CLAIMS CONFERENCE INCREASES ALLOCATIONS TO ASSIST JEWISH VICTIMS OF
NAZISM WORLDWIDE, EXPANDING SOCIAL SERVICES

At its annual meeting July 8-9 2008, the Claims Conference Board of
Directors approved a plan to increase its overall annual allocations
from various sources and also approved a multi-year allocation plan,
following a review of current and future needs and resources.

Total allocations by the Claims Conference will increase to $193 million
in 2009 from $170 million in 2008, expanding services for Nazi victims
worldwide. Allocations are primarily from the funds of the Successor
Organization (recovery of unclaimed Jewish property in the former East
Germany), with other funds coming from various sources of
Holocaust-related compensation.

“Increasing Claims Conference allocations is essential to addressing the
growing needs of Nazi victims as they age. These funds are for homecare,
hunger relief, medical care, winter supplies, emergency cash grants, and
other vital services to Nazi victims worldwide,” said Chairman Julius
Berman.

The Board of Directors reviewed a June 2008 report by Myers – JDC –
Brookdale Institute which had been presented to the Foundation for the
Benefit of Holocaust Survivors in Israel. The report projects that in
15 years, the number of Nazi victims in Israel still eligible for
homecare under current criteria will be 11,100, which is 77 percent of
the 2007 number of 14,300. The report shows that as survivors get older
and sicker, their needs will become greater. The Claims Conference funds
all homecare for Nazi victims in Israel beyond that provided by the
government.

The Board also unanimously approved an overall multi-year plan to
distribute approximately $135 million a year primarily from funds of the
Successor Organization over the next 5-7 years. This is based on current
Successor Organization funds available and projected income of the
Successor Organization. It represents an increase in Successor
Organization allocations of $25 million from 2007 in order to replace
humanitarian funding from the International Commission on Holocaust Era
Insurance Claims, which has now been distributed.

Successor Organization funds are primarily for social welfare programs
and institutions aiding Jewish victims of Nazi persecution in more than
40 countries. The amount to be allocated from the Successor Organization
for programs of Shoah research, documentation or education for the
period commencing July 10, 2008 will be up to $18 million per year. This
amounts to 20 percent of the earlier annual allocations of $90 million
per year and will now be 14 percent of the planned Successor
Organization allocations for 2008-2012.

In addition to allocations from the Successor Organization, the Claims
Conference allocates funds for social welfare services from the German
government, the Swiss Banks Settlement, the Hungarian Gold Train
Settlement, and the Austrian government.

The Board also resolved that intensive efforts should continue to be
made to expand and extend funding to meet social welfare needs of Nazi
victims from all other sources (including the German government, the
Israeli government, other restitution sources such as the Israeli
Company for Restitution of Holocaust Victims Assets and the Romanian
Foundation, and philanthropic sources).