Mass Transit Administration Pension Plan (Plan):

The Plan is a single employer non-contributory plan, which covers all Mass Transit Administration (Administration) employees
covered by a collective bargaining agreement and all those management employees who were employed by the Baltimore Transit
Company. In addition, employees who enter the management group as a result of a transfer from a position covered by a collective
bargaining agreement maintain their participation. For the year ended June 30,2000, the Administrations covered and total payroll
was $102,923,000. The Plan is administered and funded in compliance with the collective bargaining agreements, which established
the Plan. Separate statements for the Plan are not issued.

Plan Description:

The Plan provides retirement (normal and early), death and disability benefits. Members may retire with full benefits at age 65
with five years of credited service or age 52 with 30 years of credited service. The annual normal retirement benefit is 1.3% of final
average compensation multiplied by credited service, with minimum and maximum benefit limitations. Participants are fully vested
after five years of credited service.

As of June 30,2000, membership in the Plan includes 1,032 retirees and beneficiaries currently receiving benefits, 337 terminated
members entitled to, but not yet receiving benefits and 2,547 current active members.

There were no investments in loans to or leases with parties related to the Plan. In addition, no investment in any one organization
constituted 5.0% or more of the net plan assets available for pension benefits.

Funding Policy:

The Administrations required contributions are based on actuarial valuations. The entry age normal cost method is the actuarial
cost method used to determine the employer's contribution rates and the actuarial accrued liability. All administrative costs of the
Plan are paid by the Plan.

Employer contributions to the Plan totaling $13,721,000 (13.3% of covered payroll) for fiscal year 2000 were made in accordance
with actuarially determined contribution requirements based on an actuarial valuation performed as of June 30,1999. This amount
consisted of $2,406,000 normal cost and $11,315,000 amortization of the actuarial accrued liability (2.3% and 11.0%, respectively,
of covered payroll).

The liquidation period for the actuarial accrued liabilities (as provided by law) is 19 years from June 30, 2000. Significant
actuarial assumptions used to compute contribution requirements are the same as those used to compute the annual pension cost
and net pension obligations.

The computation of the annual required contribution for fiscal year 2000 was based on the same actuarial assumptions, benefit
provisions, actuarial funding method, and other significant factors used to determine pension contribution requirements in the
previous year.

Annual Pension Cost and Net Pension Obligation:

The Administration's annual pension cost for the fiscal years ended June 30, 2000, 1999, and 1998 were $13,721,000,
$13,103,000 and $13,902,000, respectively.

The Administration contributed 100% of the annual pension cost for each of the fiscal years ended June 30,2000,1999 and
1998 for the Plan.

The Administration's net pension obligation was zero as of June 30,2000,1999 and 1998 for the Plan.

The fiscal year 2000 annual pension cost and net pension obligations were determined as a part of an actuarial valuation as of
June 30,2000. The significant actuarial assumptions listed below were used for the Plan.

Valuation method ................................................................................. Entry Age Normal Method

Cost method of valuing assets............................................................... Fair Value

Rate of return on investments............................................................... 8.00% Compounded per Annum

Projected inflation rate.......................................................................... 5%

Rate of salary increase........................................................................... 3.00% Compounded per Annum

Amortization method........................................................................... Level dollar annual installments

Remaining amortization period ........................................................... 19 years from July 1,2000

Status of period (Open or Closed)........................................................Closed

During fiscal year 2000, there were no changes in actuarial assumptions or benefit provisions from 1999 that significantly affected the
valuation of the annual pension cost and net pension obligation. No significant changes in these assumptions are planned in the near term.

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