COIN FACTS FOR INVESTORS AND COLLECTORSTO CONSIDER

ABOUT GOLDLINE

Goldline International, Inc. assists investors and collectors with a full range of rare coins, rare currency, and precious metals. We also provide free information to help collectors and investors choose their acquisitions. Among other things, we exclusively produce and sponsor The American Advisor radio show which is broadcast weekdays throughout the United States and streamed on our website at -->www.goldline.com -->. Our website contains helpful information such as precious metal spot prices, charts and coin information for our more popular bullion and rare coin products.
Goldline traces its corporate history to 1960. We are proud to have continuously served collectors and investors for nearly 50 years. We consider ourselves "market makers," offering to buy and sell a wide variety of precious metals and rare coins on a daily basis.
When acquiring products from Goldline, clients have the option of either taking prompt delivery or storing their acquisitions with a third party storage facility (some restrictions may apply).
We also offer an accumulation program that enables clients to acquire coins or precious metals on a regular monthly program. The accumulation program allows you to decide the dollar amount ($100/month minimum) of your monthly acquisition. It is convenient and puts the power of dollar cost averaging to work for you.
We are proud of our staff. They include numismatists, editorial and pricing consultants and public speakers discussing the benefits of owning rare coins and precious metals.
With a strong financial footing, Goldline has prospered through recessions as well as booms. Goldline's financial statements are audited annually by an internationally recognized independent certified public accounting firm.
We are a recognized leader in the rare coin industry and pride ourselves on excellent service and personalized attention to our clients. Goldline's Director of Business Affairs is your personal concierge and is available to answer any questions you may have. You can reach our Director of Business Affairs at .
We offer rare coins and currency which are fully guaranteed for authenticity and quality. Goldline provides a seven (7) day unconditional money back refund privilege on your first transaction for certified rare coins, precious metals and rare currency purchased from our company. (See our "Refund Policy" and our Account and Storage Agreement for details). We maintain a large inventory of rare and bullion coins which enables us to provide our clients with prompt delivery.
We are proud of our reputation in the coin community. We invite you to check our credentials and our reputation. Conduct your due diligence before you acquire rare coins, bullion and rare currency from any firm. Please also review Goldline's Account and Storage Agreement which provides additional important information. We are confident that Goldline International, Inc. will be your choice for rare coins, precious metals and rare currency.

FACTS, RISKS AND POLICIES COLLECTORS AND INVESTORS SHOULD KNOW

DIVERSIFICATION: We recommend that rare coins and bullion be part of a diversified investment portfolio. We believe that coins and bullion are appropriate for 5% to 20% of a portfolio. (If you choose to invest more than this recommended amount, you should first consult your independent financial advisor before proceeding with your acquisitions.) Certain individuals or organizations may recommend a different percentage.

HOLDING PERIOD: If you are purchasing coins, bullion or rare currency for investment purposes, they should be considered a long-term investment. We believe that rare coins and currency should be held for at least 3 to 5 years and, preferably, 5 to 10 years to maximize your potential for gains. Any specific holding period may be affected by current market conditions which may require a longer or shorter holding period.

IRA ACCOUNTS: Goldline may refer clients to companies that provide trustee and custodian services for Individual Retirement Accounts ("IRA"). Goldline is independent from and not affiliated with any of these IRA companies. The client is responsible for independently selecting the IRA company suitable for the client. Goldline does not share or assume responsibility for any loss or damage resulting from a client's relationship with the IRA company. Only certain coins may be held in a precious metals IRA. Many clients choose to purchase proof U.S. coins for their IRAs. You should know that proof coins carry numismatic or rare coin spreads. See "Our Prices" section for more details. Tax laws are complex and may change at any time. You should consult with your tax advisor about whether including precious metals in your IRA is right for you.

LIQUIDATION/BUY-BACK POLICY: When you decide to sell your coins or currency, we appreciate the opportunity to purchase them at our current bid/buy price. Although you are free to sell to other coin dealers by private treaty or at auction through one of the many rare coin auction houses, we believe that you will receive a higher net amount by selling to us because we are familiar with the quality and marketability of the items we sell, and do not charge any additional fees or commissions other than the 1% liquidation fee when making such purchases. Depending upon market conditions and your original purchase price, you may receive less than what you paid for the coins and currency.
The law prohibits us from guaranteeing to repurchase the coins we sell, although we have always made buy-sell markets in bullion and rare coins we offer. Therefore, our buy-back policy is not a guarantee and is subject to change without notice. We post our price indications on bullion and bullion coins on weekdays and will quote them upon request. You can check our website at -->www.goldline.com --> for current price indications. On bullion, semi-numismatic and rare coins and rare currency, it is our policy to offer to repurchase coins sold by us at the then current bid/buy price. A lower bid price is generally offered for products not originally sold by Goldline. While our company is not obligated to do so, we continue to make a market for the coins we sell, have historically done so, and intend to continue to do so in the future.
Please see the section entitled "Liquidity" for more information regarding the sale of precious metals, rare coins and rare currency.

