Assistance and Relief Tax Act of 2008 (HEART) amendment must be adopted by the end ofthe plan year beginning in 2010.

• The Worker, Retiree, and Employer Recovery Act of 2008 (WRERA) amendment must be adopted by the end of theplan year beginning in 2011.

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Brian Yacker Recognized as “Educator of the Year”by the CalCPA Education Foundation

In June, the California Society of Certified Public Accountants (CalCPA) Education Foundationrecognized Brian Yacker with their 2009/2010 Outstanding Conference Speaker.

The Outstanding Conference Speaker award is determined through CalCPA Education Foundation’srigorous analysis of input received from participants at several conferences conducted throughout theyear. This is performed by the Education Foundation’s Continuing Professional Education (CPE)team along with final vetting and approval by the Board of Trustees Awards Committee. The abilityto provide insight and expertise, handle questions appropriately, and keep the audience interested inthe subject matter are just a few of the criteria that are reviewed. “Brian is an expert on the IRS Form990 and is a dynamic speaker who consistently receives high scores for his knowledge of the subjectand his presentation skills,” says Barbara Ranes, director of conferences for the CalCPA EducationFoundation. “Brian is a consummate professional and a pleasure to work with.”

Congratulations Brian.

Brian Yacker, CPA, JDPartner

Tax & Accounting Services

The IRS has many resources on its website to assist employers with complianceof their qualified plans. For example, the IRS provides a free quarterlynewsletter, Retirement News for Employers (RNE), prepared by the IRS’sEmployee Plans (Tax Exempt and Government Entities) office aimed at keepingemployers informed about retirement plan sponsorship. For your convenience,RNE includes Internet links to referenced materials. The Department of Labor(DOL) also has resources on its website to help sponsors comply with the newForm 5500 electronic filing requirement: www.dol.gov/ebsa/

RNE is distributed exclusively through IRS e-mail. To sign up for your freesubscription, go to www.irs.gov, then Retirement Plans Community Web page andselect “Newsletters” in the left pane. Prior editions of the RNE are also available.

Retirement plans need constant monitoring and upkeep to maintain their tax-qualified status. With the enormous volume of rules and regulations that coverevery aspect of plan administration, mistakes and errors are inevitable for justabout every plan, and the IRS has created programs that allow sponsors’ prescribedmethods to voluntarily correct errors for a reducedfee. The questionnaire that was sent to randomlyselected plan sponsors is designed to determine thecommon plan errors and will likely lead to an IRS

examination program to target plan sponsors. Plans selected for an IRS audit will face much stifferpenalties for correcting any errors discovered on examination and risk plan disqualification. Plansponsors are encouraged to perform a compliance check on their plans to discover and correct anyerrors prior to the receipt of any communications from the IRS or DOL.

To learn more about the IRS 401(k) questionnaire or if you have concerns about your plan’scompliance, please contact Therese Cheevers at (949) 271-2600 or at tcheevers@windes.com.

RNE is distributed

exclusively through

IRS e-mail. To sign up for

your free subscription, go to

www.irs.gov, then Retirement

Plans Community Web page

and select “Newsletters” in

the left pane. Prior editions

of the RNE are also available.

Therese Cheevers, APASenior Manager

Employee Benefit Services

Making a Difference Worldwide

PAGE 8

SOLUTIONSEditorRonald C. Kulek, CPA

Comments Email:solutions@windes.com

©2010 Windes &McClaughry.All rights reserved.

Editorial BoardCarolyn K. De Baca

Dolores M. Hernandez

Keith K. Higgins

Craig M. Ima

Suzy B. Meyer

Bella P. Wang, CPA

SOLUTIONS is published quarterly for the clients, business associates, and friends of Windes & McClaughry AccountancyCorporation. The information presented in this newsletter is intended as general information and may not apply in every case.Please contact Windes &McClaughry for specific advice about your particular situation.

LOS ANGELES COUNTY HEADQUARTERSLandmark Square • 111 West Ocean BoulevardTwenty-Second Floor • Long Beach, CA 90802Post Office Box 87 • Long Beach, CA 90801-0087Telephone: (562) 435-1191 • FAX: (562) 495-1665

ORANGE COUNTY OFFICEVon Karman Towers • 18201 Von Karman AvenueSuite 1060 • Irvine, CA 92612Telephone: (949) 271-2600 • FAX: (949) 660-5681

SOUTH BAY OFFICEDel Amo Financial Center • 21515 Hawthorne BoulevardSuite 840 • Torrance, CA 90503Telephone (310) 316-8130

www.windes.com

Member of:

American Institute of Certified Public Accountants (AICPA)

AICPA Employee Benefit Plan Audit Quality Center

American Society of Pension Professionals and Actuaries (ASPPA)

California Society of Certified Public Accountants (CalCPA)

Center for Public Company Audit Firms of the AICPA

National Institute of Pension Administrators (NIPA)

Public Company Accounting Oversight Board (PCAOB) Registered

The Excellence in Technical AchievementAward recognizes an individual who hasdeveloped an expertise that is a credit tohimself/herself and to the firm andrecognizes the technical skills and researchthat is a result of hard work, talent, andongoing dedication to technicalachievement. During the past fiscal year,the accounting profession has undergonesignificant changes. Jeff Parsell took thelead in ensuring that clients understoodand made the required technical changes

necessary to comply with the new standards. Jeff ’s superiortechnical skills and dedication to our clients has had, and willcontinue to have, a profound impact on the firm.

EXCELLENCE AWARDS

Making a Difference WorldwideAudit and Assurance staff member, Jessica Morales, has been dedicated todeveloping leadership qualities in young people within the community and aroundthe world. For the past ten years, Jessica has been a volunteer for Hugh O’ BrianYouth Leadership (HOBY) programs. Jessica has been involved in organizingHOBY’s World Leadership Congress; an eight-day seminar that hosts 400 studentsfrom 14 countries. In addition, she coordinates the organization’s three-dayleadership seminars for local high school sophomores.

For over 50 years, HOBY has been known as the country’s top youth leadershipdevelopment organization. Founded in 1958 by veteran actor Hugh O’Brian,HOBY’s mission is to inspire and develop our global community of youth andvolunteers to a life dedicated to leadership, service, and innovation.

Jessica’s community efforts were recently recognized when she was crowned Ms.Dream California.

Jeff Parsell, CPASenior ManagerAudit & Assurance

Services

WINDES IN THE COMMUNITYWINDES IN THE COMMUNITY

At the 2010 HOBYWorld Leadership Congress held at UCLA.HOBY volunteers from left to right: Kara Belew, JessicaMorales, Elizabeth Gremminger, and Emily Hackman.

The Excellence in Client Service Award recognizes anindividual who has demonstrated an extraordinarylevel of care for clients, a commitment to the standardof client service that goes beyond what is normallyexpected, and a desire to help clients receive a higherlevel of service. Ryan Reed understands that Windes& McClaughry is in the business of providingoutstanding quality to our clients and is truly a rolemodel for all members of the firm when it comes toservice. Ryan has been instrumental in improvingthe level of service we provide to our clients byworking quickly to trouble-shoot issues and findviable solutions. Ryan’s technical skills and his

dedication to excellence in service makes him a key asset and aninvaluable resource to the firm.

We are pleased to announce that the winners of our annual Excellence Program Awards are Jeff Parsell for Excellence in Technical Achievementand Ryan Reed for Excellence in Client Service. Congratulations to the 2010 Windes & McClaughry Excellence Awards Winners!

Ryan ReedTechnical Support

SpecialistManagement

Information Systems