Dear Fellow Shareholders and Clients:

In 2003, Merrill Lynch proved that it could perform at an extraordinary level strategically, operationally and financially. We made a number of critical decisions two years ago that resulted in fundamental changes in the way we serve clients, approach the financial markets, manage our resources, work with each other and demand excellence from ourselves. The result has been transformational. Merrill Lynch is now a company with one of the most attractive profit margins in the industry, capable of creatively meeting the needs of clients and committed to disciplined growth and superior shareholder returns.