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 and Income Securities 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. The appeal was fully briefed on
January 18, 2019, and a hearing on Plaintiffs'
appeal has been scheduled for October 22,
2019.