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ƚŚĞĚƵƚŝĞƐŽĨĂĚŵŝŶŝƐƚĞƌŝŶŐƚŚĞĨŽůůŽǁŝŶŐĂƐƉĞĐƚƐŽĨƚŚĞƉƌŽŐƌĂŵ͗ŝŶƐƉĞĐƚŝŽŶƐ͕ĐŽƐƚĞƐƚŝŵĂƚŝŶŐ͕ ƐƉĞĐŝĨŝĐĂƚŝŽŶǁƌŝƚŝŶŐ͕ŽǁŶĞƌĂŶĚĐŽŶƚƌĂĐƚŽƌŐƵŝĚĂŶĐĞ͕ĐŽŶƐƚƌƵĐƚŝŽŶĐŽŵƉůŝĂŶĐĞ͕ĂŶĚĨŝŶĂů ŝŶƐƉĞĐƚŝŽŶ͘ ϰ 3DFNHW3J )D ŝƚǇŽĨZŽĐŚĞƐƚĞƌ^ŝŶŐůĞ&ĂŵŝůǇZĞŚĂďŝůŝƚĂƚŝŽŶ>ŽĂŶ'ƵŝĚĞůŝŶĞƐ ŶĞŵƉůŽǇĞĞŽĨƚŚĞŝƚǇŽĨZŽĐŚĞƐƚĞƌĂƐƐŝŐŶĞĚƚŚĞĨŽůůŽǁŝŶŐĂƐƉĞĐƚƐŽĨƚŚĞƉƌŽŐƌĂŵ͗,h ŶǀŝƌŽŶŵĞŶƚĂůZĞǀŝĞǁ͕ƉĞƌƐŽŶĂůŝŶĐŽŵĞǀĞƌŝĨŝĐĂƚŝŽŶ͕ĐŽŶƚƌĂĐƚŽƌĚƌĂǁƐ͕ĨŝůĞŵĂŶĂŐĞŵĞŶƚĂĨƚĞƌ ƚŚĞƉƌŽũĞĐƚŝƐĐŽŵƉůĞƚĞ͕ƉƌĞƉĂƌĞĂŶĚƌĞĐŽƌĚƉƌŽŵŝƐƐŽƌǇŶŽƚĞƐĂŶĚŵŽƌƚŐĂŐĞƐŽĨƉƌŽũĞĐƚǁŝƚŚ ĚĞĨĞƌƌĞĚůŽĂŶƐ͘ ,ŽƵƐŝŶŐhŶŝƚ͘ ƉƌŽƉĞƌƚǇƵƐĞĚĨŽƌƌĞƐŝĚĞŶƚŝĂůƉƵƌƉŽƐĞƐĐŽŶƚĂŝŶŝŶŐŶŽŵŽƌĞƚŚĂŶƚǁŽ;ϮͿ ĚǁĞůůŝŶŐƵŶŝƚƐ͕ŽŶĞŽĨƚŚĞŵďĞŝŶŐŽǁŶĞƌŽĐĐƵƉŝĞĚ͘ /ŶĐŽŵĞ'ƵŝĚĞůŝŶĞƐ ͘/ŶĐŽŵĞŐƵŝĚĞůŝŶĞƐŵĞĂŶƚŚĞƐĞƚŽĨŝŶĐŽŵĞŐƵŝĚĞůŝŶĞƐĐĂůĐƵůĂƚĞĚďǇ ŚŽƵƐĞŚŽůĚƐŝǌĞ͕ĂƐĚĞƚĞƌŵŝŶĞĚďǇƚŚĞhŶŝƚĞĚ^ƚĂƚĞƐĞƉĂƌƚŵĞŶƚŽĨ,ŽƵƐŝŶŐΘhƌďĂŶ ĞǀĞůŽƉŵĞŶƚĂŶĚŝŶĞĨĨĞĐƚĨŽƌƚŚĞZŽĐŚĞƐƚĞƌ͕DEDĞƚƌŽ&ĂŝƌDĂƌŬĞƚZĞŶƚ;&DZͿƌĞĂ͘ /ŶǀĞƐƚŽƌͲKǁŶĞĚWƌŽƉĞƌƚǇ͘ ƉƌŽƉĞƌƚǇƵƐĞĚĞŶƚŝƌĞůǇĨŽƌƌĞƐŝĚĞŶƚŝĂůƉƵƌƉŽƐĞƐƚŚĂƚŝƐĞŝƚŚĞƌ;ϭͿ ŶŽƚŽĐĐƵƉŝĞĚďǇƚŚĞŽǁŶĞƌ͕Žƌ;ϮͿĐŽŶƚĂŝŶƐƚŚƌĞĞŽƌŵŽƌĞĚǁĞůůŝŶŐƵŶŝƚƐǁŚĞƚŚĞƌŽƌŶŽƚ ŽĐĐƵƉŝĞĚďǇƚŚĞŽǁŶĞƌ͘ DŽŶŝƚŽƌŝŶŐ͘ /ŶƐƉĞĐƚŝŽŶďǇŚŽƵƐŝŶŐƐƚĂĨĨ͕ĞŵƉůŽǇĞĞƐŽĨKůŵƐƚĞĚŽƵŶƚǇ͕ĞŵƉůŽǇĞĞƐŽĨƚŚĞŝƚǇ͕ Žƌ,hƐƚĂĨĨ͕ŽĨƚŚĞƉƌŽƉĞƌƚǇ͕ƚŚĞƌĞŚĂďŝůŝƚĂƚŝŽŶǁŽƌŬĂŶĚĂůůĐŽŶƚƌĂĐƚƐ͕ŵĂƚĞƌŝĂůƐ͕ĞƋƵŝƉŵĞŶƚ͕ ƉĂǇƌŽůůƐĂŶĚĐŽŶĚŝƚŝŽŶƐŽĨĞŵƉůŽǇŵĞŶƚƉĞƌƚĂŝŶŝŶŐƚŽƚŚĞƌĞŚĂďŝůŝƚĂƚŝŽŶǁŽƌŬ͘ KǁŶĞƌͲKĐĐƵƉŝĞĚWƌŽƉĞƌƚǇ͘ ƉƌŽƉĞƌƚǇŽĐĐƵƉŝĞĚďǇƚŚĞŽǁŶĞƌƚŚĂƚŝƐƵƐĞĚĞŶƚŝƌĞůǇĨŽƌ ƌĞƐŝĚĞŶƚŝĂůƉƵƌƉŽƐĞƐĂŶĚƚŚĂƚĐŽŶƚĂŝŶƐŽŶĞŽƌƚǁŽĚǁĞůůŝŶŐƵŶŝƚƐ͘ ZĞĐŽƌĚƐ͘ DĂŝŶƚĂŝŶĞĚƌĞĐŽƌĚƐƌĞƋƵŝƌĞĚďǇƚŚĞh^ĞƉĂƌƚŵĞŶƚŽĨ,ŽƵƐŝŶŐĂŶĚhƌďĂŶ ĞǀĞůŽƉŵĞŶƚ;,hͿĂŶĚƚŚĞŝƚǇŽĨZŽĐŚĞƐƚĞƌǁŝƚŚƌĞƐƉĞĐƚƚŽƚŚĞƌĞŚĂďŝůŝƚĂƚŝŽŶǁŽƌŬĂŶĚĨŝƐĐĂů ŵĂŶĂŐĞŵĞŶƚŽĨƚŚĞƉƌŽŐƌĂŵ͘ ZĞĐŝƉŝĞŶƚ͘ dŚĞĂƉƉƌŽǀĞĚůŽĂŶĂƉƉůŝĐĂŶƚƚŚĂƚŚĂƐĞǆĞĐƵƚĞĚĂ,ŽŵĞ/ŵƉƌŽǀĞŵĞŶƚ>ŽĂŶ ZĞƉĂǇŵĞŶƚŐƌĞĞŵĞŶƚ;DŽƌƚŐĂŐĞͿƚŚƌŽƵŐŚƚŚĞŝƚǇŽĨZŽĐŚĞƐƚĞƌ^ŝŶŐůĞ&ĂŵŝůǇZĞŚĂďŝůŝƚĂƚŝŽŶ >ŽĂŶWƌŽŐƌĂŵ͘ ZĞŚĂďŝůŝƚĂƚŝŽŶŽƐƚƐ͘ dŚĞƚŽƚĂůĐŽƐƚŽĨƚŚĞƌĞƉĂŝƌƐĂŶĚŝŵƉƌŽǀĞŵĞŶƚƐĂŶĚŽƚŚĞƌĐŽƐƚƐĨŽƌ ƌĞŚĂďŝůŝƚĂƚŝŽŶƚŽďĞŝŶĐƵƌƌĞĚďǇƚŚĞĂƉƉůŝĐĂŶƚƚŚĂƚĂƌĞŝŶĐůƵĚĞĚŝŶĂƌĞŚĂďŝůŝƚĂƚŝŽŶůŽĂŶ͕ǁŚĞƚŚĞƌ ŽƌŶŽƚĨŝŶĂŶĐĞĚŝŶƉĂƌƚǁŝƚŚĨƵŶĚƐĨƌŽŵƚŚĞƌĞŚĂďŝůŝƚĂƚŝŽŶůŽĂŶƉƌŽŐƌĂŵŽƌŽƚŚĞƌƐŽƵƌĐĞƐ͘ ZĞŚĂďŝůŝƚĂƚŝŽŶ^ƚĂŶĚĂƌĚƐ͘ ZĞƋƵŝƌĞŵĞŶƚƐŽĨƚŚĞ,ŽƵƐŝŶŐŽĚĞŚĂƉƚĞƌϳͲϭ͕ZŽĐŚĞƐƚĞƌŽĚĞŽĨ KƌĚŝŶĂŶĐĞƐ͕ĂĚŽƉƚĞĚďǇƚŚĞŝƚǇŽĨZŽĐŚĞƐƚĞƌ͕^ƚĂƚĞĂŶĚ>ŽĐĂů,ĞĂůƚŚƌĞƋƵŝƌĞŵĞŶƚƐ͕^ĞĐƚŝŽŶϴ ,ŽƵƐŝŶŐYƵĂůŝƚǇ^ƚĂŶĚĂƌĚƐĂŶĚĂůůƌĞŚĂďŝůŝƚĂƚŝŽŶƐƉĞĐŝĨŝĐĂƚŝŽŶƐƚŚĂƚĂƌĞƉĂƌƚŽĨƚŚĞďŝĚ͘ ϱ 3DFNHW3J )D ŝƚǇŽĨZŽĐŚĞƐƚĞƌ^ŝŶŐůĞ&ĂŵŝůǇZĞŚĂďŝůŝƚĂƚŝŽŶ>ŽĂŶ'ƵŝĚĞůŝŶĞƐ ,WdZϮ ůŝŐŝďůĞĂŶĚ/ŶĞůŝŐŝďůĞŽƐƚƐ ƌĞŚĂďŝůŝƚĂƚŝŽŶůŽĂŶŵĂǇďĞŵĂĚĞŽŶůǇƚŽĐŽǀĞƌƚŚĞĐŽƐƚŽĨƌĞŚĂďŝůŝƚĂƚŝŽŶŶĞĐĞƐƐĂƌǇƚŽŵĂŬĞ ƚŚĞƉƌŽƉĞƌƚǇĐŽŶĨŽƌŵƚŽƚŚĞZĞŚĂďŝůŝƚĂƚŝŽŶ^ƚĂŶĚĂƌĚƐ͘^ƚĂĨĨǁŝůůĚĞƚĞƌŵŝŶĞ͕ǁŝƚŚƚŚĞŽǁŶĞƌ͕ ǁŚĂƚŝŵƉƌŽǀĞŵĞŶƚƐǁŝůůďĞĞůŝŵŝŶĂƚĞĚĨƌŽŵƚŚĞďŝĚƐ͕ŝĨƚŚĞĐŽƐƚƐĞǆĐĞĞĚƚŚĞĂŵŽƵŶƚŽĨĨƵŶĚƐ ƚŚĂƚĂƌĞĂǀĂŝůĂďůĞ͘ ƉƌŽƉĞƌƚǇŝƐĨĞĂƐŝďůĞƚŽƌĞŚĂďŝůŝƚĂƚĞŝĨƚŚĞĐŽŵďŝŶĞĚŝŶĚĞďƚĞĚŶĞƐƐƐĞĐƵƌĞĚďǇƚŚĞƉƌŽƉĞƌƚǇĂŶĚ ƚŚĞĞƐƚŝŵĂƚĞĚĐŽƐƚŽĨƌĞŚĂďŝůŝƚĂƚŝŽŶĚŽĞƐŶŽƚĞǆĐĞĞĚϭϭϬйŽĨƚŚĞƉƌŽƉĞƌƚǇ͛ƐǀĂůƵĞĂĨƚĞƌ ƌĞŚĂďŝůŝƚĂƚŝŽŶ͘dŚĞƚŽƚĂůĐŽƐƚŽĨƚŚĞƌĞŚĂďŝůŝƚĂƚŝŽŶƐŚĂůůŶŽƚĞǆĐĞĞĚĨŝĨƚǇƉĞƌĐĞŶƚ;ϱϬйͿŽĨƚŚĞ ĚǁĞůůŝŶŐ͛ƐĞƐƚŝŵĂƚĞĚŵĂƌŬĞƚǀĂůƵĞĂƐĚĞƚĞƌŵŝŶĞĚďǇƚŚĞŽƵŶƚǇƐƐĞƐƐŽƌ͘ ϭ͘ůŝŐŝďůĞŽƐƚƐ Ă͘dŚĞƌĞŚĂďŝůŝƚĂƚŝŽŶŽƌƌĞŵŽǀĂůŽĨĞůĞŵĞŶƚƐŽĨƚŚĞĚǁĞůůŝŶŐƐƚƌƵĐƚƵƌĞ͕ŝŶĐůƵĚŝŶŐďĂƐŝĐ ĞƋƵŝƉŵĞŶƚĂŶĚͬŽƌŽƚŚĞƌŝŵƉƌŽǀĞŵĞŶƚƐƚŽƚŚĞƉƌŽƉĞƌƚǇƐƵĐŚĂƐƐƚĞƉƐ͕ǁĂůŬǁĂǇƐĂŶĚ ĚƌŝǀĞǁĂǇƐ͘dŚĞƚĞƌŵ͞ďĂƐŝĐĞƋƵŝƉŵĞŶƚ͟ŝŶĐůƵĚĞƐƐƵĐŚŝƚĞŵƐĂƐĨƵƌŶĂĐĞ͕ĂŝƌĐŽŶĚŝƚŝŽŶŝŶŐ ƵŶŝƚƐ͕ǁĂƚĞƌŚĞĂƚĞƌ͕ĞůĞĐƚƌŝĐĂůĂŶĚƐĂŶŝƚĂƌǇůŝŶĞƐĂŶĚĨŝǆƚƵƌĞƐ͘ ď͘dŚĞƉƌŽǀŝƐŝŽŶƐŽĨƐĂŶŝƚĂƌǇŽƌŽƚŚĞƌĨĂĐŝůŝƚŝĞƐ͕ƐƵĐŚĂƐĂďĞĚƌŽŽŵ͕ŝŶĐůƵĚŝŶŐƚŚĞƉƌŽǀŝƐŝŽŶ͕ ĞǆƉĂŶƐŝŽŶĂŶĚĨŝŶŝƐŚŝŶŐŽĨƐƉĂĐĞŶĞĐĞƐƐĂƌǇƚŽĂĐĐŽŵŵŽĚĂƚĞƚŚŽƐĞĨĂĐŝůŝƚŝĞƐ͘ Đ͘dŚĞƉƌŽǀŝƐŝŽŶŽĨĂŶǇŝŵƉƌŽǀĞŵĞŶƚƐƌĞƋƵŝƌĞĚďǇƚŚĞZĞŚĂďŝůŝƚĂƚŝŽŶ^ƚĂŶĚĂƌĚƐ͘ Ě͘'ƌĂĚŝŶŐ͕ĨŝůůŝŶŐŽƌůĂŶĚƐĐĂƉŝŶŐŽĨƚŚĞŐƌŽƵŶĚƐ͕ŝĨƌĞƋƵŝƌĞĚďǇƚŚĞZĞŚĂďŝůŝƚĂƚŝŽŶ^ƚĂŶĚĂƌĚƐ͘ Ğ͘ŶĞƌŐǇĐŽŶƐĞƌǀĂƚŝŽŶŵĞĂƐƵƌĞƐƐƵĐŚĂƐĚŽŽƌƐ͕ǁŝŶĚŽǁƐĂŶĚŝŶƐƵůĂƚŝŽŶ͘ Ĩ͘ŽƌƌĞĐƚŝŽŶŽĨĂůůĐŽĚĞĚĞĨŝĐŝĞŶĐŝĞƐ͘ Ő͘ZĞŵŽǀĂůŽĨůĞĂĚͲďĂƐĞĚƉĂŝŶƚŚĂǌĂƌĚƐ͘ůůƵŶŝƚƐďƵŝůƚƉƌŝŽƌƚŽϭϵϳϴĂƌĞƌĞƋƵŝƌĞĚƚŽďĞ ƚĞƐƚĞĚĨŽƌƚŚĞƉƌĞƐĞŶĐĞŽĨůĞĂĚͲďĂƐĞĚƉĂŝŶƚŚĂǌĂƌĚƐƚŚƌŽƵŐŚĂůĞĂĚͲďĂƐĞĚƉĂŝŶƚƌŝƐŬ ĂƐƐĞƐƐŵĞŶƚƉƌŽĐĞĚƵƌĞ͕ĂƚƚŚĞƚŝŵĞŽĨƚŚĞŝŶŝƚŝĂůƌĞŚĂďŝůŝƚĂƚŝŽŶŝŶƐƉĞĐƚŝŽŶ͘ůĞĂĚƉĂŝŶƚ ĐůĞĂƌĂŶĐĞƌĞƉŽƌƚŵƵƐƚďĞĐŽŵƉůĞƚĞĚĂŶĚƚŚĞƵŶŝƚŵƵƐƚƉĂƐƐƚŚĞĐůĞĂƌĂŶĐĞƚĞƐƚĂƚƚŚĞ ƚŝŵĞŽĨƌĞŚĂďŝůŝƚĂƚŝŽŶĐŽŵƉůĞƚŝŽŶ͘ŽƐƚƐŽĨƚŚĞƌŝƐŬĂƐƐĞƐƐŵĞŶƚĂŶĚƚŚĞĨŝƌƐƚĐůĞĂƌĂŶĐĞ ƐŚĂůůďĞƉĂŝĚďǇƚŚĞŝƚǇŽĨZŽĐŚĞƐƚĞƌŽŶďĞŚĂůĨŽĨƚŚĞĂƉƉůŝĐĂŶƚ͘/ĨƚŚĞĨŝƌƐƚĐůĞĂƌĂŶĐĞƚĞƐƚ ĚŽĞƐŶŽƚƉĂƐƐ͕ƚŚĞĐŽŶƚƌĂĐƚŽƌŵƵƐƚďĞĂƌƚŚĞĐŽƐƚŽĨĂůůĂĚĚŝƚŝŽŶĂůĐůĞĂƌĂŶĐĞƚĞƐƚƐ͘ Ś͘ƌĞŚĂďŝůŝƚĂƚŝŽŶůŽĂŶŵĂǇďĞƵƚŝůŝǌĞĚƚŽŵŽĚŝĨǇ͕ĂůƚĞƌŽƌƌĞƉůĂĐĞĐŽŵƉŽŶĞŶƚƐŽĨĂ ƐƚƌƵĐƚƵƌĞƚŚĂƚŝŶƚŚĞŝƌƉƌĞƐĞŶƚƐƚĂƚĞŽƌďǇƚŚĞŝƌĂďƐĞŶĐĞŝŵƉĞĚĞƉŚǇƐŝĐĂůůǇůŝŵŝƚĞĚ ŽĐĐƵƉĂŶƚƐĨƌŽŵĞŶũŽǇŝŶŐƚŚĞĨƵůůďĞŶĞĨŝƚƐŽƌĐŽŵĨŽƌƚĂŶĚůŝǀĂďŝůŝƚǇŶŽƌŵĂůůǇĞǆƉĞƌŝĞŶĐĞĚ ďǇŶŽŶͲŚĂŶĚŝĐĂƉƉĞĚĚǁĞůůĞƌƐ͘dŚĞĐŽŶƐƚƌƵĐƚŝŽŶĐŽŶƚƌĂĐƚƐŚĂůůƐƉĞĐŝĨǇĂƐĂƉƉůŝĐĂďůĞ͕ ϲ 3DFNHW3J )D ŝƚǇŽĨZŽĐŚĞƐƚĞƌ^ŝŶŐůĞ&ĂŵŝůǇZĞŚĂďŝůŝƚĂƚŝŽŶ>ŽĂŶ'ƵŝĚĞůŝŶĞƐ ƌĂŵƉƐ͕ǁŝĚĞƌĚŽŽƌǁĂǇƐ͕ŚĞŝŐŚƚŽĨƉůƵŵďŝŶŐĨŝǆƚƵƌĞƐŽƌůŝŐŚƚƐǁŝƚĐŚĞƐ͕ŝŶƐƚĂůůĂƚŝŽŶŽĨ ƐĞĐŽŶĚĂƌǇƚŽŝůĞƚƌŽŽŵƐ͕ďĂƚŚƐĂŶĚͬŽƌůĂƵŶĚƌǇĨĂĐŝůŝƚŝĞƐĂŶĚŽƚŚĞƌŝƚĞŵƐƐƉĞĐŝĨŝĐƚŽĂŐŝǀĞŶ ƐƚƌƵĐƚƵƌĞĂŶĚŝƚƐŽĐĐƵƉĂŶĐǇ͘dŚĞƐƚĂĨĨƐŚĂůůĞǆĞƌĐŝƐĞƉƌƵĚĞŶƚũƵĚŐŵĞŶƚŝŶƐĞůĞĐƚŝŶŐ ĐŽŶƐƚƌƵĐƚŝŽŶŽƉƚŝŽŶƐƚŽƉƌŽǀŝĚĞƌĞĂĚǇĂĐĐĞƐƐĂƚŵŽĚĞƌĂƚĞĐŽƐƚ͘ Ϯ͘/ŶĞůŝŐŝďůĞŽƐƚƐ Ă͘EĞǁĐŽŶƐƚƌƵĐƚŝŽŶ͕ĂĚĚŝƚŝŽŶƐŽƌĞǆƉĂŶƐŝŽŶƐŶŽƚƌĞƋƵŝƌĞĚďǇƚŚĞZĞŚĂďŝůŝƚĂƚŝŽŶ^ƚĂŶĚĂƌĚƐ͘ dŚŝƐĚŽĞƐŶŽƚůŝŵŝƚƌĞŵŽĚĞůŝŶŐŽƌŝŵƉƌŽǀĞŵĞŶƚƐƚŽĂƐƐŝƐƚŚĂŶĚŝĐĂƉƉĞĚŽƌƉŚǇƐŝĐĂůůǇ ŝŵƉĂŝƌĞĚĨĂŵŝůǇŵĞŵďĞƌƐ͘ ď͘DĂƚĞƌŝĂůƐ͕ĨŝǆƚƵƌĞƐ͕ĞƋƵŝƉŵĞŶƚŽƌůĂŶĚƐĐĂƉŝŶŐŽĨĂƚǇƉĞŽƌƋƵĂůŝƚǇǁŚŝĐŚĞǆĐĞĞĚƐƚŚŽƐĞ ĐƵƐƚŽŵĂƌŝůǇƵƐĞĚŝŶƚŚĞůŽĐĂůŝƚǇŽƌǁƌŝƚƚĞŶŝŶƚŚĞǁŽƌŬƐƉĞĐŝĨŝĐĂƚŝŽŶƐ͘ Đ͘ƉƉůŝĂŶĐĞƐŶŽƚƌĞƋƵŝƌĞĚďǇƚŚĞZĞŚĂďŝůŝƚĂƚŝŽŶ^ƚĂŶĚĂƌĚƐ͘ Ě͘ĐƋƵŝƐŝƚŝŽŶŽĨůĂŶĚ͘ Ğ͘ĞƚĂĐŚĞĚ^ƚƌƵĐƚƵƌĞƐ͘ ϳ 3DFNHW3J )D ŝƚǇŽĨZŽĐŚĞƐƚĞƌ^ŝŶŐůĞ&ĂŵŝůǇZĞŚĂďŝůŝƚĂƚŝŽŶ>ŽĂŶ'ƵŝĚĞůŝŶĞƐ ,WdZϯ WƌŽƉĞƌƚǇĂŶĚƉƉůŝĐĂŶƚ/ŶĐŽŵĞůŝŐŝďŝůŝƚǇ ;dĞƌŵƐĂŶĚŽŶĚŝƚŝŽŶƐͿ dŚŝƐĐŚĂƉƚĞƌĚĞƐĐƌŝďĞƐƚŚĞĞůŝŐŝďŝůŝƚǇƌĞƋƵŝƌĞŵĞŶƚƐŝŶƌĞŐĂƌĚƚŽƚŚĞƉƌŽƉĞƌƚǇĂŶĚƚŚĞĂƉƉůŝĐĂŶƚ ĨŽƌĂƌĞŚĂďŝůŝƚĂƚŝŽŶůŽĂŶ͘ZĞŚĂďŝůŝƚĂƚŝŽŶ>ŽĂŶƐĂƌĞĂǀĂŝůĂďůĞŽŶůǇĨŽƌƉƌŽƉĞƌƚŝĞƐůŽĐĂƚĞĚǁŝƚŚŝŶ ƚŚĞŝƚǇŽĨZŽĐŚĞƐƚĞƌ͘ůůĞůŝŐŝďůĞĂƉƉůŝĐĂŶƚƐǁŝůůďĞƉƌŽĐĞƐƐĞĚŽŶĂĨŝƌƐƚͲĐŽŵĞͲĨŝƌƐƚƐĞƌǀĞďĂƐŝƐ͘ ϭ͘WƌŽƉĞƌƚǇůŝŐŝďŝůŝƚǇ Ă͘dŚĞĂƉƉůŝĐĂŶƚŵƵƐƚŽǁŶ;ĨĞĞƚŝƚůĞͿŽƌŚĂǀĞĂůŝĨĞĞƐƚĂƚĞŽƌĂŵƵƚƵĂůůǇďŝŶĚŝŶŐ͕ƌĞĐŽƌĚĞĚ ĐŽŶƚƌĂĐƚĨŽƌĚĞĞĚŝŶƚŚĞƉƌŽƉĞƌƚǇďĞŝŶŐŝŵƉƌŽǀĞĚ͕ĂŶĚŝƚŵƵƐƚďĞƚŚĞĂƉƉůŝĐĂŶƚ͛ƐƉƌŝŶĐŝƉůĞ ƉůĂĐĞŽĨƌĞƐŝĚĞŶĐĞ͘dŚĞĂƉƉůŝĐĂŶƚŵƵƐƚƉŽƐƐĞƐƐĂĨĞĞƐŝŵƉůĞĚĞĞĚƌĞŐŝƐƚĞƌĞĚŝŶƚŚĞ ĂƉƉůŝĐĂŶƚ͛ƐŶĂŵĞĨŽƌƚŚĞƉƌŽƉĞƌƚǇƚŽďĞŝŵƉƌŽǀĞĚ͘/ŶƚŚĞĞǀĞŶƚƚŚĂƚĂĐŽŶƚƌĂĐƚĨŽƌĚĞĞĚ ĂƌƌĂŶŐĞŵĞŶƚŝƐƉƌĞƐĞŶƚ͕ƚŚĞŝƚǇƚƚŽƌŶĞǇƐŚĂůůďĞĐŽŶƐƵůƚĞĚƚŽĚĞƚĞƌŵŝŶĞ͗;ĂͿŝĨƚŚĞ ĐŽŶƚƌĂĐƚǀĞŶĚĞĞ͛ƐƉĂƌƚŝĐŝƉĂƚŝŽŶŝŶƚŚĞƌĞŚĂďƉƌŽŐƌĂŵŝƐĐŽŵƉĂƚŝďůĞǁŝƚŚƚŚĞƚĞƌŵƐŽĨƚŚĞ ĐŽŶƚƌĂĐƚĨŽƌĚĞĞĚ͕;ďͿŝĨƉĞƌŵŝƐƐŝŽŶĨƌŽŵƚŚĞĐŽŶƚƌĂĐƚǀĞŶĚŽƌŝƐŶĞĞĚĞĚďĞĨŽƌĞ ƵŶĚĞƌƚĂŬŝŶŐƌĞŚĂď͕ĂŶĚ;ĐͿŝĨƚŚĞĐŽŶƚƌĂĐƚǀĞŶĚŽƌŶĞĞĚƐƚŽďĞƉĂƌƚǇƚŽƚŚĞƌĞŚĂď ŵŽƌƚŐĂŐĞͬƌĞƉĂǇŵĞŶƚĂŐƌĞĞŵĞŶƚ͘ ď͘dŚĞƉƌŽƉĞƌƚǇŵƵƐƚďĞƵƐĞĚĨŽƌƌĞƐŝĚĞŶƚŝĂůƉƵƌƉŽƐĞƐĂŶĚŵƵƐƚĐŽŶƚĂŝŶŶŽŵŽƌĞƚŚĂŶƚǁŽ ĚǁĞůůŝŶŐƵŶŝƚƐ͕ŽŶĞŽĨƚŚĞŵďĞŝŶŐŽǁŶĞƌŽĐĐƵƉŝĞĚ͘ Đ͘dŚĞƉƌŽƉĞƌƚǇŵƵƐƚďĞĐůĂƐƐŝĨŝĞĚĂƐŚŽŵĞƐƚĞĂĚĞĚďǇƚŚĞKůŵƐƚĞĚŽƵŶƚǇƐƐĞƐƐŽƌ͛Ɛ KĨĨŝĐĞ͘ Ě͘dŚĞĨĞĞŽǁŶĞƌŵƵƐƚŚĂǀĞƚŝƚůĞƚŽƚŚĞƉƌŽƉĞƌƚǇĨŽƌĂŵŝŶŝŵƵŵŽĨƐŝǆ;ϲͿŵŽŶƚŚƐƉƌŝŽƌƚŽ ƚŚĞĚĂƚĞŽĨĂƉƉůŝĐĂƚŝŽŶ͘ Ğ͘ůŝŐŝďůĞƉƌŽƉĞƌƚŝĞƐŝŶƚŚĞϭϬϬǇĞĂƌĨůŽŽĚƉůĂŝŶǌŽŶĞŵƵƐƚĐĂƌƌǇĨůŽŽĚŝŶƐƵƌĂŶĐĞƚŚĂƚǁŝůů ĐŽǀĞƌƚŚĞĐŽƐƚŽĨƚŚĞŝŵƉƌŽǀĞŵĞŶƚƐƚŚĂƚĂƌĞŵĂĚĞƚŽƚŚĞƉƌŽƉĞƌƚǇƚŚƌŽƵŐŚƚŚĞ ƌĞŚĂďŝůŝƚĂƚŝŽŶůŽĂŶƉƌŽŐƌĂŵĨŽƌƚŚĞƌĞŵĂŝŶŝŶŐĞĐŽŶŽŵŝĐůŝĨĞŽĨƚŚĞŝŵƉƌŽǀĞŵĞŶƚƐ͘ Ĩ͘WƌŽƉĞƌƚǇƚĂǆĞƐĂŶĚĐŝƚǇƵƚŝůŝƚǇďŝůůƐŵƵƐƚďĞĐƵƌƌĞŶƚĂƚƚŚĞƚŝŵĞŽĨĂƉƉůŝĐĂƚŝŽŶ͘ Ϯ͘ƉƉůŝĐĂŶƚ/ŶĐŽŵĞůŝŐŝďŝůŝƚǇ Ă͘ƐƐĞƚƐ͘ ĂŶŶŽƚĞǆĐĞĞĚΨϮϱ͕ϬϬϬƉĞƌŚŽƵƐŝŶŐƵŶŝƚĞǆĐůƵĚŝŶŐƚŚĞƉƌŽƉĞƌƚǇďĞŝŶŐ ƌĞŚĂďŝůŝƚĂƚĞĚĂŶĚŶĞĐĞƐƐĂƌǇƉĞƌƐŽŶĂůƉƌŽƉĞƌƚǇ;ŝ͘Ğ͘ĨƵƌŶŝƐŚŝŶŐƐ͕ĂƉƉůŝĂŶĐĞƐ͕ĂŶĚǀĞŚŝĐůĞƐͿ͘ ƐƐĞƚƐĂƌĞĚĞĨŝŶĞĚĂƐŝƚĞŵƐŽĨǀĂůƵĞǁŚŝĐŚŵĂǇďĞƚƵƌŶĞĚŝŶƚŽĐĂƐŚŽƌĞĂƌŶŝŶƚĞƌĞƐƚ͘ ϴ 3DFNHW3J )D ŝƚǇŽĨZŽĐŚĞƐƚĞƌ^ŝŶŐůĞ&ĂŵŝůǇZĞŚĂďŝůŝƚĂƚŝŽŶ>ŽĂŶ'ƵŝĚĞůŝŶĞƐ ď͘ŶŶƵĂů/ŶĐŽŵĞZĞƋƵŝƌĞŵĞŶƚƐ͘ ŶŶƵĂůŝŶĐŽŵĞĐĂŶŶŽƚĞǆĐĞĞĚƚŚĞ>ŽǁŝŶĐŽŵĞůŝŵŝƚƐ ;ϴϬйŽĨDĞĚŝĂŶ/ŶĐŽŵĞͿ͕ĂƐĚĞƚĞƌŵŝŶĞĚďǇƚŚĞĞƉĂƌƚŵĞŶƚŽĨ,ŽƵƐŝŶŐĂŶĚhƌďĂŶ ĞǀĞůŽƉŵĞŶƚ;,hͿ͕^ĞĐƚŝŽŶϴWƌŽŐƌĂŵ͘dŚĞůŽǁŝŶĐŽŵĞůŝŵŝƚƐĂƌĞĚĞƚĞƌŵŝŶĞĚďǇƚŚĞ ŶƵŵďĞƌŽĨƉĞƌƐŽŶƐŝŶƚŚĞŚŽƵƐŝŶŐƵŶŝƚ͘dŽďĞĞůŝŐŝďůĞĨŽƌ'ĂƐƐŝƐƚĂŶĐĞ͕ƚŚĞŐƌŽƐƐ ĂŶŶƵĂůŝŶĐŽŵĞŽĨƚŚĞƚŽƚĂůŚŽƵƐŝŶŐƵŶŝƚ;ƐͿŵƵƐƚďĞŽĐĐƵƉŝĞĚďǇĂůŽǁŝŶĐŽŵĞŚŽƵƐĞŚŽůĚ͘ dŚĞůŽǁŝŶĐŽŵĞůŝŵŝƚƐĂƌĞĚĞƚĞƌŵŝŶĞĚďǇƚŚĞƚŽƚĂůŶƵŵďĞƌŽĨƉĞƌƐŽŶƐŝŶĞĂĐŚŚŽƵƐŝŶŐ ƵŶŝƚ͘ Đ͘ŶŶƵĂů/ŶĐŽŵĞsĞƌŝĨŝĐĂƚŝŽŶ͘ 'ƌŽƐƐĂŶŶƵĂůŝŶĐŽŵĞĚĂƚĂŝŶĐůƵĚŝŶŐ͕ďƵƚŶŽƚůŝŵŝƚĞĚƚŽƚŚĞ ĨŽůůŽǁŝŶŐ͗ ůůŝŶĐŽŵĞĞĂƌŶĞĚďǇŚĞĂĚŽĨŚŽƵƐĞŚŽůĚ͕ƐƉŽƵƐĞ͕ĂŶĚŽƚŚĞƌĨĂŵŝůǇŵĞŵďĞƌ͛ƐĂŐĞ x ϭϴǇĞĂƌƐŽĨĂŐĞŽƌŽůĚĞƌǁŚŽƌĞƐŝĚĞĂƚƚŚĞƌĞƐŝĚĞŶĐĞ ŶǇŽƚŚĞƌŝŶĐŽŵĞƐŽƵƌĐĞ;ŝŶƚĞƌĞƐƚ͕ĐŚŝůĚƐƵƉƉŽƌƚ͕ĞƚĐ͘Ϳ x /ŶĐŽŵĞĨƌŽŵ^ŽĐŝĂů^ĞĐƵƌŝƚǇ͕WĞŶƐŝŽŶƐ͕ŶŶƵŝƚŝĞƐ͕ŐĞŶĞƌĂůƌĞůŝĞĨ͕ƵŶĞŵƉůŽǇŵĞŶƚ͕ x D&/W;DŝŶŶĞƐŽƚĂ&ĂŵŝůŝĞƐ/ŶǀĞƐƚŵĞŶƚWƌŽŐƌĂŵͿ͘ ǀĞƌĂŐĞŶĞƚŝŶĐŽŵĞĨŽƌƐĞůĨͲĞŵƉůŽǇĞĚĂƉƉůŝĐĂŶƚƐďĞŝŶŐƚŚĞĂǀĞƌĂŐĞĂŶŶƵĂů x ŝŶĐŽŵĞĨƌŽŵƚŚĞƉƌĞǀŝŽƵƐƚǁŽǇĞĂƌƐ͕ĞǆĐůƵĚŝŶŐĚĞƉƌĞĐŝĂƚŝŽŶ͕ĂƐƌĞƉŽƌƚĞĚŝŶƚŚĞ ƚĂǆƌĞƚƵƌŶ͘ /ŶĐŽŵĞĐŽŶƚƌŝďƵƚĞĚŽƌƉĂŝĚƚŽƚŚĞĂƉƉůŝĐĂŶƚŽŶĂƌĞŐƵůĂƌďĂƐŝƐďǇĂƉĞƌƐŽŶŶŽƚ x ůŝǀŝŶŐŝŶƚŚĞŚŽƵƐŝŶŐƵŶŝƚ͘ WŽƌƚŝŽŶŽĨ/ŶĐŽŵĞĚĞƌŝǀĞĚĨƌŽŵZĞŶƚĂůhŶŝƚ͗/ĨƚŚĞƌĞŚĂďŝůŝƚĂƚĞĚƉƌŽƉĞƌƚǇ x ĐŽŶƚĂŝŶƐŽŶĞƌĞŶƚĂůƵŶŝƚ͕ƚŚĂƚƉŽƌƚŝŽŶŽĨƚŚĞĂƉƉůŝĐĂŶƚ͛ƐŝŶĐŽŵĞƚŚĂƚŝƐĚĞƌŝǀĞĚ ĨƌŽŵƚŚĞƉƌŽƉĞƌƚǇƐŚĂůůďĞƌĞƉŽƌƚĞĚŽŶƚŚĞĂƉƉůŝĐĂƚŝŽŶĂƐĂŶĞƚĨŝŐƵƌĞ ĚĞƚĞƌŵŝŶĞĚĂƐĨŽůůŽǁƐ͗ dŚĞŶĞƚŝŶĐŽŵĞĨƌŽŵĂƌĞŶƚĂůƵŶŝƚŝŶƚŚĞŽǁŶĞƌͲŽĐĐƵƉŝĞĚƉƌŽƉĞƌƚǇŝƐƚŚĞŐƌŽƐƐ ƌĞŶƚĂůŝŶĐŽŵĞ͕ůĞƐƐĞǆƉĞŶĚŝƚƵƌĞƐĂůůŽǁĂďůĞƚŽƚŚĞƌĞŶƚĂůƵŶŝƚ͘dŚĞƐĞĂůůŽǁĂďůĞ ĞǆƉĞŶĚŝƚƵƌĞƐŝŶĐůƵĚĞƐŵŽƌƚŐĂŐĞƉĂǇŵĞŶƚƐ͕ĂǀĞƌĂŐĞŽĨƚǁŽǇĞĂƌƐŽƌŵŽƌĞ ŵŽƌƚŐĂŐĞŝŶƐƵƌĂŶĐĞƉƌĞŵŝƵŵƐ͕ŚĂǌĂƌĚŝŶƐƵƌĂŶĐĞ͕ƌĞĂůĞƐƚĂƚĞƚĂǆĞƐĂŶĚƐƉĞĐŝĂů ĂƐƐĞƐƐŵĞŶƚƐĂŶĚĐĂƐŚĞǆƉĞŶĚŝƚƵƌĞƐĨŽƌƚŚĞƉƌŽƉĞƌƚǇƐƵĐŚĂƐĂĚǀĞƌƚŝƐŝŶŐ ǀĂĐĂŶĐŝĞƐ͘/ĨƚŚĞĂƉƉůŝĐĂŶƚŚĂƐŶŽƚŽǁŶĞĚƚŚĞƉƌŽƉĞƌƚǇĨŽƌƚǁŽŽƌŵŽƌĞǇĞĂƌƐ͕ ƚŚĞƐƚĂĨĨƐŚĂůůĞƐƚŝŵĂƚĞƚŚĞŝŶĐŽŵĞĂŶĚĞǆƉĞŶĚŝƚƵƌĞƐŽŶƚŚĞĂǀĂŝůĂďůĞ ŝŶĨŽƌŵĂƚŝŽŶ͘ dŚĞĂůůŽĐĂƚŝŽŶŽĨĞǆƉĞŶĚŝƚƵƌĞƐƚŽƚŚĞƌĞŶƚĂůƵŶŝƚŵĂǇďĞĞƐƚĂďůŝƐŚĞĚďǇĚŝǀŝĚŝŶŐ ƚŽƚĂůŵŽŶƚŚůǇĞǆƉĞŶĚŝƚƵƌĞƐĨŽƌƚŚĞĞŶƚŝƌĞƉƌŽƉĞƌƚǇďǇƚŚĞŶƵŵďĞƌŽĨƵŶŝƚƐ;ϮͿŝŶ ƚŚĞƉƌŽƉĞƌƚǇ͘dŚĞƌĞƐƵůƚŝƐƚŚĞƐŚĂƌĞĚĞǆƉĞŶĚŝƚƵƌĞƐĂůůŽǁĂďůĞƚŽƚŚĞŽǁŶĞƌͲ ϵ 3DFNHW3J )D ŝƚǇŽĨZŽĐŚĞƐƚĞƌ^ŝŶŐůĞ&ĂŵŝůǇZĞŚĂďŝůŝƚĂƚŝŽŶ>ŽĂŶ'ƵŝĚĞůŝŶĞƐ ŽĐĐƵƉŝĞĚĚǁĞůůŝŶŐƵŶŝƚ͕ǁŚŝĐŚǁŚĞŶƐƵďƚƌĂĐƚĞĚĨƌŽŵƚŚĞĞǆƉĞŶĚŝƚƵƌĞƐĨŽƌƚŚĞ ĞŶƚŝƌĞƉƌŽƉĞƌƚǇƉƌŽĚƵĐĞƐƚŚĞŵŽŶƚŚůǇĞǆƉĞŶĚŝƚƵƌĞƐĂůůŽǁĂďůĞƚŽƚŚĞƌĞŶƚĂůƵŶŝƚ ;ŝ͘Ğ͘ŽĨƚĞŶƵŶŝƚƐĂƌĞƌĞŶƚĞĚǁŝƚŚŚĞĂƚĂŶĚǁĂƚĞƌďƵƚƵŶĚĞƌƐĞƉĂƌĂƚĞĞůĞĐƚƌŝĐĂů ŵĞƚĞƌƐ͕ŝŶƚŚĞƐĞĐĂƐĞƐ͕ƚŚĞŚĞĂƚĂŶĚǁĂƚĞƌĂƌĞƐŚĂƌĞĚĞǆƉĞŶƐĞƐďƵƚƚŚĞĞůĞĐƚƌŝĐĂů ĐŽƐƚƚŽƚŚĞƚĞŶĂŶƚƐŝƐŶŽƚƉĂƌƚŽĨƚŚĞďƵŝůĚŝŶŐĞǆƉĞŶƐĞ͘Ϳ Ě͘/ŶĐŽŵĞŶŽƚƚŽďĞŝŶĐůƵĚĞĚǁŝƚŚƚŚĞĂƉƉůŝĐĂƚŝŽŶ͗ ĂƌŶĞĚŝŶĐŽŵĞŽĨĨĂŵŝůǇŵĞŵďĞƌƐƵŶĚĞƌϭϴǇĞĂƌƐŽĨĂŐĞ͘ x /ŶĐŽŵĞŽĨĨĂŵŝůǇŵĞŵďĞƌƐǁŚŽĂƌĞĨƵůůͲƚŝŵĞƐƚƵĚĞŶƚƐŵĂǇŽƌŵĂǇŶŽƚďĞ x ĐŽƵŶƚĞĚĂƐŝŶĐŽŵĞ͕ĂƐŝƐŝĚĞŶƚŝĨŝĞĚŝŶƚŚĞ,hŝŶĐŽŵĞĚĞƚĞƌŵŝŶĂƚŝŽŶ ƌĞƋƵŝƌĞŵĞŶƚƐ͘ ϭϬ 3DFNHW3J )D ŝƚǇŽĨZŽĐŚĞƐƚĞƌ^ŝŶŐůĞ&ĂŵŝůǇZĞŚĂďŝůŝƚĂƚŝŽŶ>ŽĂŶ'ƵŝĚĞůŝŶĞƐ ,WdZϰ dǇƉĞŽĨƐƐŝƐƚĂŶĐĞĂŶĚŽŶĚŝƚŝŽŶƐ ƉƉůŝĐĂŶƚƐǁŚŽƐĞŝŶĐŽŵĞĂŶĚĂƐƐĞƚƐĂƌĞŝŶĂĐĐŽƌĚĂŶĐĞǁŝƚŚƚŚĞĞƐƚĂďůŝƐŚĞĚŐƵŝĚĞůŝŶĞƐŵĂǇ 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ĂƉƉůŝĐĂŶƚ;ƐͿǁŝůůďĞĐŚĂƌŐĞĚĂŶŝŶƚĞƌĞƐƚƌĂƚĞŽĨϭϱйƉĞƌĐĂůĞŶĚĂƌǇĞĂƌŽŶƚŚĞĂŵŽƵŶƚƉĂƐƚ ĚƵĞĂŶĚƌĞŵĂŝŶŝŶŐƵŶƉĂŝĚ͕ƵŶƚŝůƐƵĐŚƚŝŵĞĂƐƚŚĞƌĞŚĂďŝůŝƚĂƚŝŽŶůŽĂŶŝƐƉĂŝĚŝŶĨƵůů͘dŚĞŝƚǇ ŽĨZŽĐŚĞƐƚĞƌĂůƐŽƌĞƚĂŝŶƐƚŚĞƌŝŐŚƚŽĨĨŽƌĞĐůŽƐƵƌĞŽŶƚŚĞƉƌŽƉĞƌƚǇƚŽĞŶƐƵƌĞƉĂǇŵĞŶƚ͘ ϰ͘WĂǇŵĞŶƚ͘ dŚĞƉƉůŝĐĂŶƚ;ƐͿŵĂǇŽŶůǇƌĞƉĂǇƚŚĞĂŵŽƵŶƚĚƵĞŝŶĨƵůů͘EŽƉĞƌŝŽĚŝĐƉĂǇŵĞŶƚƐ ǁŝůůďĞĂĐĐĞƉƚĞĚ͘WĂǇŵĞŶƚŝƐƚŽďĞŵĂĚĞƚŽƚŚĞŝƚǇŽĨZŽĐŚĞƐƚĞƌĂŶĚƉĂŝĚĂƚƚŚĞŝƚǇ &ŝŶĂŶĐĞ͕ŝƚǇ,Ăůů͕ϮϬϭ&ŽƵƌƚŚ^ƚƌĞĞƚ^͕ZŽĐŚĞƐƚĞƌ͕DEϱϱϵϬϰ͘ ϱ͘DŽƌƚŐĂŐĞ͘ dŚĞĞĨĞƌƌĞĚ>ŽĂŶƐŚĂůůďĞƐĞĐƵƌĞĚďǇĂ,ŽŵĞ/ŵƉƌŽǀĞŵĞŶƚ>ŽĂŶZĞƉĂǇŵĞŶƚ ϭϭ 3DFNHW3J )D ŝƚǇŽĨZŽĐŚĞƐƚĞƌ^ŝŶŐůĞ&ĂŵŝůǇZĞŚĂďŝůŝƚĂƚŝŽŶ>ŽĂŶ'ƵŝĚĞůŝŶĞƐ ŐƌĞĞŵĞŶƚ;DŽƌƚŐĂŐĞͿ͘;^ĞĞŚĂƉƚĞƌϭϮʹ&ŽƌŵƐ͘ͿdŚĞĂƐƐĞƐƐĞĚŵĂƌŬĞƚǀĂůƵĞŽĨƚŚĞ ƉƌŽƉĞƌƚǇŵƵƐƚďĞŽĨĂƐƵĨĨŝĐŝĞŶƚĂŵŽƵŶƚƚŽƉƌŽǀŝĚĞƚŚĞŝƚǇŽĨZŽĐŚĞƐƚĞƌǁŝƚŚĂĚĞƋƵĂƚĞůŽĂŶ ƐĞĐƵƌŝƚǇ͘ ϲ͘^ƵďŽƌĚŝŶĂƚŝŽŶ͘ dŚĞŝƚǇŽĨZŽĐŚĞƐƚĞƌŝƐǁŝůůŝŶŐƚŽƐƵďŽƌĚŝŶĂƚĞƚŚĞƉŽƐŝƚŝŽŶŽĨƚŚĞ' ,ŽŵĞ/ŵƉƌŽǀĞŵĞŶƚ>ŽĂŶZĞƉĂǇŵĞŶƚŐƌĞĞŵĞŶƚ;DŽƌƚŐĂŐĞͿƵƉŽŶƌĞƋƵĞƐƚďǇƚŚĞŽǁŶĞƌ͘ ŵĞƌŐĞŶĐǇĂƐĞƐ͘ ϳ͘dŚĞƵƐĞŽĨƉƌŽŐƌĂŵĨƵŶĚƐĨŽƌĞŵĞƌŐĞŶĐǇĐĂƐĞƐ ǁŝůůďĞĐŽŶƐŝĚĞƌĞĚĨŽƌŝŵƉƌŽǀĞŵĞŶƚƐƚŚĂƚŶĞĞĚŝŵŵĞĚŝĂƚĞĐŽƌƌĞĐƚŝŽŶ;ŝ͘Ğ͘ĨƵƌŶĂĐĞŽƌƌŽŽĨ ƌĞƉůĂĐĞŵĞŶƚ͕ŵĞĚŝĐĂůŶĞĐĞƐƐŝƚǇͿ͘WƌŽŐƌĂŵĨƵŶĚƐǁŝůůďĞƵƐĞĚĨŽƌƚŚĞĞŵĞƌŐĞŶĐǇ ŝŵƉƌŽǀĞŵĞŶƚ;ƐͿŽŶůǇ͕ĂŶĚǁŝůůďĞĚĞƚĞƌŵŝŶĞĚďǇƐƚĂĨĨŽŶĂĐĂƐĞͲďǇͲĐĂƐĞďĂƐŝƐĂŶĚƚŚĞ ĂǀĂŝůĂďŝůŝƚǇŽĨĨƵŶĚŝŶŐ͘ƉƉůŝĐĂƚŝŽŶƐĨŽƌĞŵĞƌŐĞŶĐǇĐĂƐĞƐǁŝůůƌĞŵĂŝŶŽŶƚŚĞƉƌŽŐƌĂŵ ǁĂŝƚŝŶŐůŝƐƚĨŽƌĂŶǇĂĚĚŝƚŝŽŶĂůŝŵƉƌŽǀĞŵĞŶƚƐƚŚĞƉƌŽƉĞƌƚǇŵĂǇŶĞĞĚ͘ůůĞŵĞƌŐĞŶĐǇĐĂƐĞ ĂƉƉůŝĐĂŶƚƐǁŝůůŶĞĞĚƚŽŵĞĞƚĂůůƉƌŽŐƌĂŵĞůŝŐŝďŝůŝƚǇŐƵŝĚĞůŝŶĞƐĨŽƌƉƌŽŐƌĂŵƉĂƌƚŝĐŝƉĂƚŝŽŶ͘ >ŽĂŶǆĐĞĞĚŝŶŐΨϮϰ͕ϵϵϵ͘ ϴ͘/ŶĐĞƌƚĂŝŶƐŝƚƵĂƚŝŽŶƐ͕ŝƚŵĂǇďĞŶĞĐĞƐƐĂƌǇĨŽƌĂůŽĂŶƚŽĞǆĐĞĞĚ ΨϮϰ͕ϵϵϵ͘/ŶƚŚĞƐĞƐŝƚƵĂƚŝŽŶƐ͕ƚŚĞƉƌŽƉĞƌƚǇŵƵƐƚďĞďƵŝůƚĂĨƚĞƌϭϵϳϴ͕ŝŶŶŽĐĂƐĞƐŚĂůůĂůŽĂŶ ĞǆĐĞĞĚΨϯϱ͕ϬϬϬ͕ĂŶĚƌĞƋƵĞƐƚĞĚůŽĂŶǁŝůůŶĞĞĚƚŽďĞĂƉƉƌŽǀĞĚďǇƚŚĞŝƚǇŽĨZŽĐŚĞƐƚĞƌ ŽŵŵƵŶŝƚǇĞǀĞůŽƉŵĞŶƚŝƌĞĐƚŽƌƉƌŝŽƌƚŽĂŶǇƌĞŚĂďǁŽƌŬŽĐĐƵƌƌŝŶŐ͘ ϭϮ 3DFNHW3J )D ŝƚǇŽĨZŽĐŚĞƐƚĞƌ^ŝŶŐůĞ&ĂŵŝůǇZĞŚĂďŝůŝƚĂƚŝŽŶ>ŽĂŶ'ƵŝĚĞůŝŶĞƐ ,WdZϱ WƌŽĐĞƐƐŝŶŐĂŶĚ^ƵďŵŝƐƐŝŽŶĨŽƌWƌŽŐƌĂŵƐƐŝƐƚĂŶĐĞ dŚŝƐĐŚĂƉƚĞƌĚĞƐĐƌŝďĞƐƚŚĞĨƵŶĐƚŝŽŶƐƚŽďĞƉĞƌĨŽƌŵĞĚďǇƚŚĞƐƚĂĨĨŝŶĐŽŶŶĞĐƚŝŽŶǁŝƚŚ ƌĞŚĂďŝůŝƚĂƚŝŽŶĂƐƐŝƐƚĂŶĐĞ͕ĂŶĚƐĞƚƐĨŽƌƚŚƚŚĞƉŽůŝĐŝĞƐĂŶĚƉƌŽĐĞĚƵƌĞƐƚŽďĞĨŽůůŽǁĞĚďǇƚŚĞƐƚĂĨĨ ŝŶƉƌĞƉĂƌŝŶŐ͕ƉƌŽĐĞƐƐŝŶŐĂŶĚĂƉƉƌŽǀŝŶŐĂŶĂƉƉůŝĐĂƚŝŽŶĨŽƌĂƌĞŚĂďŝůŝƚĂƚŝŽŶůŽĂŶĂŶĚŝŶĐĂŶĐĞůŝŶŐ ĂŶĂƉƉƌŽǀĞĚƌĞŚĂďŝůŝƚĂƚŝŽŶůŽĂŶ͘ ϭ͘KƵƚůŝŶĞŽĨ^ƚĂĨĨ&ƵŶĐƚŝŽŶƐ͗ ŽŵƉůĞƚĞĚďǇŝƚǇ^ƚĂĨĨ͗ Ă͘/ŶƚĞƌǀŝĞǁĂŶĚĂĚǀŝƐĞƚŚĞĂƉƉůŝĐĂŶƚŽŶƚŚĞƌĞŚĂďŝůŝƚĂƚŝŽŶŽďũĞĐƚŝǀĞƐĂŶĚƐƚĂŶĚĂƌĚƐ͘ ď͘ĚǀŝƐĞƚŚĞĂƉƉůŝĐĂŶƚŽŶƚŚĞĂǀĂŝůĂďŝůŝƚǇĂŶĚĞůŝŐŝďŝůŝƚǇŽĨƚŚĞƉŽƐƐŝďůĞƌĞŚĂďŝůŝƚĂƚŝŽŶ ĂƐƐŝƐƚĂŶĐĞĂŶĚŽƚŚĞƌƉƌŽŐƌĂŵƐƚŚĂƚŵĂǇďĞĂǀĂŝůĂďůĞ͘ Đ͘ƐƐŝƐƚƚŚĞĂƉƉůŝĐĂŶƚǁŝƚŚĐŽŵƉůĞƚŝŶŐƚŚĞĂƉƉůŝĐĂƚŝŽŶ͘ Ě͘sĞƌŝĨǇĂƉƉůŝĐĂŶƚƐŝŶĐŽŵĞ͕ĂƐƐĞƚƐ͕ŚŽƵƐŝŶŐĞǆƉĞŶƐĞƐ͕ŽǁŶĞƌƐŚŝƉŽĨƚŚĞƉƌŽƉĞƌƚǇĂŶĚ ŶĞĐĞƐƐĂƌǇŝŶƐƵƌĂŶĐĞƌĞƋƵŝƌĞŵĞŶƚƐǁŝƚŚĂůůƐƵƉƉŽƌƚŝŶŐĚŽĐƵŵĞŶƚĂƚŝŽŶďĞŝŶŐƌĞƚĂŝŶĞĚŝŶ ƚŚĞĂƉƉůŝĐĂŶƚ͛ƐĨŝůĞ͘/Ĩǀ ĞƌŝĨŝĐĂƚŝŽŶƐĂƌĞĚĂƚĞĚŵŽƌĞƚŚĂŶϭϴϬĚĂǇƐďĞĨŽƌĞĚĞƚĞƌŵŝŶŝŶŐ ƉƌŽŐƌĂŵĞůŝŐŝďŝůŝƚǇ͕ŶĞǁǀĞƌŝĨŝĐĂƚŝŽŶĨŽƌŵƐƐŚĂůůďĞĐŽŵƉůĞƚĞĚ͘ Ğ͘sĞƌŝĨǇƉƌŽƉĞƌƚǇĞůŝŐŝďŝůŝƚǇ͕ĂƉƉůŝĐĂŶƚ͛ƐŝŶĐŽŵĞĂŶĚĂƐƐĞƚĞůŝŐŝďŝůŝƚǇĂŶĚĞƐƚĂďůŝƐŚĂŵŽƵŶƚŽĨ ƉƌŽŐƌĂŵĨƵŶĚƐĂƉƉůŝĐĂŶƚŵĂǇƌĞĐĞŝǀĞ͘ Ĩ͘WƌĞƉĂƌĞǀŽƵĐŚĞƌĨŽƌĚŝƐƉŽƐŝƚŝŽŶŽĨĨƵŶĚƐ͘ Ő͘ůŽƐĞŽƵƚƌĞŚĂďŝůŝƚĂƚŝŽŶĨŝůĞ͘ ŽŵƉůĞƚĞĚďǇK,Z^ƚĂĨĨ͗ Ă͘/ŶƐƉĞĐƚƚŚĞƉƌŽƉĞƌƚǇƚŽĚĞƚĞƌŵŝŶĞĞǆŝƐƚŝŶŐĐŽŶĚŝƚŝŽŶƐ͘ ď͘WƌĞƉĂƌĞĂǁŽƌŬǁƌŝƚĞͲƵƉĚĞƐĐƌŝďŝŶŐ͕ŝŶĚĞƚĂŝů͕ƚŚĞŝŵƉƌŽǀĞŵĞŶƚƐƚŽďĞĐŽŵƉůĞƚĞĚ͘ Đ͘KďƚĂŝŶůĞĂĚͲďĂƐĞĚƉĂŝŶƚƌŝƐŬĂƐƐĞƐƐŵĞŶƚĨŽƌƐƵďũĞĐƚƉƌŽƉĞƌƚǇ͘ Ěŝ͘WƌĞƉĂƌĞďŝĚƐƉĞĐŝĨŝĐĂƚŝŽŶĚŽĐƵŵĞŶƚƐĂŶĚŚĂǀĞĂƉƉůŝĐĂŶƚŽďƚĂŝŶĐŽŶƚƌĂĐƚŽƌƐƉƌŽƉŽƐĂůƐ ĨŽƌƚŚĞƌĞŚĂďŝůŝƚĂƚŝŽŶǁŽƌŬĂŶĚƌĞǀŝĞǁƉƌŽƉŽƐĂůƐƌĞĐĞŝǀĞĚ͘ Ğ͘ƐƐŝŐŶĂƉƉůŝĐĂƚŝŽŶŶƵŵďĞƌĂŶĚĞŶƚĞƌŽŶƚŚĞĂƉƉůŝĐĂƚŝŽŶ͕ĂŶĚĂůůƌĞůĂƚĞĚĚŽĐƵŵĞŶƚƐ͘ ϭϯ 3DFNHW3J )D ŝƚǇŽĨZŽĐŚĞƐƚĞƌ^ŝŶŐůĞ&ĂŵŝůǇZĞŚĂďŝůŝƚĂƚŝŽŶ>ŽĂŶ'ƵŝĚĞůŝŶĞƐ Ĩ͘ǆĞĐƵƚĞ,ŽŵĞ/ŵƉƌŽǀĞŵĞŶƚ>ŽĂŶZĞƉĂǇŵĞŶƚŐƌĞĞŵĞŶƚ;DŽƌƚŐĂŐĞͿ͘ Ő͘ƐƐŝƐƚĂƉƉůŝĐĂŶƚǁŝƚŚĞǆĞĐƵƚŝŽŶŽĨŽŶƚƌĂĐƚŽƌͲ,ŽŵĞŽǁŶĞƌŐƌĞĞŵĞŶƚǁŚŝĐŚƐĞƌǀĞƐĂƐ ƚŚĞĐŽŶƐƚƌƵĐƚŝŽŶĐŽŶƚƌĂĐƚ͘ Ś͘EŽƚŝĨǇĂŶĚǁŝƚŶĞƐƐƚŚĞŽŶƚƌĂĐƚŽƌͲ,ŽŵĞŽǁŶĞƌŐƌĞĞŵĞŶƚǁŝƚŚĐŽŶƚƌĂĐƚŽƌ͘ ŝ͘/ŶƐƉĞĐƚƐƌĞŚĂďŝůŝƚĂƚŝŽŶǁŽƌŬĂƐŝƚƉƌŽŐƌĞƐƐĞƐ͘ ũ͘͘WƌŽĐĞƐƐƉĂƌƚŝĂůƉĂǇŵĞŶƚƌĞƋƵĞƐƚƐ͕ǀĞƌŝĨǇŝŶŐǁŽƌŬŝƐĐŽŵƉůĞƚĞĚĂƐƐƉĞĐŝĨŝĞĚĂŶĚƚŚĞ ĂƉƉƌŽƉƌŝĂƚĞůŝĞŶǁĂŝǀĞƌƐŚĂǀĞďĞĞŶƌĞĐĞŝǀĞĚĂŶĚƚŚĞƌĞƋƵŝƌĞĚŚŽŵĞŽǁŶĞƌĂŶĚ ĐŽŶƚƌĂĐƚŽƌ͛ƐƐŝŐŶĂƚƵƌĞ ƐĂƌĞŽďƚĂŝŶĞĚŽŶƚŚĞĐŽŵƉůĞƚŝŽŶĐĞƌƚŝĨŝĐĂƚĞ͘ Ŭ͘DĂŬĞĨŝŶĂůŝŶƐƉĞĐƚŝŽŶŽĨĐŽŵƉůĞƚĞĚƌĞŚĂďŝůŝƚĂƚŝŽŶǁŽƌŬĂŶĚŽďƚĂŝŶŚŽŵĞŽǁŶĞƌĂŶĚ ĐŽŶƚƌĂĐƚŽƌ͛ƐƐŝŐŶĂƚƵƌĞƐŽŶĐŽŵƉůĞƚŝŽŶĐĞƌƚŝĨŝĐĂƚĞ͘ ů͘KďƚĂŝŶůĞĂĚͲďĂƐĞĚƉĂŝŶƚŚĂǌĂƌĚĐůĞĂƌĂŶĐĞƚĞƐƚĨŽƌƐƵďũĞĐƚƉƌŽƉĞƌƚǇ͘ ŵ͘KďƚĂŝŶĨƌŽŵŐĞŶĞƌĂůĐŽŶƚƌĂĐƚŽƌĂůůŐƵĂƌĂŶƚĞĞƐŽĨǁŽƌŬ͕ŵĂŶƵĨĂĐƚƵƌĞƌĂŶĚƐƵƉƉůŝĞƌƐ ǁĂƌƌĂŶƚŝĞƐĂŶĚƌĞůĞĂƐĞŽĨůŝĞŶĨƌŽŵŐĞŶĞƌĂůĐŽŶƚƌĂĐƚŽƌĂŶĚƐƵďĐŽŶƚƌĂĐƚŽƌƐ͘ Ϯ͘WƌŽĐĞƐƐŝŶŐĂŶĚĂƉƉƌŽǀĂůŽĨĂƉƉůŝĐĂƚŝŽŶ͘ Ă͘dŚĞŝƚǇƐƚĂĨĨƐŚĂůůƉƌĞƉĂƌĞƚŚĞĂƉƉůŝĐĂƚŝŽŶ͕ďĂƐĞĚŽŶŝŶĨŽƌŵĂƚŝŽŶĨƵƌŶŝƐŚĞĚďǇƚŚĞ ĂƉƉůŝĐĂŶƚĂŶĚŽďƚĂŝŶĞĚĨƌŽŵŽƚŚĞƌƐŽƵƌĐĞƐ͕ĂƐĚŽĐƵŵĞŶƚĞĚŝŶƚŚĞĨŝůĞ͘ŶƚƌŝĞƐŽĨŵŽŶĞǇ ĂŵŽƵŶƚƐ͕ƐŚĂůůďĞŵĂĚĞƌŽƵŶĚĞĚƚŽƚŚĞŶĞĂƌĞƐƚĚŽůůĂƌ͘/ĨŶŽŵŽŶĞǇŝƐŝŶǀŽůǀĞĚĨƌŽŵĂŶ ĞŶƚƌǇĨŽƌĂƉĂƌƚŝĐƵůĂƌĂƉƉůŝĐĂƚŝŽŶ͕ƚŚĞĞŶƚƌǇƐŚĂůůďĞ͞Ϭ͘͟ ď͘K,Z^ƚĂĨĨƐŚĂůůŶŽƚŝĨǇƚŚĞĂƉƉůŝĐĂŶƚĂŶĚĐŽŶƚƌĂĐƚŽƌƐǁŚŽƐƵďŵŝƚƚĞĚďŝĚƐĂŶĚƉƌŽĐĞĞĚ ǁŝƚŚƚŚĞƌĞŵĂŝŶĚĞƌŽĨƚŚĞĨƵŶĐƚŝŽŶƐĨŽƌǁŚŝĐŚŝƚŝƐƌĞƐƉŽŶƐŝďůĞŝŶŽƌĚĞƌƚŽĐŽŵƉůĞƚĞƚŚĞ ƌĞŚĂďŝůŝƚĂƚŝŽŶǁŽƌŬ͘ Đ͘/ĨƚŚĞŝƚǇƐƚĂĨĨĚĞƚĞƌŵŝŶĞƐƚŚĂƚĂŶĂƉƉůŝĐĂƚŝŽŶĐĂŶŶŽƚďĞĂƉƉƌŽǀĞĚ͕ĂǁƌŝƚƚĞŶƐƚĂƚĞŵĞŶƚ ŽĨƚŚĞƌĞĂƐŽŶƐĨŽƌĚĞƚĞƌŵŝŶĂƚŝŽŶƐŚĂůůďĞŵĂŝůĞĚƚŽƚŚĞĂƉƉůŝĐĂŶƚǁŝƚŚĂĐŽƉǇƌĞƚĂŝŶĞĚŝŶ ƚŚĞĂƉƉůŝĐĂƚŝŽŶĨŝůĞ͘dŚĞĂƉƉůŝĐĂŶƚŚĂƐƚŚĞŽƉƚŝŽŶŽĨĂƉƉĞĂůŝŶŐƚŚĞĚĞŶŝĂůďĞĨŽƌĞƚŚĞ ZŽĐŚĞƐƚĞƌŝƚǇŽƵŶĐŝůĂƚĂƐĐŚĞĚƵůĞĚŵĞĞƚŝŶŐ͘ŶĂƉƉůŝĐĂƚŝŽŶŶƵŵďĞƌƐŚĂůůďĞĂƐƐŝŐŶĞĚ ĂŶĚƚŚĞĐĂƐĞĚĨŝůĞĚ͘ ϯ͘>ŽĂŶĂŶĐĞůůĂƚŝŽŶ Ă͘ŶĂƉƉƌŽǀĞĚƌĞŚĂďŝůŝƚĂƚŝŽŶůŽĂŶŵĂǇďĞĐĂŶĐĞůůĞĚŝĨƚŚĞĂƉƉůŝĐĂŶƚŚĂƐƌĞƋƵĞƐƚĞĚ ĐĂŶĐĞůůĂƚŝŽŶŽƌŝƐƵŶǁŝůůŝŶŐŽƌƵŶĂďůĞƚŽƉƌŽĐĞĞĚǁŝƚŚƚŚĞƌĞŚĂďŝůŝƚĂƚŝŽŶǁŽƌŬ͘ ϭϰ 3DFNHW3J )D ŝƚǇŽĨZŽĐŚĞƐƚĞƌ^ŝŶŐůĞ&ĂŵŝůǇZĞŚĂďŝůŝƚĂƚŝŽŶ>ŽĂŶ'ƵŝĚĞůŝŶĞƐ ď͘dŽĐĂŶĐĞůĂŶĂƉƉƌŽǀĞĚƌĞŚĂďŝůŝƚĂƚŝŽŶůŽĂŶ͕ƐƚĂĨĨƐŚĂůůƉƌĞƉĂƌĞĂůĞƚƚĞƌŽĨĐĂŶĐĞůůĂƚŝŽŶĂŶĚ ŵĂŝůƚŚĞŽƌŝŐŝŶĂůƚŽƚŚĞĂƉƉůŝĐĂŶƚĂŶĚƌĞƚĂŝŶŽŶĞĐŽƉǇŝŶƚŚĞĂƉƉůŝĐĂŶƚ͛ƐĨŝůĞ͘ ϭϱ 3DFNHW3J )D ŝƚǇŽĨZŽĐŚĞƐƚĞƌ^ŝŶŐůĞ&ĂŵŝůǇZĞŚĂďŝůŝƚĂƚŝŽŶ>ŽĂŶ'ƵŝĚĞůŝŶĞƐ ,WdZϲ /ŶƐƉĞĐƚŝŽŶƐ͕^ƉĞĐŝĨŝĐĂƚŝŽŶƐĂŶĚŽƐƚƐƚŝŵĂƚĞƐ dŚŝƐĐŚĂƉƚĞƌƐĞƚƐĨŽƌƚŚƚŚĞƌĞƐƉŽŶƐŝďŝůŝƚŝĞƐŽĨƚŚĞĂƐƐŝŐŶĞĚƐƚĂĨĨĨŽƌĚĞƚĞƌŵŝŶŝŶŐƚŚĞ ƌĞŚĂďŝůŝƚĂƚŝŽŶǁŽƌŬŶĞĐĞƐƐĂƌǇƚŽďƌŝŶŐĂƉƌŽƉĞƌƚǇŝŶƚŽĐŽŶĨŽƌŵĂŶĐĞǁŝƚŚƚŚĞZĞŚĂďŝůŝƚĂƚŝŽŶ ^ƚĂŶĚĂƌĚƐ͘ ϭ͘WƌŽƉĞƌƚǇ/ŶƐƉĞĐƚŝŽŶ͘ dŚĞK,ZƐƚĂĨĨƐŚĂůůŝŶƐƉĞĐƚƚŚĞƉƌŽƉĞƌƚǇĂŶĚƉƌĞƉĂƌĞĂŶŝŶƐƉĞĐƚŝŽŶ ƌĞƉŽƌƚƚŚĂƚŝĚĞŶƚŝĨŝĞƐĞĂĐŚĚĞĨŝĐŝĞŶĐǇǁŝƚŚƌĞƐƉĞĐƚƚŽƚŚĞZĞŚĂďŝůŝƚĂƚŝŽŶ^ƚĂŶĚĂƌĚƐĂŶĚŽƚŚĞƌ ĚĞĨŝĐŝĞŶĐŝĞƐǁŚŝĐŚŵĂǇďĞĐŽƌƌĞĐƚĞĚǁŝƚŚƌĞŚĂďŝůŝƚĂƚŝŽŶĨƵŶĚƐ͘ŶŝŶƐƉĞĐƚŝŽŶƌĞƉŽƌƚ ƉƌĞƉĂƌĞĚŝŶƚŚŝƐŵĂŶŶĞƌǁŝůůůĂƚĞƌƐĞƌǀĞĂƐƚŚĞďĂƐŝƐĨŽƌƉƌĞƉĂƌŝŶŐĂǁŽƌŬǁƌŝƚĞͲƵƉĂŶĚĐŽƐƚ ĞƐƚŝŵĂƚĞ͘ Ϯ͘ŽŶƐƵůƚĂƚŝŽŶǁŝƚŚWƌŽƐƉĞĐƚŝǀĞƉƉůŝĐĂŶƚĂŶĚŽƐƚƐƚŝŵĂƚĞƐ͘ ƐƐŽŽŶĂƐƉŽƐƐŝďůĞĂĨƚĞƌ ŝŶƐƉĞĐƚŝŽŶŽĨƚŚĞƉƌŽƉĞƌƚǇ͕ƚŚĞK,ZƐƚĂĨĨƐŚĂůůĐŽŶƐƵůƚǁŝƚŚƚŚĞƉƌŽƐƉĞĐƚŝǀĞĂƉƉůŝĐĂŶƚŽŶ ƚŚĞƉƌĞůŝŵŝŶĂƌǇǁŽƌŬǁƌŝƚĞͲƵƉĂŶĚĐŽƐƚĞƐƚŝŵĂƚĞ͘dŚĞĂƉƉůŝĐĂŶƚƐŚĂůůďĞĂĚǀŝƐĞĚǁŚŝĐŚ ŝƚĞŵƐŽĨǁŽƌŬĂƌĞƌĞƋƵŝƌĞĚƚŽŵĞĞƚƚŚĞZĞŚĂďŝůŝƚĂƚŝŽŶ^ƚĂŶĚĂƌĚƐĂŶĚǁŚŝĐŚĂƌĞŶŽƚ ƌĞƋƵŝƌĞĚ͕ďƵƚŵĂǇďĞĨŝŶĂŶĐĞĚǁŝƚŚĂƌĞŚĂďŝůŝƚĂƚŝŽŶůŽĂŶ͘dŚĞƐƚĂĨĨƐŚŽƵůĚďĞƉƌĞƉĂƌĞĚƚŽ ĞůŝŵŝŶĂƚĞŽƌŵŽĚŝĨǇĂŶǇŝƚĞŵƐŝŶƚŚĞƉƌĞůŝŵŝŶĂƌǇǁŽƌŬǁƌŝƚĞƚŚĂƚĂƌĞŶŽƚƐƉĞĐŝĨŝĐĂůůǇ ƌĞƋƵŝƌĞĚďǇZĞŚĂďŝůŝƚĂƚŝŽŶ^ƚĂŶĚĂƌĚƐ͘dŚĞĨŝŶĂůǁŽƌŬǁƌŝƚĞͲƵƉƐŚĂůůďĞƚŚĞďĂƐŝƐĨŽƌƚŚĞ ƉƌŽƉĞƌƚǇŽǁŶĞƌƚŽƐŽůŝĐŝƚďŝĚƐĂŶĚƉƌŽƉŽƐĂůƐĨƌŽŵĐŽŶƚƌĂĐƚŽƌƐ͘ ϯ͘ŝĚ^ƉĞĐŝĨŝĐĂƚŝŽŶƐŝŶŽŶƐƚƌƵĐƚŝŽŶŽŶƚƌĂĐƚŽĐƵŵĞŶƚƐ͘ ĂĐŚƐƉĞĐŝĨŝĐĂƚŝŽŶŝŶĂ ĐŽŶƐƚƌƵĐƚŝŽŶĐŽŶƚƌĂĐƚĚŽĐƵŵĞŶƚƐŚĂůůďĞǁƌŝƚƚĞŶƐŽƚŚĂƚŝƚƉƌŽǀŝĚĞƐĂĐůĞĂƌƵŶĚĞƌƐƚĂŶĚŝŶŐŽĨ ƚŚĞŶĂƚƵƌĞĂŶĚƐĐŽƉĞŽĨƚŚĞǁŽƌŬƚŽďĞĚŽŶĞ͕ĂŶĚĂďĂƐŝƐĨŽƌĐĂƌĞĨƵůůǇĚĞƚĞƌŵŝŶŝŶŐďŝĚƐĂŶĚ ƉƌŽƉŽƐĂůƐĨƌŽŵĐŽŶƚƌĂĐƚŽƌƐ͘ĂĐŚƐƉĞĐŝĨŝĐĂƚŝŽŶƐŚĂůůƐŚŽǁƚŚĞŶĂƚƵƌĞĂŶĚůŽĐĂƚŝŽŶŽĨƚŚĞ ǁŽƌŬĂŶĚƚŚĞƚǇƉĞŽĨŵĂƚĞƌŝĂůƐƌĞƋƵŝƌĞĚ͘dŚĞƐƉĞĐŝĨŝĐĂƚŝŽŶŵĂǇƌĞĨĞƌƚŽŵĂŶƵĨĂĐƚƵƌĞƌ͛Ɛ 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ZĞŐƵůĂƚŝŽŶĂŶĚƚŚĞƌĞƋƵŝƌĞŵĞŶƚƐŽĨƚŚĞŶǀŝƌŽŶŵĞŶƚĂůWƌŽƚĞĐƚŝŽŶŐĞŶĐǇ͘ŽŶƚƌĂĐƚŽƌ ĨŝƌŵƐŚĂůůďĞůŝĐĞŶƐĞĚĂƐĂ>ĞĂĚĂƐĞĚWĂŝŶƚďĂƚĞŵĞŶƚ&ŝƌŵďǇƚŚĞDŝŶŶĞƐŽƚĂ ĞƉĂƌƚŵĞŶƚŽĨ,ĞĂůƚŚ͘^ƚĂĨĨƐŚĂůůĨƌĞƋƵĞŶƚůǇŵŽŶŝƚŽƌŝƚƐůŝƐƚŽĨĐŽŶƚƌĂĐƚŽƌƐƚŽĂƐƐƵƌĞƚŚĂƚ ƚŚĞǇĐŽŶƚŝŶƵĞƚŽďĞůŝĐĞŶƐĞĚĂĐĐŽƌĚŝŶŐƚŽĂůůĂƉƉůŝĐĂďůĞ&ĞĚĞƌĂů͕^ƚĂƚĞ͕ĂŶĚůŽĐĂů ƌĞƋƵŝƌĞŵĞŶƚƐ͘ŽŶƚƌĂĐƚŽƌƐƐƵďũĞĐƚƚŽ&ĞĚĞƌĂů͕^ƚĂƚĞ͕ůŽĐĂůŽƌĂĚŵŝŶŝƐƚƌĂƚŝǀĞĚŝƐďĂƌŵĞŶƚ ƐŚĂůůďĞƌĞŵŽǀĞĚĨƌŽŵƚŚĞůŝƐƚ͕ďĂƐĞĚŽŶĐŽŶĨŝƌŵĞĚĐĂƐĞƐŽĨŶŽŶĐŽŵƉůŝĂŶĐĞŽĨ ĐŽŶƚƌĂĐƚƵĂůŽďůŝŐĂƚŝŽŶƐ͘ Ϯ͘'ĞŶĞƌĂůŽŶĚŝƚŝŽŶƐ͘ dŚĞƐƚĂĨĨƐŚĂůůƉƌĞƉĂƌĞƉƌŽǀŝƐŝŽŶƐŽĨŐĞŶĞƌĂůĐŽŶĚŝƚŝŽŶƐĨŽƌŐĞŶĞƌĂůƵƐĞ ŝŶĂůůĐŽŶƐƚƌƵĐƚŝŽŶĐŽŶƚƌĂĐƚƐĨŽƌƚŚĞƌĞŚĂďŝůŝƚĂƚŝŽŶŽĨƚŚĞƉƌŽƉĞƌƚǇ͘ Ă͘&ŽƌŵŽĨŽŶƚƌĂĐƚ͘ dŚĞĐŽŶƐƚƌƵĐƚŝŽŶĐŽŶƚƌĂĐƚǁŝůůĐŽŶƐŝƐƚŽĨĂĚŽĐƵŵĞŶƚ͕ƉƌĞƉĂƌĞĚďǇ ƐƚĂĨĨ͕ƐŝŐŶĞĚďǇƚŚĞĐŽŶƚƌĂĐƚŽƌĂŶĚƚŚĞĂƉƉůŝĐĂŶƚĨŽůůŽǁŝŶŐĂƉƉƌŽǀĂůŽĨƚŚĞĂƉƉůŝĐĂŶƚďǇ ƚŚĞƐƚĂĨĨ͘/ƚƐŚĂůůĐŽŶƚĂŝŶĂďŝĚĂŶĚƉƌŽƉŽƐĂů͕ƚŚĞŐĞŶĞƌĂůĐŽŶĚŝƚŝŽŶƐ͕ƚŚĞƐƉĞĐŝĨŝĐĂƚŝŽŶƐĨŽƌ ƚŚĞǁŽƌŬƚŽďĞƉĞƌĨŽƌŵĞĚ͕ĂŶĚƚŚĞůĞĂĚďĂƐĞĚƉĂŝŶƚƌŝƐŬĂƐƐĞƐƐŵĞŶƚ͕ŝĨĂƉƉůŝĐĂďůĞ͘ ϭϳ 3DFNHW3J )D ŝƚǇŽĨZŽĐŚĞƐƚĞƌ^ŝŶŐůĞ&ĂŵŝůǇZĞŚĂďŝůŝƚĂƚŝŽŶ>ŽĂŶ'ƵŝĚĞůŝŶĞƐ ď͘ŚĂŶŐĞKƌĚĞƌƐ͘ ŚĂŶŐĞŽƌĚĞƌƐƚŽƚŚĞĐŽŶƚƌĂĐƚĚƵƌŝŶŐǁŽƌŬďĞŝŶŐƉĞƌĨŽƌŵĞĚĂƌĞ ƉĞƌŵŝƚƚĞĚǁŝƚŚƚŚĞĐŽŵƉůĞƚŝŽŶŽĨĂŚĂŶŐĞKƌĚĞƌĨŽƌŵ͕ƉƌŽǀŝĚĞĚďǇƐƚĂĨĨĂŶĚĂƉƉƌŽǀĞĚ ďǇƐƚĂĨĨ͕ƚŚĞĂƉƉůŝĐĂŶƚĂŶĚƚŚĞĐŽŶƚƌĂĐƚŽƌ͘/ĨƚŚĞĂŵŽƵŶƚŽĨƚŚĞůŽĂŶĐŚĂŶŐĞƐ͕ƚŚĞŽǁŶĞƌ ŵƵƐƚĞŶƚĞƌŝŶƚŽĂDŽĚŝĨŝĐĂƚŝŽŶŽĨ,ŽŵĞ/ŵƉƌŽǀĞŵĞŶƚ>ŽĂŶZĞƉĂǇŵĞŶƚŐƌĞĞŵĞŶƚ ;DŽƌƚŐĂŐĞͿƚŽĐŽƌƌĞĐƚůǇƌĞĨůĞĐƚƚŽƚĂůůŽĂŶĂŵŽƵŶƚƐĞĐƵƌĞĚďǇƚŚĞ,ŽŵĞ/ŵƉƌŽǀĞŵĞŶƚ >ŽĂŶZĞƉĂǇŵĞŶƚŐƌĞĞŵĞŶƚ;DŽƌƚŐĂŐĞͿ ϯ͘ǁĂƌĚŽĨŽŶƐƚƌƵĐƚŝŽŶŽŶƚƌĂĐƚ͘ dŚĞĐŽŶƚƌĂĐƚƐŚĂůůďĞĂǁĂƌĚĞĚďǇŚĂǀŝŶŐƚŚĞĂƉƉůŝĐĂŶƚĂŶĚ ƚŚĞĐŽŶƚƌĂĐƚŽƌƉƌŽƉĞƌůǇĞǆĞĐƵƚĞƚŚĞĐŽŶƚƌĂĐƚ͘dŚĞŽŶƚƌĂĐƚƐŚĂůůďĞĂǁĂƌĚĞĚƚŽƚŚĞďŝĚĚĞƌ ƚŚĂƚƉƌŽǀŝĚĞƐƚŚĞŐƌĞĂƚĞƐƚǀĂůƵĞƚŽƚŚĞŚŽŵĞŽǁŶĞƌ͘hƉŽŶĂǁĂƌĚŽĨƚŚĞĐŽŶƚƌĂĐƚ͕ƚŚĞƐƚĂĨĨ ƐŚĂůůŶŽƚŝĨǇƚŚĞƐƵĐĐĞƐƐĨƵůďŝĚĚĞƌƚŚĂƚƚŚĞǇŚĂǀĞďĞĞŶĂǁĂƌĚĞĚƚŚĞĐŽŶƚƌĂĐƚ͘ Ă͘^ƵƉƉůĞŵĞŶƚĂů>ŽĂŶƐ͘ /ŶĂĐĂƐĞŝŶǀŽůǀŝŶŐĂƐƵƉƉůĞŵĞŶƚĂůůŽĂŶ͕ƚŚĞĐŽŶƚƌĂĐƚĂǁĂƌĚƐŚĂůůďĞ ŵĂĚĞŽŶůǇĂĨƚĞƌƚŚĞƐƚĂĨĨŚĂƐƌĞĐĞŝǀĞĚĂĨŝƌŵĐŽŵŵŝƚŵĞŶƚĨƌŽŵƚŚĞůŽĐĂůůĞŶĚĞƌƐƚĂƚŝŶŐ ƚŚĂƚƚŚĞůŽĂŶŚĂƐďĞĞŶĂƉƉƌŽǀĞĚ͘ ď͘ǁĂƌĚǁŝƚŚŝŶϲϬĚĂǇƐŽĨƵƚŽĨĨĂƚĞ͘ /ŶŽƌĚĞƌĨŽƌƚŚĞďŝĚĂŶĚƉƌŽƉŽƐĂůƚŽďĞďŝŶĚŝŶŐ͕ƚŚĞ ĂǁĂƌĚƐŚĂůůďĞŵĂĚĞǁŝƚŚŝŶĂƉĞƌŝŽĚŽĨϲϬĚĂǇƐĨƌŽŵƚŚĞďŝĚƐƵďŵŝƚƚĞĚĚĞĂĚůŝŶĞ ĞƐƚĂďůŝƐŚĞĚĨŽƌƚŚĞƌĞĐĞŝƉƚŽĨƚŚĞďŝĚĂŶĚƉƌŽƉŽƐĂů͕ƵŶůĞƐƐĂůĂƚĞƌĚĂƚĞŝƐĂŐƌĞĞĚƵƉŽŶŝŶ ǁƌŝƚŝŶŐďǇƚŚĞĐŽŶƚƌĂĐƚŽƌ͘ Đ͘ŽŶƚƌĂĐƚǁĂƌĚ͘ /ŶƚŚĞĂǁĂƌĚŽĨĂĐŽŶƐƚƌƵĐƚŝŽŶĐŽŶƚƌĂĐƚĨŽƌƌĞŚĂďŝůŝƚĂƚŝŽŶ͕ƚŚĞĐŽŶƚƌĂĐƚŽƌ ĂŶĚŽǁŶĞƌƐŚĂůůĞǆĞĐƵƚĞƚŚƌĞĞŽƌŝŐŝŶĂůĐŽŶƚƌĂĐƚĚŽĐƵŵĞŶƚƐ͘^ƚĂĨĨƐŚĂůůĚŝƐƚƌŝďƵƚĞƚŚĞ ĞǆĞĐƵƚĞĚĐŽŶƚƌĂĐƚĚŽĐƵŵĞŶƚƐĂƐĨŽůůŽǁƐ͗ KŶĞĞǆĞĐƵƚĞĚĐŽƉǇƚŽƚŚĞĐŽŶƚƌĂĐƚŽƌ x KŶĞĞǆĞĐƵƚĞĚĐŽƉǇƚŽƚŚĞĂƉƉůŝĐĂŶƚͬŽǁŶĞƌ x KŶĞĞǆĞĐƵƚĞĚĐŽƉǇƌĞƚĂŝŶĞĚŝŶƚŚĞĂƉƉůŝĐĂŶƚ͛ƐĨŝůĞ x ϭϴ 3DFNHW3J )D ŝƚǇŽĨZŽĐŚĞƐƚĞƌ^ŝŶŐůĞ&ĂŵŝůǇZĞŚĂďŝůŝƚĂƚŝŽŶ>ŽĂŶ'ƵŝĚĞůŝŶĞƐ ,WdZϴ WĂǇŵĞŶƚŽĨZĞŚĂďŝůŝƚĂƚŝŽŶtŽƌŬΘ&ŝƐĐĂůDĂŶĂŐĞŵĞŶƚ dŚŝƐĐŚĂƉƚĞƌƐĞƚƐĨŽƌƚŚƚŚĞƌĞƋƵŝƌĞŵĞŶƚƐĨŽƌƚŚĞŝŶƐƉĞĐƚŝŽŶŽĨƌĞŚĂďŝůŝƚĂƚŝŽŶǁŽƌŬĨŝŶĂŶĐĞĚŝŶ ǁŚŽůĞŽƌŝŶƉĂƌƚƚŚƌŽƵŐŚƚŚŝƐƉƌŽŐƌĂŵ͘ ϭ͘ZĞƐƉŽŶƐŝďŝůŝƚǇĨŽƌDĂŬŝŶŐ/ŶƐƉĞĐƚŝŽŶƐ͘K,Z ^ƚĂĨĨƐŚĂůůŵĂŬĞŽŶͲƐŝƚĞŝŶƐƉĞĐƚŝŽŶƐŽĨĂůů ĐŽŶƐƚƌƵĐƚŝŽŶǁŽƌŬŝŶĐĂƐĞƐŝŶǀŽůǀŝŶŐĂƐƐŝƐƚĂŶĐĞƚŚƌŽƵŐŚƚŚŝƐƉƌŽŐƌĂŵ͘dŽĂĐĐŽŵƉůŝƐŚƚŚŝƐ͕ ƐƚĂĨĨƐŚĂůůŵĂŬĞ͗ Ă͘ WĂƌƚŝĂůƉĂǇŵĞŶƚŝŶƐƉĞĐƚŝŽŶƐ͕ĂƐƌĞƋƵĞƐƚĞĚ͕ƚŽĂƐƐƵƌĞƚŚĂƚĐŽŶƐƚƌƵĐƚŝŽŶǁŽƌŬŝƐĐŽŵƉůĞƚĞĚ ŝŶĂĐĐŽƌĚĂŶĐĞǁŝƚŚƚŚĞĐŽŶƐƚƌƵĐƚŝŽŶĐŽŶƚƌĂĐƚ͘ ď͘ ĨŝŶĂůŝŶƐƉĞĐƚŝŽŶƚŽĚĞƚĞƌŵŝŶĞƚŚĂƚƚŚĞĐŽŶƐƚƌƵĐƚŝŽŶǁŽƌŬŚĂƐďĞĞŶĐŽŵƉůĞƚĞĚŝŶ ĂĐĐŽƌĚĂŶĐĞǁŝƚŚƚŚĞĐŽŶƐƚƌƵĐƚŝŽŶĐŽŶƚƌĂĐƚ͘ Ϯ͘WĂƌƚŝĂůWĂǇŵĞŶƚ͘ ŶŝŶƐƉĞĐƚŝŽŶŽĨƚŚĞƌĞŚĂďŝůŝƚĂƚŝŽŶǁŽƌŬƐŚĂůůďĞŵĂĚĞďĞĨŽƌĞƚŚĞƐƚĂĨĨ ŵĂŬĞƐĂƉĂƌƚŝĂůƉĂǇŵĞŶƚŽŶƚŚĞĐŽŶƚƌĂĐƚŽƌ͛ƐŝŶǀŽŝĐĞŽƌƌĞƋƵĞƐƚĨŽƌƉĂƌƚŝĂůƉĂǇŵĞŶƚ͘ Ă͘/ŶƐƉĞĐƚŝŽŶďǇ^ƚĂĨĨ͘ K,Z^ƚĂĨĨƐŚĂůůƉƌĞƉĂƌĞĂŽŵƉůĞƚŝŽŶĞƌƚŝĨŝĐĂƚĞĨŽƌƚŚĞǁŽƌŬ ŝƚĞŵƐƚŚĂƚ ƚŚĞĐŽŶƚƌĂĐƚŽƌŚĂƐƐƵďŵŝƚƚĞĚĂŶĚŝĚĞŶƚŝĨŝĞĚŽŶƚŚĞŝƌŝŶǀŽŝĐĞŽƌƌĞƋƵĞƐƚĨŽƌƉĂǇŵĞŶƚ͘ ^ƚĂĨĨƐŚĂůůŵĂŬĞĂŶŝŶƐƉĞĐƚŝŽŶƚŽĚĞƚĞƌŵŝŶĞŝĨƚŚĞǁŽƌŬŚĂƐďĞĞŶƐĂƚŝƐĨĂĐƚŽƌŝůǇ ĐŽŵƉůĞƚĞĚ͘ ď͘^ƵďŵŝƐƐŝŽŶƐƌĞƋƵŝƌĞĚďǇĐŽŶƚƌĂĐƚŽƌ͘ K,Z^ƚĂĨĨƐŚĂůůŽďƚĂŝŶĨƌŽŵƚŚĞĐŽŶƚƌĂĐƚŽƌĂ ƌĞůĞĂƐĞŽĨ ůŝĞŶƐ͕ĂŶĞǆĞĐƵƚĞĚƐǁŽƌŶĐŽŶƐƚƌƵĐƚŝŽŶƐƚĂƚĞŵĞŶƚĂŶĚĂĐŽƉǇŽĨĞĂĐŚǁĂƌƌĂŶƚǇĚƵĞƚŚĞ ĂƉƉůŝĐĂŶƚĨŽƌǁŽƌŬ͘ĨƚĞƌƌĞĐĞŝƉƚŽĨĂƌĞůĞĂƐĞŽĨůŝĞŶƐ͕ŝŶĐůƵĚŝŶŐƌĞůĞĂƐĞƐĨƌŽŵĂůů ƐƵďĐŽŶƚƌĂĐƚŽƌƐĂŶĚĂĐŽƉǇŽĨĞĂĐŚǁĂƌƌĂŶƚǇ͕ƚŚĞƐƚĂĨĨƐŚĂůůƉƌŽĐĞƐƐĂƉĂƌƚŝĂůƉĂǇŵĞŶƚŝŶ ĂĐĐŽƌĚĂŶĐĞǁŝƚŚĐŽŶƚƌĂĐƚƌĞƋƵŝƌĞŵĞŶƚƐ͘ Đ͘WĂǇŵĞŶƚŽĨ^ĂƚŝƐĨĂĐƚŽƌǇtŽƌŬ͘ /ĨƚŚĞǁŽƌŬĐŽŵƉůĞƚĞĚŝƐƐĂƚŝƐĨĂĐƚŽƌǇĂŶĚƚŚĞŽŵƉůĞƚŝŽŶ ĞƌƚŝĨŝĐĂƚĞŚĂƐďĞĞŶĞǆĞĐƵƚĞĚĨŽƌĂƉƉƌŽǀĂůďǇƚŚĞĂƉƉůŝĐĂŶƚ͕ĐŽŶƚƌĂĐƚŽƌĂŶĚƐƚĂĨĨ͕Ă 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ŝƚĞŵƐƚŚĂƚƚŚĞĐŽŶƚƌĂĐƚŽƌŚĂƐƐƵďŵŝƚƚĞĚĂŶĚŝĚĞŶƚŝĨŝĞĚŽŶƚŚĞŝƌŝŶǀŽŝĐĞŽƌƌĞƋƵĞƐƚĨŽƌ ƉĂǇŵĞŶƚ͘^ƚĂĨĨƐŚĂůůŵĂŬĞĂŶŝŶƐƉĞĐƚŝŽŶƚŽĚĞƚĞƌŵŝŶĞŝĨƚŚĞǁŽƌŬŚĂƐďĞĞŶƐĂƚŝƐĨĂĐƚŽƌŝůǇ ĐŽŵƉůĞƚĞĚ͘ ď͘^ƵďŵŝƐƐŝŽŶƐƌĞƋƵŝƌĞĚďǇĐŽŶƚƌĂĐƚŽƌ͘ K,Z^ƚĂĨĨƐŚĂůůŽďƚĂŝŶĨƌŽŵƚŚĞĐŽŶƚƌĂĐƚŽƌĂ ƌĞůĞĂƐĞŽĨůŝĞŶƐ͕ĂŶĞǆĞĐƵƚĞĚƐǁŽƌŶĐŽŶƐƚƌƵĐƚŝŽŶƐƚĂƚĞŵĞŶƚĂŶĚĂĐŽƉǇŽĨĞĂĐŚǁĂƌƌĂŶƚǇ ĚƵĞƚŚĞĂƉƉůŝĐĂŶƚĨŽƌƚŚĞǁŽƌŬ͘ĨƚĞƌƌĞĐĞŝƉƚŽĨĂƌĞůĞĂƐĞŽĨůŝĞŶƐ͕ŝŶĐůƵĚŝŶŐƌĞůĞĂƐĞƐĨƌŽŵ ĂůůƐƵďĐŽŶƚƌĂĐƚŽƌƐĂŶĚĂĐŽƉǇŽĨĞĂĐŚǁĂƌƌĂŶƚǇ͕ƚŚĞƐƚĂĨĨƐŚĂůůƉƌŽĐĞƐƐĂŶĚŵĂŬĞĨŝŶĂů ƉĂǇŵĞŶƚŝŶĂĐĐŽƌĚĂŶĐĞǁŝƚŚĐŽŶƚƌĂĐƚƌĞƋƵŝƌĞŵĞŶƚƐ͘dŚĞĐŽŶƚƌĂĐƚŽƌƐŚĂůůƉƌŽǀŝĚĞĂĐŽƉǇ ŽĨƚŚĞĨŝŶĂůŝŶƐƉĞĐƚŝŽŶĂƉƉƌŽǀĂůĨƌŽŵƚŚĞďƵŝůĚŝŶŐŽĨĨŝĐŝĂů͕ǁŚĞŶĂƉƉůŝĐĂďůĞ͘ Đ͘>ĞĂĚͲďĂƐĞĚWĂŝŶƚZĞƋƵŝƌĞŵĞŶƚƐ͘ WƌŝŽƌƚŽŝƐƐƵŝŶŐĨŝŶĂůƉĂǇŵĞŶƚ͕ĂŶǇƵŶŝƚĐŽŵƉůĞƚŝŶŐ ƌĞŚĂďŝůŝƚĂƚŝŽŶŝŵƉƌŽǀĞŵĞŶƚƐĨŽƌƚŚĞƌĞŵŽǀĂůŽĨůĞĂĚͲďĂƐĞĚƉĂŝŶƚƌĞƋƵŝƌĞƐĂŶĂƉƉƌŽǀĞĚ ůĞĂĚͲďĂƐĞĚƉĂŝŶƚĐůĞĂƌĂŶĐĞƚĞƐƚ͘ Ě͘WĂǇŵĞŶƚŽĨ^ĂƚŝƐĨĂĐƚŽƌǇtŽƌŬ͘ /ĨƚŚĞǁŽƌŬĐŽŵƉůĞƚĞĚŝƐƐĂƚŝƐĨĂĐƚŽƌǇĂŶĚƚŚĞŽŵƉůĞƚŝŽŶ ĞƌƚŝĨŝĐĂƚĞŚĂƐďĞĞŶĞǆĞĐƵƚĞĚĨŽƌĂƉƉƌŽǀĂůďǇƚŚĞĂƉƉůŝĐĂŶƚ͕ĐŽŶƚƌĂĐƚŽƌĂŶĚƐƚĂĨĨĂĨŝŶĂů ƉĂǇŵĞŶƚĐŚĞĐŬƉĂǇĂďůĞƚŽƚŚĞĐŽŶƚƌĂĐƚŽƌƐŚĂůůďĞƐƵďŵŝƚƚĞĚĨŽƌƉƌŽĐĞƐƐŝŶŐ͘ 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ůůǁŽƌŬƉĞƌĨŽƌŵĞĚďǇƚŚĞĐŽŶƚƌĂĐƚŝƐ ĐŽǀĞƌĞĚďǇĂƚǁŽͲǇĞĂƌŐƵĂƌĂŶƚĞĞďƵƚĂƉƉůŝĐĂŶƚƐĂƌĞŶŽƚĂůǁĂǇƐĂǁĂƌĞƚŚĂƚĨŽƌĂƉĞƌŝŽĚŽĨ ƚǁŽǇĞĂƌƐƚŚĞǇŵĂǇƌĞƋƵŝƌĞƚŚĞĐŽŶƚƌĂĐƚŽƌƚŽĐŽƌƌĞĐƚŝŶƐŝŐŶŝĨŝĐĂŶƚĚĞĨĞĐƚƐĂŶĚ ŝŶĂĚĞƋƵĂĐŝĞƐŝŶƚŚĞǁŽƌŬƉĞƌĨŽƌŵĞĚƵŶĚĞƌƚŚŝƐĐŽŶƚƌĂĐƚ͘&ŽƌƚŚŝƐƌĞĂƐŽŶ͕ƚŚĞƐƚĂĨĨƐŚĂůů ŝŶĨŽƌŵƚŚĞĂƉƉůŝĐĂŶƚŽĨƚŚĞŐƵĂƌĂŶƚĞĞƌĞƋƵŝƌĞŵĞŶƚƐƵƉŽŶĐŽŵƉůĞƚŝŽŶŽĨƚŚĞ ƌĞŚĂďŝůŝƚĂƚŝŽŶƌĞƋƵŝƌĞŵĞŶƚƐ͘ ď͘ŝƐƉƵƚĞƐ͘ ŶǇĐŽŶƚƌŽǀĞƌƐǇŽƌĐůĂŝŵƚŚĂƚĐĂŶŶŽƚďĞƐĞƚƚůĞĚďǇƐƚĂĨĨ͕ĂƌŝƐŝŶŐŽƵƚŽĨŽƌ ƌĞůĂƚŝŶŐƚŽƚŚĞĐŽŶƚƌĂĐƚĞĚŝŵƉƌŽǀĞŵĞŶƚƐ͕ŽƌĂŶǇďƌĞĂĐŚŽĨĐŽŶƚƌĂĐƚ͕ƐŚĂůůďĞƐĞƚƚůĞĚ ƚŚƌŽƵŐŚƚŚĞĂƌďŝƚƌĂƚŝŽŶƉƌŽĐĞƐƐ͘ůůƉĂƌƚŝĞƐĂŐƌĞĞƚŚĂƚĞŝƚŚĞƌƉĂƌƚǇŚĞƌĞƚŽĂŶĚƐƚĂĨĨƐŚĂůů ŚĂǀĞƚŚĞƌŝŐŚƚƚŽƐƵďŵŝƚƐƵĐŚĐůĂŝŵƚŽĂƌďŝƚƌĂƚŝŽŶ͕ƉƌŽǀŝĚĞĚƚŚĂƚŶŽƚŚŝŶŐŚĞƌĞŝŶƐŚĂůů ƌĞƐƵůƚŝŶĂŶǇŝŵƉŽƐŝƚŝŽŶŽĨůŝĂďŝůŝƚǇŽŶƚŚĞŝƚǇŽĨZŽĐŚĞƐƚĞƌŽƌKůŵƐƚĞĚŽƵŶƚǇ͘dŚĞ ĂƉƉůŝĐĂŶƚ͕ĐŽŶƚƌĂĐƚŽƌĂŶĚƐƚĂĨĨƐŚĂůůĂŐƌĞĞƚŽǁŚŝĐŚĂƌďŝƚƌĂƚŽƌǁŝůůďĞƵƐĞĚ͘/ŶĂĚĚŝƚŝŽŶ͕ ƚŚĞĂƉƉůŝĐĂŶƚĂŶĚĐŽŶƚƌĂĐƚŽƌǁŝůůƐŚĂƌĞĂůůĐŽƐƚƐŽĨĂƌďŝƚƌĂƚŝŽŶĞƋƵĂůůǇ͘EŽƉĂǇŵĞŶƚƐƚŽƚŚĞ ĐŽŶƚƌĂĐƚŽƌƐŚĂůůďĞŵĂĚĞƵŶƚŝůƚŚĞĚŝƐƉƵƚĞŚĂƐďĞĞŶƐĞƚƚůĞĚƚŽƚŚĞƐĂƚŝƐĨĂĐƚŝŽŶŽĨĂůů ƉĂƌƚŝĞƐ͘ ϲ͘&ŝƐĐĂůDĂŶĂŐĞŵĞŶƚ Ă͘ 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ϭ͘dŚĞƚĞƌŵƐĂŶĚĐŽŶĚŝƚŝŽŶƐŽĨƚŚĞ,ŽŵĞ/ŵƉƌŽǀĞŵĞŶƚ>ŽĂŶZĞƉĂǇŵĞŶƚŐƌĞĞŵĞŶƚ;DŽƌƚŐĂŐĞͿĂƌĞ ĂŵĞŶĚĞĚĂƐĨŽůůŽǁƐ͗ ŶǇƌĞĨĞƌĞŶĐĞƚŽƚŚĞ>ŽĂŶŽĨΨͺͺͺͺͺͺͺͺͺͺŝƐŚĞƌĞďǇĐŚĂŶŐĞĚƚŽΨͺͺͺͺͺͺͺͺͺͺͺͺͺ͘ Ϯ͘ǆĐĞƉƚĂƐƉƌŽǀŝĚĞĚĂďŽǀĞ͕ƚŚĞƚĞƌŵƐĂŶĚƉƌŽǀŝƐŝŽŶƐŽĨƚŚĞ,ŽŵĞ/ŵƉƌŽǀĞŵĞŶƚ>ŽĂŶZĞƉĂǇŵĞŶƚ ŐƌĞĞŵĞŶƚ;DŽƌƚŐĂŐĞͿƐŚĂůůƌĞŵĂŝŶŝŶĨƵůůĨŽƌĐĞĂŶĚĞĨĨĞĐƚ͘ ϯ͘dŚŝƐŐƌĞĞŵĞŶƚŵĂǇďĞĞǆĞĐƵƚĞĚŝŶĂŶǇŶƵŵďĞƌŽĨĐŽƵŶƚĞƌƉĂƌƚƐ͕ĞĂĐŚŽĨǁŚŝĐŚƐŚĂůůďĞĂŶŽƌŝŐŝŶĂů ďƵƚĂůůŽĨǁŚŝĐŚƐŚĂůůĐŽŶƐƚŝƚƵƚĞŽŶĞŝŶƐƚƌƵŵĞŶƚ͘ /Et/dE^^t,ZK&͕ ƚŚĞƉĂƌƚŝĞƐŚĞƌĞƚŽŚĂǀĞĞǆĞĐƵƚĞĚƚŚŝƐŐƌĞĞŵĞŶƚĂƐŽĨ ƚŚĞĚĂƚĞĨŝƌƐƚĂďŽǀĞǁƌŝƚƚĞŶ͘ D<Z͗ Ϯϴ 3DFNHW3J )D ŝƚǇŽĨZŽĐŚĞƐƚĞƌ^ŝŶŐůĞ&ĂŵŝůǇZĞŚĂďŝůŝƚĂƚŝŽŶ>ŽĂŶ'ƵŝĚĞůŝŶĞƐ ͺͺͺͺͺͺͺͺͺͺͺͺͺͺͺͺͺͺͺͺͺͺͺͺͺͺͺͺͺͺͺͺͺ ͺͺͺͺͺͺͺͺͺͺͺͺͺͺͺͺͺͺͺͺͺͺͺͺͺͺͺͺͺͺͺͺͺ ^ddK&D/EE^KdͿ ƐƐ KhEdzK&K>D^dͿ KŶƚŚŝƐĚĂǇĂŶĚǇĞĂƌĨŝƌƐƚĂďŽǀĞǁƌŝƚƚĞŶ͕ďĞĨŽƌĞŵĞ͕ĂEŽƚĂƌǇWƵďůŝĐ͕ǁŝƚŚŝŶĂŶĚĨŽƌƐĂŝĚŽƵŶƚǇ ͺͺͺͺͺͺͺͺͺͺͺͺͺͺͺͺͺͺͺͺͺͺͺͺͺͺͺͺͺͺͺͺ͕ĂƐŝŶŐůĞƉĞƌƐŽŶͬƚǁŽŵĂƌƌŝĞĚƉĞƌƐŽŶƐ ƉĞƌƐŽŶĂůůǇĂƉƉĞĂƌĞĚƚŽ ŵĞŬŶŽǁŶƚŽďĞƚŚĞƉĞƌƐŽŶ;ƐͿĚĞƐĐƌŝďĞĚŝŶ͕ĂŶĚǁŚŽĞǆĞĐƵƚĞĚƚŚĞĨŽƌĞŐŽŝŶŐŝŶƐƚƌƵŵĞŶƚ͕ĂŶĚ ĂĐŬŶŽǁůĞĚŐĞƚŚĂƚƐŚĞĞǆĞĐƵƚĞĚƚŚĞƐĂŵĞĂƐŚĞƌĨƌĞĞĂĐƚĂŶĚĚĞĞĚ͘ 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