DELIVERY: All packages shipped to our clients are insured (shipments of less than $1,000 are self-insured by Goldline). Your acquisitions will be delivered within 28 days of payment of good funds (unless your State requires a different delivery period). If a shipment is lost or damaged, at Goldline's option, we will either replace the items or refund your purchase price. Please inspect the shipment thoroughly upon receipt to ensure you have received your order and that the items track the description on your delivery invoice. Any variance from your order must be reported within (5) days of receipt of your shipment and you must have all original packing materials intact.

STORAGE: Goldline stores client holdings in a depository of its choice and may change depositories without prior notice. Goldline may co-mingle your holdings with those of other clients and acknowledges that you own a specific, but undivided interest in such holdings to the extent of the quantity and type you have purchased. A fee is charged for storage. Details and limitations can be found in Goldline's Account and Storage Agreement.

CREDIT CARD PURCHASES: Goldline accepts payment by credit cards for some products as a convenience to its clients. However, we do not recommend that you go into credit card debt to make a purchase with Goldline.

RISK: All investments involve risk - coins, currency and bullion are no exception. The precious metals, rare coin and rare currency markets are speculative, unregulated and volatile and prices for these items may rise or fall over time. Goldline does not guarantee that any client buying for investment purposes will be able to sell for a profit in the future.
The value of a bullion coin (e.g., Canadian Maple Leaf or South African Krugerrand gold coin) is largely determined by the current spot or market price of bullion. This price fluctuates throughout the trading day.
The value of a numismatic or rare coin is determined by multiple factors which can and do fluctuate independently from bullion prices. These factors include: the perceived scarcity of the coin, its quality, current demand, market sentiment, and economic factors.
Bullion, rare coins and rare currency can go down as well as up in value. These items may not be suitable for everyone. Goldline does not determine the suitability of any specific person to purchase rare coins, bullion or rare currency. You should consult with your independent financial advisor regarding whether an investment in rare coins, bullion or rare currency is right for you. You should not acquire any products from Goldline if you are not competent or qualified to make your own financial decisions. You should obtain a thorough understanding of the coin and bullion products before you acquire these products as a collector or investor.
The investment value of a rare coin depends in large part on the price you pay. If you are acquiring any of Goldline's products as an investment, you should evaluate its current market value, potential for appreciation and liquidity and consult independent sources regarding these factors.
Since rare coins, bullion and rare currency can decline in value, you should have adequate cash reserves and disposable income before considering acquiring a coin, currency or precious metals.
We do not recommend early withdrawal from accounts or securities which may result in substantial penalties or fees. You should consult with your independent financial advisor before disposing of any security, annuity, Certificate of Deposit or other investment to acquire rare coins, currency or bullion.
Goldline is not responsible for any changes in tax laws or other statutes which may affect any profit or salability of your coins or currency.

OUR PRICES: Our prices are set internally based upon our analysis of a variety of factors and are not necessarily tied to the prices quoted by any other organization. The prices charged by Goldline for coins are subject to change based on market conditions. Our total profit before operating expenses may be more or less than our spread based on various factors including, but not limited to: quantity purchasing, favorable or unfavorable purchases, and positive and negative market conditions. Goldline acts as a principal, not as a broker, and generally owns the coins and precious metals it buys and sells.
There is a price differential or "spread" between our selling price (the "ask" price) and our buy-back price (the "bid" price). This is often referred to as a "transaction cost."
A typical spread on our most common bullion coins (e.g. Canadian Maple Leaf or South African Krugerrand gold coins) may range from approximately 5% to 20% depending on the coin though spreads may increase based upon market conditions, availability and demand. Our spread on semi-numismatic coins, rare or numismatic coins and rare currency currently ranges from 30% to 35%. Examples of coins which have a 30% to 35% spread include European gold coins such as the Swiss 20 Franc, the PCGS certified "First Strike" coins, coins which have been encapsulated by a grading service such as PCGS or NGC, the Morgan and Peace silver dollars in all grades, and the Walking Liberty, Franklin and Kennedy silver half-dollars in all grades. Spreads may change based upon market conditions, availability and demand.
With the exception of the most common 1 oz. bullion coins, Goldline charges clients its numismatic spread, which currently ranges from 30% to 35%, on coins and currency. To earn a profit upon resale to us, your coins, currency or bullion must appreciate sufficiently to overcome this price differential.
To illustrate how this spread works, consider the following example. If the spread on a coin is 35% and Goldline's ask/sell price is $500 for the coin, then Goldline's bid/buy price is $325. Your coin must appreciate more than $175 to earn a profit. If you choose to sell your coin back to Goldline, you must also pay a 1% liquidation fee (the minimum liquidation fee is $15). Purchases of less than $1,500 are subject to a small lot fee of $15.

