2009 Management Conference

GRAND HYATT SEATTLE
MAY 13 – 14

Thank you for attending the Seattle Bank’s 2009 Management Conference and Annual Shareholder Meeting. We hope you found this event to be valuable and enjoyable.

For your convenience, we are pleased to provide the Management Conference presentations in .pdf below. The presentations are available only to Management Conference registrants, and we ask that, as a courtesy to our presenters, you do not forward the files to others outside your organization.

Conference Presentations:
“Predictably Irrational: Why Smart People Make Bad Decisions” Presentation
Dan Ariely, Professor of Behavioral Economics, Duke University

“Effective Balance Sheet Strategies for Challenging Times” Presentation | Additional Information
Matthew Pieniazek, President, Darling Consulting Group

“Making the Capital Markets and Today’s Interest Rate Environment Work For You, Not Against You” Presentation
Joel Comer, Principal, Sandler O’Neill Partners

“Macro and Micro Perspectives on Community Investment Opportunities” Presentation
Ren Essene, Business Development and Strategic Consultant, homeWORD Inc.
Jennifer Ernst, Community Investment Officer, Federal Home Loan Bank of Seattle

“Where Do We Go From Here? Inflation, Deleveraging, and Recovery” Presentation
Brian Wesbury, Chief Economist, First Trust Advisors L.P.

“Residential and Commercial Real Estate Markets: Gentle Glide Path or Slippery Slope?” Presentation
Lynn Michaelis, Vice President of Markets and Economic Research and Chief Economist, Weyerhaeuser Company

