Changes in the British Virgin Islands Legislation Concerning Bearer Shares We have previously reported to you the pending amendments to the IBC Act in the BVI which effectively requires companies which have issued bearer shares to pay a higher annual fee ($1,000) and requires bearer shares to be held by a "qualified custodian" in the BVI. The BVI Government has received the recommendations of a special advisory panel to the Financial Services Commission with respect to the amendments and we are happy to report that it is recommended that implementation of the Act be delayed for companies incorporated before the legislation was enacted. The recommendation for a seven-year transition period before the new bearer shares legislation takes full effect is particularly good news for owners of pre-existing IBC Companies. This would mean that for the first four years, the situation would essentially stay as it is for existing IBC's. After that, for the next three years, those IBCs that retain the power to issue bearer shares would pay a small increase in their license fee. Companies incorporated after the legislation is enacted will be subject to the full provisions of the new legislation. Please bear in mind that this reprieve has not yet been enacted into law although it does appear likely. We will, of course, alert you as soon as the legislation has been passed.

More information can be found by visiting our website at www.usregisteredagents.com, or by emailing us at clientsupport@usregisteredagents.com. Previous issues of the USRA Newsletter can be found at: http://www.usregisteredagents.com/news/newshome.php About USRA: US Registered Agents, Inc. assists legal professionals with company formation, both internationally and offshore, and with registered agent and corporate document retrieval services throughout the world. US Registered Agents is an affiliate of National Registered Agents, Inc., a fully licensed professional Registered Agent for thousands of business entities, large and small, throughout the entire United States. US Registered Agents, Inc. is located in the historic district of Tappan, New York, approximately thirty minutes from midtown Manhattan. US Registered Agents, Inc. 101 Main Street, Suite One Tappan, New York 10983 Toll Free: 888-664-6263 Phone: 845-398-0900 Fax: 845-398-0808 www.usregisteredagents.com