In keeping with our policy to inform our friends of the Lauren Catuzzi Grandcolas Foundation activities and on behalf of the Board of Directors, I'm pleased to summarize out activities for the year 2006.

Two scholarships were presented to high school senior girls in New Jersey and Texas this year, bringing the total to twelve girls who have been honored by the Foundation since 2002. The accomplishments, maturity and goals of these young women are amazing and assisting them to pursue their goals is a positive and rewarding experience. Exhibiting their wonderful individuality, the girls have chosen to attend eleven different colleges and universities across the country.

Our promise to support women and children continues with another gift to Texas Children's Hospital's new Women's Center, which is still in the planning stages. The Center is an exciting and logical step forward for the case of women and their newborns.

Lauren's book, You Can Do It, which focuses on women's self-esteem was published in 2005 and has been more successful than we imagined. The book has sold over 80,000 copies. Lauren would have been very proud that the book has drawn the attention of women of varied ages, and the messages sent to us from readers have been heartwarming, humorous, exciting, surprising and thoughtful. Chronicle Books, our publishers, have been great partners and have met recently with Girl Scout representatives Delphia Duckens of New York City to discuss a possible collaboration.

We are waiting patiently for the completion of Lauren's Garden, which will be next to and around the Foley and Cohen houses on the Avenue of the Americas in Houston. In order to begin construction of the Garden, the renovation of these houses must be completed. Board member Eileen Hricik reported that this project is very slow moving, but is excited that a grant of two million dollars is in the approval process. The finalization of this grant could take another two years.

Our contributions for scholarships, hospitals, women's center, the Girl Scouts and a special one this year to the National Memorial of Flight 93 (in Shanksville, Pennsylvania) have all been accomplished through contributions and with the assistance of family, friends and volunteers. The Foundation continues the goal of giving 100% of its funds to benefit others since services have been provided to us pro bono.

We of course again thankfully appreciate Andrews Kurth LLP and the Bank of Texas, our respective legal counsel and trustee bank, for the endless assistance provided through the years.

Sincerely, Barbara Catuzzi, Chairman Lauren Catuzzi Grandcolas Foundation

Contributions can be made to:

Lauren Catuzzi Grandcolas Foundation
c/o Andrews & Kurth L.L.P.
600 Travis, Suite 4200 Houston, Texas 77002