<Page>

                     ML GLOBAL HORIZONS L.P.
                     (A DELAWARE LIMITED PARTNERSHIP)


                     Financial Statements for the years ended
                     December 31, 2003, 2002 and 2001
                     And Independent Auditors' Report


[MERRILL LYNCH LOGO]

<Page>

ML GLOBAL HORIZONS L.P.
(A DELAWARE LIMITED PARTNERSHIP)

TABLE OF CONTENTS

<Table>
<Caption>
                                                                            PAGE
                                                                            ----
<S>                                                                         <C>
INDEPENDENT AUDITORS' REPORT                                                   1

FINANCIAL STATEMENTS:

  Statements of Financial Condition as of December 31, 2003 and 2002           2

  Statements of Income for the years ended December 31, 2003, 2002
  and 2001                                                                     3

  Statements of Changes in Partners' Capital for the years ended
  December 31, 2003, 2002 and 2001                                             4

  Financial Data Highlights for the year ended December 31, 2003               5

  Notes to Financial Statements                                             6-11
</Table>

<Page>

INDEPENDENT AUDITORS' REPORT


To the Partners of
 ML Global Horizons L.P.:

We have audited the accompanying statements of financial condition of ML Global
Horizons L.P. (the "Partnership") as of December 31, 2003 and 2002, and the
related statements of income and of changes in partners' capital for each of the
three years in the period ended December 31, 2003 and the financial data
highlights for the year ended December 31, 2003. These financial statements and
financial data highlights are the responsibility of the Partnership's
management. Our responsibility is to express an opinion on these financial
statements and financial data highlights based on our audits.

We conducted our audits in accordance with auditing standards generally accepted
in the United States of America. Those standards require that we plan and
perform the audit to obtain reasonable assurance about whether the financial
statements and financial data highlights are free of material misstatement. An
audit includes examining, on a test basis, evidence supporting the amounts and
disclosures in the financial statements. An audit also includes assessing the
accounting principles used and significant estimates made by management, as well
as evaluating the overall financial statement presentation. We believe that our
audits provide a reasonable basis for our opinion.

In our opinion, such financial statements and financial data highlights present
fairly, in all material respects, the financial position of ML Global Horizons
L.P. as of December 31, 2003 and 2002, and the results of its operations,
changes in its partners' capital, and financial data highlights for each of the
periods presented in conformity with accounting principles generally accepted in
the United States of America.


DELOITTE & TOUCHE LLP


New York, New York
March 10, 2004

<Page>

ML GLOBAL HORIZONS L.P.
(A DELAWARE LIMITED PARTNERSHIP)

STATEMENTS OF FINANCIAL CONDITION
DECEMBER 31, 2003 AND 2002

<Table>
<Caption>
                                                                    2003             2002
                                                              ---------------  ---------------
<S>                                                           <C>              <C>
ASSETS

Equity in commodity futures trading accounts:
  Cash and option premiums                                    $    47,688,150  $    44,673,219
  Net unrealized profit on open contracts (Note 2)                  3,851,353        3,895,913
Accrued interest (Note 3)                                              36,517           48,938
                                                              ---------------  ---------------

      TOTAL                                                   $    51,576,020  $    48,618,070
                                                              ===============  ===============

LIABILITIES AND PARTNERS' CAPITAL

LIABILITIES:
  Brokerage commissions payable (Note 3)                      $       311,605  $       293,733
  Profit Shares payable (Note 4)                                    1,302,507          469,765
  Administrative fees payable (Note 3)                                 10,745           10,129
  Redemptions payable                                                 535,943          837,586
  Incentive Override payable (Note 3)                                 759,948           64,580
                                                              ---------------  ---------------

    Total liabilities                                               2,920,748        1,675,793
                                                              ---------------  ---------------

PARTNERS' CAPITAL:
  General Partner (2,131 Units and 2,519 Units)                       496,775          499,969
  Limited Partners (206,583 Units and 233,990 Units)               48,158,497       46,442,308
                                                              ---------------  ---------------

    Total partners' capital                                        48,655,272       46,942,277
                                                              ---------------  ---------------

      TOTAL                                                   $    51,576,020  $    48,618,070
                                                              ===============  ===============

NET ASSET VALUE PER UNIT
  (Based on 208,714 and 236,509 Units outstanding)            $        233.12  $        198.48
                                                              ===============  ===============
</Table>

See notes to financial statements.

