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<SEC-DOCUMENT>0001206774-08-000861.txt : 20080425
<SEC-HEADER>0001206774-08-000861.hdr.sgml : 20080425
<ACCEPTANCE-DATETIME>20080425134121
ACCESSION NUMBER:		0001206774-08-000861
CONFORMED SUBMISSION TYPE:	DEF 14A
PUBLIC DOCUMENT COUNT:		1
CONFORMED PERIOD OF REPORT:	20080603
FILED AS OF DATE:		20080425
DATE AS OF CHANGE:		20080425
EFFECTIVENESS DATE:		20080425

FILER:

	COMPANY DATA:	
		COMPANY CONFORMED NAME:			SIEBERT FINANCIAL CORP
		CENTRAL INDEX KEY:			0000065596
		STANDARD INDUSTRIAL CLASSIFICATION:	SECURITY BROKERS, DEALERS & FLOTATION COMPANIES [6211]
		IRS NUMBER:				111796714
		STATE OF INCORPORATION:			NY
		FISCAL YEAR END:			1231

	FILING VALUES:
		FORM TYPE:		DEF 14A
		SEC ACT:		1934 Act
		SEC FILE NUMBER:	000-05703
		FILM NUMBER:		08776969

	BUSINESS ADDRESS:	
		STREET 1:		885 THIRD AVENUE
		STREET 2:		SUITE 1720
		CITY:			NEW YORK
		STATE:			NY
		ZIP:			10022
		BUSINESS PHONE:		2126442400

	MAIL ADDRESS:	
		STREET 1:		885 THIRD AVENUE
		STREET 2:		SUITE 1720
		CITY:			NEW YORK
		STATE:			NY
		ZIP:			10022

	FORMER COMPANY:	
		FORMER CONFORMED NAME:	MICHAELS J INC
		DATE OF NAME CHANGE:	19950221
</SEC-HEADER>
<DOCUMENT>
<TYPE>DEF 14A
<SEQUENCE>1
<FILENAME>siebert_nps.htm
<DESCRIPTION>DEFINITIVE PROXY STATEMENT
<TEXT>

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<P align=center><FONT face=serif size=2>SCHEDULE 14A </FONT></P>
<P align=center><FONT face=serif size=2>(Rule 14a-101) </FONT><FONT face=serif></FONT></P>
<P align=center><FONT face=serif size=2>INFORMATION REQUIRED IN PROXY STATEMENT
</FONT><FONT face=serif></FONT></P>
<P align=center><FONT face=serif size=2>SCHEDULE 14A INFORMATION </FONT><FONT face=serif></FONT></P>
<P align=center><FONT face=serif size=2>Proxy Statement Pursuant to Section
14(a) of the<BR>Securities Exchange Act of 1934 (Amendment No. )</FONT></P>
<P align=left><FONT face=serif size=2>Filed by the Registrant
[x]<BR></FONT><FONT face=serif size=2>Filed by a Party other than the Registrant
[_]<BR></FONT><FONT face=serif size=2><BR>Check the appropriate
box:<BR></FONT><FONT face=serif size=2>[_]&nbsp; Preliminary Proxy
Statement&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;
&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; [_] Soliciting Material Under
Rule<BR></FONT><FONT face=serif size=2>[_]&nbsp; Confidential, For Use of
the&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;
14a-12 <BR>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Commission Only (as permitted
<BR>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; by Rule 14a-6(e)(2))
<BR>[x]&nbsp;&nbsp;Definitive Proxy Statement <BR>[_]&nbsp; Definitive
Additional Materials</FONT></P>
<P align=center><FONT face=serif size=2><FONT face=serif size=2>SIEBERT
FINANCIAL
CORP.<BR></FONT>------------------------------------------------------------------------------------------------------------------------------------------------------</FONT>
</P>
<P align=center><FONT face=serif size=2>(Name of Registrant as Specified In Its
Charter)</FONT></P>
<P align=center><FONT face=serif size=2>------------------------------------------------------------------------------------------------------------------------------------------------------</FONT></P>
<P align=center><FONT face=serif size=2>(Name of Person(s) Filing Proxy
Statement, if Other Than the Registrant)</FONT></P>
<P align=justify><FONT face=serif size=2>Payment of Filing Fee (Check the
appropriate box):<BR></FONT><FONT face=serif size=2>[x]&nbsp; No fee
required.<BR></FONT><FONT face=serif size=2>[_] Fee computed on table below per
Exchange Act Rules 14a-6(i)(4) and 0-11.</FONT><FONT face=serif> </FONT></P>
<P align=justify><FONT face=serif size=2>1)&nbsp; Title of each class of
securities to which transaction applies:</FONT><FONT face=serif>
<BR>____________________________________________________________________________________<BR></FONT><FONT face=serif size=2>2)&nbsp; Aggregate number of securities to which transaction
applies:</FONT><FONT face=serif> <BR></FONT><FONT face=serif size=2>3)&nbsp; Per
unit price or other underlying value of transaction computed
pursuant</FONT><FONT face=serif> </FONT><FONT face=serif size=2>to Exchange Act
Rule 0-11 (set forth the <BR>&nbsp;&nbsp;&nbsp;&nbsp; amount on which the filing
fee&nbsp;is</FONT><FONT face=serif> </FONT><FONT face=serif size=2>calculated
and state how it was determined):</FONT><FONT face=serif> <BR></FONT><FONT face=serif size=2>4)&nbsp; Proposed maximum aggregate value of
transaction:</FONT><FONT face=serif>
<BR>____________________________________________________________________________________<BR></FONT><FONT face=serif size=2>5)&nbsp; Total fee paid:<BR></FONT><FONT face=serif size=2>[_]
Fee paid previously with preliminary materials:</FONT><FONT face=serif>
<BR></FONT><FONT face=serif size=2>[_] Check box if any part of the fee is
offset as provided by Exchange Act Rule</FONT><FONT face=serif> </FONT><FONT face=serif size=2>0-11(a)(2) and identify the filing for
which<BR>&nbsp;&nbsp;&nbsp;&nbsp; &nbsp;the offsetting fee was paid </FONT><FONT face=serif size=2>previously. Identify the previous filing by registration
statement number,</FONT><FONT face=serif> </FONT><FONT face=serif size=2>or the
form or<BR>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; schedule and the date of its
filing.</FONT><FONT face=serif>
<BR>____________________________________________________________________________________<BR></FONT><FONT face=serif size=2>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;1) Amount previously
paid:<BR><FONT size=3>____________________________________________________________________________________</FONT><BR></FONT><FONT face=serif size=2>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;2) Form, Schedule or
Registration Statement No.:</FONT><FONT face=serif>
<BR>____________________________________________________________________________________<BR></FONT><FONT face=serif size=2>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;3) Filing Party:<BR><FONT size=3>____________________________________________________________________________________</FONT><BR></FONT><FONT face=serif size=2>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;4) Date Filed:</FONT></P>
<HR align=center width="100%" noShade SIZE=2>
<PAGE>
<P align=center><B><FONT face=serif>SIEBERT FINANCIAL CORP.<BR>885 Third Avenue,
Suite 1720<BR>New York, New York 10022<BR>(212) 644-2400</FONT></B></P>
<P align=center><B><FONT face=serif>NOTICE OF ANNUAL MEETING OF
SHAREHOLDERS<BR>TO BE HELD ON JUNE 3, 2008</FONT></B></P><BR>
<P align=justify><B><FONT face=serif>Dear Shareholders:</FONT></B></P>
<P align=justify>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<FONT face=serif>Notice is hereby
given of the Annual Meeting of Shareholders of Siebert Financial Corp., a New
York corporation, at The Harmonie Club, 4 East 60th Street, New York, New York,
on Tuesday, June 3, 2008 at 10:00 a.m., local time. The meeting&#146;s purpose is
to:</FONT></P>
<P align=justify><FONT face=serif>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;1. Elect six
directors; and</FONT></P>
<P align=justify>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<FONT face=serif>2. Consider any
other matters that are properly presented at the Annual Meeting and any
adjournment thereof.</FONT></P>
<P align=justify>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<FONT face=serif>You may vote at
the Annual Meeting if you were one of our shareholders of record at the close of
business on Monday, April 21, 2008.</FONT></P>
<P align=justify>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<FONT face=serif>Along with the
attached Proxy Statement, we are also enclosing a copy of our Annual Report to
Shareholders, which includes our financial statements.</FONT></P>
<P align=justify>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<FONT face=serif>To assure your
representation at the meeting, please vote, sign and mail the enclosed proxy as
soon as possible. We have enclosed a return envelope, which requires no postage
if mailed in the United States. Your proxy is being solicited by the Board of
Directors. Shareholders who attend the meeting may revoke their proxy and vote
their shares in person.</FONT></P>
<P align=justify><FONT face=serif>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<STRONG>PLEASE
VOTE&#151;YOUR VOTE IS IMPORTANT</STRONG></FONT></P>
<TABLE cellSpacing=0 cellPadding=0 width="100%" border=0>

  <TR vAlign=bottom>
    <TD noWrap align=left width="50%">&nbsp; </TD>
    <TD noWrap align=left width="50%"><FONT face=serif>Daniel
      Iesu</FONT>&nbsp; </TD></TR>
  <TR vAlign=bottom>
    <TD noWrap align=left width="50%">&nbsp; </TD>
    <TD noWrap align=left width="50%"><I><FONT face=serif>Secretary</FONT></I>&nbsp; </TD></TR>
  <TR vAlign=bottom>
    <TD noWrap align=left width="50%"><FONT face=serif>New York, New
      York</FONT>&nbsp; </TD>
    <TD noWrap align=left width="50%">&nbsp; </TD></TR>
  <TR vAlign=bottom>
    <TD noWrap align=left width="50%"><FONT face=serif>April 25,
      2008</FONT>&nbsp; </TD>
    <TD noWrap align=left width="50%">&nbsp; </TD></TR></TABLE><BR>
<HR align=center width="100%" noShade SIZE=2>
<PAGE>
<P align=center><B><FONT face=serif>SIEBERT FINANCIAL CORP.<BR>885 Third Avenue,
Suite 1720<BR>New York, New York 10022<BR>(212) 644-2400</FONT></B></P>
<P align=center><B><FONT face=serif>PROXY STATEMENT FOR THE 2008 ANNUAL MEETING
OF<BR>SHAREHOLDERS TO BE HELD ON JUNE 3, 2008</FONT></B></P>
<P align=center><B><FONT face=serif>INFORMATION ABOUT THE ANNUAL MEETING AND
VOTING</FONT></B></P>
<TABLE cellSpacing=0 cellPadding=0 width="100%" border=0>

  <TR vAlign=bottom>
    <TD vAlign=top noWrap align=left width="25%"><B><FONT face=serif>Annual
      Meeting:</FONT></B>&nbsp; </TD>
    <TD vAlign=top noWrap align=left width="30%"><FONT face=serif>June 3,
      2008</FONT>&nbsp; </TD>
    <TD vAlign=top noWrap align=left width="45%"><FONT face=serif>The Harmonie
      Club</FONT>&nbsp; </TD></TR>
  <TR vAlign=bottom>
    <TD vAlign=top noWrap align=left width="25%">&nbsp; </TD>
    <TD vAlign=top noWrap align=left width="30%"><FONT face=serif>10:00 a.m.,
      local time</FONT>&nbsp; </TD>
    <TD vAlign=top noWrap align=left width="45%"><FONT face=serif>4 East 60th
      Street</FONT>&nbsp; </TD></TR>
  <TR vAlign=bottom>
    <TD vAlign=top noWrap align=left width="25%">&nbsp; </TD>
    <TD vAlign=top noWrap align=left width="30%">&nbsp; </TD>
    <TD vAlign=top noWrap align=left width="45%"><FONT face=serif>New York,
      New York</FONT>&nbsp; </TD></TR></TABLE><BR>
<TABLE cellSpacing=0 cellPadding=0 width="100%" border=0>

  <TR>
    <TD vAlign=top width="25%">
      <P align=justify><B><FONT face=serif>Record Date: </FONT></B></P>&nbsp;</TD>
    <TD vAlign=top width="75%">
      <P align=justify><FONT face=serif>Close of business on Monday, April 21,
      2008. If you were a shareholder at that time, you may vote at the meeting.
      Each share is entitled to one vote. On the record date, we had 23,214,132
      shares of our common stock outstanding and entitled to vote. Of those
      shares, 19,878,700 shares were beneficially owned or controlled by Muriel
      Siebert, our Chairwoman, President and Chief Executive Officer, and one of
      our directors.</FONT></P></TD></TR>
  <TR>
    <TD vAlign=top width="25%"></TD>
    <TD vAlign=top width="75%">&nbsp;</TD></TR>
  <TR>
    <TD vAlign=top width="25%">
      <P align=justify><B><FONT face=serif>Quorum: </FONT></B></P></TD>
    <TD vAlign=top width="75%">
      <P align=justify><FONT face=serif>The holders of a majority of the
      outstanding shares of our common stock, present in person or by proxy and
      entitled to vote, will constitute a quorum at the meeting. Abstentions and
      broker non-votes will be counted for purposes of determining the presence
      or absence of a quorum.</FONT></P></TD></TR></TABLE><BR>
<TABLE cellSpacing=0 cellPadding=0 width="100%" border=0>

  <TR vAlign=bottom>
    <TD vAlign=top noWrap align=left width="25%"><B><FONT face=serif>Agenda:</FONT></B>&nbsp; </TD>
    <TD vAlign=top align=left width="1%"><FONT face=serif>1.</FONT></TD>
    <TD vAlign=top align=left width="2%">&nbsp;&nbsp;&nbsp;&nbsp; </TD>
    <TD vAlign=top align=left width="72%">
      <P align=justify><FONT face=serif>Elect six directors.</FONT> </P></TD></TR>
  <TR>
    <TD vAlign=top noWrap align=left width="25%"></TD>
    <TD vAlign=top align=left width="1%"></TD>
    <TD vAlign=top align=left width="2%"></TD>
    <TD vAlign=top align=left width="72%">&nbsp;</TD></TR>
  <TR vAlign=bottom>
    <TD vAlign=top noWrap align=left width="25%">&nbsp; </TD>
    <TD vAlign=top align=left width="1%"><FONT face=serif>2.</FONT> </TD>
    <TD vAlign=top align=left width="2%"></TD>
    <TD vAlign=top align=left width="72%">
      <P align=justify><FONT face=serif>Any other proper business. However, we
      currently are not aware of any other matters that will come before the
      meeting.</FONT>&nbsp; </P></TD></TR></TABLE><BR>
<TABLE cellSpacing=0 cellPadding=0 width="100%" border=0>

  <TR>
    <TD vAlign=top width="25%">
      <P align=justify><B><FONT face=serif>Vote Required: </FONT></B></P></TD>
    <TD vAlign=top width="75%">
      <P align=justify><FONT face=serif>The six nominees for director who
      receive the most votes will be elected. If you withhold authority to vote
      for any nominee on your proxy card, your vote will not count either for or
      against the nominee.</FONT></P></TD></TR>
  <TR>
    <TD vAlign=top width="25%"></TD>
    <TD vAlign=top width="75%">&nbsp;</TD></TR>
  <TR>
    <TD vAlign=top width="25%">
      <P align=justify><B><FONT face=serif>Broker Non-votes: </FONT></B></P></TD>
    <TD vAlign=top width="75%">
      <P align=justify><FONT face=serif>If you hold your common stock through a
      nominee, generally the nominee may vote the common stock that it holds for
      you only in accordance with your instructions. Brokers who are members of
      the Financial Industry Regulatory Authority may not vote shares held by
      them in nominee name unless they are permitted to do so under the rules of
      any national securities exchange to which they belong. Under New York
      Stock Exchange rules, a member broker that has transmitted proxy
      soliciting materials to a beneficial owner may vote on matters that the
      New York Stock Exchange has determined to be routine if the beneficial
      owner has not provided the broker with voting instructions within ten days
      of the meeting. If a nominee cannot vote on a particular matter because it
      is not routine, there is a &#147;broker non-vote&#148; on that matter. Broker
      non-votes count for quorum purposes, but we do not count broker non-votes
      as votes for or against any proposal.</FONT></P></TD></TR></TABLE><BR>
<HR align=center width="100%" noShade SIZE=2>
<PAGE><BR>
<TABLE cellSpacing=0 cellPadding=0 width="100%" border=0>

  <TR>
    <TD vAlign=top width="25%">
      <P align=justify><B><FONT face=serif>Proxies: </FONT></B></P></TD>
    <TD vAlign=top width="75%">
      <P align=justify><FONT face=serif>Please vote; your vote is important.
      Prompt return of your proxy will help avoid the costs of re-solicitation.
      Unless you tell us on the proxy card to vote differently, we will vote
      signed returned proxies &#147;FOR&#148; each of the Board of Directors&#146; nominees for
      director.</FONT></P>
      <P align=justify><FONT face=serif>If any nominee cannot or will not serve
      as a director, your proxy will vote in accordance with his or her best
      judgment. At the time we began printing this proxy statement, we did not
      know of any matters that needed to be acted upon at the meeting other than
      those discussed in this proxy statement. However, if any additional
      matters are presented to the shareholders for action at the meeting, your
      proxy will vote in accordance with his or her best
  judgment.</FONT></P></TD></TR>
  <TR>
    <TD vAlign=top width="25%"></TD>
    <TD vAlign=top width="75%">&nbsp;</TD></TR>
  <TR>
    <TD vAlign=top width="25%">
      <P align=justify><B><FONT face=serif>Proxies Solicited<BR>By:
      </FONT></B></P></TD>
    <TD vAlign=top width="75%">
      <P align=justify><FONT face=serif>The Board of Directors.</FONT></P></TD></TR>
  <TR>
    <TD vAlign=top width="25%"></TD>
    <TD vAlign=top width="75%">&nbsp;</TD></TR>
  <TR>
    <TD vAlign=top width="25%">
      <P align=justify><B><FONT face=serif>Revoking Your<BR>Proxy:
      </FONT></B></P></TD>
    <TD vAlign=top align=left width="75%">
      <P align=justify>You may revoke your proxy before it is voted at the
      meeting. Proxies may be revoked if you:</P></TD></TR></TABLE><BR>
<TABLE cellSpacing=0 cellPadding=0 width="100%" border=0>

  <TR vAlign=bottom>
    <TD vAlign=top noWrap align=left width="25%">&nbsp;</TD>
    <TD vAlign=top align=left width="1%"><FONT face=serif>1.</FONT></TD>
    <TD vAlign=top align=left width="2%">&nbsp;&nbsp;&nbsp;&nbsp; </TD>
    <TD vAlign=top align=left width="72%">
      <P align=justify><FONT face=serif>deliver a signed, written revocation
      letter, dated later than the proxy to be revoked, to Daniel Iesu,
      Secretary, Siebert Financial Corp., 885 Third Avenue, Suite 1720, New
      York, New York 10022; </FONT></P></TD></TR>
  <TR>
    <TD vAlign=top noWrap align=left width="25%"></TD>
    <TD vAlign=top align=left width="1%"></TD>
    <TD vAlign=top align=left width="2%"></TD>
    <TD vAlign=top align=left width="72%">&nbsp;</TD></TR>
  <TR vAlign=bottom>
    <TD vAlign=top noWrap align=left width="25%">&nbsp; </TD>
    <TD vAlign=top align=left width="1%"><FONT face=serif>2.</FONT> </TD>
    <TD vAlign=top align=left width="2%"></TD>
    <TD vAlign=top align=left width="72%">
      <P align=justify><FONT face=serif>deliver a signed proxy, dated later than
      the first proxy, to Mr. Iesu at the address above; or </FONT></P></TD></TR>
  <TR>
    <TD vAlign=top noWrap align=left width="25%"></TD>
    <TD vAlign=top align=left width="1%"></TD>
    <TD vAlign=top align=left width="2%"></TD>
    <TD vAlign=top align=left width="72%">&nbsp;</TD></TR>
  <TR>
    <TD vAlign=top noWrap align=left width="25%"></TD>
    <TD vAlign=top align=left width="1%">3. </TD>
    <TD vAlign=top align=left width="2%"></TD>
    <TD vAlign=top align=left width="72%">
      <P align=justify>attend the Annual Meeting and vote in person or by proxy.
      Attending the meeting without doing more will not revoke your proxy.
    </P></TD></TR></TABLE><BR>
<TABLE cellSpacing=0 cellPadding=0 width="100%" border=0>

  <TR>
    <TD vAlign=top width="25%">
      <P align=justify><B><FONT face=serif>Cost of Solicitation:
    </FONT></B></P></TD>
    <TD vAlign=top width="75%">
      <P align=justify><FONT face=serif>We will pay all costs of soliciting
      these proxies, estimated at $3,500 in the aggregate. Although we are
      mailing these proxy materials, our directors, officers and employees may
      also solicit proxies by telephone, facsimile, mail or personal contact.
      These persons will receive no compensation for their services, but we may
      reimburse them for reasonable out-of-pocket expenses. We will also furnish
      copies of solicitation materials to fiduciaries, custodians, nominees and
      brokerage houses for forwarding to beneficial owners of our shares of
      common stock held in their names, and we will reimburse them for
      reasonable out-of-pocket expenses. Broadridge Financial Solutions, Inc. is
      assisting us in the solicitation of proxies for the meeting for no
      fee.</FONT></P></TD></TR>
  <TR>
    <TD vAlign=top width="25%"></TD>
    <TD vAlign=top width="75%">&nbsp;</TD></TR>
  <TR>
    <TD vAlign=top width="25%">
      <P align=justify><B><FONT face=serif>Your Comments: </FONT></B></P></TD>
    <TD vAlign=top width="75%">
      <P align=justify><FONT face=serif>Your comments about any aspects of our
      business are welcome. Although we may not respond on an individual basis,
      your comments help us to measure your satisfaction, and we may benefit
      from your suggestions.</FONT></P></TD></TR></TABLE><BR>
<P align=center><FONT face=serif size=2>2</FONT></P>
<HR align=center width="100%" noShade SIZE=2>
<PAGE>
<P align=center><B><FONT face=serif>PROPOSAL 1</FONT></B></P>
<P align=center><B><FONT face=serif>ELECTION OF DIRECTORS</FONT></B></P>
<TABLE cellSpacing=0 cellPadding=0 width="100%" border=0>

  <TR>
    <TD vAlign=top noWrap width="10%"><STRONG>Generally:</STRONG></TD>
    <TD vAlign=top noWrap width="2%">&nbsp;&nbsp;&nbsp; </TD>
    <TD vAlign=top width="88%">
      <P align=justify><FONT face=serif>Our Board of Directors nominated six
      directors for election at the annual meeting. All the nominees for
      election as director are currently serving as our directors. All the
      nominees have consented to be named and have indicated their intent to
      serve if elected. If elected, each director will hold office until the
      next annual meeting or until the director&#146;s successor has been duly
      elected. All our directors, other than Ms. Siebert, are &#147;independent&#148;
      within the meaning of Rule 4200(a)(15) of The </FONT><FONT face=serif>Nasdaq Stock Market.</FONT></P></TD></TR></TABLE><BR>
<TABLE cellSpacing=0 cellPadding=0 width="100%" border=0>

  <TR>
    <TD vAlign=top noWrap width="10%">
      <P align=justify><B><FONT face=serif>Nominees:</FONT></B></P></TD>
    <TD vAlign=top noWrap width="2%">&nbsp;&nbsp;&nbsp; </TD>
    <TD vAlign=top noWrap width="30%"><FONT face=serif><STRONG>MURIEL F.
      SIEBERT<BR></STRONG>Age 75</FONT></TD>
    <TD vAlign=top noWrap width="2%">&nbsp;&nbsp;&nbsp; </TD>
    <TD vAlign=top width="56%">
      <P align=justify><FONT face=serif>Muriel Siebert has been Chairwoman,
      Chief Executive Officer, President and a director of Muriel Siebert &amp;
      Co., Inc. since 1967 and of Siebert Financial Corp. since November
      </FONT><FONT face=serif>8, 1996. On December 28, 1967, Ms. Siebert became
      the first woman member of the New York Stock Exchange. Ms. Siebert served
      as Superintendent of Banks of the State of New York from 1977 to 1982. She
      is a director of the New York State Business Council, and the Greater New
      York Council of the Boy Scouts of America. Ms. Siebert until recently was
      on the executive committee of the Economic Club of New York and formerly
      served on the New York State Commission on Judicial Nomination, which is
      involved in the selection of Associate Judges for the Court of Appeals.
      </FONT></P></TD></TR>
  <TR>
    <TD vAlign=top noWrap width="10%"></TD>
    <TD vAlign=top noWrap width="2%"></TD>
    <TD vAlign=top noWrap width="30%">
      <P align=justify><FONT face=serif></FONT>&nbsp;</P></TD>
    <TD vAlign=top noWrap width="2%"></TD>
    <TD vAlign=top width="56%"></TD></TR>
  <TR>
    <TD vAlign=top noWrap width="10%"></TD>
    <TD vAlign=top noWrap width="2%"></TD>
    <TD vAlign=top noWrap width="30%">
      <P align=justify><B><FONT face=serif>PATRICIA L.
      FRANCY<BR></FONT></B><FONT face=serif>Age 62</FONT></P></TD>
    <TD vAlign=top noWrap width="2%"></TD>
    <TD vAlign=top width="56%">
      <P align=justify><FONT face=serif>Patricia Francy retired as Special
      Advisor for Alumni Relations at Columbia University on December 31, 2005.
      She had served in such position since January 1, 2004 and was Treasurer
      and Controller of Columbia University from 1989 until 2003. Ms. Francy had
      been affiliated with Columbia University since 1968, and has served as a
      Director of Finance and Director of Budget Operations. Ms. Francy is also
      a director of Old Westbury Funds, Inc. Ms. Francy became a director on
      March 11, 1997. </FONT></P></TD></TR></TABLE>
<P align=center><FONT face=serif size=2>3</FONT></P>
<HR align=center width="100%" noShade SIZE=2>
<PAGE><BR>
<TABLE cellSpacing=0 cellPadding=0 width="100%" border=0>

  <TR>
    <TD vAlign=top noWrap width="10%">
      <P align=justify>&nbsp;</P></TD>
    <TD vAlign=top noWrap width="2%">&nbsp;&nbsp;&nbsp; </TD>
    <TD vAlign=top noWrap width="30%">
      <P align=justify><B><FONT face=serif>LEONARD M. LEIMAN</FONT></B><BR><FONT face=serif>Age 76</FONT></P></TD>
    <TD vAlign=top noWrap width="2%">&nbsp;&nbsp;&nbsp; </TD>
    <TD vAlign=top width="56%">
      <P align=justify><FONT face=serif>Leonard Leiman is of counsel to the law
      firm of Fulbright &amp; Jaworski L.L.P., New York, New York. Fulbright
      &amp; Jaworski L.L.P. provides legal services to us. Prior to becoming of
      counsel in 2002, Mr. Leiman was a partner in Fulbright &amp; Jaworski
      L.L.P. for more than the preceding five years. Mr. Leiman became a
      director on May 2, 2002.</FONT></P></TD></TR>
  <TR>
    <TD vAlign=top noWrap width="10%"></TD>
    <TD vAlign=top noWrap width="2%"></TD>
    <TD vAlign=top noWrap width="30%">
      <P align=justify><FONT face=serif></FONT>&nbsp;</P></TD>
    <TD vAlign=top noWrap width="2%"></TD>
    <TD vAlign=top width="56%"></TD></TR>
  <TR>
    <TD vAlign=top noWrap width="10%"></TD>
    <TD vAlign=top noWrap width="2%"></TD>
    <TD vAlign=top noWrap width="30%">
      <P align=justify><B><FONT face=serif>JANE H. MACON<BR></FONT></B><FONT face=serif>Age 61</FONT></P></TD>
    <TD vAlign=top noWrap width="2%"></TD>
    <TD vAlign=top width="56%">
      <P align=justify><FONT face=serif>Jane Macon is a partner with the law
      firm of Fulbright &amp; Jaworski L.L.P., San Antonio, Texas. Fulbright
      &amp; Jaworski L.L.P. provides legal services to us. Ms. Macon became a
      director on November 8, 1996.</FONT></P></TD></TR>
  <TR>
    <TD vAlign=top noWrap width="10%"></TD>
    <TD vAlign=top noWrap width="2%"></TD>
    <TD vAlign=top noWrap width="30%">&nbsp;</TD>
    <TD vAlign=top noWrap width="2%"></TD>
    <TD vAlign=top width="56%"></TD></TR>
  <TR>
    <TD vAlign=top noWrap width="10%"></TD>
    <TD vAlign=top noWrap width="2%"></TD>
    <TD vAlign=top noWrap width="30%">
      <P align=justify><B><FONT face=serif>ROBERT P.
      MAZZARELLA</FONT></B><BR><FONT face=serif>Age 61</FONT></P></TD>
    <TD vAlign=top noWrap width="2%"></TD>
    <TD vAlign=top width="56%">
      <P align=justify><FONT face=serif>Robert Mazzarella retired from Fidelity
      Investments Brokerage Services LLC in January 2002, at which time he
      served as its president. Mr. Mazzarella presently serves as a director of
      Placemark Investments, a registered investor adviser in Wellesley,
      Massachusetts, M&amp;O, a financial services recordkeeping firm, as a
      director to Pyxis Mobile in Waltham, Massachusetts, as a member of the
      Board of Governors of the Boston Stock Exchange and as the Regulatory
      Board Chairman of the Boston Options Exchange. Mr. Mazzarella also acts as
      a consultant to a number of major financial services firms and venture
      capital firms. Mr. Mazzarella became a director on March 1,
      2004.</FONT></P></TD></TR>
  <TR>
    <TD vAlign=top noWrap width="10%"></TD>
    <TD vAlign=top noWrap width="2%"></TD>
    <TD vAlign=top noWrap width="30%">&nbsp;</TD>
    <TD vAlign=top noWrap width="2%"></TD>
    <TD vAlign=top width="56%"></TD></TR>
  <TR>
    <TD vAlign=top noWrap width="10%"></TD>
    <TD vAlign=top noWrap width="2%"></TD>
    <TD vAlign=top noWrap width="30%">
      <P align=justify><B><FONT face=serif>NANCY S. PETERSON</FONT></B><BR><FONT face=serif>Age 74</FONT></P></TD>
    <TD vAlign=top noWrap width="2%"></TD>
    <TD vAlign=top width="56%">
      <P align=justify><FONT face=serif>Nancy Peterson is the President,
      Chairwoman and Chief Executive Officer of Peterson Tool Company, Inc. Ms.
      Peterson became a director on June 4, 2001.</FONT></P></TD></TR></TABLE>
<P align=center><FONT face=serif size=2>4</FONT></P>
<HR align=center width="100%" noShade SIZE=2>
<PAGE><BR>
<TABLE cellSpacing=0 cellPadding=0 width="100%" border=0>

  <TR>
    <TD vAlign=top noWrap width="10%"><STRONG>Vote Required:</STRONG></TD>
    <TD vAlign=top noWrap width="2%">&nbsp;&nbsp;&nbsp; </TD>
    <TD vAlign=top width="88%">
      <P align=justify><FONT face=serif>The six nominees for director who
      receive the most votes will be elected. The enclosed proxy allows you to
      vote for the election of all the nominees listed, to withhold authority to
      vote for one or more of the nominees or to withhold authority to vote for
      all the nominees. If you withhold authority to vote for any nominee on
      your proxy card, your vote will not count either for or against the
      nominee.</FONT></P>
      <P align=justify><FONT face=serif>The persons named in the enclosed proxy
      intend to vote &#147;FOR&#148; the election of all the nominees. Each of the
      nominees currently serves as a director and has consented to be nominated.
      We do not foresee that any of the nominees will be unable or unwilling to
      serve, but if such a situation should arise, your proxy will vote in
      accordance with his or her best judgment.</FONT></P></TD></TR></TABLE>
<P align=center><B><FONT face=serif>THE BOARD DEEMS THIS PROPOSAL TO BE IN THE
BEST INTEREST OF<BR>SIEBERT FINANCIAL CORP. AND ITS SHAREHOLDERS AND RECOMMENDS
THAT<BR>YOU VOTE &#147;FOR&#148; THE ELECTION OF EACH OF THE NOMINEES FOR
DIRECTOR.</FONT></B></P>
<P align=center><FONT face=serif size=2>5</FONT></P>
<HR align=center width="100%" noShade SIZE=2>
<PAGE>
<P align=center><B><FONT face=serif>CORPORATE GOVERNANCE</FONT></B></P>
<TABLE cellSpacing=0 cellPadding=0 width="100%" border=0>

  <TR>
    <TD vAlign=top width="30%">
      <P align=justify><B><FONT face=serif>Board Meetings:</FONT></B><FONT face=serif>&nbsp;</FONT>&nbsp;</P></TD>
    <TD vAlign=top width="2%">&nbsp;&nbsp;&nbsp; </TD>
    <TD vAlign=top width="68%">
      <P align=justify><FONT face=serif>In 2007, the Board of Directors held
      five meetings. Each incumbent director attended at least 75% of his or her
      Board of Directors meetings and all of his or her committee
      meetings.</FONT></P></TD></TR>
  <TR>
    <TD vAlign=top width="30%"></TD>
    <TD vAlign=top width="2%">&nbsp;</TD>
    <TD vAlign=top width="68%"></TD></TR>
  <TR>
    <TD vAlign=top width="30%">
      <P align=justify><B><FONT face=serif>Controlled Company:</FONT></B></P></TD>
    <TD vAlign=top width="2%">&nbsp;</TD>
    <TD vAlign=top width="68%">
      <P align=justify><FONT face=serif>We are a &#147;Controlled Company&#148; as defined
      in Rule 4350(c)(5) of the Nasdaq Stock Market because Muriel Siebert holds
      more than 50% of our voting power. As a &#147;Controlled Company&#148; we are not
      required to have a majority of our Board of Directors comprised of
      independent directors, a compensation committee comprised solely of
      independent directors or a nominating committee comprised solely of
      independent directors.</FONT></P></TD></TR>
  <TR>
    <TD vAlign=top width="30%"></TD>
    <TD vAlign=top width="2%">&nbsp;</TD>
    <TD vAlign=top width="68%"></TD></TR>
  <TR>
    <TD vAlign=top width="30%">
      <P align=justify><B><FONT face=serif>Audit Committee of
      the<BR></FONT></B><B><FONT face=serif>Board of
Directors:</FONT></B></P></TD>
    <TD vAlign=top width="2%">&nbsp;</TD>
    <TD vAlign=top width="68%">
      <P align=justify><FONT face=serif>The Audit Committee held four meetings
      during 2007. The Audit Committee of our Board of Directors currently
      consists of Ms. Francy, Chairwoman, Mr. Mazzarella, and Ms. Peterson. The
      Board of Directors has determined that Ms. Francy, Mr. Mazzarella, and Ms.
      Peterson are &#147;independent&#148; within the meaning of Rule 4200(a)(15) of The
      Nasdaq Stock Market and within the meaning of the applicable rules and
      regulations of the Securities and Exchange Commission.</FONT></P>
      <P align=justify><FONT face=serif>The Board of Directors has adopted a
      written charter for the Audit Committee, a copy of which is attached as
      Annex A to this proxy statement. A copy of the charter is also available
      on our website at www.siebertnet.com. The Board of Directors has
      determined that Mr. Mazzarella qualifies as an &#147;audit committee financial
      expert&#148; under the applicable rules of the Securities and Exchange
      Commission.</FONT></P>
      <P align=justify><FONT face=serif>The Audit Committee was established to
      (i) assist the Board of Directors in its oversight responsibilities
      regarding the integrity of our financial statements, our compliance with
      legal and regulatory requirements and our auditor&#146;s qualifications and
      independence, (ii) prepare the report of the Audit Committee contained
      herein, (iii) retain, consider the continued retention and terminate our
      independent auditors, (iv) approve audit and non-audit services performed
      by our independent auditors and (v) perform any other functions from time
      to time delegated by the Board of Directors.</FONT></P></TD></TR>
  <TR>
    <TD vAlign=top width="30%"></TD>
    <TD vAlign=top width="2%">&nbsp;</TD>
    <TD vAlign=top width="68%"></TD></TR>
  <TR>
    <TD vAlign=top width="30%">
      <P align=justify><B><FONT face=serif>Compensation<BR></FONT></B><B><FONT face=serif>Committee of the Board<BR>of Directors:</FONT></B></P></TD>
    <TD vAlign=top width="2%">&nbsp;</TD>
    <TD vAlign=top width="68%">
      <P align=justify><FONT face=serif>The Compensation Committee of our Board
      of Directors currently consists of Ms. Macon, Chairwoman, Ms. Francy, Mr.
      Mazzarella and Ms. Peterson. The Compensation Committee reviews and
      determines all forms of compensation provided to our executive officers
      and directors. The Compensation Committee also administers our stock
      option and other employee benefit plans. The Compensation Committee does
      not function pursuant to a formal written charter and as a &#147;Controlled
      Company&#148; is not required to comply with The Nasdaq Stock Market&#146;s
      independence requirements. The Compensation Committee held four meetings
      during 2007.</FONT></P></TD></TR></TABLE>
<P align=center><FONT face=serif size=2>6</FONT></P>
<HR align=center width="100%" noShade SIZE=2>
<PAGE><BR>
<TABLE cellSpacing=0 cellPadding=0 width="100%" border=0>

  <TR>
    <TD vAlign=top width="30%"></TD>
    <TD vAlign=top width="2%">&nbsp;&nbsp;&nbsp; </TD>
    <TD vAlign=top width="68%">
      <P align=justify><FONT face=serif>The Compensation Committee generally
      determines compensation of our executive officers (other than the Chief
      Executive Officer) after carefully reviewing self-evaluations completed by
      the executive officers, each executive officer&#146;s business
      responsibilities, current compensation, the recommendation of our Chief
      Executive Officer and our financial performance. The Compensation
      Committee evaluates the performance of the Chief Executive Officer in
      terms of our operating results and financial performance and determines
      her compensation in connection therewith. For the 2007 fiscal year, our
      Chief Executive Officer requested that her cash compensation be limited to
      $150,000. The Compensation Committee determined that the cash compensation
      for the Chief Executive Officer be $150,000 for the 2007 fiscal year.
      Except for the Chief Executive Officer, our executive officers do not play
      a role in their own compensation decision.</FONT></P></TD></TR>
  <TR>
    <TD vAlign=top width="30%"></TD>
    <TD vAlign=top width="2%">&nbsp;</TD>
    <TD vAlign=top width="68%"></TD></TR>
  <TR>
    <TD vAlign=top width="30%">
      <P align=justify><B><FONT face=serif>Nominating Committee<BR>of the Board
      of<BR>Directors:</FONT></B><FONT face=serif> </FONT></P></TD>
    <TD vAlign=top width="2%">&nbsp;</TD>
    <TD vAlign=top width="68%">
      <P align=justify><FONT face=serif>The Nominating Committee of the Board of
      Directors currently consists of Ms. Peterson, Chairwoman, Ms. Siebert, Ms.
      Francy and Ms. Macon. The Nominating Committee does not function pursuant
      to a formal written charter and as a &#147;Controlled Company&#148; is not required
      to comply with The Nasdaq Stock Market&#146;s independence requirements. The
      Nominating Committee was formed in January 2004 and did not meet in 2007.
      The Nominating Committee acted once in 2008 with respect to the
      recommendation to the Board of Directors of the nomination of each of the
      directors for re-election at the 2008 Annual Meeting of
      Shareholders.</FONT></P>
      <P align=justify><FONT face=serif>The purpose of the Nominating Committee
      is to identify individuals qualified to become members of our Board of
      Directors and to recommend to the Board of Directors or the shareholders
      that such individual be selected for directorship. In identifying and
      evaluating nominees for director, the Nominating Committee considers each
      candidate&#146;s experience, integrity, background and skills as well as other
      qualities that the candidate may possess and factors that the candidate
      may be able to bring to the Board of
Directors.</FONT></P></TD></TR></TABLE>
<P align=center><FONT face=serif size=2>7</FONT></P>
<HR align=center width="100%" noShade SIZE=2>
<PAGE><BR>
<TABLE cellSpacing=0 cellPadding=0 width="100%" border=0>

  <TR>
    <TD vAlign=top width="30%"></TD>
    <TD vAlign=top width="2%">&nbsp;&nbsp;&nbsp; </TD>
    <TD vAlign=top width="68%">
      <P align=justify><FONT face=serif>The Nominating Committee will consider
      shareholder nominees for election to our Board of Directors. In evaluating
      such nominations, the Nominating Committee will use the same selection
      criteria the Nominating Committee uses to evaluate other potential
      nominees. Any shareholder wishing to recommend a director candidate for
      consideration by the Nominating Committee must do so by sending written
      notice to our Secretary at 885 Third Avenue, Suite 1720, New York, New
      York 10022, no later than January 2, 2009, such notice must include the
      recommended candidate&#146;s name, experience, qualifications and biographical
      data, as well as, information as to whether such candidate would qualify
      as &#147;independent&#148; within the meaning of Rule 4200(a)(15) of The Nasdaq
      Stock Market and the applicable rules and regulations of the Securities
      and Exchange Commission or as an &#147;audit committee financial expert&#148; under
      applicable rules and regulations of the Securities and Exchange
      Commission. The submission must be accompanied by a written consent by the
      nominee to stand for election if nominated by the Board of Directors and
      to serve if elected by the shareholders and a representation that the
      information with respect to such nominee is truthful and
      accurate.</FONT></P></TD></TR>
  <TR>
    <TD vAlign=top width="30%"></TD>
    <TD vAlign=top width="2%">&nbsp;</TD>
    <TD vAlign=top width="68%"></TD></TR>
  <TR>
    <TD vAlign=top width="30%">
      <P align=justify><B><FONT face=serif>Indemnification of<BR>Officers and
      Directors:</FONT></B></P></TD>
    <TD vAlign=top width="2%">&nbsp;</TD>
    <TD vAlign=top width="68%">
      <P align=justify><FONT face=serif>We indemnify our executive officers and
      directors to the extent permitted by applicable law against liabilities
      incurred as a result of their service to us and against liabilities
      incurred as a result of their service as directors of other corporations
      when serving at our request. We have a director&#146;s and officer&#146;s liability
      insurance policy, underwritten by National Union Fire Insurance Company of
      Pittsburgh, PA, in the annual aggregate amount of $10 million. As to
      reimbursements by the insurer of our indemnification expenses, the policy
      has a $350,000 deductible; there is no deductible for covered liabilities
      of individual directors and officers.</FONT></P></TD></TR>
  <TR>
    <TD vAlign=top width="30%"></TD>
    <TD vAlign=top width="2%">&nbsp;</TD>
    <TD vAlign=top width="68%"></TD></TR>
  <TR>
    <TD vAlign=top width="30%">
      <P align=justify><B><FONT face=serif>Annual Shareholders<BR>Meeting
      Attendance<BR>Policy:</FONT></B></P></TD>
    <TD vAlign=top width="2%">&nbsp;</TD>
    <TD vAlign=top width="68%">
      <P align=justify><FONT face=serif>It is the policy of our Board of
      Directors that all of our directors are strongly encouraged to attend each
      annual shareholders meeting. All of our directors attended the 2007 annual
      meeting of shareholders. </FONT></P></TD></TR>
  <TR>
    <TD vAlign=top width="30%"></TD>
    <TD vAlign=top width="2%">&nbsp;</TD>
    <TD vAlign=top width="68%"></TD></TR>
  <TR>
    <TD vAlign=top width="30%">
      <P align=justify><B><FONT face=serif>Code of Ethics:</FONT></B></P></TD>
    <TD vAlign=top width="2%">&nbsp;</TD>
    <TD vAlign=top width="68%">
      <P align=justify><FONT face=serif>We have adopted a Code of Ethics for
      Senior Financial Officers applicable to our chief executive officer, chief
      financial officer, treasurer, controller, principal accounting officer,
      and any of our other employees performing similar functions. A copy of the
      Code of Ethics for Senior Financial Officers is available on our website
      at www.siebertnet.com.</FONT></P></TD></TR></TABLE>
<P align=center><FONT face=serif size=2>8</FONT></P>
<HR align=center width="100%" noShade SIZE=2>
<PAGE>
<P align=center><B><FONT face=serif>SECURITY OWNERSHIP OF DIRECTORS AND
EXECUTIVE OFFICERS</FONT></B></P>
<TABLE cellSpacing=0 cellPadding=0 width="100%" border=0>

  <TR>
    <TD vAlign=top width="30%">
      <P align=justify><B><FONT face=serif>Management<BR>Ownership:</FONT></B></P></TD>
    <TD vAlign=top width="2%">&nbsp;&nbsp;&nbsp; </TD>
    <TD vAlign=top width="68%">
      <P align=justify><FONT face=serif>The following table lists share
      ownership of our common stock as of April 15, 2008. The information
      includes beneficial ownership by each of our directors, the persons named
      in the Summary Compensation Table, all directors and executive officers as
      a group and beneficial owners known by our management to hold at least 5%
      of our common stock. To our knowledge, each person named in the table has
      sole voting and investment power with respect to all shares of common
      stock shown as beneficially owned by such person. Any information in the
      table on beneficial owners known by management to hold at least 5% of our
      common stock is based on information furnished to us by such persons or
      groups and statements filed with the Securities and Exchange Commission.
      </FONT></P></TD></TR></TABLE><BR>
<TABLE style="LINE-HEIGHT: 14pt; BORDER-COLLAPSE: collapse" cellSpacing=0 cellPadding=0 width="100%" border=0>

  <TR vAlign=bottom>
    <TD style="BORDER-BOTTOM: #000000 1pt solid" noWrap align=center width="79%"><B><FONT face=serif size=2>Name of Beneficial
      Owner(1)</FONT></B></TD>
    <TD noWrap align=center width="1%">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; </TD>
    <TD style="BORDER-BOTTOM: #000000 1pt solid" noWrap align=center width="11%" colSpan=3><B><FONT face=serif size=2>Shares of Common Stock</FONT></B></TD>
    <TD noWrap align=center width="1%">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; </TD>
    <TD style="BORDER-BOTTOM: #000000 1pt solid" noWrap align=center width="8%"><B><FONT face=serif size=2>Percent of Class</FONT></B></TD></TR>
  <TR vAlign=bottom>
    <TD noWrap align=left width="79%" bgColor=#c0c0c0><FONT face=serif size=2>Muriel F. Siebert</FONT></TD>
    <TD noWrap align=right width="1%" bgColor=#c0c0c0>&nbsp;</TD>
    <TD noWrap align=right width="3%" bgColor=#c0c0c0>&nbsp;</TD>
    <TD noWrap align=right width="5%" bgColor=#c0c0c0><FONT face=serif size=2>20,628,700<SUP>(2)</SUP></FONT></TD>
    <TD noWrap align=center width="3%" bgColor=#c0c0c0>&nbsp;</TD>
    <TD noWrap align=center width="1%" bgColor=#c0c0c0></TD>
    <TD noWrap align=center width="8%" bgColor=#c0c0c0><FONT face=serif size=2>86.1%</FONT></TD></TR>
  <TR vAlign=bottom>
    <TD noWrap align=left width="79%"><FONT face=serif size=2>Ameen
      Esmail</FONT>&nbsp; </TD>
    <TD noWrap align=right width="1%"></TD>
    <TD noWrap align=right width="3%"></TD>
    <TD noWrap align=right width="5%"><FONT face=serif size=2>20,000<SUP>(3)</SUP></FONT></TD>
    <TD noWrap align=center width="3%"></TD>
    <TD noWrap align=center width="1%"></TD>
    <TD noWrap align=center width="8%"><FONT face=serif size=2>*</FONT></TD></TR>
  <TR vAlign=bottom>
    <TD noWrap align=left width="79%" bgColor=#c0c0c0><FONT face=serif size=2>Joseph M. Ramos, Jr.</FONT></TD>
    <TD noWrap align=right width="1%" bgColor=#c0c0c0></TD>
    <TD noWrap align=right width="3%" bgColor=#c0c0c0></TD>
    <TD noWrap align=right width="5%" bgColor=#c0c0c0><FONT face=serif size=2>5,000<SUP>(3)</SUP></FONT></TD>
    <TD noWrap align=center width="3%" bgColor=#c0c0c0></TD>
    <TD noWrap align=center width="1%" bgColor=#c0c0c0></TD>
    <TD noWrap align=center width="8%" bgColor=#c0c0c0><FONT face=serif size=2>*</FONT></TD></TR>
  <TR vAlign=bottom>
    <TD noWrap align=left width="79%"><FONT face=serif size=2>Jeanne M.
      Rosendale</FONT></TD>
    <TD noWrap align=right width="1%"></TD>
    <TD noWrap align=right width="3%"></TD>
    <TD noWrap align=right width="5%"><FONT face=serif size=2>20,000<SUP>(4)</SUP></FONT></TD>
    <TD noWrap align=center width="3%"></TD>
    <TD noWrap align=center width="1%"></TD>
    <TD noWrap align=center width="8%"><FONT face=serif size=2>*</FONT></TD></TR>
  <TR vAlign=bottom>
    <TD noWrap align=left width="79%" bgColor=#c0c0c0><FONT face=serif size=2>Daniel Iesu</FONT>&nbsp; </TD>
    <TD noWrap align=right width="1%" bgColor=#c0c0c0></TD>
    <TD noWrap align=right width="3%" bgColor=#c0c0c0></TD>
    <TD noWrap align=right width="5%" bgColor=#c0c0c0><FONT face=serif size=2>40,000<SUP>(3)</SUP></FONT></TD>
    <TD noWrap align=center width="3%" bgColor=#c0c0c0></TD>
    <TD noWrap align=center width="1%" bgColor=#c0c0c0></TD>
    <TD noWrap align=center width="8%" bgColor=#c0c0c0><FONT face=serif size=2>*</FONT></TD></TR>
  <TR vAlign=bottom>
    <TD noWrap align=left width="79%"><FONT face=serif size=2>Patricia L.
      Francy</FONT></TD>
    <TD noWrap align=right width="1%"></TD>
    <TD noWrap align=right width="3%"></TD>
    <TD noWrap align=right width="5%"><FONT face=serif size=2>41,000<SUP>(5)</SUP></FONT></TD>
    <TD noWrap align=center width="3%"></TD>
    <TD noWrap align=center width="1%"></TD>
    <TD noWrap align=center width="8%"><FONT face=serif size=2>*</FONT></TD></TR>
  <TR vAlign=bottom>
    <TD noWrap align=left width="79%" bgColor=#c0c0c0><FONT face=serif size=2>Leonard M. Leiman</FONT></TD>
    <TD noWrap align=right width="1%" bgColor=#c0c0c0></TD>
    <TD noWrap align=right width="3%" bgColor=#c0c0c0></TD>
    <TD noWrap align=right width="5%" bgColor=#c0c0c0><FONT face=serif size=2>42,000<SUP>(5)</SUP></FONT></TD>
    <TD noWrap align=center width="3%" bgColor=#c0c0c0></TD>
    <TD noWrap align=center width="1%" bgColor=#c0c0c0></TD>
    <TD noWrap align=center width="8%" bgColor=#c0c0c0><FONT face=serif size=2>*</FONT></TD></TR>
  <TR vAlign=bottom>
    <TD noWrap align=left width="79%"><FONT face=serif size=2>Jane H.
      Macon</FONT>&nbsp; </TD>
    <TD noWrap align=right width="1%"></TD>
    <TD noWrap align=right width="3%"></TD>
    <TD noWrap align=right width="5%"><FONT face=serif size=2>41,500<SUP>(5)</SUP></FONT></TD>
    <TD noWrap align=center width="3%"></TD>
    <TD noWrap align=center width="1%"></TD>
    <TD noWrap align=center width="8%"><FONT face=serif size=2>*</FONT></TD></TR>
  <TR vAlign=bottom>
    <TD noWrap align=left width="79%" bgColor=#c0c0c0><FONT face=serif size=2>Robert P. Mazzarella</FONT></TD>
    <TD noWrap align=right width="1%" bgColor=#c0c0c0></TD>
    <TD noWrap align=right width="3%" bgColor=#c0c0c0></TD>
    <TD noWrap align=right width="5%" bgColor=#c0c0c0><FONT face=serif size=2>80,000<SUP>(3)</SUP></FONT></TD>
    <TD noWrap align=center width="3%" bgColor=#c0c0c0></TD>
    <TD noWrap align=center width="1%" bgColor=#c0c0c0></TD>
    <TD noWrap align=center width="8%" bgColor=#c0c0c0><FONT face=serif size=2>*</FONT></TD></TR>
  <TR vAlign=bottom>
    <TD noWrap align=left width="79%"><FONT face=serif size=2>Nancy S.
      Peterson</FONT></TD>
    <TD noWrap align=right width="1%"></TD>
    <TD noWrap align=right width="3%"></TD>
    <TD noWrap align=right width="5%"><FONT face=serif size=2>40,000<SUP>(3)</SUP></FONT></TD>
    <TD noWrap align=center width="3%"></TD>
    <TD noWrap align=center width="1%"></TD>
    <TD noWrap align=center width="8%"><FONT face=serif size=2>*</FONT></TD></TR>
  <TR vAlign=bottom>
    <TD noWrap align=left width="79%" bgColor=#c0c0c0><FONT face=serif size=2>Directors and current executive officers as a group (10
      persons)</FONT></TD>
    <TD noWrap align=right width="1%" bgColor=#c0c0c0></TD>
    <TD noWrap align=right width="3%" bgColor=#c0c0c0></TD>
    <TD noWrap align=right width="5%" bgColor=#c0c0c0><FONT face=serif size=2>20,958,200<SUP>(6)</SUP></FONT></TD>
    <TD noWrap align=center width="3%" bgColor=#c0c0c0></TD>
    <TD noWrap align=center width="1%" bgColor=#c0c0c0></TD>
    <TD noWrap align=center width="8%" bgColor=#c0c0c0><FONT face=serif size=2>86.3%</FONT></TD></TR></TABLE>____________________<BR>&nbsp;<BR>
<TABLE style="TEXT-ALIGN: justify" cellSpacing=0 cellPadding=0 border=0>

