nanosymposium - SfN Web Services

Transcription

NEUROSCIENCE 2012
society for neuroscience
monday
program
New orleans
october 15, 2012
scientific session listings
302 – 508
Information at a Glance
Important Phone Numbers
Annual Meeting Headquarters Office —
Logistics and Programming
Logistics
Morial Convention Center: Hall E
(504) 670-4600
Programming
(504) 670-4605
Society Executive Lounge
Morial Convention Center: Room G-114
(504) 670-4640
Annual Meeting Information Booths
Morial Convention Center:
Hall E: (504) 670-4617
Lobby D: (504) 670-4615
Lobby H: (504) 670-4616
Press Office
Morial Convention Center:
Press Room, 252
Press Conference Room, 256
Press Interview Room, 255
(504) 670-4630
Exhibit Management
Morial Convention Center: I-119
(504) 670-4650
First Aid and Hospital Numbers
First Aid Room, Lobby F and Lobby H
(504) 582-3040
Tulane Medical Center
1415 Tulane Avenue
New Orleans, LA 70112
(504) 988-5800
Key to Poster Floor by Themes
The poster floor begins with Theme A and ends with Theme H. Refer to the
poster floor map at the end of this booklet.
Theme
ADevelopment
B
Neural Excitability, Synapses, and Glia: Cellular Mechanisms
C
Disorders of the Nervous System
D
Sensory and Motor Systems
E
Integrative Systems: Neuroendocrinology, Neuroimmunology and Homeostatic Challenge
F
Cognition and Behavior
Cover Image: A scanning electron micrograph
G
Novel Methods and Technology Development
of the surface of the amphibian papilla showing
H
History, Teaching, Public Awareness, and Societal Impacts
in Neuroscience
hair cells (yellow) in the sensory epithelium.
NOTE: Theme H Posters will be on display in Hall J beginning at 1 p.m.
on Saturday, October 13, and will remain posted until 5 p.m. on Sunday,
October 14. One-hour presentation times will occur either Saturday
afternoon or Sunday morning.
The diffusion barriers created by the synaptic
ribbon and its vesicles may play a key role in
synchronizing vesicle release.
Cole W. Graydon, Soyoun Cho, Geng-Lin Li,
Bechara Kachar, and Henrique von Gersdorff,
2011, The Journal of Neuroscience, 31:
16637-16650
Monday Highlights
✍ Preregistration Required $ Course Fee  Professional Development dynamic poster presentation
Theme F: Neuronal Circuits for
Expression of Active Versus Passive
Defensive Behaviors
Presenter: Philip Tovote, PhD
8 a.m. – 12 p.m.
Morial Convention Center: Hall I, Poster Row JJ
Special LEcture
Super-Resolution Fluorescence
Microscopy and Applications to
Neuroscience CME
Xiaowei Zhuang, PhD
Harvard University, Howard Hughes Medical Institute
8:30 – 9:40 a.m.
Morial Convention Center: Hall D
Collaboration and Multi-PI Science 
Organizer: Elba Serrano, PhD
Panelists: Gay Holstein, PhD; Diego Restrepo,
PhD; Bruce Ransom, MD, PhD; Alan Sved, PhD
8:30 – 10:00 a.m.
Morial Convention Center: 353
Symposium
Brain States and Cortical Function CME
Chair: Matteo Carandini, PhD
8:30 – 11 a.m.
Morial Convention Center: La Nouvelle A
Symposium
Cracking Neural Codes With Photons:
Optogenetics as an Integral Tool for
Systems Neuroscience CME
Chair: Mark J. Schnitzer, PhD
Co-chair: Karl Deisseroth, MD, PhD
8:30 – 11 a.m.
` Networking � Public Outreach
Symposium
Treatment of Developmental Disorders
in Adulthood CME
Chair: Eero Castren, MD, PhD
Co-chair: Randi Hagerman, MD
8:30 – 11 a.m.
Morial Convention Center: New Orleans Theater B
Animals in Research Panel: How
Researchers Can (and Should) Talk About
Their Work ✍ �
Organizer: Sharon L. Juliano, PhD
Panelists: Dario Ringach, PhD; Tom Whipple;
Lisa Newbern; David Friedman, PhD
9 – 11 a.m.
Teaching Neuroscience: Connecting to
the Humanities and Social Sciences 
Organizer: Richard F. Olivo, PhD
Panelists: Martha Farah, PhD; Scott A. Huettel,
PhD; Paul Lennard, PhD; Hewlet McFarlane, PhD;
Betty Zimmerberg, PhD
9 – 11:30 a.m.
David Kopf Lecture on Neuroethics
The Impact of Neuroscience on Society — The Neuroethics of “Smart Drugs”
Barbara J. Sahakian, PhD
University of Cambridge
10 – 11:10 a.m.
Support contributed by: David Kopf Instruments
Special LEcture
Going to Hell in a Handbasket:
Molecular Weakening of Prefrontal
Cortical Regulation During Stress CME
MiniSymposium
Insulin and GLP-1 Analogues as Novel
Strategies to Treat Neurodegenerative
Disorders CME
Amy F.T. Arnsten, PhD
Yale University School of Medicine
11:30 a.m. – 12:40 p.m.
Chair: Christian Holscher, PhD
8:30 – 11 a.m.
Morial Convention Center: New Orleans Theater A
Graduate School Fair `
dynamic poster presentation
Theme F: NMDAR-Dependent Increase
in Calcineurin in the Basolateral
Amygdala Governs the Transition
From Reconsolidation to Extinction
of Fear Memory
Presenter: Emiliano Merlo, PhD
1 – 5 p.m.
MiniSymposium
Breaking Dopamine Systems: A New
GABA Master Structure for Mesolimbic
and Nigrostriatal Functions CME
Chair: Michel Barrot, PhD
1:30 – 4 p.m.
Morial Convention Center: New Orleans Theater C
MiniSymposium
Inhibition of Fear by Learned Safety
Signals CME
Chair: John P. Christianson, PhD
1:30 – 4 p.m.
Symposium
Hebb Recovers From a Stroke:
Activity-Dependent Plasticity, Circuit
Reorganization, and Neural Repair in
Cortex After Focal Ischemia CME
Chair: S. Thomas Carmichael, MD, PhD
1:30 – 4 p.m.
Morial Convention Center: La Nouvelle C
MiniSymposium
The Human Subthalamic Nucleus in
Health and Disease: Insights From
Translational Neuroscience CME
Chair: Birte U. Forstmann, PhD
Co-chair: Bogdan Draganski, MD
1:30 – 4 p.m.
Morial Convention Center: New Orleans Theater A
MiniSymposium
The Reemergence of Schemas in
Memory Research: From Encoding to
Reconsolidation CME
Sunday, Oct. 14, and Monday, Oct. 15, noon – 1 p.m.
Symposium
Promoting Oligodendrocyte
Differentiation and Myelin
Regeneration CME
Special Presentation
The Changing Global Neuroscience
Ecosystem: Why It Matters to Our Future
Chair: Marlieke T. van Kesteren, MSc
Co-chair: Richard N. Henson, PhD
8:30 – 11 a.m.
Morial Convention Center: New Orleans Theater C
Chair: Wenbin Deng, PhD
Co-chair: Mahendra S. Rao, MD, PhD
1:30 – 4 p.m.
Morial Convention Center: La Nouvelle A
Steven E. Hyman, MD
Broad Institute of MIT and Harvard
1 – 2 p.m.
Morial Convention Center: New Orleans Theater B
Making the Most of Your International
Training 
Symposium
New Insights Into Proteasomal and
Autophagy-Lysosomal Pathways in
Neurodegenerative Disease CME
Chair: Teepu Siddique, MD
8:30 – 11 a.m.
Morial Convention Center: La Nouvelle C
Industrial Collaboration 
Organizer: Verity J. Brown, PhD
Panelists: Ana Garcia Aguirre, PhD;
Alan Horsager, PhD; Joseph Sweeney, PhD;
Mark Tricklebank, PhD
1 – 3 p.m.
Organizer: Michael Zigmond, PhD
Panelists: Willie Daniels, PhD, MBA;
Beth Fischer, PhD; Shigang He, PhD;
Vijayalakshimi Ravindranath, PhD;
Gonzalo Torres, PhD; Joseph Whittaker, PhD
2 – 5 p.m.
www.sfn.org/am2012
I
Albert and Ellen Grass Lecture
The Collective Wisdom of Neurons CME
Larry Abbott, PhD
Columbia University
3:15 – 4:25 p.m.
Support contributed by: The Grass Foundation
Presidential Special Lecture
Circuit Tuning During Developmental
Critical Periods CME
Carla Shatz, PhD
Stanford University
5:15 – 6:25 p.m.
Support contributed by: Pfizer, Inc.
SfN-Sponsored Socials
6:45 – 8:45 p.m.
Hilton Riverside Meeting Rooms
See Page X
Plan to Attend
Tuesday, Oct. 16
dynamic poster
presentation
Theme E: Evaluating the
Communicative Value of
Ultrasonic Mouse Pup Calls
Presenter: Zahra Adahman
8 a.m. – 12 p.m.
Special Lecture
Alzheimer Mechanisms and
Therapeutic Strategies CME
Lennart Mucke, MD
University of California, San Francisco
10 – 11:10 a.m.
Special Lecture
Large-Scale Brain Networks:
Principles and Emerging
Methodologies CME
Nikos Logothetis, PhD
Max Planck Institute for Biological Cybernetics
1 – 2:10 p.m.
dynamic poster
presentation
Theme G: Three-Dimensional
Neurophenotyping of Adult
Zebrafish Behavior: Updates,
Achievements and Future Directions
Presenter: Jonathan Cachat
1 – 5 p.m.
History of Neuroscience
Lecture
The Emergence of Contemporary
Pain Neuroscience
Lorne M. Mendell, PhD
SUNY Stony Brook University
2:30 – 3:40 p.m.
Presidential Special
Lecture
Prenatal Exposure Modulates
Language Attunement in Infancy
CME
Janet F. Werker, PhD
The University of British Columbia
5:15 – 6:25 p.m.
Support contributed by: Genzyme
II
Neuroscience 2012
Chronological List of Monday sessions
Theme Descriptions
ADevelopment
F Cognition and Behavior
B Neural Excitability, Synapses, and Glia: Cellular Mechanisms
G Novel Methods and Technology Development
C Disorders of the Nervous System
H History, Teaching, Public Awareness,
and Societal Impacts in Neuroscience
D Sensory and Motor Systems
E Integrative Systems: Neuroendocrinology, Neuroimmunology and Homeostatic Challenge
All Posters will be presented in the Morial Convention Center, Halls F – J. All lecture, symposia, minisymposia, and nanosymposia rooms are in the
Morial Convention Center.
Note: Theme H Posters will be on display in Hall J beginning at 1 p.m. on Saturday, October 13, and will remain posted until 5 p.m. on Sunday,
October 14. One-hour presentation times will occur either Saturday afternoon or Sunday morning.
Session
Number
Session Title
Presentation
Type
Poster
Board
Number
Location
Date
Session Time
CME
Hours
Featured Programs
302
Super-Resolution Fluorescence Microscopy and
Applications to Neuroscience
Special Lecture
Hall D
15 Mon
8:30 – 9:40 a.m.
1.25
303
Treatment of Developmental Disorders in Adulthood
Symposium
New Orleans
Theater B
15 Mon
8:30 – 11 a.m.
2.5
304
Brain States and Cortical Function
Symposium
La Nouvelle A
15 Mon
8:30 – 11 a.m.
2.5
305
New Insights Into Proteasomal and AutophagyLysosomal Pathways in Neurodegenerative Disease
Symposium
La Nouvelle C
15 Mon
8:30 – 11 a.m.
2.5
306
Cracking Neural Codes with Photons: Optogenetics
as an Integral Tool for Systems Neuroscience
Symposium
345
15 Mon
8:30 – 11 a.m.
2.5
307
Insulin and GLP-1 Analogues as Novel Strategies to
Treat Neurodegenerative Disorders
Minisymposium
New Orleans
Theater A
15 Mon
8:30 – 11 a.m.
2.5
308
The Reemergence of Schemas in Memory Research:
From Encoding to Reconsolidation
Minisymposium
New Orleans
Theater C
15 Mon
8:30 – 11 a.m.
2.5
309
The Impact of Neuroscience on Society — The Neuroethics of “Smart Drugs”
David Kopf Lecture
on Neuroethics
Hall D
15 Mon
10 – 11:10 a.m.
310
Going to Hell in a Handbasket: Molecular
Weakening of Prefrontal Cortical Regulation
During Stress
Special Lecture
Hall D
15 Mon
11:30 a.m. –
12:10 p.m.
1.25
Nanosymposia (8 a.m. – noon)
311
Axon Guidance Mechanisms
Nanosymposium
391
15 Mon
8 – 11:30 a.m.
312
Transplantation and Regeneration
Nanosymposium
395
15 Mon
8 – 10:45 a.m.
313
Abeta Assembly and Deposition I
Nanosymposium
262
15 Mon
8 – 10:30 a.m.
314
Parkinson's Disease: Synuclein, Parkin, PINK and
Stem Cells
Nanosymposium
277
15 Mon
8 – 11:15 a.m.
315
Brain Trauma: Animal Models and Human Studies I
Nanosymposium
288
15 Mon
8 – 10:30 a.m.
316
Multisensory Processing: Clinical Populations
Nanosymposium
273
15 Mon
8 – 10:30 a.m.
317
Extrastriate Cortex: Functional Organization Faces
and Objects
Nanosymposium
383
15 Mon
8 – 11:45 a.m.
318
Thalamic and Cortical Processing II
Nanosymposium
388
15 Mon
8 – 10:30 a.m.
319
Perception and Imagery: Neural Bases
Nanosymposium
291
15 Mon
8 – 11 a.m.
320
Human Long-Term Memory: Encoding and Retrieval I
Nanosymposium
393
15 Mon
8 – 11:15 a.m.
321
Timing and Temporal Processing I
Nanosymposium
387
15 Mon
8 – 11:30 a.m.
322
Novel Electrophysiological Methods II
Nanosymposium
268
15 Mon
8 – 11:15 a.m.
www.sfn.org/am2012
III
Session
Number
Session Title
Presentation
Type
Poster
Board
Number
Location
Date
Session Time
Posters (8 a.m. – noon)
323
Cortical Development II
Poster
A1-A26
Posters Halls F-J
15 Mon
8 a.m. – noon
324
Postnatal Neurogenesis: Environmental and
Pharmacological Regulation
Poster
A27-A55
Posters Halls F-J
15 Mon
8 a.m. – noon
325
Synapse Formation: Cellular Mechanisms
Poster
A56-B4
Posters Halls F-J
15 Mon
8 a.m. – noon
326
Activity-Dependent Changes in Connectivity
Poster
B5-B32
Posters Halls F-J
15 Mon
8 a.m. – noon
327
Monoamines
Poster
B33-B62
Posters Halls F-J
15 Mon
8 a.m. – noon
328
Nicotinic Receptors: Physiology and Function I
Poster
B63-C9
Posters Halls F-J
15 Mon
8 a.m. – noon
329
Nicotinic Receptors: Regulation, Function,
and Trafficking
Poster
C10-C32
Posters Halls F-J
15 Mon
8 a.m. – noon
330
Potassium Channels
Poster
C33-C45
Posters Halls F-J
15 Mon
8 a.m. – noon
331
Calcium Activated Potassium Channels
Poster
C46-C60
Posters Halls F-J
15 Mon
8 a.m. – noon
332
Glutamate Transporters
Poster
C61-D14
Posters Halls F-J
15 Mon
8 a.m. – noon
333
Neurotransmitter Release: Fusion and Docking
Poster
D15-D35
Posters Halls F-J
15 Mon
8 a.m. – noon
334
Neurotransmitter Release: Synaptic Vesicle Recycling
and Calcium Dependence
Poster
D36-D59
Posters Halls F-J
15 Mon
8 a.m. – noon
335
Synaptic Integration II
Poster
D60-E13
Posters Halls F-J
15 Mon
8 a.m. – noon
336
Long-Term Depression II
Poster
E14-E30
Posters Halls F-J
15 Mon
8 a.m. – noon
337
Synaptic Plasticity: Structural Plasticity III
Poster
E31-E48
Posters Halls F-J
15 Mon
8 a.m. – noon
338
Oscillations and Synchrony: Hippocampus
Poster
E49-E59
Posters Halls F-J
15 Mon
8 a.m. – noon
339
Oscillations and Synchrony: Gabaergic Interneurons
Poster
E60-F1
Posters Halls F-J
15 Mon
8 a.m. – noon
340
Intrinsic Membrane Properties: Dendritic and
Synaptic Integration I
Poster
F2-F21
Posters Halls F-J
15 Mon
8 a.m. – noon
341
Glia-Neuron Interactions: Microglia
Poster
F22-F40
Posters Halls F-J
15 Mon
8 a.m. – noon
342
Glia-Neuron Interactions: Oligodendrocytes
Poster
F41-G9
Posters Halls F-J
15 Mon
8 a.m. – noon
343
APP/Abeta: Animal Models I
Poster
G10-G35
Posters Halls F-J
15 Mon
8 a.m. – noon
344
Alzheimer's Disease: Beta and Gamma Secretase,
BACE and Presenilin I
Poster
G36-H18
Posters Halls F-J
15 Mon
8 a.m. – noon
345
Cognitive Function
Poster
H19-I11
Posters Halls F-J
15 Mon
8 a.m. – noon
346
ALS Therapy Development
Poster
I12-K6
Posters Halls F-J
15 Mon
8 a.m. – noon
347
TDP-43 Animal and Cell Culture Models
Poster
K7-L16
Posters Halls F-J
15 Mon
8 a.m. – noon
348
Down Syndrome
Poster
L17-M10
Posters Halls F-J
15 Mon
8 a.m. – noon
349
Epilepsy: Epileptogenesis
Poster
M11-N17
Posters Halls F-J
15 Mon
8 a.m. – noon
350
Ischemia: Molecular Mechanisms II
Poster
N18-O19
Posters Halls F-J
15 Mon
8 a.m. – noon
351
Ischemia: Recovery
Poster
O20-Q3
Posters Halls F-J
15 Mon
8 a.m. – noon
352
Trauma: Peripheral Nerve
Poster
Q4-R2
Posters Halls F-J
15 Mon
8 a.m. – noon
353
Neuroinflammation: Molecular Mechanisms I
Poster
R3-S8
Posters Halls F-J
15 Mon
8 a.m. – noon
354
Neurotoxicity and Neurodegeneration II
Poster
S9-T18
Posters Halls F-J
15 Mon
8 a.m. – noon
355
Neuroinflammation: HIV and Infection I
Poster
T19-U13
Posters Halls F-J
15 Mon
8 a.m. – noon
356
Brain Imaging Alterations in Schizophrenia and
Other Psychoses I
Poster
U14-V16
Posters Halls F-J
15 Mon
8 a.m. – noon
357
Molecular Outcomes in Tissue from Schizophrenia
Poster
V17-W19
Posters Halls F-J
15 Mon
8 a.m. – noon
358
Biomarkers in Major Depressive Disorder
Poster
W20-Y6
Posters Halls F-J
15 Mon
8 a.m. – noon
359
Anxiety Disorders: Experimental Therapeutics
Poster
Y7-Y16
Posters Halls F-J
15 Mon
8 a.m. – noon
360
Amphetamines and MDMA: Toxicity
Poster
Y17-AA1
Posters Halls F-J
15 Mon
8 a.m. – noon
361
Stress and Addiction
Poster
AA2-BB4
Posters Halls F-J
15 Mon
8 a.m. – noon
362
CNS Depressants, Neuropeptides, and Behavior
Poster
BB5-CC6
Posters Halls F-J
15 Mon
8 a.m. – noon
363
Cochlea: Cellular Properties
Poster
CC7-CC17
Posters Halls F-J
15 Mon
8 a.m. – noon
364
Auditory System: Networks
Poster
CC18-EE2
Posters Halls F-J
15 Mon
8 a.m. – noon
365
Auditory System: Modulation
Poster
EE3-FF2
Posters Halls F-J
15 Mon
8 a.m. – noon
366
Auditory System: Representation, Organization and
Plasticity
Poster
FF3-GG7
Posters Halls F-J
15 Mon
8 a.m. – noon
367
Auditory System: Responses and Modulation
Poster
GG8-HH13
Posters Halls F-J
15 Mon
8 a.m. – noon
IV
Neuroscience 2012
CME
Hours
Session
Number
Session Title
Presentation
Type
Poster
Board
Number
Location
Date
Session Time
CME
Hours
Posters (8 a.m. – noon)
368
Auditory System: Behavior and Modeling
Poster
HH14-JJ3
Posters Halls F-J
15 Mon
8 a.m. – noon
369
Multisensory Processing: Temporal Factors
Poster
JJ4-KK10
Posters Halls F-J
15 Mon
8 a.m. – noon
370
Eye Movements and Perception
Poster
KK11-LL7
Posters Halls F-J
15 Mon
8 a.m. – noon
371
Eye Movement Control: Cerebellum and Final Motor
Pathway
Poster
LL8-LL17
Posters Halls F-J
15 Mon
8 a.m. – noon
372
Saccades: Behavioral Studies
Poster
LL18-MM19
Posters Halls F-J
15 Mon
8 a.m. – noon
373
Saccades: Neural Circuitry and Models
Poster
MM20-OO4
Posters Halls F-J
15 Mon
8 a.m. – noon
374
Smooth Eye Movements: Pursuit and OKR
Poster
OO5-OO17
Posters Halls F-J
15 Mon
8 a.m. – noon
375
Spinal Cord Processing
Poster
OO18-QQ4
Posters Halls F-J
15 Mon
8 a.m. – noon
376
Pain Models: Behavior
Poster
QQ5-RR14
Posters Halls F-J
15 Mon
8 a.m. – noon
377
Somatosensory: Local Circuitry
Poster
RR15-SS16
Posters Halls F-J
15 Mon
8 a.m. – noon
378
Spinal Cord Injury: Plasticity II
Poster
SS17-TT18
Posters Halls F-J
15 Mon
8 a.m. – noon
379
Cerebellum: Behavior and Plasticity
Poster
TT19-UU20
Posters Halls F-J
15 Mon
8 a.m. – noon
380
Basal Ganglia: Systems Physiology II
Poster
VV1-WW6
Posters Halls F-J
15 Mon
8 a.m. – noon
381
Voluntary Movement: Neuroimaging
Poster
WW7-XX14
Posters Halls F-J
15 Mon
8 a.m. – noon
382
HPG Axis: GnRH Neurons and Gonadotropins Neural Control I
Poster
XX15-YY7
Posters Halls F-J
15 Mon
8 a.m. – noon
383
Steroids and Plasticity
Poster
YY8-ZZ9
Posters Halls F-J
15 Mon
8 a.m. – noon
384
Sexual Differentiation
Poster
ZZ10-AAA9
Posters Halls F-J
15 Mon
8 a.m. – noon
385
Social Behavior III: Gene Expression and Other
Variables
Poster
AAA10BBB9
Posters Halls F-J
15 Mon
8 a.m. – noon
386
Hormones and Cognition II: Stress, EDC's, LH
Poster
BBB10BBB23
Posters Halls F-J
15 Mon
8 a.m. – noon
387
Autonomic Control of Cardiovascular Functions I
Poster
BBB24BBB42
Posters Halls F-J
15 Mon
8 a.m. – noon
388
Early LIfe Experience: Prenatal Stress, Maternal
Effects
Poster
BBB43CCC17
Posters Halls F-J
15 Mon
8 a.m. – noon
389
Hypothalamic Mechanisms
Poster
CCC18CCC44
Posters Halls F-J
15 Mon
8 a.m. – noon
390
Executive Function: Connectivity and Networks
Poster
CCC45CCC65
Posters Halls F-J
15 Mon
8 a.m. – noon
391
Emotion: Face Processing
Poster
CCC66CCC79
Posters Halls F-J
15 Mon
8 a.m. – noon
392
Cognitive Development in Normal and
Atypical Children
Poster
CCC80DDD12
Posters Halls F-J
15 Mon
8 a.m. – noon
393
Individual Differences I
Poster
DDD13DDD39
Posters Halls F-J
15 Mon
8 a.m. – noon
394
Cognitive Learning and Memory Systems II
Poster
DDD40DDD69
Posters Halls F-J
15 Mon
8 a.m. – noon
395
Fear Learning and Extinction:
Amygdala, Hippocampus, and PFC
Poster
DDD70-EEE4
Posters Halls F-J
15 Mon
8 a.m. – noon
396
Appetitive and Drug Memory Reconsolidation
and Extinction
Poster
EEE5-EEE22
Posters Halls F-J
15 Mon
8 a.m. – noon
397
Learning and Memory: Hippocampal Circuits I
Poster
EEE23-EEE52
Posters Halls F-J
15 Mon
8 a.m. – noon
398
Reward: Motivational Mechanisms
Poster
EEE53-EEE78
Posters Halls F-J
15 Mon
8 a.m. – noon
399
Neural Processing of Fear and Anxiety I
Poster
EEE79-FFF17
Posters Halls F-J
15 Mon
8 a.m. – noon
400
Motivation and Emotions: Negative Emotional States
Poster
FFF18-FFF38
Posters Halls F-J
15 Mon
8 a.m. – noon
401
Motivation and Emotion: Animal Social
Communication
Poster
FFF39-FFF50
Posters Halls F-J
15 Mon
8 a.m. – noon
402
Motivation and Emotions: Human and Primate
Social Communication
Poster
FFF51-FFF73
Posters Halls F-J
15 Mon
8 a.m. – noon
403
Novel High Resolution Imaging Approaches
Poster
FFF74-FFF84
Posters Halls F-J
15 Mon
8 a.m. – noon
Poster
GGG1GGG22
Posters Halls F-J
15 Mon
8 a.m. – noon
404
Novel Anatomical Methods II
www.sfn.org/am2012
V
Session
Number
Session Title
Presentation
Type
Poster
Board
Number
Location
Date
Session Time
CME
Hours
Featured Programs
405
The Changing Global Neuroscience Ecosystem:
Why It Matters To Our Future
Special Presentation
New Orleans
Theater B
15 Mon
1 – 2 p.m.
406
Promoting Oligodendrocyte Differentiation and
Myelin Regeneration
Symposium
La Nouvelle A
15 Mon
1:30 – 4 p.m.
2.5
407
Hebb Recovers From a Stroke: Activity-Dependent
Plasticity, Circuit Reorganization, and Neural Repair
in Cortex After Focal Ischemia
Symposium
La Nouvelle C
15 Mon
1:30 – 4 p.m.
2.5
408
The Human Subthalamic Nucleus in Health and
Disease: Insights from Translational Neuroscience
Minisymposium
New Orleans
Theater A
15 Mon
1:30 – 4 p.m.
2.5
409
Braking Dopamine Systems: A New GABA Master
Structure for Mesolimbic and Nigrostriatal Functions
Minisymposium
New Orleans
Theater C
15 Mon
1:30 – 4 p.m.
2.5
410
Inhibition of Fear by Learned Safety Signals
Minisymposium
345
15 Mon
1:30 – 4 p.m.
2.5
411
The Collective Wisdom of Neurons
Albert and Ellen
Grass Lecture
Hall D
15 Mon
3:15 – 4:25 p.m.
1.25
412
Circuit Tuning During Developmental Critical Periods
Presidential Special
Lecture
Hall D
15 Mon
5:15 – 6:25 p.m.
1.25
Nanosymposia (1 – 5 p.m.)
413
Signal Propagation
Nanosymposium
391
15 Mon
1 – 4:30 p.m.
414
Glia-Neuron Interactions: Astrocytes I
Nanosymposium
393
15 Mon
1 – 4:15 p.m.
415
Alzheimer's Disease: Neuroinflammation II
Nanosymposium
395
15 Mon
1 – 4:30 p.m.
416
APP/Abeta: Animal Models II
Nanosymposium
262
15 Mon
1 – 3:30 p.m.
417
Demyelinating Disorders: Molecular and
Cellular Mechanisms I
Nanosymposium
277
15 Mon
1 – 3:45 p.m.
418
Vulnerability to Drug Self-Administration
and Addiction
Nanosymposium
273
15 Mon
1 – 4:15 p.m.
419
Eye Movements: A Window to the Soul of Circuits
Nanosymposium
383
15 Mon
1 – 4:30 p.m.
420
Hedonic/Reward Circuits and Feeding Mechanisms I
Nanosymposium
388
15 Mon
1 – 3:15 p.m.
421
Development of Numerical Cognition
Nanosymposium
387
15 Mon
1 – 3:15 p.m.
422
Neural Circuitry Underlying Anxiety and Processing
of Fear
Nanosymposium
291
15 Mon
1 – 4:30 p.m.
423
MR Imaging Techniques
Nanosymposium
268
15 Mon
1 – 4:30 p.m.
424
Computational Modeling III
Nanosymposium
288
15 Mon
1 – 4 p.m.
Posters (1 – 5 p.m.)
425
Neuronal Differentiation Molecular Mechanisms
Poster
A1-A32
Posters Halls F-J
15 Mon
1 – 5 p.m.
426
Postnatal Neurogenesis: Regulation and Temporal/
Spatial Patterns I
Poster
A33-A46
Posters Halls F-J
15 Mon
1 – 5 p.m.
427
Stem Cells and IPS II
Poster
A47-B1
Posters Halls F-J
15 Mon
1 – 5 p.m.
428
NMDA and Non-NMDA Receptors: Physiology
Poster
B2-B17
Posters Halls F-J
15 Mon
1 – 5 p.m.
429
Non-NMDA Receptors Structure and Function
Poster
B18-B36
Posters Halls F-J
15 Mon
1 – 5 p.m.
430
Serotonin Receptors
Poster
B37-B51
Posters Halls F-J
15 Mon
1 – 5 p.m.
431
Catecholamine Receptors
Poster
B52-B67
Posters Halls F-J
15 Mon
1 – 5 p.m.
432
Ion Channels and Disease
Poster
B68-C19
Posters Halls F-J
15 Mon
1 – 5 p.m.
433
HCN and Non-Selective Cation Channels
Poster
C20-C30
Posters Halls F-J
15 Mon
1 – 5 p.m.
434
Long-Term Depression III
Poster
C31-C43
Posters Halls F-J
15 Mon
1 – 5 p.m.
435
Intrinsic Membrane Properties: Dendritic and
Synaptic Integration II
Poster
C44-C59
Posters Halls F-J
15 Mon
1 – 5 p.m.
436
Abeta Assembly and Deposition II
Poster
C60-C69
Posters Halls F-J
15 Mon
1 – 5 p.m.
437
Alzheimer's Disease and Other Dementias:
Tau Biochemistry
Poster
C70-D20
Posters Halls F-J
15 Mon
1 – 5 p.m.
438
Alzheimer's Disease: Neuroinflammation III
Poster
D21-D40
Posters Halls F-J
15 Mon
1 – 5 p.m.
439
Parkinson's Disease: LRRK2 Screens
Poster
D41-D56
Posters Halls F-J
15 Mon
1 – 5 p.m.
440
Parkinson's Disease: Cell Models
Poster
D57-E24
Posters Halls F-J
15 Mon
1 – 5 p.m.
VI
Neuroscience 2012
Session
Number
Session Title
Presentation
Type
Poster
Board
Number
Location
Date
Session Time
CME
Hours
441
Parkinson's Disease: LRRK2 Cellular Mechanisms
Poster
E25-E40
Posters Halls F-J
15 Mon
1 – 5 p.m.
442
Other Neurodegenerative Disorders I
Poster
E41-E68
Posters Halls F-J
15 Mon
1 – 5 p.m.
443
Autism: Genetic and Animal Models II
Poster
F1-F25
Posters Halls F-J
15 Mon
1 – 5 p.m.
444
Autism: Environment and Pathology II
Poster
F26-G8
Posters Halls F-J
15 Mon
1 – 5 p.m.
445
Fragile X II
Poster
G9-G33
Posters Halls F-J
15 Mon
1 – 5 p.m.
446
Epilepsy: Animal Models
Poster
G34-H5
Posters Halls F-J
15 Mon
1 – 5 p.m.
447
Epilepsy: Mechanisms of Comorbidities
Poster
H6-H15
Posters Halls F-J
15 Mon
1 – 5 p.m.
448
Epilepsy: Status Epilepticus
Poster
H16-I3
Posters Halls F-J
15 Mon
1 – 5 p.m.
449
Ischemia: Cellular Mechanisms
Poster
I4-J10
Posters Halls F-J
15 Mon
1 – 5 p.m.
450
Spinal Cord Injury: Therapeutic Strategies III
Poster
J11-L2
Posters Halls F-J
15 Mon
1 – 5 p.m.
451
Neuroinflammation: Molecular Mechanisms II
Poster
L3-M3
Posters Halls F-J
15 Mon
1 – 5 p.m.
452
Experimental Therapeutics in Animal Models
of Psychosis II
Poster
M4-N4
Posters Halls F-J
15 Mon
1 – 5 p.m.
453
Animal Models of Serious Mental Illness II
Poster
N5-O14
Posters Halls F-J
15 Mon
1 – 5 p.m.
454
Alcohol Reward and Reinforcement
Poster
O15-P16
Posters Halls F-J
15 Mon
1 – 5 p.m.
455
Nicotine Reward and Reinforcement
Poster
P17-Q15
Posters Halls F-J
15 Mon
1 – 5 p.m.
456
Drugs of Abuse and Addiction: Neural Mechanisms II
Poster
Q16-S1
Posters Halls F-J
15 Mon
1 – 5 p.m.
457
Stimulant Drug Abuse: Neural and
Poster
S2-S15
Posters Halls F-J
15 Mon
1 – 5 p.m.
458
Drugs Abuse and Addiction: Genetics
Poster
S16-T13
Posters Halls F-J
15 Mon
1 – 5 p.m.
459
Cocaine and Other Psychostimulants: Toxicity
Poster
T14-U3
Posters Halls F-J
15 Mon
1 – 5 p.m.
460
Auditory System: Animal Model Systems
Poster
U4-V13
Posters Halls F-J
15 Mon
1 – 5 p.m.
461
Auditory System: Disease, Pathology and Drugs
Poster
V14-W3
Posters Halls F-J
15 Mon
1 – 5 p.m.
462
Auditory System: Human and Primate Responses
and Organization
Poster
W4-X8
Posters Halls F-J
15 Mon
1 – 5 p.m.
463
Multisensory Processing: Neural Circuits I
Poster
X9-Y13
Posters Halls F-J
15 Mon
1 – 5 p.m.
464
Extrastriate Cortex: Organization and Circuits
Poster
Y14-Z8
Posters Halls F-J
15 Mon
1 – 5 p.m.
465
Extrastriate Cortex: Functional Organization
Poster
Z9-AA8
Posters Halls F-J
15 Mon
1 – 5 p.m.
466
Processing of Contrast
Poster
AA9-BB1
Posters Halls F-J
15 Mon
1 – 5 p.m.
467
Visual Motion: Neural Mechanisms
Poster
BB2-CC4
Posters Halls F-J
15 Mon
1 – 5 p.m.
468
Visual Learning and Categorization
Poster
CC5-CC15
Posters Halls F-J
15 Mon
1 – 5 p.m.
469
Attention: Cognitive and Behavioral Studies
Poster
CC16-DD5
Posters Halls F-J
15 Mon
1 – 5 p.m.
470
Vestibular Central Pathways
Poster
DD6-EE5
Posters Halls F-J
15 Mon
1 – 5 p.m.
471
Nociceptors: Anatomical and Physiological Studies
Poster
EE6-FF8
Posters Halls F-J
15 Mon
1 – 5 p.m.
472
Treatments for Persistent Pain
Poster
FF9-GG10
Posters Halls F-J
15 Mon
1 – 5 p.m.
473
Visceral Pain
Poster
GG11-HH12
Posters Halls F-J
15 Mon
1 – 5 p.m.
474
Stimulus Feature Receptive Fields and Response
Properties
Poster
HH13-II6
Posters Halls F-J
15 Mon
1 – 5 p.m.
475
Spinal Cord Injury: Recovery II
Poster
II7-JJ13
Posters Halls F-J
15 Mon
1 – 5 p.m.
476
Arthropod Motor Systems: Cellular Properties
Poster
JJ14-KK9
Posters Halls F-J
15 Mon
1 – 5 p.m.
477
Cerebellum: Cortex and Nuclei
Poster
KK10-LL19
Posters Halls F-J
15 Mon
1 – 5 p.m.
478
Posture and Gait: Kinematics, Muscle Activity,
Exercise and Fatigue, Biomechanics
Poster
LL20-NN8
Posters Halls F-J
15 Mon
1 – 5 p.m.
479
Posture and Gait: Afferent Control
Poster
NN9-OO6
Posters Halls F-J
15 Mon
1 – 5 p.m.
480
Brain-Machine Interface: Implanted Electrodes
Other Direct Interactions with Neurons
Poster
OO7-PP16
Posters Halls F-J
15 Mon
1 – 5 p.m.
481
Stress and Neuroimmunology
Poster
PP17-QQ12
Posters Halls F-J
15 Mon
1 – 5 p.m.
482
Sexual Behavior: Steroid Control I
Poster
QQ13-RR3
Posters Halls F-J
15 Mon
1 – 5 p.m.
483
Parental Behavior
Poster
RR4-SS7
Posters Halls F-J
15 Mon
1 – 5 p.m.
484
Autonomic Control of Urinary Functions
Poster
SS8-TT7
Posters Halls F-J
15 Mon
1 – 5 p.m.
485
Stress-Modulated Pathways: Hypothalamus,
Amygdala and Bed Nucleus II
Poster
TT8-UU8
Posters Halls F-J
15 Mon
1 – 5 p.m.
www.sfn.org/am2012
VII
Session
Number
Session Title
Presentation
Type
Poster
Board
Number
Location
Date
Session Time
486
Sleep: Molecular and Cellular Mechanisms
Poster
UU9-VV18
Posters Halls F-J
15 Mon
1 – 5 p.m.
487
Sleep: Systems Disruption
Poster
VV19-XX3
Posters Halls F-J
15 Mon
1 – 5 p.m.
488
Human Visual Perception
Poster
XX4-YY2
Posters Halls F-J
15 Mon
1 – 5 p.m.
489
Human Long-Term Memory: Hippocampal Complex
and Related Structures
Poster
YY9-ZZ8
Posters Halls F-J
15 Mon
1 – 5 p.m.
490
Human Long-Term Memory: Encoding
Poster
ZZ9-AAA2
Posters Halls F-J
15 Mon
1 – 5 p.m.
491
Human Cognition and Behavior: Attentional
Networks and Function
Poster
AAA3BBB12
Posters Halls F-J
15 Mon
1 – 5 p.m.
492
Human Cognition and Behavior: Attentional
Networks Electrophysiology and Imaging
Poster
BBB13BBB40
Posters Halls F-J
15 Mon
1 – 5 p.m.
493
Emotion: Information Processing and Neurocircuitry
Poster
BBB41CCC17
Posters Halls F-J
15 Mon
1 – 5 p.m.
494
Human Decision-Making: Perceptual Processes
Poster
CCC18CCC41
Posters Halls F-J
15 Mon
1 – 5 p.m.
495
Amygdala and Fear Learning: Molecular
Mechanisms
Poster
CCC42CCC51
Posters Halls F-J
15 Mon
1 – 5 p.m.
496
Neural Circuitry for Fear Learning: Amygdala and
Related Structures
Poster
CCC52CCC74
Posters Halls F-J
15 Mon
1 – 5 p.m.
497
Learning and Memory: Hippocampal Circuits II
Poster
CCC75DDD22
Posters Halls F-J
15 Mon
1 – 5 p.m.
498
Control of Reward-Seeking and Avoidance
Behaviors
Poster
DDD23DDD52
Posters Halls F-J
15 Mon
1 – 5 p.m.
499
Decision Making: Neurocircuitry
and Neuropharmacology
Poster
DDD53DDD79
Posters Halls F-J
15 Mon
1 – 5 p.m.
500
Neuroethology: Other
Poster
DDD80EEE10
Posters Halls F-J
15 Mon
1 – 5 p.m.
501
Neuroethology: Sensory Systems I
Poster
EEE11-EEE31
Posters Halls F-J
15 Mon
1 – 5 p.m.
502
Neuroethology: Sensory Systems II
Poster
EEE32-EEE48
Posters Halls F-J
15 Mon
1 – 5 p.m.
503
Neuroethology: Seasonal and Sex Differences
Poster
EEE49-EEE59
Posters Halls F-J
15 Mon
1 – 5 p.m.
504
Novel Electrophysiological Methods III
Poster
EEE60-EEE79
Posters Halls F-J
15 Mon
1 – 5 p.m.
505
Novel Electrophysiological Methods IV
Poster
EEE80-FFF13
Posters Halls F-J
15 Mon
1 – 5 p.m.
506
Data Analysis and Statistics I
Poster
FFF14-FFF42
Posters Halls F-J
15 Mon
1 – 5 p.m.
507
Data Analysis and Statistics II
Poster
FFF43-FFF67
Posters Halls F-J
15 Mon
1 – 5 p.m.
508
Data Analysis and Statistics III
Poster
FFF68-FFF83
Posters Halls F-J
15 Mon
1 – 5 p.m.
Workshops, Meetings, & Events
W24
Collaboration and Multi-PI Science
Workshops/Meetings
353
15 Mon
8:30 – 10 a.m.
W25
Animals in Research Panel: How Researchers Can
(and Should) Talk About Their Work
Workshops/Meetings
283
15 Mon
9 – 11 a.m.
W26
Teaching Neuroscience: Connecting to the
Humanities and Social Sciences
Workshops/Meetings
356
15 Mon
9 – 11:30 a.m.
W20-B
Graduate School Fair: Day 2
Workshops/Meetings
Hall E
15 Mon
noon – 1 p.m.
W27
Industrial Collaboration
Workshops/Meetings
353
15 Mon
1 – 3 p.m.
W28
Making the Most of Your International Training
Workshops/Meetings
356
15 Mon
2 – 5 p.m.
VIII Neuroscience 2012
CME
Hours
monday Workshops, Meetings & Events
✍ Preregistration Required $ Course Fee  Professional Development ` Networking � Public Outreach
Monday, Oct. 15
Graduate School Fair
Collaboration and Multi-PI Science 
Sunday, Oct. 14, and Monday, Oct. 15, noon – 1 p.m.
Contact: [email protected]
Organizer: Elba Serrano, PhD
Panelists: Gay Holstein, PhD; Diego Restrepo,
PhD; Bruce Ransom, MD, PhD; Alan Sved, PhD
8:30 – 10:00 a.m.
Neuroscience straddles many disciplines and great
discoveries are often made through collaborations with those outside of the field. Many enter
these group efforts on trust alone, only to have
the work collapse under pressure. Truly successful
collaborations require structured agreements up
front. Join the session to explore the nature and
structure of collaborative agreements, how to establish them, and what to expect when embarking on these important professional relationships.
Animals in Research Panel:
How Researchers Can (and Should)
Talk About Their Work ✍ �
Organizer: Sharon L. Juliano, PhD
Panelists: Dario Ringach, PhD; Tom Whipple; Lisa
Newbern; David Friedman, PhD
9 – 11 a.m.
When researchers talk to nonscientific audiences
about their work, how often do they mention
the role that animals play in their research?
What topics and facts resonate with a public
audience, and what challenges do researchers
confront in explaining responsible animal research? This session will explore the importance
of communicating the role of animals in scientific research and how to incorporate the subject
when talking to students, the public, and other
nonscientific audiences.
Teaching Neuroscience:
Connecting to the Humanities
and Social Sciences 
Organizer: Richard F. Olivo, PhD
Panelists: Martha Farah, PhD; Scott A. Huettel, PhD;
Paul Lennard, PhD; Hewlet McFarlane, PhD;
Betty Zimmerberg, PhD
9 – 11:30 a.m.
Do we know enough about the brain to teach
courses that explain aspects of the humanities
and social sciences? Would this be an effective
route for reaching non-science students? This
session will discuss the pitfalls and highlights of
teaching courses on the neuroscience of music,
art, ethics, philosophy, and economics.
`
The Society will host its first annual Graduate
School Fair, providing prospective students, student
advisors, and graduate schools the opportunity to
meet face-to-face.
Industrial Collaboration 
Organizer: Verity J. Brown, PhD
Panelists: Ana Garcia Aguirre, PhD;
Alan Horsager, PhD; Joseph Sweeney, PhD;
Mark Tricklebank, PhD
1 – 3 p.m.
Increasingly we hear that it is important for neuroscientists to collaborate with industry and the
private sector. Nevertheless, it is not uncommon
to hear from academics that industry funding is
“grubby” or applied research is less ”pure” than
research conducted solely for an academic goal.
Additionally, industry scientists often complain they
are treated with a lack of respect. In this session,
speakers will discuss aspects of this relationship,
including: why it’s important to both academics
and industry, the different models of interactions,
what partners stand to gain from one other, and
how mutual respect can be fostered to further our
scientific goals.
Making the Most of Your
International Training 
Organizer: Michael Zigmond, PhD
Panelists: Willie Daniels, PhD, MBA; Beth Fischer,
PhD; Shigang He, PhD; Vijayalakshimi Ravindranath,
PhD; Gonzalo Torres, PhD; Joseph Whittaker, PhD
2 – 5 p.m.
This session will discuss how best to use your
experience as a graduate student, postdoctoral
trainee, or your sabbatical to move your
career forward. Special attention will be paid
to maximizing the experience of individuals
from developing countries who spend time in
a developed country. Issues to be considered
include how to select a lab, research questions,
and methods that will be of the greatest
assistance. Panelists will include advisors and
present and former trainees. Time will be provided
for small group discussion.
www.sfn.org/am2012
IX
Monday socials
Monday, Oct. 15, 6:45 – 8:45 p.m.
Hippocampus Social
Purely Social
Alzheimer’s Disease Social
Purely Social
Hilton Riverside: Elmwood
Chair: Michael E. Hasselmo
Guests: G. Buzsaki, L. Davachi, H. Eichenbaum,
L.M. Giocomo, J.J. Knierim, M.L. Shapiro,
J.S. Taube, C.E. Stern
Hilton Riverside: Magnolia
Chair: Salvatore Oddo
Co-Chair: Mathew M. Blurton-Jones
Do you want to have fun? Do you want the
opportunity to meet old friends or new collaborators in the field? Do you want to increase
your networking skills? Do you want to discuss
new professional opportunities? Just join your
fellow Alzheimer’s disease scientists for a night
of relaxation, entertainment, socialization, and
excitement. You will have the opportunity to do
all the above and more, much more. Everyone is
welcome, especially graduate students and postdoctoral fellows.
Behavioral Neuroendocrinology Social
Social with Brief Presentation
Hilton Riverside: Melrose
Chair: Jeffrey D. Blaustein
Co-Chair: Staci D. Bilbo
Guests: The winner of Frank Beach
Award from the Society for Behavioral
Neuroendocrinology
Come meet friendly colleagues with an interest
in hormones. Whether you are new to the field
or an old timer, this is a fun opportunity to
socialize with others interested in those oh-sopowerful molecules. This is a social occasion at
which the winner of the Society for Behavioral
Neuroendocrinology’s 2012 Frank A. Beach
Award will be announced.
Developmental Neurobiology Social
Purely Social
Hilton Riverside: Newberry
Chair: Joseph LoTurco
Join top researchers in the field for an evening of
relaxed, informal conversations on your favorite
topics in developmental neurobiology. Meet old
friends, make new friends, or discuss professional
opportunities. All are welcome!
Faculty for Undergraduate
Neuroscience Social
Social with Poster Session
Hilton Riverside: Grand Salon ABC
Chair: Shelly Dickinson
Guests: E. Reynolds, N. Sandstrom
Socialize and exchange ideas with others interested in undergraduate neuroscience research and
education. Undergraduates will present posters
of their research. FUN Student Travel Awards and
the Educator of the Year Award will be presented.
SOMAS awardees and their students will be introduced (see www.somasprogram.org).
See the FUN website for travel award information
and registration for poster presentations at the
FUN Social (www.funfaculty.org).
X
Neuroscience 2012
Come to this purely social event to encode new
episodic memories of conversations with your
friends and colleagues and retrieve amusing
memories from your past collaborations.
Ingestive Behavior Social
Purely Social
Hilton Riverside: Jasperwood
Chair: Barry E. Levin
What better way to practice what you preach
than to join your fellow researchers in an evening
of ingestion including beer, wine, hard stuff, and
snacks. Ingestion is combined with conversations
about your favorite scientific topic, ingestive behavior, and its joys and consequences. Students,
postdoctoral fellows, and established scientists
are all are welcome to this annual social event
where you can meet neuroscientists from a broad
range of disciplines to network, meet old friends,
make new ones, and establish future collaborations. Those in the market for jobs or looking for
prospective job candidates will also find this a
rewarding venue. The main goal is to enjoy the
fruits of your labor and share war stories with likeminded scientists at all levels.
Music Social
Purely Social
Hilton Riverside: Kabacoff
Chair: William J. Pearce
Co-Chair: Richard Hartman
Guests: J.C. LaManna, C. Ladecola, L.D. Fricker
An evening of music will be provided by SfN
member musicians. All musical types from rock to
country to opera are welcome, with emphasis on
variety and enthusiasm. Accompaniment is available given at least two weeks advance notice. The
program fills quickly and there are no walk-ons,
so contact us as soon as possible to get a place on
the program. Each performance is typically allotted 10 minutes. Join us for a casual, informal, fun
evening of neuroscientists enjoying music.
Neural Control of Autonomic and
Respiratory Function Social
Hilton Riverside: Rosedown
Chair: Patrice G. Guyenet
Guests: J. Kipnis, K.J. Tracey, J.M. Ramirez
This social event is a gathering of scientists interested in the role of the autonomic nervous system
in health and diseases such as hypertension, sleep
apnea, metabolic syndrome, obesity, and others. The gathering is meant to facilitate informal
interactions between scientists at all career levels
and highlight some of the most transformational
research in this field. Speakers will focus primarily
on the emerging field of brain-immune system
interactions and its potential to understand and
treat respiratory and cardiovascular diseases.
Pavlovian Society Social
Purely Social
Hilton Riverside: Ascot
Chair: Stephen Maren
Guests: J. LeDoux, M. Fanselow, S. Josselyn, P.
Frankland
A purely social gathering to connect scientists
interested in learning and behavior from a neurobiological perspective. All are welcome!
Psychopharmacology Social:
Your Brain on Drugs
Purely Social
Hilton Riverside: Oak Alley
Chair: Stan B. Floresco
Guests: J.F. Cheer, A.A. Grace, P.H. Janak,
D.J Jentsch, L.M. Monteggia, P. O’Donnell,
A.G. Phillips, P.E. Phillips, R.E. See
Join us for informal evening to socialize with
psychopharmacologists — scientists who know
a thing or two about mind-altering substances.
This is an opportunity to catch up with friends
and colleagues, meet others in the field, and
loosen up with a tasty beverage after a hard day
of science. All are welcome.
Vision Social: Hollywood Game
Show, Visual Neuroscience Edition
Hilton Riverside: Versailles
Chair: Stephen D. Van Hooser
Co-Chair: Elizabeth Johnson
Guests: J. Culham, D. Fitzpatrick, J.A. Hirsch,
S. Kastner, J.A. Movshon, W.T. Newsome, R.M.
Shapley
Join us for an epic contest of knowledge and
wit, as two contestants compete in tic-tac-toe
in a Vision Squares board. At each square the
contestants’ skills will be tested by a legend in
the field. Prizes, audience participation, food,
and drink will round out the event.
Monday Satellite Events & Non-SfN Socials
Full descriptions and the latest details on satellite events and socials not sponsored by SfN are available online at www.sfn.org/satellites.
These events also are available in the online Neuroscience Meeting Planner, accessible on site or at www.sfn.org/nmp.
Sponsor Category Key: 1: Commercial
2: University/Nonprofit
3: Individual/Group
For More Information
Time
Location
Room
Sponsor
Key
3rd Spike & ECoG Recording
& Analysis Workshop
[email protected]
6:30 – 9:30 p.m.
Ernest N. Morial Convention Center
352
1
ALS, FTD and New Discoveries in C9orf72
[email protected]
6:30 – 9:30 p.m.
Hilton New Orleans Riverside
Grand Ballroom C
2
Alzheimer's Association Reviewers/
ISTAART Reception
[email protected]
6:30 – 8:30 p.m.
Westin New Orleans Canal Place
Terrace
2
2012 Christopher Reeve “Hot Topics”
in Stem Cell Biology
[email protected]
6:30 – 10:00 p.m.
345
1
Dartmouth Reception
[email protected]
6:30 – 8 p.m.
Mulate's Restaurant
N/A
2
Ernst Strüngmann Forum Social
www.esforum.de
7 – 9 p.m.
Port/Starboard
2
Friends of Ohio State University Social
biomed.osu.edu/
neuroscience/2155.cfm
6:30 – 8:30 p.m.
Belle Chasse
2
Title
Monday, Oct. 15
Grass Foundation Social
[email protected]
6:30 – 8 p.m.
Windsor
2
Imaging the Connectome
[email protected]
6:30 – 8:30 p.m.
277
1
Leibniz Lecture: JAN BORN on
"Learning During Sleep — Not A Dream"
[email protected]
6:30 – 7:30 p.m.
Ballroom I
2
Methods in Behavioral Neuroscience
[email protected]
6:30 – 9 p.m.
Grand Ballroom D
3
Monism: Complimentary Scientific and
Biblical Views of Self
[email protected]
7 – 8:30 p.m.
388
3
Neuroscience in Germany XIX Social
[email protected]
7 – 10 p.m.
Ballroom II
2
New Frontiers in Connectomics Imaging:
From Mapping to Viewing Neurobiological
Processes in Action
[email protected]
6:30- 9:30 p.m.
Visit booth 1331
N/A
1
NIDA/INSERM Satellite Event: Forging
Collaborations in the Neuroscience of
Drug Abuse and Addiction
http://www.seiservices.com/nida/
inserm2012/
6:30 – 9:30 p.m.
Sheraton New Orleans Hotel
Grand Ballroom
2
Optical and Electrical Recording Technique
Advances in Single Neurons and Networks
[email protected]
6:30 – 8:30 p.m.
290
1
Patient HM
http://www.brownpapertickets.com/
event/258703
7 – 8:30 p.m.
12 Bar on Fulton Street at
608 Fulton Street
N/A
3
Reducing Internal Sensation of Retrieved
Memories Through Semblance Hypothesis
semblancehypothesis.org
7 – 8 a.m.
352
3
Researchers Who Invent: An Opportunity
to Meet with Small Businesses that
Commercialize Neurotechnol
[email protected]
6:30 – 9:30 p.m.
Compass
2
Rat Models of Autism: New Insights
from Novel Tools
[email protected]
6:30 – 9 p.m.
287
3
Serotonin Club Reception
[email protected]
6:30 – 8 p.m.
Margaritaville
N/A
3
Sleep and Circadian Biology DataBlitz
[email protected]
8 – 10 p.m.
Grand Ballroom B
2
Sleep Research Society Club Hypnos
www.sleepresearchsociety.org
6:30 – 8 p.m.
Grand Ballroom A
2
Stress and the Brain Event:
GDRE Bruce McEwen Conference
[email protected]
6:30 – 8 p.m.
Napoleon Ballroom
2
EMD Millipore Neuroscience Annual
Twilight talks: 2012 - Molecular
Mechanisms of Excitatory and Inhibitory
Postsynaptic Receptors.
[email protected]
6:30 – 9 p.m.
Steering
1
Taiwan Night
[email protected]
6:30 – 9:30 p.m.
283
2
The European Research Council,
A Great Funding Opportunity
[email protected]
6:30 – 8:30 p.m.
291
2
UAB Comprehensive Neuroscience
Center Social
[email protected]
6:30 – 8:30 p.m.
Grand Salon D
2
Washington University in St. Louis
Neuroscience Reception
[email protected]
6:30 – 9:30 p.m.
The District
N/A
2
www.sfn.org/am2012
XI
Notes
XII
Neuroscience 2012
&RPSOHWH6HVVLRQ/LVWLQJ
0RQGD\$0
EHKDYLRUDOIDFWRUVZKLFKWRJHWKHULQÀXHQFHFRUWLFDOVWDWH
7KLVGHSHQGHQFHRQVWDWHLVREVHUYHGLQWKHQDYLJDWLRQ
V\VWHPRIWKHKLSSRFDPSXVDQGLQVHQVRU\V\VWHPVVXFK
DVWKHSULPDU\YLVXDODXGLWRU\DQGVRPDWRVHQVRU\FRUWLFHV
([FLWLQJLQURDGVZHUHUHFHQWO\PDGHLQXQGHUVWDQGLQJKRZ
FRUWLFDOVWDWHLQÀXHQFHVLQIRUPDWLRQSURFHVVLQJLQWKHVH
VWUXFWXUHV
63(&,$//(&785( (UQHVW10RULDO&RQYHQWLRQ&HQWHU
6XSHU5HVROXWLRQ)OXRUHVFHQFH0LFURVFRS\DQG
$SSOLFDWLRQVWR1HXURVFLHQFH²&0(
0RQ$0$0²+DOO'
6SHDNHU;=+8$1*+DUYDUG8QLYHUVLW\+RZDUG+XJKHV
0HG,QVW
6<0326,80 (UQHVW10RULDO&RQYHQWLRQ&HQWHU
7UHDWPHQWRI'HYHORSPHQWDO'LVRUGHUVLQ
$GXOWKRRG²&0(
,QWURGXFWLRQ
0RGXODWLRQRIFRUWLFDOVWDWHDQGLQIRUPDWLRQ
SURFHVVLQJLQWKHKLSSRFDPSXV/0)5$1.8QLY
&DOLIRUQLD6DQ)UDQFLVFR
6WDWHGHSHQGHQWFRUWLFDOG\QDPLFVDQGVHQVRU\
SURFHVVLQJLQEDUUHOFRUWH[&&3(7(56(1%UDLQ0LQG
,QVWLWXWH(FROH3RO\WHFKQLTXH)HGHUDOHGH/DXVDQQH
(3)/
&RUWLFDOVWDWHDQGLQIRUPDWLRQSURFHVVLQJLQ
DXGLWRU\FRUWH[.'+$55,6,PSHULDO&RO/RQGRQ
&RUWLFDOVWDWHDQGLQIRUPDWLRQSURFHVVLQJE\
QHXURQDOSRSXODWLRQVLQYLVXDOFRUWH[<'$18QLYRI
&DOLIRUQLD%HUNHOH\
&ORVLQJ5HPDUNV
0RQ$0$0²1HZ2UOHDQV7KHDWHU%
&KDLU(&$675(1
&R&KDLU5+$*(50$1
1HXURGHYHORSPHQWDOGHIHFWVKDYHEHHQFRQVLGHUHG
LUUHSDUDEOHLQDGXOWKRRGEXWWZROLQHVRIUHFHQWUHVHDUFK
GLVFXVVHGLQWKLVV\PSRVLXPDUHFKDOOHQJLQJWKLVFRQFHSW
)LUVWPRXVHPRGHOVVXJJHVWWKDWFHUWDLQV\PSWRPVRI
QHXURGHYHORSPHQWDOGLVRUGHUVFDQEHUHYHUVHGLQDGXOWV
6HFRQGFULWLFDOSHULRGOLNHSODVWLFLW\FDQEHUHDFWLYDWHG
LQDGXOWEUDLQE\HQYLURQPHQWDORUSKDUPDFRORJLFDO
PDQLSXODWLRQV7KHVHUHVXOWVVXJJHVWDUDWLRQDOEDVLVIRU
WUHDWPHQWRIGHYHORSPHQWDOGLVRUGHUVLQDGXOWKRRG
,QWURGXFWLRQ
3KDUPDFRORJLFDOUHDFWLYDWLRQRIHDUO\OLIHOLNH
SODVWLFLW\LQDGXOWKRRG(&$675(18QLYRI+HOVLQNL
7DUJHWHGWUHDWPHQWVLQ)UDJLOH;6\QGURPH
IURPDQLPDOPRGHOVWRKXPDQV5+$*(50$18QLYRI
&DOLIRUQLD'DYLV0HG&WU
1)76&DQG$QJHOPDQV\QGURPHIURPEDVLF
UHVHDUFKWRFOLQLFDOWULDOV<(/*(560$(UDVPXV8QLY
5RWWHUGDP
1HZ,QVLJKWVLQWR3URWHDVRPDODQG$XWRSKDJ\
/\VRVRPDO3DWKZD\VLQ1HXURGHJHQHUDWLYH
'LVHDVH²&0(
0RQ$0$0²/D1RXYHOOH&
&KDLU76,'',48(
7ZRPDMRUSURWHLQUHF\FOLQJSDWKZD\VH[LVWLQHXNDU\RWLF
FHOOVDXWRSKDJ\DQGWKHXELTXLWLQSURWHDVRPHV\VWHP
8367KH836LVUHVSRQVLEOHIRUWKHUDSLGGHJUDGDWLRQ
RISURWHLQVZKHQIDVWDGDSWDWLRQLVQHHGHGZKHUHDV
DXWRSKDJ\LVPDLQO\LQYROYHGLQWKHGHJUDGDWLRQRIORQJ
OLYHGSURWHLQVDQGHQWLUHRUJDQHOOHV5HFHQWVWXGLHVKDYH
KLJKOLJKWHGWKHFHQWUDOUROHSOD\HGE\WKHVHSDWKZD\VLQ
QHXURGHJHQHUDWLYHGLVHDVHV7KLVV\PSRVLXPZLOODGGUHVV
NH\TXHVWLRQVIURPJHQHWLFVWRELRFKHPLVWU\DQGIURPDQLPDO
PRGHOVWRKXPDQGLVHDVHV
,QWURGXFWLRQ
6WUXFWXUDOEDVLVIRUVSHFL¿FLW\DQGGLYHUVLW\RI
SRO\XELTXLWLQVLJQDOLQJ')86+0$18QLYRI0DU\ODQG
5HDFWLYDWLRQRIFULWLFDOSHULRGSODVWLFLW\LQDGXOW
YLVXDOFRUWH[E\HQULFKHGHQYLURQPHQW/0$))(,&15
$XWRSKDJ\DQG+'60),1.%(,1(5*ODGVWRQH
,QVWRI1HXURORJ'LV
&ORVLQJ5HPDUNV
/\VRVRPDOV\VWHPFRPSURPLVHDQGLWVUROHLQ
QHXURGHJHQHUDWLYHGLVHDVH6:$/./(<$OEHUW(LQVWHLQ
&RORI0HG
8%4/1SSDWKZD\VLQQHXURGHJHQHUDWLRQ7
6,'',48(1RUWKZHVWHUQ8QLY)HLQEHUJ6FKRI0HG
%UDLQ6WDWHVDQG&RUWLFDO)XQFWLRQ²&0(
0RQ$0$0²/D1RXYHOOH$
&ORVLQJ5HPDUNV
&KDLU0&$5$1',1,
7KHFRUWH[LVQRWDVLPSOHLQSXWRXSXWPDFKLQH,WVDFWLYLW\
GHSHQGVERWKRQLQFRPLQJVLJQDOVDQGRQFRJQLWLYHDQG
,QGLFDWHGDUHDORUSHUFHLYHGFRQÀLFWRILQWHUHVWVHHSDJHIRUGHWDLOV
S
,QGLFDWHVDKLJKVFKRRORUXQGHUJUDGXDWHVWXGHQWSUHVHQWHU
1HXURVFLHQFH _ 0RQGD\$0 _ 0RQ$0
7KHUHFHQWO\GHYHORSHGVXSHUUHVROXWLRQÀXRUHVFHQFH
PLFURVFRS\PHWKRGVWRFKDVWLFRSWLFDOUHFRQVWUXFWLRQ
PLFURVFRS\67250XVHVVLQJOHPROHFXOHLPDJLQJ
DQGSKRWRVZLWFKDEOHÀXRUHVFHQWSUREHVWRDFKLHYHVXE
GLIIUDFWLRQOLPLWLPDJHUHVROXWLRQ7KLVPHWKRGDOORZV
PXOWLFRORUDQGWKUHHGLPHQVLRQDOLPDJLQJRIOLYHFHOOVDQG
WLVVXHVZLWKQDQRPHWHUVFDOHUHVROXWLRQ7KLVOHFWXUHFRYHUV
WKHJHQHUDOFRQFHSWUHFHQWWHFKQRORJLFDODGYDQFHVDQG
ELRORJLFDODSSOLFDWLRQVRI67250LQFOXGLQJDSSOLFDWLRQVLQ
QHXURVFLHQFH
&UDFNLQJ1HXUDO&RGHVZLWK3KRWRQV2SWRJHQHWLFVDV
DQ,QWHJUDO7RROIRU6\VWHPV1HXURVFLHQFH²&0(
0RQ$0$0²(UQHVW10RULDO&RQYHQWLRQ
&HQWHU
&KDLU0-6&+1,7=(5
&R&KDLU.'(,66(527+
7KLVV\PSRVLXPSUHVHQWVDQRYHUYLHZRIUDSLGO\HPHUJLQJ
WHFKQRORJLHVWKDWDUHLPSURYLQJWKHDELOLW\WRXVHSKRWRQVLQ
WKHVWXG\RIQRUPDODQGGLVHDVHGQHUYRXVV\VWHPV7KHVH
WHFKQRORJLHVLQFOXGHRSWRJHQHWLFVPLFURVFRS\LQDZDNH
EHKDYLQJDQLPDOVDQGWUDQVJHQLFµWRRO¶PLFHIRURSWLFDO
VWXGLHV6SHDNHUVZLOOGLVFXVVQHZW\SHVRIH[SHULPHQWV
HQDEOHGE\WKHFXWWLQJHGJHWHFKQLTXHVVKRZFDVLQJ
UHFHQWSURJUHVVLQXQGHUVWDQGLQJQHXUDOFRGLQJDQGFLUFXLW
G\QDPLFVDQGDUHDVRISRWHQWLDOFOLQLFDOLPSDFW
%UDLQLQVXOLQUHVLVWDQFHLQ$O]KHLPHU¶VGLVHDVH
DQGLWVDOOHYLDWLRQE\*/3DQDORJXHV.7$/%278QLYRI
3HQQV\OYDQLD
,QVXOLQLQFRJQLWLRQDQG$O]KHLPHU¶VGLVHDVH
WKHUDSHXWLFV6&5$)78QLY:DVKLQJWRQ
&ORVLQJ5HPDUNV
0,1,6<0326,80 (UQHVW10RULDO&RQYHQWLRQ&HQWHU
7KH5H(PHUJHQFHRI6FKHPDVLQ0HPRU\5HVHDUFK
)URP(QFRGLQJWR5HFRQVROLGDWLRQ²&0(
0RQ$0$0²1HZ2UOHDQV7KHDWHU&
&KDLU0759$1.(67(5(1
&R&KDLU51$+(1621
7KLVPLQLV\PSRVLXPZLOOIRFXVRQWKHUHFHQWUHQHZHG
LQWHUHVWLQVFKHPDVZLWKLQPHPRU\UHVHDUFKLQERWKDQLPDOV
DQGKXPDQV,WZLOOVKHGOLJKWRQWKHFRQFHSWRIVFKHPDV
WKHLUUROHLQPHPRU\DQGWKHLUQHXUDOFRUUHODWHVGXULQJ
HQFRGLQJUHFRQVROLGDWLRQDQGUHWULHYDO%\FRPELQLQJ
H[SHUWLVHIURPERWKOHVLRQVDQGQHXURLPDJLQJLQERWK
DQLPDODQGKXPDQVWRJHWKHUZLWKFRPSXWDWLRQDOPRGHOLQJ
WKHVL[VSHDNHUVZLOOWU\WRSDYHWKHZD\IRUIXWXUHUHVHDUFK
FRQFHUQLQJVFKHPDVDQGPHPRU\
,QWURGXFWLRQ
1HXUDOUHSUHVHQWDWLRQVRIVSDFHLQHQWRUKLQDO
FRUWH[DQGKLSSRFDPSXV(,026(5.DYOL,QVW6\VWHPV
1HXURVFL
&HOOW\SHVSHFL¿FRSWRJHQHWLFPLFHIRUSURELQJ
QHXUDOFLUFXLWVLQKHDOWKDQGGLVHDVH*)(1*0,7
9LVXDOL]LQJWKHQHXURQDORUFKHVWUDODUJHVFDOH
LPDJLQJRIQHXUDOG\QDPLFVLQDZDNHEHKDYLQJDQLPDOV0
-6&+1,7=(5++0,6WDQIRUG8QLY
&UDFNLQJQHXUDOFRGHVZLWKSKRWRQV
RSWRJHQHWLFVDVDQLQWHJUDOWRROIRUV\VWHPVQHXURVFLHQFH.
'(,66(527+++0,6WDQIRUG0HG6FK
&ORVLQJ5HPDUNV
,QVXOLQDQG*/3$QDORJXHVDV1RYHO6WUDWHJLHVWR
7UHDW1HXURGHJHQHUDWLYH'LVRUGHUV²&0(
0RQ$0$0²1HZ2UOHDQV7KHDWHU$
&KDLU&+2/6&+(5
7KHPLQLV\PSRVLXPZLOOLQIRUPDERXWWKHZHDOWKRIQRYHO
¿QGLQJVRIQHXURSURWHFWLYHSURSHUWLHVRILQVXOLQRUQHZ
DQDORJXHVRI*/3LQ$O]KHLPHU¶VDQG3DUNLQVRQ¶VGLVHDVH
7ZR*/3DQDORJXHVH[HQGLQDQGOLUDJOXWLGHDUHDOUHDG\
RQWKHPDUNHWWRWUHDWGLDEHWHVDULVNIDFWRUIRU$O]KHLPHU¶V
6HYHUDOFOLQLFDOWULDOVDUHRQJRLQJWHVWLQJLQVXOLQH[HQGLQ
RUOLUDJOXWLGHLQ$'SDWLHQWVDQGH[HQGLQLQ3DUNLQVRQ¶V
SDWLHQWV)LUVWUHVXOWVZLOOEHDYDLODEOHIURPVRPHRIWKHVH
WULDOVDWWKHFRQIHUHQFH
,QWURGXFWLRQ
**/3VLJQDOWUDQVGXFWLRQSDWKZD\VLQ
QHXURSODVWLFLW\DQGQHXURSURWHFWLRQ030$776211DW
,QVWRQ$JLQJ
1HXURSURWHFWLYHHIIHFWVRIQRYHO*/3DQDORJXHV
LQPRGHOVRI$O]KHLPHU¶VGLVHDVH&+2/6&+(58QLYRI
8OVWHU
,QWURGXFWLRQ
6FKHPDVLQDQLPDOVDQGKXPDQVKRZWREULGJH
WKHJDS5*0255,68QLY(GLQEXUJK
6WXGLHVRI)DVW0DSSLQJDQG&RQIDEXODWLRQ
,PSOLFDWLRQVIRUVFKHPDWKHRULHVRIPHPRU\$*,/%2$
5RWPDQ5HV,QVW
6WDWLVWLFDOOHDUQLQJDQGVFKHPDDEVWUDFWLRQGXULQJ
VOHHS3/(:,68QLYRI0DQFKHVWHU
6FKHPDVDQGSUHGLFWLRQHUURUGULYHQOHDUQLQJ5
1$+(16210HG5HV&RXQFLO&DPEULGJH
%UDLQDUHDVLQYROYHGLQH[WUDFWLQJHSLVRGLF
UHJXODULWLHVRYHUWLPHDQGVOHHS&&*6:((*(568QLY
RI$PVWHUGDP
,QÀXHQFHVRIVFKHPDVRQGHFODUDWLYHPHPRU\LQ
KXPDQV0759$1.(67(5(1'RQGHUV,QVWIRU%UDLQ
&RJQLWLRQDQG%HKDYLRXU
&ORVLQJ5HPDUNV
'$9,'.23)/(&785(211(852(7+,&6 (UQHVW10RULDO
&RQYHQWLRQ&HQWHU
7KH,PSDFWRI1HXURVFLHQFHRQ6RFLHW\
7KH1HXURHWKLFVRIµ6PDUW'UXJV¶
0RQ$0$0²+DOO'
6SHDNHU%-6$+$.,$18QLYRI&DPEULGJH8QLWHG
.LQJGRP
6XSSRUWFRQWULEXWHGE\'DYLG.RSI,QVWUXPHQWV
&RJQLWLYHHQKDQFLQJGUXJVFDQLPSURYHIRUPVRIFRJQLWLRQ
VXFKDVZRUNLQJPHPRU\QRWRQO\LQSHRSOHZLWK
QHXURSV\FKLDWULFGLVRUGHUVEXWDOVRLQKHDOWK\SHRSOH7KH
LQFUHDVLQJOLIHVW\OHXVHRI³VPDUWGUXJVÉ\KHDOWK\SHRSOH
UDLVHVLPSRUWDQWQHXURHWKLFDOLVVXHV,WLVLPSRUWDQWWR
FRQVLGHUWKHSRWHQWLDOKDUPVRIWKHVHGUXJVLHVXEVWDQFH
DEXVHXQNQRZQHIIHFWVRQWKHGHYHORSLQJEUDLQFRHUFLRQDW
VFKRRORUZRUN7KHSXEOLFVKRXOGEHHQJDJHGWRFRQVLGHU
SRWHQWLDOEHQH¿WVDQGKRZWKHVHGUXJVPD\FKDQJHVRFLHW\
,56LQKLELWLRQDQG(5VWUHVVOLQNVLPSDLUHG
LQVXOLQVLJQDOLQJLQ$O]KHLPHU¶VGLVHDVHDQGW\SHGLDEHWHV
3URWHFWLRQE\H[HQGLQDQGOLUDJOXWLGH)*'()(/,&(
)HG8QLY5LRGH
$FOLQLFDOWULDORIH[HQGLQLQSDWLHQWVZLWK
3DUNLQVRQ¶VGLVHDVH7)2/7<1,(8&/
_ 6RFLHW\IRU1HXURVFLHQFH
S
63(&,$//(&785( (UQHVW10RULDO&RQYHQWLRQ&HQWHU
*RLQJWR+HOOLQD+DQGEDVNHW0ROHFXODU:HDNHQLQJRI
3UHIURQWDO&RUWLFDO5HJXODWLRQ'XULQJ6WUHVV
0RQ$030²+DOO'
6SHDNHU$)7$5167(1<DOH8QLY6FKRI0HG
7KLVOHFWXUHGHVFULEHVWKHUHJXODWLRQRIEHKDYLRUWKRXJKW
DQGHPRWLRQE\WKHKLJKO\HYROYHGSUHIURQWDOFRUWH[DQG
KRZWKHVH³WRSGRZQ´FLUFXLWVDUHZHDNHQHGE\PROHFXODU
HYHQWVGXULQJVWUHVVH[SRVXUH,QFRQWUDVWPRUHSULPLWLYH
EUDLQFLUFXLWVDUHVWUHQJWKHQHGE\VWUHVVVLJQDOLQJ
PHFKDQLVPV0DQ\RIWKHJHQHWLFOLQNVLQQHXURSV\FKLDWULF
LOOQHVVLQYROYHLQVXOWVWRWKHPROHFXODUEUDNHVRQVWUHVV
VLJQDOLQJSDWKZD\VOHDGLQJWRLQFUHDVHGVXVFHSWLELOLW\WR
SUHIURQWDOFRUWLFDOG\VIXQFWLRQ
1$126<0326,80
$[RQ*XLGDQFH0HFKDQLVPV
7KHPH$'HYHORSPHQW
0RQ$0±(UQHVW10RULDO&RQYHQWLRQ&HQWHU
'LIIHUHQWLDOD[RQJXLGDQFHUHVSRQVHVWR6RQLF
KHGJHKRJDORQJWZRRUWKRJRQDOD[HVUHJXODWHGE\DFHOO
LQWULQVLFVZLWFK)&+$5521,5&00F*LOO8QLY8QLYRI
0RQWUHDO
$GHYHORSPHQWDOSURJUDPVHWVOHIWULJKWDV\PPHWU\
RISKUHQLFPRWRQHXURQVDQGFRQQHFWLYLW\9&$67(//$1,
<&+$,;&&+$52<'0$57,1%'85$1'-)$/.
8QLYRI/\RQ8FEO&JSKLPF805&1568QLYRI
0LFKLJDQ0HG&WU
5HJXODWLRQRIFRUWLFRVSLQDOD[RQJXLGDQFH
HOLPLQDWLRQE\VHPDSKRULQ'SOH[LQ$VLJQDOLQJ<
<26+,'$<,0$085$.$:$6$:$$.80$12*2+
16(67$1=*8&LQFLQQDWL&KLOGUHQ¶V+RVS0HG&WU
<DOH8QLY6FKRI0HG2VDND8QLY<DOH8QLY6FKRI
0HG
,PSURSHUJORPHUXODUGHYHORSPHQWLQWKH
DFFHVVRU\ROIDFWRU\EXOELVDVVRFLDWHGZLWKDORVVRIPDOH
PDOHDJJUHVVLRQ-&/287,(57&87)257+-($
35,1&(0RQWUHDO1HXURO,QVW8QLYRI&DOLIRUQLD,UYLQH
0RQWUHDO1HXURORJ,QVW
,QWHUSOD\EHWZHHQGLVWLQFWD[RQJXLGDQFHVLJQDOOLQJ
SDWKZD\VDQGUHFHSWRUVRUFKHVWUDWHWKHGHYHORSPHQWRI
WKHWKDODPRFRUWLFDOFRQQHFWLYLW\(/(<9$',$=''(/
725200(1$/6&$0%5$<0&$67,//23$7(51$
07(66,(5/$9,*1(-(*($5./(,1*/23(=
%(1',72,QVWGH1HXURFLHQFLDV0D[3ODQFN,QVWRI
1HXURELR8QLYGH/OHLGD,5%//(,'$7KH5RFNHIHOOHU8QLY
$IRUZDUGJHQHWLFVFUHHQWRVWXG\D[RQJXLGDQFH
VLJQDOLQJLQPRWRUQHXURQV'%21$120,63)$))7KH
6DON,QVW
(SK$HSKULQ$UHYHUVHVLJQDOLQJLVLQYROYHGLQ
DWWUDFWLYHJXLGDQFHRIPRWRUD[RQVWRWKHGRUVDOOLPE,
'8'$129$7.$2-(+(550$11%=+(1*$
.$1,$5./(,10D[3ODQFN,QVWRI1HXURELR,QVWGH
UHFKHUFKHVFOLQLTXHVGH0RQWUpDO'HSWRI1HXURVFLHQFHV
8QLYRI&DOLIRUQLD6DQ'LHJR
S
1HWULQDQGHSKULQV\QHUJ\LQPRWRUD[RQJXLGDQFH
$.$1,$632/,$.7.$2'.5$:&+8./
&527($8(3$/0(6,126025721-&/287,(5
)&+$55216$&.(50$1,5&0,QVWGHUHFKHUFKHV
FOLQLTXHVGH0RQWUHDO&ROXPELD8QLY++0,0F*LOO8QLY
7KH-DFNVRQ/DE++0,
'6&$0SURPRWHVUHWLQDOJDQJOLRQFHOOD[RQ
IDVFLFXODWLRQDQGJURZWKLQWKHGHYHORSLQJPRXVHRSWLF
SDWKZD\/(56.,1()%58&(5:%85*(663
*)8(5678QLYRI$EHUGHHQ7KH-DFNVRQ/DE8QLYRI
,GDKR
6R[&VUHJXODWHIDFWRUVLPSRUWDQWIRUUHWLQDOD[RQ
JXLGDQFHDWWKHRSWLFFKLDVPPLGOLQH7.8:$-,0$9
/()(%95(&0$621&ROXPELD8QLY&OHYHODQG&OLQ
/HUQHU5HV,QVW&ROXPELD8QLY
$SLFDOEDVDODQGSODQDUFHOOSRODULW\VLJQDOLQJ
SDWKZD\VPHGLDWHJURZWKFRQHWXUQLQJ<=28.21,6+,
8QLYRI&DOLIRUQLD6DQ'LHJR8&6'
1$126<0326,80
7UDQVSODQWDWLRQDQG5HJHQHUDWLRQ
7KHPH$'HYHORSPHQW
0RWRUQHXURQDEODWLRQDQGUHJHQHUDWLRQLQWKH
VSLQDOFRUGRIODUYDO]HEUD¿VK-2+10$&+77%(&.(5
&*%(&.(58QLYHUVWLW\RI(GLQEXUJK
&RPSDULVRQRIKDUGDQGVRIWFROORLGDOFDUULHUVIRU
QHXUDOFHOOWUDQVSODQWDWLRQ'-*$0$'=(03/$7(1/
/,8/&+863$8727&UW'UHVGHQ6LFKXDQ8QLY
5HJHQHUDWLRQRI'URVRSKLODVHQVRU\QHXURQD[RQV
DQGGHQGULWHVLQWKH316DQG&16<621*.025,
0&.(11(<<=+(1*&+$1/<-$1<-$18QLYRI
(QGWRVLGHWXEXOLVDWLRQQHZDOWHUQDWLYHIRUWKH
VWXG\RISHULSKHUDOQHUYHUHJHQHUDWLRQ$$%$55(,5$$
+'1$6&,0(172(/,$60/6&+,$921,76027$
:0$548(6-U6FKRI0HGRI5LEHLUmR3UHWR8QLYRI
6mR3DXOR863
&RQWURORIFRPSHQVDWRU\VSURXWLQJRI
FRUWLFRVSLQDOWUDFWD[RQVE\VRFVGHSHQGHQWSDWKZD\'
-,1)681=+(+DUYDUG0HG6FKRRO&KLOGUHQ¶V+RVS
%RVWRQ
$OWHULQJROLJRGHQGURF\WHPLJUDWLRQLQDPRGHO
RIWR[LQLQGXFHGGHP\HOLQDWLRQLQDGXOW]HEUD¿VK(-
08(1=(/7%(&.(5&*%(&.(5$:,//,$06
8QLYRI(GLQEXUJK8QLYRI(GLQEXUJK
+DOOHIIHFWFXUUHQWLQGXFHGE\DV\PPHWULF
PDJQHWLF¿HOGVFDQSURPRWHWKHSUHIHUUHGRULHQWDWLRQRI
V\PSDWKHWLFQHXURQVLQYLWUR/3$1&WU)RU3DUDO\VLV
5HV3XUGXH8QLY
1HXURVFLHQFH _ 0RQGD\$0 _ 1$126<0326,80
0LFUR51$SURPRWHVWKHVZLWFKIURPHDUO\ERUQ
WRODWHERUQPRWRUQHXURQSRSXODWLRQVE\UHJXODWLQJ2QHFXW
WUDQVFULSWLRQIDFWRUH[SUHVVLRQ0+(/0%5(&+7*
/8;(1+2)(56*,867,'5()2-2$%+8%(5
+HOPKROW]=HQWUXP0XHQFKHQ03,RI3V\FKLDWU\
(VWDEOLVKLQJD[RQDOODWHUDOLW\LQWKH&16=LF
DQGLWVWDUJHWHIIHFWRUPROHFXOHVGH¿QHPLGOLQHDYRLGDQFH
RIDVFHQGLQJVSLQDOFRUGWUDFWV(+(55(5$$
(6&$/$17($./$5,QVW'H1HXURFLHQFLDV+HEUHZ
8QLYRI-HUXVDOHP+DGDVVDK0HG6FK
0RQ$0
(SK%WUDQVHQGRF\WRVLVGXULQJFRQWDFWUHSXOVLRQ
LVPHGLDWHGE\6UF'RFN(OPRVLJQDOLQJ06$..28
.6$.23$/&$/$&+(,6(1%(5*5./(,10D[
3ODQFN,QVWRI1HXURELR,67$XVWULD
$FWLYLW\GHSHQGHQWH[SUHVVLRQRIQXFOHDUHQFRGHG
PLWRFKRQGULDOSURWHLQVLQUHWLQDOJDQJOLRQFHOOD[RQVLQYLYR
067(.(7((-(:(,167(,1$.5(<0(50$1-/
*2/'%(5*%DVFRP3DOPHU(\H,QVWLWXWH8QLYRI0LDPL
6WHPFHOOWUDQVSODQWDWLRQVWUDWHJLHVIRUVXEFRUWLFDO
UHP\HOLQDWLRQ&$58))+<(1675%%(//0
/(*$672-:$1*/=+$1*0)(+/,1*68QLY+OWK
1HWZRUN
$GPLQLVWUDWLRQRIPXOWLSRWHQWDGXOWSURJHQLWRU
FHOOVLPSDFWVUHJHQHUDWLRQDQGEODGGHUIXQFWLRQDIWHUVSLQDO
FRUGLQMXU\6$%86&+0'(3$8/03$/0(5-$
+$0,/7215&87521($(7,1*5-'($165:
0$<6-6,/9(5$WKHUV\V,QF&DVH:HVWHUQ5HVHUYH
8QLY
1HXURQDOUHSURJUDPPLQJRIPHVRGHUPDOFHOOVE\
DORQJQRQFRGLQJ51$69$/$'.+$1)-$+$1,$1,
%=+$1*)1,$=,/6*81$:$5'$1(&DVH:HVWHUQ
5HVHUYH8QLY
1$126<0326,80
$EHWD$VVHPEO\DQG'HSRVLWLRQ,
7KHPH&'LVRUGHUVRIWKH1HUYRXV6\VWHP
+HUSHVVLPSOH[YLUXVHQFHSKDOLWLVDQG$EHWD
SODTXHVLQKXPDQSDWLHQWV&DVHUHSRUWV(/%($5(5
5:2/7-(5-('21$+8(..,/3$75,&.8106FK
RI0HG2UHJRQ+OWK6FL8QLY%URZQ8QLY8QLYRI1HZ
0H[LFR
/HDGH[SRVXUHDQGIRUPDWLRQRIDP\ORLGSODTXHV
LQYLYRDQGLQYLWURHYLGHQFHRIWKHLQYROYHPHQWRIKHDY\
PHWDOLRQVLQDP\ORLGDJJUHJDWLRQ:=+(1*<'8<
386+.$5*52%,621$'0211273XUGXH+HDOWK
6FL,QGLDQD8QLY6FKRI0HG3XUGXH8QLY&KHP5LVN
$EORFNVPLWRFKRQGULDOPRYHPHQWLPSOLFDWLRQV
IRUWKHPHFKDQLVPRIWKHORVVRIQHXULWHVLQ$'.
/(81(5&.85=*3(&.(57:(08(//(5)$8
(UODQJHQ1XUHPEHUJ*RHWKH8QLY
5HPRGHOLQJRIWKHPRUSKRORJ\RI`DP\ORLG
SODTXHVE\&/$&LQWKHEUDLQVRIWUDQVJHQLFPLFH7
+$6+,0272')8-,,0.$6+,:$*,<0$7682<
0$76885$76$.$.85$+.2:$':(67$:$<
7:$.$%$<$6+,7,:$768%27KH8QLYRI7RN\R7KH
8QLYRI7RN\R8QLYRI7RURQWR
1$126<0326,80
'LYHUVLW\LQFRQIRUPDWLRQDQGDJJUHJDWLRQNLQHWLFV
RIV\QWKHWLF$EHWDSHSWLGHVFRQWDLQLQJ)$'PXWDWLRQV$
+$7$0,&*/$%(8QLYRI&DOLIRUQLD,UYLQH
'LVWLQFWWR[LFROLJRPHUIRUPDWLRQGXULQJFR
H[LVWHQFHRI$O]KHLPHU¶VDP\ORLG`DQG<&+(1
*HQRPLFV5HV&HQWHU$FDGHPLD6LQLFD
(YDOXDWLQJWKH$VWUDLQK\SRWKHVLVLQQRQ
WUDQVJHQLFPRXVHEUDLQ</(9,7(6&&(%$//26',$=
$526$5,2+3$5.3&58=7*2/'(8QLYRI
)ORULGD
(IIHFWVRISKRVSKRU\ODWLRQRQWKHVWUXFWXUHDQG
DJJUHJDWLRQRIWKHDP\ORLGEHWDSHSWLGH-:$/7(56
.80$515(=$(,*+$/(+0=:(&.67(77(58QLY
%RQQ0D[3ODQFN,QVWLWXWHIRU%LRSK\VLFDO&KHP
%LRFKHPLFDODQGKLVWRORJLFDOFKDUDFWHUL]DWLRQRID
VPDOOPROHFXOHÀXRURSKRUHWKDWSUHIHUHQWLDOO\ELQGVVROXEOH
EHWDDP\ORLGROLJRPHUV&$7$1+(+,59(&27(52
*HQ(OHFWULF*OREDO5HV&WU*HQ(OHFWULF*OREDO5HV
&WU
3HULSKHUDOEORRGUHGXFWLRQRIDP\ORLGEHWDDQG
FHUHEUDODP\ORLGSODTXHVGHFUHDVHLQ$O]KHLPHU¶VWUDQVJHQLF
PLFH/'(675$'$'&+$02552$5$/9$5(=3
8QLY&DWROLFD'H&KLOH
1$126<0326,80
3DUNLQVRQ¶V'LVHDVH6\QXFOHLQ3DUNLQ3,1.DQG6WHP
&HOOV
0LFHRYHUH[SUHVVLQJZLOGW\SHKXPDQDOSKD
V\QXFOHLQGLVSOD\DOWHUDWLRQVLQFRORQLFP\HQWHULFJDQJOLDDQG
GHIHFDWLRQ/:$1*,0$*(13<8$1)5,&+7(56
568%5$0$1,$00&+(66(/(7<)7$&+e8&/$
,QWHVWLQDOSHUPHDELOLW\DQGDOSKDV\QXFOHLQ
SDWKRORJ\LQPRXVHPRGHOVRISUHPRWRU3DUNLQVRQ¶V
GLVHDVH/3.(//<30&$59(<5$(%$.$<-+
.25'2:(55XVK8QLY5XVK8QLY5XVK8QLY5XVK
8QLY0HG&WU
6HYHUHGRSDPLQHUJLFSKHQRW\SHDFFRPSDQLHG
E\LQVROXEOHDQGSURWHLQDVHNUHVLVWDQWFRQIRUPHUVLQD
QRYHOEDFDOSKDV\QXFOHLQWUDQVJHQLFUDW618%(5)
+$5087+=.2+/$$'$0(075(-2.6&+g1,*
3%$8(51&$6$'(,&*,(/&&$/$0,186%
3,&+/(5'$0$72-.251+8%(5&30h//(55
7$.$+$6+,-:,1./(5(0$6/,$+25,(66'HSW
RI1HXURVFLHQFHV8QLYRI&DOLIRUQLD6DQ'LHJR'HSWRI
0HG*HQHW'LYRI0RO1HXURO'HSWRI0RO%LRO'HSWRI
5DGLRORJ\'HSWRI3V\FKLDWU\DQG3V\FKRWKHUDS\'HSWRI
1HXURO
&RQGLWLRQDOH[SUHVVLRQRI3DUNLQVRQ¶VGLVHDVH
UHODWHGPXWDQWDOSKDV\QXFOHLQLQWKHPLGEUDLQGRSDPLQHUJLF
QHXURQVFDXVHVSURJUHVVLYHQHXURGHJHQHUDWLRQDQG
GHJUDGDWLRQRIWUDQVFULSWLRQIDFWRU1XFOHDU5HFHSWRU5HODWHG
+&$,;/,1/3$5,6,$'28&6*2%,2-<81DWO
,QVW$JLQJ1,$1,1'6
3UHVHQLOLQDQGDOSKDV\QXFOHLQLQWHUDFWWRPRGLI\
DOSKDV\QXFOHLQDFFXPXODWLRQDQGWR[LFLW\$5:,16/2:
/=+8./32670$5,0212%(5(=296.$3-
0&/($10JK+DUYDUG0,1',QVW0D\R&OLQ
1RQGRSDPLQHPRQRDPLQHWUDQVPLVVLRQLQD
QRYHO%$&DOSKDV\QXFOHLQWUDQVJHQLFPRGHORI3DUNLQVRQ¶V
GLVHDVH'327*,(7(577$</2567+5(/)(//5
:$'(0$57,166-&5$**8QLYRI2[IRUG8QLYRI
0LQQHVRWD
(IIHFWVRIDOSKDV\QXFOHLQRYHUH[SUHVVLRQRQWKH
LQYLYR¿ULQJSURSHUWLHVRILGHQWL¿HGGRSDPLQHUJLFQHXURQV
RIWKHVXEVWDQWLDQLJUDLQD%$&WUDQVJHQLFPRXVHPRGHO
RI3DUNLQVRQ¶VGLVHDVH3''2'6216-$1(=,&5
:$'(0$57,16-3%2/$03-0$*,//8QLYRI
2[IRUG05&$QDWRP1HXURSKDUP8QLW2[IRUG3DUNLQVRQ¶V
'LV&WU8QLYRI2[IRUG8QLYRI2[IRUG
S
&KDUDFWHUL]DWLRQRIFRJQLWLYHGH¿FLWVLQUDWV
RYHUH[SUHVVLQJKXPDQDOSKDV\QXFOHLQLQGRSDPLQHUJLFDQG
FKROLQHUJLFQHXURQV++$//1/$1'(&.11,/6621
0-(:(77*/($1=$'.,5,.%UDLQ5HSDLU$QG
,PDJLQJ,Q1HXUDO6\VWHPV8QLW/XQG8QLY%DVLF5HV$QG
,QWHJUDWLYH1HXURVFLHQFH8QLYRI7ULHVWH
7KH720PDFKLQHU\LVDQHZDFWRULQ3,1.
3DUNLQGHSHQGHQWPLWRFKRQGULDOFOHDUDQFH*%(572/,1
5)(55$1'20,*8(/$'$83+,1):$+$57(6
75$9(5.*5(1,(5$%8/7($8()21$%5,&(
2&257,830&8PUBV,QVHUP8&156805
1(%,QVW&XULH&QUV8050F*LOO8QLY,QVW
&RFKLQ&1563DULV'HVFDUWHV
5HWVLJQDOLQJUHVFXHVPLWRFKRQGULDOGHIHFWV
FDXVHGE\3DUNLQRU3,1.3./(,1(02725,.
:,1./+2)(55./(,10D[3ODQFN,QVW1HXURELRO
/XGZLJ0D[LPLOLDQV8QLY
9HU\ORQJWHUPRXWFRPHRIIHWDOFHOOWUDQVSODQWDWLRQ
IRU3DUNLQVRQ¶VGLVHDVH=.()$/2328/28032/,7,6
33,&&,1,+:,'1(565(+1&521$2/,1'9$//.
%+$7,$3/,0286,1148,117)2/7<1,(8&/,QVW
RI1HXURO,PSHULDO&RO/XQG8QLY8&/,QVWRI1HXURO
7UDQVSODQWDWLRQRIKXPDQHPEU\RQLFGRSDPLQH
QHXURQVLQWR3DUNLQVRQ¶VSDWLHQWVSUHGLFWVRXWFRPHRIVWHP
FHOOGHULYHGQHXURQV&5)5((':=+28</((0
/((+(<5(%5((=(8QLY&RORUDGR6FKRI0HG8QLY
&RORUDGR6FKRI0HG8QLY&RORUDGR6FKRI0HG
1$126<0326,80
%UDLQ7UDXPD$QLPDO0RGHOVDQG+XPDQ6WXGLHV,
7UHDWPHQWZLWK&DQGHVDUWDQWKHDQJLRWHQVLQ
,,W\SH,UHFHSWRUDQWDJRQLVWDIWHUWUDXPDWLFEUDLQLQMXU\
LVQHXURSURWHFWLYHLQPLFH69,//$32/77/2*$1
$<$6=(06.,.$))5$0%7686$5/$-0
6$$9('5$$-6<0(6&WU)RU1HXURVFLDQG
5HJHQHUDWLYH0HGLFLQH8QLIRUPHG6HUYLFHV8QLY&WU)RU
1HXURVFLDQG5HJHQHUDWLYH0HGLFLQH8QLIRUPHG6HUYLFHV
8QLY1DWO,QVWRI0HQWDO+OWK
$OWHUHGFDKLSSRFDPSDOORQJWHUPSRWHQWLDWLRQ
DIWHUUHSHWLWLYHWUDXPDWLFEUDLQLQMXU\LQPLFH2&/2*8(
13&5$0(5;;8=*$/'=,&.,8QLIRUPHG6HUYLFHV
8QLY8QLIRUPHG6HUYLFHV8QLYRIWKH+OWK6FL
3UHIURQWDOFHUHEHOODUIXQFWLRQDOFRQQHFWLYLW\DV
DODWHQWVXSSRUWPHFKDQLVPLQWUDXPDWLFEUDLQLQMXU\-'
0('$*/,$26&+$1=)*+,//$5<7KH3HQQV\OYDQLD
6WDWH8QLY
(YDOXDWLRQRIDQHZFOLQLFDOO\UHOHYDQWPRGHORI
IURQWDOWUDXPDWLFLQMXU\LQWKHSHGLDWULFPRXVHEUDLQ%'
6(03/(&<&+(1'0)(55,(52/-12%/(
+$(866/(,18QLYRI&DOLIRUQLD6DQ)UDQFLVFR1DWO
7DLZDQ8QLY+RVSDQG1DWO7DLZDQ8QLY&RORI0HG
8QLYRI&DOLIRUQLD6DQ)UDQFLVFR8QLYRI&DOLIRUQLD6DQ
)UDQFLVFR8QLYRI&DOLIRUQLD6DQ)UDQFLVFR
7KHSRO\PRUSKLVPRI&<3(DIIHFWVZRUNLQJ
PHPRU\IROORZLQJSHQHWUDWLQJEUDLQLQMXU\(5267$0,
).58(*(56=28%$.2'$/0217(&
+2'*.,1621'*2/'0$105,6/,1*-*5$)0$1
.DUROLQVND,QVW1,1'6/DERI1HXURJHQHWLFV1DWO,QVWRI
$OFRKRO$EXVHDQG$OFRKROLVP&RJQLWLYH1HXURVFL6HFWLRQ
1DWO,QVWRI1HXURORJ'LVRUGHUVDQG6WURNH7UDXPDWLF
%UDLQ,QMXU\5HV/DERUDWRU\.HVVOHU)QGQ5HV&WU
%HKDYLRUDODQGQHXURSDWKRORJLFDOFKDUDFWHUL]DWLRQ
RIFRQFXVVLYHLQMXU\LQK7DXPLFH%&028=21&
%$&+0(,(5008//$1:67(:$57)&5$:)25'
7KH5RVNDPS,QVW-DPHV$+DOH\9$0HG&WU7KH2SHQ
8QLY6RXWKHUQ*HQ+RVS8QLYRI*ODVJRZ
$XWRSKDJ\DQGFKURQLFWUDXPDWLFHQFHSKDORSDWK\
&7(LQDEODVWQHXURWUDXPDPRXVHPRGHO/(
*2/'67(,1$0),6+(5&$7$**(/9(/,6(.
0(5,&66210::2-1$52:,&=1&$6(<-
$021&$67(55'02,5-.%/86=7$-1%/
:2/2=,17,.(=87'67(,1$%8'6211:
.2:$//66$0$1*)+$//:&026652
&/(9(/$1'5(7$1=,3.67$1721$&0&.((
%RVWRQ8QLY6FKRI0HG%RVWRQ8QLY$O]KHLPHU¶V'LV
&WU%RVWRQ8QLY%RVWRQ8QLY1HZ<RUN0HG&RO
+DUYDUG0HG6FK0DVVDFKXVHWWV*HQ+RVS9HWHUDQV
$IIDLUV%RVWRQ+HDOWKFDUH6\VW8QLYRI0DVVDFKXVHWWV
/RZHOO/DZUHQFH/LYHUPRUH1DWO/DE8QLYRI2[IRUG
0DVVDFKXVHWWV*HQ+RVS%RVWRQ8QLY6FKRI0HG
1$126<0326,80
0XOWLVHQVRU\3URFHVVLQJ&OLQLFDO3RSXODWLRQV
7KHPH'6HQVRU\DQG0RWRU6\VWHPV
,QGLYLGXDOGLIIHUHQFHVLQROGHUDGXOWV¶EHKDYLRUDO
DQGEUDLQUHVSRQVHVWR0F*XUNVWLPXOL6%$8006
%($8&+$038QLYRI7H[DV0HG6FKRRO+RXVWRQ
S
7%,LQGXFHGVSDWLDOPHPRU\ORVVLVDYHUWHG
E\WUHDWPHQWZLWKWKHGLHWDU\VXSSOHPHQWDQDWDELQH6
)(5*8621%028=21-2-2$%,6+23*
&5<1(1-5((''3$5,690$7+85$008//$1
)&5$:)25'5RVNDPS,QVW-DPHV$+DOH\9HWHUDQV¶
+RVS7KH2SHQ8QLY
$OWHUDWLRQVLQKLSSRFDPSDOFLUFXLWU\SRVWGLIIXVH
EUDLQLQMXU\LQDVZLQH7%,PRGHO-$:2/)%+
-2+1621.'%52:1(9(-2+1621&-
0,(786'+60,7+06*5$'<$6&2+(1'
.&8//(18QLYRI3HQQV\OYDQLD&KLOGUHQ¶V+RVSRI
3KLODGHOSKLD
0RQ$0
'RSDPLQHQHXURQVGHULYHGIURPKXPDQ(6FHOOV
UHWDLQPLGEUDLQSKHQRW\SHLQDJHG0373PRQNH\V'5
:$.(0$16.5,.6+%'2',<$/678'(5-+
.25'2:(55XVK8QLY0HP6ORDQ.HWWHULQJ&DQFHU&WU
7UDXPDWLFD[RQDOLQMXU\DIWHUH[SRVXUHWREODVW$
FRPSDULVRQRIZKLWHPDWWHUGDPDJHLQEODVWDQGQRQEODVW
WUDXPDWLFEUDLQLQMXU\%ODVW,QMXU\2XWFRPH6WXG\LQ$UPHG
IRUFHV3HUVRQQHO%,26$3'-6+$535/((&+
7(+$03-+(//<(5$0,67/,1$%(11(771
.,7&+(100,':,17(5'%$;7(5,PSHULDO&RO
/RQGRQ&RPSXWDWLRQDO&RJQLWLYHDQG&OLQ1HXURLPDJLQJ
/DE'HIHQFH0HG5HKDELO&WU$FDGHPLFFHQWUHIRU
0XVFXORVNHOHWDODQG5HKDELO0HG,QVWRI1HXURODQG
1HXURVXUJHU\8QLY&RO/RQGRQ5R\DO&WUIRU'HIHQFH
0HG
9LVXDOWHPSRUDOSURFHVVLQJLVDVVRFLDWHGZLWK
FRFKOHDULPSODQWDXGLWRU\SUR¿FLHQF\5$67(9(1621
%'0$1*86-.58*(5),67(56:6+()),(/'
$-+('/(<:,//,$0657':<(55+*,))25'
53/$%$',(07:$//$&(9DQGHUELOW8QLY0HG&WU
9DQGHUELOW8QLY
$OWHUHGDXGLRYLVXDOSURFHVVLQJIROORZLQJWKHORVV
RIRQHH\HHDUO\LQOLIH-.67((9(6660252.5
.(//</5+$55,6<RUN8QLY
3HUFHSWLRQVRIDXGLRYLVXDOLOOXVLRQVUHYHDODW\SLFDO
PXOWLVHQVRU\SURFHVVLQJLQDXWLVPVSHFWUXPGLVRUGHUV-
6,(0$11567(9(1621%6&+1(,'(5+(%(5/<
7:2<1$526.,6&$0$5$7$0:$//$&(1HXURVFL
*UDG3URJUDP9DQGHUELOW8QLY9DQGHUELOW8QLY9DQGHUELOW
8QLY
9LVXDOWDFWLOHLQWHJUDWLRQDQGLQÀXHQFHRQ
SURSULRFHSWLRQLQDXWLVPVSHFWUXPGLVRUGHUVLQYHVWLJDWHG
ZLWKWKHUXEEHUKDQGLOOXVLRQ&-&$6&,2-)266)(,*
-+($&2&.&1(:6209DQGHUELOW8QLY9DQGHUELOW
8QLY2KLR6WDWH8QLY9DQGHUELOW8QLY
$XGLRYLVXDOVSHHFKLQWHJUDWLRQGRHVQRWUHO\
RQWKHPRWRUV\VWHP:0$7&+,10)(55,//&
52*$/6.<7/29(*+,&.2.8&,UYLQH6DQ'LHJR
6WDWH8QLY
5HODWLQJWKHGHYHORSPHQWRIWHPSRUDOSURFHVVLQJ
DQGPXOWLVHQVRU\LQWHJUDWLRQLQFKLOGUHQZLWKDXWLVP
VSHFWUXPGLVRUGHUV-+)266)(,*5$67(9(1621
-.6,(0$11%&6&+1(,'(5+((%(5/<7
*:2<1$526.,60&$0$5$7$07:$//$&(
9DQGHUELOW8QLY9DQGHUELOW8QLY0HG&WU9DQGHUELOW8QLY
0HG&WU
0HI05,HYDOXDWLRQRIFURVVPRGHOSODVWLFLW\LQ
H[SHULPHQWDOUDWPRGHOVZLWKELQRFXODUEOLQGQHVV=7$1*
;)(1*;681:7$1*-:$1*=+$1(\H(17
+RVSRI)XGDQ8QLY+XDVKDQ+RVSRI)XGDQ8QLY(\H
(17+RVSRI)XGDQ8QLY
([DPLQLQJWKHHIIHFWVRIDXGLWRU\GHSULYDWLRQ
DQGWKHXVHRIDYLVXDOODQJXDJHRQQHXURDQDWRP\&5
/<1(660,6(5(12':$7(5600$&6:((1(<
,QVWRI&RJQLWLYH1HXURVFL8&/%LUNEHFN&RO/RQGRQ
5HRUJDQL]DWLRQRIDXGLWRU\PRWLRQGLUHFWLRQ
HQFRGLQJLQHDUO\EOLQGKXPDQV)-,$1**67(&.(5,
),1(8QLYRI:DVKLQJWRQ8QLYRI:DVKLQJWRQ
1$126<0326,80
([WUDVWULDWH&RUWH[)XQFWLRQDO2UJDQL]DWLRQ)DFHVDQG
2EMHFWV
1$126<0326,80
,PEDODQFHGJDLQFKDQJHVRIGULYLQJDQGGLYLVLYH
QRUPDOL]DWLRQLQSXWVH[SODLQUHSHWLWLRQVXSSUHVVLRQIRUVLQJOH
DQGPXOWLSOHVWLPXOLLQPDFDTXHLQIHULRUWHPSRUDOFRUWH['
.$/,8.+29,&+592*(/6.8/HXYHQ
([SHUWLVHHIIHFWVIRUQRQIDFHREMHFWVLQ))$
DUHUREXVWWRLQDWWHQWLRQEXWQRWFRPSHWLWLRQ$(9$1
*8/,&.5:0&*8*,1,*$87+,(59DQGHUELOW8QLY
6SHHGRIKXPDQYLVXDODVVRFLDWLYHIDFHOHDUQLQJ
SUHGLFWHGE\VWUXFWXUDOSURSHUWLHVRIWKHXQFLQDWHIDVFLFXOXV
&37+20$6/:$/.(5&3,(53$2/,&,%$.(5
1,0+1DWO,QVWRI&KLOG+OWKDQG+XPDQ'HYHORS
([HPSODUVHOHFWLYLW\UHÀHFWV³FDQRQLFDO´SHUFHSWXDO
VLPLODULWLHVLQWKHKXPDQIXVLIRUPFRUWH[,'$9,'(6&2(
=,21*2/80%,&6%,&.(/0+$5(/'0*5233(
&-.(//(5&$6&+(921*00&.+$115
5*22'0$1**2(/0$1&(6&+52('(5$
'0(+7$50$/$&++HEUHZ8QLYRI-HUXVDOHP
&ROXPELD8QLY&RORI3K\VLFLDQVDQG6XUJHRQV1DWKDQ
.OLQH,QVW'HSWRI1HXURVXUJHU\+RIVWUD1RUWK6KRUH/,-
6FKRI0HGDQG)HLQVWHLQ,QVWIRU0HG5HV:HL]PDQQ
,QVWLWXWH1HXURELR'HSW$OEHUW(LQVWHLQ&RORI0HG
&ROXPELD8QLY&RORI3K\VLFLDQVDQG6XUJHRQV+DGDVVDK
+HEUHZ8QLY0HG&WU
)DFHVSDFH$QLQYHVWLJDWLRQRILWVQHXUDOEDVLV$
1(6725'&3/$870%(+50$11&DUQHJLH0HOORQ
8QLY
5ROHDQGWLPHFRXUVHRIWKHULJKWRFFLSLWDO
IDFHDUHD(YLGHQFHIURPLQWUDFHUHEUDOVWLPXODWLRQVDQG
UHFRUGLQJV--21$6%5266,21/.2(66/(5
0'(6&2,16-9,*1$/6&2/1$7&28/%2,6/
0$,//$5'6HUYLFHGH1HXURORJLH&+8GH1DQF\&WUGH
5HFKHUFKHHQ$XWRPDWLTXHGH1DQF\&5$1805
8QLYGH/RUUDLQH&1568QLYFDWKROLTXH/RXYDLQ,16(50
8(SLOHSVLH&RJQLWLRQ6HUYLFHGH1HXURFKLUXUJLH&+8
GH1DQF\
5HWKLQNLQJWKHIXQFWLRQDORUJDQL]DWLRQRIKXPDQ
YLVXDOFRUWH[.6:(,1(5.*5,//63(&725
6WDQIRUG8QLY
+RZSHUFHSWXDOLVSHUFHSWXDOH[SHUWLVH"1HXUDO
DQGEHKDYLRUDOHYLGHQFHIRUWKHLQYROYHPHQWRIWRSGRZQ
IDFWRUVLQYLVXDOH[SHUWLVH$+$5(/6*,/$,('27$1
6%(17,11,0+1,+8QLY&RO/RQGRQ+HEUHZ8QLYRI
-HUXVDOHP
+LJKUHVROXWLRQLPDJLQJRIFDUH[SHUWLVHHIIHFWV
GXULQJGLYLGHGDWWHQWLRQ5:0&*8*,1$71(:721
-&*25(,*$87+,(59DQGHUELOW8QLY9DQGHUELOW8QLY
'LVWULEXWHGPDSVZLWKLQIDFHDQGSODFHVHOHFWLYH
UHJLRQVUHSUHVHQWSHUFHSWXDODQGFRQFHSWXDOSURSHUWLHVRI
IDFHV(*2(6$(57+323'(%((&..8/HXYHQ
7HPSRUDOFRQVWUDLQWVRQWKHVWDWLVWLFDOOHDUQLQJRI
LPDJHVHTXHQFHVLQLQIHURWHPSRUDOFRUWH[70(<(56
5$0$&+$1'5$1&52/621&DUQHJLH0HOORQ8QLY
6WDWLVWLFDOOHDUQLQJRIYLVXDOVHTXHQFHVLQ
PRQNH\LQIHURWHPSRUDOFRUWH[GHSHQGVRQWKHELGLUHFWLRQDO
FRQGLWLRQDOSUREDELOLW\RIWKHLPDJHV65$0$&+$1'5$1
70(<(5&52/621&DUQHJLH0HOORQ8QLY&WUIRUWKH
1HXUDO%DVLVRI&RJQLWLRQ
$QH[SDQGHGQHXUDOIUDPHZRUNIRUWKHSURFHVVLQJ
RIREMHFWSURSHUWLHV'-.5$9,7=.66$/((0&,
%$.(5/81*(5/(,'(500,6+.,11,+1DWO,QVWRI
0HQWDO+OWK
(OHFWULFDOVWLPXODWLRQRIKXPDQIXVLIRUPIDFH
VHOHFWLYHUHJLRQVGLVWRUWVIDFHSHUFHSWLRQ-3$59,=,
&-$&48(6%/)267(51:,77+2)79
5$1*$5$-$1.:(,1(5.*5,//63(&725
6WDQIRUG8QLY6WDQIRUG+XPDQ,QWUDFUDQLDO&RJQLWLYH
(OHFWURSK\VLRORJ\3URJUDP6+,&(3
&RPSOH[LW\DQGFRQWUDGLFWLRQLQQHXUDOHQFRGLQJ
RIIDFHVLPLODULW\'$.$+10*0$77$5*.
$*8,55(8QLYRI3HQQV\OYDQLD&KLOGUHQ¶V+RVSRI
3KLODGHOSKLD
S
1$126<0326,80
7KDODPLFDQG&RUWLFDO3URFHVVLQJ,,
5HWLFXODUWKDODPLFQXFOHXV571QHXURQV
2QJRLQJVSLNHDFWLYLW\DQGHIIHFWRI571VWLPXODWLRQRQ
IRUPDOLQLQGXFHGWKDODPRFRUWLFDOSODVWLFLW\3-62-$5
6$12-$8QLY%ULWLVK&ROXPELD8QLYRI%ULWLVK&ROXPELD
8QLY%ULWLVK&ROXPELD
7KHWDDQGJDPPDRVFLOODWLRQVW\SLFDORI
WKDODPRFRUWLFDOG\VUK\WKPLDLQSDWLHQWVZLWKWULJHPLQDO
QHXUDOJLDSDLQ.':$/721-*$5&,$*5$%(//2
-'(/),1255//,1È61<86FK0HG1<86FK0HG
7KDODPRFRUWLFDOG\VUK\WKPLDLQGXFHGE\
LQWUDSODQWDUIRUPDOLQLQMHFWLRQLQWKHDZDNHUDW56$12-$
(+8%(5362-$8QLYRI%ULWLVK&ROXPELD8%&
1HXURSKDUPDFRORJ\8%&1HXURSK\VLRORJ\
(YLGHQFHWKDWSRVWV\QDSWLFIDFWRUVXQGHUOLH
HQKDQFHGH[FLWDELOLW\RIWKDODPLFQHXURQVGXULQJ((*
VORZLQJIROORZLQJDV\QFKURQRXVQRFLFHSWLYHLQÀRZ5
7$'$9$57<17$(3$9$5$358.56$12-$(
+8%(5362-$7KH8QLYRI%ULWLVK&ROXPELD7KH8QLY
RI%ULWLVK&ROXPELD
'HOWDDQGWKHWDRVFLOODWLRQVW\SLFDORI
WKDODPRFRUWLFDOG\VUK\WKPLDLQSDWLHQWVZLWK¿EURP\DOJLD
SDLQ*5$%(//2.':$/721-'(/),126=28
55//,1$6LGDGH)HGHUDOGH6mR3DXOR(301HZ<RUN
8QLY6FK0HG1HZ<RUN8QLY6FK0HG
$FXWHVFLDWLFQHUYHFRQVWULFWLRQLQMXU\LQGXFHV
SDUDGR[LFDOFKDQJHVLQFRUWLFDOSDULHWDO((*DQGHYRNHG
WKDODPLF93/QHXURQDFWLYLW\(+8%(53-62-$5
6$12-$8QLYRI%ULWLVK&ROXPELD8%&1HXURSK\VLRORJ\
8%&1HXURSKDUPDFRORJ\
&DUUDQJHHQDQLQGXFHGK\SHUDOJHVLDLVDVVRFLDWHG
ZLWKHQKDQFHGGHOWDDQGWKHWDFRUWLFDO((*DFWLYLW\7
0$5,$006+$06+8'',156$12-$3-62-$
7KH8QLYRI%ULWLVK&ROXPELD8%&1HXURSKDUPDFRORJ\
8%&1HXURSK\VLRORJ\
7W\SHFDOFLXPFKDQQHOLQYROYHGLQWULJHPLQDO
QHXURSDWKLFSDLQPHFKDQLVPV(<86&+2,0
68*,025,5//,1È61HZ<RUN8QLY
1HXURLPDJLQJDQGJHQHWLFVRIV\QHVWKHVLD6
17206216/($/5$*,%%6'0($*/(0$1
%D\ORU&RO0HG%D\ORU&RO0HG
7KHODWHUDORFFLSLWDOFRPSOH[LVQRWQHFHVVDU\
IRUKDSWLFVKDSHUHSUHVHQWDWLRQ-&612:0$
*22'$/(-&&8/+$0:HVWHUQ8QLY
9LVXDODZDUHQHVVDWVHQVRU\GLVFULPLQDWLRQ
WKUHVKROGGHSHQGVRQWKHSUHVWLPXOXV((*PLFURVWDWH-
%5,7=/',$=+(51$1'(=752&00,&+(/8QLY
RI*HQHYD&LW\&RO
,QWUDFUDQLDODQDO\VLVRIWUDQVLHQWDQGVXVWDLQHG
UHVSRQVHVWRSHUVLVWHQWYLVXDOVWLPXOLDORQJWKHKXPDQ
YLVXDOSDWKZD\.*%8&+$1$15$.83(50$1.,
$8*867(-3$59,=,57.1,*+7/<'(28(//8&
%HUNHOH\&KLOGUHQ¶V+RVS5HV&WU&KLOGUHQ¶V+RVS
5HV&WU8&6DQ)UDQFLVFR6WDQIRUG8QLY8&%HUNHOH\
+HEUHZ8QLYRI-HUXVDOHP+HEUHZ8QLYRI-HUXVDOHP
9LVXDOZRUNLQJPHPRU\DQGPHQWDOLPDJHU\VKDUH
VHQVRU\UHSUHVHQWDWLRQVLQHDUO\YLVXDOFRUWH[$$/%(56
3.2.,721,&',-.(50$1)3'(/$1*(5DGERXG
8QLY1LMPHJHQ'RQGHUV,QVW)RU%UDLQ&RJQLWLRQDQG
%HKDYLRXU+HOPKROW],QVWLWXWH([SWO3V\FKRORJ\8WUHFKW
8QLY
%UDLQ*$%$FRQFHQWUDWLRQVGHWHUPLQHVLQGLYLGXDO
GLIIHUHQFHVLQELVWDEOHSHUFHSWLRQ$09$1/221
7.1$3(1+66&+2/7((67-2+16$$/7,1.
7+'211(59$)/$00(8QLYRI$PVWHUGDP
&RJQLWLYH6FL&WU$PVWHUGDP%UDLQDQG&RJQLWLRQ8QLYRI
$PVWHUGDP'RQGHUV,QVWIRU%UDLQ&RJQLWLRQDQG%HKDYLRU
6HSDUDWLQJVWDWHDQGVWUHQJWKSURFHVVHVLQWKH
GHWHFWLRQRIYLVXDOFKDQJH1HXUDOFRUUHODWHVRISHUFHLYLQJ
DQGNQRZLQJ0$/<$3<21(/,1$6&5$1*$1$7+
8QLYRI&DOLIRUQLD'DYLV
I05,DFWLYDWLRQE\IDFHDQGELRORJLFDOPRWLRQ
SHUFHSWLRQ&RPSDULVRQRIUHVSRQVHPDSVDQGFUHDWLRQRI
SUREDELOLVWLFDWODVHV$'(1*(//*0&&$57+<<DOH
8QLY
(IIHFWRIVHOHFWLYHDWWHQWLRQLQYLVXDODVVRFLDWHG
FRUWH[UHYHDOHGE\PXOWLYR[HOSDWWHUQFODVVL¿FDWLRQ1
1(/,66(10672.(60586+:257+8QLYRI
2[IRUG.8/HXYHQ
1$126<0326,80
+XPDQ/RQJ7HUP0HPRU\(QFRGLQJDQG5HWULHYDO,
1$126<0326,80
3HUFHSWLRQDQG,PDJHU\1HXUDO%DVHV
7KHPH)&RJQLWLRQDQG%HKDYLRU
'LVVRFLDWLQJVXEMHFWLYHDZDUHQHVVDQGREMHFWLYH
SHUIRUPDQFHXQGHUWKUHVKROGSHUFHSWLRQ4/,%-+(
1,+
S
'LVVRFLDEOHKLSSRFDPSDOPHFKDQLVPVIRUHQFRGLQJ
RIQRYHOW\DQGH[SHFWDQF\YLRODWLRQ-:,/62193
0857<5$$'&2&.'XNH8QLY'XNH8QLY
1HXUDOHYLGHQFHIRUWKHELDVLQJHIIHFWVRI
DVVRFLDWLYHPHPRU\RQKXPDQGHFLVLRQPDNLQJ*
:,00(5'6+2+$0<&ROXPELD8QLY
+XPDQWLQQLWXVD7KDODPRFRUWLFDO'\VUK\WKPLD
7&'DVDWRROWRDQDO\]HWKHQHXURORJLFDOEDVLVIRU
VXEMHFWLYLW\9*837$068*,025,5//,1È61HZ
<RUN8QLY6FK0HG1HZ<RUN8QLY6FK0HG1HZ<RUN
8QLY6FK0HG
:KDWGLVWLQJXLVKHVUDSLGIURPVORZUHVSRQVHV
GXULQJLQWHUUXSWHGYLVXDOVHDUFK"(YLGHQFHIURP
0DJQHWRHQFHSKDORJUDSK\<0)21.(1(63$$.2
-(16(1)3'(/$1*(5DGERXG8QLY1LMPHJHQ
0RQ$0
7KDODPRFRUWLFDOG\VUK\WKPLD7&'LQWKHPRXVH
PRGHORIFHQWUDOWLQQLWXV6&+2,77=2812328/26
068*,025,55//,1È61HZ<RUN8QLY8QLYRI
3LWWVEXUJK
%UDLQPHFKDQLVPVXQGHUO\LQJVLPSOHSHUFHSWLRQ
ELVWDEOHSHUFHSWLRQDQGSHUFHSWXDOPHPRU\6LPLODULWLHVDQG
GLIIHUHQFHV0:$1*'$57($*$%-+(1,+
0RGXODWLRQRIPHGLDOWHPSRUDOOREHDFWLYLW\E\
UHZDUGYDOXHGXULQJYLUWXDOQDYLJDWLRQ$KLJKUHVROXWLRQ
I05,VWXG\9$&$556()$9,/$'$5(1$-1
%$,/(1621$':$*1(56WDQIRUG8QLY6WDQIRUG
8QLY6WDQIRUG8QLY
'LVWULEXWHGKLSSRFDPSDOFRGHVUHSUHVHQWLQJ
UHZDUGFRQWH[WDUHDVVRFLDWHGZLWKHQKDQFHGHSLVRGLF
ELQGLQJ60:2/26,1'=(,7+$029$$5
35(67217KH8QLYRI7H[DV$W$XVWLQ
$WUDGHRIIEHWZHHQIHHGEDFNEDVHGOHDUQLQJ
DQGHSLVRGLFPHPRU\IRUIHHGEDFNHYHQWV(YLGHQFHIURP
3DUNLQVRQ¶VGLVHDVH.()2(5'((.%5$81'
6+2+$0<&ROXPELD8QLY
+RZPRWLYDWLRQDOFRQWH[WVKDSHVPQHPRQLF
FRQWHQW5HZDUGDQGSXQLVKPHQWPRWLYDWLRQGULYHGLIIHUHQW
PHGLDOWHPSRUDOVXEVWUDWHVIRUHQFRGLQJH[SHFWDQF\
YLRODWLRQV930857<.6/$%$55$'&2&.'XNH
8QLY
9LVXDOFRUWH[VXSSRUWVWHPSRUDOO\VSHFL¿FZRUNLQJ
PHPRU\UHSUHVHQWDWLRQV7-9,&.(5<%.8+/0
&+81<DOH8QLY<DOH8QLY
0RGHOVHOHFWLRQXVLQJPXOWLYDULDWHPHDVXUHV
RIEUDLQUHVSRQVH([HPSODUYVSURWRW\SHWKHRULHVRI
FDWHJRUL]DWLRQ0/0$&.$535(6721%/29(
7KH8QLYRI7H[DV$W$XVWLQ8QLY&RO/RQGRQ
5HVLGXDODFWLYDWLRQRILWHPVLQZRUNLQJPHPRU\
OHDGVWRIRUJHWWLQJ-$/(:,63($&2&..$
1250$13ULQFHWRQ8QLY3ULQFHWRQ8QLY
3DWWHUQVLPLODULW\LQPHGLDOWHPSRUDOOREHVSUHGLFWV
PHPRU\VWUHQJWKLQFDWHJRUL]DWLRQDQGUHFRJQLWLRQPHPRU\
WDVNV7'$9,6*;8(%/29($35(67215
32/'5$&.8QLYRI7H[DV$W$XVWLQ%HLMLQJ1RUPDO8QLY
&RO/RQGRQ
(IIHFWVRIYLVXDOPHPRU\UHDFWLYDWLRQRQ
VXEVHTXHQWUHFRJQLWLRQ%$.8+/00&+81<DOH
8QLY1HZ<RUN8QLY
,QGXFLQJEHWDRVFLOODWLRQVLQWKHOHIWLQIHULRU
SUHIURQWDOFRUWH[YLDUHSHWLWLYH706VHOHFWLYHO\LPSDLUVORQJ
WHUPPHPRU\HQFRGLQJ6+$16/0$<5-0$786&+(.
8QLYRI.RQVWDQ]
(IIHFWVRIDQLQWHQVHOHDUQLQJSHULRGRQVOHHS
((*SDUDPHWHUV0'5(6/(5%1.215$'/
+$/,06(7,$:$1/*(1=(/9,632250$.(50
&=,6&+$67(,*(50D[3ODQFN,QVWRI3V\FKLDWU\
/HDUQLQJDERXWWLPH3ODVWLFFKDQJHVDQG
LQWHULQGLYLGXDOEUDLQGLIIHUHQFHVXQGHUO\LQJHQKDQFHG
GLVFULPLQDWLRQRIVKRUWWHPSRUDOLQWHUYDOV'%8(7,6
/$6$321$5$0&(5&,*1$1,(0$&$/862'HSWRI
&OLQ1HXURVFLHQFHV8QLY+RVS6DQWD/XFLD)QGQ8QLY
RI5RPHµ/D6DSLHQ]D¶8QLYRI6XVVH[)DOPHU
+RZWKHQHXURELRORJ\RILQWHUYDOWLPLQJVKDSHV
WHPSRUDODFFXUDF\+9$15,-18QLYRI*URQLQJHQ
6DFFDGHVDQGEOLQNVOHQJWKHQVXEMHFWLYHWLPHLQ
DVHFRQGVUDQJHLQWHUYDOWLPLQJWDVN7%3(11(<</
<(2:$:<%$<6&<(13V\FKRORJ\'HSDUWPHQW
1DWO8QLYRI6LQJDSRUH1DWO8QLYRI6LQJDSRUH
9LHURUGW¶V/DZ+RZSURWRW\SHVFDXVHPLJUDWLRQ
RIWHPSRUDOPHPRULHV9-$&.621+$1(1+9$1
92/.,1%85*3%$/6$0&ROXPELD8QLY%DUQDUG&RO
7KHHIIHFWVRIEHDWLQGXFWLRQFRQWLQXDWLRQDQG
DPELJXLW\RQVWUDWDODFWLYLW\GXULQJUK\WKPSURFHVVLQJ'
&$0(521-$*5$+18QLYRI:HVWHUQ2QWDULR
7HPSRUDOSUHGLFWLRQDQGWKHEDVDOJDQJOLD6WDJH
GHSHQGHQWHIIHFWVRIDXGLWRU\GHYLDQFHSURFHVVLQJ6$
.27=06&+:$57=(0D[3ODQFN,QVW&RJ%UDLQ
6FL03,IRU+XPDQ&RJQLWLYHDQG%UDLQ6FL
2QWKHQDWXUHRIUK\WKPWLPHDQGPHPRU\6
7(.,7'*5,)),7+68QLY&RO/RQGRQ1HZFDVWOH8QLY
6HOHFWLYHDWWHQWLRQWRDXGLWRU\WHPSRUDOIHDWXUHV
VHSDUDWHVGRPDLQJHQHUDOIURPWLPLQJVSHFL¿FIXQFWLRQV
0-+(15<-2%/(6(50D[3ODQFN,QVW)RU+XPDQ
&RJQLWLYHDQG%UDLQ6FL
7KHEDVDOJDQJOLDDQGSHUFHSWXDODQGPRWRUWLPLQJ
(YLGHQFHIURPFOLQLFDODQGLPDJLQJVWXGLHVLQ3DUNLQVRQ¶V
GLVHDVH0-$+$16+$+,6REHOO'HSW/RQGRQ8QLWHG
.LQJGRP
%HKDYLRUDODQGQHXUDOPDUNHUVRIEHDWEDVHG
WLPLQJ-0&$8/(<'HSWRI3V\FKRORJ\
I05,UHYHDOVGLIIHUHQFHVEHWZHHQQHXUDOV\VWHPV
UHFUXLWHGIRUWLPHSHUFHSWLRQLQFKLOGUHQZLWKDQGZLWKRXW
DXWLVP0-$//0$16(-2(/:+0(&.0%
'(1&./$-RKQV+RSNLQV0HG.HQQHG\.ULHJHU,QVW
'XNH8QLY
1$126<0326,80
1RYHO(OHFWURSK\VLRORJLFDO0HWKRGV,,
7KHPH*1RYHO0HWKRGVDQG7HFKQRORJ\'HYHORSPHQW
1$126<0326,80
1$126<0326,80
7LPLQJDQG7HPSRUDO3URFHVVLQJ,
(QFRGLQJRIWLPLQJLQVHTXHQWLDOPRYHPHQWV.
.251<6+(9$$6,(5.-',('5,&+6(18QLY&RO
/RQGRQ
,QGH[HVRIWHPSRUDOHQFRGLQJUHYHDOHGE\
VLPXOWDQHRXVWUDQVFUDQLDOPDJQHWLFVWLPXODWLRQDQG
HOHFWURHQFHSKDORJUDSK\0:,(1(53(785.(/7$8%
5++$0,/721':2/.+%&26/(778QLY
3HQQV\OYDQLD*HRUJHWRZQ8QLY
(QFRGLQJDQGVWUXFWXULQJHYHQWVIRUWLPH
SHUFHSWLRQ99$1:$66(1+29(&($'69,%0
1HXURVSLQ0(*,16(5088QLY3DULV6XG
$:LUHOHVVDQGIXOO\LPSODQWDEOHUHFRUGLQJ
V\VWHPIRU(&R*VLJQDOV'527(5081''%2//9
*25',//2*21=$/(='*28/'7+(57=%(5*-
+g))0$1160$1'21'3(7(56'52/6+$*(1
-3,672505,&+7(576&+(//(1%(5*(
72/6726+((9$*:,'0$1&((/*(5:/$1*
63$8/06&+1(,'(5.3$:(/=,.$..5(,7(5
8QLYRI%UHPHQ8QLYRI%UHPHQ8QLYRI%UHPHQ8QLYRI
%UHPHQ%UDLQ3URGXFWV*PE+8QLYRI%UHPHQ8QLYRI
%RQQ8QLY%UHPHQ
$SSOLFDWLRQRIZLUHOHVVPRQLWRULQJRIQHXURORJLFDO
DFWLYLW\DQGPRYHPHQWLQDQLPPHUVLYH'YLUWXDO
UHDOLW\HQYLURQPHQW(50$&$*12/=+$1*(
('(/67(,1-6&+8/=(0&+,&67(9(1621*
&$8:(1%(5*+67-81*-*2660$132772-
72:16(1'8QLY&DOIRUQLD6DQ'LHJR
S
+LJKGHQVLW\HOHFWULFDOO\LVRODWHGFDSDFLWLYHSLOODU
DUUD\VIRUKLJK¿GHOLW\QHXUDOVHQVRUV<+:$1*-/
6&+(,-6*(25*(73,&5$8;6$'$<(+/RV
$ODPRV1DWO/DE
+LJKGHQVLW\PLFURHOHFWURFRUWLFRJUDSK\
HFRJXVLQJÀH[LEOHVLOLFRQHOHFWURQLFV-9,9(17,-$
52*(56%/,773RO\WHFKQLF,QVWRI1HZ<RUN8QLY1HZ
<RUN8QLY8QLYRI,OOLQRLVDW8UEDQD&KDPSDLJQ8QLYRI
3HQQV\OYDQLD
,QWUDYHQRXVUHFRUGLQJRIHSLOHSWLIRUPHYHQWV
DQGKLJKIUHTXHQFLHV05%2:(5067($'56
%2:(5--9$1*203(/6-$6,59$7+$0:
0$56+*$:255(//0D\R&OLQ0D\R&OLQ0D\R
&OLQ0D\R&OLQ
&DSDELOLW\RIDQHOHFWURGH&026DUUD\WR
VWXG\DFWLRQSRWHQWLDOSURSDJDWLRQSODVWLFLW\'-%$..80
8)5(<-08(//(50),6&(//$%526&,&+
7$.$+$6+,$+,(5/(0$11(7+=XULFK8QLYRI7RN\R
5,.(1(7+=XULFK
2UJDQLFHOHFWURQLFVDOORZVWKHSKRWRHOHFWULF
H[FLWDWLRQRIQHXURQDODFWLYLW\LQSULPDU\QHXURQDOFXOWXUHV
DQGDFXWHUHWLQDOH[SODQWV'*+(==,(/$1=$5,1,1
0$57,120$172*1$==$50$&&$521(6%,67,
00(7(*3(57,/(*/$1=$1,)%(1)(1$7,
,QVW,WDOLDQRGL7HFQRORJLD,QVW,WDOLDQRGL7HFQRORJLD
8QLYGHOO¶$TXLOD2VSHGDOH6DFUR&XRUH'RQ&DODEULD
)21'$=,21(,67,7872,7$/,$12',7(&12/2*,$
&RPSRXQGDFWLRQSRWHQWLDOSURSDJDWLRQLQ
HPEU\RQLFGRUVDOURRWJDQJOLRQQHXULWHVFXOWXUHGLQ
PLFURHQJLQHHUHGK\GURJHOV50+89$/.-.+$7$0,
%-+$//0-0225(7XODQH8QLY7XODQH8QLY
7XODQH8QLY
9ROWDJHJDWHGLRQFKDQQHOPHDVXUHPHQWVLQ
WHWKHUHGPHPEUDQHV%$&251(//+$/.+$0,&,
6&$51(&&5$1),(/'%0$57,1$&$32:(/
352+'(69$/(1=8(/$%$:$//$&(6XUJLFDO
'LDJQRVWLFV3W\/WG8QLYRI7HFKQRO6\GQH\9LFWRU&KDQJ
&DUGLDF5HV,QVW8QLYRI/RQGRQ8QLYRI7HFKQRO
6\GQH\8QLYRI/RQGRQ
)XQFWLRQDOFKDUDFWHUL]DWLRQRILRQFKDQQHOV
REWDLQHGE\PHPEUDQHLQVHUWLRQLQWR;HQRSXVRRF\WHV
%%,7213&(59(//2&/$11($89/(7$1*
1%$.28+-/$6&+(70%85*(9,1'&+$66,1
1%2',(5&256,1,-'(/(8=(3$9(1(7'
%(575$1'6DQR¿805,QVHUPVDQR¿+L46FUHHQ
'HYHORSPHQWRIDPLQDWXUHZLUHOHVVVWLPXODWLRQ
DQGHOHFWURSK\VLRORJLFDOUHFRUGLQJGHYLFHIRUURGHQW
EHKDYLRXUDOWHVWLQJ53,11(//--'(0367(5-
$35$778QLY6WUDWKFO\GH8QLY6WUDWKFO\GH8QLY
6WUDWKFO\GH
S
7KHPH$'HYHORSPHQW
0RQ$0±(UQHVW10RULDO&RQYHQWLRQ&HQWHU+DOO)-
$
/RVVRI0HWVLJQDOLQJDOWHUVFHUHEUDO
FRUWLFDOVWUXFWXUHDQGFHOOXODUFRPSRVLWLRQ-060,7+*
-0$57,16(032:(//8QLYRI0DU\ODQG%DOWLPRUH
$
1HXURLPDJLQJDQGFRUWLFDOKLVWRORJ\LQ
PXULQH[PRQRVRP\$5$=1$+$1)352%67)0
/$/21'(-*(50$11-*,(''-/(5&+1,0+
%D\ORU&RORI0HG1,0+6LF.LGV+RVS
$
,QWULQVLFVSHFL¿FDWLRQRIVRPDWRVHQVRU\
DUHD¿HOGVL]HE\3D[OLPLWVUHSUHVHQWDWLRQRIVHQVRU\
SHULSKHU\DQGGULYHVWRSGRZQSODVWLFLW\RIERG\PDSLQ
WKDODPXV$%=(0%5=<&.,6&+285$6+(5<
3$'$1$672<.29$''02¶/($5<6DON,QVW)RU
%LRO6WXGLHV0D[3ODQFN,QVW)RU%LRSK\VLFDO&KHP
$
1HRFRUWLFDORUJDQL]DWLRQLQWKHDJLQJ
PRXVHDIWHUHDUO\ELODWHUDOHQXFOHDWLRQ&:$%%277,,,
2.2=$1,$1.-+8))0$18&5
$
3K\VLRORJLFDOEDVLVIRUUDSKHVHURWRQLQ
QHXURQYXOQHUDELOLW\HDUO\LQGHYHORSPHQW6*%(&.'
$3,(/%'522'&KLOGUHQ¶V+RVSRI3KLODGHOSKLD5HV
,QVW
$
*HQHSUR¿OLQJUHYHDOVDQRYHOFRUHRI
QHXUDOLQGXFWLRQQLFRUHJHQHVH[SUHVVHGGXULQJKXPDQ
QHXUDOGHYHORSPHQW&)$6$121%2/(66+,56&+
%&251(2)$+0$'1HXUDO6WHP&HOO,QVW
$
S
7KHUROHRIYROWDJHJDWHGFDOFLXP
FKDQQHOVLQQHXURQDOSKHQRW\SHVSHFL¿FDWLRQ:$
+(5%67%$5$%(=6:(/&+066$+$7KH&RO
RI:LOOLDPDQG0DU\
$
&RQGLWLRQDOGHOHWLRQRI(P[IURPFRUWLFDO
SURJHQLWRUVUHYHDOVUROHLQVSHFLI\LQJQHRFRUWLFDODUHD
SDWWHUQLQJDQGXQLTXHWKDODPLFSODVWLFLW\$0672&.(5
66$+$5$$%=(0%5=<&.,''02¶/($5<6DON
,QVW)RU%LRO6WXGLHV
$
3VHXGRNLQDVHVFRQWULEXWHWRGHYHORSPHQW
RIWKHFHUHEUDOFRUWH[%29(/(9$%('021'6/5
:(/&+$3+$552/'*+$''2&.+&/(9(56$
3%$51(62UHJRQ+OWKDQG6FL8QLY8QLY0HG&WU
$
*HQHWLFFRQWURORIFRUWLFRVSLQDOV\VWHP
GHYHORSPHQWDQGHYROXWLRQ66+,016(67$1<DOH
VFKRRORI0HG
$
'LUHFWFRQYHUVLRQRIKXPDQSDWLHQW
¿EUREODVWVLQWRVSLQDOPRWRUQHXURQVIRUODUJHVFDOH
SKHQRW\SLFVWXGLHVRI$/6-,&+,'$(621$
%/80(167(,1%:$,1*(5.6$1'251$7:$7(5
&:22/)/58%,1.(**$1+DUYDUG8QLY+DUYDUG
0HG6FKRRO&KLOGUHQ¶V+RVS%RVWRQ0DVVDFKXVHWWV*HQ
+RVS+DUYDUG0HG6FKRRO&KLOGUHQ¶V+RVS%RVWRQ
$
*O\SLFDQH[SUHVVLRQLQDP\JGDODOLNH
UHJLRQVRIWKH]HEUD¿VKIRUHEUDLQ//%58&(./
.5$0(5&UHLJKWRQ8QLY
$
7KHUROHRIWKH]LQF¿QJHUWUDQVFULSWLRQ
IDFWRU6SLQWKHHVWDEOLVKPHQWPDLQWHQDQFHRIWKHGRUVDO
/DWHUDO*DQJOLRQLF(PLQHQFHG/*(0&0$'+$9$1,
9,/,16.</(+50$1.&$03%(//&&+0&8QLYRI
&LQFLQQDWL
/RQJWHUPLPSODQWDWLRQDQGOLIHWLPHWHVWLQJRI
PLFURHFRJDUUD\IRUEPL3/('2&+2:,76&+$
.25$/(.5)7,()(1$8(5-0&$50(1$00
0$+$5%,=8QLYRI&DOLIRUQLD%HUNHOH\
&RUWLFDO'HYHORSPHQW,,
0RQ$0
,PSODQWDEOHPLFURUHDFWLRQFKDPEHUHOHFWURGHV
IRUSXOVHGQHXUDOVWLPXODWLRQDQGPLFURVWLPXODWLRQ%
6+$108*$681'$5$0%-*/8&.0$13HQQ6WDWH
8QLY
3267(5
$
S7KHHIIHFWRIPHUFXU\RQQHXUDO
JHQHH[SUHVVLRQGXULQJHDUO\]HEUD¿QFKGHYHORSPHQW-
0855$<&5$026=:(/&+'&5,672/06
6$+$&RORI:LOOLDPDQG0DU\
3267(5
$
6HOHFWLYHLQGXFWLRQRIGLVWLQFW1.;
QHXUDOSUHFXUVRUSRSXODWLRQVDQGKXPDQHPEU\RQLFVWHP
FHOOGHULYHGFRUWLFDOLQWHUQHXURQVGHSHQGVRQWLPLQJRI6++
H[SRVXUH$00$522)6$$1'(5621/678'(5
+DUYDUG8QLY:HLOO&RUQHOO0HG&RO6ORDQ.HWWHULQJ,QVW
IRU&DQFHU5HV
$
$QLQYLWURPRGHORIWKHKXPDQ
UHJLRQDOLVHGEUDLQUHYHDOVYHQWUDOWRGRUVDOIDWHVZLWFKLQJ
XSRQWUDQVJHQLFH[SUHVVLRQRIWKHWUDQVFULSWLRQIDFWRU
/0;$$.,5.(%<':2/)6*5($/,6+-
-$.2%662103$50$5:DOOHQEHUJ1HXURVFL&WU
$
*HQHUDWLRQRIFRUWLFDOLQWHUQHXURQ
VXEJURXSVIURPDGXDOUHSRUWHUPRXVHHPEU\RQLFVWHPFHOO
OLQH-$7<621$00$522)6$$1'(5621:HLOO
0HG&RORI&RUQHOO+DUYDUG
$
)LEUREODVW*URZWK)DFWRURUJDQL]HV
WKHQHRFRUWLFDODUHDPDSDQGUHJXODWHVVHQVRU\PDS
WRSRJUDSK\($*529(6$66,0$&2328/267
.$213,66$8QLY&KLFDJR8QLY&KLFDJR
$
5ROHVRIWKDODPLFDIIHUHQWVLQHDUO\
QHRFRUWLFDOGHYHORSPHQW<1$.$*$:$798(0/((
<7$1/:$1*8QLY0LQQHVRWD8QLYRI0LQQHVRWD8QLY
RI0LQQHVRWD
$
'LVWULEXWLRQDQGHPEU\RQLFRULJLQRI
FDWHFKRODPLQHUJLFQHXURQVRIWKHVWULDWXPDQGDP\JGDOD
RIPRXVH$$%(//$10%83(6+$9,&$5,2/
0(',1$8QLYRI/OHLGD,5%//(,'$8QLYGH/OHLGD8QLY
GH/OHLGD8QLYGH/OHLGD
$
,U[DQG3D[HVWDEOLVKWKDODPLF
FRPSHWHQFHIRU6KKVLJQDOOLQJ&.,(&.(5.
0$7680272$/806'(1(52%(576+$:05&&WU
)RU'HYHORSPHQWDO1HXURELR
$
/DUJHVFDOHPRQLWRULQJRIPLWRVHVVRPDO
UHSODFHPHQWDQGHQGIHHWPRYHPHQWVDWQHDUWKHDSLFDO
VXUIDFHRIWKHGHYHORSLQJPRXVHQHRFRUWH[76+,12'$
02.$0272.6$*28+7$.$*,08('$6
768.,7$7)8-,025,70,<$7$'HSWRI&HOO%LRORJ\
*UDG6FKRI0HGLFLQH1DJR\D8QLY'HSW3K\VLFV1DUD
0HG8QLY*UDG6FKRI)URQWLHU%LRVFL2VDND8QLY'HSW
3DWKRORJ\*UDG6FKRI)URQWLHU%LRVFL2VDND8QLY'LY
(PEU\RORJ\1,%%
$
1HXURJHQHVLVRIKXPDQFRUWLFRVSLQDO
PRWRUQHXURQV6./(,1$60,7+-0:(,0$11%
=+(1*8QLYRI&DOLIRUQLD6DQ'LHJR6WDQIRUG8QLY
$
'LIIHUHQFHVLQVWUXFWXUDOEUDLQQHWZRUNV
EHWZHHQ\RXQJDGXOWKRRGDQGROGDJH/=+$1'
$5,(1=2%08(//(5&/(1*/(7*6$3,52./,0
37+2036218&/$6FKRI0HG8&/$6HPHO,QVWIRU
1HXURVFLDQG+XPDQ%HKDYLRU'HSWRI3V\FKLDWU\8QLYRI
0LQQHVRWD&WUIRU0DJQHWLF5HVRQDQFH5HVHDUFK8QLYRI
0LQQHVRWD'HSWRI(OHFWULFDODQG&RPSXWHU(QJLQHHULQJ
8QLYRI0LQQHVRWD
$
6XUIDFHDUHDLQWKHOHIWYHQWURPHGLDO
SUHIURQWDOFRUWH[SUHGLFWVVHOIUHSRUWHGDQ[LHW\LQW\SLFDOO\
GHYHORSLQJFKLOGUHQDQGDGROHVFHQWV(1(:0$1&-
0&&$%(&52''(<-.83(50$1<&+81*$0
'$/(7/-(51,*$18&6'8&6'
$
'HYHORSPHQWRIQHXURQDOPLFURFLUFXLWVLQ
QHRFRUWH[OD\HU;<$2<)8<<8-0$)XGDQ8QLY
)XGDQ8QLY
3RVWQDWDO1HXURJHQHVLV(QYLURQPHQWDODQG
3KDUPDFRORJLFDO5HJXODWLRQ
7KHPH$'HYHORSPHQW
0RQ$0±(UQHVW10RULDO&RQYHQWLRQ&HQWHU+DOO) $
6HQVRU\LQSXWGHSHQGHQWVSDWLRWHPSRUDO
UHJXODWLRQRIQHXURQDOWXUQRYHULQWKHDGXOWROIDFWRU\EXOE
JORPHUXOL06$:$'$1.$1(.2+,1$'$+:$.(
<.$72<<$1$*$:$..2%$<$6+,71(0272
-1$%(.85$.6$:$02721DJR\D&LW\8QLY*UDG
6FKRI0HG6FL1DWO,QVWIRU3K\VLRORJLFDO6FL*XQPD
8QLYHUVLW\*UDG6FKRI0HG)XNXVKLPD0HG8QLY6FK
RI0HG5HV,QVWIRU(OHFWURQLF6FLHQFH+RNNDLGR8QLY
$
'LIIHUHQWLDOQHXURQDODFWLYDWLRQRIWKH
KLSSRFDPSDOVXE¿HOGVIROORZLQJZKHHOUXQQLQJLQDURGHQW
PRGHORI)$6'.(%26&+(1$025$/(603
&$67,*/,21(:7*5((128*+$<./,17629$
8QLYRI'HODZDUH8QLYRI,OOLQRLV
$
1HXURJHQHVLVDQGV\QDSWLFSODVWLFLW\
LQUDWVVXEPLWWHGWRPDWHUQDOVHSDUDWLRQDQGHQULFKHG
HQYLURQPHQW60(5/2-,/(026/%52&+$0$
5266,-(025(,5$5LEHLUDR3UHWR6FKRI0HGLFLQH
8QLYRI6DR3DXOR)HGHUDO8QLYRI3DUi)HGHUDO8QLYRI
7ULkQJXOR0LQHLUR5LEHLUmR3UHWR6FKRI0HGLFLQH8QLYRI
6mR3DXOR5LEHLUmR3UHWR6FKRI0HGLFLQH8QLYRI6mR
3DXOR
$
,/LVDQHJDWLYHUHJXODWRURISURJHQLWRU
SUROLIHUDWLRQLQDGXOWKLSSRFDPSDOQHXURJHQHVLV4/,8'U
:;,13+('7851(56+(0'$1<*$1-%(//
-<,1)6+,-:8%DUURZ1HXURORJ,QVW5RVNDPS,QVW
$
'HYHORSLQJKLSSRFDPSDOVWHPFHOOVDUH
KLJKO\VHQVLWLYHWRWKHQHXURWR[LFDQWPHWK\OPHUFXU\0
32.8.62.2/2:6.,1:(,6/('(5(',&,&&2
%/22080'1-5REHUW:RRG-RKQVRQ0HG6FK
5:-065XWJHUV80'1-5REHUW:RRG-RKQVRQ0HG
6FK80'1-5REHUW:RRG-RKQVRQ0HG6FK5:-06
$
&KURQLFK\SR[LDDQGWHWUDK\GURK\SHUIRULQ
VWLPXODWHVKLSSRFDPSDOQHXURJHQHVLVLQDPLFHPRGHORI
$O]KHLPHU¶VGLVHDVH/9$5(/$1$//$5$&$%%277
052-$6$%$/26($02<$5,7855,$*$1&
,1(67526$)DFXOWDGGH&LHQFLDV%LRORJLFDV38QLY
&DWROLFDGH&KLOH'HSWGH)LVLRORJLD)DFXOWDGGH&LHQFLDV
%LRORJLFDV38QLY&DWROLFDGH&KLOH
$
5HJLRQVSHFL¿FDQGVWDWHGHSHQGHQW
QHXURJHQLFSODVWLFLW\LQWKHDGXOW]HEUD¿VKEUDLQIROORZLQJ
GHYHORSPHQWDOVRFLDOLVRODWLRQ%:/,1'6(<9
7523(3(8QLYRI7RURQWR
$
(QYLURQPHQWDOHQULFKPHQWPHGLDWHG
VWLPXODWLRQRIDGXOWQHXURJHQHVLV'LVWLQFWFRQWULEXWLRQV
RISK\VLFDOH[HUFLVHDQGHQYLURQPHQWDOFRPSOH[LW\&
*5e*2,5($/(1*8<(1$$80217.-/
)(51$1'(68QLY'H0RQWUpDO
$
$QGURJHQLFPHGLDWLRQRIH[HUFLVH
LQGXFHGDGXOWKLSSRFDPSDOQHXURJHQHVLVLQIHPDOHUDWV0
2.$0272.,128(70$768,0/((+62<$8QLY
RI7VXNXED-6365HV)HOORZ1LLJDWD8QLYRI+OWKDQG
:HOIDUH
$
%HKDYLRURIWUDQVSODQWHGDGXOW
KLSSRFDPSDOSURJHQLWRUFHOOVLQDPRXVHPRGHORIGHFUHDVHG
HQGRJHQRXVKLSSRFDPSDOQHXURJHQHVLV%:$/'$87/
:$/.(5*.(03(50$11&57'
S
$
,QGLUHFWLQWHUDFWLRQZLWKHQULFKHG
HQYLURQPHQWKDVQREHQH¿FLDOHIIHFWVRQQHXURJHQHVLV
DQGYLVXRVSDWLDOPHPRU\'0,**(1$&./(,1
05,9$/$1<:,17(5*.(03(50$11%
67(,1(5&KDULWp8QLYHUVLWlWVPHGL]LQ%HUOLQ
&KDULWp8QLYHUVLWlWVPHGL]LQ%HUOLQ*HUPDQ&WUIRU
1HXURGHJHQHUDWLYH'LV
$
$VWURF\WHIDWW\DFLGELQGLQJSURWHLQLV
DPDUNHUIRUQHXURJHQLFQLFKHVLQWKHDGXOWUDWEUDLQ-.
<281*7+(,1%2&.(/0*21'5(/(:,6+RZDUG
8QLY&ROORI0HG+RZDUG8QLY&RORI0HG
$
7ULGLPHQVLRQDODQGXOWUDVWUXFWXUDODVSHFWV
RIYHQWULFXODUVXEYHQWULFXODU]RQHLQORQJHYDQVUDWV&
'+$(00(5/(6+7$.$'$0,12*8(,5$,
:$7$1$%(8QLYRI6mR3DXOR,QVWRI%LRPHG6FL
$
&UDQLDOUDGLDWLRQWRWKH\RXQJPRXVH
EUDLQDEODWHVQHXURJHQHVLVLQWKHKLSSRFDPSXVEXWDOORZV
DWLPHGHSHQGHQWUHFRYHU\RIPLFURYHVVHOVDQGVXEVHTXHQW
DGMXVWPHQWWRWKHVXUURXQGLQJQHXUDOWLVVXH0%2675g0
$61$</250.$/01.$5/66211+(//675g0
(5.(167$0.%/20*5(1,QVWRI1HXURVFLDQG
3K\VLRORJ\8QLYRI*RWKHQEXUJ.DUROLQVND,QVWLWXWHW
.DUROLQVND8QLY+RVS
$
/RQJODVWLQJHIIHFWVRISHULQDWDOÀXR[HWLQH
RQKLSSRFDPSDOQHXURJHQHVLV0-&+586&+9
.,5<$129$5+'<&.6&63$16:,&.8QLYRI
&DOJDU\8QLYRI&DOJDU\
$
6\PSDWKHWLFDQGSDUDV\PSDWKHWLF
DFWLYDWLRQPHGLDWHVWUDQVLHQWEUDG\FDUGLDLQUHVSRQVHVWR
UHVWUDLQWVWUHVVLQQHZERUQUDWV66$72-72.81$*$7
.$1%$<$6+,<6$*$:$06$7216$.$,1+,5$,
76+,0,=861,6+,126WDQIRUG8QLY6FKRI0HG$NLWD
8QLY*UDG6FKRI0HG
$
9XOQHUDELOLW\WRDQHVWKHWLFLQGXFHG
QHXURWR[LFLW\LVEHWWHUSUHGLFWHGE\FHOODJHWKDQDJHRI
WKHRUJDQLVP5'+2)$&(5&:(+8*+(6%
-26(3+6'$1=(5$/2(3.(7KH8QLYRI&LQFLQQDWL
&RORI0HG&LQFLQQDWL&KLOGUHQ¶V+RVS7KH8QLYRI
&LQFLQQDWL&RORI0HG
$
(IIHFWRIGRSDPLQHRQDGXOWKLSSRFDPSDO
QHXURJHQHVLV61$.$*$:$17$.$085$6%2.8
1621*$.$727,128(+RNNDLGR8QLY*UDG6FK
0HG
$
$OSKD$DGUHQHUJLFUHFHSWRU
LQÀXHQFHVRQQHXUDOSURJHQLWRUFHOOIDWHLQWKHDGXOWPRXVH
KLSSRFDPSXV.&2//(77($5'1,(/621'0
3(5(=9$'2=(8QLYRI1RUWK'DNRWD6FKRI0HGDQG
+OWK6FL&OHYHODQG&OLQ)QGQ
$
0RGXODWLRQRIDFWLYLW\LQDGXOWERUQ
ROIDFWRU\QHXURQVLPSDFWVVFHQWGHWHFWLRQLQPLFH1
087+86$0<3<$'$9%527+7*+$6+*+$(,
1RUWK&DUROLQD6WDWH8QLY8QLYRI1RUWK&DUROLQD
$
3KRWRSHULRGLQÀXHQFHVKLSSRFDPSDO
QHXURJHQHVLVLQPDOHZKLWHIRRWHGPLFH3HURP\VFXV
OHXFRSXV-&:$/7217*$8%5(&+7=0:(,/
5-1(/6212KLR6WDWH8QLY:H[QHU0HG&WU
S
$
1HXURGHYHORSPHQWDOHIIHFWVRIIHQWDQ\O
PLGD]RODPDQGFDIIHLQHLQWKHGHYHORSLQJPRXVHEUDLQ&(
&5((/(<&0<8('(-:2/1(<:DVKLQJWRQ8QLY
$
5ROHVRI7UN%VLJQDOLQJLQSDUYDOEXPLQ
H[SUHVVLQJLQWHUQHXURQVLQ*$%$PHGLDWHGDGXOW
QHXURJHQHVLV&6+,+(*:$7(5+286(%;8
*HRUJHWRZQ8QLY*HRUJHWRZQ8QLY0HG&WU
$
S
'HWUDLQLQJVSDWLDOPHPRU\DQGQHXUDO
SUROLIHUDWLRQLQUDWV/&7(,;(,5$6+7$.$'$0,
12*8(,5$*);$9,(58QLYRI6DR3DXOR8QLYRI6DR
3DXOR
$
6HDVRQDOFKDQJHVLQFHOOSUROLIHUDWLRQ
DQGVXUYLYDOLQWKHEUDLQDQGSLWXLWDU\RIDQDGXOWPDOHIURJ
/080$:7)(+5-67$/%220-02/,1$52
025&+,1,.$UL]RQD6WDWH8QLY$UL]RQD$O]KHLPHU¶V
&RQVRUWLXP
$
$FXWHNHWDPLQHWUHDWPHQWLQFUHDVHV
IXQFWLRQDOPDWXUDWLRQRIDGXOWERUQQHXURQVDWWKHRQVHW
RIEHKDYLRUDODQWLGHSUHVVDQWHIIHFWV50&$57(5$
6280,(5+&$0(5218QLWRQ1HXURSODVWLFLW\1,0+
1,+%URZQ8QLY
$
([SUHVVLRQRI'1$PHWK\OWUDQVIHUDVHV
LQDGXOWWLVVXHRIDGXOWUDWVH[SRVHVWR/36DWSRVWQDWDOGD\
&00$567(5643,770$18QLYRI&DOJDU\
+RWFKNLVV%UDLQ,QVW
3267(5
6\QDSVH)RUPDWLRQ&HOOXODU0HFKDQLVPV
7KHPH$'HYHORSPHQW
$
'LIIHUHQWLDOUROHVRI5DF*$3_FKLPHULQ
LVRIRUPVLQFRJQLWLYHIXQFWLRQDQGQHXURQDOPRUSKRJHQHVLV
5,:$7$+0,=8120,:$0$+*27207$1$.$
6,72+$5$7,:$6$721DWO,QVWRI*HQHW5,.(1
%UDLQ6FL,QVW
$
'LVWLQFWSRVWQDWDOGHYHORSPHQWDO
UH¿QHPHQWVRISDUYDOEXPLQEDVNHWDQGFKDQGHOLHUFHOO
WHUPLQDOVLQPRQNH\SUHIURQWDOFRUWH[*'+2)70$1
.1),6+'$/(:,68QLYRI3LWWVEXUJK8QLYRI
3LWWVEXUJK8QLYRI3LWWVEXUJK
$
'LIIHUHQWLDOORFDOL]DWLRQRI(SKOLJDQGV
DQGUHFHSWRUVLQGHYHORSLQJKLSSRFDPSDOQHXURQV$7
+$'(5053/800(55XWJHUV8QLY
$
&KDQJHVLQ*$%$$UHFHSWRUPHGLDWHG
V\QDSWLFWUDQVPLVVLRQGXULQJSRVWQDWDOGHYHORSPHQWRI
PRQNH\GRUVRODWHUDOSUHIURQWDOFRUWH[70,<$0$(
'(3$)81'2+<26+,12'&527$58*%
(50(175287**21=$/(=%85*26'$/(:,6
8QLYRI3LWWVEXUJK6FKRI0HG8QLYRI3LWWVEXUJK
$
(IIHFWVRILQRYREORFNDGHRI
WKHVSRQWDQHRXVGHSRODUL]DWLRQZDYHRQIXQFWLRQDO
V\QDSWRJHQHVLVLQWKHHPEU\RQLFEUDLQVWHPQXFOHXV<
02026(6$72<7$6+,5271$.$025,6+(
508//$+.6$72.DQWR*DNXLQ8QLY&RO+XPDQ
(QYUQ6WXGLHV.RPD]DZD:RPHQ¶V8QLY)DF+XPDQ+OWK
$
6WHURLGKRUPRQHUHFHSWRUDFWLYDWLRQLV
QHFHVVDU\IRUWKHDGGLWLRQRIDGXOWERUQQHXURQVLQDVRQJ
FRQWUROUHJLRQRIWKHZKLWHFURZQHGVSDUURZ5(&2+(1
($%5(12:,7=8QLYRI:DVKLQJWRQ
$
3HULQDWDODUVHQLFH[SRVXUHUHVXOWVLQ
GHSUHVVLYHOLNHEHKDYLRUVDQGUHGXFHVDGXOWQHXURJHQHVLV
WUHDWPHQWZLWKLPLSUDPLQHDQGEULHIH[SHULHQFHLQDQ
HQULFKHGHQYLURQPHQWUHVFXHVWKHVHGH¿FLWV&57</(5
$$//$18QLYRI1HZ0H[LFR8QLYRI1HZ0H[LFR
$
0RWRUQHXURQVUHFHLYHGLUHFW
PRQRV\QDSWLFFRQQHFWLRQIURPFRUWLFRVSLQDOWUDFWLQWKHUDW
GXULQJHDUO\SRVWQDWDOSHULRG6)8.8'$+0$('$1
085$%(+.$0('$06$.85$,7HLN\R8QLY6FKRI
0HG'HSWRI3K\VLRO
%
37%SURWHLQVUHJXODWHDOWHUQDWLYHVSOLFLQJ
RI36'DQGV\QDSVHPDWXUDWLRQGXULQJGHYHORSPHQW6
=+(1*(*5$<*&+$:/$%73256(72¶'(//
'/%/$&.++0,8&/$8&/$8QLYRI&RSHQKDJHQ
8&/$++0,8&/$
$
*OX1$F\WRSODVPLFWDLOLVUHTXLUHGIRU
UHLQVWDWLQJPLQL10'$5FXUUHQWVDQGOD\HUWROD\HU
/73LQ*OX1$.2PRXVHYLVXDOFRUWH[-=+$20$
3+,//,36<085$7$6'&/$5.0&2167$17,1(
3$7210F*RYHUQ,QVWIRU%UDLQ5HV0,7
3267(5
$
1RJR$LVDQHJDWLYHUHJXODWRUIRU
V\QDSWRJHQHVLVLQGLVVRFLDWHGKLSSRFDPSDOQHXURQV6
.5$0(5$'(/(.$7(0=$*5(%(/6.<0.257(
06&+:$%8QLYRI=ULFK(WK7HFK8QLY%UDXQVFKZHLJ
$
S,QWHUOHXNLQLQGXFHVSODVWLFLW\RIUHWLQR
FROOLFXODUSDWKZD\&KROLQHUJLFDQGJOXWDPDWHUJLFV\VWHPV
LQYROYHPHQW6($5$Ò-21177$9$5(6&$
6(5)$7<$6+2//)5$1&23&&$03(//2&267$
)HGHUDO8QLYRI5LR'H-DQHLUR)OXPLQHQVH)HGHUDO8QLY
)HGHUDO8QLYRI5LRGH-DQHLUR)OXPLQHQVH)HGHUDO8QLY
$
.UXSSHOOLNHIDFWRU./)UHJXODWHV
OHSWLQGHSHQGHQWV\QDSWRJHQHVLVLQKLSSRFDPSDOQHXURQV
0'+$50=+8$-/(6,$.60$33/(<$5'*$
:$<0$1:DVKLQJWRQ6WDWH8QLY
$
6\QDSWLFDQGH[WUDV\QDSWLFGLVWULEXWLRQ
RIWKHUHFHSWRUW\URVLQHNLQDVH0HWGXULQJSRVWQDWDO
GHYHORSPHQWLQWKHPRXVHFRUWH[./($*/(6217$
0,/1(53/(9,77.HFN6FKRI0HGRI86&:HLOO&RUQHOO
0HG&RO7KH5RFNHIHOOHU8QLY
$
(PEU\RQLFGHYHORSPHQWRIIRUHEUDLQ
FRQWURORIWKHVHURWRQLQV\VWHP+7UHFHSWRUV$&+(1
/'6.(//(<3))2528',.'+8%%(576
-$18621,68QLYRI&DOLIRUQLD6DQWD%DUEDUD
$
$OWHUHGV\QDSWRJHQHVLVLQDUDWPRGHORI
VXEFRUWLFDOEDQGKHWHURWRSLDDFRUWLFDOPDOIRUPDWLRQFDXVLQJ
PHQWDOUHWDUGDWLRQDQGHSLOHSV\):$75,157<=,2
(%8+/(5/:(,1+$5'/3(7,7)0,&+(/+
.$:$6$.,$5(35(6$-0$1(17,10(',16(50
8$L[0DUVHLOOH8QLY7RN\R8QLY
$
7KHLPSRUWDQFHRIV\QDSVHG\QDPLFV
LQXQGHUVWDQGLQJFKDQJHVLQV\QDSVHGHQVLW\6
$63$1*/(5/$1(('/(0$1;/,8$.
0&$//,67(58QLYRI&DOLIRUQLD'DYLV
$
0+&,DQG0()LQWHUDFWWRUHJXODWHWKH
LQLWLDOHVWDEOLVKPHQWRIFRUWLFDOFRQQHFWLRQV%(/0(5
6)/$9(//0*5((1%(5*$.0&$//,67(58QLY
&DOLIRUQLD'DYLV5RFNHIHOOHU8QLY+DUYDUG0HG6FK
%
'HJHQHUDWLRQDQGUHJHQHUDWLRQRIPXVFOH
¿EHUVDWV\QDSWLFVHJPHQWVFDXVHDJHUHODWHGPRUSKRORJLFDO
DOWHUDWLRQRIQHXURPXVFXODUMXQFWLRQ</((</,77$8%
0217(0$<25:7+2036218QLYRI7H[DV
%
6HPDSKRULQDUHJXODWHVV\QDSWRJHQHVLV
LQWKHPRXVHKLSSRFDPSXV<'8$16:$1*5
0$7682.$$/.2/2'.,15-*,*(58QLYRI
0LFKLJDQ+RZDUG+XJKHV0HG,QVWLWXWH7KH-RKQV
+RSNLQV8QLY6FKRI0HG8&6)6FKRI0HG
%
5ROHRIWHUPLQDO6FKZDQQFHOOVLQ
QHXURPXVFXODUV\QDSWLFPDWXUDWLRQGXULQJHDUO\SRVWQDWDO
GHYHORSPHQW,60,7+00,.(6+</((:-
7+2036218QLY7H[DV
$FWLYLW\'HSHQGHQW&KDQJHVLQ&RQQHFWLYLW\
7KHPH$'HYHORSPHQW
%
3UHFLVHO\WLPHGLQFUHDVHLQLQWUDFHOOXODU
FDOFLXPUHJXODWHGE\FRRUGLQDWHGFKDQJHVLQPHPEUDQH
H[FLWDELOLW\GXULQJGHYHORSPHQW+:$7$5,($
1$9$55(7($-726(00%260$8QLYRI
:DVKLQJWRQ8QLYRI:DVKLQJWRQ
%
&DOFLXPZDYHVLQWKHGHYHORSLQJ
DYLDQWHOHQFHSKDORQ&5($6721:(:22''-
3(5.(/:-022'<8QLYRI:DVKLQJWRQ
%
,QÀXHQFHRIFKROLQHUJLFUHWLQDOZDYHVRQ
WKHGHYHORSPHQWRILS5*&OLJKWUHVSRQVHSURSHUWLHV/$
.,5.%<'$$552<20%)(//(58&%HUNHOH\
%
,QKLELWRU\QHXURWUDQVPLVVLRQOLPLWVFHOO
SDUWLFLSDWLRQGXULQJJOXWDPDWHUJLFUHWLQDOZDYHV$),5/
*6$&.=1(:0$1+7$1,0)(//(58&%HUNHOH\
6WDQIRUG
%
'LUHFWDQDO\VHVRI10'$UHFHSWRU
PHGLDWHGUH¿QHPHQWRIEDUUHOQHXURQGHQGULWHVLQQHRQDWDO
PRXVHVRPDWRVHQVRU\FRUWH[+0,=812:/82<0
6$,726,72+$5$7,:$6$721DWO,QVWRI*HQHW7KH
*UDG8QLYIRU$GYDQFHV6WXGLHV62.(1'$,5,.(1%6,
%
*HQHWLFSHUWXUEDWLRQRI(,EDODQFH
DIIHFWVH[FLWDWRU\V\QDSWRJHQHVLVLQ]HEUD¿VK4<$1$
+,//-('$//0$18QLYRI0LDPL
%
3UHPDWXUHH[SUHVVLRQRI.&&LQ
HPEU\RQLF]HEUD¿VKPRWRQHXURQVXVLQJWKHJHQHWLFDOO\
HQFRGHG*DO8$6DFWLYDWLRQV\VWHP/'.12*/(50
/,$23'5$3($88QLYRI0RQWUHDO
%
)XQFWLRQDOLQYLWURFKDUDFWHUL]DWLRQ
RIWKHGHYHORSPHQWRI*$%$$UHFHSWRUDOSKDDQG
VXEXQLWVLQIURQWDOFRUWH[FXOWXUHV%0%$'(50=:$5
&)$+581.-h*(/72+6&+52('(5$9266
1HXUR3URRI*PE+
%
6\QDSWLFLQWHJUDWLRQZLWKLQDQHXURJHQLF
QLFKH7KHUROHRIFRPSHWLWLRQLQD[RQDOUH¿QHPHQW&
/23(=5&+,77$-$//871$.$6+,%$.$3(/.(<
6721(*$:$&-0&%$,11,+0,7
%
&KRURLGSOH[XVGHULYHG2W[SHUVLVWHQWO\
UHJXODWHVFRUWLFDOSODVWLFLW\LQDGXOWKRRG++/((-
63$7$==$$-2/,27$$',1$5'2$352&+,$17=
7.+(16&+&KLOGUHQ¶V+RVS%RVWRQ+DUYDUG0HG6FK
&ROOqJHGH)UDQFH
%
'HYHORSPHQWDOLPPDWXUHDFWLYLWLHVRI
QLJURDQGFRUWLFRVWULDWDOSDWKZD\VGDPSHQEHIRUHSXS
ORFRPRWLRQ1'(+257(5'&)(55$5,)0,&+(/
<527528&+$0021',10(',16(508
,16(508QLWp
%
'HYHORSPHQWDOUHRUJDQL]DWLRQRIDXGLWRU\
QHUYHV\QDSVHVRQWRIXVLIRUPFHOOVLQPRXVHGRUVDOFRFKOHDU
QXFOHXV06('/$&(.6'%5(12:,7=1,'&'1,+
S
%
S3URSHUWLHVRIVSRQWDQHRXVZDYHV
RIDFWLYLW\LQGHYHORSLQJFHUHEUDOFRUWH[VWXGLHGZLWKD
PLFURVFRS\FRPSDWLEOHPLFURÀXLGLFHOHFWURGHDUUD\.
