Fund Description: iShares International Treasury Bond ETF, formerly iShares S&P/Citigroup International Treasury Bond Fund, is an exchange-traded index fund or Index ETF which is a separate investment portfolio of the iShares Trust, an open-end investment management company. INVESTMENT OBJECTIVE: The iShares International Treasury Bond ETF seeks investment results that correspond generally to the price and yield performance, before fees and expenses, of the S&P/Citigroup International Treasury Bond Index Ex US. INDEX DESCRIPTION: The S&P/Citigroup International Treasury Bond Index Ex US is a broad, diverse, market value-weighted index designed to measure the performance of bonds denominated in local currencies and issued by foreign governments in developed market countries outside the U.S. The index methodology is designed to balance the weighting of each country within the Index by limiting the weightings of countries with higher debt outstanding and reallocating this excess to countries with lower debt outstanding. As of May 31, 2009, the Index included securities issued by governments in the following 19 countries: Australia, Austria, Belgium, Canada, Denmark, Finland, France, Germany, Greece, Ireland, Italy, Japan, the Netherlands, Norway, Portugal, Spain, Sweden, Switzerland, and the United Kingdom. The Index includes bonds having a remaining maturity greater than one year. FUND STRATEGY: A passive or indexing approach is used to try to achieve the Fund's investment objective. Indexing may eliminate the chance that the Fund will substantially outperform the Index but also may reduce some of the risks of active management, such as poor security selection. Indexing seeks to achieve lower costs and better after-tax performance by keeping portfolio turnover low in comparison to actively managed investment companies. The Fund generally invests at least 80% of its assets in the securities of its Index or in depository receipts representing securities of the Index. However, the Fund may at times invest up to 20% of its assets in certain futures, options and swap contracts, cash and cash equivalents, including money market funds. not included in its Index, which is believed will help the Fund track its Index. For example, the Fund may invest in bonds not included in its Index in order to reflect various corporate actions such as mergers and other changes in its Index, such as reconstitutions, additions and deletions. Representative sampling is an indexing strategy that is used which involves investing in a representative sample of securities that collectively has an investment profile similar to the Index. The securities selected are expected to have, in the aggregate, investment characteristics based on factors such as market capitalization and industry weightings, fundamental characteristics, such as return variability and yield and liquidity measures similar to those of the Index. FUND MANAGEMENT: BlackRock Fund Advisors (BFA) serves as the investment adviser to the Fund.