  <TR>
    <TD vAlign=top noWrap><FONT size=2>*</FONT></TD>
    <TD noWrap></TD>
    <TD width="100%">
      <P align=justify><FONT face=serif size=2>Less than 1%</FONT></P></TD></TR>
  <TR>
    <TD vAlign=top noWrap></TD>
    <TD noWrap>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; </TD>
    <TD width="100%"></TD></TR>
  <TR>
    <TD vAlign=top noWrap><FONT face=serif size=2>(1)</FONT></TD>
    <TD noWrap></TD>
    <TD width="100%"><FONT face=serif size=2>The address for each person named
      in the table is c/o Siebert Financial Corp., 885 Third Avenue, Suite 1720,
      New York, New York 10022.</FONT></TD></TR>
  <TR>
    <TD width="100%" colSpan=3>&nbsp;</TD></TR>
  <TR>
    <TD vAlign=top noWrap><FONT face=serif size=2>(2)</FONT></TD>
    <TD noWrap></TD>
    <TD width="100%"><FONT face=serif size=2>Includes an option to purchase
      750,000 shares of our common stock which are currently
    exercisable.</FONT></TD></TR>
  <TR>
    <TD width="100%" colSpan=3>&nbsp;</TD></TR>
  <TR>
    <TD vAlign=top noWrap><FONT face=serif size=2>(3)</FONT></TD>
    <TD noWrap></TD>
    <TD width="100%"><FONT face=serif size=2>Represents options to purchase
      shares of our common stock which are currently exercisable.</FONT></TD></TR>
  <TR>
    <TD width="100%" colSpan=3>&nbsp;</TD></TR>
  <TR>
    <TD vAlign=top noWrap><FONT face=serif size=2>(4)</FONT></TD>
    <TD noWrap></TD>
    <TD width="100%"><FONT face=serif size=2>Represents an option to purchase
      15,000 shares of our common stock which is currently exercisable and an
      option to purchase 5,000 shares of our common stock exercisable within 60
      days of April 15, 2008.</FONT></TD></TR>
  <TR>
    <TD width="100%" colSpan=3>&nbsp;</TD></TR>
  <TR>
    <TD vAlign=top noWrap><FONT face=serif size=2>(5)</FONT></TD>
    <TD noWrap></TD>
    <TD width="100%"><FONT face=serif size=2>Includes options to purchase
      40,000 shares of our common stock which are currently
    exercisable.</FONT></TD></TR>
  <TR>
    <TD width="100%" colSpan=3>&nbsp;</TD></TR>
  <TR>
    <TD vAlign=top noWrap><FONT face=serif size=2>(6)</FONT></TD>
    <TD noWrap></TD>
    <TD width="100%"><FONT face=serif size=2>Includes options to purchase an
      aggregate of 1,075,000 shares of our common stock described above which
      are currently exercisable or which are exercisable within 60 days of April
      15, 2008.</FONT></TD></TR></TABLE>
<P align=center><FONT face=serif size=2>9</FONT></P>
<HR align=center width="100%" noShade SIZE=2>
<PAGE>
<P align=center><B><FONT face=serif>EXECUTIVE COMPENSATION </FONT></B></P>
<P align=center><B><FONT face=serif>Summary Compensation Table </FONT></B></P>
<P align=justify>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<FONT face=serif>The following
table shows, for the years ended December 31, 2007 and 2006, the annual
compensation paid to or earned by (1) our CEO, and (2) each of the four most
highly compensated individuals who were serving as our executive officers at
December 31, 2007, collectively, the &#147;Named Executive Officers&#148;.</FONT></P>
<TABLE style="LINE-HEIGHT: 14pt; BORDER-COLLAPSE: collapse" cellSpacing=0 cellPadding=0 width="100%" border=0>

