iShares, Inc.
N-SAR filing dated 8/31/03
Attachment for Item 77E

The Company has reached a settlement in an action in the U.S. District Court for
the Northern  District of Illinois.  In the action, a company named Mopex,  Inc.
and a company  named  Realtimemutualfunds.com  alleged  that the  actions of the
Company  and  others  infringed  a patent  held by Mopex,  and that the  parties
engaged in a "conspiracy"  amongst themselves to infringe the patent. The patent
itself was found to be invalid in a related  action to which the Company was not
a party. In the settlement, the plaintiffs' claims and allegations are dismissed
with  prejudice,  and neither the Company nor any other  defendant  will pay any
compensation to the plaintiffs.