                                        2
<Page>

STATEMENTS OF INCOME
FOR THE YEARS ENDED DECEMBER 31, 2003, 2002 AND 2001

<Table>
<Caption>
                                                                    2003             2002             2001
                                                              ---------------  ---------------  ---------------
<S>                                                           <C>              <C>              <C>
REVENUES

Trading profit (loss):
  Realized                                                    $    13,824,221  $     3,063,425  $     9,573,592
  Change in unrealized                                                (44,489)       2,373,002       (3,522,456)
  Settlement proceeds (Note 6)                                              -        1,346,689                -
                                                              ---------------  ---------------  ---------------

    Total trading results                                          13,779,732        6,783,116        6,051,136

  Interest income (Note 3)                                            496,656          801,151        1,987,808
                                                              ---------------  ---------------  ---------------

    Total revenues                                                 14,276,388        7,584,267        8,038,944
                                                              ---------------  ---------------  ---------------

EXPENSES

Brokerage commissions (Note 3)                                      3,601,088        3,571,969        4,136,863
Profit Shares (Note 4)                                              1,998,129          746,510        1,511,234
Administrative fees (Note 3)                                          124,175          123,171          142,650
Incentive Override (Note 3)                                           805,634           68,966           10,771
                                                              ---------------  ---------------  ---------------

    Total expenses                                                  6,529,026        4,510,616        5,801,518
                                                              ---------------  ---------------  ---------------

NET INCOME                                                    $     7,747,362  $     3,073,651        2,237,426
                                                              ===============  ===============  ===============

NET INCOME PER UNIT:

  Weighted average number of General Partner
   and Limited Partner Units outstanding (Note 5)                     222,625          261,947          303,192
                                                              ===============  ===============  ===============

  Net income per weighted average General
   Partner and Limited Partner Unit                           $         34.80  $         11.73  $          7.38
                                                              ===============  ===============  ===============
</Table>

See notes to financial statements.

                                        3
<Page>

STATEMENTS OF CHANGES IN PARTNERS' CAPITAL
FOR THE YEARS ENDED DECEMBER 31, 2003, 2002 AND 2001

<Table>
<Caption>
                                                                GENERAL           LIMITED
                                               UNITS            PARTNER           PARTNERS           TOTAL
                                          ---------------   ---------------   ---------------   ---------------
<S>                                               <C>       <C>               <C>               <C>
PARTNERS' CAPITAL,
  DECEMBER 31, 2000                               336,578   $       666,597   $    59,614,203   $    60,280,800

Net income                                              -            34,583         2,202,843         2,237,426

Redemptions                                       (58,110)         (138,766)      (10,606,000)      (10,744,766)
                                          ---------------   ---------------   ---------------   ---------------

PARTNERS' CAPITAL,
  DECEMBER 31, 2001                               278,468           562,414        51,211,046        51,773,460

Net income                                              -            37,151         3,036,500         3,073,651

Redemptions                                       (41,959)          (99,596)       (7,805,238)       (7,904,834)
                                          ---------------   ---------------   ---------------   ---------------

PARTNERS' CAPITAL,
  DECEMBER 31, 2002                               236,509           499,969        46,442,308        46,942,277

Net income                                              -            87,257         7,660,105         7,747,362

Redemptions                                       (27,795)          (90,451)       (5,943,916)       (6,034,367)
                                          ---------------   ---------------   ---------------   ---------------

PARTNERS' CAPITAL,
  DECEMBER 31, 2003                               208,714   $       496,775   $    48,158,497   $    48,655,272
                                          ===============   ===============   ===============   ===============
</Table>

See notes to financial statements.

                                        4
<Page>

ML GLOBAL HORIZONS L.P.
(A DELAWARE LIMITED PARTNERSHIP)

FINANCIAL DATA HIGHLIGHTS
FOR THE YEAR ENDED DECEMBER 31, 2003

The following per Unit data and ratios have been derived from information
provided in the financial statements.

