5HFRPPHQGHG3&%&RQILJXUDWLRQ ,)287 /1$,1 'HVFULSWLRQ /2$,1 *1' *1' *1' /2$9'' 5)$,1 *1' /1$287 5)$9'' *1' 9&7/ /1$65& /1$9'' 0$&20¶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±G%P Q 0LQLDWXUH0/)PP3ODVWLF3DFNDJH /1$9'' )XQFWLRQDO6FKHPDWLF *1' )HDWXUHV *1' 0' 3&6&'0$/1$'RZQFRQYHUWHU *+] 3LQ&RQILJXUDWLRQ 3,1 1R 3,1 1DPH 'HVFULSWLRQ /1$,1 5)LQSXWWR/1$([WHUQDOPDWFKLQJUHTXLUHG *1' '&DQG5)JURXQG *1' '&DQG5)JURXQG /1$ 65& 6RXUFHRI/1$RXWSXWVWDJH)(75)E\SDVVLQJ UHTXLUHG2IIFKLSUHVLVWRUPD\EHXVHGWRLQ FUHDVH,3 /1$ 287 ΩRXWSXWRI/1$'&EORFNHG *1' '&DQG5)JURXQG /1$ 9'' /1$VWDJHVXSSO\YROWDJH5)E\SDVVLQJUH TXLUHG 9&75/ 'RZQFRQYHUWHUELDVFRQWURO9FRQWUROYROW DJHDOORZHG 5)$9'' 5)$VXSSO\YROWDJH5)E\SDVVLQJUHTXLUHG *1' '&DQG5)JURXQG 5)$,1 ΩLQSXWDQG5)$'&EORFNHG *1' '&DQG5)JURXQG /2$9'' /2DPSOLILHUVXSSO\YROWDJH5)E\SDVVLQJUH TXLUHG *1' '&DQG5)JURXQG /2$,1 /RFDORVFLOODWRULQSXWWR±G%P ,)287 ,)RXWSXWRIGRZQFRQYHUWHUPXVWEHH[WHUQDOO\ PDWFKHGWRLQSXWLPSHGDQFHRI,)ILOWHU *1' '&DQG5)JURXQG ,) 0DWFKLQJEHWZHHQ,)$DQG0L[HU²UHTXLUHVDQ 0$7&+ LQGXFWRUWRJURXQG /1$ 9'' /1$VWDJHVXSSO\YROWDJH5)E\SDVVLQJUH TXLUHG *1' '&DQG5)JURXQG 3&6&'0$/1$'RZQFRQYHUWHU*+] 0' (OHFWULFDO6SHFLILFDWLRQV7$ &9'' 95) *+] ,) 0+]/2 G%P 7HVW&RQGLWLRQV 3DUDPHWHU 8QLWV 0LQ 7\S 0D[ /RZ1RLVH$PSOLILHU *DLQ G% 1RLVH)LJXUH G% 96:5,Q2XW ,QSXW,3 G%P P$ &RQYHUVLRQ*DLQ 9FRQW a9 G% a 1RLVH)LJXUH 9FRQW a9 G% a ,QSXW,3 5),QSXW G%P9FRQW a9 G%P a /2WR5),VRODWLRQ 9FRQW 9 G% /2WR,),VRODWLRQ 9FRQW 9 G% 5)WR,),VRODWLRQ 9FRQW 9 G% ,'' 9FRQW a9 P$ a &RQYHUVLRQ*DLQ 9FRQW a9 G% a 1RLVH)LJXUH 9FRQW 9 G% ,QSXW,3 5),QSXW G%P9FRQW 9 G%P /2WR5),VRODWLRQ 9FRQW 9 G% /2WR,),VRODWLRQ 9FRQW 9 G% /1$WR,),VRODWLRQ 9FRQW 9 G% ,'' 9FRQW a9 P$ a ,'' &RPSOHWH'RZQ&RQYHUWHU &DVFDGH &RPSOHWHGRZQFRQYHUWHUPHDVXUHPHQWVWDNHQZLWKG%SDGEHWZHHQ/1$RXWSXWDQG5)$LQSXW 6SHFLILFDWLRQVVXEMHFWWRFKDQJHZLWKRXWQRWLFH 1RUWK$PHULFD7HO)D[ $VLD3DFLILF7HO)D[ (XURSH7HO)D[ 9LVLWZZZPDFRPFRPIRUDGGLWLRQDOGDWDVKHHWVDQGSURGXFWLQIRUPDWLRQ 3&6&'0$/1$'RZQFRQYHUWHU*+] 0' 2SHUDWLQJ,QVWUXFWLRQV 7KH0'LVDKLJKO\LQWHJUDWHG00,& GRZQFRQYHUWHUIRUWKH*+]3&6EDQG7KH GRZQFRQYHUWHUSURYLGHVH[FHSWLRQDO5)SHUIRUPDQFH