  <TR vAlign=bottom>
    <TD noWrap align=center width="60%"></TD>
    <TD noWrap align=center width="1%"></TD>
    <TD noWrap align=center width="2%"></TD>
    <TD noWrap align=center width="1%"></TD>
    <TD noWrap align=center width="3%"></TD>
    <TD noWrap align=center width="1%"></TD>
    <TD noWrap align=center width="3%"></TD>
    <TD noWrap align=center width="1%"></TD>
    <TD noWrap align=center width="3%"></TD>
    <TD noWrap align=center width="1%"></TD>
    <TD noWrap align=center width="1%"></TD>
    <TD noWrap align=center width="2%"></TD>
    <TD noWrap align=center width="1%"></TD>
    <TD noWrap align=center width="1%"></TD>
    <TD noWrap align=center width="4%"></TD>
    <TD noWrap align=center width="1%"></TD>
    <TD noWrap align=center width="5%"><B><FONT face=serif size=1>Non-qualified</FONT></B></TD>
    <TD noWrap align=center width="1%"></TD>
    <TD noWrap align=center width="4%"></TD>
    <TD noWrap align=center width="1%"></TD>
    <TD noWrap align=center width="2%"></TD></TR>
  <TR vAlign=bottom>
    <TD noWrap align=center width="60%"></TD>
    <TD noWrap align=center width="1%"></TD>
    <TD noWrap align=center width="2%"></TD>
    <TD noWrap align=center width="1%"></TD>
    <TD noWrap align=center width="3%"></TD>
    <TD noWrap align=center width="1%"></TD>
    <TD noWrap align=center width="3%"></TD>
    <TD noWrap align=center width="1%"></TD>
    <TD noWrap align=center width="3%"></TD>
    <TD noWrap align=center width="1%"></TD>
    <TD noWrap align=center width="1%"></TD>
    <TD noWrap align=center width="2%"></TD>
    <TD noWrap align=center width="1%"></TD>
    <TD noWrap align=center width="1%"></TD>
    <TD noWrap align=center width="4%"><B><FONT face=serif size=1>Non-Equity</FONT></B></TD>
    <TD noWrap align=center width="1%"></TD>
    <TD noWrap align=center width="5%"><B><FONT face=serif size=1>Deferred</FONT></B></TD>
    <TD noWrap align=center width="1%"></TD>
    <TD noWrap align=center width="4%"></TD>
    <TD noWrap align=center width="1%"></TD>
    <TD noWrap align=center width="2%"></TD></TR>
  <TR vAlign=bottom>
    <TD noWrap align=center width="60%"></TD>
    <TD noWrap align=center width="1%"></TD>
    <TD noWrap align=center width="2%"></TD>
    <TD noWrap align=center width="1%"></TD>
    <TD noWrap align=center width="3%"></TD>
    <TD noWrap align=center width="1%"></TD>
    <TD noWrap align=center width="3%"></TD>
    <TD noWrap align=center width="1%"></TD>
    <TD noWrap align=center width="3%"><B><FONT face=serif size=1>Stock</FONT></B></TD>
    <TD noWrap align=center width="1%"></TD>
    <TD noWrap align=center width="4%" colSpan=3><STRONG><FONT size=1>Option</FONT></STRONG></TD>
    <TD noWrap align=center width="1%"></TD>
    <TD noWrap align=center width="4%"><B><FONT face=serif size=1>Incentive
      Plan</FONT></B></TD>
    <TD noWrap align=center width="1%"></TD>
    <TD noWrap align=center width="5%"><STRONG><FONT size=1>Compensation</FONT></STRONG></TD>
    <TD noWrap align=center width="1%"></TD>
    <TD noWrap align=center width="4%"><B><FONT face=serif size=1>All
      Other</FONT></B></TD>
    <TD noWrap align=center width="1%"></TD>
    <TD noWrap align=center width="2%"></TD></TR>
  <TR vAlign=bottom>
    <TD noWrap align=center width="60%"><B><FONT face=serif size=1>Name and
      principal</FONT></B></TD>
    <TD noWrap align=center width="1%"></TD>
    <TD noWrap align=center width="2%"></TD>
    <TD noWrap align=center width="1%"></TD>
    <TD noWrap align=center width="3%"><B><FONT face=serif size=1>Salary</FONT></B></TD>
    <TD noWrap align=center width="1%"></TD>
    <TD noWrap align=center width="3%"><STRONG><FONT size=1>Bonus</FONT></STRONG></TD>
    <TD noWrap align=center width="1%"></TD>
    <TD noWrap align=center width="3%"><STRONG><FONT size=1>Awards</FONT></STRONG></TD>
    <TD noWrap align=center width="1%"></TD>
    <TD noWrap align=center width="4%" colSpan=3><STRONG><FONT size=1>Awards</FONT></STRONG></TD>
    <TD noWrap align=center width="1%"></TD>
    <TD noWrap align=center width="4%"><STRONG><FONT size=1>Compensation</FONT></STRONG></TD>
    <TD noWrap align=center width="1%"></TD>
    <TD noWrap align=center width="5%"><B><FONT face=serif size=1>Earnings</FONT></B></TD>
    <TD noWrap align=center width="1%"></TD>
    <TD noWrap align=center width="4%"><B><FONT face=serif size=1>Compensation</FONT></B></TD>
    <TD noWrap align=center width="1%"></TD>
    <TD noWrap align=center width="2%"><STRONG><FONT size=1>Total</FONT></STRONG></TD></TR>
  <TR vAlign=bottom>
    <TD style="BORDER-BOTTOM: #000000 1pt solid" noWrap align=center width="60%"><B><FONT face=serif size=1>position</FONT></B></TD>
    <TD noWrap align=center width="1%">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; </TD>
    <TD style="BORDER-BOTTOM: #000000 1pt solid" noWrap align=center width="2%"><B><FONT face=serif size=1>Year</FONT></B></TD>
    <TD noWrap align=center width="1%">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; </TD>
    <TD style="BORDER-BOTTOM: #000000 1pt solid" noWrap align=center width="3%"><B><FONT face=serif size=1>($)</FONT></B></TD>
    <TD noWrap align=center width="1%">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; </TD>
    <TD style="BORDER-BOTTOM: #000000 1pt solid" noWrap align=center width="3%"><B><FONT face=serif size=1>($)</FONT></B></TD>
    <TD noWrap align=center width="1%">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; </TD>
    <TD style="BORDER-BOTTOM: #000000 1pt solid" noWrap align=center width="3%"><B><FONT face=serif size=1>($)</FONT></B></TD>
    <TD noWrap align=center width="1%">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; </TD>
    <TD style="BORDER-BOTTOM: #000000 1pt solid" noWrap align=center width="4%" colSpan=3><B><FONT face=serif size=1></FONT></B><FONT face=serif size=1><STRONG>($)</STRONG><SUP>(1)</SUP></FONT></TD>
    <TD noWrap align=center width="1%">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; </TD>
    <TD style="BORDER-BOTTOM: #000000 1pt solid" noWrap align=center width="4%"><B><FONT face=serif size=1>($)</FONT></B></TD>
    <TD noWrap align=center width="1%">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; </TD>
    <TD style="BORDER-BOTTOM: #000000 1pt solid" noWrap align=center width="5%"><B><FONT face=serif size=1>($)</FONT></B></TD>
    <TD noWrap align=center width="1%">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; </TD>
    <TD style="BORDER-BOTTOM: #000000 1pt solid" noWrap align=center width="4%"><B><FONT face=serif size=1>($)</FONT></B></TD>
    <TD noWrap align=center width="1%">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; </TD>
    <TD style="BORDER-BOTTOM: #000000 1pt solid" noWrap align=center width="2%"><B><FONT face=serif size=1>($)</FONT></B></TD></TR>
  <TR vAlign=bottom>
    <TD noWrap align=left width="60%" bgColor=#c0c0c0><FONT face=serif size=1>Muriel F. Siebert</FONT></TD>
    <TD noWrap align=right width="1%" bgColor=#c0c0c0>&nbsp;</TD>
    <TD noWrap align=right width="2%" bgColor=#c0c0c0><FONT face=serif size=1>2007</FONT></TD>
    <TD noWrap align=right width="1%" bgColor=#c0c0c0>&nbsp;</TD>
    <TD noWrap align=right width="3%" bgColor=#c0c0c0><FONT face=serif size=1>150,000</FONT></TD>
    <TD noWrap align=right width="1%" bgColor=#c0c0c0></TD>
    <TD noWrap align=right width="3%" bgColor=#c0c0c0><FONT face=serif size=1>&#151;</FONT></TD>
    <TD noWrap align=right width="1%" bgColor=#c0c0c0></TD>
    <TD noWrap align=right width="3%" bgColor=#c0c0c0><FONT face=serif size=1>&#151;</FONT></TD>
    <TD noWrap align=right width="1%" bgColor=#c0c0c0></TD>
    <TD noWrap align=right width="1%" bgColor=#c0c0c0></TD>
    <TD noWrap align=right width="2%" bgColor=#c0c0c0><FONT face=serif size=1>&#151;</FONT></TD>
    <TD noWrap align=right width="1%" bgColor=#c0c0c0>&nbsp;</TD>
    <TD noWrap align=right width="1%" bgColor=#c0c0c0>&nbsp;</TD>
    <TD noWrap align=center width="4%" bgColor=#c0c0c0><FONT face=serif size=1>&#151;</FONT></TD>
    <TD noWrap align=right width="1%" bgColor=#c0c0c0></TD>
    <TD noWrap align=center width="5%" bgColor=#c0c0c0><FONT face=serif size=1>&#151;</FONT></TD>
    <TD noWrap align=right width="1%" bgColor=#c0c0c0>&nbsp;</TD>
    <TD noWrap align=center width="4%" bgColor=#c0c0c0><FONT face=serif size=1>&#151;</FONT></TD>
    <TD noWrap align=right width="1%" bgColor=#c0c0c0></TD>
    <TD noWrap align=center width="2%" bgColor=#c0c0c0><FONT face=serif size=1>150,000</FONT></TD></TR>
  <TR vAlign=bottom>
    <TD noWrap align=left width="60%" bgColor=#c0c0c0><I><FONT face=serif size=1>Chairwoman and President</FONT></I></TD>
    <TD noWrap align=right width="1%" bgColor=#c0c0c0></TD>
    <TD noWrap align=right width="2%" bgColor=#c0c0c0><FONT face=serif size=1>2006</FONT></TD>
    <TD noWrap align=right width="1%" bgColor=#c0c0c0></TD>
    <TD noWrap align=right width="3%" bgColor=#c0c0c0><FONT face=serif size=1>150,000</FONT></TD>
    <TD noWrap align=right width="1%" bgColor=#c0c0c0></TD>
    <TD noWrap align=right width="3%" bgColor=#c0c0c0><FONT face=serif size=1>&#151;</FONT></TD>
    <TD noWrap align=right width="1%" bgColor=#c0c0c0></TD>
    <TD noWrap align=right width="3%" bgColor=#c0c0c0><FONT face=serif size=1>&#151;</FONT></TD>
    <TD noWrap align=right width="1%" bgColor=#c0c0c0></TD>
    <TD noWrap align=right width="1%" bgColor=#c0c0c0></TD>
    <TD noWrap align=right width="2%" bgColor=#c0c0c0><FONT face=serif size=1>&#151;</FONT></TD>
    <TD noWrap align=right width="1%" bgColor=#c0c0c0></TD>
    <TD noWrap align=right width="1%" bgColor=#c0c0c0></TD>
    <TD noWrap align=center width="4%" bgColor=#c0c0c0><FONT face=serif size=1>&#151;</FONT></TD>
    <TD noWrap align=right width="1%" bgColor=#c0c0c0>&nbsp;</TD>
    <TD noWrap align=center width="5%" bgColor=#c0c0c0><FONT face=serif size=1>&#151;</FONT></TD>
    <TD noWrap align=right width="1%" bgColor=#c0c0c0></TD>
    <TD noWrap align=center width="4%" bgColor=#c0c0c0><FONT face=serif size=1>&#151;</FONT></TD>
    <TD noWrap align=right width="1%" bgColor=#c0c0c0></TD>
    <TD noWrap align=center width="2%" bgColor=#c0c0c0><FONT face=serif size=1>150,000</FONT></TD></TR>
  <TR>
    <TD width="99%" colSpan=21>&nbsp;</TD></TR>
  <TR vAlign=bottom>
    <TD noWrap align=left width="60%" bgColor=#c0c0c0><FONT face=serif size=1>Joseph M. Ramos, Jr.</FONT></TD>
    <TD noWrap align=right width="1%" bgColor=#c0c0c0></TD>
    <TD noWrap align=right width="2%" bgColor=#c0c0c0><FONT face=serif size=1>2007</FONT></TD>
    <TD noWrap align=right width="1%" bgColor=#c0c0c0></TD>
    <TD noWrap align=right width="3%" bgColor=#c0c0c0><FONT face=serif size=1>195,000</FONT></TD>
    <TD noWrap align=right width="1%" bgColor=#c0c0c0></TD>
    <TD noWrap align=right width="3%" bgColor=#c0c0c0><FONT face=serif size=1>100,000</FONT></TD>
    <TD noWrap align=right width="1%" bgColor=#c0c0c0></TD>
    <TD noWrap align=right width="3%" bgColor=#c0c0c0><FONT face=serif size=1>&#151;</FONT></TD>
    <TD noWrap align=right width="1%" bgColor=#c0c0c0></TD>
    <TD noWrap align=right width="1%" bgColor=#c0c0c0></TD>
    <TD noWrap align=right width="2%" bgColor=#c0c0c0><FONT face=serif size=1>&#151;</FONT></TD>
    <TD noWrap align=right width="1%" bgColor=#c0c0c0></TD>
    <TD noWrap align=right width="1%" bgColor=#c0c0c0></TD>
    <TD noWrap align=center width="4%" bgColor=#c0c0c0><FONT face=serif size=1>&#151;</FONT></TD>
    <TD noWrap align=right width="1%" bgColor=#c0c0c0></TD>
    <TD noWrap align=center width="5%" bgColor=#c0c0c0><FONT face=serif size=1>&#151;</FONT></TD>
    <TD noWrap align=right width="1%" bgColor=#c0c0c0></TD>
    <TD noWrap align=center width="4%" bgColor=#c0c0c0><FONT face=serif size=1>&#151;</FONT></TD>
    <TD noWrap align=right width="1%" bgColor=#c0c0c0></TD>
    <TD noWrap align=center width="2%" bgColor=#c0c0c0><FONT face=serif size=1>295,000</FONT></TD></TR>
  <TR vAlign=bottom>
    <TD noWrap align=left width="60%" bgColor=#c0c0c0><I><FONT face=serif size=1>Executive Vice President</FONT></I></TD>
    <TD noWrap align=right width="1%" bgColor=#c0c0c0></TD>
    <TD noWrap align=right width="2%" bgColor=#c0c0c0><FONT face=serif size=1>2006</FONT></TD>
    <TD noWrap align=right width="1%" bgColor=#c0c0c0></TD>
    <TD noWrap align=right width="3%" bgColor=#c0c0c0><FONT face=serif size=1>195,000</FONT></TD>
    <TD noWrap align=right width="1%" bgColor=#c0c0c0></TD>
    <TD noWrap align=right width="3%" bgColor=#c0c0c0><FONT face=serif size=1>95,000</FONT></TD>
    <TD noWrap align=right width="1%" bgColor=#c0c0c0></TD>
    <TD noWrap align=right width="3%" bgColor=#c0c0c0><FONT face=serif size=1>&#151;</FONT></TD>
    <TD noWrap align=right width="1%" bgColor=#c0c0c0>&nbsp;</TD>
    <TD noWrap align=right width="1%" bgColor=#c0c0c0>&nbsp;</TD>
    <TD noWrap align=right width="2%" bgColor=#c0c0c0><FONT face=serif size=1>46,250</FONT></TD>
    <TD noWrap align=left width="1%" bgColor=#c0c0c0><FONT face=serif size=1><SUP>(2)</SUP></FONT></TD>
    <TD noWrap align=right width="1%" bgColor=#c0c0c0></TD>
    <TD noWrap align=center width="4%" bgColor=#c0c0c0><FONT face=serif size=1>&#151;</FONT></TD>
    <TD noWrap align=right width="1%" bgColor=#c0c0c0></TD>
    <TD noWrap align=center width="5%" bgColor=#c0c0c0><FONT face=serif size=1>&#151;</FONT></TD>
    <TD noWrap align=right width="1%" bgColor=#c0c0c0></TD>
    <TD noWrap align=center width="4%" bgColor=#c0c0c0><FONT face=serif size=1>&#151;</FONT></TD>
    <TD noWrap align=right width="1%" bgColor=#c0c0c0></TD>
    <TD noWrap align=center width="2%" bgColor=#c0c0c0><FONT face=serif size=1>336,250</FONT></TD></TR>
  <TR vAlign=bottom>
    <TD noWrap align=left width="60%" bgColor=#c0c0c0><I><FONT face=serif size=1>and Chief Financial Officer</FONT></I></TD>
    <TD noWrap align=right width="1%" bgColor=#c0c0c0></TD>
    <TD noWrap align=right width="2%" bgColor=#c0c0c0></TD>
    <TD noWrap align=right width="1%" bgColor=#c0c0c0></TD>
    <TD noWrap align=right width="3%" bgColor=#c0c0c0></TD>
    <TD noWrap align=right width="1%" bgColor=#c0c0c0></TD>
    <TD noWrap align=right width="3%" bgColor=#c0c0c0></TD>
    <TD noWrap align=right width="1%" bgColor=#c0c0c0></TD>
    <TD noWrap align=right width="3%" bgColor=#c0c0c0></TD>
    <TD noWrap align=right width="1%" bgColor=#c0c0c0></TD>
    <TD noWrap align=right width="1%" bgColor=#c0c0c0></TD>
    <TD noWrap align=right width="2%" bgColor=#c0c0c0></TD>
    <TD noWrap align=right width="1%" bgColor=#c0c0c0></TD>
    <TD noWrap align=right width="1%" bgColor=#c0c0c0></TD>
    <TD noWrap align=center width="4%" bgColor=#c0c0c0></TD>
    <TD noWrap align=right width="1%" bgColor=#c0c0c0></TD>
    <TD noWrap align=center width="5%" bgColor=#c0c0c0></TD>
    <TD noWrap align=right width="1%" bgColor=#c0c0c0></TD>
    <TD noWrap align=center width="4%" bgColor=#c0c0c0></TD>
    <TD noWrap align=right width="1%" bgColor=#c0c0c0></TD>
    <TD noWrap align=center width="2%" bgColor=#c0c0c0></TD></TR>
  <TR>
    <TD width="99%" colSpan=21>&nbsp;</TD></TR>
  <TR vAlign=bottom>
    <TD noWrap align=left width="60%" bgColor=#c0c0c0><FONT face=serif size=1>Ameen Esmail</FONT></TD>
    <TD noWrap align=right width="1%" bgColor=#c0c0c0></TD>
    <TD noWrap align=right width="2%" bgColor=#c0c0c0><FONT face=serif size=1>2007</FONT></TD>
    <TD noWrap align=right width="1%" bgColor=#c0c0c0></TD>
    <TD noWrap align=right width="3%" bgColor=#c0c0c0><FONT face=serif size=1>185,000</FONT></TD>
    <TD noWrap align=right width="1%" bgColor=#c0c0c0></TD>
    <TD noWrap align=right width="3%" bgColor=#c0c0c0><FONT face=serif size=1>90,000</FONT></TD>
    <TD noWrap align=right width="1%" bgColor=#c0c0c0></TD>
    <TD noWrap align=right width="3%" bgColor=#c0c0c0><FONT face=serif size=1>&#151;</FONT></TD>
    <TD noWrap align=right width="1%" bgColor=#c0c0c0></TD>
    <TD noWrap align=right width="1%" bgColor=#c0c0c0></TD>
    <TD noWrap align=right width="2%" bgColor=#c0c0c0><FONT face=serif size=1>&#151;</FONT></TD>
    <TD noWrap align=right width="1%" bgColor=#c0c0c0></TD>
    <TD noWrap align=right width="1%" bgColor=#c0c0c0></TD>
    <TD noWrap align=center width="4%" bgColor=#c0c0c0><FONT face=serif size=1>&#151;</FONT></TD>
    <TD noWrap align=right width="1%" bgColor=#c0c0c0></TD>
    <TD noWrap align=center width="5%" bgColor=#c0c0c0><FONT face=serif size=1>&#151;</FONT></TD>
    <TD noWrap align=right width="1%" bgColor=#c0c0c0></TD>
    <TD noWrap align=center width="4%" bgColor=#c0c0c0><FONT face=serif size=1>&#151;</FONT></TD>
    <TD noWrap align=right width="1%" bgColor=#c0c0c0></TD>
    <TD noWrap align=center width="2%" bgColor=#c0c0c0><FONT face=serif size=1>275,000</FONT></TD></TR>
  <TR vAlign=bottom>
    <TD noWrap align=left width="60%" bgColor=#c0c0c0><I><FONT face=serif size=1>Executive Vice President</FONT></I></TD>
    <TD noWrap align=right width="1%" bgColor=#c0c0c0></TD>
    <TD noWrap align=right width="2%" bgColor=#c0c0c0><FONT face=serif size=1>2006</FONT></TD>
    <TD noWrap align=right width="1%" bgColor=#c0c0c0></TD>
    <TD noWrap align=right width="3%" bgColor=#c0c0c0><FONT face=serif size=1>185,000</FONT></TD>
    <TD noWrap align=right width="1%" bgColor=#c0c0c0></TD>
    <TD noWrap align=right width="3%" bgColor=#c0c0c0><FONT face=serif size=1>85,000</FONT></TD>
    <TD noWrap align=right width="1%" bgColor=#c0c0c0></TD>
    <TD noWrap align=right width="3%" bgColor=#c0c0c0><FONT face=serif size=1>&#151;</FONT></TD>
    <TD noWrap align=right width="1%" bgColor=#c0c0c0></TD>
    <TD noWrap align=right width="1%" bgColor=#c0c0c0></TD>
    <TD noWrap align=right width="2%" bgColor=#c0c0c0><FONT face=serif size=1>&#151;</FONT></TD>
    <TD noWrap align=right width="1%" bgColor=#c0c0c0></TD>
    <TD noWrap align=right width="1%" bgColor=#c0c0c0></TD>
    <TD noWrap align=center width="4%" bgColor=#c0c0c0><FONT face=serif size=1>&#151;</FONT></TD>
    <TD noWrap align=right width="1%" bgColor=#c0c0c0></TD>
    <TD noWrap align=center width="5%" bgColor=#c0c0c0><FONT face=serif size=1>&#151;</FONT></TD>
    <TD noWrap align=right width="1%" bgColor=#c0c0c0></TD>
    <TD noWrap align=center width="4%" bgColor=#c0c0c0><FONT face=serif size=1>&#151;</FONT></TD>
    <TD noWrap align=right width="1%" bgColor=#c0c0c0></TD>
    <TD noWrap align=center width="2%" bgColor=#c0c0c0><FONT face=serif size=1>270,000</FONT></TD></TR>
  <TR vAlign=bottom>
    <TD noWrap align=left width="60%" bgColor=#c0c0c0><I><FONT face=serif size=1>and Director of Business</FONT></I></TD>
    <TD noWrap align=right width="1%" bgColor=#c0c0c0></TD>
    <TD noWrap align=right width="2%" bgColor=#c0c0c0></TD>
    <TD noWrap align=right width="1%" bgColor=#c0c0c0></TD>
    <TD noWrap align=right width="3%" bgColor=#c0c0c0></TD>
    <TD noWrap align=right width="1%" bgColor=#c0c0c0></TD>
    <TD noWrap align=right width="3%" bgColor=#c0c0c0></TD>
    <TD noWrap align=right width="1%" bgColor=#c0c0c0>&nbsp;</TD>
    <TD noWrap align=right width="3%" bgColor=#c0c0c0></TD>
    <TD noWrap align=right width="1%" bgColor=#c0c0c0></TD>
    <TD noWrap align=right width="1%" bgColor=#c0c0c0></TD>
    <TD noWrap align=right width="2%" bgColor=#c0c0c0></TD>
    <TD noWrap align=right width="1%" bgColor=#c0c0c0></TD>
    <TD noWrap align=right width="1%" bgColor=#c0c0c0></TD>
    <TD noWrap align=center width="4%" bgColor=#c0c0c0></TD>
    <TD noWrap align=right width="1%" bgColor=#c0c0c0></TD>
    <TD noWrap align=center width="5%" bgColor=#c0c0c0></TD>
    <TD noWrap align=right width="1%" bgColor=#c0c0c0></TD>
    <TD noWrap align=center width="4%" bgColor=#c0c0c0></TD>
    <TD noWrap align=right width="1%" bgColor=#c0c0c0></TD>
    <TD noWrap align=center width="2%" bgColor=#c0c0c0></TD></TR>
  <TR vAlign=bottom>
    <TD noWrap align=left width="60%" bgColor=#c0c0c0><I><FONT face=serif size=1>Development</FONT></I></TD>
    <TD noWrap align=right width="1%" bgColor=#c0c0c0></TD>
    <TD noWrap align=right width="2%" bgColor=#c0c0c0></TD>
    <TD noWrap align=right width="1%" bgColor=#c0c0c0></TD>
    <TD noWrap align=right width="3%" bgColor=#c0c0c0></TD>
    <TD noWrap align=right width="1%" bgColor=#c0c0c0></TD>
    <TD noWrap align=right width="3%" bgColor=#c0c0c0></TD>
    <TD noWrap align=right width="1%" bgColor=#c0c0c0></TD>
    <TD noWrap align=right width="3%" bgColor=#c0c0c0></TD>
    <TD noWrap align=right width="1%" bgColor=#c0c0c0></TD>
    <TD noWrap align=right width="1%" bgColor=#c0c0c0></TD>
    <TD noWrap align=right width="2%" bgColor=#c0c0c0></TD>
    <TD noWrap align=right width="1%" bgColor=#c0c0c0></TD>
    <TD noWrap align=right width="1%" bgColor=#c0c0c0></TD>
    <TD noWrap align=center width="4%" bgColor=#c0c0c0></TD>
    <TD noWrap align=right width="1%" bgColor=#c0c0c0></TD>
    <TD noWrap align=center width="5%" bgColor=#c0c0c0></TD>
    <TD noWrap align=right width="1%" bgColor=#c0c0c0></TD>
    <TD noWrap align=center width="4%" bgColor=#c0c0c0></TD>
    <TD noWrap align=right width="1%" bgColor=#c0c0c0></TD>
    <TD noWrap align=center width="2%" bgColor=#c0c0c0></TD></TR>
  <TR>
    <TD width="99%" colSpan=21>&nbsp;</TD></TR>
  <TR vAlign=bottom>
    <TD noWrap align=left width="60%" bgColor=#c0c0c0><FONT face=serif size=1>Jeanne M. Rosendale</FONT></TD>
    <TD noWrap align=right width="1%" bgColor=#c0c0c0></TD>
    <TD noWrap align=right width="2%" bgColor=#c0c0c0><FONT face=serif size=1>2007</FONT></TD>
    <TD noWrap align=right width="1%" bgColor=#c0c0c0></TD>
    <TD noWrap align=right width="3%" bgColor=#c0c0c0><FONT face=serif size=1>300,000</FONT></TD>
    <TD noWrap align=right width="1%" bgColor=#c0c0c0></TD>
    <TD noWrap align=right width="3%" bgColor=#c0c0c0><FONT face=serif size=1>150,000</FONT></TD>
    <TD noWrap align=right width="1%" bgColor=#c0c0c0></TD>
    <TD noWrap align=right width="3%" bgColor=#c0c0c0><FONT face=serif size=1>&#151;</FONT></TD>
    <TD noWrap align=right width="1%" bgColor=#c0c0c0></TD>
    <TD noWrap align=right width="1%" bgColor=#c0c0c0></TD>
    <TD noWrap align=right width="2%" bgColor=#c0c0c0><FONT face=serif size=1>&#151;</FONT></TD>
    <TD noWrap align=right width="1%" bgColor=#c0c0c0></TD>
    <TD noWrap align=right width="1%" bgColor=#c0c0c0></TD>
    <TD noWrap align=center width="4%" bgColor=#c0c0c0><FONT face=serif size=1>&#151;</FONT></TD>
    <TD noWrap align=right width="1%" bgColor=#c0c0c0></TD>
    <TD noWrap align=center width="5%" bgColor=#c0c0c0><FONT face=serif size=1>&#151;</FONT></TD>
    <TD noWrap align=right width="1%" bgColor=#c0c0c0></TD>
    <TD noWrap align=center width="4%" bgColor=#c0c0c0><FONT face=serif size=1>&#151;</FONT></TD>
    <TD noWrap align=right width="1%" bgColor=#c0c0c0></TD>
    <TD noWrap align=center width="2%" bgColor=#c0c0c0><FONT face=serif size=1>450,000</FONT></TD></TR>
  <TR vAlign=bottom>
    <TD noWrap align=left width="60%" bgColor=#c0c0c0><I><FONT face=serif size=1>Executive Vice President</FONT></I></TD>
    <TD noWrap align=right width="1%" bgColor=#c0c0c0></TD>
    <TD noWrap align=right width="2%" bgColor=#c0c0c0><FONT face=serif size=1>2006</FONT></TD>
    <TD noWrap align=right width="1%" bgColor=#c0c0c0></TD>
    <TD noWrap align=right width="3%" bgColor=#c0c0c0><FONT face=serif size=1>300,000</FONT></TD>
    <TD noWrap align=right width="1%" bgColor=#c0c0c0></TD>
    <TD noWrap align=right width="3%" bgColor=#c0c0c0><FONT face=serif size=1>145,000</FONT></TD>
    <TD noWrap align=right width="1%" bgColor=#c0c0c0></TD>
    <TD noWrap align=right width="3%" bgColor=#c0c0c0><FONT face=serif size=1>&#151;</FONT></TD>
    <TD noWrap align=right width="1%" bgColor=#c0c0c0></TD>
    <TD noWrap align=right width="1%" bgColor=#c0c0c0></TD>
    <TD noWrap align=right width="2%" bgColor=#c0c0c0><FONT face=serif size=1>&#151;</FONT></TD>
    <TD noWrap align=right width="1%" bgColor=#c0c0c0></TD>
    <TD noWrap align=right width="1%" bgColor=#c0c0c0></TD>
    <TD noWrap align=center width="4%" bgColor=#c0c0c0><FONT face=serif size=1>&#151;</FONT></TD>
    <TD noWrap align=right width="1%" bgColor=#c0c0c0></TD>
    <TD noWrap align=center width="5%" bgColor=#c0c0c0><FONT face=serif size=1>&#151;</FONT></TD>
    <TD noWrap align=right width="1%" bgColor=#c0c0c0></TD>
    <TD noWrap align=center width="4%" bgColor=#c0c0c0><FONT face=serif size=1>&#151;</FONT></TD>
    <TD noWrap align=right width="1%" bgColor=#c0c0c0></TD>
    <TD noWrap align=center width="2%" bgColor=#c0c0c0><FONT face=serif size=1>445,000</FONT></TD></TR>
  <TR vAlign=bottom>
    <TD noWrap align=left width="60%" bgColor=#c0c0c0><I><FONT face=serif size=1>and General Counsel</FONT></I></TD>
    <TD noWrap align=right width="1%" bgColor=#c0c0c0></TD>
    <TD noWrap align=right width="2%" bgColor=#c0c0c0></TD>
    <TD noWrap align=right width="1%" bgColor=#c0c0c0></TD>
    <TD noWrap align=right width="3%" bgColor=#c0c0c0></TD>
    <TD noWrap align=right width="1%" bgColor=#c0c0c0></TD>
    <TD noWrap align=right width="3%" bgColor=#c0c0c0></TD>
    <TD noWrap align=right width="1%" bgColor=#c0c0c0></TD>
    <TD noWrap align=right width="3%" bgColor=#c0c0c0></TD>
    <TD noWrap align=right width="1%" bgColor=#c0c0c0></TD>
    <TD noWrap align=right width="1%" bgColor=#c0c0c0></TD>
    <TD noWrap align=right width="2%" bgColor=#c0c0c0></TD>
    <TD noWrap align=right width="1%" bgColor=#c0c0c0></TD>
    <TD noWrap align=right width="1%" bgColor=#c0c0c0></TD>
    <TD noWrap align=center width="4%" bgColor=#c0c0c0></TD>
    <TD noWrap align=right width="1%" bgColor=#c0c0c0></TD>
    <TD noWrap align=center width="5%" bgColor=#c0c0c0></TD>
    <TD noWrap align=right width="1%" bgColor=#c0c0c0></TD>
    <TD noWrap align=center width="4%" bgColor=#c0c0c0></TD>
    <TD noWrap align=right width="1%" bgColor=#c0c0c0></TD>
    <TD noWrap align=center width="2%" bgColor=#c0c0c0></TD></TR>
  <TR>
    <TD width="99%" colSpan=21>&nbsp;</TD></TR>
  <TR vAlign=bottom>
    <TD noWrap align=left width="60%" bgColor=#c0c0c0><FONT face=serif size=1>Daniel Iesu</FONT>&nbsp; </TD>
    <TD noWrap align=right width="1%" bgColor=#c0c0c0></TD>
    <TD noWrap align=right width="2%" bgColor=#c0c0c0><FONT face=serif size=1>2007</FONT></TD>
    <TD noWrap align=right width="1%" bgColor=#c0c0c0></TD>
    <TD noWrap align=right width="3%" bgColor=#c0c0c0><FONT face=serif size=1>120,000</FONT></TD>
    <TD noWrap align=right width="1%" bgColor=#c0c0c0></TD>
    <TD noWrap align=right width="3%" bgColor=#c0c0c0><FONT face=serif size=1>85,000</FONT></TD>
    <TD noWrap align=right width="1%" bgColor=#c0c0c0></TD>
    <TD noWrap align=right width="3%" bgColor=#c0c0c0><FONT face=serif size=1>&#151;</FONT></TD>
    <TD noWrap align=right width="1%" bgColor=#c0c0c0></TD>
    <TD noWrap align=right width="1%" bgColor=#c0c0c0></TD>
    <TD noWrap align=right width="2%" bgColor=#c0c0c0><FONT face=serif size=1>&#151;</FONT></TD>
    <TD noWrap align=right width="1%" bgColor=#c0c0c0></TD>
    <TD noWrap align=right width="1%" bgColor=#c0c0c0></TD>
    <TD noWrap align=center width="4%" bgColor=#c0c0c0><FONT face=serif size=1>&#151;</FONT></TD>
    <TD noWrap align=right width="1%" bgColor=#c0c0c0></TD>
    <TD noWrap align=center width="5%" bgColor=#c0c0c0><FONT face=serif size=1>&#151;</FONT></TD>
    <TD noWrap align=right width="1%" bgColor=#c0c0c0></TD>
    <TD noWrap align=center width="4%" bgColor=#c0c0c0><FONT face=serif size=1>&#151;</FONT></TD>
    <TD noWrap align=right width="1%" bgColor=#c0c0c0></TD>
    <TD noWrap align=center width="2%" bgColor=#c0c0c0><FONT face=serif size=1>205,000</FONT></TD></TR>
  <TR vAlign=bottom>
    <TD noWrap align=left width="60%" bgColor=#c0c0c0><I><FONT face=serif size=1>Secretary</FONT></I></TD>
    <TD noWrap align=right width="1%" bgColor=#c0c0c0></TD>
    <TD noWrap align=right width="2%" bgColor=#c0c0c0><FONT face=serif size=1>2006</FONT></TD>
    <TD noWrap align=right width="1%" bgColor=#c0c0c0></TD>
    <TD noWrap align=right width="3%" bgColor=#c0c0c0><FONT face=serif size=1>120,000</FONT></TD>
    <TD noWrap align=right width="1%" bgColor=#c0c0c0></TD>
    <TD noWrap align=right width="3%" bgColor=#c0c0c0><FONT face=serif size=1>80,000</FONT></TD>
    <TD noWrap align=right width="1%" bgColor=#c0c0c0></TD>
    <TD noWrap align=right width="3%" bgColor=#c0c0c0><FONT face=serif size=1>&#151;</FONT></TD>
    <TD noWrap align=right width="1%" bgColor=#c0c0c0></TD>
    <TD noWrap align=right width="1%" bgColor=#c0c0c0></TD>
    <TD noWrap align=right width="2%" bgColor=#c0c0c0><FONT face=serif size=1>&#151;</FONT></TD>
    <TD noWrap align=right width="1%" bgColor=#c0c0c0></TD>
    <TD noWrap align=right width="1%" bgColor=#c0c0c0></TD>
    <TD noWrap align=center width="4%" bgColor=#c0c0c0><FONT face=serif size=1>&#151;</FONT></TD>
    <TD noWrap align=right width="1%" bgColor=#c0c0c0></TD>
    <TD noWrap align=center width="5%" bgColor=#c0c0c0><FONT face=serif size=1>&#151;</FONT></TD>
    <TD noWrap align=right width="1%" bgColor=#c0c0c0></TD>
    <TD noWrap align=center width="4%" bgColor=#c0c0c0><FONT face=serif size=1>&#151;</FONT></TD>
    <TD noWrap align=right width="1%" bgColor=#c0c0c0></TD>
    <TD noWrap align=center width="2%" bgColor=#c0c0c0><FONT face=serif size=1>200,000</FONT></TD></TR></TABLE>____________________<BR>&nbsp;<BR>
<TABLE style="TEXT-ALIGN: justify" cellSpacing=0 cellPadding=0 border=0>

  <TR>
    <TD vAlign=top noWrap><FONT face=serif size=2>(1)</FONT></TD>
    <TD noWrap></TD>
    <TD width="100%"><FONT face=serif size=2>Represents the dollar amount
      recognized for financial statement reporting in accordance with FAS
      123(R).</FONT></TD></TR>
  <TR>
    <TD vAlign=top noWrap></TD>
    <TD noWrap>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; </TD>
    <TD width="100%"></TD></TR>
  <TR>
    <TD vAlign=top noWrap><FONT face=serif size=2>(2)</FONT></TD>
    <TD noWrap></TD>
    <TD width="100%"><FONT face=serif size=2>On August 17, 2006, Mr. Ramos was
      granted an option to purchase 25,000 shares of our common stock at an
      exercise price of $2.75 per share, the fair market value on the grant
      date. This option vests as to 5,000 shares on each anniversary of the
      grant date.</FONT></TD></TR></TABLE>
<P align=center><FONT face=serif size=2>10</FONT></P>
<HR align=center width="100%" noShade SIZE=2>
<PAGE>
<P align=center><B><FONT face=serif>Grants of Plan-Based Awards</FONT></B></P>
<P align=justify>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<FONT face=serif>Our Compensation
Committee did not approve grants of options to purchase our common stock or
other equity awards under our 2007 Long-Term Incentive Plan to any of our Named
Executive Officers.</FONT></P>
<P align=justify>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<FONT face=serif>We are not party
to an employment agreement with any of our Named Executive Officers. All of our
Named Executive Officers are employed at-will. The salary and incentive amounts
of our Named Executive Officers are disclosed in the Summary Compensation
Table.</FONT></P>
<P align=center><B><FONT face=serif>Outstanding Equity Awards at Fiscal
Year-End</FONT></B></P>
<P align=justify>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<FONT face=serif>The following
table sets forth the outstanding equity award holdings of our Named Executive
Officers at December 31, 2007. </FONT></P>
<TABLE style="LINE-HEIGHT: 14pt; BORDER-COLLAPSE: collapse" cellSpacing=0 cellPadding=0 width="100%" border=0>