<Table>
<S>                                                     <C>
PER UNIT OPERATING PERFORMANCE:

Net asset value, beginning of year                      $   198.48

Realized trading profit (loss)                               61.07
Change in unrealized trading profit                           0.71
Interest income                                               2.23
Expenses                                                    (29.37)
                                                        ----------
Net asset value, end of year                            $   233.12
                                                        ==========
Total investment return, compounded monthly:
  Investment return before Profit shares                     22.17%
  Profit shares                                              -4.38%
  Total Investment return                                    17.45%
                                                        ==========

RATIOS TO AVERAGE NET ASSETS:

Operating expenses (not including Profit shares)              9.49%
  Profit shares                                               4.19%
                                                        ----------
Expenses                                                     13.68%
                                                        ==========
</Table>

See notes to financial statements.

                                        5
<Page>

ML GLOBAL HORIZONS L.P.
(A DELAWARE LIMITED PARTNERSHIP)

NOTES TO FINANCIAL STATEMENTS

1.  SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES

    ORGANIZATION

    ML Global Horizons L.P. (the "Partnership") was organized as an open-end
    fund under the Delaware Revised Uniform Limited Partnership Act on May 11,
    1993 and commenced trading activities on January 4, 1994. The Partnership
    engages in the speculative trading of futures, options on futures and
    forward contracts on a wide range of commodities. When available for
    investment, the Partnership issues units of limited partnership interest
    ("Units") at Net Asset Value as of the beginning of each month. Merrill
    Lynch Investment Managers, LLC ("MLIM LLC") is the general partner of the
    Partnership, and is a wholly-owned subsidiary of Merrill Lynch Investment
    Managers, LP ("MLIM"), which in turn, is an indirect wholly-owned subsidiary
    of Merrill Lynch & Co. Inc. ("Merrill Lynch"). Merrill Lynch, Pierce, Fenner
    & Smith Incorporated ("MLPF&S") is the Partnership's commodity broker. MLIM
    LLC has agreed to maintain a general partner's interest of at least 1% of
    the total capital in the Partnership. MLIM LLC and each Limited Partner
    share in the profits and losses of the Partnership in proportion to their
    respective interests in it.

    MLIM LLC selects independent advisors (the "Advisors") to manage the
    Partnership's assets, and allocates and reallocates the Partnership's assets
    among existing, replacement and additional Advisors.

    ESTIMATES

    The preparation of financial statements in conformity with accounting
    principles generally accepted in the United States of America requires
    management to make estimates and assumptions that affect the reported
    amounts of assets and liabilities and disclosure of contingent assets and
    liabilities at the date of the financial statements as well as the reported
    amounts of revenues and expenses during the reporting period. Actual results
    could differ from those estimates.

    REVENUE RECOGNITION

    Commodity futures, options on futures and forward contract transactions are
    recorded on trade date and open contracts are reflected in net unrealized
    profit on open contracts in the Statements of Financial Condition at the
    difference between the original contract value and the market value (for
    those commodity interests for which market quotations are readily available)
    or at fair value. The change in unrealized profit (loss) on open contracts
    from one period to the next is reflected in Change in unrealized under
    Trading profit (loss) in the Statements of Income.

                                        6
<Page>

    FOREIGN CURRENCY TRANSACTIONS

    The Partnership's functional currency is the U.S. dollar; however, it
    transacts business in currencies other than the U.S. dollar. Assets and
    liabilities denominated in currencies other than the U.S. dollar are
    translated into U.S. dollars at the rates in effect at the dates of the
    Statements of Financial Condition. Income and expense items denominated in
    currencies other than the U.S. dollar are translated into U.S. dollars at
    the rates in effect during the period. Gains and losses resulting from the
    translation to U.S. dollars are reported in total trading results.

    OPERATING EXPENSES, ONGOING OFFERING COSTS AND SELLING COMMISSIONS

    MLIM LLC pays for all routine operating costs (including legal, accounting,
    printing, postage and similar administrative expenses) of the Partnership,
    including the costs, if any, of the ongoing offering of the Units. MLIM LLC
    receives an administrative fee as well as a portion of the brokerage
    commissions paid to MLPF&S by the Partnership (see Note 3).

    No selling commissions have been or are paid directly by Limited Partners.
    All selling commissions are paid by MLIM LLC.

