Frank Hoover Easterbrook

Vanguard Retirement Portfolio (mutual fund: blocked access) — Int/Div — Part

JPMorgan Chase Bank (checking account) — Interest

Senior Lecturer, University of Chicago

Gift — Union League Club of Chicago — Signing privileges (see Part VIII)

Reimbursement — Univensty of Pennsylvania — January 21-23, 2009 — Philadelphia, PA — Moot Court Competition — Transportation, meals, lodging

Reimbursement — Berkeley Law School — April 12-14, 2009 — Berkeley, CA — Endowed Lecture in Law & Economics — Transportation, meals, lodging

Reimbursement — The Federalist Society — November 12-14 2009 — Washington, D.C — Nat'l Lawyers Convention — Transportation, meals, lodging

Income — University of Chicago - Salary (see Part VIII) — $25.365.00

Income — 2 — Harvard University Press - royalty — $398.83

Income — 3 — Thomson (West Publishing) - royalty — $390.97

1. (Part II): I have received the approval of the Judicial Council of the Seventh

Circuit to teach at the University of Chicago. This income therefore is “outside

earned income” rather than an “honorarium” within the meaning of the Ethics

Reform Act of 1989. I accepted gross income exceedin

the statutory cap (15% of

Level Il of the Executive Schedule) because, under §3(

3)

of the regulations of the

Judicial Conference implementing this statute, “outside earned income” includes

only net taxable income, and therefore excludes pension contributions as well as

the “ordinary and necessary expenses paid or incurred in producing this

income.” Some of the income reported in Part III was contributed to a pension

plan through the University of Chicago as part of a salary reduction plan and

therefore does not count for statutory purposes. Moreover, the ordinary and

necessary expenses of producing the income—including the cost of commuting

between the courthouse and the Law School, fees for parking at the University,

and the expenses of equipment and books for my Law School office—are

substantial. Net taxable income is less than the statutory maximum.

2. (Part V) The Union League Club extends to federa

udges the privileges of the

Club's facilities without formal membership. During

J

009 it charged $7.

per month for these privileges. (All meals and other services are paid for at the

same price as members). The Committee on Codes of Conduct has concluded

(Opinion 2071) that these privileges do not entail a gift element.

3. (Part VII): Dividends and capital gain distributions from the mutual funds

marked “See Part VIII” are reinvested automaticall

monthly. Shares were

purchased and sold in the Vanguard Prime Money

M

arket Fund occasionally. I

treat this as a checking account, and as in past years I do not report these flows

(as opposed to year-end balances). Shares of value code J were sold in the

Vanguard High-Yield Tax Exempt Fund; no other transactions in these funds

occurred during 2009.

4. (Part VII): While I was emplo

ed full-time by the University of Chicago

preceding my appointment to t

h

e court, and again since 1992, pension

contributions under a defined contribution

lan were made on my behalf. TIAA-

CREF holds the funds contributed before 1

%

8

3 (value code N). Pension

contributions since 1983, and supplemental retirement annuity contributions

since 1982, are held by the Vanguard Group, which also holds pension

contributions made on my behalf during 1981-84 by Lexecon

c., plus

IRA contributions during that period. “Vanguard Retirement Portfolio” is an

umbrella designation for these assets. Access to all funds in the Vanguard

Retirement Portfolio is blocked until I reach retirement age. Vanguard invests

these monies in four of its funds: Vanguard Money Market Reserves Prime

Portfolio; Vanguard Fixed Income Securities Fund Long-Term Corporate;

Vanguard Fixed Income Securities Fund High-Yield Corporate; and Vanguard

International Value Portfolio. Investments within the Vanguard Retirement

Portfolio may change from time to time, but only from one mutual fund to

desirable.

another (never to stock in an individual firm), making a consolidated listing