  <TR vAlign=bottom>
    <TD noWrap align=center width="53%"></TD>
    <TD noWrap align=center width="1%"></TD>
    <TD style="BORDER-BOTTOM: #000000 1pt solid" noWrap align=center width="15%" colSpan=7><B><FONT face=serif size=1>OPTION AWARDS</FONT></B></TD>
    <TD noWrap align=center width="1%"></TD>
    <TD noWrap align=center width="3%"></TD>
    <TD noWrap align=center width="1%"></TD>
    <TD noWrap align=center width="4%"></TD>
    <TD noWrap align=center width="1%"></TD>
    <TD style="BORDER-BOTTOM: #000000 1pt solid" noWrap align=center width="20%" colSpan=7><B><FONT face=serif size=1>STOCK AWARDS</FONT></B></TD></TR>
  <TR vAlign=bottom>
    <TD noWrap align=center width="53%"></TD>
    <TD noWrap align=center width="1%"></TD>
    <TD noWrap align=center width="4%"></TD>
    <TD noWrap align=center width="1%"></TD>
    <TD noWrap align=center width="1%"></TD>
    <TD noWrap align=center width="2%"></TD>
    <TD noWrap align=center width="1%"></TD>
    <TD noWrap align=center width="1%"></TD>
    <TD noWrap align=center width="5%"></TD>
    <TD noWrap align=center width="1%"></TD>
    <TD noWrap align=center width="3%"></TD>
    <TD noWrap align=center width="1%"></TD>
    <TD noWrap align=center width="4%"></TD>
    <TD noWrap align=center width="1%"></TD>
    <TD noWrap align=center width="4%"></TD>
    <TD noWrap align=center width="1%"></TD>
    <TD noWrap align=center width="4%"></TD>
    <TD noWrap align=center width="1%"></TD>
    <TD noWrap align=center width="4%"></TD>
    <TD noWrap align=center width="1%"></TD>
    <TD noWrap align=center width="5%"><B><FONT face=serif size=1>Equity</FONT></B></TD></TR>
  <TR vAlign=bottom>
    <TD noWrap align=center width="53%"></TD>
    <TD noWrap align=center width="1%"></TD>
    <TD noWrap align=center width="4%"></TD>
    <TD noWrap align=center width="1%"></TD>
    <TD noWrap align=center width="1%"></TD>
    <TD noWrap align=center width="2%"></TD>
    <TD noWrap align=center width="1%"></TD>
    <TD noWrap align=center width="1%"></TD>
    <TD noWrap align=center width="5%"></TD>
    <TD noWrap align=center width="1%"></TD>
    <TD noWrap align=center width="3%"></TD>
    <TD noWrap align=center width="1%"></TD>
    <TD noWrap align=center width="4%"></TD>
    <TD noWrap align=center width="1%"></TD>
    <TD noWrap align=center width="4%"></TD>
    <TD noWrap align=center width="1%"></TD>
    <TD noWrap align=center width="4%"></TD>
    <TD noWrap align=center width="1%"></TD>
    <TD noWrap align=center width="4%"><B><FONT face=serif size=1>Equity</FONT></B></TD>
    <TD noWrap align=center width="1%"></TD>
    <TD noWrap align=center width="5%"><B><FONT face=serif size=1>Incentive</FONT></B></TD></TR>
  <TR vAlign=bottom>
    <TD noWrap align=center width="53%"></TD>
    <TD noWrap align=center width="1%"></TD>
    <TD noWrap align=center width="4%"></TD>
    <TD noWrap align=center width="1%"></TD>
    <TD noWrap align=center width="1%"></TD>
    <TD noWrap align=center width="2%"></TD>
    <TD noWrap align=center width="1%"></TD>
    <TD noWrap align=center width="1%"></TD>
    <TD noWrap align=center width="5%"></TD>
    <TD noWrap align=center width="1%"></TD>
    <TD noWrap align=center width="3%"></TD>
    <TD noWrap align=center width="1%"></TD>
    <TD noWrap align=center width="4%"></TD>
    <TD noWrap align=center width="1%"></TD>
    <TD noWrap align=center width="4%"></TD>
    <TD noWrap align=center width="1%"></TD>
    <TD noWrap align=center width="4%"></TD>
    <TD noWrap align=center width="1%"></TD>
    <TD noWrap align=center width="4%"><B><FONT face=serif size=1>Incentive</FONT></B></TD>
    <TD noWrap align=center width="1%"></TD>
    <TD noWrap align=center width="5%"><B><FONT face=serif size=1>Plan</FONT></B></TD></TR>
  <TR vAlign=bottom>
    <TD noWrap align=center width="53%"></TD>
    <TD noWrap align=center width="1%"></TD>
    <TD noWrap align=center width="4%"></TD>
    <TD noWrap align=center width="1%"></TD>
    <TD noWrap align=center width="1%"></TD>
    <TD noWrap align=center width="2%"></TD>
    <TD noWrap align=center width="1%"></TD>
    <TD noWrap align=center width="1%"></TD>
    <TD noWrap align=center width="5%"></TD>
    <TD noWrap align=center width="1%"></TD>
    <TD noWrap align=center width="3%"></TD>
    <TD noWrap align=center width="1%"></TD>
    <TD noWrap align=center width="4%"></TD>
    <TD noWrap align=center width="1%"></TD>
    <TD noWrap align=center width="4%"></TD>
    <TD noWrap align=center width="1%"></TD>
    <TD noWrap align=center width="4%"></TD>
    <TD noWrap align=center width="1%"></TD>
    <TD noWrap align=center width="4%"><B><FONT face=serif size=1>Plan</FONT></B></TD>
    <TD noWrap align=center width="1%"></TD>
    <TD noWrap align=center width="5%"><B><FONT face=serif size=1>Awards:</FONT></B></TD></TR>
  <TR vAlign=bottom>
    <TD noWrap align=center width="53%"></TD>
    <TD noWrap align=center width="1%"></TD>
    <TD noWrap align=center width="4%"></TD>
    <TD noWrap align=center width="1%"></TD>
    <TD noWrap align=center width="1%"></TD>
    <TD noWrap align=center width="2%"></TD>
    <TD noWrap align=center width="1%"></TD>
    <TD noWrap align=center width="1%"></TD>
    <TD noWrap align=center width="5%"><B><FONT face=serif size=1>Equity</FONT></B></TD>
    <TD noWrap align=center width="1%"></TD>
    <TD noWrap align=center width="3%"></TD>
    <TD noWrap align=center width="1%"></TD>
    <TD noWrap align=center width="4%"></TD>
    <TD noWrap align=center width="1%"></TD>
    <TD noWrap align=center width="4%"></TD>
    <TD noWrap align=center width="1%"></TD>
    <TD noWrap align=center width="4%"></TD>
    <TD noWrap align=center width="1%"></TD>
    <TD noWrap align=center width="4%"><B><FONT face=serif size=1>Awards:</FONT></B></TD>
    <TD noWrap align=center width="1%"></TD>
    <TD noWrap align=center width="5%"><B><FONT face=serif size=1>Market
      or</FONT></B></TD></TR>
  <TR vAlign=bottom>
    <TD noWrap align=center width="53%"></TD>
    <TD noWrap align=center width="1%"></TD>
    <TD noWrap align=center width="4%"></TD>
    <TD noWrap align=center width="1%"></TD>
    <TD noWrap align=center width="1%"></TD>
    <TD noWrap align=center width="2%"></TD>
    <TD noWrap align=center width="1%"></TD>
    <TD noWrap align=center width="1%"></TD>
    <TD noWrap align=center width="5%"><B><FONT face=serif size=1>Incentive</FONT></B></TD>
    <TD noWrap align=center width="1%"></TD>
    <TD noWrap align=center width="3%"></TD>
    <TD noWrap align=center width="1%"></TD>
    <TD noWrap align=center width="4%"></TD>
    <TD noWrap align=center width="1%"></TD>
    <TD noWrap align=center width="4%"></TD>
    <TD noWrap align=center width="1%"></TD>
    <TD noWrap align=center width="4%"></TD>
    <TD noWrap align=center width="1%"></TD>
    <TD noWrap align=center width="4%"><B><FONT face=serif size=1>Number
      of</FONT></B></TD>
    <TD noWrap align=center width="1%"></TD>
    <TD noWrap align=center width="5%"><B><FONT face=serif size=1>Payout
      Value</FONT></B></TD></TR>
  <TR vAlign=bottom>
    <TD noWrap align=center width="53%"></TD>
    <TD noWrap align=center width="1%"></TD>
    <TD noWrap align=center width="4%"></TD>
    <TD noWrap align=center width="1%"></TD>
    <TD noWrap align=center width="1%"></TD>
    <TD noWrap align=center width="2%"></TD>
    <TD noWrap align=center width="1%"></TD>
    <TD noWrap align=center width="1%"></TD>
    <TD noWrap align=center width="5%"><B><FONT face=serif size=1>Plan
      Awards:</FONT></B></TD>
    <TD noWrap align=center width="1%"></TD>
    <TD noWrap align=center width="3%"></TD>
    <TD noWrap align=center width="1%"></TD>
    <TD noWrap align=center width="4%"></TD>
    <TD noWrap align=center width="1%"></TD>
    <TD noWrap align=center width="4%"></TD>
    <TD noWrap align=center width="1%"></TD>
    <TD noWrap align=center width="4%"><B><FONT face=serif size=1>Market</FONT></B></TD>
    <TD noWrap align=center width="1%"></TD>
    <TD noWrap align=center width="4%"><B><FONT face=serif size=1>Unearned</FONT></B></TD>
    <TD noWrap align=center width="1%"></TD>
    <TD noWrap align=center width="5%"><STRONG><FONT size=1>of
      Unearned</FONT></STRONG></TD></TR>
  <TR vAlign=bottom>
    <TD noWrap align=center width="53%"></TD>
    <TD noWrap align=center width="1%"></TD>
    <TD noWrap align=center width="4%"><B><FONT face=serif size=1>Number
      of</FONT></B></TD>
    <TD noWrap align=center width="1%"></TD>
    <TD noWrap align=center width="4%" colSpan=3><B><FONT face=serif size=1>Number of</FONT></B></TD>
    <TD noWrap align=center width="1%"></TD>
    <TD noWrap align=center width="5%"><B><FONT face=serif size=1>Number
      of</FONT></B></TD>
    <TD noWrap align=center width="1%"></TD>
    <TD noWrap align=center width="3%"></TD>
    <TD noWrap align=center width="1%"></TD>
    <TD noWrap align=center width="4%"></TD>
    <TD noWrap align=center width="1%"></TD>
    <TD noWrap align=center width="4%"><B><FONT face=serif size=1>Number</FONT></B></TD>
    <TD noWrap align=center width="1%"></TD>
    <TD noWrap align=center width="4%"><B><FONT face=serif size=1>Value
      of</FONT></B></TD>
    <TD noWrap align=center width="1%"></TD>
    <TD noWrap align=center width="4%"><B><FONT face=serif size=1>Shares,</FONT></B></TD>
    <TD noWrap align=center width="1%"></TD>
    <TD noWrap align=center width="5%"><B><FONT face=serif size=1>Shares,</FONT></B></TD></TR>
  <TR vAlign=bottom>
    <TD noWrap align=center width="53%"></TD>
    <TD noWrap align=center width="1%"></TD>
    <TD noWrap align=center width="4%"><B><FONT face=serif size=1>Securities</FONT></B></TD>
    <TD noWrap align=center width="1%"></TD>
    <TD noWrap align=center width="4%" colSpan=3><B><FONT face=serif size=1>Securities</FONT></B></TD>
    <TD noWrap align=center width="1%"></TD>
    <TD noWrap align=center width="5%"><B><FONT face=serif size=1>Securities</FONT></B></TD>
    <TD noWrap align=center width="1%"></TD>
    <TD noWrap align=center width="3%"></TD>
    <TD noWrap align=center width="1%"></TD>
    <TD noWrap align=center width="4%"></TD>
    <TD noWrap align=center width="1%"></TD>
    <TD noWrap align=center width="4%"><B><FONT face=serif size=1>of
      Shares</FONT></B></TD>
    <TD noWrap align=center width="1%"></TD>
    <TD noWrap align=center width="4%"><B><FONT face=serif size=1>Shares
      or</FONT></B></TD>
    <TD noWrap align=center width="1%"></TD>
    <TD noWrap align=center width="4%"><B><FONT face=serif size=1>Units
      or</FONT></B></TD>
    <TD noWrap align=center width="1%"></TD>
    <TD noWrap align=center width="5%"><B><FONT face=serif size=1>Units
      or</FONT></B></TD></TR>
  <TR vAlign=bottom>
    <TD noWrap align=center width="53%"></TD>
    <TD noWrap align=center width="1%"></TD>
    <TD noWrap align=center width="4%"><B><FONT face=serif size=1>Underlying</FONT></B></TD>
    <TD noWrap align=center width="1%"></TD>
    <TD noWrap align=center width="4%" colSpan=3><B><FONT face=serif size=1>Underlying</FONT></B></TD>
    <TD noWrap align=center width="1%"></TD>
    <TD noWrap align=center width="5%"><B><FONT face=serif size=1>Underlying</FONT></B></TD>
    <TD noWrap align=center width="1%"></TD>
    <TD noWrap align=center width="3%"></TD>
    <TD noWrap align=center width="1%"></TD>
    <TD noWrap align=center width="4%"></TD>
    <TD noWrap align=center width="1%"></TD>
    <TD noWrap align=center width="4%"><B><FONT face=serif size=1>or Units
      of</FONT></B></TD>
    <TD noWrap align=center width="1%"></TD>
    <TD noWrap align=center width="4%"><STRONG><FONT size=1>Units
      of</FONT></STRONG></TD>
    <TD noWrap align=center width="1%"></TD>
    <TD noWrap align=center width="4%"><B><FONT face=serif size=1>Other</FONT></B></TD>
    <TD noWrap align=center width="1%"></TD>
    <TD noWrap align=center width="5%"><B><FONT face=serif size=1>Other</FONT></B></TD></TR>
  <TR vAlign=bottom>
    <TD noWrap align=center width="53%"></TD>
    <TD noWrap align=center width="1%"></TD>
    <TD noWrap align=center width="4%"><B><FONT face=serif size=1>Unexercised</FONT></B></TD>
    <TD noWrap align=center width="1%"></TD>
    <TD noWrap align=center width="4%" colSpan=3><STRONG><FONT size=1>Unexercised</FONT></STRONG></TD>
    <TD noWrap align=center width="1%"></TD>
    <TD noWrap align=center width="5%"><B><FONT face=serif size=1>Unexercised</FONT></B></TD>
    <TD noWrap align=center width="1%"></TD>
    <TD noWrap align=center width="3%"><STRONG><FONT size=1>Option</FONT></STRONG></TD>
    <TD noWrap align=center width="1%"></TD>
    <TD noWrap align=center width="4%"><B><FONT face=serif size=1>Option</FONT></B></TD>
    <TD noWrap align=center width="1%"></TD>
    <TD noWrap align=center width="4%"><B><FONT face=serif size=1>Stock
      That</FONT></B></TD>
    <TD noWrap align=center width="1%"></TD>
    <TD noWrap align=center width="4%"><STRONG><FONT size=1>Stock
      That</FONT></STRONG></TD>
    <TD noWrap align=center width="1%"></TD>
    <TD noWrap align=center width="4%"><STRONG><FONT size=1>Rights
      That</FONT></STRONG></TD>
    <TD noWrap align=center width="1%"></TD>
    <TD noWrap align=center width="5%"><STRONG><FONT size=1>Rights
      That</FONT></STRONG></TD></TR>
  <TR vAlign=bottom>
    <TD noWrap align=center width="53%"></TD>
    <TD noWrap align=center width="1%"></TD>
    <TD noWrap align=center width="4%"><B><FONT face=serif size=1>Options
      (#)</FONT></B></TD>
    <TD noWrap align=center width="1%"></TD>
    <TD noWrap align=center width="4%" colSpan=3><B><FONT face=serif size=1>Options (#)</FONT></B></TD>
    <TD noWrap align=center width="1%"></TD>
    <TD noWrap align=center width="5%"><B><FONT face=serif size=1>Unearned</FONT></B></TD>
    <TD noWrap align=center width="1%"></TD>
    <TD noWrap align=center width="3%"><B><FONT face=serif size=1>Exercise</FONT></B></TD>
    <TD noWrap align=center width="1%"></TD>
    <TD noWrap align=center width="4%"><STRONG><FONT size=1>Expiration</FONT></STRONG></TD>
    <TD noWrap align=center width="1%"></TD>
    <TD noWrap align=center width="4%"><B><FONT face=serif size=1>Have
      Not</FONT></B></TD>
    <TD noWrap align=center width="1%"></TD>
    <TD noWrap align=center width="4%"><B><FONT face=serif size=1>Have
      Not</FONT></B></TD>
    <TD noWrap align=center width="1%"></TD>
    <TD noWrap align=center width="4%"><B><FONT face=serif size=1>Have
      Not</FONT></B></TD>
    <TD noWrap align=center width="1%"></TD>
    <TD noWrap align=center width="5%"><B><FONT face=serif size=1>Have
      Not</FONT></B></TD></TR>
  <TR vAlign=bottom>
    <TD style="BORDER-BOTTOM: #000000 1pt solid" noWrap align=center width="53%"><B><FONT face=serif size=1>Name</FONT></B></TD>
    <TD noWrap align=center width="1%">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; </TD>
    <TD style="BORDER-BOTTOM: #000000 1pt solid" noWrap align=center width="4%"><B><FONT face=serif size=1>Exercisable</FONT></B></TD>
    <TD noWrap align=center width="1%">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; </TD>
    <TD style="BORDER-BOTTOM: #000000 1pt solid" noWrap align=center width="4%" colSpan=3><STRONG><FONT size=1>Unexercisable</FONT></STRONG></TD>
    <TD noWrap align=center width="1%">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; </TD>
    <TD style="BORDER-BOTTOM: #000000 1pt solid" noWrap align=center width="5%"><STRONG><FONT size=1>Options (#)</FONT></STRONG></TD>
    <TD noWrap align=center width="1%">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; </TD>
    <TD style="BORDER-BOTTOM: #000000 1pt solid" noWrap align=center width="3%"><STRONG><FONT size=1>Price ($)</FONT></STRONG></TD>
    <TD noWrap align=center width="1%">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; </TD>
    <TD style="BORDER-BOTTOM: #000000 1pt solid" noWrap align=center width="4%"><B><FONT face=serif size=1>Date</FONT></B></TD>
    <TD noWrap align=center width="1%">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; </TD>
    <TD style="BORDER-BOTTOM: #000000 1pt solid" noWrap align=center width="4%"><B><FONT face=serif size=1>Vested (#)</FONT></B></TD>
    <TD noWrap align=center width="1%">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; </TD>
    <TD style="BORDER-BOTTOM: #000000 1pt solid" noWrap align=center width="4%"><STRONG><FONT size=1>Vested ($)</FONT></STRONG></TD>
    <TD noWrap align=center width="1%">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; </TD>
    <TD style="BORDER-BOTTOM: #000000 1pt solid" noWrap align=center width="4%"><B><FONT face=serif size=1>Vested (#)</FONT></B></TD>
    <TD noWrap align=center width="1%">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; </TD>
    <TD style="BORDER-BOTTOM: #000000 1pt solid" noWrap align=center width="5%"><B><FONT face=serif size=1>Vested (#)</FONT></B></TD></TR>
  <TR vAlign=bottom>
    <TD noWrap align=left width="53%" bgColor=#c0c0c0><FONT face=serif size=1>Muriel F. Siebert</FONT></TD>
    <TD noWrap align=right width="1%" bgColor=#c0c0c0>&nbsp;</TD>
    <TD noWrap align=center width="4%" bgColor=#c0c0c0><FONT face=serif size=1>750,000</FONT></TD>
    <TD noWrap align=center width="1%" bgColor=#c0c0c0></TD>
    <TD noWrap align=center width="1%" bgColor=#c0c0c0></TD>
    <TD noWrap align=right width="2%" bgColor=#c0c0c0><FONT face=serif size=1>&#151;</FONT></TD>
    <TD noWrap align=left width="1%" bgColor=#c0c0c0>&nbsp;</TD>
    <TD noWrap align=center width="1%" bgColor=#c0c0c0>&nbsp;</TD>
    <TD noWrap align=center width="5%" bgColor=#c0c0c0><FONT face=serif size=1>&#151;</FONT></TD>
    <TD noWrap align=right width="1%" bgColor=#c0c0c0>&nbsp;</TD>
    <TD noWrap align=center width="3%" bgColor=#c0c0c0><FONT face=serif size=1>4.30</FONT></TD>
    <TD noWrap align=right width="1%" bgColor=#c0c0c0>&nbsp;</TD>
    <TD noWrap align=center width="4%" bgColor=#c0c0c0><FONT face=serif size=1>4/19/2012</FONT></TD>
    <TD noWrap align=center width="1%" bgColor=#c0c0c0>&nbsp;</TD>
    <TD noWrap align=center width="4%" bgColor=#c0c0c0><FONT face=serif size=1>&#151;</FONT></TD>
    <TD noWrap align=center width="1%" bgColor=#c0c0c0>&nbsp;</TD>
    <TD noWrap align=center width="4%" bgColor=#c0c0c0><FONT face=serif size=1>&#151;</FONT></TD>
    <TD noWrap align=center width="1%" bgColor=#c0c0c0>&nbsp;</TD>
    <TD noWrap align=center width="4%" bgColor=#c0c0c0><FONT face=serif size=1>&#151;</FONT></TD>
    <TD noWrap align=center width="1%" bgColor=#c0c0c0>&nbsp;</TD>
    <TD noWrap align=center width="5%" bgColor=#c0c0c0><FONT face=serif size=1>&#151;</FONT></TD></TR>
  <TR vAlign=bottom>
    <TD noWrap align=left width="53%"><FONT face=serif size=1>Joseph M. Ramos,
      Jr.</FONT></TD>
    <TD noWrap align=right width="1%"></TD>
    <TD noWrap align=center width="4%"><FONT face=serif size=1>&nbsp;&nbsp;&nbsp;5,000</FONT></TD>
    <TD noWrap align=center width="1%">&nbsp;</TD>
    <TD noWrap align=center width="1%">&nbsp;</TD>
    <TD noWrap align=right width="2%"><FONT face=serif size=1>20,000</FONT></TD>
    <TD noWrap align=left width="1%"><FONT size=1><SUP>(1)</SUP></FONT></TD>
    <TD noWrap align=center width="1%"></TD>
    <TD noWrap align=center width="5%"><FONT face=serif size=1>&#151;</FONT></TD>
    <TD noWrap align=right width="1%"></TD>
    <TD noWrap align=center width="3%"><FONT face=serif size=1>2.75</FONT></TD>
    <TD noWrap align=right width="1%"></TD>
    <TD noWrap align=center width="4%"><FONT face=serif size=1>8/17/2016</FONT></TD>
    <TD noWrap align=center width="1%"></TD>
    <TD noWrap align=center width="4%"><FONT face=serif size=1>&#151;</FONT></TD>
    <TD noWrap align=center width="1%"></TD>
    <TD noWrap align=center width="4%"><FONT face=serif size=1>&#151;</FONT></TD>
    <TD noWrap align=left width="1%"></TD>
    <TD noWrap align=left width="4%"></TD>
    <TD noWrap align=left width="1%"></TD>
    <TD noWrap align=left width="5%"></TD></TR>
  <TR vAlign=bottom>
    <TD noWrap align=left width="53%" bgColor=#c0c0c0><FONT face=serif size=1>Ameen Esmail</FONT></TD>
    <TD noWrap align=center width="1%" bgColor=#c0c0c0></TD>
    <TD noWrap align=center width="4%" bgColor=#c0c0c0><FONT face=serif size=1>&nbsp; 20,000</FONT></TD>
    <TD noWrap align=center width="1%" bgColor=#c0c0c0></TD>
    <TD noWrap align=center width="1%" bgColor=#c0c0c0></TD>
    <TD noWrap align=right width="2%" bgColor=#c0c0c0><FONT face=serif size=1>5,000</FONT></TD>
    <TD noWrap align=left width="1%" bgColor=#c0c0c0><FONT size=1><SUP>(2)</SUP></FONT></TD>
    <TD noWrap align=center width="1%" bgColor=#c0c0c0></TD>
    <TD noWrap align=center width="5%" bgColor=#c0c0c0><FONT face=serif size=1>&#151;</FONT></TD>
    <TD noWrap align=right width="1%" bgColor=#c0c0c0></TD>
    <TD noWrap align=center width="3%" bgColor=#c0c0c0><FONT face=serif size=1>5.06</FONT></TD>
    <TD noWrap align=right width="1%" bgColor=#c0c0c0></TD>
    <TD noWrap align=center width="4%" bgColor=#c0c0c0><FONT face=serif size=1>&nbsp; 7/3/2013</FONT></TD>
    <TD noWrap align=center width="1%" bgColor=#c0c0c0></TD>
    <TD noWrap align=center width="4%" bgColor=#c0c0c0><FONT face=serif size=1>&#151;</FONT></TD>
    <TD noWrap align=center width="1%" bgColor=#c0c0c0></TD>
    <TD noWrap align=center width="4%" bgColor=#c0c0c0><FONT face=serif size=1>&#151;</FONT></TD>
    <TD noWrap align=center width="1%" bgColor=#c0c0c0></TD>
    <TD noWrap align=center width="4%" bgColor=#c0c0c0><FONT face=serif size=1>&#151;</FONT></TD>
    <TD noWrap align=center width="1%" bgColor=#c0c0c0></TD>
    <TD noWrap align=center width="5%" bgColor=#c0c0c0><FONT face=serif size=1>&#151;</FONT></TD></TR>
  <TR vAlign=bottom>
    <TD noWrap align=left width="53%"><FONT face=serif size=1>Jeanne M.
      Rosendale</FONT></TD>
    <TD noWrap align=center width="1%"></TD>
    <TD noWrap align=center width="4%"><FONT face=serif size=1>&nbsp;
      15,000</FONT></TD>
    <TD noWrap align=center width="1%"></TD>
    <TD noWrap align=center width="1%"></TD>
    <TD noWrap align=right width="2%"><FONT face=serif size=1>10,000</FONT></TD>
    <TD noWrap align=left width="1%"><FONT size=1><SUP>(3)</SUP></FONT></TD>
    <TD noWrap align=center width="1%"></TD>
    <TD noWrap align=center width="5%"><FONT face=serif size=1>&#151;</FONT></TD>
    <TD noWrap align=right width="1%"></TD>
    <TD noWrap align=center width="3%"><FONT face=serif size=1>4.75</FONT></TD>
    <TD noWrap align=right width="1%"></TD>
    <TD noWrap align=center width="4%"><FONT face=serif size=1>&nbsp;
      5/4/2014</FONT></TD>
    <TD noWrap align=center width="1%"></TD>
    <TD noWrap align=center width="4%"><FONT face=serif size=1>&#151;</FONT></TD>
    <TD noWrap align=center width="1%"></TD>
    <TD noWrap align=center width="4%"><FONT face=serif size=1>&#151;</FONT></TD>
    <TD noWrap align=center width="1%"></TD>
    <TD noWrap align=center width="4%"><FONT face=serif size=1>&#151;</FONT></TD>
    <TD noWrap align=center width="1%"></TD>
    <TD noWrap align=center width="5%"><FONT face=serif size=1>&#151;</FONT></TD></TR>
  <TR vAlign=bottom>
    <TD noWrap align=left width="53%" bgColor=#c0c0c0><FONT face=serif size=1>Daniel Iesu</FONT></TD>
    <TD noWrap align=center width="1%" bgColor=#c0c0c0></TD>
    <TD noWrap align=center width="4%" bgColor=#c0c0c0><FONT face=serif size=1>&nbsp; 40,000</FONT></TD>
    <TD noWrap align=center width="1%" bgColor=#c0c0c0></TD>
    <TD noWrap align=center width="1%" bgColor=#c0c0c0></TD>
    <TD noWrap align=right width="2%" bgColor=#c0c0c0><FONT face=serif size=1>&#151;</FONT></TD>
    <TD noWrap align=left width="1%" bgColor=#c0c0c0></TD>
    <TD noWrap align=center width="1%" bgColor=#c0c0c0></TD>
    <TD noWrap align=center width="5%" bgColor=#c0c0c0><FONT face=serif size=1>&#151;</FONT></TD>
    <TD noWrap align=right width="1%" bgColor=#c0c0c0></TD>
    <TD noWrap align=center width="3%" bgColor=#c0c0c0><FONT face=serif size=1>5.33</FONT></TD>
    <TD noWrap align=right width="1%" bgColor=#c0c0c0></TD>
    <TD noWrap align=center width="4%" bgColor=#c0c0c0><FONT face=serif size=1>2/27/2011</FONT></TD>
    <TD noWrap align=center width="1%" bgColor=#c0c0c0></TD>
    <TD noWrap align=center width="4%" bgColor=#c0c0c0><FONT face=serif size=1>&#151;</FONT></TD>
    <TD noWrap align=center width="1%" bgColor=#c0c0c0></TD>
    <TD noWrap align=center width="4%" bgColor=#c0c0c0><FONT face=serif size=1>&#151;</FONT></TD>
    <TD noWrap align=center width="1%" bgColor=#c0c0c0></TD>
    <TD noWrap align=center width="4%" bgColor=#c0c0c0><FONT face=serif size=1>&#151;</FONT></TD>
    <TD noWrap align=center width="1%" bgColor=#c0c0c0></TD>
    <TD noWrap align=center width="5%" bgColor=#c0c0c0><FONT face=serif size=1>&#151;</FONT></TD></TR></TABLE>____________________<BR>&nbsp;<BR>
<TABLE style="TEXT-ALIGN: justify" cellSpacing=0 cellPadding=0 border=0>