    INCOME TAXES

    No provision for income taxes has been made in these financial statements as
    each Partner is individually responsible for reporting income or loss based
    on such Partner's respective share of the Partnership's income and expenses
    as reported for income tax purposes.

    DISTRIBUTIONS

    The Limited Partners are entitled to receive, equally per Unit, any
    distributions which may be made by the Partnership. No such distributions
    have been declared for the years ended December 31, 2003, 2002 or 2001.

    REDEMPTIONS

    A Limited Partner may redeem some or all of such Partner's Units at Net
    Asset Value as of the close of business on the last business day of any
    month upon ten calendar days' notice.

    DISSOLUTION OF THE PARTNERSHIP

    The Partnership will terminate on December 31, 2023 or at an earlier date if
    certain conditions occur, as well as under certain other circumstances as
    set forth in the Limited Partnership Agreement.

2.  CONDENSED SCHEDULE OF INVESTMENTS

    The Partnership's investments, defined as Net unrealized profit on open
    contracts on the Statements of Financial Condition, as of December 31, 2003,
    and 2002, are as follows:

                                        7
<Page>

    2003

<Table>
<Caption>
                                   LONG POSITIONS                               SHORT POSITIONS
    COMMODITY           NUMBER       UNREALIZED     PERCENT OF      NUMBER        UNREALIZED
 INDUSTRY SECTOR     OF CONTRACTS  PROFIT (LOSS)    NET ASSETS   OF CONTRACTS    PROFIT (LOSS)
----------------     ------------  --------------   ----------   ------------   ---------------
<S>                     <C>        <C>                <C>          <C>          <C>
Agriculture                   338  $     (237,353)    -0.49%             (274)  $       (28,616)
Currencies              2,581,185       3,254,887      6.69%       (1,489,024)       (1,500,757)
Energy                        175         (33,577)    -0.07%                -                 -
Interest rates              1,029         350,954      0.72%             (438)         (367,585)
Metals                        563       2,461,989      5.06%              (67)         (407,230)
Stock indices                 202         362,738      0.75%               (1)           (4,097)
                                   --------------                               ---------------

Total                              $    6,159,638     12.66%                    $    (2,308,285)
                                   ==============                               ===============

<Caption>
    COMMODITY         PERCENT OF   NET UNREALIZED    PERCENT OF
 INDUSTRY SECTOR      NET ASSETS    PROFIT (LOSS)    NET ASSETS   MATURITY DATES
----------------      ----------   ---------------   ----------   ----------------------
<S>                     <C>        <C>                    <C>     <C>
Agriculture             -0.06%     $      (265,969)       -0.55%  February 04 - May 04
Currencies              -3.08%           1,754,130         3.61%  January 04 - March 04
Energy                   0.00%             (33,577)       -0.07%  January 04 - March 04
Interest rates          -0.76%             (16,631)       -0.04%  March 04 - December 05
Metals                  -0.84%           2,054,759         4.22%  January 04 - April 04
Stock indices           -0.01%             358,641         0.74%  January 04 - March 04
                                   ---------------

Total                      -4.75%  $     3,851,353         7.91%
                                   ===============
</Table>

    2002

<Table>
<Caption>
                                   LONG POSITIONS                               SHORT POSITIONS
    COMMODITY           NUMBER       UNREALIZED     PERCENT OF      NUMBER        UNREALIZED
 INDUSTRY SECTOR     OF CONTRACTS  PROFIT (LOSS)    NET ASSETS   OF CONTRACTS    PROFIT (LOSS)
----------------     ------------  --------------   ----------   ------------   ---------------
<S>                     <C>        <C>                 <C>         <C>          <C>
Agriculture                 1,004  $       72,809       0.15%            (634)  $       388,158
Currencies              1,863,134       3,311,664       7.05%      (3,212,537)       (2,080,553)
Energy                        265           2,066       0.00%               -                 -
Interest rates              2,128       2,227,973       4.75%            (239)         (142,744)
Metals                        492          39,949       0.09%            (293)           24,404
Stock indices                   9         (14,759)     -0.03%            (117)           66,946
                                   --------------                               ---------------

Total                              $    5,639,702      12.01%                   $    (1,743,789)
                                   ==============                               ===============

