Important information

Notice to certain U.S. taxpayers related to accounts held at UBS in Switzerland

As publicly reported, the Internal Revenue Service (“IRS”) served a “John Doe” summons on UBS AG (“UBS”) on July 21, 2008. The “John Doe” summons seeks certain records related to any U.S. taxpayer, who at any time during the years ended December 31, 2002 through December 31, 2007, had signature or other authority with respect to any financial account maintained at, monitored by, or managed through any office in Switzerland of UBS or its subsidiaries or affiliates and for which such U.S. taxpayer did not provide UBS with an IRS Form W-9. The “John Doe” summons relates to the tax periods for the years ended December 31, 2002 through December 31, 2007.

If you are a U.S. taxpayer described above, the records sought by the “John Doe” summons may be relevant to your tax liability. More than six months have now passed since the service of the “John Doe” summons and final resolution of UBS’s response to the summons remains subject to the terms of the settlement agreement announced on August 19, 2009. Accordingly, pursuant to 26 U.S.C. § 7609(e), the periods of limitations under 26 U.S.C. § 6501 (relating to assessment and collection) and 26 U.S.C. § 6531 (relating to criminal prosecution) have been suspended as of January 21, 2009, with respect to any U.S. taxpayer described above.

UBS also notes that the IRS has a longstanding voluntary disclosure practice to encourage U.S. taxpayers to bring themselves voluntarily into full compliance with the U.S. tax laws and, as part of this process, the IRS may offer substantial relief from otherwise applicable fines and penalties.

UBS recommends that you consult with a qualified U.S. tax lawyer or other qualified U.S. tax advisor regarding the consequences of the “John Doe” summons and about whether the IRS’s voluntary disclosure practice might be appropriate for you based on your particular circumstances.