SPADE Defense Index Outperforms S&P 500 for Sixth Consecutive Year

WASHINGTON, Jan. 3 /PRNewswire-FirstCall/ --

Year-End Summary * SPADE Defense Index Outperforms S&P 500 for Sixth Consecutive Year * Exceeded Returns of S&P 500 in 18 of last 22 quarters * Reached all-time high of 1804.88 on December 27, 2005 * Since 2000, the Index has gained 79.2% vs. [-15.0%] for the S&P 500 * ETF Tracking the Index Launched by Powershares * Options for ETF and Index Launched by the American Stock Exchange

The SPADE Defense Index ended the year at 1764.97, up 5.30% from the last day of trading in 2004, outperforming the S&P 500 for the sixth consecutive year.

2005 SPADE 5.30% / S&P500 - 3.00% 2004 SPADE 20.47% / S&P500 - 8.99% 2003 SPADE 37.27% / S&P500 - 26.38% 2002 SPADE <2.87%> / S&P500 - <23.37%> 2001 SPADE 0.94% / S&P500 - <13.04%> 2000 SPADE 4.98% / S&P500 - <10.14%>

Overall, the SPADE Defense Index had outperformed the S&P 500 for seven consecutive quarters (18 of the last 22) before ending the streak in the fourth quarter.

During 2005, the SPADE reached a new all-time intraday high of 1804.88 on December 27, 2005, an increase of 7.68% from 2004 year-end levels. New intraday highs were reached 25 times during the year.

Since 2000, the Index has gained 79.2% compared with a 15.0% loss by the S&P 500. (A hypothetical investment of $10,000 on Jan. 1, 2000 tracking the SPADE Defense Index would have returned $17,921 whereas a similar investment in the S&P 500 would have been worth only $8496.)

Exchange Traded Fund Launched

The Index achieved several milestones during the year including its licensing to Powershares who launched the first ETF focused on defense, homeland security, and space. The Powershares Aerospace & Defense Portfolio ETF was launched on October 26th, gaining 3.8% since inception and ending the year with more than $41 million in assets. Index and ETF options were also launched on the American Stock Exchange.

Leading Gainers

Index constituents that gained more than 20% during 2005 (in order of market capitalization) were Boeing 35.7%, ITT Industries 21.8%, Precision Castparts 57.8%, Harris Corp 39.2%, Goodrich 25.9%, Oshkosh Truck 30.4%, PanAmSat 41.2%, Anteon 29.8%, DRS Technologies 20.4%.

About the Index

The SPADE Defense Index is a modified capitalization-weighted index comprised of 59 firms involved with defense, homeland security, and space. Information regarding the Index methodology, rules, performance, and constituents can be found at http://www.spadeindex.com/

Disclaimers

The SPADE Defense Index is a registered trademark of the ISBC. The ISBC makes no representation regarding the advisability of investing in any product based on the SPADE Defense Index.

CONTACT: Scott Sacknoff, [phone] or [e-mail], for the SPADE Defense Index.