<Caption>
    COMMODITY         PERCENT OF   NET UNREALIZED    PERCENT OF
 INDUSTRY SECTOR      NET ASSETS    PROFIT (LOSS)    NET ASSETS
----------------      ----------   ---------------   ----------
<S>                      <C>       <C>                  <C>
Agriculture               0.83%    $       460,967      0.98%
Currencies               -4.43%          1,231,111      2.62%
Energy                    0.00%              2,066      0.00%
Interest rates           -0.30%          2,085,229      4.45%
Metals                    0.05%             64,353      0.14%
Stock indices             0.14%             52,187      0.11%
                                   ---------------

Total                    -3.71%    $     3,895,913      8.30%
                                   ===============
</Table>

No individual contract's unrealized gain or loss comprised greater than 5% of
the Partnership's net assets.

                                        8
<Page>

3.  RELATED PARTY TRANSACTIONS

    The Partnership's U.S. dollar assets are maintained at MLPF&S. On assets
    held in U.S. dollars, Merrill Lynch credits the Partnership with interest at
    the prevailing 91-day U.S. Treasury bill rate. The Partnership is credited
    with interest on any of its net gains actually held by Merrill Lynch in
    non-U.S. dollar currencies at a prevailing local rate received by Merrill
    Lynch. Merrill Lynch may derive certain economic benefit, in excess of the
    interest which Merrill Lynch pays to the Partnership, from possession of
    such assets.

    Merrill Lynch charges the Partnership Merrill Lynch's cost of financing
    realized and unrealized losses on the Partnership's non-U.S. dollar
    denominated positions.

    The Partnership pays brokerage commissions to MLPF&S at a flat monthly rate
    of .604 of 1% (a 7.25% annual rate) and the Partnership pays MLIM LLC a
    monthly administrative fee of .021 of 1% (a 0.25% annual rate) of the
    Partnership's month-end assets. Month-end assets are not reduced, for
    purposes of calculating brokerage commissions and administrative fees, by
    any accrued brokerage commissions, administrative fees, Profit Shares,
    Incentive Overrides or other fees or charges.

    MLIM LLC estimates that the round-turn equivalent commission rate charged to
    the Partnership during the years ended December 31, 2003, 2002 and 2001 was
    approximately $84, $73 and $88, respectively (not including, in calculating
    round-turn equivalents, forward contracts on a futures-equivalent basis).

    MLPF&S pays the Advisors annual Consulting Fees ranging up to 2.00% of the
    Partnership's average month-end assets allocated to them for management,
    after reduction for a portion of the brokerage commissions accrued with
    respect to such assets.

    The Partnership paid to MLIM LLC an Incentive Override equal to 10% of the
    Net New Gain, as defined, as of December 31, 2003. Such payments are also
    made to MLIM LLC from the redemption value of Units redeemed as of the end
    of interim months during a year, to the extent of any Net New Gain
    attributable to such Units when redeemed. For the years ended December 31,
    2003, 2002 and 2001, an Incentive Override of $805,634, $68,966 and $10,771
    was accrued, respectively.

    The methods by which Incentive Overrides are calculated may result in
    certain disproportionate allocations of such fees and possible equity
    dilution among Partners that purchased Units at different times.

4.  ADVISORY AGREEMENTS

    The Partnership and the Advisors have each entered into Advisory Agreements.
    These Advisory Agreements generally renew one year after they are entered
    into, subject to certain renewal rights exercisable by the Partnership. The
    Advisors determine the commodity futures, options on futures and forward
    contract trades to be made on behalf of their respective Partnership
    accounts, subject to certain trading policies and to certain rights reserved
    by MLIM LLC.

    Profit Shares, generally ranging from 20% to 23% of any New Trading Profit,
    as defined, recognized by each Advisor considered individually, irrespective
    of the overall performance of the Partnership, as of either the end of each
    calendar quarter or year and upon the net reallocation of assets away from
    an Advisor, are paid by the Partnership to each Advisor. Profit Shares are
    also paid out in respect of Units redeemed as of the end of interim months,
    to the extent of the applicable percentage of any New Trading Profit
    attributable to such Units.

                                        9
<Page>

5.  WEIGHTED AVERAGE UNITS

    The weighted average number of Units outstanding was computed for purposes
    of disclosing net income per weighted average Unit. The weighted average
    number of Units outstanding for the years ended December 31, 2003, 2002 and
    2001 equals the Units outstanding as of such date, adjusted proportionately
    for Units sold and redeemed based on the respective length of time each was
    outstanding during the year.