:(,5$6&277&($6721602(1:+8<1+$
)2/&+:-022'<8QLYRI:DVKLQJWRQ
%
([SHULHQFHGHSHQGHQWIXQFWLRQDO
PDWXUDWLRQRILQWUDFRUWLFDOSDUYDOEXPLQSRVLWLYHLQKLELWRU\
FLUFXLW40,$2;=+$1*,QVWRI1HXURVFLDQG6WDWH
.H\/DERI1HXURVFLHQFH6,%6&$6
%
0DWXUDWLRQRIWKHLQKLELWRU\V\VWHP
LQWKHPRXVHSULPDU\YLVXDOFRUWH[-*$8',$65
'(2*5$&,$6.92*7%LR]HQWUXP
%
,QYLYRWZRSKRWRQFDOFLXPLPDJLQJ
UHYHDOVFRQWULEXWLRQVRISRVWV\QDSWLFVFDIIROGVDS
WRHDUO\YLVXDOFRUWLFDOQHWZRUNDFWLYLW\<085$7$0
&2167$17,1(3$7210,7
%
0RQRDPLQHUJLFSODVWLFLW\ZLWKLQWKH
FLQJXODWHFRUWH[DIWHUVHOHFWLYHOHVLRQVLQQHRQDWDOUDWV0
*&811,1*+$0&0&21125)0%(1(60F/HDQ
+RVSLWDO+DUYDUG0HG80DVV0HG6FK
%
7DUJHWUHFRJQLWLRQRIGLUHFWLRQVHOHFWLYH
YLVXDOFLUFXLWVPHGLDWHGE\FRQWDFWLQV-$267(5+287
3308/7$1,<<26+,+$5$$'+8%(50$18&6'
5LNHQ%UDLQ6FL,QVW
3267(5
0RQRDPLQHV
7KHPH%1HXUDO([FLWDELOLW\6\QDSVHVDQG*OLD
&HOOXODU0HFKDQLVPV
%
&HOHJDQVKHUPDSKURGLWHVSHFL¿FPRWRU
QHXURQV+61VVHUYHDVDKXPRUDOVRXUFHRIVHURWRQLQ
IRUQRUPDOHJJOD\LQJLQKOKEF695$87$
$/)21628QLY,OOLQRLV&KLFDJR
%
5HJXODWLRQRIFRUWLFDOGHYHORSPHQWDQG
IXQFWLRQE\WKHWUDQVFULSWLRQIDFWRUQHXURG)&+(1.
$7(630'$6)(-21(6%-+$//7XODQH8QLY
7XODQH8QLY7XODQH8QLY
%
&DOFLXPPHGLDWHVV\QHUJLVWLFLQWHUDFWLRQV
EHWZHHQELRFKHPLFDOSDWKZD\VLQDQLGHQWL¿HGQHXURQ&%
67$5.(<$5+$<(60(3$8/(<%/$17216(1
0DUVKDOO8QLY
%
7KHUROHRIQHXURQDODFWLYLW\LQFRUWLFDO
D[RQJURZWK$WLPHODSVHVWXG\XVLQJRSWRJHQHWLFFRQWURO
20$/<6+(96.$<$<6+,5$,6+,<7$1$%((6
587+$=(51<$0$02722VDND8QLY0F*LOO8QLY
01,
%
5HJXODWLRQRIWHPSHUDWXUHSUHIHUHQFH
EHKDYLRXUE\GRSDPLQHLQ'URVRSKLOD6%$1*-
&+81*6HRXO1DWO8QLY
%
'HYHORSLQJUHWLQDOJDQJOLRQFHOOD[RQ
DUERUVH[KLELWGLIIHUHQWG\QDPLFEUDQFKEHKDYLRUVDQG
HODERUDWLRQLQUHVSRQVHWRFRUUHODWHGDQGDV\QFKURQRXV
YLVXDOVWLPXODWLRQ0081='*2%(57-
3248e5866((6587+$=(50RQWUHDO1HXURORJ,QVW
%
9(*)PRGXODWHVWKHV\QDSWLF
WUDQVPLVVLRQGXULQJHPEU\RQLFGHYHORSPHQWRIPRXVH
VSLQDOFRUG6*8e5,7$$//$,1:&$=(1$9(3
%5$1&+(5($8$%,.)$/9,/$0&,16(508
8QLY%RUGHDX[8QLY%RUGHDX[&156,1&,$805
%
&RQWULEXWLRQRIWUDQVPLWWHUSKHQRW\SH
SODVWLFLW\WRORQJWHUPSRWHQWLDWLRQ&$/9$5(=%$5216
/(87*(%1&63,7=(58&6'8&6'
%
3KRWRSHULRGLQGXFHGSODVWLFLW\RI
QHXURWUDQVPLWWHUH[SUHVVLRQUHFHSWRUPDWFKLQJDQGVWUHVV
EHKDYLRU''8/&,63-$06+,',6/(87*(%1
63,7=(58QLYRI&DOLIRUQLD6DQ'LHJR.DYOL,QVWIRU%UDLQ
DQG0LQG
%
3DUYDOEXPLQFHOOVSHFL¿FWKDODPRFRUWLFDO
SODVWLFLW\LQPRXVHYLVXDOFRUWH[.%48$677.
+(16&++DUYDUG8QLY
%
5ROHRI$FWLYLW\GHSHQGHQWJHQHFSJLQ
GHYHORSPHQWRIYLVXDOFRUWLFDOFLUFXLWV13,&$5'/0,1
-+/(6/,((1(',9,0)$*,2/,1,&KLOGUHQ¶V+RVS
%RVWRQ+DUYDUG0HG6FK7KH3LFRZHU,QVWIRU/HDUQLQJ
DQG0HPRU\0DVVDFKXVHWWV,QVWRI7HFKQRO7KH3LFRZHU
,QVWIRU/HDUQLQJDQG0HPRU\
%
5HWLQRWRSLFUHPDSSLQJFDQHPHUJHIURP
UHZLULQJRILQWUDFRUWLFDOFRQQHFWLRQV0%87=$9$1
22<(15XKU8QLYHUVLW\%RFKXP98$PVWHUGDP
S
%
0RQRDPLQHVDFWLYDWHJOREDOSHSWLGHUJLF
VLJQDOLQJFDVFDGHVWRLQKLELWQRFLFHSWLYHUHVSRQVHV
LQ&DHQRUKDEGLWLVHOHJDQV9+$3,$.$67(,1$
257(*$5.2081,(&.,8QLYRI7ROHGR
%
5HJXODWLRQRIQHXURWUDQVPLWWHUV\QWKHVLV
DQGWUDQVSRUWE\DVFRUEDWH(0(5(',7+-0$<
9DQGHUELOW8QLY
%
3DOPLWR\ODWLRQWDUJHWV$.$3SURWHLQ
WROLSLGUDIWVDQGSURPRWHVLWVUHJXODWLRQRIFDOFLXP
VHQVLWLYHDGHQ\O\OF\FODVHW\SH,'(/,175$0Ë5(=
':,//28*+%</-$</,1*'0)&223(58QLY
$XWyQRPD'H1XHYR/HyQ8QLYRI&DPEULGJH
%
$QWLSV\FKRWLFGUXJVLQÀXHQFHVWULDWDO
GRSDPLQHQHUYHWHUPLQDOVYLDDFWLRQVRQ'UHFHSWRUVDQG
YHVLFOHV/-:$//$&($'./$86,1*2KLR6WDWH
8QLY2KLR6WDWH8QLY
%
S
'LVUXSWHG',6&VHULQHUDFHPDVH
ELQGLQJUHVXOWVLQ'VHULQHGHSOHWLRQDQGVFKL]RSKUHQLDOLNH
EHKDYLRUDODOWHUDWLRQV6$%$=<$100$%$%$=<$1
-12085$&<$1*66(6+$'5<$6$:$6
61<'(503/(71,.29-RKQV+RSNLQV8QLY-RKQV
+RSNLQV8QLY+LURVKLPD8QLY*UDG6FKRI%LRPHG6FL
%
,QYHVWLJDWLQJSXWDWLYHPRQRDPLQH
R[LGDVHVLQ&DHQRUKDEGLWLVHOHJDQV5%$681),/.,16
.$86+$/-6'8(552KLR8QLY$UL]RQD6WDWH8QLY
2KLR8QLY
%
5ROHRI0$67NLQDVHLQ33$UHJXODWLRQ
DQGQHXURQDODFWLYLW\LQVWULDWXP9086$17((
$1'5$'(-.$1<23*5((1*$5'$&1$,51<DOH
8QLY6FKRI0HG5RFNHIHOOHU8QLY:0.HFN)RXQGDWLRQ
.HFN06DQG3URWHRPLFV<DOH8QLY5RFNHIHOOHU8QLY
%
7KHUROHRIGRSDPLQHVLJQDOOLQJLQ
WKH*$%$HUJLFQHXURQGHYHORSPHQWDQGPRWRUEHKDYLRU
LQ]HEUD¿VKODUYDH%5628=$97523(3(0
520$126,/9$8QLY)HGHUDO'H0LQDV*HUDLV8QLYRI
7RURQWR
%
1RYHOUHODWLRQVKLSVRIHSLOHSWLF
GLVFKDUJHVWRFRJQLWLRQDQGEHKDYLRULQDQDQLPDOPRGHORI
DXWLVPDQGHSLOHSV\*1%$51(63:,1=(1%85*(5
$'26+,9DQGHUELOW8QLY6FK0HG9DQGHUELOW8QLY
%
)XQFWLRQDOUROHRIGRSDPLQH'UHFHSWRUV
LQVWULDWRQLJUDOWHUPLQDOV0RGXODWLRQRIWUDQVPLWWHUUHOHDVH-
$$9$/26-5,6,/9$5&58=758-,//2$)/25(6
3(5(=)3$=%(508'(=-$&(9(6'(5/,-%
)/25$1&WU'H,QYHVWLJDFLyQ<'H(VWXGLRV$YDQ]DGRV
'HO,31)DFXOWDGGH&LHQFLDV1DWXUDOHV8QLY$XWyQRPDGH
4XHUpWDUR681<'RZQVWDWH
%
7LVVXHW\SHSODVPLQRJHQDFWLYDWRUW3$
DFWLYLW\LQGRSDPLQH'UHFHSWRUNQRFNRXWPRXVHEUDLQ$
&$6725,1$*/(**,2)'5$*29'¶$*$7$8QLYRI
&DWDQLD8QLYRI&DWDQLD
%
,QWUDFHOOXODUFDOFLXPVLJQDOLQJLQ
GRSDPLQHUJLFQHXURQVLVUHTXLUHGIRU'URVRSKLODÀLJKW6
6$'$)636$1(6%,50$1*+$6$11DWO&WU)RU
%LRO6FL*HQHWDQG3K\VLRSDWKRORJ\RI1HXURWUDQVPLVVLRQ
/DEGH1HXURELRORJLH&WU1DWOGHOD5HFKHUFKH
6FLHQWL¿TXH(FROH6XSpULHXUHGH3K\VLTXHHWGH&KLPLH
,QGXVWULHOOHV3DULV7HFK
%
$FRPSUHKHQVLYHVWXG\IRUHIIHFWVRI
'63RQWKHH[SUHVVLRQRIQRUDGUHQHUJLFSKHQRW\SHVLQ
FXOWXUHGFHOOVDQGLWVSRWHQWLDOPHFKDQLVPV<:$1*3
086,&+<=280=+8'HSWRI%LRPHG6FLHQFHV&RO
RI0HGLFLQH(DVW7HQQHVVHH6WDWH8Q'HSWRI%LRPHG
6FLHQFHV&RORI0HGLFLQH(DVW7HQQHVVHH6WDWH8Q
%
+7$UHFHSWRUDFWLYDWLRQLVUHGXFHV
WKHDFFXPXODWLRQRIGUHEULQLQGHQGULWLFVSLQHV57
523321*,.+$1$085$76+,5$2*XQPD8QLY
*UDG6FK0HG
%
&RQYHUJHQWVHFRQGPHVVHQJHUSDWKZD\V
PHGLDWH+7E5PHGLDWHGSRWHQWLDWLRQRI$03$UHFHSWRUV
WHPSRURDPPRQLF&$V\QDSVHV$09$1'<.(60
7+2036218QLY0DU\ODQG%DOWLPRUH6FK0HG
%
1HXURQDOGHOHWLRQRI$NWLQPLFH
FDXVHVVHURWRQLQUHFHSWRUXSUHJXODWLRQDQGGHVHQVLWL]DWLRQ
&6$81'(56+-0$77+,(60$6,87$6'
52%(57621$'$9,6-6$8(5'$,5(<3*5(6&+
-6&+(7=.'1,6:(1'(5-09((1675$
9$1'(5:((/($*$//,9DQGHUELOW8QLY9DQGHUELOW
8QLY9DQGHUELOW8QLY8QLYRI1RUWK7H[DV+OWK6FL&WU
9DQGHUELOW8QLY
%
$$'UHFHSWRUVFRDFWLYDWLRQVWLPXODWHV
GHSRODUL]DWLRQLQGXFHG*$%$UHOHDVHYLDWKH3/&3.&
VLJQDOLQJSDWKZD\LQVWULDWRSDOOLGDOWHUPLQDOVLQWKHUDW6
5(&,//$67*$5&Ë$025(12)3$=%(50Ò'(=
-$&(9(6'(5/,-*%)/25$1&,19(67$9,31
&,19(67$9,31681<'RZQVWDWH0HG&WU&,19(67$9
,31
%
S,QYROYHPHQWRI*,5.FKDQQHOV
RQWKHDFXWHLQKLELWRU\HIIHFWRIUHER[HWLQHRQORFXV
FRHUXOHXVQHXURQV/8*('2,)(51$1'(=$('20
7255(&,//$8QLY%DVTXH&RXQWU\
%
(YLGHQFHIRUPROHFXODUKHWHURJHQHLW\
DPRQJSURMHFWLRQFHOOVLQWKHEUDLQVWHPQXFOHXVORFXV
FRHUXOHXV'-&+$1'/(5%':$7(5+286('UH[HO
8QLY&RORI0HG
%
(YDOXDWLRQRIWKHQHXURWURSKLFHIIHFW
RI9*/87LQPLGEUDLQGRSDPLQHQHXURQV*)257,1
&)/25(1&('7+,%$8/70$/%$*'+$',0
%28548(/758'($88QLYGH0RQWUpDO*561&
%
7KHGRSDPLQHUJLFLQQHUYDWLRQRIWKH
PDFDTXHSUHIURQWDODUHD$FRPELQHGH[SHULPHQWDODQG
VLPXODWLRQVWXG\,$63h+/(5$+$85,-9(=2/,+
.(11('<.$&0$57,1,QVWRI1HXURLQIRUPDWLFV8QLY
RI=XULFKDQG(7+=XULFK(UQVW6WUQJPDQQ,QVW(6,IRU
1HXURVFLLQ&RRSHUDWLRQZLWK0D[3ODQFN6RFLHW\,16(50
86WHP&HOODQG%UDLQ5HV,QVWLWXWH8QLYGH/\RQ
8QLY/\RQ
%
'RSDPLQHDQGVHURWRQLQFRFRQWDLQLQJ
FHOOVLQWKHSDUDYHQWULFXODURUJDQRIQRQPDPPDOLDQ
YHUWHEUDWHV".<$0$02723$))$7,&$7,5
)217$,1(&%85($839(51,(51HXURELR
'HYHORS835&156*LI
%
2UJDQL]DWLRQRIWKHGRSDPLQHUJLF
LQQHUYDWLRQLQPLFHKLSSRFDPSXV*'$/%2-
52&&+(77,(,6,1*5,1,/0248,1$*5$7721
6(/0(67,.$:<%*,526'RXJODV0HQWDO+OWK8QLY
,QVW8QLY3LHUUHHW0DULH&XULH
%
$PLFURDUUD\EDVHGVFUHHQIRU
WUDQVFULSWLRQIDFWRUVH[SUHVVHGLQIHWDOSRQWLQHQRUDGUHQHUJLF
QHXURQVDQGH[DPLQDWLRQRIWKHLUIXQFWLRQDOUROHVLQ
FDWHFKRODPLQHV\QWKHVL]LQJHQ]\PHJHQHH[SUHVVLRQ7
)86(.8&+,'$+<2.2+$6+,7$,<26+,=$:$<
,:$6$.,..,126+,7$*'$6&7$1$.$+720,7$
62+$5$..2%$<$6+,.,72,7RKRNX8QLY*UDG
6FK,QIR6FL.RFKL8QLY7RKRNX8QLY*UDG6FK,QIR
6FL7RKRNX8QLY*UDG6FK0HG0DWVXPRWR0HG&WU
)XNXVKLPD0HG8QLY7RKRNX8QLY*UDG6FK0HG
%
$UHWKHHQ]\PHVRIWKHFDWHFKRODPLQH
ELRV\QWKHWLFSDWKZD\ORFDOO\V\QWKHVL]HGLQWKHD[RQ"10
*(59$6,6192+5$0$0$&*,%(1<$1.$5$
(*,2,2$-0$.86.</2/$12630$5.(<%
%.$3/$11,+1,0+1,+1,0+
%
(QGRJHQRXV+7$UHFHSWRUPHGLDWHG
IHHGEDFNLQKLELWLRQRIGRUVDOUDSKHVHURWRQLQQHXURQVLQWKH
6(57NQRFNRXWPRXVH062,=$5(,//<.(35,&(.
*&200216&KLOGUHQ¶V+RVS%RVWRQ+DUYDUG0HG6FK
%
$EVWLQHQFHIURPFKURQLFQLFRWLQHFKDQJHV
WKHUHVSRQVHRIGRUVDOUDSKHVHURWRQLQQHXURQVWRDQ
DFXWHVWUHVVRU6%$1*.(35,&(.*&200216
&KLOGUHQ¶V+RVS%RVWRQ+DUYDUG0HG6FK
3267(5
1LFRWLQLF5HFHSWRUV3K\VLRORJ\DQG)XQFWLRQ,
&HOOXODU0HFKDQLVPV
%
0XOWLSOHQLFRWLQLFUHFHSWRUVXEW\SHV
PRGXODWHQLFRWLQHHYRNHGGRSDPLQHHIÀX[LQUDWVWULDWXP
9*5,1(9,&+(%8'<*,150$(;%*87.,17$
+$86(50%(1&+(5,)7DUJDFHSW,QF:DNH)RUHVW
8QLY+OWK6FL,QVWGHV(WXGHV&RJQLWLYHV/1&,16(50
%
$FRPSXWDWLRQDOPRGHOGLVVHFWLQJRXW
WKHFRQWULEXWLRQRIYDULRXVUHFHSWRUVXEW\SHVWRQLFRWLQH
HYRNHGGRSDPLQHHIÀX[50$(;9*5,1(9,&+(
%8'<*,10%(1&+(5,)%*87.,1(FROH1RUPDOH
6XSHULHXUH7DUJDFHSW,QF:DNH)RUHVW8QLY+OWK6FL
%
8OWUDVWUXFWXUDODQGRSWRJHQHWLFHYLGHQFH
IRUGXDOQHXURQDOVLJQDOLQJE\GRSDPLQHQHXURQVRIWKH
YHQWUDOWHJPHQWDODUHD97$6=+$1*;/,+:$1*
-4,-3%5,77$%21&,0025$/(61DWO,QVWRI
+HDOWK1DWO,QVWRQ'UXJ$EXVH,53
%
6XEXQLWVSHFL¿FHIIHFWVRIPRGLI\LQJ
EDFNERQHÀH[LELOLW\LQH[WUDFHOOXODUGRPDLQDOSKDEHWD
QLFRWLQLFUHFHSWRUV*%:(//66%'+$1$1,50
6&277$03(56217H[DV$08QLY+OWK6FL&WU
S
%
7KHHIIHFWVRI`DP\ORLGRQQHXURQDO
QLFRWLQLFDFHW\OFKROLQHUHFHSWRUVH[SUHVVHGLQ[HQRSXV
RRF\WHV6168':((.60/$1'(5621&
-$&2%6(1.&$53(17(5%+$16(1%78//,6
%ULJKDP<RXQJ8QLY
%
S(QJLQHHULQJQLFRWLQHLQVHQVLWLYHDQG
K\SHUVHQVLWLYH_`Q$&K5VYLDVHOHFWLYHGLVUXSWLRQRI
FRQVHQVXVVLWHVLQWKH00F\WRSODVPLFORRSRIWKH_
VXEXQLW($9,/(63$*$110%,$**,/$%,26$'
&$%$//(525,9(5$1$3217(6$17,$*2&$
%$(=3$*$1-$/$6$/'('20,1,&&,8QLYRI3XHUWR
5LFR8QLYRI3XHUWR5LFR
%
(WKDQROLQWHUDFWLRQVZLWKQLFRWLQLF
UHFHSWRUVLQEUDLQVWHPFKROLQHUJLFFHQWHUV6/
:2/)0$1-0&'$,'.*$//$*+(5'6
0&*(+((8QLYRI&KLFDJR8QLYRI&KLFDJR
%
7KHUROHRIWKHEHWD&ORRSLQQHXURQDO
QLFRWLQLFDFHW\OFKROLQHUHFHSWRUDOORVWHULFPRGXODWLRQ0
0/(9$1'26.,7./-$,&-7+(15<&$6+257
*ULQQHOO&RO
&
(YDOXDWLRQRI_&RQRWR[LQVRQ_
_``_`DQG_``Q$&K5V00:(/7=,1-%
($7215-/8.$600&,1726+3:+,7($.(57KH
%DUURZ1HXURORJ,QVW8QLYRI8WDK
&
,RQRWURSLFDFHW\OFKROLQHUHFHSWRUV
UHTXLULQJWKHUHFHSWRUVXEXQLW$&5FRRUGLQDWHPRWRU
FLUFXLWDFWLYLW\LQ&DHQRUKDEGLWLVHOHJDQV1%$1(5-((+
35(6&277$3+,/%522.00)5$1&,68QLY0DVV
0HG6FK
&
1RYHOEXSURSLRQUHODWHGFRPSRXQGV
VHOHFWLYHIRUORZVHQVLWLYLW\YVKLJKVHQVLWLYLW\_`QLFRWLQLF
DFHW\OFKROLQHUHFHSWRUV6.0$5;(50,//(50
%+$.7$-($7210'$0$-)&$552//%%/28*+
5/8.$6%DUURZ1HXURORJ,QVW9LUJLQLD&RPPRQZHDOWK
8QLY5HV7ULDQJOH,QVW
&
,GHQWL¿FDWLRQDQGPRGHOLQJRIOLJDQG
UHFHSWRULQWHUDFWLRQVEHWZHHQWKHSRVLWLYHDOORVWHULF
PRGXODWRUGHVIRUP\OÀXVWUDEURPLQHDQGWKH_`QLFRWLQLF
DFHW\OFKROLQHUHFHSWRU<+8$1*00:(/7=,1
1*(50$1$-$,1=%,.È',5$5,&+$5'$
*/(11210.6&+8/7(8QLYRI$ODVND)DLUEDQNV
8QLYRI$ODVND)DLUEDQNV9LUJLQLD&RPPRQZHDOWK8QLY
9LUWXD'UXJ/WG
&
8QGHUVWDQGLQJWKHPROHFXODUEDVLVRI
KLJKDI¿QLW\IRUQLFRWLQHLQ$&K5V33852+,76-$'(<
$$8(5%$&+8QLY%XIIDOR
&
0XWDWLRQVRQWKHDQ$&K5UHGXFH
&DOFLXPSHUPHDELOLW\-&2/216$(=-<$.(/1,(+6
1,(+6
&
,QYHVWLJDWLQJPHFKDQLVPVRI
SRWHQWLDWLRQE\WKHSRVLWLYHDOORVWHULFPRGXODWRUGHV
IRUP\OÀXVWUDEURPLQHXVLQJF\VWHLQHPRGL¿FDWLRQ
DSSURDFKHV0.6&+8/7(<+8$1*5$*/(1121
8QLY$ODVND)DLUEDQNV9LUJLQLD&RPPRQZHDOWK8QLY
&
,QWHUDFWLRQRIUDELHVYLUXVJO\FRSURWHLQ
IUDJPHQWVZLWKWKHDFHW\OFKROLQHELQGLQJSURWHLQ6$
5,'(2870%+$55,6.+8())(50.6&+8/7(
8QLYRI$ODVND)DLUEDQNV8QLYRI$ODVND)DLUEDQNV
3267(5
1LFRWLQLF5HFHSWRUV5HJXODWLRQ)XQFWLRQDQG
7UDI¿FNLQJ
&HOOXODU0HFKDQLVPV
&
5ROHIRU_QLFRWLQLFUHFHSWRUVLQ/GRSD
LQGXFHGG\VNLQHVLDVLQ3DUNLQVRQLDQPLFH&&$0326.
3$5.0+5$&+29$$0$//(/$/=+8$1*-0
0&,1726+65*5$'<048,.65,,QWO8QLYRI8WDK
8QLYRI&RORUDGR
&
1LFRWLQHUHGXFHV/GRSDLQGXFHG
G\VNLQHVLDVLQPRQNH\VE\DFWLQJDWSUHV\QDSWLFQLFRWLQLF
UHFHSWRUVRQQLJURVWULDWDOGRSDPLQHUJLFWHUPLQDOV$
0$//(/$0&+,17%25',$-00&,1726+;$
3(5(=048,.65,,QWO8QLYRI8WDK
&
$OWHUDWLRQVLQ_`QLFRWLQLF
DFHW\OFKROLQHUJLFUHFHSWRUVLQSUHZHDQOLQJUDWVLQUHVSRQVH
WRLQXWHURQLFRWLQHH[SRVXUH%*+2(*%(5*30
$1'(5621'&3(55<*HRUJH:DVKLQJWRQ8QLY6FK
0HG
&
2SHQFKDQQHOVWDELOL]DWLRQ2&6DQG
VXEWKUHVKROGFRRSHUDWLYHRSHQLQJ6&2RIQLFRWLQLFDOSKD
DFHW\OFKROLQHUHFHSWRUVE\FKROLQH1%)('2529-'
*5$()/%(162130/,33,(//20%(1&+(5,)
7DUJDFHSW
&
9DUHQLFOLQHDFWLYDWHVVHOHFWUHJLRQV
LQWKHUDWIRUHEUDLQQLFRWLQLFDFHW\OFKROLQHUHFHSWRU_`
GHSHQGHQWDQGLQGHSHQGHQWUHVSRQVHV+59$1
:((5,1*--$&2%6(1**,/0285(6+(5-'
0,..(/6(11HXURELR5HV8QLW158&RSHQKDJHQ8QLY
+RVSLWDO5LJVKRVSLWDOHW/LOO\5HV&HQWUH(OL/LOO\&R/WG
&
'URVRSKLODPHODQRJDVWHU*LDQW)LEHU
6\VWHPDVDPRGHOIRUWKHFKDUDFWHUL]DWLRQRI_Q$&K5V
PRGXODWRUV00(-,$0'+(*+,1,$1)0$5Ë7$
*2'(16&+:(*()ORULGD$WODQWLF8QLY)ORULGD$WODQWLF
8QLY
&
7KHFRPELQHGSRWHQWLDWLRQHIIHFWRI
F\FORVSRULQH$DQGJHQLVWHLQRQDOSKDQ$&K5FXUUHQWV
GHSHQGVXSRQWLPHFRXUVHRIH[SUHVVLRQLQ;HQRSXV
RRF\WHV0,6/$036&+:$57=-526(-)$5/(<
,QGLDQD8QLYHUVLW\%ORRPLQJWRQ'XNH8QLY0HG6FK
&
0ROHFXODUGHWHUPLQDQWVIRULQYLWUR
H[SUHVVLRQRI_QLFRWLQLFDFHW\OFKROLQHUHFHSWRUV$%
-(16(1$$-(16(18QLYRI&RSHQKDJHQ
&
7URSKLFIDFWRULQGXFHGH[FLWDWRU\V\QDSVH
IRUPDWLRQ5HJXODWLRQRISRVWV\QDSWLFUHFHSWRUH[SUHVVLRQ
DQGFOXVWHULQJLQ/\PQDHDVWDJQDOLV106&+02/'1,
6<('8QLYRI&DOJDU\
S
%
&RQWULEXWLRQRq_`QLFRWLQLFUHFHSWRUV
WRKDEHQXODUUHODWHGEHKDYLRUV6)5$+006/,0$.
6$8(5-$%/(6,,%$1(=7$//210D['HOEUXHFN
&HQWUXP(PHUJHQW%LR6ROXWLRQV5RFNHIHOOHU8QLY
&
S
&KURQLFYDUHQLFOLQHWUHDWPHQWGRZQ
UHJXODWHVIXQFWLRQDQGH[SUHVVLRQRI_`Q$&K5V
H[SUHVVHGRQ;HQRSXVRRF\WHV1$3217(6$17,$*2
10%,$**,/$%,26$'&$%$//(525,9(5$(
$9,/(63$*$1&$%$(=3$*$1(/02&+2$
-$/$6$/'('20,1,&&,8QLY3XHUWR5LFR8QLYRI
&DOLIRUQLDDW'DYLV
&
2SWLPL]HGIXQFWLRQDOH[SUHVVLRQRI
DOSKDQ$&K5V20),/&+$.29$00&,1726+
8QLYRI8WDK8QLYRI8WDK
3267(5
&
$QDORJVRIS\ULG\OHWKHUPDLQWDLQ
FRPSHWLWLYHELQGLQJZLWKUHSRVLWLRQLQJRIS\ULGLQHQLWURJHQ
$(2*81-,5,1-0)25781$.//%52:10,
'$9,/$*$5&,$+RZDUG8QLY+RZDUG8QLY8QLYRI
9LUJLQ,VODQG+RZDUG8QLY&ROO0HG
&
_FRQWDLQLQJQHXURQDOQLFRWLQLF
DFHW\OFKROLQHUHFHSWRUV(IIHFWVRIFKURQLFQLFRWLQHWUHDWPHQW
DQGLQFOXVLRQRI`VXEXQLWV%-+(1'(5621(':
0$&.(<60&.,11(<50'5(1$1+$/(67(5
&DOWHFK3XUGXH8QLY
&
([SUHVVLQJ__``QLFRWLQLF
DFHW\OFKROLQHUHFHSWRUVQDFKUVIURPGLPHUWULPHUSDLUV3
:+,7($.(50%+$.7$5-/8.$6//8&(526W
-RVHSK¶V+RVS
&
&URVVUHJXODWLRQEHWZHHQQLFRWLQLF
DFHW\OFKROLQHQ$&K5VDQGVHURWRQLQ+75VUHFHSWRUV
LQV\PSDWKHWLFQHXURQV5ROHLQDXWRQRPLFIXQFWLRQ$:
:21*9$&$03$18&&,8QLYRI6DVNDWFKHZDQ
&
1LFRWLQLFSDUWLDODJRQLVWVDVVPRNLQJ
FHVVDWLRQDLGVHIIHFWVRQDQ[LHW\OLNHEHKDYLRUDQGUHFHSWRU
UHJXODWLRQ-57851(53+8660$11-./(+0.-
.(//$5-$%/(1'<8QLYRI3HQQV\OYDQLD*HRUJHWRZQ
8QLY
&
1HXURQDOQLFRWLQLFDFHW\OFKROLQHUHFHSWRUV
LQSDQFUHDWLFFDQFHU5%2<'2KLR6WDWH8QLY
&
1LFRWLQHLQGXFHVFKURPDWLQUHPRGHOLQJ
WKURXJKGHFUHDVHVLQWKHPHWK\OWUDQVIHUDVHVJOSJD
VHWGEDQGOHYHOVRIKNPH.$&+$6(53
6+$50$8QLYRI,OOLQRLV$W&KLFDJR
&
S3RWHQWLDOLPSOLFDWLRQVRIFKROHVWHURO
FDYHROLQDQGSKRVSKDWLG\OLQRVLWROELVSKRVSKDWHSLS
RQWKHQRYHODOSKDFZPXWDQWQDFKUDWOLSLGUDIWV0<
38//(1&2/21-2<2/$&,17521'&$%$//(52
5,9(5$/%$//(67(5/0$57,1(=5<5,26&-
12*8(5$6257,=&$%$(=3$*$1248(6$'$-
$/$6$/'('20,1,&&,8QLYRI3XHUWR5LFR5LR3LHGUDV
&DPSXV8QLYRI3XHUWR5LFR5LR3LHGUDV&DPSXV8QLY
RI3XHUWR5LFR5LR3LHGUDV&DPSXV&DOLIRUQLD6WDWH8QLY
'RPLQJXH]+LOOV8QLYRI3XHUWR5LFR5LR3LHGUDV&DPSXV
&
(IIHFWVRIQLFRWLQHRQWKHH[SUHVVLRQ
RIÀXRUHVFHQWDOSKDDQGDOSKD'1VXEXQLWV&
',/:257+&%0$5277$$:8'$'28*+(57<
+$/(67(5&DOWHFK&DOWHFK%URZQ8QLY
&
1LFRWLQLFFRQWURORIJOXWDPDWHUHFHSWRU
WUDI¿FNLQJ$:+$/))'*Ï0(=9$5(/$'.%(5*
8&6'0D[3ODQFNIRU([SWO0HG
&
0RELOLW\RISUHV\QDSWLFQLFRWLQLFUHFHSWRUV
DQGUHOHYDQFHIRUJOXWDPDWHUHOHDVH'*20(=9$5(/$
6U'.%(5*8QLYRI&DOLIRUQLD6DQ'LHJR0D[3ODQFN
IRU([SWO0HG
&
+XPDQDOSKDQ$&K5SRO\PRUSKLVPV
DVVRFLDWHGZLWKGHFUHDVHGULVNIRUVPRNLQJDOWHU_`
Q$&K5H[SUHVVLRQDQGLQWHUDFWLQJSURWHLQVH[DPLQHGLQ
YLWUR7'0&&/85(%(*/(<3;,(-*(/(517(5-
/,1'67520053,&&,2772<DOH8QLY<DOH8QLY6FK
RI0HG8QLYRI3HQQV\OYDQLD6FKRI0HG<DOH8QLY
&
,QYHVWLJDWLQJZKHWKHUQLFRWLQLF_
UHFHSWRU67$7LPPXQHVLJQDOLQJLVPHWDERWURSLF
7.23(51,$.60$'$68$6$:$17$
&+$1'5$6+(.$51621,31$,.,&3(1*5+
/25,1*1RUWKHDVWHUQ8QLY8QLYRI)ORULGD
3RWDVVLXP&KDQQHOV
&HOOXODU0HFKDQLVPV
0RQ$0±(UQHVW10RULDO&RQYHQWLRQ&HQWHU+DOO) &
3KDUPDFRORJLFDOPRGXODWLRQRI.Y
SRWDVVLXPFXUUHQWV05%52:1&+/$5*(*6
$/9$52/..$&=0$5(.<DOH8QLY6FKRI0HG
$XWLIRQ\7KHUDSHXW/LPLWHG
&
3KDUPDFRORJLFDOPRGXODWLRQRI.Y
SRWDVVLXPFKDQQHOVUHJXODWHVWKH¿ULQJRISDUYDOEXPLQ
SRVLWLYHFRUWLFDOLQWHUQHXURQV&+/$5*(0526$72
6,5,&9,5*,1,2(=$0%(//2&087,1(//,*6
$/9$52$XWLIRQ\7KHUDSHXW*OD[RVPLWKNOLQH
&
,QKLELWLRQRIFDOFLQHXULQ'HSHQGHQW
VXSSUHVVLRQRI.YFXUUHQWDQGDVVRFLDWHGFKDQJHVLQ
PHPEUDQHFDSDFLWDQFHLQ;HQRSXVRRF\WHVE\JHQLVWHLQ
F\FORVSRULQH$DQGG\QDVRUH$QLPSRUWDQWUROHIRU
HQGRF\WRVLV-)$5/(<0,6/$0%+$//$+$13
6&+:$57='0,//(5,QGLDQD8QLY8QLYRI.HQWXFN\
&
$VVRFLDWLRQDQGFRORFDOL]DWLRQRISODVPD
PHPEUDQH.YYROWDJHJDWHGSRWDVVLXPFKDQQHOVZLWK
LQWUDFHOOXODUU\DQRGLQHUHFHSWRUFDOFLXPUHOHDVHFKDQQHOV'
10$1',.,$12&(5'$$(9$16'6&+1(,'(5-
675,00(58QLYRI&DOLIRUQLD'DYLV
&
$FWLYH.FRQGXFWDQFHDQGSDVVLYH
PHPEUDQHSURSHUWLHVRI1*FHOOV&&+$1-:(1*7
&+(1&/,(1,QVWRI1HXURVFLHQFH1DWO<DQJ0LQJ8QLY
&
0HFKDQLVPRIH[WHUQDOS+VHQVLWLYLW\
LQ(WKHUDJRJRIDPLO\FKDQQHOV0.$=0,(5&=$.;
=+$1*.3,9$52))%&+(1-6$66,&7-(*/$
3HQQ6WDWH8QLY6DQIRUG%XUQKDP0HG5HV,QVW7KH
6FULSSV5HV,QVW
&
S
&RQVHUYDWLRQRI(WKHUDJRJRIDPLO\
SRWDVVLXPFKDQQHOVLQ&QLGDULDQV$0$57,1621$
6$$'$77--(*/$3HQQ6WDWH8QLY
&
&%&%UHFHSWRULQGHSHQGHQW
VXSSUHVVLRQRIRXWZDUG.FXUUHQWVE\ZLQLQWKHUDW
UHWLQDOJDQJOLRQFHOOV=:$1*&=+$1*6:$1*<
0,$2/'21*;<$1*6-,$1*-:$1*;<$1*
)XGDQ8QLY
&
'RQHSH]LOLQORZPLFURPRODU
FRQFHQWUDWLRQVPRGXODWHVYROWDJHJDWHGSRWDVVLXPFXUUHQWV
LQUDWKLSSRFDPSDOQHXURQV(,62/176(9$-9
%8.$129$&WURI1HXURO
&
5HJXODWLRQRIQHXURQDOVXUYLYDO
GHDWKG\QDPLFVYLDFKHPRNLQH6')_LQGXFHGGLVWLQFW
PRGXODWLRQVLQ.YFKDQQHO$-6+(3+(5'//22$
'0,&./(<086$&+(9'302+$3$75$7KH8QLY
RI,RZD&DUYHU&RORI0HG
&
'HYHORSLQJOLJKWDFWLYDWHGLRQFKDQQHOV
-.$1*/:$1*6DON,QVW6DON,QVW
&
$FWLYLW\GHSHQGHQWWUDQVFULSWLRQDO
UHJXODWLRQRIPW\SHNFKDQQHOVE\DNDSPHGLDWHG
QIDWDFWLRQV-=+$1*06+$3,5287+6&6$
87+6&6$
&
)XQFWLRQDOLPSOLFDWLRQVRI.YFKDQQHO
SKRVSKRU\ODWLRQ,6$/=(5:&+(1+.8%,67$*
/8%(&6)%2(+0-<$1*0HG8QLY9LHQQD0HG
8QLY9LHQQD0HG8QLY9LHQQD
S
3267(5
&DOFLXP$FWLYDWHG3RWDVVLXP&KDQQHOV
&HOOXODU0HFKDQLVPV
&
%UDG\NLQLQSURPRWHVWKHFKHPRWDFWLF
PLJUDWLRQRIKXPDQJOLRPDFHOOVYLDDFWLYDWLRQRI&D
GHSHQGHQW.DQG&OFKDQQHOV9$&8''$3$++
6217+(,0(58QLYRI$ODEDPDDW%LUPLQJKDP
&
([SUHVVLRQRIVFKL]RSKUHQLDDVVRFLDWHG
KXPDQ6.FKDQQHOPXWDWLRQLQGRSDPLQHQHXURQVRIPLFH
FRQIHUVK\SHUSKDVLFQHXUDODFWLYLW\0(62'(1*/
-21(6/6=:(,)(/8QLYRI:DVKLQJWRQ
&
0ROHFXODUPHFKDQLVPVRIOLJDQGJDWHG
VXSSUHVVLRQRIVORZDIWHUK\SHUSRODUL]DWLRQ39%(/$1
$9'29*$11,.2121(1.293&+(5.$6
7768*25.$/3+$<1(65'%85*2<1(
%RJRPROHW],QVW3K\VLRO.H\6WDWH/DERI0RODQG&HOO
%LRO8QLYRI/LYHUSRRO
&
%.FKDQQHOFXUUHQWGXULQJDFWLRQ
SRWHQWLDOVRIPLGEUDLQGRSDPLQHQHXURQV&.,000
38232/2=0.+$/,4%3%($1+DUYDUG0HG6FK
6WRQ\%URRN0HG&WU1,+
&
S5HJXODWLRQRI%.FKDQQHODFWLYLW\E\
$6,&VLQUDWJOLDOFHOOV0<281*3&$67(//$12(
3(752))0RQWFODLU6WDWH8QLY0RQWFODLU6WDWH8QLY
&
/DUJHFRQGXFWDQFH&DDFWLYDWHG
SRWDVVLXP%.FKDQQHOVOLPLWWKHGHSRODUL]HGVWDWHRI
KRUL]RQWDOFHOOVRIWKHURGHQWUHWLQD;681;/,8$
$+,5$126%$51(61&%5(&+$'DYLG*HIIHQ
6FKRI0HGLFLQH8QLYRI&DOLIRUQLD/RV$QJHOHV8&/$
9HWHUDQV$IIDLUV9$*/$+6'DOKRXVLH8QLY-XOHV6WHLQ
(\H,QVWLWXWH8&/$
&
3UHV\QDSWLF%.FKDQQHOVPRGXODWH
HWKDQROLQGXFHGHQKDQFHPHQWRI*$%$HUJLFWUDQVPLVVLRQ
LQWKHUDWFHQWUDODP\JGDODQXFOHXV4/,5'0$',621
6'0225('XNH8QLY0HG&WU'XUKDP9$0&'XNH
8QLY0HG&WU
&
*LUNNQRFNRXWPLFHVKRZDOWHUHGIHDU
FRQGLWLRQHGOHDUQLQJDQGPHPRU\0(7,336.0
/$77$/.-%8&.8QLY7H[DV2UHJRQ+OWK6FL8QLY
3RUWODQG9HWHUDQV$IIDLUV0HG&WU
&
$VVRFLDWLRQRI.&1-ZLWKDGXOWDOFRKRO
GHSHQGHQFHHDUO\OLIHVWUHVVLQGXFHGDGROHVFHQWDOFRKRO
GULQNLQJ*6&+80$11,QVWRI3V\FKLDWU\
&
&DOFLXPVHQVLQJUHJXODWRU\RI
FRQGXFWDQFHIRUSRWDVVLXP5&.GRPDLQVDUHFULWLFDO
WRHPEROGVORDQGUHODWHGFKDQQHOSURWHLQVZLWKKLJK
VHQVLWLYLW\WRHWKDQRO$%8.,<$-/,8$6,1*+$
'23,&27KH8QLYRI7HQQHVVHH+6&&ROO0HG'HSW
3KDUPDFRO
&
6.FKDQQHOVUHJXODWHHWKDQRODVVRFLDWHG
SODVWLFLW\DQGLQÀXHQFHYROXQWDU\HWKDQROFRQVXPSWLRQ$
(3$'8/$10675$,*+7:&*5,)),1,,,3-
08/+2//$1'086&086&
S
&
%.FKDQQHODX[LOLDU\VXEXQLWVPRGXODWH
EHKDYLRUDODGDSWDWLRQVWRFKURQLFHWKDQROH[SRVXUH&
&217(7'/($-52%(5766175(,670$1*)
.22%6FULSSV5HVFK,QVW8QLYRI3XHUWR5LFR
&
&KURQLFHWKDQROLQGXFHGSODVWLFLW\
LQYROYHVELGLUHFWLRQDOPRGXODWLRQRI10'$UHFHSWRUV
DQG.YFKDQQHOVE\.&K,3.63(1&(53-
08/+2//$1'/-&+$1'/(50HG8QLYRI6RXWK
&DUROLQD
3267(5
*OXWDPDWH7UDQVSRUWHUV
&HOOXODU0HFKDQLVPV
&
7KHJOXWDPDWHWUDQVSRUWHU*/7
SK\VLFDOO\LQWHUDFWVZLWKKH[RNLQDVHDQGPLWRFKRQGULDO
SURWHLQVDQGUHJXODWHVPLWRFKRQGULDOPRELOLW\LQDVWURF\WHV
-*-$&.621-&2¶'211(//0%52%,1621
&KLOGUHQ¶V+RVSRI3KLODGHOSKLD8QLYRI3HQQV\OYDQLD
&KLOGUHQ¶V+RVSRI3KLODGHOSKLD8QLYRI3HQQV\OYDQLD
&
$43DXWRLPPXQLW\DQGWKH($$7
WUDQVSRUWHULQ1HXURP\HOLWLVRSWLFD&67$8'(10$,(5
$:(,6+$837%*5h1(:$/'&/6200(5.9
72<.$&*(,68QLYRI:XHU]EXUJ8QLYRI:XHU]EXUJ
&
(IIHFWRIOLSRSKLOLFELQGLQJGRPDLQVRQ
VXEVWUDWHWUDQVSRUWDQGNLQHWLFVRIWKH6\VWHP[FF\VWLQH
JOXWDPDWHDQWLSRUWHU6$3$7(/-/1(:(//3-
',$=151$7$/(5-%5,'*(68QLY0RQWDQD
&
5DOR[LIHQHHQKDQFHVDVWURF\WLFJOXWDPDWH
WUDQVSRUWHU*/7H[SUHVVLRQLQUDWSULPDU\DVWURF\WHV$
:(%%$)(11(//'6210$6&+1(5(</((
0HKDUU\0HG&RO9DQGHUELOW8QLY0HKDUU\0HG&RO
&
%HKDYLRUDOFKDQJHVLQPLFHZLWKORZ
DPELHQWH[WUDFHOOXODUJOXWDPDWHOHYHOV(/$1*(5'(
)($7+(56721(8QLYRI,OOLQRLV&KLFDJR
&
'HYHORSPHQWDOFKDQJHVLQ
QHXURWUDQVPLWWHUVSLOORYHUDWWKHUHWLQRJHQLFXODWHV\QDSVH-
/+$86(5&&+(13URJUDPLQ1HXURVFLHQFH+DUYDUG
0HG6FK&KLOGUHQ¶V+RVS+DUYDUG0HG6FK
&
$PSKHWDPLQHPHGLDWHGLQWHUQDOL]DWLRQ
RIWKHH[FLWDWRU\DPLQRDFLGWUDQVSRUWHU($$7LQGRSDPLQH
QHXURQV6081'(5+,//0/,'6:+((/(56/
,1*5$06*$0$5$8QLY3LWWVEXUJK2+68
&
*/7XSUHJXODWLRQLPSDLUVOHDUQLQJ
RIDQRYHOREMHFWUHFRJQLWLRQWDVN)0$7262&$6,2$
+(51È1'(=.-7+2036213RQFH6FKRI0HGDQG
+OWK6FL
&
*HQHWLFGHOHWLRQRIWKHJOXWDPDWH
WUDQVSRUWHU($$&UHVXOWVLQGHFUHDVHGSLORFDUSLQHLQGXFHG
FHOOGHDWK0&/$1((1.5,=0$1%(3257(50
%52%,1621&KLOGUHQ¶V+RVSRI3KLODGHOSKLD
&
9HQWUDOWHJPHQWDODUHDJOXWDPDWH
QHXURQV(OHFWURSK\VLRORJLFDOSURSHUWLHVDQGSURMHFWLRQV
76+1$6.2*2+-(/067$'+/),(/'65+
(':$5'68&6'(UQHVW*DOOR&OLQDQG5HV&WU8QLYRI
&
6\VWHPDWLFFKDUDFWHUL]DWLRQRILQWULQVLF
SURSHUWLHVRI&$S\UDPLGDOQHXURQVIURPDJHGUDWV'
6,0.,1002+-)',67(5+2)71RUWKZHVWHUQ8QLY
0HG6FK
&
,QVLJKWVLQWRWKHVWUXFWXUDOPHFKDQLVP
XQGHUO\LQJDOFRKRODFWLYDWLRQRI*,5.FKDQQHOV.
%2'+,1$7+$13$6/(6,1*(53HSWLGH%LRO/DE6DON
,QVW)RU%LRO6WXGLHV
'
7KHLQZDUGIDFLQJFRQIRUPDWLRQVRI
H[FLWDWRU\DPLQRDFLGVWUDQVSRUWHUVKDYHWUDQVLWLRQVWRDQLRQ
FRQGXFWLQJVWDWHV&%',9,726*$0$5$8QLYRI
3LWWVEXUJK
'
(IIHFWRIDQJLRWHQVLQ,,RQWKHJOXWDPDWH
XSWDNHE\K\SRWKDODPLFSULPDU\DVWURF\WHFXOWXUHV-&
&58=00/23(6-$1781(652'5,*8(68QLYRI
6mR3DXOR
'
7KHJOXWDPDWHWUDQVSRUWHU*/7
UHJXODWHVLQVXOLQVLJQDOLQJLQWKHFHQWUDOQHUYRXVV\VWHP
.'0((.(5-60($%21*6:$76211/,3
=+8'*&22.9$0HG&WU8QLYRI:DVKLQJWRQ8QLY
RI:DVKLQJWRQ9HWHUDQV$IIDLUV0HG&WU9$36+&68QLY
RI:DVKLQJWRQ
'
6XUIDFHG\QDPLFVRIWKHDVWURJOLDO
JOXWDPDWHWUDQVSRUWHU*/7&0853+<52<$//
*52&6+52/,(7,16(508,,16
'
3D[FRQWULEXWHVWRQHXURQGHSHQGHQW
LQGXFWLRQRIWKHDVWURJOLDOJOXWDPDWHWUDQVSRUWHU*/7
0*+26+&'211(//<<+6,(+<<$1*-'
527+67(,10%52%,1621&KLOGUHQ¶V+RVS2I
3KLODGHOSKLD-RKQ+RSNLQV8QLY7XIWV8QLY8QLYRI
3HQQV\OYDQLD
'
&HOOW\SHVSHFL¿FH[SUHVVLRQDQGIXQFWLRQ
RIWKHJOXWDPDWHWUDQVSRUWHU*/7DWH[FLWDWRU\V\QDSVHV
SUREHGZLWKFRQGLWLRQDOGHOHWLRQ<681*73(7510
)5('(5,&.&-$2.,$527(1%(5*6&'+$01(
04+$0(('*6*22'5,&+:$506(13$
526(1%(5*&KLOGUHQ¶V+RVS%RVWRQ+DUYDUG0HG6FK
1HZ<RUN8QLY&KLOGUHQ¶V+RVS%RVWRQ
'
0ROHFXODUFKDUDFWHULVDWLRQRI8&3+
WKH¿UVWVHOHFWLYHLQKLELWRURIWKH([FLWDWRU\$PLQR$FLG
7UDQVSRUWHUVXEW\SH%$%5$+$06(17+9+8<1+
01(5,&+6(1-)%$67/81'&%81'*$$5'$
025./%81&+$$-(16(18QLYRI&RSHQKDJHQ+
/XQGEHFN$6
'
7ZRFODVVHVRIJOLRPDVGH¿QHGE\
WKHH[SUHVVLRQDQGIXQFWLRQRIGLVWLQFW&\VWLQH*OXWDPDWH
7UDQVSRUWHUV652%(5772*815,186&
%8&.,1*+$00(%(5(16+6217+(,0(58QLYRI
$ODEDPD$W%LUPLQJKDP7UDQVODWLRQDO*HQRPLFV5HV,QVW
7*HQ
'
,PSDFWRILVFKHPLFLQMXU\RQWKH
JOXWDPDWHUHFHSWRUVLQFRUWLFDO*)$3(*)3SRVLWLYHJOLDO
FHOOV''=$0%$3+216$09$/1<95861$.29$
0.8%,67$$&+9$7$/0$1'(529$QG)DFRI
0HGLFLQH&KDUOHV8QLY,QVWRI([SWO0HGLFLQH$6&5
,QVWRI%LRWHFKQLORJ\$6&5
'
'LIIHUHQWLDOUDWHVRIJOXWDPDWHWUDQVSRUWHU
SURWHRO\VLVPD\OHDGWRHUURQHRXVFRQFOXVLRQVDERXW
WUDQVSRUWHUGLVWULEXWLRQV1&'$1%2/7</,<=+28
8QLYRI2VOR
'
7KHTXDWHUQDU\VWUXFWXUHRIJOXWDPDWH
WUDQVSRUWHUVLQFUHDVHVQHXURWUDQVPLWWHUFDSWXUHHI¿FLHQF\
:681*3/($5<03.$9$1$8*+8QLYRI
0RQWDQD
'
&HIWULD[RQHHQKDQFHVJOXWDPDWH
WUDQVSRUWHUVH[SUHVVLRQDQGLPSURYHVFHOOYLDELOLW\LQUDW
KLSSRFDPSDOVOLFHVH[SRVHGWRLQWHUPLWWHQWK\SR[LD5
-$*$'$3,//$,100(//(1/56$&+/(%(1-U(
*2=$/8QLY/RXLVYLOOH8QLY/RXLVYLOOH8QLY/RXLVYLOOH
8QLY/RXLVYLOOH
'
S
9HVLFXODUJOXWDPDWHWUDQVSRUWHUV
W\SHDQGLQOXPEDUDQGGRUVDOURRWJDQJOLD
(IIHFWVRISHULSKHUDOD[RWRP\RUKLQGSDZLQÀDPPDWLRQ&
9,(<7(6.+/81'*5(100$/(7(720$6(//$
*)*(%+$577+g.)(/7.%6(522*<35
%580296.<8QLY$XVWUDO8QLYRI&LQFLQQDWL8QLYRI
3LWWVEXUJK.DUROLQVND,QVWLWXWHW&21,&(7
'
(IIHFWVRI/DVSDUWDWHDQGLWVLQWHUDFWLRQ
ZLWK/JOXWDPDWHRQVLQJOHQHXURQVLQVWULDWDOVOLFH
SUHSDUDWLRQIURPFKLFNHQEUDLQ**(5%(5'%$/È=6
$&6,//$*6HPPHOZHLV8QLY%XGDSHVW
3267(5
1HXURWUDQVPLWWHU5HOHDVH)XVLRQDQG'RFNLQJ
&HOOXODU0HFKDQLVPV
'
:QWVLJQDOOLQJUHJXODWHVQHXURWUDQVPLWWHU
UHOHDVHE\PRGXODWLQJWKHFDOFLXPVHQVRUV\QDSWRWDJPLQ
/&,$1,.%2</('0/23(6'$1$1(0
6$+25(6$*,%%3&6$/,1$68QLY&RO/RQGRQ
8QLY&RO/RQGRQ
'
6\QWD[LQ%GH¿FLHQF\UHGXFHVYHVLFOH
SULPLQJDQGHQKDQFHVV\QDSWLFGHSUHVVLRQDWWKHFDO\[RI
+HOGV\QDSVH-*82;:$1*+7,$1-681,QVWRI
%LRSK\VLFV&KLQHVH$FDGRI6FL
'
7KHPHPEUDQHDQFKRURIV\QDSWREUHYLQ
LQÀXHQFHVÀX[WKURXJKIXVLRQSRUHVLQ&DWULJJHUHG
H[RF\WRVLVIURPFKURPDI¿QFHOOV&&+$1*0%
-$&.6218QLYRI:LVFRQVLQ0HG6FK8QLYRI
:LVFRQVLQ0HG6FK
'
3+GRPDLQVWKDWELQG3,3DQG3,3
DUHHTXDOO\HIIHFWLYHDWEORFNLQJH[RF\WRVLVLQ3&FHOOV-
-$&.621'5,&+$5'6&LQFLQQDWL&KLOGUHQV+RVS0HG
&WU
'
7ZRSKRWRQ)5(7)/,0LPDJLQJRI
61$5(GHSHQGHQWH[RF\WRVLV17$.$+$6+,02+12
6:$7$1$%(:6$:$'$+.$6$,*UDG6FKRI
0HGLFLQH7KH8QLYRI7RN\R
'
.RUHDQUHGJLQVHQJ3DQD[JLQVHQJ
DWWHQXDWHVQLWURSURSLRQLFDFLGLQGXFHG+XQWLQJWRQ¶VOLNH
V\PSWRPVE\LQKLELWLQJPLFURJOLDODFWLYDWLRQ0-$1*0
/((<62+1+-81*,&+2.\XQJ+HH8QL
'
$URVHWWHUDGLDOPRGHOIRUWKH
QHXURH[RF\WRVLVQDQRPDFKLQH0RGHOOLQJDQGH[SHULPHQWDO
WHVW$0(*,*+,$163$17$1205,*21,2
5266(77206&25=(72'=$1,1,0$=25'$1
&0217(&8&&28QLY3DGRYD%LRPROHFXODU6LPXODWLRQV
*URXS8QLYRI3DGRYD8QLYRI3DGRYD
'
,QWHUDFWLRQRI*àZLWKWKH61$5(
FRPSOH[LQDVXSSRUWHGOLSLGELOD\HU%53$*($0
35(,1,1*(5-/((-*,/%(57+(+$0067
$/)25'8QLYLOOLQRLV9DQGHUELOW8QLY0HG&WU8QLY
LOOLQRLV
'
7KHOLQNHUUHJLRQRIQHXURQDO
6\QDSWREUHYLQFRQWULEXWHVWRV\QDSWLFWUDQVPLVVLRQDWWKH
'URVRSKLODQHXURPXVFXODUMXQFWLRQ&'(0,//;4,8$
%2/277$%$67(:$578QLY7RURQWR
S
'
)XQFWLRQDOO\GLVWLQFWDFWLRQVRI5DE
DQG5DELQYHVLFOHF\FOLQJ(/678(1.(/$
68%5$0$1,9$&$=$5(68QLYRI0LFKLJDQ8QLYRI
0LFKLJDQ
3267(5
'
5HJXODWLRQRIVROXEOH1HWK\OPDOHLPLGH
VHQVLWLYHIDFWRUDWWDFKPHQWSURWHLQUHFHSWRUVE\R[LGDWLYH
PRGL¿FDWLRQ+7$1:*+21(5+/,-:$1*8QLY
RI0DQLWRED%&0+$5,'HSW3V\FKLDWU\8QLYRI%ULWLVK
&ROXPELD
'
&DLQGHSHQGHQWELQGLQJRI
V\QDSWRWDJPLQWRV\QWD[LQYLDLWV&%HIIHFWRUUHJLRQ7
1,6+,.,70$680272.68=8.,0)8-,7$$
)8-,085$+0,&+,8(,2+025,.720,=$:$+
0$768,2ND\DPD8QLY*UDG6FKRI0HGLFLQH'HQWDQG
3KDUPDFHXW6FL.XPDPRWR8QLY
'
.LQHWLFFKDUDFWHULVWLFVRIQHXURSHSWLGH<
UHOHDVHIURPODUJHGHQVHFRUHYHVLFOHVRIPRXVHFKURPDI¿Q
FHOOV6'877$502+50$11'%58168QLYGHV
6DDUODQGHV
'
7KHHIIHFWRI0XQFRQXQLWDU\
H[RF\WRWLFHYHQWVRISHSWLGHUJLFYHVLFOHV5=25(&-
-25*$&(96.,03272.$56*5,/&0.5()7:
/,8-:%$5&/$<-%8&.(5650(''$6:+(//
93$5385$5'%85*2<1(0HG)DF8QLY/MXEOMDQD
8QLYRI/MXEOMDQD%LRWHFKQLFDOIDFXOW\&WUIRU*OLDO%LROLQ
0HGLFLQH&LYLWDQ,QWO5HV&WU6FKRI%LRPHG6FLHQFHV
8QLYRI/LYHUSRRO$EWHLOXQJ1DQR%LRSKRWRQLN0D[3ODQFN
,QVWLWXWIXU%LRSK\VLNDOLVFKH&KHPLH
'
7KHLPSOLFDWLRQRI'RFELQYHVLFOHIXVLRQ
DQGH[RF\WRVLVLQPRXVHFKURPDI¿QFHOOV363,1+(,52
$-*52))(109(5+$*(-%65(16(18QLYRI
&RSHQKDJHQ988QLYDQG980HG&WU
'
G$73%PHGLDWHGLQZDUGWUDQVORFDWLRQRI
SKRVSKDWLG\OVHULQHLVUHTXLUHGIRUHYRNHGQHXURWUDQVPLWWHU
UHOHDVHDWODUYDOQHXURPXVFXODUMXQFWLRQVRI'URVRSKLOD0
,0$'8QLY$UL]RQD
'
S$GRPLQDQWVXSSUHVVRURIXQF
SDUWLDOO\UHVFXHVSDUDO\VLVLQ&DHQRUKDEGLWLVHOHJDQV$
0853+<67287.$0848$1'2+5+2//(1%$&+$
+5$62.&5<'(5$6,'25(.2+18UVLQXV&RO
'
5HTXLUHPHQWRI&DELQGLQJWRWKH
&%IRUGLVVRFLDWLRQRIV\QDSWRWDJPLQIURPWUDQV61$5(
FRPSOH[HV70$680272.68=8.,'7$5(67(,
2+025,+0,&+,8(7*$//,71,6+,.,+0$768,
2ND\DPD8QLY*UDG6FKRI0HGLFLQH'HQWDQG
3KDUPDFHXW6FL-DFTXHV0RQRG,QVWLWXWH8QLY3DULV
'
&\VWHLQHVWULQJSURWHLQDOSKDUHJXODWHV
IXVLRQSRUHG\QDPLFVGXULQJFDOFLXPGHSHQGHQWH[RF\WRVLV
YLDFKDQJLQJLWVSKRVSKRU\ODWHGVWDWH1&+,$1*<
+6,$2&:$1*1DWO7DLZDQ8QLY1DWO7DLZDQ8QLY
1DWO7DLZDQ8QLY1DWO7DLZDQ8QLY
'
6\QDSWLFDQGFLUFXLWG\VIXQFWLRQVDWWKH
GHQWDWHJ\UXVLQ&63DOSKDNQRFNRXWPLFH-/1,(72
*21=$/(=/*20(=6$1&+(=-$0$57,1(=
/23(=)0$9,//$5'5)(51$1'(=&+$&21,QVW
GH%LRPHGLFLQDGH6HYLOOD,%,6+895&6,&8QLYRI
6HYLOOH8QLYRI6HYLOOH&,%(51('
S
&HOOXODU0HFKDQLVPV
'
5HF\FOLQJRIWKHYHVLFXODU*$%$
WUDQVSRUWHUUHTXLUHVDVLQJOHDW\SLFDOGLOHXFLQHOLNH
PRWLI066$1726&3$5.60)266+/,6
092*/0$,(58QLY&DOLIRUQLD6DQ)UDQFLVFR8QLY
'
7KHYHVLFXODUJOXWDPDWHWUDQVSRUWHU
9*/87FRQWDLQVPXOWLSOHHQGRF\WLFPRWLIVQHFHVVDU\IRU
V\QDSWLFWDUJHWLQJ60)266066$17265+
(':$5'66092*/0$,(58QLYRI&DOLIRUQLD6DQ
)UDQFLVFR
'
'RHVWKHDQLRQLFOLSLGSKRVSKDWLG\OVHULQH
PDUNWKHHQGRDQGH[RF\WRWLFURXWHRIWKHV\QDSWLFYHVLFOH
F\FOH"(,0/(50,0$'&*$<0%$%,&.(
=,160$,(58QLYRI$UL]RQD
'
'\QDPLQGHSHQGHQWHQGRF\WRVLV
DWWKHLQQHUKDLUFHOOV\QDSVH-1(()&/(1=50
%280,/:1)5$1.(/3'(&$0,//,1675(1=.(
7026(58QLY*RHWWLQJHQ7KH-DFNVRQ/DE<DOH8QLY
6FKRI0HG
'
7RPRV\QRUFKHVWUDWHVYHVLFOHSRROVDW
KLSSRFDPSDOV\QDSVHVWRWXQHQHXURWUDQVPLWWHUUHOHDVH
9$&$=$5(6$68%5$0$1,::+2(5$8)-
-6$/'$7((/678(1.(/8QLYRI0LFKLJDQ8QLYRI
0LFKLJDQ8QLYRI0LFKLJDQ
'
5DSLGDFWLYLW\LQGHSHQGHQWUH¿OOLQJ
RI*$%$JO\FLQHYHVLFOHV3)$32672/,'(6/2
75866(//2UHJRQ+OWK6FL8QLY2UHJRQ+OWK6FL8QLY
'
&RFDLQHPRGXODWHVDYHVLFOHSRROIRU
GRSDPLQHUHOHDVHLQPRXVHVWULDWXPLQYLYR==+283
=82;.$1*+;8%=+$1*/=+28+'28=
'(1*/:$1*6.826:$1*:<$20/,=
&+$,;:8:/,8:*82&;=+$1*+*8/
=+(1*,QVW0RO0HG3HNLQJ8QLY'HSW3KDUP2KLR
6WDWH8QLY
'
0DFURHQGRF\WRVLVE\VQDNHPRWRU
WHUPLQDOVLVHQKDQFHGDIWHUVSRQWDQHRXVUHOHDVH56
67(:$5756:,/.,1621:DVKLQJWRQ8QLY6FKO
'
3UHV\QDSWLFVLOHQFLQJE\FDQQDELQRLG
&%UHFHSWRUV-6$1&+(=35,(72-5$0,5(=
)5$1&2'%$572/20(0$57,1%$/21620
7255(68QLY&RPSOXWHQVH'H0DGULG
'
0RGHOLQJWKHHIIHFWRIENFKDQQHOV
RQFDOFLXPLQGXFHGV\QDSWLFUHOHDVHDQGH[FLWDELOLW\1
6&+0$1'75)(51$1'(=*$/$1&DVH:HVWHUQ
5HVHUYH8QLY
'
1RQ/RFDODPSOL¿FDWLRQRI&DVLJQDOV
E\&DEXIIHUVDWXUDWLRQ$FRPSXWDWLRQDOVWXG\99
0$79((91HZ-HUVH\,QVW7HFK
'
7KHUROHRIYROWDJHGHSHQGHQWFDOFLXP
FKDQQHOVLQVWULDWDOGRSDPLQHUHOHDVH.%5,0%/(&20%(
6-&5$**8QLYRI2[IRUG
'
2SWRJHQHWLFVWLPXODWLRQRIVWULDWDO
GRSDPLQHUHOHDVHGHWHFWHGLQEUDLQVOLFHV($%8'<*,1
93*5,1(9,&+.'%21,1&(%$66:DNH)RUHVW
8QLY6FKRI0HG:DNH)RUHVW8QLY8QLYDW%XIIDOR6WDWH
8QLYRI1HZ<RUN
1HXURWUDQVPLWWHU5HOHDVH6\QDSWLF9HVLFOH5HF\FOLQJ
DQG&DOFLXP'HSHQGHQFH
'
2SWRJHQHWLFPHDVXUHPHQWRISUHV\QDSWLF
FDOFLXPWUDQVLHQWVLQGRSDPLQHUJLFQHXURQVXVLQJWKH
*&D03FDOFLXPLQGLFDWRUFKDUDFWHUL]DWLRQRIQRUPDODQG
SDWKRORJLFDOSK\VLRORJ\&6*2%,2/:8+&$,'0
/29,1*(51DWO,QVWRI1HXURORJ'LVRUGHUVDQG6WURNH
1DWO,QVWRI$JLQJ1DWO,QVW$OFRKRO$EXVH$OFRKRO
'
5DSLGQHXURWUDQVPLWWHUUHOHDVHGULYHQ
E\DFDWDO\VWIRUYHVLFOHSULPLQJDQGDFODPSRQYHVLFOH
IXVLRQ$0:$/7(509(5+$*(-%65(16(1
&RSHQKDJHQ8QLY9ULMH8QLY$PVWHUGDP
'
&DGHSHQGHQFHRIVSRQWDQHRXVYHVLFOH
UHOHDVHDWWKHFDO\[RI+HOGV\QDSVHV-'$,3&+(1-
681,QVWRI%LRSK\VLFV&KLQHVH$FDGRI6FL
'
'LIIHUHQWLDOFRQWULEXWLRQVRIFDOFLXP
FKDQQHO_bVXEXQLWVWRV\QDSWLFUHOHDVHLQKLSSRFDPSDO
QHXURQV*-2%(50$,5%1,00(592//0
&$03,*/,2$/,(%%6&+/,&.-675,(661,*9
',%,$6(%()/8&+(50HG8QLY,QQVEUXFN8QLYRI
,QQVEUXFN
'
&DOFLXPFKDQQHOQXPEHUGHWHUPLQHV
V\QDSWLFVWUHQJWKDQGVKRUWWHUPSODVWLFLW\DWLQGLYLGXDODFWLYH
]RQHV-6+(1*/+(+=+(1*/;8()/82:
6+,176817.81(5'<8(/:81,1'61,+
+HLGHOEHUJ8QLY-RKQV+RSNLQV8QLY6FKRI0HG
'
0RGXODWLRQRI. HYRNHGGRSDPLQH
UHOHDVHIURP3&FHOOVE\VLJPDUHFHSWRUOLJDQGV7
<$0$0272+<$0$0272<RNRKDPD&LW\8QLY7RN\R
0HWURSROLWDQ,QVWRI0HG6FL
'
/RRVHFRXSOLQJEHWZHHQ&DFKDQQHOV
DQGUHOHDVHVHQVRUVJHQHUDWHV³FRQGLWLRQDOGHWRQDWRU´
SURSHUWLHVRIKLSSRFDPSDOPRVV\¿EHUWHUPLQDOV3-21$6
139</(7$,67$XVWULD
'
&DOFLXPLQÀX[WKURXJKDVLQJOHFKDQQHO
GULYHVYHVLFOHIXVLRQDWSUHV\QDSWLFWHUPLQDOVRIUHWLFXORVSLQDO
D[RQVLQWKHODPSUH\VSLQDOFRUG65$0$&+$1'5$16
$/)25'8QLY,OOLQRLV&KLFDJR
'
7KHQXPEHUDQGRUJDQL]DWLRQRIFDOFLXP
FKDQQHOVDWVPDOOH[FLWDWRU\KLSSRFDPSDOV\QDSVHV$
6&,0(0,-6',$021'1,+1,1'61,+
'
6\QDSWLFYHVLFOHUHF\FOLQJLQQHXURQV
IURPD&$*UHSHDWNQRFNLQ+XQWLQJWRQ'LVHDVHPRGHO
$0257210$&286,17KH8QLYRI(GLQEXUJK
'
0\RVLQ,,%KDVDQHVVHQWLDOUROHLQ
V\QDSWLFWUDQVPLVVLRQDQGLVVSHFL¿FDOO\UHTXLUHGIRUV\QDSWLF
YHVLFOHUHF\FOLQJ,&+$1'5$6(.$5-(+8(771(55
-$/$/,=$'(+5%:<62/0(56.,=0*2(&.(/(5
3&%5,'*0$1:DVKLQJWRQ8QLY6FKRI0HG
:DVKLQJWRQ8QLY6FKRI0HG:HVW9LUJLQLD8QLY6FKRI
0HG:DVKLQJWRQ8QLY6FKRI0HG
'
'LVWLQFWFDOFLXPFRRSHUDWLYLW\RI
V\QFKURQL]HGDQGGHV\QFKURQL]HGPXOWLYHVLFXODUUHOHDVH
658'2/3+/629(5675((7:$',&+(-,
:$',&+(8QLYRI$ODEDPDDW%LUPLQJKDP
3267(5
6\QDSWLF,QWHJUDWLRQ,,
&HOOXODU0HFKDQLVPV
'
&HOOVSHFL¿FH[SUHVVLRQDQGDFWLYDWLRQ
RIE=,3WUDQVFULSWLRQIDFWRUVUHJXODWHWKHGHYHORSPHQWDQG
PDLQWHQDQFHRIV\QDSVHEDVHOLQH-+8$/(9,1(<
&+(166&+$&+(5&ROXPELD8QLY&RO3K\VLFLDQV
6XUJHRQV&ROXPELD8QLY&RO3K\VLFLDQV6XUJHRQV
&ROXPELD8QLY&RO3K\VLFLDQV6XUJHRQV
(
5HJXODWLRQRIFHUHEHOODUJUDQXOHFHOO
H[FLWDELOLW\E\ORQJWHUPHQKDQFHPHQWRI*ROJLFHOO¿ULQJ&
+8//<&+807+$1$:$/$:5(*(+5+DUYDUG
0HG6FK
(
&HUHEHOODU*ROJLFHOOV\QFKURQ\DIIHFWV
WKHWLPLQJEXWQRWWKHJDLQRIJUDQXOHFHOO¿ULQJ'5
:$5'5$6,/9(58&/
(
8VLQJRSWRJHQHWLFVWRSUREHDP\JGDORLG
FLUFXLWU\+0*22&+/;836$+4XHHQVODQG%UDLQ
,QVW
(
'\QDPLFLQWHUDFWLRQEHWZHHQFRUWLFDO
DQGWKDODPLFLQSXWVRQWRUHWLFXODUWKDODPLFQHXURQVUHYHDOHG
E\GXDOZDYHOHQJWKRSWRJHQHWLFV-3$=/)(1122
<,=+$5.'(,66(527+-5+8*8(1$5'6WDQIRUG
8QLY67$1)25':HL]PDQ,QVWRI6FL
(
'HQGULWLFLQWHJUDWLRQLQWKDODPRFRUWLFDO
QHXURQV$&(55,1*7219&581(//,&DUGLII8QLY
(
&RPSDUWPHQWDOL]HGV\QDSWLFLQKLELWLRQ
RIVSLQHVLQDPRGHOGHQGULWH700256(17
&$51(9$/(&4&+,8*06+(3+(5'0-
+,*/(<<DOH8QLY6FK0HG
(
&RPSDUWPHQWDOL]HG*$%$HUJLFLQKLELWLRQ
RIGHQGULWLFFDOFLXPVLJQDOLQJLQWKHQHRFRUWH[&4&+,8
*/850-+,*/(<<DOH8QLY6FKRI0HG
(
3UHIURQWDOFRUWLFDOVXSSUHVVLRQRIV\QDSWLF
UHVSRQVHVLQWKHOLPELFVWULDWXP7KHUROHRI*$%$HUJLF
LQKLELWLRQ**&$/+22132¶'211(//8QLYRI0'
%DOWLPRUH
(
7UDQVFUDQLDOPDJQHWLFVWLPXODWLRQLQGXFHV
*$%$%PHGLDWHGLQKLELWLRQRIOD\HUS\UDPLGDOQHXURQ
GHQGULWHV6&0853+</03$/0(50085$<$0$
0(/$5.80+XPEROGW8QLY5,.(18QLYRI%HUQ
(
*$%$DQGGRSDPLQHFRUHOHDVHIURP
ROIDFWRU\EXOEVKRUWD[RQFHOOVWULJJHUVDQLQKLELWLRQH[FLWDWLRQ
VZLWFKLQH[WHUQDOWXIWHGFHOOV6/,8&3/$&+(=$&
38&+(076+,3/(<8QLY0DU\ODQG%DOWLPRUH
(
3RROLQJRIQRUDGUHQDOLQHGHWHUPLQHV
WKHWLPHFRXUVHRI_UHFHSWRUWUDQVPLVVLRQLQWKHORFXV
FRHUXOHXV1$&28571(<&)25'&DVH:HVWHUQ
5HVHUYH8QLY
(
(IIHFWRIDGHQRVLQHRQV\QDSWLF
WUDQVPLVVLRQLQOD\HURIUDWEDUUHOFRUWH[')(/'0(<(5
.9$1$(5'(*4,5HV&WU-XHOLFK5:7+$DFKHQ
8QLYHUVLW\0HG6FK
(
7KHLQÀXHQFHRI'5($''UHFHSWRUV
DFWLYDWLRQLQWKH&16RI'URVRSKLODPHODQRJDVWHU=
50$-(('5/&223(5&'1,&+2/68QLYRI
.HQWXFN\'HSWRI%LRO/RXLVLDQD6WDWH8QLY+OWK6FL&WU
S
3267(5
/RQJ7HUP'HSUHVVLRQ,,
&HOOXODU0HFKDQLVPV
(
'HSHQGHQFHRI10'$*6.`PHGLDWHG
PHWDSODVWLFLW\RQ7530FKDQQHOVDWKLSSRFDPSDO&$&$
V\QDSVHV<;,(-&%(/526(*/(,<025,-)
0$&'21$/'0)-$&.6218QLYRI:HVWHUQ2QWDULR
5REDUWV5HV,QVW.\RWR8QLY8QLYRI7RURQWR
(
7KHFRPELQDWLRQRIDJLQJDQGD
SHULSKHUDOLPPXQHFKDOOHQJHHQKDQFHVKLSSRFDPSDO/7'
DQGSURPRWHVSUR%'1)SLQWHUDFWLRQV*3&257(6(
75&+$30$150%$55,(17266)0$,(56/
3$77(56218QLYRI&RORUDGR%RXOGHU
(
'LVUXSWLRQRI)053S6.LQDVH33$
FRPSOH[E\HDUO\OLIHVHL]XUHVXQGHUOLHVHQKDQFHGP/7'LQ
DGXOWUDWV3%%(51$5'$0&$67$127%(1.(
8QLY&RORUDGR'HQYHU6FKRI0HG
(
7KHHIIHFWVRIK\SRWK\URLGLVPRQWKH
FDOFLXPELQGLQJSURWHLQVDQGPRUSKRORJ\RIDVWURF\WHV
DQGPLFURJOLDGXULQJWKHRQVHWRIW\SHGLDEHWHV-.,0
61$0<.,0'<226<,:.,0,+:$1*-
62(1*<<2216HRXO1DWO8QLY&RORI9HW0HG
6RRQFKXQK\DQJ8QLY&RORI0HG6FL
(
'*.fLVUHTXLUHGIRUSUHV\QDSWLFUHOHDVH
H[FLWDWRU\WUDQVPLVVLRQDQGSUHV\QDSWLFP*OX5/7'6
-$1*-<$1*-6(2.RUHD$GYDQFHG,QVWRI6FLDQG
7HFKQRO.$,676HRXO1DWO8QLY
(
3LNaLVHVVHQWLDOIRUQPGDUGHSHQGHQW
OWGDQGKLSSRFDPSDOGHSHQGHQWFRJQLWLYHIXQFWLRQ66,0
+/((-.,0-%$(.1<8-&+2,+.2</((&
.:$.6$+16&+2,+.,0..,03+%$&.;&
$%5$'/(<(.,0'-$1*./((6.,00=+82
*/&2//,1*5,'*(%.$$1*6HRXO1DWO8QLY.RUHD
8QLY8QLYRI7RURQWR.RUHD$GYDQFHG,QVWRI6FLDQG
7HFKQRO.\XQJSRRN1DWO8QLY.\XQJSRRN1DWO8QLY
05&&WUIRU6\QDSWLF3ODVWLFLW\
(
/RZIUHTXHQF\VWLPXODWLRQLQGXFHVDQ
10'$UHFHSWRULQGHSHQGHQW/7'DW&$WR&$V\QDSVHV
YLDPXVFDULQLFUHFHSWRUVDQG7W\SH9'&&LQYLYR1+80
-52:$17ULQLW\&RO
(
&DIURP9*&&VDQG10'$UHFHSWRUV
FRQWULEXWHVWR/7'LQGXFHGE\HLWKHUV\QDSWLFDFWLYLW\RU
P*OX5DFWLYDWLRQDW&$&$KLSSRFDPSDOV\QDSVHVGXULQJ
VHQHVFHQFH$.80$57&)267(58QLYRI)ORULGD
8QLYRI)ORULGD
(
'LDF\OJO\FHURO.LQDVHcGHSHQGHQW
UHJXODWLRQRIV\QDSWLFSODVWLFLW\LQKLSSRFDPSXV'2+-
6(26&+2,(.,0.RUHD$GYDQFHG,QVWRI6FLDQG
7HFKQRO.$,676HRXO1DWO8QLY6FKRI'HQW.RUHD
$GYDQFHG,QVWRI6FLDQG7HFKQRO.$,67
(
3KRVSKRU\ODWLRQRIWKUHRQLQHRI
SVGE\JVN`LVUHTXLUHGIRUORQJWHUPGHSUHVVLRQ&
'1(/6210-.,0++6,1<&+(106+(1*
*HQHQWHFK0,7
S
(
,GHQWL¿FDWLRQRIHQGRFDQQDELQRLG
ELRV\QWKHWLFHQ]\PHP51$LQKLSSRFDPSDOS\UDPLGDOFHOOV
DQG&$VWUDWXPUDGLDWXPLQWHUQHXURQV&%0(55,//0
0&1(,/5&:,//,$0621%5322/(%1(/621
668':((.6-*(':$5'6%ULJKDP<RXQJ8QLY
%ULJKDP<RXQJ8QLY%ULJKDP<RXQJ8QLY
(
'HSRWHQWLDWLRQLVLQKLELWHGE\XOWUD
ORZFRQFHQWUDWLRQRIRUH[LQ$DW6FKDIIHU&ROODWHUDO&$
V\QDSVHVLQPRXVHKLSSRFDPSDOVOLFHV*/8/&+,28
&RORI0HGLFLQH1DWO7DLZDQ8QLY&RORI0HGLFLQH1DWO
7DLZDQ8QLY&RORI0HGLFLQH1DWO7DLZDQ8QLY
(
,QKLELWLRQRIORQJWHUPGHSUHVVLRQE\
QHXURSHSWLGH<YLDPRGXODWLRQRIGLVWDOGHQGULWLF&DLQÀX[
7-+$0,/7210(/$5.80:)&2/0(56*UDQW
0DF(ZDQ8QLY8QLYRI$OEHUWD8QLYRI%HUQ
(
1HXURQDOVWLPXODWLRQLQGXFHVDXWRSKDJ\
LQKLSSRFDPSDOQHXURQVWKDWLVLQYROYHGLQ$03$UHFHSWRU
GHJUDGDWLRQDIWHUFKHPLFDO/7'0+6+(+$7$+
0$768085$52.8%268=8.,12+.$:$.
,12.8&+,8QLYRI7R\DPD-DSDQ6FLDQG7HFKQRO
$JHQF\-67&5(67
(
$VWLPXOXVUHGXFHGPLFUR51$PRGXODWHV
0$3%WUDQVODWLRQDQG$03$UHFHSWRUHQGRF\WRVLV<
&+(1&-6+(1$FDGHPLD6LQLFD1DWO<DQJ0LQJ8QLY
3267(5
6\QDSWLF3ODVWLFLW\6WUXFWXUDO3ODVWLFLW\,,,
&HOOXODU0HFKDQLVPV
(
$QRYHO10'$UHFHSWRUDGDSWDWLRQ
PHGLDWHVDYHUVLRQUHVLVWDQWHWKDQROFRQVXPSWLRQLQUDWV7
6(,)6&+$1*6/*,%%-'$'*$5%7&+(1
%.+$59(<'521520(66,1*$%21&,):
+23)(UQHVW*DOOR&OLQDQG5HV&HQWHU8&6)1,'$
,QWUDPXUDO5HV3URJUDP6RORPRQ+6Q\GHU'HSWRI
1HXURVFL
(
3OD\DQGWKHFRQVWUXFWLRQRIDUHVLOLHQW
EUDLQ%+,00/(563(//,6%.2/%8QLYRI
/HWKEULGJH
(
,PSDLUHG&;&5VLJQDOLQJUHVWULFWV
LQÀDPPDWRU\PDFURSKDJHVDQGSURPRWHVVHURWRQHUJLF
D[RQSODVWLFLW\ZLWKSUHVHUYDWLRQRIV\QDSWLFFRQWDFWVLQWKH
WUDXPDWLFDOO\LQMXUHGVSLQDOFRUG&)5(5,$:/$,3
:(,$/52/,9(,5$3*32329,&+8QLFDPS7KH
2KLR6WDWH8QLY
(
6RQLFKHGJHKRJLQGXFHVDXWRSKDJ\
LQKLSSRFDPSDOQHXURQV3<$2563(75$/,$&0
6&+:$57=<:$1*030$776211,$1,+1,'&'
1,+1,'&'1,+/DERI1HXURVFLHQFHV1,$%LRPHGLDO
5HV&WU
(
6H[XDOH[SHULHQFHLQFUHDVHVGHQGULWLF
VSLQHGHQVLW\LQQXFOHXVDFFXPEHQVGH[SUHVVLQJQHXURQV
1$67$))(1'5/0(,6(/8QLY0LQQHVRWD
(
3ODVWLFLW\RIPHWDERWURSLFJOXWDPDWH
UHFHSWRUGHSHQGHQWORQJWHUPGHSUHVVLRQLQWKH$&&DIWHU
DPSXWDWLRQ6-.$1*0/,87&+(1+.2*
%$(.%/((+/((./((*/&2//,1*5,'*(%
.$$1*0=+826HRXO1DWO8QLY8QLYRI7RURQWR6HRXO
1DWO8QLY%UDLQ6FL(QJLQ,QVWLWXWH.\XQJSRRN1DWO
8QLY8QLYRI%ULVWRO
(
S
6LPXODWLQJWKHHIIHFWVRIPROHFXODU
FURZGLQJDQGIUDFWLRQDOGLIIXVLRQRQORQJWHUPGHSUHVVLRQ+
7'($1670$5,129)6$17$0$5,$8QLY7H[DV6DQ
$QWRQLR
(
7KHHIIHFWVRIK\SRWK\URLGLVPRQWKH
FDOFLXPELQGLQJSURWHLQVDQGPRUSKRORJ\RIDVWURF\WHV
DQGPLFURJOLDGXULQJWKHRQVHWRIW\SHGLDEHWHV6
1$0-.,0<.,0'<226<,:.,0,+:$1*
-6(21*<<2216(28/1$7,21$/81,9(56,7<
6RRQFKXQK\DQJ8QLYHUVLW\&RORI0HG6FL
(
&UDQLDOLUUDGLDWLRQDOWHUVGHQGULWLF
VSLQHGHQVLW\DQGPRUSKRORJ\LQWKHKLSSRFDPSXV$
&+$.5$%257,$$//(1%$//(16526,-5),.(
)UDQFLVFR
(
6LQJOHV\QDSVHDQDO\VLVRIV\QDSWLF
UHPRGHOLQJLQWKHSRVWVWURNHURGHQWEUDLQ7+,87
0%/,66=)$5=$03285-73$=$2/621
.'0,&+(9$*:$1*.75$1(+:$1*1
0$1/(<<1,6+,<$0$$$5$&12¶5285.(-5
+8*8(1$5'6-60,7+*.67(,1%(5*'HSWRI
1HXURVXUJDQG6WDQIRUG6WURNH&HQWHU6WDQIRUG8QLY
'HSWRI1HXURVXUJDQG6WDQIRUG6WURNH&WU'HSWRI
1HXURODQG1HXURORJ6FL,QVWIRU1HXUR,QQRYDWLRQDQG
7UDQVODWLRQDO1HXURVFLHQFHV'HSWRI0RODQG&HOO3K\VLRO
(
0DMRUKLVWRFRPSDWLELOLW\FODVV,PROHFXOHV
PRGXODWHS\UDPLGDOFHOOPRUSKRORJ\DQGVSLQHGLVWULEXWLRQ
LQWKHDJHLQJKLSSRFDPSXV-6+257-(.(00/(5.
%,5210/(,67:$-())(5,(6'/',&.67(,1
0RXQW6LQDL6FK0HG8QLYRI.RQVWDQ]8QLYRI%ULWLVK
&ROXPELD8QLYRI.RQVWDQ]8QLYRI%ULWLVK&ROXPELD
(
6WUXFWXUDOSODVWLFLW\RIGHQGULWLF
VSLQHVRQLQWHUQHXURQVLQWKHKLSSRFDPSXVDQGFRUWH[
RI$'WUDQVJHQLFPLFH/6&+0,'.%(5*0$110
)8+50$11*HUPDQ&WUIRU1HXURGHJHQHUDWLYH'LV
'=1(%RQQ
(
3ODQWGHULYHGFKHPLFDOVDOOHYLDWH
WKHHIIHFWVRIFKURQLFVWUHVVRQQHXURQDOPRUSKRORJ\DQG
V\QDSWLFSODVWLFLW\RIKLSSRFDPSDOQHXURQV($%8770
&%(//,1*+$01$/$9,',68QLYRI4XHHQVODQG
(
$JJUHVVLYHH[SHULHQFHDFWLYDWHVWKH
)UDJLOH;0HQWDO5HWDUGDWLRQ3URWHLQ)053VLJQDOOLQJ
SDWKZD\LQWKHQXFOHXVDFFXPEHQVRIIHPDOHKDPVWHUV/(
%((1%&.(11('<5/0(,6(/8QLYRI0LQQHVRWD
(
(OHFWURSK\VLRORJLFDODQDO\VLVRI
LQWHJULQVLJQDOLQJSDWKZD\UHODWHGPXWDQWVDW'URVRSKLOD
QHXURPXVFXODUMXQFWLRQV+.$2376$,&&+,(1,QVW
RI0RO%LRORJ\$FDGHPLD6LQLFD,QVWRI0RO0HGLFLQH
1DWO7DLZDQ8QLY
(
&RPELQDWLRQHIIHFWVRI&X=QVXSHUR[LGH
GLVPXWDVHDQGSHUR[LUHGR[LQRQFHOOSUROLIHUDWLRQDQG
QHXUREODVWGLIIHUHQWLDWLRQLQDPRGHORI'JDODFWRVHLQGXFHG
DJLQJPLFH'<22:.,0+-81*61$0-.,0
-&+2,<<221,+:$1*6HRXO1DWO8QLY.DQJZRQ
1DWO8QLY
(
,QFUHDVHGV\QDSWLFG\QDPLFVLQWKH
DJHGEUDLQ50267$1<-$$167(<./&5803%
0$&2*.1277&3257(5$&$,//,$88&/$(FROH
3RO\WHFKQLTXH)HGHUDOH/DXVDQQH8&/$
(
,QYLYRSKRWRQLPDJLQJUHYHDOV
LQFUHDVHGD[RQDOERXWRQG\QDPLFVLQWKHDJHGPRXVH
FRUWH[)*5,//26621*/58,92/+8$1**
*$2*.12779)(55(77,'7+203621*/,77/(
9'(3$2/$05&&OLQ6FL&HQWUH)DFRI0HGLFLQH
,PSHULDO&RO'HSDUWPHQWRI%LRPHG(QJLQHHULQJ
0HG6FKRRO7VLQJKXD8QLY&HQWUHRI,QWHUGLVFLSOLQDU\
(OHFWURQ0LFURVFRS\eFROH3RO\WHFKQLTXH)pGpUDOHGH
/DXVDQQH
(
,QYROYHPHQWRIHSKULQ$LQUHJXODWLQJ
H[SHULHQFHGHSHQGHQWV\QDSVHSUXQLQJLQWKHPRXVHFRUWH[
;<8*:$1*$*,/025(6-60,7+<=82
8&6&0&'%6WDQIRUG8QLY8&6&8&6&
(
6WUXFWXUDOSODVWLFLW\RIGHQGULWLFVSLQHVLQ
SULPDU\YLVXDOFRUWH[GXULQJEHKDYLRUDOWDVNV0)8.8'$
+2+1272.$'$67$.('$+.$6$,8QLY7RN\R
8QLY7RN\R1DWO,QVWRI1HXURVFLHQFH1DWO&WURI1HXURO
DQG3V\FKLDWU\
3267(5
2VFLOODWLRQVDQG6\QFKURQ\+LSSRFDPSXV
&HOOXODU0HFKDQLVPV
(
)LQHWXQLQJRI:QWVLJQDOLQJSDWKZD\VLQ
VSRQWDQHRXVQHWZRUNDFWLYLW\LQWKHHQWRUKLQDOKLSSRFDPSDO
ORRS&$2/,9$1&,1(67526$&WU)RU$JLQJDQG
5HJHQHUDWLRQ&$5(3RQWL¿FLD8QLY&DWROLFD'H&KLOH
(
1HWZRUNFRUUHODWHGRVFLOODWLRQVLQWKH
UDQJHRI+]GHWHUPLQHQHWZRUNEXUVWVDQGLQGLYLGXDO
EXUVWPRUSKRORJ\LQKLSSRFDPSDOQHWZRUNVRQHOHFWURGH
DUUD\V6/(21'238/260'%2(+/(5%&
:+((/(5*-%5(:(58QLYRI)ORULGD6RXWKHUQ
,OOLQRLV8QLY
(
1(8521PRGHORIVLWHH[WUDFHOOXODU
WKHWDRVFLOODWLRQVLQWKH&$UHJLRQRIWKHKLSSRFDPSXV$
&6'DQDO\VLV6%$/$.5,6+1$15$3($5&(8QLY
:LVFRQVLQ0DGLVRQ
(
0XVFDULQLFVLJQDOLQJDOWHUVWKHWKHWD
RVFLOODWLRQSKDVHSUR¿OHLQWKH&$UHJLRQRIWKHPRXVH
KLSSRFDPSXVE\PRGXODWLQJWKHVWUHQJWKRIWKHDSLFDO
GHQGULWLFGLSROH5$3($5&(6%$/$.5,6+1$10*
3(5.,168QLYRI:LVFRQVLQ
(
)XQFWLRQDOFRQQHFWLYLW\SDWWHUQV
XQGHUO\LQJORQJWHUPV\QDSWLFSRWHQWLDWLRQLQKLSSRFDPSDO
QHWZRUNV%$5$1'$//01,('5,1*+$86;&+(1
5'=$.3$68*HRUJHWRZQ8QLY*HRUJHWRZQ8QLY
*HRUJHWRZQ8QLY
(
3K\VLRORJLFDOHYLGHQFHIRUIHHGEDFNLQ
WKHKLSSRFDPSXVIURPWKHVXELFXOXPDQG&$WR&$-&
-$&.6215*287$*1<6%5(66/(56:,//,$06
0F*LOO&156805)ORULGD$WODQWLF8QLY
(
&KDQJHVLQKLSSRFDPSDOJDPPD
RVFLOODWLRQVGXULQJDQGDIWHUXQLODWHUDOVHOHFWLYHKLSSRFDPSDO
LVFKHPLDLQIUHHO\PRYLQJPLFH$0%$57+,02'<
8&/$6FKRI0HG8&/$6FKRI0HG
(
0XOWLFHOO&DLPDJLQJRIORFDOGHQGULWLF
DFWLYLWLHVIRUDQDO\]LQJWKHHIIHFWVRIH[WUDFHOOXODU$&HOHFWULF
¿HOGRQS\UDPLGDOQHXURQVLQUDWKLSSRFDPSDOVOLFHV
.0$('$50$58<$0$<2'$+0252'$7
$21,6+,0,128(+0,<$.$:$7RN\R8QLYRI3KDUP
DQG/LIH6FL7RN\R7HFKQRO5,.(1%6,
(
5K\WKPLFDQGFRKHUHQWH[FLWDWLRQRI
GHQWDWHJ\UXVJUDQXOHFHOOVLQYLYRGXULQJWKHWDJDPPD
RVFLOODWLRQV$-3(51Ë$$1'5$'(3-21$6,QVWRI
6FLDQG7HFKQRO$XVWULD,67$XVWULD
(
/RFDO&$QHWZRUNH[FLWDELOLW\LV
HQKDQFHGLQDPRXVHPRGHORIKXPDQJHQHWLFHSLOHSV\5
+$7&+&$5(,'63(7528)ORUH\1HXURVFL,QWLWXWH
S
(
+LSSRFDPSDOVORZRVFLOODWLRQVGXULQJ
VOHHSLQKXPDQLQWUDFUDQLDOUHFRUGLQJ.(0$7+(:621
5-67$%$&7',&.621%HFNPDQ,QVWLWXWH8QLYRI
,OOLQRLV8QLYRI$OEHUWD8QLYRI&DOLIRUQLD/RV$QJHOHV
8QLYRI$OEHUWD
)
([WHUQDOSOH[LIRUPOD\HULQWHUQHXURQV
LQWHJUDWHV\QDSWLFLQSXWVWKDWDUHFRUUHODWHGZLWKWKHEXUVWLQJ
DFWLYLW\RIVXUURXQGLQJPLWUDOWXIWHGFHOOV$0+$<$5.
+$0,/7218QLY$UNDQVDVIRU0HG6FL/RXLVLDQD6WDWH
8QLY
3267(5
3267(5
2VFLOODWLRQVDQG6\QFKURQ\*DEDHUJLF,QWHUQHXURQV
,QWULQVLF0HPEUDQH3URSHUWLHV'HQGULWLFDQG6\QDSWLF
,QWHJUDWLRQ,
&HOOXODU0HFKDQLVPV
(
,QWULQVLFWKHWDRVFLOODWRUVRIWKH
KLSSRFDPSXVDUHGLIIHUHQWLDOO\FRQWUROOHGE\SDUYDOEXPLQ
DQGVRPDWRVWDWLQLQWHUQHXURQV%$0,/+21&+8+)
0$16($8--$&.621*'8&+$50(5*287$*1<
$$'$0$17,',66:,//,$060F*LOO8QLYHUVLW\'RXJODV
+RVS5HV&WU
(
([SHULPHQWDOO\FRQVWUDLQHGQHWZRUN
PRGHOVRIKLSSRFDPSDOIDVW¿ULQJSDUYDOEXPLQSRVLWLYH
LQWHUQHXURQV.$)(5*8621&</+8+%
$0,/+2150858*(686:,//,$06).6.,11(5
8QLYRI7RURQWR7RURQWR:HVWHUQ5HV,QVWLWXWH8QLY+OWK
1HWZRUN'RXJODV0HQWDO+OWK8QLY,QVWLWXWH0F*LOO8QLY
8QLYRI7RURQWR8QLYRI7RURQWR
(
S)XQFWLRQDOFRQQHFWLYLW\RIWKH
HQWRUKLQDOFRUWH[OD\HUQHXURQVDVUHYHDOHGE\UHFXUUHQW
QHWZRUNDFWLYLW\/6$866<56+$50$$-)2867%
7$+9,/'$5,'$0&&250,&.<DOH8QLY6FKRI0HG
(
)XQFWLRQDO&RQQHFWLYLW\EHWZHHQ'LYHUVH
*$%$HUJLF6XEW\SHVRI,QWHUQHXURQVLQOD\HUVDQGRIWKH
&RUWH[%7$+9,/'$5,'0&&250,&.<DOH8QLY
(
&KDUDFWHUL]DWLRQRIWKHIXQFWLRQRI
*$%$HUJLFKXEQHXURQVLQPDWXULQJQHWZRUNV9+
6286$99,//(77($0$/9$&+($%$8'(3
*8,*8(5&266$57,10(',16(508
(
&RPELQHGWZRSKRWRQLPDJLQJDQG
HOHFWURSK\VLRORJ\RIKLSSRFDPSDOQHXURQDOV\QFKURQL]DWLRQ
HYRNHGE\RSWRJHQHWLFVWLPXODWLRQRIPHGLDOVHSWDO39
LQWHUQHXURQV))8+50$11+.$1(.266&+2&+0
)8+50$1165(0<8QLYRI%RQQ'HXWVFKHV=HQWUXP
IU1HXURGHJHQHUDWLYH(UNUDQNXQJHQ8QLYRI%RQQ'=1(
8QLYRI%RQQ
(
$PDMRUUROHIRULQKLELWRU\FKHPLFDO
V\QDSVHVLQSURPRWLQJ¿ULQJV\QFKURQ\EHWZHHQIDVWVSLNLQJ
FRUWLFDOLQWHUQHXURQV++8$$*021:HVW9LUJLQLD8QLY
+OWK6FL&WU
(
6WLPXODWLQJWKHEDVDOIRUHEUDLQ
SDUYDOEXPLQSRVLWLYHQHXURQVHQWUDLQVFRUWLFDOJDPPD
RVFLOODWLRQV7.,0-70&.(11$-00&1$//<
6:,16721&<$1*/&+(1-&+2,%.2&6,6
.'(,66(527+5(675(&.(55%$6+((55
(%52:15:0&&$5/(<%RVWRQ9$+HDOWKFDUH
6\VWHP+DUYDUG0HG6FK.RUHD,QVWRI6FLDQG7HFKQRO
%HWK,VUDHO'HDFRQHVV0HG&HQWHU+DUYDUG0HG6FK
6WDQGIRUG8QLY
S
&HOOXODU0HFKDQLVPV
)
(VWLPDWLRQRIHOHFWULFDOSURSHUWLHVRI
GHQGULWHVZLWKEUDQFKHVXVLQJDFRQWLQXXPPRGHOLQJ
IRUPXODWLRQ6'%(5*(560%$(560&522.
$UL]RQD6WDWH8QLY$UL]RQD6WDWH8QLY$UL]RQD6WDWH8QLY
)
'HQGULWLFQRQOLQHDULWLHVDOORZQHXURQV
WRHQFRGHGLIIHUHQWSDWWHUQVRIV\QDSWLFLQSXW072*
678$577KH-RKQ&XUWLQ6FKRI0HG5HV)OLQGHUV8QLY
)
6XEFHOOXODUFRPSDUWPHQWVRIFRUWLFDO
LQWHUQHXURQVDUHHQGRZHGZLWKXQLTXHSRWDVVLXPFKDQQHO
VXEW\SHVDQGGLVWULEXWLRQV$(&$6$/($-)2867'
$0&&250,&.<DOH8QLY<DOH8QLY<DOH8QLY
)
6KXQWLQJSRWDVVLXPFRQGXFWDQFHVLQWKH
GHQGULWHVRIPHGLDOLQWHUFDODWHGFHOOVRIWKHDP\JGDOD&(
6752%(/36$+7KH4XHHQVODQG%UDLQ,QVW
)
7KH$W\SHSRWDVVLXPFXUUHQWUHJXODWHV
(5FDOFLXPUHOHDVHWKURXJKLQRVLWROWULSKRVSKDWHUHFHSWRUV
LQDKLSSRFDPSDOS\UDPLGDOFHOOPRGHO6$6++$'5
1$5$<$1$1,QGLDQ,QVWRI6FL
)
$FWLYLW\GHSHQGHQWFRPSDUWPHQWDOL]HG
GHQGULWLFSODVWLFLW\LQFHUHEHOODU3XUNLQMHFHOOV&3,2&+21
*2+768.,-3$'(/0$1&+$16(/8QLYRI
&KLFDJR8QLYRI&KLFDJR2UHJRQ+OWK6FL8QLY
)
5ROHRIDFWLYHFRQGXFWDQFHVIRUGHQGULWLF
SURFHVVLQJLQDORRPLQJVHQVLWLYHQHXURQ5%'(:(//
)*$%%,$1,%D\ORU&RORI0HG%D\ORU&RORI0HG5LFH
8QLY
)
$EURDGO\WXQHGVDWXUDWLQJGHQGULWLF
EUDQFKLVVXI¿FLHQWWRH[SDQGVLQJOHQHXURQFRPSXWDWLRQ
FDSDFLW\&'520$,15'&$=(0'+803+5,(6
%6*87.,1(163DULV'LGHURW,16(5088QLYRI
6KHI¿HOG
)
'LVWULEXWHGGHQGULWLFDFWLYLW\GXULQJ¿ULQJ
RIOD\HUFRUWLFDOQHXURQVLQYLYR'+,//=9$5*$+
-,$$.211(57+7HFK8QLYRI0XQLFK7HFK8QLYRI
0XQLFK
)
+FKDQQHOVLQGHQGULWHVLQÀXHQFHVRPDWLF
PHPEUDQHSRWHQWLDORVFLOODWLRQV(=+8&+.29$6
6&+5(,%(5+XPEROGW8QLYRI%HUOLQ,QVW)RU7KHRUHWLFDO
%LRO%HUQVWHLQ&WUIRU&RPSXWDW1HXURVFL
)
3XUNLQMHFHOOLQWULQVLFSODVWLFLW\LV
VHOHFWLYHO\LPSDLUHGLQ6.FKDQQHONQRFNRXWPLFH*
*5$66(//,4+(-3$'(/0$1&+$16(/8QLYRI
&KLFDJR8QLYRI&KLFDJR2UHJRQ+OWK6FL8QLY
)
$FRPSXWDWLRQDOVWXG\RIPROHFXODU
PHFKDQLVPVXQGHUO\LQJYDULDELOLW\RIGHQGULWLFFDOFLXP
VSLNHV+$1:$5,+(3%851('(6&+877(5
2NLQDZD,QVWRI6FLDQG7HFKQRO8QLY$QWZHUS
(
2SWRJHQHWLFLQYHVWLJDWLRQRIVHSWDO
*$%$HUJLFPRGXODWLRQRIKLSSRFDPSDOWKHWDUK\WKP5
%2<&(6'*/$6*2:$5$'$0$17,',6'U6
:,//,$060F*LOO8QLYHUVLW\'RXJODV0HQWDO+OWK8QLY
,QVW0F*LOO8QLY
)
6XEFHOOXODUFRQQHFWLYLW\XQGHUOLHV
SDWKZD\VSHFL¿FVLJQDOLQJLQWKHQXFOHXVDFFXPEHQV$
0$&$6.,//-/,77/(-&$66(/$&$57(51HZ
<RUN8QLY
)
([SUHVVLRQRILQÀDPPDWLRQUHODWHGJHQHV
LQPRXVH%9PLFURJOLDOFHOOVE\OLSRSRO\VDFFKDULGH-
3$5.+/((0'2+6.,0.-81*0&+2,<
&+$,+DQ\DQJ8QLY
)
,QKLELWRU\FRQWURORIOLQHDUDQGVXSUDOLQHDU
GHQGULWLFH[FLWDWLRQLQ&$S\UDPLGDOQHXURQV&
08(//(5+%(&.'&28/7(565(0<15:5HV
*URXS'HQGULWLFLQWHJUDWLRQLQWKH&16([SWO(SLOHSWRORJ\
&RJQLWLRQ5HV'HXWVFKHV=HQWUXPIU1HXURGHJHQHUDWLYH
(UNUDQNXQJHQH9'=1(&KLOGUHQV+RVSRI3KLODGHOSKLD
)
7KHLPSDFWRIFDIIHLQHRQWKHPRUSKRORJ\
DQGGHQVLW\RIPLFURJOLDZLWKLQWKHPRXVH567(*(5
$,6/$06/87&+0$1/,175$%$572/2-&
%580%(5*4XHHQV&RO*UDG&WU4XHHQV&RO4XHHQV
&ROOHJH&81<4XHHQV&ROOHJH&81<7KH*UDG&HQWHU
&81<
)
$VORZO\EDFNSURSDJDWLQJGHQGULWLF
FXUUHQWDFWLYDWHGE\DQWLGURPLFVWLPXODWLRQLQSRSXODWLRQ
UHFRUGLQJVRIUDWGHQWDWHJ\UXVJUDQXOHFHOOV'%-$))(
0:,//,$0621'1$*8,55(1HXURVFL,QVWLWXWH8QLY
RI7H[DV$W6DQ$QWRQLR
)
$FWLYDWHGPLFURJOLDUHOHDVHWKH
QHXURWURSKLFIDFWRUSURVDSRVLQ00*,''(165&
0(<(55$+$//(PRU\8QLY(PRU\8QLY
)
%LRSK\VLFDOPRGHORI+&1FKDQQHOVDQG
WKHLUUROHLQFROOLVLRQDYRLGDQFH6-&2;.+('5,&.5
'(:(//)*$%%,$1,5LFH8QLY%D\ORU&RORI0HG
)
)L[HGEXIIHUFDSDFLW\YDULHVEHWZHHQ
SULQFLSOHFHOOVDQGLQWHUQHXURQVDQGGHWHUPLQHVWKHGXUDWLRQ
RIORFDOGHQGULWLFFDOFLXPHOHYDWLRQV($0$77+(:6'
',(75,&+8QLY&OLQ%RQQ
)
$W\SHSRWDVVLXPFKDQQHOVDVD
PHFKDQLVPIRUSUHGLFWLYHKRPHRVWDVLVRIPHPEUDQH
H[FLWDELOLW\-..,0&'),25,//2.$,67
)
6XEFHOOXODUV\QDSWLFFRQQHFWLYLW\LQWKH
SUHIURQWDOFRUWH[-3/,77/($*&$57(51HZ<RUN
8QLY1HZ<RUN8QLY
)
5HJLRQDOGHQGULWLFUHVSRQVHVWR
ORFDOL]HGV\QDSWLFLQSXWVLQ&$QHXURQV$YROWDJHLPDJLQJ
VWXG\;*$2032329,&'=(&(9,&<DOH8QLY6FK
0HG<DOH8QLY6FK0HG
3267(5
*OLD1HXURQ,QWHUDFWLRQV0LFURJOLD
&HOOXODU0HFKDQLVPV
)
1HXURSURWHFWLYHPHFKDQLVPVRIDQWL
R[LGDQWGLHFNRODJDLQVWPLFURJOLDODFWLYDWLRQDQGQHXURQDO
PLWRFKRQGULDOG\VIXQFWLRQ<&8,6(816-81*<
<$1*0.$1*-:8-HMX1DWO8QLY
)
3ULPLWLYHPLFURJOLDLQHPEU\RQLFIRUHEUDLQ
GHYHORSPHQW3648$5=21,/3217/(=,&$*
+2())(/*2//(535267$,1*$%(66,6)
*,1+28;6*$5(/(FROH1RUPDOH6XSpULHXUH,%(16
,16(50&1566LQJDSRUH,PPXQRO1HWZRUN
6,J1$JHQF\IRU6FL7HFKQRODQG5HV$67$5
)
5HJXODWLRQRISKDJRF\WRVLVE\DFWLYDWHG
PLFURJOLD%<(+,$602+$16'25(&751'8QLY
RI)ORULGD&RORI0HG&751'8QLYRI)ORULGD&RORI0HG
)
6HOHFWLYH(3DQWDJRQLVWVLPSURYH
PRXVHFRJQLWLRQDQGLQFUHDVH+7LQKLSSRFDPSXV4
&+(1*0&8(9$20853+<-'$1$2%)2;6
2/6216:$1*$PJHQ,QF
)
10'$WULJJHUVUDSLGPLFURJOLDOSURFHVV
RXWJURZWKHYLGHQFHIRUQHXURQJOLDFRPPXQLFDWLRQ/
',66,1*2/(6(1%0$&9,&$5%UDLQ5HV&HQWUH
8QLYRI%ULWLVK&ROXPELD
)
,QWHUIHURQUHJXODWRU\IDFWRULVD
FULWLFDOWUDQVFULSWLRQIDFWRUIRUWKHSK\VLRORJLFDOSKHQRW\SH
RIPLFURJOLD0+25,8&+,.:$.$<$0$$,72+
..$:$,'3/($685(.2=$727,72+8QLYRI
&DOLIRUQLD'DYLV,QVWRI3HGLDWULF5HJHQHUDWLYH0HGLFLQH
6KULQHUV+RVSIRU&KLOGUHQ1RUWKHUQ&DOLIRUQLD7KH8QLYRI
7RN\R8QLYRI&DOLIRUQLD'DYLV1DJR\D8QLY1DWO,QVWRI
&KLOG+OWKDQG+XPDQ'HYHORS
)
'D[[PHGLDWHVDFWLYDWLRQLQGXFHGFHOO
GHDWKLQPLFURJOLDE\WULJJHULQJ067VLJQDOOLQJ-/((+
<81-<221.12+.<22162++2+-&+$(
6+:$1*(.,0**0$8/'/,0(&+2,.RUHD
8QLY.RUHD$GYDQFHG,QVWRI6FLDQG7HFKQRO&KXQJQDP
1DWO8QLY7KH:LVWDU,QVW.RUHD8QLY
)
&URVVWDONEHWZHHQWKH$6.DQG
*$3'+6LDKVWUHVVFDVFDGH$QRYHOUROHIRU$6.
PHGLDWHGSKRVSKRU\ODWLRQRI6LDKDQGPLFURJOLDODFWLYDWLRQ
&$75,67$116+$+$1,$6$:$-RKQV+RSNLQV
8QLY620
)
7UDQVIRUPDWLRQRIPLFURJOLDLQWR
SKDJRF\WHVLQWKHWUDQVHFWHGDQGF\FORKH[LPLGH
DGPLQLVWHUHGIDFLDOQXFOHXV.1$.$-,0$<025,6
.2+6$.$6RND8QLY1DWO,QVWRI1HXURVFL
)
6HFUHWLRQRIJURZWKIDFWRUVIURPVSLQDO
FRUGPLFURJOLDDUHHQKDQFHGE\S0$3NLQDVH0
+$0$128(.025,2.$72*$7$.1$.$-,0$
.7$.$0$7687RKR8QLYHVLW\6FKRI0HG$GYDQFHG
0HG5HV&HQWHU7RKR8QLY*UDG6FKRI0HG%UDLQDQG
6SLQDO,QMXU\&WU%$6,&8QLYRI&DOLIRUQLD5HV,QVWLWXWH
1DWO5HKDELO&WU6RND8QLY
)
6LJQDOLQJPHFKDQLVPE\ZKLFKPLFURJOLD
SUROLIHUDWHE\0&6)XSUHJXODWHGLQWKHWUDQVHFWHGUDWIDFLDO
QXFOHXV6<$0$02726.2+6$.$.1$.$-,0$
'HSWRI%LRLQIRUPDWLFV)DFRI(QJLQHHULQJ6RND8QLY
'HSWRI1HXURFKHPLVWU\1DWO,QVWRI1HXURVFL
)
5HDFWLYHR[\JHQVSHFLHV526SOD\V
DUROHLQWKHQHXURSDWKLFSDLQLQGXFHGE\+,9FRDWSURWHLQ
JS:=+(1*:+8$1*6/,85&/(9,77.$
&$1',2776+$28QLYRI0LDPL
)
$PLFURÀXLGLFFRFXOWXUHSODWIRUPWRVWXG\
+,97DWLQGXFHGSDWKRORJLFPLFURJOLDOSKDJRF\WRVLV'
)0$5.(5-07$%25*2':,1-%$5%,(5,&-
/2:(7+96*22')(//2:6/8+$*(/%$5'
8QLYRI5RFKHVWHU&DOL¿D%LR,QF
)
7ROOOLNHUHFHSWRUPHGLDWHVSHULSKHUDO
QHUYHLQMXU\LQGXFHGQDGSKR[LGDVHH[SUHVVLRQLQVSLQDO
FRUGPLFURJOLD+/,06/((6HRXO1DWO8QLY
)
13'SURPRWHVPLFURJOLDUDPL¿FDWLRQ
DQGUHGLVWULEXWLRQLQH[SHULPHQWDO&19.*6+((76
:&*25'211*%$=$1/68+OWK6FL&WU1HZ
2UOHDQV
S
)
5REXVWDOWHUDWLRQRI7*)`VLJQDOLQJLQ
/36WUHDWHGFXOWXUHGSULPDU\PLFURJOLD.0,7&+(//-
6+$+$&$03%(///76<76,.29$.$))5$0$-
6<0(6868+6
*
5HJXODWLRQRIROLJRGHQGURF\WHOLSLG
FRPSRVLWLRQE\P725+0*8$5',2/$',$=5
6&+1(,'(5&5(,66&0&*8,5(7ULQLW\&ROO3¿]HU
*OREDO5'7ULQLW\&ROO
3267(5
*
4.,UHJXODWHV&*ROLJRGHQGURJOLDO
FHOOGLIIHUHQWLDWLRQDQGPRGXODWHVWKHDYDLODELOLW\RI3/3DQG
6LUWP51$IRUWUDQVODWLRQ-.*$16-,-'28&(77(
/62%&+,6+,1$-1$=$5$/,8QLYRI6DVNDWFKHZDQ
8QLY6DVNDWFKHZDQ
*OLD1HXURQ,QWHUDFWLRQV2OLJRGHQGURF\WHV
&HOOXODU0HFKDQLVPV
)
'HP\HOLQDWHGD[RQVUHJXODWHWKHLU
RZQUHP\HOLQDWLRQE\XVLQJJOXWDPDWHVLJQDOOLQJWR
ROLJRGHQGURF\WHSUHFXUVRUFHOOV+*$87,(5.(9$16
,/81'*$$5'-+672&./(<&/$23(5(*5Ë15
-0)5$1./,157.$5$'277,58QLYRI&DPEULGJH
8QLYRI&DVWLOOD/D0DQFKD,QVWIRU5HVLQ1HXURORJ
'LVDELOLWLHV
)
S0$3.DFWLYDWLRQSURPRWHV
ROLJRGHQGURF\WHGHP\HOLQDWLRQDQGGRZQUHJXODWHVP\HOLQ
JHQHH[SUHVVLRQ3*2.,1$+$.,05XWJHUV8QLY
)
/RVVRI6PDGGHOD\VSHULSKHUDOQHUYH
UHJHQHUDWLRQE\LPSDLULQJWKHGHGLIIHUHQWLDWLRQRI6FKZDQQ
FHOOV.-0853+<+=280RXQW6LQDL6FKRI0HG
0RXQW6LQDL6FKRI0HG
)
0\HOLQJHQHUHJXODWRU\IDFWRUNQRFNRXW
GHOD\VIXQFWLRQDOUHFRYHU\IURPVSLQDOFRUGLQMXU\*
-'81&$1-53/(0(/%-+,/721-/,80
%(56210-0&.((1-.5$0(5:7(7=/$))
,&25'8%&
)
*DPPDVHFUHWDVHVLJQDOLQJLQ
ROLJRGHQGURF\WHP\HOLQDWLRQ$6&+2/=(6%
08/,1<$:(-((/,$6%$%$55(66WDQIRUG8QLY
6WDQIRUG8QLY6WDQIRUG8QLY
*
7KHUROHRI5KR%7%VLQP\HOLQDWLRQ$
)'20,1*8(61',$6$$%5(8-3'()$5,$)
5,9(52-5(/9$6,QVWIRU0RODQG&HOO%LRO&WUIRU
%LRPHG5HVHDUFK8QLYRI+XOO
*
'RZQUHJXODWLRQRIPRQRFDUER[\ODWH
WUDQVSRUWHU0&7VHOHFWLYHO\ZLWKLQROLJRGHQGURF\WHV
SURGXFHVD[RQGHJHQHUDWLRQLQYLYR%00255,621<
/((31+2))0$1629,'(16.<$76,1*$/,$-
'527+67(,1-RKQV+RSNLQV8QLY
*
3ODVPDFRUWLFRVWHURQHDFWLYDWHVVJN
DQGLQGXFHVPRUSKRORJLFDOFKDQJHVLQROLJRGHQGURF\WHVLQ
FRUSXVFDOORVXP60,<$7$072+<$0$'LY0RO%UDLQ
5HV5HV,QV7UDGLWLRQDO$VLDQ0HG.LQNL8QLY
*
SUR1*)DQGS175H[SUHVVLRQ
LVFRUUHODWHGZLWKDSRSWRVLVLQFRUSXVFDOORVXP
ROLJRGHQGURF\WHVDIWHUWUDXPDWLFEUDLQLQMXU\6/(($/,1
(6$/(*,2-6$&5$0(172/0$11(70&$67(/
%&$12//(-%5(61$+$10%($77,(8QLYRI
&DOLIRUQLD6DQ)UDQFLVFR6DQR¿5'
S
*
,QYHVWLJDWLQJ81&KRPRORJXHIXQFWLRQ
XVLQJDWUDQVJHQLFPRXVHPRGHO'+$1-%,1.(
+25100,&+(//52%,162136/2$)6$',.27
$6'+$81&+$.7(.(11('<0RQWUHDO1HXURORJ
,QVW0F*LOO8QLY
*
6RQLFKHGJHKRJVLJQDOLQJDQGSRVW
VWURNHUHFRYHU\$%(55(77$(*2:,1*&-$621,$
1&/$5.6218LYHUVLW\RI2WDJR
3267(5
$33$EHWD$QLPDO0RGHOV,
*
&RPSDULVRQRIWZRGLIIHUHQW
PHWKRGVIRUPHDVXUHPHQWRI$EHWDSHSWLGHVLQ&6)DIWHU
%$&(LQKLELWLRQLQDGRJPRGHO+.%25*+<6'
'+8<9(77(5/',//(1%9$1%52(&..'(
:$(3(1$(57-DQVVHQ5HVDQG'HYHORSPHQW$
'LYRI-DQVVHQ3KDUPDFHXWLFD19-DQVVHQ5HVDQG
'HYHORSPHQW$'LYRI-DQVVHQ3KDUPDFHXWLFD19
*
7KHHIIHFWRIORZGRVHVRISURWRQSDUWLFOH
UDGLDWLRQRQEHKDYLRULQDPRXVHPRGHORI$O]KHLPHU¶V
GLVHDVH-$%(//21(59/.2/,16.ç5(
+$570$1/RPD/LQGD8QLY
*
7DXWXEXOLQNLQDVHLQGXFHV
SKRVSKRU\ODWLRQRI&503DQGD[RQDOGHJHQHUDWLRQLQ
KLSSRFDPSXVDQGHQWRUKLQDOFRUWH[RI$O]KHLPHU¶VGLVHDVH
PRGHOV+$6$,6,.(=8.,1*5$+$07:$7$1$%(
..$,%8&+,7,.(=8%RVWRQ8QLY6FKRI0HG%RVWRQ
8QLY6FKRI0HG*UDG6FKRI0HGLFLQH1DJR\D8QLY
*
0RGHOLQJPLWRFKRQGULDOG\VIXQFWLRQ
LQ$O]KHLPHU¶VGLVHDVH/.8.5(-$5-9$66$5
1RUWKZHVWHUQ8QLY)HLQEHUJ6FKRI0HG1RUWKZHVWHUQ
8QLY)HLQEHUJ6FKRI0HG
*
&UXGHFDIIHLQHUHGXFHVPHPRU\
LPSDLUPHQWDQGDP\ORLGÒHYHOVLQDQ$O]KHLPHU¶VPRXVH
PRGHO:&+$1*<&+850%/$&.-/,83
62032/+:(,4=+$2,+&+(1*,QVWRI%UDLQ
6FLHQFH1DWO<DQJ0LQJ8QLY.UDIW)RRGV*OREDO%UDQGV
//&&KLOGUHQ¶V+RVS%RVWRQ+DUYDUG0HG6FK6DQGHUV
%URZQ&WURQ$JLQJ8QLYRI.HQWXFN\%UXQVZLFN/DEV
,QVWRI%UDLQ6FL%UDLQ5HV&HQWHU1DWO<DQJ0LQJ8QLY
*
2OG$33REREPLFHVKRZHGKLJKO\
LQFUHDVHGOHYHOVRIWDXSKRVSKRU\ODWLRQLQWKHEUDLQ
16$720025,8('$77$1$.$67$.('$
.8&+,2<$0$'$+8('$06+,12+$5$6
085$<$0$07$.('$+5$.8*,5025,6+,7$
2VDND8QLY*UDG6FK0HG1DWO,QVWRI%LRPHG
,QQRYDWLRQ7RN\R0HWURSROLWDQ,QVWRI*HURQWURJ\
)
2OLJRGHQGURJOLDO10'$UHFHSWRU
VLJQDOOLQJLQFRXSOLQJD[RQDODQGJOLDOHQHUJ\PHWDEROLVP
$66$$%6%$/7$160g%,86,7=9(7$921$-
+,55/,1*(5%*2(7=(+0-$+1:+8$1*$
3e5(=6$0$57Ë1)3e5(=&(5'È&0$787(6
/g:(/.1$9().,5&++2))03,RI([S0HG8QLY
RI6DDUODQG/HUQHU5HV,QVWLWXWH&OHYHODQG&OLQ8QLYRI
*|WWLQJHQ8QLYGHO3DtV9DVFR
*
*URXS,P*OX5PRGXODWLRQRI$03$
NDLQDWHUHFHSWRUPHGLDWHG&DÀX[LQROLJRGHQGURF\WH
SUHFXUVRUFHOOV$63,77/((02/1È5-7%52:1
8QLYRI%ULVWRO
*
,QWUDFHUHEUDOWUHDWPHQWZLWK
FKRQGURLWLQDVHGHFUHDVHVDP\ORLGEXUGHQLQ$33VZH
36G(PLFH3(*2776&+$//8QLY$UNDQVDV0HG
6FL
*
/36LVFKHPLDK\SR[LDLQGXFHVGLIIXVH
P\HOLQD[RQDOLQMXU\DQGIRFDO0%3$EHWDDJJUHJDWHVLQ
UDWEUDLQV;=+$1%3$1'(5&&2;)56+$53
0,1',QVW8&'DYLV
*
(YDOXDWLRQDQGFRPSDULVRQRI%$&(
LQKLELWRUVLQDFDQLQH3.3'PRGHO''+8<9(77(5+
%25*+<6%9$1%52(&./',//(1+*,-6(17
-$&2%6767(&./(5-DQVVHQ3KDUPDFHXWLFD195HV
'HYHORS-DQVVHQ3KDUPDFHXWLFD195HV'HYHORS
-DQVVHQ3KDUPDFHXWLFD195HV'HYHORS-DQVVHQ
3KDUPDFHXWLFD195HV'HYHORS-RKQVRQ-RKQVRQ
35'
*
,QGXFWLRQDQGSUHYHQWLRQRISDWWHUQHG
QHXURGHJHQHUDWLRQE\$P\ORLG3UHFXUVRU3URWHLQ$&5,63
-3,(5&(6+,02085$8QLYRI7H[DV$W$XVWLQ
*
/RVVRIW3$DFFHOHUDWHVWKHSDWKRJHQHVLV
RI$O]KHLPHU¶VGLVHDVHLQ7JPLFH&-%<816%
2+-.2+-/(($VDQ,QVW)RU/LIH6FL
*
$OWHUHGJHQHSUR¿OHVLQWUDQVJHQLFPLFH
RYHUH[SUHVVLQJ$33LQWKHDEVHQFHRIIXQFWLRQDO1SF
SURWHLQ6.$500$8/,.8QLY$OEHUWD8QLY$OEHUWD
*
%HKDYLRUDODQGELRFKHPLFDO
FKDUDFWHUL]DWLRQRI$O]KHLPHU¶VGLVHDVHPRXVHZLWK
$336ZH',PXWDWLRQVDQG126JHQHNQRFNRXW
&91PRXVH1(9$57,$,1(17+(,..,1(1$
5$+.21(1$2.60$1-2.60$1767(1,867
$+721,(0,-382/,9b/,-<5-b1+(,..,&KDUOHV
5LYHU'LVFRYHU\5HV6HUYLFHV
*
'HJHQHUDWLRQRIFKROLQJHULFDIIHUHQWLQ
DWUDQVJHQLFPRXVHPRGHORI$O]KHLPHU¶VGLVHDVH/DFNRI
FRUUHODWLRQZLWKSUR[LPLW\WRDP\ORLGSODTXHV0./((<
;8*&+(18QLYRI0LQQHVRWD1DQMLQJ8QLYRI&KLQHVH
0HG
*
,QÀXHQFHRIFKROHVWHURODFFXPXODWLRQ
LQDPRXVHPRGHORI$O]KHLPHU¶VGLVHDVH00$8/,.%
*+26+$/-.,0<:$1*-<$1*':(67$:$<6
.$58QLYRI$OEHUWD
*
$P\ORLG%HWD¶VHIIHFWRQORQJWHUP
PHPRU\$WRSGRZQDSSURDFKLQ/\PQDHDVWDJQDOLV/
)25'-57+253(/&6(53(//*.(0(1(6
8QLYRI6XVVH[8QLYRI6XVVH[
*
$UROHIRUQHEXOD'6&5LQDPHOLRUDWLQJ
D[RQDOWUDQVSRUWGHIHFWVDVVRFLDWHGZLWK$O]KHLPHU¶V
GLVHDVH-/6+$:.7&+$1*86&86&
*
1RYHOW\SHDQGPRUHUHOHYDQWPRGHO
PRXVHIRU$O]KHLPHU¶VGLVHDVH76$,7276$,'2%UDLQ
6FL,QVW5,.(1
*
&RUWLFRWKDODPLFG\VIXQFWLRQDQG
FRJQLWLYHGH¿FLWVLQDPRXVHPRGHORI$O]KHLPHU¶VGLVHDVH
%&25%(77;=+$1*/=+$2-&+,17KRPDV
-HIIHUVRQ8QLY
*
*
,QWUDFHOOXODUDFFXPXODWLRQRIWR[LFWXUQ
DP\ORLG`DVVRFLDWHGZLWKHQGRSODVPLFUHWLFXOXPVWUHVV
LQ$O]KHLPHU¶VGLVHDVH<2+<$*,162(-,0$.0
,,180$11$.$085$-.,5$'HSWRI1HXURORJ\
.\XVKX8QLY
*
$QDJHUHODWHGD[RQWHUPLQDOSDWKRORJ\
DURXQGWKH¿UVWROIDFWRU\UHOD\WKDWLQYROYHVDP\ORLGRJHQLF
SURWHLQRYHUH[SUHVVLRQZLWKRXWSODTXHIRUPDWLRQ-/,<
&$,+&$,;<$1&KDQJVKD0HG8QLY&HQWUDO6RXWK
8QLY;LDQJ\D6FKRI0HG1DWO,QVWRQ$JLQJ&HQWUDO
6RXWK8QLY
*
0XOWLSOH[LPPXQRDVVD\IRU
VLPXOWDQHRXVHYDOXDWLRQRI$OHYHOVDIWHU
WUHDWPHQWZLWKVHFUHWDVHLQKLELWRUVDQGPRGXODWRUVLQQRQ
WUDQVJHQLFDQLPDOPRGHOV%9$1%52(&.0%25*(56
*0(8/'(56%+(50$16''+8<9(77(5+
%25*+<60+0(5&.(1-DQVVHQ5HV'HYHORS
*
([HUFLVHLVPRUHHIIHFWLYHWKDQGLHW
FRQWUROLQSUHYHQWLQJKLJKIDWGLHW±LQGXFHG`±DP\ORLG
GHSRVLWLRQDQGPHPRU\GH¿FLWLQDP\ORLGSUHFXUVRU
SURWHLQWUDQVJHQLFPLFH00$(6$.2.6$6$.,1
+$<$6+,'$0.8%27$.8(085$$.,126+,7$
.\RWR8QLY.\RWRXQLYHUVLW\
*
1XFOHDUKRUPRQHUHFHSWRUVDVD
WKHUDSHXWLFWDUJHWIRU$O]KHLPHU¶VGLVHDVH69,<(5$
&5,63-3,(5&(6+,02085$8QLYRI7H[DVDW$XVWLQ
8QLYRI7H[DVDW$XVWLQ
*
$P\ORLGSODTXHVEXWQRWFODVVLF
QHXUR¿EULOODU\WDQJOHSDWKRORJ\LQWKHDJHGJRULOODFRUWH[(
-08)6216(3(5(=102+$00$'/.5$0(5
($%5$+$06210',.212029,&-0(5:,1
&&6+(5:22'35+2)05$*+$17,5XVK
8QLY0HG&WU5XVK8QLY0HG&WU'DOODV=RR8QLYRI
3LWWVEXUJK*HRUJH:DVKLQJWRQ8QLY*HRUJH:DVKLQJWRQ
8QLY0RXQW6LQDL6FK0HG.HQW6WDWH8QLY
:,7+'5$:1
3267(5
$O]KHLPHU¶V'LVHDVH%HWDDQG*DPPD6HFUHWDVH%$&(
DQG3UHVHQLOLQ,
*
6LPXODWLQJVHOIUHJXODWLQJFKDQJHVLQ
WKHPHFKDQLFDOSURSHUWLHVRIOLSLGPHPEUDQHGXHWRF3/$
9LVXDOL]LQJPROHFXODUG\QDPLFVVLPXODWLRQVLQWKHFRQWH[WRI
$O]KHLPHU¶VGLVHDVH0%(575$1'19$/(1=8(/$*
:6/$7(56$/%(11(776)$,&DUOHWRQ8QLY&,+5
7UDLQLQJ3URJUDPLQ1HXURGHJHQHUDWLYH/LSLGRPLFV8QLYRI
2WWDZD8QLYRI2WWDZD
*
3UHVHQLOLQFRQWUROVSPHGLDWHG
GHJUDGDWLRQRIWDXWKURXJKWUDQVFULSWLRQDOO\PRGXODWLQJWKH
H[SUHVVLRQRIS<781*%:$1*:+8$1*<
/,$2,&2%$FDGHPLD6LQLFD1DWO7DLZDQ8QLY
*
&RPSDULVRQRI%$&(LQKLELWRUHIIHFWV
RQSURFHVVLQJRI$33YHUVXV7PHPDQRYHO%$&(
VXEVWUDWH5:7(55<&621'(</67$+//+<'(
(3$5.(50(.(11('<0HUFN5HV/DEV0HUFN
5HV/DEV
*
0HFKDQLVPRILQWUDPHPEUDQHFOHDYDJH
RIQHXUDO$OFDGHLQSURWHLQVE\aVHFUHWDVH<3,$26
+$7$768=8.,/DERI1HXURVFLHQFH*UDG6FKRI
3KDUPDFHXW6FL
*
,QWURGXFLQJSKRVSKR/LSLG3UHGLFWHG
,GHQWLWLHV/L3,GDQRYHOJO\FHURSKRVSKROLSLGLGHQWL¿FDWLRQ
WRROIRUXVHZLWKPDVVVSHFWURVFRS\*60&'2:(//$
3%/$1&+$5'+;819$/(1=8(/$6*(/%$5'
)(/,60$6)$,'),*(<66$/%(11(778QLY
RI2WWDZD&,+57UDLQLQJ3URJUDPLQ1HXURGHJHQHUDWLYH
/LSLGRPLFV8QLYRI2WWDZD&DUOHWRQ8QLY
S
*
6\QDSWLFORFDOL]DWLRQRI%$&(LQ
KLSSRFDPSDOQHXURQV&*)(51$1'(=9%8**,$
35(927.9(75,9(/0/().2:;0(&./(5-
526(0$1*7+,1$.$5$18QLYRI&KLFDJR
*
$ORQJLWXGLQDOVWXG\RIWKHHIIHFWVRI
PDWHUQDOJHQRW\SHRQFRJQLWLYHIXQFWLRQVLQ[WJDGPLFH
.6729(50(+,&.6'(,.3,5(%52:1
'DOKRXVLH8QLY'DOKRXVLH8QLY
*
5ROHRI$SROLSRSURWHLQ(RQ$OFDGHLQV
PHWDEROLVP$.,085$6+$7$768=8.,/DE
RI1HXURVFLHQFH*UDG6FKRI3KDUPDFHXW6FLHQFHV
+RNNDLGR
*
$QWLR[LGDQWVXSSOHPHQWDWLRQSUHYHQWV
DJLQJDVVRFLDWHGFKDQJHVLQEUDLQDP\ORLGEHWDSHSWLGH
PHWDEROLVPDQGOHDUQLQJGH¿FLWVLQUDWV06,1+$
3%+2:0,&.*&+$77(5-(($%$1(5-((6
&+$.5$%$57,,QVWRI3RVW*UDG0HG(GXFDQG5HV
*
'HOHWLRQRI/53LQQHXURQH[DFHUEDWHV
DP\ORLGEHWDGHSRVLWLRQLQDP\ORLGPRGHOPLFH7
.$1(.,<206+,12+$5$&/,8*%80D\R&OLQ
+
5HVLVWDQFHWROHDUQLQJDQGPHPRU\
LPSDLUPHQWLQWKH7J&51'PRXVHPRGHORI$O]KHLPHU¶V
GLVHDVHVHJUHJDWHVZLWKDQLQVXOLQWROHUDQWJOXFRVHWROHUDQW
SKHQRW\SH0*5$1*(5+;8&0(66,(56$
/%(11(778QLYRI2WWDZD&,+57UDLQLQJ3URJUDPLQ
1HXURGHJHQHUDWLYH/LSLGRPLFV8QLYRI2WWDZD8QLYRI
2WWDZD
+
$XWRUHDFWLYH$`DQWLERGLHVSURPRWH$33
`VHFUHWDVHSURFHVVLQJ-'(1*++28%*,817$7
025,<:$1*))(51$1'(=6:(**(1:$5$.,
'2%5(*21-7$15DVKLG/DE)RU'HYHORSPHQWDO
1HXURELRORJ\&RORI0HGLFLQH8QLYRI6R'DSLQJ
+RVSLWDO7KLUG0LOLWDU\0HG8QLY-DPHV$+DOH\9HWHUDQV¶
$GPLQ+RVS6DLWDPD0HG&WUDQG6DLWDPD0HG8QLY
1HXURLPPXQRORJ\/DERUDWRU\&RORI0HG+HLQULFK+HLQH
8QLYHUVLW\1DWO,QVWRI1HXURVFLHQFH1DWO&WURI1HXURO
DQG3V\FKLDWU\
+
(IIHFWVRI5KRGLRODURVHD/RQ
EHKDYLRXUDOPHDVXUHVRIOHDUQLQJDQGPHPRU\DQG
DQ[LHW\LQWKH7J&51'PRXVHPRGHORI$O]KHLPHU¶V
GLVHDVH)$+0('&&,(1,$.+;8$6$/((0
$&8(55,(5'),*(<6-$51$6216%(11(77
8QLYRI2WWDZD8QLYRI2WWDZD&,+57UDLQLQJ3URJUDP
LQ1HXURGHJHQHUDWLYH/LSLGRPLFV8QLYRI2WWDZD-DUGLQ
ERWDQLTXHGH0RQWUpDO
+
,QYHVWLJDWLQJWKHUROHRISODWHOHWDFWLYDWLQJ
IDFWRUUHFHSWRULQDPRXVHPRGHORI$'%HKDYLRXUDO
DVVHVVPHQWRIOHDUQLQJDQGPHPRU\0:7$</25+
;8-7$51$6216$/%(11(778QLYRI2WWDZD
&,+57UDLQLQJ3URJUDPLQ1HXURGHJHQHUDWLYH/LSLGRPLFV
8QLYRI2WWDZD
+
7KH_KHOLFDOVWUXFWXUHRIWKHK\GURSKLOLF
ORRSRISUHVHQLOLQFRQWULEXWHVWRWKHIRUPDWLRQRIWKH
VXEVWUDWHELQGLQJVLWH7720,7$67$.$*,1,,'20(7
,:$768%27KH8QLYRI7RN\R&5(67
S
+
%LRDFWLYHJO\FHURSKRVSKROLSLGVDQGWKHLU
UROHLQPRGXODWLQJQHXURQDOYXOQHUDELOLW\IROORZLQJFHUHEUDO
LVFKHPLD$-6<5(77+;819$/(1=8(/$.
*5$+$06)$,'),*(<66$/%(11(778QLY
RI2WWDZD&,+57UDLQLQJ3URJUDPLQ1HXURGHJHQHUDWLYH
/LSLGRPLFV8QLYRI2WWDZD&DUOHWRQ8QLY
+
5HVWRUDWLRQRI`DP\ORLGSHSWLGH
LPSDLUHGORQJWHUPSRWHQWLDWLRQLQUDWKLSSRFDPSDOVOLFHV
E\LQWUDSHULWRQHDO\LQMHFWHGDQWLR[LGDQW6N459*
6.5(%,76.<1$.$3$,(967(/0$6+22.2
932329$59.21'5$7(1.21.,6$(9'%
=2529936.8/$&+(9&WURI1HXURO$1%HOR]HUVN\
,QVWRI3K\VLFR&KHPLFDO%LRORJ\0RVFRZ6WDWH8QLY
+
&URVVWDONEHWZHHQPRQRDPLQH
R[LGDVH$DQGSUHVHQLOLQSURWHLQVVXJJHVWVDPROHFXODU
FRPPRQDOLW\EHWZHHQGHSUHVVLRQDQG$O]KHLPHU¶V
GLVHDVH=:(,-&+/$1%0&+$+$5<1;=+$2
''02866($88QLYRI6DVNDWFKHZDQ8QLYRI
6DVNDWFKHZDQ
+
36aVHFUHWDVHPHGLDWHV(SKE
LQGXFHGDQJLRJHQHVLVYLDHSKULQESURFHVVLQJ1:$55(1
$*(25*$.2328/261.52%$.,60RXQW6LQDL
6FK0HG
+
1HXUROLJLQLVRIRUPVLQWHUDFWZLWK
$O]KHLPHU¶VaVHFUHWDVHVXEXQLWQLFDVWULQ-0&87/(5
9*$87$0'0.29$&60DVVDFKXVHWWV*HQ+RVSLWDO
+DUYDUG0HG6FK
+
$FWLYDWLRQRIJDPPDVHFUHWDVHE\
HQGRSODVPLFUHWLFXOXPVWUHVV.2+7$$0,=812
6/,0,72+08('$<+,'$0:$1*:/27
1$.$*$:$*LIX8QLYHUVLW\*UDGXDWH6FKRI0HGLFLQH
'HSWRI1HXURELR&KLQD0HG8QLY+RVSLWDO'HSWRI0HG
5HV
+
(VWURJHQDQGLWVUHFHSWRUVLQEHWD
VHFUHWDVHUHJXODWLRQ-&8,*$,7*+(=$/$+<$2<
6+(15/,5RVNDPS,QVW5RVNDPS,QVW
+
,OOXPLQDWLQJ%$&(HQGRVRPDO
G\QDPLFWUDQVSRUWLQQHXURQVE\OLYHLPDJLQJ9%8**,$
35(927&)(51$1'(=65,25'$1.9(75,9(/
-526(0$1;0(&./(50*(25*(+%$1'
59$66$58QLY&KLFDJR1RUWKZHVWHUQ8QLY8QLYRI
1HEUDVND
+
&RPSOHWHORVVRIaVHFUHWDVHDFWLYLW\
LQDQRYHO3UHVHQLOLQNQRFNLQPRXVHPRGHORIIDPLOLDO
$O]KHLPHU¶VGLVHDVH';,$+:$7$1$%(%:86
/((7.$1(.,<2-6+(15-.(//(+(5,,,+DUYDUG
0HG6FK+DUYDUG0HG6FK0D\R&OLQ
+
3UHVHQLOLQ36UHVFXHVSUHV\QDSWLF
GH¿FLWVDWPRVV\¿EHUWR&$V\QDSVHVLQWKHKLSSRFDPSXV
RI%$&(NQRFNRXWV+:$1*$0(*,//,
%(=352=9$11<3:21*+/((-RKQV+RSNLQV
8QLY-RKQV+RSNLQV8QLY6FKRI0HG8QLYRI7H[DV
6RXWKZHVWHUQ0HG&WU-RKQV+RSNLQV8QLY6FKRI0HG
+
36aVHFUHWDVHSURPRWHQHXURQDO
VXUYLYDOXQGHUJOXFRVHGHSULYDWLRQYLDWKHPL5
3($SDWKZD\<5(1$*(25*$.2328/261.
52%$.,60RXQW6LQDL6FK0HG
*
7KHF\FOLFVHFRQGPHVVHQJHU
JO\FHURSKRVSKROLSLGRPH7KHGDLO\JULQG+;8/
6:$<1(.025,16*(/%$5'6)$,'),*(<6
6$/%(11(778QLYRI2WWDZD&,+57UDLQLQJ3URJUDP
LQ1HXURGHJHQHUDWLYH/LSLGRPLFV8QLYRI9LFWRULD8QLYRI
2WWDZD&DUOHWRQ8QLY
+
3KRVSKRSURWHRPHDQDO\VLVRIDQHDUO\
RQVHWPRXVHPRGHO7J&51'RI$O]KHLPHU¶VGLVHDVH
UHYHDOVWHPSRUDOFKDQJHVLQQHXURQDODQGJOLDVLJQDOOLQJ
SDWKZD\V$3%/$1&+$5'):$1*)(/,60$0
*5$1*(5+;86$/%(11(77'),*(<6+=28
8QLYRI2WWDZD'DOLDQ,QVWRI&KHP3K\VLFV&KLQHVH
$FDGRI6FL8QLYRI2WWDZD8QLYRI2WWDZD
+
$IXQFWLRQDODQDO\VLVRIWKHSHQ
VXEXQLWRIWKHaVHFUHWDVHFRPSOH[2+2/0(66
3$785,'-6(/.2(06:2/)(%ULJKDPDQG
:RPHQ¶V+RVSLWDO+DUYDUG0HG6FK
,
9ROXQWDU\H[HUFLVHLQGXFHVSURWHRPLF
FKDQJHVDVVRFLDWHGZLWKVSDWLDOPHPRU\LPSURYHPHQW
LQZLOGW\SHEXWQRW$3336(1WUDQVJHQLFV03
0&'21$/'6.5$2-$02%/(<$%(51$5'2
)(+$55,6218QLYRI7HQQHVVHH+OWK6FL&WU8QLYRI
$ODEDPD9DQGHUELOW8QLY
3267(5
,
+LSHULQVXOLQHPLDDQGW\SHGLDEHWHV
PHOOLWXVLQGXFHFHQWUDOQHUYRXVV\VWHPDEQRUPDOLWLHV
DQGFRJQLWLYHLPSDLUPHQW-5$02652'5Ë*8(=
29257,=%$5$-$60-,0(1(=3$/20$5(6(
%(552&262*3(5'202$0/(&+8*$,&2=$5
&$67(//$120*$5&,$$//2=$&RORI0HGLFLQH
8QLYRI&DGL]+RVS8QLYHUVLWDULR3XHUWDGHO0DU6FKRI
0HGLFLQH
&RJQLWLYH)XQFWLRQ
+
$QHSLJHQHWLFLQWHUYHQWLRQDJDLQVW
QHXURGHJHQHUDWLRQDVVRFLDWHGPHPRU\GHFOLQH-*5$))
'5(,-*8$1::$1*-6(2'0)$663)
.$20.$+16&68$6$0,(,1)-26(3+6-
+$**$57<,'(/$//(/76$,0,70,7%URDG,QVW
%RVWRQ8QLY
+
$ELOLW\WRVKLIWWKHFRJQLWLYHVWUDWHJ\LQ
ZDWHUPD]HWDVNZDVLPSDLUHGLQWKH;)$'WUDQVJHQLF
PLFHIRU$O]KHLPHU¶VGLVHDVH:&+26/((:-(21-
+$1.RQNXN8QLY.RUHD,QVWRI2ULHQWDO0HG
+
0HWK\OO\FDFRQLWLQHDQGVFRSRODPLQH
LQGXFHGFRJQLWLYHG\VIXQFWLRQ'LIIHUHQWLDOUHYHUVDOHIIHFW
RIFRJQLWLYHHQKDQFLQJGUXJV($1'5,$0%(/2621%
+8<$5'(32,5$8'6:$*1(51(852),71HXUR¿W
+
3RO\SKHQROVIRULPSURYLQJFRJQLWLYH
IXQFWLRQVLQKXPDQV$V\VWHPDWLFUHYLHZ*%3$758'8
53$59$7+,70&5$203*((7+$1-$/,$QGKUD
0HG&RO.LQJ*HRUJH+RVS
+
7KHHIIHFWRID`DFFXPXODWLRQLQSLULIRUP
FRUWH[RQVLQJOHXQLWROIDFWRU\SURFHVVLQJ:-;8'$
:,/6211DWKDQ.OLQH,QVW
+
$UHDQ\SRO\VRPQRJUDSK\YDULDEOHV
SUHGLFWLYHRISURJUHVVLRQIURPPLOGFRJQLWLYHLPSDLUPHQWWR
$O]KHLPHU¶VGLVHDVH"+6+,112,,6+,.$:$1$1'2
7025,<,1$0,-+25,*8&+,<1$.$085$.DJDZD
8QLY6FK0HG6KLPDQH8QLY)DFXO0HG
+
,VLPSOLFLWFRQWH[WXDOOHDUQLQJSUHVHUYHG
LQDPQHVWLFPLOGFRJQLWLYHLPSDLUPHQW"61(*$6+
'./,27'9+2:$5'-++2:$5'-56(
$512/''$:2/.8QLYRI3HQQV\OYDQLD*HRUJHWRZQ
8QLY&DWKROLF8QLYRI$PHULFD
+
'LIIXVLRQWHQVRULPDJLQJUHYHDOV
ZLGHVSUHDGZKLWHPDWWHUDEQRUPDOLWLHVLQFRJQLWLYHO\
LPSDLUHGHOGHUO\VXEMHFWV701,51-$+$16+$'$
72*$%%252:6.,0$%(5167(,1&5-$&.0
::(,1(5307+203621/DERI1HXUR,PDJLQJ
0D\R&OLQDQG)QGQ8&6)6FKRI0HG
+
$QRYHOYLVXDOSDLUHGDVVRFLDWHV
WDVNGHWHFWVREMHFWDPELJXLW\DQGVHPDQWLFIDPLOLDULW\
LPSDLUPHQWVLQOHDUQLQJDQGUHFRJQLWLRQLQYHU\HDUO\
$O]KHLPHU¶VGLVHDVH.,7$</25$80216&+8QLY
+RVS%DVHO8QLYRI&DPEULGJH8QLY+RVS%DVHO8QLYRI
%DVHO
+
7KHHIIHFWVRIEDVDOIRUHEUDLQFKROLQHUJLF
QHXURQRIUHFRJQLWLRQWHVWV-/(('-(21*-&+$1*
%.3URMHFW)RU0HG6FL'HSWRI1HXURVXUJ
+
'RQHSH]LOLPSURYHVFRJQLWLYHGH¿FLWV
LQGXFHGE\FKURQLFFHUHEUDOK\SRSHUIXVLRQLQUDWV.
.:210.,0-.,06.,0%&+2,-+$1+.,0
&6+,16+$1.RQNXN8QLY.RQNXN8QLY.RQNXN8QLY
.RQNXNXQLYHUVLW\
,
$JHGHSHQGHQWFRQWULEXWLRQRIJHQHWLF
ULVNIDFWRUVIRU$O]KHLPHU¶V'LVHDVHWROHDUQLQJDQGPHPRU\
GH¿FLHQFLHV;+2862$'(2681%=+(1*(
*20(=6$1&+(=-:$1*8QLYRI060HG&WU8QLY
RI060HG&WU8QLYRI060HG&WU8QLYRI060HG&WU
,
(IIHFWRIJO\FHPLDRQPHPRU\
SHUIRUPDQFHLQHDUO\$O]KHLPHU¶VGLVHDVH-.0255,6
('9,'21,5$+21($-0%85168QLYRI.DQVDV
0HG&WU
,
'HYHORSPHQWRIFRJQLWLYHLPSDLUPHQWV
DIWHUVXUJHU\,%+29(165*6&+2(0$.(5($
9$1'(5=((/-028721%/9$1/((8:(18QLY
RI*URQLQJHQ8QLYRI*URQLQJHQ8QLY0HG&WU*URQLQJHQ
8QLY0HG&WU*URQLQJHQ
,
$JHUHODWHGWUDMHFWRU\RIEUDLQIXQFWLRQDO
FKDQJHVLQHDUO\RQVHW$O]KHLPHU¶VGLVHDVH)URPFKLOGKRRG
WRHDUO\DGXOWKRRG<748,52=5$63(5/,1*$
)/(,6+(5.&+(1$6&+8/7=$52217,9$.
:,//0(17)/23(5$(05(,0$1&WU)RU0HPRU\
DQG%UDLQ3V\FKRORJ\'HSDUWPHQW%RVWRQ8QLY8QLYGH
$QWLRTXLD*UXSRGH1HXURFLHQFLDV&WUIRU$O]KHLPHU¶V
5HVDQG7UHDWPHQW'HSWRI1HXURORJ\%ULJKDPDQG
:RPHQ¶V+RVSLWDO+DUYDUG0HG6FK%DQQHU$O]KHLPHU¶V
,QVW$WKLQRXOD$0DUWLQRV&WUIRU%LRPHG,PDJLQJ
0DVVDFKXVHWWV*HQ+RVS%ULJKDPDQG:RPHQ¶V+RVSLWDO
'HSWRI1HXURO
,
0LQL0HQWDO6WDWH([DPLQDWLRQVFRUHLV
DVVRFLDWHGZLWKZKLWHPDWWHULQWHJULW\LQHDUO\$O]KHLPHU¶V
GLVHDVH759$1*%(5*.:$7(5/223(/'(9,.
6+-2+16(1663$55*&:,.5$10+(5'(5
&52'5Ë*8(=$5$1'$8QLY+RVSRI1RUWK1RUZD\
8QLYRI7URPV¡8QLY+RVSRI1RUWK1RUZD\8QLY+RVSRI
1RUWK1RUZD\
,
S
9LWDPLQ&R[LGDWLYHVWUHVVDQG
FRJQLWLRQLQ$O]KHLPHU¶VGLVHDVH*.,0$%(51$5'2)
(+$55,6219DQGHUELOW8QLY
,
(IIHFWVRIFKURQLFVWUHVVRQDOWHUDWLRQVRI
*53.$1)NDSSD%VLJQDOLQJDQGVSDWLDOOHDUQLQJLQUDWV
ZLWKFKROLQHUJLFGHDIIHUHQWDWLRQ6/((-0$&&+81*
-+$1.RQNXN8QLY
,
$O]KHLPHU¶VQHXURGHJHQHUDWLRQ
ELRPDUNHUVDUHDVVRFLDWHGZLWKFRJQLWLYHGHFOLQHEXWQRWEHWD
DP\ORLGLQFRJQLWLYHO\QRUPDOHOGHUO\LQGLYLGXDOV0:,57+
&0$',621+2+3K'6/$1'$8&0$5./(<:
-$*8678QLYRI&DOLIRUQLD
,
$O]KHLPHU¶VGLVHDVH$'DQG
HQYLURQPHQWDOH[SRVXUHWROHDG3E%HKDYLRUDODQG
ELRFKHPLFDOHYLGHQFH6:%,+$4,*68%$,($$
%+$0,1,1+=$:,$8QLY5KRGH,VODQG
S
3267(5
$/67KHUDS\'HYHORSPHQW
/XPEDUEORRGVSLQDOFRUGEUHDNGRZQ
,
DFFHOHUDWHV$/6OLNHQHXURGHJHQHUDWLRQ(:,1./(5-
'6(1*,//25'%(//$36$*$5(-:$1*6
+,//0$1%9=/2.29,&8QLYRI5RFKHVWHU86&
-
7KHLQWUDWKHFDODSSOLFDWLRQRIKXPDQ
ERQHPDUURZPHVHQFK\PDOVWURPDOFHOOVLPSURYHVPRWRU
DFWLYLW\SURORQJVVXUYLYDODQGSUHVHUYHVSHULQHXURQDOQHWV
LQV\PSWRPDWLF$/6UDWV6)25267<$.$+202/$3
-(1'(/29$(06<.29$,QVW([SWO0HG$6&5QG
0HG)DFXOW\&KDUOHV8QLY
-
S&OLQLFDOJUDGHKXPDQQHXUDOVWHPFHOO
PHGLDWHGWKHUDS\RI$/6GLVHDVHLQ62'*$DQLPDO
PRGHOV/'(),/,33,6/527$12'$5,$*,$9$==,
&=$/)$0*(/$7,')(55$5,0'(/8&$*08=,
'352),&20352-(77,3(16,*6*$5$9,==,$
/9(6&29,8QLY%LFRFFD0LODQR&DVD6ROOLHYRGHOOD
6RIIHUHQ]D&HOO)DFWRU\1HXUDO6WHP&HOOV
-
,QWUDFLVWHUQDOGHOLYHU\RIK06&V
UHJXODWHVWKHH[SUHVVLRQRILPPXQRPRGXODWRU\PROHFXOHV
DQGHQKDQFHVPRWRQHXURQVXUYLYDOLQ62'PLFH00
%2,'299$/6(&&+,$3,5$6*63,*2/21.
0$5(6&+,'5867,&+(//,67(0,/0$==,1,)
)$*,2/,$9(5&(//,8QLYRI7XULQ5HJLQD0DUJKHULWD
&KLOGUHQ¶V+RVS(DVWHUQ3LHGPRQW8QLY
-
$OORWUDQVSODQWDWLRQRI(FRUWLFDO
RUVSLQDOGHULYHGQHXUDOSURJHQLWRUVLQWKH62'*$
UDWPRGHORI$/6-/$77(5**2:,1*0'$63
$9$/26$/,1-0&+8*+&169(1'6(1&HGDUV
6LQDL0HG&WU
-
(QKDQFHGPRWRUQHXURQVXUYLYDOIROORZLQJ
VSLQDOWUDQVSODQWDWLRQRIQHXUDOSURJHQLWRUVVHFUHWLQJ*'1)
EXWQRW,*)RU9(*)LQDQDQLPDOPRGHORI$/6*0
*2:,1*-/$77(53$9$/26%&6+(//(<.
67$**(1%25*$/,19=('(//$-0&+8*+0
68=8.,&169(1'6(1&HGDUV6LQDL&HGDUV6LQDL
0HG&HQWHU5HJHQHUDWLYH0HG,QVW8QLYRI:LVFRQVLQ
-
$VWXG\RIFRUWLFRVSLQDOPRWRUQHXURQV
LQDUDWPRGHORI$P\RWURSKLF/DWHUDO6FOHURVLV*0
7+206(1**2:,1*3$9$/26-/$77(5.
67$**(1%25*9=('(//$$/,1&69(1'6(1
&HGDUV6LQDL0HG&WU
-
'\QDPLFFKDQJHVLQWKHJOLDO
PLFURHQYLURQPHQWGXULQJDJLQJFRQWULEXWHVWRPRWRUQHXURQ
YXOQHUDELOLW\LQDP\RWURSKLFODWHUDOVFOHURVLV0'$6
**2:,1*3$9$/26-/$77(59=('(//$.
67$**(1%25*&69(1'6(1&HGDUV6LQDL0HG&WU
-
(YDOXDWLRQRIPRUELGLW\IROORZLQJ
WUDQVSODQWDWLRQRIKXPDQQHXUDOSURJHQLWRUVLQDUDWPRGHO
RIDP\RWURSKLFODWHUDOVFOHURVLV3$9$/26**2:,1*
9=('(//$-/$77(5&169(1'6(1&HGDUV6LQDL
0HG&WU
S
-
7KH6LJPDUHFHSWRUUHWDUGV
SURSDJDWLRQRI$/67$0$9/<87290/(367(,1
06+8(57$$&'28*/$66$(582+28QLYRI
:LVFRQVLQ
-
3HULSKHUDODGPLQLVWUDWLRQRIDVHPDSKRULQ
$EORFNLQJPRQRFORQDODQWLERG\DJDLQVWWKHQHXURSLOLQ
UHFHSWRUGHOD\VPRWRUHQGSODWHGHQHUYDWLRQDQGVORZVGLVWDO
D[RQRSDWK\DVVRFLDWHZLWKDPRXVHPRGHORIDP\RWURSKLF
ODWHUDOVFOHURVLV.9(1.29$$&+5,6729.
+(16/(<8QLYRI7ROHGR0HG&WU
-
7KHUDSHXWLFHIIHFWVRI
GLK\GUR[\ÀDYRQHLQDWUDQVJHQLFPRGHORIDP\RWURSKLF
ODWHUDOVFOHURVLV,&$55(5$627.25.0$=1
$<7$1-&+2,1:.2:$//%*-(1.,16$
'('(2*/89$%RVWRQ+HDOWKFDUH6\VW%RVWRQ8QLY6FK
RI0HG(VNLVHKLU2VPDQJD]L8QLY0DVVDFKXVHWWV*HQ
+RVS+DUYDUG0HG6FK
-
%EDVDSRWHQWLDOWKHUDS\
IRUDP\RWURSKLFODWHUDOVFOHURVLV'(60,7+1
1$5$,1'$6.-,$1*<+$270,&+85,1$=*/$66
.6$<('-3$5.*(1,.2/2329$QJLRQ%LRPHGLFD
&RUS&ROG6SULQJ+DUERU/DE
-
,GHQWL¿FDWLRQRIVPDOOPROHFXOH
FRPSRXQGVWKDWHQKDQFHLQVXOLQOLNHJURZWKIDFWRU,,
H[SUHVVLRQDQGSUHFOLQLFDOWHVWLQJRILGHQWL¿HGFRPSRXQGV
IRUDP\RWURSKLFODWHUDOVFOHURVLV7026%2513-
+$//(77-50&/($12&223(57%%52:16&
,=(12,6$&6210F/HDQ+RVS+DUYDUG0HG6FK
-
1DQRERG\DJDLQVW62'LQDP\RWURSKLF
ODWHUDOVFOHURVLV6+(51$1'(=$/$,5'658'<$.)
52866($8-6&+<0.2:,7=:39$1'(1%(5*+(
:52%%(5(&+7.8/HXYHQ9,%8QLY+RVS/HXYHQ
-
)XQFWLRQDOL]HGQDQRSDUWLFOHVWR
HQKDQFHUHJHQHUDWLYHD[RQJURZWK':3,7$7+20$6
0%67(.(7((..$'25%0+$03721.$
7+$.25602<6,',6-(:(,167(,1;-,1-/
*2/'%(5*8QLYRI0LDPL8QLYRI0LDPL
-
1HXURWURSKLFDFWLYLW\RI/W\SHFDOFLXP
FKDQQHODJRQLVWVLQUDWPRWRQHXURQVLQFXOWXUH&DOPRGXOLQ
F$03SURWHLQNLQDVH$PHGLDWHGVXUYLYDO<$5$.$:$.
,6+,.$:$7RN\R8QLY+RVS
-
,QFUHDVHGH[SUHVVLRQRIFDOFLXPELQGLQJ
SURWHLQFDOELQGLQ'NLQPRWRUQHXURQVRIVSLQDOFRUGRI
:HVW1LOHYLUXVLQIHFWHGKDPVWHUPRGHO96,''+$57+$1
+:$1*-'0255(<8WDK6WDWH8QLY
-
5HJXODWLRQRI'DPLQRDFLGR[LGDVHDV
DSRWHQWLDOWKHUDSHXWLFWDUJHWIRUPRWRUQHXURQGLVHDVH-
6$6$%(068=8.,6$,62.HLR8QLY6FKRI0HG
.
3<0DQRYHOQHXURWURSKLF
IDFWRUPRGXODWRUSURGXFHVEHQH¿FLDOHIIHFWVLQWKUHHPRXVH
PRGHOVRIDP\RWURSKLFODWHUDOVFOHURVLV3$+2:621&
/:$5''*.$<-09$1.$03(15,+,&./,1*
3K\WRSKDUP3OF1HXURG\Q,QF
.
(QKDQFLQJWKHXQIROGHGSURWHLQUHVSRQVH
DPHOLRUDWHVGLVHDVHLQDPRXVHPRGHORIPXWDQW62'
LQGXFHG$/6/:$1*535226%323.28QLY
&KLFDJR8QLY&KLFDJR
-
,QWUDWKHFDOWUDQVSODQWDWLRQRIKXPDQVWHP
FHOOVLQWUDQVJHQLF$P\RWURSKLF/DWHUDO6FOHURVLVPRXVH
PRGHO&-$/9(6*'(2/,9(,5$7'82%/(6-
0$;,0,126%<'/2:6.,*&+$',8QLYRI6mR3DXOR
6FKRI0HG8QLYRI6mR3DXOR6FKRI0HG
-
$/6DVVRFLDWHGSHULSKHULQLVRIRUPVVKRZ
G\QDPLFLQFOXVLRQPRUSKRORJ\LQYLWUR-50&/($13-
+$//(777026%251*$60,7+7%%52:17)
6/$:6216,=(11'0$=$5$.,6-52%(57621
2,6$&621+DUYDUG0HG6FK,PSHULDO&RO/RQGRQ
+DPPHUVPLWK+RVS8QLYRI7RURQWR
.
6ORZLQJGLVHDVHSURJUHVVLRQLQWKH62'
PRXVHPRGHORI$/6E\EORFNLQJQHXUHJXOLQ)621*-
/,8-5$9,76-/2(%:D\QH6WDWH8QLY8&6'
.
S$TXDQWLWDWLYHDVVHVVPHQWRI
SDWKRSK\VLRORJLFDOD[RQDOPRWRUFDUJRWUDI¿F(5&52)7
-7),*$1%$80&60,7&+(//*HRUJLD,QVWRI
7HFKQRO
.
,GHQWL¿FDWLRQRI$P\RWURSKLF/DWHUDO
6FOHURVLVSURJQRVWLFDQGWKHUDSHXWLFFOLQLFDOSUHGLFWRUV&
60,7&+(//-'*/$665+/((*HRUJLD,QVWRI
7HFKQRO(PRU\8QLY(PRU\8QLY
.
(OHFWURDFXSXQFWXUHUHGXFHVWKH
H[SUHVVLRQRISURLQÀDPPDWRU\SURWHLQLQV\PSWRPDWLF
DP\RWURSKLFODWHUDOVFOHURVLVPRGHO(<$1*./((-
-,$1*6/((6&+2,.RUHD,QVWRI2ULHQWDO0HG
3267(5
7'3$QLPDODQG&HOO&XOWXUH0RGHOV
.