  <TR>
    <TD vAlign=top noWrap><FONT face=serif size=2>(1)</FONT></TD>
    <TD noWrap></TD>
    <TD width="100%"><FONT face=serif size=2>These options vested as to 5,000
      shares on August 17, 2007 and vest as to an additional 5,000 shares on
      each of August 17, 2008, August 17, 2009, August 17, 2010 and August 17,
      2011. This vesting schedule is accelerated upon a change of
    control.</FONT></TD></TR>
  <TR>
    <TD vAlign=top noWrap></TD>
    <TD noWrap>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; </TD>
    <TD width="100%"></TD></TR>
  <TR>
    <TD vAlign=top noWrap><FONT face=serif size=2>(2)</FONT></TD>
    <TD noWrap></TD>
    <TD width="100%"><FONT face=serif size=2>These options vested as to 5,000
      shares on each of July 3, 2004, July 3, 2005, July 3, 2006 and July 3,
      2007 and vest as to an additional 5,000 shares on July 3, 2008. This
      vesting schedule is accelerated upon a change of control.</FONT></TD></TR>
  <TR>
    <TD width="100%" colSpan=3>&nbsp;</TD></TR>
  <TR>
    <TD vAlign=top noWrap><FONT face=serif size=2>(3)</FONT></TD>
    <TD noWrap></TD>
    <TD width="100%"><FONT face=serif size=2>These options vested as to 5,000
      shares on each of May 4, 2005, May 4, 2006, May 4, 2007 and vest as to an
      additional 5,000 shares on each of May 4, 2008 and May 4, 2009. This
      vesting schedule is accelerated upon a change of
  control.</FONT></TD></TR></TABLE>
<P align=center><FONT face=serif size=2>11</FONT></P>
<HR align=center width="100%" noShade SIZE=2>
<PAGE>
<P align=justify><B><FONT face=serif>Termination of Employment and
Change-in-Control Arrangements </FONT></B></P>
<P align=justify>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B><I><FONT face=serif>Employment
Agreements</FONT></I></B><I><FONT face=serif>.</FONT></I><FONT face=serif> We
are not a party to an employment agreement with any Named Executive Officer. All
of our Named Executive Officers are employees at-will.</FONT></P>
<P align=justify>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B><I><FONT face=serif>Option
Agreements</FONT></I></B><I><FONT face=serif>.</FONT></I><FONT face=serif> The
Option Agreements we entered into with each of Messrs. Esmail and Ramos and Ms.
Rosendale provide that in the event of a Change of Control of our company (as
defined below) the options shall immediately become fully exercisable. A Change
of Control means the occurrence of (i) any consolidation or merger in which we
are not the surviving entity or pursuant to which shares of our common stock are
converted into cash, securities or other property, other than a consolidation or
merger in which the holders of our common stock immediately prior to such
consolidation or merger own not less than fifty percent of the total voting
power of the surviving entity following the merger, (ii) any sale of all or
substantially all of our assets, (iii) the approval by our shareholders of any
plan of complete liquidation or dissolution or (iv) any person or entity
becoming the owner of 50% or more of our common stock. All options to purchase
our common stock issued to Ms. Siebert and Mr. Iesu have vested and are fully
exercisable.</FONT></P>
<P align=justify><B><FONT face=serif>Compensation of Directors</FONT></B></P>
<P align=justify>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<FONT face=serif>During 2007, our
non-employee directors received compensation for service on our Board of
Directors. We do not compensate our employees or employees of our subsidiaries
for service as directors. The chairs of the Board&#146;s Audit and Compensation
Committees each receive an additional annual fee of $10,000. On June 5, 2007,
the Board of Directors authorized the payment of an additional annual fee of
$10,000 to the Audit Committee Financial Expert. Directors&#146; fees are paid
quarterly. </FONT></P>
<TABLE style="LINE-HEIGHT: 14pt; BORDER-COLLAPSE: collapse" cellSpacing=0 cellPadding=0 width="100%" border=0>

  <TR vAlign=bottom>
    <TD noWrap align=center width="65%"></TD>
    <TD noWrap align=center width="1%"></TD>
    <TD noWrap align=center width="4%"></TD>
    <TD noWrap align=center width="1%"></TD>
    <TD noWrap align=center width="3%"></TD>
    <TD noWrap align=center width="1%"></TD>
    <TD noWrap align=center width="3%"></TD>
    <TD noWrap align=center width="1%"></TD>
    <TD noWrap align=center width="5%"></TD>
    <TD noWrap align=center width="1%"></TD>
    <TD noWrap align=center width="5%"><B><FONT face=serif size=1>Change
      in</FONT></B></TD>
    <TD noWrap align=center width="1%"></TD>
    <TD noWrap align=center width="5%"></TD>
    <TD noWrap align=center width="1%"></TD>
    <TD noWrap align=center width="2%"></TD></TR>
  <TR vAlign=bottom>
    <TD noWrap align=center width="65%"></TD>
    <TD noWrap align=center width="1%"></TD>
    <TD noWrap align=center width="4%"><B><FONT face=serif size=1>Fees</FONT></B></TD>
    <TD noWrap align=center width="1%"></TD>
    <TD noWrap align=center width="3%"></TD>
    <TD noWrap align=center width="1%"></TD>
    <TD noWrap align=center width="3%"></TD>
    <TD noWrap align=center width="1%"></TD>
    <TD noWrap align=center width="5%"><B><FONT face=serif size=1>Non-Equity</FONT></B></TD>
    <TD noWrap align=center width="1%"></TD>
    <TD noWrap align=center width="5%"><B><FONT face=serif size=1>Pension</FONT></B></TD>
    <TD noWrap align=center width="1%"></TD>
    <TD noWrap align=center width="5%"></TD>
    <TD noWrap align=center width="1%"></TD>
    <TD noWrap align=center width="2%"></TD></TR>
  <TR vAlign=bottom>
    <TD noWrap align=center width="65%"></TD>
    <TD noWrap align=center width="1%"></TD>
    <TD noWrap align=center width="4%"><B><FONT face=serif size=1>Earned</FONT></B></TD>
    <TD noWrap align=center width="1%"></TD>
    <TD noWrap align=center width="3%"><B><FONT face=serif size=1>Stock</FONT></B></TD>
    <TD noWrap align=center width="1%"></TD>
    <TD noWrap align=center width="3%"><B><FONT face=serif size=1>Option</FONT></B></TD>
    <TD noWrap align=center width="1%"></TD>
    <TD noWrap align=center width="5%"><B><FONT face=serif size=1>Incentive
      Plan</FONT></B></TD>
    <TD noWrap align=center width="1%"></TD>
    <TD noWrap align=center width="5%"><B><FONT face=serif size=1>Compensation</FONT></B></TD>
    <TD noWrap align=center width="1%"></TD>
    <TD noWrap align=center width="5%"><B><FONT face=serif size=1>All
      Other</FONT></B></TD>
    <TD noWrap align=center width="1%"></TD>
    <TD noWrap align=center width="2%"></TD></TR>
  <TR vAlign=bottom>
    <TD noWrap align=center width="65%"></TD>
    <TD noWrap align=center width="1%"></TD>
    <TD noWrap align=center width="4%"><B><FONT face=serif size=1>or Paid
      in</FONT></B></TD>
    <TD noWrap align=center width="1%">&nbsp;</TD>
    <TD noWrap align=center width="3%"><B><FONT face=serif size=1>Awards</FONT></B></TD>
    <TD noWrap align=center width="1%"></TD>
    <TD noWrap align=center width="3%"><B><FONT face=serif size=1>Awards</FONT></B></TD>
    <TD noWrap align=center width="1%"></TD>
    <TD noWrap align=center width="5%"><B><FONT face=serif size=1>Compensation</FONT></B></TD>
    <TD noWrap align=center width="1%"></TD>
    <TD noWrap align=center width="5%"><B><FONT face=serif size=1>Earnings</FONT></B></TD>
    <TD noWrap align=center width="1%"></TD>
    <TD noWrap align=center width="5%"><B><FONT face=serif size=1>Compensation</FONT></B></TD>
    <TD noWrap align=center width="1%"></TD>
    <TD noWrap align=center width="2%"><B><FONT face=serif size=1>Total</FONT></B></TD></TR>
  <TR vAlign=bottom>
    <TD style="BORDER-BOTTOM: #000000 1pt solid" noWrap align=center width="65%"><B><FONT face=serif size=1>Name</FONT></B></TD>
    <TD noWrap align=center width="1%">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; </TD>
    <TD style="BORDER-BOTTOM: #000000 1pt solid" noWrap align=center width="4%"><B><FONT face=serif size=1>Cash ($)</FONT></B></TD>
    <TD noWrap align=center width="1%">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; </TD>
    <TD style="BORDER-BOTTOM: #000000 1pt solid" noWrap align=center width="3%"><B><FONT face=serif size=1>($)</FONT></B></TD>
    <TD noWrap align=center width="1%">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; </TD>
    <TD style="BORDER-BOTTOM: #000000 1pt solid" noWrap align=center width="3%"><B><FONT face=serif size=1>($)</FONT></B></TD>
    <TD noWrap align=center width="1%">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; </TD>
    <TD style="BORDER-BOTTOM: #000000 1pt solid" noWrap align=center width="5%"><B><FONT face=serif size=1>($)</FONT></B></TD>
    <TD noWrap align=center width="1%">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; </TD>
    <TD style="BORDER-BOTTOM: #000000 1pt solid" noWrap align=center width="5%"><B><FONT face=serif size=1>($)</FONT></B></TD>
    <TD noWrap align=center width="1%">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; </TD>
    <TD style="BORDER-BOTTOM: #000000 1pt solid" noWrap align=center width="5%"><B><FONT face=serif size=1>($)</FONT></B></TD>
    <TD noWrap align=center width="1%">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; </TD>
    <TD style="BORDER-BOTTOM: #000000 1pt solid" noWrap align=center width="2%"><B><FONT face=serif size=1>($)</FONT></B></TD></TR>
  <TR vAlign=bottom>
    <TD noWrap align=left width="65%" bgColor=#c0c0c0><FONT face=serif size=1>Muriel F. Siebert<SUP>(1)</SUP></FONT></TD>
    <TD noWrap align=right width="1%" bgColor=#c0c0c0></TD>
    <TD noWrap align=right width="4%" bgColor=#c0c0c0><FONT face=serif size=1>&#151;&nbsp;&nbsp;&nbsp; </FONT></TD>
    <TD noWrap align=center width="1%" bgColor=#c0c0c0></TD>
    <TD noWrap align=center width="3%" bgColor=#c0c0c0><FONT face=serif size=1>&#151;</FONT></TD>
    <TD noWrap align=center width="1%" bgColor=#c0c0c0>&nbsp;</TD>
    <TD noWrap align=center width="3%" bgColor=#c0c0c0><FONT face=serif size=1>&#151;</FONT></TD>
    <TD noWrap align=center width="1%" bgColor=#c0c0c0></TD>
    <TD noWrap align=center width="5%" bgColor=#c0c0c0><FONT face=serif size=1>&#151;</FONT></TD>
    <TD noWrap align=center width="1%" bgColor=#c0c0c0>&nbsp;</TD>
    <TD noWrap align=center width="5%" bgColor=#c0c0c0><FONT face=serif size=1>&#151;</FONT></TD>
    <TD noWrap align=center width="1%" bgColor=#c0c0c0></TD>
    <TD noWrap align=center width="5%" bgColor=#c0c0c0><FONT face=serif size=1>&#151;</FONT></TD>
    <TD noWrap align=right width="1%" bgColor=#c0c0c0>&nbsp;</TD>
    <TD noWrap align=right width="2%" bgColor=#c0c0c0><FONT face=serif size=1>&#151;</FONT></TD></TR>
  <TR vAlign=bottom>
    <TD noWrap align=left width="65%"><FONT face=serif size=1>Patricia L.
      Francy<SUP>(2)</SUP></FONT></TD>
    <TD noWrap align=center width="1%"></TD>
    <TD noWrap align=center width="4%"><FONT face=serif size=1>40,000</FONT></TD>
    <TD noWrap align=center width="1%"></TD>
    <TD noWrap align=center width="3%"><FONT face=serif size=1>&#151;</FONT></TD>
    <TD noWrap align=center width="1%">&nbsp;</TD>
    <TD noWrap align=center width="3%"><FONT face=serif size=1>&#151;</FONT></TD>
    <TD noWrap align=center width="1%"></TD>
    <TD noWrap align=center width="5%"><FONT face=serif size=1>&#151;</FONT></TD>
    <TD noWrap align=center width="1%"></TD>
    <TD noWrap align=center width="5%"><FONT face=serif size=1>&#151;</FONT></TD>
    <TD noWrap align=center width="1%"></TD>
    <TD noWrap align=center width="5%"><FONT face=serif size=1>&#151;</FONT></TD>
    <TD noWrap align=center width="1%"></TD>
    <TD noWrap align=center width="2%"><FONT face=serif size=1>40,000</FONT></TD></TR>
  <TR vAlign=bottom>
    <TD noWrap align=left width="65%" bgColor=#c0c0c0><FONT face=serif size=1>Leonard M. Leiman</FONT></TD>
    <TD noWrap align=center width="1%" bgColor=#c0c0c0>&nbsp;</TD>
    <TD noWrap align=center width="4%" bgColor=#c0c0c0><FONT face=serif size=1>30,000</FONT></TD>
    <TD noWrap align=center width="1%" bgColor=#c0c0c0></TD>
    <TD noWrap align=center width="3%" bgColor=#c0c0c0><FONT face=serif size=1>&#151;</FONT></TD>
    <TD noWrap align=center width="1%" bgColor=#c0c0c0></TD>
    <TD noWrap align=center width="3%" bgColor=#c0c0c0><FONT face=serif size=1>&#151;</FONT></TD>
    <TD noWrap align=center width="1%" bgColor=#c0c0c0>&nbsp;</TD>
    <TD noWrap align=center width="5%" bgColor=#c0c0c0><FONT face=serif size=1>&#151;</FONT></TD>
    <TD noWrap align=center width="1%" bgColor=#c0c0c0></TD>
    <TD noWrap align=center width="5%" bgColor=#c0c0c0><FONT face=serif size=1>&#151;</FONT></TD>
    <TD noWrap align=center width="1%" bgColor=#c0c0c0>&nbsp;</TD>
    <TD noWrap align=center width="5%" bgColor=#c0c0c0><FONT face=serif size=1>&#151;</FONT></TD>
    <TD noWrap align=center width="1%" bgColor=#c0c0c0></TD>
    <TD noWrap align=center width="2%" bgColor=#c0c0c0><FONT face=serif size=1>30,000</FONT></TD></TR>
  <TR vAlign=bottom>
    <TD noWrap align=left width="65%"><FONT face=serif size=1>Jane H.
      Macon<SUP>(3)</SUP></FONT></TD>
    <TD noWrap align=center width="1%"></TD>
    <TD noWrap align=center width="4%"><FONT face=serif size=1>40,000</FONT></TD>
    <TD noWrap align=center width="1%"></TD>
    <TD noWrap align=center width="3%"><FONT face=serif size=1>&#151;</FONT></TD>
    <TD noWrap align=center width="1%"></TD>
    <TD noWrap align=center width="3%"><FONT face=serif size=1>&#151;</FONT></TD>
    <TD noWrap align=center width="1%"></TD>
    <TD noWrap align=center width="5%"><FONT face=serif size=1>&#151;</FONT></TD>
    <TD noWrap align=center width="1%"></TD>
    <TD noWrap align=center width="5%"><FONT face=serif size=1>&#151;</FONT></TD>
    <TD noWrap align=center width="1%"></TD>
    <TD noWrap align=center width="5%"><FONT face=serif size=1>&#151;</FONT></TD>
    <TD noWrap align=center width="1%"></TD>
    <TD noWrap align=center width="2%"><FONT face=serif size=1>40,000</FONT></TD></TR>
  <TR vAlign=bottom>
    <TD noWrap align=left width="65%" bgColor=#c0c0c0><FONT face=serif size=1>Robert P. Mazzarella<SUP>(4)</SUP></FONT></TD>
    <TD noWrap align=center width="1%" bgColor=#c0c0c0></TD>
    <TD noWrap align=center width="4%" bgColor=#c0c0c0><FONT face=serif size=1>35,000</FONT></TD>
    <TD noWrap align=center width="1%" bgColor=#c0c0c0></TD>
    <TD noWrap align=center width="3%" bgColor=#c0c0c0><FONT face=serif size=1>&#151;</FONT></TD>
    <TD noWrap align=center width="1%" bgColor=#c0c0c0></TD>
    <TD noWrap align=center width="3%" bgColor=#c0c0c0><FONT face=serif size=1>&#151;</FONT></TD>
    <TD noWrap align=center width="1%" bgColor=#c0c0c0></TD>
    <TD noWrap align=center width="5%" bgColor=#c0c0c0><FONT face=serif size=1>&#151;</FONT></TD>
    <TD noWrap align=center width="1%" bgColor=#c0c0c0></TD>
    <TD noWrap align=center width="5%" bgColor=#c0c0c0><FONT face=serif size=1>&#151;</FONT></TD>
    <TD noWrap align=center width="1%" bgColor=#c0c0c0></TD>
    <TD noWrap align=center width="5%" bgColor=#c0c0c0><FONT face=serif size=1>&#151;</FONT></TD>
    <TD noWrap align=center width="1%" bgColor=#c0c0c0></TD>
    <TD noWrap align=center width="2%" bgColor=#c0c0c0><FONT face=serif size=1>35,000</FONT></TD></TR>
  <TR vAlign=bottom>
    <TD noWrap align=left width="65%"><FONT face=serif size=1>Nancy S.
      Peterson</FONT></TD>
    <TD noWrap align=center width="1%"></TD>
    <TD noWrap align=center width="4%"><FONT face=serif size=1>30,000</FONT></TD>
    <TD noWrap align=center width="1%"></TD>
    <TD noWrap align=center width="3%"><FONT face=serif size=1>&#151;</FONT></TD>
    <TD noWrap align=center width="1%"></TD>
    <TD noWrap align=center width="3%"><FONT face=serif size=1>&#151;</FONT></TD>
    <TD noWrap align=center width="1%"></TD>
    <TD noWrap align=center width="5%"><FONT face=serif size=1>&#151;</FONT></TD>
    <TD noWrap align=center width="1%"></TD>
    <TD noWrap align=center width="5%"><FONT face=serif size=1>&#151;</FONT></TD>
    <TD noWrap align=center width="1%"></TD>
    <TD noWrap align=center width="5%"><FONT face=serif size=1>&#151;</FONT></TD>
    <TD noWrap align=center width="1%"></TD>
    <TD noWrap align=center width="2%"><FONT face=serif size=1>30,000</FONT></TD></TR></TABLE>____________________<BR>&nbsp;<BR>
<TABLE style="TEXT-ALIGN: justify" cellSpacing=0 cellPadding=0 border=0>

  <TR>
    <TD vAlign=top noWrap><FONT face=serif size=2>(1)</FONT></TD>
    <TD noWrap></TD>
    <TD width="100%"><FONT face=serif size=2>Ms. Siebert is the Chairwoman,
      President and Chief Executive Officer and accordingly does not receive any
      compensation for her services as a director.</FONT></TD></TR>
  <TR>
    <TD vAlign=top noWrap></TD>
    <TD noWrap>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; </TD>
    <TD width="100%"></TD></TR>
  <TR>
    <TD vAlign=top noWrap><FONT face=serif size=2>(2)</FONT></TD>
    <TD noWrap></TD>
    <TD width="100%"><FONT face=serif size=2>Ms. Francy is the Chairwoman of
      the Audit Committee.</FONT></TD></TR>
  <TR>
    <TD width="100%" colSpan=3>&nbsp;</TD></TR>
  <TR>
    <TD vAlign=top noWrap><FONT face=serif size=2>(3)</FONT></TD>
    <TD noWrap></TD>
    <TD width="100%"><FONT face=serif size=2>Ms. Macon is the Chairwoman of
      the Compensation Committee.</FONT></TD></TR>
  <TR>
    <TD width="100%" colSpan=3>&nbsp;</TD></TR>
  <TR>
    <TD vAlign=top noWrap><FONT face=serif size=2>(4)</FONT></TD>
    <TD noWrap></TD>
    <TD width="100%"><FONT face=serif size=2>Mr. Mazzarella is the Audit
      Committee Financial Expert.</FONT></TD></TR></TABLE>
<P align=center><FONT face=serif size=2>12</FONT></P>
<HR align=center width="100%" noShade SIZE=2>
<PAGE><BR>
<TABLE cellSpacing=0 cellPadding=0 width="100%" border=0>