6.  COPPER SETTLEMENT

    The Partnership, as a member of a class of plaintiffs, received a settlement
    payment in August relating to certain copper trades made by a number of
    investors, including the Partnership, during a period in the mid-1990s.
    Members of the class were those who purchased or sold Comex copper futures
    or options contracts between June 24, 1993 and June 15, 1996. The effect of
    the settlement payment was included in the Partnership's performance in
    August 2002.

7.  FAIR VALUE AND OFF-BALANCE SHEET RISK

    The nature of this Partnership has certain risks, which can not be presented
    on the financial statements. The following summarizes some of those risks.

    MARKET RISK

    Derivative instruments involve varying degrees of off-balance sheet market
    risk. Changes in the level or volatility of interest rates, foreign currency
    exchange rates or the market values of the financial instruments or
    commodities underlying such derivative instruments frequently result in
    changes in the Partnership's net unrealized profit (loss) on such derivative
    instruments as reflected in the Statements of Financial Condition. The
    Partnership's exposure to market risk is influenced by a number of factors,
    including the relationships among the derivative instruments held by the
    Partnership as well as the volatility and liquidity of the markets in which
    the derivative instruments are traded.

    MLIM LLC has procedures in place intended to control market risk exposure,
    although there can be no assurance that they will, in fact, succeed in doing
    so. These procedures focus primarily on monitoring the trading of the
    Advisors, calculating the Net Asset Value of the Partnership as of the close
    of business on each day and reviewing outstanding positions for
    over-concentrations. While MLIM LLC does not itself intervene in the markets
    to hedge or diversify the Partnership's market exposure; MLIM LLC may urge
    the Advisors to reallocate positions in an attempt to avoid
    over-concentrations. However, such interventions are unusual. Except in
    cases in which it appears that the Advisors have begun to deviate from past
    practice or trading policies or to be trading erratically, MLIM LLC's basic
    risk control procedures consist simply of the ongoing process of advisor
    monitoring, with the market risk controls being applied by the Advisors
    themselves.

    CREDIT RISK

    The risks associated with exchange-traded contracts are typically perceived
    to be less than those associated with over-the-counter (non-exchange-traded)
    transactions, because exchanges typically (but not universally) provide
    clearinghouse arrangements in which the collective credit (in some cases
    limited in amount, in some cases not) of the members of the exchange is
    pledged to support the financial integrity of the exchange. In
    over-the-counter transactions, on the other hand, traders must rely solely
    on the credit of their respective individual counterparties. Margins, which
    may be subject to loss in the

                                       10
<Page>

    event of a default, are generally required in exchange trading, and
    counterparties may also require margin in the over-the-counter markets.

    The credit risk associated with these instruments from counterparty
    nonperformance is the net unrealized profit, if any, included in the
    Statements of Financial Condition. The Partnership attempts to mitigate this
    risk by dealing exclusively with Merrill Lynch entities as clearing brokers.

    The Partnership, in its normal course of business, enters into various
    contracts, with MLPF&S acting as its commodity broker. Pursuant to the
    brokerage agreement with MLPF&S (which includes a netting arrangement), to
    the extent that such trading results in receivables from and payables to
    MLPF&S, these receivables and payables are offset and reported as a net
    receivable or payable and included in the Statements of Financial Condition
    under Equity in commodity futures trading accounts.

8.  SUBSEQUENT EVENT

    As of February 1, 2004, the Partnership was made available for new
    investment. The brokerage commission rate was reduced to a monthly rate
    of .583 of 1% (a 7.00% annual rate). The Incentive Override was
    discontinued for all new subscribers. In anticipation of this, MLIM LLC
    also discontinued the Incentive Override for all existing Partners as
    of January 1, 2004.


                            * * * * * * * * * * * * *

                 To the best of the knowledge and belief of the
                 undersigned, the information contained in this
                        report is accurate and complete.


                                 Patrick Hayward
                             Chief Financial Officer
                      Merrill Lynch Investment Managers LLC
                               General Partner of
                             ML Global Horizons L.P.

                                       11