'HYHORSLQJDWKHUDSHXWLFPRGHOIRU
7$5'%3PXWDWLRQVLQDP\RWURSKLFODWHUDOVFOHURVLV$/6
XVLQJ]HEUD¿VK$/,6628%$0/,$2&0$,26
1&+$03$*1((.$%$6+,3'5$3($88QLY'H
0RQWUHDO,QVWGXFHUYHDXHWGHODPRHOOHHSLQLHUH
.
$VWURF\WHVH[SUHVVLQJWKHKXPDQ
7'3$7WUDQVJHQHDUHQRWWR[LFWRZLOGW\SHPRWRU
QHXURQV$0+$,'(73+,//,367:,//,$066.
*5266$787(-$$6+(50$10.2$6.,01-
0$5$*$.,6-RKQV+RSNLQV8QLY
.
&RQIRFDOPLFURVFRS\DQDO\VLVRIDOWHUHG
7'3H[SUHVVLRQLQSHULSKHUDOEORRGO\PSKRF\WHVIURP
$/6SDWLHQWV-028*(276*+26+$(35,&($
/87,15+(0(1',1*(5(-$5067521*,,,UG3
58662%5%522.6&DUROLQDV0HG&WU&DUROLQDV
1HXURPXVFXODU$/60'$&WU&DUROLQDV0HG&WU&DQQRQ
5HV&WU&DUROLQDV0HG&WU&DUROLQDV1HXURPXVFXODU
$/60'$&WU
.
3URWHFWLRQIURPQHXURPXVFXODU
G\VIXQFWLRQLQDJHQHWLFPRGHORI7'3PXWDWLRQLQ$/6
*$$5067521*3'5$3($88QLYRI0RQWUHDO
.
/RVVDQGJDLQRIIXQFWLRQGLVHDVHFHOO
PRGHOVWRLQYHVWLJDWH7'3SURWHLQRSDWK\(21(672
&&2/20%5,7$(%85$77,96,/$1,)(%$5$//(
$5$77,,5&&6,QVW$X[RORJLFR,WDOLDQR,QWO&WUIRU
*HQHW(QJLQDQG%LRWHFK,&*(%8QLYGHJOL6WXGLGL
0LODQR³'LQR)HUUDUL´&WU
.
3URSDJDWLRQRI7'3LQQRQ
KXPDQSULPDWHPRGHORI$/607$-,5,72+.8%21
.,085$&.$:$.$0,67(5$2.$78&+,+$5$
+0,=86$:$7<2.27$7RN\R0HGDQG'HQW8QLY
7VXNXED3ULPDWH5HV&WU7RN\R0HWURSROLWDQ,QVWIRU
1HXURVFL
.
*HQHUDWLRQPRWRUQHXURQVWKURXJK
SDWLHQWVSHFL¿FL36&VZLWKPXWDQW7'31(*$:$
.768.,7$.7$.$+$6+,.2.,7$.<26+,.$:$
6<$0$:$.,01$,72+668=8.,.2.$0272+
7$.80$$7$0$2.$71$.$+$7$57$.$+$6+,6
<$0$1$.$+,128(&L5$.\RWR8QLY*UDG6FKRI
0HGLFLQH8QLYRI.\RWR'HSWRI1HXURORJ\8QLYRI*XQPD
'HSWRI1HXURORJ\8QLYRI7VXNXED
/
,GHQWL¿FDWLRQRIDFRPSRXQGWKDW
LQKLELWV7'3LQGXFHGQHXURGHJHQHUDWLRQ$(%$7$
0)(,/(5+/,-3/(($50$1'7-%2<'0/,8
1)/,$&+.2%&.5$(0(5--&2//,160$
*/,&.60$1%/:2/2=,1%RVWRQ8QLY6FKRI0HG
%RVWRQ8QLY6FKRI0HG:\VV,QVWIRU%LRORJLFDOO\
,QVSLUHG(QJLQHHULQJ+DUYDUG8QLY/DEIRU'UXJ'LVFRYHU\
LQ1HXURGHJHQHUDWLRQ+DUYDUG1HXUR'LVFRYHU\&HQWHU
%ULJKDPDQG:RPHQ¶V+RVSDQG+DUYDUG0HG6FK
*HULDWULFV5HV(GXFDQG&OLQ&HQWHU9HWHUDQV$IIDLUV
3XJHW6RXQG+OWK&DUH6\VW8QLYRI:DVKLQJWRQ%RVWRQ
8QLY%RVWRQ8QLY6FKRI0HG
/
*DVWURLQWHVWLQDOFRPSOLFDWLRQVLQSUS
K7'3$7WUDQVJHQLFPRXVHPRGHORIDP\RWURSKLF
ODWHUDOVFOHURVLV0.,$(,0$(60$(,/,6<$'$9/
-+(11,1*68QLYRI$UNDQVDVIRU0HG6FL7KH8QLYRI
$UNDQVDVIRU0HG6FL7KH8QLYRI$UNDQVDVIRU0HG6FL
/
7KH$/6GLVHDVHSURWHLQ7'3LV
DFWLYHO\WUDQVSRUWHGLQPRWRUQHXURQD[RQVDQGUHJXODWHV
D[RQRXWJURZWK&)$//,1,*-%$66(//:
52662//(PRU\8QLY
/
&RPELQHGDGHQRYLUDOH[SUHVVLRQ
RI7'3DQG)86JHQHVZLWKVK51$VIRUSURWHRO\WLF
SDWKZD\VHQKDQFHVF\WRSODVPLFDJJUHJDWHIRUPDWLRQLQ
URGHQWPRWRQHXURQVLQYLWURDQGLQYLYR.:$7$%(.
$.,<$0$(.$:$.$0,+<$1$*,6$:$.6$1*20
768.$02727RN\R0HWURSROLWDQ,QVWRI0HG6FL
/
&RGRQRSWLPL]HGSKHQRW\SHVIRUJDLQ
RIIXQFWLRQDQDO\VLVRIZLOGW\SH7'37<868))'.
&+2.6,6&+$77(5-((%52<66$0%(*$2.$5
5.$<('*5-$&.621870%8QLY7H[DV0HG%U
/
$/6OLQNHGPXWDWLRQVLQ7'3
DEHUUDQWO\DOWHUWKHPRUSKRORJ\DQGWUDI¿FNLQJRI7'3
HQULFKHGQHXURQDO51$JUDQXOHV//,8<(68&(9,7=.
/.2%5,1%:2/2=,1%RVWRQ8QLY6FKRI0HG
/
$QDO\VLVRIGLHWDU\FRPSRVLWLRQRQWKH
SKHQRW\SHRIWUDQVJHQLF7'3PLFHZLWKSURJUHVVLYH
PRWRUZHDNQHVV1567$//,1*6.3877$3$57+,-
/(//,277876RXWKZHVWHUQ0HG&WU
/
6SOLFLQJHYHQWVDQGWUDQVFULSWRPH
FKDQJHVXSRQ7'3DQG)86NQRFNGRZQLQKXPDQ
QHXUREODVWRPDFHOOV&&2/20%5,7$(21(672(
%85$77,$3,==87,96,/$1,)(%$5$//($5$77,
,5&&6,QVW$X[RORJLFR,WDOLDQR,QWO&WUIRU*HQHW(QJLQ
DQG%LRWHFK,&*(%8QLYRI5RPH,QVWRI1HXURO8QLY
RI0LODQ³'LQR)HUUDUL´&WU
.
5HJXODWLRQRIQXFOHDU7'3E\15$
FRQWDLQLQJ10'$UHFHSWRUDQGSKRVSKDWDVH37(14
:$10=+(1*')$10/,$28QLY1HYDGD6FK
0HG3HNLQJ8QLY7KLUG+RVS
/
1RQKXPDQSULPDWHPRGHORI$/6ZLWK
F\WRSODVPLFPLVORFDOL]DLRQRI7'372+.8%2+
6$6$*85,07$-,5,1.,085$)2127+,5$,0
(12027278&+,+$5$+0,=86$:$7<2.27$
7RN\R0HGDQG'HQW8QLY7VXNXED3ULPDWH5HV&HQWHU
1DWO,QVWRI%LRPHG,QQRYDWLRQ&RUSIRU3URGXFWLRQDQG
5HVRI/DE3ULPDWHV7RN\R0HGDQG'HQW8QLY/DERI
6WUXFWXUDO1HXURSDWKRORJ\7RN\R0HWURSROLWDQ,QVWRI0HG
6FL
S
/
/RVVRIIXQFWLRQHIIHFWRI7'3FDXVH
WKHPRWRUQHXURQGHIHFW/:8:&+(1*0DOH&-
6+(10DOH5RRP1,QVWRI0RO%LRORJ\$FDGHPLD
6LQLFD,QVWRI0RO%LRO
/
6\QDSWLFSODVWLFLW\DQGPHPRU\LQ
WUDQVJHQLFPLFHRYHUH[SUHVVLQJ5&$1+:21*%$
527+(50(/(./$11&$+2())(51HZ<RUN8QLY
876RXWKZHVWHUQ0HG&WU1<86FKRI0HG
/
7KHUROHRI75$)RQ7'3LQ$/6
PRGHOPLFH-1&+$1*%$&,7521%D\3LQHV9$
+HDOWKFDUH6\VW8QLYRI6RXWK)ORULGD&RORI0HG
0
0RGHOLQJQHXURQDVWURF\WHLQWHUDFWLRQV
LQ'RZQ6\QGURPHXVLQJKXPDQLQGXFHGSOXULSRWHQWVWHP
FHOOV&&+(13-,$1*</,8:'(1*8QLYRI
&DOLIRUQLD'DYLV8QLYRI7H[DV
/
&OLQLFDOSKHQRW\SHDQGSUHPDWXUH
OHWKDOLW\LQDWUDQVJHQLF7'3PRXVHPRGHOLVHVWURJHQ
GHSHQGHQW7/$(8)(50$55$6-75$&<&)
9$/25,6$%'(/$=,=51$80$1101(80$11
,QVWRI1HXURSDWKRORJ\8QLY+RVS=XULFK'LYRI6XUJLFDO
5HVHDUFK8QLYRI=XULFK0D[3ODQFN,QVWLWXWHRI0RO&HOO
%LRODQG*HQHW
/
(QGRJHQRXV7'3EXWQRW)86
FRQWULEXWHVWRVWUHVVJUDQXOHDVVHPEO\YLD*%3$$8/$6
667$%,/(&9$1'(9(/'(8QLYGH0RQWUHDO
/
/RVVRI7GSLQVNHOHWDOPXVFOHLV
VXI¿FLHQWWRFDXVHDP\RSDWK\DQGFDQWULJJHUHDUO\GHDWK
6/,1-RKQV+RSNLQV8QLY
/
3URJUDQXOLQGH¿FLHQF\FDXVHV7'3
PLVORFDOL]DWLRQDQGQHXURQGHDWKLQWKHUHWLQD0(:$5'
$7$8%(6%0,//(5-*(/)$1'/+(5/59
)$5(6(/*$1$*5((1*ODGVWRQH,QVWRI1HXURORJ
'LV8&6)*ODGVWRQH,QVW
3267(5
'RZQ6\QGURPH
/
$OWHUHGLQWULQVLFDQGQHWZRUNSURSHUWLHV
RIQHRFRUWLFDOQHXURQVLQWKH7V'QPRXVHPRGHORI'RZQ
V\QGURPH1&5$0(5=*$/'=,&.,'HSWRI$QDW
3K\VLRO*HQHWLFV620868+6
/
0DWHUQDOFKROLQHVXSSOHPHQWDWLRQ
LPSURYHVVSDWLDOOHDUQLQJDQGLQFUHDVHVDGXOWKLSSRFDPSDO
QHXURJHQHVLVLQWKH7V'QPRXVHPRGHORI'RZQ
V\QGURPH59(/$=48(=-$$6+%(32:(56
&0.(//(<0675$:'(50$16'*,16%(5*
(-08)621%-675833&RUQHOO8QLY&RUQHOO8QLY
5XVK8QLY0HG&WU1DWKDQ.OLQH,QVWLWXWH1HZ<RUN8QLY
/DQJRQH0HG&WU
/
7ULVRP\IRU6\QDSWRMDQLQLQ'RZQ
V\QGURPHLVIXQFWLRQDOO\OLQNHGWRWKHHQODUJHPHQWRIHDUO\
HQGRVRPHVWKH¿UVWPRUSKRORJLFDOFKDQJHREVHUYHGLQ
$O]KHLPHU¶VGLVHDVHEUDLQV0327,(5-&266(&
-/$9$85'(%(50$1,5,9$/6$+2,6&+(1
66725$&5,32//&0,5&+(5<*5$77$8-
2/,920$5,1)'(&+$802170/(&28572,6
6($1721$5$.,6-$9(/70$1-0'(/$%$5
&'8<&.$(576*',3$2/2&5,&0830&,QVHUP
8056&1568057DXE,QVWIRU5HVRQ
$O]KHLPHU¶V'LVDQG7KH$JLQJ%UDLQ(63&,5DGERXG
8QLY,QVW-pU{PH/HMHXQH8QLY3DULV'LGHURW,QVW
3DVWHXU,16(5088QLYRI*HQHYD
S
0
(OHFWURQPLFURVFRS\VWXG\RIV\QDSVHV
DQGPLWRFKRQGULDLQWKHKLSSRFDPSXVDQGFRUWH[LQWKHWULSOH
WULVRPLFPRXVHPRGHORI'RZQV\QGURPH6667(3$129
9$$.8/,1,1$0./(6&+(91,.29$%(&.(50
&$721(0$6/,$+<<<839%(/,&+(1.22PVN
6WDWH0HG$FDG8&6'5RVZHOO3DUN&DQFHU,QVW
0
0DWHUQDOFKROLQHVXSSOHPHQWDWLRQ
LPSURYHVFRJQLWLYHIXQFWLRQLQWKH7V'QPRXVHPRGHO
RI'RZQV\QGURPH&RUUHODWLRQVEHWZHHQEDVDOIRUHEUDLQ
FKROLQHUJLFQHXURQVDQGSHUIRUPDQFH%(32:(56-$
$6+59(/$=48(=&0.(//(<0675$:'(50$1
0$//'5('6'*,16%(5*(-08)621%-
675833&RUQHOO8QLY5XVK8QLY0HG&WU1DWKDQ.OLQH
,QVWLWXWH1HZ<RUN8QLY/DQJRQH0HG&WU
0
'HFUHDVHGSURWHLQGHJUDGDWLRQ
LQDFHOOOLQHGHULYHGIURPWKHWULVRP\7VPRXVH
FHUHEUDOFRUWH[DQDQLPDOPRGHORI'RZQ6\QGURPH
&)$55,$*$'$35$0Ï1&7$3,$66,/9$6
*87,e55(=5&$9,('(63&$9,('(6,&%0)DF
0HG8QLY&KLOH
0
S.QRFNGRZQRI5FDQLQFUHDVHV
WKHOHYHOVRI9D&K7DQG&+7SURWHLQVLQFHOOOLQHVGHULYHG
IURPWKHFHUHEUDOFRUWH[RID7VPRXVHDPRGHORI'RZQ
V\QGURPH-$125,(*$0$&8f$53(5(=18f(=
$&$5'(1$6-6(*85$$*8,/$53/2&.0$1
5&$9,('(63&$9,('(68QLYRI&KLOH8QLYRI
9DOSDUDtVR778+6&
0
7KHHIIHFWRIWULVRPLF+VDJHQHVRQ
D[RQDOWUDQVSRUWDQGQHXURQDOPRUSKRORJ\LQPRXVHPRGHOV
RI'RZQV\QGURPH$583$5(/,$0/3($51&:8
*6&+,$929/-7<%8/(:,&=(0&),6+(5:
&02%/(<,QVWRI1HXURO8QLYRI&DOLIRUQLD8QLYRI
&DOLIRUQLD&DQFHU5HV8./RQGRQ5HV,QVW05&1DWO
,QVWIRU0HG5HV
0
,PSURYLQJQRUDGUHQHUJLFVLJQDOLQJLQ
WKHWUHDWPHQWRIFRJQLWLYHG\VIXQFWLRQLQWKHWVGQPRXVH
PRGHORIGRZQV\QGURPH9'$1*.0$57,16
02*+$'$0%0(',1$%/,1'3$7(/$6$/(+,
9$3DOR$OWR+OWK&DUH6\VW
0
7KHLGHQWL¿FDWLRQRIGLVUXSWHGPROHFXODU
QHWZRUNVLQYROYHGLQEUDLQPDWXUDWLRQDQGIXQFWLRQLQWKH
7V&MHPRXVHPRGHORI'RZQ6\QGURPH3&+($+&
+(:,77./,1*.7$1.6,03621/+<'(*
60<7+77+20$6+66&2778QLY3XWUD0DOD\VLD
3DWKRORJ\'HSDUWPHQW7KH3HWHU0DF&DOOXP&DQFHU&WU
8QLY3XWUD0DOD\VLD7KH:DOWHUDQG(OL]D+DOO,QVWRI0HG
5HV'HSWRI0RO3DWKRORJ\7KH,QVWRI0HGDQG9HW6FL
DQG7KH+DQVRQ,QVW
/
,QYHVWLJDWLQJWKHIXQFWLRQDOUROHRI
7'3PXWDWLRQVLQKXPDQLQGXFHGSOXULSRWHQWVWHP
FHOOVGHULYHGPRWRUQHXURQV5087,+$&-$/(*5(
$%$55$7(*8,0<$0$6$.,0$116&2:/(<:
-$0(6.7$/%275:$'(0$57,168QLYRI2[IRUG
8QLYRI2[IRUG8QLYRI2[IRUG
0
%UDLQGHIHFWVLQDPRXVHPRGHORI'RZQ
6\QGURPH-2/0266(55$12:$7</(513
&5$0(5&6(7+$5(6$3(7(56=*$/'=,&.,7)
+$<'$5%RVWRQ8QLY6FKRI0HG%RVWRQ8QLY6FKRI
0HG868+66FKRI0HG
0
([FLWDWLRQ,QKLELWLRQEDODQFHDQGOHDUQLQJ
DUHPRGL¿HGE\'\UNDJHQHGRVHDQG(*&*WUHDWPHQW
-'(/$%$5)*8('-%628&+(7,6$+816
/8,/,(5$'8&+21(3$/<1-$1(/-%,=27<
+(5$8/70$5%21(60',(566(11&5($8%)$
8QLY3DULV'LGHURW&WU*HQRPLF5HJXODWLRQ.H\2EV/DE
,&6,*%0&,%0%
3267(5
(SLOHSV$SLOHSWRJHQHVLV
0
1HXURSURWHFWLYHPHFKDQLVPVLQWHPSRUDO
OREHHSLOHSV\$SURWHRPLFVWXG\8:<1(.(1)
*25',//2$&$9,('(606$1'29$/$/8$57(.
60$//$7.$(+1(8QLY'H/RV$QGHV/HLEQL],QVWIRU
1HXURELR
0
%ORRGEUDLQEDUULHUGLVUXSWLRQIROORZLQJ
H[SHULPHQWDOIHEULOHVWDWXVHSLOHSWLFXV.33$77(5621
&0'8%(7=%$5$08QLYRI&DOLIRUQLD,UYLQH8QLY
RI&DOLIRUQLD,UYLQH8QLYRI&DOLIRUQLD,UYLQH
0
%UDG\NLQLQ%UHFHSWRUVLQFUHDVH
KLSSRFDPSDOH[FLWDELOLW\DQGVXVFHSWLELOLW\WRVHL]XUHVLQ
PLFH$%,1$6&+,'52',$%8==,0%$5%,(5,6
=8&&+,1,*9(5/(1*,$$%26&+,5&28785(%
21*$/,06,021$72'HSWRI&OLQDQG([SWO0HGLFLQH
6HFWLRQRI3KDUPDFRO1DWO,QVWRI1HXURVFL7HFQRSROR
GL)HUUDUD/DESHUOH7HFQRORJLHGHOOH7HUDSLH$YDQ]DWH
/77$'HSWRI6XUJHU\$QHVWKHVLRODQG5DGLRORJ\
6HFWLRQRI1XFOHDU0HG8QLYRI)HUUDUD'HSWRI
3K\VLRORJ$DFRI0HGLFLQH8QLYGH0RQWUpDO
0
$FWLYLW\GHSHQGHQWSODVWLFLW\DWWKHD[RQ
LQLWLDOVHJPHQWLQDQLPDOPRGHOVRIJHQHWLFDQGDFTXLUHG
HSLOHSV\5&+$57<7.,0/&$5'$021((
7+20$61-21(663(75289:,00(5)ORUH\
1HXURVFL,QVW5R\DO0HOERXUQH+RVS
0
$GLSRVHWLVVXHGHULYHGPHVHQFK\PDO
VWHPFHOOVHQJUDIWPHQWGLPLQLVKHVWKHUROOLQJDQGDGKHVLRQ
SURFHVVRIOHXNRF\WHVLQDQH[SHULPHQWDOPRGHORIHSLOHSV\
*+5(=(1'(2&2/,0$$&32/,9(,5$30
*8,',1(-&7$9$5(60)'025$(68QLY)HGHUDO
'H0LQDV*HUDLV
0
,QWHUQHXURQV\QDSVHFKDQJHVLQ
WKHSLULIRUPFRUWH[DIWHUNLQGOLQJLQGXFHGVHL]XUHV(-
32//2&.02328/7(55REDUWV5HV,QVW8QLYRI
:HVWHUQ2QWDULR
0
0H&3SKRVSKRU\ODWLRQDW6HU
FDQEHPHGLDWHGYLD&DSHUPHDEOH$03$UHFHSWRUV
GXULQJµFULWLFDOSHULRG¶LQGHYHORSLQJEUDLQDQGQHRQDWDO
VHL]XUHVOHDGWRHQKDQFHG0H&SSKRVSKRU\ODWLRQ6
15$.+$'((526(1%(5*-/,330$1%(//&
+,/$5,2*20(=)-(16(1&KLOGUHQ¶V+RVS+DUYDUG
0HG6F
0
,QÀDPPDWRU\DQGQHXURSODVWLFFKDQJHV
LQWKHKLSSRFDPSXVKRXUVDIWHUODWHUDOÀXLGSHUFXVVLRQ
LQMXU\/$6+$3,520-58&+608.+(5-((6
=(,7281,7H[DV$08QLY&206FRWWDQG:KLWH+RVS
&HQWUDO7H[DV9HWHUDQV+OWK&DUH6\VW7H[DV$0+OWK
6FL&WU&RORI0HG6FRWWDQG:KLWH+RVS
0
)OXLGSHUFXVVLRQLQMXU\LQFUHDVHVVHL]XUH
VXVFHSWLELOLW\LQ&%OPLFH608.+(5-((0-
58&+6=(,7281,/$6+$3,526FRWWDQG:KLWH
+RVS&HQWUDO7H[DV9HWHUDQV+OWK6\VW7H[DV$0+OWK
6FL&HQWHU&RORI0HG
1
+HLJKWHQHGP*OX5(UNVLJQDOLQJGULYHV
DEHUUDQWSODVWLFLW\DQGHSLOHSWLIRUPDFWLYLW\LQDPRXVHPRGHO
RI7XEHURXV6FOHURVLV:3277(5$652235$$
.,5&+1(53587(&.,&%85*(5.-2¶5,25'$1
8QLYRI:LVFRQVLQ0DGLVRQ8QLYRI:LVFRQVLQ0DGLVRQ
8QLYRI:LVFRQVLQ0DGLVRQ:LOOLDP0LGGOHWRQ0HP9$
+RVS
1
&RQVHTXHQFHVRIODWHUDOSRVWHULRU
QXFOHXVRIWKHWKDODPXVOHVLRQWRHSLOHSV\(<6212'$
50&<61(,526)$6&25=$)HGHUDO8QLYRI6DR
3DXOR8QLY3UHVELWHULDQD0DFNHQ]LH
1
(SLOHSWRJHQHVLVIROORZLQJDFWLYLW\
GHSULYDWLRQLQWKHGHYHORSLQJQHRFRUWH[37$1(-$1'
<(+,(/<6%1(/621%UDQGHLV8QLY
1
$OWHUHGGLDORJXHEHWZHHQWKH
KLSSRFDPSXVDQGWKHHQWRUKLQDOFRUWH[GXULQJ
HSLOHSWRJHQHVLV/$&+$89,(5()%$572/20(,&
%(51$5'1HZ<RUN8QLY,16(508
1
S
3UHYHQWLRQRIFRJQLWLYHGH¿FLWV
DVVRFLDWHGZLWKWHPSRUDOOREHHSLOHSV\ZLWKKLVWRQH
GHDFHW\ODVHLQKLELWRUV666,<28&()6-+$**$57<
-%581(/&%(51$5',16(508+DUYDUG
0HG6FK&WUGH5HFKHUFKHHQ&DQFpURORJLHGH0DUVHLOOH
&5&0
1
$FXWHPRUSKRORJLFDOFKDQJHVLQNLQGOHG
PLFH636,1*+;+(-0&1$0$5$6&'$1=(5
&LQFLQQDWL&KLOGUHQV+RVS'XNH8QLY0HG&WU&LQFLQQDWL
&KLOGUHQ¶V+RVS0HG&WU
1
&RQWULEXWLRQRI003WR
SHQW\OHQHWHWUD]ROHLQGXFHGNLQGOHGVHL]XUHE\FRQYHUWLQJ
SUR%'1)WRPDWXUH%'1)+0,=2*8&+,-6$720
6$:$'$71$%(6+,0$.<$0$'$1DJR\D8QLY
1DJR\D8QLY0HLMR8QLY1DJR\D8QLY*UDG6FK0HG
1
S
8SUHJXODWLRQRIPDWUL[H[WUDFHOOXODU
SURWHLQ7HQDVFLQ&DQG7UDQVIRUPLQJJURZWKIDFWRUEHWD
LQKLSSRFDPSXVGXULQJHSLOHSWRJHQHVLVLQDWHPSRUDO
OREHHSLOHSV\PRGHO-/$1'*5$9(*Ñ0(=2)
0(5&$'2*20(=96$55,$*$$9,/$$1(%5('$
&2521$5*8(9$5$*8=0$1)DFXOWDGGH&LHQFLDV
81$0)DFXOWDGGH0HGLFLQD81$0
1
3RVWWUDXPDWLFVHL]XUHVDQGHSLOHSV\LQ
DGXOWUDWVDIWHUFRQWUROOHGFRUWLFDOLPSDFW(50,//(5
($.+$5/$029=07&+('/,6+9,/,.0.(//<
$OOHJKHQ\6LQJHU5HV,QVW'UH[HO8QLY&RORI0HG
'UH[HO8QLY&RORI0HG
0
)XQFWLRQDODQGVWUXFWXUDOSURSHUWLHVRI
GHQWDWHJUDQXOHFHOOVZLWKKLODUEDVDOGHQGULWHVLQPRXVH
HQWRUKLQRKLSSRFDPSDOVOLFHFXOWXUHV'%(&.(5/
:,//(06091(1&$.3-('/,&.$1=$+1*
6&+8/'710$**,27'(//(5$9/$&+26,QVWRI
&OLQ1HXURDQDWRP\1HXURVFL&HQWHU*RHWKH8QLYHUVLW\
7DOSLRW0HG/HDGHUVKLS3URJUDP'HSWRI1HXURODQG-
6DJRO1HXURVFL&WU
1
S
0RGXODWLRQRIGHQWDWHJUDQXOHFHOO
DFWLYLW\E\VORZFRUWLFDORVFLOODWLRQVLQDQDQLPDOPRGHORI
WHPSRUDOOREHHSLOHSV\':28('5$2*23/(1&.
6$17,1,9&5(3(/-(36=7(,1,10(''DUWPRXWK
0HG6FK
S
1
%LRFKHPLFDODQGHOHFWURSK\VLRORJLFDO
FKDUDFWHUL]DWLRQRIWHWDQXVQHXURWR[LQLQGXFHGHSLOHSV\
LQPRXVHYLVXDOFRUWH[LQYLYR03,(75$6$17$0
0$,1$5',(9$11,1,/5(67$1,25266(7720
&$/(26FXROD1RUPDOH6XSHULRUH&151HXURVFL,QVW
8QLYGL3DGRYD
1
1HXURLPDJLQJPDUNHUVIRU
HSLOHSWRJHQHVLVLQSLORFDUSLQHLQGXFHGUDWHSLOHSV\PRGHO+
:/((+.,06.,0<-22-2+<.,0=&+26
/((6-81(ZKD:RPDQV8QLY6FK0HG'HSWRI0HG
6FLHQFH1HXURVFL5HV,QVW(ZKD:RPDQV8QLY
1
$EHUUDQWKLSSRFDPSDOJUDQXOHFHOO
QXPEHULVFRUUHODWHGZLWKVHL]XUHIUHTXHQF\DQGGXUDWLRQ
06+(67(553816'$1=(5&LQFLQQDWL&KLOGUHQ¶V
0HG&WU
1
$PXOWLYDULDWH%D\HVLDQPRGHOWR
VWXG\LFWDOEUDLQG\QDPLFVLQGUXJUHVLVWDQWHSLOHSV\6
6$17$1,(//263%8516696$50$-2+16
+23.,1681,9(56,7<
2
7KHHIIHFWRIDGYDQFHGJO\FDWLRQHQG
SURGXFWVRQEORRGEUDLQEDUULHU)6+,0,=8<6$12+
+$58.,7.$1'$<DPDJXFKL8QLY*UDG
2
,GHQWL¿FDWLRQRIOLSRFDOLQDVD3.&b
SKRVSKRU\ODWLRQVXEVWUDWHLQVWURNHUHSHUIXVLRQLQMXU\:
&+28<:(1**:$1*-':+$/(<9.80$5
.6+2.$7520(66,1*.HQW6WDWH8QLY.HQW6WDWH
8QLY(UQHVW*DOOR&OLQDQG5HV&HQWHU8QLYRI&DOLIRUQLD
6DQ)UDQFLVFR+RZDUG+XJKHV0HG,QVWLWXWH8QLYRI
2
1HXUDOVWHPFHOOUHJXODWHGPLFUR51$V
DIIHFWHQGRWKHOLDOPRUSKRJHQHVLVDQGDQJLRJHQHVLV7
52,7%$.2%5$*,1$'%5$*,1-/3$',//$**
3,&.(778QLY1HZ0H[LFR
2
&KDUDFWHUL]DWLRQDQGPHFKDQLVPVRI
HDUO\LVFKHPLFWROHUDQFHLQGXFHGE\ELODWHUDOFRPPRQFDURWLG
DUWHU\RFFOXVLRQ$.81=/-63((7=(10(1'5(6
&KDULWH8QLY+RVSLWDO([SHULPHQWDO1HXURO
1
([SORULQJWKHVHL]XUHQHWZRUNLQDQRYHO
DQLPDOPRGHORIWHPSRUDOOREHHSLOHSV\5'+$+(5+
:$1*&+$/'(0$1$9%80$1*/$*+3=$9(5,
7(,'<DOH8QLY<DOH8QLY<DOH8QLY
2
,QYROYHPHQWRI&GFLQQHXURQDOGHDWK
PHGLDWHGE\LVFKHPLFLQMXU\*2,<,5+,$52&(67(<
6&$//$*+$1<=+$1*0-'85,1*566/$&.
'63$5.2WWDZD+OWK5HV,QVW1HXURVFL2KLR6WDWH
8QLY
1
$QDWRPLFDODQGSK\VLRORJLFDOFKDQJHVLQ
WKHFRUWH[RIUDWVIROORZLQJSHULQDWDOK\SR[LFLVFKHPLFLQVXOW
-63$03$1$72-'%$67$5)('8'(.8QLYRI
8WDK
2
0RGL¿FDWLRQRIPHGLDSUHIURQWDOFRUWH[
KHSDWRSRLHWLQFQLQVWURNHUHFRYHU\LPSURYHGE\SUH
LVFKHPLDUXQQLQJ;=+$1*+/,8-=+28./,8
&DSLWDO8QLYRI3K\VLFDO(GXFDQG6SRUWV
3267(5
2
7KHWHPSRUDOH[SUHVVLRQRI63$5&
JO\FRSURWHLQZLWKDSHUPDQHQW0&$2LQQHRQDWDOUDWSXSV
6-+,//)(/%(5*6;8'-&$5(<6$7206
($(&.0$1*HLVLQJHU+OWK6\VWHPV$WODQWLF+OWK
6\VWHPV*HLVLQJHU+OWK6\VWHPV*HLVLQJHU+OWK6\VWHPV
,VFKHPLD0ROHFXODU0HFKDQLVPV,,
1
&DOSDLQFOHDYHVPHWKLRQLQH
DPLQRSHSWLGDVHLQDUDWPRGHORILVFKHPLD7
&/,1.,1%($5'6*+26+$/6&5$''2&./
3(77,*5(:53*8770$118QLYRI.HQWXFN\8QLYRI
.HQWXFN\8QLYRI.HQWXFN\8QLYRI:HVW)ORULGD
1
(SVLORQ3.&PHGLDWHVWUDQVORFDWLRQ
RI6,57WRWKHPLWRFKRQGULDIROORZLQJLVFKHPLF
SUHFRQGLWLRQLQJ-:7+203621.5'$9(.&
0255,6%/$1&2,6$8/0$3(5(=3,1=218QLYRI
0LDPL0LOOHU6FKRI0HG
1
2[\JHQJOXFRVHGHSULYDWLRQUHSHUIXVLRQ
WULJJHUHGLQFUHDVHLQJOXUVHUSKRVSKRU\ODWLRQLQYROYHV
QDGSKR[LGDVH1%<51(6567&/$,53%(6.('
-$&.6218QLYRI0RQWDQD0LVVRXOD07
2
)&&3LQGXFHVLQWUDFHOOXODU=QUHOHDVH
E\DIIHFWLQJS+UDWKHUWKDQGHSRODUL]LQJPLWRFKRQGULD/
.,('52:6.,8QLY,OOLQRLV$W&KLFDJR
2
5ROHRIFRÀLQDQDFWLQF\WRVNHOHWDO
SURWHLQLQLVFKHPLFFRQGLWLRQV$0$',1(1,=$6+$+
8QLYRI7ROHGR+OWK6FL&DPSXV
S
2
6UFIDPLO\NLQDVHVPHGLDWHSDQQH[LQ
DFWLYDWLRQGXULQJWKHDQR[LFGHSRODUL]DWLRQ1/
:(,/,1*(53/7$1*5-7+203621+RWFKNLVV
%UDLQ,QVW8QLYRI&DOJDU\+RWFKNLVV%UDLQ,QVW8QLYRI
&DOJDU\
2
+\GURJHQVXO¿GHPLWLJDWHVFHUHEUR
YDVFXODUUHPRGHOLQJGXULQJFHUHEUDOLVFKHPLD17<$*,1
4,36+,'=(11$5$<$1$16*,99,0$1,6&7<$*,
6FKRI0HGLFLQH8QLYHUVLW\RI/RXLVYLOOH8QLYRI/RXLVYLOOH
2
1HXURQDOJOXWDWKLRQHGHSOHWLRQLVERWK
DFDXVHDQGDQHIIHFWRIR[LGDWLYHVWUHVVLQLVFKHPLD
UHSHUIXVLRQ6:215$6:$16218&6)DQG
6)9$0&
2
&KLPDHULQLQKLELWVD[RQDOVSURXWLQJ
LQWKHVRPDWRVHQVRU\FRUWH[RIWKHPRXVHDIWHUVWURNH6
/,/6,8.:$1*$%5800--29(50$167
&$50,&+$(/8&/$
2
S
'\VUHJXODWLRQRIFWHUPLQXVRI
KHDWVKRFNFRJQDWHLQWHUDFWLQJSURWHLQ&+,3UHVXOWV
LQDQDWRPLFDOEHKDYLRUDODQGFHOOXODULPSDLUPHQWV
$&.$/(0$%8(1',$736$%25,'2$0
3$/8%,16.<-167$1.2:6.,*'67$1:22'%
0&/$8*+/,19DQGHUELOW8QLY6FKRI0HG9DQGHUELOW
8QLY6FKRI0HG9DQGHUELOW8QLY6FKRI0HG
1
,QFUHDVHGQHXURJHQHVLVLQQRQOHVLRQDO
H[SHULPHQWDOWHPSRUDOOREHHSLOHSV\-*-())(5<63
-,586.$$%<6+7$<$'06%2'$16.<:3
*5$<8QLY%LUPLQJKDP,QVWRI3K\VLRORJ\$FDGRI6FLRI
&]HFK5HSXEOLF8QLYRI6RXWKDPSWRQ8QLYRI&DUGLII
2
5ROHRI&5(%LQQHXUDOUHSDLUDQG
UHFRYHU\DIWHUIRFDOVWURNH/&$5$&&,2/2<6$126
-$/&,1267&$50,&+$(/'DYLG*HIIHQ6FKRI0HG
$W8&/$3V\FKRORJ\DQG3V\FKLDWU\DQG%UDLQ5HV,QVWDW
8&/$
2
3,1.H[SUHVVLRQLQK\SR[LFFKDOOHQJH
,PSOLFDWLRQVIRUFRQVHUYHGSDWKZD\VLQVWURNHDQG
3DUNLQVRQ¶V'LVHDVH%1/,=$0$$.3$/8%,16.<$
&.$/(+0&'21$/'%0&/$8*+/,19DQGHUELOW8QLY
3
W3$WUHDWPHQWRIVWURNHLQW\SHRQH
GLDEHWHVUDWV51,1*0&+2337<$1$=$&+$5(.
&=+$1*&52%(576;&8,0/8-&+(1+HQU\
)RUG+OWK6\VW2DNODQG8QLY+HQU\)RUG+RVS
2
(OLJDVHVPLWRFKRQGULDOG\QDPLFV
DQGPLWRSKDJ\&RQVHUYDWLRQRIVLJQDOLQJLQFKURQLFDQG
DFXWHQHXURGHJHQHUDWLYHGLVRUGHUV$03$/8%,16.<
-167$1.2:6.,$&.$/(6*&2'5($18'&
/,(%/(5%0&/$8*+/,19DQGHUELOW0F/DXJKOLQ/DE
-RKQV+RSNLQV6FKRI0HG9DQGHUELOW8QLY0HG&WU
9DQGHUELOW8QLY0HG&WU
3
(IIHFWRILVFKHPLFOHVLRQVRQWKH
RUJDQL]DWLRQRIWKHIRUHOLPEUHSUHVHQWDWLRQVLQWKHLVSLDQG
FRQWUDOHVLRQDOFRUWH[RIUDWV/-($1&+$5/(6%.
0$16225,%7289<.,1(648(66<1'$1&$86(
8QLY'H0RQWUpDO8QLYGH0RQWUHDO
2
'LIIHUHQWLDOWHPSRUDOH[SUHVVLRQRI+,)
WDUJHWVPD\XQGHUOLHQHXURSURWHFWLRQYHUVXVWR[LFLW\60
-21(6$(129$.-3(//,2776ZHGLVK0HG&WU
&RORUDGR%UDLQDQG6SLQH,QVW&UDLJ+RVS
2
'LIIHUHQWLDOUHJXODWLRQRIWDUJHWJHQHV
RI+,)LQPRXVHKLSSRFDPSDOFXOWXUHV$(129$.6
0-21(6-3(//,2776ZHGLVK0HG&WU&%6,&UDLJ
+RVS
3267(5
,VFKHPLD5HFRYHU\
2
0HGLDOSUHPRWRUFRUWH[VKRZVDUHGXFWLRQ
LQLQKLELWRU\PDUNHUVDQGPHGLDWHVUHFRYHU\LQDPRXVH
PRGHORIIRFDOVWURNH65=(,/(5(0*,%6215(
+2(6&+0</,3):25/(<5-2¶%5,(1-:
.5$.$8(5-RKQV+RSNLQV8QLYRI8WDK-RKQV+RSNLQV
-RKQV+RSNLQV-RKQV+RSNLQV8QLY
3
5HEXLOGLQJQHXURQDOQHWZRUNVLQWKHDJHG
EUDLQE\VWHPFHOOIDFWRUDQGJUDQXORF\WHFRORQ\VWLPXODWLQJ
IDFWRULQWKHVHWWLQJRIFKURQLFVWURNH/=+$2/&8,6
085,.,1$7,;=+$1*:'8$1/RXLVLDQD6WDWH8QLY
+OWK6FL&WU6HFRQG+RVSRI+HEHL0HG8QLY/RXLVLDQD
6WDWH8QLY+OWK6FL&WU/RXLVLDQD6WDWH8QLY+OWK6FL&WU
3
/RZLQWHQVLW\WUHDGPLOOH[HUFLVHLPSURYHV
PHPRU\G\VIXQFWLRQDIWHUWUDQVLHQWPLGGOHFHUHEUDODUWHU\
RFFOXVLRQLQUDWV.,6+,'$+6+,0$'$$,6+,'$
712*8&+,+1$.$6+,0$.7$0$.26+,0
+$0$.$:$1DJR\D8QLY*UDG6FKRI0HG1DJR\D&LW\
8QLY*UDG6FKRI0HG1DJR\D*DNXLQ8QLY2NLQDZD
5HKDELO&WU+RVS
3
&RSRO\PHULQGXFHVQHXURJHQHVLVLQD
PRGHORIFHUHEUDOLVFKHPLDZLWKUHSHUIXVLyQ$,%$55$<
&58=-/25($%3,1('$-+(55(5$*)5$1<87,
50(//$'28QLY$QDKXDF&HQWURGH,QYHVWLJDFLyQ
&DPLQD
3
/RQJ7HUPQHXURORJLFDOLPSURYHPHQW
E\V\VWHPLFDOO\DGPLQLVWHUHG'RFRVDKH[DHQRLF$FLG
LQH[SHULPHQWDOIRFDOFHUHEUDOLVFKHPLD6+21*/
.+2872529$.'$7.,16/%(/$<(9$2%(1$86
1*%$=$1/RXLVLDQD6WDWH8QLY+OWK6FL&WU/RPD
/LQGD8QLY
3
$QWL1RJR$LPPXQRWKHUDS\DQG
UHKDELOLWDWLRQ'LIIHUHQWLDOHIIHFWVRQIXQFWLRQDOUHFRYHU\DIWHU
VWURNH$(:$+/$6&+5g7(50*8//20(
6&+:$%%UDLQ5HV,QVWLWXWH8QLYDQG(7+=XULFK(7+
=XULFK
3
0DQJDQHVH(QKDQFHG05,$QLQ
YLYRDVVHVVPHQWRIFRUWLFDODFWLYDWLRQIROORZLQJLVFKHPLD
LQWKHUKHVXVPRQNH\$/2%/$.7/0225('/
526(1(5-.,//,$1<%RVWRQ8QLY6FK0HG
3
&KDUDFWHUL]LQJWKHG\QDPLFVRIEUDLQ
SODVWLFLW\LQUHODWLRQWRPRWRUUHFRYHU\IURPDQHDUO\DFXWH
WRFKURQLFVWDJHDIWHUVWURNH.3:(67/$.(-3
*5((1%(5*<<(1'&*22'*):,77(1%(5*
8QLYRI0DU\ODQG6FKRI0HG:DNH)RUHVW8QLY
3
$SSHWLWLYHO\PRWLYDWHGIRUFHGXVHRIWKH
LPSDLUHGIRUHOLPEIDFLOLWDWHVQHXURORJLFDOUHFRYHU\DIWHUIRFDO
FHUHEUDOLVFKHPLDLQWKHUDW-/,9,1*67217+20$6
7$'28&(77(5$7$6.(58QLYRI3ULQFH(GZDUG
,VODQG8QLYRI3ULQFH(GZDUG,VODQG8QLYRI3ULQFH(GZDUG
,VODQG
3
0RWRUVNLOOWUDLQLQJSURPRWHPRWRU
IXQFWLRQDOUHFRYHU\DQGQHXUDODFWLYLW\DQGSODVWLFLW\
IROORZLQJLQWUDVWULDWDOKHPRUUKDJHLQUDWV.7$0$.26+,
712*8&+,$,6+,'$+1$.$6+,0$+6+,0$'$6
/((.,6+,'$'HSWRI3K\VLFDO7KHUDS\*UDG6FKRI
0HGLFLQH1DJR\D8QLYHUV1DJR\D*DNXLQ8QLY1DJR\D
&LW\8QLY*UDG6FKRI0HG
3
,VFKHPLDLQGXFHGKLSSRFDPSDODVFRUEDWH
LQFUHDVHLVDWWHQXDWHGE\SUHLVFKHPLDUXQQLQJ+/,8;
=+$1*<=+$1*./,8&DSLWDO8QLYRI3K\VLFDO(GXF
DQG6SRUWV
3
,GHQWL¿FDWLRQRIDFWLYLW\GHSHQGHQW
FRUWLFDOFLUFXLWVPHGLDWLQJVWURNHUHFRYHU\(+1,(67
&$50,&+$(/8&/$
3
$OLYHEUDLQLPDJLQJVWXG\7KH
FRPELQDWLRQRIVWHPFHOOIDFWRUDQGJUDQXORF\WHFRORQ\
VWLPXODWLQJIDFWRUSURPRWHVV\QDSWRJHQHVLVWKURXJK1)g%
SDWKZD\LQWKHEUDLQRIFKURQLFVWURNH/&8,/=+$2
/RXLVLDQD6WDWH8QLY+OWK6FL&WU/RXLVLDQD6WDWH8QLY
+OWK6FL&WU
3
0RYHPHQWGHSHQGHQWRVFLOODWRU\DQG
VSLNHIUHTXHQF\PRGXODWLRQRIWKHURGHQWGHHSFHUHEHOODU
QXFOHL-&223(55,'(5-7*$/(+)850$*$+
3$5.$*0$&+$'2&OHYHODQG&OLQ
3
%HWDEDQGQRQLVRFKURQRXVGHHS
FHUHEHOODUVWLPXODWLRQHQKDQFHVPRWRUUHFRYHU\DIWHU
FRUWLFDOLVFKHPLD$*0$&+$'2-&223(55,'(5+
)850$*$.%$.(5+3$5.-*$/(&OHYHODQG&OLQ
&OHYHODQG&OLQ&OHYHODQG&OLQ&OHYHODQG&OLQ
3
6HPLDXWRPDWHGPHWKRGIRUOHVLRQ
YROXPHHVWLPDWLRQDQGYLVXDOL]DWLRQ-7*$/(+3$5.
=&+(1-&223(55,'(5+)850$*$0-2+1621
$*0$&+$'2&OHYHODQG&OLQ
3
%HWDEDQGVWLPXODWLRQRIWKHGHQWDWH
QXFOHXVFKDQJHVFRUWLFDOH[FLWDELOLW\LQDQHQGRWKHOLQ
LQGXFHGVWURNHUDWPRGHO+75821*-7*$/(-
&223(55,'(5+-3$5.$*0$&+$'2&OHYHODQG
&OLQ
S
3
(QULFKHGUHKDELOLWDWLRQLQFUHDVHVIRV%
6IRV%H[SUHVVLRQLQSHULOHVLRQDOFRUWH['5&25%(77-
&/$5.(.'/$1*'218QLYRI2WWDZD0HP8QLY
3
2SWRJHQHWLFVWLPXODWLRQRIPRWRUFRUWH[
QHXURQVSURPRWHVUHFRYHU\DIWHUVWURNH0<&+(1*
:-:22'621(+:$1*6:$1**681$*
/((/)(112.'(,66(527+*.67(,1%(5*
6WDQIRUG8QLY6WDQIRUG6WURNH&WU6WDQIRUG,QVWIRU
1HXURLQQRYDWLRQDQG7UDQVODWLRQDO1HXURVFLHQFHV6WDQIRUG
8QLY6WDQIRUG8QLY
4
'LUHFWFXUUHQWVWLPXODWLRQLPSURYHV
OLPEXVHDIWHUVWURNHE\HQKDQFLQJLQWHUKHPLVSKHULF
V\QFKURQL]DWLRQLQDGXOWUDWV$*Ï0(=3$/$&,2
6&+-(71$1-)$5$-,'*,'<.%0&1$8*+721*
$0(7=$/8&=$.8QLYRI/HWKEULGJH
4
3UHOLPLQDU\VWXGLHVRQRSHUDQW
FRQGLWLRQLQJ7LELDOLV$QWHULRU+UHÀH[LQSHRSOHZLWKVWURNH
%DFNJURXQGFRQWURO5/6(*$/8QLY1RUWK&DUROLQD
&KDSHO+LOO
3267(5
7UDXPD3HULSKHUDO1HUYH
4
*UDQXORF\WHFRORQ\VWLPXODWLQJIDFWRU
*&6)GRHVQRWLPSURYHD[RQDORXWJURZWKDIWHUVFLDWLF
QHUYHWUDQVHFWLRQLQUDWV+)5267/67(1%(5*0(
.$1-(/'$+/,1/XQG8QLY'HSWRI%LRO
4
*HQGHUGLIIHUHQFHVLQD[RQDORXWJURZWK
DVZHOODVLQDFWLYDWLRQDQGDSRSWRVLVRI6FKZDQQFHOOVDIWHU
VFLDWLFQHUYHLQMXU\DQGUHSDLULQKHDOWK\DQGGLDEHWLF*.
UDWV/67(1%(5*+)52670.$1-(/%'$+/,1
/XQG8QLY6FDQLD+DQG&WU$%
4
6HOHFWLYHRSWLPL]DWLRQRIKXPDQQHUYH
JUDIWV-%*5$+$0'1(8%$8(54;8(')
08,58QLYRI)ORULGD&RORI0HG
4
003IDFLOLWDWHVWKHIXQFWLRQDOUHFRYHU\
RIWKHFRFKOHDIROORZLQJDFRXVWLFWUDXPD4&$,%+8
6WDWH8QLY%XIIDOR
4
6WUDLQGHSHQGHQWVHQVRULPRWRU
IXQFWLRQDOUHFRYHU\IROORZLQJVFLDWLFQHUYHLQMXU\DFURVV
PXOWLSOHUDWVWUDLQV&0&(:(1(752<6:21*
*22'5,&+$*$1*8/<$2&$**,$127
6&+$//(5773$55<$FRUGD7KHUDSHXW8QLYRI7H[DV
DW$XVWLQ
4
(YDOXDWLRQRIG\QDPLFZHLJKWEHDULQJ
JDLWIROORZLQJXQLODWHUDOVFLDWLFQHUYHFUXVKLQWKHPRXVH
6:$*1(5/*25--%,1'/(5(32,5$8'1
.$'28&,($1'5,$0%(/26211(852),7
4
7ZRGLVWLQFWW\SHVRIG\LQJEDFND[RQDO
GHJHQHUDWLRQLQYLWUR*2=785.1&(1*,=(
(5'2*$1(.2*8=(<(1,'81<$1$<6,7,VWDQEXO
0HGLSRO8QLY<]QF<LO8QLY6HOFXN8QLY
S
4
([SUHVVLRQRIYHVLFXODUJOXWDPDWH
WUDQVSRUWHULQGRUVDOURRWJDQJOLRQQHXURQVGXULQJ
WKHDFXWHSKDVHIROORZLQJVFLDWLFQHUYHWUDQVHFWLRQ6
$/27+0$1==+$1*%%2/70%$1'(5621.(
0,//(52NODKRPD6WDWH8QLY&WU)RU+OWK6FL
4
S
:DOOHULDQGHJHQHUDWLRQLQJDOHFWLQ
NQRFNRXWPLFH%60,(7726-85*(16(1/$/9(6
061$5&,62,$6681d20,5$1'$'069,//$
9(5'()56/,0$07%2==$$%0$57,1(=
,QVWGH&LrQFLDV%LRPpGLFDV8)5-,QVWGH&LrQFLDV
%LRPpGLFDV8)5-,QVWGH0LFURELRORJLD3URIHVVRU3DXOR
GH*RHV8)5-,QVW2VZDOGR&UX])LRFUX]8)5-
4
8SUHJXODWLRQRIOHSWLQH[SUHVVLRQDQG
DFWLYDWLRQRIPLFURJOLDLQFXQHDWHIDVFLFXOXVIROORZLQJFHUYLFDO
URRWWUDQVHFWLRQ&/,1</,1.&+$1*++6,$2+
&+(1*0+8$1*7DLSHL9HWHUDQV*HQ+RVS&RORI
9HW0HGLFLQH1DWO&KXQJ+VLQJ8QLY6FKRI0HGLFLQH
1DWO<DQJ0LQJ8QLY
4
(QKDQFHPHQWRISHULSKHUDOD[RQ
UHJHQHUDWLRQE\H[HUFLVHUHTXLUHVDQGURJHQUHFHSWRU
VLJQDOLQJLQERWKPDOHDQGIHPDOHPLFH$:(1*/,6+
17+203621'6(1*(/$8%(PRU\8QLY6FK0HG
,QGLDQD8QLY
4
'HPRQVWUDWLRQRIVFLDWLFQHUYHUHFRYHU\
IROORZLQJLWVFRPSOHWHVHFWLRQDQGWUHDWPHQWZLWKSODWHOHW
ULFKSODVPDDQGWHWDQXVWR[LQXVLQJHOHFWURSK\VLRORJLFDO
DQGJURVVIXQFWLRQDOHYDOXDWLRQVLQUDWV*23(.(52
(5%$6+*81$</.8&8.(JH8QLY(JH8QLY(JH
8QLY
4
$VVHVVPHQWRIWKHUHJHQHUDWLYHHI¿FDF\
RI6FKZDQQFHOOVHHGHGFROODJHQVFDIIROGVLQWKHUDW
FDXGDHTXLQDE\ZD\RIVHULDOUHWURJUDGHODEHOLQJ6-
0$&.(1=,($6,1*/$%&$/$1&,(8SVWDWH0HG
8QLY
4
,QKLELWLRQRIQLWULFR[LGHV\QWKDVHDOWHUV
SRVWWUDQVODWLRQDOPRGL¿FDWLRQVRI_WXEXOLQDQGWDXDIWHU
IDFLDOQHXURUUKDSK\7<(+3/,87]X&KL8QLY7]X&KL
8QLY
4
0HVHQFK\PDOVWHPFHOOVLQD
SRO\FDSURODFWRQHFRQGXLWSURPRWHVFLDWLFQHUYHUHJHQHUDWLRQ
DQGVHQVRU\QHXURQVXUYLYDODIWHUQHUYHLQMXU\)$/0(,'$
))5$77,1,)3(5(,5$/23(65)52'5,*8(6
/%2/'5,1,0720$=$%$37,67$30(/2$%
0$57,1(=8)5-8)5-8)5-8)5-8)%$
4
([SORUDWLRQRIWKHUHODWLRQVKLSEHWZHHQ
ORFRPRWLRQSDUDPHWHUVXVLQJWKH&DW:DONJDLWDQDO\VLV
V\VWHPLQZLOGW\SHPLFH5-%$7.$00+$8/&20%
500($'2:6.--21(67-%52:1,QGLDQD
8QLY6FKRI0HG5RXGHEXVK9$+RVS,QGLDQD8QLY6FK
RI0HG
5
$VVHVVPHQWRIJDLWSDUDPHWHUVDIWHU
FRPELQHGWUHDWPHQWRIHOHFWULFDOVWLPXODWLRQDQGWHVWRVWHURQH
IROORZLQJVFLDWLFQHUYHLQMXU\500($'2:6*1
021$&25-%$7.$.--21(67-%52:1
,QGLDQD8QLY6FKRI0HG,QGLDQD8QLY6FKRI0HG
5RXGHEXVK9$+RVS/R\ROD8QLY&KLFDJR+LQHV9$+RVS
4
(IIHFWRIIRFDOVWURNHRQVSRQWDQHRXV
FRUWLFDODFWLYLW\SDWWHUQVUHYHDOVQRYHOLQWUDFRUWLFDO
PHFKDQLVPVLQPRXVH0+02+$-(5$1,$
)(6+$5$.,-/('8(.$0,12/7(-$5,'/,0
70853+<8QLYRI%ULWLVK&ROXPELD8QLYRI%ULWLVK
&ROXPELD
4
1HXURSDWK\LQGXFLQJHIIHFWVRI
HULEXOLQPHV\ODWHLQPLFHZLWKSUHH[LVWLQJQHXURSDWK\.
0:2=1,$.0)$5$+<:8%/,77/(),(/'.
120272%66/86+(5-RKQV+RSNLQV0HG%UDLQ6FL
,QVW(LVDL,QF-RKQV+RSNLQV6FKRI0HG
5
8SUHJXODWLRQRIJO\FRSURWHLQQRQ
PHWDVWDWLFPHODQRPD%LQD[RWRPL]HGUDWVFLDWLFQHUYH6
<2.2<$0$1<$1$*,'$.DQD]DZD8QLY*UDG6FKRI
0HG
5
7KHHIIHFWRIWXPRUQHFURVLVIDFWRU_
UHFHSWRURQQHXURYDVFXODUUHSDLUDIWHULQWUDFHUHEUDO
KHPRUUKDJHVWURNH/:$1*6:(,-681$
(63,1(5$63<8/:(,(PRU\8QLY
3267(5
5
$XWRDQWLERGLHVLQRSVRFORQXVP\RFORQXV
DWD[LDV\QGURPH-$3$1=(5-'$/0$8'/<1&+
&KLOGUHQ¶V+RVSRI3KLODGHOSKLD,&5($,',%$36
1HXURLQÀDPPDWLRQ0ROHFXODU0HFKDQLVPV,
5
3XPDUHJXODWHVLQÀDPPDWLRQLQGXFHG
QHXUDOSUHFXUVRUFHOOGHDWK-*8$'$*1263
&5(*$15REDUWV5HV,QVWLWXWH8QLYRI:HVWHUQ2QWDULR
5
`)XQDOWUH[DPLQHLQKLELWV,/5DQG
7/5VLJQDOLQJSDWKZD\VLQKXPDQJOLDOFHOOV/.
),*8(52$'-%8&.6'$6&:67(9(165/
'$9,62NODKRPD6WDWH8QLY&WU+OWK6FL
5
,PPXQHUHVSRQVHWRDOFRKROLQWKH
DGROHVFHQWDQGDGXOWPRXVHEUDLQ&-.$1(.'
3+(/$1-&'28*/$6*:$*21(5--2+1621-
;8363+(/$13''5(:8QLY$UNDQVDV0HG6FL
5
'HQGULWLFFHOOVLQWKHKHDOWK\DQG
LQÀDPHGEUDLQ$WZRSKRWRQPLFURVFRS\LQYHVWLJDWLRQ0
%(17,92*/,2&/$3(5&+,$**5$66,=8&&21,3
)6(.((7(7$$1'5,2/,19$15((73%86&+(5
0%8))(//,8QLY9HURQD,QVWRI7URSLFDO0HG
5
3DUR[HWLQHSUHYHQWVWKHIXQFWLRQDO
LPSDLUPHQWRI/JOXWDPDWHWUDQVSRUWHUVLQLQÀDPPDWLRQE\
VXSSUHVVLRQRIPLFURJOLDO/JOXWDPDWHUHOHDVH.6$72.
)8-,025,-7$.$.,768=8.,<6(.,121DWO,QVW
+OWK6FL'LY%DVLF%LRO6FL)DF3KDUP.HLR8QLY
5
$FWLYHFRPSRQHQWVIURP(PEOLFDR
I¿FLQDOLVDQG7HUPLQDOLDEHOHULFDSURWHFW&HQWUDO1HUYRXV
6\VWHPE\LQKLELWLQJL126GHSHQGHQW12RYHUSURGXFWLRQ
36+$50$7&+$1'5$07+$3/,<$/.%+$77,0
3$17$7+$3/,<$/*UDSKLF(UD8QLY5&8*RYW3*
&ROOHJH8WWDUNDVKL8WWDUDNKDQG,QGLD
5
6SLQDOFRUGLQMXU\LQGXFHVLQÀDPPDWRU\
F\WRNLQHH[SUHVVLRQLQODPSUH\2%/220$
3$3$7+(2'2528)HLQVWHLQ,QVWDQG+RIVWUD1RUWK6KRUH
/,-6FKRI0HG)HLQVWHLQ,QVW
5
,),70PHGLDWHVQHXURQDODQGEHKDYLRUDO
LPSDLUPHQWVIROORZLQJQHRQDWDOLPPXQHFKDOOHQJH',%,
71$*$,$1$.$-,0$71$%(6+,0$.<$0$'$
'HSWRI1HXURSV\DFKRSKDUPDFRORJ\DQG+RVS3KDUPDF\
1DJR\D8QLY*UDG6FKRI3KDUPDFHXW6FLHQFHV0HLMR
8QLY
5
'LVUXSWLRQRI5$*(VLJQDOLQJSUHYHQWV
V\PSDWKHWLFQHXURQPDOIXQFWLRQLQKLJKJOXFRVHFRQGLWLRQV
,PSOLFDWLRQVIRUGLDEHWLFDXWRQRPLFQHXURSDWK\9$
&$03$18&&,$&+$1'1$8QLYRI6DVNDWFKHZDQ
5
0DFUHFHSWRULVDQRYHOUHFHSWRU
PHGLDWLQJH[WUDFHOOXODUGV51$LQGXFHGFHOOXODULPPXQH
UHVSRQVH+=+28-/,$2+*$2-+21*1,(+6
5
(DUO\OLIHK\SR[LFVWUHVVSURGXFHVORQJ
ODVWLQJFRJQLWLYHDQGPRWRUGH¿FLWVDVVRFLDWHGZLWKDOWHUHG
LQKLELWRU\LQWHUQHXURQSKHQRW\SH//'8*$1(*,18,
91$*$5$-$1:1*8<(170$1&+(1.29'/8,
2328/6(147$1*'=+28**+$''$'8QLY
RI&DOLIRUQLD6DQ'LHJR8QLYRI&DOLIRUQLD6DQ'LHJR8QLY
RI&DOLIRUQLD6DQ'LHJR
5
33$5_DFWLYDWRUVIHQR¿EUDWHDQG:\
LQKLELWV0\GHOHYDWLRQLQWKHPRXVHEUDLQDIWHU/36
LQMHFWLRQ61$085$*:$1*0RUHKRXVH6FKO0HG
5
/LSRFDOLQ$QRYHOSRWHQWLDODWWHQXDWRU
RI+,9JSLQGXFHGEUDLQLQMXU\00+2()(55
0$81*&0'(52=,(5(6&&'2:/,1*,&
&$7$/$1$%6$1&+(=0.$8/6DQIRUG%XUQKDP
0HG5HV,QVW8QLYRI&DOLIRUQLD6DQ'LHJR
5
([DFHUEDWHGLQÀDPPDWRU\UHVSRQVHV
UHODWHGZLWKDFWLYDWHGPLFURJOLDDIWHUWUDXPDWLFEUDLQLQMXU\LQ
SURJUDQXOLQGH¿FLHQFWPLFH<7$1$.$70$768:$.,.
<$0$128&+,01,6+,+$5$8QLYRI7RN\R
5
0LFURJOLDDQGPDFURSKDJHIXQFWLRQVGLIIHU
DIWHUEUDLQLQMXU\$UROHIRUWKHLUSRODULVDWLRQ"6*,5$5'
'%528*+60$//$18QLYRI0DQFKHVWHU
5
&KDQJHVLQDVWURF\WHDQGPLFURJOLD
GHQVLW\DQGPRUSKRORJ\DURXQGREVWUXFWHGFDWKHWHUVXVHGLQ
WKHWUHDWPHQWRIK\GURFHSKDOXV&+$55,66%52:'%
/87=,:$6+,1*721-30&$//,67(5,,.'(5(1
//2<'(6+$1./$1'.$0$552%52<6$0.
75(773&+21*:6+$,16HDWWOH&KLOGUHQ¶V5HV,QVW
6HDWWOH&KLOGUHQ¶V+RVS8QLYRI:DVKLQJWRQ8QLYRI8WDK
8QLYRI:DVKLQJWRQ8QLYRI+RXVWRQ
6
5ROHRI&RPSOHPHQWUHFHSWRU
RQPLFURJOLD,PSOLFDWLRQVIRU$O]KHLPHU¶VGLVHDVH+
&5(+$1-032&2&.-+$5'<8QLY&RO/RQGRQ
8QLY&RO/RQGRQ8QLY&RO/RQGRQ
6
5ROHRI,/EHWDGDQJHUVLJQDOVLQ
DOFRKROLFEUDLQSDWKRORJ\-<=28)7&5(:608QLY
1RUWK&DUROLQD&KDSHO+LOO8QLY1RUWK&DUROLQD&KDSHO+LOO
6
&RQGLWLRQDOGLVUXSWLRQRIHQGRWKHOLDO,g%
NLQDVHPRGXODWHV&16UHVSRQVHVWROLSRO\VDFFKDULGH
DQGH[SHULPHQWDODXWRLPPXQHHQFHSKDORP\HOLWLV$
5$<$6$0'</2)/,8/-7$,-6(55$763(
6$:&+(1.28QLYRI:LVFRQVLQ6DON,QVW/XQGEHFN
6
'XDOLVWLFHIIHFWRIPHODWRQLQRQWKH
VXUYLYDORIFHUHEHOODUJUDQXOHFHOOFXOWXUH'*)5$1&2
530$5.86,QVWRI%LRVFL8QLYHUVLVW\RI6mR3DXOR
6
7RQ(%3LQGXFHG+63DQG1)
N%H[SUHVVLRQLVDVVRFLDWHGZLWKNDLQLFDFLGLQGXFHG
QHXURLQÀDPPDWLRQ+6+,1%-(215+(2'/((+
.,06.$1**&+2:&+2,+.:21%/((*
52+*\HRQJVDQJ1DWO8QLY6FKRI0HG8OVDQ1DWO
,QVWRI6FLDQG7HFKQRO8QLYRI8OVDQ
6
&KURQLFQHXURLQÀDPPDWLRQDFURVVDJHV
GLIIHUHQWLDOO\LQÀXHQFHVFHOOXODUDQGFRJQLWLYHSURFHVVHV,
%$5'28+0%527+(5650.$(5&+(56&
+233&$/%,1%522.6*+$0021'-0+2//(<
2&+(1*/:(1.7KH2KLR6WDWH8QLY7KH2KLR
6WDWH8QLY7KH2KLR6WDWH8QLY
6
7632JHQRW\SHPRGXODWHVLQYLYR>&@
3%5KXPDQEUDLQXSWDNH$-6$<.,1.1+26
/5,6$&+(56.,0%&0&'21$/'750$*((
05)$5/2:-':(67/6+(1'32¶1(,//*
'+87&+,16..<2'(5,QGLDQD8QLY6FKRI0HG
,QGLDQD8QLY6FKRI0HG
S
6
,QLWLDOHYDOXDWLRQRIVWDQGDUGL]HGXSWDNH
YDOXHVDVDPHWULFRIEUDLQ>&@3%53(7ELQGLQJ..
<2'(5357(55,72-':(67('0255,6-
*$//(=27.3&26*529(0'1250$1',1-2
+$11(67$',QGLDQD8QLY6FK0HG,QGLDQD8QLY6FK
0HG<DOH8QLY6FKRI0HG+DUYDUG0HG6FK
3267(5
1HXURWR[LFLW\DQG1HXURGHJHQHUDWLRQ,,
6
,PSDLUPHQWRIJOXWDPDWH$03$UHFHSWRU
H[SUHVVLRQE\VRGLXPDUVHQLWHLVUHODWHGWRWKHQHXULWH
VXSSUHVVLRQLQPRXVHFRUWLFDOQHXURQV)0$(.$:$
7768%2,6768.$+$5$.12+$5$1DWO,QVWIRU
(QYUQ6WXGLHV7KH8QLYRI7RN\R6DLWDPD8QLY
6
(IIHFWVRIWKHUHSHDWHGH[SRVXUHWR
KHUELFLGHJO\SKRVDWHRQEHKDYLRUDQGWKHQLJURVWULDWDO
DQGPHVROLPELFGRSDPLQHUJLFV\VWHPVRIWKHDOELQHUDW,
+(51È1'(=3/$7$0*,25'$12952'5,*8(=
&25'29$,QVWGH1HXURELRORJLD81$0
6
S(IIHFWVRIK\SHUFDOFHPLDLQDFUD\¿VK
PRGHO1HXURQ&16LQWHVWLQHDQGEHKDYLRU0&5805
&223(5052%,1621$52%,1621/'(&$6752
8QLYRI.HQWXFN\&RORI0HGLFLQH8QLYRI.HQWXFN\
+HQU\&OD\+LJK6FK
6
1HXURSHSWLGH<PRGXODWHVUHWLQDO
JDQJOLRQFHOOUHVSRQVHVDQGSURWHFWVJDQJOLRQFHOOVDJDLQVW
H[FLWRWR[LFLW\$)$0%526,2-0$57,16)(/9$6'
%58'=(:6.,%.2/20,(7663,&$8'&&$9$'$6
0&$67(/2%5$1&2$56$17,$*2&WU1HXURVFL
&HOO%LRO1,))DFRI0HGLFLQH8QLYRI
&RLPEUD$,%,/,,QVWGHOD9LVLRQ)DFRI3KDUPDF\8QLY
RI&RLPEUD
6
'H[DPHWKDVRQHEXWQRWK\GURFRUWLVRQH
GHFUHDVHVQHXURJHQHVLVLQQHRQDWDOUDWV$-%+$77<
)(1*-:$1*0)$08<,'(8QLYRI0LVVLVVLSSL0HG
&WU8QLYRI0LVVLVVLSSL0HG&WU
6
(IIHFWRIH[SRVXUHWRLQWHUPHGLDWH
IUHTXHQF\PDJQHWLF¿HOGVRQPHPRU\IXQFWLRQUHODWHGJHQH
H[SUHVVLRQLQKLSSRFDPSXVRI&%/PLFH7:,16+:(
62+7$1,$86+,<$0$+)8-,0$.,+1,77$1
.818*,7$1DWO,QVW(QYLU1DWO,QVWRI3XEO+OWK
6
,QWHUDFWLRQVEHWZHHQKHDY\PHWDOVRQ
QHXURQDQGJOLDOIXQFWLRQ'5:$//$&(%%%$51(6
$1+22'2NODKRPD6WDWH8QLY
6
'HYHORSPHQWDOH[SRVXUHWR$UFWLF
WR[LFDQWVUHGXFHVQHXURJHQHVLVDQGPRGL¿HVH[SUHVVLRQRI
LQÀDPPDWRU\DQGSDWKRORJLFDOELRPDUNHUVLQDJHGUDW1<
586720%:,/'0*2'%287&+(/,$.*&52:(
:-%2:(5663+$</(<&DUOHWRQ8QLY+OWK
&DQDGD
S
6
7KHUDSHXWLFHIIHFWVRIOLWKLXPFKORULGHRQ
WULPHWK\WLQLQGXFHGKLSSRFDPSDOQHXURWR[RFLW\LQYLYRDQGLQ
YLWUR-.,00<$1*-.,06.,076+,1+:$1*
&0221&KRQQDP1DWO8QLY-HMX1DWO8QLY0LFKLJDQ
6WDWH8QLY
6
([SRVXUHRILVRÀXUDQHWRQHRQDWDO
PLFHUHVXOWVLQEHKDYLRUDOFKDQJHV-06&+,//,1*
$9221**&*52*0$16(.(//(5+$/6,
1,(60$166$/,'0527+++3$7(/30
3$7(/%3+($'9$6'+68&6''HSWRI$QHVWKHVLD
7
1$FHW\ODVSDUWDWH1$$PHWDEROLVP
DQGDVWURJOLDOYDFXROL]DWLRQLQDPRXVHPRGHORI&DQDYDQ
GLVHDVH(-0,//6.23%$11(50$1)*82
'3/($685(8&'DYLV6KULQHUV+RVS)RU&KLOGUHQ
1RUWKHUQ&DOLIRUQLD8&'DYLV6FKRI0HG,QVWIRU
3HGLDWULF5HJHQHUDWLYH0HG8&'DYLV6FKRI0HG
7
7KHLQYROYHPHQWRIDXWRSKDJ\LQ
DUVHQLWHLQGXFHGQHXURWR[LFLW\LQSULPDU\FRUWLFDOQHXURQV<
7(1*0/,11DWO<DQJ0LQJ8QLY
7
'LD]HSDPSUHDQGGXULQJJHVWDWLRQ
LQGXFHVKLVWRORJLFDOFKDQJHVLQIHWDOUHWLQDRIPRXVH0
0$548(=252=&209*$6&$5$0,5(=*'(/$
)8(17(-8$5(=$0$548(=252=&28QLYRI0H[LFR
81$0
7
+LSSRFDPSDOGHQGULWLFPRUSKRORJ\
XSRQSUHQDWDOFKHPLFDOH[SRVXUHLQPLFH(.,085$
:0,<$=$.,&0$768<26+,0.$.(<$0$&
72+<$0$/DE(QYLURQ+OWK6FL&'%,0*UDG6FKRI
0HG8QLYRI7RN\R'HSW3XEO+HDOWK)DFRI/LIH6FL
.XPDPRWR8QLY
7
$GHULYDWLYHRIWKH&503ELQGLQJ
FRPSRXQGODQWKLRQLQHNHWLPLQHSURYLGHVQHXURSURWHFWLRQLQ
DPRXVHPRGHORIFHUHEUDOLVFKHPLD=$6+$+61$'$
-78/68/.$5$5$*+9$1.+(16/(<8QLYRI7ROHGR
&RORI3KDUPDQG3KDUPDFHXW6FL8QLYRI7ROHGR&RORI
3KDUPDQG3KDUPDFHXW6FL
7
(WKR[\TXLQSURYLGHVQHXURSURWHFWLRQ
YLDKVSWRDPHOLRUDWHFKHPRWKHUDS\LQGXFHGSHULSKHUDO
QHXURSDWK\-=+8:&+(1&=+2815(('$
+2.(-RKQV+RSNLQV8QLY
7
')3H[FLWRWR[LFLW\DQGLWVUHYHUVDO
E\5FHPEUDQRLGLQWKHDFXWHKLSSRFDPSDOVOLFHV
3$)(5&+0,1'3e5(=%/&8$'5$'20
&$55$6&2$+0$57,169$(7529,&8QLY&HQWUDO
'HO&DULEH
7
,GHQWL¿FDWLRQRIDQL36&GHULYHGPRGHO
RIIDPLOLDODQGVSRUDGLF$O]KHLPHU¶VGLVHDVHLQPXOWLSOH
FRUWLFDOQHXURQG\VIXQFWLRQHQGSRLQWV5ROHLQWHVWLQJ
PRGXODWRUVIRUQHXURSURWHFWLYHHIIHFWV(&%($77,(
9'$1*6:5,*+7/1*8<(1%&223(56
+866$,1&5$026$&580-%5,*+7%&+5,67,(
(526(0%85.+$5'7-',0260*56.29,&$
-$9$+(5,$16,5,21167$*/,$12,*5,6:2/'
35(11(5,SLHULDQ
6
(YDOXDWLRQRIVRGLXPDUVHQLWHLQGXFHG
LQKLELWLRQRIQHXULWHRXWJURZWKE\OLYHFHOOLPDJLQJDQG
DOWHUDWLRQRIF\WRVNHOHWDOJHQHH[SUHVVLRQLQ1HXURDFHOOV
.$81*5.85,+$5$16+,=8.$.12+$5$7
.2%$<$6+,6768.$+$5$6DLWDPD8QLY1DWO,QVWRI
(QYUQ6WXG\
6
&RPSDULVRQRIQHXURSURWHFWLYHSURSHUWLHV
RISRVLWLYHO\DQGQHJDWLYHO\FKDUJHGQHXURDFWLYHVWHURLGV/
5$0%286(..9$/(6$678&+/,././(7(&.29$
+&+2'2816.$/9<./,&.<,QVWRI3K\VLRO$6&5
QG)DFRI0HGLFLQH&KDUOHV8QLYLQ3UDJXH,QVWRI
2UJDQLF&KHPDQG%LRFKHPLVWU\$FDGRI6FLRIWKH&]HFK
5HSXEOLF
7
$GGLWLRQDOLQVXOWWUDQVIRUPVWKHFKURQLF
DQGDGDSWLYH(5VWUHVVWRDSRSWRVLVXQGHUO\LQJWKHVHOHFWLYH
QHXURQYXOQHUDELOLW\</,8=6,00216-5&21125
3HQQ6WDWH8QLY+HUVKH\0HG3HQQ6WDWH8QLYHUVLW\
+HUVKH\&RORI0HG
7
'HYHORSPHQWDODWUD]LQHH[SRVXUHLQ
]HEUD¿VKOHDGVWRORQJWHUPQHXURWUDQVPLWWHUGH¿FLWV*-
:(%(5&;,$26(:$7621-/)5((0$1-5
&$11213XUGXH8QLY
7
1HRQDWDOH[SRVXUHWRDVLQJOHGRVH
RILRQLVLQJUDGLDWLRQGXULQJEUDLQGHYHORSPHQWFDQFDXVH
FRJQLWLYHGHIHFWVDQGLQFUHDVHGOHYHOVRIWDXLQDGXOWPLFH6
%85$729,&%67(1(5/g:6681'(//%(5*0$1
$)5('5,.6621+9,%(5*3/(5,.66218SSVDOD
8QLY8SSVDOD8QLY6ZHGLVK8QLYRI$JU6FL
7
(IIHFWRIH[WUHPHO\ORZIUHTXHQF\
HOHFWURPDJQHWLF¿HOGV+]KDUPRQLFZDYHVP7RQ
WKHVWUXFWXUHRIFHUHEUDODQGFHUHEHOODUFRUWLFHVRIWKHDGXOW
PDOHUDW/$1'5(6%$5%$/&$f('2'25$17(6
-*$5&,$9(/$6&2&&8(//$5/(086$)(5,$
9(/$6&28QLY*XDGDODMDUD8QLY$XWRQRPDGH0RUHORV
8QLY*XDGDODMDUD8QLY*XDGDODMDUD
7
1HRQDWDOUDWH[SRVXUHWRSURSRIRO
PRGXODWHVWKHH[SUHVVLRQRISURWHLQVWKDWUHJXODWHV\QDSWLF
SODVWLFLW\'0,/$129,&93(6,&-323,&1
/21&$5(9,&9$6,/-.29,&97(6,&6.$1$=,59
-(9729,&72'2529,&658=',-,&,QVW)RU%LRO5HV
8QLYRI9LUJLQLD+OWKV\VWHP
7
5DWKLSSRFDPSDODOWHUDWLRQVFRXOG
XQGHUOLHEHKDYLRUDODEQRUPDOLWLHVLQGXFHGE\PRGHUDWH
QRLVHH[SRVXUH6/85$1/$21%(572/,12/*
&$&(5(6)&$3$1,/5*8(/0$1D&DWHGUD'H
)DUPDFRORJLD)DFXOWDG'H0HGLFLQD8%$&()<%2
&21,&(7,QVWGH,QYHVWLJDFLRQHV&DUGLROyJLFDV³3URI
'U$OEHUWR&7DTXLQL´,1,1&$8%$&21,&(7,QVWGH
,QYHVWLJDFLRQHV&DUGLROyJLFDV
7
7KHQRYHOQHXURVWHURLG'+($VSLUR
HSR[\GHULYDWLYH%11SURYLGHVQHXURSURWHFWLRQWRWKH
UHWLQDZKHQDGPLQLVWHUHGLQGURSVDQGLQWUDSHULWRQHDOO\LQ
WKH67=PRGHORIGLDEHWLFUHWLQRSDWK\.$7+(5026
3,25'$1,'286328/$.,(.28/$.,6,
&+$5$/$032328/26$*5$9$1,68QLYRI&UHWH
6FKRI0HG)257+
7
(WKR[\TXLQLVDQHXURSURWHFWLYHGUXJLQD
PRGHORI+XPDQ,PPXQRGH¿FLHQF\9LUXV+,9DVVRFLDWHG
VHQVRU\QHXURSDWK\05$<15(('-=+8$+2.(
-RKQV+RSNLQV6FKRI0HG-RKQV+RSNLQV6FKRI0HG
7
7KHHYDOXDWLRQRI$=DQRSWLPL]HG
VLJPDUHFHSWRUOLJDQGDJDLQVWPHWKDPSKHWDPLQHLQGXFHG
GRSDPLQHUJLFQHXURWR[LFLW\DQGPHPRU\LPSDLUPHQWLQPLFH
550$76802720-6(0,1(5,25+$16(11
.$86+$/&50&&85'<+=+$1*:HVW9LUJLQLD
8QLY:HVW9LUJLQLD8QLY8QLYRI0LVVLVVLSSL
7
8OWUDVWUXFWXUDOFKDQJHVLQWKHFDXGDWH
QXFOHXVRIPLFHFKURQLFDOO\WUHDWHGZLWKPDQJDQHVH(0
%21,//$99,//$/2%26-3+(51$1'(=)216(&$
60(',1$/((1'(57=0025$0DUDFDLER=XOLD
8QLYGHO=XOLD)DFXOWDG([SWOGH&LHQFLDV8QLYGHO=XOLD
)DFXOWDGGH0HGLFLQD,QVW9HQH]RODQRGH,QYHVWLJDFLRQHV
&LHQWL¿FDV&WUGH,QYHVWLJDFLRQHV%LRPpGLFDV
3267(5
1HXURLQÀDPPDWLRQ+,9DQG,QIHFWLRQ,
7
&RPELQHGPRUSKLQHDQG+,97DW
LQGXFHGV\QDSWRGHQGULWLFLQMXU\LVDFFRPSDQLHGE\GLVUXSWLRQ
RILRQKRPHRVWDVLVDQG$73GHSOHWLRQ6),77,1*6=28
3(.1$33.)+$86(59LUJLQLD&RPPRQZHDOWK8QLY
9LUJLQLD&RPPRQZHDOWK8QLY9LUJLQLD&RPPRQZHDOWK8QLY
7
+,97DWDQGJSGLIIHUHQWLDOO\DIIHFW
WKHYLDELOLW\DQGSKHQRW\SHRIPDWXULQJROLJRGHQGURJOLD
3RWHQWLDOLQWHUDFWLRQVZLWKRSLDWHVDOWHU&DG\QDPLFV6
=286),77,1*.)+$86(53(.1$339LUJLQLD
&RPPRQZHDOWK8QLY9LUJLQLD&RPPRQZHDOWK8QLY
8
+,96)DQGPRUSKLQHFDXVH
LQWHUDFWLYHWR[LFLW\LQVWULDWDOQHXURQV550$69(.$5
3(.1$33.)+$86(51(/+$*(9LUJLQLD
&RPPRQZHDOWK8QLY9LUJLQLD&RPPRQZHDOWK8QLY
8
,QWHUIHUHQFHZLWK&&5SUHYHQWV
PRUSKLQHDQG7DWLQWHUDFWLYHQHXURWR[LFLW\(0
32'+$,=(5<=+$1*3(.1$33.)+$86(5
9LUJLQLD&RPPRQZHDOWK8QLY9LUJLQLD&RPPRQZHDOWK8QLY
9LUJLQLD&RPPRQZHDOWK8QLY
8
3;UHFHSWRULQYROYHPHQWLQRSLRLGGUXJ
DQG+,9LQGXFHGQHXURQDOLQMXU\DQGGHDWK,PSOLFDWLRQV
IRUSXULQHUJLFG\VIXQFWLRQLQQHXUR$,'60(6255(//
6=283.1$33.+$86(59LUJLQLD&RPPRQZHDOWK
8QLY9LUJLQLD&RPPRQZHDOWK8QLY
8
()DWWKHV\QDSVH1RYHOIXQFWLRQVIRU
DFHOOF\FOHWUDQVFULSWLRQIDFWRULQDQRQFHOOF\FOHFRQWH[W-
+7,1*66&+/(,'7-:8<:$1*'50$5.6
./-25'$16&,87728QLYRI3HQQV\OYDQLD8QLYRI
3HQQV\OYDQLD
8
,QYHVWLJDWLQJWKHUROHVRI0'0DQG
0'0;LQQHXURQDOVXUYLYDO'-&2/$&85&,2&$.$<
./-25'$16&,87728QLYRI3HQQV\OYDQLD
8
,QYROYHPHQWRIWKH(QGRJHQRXV
$QWLR[LGDQW5HVSRQVHLQSULPDU\QHXURJOLDOQHXURQDODQG
DVWURF\WLFFXOWXUHVH[SRVHGWRDQWLUHWURYLUDOFRPSRXQGV%
.-(16(1&$.$<./,1'/.-25'$16&,8772
8QLYRI3HQQV\OYDQLD
8
$QWLUHWURYLUDOGUXJVSURPRWH
DP\ORLGRJHQLF$33SURFHVVLQJYLDSKRVSKRH,)_
GHSHQGHQWWUDQVODWLRQDOXSUHJXODWLRQRI%$&(3-
*$1121&$.$<$<(($2'(/(<(0&223(5-
&/(0(176-0$1.2:6.,.-25'$16&,87728QLY
RI3HQQV\OYDQLD-RKQV+RSNLQV8QLY
8
7KHUROHRIFHOOF\FOHSURWHLQ()LQ+,9
LQGXFHGQHXURWR[LFLW\-=<6.,1'<:$1*&$.$<'
.2/621.-25'$16&,87728QLYRI3HQQV\OYDQLD
8QLYRI3HQQV\OYDQLD
8
0GP[DVDQHXURSURWHFWLYHIDFWRUWR
DWWHQXDWHKLYLQGXFHGQHXURQDOGDPDJH&$.$<'
&2/$&85&,2.$/,1'/./-25'$16&,87728QLY
3HQQV\OYDQLD
8
+,97DWLQGXFHVDQLQFUHDVHLQ
LQKLELWRU\V\QDSWLFFRQQHFWLRQVEHWZHHQKLSSRFDPSDO
QHXURQVLQFXOWXUH1-+$5*866$7+$<(58QLYRI
0LQQHVRWD
8
+,97DWLQGXFHVH[FLWRWR[LFORVVRI
SUHV\QDSWLFWHUPLQDOV$6+,16$7+$<(58QLYRI
0LQQHVRWD7ZLQ&LWLHV
S
8
0LFURJOLDODFWLYDWLRQLV/55.LQJLQ
+,9DVVRFLDWHGQHXURFRJQLWLYHGLVRUGHUV-07$%25
*2':,1')0$5.(56/8+$*(/%$5'8QLYRI
5RFKHVWHU0HG&WU
8
$OWHUHGPLFURJOLDOJHQHH[SUHVVLRQLQ
+,9HQFHSKDOLWLVDVGHWHUPLQHGE\PLFURDUUD\DQDO\VLV
RIODVHUFDSWXUHPLFURGLVVHFWHGPDFURSKDJHVPLFURJOLD
IURPSRVWPRUWHPKXPDQEUDLQ7),6&+(560,7+
6%$1(5-((60*811$00-$//'5('6'
*,16%(5*7HPSOH8QLY6FKRI0HG&WUIRU'HPHQWLD
5HVHDUFK1DWKDQ.OLQH,QVW&WUIRU'HPHQWLD5HVHDUFK
1DWKDQ.OLQH,QVWLWXWH1HZ<RUN8QLY/DQJRQH0HG&WU
3267(5
%UDLQ,PDJLQJ$OWHUDWLRQVLQ6FKL]RSKUHQLDDQG2WKHU
3V\FKRVHV,
0RQ$0±(UQHVW10RULDO&RQYHQWLRQ&HQWHU+DOO) 8
$OWHUHGKLSSRFDPSDOUHVSRQVHGXULQJ
VWLPXOXVHQFRGLQJ$SRWHQWLDOLQGLFDWRURIJHQHWLFOLDELOLW\IRU
VFKL]RSKUHQLD55$6(77,960$77$<0*:+,7(
4&+(1;&+(1*-32'(//)6$0%$7$52-+
&$//,&277'5:(,1%(5*(51,+/LHEHU,QVWIRU
%UDLQ'HYHORSPHQW-RKQV+RSNLQV0HG&DPSXV
1RUWK:ROIH6WUHHW%UDLQ&WUIRU0RWRUDQG6RFLDO&RJQLWLRQ
,QVW,WDOLDQRGL7HFQRORJLDDW81,3U
8
5HZDUGV\VWHPDFWLYDWLRQLQSDWLHQWV
ZLWKVFKL]RSKUHQLDWUHDWHGZLWKRODQ]DSLQHEORQDQVHULQH
DQGDULSLSUD]ROH$I05,VWXG\1+$6+,0272$
72<20$.,70,<$0272,.8680,*UDG6FKRI
0HGLFLQH+RNNDLGR8QLY
8
'LVUXSWLRQRIWKHIURQWRSDULHWDOFRQWURO
QHWZRUNLQVFKL]RSKUHQLDDQGELSRODUGLVRUGHU$FRPPRQ
SDWKZD\IRUSV\FKRVLV"-7%$.(5$-+2/0(65/
%8&.1(5'21*850F/HDQ+RVS+DUYDUG0HG6FK
+DUYDUG8QLY++0,0DVVDFKXVHWWV*HQ+RVS
8
S'HFUHDVHGFRQWUROE\60$LQ
FKLOGKRRGRQVHWVFKL]RSKUHQLDGXULQJPRWRUIXQFWLRQ&
012521+$5:+,7()/$/21'(1*2*7$<9
',:$'.$5:D\QH6WDWH8QLY6FKRI0HG1DWO,QVWRI
0HQWDO+OWK
8
6XEFRUWLFDOPRGXODWLRQRIDWWHQWLRQDO
FRQWUROE\VHFRQGJHQHUDWLRQDQWLSV\FKRWLFVLQ¿UVWHSLVRGH
SV\FKRVLV7,.87$$.0$/+275$'*52%,1621
-$*$//(*2%'3(7(563*581(5-.$1(6
6(9<356=(6=.27KH)HLQVWHLQ,QVW)RU0HG5HV
7KH=XFNHU+LOOVLGH+RVS+RIVWUD1RUWK6KRUH/,-6FKRI
0HG+XGVRQ9DOOH\3V\FKLDWULF$VVRFLDWHV
8
3UHGLFWLQJWUHDWPHQWUHVSRQVHLQ
VFKL]RSKUHQLDXVLQJIXQFWLRQDOPDJQHWLFLPDJLQJDFTXLUHG
GXULQJDQHSLVRGLFPHPRU\WDVN1/+87&+(6210
':+((/2&.-$+$'/(<0$5(,''0:+,7(
$&/$+7,8QLY$ODEDPD%LUPLQJKDP8QLY$ODEDPD
%LUPLQJKDP8QLY$ODEDPD%LUPLQJKDP8QLY$ODEDPD
%LUPLQJKDP
8
I05,%2/'YDULDQFHLQ
PHVRFRUWLFROLPELFQHWZRUNH[SODLQHGE\WUHDWPHQWRXWFRPH
LQSDWLHQWVZLWKVFKL]RSKUHQLD,PSOLFDWLRQVIRUSUHGLFWLQJ
UHVSRQVHWRDQWLSV\FKRWLFPHGLFDWLRQ0':+((/2&.
0$5(,'1/+87&+(621'0:+,7($&/$+7,
8$%8$%8$%8$%8$%
S
9
$UH1$$UHGXFWLRQVHWLRORJLFDOLQ
QHXURSV\FKLDWULFGLVRUGHUV"36$5,<$1185$
3((7+$0%$5$1(%$55<%$1'5(:66+,*$.,$
%26207:,+7$1*56(/:<11*581%(5*-5
02))(770$1$0%22',5,868+6868+6868+6
868+6868+6
9
3HUIRUPDQFHGLVFUHSDQFLHVLQSDWLHQWV
ZLWKVFKL]RSKUHQLDGXULQJWZRUHZDUGWDVNV'0:+,7(.
%$96$55(:(//(5-(&2;0':+((/2&.
0$5(,'-$+$'/(<$&/$+7,8QLY$ODEDPD
8QLY$ODEDPD8QLY$ODEDPD
9
$VWXG\RIIURQWRVWULDWDOFLUFXLWU\JUD\DQG
ZKLWHPDWWHULQVFKL]RSKUHQLD--/(9,7733(/$9,1
7%$//,1*(55:0&&$5/(<0(6+(1721
+DUYDUG0HG6FK9$%RVWRQ+&63V\FKLDWU\%ULJKDPDQG
:RPHQ¶V+RVSLWDO3V\FKLDWU\1HXURLPDJLQJ/DE+DUYDUG
0HG6FK
9
$VVRFLDWLRQRIJOXWDPDWHDQG
1DFHW\ODVSDUWDWHLQVFKL]RSKUHQLDEHIRUHDQGDIWHU
WUHDWPHQWZLWKULVSHULGRQH$SURWRQPDJQHWLFUHVRQDQFH
VSHFWURVFRS\VWXG\0$5(,'19.5$*8/-$&'
0:+,7(1/+87&+(6210':+((/2&.-$
+$'/(<-$'(1+2//$1'(5$&/$+7,8QLYRI
$ODEDPDDW%LUPLQJKDP
9
6WDJHVSHFL¿FDEQRUPDOLWLHVRI
JOXWDPDWHUJLFPHWDEROLWHVDQG1DFHW\ODVSDUWDWHLQ
LQGLYLGXDOVZLWKVFKL]RSKUHQLD71$768%25,+,128(
2$%(<7$.$121,:$6+,52<$2.,.7$.(,
6.2,.(0085$.$0,1<$+$7$0.$7685$:
*212,+6$6$.,+7$.$2..$6$,+<$0$68(
7KH8QLYRI7RN\R*UDG6FKRI0HGLFLQH8QLYRI7RN\R
*UDG6FKRI0HGLFLQH8QLYRI7RN\R+OWK6HUYLFH&HQWHU
8QLYRI7RN\R
9
*OXWDPDWHG\VUHJXODWLRQLQSHGLDWULF
ELSRODUGLVRUGHU$+056VWXG\(06,.2*/8$
$/,62'.(11('<-.,1*5$((''(1-$
)5$=,(5&00225(80$660HG6FK.HQQHG\
.ULHJHU,QVW
9
+\SHUDFWLYLW\LQDIXQFWLRQDOQHWZRUN
LQYROYLQJYRLFHVHOHFWLYHFRUWLFDOUHJLRQVGXULQJWKRXJKW
JHQHUDWLRQLQKDOOXFLQDWLQJVFKL]RSKUHQLDSDWLHQWV.0
/$9,*1(/5$3,10'2+(1+/¯9(1%58&.-&
:+,70$13'0(7=$.76:22':$5'%&0HQWDO
+OWKDQG$GGLFWLRQ5HV,QVW8QLYRI%ULWLVK&ROXPELD
8QLYGX4XHEHFj0RQWUpDO*UHQREOH8QLY
9
6FKL]RSKUHQLDSDWLHQWVDQGXQDIIHFWHG
VLEOLQJVVKRZUHGXFHGDFWLYDWLRQLQWKHGRUVRODWHUDO
SUHIURQWDOFRUWH[GXULQJWKHQEDFNZRUNLQJPHPRU\WDVN
XVLQJ0(*.&/,1()&$59(57+2/52<'-$38'
'5:(,1%(5*(55&2332/$1,0+1,0+/,%'
9
([SUHVVLRQRIVFKL]RSKUHQLDVXVFHSWLELOLW\
JHQH=1)$LQKXPDQEUDLQ+&286,-16/
($67:22'0:$/.(5&6+$1121:(,&.(573
:-%851(73-+$55,6218QLYRI2[IRUG8QLYRI
1HZ6RXWK:DOHV
9
$QWLSV\FKRWLFGUXJWUHDWPHQWUHVWRUHV
LPSDLUHGOLPELFV\VWHPFRQQHFWLYLW\LQVFKL]RSKUHQLD-$
+$'/(<'0:+,7(51(1(5706%2/',1*
.09,66&+(5$&/$+7,8QLYRI$ODEDPD$W
%LUPLQJKDP8QLYRI$ODEDPDDW%LUPLQJKDP8QLYRI
$ODEDPDDW%LUPLQJKDP8QLYRI$ODEDPDDW%LUPLQJKDP
9
3UHOLPLQDU\HYLGHQFHRIEUDLQ
PLFURVWUXFWXUDODOWHUDWLRQVLQJHULDWULFELSRODUGLVRUGHUXVLQJ
GLIIXVLRQNXUWRVLVLPDJLQJ$*21(1&1.0$'85$,
0&0$//2<'*+$53(5%3)25(67(50F/HDQ
+RVS+DUYDUG0HG6FK0F/HDQ+RVS
9
*HQHH[SUHVVLRQSUR¿OLQJRI
ROLJRGHQGURF\WHVLQGRUVRODWHUDOSUHIURQWDOFRUWH[GHHS
ZKLWHPDWWHULQELSRODUGLVRUGHUDQGVFKL]RSKUHQLD
6$0$81(<&3,(7(56(1-*2/'67(,17
3(75<6+(1/6(,'0$106+(172150&&$5/(<
7:220F/HDQ+RVS%ULJKDPDQG:RPHQ¶V+RVS
+DUYDUG0HG6FK0DVVDFKXVHWWV*HQ+RVS%HWK,VUDHO
'HDFRQHVV0HG&WU9HWHUDQV$IIDLUV%RVWRQ+HDOWKFDUH
6\VW
9
+HWHURJHQHLW\RISUHIURQWDOFRUWH[
S\UDPLGDOQHXURQVGRSDPLQHGHQHUYDWLRQHOLFLWVGHQGULWLF
VSLQHORVVRIS\UDPLGDOFHOOVEDVHGRQSURMHFWLRQWDUJHW+
:$1*$'(87&+9DQGHUELOW8QLY0HG&WU
9
,QFUHDVHGH[SUHVVLRQRIWUDQVIRUPLQJ
JURZWKIDFWRUEHWD7*)EP51$LQWKHDP\JGDOD
RIVFKL]RSKUHQLFVXEMHFWV00$5.27$+
3$17$=2328/266%(55(77$0F/HDQ+RVS+DUYDUG
0HG6FK0FOHDQ+RVS+DUYDUG0HG6FK
9
1HXURELRORJLFDODQGJHQHWLFPDUNHUV
LQVFKL]RSKUHQLD$WKHRUHWLFDOUHSOLFDWLRQXVLQJWKH
DOOHQLQVWLWXWHIRUEUDLQVFLHQFHRQOLQHGDWDEDVH.0
*$//$1'(5(*$+7$1+XPEROGW6WDWH8QLYHVLW\
+XPEROGW6WDWH8QLYHVLW\
9
0LWRFKRQGULDOHIIHFWVRIDSXWDWLYH
',6&PXWDWLRQ:LQVFKL]RSKUHQLD)2*$:$(
/90$/$9$6,'&62$5(6'-3257(286-.
0,//$58QLYRI(GLQEXUJK
3267(5
0ROHFXODU2XWFRPHVLQ7LVVXHIURP6FKL]RSKUHQLD
9
3URWHRPLFDQDO\VLVRISDOPLWR\ODWHG
SURWHLQVLQKXPDQEUDLQ-78&+2/6.,-+0($'25
:22'58))8QLY$ODEDPD%LUPLQJKDP
9
$OWHUDWLRQVRIWKHP\ULVWR\ODWHG
DODQLQHULFK&NLQDVHVXEVWUDWH0$5&.6LQIURQWDO
FRUWH[LQ6FKL]RSKUHQLD$/3,11(5-+0($'25
:22'58))9+$528781,$18QLY$ODEDPDDW
%LUPLQJKDP0RXQW6LQDL6FKRI0HG
9
$EQRUPDOJHQHH[SUHVVLRQLQS\UDPLGDO
QHXURQVZLWKLQVSHFL¿FOD\HUVRIDFFLQVFKL]RSKUHQLD
066,002166'<$7(69+$528781,$15
0&&8//8060,7+-+0($'25:22'58))8$%
7KH0W6LQDL6FKRI0HG
9
,QFUHDVHGH[SUHVVLRQRI(SKUHFHSWRUV
DQGWKHLUOLJDQGVHSKULQVLQDQWHULRUFLQJXODWHFRUWH[
LQVFKL]RSKUHQLD-%'580021'.:22'9
+$528781,$1-+0($'25:22'58))8QLY
$ODEDPD%LUPLQJKDP0RXQW6LQDL6FKRI0HG
:
*O\FRV\ODWLRQRI*$%$$UHFHSWRU
VXEXQLWVLQVFKL]RSKUHQLD7008(//(59
+$528781,$1-0($'25:22'58))8$%0RXQW
6LQDL6FKRI0HG
:
,PSDLUHGFRXSOLQJRIJO\FRO\WLF
HQ]\PHVDQGFKDUDFWHUL]DWLRQRIWKH($$7LQWHUDFWRPH
LQVFKL]RSKUHQLD'6+$1'0281760225(9
+$528781,$1-+0($'25:22'58))5(
0&&8//8060,7+8QLY$ODEDPD%LUPLQJKDP0RXQW
6LQDL6FKRI0HG
:
$EQRUPDOLWLHVRIWKHXELTXLWLQSURWHDVRPH
V\VWHPLQWKHVXSHULRUWHPSRUDOJ\UXVLQVFKL]RSKUHQLD
0'58%,29+$528781,$1-+0($'25
:22'58))8QLYRI$ODEDPD$W%LUPLQJKDP0RXQW6LQDL
6FKRI0HG
:
3UHDQGSRVWV\QDSWLFPDUNHUVRI
FRUWLFDOSDUYDOEXPLQEDVNHWFHOOWHUPLQDOVLQVFKL]RSKUHQLD
-5*/$86,(5.1),6+'$/(:,68QLY3LWWVEXUJK
:
&RUWLFDOJHQHH[SUHVVLRQFKDQJHVDIWHU
DFRQGLWLRQDONQRFNRXWRIWKHN'DLVRIRUPRIJOXWDPDWH
GHFDUER[\ODVHJHQHLQSDUYDOEXPLQFRQWDLQLQJ*$%$
QHXURQV''*(25*,(97<26+,+$5$<0,1$%('
$/(:,67+$6+,0272.DQD]DZD8QLY*UDG6FKRI
0HG6FL.DQD]DZD8QLY*UDG6FKRI0HG6FL8QLYRI
:
'HFUHDVHGH[SUHVVLRQRIWUDQVFULSWLRQDO
UHJXODWRU\IDFWRU=LILQWKHSUHIURQWDOFRUWH[RIVXEMHFWV
ZLWKVFKL]RSKUHQLD6.,0272++%$=0,'$/(:,6
8QLYRI3LWWVEXUJK
:
'HFUHDVHGSHULQHXURQDOQHWODEHOLQJ
DQGDOWHUHGSDUYDOEXPLQLPPXQRUHDFWLYLW\LQWKHGRUVDO
ODWHUDOSUHIURQWDOFRUWH[RIVXEMHFWVZLWKVFKL]RSKUHQLD-
)(1:5,*+7,,,'$5,21.),6+'/(:,68QLYRI
3LWWVEXUJK0HG&WU
:
([SUHVVLRQSUR¿OHRIWUDQVFULSWV
UHJXODWLQJ*$%$DQGJOXWDPDWHLQSXWVWRS\UDPLGDO
FHOOVLQWKHGRUVRODWHUDOSUHIURQWDOFRUWH[RIVXEMHFWVZLWK
VFKL]RSKUHQLD''$77$'$5,21'/(:,68QLYRI
:
&KDUDFWHUL]DWLRQRIWKHIDFWRUVDIIHFWLQJ
SRVWPRUWHPEUDLQWLVVXHYROXPH/0&&/(0(17'$
/(:,68QLY3LWWVEXUJK
:
$VVHVVPHQWRIJOLDOFHOOWUDQVFULSWVLQ
KXPDQGRUVRODWHUDOSUHIURQWDOFRUWH[$$&85/(<'
$5,21'$/(:,68QLY3LWWVEXUJK
:
6RPDWLFGHOHWLRQVLQEUDLQ'1$IURP
DQLQGLYLGXDOZLWKVFKL]RSKUHQLD6.,00:(%67(5
6WDQOH\0HG5HV,QVW
:
*OXWDPDWHUJLFVLJQDOLQJLQWKH
KLSSRFDPSXVDQGDQWHULRUFLQJXODWHFRUWH[LQVFKL]RSKUHQLD
&0(<(5:/,6*+26(&$7$00,1*$87
6RXWKZHVWHUQ0HG&WU
:
*HQRPLFFKDQJHVRI*$'UHJXODWRU\
JHQHVLQSRVWPRUWHPKLSSRFDPSXVRIXQDIIHFWHG¿UVWGHJUHH
UHODWLYHVRIVFKL]RSKUHQLDV6=DQGELSRODUGLVRUGHUV%'*
6+(1*$-&2/(0$1)0%(1(60F/HDQ+RVS
:
([DPLQLQJOHDUQLQJDQGPHPRU\
SODVWLFLW\LQKLSSRFDPSDOVXE¿HOGVLQVFKL]RSKUHQLD:
/,%32776-3(5(=6*+26(&7$00,1*$87
6RXWKZHVWHUQ0HG&WU
:
.YEXWQRWNYSRWDVVLXPFKDQQHO
VXEXQLWVDUHUHGXFHGLQVFKL]RSKUHQLDDQGQRUPDOL]HGZLWK
DQWLSV\FKRWLFGUXJV0<$1$*,5-2+2%327766
6287+&277-3(5(=-/,67(5:/,&0(<(5.
*/($6216*+26(&7$00,1*$876RXWKZHVWHUQ
0HG&WU
S
:
$OWHUHGH[SUHVVLRQRI7(7DQG
$32%(&$DQG&LQWKHSDULHWDOFRUWH[RISV\FKRWLF
SDWLHQWV$*8,'277,8QLY,OOLQRLV&KLFDJR
:
7HVWRVWHURQHUHJXODWLRQRIGRSDPLQH
UHODWHGP51$VLQWKHDGROHVFHQWPDOHUDWQLJURVWLDWDO
SDWKZD\73859(67<62162:(16.'28%/(
&6+$1121:(,&.(571HXURVFL5HV$XVWUDOLD8QLY
RI1HZ6RXWK:DOHV1HXURVFL5HV$XVWUDOLD8QLYRI1HZ
6RXWK:DOHV
:
,QFUHDVHGGHQVLW\RI*$%$HUJLF
QHXURQVLQZKLWHPDWWHURIRUELWRIURQWDOFRUWH[LQSHRSOH
ZLWKVFKL]RSKUHQLD6-)81*'-26+,&6+$1121
:(,&.(576FKL]RSKUHQLD5HV,QVW1HXURVFL5HV
$XVWUDOLD8QLYRI1HZ6RXWK:DOHV
3267(5
%LRPDUNHUVLQ0DMRU'HSUHVVLYH'LVRUGHU
:
(YLGHQFHIRUPLFURJOLDODFWLYDWLRQ
LQDQWHULRUFLQJXODWHFRUWLFDOZKLWHPDWWHURIGHSUHVVHG
VXLFLGHV6*7255(63/$7$6&&58&($180
0$+(8$5$&+$/6.,*785(&.,10(&+$:$5
'RXJODV0HQWDO+OWK8QLY,QVWLWXWH0F*LOO8QLY0F*LOO
*URXSIRU6XLFLGH6WXGLHV'RXJODV0HQWDO+OWK8QLY
,QVWLWXWH0F*LOO8QLY'RXJODV0HQWDO+OWK8QLY,QVWLWXWH
0F*LOO8QLY
;
'HFUHDVHGVRPDWRVWDWLQDFURVVFRUWLFDO
OD\HUVLQVJDFFRISRVWPRUWHPKXPDQVXEMHFWVZLWKPDMRU
GHSUHVVLRQ$&75,33'/(:,6(6,%,//(8QLYRI
3LWWVEXUJK0HG&WU
;
%UDLQDUHDVSHFL¿FLPSDLUPHQWVRI$.7
VLJQDOLQJLQGHSUHVVLRQDQGVXLFLGH7))5$1.(6
+6,81*./,80%$.$/,$163(//,6+7$0,59
$5$1*21<86FKRI0HG1<63,&ROXPELD8QLY
;
(YLGHQFHIRUDOWHUDWLRQVRIWKHJOLDO
V\QF\WLXPLQPRRGGLVRUGHUV$0(',1$0'5&
7+2036216%85.(:%811(<500<(56$
6&+$7=%(5*-%$5&+$6+$.,/6-:$76218QLY
0LFKLJDQ8QLYRI&DOLIRUQLD+XGVRQ$OSKD,QVWIRU%LRWHFK
6WDQIRUG8QLY&RUQHOO8QLY
;
+XPDQROIDFWRU\EXOEQHXURJHQHVLVLQ
PHGLFDWHGDQGXQPHGLFDWHGGHSUHVVHGVXLFLGHV0(
0$+(8-$'(925$.0$'$92/,*785(&.,1
0(&+$:$5'RXJODV0HQWDO+OWK8QLY,QVW0F*LOO8QLY
0F*LOO8QLY
;
$QDQDO\VLVRIFKRURLGSOH[XVJHQH
H[SUHVVLRQLQPDMRUGHSUHVVLYHGLVRUGHU&$7851(55
&7+203621:(%811(<$)6&+$7=%(5*-'
%$5&+$6500<(56+$.,/6-:$7621-U8QLY
0LFKLJDQ8QLY0LFKLJDQ8QLYRI&DOLIRUQLD,UYLQH6WDQIRUG
8QLY&RUQHOO8QLY+XGVRQ$OSKD,QVWIRU%LRWHFK
S
;
+LSSRFDPSXVLQGHSUHVVLRQ$
SRVWPRUWHPVWHUHRORJLFDOVWXG\RIKLSSRFDPSDOYROXPH
DQGFHOOQXPEHU)&+(1-51<(1*$$5'5
526(1%(5*.'253+3(7(56(1&WU)RU3V\FKLDWULF
5HV6WHUHRORJ\DQG(OHFWURQ0LFURVFRS\/DERUDWRU\
$DUKXV8QLY&WUIRU6WRFKDVWLF*HRPHWU\DQG$GYDQFHG
%LRLPDJLQJ$DUKXV8QLY'HSWRI3V\FKLDWU\8QLYRI
3LWWVEXUJK
;
7UDQVFULSWRPHPHWDDQDO\VLVLQPDMRU
GHSUHVVLRQ(6,%,//(;:$1*<',1*-3$55,6+
+2+-*8,//28;'$/(:,6*&76(1*8QLY
3LWWVEXUJK8QLYGH3DULV6XG;,
;
5HDOWLPHTXDQWLWDWLYHSRO\PHUDVHFKDLQ
UHDFWLRQT3&5YDOLGDWLRQIRUJHQHVLGHQWL¿HGE\PHWD
DQDO\VLVRIJHQHDUUD\VWXGLHVLQPDMRUGHSUHVVLRQ-1
3$55,6+;:$1*<',1*-*8,//28;'/(:,6*
76(1*(6,%,//(8QLYRI3LWWVEXUJK8QLYRI3DULV6XG
;,
;
$QDWRPLFDOFKDUDFWHUL]DWLRQRIFRFDLQH
DQGDPSKHWDPLQHUHODWHGWUDQVFULSW&$57JHQH
WUDQVFULSWLRQLQWKHKXPDQK\SRWKDODPXVDQGLWVUHODWLRQVKLS
WRSV\FKLDWULFGLVRUGHUV'0.52/(:6.,$0(',1$
500<(56$6&+$7=%(5*:(%811(<--
'%$5&+$6+$.,/6-:$76218QLYRI0LFKLJDQ
+XGVRQ$OSKD,QVW6WDQIRUG8QLY8QLYRI&DOLIRUQLD:HLO
0HG&RORI&RUQHOO8QLY
;
1HXURWUDQVPLWWHUVLQWKHKXPDQEUDLQ
ZLWKIRFXVRQWKHJDODQLQV\VWHPLQORFXVFRHUXOHXVDQG
WKHGRUVDOUDSKHQXFOHXV66%$5'((/(0$,75(
03$/.29,765',$=+(,-7=7+2.)(/7.DUROLQVND
,QVWLWXWHW1HXURPRUSKRORLFDODQG1HXURHQGRFULQH5HV/DE
RIWKH6HPPHOZHLV8QLYDQGWKH+XQJDULDQ$FDGRI6FL
;
,QFUHDVHGVHURWRQLQWUDQVSRUWHU
LPPXQRUHDFWLYH¿EHUVLQWKHDQWHULRUWKDODPXVLQ
VXEMHFWVZLWKPDMRUGHSUHVVLYHGLVRUGHUDUHDVVRFLDWHG
ZLWK%'1)DQG).%3JHQHV:/%21.$/(6/
6$&+6(10$,(55&-$052=3%+,&.6.$
<281*7H[DV$08QLY6\VW+6&&HQWUDO7H[DV9$
+6&7H[DV$08QLY6\VW+6&
;
&RPSXWHGWRPRJUDSK\EUDLQPRUSKRORJ\
DQGWKHLUSRO\VRPQRJUDSKLFFRUUHODWHVLQGHSUHVVLRQ$
FRPSDUDWLYHVWXG\RISDWLHQWVRIPDMRUGHSUHVVLRQWKHLU¿UVW
GHJUHHUHODWLYHVDQGQRUPDOFRQWUROV6/$9$1,$$+
.+$16DJDU/DYDQLD*5'0HGFROOHJH
;
'LVWULEXWLRQRI*V_LQOLSLGUDIWIUDFWLRQV
IURPKXPDQSODWHOHWVLQGLFDWHVWKHSUHVHQFHRIPDMRU
GHSUHVVLYHGLVRUGHU-6635286($-$&.6215-
'21$7,/721(//20&2&&+,005$6(1,&.3D[
1HXURVFL8QLY,OOLQRLV&ROO0HG,OOLQRLV&RORI2SWRPHWU\
/8GH6-HVVH%URZQ9$0&
:
,QGXFWLRQRI1$'3+R[LGDVH1R[
H[SUHVVLRQPD\KHOSWRLGHQWLI\KHWHURJHQHLW\LQSDWKZD\V
WRLQWHUQHXURQSDWKRORJ\LQVFKL]RSKUHQLD96&$776
6-)81*.0$//(16*),//0$1&6+$1121
:(,&.(571HXURVFL5HV$XVWUDOLD6FKL]RSKUHQLD5HV
,QVW8QLYRI1HZ6RXWK:DOHV
;
+LSSRFDPSDOYROXPHDQGFHOOQXPEHU
LQPDMRUGHSUHVVLYHGLVRUGHU&$672&.0(,(5-
6,03621*0$+$-$1-29(5+2/6(5/',(7(51
+(5%67*-85-86:0$<*5$-.2:6.$-&2%%
8QLY0LVVLVVLSSL0HG&WU8QLY0LVVLVVLSSL0HG&WU
&DVH:HVWHUQ5HVHUYH8QLY&OHYHODQG9$0HG&WU8QLY
0LVVLVVLSSL0HG&WU
;
5HJLRQDOFRUWLFDOWKLQQLQJLQXQPHGLFDWHG
VXEMHFWVZLWKPDMRUGHSUHVVLYHGLVRUGHU$VXUIDFH
EDVHGPRUSKRPHWU\VWXG\-63b7,-%5$.2:6.,
-+b1**,1'g5,*0*5266(+2/7)257+/
-b1&.((6(,)5,7=663,1(//,3UHFOLQLFDO/DEIRU
7UDQVODWLRQDO5HVLQWR$IIHFWLYH'LVRUGHUV&OLQIRU$IIHFWLYH
'LVRUGHUVDQG*HQ3V\FKLDWU\3V\FKLDWULF8QLY+RVS
=XULFK6ZLW]HUODQG&OLQIRU$IIHFWLYH'LVRUGHUVDQG*HQ
3V\FKLDWU\3V\FKLDWULF8QLY+RVS=XULFK6ZLW]HUODQG
8QLYRI=XULFK'HSWRI3V\FKRORJ\8QLYRI=XULFK
6ZLW]HUODQG'LY1HXURSV\FKRORJ\,QVWRI3V\FKRORJ\
8QLYRI=XULFK6ZLW]HUODQG3UHFOLQLFDO/DEIRU7UDQVODWLRQDO
5HVLQWR$IIHFWLYH'LVRUGHUV&OLQIRU$IIHFWLYH'LVRUGHUV
DQG*HQ3V\FKLDWU\3V\FKLDWULF8QLY+RVS=XULFK
6ZLW]HUODQG
;
*OXFRFRUWLFRLGUHFHSWRUWUDQVORFDWLRQ
LVDWWHQXDWHGLQROIDFWRU\QHXURHSLWKHOLDOFHOOVRISDWLHQWV
ZLWKPDMRUGHSUHVVLYHGLVRUGHU.%25*0$11:,17(5
6-())(5621$0$1&(8555$<-67()$12&
.29$&6,&6-67/28,62%(5721&+$+18QLY
3HQQV\OYDQLD
;
:KLWHPDWWHUWUDFWLQWHJULW\RIDQWHULRUOLPE
RILQWHUQDOFDSVXOHLQPDMRUGHSUHVVLRQDQGW\SHGLDEHWHV
$=+$1*2$-,/25(/=+$1-*$'(/.$5,06
<$1*$/(2:$.80$58QLYRI,OOLQRLV$W&KLFDJR
8&/$8QLYRI,OOLQRLV&KLFDJR
;
5HVWLQJVWDWHIXQFWLRQDOFRQQHFWLYLW\
LGHQWL¿HVWDUJHWVIRUULJKWVLGHGU706WUHDWPHQWRI
GHSUHVVLRQ'01,(/62109.1233:-0<6,:
2KLR6WDWH8QLY2KLR6WDWH8QLY2KLR6WDWH8QLY
<
6HUXPELRPDUNHUVLQGHSUHVVLRQ&OLQLFDO
WULDOV%6=(:&=<.0&$867,1062:$.8&0$
06,:(.''8'(..67<&=(1/:,7.2:6.,*
12:$.,QVWRI3KDUPDFRO3ROLVK$FDGRI6FL8QLY
0LVVLVVLSSL0HG&WU,QVWRI3KDUPDFRO3ROLVK$FDGRI
6FL-DJLHOORQLDQ8QLY&ROOHJLXP0HGLFXP-DJLHOORQLDQ
8QLY&ROOHJLXP0HGLFXP
<
(QKDQFHGSURFHVVLQJRIDYHUVLYH
VWLPXOLLQRUELWRIURQWDOFRUWH[LQKHDOWK\¿UVWGHJUHHUHODWLYHV
WRSDWLHQWVZLWKGHSUHVVLRQ-0$&29($188.1255
23$8/621*.18'6(1+6,(%1(5/.(66,1*
'DQLVK5HV&WUIRU0DJQHWLF5HVRQDQFH&WUIRUSV\FKLDWU\
5LJVKRVSLWDOHW1HXURELR5HV8QLW5LJVKRVSLWDOHW
<
&LQJXODWHQHWZRUNG\QDPLFVDQG
GHSUHVVLRQ)URPJOXWDPDWHG\VIXQFWLRQWRGHHSEUDLQ
VWLPXODWLRQ-35$0Ë5(=0$+$/8)+60$<%(5*
$&2037(,',%$36'HSWRI3V\FKLDWU\'HSWRI1HXURO
(PRU\8QLY6FKRI0HG
<
'RVHDQGWLPHGHSHQGHQWPRGXODWLRQ
RIP51$H[SUHVVLRQRIQHXURSUROLIHUDWLYHQHXURSODVWLF
WUDQVFULSWLRQIDFWRUVLQRUJDQRW\SLFKLSSRFDPSDOVOLFH
FXOWXUHVE\VHOHFWLYHDQGQRQVHOFWLYHVHURWRQLQUHXSWDNH
LQKLELWRUV(09$/',=$19,9$5*$6%0$57Ë1(=
9,//$<$1'5($3$=268&,QVW'H%LRPHGLFLQD<
%LRWHFQRORJLD,%%7(&8&&6,&,',&$1,QVWGH6DOXG
&DUORV,,,
<
3(7LPDJLQJRIVHURWRQHUJLFV\VWHP
LQPRQNH\VHIIHFWVRIPDWHUQDOVHSDUDWLRQDQGORQJ
WHUPFKURQLFÀXR[HWLQHWUHDWPHQWGXULQJGHYHORSPHQW6
6+5(67+$-/,2:(1(/621'3,1(5,11,6
1,+1DWO,QVWRI0HQWDO+OWK1,+
3267(5
$Q[LHW\'LVRUGHUV([SHULPHQWDO7KHUDSHXWLFV
<
S
7KHO\RSKLOLVDWHRI0WRPHQWRVD
LQGXFHVDQ[LRO\WLFOLNHHIIHFWVLQPDOHUDWVWURXJKPRGXODWLRQ
RI*$%$$UHFHSWRUFRPSOH[0,62//2=2'83217(
(675$'$&$0$5(1$0&$552-8È5(=&/Ï3(=
58%$/&$9$&WUGH,QYHVWLJDFLyQ\GH(VWXGLRV$YDQ]DGRV
GHO,31&,19(67$9,31,QVW1DFLRQDOGH3VLTXLDWUtD
8QLY$XWyQRPDGH7OD[FDOD
<
&RPSDUDWLYHVWXGLHVRIQRYHO
PHUFDSWREHQ]LPLGD]ROHGHULYDWLYHVQHXURUHFHSWRU
PHFKDQLVPRIDFWLRQ(5<$6.,1$90,.+$,/)6%,
µ¶=$.8629,167,787(2)3+$50$&2/2*<5$06
<
6KRUWWHUPDGPLQLVWUDWLRQRIÀXR[HWLQH
SURGXFHVDQ[LRO\WLFHIIHFWVLQIHPDOHUDWVGXULQJODWHGLHVWUXV
YLDDPHFKDQLVPWKDWHOHYDWHVEUDLQFRQFHQWUDWLRQVRIWKH
QHXURDFWLYHVWHURLGDOORSUHJQDQRORQHEXWGRHVQRWDOWHU
H[WUDFHOOXODU+7-06$1726$-'(9$//./,
56(7+-3)5<-:+212850/%5$1'$27
$/29,&.8QLYRI6DR3DROR5LEHLUDR3UHWR8QLYRI
%LUPLQJKDP8QLY&RO/RQGRQ8QLY&RO+RVS
<
1HZKHUEDOWUHDWPHQWIRUDQ[LHW\LQ
FRPSDULVRQWR665,+LJKHI¿FDF\ZLWKPLQLPXPVLGH
HIIHFWV5'25211(,1$7$:,(1(505(+$9,
7KH2SHQ8QLY+DGDVVDK&RO7HO$YLY-DIID$FDGHPLF
&RO7HO$YLY8QLY7KH2SHQ8QLY
<
*DVWULQUHOHDVLQJSHSWLGHDWWHQXDWHV
WKHH[SUHVVLRQDQGUHFRQVROLGDWLRQRIIHDUPHPRU\LQUDWV
,PSOLFDWLRQVIRUDQRYHOWUHDWPHQWIRUSRVWWUDXPDWLFVWUHVV
GLVRUGHU-35(67,7255(6&&$<(5-6-$0(6
3.(17&0$&.$<+$16,0$1=0(5$/,8QLY
RI2WWDZD,QVWRI0HQWDO+OWK5HV8QLYRI2WWDZD,QVW
RI0HQWDO+OWK5HV&DUOHWRQ8QLY8QLY2WWDZD,QVWRI
0HQWDO+OWK5HV
<
$';DSRWHQWDQGVHOHFWLYH
QHJDWLYHDOORVWHULFPRGXODWRURIPHWDERWURSLFJOXWDPDWH
UHFHSWRUP*OX50.$/,1,&+(90528,//,(5)
*,5$5',52<(585,26%%2851,48(7),11'
&+$59,1(/(328/9087(/632/,5/87-(16
$GGH[7KHUDSHXW$GGH[3KDUPD6$
<
$Q[LRO\WLFDFWLYLW\RIDQHXURNLQLQLVRODWHG
IURPWKHYHQRPRIDVRFLDOZDVS3RO\ELDSDXOLVWD05
0257$5,.*025(,5$&$0285$2//&2872
-&6,/9$/&'26$1-26-&*21d$/9(6)0
0('(,526/36,/9$8QLYRI%UDVLOLD(0%5$3$
<
S8SUHJXODWLRQRIVHURWRQLQEUHFHSWRU
H[SUHVVLRQLQWKHKXPDQORZHUEUDLQVWHPLQPDMRU
GHSUHVVLRQ$7</(16$0,/,1(1,'16,03621
(*-21(6:(%811(<+$.,/6-:$7621,
$.(50$18QLYRI$ODEDPDDW%LUPLQJKDP8QLYRI
0LFKLJDQ8QLYRI&DOLIRUQLD8QLYRI&DOLIRUQLD
<
0HODWRQLQ07UHFHSWRUDVSRWHQWLDOQHZ
WDUJHWIRUDQ[LHW\**2%%,52&+2$6$1&+(=4
5$,1(56&20$,*63$'21,$%(',1,65,9$5$
))5$6&+,1,0025*7$5=,$0F*LOO8QLY8QLYRI
8UELQR³&DUOR%R´8QLYRI3DUPD8QLYRI0LODQ
S
<
'LUHFWLQYROYHPHQWRIWKHYHQWUDO
KLSSRFDPSXVLQQHXURSHSWLGH6LQGXFHGDQ[LRO\VLV-
',1(,$,21(6&8-67(3$1<<(1)+2/6%2(5
5/$1'*5$)0('(586&+0,'70D[3ODQFN,QVWRI
3V\FKLDWU\0D[3ODQFN,QVWRI3V\FKLDWU\0D[3ODQFN,QVW
RI3V\FKLDWU\0D[3ODQFN,QVWRI3V\FKLDWU\0D[3ODQFN
,QVWRI3V\FKLDWU\
<
&KURQLFÀXR[HWLQHWUHDWPHQWSUHYHQWV
VHURWRQLQ%UHFHSWRULQGXFHGGH¿FLWVLQGHOD\HGDOWHUQDWLRQ
1$6+$1$+$11-$01,$6&'8/$:$8QLY
&KLFDJR:LWWHQEHUJ8QLY
3267(5
$PSKHWDPLQHVDQG0'0$7R[LFLW\
<
,PSDLUPHQWRIZLWKKROGLQJD³SUHSRWHQW´
UHVSRQVHLQUDWVZLWK0(7+LQGXFHGQHXURWR[LFLW\-621
//($9,77..(()(8QLYRI8WDK8QLYRI8WDK
<
5HJXODWLRQRI$UFP51$H[SUHVVLRQ
LQVWULDWDOHIIHUHQWQHXURQVXESRSXODWLRQVDQGGLVUXSWLRQ
RI$UFWUDQVFULSWLRQE\0(7+LQGXFHGQHXURWR[LFLW\0/
%$5.(5+$/,6.,.$.(()(8QLYRI8WDK
<
0HWKDPSKHWDPLQHLQGXFHGQHXURWR[LFLW\
GLPLQLVKHVSKDVLFGRSDPLQHDFWLYLW\LQWKHVWULDWXPRI
IUHHO\PRYLQJUDWV&'+2:$5'.$.(()('3
'$%(5.2:(5$066213$*$55,6,OOLQRLV6WDWH
8QLY8QLYRI8WDK(DVWHUQ:DVKLQJWRQ8QLY*UDQG9DOOH\
6WDWH8QLY
<
/'23$WUHDWPHQWUHVWRUHV
LPSDLUHGEDVDOJDQJOLDJHQHH[SUHVVLRQLQUDWVZLWK
PHWKDPSKHWDPLQHLQGXFHGQHXURWR[LFLW\.$.(()(
('3$678=<1.2/'(1%85*(5%3(/7210
/%$5.(5+$/,6.,8QLY8WDK8QLY8WDK3KLOLSSV
8QLYHUVLWlW0DUEXUJ8QLY8WDK
=
3DUWLDOPHWKDPSKHWDPLQHLQGXFHGVWULDWDO
GRSDPLQHORVVUHVXOWVLQDFKDQJHLQFLUFXLWU\PHGLDWLQJ$UF
UHJXODWHGUHVSRQVHUHYHUVDOOHDUQLQJ('3$678=<1.
$.(()(8QLYRI8WDK
=
(YDOXDWLQJWKHUROHRIQHXURQDO
QLWULFR[LGHV\QWKDVHFRQWDLQLQJVWULDWDOLQWHUQHXURQVLQ
PHWKDPSKHWDPLQHLQGXFHGGRSDPLQHQHXURWR[LFLW\$1
)5,&.6*/($621.$.(()(8QLYRI8WDK8QLYRI
8WDK
=
*OLDOUHDFWLYLW\LQUHSHDWHG
PHWKDPSKHWDPLQHH[SRVXUH'0)5,(1'.$.(()(
8QLYRI8WDK8QLYRI8WDK
=
$GUHQHUJLFUHFHSWRUVPRGXODWH
PHWKDPSKHWDPLQHLQGXFHGK\SHUWKHUPLDDQG
GRSDPLQHUJLFQHXURWR[LFLW\LQPLFH$6'$59(6+:-
*(/'(1+8<67--21(657&$552//&-9$1
'(56&+<)'('/8=(11RUWKHDVW2KLR0HG8QLY
1(20('
=
0HWKDPSKHWDPLQHVHOIDGPLQLVWUDWLRQ
LQFUHDVHVQHXURLQÀDPPDWRU\UHVSRQVHVLQWKHUDWEUDLQ$/
3(5621660.286,.60*5$9(67&1$3,(5
5XVK8QLY0HG&WU
S
=
$QHXURWR[LFUHJLPHQRI
PHWKDPSKHWDPLQHLQGXFHVYDVFXODUHSLWKHOLDOJURZWKIDFWRU
H[SUHVVLRQLQWKHUDWVWULDWXP6-2¶'(//(+,1*&2
$%$//-0$56+$//8QLYRI&DOLIRUQLD,UYLQH8QLYRI
&DOLIRUQLD,UYLQH8QLYRI&DOLIRUQLD,UYLQH
=
0HWKDPSKHWDPLQHHOLFLWV3(5.
PHGLDWHGHQGRSODVPLFUHWLFXOXPWUDQVFULSWLRQDOUHVSRQVHV
LQ1*FHOOV052%621&50&&85'<55
0$7680272:HVW9LUJLQLD8QLY8QLYRI0LVVLVVLSSL
=
'RHVDPSKHWDPLQHRUHQYLURQPHQWDOO\
LQGXFHGK\SHUWKHUPLDGDPDJHWRSHULSKHUDOLVVXHVDQG
RUJDQVDVZHOODVOLSRSRO\VDFFKDULGHUHOHDVHSURGXFH
QHXURWR[LFLW\"-)%2:<(55(3$7721.0
75$17(5-3+$1,*06/(9,1&75)'$)'$
&'(5)'$)'$&%(52&%4
=
7HVWLQJWKHSOHLRWURSKLQNQRFNRXWPRXVH
PRGHORIDPSKHWDPLQHLQGXFHGQHXURWR[LFLW\ZLWKSRVLWURQ
HPLVVLRQWRPRJUDSK\LPDJLQJRIVWULDWDO>)@)'*XSWDNH
*+(55$'21062720217(1(*520'(6&2
(*5$0$*(/DE)DUPDFRORJtD)DFXOWDG'H)DUPDFLD
8QLY&(86DQ3DEOR/DEGH,PDJHQ0pGLFD8QLGDG
GH0HGLFLQD\&LUXJtD([SHULPHQWDO+RVS*HQ*UHJRULR
0DUDxyQ&,%(5GH6DOXG0HQWDO&,%(56$0'HSWGH
%LRLQJHQLHUtDH,QJHQLHUtD$HURHVSDFLDO8QLY&DUORV,,,
=
$PPRQLDPHGLDWHVPHWKDPSKHWDPLQH
LQGXFHGHOHYDWLRQVLQH[WUDFHOOXODUJOXWDPDWH/(+$/3,1
%.<$0$02728QLYRI7ROHGR
=
%LQJHPHWK\OHQHGLR[\1
PHWK\ODPSKHWDPLQHH[SRVXUHUHGXFHVVHL]XUHVXVFHSWLELOLW\
LQUDWV6$&2//,16**8'(/6.<%.<$0$0272
8QLYRI7ROHGR0HG&WU8QLYLI&LQFLQQDWL
=
6HULDOH[SRVXUHWRVWUHVVDQG
PHWKDPSKHWDPLQHUHVXOWVLQSHUVLVWHQWDOWHUDWLRQVLQWKH
VWUXFWXUHDQGIXQFWLRQRIWKHEORRGEUDLQEDUULHUUROHRI
F\FORR[\JHQDVH1$1257+523%.<$0$0272
8QLYRI7ROHGR&RORI0HG
=
6HULDOH[SRVXUHWRFKURQLFXQSUHGLFWDEOH
VWUHVVDQGPHWK\OHQHGLR[\PHWKDPSKHWDPLQH0'0$
GHFUHDVHVVHURWRQLQQHXURQVLQWKHLQWHUIDVFLFXODUUHJLRQ
RIWKHGRUVDOUDSKHQXFOHXV51$7$5$-$1%.
<$0$02728QLYRI7ROHGR
=
6(57GH¿FLHQF\DPHOLRUDWHV
PHWK\OHQHGLR[\PHWKDPSKHWDPLQHHFVWDF\LQGXFHG
K\SHUWKHUPLDK\SHUDFWLYLW\DQGQHXURWR[LFLW\LQUDWV
/(/,=$55$*$=$=8(7$$%&+2/$1,$16-
0+(51'21/66(55,1(7-021.6&RORI
3KDUPDF\8QLYRI$UL]RQD
=
$FWLYDWLRQRIFRUWLFRWURSLQUHOHDVLQJIDFWRU
&5)FRQWDLQLQJQHXURQVLQQHXURWR[LFLW\LQGXFHGE\0'0$
LQUDWV57$2=0$058'$&,//()ORULGD$WODQWLF
8QLY
$$
6WXGLHVRQWKHHIIHFWRIK\SRWKHUPLD
RQPHWK\OHQHGLR[\PHWKDPSKHWDPLQHPGPD
PHWDEROLVPDQGGLVSRVLWLRQLQUDWVDQGPLFH008(//(5
&0$/'21$'2$'5,$1-<8$180&&$11*$
5,&$857(-RKQV+RSNLQV6FKRI0HG-RKQV+RSNLQV
6FKRI0HG
=
6LQJOHKLJKGRVHDGPLQLVWUDWLRQRI
PHWKDPSKHWDPLQHLQFUHDVHVGRSDPLQHWUDQVSRUWHU
GRSDPLQH'UHFHSWRUDQGSDUNLQOHYHOVLQUDWVWULDWXP
575$,1,%$.,//,1*(5006+$+$
026=&=<16.$:D\QH6WDWH8QLY
3267(5
6WUHVVDQG$GGLFWLRQ
7KHLPSDFWRIUHVWUDLQWRGRUDQWDQG
$$
IRRWVKRFNVWUHVVRQLQKLELWRU\V\QDSWLFSODVWLFLW\LQWKHYHQWUDO
WHJPHQWDODUHD10*5$=,$1(10*5$=,$1(-$
.$8(5%URZQ8QLY
$$
/RQJODVWLQJFKDQJHVLQLQKLELWRU\
V\QDSWLFSODVWLFLW\LQWKHYHQWUDOWHJPHQWDODUHDDIWHUVWUHVV
$032/7(5-$.$8(5%URZQ8QLY
$$
(DUO\OLIHVWUHVVDQGSUHQDWDOQLFRWLQH
H[SRVXUHDOWHUS\UDPLGDODQGJUDQXOHQHXURQVLQ&$&$
DQG'*RIWKHGHYHORSLQJUDWKLSSRFDPSXV0&*21'5(
/(:,6+:$1*+RZDUG8QLY&RORI0HG
$$
%DVRODWHUDODP\JGDODH[FLWDELOLW\LV
PRGXODWHGE\DGHQRVLQHUJLFVLJQDOLQJDQGLVDOWHUHGLQD
URGHQWPRGHORIHDUO\OLIHVWUHVVWKDWHQJHQGHUVLQFUHDVHVLQ
DQ[LHW\OLNHEHKDYLRUDQGHWKDQROFRQVXPSWLRQ$55$8
2-$5,:2'2/$$0&+$33(//(&$57(5-/
:(,1(5:DNH)RUHVW6FKRI0HG
$$
7KHHIIHFWRIDFXWHVWUHVVRQPRQRDPLQH
R[LGDVH$H[SUHVVLRQLQKXPDQQHXURQDODQGJOLDOFHOOV&
8'(0*%$6-2+1621-0:$7621-068//,9$1
6/6:,//(<-+0(<(5;288QLY0LVVLVVLSSL
0HG&WU8QLYRI7RURQWR
$$
'RUVDOUDSKHH[FLWDWRU\GULYHRQYWD
GRSDPLQHQHXURQV+:$1*6=+$1*5&$&+23(-
&+((50025$/(6,531,'$1,+8QLYRI0$U\ODQG
$$
(IIHFWVRIFKURQLFVWUHVVRQEHKDYLRUDO
UHVSRQVHVWRPHWKDPSKHWDPLQHLQIHPDOHUDWV(0
$1'(5621/0$786=(:,&+1RUWKHUQ,OOLQRLV8QLY
$$
6FDQQHUVWUHVVWREDFFRVPRNLQJ
SODVPDFRUWLVROGLIIHUHQFHVLQPXRSLRLG2350*DOOHOH
FDUULHUV()'20,12/1,0)8-,7$+,5$6$:$8QLY
2I0LFKLJDQ
$$ %ORFNDGHRIPHODQRFRUWLQUHFHSWRUV
SUHYHQWVVWUHVVLQGXFHGUHLQVWDWHPHQWRIH[WLQJXLVKHG
QLFRWLQHVHHNLQJEHKDYLRULQUDWV-&$/(;$1'(5;
4,/:&255,(<-,50%$8=2+<$0$'$$:
%58,-1=((/8QLYRI)ORULGD8QLYRI)ORULGD
$$
5HSHDWHGVWUHVVHQKDQFHGWKH
UHDFTXLVLWLRQRIQLFRWLQHVHOIDGPLQLVWUDWLRQDIWHUZLWKGUDZDO
LQQLFRWLQHGHSHQGHQWUDWV*<8+&+(1%6+$53
8QLYRI7HQQHVVHH+OWK6FL&WU
$$ 1LFRWLQHVHOIDGPLQLVWUDWLRQPRGXODWHV
ORFDOJOXWDPDWHDQG*$%$WUDQVPLVVLRQLQSUHOLPELFFRUWH[
LQUHVSRQVHWRVWUHVV6*21**<8%6+$538QLY
7HQQHVVHH
$$ ,QYROYHPHQWRI0$2&5)DQGG\QRUSKLQ
LQWKHHVFDODWLRQRIQLFRWLQHLQWDNH$&2+(1*.22%
2*(25*(765,
$$ $QRYHOPRXVHPRGHORIDOFRKROVHHNLQJ
WULJJHUHGE\FRJQLWLYHVWUHVV6/48,&.-57$</25
<DOH8QLY6FK0HG
$$ $OFRKRODIWHUDVWUHVVRUKDVGHOHWHULRXV
HIIHFWVRQPHPRU\DQGPRRGLQIHPDOHUDWV-/*20(=
91/8,1(+XQWHU&RO7KH*UDG&WU
$$ S
3URWUDFWHGZLWKGUDZDOIURPHWKDQRODQG
WKHHQKDQFHGUHVSRQVLYHQHVVWRPLOGVWUHVV5HJXODWLRQYLD
WKHG\QRUSKLQNDSSDRSLRLGUHFHSWRUV\VWHP.*,//(77(
+$56+%(5*(5*59$/'(=*UDQG9DOOH\6WDWH8QLY
$$ 3DVWVWUHVVUHGXFHVODWHUVWUHVVLQGXFHG
UHLQVWDWHPHQWRIDOFRKROVHHNLQJLQUDWV0//2*5,3(
3=255,//$7KH6FULSSV5HV,QVW
$$ (IIHFWVRIHWKDQROLQWDNHDQGFKURQLF
PLOGVWUHVVRQGRSDPLQH'UHFHSWRUOHYHOVLQWKHPDOH
PRXVHEUDLQ)'(/,6&520%2/$5%(//(==$'
*5$1'<*:$1*1'92/.2:3.7+$126'HSW
RI3KDUPDFRORJ\8QLYRI,RDQQLQD%HKDYLRUDO1HXURSKDUP
DQG1HXURLPDJLQJ/DE0HG'HSDUWPHQW%URRNKDYHQ1DWO
/DE'HSWRI3K\VLRODQG3KDUPDFRORJ\2UHJRQ+OWKDQG
6FL8QLY/DERI1HXURLPDJLQJ1DWO,QVWRQ$OFRKRO$EXVH
DQG$OFRKROLVP1,+'HSWRI3V\FKRORJ\6WRQ\%URRN8QLY
%%
7KHEUDLQUHVSRQVHWRVWUHVVDQGDOFRKRO
VSHDNV)DPLO\KLVWRU\SHUVRQDOLW\SUR¿OHDQGJHQGHUDOO
PDWWHU0$%86+$.5$$'$*+(5-358(661(50
/(<721523,+/0F*LOO8QLY0RQWUHDO1HXURORJ,QVW
DQG+RVS0F*LOO8QLY0F*LOO8QLY0F*LOO8QLY
%%
5HSHDWHGF\FOHVRIFKURQLFLQWHUPLWWHQW
HWKDQROH[SRVXUHSURGXFHEUDLQUHJLRQDQGWLPHGHSHQGHQW
DOWHUDWLRQVLQ&5)&5)5DQG&5)5P51$JHQH
H[SUHVVLRQLQ&%/-PLFH+&%(&.(57/
'25(086),7=:$7(50329(5675((70HG8QLY
RI6RXWK&DUROLQD%LQJKDPWRQ8QLY
%%
&KURQLFDOFRKROH[SRVXUHGLIIHUHQWLDOO\
DOWHUVFRUWLFRWURSLQUHOHDVLQJIDFWRUUHFHSWRUORFDOL]DWLRQ
LQPDOHYHUVXVIHPDOHUDWV7$5(7621-%+2(.
(9$1%2&.67$(/(7KRPDV-HIIHUVRQ8QLY7KRPDV
-HIIHUVRQ8QLY7KRPDV-HIIHUVRQ8QLY
%%
%LQJHGULQNLQJDOWHUVFRUWLFRWURSLQ
UHOHDVLQJIDFWRU&5)FHOOVLQLQIUDOLPELFFRUWH[LQPDOH
DQGIHPDOHDGROHVFHQWUDWV</8:9$5*$6&
.$5$1,.$6+15,&+$5'6218QLYRI0DVVDFKXVHWWV
$PKHUVW8QLYRI0DVVDFKXVHWWV$PKHUVW
3267(5
&16'HSUHVVDQWV1HXURSHSWLGHVDQG%HKDYLRU
%%
$FXWHOHDGDFHWDWHDGPLQLVWUDWLRQ
LQGXFHVVHGDWLRQLQPLFH5$0$*$-,0*0$*$-,)
068/(0$12''$5($+0$'8%(//281,9(56,7<
=$5,$1,*(5,$$+0$'8%(//281,9(56,7<=$5,$
1,*(5,$
%%
:LGHVSUHDGÀXFWXDWLRQVLQFRUWLFDO
DURXVDOFRUUHODWHZLWKVLQJOHXQLWDFWLYLW\FKDQJHVLQQXFOHXV
JLJDQWRFHOOXODULVRIWKHPHGXOOD'3&$/'(521$
352(.7$+8'621'3)$))7KH5RFNHIHOOHU8QLY
8&/$7KH5RFNHIHOOHU8QLY
%%
%UDLQG\QDPLFVLQDURXVDOSDWKZD\V
GXULQJHPHUJHQFHIURPLVRÀXUDQHDQHVWKHVLD$(
+8'621'3&$/'(521':3)$))$352(.7
8&/$7KH5RFNHIHOOHU8QYLHUVLW\7KH5RFNHIHOOHU8QLY
%%
,QYROYHPHQWRIPDJQRÀRULQHLQWKH
SV\FKRSKDUPDFRORJLFDOHIIHFWVRI6LQRPHQL&DXOLVHW
5KL]RPDLQPLFH+/((7:226<221-&+(21*
8LP\XQJ5HV,QVW)RU1HXURVFL
S
%%
'LVFULPLQDWLYHVWLPXOXVHIIHFWVRIGU\
FOHDQLQJÀXLGWHWUDFKORURHWK\OHQHLQWR[LFDWLRQLQPLFH./
6+(/7219LUJLQLD&RPPRQZHDOWK8QLY
%% 2[\WRFLQLQWKHPHGLDOSUHIURQWDOFRUWH[
UHGXFHVDQ[LHW\LQIHPDOHUDWV66$%,+,%/(81(57KH
2KLR6WDWH8QLY
%%
,QFUHDVHGVHQVLWLYLW\WRWKHK\SHUSKDJLF
HIIHFWRI1RFLFHSWLQ2USKDQLQ)4DIWHUFDORULFUHVWULFWLRQLQ
IHPDOHUDWV&&,)$1,090,&,21,',%21$9(1785$
08%$/',00$66,5&,&&2&,23328QLYRI
&DPHULQR
%% 3HULSKHUDOGHOWDDQGPXRSLRLGUHFHSWRUV
FRQWULEXWHWRSDLQFRQWURODQGRSLRLGLQGXFHGDQDOJHVLD
DVDVVHVVHGE\1DY&UHFRQGLWLRQDONQRFNRXW&
*$9(5,$8;58))&12=$.,-1:22'%
/.,())(5,*%0&*,(&(5%0,*%0&8QLYGH
6WUDVERXUJ&156,16(50,*%0&8QLY&RO/RQGRQ
,*%0&*,(&(5%0
%% S,QWUDQDVDOR[\WRFLQUHVWULFWLYHO\
LPSURYHVHPRWLRQUHFRJQLWLRQIRUPHQZLWKDXWLVPVSHFWUXP
GLVRUGHUV7<$0$'$+2+7$+:$7$1$%(07$1,
&.$1$,72+12<7$.$<$0$5+$6+,0272$
,:$1$0,1.$72.DUDVX\DPD+RVS6KRZD8QLY6FK
RI0HG
%% 7KHUROHRI0HODQRFRUWLQ5HFHSWRU
0&5VLJQDOLQJLQFRPSXOVLYHJURRPLQJ-.%5,773
;8%$*5(87(5%/,00/877(5$$3,(3(5
8QLYRI7H[DV6RXWKZHVWHUQ0HG&WU8QLYRI7H[DV
6RXWKZHVWHUQ0HG&WU6WDQIRUG8QLY8QLYRI7H[DV
6RXWKZHVWHUQ0HG&WU
%% 'HSUHVVLRQDQ[LHW\SKHQRW\SLQJRI
QHXURSHSWLGH))UHFHSWRUW\SHWUDQVJHQLFPLFH</,1&
<$1*<&+(1+/,-&+(1&KDQJ*XQJ8QLY2UHJRQ
,QVWRI7HFKQRO
%% ,QYROYHPHQWRIFHQWUDO&5)UHFHSWRUV
LQWKHDQ[LRJHQLFEXWQRWWKHDQRUHFWLFHIIHFWVRI3$&$3
5'25($,(02/23&27721(96$%,12%RVWRQ
8QLY
%% 'DUNSKDVHK\SRDFWLYLW\SKHQRW\SHRI
UHOD[LQDQGU[ISNRPLFH1RQSKRWLFUHJXODWLRQRIDURXVDO
DQGFLUFDGLDQUK\WKPV",7+26.(1&060,7+$/
*81'/$&+)ORUH\1HXURVFL,QVW8QLYRI0HOERXUQH
%% $QDO\VHVRIWKHIDFLOLWDWRU\HIIHFWRIRUH[LQ
RQHDWLQJDQGPDVWLFDWRU\PXVFOHDFWLYLW\LQUDWV7768-,
7<$0$027267$1$.$6%$.+6+,6+$<$10
.2*2.LR8QLY2VDND8QLY2VDND3ROLFH+RVS
%% %LDVHGDJRQLVPRIGHOWDRSLRLGUHFHSWRUV
VHOHFWLYHOLJDQGVLQYLYR509$15,-1-1'()5,(/-
/:+,67/(5(UQHVW*DOR&OLQDQG5HV&WU(UQHVW*DOOR
&OLQDQG5HV&WU
&&
S1HXURSURWHFWLRQRIQHXURK\SRSK\VHDO
KRUPRQHVRQSHQW\OHQHWHWUD]ROLQGXFHGVHL]XUHVLQ
]HEUD¿VK$'21=(//,'%5$,'$50$578&&,/
321=21,$3$8/(77,06$/$8QLY'HJOL6WXGL'L
0LODQR&15,QVWRI1HXURVFL
S
&&
7RSRJUDSKLFDOGLIIHUHQFHVLQRUH[LQ
QHXURQDODFWLYDWLRQ%LQJHHDWLQJSURQHYHUVXVELQJHHDWLQJ
UHVLVWDQWUDWV.$5,&+$5'621+RZDUG8QLY&RORI
0HG
&&
&HQWUDODGPLQLVWUDWLRQRIWKH13<<
DQWDJRQLVW%,,(PRGXODWHVVH[XDOEHKDYLRULQWKHPDOH
UDW.05$02635$776-/%$55(72(675$'$
8QLYRI3XHUWR5LFR0HG6FL&DPSXV
&&
'HYHORSPHQWDOFKDQJHVLQHPEU\RQLF
K\SRWKDODPLFQHXURQVGXULQJSUHQDWDOIDWH[SRVXUH.
3221-5%$56216()$*$16)/(,%2:,7=
7KH5RFNHIHOOHU8QLY
&&
,QYLYRFKDUDFWHUL]DWLRQRIWKHGXDORUH[LQ
UHFHSWRUDQWDJRQLVW'25$/<$2$5$0,5(=6
+86=$56(%52:1(&-:,152:6'.8'8.
3&2/(0$15+,1&+/,))(65,77/($*277(5
6)2;70&'21$/'67<(37$11(1%$80-
86/$1(5-%5811(56*$56213+87621--
5(1*(55+2'*6210HUFN5HV/DEV0HUFN5HV
/DEV
3267(5
&RFKOHD&HOOXODU3URSHUWLHV
&&
$QLPSURYHGPLFURGLVVHFWLRQWHFKQLTXH
IRUFROOHFWLRQRIWKHFRFKOHDUKDLUFHOOWLVVXHIRUPROHFXODU
DQDO\VHV%:$1*%+88QLY$W%XIIDOR681<*HQ
+RVSRI3/$
&&
'LVWULEXWLRQRI&DOFLXPELQGLQJSURWHLQV
LQWKHKXPDQFRFKOHDUQXFOHXVZLWKDJLQJ752<6
6+$50$'%+$5':$-$7+$.$571$*$OO,QGLD
,QVW0HG6FL$OO,QGLD,QVW0HG6FL$OO,QGLD,QVWRI0HG
6FL$OO,QGLD,QVWRI0HG6FL$OO,QGLD,QVWRI0HG6FL
&&
$FWLYDWLRQRIPHWDERWURSLFJOXWDPDWH
UHFHSWRUVLVVXI¿FLHQWWRSUHYHQWGHDIQHVVLQGXFHGFKDQJHV
LQFKLFNFRFKOHDUQXFOHXVQHXURQV./&$5=2/,5/
+<621)ORULGD6WDWH8QLY)ORULGD6WDWH8QLY
&& 6RGLXP3RWDVVLXP&KORULGH
&RWUDQVSRUWRU1.&&H[SUHVVLRQGHFOLQHVZLWKDJHLQ
WKH&%$&D-PRXVHFRFKOHD;=+8-3:$/721%
',1*5')5,6,1$8QLYRI6RXWK)ORULGD8QLYRI6RXWK
)ORULGD
&& $XGLWRU\YHVWLEXODULQWHUDFWLRQVLQWKH
GRUVDOFRFKOHDUQXFOHXV(:,*'(5621,1(/.(1<
<$520+HEUHZ8QLY+HEUHZ8QLY
&& ,QIUDUHGQHXUDOVWLPXODWLRQIRUFRFKOHDU
LPSODQWV5DGLDQWHQHUJ\RQWDUJHWHGVSLUDOJDQJOLRQ
QHXURQV65$-*858$0$7,&65672&.&
5,&+7(58QLYRI0LDPL8QLYRI0LDPL1RUWKZHVWHUQ
8QLY1RUWKZHVWHUQ8QLY1RUWKZHVWHUQ8QLY
&& 7DUJHWLQJWKHVRPDWRVWDWLQUHFHSWRUVDVD
WKHUDSHXWLFDSSURDFKIRUWKHSUHVHUYDWLRQDQGSURWHFWLRQRI
WKHPDPPDOLDQFRFKOHDIURPH[FLWRWR[LFLW\95$'2-(9,&
<%5$1'6/(9$12'%2'0(58QLY+RVSLWDO&OLQ
)RU2WRUKLQRODU\QJRORJ\'HSWRI%LRPHGLFLQH
%% $WWHQXDWLRQRIKLJKO\SDODWDEOHIRRG
KHURLQDQGFRFDLQHVHHNLQJE\*6.DQRYHO
RSLRLGUHFHSWRUDQWDJRQLVWFRPSDUHGWRQDOWUH[RQH
&*,8/,$127:52%%,163-1$7+$1(7
%8//025(%-(9(5,778QLYRI&DPEULGJH%HKDYLRUDO
DQG&OLQ1HXURVFL,QVW'HSWRI3V\FKLDWU\8QLYRI
&DPEULGJH&OLQ8QLW&DPEULGJHDQG$FDGHPLF'38
*OD[R6PLWK.OLQH5'&OLQ8QLW&DPEULGJH
&&
7KHJDODQLQUHFHSWRUDJRQLVWJDOQRQ
PLWLJDWHVWKHVWLPXODWRU\HIIHFWRIFRFDLQHRQORFRPRWLRQ
156&,2/,12-/*529(6&+$30$1.*
)5((0$1*/(':$5'6':(,16+(1.(539
+2/0(68QLYRI*HRUJLD8QLYRI*HRUJLD(PRU\
&& 'HFHOOXODUL]HGFRFKOHDDVDVFDIIROGIRU
VWHPFHOOUHJHQHUDWLRQ3$6$17,6-2+16218QLY
0LQQHVRWD0HG6FK
&& 6WUXFWXUHRIWKHKXPDQGRUVDOFRFKOHDU
QXFOHXV-6%$,=(51,:(,1672&.1$3$2/21(
-1*6):,7(/6218QLYDW%XIIDOR0F0DVWHU8QLY
&& 7KHSUHYDOHQFHRIPRGHORFNHGVSLNH
WUDLQVLQWKHUHVSRQVHVRIFRFKOHDUQXFOHXVQHXURQVWR
SHULRGLFVWLPXOL&6&+2/(6:65+2'($5
3$/0(56&220%(6&-6801(505&,QVWRI
+HDULQJ5HV8QLYRI:LVFRQVLQ8QLYRI1RWWLQJKDP
&& $PXWDWLRQLQ&DELQGLQJ
SURWHLQH[SUHVVHGLQFRFKOHDULQQHUKDLUFHOOV
FDXVHVDXWRVRPDOUHFHVVLYHKHDULQJLPSDLUPHQW,
6&+5$8:(16+(/)0$11$,1$*$.,):2/.
0$7$%$7$%$,()$5003,&+(506200(1&
=$=26(&2+.5(0(5$'+(('(1(&&/$(6(
)5$16(10+&+$/(6+725,3&28&.($/((7
026(5*9$1&$038QLYRI$QWZHUS7KH7UDQVODWLRQDO
*HQRPLFV5HV,QVW7*HQ8QLYRI*|WWLQJHQ6FKRI
0HG8QLYRI,RZD$KYD]-XQGLVKDSXU8QLYRI0HG
6FL5DGERXG8QLY1LMPHJHQ0HG&WU8QLYRI*KHQW
6KDKUHNRUG8QLYRI0HG6FL
3267(5
$XGLWRU\6\VWHP1HWZRUNV
''
I05,FRUUHODWHVRIDXGLWRU\UHJXODULWLHVLQ
DZDNHDQGDQHVWKHWL]HGPRQNH\V/8+5,*2-2/<'
-$166(117$1,7$%(.,16&+7(,1/1$&&$&+(
6'(+$(1(%-$55$<$,QVHUP$YHQLU%HWWHQFRXUW
6FKXHOOHU1HXURVSLQ&($,QVHUP$YHQLU%HWWHQFRXUW
6FKXHOOHU&RJQLWLRQDQG%UDLQ6FL8QLW0HG5HV&RXQFLO
$3+3*URXSHKRVSLWDOLHU3LWLp6DOSrWULqUH,&05HV&WU
,16(508QLFRJ&ROOqJHGH)UDQFH1HXURPRGXODWLRQXQLW
'HSWRI1HXURVXUJHU\)RFK+RVSLWDO8QLYRI9HUVDLOOHV
6DLQW4XHQWLQ
''
0RGHOLQJWKHPLVPDWFKQHJDWLYLW\
001LQSULPDU\DXGLWRU\FRUWH[RIWKHDZDNHPRQNH\<
,),6+0$1067(,16&+1(,'(5$OEHUW(LQVWHLQ&RO
0HG
''
7KHVSDWLDOGLVWULEXWLRQRIDXGLWRU\
DWWHQWLRQDIWHUHDUO\YLVXDOGHSULYDWLRQ(/(5(16/
5(1,(5$*'(92/'(5&DWKROLTXH8QLY/RXYDLQ
8&/
''
1HXUDOFLUFXLWVXQGHUO\LQJVWLPXOXV
VSHFL¿FDGDSWDWLRQLQPRXVHDXGLWRU\FRUWH[,&+(1
)+(/0&+(1+/h7&.(%UDLQ5HV,QVWLWXWH8QLYRI
=XULFK
''
,QYROYHPHQWRILQVXODUDXGLWRU\FRUWH[LQ
QHJDWLYHDIIHFWLYHXOWUDVRQLFYRFDOFRPPXQLFDWLRQLQUDWV$
0%(1,621=60,7+'6%$57+8QLYRI&RORUDGR
''
0RGL¿HGDUHDOFDUWRJUDSK\LQWKHFDW
DXGLWRU\FRUWH[IROORZLQJHDUO\DQGODWHRQVHWGHDIQHVV&
:21*1&+$%270$.2.6*/20%(57KH8QLY
RI:HVWHUQ2QWDULR7KH8QLYRI:HVWHUQ2QWDULR7KH8QLY
RI:HVWHUQ2QWDULR
&& /RFDO¿HOGSRWHQWLDODFWLYLW\LQSULPDWH$
GXULQJDXGLWRU\GHOD\HGPDWFKLQJWRVDPSOHDQGRSHUDQW
FRQGLWLRQLQJWDVNSHUIRUPDQFH%15266,-%,*(/2:
$325(0%$8QLYRI,RZD
'' 2SWRJHQHWLFVWLPXODWLRQRIDQLQKLELWRU\
QHWZRUNHQKDQFHVIHHGIRUZDUGFRQQHFWLYLW\LQDXGLWRU\
FRUWH[/6+$0,/721-62+/',&.67(,1$*
+87+6%$28QLYRI&DOLIRUQLD%HUNHOH\
&& 6SDWLRWHPSRUDOG\QDPLFVRI
HOHFWURFRUWLFRJUDSKLF(&R*DFWLYLW\GXULQJSUHVHQWDWLRQRI
QDWXUDODXGLWRU\VWLPXOL$'(3(67(563%5811(5
$*81'8=&0(+5,1**6&+$/.:DGVZRUWK&WU
$OEDQ\0HG&RO*UD]8QLYRI7HFKQRO8QLYRI)ORULGD
,PSHULDO&RO:DVKLQJWRQ8QLY6FKRI0HG5HQVVHODHU
3RO\WHFKQLF,QVW6WDWH8QLYRI1HZ<RUNDW$OEDQ\
'' %LRSK\VLFDOO\EDVHGPRGHOVRIORFDO
¿HOGVDQGHSKDSWLFFRXSOLQJLQWKHDXGLWRU\EUDLQVWHP
-+*2/':<13;-25,600&/$8*+/,1(
9(56&+227(1-5,1=(/1HZ<RUN8QLY1HZ<RUN
8QLY8QLYRI/HXYHQ8QLYRI&DOLIRUQLD,UYLQH
&& ,QGXFHGF)RVH[SUHVVLRQLQWKHUDW
DXGLWRU\SDWKZD\DQGOLPELFV\VWHPIROORZLQJN+]
FRQVSHFL¿FYRFDOL]DWLRQ/28'$-6<.$,QVWRI([SWO
0HGLFLQH$FDGRI6FLRIWKH&]HFK5HSXEOLF
'' &XOWXUDODSSOLFDWLRQVRIDQDXGLWRU\
QHXURG\QDPLFVPRGHO1.)/$,*-.,0(:/$5*(
&/.580+$16/)ORULGD$WODQWLF8QLY&RUQHOO8QLY
''
'HVFHQGLQJPRGXODWLRQRIDXGLWRU\
VHQVLWLYLW\LQWKHIURJPLGEUDLQ$3211$7++(
)$55,6/RXLVLDQD6WDWH8QLY+6&
'' 2XUEUDLQVKHDUWKHZRUOGLQWKHVDPH
ZD\&0327(63%5811(5$*81'8=*
6&+$/.:DGVZRUWK&HQWHU1<6'HSWRI+OWK8QLYRI
7H[DVDW(O3DVR$OEDQ\0HG&RO*UD]8QLYRI7HFKQRO
8QLYRI)ORULGD:DGVZRUWK&WU:DVKLQJWRQ8QLY6FKRI
0HG5HQVVHODHU3RO\WHFKQLF,QVW
''
0HPRU\IRUVSHFWURWHPSRUDOIHDWXUHV
RIDXGLWRU\VWLPXOLDUHUHSUHVHQWHGLQKXPDQKLSSRFDPSXV
DQGSODQXPWHPSRUDOH6.80$5+0%211,&,6
7(.,75$*86'35(661,7=(5($0$*8,5(7
'*5,)),7+61HZFDVWOH8QLY8QLY&RO/RQGRQ(FROH
QRUPDOHVXSpULHXUH
'' (OHFWURFRUWLFRJUDSKLF(&R*DFWLYLW\
FKDUDFWHUL]HVWKHQHXUDOSURFHVVHVWKDWUHDOL]HYLVXRPRWRU
IXQFWLRQLQKXPDQV:*&221$*81'8=3
%5811(5*6&+$/.:DGVZRUWK&WU8QLYDW$OEDQ\
8QLYRI)ORULGD$OEDQ\0HG&RO*UD]8QLYRI7HFKQRO
:DVKLQJWRQ8QLY5HQVVHODHU3RO\WHFKQLF,QVW
''
(YDOXDWLQJWKHQHFHVVLW\RI
QRUHSLQHSKULQHIRUH[SHULHQFHGHSHQGHQWSODVWLFLW\GXULQJ
DXGLWRU\FRUWLFDOGHYHORSPHQW.16+(3$5'/&
/,/(6':(,16+(1.(55&/,8(PRU\8QLY(PRU\
8QLY
'' 9HVLFXODU*$%$WUDQVSRUWHUH[SUHVVLRQ
LQWKHDXGLWRU\FRUWH[RIPDFDTXHPRQNH\V/$'(/$
027+(0(&$32==,7$+$&.(777HQQHVVHH6WDWH
8QLY9DQGHUELOW8QLY9DQGHUELOW8QLY9DQGHUELOW8QLY
'' 3RSXODWLRQFRGLQJRIVRXQGOHYHOLQ
SULPDU\DXGLWRU\FRUWH[:681(0$521*(//,$
)(5'2$6+'/%$5%285:DVKLQJWRQ8QLY
S
'' (QFRGLQJRIVLPSOHDQGFRPSOH[VRXQGV
E\ORFDO¿HOGSRWHQWLDOVLQSULPDWHDXGLWRU\FRUWH[-
%,*(/2:%5266,,=',/$5$325(0%$8QLYRI
,RZD8QLYRI,RZD
(( 3HULQHXURQDOQHWVDQG*$%$HUJLF
FHOOVLQJXLQHDSLJLQIHULRUFROOLFXOXV1/)267(5-*
0(//277&662:,&.%56&+2),(/'1RUWKHDVW
2KLR0HG8QLY
'' ,QWUDFHOOXODUUHFRUGLQJVIURPWKHDXGLWRU\
FRUWH[RIDZDNHXQUHVWUDLQHGPLFH$1(/621,<221
.+$0$*8&+,50221(<'XNH8QLY
(( $XGLWRU\DWWHQWLRQGXULQJDQDWXUDO
FRFNWDLOSDUW\LQFRPPRQPDUPRVHWV&572$50,12&
70,//(58&6DQ'LHJR
'' 3URMHFWLRQFODVVVSHFL¿FLW\RIORFDO
PLFURFLUFXLWDUFKLWHFWXUHLQDXGLWRU\FRUWH[-0,''/(721
&$1'(5621*6+(3+(5'77=2812328/26
8QLYRI3LWWVEXUJK1RUWZHVWHUQ8QLY
(( &KDQJLQJWKHVHQVRU\UHSUHVHQWDWLRQ
RISXUHWRQHVE\DWWHQWLRQLQSULPDU\DXGLWRU\FRUWH[0
12¶&211(//$)$/&+,(5&(6&+52('(53
/$.$7261DWKDQ.OLQH,QVWLW&LW\&RO&81<&ROXPELD
8QLY&RORI3K\VLFLDQVDQG6XUJHRQV
'' )UHTXHQF\VHOHFWLYLW\WKURXJKRXWWKH
DXGLWRU\V\VWHP77:(//6&-6801(505&,QVWRI
+HDULQJ5HV
((
*HQHUDWLRQRILQWHQVLW\VHOHFWLYLW\LQ
WKHFHQWUDODXGLWRU\SDWKZD\0=+28+:7$2/,
=+$1*86&
3267(5
$XGLWRU\6\VWHP0RGXODWLRQ
((
0RGXODWLRQRIDXGLWRU\UHVSRQVHVE\
EHKDYLRUDOVWDWHLQPRXVHDXGLWRU\FRUWH[$**86(9&
/,8-:(.6(/%/$770:(+58QLYRI2UHJRQ
((
(DUO\VRFLDOH[SHULHQFHVKDSHVWXQLQJ
IRUYRFDOL]DWLRQVLQWKHVRQJELUGDXGLWRU\IRUHEUDLQ-0
0225(601:22//(<&ROXPELD8QLY
((
$JHUHODWHGFKDQJHVLQDXGLWRU\
SURFHVVLQJRIVSHHFKOLNHVWLPXOLDVVHVVHGDWWKHSRSXODWLRQ
DQGFHOOXODUOHYHOV$3$57+$6$5$7+<(/%$57/(77
3XUGXH8QLY3XUGXH8QLY
((
,QKLELWRU\VKDSLQJRIELQDXUDOUHVSRQVH
SURSHUWLHVLQUDWDXGLWRU\FRUWH[0.<:(5,*$:
67(:$57&&$+,//06:(+58QLYRI2UHJRQ
((
'HYHORSPHQWDOFKDQJHVLQLQWUDODPLQDU
DXGLWRU\FRUWLFDOFRQQHFWLYLW\6%$1'<23$'+<$<6
9,6:$1$7+$15'(1*3.$12/'8QLYRI0DU\ODQG
++0,
((
6WDWHGHSHQGHQWLQIRUPDWLRQSURFHVVLQJ
LQDXGLWRU\WKDODPRFRUWLFDOQHWZRUN66$.$7$6,3%6
8QLYRI6WUDWKFO\GH
((
0RXVHLQVXODUDXGLWRU\¿HOGUHFHLYHV
SURMHFWLRQVIURPWKHYHQWUDOGLYLVLRQRIWKHPHGLDOJHQLFXODWH
ERG\07$.(027201,6+,085$:621**UDG
6FKRI/LIH6FL
(( 1HXURQVLQSULPDU\DXGLWRU\FRUWH[
DQGWKHPHGLDOODWHUDOEHOWDXGLWRU\DUHDRIDQDHVWKHWL]HG
PDUPRVHWVDUHVHQVLWLYHWRLQWHUDXUDOOHYHOGLIIHUHQFHVIRU
QDWXUDOYRFDOL]DWLRQV///8,9'8%$-0*3526$
55$-$10RQDVK8QLY
((
7LPHFRXUVHRIFRQWUDVWJDLQFRQWUROLQ
IHUUHWDXGLWRU\FRUWH[%:,//025(1&5$%,12:,7=
-:+6&+1833$-.,1*2[IRUG8QLY1HZ<RUN
8QLY
S
(( (IIHFWVRIFRROLQJRIWKHDXGLWRU\FRUWH[
RQQHXURQDODFWLYLW\LQWKHLQIHULRUFROOLFXOXVLQUDWV-
323(/$5'687$0-,/(..3<6$1(1.27
&+80$.-6<.$,QVWRI([SWO0HG$6&5
(( 5HVSRQVHVRIPDUPRVHWIURQWDOFRUWH[
QHXURQVGXULQJDQDWXUDOYRFDOEHKDYLRU$QWLSKRQDOFDOOLQJ
$:7+20$6.*25'21/'(/$027+(&
0,//(58&6DQ'LHJR7HQQHVVHH6WDWH8QLY
(( %D\HVLDQPRGHOLQJRIKXPDQ
SHUIRUPDQFHLQDQDXGLWRU\FDWHJRUL]DWLRQWDVN$
0*,))25'<(&2+(1$672&.(58QLYRI
3HQQV\OYDQLD
(( &RQWH[WDIIHFWVWKHUHVSRQVHVRI
PDUPRVHWIURQWDOFRUWH[QHXURQVGXULQJQDWXUDOYRFDO
FRPPXQLFDWLRQ&70,//(5$7+20$6.*25'21
/'(/$027+(8&6'7HQQHVVHH6WDWH8QLY
(( )UHTXHQF\VSHFL¿FFRQQHFWLYLW\LQWKH
PDFDTXHDXGLWRU\FRUWH[%+6&2773$/(&&(6(
0)8.86+,0$008//$5.(<.66$/((00
0,6+.,15&6$81'(561,0+
))
(OHFWURQPLFURVFRSLFLGHQWL¿FDWLRQ
RIDXGLWRU\FRUWLFDOV\QDSVHVRQWR*$%$HUJLFDQGQRQ
*$%$HUJLFFHOOVLQWKHLQIHULRUFROOLFXOXV.71$.$0272
-*0(//277-.,//,860(6725(<:25./(<&
662:,&.%56&+2),(/'1RUWKHDVW2KLR0HG8QLY
))
$VSHFL¿FGH¿FLWLQFHQWUDODXGLWRU\
SURFHVVLQJLQPRXVHPRGHORIGHYHORSPHQWDODQG
DXWRLPPXQHGLVRUGHUV/$$1'(5621-0$77/(<-)
/,1'(18QLY&RO/RQGRQ8QLY&RO/RQGRQ
3267(5
$XGLWRU\6\VWHP5HSUHVHQWDWLRQ2UJDQL]DWLRQDQG
3ODVWLFLW\
))
&KDQJHUHODWHGDQG2IIIUHVSRQVHRI
3001,6+,+$5$.,18,786+,'$5.$.,*,
$LFKL0HG8QLY1DWO,QVWIRU3K\VLRORJLFDO6FL$LFKL0HG
8QLY
))
2SWRJHQHWLFPDQLSXODWLRQRIWKHVRQJELUG
SUHPRWRUQXFOHXV+9&7)52%(57600858*$1.
