“This mandate will expand the very successful and solid partnership we have had over many years with State Street Global Advisors,“ said the BVK head of department André Heimrich. “State Street Global Advisors has proven itself as an important partner in both passive and enhanced strategies. “ As the largest pension group under public law in Germany, the Bayerische Versorgungskammer is the service and competency center for 12 professional and municipal retirement pension groups.

“We are very pleased with this mandate that we have received from the Bayerische Versorgungskammer,” said Klaus Esswein, managing director of State Street Global Advisors in Germany. “In addition to purely passive investment strategies, where we have a reputation as specialists for risk-controlled investments, our enhanced equity strategies have been attracting increased interest among institutional investors. A growing number of investors are recognising the advantages of risk-controlled additional returns.”

Unlike traditional active management, enhanced strategies do not place bets on a limited number of selected stocks. Instead, enhanced portfolios hold a very large number of slightly over- or underweighted securities based on quantitative criteria. This method provides a greater likelihood of achieving a moderate, but steady return above the benchmark, without significantly increasing the risk profile of the portfolio beyond the risk characteristics of a purely passive investment. Investors therefore benefit from a combination of yield and safety, which stands out from passive investments through its additional return, yet carries lower risk and cost compared to active investments.

State Street Global Advisors , the investment management group of State Street Corporation, delivers investment strategies and integrated solutions to clients worldwide across every asset class, investment approach and style. With $1.5 trillion in investment programs and portfolios (as of March 31, 2006), State Street Global Advisors has investment centers in Boston, Hong Kong, London, Milan, Montreal, Munich, Paris, Singapore, Sydney, Tokyo, and Zurich, and offices in 25 cities worldwide. For more information, visit State Street Global Advisors at www.ssga.com or www.ssga.de.

State Street Corporation (NYSE: STT) is the world's leading specialist in providing institutional investors with investment servicing, investment management and investment research and trading services. With $10.7 trillion in assets under custody and $1.5 trillion in assets under management (as of March 31, 2006), State Street operates in 26 countries and more than 100 geographic markets worldwide. For more information, visit State Street’s web site at www.statestreet.com or www.statestreet.de.

Press Contacts:
Katrin Gülden, Citigate Dewe Rogerson, Frankfurt am Main
Telefon: +49 (0) 69 90 500 110, Fax: +49 (0) 69 90 500 102, E-Mail: katrin.guelden@citigatedr.de