T. Rowe Price Savings Bank Launches Innovative Smart Ladder CDs(SM)

Automatic Annual Renewal Maintains Laddering Among Five CDs

Aug 12, 2008, 01:00 ET from T. Rowe Price

    BALTIMORE, Aug. 12 /PRNewswire-FirstCall/ -- As part of its ongoing
 commitment to serving individual investors and simplifying their efforts to
 save and invest, T. Rowe Price Savings Bank has created Smart Ladder
 CDs(SM). By investing equally in five certificate of deposit accounts (CDs)
 -- with one-, two-, three-, four-, and five-year initial terms -- the Smart
 Ladder CDs offer the benefits of CD laddering in one product.
     The ladder is maintained on an ongoing basis by having each maturing CD
 automatically renew into a five-year term at its respective maturity date
 -- regardless of its original term. This approach is different than the
 traditional method of renewing a maturing CD into the same term.
     Interested individuals also need to fill out only one application, and
 they are eligible for jumbo and mini-jumbo interest rates based on their
 combined balances in the ladder and not the individual CD balances.
 Customers have the choice of receiving payments as often as monthly or
 leaving interest in the account to realize the benefits of compounding.
     "Laddering CDs has long been a popular strategy among investors seeking
 a higher yield while helping to maintain financial safety and flexibility,
 and as an effective means to improve their access to cash and help protect
 against interest rate fluctuations," noted Doug Thomas, executive vice
 president of T. Rowe Price Savings Bank. "We are pleased to be one of the
 first financial institutions to offer an automatically renewing CD ladder
 in one hassle-free product. The innovative, easy-maintenance structure of
 the Smart Ladder CDs adds an element of convenience, as well as potentially
 increasing a customer's return."
     The minimum deposit in Smart Ladder CDs is $25,000. Mini-jumbo rates
 are offered for deposits starting at $50,000 and jumbo rates are offered on
 deposits of $100,000 and over. T. Rowe Price Savings Bank is a member of
 the Federal Deposit Insurance Corporation (FDIC) and offers the security of
 FDIC insurance. For more information, please call 1-877-721-2142 or visit
     Founded in 1937, Baltimore-based T. Rowe Price Group (Nasdaq:   TROW) is
 a global investment management organization with $387.7 billion in assets
 as of June 30, 2008. In addition to banking services offered by its
 subsidiary T. Rowe Price Savings Bank, T. Rowe Price Group provides a broad
 array of mutual funds, subadvisory services, and separate account
 management for individual and institutional investors, retirement plans,
 and financial intermediaries through other subsidiaries, which also offer a
 variety of sophisticated investment planning and investment guidance tools.
 Its disciplined, risk-aware investment approach focuses on diversification,
 style consistency, and fundamental research. More information is available
 at http://www.troweprice.com.
     T. Rowe Price Savings Bank is a member of the FDIC. Other T. Rowe Price
 affiliates are separate legal entities and do not offer FDIC-insured

SOURCE T. Rowe Price