$76&+,'$50221(<'XNH8QLY0HG&WU
((
$XGLWRU\VWHDG\VWDWHUHVSRQVHVLQ
WKHDFRXVWLFOLPELFFLUFXLWU\/DWHUDODP\JGDODVWXG\$9
/2&.0$11/%)(/,;0)'025$(68QLY)HGHUDO
'H0LQDV*HUDLV8QLY)HGHUDOGH9LoRVD8QLY)HGHUDO'H
0LQDV*HUDLV
(( *HQHUDWLRQRIVSLNHODWHQF\WXQLQJE\
WKDODPRFRUWLFDOFLUFXLWVLQDXGLWRU\FRUWH[/0(6,.<
=+28+7$2/=+$1*=LONKD1HXURJHQHWLF,QVW86&
86&86&
))
%HKDYLRUDOSDUDGLJPWRPHDVXUH
WKHORZHUOLPLWRISLWFKIRUFRPSOH[KDUPRQLFVRXQGVLQ
PDFDTXHV2-2/<6%$80$11&32,5,(5$
7+,(/(7'*5,)),7+6,QVWRI1HXURVFL
))
,QGHSHQGHQWFRPSRQHQWDQDO\VLVRI
HYHQWUHODWHG((*,PSOLFDWLRQVIRUWKHVHQVRULPRWRU
PXUK\WKPLQVSHHFKSURFHVVLQJ$%2:(567
6$/78./$52*/8$+$5.5,'(58QLYRI$UNDQVDV
8QLY7HQQHVVHH
))
$OSKDEDQGDFWLYLW\UHÀHFWVWUDGHRII
EHWZHHQWHPSRUDOSUHSDUHGQHVVDQGFRJQLWLYHORDGIRU
VSHHFKLQQRLVH$:,/6&+0-+(15<%0$(66-
2%/(6(50D[3ODQFN,QVW)RU+XPDQ&RJQLWLYHDQG%UDLQ
6FL
))
0XOWLSOHJDPPDUK\WKPVDQG
LQWHUODPLQDUV\QFKURQ\LQ$6/((0$,16:257+
0:+,77,1*7211.23(//%RVWRQ8QLY8QLYRI
1HZFDVWOH8QLY
))
$XGLWRU\DFWLYLW\RQWZRVHSDUDWH
WLPHVFDOHVLQWKH6&RIDQHFKRORFDWLQJEDW0-
:2+/*(087+,,,&)02668QLYRI0DU\ODQG8QLY
RI0DU\ODQG
))
$TXDQWLWDWLYHDQDO\VLVRIWKHG\QDPLFV
RIDFRXVWLFFRPPXQLFDWLRQGXULQJWKHFRXUWVKLSULWXDORI
'URVRSKLODPHODQRJDVWHU3&2(1$-:(,167(,1
<'(1*00857+<3ULQFHWRQ8QLY3ULQFHWRQ8QLY
3ULQFHWRQ8QLY
))
9LVXDOLQÀXHQFHVRQQHXURQVLQYRLFH
VHQVLWLYHFRUWH[&3(552',1&.$<6(51.
/2*27+(7,6&,3(7.290D[3ODQFN,QVWIRU%LRO
&\EHUQHWLFV%UDLQDQG0LQG,QVWLWXWH:HVWHUQ8QLY8QLYRI
0DQFKHVWHU1HZFDVWOH8QLY
**
/DPLQDUGLIIHUHQFHVLQIXQFWLRQDO
RUJDQL]DWLRQRIWKHPRXVHSULPDU\DXGLWRU\FRUWH['
(:,1.2:6.,32.$12/'8QLY0DU\ODQG8QLY
0DU\ODQG
**
3DUFHOODWLQJKXPDQDQGPRQNH\SULPDU\
DXGLWRU\FRUWH[ZLWK)05,SDWWHUQFODVVL¿FDWLRQ&,
3(7.29..580%+2/=3'(&+(17'92,70
6&+2(1:,(61(51HZFDVWOH8QLY05&,QVWRI+HDULQJ
5HV8QLY0HG*RHWWLQJHQ%LRPHG1055HV*PE+
0D[3ODQFN,QVWLWXWHIRU%LRSK\VLFDO&KHPLVWU\8QLYRI
0RQWUHDO
**
'HWHFWLRQRIWRQHLQQRLVHLQUDWDXGLWRU\
FRUWH[,1(/.(1,+(56+(1+25(1+HEUHZ8QLY
**
1HXURQDOUHSUHVHQWDWLRQRIWHPSRUDO
UHJXODULW\DVVRFLDWHGZLWKSLWFKSHUFHSWLRQLQPDFDTXH
DXGLWRU\FRUWH[<.,.8&+,6.80$56%$80$11
729(5$7+7'*5,)),7+6&,3(7.291HZFDVWOH
8QLY0HG6FK:HOOFRPH7UXVW&WUIRU1HXURLPDJLQJ8QLY
&RO/RQGRQ(DULQVWLWXWH8QLY&RO/RQGRQ
**
7KHUHSUHVHQWDWLRQRIYRFDOL]DWLRQVLQ
WKHPRXVHDXGLWRU\V\VWHP-$*$5&,$/$=$521$
/(6,&$8&/
))
0(*PHDVXUHVRIVHQWHQFH
FRPSUHKHQVLRQ5(0,//0$1*35(1'(5*$67<RUN
1HXURLPDJLQJ&HQWUH8QLYRI<RUN
**
,QKLELWRU\V\QDSWLFSODVWLFLW\FUHDWHV
XQLTXHVWLPXOXVUHSUHVHQWDWLRQVLQPXOWLOD\HUHGIHHGIRUZDUG
QHWZRUNV792*(/6:*(5671(5(3)//&1(3)/
))
%LQDXUDOVSHFWUDOSURFHVVLQJLQ
PRXVHLQIHULRUFROOLFXOXV;%,('/2/,9(58QLYRI
&RQQHFWLFXW+OWK&WU
**
2UJDQL]DWLRQRIKXPDQDXGLWRU\FRUWH[
5HVSRQVHODWHQFLHVRQ+HVFKO¶VJ\UXVDQGSRVWHULRU
ODWHUDOVXSHULRUWHPSRUDOJ\UXV.912856.,0
67(,16&+1(,'(5+2<$+.$:$6$.,0$
+2:$5',,,7KH8QLYRI,RZD$OEHUW(LQVWHLQ&RORI0HG
))
3RSXODWLRQFDOFLXPLPDJLQJRIOHDUQHG
YRFDOUHSUHVHQWDWLRQVLQWKHVRQJQXFOHXV+9&:3(+7
)52%(57650221(<'XNH8QLY
))
$XGLWRU\UHFHSWLYH¿HOGHVWLPDWLRQ
ZLWKEDQGSDVVQRLVH10/('%(77(5+681(<
:$/.(5'/%$5%285:DVKLQJWRQ8QLY
))
5REXVWVSHHFKUHFRJQLWLRQXVLQJ
VHTXHQWLDOVSLNHFRGH3%6&+$)(5'=-,1
3HQQV\OYDQLD6WDWH8QLY
))
)XQFWLRQDORUJDQL]DWLRQRIKLJKHURUGHU
DXGLWRU\DUHDVLQKXPDQWHPSRUDOOREH3+8//(77
10(6*$5$1,&6&+5(,1(5(&+$1*8QLYRI
&DOLIRUQLD6DQ)UDQFLVFR8&6)8&6)8&6)
))
7XQLQJWRLQWHUDXUDOWLPHGLIIHUHQFH
LQKXPDQDXGLWRU\FRUWH[6$0&/$8*+/,1*&
67(&.(58QLYRI:DVKLQJWRQ
))
1HXUDOG\QDPLFVRIQRYHODXGLWRU\PRWRU
PDSOHDUQLQJ$%+(50$1'+$55(//-+28'(6
1$*$5$-$18&6))ORULGD$WODQWLF8QLY8&6)
))
2UJDQL]DWLRQRIKXPDQDXGLWRU\FRUWH[
5HVSRQVHSDWWHUQVHOLFLWHGE\VLPSOHDQGFRPSOH[VRXQGV
RQ+HVFKO¶VJ\UXVDQGSRVWHULRUODWHUDOVXSHULRUWHPSRUDO
J\UXV067(,16&+1(,'(5.12856.,+2<$+
.$:$6$.,0+2:$5'$OEHUW(LQVWHLQ0HG&RO8QLY
RI,RZD
3267(5
$XGLWRU\6\VWHP5HVSRQVHVDQG0RGXODWLRQ
**
1RQVHOHFWLYHUHVSRQVHHQKDQFHPHQW
LQ$LVSUHYHQWHGE\VFRSRODPLQH(&$53(17(5
+</$1'$9$='$5-$129$'%/$.(*HRUJLD+OWK
6FL8QLY
**
6LQJOHXQLWUHVSRQVHVWRDPSOLWXGH
PRGXODWHGWRQHVDQGQRLVHLQWKHDXGLWRU\FRUWH[RIDJHG
PDFDTXHPRQNH\V-$29(5721*+5(&$1=21(
8&'DYLV&WUIRU1HXURVFL
** 3ODVWLFLW\RIPDWXUHWKDODPRFRUWLFDO
V\QDSVHVLVJDWHGE\DGHQRVLQHGHSHQGHQWLQKLELWLRQRI
JOXWDPDWHUHOHDVHDQGUHOHDVHGE\PXVFDULQLFUHFHSWRU
DFWLYDWLRQ-$%/81'21,%$<$=,7295&+$66(1
66=$.+$5(1.26W-XGH&KLOGUHQ¶V5HV+RVS
** 'XDOFKROLQHUJLFDFWLRQVRQWUDQVPLVVLRQ
LQDXGLWRU\JUDQXOHFHOOV'%<$(*(5/275866(//
2UHJRQ+OWKDQG6FL8QLY2UHJRQ+OWKDQG6FL8QLY
** 7HFWRWKDODPLFLQKLELWRU\QHXURQVLQWKH
LQIHULRUFROOLFXOXVUHFHLYHFRQYHUJHGD[RVRPDWLFH[FLWDWRU\
LQSXWVIURPPXOWLSOHVRXUFHV7,72'/2/,9(58QLYRI
)XNXL8QLYRI)XNXL8&RQQ+OWK&WU
S
** 7RSRJUDSKLFDOUHFRUGLQJVRIVSHHFK
DXGLWRU\EUDLQVWHPUHVSRQVHVWRDQHFRORJLFDOEDVWLPXOXV
/%(//,(55/$%2,66,Ê5(00$==8&$$&$&/,1
+7+$,9$1/\RQ1HXURVFL5HV&WU(GRXDUG+HUULRW
+RVS
++
$FWLYHOLVWHQLQJPRGXODWHVKLJKJDPPD
RVFLOODWLRQVLQWKHDXGLWRU\FRUWH[RIDZDNHEHKDYLQJUDWV
39,$11(<',$1&8-:(/6+)HGHUDO8QLYRI5LR
*UDQGH'R1RUWH2UHJRQ+OWK6FL8QLY6HDWWOH&KLOGUHQ¶V
5HV,QVW
** 6HQVRU\PRGXODWLRQLQPLVRSKRQLD0
('(/67(,1'%5$1*965$0$&+$1'5$18&6'
++
7DVNGHSHQGHQWVSDWLDOUHVSRQVHVLQ
DXGLWRU\FRUWH[RIFRPPRQPDUPRVHWV('5(0,1*721
;:$1*-RKQV+RSNLQV8QLY6FKRI0HG
** $GDSWDWLRQLVDNH\PHFKDQLVPIRU
PLVPDWFKUHVSRQVHJHQHUDWLRQLQUDWVDVUHYHDOHGXVLQJ
G\QDPLFFDXVDOPRGHOLQJ)-81*$2',$&21(6&8
+(1'(32/65*5$)07,77*(0(<(5.(
67(3+$10D[3ODQFN,QVW)RU1HXURORJ5HV,QVWIRU
%LRPHG(QJLQHHULQJ8QLYRI=ULFK(7+=ULFK
** S,QKLELWLRQRIDWULDOQDWULXUHWLFSHSWLGH
GHJUDGDWLRQLPSURYHVKHDULQJ$%&/$5.(*-
75$&+7(-/),7=$.(5/(<8QLY0LQQHVRWD0HG6FK
** 6SDWLDODQGQRQVSDWLDOSURFHVVLQJ
LQWKHSULPDU\DXGLWRU\FRUWH[RIDZDNHEHKDYLQJ
PDFDTXHPRQNH\V&1*'*5$<-29(5721*
5(&$1=21(8QLYRI&DOLIRUQLD
** 2WWRV$EVWUDFW2$/%5(&+7)
0$<(5$./8*8QLYRI&RORUDGR6FKRI0HG8QLYRI
&RORUDGR
** +RZVKRUWFDQDYRZHOEHDQGVWLOO
EHUHFRJQL]HG"$FRPSDULVRQEHWZHHQFRUWLFDOQHXURQV
DQGKXPDQOLVWHQHUV%*285e9,7&+&68,(''
35(661,7=(5)2&&(//,-('(/,1(&136/DE
805&1568QLY3DULV6XG(TXLSH$XGLWLRQ'(&
(FROHQRUPDOHVXSpULHXUH
++
'RSDPLQHPRGXODWLRQRIVHQVRU\
UHSUHVHQWDWLRQVLQSUHIURQWDOFRUWH[,&$5&($1=$,.$
5&)52(0.(1<80HG&WU1<80HG&WU1<80HG
&WU
++
1LFRWLQLFDFWLYDWLRQDQGVRXQGHYRNHG
QHXUDODFWLYLW\FRQYHUJHWRHOHYDWH(5.DFWLYDWLRQLQDXGLWRU\
FRUWH[+'.$:$,0/$+.$1*<+$6+,0272
5/$=$550(7+(5$7(6RND8QLY8QLY&DOLIRUQLD
,UYLQH
++
'LIIXVHH[SUHVVLRQRIRQFRPRGXOLQ
PRGXODWHVLQWUDFHOOXODUFDOFLXPOHYHOV''6,002166
.'(9$1$8&/$
++
&RUWLFDOSURFHVVRIFRPSHQVDWRU\DQG
IROORZLQJYRFDOUHVSRQVHVWRSLWFKHUURUVLQYRLFHDXGLWRU\
IHHGEDFN+/,8=&+(1:/,3/,8'HSW5HKDELO
0HGLFLQH7KH)LUVW$I¿OLDWHG+RVSLWDO6XQ<DW6HQ8QLYHU
++
5HVSRQVHVWRWKHELQDXUDOVRXQGFXHV
LQ0/GRIFKLFNHQ,)8.8,+2+025,'HSWRI3K\VLRO
DQG1HXURORJ\)DFRI0HGLFLQH.\RWR8QLY
++
1HXURQDOUHVSRQVHVWRJDSLQQRLVHLQ
WKHULJKWDQGOHIWDXGLWRU\FRUWLFHVLQWKHUDW'687$.
3<6$1(1.2-6<.$,QVWRI([S0HG
++
$XGLRPRWRUUHVSRQVHVLQ((*UHFRUGLQJV
RIUK\WKPLFGUXPPLQJ0'6&+$//(6-$3,1('$
8QLY&DOLIRUQLD6DQ'LHJR
S
++ (IIHFWVRI10'$UHFHSWRUEORFNDGHRQ
QHXURQDOG\QDPLFVVWLPXOXVSURFHVVLQJDQGHYHQWUHODWHG
SRWHQWLDOJHQHUDWLRQLQSULPDU\DXGLWRU\FRUWH[RIWKHDZDNH
PDFDTXH$<)$/&+,(53/$.$726'&-$9,77
&(6&+52('(51DWKDQ.OLQHLQVW1DWKDQ.OLQHLQVW
&ROXPELD8QLY&ROXPELD8QLY
++ 5HVSRQVHVWRDXGLWRU\VWLPXOLYDU\
EHWZHHQURVWUDODQGFDXGDOUHJLRQVLQWKHFHQWUDOQXFOHXV
RIWKHLQIHULRUFROOLFXOXV0675$.$'6&+(1'(/6-
6&+0,7=/6$-(9,&37/((-1(/621++/,0
8QLYRI0LQQHVRWD
++ 0RGXODWLRQRIVHQVRU\UHVSRQVHVLQWKH
DXGLWRU\FRUWH[E\ORFRPRWLRQ'$0&&250,&.0
0&*,1/(<<DOH8QLY6FK0HG
3267(5
$XGLWRU\6\VWHP%HKDYLRUDQG0RGHOLQJ
++ 7LPHFRXUVHYDULDELOLW\RIVRXQGHYRNHG
V\QDSWLFLQSXWVLQLQIHULRUFROOLFXOXV,&RIPRXVH0212
'2/,9(58QLYRI&RQQHFWLFXW+OWK&WU
++ )XQFWLRQDOWRSRJUDSK\RIWKDODPRFRUWLFDO
DQGLQWUDFRUWLFDOLQSXWVWROD\HUVDQGE&&/((.
,0$,=80,/686FKRI9HW0HG
++ S
6RXQGHYRNHGUHVSRQVHSURSHUWLHV
RISDUYDOEXPLQDQGFDOUHWLQLQH[SUHVVLQJLQWHUQHXURQVLQ
DXGLWRU\FRUWH[$+$570$106:(+58QLY2UHJRQ
++ 5HSUHVHQWDWLRQRIVRXQGVHTXHQFHV
LQWKHDXGLWRU\GRUVDOVWUHDPDIWHUVHQVRULPRWRU
OHDUQLQJLQWKHUKHVXVPRQNH\'$57&+$.290
257,=3.860,(5(.'&8,-:9$10(7(5,
3-bb6.(/b,1(106$06-35$86&+(&.(5
*HRUJHWRZQ8QLY$DOWR8QLY6FKRI6FL0D[3ODQFN,QVW
IRU%LRO&\EHUQHWLFV*HRUJHWRZQ8QLY
++ 7KHELGLUHFWLRQDOLW\LQPXVLFWRODQJXDJH
WUDQVIHUHIIHFWV6$+87.$*%,'(/0$16025(12
5RWPDQ5HV,QVW8QLYRI7RURQWR
++ 7KHUHSUHVHQWDWLRQRIYRZHOIRUPDQW
IUHTXHQFLHVLQUDWDXGLWRU\FRUWH[&+21(<-01285
-:6&+18332[IRUG8QLY2[IRUG8QLY
++ $%D\HVLDQQHXUDOPRGHORIVRXQG
VRXUFHD]LPXWKORFDOL]DWLRQEDVHGRQWHPSRUDOFXHV
9%(1,&+28;067,0%(5*5%5(77((TXLSH
$XGLWLRQGHF(FROH1RUPDOH6XSHULHXUH
,,
%UHDNLQJGRZQWKHFRUWLFDOUHSUHVHQWDWLRQ
RIVSHHFKLQWKHORFDO¿HOGSRWHQWLDODQGPXOWLXQLWDFWLYLW\1
',1*-=6,0216$6+$00$69'$9,'8QLYRI
0DU\ODQG2UHJRQ+OWK6FL8QLY
** $OGRVWHURQHLQFUHDVHVWKHSURWHLQ
H[SUHVVLRQRI1D.&OFRWUDQVSRUWHU1.&&YLDDQ
XELTXLWLQDWLRQPHFKDQLVP%',1*5')5,6,1$;=+8
')5,6,1$65-3:$/7218QLYRI6RXWK)ORULGD
8QLYRI6RXWK)ORULGD8QLYRI6RXWK)ORULGD
++ 6SDWLRWHPSRUDO¿HOGSRWHQWLDOSUR¿OHVRI
LQKLELWRU\UHVSRQVHVLQDXGLWRU\FRUHUHJLRQV<.$-,.$:$
&(6&+52('(51DWKDQ.OLQH,QVW&ROXPELD8QLY
,,
&DSWXULQJZLWK((*WKHQHXURQDO
HQWUDLQPHQWDQGFRXSOLQJXQGHUO\LQJVHQVRULPRWRU
LQWHJUDWLRQZKLOHPRYLQJWRWKHEHDW612=$5$'$1,
3(5(7=$0285$8;/DERI1HXURSK\VLRORJ\,RQV
8&/%UDPV
,,
&RUWLFDOG\QDPLFVDQGVXEFRUWLFDO
PRUSKRORJ\SUHGLFWUDSLGDGDSWDWLRQWRFKDQJLQJVSHFWUR
WHPSRUDOFXHV06&+$5,1*(50-+(15<-(5%-
2%/(6(50D[3ODQFN,QVW
,,
,QWUDFRUWLFDOKRUL]RQWDOFRQQHFWLRQV
FRQWULEXWHWRFRUWLFDOUHFHSWLYH¿HOGVDQGFRRUGLQDWHJDPPD
RVFLOODWLRQVDFURVVFRUWLFDOVSDFH0-(6&+.():
2+/'SW6\VWHPV3K\VLRORI/HDUQLQJ/HLEQL],QVW)RU
1HXURELR2WWRYRQ*XHULFNH8QLY0DJGHEXUJ
,,
3RSXODWLRQQHXUDOFRGLQJRIQDWXUDO
VRXQGVLQPDFDTXHDXGLWRU\FRUWH[0)8.86+,0$
5&6$81'(56'$/(232/'00,6+.,1%%
$9(5%(&.1,+1,0+
,,
1RUDGUHQHUJLFJDWLQJRIORQJWHUPFRUWLFDO
V\QDSWLFSODVWLFLW\$0$57,165&)52(0.(6NLUEDOO
,QVWRI%LRPROHFXODU0HG3K'3URJUDPPHLQ([SWO%LRO
DQG%LRPHGLFLQH3'%(%&WUIRU1HXURVFLHQFHVDQG&HOO
%LRORJ\8QLYRI&RLPEUD
,,
3HUFHSWXDODGDSWDWLRQWRGHJUDGHG
VSHHFK7XQLQJLQFRUWLFDODQGVXEFRUWLFDOEUDLQVWUXFWXUHV-
(5%0-+(15<)(,61(5-2%/(6(50D[3ODQFN
,QVWIRU+XPDQ&RJQLWLYH%UDLQ6FL0D[3ODQFN,QVWIRU
3V\FKROLQJXLVWLFV
,,
1HXUDORVFLOODWRU\DFWLYLW\RISKDQWRP
WRQHSHUFHSWLRQ3'(*8=0$1')(,1-',$6/&
3$55$&LW\&RORI1HZ<RUN
,,
(QKDQFHGWKDODPRFRUWLFDODFWLYLW\
VHFRQGDU\WRWKDODPLFUHWLFXODUQXFOHXVDFWLYDWLRQ$
FRPSXWDWLRQDOPRGHO$:,//,6'//$128QLYRI,OOLQRLV
$W8UEDQD&KDPSDLJQ
,,
1HXUDOFRGLQJRIDXGLWRU\WHPSRUDO
VHTXHQFHVLQDVRQJELUGRSHUDQWEHKDYLRU</,0%
6+,11&811,1*+$07-*$5'1(5%RVWRQ8QLY
%RVWRQ8QLY%RVWRQ8QLY
,,
)DVWDXGLWRU\UHVSRQVHVLQGRUVDO
SUHPRWRUFRUWH[RIWKHUKHVXVPRQNH\3.860,(5(.-
35$86&+(&.(5*HRUJHWRZQ8QLY*HRUJHWRZQ8QLYH
,,
0RGXODWLRQRIWHPSRUDOFRGLQJLQ
WKHVXSHULRUSDUDROLYDU\QXFOHXV'06/2$1$6
%(55(%,:HVW9LUJLQLD8QLYHUVL\:HVW9LUJLQLD8QLYHUVL\
,,
'LIIHUHQWLDOO\UHFUXLWHGEUDLQDUHDV
IRUIDPLOLDUDQGXQIDPLOLDUVHJPHQWVRIDSURJUHVVLYHO\
SUHVHQWHGPXVLFDOVHTXHQFH%0*5((1-6$/0,
,-bb6.(/b,1(106$06-5$86&+(&.(5
*HRUJHWRZQ8QLY0HG&WU$DOWR8QLYHUVLW\6FKRI6FL
,,
6ORZIUHTXHQF\PRGXODWLRQHQWUDLQV
QHXUDOGHOWDRVFLOODWLRQVDQGGHWHUPLQHVKXPDQOLVWHQLQJ
EHKDYLRU0-+(15<-2%/(6(50D[3ODQFN,QVW)RU
+XPDQ&RJQLWLYHDQG%UDLQ6FL
,,
0DSSLQJVSDWLDODQGIXQFWLRQDO
RUJDQL]DWLRQRIORFDOQHXURQDOSRSXODWLRQVLQGHHSOD\HUV
RIFRUHDXGLWRU\FRUWH[XVLQJKLJKGHQVLW\PXOWLHOHFWURGH
DUUD\V,'(/*$'258=-62//,1,656&+8/7=37
&+$''(5721,PSHULDO&RO/RQGRQ
,,
*O\FLQHRFFOXGHV*$%$HUJLFLQKLELWLRQLQ
WKHDYLDQVRXQGORFDOL]DWLRQSDWKZD\0-),6&+/65
:(,0$110*.($56(50%85*(5/HKLJK8QLY
,,
/LVWHQLQJWRDQDXGLRGUDPDDFWLYDWHV
SDUDOOHOSURFHVVLQJVWUHDPVIRUVSHHFKDQGQRQVSHHFK
VRXQGV5%2/'760$/,1(106(33b37,..$3
6$92/$,1(15+$5,6&$5/621%UDLQ5HV8QLW
29/RXQDVPDD/DERUDWRU\6FKRI6FLHQFH$DOWR8QLY
$GYDQFHG0DJQHWLF,PDJLQJ&HQWUH29/RXQDVPDD
/DERUDWRU\6FKRI6FLHQFH$DOWR8QLY'HSWRI0RWLRQ
3LFWXUH7HOHYLVLRQDQG3URGXFWLRQ'HVLJQ6FKRI$UWDQG
'HVLJQ$DOWR8QLY1H[VWLP/WG8QLY+HOVLQNL,QVW%LRPHG
,,
&DWHJRULFDOVSHHFKUHSUHVHQWDWLRQLQWKH
DXGLWRU\FRUWH[-$/+2%*5((130$<06$06
+7,,7,1(1-5$86&+(&.(5,3-$$6.(/$,1(1
$DOWR8QLY/DERI,QWHJUDWHG1HXURVFLDQG&RJQLWLRQ
,QWHUGLVFLSOLQDU\3URJUDPLQ1HXURVFLHQFH*HRUJHWRZQ8QLY
0HG&WU
,,
:,7+'5$:1
,,
(DUO\GLIIHUHQWLDODFWLYDWLRQUHÀHFWLQJ
WKHLGHQWL¿FDWLRQRIUHOHYDQWYHUVXVLUUHOHYDQWDXGLWRU\
VWLPXOLLQDFRPSOH[DXGLWRU\VFHQH0/*$0%/(0*
:2/'25))'XNH8QLY
--
7UDFNLQJQDWXUDODXGLWRU\REMHFW
OHDUQLQJLQVLQJOHFRUWLFDOQHXURQV'3.18'6(174
*(171(58&6DQ'LHJR8&6DQ'LHJR
--
6HOHFWLYHDWWHQWLRQWRQDWXUDODXGLWRU\
VWUHDPVLQVLQJOHFRUWLFDOQHXURQVRIWKH(XURSHDQVWDUOLQJ
(&$325(//274*(171(58&6DQ'LHJR8&6DQ
'LHJR8&6DQ'LHJR
--
5HSUHVHQWLQJWKHOHDUQHGVWDWLVWLFVRI
DXGLWRU\VHTXHQFHVLQVLQJOHXQLWUHVSRQVHV-7.,**,16
74*(171(58&6DQ'LHJR8&6DQ'LHJR8&6DQ
'LHJR8&6DQ'LHJR
3267(5
0XOWLVHQVRU\3URFHVVLQJ7HPSRUDO)DFWRUV
--
1HXUDOEDVLVRIODJDGDSWDWLRQHIIHFW7
621(.$0$1277$.('$7KH8QLYRI7RN\R-67
--
7KHVWXG\RIV\QFKURQ\MXGJPHQW
PHFKDQLVPXVLQJPXOWLVHQVRU\EUDLQDFWLYLW\.2.$.
$0$12<8127621(77$.('$7KH8QLY2I7RN\R
-67
--
1HXUDOUHVSRQVHVLQWKHUDWSDULHWDOFRUWH[
GXULQJDPXOWLVHQVRU\GHFLVLRQPDNLQJWDVN'181(6
5$3262-36+(33$5'$.&+85&+/$1'&ROG
6SULQJ+DUERU/DE&KDPSDOLPDXG1HXURVFL3URJUDPPH
:DWVRQ6FKRI%LRO6FL
--
3ODVWLFLW\LQPXOWLVHQVRU\WHPSRUDO
SURFHVVLQJDIWHUFRFKOHDULPSODQWDWLRQ%'0$1*86-
.58(*(5),67(55$67(9(16216:6+()),(/'
$-+('/(<:,//,$065+*,))25'5)/$%$',(
07:$//$&(9DQGHUELOW8QLY0HG&WU9DQGHUELOW8QLY
9DQGHUELOW8QLY9DQGHUELOW8QLY
--
(IIHFWVRIPXOWLVHQVRU\WUDLQLQJRQ
SLWFKSHUFHSWLRQRIDSXOVHR[LPHWHU-6&+/(6,1*(55
67(9(16210:$//$&(9DQGHUELOW8QLY0HG&WU
--
%D\HVLDQFXHFDOLEUDWLRQUHOLHVRQWKH
PXOWLVHQVRU\SHUFHSW$=$,'(/:0$'$1*(/$.,
:DVKLQJWRQ8QLY6FKRI0HG%D\ORU&RORI0HG
S
--
$XGLWRU\YLVXDODQGDXGLRYLVXDO
UHVSRQVHVWRVSHHFKDQGQRQVSHHFKUHFRUGHGGLUHFWO\IURP
WKHWHPSRUDOOREH$(5+21(+2<$%0&0855$<
5$5($/(.912856.,+.$:$6$.,0$
+2:$5',,,8QLYRI,RZD8QLYRI,RZD+RVSDQG&OLQLFV
8QLYRI:LVFRQVLQ
--
$EQRUPDODXGLRYLVXDOLQWHJUDWLRQLQ
VFKL]RSKUHQLD$Q0(*VWXG\,1$.$085$<+,5$12
6+,5$1278(1212+$5$6.$768.,<2'$
5768&+,02726.$1%$721,768.$.\XVKX
8QLY1HXURSV\FKLDWU\&OLQ1HXURVFL'LYLVLRQ/DERI
1HXURVFLHQFH'HSWRI3V\FKLDWU\%RVWRQ9$+HDOWKFDUH
6\VWHP%URFNWRQ'LYDQG+DUYDUG0HG6FK
--
7KHHIIHFWRIWHPSRUDOSUHGLFWLRQHUURU
RQZHLJKWSHUFHSWLRQ+.$0%$5$'6+,1<.2,.(
7RN\R,QVW7HFKQRO-67&5(67
--
0XOWLVHQVRU\LQWHJUDWLRQHIIHFWVWR
FRQWLQXRXVQDWXUDODXGLRYLVXDOVSHHFKZLWKKLJKWHPSRUDO
UHVROXWLRQ0-&5266((&/$/257ULQLW\&RO'XEOLQ
--
0XOWLVHQVRU\SHUFHSWXDOLQWHJUDWLRQRIUHDO
DQGLPDJLQHGVWLPXOL&&%(5*(5++(+56621
.DUROLQVND,QVWLWXWHW.DUROLQVND,QVWLWXWHW
--
2OIDFWRU\UHVSRQVLYHWDVWHFHOOVLQWKH
1XFOHXVRIWKH6ROLWDU\7UDFWLQDZDNHEHKDYLQJUDWV2'
(6&$1,//$30',/25(1=2%LQJKDPWRQ8QLY
..
S6HQVHRIERG\RZQHUVKLSIDFLOLWDWHV
WKHLQWHJUDWLRQRIYLVXRWDFWLOHVLJQDOVRULJLQDWLQJIURPRXU
RZQERG\$2.$%$<$6+,6<$0$02721DWO,QVWRI
$GYDQFHG,QGXVWULDO6FLDQG7HFKQRO7RN\R0HGDQG'HQW
8QLY
..
3HUFHSWXDOJURXSLQJRYHUWLPHZLWKLQ
DQGDFURVVDXGLWRU\DQGWDFWLOHPRGDOLWLHV,/,10
.$6+,12177&RPPXQLFDWLRQ6FL/DEV
..
1HXUDOPHFKDQLVPVXQGHUO\LQJ
DFURVVPRGDOWHPSRUDOLOOXVLRQLQYLVXDODUHD07+
.$)$/,*218/7'$/%5,*+7*56721(56DON
,QVW6DON,QVW
..
7KHPXOWLVHQVRU\SODVWLFLW\RIVXSHULRU
FROOLFXOXVQHXURQVLVEORFNHGE\FRUWLFDOGHDFWLYDWLRQ%(
67(,1-;8%$52:/$1'/<8:DNH)RUHVW8QLY
6FK0HG
..
0XOWLVHQVRU\LQWHJUDWLRQDQGG\QDPLF
UDQJHVLQWKHVXSHULRUFROOLFXOXVRIWKHDZDNHFDW/
.(1,6721%67(,1-9$8*+$1%52:/$1'7
3(55$8/7:DNH)RUHVW8QLY6FKRI0HG
..
'DUNUHDULQJDOWHUVWKHFRUWLFDOLQÀXHQFHV
RQPXOWLVHQVRU\VXSHULRUFROOLFXOXVQHXURQV/<8-;8
%52:/$1'%67(,1:DNH)RUHVW8QLY6FKRI0HG
..
0XOWLVHQVRU\XQLVHQVRU\GLIIHUHQFHVLQ
KDELWXDWLRQLQWKHVXSHULRUFROOLFXOXVRIWKHDOHUWFDW7-
3(55$8/7-U/3.(1,6721-:9$8*+$1%$
52:/$1'%(67(,1:DNH)RUHVW8QLY6FKRI0HG
S
..
7HPSRUDOSUR¿OHVRIPXOWLVHQVRU\
LQWHJUDWLRQLQWKHDZDNHFDWVXSHULRUFROOLFXOXV%$
52:/$1'7-3(55$8/7-U/3.(1,6721-:
9$8*+$1%(67(,1:DNH)RUHVW8QLY6FKRI0HG
.. 0LQLPDOH[SHULHQFHZLWKFURVVPRGDO
FXHVLVVXI¿FLHQWIRUWKHLQVWDQWLDWLRQRIPXOWLVHQVRU\
LQWHJUDWLRQFDSDELOLWLHVLQVXSHULRUFROOLFXOXVQHXURQV5/
0,//(5%$52:/$1'%(67(,1:DNH)RUHVW8QLY
6FKRI0HG
3267(5
(\H0RYHPHQWVDQG3HUFHSWLRQ
..
5HYHUVLEOHORVVRIYLVXDOVHQVLWLYLW\LQWKH
UKHVXVPRQNH\IROORZLQJLYHUPHFWLQDFWLYDWLRQRIDPRGL¿HG
JO\FLQHFKDQQHOH[SUHVVHGLQWKHSULPDU\YLVXDOFRUWH[
:/(5&+1(5$+2529,7=5&6$81'(56%-
5,&+021'1,+
.. 1RQUHWLQDOPRGXODWLRQRIFRUWLFDO
H[FLWDELOLW\GXULQJDFWLYHYLVLRQ$%$5&=$.'$5266
$)$/&+,(53/$.$726&(6&+52('(51DWKDQ
6.OLQH,QVW)RU3V\FKLDWULF5HV1HZ<RUN8QLY6FKRI
0HG&ROXPELD8QLY&RORI3K\VLFLDQV6XUJHRQV
.. $QWLFLSDWRU\UHPDSSLQJRIVWLPXOXV
LQIRUPDWLRQLQWKHODWHUDOLQWUDSDULHWDODUHD/,3.
0,53285-:%,6/(<8&/$-XOHV6WHLQ(\H,QVWLWXWH
'DYLG*HIIHQ6FKRI0HG8&/$'HSWRI3V\FKRORJ\DQG
WKH%UDLQ5HV,QVW8&/$
.. 7KHFRQWULEXWLRQRIUHWLQDODQGQRQ
UHWLQDOVRXUFHVWRDUHD9¶VUHVSRQVHVWRPLFURVDFFDGHV
,PSOLFDWLRQVIRUYLVXDOVWDELOLW\DQGPLFURVDFFDGLF
VXSSUHVVLRQ60$57,1(=&21'(;*7521&262
$1$-$),$1-$=,-27(520,//$16/0$&.1,.
%DUURZ1HXURORJ,QVW%DUURZ1HXURORJ,QVW&DOWHFK
$UL]RQD6WDWH8QLY8QLYRI9LJR
.. 0HFKDQLVPVIRUWKHWHPSRUDOVXPPDWLRQ
RIWUDQVVDFFDGLFPRWLRQVLJQDOV%7'81./(<-&
'(66,1*-'&5$:)25'<RUN8QLY
.. 3HULVDFFDGLFUHVSRQVHPRGXODWLRQVLQ
DUHD9RIWKHPDFDTXHPRQNH\6./,1*(1+2()(5
0:,77(1%(5*7:$&+7/(5)%5(00(53KLOLSSV
8QLYHUVLW\/XGZLJ0D[LPLOLDQV8QLYHUVLW\
.. &RPSDULVRQRIYLVXDOUHVSRQVHV
REVHUYHGLQVLQJOHXQLWDFWLYLW\DQGORFDO¿HOGSRWHQWLDOVLQWKH
SULPDWH6XSHULRU&ROOLFXOXV7,.('$6(%2(+1.(5
$0$5,12%-:+,7('30812=4XHHQ¶V8QLY
.. 5HVSRQVHYDULDELOLW\RIIURQWDOH\H
¿HOGQHXURQVPRGXODWHVZLWKVHQVRU\LQSXWDQGVDFFDGH
SUHSDUDWLRQEXWQRWYLVXDOVDOLHQFH%385&(//3
:(,*$1'5+(,7=-&2+(1-6&+$//9DQGHUELOW
8QLY+DUYDUG8QLY
--
'LVUXSWHGVSHFWUDODQGGLUHFWLRQDO
FRUWLFDOFRQQHFWLYLW\H[SODLQLPSDLUPHQWLQDQREMHFWPRWLRQ
GLVFULPLQDWLRQWDVNGXULQJHJRPRWLRQLQDSDWLHQWZLWKD
OHIWRFFLSLWDOOREHLQIDUFW/09$,1$.'5$1$)
%821$11206+b0b/b,1(1%RVWRQ8QLY+DUYDUG
0HG6FKRRO0DVVDFKXVHWWV*HQ+RVS+DUYDUG0HG
6FKRRO0DVVDFKXVHWWV*HQ+RVS
..
,QGHSHQGHQWEXWRWKHUZLVHQRUPDO
H[SHULHQFHVZLWKDXGLWRU\DQGYLVXDOLQIRUPDWLRQLVQRW
VXI¿FLHQWIRUWKHPDWXUDWLRQRIPXOWLVHQVRU\LQWHJUDWLRQ
FDSDELOLWLHV-;8/<8767$1)25'%52:/$1'%
67(,1:DNH)RUHVW8QLY6FKRI0HG
.. 7RZDUGVWKHV\VWHPOHYHO
XQGHUVWDQGLQJRIFRQVFLRXVYLVXDOSHUFHSWLRQ$VWXG\ZLWK
HOHFWURFRUWLFRJUDPUHFRUGLQJLQPRQNH\VXQGHUFRQWLQXRXV
ÀDVKVXSSUHVVLRQ.7$.$85$1768&+,<$0
6$.$*$0,1)8-,,*UDG8QLY5,.(1%6,0RQDVK
8QLY-67%6,LQ7DPDJDZD8QLY
.. ,QWULQVLFIURQWDODOSKDDQGRFFLSLWDO
JDPPDRVFLOODWLRQVSUHGLFWH[SUHVVVDFFDGHVDQG
DQWLVDFFDGHHUURUV-3+$00.$'<&.0$1-$
&,$52&+,-(0&'2:(//%$&/(0(17=8QLYRI
*HRUJLD8QLYRI*HRUJLD
//
7RSRORJLFDOGLIIHUHQFHVLQVKDSH
WUDQVIRUPHGDSSDUHQWPRWLRQGLVUXSWYLVXDOREMHFWFRQWLQXLW\
UHYHDOHGE\]HEUD¿VKRSWRNLQHWLFUHVSRQVH=/,800$
,QVW%LRSK\VLFV&$6,QVWRI%LRSK\VLFV&$6
//
$PRGHORISHULVDFFDGLFWDUJHWÀDVK
PLVORFDOL]DWLRQZKHQDEDFNJURXQGVWLPXOXVLVSUHVHQW
FRQWLQXRXVO\EHIRUHGXULQJDQGDIWHUDVDFFDGH-5
32/$681<&RO2SWRPHWU\
//
1HXUDOFRUUHODWHVRIKXPDQVHOIPRWLRQ
UHPDSSLQJ73*877(/,1*/3-6(/(1:3
0('(1'2535DGERXG8QLY1LMPHJHQ
//
7KURZLQJDVSRWOLJKWRQWKHSHUFHSWLRQRI
DKXPDQKDQGREMHFWDFWLRQYLDH\HWUDFNLQJ11$75$-
$0%25*+,$)/80,1,%35,/876.<<03(//$
/:+($721*(25*,$,167,787(2)7(&+12/2*<
8QLYRI%RORJQD
//
4XDQWLI\LQJWKHUHODWLRQVKLSEHWZHHQ
SHUFHSWXDODQGPRWRUYDULDELOLW\'%/,6721$
*2',1(=/66721(1$6$$PHV5HV&WU6DQ-RVH
6WDWH8QLY
//
$VVHVVLQJWKHLQÀXHQFHRIDOORFHQWULF
VSDWLDOFXHVRQPHPRU\JXLGHGKHDGIUHHJD]HVKLIWV5$
0$5,12;<$1'&5$:)25'<RUN8QLY<RUN8QLY
//
,QIDQWLOHQ\VWDJPXV:KHQLVYLVXDO
DFXLW\H[WUDFWHG"$+:(,66-3+,//,36-3.(//<
6HDWWOH&KLOGUHQ¶V+RVS8QLYRI:DVKLQJWRQ6HDWWOH
&KLOGUHQ¶V+RVS8QLYRI:DVKLQJWRQ
//
3URMHFWLRQVWRWKHEUDLQVWHPIURP
WKHPDFDTXHFDXGDOYHQWURODWHUDOSUHIURQWDOFRUWH[*
/833,120*(5%(//$6721(//,652==,(
%255$8QLYRI3DUPD'HSW1HXURVFL,WDOLDQ,QVWRI
7HFKQRO
//
$QDWRPLFDOHYLGHQFHIRURYHUODSRIQHFN
DQGRFXORPRWRUFRQWUROV\VWHPVLQWKHYHQWUDOSUHPRWRU
FRUWH[,%,//,*3/675,&.8QLY3LWWVEXUJK5HV
6HUYLFH9$0&8QLYRI3LWWVEXUJK8QLYRI3LWWVEXUJK8QLY
RI3LWWVEXUJK
//
5ROHRIWKHPLGOLQHGHHSFHUHEHOODUQXFOHL
LQPDLQWDLQLQJWKHVWDWHRIPLVDOLJQPHQWLQQRQKXPDQ
SULPDWHVZLWKVWUDELVPXV$&-26+,9('$6&RORI
2SWRPHWU\8QLYRI+RXVWRQ
//
8QGHUVWDQGLQJWKHUHVSRQVHRIJUDQXODU
OD\HULQWHUQHXURQVWKURXJKPRVV\¿EHUUHVSRQVH30
%/$=48(=*.,0:DVKLQJWRQ8QLY:DVKLQJWRQ8QLY
//
$VVHVVLQJWKHUROHRIKR[LQWKH
DFTXLVLWLRQRIYHORFLW\VHQVLWLYLW\LQQHXURQVRIWKHKRUL]RQWDO
RFXORPRWRUQHWZRUN&/*529(/0$0/((6-
6</9(67(5.'$,(5*%$.(5($.6$<1<86FK
RI0HG:HLOO&RUQHOO0HG&RO
//
*D]HKROGLQJLQKHDOWK\VXEMHFWV
*%(572/,1,$$7$5187=(5(.+2-$67(+
,2/$6$*$67,.3:(%(5&-%2&.,6&+'
675$80$1160$57,'HSWRI1HXURORJ\8QLY+RVS
=XULFK'HSWRI2WRUKLQRODU\QJRORJ\+HDGDQG1HFN
6XUJHU\8QLY+RVS=XULFK'HSWRI2SKWKDOPRORJ\8QLY
+RVS=XULFK
//
*D]HKROGLQJLQSDWLHQWVZLWKODWH
RQVHWFHUHEHOODUGHJHQHUDWLRQ$$7$5187=(5*
%(572/,1,(.+2-$67(+,2/$6$*$67,.3
:(%(5&-%2&.,6&+'675$80$1160$57,
8QLY+RVS=XULFK8QLY+RVS=XULFK8QLY+RVS=XULFK
3267(5
6DFFDGHV%HKDYLRUDO6WXGLHV
3267(5
(\H0RYHPHQW&RQWURO&HUHEHOOXPDQG)LQDO0RWRU
3DWKZD\
//
)XQFWLRQDOPDJQHWLFUHVRQDQFHLPDJLQJ
05,ZLWKVHOHFWLYH]RQDODQDO\VLVVXJJHVWVWKDWGLIIHUHQWLDO
FRPSDUWPHQWDOPHGLDOUHFWXV05FRQWUDFWLOLW\DXJPHQWV
YHUWLFDOGXFWLRQ-/'(0(55$&/$5.-XOHV6WHLQ
(\H,QVW
//
$UHWKHUHVXEJURXSVRIUHFWXV
PRWRQHXURQVUHODWHGWR¿EHUW\SHDQGOD\HULQWKHFDW"02
%2+/(16:$55(10-0867$5,3-0$<8QLY
0LVVLVVLSSL0HG&WU8QLYRI:DVKLQJWRQ
//
S6SDULQJRIQHXURQVLQWKHSULPDWH
WURFKOHDU&1QXFOHXVDIWHUXQLODWHUDOQHXUHFWRP\1;
66*2//$38',<+2:$5'9328.(16+
*+$=$5,$1'6=((;-,1*-7,$157$0$5*2-
/'(0(58&/$-RKQV+RSNLQV0HG6FK8&/$-RKQV
+RSNLQV0HG6FK-RKQV+RSNLQV8QLY
//
%DVHEDOOSOD\HUVKDYHJRRGDELOLW\LQ
H\HPRYHPHQWVDQGQRWLQYLVXDOSHUFHSWLRQ<8&+,'$
'.8'2+7+,*8&+,..$1268(:DVHGD8QLY
-XQWHQGRXQLYHUVLW\6FKRI0HG:DVHGDXQLYHUVLW\
:DVHGDXQLYHUVLW\
//
7KHUDQGRPZDONSDUDGLJPIRUHOLFLWLQJ
LQKLELWLRQRIUHWXUQ6$-21(6'$:(67:22'7KH
6FKRI+OWKDQG+XPDQ3HUIRUPDQFH'DOKRXVLH8QLY
'DOKRXVLH8QLY
//
6DFFDGHUHODWHGEHWDEDQG
GHV\QFKURQL]DWLRQLQWKHVXEWKDODPLFQXFOHXVRI3DUNLQVRQ¶V
GLVHDVHSDWLHQWVGXULQJVXFFHVVIXODQWLVDFFDGHVDQGHUURU
WULDOV$<8*(7$:'+87&+,6215&+(18QLYRI
7RURQWR7RURQWR:HVWHUQ5HV,QVW
00
,PPHGLDWHIHHGEDFNPDNHVH\H
PRYHPHQWVHI¿FLHQW39(5*+(6(6*+$+*+$(,
6PLWK.HWWOHZHOO(\H5HV,QVW
00
9LJRURIVDFFDGHVFKDQJHVDVDIXQFWLRQ
RISRVLWLYHDQGQHJDWLYHUHZDUGUDWHSUHGLFWLRQHUURU7
5(33(5756+$'0(+5-RKQV+RSNLQV8QLY
S
00
9LVXDODQGSRVWVDFFDGLFSRWHQWLDWLRQ
RIRFXODUFRXQWHUUROOJDLQUHVXOWVLQQHDUVWDELOL]DWLRQRI
UHWLQDOLPDJHV5%*($5<+6<,1*.,56&+-RKQV
+RSNLQV:LOPHU(\H,QVW:LOPHU2SKWKDOPRORJLFDO,QVWLWXWH
-RKQV+RSNLQV8QLY6FKRI0HG
00 &KDQJHVLQVDFFDGLFUHDFWLRQWLPH
ZKLOHPDLQWDLQLQJQHFNÀH[LRQLQFKLOGUHQ..81,7$.
)8-,:$5$7.,<27$.$1$1)DFRI6SRUWV+XPDQ
6DSSRUR,QWO8QLY*UDG6FKRI0HG6FLHQFHV.DQD]DZD
8QLY)DFRI+XPDQLWLHV6DSSRUR,QWO8QLY
00
9HVWLEXODUFRQWULEXWLRQVWRVDFFDGLFWDUJHW
VHOHFWLRQ.+$/):(5./3-6(/(1%'&251(,/
:0('(1'2535DGERXG8QLY1LMPHJHQ:HVWHUQ8QLY
00 )PULVWXGLHVRIYROXQWDU\H\HPRYHPHQWV
WRF\FORSHDQWDUJHWV'*85/(50%2/',1*0
:$5'-'(1+2//$1'(53*$0/,18QLYRI$ODEDPD
$W%LUPLQJKDP8QLYRI$ODEDPD$W%LUPLQJKDP8QLYRI
$ODEDPD$W%LUPLQJKDP8QLYRI$ODEDPD$W%LUPLQJKDP
00
6KRUWWHUPVDFFDGLFDGDSWDWLRQHYRNHG
E\UDQGRPHUURUVLVEDVHGRQGLIIHUHQWLDOFRQWULEXWLRQVRI
FKDQJHVLQVDFFDGHYHORFLW\DQGGXUDWLRQ0$-81.(5
3',&.(37+,(5+HUWLH,QVW)RU&OLQ%UDLQ5HV
00
7KHFRVWRIZDLWLQJ,PSXOVLYLW\DQGYLJRU
RIVDFFDGHV-(&+2,56+$'0(+5-RKQV+RSNLQV
8QLY
00
0LFURVDFFDGHVFRUUHFW¿[DWLRQHUURUVGXH
WREOLQNV)&267(/$-27(520,//$100&&$0<
6/0$&.1,.;*7521&262$1$-$),$16
0$57,1(=&21'(%DUURZ1HXURORJ,QVW$UL]RQD6WDWH
8QLY8QLYRI9LJR&DOWHFK
00
0LFURVDFFDGHHQGSRLQWVUHÀHFWSHULSKHUDO
VKDSHUHSUHVHQWDWLRQV$,*1$6+&+(1.29$&
&+(1=0+$)(':HUQHU5HLFKDUGW&WU)RU,QWHJUDWLYH
1HXURVFL&,1
00 0LFURVDFFDGHSURGXFWLRQGXULQJVDFFDGH
FDQFHODWLRQLQDVWRSVLJQDOWDVN-'6&+$//'&
*2'/29(9DQGHUELOW8QLY
00 6WXG\RIEOLQNSHUWXUEDWLRQVRQ
VWLPXODWLRQHYRNHGH\HPRYHPHQWV+.$71$1,1
*$1'+,-9$12367$/8QLYRI3LWWVEXUJK8QLY
RI3LWWVEXUJK'RQGHUV,QVWIRU%UDLQ&RJQLWLRQDQG
%HKDYLRXU
00 5HZDUGH[SHFWDWLRQDQGRFXODU
PHFKDQLFVSUHGLFWWKHSHDNYHORFLWLHVRIKRUL]RQWDO
VDFFDGHV/<+81*//&+(1..26(.8QLYRI
0LVVLVVLSSL0HG&WU8QLYRI0LVVLVVLSSL0HG&WU8QLYRI
0LVVLVVLSSL0HG&WU
6DFFDGHV1HXUDO&LUFXLWU\DQG0RGHOV
00 6XSSUHVVLRQRIQHXUDODFWLYLW\LQWKH
SRVWHULRUSDULHWDOFRUWH[GXULQJJD]HDQFKRULQJ0$
+$*$1%3(6$5$11HZ<RUN8QLY
11
(IIHFWVRI'RSDPLQHUHFHSWRU
PDQLSXODWLRQVRQGRUVRODWHUDOSUHIURQWDOFLUFXLWU\LQYROYHG
LQSUHSRWHQWUHVSRQVHLQKLELWLRQDQGPDLQWHQDQFHRI
DEVWUDFWUXOHV69,-$<5$*+$9$1.6.2%/(1,&.6
(9(5/,1*:HVWHUQ8QLY8QLYHUVW\RI:HVWHUQ2QWDULR
8QLYRI:HVWHUQ2QWDULR
11
/DPLQDUUHFRUGLQJVLQODWHUDO3)&GXULQJ
YDULDEOHYLVXDOWDVNV00)$%,6=$.%3(6$5$11HZ
<RUN8QLY
11
$QRYHUUHSUHVHQWDWLRQRIWDUJHWVSDFH
LQWKHIURQWDOH\H¿HOGGXULQJVDFFDGLFH\HPRYHPHQWV0
=,516$.%128'22671$67(,10(7=.=;87
0225(6WDQIRUG8QLY6WDQIRUG8QLY6FKRI0HG
11
6DFFDGLFUHVSRQVHFKDUDFWHULVWLFVRI
ODWHUDOFHUHEHOODUFRUWH[QHXURQV935(9267257
5$*+$9$10$6200(5'XNH8QLY'XNH8QLY'XNH
8QLY
11
6DFFDGLFUHVSRQVHVRI3XUNLQMHFHOOV
LQWKHRFXORPRWRUYHUPLVH[KLELWKLJKO\LGLRV\QFUDWLFH\H
SRVLWLRQGHSHQGHQFLHV'$5167(,1$0)5,(0$113
:',&.(37+,(5+HUWLH,QVW)RU&OLQ%UDLQ5HV
00 6HYHUDOIDFWRUVEHVLGHWDUJHWSUREDELOLW\
DFFRXQWIRUWKHHIIHFWVRIVSDWLDOH[SHFWDQF\RQVDFFDGLF
ODWHQFLHV-%87/(5)&5,67,12*'¶$9266$%DQJRU
8QLY
11
(YLGHQFHIRUDQH[FLWDWRU\LQSXWIURP
WKHLQWHUPHGLDWHWRVXSHU¿FLDOOD\HURIWKHURGHQWVXSHULRU
FROOLFXOXV1*+,7$1,&92.2810-$&.6210
%$6628QLYRI:LVFRQVLQ8QLYRI&DOLIRUQLD
00 6DFFDGHVWRZDUGDWUDQVLHQWPRYLQJ
YLVXDOWDUJHWLQWKHLQH[SHULHQFHGUKHVXVPRQNH\-
48,1(7/*2))$57,QVWGH1HXURVFLHQFHVGHOD
7LPRQH&156
11
3RODUL]HGVSUHDGRIDFWLYLW\LQWKH
URVWURFDXGDOD[LVRIWKHVXSHU¿FLDOOD\HURIWKHUDW
VXSHULRUFROOLFXOXVUHYHDOHGXVLQJYROWDJHLPDJLQJ32
%$<*8,1290%-$&.6210$%$6628QLYRI
:LVFRQVLQ6HPHO,QVWIRU1HXURVFLDQG+XPDQ%HKDYLRU
00 (QKDQFHPHQWRIVSDWLDOOHDUQLQJE\
PLFURVWLPXODWLRQRIWKHVXSSOHPHQWDU\H\H¿HOG;/89$
0HG&HQWHU0LQQHDSROLV8QLYRI0LQQHVRWD-XQWHQGR
8QLY
00 $QH\HWUDFNLQJVWXG\RIYLVXDOVSDWLDO
SUREOHPVROYLQJVWUDWHJLHV-/67(9(1621.5+$57
.$:,//,$068UVLQXV&RO8UVLQXV&RO8UVLQXV&RO
00 $WWHQWLRQRVFLOODWLRQVDQGH\H
PRYHPHQWFRQWURO0%$8(5&./8*(*%$51(65
-'2/$1:HOOFRPH7UXVW&WU1HXURLPDJLQJ8&/8QLY
0DJGHEXUJ
S
11
7DUJHWGLVWUDFWRUFRPSHWLWLRQLQVXSHULRU
FROOLFXOXVDVVRFLDWHGZLWKFXUYHGUHDFKWUDMHFWRULHV50
0&3((.-621*681<2SWRPHWU\%URZQ8QLY
11
7KHIXQFWLRQDOFRQWULEXWLRQRIWKHIURQWDO
H\H¿HOGVWRDFWLYLW\LQWKHLQWHUPHGLDWHVXSHULRUFROOLFXOXV7
53((/6*/20%(5%'&251(,/:HVWHUQ8QLY
:HVWHUQ8QLY
11 7HPSRUDOFRQWURORIVHTXHQWLDO
H\HPRYHPHQWVE\EDVDOJDQJOLD1%+87$1,6
5$0$.5,6+1$1$0857+<1DWO%UDLQ5HV&WU5XKU
8QLY,QGLDQ,QVWRI6FL
00
(YLGHQFHWKDW¿[DWLRQDOVDFFDGHV
DUHH[SORUDWRU\H\HPRYHPHQWVOLNHODUJHVDFFDGHV6
&/$8',2-48,1(7$0217$*1,1,/*2))$57*
0$6621,QVW1HXURVFL'H/D7LPRQH
3267(5
11 (YLGHQFHIRUWKHFHQWUDOPHVHQFHSKDOLF
UHWLFXODUIRUPDWLRQSOD\LQJDUROHLQWKHQHDUWULDG$.
+251%2&+7/(502%2+/(16:$55(13-
0$<,QVWRI$QDWDQG&HOO%LRO,/088QLY0LVVLVVLSSL
0HG&WU8QLY0LVVLVVLSSL0HG&WU
11 6LPXOWDQHRXVPHDVXUHPHQWRIYLVXDO
UHVSRQVHPRGXODWLRQDFURVVFRUWLFDOOD\HUVLQDUHD9
GXULQJFRYHUWDWWHQWLRQDQGVDFFDGHSUHSDUDWLRQ1$
67(,10(7=70225(6WDQIRUG8QLY+RZDUG+XJKHV
0HG,QVWDQG6WDQIRUG8QLY
11 3HULVDFFDGLFUHPDSSLQJLQDUHD07$Q
DWWHQWLRQVHQVLWLYHPHPRU\WUDFH7<$2675(8(%6
.5,6+1$*HUPDQ3ULPDWH&WU
11 2SWRJHQHWLFDOO\LQGXFHGEHKDYLRUDO
DQGIXQFWLRQDOQHWZRUNFKDQJHVLQSULPDWHV$*(5,76
5)$5,9$5%5526(1//:$/'(6%2<'(1
:9$1'8))(/1HXUR$QG3V\FKRSK\VLRORJ\$WKLQRXOD
$0DUWLQRV&WUIRU%LRPHG,PDJLQJ'HSWRI5DGLRORJ\
+DUYDUG0HG6FK0HGLD/DE6\QWKHWLF1HXURELR*URXS
0DVVDFKXVHWWV,QVWRI7HFKQRO0F*RYHUQ,QVWLWXWH'HSW
RI%UDLQDQG&RJQLWLYH6FLHQFHV0DVVDFKXVHWWV,QVWRI
7HFKQRO'HSWRI%LRO(QJLQHHULQJ0DVVDFKXVHWWV,QVWRI
7HFKQRO
11 7KHIURQWDOH\H¿HOGVDUHQHFHVVDU\IRU
ERWWRPXSFXHLQGXFHGLQÀXHQFHVRQPLFURVDFFDGHV7
53((/=0+$)('6*/20%(5%'&251(,/
:HVWHUQ8QLY8QLYRI7XHELQJHQ:HVWHUQ8QLY
11 0RGHOLQJWKHGHFRPSRVLWLRQRI
UHWLQRWRSLFUHSUHVHQWDWLRQVLQWRGH\HDQGKHDGPRYHPHQW
FRPPDQGV0'$(0,-&5$:)25'*.(,7+&WU)RU
9LVLRQ5HV<RUN8QLY<RUN8QLY<RUN8QLY&WUIRU9LVLRQ
5HV
11 )UDJLOHRUUREXVW"7KHVLJQDO
GHSHQGHQWQRLVHSULQFLSOHLQVDFFDGLFRSWLPDOFRQWURO65
$1'(56213'($1-3255,//8QLYRI6KHI¿HOG
11 3UHGLFWLQJUKHVXVPRQNH\H\H
PRYHPHQWVGXULQJQDWXUDOLPDJHVHDUFK5.82.
.25',1*0$6(*5$9(61RUWKZHVWHUQ8QLY
)HLQEHUJ6FKRI0HGLFLQH1RUWKZHVWHUQ8QLY
11 (IIHFWVRI706RYHUSDULHWDOFRUWH[RQ
YLVXDOIHDWXUHPHPRU\IRUVDFFDGHDQGUHDFKSODQQLQJ'&
&$33$'2&,$.*+$5$9,-&'(66,1*09(6,$-
'&5$:)25'<RUN8QLY<RUN8QLY<RUN8QLY8QLYRI
:DWHUORR
11 ((*VLJQDOVUHODWHGWRIUHHPRYHPHQWV
DQGFXHGPRYHPHQWLQVDFFDGLFH\HPRYHPHQWV$
)81$6($&,&+2&.,,7$.80,1DJR\D,QVW7HFKQRO
5,.(11DJR\D,QVWRI7HFKQRO
22
(IIHFWVRI706WRIURQWDOH\H¿HOGVRQ
VDFFDGHJHQHUDWLRQDQG%2/'VLJQDO,*&$0(521-
05,''/(0'¶(6326,728QLYRI&DOLIRUQLD%HUNHOH\
22
&KDUDFWHUL]LQJQHWZRUNLQWHUDFWLRQVLQ
((*VRXUFHVGXULQJVDFFDGHWDVNV/&+8.26.,(7
08//(1-5%2'(1+$0(5:7%52&./(+8567&
/$00:('((1-72:16(1'0$:(67(5),(/'
8QLYRI&DOLIRUQLD6DQ'LHJR8&6'8QLYRI&DOLIRUQLD
6DQ'LHJR8&6'8QLYRI&DOLIRUQLD6DQ'LHJR8&6'
8QLYRI&DOLIRUQLD6DQ'LHJR8&6'8QLYRI&DOLIRUQLD
6DQ'LHJR8&6'
22
6SDWLRWHPSRUDOFRUWLFDODFWLYDWLRQ
UHODWHGWRQDWXUDODQGVLPXODWHGVDFFDGLFH\HPRYHPHQWV
<&&+$1*6.+$167$8/8(1%52:10
6+$0$/$,1(167(0(5($1&$0DUWLQRV&HQWHU
0DVVDFKXVHWWV*HQ+RVS(OHNWD1HXURPDJ2\+DUYDUG
0HG6FK0DUWLQRV&WU+DUYDUG0HG6FK
22
3XWDWLYHVDFFDGHUHODWHGDUHDLQ
FLQJXODWHFRUWH[LGHQWL¿HGE\UHVWLQJVWDWHI05,LQPDFDTXHV
6%$%$3225)$552.+5$1.-2+167216
(9(5/,1*:HVWHUQ8QLY:HVWHUQ8QLYHUVLW\5REDUWV
UHVHDUFKLQVWLWXWH:HVWHUQ8QLYHUVLW\5REDUWVUHVHDUFK
LQVWLWXWH
3267(5
6PRRWK(\H0RYHPHQWV3XUVXLWDQG2.5
22
&RQWLQXRXVYLVXRVSDWLDOXSGDWLQJLQ
VXSHULRUFROOLFXOXVQHXURQVGXULQJVPRRWKSXUVXLWH\H
PRYHPHQWVGHSHQGVRQEHKDYLRUDOUHOHYDQFHRIWDUJHW
ORFDWLRQ6'$6+;<$1+:$1*-'&5$:)25'
&WU)RU9LVLRQ5HVHDUFK<RUN8QLY
22
,QIRUPDWLRQSURFHVVLQJLQ067SDUDIRYHDO
QHXURQVGXULQJVPRRWKSXUVXLWDGDSWDWLRQ62120-
0867$5,8QLYRI:DVKLQJWRQ
22
3URSHUWLHVRIWKHQRLVHFRUUHODWLRQ
EHWZHHQVLQJOHXQLWDFWLYLW\LQDUHD07DQGVPRRWKSXUVXLW
H\HPRYHPHQWV-/((6*/,6%(5*(58QLYRI
&DOLIRUQLD6DQ)UDQFLVFR+RZDUG+XJKHV0HG,QVW
22
0HFKDQLVPVRIQHXUDOLQWHJUDWLRQLQWKH
RFXORPRWRUEUDLQVWHPIRUVPRRWKSXUVXLWH\HPRYHPHQWV0
-26+8$6*/,6%(5*(58&6)'XNH8QLY
22
3ULPLQJIRUVPRRWKSXUVXLWLQYROYHV
PRWRUEXWQRWVHQVRU\FLUFXLWU\6-+(,1(1(
327$3&+8.6PLWK.HWWOHZHOO(\H5HV,QVW6PLWK
.HWWOHZHOO(\H5HV,QVW
22 'LIIHUHQWLDOHIIHFWVRIVWLPXOXVSDVWKLVWRU\
IRUGLVSODFHPHQWDQGYHORFLW\GXULQJSUHGLFWLYHYHUWLFDO
SXUVXLW$0$56+$//5$&.(5/(<*%$51(68QLY
RI0DQFKHVWHU8QLYRI*RWKHQEXUJ
22 1HXUDOQHWZRUNVLPSOHPHQWLQJ
WKHYLVXRPRWRUWUDQVIRUPDWLRQIRUVPRRWKSXUVXLW7
085',621*/(&/(5&4*%/2+04XHHQ¶V8QLY
&DQDGLDQ$FWLRQDQG3HUFHSWLRQ1HWZRUN&$3QHW8QLY
FDWKROLTXHGH/RXYDLQ
22 8SULJKWYVVXSLQHVPRRWKSXUVXLW
H\HPRYHPHQWV$UREXVWREOLTXHHIIHFWUHJDUGOHVVRI
WKHGLUHFWLRQRIJUDYLW\/66721('/720.25
(56+(,'/:21*'%/,67211$6$$PHV5HV&WU
1$6$'HOO6HUYLFHV)HGHUDO*RYHUQPHQW6DQ-RVH6WDWH
8QLY1$6$
22 '\QDPLFVRIYHUJHQFHH\HPRYHPHQWV
GXULQJ'VWHUHRVFRSLFVWLPXODWLRQ30$77+,(83
1(9(8$35,27&5280(6,QVW'H5HFKHUFKH
%LRPpGLFDOH'HV$UPpHV
22 'DQFLQJH\HV7KHRSHQLQJRIWKH
RSWRNLQHWLFIHHGEDFNORRS<0+8$1*&&+(1&-
%2&.,6&+'675$80$111HXURO'HSDUWPHQW=XULFK
8QLY+RVS2SKWKDOPRORJ\'HSW=XULFK8QLY+RVS(17
'HSW=XULFK8QLY+RVS
S
22 7UDFNLQJWKHIRRWVWHSLOOXVLRQ(IIHFWVRI
WUDQVLHQWFRQWUDVWLQGXFHGSHUFHLYHGYHORFLW\SHUWXUEDWLRQV
RQVPRRWKSXUVXLW/0$'(/$,1$0217$*1,1,*6
0$66218UHFD8QLY/LOOH,QVWGH1HXURVFLHQFHVGHOD
7LPRQH805&156$L[0DUVHLOOH8QLY
22 3RVWPLFURVDFFDGLFHQKDQFHPHQWRIVORZ
FRQWURO&&+(1=0+$)(':HUQHU5HLFKDUGW&WU)RU
,QWHJUDWLYH1HXURVFL
22 (\HPRYHPHQWVLQFHUHEUDOSDOVLHGDQG
SUHPDWXUHFKLOGUHQ&(*2-25%$1'(;,95<0
1$662*1('<8.6(/3/()(95(8QLYFDWKROLTXH
GH/RXYDLQ8QLYFDWKROLTXHGH/RXYDLQ&OLQLTXHV
XQLYHUVLWDLUHV6DLQW/XF&OLQLTXHVXQLYHUVLWDLUHV6DLQW/XF
3267(5
6SLQDO&RUG3URFHVVLQJ
0RQ$0±(UQHVW10RULDO&RQYHQWLRQ&HQWHU+DOO) 22 1R[LRXVVWLPXODWLRQDFWLYDWHVQHXURQVLQ
WKHODWHUDOPHGXOOD:3$11(7214*$10$5,(/6W
/RXLV8QLY
22 (IIHFWVRIVSLQDO34DQG5W\SHYROWDJH
VHQVLWLYHFDOFLXPFKDQQHOVEORFNHUVRQIRUPDOLQHYRNHG
ÀLQFKLQJDQGVSLQDOGRUVDOKRUQF)RVH[SUHVVLRQ7
7(5$6+,0$4;877$.$6868.,6<$0$*8&+,7
/<$.6+8&6'8&6''RNN\R0HG8QLY
22 3DUYDOEXPLQSRVLWLYHQHXURQVSURYLGH
D[RD[RQLFLQSXWVWRWDFWLOHDIIHUHQWVLQWKHPRXVHGRUVDO
KRUQ5-&$//,67(566,.$1'(5&0.,1121.
$%2</(0:$7$1$%(',+8*+(6%$*5$+$0
8QLYRI1HZFDVWOH8QLYRI*ODVJRZ+RNNDLGR8QLY6FKRI
0HG
33
)XQFWLRQDOFRQQHFWLYLW\RIODPLQD,ORFDO
FLUFXLWQHXURQV%96$)52129///8=36=8&6
,%0&
33
6SDWLRWHPSRUDOLPDJLQJRIVSLQDO
DFWLYLWLHVLQWKHUDWPRGHORISDLQK\SHUVHQVLWLYLW\.
0,<26+,7)8.82.$.12*8&+,+\RJR&RO0HG
33
5RVWURFDXGDODQGPHGLRODWHUDO
RUJDQL]DWLRQRIDFWLYLW\HYRNHGE\IRFDOVWLPXODWLRQZLWKLQ
WKHVSLQDOGRUVDOKRUQDVYLVXDOL]HGE\YROWDJHVHQVLWLYHG\H
LPDJLQJLQSDUDVDJLWWDODQGKRUL]RQWDOVOLFHV00,=812$
0675$660$1%HWK,VUDHO'HDFRQHVV0HG&WU
33
&RQQHFWLYLW\DQGSKDUPDFRORJ\RIORZ
WKUHVKROGPHFKDQRUHFHSWLYH&¿EHUVLQWKHVSLQDOGRUVDO
KRUQ6'+216(.536($/-6$1'.h+/(50HG
8QLYRI9LHQQD8QLYRI3LWWVEXUJK
33
'HYHORSPHQWDOUHJXODWLRQRIYROWDJH
JDWHG1DDQGYROWDJHLQGHSHQGHQW.FKDQQHOH[SUHVVLRQ
LQWKHUDWVXSHU¿FLDOGRUVDOKRUQ0/%/$1.(16+,3'(
&2</(0/%$&&(,8QLY&LQFLQQDWL
33
,QZDUGUHFWLI\LQJSRWDVVLXPFXUUHQWV
PRGXODWHSDFHPDNHUDFWLYLW\ZLWKLQWKHQHZERUQUDW
VXSHU¿FLDOGRUVDOKRUQ-/,0%/$1.(16+,30
%$&&(,8QLY&LQFLQQDWL8QLYRI&LQFLQQDWL
33
6LWHDQGVWDWHGHSHQGHQWLQKLELWLRQ
RISUXULWRJHQUHVSRQVLYHVSLQDOQHXURQVE\VFUDWFKLQJ(
(&$567(160,2',&$567(160720,1$*$7
$.,<$0$8QLY&DOLIRUQLD'DYLV8QLY&DOLIRUQLD'DYLV
S
33
,QYLYRSXULWLFV\QDSWLFUHVSRQVHV
HOLFLWHGE\FXWDQHRXV+7DSSOLFDWLRQLQWKHVXSHU¿FLDO
VSLQDOGRUVDOKRUQRIDGXOWUDWV'87$7$1'2+.
,0272+)858(1DWO,QVW)RU3K\VLRORJLFDO6FL*UDG
6FKRI0HGDQG3KDUPDFHXW6FLHQFHV8QLYRI7R\DPD
7KH*UDG8QLYIRU$GYDQFHG6WXGLHV
33 &URVVVHQVLWL]DWLRQRIKLVWDPLQH
LQGHSHQGHQWVFUDWFKLQJEHKDYLRUDQGVHQVRU\QHXURQV5ROH
RIVXEVWDQFH3DQGJDVWULQUHOHDVLQJSHSWLGHLQVSLQDOLWFK
WUDQVPLVVLRQ0720,1$*$7$.,<$0$$'$922',
01$*$0,1(.%/$16,7$+25:,=0&$567(16
(&$567(16-XQWHQGR8QLY,QVW)RU(QYUQDQG*HQGHU
6SHFL¿F0HG8&'DYLV
33
%ORFNDGHRIS0$3.SKRVSKRU\ODWLRQ
UHGXFHVVLJPDUHFHSWRULQGXFHGPHFKDQLFDODOORG\QLD
LQPLFHDQG&&,UDWVLQYROYHPHQWRI12526VLJQDOLQJ
SDWKZD\-/((-02216&+2,6.$1*6.:21
+&+2,6/(('52+++$1$%(,7=6HRXO1DWO
8QLY.\XQJ+HH8QLY8QLYRI0LQQHVRWD
33 5HDFWLYHR[\JHQVSHFLHV526
PRGXODWH$03$UHFHSWRUSKRVSKRU\ODWLRQDQGFHOOVXUIDFH
ORFDOL]DWLRQLQFRQFHUWZLWKSDLQUHODWHGEHKDYLRU'=/((
-0&+81*.&+81*0.$1*8QLYRI7;0HG%U
33 &RH[SUHVVLRQRIVHULQHUDFHPDVHZLWK
15LQVXSHU¿FLDOGRUVDOKRUQDQGLWVLQYROYHPHQWZLWK
QHXURSDWKLFSDLQEHKDYLRUV.<8*(7)8.86+,0$6
7$1$.$5.2112+<88,&+,'RNN\R8QLY6FKRI
0HG,QW8QLY+OWK:HOI&WU0HG6FL
33 10'$UHFHSWRUGULYHQSRVWV\QDSWLF
FXUUHQWVDUHFULWLFDOIRUWKHJHQHUDWLRQRIVORZRVFLOODWLQJ
FXUUHQWVIROORZLQJUHGXFHGJOXWDPDWHWUDQVSRUWHUDFWLYLW\LQ
VSLQDOFRUGGRUVDOKRUQ&721*$%0$&'(50277
33 (QKDQFHPHQWE\LQWHUOHXNLQ`RI
$03$DQG10'$UHFHSWRUPHGLDWHGFXUUHQWVLQDGXOWUDW
VSLQDOVXSHU¿FLDOGRUVDOKRUQQHXURQV7/,8;&+(1'
=+$1*&-,$1*7)8-,7$(.80$02727KH)LUVW
$I¿OLDWHG+RVSRI1DQFKDQJ8QLYWKH¿UVWDI¿OLDWHGKRVSLWDO
RI1DQFKDQJ8QLYWKH¿UVWDI¿OLDWHGKRVSLWDORI1DQFKDQJ
8QLY)DFRI0HG
33 /RQJWHUPHQGRJHQRXVFRQWURORI
K\SHUDOJHVLDE\VSLQDOQHXURSHSWLGH<:)8%62/:$<
6%26(*&25'(55'21$+8(%7$</258QLYRI
.HQWXFN\7XODQH8QLY+OWK6FL&WU
33 2[\WRFLQPRGXODWHVWKHPHPEUDQH
H[FLWDELOLW\RIDGXOWUDWVSLQDOVXEVWDQWLDJHODWLQRVDQHXURQV
LQDELSKDVLFPDQQHU&-,$1*7)8-,7$1;8$
0$7686+,7$62+768%27/,8(.80$0272'HSW
3K\VLRO6DJD0HG6FK
33 (IIHFWVRIFLQHROHRQVSRQWDQHRXV
H[FLWDWRU\V\QDSWLFWUDQVPLVVLRQLQDGXOWUDWVSLQDOVXEVWDQWLD
JHODWLQRVDQHXURQV1;87)8-,7$&-,$1*$
0$7686+,7$62+768%27<$6$.$.0,=87$7
/,8(.80$0272'HSW3K\VLRO)DF0HG6DJD8QLY
33 5HJXODWLRQRISDLQE\QLFRWLQLF
DFHW\OFKROLQHUHFHSWRUQ$&K5DJRQLVWRQDUWKULWLVPRGHO.
681*3.,0-+:$1*6/((+DQ\DQJ8QLY8QLYRI
6DQJP\XQJ
33
%RPEHVLQUHVSRQVLYHVXSHU¿FLDOGRUVDO
KRUQQHXURQVQRQVHOHFWLYHO\UHVSRQGWRSUXULWLFDQGQR[LRXV
VWLPXOLLQWKHPRXVH7$.,<$0$0720,1$*$0
&$567(16(&$567(168QLY&DOLIRUQLD'DYLV
33 1RFLFHSWLYHVSLQDOFRUGWUDQVPLVVLRQLV
PRGXODWHGE\1DF\OSKRVSKDWLG\OHWKDQRODPLQH1$3(
-3$/(&(.91(5$1'=,&,QVWRI3K\VLRO,QVWRI
3K\VLRORJ\$FDGRI6FL)DFRI6FLHQFH&KDUOHV8QLY
44
0RGXODWLRQRIQRFLFHSWLYHSURFHVVLQJE\
3$5UHFHSWRUVDWWKHVSLQDOFRUGOHYHO305Ï=.29È-
3$/(&(.,QVWRI3K\VLRORJ\$FDGRI6FL)DFRI6FLHQFH
&KDUOHV8QLY,QVWRI3K\VLRORJ\$FDGRI6FL
44
$JPDWLQDVHDQGDUJLQLQHGHFDUER[\ODVH
P51$OHYHOVLQURGHQWVSLQDOFRUGDQG'5*$
TXDQWLWDWLYH3&5VWXG\6$6&+1(//3%%5$81
/98/&+$129$+$5705,('/563(/7=3$,=*
/:,/&2;&$)$,5%$1.68QLY0LQQHVRWD8QLY
0LQQHVRWD8QLY0LQQHVRWD8QLY0LQQHVRWD
44
$P\OLQDIIHFWVSDLQUHODWHGEHKDYLRUV
DVVRFLDWHGZLWKWKHIRUPDOLQWHVW&6327(603217(6
$&3(67$1$)/1(72&WURI0HG5HVHDUFK)DFRI
0HGRI3RUWR,%0&,QVWIRU0RODQG&HOO%LRO
44
5ROHRIIUHHIDWW\DFLGUHFHSWRU*35
LQPRXVHPRGHOVRILQÀDPPDWRU\DQGQHXURSDWKLFSDLQ
7.85,+$5$3.$5.,7$6$'$71$*$<$0$0
<26+,085$.$5,7$$0,<$7$.DJRVKLPD8QLY
.DJRVKLPD8QLY$WVXFKL1HXURVXUJLFDO+RVS.XPDPRWR
+OWK6FL8QLY
3267(5
3DLQ0RGHOV%HKDYLRU
44
7KHGHYHORSPHQWRIEHKDYLRUDO
K\SHUVHQVLWLYLWLHVLQ`FDWHQLQFRQGLWLRQDODFWLYDWLRQPLFHD
URGHQWPRGHORIGHJHQHUDWLYHGLVFGLVHDVH(<&+$1*
%929175,1+'&+(1='/828QLYRI&DOLIRUQLD
,UYLQH5XVK8QLY
44
7KHPHFKDQLFDOVWUHVVLQWRWKH
LQWHUYHUWHEUDOGLVFJHQHUDWHVWKHVHQVRU\VLJQDOVDQG
LPSDLUHGEHKDYLRUDOSDWWHUQV(3$5.60221+6(2
+&+81*++$1.RUHD8QLY&RORI0HG
44
([SORUDWRU\EHKDYLRULPSDLUPHQWDVDQ
REMHFWLYHPHDVXUHPHQWRIQRFLFHSWLRQLQSUHFOLQLFDOSDLQ
PRGHOV&==+871*8<(1&=+21*-0,.86$$
/(:,6'*$89,1&'0,//6&/(($:%$1121
6.-26+,$EERWW/DEV
44
,QYHVWLJDWLRQRIDOWHUQDWLRQSHUIRUPDQFH
LQFURVVPD]HDVDQRYHODQGREMHFWLYHPHWKRGWRGHWHFW
SDLQUHODWHGFRJQLWLYHLPSDLUPHQWLQURGHQWV-:%52:1
//(:,6/(58(7(57:%$11210=+$1*6.
-26+,$EERWW
44
6HQVRU\PRWRUFRJQLWLYHDQG
DIIHFWLYHFKDUDFWHUL]DWLRQRIDJLQJ&%PDOHPLFH0
0,//(&$0366(&+(9(55<;4816+,-=+$1*
/66721(0F*LOO8QLY0F*LOO8QLY
44 ,OOXVRU\WRXFKFDQUHGXFHSKDQWRPSDLQ
ZKHQLOOXVRU\PRYHPHQWGRHVQRW$QDOWHUQDWLYHYHUVLRQ
RIWKHPLUURUWKHUDS\/6&+0$/=/&5$*1g+
(+56621'HSWRI1HXURVFLHQFH.DUROLQVND,QVW$UP
3URVWKHVLV8QLW5HG&URVV+RVS
44 (QYLURQPHQWDOHQULFKPHQWDPHOLRUDWHV
WKHHIIHFWVRIHDUO\OLIHSDLQLQPLFH:)67(51%(5*5
'(+25,7<7(':$5'6-U5.$=,1.$-0&&/85(
(67(,1(5+DYHUIRUG&RO
44 0DWXUDWLRQDOFKDQJHVLQFKURQLF
SDLQIROORZLQJQHUYHLQMXU\LQWKHUDW*$%$55%
$:,1.(/67(,1&KLOGUHQ¶V+RVSRI3KLODGHOSKLD
3HUHOPDQ6FKRI0HGLFLQH8QLYRI3HQQV\OYDQLD8QLYRI
3HQQV\OYDQLD
44 +LJKWKURXJKSXWEHKDYLRUDODVVHVVPHQW
RIDQDOJHVLFFRPSRXQGVIRUQHXURSDWKLFSDLQ+6+$,1
6)'$9,6$+899,6720,10&,:81=(
3/25(//26$0$/(.,$1,(96$%$7+9
$/(;$1'5297+$1$1,$3V\FKR*HQLFV
44 7KHFRPSDULRQEHWZHHQDHURELF
H[HUFLVHVDQGPRUSKLQHWUHDWPHQWIRUFKURQLFEDFNSDLQ:
)+2()(5*&5266,/RQJ,VODQG8QLYHUVLW\3RVW
44 .QRFNRXWUDWPRGHOVIRUSDLQUHVHDUFK
.0*$0%(55+(15<//,77/($&+$0%(56
$0&&2<*=+$2'-,;&8,(:(,167(,16LJPD
$GYDQFHG*HQHW(QJLQ/DEV
44 8OWUDVRQLFVLJQDOVGLIIHUHQWLDWHEHWZHHQ
DOJRJHQLFDQGSUXULWLFVWLPXOLLQMHFWHGLQWKHUDWFKHHN
-%25=$1%3785148,67)$&$57(5(779
+$57.(615$-$-RKQV+RSNLQV8QLY%HWKHO8QLY
-RKQV+RSNLQV8QLY
44 &RPSDULVRQRIHYRNHGDQGQRQHYRNHG
HQGSRLQWVLQDURGHQWSDLQPRGHODQGSRWHQWLDOUHOHYDQFH
WRQRQHYRNHGKXPDQSDLQ'//,03-2+1621-'
.(11('<(OL/LOO\DQG&R(OL/LOO\DQG&R
44 &RPSDULVRQRIDWUDGLWLRQDOVWLPXOXV
HYRNHGSDLQUHVSRQVHDVVD\ZLWKSDLQVXSSUHVVHGORFRPRWRU
EHKDYLRULQWKHUDW0/0(+$/,&.00025*$1
:DVKLQJWRQ6WDWH8QLY
44 ,QKDOHGFKORULQHLQKLELWVORFRPRWLRQLQ
PLFHPHWKRGRORJLFDODQGSKDUPDFRORJLFDOLQYHVWLJDWLRQV
7-1(66-/<1&++,//&'(:,77(6'25$16
0$7$/218QLY$ODEDPD%LUPLQJKDP8$%
44 %XUURZLQJDVDQRQUHÀH[EHKDYLRUDO
UHDGRXWIRUDQDOJHVLFDFWLRQLQDUDWPRGHORINQHHMRLQW
UKHXPDWRLGDUWKULWLV.5877(1.6&+,(1(7
3$648$/217&+5,6723+*UQHQWKDO*PE+
55
3KDUPDFRORJLFDOYDOLGDWLRQRIDUH¿QHG
EXUURZLQJSDUDGLJPIRUDQDOJHVLFHI¿FDF\LQDUDWPRGHORI
NQHHMRLQWUKHXPDWRLGDUWKULWLV.5877(1$52%(167
07=6&+(17.(7&+5,6723+*UXHQHQWKDO*PE+
55
6SRQWDQHRXVEXUURZLQJEHKDYLRXULQ
PLFHDQGLWVDSSOLFDWLRQDVDQRXWFRPHPHDVXUHRIWKH
JOREDOLPSDFWRIFKURQLFSDLQLQWKHFROODJHQDQWLERG\
LQGXFHGDUWKULWLV&$,$PRGHO$'(/$1(<'%%$6&
,69(16621.DUROLQVND,QVWLWXWHW
55
(IIHFWVRIPXRSLRLGUHFHSWRUDJRQLVWV
RQSDLQVWLPXODWHGDQGSDLQGHSUHVVHGEHKDYLRUVLQUDWV$
$/7$5,),661(*869LUJLQLD&RPPRQZHDOWK8QLY
55
(IIHFWVRIPRQRDPLQHUHXSWDNH
LQKLELWRUVRQSDLQVWLPXODWHGDQGSDLQGHSUHVVHGEHKDYLRUV
LQUDWV661(*860%526(1%(5*9LUJLQLD
&RPPRQZHDOWK8QLY
55
5ROHRIWROOOLNHUHFHSWRUWOULQSDLQ
GHSUHVVHGEHKDYLRULQUDWV0/(,7/61(*869LUJLQLD
&RPPRQZHDOWK8QLY
55
'LVVRFLDEOHHIIHFWVRIWKH)$$+LQKLELWRUV
3)DQG85%RQDFXWHSDLQVWLPXODWHGDQGSDLQ
GHSUHVVHGEHKDYLRULQUDWV$-.:,/$6=61(*86
9,5*,1,$&20021:($/7+81,9(56,7<9LUJLQLD
&RPPRQZHDOWK8QLY
S
55
7KHUPDOSODFHSUHIHUHQFHLQUDWVZLWK
SHULSKHUDOQHXURSDWKLFSDLQ0)5$1(.*/($.
6$/7(69$&8/,1&KDUOHV8QLYHUVLW\UG)DFRI0HG
55
,QYHVWLJDWLQJWKHLPSDFWRIUHSHDWHG
WHVWLQJLQWKHSODFHHVFDSHDYRLGDQFHSDUDGLJP$
+$55,6&70&1$%%31)8&+67KH8QLYRI7H[DV
$W$UOLQJWRQ
55
7HVWFKDPEHUYDOHQFHLQÀXHQFHVQR[LRXV
HYRNHGSODFHHVFDSHDYRLGDQFHEHKDYLRU&70&1$%%
$/+$55,631)8&+68QLYRI7H[DV$W$UOLQJWRQ
55 &KDUDFWHUL]DWLRQRIQRFLFHSWLYH
UHVSRQVHVWREHHYHQRPLQGXFHGLQÀDPPDWLRQLQQHRQDWDO
UDWV0/,6:$1**/,0-&+(1-0$27KH)LUVW
$I¿OLDWHG+RVSRI&KLQHVH3/$*HQ+RVS0*+&WUIRU
7UDQVODWLRQDO3DLQ5HV0DVV*HQ+RVS+DUYDUG0HG
6FK,QVWIRU%LRPHG6FLRI3DLQ
55 6H[GLIIHUHQFHVLQQHXURSDWKLFSDLQ
,QYHVWLJDWLRQVXVLQJDJUDGHGPRGHORIDOORG\QLDDQG
SRVVLEOHQHXURLPPXQHFRQWULEXWRUV/1,&275$/
&/25$03(52/$105+87&+,16218QLY
$GHODLGH8QLY&RORUDGR8QLY$GHODLGH
55 6WUHVVLQGXFHGPRGL¿FDWLRQRIQR[LRXV
KHDWVHQVLWLYLW\LQWKH$;%%;$UHFRPELQDQWLQEUHGPLFH
OLQHVLVJHQGHUGHSHQGHQWDQGJHQHWLFDOO\FRQWUROOHG
00$6+5(*,')52,029,7&+'7,&+$8(5(
62/(,0$11(-$'=6(/7=(58QLYRI7RURQWR
55 $QGURVWDGLHQRQHUHODWHGVWUHVVLQGXFHG
DQDOJHVLDLQWKHPRXVHYLDH[SRVXUHWRPDOHV-602*,/
5(625*(/-0$57,1.$,6%(67(5:)
67(51%(5*0F*LOO8QLY+DYHUIRUG&ROO
3267(5
6RPDWRVHQVRU\/RFDO&LUFXLWU\
55 /DPLQDUO\RUWKRJRQDOH[FLWDWLRQRIIDVW
VSLNLQJDQGORZWKUHVKROGVSLNLQJLQWHUQHXURQVLQPRXVH
PRWRUFRUWH[$$3,&(//$,5:,&.(56+$0*0
6+(3+(5'1RUWKZHVWHUQ8QLY0,7
55 5HSUHVHQWDWLRQVRIPHQWKRODQGFROG
VWLPXOLLQWKHPRXVHQHRFRUWH[<7$.$6+,0$3/
%(8.(0$$/%$57+&DUQHJLH0HOORQ8QLY
55 'LIIHUHQWLDOSURFHVVLQJRIVHQVRU\LQSXW
E\QHLJKERXULQJOD\HUS\UDPLGDOQHXURQVLQZKLVNHU
EDUUHOFRUWH[UHYHDOHGE\LPPHGLDWHHDUO\JHQHH[SUHVVLRQ
--28+$11($80%5(&+7$/%$57+-)$
328/(7'HSWRI1HXURVFLHQFH0D['HOEUFN&WUIRU0RO
0HG0'&1HXURVFL5HV&WUDQG&OXVWHURI([FHOOHQFH
1HXUR&XUH&KDULWp8QLYHUVLWlWVPHGL]LQ%HUOLQ%HUQVWHLQ
&WUIRU&RPSXWDW1HXURVFLHQFH+XPEROGW8QLYRI%HUOLQ
'HSWRI%LRO6FLDQG&WUIRUWKH1HXUDO%DVLVRI&RJQLWLRQ
&DUQHJLH0HOORQ8QLY
55 (IIHFWVRIFORVHGORRSLQKLELWRU\IHHGEDFN
GXULQJDFWLYHWDFWLOHH[SORUDWLRQ-6&+52('(5*
7(/,$1-75,77%RVWRQ8QLY
S
55 /RQJUDQJHFRUWLFRFRUWLFDOLQSXWVWRPRWRU
FRUWLFDODUHDIURPUHWURSOHQLDOFRUWH[1<$0$:$.,*0
*6+(3+(5'1RUWKZHVWHUQ8QLY
66
6KRUWDIIHUHQWLQKLELWLRQGXULQJ
PRYHPHQWSUHSDUDWLRQLQDQLQGH[¿QJHUÀH[LRQWDVN
0-$60866(10)-$&2%6.*+/((&0
=$3$//2:$-1(/6218QLYRI:DWHUORR
66
S
$XWRPDWHGUHFRQVWUXFWLRQRIWKHPRXVH
EDUUHOFRUWH[DWVLQJOHQHXURQUHVROXWLRQ9<(&+8$1*
0*,1*(5$)5,&.7&(/,.(/7KH8QLYRI6RXWKHUQ
&DOLIRUQLD1HXURFHQWUH0DJHQGLH,QVHUP
66
,QGLYLGXDOOHDUQLQJSHUIRUPDQFHRQ
ZKLVNHUGHSHQGHQWWDFWLOHGLVFULPLQDWLRQWDVNVRIZLVWDUUDWV
$&.81,&.,(025<$5)8(17(601,&2/(/,6
(GPRQGDQG/LO\6DIUD,QWO,QVWRI1HXURVFLRI1DWDO'XNH
8QLY'XNH8QLY'XNH8QLY'XNH8QLY
66
7KHWDEXUVWWUDQVFUDQLDOPDJQHWLF
VWLPXODWLRQWRPRGLI\VRPDWRVHQVRU\HYRNHGSRWHQWLDOVDQG
VSLQDOUHÀH[HVIURPWKHORZHUOLPE&0=$3$//2:'
$(%2/7210-$60866(10)-$&2%6.*+
/(($-1(/6218QLYRI:DWHUORR8QLYRI:DWHUORR
66
3UHVWLPXOXVDOSKDDQGJDPPD
RVFLOODWLRQVV\VWHPDWLFDOO\SUHGLFWGHWHFWLRQRIYLEULVVDO
GHÀHFWLRQVLQKHDGSRVWHGPLFH'/35,7&+(77-+
6,(*/(5&&/$5<-)($7+(5+)$552:&,
0225(0,7%URZQ8QLY
66
7KHLQÀXHQFHRIFRQWLQXRXVWKHWD
EXUVWVWLPXODWLRQRYHUWKHSULPDU\VRPDWRVHQVRU\FRUWH[
RQWHPSRUDORUGHUMXGJHPHQWSHUFHSWLRQ./((0
)-$&2%60-$60866(1&0=$3$//2:0
7200(5'$+/$-1(/6218QLYRI:DWHUORR8QLYRI
:DWHUORR8QLYRI1RUWK&DUROLQDDW&KDSHO+LOO
66
/RQJUDQJHLQSXWVWRPRWRUFRUWH[IURP
YHQWURODWHUDOSDULHWDOFRUWLFDODUHDV%$687(5*0
*6+(3+(5''HSW3K\VLRORJ\)HLQEHUJ6FK0HG
1RUWKZHVWHUQ8QLY
66
3DULHWDOVKRUWLQWUDFRUWLFDOLQKLELWLRQ
REVHUYHGWKURXJKWULSOHSXOVHWUDQVFUDQLDOPDJQHWLF
VWLPXODWLRQ5:3$,1(0+$//(771,1'61,+
66
&HOOW\SHVSHFL¿FLQKLELWRU\LQSXWV
WRGHQGULWLFDQGVRPDWLFFRPSDUWPHQWVRISDUYDOEXPLQ
H[SUHVVLQJQHRFRUWLFDOLQWHUQHXURQ++,2.,6
2.$02720.2112+.$0('$-62+1(
.85$0272))8-,<$0$7.$1(.2.\RWR8QLY*UDG
6FKRI0HG7HLN\R8QLY6FKRI0HG&5(67-67
66 &RUWLFRFRUWLFDOFRQQHFWLRQVEHWZHHQWKH
KLQGOLPEUHJLRQRIWKHSULPDU\VRPDWRVHQVRU\FRUWH[DQGWKH
VHFRQGDU\PRWRUFRUWH[LQPLFH60$1,7$768=8.,0
2'$*$:$0,128(0(/$5.800085$<$0$
5,.(1%UDLQ6FL,QVW'HSWRI%LRO,QIRUPDWLRQ7RN\R
,QVWRI7HFKQRO1HXURVFL5HV&WU&DPSXV0LWWH&KDULWp
8QLYHUVLWlWVPHGL]LQ%HUOLQ
66
&RRSHUDWLYHKHWHURV\QDSWLFLQWHUDFWLRQ
RIVSLNHWLPLQJGHSHQGHQWSODVWLFLW\LQWKHGHYHORSLQJEDUUHO
FRUWH[&,7$0,).,085$6DLWDPD0HG8QLY2VDND
8QLY
55 6H[GLIIHUHQFHVLQDQWLQRFLFHSWLRQXVLQJ
DPRGHORISDLQVXSSUHVVHGEHKDYLRU50&5$)75
+(87,1.$635$'/,1:DVKLQJWRQ6WDWH8QLY
55 9LVXDOL]DWLRQRIDQDFWLYHHQVHPEOHRI
FRUWLFDOQHXURQVLQYLYRXVLQJDQRYHODFWLYLW\GHSHQGHQW
SURPRWHU(6$5(7.$:$6+,0$..,7$085$
.2+.,.68=8.,0121$.$6.$0,-26
7$.(0272.,085$0.$12+2.812+%,728QLY
RI7RN\R*UDG6FKRI0HG8QLYRI7RN\R*UDG6FKRI
0HG.\XVKX8QLY*UDG6FKRI0HG6FL
66 &RPELQDWRULDOSDWWHUQVRIJHQH
H[SUHVVLRQGH¿QHQHZFODVVHVRIFRUWLFDOSDUYDOEXPLQ
LQWHUQHXURQVLQWKHPRXVHVRPDWRVHQVRU\FRUWH[-3
5266,(5$85%$1$%(51$5'43(55(128'6
$625(16(17*$//23,10+$:5</<&=(/(,1
(63&,3$5,6$OOHQ,QVWIRU%UDLQ6FL
66 )HHGEDFNLQKLELWLRQLVSUHVHUYHGLQ
OD\HURISULPDU\VRPDWRVHQVRU\FRUWH[IROORZLQJDOWHUHG
VHQVRU\H[SHULHQFH*$/%,(5,*7),11(57<.+3&WU
)RU1HXURGHJHQHUDWLRQ.LQJ¶V&RO/RQGRQ
66 3UHSURG\QRUSKLQSURGXFLQJQHRFRUWLFDO
LQWHUQHXURQVFRQVWLWXWHDVXESRSXODWLRQRIVRPDWRVWDWLQ
H[SUHVVLQJQHXURQV-62+1++,2.,62.$02727
.$1(.2.\RWR8QLY*UDG6FKRI0HG
66 &KURQLFIXQFWLRQDOXOWUDVRXQGLPDJLQJRI
WKHUDWEUDLQWKURXJKDWKLQQHGVNXOO$85%$1(0$&(
*0217$/'2&'(0(1(/0$57,1(=0),1.
-5266,(507$17(5/DE'H1HXURELRORJLH,QVW
/DQJHYLQ(63&,3DULV7HFK&156,16(503DULV)UDQFH
66 &RUUHODWLRQRIDQDWRPLFDODQGUHVWLQJ
VWDWHIXQFWLRQDOLQWHUDFWLRQVZLWKLQSULPDU\VRPDWRVHQVRU\
FRUWH[RIPRQNH\V=:$1*50)5,('0$1/&+(1
/1(*<(66<$:52(,QVWRI1HXURVFL9DQGHUELOW
8QLY9DQGHUELOW8QLY9DQGHUELOW8QLY+XQJDULDQ$FDGRI
6FL6HPPHOZHLV8QLY0HG6FK
3267(5
6SLQDO&RUG,QMXU\3ODVWLFLW\,,
66 5HWDLQHGHIIHFWRI)(6DVVLVWHGDUPDQG
OHJF\FOLQJDIWHULQFRPSOHWHVSLQDOFRUGLQMXU\5=+28
5:21*6&+21*$.$%25(<.,1<2*29
086+$+:$58QLYRI$OEHUWD
66 )XQFWLRQDOQHXURSK\VLRORJLFDO
DVVHVVPHQWRIWKHWUXQNPXVFOHVLQLQGLYLGXDOVZLWKVSLQDO
FRUGLQMXU\'*7(5621'(3$/(9,//(0&+235$
'$$7.,1621'/25(1=6$6/$1&72/)26-
+$5.(0$8QLYRI/RXLVYLOOH)UD]LHU5HKDE,QVW
66 5HFRYHU\RIWUXQNDIWHUVSLQDOFRUG
LQMXU\*))255(67$5$0$18-$0(-2+16(1(
*$5%$5,1,'3,(5&(6+$5.(0$.HVVOHU)QGQ5HV
&WU.HVVOHU)QGQ.HVVOHU)RXQGDWL8QLYRI/RXLVYLOOH
66 ,PSDLUHGWDVNGHSHQGHQWPRGXODWLRQ
RIFRUWLFRVSLQDOGULYHDIWHUKXPDQVSLQDOFRUGLQMXU\./
%81'$<0$3(5(=8QLYRI3LWWVEXUJK
77
&URVVHGIDFLOLWDWLRQRIFRUWLFRVSLQDOGULYH
LQPXVFOHVDERYHDQGEHORZKXPDQVSLQDOFRUGLQMXU\./
%81'$<$3&$58620$3(5(=8QLYRI3LWWVEXUJK
77
7HVWLQJVSLQDOFRUGFLUFXLWULHVZLWK
005LVDFRPSOHWHVSLQDOFRUGLQMXU\WUXO\FRPSOHWH"0
06$%%$+,)29$.%,77$568=817H[DV:RPDQ¶V
8QLY7H[DV(OHFWURSK\VLRORJ\6HUYLFHV
77
2SHUDQWFRQGLWLRQLQJRIWKHDQNOH
GRUVLÀH[RUPRWRUHYRNHGSRWHQWLDO0(3LQSHRSOHZLWKDQG
ZLWKRXW&16GDPDJH&KDQJHV0(3VL]HDQGVLOHQWSHULRG
/7(17(520$12$-$067(5'$0-%5$1*$&&,2
-61,))(1$7+203621+HOHQ+D\HV+RVS6WDWH
8QLYRI1HZ<RUNDW6WRQ\%URRN:DGVZRUWK&HQWHU1<6
'HSW+OWK1HXURORJ,QVWLWXWH&ROXPELD8QLY6WDWH8QLY
RI1HZ<RUNDW$OEDQ\
77
7DVNGHSHQGHQWPRGXODWLRQRIWKHVLOHQW
SHULRGWRWUDQVFUDQLDOPDJQHWLFVWLPXODWLRQLQWKHWLELDOLV
DQWHULRUPXVFOHLQKHDOWK\KXPDQV-061,))(1-
$%5$1*$&&,2$.7+2036216WRQ\%URRN8QLY
+HOHQ+D\HV+RVS+HOHQ+D\HV+RVS1<6'HSW+OWK
1HXURORJ,QVWLWXH&ROXPELD8QLY6WDWH8QLYRI1HZ<RUN
DW$OEDQ\
77
3UHVHUYHGIRRWPRWRUFRUWH[LQVSLQDOFRUG
LQMXU\SDWLHQWV$QI1,56VWXG\./0.2(15$$'7-(
'8<6(1619$1'(1+85..,76/$$5,-9$11(6
+5,-.(11/:.(,-6(566LQW0DDUWHQVNOLQLHN'HSW
RI.LQHVLRORJ\IDEHU6LQW0DDUWHQVNOLQLHN
77
&KDQJHVLQ0FRUWLFDOH[FLWDELOLW\
DQGLQWUDFRUWLFDOLQKLELWLRQLQGXFHGE\W'&6GXULQJUHVWLQJ
DQGDFWLYHVWDWHV;=+$1*)9$1'(1%(5*1
:(1'(527+.8/HXYHQ1HXUDO&RQWURORI0RYHPHQW
/DE
77
7KHDIWHUHIIHFWVRIDQRGDOW'&6LQ
FRUWLFDOH[FLWDELOLW\DQGLQWUDFRUWLFDOLQKLELWLRQGXULQJUHVWLQJ
DQGDFWLYHVWDWHVLQHOGHUO\)9$1'(1%(5*;=+$1*
6%(5%(1.&8<3(5650((6(166:,11(11
:(1'(527+.8/HXYHQ+DVVHOW8QLY(7+
77
(IIHFWVRIWUDQVFUDQLDOGLUHFWFXUUHQW
VWLPXODWLRQRQDQNOHPRWRUVNLOOSHUIRUPDQFH0RWRUFRUWH[
YVFHUHEHOODUVWLPXODWLRQ60$'+$9$1%6+$+8QLY
RI,OOLQRLV$W&KLFDJR
77
,QYHVWLJDWLRQRILQWHQVLW\GHSHQGHQW
FKDQJHVIROORZLQJFRQWLQXRXVWKHWDEXUVWVWLPXODWLRQWR
WKHKXPDQSULPDU\PRWRUFRUWH[0)-$&2%60-
$60866(1.*+/((&0=$3$//2::5
67$,1(6$-1(/6218QLYRI:DWHUORR
77
$FWLYDWLRQRIWKHVSLQDOORFRPRWRUQHWZRUN
XVLQJH[WHURFHSWLYHVWLPXODWLRQDOORZVWKHUHH[SUHVVLRQ
RIORFRPRWRUSDWWHUQLQFKURQLFVSLQDOL]HGDGXOWUDWV2
$//8,1+'(/,9(7021*5$,165266,*12/8QLY
RI0RQWUHDO
77
'LIIXVLRQWHQVRULPDJLQJLVVHQVLWLYHWR
QHXURQDOVWHPFHOOWUHDWPHQWV0%-,5-,661.853$'
%'6&+0,70DUTXHWWH8QLY0HG&RORI:LVFRQVLQ
77
S
&RPSOH[QHXUDOSODVWLFLW\LQDQ
LQWHUVHJPHQWDOFXWDQHRXVSDLQUHÀH[DIWHUVSLQDOFRUGLQMXU\
360$/21(-67,':(//-0:+,7(+/((.(
7$16(<(PRU\8QLY(PRU\8QLY(PRU\8QLY6KHSKHUG
&WU(PRU\8QLY*HRUJLD,QVWRI7HFKQRO$WODQWD9$0HG
&WU
77
&HQWUDOSURMHFWLRQSDWWHUQVRIVHJPHQWDO
FXWDQHRXVSDLQDIIHUHQWVLQWKHUDWVSLQDOFRUG+/((-
67,':(//-0:+,7(360$/21(.(7$16(<
(PRU\8QLY(PRU\8QLY6KHSKHUG&WU(PRU\8QLY
*HRUJLD,QVWRI7HFKQRO(PRU\8QLY$WODQWD9$0HG&WU
77
'LXUQDODQGGD\WRGD\YDULDWLRQVLQ
FRUWLFRVSLQDOH[FLWDELOLW\IRUWKHDQNOHGRUVLÀH[RUWLELDOLV
DQWHULRUPXVFOH-$%5$1*$&&,2-061,))(1$.
7+203621+HOHQ+D\HV+RVS6WDWH8QLYRI1HZ<RUN
DW6WRQ\%URRN+HOHQ+D\HV+RVS:DGVZRUWK&HQWHU
1<6'HSW+OWK1HXURORJ,QVWLWXWH&ROXPELD8QLY6WDWH
8QLYRI1HZ<RUNDW$OEDQ\
77
5HKDELOLWDWLRQDQGSODVWLFLW\IURPUHDOWLPH
QHXURIHHGEDFNXVLQJ0(*67)2/'(6'-:(%(5
*68'5(-/&2//,1*(58QLYRI3LWWVEXUJK&DUQHJLH
0HOORQ8QLY8QLYRI3LWWVEXUJK9$3LWWVEXUJK+HDOWKFDUH
6\VW
S
77
6SDWLDOO\GLVWULEXWHGVHTXHQWLDO
VWLPXODWLRQLPSURYHVIDWLJXHUHVLVWDQFHLQSODQWDUÀH[RUV'
6$<(1.20532329,&.0$6$1,7RURQWR5HKDELO
,QVW8QLYRI7RURQWR
77
(IIHFWVRISDWWHUQHG706RQWRPRWRU
QHWZRUNDFWLYLW\DVUHYHDOHGE\VLPXOWDQHRXV706I05,
7+$1$.$:$<6+,527$77$1$.$0+$0$'$
+6+,7$5$62+0,1$0,67$1$.$<7(5$20
+21'$5+$1$-,0$<8*$:$1DWO&WU1HXURO
3V\FK-678QLYRI7RN\R1DJR\D,QVW7HFK)XNXVKLPD
0HG8QLY
77
$QHRQDWDO6&,'PRXVHPRGHOIRU
VWXG\LQJIXQFWLRQDOUHFRYHU\LQGHVFHQGLQJSURMHFWLRQVDIWHU
VSLQDOFRUGLQMXU\)0/$0%(57-%28//$1'0
=h&+1(5-&*/29(5'SWRI3K\VLRORJ\,QVWRI%DVLF
0HG6FLHQFHV8QLYRI2VOR'HSWRI1HXURVXUJ
&HUHEHOOXP%HKDYLRUDQG3ODVWLFLW\
77
/HVLRQVWRWKHSRVWHULRUFHUHEHOODUPLGOLQH
LPSDLUWKHH[HFXWLYHFRQWURORIDWWHQWLRQDVPHDVXUHGE\WKH
$WWHQWLRQ1HWZRUN7HVW702%(5*(7/7:(67/<(
6$1'(56621$+(/'$/%'8(711(66(17
/81'$57(1'(67$'8QLYRI2VOR8QLYRI2VOR2VOR
8QLY+RVS+)±5LNVKRVSLWDOHW2VOR8QLY+RVS+)±
5LNVKRVSLWDOHW
77
&RUUHODWHGFKDQJHVLQJUDQXODUDQG
PROHFXODUOD\HUSODVWLFLW\LQGXFHGE\PRVV\¿EHUWKHWD
EXUVWSDWWHUQV)35(6725,/&21*,-0$3(//,
'*$1'2/),.5$0$.+5,6+1$1/0$3(//,
03$*$1,)%/$1',1,(8'¶$1*(/2,5&&6
&0RQGLQR8QLYRI3DYLD8QLYRI0RGHQD1HXURORJ,QVW
&0RQGLQR
88
&HUHEHOODUGHJHQHUDWLRQDOWHUVWKH
JHQHUDOL]DWLRQRIPRWRUPHPRULHV0'+$55$16
3(.1<56+$'0(+5-RKQV+RSNLQV8QLY
88
3URELQJWKHFRQWULEXWLRQRIWKHIURQWR
FHUHEHOODUV\VWHPWRUDSLGYLVXDODWWHQWLRQ$706DQG((*
VWXG\&3$5$6$1=7$6&+:(,=(5567$,1(6
8QLYRI:DWHUORR8QLYRI7RURQWR8QLYRI:DWHUORR
88
0RGXODWLRQRIVSLQRROLYRFHUHEHOODU
SDWKZD\VLQDZDNHUDWVE\WKHPLGEUDLQSHULDTXHGXFWDOJUH\
7&:$7621%0/80%5$3368QLYRI%ULVWRO
88
3UHOLPLQDU\YR[HOEDVHGOHVLRQV\PSWRP
PDSSLQJLQFHUHEHOODUVWURNHSDWLHQWV0RWRUYVFRJQLWLYH
RXWFRPHV&-6722'/(<-30$&025(10$.5,6
-&6+(50$1-'6&+0$+0$11$PHULFDQ8QLY
0DVVDFKXVHWWV*HQ+RVS$WKLQRXOD$0DUWLQRV&WUIRU
%LRPHG,PDJLQJ
88 7KHRUHWLFDOVWXG\RQLPSRUWDQFHRID
SRVWWUDLQLQJSHULRGIRUPHPRU\WUDQVIHULQFHUHEHOODUPRWRU
OHDUQLQJ7<$0$=$.,61$*$27KH8QLYRI(OHFWUR
&RPPXQLFDWLRQV5,.(1%UDLQ6FL,QVW
88 %LKHPLVSKHULFPRGHORIWKHFHUHEHOOXP
ZLWKUHDOLVWLFFOLPELQJ¿EHULQSXW53,1=21025$/(6<
+,5$7$&KXEX8QLY&RORI(QJLQ
88 7LPHSURSHUWLHVRIFRPSOH[VSLNHOLQNHG
VLQJOHWULDOSODVWLFLW\LQWKHFHUHEHOOXP<<$1*6*
/,6%(5*(5'XNH8QLY
88 0RYHPHQWSUHSDUDWLRQSULRUWREDOOLVWLF
WDUJHWHGPRYHPHQWVRIWKHZULVWLQDWD[LD-0:,/621
/$'$06$.(/6(<135,1&(&685(&.&'
0$&.,11211RUWKZHVWHUQ8QLY
88 %H\RQGPRWRUOHDUQLQJ7KHFHUHEHOOXP
RSWLPL]HVSHUFHSWLRQE\XSGDWLQJSUHGLFWLRQVDERXWWKH
VWDWLVWLFVRIRXUVHQVRU\HQYLURQPHQW0-527+0
6<12)=,.$/,1'1(5+HUWLH,QVW
88 %UDLQFKDQJHVDVVRFLDWHGZLWKSRVWXUDO
WUDLQLQJLQSDWLHQWVZLWKFHUHEHOODUGHJHQHUDWLRQDYR[HO
EDVHGPRUSKRPHWU\VWXG\5*%85&,81)5,76&+(
2*5$1(57/6&+0,7=163g1(0$11-
.21&=$.17+(<62+10*(5:,*79$1(,0(5(1
'7,00$118QLYRI'XLVEXUJ(VVHQ&KULVWLDQ$OEUHFKWV
8QLY8QLYRI0LQQHVRWD8QLYRI'XLVEXUJ(VVHQ
88 'RUHJLRQDOFHUHEHOODUYROXPHVH[SODLQ
LQGLYLGXDOGLIIHUHQFHVLQVHQVRULPRWRUIXQFWLRQ"-$
%(51$5'5'6(,'/(58QLY0LFKLJDQ
88
$XWRPDWHG3DUFHOODWLRQRIWKH+XPDQ
&HUHEHOOXP'&52&(77,602672)6.<.HQQHG\
.ULHJHU,QVLWLWXH
88 /RFRPRWRUGH¿FLWVDIWHUVSDWLDOO\
UHVWULFWHGNQRFNGRZQRI&RQQH[LQLQWKHLQIHULRUROLYHRI
MXYHQLOHUDWV-508(//(50.5,(%(/+92/.0(5
37+,(5+HUWLH,QVWIRU&OLQ%UDLQ5HV10,
88
(IIHFWVRIFRQWLQXRXVWKHWDEXUVW
VWLPXODWLRQRYHUWKHFHUHEHOODUYHUPLVRQVDFFDGH
DGDSWDWLRQDUHFRXQWHUDFWHGE\10'$UHFHSWRUDQWDJRQLVW
3&2/$*,25*,26&2/1$*+,*.2&+65$0$7
09(56,12('¶$1*(/28QLY'L3DYLD,5&&61DWO
1HXURORJ,QVW&0RQGLQR,5&&6)RQGD]LRQH6DQWD/XFLD
88 7KHEXUVWVL]HRIROLYDU\ZDYHOHWV
GHSHQGVRQWKHDPSOLWXGHRIWKHVXEWKUHVKROGRVFLOODWLRQ
07'(-(8-5'(*58,-/&,'(=((8:3
%$==,*$/833,(UDVPXV0&1HWKHUODQGV,QVWIRU
1HXURVFL
88
'LVUXSWLRQRIULJKWFHUHEHOOXPZLWKU706
EORFNVSUHGLFWLYHODQJXDJHSURFHVVLQJ(/(6$*(%(
025*$1$&2/621$60(<(55&0,$//8QLY
RI%LUPLQJKDP0D[3ODQFN,QVWIRU3V\FKROLQJXLVWLFV8QLY
RI%LUPLQJKDP
88
)XQFWLRQDO05,RIWKHKXPDQFHUHEHOOXP
UHYHDOVRYHUODSSLQJUHSUHVHQWDWLRQVRILQGLYLGXDOGLJLWV
DQGWKHKDQG:9$1'(5=:$$*50$578==,5
.867(562%/$1.(5*58(77(5-30$548(6
8QLY'H/DXVDQQH(3)/
S
88 6KHGGLQJOLJKWRQFOLPELQJ¿EHUPHGLDWHG
IHHGIRUZDUGLQKLELWLRQLQWKHFHUHEHOOXP3-0$7+(:6
./((=3(1*&5+286(57627,68QLYRI
&DOLIRUQLD/RV$QJHOHV
88 6HOHFWLYHGLVUXSWLRQRIVSDWLDORULHQWDWLRQ
LQWZRPRXVHPRGHOVRIFHUHEHOODUGHJHQHUDWLRQ-780$
-&(1'(/,1)92=(+)DFRI0HG,Q3LOVHQ&KDUOHV
8QLY)DFRI0HG,Q3LOVHQ&KDUOHV8QLY
3267(5
88
(IIHFWVRIFRQWLQXRXVWKHWDEXUVW
VWLPXODWLRQRYHUWKHFHUHEHOODUYHUPLVRQGRXEOHVWHS
VDFFDGHDGDSWDWLRQ65$0$76&2/1$*+,3
&2/$*,25*,2('¶$1*(/2*.2&+09(56,12
8QLYHUVLWD¶'L3DYLD,5&&61DWO1HXURORJ,QVW&
0RQGLQR,5&&6)RQGD]LRQH6DQWD/XFLD
3267(5
%DVDO*DQJOLD6\VWHPV3K\VLRORJ\,,
*OREXVSDOOLGXVGHHSEUDLQVWLPXODWLRQ
99
GLVUXSWVLQIRUPDWLRQÀRZWKURXJKWKHSDOOLGXPE\*$%$HUJLF
LQKLELWLRQ$1$0%86&+,.(11DWO,QVW3K\VLRO6FL
7KH*UDG8QLYIRU$GY6WXGLHV
99
1HXURQDOHQVHPEOHVLQWKHVWULDWXP
GLIIHUHQWLDOO\HQFRGHORFRPRWLRQDQGFRQWH[W+*<$0,1
($67(51'&2+(1%DU,ODQ8QLY%DU,ODQ8QLY
0DVVDFKXVHWWV*HQ+RVS
99
'LIIHUHQWLDOUHZDUGFRGLQJLQWKH
GRUVRODWHUDODQGYHQWURPHGLDOSDUWRIWKHSULPDWHFDXGDWH.
1$.$085$.DQVDL0HG8QLY
99
10'$UHFHSWRUDQWDJRQLVPSUHYHQWV
WKHLQYHUVLRQRIGRSDPLQHUHVSRQVHVLQVWULDWDOPHGLXP
VSLQ\QHXURQVLQ3DUNLQVRQLDQPRQNH\V$6,1*+/
)32776.-%85.(-6:+,7+($5%'<$9$5
6+(77<603$3$<HUNHV1DWO3ULPDWH5HV&HQWHU
(PRU\8QLYHUVLW\(PRU\8QLY6FKRI0HG
99 2SSRVLWHHIIHFWVRIFDXGDWHKHDGDQGWDLO
LQDFWLYDWLRQRQÀH[LEOHDQGVWDEOHYDOXHJXLGHGEHKDYLRU+
.,02+,.26$.$1,+1(,/65
99 'RSDPLQHUJLFPRGXODWLRQRI
FRUWLFRVWULDWDOWUDQVPLVVLRQLQPRQNH\V<0$<60,7+
7:,&+0$11(PRU\8QLY6FK0HG(PRU\8QLY6FK
0HG
99 %DVDOJDQJOLDI05,UHVSRQVHVGXULQJ
VNLOOHGPDQXDOPRWRUWDVNVLQWKHQRQKXPDQSULPDWH.
1(/,66(13'(0$=,Ê5(:9$1'8))(/.8/HXYHQ
0HG6FK0DVVDFKXVHWWV*HQ+RVSLWDO+DUYDUG0HG
6FKRRO$WKLQRXOD$0DUWLQRV&WUIRU%LRPHG,PDJLQJ
99 ,QWHUDFWLRQVRIVXEWKDODPLFQXFOHXV
DQWLGURPLFDFWLRQSRWHQWLDOVDQGLQWULQVLFRVFLOODWRUV(%
0217*20(5<-5++8$1*%/*87+5,(+&
:$/.(55/:$7768QLY$ODEDPD$W%LUPLQJKDP
99 'RSDPLQH'DQG'UHFHSWRUV
GLIIHUHQWO\PRGXODWHLQIRUPDWLRQSURFHVVLQJWKURXJKWKHEDVDO
JDQJOLD6&+,.(1&2+7$$6$7276$6$2.$0
.852.$:$$1$0%81DWO,QVW)RU3K\VLRORJLFDO6FL
*UDG8QLYIRU$GYDQFHG6WXGLHV7RN\R0HWURSROLWDQ8QLY
.LWDVDWR8QLY6FKRI0HG1DWO,QVWIRU%DVLF%LRO
99
%XUVWVDQGSDXVHVRIPHGLXPVSLQ\
QHXURQVDUHPRGXODWHGE\GRSDPLQHLQWKH3DUNLQVRQLDQ
PRQNH\687+$<$7+$6$6,1*+/)3277660
3$3$(PRU\8QLY(PRU\8QLY
99 ,QYHVWLJDWLQJWKHUROHRIVWULDWDOVXEFLUFXLWV
LQWKHSHUIRUPDQFHRIDFWLRQVHTXHQFHVXVLQJRSWRJHQHWLFV
)7(&8$3(7/$;-,1-$/0(,'$64/,0$5
&267$&KDPSDOLPDXG&WUIRU8QNQRZQ7KH6DON,QVWIRU
%LRO6WXGLHV
99
$QHZVFDOHIRUDVVHVVLQJOHYRGRSD
LQGXFHGG\VNLQHVLDVLQWKHQRQKXPQDSULPDWHPRGHORI
3DUNLQVRQ¶VGLVHDVH/)32776687+$<$7+$6$
6,1*+%'<$9$56+(77<-6:+,7+($560
3$3$(PRU\8QLY
99 &RPSOH[OLPEDQGFXHVLJQDOVDQG
LQWHUDFWLRQVLQSULPDWHJOREXVSDOOLGXVQHXURQV-:0,1.
&-+$//71,&+2/6218QLY5RFKHVWHU0HG&WU
8QLY5RFKHVWHU0HG&WU8QLY5RFKHVWHU0HG&WU
99
)LULQJRIVWULDWDOQHXURQVLQ3DUNLQVRQ¶V
GLVHDVHSDWLHQWV603$3$$6,1*+-6:+,7+($5
/)32776(PRU\8QLY(PRU\8QLY
99
/DFNRIFRUUHODWLRQEHWZHHQSURJUHVVLYH
HPHUJHQFHRIPRWRUFRUWH[EDVDOJDQJOLDV\QFKURQ\LQWKH
KLJKEHWDORZJDPPDIUHTXHQF\UDQJHDQGPRWRUGH¿FLWVLQ
URGHQWPRGHOVRI3DUNLQVRQ¶VGLVHDVH1,129,.29(
%5$=+1,.$9&58=10,/,(9$&0*(5%(5$-
0&&2<-5:$/7(561,+1,1'6
99
'RUVDOUDSKHQHXURQDODFWLYLW\LQDQ
DQLPDOPRGHORI3DUNLQVRQ¶VGLVHDVHDQG/GRSDLQGXFHG
G\VNLQHVLD.%'835(&'(/$9,//((%5$=+1,.
1129,.29-5:$/7(561,+1,1'6
99 $FWLRQUHODWHGQHXURQDODFWLYLW\LQWKH
JOREXVSDOOLGXVRIPDFDTXHVUHÀHFWVPXOWLSOHDVSHFWVRI
JRDOGLUHFWHGEHKDYLRU<6$*$0+$6+,0272/
75(0%/$<-7$1-,(+26+,7RN\R0HWURSRO,QVWRI
0HG6FL&WUGH1HXURVFL&RJQLWLYH805&156͒
7DPDJDZD8QLY%UDLQ6FL,QVW7RKRNX8QLY%UDLQ6FL
&WU&5(67-67
99
%LODWHUDODQGPXOWLVHQVRU\LQWHJUDWLRQLQ
VWULDWDOPLFURFLUFXLWV55(,**6,/%(5%(5*.DUROLQVND
,QVWLWXWHW.DUROLQVND,QVWLWXWHW
:: 2SHQDQGFORVHGORRSFRPSRQHQWVRI
FRUWLFRVWULDWDOFLUFXLWVZLWKSUHIURQWDOFRUWH[$&%267$1
53'803/675,&.8QLYRI3LWWVEXUJK5HV6HUYLFH
9$0HG&WU
:: 6WULDWRSDOOLGDOQHXURQVDWWHQXDWHPRWRU
DFWLYLW\WKURXJKWKHSKDVLFUHVSRQVHSDWWHUQLQWKHEDVDO
JDQJOLD+6$126&+,.(1..2%$<$6+,$1$0%8
1DW,QVWIRU3K\VLRO6FL)XNXVKLPD0HG8QLY
:: 6WULDWDOSURFHVVLQJRIFRUWLFDOQHXURQDO
DYDODQFKHV$./$86'3/(1=1DWO,QVWRI0HQWDO
+OWK.DUROLQVND,QVW
:: *DWLQJRIVSRQWDQHRXVDQGDP\JGDOD
HYRNHGDFWLYLW\RIQXFOHXVDFFXPEHQVQHXURQVE\WKHODWHUDO
KDEHQXOD076(&067233(56%)/25(6&2
8QLY%ULWLVK&ROXPELD8QLYRI%ULWLVK&ROXPELD
:: (OHFWURSK\VLRORJLFDOFKDUDFWHULVWLFV
RILGHQWL¿HGVWULDWDOLQWHUQHXURQVLQYLYR$6+$5277
1'2,*10$//(73-0$*,//05&$QDWRP
1HXURSKDUP8QLW8QLYRI0LFKLJDQ
:: *3LLVLQYROYHGDWPXOWLSOHWDVNOHYHOV
LQVHOHFWLRQDQGLQKLELWLRQRIFRPSHWLQJPRWRUEHKDYLRUV
,67$71,.29$-:0,1.8QLY5RFKHVWHU8QLY
5RFKHVWHU
99 6XVWDLQHGWRQLFH[FLWDWLRQDQG
VXSSUHVVLRQRIDFWLYLW\RQSHGXQFXORSRQWLQHWHJPHQWDO
QXFOHXVQHXURQVLQEHKDYLQJPRQNH\V.2.$'$<
.2%$<$6+,2VDND8QLY2VDND8QLY&WUIRU,QIRUPDWLRQ
DQG1HXUDO1HWZRUNV35(672-DSDQ6FLDQG7HFKQRO
$JHQF\-67
99 7KHSULPDWHQLJURWKDODPLFSDWKZD\
VLJQDOVVWDEOHYDOXHVRIYLVXDOREMHFWV0<$68'$2
+,.26$.$1DWO(\H,QVW
S
3267(5
9ROXQWDU\0RYHPHQW1HXURLPDJLQJ
:: 0RWRUV\VWHPLQMXU\DQGIXQFWLRQSURYLGH
LQVLJKWLQWRSUHWKHUDS\DUPPRWRUVWDWXV(%85.(/
'(5<(*+,$,$1-5,/(<-6(($0&.(1=,(9/(
6&&5$0(58&,UYLQH&KDSPDQ8QLY
:: 3DUNLQVRQ¶VGLVHDVHDQGEUDLQ
UHSUHVHQWDWLRQVIRUOHDUQLQJDQGUHFDOOLQJLQWHUQDOPRGHOV-
16$1(63%e'$5'%URZQ8QLY
:: (IIHFWLYHFRQQHFWLYLW\LQYROXQWDU\
PRYHPHQWPRGXODWHGE\WUDQVFUDQLDOPDJQHWLFVWLPXODWLRQ
706-.,0-.2&-$1*-/((+3$5.<RQVHL
8QLY
:: 0RWRUGHPDQGGHSHQGHQWDFWLYDWLRQ
RILSVLODWHUDOPRWRUFRUWH[.3,52*5(9,///
6+867(5%+,1(6&672(&.(/03$56216&0
%8(7(),6&+*HRUJLD6WDWH8QLYHUVLW\*HRUJLD,QVWRI
7HFKQRO:HVW9LUJLQLD8QLY:HVW9LUJLQLD8QLY8QLY0HG
&WU+DPEXUJ(SSHQGRUI&OHYHODQG&OLQ(PRU\8QLY
:: )OH[LELOLW\RIIXQFWLRQDOEUDLQQHWZRUNV
GXULQJH[WHQGHGOHDUQLQJ'6%$66(771):<0%6
0$3257(53-08&+$67*5$)7218QLYRI
&DOLIRUQLD6DQWD%DUEDUD8QLYRI&DOLIRUQLD6DQWD%DUEDUD
8QLYRI2[IRUG8QLYRI1RUWK&DUROLQD
:: (OHFWURSK\VLRORJLFDOFRUUHODWHVRI
REVHUYLQJW\SLFDODQGDW\SLFDOIXQFWLRQDOJUDVSLQJ&381
71:(/6+.)9$/<($56)(5%(58QLYRI7RURQWR
8QLYRI0LVVRXUL
:: 5HIHUHQFHIUDPHVIRUJUDVSLQJ
PRYHPHQWV$QI05,UHSHWLWLRQVXSSUHVVLRQVWXG\6
021$&2)/(21e91%8&++2/=,721,.
),(+/(5'<3+(15,48(63:0('(1'253<RUN
8QLY,QVWIRU%UDLQ&RJQLWLRQDQG%HKDYLRXU8QLYRI
*LHVVHQ([SWO3V\FKRORJ\
:: 7DVNIUHHHOHFWURFRUWLFRJUDSK\
PDSSLQJRIWKHPRWRUFRUWH[09$167((16(/0*
%/(,&+1(5/7',17=1(5(-$$512876()66
/(,-7(1'+(50(61)5$06(<80&8WUHFKW5XGROI
0DJQXV,QVW
:: '((*7HPSRUDODQGVSDWLDOPDSSLQJ
RI((*VLJQDOV)&9$1'(5+(/0$&6&+287(1
-<$2-3$'(:$/''HOIW8QLYRI7HFKQRO
1RUWKZHVWHUQ8QLY
:: )XQFWLRQDOVRPDWRWRS\DFURVVPXOWLSOH
FRUWLFDOUHJLRQVUHYHDOHGXVLQJDPRGHORIFRPSOH[
YLVXRPRWRUWDVN'$&811,1*+$0-+28-5
&$5(<*+<8($0$&+$'2(%3/2:&OHYHODQG
&OLQ8QLYRI0LQQHVRWD.HVVOHU)QGQ5HV&WU&OHYHODQG
&OLQ&OHYHODQG&OLQ
:: (QKDQFHGIURQWDO((*DOSKDSRZHU
UHYHDOHGE\YROXQWDU\VHTXHQFHVHOHFWLRQWDVN<
.$.,027276$,72+17$.('$<1,6+,<$0$2
$5$.,7RN\R8QLYRI6FL
S
:: 'HFRGLQJFRRUGLQDWHUHSUHVHQWDWLRQRI
KXPDQVHQVRU\PRWRUFRUWH[IURPI05,DFWLYLW\SDWWHUQV
<)8-,:$5$6720$768..,7$1+$*85$*
*2:5,6+$1.$552686.$.(,-,=$:$$75
7RN\R0HWURSROLWDQ,QVWRI0HG6FL-DSDQ6RFLHW\IRUWKH
3URPRWLRQRI6FL-6368QLY&RO/RQGRQ1DWO,QVWRI
,QIRUPDWLRQDQG&RPPXQLFDWLRQ7HFKQRO
;;
9LVXDODQGVRPDWRVHQVRU\UHOLDELOLW\LQ
WRROXVHPRWRUFRQWURO-&0,=(//($23$5$+/
:+($721*HRUJLD7HFK'9$'XNH8QLY
;;
)XQFWLRQDODQDWRP\RIPRWRUDQG
SDLQSURFHVVHVLQFRUWLFDODQGVXEFRUWLFDOQHWZRUNV6
&220%(6*0,65$8QLYRI)ORULGD
;;
:KLWHPDWWHURUJDQL]DWLRQLQUHODWLRQWR
ELPDQXDOSHUIRUPDQFHLQKHDOWK\VXEMHFWV([SORULQJWKH
DGGHGYDOXHRI'LIIXVLRQ.XUWRVLVDVFRPSDUHGWR'LIIXVLRQ
7HQVRU,PDJLQJ-*22,-(56$/((0$1663
6:,11(1.&$(<(1%(5*+6.8/HXYHQ8QLY0HG
&WU8WUHFKW
;;
1HXUDOFRUUHODWHVRIPRWRUDFWLRQ
VHOHFWLRQLQROGHUDGXOWV-&67(:$57;75$16&
&5$0(58QLYRI&DOLIRUQLD,UYLQH
;;
'LVWLQFWIXQFWLRQDOFRQWULEXWLRQRIFRQWUD
DQGLSVLODWHUDOSRVWHULRUSDULHWDOFRUWH[IRUUHDFKSODQQLQJ3
%(51,(567*5$)7218QLY'H6KHUEURRNH8QLYRI
&DOLIRUQLD6DQWD%DUEDUD
;;
6ZLWFKLQJKDQGPRYHPHQWIUHTXHQFLHV
UHTXLUHVDGGLWLRQDOFRUWLFDOUHVRXUFHV$QI1,56VWXG\1/
:.(,-6(56./0.2(15$$'7%00(''(/(5
-$9$12367$/-('8<6(166LQW0DDUWHQVNOLQLHN
5DGERXG8QLY1LMPHJHQ'RQGHUV,QVW%UDLQ&RJQ
%HKDYLRXU'HSW%LRSK\VLFV)DFRI.LQHVLRORJ\DQG
5HKDELO6FLHQFHV.8/HXYHQ
;;
%UDLQDFWLYLW\GXULQJREVHUYDWLRQDFWLYH
DQGSDVVLYHDQGPHQWDOLPDJHU\RIGLIIHUHQWSRVWXUDOWDVNV
:7$8%(0.(//(500287+21++22*(:28'
&/(8.(/-$1121,8QLYRI)UHLEXUJ+{SLWDO&DQWRQDO
;;
'LVHQWDQJOLQJFDXVDOLW\RI
FRUWLFRPXVFXODUFRKHUHQFHZLWKLQWKHVHQVRULPRWRUORRS$
&6&+287(16)&$03)(16'HOIW8QLY7HFK8QLY
7ZHQWH
;;
'HFRGLQJPRYHPHQWW\SHDQGGLUHFWLRQLQ
WKHKXPDQEUDLQ6)$%%5,/6751$'$&$5$0$==$
$/,1*1$88QLYRI7UHQWR:HVWHUQ8QLY+DUYDUG8QLY
;; 3UHSDUDWRU\DFWLYLW\RIKXPDQVHQVRU\
PRWRUQHWZRUNUHSUHVHQWVW\SHVRIIRUWKFRPLQJVHTXHQWLDO
¿QJHUPRYHPHQW,1$0%81+$*85$6+,526(0
.$:$72(1$,721DJDRND8QLYRI7HFKQRO1DWO,QVW
RI,QIRUPDWLRQDQG&RPPXQLFDWLRQV7HFKQRO8QLY&RO
/RQGRQ$75&RPSXWDW1HXURVFLHQH/DEV7KH-DSDQ
6RFLHW\IRUWKH3URPRWLRQRI6FL2VDND8QLY
;;
*UDVSLQJZLWKDWZLVW'HFRGLQJDFWLRQ
LQWHQWLRQVLQWKHKXPDQEUDLQXVLQJI05,7'0&$'$0
-3*$//,9$1'$0&/($1-&&8/+$0:HVWHUQ
8QLY:HVWHUQ8QLY4XHHQ¶V8QLY
:: %UDLQSRWHQWLDOVHYRNHGE\LQWHUUXSWLRQRI
PRWRULQWHQWLRQSULRUWRPRYHPHQWLQLWLDWLRQ+)8.8'$2
+,:$.,+LURVKLPD&LW\8QLY
:: 5HSURGXFDELOLW\RIFRUWLFRPXVFXODU
FRKHUHQFH$FRPSDULVRQEHWZHHQVWDWLFDQGSHUWXUEHG
WDVNV)&$03)(16$&6&+287(10-$09$1
3877(1+9$1'(5.22,-8QLY7ZHQWH'HOIW8QLYRI
7HFKQRO0HGLVFK6SHFWUXP7ZHQWH
;; $FXWHDGDSWDWLRQWRHQKDQFHGYLVXDO
IHHGEDFNFDXVHVWUDQVLHQWVKLIWVLQSDULHWDOIURQWDOFLUFXLWV
UHODWHGWRPRWRUSHUIRUPDQFH'(9$,//$1&2857&
3221'&25&26(&+5,67286&220%(68QLYRI
)ORULGD8QLYRI,OOLQLRVDW&KLFDJR8QLYRI)ORULGD
;; +RZGRFKLPSDQ]HHVXQGHUVWDQGRWKHUV¶
DFWLRQV"%UDLQDFWLYDWLRQZKLWHPDWWHUFRQQHFWLYLW\DQG
EHKDYLRU((+(&+7/('$9,6'$*870$1/$
3$55(PRU\8QLY(PRU\8QLY(PRU\8QLY(PRU\8QLY
(PRU\8QLY
;; &KDQJHVLQHIIHFWLYHFRQQHFWLYLW\IRU
PLUURUYLVXDOIHHGEDFNLQVWURNHSDWLHQWV6+6$/(++
%$*&(6$'$029,&+(781,.1HZ-HUVH\,QVWRI
7HFKQRO8QLYRI0HGDQG'HQW
3267(5
+3*$[LV*Q5+1HXURQVDQG*RQDGRWURSLQV1HXUDO
&RQWURO,
7KHPH(,QWHJUDWLYH6\VWHPV1HXURHQGRFULQRORJ\
1HXURLPPXQRORJ\DQG+RPHRVWDWLF&KDOOHQJH
;; 9HQWURPHGLDOK\SRWKDODPLFJOXFRVH
VHQVLQJQHXURQVDUHVH[XDOO\GLPRUSKLFDQGLQKLELWHGE\
`HVWUDGLRO$06$17,$*2=6+(1*-*327,$1
'-&/(**9+5287+1HZ-HUVH\0HG6FK87
6RXWKZHVWHUQ0HG&WU
;; 'LVWULEXWLRQDQGVHTXHQFHRI
*RQDGRWURSLQLQKLELWRU\KRUPRQHDQGLWVSRWHQWLDOUROH
DVDPROHFXODUOLQNEHWZHHQIHHGLQJDQGUHSURGXFWLYH
V\VWHPVLQWKH3HNLQGXFN*6)5$/(<(&220%6
(*(520(77$4/,36+$53,&/$5.(+RSH&RO
+RSH&RO+RSH&RO0RQDVK8QLY5RVOLQ,QVW
;; 7KHPDLQWHQDQFHRIUHSURGXFWLYHVWDWXV
LQSHNLQGUDNHVUHTXLUHVERWKUHGDQGEOXHZDYHOHQJWKV
RIOLJKW(ODWLRQVKLSWRRSVLQUHODWHGSURWHLQVLQWKH
K\SRWKDODPXV5-+$$66.$1*3-6+$530
%$.67:-.8(1=(/*6)5$/(<+RSH&RO8QLYRI
$.8QLYRI(GLQEXUJK8QLWHG6WDWHV'HSWRI$JU
;; ,QYHVWLJDWLQJJRQDGDOVWHURLGKRUPRQH
IHHGEDFNLQDPRXVHPRGHORISRO\F\VWLFRYDULDQV\QGURPH
$00225(035(6&2775(&$03%(//8QLY
2WDJR&WU1HXURHQGRFULQRO
;; $OWHUHGK\SRWKDODPLFJRQDGDOVWHURLG
KRUPRQHUHFHSWRUH[SUHVVLRQLQDPRXVHPRGHORISRO\F\VWLF
RYDULDQV\QGURPH5(&$03%(//035(6&2776
6&2167$17,1$00225(8QLYRI2WDJR8QLYRI
2WDJR8QLYRI2WDJR
;; 7KHHIIHFWVRIXQLODWHUDORUELODWHUDO
VHFWLRQRIWKHYDJXVQHUYHWRF\FOLFUDWVRQVSRQWDQHRXV
RYXODWLRQGHSHQGRQWKHKRXUVDQGWKHGD\RIVXUJHU\30
(9(5$5'20**8=0È1'3%(1Ë7(=(%21,//$
0&58=$)/25(65'20,1*8(=)(6=DUDJR]D
81$0
<<
'RHVRYDULDQGRSDPLQHLQYROYHGLQWKH
UHJXODWLRQRIRYDULDQIXQFWLRQDQGVSRQWDQHRXVRYXODWLRQLQ
WKHDGXOWUDW"%9(1(*$60(1(6(6-)3$',//$&
(-8È5(=-/025È13(5$/(6&025È15$<$$
+$1'$/6,/9$1+526$60855,(7$5'20Ë1*8(=
&$6$/È%HQHPHULWD8QLY$XWyQRPD'H3XHEOD
%HQHPpULWD8QLY$XWyQRPDGH3XHEOD)(6=DUDJR]D
81$0
<<
(IIHFWVRISHULQDWDOOHDG3EH[SRVXUH
RQWKHQHXURHQGRFULQHFRQWURORISXEHUW\RQVHWDQGHVWURXV
F\FOLFLW\.(%855,60-:(,6(55-+$1'$
&')25$'25,$XEXUQ8QLY&RORI9HW0HG'60
1XWULWLRQDO3URGXFWV8QLYRI$UL]RQD&RORI0HG±
3KRHQL[
<<
$FWLYDWLRQRIPHGLDOSUHRSWLFDUHD
QHXURQVLVDVVRFLDWHGZLWKVWUHVVLQGXFHGLQFUHDVH
LQOXWHLQL]LQJKRUPRQHVHFUHWLRQLQIHPDOHUDWV5(
6=$:.$52/6,/9$03%(518&,&5)5$1&,
-$$16(/02)5$1&,8QLY)HGHUDO'H0LQDV*HUDLV
8)0*8QLYGH6mR3DXOR8QLYGH6mR3DXOR
<<
*35GHSHQGHQWVWLPXODWLRQRI
OXWHLQL]LQJKRUPRQHVHFUHWLRQE\QHXURNLQLQ%LQSUHSXEHUWDO
UDWV3*5$&+(9;/,</,10+8530,//$56
//,*+70$1.72¶%<51(6FKRI0HGLFLQH.LQJ¶V&RO
/RQGRQ8QLYRI(GLQEXUJK8QLYRI3UHWRULD)DFRI+OWK
6FLHQFHV8QLYRI&DSH7RZQ8QLYRI%ULVWRO
<<
3KHQRW\SLFFKDUDFWHUL]DWLRQRI5)DPLGH
UHODWHGSHSWLGH5)53DQG*35QHXURQVLQPLFH
0&32/,1*$6.$8))0$18&6DQ'LHJR
<<
6WHUHRORJLFDQDO\VLVRIHVWURJHQUHFHSWRU
DOSKDJSHUDQGSURJHVWHURQHUHFHSWRULQWKHK\SRWKDODPXV
RIIHPDOHUKHVXVPDFDTXHV5HJXODWLRQE\DJLQJDQG
HVWURJHQ001$8*/(/71*8<(1&;75$1$
&*25(8QLYRI7H[DV$W$XVWLQ8QLYRI7H[DV$W$XVWLQ
8QLYRI7H[DV$W$XVWLQ
<<
&ULWLFDOUROHRIHVWURJHQUHFHSWRUDOSKD
EXWQRWEHWDLQPHGLDWLQJHVWURJHQQHJDWLYHIHHGEDFNXVLQJ
FRQGLWLRQDOSURPRWHUWUDQVJHQLFV5<&+(21*5
3257(286,0È%5$+È0$(+(5%,6218QLYRI
2WDJR
3267(5
6WHURLGVDQG3ODVWLFLW\
<<
+LSSRFDPSXVV\QWKHVL]HGHVWURJHQ
DQGDQGURJHQUDSLGO\PRGXODWH/73DQGGHQGULWLFVSLQHV6
.$:$72<+2-2+08.$,<22,6+,8QLYRI7RN\R
<<
*SURWHLQFRXSOHGHVWURJHQUHFHSWRU
*3(5LVDQDWRPLFDOO\SRVLWLRQHGWRPHGLDWHV\QDSWLF
SODVWLFLW\LQWKHPRXVHKLSSRFDPSXV(0:$7(56
/,7+20362133$7(/$*21=$/(6=<((-
),/$5'2'-&/(**.7$.$0$%60&(:(17$
0,/1(55RFNHIHOOHU8QLY:HLOO&RUQHOO0HG&RO%URZQ
8QLY876RXWKZHVWHUQ
<< 3RVWWUDQVODWLRQDOPRGL¿FDWLRQVRI
H[WUDQXFOHDUHVWURJHQUHFHSWRU_LQWKHKLSSRFDPSXV
17$%$7$'=(760(-.$/29$&6:22//(<
1RUWKZHVWHUQ8QLY
<<
,QIXVLRQRIDQDURPDWDVHLQKLELWRULQWR
WKHKLSSRFDPSXVDFXWHO\VXSSUHVVHVNDLQLFDFLGLQGXFHG
VHL]XUHVLQUDWV606$72$)0&&2//800-
0$*'$500$<&6:22//(<1RUWKZHVWHUQ8QLY
<< $QGURJHQVLQFUHDVHVXUYLYDORIDGXOW
ERUQQHXURQVLQWKHKLSSRFDPSXVYLDDFHOOQRQDXWRQRPRXV
PHFKDQLVPWKDWUHTXLUHVWKHDQGURJHQUHFHSWRU'.
+$062165:$,1:5,*+7-7$</25%$-21(6
19:$7621/$0*$/($8QLYRI%ULWLVK&ROXPELD
8QLYRI%ULWLVK&ROXPELD6LPRQ)UDVHU8QLY
S
<< 2YDULDQKRUPRQHOHYHOVPRGXODWH
DQWLGHSUHVVDQWLQGXFHGFHOOSUROLIHUDWLRQLQWKHGHQWDWHJ\UXV
0052(60)2,6<0<0&+$16(/,(%/,&+/
$0*$/($8QLYRI%ULWLVK&ROXPELD
==
$GXOWRQVHWWK\URLGFRQGLWLRQVFRJQLWLRQ
DQGDQ[LHW\LQWKHPDOH&%/PRXVH-%$77/($
%85$67:21*-&+$:/$05((619$68'(9$1
7XODQH8QYHUVLW\7XODQH8QYHUVLW\
<< (IIHFWVRIHVWUDGLRORQ]LQFFRQWHQW
RIKLSSRFDPSDOPRVV\¿EHUVWKURXJKWKHHVWURXVF\FOHDQG
LQRYDULHFWRPL]HGDGXOWUDWV(3$',//$9%(/75È1
&$032660217(6*/48,5$57($'Ë$=58,=&
5Ë266'Ë$=&,175$,QVW1HXURELRO,QVW1DFLRQDOGH
1HXURORJtD\1HXURFLUXJtD
==
(VWURJHQLQGXFHGSODVWLFLW\LQ
JOXWDPDWHUJLFLQSXWVWR.LVVQHXURQVLQWKHPRXVH&0
0(5./(<5)5$=$2/0&22/(1'-&/(**&
)(/,$601/(+0$18QLYRI0LFKLJDQ8QLYRI7H[DV
6RXWKZHVWHUQ0HG&WU8QLYRI0LFKLJDQ
<< ,QWHUDFWLYHHIIHFWVRIFRUWLVRODQG
F\WRNLQHV$VVRFLDWLRQZLWKKLSSRFDPSDOYROXPHDQG
FRJQLWLYHIXQFWLRQ.'68'+(,0(552¶+$5$'
63,(*(/%32:(56+.5$(0(5(1(5,0
:(,1(5$+$5'$1-+$//0$<(5)'+$%+$5
6WDQIRUG8QLY8QLYRI&DOLIRUQLD6DQ)UDQFLVFR6WDQIRUG
8QLY
<< 2YDULDQKRUPRQHVUHVFXHQHXURJHQHVLV
E\GDPSHQLQJEUDLQLQÀDPPDWLRQ$$028,+$7(.XZDLW
8QLY
<< 3UHV\QDSWLFQHXURWUDQVPLVVLRQLQ+9&
QHXURQVLVSRWHQWO\LQKLELWHGE\DQGURJHQVLQWKHDGXOW
PDOH]HEUD¿QFK&-6$/'$1+$/$75(0(5('-
%$,/(<53,1$8'$PHULFDQ8QLY1257+:(67(51
81,9(56,7<67125%(57&2//(*(
<< 7KHDQDEROLFVWHURLG
_PHWK\OWHVWRVWHURQHPRGXODWHVFDQFHUUHODWHGSURWHLQV
LQWKHK\SRWKDODPLF*7FHOOOLQH0(6$17,*2
*$6&27)0$57Ë1(=5,9(5$-3e5(=/$63,85
<52'5Ë*8(=3e5(=-626$-/%$55(72
(675$'$8QLY3XHUWR5LFR0HG6FL&DPSXV8QLY
3XHUWR5LFR0HG6FL&DPSXV8QLYGHO(VWH
<< 0HPEUDQHDQGURJHQUHFHSWRUVDQG
R[LGDWLYHVWUHVV1HXURSURWHFWLRQYVQHXURWR[LFLW\LQ
GRSDPLQHUJLFQHXURQV%$%%$66,&6806,1*+5
/&811,1*+$08QLYRI1RUWK7H[DV+OWK6FL&WU8QLY
1RUWK7H[DV+OWK6FL&WU
==
&RPELQHGHIIHFWVRIWHVWRVWHURQHDQG
GHK\GURHSLDQGURVWHURQHRQFRUWLFDOWKLFNQHVV71*8<(1
-0&&5$&.(16'8&+$50(.%277(521$&
(9$166.$5$0$0F*LOO8QLY8QLYRI&DOLIRUQLDLQ/RV
$QJHOHV0F*LOO8QLY:DVKLQJWRQ8QLY0F*LOO8QLY
==
([SUHVVLRQRIWKHSODVPDPHPEUDQH
DVVRFLDWHGJSURWHLQFRXSOHGUHFHSWRUJSULQWKHEUDLQRI
WKHJROG¿VKFDUDVVLXVDXUDWXV706=$%2-:+,7(
'HODZDUH6WDWH8QLY'HODZDUH6WDWH8QLY
==
5DSLGHIIHFWVRIHVWURJHQUHFHSWRU
DFWLYDWLRQRQVLJQDOLQJSDWKZD\V(5_SKRVSKRU\ODWLRQLQ
PXULQHK\SRWKDODPLFFHOOV-55$,19,//(7(*85/(<
,,,6&.(//<(5/$1'(5619$68'(9$17XODQH
8QLY
==
S5DSLGVLJQDOLQJUHVSRQVHVWRVHOHFWLYH
HVWURJHQUHFHSWRUDFWLYDWLRQLQPXULQHK\SRWKDODPLFFHOOV$
-867(199$/6$5$--5$,19,//(19$68'(9$1
7XODQH8QLY7XODQH8QLY7XODQH8QLY
==
2FWRGRQGHJXVH[KLELWVH[GHSHQGHQW
VKLIWVDFURVVSXEHUW\LQDELRPDUNHUIRUSUHQDWDOVWHURLG
KRUPRQHH[SRVXUH'%0&48$'((67$16.<-
32:(56NLGPRUH&RO6NLGPRUH&RO
3267(5
6H[XDO'LIIHUHQWLDWLRQ
==
&5(%&%3LQWHUDFWLRQVSOD\DUROH
LQVH[XDOO\GLPRUSKLFHVWUDGLROQHXURSURWHFWLRQ'1
%5<$17'0'256$2UHJRQ+OWK6FL8QLY8QLYRI
:LVFRQVLQ(DX&ODLUH
==
7KHRUJDQL]DWLRQDODQGDURPDWL]DWLRQ
K\SRWKHVHVDSSO\WRUDSLGQRQFODVVLFDOKRUPRQHDFWLRQ
QHRQDWDOPDVFXOLQL]DWLRQHOLPLQDWHVUDSLGHVWUDGLRODFWLRQ
LQIHPDOHKLSSRFDPSDOQHXURQV-0(,7=(13*
0(50(/67(,18QLYRI0LQQHVRWD
==
1HRQDWDOH[SRVXUHWRDOID
HWKLQ\OHVWUDGLRODOWHUVWKHFDOELQGLQLPPXQRUHDFWLYH
FHOODJJUHJDWHVLQWKHSUHRSWLFDUHDRIWKHPLFH0
<2.268.$+$'$&+,71$.$'$76$,721LSSRQ
9HW/LIH6FL8QLY
==
'HYHORSPHQWDOH[SUHVVLRQRI(5_LQ
61%WDUJHWPXVFOHLVXSUHJXODWHGE\FDVWUDWLRQDQGFRQIHUV
HVWURJHQVHQVLWLYLW\WR61%PRWRQHXURQGHQGULWHV/0
58'2/3+'56(1*(/$8%,QGLDQD8QLY
==
7KHVXSSUHVVLRQRIHVWURJHQUHFHSWRU
DOSKD(5_LQWKHPRXVHEHGQXFOHXVRIWKHVWULDWHUPLQDOLV
E\WHVWLFXODUKRUPRQHVLVUDSLGO\UHYHUVLEOHDQGDURPDWDVH
GHSHQGHQW'$.(//<1*)25*(58QLYRI
0DVVDFKXVHWWV8QLYRI0DVVDFKXVHWWV*HRUJLD6WDWH8QLY
==
(SLJHQHWLFPRGL¿FDWLRQVGXULQJEUDLQ
VH[XDOGLIIHUHQWLDWLRQ1*+$+5$0$1,71*81
3&+(16.5,6+1$1608,577(6/$$+
%$56(*+<$1)$9$1(6<$103(//(*5,1,$
$512/'*'(95,(61)25*(5(9,/$,18&/$
8&/$8&/$8&/$8PDVV
==
5ROHRI*35DFWLYDWLRQLQDQ[LHW\
LQPDOHDQGIHPDOHPLFH60&/$5.'$+$570
1,/*(6.-32//$5'+*0(-,$025$/(61
9$68'(9$17XODQH8QLY7XODQH8QLY7XODQH8QLY
S
<< (IIHFWVRIDQGURJHQRQGHQGULWLFVSLQH
SODVWLFLW\LQWKHDGXOWPDOHUDWKLSSRFDPSXV&(3$55$77
$0(1'(//+(6&+$5)0$11-0$&/86.<8QLY
RI*XHOSK7KH1DWKDQ.OLQH,QVWIRU3V\FKLDWULF5HV1HZ
<RUN8QLY/DQJRQH0HG&WU
==
'HYHORSPHQWRIDOORSUHJQDQRORQH
DVDWKHUDSHXWLFIRU3DUNLQVRQ¶VGLVHDVHLQQHXURWR[LQ
V\PSWRPDWLFDQGLGLRSDWKLFPRXVHPRGHOV-:$1*
6$'(2681;+28%=+(1*&672&.0(,(5,
3$8/;286%,*/(5560(<1(5%5,1721+
0(/526(-/(:,18QLY0LVVLVVLSSL0HG&HQW8QLY
0LVVLVVLSSL0HG&HQW8QLY0LVVLVVLSSL0HG&HQW8QLY
0LVVLVVLSSL0HG&HQW8QLY0LVVLVVLSSL0HG&HQW6W-XGH
&KLOGUHQ¶V5HV+RVS8QLYRI6RXWKHUQ&DOLIRQLD0D\R
&OLQ-DFNVRQYLOOH
==
([SUHVVLRQRIPHWK\ODWLRQGHSHQGHQW
DQGLQGHSHQGHQWPDVFXOLQL]DWLRQDQGIHPLQL]DWLRQJHQHV
LQWKHSUHRSWLFDUHD32$GXULQJVH[XDOGLIIHUHQWLDWLRQRI
WKHUDWEUDLQ%018*(17000&&$57+<8QLYRI
0DU\ODQG6FKRI0HG8QLYRI0DU\ODQG6FKRI0HG
$$$ 6H[VSHFL¿FHSLJHQHWLFGLVUXSWLRQDQG
EHKDYLRUDOFKDQJHVIROORZLQJORZGRVHLQXWHUR%LVSKHQRO$
H[SRVXUH0.81'$.29,&.*8'618.)33(5(5$
5/0,//(5)$&+$03$*1(&ROXPELD8QLY
&ROXPELD8QLY
==
0LFURJOLDDUHHVVHQWLDOWRSURVWDJODQGLQ
SURGXFWLRQDQGVH[XDOGLIIHUHQWLDWLRQRIWKHSUHRSWLFDUHD
.0/(1=000&&$57+<8QLYRI0DU\ODQG6FKRI
0HG
3267(5
==
(SLJHQHWLFPRGL¿FDWLRQRIWKH
YDVRSUHVVLQSURPRWHUFRUUHVSRQGVWRWKHVH[GLIIHUHQFH
LQH[SUHVVLRQZLWKLQWKHUDWDP\JGDOD50)25%(6
/250$173/2'8&$$3$8*(5&-$8*(58:
0DGLVRQ
6RFLDO%HKDYLRU,,,*HQH([SUHVVLRQDQG2WKHU
9DULDEOHV
==
',6&NQRFNGRZQLQWKHUDWDP\JGDOD
DOWHUVH[SUHVVLRQRIJHQHVFRQIHUULQJULVNIRUVFKL]RSKUHQLD
+-:+,7(+0-(66(1'&*22',1*&-
$8*(5$3$8*(58QLYRI:LVFRQVLQ0DGLVRQ
$$$ 6RFLDOWUDQVLWLRQVFDXVHUDSLGEHKDYLRUDO
HQGRFULQHDQGWUDQVFULSWLRQDOFKDQJHVLQWKHEUDLQRIDQ
$IULFDQFLFKOLG¿VK.30$586.$$1(%225,/
%(&.(5$=+$1*5')(51$/'6WDQIRUG8QLY
==
7KHLPSRUWDQFHRIPDWHUQDOWRXFKRQ
K\SRWKDODPLFJHQHH[SUHVVLRQDQGQHRQDWDOZHLJKWJDLQ
6/.,*$501('(/0$11&+'(0(56$3
$8*(58QLYRI:LVFRQVLQ0DGLVRQ8QLYRI:LVFRQVLQ
0DGLVRQ8QLYRI:LVFRQVLQ0DGLVRQ
$$$ (YROXWLRQDU\FRQYHUJHQFHRIJHQH
PRGXOHVUHJXODWLQJVRFLDOV\VWHPV/$2¶&211(//%
0*2(7=$-0225(603+(/3676=e.(/<%
&75$,125+$+2)0$118QLYRI7H[DV$W$XVWLQ
8QLYRI7H[DVDW$XVWLQ8QLYRI*HRUJLD8QLYRI%DWK
8QLYRI&DOLIRUQLD'DYLV
$$$ 'RZQEXWQRWRXW3DUWLDOHOLPLQDWLRQ
RIDQGURJHQUHFHSWRULQWKHEUDLQIDLOVWRDIIHFWDQ[LHW\
&&+(1-/%5800(7&/-25'$160
%5(('/29(0LFKLJDQ6WDWH8QLY
$$$ 6SHFLHVGLIIHUHQFHVLQDQGURJHQUHFHSWRU
H[SUHVVLRQLQWKHSUHRSWLFDQGDQWHULRUK\SRWKDODPLFDUHDV
RIWKHDGXOWPDOHUDWVDQGPLFH05-$+$1..2.8%8
&0$76825)8-,1$*$$<$1$,7:$7$1$%(01
,6/$0.6+,12'$<DPDJXFKL8QLY*UDG6FKRI0HG
$$$ 6H[GLIIHUHQWLDOGHYHORSPHQWDOO\
GHSHQGHQWJHQHH[SUHVVLRQSDWWHUQVLQIHWDODQGDGXOW
KXPDQEUDLQ'0:(5/,1*113$5,.6+$.'+
*(6&+:,1'8&/$8&/$8&/$
$$$ 7KHHIIHFWVRIRUJDQL]DWLRQDOJRQDGDO
KRUPRQHVRQWKHRQWRJHQ\RIVH[GLIIHUHQFHVLQVWUHVV
UHVSRQVLYHEUDLQUHJLRQVXVLQJ&5+*505DQG
*$%$HUJLFPDUNHUV$'*5((1763(5527
'DOKRXVLH8QLY
$$$ S(JJOD\LQJ]HEUD¿QFKH[KLELWLQJ
FRPSOHWHPDVFXOLQHSOXPDJH$KLVWRORJLFDODQDO\VLVRILWV
QHXUDOVRQJV\VWHP;&8,<,72+%$6&+/,1*(5/
6$/:,&=(.$&+$2:(*5,6+$08&/$8&/$
8&/$8&/$
$$$ .LVVJHQHLVQHHGHGIRUGHIHPLQL]DWLRQ
RIVH[XDOEHKDYLRULQUDWV61$.$085$<8(12<$0$
.,.(*$0,-720,.$:$7*272&7$085$0
6$0%20+,5$%$<$6+,.0$('$+768.$085$
1DJR\D8QLY1DWO,QVWIRU3K\VLRORJLFDO6FL-67(5$72
1DNDXFKL6WHP&HOODQG2UJDQ5HJHQHUDWLRQ3URMHFW
$$$ +\SRWKDODPLF.LVV$GHYHORSPHQWDO
VWXG\LQ6WHURLGRJHQLFIDFWRUNQRFNRXWPLFH7
%8'()(/'672%(7*0$-',&9HW)DFXOW\8QLYHUVLW\
RI/MXEOMDQD'HSWRI%LRPHG6FLHQFHV&RORUDGR6WDWH
8QLY0HG6FKRRO8QLYRI0DULERU
$$$ 6RFLDOLQWHUDFWLRQVUHGXFHIHDULQ¿VK
$60$7+858-+8$1*5&+(1*&.,%$7
7%3(11(<$6&+,50(56--(687+$6$1
1HXURVFL5HV3DUWQHUVKLS%LRPHG6FL,QVW1DWO8QLYRI
6LQJDSRUH%LRPHG6FL,QVW
$$$ S
'LIIHUHQWLDOVLJQDOPRGXODWLRQLQ
UHVSRQVHWRVRFLDOHQYLURQPHQW3URVSHFWLYHPDWHVDQG
FRPSHWLWRUVGULYHHQKDQFHPHQWRIGLVWLQFWVLJQDOIHDWXUHVLQ
WKHHOHFWULF¿VK%UDFK\K\SRSRPXVJDXGHULR-352$&+
6*$9$66$3.672''$5')ORULGD,QWO8QLY
$$$ 0HFKDQLVPVRIH[WUHPHEHKDYLRUDO
SODVWLFLW\%UDLQJHQHH[SUHVVLRQSUR¿OLQJLQPDOHDOWHUQDWLYH
UHSURGXFWLYHSKHQRW\SHVRIWKHWHOHRVW¿VK6DODULDSDYR
'*21d$/9(66&$5'2625)2/,9(,5$$90
&$1È5,2,63$,88QLYRI6W-RVHSK,QVWIRU$GYDQFHG
6WXGLHV&&0$58QLYRIWKH$OJDUYH&KDPSDOLPDXG
1HXURVFL3URJUDPPH,QVW*XOEHQNLDQGH&LrQFLD
$$$ 6RFLDOGHIHDWFDXVHVG\VUHJXODWLRQRI
WKH+3$D[LVZKLFKFRQWULEXWHVWRGHSUHVVLRQOLNHEHKDYLRU
LQPLFH600,//(5-/0$*8,5(7XIWV8QLY6FKRI
0HG
$$$ 7RZDUGDEHWWHUXQGHUVWDQGLQJRI
VRFLDOUHZDUG5ROHVRIH[SHULHQFHVWDWXVDJJUHVVLYLW\DQG
DVVRFLDWHGQHXUDODFWLYDWLRQLQWKHYHQWUDOWHJPHQWDODUHD0
*,/11*8<(100&'21$/'+($/%(56*HRUJLD
6WDWH8QLY
$$$ 2QWRJHQ\RISOD\¿JKWLQJLQDQRQVRFLDO
VSHFLHVJROGHQKDPVWHUV/)(5*86216/=(/,.2))
<'(/9,//(8QLYRI7H[DV$W$XVWLQ
$$$ 5DWVFRRSHUDWHLQWKHDEVHQFHRI
GLUHFWEHQH¿W'HYHORSPHQWRIDQHZEHKDYLRXUDOWDVN&
0$548(=002,7$&KDPSDOLPDXG)QGQ
$$$ %LVSKHQRO$GRHVQRWPRGLI\WKH
GHYHORSPHQWRIDVH[XDOO\GLPRUSKLFSRRORIPRWRUQHXURQV
EXWVLJQL¿FDQWO\DOWHUVWKHLUVRPDVL]HLQDGXOWKRRG%$
-21(6/6:$*1(5&*(562119:$7621
6LPRQ)UDVHU8QLY
$$$ $IXQFWLRQDOLPDJLQJVWXG\RI³MHDORXV\´
LQFDSWLYHPDOHWLWLPRQNH\V&DOOLFHEXVFXSUHXV1
0$1,1*(5630(1'2=$7-6&+$()(5:$
0$62165&+(55<./%$/(6&DOLIRUQLD1DWO
3ULPDWH5HV&WU&WUIRU0RODQG*HQRPLF,PDJLQJ8&
'DYLV8QLYRI&DOLIRUQLD
S
$$$ ([HUFLVHIDFLOLWDWHVSDLUERQGLQJLQSUDLULH
YROHV:.(1.(/*68%2&6&$57(58QLY,OOLQRLV$W
&KLFDJR
%%% S(IIHFWRIVRFLDOLVRODWLRQRQFHOOXODU
SUROLIHUDWLRQLQWKH&DOLIRUQLDPRXVH6%.,1*03
',$021'0*586&,2&RORI&KDUOHVWRQ&RORI
&KDUOHVWRQ
%%% 3KRWRSHULRGLFUHJXODWLRQRIQRQ
JHQRPLFHIIHFWVRIHVWUDGLRORQDJJUHVVLRQ6$/$5('2
59,//$/21/$1'(5269255$/6,/9$-&
'22/(<..&5($10467(,10$1%&75$,125
8QLYRI&DOLIRUQLD'DYLV8QLYRI&DOLIRUQLD'DYLV8QLYRI
&DOLIRUQLD'DYLV8QLYRI&DOLIRUQLD'DYLV8QLYRI&DOLIRUQLD
'DYLV
%%% )XOOPDVFXOLQ]DWLRQRIDJJUHVVLYH
EHKDYLRULVGHSHQGHQWRQ$5DQGFLUFXODWLQJDQGURJHQVLQ
PLFH-/%5800(7&/-25'$16%5(('/29(
0LFKLJDQ6WDWH8QLY0LFKLJDQ6WDWH8QLY
%%% 2[\WRFLQGHFRXSOHVDJJUHVVLRQIURP
DQ[LHW\WKURXJKLWVLQÀXHQFHRQWKHVHURWRQHUJLFV\VWHP
-+3$*$1,-6(1(57+=&8,0+%$80$116
<281*1,0+1,'$1,+'++6
%%% 6HURWRQLQDVDPHGLDWRURIDJJUHVVLRQ
LQWKHVWDONH\HGÀ\$%8%$.-*6:$//2:.-
5(11(58QLYRI6RXWK'DNRWD
%%% ,QWHUDFWLRQRIHDUO\FKLOGKRRGVWUHVVZLWK
ORZOHYHOVRI0$2$DFWLYLW\UHVXOWLQDJJUHVVLRQLQPLFH0
%2572/$726&*2'$59%,1,67$0%$52-&
6+,+8QLY6RXWKHUQ&DOLIRUQLD8QLYRI&DJOLDUL
%%% 10'$UHFHSWRUVPHGLDWHWKHUROHRI
PRQRDPLQHR[LGDVH$LQSDWKRORJLFDODJJUHVVLRQ6&
*2'$50%2572/$7200(/,6$62**,83
521&$'$$&$68*)/25(.&+(15)5$8$
85%$1,0&$67(//,3'(9272-&6+,+86&8QLY
RI&DJOLDUL,QVW6SHULPHQWDOH,WDOLDQR/D]]DUR6SDOODQ]DQL
6DQWD/XFLD)RXQGDWLRQ,5&&6
%%% ,QFUHDVHG)RVH[SUHVVLRQLQWKH
EDVRODWHUDODP\JGDODDQG&$RI&%/PLFHH[SRVHGWR
DFXWHVRFLDOGHIHDWDQGROIDFWRU\FXHV$5%2851(*
02+$10)6721(043+$0&56&+8/7=/$
/80/(<86$05,&'
3267(5
+RUPRQHVDQG&RJQLWLRQ,,6WUHVV('&¶V/+
%%% 6WUHVVDQGSROLWLFV+3$IXQFWLRQLV
DVVRFLDWHGZLWKYDULDWLRQLQYRWLQJEHKDYLRU-)5(1&+
.%60,7+$.%,51,(-+,%%,1*8QLYHUVLLW\RI
1HEUDVND$W2PDKD8QLYRI1HEUDVND/LQFROQ8QLYHUVLLW\
RI1HEUDVND$W2PDKD
%%% /RQJWHUPFKDQJHVLQ*5&5+
DQG&5+5H[SUHVVLRQLQWKHK\SRWKDODPXVDQGWKH
KLSSRFDPSXVIROORZLQJJOREDOFHUHEUDOLVFKHPLDLQUDWV
5HODWLRQVKLSWRIXQFWLRQDOLPSDLUPHQWV3%$55$'(/$
75(0%/$<(050,/27+3/$021'218QLYRI
2WWDZD
%%% *HQHWLF[HSLJHQHWLFLQWHUDFWLRQDIIHFWLQJ
KLSSRFDPSDOVSHFL¿FDOOHOLFH[SUHVVLRQRIWKHLPSULQWHG
'LRJHQH(YLGHQFHIRUDJHQHWLFFDXVHDQGDQ[LHW\OLNH
EHKDYLRUDOFRQVHTXHQFHV/-6,77,*((5('(,
1RUWKZHVWHUQ8QLY1RUWKZHVWHUQ8QLY
%%% 0HQVWUXDOSKDVHLVDVVRFLDWHGZLWK
GLIIHUHQFHVLQEUDLQDFWLYLW\GXULQJSV\FKRVRFLDOVWUHVV
.$/%(57-358(661(575$%,12:,7=3$
1(:+286(8QLYRI9HUPRQW9DQGHUELOW8QLY0F*LOO
8QLY
%%% &KURQLFFRUWLFRVWHURQHDOWHUVDFWLYDWLRQ
RIQHZERUQKLSSRFDPSDOQHXURQVDIWHUVSDWLDOPHPRU\
UHWULHYDO-/:25.0$10<7&+$1/$0*$/($
8QLYRI%ULWLVK&ROXPELD
%%% 7KHHIIHFWVRI%LVSKHQRO$H[SRVXUHRQ
DQ[LHW\DQGVXFURVHSUHIHUHQFHLQDGROHVFHQWUDWV6(
',$=--9,//$)$1(1-8/,$120)5$1.)8575
(%2:0$16DFUHG+HDUW8QLY+RIVWUD1RUWK6KRUH/,-
6FKRI0HG
%%% 'HYHORSPHQWDO%LVSKHQRO$%3$
WUHDWPHQWGRHVQRWDOWHUVSHFL¿FVH[XDOO\GLPRUSKLF
EHKDYLRUVLQDGXOW6SUDJXH'DZOH\UDWV6$)(5*8621
&'/$:-$%6+,5(1DWO&WU7R[LFRORJLFDO5HV
%%% (IIHFWVRIH[SRVXUHWRELVSKHQRO$GXULQJ
JHVWDWLRQDQGHDUO\SRVWQDWDOGHYHORSPHQWRQDGXOWEHKDYLRU
RQWKHUDGLDODUPPD]H516$'2:6.,3<3$5.6
1((6(6/6&+$17=-0-85$6.$8QLYRI,OOLQRLVDW
8UEDQD&KDPSDLJQ8QLYRI,OOLQRLVDW8UEDQD&KDPSDLJQ
8QLYRI,OOLQRLVDW8UEDQD&KDPSDLJQ
%%% (IIHFWVRIH[SRVXUHWRELVSKHQRO$GXULQJ
DGROHVFHQFHRQWKHUDGLDODUPPD]HLQDGXOWKRRG/0
:,6(516$'2:6.,6/6&+$17=-0-85$6.$
8QLYRI,OOLQRLV8QLYRI,OOLQRLV8QLYRI,OOLQRLV8QLYRI
,OOLQRLV
%%% S
$GPLQLVWUDWLRQRIDOXWHLQL]LQJ
KRUPRQHKRPRORJXHWRWKHYHQWULFOHVWKHSUHIURQWDO
FRUWH[RUWKHGRUVDOKLSSRFDPSXVLPSDLUVVSDWLDOPHPRU\
LQRYDULHFWRPL]HGHVWUDGLROWUHDWHGUDWV&6681'%<
$/$0$10$+$5*.:,7&+(5%67(:$57-(
7+2517212EHUOLQ&RO
%%% 3HULSKHUDOOXWHLQL]LQJKRUPRQHHIIHFWV
FRJQLWLRQDVVRFLDWHGDUHDVE\UHJXODWLQJEUDLQOXWHLQL]LQJ
KRUPRQHOHYHOV-$%/$,553$/0<*$5&,$-
&+$1*+/((;=+8*&$6$'(686&DVH:HVWHUQ
5HVHUYH8QLY
%%% S
0DWHUQDOVXEFOLQLFDOK\SRWK\URLGLVP
GRHVQRWDIIHFWWKHDQ[LHW\VWDWHQHLWKHUVRFLDELOLW\QRU
ORFRPRWLRQLQWKHRIIVSULQJUDWV)25$02602
5,%(,5250&<61(,5260DFNHQ]LH3UHVE\WHULDQ8QLY
%%% 6H[DQGVH[KRUPRQHLQÀXHQFHVRQ
UHWHQWLRQRIHPRWLRQDOJLVWDQGGHWDLO6(1,(/6(1/
&$+,//8QLYRI&DOLIRUQLD,UYLQH8QLYRI&DOLIRUQLD,UYLQH
S
%%% &KDQJHVLQELRJHQLFDPLQHVFRUUHODWH
ZLWKWLPHRIGD\OLJKWF\FOHDJHDQGDJJUHVVLYHVWDWH9/
)5(*26203+,//,36;/8$/81'<(6(,(5.
+-23/,17&-21(6'0225((DVW7HQQHVVHH6WDWH
8QLY(DVW7HQQHVVHH6WDWH8QLY(DVW7HQQHVVHH6WDWH
8QLY
%%% 03/FDXVHVSURORQJHGDFWLYDWLRQRI*5
LQGLVFUHWHEUDLQUHJLRQVNQRZQWRUHJXODWHPHPRU\DQG
OHDUQLQJSURFHVVHV5&'(06.,$//(1(-:$,7(
%3)/<11(&:$5%857216//,*+70$1%/
&21:$<&$03%(//8QLYRI%ULVWRO8QLYRI%ULVWRO
3267(5
$XWRQRPLF&RQWURORI&DUGLRYDVFXODU)XQFWLRQV,
%%% 'LVWULEXWLRQRIDQJLRWHQVLQW\SHD
UHFHSWRUFRQWDLQLQJFHOOVLQWKHEUDLQVRIEDFWHULDODUWL¿FLDO
FKURPRVRPHWUDQVJHQLFPLFH7$0,/1(5$'
*21=$/(=*:$1*(0:$7(56./*21=$/(6
5&63(7+7$9$1.(03(1-0$548(6/23(6
&,$'(&2/$903,&.(/-33,(5&(:HLOO&RUQHOO
0HG&ROO7KH5RFNHIHOOHU8QLY1RYD6RXWKHDVWHUQ8QLY
%%% &KDQJHVLQ10'$UHFHSWRUGHQVLW\LQ
&RUWLFRWURSLQ5HOHDVLQJ)DFWRUW\SHUHFHSWRUFRQWDLQLQJ
SDUDYHQWULFXODUQHXURQVIROORZLQJVORZSUHVVRUDQJLRWHQVLQ
,,K\SHUWHQVLRQ7$9$1.(03(1-0$548(6/23(6
'$/$1(1--867,&(&,$'(&2/$7$0,/1(59
03,&.(/:HLOO&RUQHOO0HG&RO%D\ORU&RORI0HG7KH
5RFNHIHOOHU8QLY
%%% (IIRUWDQGWKHFHQWUDOSUHVVRUUHVSRQVH
GXULQJKXPDQVWDQGLQJ5&),7=3$75,&.%//88
1HXURVFL5HV$XVWUDOLD
%%% &KDQJHVLQSRVWV\QDSWLF10'$UHFHSWRU
WUDI¿FNLQJLQWKHK\SRWKDODPLFSDUDYHQWULFXODUQXFOHXVDUH
DVVRFLDWHGZLWKDQLQFUHDVHGVXVFHSWLELOLW\WRDQJLRWHQVLQ
,,K\SHUWHQVLRQLQDPRXVHPRGHORIPHQRSDXVH-
0$548(6/23(67$9$1.(03(13&+$7$1,6'
%87/(5&1<281*903,&.(/&,$'(&2/$(
0:$7(565/'$9,66217$0,/1(5:HLOO&RUQHOO
0HG&RO:HLOO&RUQHOO0HG&RO&RORI9HW0HGLFLQH
&RUQHOO8QLY7KH5RFNHIHOOHU8QLY
%%% &2;LPPXQRODEHOLQJLQWKHFHQWUDO
VXEIRUQLFDORUJDQLVKLJKO\FRQFHQWUDWHGLQ$75H[SUHVVLQJ
QHXURQDOSRVWV\QDSWLFSURFHVVHV-33,(5&($
*21=$/(=7$0,/1(5&,$'(&2/$903,&.(/
5/'$9,6621:HLOO&RUQHOO0HG&RO:HLOO&RUQHOO0HG
&RO&RUQHOO8QLY
%%% 0LFURLQMHFWLRQVRIXURFRUWLQLQWRWKH
K\SRWKDODPLFDUFXDWHQXFOHXV$5&1RIWKHUDWHOLFLW
V\PSDWKRLQKLELWRU\UHVSRQVHV9&&+,75$9$16+,+
16$3581HZ-HUVH\0HG6FK80'1-80'1-1HZ
-HUVH\0HG6FK
%%% $XWRQRPLFFKDQJHVGXULQJVXUJHU\
RQFHUHEHOORSRQWLQHDQJOHWXPRUVXQGHUWZRGLIIHUHQW
DQHVWKHWLFWHFKQLTXHVHYDOXDWHGXVLQJ+HDUW5DWH
9DULDELOLW\*&+$,7$1<$716$7+<$35$%+$9
%+$'5,1$5$<$1%,1',5$'(9,755$-8*6
80$0$+(6:$5$5$21DWO,QVWRI0HQWDO+OWKDQG
1HXURVFLHQFHV1,0+$161DWO,QVWRI0HQWDO+OWKDQG
1HXURVFLHQFHV1,0+$16
%%% &DUGLRYDVFXODUUHVSRQVHVWRFHQWUDO
LQMHFWLRQVRIWLW\XVWR[LQLQ:LVWDUUDWV)&6,/9$&+
;$9,(55&$'(0(1(=(63$0*8,',1('$
&+,$1&$-5)HGHUDO8QLYRI2XUR3UHWR)HGHUDO8QLYRI
0LQDV*HUDLV
%%% 3HUVLVWHQWDFWLYDWLRQRIWKHDXWRQRPLF
UHJLRQVE\DQJLRWHQVLQLLDQLQYLYRPDQJDQHVHHQKDQFHG
05,VWXG\LQWKHUDW3'3(5(=-=8%&(9,&--81-
0&$59$-$/0.5$,=$'$0)(%28QLYRI)ORULGD
8QLYRI)ORULGD
%%% 7KHK\SRWKDODPLF1HXURSHSWLGH))
13))V\VWHPLVLPSDLUHGLQK\SHUWHQVLYHSDWLHQWV
9'*21&+$58.50%8,-6')6:$$%-
+-+$0$1'$65XVVLDQ&DUGLRO5HV&WU,QVWGH
,QYHVWLJDFLRQHV%LRPHGLFDV8QLY1DFLRQDO$XWRQRPDGH
0H[LFR1HWKHUODQGV,QVWIRU1HXURVFL8QLYRI$OEHUWD
%%% :DWHUGULQNLQJLQGXFHGEUDG\DUUK\WKPLD
LQ'DKO6DOW6HQVLWLYHUDWZLWKVLQRDRUWLFGHQHUYDWLRQ&
$%(&,:$7$+025,7$*LIX8QLY*UDG6FKRI0HG
%%% 4XDQWL¿FDWLRQRIVWUHVVE\ÀXFWXDWLRQ
DQDO\VLVRIKHDUWEHDWLQWHUYDOWLPHVHULHV7<$=$:$
7RN\R0HWURSROLWDQ8QLY
%%% 5ROHRIWKHEHGQXFOHXVRIWKHVWULD
WHUPLQDOLVLQFDUGLRYDVFXODUFKDQJHVLQGXFHGE\UHSHDWHG
DGPLQLVWUDWLRQRIWHVWRVWHURQHDQGFRFDLQHLQUDWV&
&5(67$1,)&&58=)+)$/9(650/(2)0
$&255($&63/$1(7$6mR3DXOR6WDWH8QLYHUVLW\
6FKRI3KDUPDFHXW6FLHQFHV6FKRI3KDUPDFHXW
6FLRI$UDUDTXDUD6mR3DXOR6WDWH8QLYHUVLW\81(63
$UDUDTXDUD63%UD]LO6FKRI0HGRI5LEHLUmR3UHWR8QLY
RI6mR3DXOR5LEHLUmR3UHWR6mR3DXOR%UD]LO
%%% (OHFWURSK\VLRORJLFDOFKDUDFWHUL]DWLRQRI
NLGQH\UHODWHGSUHV\PSDWKHWLFQHXURQVLQWKHSDUDYHQWULFXODU
QXFOHXVRIPLFH<-,$1*+*$2$9'(5%(1(9$
=620%2.7XODQH8QLY7XODQH8QLY
%%% 'HYHORSPHQWRIQHXURQVFRQWDLQLQJ
GLIIHUHQWW\SHVRIFDOFLXPELQGLQJSURWHLQVLQWKHUDW
V\PSDWKHWLFJDQJOLD300$6/<8.29$(0$18,/29
9.2129$/29$1%$,5$029$<DURVODYO0HG$FDG
%%% 3KDUPDFRORJLFDOFKDUDFWHUL]DWLRQ
RIWKH'OLNHUHFHSWRUVPHGLDWHWKHLQKLELWLRQRIWKH
FDUGLRDFFHOHUDWRUV\PSDWKHWLFRXWÀRZLQSLWKHGUDWV2
$/&È17$5$9È=48(='(/0(5&$'2079,//$0,/
+(51È1'(=(025(129È=48(=$6È1&+(=
/Ï3(='&(1785,Ï1&,19(67$9,31
%%% 3KDUPDFRORJLFDOFKDUDFWHUL]DWLRQRI
DOSKDDGUHQRFHSWRUVXEW\SHVPHGLDWLQJLQKLELWLRQRI
V\PSDWKHWLFYDVRSUHVVRUUHVSRQVHVWR%+7LQSLWKHG
UDWV079,//$0,/+(51È1'(=2$/&È17$5$
9È=48(=(025(129È=48(=$6È1&+(=/Ï3(=
'&(1785,Ï1&,19(67$9,31
%%% $GDSWLYHVLQJOHQHXURQK\SHUWHQVLYH
JHQHH[SUHVVLRQSURJUDPVLQWKHQXFOHXVWUDFWXVVROLWDULXV
$<%585($8-3$5.59$',*(3$//,-3$721
-6&+:$%(57KRPDV-HIIHUVRQ8QLVYHUVLW\&KHPDQG
%LRPROHFXODU(QJLQ8QLYRI'HODZDUH8QLYRI%ULVWRO
%%% S&DUGLRYDVFXODUHIIHFWVRIWKH
DGPLQLVWUDWLRQRIK\GURJHQSHUR[LGHRUFDWDODVHLQKLELWRU
LQUHQRYDVFXODUK\SHUWHQVLYHUDWV05/$8$5*7
%/$1&+30'(3$8/$'6$&2/20%$5,(
&2/20%$5,-0(1$1,81(63
S
3267(5
(DUO\/,IH([SHULHQFH3UHQDWDO6WUHVV0DWHUQDO(IIHFWV
%%% 5ROHIRUVH[KRUPRQHVLQSUHQDWDOVWUHVV
LQGXFHGSURJUDPPLQJRISUHIHUHQFHWRQDWXUDOUHZDUG0
5(<1$(57*9$1&$03$08//,(5-0$552&&2
+%28:$/(5+-0$,5(66(60$&&$5,)
1,&2/(77,6025/(<)/(7&+(58QLY/LOOH,55&6
1HXURPHG'HSWRI3K\VLRODQG3KDUPDFRORJ\8QLY
%%% S³*UDQGPRWKHU´WUDQVJHQHUDWLRQDO
WUDQVPLVVLRQRIWKHSUHQDWDOVWUHVVSKHQRW\SHLQUDWV6
0$&&$5,3URI-0$,5(66(0'$51$8'(5<-
0$552&&2+/(*(5$%(1(&.()0$75,6&,$12
)1,&2/(77,6025/(<)/(7&+(51HXURSODVWLFLW\
7HDP8PU&1568QLY/LOOH,15$805DQG
&1568056\VWHPV(SLJHQRPLFV*URXS,QVW
GHV+DXWHV(WXGHV6FLHQWL¿TXHV&1567KH3V\FKLDWULF
,QVWLWXWH'HSWRI3V\FKLDWU\&RORI0HGLFLQH'HSWRI
3K\VLRODQG3KDUPDFRO,55&61HXURPHG
%%% 3UHQDWDOGH[DPHWKDVRQHLPSDFWVWKH
EORRGYHVVHOVZLWKLQWKHSDUDYHQWULFXODUQXFOHXVRIWKH
K\SRWKDODPXV.$)5$+00'2''0-6&+2:
9387.$5$'=(6$72%(7&RORUDGR6WDWH8QLY
&RORUDGR6WDWH8QLY&RORUDGR6WDWH8QLY&RORUDGR6WDWH
8QLY&RORUDGR6WDWH8QLY
%%% 0DWHUQDOVWUHVVH[DFHUEDWHVWKHHIIHFWV
RISUHQDWDODLUSROOXWLRQH[SRVXUHRQRIIVSULQJF\WRNLQH
H[SUHVVLRQDQGEHKDYLRULQDVH[VSHFL¿FPDQQHU-/
%2/7211&+8))6+60,7+560,675<(1
32776.$175/$87(16'%,/%2'XNH8QLY'XNH
8QLY0HG&WU'XNH8QLY0HG&WU
&&& 0DOHK\SRWKDODPLFSLWXLWDU\WHVWLFXODUD[LV
DQGWKHVWUHVVUHVSRQVHLQSUHQDWDOO\VWUHVVHGRIIVSULQJ0
3$//$5(6($'529(500217(/(21(0,06(1
$'(/$85(17,,6,7251$'Ò'%(&Ò0%52&&2
0&$1721(//,,%&1)DFXOWDG'H0HGLFLQD8QLY'H
%XHQRV$LUHV,QVWGH,QYHVWLJDFLRQHV%LRWHFQRORJLFDV8QLY
GH6DQ0DUWtQ&WUGH,QYHVWLJDFLRQHVHQ5HSURGXFFLyQ
)DFXOWDGGH0HGLFLQD8QLYGH%XHQRV$LUHV&()\%2
)DFXOWDGGH0HGLFLQD8QLYGH%XHQRV$LUHV/DEGH
5HJXODFLyQ0HWDEyOLFD,%\0($UJHQWLQD
&&& *HVWDWLRQDOVWUHVVWULJJHUVPDWHUQDO
DQGQHZERUQGLVWXUEDQFHVDQGDJJUDYDWHVVWURNHRXWFRPH
ODWHULQRIIVSULQJOLIHWKURXJKHSLJHQHWLFUHJXODWLRQRIEUDLQ
JHQHH[SUHVVLRQ)&=8&&+,<<$2<,/1<76.<<
'2/,9(,5$2.29$/&+8.,.29$/&+8..
%(1=,(6'2/621*0(7=8QLYRI/HWKEULGJH8QLYRI
/HWKEULGJH8QLYRI&DOJDU\8QLYRI$OEHUWD
&&& 3UHQDWDOVWUHVVGHOD\V*$%$HUJLF
SURJHQLWRUPLJUDWLRQLQWKHGHYHORSLQJFRUWH[DQG
KLSSRFDPSXV+(67(9(16768)09$&&$5,12
<DOH8QLY6FK0HG<DOH8QLY6FK0HG<DOH8QLY6FK
0HG
S
&&& %UDLQVWUXFWXUDODQGIXQFWLRQDO
FRQQHFWLYLW\DOWHUDWLRQVLQPDOWUHDWLQJPDFDTXHPRWKHUV$Q
05,'7,DQGUHVWLQJVWDWHI05,VWXG\-*2')5(<%
+2:(//<6+,;=+$1*'*5$<621*1$,5;
+8')$,5067<1(506$1&+(=(PRU\8QLY
(PRU\8QLY(PRU\8QLY6FK0HG8QLYRI1RUWK&DUROLQD
2UHJRQ+OWK6FL8QLY(PRU\8QLY*HRUJLD,QVWRI
7HFKQRO8QLYRI1RUWK&DUROLQD(PRU\8QLY6FK0HG
&&& (IIHFWVRIPDWHUQDOVWUHVVDQGSHULQDWDO
ÀXR[HWLQHH[SRVXUHRQEHKDYLRXUDORXWFRPHVRIDGXOW
RIIVSULQJ9.,5<$129$6,$%/2.29$5+'<&.
8QLYRI&DOJDU\8QLYRI&DOJDU\
&&& 'LHWDU\FKROLQHVXSSOHPHQWDWLRQWRGDPV
GXULQJSUHJQDQF\DQGODFWDWLRQSURWHFWVIHPDOHRIIVSULQJ
IURPWKHHIIHFWVRILQXWHURVWUHVVH[SRVXUHRQDQ[LHW\
UHODWHGEHKDYLRUV.06&+8/=-13($56210(
*$63$55,1,.0$1'58'.)5$=,(5$.5(,6/(5
6/(21$5'&($'$06.(67(9(168QLYRI
&RORUDGR$QVFKXW]0HG6FK9$0&8QLYRI&RORUDGR
$QVFKXW]0HG6FK8QLYRI3LWWVEXUJK
&&& 3UHQDWDOUHVWUDLQWVWUHVVLQGXFHVD
SUHSDUNLQVRQLDQSKHQRW\SHLQUDWV+%28:$/(5+-
0$552&&2-0$,5(66(7&$66$120&$11(//$
00272/(6('%8&&,*%$77$*/,$$3,77$/8*$
3&$/$%5(6,/5$9$6,6025/(<)/(7&+(5)
1,&2/(77,60$&&$5,8QLY/LOOH'HSWRI%LRPHG
6FLHQFHV0HG6FKRRO8QLYRI)RJJLD,55&6
1HXURPHG'HSWRI([SWO0HGLFLQH8QLYRI*HQRYD
)RQGD]LRQH6DQWD/XFLD,55&60LFUR3(73ODWHIRUPH
G¶LPDJHULHGXYLYDQW&+5/LOOH8QLYGH/LOOH'HSWRI
3K\VLRODQG3KDUPDFRORJ\8QLYRI5RPH6DSLHQ]D
&&& (DUO\OLIHVWUHVVSURWHFWVDJDLQVW
KDORSHULGROLQGXFHGFDWDOHSV\LQWKHDGXOWOLIH-
0$552&&2-0$,5(66(//,21(77206,00$&2
*9$1&$0305(<1$(576025/(<)/(7&+(5
60$&&$5,)1,&2/(77,8QLYRI/LOOH$GYDQFHG0RO
'LDJQRVWLF6W$QGUHD¶V+RVS,55&61HXURPHG'HSW
RI3K\VLRODQG3KDUPDFRORJ\8QLYRI5RPD6DSLHQ]D
&&& (IIHFWVRIPDWHUQDOVHSDUDWLRQVWUHVV
VFKHGXOHDQGKLSSRFDPSDOJHQHWKHUDS\RQWKHPHFKDQLVPV
WKDWVXSSRUWVSDWLDOPHPRU\LQ\RXQJDGXOWUDWV(7
6721(+$066$0,3285'0&+$,/$$/+$-6
-,$1*7&'80$6.UDVQRZ,QVWLWXWH*HRUJH0DVRQ
8QLY
&&& (IIHFWVRIDGYHUVHPDWHUQDOFDUHRQ+3$
IXQFWLRQ$ORQJLWXGLQDOVWXG\LQLQIDQWUKHVXVPRQNH\V'
%*8=0$1%5+2:(//&/0$567(//$5=3
-2+1621-60(<(5006$1&+(=(PRU\8QLY
(PRU\8QLY8QLY0DVVDFKXVHWWV
&&& (IIHFWVRIPDWHUQDOVHSDUDWLRQRQ
YROXQWDU\ZKHHOUXQQLQJDQGFRFDLQHFRQGLWLRQHGSODFH
SUHIHUHQFH/035,7&+$5'(+(16/(,*+0
3,(5&(6/<1&+$)2:/(5.$%8$/,$-$*(5-
(*$1025/(:,&=8QLY1HYDGD/DV9HJDV
&&& &URVVIRVWHULQJGLVUXSWVJDPPD
UK\WKPRJHQHVLVDQG10'$UHFHSWRUIXQFWLRQLQWKH
HQWRUKLQDOFRUWH[63+$//&5$&&$0$
:+,77,1*72102&811,1*+$01HZFDVWOH8QLY
%%% 2[\WRFLQDSRWHQWDQWLVWUHVVLQDGXOW
SUHQDWDOO\VWUHVVHGUDWVDQDQLPDOPRGHORIGHSUHVVLRQ-
0$,5(66(062,&+2705(<1$(57-0$552&&2
/'(58<7(56025/(<)/(7&+(5(*$77$*9$1
&$03+%28:$/(5+'$//25*()1,&2/(77,
60$&&$5,8058*6)8QLYRI/LOOH)DFXOWp
GH0pGHFLQHGH/LOOH8'6/,55&61HXURPHG'HSWRI
3K\VLRODQG3KDUPDFRO
&&& 3UHQDWDOVWUHVVLQÀXHQFHVHSLJHQHWLF
PHFKDQLVPVWKDWUHJXODWH`K\GUR[\VWHURLG
GHK\GURJHQDVHLQWKHSODFHQWDDQGIHWDOEUDLQ./
*21=$/(6&/-(16(1&021.)$&+$03$*1(
&&& (IIHFWVRIVRFLDOLQVWLJDWLRQLQODFWDWLQJ
UDWVRQVRFLDOLQWHUDFWLRQDQGR[\WRFLQUHVSRQVHVRIWKHDGXOW
RIIVSULQJ73+(15,48(6/$',(+/0$628=$
&1&255Ç$0%$/9(6350(1(*2772&3
9(,*$&'$/0$=500'($/0(,'$$%/8&,21
8)5*6)HGHUDO8QLYRI5LR*UDQGHGR6XO)HGHUDO8QLY
RI5LR*UDQGHGR6XO)HGHUDO8QLYRI5LR*UDQGHGR6XO
&&& 3URWHRPLFDQDO\VLVRIWKHHIIHFWV
RIDJRPHODWLQHRQWKHDQ[LRXVGHSUHVVLYHSUR¿OHRI
SUHQDWDOO\VWUHVVHGPDOHUDWV6025/(<)/(7&+(5-
0$,5(66(-0$552&&296,//(77,&*$%5,(/(
02&$(5)1,&2/(77,60$&&$5,1HXUDO3ODVWLFLW\
7HDP805&1561RUWK8QLYRI/LOOH,QVWGH
5HFKHUFKHV,QWHUQDWLRQDOHV6HUYLHU,55&6
&&& S&KURQLFDJRPHODWLQHWUHDWPHQWFRUUHFWV
WKHDEQRUPDOLWLHVLQWKHFLUFDGLDQUK\WKPRIPRWRUDFWLYLW\
DQGVOHHSZDNHF\FOHLQGXFHGE\SUHQDWDOUHVWUDLQWVWUHVV
LQDGXOWUDWV(*$77$-0$,5(66(96,//(77,&
/$/28;$=8(1$$*,29,1(0&2162/$=,21(
*9$1&$0300$/$*2',6*$(7$1,6&,$1&,$
&$7$/$1,*0(1181,$0$==(77$29$15((7+
&*$%5,(/(02&$É5)1,&2/(77,6025/(<
)/(7&+(560$&&$5,8QLY/LOOH'HSWRI+XPDQ
3K\VLRO3KDUPDFRO6DSLHQ]D8QLYRI5RPH,QVWGL
)DUPDFRORJLD8QLY&DWW6DFUR&XRUH&(5%8/%,QVWGH
5HFKHUFKHV,QWHUQDWLRQDOHV6HUYLHU,55&61HXURPHG
&&& $Q[LHW\OLNHEHKDYLRULQWKHSUHQDWDOO\
VWUHVVHGUDWPRGHORIGHSUHVVLRQLVDVVRFLDWHGZLWKD
VHOHFWLYHUHGXFWLRQRIJOXWDPDWHUHOHDVHLQWKHYHQWUDO
KLSSRFDPSXV*9$1&$03-0$552&&2-
0$,5(66(51*20%$96,//(77,+%28:$/(5+
06800$$3,77$/8*$)1,&2/(77,60$&&$5,6
025/(<)/(7&+(51RUWK8QLYRI/LOOH1HXURSODVWLFLW\
7HDP8*6)805,55&61HXURPHG'HSWRI+XPDQ
3K\VLRO3KDUPDFRO6DSLHQ]D8QLYRI5RPH'HSWRI
([SWO0HGLFLQH8QLYRI*HQRD
3267(5
+\SRWKDODPLF0HFKDQLVPV
&&& 6HFUHWDJRJLQQHXURQVLQWKHPRXVH
K\SRWKDODPXV(*<(1*(6,*3$;,126=%
$1'5(:61HXURVFL5HV$XVWUDOLD0RQDVK8QLY
&&& 9HQWURPHGLDOK\SRWKDODPLFH[SUHVVLRQ
RI%'1)LVUHTXLUHGIRUQRUPDOGHYHORSPHQWRIWKHFLUFXLWV
FRQWUROOLQJWKHFRXQWHUUHJXODWRU\UHVSRQVHWRK\SRJO\FHPLD
$..$0,7$.$+$5$5%6,0(5/<86&&KLOGUHQ¶V
+RVS/RV$QJHOHV
&&& $XWRSKDJ\LQWKHYHQWURPHGLDO
K\SRWKDODPLFQXFOHXVUHJXODWHVHQHUJ\KRPHRVWDVLV
%&283(-0$,//$5'6*%285(76DEDQ5HV
,QVWLWXWH&KLOGUHQV+RVSRI/RV$QJHOHV8VF,QVHUP8
,QWO$VVRFLDWHG/DE³1HXUREHVH´
&&& (IIHFWRIDUFXDWHQXFOHXVRUH[LQVLJQDOLQJ
RQERG\ZHLJKWIRRGLQWDNHDQGSK\VLFDODFWLYLW\LQUDWV-
31,;21&0.27=9$0HG&WU8QLYRI0LQQHVRWD
&&& %03UHFHSWRU$UHJXODWHVGHYHORSPHQW
RIK\SRWKDODPLFFLUFXLWVFULWLFDOIRUIHHGLQJEHKDYLRU&
3(1*--$55(77$08.+23$'+<$<-$.(66/(5
1RUWKZHVWHUQ8QLY+DUYDUG0HG6FK
&&& S
0HGLREDVDOK\SRWKDODPLF`
DGUHQHUJLFUHFHSWRUVLJQDOLQJUHJXODWHVHQHUJ\LQWDNHDQG
XWLOL]DWLRQ&$8/$6*-6&+:$57=&%/28(7
$OEHUW(LQVWHLQ&RO0HG
&&& 6H[VSHFL¿FLPSDFWRIFRPPRQJHQHWLF
YDULDWLRQQHDU0&5RQEUDLQVWUXFWXUHDQGHDWLQJEHKDYLRU
SDWWHUQV$+25670$116.$%,6&+3.29$&6+
6&+/2(*/$72(1-(6<%2(77&+(5%3/(*(5
0678092//$9,//5,1*(50D[3ODQFN,QVW)RU
+XPDQ&RJQLWLYHDQG%UDLQ6FL,)%$GLSRVLW\'LVHDVHV
/HLS]LJ8QLY/HLS]LJ8QLY/HLS]LJ8QLY%HUOLQ6FKRI0LQG
DQG%UDLQ+XPEROGW8QLYHUVLW\
&&& 0HWDEROLFHIIHFWVRI373%GH¿FLHQF\
LQOHSWLQUHFHSWRUH[SUHVVLQJFHOOVDQGLQWKHDEVHQFHRI
K\SRWKDODPLFOHSWLQUHFHSWRUV57628'(=,00(5%
&'(-21*+(..%(1&(8QLYRI3HQQV\OYDQLD
&&& 320&QHXURQVSHFL¿FGHOHWLRQRI
*$%$%UHFHSWRUOHDGVWRREHVLW\RQDKLJKIDWGLHW<,72
5%$11206+,%$7$.$'$&+,6+$*,02720
*272%%(77/(5<2,62+$5,0$1DJR\D8QLY
*UDG6FKRI0HG8QLYRI%DVHO
&&& 'LVWULEXWLRQRISLWXLWDU\DGHQ\ODWH
F\FODVHDFWLYDWLQJSRO\SHSWLGHUHFHSWRUDQGV\VWHP[F
P51$H[SUHVVLRQLQWKHK\SRWKDODPXV3RWHQWLDOIXQFWLRQDO
LPSOLFDWLRQV-05(6&+$.*(5+$5'7$(
+285,*$1;/,86&+2,0DUTXHWWH8QLY
&&& /02LVDQWLGLDEHWLFE\PRGXODWLQJ
FHQWUDOOHSLQGHSHQGHQWUHJXODWLRQRISHULSKHUDOLQVXOLQ
VHFUHWLRQDQGVHQVLWLYLW\=74,1153$1'(<;
=+28+$1,60$1$)567(:$57+&+(18QLY
RI2WWDZD2WWDZD+RVS5HV,QVW&DUOHWRQ8QLY8QLYRI
2WWDZD8QLYRI2WWDZD
&&& $IIHUHQWLQSXWVWRWKHYHQWURPHGLDO
K\SRWKDODPXV1)267(5$*:$77686&
&&& 6HFUHWLRQDQGPDWXUDWLRQRIQRYHO
YDULDQWVRIWKHSHSWLGHV\QWKHVL]LQJHQ]\PH3&/$
3,&.(770<2856+$:=&+(1662/$5=$12
9$5*$66)1(/6210*0$57,1,/,1'%(5*
8QLY0DU\ODQG%DOWLPRUH8QLYRI&DOLIRUQLD/RV$QJHOHV
6FK0HG8QLYRI&DOLIRUQLD/RV$QJHOHV6FK0HG
&&& S
+\SRWKDODPLFLQQHUYDWLRQRIWKHODWHUDO
PHGLRGRUVDOWKDODPXVLQPDFDTXHPRQNH\/RFDWLRQRI
SURMHFWLRQQHXURQV$/5866(//'60(/&+,7=.<6
/(5,&.621'$/(:,60HUF\KXUVW8QYLHUVLW\8QLYRI
&&& 6ZHHWWDVWHUHFHSWRUVLQWDQ\F\WHVDQG
HSHQG\PDOFHOOVOLQLQJWKHWKLUGYHQWULFOH+(%(1)25'
++7:80%2/%25($1'$/(8QLYRI:DUZLFN
&&& 3,.UHJXODWHVJDODQLQOLNHSHSWLGH
*$/3JHQHH[SUHVVLRQLQWKHPHGLREDVDOK\SRWKDODPXV
RIPLFH5$=,=0%(<0(5$1(*521$1(:6+$0
&0$<(55/,10)8.8'$8%2(+00$&267$
6WRQ\%URRN8QLY&WUIRU0RO1HXURELR8QLYRI7H[DV
6RXWKZHVWHUQ0HG&WU6WRQ\%URRN8QLY
&&& ([HUFLVHHIIHFWVRQR[\WRFLQDQG
WURSRP\RVLQUHODWHGNLQDVH%WUN%UHFHSWRULQWKH
K\SRWKDODPLFSDUDYHQWULFXODUQXFOHXV391(12%/(&
.27=&%,//,1*721&:$1*8QLYRI0LQQHVRWD
&&& )DVWLQJLQGXFHVGLIIHUHQWLDOH[SUHVVLRQ
LQWKHWUDQVFULSWRPHRIWKHK\SRWKDODPLFDUFXDWHQXFOHXVRI
WKHUDW00025,1-&$//(<</8195$1*6
3$8/6(1'*(+/(57(OL/LOO\DQG&R(OL/LOO\DQG&R
(OL/LOO\DQG&R*XEUD$S6
S
&&& S6WLPXODWLRQRIIRRGLQWDNHDIWHUFHQWUDO
JDODQLQLVDVVRFLDWHGZLWKDUFXDWHQXFOHXVDFWLYDWLRQDQG
GRHVQRWGLIIHUEHWZHHQJHQHWLFDOO\ORZDQGKLJKERG\ZHLJKW
VHOHFWHGOLQHVRIFKLFNHQV5,:(%67(536,(*(/0
&/,1(5DGIRUG8QLY9LUJLQLD7HFK
&&& &KROHF\VWRNLQLQUHFHSWRURYHU
H[SUHVVLRQDQGIXQFWLRQDOFRPSHQVDWLRQLQWKH
SDUDYHQWULFXODUQXFOHXVLQPLFHODFNLQJFKROHF\VWRNLQLQ
UHFHSWRUV72=$.,602+$00$'0,.('$*UDG
6FKRI,QQRYDWLYH/LIH6FLHQFH8QLYRI7R\DPD
&&& ,QYLWURSKDUPDFRORJLFDO
FKDUDFWHUL]DWLRQRIKXPDQDQGPRXVH45)3*35
UHFHSWRUV/)2/7=7687(5&58%/(&3('5(*$/
067$71,&.3-(00(5621/LOO\5HV/DEV
&&& +\SRWKDODPLFG\VIXQFWLRQRIWKH
WKURPERVSRQGLQUHFHSWRU_bXQGHUOLHVWKHRYHUHDWLQJ
DQGREHVLW\WULJJHUHGE\%'1)GH¿FLHQF\-&25'(,5$
67(,//216'$)7$5<%866,(5(-)(/67('-
:,57+06(1$(67(9(605,267XIWV8QLY6FK
0HG8QLYRI0DVVDFKXVHWWV0HG6FK
&&& ,QVXOLQVWLPXODWHV3KRVSKRGLHVWHUDVH
%DFWLYLW\LQWKHPRXVHK\SRWKDODPXVDQGLQDFORQDO
K\SRWKDODPLFQHXURQDOFHOOOLQH$QRYHOPHFKDQLVPRI
LQVXOLQVLJQDOLQJ$6$+83$1$07+$7+0$.8/$0
6$+88QLYRI3LWWVEXUJK
&&& S3K\VLRORJLFDOUROHRIDXWRSKDJ\LQ
WKHK\SRWKDODPXVLQUHJXODWLQJHQHUJ\EDODQFH66+$+
&/,8QLYRI9LUJLQLD
&&& S&KHPRDUFKLWHFWXUHRIWKHODWHUDO
K\SRWKDODPLFDUHDLQWKHDGXOWPDOHUDW:LGH¿HOGLPDJLQJ
RI¿YHFHOOW\SHVDQGIRXUDIIHUHQWV\VWHPVLQDVLQJOHEUDLQ
%(3,1$/(61'20,1*8(=&(:(//6$0
.+$18QLYRI7H[DV$W(O3DVR
&&& +\SHUSKDJLFREHVLW\UHGXFHGHQHUJ\
H[SHQGLWXUHGLVUXSWHG0&5VLJQDOLQJDQGDEQRUPDO
UHVSRQVHWRKLJKIDWGLHWDIWHUDEODWLRQRI39+6LP
QHXURQV';,1*$1'+,0/$,%.8%/$28,8QLYRI
3HQQV\OYDQLD&KLOGUHQ¶V+RVSRI3KLODGHOSKLD
3267(5
([HFXWLYH)XQFWLRQ&RQQHFWLYLW\DQG1HWZRUNV
&&& /DUJHVFDOHLQWHJUDWLRQLQWKHVWRSVLJQDO
SDUDGLJP:/,$1*</2-<81*08**/(721&
-8$11DWO&HQWUDO8QLY
&&& 0DSSLQJWKHHFKRHVRILQWULQVLF
FRQQHFWLYLW\QHWZRUNVDFURVVWKHZKROHEUDLQ50
%5$*$'-6+$535/((&+,PSHULDO&RO/RQGRQ
,03(5,$/&2//(*(/21'21
&&& ,QFUHDVHVLQVWLPXOXVYDOHQF\DUHUHODWHG
WRFKDQJHVLQIXQFWLRQDOEUDLQDFWLYLW\LQWKHWDVNSRVLWLYH
QHWZRUNEXWQRWWKHGHIDXOWPRGHQHWZRUN3'0(7=$.
76:22':$5'8QLYRI%ULWLVK&ROXPELD
S
&&& 'LVVRFLDEOHJOREDODQGORFDOPRWLYDWLRQDO
LQÀXHQFHVRQFRJQLWLRQUHYHDOHGE\IPULIXQFWLRQDO
FRQQHFWLYLW\$&6$9,1(76%5$9(58QLY
:DVKLQJWRQ6W/RXLV
&&& (QKDQFHGGHFRGLQJRIWDVN
UHSUHVHQWDWLRQVXQGHUUHZDUGPRWLYDWLRQFRQGLWLRQV-
$(7=(/0:&2/(-0=$&.676%5$9(5
&RJQLWLYH&RQWURO3V\FKRSDWKRORJ\/DE:DVKLQJWRQ
8QLYLQ6W/RXLV
&&& 1HXUDOPHFKDQLVPVXQGHUO\LQJLQWHUQDOO\
DQGH[WHUQDOO\JXLGHGWDVNVHOHFWLRQ-025507
%$1,&+8QLYRI&RORUDGR%RXOGHU8QLYRI&RORUDGR
%RXOGHU
&&& )OH[LEOHKXEV$QRYHOPHFKDQLVPIRU
ÀH[LEOHFRJQLWLYHFRQWURO0:&2/(-5(<12/'6-'
32:(576%5$9(5:DVKLQJWRQ8QLY8QLYRI'HQYHU
&&& )URQWRSDULHWDOFRQWULEXWLRQVWR
FRJQLWLYHFRQWURO0XOWLYDULDWHGHFRGLQJRIWDVNFRQWH[W
0/:$6.20'.80$5$1$0*25'21$'
:$*1(56WDQIRUG8QLY6WDQIRUG8QLY8QLY&RO/RQGRQ
6WDQIRUG8QLY
&&& 6LQJOHVXEMHFWI05,GDWDVKRZDGMDFHQW
GRPDLQJHQHUDODQGODQJXDJHVSHFL¿FUHJLRQVRIIURQWDO
DQGSDULHWDOFRUWH[-'81&$11.$1:,6+(5(
)('25(1.20HG5HV&RXQFLO0,7
&&& 7KHSDUDLQWHUPHGLDWHIURQWDOVXOFLDQG
WKHLUUHODWLRQWRWKHLQWHUPHGLDWHDQGRWKHUQHLJKERXULQJ
IURQWDOVXOFL03(75,'(6763581*08&+0RQWUHDO
1HXURORJ,QVW0F*LOO8QLY0F*LOO8QLY
&&& 7DVNLQGXFHGEUDLQDFWLYDWLRQLQUHODWLRQ
WRLQWULQVLFIXQFWLRQDOFRQQHFWLYLW\SDUFHOODWLRQRIWKHKXPDQ
ODWHUDOSUHIURQWDOFRUWH[367,(56$*28/$6+%0
8</,1*6)DFRI3V\FKRORJ\DQG1HXURVFLHQFH0DDVWULFKW
8QLY988QLY0HG&WU
&&& 1RWDOOHUURUVDUHDOLNH7KHWDDQG
DOSKD((*G\QDPLFVUHODWHWRGLIIHUHQWORQJUDQJH
IXQFWLRQDOQHWZRUNVRIHUURUSURFHVVLQJ-9'5,(/.
5,''(5,1.+2)0&2+(18QLYRI$PVWHUGDP8QLYRI
$PVWHUGDP8QLYRI$UL]RQD
&&& 3KDVHDPSOLWXGHFRXSOLQJVXSSRUWV
QHWZRUNRUJDQL]DWLRQLQKXPDQIURQWDOFRUWH[%92<7(.
'%$'5($6.$<6(5')(*(1()&+$1*1
(&521(-3$59,=,57.1,*+70'¶(6326,72
8QLYRI&DOLIRUQLD6DQ)UDQFLVFR8QLYRI&DOLIRUQLD
%HUNHOH\%URZQ8QLY%URZQ8QLY8QLYRI&DOLIRUQLD6DQ
)UDQFLVFR8QLYRI&DOLIRUQLD6DQ)UDQFLVFR-RKQV+RSNLQV
0HG,QVWLWXWLRQV6WDQIRUG8QLY6WDQIRUG8QLY8QLYRI
&DOLIRUQLD%HUNHOH\
&&& ((*SUHGLFWRUVRIVWUXFWXUHGOHDUQLQJ
DQGWDVNVHWWUDQVIHUGXULQJUHLQIRUFHPHQWOHDUQLQJ$*
&2//,160-)5$1.%URZQ8QLY
&&& 'HFRGLQJWDVNVSHFL¿FUHSUHVHQWDWLRQV
IURPI05,XVLQJK\SHUDOLJQPHQWDQGZKROHEUDLQFRUUHODWLRQ
DQDO\VLV:.(81*$*5((1(<:$1*./,0
&+$5,.$51%785.%52:1(-'&2+(13ULQFHWRQ
1HXURVFL,QVWLWXWH3ULQFHWRQ8QLY'HSWRI3V\FKRORJ\
3ULQFHWRQ8QLY'HSWRI&RPSXWHU6FLHQFH3ULQFHWRQ8QLY
&&& S/HSWLQGH¿FLHQF\LQFUHDVHV7$8
SKRVSKRULODWLRQLQWKHODWHUDOK\SRWKDODPXVE\JO\FRJHQ
V\QWKDVHNLQDVHEHWDLQDFWLYDWLRQ3RVVLEOHLPSDFWRQWKH
HQGRFDQQDELQRLGV\VWHP/&5,67,12/3$/20%$5
,03(5$725(&6,/9(675,9',0$5=2,WDOLDQ1DWO
5HVHDFK&RXQFLO(QGRFDQQDELQRLG5HV*URXS8QLYRI
8UELQR
&&& 5HVWLQJVWDWHIXQFWLRQDOFRQQHFWLYLW\
HYLGHQFHIRUDV\PPHWULFURVWURWRFDXGDOSUHIURQWRVWULDWDO
FRQQHFWLYLW\(&+2,'%$'5(+DUYDUG8QLY%URZQ
8QLY
&&& $EXWWHUÀ\LQ%UD]LO(UURULQKLELWLRQLV
DORFDOSURFHVVZLWKJOREDOHIIHFWV$59$,'<$(<
+2&+0$16/,8$768&+,'$/.)(//2:60F*LOO
8QLY0F*LOO8QLY
&&& $FWLYLW\LQDFWLRQREVHUYDWLRQDQGIURQWDO
FRQWUROQHWZRUNVSUHGLFWVGLHWDU\UHVWUDLQWIDLOXUHV&$
*5((1%$80-)+8&.,167)+($7+(5721:0
.(//(<'DUWPRXWK&RO
&&& &RPPRQDQGGLVWLQFWIXQFWLRQDOUHJLRQV
RIQHXUDOFLUFXLWU\VXSSRUWLQJUHÀH[LYHDQGYROLWLRQDO
VDFFDGHVDPHWDDQDO\VLVRIIXQFWLRQDOPULGDWD/&+,
&(.5$))71)6&+:$5=4/,'-6&+$())(5
$/52'5,*8(-(3,(5&(.$'<&.0$1-(
0&'2:(//8QLYRI*HRUJLD&KLOG0LQG,QVW
&&& &HUHEUDOEORRGÀRZYHORFLW\DVDSUHGLFWRU
RIXQFHUWDLQW\DQGUHVSRQVLYHQHVVWRXQFHUWDLQW\'$
:$6+%8511%6&+8/7=+$3+,//,36*HRUJLD
6WDWH8QLY
&&& *HQHWLFFRQWULEXWLRQVWRZKLWHPDWWHU
SDWKZD\VLQWZLQV*35$6$'6-26+,1
-$+$16+$'-9,//$/215(,1$.0&0$+21*
'(=8%,&$5$<*:0217*20(5<1*0$57,1
0-:5,*+7307+203621/DERI1HXUR,PDJLQJ
4XHHQVODQG,QVWRI0HG5HVHDUFK
3267(5
(PRWLRQ)DFH3URFHVVLQJ
&&& 6XEOLPLQDOHIIHFWVRIG\QDPLFIDFLDO
H[SUHVVLRQV<.8%27$:6$72072,&+,6KLJD
8QLY.\RWR8QLY.\RWR8QLY
&&& 6H[DQGWDVNGLIIHUHQWLDOO\LQÀXHQFH
PHPRU\IRUIHDUIXOIDFHV53$7(/7$*,5$5'5\HUVRQ
8QLY
&&& $URXVDODPSOL¿HVWKHHIIHFWVRIVWLPXOL
FRPSHWLWLRQEHWZHHQIDFHDQGSODFHDUHDV7/((5
&+(1*00$7+(586&86&86&
&&& 1HXURQVLQWKHKXPDQDP\JGDOD
VHOHFWLYHIRUSHUFHLYHGHPRWLRQ6:$1*278'86&,8&
$0$0(/$.,52665$'2/3+68587,6+$86(5
&DOWHFK&DOWHFK&HGDUV6LQDL0HG&WU+XQWLQJWRQ0HP
+RVS&DOWHFK0D[3ODQFN,QVWIRU%UDLQ5HV
&&& 6LQJOHQHXURQUHVSRQVHVWRHPRWLRQDO
H[SUHVVLRQVLQWKHKXPDQEUDLQ6'*2/',1*(5$%
9$/'(=0+3$3(6+3167(,10(7=$UL]RQD6WDWH
8QLY%DUURZ1HXURORJ,QVW/RXLVLDQD6WDWH8QLY
&&& $P\JGDODUHVSRQVHWRSRVLWLYHRU
QHJDWLYHDIIHFWLVFRQWH[WVSHFL¿F/675$7+($516
.,0%D\ORU&RORI0HG
&&& +XPDQDP\JGDODUHVSRQVHWRG\QDPLF
IDFLDOH[SUHVVLRQVRISRVLWLYHDQGQHJDWLYHVXUSULVH3
957,&.$//25',(5%%(',28'6$1'(56WDQIRUG
8QLY8QLYRI*HQHYD
&&& $IIHFWLYHSULPLQJHIIHFWVRIPHDQIDFLDO
H[SUHVVLRQV;<8$13HNLQJ8QLY
&&& 5HJXODWLRQRILPSXOVLYHFLUFXLWU\
)XQFWLRQRIHPRWLRQDOIDFHV*-6&+$8%+87(
0$==8//$6/'8%($63277(51HXURVFL*UDG
3URJUDP8QLYRI9HUPRQW8QLYRI9HUPRQW8QLYRI
9HUPRQW
&&& 'LIIHUHQWLDOSURFHVVLQJRIHPRWLRQDO
H[SUHVVLRQVDQGLPDJHVLQDYLVXDOVHDUFKWDVN'3$8/
3:$7621-6725%(&.4XHHQV&ROOHJH&XQ\
&&& (IIHFWLYHFRQQHFWLYLW\LQHDV\DQG
GLI¿FXOWSHUFHSWXDOGHFLVLRQV6%$-$-%$'+,.$5,
%/$0,&++$1(0'+$0$/$'HSWRI3K\VLFV
$VWURQRP\*HRUJLD6WDWH8QLY1HXURVFL,QVWLWXWH&WUIRU
%HKDYLRUDO1HXURVFLHQFH*HRUJLD6WDWH8QLY
&&& ,QDÀDVK1HXUDOUHVSRQVHVWR
VXEOLPLQDOO\SUHVHQWHGDIIHFWLYHIDFHVLQVRFLDODQ[LHW\(5
'89$//5+$/(&7/29(/$&('/),/,21&5
6$9$*(8QLYRI0LVVRXUL.DQVDV&LW\.DQVDV&LW\&WU
IRU$Q[LHW\7UHDWPHQW.DQVDV8QLY0HG&WU
&&& /RZHVWURJHQPRGXODWHVDWWHQWLRQELDVWR
HPRWLRQDOIDFHVLQZRPHQZLWKSRVWWUDXPDWLFVWUHVVGLVRUGHU
(0*/29(51)$1,.0(5&(5(%721(%
%5$'/(<.-5(66/(57-29$129,&(PRU\8QLY
6FKRI0HG*HRUJLD6WDWH8QLY$WODQWD9$0HG&WU
&&& $GROHVFHQFHDQGHPRWLRQDOIDFH
SURFHVVLQJ+RZFRQVLVWHQWDUHDFWLYDWLRQSDWWHUQVLQWKH
DP\JGDODDQGSUHIURQWDOFRUWH[RYHUWLPH"%*9$1
'(1%8/.3&03.22/6&+,-13+)0((16
1'-9$1/$1*1-$9$1'(5:((6$5%
520%287655-09(50(,5(1($&521(,QVW
RI3V\FKRORJ\%UDLQDQG'HYHORS/DE/HLGHQ8QLY/HLGHQ
,QVWIRU%UDLQDQG&RJQLWLRQ&XULXP/80&/80&/80&
3267(5
&RJQLWLYH'HYHORSPHQWLQ1RUPDODQG$W\SLFDO&KLOGUHQ
&&& 'HYHORSPHQWRIUHODWLRQDOUHDVRQLQJ
GXULQJFKLOGKRRGDQGDGROHVFHQFH,'80217+(,/(-
.,/)25'6.*-(16(16%/$.(025(8QLY&RO
/RQGRQ%LUNEHFN8QLYRI/RQGRQ
&&& 3UHOLPLQDU\HYLGHQFHIRUORQJLWXGLQDO
HI¿FDF\RIDVXFFHVVIXOSDUHQWFKLOGWUDLQLQJSURJUDPLQ
SUHVFKRROFKLOGUHQDWULVNIRUVFKRROIDLOXUH$+$03721
:5$<7%(//(3$.8/$.+1(9,//(8QLYRI
2UHJRQ
&&& &RPSDUHGWRDGXOWVFKLOGUHQVKRZOHVV
DXWRPDWLFLQWHJUDWLRQRISKRQRORJLFDODQGOH[LFDOSURFHVVLQJ
ZKHQUHDGLQJDORXG6.,+1(16(3(7(56(1%/
6&+/$**$5:DVKLQJWRQ8QLY6FKRI0HG:DVKLQJWRQ
8QLY6FKRI0HG:DVKLQJWRQ8QLY6FKRI0HG
:DVKLQJWRQ8QLY:DVKLQJWRQ8QLY:DVKLQJWRQ8QLY6FK
RI0HG
''' $PXOWLSOHFRQWH[WDSSURDFKWRZRUG
OHDUQLQJUHVXOWVLQQRYHOLPSOLFLWDQGH[SOLFLWVHPDQWLF
DVVRFLDWLRQV%1$5'265//(325(-66,(*(/
:DVKLQJWRQ8QLY,Q6W/RXLV:DVKLQJWRQ8QLY,Q6W/RXLV
:DVKLQJWRQ8QLYLQ6W/RXLV
''' +DQGHGQHVVLQFKLOGUHQZLWKDXWLVP
VSHFWUXPGLVRUGHU7$.1$86-.$036+7$*(5
)/86%(5*$/)281'$6/68+6&12&KLOGUHQ¶V
+RVS%RVWRQ8QLY
S
''' 'HYHORSPHQWRISURVSHFWLYHPHPRU\LQ
FKLOGUHQ*0,//66$5$6.,17ULQLW\&RO7ULQLW\&RO
''' )DFLDOIHDWXUHVGLIIHUHQWLDOO\FRUUHODWHZLWK
6$7SHUIRUPDQFHLQPDOHVYHUVXVIHPDOHV-&$1121
.-$/%(57%5%851+$07KH8QLYRI6FUDQWRQ7KH
8QLYRI6FUDQWRQ7KH8QLYRI6FUDQWRQ
''' $HURELF¿WQHVVDQGQXWULWLRQHIIHFWVRQ
UHODWLRQDODQGLWHPPHPRU\LQSUHDGROHVFHQWFKLOGUHQ&/
%$<0-00217,1$.+$1&++,//0$11-
&2+(18QLYRI,OOLQRLV$W8UEDQD&KDPSDLJQ
''' /RZOHYHOH[RJHQRXVDWWHQWLRQ
PHFKDQLVPVLQGHYHORSPHQWDOG\VOH[LD$3,1$
52'5,*8(60&$67(/2%5$1&209$1$66(/(1
,%,/,)DFRI0HGLFLQH8QLYRI&RLPEUD
''' 'LIIHUHQWLDOLQÀXHQFHRIVDIHYHUVXV
WKUHDWHQLQJIDFLDOH[SUHVVLRQVRQLQKLELWRU\FRQWURODFURVV
DGROHVFHQFHDQGDGXOWKRRG-(&2+(1*,/%(57:
'6.,//*25(=-6&+:$%'-&52:/(<0-
&29(//'$&+$5<$-761(,'(5006,/9(5,
%UDLQ,PDJLQJ&WU0F/HDQ+RVS&WUIRU'HSUHVVLRQ6WUHVV
$Q[LHW\5HV0F/HDQ+RVS'HSW1HXURSV\FKRORJ\
0F/HDQ+RVS
''' 7KHQHXUDOFRUUHODWHVRIZRUNLQJPHPRU\
SHUIRUPDQFHLQ\HDUROGFKLOGUHQ'6,0021'6%
/81$8QLYRI3LWWVEXUJK8QLYRI3LWWVEXUJK
''' $QDO\VLVRIKDQGZULWLQJÀXHQF\LQFKLOGUHQ
ZLWKDXWLVP%',5/,.290%1(%(//<281(6$
-%$67,$16+02672)6.<7KH.HQQHG\.ULHJHU
,QVW7KH.HQQHG\.ULHJHU,QVW-RKQV+RNLQV8QLY-RKQV
+RNLQV8QLY-RKQV+RNLQV8QLY7KH.HQQHG\.ULHJHU
,QVWLWXH-RKQV+RNLQV8QLY
''' I05,LQDGROHVFHQWRIIVSULQJRIDOFRKROLFV
'62¶/($5<-*9$,'<$6.83(50$1-5
.5$0(5'5/$1*%(+18RI,+RVS
''' :RUNLQJPHPRU\UHOHYDQWJUD\PDWWHULQ
WKHOHIWS67*UHODWHVWRJHQHWLFULVNDQGGLDJQRVWLFVWDWXV
LQGHYHORSPHQWDOG\VOH[LD$9%0VWXG\&0b11(//
0(<(5$:,/&.(+.,567(1$')5,('(5,&,03,
IRU+XPDQ&RJQLWLYHDQG%UDLQ6FL)UDXQKRIHU,QVWIRU&HOO
7KHUDS\DQG,PPXQRO7UDQVODWLRQDO&WUIRU5HJHQHUDWLYH
0HGLFLQH8QLYRI/HLS]LJ,QVWIRU0HG,QIRUPDWLFV
6WDWLVWLFVDQG(SLGHPLRORJ\8QLYRI/HLS]LJ
3267(5
,QGLYLGXDO'LIIHUHQFHV,
''' 6\PSWRPUHODWHGIXQFWLRQDOQHWZRUN
DFWLYDWLRQGXULQJVSDWLDOZRUNLQJPHPRU\LQSDWLHQWVZLWK
VFKL]RSKUHQLDDQGELSRODUGLVRUGHU.+.$5/6*2'7
-9(1785$-080)25'(&21*'215$
32/'5$&.$$%$72):6$%%('/21'215
$%,/'(57'&$11218&/$8QLYRI7H[DVDW$XVWLQ
8&/$
S
''' 6XEFRUWLFDODQGFRUWLFDOG\VIXQFWLRQ
GXULQJUHVSRQVHLQKLELWLRQLQTGHOHWLRQV\QGURPH
0-$/%5=,.2:6.,6'20,&2/,(&21*'21.+
.$5/6*2'7&&+2:&(%($5'(18&/$
''' 1HXUDOFRUUHODWHVRIUHVSRQVH
LQKLELWLRQDFURVVPXOWLSOHQHXURSV\FKLDWULFGLVRUGHUV
(-&21*'21$$%$72.+.$5/6*2'7-
080)25'1%)5(,0(5):6$%%('/21'21
7'&$112150%,/'(55$32/'5$&.8&/$
8&/$8&/$87$XVWLQ8&/$87$XVWLQ
''' 7KHUROHRILQGLYLGXDOGLIIHUHQFHVLQ
GXUDWLRQSHUFHSWLRQLQ3DUNLQVRQ¶VGLVHDVH160,//(5
602<(15'6(,'/(5./&+28-'0&$8/(<
8QLYRI0LFKLJDQ8QLYRI0LFKLJDQ8QLYRI0LFKLJDQ8QLY
RI0LFKLJDQ0LFKLJDQ6WDWH8QLY
''' (IIHFWRIVRFLDELOLW\ERG\RULHQWDWLRQ
DQGIDFHYLVLELOLW\RQEUDLQDFWLYLW\LQLQGLYLGXDOVZLWK
)UDJLOH;V\QGURPHGHYHORSPHQWDOGLVDELOLW\DQGKHDOWK\
DGXOWV$QRYHOSDUDGLJP06$**$5-/(3$*((
:$/7(5(48,17,1$5(,666WDQIRUG8QLY
''' 7HDFKLQJZLWKDFRXVWLFJXLGDQFHWKH
RSHUDQWFRQGLWLRQLQJRIPXUK\WKPVDIHDVLELOLW\VWXG\RI
ORZHUIXQFWLRQLQJFKLOGUHQZLWKDXWLVP./$0$5&$
-3,1('$$/,1&2/15*(9,57=&DOLIRUQLD6FK
RI3URIHVVLRQDO3V\FKRORJ\$OOLDQW,QWO8QLY8QLYRI
&DOLIRUQLD6DQ'LHJR
''' 'LIIHUHQWLDOUROHRIWHPSRURSDULHWDO
MXQFWLRQDQGPHGLDOSUHIURQWDOFRUWH[LQFDXVDOLQIHUHQFH
LQDXWLVP$QLQGHSHQGHQWFRPSRQHQWVDQDO\VLV'
085'$8*+.1$'(1'/$5.$1$8QLYRI$ODEDPD
$W%LUPLQJKDP
''' (YDOXDWLQJGLIIXVLRQPULSDUFHOODWLRQRI
WKHLQIHULRUSDULHWDOFRUWH[XVLQJUHVWLQJVWDWHIXQFWLRQDOPUL
=*8,70$'+<$67+$5781*$5$=$60(+7$7
*5$%2:6.,-U/6+$3,528QLYRI:DVKLQJWRQ8QLY
RI:DVKLQJWRQ,QWHJUDWHG%UDLQ,PDJLQJ&WU,%,&8QLYRI
:DVKLQJWRQ8QLYRI:DVKLQJWRQ8QLYRI:DVKLQJWRQ
''' 5HVWLQJVWDWHIXQFWLRQDOFRQQHFWLYLW\
EHWZHHQYHQWUDODQWHULRUFLQJXODWHFRUWH[DQGPHGLDO
SUHIURQWDOFRUWH[SUHGLFWVLQGLYLGXDOGLIIHUHQFHVLQVHOI
HVWHHP-)+8&.,167)+($7+(572161
-$&2%6&$*5((1%$80&30((+$1:0
.(//(<'DUWPRXWK&RO
''' ,QGLYLGXDOGLIIHUHQFHVLQFULWHULRQVKLIWLQJ
GXULQJUHFRJQLWLRQPHPRU\DFURVVWKHOLIHVSDQ%$
/23(=76$17$1'(5&%(11(770%0,//(5
8QLYRI&DOLIRUQLD6DQWD%DUEDUD
''' ,QYHVWLJDWLRQRIWKHGLIIHUHQWEUDLQZDYH
SDWWHUQVRQWZRJURXSVRIFUHDWLYHLQGLYLGXDOVVHOHFWHG
E\RSHQHQGHGYVFORVHGHQGHGFUHDWLYHSUREOHPV&
76(1*&76$,:/,1$&:+8$1*)R*XDQJ
8QLYHUVLW\3V\FKRORJ\6WDWLVWLF6FL
''' 3HHULQÀXHQFHVRQWKHLQWHJUDWLRQRI
UHZDUGYDOXDWLRQDQGLPSXOVHFRQWUROSURFHVVHVGXULQJ
DGROHVFHQFH$560,7+-0&+(,1/67(,1%(5*
7HPSOH8QLY
''' ,QGLYLGXDOGLIIHUHQFHVLQLQKLELWRU\FRQWURO
5HODWLQJQHXUDODFWLYDWLRQWRGLIIHUHQWGHFLVLRQFRPSRQHQWV
LQWKHVWRSVLJQDOWDVN&1:+,7((&21*'21.+
.$5/6*2'7-080)25'):6$%%('/21'21
7'&$112150%,/'(51%)5(,0(55$
32/'5$&.8QLYRI7H[DV$W$XVWLQ8QLYRI&DOLIRUQLD/RV
$QJHOHV8QLYRI&DOLIRUQLD/RV$QJHOHV8QLYRI&DOLIRUQLD
/RV$QJHOHV8QLYRI&DOLIRUQLD/RV$QJHOHV8QLYRI7H[DV
DW$XVWLQ
''' &RPPRQUHSHDWSRO\PRUSKLVPLQWKH
GRSDPLQHWUDQVSRUWHUJHQH6/&$LVDVVRFLDWHGZLWKVWRS
VLJQDOUHDFWLRQWLPH6657DQGPRWLRQFRKHUHQFHWKUHVKROG
0&7$-6&+25..60$'6(1:)&%$$5(1
$.6+2202))&0&&$%((1(:0$1-$7.,1621
2%5$'',&.&6%/266660855$<1-
6&+25.7/-(51,*$18&6DQ'LHJR8&6DQ'LHJR
8&6DQ'LHJR&RSHQKDJHQ8QLY+RVS&RSHQKDJHQ8QLY
+RVS8&6DQ'LHJR8QLY&RO/RQGRQ8QLYRI2[IRUG
6FULSSV7UDQVODWLRQDO6FL,QVW8&6DQ'LHJR7KH6FULSSV
5HV,QVW
''' 7KHFRJQLWLYHFRQQHFWRPH7UDQVODWLQJ
IXQFWLRQDOQHXURLPDJLQJLQWRSHUVRQDOL]HGPHGLFLQH*
-$0(6-.)$86(77-/*(66($3(7(56(1&
'.,/768QLYRI$UNDQVDV)RU0HG6FL8QLYRI$UNDQVDV
)RU0HG6FL
''' 7KHFUHDWLYHLQGLYLGXDOVOHWWKHPVHOYHVEH
FUHDWLYH&RUWLFDOFRQWURORIFUHDWLYHLQGLYLGXDOVZLWKGLIIHUHQW
FUHDWLYHSRWHQWLDOV</,:/,1$&:+8$1*&
76(1*)R*XDQJ8QLY
''' )RRGFXHUHODWHGDFWLYLW\LQWKHQXFOHXV
DFFXPEHQVSUHGLFWVIDLOXUHWRUHVLVWIRRGGHVLUHVLQHYHU\GD\
OLIH5%/23(=:+2)0$11'':$*1(5:
0.(//(<7)+($7+(5721'DUWPRXWK&RO8QLYRI
&KLFDJR%RRWK6FKRI%XVLQHVV
''' 'RER\VPDWXUHGLIIHUHQWO\IURPJLUOV"
$EUDLQFRQQHFWLYLW\DQDO\VLVXVLQJ05,VFDQV%6
.+81'5$.3$0-/(:,6$(9$160RQWUHDO1HXURORJ
,QVW
''' 6WULDWDOFLUFXLWVPD\XQGHUOLHQRYHOW\
VHHNLQJEHKDYLRU7,6+,,16$:$0272+7$%8+
)8.8<$0$+XPDQ%UDLQ5HV&HQWHU.\RWR8QLY*UDG
6FKRI0HG
''' 6H[GLIIHUHQFHVLQKXPRU
FRPSUHKHQVLRQDQGDSSUHFLDWLRQDQ(53VWXG\<&+$1
<)(1*+&+(11DWO7DLZDQ1RUPDO8QLY
''' 0RGXODWLRQRISUHIURQWDODP\JGDOD
IXQFWLRQDOFRQQHFWLYLW\DWUHVWE\SV\FKRSDWKLFWUDLWV0
62%+$1,/%$.(5/$=,==$'(+86&86&86&
''' 3UHGLFWLQJLQGLYLGXDOGLIIHUHQFHVLQ
GHFLVLRQPDNLQJEDVHGRQVWUXFWXUDOIXQFWLRQDODQG
EHKDYLRUDOPHDVXUHV-09(77(/09,1',2/$(0
$0,12))&07,33(5$)5,7+6(1$-2+16216
7*5$)7210%0,//(5$UP\5HV/DE'\QDPLFV
5HV&RUS&DUQHJLH0HOORQ8QLY8QLYRI&DOLIRUQLD6DQWD
%DUEDUD
''' 7KHLQÀXHQFHRIFRUWLFRPRWRU
H[FLWDELOLW\RQFRJQLWLYHDELOLWLHVLQFKLOGUHQERUQSUHWHUP/
6&+1(,'(51%851671(77(/%(&.05,'',1*
-3,7&+(55RELQVRQ,QVWLWXWH8QLYRI$GHODLGH6FKRI
3V\FKRORJ\8QLYRI$GHODLGH
''' 5HODWLRQVKLSVEHWZHHQOLIHVW\OHIDFWRUV
DQGFRJQLWLYHSHUIRUPDQFHDQRQOLQHVWXG\LQFOXGLQJ
!SDUWLFLSDQWV-+$5'<'$67(51%(5*.
%$//$5'%.$7=06&$1/21/XPRV/DEV
''' &KLOGUHQ¶VQRQV\PEROLFQXPHULFDO
DELOLWLHVDUHSUHGLFWHGE\IURQWDOOREHZKLWHPDWWHU
PLFURVWUXFWXUH$9,$528*(%'0&&$1'/,66
9DQGHUELOW8QLY
''' ,QGLYLGXDOGLIIHUHQFHVLQFRJQLWLYH
SHUIRUPDQFH5HODWLRQWREUDLQVWUXFWXUHDQGIXQFWLRQ&5
),*/(<($:8$+%+856760&28571(<-RKQV
+RSNLQV8QLY-RKQV+RSNLQV8QLY.HQQHG\.ULHJHU,QVW
''' )PULWRSUREHJHQGHUUHODWHGGLIIHUHQFHV
LQPXOWLWDVNLQJ076&+(51(**0/2,7)(/'(5
&1(83(556&+0,'7*:22'))$=(.$6
&(1=,1*(5)DFRI1DWXUDO6FL6DO]EXUJ,QVW)RU
3V\FKRORJ\0HG8QLYRI*UD].DUO)UDQ]HQV8QLYRI*UD]
''' 3V\FKRSDWK\PRGXODWHVGUXJFUDYLQJLQ
VXEVWDQFHGHSHQGHQWLQPDWHV/&23(*09,1&(17
-/-2%(/,863.1<$/$.$17,9'&$/+281.
$.,(+/8QLYRI1HZ0H[LFR0LQG5HV1HWZRUN8QLYRI
0DVVDFKXVHWWV
3267(5
&RJQLWLYH/HDUQLQJDQG0HPRU\6\VWHPV,,
''' S
7KHHIIHFWRILQDFWLYDWLRQRIGRUVRODWHUDO
SUHIURQWDOFRUWH['/3)&LQVSDWLDOGHOD\HGUHVSRQVHWDVN
E\WUDQVFUDQLDOPDJQHWLFVWLPXODWLRQ706LQPRQNH\V$
02&+,=8.,<2127,,-,0$.768768,*UDG6FKORI
/LIHVFL7RKRNX8QLY
''' &RPSDUDWLYHYLVXDOPHPRU\SURFHVVLQJ
DIWHUPHGLDOWKDODPLFGDPDJHLQKXPDQVDQGQRQKXPDQ
SULPDWHV$60,7&+(///$0,//(52[IRUG8QLY
5R\DO3ULQFH$OIUHG+RVS8QLYRI6\GQH\
''' 0RQNH\VFDQIRUPDQGXWLOL]HIXQFWLRQDO
FDWHJRU\3HUIRUPDQFHLQUHSHDWHGFRQFXUUHQWVWLPXOXV
UHZDUGUHYHUVDO<0$768,0<$0$'$7,,-,0$.
768768,7RKRNX8QLY
''' *HQHUDOL]DWLRQRIVKDSHGLVFULPLQDWLRQLQ
WKHFRPPRQPDUPRVHWV&DOOLWKUL[MDFFKXV<<$0$=$.,
06$,.,0,1$'$6:$7$1$%($,5,.,.HLR8QLY
5,.(1%6,
''' 0DSSLQJWKHGHSWKGHSHQGHQFHDQG
HQVHPEOHG\QDPLFVRIVSDWLDOZRUNLQJPHPRU\LQPDFDTXH
SUHIURQWDOFRUWH['$0$5.2:,7=%3(6$5$11HZ
<RUN8QLY1HZ<RUN8QLY
''' 6RPDQVXUYLYRUVVKRZLPSDLUPHQWVLQWKH
DTXLVLWLRQDQGSHUIRUPDQFHRIDQRSHUDQWWLPLQJWDVN/5
+$0,/721-+0&'2128*+$-%219,//$,1-'
0&021$*/(700<(5686$UP\0HG5HV,QVWRI
&KHP'HI
''' %UDLQDFWLYDWLRQDQGDSSUDLVDORIK\SR[LD
LQWZRVWUDLQVRIUDLQERZWURXW2QFRUK\QFKXVP\NLVV
GLVSOD\LQJGLYHUJHQWVWUHVVFRSLQJVW\OHV002/7(6(1
6:,1%(5*/(%%(6621(+g*/81'7HFK8QLYRI
'HQPDUN8QLYRI8SSVDOD8QL(QYLURQPHQW8QL5HV$6
''' 'LIIHUHQWLDOQHXUDODFWLYDWLRQE\KXPDQ
IDFHVYHUVXVSUHGDWRUVLQWKHZLOG$PHULFDQFURZDV
UHYHDOHGE\)'*PLFUR3(7EUDLQPDSSLQJ'-&5266
50,<$2.$60,126+,0$-0$5=/8))8QLY
:DVKLQJWRQ0HG6FK8RI:DVKLQJWRQ8QLY:DVKLQJWRQ
0HG6FK8RI:DVKLQJWRQ
''' _K\GUR[\_SUHJQDQRQH
DOORSUHJQDQRORQHGRHVQRWDIIHFWVRFLDOFRRSHUDWLRQVSDWLDO
PHPRU\RUFRJQLWLYHÀH[LELOLW\EXWPD\LPSURYHQRQVSDWLDO
REMHFWPHPRU\ZKHQFRDGPLQVWHUHGZLWKVXEWKUHVKROG
GDPSKHWDPLQH0:2'.$6%+$570$1(+$85<
7%$1.6.7+20$6%%(&.(5*37,1./(5
,OOLQRLV:HVOH\DQ8QLY
S
''' (DUO\SURWHLQPDOQXWULWLRQLPSDLUV
GLIIHUHQWPHPRU\GRPDLQVLQUDWV11%5$*$66
$/0(,'$8QLY'H6mR3DXOR
''' $03$UHFHSWRUVPRGXODWHSDVVLYH
DYRLGDQFHGH¿FLWVLQGXFHGE\VOHHSGHSULYDWLRQ'&
+,32/,'()3'8%,(/$&0748(,52=.0
025(,5$-112%5(*$678),.8QLY)HGHUDO'H
6DR3DXOR8QLY)HGHUDOGR5LR*UDQGHGR1RUWH&WUIRU
$GGLFWLRQDQG0HQWDO+OWK
''' ,PSDLUHGVSDWLDOOHDUQLQJLQ
*ULQDGHOWD3.&PLFHZLWK3.&SKRVSKRU\ODWLRQVLWH
PXWDWLRQVLQ15$'%$/8-96&+0,'7-3
/(21$5'8QLYRI,OOLQRLV&KLFDJR
''' (IIHFWVRIPHWK\OGRQRUVGH¿FLHQWGLHWRQ
FRJQLWLYHIXQFWLRQV+720,=$:$'0$768=$:$'
,6+,,60$768'$&6872+(6+,0,=8&KLED8QLY
*UDG6FKRI0HG5HV&WUIRU&KLOG0HQWDO'HYHORSPHQW
8QLYRI&KLED
''' &DUGLDFDUUHVWLQGXFHVFRJQLWLYHGHFOLQH
DQG&$QHXURQDOGHDWKLQDJHGUDWV&&2+$1-7
1(80$110%,1.(57.5'$9(&:5,*+70$
3(5(=3,1=218QLYRI0LDPL
''' 1HWZRUNSURSHUWLHVRIFRPSOH[PD]HV
LQÀXHQFHH[SORUDWLRQDQGVSDWLDOOHDUQLQJLQURGHQWV.5
%$5721&(//$5'8QLYRI:DWHUORR
''' 6H[GLIIHUHQFHVLQWKHUHODWLRQVKLS
EHWZHHQDQ[LHW\OHYHODQGOHDUQLQJVWUDWHJ\LQSUHSXEHUWDO
UDWV(0*5,6620:+$:/(<*'2+$1,&+7XODQH
8QLY7XODQH8QLY
''' 3URSUDQROROEORFNVWKHPHPRU\
HQKDQFLQJHIIHFWRISRVWWUDLQLQJFRUWLFRVWHURQHRQKDELW
OHDUQLQJ./(21*0*3$&.$5'7H[DV$08QLY
''' S3RWHQWLDWHGDURXVDOVWDWHFRQYHUWV
VKRUWWHUPWRORQJWHUPPHPRU\LQQRYHOREMHFWUHFRJQLWLRQ
SDUDGLJP.'(6+3$1'(60225(**0853+<
8QLYRI0LFKLJDQ8QLYRI0LFKLJDQ
''' &RUWLFRVWHURQHLQIXVHGLQWRWKH
GRUVRPHGLDOVWULDWXPVHOHFWLYHO\HQKDQFHVVSDWLDOVWUDWHJ\
LQWKH7ROPDQPD]HWDVN&6,//(53e5(=16(5$)Ë1
9(63,12=$*21=È/(=5$35$'2$/&$/È%
522=(1'$$/*/48,5$57(,1%81$06HFWLRQ
$QDWRP\8QLY0HG&WU*URQLQJHQ
''' (IIHFWVRISRVWWULDOLQMHFWLRQVRIDQ
LQKLELWRURI51$PV\QWKHVLVLQWKHGRUVDOKLSSRFDPSXVRQ
PHPRU\FRQVROLGDWLRQRIHQKDQFHGLQKLELWRU\DYRLGDQFH0
(7255(6*$5&Ë$$&0(',1$*/48,5$57(5
$35$'2$/&$/È,QVWGH1HXURELRORJLD81$0
''' (IIHFWRIDSURWHLQV\QWKHVLVLQKLELWRU
DQLVRP\FLQRQPHPRU\FRQVROLGDWLRQRIHQKDQFHGLQKLELWRU\
DYRLGDQFHWUDLQLQJ<-8È5(=$&0(',1$*/
48,5$57(5$35$'2$/&$/$,QVWRI1HXURELRORJ\
1DWO8QLY0H[LFR
''' 0HPRU\UHWULHYDOLQGXFHVH[SUHVVLRQRI
DUFDQG]LILQVWULDWXPDQGDP\JGDOD6*21=$/(=$
$17$5$0,$1$0(',1$)5$*262*/48,5$57(
5$35$'2$/&$/$,QVWGH1HXURELRORJLD81$0,QVW
GH1HXURELRORJLD81$0
S
''' ,QIXVLRQRI*$76DSRULQLQWRWKH
PHGLDOVHSWXPVSDUHVPQHPRQLFIXQFWLRQDQGLPSDLUV
VHOIPRYHPHQWFXHSURFHVVLQJ-5.233(166
678(%,1*66:,17(5-/&+($7:22''*
:$//$&(1RUWKHUQ,OOLQRLV8QLY6RXWKHUQ,OOLQRLV8QLY
6FKRI0HG
''' S(YDOXDWLQJVH[GLIIHUHQFHVLQVHOI
PRYHPHQWFXHSURFHVVLQJGXULQJDIRRGKRDUGLQJWDVN
$$%/$&.:(//66678(%,1*$$),11(<-
5.g33(166:,17(5/0$786=(:,&+'*
:$//$&(1RUWKHUQ,OOLQRLV8QLY
''' (OHFWULFDOVWLPXODWLRQWRWKHDP\JGDOD
PRGXODWHVDFWLYLW\LQWKHLSVLODWHUDOKLSSRFDPSXV',
%$66.13$57$,1$:$1*=*1,=$0-'8$1
-50$116(PRU\8QLY(PRU\8QLY(PRU\8QLY
''' 5HFRJQLWLRQPHPRU\DQGJDPPD
FRKHUHQFHLQWKHUDWKLSSRFDPSXV-%75,03(55
$67()$1(6&806%5$1'):*(7$1(+-5
0$116(PRU\8QLY8QLYRI)ORULGD
''' (DUO\EHKDYLRUDOSKHQRW\SHVRID
PRXVHWDXRSDWK\PRGHODQGLWVFRQWUROV'%5811(5'
&211259$/(;$1'5299,6720,10'2/*8,.+
3':(6(6$%$7+.&$9,1262$.(6+277
7+$1$1,$'0%$57(11;%$55(7=8(7$0
.$+/,-$1,$13V\FKRJHQLFV,QF%ULVWRO0\HUV6TXLEE
1HXURVFL'UXJ'LVFRYHU\
''' 3LJHRQVRQSDUZLWKSULPDWHVLQQXPHULFDO
FRPSHWHQFH'6&$5)++$<1(10&1$8*+721
0&2/20%28QLYRI2WDJR8QLYRI2WDJR
3267(5
)HDU/HDUQLQJDQG([WLQFWLRQ$P\JGDOD+LSSRFDPSXV
DQG3)&
''' 7KHHIIHFWVRIIHDUFRQGLWLRQLQJDQG
H[WLQFWLRQRQKLSSRFDPSDOSODFHFHOOUHSUHVHQWDWLRQV0(
:$1*5.<8$1,$08==,28QLYRI3HQQV\OYDQLD
8QLYRI3HQQV\OYDQLD
''' ,QDFWLYDWLRQRIWKHYHQWUDOKLSSRFDPSXV
EXWQRWEDVRODWHUDODP\JGDODGHFUHDVHVEXUVWLQJLQ
LQIUDOLPELFSUHIURQWDOFRUWH[.48,121(6/$5$&8(17(
)6275(6%$<21*-48,5.8QLYRI3XHUWR5LFR6FK
0HG
''' &RQWULEXWLRQVRISUHIURQWDOFRUWH[
KLSSRFDPSXVDP\JGDODDQGDFFXPEHQVWRWKHH[SUHVVLRQ
RIDFWLYHDYRLGDQFH&%5$925,9(5$(%5,*121,
3(5(=)6275(6%$<21*-48,5.8QLY3XHUWR
5LFR6FK0HG
''' ,QWHUDFWLRQVEHWZHHQPDPPDOLDQWDUJHW
RIUDSDP\FLQP725DQGH[WUDFHOOXODUVLJQDOUHJXODWHG
NLQDVH(5.LQWKHDP\JGDODDQGKLSSRFDPSXVGXULQJ
WKHFRQVROLGDWLRQRIIHDUPHPRU\0(/21(5*$1
5-/(,'(/)-+(/067(77(58QLYRI:LVFRQVLQ
0LOZDXNHH
''' 3UHQDWDOQLFRWLQHH[SRVXUHDQG
PHFKDQLVPRIPHPRU\LPSDLUPHQWLQRIIVSULQJ0$
%8$%(,'6%+$77$&+$5<$9'6833,5$0$1,$0
0$+8-$0'+$1$6(.+$5$1.3$5$0(6+:$5(1
($$%'8/5$+0$1%$8*6%85*(55$0,1$XEXUQ
8QLY$XEXUQ8QLY
''' 'RGLIIHUHQWOHYHOVRISURWHLQV\QWKHVLV
SURGXFHGLIIHUHQWLDOHIIHFWVRQORQJWHUPPHPRU\"$&
0(',1$)5$*262$*1$9$5526*21=$/(=
6$/,1$6$$17$5$0,$1*48,5$57(5$35$'2
$/&$/$1DWO8QLY0H[LFR8QLY4XHUHWDUR1DWO8QLY
0H[LFR8QLY4XHUHWDUR
''' 7KHUROHRIQHXURQDOQLWULFR[LGHLQWKH
DFTXLVLWLRQDQGSHUIRUPDQFHRIWZRZD\DFWLYHDYRLGDQFHLQ
PLFH<*$26$+(/'78QLYRI7HQQHVVHH+OWK6FL
&WU
''' &KDUDFWHUL]DWLRQRIDPLFUR51$WKDW
HQKDQFHVOHDUQLQJDQGPHPRU\9-29$6(9,&-
5$'8/29,&1RUWKZHVWHUQ8QLY
((( $FXWHPRUSKLQHDIWHUIHDUOHDUQLQJ
,PSOLFDWLRQVIRUVH[VSHFL¿F376'WUHDWPHQW(03e5(=
7255(6'/5$0262572/$=$-.$/9$5$'2(
6$17,1,$7255(65(9(5213RQFH6FKRI0HGDQG
+OWK6FL1RYD6RXWKHDVWHUQ8QLY8QLYRI3XHUWR5LFR
''' 7KHDSXULQLFDSXULPLGLQLFHQGRQXFOHDVH
DSH[SOD\VDUROHLQORQJWHUPPHPRU\RQFRQWH[WIHDU
FRQGLWLRQLQJ03(5(=&$5$0%27$9È=48(=1<
2&$6,2($3e5(=.3%(7$1&285795,9(5$
;),*8(52$$&È7$/$63(f$'(257,=8QLYRI
3XHUWR5LFR5LR3LHGUDV&DPSXV
3267(5
''' 'LIIHUHQWLDOSDWWHUQVRIOHDUQLQJLQGXFHG
$5&SURWHLQH[SUHVVLRQZLWKLQWKH&$DQG&$VXE¿HOGVRI
GRUVDODQGYHQWUDOKLSSRFDPSXV&'+8'*,167%(1
+$586+6.,//,$16.,727725XWJHUV8QLY
((( (IIHFWVRIGRSDPLQHUHFHSWRUDQWDJRQLVP
RQWKHGHVWDELOLVDWLRQRIDP\JGDODGHSHQGHQWDSSHWLWLYHRU
DYHUVLYHPHPRULHV$/0,/721(&,/,2,35$7$12
(0(5/2&$0%$1121-&%5$'/(<:$7621
5+$53(5%-(9(5,778QLYRI&DPEULGJH
''' 7KHOHDUQLQJGHSHQGHQWHQKDQFHPHQWRI
$5&WUDQVFULSWLRQZLWKLQGRUVDODQGYHQWUDOKLSSRFDPSXVLV
EORFNHGE\10'$UDQWDJRQLVP7$2772<.80$7$
&&+,$-&=(51,$:6.,)5((5XWJHUV8QLY5XWJHUV
8QLY8QLYRI&DOLIRUQLD,UYLQH
''' 'LIIHUHQWLDO([SUHVVLRQRIHJUP51$
LQWKHSUHIURQWDOFRUWH[DQGKLSSRFDPSXVLQWKHFRQWH[W
SUHH[SRVXUHIDFLOLWDWLRQHIIHFW&3)(GXULQJDGROHVFHQFH
$$62.6$-$%/216.,:%6&+5(,%(5-%
526(10(67$17218QLYRI'HODZDUH
''' ,PSRUWDQWUROHRIWKH10'$UHFHSWRU
IXQFWLRQLQWKHEDVRODWHUDODP\JGDODIRUWKHUHWULHYDORI
FXHGIHDUPHPRULHV5635(1*(/'$5&26'Ë$=
3%277$,%(572&&+,*'2*%(9,$$/h7+,0
7+$6$1'HSWRI0RO1HXURELRORJ\0D[3ODQFN,QVW
IRU0HG5HV0D[3ODQFN,QVWIRU0HG5HV)ULHGULFK
0LHVFKHU,QVWIRU%LRPHG5HV0D[3ODQFN,QVWIRU0HG
5HV
''' %$&WUDQVJHQLFFKHPLFDOJHQHWLF
RYHUH[SUHVVLRQRIDOSKD&D0.,,JHQHUDWHVUHYHUVLEOH
PHPRU\GH¿FLWV$)5$1.'&$,-6+2%($6,/9$
8&/$
''' )RUPDWLRQRIGLVWLQFWFHOOSRSXODWLRQV
LQWKHODWHUDODP\JGDODDIWHUDXGLWRU\IHDUFRQGLWLRQLQJ$
FRPSXWDWLRQDOPRGHO'.,0'3$5(661$,58QLYRI
0LVVRXUL&ROXPELD5XWJHUV6WDWH8QLY
''' 'HYHORSPHQWRIUHGXFHGRUGHU
ELRORJLFDOO\UHDOLVWLFFHOOPRGHOV'.,0635$1,7<
&+(1661$,58QLY0LVVRXUL&ROXPELD
$SSHWLWLYHDQG'UXJ0HPRU\5HFRQVROLGDWLRQDQG
([WLQFWLRQ
((( $QLVRP\FLQLQWKHPHGLDOSUHIURQWDO
FRUWH[VXSSUHVVHVUHFRQVROLGDWLRQRIFRFDLQHDVVRFLDWHG
PHPRULHVDIWHUH[WLQFWLRQEXWQRWIRUFHGDEVWLQHQFHLQWKHUDW
VHOIDGPLQLVWUDWLRQPRGHO572''%625*06/$.(5
/&+85&+,//:DVKLQJWRQ6WDWH8QLY
((( &ULWLFDOUROHIRUGRUVDOKLSSRFDPSXVLQ
UHFHQWGUXJFXHPHPRULHV;<;8(-/,8/;8(<
+(-+(//83HNLQJ8QLY
((( 6UFW\URVLQHNLQDVHLQWKHGRUVDO
KLSSRFDPSXVUHJXODWHVFRFDLQHPHPRU\UHFRQVROLGDWLRQ$
0:(//6;;,($$$5*8(//20$%/$1721$
05(,77,1*(56-675,1*),(/'5$)8&+68QLY
RI1RUWK&DUROLQD$W&KDSHO+LOO
((( 3URWHLQNLQDVH$LQWKHEDVRODWHUDO
DP\JGDODFRQWUROVWKHUHFRQVROLGDWLRQRIFRQWH[WXDOFRFDLQH
PHPRULHVWKDWSURPRWHFRFDLQHVHHNLQJEHKDYLRU$$
$5*8(//2$0:(//60$+2'*(6+/$5$UG
;;,(6-675,1*),(/'5$)8&+68QLYRI1RUWK
&DUROLQD&KDSHO+LOO
((( 5ROHRIQLFRWLQLFDFHW\OFKROLQHUHFHSWRUV
LQFRFDLQHFRQWH[WLQGXFHGLPSXOVLYHGHFLVLRQPDNLQJLQ
UDWV;;,($$$5*8(//2$05(,77,1*(5$0
:(//65$)8&+68QLY1RUWK&DUROLQD8QLYRI1RUWK
&DUROLQDDW&KDSHO+LOO
((( 3RVWVHVVLRQDQLVRP\FLQLQIXVLRQLQWR
DP\JGDODFHQWUDOQXFOHXVGLVUXSWVHQKDQFHGUDWHRIOHDUQLQJ
)6&+,)),123+2//$1'-RKQV+RSNLQV8QLY
''' $ELRORJLFDOO\UHDOLVWLFFRPSXWDWLRQDO
PRGHORIWKHKLSSRFDPSXV&)5$1./,1$+800269
6.*8178661$,58QLYRI0LVVRXUL
((( &KDUDFWHUL]DWLRQRI$UFH[SUHVVLRQLQ
FRUWLFROLPELFDUHDVDVDUHVXOWRIFRFDLQHFXHPHPRULHV
<$/$*+%$1'$-.+$/$-$-6&+,))0$1-)
*8=2:6.,-)0$56+$//8QLYRI&DOLIRUQLD,UYLQH
((( 'LVWLQFWWRQHUHVSRQVLYHFHOOSRSXODWLRQV
LQWKHEDVDODP\JGDODDIWHUIHDUWUDLQLQJ$PRGHOLQJ
VWXG\<&+(1'3$5e661$,58QLYRI0LVVRXUL
&ROXPELD5XWJHUV6WDWH8QLY
((( 10'$UHFHSWRUDQWDJRQLVWV0.
DQGPHPDQWLQHLQWHUIHUHZLWKFRFDLQHLQGXFHGFRQGLWLRQHG
DFWLYLW\-)0$56+$//<$/$*+%$1'6$=$51,$$
-.+$/$-8QLYRI&DOLIRUQLD,UYLQH
((( 6XSSUHVVLRQRINK]XOWUDVRQLF
YRFDOL]DWLRQVDVDVHQVLWLYHPHDVXUHRIUHQHZDOLQWKHIHDU
FRQGLWLRQHGUDW(:/$5621.+211572''-
3$1.6(33%625*:DVKLQJWRQ6WDWH8QLY:DVKLQJWRQ
6WDWH8QLY
((( 5ROHRIWKHQRUDGUHQHUJLFORFXV
FRHUXOHXVFRPSOH[LQPHPRU\FRQVROLGDWLRQGXULQJ
UHDFTXLVLWLRQRIKHURLQSODFHSUHIHUHQFH(/&800,16
(%28*+1(5-*5$17$5,&&+(77,'
.:,$7.2:6.,)/(5,8QLY*XHOSK
((( )HPDOHVDUHSURWHFWHGIURPWKHHIIHFWVRI
FKURQLFPRUSKLQHZKLOHPDOHVDUHLPSDLUHGLQIHDUH[WLQFWLRQ
DQGUHFDOO'/5$0262572/$=$(03(5(=
7255(6-.$/9$5$'2$7255(65(9(521(
6$17,1,1RYD6RXWKHDVWHUQ8QLY3RQFH6FKRI0HGDQG
+OWK6FL8QLYRI3XHUWR5LFR
((( $GHQRVLQHUHFHSWRUVWLPXODWLRQGXULQJ
H[WLQFWLRQWUDLQLQJSURGXFHVODVWLQJHIIHFWVRQFRFDLQH
VHHNLQJ&(2¶1(,//%'+2%6215.%$&+7(//
8QLYRI&RORUDGR
S
((( &RFDLQHEXWQRWPRUSKLQHVHOI
DGPLQLVWUDWLRQLPSDLUVRYHUH[SHFWDWLRQLQGXFHG
H[WLQFWLRQOHDUQLQJ)/8&$1721,2<6+$+$0*
6&+2(1%$801,'$8QLYRI0DU\ODQG
((( &KDUDFWHUL]LQJWKHUROHRIVDSLQ
QXFOHXVDFFXPEHQVPHGLXPVSLQ\QHXURQVDIWHUFRFDLQH
WUHDWPHQW3$1(80$11<'21*26&+/h7(5
8QLYRI3LWWVEXUJK8QLYRI3LWWVEXUJK(XURSHDQ1HXURVFL
,QVW
((( 'LVUXSWLRQRIUHFRQVROLGDWLRQGLVUXSWV
PDLQWHQDQFHRIWKHSHUVLVWHQWSUHV\QDSWLFVWUXFWXUDOFKDQJHV
WKDWDFFRPSDQ\ORQJWHUPIDFLOLWDWLRQLQ$SO\VLD3<681
6&+(1'&$,$&52%(576'*/$1=0$18QLYRI
&DOLIRUQLD/RV$QJHOHV8QLYRI&DOLIRUQLD/RV$QJHOHV
'DYLG*HIIHQ6FKRI0HGDW8&/$,QWHJUDWLYH&WU/HDUQ
0HP
((( ,QYHVWLJDWLQJUHPDSSLQJDQGUHSOD\LQD
VSDWLDOPHPRU\UHFRQVROLGDWLRQWDVNLQUDWV%--21(6
'/<77/(=75$+$107$76812-)(//2868QLY
$UL]RQD8QLYRI$UL]RQD8QLYRI/HWKEULGJH
((( +HURLQDOWHUVOHDUQLQJSURFHVVHVWKDW
PHGLDWHFRQGLWLRQHGUHLQIRUFHPHQW-0255,621$
$1251+(00(655$1$/',4XHHQV&RO&81<7KH
*UDG&WU4XHHQV&ROOHJH&81<
((( S'LIIHUHQWLDOHIIHFWVRIFLJDUHWWHVPRNH
FRQWDLQLQJHLWKHUKLJKRUORZOHYHOVRIQLFRWLQHGXULQJ
DGROHVFHQFHRQORFRPRWRUDFWLYLW\DQGQRYHOW\VHHNQJ
EHKDYLRU0&*87+,(55(=$&0$1+(6&&
),/*8(,5$6&&&$9,1$91$,))$5&$59$/+2
<$9,//$d$8QLY'R(VWDGR'R5LR'H-DQHLUR8QLYGR
(VWDGRGR5LRGH-DQHLUR
3267(5
/HDUQLQJDQG0HPRU\+LSSRFDPSDO&LUFXLWV,
((( 4XDQWL¿FDWLRQDQGPRGHOLQJRI
HOHFWURSK\VLRORJLFDOSKHQRW\SHVRIKLSSRFDPSDOQHXURQV
$2.20(1'$1729'::+((/(5&/5((6'
-+$0,/721&0:+,7(*$$6&2/,*HRUJH0DVRQ
8QLY
((( 7KH+LSSRFDPSRPH1HXURQ
FODVVL¿FDWLRQDQGNQRZOHGJHEDVHIRUWKHURGHQW
KLSSRFDPSXV'::+((/(5&:+,7(&/5((6'
-+$0,/721$2.20(1'$1729670$&.(6(<*
$$6&2/,7KH.UDVQRZ,QVW)RU$GYDQFHG6WXG\
((( 1HXURLQIRUPDWLFLQIUDVWUXFWXUHIRU
DNQRZOHGJHEDVHRIKLSSRFDPSXVQHXURQV'-
+$0,/721'::+((/(5$2.20(1'$17296
70$&.(6(<&/5((6&0:+,7(*$$6&2/,
*HRUJH0DVRQ8QLY
S
((( +LSSRFDPSDOULSSOHVSUHGLFWVXEVHTXHQW
IRUJHWWLQJLQPDFDTXHV%1&$66,'<7./(21$5'
()0853+<./+2))0$13HUFHSWLRQDQG3ODVWLFLW\
/DERUDWRU\<RUN8QLY
((( +LSSRFDPSDORVFLOODWLRQVGXULQJ
PHPRU\GULYHQYLVXDOH[SORUDWLRQLQWKHPDFDTXH5
0217()86&26,(*081'7./(21$5'()
0853+<./+2))0$1<RUN8QLY&WUIRU9LVLRQ5HV
<RUN8QLY<RUN8QLY<RUN8QLY
((( 7DUJHWGHWHFWLRQDQGQHXUDOSUHGLFWRUV
RIVXEVHTXHQWPHPRU\7./(21$5'9&+$8()
0853+<./+2))0$1<RUN8QLY<RUN8QLY
((( 5LSSOHHYHQWVLQPRXVHKLSSRFDPSDO
((*UHÀHFWSULRUEHKDYLRUDOH[SHULHQFH&0$/7,086-
+$552/'')267(5-RKQV+RSNLQV6FKRI0HG
((( 3DUVLQJRIH[WHQGHGKLSSRFDPSDOUHSOD\V
LQD<PD]H'-)267(5;:8-RKQV+RSNLQV8QLY
6FKRI0HG
((( 5HSOD\PHPRU\UHTXLUHV10'$
UHFHSWRUVIRUHQFRGLQJEXWQRWUHWULHYDODQGSHUVLVWVZLWKRXW
GHJUDGDWLRQIRUPDQ\KRXUVDIWHUWKHHQFRGLQJH[SHULHQFH
'6,/9$7)(1*')267(5-RKQV+RSNLQV8QLY6FK
2I0HG
((( +LSSRFDPSDOUHSOD\VPRGXODWHSUHIURQWDO
QHXURQDODFWLYLWLHVLQDVSDWLDODOWHUQDWLRQWDVN;:8'
)267(5-RKQV+RSNLQV8QLY6FK2I0HG
((( 6HTXHQWLDODFWLYDWLRQRIKLSSRFDPSDO
SODFHFHOOVGXULQJUHSOD\VORZVGRZQZLWKH[SHULHQFH7
)(1*'6,/9$')267(5-RKQV+RSNLQV8QLY620
((( 6HOHFWLYHLPSDLUPHQWRIKLSSRFDPSDO
VKDUSZDYHULSSOHVDQGPHPRU\UHDFWLYDWLRQLQDPRXVH
PRGHORIFRJQLWLYHGLVHDVH-68+'-)267(5+
'$928',0$:,/6216721(*$:$0,70,77KH
-RKQV+RSNLQV8QLY6FKRI0HG7KH-RKQV+RSNLQV8QLY
6FKRI0HG
((( 6LJQL¿FDQFHRIWRSRJUDSKLFDOO\
FRQVWUDLQHGFRQQHFWLYLW\IRUDODUJHVFDOHPRGHORI
WKHKLSSRFDPSXV*-<8%652%,16213
+(1'5,&.621'621*7:%(5*(586&
((( &UHDWLRQRIDODUJHVFDOHELRORJLFDOO\
UHDOLVWLFPRGHORIWKHKLSSRFDPSXV3+(1'5,&.621*
-<8%652%,1621'621*7:%(5*(586&
((( ,QFRUSRUDWLRQRIV\QDSWLFSODVWLFLW\UXOHVLQ
DODUJHVFDOHPRGHORIWKHKLSSRFDPSXV%52%,1621*
-<83+(1'5,&.621'621*7:%(5*(586&
((( 7KHUROHRIWKHYHQWUDOGHQWDWHJ\UXVLQ
ROIDFWRU\OHDUQLQJDQGPHPRU\&6:(('(11-+8/
81+253.(61(58QLYRI8WDK
((( $WZRFRPSRQHQWPRGHORIKLSSRFDPSDO
SKDVHSUHFHVVLRQ)6&+$1&(-&0$*((-DQHOLD
)DUP5HV&DPSXV+RZDUG+XJKHV0HG,QVW
((( 7KHHIIHFWRIGHOD\GHSHQGHQWZRUNLQJ
PHPRU\GHPDQGRQKLSSRFDPSDOSUHIURQWDOV\QFKURQ\
GXULQJDZDNHEHKDYLRUDQGVOHHS+/+$//2&.$/
*5,)),18QLYRI'HODZDUH
((( $FHOOXODUPRGHORIPHPRU\
UHFRQVROLGDWLRQ5HDFWLYDWLRQGHSHQGHQWGHVWDELOL]DWLRQDQG
UHVWDELOL]DWLRQDWWKHVHQVRU\WRPRWRUQHXURQV\QDSVHLQ
$SO\VLD-'26/((&.:$.-6+,0-.,0+.,0
'-$1*-/((./((0&0,1,$&,&+%$,/(<
(5.$1'(/%.$$1*6HRXO1DWO8QLY6HRXO1DWO
8QLY6HRXO1DWO8QLY.\XQJSRRN1DWO8QLY+DQQDP
1DWO8QLY.\XQJSRRN1DWO8QLY&ROXPELD8QLY
((( 0ROHFXODUSUR¿OLQJLQDNQRZOHGJHEDVH
RIKLSSRFDPSDOQHXURQV&/5((6&0:+,7(':
:+((/(5'-+$0,/721$2.20(1'$17296
70$&.(6(<*$$6&2/,.UDVQRZ,QVWIRU$GYDQFHG
6WXG\
((( (UDVXUHRIKLSSRFDPSDOOHDUQLQJDQG
SODVWLFLW\IROORZLQJWUDQVLHQWEORFNDGHRIGHQWDWHJ\UXV1
0$'521$/-'(/*$'2*$5&Ë$$)(51È1'(=
*8,=È1-&+$77(5-((0.g+1$-$,17
76(76(1,6&*5266$*58$57(XURSHDQ0RO%LRO
/DE8QLY3DEORGH2ODYLGH(XURSHDQ0RO%LRO/DE
((( &RQVROLGDWLRQRIV\QDSWLFSDWWHUQV
IURPSUR[LPDOLQWRGLVWDOGHQGULWHVRIDKLSSRFDPSDO&$
S\UDPLGDOQHXURQ0:5(00(+635(.(/(58
%(5*0$1166&+5(,%(55.(037(5+XPEROGW
8QLYHUVLWDHW=X%HUOLQ
((( S7UDQVJHQLFDFWLYDWLRQRIWKHVDPH
HQWRUKLQDOLQSXWVOHDGVWRWKHVDPHKLSSRFDPSDOQHWZRUN
UHVSRQVH-5',&.,1621$3:(,%/('&
52:/$1'/'(%/$1'(5+:8&*.(17526
8QLY2UHJRQ17188QLYRI2UHJRQ
((( +LSSRFDPSXVLVFULWLFDOIRUGLVFULPLQDWLQJ
LGHQWLFDOREMHFWVXVLQJYLVXDOFRQWH[WLQWKHEDFNJURXQG-
/((6.,0,/((6HRXO1DWO8QLY
((( 7KHLQÀXHQFHRIHFWRSLFPLJUDWLRQ
RIGHQWDWHJUDQXOHFHOOVRQKLSSRFDPSDOIXQFWLRQ$
FRPSXWDWLRQDOPRGHO&(0<(56<-%(1()5$,0.
%(508'(=+(51$1'(=3$9&8+(6&+$5)0$1
'HSWRI9HWHUDQV$IIDLUV1HZ-HUVH\+HDOWKFDUH6\VW1HZ
-HUVH\0HG6FKRRO8QLYHUVLW\RI0HGDQG'HQWRI1HZ
-HUVH\1DWKDQ.OLQH,QVWIRU3V\FKLDWULF5HV1HZ<RUN
8QLY/DQJRQH0HG&WU
((( *OREDOHIIHFWVRIWKHWDSUHFHVVLRQRQWKH
KLSSRFDPSDOPHPRU\PDS<$'$%$*+,$10$5$,
-DQDQG'DQ'XQFDQ1HXURORJ5HV,QVWLWXWH%D\ORU&RORI
0HG-DQDQG'DQ'XQFDQ1HXURORJ5HV,QVWLWXWH%D\ORU
&RORI0HG
((( 6HOHFWLYHOHVLRQVRIWKHKLSSRFDPSXVLQ
UKHVXVPRQNH\VIDLOWRDIIHFWSHUIRUPDQFHDFURVVDEDWWHU\
RIVWDQGDUGPHPRU\WDVNV%=+$1*6)21*-<281*
&+(52/'($0855$<+(,&+(1%$8035
5$331,+1DWO,QVWRQ$JLQJ1,0+%RVWRQ8QLY
((( 7UDFHVRI0HPRU\LQ+LSSRFDPSDO
6\QDSVHV(-:$//$&($3$9/2:6.<-=+21*
$$)(1721-$/$5&21681<'RZQVWDWH681<
'RZQVWDWH0HG&WU681<'RZQVWDWH0HG&WU1HZ<RUN
8QLY
((( 0RGXODWLRQRIEHKDYLRUDORXWFRPHV
E\GLHWDU\FKROLQHLQPDOHUDWVZLWKH[WHQVLYHKLSSRFDPSDO
GDPDJH-(*$5'1(563$'81*7,1$7,/'(10
*/(11&ROE\&RO
((( 3UHSOD\RIVSDWLDOH[SHULHQFHLQWKHUDW
KLSSRFDPSXV*'5$*2,6721(*$:$0,7
((( 6WUHVVLQGXFHGVSDWLDOOHDUQLQJ
DQGPHPRU\GH¿FLWVDQGKLSSRFDPSDOQHXURSURWHFWLRQ
E\WKHJOXWDPDWHWUDQVSRUWHUDFWLYDWRUFHIWULD[RQH-
&0$56+$//-$6&+52('(5605$:/6
&RQQHFWLFXW&RO7HPSOH8QLY6FKRI0HG&WUIRU
6XEVWDQFH$EXVH5HVHDUFK7HPSOH8QLYHUVLW\
3267(5
5HZDUG0RWLYDWLRQDO0HFKDQLVPV
((( ([DPLQLQJWKHLQÀXHQFHRISXQLVKPHQW
RQWKHQHXUDOVXEVWUDWHVRILQKLELWRU\FRQWURORYHUDUHZDUG
UHODWHGVWLPXOXVLQRSLDWHXVHUV'2¶&211256
5266,7(55+(67(58QLYRI0HOERXUQH
((( 2SLDWHZLWKGUDZDOWULJJHUVDPROHFXODU
PHPRU\VZLWFKEHWZHHQH[WUDFHOOXODUVLJQDOUHJXODWHG
NLQDVHDQGDOSKDFDPNLLVLJQDOLQJVXEVWUDWHVLQWKH
EDVRODWHUDODP\JGDOD65/$9,2/(77('&/<216
:586+/2:8QLYRI:HVWHUQ2QWDULR8QLYRI:HVWHUQ
2QWDULR
((( &RGLQJRIUHZDUGXQFHUWDLQW\LQWKH
SULPDWHODWHUDOK\SRWKDODPLFQHXURQV$125,7$.(.
1$.$085$.DQVDL0HG8QLY
((( :KDWUROHGRHVRFWRSDPLQHSOD\
LQEHKDYLRUDOFRQWUROLQ'URVRSKLOD"&'$05$8-
&2/20%%%5(0%6)UHH8QLYRI%HUOLQ
((( &RQWULEXWLRQRIDYDOXDWLRQDQGDQHIIRUW
V\VWHPWRPRWLYDWLRQ$EHKDYLRUDODSSURDFKLQPRQNH\V$
6$1*$//,&9$5$==$1,6%285(7,QVWGX&HUYHDX
HWGHOD0RHOOH(SLQLHUH
((( ,PSDFWRIUHOD[LQ5;)3VLJQDOLQJ
GHOHWLRQRQYROXQWDU\DOFRKROFRQVXPSWLRQLQ&%/-
DOFRKROSUHIHUULQJPLFH$::$/.(5&060,7+$-
/$:5(1&($/*81'/$&+)ORUH\1HXURVFL,QVW
((( +LSSRFDPSDOLQSXWWRWKHQXFOHXV
DFFXPEHQVUHLQIRUFHVEHKDYLRUDQGGULYHVFRFDLQH
LQGXFHGORFRPRWLRQ-3%5,77)%(1$/,28$'5
$0&'(9,775$:,6($%21&,1DWO,QVW2Q'UXJ
$EXVH,531,+
((( 7ZRSDWKZD\VRIWKDODPLFFRUWLFDO
FRQQHFWLRQLQRSWRJHQHWLFVWLPXOL6/((.,67
((( 0RWLYDWLRQDOPRGXODWLRQRIGRSDPLQHUJLF
DQG*$%$HUJLFDFWLYLW\LQWKHVXEVWDQWLDQLJUD0$
5266,')$1-:%$57(5++<,1'XNH8QLY
((( 3DYORYLDQWRLQVWUXPHQWDOWUDQVIHULQ
DQDYRLGDQFHOHDUQLQJI05,WDVN$+/(:,60$
1,=1,.,(:,&=11$'/(5$5'(/$0$7(505
'(/*$'25XWJHUV8QLY'HSWRI3V\FKRORJ\8QLYRI
,OOLQRLV%URRNO\Q&RO&LW\8QLYRI1HZ<RUN
((( )RVH[SUHVVLRQDIWHUH[SRVXUHWRVRFLDO
DQGQLFRWLQHUHZDUGVRUUHZDUGFRQGLWLRQHGHQYLURQPHQWVLQ
DGROHVFHQWPDOHUDWV1$3($575(($0:,//,$06
/(+22'.1&+$1'/(5-*(21$*$50
%$67/(-/1(,6(:$1'(5$UL]RQD6WDWH8QLY$UL]RQD
6WDWH8QLY
((( ,QWHUDFWHGQHXURQDODFWLYLWLHVEHWZHHQ
KLSSRFDPSXVDQGDP\JGDODPRGXODWHGLVFULPLQDWLRQ
EHKDYLRUH[SHFWLQJIRUGLIIHUHQWSUREDELOLW\RIUHZDUGLQWKH
UDW67(5$'$67$.$+$6+,<6$.85$,.\WR8QLY
'RVKLVKD8QLY
((( 3RVVLEOHUROHVRIWKHSULPDWH
SDUDYHQWULFXODUWKDODPLFQXFOHXVLQPRWLYDWLRQDQGHIIRUW6
+21*2+,.26$.$1(,1,+
S
((( S9LVXDODWWHQWLRQWRKLJKFDORULFIRRG
LQPDOHVXEMHFWV'9(/$=48(=/23(=$726&$12
=$3,(1:=(3('$58,='9(/$=48(=0$57,1(=
8QLY1DFLRQDO$XWyQRPD'H0p[LFR8QLY1DFLRQDO
$XWRQRPDGH0H[LFR
((( S(IIHFWRIELQJHHDWLQJRYHUKXQJHU
DQGVDWLHW\FXHVLQUDWV(*)216(&$'(/$&58=
$$*2,7,$32/22$/9$5$'2&$55,//2'1
9(/È=48(=0$57Ë1(=8QLY1DFLRQDO$XWRQRPD'H
0p[LFR81$0
((( %UDLQVWLPXODWLRQUHZDUGWKUHVKROGV
DUHGHFUHDVHGE\DKLVWRU\RIELQJHOLNHIRRGLQWDNHEXW
LQFUHDVHGLQWKHSUHVHQFHRIELQJHUHODWHGFXHV6/
3$5</$.(3=255,//$7KH6FULSSV5HV,QVW8QLYRI
&DOLIRUQLD6DQ'LHJR
((( 1XFOHXVDFFXPEHQVFRUHQHXURQ¿ULQJ
LVPRGXODWHGE\PRWLYDWLRQDOVWDWH)$0%52**,1
2'($1+/),(/'68&6)*DOOR&WU
((( 6H[XDOEHKDYLRUUHODWHGQHXURQDO
UHVSRQVHVLQWKHQXFOHXVDFFXPEHQVVKHOORIPDOHUDWV
-0$7680272685$.$:$(+25,0)3'
$5$8-2<6$.80$7212+1,6+,-28QLYRI
7R\DPD8QLYRI7R\DPD1LSSRQ0HG6FK
((( 6HOHFWLYHOHVLRQVRISHGXQFXORSRQWLQH
WHJPHQWDOQXFOHXVFKROLQHUJLFFHOOVIDLOWRDIIHFWKHURLQ
RUFRFDLQHUHZDUGLQUDWV667(,'/+:$1*0
025$/(65$:,6(1DWO,QVW2Q'UXJ$EXVH
,QWUDPXUDO5HV3URJUDP1,+1DWO,QVWRQ'UXJ$EXVH
,QWUDPXUDO5HV3URJUDP1DWO,QVWRQ'UXJ$EXVH
,QWUDPXUDO5HV3URJUDP
((( 7KHHIIHFWRIIRUFHGH[HUFLVHRQUHZDUG
SURFHVVHVDVVHVVHGXVLQJGHOD\GLVFRXQWLQJFRQGLWLRQHG
SODFHSUHIHUHQFHIRUFRFDLQHDQGGHOWD)RV%LQWKH
QXFOHXVDFFXPEHQV70026&+$.1%0,1(56+
0,7&+(//2UHJRQ+OWK6FL8QLY
((( %UDLQVWLPXODWLRQUHZDUGDQGWKH
KLSSRFDPSXV*9(*$)/25(6$*58$57-0
'(/*$'2*$5&Ë$3DEOR'H2ODYLGH8QLY
((( 'HFUHDVHGPRWLYDWLRQDOYDOXHLQDQ
LQVWUXPHQWDOWDVNDIWHUDVLQJOHLQMHFWLRQRIKDORSHULGROZLWK
TXDQWLWDWLYHDVVHVVPHQWRIGRSDPLQH'OLNHUHFHSWRU
RFFXSDQF\<+25,<1$*$,$2+1,6+,768+$5$
70,1$0,02721DWO,QVWRI5DGLRORJLFDO6FL
((( (QFRGLQJRIUHZDUGVL]HDQGPRWRU
HIIRUWE\WRQLFDOO\DQGSKDVLFDOO\DFWLYHQHXURQVRIWKH
PRQNH\VWULDWXP65$9(/6128*$5(7,QVW'H
1HXURVFLHQFHV'H/D7LPRQH
((( ,QFUHDVHGIRRGPRWLYDWLRQDQG
LPSDLUHGEHKDYLRUDOLQKLELWLRQDIWHURSLRLGUHFHSWRU
VWLPXODWLRQLQWKHUDWSUHIURQWDOFRUWH[5$6(//(&.
0($1'5=(-(:6.,.6$'(*+,$1%$%$/'2
8QYL:LVFRQVLQ0DGLVRQ6FK0HG:DLVPDQ&WU8QLY
RI:LVFRQVLQ0DGLVRQ'HSW3V\FKLDWU\8QYL:LVFRQVLQ
0DGLVRQ6FK0HG
((( 6WXGLHVRQWKHHIIHFWVRIRSLRLG
UHFHSWRUVWLPXODWLRQLQSUHIURQWDOFRUWH[3)&5ROHLQ
3)&EDVHGFRJQLWLYHIXQFWLRQDQGDFWLYDWLRQRIDURXVDO
UHODWHGK\SRWKDODPLF3)&SURMHFWLRQWDUJHWV-'0(1$
5&63(1&(5&:%(55,'*(%$%$/'28QLYRI
:LVFRQVLQ0DGLVRQ8QLYRI:LVFRQVLQ0DGLVRQ8QLYRI
:LVFRQVLQ0DGLVRQ
S
1HXUDO3URFHVVLQJRI)HDUDQG$Q[LHW\,
((( &RPSDULVRQRIFRQGLWLRQHGIHDUEHKDYLRU
RI&%/VXEVWUDLQVLQFODVVLFDOWHVWVYHUVXVDQDXWRPDWHG
KRPHFDJH'XDO&DJHHQYLURQPHQW7+$*(561
0$1,9$11$1-<281$:3,(1(0$15)-$16(1
267,('/6\OLFV%9%LREVHUYH988QLY
((( 7KHG\QDPLFVRIFRQGLWLRQHGIHDU
EHKDYLRURI&%/-PLFHLQDQDXWRPDWHGKRPHFDJH
'XDO&DJHHQYLURQPHQW267,('/610$1,9$11$1
7+$*(5$:3,(1(0$15)-$16(1988QLY
%LREVHUYH6\OLFV%9988QLY
((( 1HXUDOVXEVWUDWHVPHGLDWLQJWKH
HPRWLRQDOUHVSRQVHWRDWKUHDW-56+80(1'&
.1,*+7.+:22'8$%&LYLWDQ5HV&WU8$%&LYLWDQ
5HV&WU8$%&LYLWDQ5HV&WU
((( (PRWLRQDOPRGXODWLRQRIWKHVWDUWOH
UHVSRQVHZLWKLQWKHDP\JGDOD.+:22'/:9(5
+2()'&.1,*+78QLYRI$ODEDPDDW%LUPLQJKDP
'HSWRI3V\FKRORJ\8QLYRI$ODEDPDDW%LUPLQJKDP
((( +XPDQIHDUFRQGLWLRQLQJLQWKHDEVHQFH
RIDIXQFWLRQDODP\JGDOD'5%$&+5+85/(0$115
-'2/$18QLY&RO/RQGRQ8QLYRI%RQQ
((( 3KDUPDFRJHQHWLFDFWLYDWLRQRI
&&.LQWHUQHXURQVLQODWHUDODP\JGDODQXFOHLLQFUHDVHV
XQFRQGLWLRQHGDFRXVWLFVWDUWOHUHVSRQVHVLQPLFH7
&855<6520$1(6&8-.,0-<(20$168QLYRI
7RURQWR8QLYRI7RURQWR
))) ,QYHVWLJDWLRQRIWKHLQWHUDFWLRQEHWZHHQ
HQYLURQPHQWDQGJHQHWLFLQÀXHQFHVLQWKHDQ[LHW\
GLVRUGHUVHWLRORJ\WKURXJKFURVVEUHHGLQJSURFHGXUH(/
0(,5(//(6&(%6,/9$9&*20(6)35266(7,
05,%(,523)*$5',12-/$1'(,5$)(51$1'(=
3XF5LR8)5-38&5LR8)5-
))) $FXSUHVVXUHIRUDQ[LHW\LQSUHKRVSLWDO
WUDQVSRUWVHWWLQJV$V\VWHPDWLFUHYLHZDQGPHWDDQDO\VLV
(/((-<22-/((6&+2&RORI1XUVH6FLHQFH
.\XQJ+HH8QLY'DQNRRN8QLY+LJK6FK&RORI.RUHDQ
0HGLFLQH.\XQJ+HH8QLY
))) 7UHDWPHQWZLWKWKHUDSLGDQWLGHSUHVVDQW
NHWDPLQHDFFHOHUDWHVWKHH[WLQFWLRQRIIHDUPHPRU\LQUDWV
,PSOLFDWLRQVIRUWKHWUHDWPHQWRI3RVW7UDXPDWLF6WUHVV
'LVRUGHU10)2851,(53/,&=1(56.,0%$1$65
56'80$1<DOH8QLY6FK0HG
))) &KDQJHVLQIXQFWLRQDOFRQQHFWLYLW\
UHVXOWLQJIURPUHSHDWHGFRPSHWLWLYHHQFRXQWHUVLQPLFH7
%)5$1./,1$9<66276.,&*5266(XURSHDQ0RO
%LRO/DE8QLYRI=XULFK(7+=XULFK
))) %HKDYLRUDOGLIIHUHQFHVLQDQ[LRJHQLF
DFWLRQVRIV\VWHPLFDGPLQLVWUDWLRQRIDPSKHWDPLQHDQG
WKHHIIHFWRIORFDOLQMHFWLRQLQ5HWLFXODU7KDODPLF1XFOHXV
0*$5&,$5$0,5(=*$9,/$9(/$5'((&+8&
0(=$/'(+$52-$&(9(6(1&%,31(1&%,31
&,19(67$9,31
))) $Q[LRO\WLFSURSHUWLHVRI1XQDYLN5KRGLROD
5RVHDLQWKHUDW&&$<(5)$+0('9),/,21-6
-$0(6-&0$&.$<$&8(55,(5=0(5$/,-7
$51$621,0+58QLYRI2WWDZD7KH&WUIRU$GYDQFHG
5HVLQ(QYUQ*HQRPLFV8QLYGH0RQWUHDO8QLYRI2WWDZD
,QVWRI0HQWDO+OWK5HV
((( (PHUJLQJV\VWHPVOHYHOXQGHUVWDQGLQJ
RIWKHPRWLYDWLRQWRHQJDJHLQYROXQWDU\ZKHHOUXQQLQJLQWKH
UDW-&%$662-,0255(//5XWJHUV8QLY
3267(5
))) $OORSUHJQDQRORQHUHYHUVHVWKHUHODWHG
DQ[LHW\HIIHFWRIPDWHUQDOVHSDUDWLRQGXULQJEUHDVWIHHGLQJ
LQDGXOWPDOHV,5,9(526%$55(5$&%5,&(f2'
025(12729$5='8(1$68QLYHUVLGD1DFLRQDOGH
&RORPELD8QLY1DFLRQDOGH&RORPELD8QLY1DFLRQDO'H
&RORPELD
))) S(OHYDWHGIHDUDQGDQ[LHW\EHKDYLRU
LQO\Q[NQRFNRXWPLFHLVLQFRQVLVWHQWRYHUVHYHUDO
GLIIHUHQWEHKDYLRUDOSDUDGLJPV$&5277<51,6+,
)(&+(167(,1$3277(531(:+286('-
728)(;,68QLYRI9HUPRQW8QLYRI9HUPRQW8QLYRI
9HUPRQW9DQGHUELOW8QLY
))) &KHPLFDOVWLPXODWLRQRIFHQWUDOQXFOHXVRI
DP\JGDODLQGXFHV\DZQLQJUHVSRQVHLQUDWV1.8%27$
6$0(0,<$71,6+,-,0$6<$1$*,7$,.,7$7RN\R
8QLYRI6FL7RN\R0HWURSROLWDQ8QLY7RN\R8QLYRI6FL
))) 7KHDQ[LRO\WLFOLNHHIIHFWRIDQRYHOGHOWD
RSLRLGUHFHSWRUDJRQLVW.17LQUDWV$68*,<$0$$
6$,72+0<$0$'$0,1$*$.,-2.$+1$*$6(
0<$0$'$'HSWRI1HXURSV\FKRSKDUPDFRORJ\1,0+
1&13/DE3KDUPDFRO)DF3KDUP6FL7RN\R8QLY6FL
/DERI0HG&KHPLVWU\6FKRI3KDUPDF\.LWDVDWR8QLY
))) 1HXUDOPHFKDQLVPVRIHPRWLRQUHJXODWLRQ
LQFKLOGKRRGDQ[LHW\.0+80.0$1$66,60'
/(:,68QLYRI7RURQWR7KH+RVSIRU6LFN&KLOGUHQ
5DGERXG8QLY
))) $GROHVFHQWVHQVLWLYLW\WROHDUQLQJIHDUIXO
DVVRFLDWLRQVGLVUXSWLRQVE\FRUWLFRVWHURQH0/'(15
5,&+$5'6218QLYRI1HZ6RXWK:DOHV8QLYRI1HZ
6RXWK:DOHV
))) 3UHVHQFHRIWKHPRWKHUFRQWUROVWKH
WUDQVLWLRQEHWZHHQDWWDFKPHQWDQGIHDUOHDUQLQJDQG
DOWHUVJHQHH[SUHVVLRQLQWKHDP\JGDODRILQIDQWUDWV5
068//,9$1*$%$551.,1<86FKRI0HG
&KLOGUHQ¶V+RVSRI3KLODGHOSKLD3HUHOPDQ6FKRI0HGLFLQH
8QLYRI3HQQV\OYDQLD
))) 0HFKDQLVPVRI3ODFHER$Q[LRO\VLV%
0(<(55.$/,6&+8QLY0HG&WU+DPEXUJ(SSHQGRUI
))) /RQJWHUPGHQGULWLFVSLQHUHPRGHOLQJ
LQWKHUDWODWHUDODP\JGDODIROORZLQJIHDUFRQGLWLRQLQJ
LQYROYHVFLUFXLWVSHFL¿FSUXQLQJRIGHQGULWLFVSLQHVIURPORZ
GHQVLW\GHQGULWHV''80,75,8<6*52660$15
*21=$*$&)$5%:*-$166(1-(/('28;-+
0255,6210RXQW6LQDL6FK0HG1HZ<RUN8QLY
))) 'LIIHUHQWLDOUHDULQJDQGWKHDFTXLVLWLRQRI
3DYORYLDQFRQGLWLRQHGIHDU(.5(,1+$5'70(&$,1
.DQVDV6WDWH8QLY
))) $Q[LHW\OLNHEHKDYLRULQPLFHZLWKRUDO
FDQFHU'*%(51$%(<<(''$1*%6&+0,'7
1HZ<RUN8QLY
3267(5
0RWLYDWLRQDQG(PRWLRQV1HJDWLYH(PRWLRQDO6WDWHV
))) (PRWLRQDODIWHUPDWKRIGHFLVLRQV
ODVWLQJHIIHFWVRIUHJUHWDQGSULGHDVVHVVHGE\IXQFWLRQDO
FRQQHFWLYLW\DQDO\VLV+(5<,/0$='9$1'(9,//(6
6&+:$57=398,//(80,(5/$%1,&8QLYRI*HQHYD
8QLYRI*HQHYD8QLYRI*HQHYD
))) $FXWHZLWKGUDZDOUHODWHGGH¿FLWV
SURGXFHGE\PRUSKLQHDQGDPSKHWDPLQHLQUDWVVKDUH
GHWHUPLQDQWV::+,7(&1:+,7(&-0255,6,
0:+,7(0RUHKHDG6WDWH8QLY:D\QH6WDWH8QLY
))) 6H[GLIIHUHQFHVLQWKHGHSUHVVLYHOLNH
HIIHFWVRINDSSDRSLRLGUHFHSWRUDFWLYDWLRQLQUDWV6(
5866(//$%5$&+/,1./60,7+(+&+$572))
+DUYDUG0HG6FK
))) &KURQLFVRFLDOGHIHDWLQDGROHVFHQWPDOH
PLFH%'1)WUDQVFULSWVLQWKHKLSSRFDPSXVDQGSUHIURQWDO
FRUWH[6&+,$9(*$772&($0$5$//$/9(6'26
6$17265%662$5(6%LRPHG6FL,QVW8QLYRI
6DR3DXOR1DWO,QVWIRU'HYHORSPHQWDO3V\FKLDWU\,1&7
&13T
))) +LJKQRYHOW\VHHNLQJEHKDYLRU$UDW
PRGHORISRVWSDUWXPGHSUHVVLRQ-:)(51$1'(=-$
*5,==(//503+,/327-0+$55(///:(&.(5
8QLYRI6RXWK)ORULGD
))) 3K\VLFDODFWLYLW\FRUUHODWHVZLWKKXQJHU
LQSDWLHQWVZLWKHDWLQJGLVRUGHUV$<$0$02729$-
%8/$17+3$3(=29$&KDUOHV8QLYUG)DF0HG
&KDUOHV8QLYLQ3UDJXH)LUVW)DFRI0HG
))) 1HXURLPDJLQJLQSULPDWHVFDUU\LQJ
YDULDQWVRIDQRYHOVHURWRQLQWUDQVSRUWHUSRO\PRUSKLVP
UHYHDOVGLIIHUHQFHVLQVHURWRQLQ$UHFHSWRUELQGLQJLQWKH
LQVXODDQGPRUSKRORJLFDOYROXPHFKDQJHVLQWKHDQWHULRU
KLSSRFDPSXV$06$17$1*(/27')5<(56-
6$:,$.5-7$,7+)&/$5.(<6+,%$3-5,669
)(55$5,<7+21*-68&./,1*$52%(5768QLY
RI&DPEULGJH%HKDYLRXUDODQG&OLQ1HXURVFL,QVW:ROIVRQ
%UDLQ,PDJLQJ&WU8QLYRI&DPEULGJH8QLYRI&DPEULGJH
8QLY&DPEULGJH
))) ,QFUHDVHGVHQVLWLYLW\WRH[WHUQDOQHJDWLYH
IHHGEDFNLQXQPHGLFDWHGVXEMHFWVZLWKPDMRUGHSUHVVLRQ
663,1(//,-63$(7,-&+80%/(<-%5$.2:6.,
1'2(5,*0*5266(+2/7)257+(6(,)5,7=
3V\FKLDWULF8QLY+RVS=XULFK8QLYRI=XULFK8QLYRI
=XULFK
))) +RZGR\RXIHHODIWHUQDSSLQJ",QÀXHQFH
RISRVWQDSFRUWLVROOHYHOVDQGVOHHSDUFKLWHFWXUH-&
.18'6(16&0('1,&.(0&'(9,77-0:2/)
%UDQGHLV8QLY8QLYRI&DOLIRUQLD5LYHUVLGH
))) *HQHWLFDQGH[SHULHQWLDOIDFWRUVPRGXODWH
HWKDQROFRQVXPSWLRQLQUDWV053$3,1,/0$1=2
0-*20(=-(&$//(-$6$*8,/(5$(&$12$
*$5&,$$586$)(51È1'(=7(58(/&7255(6
7H[DV&KULVWLDQ8QLY8QLYGH-DHQ8QLY$XWRQRPDGH
%DUFHORQD
))) 3DWWHUQVRIFDIIHLQHXVHWKURXJKRXWWKH
GD\DQGLWVUHODWLRQZLWKPRWLYDWLRQIRUFDIIHLQHLQJHVWLRQ
-/0$5,$12)5/*2'2,-&)*$/'852=6
3203(,$8QLY)HGHUDO'H6mR3DXOR
))) 6H[GLIIHUHQFHVLQYDOHQFHQRYHOW\
LQWHUDFWLRQVLQDIIHFWLYHQHWZRUNV-0$1'5($12%
',&.(5621/)(/'0$1%$55(770DVVDFKXVHWWV*HQ
+RVS0DVVDFKXVHWWV*HQ+RVS0DVVDFKXVHWWV*HQ
+RVS
))) 8VHRIDZDNHDQLPDOLPDJLQJWR¿QJHU
SULQWIRU&16OLDELOLW\&))(55,601('(/0$1
1RUWKHDVWHUQ8QLY(NDP,PDJLQJ
S
))) 6XEMHFWLYHVRFLDOVWDWXVPRGHUDWHVWKH
UHODWLRQVKLSEHWZHHQWKHIDFLDOZLGWKWRKHLJKWUDWLRDQG
LQGLYLGXDOGLIIHUHQFHVLQUHDFWLYHDJJUHVVLRQLQPHQ60
*2(7=500,//(5(/2=2<$-&$55e:D\QH
6WDWH8QLY
))) S$VVHVVPHQWRIWKHLQÀXHQFHRIWKH
HPRWLRQDOO\QHJDWLYHDQGQHXWUDO79QHZVSORWVDQ((*
VWXG\678.$,(9<+$95</(766.5,=+$1296.,<
95,=8100$.$5&+8.,=,0$25$'&+8.
1DWO7DUDV6KHYFKHQNR8QLYRI.\LY,QVWRI%LRO1DWO
7DUDV6KHYFKHQNR8QLYRI.\LY,QVWRI-RXUQDOLVP1DWO
7DUDV6KHYFKHQNR8QLYRI.\LY,QVWRI%LRO,QVWRI
&RPPXQLFDWLRQDQG+HDOWK8QLYGHOOD6YL]]HUDLWDOLDQD
))) 9RFDODQGORFRPRWRUUHVRQVHVRI
GRPHVWLFFKLFNVWRVRFLDOORVVDQGUHXQLRQ/)$18&&+,
-3$1.6(3351(:%(55<:DVKLQJWRQ6WDWH8QLY
:DVKLQJWRQ6WDWH8QLY
))) 3DWWHUQVHSDUDWLRQRIQHJDWLYHHPRWLRQDO
VWLPXOLLVHQKDQFHGLQGHSUHVVHGDGXOWV0$<$66$6/
/($/*0&1$5<(/(9,77-RKQV+RSNLQV8QLY
))) 0RWKHU¶VWUDXPDPRGXODWHVDP\JGDOD
UHVSRQVHWRLQIDQWGLVWUHVV6.,03)21$*<-$//(1
8,<(1*$560$57,1(=/675$7+($51%D\ORU
&RORI0HG8QLY&RO/RQGRQ%D\ORU&RORI0HG7KH
0HQQLQJHU&OLQ
))) 2SLDWHZLWKGUDZDOLQDQLPDOVVHOHFWLYHO\
EUHGIRUKLJK+L6DQGORZ/R6VDFFKDULQFRQVXPSWLRQ$
.5$'.(1$+2/7=$&+$55,61(=/(%1,.
-&*(:,57=0(&$552//8QLY0LQQHVRWD8QLY
0LQQHVRWD8QLY0LQQHVRWD
))) 1HXURQDOSRSXODWLRQVWDWHG\QDPLFV
FKDQJHVIROORZLQJHPRWLRQDOOHDUQLQJ$025$1'%
.$7=%UDQGHLV8QLY
3267(5
0RWLYDWLRQDQG(PRWLRQ$QLPDO6RFLDO&RPPXQLFDWLRQ
))) S$EQRUPDOQHXURQDOFRQQHFWLYLW\DQG
VRFLDOEHKDYLRUDOGH¿FLWVLQ1U&$0GH¿FLHQWPLFH('
0$33865+$0,'5$5067521*&9%8+86,0
&%8+86,&OHPVRQ8QLY0HG8QLYRI6RXWK&DUROLQD
'DYLGVRQ&RO8WDK6WDWH8QLY
))) &KDQJHVLQFIRVH[SUHVVLRQGXULQJ
WUDQVIHURIFRQGLWLRQHGSODFHDYHUVLRQE\VRFLDOLQWHUDFWLRQ
ZLWKDPRXVHWUHDWHGZLWKKDORSHULGRO'))8.86+,527
&)$5$0,1,5$8(+$5$5)5866$),/+2)HGHUDO
8QLYRI6DR3DXOR
))) S1XUULVLQGXFHGLQWKHSUHIURQWDO
FRUWH[RIPLFHDIWHUDVRFLDOH[SHULHQFH3-0$/'21$'2
&$7$/$$9$=48(=-/257,=/8*2'&255($6
3(f$'(257,=8QLY0HWURSROLWDQD&XSH\8QLYRI3XHUWR
5LFR
S
))) &RQGLWLRQHGGLVJXVWDQGVRFLDOEHKDYLRU
LQUDWVWUHDWHGZLWKWKHWR[LQOLFO&-&/287,(50
.$9$/,(56.266(1.2338QLYRI:HVWHUQ2QWDULR
))) 9HQWURODWHUDOSUHIURQWDOFRUWH[OHVLRQV
DWWHQXDWHWKHSURGXFWLRQRIXOWUDVRQLFYRFDOL]DWLRQVLQ
UDWV0:)(/7(167(,15(6((0HG8QLY6RXWK
&DUROLQD
))) S
(YDOXDWLQJWKHFRPPXQLFDWLYH
YDOXHRIXOWUDVRQLFPRXVHSXSFDOOV=$'$+0$1&
+2//,1*6:257+$.:$.<($/(**,77/<-$1
'<281*.6&+(1.5DQGROSK&RO5DQGROSK&RO
5DQGROSK&RO8QLYRI&DOLIRUQLD+RZDUG+XJKHV0HG
,QVW8QLYRI&DOLIRUQLD
))) 'RXOWUDVRQLFYRFDOL]DWLRQVLQJROGHQ
KDPVWHUVSURYLGHLQIRUPDWLRQDERXWVH[RIWKHFDOOHUVH[XDO
DURXVDODQGPRWLYDWLRQ"0)(51$1'(=9$5*$65(
-2+16721&RUQHOO8QLY
))) 6RFLDOVWLPXOXVHYRNHGDFWLYLW\LQWKH
IHPDOHPRXVHK\SRWKDODPXV,QÀXHQFHRIWKHUHSURGXFWLYH
F\FOH.12027264/,0$&KDPSDOLPDXG1HXURVFL
3URJUDPPH
))) 6RFLDOIDFLOLWDWLRQLQGRPHVWLFFKLFNV
,QFUHDVHLQIRUDJLQJHIIRUWVDQGV\QFKURQL]DWLRQRIUXQQLQJ
<2*85$70$7686+,0$+RNNDLGR8QLY-DSDQ
6RFLHW\IRUWKH3URPRWLRQRI6FL-636+RNNDLGR8QLY
))) 2UDOLQWDNHRIPRQRVRGLXPJOXWDPDWH
GXULQJJURZLQJSHULRGDOWHUVVRFLDOEHKDYLRULQDUDWPRGHO
RIDWWHQWLRQGH¿FLWK\SHUDFWLYLW\GLVRUGHU<<2.2<$0$
<6+,0,=860,680,$,6+,'$0<2.2,++,'$
1DJR\D&LW\8QLY*UDG6FK0HG6FL1DJR\D&LW\8QLY
*UDG6FK0HG6FL
))) 7KH8¿HOGWHVWDQRYHOEHKDYLRUDOWHVW
WKDWLVXVHIXOWRPHDVXUHDQLPDO¶VGHSUHVVLRQRQWKHEDVLV
RIVRFLDELOLW\EHKDYLRU-3$5.7.,0-&+2,-/((3
+$1(ZKD:RPDQV8QLY(ZKD:RPDQV8QLY
3267(5
0RWLYDWLRQDQG(PRWLRQV+XPDQDQG3ULPDWH6RFLDO
&RPPXQLFDWLRQ
))) 7DFWLOHVWLPXODWLRQRIWKHIDFHDFWLYDWHV
VLQJOHXQLWVLQWKHPRQNH\DP\JGDOD&3026+(53(
=,00(50$1.0*27+$5'7KH8QLYRI$UL]RQD7KH
8QLYRI$UL]RQD
))) /RRNLQJDWWKHH\HVHQJDJHVVLQJOHXQLW
DFWLYLW\LQWKHSULPDWHDP\JGDODGXULQJQDWXUDOLVWLFVRFLDO
LQWHUDFWLRQV3(=,00(50$1&3026+(5.0
*27+$5'8QLYRI$UL]RQD8QLY2I$UL]RQD8QLYRI
$UL]RQD
))) (DUO\DP\JGDODGDPDJHDOWHUVWKHZD\
UKHVXVPDFDTXHVSURFHVVVSHFLHVVSHFL¿FDXGLRYLVXDO
YRFDOL]DWLRQV&3$<1(-%$&+(9$/,(5(PRU\8QLY
<HUNHV1DWO3ULPDWH5HV&WU
))) 1HJDWLYHDIIHFWGULYHVHWKDQROLQWDNH
GXULQJGULQNLQJLQWKHGDUN','VHVVLRQVLQ3UDWV&/
'89$8&+(//(17+$.25(-5(125*21=$/(6
76&+$//(570527.2(.86(<-.5,(*(5-
<$1*$0$*522'855$1,,6+(,.+5&$66,'<
.0$5:$+$$&(%5(//,8QLYRI7H[DV8QLYRI7H[DV
8QLYRI7H[DV
))) ,PSDLUHGVRFLDOEXWLQWDFWQRQVRFLDO
UHLQIRUFHPHQWOHDUQLQJLQ93$UDWPRGHORIDXWLVP0
5)$95('&+5,672'28/28+0$5.5$0.
0$5.5$06ZLVV)HGHUDO,QVWRI7HFKQRO,Q/DXVDQQH
))) 6LQJOHXQLWDFWLYLW\LQWKHSULPDWH
DP\JGDODGLVFULPLQDWHVVRFLDOVWLPXOLLQDFRPSOH[VFHQH.
0*27+$5'3(=,00(50$1&3026+(58QLY
$UL]RQD&RO0HG8QLYRI$UL]RQD7KH8QLYRI$UL]RQD
))) 6LQJOHXQLWDFWLYLW\LQWKHSULPDWH
DP\JGDODGXULQJWKHSURGXFWLRQRIIDFLDOH[SUHVVLRQV$-
)8*/(9$1'3(=,00(50$1&3026+(5.0
*27+$5'8QLY$UL]RQD7KH8QLYRI$UL]RQD7KH8QLYRI
$UL]RQD
))) 7KHVRFLDOHQYLURQPHQWLPSDFW%UDLQ
DFWLYDWLRQDQGGLVWUHVVGXULQJLPDJHU\RIUDFLDOGLVFULPLQDWLRQ
H[SHULHQFHV$*837$*&*(($)/(8&+7(50
6&2+(1*(:<$7702¶&211256HPHO,QVWRI
1HXURVFLDQG+XPDQ%HKDYLRU$W8&/$8&/$8&/$
8&/$8QLYRI$UL]RQD
))) 7KHPLGOLQHFRUWLFDOVHURWRQHUJLFV\VWHP
LQVRFLDOEHKDYLRUWUDLWV3RVLWURQHPLVVLRQWRPRJUDSK\
VWXGLHVRIFRPPRQPDUPRVHWV&<2.2<$0$$
.$:$6$.,7+$<$6+,+212(5,.(1&WUIRU0RO
,PDJ6FL5,.(1&WUIRU0RO,PDJ6FL
))) 1HXUDOPHFKDQLVPRIDGDSWLYHVRFLDO
EHKDYLRULQ0DFDTXHV12268*,7<$1$*$:$1
)8-,,5,.(1
))) 1HXUDOFRUUHODWHVRIHPSDWK\IRUKDSS\
DQGVDGIDFLDOH[SUHVVLRQV$QI05,VWXG\7,,'$.$7
+$5$'$16$'$721DJR\D8QLYHUVLW\*UDG6FKRI
0HGLFLQH'HSWRI3V\FKLDWU\1DWO,QVWIRU3K\VLRORJLFDO
6FL
))) 6HHNLQJVRFLDOUHZDUGDQGDYRLGLQJ
VRFLDOSXQLVKPHQWDFWLYDWHWKHKXPDQQXFOHXVDFFXPEHQV
*.2+/6073(5,12-'+(55,1*72157
6&+8/7=&WU)RU$XWLVP5HVHDUFK&KLOGUHQ¶V+RVSRI
3KLODGHOSKLD
))) 'LIIHUHQWLDOVWDWHVRIVXEMHFWLYHSRZHU
LQÀXHQFHVSRQWDQHRXVIDFLDOPLPLFU\(:&$553
:,1.,(/0$1&29(,68&6'
))) $URPDWDVHGLVWULEXWLRQLQKXPDQ
EUDLQGHPRQVWUDWHGE\3(7ZLWK>&@FHWUR]ROH.
7$.$+$6+,7+262<$77$.$6+,0$07$1$.$
$,6+,,<1$.$720,67$=$:$.7$.$+$6+,+
'2,<:$7$1$%(<:$'$068=8.,+212(<
:$7$1$%(5,.(1&WU)RU0RO,PDJLQJ6FL,QVWRI
%LRPDWHULDOVDQG%LRHQJLQHHULQJ*UDG6FKRI0HGLFLQH
2VDND&LW\8QLY
))) 6SHFLDOLVHGSURFHVVLQJRILQIDQWYRFDO
VRXQGVLQWKHDGXOWEUDLQ$PDJQHWRHQFHSKDORJUDSK\VWXG\
.<281*&3$56216$67(,1(-(*,1'79$1
+$57(9(/70.5,1*(/%$&+8QLYRI2[IRUG$DUKXV
8QLY
))) $PLQRUFKDQJHWRWKHVWUXFWXUHRIDQ
LQIDQW¶VIDFHGLVUXSWVDGXOWV¶QHXUDOSURFHVVLQJ$XQLTXH
ZLQGRZLQWRHDUO\SDUHQWDOUHVSRQVHV&3$56216.
<281*+02+6(1,0:22/5,&+.7+206(1
0-2(16621/0855$<7*22'$&5($67(,1
0.5,1*(/%$&+8QLYRI2[IRUG$DUKXV8QLY8QLYRI
5HDGLQJ-RKQ5DGFOLII+RVS
))) $FWLYLW\LQWKHQXFOHXVDFFXPEHQVDQG
DP\JGDODHQFRGHVSURVRFLDODQGLQGLYLGXDOLVWLFLQWXLWLRQV
LQVRFLDOGHFLVLRQPDNLQJ0+$58120.,085$&
)5,7+1DWO,QVWRI,QIRUPDWLRQDQG&RPPXQLFDWLRQ2VDND
8QLY-6735(6727DPDJDZD8QLYHUVLW\8&/
))) *HQGHUGLIIHUHQFHVIRUKHPRG\QDPLF
UHVSRQVHVLQEUDLQUHJLRQVDFWLYDWHGZKLOHH[SHULHQFLQJ
FRPSDVVLRQ*52'5Ë*8(=1,(725(0(5&$',//2
)$%$55,26-0$57Ë1(=62728QLY1DFLRQDO
$XWyQRPD'H0p[LFR
))) S
6H[DQGVWLPXOXVW\SHLQÀXHQFH
HPRWLRQDOUHDFWLYLW\WRDYHUVLYHVWLPXOLLQDGXOWPRQNH\V
ZLWKVHOHFWLYHQHRQDWDODP\JGDODOHVLRQV-07255(6-
5$3(5-%$&+(9$/,(5<HUNHV1DWO3ULPDWH5HVH&U
(PRU\8QLY
))) 1HRQDWDODP\JGDODOHVLRQVDOWHUSXEHUWDO
WLPLQJLQIHPDOHUKHVXVPDFDTXHV6%=67(3+(16
-%$&+(9$/,(5.:$//(1(PRU\8QLY<HUNHV1DWO
3ULPDWH5HV&WU
))) (IIHFWVRIQHRQDWDODP\JGDOHFWRP\RQ
PDOHJURXSIRUPDWLRQDQGKLHUDUFKLFDOLQWHJUDWLRQ'0
6$1&+(=-%$&+(9$/,(5.:$//(1(PRU\8QLY
))) 6H[GHSHQGHQWUROHRIWKHDP\JGDOD
LQWKHGHYHORSPHQWRIHPRWLRQDOUHDFWLYLW\WRWKUHDWHQLQJ
VWLPXOLLQLQIDQWUKHVXVPRQNH\V-5$3(506$1&+(=
.:$//(1-%$&+(9$/,(5(PRU\8QLY<HUNHV1DWO
3ULPDWH5HV&WU'HSWRI3V\FKLDWU\DQG%HKDYLRUDO6FL
))) 1HRQDWDOSHULUKLQDOOHVLRQVDOWHUWKH
GHYHORSPHQWRIGHIHQVLYHUHVSRQVHVWRZDUGVVRFLDO
WKUHDWHQLQJVWLPXOLLQLQIDQWUKHVXVPDFDTXHV((
-2+1621-5$3(5-%$&+(9$/,(5<HUNHV1DWO
3ULPDWH5HV&HQWHU(PRU\8QLY
))) 1RYHODXWRPDWHGDVVD\IRUSKHQRW\SLQJ
DXWLVWLFOLNHVRFLDOGH¿FLWV0021%85($8/72$
6$72'352),7706+$0/226,1716WDQIRUG8QLY
6FKRI0HG6,1716WDQIRUG8QLY6FKRI0HG
))) 0LPLFNLQJDXWKHQWLFVPLOHV$Q(0*
VWXG\6.25%6:,7+301,('(17+$/6.$,6(5
'*5$1'-($1:DLVPDQ&WU*HQHYD8QLY
3267(5
1RYHO+LJK5HVROXWLRQ,PDJLQJ$SSURDFKHV
))) &RPSDULVRQEHWZHHQDGHQRDVVRFLDWHG
YLUXVDQGELRWLQ\ODWHGGH[WUDQDPLQHWUDFHUVIRUKLJK
WKURXJKSXWDQDO\VLVRIFRQQHFWLYLW\LQWKHPRXVHEUDLQ
4:$1*-$+$55,6$%(51$5'0025758'
$+(15<.0-2,1(66:2++=(1*-*
+2+0$117KH$OOHQ,QVW)RU%UDLQ6FL
))) ,QYHVWLJDWLQJJHQHGH¿QHGQHXURQDO
SRSXODWLRQVLQWKHGHYHORSLQJDQGDGXOWPRXVHEUDLQ6
$625(16(1/0$',6(1.+,52.$:$62+
-$+$55,6-&2<$5-21(6$9,6(/-/
558%(167(,1+=(1*$OOHQ,QVW)RU%UDLQ6FL
/DZUHQFH%HUNHOH\1DWO/DE8QLYRI&DOLIRUQLDDW6DQ
)UDQFLVFR
))) ,QIRUPDWLFVSLSHOLQHIRUH[SORULQJ
SURMHFWLRQODQGVFDSHRIWKHEUDLQLQFUHDQGZLOGW\SHPLFH
//1*&/$8/.8$1</,')(1*<68,7
'2/%($5()/((**8::$.(0$1%:,16/2:
$%(51$5'4:$1*0-+$:5</<&=-*
+2+0$11&.2&+$5-21(66:2+&'$1*
+=(1*$OOHQ,QVWIRU%UDLQ6FL
S
))) $OOHQ0RXVH%UDLQ&RQQHFWLYLW\$WODV
PDSSLQJORQJUDQJHD[RQDOSURMHFWLRQVIURPJHQHWLFDOO\
GH¿QHGFHOOSRSXODWLRQVLQWKHDGXOWPRXVHEUDLQ-$
+$55,66:2+%:,16/2:$%(51$5'/1*
4:$1*6625(16(10025758'%28(//(77(
71*8<(1-+2+0$11&'$1*3:2+1287.$&
.2&+$-21(6+=(1*$OOHQ,QVW)RU%UDLQ6FL
))) :KROHPRXQWSUHSDUDWLRQIRUKLJK
UHVROXWLRQZKROHEUDLQVFDQQLQJ$QHZWRROIRUKLJKVSHHG
GHHSWLVVXHLPDJLQJ-*+2%5,//6,/9(675,/
6$&&21,-5<*()63$921(+0$5.5$0(3)/
69%0,(3)//(168QLYRI)ORUHQFH1DWO,QVWRI2SWLFV
,12&15
))) 6LQJOHW*5,1OHQVIRUGHHSLQYLYR
PXOWLSKRWRQPLFURVFRS\7$0855$<0-/(9(1(
/RXLVLDQD7HFK8QLY<DOH8QLY
))) 6LPXOWDQHRXVYLVXDOL]DWLRQRIPXOWLSOH
QHXURQDOSURSHUWLHVZLWKVLQJOHFHOOUHVROXWLRQLQWKH
OLYLQJURGHQWEUDLQ5$.20:$.,0272+(%,68
.7$1125+,5$+.$6$,00$768=$.,+
.$:$6$.,7KH8QLYRI7RN\R*UDG6FKRI0HG7KH
8QLYRI7RN\R7KH8QLYRI7RN\R*UDG6FKRI0HG1DWO
,QVWIRU%DVLF%LRO-DSDQ6FLDQG7HFKQRO$JHQF\
))) %UDLQZLGHIXQFWLRQDODFWLYDWLRQPDSV
RIIHDUPHPRULHV'9286'(1-(3309$1(('(-
'$=$,75$*$150+(1.(/0$13:)5$1./$1'
-3/(5&+0RXVH,PDJLQJ&WU+RVSIRU6LFN&KLOGUHQ
8QLYRI7RURQWR7LVVXHYLVLRQ,QF
))) 7KHHIIHFWRIKLJKIUHTXHQF\+]
U706RQORFDOO\PHDVXUHGFRUWLFDOUHVSRQVHWRYLVXDOVWLPXOL
61(83$1($9(1.$7(6:$5$1=<$23.523)
09,//(1(89($6+08(/0F*LOO8QLY0F*LOO8QLY
))) ,PSURYHGDUUD\WRPRJUDSK\PHWKRGV
IRUFRQMXJDWHSURWHRPHWULFDQGXOWUDVWUXFWXUDODQDO\VLV
RIFHQWUDOQHUYRXVV\VWHPV\QDSVHV)&&2//0$1
-%8&+$1$1.'3+(1'.'0,&+(9$5-
:(,1%(5*6-60,7+6WDQIRUG8QLY6FK8QLYRI
1RUWK&DUROLQD
3267(5
1RYHO$QDWRPLFDO0HWKRGV,,
*** &RQQH[LQH[SUHVVLRQDQGIUHTXHQF\
RIFRQQH[LQKHWHURJHQHLW\LQDVWURF\WHJDSMXQFWLRQSODTXHV
LQFUHDVHZLWKDJHLQWKHUHWLQD+0$16285/&2/(-
50&&2/00::(,%/(,,$.25/,0%,1,67&+$1
/,1*8QLYRI6\GQH\8QLYRI6\GQH\*ULI¿WK8QLY
S
*** 4XDQWLWDWLYH0DQJDQHVHHQKDQFHG05,
GHWHFWLRQRIGLIIHUHQFHVEHWZHHQNLQGOLQJVXVFHSWLEOHDQG
NLQGOLQJUHVLVWDQWVWUDLQVRIUDWV(%+87&+,16211
(/$1*%$06+85/(<$$/(;$1'(53587(&.,7
6878/$8QLYRI:LVFRQVLQ0DGLVRQ8QLYRI:LVFRQVLQ
0DGLVRQ
*** ,QYLYRLPDJLQJRIWKHVRQJELUG
GRSDPLQHUJLFV\VWHP.72.$5(9-+</$1'%58126
$+(/(.$527&+(51,&+296.,+89266+XQWHU
&ROOHJH&LW\8QLYRI1HZ<RUN+XQWHU&RODQGWKH*UDG
&WURIWKH&LW\8QLYRI1HZ<RUN7KH0HWKRGLVW+RVS5HV
,QVW:HLOO&RUQHOO0HG&RO
*** 7KHSRWHQWLDORIWKH3DUWLFOH,QGXFHG
;UD\(PLVVLRQWHFKQLTXHIRUWKHVWXG\RIIHDUPHPRU\
FRQVROLGDWLRQLQUDWV3)&-2%,0&(,6$17260
%/$1.552(6/(5/$0$5$/-)',$6)HGHUDO
8QLYRI5LR*UDQGHGR6XO
*** 6\VWHPDWLFVDPSOLQJZLWKHUURUVWKH
HIIHFWRIDYDULDEOHLQWHUVHFWLRQDOGLVWDQFHRQVWHUHRORJLFDO
YROXPHHVWLPDWHV.'253+3(7(56(1-=,(*(/
$%$''(/(<(%9-(16(1$DUKXV8QLY+RVSLWDO
5LVVNRY8QLYRI3LWWVEXUJK$DUKXV8QLY+HLGHOEHUJ8QLY
&6,52$DUKXV8QLY
*** 6\QWKHVLVRIDQRYHOÀXRUHVFHQW
UKRGDPLQHGHULYDWLYHWRGHWHUPLQHDQGELRLPDJLQJRI
SHUR[\QLWULWH*$0%,.$3$7+,.685(6+5/%$%8
.6'(9$5$-803$1'85$1*$33$%DQJDORUH8QLY
*** 0DSSLQJWKHWDUJHWGHQVLW\RI
3KRVSKRGLHVWHUDVH$LQEUDLQDUHDVFURVVVSHFLHVXVLQJ
WULWLXPODEHOHG$0*'&/(67(5=(,1(5&
%,251(+8-0$60,//(5*+,//'(//$3833$
'+:$1*-$//(1',00.(-75($125+&+(1
$PJHQ$PJHQ$PJHQ$PJHQ$PJHQ
*** &RPSUHKHQVLYHFRQQHFWLYLW\RIWKH
PRXVHPDLQROIDFWRU\EXOEDQDO\VLVDQGRQOLQHGLJLWDO
DWODV+'21*++,17,5<$1/*28%=,1**6
<$0$6+,7$0621*$*5(:$/$72*$8&/$6FK
0HG
*** '\LQJWREHVHHQ"7KHELRORJLFDO
HIIHFWVRIODEHOLQJQHXUDOVWHPFHOOV)1,&+2//6'
8:$12*+2(%,%/(%:,//,$06002'28QLYRI
3LWWVEXUJK.LQJ¶V&RO/RQGRQ
*** 8VLQJPDQJDQHVHHQKDQFHG05,WR
LQYHVWLJDWHWKHQHXUDOPHFKDQLVPXQGHUO\LQJROIDFWRU\IHDU
FRQGLWLRQLQJ'&+(16'2''$.25(76.<1DW,QVW
+OWK
*** %UDLQD[LDODQGUDGLDOGLIIXVLYLW\FKDQJHV
ZLWKDJHDQGJHQGHUGLIIHUHQFHVLQKHDOWK\DGXOWVXEMHFWV5
.80$5$&&+$9(=300$&(<0$:225.
