In re: Jensen, et al., v. iShares Trust, et al.,
CGC 16-552567

On June 16, 2016, Garth Jensen, Philip
Steele, Seth Hardy, Ray Moylan, Kenneth
Powaga, Cynthia Powaga, Roger Foster and
Robert Kachelek (the "Plaintiffs"), investors in
certain iShares funds (iShares Core S&P
Small-Cap ETF, iShares Russell 1000 Growth
ETF, iShares Core S&P 500 ETF, iShares
Russell Mid-Cap Growth ETF, iShares Russell
Mid-Cap ETF, iShares Russell Mid-Cap Value
ETF, iShares Select Dividend ETF, iShares
Morningstar Mid-Cap ETF, iShares
Morningstar Large-Cap ETF, iShares U.S.
Aerospace & Defense ETF and iShares U.S.
Preferred Stock ETF) filed a putative class
action lawsuit against iShares Trust,
BlackRock, Inc. and certain of its advisory
affiliates, and certain directors/trustees and
officers of the Funds (collectively,
"Defendants"). The lawsuit alleges the
Defendants violated federal securities laws by
failing to adequately disclose in the
prospectuses issued by the funds noted
above the risks of using stop-loss orders in
the event of a 'flash crash', such as the one
that occurred on May 6, 2010. The plaintiffs'
complaint was dismissed in December 2016
and on January 6, 2017, plaintiffs filed an
amended complaint. On April 27, 2017, the
court partially granted the defendants' motion
for judgment on the pleadings, dismissing
certain of the plaintiffs' claims. On September
18, 2017, the Court issued a Statement of
Decision holding that the Plaintiffs lack
standing to assert their claims. On October
11, 2017, the Court entered final judgment
dismissing all of the Plaintiffs' claims with
prejudice. On December 1, 2017, the Plaintiffs
appealed the Court's decision.