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Portfolio Manager: Dave Dusenbury, CFA

First Quarter 2008 Update

Assets: $497 MM

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GIPS DISCLOSURE

EXPLANATION OF PERFORMANCE

The DGHM Micro Cap Value composite is an actively managed, diversified portfolio of the equity securities of primarily U.S. based value companies at the microcap end of the market capitalization spectrum, currently defined as companies between $75 and $350 million. The Micro Cap Value composite was created in 1990. Dalton, Greiner, Hartman, Maher & Co., LLC (“DGHM”) has prepared and presented this report in compliance with the Global Investment Performance Standards (GIPS®). Effective January 1, 1993, DGHM’s returns are GIPS compliant. The currency used to express performance is U.S. dollars.

I. GIPS COMPLIANCE REQUIREMENTS:

1. DGHM is an autonomous investment advisory firm organized as a Limited Liability Company (LLC). DGHM is 80% owned by Boston Private Financial Holdings, Inc., a bank holding company focusing on wealth management through private banking and investment services, and 20% owned by the following DGHM professionals; Tim Dalton, Ken Greiner, Bruce Geller, Jeffrey Baker, Peter Gulli, Adriano Almeida, David Dusenbury, Joshua Waltuch, Barbara Kirby, Thomas Gibson, Dolores Casaletto, Kate Schwartz, and Erika Donalds. The Firm is registered with the Securities and Exchange Commission, which oversees its investment management activities.

2. Portfolio valuations are based on market values.

3. Performance is calculated using total return. Performance includes the reinvestment of dividends and other earnings.

4. DGHM uses accrual accounting.

5. Rates of Return are time-weighted, with valuation on a daily basis with geometric linking of period returns.

6. All cash and cash equivalents, and fixed income securities, if any, are included in the total return of the composite.

7. All fee-paying, discretionary portfolios are includes in at least one composite.

8. Performance is actual performance and does not include simulated or model portfolios. All actual, fee paying discretionary accounts are included in at least one composite.

9. Individual portfolios are valued on a daily basis. Composite returns are calculated by asset weighting individual portfolio returns using beginning-of-day values. The daily composite returns are then geometrically linked.

10. DGHM adds new fully discretionary portfolios to the composite at the first full month under management.

11. DGHM excludes terminated portfolios from the composite after the last full month they were under management.

12. DGHM does not restate the performance results of a composite following any changes to the firm’s organization.

13. Performance is not portable.

14. DGHM’s gross and net performance is reported after the deduction of brokerage and other transactions fees. Net performance is reported after the deduction of the highest management fee charged by DGHM for this product. Custodial fees are not deducted. Management fees are more fully described in Part II of Form ADV which is available upon request.

15. DGHM presents performance from inception, which is in excess of the required 10 years.

II. MANDATORY DISCLOSURES:

1. A complete list and description of the DGHM’s composites are available upon request.

2. The amount of assets in a composite (in $MM), the number of portfolios, the percentage of the firm’s total assets the composite represents and DGHM’s composite dispersion for the respective periods, expressed in terms of standard deviation.

Period	Gross Return	Russell 2000 Value Index	Net Return	Assets Under Management ($mm)	# of Portfolios	% of Total Assets	% of Non-Fee- Paying Portfolios	Composite Dispersion
1Q08	-10.3%	-6.5%	-10.7%	$483	25	35%	3%	N/A
2007	-2.5%	-9.8%	-3.8%	$538	25	40%	3%	1.3%
2006	17.3%	23.5%	16.1%	$692	30	34%	2%	1.0%
2005	13.5%	4.7%	12.2%	$699	26	23%	2%	0.7%
2004	28.1%	22.2%	26.6%	$587	22	19%	2%	0.9%
2003	31.6%	46.0%	30.0%	$474	19	17%	2%	0.7%
2002	-6.9%	-11.4%	-8.1%	$376	19	19%	2%	0.6%
2001	30.1%	14.0%	28.5%	$388	13	21%	2%	0.9%
2000	16.9%	22.8%	15.5%	$359	13	32%	2%	0.7%
1999	11.5%	-1.5%	10.1%	$336	11	47%	2%	0.5%
1998	-6.3%	-6.4%	-7.5%	$297	10	31%	2%	0.2%
1997	45.1%	31.8%	43.5%	$305	6	24%	2%	0.2%
1996	34.2%	21.4%	32.7%	$209	5	14%	0%	0.6%
1995	13.6%	25.7%	12.2%	$169	6	7%	0%	1.1%
1994	2.2%	-1.6%	1.0%	$62	3	2%	0%	N/A
1993	21.8%	23.8%	20.4%	$55	1	2%	0%	N/A

3. DGHM’s composite does not include balanced portfolio segments.

4. DGHM has chosen to present performance gross of management fees. DGHM’s standard fee schedule for this product is 1.25%. For more information on fee schedules, please see DGHM’s Form ADV, Part II. Actual returns will be reduced by investment advisory fees and other expenses that may be incurred in the management of the account. The collection of fees produces a compounding effect on the total rate of return net of management fees. As an example, the effect of investment management fees on the total value of a client’s portfolio assuming (a) quarterly fee assessment, (b) $1,000,000 investment, (c) portfolio return of 8% a year, and (d) 1.25% annual investment advisory fee would be $13,057 in the first year, and cumulative effects of $74,572 over five years and $177,494 over ten years.

5. There is no minimum asset size for inclusion in the composite.

6. DGHM uses trade date valuation.

7. Performance does not include accounts that permit the use of leverage.

8. Performance does not include any non-fee paying portfolios.

9. Performance results are pre-tax.

10. DGHM is an investment manager that invests primarily in U.S. based equities.

III. MANDATORY HISTORICAL DISCLOSURES:

1. All periods through March 31, 2008, since DGHM began managing assets in this style, are in compliance.

IV. PERFORMANCE DISCLOSURES:

1. Past performance is no guarantee of future results. No assurance can be given that an investor will not lose invested capital. The performance data presented in this report represent the quarter-to-quarter and annual Total Return of an investment in the applicable DGHM portfolio and describe results for the indicated portfolio ONLY for the full period reported; results for specific separately managed accounts may vary due to the cash flows and timing of (a) investment made or withdrawn by the respective account and (b) fees paid to DGHM in accordance with applicable fee agreements between said investor(s) and DGHM.

2. DGHM – Gross returns do not reflect the payment of investment management fees.

3. DGHM composite returns do not reflect deduction of expenses for custodial fees.

4. This report is for informational purposes only and does not constitute an offering of securities unless accompanied by the DGHM Form ADV and/or Investment Management Agreement as the case may be for Separate Accounts. These documents may be amended from time to time.

5. The summary of performance stated herein is internally prepared and results are unaudited.

6. An investment in this product is suitable only for qualified individuals that fully understand the risks of such a portfolio. An investor should review thoroughly the Investment Management Agreement.

V. INDEX DESCRIPTIONS:

The Russell 2000 Value Index measures the performance of those Russell 2000* companies with lower price-to-book ratios and lower forecasted growth values. The Russell Microcap Index is composed of the 1,000 smallest companies in the Russell 2,000* plus the next 1,000 smallest companies. Both indices are non-managed and do not accrue advisory or transactional expenses. Index performance data is sourced from Interactive Data Corporation.

* The Russell 2000 Index is composed of the 2,000 smallest companies in the Russell 3000 index (the 3,000 largest U.S. companies based on total market capitalization).