+$53(550+$53(58&/$8&/$8&/$8&/$
))) ,QYLYRWZRSKRWRQPLFURVFRS\ZLWK
DQPKLJKSHDNSRZHUSLFRVHFRQGSXOVHODVHUWR
YLVXDOL]HWKHFRUWH[DQGKLSSRFDPSDOS\UDPLGDOQHXURQV
LQ+/LQHPLFH5.$:$.$0,.6$:$'$$6$727
+,%,<.2=$:$66$72+<2.2<$0$71(0272
+RNNDLGR8QLY+RNNDLGR8QLY-67&5(677RKRNX8QLY
7RKRNX8QLY
*** ,QYLYRSURWRQPDJQHWLFUHVRQDQFH
VSHFWURVFRS\UHJLRQDOPHWDEROLFSUR¿OHV'LIIHUHQFHVDPRQJ
KLSSRFDPSDOIRUPDWLRQSUHIURQWDOFRUWH[DQGFHUHEHOOXPLQ
DGXOWUDWVXVLQJDPDFKLQHOHDUQLQJDSSURDFK$*8$'$f2
)(55$=,)(51È1'(=/$02-3$&+(&27255(6
'*Ï0(=$1'5e6,38/,'29$/'(2/,9$63
/Ï3(=/$558%,$$0217(523('5$=8(/$&RQVHMR
6XSHULRUGH,QYHVWLJDFLRQHV&LHQWt¿FDV8QLY$XWyQRPDGH
0DGULG,GL3D]+RVS8QLYHUVLWDULR/D3D]8QLY$XWyQRPD
GH0DGULG
*** $QXQELDVHGTXDQWLWDWLYHSODWH
UHDGHUPHWKRGIRUPRQLWRULQJQHXURQDOFHOOKHDOWKDQG
QHXULWHRXWJURZWK1.$85/.233%+$16210
+$1&2&.'7,(%(5*$+$11$<6+21(<$*(5
5+25721/LIH7HFKQRORJLHV/LIH7HFKQRORJLHV/LIH
7HFKQRORJLHV
*** 8VHRIDPXOWLVSHFWUDO/('OLJKWDUUD\
IRUWKHUHGXFWLRQRIDXWRÀXRUHVFHQFHLQEUDLQWLVVXH+
'821*93,.290+$1+XQWLQJWRQ0HG5HV,QVW
*** &KDUDFWHUL]DWLRQRISKDUPDFRG\QDPLF
SURSHUWLHVRI&16GUXJXVLQJRSWLFDOLPDJLQJ+&+(1$
0,$*.2906$7+<$02257+<'7,58&+,1$3$//,
&DOLSHU/LIH6FL
*** $QRYHO)ODEHOHGSHWWUDFHUIRU
LPDJLQJ3'($LQWKHEUDLQ=78-)$1-/,+-,1
33$'$.$17,;=+$1*+)/25(6-3(5/0877(5
:DVKLQJWRQ8QLY
*** $QHIIHFWLYHVWUDWHJ\IRUVLWH
VHOHFWLYHUDGLRLRGLQDWLRQRIDPRGL¿HG_QHRHQGRUSKLQ
-(3,&.(77.1$*$.85$$3$67(51$.6*
*5,11(//60$-80'$5<3$1-6/(:,6*
:3$67(51$.0HP6ORDQ.HWWHULQJ&DQFHU&WU:HLOO
&RUQHOO*UDG6FKRI0HG6FL:HLOO&RUQHOO*UDG6FKRI
0HG6FL0HP6ORDQ.HWWHULQJ&DQFHU&WU
*** &HOOXODUDVVD\RIQHXULWHJURZWK
IURPSULPDU\QHXUDOFHOOVZLWKRQO\RQHWHQWKFHOOVE\
'URS$UUD\70WHFKQRORJ\-=:$1*1<.,00/<(
(%$5'&+$3($81-(21&XULR[%LRV\VWHPV&XULR[
%LRV\VWHPV6HRXO1DWO8QLY
*** $SRWHQWLDO3(7UDGLRWUDFHUIRUIDWW\DFLG
DPLGHK\GURODVHDFWLYLW\LQWKHEUDLQ66217,.4,$1
03$1'(<5'8&/267'(*5$'26*$7/(<
1RUWKHDVWHUQ8QLY0D\R&OLQ
*** 4XDQWL¿FDWLRQRI1XUUSURWHLQOHYHOVLQ
VSHFL¿FQHXURQSRSXODWLRQV-%((//66*825266
0LVVLVVLSSL6W8QLY
*** :KROHVNXOODQGVSLQDOFRUG
FU\RVHFWLRQLQJRIDGXOWPRXVHXVLQJWDSHWUDQVIHUVHFWLRQLQJ
WHFKQLTXH93,16.,<$72/3<*21)5$1&,277,3
30,75$&ROG6SULQJ+DUERU/DE
*** %UDLQZLGHQHXURQDOG\QDPLFVGXULQJ
PRWRUDGDSWDWLRQLQ]HEUD¿VK0%$+5(16-0/,0
%25*(5'152%621$)6&+,(5)(1*(575
32578*8(60&%+DUYDUG8QLY&DPEULGJH8QLYHUVLW\
&%/+DUYDUG8QLY&KDPSDOLPDXG&WUIRUWKH8QNQRZQ
S
0RQGD\30
VWXGLHVKDYHVKRZQWKDWWKHVHSURFHVVHVRIQHXUDOUHSDLULQ
WKHDGXOWEUDLQLQYROYHDQDFWLYLW\GHSHQGHQFHDUHDVVRFLDWHG
ZLWKDOWHUDWLRQVLQQHXURQDOH[FLWDELOLW\DQGIRUPVSHFL¿F
FRUWLFDOFLUFXLWVVXJJHVWLQJSULQFLSOHVIRUWKHUHRUJDQL]LQJ
DGXOWEUDLQWKDWUHÀHFWWKRVHLQWKHGHYHORSLQJEUDLQ
63(&,$/35(6(17$7,21 (UQHVW10RULDO&RQYHQWLRQ&HQWHU
7KH&KDQJLQJ*OREDO1HXURVFLHQFH(FRV\VWHP:K\,W
0DWWHUV7R2XU)XWXUH
0RQ30301HZ2UOHDQV7KHDWHU%
6SHDNHU6(+<0$1%URDG,QVW
*OREDOO\DWDQDFFHOHUDWLQJSDFHWKHZRUOGRIQHXURVFLHQFH
LVXQGHUJRLQJFKDQJH,PSRUWDQWIRUFHVLQFOXGHSXEOLFIXQGLQJ
LQVHFXULW\SUHVVXUHIURPJRYHUQPHQWVDQGIRXQGDWLRQV
IRUWUDQVODWLRQDOHPSKDVHVLQDFDGHPLDZLWKGUDZDOIURP
QHXURVFLHQFHUHVHDUFKLQLQGXVWU\VWHDG\JURZWKRIODUJH
VFDOHFROODERUDWLYHLQWHUGLVFLSOLQDU\VFLHQFHDQGFDOOVIRU
WUDQVIRUPDWLYH³ELJGDWD´DSSURDFKHV:KDWGRWKHVHWUHQGV
PHDQIRUQHXURVFLHQFHZRUOGZLGH"+RZZLOOWKH\LQÀXHQFH
WKHQH[WJHQHUDWLRQRIVFLHQWLVWVDQGKRZZHPXVWSUHSDUH
WKHP"+RZFDQQHXURVFLHQWLVWVHQJDJHFRQVWUXFWLYHO\LQ
SROLF\VFLHQWL¿FDQGDFDGHPLFVHWWLQJVWRDQWLFLSDWHDQG
PDQDJHFKDQJHDGDSWLYHO\"
,QWURGXFWLRQ
*OLDOJURZWKLQKLELWRUVD[RQDOVSURXWLQJ
DQGDFWLYLW\GHSHQGHQWFLUFXLWVLQVWURNHUHFRYHU\6
&$50,&+$(/'DYLG*HIIHQ6FKRI0HGDW8&/$
0DNLQJWKHPRVWRIVSDUHGFLUFXLWU\UDSLG
UHDUUDQJHPHQWVLQFRUWLFDOFLUFXLWIXQFWLRQIROORZLQJVWURNH7
+0853+<8QLY%ULWLVK&ROXPELD
$FWLYLW\GHSHQGHQWVWLPXODWLRQDVDWKHUDSHXWLFWRRO
IRUUHFRYHU\RIVHQVRULPRWRUIXQFWLRQDIWHUEUDLQLQMXU\5-
18'28QLY.DQVDV0HG&WU
0RGXODWLRQRIQHXUDOVWUXFWXUHVXQGHUO\LQJPRWRU
IXQFWLRQDIWHUVWURNH/*&2+(11,1'61,+
&ORVLQJ5HPDUNV
3URPRWLQJ2OLJRGHQGURF\WH'LIIHUHQWLDWLRQDQG0\HOLQ
5HJHQHUDWLRQ²&0(
0RQ3030²/D1RXYHOOH$
7KH+XPDQ6XEWKDODPLF1XFOHXVLQ+HDOWKDQG'LVHDVH
,QVLJKWVIURP7UDQVODWLRQDO1HXURVFLHQFH²&0(
&KDLU:'(1*
&R&KDLU065$2
'HIHFWLYHGHYHORSPHQWRIROLJRGHQGURF\WHVP\HOLQ
IRUPLQJJOLDOFHOOVLQWKH&16XQGHUOLHVPDQ\LQKHULWHG
DQGDFTXLUHGG\VDQGGHP\HOLQDWLQJGLVRUGHUVVXFKDV
SHGLDWULFOHXNRG\VWURSKLHVSHULYHQWULFXODUOHXNRPDODFLD
FHUHEUDOSDOV\PXOWLSOHVFOHURVLVDQGVSLQDOFRUGLQMXU\:H
ZLOOGLVFXVVQHZIURQWLHUVRQXVLQJHQGRJHQRXVVWHPFHOOV
HPEU\RQLFVWHPFHOOVDQGLQGXFHGSOXULSRWHQWVWHPFHOOV
IRUGLVHDVHPRGHOLQJGUXJGLVFRYHU\DQGROLJRGHQGURF\WH
UHJHQHUDWLRQDQGP\HOLQUHSDLU
,QWURGXFWLRQ
5HP\HOLQDWLRQLQWKH&16IURPELRORJ\WRWKHUDS\
5-)5$1./,18QLY&DPEULGJH
+XPDQROLJRGHQGURF\WHSURJHQLWRUFHOOVIRUP\HOLQ
UHJHQHUDWLRQUHSDLU6$*2/'0$18QLY5RFKHVWHU
'HYHORSLQJVDIHWKHUDSLHVIURPKXPDQSOXULSRWHQW
VWHPFHOOV065$21,+
8VLQJKXPDQSOXULSRWHQWVWHPFHOOVWRPRGHO
ROLJRGHQGURF\WHGHYHORSPHQWDQGGLVHDVH:'(1*8QLY
&DOLIRUQLD'DYLV
&ORVLQJ5HPDUNV
+HEE5HFRYHUV)URPD6WURNH$FWLYLW\'HSHQGHQW
3ODVWLFLW\&LUFXLW5HRUJDQL]DWLRQDQG1HXUDO5HSDLULQ
&RUWH[$IWHU)RFDO,VFKHPLD²&0(
0RQ3030²/D1RXYHOOH&
0RQ3030²1HZ2UOHDQV7KHDWHU$
&KDLU%8)25670$11
&R&KDLU%'5$*$16.,
7KHVXEWKDODPLFQXFOHXV671LVDVPDOOEXWYLWDOO\
LPSRUWDQWVWUXFWXUHLQWKHEDVDOJDQJOLD%HFDXVHRILWV
FHQWUDOUROHLQPRWRUFRQWUROWKH671LVWKHWDUJHWRIGHHS
EUDLQVWLPXODWLRQWRDOOHYLDWHVHYHUHPRWRUV\PSWRPVLQ
SDWLHQWVZLWK3DUNLQVRQ¶VGLVHDVH,QWKLVPLQLV\PSRVLXP
ZHVHHNWRGHPRQVWUDWHKRZWUDQVODWLRQDOQHXURVFLHQFH
SURYLGHVDQDWRPLFDOIXQFWLRQDOQHXURFRPSXWDWLRQDODQG
FOLQLFDOSHUVSHFWLYHVRQWKHFRPSOH[ZD\LQZKLFKWKH671
FRQWUROVKXPDQEHKDYLRULQKHDOWKDQGGLVHDVH
,QWURGXFWLRQ
&RPSXWDWLRQDOPRGHOVRIVXEWKDODPLFQXFOHXV
LQKHDOWKDQG3DUNLQVRQ¶VGLVHDVH5%2*$&=8QLYRI
%ULVWRO
,QDQGH[YLYRPDSSLQJRIWKH671XVLQJXOWUDKLJK
UHVROXWLRQ05,%)25670$118QLYRI$PVWHUGDP
4XDQWL¿FDWLRQRIWLVVXHSURSHUWLHVRIWKH
VXEWKDODPLFQXFOHXVLQKHDOWK\DJHLQJDQG3DUNLQVRQ¶V
GLVHDVH%'5$*$16.,8QLYGH/DXVDQQH
)XQFWLRQDOFRQQHFWLYLW\RIWKHKXPDQVXEWKDODPLF
QXFOHXVLQYLYR&/$0%(576W*HRUJH¶V8QLYRI/RQGRQ
5ROHRIIURQWR671FLUFXLWVLQEHKDYLRUDOVWRSSLQJ
DQGVZLWFKLQJ$$5218&6'
+LJKIUHTXHQF\RVFLOODWLRQV!+]LQWKH
KXPDQVXEWKDODPLFQXFOHXVLQ3DUNLQVRQ¶VGLVHDVH$
6&+1,7=/(58QLYRI'XHVVHOGRUI
&ORVLQJ5HPDUNV
&KDLU6&$50,&+$(/
6WURNHLQGXFHVWKHIRUPDWLRQRIQHZFRQQHFWLRQVDQGFKDQJHV
LQFRUWLFDOPDSVLQKXPDQVDQGH[SHULPHQWDOPRGHOVRIVWURNH
LQSURFHVVHVDVVRFLDWHGZLWKIXQFWLRQDOUHFRYHU\5HFHQW
S
1HXURVFLHQFH _ 0RQGD\30 _ 0RQ30
%UDNLQJ'RSDPLQH6\VWHPV$1HZ*$%$
0DVWHU6WUXFWXUHIRU0HVROLPELFDQG1LJURVWULDWDO
)XQFWLRQV²&0(
0RQ3030²1HZ2UOHDQV7KHDWHU&
1HXURQVLQWKHDP\JGDODDUHUHVSRQVLYHWRVDIHW\
FXHV66$1*+$8QLYRI&DOLIRUQLD6DQ)UDQFLVFR
&KDQJHVLQDP\JGDODV\QDSVHVWUXFWXUHZLWKIHDU
DQGVDIHW\OHDUQLQJ/26752))1HZ<RUN8QLY
&ORVLQJ5HPDUNV
&KDLU0%$5527
7KHWDLORIWKHYHQWUDOWHJPHQWDODUHDW97$RUURVWURPHGLDO
WHJPHQWDOQXFOHXV507JLVDUHFHQWO\GHVFULEHGEUDLQ
UHJLRQZKLFKLVDPDMRULQKLELWRU\FRQWUROFHQWHUIRU
GRSDPLQHUJLFV\VWHPV7KLVVHVVLRQKLJKOLJKWVWKHIXQFWLRQDO
LPSDFWRIW97$507JLOOXVWUDWLQJLWVQHXURDQDWRPLFDO
FRQQHFWLRQZLWKPHVROLPELFDQGQLJURVWULDWDOSDWKZD\VWKH
FRQWUROLWH[HUWVRQWKHPDQGRQWKHSK\VLRORJLFDOUHVSRQVH
WRGUXJVRIDEXVHDQGWKHEHKDYLRUDOLQÀXHQFHRQUHZDUG
SUHGLFWLRQDQGLQKLELWLRQRIDFWLRQ
$/%(57$1'(//(1*5$66/(&785( (UQHVW10RULDO
&RQYHQWLRQ&HQWHU
0RQ3030²+DOO'
6SHDNHU/$%%277&ROXPELD8QLY
6XSSRUWFRQWULEXWHGE\7KH*UDVV)RXQGDWLRQ
0XFKXQGHUVWDQGLQJRIKRZQHXURQVHQFRGHDQGSURFHVV
LQIRUPDWLRQLVEDVHGRQWKHUHVSRQVHWXQLQJSURSHUWLHV
RILQGLYLGXDOQHXURQV+RZHYHUUREXVWFRPSXWDWLRQFDQ
RFFXUDWWKHSRSXODWLRQOHYHOHYHQZKHQWKHVHOHFWLYLWLHVRI
LQGLYLGXDOQHXURQVDUHQRWHDV\WRFKDUDFWHUL]HRULQWHUSUHW
7KLVOHFWXUHUHYLHZVPHWKRGVIRUDQDO\]LQJSRSXODWLRQ
DFWLYLW\LQVXFKFDVHVDQGVKRZVWKDWFLUFXLWVDSSHDULQJ
GLVRUGHUHGDWWKHVLQJOHQHXURQOHYHOFDQSURYLGHKLJKO\
ÀH[LEOHDQGXVHIXOIXQFWLRQDOLW\DWWKHSRSXODWLRQOHYHO
,QWURGXFWLRQ
8OWUDVWUXFWXUDODQDO\VHVRIW97$507JSURMHFWLRQV
WRWKH9HQWUDO7HJPHQWDO$UHDDQG6XEVWDQWLD1LJUDLQWKH
5DW656(6$&.8QLYRI3LWWVEXUJK
0RGXODWLRQRIGRSDPLQHQHXURQDFWLYLW\E\
DIIHUHQWV,PSOLFDWLRQVLQUHZDUGDQGDYHUVLRQ)*(25*(6
&1568QLY9LFWRU6HJDOHQ
7KH507JLVDNH\VWUXFWXUHLQHQGRFDQQDELQRLG
GHSHQGHQWUHJXODWLRQRIGRSDPLQHQHXURQVUROHLQWKH
PHFKDQLVPVRIGUXJDGGLFWLRQ03,67,68QLYRI&DJOLDUL
1HXUDOFLUFXLWDURXQGWKH507JPHGLDWLQJUHZDUG
SUHGLFWLRQHUURUVLJQDOVLQSULPDWHV6+21*1,+
$FWLRQDQGLQKLELWLRQSDLQDQGSOHDVXUHWKH
RSSRVLQJSROHVRI507JIXQFWLRQ7-+280HG8QLYRI
6RXWK&DUROLQD
W97$FRQWURORYHUWKHPHVROLPELFDQGQLJURVWULDWDO
V\VWHPV0%$5527&156
35(6,'(17,$/63(&,$//(&785( (UQHVW10RULDO
&RQYHQWLRQ&HQWHU
&LUFXLW7XQLQJ'XULQJ'HYHORSPHQWDO&ULWLFDO
3HULRGV²&0(
0RQ3030²+DOO'
6SHDNHU&6+$7=6WDQIRUG8QLY
6XSSRUWFRQWULEXWHGE\3¿]HU,QF
&ORVLQJ5HPDUNV
$GXOWFLUFXLWVHPHUJHGXULQJSHULRGVRIDFWLYLW\GHSHQGHQW
V\QDSVHUHPRGHOLQJ$FWLYLW\UHJXODWHVQHXURQDOJHQHV
LQFOXGLQJ0+&&ODVV,,QPLFHODFNLQJFHUWDLQ0+&,JHQHV
V\QDSVHUHJUHVVLRQLQWKHYLVXDOV\VWHPIDLOVDQGRFXODU
GRPLQDQFHSODVWLFLW\LVHQKDQFHG0LFHODFNLQJWKH0+&,
UHFHSWRU3LU%KDYHVLPLODUSKHQRW\SHV7KXVPROHFXOHV
DFWLQJLQLPPXQLW\PD\DOVROLPLWH[SHULHQFHGULYHQFKDQJH
DWQHXURQDOV\QDSVHV0DQLSXODWLQJWKHPFRXOGHQKDQFH
UHFRYHU\IURPLQMXU\DQGOHDGWRWUHDWPHQWVIRUVFKL]RSKUHQLD
RUDXWLVP
,QKLELWLRQRI)HDUE\/HDUQHG6DIHW\6LJQDOV²&0(
0RQ3030²
1$126<0326,80
&KDLU-3&+5,67,$1621
6DIHW\VLJQDOVDUHOHDUQHGFXHVWKDWSUHGLFWWKHQRQ
RFFXUUHQFHRIDQDYHUVLYHHYHQWDQGDUHSRWHQWLQKLELWRUVRI
IHDU,QYHVWLJDWLRQVRIVDIHW\VLJQDOOHDUQLQJKDYHLQFUHDVHG
RYHUWKHODVWIHZ\HDUVGXHLQSDUWWRWKH¿QGLQJWKDW
WUDXPDWL]HGSHUVRQVIDLOWRXWLOL]HVDIHW\FXHVWRLQKLELWIHDU
7KHJRDORIWKLVPLQLV\PSRVLXPZLOOEHWRSUHVHQWUHFHQW
DGYDQFHVUHODWLQJWRWKHQHXUDODQGEHKDYLRUDOPHFKDQLVPV
RIVDIHW\OHDUQLQJDQGH[SUHVVLRQLQURGHQWVQRQKXPDQ
SULPDWHVDQGKXPDQV
,QWURGXFWLRQ
,PSDLUHGVDIHW\VLJQDOOHDUQLQJLQ376'7
-29$129,&(PRU\8QLY6FKRI0HG
1RQKXPDQSULPDWHPRGHOVRIVDIHW\VLJQDO
OHDUQLQJ$0.$=$0$<HUNHV1DWO3ULPDWH5HV&WU
7KHUHOLHYLQJSURSHUWLHVRIDVDIHW\VLJQDOGLIIHU
IURPWKHUHZDUGLQJSURSHUWLHVRIDQDSSHWLWLYHVWLPXOXV$%
3)(51$1'28QLYRI&DPEULGJH
,QVXODUFRUWH[SODVWLFLW\LVUHTXLUHGIRUVDIHW\VLJQDO
OHDUQLQJ-&+5,67,$16218QLYRI&RORUDGR
7KH&ROOHFWLYH:LVGRPRI1HXURQV²&0(
1$126<0326,80
6LJQDO3URSDJDWLRQ
&HOOXODU0HFKDQLVPV
0RQ30±(UQHVW10RULDO&RQYHQWLRQ&HQWHU
6SDWLRWHPSRUDOSURSHUW\RIVHQVRU\HYRNHG
SRSXODWLRQDFWLYLW\LQFRUWH[-:8:;8;+8$1*.
7$.$*$.,;*$2-/,$1**HRUJHWRZQ8QLY
6SLUDOZDYHVG\QDPLFVLQSULPDU\YLVXDO
FRUWH[RIWKHDQHVWKHWL]HGSULPDWH'%20(51.
/2*27+(7,60D[3ODQFN,QVW)RU%LRO&\EHUQHWLFV
%HWDRVFLOODWLRQVSURSDJDWHDVWUDYHOLQJZDYHVLQ
WKHPDFDTXHSUHIURQWDOFRUWH[)3$1$*,27$52328/26
0%(66(59(1/2*27+(7,60D[3ODQFN,QVW
S
:DYHSURSDJDWLRQVSLNLQJG\QDPLFVDQG
EHKDYLRUDOVWDWHLQPRWRUFRUWH[.%52:1.
7$.$+$6+,1*+$762328/26+DWVRSRXORV/DE
8QLYRI&KLFDJR
$QHWZRUNRIVXESRSXODWLRQRIQHXURQVLQ
SULPDU\PRWRUFRUWH[DQGEHWDRVFLOODWLRQZDYHVH[KLELW
VLPLODUVSDWLRWHPSRUDOSDWWHUQV.7$.$+$6+,6
.,0.$%52:1/3(6&(73&2/(0$11*
+$762328/268QLYRI&KLFDJR8QLYRI&DOLIRUQLD6DQ
'LHJR8QLYRI&KLFDJR
,GHQWL¿FDWLRQRIVSDWLRWHPSRUDOSDWWHUQVLQWKH
KLSSRFDPSDOWKHWDUK\WKP*$*$5:$/*%8=6$.,)
76200(58&%HUNHOH\1HZ<RUN8QLY
%H\RQGVLQJOHQHXURQUHVSRQVHV1HWZRUNV
FDSWXUHHQVHPEOHFRGLQJSURSHUWLHVDQGUHRUJDQL]DWLRQ
LQFRUWH[6(/'$:/$7/<$(/(5<$1$02+(%,
0$*+$*2/=$'(+.*2:(,66$LQ6KDPV8QLY
0LFKLJDQ6WDWH8QLY0LFKLJDQ6WDWH8QLY0LFKLJDQ6WDWH
0XOWLSOHLQWHJUDWLRQVFDOHVIRU/)3VLQPDFDTXH
93-0,1($8/773=$126&&3$&.0RQWUHDO
1HXURORJ,QVW
7KHUHODWLRQEHWZHHQORFDO¿HOGSRWHQWLDOVDQG
VLQJOHXQLWVDFURVVDPLFURHOHFWURGHDUUD\LPSODQWHGLQ
PDFDTXHGRUVRODWHUDOSUHIURQWDOFRUWH[$-6$&+6.-
0,//(5)3,(3(50/($9,77-0$57,1(=758-,//2
6WDQIRUG8QLY0HG&HQWHU'HSWRI1HXURVXUJ6WDQIRUG
8QLY8QLY0HG&WU+DPEXUJ(SSHQGRUI0F*LOO8QLY
7KHG\QDPLFVRIQHWZRUNDFWLYLW\LQWKHDXGLWRU\
FRUWH[RIDZDNHEHKDYLQJPLFH0-0&*,1/(<'$
0&&250,&.<DOH8QLY
5HSUHVHQWDWLRQRIKLJKIUHTXHQF\VWLPXOL
E\LQWHUQDOO\JHQHUDWHGJDPPDRVFLOODWLRQVLQWKH
VRPDWRVHQVRU\FRUWH[RIWKHUDW7%(66$,+0-
+,*/(<'&2175(5$68QLY3LHUUH(W0DULH&XULH<DOH
VFKRRORIPHGLFLQH8QLYRI3HQQV\OYDQLD6FKRI0HG
,GHQWL¿FDWLRQRIQHXUDOIXQFWLRQDOFRQQHFWLYLW\XVLQJ
VSDUVHJHQHUDOL]HG9ROWHUUDPRGHOV'621*+:$1*
9=0$50$5(/,67:%(5*(586&&RORUDGR6WDWH
8QLY
6HTXHQFHVDQGWKHHPHUJHQFHRIFRQWLQXRXV
DWWUDFWRUQHWZRUNV9,76.29&&8572$9(/,=&8%$
8QLYRI1HEUDVND
1$126<0326,80
&HOOXODU0HFKDQLVPV
([RF\WRVLVRI$73IURPFRUWLFDODVWURF\WHV1RYHO
SDWKZD\RIJOLDQHXURQLQWHUDFWLRQ<3$1.5$7292
3$/<*,18/$/28QLYRI:DUZLFN8QLYRI0DQFKHVWHU
&3(%PHGLDWHGORFDOSURWHLQV\QWKHVLVUHJXODWHV
JOLREODVWRPDFHOOPLJUDWLRQ'0.2&+$1(.'*
:(//6<DOH8QLY
+XPDQHPEU\RQLFVWHPFHOOGHULYHGQHXURQVDQG
DVWURF\WHVDVDQH[SHULPHQWDOPRGHOIRUDFXWHEUDLQLQMXU\
LQYHVWLJDWLQJDVWURF\WHDQGGUXJPHGLDWHGQHXURSURWHFWLRQ
LQR[LGDWLYHVWUHVVDQGH[FLWRWR[LFLW\.*837$53$7$1,
3%$;7(5$6(5,2'6725<*+$5',1*+$06
&+$1'5$18QLYRI&DPEULGJH8QLYRI&DPEULGJH8QLY
RI(GLQEXUJK8QLYRI(GLQEXUJK
0RELOLW\RIODWHHQGRVRPHVO\VRVRPHVLQ
LQWHUIHURQaDFWLYDWHGDVWURF\WHV19$5'-$10
*$%5,-(/03272.$58à9$-*(50.5()70
-(5$603(.1<5=25(&)DFRI0HGLFLQH8QLYRI
/MXEOMDQD&HOLFD%LRPHG&WU%ORRG7UDQVIXVLRQ&WURI
6ORYHQLD)DFRI0HGLFLQH8QLYRI/MXEOMDQD%LRWHFKQLFDO
)DFXOW\8QLYRI/MXEOMDQD,QVWRI1HXURVFLDQG3K\VLRORJ\
6DKOJUHQVND$FDGDW8QLYRI*RWKHQEXUJ
$VWURF\WHVPHGLDWHV\QDSVHHOLPLQDWLRQWKURXJK
0(*)DQG0(57.SKDJRF\WLFSDWKZD\V:&+81*
*;:$1*6-60,7+%$%$55(66WDQIRUG8QLY
6WDQIRUG8QLY
3DOPLWDWHDFWLYDWHGLQÀDPPDVRPHLQSULPDU\
UDWDVWURF\WHVPHGLDWHVQHXURWR[LFLW\//,8&&+$1
0LFKLJDQ6WDWH8QLY
'LVWULEXWLRQDQGPRUSKRORJ\RIDVWURJOLDOFHOOV
LQWKHLPPDWXUHKXPDQEUDLQ9*6835$0$1,$0
59217(//33$7.((-:<$77$6+0($'+
+$*%(5*0587+(5)25'3HULQDWDO,PDJLQJ*URXS
&WU)RUWKH'HYHORSLQJ%UDLQ05&5REHUW6WHLQHU058QLW
,PSHULDO&RO/RQGRQ+DPPHUVPLWK+RVS:LJJOHVZRUWK
3HULQDWDO3DWKRORJ\6HUYLFHV
3ULPDU\FLOLDLQDVWURF\WHV6%+$77$5$,00
&2521(/+'6&+:$5.-/)8&+68QLYRI1RUWK
7H[DV
'LIIHUHQWHIIHFWVRI$P\ORLG`RQHQWRUKLQDOFRUWH[
DQGKLSSRFDPSDODVWURF\WHVLQFXOWXUH$$*52//$$$
*(1$==$1,3/&$121,&2--52'5,*8(=-$
6,0$9(5.+5$76.<8QLYHUVLWD¶GHO3LHPRQWH2ULHQWDOH
8QLY3LHPRQWH2ULHQWDOH,.(5%$648(%DVTXH)QGQIRU
6FL)/68QLYRI0DQFKHVWHU
7KHUROHRIDVWURF\WLFPRQRFDUER[\ODWHWUDQVSRUWHU
0&7XSUHJXODWLRQLQFHQWUDOQHUYRXVV\VWHP/
/,$1*</,(<$1*%+229(556$77/(5-'
527+67(,1-RKQV+RSNLQV8QLY7KH-DFNVRQ/DE
1HXURPRGXODWRUVDQGPHWDEROLFLQKLELWRUVHYRNH
GLVWLQFWSDWWHUQVRIF\WRVROLFFDOFLXPULVHVLQFXOWXUHGKXPDQ
IHWDOEUDLQQHXURQVYHUVXVDVWURF\WHV.%$//$1<,:)8
$58$1*.,77,6$.8/-+-+$0$1'$6*%%$.(5
8QLY$OEHUWD8QLY$OEHUWD8QLYRI$OEHUWD8QLYRI$OEHUWD
8QLYRI$OEHUWD
S
1HXURVFLHQFH _ 0RQGD\30 _ 1$126<0326,80
*OLD1HXURQ,QWHUDFWLRQV$VWURF\WHV,
$VWURF\WHVUHJXODWHFURVVWDONEHWZHHQW3$DQG
JOXWDPDWHUJLFVLJQDOOLQJ$%5,(16-5)&$66e,
%$5'28/'$1*/27$0217$*1(06&+:$/0-
3$5&47*$//,'9,9,(1)'2&$*1(,16(508
638,16(508
0RQ30
6DFFDGHVLQGXFH/)3ZDYHVDQGDOWHUVLQJOH
QHXURQ)XQFWLRQDO&RQQHFWLYLW\LQPDFDTXHYLVXDOFRUWH[7
3=$1263-0,1($8/7-$0217(21'*8,7721
&&3$&.0RQWUHDO1HXURORJ,QVWLWXWH0F*LOO8QLY
5DQGRPL]DWLRQRIVXEPD[LPDOJOXWDPDWHVWLPXOXV
WRLQWHUSUHWDVWURF\WHHIIHFWRQFDOFLXPG\QDPLFV$
%5,(16-5)&$66e,%$5'28/'$1*/27$
0217$*1(06&+:$/0-3$5&47*$//,'
9,9,(1)'2&$*1(,16(508638&$(1
)UDQFH,16(5083DULV)UDQFH
1$126<0326,80
$O]KHLPHU¶V'LVHDVH1HXURLQÀDPPDWLRQ,,
5LJVLJQDOLQJLVLQYROYHGLQWKHSDWKRJHQHVLV
RI$O]KHLPHU¶VGLVHDVH-3'(5,9(529$&&$5,)
%5$1',,,&6('$*+$7'0$6+:',(75,&+5:
.($1(8QLY0LDPL6FK0HG8QLYRI0LDPL
&HOODQGVWDJHVSHFL¿FLPSDFWRI71)
DOSKDUHFHSWRUVLJQDOLQJLQ$O]KHLPHU¶VGLVHDVH6/
0217*20(5<0$0$675$1*(/2:&1$552:
7::5,*+70.2¶%$1,21:-%2:(568QLYRI
5RFKHVWHU8QLYRI5RFKHVWHU8QLYRI5RFKHVWHU
&RPPRQPLFUR51$VPL51$VWDUJHWFRPSOHPHQW
IDFWRU+&)+UHJXODWLRQLQ$O]KHLPHU¶VGLVHDVH$'DQGLQ
DJHUHODWHGPDFXODUGHJHQHUDWLRQ$0':-/8.,:6
%+$77$&+$5-((3'8$31$/(;$1'529/RXLVLDQD
6WDWH8QLY6FK0HG/RXLVLDQD6WDWH8QLY5XVVLDQ$FDG
RI0HG6FL
$VKLIWLQPLFURJOLDO`DP\ORLGELQGLQJLQ
$O]KHLPHU¶VGLVHDVHLVDVVRFLDWHGZLWKFHUHEUDODP\ORLG
DQJLRSDWK\0.=$%(/06&+5$*$&52)7216
781*+99,17(563%($8)21'$',1,11,:0
.,56&+/RPD/LQGD8QLY/RPD/LQGD8QLY<DOH8QLY
8&/$
/RVVRIWDXUHVFXHVLQÀDPPDWLRQPHGLDWHG
QHXURSDWKRORJ\.%+$6.$510$3+,6*;821
.2.,.2&2&+5$1505$162+2))%7/$0%
&OHYHODQG&OLQ)QGWQ&DVH:HVWHUQ5HVHUYH8QLY
$P\ORLGEHWDSHSWLGHDVDUHJXODWRURISLQHDOJODQG
PHODWRQLQSURGXFWLRQ(&(&213$&0)(51$1'(6
(7$085$530$5.868QLYRI6DR3DXOR
,QFLGHQFHRISOXJJHGFDSLOODULHVLQ$O]KHLPHU¶V
GLVHDVHPRXVHPRGHOVGHFUHDVHVZLWKDJH1
1,6+,085$&.(56%(5*(1,,9$6<.-&
&58=-=+28-'%(9(5/<(6/$&.*277(3
.$5/6621736$17,6$.8/7$50&,$'(&2/$&%
6&+$))(5&RUQHOO8QLY:HLOO0HG&RORI&RUQHOO8QLY
$G\VUHJXODWHGHQGRFDQQDELQRLGHLFRVDQRLG
QHWZRUNVXSSRUWVSDWKRJHQHVLVLQDPRXVHPRGHORI
$O]KHLPHU¶VGLVHDVH-53,52',%(1-$0,1-
0'8(55<3,&*21=$/(6.0:22'-:
6&+:$57='.12085$7$6$0$'3¿]HU,QF8QLY
RI&DOLIRUQLD%HUNHOH\
1$126<0326,80
6ROXEOH7ROOOLNHUHFHSWRUVDVWRROVWRLQYHVWLJDWH
LQQDWHLPPXQHV\VWHPLQGXFHG$`FOHDUDQFH3
&+$.5$%$57<3&58=/7,$1%$,$526$5,27
*2/'(8QLYRI)ORULGD
S$XWRSKDJ\FKDQJHVLQ$O]KHLPHU¶VGLVHDVH
DFFRUGLQJWRLQWHQVLW\RILQÀDPPDWLRQ$)5$1&2,6)
7(5527-$1(7$5,28;%,/$1'&+$66$,1*0
3$&&$/,1*3$*(($0RO7DUJHWVDQG7KHUDSHXW
RI$O]KHLPHU¶V'LV8QLY/LPRJHV/DERI+LVWRORJ\DQG
PROHFXODU%LRORJ\IDFXOW\RI0HGLFLQH/LPRJHV)
)UDQFH6HUYLFHG¶KLVWRORJLHHWGHF\WRJpQpWLTXH+{SLWDO
GHOD0qUHHWGHO¶(QIDQW/LPRJHV))UDQFH&+8
3RLWLHUV6HUYLFHGH*pULDWULH&055&,&33RLWLHUV
))UDQFH
$QDQWLGLDEHWHVDJHQWSURWHFWVWKHPRXVHEUDLQ
IURPGHIHFWLYHLQVXOLQVLJQDOLQJFDXVHGE\$O]KHLPHU¶V
GLVHDVHDVVRFLDWHG$`ROLJRPHUV75%20),0/
)251<*(50$12/%6$7+/(5-%5,72025(,5$
-+28=(/+'(&.(50$6,/9(50$1+.$=,+0
0(/23/0&&/($1&+2/6&+(56($512/'.
7$/%27:/./(,1'30812=67)(55(,5$)*
'()(/,&()HGHUDO8QLYRI5LR'H-DQHLUR6LPRQ)UDVHU
8QLY8QLYRI3HQQV\OYDQLD8OVWHU8QLY1RUWKZHVWHUQ
8QLY4XHHQ¶V8QLY
,QÀXHQFHRIEUDLQVSHFL¿FRYHUSURGXFWLRQRIWKH
SURLQÀDPPDWRU\FRPSOHPHQWDFWLYDWLRQIUDJPHQW&DRQ
EHKDYLRUDQGLQÀDPPDWLRQLQPRXVHPRGHOVRI$O]KHLPHU¶V
GLVHDVH7$&2/(6&+8$75$1$52&&+,55
$*(50,)216(&$65%$5180$-7(11(58
RI&,UYLQH8RI&,UYLQH8QLYRI6LHQD8$%
1HXURLQÀDPPDWRU\SKHQRW\SHDVDVRXUFHRI
KHWHURJHQHLW\LQHDUO\$O]KHLPHU¶VGLVHDVH7/68''87+
371(/621)$6&+0,77'0:,/&2&.8QLYRI
.HQWXFN\
1$126<0326,80
$33$EHWD$QLPDO0RGHOV,,
6WUHQJWKVDQGZHDNQHVVHVLQEHKDYLRUDO
SKHQRW\SLQJRIJHQHWLFDOO\PRGL¿HGPLFH'3:2/)(5
+/,338QLY=XULFK,UFKHO
0RGHOLQJEHKDYLRUVUHOHYDQWWRDXWLVPDQGRWKHU
QHXURSV\FKLDWULFGLVRUGHUVLQPLFH9-%2/,9$501
62/$1.,-/$1*$1.0$1/(<:DGVZRUWK&WU6FKRI
3XEO+HDOWK8QLYDW$OEDQ\6WDWH8QLYRI1HZ<RUN
7UDQVJHQLF$33H[SUHVVLRQGXULQJSRVWQDWDO
GHYHORSPHQWFDXVHVSHUVLVWHQWORFRPRWRUK\SHUDFWLYLW\DQG
((*DEQRUPDOLWLHVLQWKHDGXOW-/-$1.2:6.<63
52'*(56+$%2513'$6%D\ORU&RORI0HG0D\R
&OLQ)ORULGD
(IIHFWVRIDFXWHLQKLELWLRQRI$33$`SURGXFWLRQ
LQDGXOWKRRGDUHPRGXODWHGE\$33RYHUH[SUHVVLRQGXULQJ
GHYHORSPHQW$96$921(1.270(/1,.29$6
)520+2/7+.,0'/(((&+2'%25&+(/7
-RKQV+RSNLQV8QLY0F.QLJKW%UDLQ,QVWLWXWH8QLYRI
)ORULGD
5DSLGUHYHUVDORIFRJQLWLYHLPSDLUPHQWE\
VXSSUHVVLRQRIPXWDQW$33H[SUHVVLRQLQDUHJXODWHG
WUDQVJHQLFPRGHORI$O]KHLPHUDP\ORLGRVLV'5
%25&+(/770(/1,.29$6)520+2/7+.,0'
/((*;8.)(/6(167(,1$6$921(1.28QLYRI
)ORULGD-RKQV+RSNLQV8QLY6FKRI0HG
$P\ORLGEHWDGRHVQRWFDXVHFRJQLWLYHLPSDLUPHQW
LQPRXVHPRGHOV&*-$1863&+$.5$%$57<$
0$5&+7*2/'(-.,08QLYRI)ORULGD8QLYRI)ORULGD
'HSWRI1HXURORJ\:DVKLQJWRQ8QLY6FKRI0HG
$VLQJOHORFXVNQRFNLQPRXVHPRGHORI$'7&
6$,'276$,725,.(1%UDLQ6FL,QVW5,.(1%UDLQ6FL
,QVW
6DWXUDWHG)UHHIDWW\DFLGFRQVXPSWLRQPD\
LQFUHDVHWKHULVNIRU$O]KHLPHU¶VGLVHDVH2*+5,%,81'
0HG6FK
,QFUHDVLQJ2*OF1$F\ODWLRQRIEUDLQSURWHLQV
FRXQWHUDFWVQHJDWLYHHIIHFWVRIDP\ORLGDQG7DX)9$1
/(89(13%25*+*5$()+'(9,-9(5%/(&+$7+
*,-6(1&0(18(7*+,/$,5('02(&+$56([SWO
*HQHW*URXS/(*7(**-DQVVHQ5'035HVSLUDWLRQ
S
0RGXODWLRQRIDEHWDGHSRVLWLRQE\FHOOVSHFL¿F
PHFKDQLVPV.9((5$5$*+$9$/8666,62',$8QLY
&KLFDJR
&RPSDUDWLYHDQDO\VLVRIQHXURQDOPRUSKRORJ\RI
VLQJOHDQGFRPELQHG$33$3/3NQRFNRXWPLFHUHYHDOVD
UHGXFHGVSLQHGHQVLW\LQ$33.2PLFHWKDWLVUHVFXHGE\
VHFUHWHG$33V_808//(50+,&.-*2%%(57
00$57$=$*5(%(/6.<0*58%(5'%(&.(5
&$/70$11$9/$&+260.257(7'(//(56
:(<(5+HLGHOEHUJ8QLY78%UDXQVFKZHLJ*RHWKH
8QLYHUVLW\
([SUHVVLRQRIWXPRUVXSSUHVVRUJHQH
DGHQRPDWRXVSRO\SRVLVFROL$3&DQGLWVUROHLQ
ROLJRGHQGURJOLDOOLQHDJHFHOOV)*82-/$1*<0$('$
'3/($685(8&'DYLV6FK0HGWKH,QVWIRU3HGLDWULF
5HJHQHUDWLYH0HGLFLQH6KULQHUV+RVSIRU&KLOGUHQ
1RUWKHUQ&$
1$126<0326,80
9XOQHUDELOLW\WR'UXJ6HOI$GPLQLVWUDWLRQDQG$GGLFWLRQ
1$126<0326,80
'HP\HOLQDWLQJ'LVRUGHUV0ROHFXODUDQG&HOOXODU
0HFKDQLVPV,
&RJQLWLYHFRQWUROG\VIXQFWLRQDQGDEQRUPDOIURQWDO
FRUWH[DFWLYDWLRQLQVWLPXODQWGUXJXVHUVDQGWKHLUELRORJLFDO
VLEOLQJV'*60,7+36-21(6(7%8//025(7
:52%%,16.'(56&+(8QLYRI&DPEULGJH8QLYRI
&DPEULGJH8QLYRI&DPEULGJH*OD[R6PLWK.OLQH
$WUDQVODWLRQDODQDO\VLVRILPSXOVLYLW\DQGGUXJ
DEXVHYXOQHUDELOLW\7+.(//<-$/,/('&/((<
-,$1*07%$5'28QLYRI.HQWXFN\&RORI0HG8QLY
RI.HQWXFN\$UWV6FL
7*)EHWDVLJQDOLQJGULYHVROLJRGHQGURF\WH
SURJHQLWRUFHOOVP\HOLQDWLRQDQGUHP\HOLQDWLRQ-
3$/$=8(/260./,1*(1(5$$*8,55(6WRQ\%URRN
8QLYHUVLW\681<
+LJKWUDLWLPSXOVLYLW\SUHGLFWVDVORZHUWUDQVLWLRQ
WRGRUVRODWHUDOVWULDWDOGRSDPLQHFRQWURORIFRFDLQHVHHNLQJ
EHKDYLRU-(0855$<5',//((1<3(//28;'
(&2120,'28(5-25'$1-:'$//(<'%(/,1
%-(9(5,778QLYRI&DPEULGJH8QLYRI$L[0DUVHLOOH
8QLYRI&DPEULGJH7HDP3V\FKRELRORJ\RI&RPSXOVLYH
'LVRUGHUV,16(50
3,.aGHOHWLRQRULQKLELWLRQHQKDQFHVD[RQ
P\HOLQDWLRQDQGDOOHYLDWHVV\PSWRPVRIH[SHULPHQWDO
DXWRLPPXQHHQFHSKDORP\HOLWLVLQPLFH+/,+:$1*6
529,16.<6/,876RXWKZHVWHUQ0HG&QHWHU
%HKDYLRXUDOWUDLWVSUHGLFWLQJDOFRKROLQWDNHLQUDWV
$Q[LHW\QRYHOW\VHHNLQJDQGFRJQLWLYHÀH[LELOLW\0&
2/067($'0.0$+21(<6-+$<7214XHHQV
8QLY6WDQIRUG8QLY
7KHWLPLQJRIROLJRGHQGURF\WHNLOOLQJGHWHUPLQHVWKH
SRWHQWLDORIP\HOLQUHSDLULQSRVWQDWDOEUDLQ$6+$%%,5:
%0$&./,10*+$1'285805&1568QLYHUVLWp
GH6WUDVERXUJ8QLYRI&RORUDGR
,QÀXHQFHRIHQYLURQPHQWDOVWLPXODWLRQRQ
EHKDYLRXUDOWUDLWVRIYXOQHUDELOLW\WRDQGGHYHORSPHQW
RIDGGLFWLRQOLNHEHKDYLRXUIRUFRFDLQHLQWKHUDW1
9$1+,//('%(/,1,16(50$YHQLU7HDP3V\FKRELRORJ\
RI&RPSXOVLYH'LVRUGHUV
+RUPRQH±OLNHDFWLYLW\RINDOOLNUHLQUHJXODWHV
ROLJRGHQGURF\WHGLIIHUHQWLDWLRQDQGZKLWHPDWWHU
GHJHQHUDWLRQ-(%85'$05$'8/29,&,$
6&$5,6%5,&.0D\R&OLQ0D\R&OLQ
,QWHUIHURQaDFWLYDWHVDQWLDSRSWRWLFVLJQDOLQJ
SDWKZD\WRSURWHFWROLJRGHQGURF\WHVIURPFHOOGHDWK'&
7$11(500$<(53526&+(/8QLY5RFKHVWHU
(IIHFWRIPLFURJOLDODFWLYLW\XSRQQHXURQDOSDWKRORJ\
IROORZLQJWDUJHWHGDSRSWRVLVRIP\HOLQDWLQJJOLD7'
0(5621</;,1*-6675$77216:1*7-
.,/3$75,&.)ORUH\1HXURVFL,QVW8QLYRI0HOERXUQH
5HJXODWLRQRIROLJRGHQGURF\WHSUHFXUVRUFHOOV
GLIIHUHQWLDWLRQE\WKH3<OLNH*35UHFHSWRU03
$%%5$&&+,20)80$*$//,'/(&&$(%21)$17,
&3$55$9,&,1,6'$1,(/(/75,1&$9(//,&
0$57,1,8QLY0LODQR8QLYRI3LVD
7KHSHULSKHUDOQHXURSDWK\OLQNHGSKRVSKRLQRVLWLGH
SKRVSKDWDVHV0WPUDQG0WPUORFDOL]HWRD6FKZDQQ
FHOOHQGRPHPEUDQHFRPSDUWPHQWGLVWLQFWIURPWKHHDUO\RU
ODWHHQGRVRPH)/52%,1621$0/2*$1$$1*
(-6&+0,'72UHJRQ+OWK6FL8QLY
S
7KHHIIHFWVRIGLIIHUHQWLDOUHDULQJRQLQGLYLGXDO
GLIIHUHQFHVLQUHVSRQVHWRQRYHOW\DQGDPSKHWDPLQH0
&$,1'$6$8&,(50-(&.0-$*26=.DQVDV
6DWH8QLY
0DWHUQDOH[SHULHQFHSURWHFWVIHPDOHUDWVDJDLQVW
GUXJDEXVHOLDELOLW\-$&800,1*6-%%(&.(58QLY
RI0LFKLJDQ8QLYRI0LFKLJDQ8QLYRI0LFKLJDQ8QLYRI
0LFKLJDQ
5DWVVHOHFWLYHO\EUHGIRUORFRPRWRUUHVSRQVH
WRQRYHOW\GLIIHULQDGGLFWLYHEHKDYLRUDQGLQWKHLUJHQH
H[SUHVVLRQSUR¿OHLQWKHQXFOHXVDFFXPEHQV6%
)/$*(/0:$6(/8666(:$1,5.(//<6-
:$762157+203621+$.,/8QLYRI0LFKLJDQ8QLY
RI0LFKLJDQ
2[\WRFLQGHFUHDVHGPRWLYDWLRQIRU
PHWKDPSKHWDPLQHLQIHPDOHUDWV&05(,&+(/%
0&2;$%<281*5(6((0HG8QLYRI6RXWK
&DUROLQD
7UDLWVHOHFWLRQIRUKLJKYVORZQRQGUXJUHZDUG
VHHNLQJSUHGLFWVFRFDLQHVHHNLQJEXWUHGXFHGDYHUVLYH
HIIHFWVDQGWUHDWPHQWVXFFHVVLQUDWV0(&$552//1
$+2/7=365(*,(58QLY0LQQHVRWD
&RFXOWXUHRI1*)SULPHG3&FHOOVDQG
LPPRUWDOL]HG6FKZDQQFHOOVDVDYDOXDEOHWRROIRUWKH
VWXG\RIP\HOLQDWLRQDQGGHP\HOLQDWLRQ.6$1*2
+<$1$*,6$:$67$.$.8(.$:$.$0,0
768.$0272.8768120,<$.:$7$%(7RN\R0HW
,QVW0HG6FL-LNHL8QLY6FKRI0HG
0RQ30
7KH51$ELQGLQJSURWHLQKQ513$FRQWULEXWHV
WRPHFKDQLVPVRIQHXURGHJHQHUDWLRQLQLPPXQHPHGLDWHG
QHXURORJLFDOGLVHDVH-1'28*/$6/*$5'1(56
/((<6+,1&-*5229(560$,1$/,0&/(9,1
8QLYRI7HQQHVVHH+OWK6FL&WU9$0HG&WU8QLYRI
7HQQHVVHH+OWK6FL&WU
,QGLYLGXDOGLIIHUHQFHVLQFXHLQGXFHGFRFDLQH
UHODSVHLVDVVRFLDWHGZLWKUDSLGV\QDSWLFSRWHQWLDWLRQ&'
*,3621<0.83&+,.+6+(13:.$/,9$60HG
8QLYRI6RXWK&DUROLQD
(QKDQFHPHQWRIDGGLFWLYHEHKDYLRUVDQG
QHXURFKHPLFDOPDUNHUVDVVRFLDWHGZLWKGUXJDGGLFWLRQLQ
WZRGLVWLQFWDQLPDOPRGHOVRIGHSUHVVLRQ1=,/.+$$
=$1*(1:HL]PDQQ,QVWRI6FL%HQ*XULRQ8QLYRIWKH
1HJHY
6H[GLIIHUHQFHVLQEHKDYLRUDODQGQHXUDOFURVV
VHQVLWL]DWLRQDQGHVFDODWHGFRFDLQHWDNLQJDVDUHVXOWRI
VRFLDOGHIHDWVWUHVVLQUDWV(1+2//<$6+,0$0272
-)'(%2/'.$0,&=(.7XIWV8QLY
1$126<0326,80
(\HPRYHPHQWV$:LQGRZWRWKH6RXORI&LUFXLWV
1$126<0326,80
9LVXDODQGPRWRUFRGLQJLQ)URQWDO(\H)LHOGV
GXULQJKHDGXQUHVWUDLQHGJD]HVKLIWV$6$-$'0
6$'(+;<$1*3.(,7++:$1*-'&5$:)25'
&WU)RU9LVLRQ5HVHDUFK<RUN8QLY
0RGHOLQJVHQVRU\XQFHUWDLQW\UHSURGXFHVVDFFDGH
SXUVXLWV\QHUJLHV3/()(95(6&233(-25%$1
'(;,95<*%/2+0,&7($0DQG,QVWRI1HXURVFLHQFH
8QLYFDWKROLTXHGH/RXYDLQ&WUIRU1HXURVFL6WXGLHV
4XHHQ¶V8QLY&DQDGLDQ$FWLRQDQG3HUFHSWLRQ1HWZRUN
&$3QHW
+\SRPHWULFVDFFDGHVWRWDUJHWVPRYLQJLQFLUFXODU
WUDMHFWRULHV%OXUULQJWKHGLVWLQFWLRQEHWZHHQUHÀH[LYHDQG
YROXQWDU\PRYHPHQW5$=$',$2+2/&20%(-$
('(/0$1&81<*UDG&WU7KH8QLYRI6\GQH\&LW\&RO
RI1HZ<RUN
(OHFWURSK\VLRORJLFDOHUURUVLJQDOVGULYHUDSLG
VHQVRULPRWRUOHDUQLQJ'%(/<86$5+)5(<$&
61<'(50+$5:22'--)2;($OEHUW(LQVWHLQ&RORI
0HG8QLYRI3LWWVEXUJK&LW\&RORI1HZ<RUN
S
6WUXFWXUDOFKDQJHLQJUH\PDWWHUDQGZKLWH
PDWWHULQ([SUHVVVDFFDGHPDNHUVRI&KLQHVHSRSXODWLRQ
;-,$1*<0(1*-=+21*/4,86/,3.12;4
*21*;+8$1*+XD[L0DJQHWLF5HVRQDQFH5HV&WU
8QLYRI/LYHUSRRO
1$126<0326,80
+HGRQLF5HZDUG&LUFXLWVDQG)HHGLQJ0HFKDQLVPV,
7KHG\QDPLFVRIVSDWLDODQGIHDWXUHEDVHG
DWWHQWLRQGXULQJVDFFDGHSUHSDUDWLRQ$/:+,7(0
52/)60&$55$6&21HZ<RUN8QLY1HZ<RUN8QLY
&RPSDULQJWKHKXPDQDQGPDFDTXHIURQWRVWULDWDO
RFXORPRWRUQHWZRUN6)1(**(5606<281*
%%=$1'%(/7-'6&+$//5XGROI0DJQXV,QVWRI
1HXURVFL9DQGHUELOW9LVLRQ5HV&HQWHU&WUIRU,QWHJUDWLYH
&RJQLWLYH1HXURVFL
S
$QRUH[LDGHSHQGVRQWKH$.$33.$FRPSOH[
XQGHUWKHLQÀXHQFHRIVHURWRQLQUHFHSWRUVLQWKHQXFOHXV
DFFXPEHQV035$7/21*//$85(173%2866$',$
9&203$1,*)81,9(56,7('(1,0(6&2175$/&2
5HVWLQJVWDWHIXQFWLRQDOFRQQHFWLYLW\RIWKHIURQWDO
DQGSDULHWDOOREHLQQHZZRUOGDQGROGZRUOGSULPDWHV$9
0$,(5/&+(1$0,6+5$):$1*'&&2/9,1
$71(:7210<281*-&*25(-'6&+$//
9DQGHUELOW8QLY&WUIRU,QWHJUDWLYHDQG&RJQLWLYH1HXURVFL
9DQGHUELOW9LVLRQ5HV&WU9DQGHUELOW8QLY
'LYHUJHQWFLUFXLWU\XQGHUO\LQJIRRGUHZDUGDQG
LQWDNHHIIHFWVRIJKUHOLQGRSDPLQHUJLF97$DFFXPEHQV
SURMHFWLRQPHGLDWHVJKUHOLQ¶VHIIHFWRQIRRGUHZDUGEXWQRW
IRRGLQWDNH.36.,%,&.$56+,5$=,0$/9$5(=
&5(6326/',&.6217KH6DKOJUHQVND$FDG$W8QLY
RI*RWKHQEXUJ,QVWRI1HXURVFL$6DKOJUHQVND$FDGHP\
8QLYRI*RWKHQEXUJ,QVWRI1HXURVFL
+RPRORJRXVIXQFWLRQDOFRQQHFWLYLW\DUFKLWHFWXUH
RIWKHPRQNH\DQGKXPDQVDFFDGHUHODWHGQHWZRUNV5
+87&+,621-3*$//,9$1-&&8/+$0-6*$7,
560(1216(9(5/,1*:HVWHUQ8QLY
6HQVLQJVDWLHW\LQWKHIUXLWÀ\EUDLQ$322/
3.9(//2.0$110'*25'216.&+(81*
.6&2778QLYRI&DOLIRUQLD%HUNHOH\8QLYRI%ULWLVK
&ROXPELD
)URQWDOH\H¿HOGPD\EH³UHDGRXW´GLIIHUHQWO\IRU
DXGLWRU\YVYLVXDOVDFFDGHV9&$5862'3$*(6-
0*52+'XNH8QLYHUVLW\&WU)RU&RJQLWLYH1HXURVFL
'XNH8QLYHUVLW\&WU)RU&RJQLWLYH1HXURVFLHQFH'HSWRI
3V\FKRORJ\DQG1HXURVFLHQFH'HSWRI1HXURELRORJ\'XNH
,QVWIRU%UDLQ6FL'XUKDP1&
([SUHVVLRQRIWKH0$3NLQDVHSURWHLQLQEUDLQ
UHJLRQVRIUDWVH[SRVHGWRFDIHWHULDGLHW(085,//2
52'5,*8(='6È1&+(=/Ï3(=$7(-('$3$'5Ï1
$6$5525$0Ë5(=/%8(1),/&$1727526$6
'(3$=(3$&+(&23$172-$/DE1HXURFLHQFLDV
0ROHFXODUHVH,QWHJUDWLYDV(VFXHODGH0HGLFLQD/DE
1HXURFLHQFLDV0ROHFXODUHVH,QWHJUDWLYDV(VFXHODGH
0HGLFLQD8QLY$QiKXDF0D\DE(VFXHODGH0HGLFLQD8QLY
$QiKXDF0D\DE
³:KHUH¶V:DOGR´DQGWKHGHYHORSPHQWRIVPDOO
VDFFDGHVPLFURVDFFDGHVIURPWRGGOLQJWRUHWLULQJ-
'$1,(/67&223(56+,7=(0$11/32576
%(&.(50$1,QGLDQD8QLY,OOLQRLV&RORI2SWRPHWU\
9LVXDO¿[DWLRQLVYLVXDOH[SORUDWLRQRQDPLQLDWXUH
VFDOH-27(520,//$16/0$&.1,.5(
/$1*672160$57,1(=&21'(%DUURZ1HXURO,QVW
8QLYRI9LJR%DUURZ1HXURORJ,QVW8QLYRI$UL]RQD
'LIIHUHQFHVLQVL]HLQFUHDVLQJDQGVL]HGHFUHDVLQJ
ORQJWHUPVDFFDGHDGDSWDWLRQLQPRQNH\$/08(//(5
$'$9,6)52%,16218QLYRI:DVKLQJWRQ
'LVVHFWLRQRIWKHQHXUDOPHFKDQLVPXQGHUO\LQJWKH
PHWDEROLFVHQVLQJRIVXJDUVLQ'URVRSKLOD0'86*6%
68+1<86FKRI0HGLFLQH6NLUEDOO,QVW
2EHVLW\DOWHUVGRSDPLQHUHZDUGV\VWHP
,PSRUWDQFHRIFULWLFDOGHYHORSPHQWDOSHULRGVDQG
VH[GLIIHUHQFHV-&$5/,1705(<(68QLYRI
3HQQV\OYDQLD
9LVXDODQG0RWRUFRGLQJLQWKHSULPDWH6XSHULRU
&ROOLFXOXVGXULQJKHDGXQUHVWUDLQHGJD]HVKLIWV0
6$'(+$6$-$'+:$1**3.(,7+;<$1-'
&5$:)25'&WUIRU9LVLRQ5HVHDUFK<RUN8QLY
7KHJXWIDFWRUROHR\OHWKDQRODPLQHUHVWRUHV
GRSDPLQHUJLFIXQFWLRQLQKLJKIDWIHGPLFH/$7(//(=
-*)(55(,5$;5(1*-6&+:$57=,('(
$5$8-27KH-RQK%3LHUFH/DE<DOH8QLY6FKRI0HG
$OEHUW(LQVWHLQ&RORI0HGLFLQH<HVKLYD8QLY
S
3DODWDEOHIRRGDQGGUXJVRIDEXVH6LPLODULW\RI
HIIHFWVRQWKHEUDLQ6)/(,%2:,7=2.$5$7$<(9-
5%$5621*&+$1*5RFNHIHOOHU8QLY
/HSWLQUHJXODWHVWKHUHZDUGYDOXHRIVXFURVH
WKURXJKJDODQLQH[SUHVVLQJOHSWLQUHFHSWRUQHXURQV$
/$48(.5(=$,+=$'(+71*8<(16*(77<6
.%8,&-5+2'(66-&+8$%5,&+$5'6+
0h1=%(5*3HQQLQJWRQ%LRPHG5HV&WU8QLYRI
&KLFDJR$OEHUW(LQVWHLQ&RORI0HG3HQQLQJWRQ%LRPHG
5HV&WU
1$126<0326,80
'HYHORSPHQWRI1XPHULFDO&RJQLWLRQ
'\QDPLFFKDQJHVLQEUDLQUHVSRQVHDQG
FRQQHFWLYLW\DVVRFLDWHGZLWKDULWKPHWLFIDFWOHDUQLQJLQ
FKLOGUHQ0-526(1%(5*/((((6&29$5&
7(1,621$.+28=$090(1216WDQIRUG8QLY
&DUQHJLH0HOORQ8QLY
/HDUQLQJQXPEHUVZLWKRXWQXPEHUV7UDQVIHURI
OHDUQLQJDFURVVPDJQLWXGHGRPDLQV535$7+(5,QGLDQD
8QLY
3DULHWDOIXQFWLRQDOFRQQHFWLYLW\LQQXPHULFDO
FRJQLWLRQ-3$5.'3$5.732/.'XNH8QLY8QLYRI
7H[DVDW'DOODV8QLYRI0LFKLJDQ
8QGHUVWDQGLQJOHVVWKDQQRWKLQJ&KLOGUHQ¶V
QHXUDOUHVSRQVHVWRQHJDWLYHQXPEHUVVKLIWDFURVVDJHDQG
DFFXUDF\0*8//,&.*:2/)25''DUWPRXWK&RO
1RUWKZHVWHUQ8QLY
,QGLYLGXDOGLIIHUHQFHVLQSUHVFKRROHUV¶QXPHULFDO
DFXLW\PRGXODWHHYHQWUHODWHGSRWHQWLDOUDWLRHIIHFWV0
3,1+$6'-3$8/6(1(0%5$1121'XNH8QLY
+RZLQGLYLGXDOGLIIHUHQFHVLQVWUDWHJ\XVHDQG
GHYHORSPHQWLPSDFWWKHQHXUDOFLUFXLWU\XQGHUO\LQJDULWKPHWLF
VNLOOV(YLGHQFHIURPFXVWRPL]HGDULWKPHWLFWUDLQLQJ&-
%$77,67$'$16$5,-0257218QLYRI:HVWHUQ
2QWDULR
0DWKWUDLQLQJVWUHQJWKHQVLQWULQVLFFRQQHFWLYLW\RI
SDULHWDOFRUWH[LQFKLOGUHQ''-2//(60526(1%(5*
/((6$6+.(1$=,.683(.$5&7(1,621;'8$1
/48'',1/)8&+690(1216WDQIRUG8QLY
&DUQHJLH0HOORQ8QLY9DQGHUELOW8QLY
$QWLFLSDWRU\DQ[LHW\HQKDQFHVVWLPXOXVGULYHQ
DFWLRQV%5&251:(//6&08(//(50(5167
1,0+*KHQW8QLY
)HDUPHPRU\FRQVROLGDWLRQ6SRQWDQHRXV
UHDFWLYDWLRQRIH[SHULHQFHVSHFL¿FDFWLYDWLRQSDWWHUQVZLWKLQ
WKHKXPDQDP\JGDOD(-+(50$16-:.$1(1$
7$0%,1,*)(51È1'(=/'$9$&+,($3+(/36
1HZ<RUN8QLY5DGERXG8QLY1LMPHJHQ0HG&WU
5DGERXG8QLY1LMPHJHQ0HG&WU1HZ<RUN8QLY1DWKDQ
.OLQH,QVW
7KHUROHRIVHURWRQLQLQWKHQHXURFLUFXLWU\RI
DQ[LHW\6HURWRQHUJLFLQKLELWLRQRIWKHGRUVDOPHGLDO
SUHIURQWDODP\JGDODµDYHUVLYHDPSOL¿FDWLRQ¶FLUFXLW"2-
52%,1621&29(5675((73$//(1.9<7$/'
3,1(&*5,//211,0+
6XVWDLQHGDQ[LHW\DOWHUVDP\JGDODSUHIURQWDO
FRXSOLQJ$PHFKDQLVPIRUFRJQLWLYHGLVUXSWLRQDQGDGDSWLYH
GHIHQVLYHSUHSDUDWLRQV.(9<7$/&29(5675((72
52%,1621&*5,//211,0+
1HXUDODQGJHQHWLFEDVLVRIH[DJJHUDWHGWKUHDW
DSSUDLVDO5ROHRIQHXURSHSWLGH6UHFHSWRUJHQRW\SHDQG
URVWUDOGP3)&DFWLYLW\$7+$1(//28.<8(15
.$/,6&+,QVWIRU6\VWHPV1HXURVFL+DPEXUJ8QLY
+RVS8.(
,QGLYLGXDOGLIIHUHQFHVLQWUDLWDQ[LHW\DIIHFWYLJLODQFH
GXULQJXQSUHGLFWDEOHWKUHDW&RQWULEXWLRQRIVHURWRQLQLQWKH
YHQWUDOSUHIURQWDOFRUWH[<0,.+((1.2.%5$(6,&.(
-;,$+)&/$5.($&52%(5768QLYRI&DPEULGJH
8QLYRI&DPEULGJH
7KHG\QDPLFVRII05,EUDLQQHWZRUNVLQYROYHGLQ
LQGXFHGUHOD[HGVWDWHJXLGHGE\((*QHXURIHHGEDFN6
.,15(,&+,32'/,36.<1,175$7257+(1'/(5
'HSWRI3V\FKRORJ\7HO$YLY8QLY)XQFWLRQDO%UDLQ&HQWHU
:RKO,QVWIRU$GYDQFHG,PDJLQJ6FKRI&RPSXWHU6FLHQFH
7HO$YLY8QLY6DFNOHU)DFRI0HGLFLQH7HO$YLY8QLY7HO
$YLY8QLY
.QRFNRXWRI¿EUREODVWJURZWKIDFWRULQFUHDVHV
DQ[LHW\DQGK\SRWKDODPLFSLWXLWDU\DGUHQDOD[LVDFWLYDWLRQ
16$/0$620(/6$<('0(0$5$*12/,5
06$32/6.<0/6&+:$57=56'80$1)0
9$&&$5,12<DOH8QLY<DOH8QLY6WDQIRUG8QLY<DOH
8QLY
)HDUFRQGLWLRQLQJPRGXODWHVLQWULQVLFH[FLWDELOLW\
RIODWHUDODP\JGDODQHXURQV06(+*$/$0*,5*,6
-502<(5-U8QLYRI:LVFRQVLQ0LOZDXNHH8QLYRI
:LVFRQVLQ0LOZDXNHH
8QFHUWDLQW\PRGXODWHVDQWLFLSDWRU\DQWHULRULQVXOD
DFWLYLW\LQJHQHUDOL]HGDQ[LHW\GLVRUGHU':*583(
'-2$7+(6'00&)$5/,1-%1,76&+.(8QLY
:LVFRQVLQ0DGLVRQ8QLY:LVFRQVLQ0DGLVRQ8QLY
:LVFRQVLQ0DGLVRQ6WDQIRUG8QLY8QLY:LVFRQVLQ
0DGLVRQ
3DYORYLDQFRQGLWLRQHGDSSURDFKWRDUHZDUGFXH
SUHGLFWVIHDULQFXEDWLRQ-'02552:60$5(17(
52%,16218QLYRI0LFKLJDQ8QLYRI0LFKLJDQ
S
7UDLQLQJYHUVXVSUDFWLFHHIIHFWVLQEUDLQIXQFWLRQ
ZLWKUHDVRQLQJLQVWUXFWLRQ$70,//(56,1*/(<$3
0$&.(<6$%81*(8QLY&DOLIRUQLD%HUNHOH\8QLY
&DOLIRUQLD%HUNHOH\
1HXUDO&LUFXLWU\8QGHUO\LQJ$Q[LHW\DQG3URFHVVLQJRI
)HDU
0RQ30
3URJUHVVLYHDQGUHJUHVVLYHGHYHORSPHQWDO
FKDQJHVLQWKH,36IRUQXPEHUV\PEROV(0+8%%$5'
%'0&&$1'/,669DQGHUELOW8QLY
1$126<0326,80
1HXUDOPHFKDQLVPVXQGHUO\LQJFRQWH[WXDODQ[LHW\
53$/9$5(=1.,5/,&00$7/2&./DXUHDWH,QVW
)RU%UDLQ5HV7KH8QLYHVLW\RI7XOVD
2OIDFWRU\FDSWXUHLQYLVXRROIDFWRU\LQWHJUDWLRQ
RIVXEWKUHVKROGWKUHDWVLJQDOV:/,/129$.8QLYRI
:LVFRQVLQ0DGLVRQ
5HGXFHGUHFUXLWPHQWRIRUELWRIURQWDOFRUWH[WR
KXPDQVRFLDOFKHPRVHQVRU\FXHVLQVRFLDODQ[LHW\:
=+283+28<=+28'&+(1,QVWRI3V\FKRORJ\
&KLQHVH$FDGRI6FL8QLYRI7H[DV0HG6FKLQ+RXVWRQ
870'$QGHUVRQ&DQFHU&WU5LFH8QLY
1$126<0326,80
05,PDJLQJ7HFKQLTXHV
,QYHVWLJDWLRQRIKXPDQPXOWLSOHVFOHURVLVOHVLRQV
XVLQJPXOWLPRGDOQRQOLQHDUPLFURVFRS\DQGVSHFWURVFRS\
.:3221&%5,'($8:7(25./$9(5*-
6&+(1.-+.$:$62(-*(8576367<6+RWFKNLVV
%UDLQ,QVWLWXWH8QLYRI&DOJDU\988QLY0HG&WU
+RWFKNLVV%UDLQ,QVWLWXWH8QLYRI&DOJDU\
3UDFWLFDOJXLGHWRSHGLDWULFPDJQHWLF
UHVRQDQFHLPDJLQJ+',5.6'&'($1,,,-
2¶08,5&+($57$,*+1(:$6.,(:,&=./(+0$1
%$-(56.(<6&'(21,%URZQ8QLY.LQJ¶V&ROOHJH
,QVWRI3V\FKLDWU\%URZQ8QLY
$QRYHOLQYLYRDWODVRIKXPDQKLSSRFDPSDO
VXE¿HOGVXVLQJKLJKUHVROXWLRQPDJQHWLFUHVRQDQFH
LPDJLQJ-/:,17(5%8516&+$9(=06&+,5$
-358(661(5-3,3,721(1/2%$8*+$
92,1(6.260&+$.5$9$57<&WU)RU$GGLFWLRQDQG
0HQWDO+OWK8QLYRI1HZ6RXWK:DOHV0F*LOO8QLY
$QDWRPLFDOSDWWHUQVOLQNLQJFRUWLFDOWKLFNQHVV
HVWLPDWLRQZLWKEUDLQWLVVXHSURSHUWLHVLQPDJQHWLF
UHVRQDQFHLPDJLQJ$58()-'8.$57*+(/06
1:(,6.23)56)5$&.2:,$.).+(5,)%
'5$*$16.,'HSWGHV1HXURVFLHQFHV&OLQLTXHV&+89
055HVHDUFKLQ1HXURODQG3V\FKLDWU\8QLY0HG
&WU:HOOFRPH7UXVW&WUIRU1HXURLPDJLQJ8&/,QVWRI
1HXURORJ\8&/0D[3ODQFN,QVWIRU+XPDQ&RJQLWLYHDQG
%UDLQ6FL0LQG%UDLQ,QVWLWXWH&KDULWpDQG+XPEROGW8QLY
1$126<0326,80
5HJLRQDOGHYHORSPHQWRIFRUWLFDOWKLFNQHVVDQG
VXUIDFHDUHDIURPELUWKWR\HDUVRIDJH$(/<$//;
*(1*6:22/621+=+8/:$1*)6+,*/,5
+$0(5'6+(1-+*,/025(8QLYRI1RUWK&DUROLQD
&KDSHO+LOO8QLYRI1RUWK&DUROLQD&KDSHO+LOO8QLYRI
1RUWK&DUROLQD&KDSHO+LOO
$OFRKROQXWULWLRQDOGH¿FLHQF\DQGWKHEUDLQ
7UDQVODWLRQDOQHXURLPDJLQJVWXGLHV10=$+5(9
68//,9$1$3)())(5%$806WDQIRUG8QLY6FKRI0HG
65,,QWO
0DJQHWLFUHVRQDQFHLPDJLQJ05,DQGGLIIXVLRQ
WHQVRULPDJLQJ'7,GH¿QH¿EHUWUDFWGH¿FLHQFLHVIROORZLQJ
HDUO\JHVWDWLRQDOHWKDQROH[SRVXUH6.2¶/($5<
0225(*-2+1621)%8',1,2*8=067<1(5
.68/,.8QLYRI1RUWK&DUROLQD$W&KDSHO+LOO'XNH8QLY
8QLYRI1RUWK&DUROLQD$W&KDSHO+LOO
:KDWDGYDQWDJHVGRSDUDOOHODUUD\FRLOVDQG
DFFHOHUDWLRQPHWKRGVSURYLGHDWUHVROXWLRQVW\SLFDOO\XVHG
LQIXQFWLRQDO05,UHVHDUFK"6$0&0$,165:0$,5
+DUYDUG8QLY0DVVDFKXVHWWV*HQ+RVS
(IIHFWRIWUDFWRJUDSK\PHWKRGVRQWUDFWYROXPH
60$5(1&2'&+$1'5$02+$1.'(-21*-
6.,33(1+$1.952(&%0(59,6$3$1,&
$0255,6'5:(,1%(5*(5.)%(50$11,0+
&%'%8QLYRI/RXLVYLOOH+RSNLQV0DULQH6WDWLRQ6WDQIRUG
8QLY8QLYRI1HYDGD6FKRI0HG/LHEHU,QVWIRU%UDLQ
'HYHORS
0RQLWRULQJP\HOLQDWLRQE\WUDQVSODQWHGJOLDO
SURJHQLWRUVLQG\VP\HOLQDWHGPRXVHEUDLQXVLQJGLIIXVLRQ
WHQVRU05,$/<&=(.-=+$1*0-$12:6.,-
:0%8/7(3:$/&=$.5DGLRORJ\DQG5DGLRORJLFDO
6FLHQFH-RKQV+RSNLQV8QLY,QVWIRU&HOO(QJLQHHULQJ
-RKQV+RSNLQV8QLY'HSWRI1HXURVXUJHU\0RVVDNRZVNL
0HG5HV&HQWUH3ROLVK$FDGRI6FL'HSWRI
1HXUR5HSDLU0RVVDNRZVNL0HG5HV&HQWUH3ROLVK$FDG
RI6FL
0XOWLYDULDWH05EDVHGFKDUDFWHUL]DWLRQRI
PRUSKRPHWULFFKDQJHVLQ*,7NQRFNRXWPRXVHEUDLQ$
%$'($56&+0$/=,*$8*3(%211(5:.,0*
-2+16215735(0217'XNH8QLY0HG&WU'XNH
8QLY0HG&WU
,QWHUJHQHUDWLRQDOHIIHFWVRIJHVWDWLRQDOFRFDLQH
H[SRVXUHRQURGHQWEUDLQVWUXFWXUHDQGGLIIXVLRQSURSHUWLHV
060&0855$<,2*8=$05803/(35
0$.+$00-5$'&/,))(<+21*<&$,+$1-0
/$8'(5067<1(5-0-2+163K'8QLYRI,OOLQRLV
8QLY1RUWK&DUROLQD8QLY1RUWK&DUROLQD8QLY1RUWK
&DUROLQD8QLY1RUWK&DUROLQD8QLY1RUWK&DUROLQD
0DJQHWLFUHVRQDQFHLPDJLQJRIOLYHDQG
SRVWPRUWHPUDWEUDLQVDFURVVDGROHVFHQFH5<$;/(<)
%8',10+22*672(/-/(((0$/7%,(:/,8$
-2+1621)7&5(:6,2*8=8QLYRI1RUWK&DUROLQD
$W&KDSHO+LOO8QLYRI1RUWK&DUROLQD$W&KDSHO+LOO'XNH
8QLY
,QYHVWLJDWLRQRIWLVVXHVFDWWHULQJDVDVLJQDOIRU
IXQFWLRQDOEUDLQLPDJLQJ,6&+,(66/=*727+7KH
8QLYRI0DQFKHVWHU2EXGD8QLY
1$126<0326,80
&RPSXWDWLRQDO0RGHOLQJ,,,
6SLNHVDVWHPSRUDOEHOLHIV%D\HVRSWLPDO
¿OWHULQJRILQIRUPDWLRQLQFRUWLFDOPLFRUFLUFXLWPRWLIV5
/(*(167(,1:0$$66*UD]8QLYRI7HFKQRO
$FRPSXWDWLRQDOPRGHORIWKHHIIHFWVRIGUXJ
DGGLFWLRQRQWKHG\QDPLFVRIQHXUDOSRSXODWLRQV0$
&+$5<(.$3/$10RXQW6LQDL6FKRI0HG
&RORFDOL]LQJ((*DQGI05,LQ6SDFH3
'28*/$6'02<(506&2+(18&/$8&/$
8&/$
&RQVWUXFWLQJDGHWDLOHGGDWDGULYHQFRPSXWDWLRQDO
PRGHORIWKHSUHIURQWDOFRUWH[-+$66/+(57$(*6
&48,52*$/20%$5'7*2/29.2&&/$3,6+-
.6($0$16''8567(:,7=&HQWUDO,QVWRI0HQWDO
+HDOWK0HG)DF0DQQKHLPRI+HLGHOEHUJ8QLY6WDUN
1HXURVFL5HV,QVWLWXWH6FKRI0HGLFLQH,QGLDQD8QLY
%UDLQ5HV&HQWUH3V\FKLDWU\)DFRI0HGLFLQH8QLYRI
%ULWLVK&ROXPELD
S
6LPXODWLRQEDVHGYHUL¿FDWLRQRILQYLYRHOHFWULF
¿HOGVLQKLSSRFDPSXVGXHWRWUDQVFUDQLDOIRFDOVWLPXODWLRQ
YLDWULSRODUFRQFHQWULFULQJHOHFWURGHV'$%5,77212
0$.(<(9+/81$081*8Ë$:*%(6,28QLYRI
5KRGH,VODQG8QLYRI5KRGH,VODQG8QLYRI5KRGH,VODQG
7KHHIIHFWVRILRQFKDQQHOVDQGPRUSKRORJ\RQ
QHXUDOVSLNLQJ&07((7(59&+$16DQGLD1DWO/DE
4XDOFRPP5HV
%D\HVLDQLQIHUHQFHZLWKHI¿FLHQWQHXUDOSRSXODWLRQ
FRGHV;:(,$672&.(58QLYRI3HQQV\OYDQLD
3KDUPDFRNLQHWLFVLQVSLUHGPRGHOLQJRIWKH
RVFLOODWLRQVLQGXFHGE\NHWDPLQHLQUDWSUHIURQWDOFRUWH[)
-)/25(66&+,1*0$:,/621(1%52:1
0DVVDFKXVHWWV*HQ+RVS0,7+DUYDUG8QLY%RVWRQ
8QLY0,70,7
'H¿QLQJWKHFRPSXWDWLRQRIDPRGXODWRU\VHQVRU\
SDWKZD\LQWKHUHWLQD11$7(*+00$186$
%$&&866WDQIRUG8QLY6WDQIRUG8QLY
0RGHOLQJEUDLQVWDWHVIRUPRWRULPDJHU\EUDLQ
FRPSXWHULQWHUIDFHDSSOLFDWLRQV0.$05811$+$5$
*(521,026-6&+,))3HQQ6WDWH8QLY3HQQ6WDWH
8QLY
&KDUDFWHULVWLFVSUHGLFWLRQRIVSLNHWLPLQJ
GHSHQGHQWSODVWLFLW\LQWKHKLSSRFDPSDO&$QHWZRUNE\
PXWXDOLQIRUPDWLRQPD[LPL]DWLRQ50,<$7$.27$7
$21,6+,7RN\R,QVW7HFK-6365HV)HOORZ5,.(1%6,
7RN\R,QVW7HFK
3267(5
1HXURQDO'LIIHUHQWLDWLRQ0ROHFXODU0HFKDQLVPV
7KHPH$'HYHORSPHQW
0RQ30±(UQHVW10RULDO&RQYHQWLRQ&HQWHU+DOO)-
$
'LVVHFWLQJWKHPROHFXODUVLJQDWXUHRI
LQWHUQHXURQVXEW\SHVDWHPEU\RQLFVWDJHV'3(162/'
1+$$*.*(5670$11*6$/,1$65,(67(57
3,(/(5*=,00(58QLY&OLQ-HQD8QLY+RVS-HQD
8QLY0HG&WU*|WWLQJHQ80*
$
&RQWURORIUHWLQDOJDQJOLRQFHOO
GLIIHUHQWLDWLRQ-+(57=;-,1-/,.5866$12
%'(526$'9$/(1=8(/$''<;+22519
/()(%95(-*2/'%(5*,6&,8QLYRI0LDPL0HG6FK
8QLYRI0LDPL0HG6FK&OHYHODQG&OLQ
$
3D[UHJXODWHVSURMHFWLRQYHUVXV
LQWHUQHXURQIDWHLQWKHGHYHORSLQJROIDFWRU\EXOE)
,0$085$&$*5((5<DOH8QLY6FK0HG<DOH
8QLY6FK0HG
$
6XSSUHVVRURIIXVHGFRQWUROVFHUHEHOODU
SUHFXUVRUGLIIHUHQWLDWLRQ-.,07-,:$1,&+8,1'
526(1%/80+RVS)RU6LFN&KLOGUHQ8QLYRI7RURQWR
8QLYRI7RURQWR8QLYRI7RURQWR
S
$
&2837),DFWVLQSRVWPLWRWLFFHOOV
WRFRQWURODUHDOL]DWLRQDQGFHOOW\SHVSHFL¿FDWLRQLQ
WKHGHYHORSLQJPDPPDOLDQQHRFRUWH[&$/)$12(
0$*5,1(//,.+$5%0&678'(5,QVWRI%LRORJ\
L%9805,16(50&156816,QVWRI%LRORJ\
,EY805,16(50&156816
$
1HZDPLQREHQ]DPLGHW\SHKLVWRQH
GHDFHW\DVHLQKLELWRU.SURPRWHVQHXULWHRXWJURZWK
YLDKLVWRQH+PRGL¿FDWLRQLQ3&FHOOV.6+,02.(
+0$582.$5+262.$:$<+,5$7$+.$:$.
2.$0272')8-,.,68(6$727,.(8&+,.DQDVDL
8QLY
$
0ROHFXODUPHFKDQLVPVIRUWKHQHXULWH
RXWJURZWKFDXVHGE\SURVWDJODQGLQ(LQPRXVHGRUVDOURRW
JDQJOLRQFHOOV70$('$.0,7$1,5<$0$*$7$)
6(.,*8&+,$.$:$%$7$.LQNL8QLY6FKRI3KDUP'LY
RI3KDUPDFRODQG3DWKRSK\VLRORJ\
$
(IIHFWRIVWDWRQPRWRQHXURQ
VSHFL¿FDWLRQRIKXPDQQHXUDOVWHPFHOOV3:85
1$7$5$-$196,1*$/+&+$1-*$2+&+(17
'811-=+28870%870%870%
$
&RXS7),LVUHTXLUHGIRUUHWLQRLFDFLG
PHGLDWHGFRUWLFDOGHYHORSPHQWLQ)R[FPXWDQWPLFH6-
+$55,6218<-$6,(*(17+$/(5$)$('2-/
58%(167(,16-3/($685(8&6)
$
1HXURQDOLQVXOLQUHJXODWHGQHVWLQDQG
QHXUR¿ODPHQWH[SUHVVLRQLQQHXURQFHOOFXOWXUHVREWDLQHG
IURPIVWHPFHOOVRIIHWDOUDWEUDLQ56&+(&+7(5$
.+$77$%0$1'(5621.(0,//(52NODKRPD6WDWH
8QLY&+6
$
*HQHDQGFHOOW\SHVSHFL¿FSDWWHUQV
RIWZRKLVWRQHPRGL¿FDWLRQV+.PHDQG+.PH
DFFRPSDQ\LQJPRXVHUHWLQDGHYHORSPHQW&-
%$5167$%/((32329$6=+$1*3HQQ6WDWH&ROO
0HG
$
3D[DQGWKH+.GHPHWK\ODVH
60&;UHSUHVVHVVHQWLDO'ONH[SUHVVLRQLQQHXUDOVWHP
FHOOV**$8'(1=,-:$/)5,'662153$$32%
+(50$1621'HSWRI1HXURVFLHQFH.DUROLQVND,QVWLWXWHW
$
1¿%SOD\VDUROHLQQHXUDOSURJHQLWRU
FHOOPDLQWHQDQFHGXULQJFRUWLFDOGHYHORSPHQW-
%(7$1&28578QLYHUVWL\RI&DOLIRUQLD6DQWD&UX]
$
&RPSOHWHVHUXPIUHHFXOWXUHNLWDQG
SURWRFROVIRUFXOWXULQJKLJK\LHOGVRIIXQFWLRQDOPDWXUH
QHXURQVIURPSULPDU\HPEU\RQLFPRXVH&16WLVVXHV6
$/28,6&.+0$.7(7+20$667(0&(//
7HFKQRORJLHV,QF
$
$VVHVVLQJWKHUROHRI/K[LQPHGLDO
JDQJOLRQLFHPLQHQFHGHULYHGFRUWLFDOLQWHUQHXURQ
GHYHORSPHQW'92*760$1'$/-/58%(167(,1
8QLYRI&DOLIRUQLD6DQ)UDQFLVFR8QLYRI,OOLQRLV&RORI
0HG
$
1HXURQDOGLIIHUHQWLDWLRQQXFOHDU
UHFHSWRUDFWLYLW\DQG7*)EHWDVLJQDOLQJDUHUHJXODWHGE\
]LQFGH¿FLHQF\LQKXPDQQHXURQDOSUHFXUVRUFHOOV'5
0255,66'*2:(5:,17(556&251,2/$7
-025*$1-U&:/(9(1621)ORULGD6WDWH8QLY
)ORULGD6WDWH8QLY
$
'1$PHWK\ODWLRQSUR¿OLQJRIQHXURQDO
DQGQRQQHXURQDOFHOOVLQWKHKXPDQSUHIURQWDOFRUWH[
$.2=/(1.29$7,0$6+32/6.<0%,%,.29$6
58'&+(1.2</+85'6'5$&+(9$0RXQW6LQDL
6FKRI0HG-DPHV-3HWHUV9$0HG&WU,OOXPLQD,QF
+RVSIRU6SHFLDO6XUJHU\
0RQ30
6ORZEULJKWQHVVUHODWHGUHVSRQVHVLQ9DUH
FDXVHGE\ORFDOIHHGEDFNRUKRUL]RQWDOFRQQHFWLRQV"%
&$2(0,1*2//$$<$='$1%$.+6+%RVWRQ8QLY
$
+LVWRQHGHPHWK\ODVH87;VSHFL¿FWR
WULPHWK\O+.UHJXODWHVQHXURQDOGLIIHUHQWLDWLRQ<.
.:21.\XQJ+HH8QLY
$
,QWUDFHOOXODUFKORULGHGHSHQGHQW
UHJXODWLRQRISUROLIHUDWLQJLQWHUQHXURQSURJHQLWRUV$
0$*$/+(6&5,9(5$8QLYRI+HOVLQNL$L[0DUVHLOOH
8QLY
3267(5
$
,QYROYHPHQWRI6HFHUQLQLQ1HXURQDO
'LIIHUHQWLDWLRQ<7(=8.$'+$7$1$.$02.$'$+
1,6+,*25,$6$1%(,ZDWH0HG8QLY6FKRI3KDUP
$
1RWFKVLJQDOLQJLQWKHYHQWUDO
K\SRWKDODPXVDIIHFWVIRUPDWLRQRIWKHGHYHORSLQJDUFXDWH
QXFOHXV3.$8-/$/75$(7=0$18QLYRI,OOLQRLV$W
8UEDQD&KDPSDLJQ8QLYRI,OOLQRLV8UEDQD&KDPSDLJQ
$
5HJXODWLRQRI5(67WXUQRYHUE\&DVHLQ
.LQDVH1.$1(.25=8.,1$OEHUW(LQVWHLQ&RO0HG
$
S(YDOXDWLQJFRUHVWDQGFRUHVW
LQWHUDFWLRQZLWKKLVWRQHGHPHWK\ODVHOVGDQGGHDFHW\ODVHV
KGDFÈ%$55,26$9*Ï0(=-6È(=(
72))2/2(%$77$*/,2/,0($1'5(63RQWL¿FLD
8QLY&DWyOLFDGH&KLOH8QLYRI0LODQ
$
:,7+'5$:1
$
3KRVSKDWLG\OLQRVLWRO.LQDVHDQG
PLWRJHQDFWLYDWHGSURWHLQNLQDVHVLJQDOLQJSDWKZD\SOD\D
UROHLQWKH*35PHGLDWHGQHXULWHRXWJURZWK67$1$.$
70,<$*,('2+,,+,'(76(.,16$.$,+LURVKLPD
8QLY6FKRI%LRPHG6FL
$
6LQJOHPROHFXOHLPDJLQJRIWUDQVFULSWLRQ
IDFWRU&5(%LQOLYLQJFHOOV168*20025,0$768
<$5$,<.2862.8$2+.81,712085$7
<$1$*,'$1<$0$02722VDND8QLY2VDND8QLY
$
'RSDPLQH'UHFHSWRUPHGLDWHG
WUDQVDFWLYDWLRQRIHSLGHUPDOJURZWKIDFWRUUHFHSWRUUHJXODWHV
GRSDPLQHQHXURQGHYHORSPHQW6<221-%$,..RUHD
8QLY
$
SURWHLQVUHJXODWHQHXURJHQHVLVLQ
FHUHEUDOFRUWH[.72<22.$7:$&+,72<22.$+6
5$06+$:436&+:$5=$)/23(=$:<16+$:
%25,68QLY&DOLIRUQLD6DQ)UDQFLVFR8QLY&DOLIRUQLD6DQ
)UDQFLVFR&HQWUHIRU&DQFHU%LRO
$
5ROHVRI%UHDKLVWRQH+%XELTXLWLQ
OLJDVHLQWKHQHXUDOSUHFXUVRUFHOOSUROLIHUDWLRQDQG
GLIIHUHQWLDWLRQ<,6+,126+,726+,.,.(1$.$1DWO
,QVW)RU3K\VLRORJLFDO6FL'HSW3K\VLRO6KLJD8QLY0HG
6FL
$
67(9DQRYHOWUDQVPHPEUDQHSURWHLQ
UHJXODWHVGHQGULWLF¿ORSRGLDIRUPDWLRQLQKLSSRFDPSDO
QHXURQVE\VSHFL¿FSURWHLQSDOPLWR\ODWLRQ$/((&
3$5.*ZDQJMX,QVWRI6FLDQG7HFKQRO*,67
$
(IIHFWRI:QWVLJQDOLQJLQWKHF\WRVNHOHWRQ
UHRUJDQL]DWLRQLQKXPDQQHXUREODVWRPDFHOOV$(
257,=0$7$025263)(55(5$&$5,$6,QVW'H
,QYHVWLJDFLRQHV%LRPpGLFDV81$0
$
$[LQUHJXODWHVWKHEDODQFHEHWZHHQ
SUROLIHUDWLRQDQGQHXURQDOGLIIHUHQWLDWLRQRIQHXUDOSUHFXUVRU
FHOOV:)$1*$.)81<,3+.867
3RVWQDWDO1HXURJHQHVLV5HJXODWLRQDQG7HPSRUDO
6SDWLDO3DWWHUQV,
7KHPH$'HYHORSPHQW
0RQ30±(UQHVW10RULDO&RQYHQWLRQ&HQWHU+DOO) $
3RSXODWLRQFRGHVLQWKHGHQWDWHJ\UXV
DFFRXQWIRUSDWWHUQVHSDUDWLRQ:'(1*00$<)25')
+*$*(7KH6DON,QVW7KH6FULSSV,QVW7KH6DON,QVW
$
S
$QDO\VLVRIPHFKDQLVPXQGHUO\LQJ
EUDLQJURZWKDFFRPSDQLHGE\QHXURJHQHVLVXVLQJ\RXQJ
PHGDND¿VK2U\]LDVODWLSHV<,62(72.8<$0$
0+28.,<68(+,52<7$1,*8&+,7.8%2+
7$.(8&+,7RN\R8QLY7RN\R:RPHQ¶V0HG8QLY.HLR
8QLY
$
6SLQHIRUPDWLRQSDWWHUQRIDGXOWERUQ
QHXURQVLVGLIIHUHQWLDOO\PRGXODWHGE\WKHLQGXFWLRQWLPLQJ
DQGORFDWLRQRIKLSSRFDPSDOSODVWLFLW\12+.$:$<
6$,72+(72.81$*$,1,+210$768)2=$:$$
085$<$0$)6+,%$7$7.,7$085$.,12.8&+,
'HSWRI%LRFKHP8QLYRI7R\DPD*UDG6FKRI0HG
DQG3KDUP-67&5(670LWVXELVKL.DJDNX,QVWRI/LIH
6FLHQFHV0,7,/6'LYRI&HOO7KHUDS\,QVWRI0HG6FL
8QLYRI7RN\R
$
1HXURJHQLFDQGJOLRJHQLFSRWHQWLDO
RIP'DFKH[SUHVVLQJFHOOVLQWKHURRIRIWKHODWHUDO
YHQWULFOHIROORZLQJIRFDOFHUHEUDOLVFKHPLD3+216$+
3,921.29$0$1'(529$QG0HG)DF3UDJXH,QVW
RI([SWO0HG
$
(DUO\H[SRVXUHWRJHQHUDODQHVWKHVLD
GLVWXUEVPLWRFKRQGULDOG\QDPLFVLQWKHGHYHORSLQJUDWEUDLQ
$%26&2/2$67$5596$1&+(='0,/$129,&
$2./23&,&/02<$(5,6,5&25,9-(9729,&
72'2529,&8QLYRI9LUJLQLD8QLYRI3DGRYD8QLYRI
9LUJLQLD8QLYRI9LUJLQLD8QLYRI3DGRYD
$
S
7RSRJUDSKLFDODQDO\VLVRIWKH
VXEHSHQG\PDO]RQHQHXURJHQLFQLFKH$0)$/&$2-$
3$/+$$&2/,9(,5$)0$548(616286$-&
6286$/LIHDQG+OWK6FL5HV,QVW,&966FKRI+OWK
6FLHQFHV8,&96%¶V37*RYHUQPHQW$VVRFLDWH/DE
$
1HXURJHQHVLVDQGJHQGHUFKDQJHLQ
WKHFKLQHVHPXGVQDLO&LSDQJRSDOXGLQDFKLQHQVLV&&
6:$57$:$77(1%(5*(5$+$&.(777ULQLW\&RO
$
5DSLGJHQHWLFWDUJHWLQJRISLDO
VXUIDFHSURJHQLWRUVDQGLPPDWXUHQHXURQVE\SRVWQDWDO
HOHFWURSRUDWLRQ--%5(81,*'*$7(5/(9<
-52'5,*8(=-5*.,00'$1,(/3285&
69(1'6(1772:1&HGDUV6LQDL+RVS&HGDUV6LQDL
+RVS
$
'HYHORSPHQWRIOD\HUQHXURQVLQWKH
PRXVHQHRFRUWH[-0$;<$2<)8<<8)XGDQ8QLY
$
S
7HPSRUDOG\QDPLFVRILPPHGLDWHHDUO\
JHQHH[SUHVVLRQLQPDWXUHDQGLPPDWXUHDGXOWERUQGHQWDWH
JUDQXOHFHOOV*.$1(05'5(:8QLYRI7H[DVDW
$XVWLQ8QLYRI7H[DV$W$XVWLQ
$
9ROXQWDU\UXQQLQJEXWQRWVWHPFHOO
WUHDWPHQWUHFRYHUVKLSSRFDPSDOQHXURSODVWLFLW\IROORZLQJ
ZKROHEUDLQLUUDGLDWLRQLQLPPXQRGH¿FLHQWPLFH&0
72*121,&7)/25(6$&:8/6,1($%$%%/
:-21(6&/:,//,$06'XNH8QLY'XNH&DQFHU,QVW
8QLYRI&LQFLQQDWL'XNH&DQFHU,QVW
S
$
S0RGHUDWLQJHIIHFWVRIKLJKYHUVXVORZ
DHURELFFDSDFLW\RQDGXOWUDWKLSSRFDPSDOQHXURJHQHVLV
IROORZLQJV\VWHPLFGR[RUXELFLQWUHDWPHQW($%$%%&0
72*121,-06$,.,$(.)2:/(56/%5,7721/
*.2&+&/:,//,$06/:-21(6'XNH8QLY'XNH
&DQFHU,QVW8QLYRI0LFKLJDQ
$
7VXNXVKLPDLQWDLQVWKHJURZWKDQG
XQGLIIHUHQWLDWHGSURSHUWLHVRIVWHPSURJHQLWRUFHOOVDVDQLFKH
PROHFXOH.2+7$<6+,10<21.$1(.2<+,527$
-+$7$.(<$0$0<$0$*8&+,.6+,0$085$.
6$:$0272+7$1$.$$,72.XPDPRWR8QLY*UDG
6FK/LIH6FL1DJR\D&LW\8QLY8QLYRI7RN\R
$
S(IIHFWVRIDJHRQLPSDLUPHQWVLQ
FRJQLWLRQDQGKLSSRFDPSDOFHOOSUROLIHUDWLRQE\WKLR7(3$
FKHPRWKHUDS\LQPLFH60),7=*(5$/'.5
$1'(5621(7:(%(55LGHU8QLY5LGHU8QLY
$
8VLQJ&\QRPROJXVPDFDTXHL36FHOOV
WRJHQHUDWH$GRSDPLQHUJLFQHXURQVIRUFHOOWKHUDSHXWLF
VWXGLHVLQDQLPDOPRGHOVRI3DUNLQVRQ¶VGLVHDVH0.
681'%(5*7/$:621726%251*60,7++
%2*(72)7(3+$//(77--$166212,6$&6212
&223(50F/HDQ+RVSLWDO+DUYDUG0HG6FK
$
S(IIHFWVRIFKHPRWKHUDS\GUXJV
WKLR7(3$DQGGR[RUXELFLQRQKLSSRFDPSDOFHOOSUROLIHUDWLRQ
DQKHGRQLDDQGFRUWLFRVWHURLGVWUHVVUHVSRQVHVLQPLFH.
5$1'(562160),7=*(5$/'-'.$53(7
:(%(55LGHU8QLY5LGHU8QLY
3267(5
6WHP&HOOVDQG,36,,
7KHPH$'HYHORSPHQW
$
7KH1,1'65HSRVLWRU\¶VSXEOLFO\
DFFHVVLEOHFROOHFWLRQVRIKLJKO\FKDUDFWHUL]HGLQGXFHG
SOXULSRWHQWVWHPFHOOVDQGSULPDU\¿EUREODVWV0-6(/)
.)(&(1.27$&.$02¶5285.(.3$1&.(5,&
5+2'$6+(,/.+2'*(60687+(5/$1'5
&255,9($8&7$51&RULHOO,QVW)RU0HG5HV&RULHOO
,QVWIRU0HG5HV&RULHOO,QVWIRU0HG5HV1DWO,QVWIRU
1HXURORJ'LVRUGHUVDQG6WURNH1,+
$
$XWRPDWHGSDWFKFODPSUHFRUGLQJV
IURPVWHPFHOOGHULYHGQHXURQV-g675(,&+$5
2%(5*5866%(5*(5667g/=/(&+$$50$11
$%5h**(0$115+$('20*(25*(1)(57,*
1DQLRQ7HFKQRORJLHV1DQLRQ7HFKQRORJLHV*PE+
$
'HULYDWLRQRIQHXUDOVWHPFHOOVIURPDGXOW
SHULSKHUDOFGFHOOVWRVWXG\WKHHIIHFWRILQÀDPPDWLRQ
RQQHXURJHQHVLV7:$1*0021$&2.86+1(5(
&+2,00('<1(76*9*(/'(51$1$7+1,1'6
1,+
$
0RUSKRORJLFDOPROHFXODUDQGIXQFWLRQDO
GLIIHUHQFHVRIDGXOWERQHPDUURZDQGDGLSRVHGHULYHGVWHP
FHOOVLVRODWHGIURPUDWVRIGLIIHUHQWDJHV0:,%(5*&
0$1729$1,65$,021'26*(81$90$*1$*+,
6*6+$:&5266*7(5(1*+,8QLYRI8PHD8QLYRI
0LODQ8QLYRI7XULQ7KH8QLYRI0DQFKHVWHU
$
6WHPSURJHQLWRUFHOOVZLWKQHXUDO
GLIIHUHQWLDWLRQSRWHQWLDOGXULQJGHYHORSPHQWDQGLQDGXOW
OHSWRPHQLQJHV,'(&,02(%(56$10.86$/2*
0$/3(/,0.5$03(5$*))80$*$//,)%,)$5,
8QLYRI9HURQD8QLYRI9HURQD8QLYRI9HURQD
$
*OXWDPDWHLQGXFHVSRVWQDWDOUHWLQDO
0OOHUJOLDGHGLIIHUHQWLDWLRQWRD³SURJHQLWRUOLNH´VWDWH
WKURXJKHSLJHQHWLFPHFKDQLVPV/,5(<(6$*8,55(6
)(55$520/$0$6&,19(67$9
S
$
,GHQWL¿FDWLRQRIDQRYHOLQWURQLF
HQKDQFHUUHVSRQVLEOHIRUWKHWUDQVFULSWLRQDOUHJXODWLRQRI
0XVDVKLLQQHXUDOVWHPSURJHQLWRUFHOOV6.$:$6(
7,0$,.<$*8&+,6,72+$5$+2.$12.HLR
8QLYHUVLW\6FKRI0HG%6,5,.(1
$
1HXURQDOGLIIHUHQWLDWLRQRIPRXVH
HPEU\RQLFVWHPFHOOVRYHUH[SUHVVLQJ%'1)-/(6&+,..
1,(:(*.*2770$119/(660$11%/87=8QLY
0HG&WU0DLQ]+HLQULFK+HLQH8QLYHUVLWlW'VVHOGRUI
2WWRYRQ*XHULFNH8QLYHUVLW\8QLY0HG&WU0DLQ]
$
7KHFUXVWDFHDQF\WRNLQHDVWDNLQH
$OLQNEHWZHHQDGXOWQHXURJHQHVLVDQGKHPDWRSRLHVLV"-
/%(1721<=+$1*,6g'(5+b//%6%(/7=
:HOOHVOH\&RO8SSVDOD8QLY
$
&UHDWLQJK7+*)3UHSRUWHUVWHPFHOO
OLQHVWRVWXG\3DUNLQVRQ¶VGLVHDVH66&+/(,'7-&$,/
,$&29,77,7KRPDV-HIIHUVRQ8QLY7KRPDV-HIIHUVRQ8QLY
$
7UDQVFULSWLRQDOUHJXODWLRQRIUHWLQDOIDWH
GHWHUPLQDWLRQIURPKXPDQLQGXFHGSOXULSRWHQWVWHPFHOOV
$65,'+$50067(:$5'0*837$-60(<(5
,QGLDQD8QLYHUVLW\3XUGXH8QLY,QGLDQDSROLV,QGLDQD
8QLYHUVLW\3XUGXH8QLY,QGLDQDSROLV,QGLDQD8QLY6WDUN
1HXURVFLHQFHV5HV,QVW
$
,QGXFWLRQWRROLJRGHQGURF\WHSURJHQLWRUV
IURPPRXVHL36FHOOVDQGJUDIWLQWRWKHLPPDWXUHEUDLQ6
0,680,<8('$51,6+,*$.,70$68'$++,'$
1DJR\D&LW\8QLY*UDG6FK
$
7UDQVFULSWLRQDOFRUHSUHVVRU.$3
PRGXODWHVQHXURQDOGLIIHUHQWLDWLRQDQGEHKDYLRXU/
)$6&+,1*$.$32328/28)&$00$63785(//,
'75212--$.2%6621/XQG8QLY6FKRI/LIH6FL
DQG)URQWLHUVLQ*HQHW3URJUDP(FROH3RO\WHFKQLTXH
)pGpUDOHGH/DXVDQQH(3)/,QVWGH5HFKHUFKHHQ
&DQFpURORJLHGH0RQWSHOOLHU
$
1RYHOPROHFXODUSDWKZD\VUHJXODWLQJ
GRSDPLQHGLIIHUHQWLDWLRQLQK(6DQGKL36FHOOFXOWXUHV-
&$,66&+/(,'7*&$11$56$'+87&+,1*6-
3(/7(5+(//(5/,$&29,77,7KRPDV-HIIHUVRQ8QLY
$
7/;GHSHQGHQWDGXOWQHXUDOVWHPFHOOV
LQJOLRPDJHQHVLV:1,8<=280'2:1(6'.
%8516&=+$1*876RXWKZHVWHUQ0HG&WU7KH6DON
,QVW
$
5HMXYHQDWHGDVWURF\WHVDQGFDQRQLFDO
ZQWVLJQDOLQJUHVFXHPLGEUDLQVWHPQHXURSURJHQLWRUV
LQDJHLQJPRXVHPRGHORI3DUNLQVRQ¶VGLVHDVH)
/¶(3,6&232&7,52/217(67$6&$1,*/,$0&
025$/(%0$5&+(77,,5&&6$VVRFLD]LRQH2DVL0DULD
6621/860HG6FK
$
S+HPDWRSRLHWLFGHULYHGFHOOVDV
SRWHQWLDOQHXUDOSUHFXUVRUVLQDGXOWQHXURJHQHVLV5.(5<
%6%(/7=-/%(1721,6g'(5+b//:HOOHVOH\
&RO8SSVDOD8QLY
$
,QKLELWLRQRI'$;;LQFUHDVHV*$'
H[SUHVVLRQLQFXOWXUHGKLSSRFDPSDO+,33*$%$QHXURQV
668%%85$-8)0%(1(60DLOPDQ5HV&HQWHU
0F/HDQ+RVS
$
'HYHORSPHQWRIDQLQYLWURPRGHORIQHUYH
LQMXU\7-%52:1&32/,7,6/7$1=(5.--21(6
5LFKDUG/5RXGHEXVK9$0HG&WU(GZDUG+LQHV-U9$
+RVS
$
+DLUNHUDWLQRF\WHGHULYHGKXPDQLSV
FHOOVPRGHOLQJGHYHORSPHQWDOGHIHFWVRIWKHQHUYRXV
V\VWHP6/,(%$8'U//,17$0672&.0$1170
%2(&.(568OP8QLY
$
*HQHWLFPRGHOVIRUWKHVWXG\RI
P/LQDVWHPFHOOUHJXODWRURIWKHPL51$SDWKZD\(
&8(9$6*$5&,$$5<%$.*):8/&=<1&KDULWp
8QLYHUVLWlWPHGL]LQ0D['HOEUFN&HQWHUIRU0RO0HG
&KDULWp8QLYHUVLWlWPHGL]LQ
$
/FDUQLWLQHDPHOLRUDWHVSURSRIROLQGXFHG
WR[LFLW\LQUDWHPEU\RQLFQHXUDOVWHPFHOOV&:$1*)
/,8&)2*/(0*3$8/(:6/,..(5-51DWO&WU
)RU7R[LFRORJLFDO5HVHDUFK)'$1DWO&WUIRU7R[LFRORJLFDO
5HVHDUFK)'$1DWO&WUIRU7R[LFRORJLFDO5HVHDUFK)'$
1DWO&WUIRU7R[LFRORJLFDO5HV1&75)'$
%
6WHPGLII7PQHXUDOLQGXFWLRQV\VWHPIRU
WKHJHQHUDWLRQDQGH[SDQVLRQRIURVHWWHIRUPLQJQHXUDO
SURJHQLWRUFHOOVIURPKXPDQSOXULSRWHQWVWHPFHOOV$$
%/$.-$1721&+8.02/6217(7+20$6$&
($9(66$/28,667(0&(//7HFKQRORJLHV,QF%&
&DQFHU5HV&WU
3267(5
10'$DQG1RQ10'$5HFHSWRUV3K\VLRORJ\
&HOOXODU0HFKDQLVPV
%
3URWHLQNLQDVH$SRWHQWLDWHV10'$
UHFHSWRUFXUUHQWVE\DFFHOHUDWLQJUHFHSWRUDFWLYDWLRQ
DQGUHVHQVLWL]DWLRQ7.$0$17-58)),12*.
323(6&88QLY$W%XIIDOR
%
S/HQWLYLUDONQRFNGRZQRI15
FKURQLFDOO\VXSSUHVVHV10'$LQGXFHGVXEWKUHVKROG
RVFLOODWLRQVLQWKHLQIHULRUROLYH-785(&(.9=+$1;
+=(1*==+8-3:(/6+6HDWWOH&KLOGUHQ¶V5HV
,QVW
%
'HSKRVSKRU\ODWLRQRI&WHUPLQDOW\URVLQH
UHVLGXHVGRHVQRWDOWHUHWKDQROVHQVLWLYLW\RIUHFRPELQDQW
10'$UHFHSWRUV%$+8*+(6&76027+(56-
-:22':$5'0HG8QLYRI6RXWK&DUROLQD0HG8QLY
6RXWK&DUROLQD
%
6WUXFWXUHDFWLYLW\VWXGLHVRI
SKHQDQWKURLFDFLG10'$UHFHSWRUSRVLWLYHDOORVWHULF
PRGXODWRUVSRWHQWLDOSKDUPDFRORJLFDODJHQWVIRUFRJQLWLYH
HQKDQFHPHQWDQGVFKL]RSKUHQLD%0&267$0:
,59,1(*)$1*$92/,$16.,60%0$<20$57,1
5($9(6*/&2//,1*5,'*('(-$1('7
021$*+$18QLYRI1HEUDVND0HG&WU8QLYRI%ULVWRO
%
,GHQWL¿FDWLRQRIDVHULQHUHVLGXHLQWKH
FDUER[\WHUPLQDOWDLORI*OX1%FULWLFDOWRUHJXODWLRQRI
10'$UHFHSWRUIXQFWLRQ-$0853+<,667(,1&
/$81.$1(.2.$5202/$5$16268$',&$1,
0%(11(77-:+(//56=8.,1$OEHUW(LQVWHLQ&RO
0HG8QLYRI&DOLIRUQLD+DUYDUG8QLY$OEHUW(LQVWHLQ&RO
0HG
%
7KHWUDQVFULSWLRQDOUHSUHVVRU5(67
156)DQGHSLJHQHWLFPDUNVRIUHSUHVVLRQUHJXODWHWKH
GHYHORSPHQWDOVZLWFKLQ10'$UHFHSWRUVXEXQLWV$
52'(1$658$12$(&+$9(=0-&266,23(
&$67,//25=8.,1$OEHUW(LQVWHLQ&RO0HG
%
+RPRF\VWHLQHDVFKL]RSKUHQLDUHODWHG
DPLQRDFLGLPSDFWVWKHDFWLYDWLRQDQGGHVHQVLWL]DWLRQ
RI10'$5V$'%2/7210$3+,//,360
&2167$17,1(3$7210,7
%
7KHIXQFWLRQDOUROHRILQWHUVXEXQLW
LQWHUDFWLRQVEHWZHHQLQWUDPHPEUDQHUHJLRQVRI10'$
UHFHSWRUV1**/$6*2:&(6+,%(5-:
-2+16218QLYRI3LWWVEXUJK
%
9DFDUHJXODWRURI)DEKDVERWKSUH
DQGSRVWV\QDSWLFUROHV$-0&&$571(<<=+$1*/
6:(,60$10$6877218QLYRI0LFKLJDQ8QLYRI
0LFKJDQ8QLYRI0LFKJDQ
%
'HOHWLRQRIJOXWDPDWHGHOWDUHFHSWRU
LQPRXVHOHDGVWRHQKDQFHGZRUNLQJPHPRU\DQGGH¿FLWV
LQFRQWH[WXDOIHDUFRQGLWLRQLQJ36685<$9$16+,5
<$'$9%*+,//0$16&*837$'-67$,566
0'5$9,'&5(,*+72181,9(56,7<&5(,*+721
81,9(56,7<
%
*DOHFWLQPRGXODWLRQRI$03$DQGNDLQDWH
UHFHSWRUVLVOHFWLQLVRIRUPVSHFL¿FDQGVHQVLWLYHWR1JO\FDQ
SURFHVVLQJ%$&23,766%+$1*220,0%(6,&
9(512156$.$,*76:$16211RUWKZHVWHUQ8QLY
+RNNDLGR8QLY
%
7KH5(PXWDWLRQRI*OX$PRGXODWHV
JOXWDPDWHJDWHGNLQHWLFVZLWKSUHVHUYHGDOORVWHULFPRGXODWRU
DFWLYLW\-(+$506/06721(52<.03$57,1
&RORUDGR6WDWH8QLY&RORUDGR6WDWH8QLY
%
5ROHVRIGLVWLQFWFODVVHVRIJOXWDPDWH
UHFHSWRUVLQV\QDSWLFWUDQVPLVVLRQLQYLYR'<$10
<$0$6$.,&675$8%0:$7$1$%(6720,7$&HOO
0RO3K\VLRODQG&115,Q6FKRI0HGLFLQH<DOH8QLY
'HSWRI$QDWRP\+RNNDLGR8QLY*UDG6FKRI0HG
%
7KHDX[LOLDU\VXEXQLWV1HWRDQG1HWR
UHGXFHLQZDUGUHFWL¿FDWLRQRIUHFRPELQDQWNDLQDWHUHFHSWRUV
-/),6+(5''02778QLY6R&DUROLQD6FK0HG
8QLY6R&DUROLQD6FK0HG
%
*OX$ODFNLQJ$03$5VSUHIHUHQWLDOO\
FRQWULEXWHWRDVORZLQWHUQHXURQDO(36&7/67,1&,&0
()5(5.,1*2UHJRQ+OWK6FL8QLY
%
0HFKDQLVPVRQUHVYHUDWUROPHGLDWHGXS
UHJXODWLRQRIJOXWDPDWHUHFHSWRUDFFXPXODWLRQ*:$1*6
$0$72+0$1%RVWRQ8QLY
3267(5
1RQ10'$5HFHSWRUV6WUXFWXUHDQG)XQFWLRQ
&HOOXODU0HFKDQLVPV
%
$FWLYDWLRQRI3;UHFHSWRUVGHFUHDVHV
$03$UHFHSWRUVXUIDFHH[SUHVVLRQDQGSRVWV\QDSWLFHI¿FDF\
LQKLSSRFDPSDOQHXURQV(728/0(-328*1(7$
0$57,1(=(%28(*5$%278QLYRI%25'($8;
S
%
8VLQJSKRWRDFWLYDWDEOHXQQDWXUDO
DPLQRDFLGSUREHVWRPDSJOXWDPDWHUHFHSWRUJDWLQJ9
./,33(167(,1$/&$5%21($-53/(67('
/HLEQL],QVWLWXW)U0ROHNXODUH3KDUPDNRORJLH1HXURFXUH
,QLWLDWLYH&KDULWp
%
&KDQQHOSURSHUWLHVUHYHDOGLIIHUHQWLDO
H[SUHVVLRQRI7$53HGDQG7$53OHVVFDOFLXPSHUPHDEOH
$03$5VLQVWDUJD]HUVWHOODWHFHOOV&%$76'6272'
678'1,$5&=<.0)$55$176*&8//&$1'<8QLY
&RO/RQGRQ/DERUDWRULGH1HXURELRORJLD,',%(//
%
7KHLQYROYHPHQWRI(36LQ
XELTXLWLQDWLRQGHSHQGHQW$03$UHFHSWRUHQGRF\WRVLV$:
/,1+<0$1%RVWRQ8QLY
%
'LIIHUHQFHVRI$03$DQGNDLQDWHUHFHSWRU
LQWHUDFWRPHVLGHQWLI\DQRYHO$03$UHFHSWRUDX[LOLDU\
VXEXQLW*6*/71$.$*$:$1)6+$1.6-1
6$9$670$5822&$,6$+,5$262($*+26+
<12'$,+*5(*(5-5<$7(6,,,8&6'8&6'
6FULSSV5HV,QVW05&/DERI0RO%LRO-LFKL0HG8QLY
8&6'
%
4XDQWLWDWLYHDQDO\VLVRINDLQDWHUHFHSWRU
VXEXQLWVLQWKHPRXVHEUDLQ,:$7$1$%(+$=(&+,
<68=8.,&1$.$0272.$.$6+,51$7680(
0<$0$=$.,0$%(0:$7$1$%(.6$.,085$
'HSWRI&HOO1HXURELR%DVLF1HXURVFL%U%UDLQ5HV,QV
+RNNDLGR8QLY*UDG6FKRI&RUH5HVIRU(YROXWLRQDO6FL
DQG7HFKQRO&5(67
%
&KDUDFWHUL]DWLRQRIWKHFHOOXODUDQG
V\QDSWLFGLVWULEXWLRQRIDQHZVXEXQLWVSHFL¿F*OX5
PRQRFORQDODQWLERG\LQUDWDQGQRQKXPDQSULPDWH5
385,:-$166(16&=(/861,$.6/(($57($*$
7025$1-+0255,6210RXQW6LQDL6FKRI0HG
0RXQW6LQDL6FKRI0HG
%
(UELQLVFULWLFDOIRUVXUIDFHH[SUHVVLRQRI
$03$UHFHSWRUVLQFRUWLFDOLQWHUQHXURQV<&+(1<7$2
&6+(15%$7(6'/((:;,21*/0(,*HRUJLD
+OWK6FL8QLY*HRUJLDKHDOWK6FL8QLY*+68
%
1HWRSURWHLQLQWHUDFWLRQVUHJXODWH
V\QDSWLF*OX.ORFDOL]DWLRQDWKLSSRFDPSDOPRVV\¿EHU
WR&$S\UDPLGDOFHOOV\QDSVHV06:<(7+.$
3(/.(<563(75$/,$07$1*0:6$/7(555
0&,11(6&-0&%$,11,+1,++RVSIRU6LFN&KLOGUHQ
8QLYRI7RURQWR+RVSIRU6LFN&KLOGUHQ8QLYRI7RURQWR
-HZLVK*HQ+RVSLWDO0F*LOO8QLY
%
8EXLTXLWLQDWLRQRI$03$UHFHSWRUDQG
76*GHSHQGHQW$03$UHFHSWRUWUDI¿FNLQJ-/82-0
+(1/(<8QLYRI%ULVWRO
%
7KHHIIHFWVRIÀDYRQRLGVRQ$03$
UHFHSWRUPHGLDWHGFDOFLXPHQWU\7.2'$6621*0(1
.7$.$0,<$+,0$,7RN\R+HDOWKFDUH8QL8QLYRI
0L\D]DNL
%
7KHRUJDQL]DWLRQRI$03$UHFHSWRU
VXEXQLWVLQUDWKLSSRFDPSXV$/-$&2%5-
:(,1%(5*8QLY1RUWK&DUROLQD0D[3ODQFN)ORULGD,QVW
8QLY1RUWK&DUROLQD
%
6WUXFWXUDOGHWHUPLQDQWVLQ1HWRSURWHLQV
XQGHUO\LQJWKHLUPRGXODWLRQRINDLQDWHUHFHSWRUIXQFWLRQ
DQGWUDI¿FNLQJ71*5,)),7+%$&23,76*7
6:$16211RUWKZHVWHUQ8QLY1RUWKZHVWHUQ8QLY
%
0HFKDQLVPVRI$03$UHFHSWRULQWHUDFWLRQ
ZLWKFRUQLFKRQDX[LOLDU\VXEXQLWV1)6+$1.67
0$5822&$,6-16$9$6-5<$7(6,,,,+
*5(*(571$.$*$:$8&6'8&6'05&/DERI0RO
%LRO6FULSSV5HV,QVW
%
$SRWHQWLDOV\QDSWLFUROHIRU$,'$LQWKH
UHJXODWLRQRI$03$UHFHSWRUWUDI¿FNLQJWKURXJKELQGLQJWR
XELTXLWLQDWHG$03$UHFHSWRUV-27,1',$(&+È9(=
3(&$67,//2%$-25'$1$OEHUW(LQVWHLQ&RORI0HG
RI<HVKLYD8QLY
S
%
7ZRSRSXODWLRQVRILQKLELWRU\
LQWHUQHXURQVLQPDFDTXHSULPDU\YLVXDOFRUWH[H[SUHVV
RSSRVLWHJOXWDPDWHUHFHSWRUVXEXQLWFRPELQDWLRQV51
.22,-0$160:6(/))*:287(5/22'-$0
%(/,(13552(/)6(0$1HWKHUODQGV,QVWIRU1HXURVFL
9ULMH8QLY0HG&WU9ULMH8QLY0HG&WU
%
0RGXODWLRQRIKLSSRFDPSDOJOXWDPDWHUJLF
V\QDSVHVE\JKUHOLQ/5,%(,526'6$1726-$
(67(%$1$/&$59$/+2&75)RU1HXURVFL&HOO
%LRO&WUGH%LRORJtD0RO6HYHUR2FKRD&RQVHMR6XSHULRU
GH,QYHVWLJDFLRQHV&LHQWt¿FDV&6,&8QLY$XWyQRPDGH
0DGULG
3267(5
6HURWRQLQ5HFHSWRUV
&HOOXODU0HFKDQLVPV
%
&KDQQHOUKRGRSVLQUHYHDOVUREXVW+7$
UHFHSWRUPHGLDWHGDXWRLQKLELWLRQLQWKHGRUVDOUDSKH'
+8(5(&$5$1'5$'(:D\QH6WDWH8QLY6FKRI0HG
%
6H[GLIIHUHQFHVLQKLSSRFDPSDO
IXQFWLRQDOLW\LQPLFHRYHUH[SUHVVLQJSRVWV\QDSWLF+7$
UHFHSWRUV$3$=2659,'$/$$*8,/(5$5
+$%(5=(77/(&$6752$',$=)3,/$5&8(//$5
+),1.%%(57-%526'$(09$/',=$1
&,%(56$0,QVW'H6DOXG&DUORV,,,6DQWDQGHU6SDLQ
,QVWGH%LRPHGLFLQD\%LRWHFQRORJtD,%%7(&)DFXOWDG
GH0HGLFLQD8QLYGH&DQWDEULD&6,&62'(5&$1
'HSWGH)LVLRORJtD\)DUPDFRORJtD8QLYGH&DQWDEULD
,QVWIU3KDUPDNRORJLHXQG7R[LNRORJLH)DFKEHUHLFK
9HWHULQlUPHGL]LQ)UHLH8QLY
%
$EHUUDQWUHJXODWLRQRISUHIURQWDO
+7$UHFHSWRUVLQDPRXVHPRGHORIDIIHFWLYHGLVRUGHU
YXOQHUDELOLW\10*22')(//2:(./$0%(8QLY
7RURQWR8QLYRI7RURQWR
%
6HURWRQLQUHFHSWRU+7%VLJQDOLQJ
LVPRGXODWHGYLDKHWHURGLPHUL]DWLRQZLWK*+65D&
8//5,&+$.(515*60,7+7KH6FULSSV5HV,QVW
%
+7%DXWRUHFHSWRUVPRGXODWHWKH
H[SUHVVLRQRIFRQGLWLRQHGIHDU</,8-)1(80$,(5
8QLYRI:DVKLQJWRQ
%
6SLQDO71)GULYHQQHXURQDOWUDI¿FNLQJ
RI*OX$LVGHSHQGHQWRQ3,.DQG3.$DFWLYLW\LQ
LQÀDPPDWRU\SDLQ*:,*(5%/$')-.2(+51+
=<,1-+:(,66&,69(16621/6625.,1
.DUROLQVND,QVWLWXWHW'HSWRI$QHVWKHVLRO'HSWRI1HXURO
%
%LRFKHPLFDODQDO\VLVRIWKHPDWXUDWLRQ
GLIIHUHQFHVIRUKRPRPHULF*OX$DQG*OX$UHFHSWRUV6
.&2/(0$10:,//,%$/'$6(0(129+<,1*.
.(,1b1(1+HOVLQNL8QLY
%
&HUHEUDOK\GUR[\WU\SWDPLQH$
UHFHSWRUELQGLQJEXWQRWPHWDERWURSLFJOXWDPDWHUHFHSWRU
LVLQFUHDVHGLQWU\SWRSKDQK\GUR[\ODVHORVVRIIXQFWLRQ
PLFH&9-2(5*(16(1-35-$&2%6(1$%
./(,1&/(+0$110*&$521*0.18'6(1-
'0,..(/6(11HXURELR5HV8QLW'XNH8QLY
%
)XQFWLRQDODQGEHKDYLRUDO
FKDUDFWHUL]DWLRQRIDFRQVWLWXWLYHO\DFWLYHPXWDQW9'
IRUPRIWKHKXPDQ+7$UHFHSWRU$/+$/%(567$'7
(6%8567(,10$*(<(56%32:(//8&6'
$&$',$3KDUPDFHXWLFDOV,QF8QLY&DOLIRUQLD6DQ'LHJR
%
&DQQDELQRLQGUHFHSWRUDQGEHWD
DUUHVWLQGHSHQGHQWXSUHJXODWLRQRIVHURWRQLQ$
+7$UHFHSWRUV-0)5$1./,179$6,/-(9,.7(
35,6,1=$12*$&$55$6&28QLYRI.DQVDV8QLYRI
.DQVDV
%
&DQQDELQRLGDJRQLVWVLQFUHDVHWKH
LQWHUDFWLRQEHWZHHQ`DUUHVWLQDQG(5.DQGXSUHJXODWH
`DUUHVWLQ(IIHFWRQVHURWRQLQ$UHFHSWRUXSUHJXODWLRQ*
$&$55$6&2-0)5$1./,18QLYRI.DQVDV
%
+7$DJRQLVWDFWLYLW\LQD+(.
FHOOOLQHFRH[SUHVVLQJWKH+7$DQGP*OX5*SURWHLQ
FRXSOHGUHFHSWRUV$0'(&.(5%3*,/0285$
/$1'$9$=2%(%/28*+57,,QWO57,,QWO57,,QWO
%
6HURWRQLQ+7&UHVLGXHV:)
DQG)DUHLQYROYHGLQIXQFWLRQDOO\VHOHFWLYHOLJDQG
ELQGLQJDQGVLJQDOLQJHI¿FDF\19,//$7&&25'29$
6,17-$*256$.+8-$&(&$1$//)$1*5*
%227+8QLYRI)ORULGD
%
=HEUD¿VKKWUF+6&+1(,'(5%
(':$5'65)$1786032*8('HSDXZ8QLY
%
7LVVXHH[SUHVVLRQDQGFRPSDUDWLYH
SKDUPDFRORJLFDOFKDUDFWHUL]DWLRQRI¿YH+7UHFHSWRU
LVRIRUPVLQWKHEUDLQRIWKHF\QRPROJRXVPRQNH\0.
6&+0,'711,76&+(09$1*$$/(1)32+/.,$
+0(<(5$EERWW*PE+&R.*
%
6HURWRQHUJLFHQKDQFHPHQWRIV\QDSWLF
WUDQVPLVVLRQLQUDWPHGLDOYHVWLEXODUQXFOHXV/+$16.
/$,&+/$,<6&+$1/.6)DFRI0HGLFLQH7KH8QLY
RI+RQJ.RQJ/.6)DFRI0HGLFLQH7KH8QLYRI+RQJ
.RQJ
%
KWUHFHSWRUVLJQDOLQJHIIHFWVQHXURQDO
SULPDU\FLOLDPRUSKRORJ\0%52'6.<-068//,9$1-
)1(80$,(58QLYRI:DVKLQJWRQ8QLYRI:DVKLQJWRQ
8QLY:DVKLQJWRQ
3267(5
&DWHFKRODPLQH5HFHSWRUV
&HOOXODU0HFKDQLVPV
%
'RSDPLQH'OLNHUHFHSWRUPHGLDWHG
LQFUHDVHVLQKLSSRFDPSDODFHW\OFKROLQHDUHEORFNHGE\
SKDUPDFRORJLFDOLQWHUUXSWLRQRIWKHVHSWRKLSSRFDPSDOFLUFXLW
DWWKHPHGLDOVHSWXP$GXDOSUREHPLFURGLDO\VLVVWXG\LQ
UDWV'(-2+162155*25&=<&$3¿]HU*OREDO
5HV'HY
%
6WULDWDO'UHFHSWRUVUHJXODWHWKH
DQDWRPLFDORUJDQL]DWLRQRIEDVDOJDQJOLDFLUFXLWU\0
&$=25/$1&+8+0$)'(/021'(6'(&$59$/+2
06+(*'$6$+0$5,65$<3257&.(//(1'21.
%
'RSDPLQH'UHFHSWRUPHGLDWHG$.7
3.%VLJQDOLQJLQLWLDWLRQE\'6UHFHSWRUDQGUROHLQ
TXLQSLUROHLQGXFHGEHKDYLRUDODFWLYDWLRQ+&+(11
58$17/,1-&+(1'HSWRI3KDUPDFRORJ\&KDQJ
*XQJ8QLY&KDQJ*XQJ8QLYRI6FLDQG7HFKQRO
%
&RQVHUYHGUHVLGXHVLQWKH
WUDQVPHPEUDQHGRPDLQVRIWKHGRSDPLQH'UHFHSWRU
LPSDUWDUROHLQLWVIXQFWLRQDOVHOHFWLYLW\'9833$/$1&+,
:<$0$0272&3(3(50&80%$<*2;)25'
,838,,QGLDQD8QLY6FKRI0HG%XWOHU8QLY
%
3RVVLEOHPHFKDQLVPVRIIXQFWLRQDO
VHOHFWLYLW\3UHIHUHQWLDOFRXSOLQJEHWZHHQ*_DQG'
GRSDPLQHUHFHSWRUSURWHLQV:<$0$0272'
9833$/$1&+,0&80%$<*2;)25',QGLDQD8QLY
6FKRI0HGLFLQH6WDUN1HXURVFLHQFHV5HV,QVW%XWOHU
8QLY
%
&KDUDFWHUL]DWLRQRIVRPDWRGHQGULWLF
GRSDPLQHUHOHDVHLQWKHDEVHQFHRIGRSDPLQH'
DXWRUHFHSWRUV3$&2'<'0/29,1*(5<0$7(2
1DWO,QVW2Q$OFRKRO$EXVHDQG$OFRKROLVP1DWO,QVWRI
+OWK
%
3UDPLSH[ROHHQKDQFHV$03$UHFHSWRU
WUDI¿FNLQJWRWKHFHOOVXUIDFHWKURXJKD'UHFHSWRUOLQNHG
$NW*6.`SDWKZD\71$3,(56(7(')25'$+
1(:0$1$/3(562165XVK8QLY0HG&WU1,'$
,53
%
0ROHFXODUPHFKDQLVPRI*OX5
PHPEUDQHLQVHUWLRQE\GRSDPLQH651(9(65621*
%0$66(1%85*0RXQW6LQDL6FKRI0HG0RXQW6LQDL
6FKRI0HG
%
,PDJLQJGUHFHSWRURFFXSDQF\E\
HQGRJHQRXVGRSDPLQHLQKXPDQV$>F@SKQR
SHWVWXG\)&$5$9$**,2'0$0200(121&
%25/,'23*(55(76(1$:,/621*5(0,1*721
$*5$))*8(55(528QLYRI7RURQWR&WU)RU$GGLFWLRQ
0HQWDO+OWK&WU)RU$GGLFWLRQ0HQWDO+OWK
%
&LUFDGLDQUHODWHGKHWHURPHUL]DWLRQRI
DGUHQHUJLFDQGGRSDPLQH'UHFHSWRUVPRGXODWHVPHODWRQLQ
V\QWKHVLVDQGUHOHDVHLQWKHSLQHDOJODQG6*21=È/(='
025(12'(/*$'2(025(12.3e5(=&$327(
5)5$1&2-0$//2/$&257e69&$6$'Ï&
//8Ë6-257,=6)(55e(&$1(/$30&&250,&.
81,9(56,7$7'(%$5&(/21$81,9(56,7$7
$872120$'(%$5&(/21$1,+1DWO,QVWRQ'UXJ
$EXVH
%
7\URVLQHGHSOHWLRQDQGFRQFRPLWDQW
WHUPLQDODXWRUHFHSWRUVWLPXODWLRQORZHULQYLYRGRSDPLQH
OHYHOVLQVWULDWXPDQGSUHIURQWDOFRUWH[RIWKHUDW=
%52'1,.0'28%/(*(-$6.,:/RXLV6WRNHV
&OHYHODQG'9$0&&DVH:HVWHUQ5HVHUYH8QLY
%
$Q_DGUHQHUJLFUHFHSWRU$5
VWLPXODWLRQFRPSHQVDWHV_$5LQGXFHGRXWZDUGFXUUHQW
LQORFXVFRHUXOHXVQHXURQVIURPVSRQWDQHRXVK\SHUWHQVLYH
UDWV$'+'PRGHODQLPDO6,*$7$7+$<$6+,0
7$.$120,6+,0$768.\XVKX8QLY6FK0HG.XUXPH
8QLY6FK0HG.XUXPH8QLY6FK0HG.XUXPH8QLY
6FK0HG
S
%
_DGUHQRFHSWRUDQWDJRQLVWGHULYHGIURP
WKHDQWLSV\FKRWLFRFWRFORWKHSLQFDUERQODEHOOLQJDQG3(7
H[DPLQDWLRQRIEUDLQXSWDNH$(7758355,6*$$5'
7%$//($'<66(*$$5'+'+$16(16/(+(/-
0$'6(1%%$1*$1'(56(1*0.18'6(1-/
.5,67(16(11HXURELR5HV8QLW)DFRI+OWKDQG0HG
6FLHQFHV8QLYRI&RSHQKDJHQ3(7DQG&\FORWURQ8QLW+
/XQGEHFN$6
%
>+@55¶PHWKR[\IHQRWHURODQHZ
EHWDDGUHQHUJLFUHFHSWRUDJRQLVWWRVWXG\DJRQLVWGRFNLQJ
/72///-,0(1(=-(%833-$.2=2&$60
-7$1*$.-2=:,$..3$-$.$3/$=,16.$,:
:$,1(57RUUH\3LQHV,QVW)RU0RO6WXGLHV65,,QWO0HG
8QLYRI/XEOLQ1DWO,QVWRQ$JLQJ
%
&KURQLFWUHDWPHQWZLWKSUDPLSH[ROH
LQFUHDVHVWKHSRWHQF\RISUDPLSH[ROHLQGXFHGQHXURQDO¿ULQJ
LQWKHYHQWUDOSDOOLGXP6/52.26,.$+1(:0$17
1$3,(55XVK8QLY0HG&WU/R\ROD8QLY0HG&WU5XVK
8QLY0HG&WU1DWO,QVWRQ'UXJ$EXVH,QWUDPXUDO5HV
3URJUDP1DWO,QVWRI+OWK
%
2OLJRPHUVL]HRIFODVV$*SURWHLQ
FRXSOHGUHFHSWRUVUHYHDOHGE\ÀXRUHVFHQFHFRUUHODWLRQ
VSHFWURVFRS\.+(55,&.'$9,6(*5,1'(7
/,1'6/(<-0$=85.,(:,&=$OEDQ\0HG&ROO
,RQ&KDQQHOVDQG'LVHDVH
&HOOXODU0HFKDQLVPV
%
1RUHSLQHSKULQHLQGXFHGPRGXODWLRQRI
6.FKDQQHOVDVDSRWHQWLDOPHFKDQLVPIRUWKHLQGXFWLRQRI
G\VNLQHVLDDWWDFNVLQDPRXVHPRGHORI(SLVRGLF$WD[LD7\SH
()7$5$&&+(1..+2'$.+$+$OEHUW(LQVWHLQ
&RO0HG
%
&.FRQWULEXWHVWRGLPLQLVKHG
VPDOOFRQGXFWDQFH&DDFWLYDWHG.FKDQQHODFWLYLW\RI
K\SRWKDODPLFSDUDYHQWULFXODUQHXURQVLQK\SHUWHQVLRQ-/
3$&+8$8'/,+3$1870'$QGHUVRQ&DQFHU&WU
%
,GHQWL¿FDWLRQRIQRYHOSHSWLGHVWKDWDOWHU
HWKDQROPRGXODWLRQRI%.FKDQQHOIXQFWLRQ//6&277
69,<(56-'$9,65:$/'5,&+6-0,+,&-7
3,(5&(6+,02085$7KH8QLYRI7H[DVDW$XVWLQ7KH
8QLYRI7H[DVDW$XVWLQ
&
$JHQHWLFVWUDWHJ\WRGHWHUPLQHWKHDFWLRQ
RIHWKDQRORQWKH%.FKDQQHO6'$9,6&))$5$&2/
/6&277/%(&.(5-73,(5&(6+,02085$,QVW
1HXURVFL7KH8QLYRI7H[DVDW$XVWLQ
&
0W\SH.FKDQQHORSHQHUVLQYLYR
QHXURSURWHFWLYHUROHGXULQJFHUHEURYDVFXODUVWURNH60
%,(5%2:(5)6&+29($8066+$3,528QLYRI
7H[DV+OWK6FL&WU
&
$PXWDWLRQOLQNHGWRRFXORSKDU\QJHDO
PXVFXODUG\VWURSK\230'VHYHUHO\LPSDLUVVNHOHWDO
PXVFOHH[FLWDWLRQFRQWUDFWLRQFRXSOLQJ0*$5&Ë$$
99(*$*$9,/$&LQYHVWDY,31(VFXHOD6XSHULRUGH
0HGLFLQDGHO,31
S
&
+\GURJHQVXO¿GH+6LQFUHDVHV7W\SH
&DFXUUHQWVLQDIIHUHQWDQGHIIHUHQWQHXURQVSURMHFWLQJ
WRWKHXULQDU\EODGGHURIUDWV&/((+.,0%&+$-
6+,1.621*6-(21*%UDLQ5HV*URXS<RQVHL8QLY
:RQMX&RORI0HG%UDLQ5HV*URXS<RQVHL8QLY:RQMX
&RORI0HG&KXQJQDP1DWO8QLY+RVS
&
)XQFWLRQDOSODVWLFLW\RIWKHDIIHUHQWDQG
HIIHUHQWEODGGHUQHXURQVSURMHFWLQJWRWKHXULQDU\EODGGHULQ
UDWVZLWKEHQLJQSURVWDWLFK\SHUSODVLD+&+81*&/((
+.,0--81*-621*6-(21*<RQVHL8QLY:RQMX
&RORI0HG<RQVHL8QLY:RQMX&RORI0HG
&
(IIHFWVRIVXVWDLQHGLPSXOVHDFWLYLW\RQ
WKHPRUSKRORJ\RISHULSKHUDOQHUYH¿EUHVLQYLYR'75,*2
.-60,7+'HSWRI1HXURLQÀDPPDWLRQ,QVWRI1HXURORJ\
8&/8QLYGR3RUWR
&
([SUHVVLRQDQGIXQFWLRQRISURWRQ
SHUPHDEOHFDWLRQFKDQQHOVLQKXPDQJOLRPDFHOOV$
+21$62*(+6217+(,0(58QLYRI$ODEDPD$W
%LUPLQJKDP
&
6LWHGLUHFWHGUQDHGLWLQJ0)
0217,(/--&526(17+$/8QLYRI3XHUWR5LFR
8QLYRI3XHUWR5LFR0HG6FL&DPSXV
&
$OSKDV\QXFOHLQLQFUHDVHV1W\SHFDOFLXP
FKDQQHOFXUUHQWV*521=,77,*%8&&,602&+,'$
*-67(3+(16(&+,(5(*$77,)21'$=,21(
,67,7872,7$/,$12',7(&12/2*,$8QLYRI5HDGLQJ
8QLYRI2[IRUG7RN\R0HG8QLY
&
)DPLOLDOKHPLSOHJLFPLJUDLQHW\SH
.(PXWDWLRQDOWHUVGLUHFW*SURWHLQUHJXODWLRQRI
YROWDJHJDWHG&DYFKDQQHOV(*$5=$$6$1'29$/
5*21=$/(=$*$1',1,5)(/,;&WURI5HVDQG
$GYDQFHG6WXGLHV,31)(6,]WDFDOD81$0'U0DQXHO
*HD*RQ]iOH]*HQ+RVS
&
(IIHFWRI1W\SHFDOFLXPFKDQQHO
GH¿FLHQF\LQPLFURJOLDRQQHXURSDWKLFSDLQ77$1$%(
+6$(*86$6=21*7RN\R0HGDQG'HQW8QLY*UDG
6FK0HG
&
1HXURQDOVWHPFHOOUHFRUGLQJVRILRQ
FKDQQHOFXUUHQWVZLWKDXWRPDWHGSDWFKFODPS-:(%%(5
/'/2(-.1(5$/((6'(/$85$&0$7+(6
6RSKLRQ%LRVFLHQFH,QF&HOO'\QDPLFV,QWHUQDWLRQDO,QF
&
.QRFNGRZQRI7530LQKLELWV
LQYDVLYHQHVVRIPDOLJQDQWJOLRPDFHOOV7/(1*==(1*
;)(1*+681=;,21*0RUHKRXVH6FKRI0HG
&
.Y$QRYHOPROHFXODUWDUJHWWR
VWXG\WKHUROHRIEDVDOIRUHEUDLQ*$%$HUJLFQHXURQVLQWKH
VOHHSZDNHF\FOH+0,621287+(50$167<1($
0(5(',7+*+2))0$1-021*'RVKLVKD8QLY8QLY
RI0DU\ODQG0RUJDQ6WDWH8QLY
&
(SLOHSWLIRUPDFWLYLW\RIFKROLQHUJLF
RVFLOODWLRQYLDDEQRUPDO*$%$HUJLFUHVSRQVHRIWRWWHULQJ
&DFKDQQHOPXWDQWPLFH$1$.$270,.,.
6+,02127180$7$6.,<21$.$-/12(%(/60
:$.$025,.,0272<025,.\RWR8QLY-6365HV
)HOORZ3DQDVRQLF&RUS%D\ORU&RORI0HG7RKRNX8QLY
1DWO,QVWIRU3K\VLRORJLFDO6FL
3267(5
&
7KHHIIHFWRIGU\H\HRQWKHSURSHUWLHVRI
FRUQHDOSULPDU\DIIHUHQWQHXURQVDFWLYDWHGE\FRROLQJDQG
PHQWKRO0.8526($7:$,7(.<$0$085$,'
0(1*8QLYRI1HZ(QJODQG1LLJDWD8QLYHUVLW\*UDG6FK
RI0HGDQG'HQW6FL&RORI2VWHR0HGLFLQH8QLYRI1HZ
(QJODQG
&
(SLVWDWLFLQWHUDFWLRQVDWWKHD[RQLQLWLDO
VHJPHQWLQJHQHWLFHSLOHSV\02/,9$(*$=,1$(
7+20$6:)5$1.(/63(75280HOERXUQH%UDLQ&WU
7KH-DFNVRQ/DE
&
&RQWULEXWLRQRI&O&WRFKORULGHHIÀX[
LQ&$S\UDPLGDOQHXURQVDQGLWVGLVWULEXWLRQZLWKLQWKH
WKDODPXV10'$00(,(5..$,/$+/(5&+(-
92,3,2&1,785$'8QLY7ELQJHQ8QLY+HOVLQNL8QLY
RI7XHELQJHQ
&
([FLWDWRU\*$%$VLJQDOLQJLQWKH
QRFLFHSWLYHGRUVDOURRWJDQJOLRQQHXURQV<.,0,-$1*
-.,06-81*62+6HRXO1DWO8QLY+DQ\DQJ8QLY
&RORI0HG
3267(5
+&1DQG1RQ6HOHFWLYH&DWLRQ&KDQQHOV
&HOOXODU0HFKDQLVPV
&
$QRYHOFDOFLXPVLJQDOLQJPHGLDWHGE\
67,0DVVRFLDWHGQRQVHOHFWLYHFDWLRQFKDQQHOVLQVSLQDO
FRUGGRUVDOKRUQQHXURQV++853$1'UH[HO8QLY&RO
RI0HG
&
8VLQJPRGHOGDWDEDVHVWRGHWHUPLQH
GHQGULWLFGLVWULEXWLRQVRI,KFKDQQHOVLQRULHQVODFXQRVXP
PROHFXODUHKLSSRFDPSDOLQWHUQHXURQV96(.8/,&--
/$:5(1&().6.,11(58QLYRI7RURQWR8QLY+OWK
1HWZRUN8QLYRI0RQWDQD8QLYRI0RQWDQD8QLYRI7RURQWR
&
S,KPRGXODWHVWKHWDUK\WKPDQG
V\QFKURQ\LQDFRPSXWHUPRGHORI&$7&028/,10
0+,/6&+(5,QVWGH%LRTXtPLFD0pGLFD8QLY)HGHUDO'R
5LR'H-DQHLUR1HXURG\QDPLFV/DE'HSWRI1HXURVFLHQFH
8SSVDOD8QLY
&
)DFLOLWDWLRQRIK\SHUSRODUL]DWLRQDFWLYDWHG
F\FOLFQXFOHRWLGHJDWHGFKDQQHOVXEXQLWE\3URVWDJODQGLQ
(LQSULPDU\GLVVRFLDWHGQHXURQVRIWULJHPLQDOJDQJOLD
LQUDWV+-(21*6-81*62+6HRXO1DWO8QLY
+DQ\DQJXQLYHUVLW\
&
1HXURSURWHFWLYHUROHRIWDXULQHLQS[
UHFHSWRUPHGLDWHGQHXURWR[LFLW\&&&+$2&.820
76$,&*21*&+8$1*</(81*1DWO&KXQJ+VLQJ
8QLY*UDGLQVWLWXWHRI1HXUDODQG&RJQLWLYH6FL&KLQD
0HG8QLY'HSWRI3K\VLRORJ\6FKRI0HGLFLQH&KLQD
0HG8QLY
3267(5
/RQJ7HUP'HSUHVVLRQ,,,
&HOOXODU0HFKDQLVPV
&
&KDUDFWHUL]DWLRQRIGHSRWHQWLDWLRQDWWKH
KLSSRFDPSDOVFKDIIHUFROODWHUDOFDV\QDSVH()$/',1,7
$+0(''%$/6&+81.8/HXYHQ
&
$QRYHOPHFKDQLVPUHJXODWLQJ
KLSSRFDPSDOV\QDSWLFSODVWLFLW\DQGPHPRU\SURFHVVE\
FGN-6(23*,867,52'5,*8(=.27$<=+28
$58'(1.26&+2-*$2(&251(-2=;,(+
3$7=.(51(9(/76$,0,70,70,7
&
'LIIHUHQFHVLQ$UHFHSWRUPHGLDWHG
/7'EHWZHHQKLSSRFDPSDODUHDV&$DQG&$UHÀHFW
GHYHORSPHQWDOFKDQJHVLQWKHORFDOH[SUHVVLRQRI$
UHFHSWRUV'$&$58$1$60'8'(.1,(+61,+
&
&D0.,,PHGLDWHGJDWLQJRIFHUHEHOODU
/7'WKURXJKHQKDQFHGF*03VLJQDOLQJ6.$:$*8&+,7
+,5$12'RVKLVKD8QLY*UDG6FKRI6FLHQFH.\RWR8QLY
&
3KRVSKRU\ODWLRQPRGXODWLRQRI+&1
FKDQQHOPHGLDWHGFXUUHQWGHQVLW\LQWZRFODVVHVRI
KLSSRFDPSDOSULQFLSDOQHXURQV$':,//,$066-81*
13322/268QLYRI:DVKLQJWRQ8QLYRI:DVKLQJWRQ
&
S
(QKDQFHPHQWRI/7'DWPRVV\
¿EHU&$V\QDSVHVE\PHWDERWURSLFJOXWDPDWHUHFHSWRUV
JURXS,,DJRQLVWDQGSRVLWLYHPRGXODWRU+6+$%$1/
+26.(1(6('(35,16+/$95(<6(105$+0$1
-.(03-RKQVRQ-RKQVRQ
&
)XQFWLRQDODOWHUDWLRQVLQ+&1FDWLRQ
FKDQQHOVFRQWULEXWHWRQHXURSDWKLFSDLQSURFHVVLQJLQPHGLDO
SUHIURQWDOFRUWH[6&25'(,520$726==+$1*3
6(*8(/$0RQWUHDO1HXURORJ,QVWLWXWH0F*LOO8QLY
&
6LJQDOLQJHYHQWVXQGHUO\LQJ7539
PHGLDWHGORQJWHUPGHSUHVVLRQDWH[FLWDWRU\V\QDSVHVRQ
KLSSRFDPSDOLQWHUQHXURQV$0&+,5,/$7(%52:1-
$.$8(5%URZQ8QLY
&
,KFKDQQHOVSUHYHQWRYHUH[FLWDELOLW\
RIHDUO\GHYHORSPHQWDO&$QHXURQVVKRZLQJKLJKLQSXW
UHVLVWDQFHLQUDWV6-81*<<$1*6.,00.$1*6
(81-HMX1DWO8QLY
&
P*OX5H[SUHVVLRQLVUHTXLUHGIRU
10'$UHFHSWRUGHSHQGHQWORQJWHUPGHSUHVVLRQLQOD\HU
,9RIPRXVHYLVXDOFRUWH[06,'2529(6.$3/$1
$0,&+$/21*-$(6&+.(-*:(7767(,1/
/,1'(0$110)%($57KH3LFRZHU,QVW)RU/HDUQLQJ
DQG0HPRU\0,7)+RIIPDQQ/D5RFKH$*)+RIIPDQQ
/D5RFKH$*
&
+&1$UHOLDEOHPDUNHURIIDVWVSLNLQJ
LQWHUQHXURQVLQWKHUDWVSLQDOFRUGDQGKLSSRFDPSXV.$
%2</(&0.,1121&%,/6/$1'-$48$</('
,+8*+(66SLQDO&RUG5HV*URXS,QVWRI1HXURVFLDQG
3V\FKRORJ\8QLY
&
+HWHURPHULF+&1FKDQQHOVRQWKHFHOO
VXUIDFH1RYHOLQVLJKWVIURP7,5))5(7LPDJLQJ<12$0
/5(*(9$.2+1+26+,7=%$5$08QLYRI
&DOLIRUQLD,UYLQH8QLYRI&DOLIRUQLD,UYLQH8QLYRI&DOLIRUQLD
,UYLQH8QLYRI&DOLIRUQLD,UYLQH
&
7KHUPDOVHQVLWLYLW\RIUDSLGO\DGDSWLQJ
W\SHRIPHFKDQLFDOO\DFWLYDWHGFXUUHQWVLQUDWGRUVDO
URRWJDQJOLRQQHXURQV=-,$-/,1*-*88QLYRI
&LQFLQQDWL&RORI0HG8QLYRI&LQFLQQDWL&RORI0HG
&
+HWHURV\QDSWLFSODVWLFLW\DWYHQWUDO
WHJPHQWDODUHDWRQXFOHXVDFFXPEHQVIDVWLQKLELWRU\
V\QDSVHV0,6+,.$:$027$.$%':,17(56<
+8$1*206&+/h7(5<'21*8QLYRI3LWWVEXUJK
:DVKLQJWRQ6WDWH8QLY8QLYRI3LWWVEXUJK(XURSHDQ
1HXURVFL,QVW
&
(IIHFWRIP*OX5GHSHQGHQW/7'RQ
VWUXFWXUDOSODVWLFLW\RIGHQGULWLFVSLQHV<5$0,52,
,65$(/<)XQGDomR&KDPSDOLPDXG
S
&
/RQJWHUPGHSUHVVLRQRIH[FLWDWRU\
V\QDSVHVLVPHGLDWHGE\UHWURJUDGH$*VLJQDOLQJLQ
KLSSRFDPSDOS\UDPLGDOFHOOVDQG*$%$HUJLFLQWHUQHXURQV
=3e7(5),*085%È12,3$33%1e0(7+
+021<(5*6=$%Ï)(5'e/<,.0$&.,(7)
)5(81'1+È-26,.$721$,(0+$68QLY+RVS
+HLGHOEHUJ,QGLDQD8QLY
&
(QGRVRPDOWUDI¿FNLQJRI$03$UHFHSWRUV
GXULQJV\QDSWLFSODVWLFLW\0)(51$1'(=0215($/-$
(67(%$1&WURI0RO%LRO6HYHUR2FKRD&VLF
&
,QKLELWLQJWKHGRSDPLQHWUDQVSRUWHU'$7
LPSDLUVORQJWHUPGHSUHVVLRQDW&$V\QDSVHVWKURXJK
D'OLNHGRSDPLQHUHFHSWRUVGHSHQGHQWPHFKDQLVP-
52&&+(77,*'$/%2(,6,1*5,1,7:21*%
*,526'RXJODV8QLY0HQWDO+OWK,QVW3LHUUHHW0DULH
&XULH8QLY
&
9LVXDOH[SHULHQFHDOWHUVSUHV\QDSWLF
UHOHDVHDQGSODVWLFLW\LQDQ10'$5GHSHQGHQWPDQQHU
5/$56(15-&25/(:5-:(,1%(5*%'
3+,/3278QLYRI1RUWK&DUROLQD0D[3ODQFN)ORULGD,QVW
8QLYRI1RUWK&DUROLQD
,QWULQVLF0HPEUDQH3URSHUWLHV'HQGULWLFDQG6\QDSWLF
,QWHJUDWLRQ,,
&HOOXODU0HFKDQLVPV
&
'HQVLW\DQGIXQFWLRQRISRWDVVLXP
FKDQQHOVLQWKHDSLFDOGHQGULWLFWXIWRIOD\HUQHRFRUWLFDO
S\UDPLGDOQHXURQV65:,//,$0607+$51(77
-&0$*((4XHHQVODQG%UDLQ,QVW-DQHOLD)DUP5HV
&DPSXV+RZDUG+XJKHV0HG,QVW
&
0RGHOLQJKHWHURJHQHRXVG\QDPLFVDQG
SODVWLFLW\LQFRUWLFDOS\UDPLGDOV+*6$$'*6,/9$8&
6DQ'LHJR8&6DQ'LHJR8&6DQ'LHJR
&
&RPSOH[VSLNHEXUVWVLQ&$
KLSSRFDPSDOQHXURQVLQYLYRUHTXLUH10'$5DFWLYDWLRQ
&*5,(1%(5*(5;&+(1$.211(57+,QVWIRU
1HXURVFL
&
5HFRUGLQJDQGFDOLEUDWLQJ(363VLQ
GHQGULWLFVSLQHVHYRNHGE\SKRWRQJOXWDPDWHXQFDJLQJ
XVLQJYROWDJHVHQVLWLYHG\HV($+2<265$0,5(=&
$&.(51/,83<$1//2(:8QLYRI&RQQHFWLFXW+OWK
&WU
&
,QKLELWRU\FRQWURORIGHQGULWLFH[FLWDELOLW\
LQQHRFRUWLFDOS\UDPLGDOQHXURQVE\QHXURJOLDIRUPFHOOV
&:2=1<*7$0È6'6&+0,7=65:,//,$06
&KDULWH8QLYHUVLWDHWVPHGL]LQ+XQJDULDQ$FDGRI6FLHQFHV
8QLYRI6]HJHG7KH4XHHQVODQG%UDLQ,QVW
&
$FUXFLDOUROHRIGHQGULWLFYROWDJH
JDWHGVRGLXPFKDQQHOVLQFDOFLXPVLJQDOLQJDQGORQJWHUP
SRWHQWLDWLRQLQGXFWLRQLQWKHWXIWGHQGULWHVRIKLSSRFDPSDO
&$S\UDPLGDOQHXURQV&+68<.,0163586721
-DQHOLD)DUP5HV&DPSXV+RZDUG+XJKHV0HG,QVW
&
&DQSRZHUODZVLQPDFURVFRSLFDQG
PLFURVFRSLFQHXUDOUHFRUGLQJVEHH[SODLQHGE\WKHFDEOH
SURSHUWLHVRIQHXURQV".+3(77(56(1+/,1'e17
7(7=/$))*7(,1(92//1RUZHJLDQ8QLYRI/LIH6FL
5R\DO,QVWRI7HFKQRO.7+5HV&WU-XHOLFK1RUZHJLDQ
8QLYRI/LIH6FL
&
+&1FKDQQHOVFRQWULEXWHWRWKHVSDWLDO
V\QFKURQ\RIWKHWDIUHTXHQF\V\QDSWLFLQSXWVLQ&$
S\UDPLGDOQHXURQV639$,'<$'-2+16721&WU)RU
/HDUQLQJDQG0HPRU\8QLYRI7H[DV$W$XVWLQ
&
/RQJWHUPSODVWLFLW\RILQKLELWRU\
V\QDSVHVDWWKDODPLFUHOD\QHXURQV$6,(%(5-675(,7
71(9,$18QLY%HUQ
&
&RPSDULVRQRIGHQGULWLF10'$VSLNHV
DQGGHQGULWLFSODWHDXSRWHQWLDOV.',.212086'
6+257075,&+6'$17,&8&RQQ+OWK&WU
3267(5
&
6LPXOWDQHRXVYROWDJHDQGFDOFLXP
LPDJLQJLQVLQJOHGHQGULWLFVSLQHV&'$&.(5(+2<26
5$0,5(=3<$11/,8//2(:8&RQQ+OWK&WU
&
0HWDERWURSLFUHFHSWRUPRGXODWLRQRI
SURMHFWLRQVSHFL¿FSUHIURQWDOFRUWH[OD\HUGHQGULWHV%(
.$/0%$&+1'(0%52:5&+,7:22'(0&&25'
'-2+167218QLY7H[DV$XVWLQ8QLY7H[DV$XVWLQ
&
(OHFWULFDOVLJQDOSURFHVVLQJLQ1*JOLD
7.825:(1*7&+(1&/,(1,QVWRI1HXURVFL
DQG%UDLQ5HV1DWO<DQJ0LQJ8QLY
&
)LQHWXQLQJRIDFWLRQSRWHQWLDOFRQGXFWLRQ
YHORFLW\LQP\HOLQDWHG&16D[RQV0&)25'2
$/(;$1'529$/&266(//'$77:(//%*527+(
/XGZLJ0D[LPLOLDQV8QLY0XQLFK*UDG6FKRI6\VWHPLF
1HXURVFLHQFHV8QLY&RO/RQGRQ
&
'HQGULWLFDFWLYLW\LQFDKLSSRFDPSDO
SDUYDOEXPLQSRVLWLYHLQWHUQHXURQVGXULQJVKDUSZDYH
RVFLOODWLRQV%&+,29,1,*)785,'3È/),*
.$721$$.$6=È6*6=$/$<.63,7=(5)
(5'e/<,*6=$%Ï%5Ï=6$,QVWRI([SWO0HG
+XQJDULDQ$FDGRI6FL'HSDUPHQWRI1HXURVFL3i]PiQ\
3pWHU&DWKROLF8QLY
S
$EHWD$VVHPEO\DQG'HSRVLWLRQ,,
0RQ30±(UQHVW10RULDO&RQYHQWLRQ&HQWHU+DOO) &
(DUO\HQULFKHGHQYLURQPHQWH[SRVXUH
UHVFXHVVSDWLDOPHPRU\GH¿FLWVDQGDFFHOHUDWHVEUDLQ
DP\ORLGGHSRVLWLRQLQ$3336PLFH)0217$52/25
3$52/,6,(+2;+$)7(03,$1,&21HXURVFL
,QVW&DYDOLHUL2WWROHQJKL8QLYRI7RULQR
&
3DUNLQUHYHUVHV$`LQGXFHGDOWHUDWLRQV
RIEUDLQPHWDEROLVP&105VWXGLHV1$/*$5=$(0
+(%521,/216.$<$1'(6)25*(6&02866$
*HURJHWRZQ8QLY/DE*HURJHWRZQ8QLY
&
'LIIHUHQW$`DVVHPEOLHVKDYHGLVWLQFW
HIIHFWVRQEDVDOQHXURWUDQVPLVVLRQDQG/73.6.52.(5
-025(7+*5$67%6200(5+526(1%52&.
/.8660$8/%RHKULQJHU,QJHOKHLP3KDUPD*PE+
&R.*&16'LV5HVHDUFK%RHKULQJHU,QJHOKHLP3KDUPD
*PE+&R.*
3267(5
&
0RGXODWLRQRIGHQGULWLFH[FLWDELOLW\LQWKH
DSLFDOWXIWGHQGULWHVRIWKHUDWSUHIURQWDOFRUWH[VWXGLHGZLWK
PLQXWHFDOFLXPG\HORDGLQJSURWRFROV606+257.
',.21208075,&+6'$17,&8QLYRI&RQQHFWLFXW
+OWK&WU
&
&OXVWHULQJRISODTXHVDVDQDOWHUQDWLYH
PHFKDQLVPRISODTXHJURZWKLQDPRXVHPRGHORI
$O]KHLPHU¶VGLVHDVH-0&&$57(56/,(%6&+(57
%$&++8%(5&$%28$-5$0%7+<0$1&+$$66
00(<(5/8(+0$11/XGZLJ0D[LPLOLDQV8QLY0D[
3ODQFN,QVWRI1HXURELR0*++DUYDUG0HG6FK'=1(
*HUPDQ&WUIRU1HXURGHJHQHUDWLYH'LV1HXURFHQWHU'HSW
RI1HXURORJ\8QLYRI)UHLEXUJ
&
$XQLTXHFRQIRUPDWLRQRIDP\ORLGLV
DVVRFLDWHGZLWKFHUHEURYDVFXODUDP\ORLGGHSRVLWV5
$/%$<,,,$3(16$/),1,$+$7$0,60,/721+
$5$,&**/$%(8QLYRI&DOLIRUQLD,UYLQH
&
,QWUDQXFOHDU0DP\ORLG
LPPXQRUHDFWLYLW\FRORFDOL]HVZLWKQXFOHDU$33&7)
LPPXQRUHDFWLYLW\LQHDUO\$O]KHLPHU¶V'LVHDVH$
3(16$/),1,5$/%$<,,,/0$5*2/$+$7$0,6
5$622/+$5$,60,/721:3221=6+$1&
*/$%(8QLY&DOLIRUQLD,UYLQH8QLY&DOLIRUQLD,UYLQH8QLY
&DOLIRUQLD,UYLQH
&
,QWUDQHXURQDOIRUPDWLRQRIKLJKPDVV
VSKHULFDODP\ORLGEHWDDVVHPEOLHVIURPDP\ORLGSUHFXUVRU
SURWHLQVLQQHXURQVZLWK$O]KHLPHU¶VPXWDWLRQV+
.2085$17$.,126085$0$7680+26+,7$2
+OWK/LIH3KDUPD-LFKL0HG8QLY.\RWR8QLY
&
&HUHEUDOKHPHDQGDP\ORLGEHWDLQDJLQJ
7JPLFH%(':<(5-5%($1*3(55<;
=+89$0HG&WU8QLYRI6DQ$QWRQLR&DVH:HVWHUQ
5HVHUYH8QLY
&
&&/,QÀXHQFHV`DP\ORLGRVLVDQG
FRJQLWLRQLQDPRXVHPRGHORI$O]KHLPHU¶VGLVHDVH7
.,<27$+(*(1'(/0$15$:(,5((+,**,16
*=+$1*0-$,18QLYRI1HEUDVND0HG&WU
'
&KDUDFWHUL]DWLRQRIWKHROLJRPHULFIRUPV
RIWDX'6+,00(/67(,1.3$77(5621<)86
:$5'1.$1$$1-/$1&,$/,%,1'(51RUWKZHVWHUQ
8QLY1RUWKZHVWHUQ8QLY0LFKLJDQ6WDWH
'
$P\ORLGEHWDWULJJHUVWDXWR
LQGXFHUHJLRQVSHFL¿FGHQGULWLFUHPRGHOLQJYLD
G\QDPLFSKRVSKRU\ODWLRQDWGLVHDVHUHOHYDQWVLWHV1
*2/29<$6+.,1$&7$&.(1%(5*/%$.27$5
%5$1'78QLYRI2VQDEUXHFN
'
,GHQWL¿FDWLRQRIVWUHVVJUDQXOHVDVD
QRYHOSDWKRORJ\LQWDXRSDWKLHVDQG$O]KHLPHU¶VGLVHDVH
7(9$1'(5:(<'(0,8/,$12.&2;1$<7$1
$'('(2*/8%:2/2=,1%RVWRQ8QLY6FKRI0HG
%RVWRQ8QLY6FKRI0HG9$%RVWRQ+HDOWKFDUH6\VW
'
,PPXQRF\WRFKHPLFDOFKDUDFWHUL]DWLRQ
RIWDXSURWHLQLQ6+6<<KXPDQQHXUREODVWRPDFHOOV3
)/25(652'5,*8(=1=$5&2)3(5(=-/81$
08f2=50(1$-6(*29,$9,/$&WUGH,QYHVWLJDFLyQ
\GH(VWXGLRV$YDQ]DGRVGHO,31,11\1
'
S
/RQJWHUPSURWHDVRPDOLQKLELWLRQLQ
WUDQVJHQLFPLFHE\8%%H[SUHVVLRQUHVXOWVLQUHVSLUDWRU\
G\VIXQFWLRQDVVRFLDWHGZLWKEUDLQVWHPQHXURSDWKRORJ\LQ
$O]KHLPHU¶VGLVHDVH5-*(17,(5'$+23.,16):
9$1/((8:(10DDVWULFKW8QLY0DDVWULFKW8QLY
'
,QKLELWLRQRIWKHSURWHDVRPHDVVRFLDWHG
GHXELTXLWLQDWLQJHQ]\PH8VSZLWK,8DIIHFWVFHOO
YLDELOLW\7$8VWDELOLW\FDVSDVHDQGFDOSDLQDFWLYDWLHV
DQGDFFXPXODWLRQRIXELTXLWLQDWHGSURWHLQVLQUDWSULPDU\
QHXURQDOFXOWXUHV,PSOLFDWLRQVWR$O]KHLPHU¶VGLVHDVH
0-.,352:6.$9=+8.$5(9$0),*8(,5('2
3(5(,5$+XQWHU&ROOHJH&81<*UDG&HQWHU&81<
/LIH6HQVRUV,QF+XQWHU&RODQG*UDG&HQWHU&81<
&
,QFUHDVHGVROYHQWH[SRVXUHRIDP\ORLG
EHWDQWHUPLQDOUHVLGXHVDIIHFWVLWVDELOLW\WRFDXVH
PHPEUDQHSHUPHDWLRQ7/:,//,$063+0$66(<
%%$5=00&21'521'%7(3/2:%85%$1&
'UH[HO8QLY8&/$
'
3KDUPDFRORJLFDOFKDUDFWHUL]DWLRQRI
QRYHOSPLWRJHQDFWLYDWHGNLQDVHS0$3.LQKLELWRUV
DJDLQVWLQÀDPPDWLRQLQGXFHGWDXSDWKRORJ\10$3+,6
*;8-36&+$92&.<6052</-9$1(/',.'
0:$77(5621505$162+2)).%+$6.$5%7
/$0%7KH&OHYHODQG&OLQ1RUWKZHVWHUQ8QLY6DQGHU
%URZQ&WURQ$JLQJ8QLYRI.HQWXFN\
3267(5
'
([SUHVVLRQRIDKLVWRQHGHDFHW\ODVH
HQKDQFHVPLVWDUJHWLQJRISKRVSKRU\ODWHGWDXWRVRPDRI
KLSSRFDPSDOQHXURQV.$0('(,526--&+$0%(56
80$66$PKHUVW
$O]KHLPHU¶V'LVHDVHDQG2WKHU'HPHQWLDV7DX
%LRFKHPLVWU\
&
6LWHVVHOHFWLYHVXSSUHVVLRQRI$'OLNH
SDWKRORJLFDOVROXEOHWDXDJJUHJDWHVLPSURYHVPHPRU\DQG
V\QDSWLFGH¿FLWVLQDJHGKXPDQWDXWUDQVJHQLFPLFH4
0$'-*$172-8%('$)<$1**0&2/(6$
)5$876&+<8&/$*UHDWHU/RV$QJHOHV9HWHUDQV$IIDLUV
+HDOWKFDUH6\VWHP9$0HG&WU
'
S3/PXWDQWWDXLQGXFHVSURQRXQFHG
GHJHQHUDWLRQRIDQWLR[LGDQWGHSULYHGUDWFRUWLFDODQG
KLSSRFDPSDOQHXURQVLQFXOWXUH10&+,.:(0.$
%$6.(59,//(/LQFROQ8QLY
'
)XQFWLRQDOFRQVHTXHQFHVRIVWUHVV
,PSDFWRILQYLWURVWUHVVH[SRVXUHRQWDXSKRVSKRU\ODWLRQ
DJJUHJDWLRQDQGD[RQDOWUDQVSRUW0+/(7&+(;20
&:85$5,660$18&6'6FKRI0HG
'
6LQJOHFKDLQYDULDEOHIUDJPHQWVSHFL¿FIRU
WULPHULFWDXDVDWRROWRVWXG\$O]KHLPHU¶VGLVHDVH+7,$1
('$9,'2:,7=-*02(056,(5.6$UL]RQD6WDWH
8QLY2OLJRPHUL[,QF$UL]RQD6WDWH8QLY
'
0LWRFKRQGULDOLQNHGHQHUJ\GH¿FLWLQ
QHXURQVOHDGVWR6SURWHDVRPHGLVDVVHPEO\DQG7$8
FOHDYDJHYLDFDOSDLQDFWLYDWLRQ5HOHYDQFHWR$O]KHLPHU¶V
GLVHDVH4+8$1*+:$1*0),*8(,5('2
3(5(,5$+XQWHU&ROOHJH*UDG&WURI&LW\8QLY1HZ<RUN
'
7DXIDFLOLWDWHVH[FLWRWR[LFLW\DQG
PLWRFKRQGULDOG\VIXQFWLRQFDXVHGE\NDLQLFDFLGDQGDP\ORLG
EHWD6035,7&+$5'*9:-2+16218QLYRI
5RFKHVWHU6FKRI0HGDQG'HQW8QLYRI5RFKHVWHU60'
'
0HFKDQLVPVRIWKHF\WRWR[LFLW\RIWDX
UHODWHGSHSWLGHV:-*28;//,-59(/25,$,,,*
&267,//$/:$1*65'¶0(//2*%5((17KH
8QLYRI7H[DVDW'DOODV7KH8QLYRI7H[DV$W'DOODV
'
3KRVSKRU\ODWLRQUHJXODWHVWKHG\QDPLF
DVVRFLDWLRQRIWDXZLWKQHXURQDOPHPEUDQHVDQGWKHW\URVLQH
NLQDVHI\Q$322/(5$86$5',:12%/('
+$1*(5.LQJ¶V&RO/RQGRQ
'
&KDUDFWHUL]DWLRQRI()KGDFDOFLXP
ELQGLQJSURWHLQDVVRFLDWHGZLWKWDXLQWDXRSDWKLHV<
)(55(5$&267$(152'5,*8(=,(9(*$8QLY
RI3XHUWR5LFR5LR3LHGUDV&DPSXV
S
'
'LIIHUHQWLDO7DXK\SHUSKRVSKRU\ODWLRQ
LVDVVRFLDWHGZLWKDJHGHSHQGHQWQHXURGHJHQHUDWLRQLQ
SUHVHQLOLQNQRFNRXWPLFH$-26(3+)086$55$7<
7$1*/68+6&
'
&KDUDFWHUL]DWLRQRIZQWVLJQDOLQJLQDSS
DQGWDXWUDQVJHQLFPRXVHPRGHOVRI$O]KHLPHU¶VGLVHDVH
-5,,6(/5()6*$$5'$3$5$&+,.29$13/$7+
%LVSHEMHUJ8QLY+RVS+/XQGEHFN$6&RSHQKDJHQ8QLY
'
,QWUDQHXURQDO`DP\ORLGDQGWDX
SDWKRORJ\RFFXUFRQFXUUHQWO\LQWKHKLSSRFDPSXVRI
SRVWQDWDO[7J$'PRXVHSXSV6(3(5(=(
08)6215XVK8QLY0HG&WU
'
/HSWLQUHVLVWDQFHDQGWKHPLFURWXEXOH
DVVRFLDWHGSURWHLQWDX7/3/$77'01,('2:,&=
..2+/(57/%(&.(77030853+<5RRP
6DQGHUV%URZQ&WU2Q$JLQJ8QLYRI.HQWXFN\8QLYRI
.HQWXFN\
3267(5
$O]KHLPHU¶V'LVHDVH1HXURLQÀDPPDWLRQ,,,
'
0XOWLSOHORZGRVHLQMHFWLRQVRI
+8&%&VLPSURYHQHXURFRJQLWLYHLPSDLUPHQWDQGUHGXFH
$`DVVRFLDWHGQHXURSDWKRORJ\LQ$O]KHLPHU¶VPLFH'
'$5/,1*721-'(1*%*,817$++28&'
6$1%(5*1.8=0,11,&+2/6+=+287025,
-(+5+$57356$1%(5*-7$15DVKLG/DEIRU
'HYHORSPHQWDO1HXURELRORJ\0RUVDQL&RORI0HGLFLQH
8QLYHUVL'DSLQJ+RVSLWDO7KLUG0LOLWDU\0HG8QLY
1HXURLPPXQRORJ\/DERUDWRU\0RUVDQL&RORI0HGLFLQH
8QLYRI6RXWK)ORULGD&WUIRU$JLQJDQG%UDLQ5HSDLU
0RUVDQL&RORI0HGLFLQH8QLYRI6RXWK)ORULGD6DQHURQ
&&(/7KHUDSHXWLFV,QF6DLWDPD0HG&WUDQG6DLWDPD
0HG8QLY'DSLQJ+RVSLWDO7KLUG0LOLWDU\0HG8QLY
'
5HGH¿QHWKH0HFKDQLVPRI
WHWUDK\GURFDQQDELQRO7+&DJDLQVW$O]KHLPHU¶V'LVHDVH<
/,&&$2-&$,%\UG$O]KHLPHU¶V,QVW8QLYRI6RXWK
)ORULGD
'
/RFDOLQGXFWLRQRI231E\LPPXQHFHOOV
LVDVVRFLDWHGZLWKGHFUHDVHG$`SODTXHEXUGHQLQ*$
LPPXQL]HG$3336PRXVHPRGHOV%&6$/80%,'(6
$5(176(1'25-<.2521<2-6+(<1')8&+6
;6+(103+$0./%/$&.0.2521<2
+$0$28,&HGDUV6LQDL0HG&WU&HGDUV6LQDL0HG&WU
'
$SRWHQWLDOOLQNEHWZHHQYLUDOLQÀDPPDWLRQ
DQG$O]KHLPHU¶VGLVHDVH06.$+1-1285,-
0,7&+(/'.5$1-$&0(,0(5%5,1.*:%2(+0
0-&+80/(<7H[DV&KULVWLDQ8QLY7H[DV&KULVWLDQ8QLY
'
(DUO\LQÀDPPDWRU\SURFHVVLQDQRYHO
WUDQVJHQLFUDWPRGHORI$O]KHLPHU¶VGLVHDVH&(+$1=(/
$3,&+(7%,1(77(&&8(//20F*LOO8QLY
'
,QÀDPPDWRU\PDUNHUVDQGKLSSRFDPSDO
YROXPH)LQGLQJVIURPWKH*HQHWLFVRI0LFURDQJLRSDWKLF
%UDLQ,QMXU\VWXG\0)6&+0,'7.%)5((0$1%*
:,1'+$00(*5,6:2/'::$1*7+026/(<
-U8QLYRI0LVVLVVLSSL0HG&WU8QLYRI0LVVLVVLSSL0HG
&WU8QLYRI0LVVLVVLSSL0HG&WU8QLYRI0LVVLVVLSSL0HG
&WU
'
S
*HQRW\SLQJ&'DQGSWUDQVJHQLF
PLFHWRHVWDEOLVKDQRYHOPRXVHPRGHORIQHXURQVSHFL¿F
YLUDOLQIHFWLRQDQGWDXRSDWK\$0,65$-6.,3:257+
8$*8%2.:8*5$//.%$6.(59,//(/LQFROQ8QLY
)R[&KDVH&DQFHU&WU
'
(PHUJLQJUROHVRISDWKRJHQVLQ
$O]KHLPHU¶VDQGPRGHUDWHPDJQHWLF¿HOGWKHUDS\GFHPI
WHVOD7:1,&+2/67UHQW1LFKROV0'
'
2YHUH[SUHVVLRQRIKXPDQ&UHDFWLYH
SURWHLQH[DFHUEDWHVFRJQLWLYHLPSDLUPHQWDQG
QHXURSDWKRORJ\LQDPRXVHPRGHORI$O]KHLPHU¶VGLVHDVH
'&$2+/8'+2770$1:=+$1*6&+(1*/
+29'(7:5,*+703(*8(6$6=$/$,//,8QLYRI
0LQQHVRWD8QLYRI$ODEDPDDW%LUPLQJKDP
'
S
$XWRDQWLERG\SUR¿OLQJIRUFDQGLGDWH
ELRPDUNHUVRI$O]KHLPHU¶VGLVHDVHDQGUHODWHGWDXRSDWKLHV
-9$48(5$/,&($&12*8(5$6257,=,(9(*$
8QLYRI3XHUWR5LFR5LR3LHGUDV&DPSXV8QLYRI3XHUWR
5LFR5LR3LHGUDV&DPSXV8QLYRI3XHUWR5LFR5LR3LHGUDV
&DPSXV8QLYRI3XHUWR5LFR5LR3LHGUDV&DPSXV
'
$OWHUHG7FHOOUHVSRQVHVWR$DVDQHDUO\
GLDJQRVWLFWHVWIRU$O]KHLPHU¶VGLVHDVH$1%(*80&
&81+$':(7+(//:HVWHUQ8QLYRI+OWK6FL
'
$P\ORLG3UHFXUVRU3URWHLQDVD
FKROHVWHUROUHJXODWRULQWKHSDWKRJHQLFFDVFDGHRI
ODWHRQVHW$O]KHLPHU¶VGLVHDVH0$&$67(//2$
%+$77$&+$5<$6625,$12/RPD/LQGD8QLY
'
$QWLLQÀDPPDWRU\DQG$EHWDORZHULQJ
SURSHUWLHVRIDQDWDELQHLQDWUDQVJHQLFPRXVHPRGHO
RI$O]KHLPHU¶VGLVHDVH09(50$'%($8/,(8
$%'(/$+$'&%$&+0(,(5-5(('*$,7*+(=$/$
$%,6+23&-,190$7+85$)&5$:)25'0
08//$1'3$5,65RVNDPS,QVW
'
'LDEHWHVH[DFHUEDWHVDP\ORLGDQG
QHXURYDVFXODUSDWKRORJ\LQDJLQJDFFHOHUDWHGPLFH$
&855$,6035,25'/2&-2/,9$/7'6&+8%(57
30$+(57KH6DON,QVW7KH6DON,QVW8QLYRI&DOLIRUQLD
6DQ'LHJR
'
&RPSOHPHQWUHFHSWRUGH¿FLHQF\
LQGXFHVSDWKRORJLFDOFKDQJHVLQ$33VZH36G(PRXVH
PRGHORI$O]KHLPHU¶VGLVHDVH+)8%/,8-/)5267
-.(1,621&$/(0(5(%ULJKDP:RPHQ¶V+RVS
+DUYDUG0HG6FK
S
'
$QN\ULQ*LPPXQRUHDFWLYLW\LQ
$O]KHLPHU¶VGLVHDVH0)(55(77,$&+$'+$
6$178&&,21(00(5/,1,$6+(77<&
7$&.(1%(5*-%$/,-0&$)226(/.8/,&&
%(515(87+(57:(/7-*5,000*/$7=(//
5$-(1'5$1&+2&.51,76&+'LYRI3V\FKLDWULF
5HVHDUFK8QLYRI=XULFK8QLYRI=XULFK8QLYRI=XULFK
8QLY0HG&WU+DPEXUJ(SSHQGRUI1HXULPPXQH
7KHUDSHXW$*
'
,PPXQHPHGLDWHGPHFKDQLVPVLQ
WKHSDWKRJHQHVLVRIFHUHEUDODP\ORLGDQJLRSDWK\UHODWHG
LQÀDPPDWLRQUROHRIDQWLD`DXWRDQWLERGLHV)3,$==$
60*5((1%(5*06$92,$5'20*$5',1(77,/
&+,$33$5,1,,5$,&+(5+6$.$*8&+,0%5,26&+,
*%,//2$&2/20%2)/$1=$1,*3,6&2648,72
0&$55,(52**,$&&21()7$*/,$9,1,&
)(55$5(6(-&',)5$1&(6&28QLYRI0LODQR
%LFRFFD0DVVDFKXVHWWV*HQ+RVSLWDO+DUYDUG0HG6FK
,QVW1HXURORJLFR&%HVWD8QLYRI6mR3DXOR.XPDPRWR
8QLY2VSHGDOH1LJXDUGD&D¶*UDQGD6W%RUWROR+RVS
'HVLR+RVS
'
'H¿FLHQF\RIWKHDQWLLQÀDPPDWRU\
F\WRNLQHLQWHUOHXNLQLQ$O]KHLPHU¶VWUDQVJHQLFPLFH
DFWLYDWHVLQQDWHLPPXQLW\DQGUHVWULFWVFHUHEUDO$`0
*8,//276(67,(5.5(=$,=$'(+-52'5,*8(='
*$7(772:15HJHQHUDWLYH0HG,QVWLWXWH&HGDUV6LQDL
0HG&WU8&/$
'
3URVWDJODQGLQ(3UHFHSWRUVLJQDOLQJ
LQPLFURJOLDUHGXFHVLQÀDPPDWRU\UHVSRQVHVWR$P\ORLG
EHWDDQGUHGXFHVDP\ORLGEXUGHQLQPRGHOVRI$O]KHLPHU¶V
GLVHDVH.,$1'5($66211:22'/,1*-6+,3
35,<$0--2+$166214:$1*6WDQIRUG8QLY6FK
0HG
'
$EODWLRQRIPLFURJOLDO3*((3VLJQDOLQJ
HQKDQFHVPLFURJOLDOFKHPRWD[LVDQG$`SHSWLGHFOHDUDQFH
LQDPRGHORI$O]KHLPHU¶VGLVHDVH-8-2+$16621
4:$1*7/28,16:22'/,1*.$1'5($6621
6WDQIRUG8QLY
3267(5
3DUNLQVRQ¶V'LVHDVH/55.6FUHHQV
'
,QKLELWLRQRIOHXFLQHULFKUHSHDWNLQDVH
/55.NLQDVHDFWLYLW\UHGXFHVVHULQHSKRVSKRU\ODWLRQ
LQPXOWLSOHPRGHOV'HYHORSLQJDQLQYLWURLQYLYRFRUUHODWLRQ
RIWKLVSKDUPDFRG\QDPLFPDUNHU(1(('/(612(//
<&+(1+6$0$5223/226*/8(50$1</8
667(<1%:$1*)=+(1*.),6+(57:$*(5
-+(1'(56213*$/$76,6:'+,5673¿]HU*OREDO
5HVDQG'HYHORS3¿]HU*OREDO5HVDQG'HYHORS3¿]HU
*OREDO5HVDQG'HYHORS+'%LRVFL&R/7'3¿]HU
*OREDO5HVDQG'HYHORS
'
0ROHFXODUPHFKDQLVPRI
K\SRSKRVSKRU\ODWLRQRI/55.FDXVHGE\IDPLOLDOPXWDWLRQV
*,726.$0,.$:$-,7,:$768%28QLYRI7RN\R
'
3URWHRPLFLGHQWL¿FDWLRQRISXWDWLYH
VXEVWUDWHVRI*6/55.LQGXFHGSKRVSKRU\ODWLRQ
XVLQJDWUDQVJHQLFPRGHORI3DUNLQVRQ¶VGLVHDVH&&+(1
.&+,(1<&+(1*+:$1*&KDQJ*XQJ8QLY6FKRI
0HG&KDQJ*XQJ8QLY6FKRI0HG
'
6\VWHPDWLFFKDUDFWHUL]DWLRQRI/55.
PRQRFORQDODQWLERGLHVUHYHDOQRYHO/55.ORFDOL]DWLRQLQ
WKHPRXVHUDWDQGKXPDQEUDLQ1168.$53'$9,(6
.+,1./(50(6,$6%6(38/9('$*6(55$12'
$/(66,7*%($&+'/%(1621&/:+,7(,,,5
0&2:(//66'$6+0(/526($%:(678QLY
RI$ODEDPDDW%LUPLQJKDP8QLYRI'XQGHH0D\R&OLQ
-DFNVRQYLOOH0RXQW6LQDL6FKRI0HG%DQQHU6XQ+OWK
5HV,QVW8QLYRI7H[DV6RXWKZHVWHUQ0HG6FK8QLY
RI$ODEDPDDW%LUPLQJKDP7KH0LFKDHO-)R[)QGQIRU
3DUNLQVRQ¶V5HV
'
1H[WJHQHUDWLRQ/55.VPDOOPROHFXOH
LQKLELWRUVGHPRQVWUDWHVHOHFWLYLW\DQGVSHFL¿FLW\LQFHOOEDVHG
DQGPDPPDOLDQEDVHGPRGHOV.%)5$6(511
68.$5-$0$''5<5$*$/(002-U$%:(67
8QLYRI$ODEDPD$W%LUPLQJKDP6RXWKHUQ5HV,QVW
'
/55.UHJXODWHVSURLQÀDPPDWRU\
UHVSRQVHVLQPDFURSKDJHV0602(+/(-3/
'$+(5$%:(678QLYRI$ODEDPD$W%LUPLQJKDP
'
/55.UHJXODWLRQRIDOSKDV\QXFOHLQ
LQGXFHGGRSDPLQHUJLFFHOOGHDWK-/,0$'$+(506
02(+/('*67$1'$(57$%:(678QLYRI$ODEDPD
$W%LUPLQJKDP
'
(IIHFWRISDWKRJHQLFOUUNPXWDWLRQVRQ
NLQDVHDFWLYLW\$FRPSDUDWLYHDQDO\VLV3-:(%%(5$
%:(678QLYRI$ODEDPD$W%LUPLQJKDP
'
2QJRLQJGHYHORSPHQWDQG
FKDUDFWHUL]DWLRQRIWRROVDQGUHVRXUFHVIRU3DUNLQVRQ¶V
GLVHDVHUHVHDUFK66'$6'.,5,.50$1'(/9
%$(.(/$1'7$0,&+,(/6'5$/(66,3'$9,(60
&22.621&-*/2(&.1(5$%:(67-1,&+2/6
*,727,:$768%237$</25$&$5/(721$
%(,/,1$('2**(77.'$9($'8)2850$
%$37,67$-(%(5/,1*0)$&+(5,616+(7+
$85.2:,7=/9,1&(17%.),6.(76+(5(5
0)5$6,(57KH0LFKDHO-)R[)QGQ)RU3DUNLQVRQ¶V
5HV/XQG8QLY8QLYRI)ORULGD.DWKROLHNH8QLY/HXYHQ
8QLYRI'XQGHH1DWO,QVWRQ$JLQJ+HOPKROW]=HQWUXP
0XHQFKHQ8QLYRI$ODEDPD7KH3DUNLQVRQ¶V,QVW8QLYRI
7RN\R&RYDQFH
'
,QWHUDFWLRQRI3DUNLQVRQ¶V'LVHDVH
DVVRFLDWHG/55.ZLWKPLWRFKRQGULDO¿VVLRQDQGIXVLRQ
IDFWRUV.67$)$$-21(6/*/$86(5'-0225(
6ZLVV)HGHUDO,QVWRI7HFKQRORJ\/DXVDQQH(3)/
'
'HYHORSPHQWDQGFKDUDFWHUL]DWLRQRI
UDGLRODEHOHGOHXFLQHULFKUHSHDWNLQDVH/55.LQKLELWRUV
612(//3*$/$76,6/=+$1*(1(('/(-
'81/2377:$*(5:'+,5673¿]HU3¿]HU3¿]HU
'
/55.SKRVSKRU\ODWLRQDQGFHOOGHDWK
SRSXODWLRQUHVSRQVHVRIRYHUH[SUHVVHG/55.PXWDQWVLQ
WUDQVIHFWHGSULPDU\UDWFRUWLFDOQHXURQVXVLQJ+LJK&RQWHQW
,PDJH$QDO\VLV+&$3&/226(1(('/(+
6$0$522*/8(50$1-+(1'(56213*$/$76,6
.028:+,5673¿]HU3¿]HU
'
/55.NQRFNRXWUDWVIDLOWRVKRZ
EHKDYLRUDORUKLVWRORJLFDOHYLGHQFHRIQLJURVWULDWDOGRSDPLQH
GHSOHWLRQ1-7+20$6-+6&+,/7==:$55$,&+/
(,5,0$7$-$./(,0$UL]RQD6WDWH8QLY
'
0RYLQJLQWRWHUUDLQFRJQLWDH[SDQGLQJ
WKHIURQWLHUVRIOUUNELRORJ\XVLQJSRWHQWVHOHFWLYH
EUDLQSHQHWUDQWDQGLQYLYRDFWLYHWRROFRPSRXQGV3
*$/$76,6-+(1'(562100+$<:$5'/=+$1*
77:$*(5359(5+2(67%.250265*
.8580%$,/0&*5,))25612(//(1(('/(3
/226+6$0$522:'+,5673¿]HU*OREDO5'
S
'
&KDUDFWHUL]DWLRQRIWZRDQDORJVRI
/55.NLQDVHLQKLELWRU,1LQYLWURDQGLQYLYRDQDO\VLV
67/,066+$+;68$&+$1*06+,02-,
.0$*8,5(=(,66(5%,(+/+-)('(52))
*HRUJHWRZQ8QLY0HG&WU*HRUJHWRZQ8QLY6RXWKHUQ
0RWKRGLVW8QLY
'
,QGXFLEOHOHXFLQHULFKUHSHDWNLQDVH
/55.FHOOOLQHV$WRROIRU/55.IXQFWLRQDOVWXG\DQG
VFUHHQLQJ/55.3DUNLQVRQ¶VGLVHDVHWKHUDSHXWLFV0
6+,02-,66+$+(5%,(+/6/,0$&+$1*.
0$*8,5(=(,66+-)('(52))*HRUJHWRZQ8QLY
0HG&WU*HRUJHWRZQ8QLY0HG&WU6RXWKHUQ0HWKRGLVW
8QLY
3267(5
3DUNLQVRQ¶V'LVHDVH&HOO0RGHOV
'
$QDO\VLVRI50(LQYHVLFXODUSURWHLQ
WUDI¿FNLQJQHXURQDOPRUSKRORJ\DQGHOHFWURSK\VLRORJ\/
7$3,$$0,/1(5:22'&9,/$5,12*8(//&6=8
78$+8$1*'3,1*/,.<86$33(/&5(66:(//
$5$-3870-)$55(58QLYRI%ULWLVK&ROXPELD8QLY
RI%ULWLVK&ROXPELD8QLYRI6DVNDWFKHZDQDQG6DVNDWRRQ
+OWK5HJLRQ
'
0LWRFKRQGULDOIXQFWLRQDQGPRUSKRORJ\
LQSULPDU\HPEU\RQLF¿EUREODVWVDQGFRUWLFDOQHXURQVIURP
3,1.GH¿FLHQWPLFH+%8(/(53*68//,9$156
$.81',8QLY.HQWXFN\
'
5ROHRI&LVGLQQHXURWR[LQLQGXFHG
GHDWKRIGRSDPLQHUJLFQHXURQV/.$26+8$1*3
:8776$,1DWO<DQJ0LQJ8QLY%UDLQ5HV&HQWHU1DWO
<DQJ0LQJ8QLY
(
1HXURSURWHFWLQ'0HGLDWHV&HOO6XUYLYDO
LQDQLQYLWUR0RGHORI3DUNLQVRQ¶VGLVHDVH1*%$=$1-
0&$/$1'5,$/68+OWK6FL&U
(
7KHQHXURSURWHFWLYHUROHRIPLWRFKRQGULDO
6,57LQ3DUNLQVRQ¶VGLVHDVHPRGHOV0-,$1*43(1*
*:(,--,1(9(5',1:'8$1-RKQV+RSNLQV
6FKRI0HG8QLYRI&DOLIRUQLDDW6DQ)UDQFLVFR8QLYRI
&DOLIRUQLDDW6DQ)UDQFLVFR-RKQV+RSNLQV8QLYHUVLW\6FK
RI0HGFLQH-RKQV+RSNLQV8QLYHUVLW\6FKRI0HGFLQH
(
*HQHUDWLRQRIDXWRVRPDOUHFHVVLYH
IDPLOLDO3DUNLQVRQ¶VGLVHDVHFHOOPRGHOVXVLQJWKHFKLFNHQ
'7%FHOOOLQH(0,1$.$:$+<$0$.$'2.
8(085$67$.('$57$.$+$6+,.\RWR8QLY*UDG
6FKRI0HG.\RWR8QLY*UDG6FKRI0HG
(
'HFOLQHLQPLWRFKRQGULDOIXQFWLRQ
DIWHUDXWRSKDJLFVWUHVVLQDKXPDQ3DUNLQVRQ¶VGLVHDVH
FHOOPRGHO(1&521,1)850$13$75,00(5
9LUJLQLD&RPPRQZHDOWK8QLY8QLYRI9LUJLQLD9LUJLQLD
&RPPRQZHDOWK8QLY
S
(
5HJXODWLRQRIWKH3,1.VLJQDOLQJE\D
PLWRFKRQGULDOSURWHLQ3*$076$:$'$7.$1$21
+$7725,<,0$,57$.$+$6+,'HSWRI1HXURORJ\
.\RWR8QLY*UDG6FKRI0HG-67&5(675HV,QVWIRU
'LVRI2OG$JH*UDG6FKRI0HGLFLQH-XQWHQGR8QLY
'HSWRI1HXURORJ\*UDG6FKRI0HGLFLQH-XQWHQGR8QLY
'HSWRI1HXURVFLIRU1HXURGHJHQHUDWLYH'LVRUGHUV*UDG
6FKRI0HGLFLQH-XQWHQGR8QLY
(
&HOOXODUELRORJ\VWXGLHVRIPRGHUDWH
OHYHOVRI*35LQGRSDPLQHUJLF1DFHOOV(
*5(*256621/81',86167527+998.2-(9,&/
7(5(1,86369(11,1*6621.DUROLQVND,QVWLWXWHW
(
,PSDLUHGPLWRFKRQGULDOG\QDPLFVLQ
3DUNLQVRQ¶VGLVHDVH'6$1726'0$5'8Ë12$
(67(9(660&$5'262&WUIRU1HXURVFL
(
$OWHUHGPLWRFKRQGULDOSURWHLQTXDOLW\
FRQWUROXSRQORVVRIPRUWDOLQIXQFWLRQFDXVHVFKDUDFWHULVWLF
PLWRFKRQGULDODOWHUDWLRQVOHDGLQJWRHQKDQFHGFHOOGHDWKLQ
3DUNLQVRQ¶VGLVHDVH/)%85%8//$-:(67(50(,(5
-=+819(5(6+&+$*,1$':2,7$//$25,(667
5$66(5.58*(5*HUPDQ&WUIRU1HXURGHJHQHUDWLYH
'LV8QLYRI7ELQJHQ8QLYRI7ELQJHQ8QLYRI7ELQJHQ
5XKU8QLYHUVLW\%RFKXP8QLYRI7ELQJHQ&WURI1HXURO
DQG+HUWLH,QVWLWXWH8QLYRI7XELQJHQ
(
2UHOODQLQHDQRYHOELS\ULG\OP\FRWR[LQ
LQGXFHVGRSDPLQHUJLFQHXURQDOFHOODSRSWRVLVE\DFWLYDWLQJ
FDVSDVHGHSHQGHQWSDWKZD\VLQ1PHVHQFHSKDOLF
GRSDPLQHUJLFQHXURQV%7$,:23$1$17+$5$0
-/829$1$17+$5$0$.$17+$6$0<$
.$17+$6$0<3,0(50$1:580%(,+$,RZD6WDWH
8QLY,RZD6WDWH8QLY
(
'LEXW\U\OF$03SUHYHQWVSDUNLQ
FOHDYDJHLQGXFHGE\WKHQHXURWR[LFSURGXFWRILQÀDPPDWLRQ
SURVWDJODQGLQ-LQUDWPLGEUDLQFXOWXUHV5HOHYDQFH
WR3DUNLQVRQ¶VGLVHDVH+:$1*0),*8(,5('2
3(5(,5$+XQWHU&ROOHJH*UDG&WURI&81<
(
7KHHQGRJHQRXVSURGXFWRILQÀDPPDWLRQ
SURVWDJODQGLQ-LQGXFHVGRSDPLQHUJLFQHXURQDOORVV
PLFURJOLDDFWLYDWLRQDQGSURJUHVVLYHEHKDYLRUDOGH¿FLWVLQ
DPXULQHPRGHORI3DUNLQVRQ¶VGLVHDVH.6+,9(56&
',$=60$&+/29,'25'21(=0),*8(,5('2
3(5(,5$+XQWHU&ROOHJH&81<
(
'LIIHUHQWLDOVXVFHSWLELOLW\RIFHQWUDO
GRSDPLQHQHXURQVWRWR[LFDQWH[SRVXUHLVDVVRFLDWHG
ZLWKFKDQJHVLQFRPSRQHQWVRIWKHXELTXLWLQSURWHDVRPH
SDWKZD\0-%(16.(<./((./22.,1*/$1'-
*28'5($80LFKLJDQ6WDWH8QLY0LFKLJDQ6WDWH8QLY
0LFKLJDQ6WDWH8QLY
(
5HJXODWLRQRI3DUNLQVWDELOLW\E\
GHXELTXLWLQDWLRQ7'85&$1($)210RQWUHDO
1HXURORJ,QVWLWXWH0F*LOO8QLY0RQWUHDO1HXURORJ
,QVWLWXWH0F*LOO
(
3DUNLQSDUWLFLSDWHVLQDYHVLFXODU
PLWRFKRQGULDOTXDOLW\FRQWUROSDWKZD\*0&/(//$1'
&;&+(19628%$11,(5+00&%5,'(($
)210RQWUHDO1HXURORJ,QVWLWXWH0F*LOO8QLY0RQWUHDO
1HXURORJ,QVWLWXWH0F*LOO8QLY
'
&DUGLROLSLQUHGLVWULEXWLRQDVDQ³HDWPH´
VLJQDOIRUPLWRSKDJ\LQ3DUNLQVRQ¶VGLVHDVHPRGHOV&7
&+8--,5.'$*'$--,$1*$$026&$722
.$35$/291<$1$0$/$-./(,16((7+$5$0$1
.%$/$68%5$0$1,$1*%25,6(1.2=+8$1*
&%$7<6:$7.,16+%$<,59(.$*$18QLYRI
3LWWVEXUJK8QLY3LWWVEXUJK
(
)XQFWLRQDOPRGXODWLRQRISDUNLQYLD
XELTXLWLQOLNH1(''FRQMXJDWLRQDQGLWVOLQNWRWKHIRUPDWLRQ
RILQWUDFHOOXODU/HZ\ERGLHVLQ3DUNLQVRQ¶VGLVHDVH.&
&+81*-80.+$1(,0<RQVHL8QLY
(
5HJXODWRU\VXEXQLWVHOHFWLYH
GRZQUHJXODWLRQRI33$E\DQRYHO(XELTXLWLQOLJDVH
FRPSOH[./+/&XOOLQ3URWHDVRPDOGHJUDGDWLRQ
RI%¶%`DQGLWVSXWDWLYHLPSOLFDWLRQVIRUW\URVLQH
K\GUR[\ODVHUHJXODWLRQ(2%(5*6.1,)2866,$
*,1*5$66675$&.8QLYRI,RZD'DUWPRXWK&RO8QLY
RI,RZD6DPXHO/XQHQIHOG5HV,QVWLWXWH8QLYRI7RURQWR
(
3URWHFWLYHDFWLRQRIWKHLURQELQGLQJ
SURWHLQODFWRIHUULQDJDLQVWGRSDPLQHFHOOGHDWKSURJUHVVLRQ
(52866($8330,&+(/(&+,56&+,16(50
8056&1568058QLY3LHUUHHW0DULH&XULH
&5,&0
(
0LFURWXEXOHG\VIXQFWLRQLQ
3DUNLQVRQ¶VGLVHDVH7KHFDVHRIHQYLURQPHQWDOQHXURWR[LQ
KH[DQHGLRQH)&$6$*5$1'('&$57(//,.
+$18629$6*2/':8500&$1(6,*3(==2/,*
&$33(//(77,8QLY'HJOL6WXGL'L0LODQR,VWLWXWL&OLQLFLGL
3HUIH]LRQDPHQWR+RVS
(
(OXFLGDWLQJPHFKDQLVPVRI
QHXURLQÀDPPDWLRQLQD3DUNLQVRQ¶VGLVHDVHPRGHO
710$57,1(=&*)/$1$*$1;+8-7
*5((1$0<5(3LWWVEXUJK,QVW)RU1HXURGHJHQHUDWLYH
'LVHDVHV8QLYRI3LWWVEXUJK
(
6XEPLWRFKRQGULDOORFDOL]DWLRQRI3LQN
0$72&,/(6&8'%(&.(55/$'(95,(6'
0$/(66,&*8$5',$/$*8$57$</,8-0$<:
92266(35=('%256.,&ROXPELD8QLY8QLY%RQQ
(
7KHPLWRFKRQGULDOSURFHVVLQJSHSWLGDVH
UHJXODWHV3,1.SURFHVVLQJLPSRUWDQG3DUNLQUHFUXLWPHQW
.*5(1,(5$:*5((1(0.2172*,$11($6
12%,/($(/$*2=($)210RQWUHDO1HXURORJ,QVW
0RQWUHDO1HXURORJ,QVWLWXWH0F*LOO
(
([SUHVVLRQRI6.DQG*,5.SRWDVVLXP
FKDQQHOVDVPDUNHUVRIVXVFHSWLELOLW\LQHPEU\RQLFPLGEUDLQ
GRSDPLQHQHXURQV$-(1.,16.+<0$1+0
%(/$/&$=$5++(51$1'(=*''((5$8648,1
8QLYRI6RXWK)ORULGD
(
/'RSDWR[LFLW\DQGR[LGDWLYHVWUHVV
LQVHURWRQLQQHXURQFXOWXUH%-67$16/(<%.
<$0$02728QLYRI7ROHGR0HG&WU
(
+LJKWKURXJKSXWVFUHHQLQJIRUVPDOO
PROHFXOH0()DFWLYDWRUVWKDWVWLPXODWHGLIIHUHQWLDWLRQ
RIKXPDQQHXUDOVWHPFHOOVLQWRGRSDPLQHUJLFQHXURQV
6)&+$166$1&(6+-/(((*&+2-'
=$5(0%$62.$027207$/$1729$3%86+:$<
0768'$5$0%$68'+$11'2/$7$%$',$
7(56.,.+678650&.(5&+(5(0$6/,$+
00(5&2/$11$.$1,6+,6$/,37216DQIRUG
%XUQKDP0HG5HV,QVW8QLYRI&DOLIRUQLD6DQ'LHJR
3267(5
3DUNLQVRQ¶V'LVHDVH/55.&HOOXODU0HFKDQLVPV
(
/55.NLQDVHDFWLYLW\PHGLDWHVWR[LF
LQWHUDFWLRQVEHWZHHQJHQHWLFPXWDWLRQDQGR[LGDWLYHVWUHVVLQ
D'URVRSKLODPRGHOVXSSUHVVLRQE\FXUFXPLQ:60,7+
'<$1*7/,=/,81$5%(=-<$17+025$1
&$52668QLYRI0DU\ODQG6FKRI3KDUP8QLYRI
0DU\ODQG6FKRI3KDUPDF\%DOWLPRUH0'86$
8QLYRI0DU\ODQG6FKRI3KDUP-RKQV+RSNLQV8QLY6FK
RI0HG;L¶DQ-LDRWRQJ8QLY6FKRI0HG
(
3DUNLQVRQ¶V'LVHDVHUHODWHG/HXFLQHULFK
UHSHDWNLQDVH/55.UHJXODWHVQHXURQDOPRUSKRORJ\
DQGIXQFWLRQ/3$5,6,$'28&;,(&6*2%,2*/8,
-<8'/29,1*(5+&$,1,$1,+1,$$$1,$
(
'HYHORSPHQWRIFRQGLWLRQDOWUDQVJHQLF
PLFHZLWKVHOHFWLYHH[SUHVVLRQRIKXPDQ5&/55.
LQWKHQLJURVWULDWDOGRSDPLQHUJLFSDWKZD\'-0225(
0.$11$1(76,.$eFROH3RO\WHFKQLTXH)pGpUDOH'H
/DXVDQQH
(
8VHRI%DF0DPWHFKQRORJ\WRH[SUHVV
IXOOOHQJWK/55.DQGWRSUR¿OHLQKLELWRUVXVLQJFHOOEDVHG
DQGELRFKHPLFDODVVD\V6+(50$1621&/(%$..(1
/5(,&+/,1*65,''/(.%,/LIH7HFKQRORJLHV
(
0DVOUHJXODWLRQ,PSOLFDWLRQVIRU
/55.IXQFWLRQLQ3DUNLQVRQ¶VGLVHDVH"6',+$1,&+/
&,9,(52&0$1=21,(*5(**,23$/(:,68&/
8QLYRI3DGRYD
(
7KHSDWKRSK\VLRORJ\RI3DUNLQVRQ¶V
GLVHDVHOUUNQHXURWUDQVPLVVLRQDQGV\QDSWLFPDLQWHQDQFH
'$%(&&$12.(//<$00,/1(5:22'/7$3,$
092/7$3&+28&9,/$5,12*8(//+0(/526(
/$5$<021'0-)$55(58QLYRI%ULWLVK&ROXPELD
0D\R&OLQ8QLYRI%ULWLVK&ROXPELD
(
%LRFKHPLFDODQGSDWKRORJLFDO
FKDUDFWHULVDWLRQRIDOSKDV\QXFOHLQLQ/55.DVVRFLDWHG
3DUNLQVRQ¶VGLVHDVH$0$0$,63/(:,6&0$1=21,
$/((6'0225(5%$1'23$'+<$<8&/,QVWRI
1HXURO5LWD/LOD:HVWRQ,QVWRI1HXURORJ6WXGLHV8&/
,QVWRI1HXURO(FROH3RO\WHFKQLTXH)pGpUDOHGH/DXVDQQH
(
'URVRSKLODVXSSUHVVRUHQKDQFHUVFUHHQ
WRLGHQWLI\QRYHO/55.LQWHUDFWRUV6$%8$,6+3&
0$5&2*/,(6(($%'(/0(66,+*.$%%$&+*/,
56/$&.0(+$48(.9(1'(529$'3$5.8QLY
RI2WWDZD$PHULFDQ8QLYRI%HLUXW8QLYRIWKH3DFL¿F
(
+XPDQ/55.LVDSRVLWLYHUHJXODWRURI
FHOO$XWRSKDJ\66$+$9*2:'$//,8<(68&(9,7=
%:2/2=,1%RVWRQ8QLY%RVWRQ8QLY6FKRI0HG
(
8OWUDVWUXFWXUDOVWXG\RID[RQDOVSKHURLGV
LQD%$&WUDQVJHQLF/55.5*PRXVHPRGHORI
3DUNLQVRQ¶VGLVHDVH$37$*/,$)(5527.$5(9$1
.+2/2',/295(%85.('HSWRI1HXURORJ\&ROXPELD
8QLY
(
*6/55.WUDQVJHQLFPLFH
GLVSOD\H[DFHUEDWHGPSWSPHGLDWHGQHXURWR[LFLW\66
.$5833$*281'(5<;,21*6$$1'5$%,</((
,0$57,16%5$+0$&+$5,70'$:6219/
'$:621-RKQV+RSNLQV8QLY6FKRI0HG,QVWIRU&HOO
(QJLQ-RKQV+RSNLQV8QLY6FKRI0HG-RKQV+RSNLQV
8QLY6FKRI0HG-RKQV+RSNLQV8QLY6FKRI0HG,QVW
IRU&HOO(QJLQ-RKQV+RSNLQV8QLY6FKRI0HG
(
$OWHUDWLRQVLQVWLPXODWLRQHYRNHG
GRSDPLQHUHOHDVHLQPLFHFDUU\LQJD5*PXWDWLRQLQ
WKH/55.JHQH'%/(67(5$.3$1,&'%/$+$
5-60(<1(6W-XGH&KLOGUHQ¶V5HV+RVS8QLYRI
0HPSKLV
(
/55.PRGXODWHV1RWFKVLJQDOLQJ
WKURXJKWKHHQGRVRPDOSDWKZD\<,0$,7.$1$2<
.2%$<$6+,.8(085$72+768.$5.$*(<$0$
1+$7725,57$.$+$6+,-XQWHQGR8QLY-XQWHQGR
8QLY.\RWR8QLY
S
(
1RYHOIXQFWLRQDOSKHQRW\SHVLQLQGXFHG
SOXULSRWHQWVWHPFHOOGHULYHGQHXURQVIURPSDWLHQWVZLWK
/55.*6PXWDWLRQ6.0$.-+(6/(<;
-,$1*$<+8$1*09$1*,385$0-:/$1*6721
%6&+8(/(7KH3DUNLQVRQ¶V,QVW0RO'HYLFHV//&7KH
3DUNLQVRQ¶V,QVW
(
0LWRFKRQGULDO'1$GDPDJHLQ/55.
JHQHWLFPRGHOVRI3DUNLQVRQ¶VGLVHDVH/+6$1'(56
2&223(55681'$5$5$-$1-:/$1*6721
%6&+h/(2,6$&621-7*5((1$0<5(8QLY
3LWWVEXUJK1HXURUHJHQHUDWLRQ,QVWLWXWH0F/HDQ+RVSLWDO
+DUYDUG0HGLFDO6FK7KH3DUNLQVRQ¶V,QVW
(
,QYHVWLJDWLQJWKHUROHRI/55.
LQDXWRSKDJ\,PSOLFDWLRQVIRU3DUNLQVRQ¶VGLVHDVH
&0$1=21,6',+$1,&+$0$0$,65
%$1'23$'+<$<6722=(3/(:,68&/8QLY&RO
/RQGRQ8&/8QLY&RO/RQGRQ&DQFHU5HV8.
3267(5
2WKHU1HXURGHJHQHUDWLYH'LVRUGHUV,
(
70(0%WKHJHQHWLFULVNIDFWRUIRU
IURQWRWHPSRUDOGHPHQWLDKDVDOWHUHGSDWWHUQVRIQHXURQDO
H[SUHVVLRQLQSURJUDQXOLQPXWDWLRQDVVRFLDWHGGLVHDVH-,
%86&+00$57,1(=/$*(0*52660$190<
/((-4752-$12:6.,$6&+(13/27.,18QLYRI
3HQQV\OYDQLD8QLYRI3HQQV\OYDQLD8QLYRI3HQQV\OYDQLD
(
5ROHRI'1$G\QDPLFVLQEUDLQGLVRUGHUV
107$</(5-.26$*,6+$5$),1',&$6$7$,3
&)75,,1',&$6$7$,3
(
0LFURJOLDVKRZDGLIIHUHQWF\WRNLQH
UHVSRQVHSDWWHUQWKDQDVWURF\WHVDIWHULQWHUDFWLRQZLWK
+,9LQIHFWHGPRQRF\WRLGFHOOV6SHFLI\LQJWKHE\VWDQGHU
K\SRWKHVLVLQ1HXUR$,'6%$0%526,8665
)$,661(5%*5(:(%7,33/(50'0$5..
8(%(5/$5*2/'7*581:$/'$&+$15XKU8QLY
%RFKXP5XKU8QLY%RFKXP5XKU8QLY%RFKXP
(
,QYROYPHQWRIYDVFXODULQVXOWLQ
WKHPRWRUQHXURQGHDWKRIQHXURODWK\ULVPUDWPRGHO.
.$:$*8&+,..86$0$(*8&+,1LKRQ8QLY6FKRI
3KDUP
(
*HQHWLFUHJXODWLRQRI70(0%WKH
ULVNJHQHIRUIURQWRWHPSRUDOGHPHQWLDE\WKHPL5
FOXVWHU0'*$//$*+(5$&+(13/27.,1-
%86&+8QLYRI3HQQV\OYDQLD
(
7KH)7/')86PDUNHU7UDQVSRUWLQLV
LQFRUSRUDWHGLQWRVWUHVVJUDQXOHVWKDWPD\DFWDVLQFOXVLRQ
SUHFXUVRUV-+%5(/67$))$0$0,$67/$6+/(<
-/+2/721$/((60152662575(9(6=5
%$1'23$'+<$<,QVWRI1HXURO8&/,QVWRI1HXURO8&/
,QVWRI1HXURO8&/,QVWRI1HXURO
(
:ROIUDPLQGH¿FLHQF\DOWHUV
PLWRFKRQGULDOSKHQRW\SHLQFRUWLFDOQHXURQV0/,,90
&$*$/,1(&(9$6$5'6$),8/,1$9&+28%(<0
.880$9$$50$1199(.6/(5$.$$6,.8QLYRI
7DUWX8QLYRI7DUWX,16(508
(
7KH,PSRUWDQFHRIFRQWLQXRXVWUDLQLQJLQ
WKHWUHDWPHQWRIFHUHEUDOSDOV\6=+$1*+0$6X]KRX
8QLY&WU5HKDELOIRU'LVDEOHG&KLOGUHQ
S
(
5HWLFXODUFDOFLXPSUHFHGHVPLWRFKRQGULDO
G\VIXQFWLRQLQD[RQDOGHJHQHUDWLRQ509,//(*$6
6,/9$)$&28578QLY&DWROLFD
(
70(0%WKHULVNJHQHIRU
IURQWRWHPSRUDOGHPHQWLDLVORFDOL]HGWRODWHHQGRVRPHV
O\VRVRPHVDQGDIIHFWVSURJUDQXOLQSDWKZD\V$6&+(1
3/27.,1(%,//-%86&+781*(5/92/3,&(//,
'$/(</.:21*9/((8QLYRI3HQQV\OYDQLD'HSWRI
1HXURO8QLYRI3HQQV\OYDQLD
(
'LVWULEXWLRQWUDQVSRUWDQGPHWDEROLVP
RI/%0$$LQWKHURGHQWEUDLQ*(.,6%<&(
*$51(5&:(*(56.,0'2</((,6(/(-)/8&$.
-0&'21$/'-06$1'(565.$<72136
63(1&(5:HVWHUQ8QLYRI+OWK6FL/RYHODFH5HVS5HV
,QVW1DWO7R[LFRORJ\3URJUDP2UHJRQ+OWK6FL8QLY
(
8SUHJXODWLRQRIYDVFXODUHQGRWKHOLDO
JURZWKIDFWRUUHFHSWRULQWKHVSLQDOFRUGRI/HZLVUDWVZLWK
H[SHULPHQWDODXWRLPPXQHHQFHSKDORP\HOLWLV-3$5.<
6+,1-&+2-&+2,6-(81-&+$0/((&DWKROLF
8QLY0HG&RO&DWKROLF8QLY0HG&RO
(
S&RPSDULVRQRIWR[RSODVPDJRQGLL
F\VWORFDOL]DWLRQLQPRXVHQHXUDOWLVVXH/1%(1(',&7
/-.12//.-+22.%(9$16-*$5921/DNH
6XSHULRU6WDWH8QLY8QLYRI:LVFRQVLQ0DGLVRQ
(
'HOLYHU\RIDWKHUDSHXWLFPROHFXOHWR
WKHEUDLQIRUWKHWUHDWPHQWRIQHXURGHJHQHUDWLYHGLVHDVHV
$$9*'1)SURGXFHGE\D*03FRPSOLDQWDQGVFDODEOH
SURGXFWLRQSODWIRUPUHVXOWVLQDKLJKO\HI¿FLHQWJHQHWKHUDS\
YHFWRU%%/,76$%-25./81''.,5,.0(0%25*
0$)6211(0$166+(50(1,1*+3(75<
8QLTXUH/XQG8QLY:LVFRQVLQ1DWO3ULPDWH5HV&HQWHU
8QLYRI:LVFRQVLQ0DGLVRQ
(
7KHHIIHFWVRIVKRUWWHUPK\SHUJO\FHPLD
RQVHQVRULPRWRUD[RQLQWHJULW\9.+$)7(/.180$-
'(6+,(/'65%87/(5%10$6210RUHKRXVH&RO
0RUHKRXVH&RO
(
0ROHFXODUFRQVHTXHQFHVRIDFXWH
%'1)ZLWKGUDZDOLQWKHKLSSRFDPSXV$0$5,*$6'
*,16%(5*-=$9$',/09&+$21HZ<RUN8QLY1HZ
<RUN8QLY6FKRI0HG1HZ<RUN8QLY6FKRI0HG1HZ
<RUN8QLY6FKRI0HG
(
:KLWHPDWWHUGHJHQHUDWLRQLQHSPD
WUDQVODWLRQDOGWLVWXG\LQSDWLHQWVDQGFVWEGH¿FLHQWPLFH
2+0$11,1(13.26.(1.259$./(+7,0b.,7
/$,7,1(167(*(/%(5*+.$/,025.b/9,b,1(1
2.235$2*5g+159$11,1(1$/(+(6-2.,
)RONKlOVDQ,QVWRI*HQHWDQG1HXURVFL&HQWHU8QLYRI
+HOVLQNL.XRSLR8QLYKRVSLWDO8QLYRI(DVWHUQ)LQODQG
8QLYRI7XUNX.XRSLR8QLYKRVSLWDO
(
S
7KHUROHRIWKHQHXURJOLRYDVFXODUXQLW
LQEUDLQGLVHDVHV$%$5=,/$,7HO$YLY8QLY
(
0DFURDXWRSKDJ\G\VIXQFWLRQDQGSURWHLQ
DJJUHJDWHIRUPDWLRQLQO\VRVRPDOVWRUDJHGLVHDVH0&
0,&6(1<,-6,.25$*67(3+1(<.'2%5(1,66
8:$/./(<7KH$OEHUW(LQVWHLQ&RORI0HG
(
(Q]\PH/LQNHG,PPXQR6SRW(/,6327
DVVD\LVDQRYHOWRROWRVWXG\VHFUHWLRQRIF\WRNLQHVIURP
DVWURF\WHVDQGPLFURJOLDLQYLWUR$(.$/<8=+1<
-+$*(10*5$+(.$37$.-3+28&+,16&
/,9,1*67215'6\VWHPV,QF
(
7KHHIIHFWVRISRVWXUDOSRVLWLRQRQ
SK\VLRORJLFDOWUHPRULQPXOWLSOHVFOHURVLV60255,621-
-62612))%06$1'52))-+38/$5:027/
2OG'RPLQLRQ8QLY8QLYRI,OOLQRLV8QLYRI,OOLQRLV8UEDQD
&KDPSDLJQ8QLYRI,OOLQRLV
(
'LIIHUHQWH[SUHVVLRQSDWWHUQVRIFDWKHSVLQ
&GLSHSWLG\OSHSWLGDVH,LQQRUPDOSDWKROJLFDODQGDJHG
FHQUDOQHUYRXVV\VWHPRIPLFH0.2,.(<8&+,<$0$
-XQWHQGR8QLY6FK0HG
(
+XPDQL36FGHULYHGQHXURQVDVDPRGHO
V\VWHPWRVWXG\H[SUHVVLRQRI7DXLVRIRUPV+&+(1
'/(67(5=(,1(55<,1:&+$1*4&+(1*'
,00.(6:$1*$PJHQ$PJHQ,1&$PJHQ,1&
(
&RQWURORIROLJRPHUL]DWLRQDQG¿EULOODWLRQ
RIDP\ORLGRJHQLFSHSWLGH$%ULE\PDQLSXODWLRQRIVWUXFWXUDO
DQGR[LGDWLYHSURSHUWLHV/:1(6*$$5'.72''$
5267$*12-*+,621HZ<RUN8QLY0HG&WU
(
([DFHUEDWLRQRISULRQGLVHDVHSDWKRORJ\
LQDQWLR[LGDQWSURWHLQSHUR[LUHGR[LQNQRFNRXWDQLPDOV
$$$681,0*85,',250$=$%$/66$1&+(=0
6$'2:6.,1HZ<RUN8QLY6FKRI0HG
(
7KH1WHUPLQXVRIWKHSULRQSURWHLQIXVHG
WRD*3,DQFKRU1*3,LQGXFHVFHUHEHOODUGHJHQHUDWLRQ3
'$0(772&%5,'(/72¶&2112586+(550$11
'0&+8*+3621'(5(**(5$$*8==,8QLY+RVS
=XULFK8QLY+RVS*HQqYH8QLYRI=XULFK
(
(DUO\G\VIXQFWLRQRIWKHXELTXLWLQ
SURWHDVRPHV\VWHPFRUUHODWHVZLWKGLVHDVHDVVRFLDWHG
3U3LQSULRQLQIHFWHGPLFH&0&.,11215$1'5e-
0221*$6%5$1'1(5-&2//,1*(67$%5,=,8&/
,QVWRI1HXURO8&/,QVWRI1HXURO
(
3UHFLSLWDWLRQHI¿FLHQF\RISULRQV
LQÀXHQFHGE\SRO\R[RPHWDODWHVSHFLDWLRQ'-/(9,1(/
()$/(6(-67g+5+:,//(6%3586,1(5-5
/21*8QLYRI&DOLIRUQLD%HUNHOH\8QLYRI&DOLIRUQLD6DQ
)UDQFLVFR8QLYRI&DOLIRUQLD6DQ)UDQFLVFR
3267(5
$XWLVP*HQHWLFDQG$QLPDO0RGHOV,,
)
$XWLVPUHODWHGJHQHH[SUHVVLRQDOWHUDWLRQ
LQHDUO\SRVWQDWDODQGDGXOW0$2$NQRFNRXWPLFH.
&+(1<&+(16)/,1.%7$%$.2))-&6+,+
8QLY6RXWK&DOLI86&8QLYRI&RURUDGR'HQYHU86&
86&
)
*OLDOPRGXODWLRQZLWK,EXGLODVW01
DWWHQXDWHVQHXURLQÀDPPDWLRQDQGDXWLVWLFOLNHEHKDYLRUVLQ
WKH7HUEXWDOLQHPRGHORIDXWLVPVSHFWUXPGLVRUGHU$6'
LQUDWV.52'*(56)%(5&80.-2+1621/
:$7.,16'6%$57+8QLYRI&RORUDGR0HGLFL1RYD
)
&RPPRQYDULDQWLQDXWLVPULVNJHQH
5%)2;LVDVVRFLDWHGZLWKDOWHUHGWHPSRUDOOREHVWUXFWXUH
LQKHDOWK\\RXQJDGXOWV'7(+5$1,2.2+$11,0
1-$+$16+$'(/'(11,6./0&0$+21*,
'(=8%,&$5$<6(0('/$1'*:0217*20(5<
1*0$57,10-:5,*+7307+2036218&/$
/DERI1HXUR,PDJLQJ8&/$8QLYRI4XHHQVODQG8QLYRI
4XHHQVODQG4XHHQVODQG,QVWRI0HG5HV8&/$
)
S
&RPSDUDWLYHEHKDYLRUDOVWXGLHV
EHWZHHQUDWPRGHOVRI6FKL]RSKUHQLDDQG$XWLVP'/$
0(1'2/$+0$5.5$0.0$5.5$0(3)/
)
0XOWLSOHNQRFNRXWUDWOLQHVPRGHOLQJ
DXWLVP*=+$25+(15<//,77/($&+$0%(56
$0&&2<<:8-:$55(1$%52:1'-,&
0&*5(*25-%22.6.0*$0%(5(:(,167(,1
;&8,6LJPD$OGULFK6$*(/DEV
)
S
9LVXDOFRUWLFDOQHWZRUNG\VIXQFWLRQ
LQWKHQHXUROLJLQPRGHORIDXWLVPVSHFWUXPGLVRUGHU
2(,*,(68252%23*2/6+$1,81,9(56,7<2)
&$/,)251,$/26$1*(/(6'$9,'*())(16&+22/
2)0(',&,1(8&/$
)
3UHQDWDOH[SRVXUHWRYDOSURLFDFLGDOWHU
GHQGULWLFPRUSKRORJ\LQOLPELFUHJLRQV0(%5,1*$6
7$/Ï3(=)1&$59$-$/0$7=25,*)/25(6
%HQHPpULWD8QLY$XWyQRPD'H3XHEOD8QLYRI7H[DVDW
'DOODV
)
$FRPSUHKHQVLYHEHKDYLRXUDOWHVWEDWWHU\
IRUDXWLVPOLNHV\PSWRPVLQWKHYDOSURLFDFLGUDWPRGHO'
$*,//$3e5(=*Ï0(=5$7$6.(58QLYRI3ULQFH
(GZDUG,VODQG8QLYRI3ULQFH(GZDUG,VODQG
)
3RSXODWLRQDFWLYLW\LQWKHPRWRUFRUWH[RI
WKH0H&3GXSOLFDWLRQPRXVH%687(5-)+0(<(5
57$6++<=2*+%,6060,51$.,6%D\ORU&ROO
0HG%D\ORU&RORI0HG%D\ORU&RORI0HG
)
+LJKWKURXJKSXWP51$DQG'1$
PHWK\ODWLRQVHTXHQFLQJLQDXWLVPEUDLQV&+$50(/,1.
6*837$'($5.,1*$%:(678QLYRI$ODEDPD$W
%LUPLQJKDP-RKQV+RSNLQV
)
$ZLQGRZLQWRGLVUXSWHG
QHXURGHYHORSPHQWDQGFRJQLWLYHLPSDLUPHQW%HKDYLRUDO
FKDUDFWHUL]DWLRQRIWKH0HW'O[PRXVH5)0$57,1(
032:(//8QLY0DU\ODQG%DOWLPRUH
)
,QÀXHQFHRISHGLDWULFYDFFLQHVRQ
&16GHYHORSPHQWDQGEHKDYLRULQWKHUKHVXVPDFDTXH
%*$'$':/,%&857,69<878&&)(55,(5
*6$&.(77.$<281*66$&+6(10$,(5/
+(:,7621'*(50$1876RXWKZHVWHUQ0HG&WU
:DVKLQJWRQ1DWO3ULPDWH5HV&WU7H[DV$0+OWK6FL
&WU-RKQVRQ&WUIRU&KLOG+OWK'HYHORS
)
7FHOOGHYHORSPHQWDQGSRWHQWLDOHIIHFWV
RQEHKDYLRULQKXPDQV$33_WUDQVJHQLFPLFHH[KLELWLQJ
DXWLVWLFEHKDYLRU$5%$,/(<++28'2%5(*21
-7,$1<=+84=28:91,.2/,&0%(1*6721
70853+<-7$15DVKLG/DE)RU'HYHORSPHQWDO
1HXURELRORJ\6LOYHU&KLOG'HYHORS&HQWHU0RUV5RWKPDQ
&WUIRU1HXURSV\FKLDWU\$OO&KLOGUHQ¶V+RVSLWDO0RUVDQL
&RORI0HGLFLQH8QLYRI6RXWK)ORULGD1HXURLPPXQRORJ\
/DERUDWRU\0RUVDQL&RORI0HGLFLQH8QLYRI6RXWK)ORULGD
)
*DVWURLQWHVWLQDOV\PSWRPVDQGSURELRWLF
WUHDWPHQWLQDPRXVHPRGHORIDQDXWLVPULVNIDFWRU(
+6,$26:0&%5,'(6+6,(1-&+2:6.
0$=0$1,$13+3$77(5621&DOWHFK
)
1HXURLPPXQHFKDQJHVLQDPRXVHPRGHO
RIWKHPDWHUQDOLQIHFWLRQULVNIDFWRUIRUVFKL]RSKUHQLDDQG
DXWLVP3+3$77(5621(<+6,$26:0&%5,'(
-&+2:.$*$5%(776.$/0$1.0,51,&66.
0$=0$1,$1&DOWHFK9DQGHUELOW
S
)
1HXUDOFHOODGKHVLRQDQGDXWLVPULVN
JHQHVDUHDVVRFLDWHGZLWKKLSSRFDPSDOYROXPHRQ05,
LQHOGHUO\VXEMHFWV2.2+$11,0'3+,%$5'6
7(+5$1,(/'(11,61-$+$16+$'$:72*$&
5-$&.-50::(,1(5307+2036218&/$/DE
RI1HXURLPDJLQJ8&/$0D\R&OLQ8&6)'9$
)
3WHQKDSORLQVXI¿FLHQF\LQFUHDVHV
LPPRELOLW\RQWKHWDLOVXVSHQVLRQWHVWRIGHSUHVVLRQ$(
&/,33(5721$//(1'73$*(7KH6FULSSV5HV,QVW
)
&207LQWKHPHGLDOSUHIURQWDOFRUWH[
LVDGHWHUPLQDQWRIWKHGHYHORSPHQWDOPDWXUDWLRQRI
ZRUNLQJPHPRU\FDSDFLW\LQPLFH1+,52,*.$1*
.7$1,*$.,*'85$17255(630b11,67g7
+,5$0272$OEHUW(LQVWHLQ&RO0HG6KLJD0HG&WU5HV
,QVW8QLYRI+HOVLQNL
)
8OWUDVWUXFWXUDOFKDQJHVLQWKH&$RI
6KDQNGH¿FLHQWPLFH1833$//0,1:$//$5385,
2%2='$*,:*-$166(1'/',&.67(,1-'
%8;%$8035+2)0RXQW6LQDL6FKRI0HG0RXQW
6LQDL6FKRI0HG
)
1RYHOUROHRI67$7LPPXQHVLJQDOLQJLQ
FRUWLFDOSODVWLFLW\DQGDXWLVP,1$*$.85$$9$1:$57
'7523($%&5$:)25'06850,7
)
H,)(WUDQVJHQLFPLFHDVDQRYHODQLPDO
PRGHORIDXWLVPVSHFWUXPGLVRUGHUV(6$17,1,71
+8<1+$0$&$6.,//5'$9,'(33+,/,33($*
&$57(5+.$3+=$1(./$111HZ<RUN8QLY1HZ
<RUN8QLY8QLYRI&DOLIRUQLD8QLYGHOD0HGLWHUUDQHH
)
'F\FORVHULQHDPHOLRUDWHVN+]
XOWUDVRQLFYRFDOL]DWLRQGH¿FLWVGXULQJVRFLDOLQWHUDFWLRQLQ
DYDOSURLFDFLGPRGHORIDXWLVP.$:(//0$1160
0221(<8QLYRI0DU\ODQG0HG&WU8QLYRI0DU\ODQG
0HG&WU
)
51$VHTXHQFLQJLQL36&GHULYHG
QHXURQVLGHQWL¿HVJHQHH[SUHVVLRQFKDQJHVDVVRFLDWHGZLWK
TPLFURGHOHWLRQV\QGURPH<7,$1633$6&$-
28$..5$:,6=-$%(5167(,1-/5$323257
-+$//0$<(56+259$7+03(//(*5,1,5
'2/0(76&+'+*(6&+:,1''DYLG*HIIHQ6FKRI
0HGLFLQH8QLYRI&DOLIRUQLD/RV$QJHOHV8&/$6WDQIRUG
8QLY6FKRI0HGLFLQH6WDQIRUG8QLY6WDQIRUG8QLY1DWO
,QVWRI0HQWDO+OWK6WDQIRUG8QLY'DYLG*HIIHQ6FKRI
0HGLFLQH8QLYRI&DOLIRUQLD/RV$QJHOHV'DYLG*HIIHQ
6FKRI0HGLFLQH8QLYRI&DOLIRUQLD/RV$QJHOHV
)
,PSDLUHGV\QDSWLFSODVWLFLW\SUHFHGHV
PRUSKRORJLFDOGHIHFWVLQD3WHQPRXVHPRGHORIDXWLVP0
-*(571(5.7$.(8&+,-=+28/)3$5$'$0
9/%(11(7756=8.,1$OEHUW(LQVWHLQ&RORI0HG
$OEHUW(LQVWHLQ&RORI0HG876RXWKZHVWHUQ0HG&WU
$XWLVP(QYLURQPHQWDQG3DWKRORJ\,,
)
S
%ULHISRVWQDWDOFLWDORSUDPH[SRVXUH
DOWHUVDQWHULRUFRPPLVVXUHLQWHJULW\LQDGXOWUDWV5/
&/$5./$/=*+28/5''$5/,1*1.+$75,0
$/($./6,03621,$3$8/5&6/,10LOOVDSV
&RO8RI0LVV0HG&WU8RI0LVV0HG&WU8RI0LVV
0HG&WU8RI0LVV0HG&WU
)
6H[VSHFL¿FHIIHFWRIVHURWRQLQRQFRUWLFDO
QHXURQGHYHORSPHQWLQYLWUR<3$1*/)$1$.$,=$.,
.6,03621=&$,5&6/,1/7,(18QLY0LVVLVVLSSL
0HG&WU)X-HQ&DWKROLF8QLY
)
(DUO\OLIHVHURWRQLQOHYHOVG\VUHJXODWLRQ
HIIHFWRQWKHLQWHUPHKLVSKHULFFRQQHFWLYLW\LQUDWV/
$/=*+28/5''$5/,1*1.+$7$5,./
6,03621,$3$8/5&6/,18QLYRI0LVVLVVLSSL
0HG&WU8QLYRI0LVVLVVLSSL0HG&WU8QLYRI0LVVLVVLSSL
0HG&WU8QLYRI0LVVLVVLSSL0HG&WU
)
3HULQDWDOVHURWRQLQDXWRUHFHSWRU
VWLPXODWLRQDFFRXQWVIRUWKHGHYHORSPHQWDOSURJUDPPLQJ
GXHWRVHOHFWLYHVHURWRQLQUHXSWDNHLQKLELWRU665,
H[SRVXUH3RVVLEOHUHOHYDQFHWR$XWLVWLF6SHFWUXP'LVRUGHUV
,$3$8/./6,036215&6/,11.+$75,8QLY
RI0LVVLVVLSSL0HG&WU8QLYRI0LVVLVVLSSL0HG&WU8QLY
RI0LVVLVVLSSL0HG&WU
)
,QWUDFHUHEURYHQWULFXODUDGPLQLVWUDWLRQ
RIHQWHULFVKRUWFKDLQIDWW\DFLGVLQURGHQWVLQGXFHV
QHXURSDWKRORJLFDOR[LGDWLYHVWUHVVDQGOLSLGDF\OFDUQLWLQH
SUR¿OHVFRQVLVWHQWZLWKDXWLVPVSHFWUXPGLVRUGHU')
0$&)$%(57+20$6/7,&+(12)))%221)
32660$<(5.266(1.2338QLY:HVWHUQ2QWDULR
)
$XGLWRU\WUDLQLQJUHVWRUHVVHURWRQHUJLF
DQGFRUWLFDOLQKLELWRU\FLUFXLWU\DIWHUQHRQDWDODQWLGHSUHVVDQW
H[SRVXUHLQUDWV</8;=+28/$/=*+28/5
'$5/,1*.6,03621000(5=(1,&+5&6/,1
8QLYRI0LVVLVVLSSL0HG&WU(DVW&KLQD1RUPDO8QLYHULV\
8QLYRI0LVVLVVLSSL0HG&WU8QLYRI&DOLIRUQLD6DQ
)UDQFLVFR
)
,QWUDFHUHEURYHQWULFXODUDQGV\VWHPLF
DGPLQLVWUDWLRQRIHQWHULFVKRUWFKDLQIDWW\DFLGVLQURGHQWV
LQGXFHVEHKDYLRXUDODQGHOHFWURJUDSKLF¿QGLQJVFRQVLVWHQW
ZLWKDXWLVPVSHFWUXPGLVRUGHU.266(1.233.)2/(<
)%221/7,&+(12))66+8/7=0.$9$/,(56'
0$&)$%(8QLY:HVWHUQ2QWDULR.LOHH3DWFKHOO(YDQV
$XWLVP5HV*URXS8QLYRI:HVWHUQ2QWDULR
)
6H[GLIIHUHQFHVLQORFRPRWRUDFWLYLW\
DQGVRFLDOLQWHUDFWLRQIROORZLQJSUHQDWDODGPLQLVWUDWLRQRI
WKHHQWHULFEDFWHULDOIHUPHQWDWLRQSURGXFWSURSLRQLFDFLG
LQDGROHVFHQWUDWV.$)2/(<')0$&)$%(0
.$9$/,(56.266(1.2338QLYRI:HVWHUQ2QWDULR
)
7LPHFRXUVHRIERWKVLQJOHDQGUHSHDWHG
LQWUDFHUHEURYHQWULFXODULQIXVLRQVRI3URSLRQLF$FLGRQ
%HKDYLRXUDO&RJQLWLYHDQG1HXURSDWKRORJLFDOFKDQJHVLQ
UDWV)XUWKHUGHYHORSPHQWRIDQRYHOURGHQWPRGHORI$XWLVP
6+2/%522.-50(3+$0)%22157$</25
57+20$60,.$9$/,(56.266(1.233')
0$&)$%(8QLYRI:HVWHUQ2QWDULR.LOHH3DWFKHOO(YDQV
$XWLVP5HV*URXS8QLYRI:HVWHUQ2QWDULR
S
)
&HUHEHOODUOHDUQLQJLQPRXVHPRGHOVRI
DXWLVP$'./27+/$/<1&+$/,5'-21(66
*&2112//<0$%$1*$6+23(f$*$5,.$123
):25/(<'+*(6&+:,1'66:$1*3ULQFHWRQ
8QLY3ULQFHWRQ8QLY-RKQV+RSNLQV8QLY8&/$
3267(5
)
$OWHUHGQRGHRI5DQYLHURUJDQL]DWLRQ
LQLQWHUKHPLVSKHULFD[RQVDIWHUEULHISRVWQDWDOFLWDORSUDP
H[SRVXUHLQDGXOWUDWV5''$5/,1*/$/=*+28/1
.+$75,<)/8./6,03621,$3$8/5&6/,1
8RI0LVV0HG&WU8RI0LVV0HG&WU8RI0LVV0HG&WU
8RI0LVV0HG&WU
)
3RO\PRUSKLFJHQHVZLWKLQWKH)05
SDWKZD\DQGVRFLDOSKHQRW\SHVLQIUHHUDQJLQJUKHVXV
PDFDTXHV+6+(5:,1/-1%5(17-(+259$7+
-*21=$/(=0$57,1(=$58,=/$0%,'(6$*
52%,1621-+36.(1(0/3/$77'XNH8QLY8QLY
RI3XHUWR5LFR
)
0RUSKRORJLFDOFRUUHODWHVRIV\QDSWLF
SODVWLFLW\LQWKH6KDQNGH¿FLHQWPRXVH'3$3$3(7528
2%2='$*,:*-$166(1'/',&.67(,1-'
%8;%$8035+2)0RXQW6LQDL6FKRI0HG0RXQW
VLQDLVFKRRORIPHGLFLQH0RXQWVLQDLVFKRRORIPHGLFLQH
)
0LFHODFNLQJWKHDXWLVPUHODWHGSURWHLQ
3UR6$36KDQNVKRZUHJLRQVSHFL¿FJOXWDPDWHUJLF
LPEDODQFHVDWV\QDSVHV$-$166(10-
6&+0(,66(5$0*5$%58&.(5-%2&.0$1170
%2(&.(568OP8QLY8OP8QLY8OP8QLY
)
2[RWUHPRULQHUHGXFHVUHSHWLWLYH
JURRPLQJWKH%7%5PRXVHPRGHORI$XWLVP'$
$02'(2-$6:((1(<0(5$*2==,128QLY
,OOLQRLV&KLFDJR8QLYRI7H[DV6RXWKZHVWHUQ0HG6FK
8QLYRI,OOLQRLVDW&KLFDJR
)
*HQHWLFYDULDWLRQVLQGRSDPLQHUHODWHG
JHQHH[SUHVVLRQLQÀXHQFHVPRWRUVNLOOOHDUQLQJLQPLFH
<4,$10&+(1+)2566%(5*5',$=+(,-7=
.DUROLQVND,QVWLWXWHW
)
(IIHFWVRIHDUO\OLIHVWUHVVRUVRQEHKDYLRU
DQGEUDLQVWUXFWXUH.&5,/(77-.</$,51
0$&.(1=,(-(//(*22'-3/(5&+-$)267(5
0F0DVWHU8QLY0F0DVWHU8QLY+RVSIRU6LFN.LGV
*
76&GHOHWLRQUHVXOWVLQDEQRUPDO
SRVLWLRQLQJRIFRUWLFDOQHXURQV5/&2;)&$/'(521
'($1'$0&2167$17,1(3$721$<26+,,0,7
*
$XWLVPDVVRFLDWHGVHURWRQLQWUDQVSRUWHU
YDULDQWGLVUXSWVWKDODPRFRUWLFDOD[RQGHYHORSPHQW&
08//(5$%211,15'%/$.(/<-9((1675$
9$1'(5:((/(9DQGHUELOW8QLY86&9DQGHUELOW8QLY
*
([SUHVVLRQRIDQ[LHW\UHODWHGEHKDYLRXU
LQDQDQLPDOPRGHORIVHOILQMXU\9;<8$1'3'(9,1(
8QLYRI)ORULGD8QLYRI)ORULGD
*
7DFWLOHVWLPXODWLRQLPSURYHVDQDWRPLFDO
SDWKRORJ\EXWQRWEHKDYLRXULQUDWVSUHQDWDOO\H[SRVHG
WRYDOSURLFDFLG5/*,%%6.5,&+$5'6$
1$.$+$6+,603(//,6%+,00/(5%(.2/%
8QLY/HWKEULGJH
*
0LWRFKRQGULDOG\VIXQFWLRQDQGR[LGDWLYH
VWUHVVLQWHPSRUDOOREHRIDXWLVWLFEUDLQ*7$1*6.82
-*2/'0$1'68/=(5&ROXPELD8QLYHUVLW\'HSWRI
1HXURO&ROXPELD8QLY
*
S
'HYHORSPHQWDOH[SRVXUHWR
OHDG3EUHVXOWVLQVRFLDOLQWHUDFWLRQGH¿FLWVLQ'
PHODQRJDVWHU-)257,=&$53(1$$9È=48(=
0217(6$+(51È1'(='9e/(=&267$6*
*$/,1'(=&,175Ï163(f$'(257,=+*257,=
=8$=$*$8QLYRI3XHUWR5LFR5LR3LHGUDV&DPSXV8QLY
RI3XHUWR5LFR5LR3LHGUDV&DPSXV8QLYRI3XHUWR5LFR
5LR3LHGUDV&DPSXV
*
$EQRUPDOLWLHVLQFHUHEHOODU3XUNLQMH
FHOOVLQDXWLVPPRGHOUDWVLQGXFHGE\WKDOLGRPLGH
72+.$:$5$$2<$%87.$768<$0$$
6$.85$02720,'$(72<7$6+,5201$5,7$0LH
8QLY
)
$QLPDOPRGHOLQWHJUDWLRQWR$XW'%D
JHQHWLFGDWDEDVHIRUDXWLVP$.80$5,0(1$6+(:
3(5($186%$1(5-((%$680LQGVSHF,QF
3267(5
)
&HOINQRFNRXWPLFHDVDPRGHOIRU
UHVLVWDQFHWRFKDQJHLQDXWLVP6(0$/21(<')
:2=1,$.-''28*+(57<:DVKLQJWRQ8QLY0HG
6FK:DVKLQJWRQ8QLY0HG6FK
)
6H[EDVHGGLIIHUHQFHVLQKLSSRFDPSDO
QHXURJHQHVLVLQWKH*$3GH¿FLHQWPRXVHPRGHORI
$XWLVP6SHFWUXP'LVRUGHUV$6'6(/$7&+1(<$
6$1.$5$5$0$1,%0$6,8/,6.-=$&&$5,$'&
/$*$&(&032:(//-60&&$6/$1'$-(,6&+
876RXWKZHVWHUQ'DOODV7;681<8SVWDWH6\UDFXVH1<
8QLYRI2WWDZD2WWDZD21&DQDGD
)
([FLWDWRU\LQKLELWRU\LPEDODQFHLQ
WKHP3)&RIWKH&QWQDSPRXVHPRGHORIDXWLVP0
7/$=$5223(f$*$5,.$12+'21*'+
*(6&+:,1'3*2/6+$1,8QLYRI&DOLIRUQLD8QLYRI
&DOLIRUQLD8QLYRI&DOLIRUQLD
)
,PSDLUHGH[HFXWLYHIXQFWLRQLQT'6
PRXVHPRGHORI$XWLVP6SHFWUXP'LVRUGHUV+/+587=
/$527+%/$7':0((&+$1700$<1$5'$6
/$0$17,$*HRUJH:DVKLQJWRQ8QLY*HRUJH:DVKLQJWRQ
8QLY
*
+LJKWKURXJKSXWVHTXHQFLQJRI:QW
VLJQDOLQJJHQHVLQ$6'SDWLHQWVUHYHDOVUDUHGHOHWHULRXV
YDULDQWVLQ',;'&:17DQG'9/3(0$57,1&
(5'0$1(/$03.:2.63+$0,/721%15
&+(<(77(8&6)
)UDJLOH;,,
0RQ30±(UQHVW10RULDO&RQYHQWLRQ&HQWHU+DOO) *
)UDJLOH;PHQWDOUHWDUGDWLRQSURWHLQ
UHJXODWHVORFDO%'1)V\QWKHVLVLQGHQGULWHV-$1+;8
;)8)9$1(96.,1*$/(''%;8*HRUJHWRZQ
8QLY0HG&WU
*
G)05UHJXODWHVKHWHURFKURPDWLFJHQH
VLOHQFLQJLQWKH'URVRSKLODQHUYRXVV\VWHP<&+$1*<
$6$99$5$5((1$1%URZQ8QLY%URZQ8QLY
*
S
5ROHRI(5.DQG*6.`LQPHPRU\
IRUPDWLRQRI)PUNQRFNRXWPLFH0*5((16&+$.,-
0(+7$&/&2;'99(1.,7$5$0$1,%HFNPDQ,QVW
0RODQG,QWHJUDWLYH3K\VLRO1HXURVFL3URJUDP
*
&KDUDFWHUL]DWLRQRIWKHHIIHFWVRI
WKH6.LQKLELWRU3)RQIUDJLOH[V\QGURPH
PRGHOPLFH$%+$77$&+$5<$$&+2:'+85<$
&$/9$5(=',(33$'*60,7+(./$11&WU)RU
1HXUDO6FLHQFH1HZ<RUN8QLY3¿]HU:RUOGZLGH5HVDQG
'HYHORSPHQW&786$
*
&KURQLFSKDUPDFRORJLFDOLQKLELWLRQRI
SDFWLYDWHGNLQDVHUHYHUVHVGHQGULWLFVSLQHDEQRUPDOLWLHV
LQ)PUNQRFNRXWPRXVHPRGHORI)UDJLOH;6\QGURPH&
65(;6'85217%$1.('&$03%(//$IUD[LV
,QF$IUD[LV,QF
S
*
1HWZRUNPHFKDQLVPVIRUVHQVRU\
K\SHUH[FLWDELOLW\LQIUDJLOH[0$51(77&+8$1*+
9215,&+7+2)(1*),621(3.5,(*(57&(/,.(/
86&.DUROLQVND,QVW
*
([SORULQJLVRSUHQRLGVG\VIXQFWLRQLQDQ
DQLPDOPRGHORIDXWLVP097(-$'$6,021$3$//<
6$)6+25'(/*3(&.(578QLY+RXVWRQ8QLYRI
)UDQNIXUWDP0DLQ
*
$FWLRQSRWHQWLDOEDFNSURSDJDWLRQLQWR
&$KLSSRFDPSDOS\UDPLGDOQHXURQGHQGULWHVLQDPRXVH
PRGHORI)UDJLOH;6\QGURPH%77+52(6&+'$
+2))0$11,+
*
7KHDQWLFRQYXOVDQWHIIHFWVRI5EDFORIHQ
DUHUHGXFHGZKHQDGPLQLVWHUHGDVUDFHPLF56EDFORIHQ
LQ)UDJLOH;PLFH0-6+80:$<&6+(1'(5621
&%5<1&=.$)532670$00&25/(:5
6$1&+(=321&($0+($/<56+$0021'
6HDVLGH7KHUDSHXW
*
S$EQRUPDOQHRFRUWLFDOYHJIH[SUHVVLRQ
LQIUDJLOH[V\QGURPH$'$9,6$*$/9$15*$/9(=
8QLYRI,OOLQRLVDW8UEDQD&KDPSDLJQ8QLYRI,OOLQRLV
8UEDQD&KDPSDLJQ
*
(IIHFWRIDGXOWUHVWRUDWLRQRI
)053H[SUHVVLRQRQ)UDJLOH;SKHQRW\SHV'9
9(1.,7$5$0$1,6&+$.,$*8(55(52*
$/'5,'*(&/&2;8QLY,OOLQRLV1HXURVFL3URJUDP
0RODQG,QWHJUDWLYH3K\VLRO
*
7KH)UDJLOH;PHQWDOUHWDUGDWLRQSURWHLQ
LVSUHVHQWLQP\HOLQDWLQJROLJRGHQGURF\WHV,PSOLFDWLRQVIRU
GLVRUGHUVLQYROYLQJWKH)05JHQH$*,$03(758==,(
%$5%$5(6(8QLYRI&RQQHFWLFXW+OWK&WU
*
$OWHUDWLRQVLQGHQGULWLFVSLQHVKDSHLQ
DQWHULRUSLULIRUPFRUWH[RIDGXOWDQGDJLQJ)PU.2PLFH
-*2&(/':,16.,%:&$,516$-(5167-
/$56218QLYRI,OOLQRLV8QLYRI,OOLQRLV
*
$OWHUHGVHQVLWLYLW\WRGUXJVWKDWDIIHFW
LQWUDFUDQLDOVHOIVWLPXODWLRQLQDPRXVHPRGHORIIUDJLOH[
V\QGURPH0&.5286((:),6+-(52%,1621
&-0$/$1*$81&&KDSHO+LOO
*
$OWHUHGIXQFWLRQDODQGVWUXFWXUDO
SODVWLFLW\ZLWKLPSDLUHGPRWRUVNLOOOHDUQLQJLQWKHIPU.2
PRXVH35$*81$7+$1%&5(,1(5$685(6+
$'81$(96.<8QLYRI1HEUDVND0HG&WU8QLYRI
1HEUDVND0HG&WU
*
5HJXODWLRQRIPHWDOORSURWHLQDVHVLQWKH
EUDLQVRI)PU0PSGRXEOHNQRFNRXWPLFH+.6,'+8
,0(7+(//':(7+(//8QLYRI&DOLIRUQLD5LYHUVLGH
:HVWHUQ8QLYRI+OWK6FL
*
7DUJHWLQJWKH3,.P725SDWKZD\
WRUHYHUVH)UDJLOH;6\QGURPHDVVRFLDWHGSKHQRW\SHV&
*5266&&+$1*-5*,%621.0+8%(5*-
%$66(//(PRU\8QLY8QLYRI7H[DV6RXWKZHVWHUQ0HG
&WU
*
'HIHFWLYH*$%$EWUDQVPLVVLRQDOWHUV
H[FLWDELOLW\LQWKHEDVRODWHUDODP\JGDODLQDPRXVHPRGHORI
)UDJLOH;6\QGURPH%60$57,100+81760$1
&KLOGUHQ¶V1DWO0HG&WU&KLOGUHQ¶V1DWO0HG&WU
*
3KDUPDFRORJLFDOUHYHUVDORIFRJQLWLYH
PRUSKRORJLFDODQGIXQFWLRQDOSKHQRW\SHVLQDGXOWIUDJLOH;
PLFH$0,&+$/2106,'252970%$//$5'/
2=0(1:63225(1-*:(7767(,1*-$(6&+.(
0)%($5//,1'(0$11'LVFRYHU\1HXURVFLHQFH)
+RIIPDQQ/D5RFKH/WG7KH3LFRZHU,QVWIRU/HDUQLQJDQG
0HPRU\0DVVDFKXVHWWV,QVWRI7HFKQRO
S
*
([FLWDWLRQRIIDVWVSLNLQJLQWHUQHXURQV
LVHQKDQFHGE\SUHV\QDSWLFIUDJLOH[PHQWDOUHWDUGDWLRQ
SURWHLQ$%3$7(/.0+8%(5-5*,%62187
6RXWKZHVWHUQ0HG&WU876RXWKZHVWHUQ0HG&WU
*
&HOOXODUPHFKDQLVPVRIVHQVRU\
K\SHUH[FLWDELOLW\LQIUDJLOH[.-8&=(:6.,07$51(77
&%$*1,*),621(7&(/,.(/3.5,(*(5
.DUROLQVND,QVW86&.DWKROLHNH8QLY/HXYHQ
*
,PDJLQJ36'P51$WUDQVODWLRQLQ
GHQGULWHVDQGLWVG\VUHJXODWLRQLQDPRXVHPRGHORIIUDJLOH[
V\QGURPH0),)5,0,5$61,.*-%$66(//(PRU\
8QLY(PRU\8QLY
*
5HYHUVDORIGHIHFWLYHV\QDSWLF
WUDQVPLVVLRQDQGSODVWLFLW\LQWKHDP\JGDODWKURXJK
SKDUPDFRORJLFDOLQKLELWLRQRIP*OX5LQDPRXVHPRGHO
RIIUDJLOH;V\QGURPH6.(',$5+5,1*'
67(3+(1621'60,7+62¶1(,//6&+$77$5-,
1DWO&WU)RU%LRO6FL3¿]HU:RUOGZLGH5HVDQG'HYHORS
3267(5
(SLOHSV\$QLPDO0RGHOV
*
'DPSKHWDPLQHGHFUHDVHVDEVHQFH
VHL]XUHVLQPXWDQWP\HOLQ0&257e60/$5$/2=$12
$8*$57(-5(*8,%$5%HQHPpULWD8QLY$XWyQRPD
'H3XHEOD,QVWRI3K\VLRO
*
6R[H[SUHVVLRQLQFHUHEHOOXPEHUJPDQQ
JOLDLQHSLOHSWLFNLQGOHGUDWV$*(*8,/8=0(/(1'(=&
526251,2&75(-262/,69&8672',25$0Ë5(=
0+(51È1'(=&(5Ï1&3$=75(6,111096
*
$FRPSDULVRQRIHYRNHGVHL]XUH
DFWLYLW\LQWKHPDWXUHDQGLPPDWXUH]HEUD¿VKEUDLQ-'
/$8'(5'$/(5%$//$3$*(6$&8))56,1*(5
-*$8'(79+$5,+$5$1&+.(,7+70'25($
76251%25*(58QLYRI*HRUJLD8QLYRI6RXWK&DUROLQD
DW%HDXIRUW8QLYRI*HRUJLD8QLYRI*HRUJLD
*
7KH5HFHSWRUIRU$GYDQFHG*O\FDWLRQ
(QG3URGXFWV5$*(LVRYHUH[SUHVVHGLQPHVLDOWHPSRUDO
OREHHSLOHSV\P7/(DQGFRQWULEXWHVWRVHL]XUHVDQG
HSLOHSWRJHQHVLV$9(==$1,9,25,0&$5/,5
9(57(0$5$75$9,==$($521,&$00$5262
0DULR1HJUL,QVWIRU3KDUPDFRO5HV0DULR1HJUL,QVWIRU
3KDUPDFRO5HV$FDGHPLVFK0HGLVFK&HQWUXP(SLOHSV\
,QVWLQ7KH1HWKHUODQGV)QGQ
*
%DVDOJDQJOLDLQYROYHPHQWLQ$5;JHQH
PXWDWHGSDWLHQWVEXWQRWLQ'RZQV\QGURPHSDWLHQWV7KH
UHDVRQIRU$5;YHU\VSHFL¿FJUDVSLQJ"$&85,(9'(6
3257(6$52<71$=,5$%581$&+(</86
*%866<<3$8/,*1$1$5(%28/',%$552/$
-.21*1+$'-,.+$1,5/*2//8%$WKLQRXOD$
0DUWLQRV&WUIRU%LRPHGLDO,PDJLQJ0DVVDFKXVHWWV*HQ
+RVS+RVSLFHVFLYLOVGH/\RQ/&&156805
,QVWGHV6FLFRJQLWLYHV&(50(30DVVDFKXVHWWV*HQ
+RVS
*
&KDUDFWHUL]DWLRQRISHUIRUPDQFHRQ
(QXPHUDWLRQWDVNLQJLUOVZLWKT'HOHWLRQ6\QGURPH
)UDJLOH;6\QGURPH7XUQHU¶V6\QGURPHDQGW\SLFDOO\
GHYHORSLQJIHPDOHJLUOV$,48,17(52/0:21*<
0&/(11$17-6,0218QLYRI&DOLIRUQLD'DYLV8QLYRI
&DOLIRUQLD'DYLV8QLYRI&DOLIRUQLD'DYLV0HG&WU
*
,QYLYRVLPXOWDQHRXVFDOFLXPDQG
LQWULQVLFVLJQDOLPDJLQJRI$3LFWDODQGLQWHULFWDOHYHQWV
GHPRVQWUDWHG\QDPLFQHXURYDVFXODUFRXSOLQJGXULQJLFWDO
EXWQRWLQWHULFWDOHYHQWV+0$0=+$26+$55,67+
6&+:$57=:HLOO0HG6FK&RUQHOO8QLY:HLOO0HG&RO
RI&RUQHOO8QLY
*
'H[WURPHWKRUSKDQLQGXFHVVHL]XUHOLNH
DFWLYLW\LQGXJHVLDWLJULQLD%':+,7(1/5+2'('/
/,36&20%%&2/(*<+21*60$1&+(7$8QLY
RI:DVKLQJWRQ%RWKHOO
*
9(*)VXSSUHVVHVORQJWHUPVHL]XUH
LQGXFHGLQFUHDVHVLQYDVFXODUGHQVLW\DQGJOXFRVHXSWDNH
.$6&253,2%7+20$6)-$0,/$0,&+$/,.6
'&52//&LW\8QLYRI1HZ<RUN4XHHQV&RO&LW\8QLYRI
1HZ<RUN*UDG&WU5HJHQHURQ3KDUPDFHXWLFDOV
*
7HOHPHWULFGHYLFHDVVLVWHG
FKDUDFWHUL]DWLRQRIDFRPELQHGPHFKDQLFDODQGEODVW
LQGXFHGEUDLQLQMXU\PRGHOLQVSUDJXHGDZOH\UDWV
0$'',60$)857$'2.%$,/(<0+,//)
5266(77,6$9$1$/%(57$$(':$5'6&$
5,&&,2-5$1'5,67-%/21*'/<285,&.
:5$,5
*
((*I05,LQDIHUUHWPRGHORI
JHQHUDOL]HGWRQLFFORQLFVHL]XUHV0:<281*%/22'
$00,6+5$6(1$0$1'5$0%*6$1*$1$+$//,
-(027(/2:+;%$,$*5,%,=,6$/,*+7(1)
+<'(5+%/80(1)(/'<DOH8QLY<DOH8QLY<DOH8QLY
*
&RQWULEXWLRQRIQHXURQDODFWLYLW\WR
PHWDEROLFKHPRG\QDPLFUHVSRQVHVLQDQDQLPDOPRGHO
RIHSLOHSV\66$,//(7348,/,&+,1,$*+(67(0
,9$1=(77$-0:$51.,1*2'$9,'$,9$129
&%(51$5'&*%e1$5*UHQREOH,QVW'HV
1HXURVFLHQFHV,QVWGH1HXURVFLHQFHVGHV6\VWqPHV,QVW
GH1HXURVFLHQFHVGHOD7LPRQH
*
1HXURSURWHFWLQGDWWHQXDWHVDEHUUDQW
QHXURQDOQHWZRUNVLQHSLOHSWRJHQHVLV$(086727
48(%('($8;&:$/.(5'.+22%(+,1%$=$1
/RXLVLDQD6WDWH8QLY+OWK6FL&WU
*
,GHQWL¿FDWLRQRIWKHVHL]XUHRQVHW]RQH
LQDUDWPRGHORIVXEFRUWLFDOEDQGKHWHURWRSLDDFRUWLFDO
PDOIRUPDWLRQFDXVLQJHSLOHSV\/3(7,70-$/$%(57
(%8+/(5$5(35(6$-0$1(17,10(',16(50
8$L[0DUVHLOOHXQLYHUVLW\
*
8QGHUVWDQGLQJHSLOHSV\LQWKHDFWLYH
EUDLQELODWHUDOVHQVRU\HYRNHGQHXURYDVFXODUFRXSOLQJLQ
DUDWPRGHORIIRFDOQHRFRUWLFDOHSLOHSV\66+$55,6
0%58<16+$</(77$.(11(5/(</%2250$1
0=+$2+0$329(572135('*5$9(7
6&+:$57=-%(5:,&.8QLYRI6KHI¿HOG:HLOO&RUQHOO
0HG&RO
+
'LIIHUHQWLDOH[SUHVVLRQRI*$%$10'$
DQG$03$UHFHSWRUVLQWKHKLSSRFDPSXVLQDPRXVHPRGHO
RIPHVLRWHPSRUDOOREHHSLOHSV\667$0%28/,$17
&+$%52/$/$+$5,(&%28<66,Ê5(&528&$5'
$'(3$8/,6*UHQREOH,QVWRI1HXURVFL,QVHUP8
6\QDSFHOO
+
0DWXUDWLRQ±GHSHQGHQWSODVWLFLW\
RIGHQWDWHJUDQXOHFHOOPRVV\¿EHUVLQH[SHULPHQWDO
WHPSRUDOOREHHSLOHSV\$/$/7+$86+=+$1*(
0(66(1*(5-03$5(178QLYRI0LFKLJDQ8QLYRI
0LFKLJDQ8QLYRI0LFKLJDQ
+
(QKDQFHPHQWRIVSRQWDQHRXVVHL]XUH
VXVFHSWLELOLW\RI1RGDHSLOHSWLFUDW1(5E\]LQFFKHODWRUV
$7$.('$0,,'$0$1'201$.$085$12.8
8QLY6KL]XRND8QLY6KL]XRND
+
'OLNHGRSDPLQHUJLFUHFHSWRUV
DOWHUDWLRQVLQWKHHSLOHSWLFIRFXVLQDQDQLPDOPRGHORI
WHPSRUDOOREHHSLOHSV\'$/&$17$5$*21=$/(=
%)/25$1)3(f$/52&+$&,19(67$9,31
3K\VLRORJ\%LRSK\VLFVDQG1HXURVFLHQFHV&,19(67$9
,31,QVWRI1HXURELRORJ\81$03KDUPDFRELRORJ\
&,19(67$9,31
+
&UHLQGXFLEOHFKROHUDWR[LQPRXVH
SURYLGHVDPRGHOIRUF\FOLFDPSGHSHQGHQWEHKDYLRUDO
DEQRUPDOLWLHVDQGVHL]XUHV(03('(1-5$&+$57(
0&$3(&&+,8QLYRI8WDK++0,8QLYHUVLW\RI8WDK
3267(5
(SLOHSV\0HFKDQLVPVRI&RPRUELGLWLHV
+
$QWLHSLOHSWLFDQGDQWLDQ[LHW\HIIHFWV
RIOHDIH[WUDFWVRIWKHFKLQHVHODQWHUQWUHHGLFKURVWDFK\V
JORPHUDWDLQFGPLFH6$%,621*((26,0
'DOKRXVLH8QLY8QLYRI&DODEDU
+
(DUO\OLIHVHL]XUHVUHVXOWLQDORQJWHUP
HOHYDWLRQRIDQ[LHW\LQDGXOWPLFH*60,7+($5%8&./(
-1/8*2-5%D\ORU8QLY%D\ORU8QLY
+
S
8QLTXHVWUDLQVRINLQGOLQJVXVFHSWLEOH
DQGNLQGOLQJUHVLVWDQWUDWVDUHEHKDYLRUDOO\GLVWLQFW(YLGHQFH
IRULQÀXHQFHVRIJHQHWLFEDFNJURXQGRQERWKVHL]XUHLQGXFHG
SODVWLFLW\DQGEHKDYLRU7/$1*%(5*.0,//(5&(
67$)67520736878/$8QLYRI:LVFRQVLQ8QLYRI
:LVFRQVLQ8QLYRI:LVFRQVLQ
+
(DUO\OLIHVHL]XUHVLPSDLUVRFLDO
EHKDYLRXUDFURVVWKHOLIHVSDQ50&<61(,526$6
6&$67(/+$12*6&$66$1(8QLY3UHVELWHULDQD
0DFNHQ]LH8QLY3UHVELWHULDQD0DFNHQ]LH
+
(SLOHSV\DQGSVHXGRVHL]XUH&OLQLFDO
SV\FKLDWULFDQGQHXURSV\FKRORJLFDOHYDOXDWLRQ*37,6,
8QLYGHJOLVWXGLGL0LODQR
+
6RFLDOEHKDYLRUVDOWHUHGDIWHUQHRQDWDO
K\SR[LDLQGXFHGVHL]XUHVDUHUHVFXHGE\1%4;--
/,330$1%(//30./(,10&-$&.621)(
-(16(1&KLOGUHQ¶V+RVS%RVWRQ+DUYDUG0HG6FK
&KLOGUHQ¶V+RVS%RVWRQ
+
(QYLURQPHQWDOHQULFKPHQWLPSURYHV
VSDWLDOOHDUQLQJLQDQLPDOVZLWKDEUDLQPDOIRUPDWLRQ.5
-(1.600/8&$6$52%%,16*/+2/0(6-0
%$55<5&6&277'DUWPRXWK0HG6FK
+
7KH¿ULQJSURSHUWLHVDQGUHSOD\RI
KLSSRFDPSDOSODFHFHOOVLQUDWVZLWKHSLOHSV\GXULQJVOHHS
$67,7,=5&6&277*/+2/0(63/(1&.
6$17,1,'DUWPRXWK+LWFKFRFN0HG&WU*HLVHO6FKRI
0HGDW'DUWPRXWK
+
1HXURSK\VLRORJLFDOG\VIXQFWLRQV
DVVRFLDWHGZLWKPRUSKRORJLFDOFKDQJHVLQ%&18WUHDWHG
UDWDPRGHORIFRUWLFDOG\VSODVLD0&+,.+/$'=()
,19(5$5',502521,05(*21',33(11$&&+,2
)3$1=,&$&)5$6621,6)5$1&(6&+(77,
)RQGD]LRQH,5&&6,QVW1HXURORJLFR&%HVWD
S
+
'HYHORSPHQWRIDOORG\QLDIROORZLQJ6WDWXV
(SLOHSWLFXVLQWZRPRGHOVRIWHPSRUDOOREHHSLOHSV\LQUDWV
($3,1('$'6+,156$1.$5$00$=$5$7,
8&/$
3267(5
(SLOHSV\6WDWXV(SLOHSWLFXV
+
%HQH¿FLDOHIIHFWVRILQKLELWLQJWKH
SURVWDJODQGLQ(UHFHSWRU(3IROORZLQJRUJDQRSKRVSKDWH
LQGXFHGVWDWXVHSLOHSWLFXV$52-$67*$1(6+<
48$13*8(25*8,(9$(*$/$*$15',1*/(',1(
(PRU\8QLY620(PRU\8QLY
+
,QKLELWLRQRISURVWDJODQGLQ(UHFHSWRU
(3VXEW\SHLQWKHSLORFDUSLQHPRGHORIHSLOHSV\-
-,$1*<48$17*$1(6+$52-$61/(/87,85
',1*/(',1((PRU\8QLY6FKRI0HG
+
3URS\OSDUDEHQPRGL¿HVWKHVWDWXV
HSLOHSWLFXVLQGXFHGE\OLWKLXPSLORFDUSLQHLQUDW&(
6$17$1$656252=&2/52&+$&WURI5HVDQG
$GYDQFHG6WXGLHVRIWKH1DWO3RO\WHFKQLF,QVW0HG5HV
8QLWLQ1HXURORJ'LVHDVHV6SHFLDOW\+RVSLWDO1DWO0HG
&HQWHU&HQWXU\;;,,066&WURI5HVDQG$GYDQFHG
6WXGLHVRI1DWO3RO\WHFKQLF,QVW
+
(YDOXDWLRQRISURPHWKD]LQHHIIHFWV
DJDLQVWVHL]XUHVLQGXFHGE\WKHFKHPLFDOZDUIDUHQHUYH
DJHQWVRPDQLQJXLQHDSLJV7'$2-$/(86&+1(5
6:.$6.,($-2+1621&5%5$8(76+,+5.
.$186$05,&'
+
7KDODPLFFDOFL¿FDWLRQLVDSDWKRORJLFDO
FRQVHTXHQFHRIVHL]XUHVLQGXFHGE\WKHFKHPLFDOZDUIDUH
QHUYHDJHQWVRPDQ-/(86&+1(56:.$6.,(3
6$55,&.67/'$2($-2+1621+0+2$5'
)58&+(<&5%5$8(5..$186$05,&'
86$05,&'
+
(IIHFWRIOLWKLXPSLORFDUSLQHLQGXFHG
VWDWXVHSLOHSWLFXVRQXOWUDVRQLFYRFDOL]DWLRQVLQUDW
SXSV60('(/0$786&$3e5(=(678',//2
/%(/75È13$55$=$/&025*$'29$//(5
72/('2&È5'(1$6-0$1=20//Ï3(=0(5$=
,QVW'H1HXURHWRORJtD8QLY9HUDFUX]DQD3RVJUDGRHQ
1HXURHWRORJtD8QLY9HUDFUX]DQD&WUGH,QYHVWLJDFLRQHV
&HUHEUDOHV8QLY9HUDFUX]DQD8QLY9HUDFUX]DQD
+
(SLJHQHWLFPHFKDQLVPVLQWHPSRUDO
OREHHSLOHSV\DQGPHPRU\GH¿FLWV553$55,6+$
-$/%(57621--+$%/,7=./0$6&,$:'
+$6(/'(1)'/8%,18QLY$ODEDPD%LUPLQJKDP
+
6WDWXVHSLOHSWLFXVFDXVHVDJHGHSHQGHQW
PRWRUEHKDYLRUZKLFKLVPRGXODWHGE\WKHHQYLURQPHQW-&
1(,///RQJ,VODQG8QLY
S
+
0(05,LQWHQVLW\FIRVH[SUHVVLRQDQG
FDVSDVHDFWLYLW\DIWHUVKRUWGXUDWLRQRISLORFDUSLQHLQGXFHG
VWDWXVHSLOHSWLFXV6(-00$/+(,526%2$025,0
'63(56,.($7$11Ò6/&292/$18QLY)HGHUDO
'H6DR3DXOR8QLY)HGHUDO'H6DR3DXOR&,(50DJ6mR
&DUORV3K\VLFV,QVW
+
'HHSEUDLQVWLPXODWLRQDWWHQXDWHV
FDVSDVHDFWLYLW\DIWHU6WDWXVHSLOHSWLFXVLQGXFHGE\
SLORFDUSLQH%2$025,0-0$/+(,526'3(56,.(
&+$0$1,/&292/$18QLY)HGHUDO'H6mR3DXOR
8QLY)HGHUDOGH6mR3DXOR8QLYRI7RURQWR
+
(YDOXDWLRQRIDFXWHQHXURORJLFDO
WR[FLW\IROORZLQJYDSRULQKDODWLRQH[SRVXUHWRVRPDQLQ
QRQDQHVWKHWL]HGUDWV0:3(5.,16%-:21**
0853+<$052'5,*8(=-/'(925$.5..$1
-$/(86&+1(57'$2$06&,87286$05,&'
+
*HQHWLFDQDO\VLVRIVHL]XUHLQGXFHG
H[FLWRWR[LFFHOOGHDWKLQGXFHGE\SLORFDUSLQHLQLQEUHGVWUDLQV
RIPLFH3(6&+$8:(&.(586&
,
S
/L]DUGKLSSRFDPSDO]LQFHUJLF
DQGQLWUHUJLFV\VWHPVDUHPRGL¿HGDIWHUSLORFDUSLQH
DGPLQLVWUDWLRQ00/,0$+&3,0(17(/0/
6$172600$5&+,252)HGHUDO8QLYRI6HUJLSH8QLY
RI:DVKLQJWRQ%RWKHOO)DFXOGDGH(VWiFLRGH6HUJLSH
,
(YDOXDWLRQRIREVHUYDWLRQVFDOHVEDVHG
RQO\RQKLJKJUDGHVHL]XUHVLQSLORFDUSLQHLQGXFHGVWDWXV
HSLOHSWLFXV0128+,$-:$//(10$&.(1=,(.
.8//$1'(5-=(/$12'HSWRI1HXURVFL
,
(DUO\H[SUHVVLRQDQGFHOOXODUGLVWULEXWLRQ
RIWROOOLNHUHFHSWRULQUDWKLSSRFDPSXVIROORZLQJ
SLORFDUSLQHLQGXFHGVWDWXVHSLOHSWLFXV2)0(5&$'2
*20(=$31(%5('$&2521$$/23(=
+(51$1'(=5*8(9$5$*8=0$11DWO$XWRQRPRXV
8QLYRI0H[LFR1DWO8QLYRI0H[LFR6FKRI0HG1DWO
8QLYRI0H[LFR6FKRI0HG
3267(5
,VFKHPLD&HOOXODU0HFKDQLVPV
,
$OWHUHGFHOOYROXPHUHJXODWLRQLQFRUWLFDO
DVWURF\WHVRIDOSKDV\QWURSKLQQHJDWLYH*)$3(*)3PLFH
0$1'(529$-%(1(629$00,.(629$3+216$
''=$0%$-.5,6.$95861$.29$0.8%,67$
,QVW([SHU0HG$6&5,QVWRI%LRWHFKQRORJ\$6&5
,
([WUDFHOOXODUGLIIXVLRQSDUDPHWHUVDQG
SRWDVVLXPFRQFHQWUDWLRQLQ*)$3(*)3_V\QDQG
*)$3(*)3_V\QPLFHLQPRGHOVRIFHOOVZHOOLQJ
/'0<75(1.20&,&$1,&-%(1(629$0
$1'(529$/9$5*29$(6<.29$,(0$6&5
&KDUOHV8QLYHUVLW\QG0HG)DF
,
,VFKHPLDLQGXFHGWUDQVLHQWHQKDQFHPHQW
RIVSRQWDQHRXVH[FLWDWRU\V\QDSWLFHYHQWVLQ3XUNLQMH
FHOOVLQWKHXYXODQRGXOXVGHSHQGRQUHJLRQDOGLVWLQFWLRQ
RIH[FLWDELOLW\LQJUDQXOHFHOOVDQGXQLSRODUEUXVKFHOOV<
7$.$<$6806+,12.&+,.$0$768*XQPD8QLY
*UDG6FKRI0HG
+
1HXURSURWHFWLYHHIIHFWVRI)U3E$,,
LVRODWHGIURPWKHYHQRPRIWKHVSLGHU3DUDZL[LDELVWULWD
LQ:LVWDUUDWVVXEPLWWHGWRWKHSLORFDUSLQHLQGXFHG6WDWXV
(SLOHSWLFXV6($2&81+$050257$5,-/
/,%(5$721&/23(652%(/(%21,-&287,1+2
1(772:)6$17268QLYRI6mR3DXOR8QLYRI%UDVLOLD
8QLYRI6DR3DXOR))&/538QLYRI6DR3DXOR)&)53
8QLYRI5LEHLUDR3UHWR8QLYRI6DR3DXOR)053
+
/DPRWULJLQHSURWHFWVDJDLQVWVWDWXV
HSLOHSWLFXVLQGXFHGQHXURGHJHQHUDWLRQDQGFRJQLWLYH
GHFOLQH$%$/(;+6:+,7($QWLFRQYXOVDQW'UXJ
'HYHORS3URJUDP8QLYRI8WDK
,
3URMHFWLRQQHXURQVLQEUDLQVWHPDQG
K\SRWKDODPXVLQWULQVLFDOO\UHVLVWDFXWHVWURNHLQMXU\ZKLOH
SURMHFWLRQQHXURQVLQFRUWH[VWULDWXPDQGWKDODPXVGLH5
'$1'5(:<+6,(+&'%5,66214XHHQ¶V8QLY
4XHHQ¶V8QLY
,
%UDLQHQGRWKHOLDO7$.GH¿FLHQF\DV
DPRGHOIRUFHUHEUDOVPDOOYHVVHOGLVHDVH'5,''(5
66$/,1,17:(%(5608+$00$'+:2/%85*
(.25326/6252.,1'%$/6&+810
6&+:$1,1*(58QLYRI/EHFN,QVWRI3KDUPDFRO,QVW
RI3DWKRORJ\8QLY+RVS7ELQJHQ,QVWRI3K\VLRORJLFDO
&KHPDQG3DWKRELRFKHPLVWU\8QLYRI0QVWHU/DERI%LRO
3V\FKRORJ\&DWKROLF8QLYRI/HXYHQ
,
(OHFWURSK\VLRORJLFDOUHVSRQVHVRIWKH
PHGLDOYHVWLEXODUQHXURQVWRWUDQVLHQWLVFKHPLD06+,12
<7$.$<$68.&+,.$0$7682WRODU\QJRORJ\*XQPD
8QLY*UDG6FK0HG
,
$QR[LDDQGLVFKHPLDSURGXFH&16ZKLWH
PDWWHULQMXU\E\GLIIHUHQWPHFKDQLVPV0$+$01(5=
<(%55$16208QLY:DVKLQJWRQ
,
+\SRWKHUPLDLQFUHDVHVV\QDSWLFLQKLELWLRQ
ZLWKHIIHFWVRQ*$%$$UHFHSWRUNLQHWLFSURSHUWLHVDQGGUXJ
LQWHUDFWLRQV'(1$</25+$5%258&/$
,
3KDUPDFRORJLFDOPRGXODWLRQRI
LQWUDFHOOXODU$73LQÀXHQFHVDGHQRVLQHUHOHDVHDQGIXQFWLRQDO
RXWFRPHLQUHVSRQVHWRPHWDEROLFVWUHVVLQKLSSRFDPSDO
VOLFHV%*)5(1*8(//,$'21(<6=851(''(1
:DUZLFN8QLY8QLYRI'XQGHH
-
+HPDWRSRLHWLFJURZWKIDFWRUVUHSDLU
FKURQLFVWURNHEUDLQE\ERQHPDUURZGHULYHG,RQL]HGFDOFLXP
ELQGLQJDGDSWRUPROHFXOHH[SUHVVLQJPRQRF\WHV;5(1
++8/&8,/=+$2/RXLVLDQD6WDWH8QLY+OWK6FL&WU
/RXLVLDQD6WDWH8QLY+OWK6FL&WU
-
(YROXWLRQRISHQXPEUDDQGEORRGEUDLQ
EDUULHUOHDNDJHDIWHUDFXWHIRFDOLVFKHPLD%&+21*
*2.$5'6:($=(<6723$/29:&+(1))
&+$1*,QGLDQD8QLY6FKRI0HGLFLQH)RUW:D\QH8&6)
)UHVQR$O]KHLPHU¶V0HPRU\&WU,QGLDQD8QLY6FKRI
0HG
-
S3URO\OK\GUR[\ODVHLQKLELWLRQSURPRWHV
DQJLRJHQHVLVDIWHULVFKHPLFVWURNHLQPLFH0=+$1*0
(2*/(;*86<8/:(,(PRU\8QLY
-
7KHUROHRI%1,3LQEUDLQLVFKHPLD
UHSHUIXVLRQ5HJXODWLQJDXWRSKDJ\DQGDSRSWRVLVLQGHOD\HG
QHXURQGDPDJH56+,-.21*8QLYRI0DQLWRED
-
([SUHVVLRQRI]LQFWUDQVSRUWHUV=,3
DQGDUHLQGXFHGDIWHUDFRPPRQFDURWLGDUWHU\RFFOXVLRQ
LQWKHUDW/0$57,1(=0(1',(7$*5,9(5$*$5&Ë$
&3,f$/(,9$(%5$0%,/$&2/20%5(6%/(Ï1
&+È9(=$1$9$552&58=*)/25(6'0$57Ë1(=
)21*+58%,2=$3$7$'(675(//$&$67,//2
3$*8,/$5$/2162%HQHPpULWD8QLY$XWyQRPD'H
3XHEOD%HQHPpULWD8QLY$XWyQRPDGH3XHEOD%HQHPpULWD
8QLY$XWyQRPDGH3XHEOD&WUGH,QYHVWLJDFLRQHV\
(VWXGLRV$YDQ]DGRV,31=DFDWHQGR8QLY$XWyQRPDGH
<XFDWiQ
-
'LVWLQFWSDWWHUQVRISURWHDVHDFWLYDWLRQ
LQWKHDFXWHVWDJHVRIFHUHEUDOLVFKHPLD6=+$1*/
.2-,&076$1*06&<1$'(5:-,$%UDLQ5HV
&WU%UDLQ5HV&WU
-
$OWHUHGSUR¿OHVRID[RQDOVSURXWLQJ
LQÀDPPDWRU\F\WRNLQHVDQGWURSKLFIDFWRUVLQVSLQDOFRUG
DIWHUFRUWLFDOVWURNH%6,67.)28$'0%$1'(7,
:,16+,38QLYRI$OEHUWD
-
5HJXODWLRQRIQHXURJHQHVLVDQG
IXQFWLRQDOUHFRYHU\LQGXFHGE\OHXNHPLDLQKLELWRU\IDFWRU
DIWHUIRFDOLVFKHPLDLQPLFH.&+2,;*8/:(,6<8
(PRU\8QLY6FKRI0HG(PRU\8QLYHUVLW\6FKRI0HG
(PRU\8QLYHUVLW\6FKRI0HG(PRU\8QLYHUVLW\6FKRI
0HG
3267(5
6SLQDO&RUG,QMXU\7KHUDSHXWLF6WUDWHJLHV,,,
-
$FHOOVSDQQLQJ,.9$9H[SUHVVLQJSHSWLGH
IRUWUHDWPHQWRIVSLQDOFRUGLQMXU\-(0$7$:%$/7=(5
6.$=(0,.)6&+,/.(+0$16285,:HVWHUQ8QLY
RI+OWK6FL2UHJRQ6WDWH8QLY2UHJRQ6WDWH8QLY2UHJRQ
6WDWH8QLY
-
,QWUDWKHFDOLQIXVLRQRIGHFRULQWRORQJ
WHUPFKURQLFFRQWXVLRQVSLQDOFRUGLQMXU\SURPRWHVIXQFWLRQDO
UHFRYHU\.+-$63(5.+0,12560*5((1
:5(1-('$9,(66-'$9,(68QLYRI&RORUDGR
'HQYHU
-
7KHSRWHQWLDORIH[WUDFHOOXODUPDWUL[
EDVHGVFDIIROGVWRVXSSRUWUHFRYHU\DIWHUVSLQDOFRUG
LQMXU\LQYLWURDQGLQYLYRREVHUYDWLRQ028'(*$&
-0('%(55<7/12926$7-.(//<7.($1(&
'($57+6%$'</$.8QLYRI3LWWVEXUJK6FKRI0HG
8QLYRI3LWWVEXUJK6FKRI0HG8QLYRI3LWWVEXUJK6FKRI
0HG8QLYRI3LWWVEXUJK6FKRI0HG8QLYRI3LWWVEXUJK
6FKRI0HG8QLYRI3LWWVEXUJK6FKRI0HG
-
&HQWHURIPDVVDFFHOHUDWLRQDVD
VXUURJDWHIRUIRUFHSURGXFWLRQDIWHUQHXURORJLFDO,QMXU\
(IIHFWVRILQFOLQHGWUHDGPLOOZDONLQJ0*%2:'(1&
0*5(*25<6$.$87=5DOSK+-RKQVRQ9$0HG
&HQWHU0HGLFDO8QLYRI6RXWK&DUROLQD
-
6HQVRULPRWRUFRUWLFDOVSLNHDFWLYLW\RI
VSLQDOFRUGLQMXUHG:LVWDUUDWVGXULQJWUHDGPLOOWUDLQLQJ
7$%0,5$1'$(025<$$)&5,67$17(.
6$0(6+,0$01,&2/(/,60HG&RORI8QLYRI6mR
3DXOR$$6'$3,,11(/60HG&RORI8QLYRI6mR3DXOR
(GPRQGDQG/LO\6DIUD,QWO,QVWIRU1HXURVFLHQFHVRI1DWDO
'XNH8QLY'XNH8QLY'XNH8QLY'XNH8QLY
-
(IIHFWVRI7UN%DJRQLVWLQVSLQDOFRUG
LQMXU\&7%(9(5-U9.&1,00$*$''$67$/$7
6,9-8'*(276<0%$/<8.99*(5=$1,&+-0
6,0$5''75,6/(57.0$.$58QLY0DU\ODQG6FK
0HG9$0HG&WU8QLY0DU\ODQG6FK0HG
-
3URWHRPLFDQDO\VLVDIWHUKXPDQ
PHVHQFK\PDOVWHPFHOOWUDQVSODQWDWLRQLQLVFKHPLFUDWV.
&+2,-6+,0*3+8.$16+<811'8&72$1-
/((:6+,0*/(($MRX8QLY$MRXXQLYHUVLW\$MRX
8QLY6FKRI0HG
-
+\SHUJO\FHPLDDQG3RVWVWURNH6HL]XUHV
=/(,+=+$1*</,$1*-/,=&;8,QGLDQD8QLY
0HG&WUUG$I¿OLDWH+RVS*XDQJ]KRX0HG&RO
S
-
S%LRFKHPLFDOHIIHFWVRISHUÀXRURFDUERQV
DQGDSRO\SLUUROLRGLQHLPSODQWV\QWKHVL]HGE\SODVPD
DIWHUWUDXPDWLFVSLQDOFRUGLQMXU\LQUDWV606È1&+(=
7255(6+6$/*$'2&(%$//26/$/9$5(=0(-,$
5021'5$*21/2=$1267255(6&$67,//25
2/$<2*21=$/(=0*2/$<2*21=$/(=*-
&58=-025$/(6$',$=58,=&5,26$&+È9(=
1(*5(7(,QVWLWXR3ROLWpFQLFR1DFLRQDO8QLGDGGH
,QYHVWLJDFLyQ0pGLFDHQ(QIHUPHGDGHV1HXUROyJLFDV+RVS
GH(VSHFLDOLGDGHV&01VLJOR;;,,0668QLY$XWyQRPD
0HWURSROLWDQDXQLGDG,]WDSDODSD8QLY(VWDWDOGHO9DOOH
GH(FDWHSHF,QVW1DFLRQDOGH,QYHVWLJDFLRQHV1XFOHDUHV
,QVW1DFLRQDOGH1HXURORJtD\1HXURFLUXJtD'LUHFFLyQGH
(GXFDFLyQH,QYHVWLJDFLyQHQ6DOXGGHO&016LJOR;;,
,066
-
+LVWRQHGHDFHW\ODVHLQKLELWLRQVWLPXODWHV
FRUWLFRVSLQDOWUDFWIXQFWLRQDQGSURPRWHVIXQFWLRQDOUHFRYHU\
DIWHUVSLQDOFRUGLQMXU\$3(7,770(1*-/,8&
0&6+$1(*%2&.:7(7=/$))-$526.$06/LIH
6FL,QVWDQG,FRUG8QLYRI%ULWLVK&ROXPELD,&25'
-
S'DSVRQHSKDUPDFRNLQHWLFVDIWHUVSLQDO
FRUGLQMXU\LQUDWV7%$87,67$/$75,67È1/Ï3(=
$'Ë$=58Ë=+6$/*$'2&(%$//260$/&$5$=
=8%(/',$&5Ë261DWLRQDO,QVWLWXWH2I1HXURORJ\$QG
1HXURVXUJHU\$XWRQRPRXV0HWURSROLWDQ8QLYHUVLW\1DWLRQDO
0HGLFDO&HQWHU;;,&HQWXU\660,
.
1HXURSURWHFWLRQUHVXOWLQJIURPORZ
GRVHFDUERQPRQR[LGHLQKDODWLRQLQUDWVSLQDOFRUGLQMXU\,
+$1(,)(',*%2'<8$(5233(5+
+$5$*23$/6:.,0$0.&+2,<'
7(1*'HSWRI1HXURVXUJ'LYRI3XOPRQDU\DQG
&ULWLFDO&DUH0HG+DUYDUG0HG6FKRRO%ULJKDP
:RPHQ¶V+RVS%RVWRQ0$'LYRI6SLQDO&RUG,QMXU\
5HV9$%RVWRQ+HDOWKFDUH6\VW%RVWRQ0$'HSW
RI1HXURVXUJ&+$8QLYHUVLW\&+$%XQGDQJ0HG&WU
6HRXQJQDP.\HXQJJLGR.RUHD5HSXEOLFRI'LYRI
3HULRGRQWRORJ\+DUYDUG6FKRI'HQW0HG%RVWRQ0$
'HSWRI305+DUYDUG0HG6FKRRO6SDXOGLQJ5HKDELO
+RVS%RVWRQ0$
.
+XSHU]LQH$WUHDWPHQWDOOHYLDWHVFKURQLF
SDLQUHVXOWLQJIURPH[SHULPHQWDOFRPSUHVVLRQVSLQDOFRUG
LQMXU\'<8'.7+$.25,+$1$(5233(5+
+$5$*23$/5'=$)217(66&+$&+7(5<'
7(1*+DUYDUG0HG6FKO%:+9HWHUDQ$IIDLUV%RVWRQ
+HDOWKFDUH6\VW+DUYDUG0HG6FKO6SDXOGLQJ5HKDELO
+RVS&WUIRU,QWHJUDWLRQRI0HGDQG,QQRYDWLYH7HFKQRO
&,0,7
.
S,QYLYRGLIIXVLRQPDJQHWLFUHVRQDQFH
FKDUDFWHULVWLFVRIVSLQDOFRUGLQMXU\IROORZLQJSRO\SLUUROH
LRGLQHWUHDWPHQWLQUDWV5021'5$*21/2=$125
2/$<2-025$/(6/$/9$5(=0(-,$$025$/(6
+6$/*$'2&(%$//26&5,26$',$=58,=*
2/$<2*&58=(52/'$19$/$'(=00$57,1(=
/23(=8QLY$XWRQRPD0HWURSROLWDQD,QVW0H[LFDQRGHO
6HJXUR6RFLDO,QVW1DFLRQDOGH1HXURORJLD\1HXURFLUXJLD
,QVW1DFLRQDOGH,QYHVWLJDFLRQHV1XFOHDUHV0DJQHWLF
5HVRQDQFH8QLW0HGLFD6XU&OLQ)QGQ
S
.
*UDIWHGXQVDIHKXPDQL36&GHULYHG
QHXURVSKHUHVSURPRWHWHPSRUDOIXQFWLRQDOUHFRYHU\LQ
VSLQDOFRUGLQMXUHGPLFHIROORZHGE\QHRSODVPIRUPDWLRQ
DQGPRWRUGHWHULRUDWLRQDIWHUORQJWHUPREVHUYDWLRQ
6125,<2.$'$*,7$.85$<.2%$<$6+,
$<$68'$0.2,.(<8&+,<$0$(,.('$<
72<$0$6<$0$1$.$+2.$1201$.$085$
'HSW2UWKRSDHGLFV.HLR8QLY6FK0HG'HSW3K\VLRORJ\
.HLR8QLY6FK0HG'HSW&HOO%LRODQG1HXURVFLHQFH
-XQWHQGR8QLY*UDG6FK0HG'HSW3DWKRORJ\
<DPDJXFKL8QLY*UDG6FK0HG&WUIRUL36&HOO5HVDQG
$SSOLFDWLRQ&L5$.\RWR8QLY
.
2OIDFWRU\EXOEHQVKHDWKLQJJOLDUHYHUW
UHDFWLYHDVWURJOLRVLVLQDQRYHOLQYLWURPRGHOWKDWPLPLFV
VSLQDOFRUGWUDXPD,1(%27$5$021&8(72,QVW
%LRPHG9DOHQFLD&6,&
.
$VWXG\WRH[DPLQHWKHWXPRULJHQLFLW\RI
WKHKXPDQQHXUDOVWHPFHOOOLQH16,56&LQVSLQDOFRUG
LQMXUHGUDWV7/$003+())(5$12.$.,12+$1$
00$56$/$'048$&+6:8'/((./
+$<$0$0&:87+$=(/.-2+(1HXUDOVWHP,QF
8QLYRI&DOLIRUQLD6DQ'LHJR1HXURGLJLWHFK//&
.
7KHSULPDWHDOORJHQHLFWUDQVSODQWDWLRQRI
QHXUDOVWHPSURJHQLWRUFHOOVSURPRWHGIXQFWLRQDOUHFRYHU\LQ
PDUPRVHWVZLWKVSLQDOFRUGLQMXU\+,:$,+6+,0$'$
61,6+,085$<.2%$<$6+,7.2120,2768-,.
)8-,<26+,.+,.,6+,0$<72<$0$01$.$085$
+2.$12.HLR8QLYHUVLW\6FKRI0HG.HLR8QLY6FK
RI0HG6DLWDPD6RFLDOLQVXUDQFH+RVSLWD0XUD\DPD0HG
&HQWHU1DWO+RVS2UJDQL]DWLRQ
.
6HOHFWLYHDEODWLRQRIWKHJUDIWHGFHOOV
E\FRQWUROOLQJWKHLPPXQHVXSSUHVVLRQ*,7$.85$
<.2%$<$6+,<7$.$+$6+,6125,$<$68'$
61,6+,085$07$.$127.2120,+,:$,<
72<$0$01$.$085$+2.$12'HSWRI2UWKRSDHGLF
6XUJHU\6FKRI0HGLFLQH.HLR8QLY'HSWRI3K\VLRORJ\
6FKRI0HGLFLQH.HLR8QLY
.
7KHXVHRIKXPDQLQGXFHGSOXULSRWHQW
VWHPFHOOGHULYHGQHXUDOSUHFXUVRUVLQDUDWPRGHORIVSLQDO
FRUGLQMXU\3-(1'(/29$1520$1<8.7$0(025,
.785129&29$%217(1,(17((6<.29$,QVWRI
([SWO0HGLFLQH$6&5&KDUOHV8QLYHUVLW\6HFRQG)DFRI
0HG,16(508058QLYG¶(YU\9DOG¶(VVRQQH
.
(IIHFWVRIHPEU\RQLFQHXUDOVWHPFHOO
WKHUDS\RQR[LGDWLYHDQGQLWURVDWLYHVWUHVVELRPDUNHUVLQ
DFXWHDQGFKURQLFVSLQDOFRUGLQMXUHGUDWV7'$*&,6
.21<$/,2*/802=*818/(JH8QLY6FKRI0HG
3K\VLRO'HSW(JH8QLY&WU)RU%UDLQ5HV(JH8QLYHUVLW\
)DFRI3KDUP(JH8QLY6FKRI0HG
-
7LVVXHW\SHSODVPLQRJHQDFWLYDWRUW3$
SURPRWHVORQJWHUPIXQFWLRQDOUHFRYHU\DIWHUFRPSUHVVLYH
VSLQDOFRUGLQMXU\LQUDWV0$+(%(576/(0$5&+$17
035892670*$8%(57,-'25(*2+9$8'5<
(0$8%(57&$/,((0(5<'9,9,(195$*,1
*,3&<&(521&DHQ8QLY/DERI1HXURQDODQG
1HXURHQGRFULQH'LIIHUHQWLDWLRQDQG&RPPXQLFDWLRQ
.
7UDQVSODQWDWLRQRILQWHJUDWLRQIUHH
KXPDQL36&VGHULYHGQHXURVSKHUHVLQWRLQMXUHGVSLQDO
FRUGSURPRWHVIXQFWLRQDOUHFRYHU\ZLWKRXWWXPRUIRUPDWLRQ
LQLPPXQRGH¿FLHQWPLFH<.2%$<$6+,*,7$.85$
5<$0$*8&+,<72<$0$6<$0$1$.$0
1$.$085$+2.$12'HSWRI2UWKRSHGLF6XUJHU\
6FKRI0HGLFLQH.HLR8QLY'HSWRI3K\VLRORJ\6FKRI
0HGLFLQH.HLR8QLY*HQRPLF6FL/DERUDWRULHV'DLQLSSRQ
6XPLWRPR3KDUPD&R/WG&WUIRU,QGXFHG3OXULSRWHQW
6WHP&HOO5HVDQG$SSOLFDWLRQ.\RWR8QLY
.
7UHDWPHQWRIDPRXVHPRGHORIVSLQDO
FRUGLQMXU\E\WUDQVSODQWDWLRQRIKXPDQL36FHOOGHULYHG
ORQJWHUPVHOIUHQHZLQJQHXURHSLWKHOLDOOLNHVWHPFHOOV<
)8-,02720$%(0$768$)$/..768-,085$
76$126$.$%-8/,$1',.6(0,01$0,+,5$6
.20,<$$60,7+.1$.$6+,0$*UDG6FKRI%LRO
6FLHQFH1$,67*UDG6FKRI0HGDQG'HQW6FLHQFHV
.DJRVKLPD8QLY8QLYRI&DPEULGJH%RJRU$JU8QLY
,3%
.
'HYHORSPHQWRIPHVHQFK\PDOVWHPFHOO
WKHUDS\IRUWKHVSLQDOFRUGLQMXU\LQGXFHGEODGGHU¿EURVLV$
-,1+/((<621*.&+$1*6/((6.,0&KXQJ
$QJ8QLY&RORI0HG6RRQFKXQK\DQJ8QLY6FKRI0HG
1DWO3ULPDWH5HV&HQWHU.RUHD5HV,QVWRI%LRVFLDQG
%LRWHFK8QLYRI%ULWLVK&ROXPELD
.
0LFUR51$DVSRWHQWLDOWDUJHWVWRSUHYHQW
GHOD\HGSDUDO\VLVFDXVHGE\DRUWLFFURVVFODPSLQJLQD
PRXVHPRGHORILVFKHPLFVSLQDOFRUGLQMXU\6-$1*(
7,/,3*32329,&++(/6$<('$:$'7KH2KLR6WDWH
8QLY0HG&WU7KH2KLR6WDWH8QLY7KH2KLR6WDWH8QLY
7KH2KLR6WDWH8QLY
/
1HXURSURWHFWLRQDQGSURGXFWLRQRI
QHXURWURSKLQVE\ERQHPDUURZPRQRQXFOHDUVWHPFHOOV
%06&DIWHUYHQWUDOURRWDYXOVLRQ95$DQG¿EULQVHDODQW
UHSODQWDWLRQ5%$5%,=$1$)/21*+,1,$0*2(6
%%$55$9,(5$56)-81,25$/2/,9(,5$
8QLYRI&DPSLQDV/DERI1HUYH5HJHQHUDWLRQ8QLYRI
&DPSLQDV8)0*&HYDS8QHVS
/
(IIHFWVRIOXPERVDFUDOYHQWUDOURRW
DYXOVLRQDQGUHSODQWDWLRQLQDQRQKXPDQSULPDWHPRGHO
IRUFDXGDHTXLQDLQMXU\02+/6621-+1,(72.
/&+5,67(/$+$9721.DUROLQVND,QVWLWXWHW8QLY
RI&DOLIRUQLD,UYLQH8QLYRI&DOLIRUQLD,UYLQH8QLYRI
&DOLIRUQLD'DYLV8QLYRI&DOLIRUQLD,UYLQH
3267(5
1HXURLQÀDPPDWLRQ0ROHFXODU0HFKDQLVPV,,
/
S,QYLWURSURWHFWLYHHIIHFWVRIPHODWRQLQ
RQFLVSODWLQLQGXFHGDSRSWRVLVRIFDQFHUFHOOV,QYROYHPHQW
RI%D[XSUHJXODWLRQDQGWKHLQWUDFHOOXODUWDUJHWLQJRI%FO
96+$108*$0(9$5*+(6($0)/25($
'%h66(/%(5*:HLOO&RUQHOO0HG&ROLQ4DWDU
1HXURSDWKRORJ\+HLQULFK+HLQH8QLY'XVVHOGRUI
/
&KDQJHVLQJHQHVLQYROYHGLQWKH-$.
67$7VLJQDOLQJSDWKZD\LQEUDLQVRIGLHWLQGXFHGREHVH
PLFH6+/((&$9281'-,$1$32/$',$1/5
%$11(5&DOLIRUQLD6WDWH8QLY1RUWKULGJH
/
,QYROYHPHQWRI(5.67$7
DQGUHDFWLYHR[\JHQVSHFLHVLQ,)1JDPPDPHGLDWHG
LQÀDPPDWRU\VLJQDOLQJLQPLFURJOLD'<&+8$1*0
&+$1<=21*--,$1*$6,021<,$<681*<
6818QLYRI0LVVRXUL7]X&KL8QLY8QLYRI0LVVRXUL
/
8SUHJXODWLRQRIVHFUHWRU\
SKRVSKROLSDVH$JURXS9LQPLFURJOLDOFHOOV,QYROYHPHQWRI
LQWHUIHURQJDPPD(5.DQG526<=21*--,$1*
'&+8$1*$6,021<,*6818QLYRI0LVVRXUL
/
$QDVVD\IRUWKHGHWHUPLQDWLRQRI
'N\QXUHQLQHLQELRORJLFDOVDPSOHV.-+251,1*;
:$1*)0127$5$1*(/256&+:$5&=8QLYRI
0DU\ODQG035&
/
7KH/\PH'LVHDVH6SLURFKHWH%RUUHOLD
EXUJGRUIHULLQGXFHVLQÀDPPDWLRQLQWLVVXHH[SODQWVDQG
SULPDU\FXOWXUHVRIUKHVXVGRUVDOURRWJDQJOLD'5*DQG
FRQFRPLWDQWQHXURQDODSRSWRVLVLQ'5*FHOOVFXOWXUHGLQ
YLWUR*5$0(6+)0,1*/,6073+,/,337XODQH
1DWO3ULPDWH5HV&WU7XODQH8QLY
/
$PRXVHPRGHORIDQHPLDLQGHSHQGHQW
FKHPRWKHUDS\UHODWHGIDWLJXH&5)-$=20%(&.
%LRPRGHOV
/
'HJHQHUDWLRQRISHULSKHUDOVHQVRU\
QHXURQVLQ]HEUD¿VK+0323(0092,*76W/RXLV
8QLY
/
0DVWFHOOVFDQH[DFHUEDWHVWURNH
SDWKRORJ\LQPLFH$$5$&0$*5,0%$/'(6721$
5%1(3208&(1222/$<,:2/$033(5(,5$
+92*(/076$,6-*$//,70%/,66*.
67(,1%(5*6WDQIRUG8QLY6WDQIRUG6WURNH&WU6WDQIRUG
,QVWIRU1HXUR,QQRYDWLRQDQG7UDQVODWLRQDO1HXURVFLHQFHV
&WUIRU&DQFHU%LRO6WDQIRUG8QLY6WDQIRUG8QLY
/
5HJLRQDOGLVWULEXWLRQRI71)DOSKD
UHFHSWRUVLQWKHEUDLQ$SRVVLEOHH[SODQDWLRQIRUUHJLRQDO
VHQVLWLYLW\WRQHXURLQÀDPPDWLRQ"6/,5$==$/760$1
(6+2+$0,$%,(*217KH+HEUHZ8QLY7KH-RVHSK
6DJRO1HXURVFL&HQWHU6KHED0HG&WU%URRNKDYHQ1DWO
ODE
/
.LQHWLFVRIPLFURJOLDPLJUDWLRQ
DIWHUODVHUOHVLRQDQDO\]HGE\LQYLYRWZRSKRWRQ
LPDJLQJ-:$*1(5/6&+0,'+&287+,21.
.(33/(5-+(5060)8+50$11*HUPDQ&WUIRU
1HXURGHJHQHUDWLYH'LV'=1(/XGZLJ0D[LPLOLDQV
8QLYHUVLW\
/
1RUHSLQHSKULQHPRGXODWHVPLFURJOLDO
PRWLOLW\WKURXJK$OSKD$DQG%HWDUHFHSWRUVLQDFWLYDWLRQ
VWDWXVGHSHQGHQWPDQQHU6)75$<1(/,66*<21(9$
7-0853+<(PRU\8QLY6FKRI0HG
/
0LFURJOLDOPRWLOLW\XQGHUSURLQÀDPPDWRU\
FRQGLWLRQVLQYLYR6*<21(9$''$9$/26.
$.$662*/286)75$<1(/,6(PRU\8QLY8QLYRI
/
,)1aLQGXFHGJHQHH[SUHVVLRQGXULQJ
WKHFRXUVHRIH[SHULPHQWDODXWRLPPXQHHQFHSKDORP\HOLWLV
)RFXVRQPLFURJOLD$628/,.$3<$2/6+(8(58&
'DYLV6FKRI0HG,QVWIRU3HGLDWULF5HJHQHUDWLYH0HG
/
1FDGKHULQFOHDYDJHLQH[SHULPHQWDO
DXWRLPPXQHHQFHSKDORP\HOLWLVLPSOLFDWLRQVIRUPLFURJOLDO
DFWLYDWLRQ.&21$177$%','%(5$8',
/216.$<$$(':$5'6.0$*8,5(=(,66
*HRUJHWRZQ8QLY*HRUJHWRZQ8QLY
/
7KHUROHRISIDPLO\SURWHLQVLQVKDSLQJ
PLFURJOLDODFWLYDWLRQLQQHXURGHJHQHUDWLRQ--(%(//,
-032&2&.,QVWRI1HXURO8QLY&RO/RQGRQ,QVWRI
1HXURO
/
,QYLYRSURGXFWLRQRIN\QXUHQLQH
SDWKZD\PHWDEROLWHVIURP'WU\SWRSKDQLQPLFH)
0127$5$1*(/2;:$1*.-+251,1*5
6&+:$5&=8QLYRI0DU\ODQG6FKRI0HG
/
3*51GRHVQRWELQG71)UHFHSWRUVDQG
LVQRWDGLUHFWUHJXODWRURI71)GHSHQGHQWLQÀDPPDWRU\RU
QHXURWR[LFDFWLYLW\0*7$16(<;&+(1-&+$1*-
;84'(1*-&+81*%&(1,./+(5/0$57(16
71*8<(1*<8-+(5=59)$5(6(7.8.$5
(PRU\8QLY6FKRI0HG*HRUJLD,QVWRI7HFKQRO(PRU\
8QLY6FKRI0HG876RXWKZHVWHUQ0HG&WU8&6)87
6RXWKZHVWHUQ0HG&WU8&6)
S
0
5DGLDWLRQLQGXFHGFKDQJHVLQWKHJURZWK
KRUPRQH,*)D[LVLQDGXOWDQGDJLQJUDWV'55,''/(
0()25%(603$,76(/'HSW1HXURELRDQG$QDWRP\
:DNH)RUHVW6FK0HG
0
5ROHRIPLWRFKRQGULDLQPHGLDWLQJ
R[DOLSODWLQPHGLDWHGWR[LFLW\+7$%$66800:$6((0
63$59(=0,485(6+,-DPLD0LOLD,VODPLD+DPGDUG
8QLY
0
,QKLELWLRQRI1D&DH[FKDQJHU1&;
E\6.)SURGXFHV&DGHSHQGHQWDFWLYDWLRQRI
PLWRJHQDFWLYDWHGSURWHLQNLQDVH0$3.DQGFHOOF\FOH
DUUHVWLQKXPDQJOLREODVWRPDFHOOV0621*6<8(PRU\
8QLY6FKRI0HG
3267(5
([SHULPHQWDO7KHUDSHXWLFVLQ$QLPDO0RGHOVRI
3V\FKRVLV,,
0
1HXURORJLFDOVLGHHIIHFWVGXHWR*6.
LQKLELWLRQE\FKURQLFOLWKLXPRUWUDQVJHQHVLVFDQEH
SUHYHQWHGE\EORFNLQJ1)$7)$6SDWKZD\5*20(=
6,17(6--/8&$6&WU%LRORJtD0ROVHYHUR2FKRD
0
:KHWKHUOLWKLXPDQGFDUEDPD]HSLQHFDQ
WUHDWWKHLPSDLUPHQWVRIVSDWLDOOHDUQLQJDQGGHSUHVVLYH
UHVSRQVHVLQRXDEDLQLQGXFHGELSRODUGLVRUGHUUDWV$&
+8$1*<:$1*&+8$1*(:$1*)R*XDQJ8QLY
'HSWRI&OLQ3V\FKRORJ\)X-HQ&DWKROLF8QLYHUVLW\1HZ
7DLSHL&LW\'HSWRI3V\FKRORJ\)R*XDQJ8QLYHUVLW\<LODQ
&RXQW\7DLZDQ'HSWRI3V\FKLDWU\6KLQ.RQJ:X
+R6X0HP+RVSLWDO7DLSHL7DLZDQ
0
1LFRWLQHDPHOLRUDWHVHPRWLRQDODQG
FRJQLWLYHLPSDLUPHQWVLQGXFHGE\QHRQDWDOSRO\,&WUHDWPHQW
LQPLFH71$*$,-<8',%,71$%(6+,0$.
<$0$'$1DJR\D8QLY*UDG6FK0HG0HLMR8QLY
0
7KHHIIHFWVRISUHJQHQRORQHVXOSKDWH
RQVFKL]RSKUHQLDOLNHEHKDYLRUVLQGRSDPLQHWUDQVSRUWHU
NQRFNRXWPLFH3:21*&&5&+$1*;=+$1*
'XNH1XV*UDG0HG6FK
0
(IIHFWVRIVHOHFWLYHRUH[LQUHFHSWRU
DQWDJRQLVWRQJOXWDPDWHUHOHDVHDQGEHKDYLRULQPRXVH
PRGHORIVFKL]RSKUHQLD7%(5'<<(9$-6+2%/2&.
/$/8,6,21:(/7<,)5$6(5%6+,5(0$11
&$5587+(567/29(1%(5*3%21$9(1785(
-DQVVHQ//&-RKQVRQ-RKQVRQ35'-DQVVHQ//&
-RKQVRQ-RKQVRQ35'
0
:QWVLJQDOLQJLQDQWLGHSUHVVLYHHIIHFWV
DQGQHXURSURWHFWLRQ3LRJOLWD]RQHDVDQRYHOWUHDWPHQWLQ
PRRGGLVRUGHUV+/,1):$11DWO'HI0HG&WU1DWO
'HI0HG&WU
0
(IIHFWRISHURVSLURQHRQ
PHWKDPSKHWDPLQHLQGXFHGGLVUXSWLRQRIODWHQWLQKLELWLRQLQ
UDWV+0$7682+$%(12.$'$$.85$0$6+,*
.2*$1(0$58+)81$+$6+,7,.('$57$.('$
.(%,+$5$71,6+,025,<,6+,'$'HS3V\FKLDWU\
)DFRI0HG8QLY0L\D]DNL'LY1HXURELR)DFRI0HG8QLY
0L\D]DNL
S
0
7KHIXQFWLRQRISJO\FRSURWHLQDIWHUWKH
WUHDWPHQWZLWKFKURQLFDQWLSV\FKRWLFGUXJVLQPLFHEUDLQ
7:$7$1$%(.26$'$7+$*$<2*$:$$
7$*8&+,.)8-,:$5$7<$1$*,'$01$.$12<
6$68*$+0$768,1<$0$*8&+,6W0DULDQQD8QLY
6FKRI0HG
0
3RO\FELQGLQJSURWHLQVLQVFKL]RSKUHQLD
DSRVVLEOHPHFKDQLVPIRUW\URVLQHK\GUR[\ODVHSDWKRORJ\
(3(5(=&267$6-52'5,*8(=3$//$5(65&
52%(576-/$%$1'(,5$*$5&,$00(/(1'(=
)(5528QLY$ODEDPD%LUPLQJKDP8QLYRI6DQWLDJRGH
&RPSRVWHOD
0
:LWKGUDZDOIURPFKURQLFHVFDODWLQJ
PHWKDPSKHWDPLQHSURGXFHGDGHSUHVVLYHOLNHDQLPDO
PRGHO7KHUROHRIQHXURJHQHVLVDQGDSRSWRVLV):$1&
76(1*+/,11DWO'HI0HG&WU9HWHUDQV*HQ+RVS
.DRKVLXQJ1DWO'HI0HG&WU
0
,PSOLFDWLRQRIWKH(5.0$3.
VLJQDOLQJSDWKZD\LQDQWLSV\FKRWLFLQGXFHGGRSDPLQH'
XSUHJXODWLRQDQGLQWKHSUHYHQWLYHHIIHFWVRIDOSKDOLSRLF
DFLG6*5,*121&'(60$5$,636$55(7-
'(6/$85,(568QLY'H6KHUEURRNH8QLYGH6KHUEURRNH
0
&KURQLFDGPLQLVWUDWLRQRIDQWLSV\FKRWLF
GUXJVGRHVQRWDOWHU3&%3H[SUHVVLRQLQWKHVXEVWDQWLD
QLJUDYHQWUDOWHJPHQWDODUHD00(/(1'(=)(552-
/$%$1'(,5$*$5&,$5&52%(576-52'5,*8(=
3$//$5(6(3(5(=&267$68QLY$ODEDPD
%LUPLQJKDP8QLYRI6DQWLDJRGH&RPSRVWHOD
0
$QWLSV\FKRWLFHI¿FDF\ZLWK`DUUHVWLQ
ELDVHGGRSDPLQH'UHFHSWRUOLJDQGV:&:(76(/0
&+(15052'5,*8,=-$$//(1%/527+--,1
0*&$521'XNH8QLY0HG&WU8QLYRI1RUWK&DUROLQD
DW&KDSHO+LOO8QLYRI1RUWK&DUROLQDDW&KDSHO+LOO8QLYRI
1RUWK&DUROLQDDW&KDSHO+LOO'XNH8QLY0HG&WU
0
(VWDEOLVKLQJWKHDW\SLFDODQWLSV\FKRWLF
GUXJFOR]DSLQHDVDGLVFULPLQDWLYHVWLPXOXVLQPDOHDQG
IHPDOH%)K\EULGPLFH.$:(%67(5-+
3257(59LUJLQLD&RPPRQZHDOWK8QLY
0
'LVFULPLQDWLYHVWLPXOXVSURSHUWLHVRIWKH
DW\SLFDODQWLSV\FKRWLFDPLVXOSULGHLQ&%/PLFH7-
'21$+8(.$:(%67(570+,//+286((2'(
2/,9(,5$-+3257(59LUJLQLD&RPPRQZHDOWK8QLY
*HRUJHWRZQ8QLY
1
(IIHFWVRIULVSHULGRQHWUHDWPHQWLQ
DGROHVFHQFHRQDGXOWQHXURLQÀDPPDWLRQDQG10'$
UHFHSWRUVLQDGHYHORSPHQWDOPRGHORIVFKL]RSKUHQLD-
'+$:$16+2529,7=5&5,63<3,217.(:,7=,
:(,1(5$%,(*21%URRNKDYHQ1DWO/DE7HO$YLY8QLY
1
5HSHDWHGTXLQSLUROHWUHDWPHQWUHYHUVHV
VXSSUHVVLRQRIFRQGLWLRQHGDYRLGDQFHUHVSRQGLQJDQG
LQGXFHV6)RV%LQWKHUDWQXFOHXVDFFXPEHQV$0
0$3/((01,.8/,1$53+$00(5-U$UL]RQD6WDWH
8QLY8QLYRI$UL]RQD&RORI0HG
1
*OXWDPLQDVHLQKLELWLRQYLDJHQHWLF
SKDUPDFRWKHUDS\LQDGXOWPLFHDWWHQXDWHVDPSKHWDPLQH
LQGXFHGORFRPRWLRQSRLQWLQJWRWKHUDSHXWLFSRWHQWLDOIRU
WKHSKDUPDFRWKHUDS\RIVFKL]RSKUHQLD&*(//0$15
(516760,1*27(65$<3257&ROXPELD8QLY1<6
3V\FKLDWULF,QVW
0
'R+7$UHFHSWRUVPHGLDWH
FOR]DSLQHLQGXFHGORFRPRWRUVXSSUHVVLRQYLDKLVWDPLQHUJLF
PHFKDQLVPV"&(0&20,6+$/,5$-%+$1.6(
/$0$5&$-$*,1*5,&+5HV)QGQ)RU0HQWDO+\J
&ROXPELD8QLY+RZDUG)ORUH\,QVW0RXQW6LQDL
0
,QKLELWLRQRIRUJDQLFFDWLRQWUDQVSRUWHU
SRWHQWLDWHVWKHQHXURFKHPLFDOHIIHFWVRIVHOHFWLYHVHURWRQLQ
UHXSWDNHLQKLELWRUV9%(1$'(9.$1',.(5(*
%+<5$381(1,6,5$33$1$9$59.$1$0$5/$38',
$'$6/0$1-81$7+51,52*,6XYHQ/LIH6FL/WG
1
(IIHFWVRIFKURQLFKDORSHULGROWUHDWPHQW
RQQHXURQDVWURF\WHDQGROLJRGHQGURF\WHQXPEHUDQG
GHQVLW\(,6<3(.$-%(&+7+2/7*203)&6
-2+1./60,7+'g1*h5%0&2+(1+DUYDUG
0HG6FK+DUYDUG0HG6FK
3267(5
$QLPDO0RGHOVRI6HULRXV0HQWDO,OOQHVV,,
1
7KHH\HDZLQGRZLQWRWKHEUDLQ
/RRNLQJIRUUHWLQDOELRPDUNHUVRISV\FKRSDWKRORJ\5)
0,//(50(6*8(55$(*867$)621*(520(52
$:0$&'21$/',,,&*6800(5606/((
'+(1'(5621+52(0+,/'77$.$5$8QLYRI
0LQQHVRWD8QLYRI0LQQHVRWD8QLYRI0LQQHVRWD8QLYRI
0LQQHVRWD8QLYRI0LQQHVRWD8QLYRI0LQQHVRWD8QLYRI
0LQQHVRWD
1
$EQRUPDOSUHIURQWDOV\QDSWLFG\QDPLFV
LQ3&3LQGXFHGGHYHORSPHQWDOPRXVHPRGHOIRUGH¿FLW
LQVKRUWWHUPUHFRJQLWLRQPHPRU\-:/29(/$&(3
9,(,5$(.25=868&5LYHUVLGH
1
6HQVLWL]DWLRQRI&5)UHFHSWRUV
DIWHUUHSHDWHG1(UHFHSWRUVWLPXODWLRQLQ%167$.
5$-%+$1'$5,93%$.6+,8QLYRI:LVFRQVLQ
1
$IIHUHQWGULYHRIPHGLDOSUHIURQWDOFRUWH[
E\KLSSRFDPSXVDQGDP\JGDODLVDOWHUHGLQ0$0WUHDWHG
UDWV(YLGHQFHIRULQWHUQHXURQG\VIXQFWLRQ%(60$(,/,$
$*5$&(8QLYRI3LWWVEXUJK8QLYRI3LWWVEXUJK
1
'H¿FLHQF\RI6FKQXUULDQ0+&
HQKDQFHUELQGLQJSURWHLQLQGXFHVPLOGFKURQLFLQÀDPPDWLRQ
LQWKHEUDLQDQGFRQIHUVPROHFXODUQHXURQDODQGEHKDYLRUDO
SKHQRW\SHVUHODWHGWRVFKL]RSKUHQLD.7$.$2+
+$*,+$5$.2+,5$.72<$0$+6+2-,1.
+,52125,6+$7725,+.26+,0,=8-80(025,
77$.$*,1:$/7216,6+,,00$76802727
0,<$.$:$1DWO,QVW)RU3K\VLRORJLFDO6FL)XMLWD+OWK
8QLY-67&5(675,.(17VXNXED,QVW$LFKL3UHIHFWXUDO
&RORQ\$VWHOODV5HV,QVWRI$PHULFD//&
1
%HKDYLRUDOVWDWHRIPRGHOPLFHRIELSRODU
GLVRUGHUFDQEHUHWURVSHFWLYHO\SUHGLFWHGE\JHQHH[SUHVVLRQ
LQGHQWDWHJ\UXVDQGSODVPDPHWDEROLWHV-80(025,
++$*,+$5$+.1$.$085$7+25,.$:$+
6+2-,.72<$0$<,5,120<26+,'$<.$0,7$1,
70,<$.$:$)XMLWD+OWK8QLY-67&5(671$,67$75
&RPSXW1HXURVFL/DE'HS%LRVFL*HQHW1&9&5,,QWHJU
&HQW0DVV6SHFW.REH8QLY*UDG6FK0HG'LY0HWDE
5HV.REH8QLY*UDG6FK0HG&WU*HQH$QDO%HKDY1,36
1
8SUHJXODWLRQRIPDWXUHIRUPEUDLQ
GHULYHGQHXURWURSKLFIDFWRUDQGFDUER[\SHSWLGDVH(DQG
HFWRSLFH[SUHVVLRQRIW\URVLQHNLQDVHUHFHSWRU%LQWKH
KLSSRFDPSXVRIPLFHZLWKPDWXUDWLRQIDLOXUHLQGHQWDWHJ\UXV
QHXURQV+.26+,0,=8.2+,5$++$*,+$5$.
7$.$277$.$*,0.$7$2.$6,6+,,07$.$+$6+,
70,<$.$:$,QVWIRU&RPSUHKHQVLYH0HG6FLHQFH)XMLWD
+OWK8QLY&RUH5HVIRU(YROXWLRQDO6FLDQG7HFKQRO
&5(67-DSDQ6FLDQG7HFKQRO$JHQF\6HFWLRQRI
%HKDYLRU3DWWHUQV&WUIRU*HQHW$QDO\VLVRI%HKDYLRU1DWO
,QVWIRU3K\VLRORJLFDO6FL/DERI0RO*HQHWLFV5,.(1
7VXNXED,QVW,QVWIRU'HYHORSPHQWDO5HVHDUFK$LFKL
3UHIHFWXUDO&RORQ\'HSWRI(QYUQ6FLDQG7HFKQRORJ\
)DFRI(QJLQHHULQJ6KLQVKX8QLY'HSWRI%LRFKHPLVWU\
.LWDVDWR8QLY6FKRI0HG
1
6\QDSVLQ,,NQRFNGRZQLQWKHPHGLDO
SUHIURQWDOFRUWH[UHVXOWVLQK\SRIURQWDOLW\DQGQHXURELRORJLFDO
FRUUHODWHVVLPLODUWRWKDWRIVFKL]RSKUHQLD0/7$1/3
02/,1$5266+,9-,5.0,6+5$0F0DVWHU8QLY
1
3HULQDWDO10'$DQWDJRQLVWWUHDWPHQWLQ
UDWGRHVQRWFRQVLVWHQWO\LQGXFHV\PSWRPVRIVFKL]RSKUHQLD
5:,//(06(5(')(51/9(5'21&.-DQVVHQ5HV
'HYHORSPHQW$'LYRI-DQVVHQ3KDUPDFHXWLFD198QLY
RI%DWK
1
&KURQLFVWUHVVLQÀXHQFHVZKHHOUXQQLQJ
DFWLYLWLHVLQPXWDQW3ROJWUDQVJHQLFPLFH)6$6$.,0
.8%27$7.$6$+$5$+2.$127.$725,.(1
%UDLQ6FL,QVWNHLRXQLYHUVLW\VFKRRORIPHGLFLQH
1
$QWDJRQLVPRI(/5&;&FKHPRNLQH
UHFHSWRUVGXULQJSUHJQDQF\SUHYHQWVWKHORQJWHUPFRJQLWLYH
FKDQJHVFDXVHGE\PDWHUQDOLPPXQHDFWLYDWLRQLQUDWV6
$%$//(1',1(4*5(%$&$7+$,%'./,6&+8.
:'$:,&.,-5*25'21-*+2:/$1'8QLY
6DVNDWFKHZDQ8QLY6DVNDWFKHZDQ
1
$.7PRGXODWHVWKHH[SUHVVLRQDQG
IXQFWLRQRI*$%$HUJLFLQWHUQHXURQVDQG*$%$W\SH$
UHFHSWRUVLQYLWURDQGLQYLYR&&+$1*<&+(17
:$1*:/$,1DWO7DLZDQ8QLY1DWO7DLZDQ1RUPDO
8QLY1DWO7DLZDQ8QLY1DWO7DLZDQ8QLY
1
8VLQJ0(05,WRYLVXDOL]HKDOOXFLQRJHQLF
OLNHDFWLYLW\LQDQDZDNHEHKDYLQJPRXVHPRGHORI
VFKL]RSKUHQLD--*$//$*+(5190$/.29$&=
<83+3$77(5621&DOLIRUQLD,QVW7HFKQRO
1
S
15K\SRPRUSKPLFHGLVSOD\
GHFUHDVHGUHVSRQVHWRR[\WRFLQLQODWHUDODP\JGDOD.
=+86&5$1672816-6,(*(/*&&$5/621
8QLYRI3HQQV\OYDQLD
1
+LSSRFDPSDOLQWHUQHXURQWUDQVSODQWV
UHVWRUHDEHUUDQWGRSDPLQHV\VWHPIXQFWLRQLQDURGHQWPRGHO
RIVFKL]RSKUHQLD603(5(='-/2'*(87+6&6$
1
6LJQL¿FDQWO\GRZQUHJXODWHG
QHXUR¿ODPHQWH[SUHVVLRQLQVFKL]RSKUHQLDDQLPDOPRGHO
65(%*357JPLFH4&+(1<=+2860,<$.(
-+.2*$110:$/72156+,1$.*5266&
/+(861(5.7$-,1'$.7$085$00$7680272
&16$VWHOODV5HV,QVWRI$PHULFD//&1RUWKZHVWHUQ8QLY
2
$Q[LHW\GRHVQRWFRQWULEXWHWR3&3
LQGXFHGVRFLDOZLWKGUDZDO$6(,//,(5$*,8))5,'$
87+6&6$87+6&6$
2
0DWXUDWLRQGH¿FLWVRIGHQWDWHJUDQXOH
FHOOVLQIRUHEUDLQVSHFL¿FFDOFLQHXULQNQRFNRXWPLFH
LVUHVFXHGE\SKRVSKRGLHVWHUDVHLQKLELWRUWUHDWPHQW
++$*,+$5$,$*5$()*5&5$%75((7
0,<$.$:$)XMLWD+OWK8QLY-DSDQ6FLDQG7HFKQRO
$JHQF\6WDQIRUG8QLYRI0HG1DWO,QVWIRU3K\VLRORJLFDO
6FL
2
&RPSDULVRQRIEHKDYLRUDOFKDUDFWHULVWLFV
EHWZHHQJHQHWLFDQGSKDUPDFRORJLFDODQLPDOPRGHOVRI
VFKL]RSKUHQLD<$5,0(.$.,<$0$'RNN\R0HG8QLY
6FKRI0HG
2
5HGXFWLRQLQ¿ULQJDFWLYLW\RIUDWGRSDPLQH
QHXURQVE\LQKLELWLRQRIN\QXUHQLQHDPLQRWUDQVIHUDVH,,*
&(1*%(5*0+$-2662/66216(5+$5'7
.DUROLQVND,QVW<DOH8QLYVFKRRORI0HG<DOH8QLY6FKRI
0HG.DUROLQVND,QVW
2
6XEFKURQLFDPSKHWDPLQHWUHDWPHQW
LQFUHDVHVVFKHGXOHLQGXFHGSRO\GLSVLDLQWKHUDW(
+$:.(1-5(<12/'65%(1,1*(54XHHQ¶V8QLY
4XHHQ¶V8QLY
S
2
,QYHVWLJDWLRQRIKLSSRFDPSDO
SUHIURQWDOFRUWH[FLUFXLWVLQVFKL]RSKUHQLDPRGHOVXVLQJ
HOHFWURHQFHSKDORJUDSK\LQURGHQWV67$.,//$+%
7(62/,1'(&526&6(%%$1(6&+(1.(50
63('',1*--0$5,$1,3)$85(80513$
830&HW&156,QVWGHOD/RQJpYLWp+{SLWDO&KDUOHV)RL[
,QVWGH5HFKHUFKHV6HUYLHU/HV/DERUDWRLUHV6HUYLHU8QLY
30&XULH
2
$GROHVFHQWLVRODWLRQUHDULQJSURGXFHV
DQLQFUHDVHLQVXUIDFHH[SUHVVLRQRI10'$UHFHSWRUVLQ
GHQGULWLFVSLQHVRIEDVRODWHUDODP\JGDODS\UDPLGDOQHXURQV
LQPLFHH[KLELWLQJVHOHFWVFKL]RSKUHQLDOLNHEHKDYLRUV-2
*$1)6/285(1&2903,&.(/:HLOO&RUQHOO0HG
&RO
2
(QGRJHQRXVN\QXUHQLFDFLGPRGXODWHV
H[WUDFHOOXODU*$%$OHYHOVLQWKHUDWSUHIURQWDOFRUWH[6
%(**,$72/)(55$5267$1*$1(//,.)8;(+
:856&+:$5&=8QLYRI)HUUDUD.DUROLQVND,QWLWXWH
8QLYRI0DU\ODQG6FKRI0HG
2
)URQWDOFRUWLFDOG\VUHJXODWLRQIROORZLQJ
FKURQLFKDORSHULGROLQUDWV6(%$&+86*HRUJH0DVRQ
8QLY
2
S7KHHIIHFWRISUHQDWDOLPPXQH
FKDOOHQJHRQSRVWQDWDOQHXURJHQHVLVLQWKHVXEYHQWULFXODU
]RQHROIDFWRU\EXOESDWKZD\</,8-<87:$0*+
76$<1DWO<DQJ0LQJ8QLY1DWO7DLZDQ1RUPDO8QLY
1DWO<DQJ0LQJ8QLY
2
5HGXFWLRQVLQERWKSDUYDOEXPLQDQG
VXEVWDQFH3FRQWDLQLQJQHXURQVLQYHQWUDO&$GHQWDWH
RIWKH0$0UDWPRGHORIVFKL]RSKUHQLD.0*,//$$
*5$&(8QLY3LWWVEXUJK
2
,QWHUDFWLRQVEHWZHHQWKHPHVRFRUWLFDO
GRSDPLQHV\VWHPDQGWKHORFDOSUHIURQWDO*$%$HUJLFFLUFXLW
DUHQHFHVVDU\IRUVXVWDLQLQJQHWZRUNVWDELOLW\IRUZRUNLQJ
PHPRU\SURFHVVHV6(/(:.76(1*)DFXOWDGGH
,QJHQLHUtD8QLYGH%XHQRV$LUHV5)806&KLFDJR0HG
6FKO
2
$OWHUHGJHQHH[SUHVVLRQVDQGEHKDYLRUDO
SKHQRW\SHVRISDUYDOEXPLQQHXURQVSHFL¿FJOXWDPDWH
GHFDUER[\ODVH*$'NQRFNRXWPLFH.)8-,+$5$
+0,:$7.$.,=$.,00,.81,&7$1$+,5$1
7$0$0$.,<<$1$*$:$*XQPD8QLY*UDG6FKRI
0HG*XQPD8QLY*UDG6FKRI0HG&5(67.XPDPRWR
8QLY*UDG6FKRI0HG6FL
3267(5
$OFRKRO5HZDUGDQG5HLQIRUFHPHQW
2
%LQJHOLNHHWKDQROFRQVXPSWLRQDOWHUV
FRUWLFRWURSLQUHOHDVLQJIDFWRUVLJQDOLQJLQWKHYHQWUDO
WHJPHQWDODUHDRI&%/-PLFH-$5,1.(5(*
/2:(5<*,217$7(7+,(/(8QLYRI1RUWK&DUROLQDDW
&KDSHO+LOO8QLYRI1RUWK&DUROLQDDW&KDSHO+LOO
S
2
3RVLWLYHPRGXODWLRQRIDP\JGDOD$03$
UHFHSWRUVVHOHFWLYHO\LQFUHDVHVRSHUDQWDOFRKROVHOI
DGPLQLVWUDWLRQLQDOFRKROSUHIHUULQJUDWV5&$11$'<.
5),6+(5%$'85$17-%(6+((5&:+2'*(
8QLYRI1RUWK&DUROLQD&KDSHO+LOO
2
$GYHUVHFKLOGKRRGH[SHULHQFHV
SUHGLFWKHDYLHUGULQNLQJDQGJUHDWHUDOFRKROLQWDNHGXULQJ
LQWUDYHQRXV,9DOFRKROVHOIDGPLQLVWUDWLRQLQQRQGHSHQGHQW
GULQNHUV%67$1*/0/6&+:$1'70=$0(7.,19
$5$0&+$1'$1,1,$$$
2
7UDFHDPLQHDVVRFLDWHGUHFHSWRU
7$$5LQYROYHPHQWLQDOFRKROGULQNLQJEHKDYLRUV*0
0,//(5'03/$77(-9$//(1'(5/-/<1&+.
