Kent Financial Services, Inc. is primarily engaged in the operation of its wholly owned subsidiary, T.R. Winston & Company Inc., a securities broker-dealer licensed in all states (except Alaska) and the District of Columbia. Winston is a member of the National Association of Securities Dealers Inc. and the Securities Investor Protection Corporation. All clearing arrangements for Winston are conducted pursuant to an agreement with Bear, Stearns Securities Corporation, an unrelated major broker-dealer that is a member of the New York Stock Exchange, Inc. Winston conducts various activities customary for broker-dealers of comparable size, including buying and selling securities for customer accounts, trading securities in the over-the-counter market and providing various corporate finance services, including underwritings, private placements, mergers, acquisitions and similar transactions.