BULLION PURCHASES: Bullion, including bars, rounds and coins, may only be acquired with bank wire, cashier's check or personal checks (dollar limits may apply to certain payment options). Goldline will only provide a firm price for your purchase upon receipt and verification of funds and receipt of a signed Account and Storage Agreement. Prior to confirmation of your purchase, a Goldline representative may discuss other products which carry a higher spread such as the European gold francs or Morgan and Peace silver dollars. See "Our Prices" for more information on the spreads for different products.

EXCHANGE TRANSACTIONS: Goldline does not recommend exchanging rare coins and/or currency (trading one coin or currency for another) unless you fully understand the costs involved in the buy and the sell transactions. Among other things you should consider the spread for each item involved in any exchange transaction since you must overcome both spreads before you make a profit. We believe no one can tell with certainty that one product is going to outperform another. You should independently decide whether this type of transaction is appropriate for you.

REFUND POLICY: For your protection and convenience, Goldline provides clients with the right to a refund on their first transaction for coins and currency without any reason whatsoever (this refund policy does not apply to bullion purchases.) To receive a refund, the client must notify Goldline of his or her cancellation of their first transaction within seven (7) calendar days from the date the written trade confirmation is mailed to the customer (based upon the postmark) or delivered to a third-party carrier such as FedEx. Notice must be in writing via U.S. Mail, facsimile, or email and sent no later than the last day of the refund period as determined by the post-mark if mailed, date of fax transmission if faxed, or date of email as set forth in the email header. All other transactions are final upon taped confirmation by a Goldline representative and are not subject to cancellation. (Your State may have additional refund and cancellation rules which supersede Goldline's refund policy, above; please consult Goldline's Account and Storage Agreement as well as the terms and conditions set forth on the back of your trade confirmation for specific rules which may apply to your purchase.)
If you do not pay for your order and do not have a right to cancel, Goldline may at its option liquidate a portion of your stored holdings and apply the proceeds to your unpaid order in accordance with Goldline's Account and Storage Agreement. In addition, Goldline may place your account in bad standing which means Goldline may not repurchase your coins or currency.

ACCOUNT EXECUTIVES: The Account Executives at Goldline are generally commissioned salespersons. Their commissions are usually greatest on rare coins and semi-numismatic coins and least on bullion related products. Their work experience, knowledge, background, and training vary widely. They and/or Goldline may receive, from time to time, undisclosed compensation for recommending specific coin or currency products (including but not limited to contests, cooperative advertising, and trading profits in coins that they may own and/or sell). Goldline's employees are not licensed as investment advisors and are not authorized to recommend the purchase or sale of any product or investment other than the products specifically sold by Goldline. Check with a licensed professional with expertise in a particular market before making a decision to buy or sell any security, bond, annuity or financial instrument. Further, Account Executives are not tax advisors and may not provide any advice regarding taxability, tax rates or related issues for any product Goldline sells. You should consult with your tax advisor regarding any questions about the tax implications of buying or selling bullion, rare coins or rare currency.

LIQUIDITY: Of the products that we buy and sell, bullion and bullion coins generally are more liquid than semi-numismatic coins, and semi-numismatic coins are more liquid than numismatic/rare coins. Goldline may not provide a "bid" or "buy-back" price on some collectible coins. Sometimes, because of its market influence, when Goldline stops recommending an individual semi-numismatic or numismatic coin, its price may drop.

