GREGORY EARLS PREPARES TO ISSUE SOCIAL IMPACT BONDS PRESS RELEASE NEW YORK FEBRUARY 20, 2014 New York: Gregory Earls plans to form a 501 3(C) (Not-For-Profit) that he calls Fresh Start (FS). FS will seek to dramatically reduce the recidivism rate (the frequency that convicted felons re-offend) on a national basis. FS will work closely with and guide newly released federal inmates in planning and executing a Release Plan that insures that they renew their lives effectively and do not return to prison. The FS Plan will include an intense orientation program that includes job skills training, educational opportunities, employment counseling, family reunification guidance, and other transition needs. To fund this national effort FS will not seek nor expect any tax dollars or government subsidies but instead will issue what Earls calls Reformation Bonds. FS will issue what are more commonly called Social Impact Bonds. FS will undertake its programs to reduce the recidivism rate with no burden to the Bureau of Prisons or the Department of Justice. Earls will seek to have philanthropists and investors purchase the bonds. FS plans to issue $100 M in Zero Coupon Bonds. To repay the bonds and to replenish the FS operations the company will ask the Department of Justice to remit 50% of the budget savings that accrue as a result of the reduction of the recidivism rate. If there is no decrease in the rate that released inmates re-offend then no reimbursement is due and payable. Earls plans to launch Fresh Start this summer.