  <TR>
    <TD vAlign=top width="30%">
      <P align=justify><B><FONT face=serif>Audit Committee<BR>Report
      to<BR>Shareholders:</FONT></B></P></TD>
    <TD vAlign=top width="2%">&nbsp;&nbsp;&nbsp; </TD>
    <TD vAlign=top width="68%">
      <P align=justify><FONT face=serif>The Audit Committee has reviewed and
      discussed with management the audited financial statements for the fiscal
      year ended December 31, 2007. The Audit Committee has also discussed with
      Siebert Financial&#146;s independent registered public accounting firm the
      matters required to be discussed by Statement on Auditing Standards No.
      61, &#147;Communications with Audit Committees,&#148; including Siebert Financial&#146;s
      critical accounting policies and its interests, if any, in &#147;off balance
      sheet&#148; entities. Additionally, the Audit Committee has received the
      written disclosures and representations from the independent registered
      public accounting firm required by Independence Standards Board Standard
      No. 1, &#147;Independence Discussions with Audit Committees,&#148; and has discussed
      with the independent registered public accounting firm the independent
      registered public accounting firm&#146;s independence.</FONT></P>
      <P align=justify><FONT face=serif>Based on the review and discussions
      referred to within this report, the Audit Committee recommended to the
      Board of Directors that the audited financial statements for fiscal year
      ended December 31, 2007 be included in Siebert Financial Corp.&#146;s Annual
      Report on Form 10-K for filing with the Securities and Exchange
      Commission.</FONT></P>
      <P align=justify><FONT face=serif>Audit Committee,</FONT><BR><FONT face=serif>Patricia L. Francy, </FONT><I><FONT face=serif>Chairwoman<BR></FONT></I><FONT face=serif>Robert P.
      Mazzarella<BR>Nancy S. Peterson</FONT></P></TD></TR>
  <TR>
    <TD vAlign=top width="30%"></TD>
    <TD vAlign=top width="2%">&nbsp;</TD>
    <TD vAlign=top width="68%"></TD></TR>
  <TR>
    <TD vAlign=top width="30%">
      <P align=justify><B><FONT face=serif>Section 16(a)<BR>Beneficial
      Ownership<BR>Reporting<BR>Compliance:</FONT></B></P></TD>
    <TD vAlign=top width="2%">&nbsp;</TD>
    <TD vAlign=top width="68%">
      <P align=justify><FONT face=serif>Section 16(a) of the Exchange Act
      requires our executive officers and directors and persons who beneficially
      own more than 10% of our common stock to file initial reports of ownership
      and reports of changes in ownership with the Securities and Exchange
      Commission.</FONT></P>
      <P align=justify><FONT face=serif>These executive officers, directors and
      shareholders are required by the Securities and Exchange Commission to
      furnish us with copies of all Section 16(a) forms they file.</FONT></P>
      <P align=justify><FONT face=serif>Based solely upon a review of the copies
      of the forms furnished to us, we believe that during fiscal 2007 all
      Section 16(a) filing requirements applicable to our executive officers,
      directors and greater than 10% beneficial owners were complied with on a
      timely basis.</FONT></P></TD></TR></TABLE>
<P align=center><FONT face=serif size=2>13</FONT></P>
<HR align=center width="100%" noShade SIZE=2>
<PAGE>
<P align=center><B><FONT face=serif>RELATIONSHIP WITH INDEPENDENT
AUDITORS</FONT></B></P>
<P align=justify>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<FONT face=serif>Eisner LLP
currently serves as our independent registered public accounting firm. A
representative of Eisner LLP will be present at the Annual Meeting and will have
an opportunity to make a statement if he or she desires to do so, and will
respond to appropriate questions from shareholders.</FONT><B><FONT face=serif>
</FONT></B></P>
<P align=justify><B><FONT face=serif>Audit Fees</FONT></B></P>
<P align=justify>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B><I><FONT face=serif>Audit
Fees</FONT></I></B><FONT face=serif>. The aggregate fees billed by Eisner LLP
for professional services rendered for the audit of our annual financial
statements and reviews of our quarterly financial statements were $151,000 and
$134,000 for the years ended December 31, 2007 and December 31, 2006,
respectively.</FONT></P>
<P align=justify>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B><I><FONT face=serif>Tax
Fees</FONT></I></B><I><FONT face=serif>.</FONT></I><FONT face=serif> The
aggregate fees billed by Eisner LLP during the years ended December 31, 2007 and
December 31, 2006 for tax planning services totaled $48,800 and $35,000,
respectively. </FONT></P>
<P align=justify>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B><I><FONT face=serif>All Other
Fees.</FONT></I></B><FONT face=serif> The aggregate fees billed by Eisner LLP
during the year ended December 31, 2007 with respect to the audit of our 401(k)
Plan and the review of our compliance with the terms and conditions of an
agreement with a third party was $36,000. Eisner LLP did not perform any other
services during the year ended December 31, 2006.</FONT></P>
<P align=justify>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<FONT face=serif>Eisner LLP did
not perform any audit-related services during the years ended December 31, 2007
or December 31, 2006.</FONT></P>
<P align=justify><FONT face=serif>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Our Audit
Committee has determined that the services described above that were rendered by
Eisner LLP are compatible with the maintenance of Eisner LLP independence from
our management.</FONT></P>
<P align=justify><B><FONT face=serif>Pre-Approval Policy</FONT></B></P>
<P align=justify>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<FONT face=serif>The Audit
Committee pre-approves all audit and non-audit services provided by our
independent auditors prior to the engagement of the independent auditors with
respect to such services. With respect to audit services and permissible
non-audit services not previously approved, the Audit Committee has authorized
the Chairwoman of the Audit Committee to approve such audit services and
permissible non-audit services, provided the Chairwoman informs the Audit
Committee of such approval at the next regularly scheduled meeting. All &#147;Audit
Fees&#148; and &#147;Tax Fees&#148; set forth above were pre-approved by the Audit Committee in
accordance with its pre-approval policy.</FONT></P>
<P align=center><B><FONT face=serif>CERTAIN RELATIONSHIPS AND RELATED
TRANSACTIONS</FONT></B></P>
<P align=justify><B><FONT face=serif>Review and Approval of Related Party
Transactions</FONT></B></P>
<P align=justify>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<FONT face=serif>As set forth in
our Amended and Restated Audit Committee Charter, the Audit Committee is
responsible for reviewing and approving all related party
transactions.</FONT></P>
<P align=justify>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<FONT face=serif>Our Code of
Ethics for Senior Financial Officers, applicable to our chief executive officer,
chief financial officer, controller, treasurer, principal accounting officer and
other employees performing similar functions, provides that our Senior Financial
Officers should endeavor to avoid any actual or potential conflict of interest
between their personal and professional relationships and requires them to
promptly report and disclose all material facts relating to their relationships
or financial interests which give rise, directly or indirectly, to an actual or
potential conflict of interest to the Audit Committee. The Code of Ethics also
provides that no Senior Financial Officer should knowingly become involved in
any actual or potential conflict of interest without the relationship or
financial interest having been approved by the Audit Committee. </FONT></P>
<P align=center><FONT face=serif size=2>14</FONT></P>
<HR align=center width="100%" noShade SIZE=2>
<PAGE>
<P align=center><B><FONT face=serif>SHAREHOLDER PROPOSALS FOR THE<BR>2009 ANNUAL
MEETING AND COMMUNICATIONS</FONT></B></P>
<P align=justify>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<FONT face=serif>If you wish to
submit proposals to be presented at the 2009 Annual Meeting of Shareholders, the
proposals must be received by us no later than January 2, 2009 to be included in
our proxy materials for that meeting.</FONT></P>
<P align=justify>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<FONT face=serif>The Board of
Directors maintains a process for shareholders to communicate with the Board of
Directors or individual directors as follows. Shareholders who wish to
communicate with the Board of Directors or an individual director should direct
written correspondence to our Secretary at our principal office at 885 Third
Avenue, Suite 1720, New York, New York 10022. Any such communication must
contain (i) a representation that the shareholder is a holder of record of our
common stock, (ii) the name and address, as they appear on our books, of the
shareholder sending such communication and (iii) the number of shares of our
common stock that are beneficially owned by such shareholder. The Secretary will
forward such communications to the Board of Directors or specified individual
director to whom the communication is directed unless such communication is
unduly hostile, threatening, illegal or similarly inappropriate, in which case
the Secretary has the authority to discard the communication or take appropriate
legal action regarding such communication.</FONT></P>
<P align=center><B><FONT face=serif>OTHER MATTERS</FONT></B></P>
<P align=justify>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<FONT face=serif>The Board does
not know of any other matters to be presented at the meeting. If any additional
matters are properly presented to the shareholders for action at the meeting,
the persons named in the enclosed proxies and acting thereunder will have
discretion to vote on these matters in accordance with their own
judgment.</FONT></P>
<P align=justify><B><FONT face=serif>YOU MAY OBTAIN A COPY OF OUR ANNUAL REPORT
ON FORM 10-K FOR THE FISCAL YEAR ENDED DECEMBER 31, 2007 FILED WITH THE
SECURITIES AND EXCHANGE COMMISSION WITHOUT CHARGE BY WRITING TO: DANIEL IESU,
SECRETARY, SIEBERT FINANCIAL CORP., 885 THIRD AVENUE, SUITE 1720, NEW YORK, NEW
YORK 10022 OR CALLING 800-872-0711.</FONT></B></P>
<TABLE cellSpacing=0 cellPadding=0 width="100%" border=0>

  <TR vAlign=bottom>
    <TD noWrap align=left width="50%">&nbsp; </TD>
    <TD noWrap align=left width="50%"><FONT face=serif>By Order of the Board
      of Directors</FONT>&nbsp; </TD></TR>
  <TR>
    <TD width="100%" colSpan=2>&nbsp; </TD></TR>
  <TR>
    <TD width="100%" colSpan=2>&nbsp; </TD></TR>
  <TR vAlign=bottom>
    <TD noWrap align=left width="50%">&nbsp; </TD>
    <TD noWrap align=left width="50%"><FONT face=serif>Daniel
      Iesu</FONT>&nbsp; </TD></TR>
  <TR vAlign=bottom>
    <TD noWrap align=left width="50%">&nbsp; </TD>
    <TD noWrap align=left width="50%"><I><FONT face=serif>Secretary</FONT></I>&nbsp; </TD></TR>
  <TR vAlign=bottom>
    <TD noWrap align=left width="50%"><FONT face=serif>Dated: April 25,
      2008</FONT>&nbsp; </TD>
    <TD noWrap align=left width="50%">&nbsp; </TD></TR></TABLE><BR>
<P align=center><B><FONT face=serif>PLEASE COMPLETE, DATE AND SIGN THE ENCLOSED
PROXY AND RETURN IT<BR>PROMPTLY IN THE ENCLOSED ENVELOPE.</FONT></B></P>
<P align=center><B><FONT face=serif>PLEASE VOTE&#151;YOUR VOTE IS
IMPORTANT</FONT></B></P>
<P align=center><FONT face=serif size=2>15</FONT></P>
<HR align=center width="100%" noShade SIZE=2>
<PAGE>
<P align=right><B><FONT face=serif>ANNEX A</FONT></B></P>
<P align=center><B><FONT face=serif>SIEBERT FINANCIAL
CORP.<BR></FONT></B><B><FONT face=serif>AUDIT COMMITTEE OF THE BOARD OF
DIRECTORS<BR>AMENDED AND RESTATED CHARTER</FONT></B></P>
<P align=justify>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<FONT face=serif>This Charter
identifies the purpose, composition, meeting requirements, committee
responsibilities, annual evaluation procedures and investigations and studies of
the Audit Committee (the &#147;Committee&#148;) of the Board of Directors (the &#147;Board&#148;) of
Siebert Financial Corp. (the &#147;Company&#148;). </FONT></P>
<P align=justify><B><FONT face=serif>I.</FONT></B><B><FONT face=sans-serif>
</FONT></B><B><FONT face=serif>PURPOSE </FONT></B></P>
<P align=justify>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<FONT face=serif>The Committee
has been established to: (a) assist the Board in its oversight responsibilities
regarding (1) the integrity of the Company&#146;s financial statements, (2) the
Company&#146;s compliance with legal and regulatory requirements and (3) the
independent auditors&#146; qualifications and independence; (b) prepare the report
required by the United States Securities and Exchange Commission (the &#147;SEC&#148;) for
inclusion in the Company&#146;s annual proxy statement; (c) retain, consider the
continued retention and terminate the Company&#146;s independent auditors; (d)
approve audit and non-audit services to be performed by the independent
auditors; and (e) perform such other functions as the Board may from time to
time assign to the Committee. In performing its duties, the Committee shall seek
to maintain an effective working relationship with the Board, the independent
auditors and management of the Company. </FONT></P>
<P align=justify><B><FONT face=serif>II. COMPOSITION </FONT></B></P>
<P align=justify>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<FONT face=serif>The Committee
shall have a minimum of three members appointed by the Board who serve until
replaced by the Board. The Chairman of the Board shall designate the Chairman of
the Committee. The Committee shall be comprised of members who meet the
independence, experience and financial literacy requirements of The Nasdaq Stock
Market, Inc., Section 10A(m)(3) of the Securities Exchange Act of 1934 (the
&#147;Exchange Act&#148;) and the rules and regulations of the SEC. All members of the
Committee shall be able to read and understand fundamental financial statements
and have a working familiarity with basic finance and accounting practices. The
Board shall review these requirements on an annual basis to insure continued
compliance by the members of the Committee. </FONT></P>
<P align=justify>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<FONT face=serif>Except for Board
and Committee fees, after the Company&#146;s 2004 Annual Stockholders&#146; Meeting a
member of the Committee shall not be permitted to accept any fees paid directly
or indirectly for services as a consultant, legal adviser or financial adviser
or any other fees which would affect such Committee members&#146; independence under
the rules of the SEC, the Sarbanes-Oxley Act of 2002 and The Nasdaq Stock
Market. In addition, no member of the Committee may be an affiliated person of
the Company or any of its subsidiaries. Members of the Committee may receive
their Board and Committee fees in cash, Company stock or options or other
in-kind consideration as determined by the Board or the Compensation Committee
or other authorized committee of the Board, as applicable, in addition to all
other benefits that other directors of the Company receive. No director may
serve on the Committee, without the approval of the Board, if such director
simultaneously serves on the audit committee of more than three public
companies.</FONT></P>
<P align=center><FONT face=serif size=2>A-1</FONT></P>
<HR align=center width="100%" noShade SIZE=2>
<PAGE>
<P align=justify><B><FONT face=serif size=3>III. MEETING REQUIREMENTS
</FONT></B></P>
<P align=justify>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<FONT face=serif>The Committee
shall meet as necessary, but at least quarterly, to enable it to fulfill its
responsibilities. The Committee shall meet at the call of its Chairperson,
preferably in conjunction with regular Board meetings. The Committee may meet by
telephone conference call or by any other means permitted by law or the
Company&#146;s Bylaws. A majority of the members of the Committee shall constitute a
quorum. The Committee shall act on the affirmative vote of a majority of members
present at a meeting at which a quorum is present. Without a meeting, the
Committee may act by unanimous written consent of all members. The Committee
shall determine its own rules and procedures, including designation of a
chairperson pro tempore, in the absence of the Chairperson, and designation of a
permanent or pro tempore secretary. The secretary need not be a member of the
Committee and shall attend Committee meetings and prepare minutes. The Committee
shall keep written minutes of its meetings, which shall be recorded or filed
with the books and records of the Company. Any member of the Board shall be
provided with copies of such Committee minutes if requested.</FONT></P>
<P align=justify>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<FONT face=serif>The Committee
may ask members of management, employees, outside counsel, the independent
auditors or others whose advice and counsel are relevant to the issues then
being considered by the Committee, to attend any meetings and to provide such
pertinent information as the Committee may request.</FONT></P>
<P align=justify>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<FONT face=serif>The Chairperson
of the Committee shall be responsible for leadership of the Committee, including
preparing the agenda, presiding over Committee meetings, making Committee
assignments and reporting the Committee&#146;s actions to the Board from time to time
(but at least once each year) as requested by the Board. </FONT></P>
<P align=justify><B><FONT face=serif size=3>IV. COMMITTEE AUTHORITY, DUTIES AND
RESPONSIBILITIES</FONT></B></P>
<P align=justify>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<FONT face=serif>The Company&#146;s
independent auditors shall report directly to the Committee. The Committee shall
be directly responsible for, and have sole authority as to, the appointment,
retention and termination, compensation and oversight of the work of the
independent auditors, including resolution of disagreements between management
and the auditors regarding accounting matters and financial reporting
matters.</FONT></P>
<P align=justify>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<FONT face=serif>In addition to
such other duties as the Board may from time to time assign, the Committee shall
have the following responsibilities:</FONT></P>
<P align=justify><FONT face=serif>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<STRONG>A.
Oversight of the Financial Reporting Processes </STRONG></FONT></P>
<P align=justify>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<FONT face=serif>1. In
consultation with the independent auditors review the integrity of the
organization&#146;s financial reporting processes, both internal and
external.</FONT></P>
<P align=justify><FONT face=serif>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;2. Review and
approve all related-party transactions.</FONT></P>
<P align=justify>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<FONT face=serif>3. Consider the
independent auditors&#146; judgments about the quality and appropriateness of the
Company&#146;s accounting principles as applied in its financial reporting. Consider
any alternative accounting principles and estimates presented to it.</FONT></P>
<P align=justify>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<FONT face=serif>4. Annually
review major issues regarding the Company&#146;s auditing and accounting principles
and practices and its presentation of financial statements, including the
adequacy of internal controls and special audit steps adopted in light of
material internal control deficiencies.</FONT></P>
<P align=center><FONT face=serif size=2>A-2</FONT></P>
<HR align=center width="100%" noShade SIZE=2>
<PAGE>
<P align=justify>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<FONT face=serif>5. Discuss with
management and legal counsel the status of pending litigation, taxation matters,
compliance policies and other areas of oversight applicable to the legal and
compliance area as may be appropriate.</FONT></P>
<P align=justify>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<FONT face=serif>6. Meet at least
annually with the chief financial officer and the independent auditors in
separate executive sessions.</FONT></P>
<P align=justify>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<FONT face=serif>7. Review all
analyses prepared by management and the independent auditors of significant
financial reporting issues and judgments made in connection with the preparation
of the Company&#146;s financial statements, including the effect of alternative
treatments of financial information within generally accepted accounting
principles (&#147;GAAP&#148;) on the Company&#146;s financial statements.</FONT></P>
<P align=justify>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<FONT face=serif>8. Review with
management and the independent auditors the effect of regulatory and accounting
initiatives, as well as off-balance sheet structures, on the Company&#146;s financial
statements.</FONT></P>
<P align=justify><FONT face=serif>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;9. Obtain from
the independent auditors assurance that Section 10A of the Private Securities
</FONT><FONT face=serif>Litigation Reform Act of 1995 has not been
implicated.</FONT></P>
<P align=justify>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<FONT face=serif>10. Discuss with
the independent auditors the matters required to be discussed by Statement on
Auditing Standards No. 61, as modified or amended, relating to the conduct of
the audit.</FONT></P>
<P align=justify><FONT face=serif>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<STRONG>B.
Review of Documents and Reports</STRONG></FONT></P>
<P align=justify>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<FONT face=serif>1. Review and
discuss with management and the independent auditors the Company&#146;s annual
audited financial statements and quarterly financial statements (including
disclosures under the section entitled &#147;Management&#146;s Discussion and Analysis of
Financial Condition and Results of Operations&#148;) prior to the release of these
statements. These discussions shall include consideration of the quality of the
Company&#146;s accounting principles as applied in its financial reporting, including
review of audit adjustments (whether or not recorded) and any such other
inquiries as may be appropriate. Based on this review and prior to filing the
Company&#146;s annual report on Form 10-K, the Committee shall make its
recommendation to the Board as to the inclusion of the Company&#146;s audited
consolidated financial statements in the Company&#146;s annual report on Form
10-K.</FONT></P>
<P align=justify>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<FONT face=serif>2. Review and
discuss with management and the independent auditors any financial reports or
other financial information submitted to investors, including any certification,
financial report, opinion or review rendered by the independent auditors.
Consider, as appropriate, whether the information contained in these documents
is consistent with the information contained in the financial statements and
whether the independent auditors and legal counsel are satisfied with the
disclosure and content of such documents.</FONT></P>
<P align=justify>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<FONT face=serif>3. Review and
discuss with management and as appropriate, with the independent auditors,
earnings press releases, if any, as well as financial information and earnings
guidance provided to investors and rating agencies, prior to their
release.</FONT></P>
<P align=justify>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<FONT face=serif>4. Review in
meetings with management any correspondence that raises material issues
regarding the Company&#146;s financial statements or accounting policies received
from, or sent to, regulators or government agencies and any employee complaints
or published reports.</FONT></P>
<P align=justify>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<FONT face=serif>5. Prepare the
report of the Committee required by the rules of the SEC to be included in the
Company&#146;s annual proxy statement.</FONT></P>
<P align=center><FONT face=serif size=2>A-3</FONT></P>
<HR align=center width="100%" noShade SIZE=2>
<PAGE>
<P align=justify><FONT face=serif>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<STRONG>C.
Independent Auditors Matters </STRONG></FONT></P>
<P align=justify>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<FONT face=serif>1. Interview and
retain the Company&#146;s independent auditors, considering the accounting firm&#146;s
independence and effectiveness and determine the engagement fees and other
compensation to be paid to the independent auditors.</FONT></P>
<P align=justify>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<FONT face=serif>2. Meet
separately with each of the independent auditors and the Company&#146;s financial
management to review the scope of the proposed external audit for the current
year.</FONT></P>
<P align=justify>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<FONT face=serif>3. Approve, in
advance of the work being performed, the scope of all audit and permissible
non-audit services of the independent auditors.</FONT></P>
<P align=justify>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<FONT face=serif>4. On an annual
basis, the Committee shall evaluate the independent auditors&#146; qualifications,
performance and independence. To assist in this undertaking, the Committee may
request information and consider (a) the independent auditors&#146; internal
quality-control procedures, (b) any material issues raised by the most recent
internal quality-control review, or peer review, of the accounting firm or by
any inquiry or investigations by governmental or professional authorities
(within the preceding five years) respecting one or more independent audits
carried out by the independent auditors, and any steps taken to deal with any
such issues and (c) all relationships the independent auditors have with the
Company and relevant third parties in order to determine the effect, if any, of
such relationships on the independent auditors&#146; independence. In making its
determination, the Committee shall consider not only auditing and other
traditional accounting functions performed by the independent auditors, but also
non-audit services performed or proposed to be performed.</FONT></P>
<P align=justify>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<FONT face=serif>5. The Committee
shall also consider whether the provision of any of these non-audit services is
compatible with the independence standards under the guidelines of the SEC and
other applicable authorities (including, if pertinent, the Public Company
Accounting Oversight Board).</FONT></P>
<P align=justify>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<FONT face=serif>6. Review on an
annual basis the experience and qualifications of the senior members of the
external audit team. Discuss the knowledge and experience of the independent
auditors and the senior members of the external audit team with respect to the
Company&#146;s industry. The Committee shall ensure the regular rotation of the lead
audit partner and audit review partner as required by law.</FONT></P>
<P align=justify><FONT face=serif>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;7. Review the
performance of the independent auditors and their continued retention as the
</FONT><FONT face=serif>Company&#146;s independent auditors.</FONT></P>
<P align=justify>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<FONT face=serif>8. Establish and
periodically review the Company&#146;s hiring policies relating to current or former
employees of the independent auditors.</FONT></P>
<P align=justify>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<FONT face=serif>9. Review with
the independent auditors any problems or difficulties the auditors may have
encountered and any &#147;management&#148; or &#147;internal control&#148; letter provided by the
independent auditors and the Company&#146;s response to that letter. Such review
should include:</FONT></P>
<P align=justify><FONT face=serif>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) any
difficulties encountered in the course of the audit work, including any
restrictions on the scope of activities or access to required information and
any disagreements with management; and</FONT></P>
<P align=justify><FONT face=serif>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) any
accounting adjustments that were proposed by the independent auditors that were
not agreed to by the Company.</FONT></P>
<P align=center><FONT face=serif size=2>A-4</FONT></P>
<HR align=center width="100%" noShade SIZE=2>
<PAGE>
<P align=justify>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<FONT face=serif>10. Communicate
with the independent auditors regarding (a) alternative treatments of financial
information consistent with GAAP, (b) critical accounting policies and practices
to be used in preparing the audit report and (c) such other matters as the SEC
and the Nasdaq Stock Market may direct by rule or regulation.</FONT></P>
<P align=justify>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<FONT face=serif>11. Periodically
consult with the independent auditors out of the presence of management about
internal controls and the fullness and accuracy of the organization&#146;s financial
statements.</FONT></P>
<P align=justify>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<FONT face=serif>12. Oversee the
relationship with the independent auditors by discussing with the independent
auditors the nature and rigor of the audit process, receiving and reviewing
audit reports and ensuring that the independent auditors have full access to the
Committee (and the Board) to report on any and all appropriate
matters.</FONT></P>
<P align=justify>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<FONT face=serif>13. Review with
the independent auditors prior to the audit the general planning, scope and
staffing of the audit.</FONT></P>
<P align=justify><FONT face=serif>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<STRONG>D. Audit
Control Matters</STRONG></FONT></P>
<P align=justify><FONT face=serif>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;1. Discuss with
management policies with respect to risk assessment and risk management.
</FONT><FONT face=serif>Although it is management&#146;s duty to assess and manage
the Company&#146;s exposure to risk, the Committee should discuss guidelines and
policies to govern the process by which risk assessment and management is
handled and review the steps management has taken to monitor and control the
Company&#146;s risk exposure.</FONT></P>
<P align=justify>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<FONT face=serif>2. Following
completion of the annual external audit, review separately with each of
management and the independent auditors any significant difficulties encountered
during the course of the audit, including any restrictions on the scope of work
or access to required information.</FONT></P>
<P align=justify>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<FONT face=serif>3. Review with
the independent auditors and management the extent to which changes or
improvements in financial or accounting practices have been implemented. This
review should be conducted at an appropriate time subsequent to implementation
of changes or improvements, as decided by the Committee.</FONT></P>
<P align=justify><FONT face=serif>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;4. Periodically
review and monitor compliance with the Company&#146;s code of conduct.</FONT></P>
<P align=justify>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<FONT face=serif>5. Maintain
procedures for receiving accounting complaints and concerns and anonymous
submissions from employees and others regarding questionable accounting,
internal controls or auditing matters.</FONT></P>
<P align=justify>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<FONT face=serif>6. Periodically
discuss with the chief executive officer and chief financial officer (a)
significant deficiencies in the design or operation of the internal controls
that could adversely affect the Company&#146;s ability to record, process, summarize
and report financial data and (b) any fraud that involves management or other
employees who have a significant role in the Company&#146;s internal
controls.</FONT></P>
<P align=justify><B><FONT face=serif>V. ANNUAL EVALUATION
PROCEDURES</FONT></B></P>
<P align=justify>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<FONT face=serif>The Committee
shall annually assess its own performance to confirm that it is meeting its
responsibilities under this Charter. In this review, the Committee shall
consider, among other things, (a) the appropriateness of the scope and content
of this Charter, (b) the appropriateness of matters presented for information
and approval, (c) the sufficiency of time for consideration of </FONT></P>
<P align=center><FONT face=serif size=2>A-5</FONT></P>
<HR align=center width="100%" noShade SIZE=2>
<PAGE>
<P align=justify><FONT face=serif>agenda items, (d) frequency and length of
meetings and (e) the quality of written materials and presentations. The
Committee may recommend to the Board such changes to this Charter as the
Committee deems appropriate.</FONT></P>
<P align=justify><B><FONT face=serif>VI. INVESTIGATIONS AND
STUDIES</FONT></B></P>
<P align=justify>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<FONT face=serif>The Committee
shall have the authority and sufficient funding to retain special legal,
accounting or other consultants (without seeking Board approval) to advise the
Committee. The Committee may conduct or authorize investigations into or studies
of matters within the Committee&#146;s scope of responsibilities as described herein,
and may retain, at the expense of the Company, independent counsel or other
consultants necessary to assist the Committee in any such investigations or
studies. The Committee shall have sole authority to negotiate and approve the
fees and retention terms of such independent counsel or other
consultants.</FONT></P>
<P align=justify><B><FONT face=serif>VII.MISCELLANEOUS</FONT></B></P>
<P align=justify>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<FONT face=serif>Nothing
contained in this Charter is intended to expand applicable standards of
liability under statutory or regulatory requirements for the directors of the
Company or members of the Committee. The purposes and responsibilities outlined
in this Charter are meant to serve as guidelines rather than as inflexible rules
and the Committee is encouraged to adopt such additional procedures and
standards as it deems necessary from time to time to fulfill its
responsibilities. It is not the duty of the Audit Committee to plan or conduct
audits or determine if the financial statements are complete in accordance with
GAAP nor is it its duty to conduct investigations or to assure compliance with
applicable laws and regulations and the Company&#146;s code of conduct. The Committee
shall not duplicate the work of the independent auditors in auditing the
Company&#146;s financial statements or the role of management in preparing these
financial statements. This Charter, and any amendments thereto, shall be
displayed on the Company&#146;s website and a printed copy of such shall be made
available to any shareholder of the Company who requests it.</FONT></P>
<P align=center><FONT face=serif size=2>A-6</FONT></P>
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<PAGE><BR>
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  <TR>
    <TD noWrap width="100%"><B><I>SIEBERT FINANCIAL CORP. <BR>c/o American
      Stock Transfer <BR>6201 15<SUP>th</SUP> Avenue <BR>Brooklyn, NY
      11219</I></B></TD></TR></TABLE>
<TABLE style="FONT-SIZE: 8pt; FLOAT: right; FONT-FAMILY: serif; BORDER-COLLAPSE: collapse; TEXT-ALIGN: justify" cellSpacing=0 cellPadding=0 width="45%" border=0>