ZKLOHGUDZLQJORZ'&FXUUHQWDQGLVSDFNDJHGLQDORZ FRVWSODVWLFSDFNDJH,WLVLGHDOIRUOLJKWZHLJKWEDWWHU\ RSHUDWHGSRUWDEOHUDGLRV\VWHPV 7KH0'GRZQFRQYHUWHULQFRUSRUDWHVDQ/1$ 5)$VLQJOHHQGHGPL[HUDQGVLQJOHHQGHG,)RXWSXW EXIIHUDVVKRZQLQWKHEORFNGLDJUDP6XUIDFHPRXQW UHVLVWRUVLQGXFWRUVDQGFDSDFLWRUVDUHXVHGLQFRQMXQFWLRQ ZLWKWKH,&WRRSWLPL]HWKHWUDGHRIIVDPRQJ SHUIRUPDQFHWXQDELOLW\DQGHDVHRIXVH7KHVFKHPDWLF RQWKHSUHYLRXVSDJHVKRZVWKH,&DQGUHTXLUHGRIIFKLS FRPSRQHQWV 7KHLQSXWRIWKH/1$LVPDWFKHGH[WHUQDOO\ZLWKDVHULHV LQGXFWRU/DQGDVKXQWFDSDFLWRU&WRSURYLGHDORZ ORVVPDWFKWRWKHRSWLPXPQRLVHLPSHGDQFHLQWKHEDQG RILQWHUHVW8VHDKLJK4LQGXFWRUVXFKDV&RLOFUDIW¶V &6VHULHVPXVWWRDFKLHYHWKHVSHFLILHGQRLVHILJXUHV 7KHVHULHVFDSDFLWRU&EORFNV'&DQGSURYLGHVLQSXW PDWFKLQJ7KH/1$LVQRPLQDOO\ELDVHGZLWKP$WR JLYHDQLQSXW,3RIG%P<RXFDQXVHDQH[WHUQDO UHVLVWRU5WRLQFUHDVHWKH/1$ELDVFXUUHQWDQGWKXV LQFUHDVHWKH,3$QH[WHUQDOLPDJHUHMHFWILOWHULV UHTXLUHGEHWZHHQWKH/1$RXWSXWDQG5)$LQSXWWR SUHYHQWGRZQFRQYHUVLRQRIQRLVHDWWKHLPDJHIUHTXHQF\ WRWKH,)7KLVILOWHUVKRXOGKDYHDΩLQSXWDQGRXWSXW LPSHGDQFH 7KHPL[HULVDVLQJOHHQGHGIORDWLQJ)(7PL[HUWKDW SURYLGHVH[FHSWLRQDOOLQHDULW\DQGLVRODWLRQZLWKORZORVV DQGQR'&FXUUHQW$QRIIFKLSLQGXFWRU/LVUHTXLUHG WRPDWFKWKHRXWSXWRIWKHPL[HUWRWKHLQSXWRIWKH,) EXIIHUDPSOLILHU:HUHFRPPHQGXVLQJDQW\SH LQGXFWRUIRU/LQPRVWVLWXDWLRQVEXWXVHDQW\SHLI \RXUHTXLUHPRUHJDLQ7KH,)RXWSXWSRUWLVWKHRSHQ GUDLQRIWKH,)EXIIHUDPSOLILHU7KLVDOORZVPD[LPXP IOH[LELOLW\RILQWHUPHGLDWHIUHTXHQF\DQGDOVR,)ILOWHU <RXFDQXVHDPDWFKLQJQHWZRUNVXFKDVWKDWVKRZQRQ SDJHWRPDWFKΩIURPWKHRXWSXWLPSHGDQFHRIWKH EXIIHUWRWKHLQSXWLPSHGDQFHRIWKHILOWHUDW 0+]IUHTXHQFLHV7KHLQGXFWRUDOVRDFWVDVDFKRNHIRU WKH'&VXSSO\OLQH 7KH/2LQSXWSRUWLVPDWFKHGRQFKLSWRΩ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Ω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¶G /1$6WDQGDORQH&RQW¶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¶G /1$6WDQGDORQH&RQW¶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¶G 'RZQFRQYHUWHU6WDQGDORQH&RQW¶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¶G 'RZQFRQYHUWHU6WDQGDORQH&RQW¶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