Tuesday, May 12
6:00 – 9:30 p.m.	Pre-Conference Welcome Dinners	5 Premier Restaurants in Downtown Seattle
Wednesday, May 13
7:30 – 8:15 a.m.	Registration / Continental Breakfast Buffet	Princessa Ballroom
8:15 – 8:45 a.m.	Welcome Richard M. Riccobono, President and CEO, Federal Home Loan Bank of Seattle	Eliza Anderson Amphitheater
8:45 – 10:00 a.m.	Predictably Irrational: Why Smart People Make Bad Decisions Dan Ariely, Professor of Behavioral Economics, Duke University, Vising Professor, MIT Media Laboratory, Founding Member, Center for Advanced Hindsight Why do our headaches persist after taking a one-cent aspirin, but disappear when we take a 50-cent aspirin? Why do we splurge on a lavish meal, but cut coupons to save 25 cents on a can of soup? How do we justify spending $4.15 on a cup of coffee when, just a few years ago, we paid less than a dollar? Dan Ariely’s research focuses on modeling and measuring the human decision-making process. What has he found? Not only do we make astonishingly simple mistakes on a daily basis, but we repeatedly make the same types of mistakes. Our misguided behaviors are neither random nor senseless. They’re systematic and predictable, making us “predictably irrational.” Ariely’s research findings provide new insights into human behavior that can help us make better decisions as individuals, as corporations, and as a society. Mr. Ariely will be available for book signing following his presentation.	Eliza Anderson Amphitheater
10:00 – 10:15 a.m.	Morning Break and Book Signing with Dan Ariely	Amphitheater Lobby
10:15 – 11:15 a.m.	Repercussions from the Financial Shock: Effects on Future Policy and the Economy Gary H. Stern, President, Federal Reserve Bank of Minneapolis Our economy has experienced a severe and extensive financial shock, and the disruptions it has caused have elicited extraordinary responses from the capital markets, as well as Treasury, the Federal Reserve, and other policymakers. The issues of systemic risk and institutions regarded as “too big to fail”—once relegated to philosophical debate—are now a part of our economic reality. As President of the Federal Reserve Bank of Minneapolis, Gary Stern offers unique perspective and in-depth knowledge of these issues, their consequences, and their effects on future regulatory and economic policy.	Eliza Anderson Amphitheater
11:15 a.m. – 12:15 p.m.	Effective Balance Sheet Strategies for Challenging Times Matthew Pieniazek, President, Darling Consulting Group When it comes to managing balance sheet pressures in today’s environment, there are no easy options. Liquidity sources vary in terms of reliability. Capital levels are stressed in the wake of loan losses, and capital sources are few and far between. Suddenly, we seem to be living in steep-yield-curve environment and with a market that favors capital preservation over earnings. Matt Pieniazek brings his expertise to meet the challenge, with information and tips on selecting the best funding, investment strategies, and other balance sheet options at a time when there seem to be few good options.	Eliza Anderson Amphitheater
12:15 – 1:30 p.m.	Community Spirit Award Luncheon	Princessa Ballroom
1:45 – 2:45 p.m.	Making the Capital Markets and Today’s Interest Rate Environment Work For You, Not Against You Raymond Chandonnet, Principal, Sandler O’Neill Partners The capital markets have never impacted your balance sheet to the extent that they do today. From a virtual shut-down of the term repo markets, to increased regulatory scrutiny of brokered deposits, accounting for OTTI, and increasing government competition for traditional investments and sources of funding, your balance sheet is being hit from all sides. With an uncertain economy and the widespread view calling for the Federal Reserve to sit on the sidelines for the next 12 months, what do you do? Join Ray Chandonnet as he offers his insights into how you can use today’s volatile capital markets to work for you, rather than against you.	Eliza Anderson Amphitheater
2:45 – 3:45 p.m.	Macro and Micro Perspectives: The Impact of the 2009 Economic Stimulus Plan on Community Investment Opportunities for Financial Institutions Ren Essene, Business Development and Strategic Consultant, homeWORD Inc. Carol Gore, President and CEO, Cook Inlet Housing Authority The 2009 Economic Stimulus Plan tackles the economic crisis on multiple fronts, including a $41.5 billion investment in housing and urban development. What does this mean for your institution? Are there any quick and easy solutions you can implement today? Seattle Bank Affordable Housing Advisory Council members Ren Essene and Carol Gore will provide a macro overview of the stimulus bill, the current affordable housing environment, and the effort to modernize the Community Reinvestment Act. Following their presentation, you will hear from Seattle Bank members who have put our own community investment programs to work in simple and creative ways. They will discuss how to use unique community investment financing tools to decrease their cost of funds, how to partner with nonprofit organizations, and how to rapidly ramp-up community investment activities. Join them to learn how to stimulate your local economy and your profitability—through the use of our community investment products!	Eliza Anderson Amphitheater
3:45 – 4:00 p.m	Day One Wrap-Up	Eliza Anderson Amphitheater
5:30 – 9:30 p.m.	Evening Event Join your management conference colleagues for a Northwest-inspired dinner at FareStart Restaurant. FareStart is a nonprofit organization that provides job training and placement for homeless and disadvantaged individuals. They offer a great venue and support a great cause.	FareStart Restaurant
Thursday, May 14
7:30 – 8:45 a.m.	Annual Shareholder Meeting and Breakfast Mike C. Daly, Chairman of the Board of Directors Richard M. Riccobono, President and CEO We invite all Seattle Bank members and shareholders to attend our 2009 Annual Shareholder Meeting for discussion and Q&A regarding our recent financial results and business initiatives. Please RSVP when submitting your online conference registration.	Princessa Ballroom
9:00 – 10:00 a.m.	Where Do We Go From Here? Prospects for and Consequences of a Recovery Brian Wesbury, Chief Economist, First Trust Advisors L.P. With recent monthly reductions in non-farm payroll in the range of 500,000 to 700,000 workers and sustained negative growth in the housing, auto, and durable goods markets, when can we expect some semblance of a recovery? Join us for a no-holds-barred discussion of the effect that deleveraging, massive monetary and fiscal accommodation, and resulting record forecast deficits will have upon the length, breadth, and depth of the current recession.	Eliza Anderson Amphitheater
10:00 – 11:00 a.m.	Residential and Commercial Real Estate Markets: Gentle Glide Path or Slippery Slope? Lynn Michaelis, Vice President of Markets and Economic Research and Chief Economist, Weyerhaeuser Company There’s no doubt that future real estate prices are crucial to the overall economic outlook. When will the steady decline in housing starts and prices finally come to an end? What about the regional and national commercial real estate markets, where capitalization rates are increasing and tenants are negotiating rates down? Lynn Michaelis offers help in finding answers to these and other pressing questions regarding the national and regional, commercial and residential real estate markets.	Eliza Anderson Amphitheater
11:00 – 12:00 noon	Reflections on the Decision-Making Process Frank Deford, Noted Author and NPR Commentator Noted author, senior contributing writer at Sports Illustrated, and NPR commentator, Frank Deford will close this year’s management conference with his reflections on the decision-making process. Deford will share some of the more thoughtful and perhaps less-well-conceived decisions and their ramifications from the world of sports and other aspects of his experience. Join this entertaining and thoughtful commentator as he relates the current economic challenges we face—and associated hard choices—to lessons learned on and off the playing field. Mr. Deford will be available for book signing following his presentation.	Eliza Anderson Amphitheater
12:00 - 12:15 p.m.	Conference Adjournment	Eliza Anderson Amphitheater
12:15 – 12:30 p.m	Book Signing with Frank Deford	Amphitheater Lobby