May 21 2001 — Standard & Poor’s announced that it is removing the Select Fund designation from Enterprise Grp:Small Company Value Fund (ENSPX) due to sustained underperformance.

Standard & Poor’s noted that the fund had significantly underperformed both its benchmark and peer group in 2000 and 2001, following strong gains in 1998 and 1999. The three-year annualized performance through May 10 showed the fund underperforming the index by almost 1000 basis points and its peer group average by close to 700 basis points.

“Given the strong performance of the small cap sector (during 2000 and 2001), it was expected that the fund would improve along the same lines as the peer group when, in fact, it did not,” according to Phil Edwards, Standard & Poor’s managing director of global funds research.

Edwards noted that while the fund continued to maintain a “disciplined approach of bottom-up selection,” which was critical to its original designation as a Select Fund, its managers had reported that asset allocation — specifically in telecommunications and consumer-related industries — had resulted in the recent poor performance.