  <TR vAlign=bottom>
    <TD width="100%"><B>VOTE BY MAIL</B></TD></TR>
  <TR vAlign=bottom>
    <TD width="100%">Mark, sign and date your proxy card and return it in the
      postage-paid envelope we have provided or return it to Seibert Financial
      Corp., c/o Broadridge, 51 Mercedes Way, Edgewood, NY
11717</TD></TR></TABLE></DIV><!-- MAIN Proxy card HERE --><BR clear=all>&nbsp;
<TABLE style="FONT-SIZE: 8pt; FONT-FAMILY: serif; BORDER-COLLAPSE: collapse" cellSpacing=0 cellPadding=0 width="100%" border=0>

  <TR vAlign=bottom>
    <TD style="BORDER-BOTTOM: #000000 1pt dashed" noWrap align=left width="71%">TO VOTE, MARK BLOCKS BELOW IN BLUE OR BLACK INK AS FOLLOWS:</TD>
    <TD style="BORDER-BOTTOM: #000000 1pt dashed" noWrap align=left width="1%">SIEBT1</TD>
    <TD style="BORDER-BOTTOM: #000000 1pt dashed" noWrap align=left width="1%"><DIV style="WIDTH: 30pt"></DIV></TD>
    <TD style="BORDER-BOTTOM: #000000 1pt dashed" noWrap align=right width="26%">KEEP THIS PORTION FOR YOUR RECORDS</TD></TR>
  <TR vAlign=bottom>
    <TD noWrap align=left width="73%" colSpan=3>&nbsp;</TD>
    <TD noWrap align=right width="26%">DETACH AND RETURN THIS PORTION
  ONLY</TD></TR>
  <TR>
    <TD style="FONT-SIZE: 8pt; FONT-FAMILY: serif" noWrap align=center width="99%" colSpan=4><B>THIS PROXY CARD IS VALID ONLY WHEN SIGNED AND
      DATED.</B></TD></TR></TABLE>
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  <TR vAlign=bottom>
    <TD noWrap width="100%" colSpan=7><B>SIEBERT FINANCIAL CORP.</B></TD></TR>
  <TR>
    <TD vAlign=top width="1%">&nbsp;</TD>
    <TD width="99%" colSpan=6></TD></TR>
  <TR vAlign=bottom>
    <TD vAlign=top noWrap width="1%"></TD>
    <TD vAlign=top noWrap width="2%">1. &nbsp; </TD>
    <TD vAlign=top noWrap width="97%" colSpan=5>ELECTION OF DIRECTORS</TD></TR>
  <TR>
    <TD vAlign=top noWrap width="1%"></TD>
    <TD noWrap width="2%"></TD>
    <TD noWrap width="97%" colSpan=5>&nbsp; </TD></TR>
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    <TD vAlign=top noWrap align=right width="1%"></TD>
    <TD noWrap align=right width="2%"></TD>
    <TD vAlign=top noWrap align=left width="1%"><STRONG>Nominees:</STRONG>&nbsp;&nbsp;&nbsp;&nbsp; </TD>
    <TD vAlign=top noWrap width="96%" colSpan=4>01)&nbsp;&nbsp;&nbsp;Muriel F.
      Siebert<BR>&nbsp;</TD></TR>
  <TR>
    <TD vAlign=top noWrap align=right width="1%">&nbsp;&nbsp;&nbsp;&nbsp; </TD>
    <TD noWrap align=right width="2%"></TD>
    <TD noWrap align=left width="1%"></TD>
    <TD noWrap width="42%">02)&nbsp;&nbsp;&nbsp;Patricia L.
Francy<BR>&nbsp;</TD>
    <TD noWrap width="1%">&nbsp; </TD>
    <TD noWrap width="43%"></TD>
    <TD noWrap width="10%"></TD></TR>
  <TR>
    <TD vAlign=top noWrap align=right width="1%"></TD>
    <TD noWrap align=right width="2%"></TD>
    <TD noWrap align=left width="1%"></TD>
    <TD noWrap width="42%">03)&nbsp;&nbsp;&nbsp;Leonard M. Leiman<BR>&nbsp;</TD>
    <TD noWrap width="1%"></TD>
    <TD noWrap width="43%">&nbsp;</TD>
    <TD noWrap width="10%"></TD></TR>
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    <TD vAlign=top noWrap align=right width="1%"></TD>
    <TD noWrap align=right width="2%"></TD>
    <TD noWrap align=left width="1%"></TD>
    <TD noWrap width="96%" colSpan=4>04)&nbsp;&nbsp;&nbsp;Jane H.
    Macon<BR>&nbsp;</TD></TR>
  <TR>
    <TD vAlign=top noWrap align=right width="1%"></TD>
    <TD noWrap align=right width="2%"></TD>
    <TD noWrap align=left width="1%"></TD>
    <TD noWrap width="96%" colSpan=4>05)&nbsp;&nbsp;&nbsp;Robert P.
      Mazzarella<BR>&nbsp;</TD></TR>
  <TR>
    <TD vAlign=top noWrap align=right width="1%"></TD>
    <TD noWrap align=right width="2%"></TD>
    <TD noWrap align=left width="1%"></TD>
    <TD noWrap width="96%" colSpan=4>06)&nbsp;&nbsp;&nbsp;Nancy S.
  Peterson</TD></TR>
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    <TD vAlign=top noWrap align=right width="1%"></TD>
    <TD noWrap align=right width="2%"></TD>
    <TD noWrap align=left width="1%"></TD>
    <TD noWrap width="96%" colSpan=4></TD></TR></TABLE>
<TABLE style="FONT-SIZE: 8pt; FLOAT: right; WIDTH: 59%; FONT-FAMILY: serif; BORDER-COLLAPSE: collapse; TEXT-ALIGN: justify" cellSpacing=0 cellPadding=0 width="100%" border=0>

  <TR style="FONT-SIZE: 6pt" vAlign=bottom>
    <TD vAlign=top noWrap align=center width="1%">&nbsp;</TD>
    <TD vAlign=top noWrap align=center width="1%"></TD>
    <TD vAlign=top noWrap align=center width="1%"></TD>
    <TD vAlign=top noWrap align=left width="1%"></TD>
    <TD vAlign=top width="75%"></TD>
    <TD vAlign=top width="17%">&nbsp;</TD>
    <TD vAlign=top width="1%"></TD>
    <TD vAlign=top width="2%"></TD></TR>
  <TR>
    <TD vAlign=top noWrap align=center width="1%">&nbsp;</TD>
    <TD vAlign=top noWrap align=center width="1%"></TD>
    <TD vAlign=top noWrap align=center width="1%"></TD>
    <TD vAlign=top noWrap align=left width="1%"></TD>
    <TD vAlign=top width="75%"></TD>
    <TD style="BORDER-RIGHT: #000000 2.25pt solid; BORDER-TOP: #000000 2.25pt solid" vAlign=top width="17%"></TD>
    <TD vAlign=top width="1%"></TD>
    <TD vAlign=top width="2%"></TD></TR>
  <TR vAlign=bottom>
    <TD style="PADDING-RIGHT: 4pt; PADDING-LEFT: 0pt; PADDING-BOTTOM: 0pt; PADDING-TOP: 0pt" vAlign=top noWrap align=center width="1%" rowSpan=2><STRONG>For<BR>All<BR>&nbsp;<BR></STRONG><FONT face=Wingdings size=2>o</FONT></TD>
    <TD style="PADDING-RIGHT: 4pt; PADDING-LEFT: 4pt; PADDING-BOTTOM: 0pt; PADDING-TOP: 0pt" vAlign=top noWrap align=center width="1%" rowSpan=2><STRONG>Withhold<BR>All<BR>&nbsp;<BR></STRONG><FONT face=Wingdings size=2>o</FONT></TD>
    <TD style="PADDING-RIGHT: 4pt; PADDING-LEFT: 4pt; PADDING-BOTTOM: 0pt; PADDING-TOP: 0pt" vAlign=top noWrap align=center width="1%" rowSpan=2><STRONG>For
      All<BR>Except<BR>&nbsp;<BR></STRONG><FONT face=Wingdings size=2>o</FONT></TD>
    <TD vAlign=top noWrap align=left width="1%" rowSpan=2>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;</TD>
    <TD vAlign=top width="75%" rowSpan=2><STRONG>To withhold authority to vote
      for any individual nominee(s), mark "For All Except" and write the name(s)
      of the nominee(s) for whom your vote is withheld on the line
      below.</STRONG></TD>
    <TD style="BORDER-RIGHT: #000000 2.25pt solid" vAlign=top noWrap width="17%">
      <DIV style="WIDTH: 20pt"></DIV></TD>
    <TD vAlign=top noWrap width="1%" rowSpan=2>&nbsp;&nbsp;&nbsp;&nbsp;</TD>
    <TD vAlign=top noWrap width="2%" rowSpan=2>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;
    </TD></TR>
  <TR>
    <TD vAlign=top noWrap width="17%">&nbsp;</TD></TR>
  <TR vAlign=bottom>
    <TD vAlign=bottom align=center width="1%"><FONT style="LINE-HEIGHT: 9pt" face=WINGDINGS size=2></FONT></TD>
    <TD vAlign=bottom align=center width="1%"><FONT style="LINE-HEIGHT: 9pt" face=WINGDINGS size=2><FONT face=Arial size=1></FONT></FONT></TD>
    <TD vAlign=bottom align=center width="1%"><FONT style="LINE-HEIGHT: 9pt" face=WINGDINGS size=2><FONT face=Arial size=1></FONT></FONT></TD>
    <TD align=left width="1%"></TD>
    <TD style="BORDER-BOTTOM: #000000 1pt solid" align=left width="75%">
      <P><BR>&nbsp;<BR>&nbsp;</P></TD>
    <TD align=left width="17%">&nbsp;</TD>
    <TD align=left width="1%"></TD>
    <TD align=left width="2%"></TD></TR></TABLE>
<TABLE style="FONT-SIZE: 8pt; FONT-FAMILY: serif; BORDER-COLLAPSE: collapse; TEXT-ALIGN: justify" cellSpacing=0 cellPadding=0 width="100%" border=0>

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    <TD width="99%" colSpan=6>&nbsp;</TD></TR>
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    <TD width="1%"></TD>
    <TD width="99%" colSpan=6>&nbsp;</TD></TR>
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    <TD noWrap width="1%">&nbsp;</TD>
    <TD vAlign=top noWrap width="1%">2.&nbsp;&nbsp; </TD>
    <TD vAlign=top width="92%">In their discretion on any other business which
      may properly come before the meeting or any adjournments thereof.</TD>
    <TD noWrap width="3%"></TD>
    <TD noWrap align=center width="1%"><FONT face=WINGDINGS size=2></FONT></TD>
    <TD noWrap align=center width="1%"><FONT face=WINGDINGS size=2></FONT></TD>
    <TD noWrap align=center width="1%"><FONT face=WINGDINGS size=2></FONT></TD></TR>
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    <TD width="1%"></TD>
    <TD width="99%" colSpan=6>&nbsp;<BR>&nbsp;</TD></TR>
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    <TD width="1%"></TD>
    <TD width="93%" colSpan=2><B>UNLESS OTHERWISE SPECIFIED IN THE SPACES
      PROVIDED, THE UNDERSIGNED'S VOTE WILL BE CAST FOR ALL NOMINEES LISTED IN
      ITEM (1).</B></TD>
    <TD noWrap width="3%">&nbsp;</TD>
    <TD noWrap width="1%">&nbsp;</TD>
    <TD noWrap width="1%">&nbsp;</TD>
    <TD noWrap width="1%">&nbsp;</TD></TR></TABLE>
<TABLE style="FONT-SIZE: 8pt; FONT-FAMILY: serif; BORDER-COLLAPSE: collapse; TEXT-ALIGN: justify" cellSpacing=0 cellPadding=0 width="100%" border=0>

  <TR>
    <TD noWrap align=left width="49%" colSpan=5>&nbsp;</TD>
    <TD noWrap align=left width="50%"></TD></TR>
  <TR>
    <TD noWrap align=left width="1%"></TD>
    <TD noWrap align=JUSTIFY width="43%" colSpan=3>For address changes, please
      check this box and write them on the back where
      indicated.&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; </TD>
    <TD vAlign=middle noWrap align=center width="5%"><FONT face=Wingdings size=2>o</FONT></TD>
    <TD noWrap align=left width="50%">&nbsp;</TD></TR>
  <TR>
    <TD noWrap align=left width="1%"></TD>
    <TD noWrap align=left width="34%">&nbsp;</TD>
    <TD noWrap align=center width="5%"></TD>
    <TD noWrap align=center width="4%"></TD>
    <TD noWrap align=center width="5%">&nbsp;</TD>
    <TD noWrap align=left width="50%"></TD></TR>
  <TR vAlign=bottom>
    <TD noWrap align=left width="1%">&nbsp;&nbsp;&nbsp;&nbsp; </TD>
    <TD noWrap align=left width="34%">&nbsp;</TD>
    <TD style="PADDING-RIGHT: 4pt; PADDING-LEFT: 4pt" noWrap align=center width="5%"><B></B></TD>
    <TD style="PADDING-RIGHT: 4pt; PADDING-LEFT: 4pt" noWrap align=center width="4%"><B></B></TD>
    <TD noWrap align=center width="5%"></TD>
    <TD noWrap align=left width="50%">&nbsp;</TD></TR>
  <TR vAlign=bottom>
    <TD noWrap align=left width="1%"></TD>
    <TD align=justify width="34%">Please indicate if you plan to attend this
      meeting.</TD>
    <TD noWrap align=center width="5%"><FONT style="LINE-HEIGHT: 9pt" face=WINGDINGS size=2>o</FONT></TD>
    <TD noWrap align=center width="4%"><FONT style="LINE-HEIGHT: 9pt" face=WINGDINGS size=2>o</FONT></TD>
    <TD noWrap align=center width="5%"></TD>
    <TD noWrap align=left width="50%"></TD></TR>
  <TR>
    <TD noWrap align=left width="1%"></TD>
    <TD width="34%"></TD>
    <TD noWrap align=center width="5%"><STRONG>Yes</STRONG></TD>
    <TD noWrap align=center width="4%"><STRONG>No</STRONG></TD>
    <TD noWrap align=center width="5%"></TD>
    <TD noWrap align=left width="50%"></TD></TR></TABLE>
<TABLE style="FONT-SIZE: 8pt; FONT-FAMILY: serif; BORDER-COLLAPSE: collapse; TEXT-ALIGN: justify" cellSpacing=0 cellPadding=0 width="100%" border=0>

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    <TD width="1%"></TD>
    <TD width="48%" colSpan=3>&nbsp;</TD>
    <TD noWrap width="1%"></TD>
    <TD width="49%" colSpan=3></TD></TR>
  <TR>
    <TD width="1%"></TD>
    <TD width="48%" colSpan=3>&nbsp;&nbsp;</TD>
    <TD noWrap width="1%"></TD>
    <TD width="49%" colSpan=3></TD></TR>
  <TR style="HEIGHT: 20pt">
    <TD width="1%">&nbsp;&nbsp;&nbsp;&nbsp;</TD>
    <TD style="BORDER-RIGHT: #000000 1pt solid; BORDER-TOP: #000000 1pt solid; PADDING-LEFT: 2.5in; BORDER-LEFT: #000000 1pt solid; BORDER-BOTTOM: #000000 1.25pt solid" width="1%"><BR></TD>
    <TD style="BORDER-RIGHT: #000000 1pt solid; BORDER-TOP: #000000 1pt solid; PADDING-LEFT: 0.5in; BORDER-LEFT: #000000 1pt solid; BORDER-BOTTOM: #000000 1.25pt solid" width="1%"></TD>
    <TD width="46%">&nbsp;</TD>
    <TD style="PADDING-LEFT: 2%" noWrap width="1%"></TD>
    <TD style="BORDER-RIGHT: #000000 1pt solid; BORDER-TOP: #000000 1pt solid; PADDING-LEFT: 2.5in; BORDER-LEFT: #000000 1pt solid; BORDER-BOTTOM: #000000 1.25pt solid" width="1%"></TD>
    <TD style="BORDER-RIGHT: #000000 1pt solid; BORDER-TOP: #000000 1pt solid; PADDING-LEFT: 0.5in; BORDER-LEFT: #000000 1pt solid; BORDER-BOTTOM: #000000 1.25pt solid" width="1%"></TD>
    <TD width="47%">&nbsp;</TD></TR>
  <TR>
    <TD width="1%"></TD>
    <TD width="1%">Signature [PLEASE SIGN WITHIN BOX]</TD>
    <TD width="1%">Date</TD>
    <TD width="46%"></TD>
    <TD noWrap width="1%"></TD>
    <TD width="1%">Signature (Joint Owners)</TD>
    <TD width="1%">Date</TD>
    <TD width="47%"></TD></TR></TABLE></DIV>
<P align=justify>
<HR align=center width="100%" noShade SIZE=2>
<PAGE>
<P align=center><B><FONT face=serif size=4><FONT face=serif size=2><FONT face=serif size=3>Please date, sign and mail your proxy card in
the</FONT></FONT> <BR><FONT face=serif size=2><FONT face=serif size=3>envelope
provided as soon as possible.</FONT></FONT></FONT></B></P>
<P align=center><B><FONT face=serif size=4><FONT face=serif size=2><FONT face=serif size=3>ANNUAL MEETING OF SHAREHOLDERS OF</FONT></FONT> <BR><FONT face=serif size=2><FONT face=serif size=3>SIEBERT FINANCIAL
CORP.</FONT></FONT></FONT></B></P>
<P align=center><B><FONT face=serif size=4><FONT face=serif size=2><FONT face=serif size=3>June 3, 2008</FONT></FONT></FONT></B></P>
<P align=center><STRONG><FONT size=4></FONT></STRONG>&nbsp;</P>
<P style="PADDING-LEFT: 14pt" align=left><B><FONT face=serif size=2>Important
Notice Regarding the Availability of Proxy Materials for the Annual
Meeting.</FONT></B> <FONT face=serif size=2>The Proxy Statement and Annual
Report are available at www.proxyvote.com.</FONT></P>
<P align=left><FONT face=Arial size=2></FONT>&nbsp;</P>
<DIV style="BORDER-RIGHT: black 3px solid; PADDING-RIGHT: 2%; BORDER-TOP: black 3px solid; PADDING-LEFT: 2%; BORDER-LEFT: black 3px solid; WIDTH: 100%; BORDER-BOTTOM: black 3px solid"><BR><BR>
<P style="FONT-SIZE: 8pt; FONT-FAMILY: Times,Serif" align=center><B><FONT face=serif size=3>SIEBERT FINANCIAL CORP.<BR></FONT><FONT face=serif size=2>PROXY FOR THE ANNUAL MEETING OF SHAREHOLDERS <BR>TO BE HELD JUNE 3,
2008</FONT></B></P>
<P style="FONT-SIZE: 8pt; FONT-FAMILY: Times,Serif" align=center><FONT face=serif size=2><B>THIS PROXY IS SOLICITED ON BEHALF OF THE BOARD OF
DIRECTORS<BR></B></FONT></P>
<P align=justify><FONT face=serif size=2>The undersigned hereby appoints Daniel
Iesu and Patricia L. Francy, and each of them, the proxies of the undersigned,
with power of substitution to each of them to vote all shares of Siebert
Financial Corp. which the undersigned is entitled to vote at the Annual Meeting
of Shareholders of Siebert Financial Corp. to be held Tuesday, June 3, 2008, at
10:00 A.M., eastern daylight time, and at any adjournments thereof.</FONT></P>
<P align=justify><B><FONT face=serif size=2>UNLESS OTHERWISE SPECIFIED IN THE
SPACES PROVIDED, THE UNDERSIGNED'S VOTE WILL BE CAST FOR ALL NOMINEES LISTED IN
ITEM (1).</FONT></B></P>
<TABLE cellSpacing=0 cellPadding=0 width="100%" border=0>

  <TR>
    <TD style="BORDER-RIGHT: #000000 1pt solid; BORDER-TOP: #000000 1pt solid; BORDER-LEFT: #000000 1pt solid" noWrap width="100%" colSpan=4>&nbsp;</TD></TR>
  <TR>
    <TD style="BORDER-LEFT: #000000 1pt solid" noWrap width="1%">&nbsp;</TD>
    <TD style="BORDER-TOP: #000000 1pt solid; BORDER-LEFT: #000000 1pt solid; BORDER-BOTTOM: #000000 1pt solid" vAlign=middle noWrap width="5%"><STRONG><FONT face=serif size=2><STRONG><FONT face=serif size=1><STRONG><STRONG>Address
      Changes:</STRONG></STRONG></FONT></STRONG></FONT></STRONG></TD>
    <TD style="BORDER-RIGHT: #000000 1pt solid; BORDER-TOP: #000000 1pt solid; BORDER-LEFT: #000000 1pt solid; BORDER-BOTTOM: #000000 1pt solid" vAlign=top noWrap width="93%"><FONT face=serif size=1>&nbsp;</FONT><BR><FONT face=serif size=1>&nbsp;</FONT></TD>
    <TD style="BORDER-RIGHT: #000000 1pt solid" noWrap width="1%">&nbsp;</TD></TR>
  <TR>
    <TD style="BORDER-LEFT: #000000 1pt solid" noWrap width="1%">&nbsp;&nbsp;&nbsp;&nbsp;</TD>
    <TD style="BORDER-LEFT: #000000 1pt solid; BORDER-BOTTOM: #000000 1pt solid" noWrap width="5%">&nbsp;</TD>
    <TD style="BORDER-RIGHT: #000000 1pt solid; BORDER-BOTTOM: #000000 1pt solid" noWrap width="93%"><FONT face=serif size=1>&nbsp;</FONT><BR><FONT face=serif size=1>&nbsp;</FONT></TD>
    <TD style="BORDER-RIGHT: #000000 1pt solid" noWrap width="1%">&nbsp;&nbsp;&nbsp;&nbsp;</TD></TR>
  <TR>
    <TD style="BORDER-LEFT: #000000 1pt solid" noWrap width="1%">&nbsp;</TD>
    <TD style="BORDER-LEFT: #000000 1pt solid; BORDER-BOTTOM: #000000 1pt solid" noWrap width="5%">&nbsp;</TD>
    <TD style="BORDER-RIGHT: #000000 1pt solid; BORDER-BOTTOM: #000000 1pt solid" noWrap width="93%"><FONT face=serif size=1>&nbsp;</FONT><BR><FONT face=serif size=1>&nbsp;</FONT></TD>
    <TD style="BORDER-RIGHT: #000000 1pt solid" noWrap width="1%">&nbsp;</TD></TR>
  <TR>
    <TD style="BORDER-RIGHT: #000000 1pt solid; BORDER-LEFT: #000000 1pt solid; BORDER-BOTTOM: #000000 1pt solid" noWrap width="100%" colSpan=4>&nbsp;</TD></TR></TABLE>
<DIV align=center><FONT face="times new roman" size=1><BR>(If you noted any
Address Changes above, please mark corresponding box on the reverse side.) <FONT face=serif size=3><BR>&nbsp;</FONT></FONT> <BR>
<TABLE cellSpacing=0 cellPadding=0 width="100%" border=0>

  <TR style="PADDING-RIGHT: 4pt; PADDING-LEFT: 4pt; PADDING-BOTTOM: 4pt; PADDING-TOP: 4pt">
    <TD style="BORDER-TOP: #000000 1pt solid" align=center width="15%"><FONT face=SERIF size=1><B></B></FONT></TD>
    <TD vAlign=bottom align=center width="70%">
      <P align=center><FONT face=serif><FONT face=serif size=3><B>(Continued and
      to be signed and dated on the reverse side</B></FONT>)</FONT></P></TD>
    <TD style="BORDER-TOP: #000000 1pt solid" align=center width="15%"><FONT face=SERIF size=1><B></B></FONT><B></B></TD></TR></TABLE></DIV>&nbsp;</DIV><BR>
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