Vanguard Intermediate-Term Corporate Bond ETF

As of September 30, 2011

VCIT

Investment approach
Seeks to track the performance of the Barclays Capital U.S. 510 Year Corporate Bond Index. Diversified exposure to the intermediate-term investment-grade U.S. corporate bond market. Follows a passively managed, index-sampling approach. Provides current income with high credit quality.

Investment focus

About the benchmark

The Barclays Capital U.S. 510 Year Corporate Bond Index measures the investment return of U.S. dollar denominated, investment-grade, fixed rate, taxable securities issued by industrial, utility, and financial companies with maturities between 5 and 10 years.

Central tendency Expected range of fund holdings

Quick facts
Benchmark Expense ratio1 30-day yield (SEC) Dividend schedule ETF total net assets Fund total net assets Inception date Barclays Capital U.S. 510 Year Corporate Bond Index 0.15% 3.7% Monthly $783 million $889 million November 19, 2009

Performance history

Total returns2 for period ending in September 30, 2011 VCIT (Inception 11/19/2009) Net asset value (NAV) return3 Market price return4 Barclays Capital U.S. 510 Year Corporate Bond Index Quarter 2.21% 1.92 1.96 Year to date 5.80% 6.01 5.91 1 year 4.01% 3.61 4.08 Since inception 8.73% 8.86 8.94

Trading information
Ticker symbol CUSIP number IIV (intra-day ticker) Exchange VCIT 92206C870 VCIT.IV NASDAQ

The performance data shown represent past performance, which is not a guarantee of future results. Investment returns and principal value will fluctuate, so investors shares, when sold, may be worth more or less than their original cost. Current performance may be lower or higher than the performance data cited. For performance data current to the most recent month-end, visit our website at vanguard.com/performance. Investors cannot invest directly in an index. Investment Products: Not FDIC Insured No Bank Guarantee May Lose Value

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As reported in the most recent prospectus. A fund's current expense ratio may be lower or higher than the figure reported in the prospectus. Figures for periods of less than one year are cumulative returns. All other figures represent average annual returns. Fund Performance figures assume the reinvestment of dividends and capital gains distributions; the figures are pre-tax and net of expenses. The above widely used comparative index represents unmanaged or average returns on various financial assets that can be compared with the funds total returns for the purpose of measuring relative performance. As of 4 p.m., Eastern time, when the regular trading session of the New York Stock Exchange typically closes. Market price returns are calculated using the midpoint between the bid and offer prices at the time NAV is calculated, typically 4 p.m., Eastern time.

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Vanguard Intermediate-Term Corporate Bond ETF

As of September 30, 2011

VCIT

Expense ratio comparison1

0.91%

ETF attributes

Vanguard IntermediateTerm Corporate Bond ETF 779 6.2 years 7.4 years 1.6%

Barclays Capital U.S. 510 Year Corporate Bond Index 1,359 6.2 years 7.5 years

Number of bonds Average duration Average maturity 0.30% 0.15% Short-term reserves

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Intermediate Investment Grade Debt Funds

US Bond ETFs Average

Vanguard IntermediateTerm Corporate

Distribution by maturity
Under 1 Year 1 - 3 Years 3 - 5 Years 5 - 10 Years 10 - 20 Years 20 to 30 Years Over 30 Years 1.0% 0.1 0.8 97.8 0.3 0.0 0.0

Distribution by issuer
Asset-Backed Commercial Mortgage-Backed Finance Foreign Government Mortgage-Backed Industrial Treasury/Agency Utilities Other 0.7% 1.4 12.3 43.9 41.7 0.0 0.0% 0.0 33.9 0.0 0.0 53.9 0.7 11.0 0.5

Distribution by credit quality2

U.S. Government Aaa Aa A Baa Less Than Baa

Represents the expense ratio for the Vanguard ETF as reported in most recent prospectus. There are material differences between mutual funds and ETFs. Unlike mutual funds, ETFs are priced continuously and bought and sold throughout the day in the secondary market (at a premium or discount to net asset value) with the assistance of a stockbroker, which entails paying commissions. Sources: Lipper Inc. and Vanguard, December 31, 2010.

Credit-quality ratings are measured on a scale that generally ranges from AAA (highest) to D (lowest). NR is used to classify securities for which a rating is not available. U.S. Treasury, U.S. Agency, and U.S. Agency mortgage-backed securities appear under U.S. Government." Credit-quality ratings for each issue are obtained from Barclays Capital using ratings derived from Moody's Investors Service, Fitch Ratings, and Standard & Poor's. When ratings from all three agencies are available, the median rating is used. When ratings are available from two of the agencies, the lower rating is used. When one rating is available, that rating is used. Vanguard ETF Shares are not redeemable with an Applicant Fund other than in Creation Unit aggregations. Instead, investors must buy or sell Vanguard ETF Shares in the secondary market with the assistance of a stockbroker. In doing so, the investor may incur brokerage commissions and may pay more than net asset value when buying and receive less than net asset value when selling. All ETF products are subject to risk, which may result in the loss of principal. Investments in bond ETF products are subject to interest rate, credit, and inflation risk. Vanguard Intermediate-Term Corporate Bond ETF is not sponsored, endorsed, sold, or promoted by Barclays Capital. Barclays Capital makes no representation or warranty, express or implied, to the owners of Vanguard Intermediate-Term Corporate Bond ETF or any member of the public regarding the advisability of investing in securities generally or in Vanguard Intermediate-Term Corporate Bond ETF particularly or the ability of the Barclays Capital Index to track general bond market performance. Barclays Capital hereby expressly disclaims all warranties of merchantability and fitness for a particular purpose with respect to the Barclays Capital Index and any data included therein. Barclays Capitals only relationship to Vanguard and Vanguard Intermediate-Term Corporate Bond ETF is the licensing of the Barclays Capital Index which is determined, composed, and calculated by Barclays Capital without regard to Vanguard or the Vanguard Intermediate-Term Corporate Bond ETF. Barclays Capital is not responsible for and has not participated in the determination of the timing of, prices of, or quantities of Vanguard Intermediate-Term Corporate Bond ETF to be issued. For more information about Vanguard ETF Shares, visit vanguard.com, call 866-499-8473, or contact your broker to obtain a prospectus. Investment objectives, risks, charges, expenses, and other important information are contained in the prospectus; read and consider it carefully before investing. 2011 The Vanguard Group, Inc. All rights reserved. U.S. Pat. No. 6,879,964 B2; 7,337,138; 7,720,749; 7,925,573. Vanguard Marketing Corporation, Distributor. FA3146_0911