Thank you very much for your message on August 9, 2017.  We at CalPERS are always appreciative of the opportunity to discuss  important human rights issues.

CalPERS’ Governance & Sustainability Principles make specific reference to our support  for universal human rights (in section 16) where we state that

"Boards should be accountable for companies to develop and implement company policies, procedures, training and internal reporting structures to ensure commitment to (inter alia)…..Universal Human Rights: (Specifically to) express our support for universal human rights, particularly, those of our employees, the communities with which we operate, and parties with whom we do business.”

As commingled fund investors with the Blackstone Group, CalPERS is not in possession of confirmatory information from the Blackstone Group as to whether they are or are not engaged in discussions to purchase a portion of NSO Group.  We are able to tell you affirmatively that based on your correspondence directed to us on August 9, 2017, we engaged the Blackstone Group to remind them of the importance we at CalPERS attach to the above Governance & Sustainability Principles, as well as reminded them that our investment beliefs incorporate responsible human capital management practices.  This message was received and acknowledged in a very positive manner by the Blackstone Group.

We appreciate you bringing this issue to our attention and encourage you to continue to engage the Blackstone Group directly with your concerns regarding the NSO Group.

We thank you for the opportunity to respond to your concerns.