GRADING: Our company uses the numerical Mint State (MS) grading system which rates uncirculated rare currency and uncirculated coins from MS-60 to MS-70. Typically, the higher the grade, the more a coin or currency is worth. The grade assigned to a coin reflects its strike, luster, marks, scratches, and overall eye appeal. Grading is a subjective art and subject to the opinion of the person grading the coin or currency. Thus, grading can and does vary from rare coin firm to rare coin firm, from grading service to grading service, and from expert to expert. A difference of one grade (e.g., MS64 to MS65) can result in a significant change in the valuation of a rare coin or currency. Grading standards may continue to change, becoming more or less stringent. Grades and descriptions of rare coins and currency are opinions, not statements of fact or guarantees, and are based on standards and interpretations that can and do change over time.
When you acquire a coin or currency from Goldline that is independently graded by a third party grading service, such as Professional Coin Grading Service (PCGS) or Numismatic Guaranty Corporation (NGC) for coins and Currency Grading & Certification Incorporated (CGC), Paper Money Guaranty (PMG) or PCGS Currency for rare currency, please note that Goldline relies entirely on the expertise/determination of the grading service. In addition, we rely upon definitions provided by these independent grading services, including definitions of such terms as PCGS' "First Strike" which refers to coins packaged and delivered by the U.S. Mint in the 30 day period following the initial sales date of a new product. We do not re-grade or independently evaluate the product's grade in its sealed holder, although from time to time Goldline does remove products from their sealed holder and re-submits them to the grading services. Goldline reserves the right to deliver independently graded coins that have been graded by an independent grading service of Goldline's choice, such as PCGS or NGC. Goldline guarantees that the rare coins and other items it sells are genuine. Goldline expressly disclaims any other warranties with respect to coins or other items, express or implied, including the implied warranties of merchantability and fitness for a particular purpose.

GROWTH PROJECTIONS: Goldline may advise clients about forecasts made by members of our staff or third parties regarding the future prices of precious metals or the products sold by Goldline. In making those projections, Goldline's staff members will normally consider the following factors:

• Past performance: While past performance is a useful guide, it is not a guarantee of future results. We frequently assume that if rare coins or bullion made gains under certain economic conditions in the past, they have the potential to appreciate when similar conditions exist in the future.
• Economic forecasts: It is impossible to predict future price trends or economic conditions. However, we apply research, common sense, and logic in an effort to forecast future trends. We believe these trends are a useful guide in evaluating the future potential for rare coins and bullion.
• Supply and demand: We believe that fundamental market forces will generally prevail. Therefore, we take into consideration changing supply and demand factors and our expectation of future trends of supply and demand.

There is no assurance that our growth projections will be achieved and it is also possible for prices to decline. We do not guarantee our forecasts or projections, but we strive to provide you with analysis that we believe is well thought out and sincerely reflects our opinion.
You should also know that different market factors may influence the value of a specific coin or currency. For example, the value of a numismatic coin may be affected by such factors as grade, scarcity and demand in the marketplace while the value of a bullion coin is closely tied to the spot market for that coin. Past performance and growth projections for a specific coin or type of coin (or currency) may not apply to other types of coins that Goldline may offer.

ACCOUNT AND STORAGE AGREEMENT: Goldline's Account and Storage Agreement sets forth the terms and conditions of your transactions with Goldline. Please review this agreement carefully before you sign and return it to Goldline. For your convenience, you may review the Account and Storage Agreement online at -->www.goldline.com -->.

FOR YOUR PROTECTION: Telephone calls may be monitored and/or recorded in an effort to assure quality control and policy compliance.
Your privacy is important to us. If at any time you no longer wish to be contacted by a Goldline representative, please call or write to us and ask to be placed on our Do Not Call list.
If at any time you receive information that is inconsistent or contrary to the information contained in this booklet or Goldline's Account and Storage Agreement, you should immediately contact Goldline's Director of Business Affairs at . Please do not proceed with any transaction until your questions or concerns have been fully answered.
Please make all payments payable to Goldline International, Inc. Please do not send cash. Your payment options are: Bank wire, cashiers check, personal check and credit card. Please no money orders or Traveler's Checks.
All metal/coins/currency must be sent U.S. Postal Service (registered insured, return receipt requested) to: THE AMERICAN ADVISOR, 1601 Cloverfield Blvd., r, . Check with your Account Executive for special packaging and address requirements.
Please promptly notify us in writing if you change your address or want to change your account title and include a signature guarantee or notarized letter plus a copy of your driver's license or a utility bill. Be sure to include your account number and sign all correspondence.
This risk/disclosure booklet is updated periodically. It is the responsibility of the client to keep up to date by either requesting a copy or by checking our website at -->www.goldline.com -->.

SUMMARY: We strongly recommend that you acquire a sound understanding of precious metals, coins, and their markets before you make your first purchase. Be prepared to invest some time and effort into understanding the market and the grading of your coins or currency. Do not commit more than 5% to 20% of your investment funds to rare coins or precious metals. Protect your future with a diversified portfolio that meets your objectives for safety, liquidity, and growth. Be prepared to hold your coin, bullion and currency investments for a minimum of 3 to 5 years, recognizing that all markets have their ups and downs. Perform your due diligence and let reason and common sense be your guide.

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