$68//,9$1/02*$:$+DUYDUG0HG6FKRRO1HSUF
2
$GHQRVLQHWUDQVSRUWHU(17UHJXODWHV
WKHDFTXLVLWLRQRIJRDOGLUHFWHGEHKDYLRUWKURXJK$$
UHFHSWRULQWKHGRUVRPHGLDOVWULDWXPDQGHWKDQROGULQNLQJ+
1$0'-+,17211.$1*&/58%<6&+$1*'
&+2,0D\R&OLQ&RORI0HG0D\R&OLQ&RORI0HG
3
7KHUHLQIRUFLQJHIIHFWVRIHWKDQROZLWKLQ
WKHSRVWHULRUYHQWUDOWHJPHQWDODUHDUHTXLUHDFWLYDWLRQRI
GRSDPLQHSURMHFWLRQVWRWKHQXFOHXVDFFXPEHQVVKHOODQG
YHQWUDOSDOOLGXP=',1*=$52'':-0&%5,'(
,QGLDQD8QLY6FKRI0HG
3
7KHUROHRI&DVHLQNLQDVHHSVLORQGHOWD
LQSUHYHQWLQJUHODSVHOLNHDOFRKROGULQNLQJ&&257,9
9(1*(/,(1(+1225,(0(5/23,&+0&256,5
63$1$*(/63(55($8/(1=$378,70HG5HV&WU
&HQWUDO,QVWRI0HQWDO+OWK+RIIPDQQ/D5RFKH$378,7
0HG5HV&WU
3
_`VHOHFWLYHQLFRWLQLFDFHW\OFKROLQH
UHFHSWRUOLJDQGVGHFUHDVHDOFRKROLQWDNHLQKLJKDOFRKRO
GULQNLQJ8QLYHUVLW\RI&KLOHELEXORXVUDWV562720$<25
=$5$7(.*<6/,1*8(%8672%.&$66(/6
/7$03,(50(48,17$1,//$8QLYGH9DOSDUDLVR
0LOOHQQLXP6FL1XFOHXVLQ6WUHVVDQG$GGLFWLRQ1('$
3RQWL¿FLD8QLY&DWROLFD'H&KLOH&WUIRU$GGLFWLRQ6WXGLHV
&('$8&3RQWL¿FLD8QLY&DWROLFDGH&KLOH&WUIRU
$GGLFWLRQDQG0HQWDO+OWK&$0+DQG8QLYRI7RURQWR
8QLYGH&KLOH8QLYGH&KLOH
3
6\VWHPLFDGPLQLVWUDWLRQRI6%
DK\GUR[\WU\SWDPLQH+7UHFHSWRUDQWDJRQLVW
HQKDQFHVDOFRKROVHHNLQJEHKDYLRULQDOFRKROSUHIHUULQJ3
UDWV65+$86(5*$'((+$1-U-(72$/6721
5/%(//:-0&%5,'(=$52'',QGLDQD8QLY6FK
RI0HG
3
1HXURFKHPLFDOKHWHURJHQHLW\RI
UDWVSUHGLFWHGE\GLIIHUHQWPHDVXUHVWREHKLJKHWKDQRO
FRQVXPHUV-5%$56216()$*$1*&+$1*6)
/(,%2:,7=7KH5RFNHIHOOHU8QLY
3
0HFKDQLVPVRIUHJXODWLRQRIHWKDQRO
LQWDNHE\ODWHUDOKDEHQXOD/+E-<(:=82-/,*
;,(80'1-1HZ-HUVH\0HG6FK80'1-1HZ-HUVH\
0HG6FK
3
'HYHORSPHQWDOGLIIHUHQFHVLQHWKDQRO
SUHIHUHQFHLQ&%/-DQG'%$-LQEUHGPLFH'%
%28/',101&22.7KH8QLYRI0HPSKLV
2
0HFKDQLVPRIWKHVFKL]RSKUHQLDUHODWHG
FRJQLWLYHFRQWUROLPSDLUPHQWE\SKHQF\FOLGLQH3URWHLQ
V\QWKHVLVUXQQLQJZLOG"079$1',-.(:$//$&(-
=+21*-0$/$5&21$$)(17211HZ<RUN8QLY
6FKRI0HG6WDWH8QLYRI1HZ<RUN'RZQVWDWH0HG&WU
1HZ<RUN8QLY6WDWH8QLYRI1HZ<RUN'RZQVWDWH0HG
&WU
2
+LVWDPLQHLVQRWUHTXLUHGLQDOFRKRO
UHZDUGDQGVWLPXODWLRQEXWLVLPSRUWDQWIRUEORFNLQJUHZDUGLQ
PLFH3$3$18/$-9$1+$1(161887,1(18QLY\
+HOVLQNL
3
5ROHRIRSLRLGVLQWKHPHGLDOSUHIURQWDO
FRUWH[GXULQJHWKDQRODQWLFLSDWLRQDQGFRQVXPSWLRQ,
025*$167(516&/,$1*=<(2.$5$7$<(96
)/(,%2:,7=5RFNHIHOOHU8QLY
3
0HODQRFRUWLQUHFHSWRUVLJQDOLQJLQ
WKHODWHUDOK\SRWKDODPXVPRGXODWHVELQJHOLNHHWKDQRO
FRQVXPSWLRQLQ&%/-PLFH*06352:7(
7+,(/(8QLY1RUWK&DUROLQD
3
7KHPHODQRFRUWLQ0&UHFHSWRUDJRQLVW
PHODQRWDQLL07,,EOXQWVELQJHOLNHHWKDQROGULQNLQJLQPLFH
YLDWKH0&UHFHSWRU0&5-2/1(<*6352:7
7+,(/(8QLYRI1RUWK&DUROLQD$W&KDSHO+LOO
3
1LFRWLQHSUHH[SRVXUHDOWHUVUHZDUG
UHODWHGUHVSRQVHVWRHWKDQRO:0'2<21<'21*$
267528029-$'$1,%D\ORU&RORI0HG%D\ORU&RO
RI0HG
3
0XWDWLRQVLQWKH*DEUJHQHLQFUHDVH
WRQLFLQKLELWLRQDQGSURPRWHDOFRKROFRQVXPSWLRQ-
-/$0%(57(30$*8,5(6(:$/.(5'1
67(3+(167*60$5700257(16(137+20$6
+&7+20$66.1$3340$167(('%(/(//,
8QLYRI'XQGHH8QLYRI'XQGHH8QLYRI6XVVH[8QLY&RO
/RQGRQ,PSHULDO&RO1HZFDVWOH8QLY
3
7KHUROHRIGRSDPLQHGDQGG
UHFHSWRUVLQSDYORYLDQFXHGULYHQDOFRKROVHHNLQJ9HQGRU
GLIIHUHQFHVLQPDOHORQJHYDQVUDWV/063$5.6-
6&,$6&,$=$<25(&+$+(,'$5,-$01&+$8'+5,
&RQFRUGLD8QLY
3
5ROHRIKLVWRQH+DFHW\ODWLRQLQHWKDQRO
UHODSVH.0,=825.$7$'$62.$=$.,.7$7('$
6:$7$1$%(+0$76802726DSSRUR0HG8QLY
3
2UH[LQVLJQDOOLQJLQWKHSUHOLPELFFRUWH[
UHJXODWHVUHLQVWDWHPHQWRIDOFRKROVHHNLQJLQUDWV50
%52:1$..,0-+.,06<.+22%-833$
-/$:5(1&()ORUH\1HXURVFL,QVW0HG8QLYRI6RXWK
&DUROLQD&WUIRU1HXURVFL5HV8QLY)HGHUDOGH6mR
3DXOR([SWO3V\FKRORJ\
3
&RQVXPSWLRQRIHWKDQROGXULQJRSHUDQW
VHOIDGPLQLVWUDWLRQLVQRWDWWHQXDWHGE\DGRSDPLQH'
UHFHSWRUDQWDJRQLVWLQQXFOHXVDFFXPEHQVRIDGXOWPDOH
/RQJ(YDQVUDWV-0'2+(57<5$*21=$/(68QLY
RI7H[DVDW$XVWLQ8QLYRI7H[DVDW$XVWLQ8QLYRI7H[DVDW
$XVWLQ
3267(5
1LFRWLQH5HZDUGDQG5HLQIRUFHPHQW
3
&KURQLFQLFRWLQHH[SRVXUHGHSUHVVHV
GRSDPLQHUHOHDVHLQQRQKXPDQSULPDWHQXFOHXVDFFXPEHQV
;$3(5(=-/<-00&,1726+048,.65,,QWO
8QLYRI8WKD
3
9DUHQLFOLQHLVDSRWHQWSDUWLDODJRQLVWDW
_`Q$&K5VLQUDWDQGPRQNH\VWULDWXP7%25',$0
+5$&+29$0&+,1-00&,1726+048,.65,
,QWO8QLYRI8WDK
3
$FWLYDWLRQRI_`QLFRWLQLFDFHW\OFKROLQH
UHFHSWRUVLVVXI¿FLHQWIRUQLFRWLQHUHZDUG50'5(1$1
6(1*/(+$/(67(5-00&,1726+'+
%581=(//3XUGXH8QLY&DOLIRUQLD,QVWLWWXWHRI7HFKQRO
8QLYRI8WDK9LUJLQLD&RPPRQZHDOWK8QLY
3
$FXWHDQGFKURQLFLQKLELWLRQRIGRSDPLQH
'UHFHSWRUVLQWKHLQVXODUFRUWH[GHFUHDVHQLFRWLQHVHOI
DGPLQLVWUDWLRQLQUDWV0*.87/8'%85.(66/$'(
-(526(('/(9,1'XNH8QLY'XNH8QLY'XNH
8QLY
4
7KHDOSKDEHWDQLFRWLQLFGHVHQVLWL]LQJ
DJHQW90<GHFUHDVHVQLFRWLQHVHOIDGPLQLVWUDWLRQLQ
UDWV66/$'(&:(//6'%85.(-(-2+1621$
+5(=9$1,.-.(//$5<;,$290<(18*21'$
03$,*(0%52:1('/(9,1'XNH8QLY0HG&WU
'XNH8QLY*HRUJHWRZQ8QLY
4
*HQRPLFDQGSKDUPDFRORJLFDQWDJRQLVP
RIJKUHOLQUHFHSWRUVGLPLQLVKHVQLFRWLQHVHOIDGPLQLVWUDWLRQ
DQGWKHGHYHORSPHQWRIQLFRWLQHORFRPRWRUVHQVLWL]DWLRQ
36&/,))25'-$52'5,*8(=3-:(//0$1-
)(+5(17=-0$57,1(=7H[DV$08QLY,QVWGHV
%LRPROpFXOHV0D[0RXVVHURQ
4
+\SRFUHWLQRUH[LQVLJQDOLQJLQWKH
ODWHUDOKDEHQXODUHJXODWHVQLFRWLQHUHLQIRUFHPHQW-$
+2//$1'(5/078(67$3-.(11<7KH6FULSSV
5HV,QVW
4
5ROHRIJOXFDJRQOLNHSHSWLGH*/3
UHFHSWRUVLQQLFRWLQHUHLQIRUFHPHQW/078(67$&'
)2:/(54/83-.(11<7KH6FULSSV5HV,QVW
4
0HFDP\ODPLQHDWWHQXDWHV,9QLFRWLQH
VHOIDGPLQLVWUDWLRQLQZLOGW\SHEXWQRWDOSKD6)NQRFN
LQPLFHLPSOLFDWLQJDPRGXODWRU\UROHIRUDOSKDQLFRWLQLF
DFHW\OFKROLQHUHFHSWRUVLQQLFRWLQHUHZDUG+0$'6(1
+6.2*+$5-'5$*2$-/$:5(1&()ORUH\
1HXURVFL,QVW&WUIRU1HXURVFL
4
3UHQDWDOH[SRVXUHWRQLFRWLQHLQFUHDVHV
QLFRWLQHVHOIDGPLQLVWUDWLRQLQDGXOWUDWV-69,7/
0/$&$<2&%)$552.+,60&$5021$&0
$%8<2513(&+1,&.&HGDUV6LQDL0HG&WU
4
1XFOHXVDFFXPEHQVDQGDQWHULRU
FLQJXODWH(5.GLIIHUHQWLDOO\PRWLYDWHVHOIDGPLQLVWUDWLRQ
RIQLFRWLQHGXULQJGDLO\H[SRVXUHDQGIROORZLQJSURWUDFWHG
DEVWLQHQFH'+%581=(///(7+203621-0
/((9LUJLQLD&RPPRQZHDOWK8QLYHUVLW\0&9
4
(IIHFWVRIFORQLGLQHDQGS\ULODPLQH
RQQLFRWLQHVHOIDGPLQLVWUDWLRQLQWKHIHPDOHUDW1/
6&+5$006$3<7$(3)26&8(-(526(('
/(9,1'XNH8QLY0HG&WU
4
7KHVHQVLWLYLW\WRWKHUHLQIRUFLQJDFWLRQV
RIQLFRWLQHLQWKHQXFOHXVDFFXPEHQVVKHOOLVHQKDQFHG
RQO\E\DKLVWRU\RIHWKDQRODQGQLFRWLQHFRDEXVH*$
'((+$165+$86(5-$:,/'(1:-0&%5,'(
=$52'',QGLDQD8QLY,QGLDQD8QLY6FKRI0HG
4
$FXWHDQGFKURQLFDGPLQLVWUDWLRQRI
DFHW\OFKROLQHVWHUDVHLQKLELWRUVDWWHQXDWHVQLFRWLQHWDNLQJDQG
VHHNLQJLQUDWV%.,00(</58335(&+70+$<(6
+'6&+0,'78QLYRI3HQQV\OYDQLD
4
&RDFWLYDWLRQRI97$'$DQG*$%$
QHXURQVPHGLDWHVQLFRWLQHUHLQIRUFHPHQW672/85
('',1()0$57,9'$9,'0*5$831(563216
0%$8'211$70+866210%(6621$+$<%
/$0%2/(=-&$%2&+(%*87.,1$*$5',(5%
&$8/,-&+$1*(8;3)$85(80$6.26&156
830&&1568QLYHUVLWpGH%RUGHDX[1<8,QVW3DVWHXU
,16(50&156830&(168QLY3DULV6XG
4
5ROHRI$OSKDQLFRWLQLFUHFHSWRUV
LQWKH9HQWUDO7HJPHQWDO$UHD&025(/632168
0$6.263)$85(&156,QVW3DVWHXU
S
4
7KHHIIHFWRIFRQWH[WXDOVWLPXOL
SUHYLRXVO\SDLUHGZLWKQRQFRQWLQJHQWQLFRWLQHRQWKH
VXEVHTXHQWDFTXLVLWLRQRIQLFRWLQHVHOIDGPLQLVWUDWLRQ10
1(8*(%$8(5--&2575,*+7*56$03('523
9(=,1$8QLY2I&KLFDJR
4
&LJDUHWWHVPRNHH[WUDFWLVPRUH
UHLQIRUFLQJWKDQQLFRWLQHLQUDWVHOIDGPLQLVWUDWLRQWHVWV05
&267(//2-'%(//8==,)0/(6/,(8&,UYLQH
4
$OSKDFRQWDLQLQJQLFRWLQLFDFHW\OFKROLQH
UHFHSWRUVH[SUHVVHGLQWKHKDEHQXORLQWHUSHGXQFXODU
SDWKZD\UHJXODWHQLFRWLQHUHLQIRUFHPHQW&')2:/(5
4/83-.(11<7KH6FULSSV5HV,QVW
3267(5
'UXJVRI$EXVHDQG$GGLFWLRQ1HXUDO0HFKDQLVPV,,
4
3URWHRPLFDQDO\VLVRIWKHQXFOHXV
DFFXPEHQVRI*67SLNQRFNRXWPLFHXVLQJLVRWRSHFRGHG
DI¿QLW\WDJVDQGPDWUL[DVVLVWHGODVHUGHVRUSWLRQLRQL]DWLRQ
WLPHRIÀLJKW0$/',72)72)PDVVVSHFWURPHWU\-'
8<6:5(('(56&207(:$/7(56/%$//'0
72:16(1'.'7(:0HG8QLY6RXWK&DUROLQD0HG
8QLY6RXWK&DUROLQD
4
3UHIURQWDOV\QDSWLFPDUNHUVRIFRFDLQH
DGGLFWLRQOLNHEHKDYLRULQUDWV).$6$1(7=0
/$)285&$'(9'(52&+(*$021(7-5(9(67
1%(5621(%$/$'2-),$1&(77(35(1$8/7
33,$==$2-0$1=21,,QVHUP81HXURFHQWUH
0DJHQGLH8QLY%RUGHDX[,QVHUP81HXURFHQWUH
0DJHQGLH,16(508,10('8QLYGHOD0pGLWHUUDQpH
4
7KHFRPELQDWLRQRIPHW\UDSRQH
DQGR[D]HSDPDWWHQXDWHVFRFDLQHLQGXFHGLQFUHDVHV
LQFRUWLFRVWHURQHLQWKHPHGLDOSUHIURQWDOFRUWH[&0
.(//(5*)*8(5,11(*2('(56/RXLVLDQD6WDWH
8QLY+OWK6FL&HQWHU6KUHYHSRUW
4
$UROHIRUWKH3DUNLQVRQ¶VGLVHDVHUHODWHG
SURWHLQ'-LQFRFDLQHLQGXFHGUHZDUGDFTXLVLWLRQ$%
0$11,1*%2*$602$/(09&+281.279
.+52<$165,,QWO
5
&RFDLQHLQGXFHVGLVWLQFWUHGR[VWDWXVLQ
WKHUDWQXFOHXVDFFXPEHQVDQGGRUVDOVWULDWXP672'$
6.268*,<,*8&+,<0,1$%(.DQD]DZD8QLY6FKRI
0HG.DQD]DZD8QLY6FKRI0HG
5
5DSLGH[SHULHQFHGHSHQGHQWFKDQJHV
LQQXFOHXVDFFXPEHQVJOXWDPDWHUHOHDVH+LJKVSHHG
DPSHURPHWU\FRXSOHGZLWKHQ]\PHEDVHGVHQVRUVLQIUHHO\
PRYLQJUDWV.7:$.$%$<$6+,($.,<$7.,11,+
1,'$
5
)DFWRUVLQÀXHQFLQJWKHHIIHFWVRI
WKDODPLFWULJHPLQDORURVHQVRU\OHVLRQV-(1</$1'36
*5,*6213HQQV\OYDQLD6WDWH8QLY
S
5
*O\FRJHQV\QWKDVHNLQDVH`LQ
WKHYHQWUDOWHJPHQWDODUHDPHGLDWHVGLXUQDOYDULDWLRQVLQ
FRFDLQHLQGXFHGFRQGLWLRQHGSODFHSUHIHUHQFHLQUDWV6
/,<<0:(,++66+,<<;/82==%',1*
<<;;8(///8&&;<81DWO,QVW2Q'UXJ
'HSHQGHQFH3HNLQJ8QLY,QVWRI%DVLF0HGLFDO)XMLDQ
0HG8QLYHUVLW\)X]KRX&KLQD&RORI3KDUPDF\)XMLDQ
0HG8QLY
5
3UHQDWDOFRFDLQHLQGXFHGFRJQLWLYH
GH¿FLWVDQGHSLJHQHWLFPRGL¿FDWLRQVLQWKHP3)&RIDGXOW
PLFH=5'$58:$//$$05$-$'+<$.6+$%(
.262)6.<'HSWRI1HXURVFLHQFH:HLOO&RUQHOO*UDG
6FKRI%LRPHG6FL
5
7KHUROHRISUHIURQWDOFRUWLFDO&DY
FKDQQHOVLQWKHH[WLQFWLRQRIFRFDLQHFRQGLWLRQHGSODFH
SUHIHUHQFH$6/((602260$1*)+2)0$11
0-*/$66$05$-$'+<$.6+$:HLOO&RUQHOO7HFK
8QLY0XQLFK7HFK8QLY0XQLFK:HLOO&RUQHOO0HG&RO
:HLOO&RUQHOO0HG&RO
5
5ROHRI$03$UHFHSWRU*OX$
SKRVSKRU\ODWLRQDQGWUDI¿FNLQJLQDFTXLVLWLRQH[WLQFWLRQDQG
UHLQVWDWHPHQWRIFRFDLQHFRQGLWLRQHGSODFHSUHIHUHQFH.
&6&+,(5%(5/5+8*$1,5$05$-$'+<$.6+$
'HSWRI1HXURVFLHQFH:HLOO&RUQHOO*UDG6FKRI%LRPHG
6FL-RKQV+RSNLQV8QLY:HLOO&RUQHOO*UDG6FKRI
%LRPHG6FL
5
([FLWDELOLW\RIP3)&S\UDPLGDOQHXURQV
ZDVLQFUHDVHGLQUDWVWUDLQHGWRVHOIDGPLQLVWHUFRFDLQH
IROORZHGE\DSURWUDFWHGZLWKGUDZDO$FXWHHIIHFWVRI+,9
7DW:1:$<0$17&1$3,(5;+85XVK8QLY
5XVK8QLY0HG&WU&KLFDJR'HYHORSPHQWDO&WUIRU$,'6
5HV
5
5HSHDWHGFRFDLQHH[SRVXUHHQKDQFHG
+,97DWLQGXFHGFRUWLFDOH[FLWDELOLW\YLDRYHUDFWLYDWLRQRI
/W\SHFDOFLXPFKDQQHOV;+8/&+(17&1$3,(5
5XVK8QLY0HG&WU5XVK8QLY0HG&WU&KLFDJR
'HYHORSPHQWDO&WUIRU$,'65HV
5
([WLQFWLRQRIORQJDFFHVVFRFDLQHVHOI
DGPLQLVWUDWLRQLVDVVRFLDWHGZLWKDXJPHQWHG$03$DQG
UHGXFHGP*OX5VLJQDOLQJLQSUHIURQWDOFRUWH[DQGQXFOHXV
DFFXPEHQV0*+$6(0=$'(+39$68'(9$1&
*,/(6$385*,$172&6(8%(57-50$176&+
0DUTXHWWH8QLY
5
5ROHRIPHWDERWURSLFJOXWDPDWHUHFHSWRU
P*OX5ZLWKLQWKHQXFOHXVDFFXPEHQVVKHOODQG
H[SUHVVLRQSDWWHUQVRIP*OX5DQG+RPHUEFGXULQJ
HQYLURQPHQWDOHOLFLWHGFRFDLQHFRQGLWLRQLQJ$0$57,1(=
(52'5,*8(=%255(52&60$/'21$'29/$$5
8QLY3XHUWR5LFR53
5
&RFDLQHHYRNHGV\QDSWLFSRWHQWLDWLRQLQ
WKHODWHUDOKDEHQXOD00$0(/,00$527($8;,QVHUP
8056,QVW'X)HU$0RXOLQ
5
(5.UHJXODWHVPHWDERWURSLFJOXWDPDWH
UHFHSWRUDLQFRFDLQHDGGLFWLRQ-<$1*-2+0*82
'-,1/0$2-:$1*(&+2(3XVDQ1DWO8QLY
8QLYRI0LVVRXUL.DQVDV&LW\
5
+\SRWKDODPLF2UH[LQ+\SRFUHWLQQHXURQV
DUHSUHIHUHQWLDOO\UHFUXLWHGGXULQJGUXJVHHNLQJ&RPSDULVRQ
ZLWKQDWXUDOUHZDUGVHHNLQJ50$57,1)$5'21*
&$89,70.(55):(,667KH6FULSSV5HV,QVW
4
9LUDOPHGLDWHGWUDQVIHURI'5($''
UHFHSWRUVUHYHDOVDFRUWLFRVWULDWDOSDWKZD\LQYROYHPHQW
LQPRWLYDWLRQIRUFRFDLQHVHOIDGPLQLVWUDWLRQ.$
.(567(77(5-)1(80$,(560)(5*8621&WU
)RU,QWHJUDWLYH%UDLQ5HVHDUFK6HDWWOH&KLOGUHQ¶65HV,QVW
8QLYRI:DVKLQJWRQ8QLYRI:DVKLQJWRQ
5
/HSWLQLQWKHYHQWUDOWHJPHQWDODUHD
LQKLELWVFRFDLQHLQGXFHGFRQGLWLRQHGSODFHSUHIHUHQFHLQ
FRFDLQHVHOIDGPLQLVWUDWLRQWUDLQHGUDWV=<28%:$1*
/27926-55:,6(1,'$,531,+'++67HPSOH8QLY
5
3HULSKHUDOQHXUDOPHFKDQLVPVRI+7
LQKLELWLRQLQFRFDLQHLQGXFHGEHKDYLRUDODFWLYLW\6.,0+
.,0(-$1*0<(2'.,0%/((&<$1*'DHJX
+DDQ\8QLY
5
5HJXODWLRQRIVHURWRQLQFLUFXLWVWKURXJK
KWFUHFHSWRUDQGJDEDPHGLDWHGQHWZRUNVGXULQJFRFDLQH
ZLWKGUDZDOLQGXFHGDQ[LHW\&&5$,*(7HPSOH8QLY6FK
RI0HGLFLQH'HSWRI3KDUPDFRO
5
(IIHFWVRIFRFDLQHVHOIDGPLQLVWUDWLRQRQ
DVWURF\WHVLQWKHQXFOHXVDFFXPEHQV.-5(,661(5
+$%2*(5375$13:.$/,9$60HG8QLY6RXWK
&DUROLQD
5
/RQJODVWLQJHIIHFWRIFKURQLFFRFDLQHRQ
FHUHEUDOPHWDEROLFIXQFWLRQLQUKHVXVPDFDTXHPRQNH\V-
13257(5'0,1+$6%-/235(67,-&35,&(.
*8516(<&:%5$'%(55<8QLYRI3LWWVEXUJK8QLYRI
3LWWVEXUJK8QLYRI3LWWVEXUJK8QLYRI3LWWVEXUJK
5
/RFRPRWRUVHQVLWL]DWLRQWRFRFDLQHXVLQJ
DWZRLQMHFWLRQSURWRFROUHTXLUHVHXNDU\RWLFHORQJDWLRQ
IDFWRUNLQDVH().PHGLDWHGWUDQVODWLRQDOFRQWURO6/
:,6(0$1$*5<$=$129-57$</25$&1$,51
<DOH8QLY80'1-5:-06
6
7KHUROHRIDPLFUR51$PL5
LQUHJXODWLQJWDUJHWJHQHH[SUHVVLRQDQGFRFDLQHVHOI
DGPLQLVWUDWLRQLQUDWV50%$67/(133(17.2:6.,
01785.0'$'$06$/%(5*(513(5521(
%,==2=(52-/1(,6(:$1'(5$UL]RQD6WDWH8QLY
$UL]RQD6WDWH8QLY8QLYRI1HZ0H[LFR
3267(5
6WLPXODQW'UXJ$EXVH1HXUDODQG%HKDYLRUDO
&RQVHTXHQFHV
6
8QLTXHDQGFRPPRQQHXURFRJQLWLYH
HIIHFWVRIRSLDWHDQGVWLPXODQWDGGLFWLRQREVHUYHGLQ
SURWUDFWHGDEVWLQHQFH-/9$66,/(9$.%2=*8129
51$6/('1,.29$,5$<129*9$6,/(98QLY,OOLQRLV
&KLFDJR%XOJDULDQ$GGLFWLRQV,QVW
6
'RXEOHGLVVRFLDWLRQRIVWLPXODQWDQG
RSLDWHDGGLFWLRQRQUHZDUGVHQVLWLYLW\DQGORVVDYHUVLRQ:
$+1*9$6,/(9-5%86(0(<(5-..586&+.(
-9$66,/(9$,QGLDQD8QLY%ORRPLQJWRQ8QLYRI,OOLQRLV
&KLFDJR%XOJDULDQ$GGLFWLRQV,QVW8QLYRI,OOLQRLV
&KLFDJR
6
0HWKDPSKHWDPLQHGHSHQGHQWLQGLYLGXDOV
VKRZDWWHQXDWHGFLQJXODWHDFWLYLW\GXULQJULVNWDNLQJ
GHFLVLRQPDNLQJ-/*2:,1$&0$<-/67(:$57
70)/$*$1033$8/868QLYRI&DOLIRUQLD6DQ
'LHJR
6
(IIHFWVRIDPSKHWDPLQHRQLPSXOVLYHOLNH
EHKDYLRUDQGJHQHH[SUHVVLRQLQ/HZLVDQG)LVFKHU
UDWV39+2/0(6-0$&.,//232(.(/('2%
6$'/(55:$/6+:781*-*529(6&+$30$11
56&,2/,128QLY*HRUJLD
6
6WUHVVLQGXFHGLQFUHDVHVLQH[WUDFHOOXODU
VHURWRQLQLQWKHYHQWUDOKLSSRFDPSXVLVDWWHQXDWHGLQUDWV
IROORZLQJDPSKHWDPLQHZLWKGUDZDO+/,-(+$66(//-
/6&+2//0-:$77.-5(11(5*/)2567(5
8QLY6RXWK'DNRWD6DQIRUG6FKRI0HG
6
2IIVSULQJRIPLFHVHOHFWHGIRUKLJK
OHYHOVRIPHWKDPSKHWDPLQHFRQVXPSWLRQVKRZLPSDLUHG
VSDWLDOPHPRU\UHWHQWLRQDQGUHGXFHGVHQVLWLYLW\WRHIIHFWV
RIPHWKDPSKHWDPLQHRQFLUFDGLDQDFWLYLW\5-2/6(1&
1$//(17-3+,//,36-.%(/.1$39'(5.$&+
-5$%(52UHJRQ+OWK6FL8QLY2UHJRQ+OWK6FL8QLY
2UHJRQ+OWK6FL8QLY3RUWODQG9$0HG&WU2UHJRQ+OWK
6FL8QLY2UHJRQ+OWK6FL8QLY2UHJRQ+OWK6FL8QLY
6
:LWKGUDZDOIURPGDPSKHWDPLQH
DOWHUV+7$UHFHSWRUH[SUHVVLRQLQWKHSUHIURQWDO
FRUWH[DQGLPSDFWVSHUIRUPDQFHRQWKHIRUFHGVZLPWHVW
5&0855$<-&+(%%$5'$6/2*$1*$
9$1&+,385$.(/<(*,/%(57.$+251(50HUFHU
8QLY6FK0HG0HUFHU8QLY6FKRI0HG
6
,QWHUDFWLRQEHWZHHQGHOD\DQG
HIIRUWRQDEHKDYLRUDOUHJXODWLRQWDVNLQUDWV(IIHFWVRI
PHWKDPSKHWDPLQH-%5,&+$5'6'5//2<'5HV
,QVW2Q$GGLFWLRQV5HV,QVWRQ$GGLFWLRQV8QLYDW%XIIDOR
6
%LQJHFRFDLQHLQGXFHGGH¿FLWVLQWUDFH
IHDUFRQGLWLRQLQJLQ&%/PLFH1HXUDODQGHSLJHQHWLF
VXEVWUDWHV-'5$<%8&..0/$77$/2+68
6
'DLO\WUHDWPHQWZLWKWKHGRSDPLQH
UHFHSWRUDJRQLVWSUDPLSH[ROHHQKDQFHVWKHFDUGLRYDVFXODU
DQGVXEMHFWLYHHIIHFWVRIFRFDLQHLQFRFDLQHGHSHQGHQW
YROXQWHHUV7)1(:721&1+$,/(5'/*$5=$
,,--0$+21(<,,,%D\ORU&RORI0HG
6
'LIIHUHQWLDOHIIHFWVRIFKURQLFFRFDLQH
DGPLQLVWUDWLRQRQVKRUWWHUPPHPRU\DQGUHYHUVDOVSDWLDO
OHDUQLQJLQ/HZLVDQG)LVFKHUUDWV$)2/((
$0%526,2/)$/*8$&,/1'(/2/028QLY6DQ
3DEOR&(83KDUP)DF81('3V\FKRORJ\)DF+RVS
*HQ&LXGDG5HDO
6
S
,QFUHDVHGDQ[LRW\SLFEHKDYLRUDQG
FKDQJHVLQR[\WRFLQYDVRSUHVVLQUHFHSWRUH[SUHVVLRQGXULQJ
DFXWHZLWKGUDZDOIURPH[WHQGHGFRFDLQHVHOIDGPLQLVWUDWLRQ
LQUDWV.7%52:153:$7(560*586&,2&0
5(,&+(/5(6((&RORI&KDUOHVWRQ7KH%HUOLQ0RXVH
&OLQ0HG8QLYRI6RXWK&DUROLQD
6
S
0HWKDPSKHWDPLQHLQGXFHGPHPRU\
GH¿FLWVDQGSHULUKLQDOFRUWH[10'$UHFHSWRUV0-
*,/675$3&05(,&+(/5(6((&RORI&KDUOHVWRQ
0HG8QLYRI6RXWK&DUROLQD
6
$GGLFWLRQKLVWRU\DQG&207JHQRW\SH
DUHLQGHSHQGHQWO\DVVRFLDWHGZLWKLPSDLUPHQWVLQOHDUQLQJ
DQGUHSODFLQJDUELWUDU\VWLPXOXVUHVSRQVHDVVRFLDWLRQV7
0&.,0&%2(77,*(58QLYRI1RUWK&DUROLQD$W&KDSHO
+LOO8QLYRI1RUWK&DUROLQD$W&KDSHO+LOO
3267(5
'UXJV$EXVHDQG$GGLFWLRQ*HQHWLFV
6
,QÀXHQFHRIWKH'5'6HU*O\IXQFWLRQDO
SRO\PRUSKLVPRQ>)@IDOO\SULGHELQGLQJLQWKHQXFOHXV
DFFXPEHQV&/52%(57621.,6+,%$6+,(/
1850,0$0$1'(/.(51('/21'218&/$
8&/$9HWHUDQV$IIDLUV*UHDWHU/RV$QJHOHV+OWK&DUH
6\VW8&/$
6
*HQHFRH[SUHVVLRQQHWZRUNVLQ
UDWEORRGLQUHVSRQVHWRFRFDLQHVHOIDGPLQLVWUDWLRQ
5'0$<),(/'*57,:$5,5*)2;.$
&811,1*+$08QLY7H[DV$XVWLQ8QLYRI7H[DV0HG%U
S
6
&DQQDELQRLGUHFHSWRUV*HQHVWUXFWXUHV
VQSVFQYVFSJLVODQGVPLFURUQDUHJXODWLRQDQGYDULDWLRQ
LQQHXURSV\FKLDWULFGLVRUGHUV+,6+,*852*8+/(
21$,9,8QLYRI<DPDQDVKL0RO1HXURELR%UDQFK1,'$
1,+:LOOLDP3DWHUVRQ8QLY
6
0HVROLPELFJHQHQHWZRUNVDVVRFLDWHG
ZLWKYROXQWDU\QLFRWLQHLQWDNHLQDGROHVFHQWLQEUHGUDWV
%06+$535/826*21*:/7$</25'+
*(6&+:,1'+&+(16*0$77$8QLY7HQQHVVHH
+OWK6FL&WU8QLYRI&DOLIRUQLD8QLY7HQQHVVHH+OWK6FL
&WU
6
'LIIHUHQWJHQHWLFIDFWRUVFRQWULEXWHWR
ZDLWLQJLPSXOVLYLW\DQGFKHFNLQJFRPSXOVLYLW\LQWKH&KRLFH
VHULDOUHDFWLRQWLPHWDVNLQPLFH$%;'UHFRPELQDQWLQEUHG
VWUDLQDQDO\VLV'167(3+(1666$1&+(=52,*(
6/58/7(1)03($5/*6&+80$11<3(1$
2/,9(58QLYRI6XVVH[8QLYRI6XVVH[,QVWRIFDQFHU
5HV,QVWRI3V\FKLDWU\.LQJV&RO8QLYRI6XVVH[
7
7KHLQWHUVHFWLRQRIJHQHVGULQNLQJ
EHKDYLRUVDQGQHXURFDUGLDFG\QDPLFV-)%8&.0$1
0(%$7(66%8<6.(71*8<(1%9$6&+,//20
-$/,/(9$6&+,//25XWJHUV8QLY
7
&KDUDFWHUL]DWLRQRIQHXURQVGHULYHG
IURPKXPDQL36&FDUU\LQJDGGLFWLRQULVNDVVRFLDWHG
JHQHYDULDQWV(21,$.$1*$72525$026-&
0225(-%$%,$5=-$7,6&+),(/'=33$1*53
+$575XWJHUV8QLY80'1-5REHUW:RRG-RKQVRQ0HG
6FK
7
*HQHWLFIDFWRUVFRQWUROQLFRWLQHVHOI
DGPLQLVWUDWLRQLQLVRJHQLFDGROHVFHQWUDWVWUDLQV6*
0$77$+&+(1.+,/(5($72//(<%06+$53
8QLY7HQQHVVHH+OWK6FL&QW8QLY7HQQHVVHH+OWK6FL
&QW
7
6HURWRQLQWUDQVSRUWHUDQGUHFHSWRU
JHQHVLPSDFWVLJQL¿FDQWO\RQQLFRWLQHGHSHQGHQFHWKURXJK
JHQHWLFLQWHUDFWLRQVLQERWK(XURSHDQDQG$IULFDQ$PHULFDQ
VPRNHUV=<$1*&6(1(9,5$71(6:$1*-=0$
7-3$<1(-:$1*0'/,8QLYRI9LUJLQLD8QLYRI
9LUJLQLD8QLYRI0LVVLVVLSSL0HG&WU6KDQ[L$JU8QLY
7
2[\FRGRQHLQGXFHGFRQGLWLRQHGSODFH
SUHIHUHQFHLQDQ/*-[60-))DGYDQFHGLQWHUFURVV
OLQH&'%5<$170$*8,'2/$.2/(10
*21=$/(6-'$9,66*23$/$.5,6+1$15&+(1*
$$3$/0(58QLY&KLFDJR
7
0LFUR51$VPL5VDQGDGGLFWLRQ
3KHQRW\SLFUHVSRQVHWRGUXJVRIDEXVHDQGDOFRKROLV
FRUUHODWHGZLWKWKHH[SUHVVLRQRINH\JHQHVLQYROYHGLQPL5
ELRJHQHVLVXVLQJDJHQHWLFDOO\GLYHUVHSRSXODWLRQ&6
'8%26(0.08//,*$15::,//,$06//8.0
+$05(8QLYRI71+OWK6FL&WU
7
*HQGHUVSHFL¿FGLIIHUHQFHVWRFRFDLQH
LQGXFHGVXSSUHVVLRQRIVDFFKDULQLQWDNHLQ2350$*
PLFH&*,03(5,260%$//$5'&6)5((79
58,=9(/$6&236*5,*6213HQQ6WDWH8QLY&RORI
0HG3HQQ6WDWH8QLY&RORI0HG
3267(5
&RFDLQHDQG2WKHU3V\FKRVWLPXODQWV7R[LFLW\
7
(VWUDGLROHQKDQFHVFRFDLQHLQGXFHG
VHQVLWL]DWLRQGLIIHUHQWO\LQPDOHDQGIHPDOHDGXOWUDWV.
+$1&2&.16,(*$/'/'2:(':$5'6681<
'RZQVWDWH
7
&RQGLWLRQHGWDVWHDYHUVLRQWRFRFDLQH
DQGHWKDQROLQPLFHEUHGIRUKLJKDQGORZPHWKDPSKHWDPLQH
GULQNLQJ15*8%1(5-0:+((/(5&5(('7
-3+,//,362UHJRQ+OWK6FL8QLY0HWKDPSKHWDPLQH
$EXVH5HV&HQWHUDQG3RUWODQG$OFRKRO5HV&WU3RUWODQG
9$0HG&WU
7
8SUHJXODWLRQRIFRQYHQWLRQDOSURWHLQ
NLQDVH&SKRVSKRU\ODWLRQDQGWUDQVORFDWLRQLQWKHUDWQXFOHXV
DFFXPEHQVIROORZLQJFRFDLQHDGPLQLVWUDWLRQ%;8(7
-%(55<0*82'-,1((),%8&+/0$2-4
:$1*80.&6FKRI0HG80.&6FKRI0HG
7
%XSUHQRUSKLQHSUHWUHDWPHQWUHGXFHV
PHWKDPSKHWDPLQHLQWDNHLQPLFHVHOHFWLYHO\EUHGWRGULQN
KLJKDPRXQWVRIPHWKDPSKHWDPLQH(&($67:22'7
-3+,//,362UHJRQ+OWK6FL8QLY0HWKDPSKHWDPLQH
$EXVH5HV&WU9HWHUDQV$IIDLUV0HG&WU
7
'LVUXSWHGJOXFRVHPHWDEROLVPLQFHQWUDO
ZKLWHPDWWHU¿EHUWUDFWVRIQRQKXPDQSULPDWHVIROORZLQJ
SURORQJHGFRFDLQHVHOIDGPLQLVWUDWLRQ+560,7+$
:,//,$067-5%(9(5,'*(0$1$'(5/-
3255,12:DNH)RUHVW6FKRI0HG
7
&RFDLQHLQGXFHGWUDQVFULSWRPHDQG
HSLJHQRPHFKDQJHVLQPRXVHQXFOHXVDFFXPEHQV-
)(1*0:,/.,1621;/,8')(5*86219
9,$/283.(11('<-.22&',$616+$2,
0$=(%/$,70$14/$3/$170&$+,///6+(1(
-1(67/(50RXQW6LQDL6FKRI0HG
7
%HKDYLRUDODQGQHXURFKHPLFDODIWHU
HIIHFWVRIGHVLJQHUGUXJVPHSKHGURQHDQGPHWK\ORQH%
'(1+2//$1'(5$/,1'(1652=29,2-$13(5b
(5.253,8QLYRI+HOVLQNL
7
+LJKSUHFLVLRQV\VWHPVJHQHWLFDQDO\VLV
RIEHKDYLRULQWKHGLYHUVLW\RXWEUHGPRXVHSRSXODWLRQ5
:/2*$15)52%/('215$*+83$7+<&$
3+,//,36-05(&/$903+,/,3-$%8%,(5-
--$<7:,/&2;'0*$77,0$/$1*6721&-
%8/70$+,%%6*$&+85&+,//(-&+(6/(5
7KH-DFNVRQ/DE8QLYRI7HQQHVVHH
S
7
0RGD¿QLOWUHDWPHQWFRXQWHUDFWV
PHWKDPSKHWDPLQHLQGXFHGJOLDODFWLYDWLRQLQPLFHVWULDWDO
WLVVXH05$,1(5,%*21=$/(=%*2,7,$93(6.,1
(*$5&,$5,//)-85%$129%,6$*12,1,1)$
,QVW'H,QYHVWLJDFLRQHV)DUPDFRORJLFDV,1,1)$8%$
&21,&(7,),%\1(8%$&21,&(78QLYRI$UNDQVDVIRU
0HG6FL
7
S7ZRHSLJHQHWLFPHFKDQLVPVUHJXODWH
SURG\QRUSKLQLQKXPDQEUDLQ$GDSWDWLRQVLQDOFRKROLFV,
%$=292.2121(1.2+:$7$1$%('9(5%((.
07$4,.$/.$66+'58,'7<$.29/(9$*<
%$.$/.,1'HSWRI3KDUPDFHXW%LRVFLHQFHV8SSVDOD
8QLY8QLY0HG&WU.DUROLQVND,QVW
7
/RZHUJOXWDPDWHDVVRFLDWHGJHQH
H[SUHVVLRQLQWKHDFFXPEHQVVKHOORIDOFRKROSUHIHUULQJ3
YV:LVWDUUDWVDFURVVSHULDGROHVFHQFH5/%(//:$
758,77=$52''-(72$/672165+$86(5:
-0&%5,'(,QGLDQD8QLY6FKRI0HG,QGLDQD8QLY6FK
RI0HG
7
0RGD¿QLOWUHDWPHQWSUHYHQWV
PHWKDPSKHWDPLQHWULJJHUHGHIIHFWVRQSURDSRSWRWLF%$;
DQGDQWLDSRSWRWLF%FOSURWHLQH[SUHVVLRQLQPLFHVWULDWXP
%*21=$/(=05$,1(5,(*$5&,$5,//,1
.5$6129$-/&$'(7)-85%$129%,6$*12
,1,1)$&21,&(78QLYRI$UNDQVDVIRU0HG6FL1,'$
,QWUDPXUDO3URJUDP,),%\1(8%$&21,&(7
7
S(IIHFWVRIGUXJSRO\FRQVXPHLQWKH
DWWHQWLRQDOSURFHVVHV,-526(0%(5**$5&,$$
58,=*$5&,$5&$67$f('$*$55,'250(1'2=$
&$55,//2'025$/(6$*8,/$5'3$=75(-2
+6$1&+(=&$67,//23=$5$7(*21=$/(68QLY
1DFLRQDO$XWRQRPD'H0H[LFR&ODYH&RQVXOWRUDSDUDOD
&LXGDGDQLD
8
S,PSDLUPHQWRIH[HFXWLYHIXQFWLRQV
LQSDWLHQWVZLWKSRO\GUXJKDELWV$58,=*$5&,$,
526(0%(5**$5&Ë$'025$/(6$*8,/$55
&$67$f('$*$55,'250(1'2=$&$55,//2
'3$=75(-2+6$1&+(=&$67,//23=$5$7(
*21=$/(681$0&ODYH&RQVXOWRUDSDUDOD&LXGDGDQLD
8
S(IIHFWVRI3RO\GUXJFRQVXPSWLRQ
RQYLVXDODQGYHUEDOPHPRU\WDVNV'%3$=75(-2
$58,=*$5&,$,526(0%(5**$5&,$5,
&$67$f('$*$55,'250(1'2=$&$55,//2'
'025$/(6$*8,/$53=$5$7(*21=$/(=%-
9$=48(=5$0,5(=+6$1&+(=&$67,//28QLY
1DFLRQDO$XWRQRPDGH0H[LFR&ODYH&RQVXOWRUD3DUD
OD&LXGDGDQLD$&8QLY1DFLRQDO$XWRQRPDGH0H[LFR
)DFXOWDGGH3VLFRORJLD
8
,QFUHDVHGKHDWVKRFNSURWHLQJHQH
H[SUHVVLRQLQWKHEUDLQVRIFRFDLQHUHODWHGIDWDOLWLHVPD\
EHUHÀHFWLYHRISRVWGUXJVXUYLYDODQGLQWHUYHQWLRQUDWKHU
WKDQH[FLWHGGHOLULXP00-2+1621-$'$9,'6.
0,&+(/+$8*+&-6&+0,'70-%$1121:D\QH
6WDWH8QLY6FKRI0HG:D\QH6WDWH8QLY6FKRI0HG
8QLYRI0LFKLJDQ6FKRI0HG
3267(5
$XGLWRU\6\VWHP$QLPDO0RGHO6\VWHPV
8
)UHTXHQF\UHVSRQVHRIDIIHUHQWQHXURQV
LQWKHSRVWHULRUODWHUDOOLQHV\VWHPRIODUYDO]HEUD¿VK'DQLR
UHULR-&/,$2$%$//22$.$1<(7,:KLWQH\/DE
)RU0DULQH%LRVFLHQFH8QLYHUVLW\RI)ORULGD
8
0XOWLSOHIXQFWLRQDODUHDVH[LVWZLWKLQ7H
DXGLWRU\FRUWH[LQUDW'$6725$&('&%,6+231
&+,**,16'/2/,9(5+/5($'<DOH8QLY8QLYRI
&RQQHFWLFXW8QLYRI&RQQHFWLFXW+OWK&WU
8
+RZGR]HEUD¿QFKHVSHUFHLYHWKH
LQIRUPDWLRQFRQWHQWRIVRFLDOYRFDOL]DWLRQV"-((/,()(
7+(81,66(18QLYRI&DOLIRUQLD%HUNHOH\
8
7HPSRUDOQRQOLQHDULWLHVLQWKH
XQDQHVWKHWL]HGUDEELWLQIHULRUFROOLFXOXV32%287526'
2.,06.8:$'$0$(6&$%,8QLYRI&RQQHFWLFXW
8QLYRI&RQQHFWLFXW+OWK&WU8QLY&RQQHFWLFXW
8
$K\SRWKHWLFDOUROHIRUHFKRORFDWLRQ
LQVKDSLQJOHIWKHPLVSKHULFVSHFLDOL]DWLRQIRUSURFHVVLQJ
VRFLDOFDOOVLQPXVWDFKHGEDWV6':$6+,1*721-
7,//,1*+$67*HRUJHWRZQ8QLY0HG&WU86&HQVXV
%XUHDX
8
6LQJOHQHXURPDVWVWLPXODWLRQLQLWLDWHV
PRWRUUHVSRQVHVLQODUYDO]HEUD¿VKZKLFKLQWXUQPRGL¿HV
DIIHUHQWQHXURQDFWLYLW\0+$(+1(/-&/,$28QLYRI
)ORULGD
8
&KDUDFWHULVWLFVRIQHXURQVLQWKHPHGLDO
QXFOHXVRIWKHWUDSH]RLGERG\RIWKHUDW)*$2$6
%(55(%,:HVW9LUJLQLD8QLY6FKRI0HG
8
$YLDQDGHQRDVVRFLDWHGYLUXVYHFWRUDV
DQHI¿FLHQWJHQHWUDQVIHUWRROLQWKHHPEU\RQLFDQGSRVW
HPEU\RQLFFKLFNHQEUDLQ50$768,':$7$1$%(
.\RWR8QLY.\RWR8QLY)DFRI0HG
8
$QDXGLWRU\FROOLFXORWKDODPRFRUWLFDO
EUDLQVOLFHSUHSDUDWLRQLQPRXVH%-6/$7(5.$
67(%%,1*6'$//$128QLYRI,OOLQRLV
8
&RQQHFWLRQVRIWKHKLQGEUDLQDXGLWRU\
QXFOHLRIWKHWXUWOH./:,//,6&(&$558QLY
0DU\ODQG
8
&KDUDFWHUL]DWLRQRIVSRQWDQHRXV(36&V
LQSULPDU\DIIHUHQW¿EHUVLQWKHWXUWOHDXGLWRU\SDSLOOD0(
6&+1(($-5,&&,6WDQIRUG8QLY6WDQIRUG8QLY
8
'LIIHUHQWLDOUROHVRIVDFFXOHDQGXWULFOHIRU
GLUHFWLRQDOKHDULQJDQGYHVWLEXODUVHQVHLQDYRFDOEHQWKLF
¿VK+DOREDWUDFKXVGLGDFW\OXV529$6&21&(/265
5)$<$5$0263/(''6:$/721&WUGH%LRORJLD
$PELHQWDO'HS%LRORJLD$QLPDO)DF&LrQFLDV8QLY
/LVERD,QVWIRU$GYDQFHG6WXGLHV0DULQH%LRO/DE
8
)XQFWLRQDOFKDUDFWHUL]DWLRQRIDXGLWRU\
SURFHVVLQJLQWKHVRQJELUGIRUHEUDLQ70(//,277)(
7+(81,66(18&%HUNHOH\8&%HUNHOH\
8
/RPEDUGHIIHFWUHYLVLWHG$PELHQWQRLVH
LQGXFHVLQGHSHQGHQWVKLIWVLQFDOOIUHTXHQF\DQGDPSOLWXGHLQ
KRUVHVKRHEDWV6%(548,677-,$1*:0(7=1(56
+$*(8&/$1RUWKHDVW1RUPDO8QLY8QLY7XHELQJHQ
8
$QDGDSWLYHVWLPXOXVVHDUFKPHWKRG
IRUUDSLGFKDUDFWHUL]DWLRQRIPXOWLGLPHQVLRQDOUHFHSWLYH
¿HOGVLQDXGLWRU\FRUWH[RIDZDNHDQLPDOV$&+$0%(56
.(+$1&2&.'%32//(<+DUYDUG0HG6FK
0DVVDFKXVHWWV(\HDQG(DU,Q¿UPDU\+DUYDUG0HG6FK
8
3V\FKRSK\VLFDOHVWLPDWHVRIDXGLWRU\
IUHTXHQF\VHOHFWLYLW\LQWKHFRPPRQPDUPRVHW&DOOLWKUL[
MDFFKXV06260$16.,;:$1*-RKQV+RSNLQV8QLY
6FKRI0HG
8
6RQJGLVFULPLQDWLRQDELOLW\RIMXYHQLOH
DQGDGXOW]HEUD¿QFKHV*1$58/$$-29$/(.,&-
+(5%675+$+1/26(5,QVW)RU1HXURLQIRUPDWLFV
,QVW)RU1HXURLQIRUPDWLFV8QLYRI=XULFKDQG(7+=XULFK
:LQWHUWKXUHUVWUDVVH
9
,QWHUDXUDO/HYHO'LIIHUHQFHWXQLQJLQ
DXGLWRU\FRUWH[RIWKHKXPDQDQGWKHUDW1&+,**,16
'$6725$&(6$0&/$8*+/,10$(6&$%,*
&67(&.(5+/5($'8QLYRI:DVKLQJWRQ8QLY
RI&RQQHFWLFXW<DOH8QLY8QLYRI:DVKLQJWRQ8QLYRI
&RQQHFWLFXW8QLYRI&RQQHFWLFXW
9
$QWHULRUHFWRV\OYLDQFRUWH[OHVLRQVLQWKH
FDWGLVUXSWDXGLWRU\EXWQRWYLVXDORULHQWDWLRQEHKDYLRUV+
-,$1*%(67(,1-*0&+$)),(:DNH)RUHVW8QLY
6FKRI0HG
9
7KHGHWHFWLRQDQGFRUWLFDOHQFRGLQJRI
DPSOLWXGHPRGXODWLRQLQIUHHO\PRYLQJJHUELOV*:+2<7
92175$33%1%85$1016(03/('+6$1(6
1HZ<RUN8QLY
S
9
%ULGJLQJWKHJDS
0DJQHWRHQFHSKDORJUDSK\LQJXLQHDSLJUHYHDOVUDSLG
DXGLWRU\FRUWLFDODGDSWDWLRQWRVWLPXOXVVWDWLVWLFV-/,1'(1
0&+$,7$'(&+(9(,*1e*%&+5,67,$1621
8QLY&ROO/RQGRQ&156
9
&RQWH[WXDODQGWHPSRUDOPRGXODWLRQRI
DXGLWRU\UHVSRQVHVLQWKHVRQJELUGIRUHEUDLQ./87=,9
'69,&$5,25XWJHUV6WDWH8QLY
9
$FRXVWLFFRXSOLQJDFURVVDOOLJDWRU
HDUGUXPV+6%,(50$1&(&$55%$<281*-
&+5,67(16(1'$/6*$$5'8QLYRI0DU\ODQG&RO3DUN
8QLYRI0DVVDFKXVHWWV/RZHOO8QLYRI6RXWKHUQ'HQPDUN
9
0RGXODWLRQRIWKH]HEUD¿VKHVFDSH
UHVSRQVHZLWKDQRSWLFDOO\FRQWUROOHGP*OX5&-
3$172-$-/(9,7=(<,6$&2))8QLYRI&DOLIRUQLD
%HUNHOH\8QLYRI&DOLIRUQLD%HUNHOH\
9
&RPSDULVRQLQ$RIURGHQWDQGFDW
PXOWL¿OWHUUHFHSWLYH¿HOGPRGHOV%6(<%2/'-6+,+3
+8//(77&$7(1&,2&6&+5(,1(58QLYRI&DOLIRUQLD
6DQ)UDQFLVFR
9
*HVWDWLRQDOFRFDLQHH[SRVXUHDOWHUV
PDWHUQDOSHUFHSWLRQKXPDQDQGSUHIHUHQFHURGHQWRI
LQIDQWFULHVSRWHQWLDOO\WKURXJKDPDWHUQDOVKLIWLQVHQVLWLYLW\
WRDFRXVWLFSURSHUWLHVRIFULHV(7&2;.0*5(:(1
36=(6.,1'&5=2*+%<0-5$'&/,))(.
*$5%(5:7$7(.*/$=(-0-2+1681&&KDSHO
+LOO/HYLQH&KLOGUHQ¶V+RVSDW&DUROLQDV0HG&WU81&
&KDSHO+LOO
9
'H¿FLWVLQDXGLWRU\REMHFWORFDOL]DWLRQ
LQVFKL]RSKUHQLDDQGWKHLUUHODWLRQZLWKDXGLWRU\YHUEDO
KDOOXFLQDWLRQV/0$/%$)(55$5$0+$860$11-
/(:$/'*$'((5$8648,18QLYRI6RXWK)ORULGD
'XUKDP8QLY5XKU8QLY8QLYRI6RXWK)ORULGD
9
S
0LVPDWFKQHJDWLYLW\DQG3
LQFRUWLFDODXGLWRU\HYRNHGSRWHQWLDOVLQDZDNHUDWV
2SSRUWXQLWLHVIRUSUHFOLQLFDOHYDOXDWLRQRIGUXJVZLWKSUR
FRJQLWLYHSRWHQWLDO$$+1$28++8<60$16:
'5,1.(1%85*-DQVVHQ5'3KDUPDFHXW&RPSDQLHVRI
-RKQVRQ-RKQVRQ
9
&RUHDXGLWRU\FRUWH[RIWKHFDWUHYHDOHG
XVLQJKLJK¿HOGI05,$-0&0,//$1&/+$//6*
/20%(5:HVWHUQ8QLY5HDFK+HDOWKFDUH
:
$XGLWRU\FRUWH[LQWULQVLFSURSHUWLHV
GLVSOD\DEULHIVHQVLWLYHSHULRGWRPLOGKHDULQJORVV70
02:(5<9&.27$.'+6$1(61HZ<RUN8QLY
9
$GDSWLYHFRQWURORIWKHVRQDUEHDP
SDWWHUQDQGSLQQDSRVLWLRQE\WKHHFKRORFDWLQJEDWLQD
FRPSOH[HQYLURQPHQW/.5,6+1$10-:2+/*(087+
&)02668QLY0DU\ODQG
:
5HIUDFWRU\HIIHFWVDQGGLVWULEXWLRQRI
WKH1HYHQWUHODWHGSRWHQWLDOLQH[SHULHQFHGFRFKOHDU
LPSODQWSDWLHQWV&'&2:3(560,7+-*5((1+
0$(66(10%$1&($1(:0$1'DOKRXVLH8QLY1RYD
6FRWLD+HDULQJDQG6SHHFK&HQWHUV&DSLWDO+OWK'LVWULFW
9
5HVSRQVHVRIIHUUHWIURQWDOFRUWH[
QHXURQVLQDORQJWHUPDXGLWRU\PHPRU\WDVN3<,1-
)5,7=66+$00$8QLY0DU\ODQG
9
*DSMXQFWLRQVPD\UHGXFHUHVSRQVH
ODWHQF\WLPLQJDQGYDULDELOLW\LQWKHELJEURZQEDWDXGLWRU\
EUDLQVWHP$:+((/(5-5%$5&+,-$6,00216-
(*$8'(77(%URZQ8QYLHUVLW\
3267(5
$XGLWRU\6\VWHP'LVHDVH3DWKRORJ\DQG'UXJV
3267(5
$XGLWRU\6\VWHP+XPDQDQG3ULPDWH5HVSRQVHVDQG
2UJDQL]DWLRQ
9
'\VIXQFWLRQDOOHDUQLQJ:KDWKDSSHQV
LQWKHGRUVDOFRFKOHDUQXFOHXVZKHQRQHJHWVWKHDQVZHUWR
DQDFRXVWLFDOO\FXHGTXHVWLRQZURQJ"&':22'<8&/$
0HG&QWU13,
9
6SRQWDQHRXVDFWLYLW\LQWKHDXGLWRU\
V\VWHPIROORZLQJXQLODWHUDOKHDULQJORVV&+3$56216
&-%52:1(6&+(1-:025/(<8QLYRI:HVWHUQ
6\GQH\8QLYRI6\GQH\
9
9RZHODQGWRQHSURFHVVLQJDV\PPHWULHV
LQDXWLVWLFDQGW\SLFDOO\GHYHORSLQJFKLOGUHQ--(1.,16
,,,.)+(,.(1/$&251(:/%/$6.(<6(
/(9<6$4$60,(+.0&$1121-&('*$57
3/52%(5767KH&KLOGUHQ¶V+RVSRI3KLODGHOSKLD7KH
&KLOGUHQ¶V+RVSRI3KLODGHOSKLD
S
:
5HVFXHRIKHDULQJDQGYHVWLEXODU
IXQFWLRQLQGHDIPLFHXVLQJDQWLVHQVHROLJRQXFOHRWLGHV0/
+$67,1*6--/(17=)0-2'(/.$$-+,15,&+
'0'8(//,)5,*21*%$=$1.(0&&$))5(<
+)$55,60-63$/,77$5RVDOLQG)UDQNOLQ8QLYRI
0HGDQG6FL/RXLVLDQD6WDWH8QLY+OWK6FL&WU,VLV
3KDUPDFHXWLFDOV
:
$VVHVVPHQWRIWKHIUHTXHQF\OLPLW
RISKDVHORFNLQJDWWKHURXQGZLQGRZLQKXPDQ(
9(56&+227(1&'(6/229(5(3;-25,68QLYRI
/HXYHQ8QLYRI/HXYHQ
:
%HKDYLRUDOFRUUHODWHVRIVSLNHWLPLQJ
SUHFLVLRQLQSULPDWH$GXULQJDQDPSOLWXGHPRGXODWLRQ
GHWHFWLRQWDVN-''2:1(501,:$--2+1621.
2¶&2112506877(58&'DYLV
:
7HPSRUDOO\VSHFL¿F((*FRPSRQHQWV
FRUUHODWHZLWKSHUFHLYHGDQWLFLSDWLRQDQGWDVNHQJDJHPHQW
/+21*-0:$/=36$-'$&ROXPELD8QLY
:
(IIHFWVRIWKHVWUXFWXUHRIWRQHVHTXHQFH
RQWKHSURFHVVLQJRIWRQHRPLVVLRQLQPXVLFLDQVDQG
QRQPXVLFLDQV.21200$768+$6+,70,0$+
)8.8<$0$&$/70$11&DUHHU3DWK3URPRWLRQ8QLW)RU
<RXQJ6FLHQWLVWV+XPDQ%UDLQ5HV&HQWHU.\RWR8QLY
9
S&KDUDFWHUL]DWLRQRI9*OX7SRVLWLYH
D[RQWHUPLQDOVLQWKHUDWPHGLDOJHQLFXODWHERG\6(+
.2%(5(/%$57/(7760*$5'1(53XUGXH8QLY
3XUGXH8QLY
9
7KHHDUO\RQVHWRIR[LGDWLYHVWUHVV
SURFHVVHVLQWKHRUJDQRI&RUWLDIWHULQWHQVHQRLVHH[SRVXUH
'752,$1,*0$8/8&&,6/0(5$020'(
63,5,72$5)(721,,QVW3K\VLRO8QLY&DWWROLFD6FK
RI0HG,QVW3K\VLFV8QLY&DWWROLFD6FKRI0HG,QVW25/
8QLY&DWWROLFD6FKRI0HG
:
1HXURPDJQHWLFVLJQDWXUHVRIVHJUHJDWLRQ
LQFRPSOH[DFRXVWLFVFHQHV67(.,&3$<1(7'
*5,)),7+60&+$,78QLY&RO/RQGRQ8QLY&RO
/RQGRQ,QVWRI1HXURVFL
;
$XGLWRU\HYRNHGSRWHQWLDO$(3
DPSOLWXGHLVFRXSOHGWRVORZZDYHSKDVHGXULQJKXPDQVORZ
ZDYHVOHHS-/,/-(6+$16/0$<51:(,6=66
'$/$/8QLYRI.RQVWDQ]8QLYRI)UHLEXUJ8QLYRI7UHQWR
:
6LPXOWDQHRXVUHSUHVHQWDWLRQRIWDVN
FRQWH[WDQGVWLPXOXVLGHQWLW\LQWKHKXPDQDXGLWRU\FRUWH[$
)/,1.(51(&521(57.1,*+78QLYRI&DOLIRUQLD
%HUNHOH\-RKQV+RSNLQV8QLY8QLYRI&DOLIRUQLD%HUNHOH\
;
0HFKDQLVPVXQGHUO\LQJWKHSHUFHSWLRQRI
WKH)UDQVVHQLOOXVLRQLQWKHLQIHULRUFROOLFXOXVRIWKHEHKDYLQJ
QRQKXPDQSULPDWH/&3238/,1$=5$-$/$<<$1
8QLY:LVFRQVLQ8QLYRI:LVFRQVLQ0DGLVRQ
:
'LYHUVHVWUDWHJLHVIRUHQFRGLQJVWLPXOXV
GXUDWLRQLQSULPDWHDXGLWRU\FRUWH[%-0$/21(%
+6&277016(03/(8&6)6FKRI0HG/DERI
1HXURSV\FKRORJ\1,+1,0+1HZ<RUN8QLY
;
1HXUDOFRUUHODWHVRI'HXWVFK¶VVSHHFK
WRVRQJLOOXVLRQ0+<0(56&/,8$6&+8/=(0
<281*5(0,//0$1<RUN1HXURLPDJLQJ&HQWUH8QLY
RI<RUN'HSWRI3V\FKRORJ\8QLYRI<RUN
:
,QYHVWLJDWLQJWKHQHXUDOEDVLV
RIWKHWDEXUVWVWLPXODWLRQRQDXGLWRU\SHUFHSWLRQRI
HPRWLRQDOYRFDOLVDWLRQV=.$*1(:0%$1,66<&
0&*(77,*$19:$/6+6.6&2778&/,QVWRI
&RJQLWLYH1HXURVFL8QLY&RO/RQGRQ
;
7KHFDXVDOUROHRIWKHLQIHULRUFROOLFXOXV
LQSHUFHSWLRQ(IIHFWVRIHOHFWULFDOVWLPXODWLRQRQIUHTXHQF\
GLVFULPLQDWLRQLQSULPDWHV'63$*(6'5266-0
*52+'XNH8QLY
:
&RGLQJRIPHORGLF*HVWDOWLQKXPDQ
DXGLWRU\FRUWH[$6&+,1'/(50+(5'(1(5$
%$57(/6&WU)RU,QWHJUDWLYH1HXURVFLHQFH8QLYRI
7ELQJHQ3V\FKLDWULF8QLY+RVSLWDO8QLYRI=ULFK0D[
3ODQFN,QVWIRUELRORJLFDO&\EHUQHWLFV+LJK¿HOG0DJQHWLF
5HVRQDQFH&WU
:
+XPDQSV\FKRSK\VLFVRIDQDXGLWRU\
IUHTXHQF\FRQWRXUGLVFULPLQDWLRQWDVN$6/,8$
&5220-,*2/'<(&2+(18QLYRI3HQQV\OYDQLD
8QLYRI3HQQV\OYDQLD
:
5HJLRQVLQKXPDQDQWHULRUDXGLWRU\FRUWH[
H[KLELWSLWFKVHOHFWLYHUHVSRQVHVDFURVVDZLGHUDQJHRI
QDWXUDODQGV\QWKHWLFVRXQGV691250$1+$,*1(5(
-0&'(502771.$1:,6+(50,71HZ<RUN8QLY
:
$QRQOLQHDUG\QDPLFDOV\VWHPVDSSURDFK
WRSLWFKSHUFHSWLRQ./(58'-&.,0(:/$5*(
)ORULGD$WODQWLF8QLY
:
6WDELOLW\RIFRQVRQDQWSLWFKLQWHUYDOV
LQDQRQOLQHDURVFLOODWRUQHWZRUNPRGHO-&.,0(:
/$5*()ORULGD$WODQWLF8QLY
:
7KHWLPHFRXUVHRIWKHQHXUDOUHVSRQVHWR
HIIRUWIXOOLVWHQLQJLQVSHHFKFRPSUHKHQVLRQ-(3((//(
(62+2*/80+'$9,68QLYRI3HQQV\OYDQLD05&
&RJQLWLRQDQG%UDLQ6FL8QLW
:
8SSHUIUHTXHQF\OLPLWRISKDVHORFNLQJLQ
KXPDQV,PSOLFDWLRQVIURPELQDXUDOKHDULQJ3;-25,6(
9(56&+227(1.8/HXYHQ
:
7KHEXGJHULJDUDVDPRGHOIRUKXPDQ
GHWHFWLRQRIWRQHVLQQRLVH/+&$51(<.$%5$06-
0$2'6&+:$5=),'52%28QLY5RFKHVWHU%RVWRQ
8QLY
:
0HDVXULQJREMHFWUHODWHGUHVSRQVHVWR
PLVWXQLQJRIFRPSOH[KDUPRQLFVWLPXOLLQLQIDQWDXGLWRU\
FRUWH[XVLQJ((*1$)2//$1'%(%87/(5/-
75$,1250F0DVWHU8QLY
;
6SHFWUDODQGWHPSRUDODFRXVWLFIHDWXUHV
PDSVXE¿HOGVLQKXPDQDXGLWRU\FRUWH[$0/($9(5
-35$86&+(&.(5*HRUJHWRZQ8QLY0HG&WU
*HRUJHWRZQ8QLY
;
6SDWLDODUHDVLQKXPDQDXGLWRU\FRUWH[
DUHGLIIHUHQWLDOO\PRGXODWHGE\PRWRUHIIHFWRUWDVN$
,6(1%(5*.6$%(5,*+,&.2.8&,UYLQH8&,UYLQH
8&,UYLQH
;
$QHZDXGLWRU\VDOLHQFHPRGHOSUHGLFWV
KXPDQMXGJPHQWV*:&2775(//7768&+,'$
8&6'8&6'
;
)XQFWLRQDOFRQQHFWLYLW\DQDO\VLVLQ
H[SHUWEDOOHWGDQFHUV,VUHVWLQJVWDWHDVVRFLDWHGZLWKSUH
60$DFWLYLW\"/.3<115-%$5&7,//-);
'(628=$<RUN8QLY
3267(5
0XOWLVHQVRU\3URFHVVLQJ1HXUDO&LUFXLWV,
;
9LVXDOSURMHFWLRQVWRDXGLWRU\DQWHULRU
HFWRV\OYLDQVXOFXVLPSOLFDWLRQVIRUPRGXODWRU\YLVXDO
DXGLWRU\LQWHUDFWLRQV-.58(*(5),67(5=3
%$51(77:+/((7$+$&.(7707:$//$&(
;
6XSHU¿FLDOOD\HUVRIWKHVXSHULRU
FROOLFXOXV3XUHO\YLVXDORUPXOWLVHQVRU\"'*+26(=
3%$51(7707:$//$&(9DQGHUELOW8QLY9DQGHUELOW
8QLY
;
9*OX7SURWHLQH[SUHVVLRQLQVHQVRU\
DQGPXOWLVHQVRU\FRUWLFDOUHJLRQVRIWKHFDW7$+$&.(77
-.58(*(5),67(507:$//$&(9DQGHUELOW8QLY
;
0XOWLVHQVRU\LQWHJUDWLRQLVUHODWHGWR
FKDQJHVLQQHXURQDOUHVSRQVHUHOLDELOLW\LQDZDNHDQLPDOV
'.6$5.2$51,',))(507:$//$&(9DQGHUELOW
8QLY
;
6KDSHVDQGVRXQGV$QH[SORUDWLRQRI
DXGLRYLVXDOFURVVPRGDOLW\6+266$,18QLYRI7H[DV$W
'DOODV
;
9LVXDOUHVSRQVHVLQDUHD'=RI
FRQJHQLWDOO\GHDIFDWV5/$1'&635(1*(53
%$80+2))3+8%.$-7,//(,16/20%(5$
.5$/+DQQRYHU0HG6FK+DQQRYHU0HG6FK-RKDQQ
:ROIJDQJ*RHWKH8QLY+RVS:HVWHUQ8QLY
;
$FRXVWLFWH[WXUHVDQGYLVXDOPRWLRQ
DFWLQFRQFHUW0HWDPRGDOSODVWLFLW\REVHUYHGZLWK
0(*1=,/%(53&,8&,8$*5$0)25799$1
:$66(1+29(&($'69,%01HXURVSLQ&WU3DULHWDO
3URMHFW7HDP,15,$6DFOD\,OHGH)UDQFH,16(508
&RJQLWLYH1HXURLPDJLQJ8QLW8QLY3DULV6XG&RJQLWLYH
1HXURLPDJLQJ8QLW
;
&URVVPRGDOSODVWLFLW\RIH[FLWDWRU\
V\QDSVHVLQDXGLWRU\FRUWH[IROORZLQJYLVXDOGHSULYDWLRQ(
53(7586+/((-RKQV+RSNLQV8QLY-RKQV+RSNLQV
8QLY
S
;
(IIHFWVRILVRÀXUDQHRQPXOWLSOHVHQVRU\
DQGV\QDSWLFSDWKZD\VLQDXGLWRU\FRUWH[$5$=%0
.5$86(60*5$'<0,%$1.68QLYRI:LVFRQVLQ
;
5HVWLQJVWDWHIXQFWLRQDOFRQQHFWLYLW\
XVLQJYLVXDODQGDXGLWRU\VHHGUHJLRQVUHYHDOV
FRPSOHPHQWDU\ODWHUDOSUHIURQWDOFRUWLFDOQHWZRUNV'&
620(56/.21*6:0,&+$/.$0/526(1
%*6+,11&811,1*+$0%RVWRQ8QLY%RVWRQ8QLY
%RVWRQ8QLY0DUWLQRV&WUIRU%LRPHG,PDJLQJ%RVWRQ
8QLY%RVWRQ8QLY
<
S'RQHXUDOFLUFXLWVLQYROYHGLQOHDUQLQJD
GDQFHRYHUPRQWKVFRQWLQXHWRVKRZLQFUHDVHGDFWLYDWLRQ"
5-%$5-)'(628=$<RUN&WU)RU9LVLRQ5HV<RUN
&WU)RU9LVLRQ5HV
<
1HXUDODXGLRYLVXDOUHSUHVHQWDWLRQV
RIVSDFHLQVHQVRU\DQGKLJKHUPXOWLVHQVRU\FRUWLFHV
752+(81233(1(<0D[3ODQFN,QVW)RU%LRO
&\EHUQHWLFV
<
3UHGLFWRUVRIPXOWLVHQVRU\LQWHJUDWLRQ
LQWKHDOHUWFDW$51,',))(5'.6$5.207
:$//$&(9DQGHUELOW8QLY
<
*DPPDRVFLOODWLRQVHYRNHGE\
PXOWLVHQVRU\VWLPXOLDUHDOWHUHGLQVFKL]RSKUHQLD'%
6721(%&2))0$1-67(3+(18QLY1HZ0H[LFR
0LQG5HV1HWZRUN
<
9LVXDOLQIRUPDWLRQLQDXGLRYLVXDOVSHHFK
SHUFHSWLRQVWURQJO\DIIHFWVVXSHULRUWHPSRUDOVXOFXVLQ
(QJOLVKVSHDNHUVPRUHWKDQLQ-DSDQHVHVSHDNHUV$Q
HIIHFWLYHFRQQHFWLYLW\DQDO\VLV-6+,12=$.,1+,52(
7<26+,2.$06$72.6(.,<$0$6DSSRUR0HG
8QLY6FKRI0HG$751HXUDO,QIRUPDWLRQ$QDO\VLV/DEV
.XPDPRWR8QLY
<
$XGLRYLVXDOWHPSRUDOLQWHJUDWLRQLQ
FKLOGUHQZLWKFRFKOHDULPSODQWV0*25,$&+,/26,*
6$1',1,'%855,67,7872,7$/,$12',7(&12/2*,$
6WHOOD0DULV6FLHQWL¿F,QVW,QVW,WDOLDQRGL7HFQRORJLD8QLY
RI)ORUHQFH
<
$XGLRYLVXDOLQWHJUDWLRQLQSHRSOHZLWKRQH
H\H660252/5+$55,6-.(67((9(6<RUN
8QLY7KH+RVSIRU6LFN&KLOGUHQ
<
$XGLRYLVXDOSKRQHWLFLGHQWL¿FDWLRQ
WUDLQLQJLPSURYHVPXOWLVHQVRU\VSHHFKSHUFHSWLRQDQG
LQFUHDVHVI05,UHVSRQVHVLQWKHVXSHULRUWHPSRUDOVXOFXV
'%$680$//,&.$51$7+06%($8&+$035LFH
8QLY8QLYRI7H[DV+OWK6FL&WU$W+RXVWRQ
<
3ULRUH[SRVXUHWRDPXOWLPRGDOOLJKWDQG
VRXQGVWLPXOXVHQKDQFHVHYRNHGUHVSRQVHWRWKDWVWLPXOXV
E\UDWVXSHULRUFROOLFXOXVQHXURQV'$&5$1(0$
&2//,167-+,1(6.03$7(&*5(')($510
&=58//$SSDODFKLDQ6WDWH8QLY
<
S$FWLYLW\LQVXSHULRUFROOLFXOXVRIDZDNH
PRYLQJUDWVHYRNHGE\WDFWLOHVWLPXODWLRQ$FIRVSLORW
VWXG\.%'$9,621'(&2%%$-5266,$0
/,77/(),(/'/6-21(60&=58//$SSDODFKLDQ
6WDWH8QLY$SSDODFKLDQ6WDWH8QLY$SSDODFKLDQ6WDWH
8QLY
<
$XGLWRU\VSHHFKGLPLQLVKHVJDPPD
EDQGUHVSRQVHVLQYLVXDOFRUWH[WRYLVXDOVSHHFK,0
6&+(3(563681;3(,6+%$80'<26+250
6%($8&+$038QLYRI7H[DV+OWK6FL&WUDW+RXVWRQ
%D\ORU&RORI0HG
S
3267(5
([WUDVWULDWH&RUWH[2UJDQL]DWLRQDQG&LUFXLWV
<
'HYHORSPHQWDOUHPRGHOOLQJRI
FRUWLFRFRUWLFDOIHHGIRUZDUGDQGIHHGEDFNFLUFXLWVLQIHUUHW
YLVXDOFRUWH[5.+$/,//%5$1'7-%/(9,77&LW\
&RORI1HZ<RUN*UDG&HQWHU&LW\8QLYRI1HZ<RUN
<
&RUWLFRFRUWLFDOFRQQHFWLRQEHWZHHQWKH
SULPDU\DQGODWHURPHGLDOH[WUDVWULDWHYLVXDOFRUWH[LQWKH
PRXVHDVLQJOHD[RQVWXG\652660/$5$0e('
%2,5(8475
<
$VSHFLDOL]HGDUHDLQSULPDWHOLPELF
FRUWH[IRUUDSLGSURFHVVLQJRIIDUSHULSKHUDOYLVLRQ+<8
7$&+$3/,1$-'$9,(659(50$0*3526$
0RQDVK8QLY0RQDVK9LVLRQ*URXS
<
7KHVSDWLDOGLVWULEXWLRQRIH[WUDVWULDWH
YLVXDODUHDVLQYLVXDOO\GHSULYHGPLFH0/$5$0((*
%521&+7,'%2,5(8475
<
7KHIXQFWLRQDOOLQNEHWZHHQDUHD07
DFWLYLW\DQGEHKDYLRUGXULQJDPRWLRQFRUUHODWLRQGHWHFWLRQ
WDVN$*2/=$53%2<5$=(3&22.0F*LOO8QLY
0F*LOO8QLY
<
$[RQLQLWLDOVHJPHQWRIS\UDPLGDOQHXURQV
RIDVVRFLDWLYHDQGFRPPLVVXUDOSURMHFWLRQIURPH[WUDVWULDWH
WRVWULDWHFRUWH[-/%8(12/23(=-&&+$5$-
/0(1',=$%$/=8%,$*$&5(%/(78QLY%DVTXH
&RXQWU\
<
([FLWDWRU\LQKLELWRU\EDODQFHLQ
LQWHUDUHDOFLUFXLWVRIPRXVHYLVXDOFRUWH[:<$1*<
&$55$648,//20%+22.6-1(5%211($+
%85.+$/7(5:DVKLQJWRQ8QLY0HG6FK:DVKLQJWRQ
8QLY0HG6FK-DQHOLD)DUP++0,:DVKLQJWRQ8QLY0HG
6FK
=
&KDQJHVLQ07UHODWHGGHFLVLRQ
FLUFXLWU\IROORZLQJUHYHUVLEOHLQDFWLYDWLRQRI9DQG9$
602/<$16.$<$6*/20%(557%251+DUYDUG
0HG6FK7KH8QLYRI:HVWHUQ2QWDULR
=
'LVVRFLDEOHFRUWLFDOSDWKZD\VIRU
G\QDPLFDQGVWDWLFIDFHV$FRPELQHG706I05,VWXG\'
3,7&+(59:$/6+%'8&+$,1(1,+1,0+8QLY&RO
/RQGRQ'DUWPRXWK&RO
=
$UROHIRUWKHSXOYLQDULQYLVXDOFRUWLFDO
SODVWLFLW\IROORZLQJOHVLRQVRI9LQHDUO\DQGDGXOWOLIH-$
%2851(&(:$51(5$XVW5HJ0HG,QVW
=
%RUGHURZQHUVKLSFRGLQJIRUIDFHDQG
QRQIDFHVLOKRXHWWHVLQHDUO\YLVXDOFRUWH[+..25
921'(5+(<'7-RKQV+RSNLQV8QLY-RKQV+RSNLQV
8QLY6FKRI0HG
=
2UJDQL]DWLRQRIQHXUDOUHVSRQVHVLQ
PDFDTXHDUHD9ZLWKRXWLQSXWIURP90&6&+0,'$
-3(7(56-76&+0,('75&6$81'(56$0$,(5
'$/(232/'(UQVW6WUQJPDQQ,QVW(6,)RU1HXURVFL
,Q&RRSHUDWLRQ:LWK0D[3ODQFN1,0+9DQGHUELOW8QLY
<
,QFUHDVHGDXGLRYLVXDOIXQFWLRQDO
FRQQHFWLYLW\WKURXJKWUDLQLQJLQDQDXGLRYLVXDOVHDUFKWDVN7
'$5'7+2/52<')&$59(55&2332/$1,+
<
7KHUHODWLRQVKLSRILQWUDDQG
LQWHUKHPLVSKHULFFRQQHFWLYLW\/0$*52830,6(5<
&/$0<3*,528'..12%/$8&++.(11('<
,16(5086WHP&HOOVDQG%UDLQ5HV,QVW
=
'HWDLOHGPRUSKRORJ\RIIHHGIRUZDUGDQG
IHHGEDFNQHXURQVLQDUHD9RISULPDWHYLVXDOFRUWH[VWXGLHG
ZLWKJHQHWLFDOO\PRGL¿HGUDELHVYLUXV9.%(5(=296.,,
57%251--1$66,+DUYDUG0HG6FK6DON,QVW
=
/RQJLWXGLQDOI05,VWXG\RIFRUWLFDO
GHYHORSPHQWLQ\RXQJPRQNH\V7-9$1*5227(/$
0((6210+-081.=.2857=,-$0296+21
1./2*27+(7,6/.,253(60D[3ODQFN,QVW)RU%LRO
&\EHUQHWLFV8QLYRI%LUPLQJKDP1HZ<RUN8QLY
=
1HXUDOERUGHURZQHUVKLSFRGLQJE\WKH
JOREDOFRQWH[WRIQDWXUDOVFHQHV-:,//,)25'5921
'(5+(<'7-RKQV+RSNLQV8QLY=DQY\O.ULHJHU0LQG
%UDLQ,QVW
3267(5
([WUDVWULDWH&RUWH[)XQFWLRQDO2UJDQL]DWLRQ
=
&RQWLQXRXVPDSSLQJRIPLUURUIDFH
URWDWLRQLQPDFDTXHLQIHULRUWHPSRUDOFRUWH[&/,17
6$72&3+81*07$1,)8-,1DWO<DQJ0LQJ8QLY
5,.(1*HRUJHWRZQ8QLY8QLYRI7RN\R*UDG6FKRI
)URQWLHU6FL:DVHGD8QLYHUVLW\)DFRI6FLDQG(QJLQ
=
&RUWLFDORUJDQL]DWLRQOLQNLQJREMHFW
IHDWXUHVDQGFDWHJRULHV76$72*8&+,'$0
/(6&52$57-.,7$=21202.$'$07$1,)8-,
5,.(1%UDLQ6FL,QVW8QLYRI&DOLIRUQLD7KH8QLYRI
7RN\R1DWO<DQJ0LQJ8QLY:DVHGD8QLY
=
'LYHUVLW\RIYLVXDOIHDWXUHVUHSUHVHQWHG
LQDIDFHVHOHFWLYHVXEUHJLRQRIPDFDTXHDQWHULRULQIHULRU
WHPSRUDOFRUWH[72:$.,09,'$/1$48(776$72
+&$7($868//0$107$1,)8-,72<27$&(175$/
5'/$%6,1&5,.(1%6,:HL]PDQQ,QVW7KH8QLYRI
7RN\R1DWO<DQJ0LQJ8QLY:DVHGD8QLY
=
&RPSXWDWLRQVLQSHULUKLQDOFRUWH[
WUDQVIRUPLPSOLFLWLQSXWLQWRDQH[SOLFLWIRUPDWGXULQJD
WDUJHWVZLWFKLQJWDVN03$*$11&58678QLYRI
3HQQV\OYDQLD
=
&RPSDULVRQVRIWKHVSDWLDOPDWUL[RI
IDFLOLWDWRU\VXE¿HOGVEHWZHHQPXOWLSOH9QHXURQVLQLQIDQW
PRQNH\V;7$2%=+$1**6+(1(/60,7+
,2+=$:$<0&+,128QLYRI+RXVWRQ129$
6RXWKHDVWHUQ8QLY2VDND8QLY
=
&RQVWUDLQWVRQFRUWLFDOSRSXODWLRQFRGLQJ
RIYLVXDOPRWLRQLQDUHD07IURPVPRRWKSXUVXLW6(
3$/0(5%/,8367,1621=:$1*/&26%251(
8QLYRI&KLFDJR8QLYRI&KLFDJR
=
+LHUDUFKLFDOSURFHVVLQJRIVLPSOHVKDSHV
LQUDWYLVXDOFRUWH[%9(50$(5&.(*9$1'(1
%(5*+)*(5,&++323'(%((&.8QLY/HXYHQ
=
([WUDFHOOXODUUHFRUGLQJVLQDZDNH
UDWODWHUDOYLVXDOFRUWH[UHYHDOWKHSUHVHQFHRIDQRYHO
H[WUDVWULDWHDUHD*9$1'(1%(5*+%9(50$(5&.(
)*(5,&+(<7(%528&./$5&.(16+323'(
%((&..8/HXYHQ.8/HXYHQ
$$
(IIHFWVRIFKROLQHUJLFUHFHSWRUDFWLYDWLRQ
DQGEORFNDGHLQ99DQG)()RIWKHDZDNHPDFDTXH
PRQNH\0$*,(6(/0$116*277+$5'7-
+(55(52/6'(/,&$72$7+,(/(1HZFDVWOH8QLY
8QLYRI6XQGHUODQG
$$
2ULHQWDWLRQDQLVRWURS\LQWKHVSDWLDO
PDWUL[RIIDFLOLWDWRU\VXE¿HOGVRI9QHXURQVLQPDFDTXH
LQIDQWV*6+(1%=+$1*;7$2(/60,7+,,,,
2+=$:$<&+,128QLYRI+RXVWRQ1RYD6RXWKHDVWHUQ
8QLY2VDND8QLY
$$
/RZIUHTXHQF\FRPSRQHQWRI/)3UHÀHFWV
EHKDYLRUDORXWFRPHVLQDUHDV9DQG9GXULQJDGHOD\HG
PDWFKWRVDPSOHWDVN0+8$5$1'5(,9'5$*2,
8QLY7H[DV+RXVWRQ0HG6FK
$$
5DSLGOHDUQLQJUHGXFHVQRLVH
FRUUHODWLRQVLQPDFDTXH9<:$1*9'5$*2,87
PHGLFDOVFKRRODW+RXVWRQ
$$
(IIHFWRIUHVWLQJVWDWHRQQHWZRUNFRGLQJ
GXULQJDEHKDYLRUDOWDVN6/($*/(0$16/(:<
:$1*9'5$*2,1HXURELRDQG$QDW8QLYRI7H[DV
+RXVWRQ0HG6FK8QLYGH%XHQRV$LUHV
$$
7KH¿QHVWUXFWXUHRI9UHFHSWLYH¿HOGV
$61$1'<726+$53((-+5(<12/'6-)
0,7&+(//6DON,QVW6DON,QVW
$$
5HWLQRWRSLFDQGIXQFWLRQDORUJDQL]DWLRQ
RIKXPDQDUHD9$&*$//(77,06(5(12*
&200,77(5,3)$7725,**$/$7,$72621,6
3,7=$/,68QLYRI%RORJQD%LUNEHFN8QLYRI/RQGRQ
8QLY*G¶$QQXQ]LR6DSLHQ]D8QLYRI5RPH/DERI
1HXURSV\FKRORJ\8QLYRI5RPHµIRUR,WDOLFR¶
3267(5
3URFHVVLQJRI&RQWUDVW
$$
&RPSOH[FHOOVLQSULPDWH9DQG9
DSSOLFDELOLW\RIWKHKLHUDUFKLFDOPRGHO05,%%27621
6/&/2+(57<-$0296+211DWO9LVLRQ5HV,QVW
$XVWUDOLDQ1DWO8QLY8QLYRI0HOERXUQH$XVWUDOLDQ1DWO
8QLY1HZ<RUN8QLY
$$ 3HUFHSWXDOOHDUQLQJRIFRQWUDVW
GLVFULPLQDWLRQ'HWULPHQWDOHIIHFWVRIURYLQJVDPSOHVDQG
ÀDQNHULQGXFHGLPSURYHPHQW;&+(106$1$<(,$
7+,(/(1HZFDVWOH8QLY
$$
7KHHIIHFWVRIUHSHWLWLYHWUDQVFUDQLDO
PDJQHWLFVWLPXODWLRQWRWKHWUDQVYHUVHRFFLSLWDOVXOFXVDQG
WKHUROHRIVSDWLDOIUHTXHQF\SURFHVVLQJ5(*$1$'(1
&508//,1-.(67((9(6<RUN8QLY
$$ 6WDWHDQGFHOOW\SHGHSHQGHQWFRQWUDVW
JDLQPRGXODWLRQLQPRXVH98.12%/,&+-$
&$5',1<DOH8QLY<DOH8QLY
$$ 9LVXDOVWLPXOLRI%ODFNDQG:KLWHVHW
WKHEUDLQLQGLIIHUHQWG\QDPLFVWDWHV';,1*&<(+-
*25'2156+$3/(<1HZ<RUN8QLY1HZ<RUN8QLY
+XQWHU&RO
$$
9FRQWDLQVFRORUVHOHFWLYHRULHQWDWLRQ
VHOHFWLYHDQGFRQMRLQWFRORURULHQWDWLRQVHOHFWLYHIXQFWLRQDO
GRPDLQV'-)(//(0$1+/,0$(5,.6621$
3$5$-8/,8QLY7H[DV0HG6FK8QLY7H[DV0HG6FK
$$ 3URELQJYLVXDOFKRLFHLQWKHPRXVHLQ
YLUWXDOUHDOLW\0.580,1.'+$55,60&$5$1',1,
8QLY&RO/RQGRQ,PSHULDO&RO
S
$$ (IIHFWRIWHPSRUDOIUHTXHQF\FRORUDQG
FRQWUDVWRQEHKDYLRUDOSHUIRUPDQFHDQGQHXURQDOSRSXODWLRQ
DFWLYLW\LQ9RIWKHEHKDYLQJPDFDTXH0$%(508'(=
'&285%21)%$57+(/(0<*60$6621,
9$1=(77$&156$L[0DUVHLOOH8QLY8QLY3DULV
'HVFDUWHV
$$ &RPSOH[FHOOVHQVLWLYLW\WRVSDWLDO
SKDVHLQFUHDVHVDWORZFRQWUDVWV0$+,(7$1(16/
&/2+(57<./,05,%%276211DWO9LVLRQ5HV,QVW
8QLYRI0HOERXUQH$XVWUDOLDQ1DWO8QLY
$$ (IIHFWVRI%DVDOIRUHEUDLQDFWLYDWLRQ
RQFRQWUDVWUHVSRQVHDQGRULHQWDWLRQWXQLQJLQWUHHVKUHZ
SULPDU\YLVXDOFRUWH[$%+$77$&+$5<<$-9(,75
.5(7=*5$,1(58QLYRI)ULERXUJ
$$ 30/6UHVSRQVHVWRFRQWUDVWPRGXODWHG
VHFRQGRUGHUPRWLRQ/%866,(5(667+20$6&
&$6$129$(FROH'¶2SWRPHWULH8QLY'H0RQWUHDO
%%
9LVXDOFRQWUDVWVHQVLWLYLW\LQWKHSUHVHQFH
RIDGMDFHQWVWLPXOXVHOHPHQWVLQUDWV''.85</26
<(7852)%8.+$5,-/$1=$%URRNO\Q&RO&81<
3267(5
%%
9DU\LQJGRWOLIHWLPHUHYHDOVGLVWLQFW
VSDFHWLPHVDPSOLQJWKUHVKROGVRI9(3UHVSRQVHVWRRSWLF
ÀRZ-')(6,$/7+20$652*,/025(0F*LOO
8QLY7KH3HQQV\OYDQLD6WDWH8QLY
%%
7KHYHQWUDODQWHULRURFFLSLWDO
VXOFXV$2&6YDQGLWVUHODWLRQWKHFDXGDOVXSHULRUWHPSRUDO
VXOFXVLQWKHKXPDQEUDLQ(6(*$/03(75,'(6
0RQWUHDO1HXURORJ,QVW
%%
(IIHFWVRIELRORJLFDOPRWLRQLQWKHFHUHEUDO
FRUWH[RIWKHSULPDWHEUDLQ95$260.,/,17$5,+(
6$9$.,)257+,$&00HG6FKRRO8QLYRI&UHWH
%%
$QHXUDOPRGHORIPRWLRQLQGXFHGERUGHU
RZQHUVKLSLQUDQGRPWH[WXUHGLVSOD\V2:/$<721(
0,1*2//$$<$='$1%$.+6+%RVWRQ8QLY%RVWRQ
8QLY
%%
5ROHRIYHVWLEXODUVLJQDOVLQGLVVRFLDWLQJ
VHOIPRWLRQDQGREMHFWPRWLRQLQPDFDTXHDUHD067G5
6$6$.,'($1*(/$.,*&'($1*(/,68QLYRI
5RFKHVWHU%D\ORU&RORI0HG8QLYRI5RFKHVWHU
%%
6HTXHQWLDOVWLPXOLUHYHDOGLVWLQFWYLVXDO
SURFHVVLQJGH¿FLWVLQDJLQJDQG$O]KHLPHU¶VGLVHDVH&-
'8))<5)(51$1'(=8QLY2I5RFKHVWHU0HG&WU
8QLY2I5RFKHVWHU0HG&WU
%%
7ZRGLVWLQFWYLVXDOPLFURFLUFXLWVUHTXLUHG
IRU¿JXUHJURXQGGLVFULPLQDWLRQLQÀLHV5*.(//(<-/
)2;-:$37(.$5&/$56(10$)5<(8&/$
++0,8QLY&RO/RQGRQ
%%
7KHLQGHSHQGHQWGHFOLQHRIPRWLRQDQG
REMHFWSURFHVVLQJDFURVVDJLQJDQG$O]KHLPHU¶VGLVHDVH0
6-$&2%&-'8))<8QLYRI5RFKHVWHU
%% 6XUURXQGVXSSUHVVLRQDFURVVQHXURQDO
FODVVHVLQDUHD07VXJJHVWVDQLQKLELWLRQVWDELOL]HGQHWZRUN
0$/23(60-$',7'$/%5,*+77-6(-12:6.,
*56721(56DON,QVW)RU%LRO6WXGLHV8QLYRI
&RLPEUD
S
%% 6HTXHQWLDOVWLPXOLUHYHDOWHPSRUDO
LQWHUDFWLRQVIRUSDWKLQWHJUDWLRQLQ067GQHXURQV:.
3$*(16$7207)52(+/(5&-'8))<8QLYRI
5RFKHVWHU.ZDQVHL*DNXLQ8QLY8QLYRI,RZD
%% 1HXUDOUHSUHVHQWDWLRQRIYLVXDOVWLPXOL
PRYLQJWUDQVSDUHQWO\LQVLPLODUGLUHFWLRQVLQFRUWLFDODUHD07
-;,$2;+8$1*8QLYRI:LVFRQVLQ0DGLVRQ
%% 5HFHSWLYH¿HOGFKDUDFWHULVWLFVRIYLVXDOO\
UHVSRQVLYHQHXURQVLQWKHWUHHVKUHZSXOYLQDUQXFOHXV
:'$1*630$67(5621-''$<%52:136
0$,5(0(%,&.)25'+03(75<8QLYRI/RXLVYLOOH
8QLYRI/RXLVYLOOH
%% 4XDQWLWDWLYHLQIHUHQFHRISRSXODWLRQ
UHVSRQVHSURSHUWLHVIURPPRWLRQLQGXFHGPDSVLQPDFDTXH
9DQG90-5$6&+0&+(16:8+'/8$
:52(%HLMLQJ1RUPDO8QLY6KDQJKDL,QVWIRU%LRO6FL
9DQGHUELOW8QLY
%% &RQWULEXWLRQRIVHOIPRYHPHQWFXHVLQ
067GGXHWRRSWLFÀRZDQGREMHFWPRWLRQ66()$7,06
0$'+$9('7<7(//:.3$*(&-'8))<1-
&2:$1-RKQV+RSNLQV8QLY8QLYRI5RFKHVWHU
%% 5HFHSWLYH¿HOGSODVWLFLW\DQGYLVXDO
DGDSWDWLRQ6*(36+7(,13-85,&$,7<8.,1&9$1
/((8:(17'$/%5,*+77KH6DON,QVWIRU%LRO6WXGLHV
5,.(1%UDLQ6FL,QVW8QLYRI/HLFHVWHU.DWKROLHNH8QLY
/HXYHQ
%% $FRUWLFDOPRGHORIVSHHGWXQLQJLQDUHD
07$<$='$1%$.+6+&--2+1621%RVWRQ8QLY
%RVWRQ8QLY
%% $PRGHOWKDWOHDUQVWRQDYLJDWHXVLQJ
JULGFHOOVDQGERXQGDU\YHFWRUFHOOVGULYHQE\RSWLFÀRZ
)5$8',(6(0,1*2//$0(+$66(/02&WU)RU
&RPSXWDW1HXURVFLDQG1HXUDO7HFKQRO&WURI([FHOOHQFH
IRU/HDUQLQJLQ(GXFDWLRQ6FLHQFHDQG7HFKQRO&(/(67
%RVWRQ8QLY
%% 6SDWLDOVSHFL¿FLW\DQGLQKHULWDQFHRI
DGDSWDWLRQLQWKHKXPDQYLVXDOV\VWHP6+$55,621-<
/$566215R\DO+ROORZD\8QLY/RQGRQ
&&
'LUHFWLRQVHOHFWLYHUHWLQDOJDQJOLRQ
FHOOVUHRULHQWWKHLUGLUHFWLRQDOSUHIHUHQFHIROORZLQJYLVXDO
VWLPXODWLRQ05,9/,1(7=,21::(,0%)(//(5
8&%HUNHOH\8QLYRI&KLFDJR
&&
$GDSWDWLRQUHGXFHVWKHSDWWHUQVHOHFWLYLW\
RI07QHXURQV&$3$77(56216:,66,*$.2+1
$OEHUW(LQVWHLQ&RORI0HG$OEHUW(LQVWHLQ&RORI0HG
&&
7KHQHXUDOQHWZRUNG\QDPLFVXQGHUO\LQJ
WKH0RWLRQ$IWHU(IIHFWLQ]HEUD¿VKODUYD93(5(=
6&+867(501289,$16$520$1273,(75,*
680%5(,QVW'H%LRORJLH'H/¶(FROH1RUPDOH6XSpULHXUH
&&
7KHKRUL]RQWDOV\VWHPFHOOVRIWKHOREXOD
SODWHLQ'URVRSKLODKDYHGHQGULWLFVXEUHJLRQVWKDWUHVSRQG
WR¿JXUHPRWLRQLQERWKWKHSUHIHUUHGDQGDQWLSUHIHUUHG
GLUHFWLRQVDJDLQVWDPRYLQJJURXQG-:$37(.$5-
/)2;0$)5<(8&/$+RZDUG+XJKHV0HG,QVW
8&/$
9LVXDO0RWLRQ1HXUDO0HFKDQLVPV
%%
7KHUROHRISUHGLFWLRQLQPRWLRQ
H[WUDSRODWLRQ0$.+2(,/83(55,1(7*6
0$6621,17&156$L[0DUVHLOOH8QLY
3267(5
3267(5
9LVXDO/HDUQLQJDQG&DWHJRUL]DWLRQ
$WWHQWLRQ&RJQLWLYHDQG%HKDYLRUDO6WXGLHV
0RQ30±(UQHVW10RULDO&RQYHQWLRQ&HQWHU+DOO) $FRPSDULVRQRIODWHUDODQGPHGLDO
&&
LQWUDSDULHWDODUHDVGXULQJYLVXDOFDWHJRUL]DWLRQ6.
6:$0,1$7+$11<0$66('-)5(('0$18QLYRI
&KLFDJR
&& ,QVLJKWVLQWRPDFDTXHIURQWDOH\H¿HOGV
IXQFWLRQWKURXJKPRGHOLQJWKHWDEXUVWUHSHWLWLYHWUDQVFUDQLDO
PDJQHWLFVWLPXODWLRQDQGUHVWLQJVWDWHI05,3)%$/$1$
*(5,76'0$17,1,:9$1'8))(/.8/HXYHQ
&&
'LUHFWLRQVHOHFWLYLW\LQSDULHWDOFRUWH[
EHIRUHDQGDIWHUYLVXDOFDWHJRUL]DWLRQWUDLQLQJ$6$50$
16$17+$1$0;:$1*'-)5(('0$18QLYRI
&KLFDJR<DOH8QLY6FKRI0HG
&& 3V\FKRSK\VLFDOHYLGHQFHVXSSRUWLQJWKH
GRPDLQVSHFL¿FFKDUDFWHURIKHDGJD]HIROORZLQJLQUKHVXV
PRQNH\V.0$5&,1,$.3:',&.(37+,(5+HUWLH
,QVW)RU&OLQ%UDLQ5HV
&&
7DLORUHGPL[HGUHSUHVHQWDWLRQVLQ
/,3DQG3)&GXULQJGHOD\HGPDWFKWRFDWHJRU\WDVN:
&+$,6$1*021*.21'-)5(('0$1;:$1*<DOH
8QLY8QLYRI&KLFDJR<DOH8QLY
&& $VLPSOHPDSSLQJPHWKRGRIWKH
LPPHGLDWHHDUO\JHQHSURWHLQH[SUHVVLRQ$8<6$/5
5,(673$7721$0$+08'76+,0,=88QLYRI6RXWK
)ORULGD$XJXVWD6WDWH8QLY8QLYRI6RXWK)ORULGD
&&
3DVVLYHLQWHUIHUHQFHRISHUFHSWXDOYLVXDO
OHDUQLQJLQKXPDQV*/$1*($5$'(50$&+(50
%((1%-$163'(:((5'0DDVWULFKW8QLY5DGERXG
8QLY
&& 7KHHIIHFWRIWUDQVFUDQLDOGLUHFWFXUUHQW
VWLPXODWLRQRQYLVXDOVHDUFKUHDFWLRQWLPH.681*0
/0&(17(('-6&+5(7/(1%*25'21-RKQV
+RSNLQV8QLY6FKRI0HG-RKQV+RSNLQV8QLY6FKRI
0HG
&&
3HUFHSWXDOWUDLQLQJDOWHUVSHUFHSWXDO
HVWLPDWLRQDQGVPRRWKSXUVXLWH\HPRYHPHQWVEXW
SXUVXLWWUDLQLQJGRHVQRW6)6=3,52063(5,1*0
&$55$6&21HZ<RUN8QLY8QLYRI%ULWLVK&ROXPELD1HZ
<RUN8QLY
&& $FRPSDULVRQRILQIHULRUWHPSRUDO
SHULUKLQDODQGSUHIURQWDOFRUWLFHVGXULQJDQRYHOYVIDPLOLDU
FDWHJRUL]DWLRQWDVN-/0&.((6/7+20$6'-
)5(('0$18QLYRI&KLFDJR8QLYRI&KLFDJR
&& /HDUQLQJDQG3HUIRUPDQFHGH¿FLWVLQ
VKRUWWHUPPHPRU\WDVNVDIWHUODWHUDOSUHIURQWDOFRUWH[
DEODWLRQVLQUKHVXVPRQNH\V-+:,77,*-U$,
+2529,7=(&0$66($8%-5,&+021'1,0+
&& 5LSSOHVRIZRUGDQGIDFHUHFRJQLWLRQ
&DWHJRULFDOSHUFHSWLRQUHYHDOHGE\QRQKDUPRQLF
SHDNVLQ669(3ZDYHV<<21&+(9$=5($*+
%0&&$1'/,669DQGHUELOW8QLY8QLYRI$ODEDPDDW
%LUPLQJKDP
&& 3UDFWLVLQJFRDUVHRULHQWDWLRQ
GLVFULPLQDWLRQLPSURYHVRULHQWDWLRQVLJQDOVLQDQ
I05,GH¿QHGUHJLRQRIWKHPDFDTXHSRVWHULRULQIHULRU
WHPSRUDOFRUWH[+=,9$5,$'$%,'323,9$129
:9$1'8))(/592*(/6/DEYRRU1HXURHQ
3V\FKRI\VLRORJLH.8/HXYHQ0HG6FK0DUWLQRV&WUIRU
%LRPHG,PDJLQJ0DVVDFKXVHWWV*HQ+RVS'HSWRI
5DGLRORJ\+DUYDUG0HG6FK
&& )LQHGLVFULPLQDWLRQRIYLVXDOFDWHJRULHV
LVLPSDLUHGDIWHUOHVLRQVRIDUHD7(EXWQRWUKLQDOFRUWH[0
$(/'5,'*(10$7680272-+:,77,*-U5&
6$81'(56%-5,&+021'1,0+$,67
&& 9LVXDOIHDWXUHLQWHJUDWLRQLQWKHODWHUDO
,QWUDSDULHWDO$UHD*,%26'-)5(('0$17KH8QLYRI
&KLFDJR
&& /DWHQF\GHOD\SUHVHQWDWYGXULQJD
YLVXRPRWRUWDVNLQDGROHVFHQWVZLWKIHWDODOFRKROVSHFWUXP
GLVRUGHUIDVG&0*$5&,$3:.2',78:$..8-
0+28&.&'7(6&+(8QLYRI1HZ0H[LFR8QLYRI
1HZ0H[LFR
''
0\SDUWQHUDQG,+RZWKHSDUWQHU¶V
WDVNLQÀXHQFHVP\RZQEUDLQUHVSRQVHV3%$(66$
0$1'(/07,$,1(16FKRI6FLHQFH$DOWR8QLY
''
$WWHQWLRQDOPRGXODWLRQZLWKOHDUQLQJLQ
PRQNH\9DQG)()&9$1'(572*7/67$1,i253
552(/)6(0$1HWKHUODQGV,QVW1HXURVFL
''
(IIHFWVRIDWWHQWLRQRQYLVXDOSHUIRUPDQFH
LQDPEO\RSLFPDFDTXHPRQNH\V0DFDFDQHPHVWULQD/
.,253(6$3+$00&$55$6&21HZ<RUN8QLY1HZ
<RUN8QLY1HZ<RUN8QLY
''
6HOHFWLYHDWWHQWLRQLQSHDKHQVGXULQJ
FRXUWVKLS-<25=,16.,*3$75,&(//,-%$%&2&.
03/$77'XNH8QLY8&'DYLV3RVLWLYH6FL
''
)LQHVFDOHGPHDVXUHPHQWRIWKH
GLVWULEXWLRQRIYLVXRVSDWLDODWWHQWLRQDFURVVWKHKRUL]RQWDO
SODQHXVLQJ((**0/28*+1$1(-36+$1/(<(
&/$/255*2¶&211(//7ULQLW\&RO'XEOLQ
3267(5
9HVWLEXODU&HQWUDO3DWKZD\V
''
6SLQDOFRUROODU\GLVFKDUJHLQIRUPV
PHFKDQRUHFHSWRURUJDQVDERXWIUHTXHQF\DQGGXUDWLRQ
RIORFRPRWRUDFWLYLW\%3&+$*1$8'5%$1&+,+
675$.$/XGZLJ0D[LPLOLDQV8QLY
''
'HYHORSPHQWRIYHVWLEXODUSURMHFWLRQ
QHXURQVWUDQVLWLRQIURPVHJPHQWDOWRQXFOHDURUJDQL]DWLRQ
-&*/29(5*+$/$6,-5(1$8'&',È=8QLY
2VOR8QLYRI$OEDFHWH
S
''
0RUSKRSK\VLRORJLFDORUJDQL]DWLRQRI
JD]HDQGSRVWXUHFRQWUROGXULQJORFRPRWLRQLQ$[RORWO5
%$1&+,%3&+$*1$8'+675$.$/080XQLFK
%LRFHQWHU0DUWLQVULHG
''
$QDWRPLFDOVWXGLHVRIWKHGLUHFW
YHVWLEXORV\PSDWKHWLFSDWKZD\9/)5,('5,&+-U*3
0$57,1(//,%&2+(1*5+2/67(,10RXQW6LQDL
6FKRI0HG0RXQW6LQDL6FKRI0HG0RXQW6LQDL6FK
0HG0RXQW6LQDL6FKRI0HG
'' 9DVRYDJDOUHVSRQVHV995LQGXFHG
E\KHDGWLOWVDQGVLQXVRLGDOJDOYDQLFYHVWLEXODUVWLPXODWLRQ
V*96LQWKHDQHVWKHWL]HGUDWV6%<$.86+,1$
6&+$))1(5<;,$1**30$57,1(//,75$3+$1
*5+2/67(,1%&2+(10W6LQDL6FK0HG%RRNO\Q
&ROOHJH&LW\8QLYRI1HZ<RUN
'' &KDUDFWHUL]DWLRQRIYHVWLEXORVSLQDO
FRQQHFWLYLW\WRWKHFHUYLFDOVSLQDOFRUGLQWKHQHRQDWDO
PRXVH$6$0$5$)0/$0%(57-&*/29(58QLY
RI2VOR
'' &HOOW\SHVSHFL¿FLW\LQFHQWUDOYHVWLEXODU
QHXURQV&LUFXLWU\SK\VLRORJ\SODVWLFLW\DQGJHQH
H[SUHVVLRQ6'8/$&7.2'$0$/0&(/9$,1.
.(//(+(56*8(55(527KH6DON,QVW6DON,QVW
'' 7KHHQKDQFHPHQWRISURSRIROHIIHFW
YLDWKHYHVWLEXODUV\VWHPE\H[SRVXUHWRK\SHUJUDYLW\
HQYLURQPHQW&,:$7$&$%(+025,7$*LIX8QLY
*UDG6FKRI0HG
'' 9LVXRYHVWLEXODUFRQYHUJHQFHLQWKH
UHWURLQVXODUFRUWH[D7I05,VWXG\50$578==,0
76,03$128/,:9$1'(5=:$$*&/23(=2
%/$1.(/DERI&RJQLWLYH1HXURVFL6ZLVV)HGHUDO,QVW
RI7HFKQRO&WUIRU1HXURSURVWKHWLFV6ZLVV)HGHUDO,QVW
RI7HFKQRO/DERI)XQFWLRQDODQG0HWDEROLF,PDJLQJ
6ZLVV)HGHUDO,QVWRI7HFKQRO5DGLRORJ\'HSW8QLY
GH/DXVDQQH/DEGH1HXURVFLHQFHV,QWpJUDWLYHVHW
$GDSWDWLYHV&156DQG$L[0DUVHLOOH8QLY'HSWRI1HXURO
8QLY+RVS
'' 1XFOHXVSUHSRVLWXVK\SRJORVVLGRHVQRW
FRQWULEXWHWRKHDGGLUHFWLRQVLJQDOOLQJGXULQJDFWLYHPRWLRQLQ
UKHVXVPRQNH\$'$/(.(&8//(10F*LOO8QLY
'' 'HYHORSPHQWDOFKDQJHVLQLRQRWURSLF
JOXWDPDWHUHFHSWRUVXEXQLWVLQUDWLQIHULRUROLYDU\QHXURQV
UHVSRQVLYHWROLQHDUDFFHOHUDWLRQV<&+$1&/,/+$1
&:0$&+/$,'.<6+808QLY+RQJ.RQJ)DF
0HG8QLY+RQJ.RQJ)DF0HG8QLY+RQJ.RQJ)DF
0HG
'' 'HWHFWLRQWKUHVKROGVRIPDFDTXHRWROLWK
DIIHUHQWV;<8'',&.0$1'($1*(/$.,'HSWRI
1HXURVFLHQFH%D\ORU&RORI0HG
'' 5RWDWLRQDQGWUDQVODWLRQGHWHFWLRQ
WKUHVKROGVRIYHVWLEXODUQXFOHLQHXURQVEHIRUHDQGDIWHU
XQLODWHUDOODE\ULQWKHFWRP\-7+20$66(16/,86'
1(:/$1'6-'',&.0$1'($1*(/$.,%D\ORU&RO
RI0HG8QLYRI5RFKHVWHU0HG&WU
'' %HKDYLRURIKXPDQWUDQVODWLRQDO
YHVWLEXORRFXODUUHÀH[W925GXULQJVLPXOWDQHRXVKHDG
WUDQVODWLRQDQGURWDWLRQGHSHQGVRQVWLPXOXVFRQWH[W5
6&+1(,'(5./,$20:$/.(55/(,*+9D0HG
&WUDQG&DVH:HVWHUQ5HVHUYH8QLY9D0HG&WU
S
((
0XOWLSOHWLPHVFDOHQHXUDOSODVWLFLW\
LQGXFHGE\VXSSUHVVLRQRIDQJXODUYHVWLEXORRFXODUUHÀH[
D925:=+28<;8,6,03621::(,..26(.
8QLYRI0LVVLVVLSSL0HG&WU8QLYRI0LVVLVVLSSL0HG&WU
8QLYRI0LVVLVVLSSL0HG&WU
((
S
1HZWHVWVRIFDQDODUKHDGLPSXOVH
WHVWDQGRWKROLWKRFXODUDQGFHUYLFDOYHVWLEXORRFXODU
P\RJHQLFSRWHQWLDOVIXQFWLRQLQSDWLHQWVVXIIHULQJIURP
YHUWLJRDQGGL]]LQHVV&'(:$(/((&+,25$9$12&
0$*1$1,+9(/7+8,6*/$0$639,'$/&(6(0
805VDOSHWULHUHKRVSLWDO
((
&RGLQJRIJUDYLW\GHSHQGHQWDGDSWDWLRQ
RIWKHDQJXODUYHVWLEXORRFXODUUHÀH[D925LQWKH)DVWLJLDO
QXFOHXV)16%<$.86+,12.2/(61,.29$%
&2+(175$3+$10RXQW6LQDL0HG&WU%URRNO\Q&RO
RIWKH&LW\8QLYRI1HZ<RUN
((
$GDSWDWLRQRI925H\HPRYHPHQWV
WKURXJKHOHFWULFDOVWLPXODWLRQ$12:$&.&56
.$1(.2//,1*.1,(-758%,167(,16
6+(3+(5'-23+,//,368QLYRI:DVKLQJWRQ8QLYRI
3267(5
1RFLFHSWRUV$QDWRPLFDODQG3K\VLRORJLFDO6WXGLHV
((
,PPXQRKLVWRFKHPLFDOORFDOL]DWLRQRI
NDLQDWHUHFHSWRULQUDWFRUQHD%2,%,72.81.(
0,//(52NODKRPD6WDWH8QLY&WU)RU+OWK6FL
((
,PPXQRKLVWRFKHPLFDODQGIXQFWLRQDO
FKDUDFWHUL]DWLRQRIPXRSLRLGUHFHSWRUVLQPRXVHOXPEDU
GRUVDOURRWJDQJOLRQFHOOVGXULQJHPEU\RQLFGHYHORSPHQW
652'5,*8(6/72<1(0$/4$7$5,0
.2/7=(1%85*8&/
((
$VSDUWDWHDPLQRWUDQVIHUDVHLVHOHYDWHGLQ
UDW'5*QHXURQVFRQWDLQLQJFDOFLWRQLQJHQHUHODWHGSHSWLGH
GXULQJDGMXYDQWLQGXFHGDUWKULWLV%%2/7.(0,//(5
2NODKRPD6WDWH8QLY&WU)RU+OWK6FL
((
0ROHFXODUWDUJHWVIRUERWXOLQXP
QHXURWR[LQW\SHDDUHFRORFDOL]HGLQKXPDQVNLQVHQVRU\
DQGDXWRQRPLFQHUYH¿EHUV56%52,'(&5+($80(
.5$2.,-)5$1&,6$OOHUJDQ,QF
(( %RWXOLQXPQHXURWR[LQW\SH$LVVHOHFWLYH
IRUVSHFL¿FVXESRSXODWLRQVRIUDWDXWRQRPLFDQGVHQVRU\
QHUYH¿EHUV&5+($80(*61,&+2/621-
58%,12-U06:$6+%851.5$2.,-)5$1&,6
56%52,'($OOHUJDQ,QF
((
7KHUROHRI(5.VLJQDOLQJLQWKH
SHULSKHUDOQRFLFHSWLYHFLUFXLWU\'(2¶%5,(1%-
$/7(56.92*7*(/$1'5(7+5.81(5-3
*2/'(15:*(5($8,9:DVKLQJWRQ8QLY,Q6W/RXLV
&DVH:HVWHUQ5HVHUYH8QLY8QLYRI+HLGHOEHUJ
(( S
1HXUDO&RQGXFWLRQDQG
$FFRPPRGDWLRQLQ1D9DQGNRPLFH&
:(,'1(57+2))0$113:5((+8QLYRI(UODQJHQ
'' $QDWRPLFDOVWXGLHVRIWKHLQGLUHFW
YHVWLEXORV\PSDWKHWLFSDWKZD\WKURXJKWKHFDXGDO
YHQWURODWHUDOPHGXOOD*30$57,1(//,9/)5,('5,&+
-U%&2+(1*5+2/67(,10RXQW6LQDL6FKRI0HG
0RXQW6LQDL6FKRI0HG0RXQW6LQDL6FKRI0HG
((
(\HPRYHPHQWVLQGXFHGE\ERQH
FRQGXFWHGYLEUDWLRQLQKXPDQVDUHFRQVLVWHQWZLWKWKH
G\QDPLFVRIRFXODUFRPSHQVDWLRQWRDKHDGWLOW('
&251(//$0%85*(66,6&857+2<67KH8QLY
6\GQH\7KH8QLYRI6\GQH\7KH8QLYRI6\GQH\
(( +HDWVHQVLWLYLW\GLIIHUHQWLDWHVWZR
FODVVHVRISRO\PRGDOQRFLFHSWRUVLQQRQKXPDQSULPDWH0
5,1*.$03-%25=$10:227(179+$57.(
5$0(<(5-RKQV+RSNLQV8QLY-RKQV+RSNLQV8QLY
-RKQV+RSNLQV8QLY
(( +&1H[SUHVVLRQLQQRFLFHSWRUVDQG
ORZWKUHVKROGPHFKDQRUHFHSWRUV/70VLQUDWGRUVDOURRW
JDQJOLD'5*VLQYLYRLQUHODWLRQWR,KLQÀXHQFHRI17
DQGLQÀDPPDWLRQ61/$:62160&08//$1/
'-28+5,/*$2.'(036(<&*$&267$%ULVWRO
8QLY0DFTXDULH8QLY/LYHUSRRO8QLY+XD]KRQJ8QLYRI
6FLDQG7HFKQRO
(( 0HFKDQLFDOK\SHUDOJHVLDDQGPHFKDQLFDO
QRFLFHSWLYHWKUHVKROGDUHPHGLDWHGE\GLIIHUHQWQRFLFHSWLYH
¿EHUV)35$'2.7&+$9(=$69,(,5$&+
7$0%(/,&$3$5$'$6WDWH8QLYRI&DPSLQDV
(( &RQGXFWLRQYHORFLW\RI¿EHUVWULJJHULQJ
WKHWDLOÀLFNUHÀH[0HDVXUHPHQWIROORZLQJLQIUDUHGGLRGH
ODVHUVWLPXODWLRQ0,1(0(129%32//,1552<
/('28;'/(%$56/DVPHG//&6WDQIRUG8QLY8QLY
3LHUUHHW0DULH&XULH
(( 6LQJOHFHOODQDO\VLVRIFXWDQHRXV
QRFLFHSWRUVIROORZLQJLQÀDPPDWLRQUHYHDOVSRSXODWLRQ
VSHFL¿FFKDQJHVLQJHQHH[SUHVVLRQ.0%$80%$8(5
03-$1.2:6.,.0(.0$11&($1'(5621'
-621(-,+5.2(5%(58QLYRI3LWWVEXUJK&LQFLQQDWL
&KLOGUHQ¶V+RVS
(( ,QFUHDVHG7539H[SUHVVLRQSOD\VD
FULWLFDOUROHLQWKHUHFUXLWPHQWRIFXWDQHRXV&KHDW¿EHUV
IROORZLQJFRQWUDODWHUDOVDSKHQRXVQHUYHD[RWRP\'-
621(-,.0%$80%$8(503-$1.2:6.,&(
$1'(5621.0(.0$11+5.2(5%(58QLYRI
3LWWVEXUJK&LQFLQQDWL&KLOGUHQ¶V+RVS
(( 0RGXODWLRQRISRWDVVLXPDQGFDOFLXP
FXUUHQWVE\JURXSPHWDERWURSLFJOXWDPDWHUHFHSWRUV
LQGRUVDOURRWJDQJOLRQQHXURQV6'$9,'621-3
*2/'(15:*(5($8,9:DVKLQJWRQ8QLY6FKRI
0HG
(( 5HVSRQVHSURSHUWLHVDQGWUDMHFWRULHV
RIFDOYDULDOSHULRVWHDODIIHUHQWVLPSOLFDWLRQIRUPLJUDLQH
DQGSRVWWUDXPDWLFKHDGDFKH-=+$2'/(9<%,'0&
+DUYDUG0HG6FK
))
1RFLFHSWLYHHIIHFWRIORQJWHUPZHDNHQLQJ
RIWKHJHRPDJQHWLF¿HOG0.+2'$129,&+1.5,929$
(*8/$=(/(16.$<$(3$17RPVN6WDWH8QLY
))
1RFLFHSWRU.YFKDQQHOH[SUHVVLRQ
DQGIXQFWLRQGXULQJGHYHORSPHQWDQGVSLQDOFRUGLQMXU\'
5,77(5&+2&1,&$,6(7+$/$$/(325(0
2¶/($5<0&29$558%,$67KRPDV-HIIHUVRQ8QLY
7KRPDV-HIIHUVRQ8QLY
))
$UROHRIDQRFWDPLQLQPHGLDWLQJDFXWH
DQGFKURQLFSDLQ%/((+&+26/((-/((*
+21*-2+-&+$82+6HRXO1DWO8QLY6HRXO1DWO
8QLY
))
5HVWLQJFXUUHQWVRIQRFLFHSWLYHGRUVDO
URRWJDQJOLDQHXURQV;'86*,*287+=+$1*1
*$03(5+HEHL0HG8QLY8QLYRI/HHGV
))
'LVWLQFW1DYGHSHQGHQWSDLQ
VHQVDWLRQVUHTXLUHGLIIHUHQWVHWVRIVHQVRU\DQGV\PSDWKHWLF
QHXURQV00,1(770$1$66$5$+',&.(1621
):$1*-1:22'8&/7KH8QLYRI6KHI¿HOG8QLY
&RO/RQGRQ'XNH8QLY0HG&WU
))
6PDOO51$VUHJXODWHSDLQVWDWHV6
6+(3+(5'-=+$2-:22'8&/
))
1HXURPHGLQ%VHUYHVDUROHLQ
QRFLFHSWLYHVLJQDOLQJ6.0,6+5$6+2/=0$10$
+2211DWO,QVWRI'HQWDQG&UDQLRIDFLDO5HVHDUFK1,+
))
7KHQ$&K5'(*'(6LVUHTXLUHGIRU
WKHIXQFWLRQDQGPDLQWHQDQFHRIWKHFHOHJDQVQRFLFHSWLYH
39'QHXURQV(&2+(10&+$7=,*(25*,28:
6&+$)(5075(,1,1)DFRI0HGLFLQ+HEUHZ8QLYRI
-HUXVDOHP05&/DERI0RO%LRO
3267(5
7UHDWPHQWVIRU3HUVLVWHQW3DLQ
))
7KHGHOWDRSLRLGUHFHSWRUDVDQRYHO
WKHUDSHXWLFWDUJHWIRUWKHWUHDWPHQWRIPLJUDLQH0/
60,7+-=<8=,1$&+$5/(6$$35$'+$18&/$
8&/$
))
$QRYHOVHOHFWLYH&%DJRQLVW
/<LVHI¿FDFLRXVLQFKURQLFSDLQPRGHOV03
-2+16210*&+$0%(5663+2//,16+($'.
.12336,<(1*$559$68'(9$3&$67/(6(OL
/LOO\&R(OL/LOO\&R(OL/LOO\&R(OL/LOO\&R(OL/LOO\
&R(OL/LOO\&R
))
([SHULPHQWDOJHQHWKHUDS\ZLWK6HULQH
+LVWRJUDQLQDQG(QGRPRUSKLQIRUVSLQDOFRUGLQMXU\
LQGXFHGSDLQLQUDWV6-(5*29$'&2//$17(1
3$7+$.6-$1,6*$-$9(//,-6$*(18QLYRI
0LDPL0LOOHU6FKRI0HG8QLYRI0LDPL0LOOHU6FKRI
0HG
))
7UDQVSODQWDWLRQRIKXPDQXPELOLFDOFRUG
EORRGRUDPQLRWLFHSLWKHOLDOVWHPFHOOVDOOHYLDWHVPHFKDQLFDO
DOORG\QLDDIWHUVSLQDOFRUGLQMXU\LQUDWV'52+06(2
+&+2,63$5.++$1$-%(,7=..$1*-/((
.\XQJ+HH8QLY6FKRI'HQW&RORI9HW0HG6HRXO
1DW¶O8QLY&RORI9HW0HGLFLQH6HRXO1DWO8QLY8QLYRI
0LQQHVRWD
))
$QWLQRFLFHSWLYHHIIHFWRIDFRQMXJDWHRI
6XEVWDQFH3DQG/LJKWFKDLQRI%RWXOLQXPQHXURWR[LQ7\SH$
LQDPXULQHPRGHO*0867$)$(0$1'(562150
&$8'/(8QLYRI)ORULGD8QLYRI)ORULGD
))
7KHSRWHQF\RIWUDPDGRODQG
DFHWDPLQRSKHQRQQHXURSDWKLFSDLQLVGLIIHUHQWIURPWKDW
RQLQÀDPPDWRU\SDLQ76+,12=$.,7<$0$'$7
,6+,085$7<$0$0272.XPDPRWR8QLY+RVS
))
6PDOOPROHFXOH.&&DFWLYDWRUVDVQRYHO
WKHUDSHXWLFDJHQWVIRUQHXURSDWKLFSDLQ0*$*1210
-%(5*(5215%21,1.%$&+$1'.9$1'$/0
-$&2%:$*1(53,6(15,1**$77$5'2-$0
&28//<'(.21,1&./DYDO8QLY,8604/DYDO8QLY
&5&+84&KORULRQ/DYDO8QLY&58/5*
))
/&DGPLQLVWUDWLRQRI
1$FHW\ODVSDUW\OJOXWDPDWH1$$*SHSWLGDVHLQKLELWRUV
LVDQDOJHVLFLQUDWIRUPDOLQWHVWYLDP*OX5DFWLYDWLRQ7
<$0$'$76+,12=$.,7,6+,085$-+1($/(7
<$0$0272.XPDPRWR8QLY+RVS*HRUJHWRZQ8QLY
))
$GHQ\O\OF\FODVHVXEW\SHLVHVVHQWLDO
IRUFRUWLFDOODWHSKDVH/73DQGWKHUHFUXLWPHQWRIFRUWLFDO
QHWZRUN0=+827&+(1..2*$8QLY7RURQWR8QLY
RI7RURQWR
S
))
7UHDWPHQWRIRURIDFLDOSDLQE\XVLQJ
+]U706VWLPXODWLRQ552.<7$-)5,&29$UG)DF
0HG&KDUOHV8QLY3UDJXH&KDUOHV8QLYHUVLW\)LUVW)DFRI
0HG
**
7KHVWUHQJWKRI$3LQWKH
WUHDWPHQWRIFHQWUDOQHXURSDWKLFSDLQIROORZLQJVSLQDOFRUG
LQMXU\*&.2230$16-23$7=%+$66($OJLD[
3KDUPDFHXWLFDOV*PEK
))
'UDPDWLFGLIIHUHQFHLQVD[LWR[LQDQG
WHWURGRWR[LQDI¿QLWLHVIRUWKHKXPDQQRFLFHSWLYHYROWDJH
JDWHGVRGLXPFKDQQHO1D9-:$/.(53129,&.
-908/&$+<0$;70$100&*5(*25-
=$%/2&.,*0,/-$1,&+963$1'(-'8%2,6
6WDQIRUG8QLY$FFHOU\V*LOHDG6FL6LWH2QH7KHUDSHXW
** 7KHVWUHQJWKRI$3LQWKHWUHDWPHQW
RISHULSKHUDOQHXURSDWKLFSDLQ%+$66(*.2230$16
-23$7=$OJLD[3KDUPDFHXWLFDOV*PE+
))
0LWRJHQDFWLYDWHGSURWHLQNLQDVH
SKRVSKDWDVH0.3LVQHFHVVDU\IRUSRVWRSHUDWLYH
DOORG\QLDUHVROXWLRQLQPLFH06$+$($/)2162
520(526$1'29$/(0$57,1(='$/9$5(=
*HLVHO6FKRI0HG$W'DUWPRXWK*HLVHO6FKRI0HGDW
'DUWPRXWK*HLVHO6FKRI0HGDW'DUWPRXWK
**
1LWURXVR[LGHSUHYHQWLYHO\DOOHYLDWHV
QHXURSDWKLFSDLQYLD10'$UHFHSWRUV<&+(10&+$1
&&+(1*7KH&KLQHVH8QLYRI+RQJ.RQJ7KH&KLQHVH
8QLYRI+RQJ.RQJ
**
%LODWHUDOSDLQVHQVLWL]DWLRQLQDUDWPRGHO
RIFHQWUDOQHXURSDWKLFSDLQWUHDWHGZLWKKLJKGRVHVRI
NHWDPLQH$&$67(/)%($8'5<39$&+218QLYRI
0RQWUHDO8QLYRI0RQWUHDO8QLYRI0RQWUHDO)DFRI9HW
0HG
**
(IIHFWVRIGHHSVKDSHGPDJQHWLF¿HOG
SXOVHVRQDFXWHDQGFKURQLFSDLQ$=7=$%$=,6'&
<(20$16&0$5,$3$5,&,+9$1%52&./,1<6(2
$(7.,1/7$%(56<$1*06&+1(,'(5'HSWRI
$QHVWKHVLD6WDQIRUG8QLY8QLYRI6DQ)UDQFLVFR6WDQIRUG
8QLY3UHPLHU5HV*URXS&HUYHO1HXURWHFK,QF&HUYHO
1HXURWHFK,QF
**
&DOSDLQLQKLELWLRQUHGXFHVQHXURSDWKLF
SDLQ53*8770$1155'21$+8(%.7$</25
8QLYRI:HVW)ORULGD8QLYRI.HQWXFN\
**
$QLQVWUXPHQWDVVLVWHGVSLQDO
PDQLSXODWLRQPD\DWWHQXDWHGRUVDOURRWJDQJOLRQ
LQÀDPPDWLRQDQGSDLQWKURXJKDFWLYDWLQJHQGRJHQRXV
DQWLLQÀDPPDWRU\F\WRNLQHLQWHUOHXNLQ=+8$1*<
=+$1*5/583(57$/5261(5$:)8+5;
621*3DUNHU8QLY5HV,QVW
**
0HWHRULQHIIHFWLYHO\UHYHUVHV
K\SHUVHQVLWLYLW\LQUDWPRGHOVRIQHXURSDWKLFSDLQ-5
-25*(16(1;;8+$512/'*08152-+$2
%3(3,16.<&+8$1*%*21*=:,(6(1)(/'
+$//,1/:$+/%(5*7-2+$16(11V*HQH$6
6HFWLRQRI,QWHJUDWLYH3DLQ5HVHDUFK.DUROLQVND,QVWLWXWHW
%LRJHQ,GHF,QF/XQGEHFN
**
&RPELQHGEHWDDGUHQHUJLFUHFHSWRU
$5DJRQLVWDQGDOSKD$5DQWDJRQLVWWUHDWPHQWUHGXFHG
MRLQWGDPDJHLQDGMXYDQWLQGXFHGDUWKULWLVZLWKRXWDIIHFWLQJ
GLVHDVHLQGXFHGV\PSDWKHWLFGHQHUYDWLRQRIWKHDQNOH
'/25721&:22'&/8%$+13*,))25'-
:(5*('$/-6&+$//(5'%(//,1*(5.HQW6XPPD
,QVW)RU&OLQDQG7UDQVODWLRQDO5HV.HQW6WDWH8QLY/LQGD
8QLY6FKRI0HG%DQQHU6XQ+OWK5HV,QVW/RPD/LQGD
8QLY6FKRI0HG/RPD/LQGD8QLY6FKRI0HG-HUU\/
3HWWLV9$0HG&WU/RPD/LQGD8QLY6FKRI0HG
S
9LVFHUDO3DLQ
** (QKDQFHGYDJLQDOVHQVLWLYLW\DQGDQ[LHW\
LQDGXOWPLFHWKDWXQGHUZHQWFKURQLFQHRQDWDOVWUHVV$1
3,(5&(5:$1*-05<$/6-$&+5,67,$1621
8QLYRI.DQVDV0HG&WU
** $OWHUDWLRQVLQQRFLFHSWLYHSURFHVVLQJ
IROORZLQJQHRQDWDOYDJLQDOLUULWDWLRQDQGPDWHUQDOVHSDUDWLRQ
-$&+5,67,$1621$13,(5&(5:$1*=
=+$1*-05<$/68QLYRI.DQVDV0HG&WU
** ,QYROYHPHQWRI753&LQPXVWDUGRLO
LQGXFHGYLVFHUDOK\SHUDOJHVLDLQUDW/=+$1*)0$.
1:(67/81'8QLY.HQWXFN\
** 1RFLFHSWLQDQG$3'&JURXS,,P*OX5
DJRQLVWDWWHQXDWHPHFKDQLFDODQGKHDWK\SHUVHQVLWLYLW\LQ
FKURQLFSDQFUHDWLWLVLQGXFHGE\KLJKIDWDQGDOFRKROGLHWLQ
UDWV.1:(67/81'6/0&,/:5$7+8QLY.HQWXFN\
** 5ROHRI7539DQG3;LQ
PHFKDQRVHQVDWLRQLQFRORUHFWDOSULPDU\DIIHUHQWV0(
.,<$7.,1*)*(%+$578QLYRI3LWWVEXUJK6FKRI
0HG
** S
(IIHFWRIDQDOJHVLFDJHQWVRQ
YLVFHURPRWRUUHVSRQVHVLQUDWVZLWKLQÀDPHGEODGGHUV0+
.$03(&+'(:,77(-/+,//552<7-1(660
752%%,168QLY$ODEDPD%LUPLQJKDP
** 7KH&%$-PRXVHDVDJHQHWLFPRGHORI
YLVFHUDOK\SHUVHQVLWLYLW\5HODWLRQVKLSZLWKVSLQDOJOXWDPDWH
WUDQVSRUWHUH[SUHVVLRQDQ[LHW\DQGGHSUHVVLRQOLNH
EHKDYLRXUV5'02/21(<7*',1$1-)&5<$1
8QLY&RO&RUN8QLY&RO&RUN$OLPHQWDU\3KDUPDELRWLF
&WU8QLY&RO&RUN$OLPHQWDU\3KDUPDELRWLF&WU
** &KDQQHOUKRGRSVLQVWLPXODWLRQ
GHPRQVWUDWHVDUROHIRUEUDLQVWHPPRGXODWLRQLQXWHULQH
QRFLFHSWLYHSK\VLRORJ\.0+(//0$13<8&6(*(/
))781RUWK6KRUH8QLY+HDOWK6\VWHP1RUWK6KRUH8QLY
+HDOWK6\VWHP
** $SRSWRVLVLQWKHVSLQDOFRUG$Q
XQH[SHFWHGVLGHHIIHFWRILQÀDPPDWRU\ERZHOGLVHDVH%:
/(%/$1&1&+$,&<6$$%5KRGH,VODQG+RVS
** 5ROHRILVROHFWLQ%,%ELQGLQJSULPDU\
DIIHUHQWVLQFRORUHFWDOPHFKDQRVHQVDWLRQ-/$%)(1*
(66&+:$57=*)*(%+$57&WU)RU3DLQ5HVHDUFK
8QLY3LWWVEXUJK
++
&URVVVSHFWUXPHYRNHGRVFLOODWLRQVLQ
FKURQLFYLVFHUDOSDLQ%:)(17216XPPD+OWK6\VW
**
&RQFHSWVRIORZEDFNSDLQDQG
VFLDWLFDLQSDWLHQWVZLWKFKURQLFVWUXFWXUDOVSLQHSDWKRORJ\
WKURXJKDQDWXUDOVHPDQWLFQHWZRUNPRGHO,=$5&2'(
&2521$'25&2521$'2=$5&260$&,$6
+(51$1'(=(&58=0(',1$81$0,QVW1DFLRQDOGH
5HKDELOLWDFLyQ
3267(5
++
5HVWLQJVFDQDOWHUDWLRQVLQIHPDOH
SDWLHQWVZLWKLQWHUVWLWLDOF\VWLWLVSDLQIXOEODGGHUV\QGURPH
3UHOLPLQDU\GDWDIURPWKHPXOWLGLVFLSOLQDU\DSSURDFKWR
WKHVWXG\RIFKURQLFSHOYLFSDLQ0$33QHWZRUN/$
.,/3$75,&..7,//,6&+%1$/,%2))-/$%86
=-,$1*(0(<(50)$50(5$$3.$5,$16
0$&.(<.-2+1621'&/$8:5+$55,6*
'(876&+71(66&<$1*&08//,168&/$8&/$
1RUWKZHVWHUQ8QLY6WDQIRUG8QLY8QLYRI0LFKLJDQ8QLY
RI$ODEDPD8QLYRI:DVKLQJWRQ1,''.
++
0HFKDQLVPVRIHQGRPHWULRVLVDVVRFLDWHG
K\SHUDOJHVLDLQDUDWPRGHO6HQVRU\V\PSDWKHWLFFRXSOLQJ
673<$72.6/0&$//,67(51'0,75,(9$%.
*,285*$6(.)$,5&/27+.-%(5./(<)ORULGD
6WDWH8QLY)ORULGD6WDWH8QLY
++
(QGRPHWULRVLV(1'2LQGXFHGYDJLQDO
K\SHUDOJHVLDLQWKHUDWVHQVRU\DQGV\PSDWKHWLFLQQHUYDWLRQ
RIWKHHFWRSLFJURZWKVEXWQRWHXWRSLFXWHUXVFRQWULEXWHWR
YDJLQDOK\SHUDOJHVLD6/0&$//,67(56$3<$72.(
.)$,5&/27+%.*,285*$6.-%(5./(<)ORULGD
6WDWH8QLY
++
S(VWURXVLQÀXHQFHVRQWKHVHYHULW\
RIYDJLQDOK\SHUDOJHVLDLQDUDWPRGHORIHQGRPHWULRVLV
(1'2DSLORWVWXG\RIVSLQDOFRUGHVWURJHQUHFHSWRUV
(5%*,285*$6/1,.2129$$-+(5=2*
6/0&$//,67(51'0,75,(9$/$(&.(/.-
%(5./(<)ORULGD6WDWH8QLY
++
7KHHIIHFWRIWKHDQWLHVWURJHQ
GUXJ=.RQYDJLQDOK\SHUDOJHVLDLQDUDWPRGHO
RIHQGRPHWULRVLVLQYROYHPHQWRIF\VWLQQHUYDWLRQ1
'0,75,(9$(.)$,5&/27+)6$&+(5.-
%(5./(<)ORULGD6WDWH8QLY%D\HU3KDUPD$*
++
$FWLYDWLRQRIJXDQ\ODWHF\FODVH&
UHFHSWRUVDWWHQXDWHVSHULSKHUDOGULYHIURPPRXVHFRORUHFWDO
DIIHUHQWV%)(1*0(.,<$7.,1/-81+2*)
*(%+$578QLYRI3LWWVEXUJK8QLYRI3LWWVEXUJK
++
1HUYHJURZWKIDFWRUPRGXODWHV7539
WUDI¿FNLQJRQXURWKHOLDOFHOOV$&2(/+2$6:2/)
-2+1672166+,1'($$9(/,12)&58=/
%,5'(58QLYRI3RUWR8QLY3LWWVEXUJK
++
&HQWUDODP\JGDODP*OX5LQWKH
PRGXODWLRQRIYLVFHUDOSDLQ%-.2/%(5/&52&.
&025*$1692*70%58&+$65*(5($8,9
'XTXHVQH8QLY:DVKLQJWRQ8QLYLQ6W/RXLV'XTXHVQH
8QLY:DVKLQJWRQ8QLYLQ6W/RXLV:DVKLQJWRQ8QLYLQ6W
/RXLV:DVKLQJWRQ8QLYLQ6W/RXLV
++ &URVVWDONUHJXODWLRQRIQWVQHXURQVLQ
WKHHOHFWURDFXSXQFWXUHDQDOJHVLDHIIHFWLQUDWZLWKFRORUHFWDO
GLVWHQWLRQFUG;*$2./,8+%(1<=+$2%
=+8&KLQD$FDGRI&KLQHVH0HG6FLHQFHV$FXSXQFWXUH
0R[LEXVWLRQ
++ 7KHEUDLQQHWZRUNVHQFRGLQJYLVFHUDO
SDLQLQGLDEHWHVPHOOLWXV'/(/,&&%52&.0
6,05e1-%)5.-5(6)7(/$1'$0
'5(:(6$DOERUJ+RVSLWDO$DUKXV8QLY+RVS
6DKOJUHQVND$FDGHP\8QLYRI*RWKHQEXUJ$DOERUJ
+RVSLWDO$DUKXV8QLY+RVS+DXNHODQG8QLY+RVS,QVWRI
0HGLFLQH8QLYRI%HUJHQ$DOERUJ8QLY
++ (VWURJHQPRGXODWLRQRIVSLQDO*OX1%
VXEXQLWLQDYLVFHUDOSDLQPRGHOLQWKHUDW<-,'&$2*
%$,575$8%8QLYRI0DU\ODQG%DOWLPRUH
3267(5
6WLPXOXV)HDWXUH5HFHSWLYH)LHOGVDQG5HVSRQVH
3URSHUWLHV
++ /DPLQDUGLIIHUHQFHVLQFRUWLFDOUHFHSWLYH
¿HOGVPHDVXUHGE\UHYHUVHFRUUHODWLRQRILQWUDFHOOXODU
UHFRUGLQJV$5$0,5(=(31(90$7,.$.,6/
3$1,16.,.0,//(55%5812&ROXPELD8QLY
++ 3K\VLFDOIDFWRUVLQÀXHQFLQJSOHDVDQW
WRXFKGXULQJWDFWLOHH[SORUDWLRQ$'./g&.(50
:,(57/(:6.,97+e$7(9+$<:$5'-7+211$5'
8QLY&DWKROLTXHGH/RXYDLQ,216,QVWGHV6\VWqPHV
,QWHOOLJHQWVHWGH5RERWLTXH
++ ([DPLQLQJVLPXOWDQHRXVQHXUDO
HQFRGLQJRIPXOWLSOHWDFWLOHSDUDPHWHUV-&7$11(59
-6$17266,+(/067,//(5<$UL]RQD6WDWH8QLY
$UL]RQD6WDWH8QLY$UL]RQD6WDWH8QLY
++ 9LEUDWLRQGHWHFWLRQDQGDIIHUHQWVLJQDO
SURFHVVLQJE\WDUVDOVOLWVHQVLOODRIVDQGVFRUSLRQV3+
%52:1(//%*527+(:HVWHUQ8QLYRI+OWK6FL
/08
++ 7DFWLOHJDWLQJLQDUHDFKLQJDQGJUDVSLQJ
PRYHPHQW)/&2/,12*%,167('8QLYRI%ULWLVK
&ROXPELD2NDQDJDQ8QLYRI%ULWLVK&ROXPELD2NDQDJDQ
++ 7DFWLOHPRWLRQVLJQDOVLQSULPDWH
6FRUWH[LQUHODWLRQWRWDFWLOHVSHHGDQGWKHSK\VLFDO
FKDUDFWHULVWLFVRIUDLVHGGRWVXUIDFHV$'(3($8/7(
0()7$+&&+$30$18QLY0RQWUHDO8QLY0RQWUHDO
++ 7DVNGLVWUDFWRUUHVSRQVHVLQ
VRPDWRVHQVRU\FRUWH[DUHVXSSUHVVHGGXULQJGLVFULPLQDWLRQ
'7%/$.((63,1*$7+0HG&RO*HRUJLD
++ (QKDQFHPHQWRIVHQVRU\SURFHVVLQJ
LQWKHXULQDU\EODGGHU=&'$1=,*(5:*5,//'XNH
8QLY'XNH8QLY
,,
([SHULHQFHGHSHQGHQWSODVWLFLW\RI6
FXWDQHRXVGLJLWDOUHFHSWLYH¿HOGVL]HLQUKHVXVPRQNH\V(
0()7$+$&,%8/6.$./262:,&=&(&+$30$1
8QLY0RQWUHDO/DERI1HXURSODVWLFLW\1HQFNL,QVW
,,
(OHFWURFRQGXFWLYHSRO\PHUEDVHG
ÀH[LEOHLQWHUIDFHIRUUDWEDUUHOFRUWH[6768.$'$+
1$.$6+,0$.725,0,768.680,7202177%DVLF
5HV/DE
,,
$VLPSOHPRGHORIFRPSOH[SURFHVVLQJ
LQKXPDQWDFWLOHDIIHUHQWQHXURQV$3586=<16.,56
-2+$16621,0%3K\VLRORJ\8PHD8QLY
,,
0RGXODWLRQRIHYHQWUHODWHGSRWHQWLDOVE\
GHYLDQFHGHWHFWLRQGXULQJPLVPDWFKQHJDWLYLW\OLNHRGGEDOO
SDUDGLJPLQUDW%DUUHO&RUWH[00$&+$'2/(026
52'5,*8(66./(,1.)81.(5XKU8QLYHUVLW\
,,
$ORFDOO\JHQHUDWHGWKHWDUK\WKPLQUDW
VRPDWRVHQVRU\FRUWH[ZKLFKLQWHUDFWVZLWKWDFWLOHLQSXW$
)5$16(1*',0,75,$',6(0$5,6'RQGHUV,QVWIRU
%UDLQ&RJQLWLRQDQG%HKDYLRXU'RQGHUV,QVW)RU%UDLQ
&RJQLWLRQDQG%HKDYLRU
S
,,
6WLPXOXVVSHFL¿FDGDSWDWLRQWRUHSHDWHG
VWLPXOLDQGHQKDQFHGUHVSRQVHVWRRGGEDOOVWLPXOLLQWKH
UDWEDUUHOFRUWH[$QDQLPDOPRGHOIRUKXPDQPLVPDWFK
QHJDWLYLW\"6./(,100$&+$'2/(02652'5,*8(6
.)81.(5XKU8QLYHUVLW\
3267(5
6SLQDO&RUG,QMXU\5HFRYHU\,,
,,
7KHUDWPRWRUFRUWH[RUFKHVWUDWHVWKH
UHFRYHU\RIORFRPRWLRQDIWHUDVHYHUHVSLQDOFRUGLQMXU\
59$1'(1%5$1'-',*,29$11$-+(876&+,
1'20,1,&,4%$55$8'3086,(1.260,&(5$
*&2857,1(&WUIRU1HXURSURVWKHWLFVDQG%0,/LIH
6FLHQFHV(3)/7UDQVODWLRQDO1HXUDO(QJLQ/DE&WUIRU
1HXURSURVWKHWLFV(3)/6FXROD6XSHULRUH6DQW¶$QQD
,,
1RQKXPDQSULPDWHVDQGKXPDQVVKRZ
JUHDWHUIXQFWLRQDOUHFRYHU\WKDQUDWVDIWHUVLPLODUVSLQDOFRUG
LQMXU\/))5,('/,(6526(1=:(,*4%$55$8'
1'20,1,&,/$:$,06&+8%(57-1,(/6216&
675$1'3086,(1.2+=+21*6=8'12:6.,5
552<$5)(5*8621$&85795('*(57210
+786=<16.,*&2857,1(&WU)RU1HXURSURVWKHWLFV
DQG%UDLQ0LQG,QVWLWXWH(3)/8QLYRI&DOLIRUQLD6DQ
'LHJR8&6'DQG9HWHUDQV$GPLQ0HG&WU%DOJULVW8QLY
+RVSLWDO8QLYRI=XULFK8QLYRI&DOLIRUQLD6DQ)UDQFLVFR
8&6)8QLYRI&DOLIRUQLD'DYLV8&'8QLYRI&DOLIRUQLD
/RV$QJHOHV8&/$8QLYRI&DOLIRUQLD/RV$QJHOHV
8&/$8QLYRI&DOLIRUQLD/RV$QJHOHV8&/$
,,
2QOLQHRSWLPL]DWLRQRIPXOWLVLWHHOHFWULFDO
VSLQDOFRUGVWLPXODWLRQLQFUHDVHVFRQVLVWHQF\RIVWHSSLQJ
DQGOLPEFRQWUROLQVSLQDOUDWV(0$57,1025$8'
1:(1*(5-',*,29$11$3086,(1.20
025$5,*&2857,1(60,&(5$1HXURSURVWKHVLV
&RQWURO*URXS$XWRPDWLF&RQWURO/DERUDWRU\(7+=XULFK
7UDQVODWLRQDO1HXUDO(QJLQ/DE&WUIRU1HXURSURVWKHWLFV
(FROH3RO\WHFKQLTXH)HGHUDOHGH/DXVDQQH(3)/&WU
IRU1HXURSURVWKHWLFVDQG%UDLQ0LQG,QVWLWXWH6FKRI/LIH
6FLHQFHV(3)/7KH%LR5RERWLFV,QVWLWXWH6FXROD6XSHULRUH
6DQW¶$QQD
,,
0XOWLV\VWHPQHXURUHKDELOLWDWLRQUHVWRUHV
YROXQWDU\ORFRPRWLRQDIWHUDVHYHUHVSLQDOFRUGFRQWXVLRQ-
+(876&+,/)5,('/,0+/,(6'(.6'8,659$1
'(1%5$1'*&2857,1(&WU)RU1HXURSURVWKHWLFVDQG
%UDLQ0LQG,QVWLWXWH(3)/8QLYRI$PVWHUGDP8Y$
,,
5RERWLFQHXURSURVWKHWLFDQGDQDO\WLFDO
WRROER[WRLQYHVWLJDWHORFRPRWRUUHFRYHU\DIWHU&16
GLVRUGHUVLQPLFH,92//(1:(,'(5-921=,7=(:,7=
$7$.(2.$3086,(1.2+9$//(5<6/$&285
&:22/)=+(6$5%(5*&2857,1(&WUIRU
1HXURSURVWKHWLFVDQG%UDLQ0LQG,QVWLWXWH(3)/(7+(7+
8QLYRI%DVHODQG)0,.DOLID8QLY+DUYDUG0HG6FK
S
,,
6KRUWWHUPUHFRYHU\RILQWHUOLPE
FRRUGLQDWLRQGXULQJORFRPRWLRQLQDURGHQWPRGHO
ZLWKLQFRPSOHWHVSLQDOFRUGLQMXU\DIWHUOHVVLQYDVLYH
QHXURPXVFXODUHOHFWULFDOVWLPXODWLRQWKHUDS\7.$1&+,.8
+68=8.,<,0$-2<<26+,'$$025,<$<
68(720,7085$.$0,77$*8&+,<DPDJXFKL8QLY
*UDG6FKRI0HG
,,
6PDUWH3DQWV$QRYHOQHXUDO
SURVWKHWLFGHYLFHIRUWKHSUHYHQWLRQRIGHHSWLVVXHLQMXU\LQ
VSLQDOFRUGLQMXU\DQGRWKHUQHXURORJLFDOGLVRUGHUV5$
:$5:$58.52*(56$$+0(729,&'6&+1(3)5
6200(5/.$:$6$.,*,66$&6219086+$+:$5
0&+$163'8.(/2:8QLYRI&DOJDU\8QLYRI
$OEHUWD$OOHQ*UD\&RQWLQXLQJ&DUH&WU*OHQURVH5HKDELO
+RVS8QLYRI$OEHUWD8QLYRI$OEHUWD8QLYRI$OEHUWD
8QLYRI&DOJDU\8QLYRI&DOJDU\
,,
$QRGDOWUDQVFUDQLDOGLUHFWFXUUHQW
VWLPXODWLRQWRWKHSULPDU\PRWRUFRUWH[HQKDQFHVWKH
DIWHUHIIHFWVRISDWWHUQHGHOHFWULFDOVWLPXODWLRQDPRQJSDWLHQWV
ZLWKLQFRPSOHWHVSLQDOFRUGLQMXU\7<$0$*8&+,7
)8-,:$5$<$76$,6&7$1*0/,8.HLR8QLY6FK
RI0HG5HV)HOORZRIWKH-DSDQ6RFLHW\IRUWKH3URPRWLRQ
RI6FL7DLSHL9HWHUDQV*HQ+RVS1DWO<DQJ0LQJ8QLY
,,
2SHUDQWFRQGLWLRQLQJRIWLELDOLVDQWHULRU
DQGVROHXV+UHÀH[LPSURYHVVSLQDOUHÀH[PRGXODWLRQDQG
ZDONLQJIXQFWLRQLQLQGLYLGXDOVZLWKPRWRULQFRPSOHWHVSLQDO
FRUGLQMXU\.-0$1(//$(&),(/')27(8QLYRI6W
$XJXVWLQH$XVWLQ7;8QLYRI0LDPL0LOOHU6FKRI0HG
,,
7KHPRUHWKLQJVFKDQJHWKHPRUHWKH\
UHPDLQWKHVDPH7KHHIIHFWVRI+UHÀH[FRQGLWLRQLQJRQ
ORFRPRWLRQ/&+(1<&+(15/,8<:$1*-5
:2/3$:;&+(1:DGVZRUWK&WU1<6'HSW+OWK
681<
,,
2SHUDQWFRQGLWLRQLQJRIVROHXVVWUHWFK
UHÀH[LQKXPDQV<0$.,+$5$3%6,/9$$.
7+203621105$&+$&=.(567,1*$DOERUJ8QLY
+HOHQ+D\HV+RVSLWDO1<6'HSW+OWK:DGVZRUWK&HQWHU
1<6'HSW+OWK&ROXPELD8QLY6WDWH8QLYRI1HZ<RUNDW
$OEDQ\
,,
+UHÀH[XSFRQGLWLRQLQJLQVSLQDOFRUG
LQMXUHGUDWVDQGWKHDVVRFLDWHGORFRPRWRULPSURYHPHQW
SHUVLVWIRUDWOHDVWGD\VDIWHUFRQGLWLRQLQJHQGV<
&+(1/&+(15/,8<:$1*-5:2/3$:;
&+(1:DGVZRUWK&WU1<6'HSW+OWK681<
--
$QHJRWLDWHGHTXLOLEULXPWKHUROHRI
VSLQDOFRUGSODVWLFLW\LQPRWRUOHDUQLQJ-5:2/3$:;<
&+(1:DGVZRUWK&WU1<6'HSW+OWK
--
+UHÀH[FRQGLWLRQLQJDIIHFWV*$%$%
UHFHSWRUVLQUDWVROHXVPRWRQHXURQV<:$1*/+<$2
/&+(1<&+(1-5:2/3$:;<&+(1:DGVZRUWK
&WU1<6'HSW+OWK681<
--
,QIHULRUROLYHDEODWLRQSUHYHQWVDFTXLVLWLRQ
DQGORQJWHUPPDLQWHQDQFHRIVROHXV+UHÀH[GRZQ
FRQGLWLRQLQJLQUDWV;&+(1<&+(1/&+(15/,8
<:$1*/+<$2-5:2/3$::DGVZRUWK&WU1<6
'HSW+OWK681<
,,
&KDRWLFUHPRGHOLQJRIVSLQDOQHXURQDO
FLUFXLWULHVOHDGVWRDGHJUDGDWLRQRIIXQFWLRQLQWKHFKURQLF
VWDWHRIDVHYHUHVSLQDOFRUGLQMXU\4%$55$8'
-+(876&+,59$1'(1%5$1'/)5,('/,3
086,(1.29',(7=*&2857,1((3)/&WU)RU
1HXURSURVWKHWLFV6SLQDO&RUG,QMXU\&HQWUH%DOJULVW8QLY
+RVS
,,
$GDSWLYHHOHFWULFDOVWLPXODWLRQRIVSLQDO
ORFRPRWRUQHWZRUNVFRQWUROVIRRWWUDMHFWRU\LQVSLQDOUDWV
1:(1*(5(0$57,1025$8'65$632329,&
0%21,==$72-)',*,29$11$3086,(1.26
0,&(5$*&2857,1(&WUIRU1HXURSURVWKHWLFV6ZLVV
)HGHUDO,QVWRI7HFKQRO(3)/6ZLVV)HGHUDO,QVWRI
7HFKQRO(3)/6ZLVV)HGHUDO,QVWRI7HFKQRO(7+=
6FXROD6XSHULRUH6DQW¶$QQD
--
2SHUDQWGRZQFRQGLWLRQLQJRIWKH
VROHXV+UHÀH[FDQLPSURYHJDLWLQSHRSOHZLWKVSDVWLFLW\GXH
WRFKURQLFLQFRPSOHWHVSLQDOFRUGLQMXU\$7+203621
)320(5$17=-:2/3$:+HOHQ+D\HV+RVS1<6
'HSW+OWK:DGVZRUWK&HQWHU1<6'HSW+OWK1HXURORJ
,QVWLWXWH&ROXPELD8QLY6WDWH8QLYRI1HZ<RUNDW$OEDQ\
--
6LPLODULWLHVDQGGLIIHUHQFHVEHWZHHQ+
UHÀH[HVDQG0XOWLVHJPHQWDO0RWRU5HVSRQVHV68=81
0$6$%%$+,)29$.%,77$5$$%',/$+,0DUPDUD
8QLY7H[DV(OHFWURSK\VLROJ\6HUYLFHV7H[DV:RPDQ¶V
8QLY
--
5ROHRIWKHEDVDOJDQJOLDIRUWKHPRWRU
UHFRYHU\DIWHUVSLQDOFRUGLQMXU\06$:$'$7,6$
+212(<1,6+,085$1DWO,QVW)RU3K\VLRORJLFDO
6FL*UDG6FKRI.\RWR8QLY5,.(1-6735(672
62.(1'$,
--
(QGRJHQRXVSUROLIHUDWLYHUHVSRQVH
DIWHUVSLQDOFRUGLQMXU\$0&'2128*+$+2$1*
6*5((1+$/*+90$57Ë1(=&(5'(f2,QVW)RU
3HGLDWULF5HJHQHUDWLYH0HG8QLYRI&DOLIRUQLD'DYLV8QLY
RI&DOLIRUQLD'DYLV6KULQHUV+RVSIRU&KLOGUHQ1RUWKHUQ
&DOLIRUQLD
--
2VWHRFDOFLQUHGXFHVERQHORVVEXW
GHOD\VUHFRYHU\LQPLFHIROORZLQJVSLQDOFRUGLQMXU\3
3$77(5621%8&.(1'$+/$62:,16.$-3$7(/0
/863$*.$/,1$:$1/$32+25(&.<'2/,16.<
'681'%(1-$0,15XWJHUV8QLY5XWJHUV8QLY
5XWJHUV8QLY&HQR[V\V&RUS
--
+HDOLQJZDWHUVDQGLQWUDWKHFDOVHURWRQLQ
LQWKHUHVWRUDWLRQRIIXQFWLRQLQFKURQLFVSLQDOFRUGLQMXU\$
,.$3/,1.5$+1$5,(+0$%$.$5(-&+(1*6
3$7(/&816(5'%(&.(5-RKQV+RSNLQV8QLY620
2[IRUG0HG6FK*HRUJH:DVKLQJWRQ8QLY.HQQHG\
.ULHJHU,QVW
--
2UFKHVWUDWHGPRQRF\WHWUDI¿FNLQJWRWKH
LQMXUHGVSLQDOFRUGYLDWKHEORRGFHUHEURVSLQDOÀXLGEDUULHU
DOHDN\EORRGEUDLQEDUULHULVQRWWKHSUHIHUUHGURXWH5
6+(&+7(520,//(5*<29(/1526(1=:(,*
$/21'21-5,67..,06-81*06&+:$57=
:HL]PDQQ,QVW6FL
--
1HXURPRGXODWLRQRIPRWRUHYRNHG
SRWHQWLDOVLQOHJPXVFOHVLQGXFHGE\HSLGXUDOVWLPXODWLRQ
ZLWKDQDUUD\HOHFWURGHLQKXPDQVZLWKDPRWRUFRPSOHWH
VSLQDOFRUGLQMXU\6-+$5.(0$<*(5$6,0(1.2
$:,//+,7(&)(55(,5$00(1*960,7+&
$1*(/,9('*(57218QLY/RXLVYLOOH)UD]LHU5HKDE
,QVW.6&,5&8QLYRI&DOLIRUQLD/RV$QJHOHV8QLYRI
/RXLVYLOOH)UD]LHU5HKDE,QVW8QLYRI&DOLIRUQLD/RV
$QJHOHV
--
,PSURYHPHQWVLQOHYHORIUHFRYHU\
RIWDVNVSHFL¿FYROXQWDU\FRQWURORIORZHUOLPEVZLWK
OXPERVDFUDOHSLGXUDOVWLPXODWLRQDQGWUDLQLQJDIWHUFKURQLF
FRPSOHWHSDUDO\VLV&$$1*(/,9('*(5721<
*(5$6,0(1.26+$5.(0$)UD]LHU5HKDE,QVW8QLY
RI/RXLVYLOOH8QLYRI&DOLIRUQLD/RV$QJHOHV
--
)HDWXUHVRIEORRGSUHVVXUHDQGKHDUW
UDWHUHVSRQVHVLQGXFHGE\WKHOXPERVDFUDOVSLQDOFRUG
HSLGXUDOVWLPXODWLRQZLWKDQDUUD\HOHFWURGHLQDKXPDQZLWK
DPRWRUFRPSOHWHVSLQDOFRUGLQMXU\6&$6/$16-
+$5.(0$&$$1*(/,$.5$66,28.29-+2'(6
8QLY/RXLVYLOOH)UD]LHU5HKDE,QVW8QLY/RXLVYLOOH8QLYRI
%ULWLVK&ROXPELD
3267(5
$UWKURSRG0RWRU6\VWHPV&HOOXODU3URSHUWLHV
--
1HXURPRGXODWLRQPDLQWDLQVFKDQQHO
P51$FRUUHODWLRQVLQQHXURQVRIWKHVWRPDWRJDVWULF
JDQJOLRQ67(0325$/'-6&+8/=8QLYRI0LVVRXUL
8QLYRI0LVVRXUL&ROXPELD
--
7KHUROHRI'URVRSKLODÀLJKWPRWRQHXURQ
VRPDWRGHQGULWLFFDFRSKRQ\FDOFLXPFXUUHQWLQÀLJKWEHKDYLRU
'.$'$66&5<*/(:6.,$-.,1'(/,1&'8&+
$UL]RQD6WDWH8QLY$UL]RQD6WDWH8QLY
--
'\QDPLFFRPSHQVDWRU\PHFKDQLVPV
LQFRQGXFWDQFHFRUUHODWLRQPRGHOV-*2/2:$6&+0
2/$5,15(+*52767(,11-,71-,7
..
'LIIHUHQWYHUVLRQVRIDUK\WKPLFPRWRU
SDWWHUQLQWKHLVRODWHG&16SHUVLVWDWWKHPXVFOHWHQVLRQ
DQGEHKDYLRUDOOHYHOV)0',(+/:67(,103
186%$808OP8QLY,OOLQRLV6WDWH8QLY3HUHOPDQ6FKRI
0HG8QLYRI3HQQV\OYDQLD
..
0XOWLVHQVRU\LQWHUDFWLRQVLQWKH
VWRPDWRJDVWULFQHUYRXVV\VWHP0RGXODWLRQRID
SURSULRFHSWLYHVHQVRU\SDWKZD\E\GHVFHQGLQJROIDFWRU\
SURMHFWLRQQHXURQV&67$('(/(:67(,1,OOLQRLV6WDWH
8QLY8OP8QLY
..
S
&RPSDULVRQRIIDVWYROWDJH
VHQVLWLYHG\HVXVHGIRULPDJLQJQHXURQDODFWLYLWLHVLQ
WKHVWRPDWRJDVWULFQHUYRXVV\VWHPRIFUXVWDFHDQV6
35(866:67(,18OP8QLY,OOLQRLV6WDWH8QLY
..
&3*QHXURQSRVVHVVHVDVPDOOZLGRZRI
V\QDSWLFHI¿FDF\WRHQFRGHDFWLYLW\LQDFRRUGLQDWLQJQHXURQ
&560$5$1'$&+(:(//0$118QLYRI&RORJQH
..
,QWULQVLFHQFRGLQJSURSHUWLHVRI
FRRUGLQDWLQJQHXURQVDQGPRWRUQHXURQVLQWKHFUD\¿VK
VZLPPHUHWV\VWHP70:5,*+7-U%08//21(<
8QLYRI&DOLIRUQLD'DYLV8QLYRI&DOLIRUQLD'DYLV
..
&KDUDFWHUL]DWLRQRIV\QDSWLFLQWHUDFWLRQ
EHWZHHQQHXURQVUHVSRQVLEOHIRUFRRUGLQDWLRQRID
FKDLQRIRVFLOODWRUV+6(,&+7(50+2&++$86&
60$5$1'$&+(:(//0$118QLYRI&RORJQH
..
5DSLGKRPHRVWDWLFSODVWLFLW\RILQWULQVLF
H[FLWDELOLW\DQGHOHFWULFDOV\QDSVHVWUHQJWKLQDFHQWUDO
SDWWHUQJHQHUDWRUQHWZRUNVWDELOL]HVQHXURQDQGQHWZRUN
RXWSXW-/5$16'(//661$,5'-6&+8/=8QLY
RI0LVVRXUL&ROXPELD
..
'HJUDGDWLRQRIFKRQGURLWLQVXOIDWH
SURWHRJO\FDQVLQDQLQYHUWHEUDWHFHQWUDOSDWWHUQJHQHUDWRU
DOWHUVKRPHRVWDWLFPDLQWHQDQFHRIUK\WKPLFDFWLYLW\$(
+8'621&7$1*$$35,1=(PRU\8QLY*HRUJLD
,QVWRI7HFKQRO(PRU\8QLY
..
/RFDOL]DWLRQRIJDSMXQFWLRQSURWHLQVLQ
WKHFUDEVWRPDWRJDVWULFJDQJOLRQ0*2(5,7=66+587,
(0$5'(5%UDQGHLV8QLY
S
3267(5
&HUHEHOOXP&RUWH[DQG1XFOHL
.. 5ROHRI*$%$$UHFHSWRUVLQWKHFDQDO
VLJQDOWUDQVIRUPDWLRQFDUULHGRXWE\WKHFHUHEHOODUQRGXOXV
DQGXYXOD7$<$.86+(9$'($1*(/$.,30
%/$=48(=:DVKLQJWRQ8QLY%D\ORU&ROOHJXH
..
1HWZRUNFRQQHFWLYLW\DQGLQIRUPDWLRQ
SURFHVVLQJLQWKHFHUHEHOODULQSXWOD\HU*2%,//,1*6
$/^5,1&==1866(556,/9(58QLY&RO/RQGRQ
+XQJDULDQ$FDGRI6FL
.. &HUHEHOODUFRUWLFDODFWLYDWLRQHYRNHGE\
JUDQXOHFHOOLQSXW$UHHYDOXDWLRQRIWKHEHDPDQGUDGLDO
K\SRWKHVHV6:&5$0(5:*$2*&+(17-
(%1(58QLY0LQQHVRWD
.. SF)RVH[SUHVVLRQLQWKHFHUHEHOOXP
LQUHVSRQVHWRFKURQLFGRSDPLQHUJLFDOWHUDWLRQV*
+(55(5$0(=$/$*8,55(*&25,$$9,/$/
/23(=-0$1=2/,*$5&,$00,48(/&(1752
'(,19(67,*$&,21(6&(5(%5$/(6'RFWRUDGRHQ
1HXURHWRORJLD-DXPH,
.. 6LJQDOGHJUDGDWLRQLQWKHFHUHEHOOXP
VHOHFWLYHO\GLVUXSWVGLIIHUHQWDVSHFWVRIPRWRUOHDUQLQJ*
4=+$271*8<(19866+,1</,5:76,(1*
6%$56+-55$<021'6WDQIRUG8QLY6WDQIRUG8QLY
6WDQIRUG8QLY
.. 5HSUHVHQWDWLRQRIEHKDYLRUVLQWKH
FHUHEHOOXP6SLNHUDWHPRGXODWLRQYVVSLNHWLPLQJ<&$2
60$5$1'-$(*(5'+(&.8QLYRI7HQQHVVHH+OWK
6FL&WU'HSWRI%LRORJ\(PRU\8QLY
.. 0LPLFNLQJQDWXUDOPRVV\¿EHULQSXWVLQ
VSHFL¿FPRGXOHVRIWKHFHUHEHOODUFRUWH[LQYLWUR)%,1'$
6$3$:/2:6.,-)&$6(//$-/'832176
5(,%(/3.2(%(/%328/$,13,623(&156
&KURQRELRWURQ,*%0&
.. /DUJHVFDOHV\QFKURQ\LQWKHFHUHEHOOXP
-*527+*25'(.06$+,11HZ-HUVH\,QVWRI
7HFKQRO
.. 7KHUDWHDQGUHJXODULW\RI3XUNLQMHFHOO
VSLNLQJDIIHFWVWKHVLJQDOWUDQVIHURIEHKDYLRUORFNHGUDWH
PRGXODWLRQLQWKHFHUHEHOODUFRUWLFRQXFOHDUSDWKZD\60
6(/$1',3$/$<$0<&$2'+(&.'-$(*(5(PRU\
8QLY87+6&
.. 0HPEUDQHSRWHQWLDOG\QDPLFVRI
FHUHEHOODU3XUNLQMHFHOOVDQGLQWHUQHXURQVGXULQJYROXQWDU\
ORFRPRWLRQ0-(/,7$,,&'8*8,'8QLYRI(GLQEXUJK
//
&HUHEHOODULQKLELWLRQRIDP\JGDODIHDU
UHVSRQVH$0$*$/00,17=7HO$YLY8QLY
//
6\QDSWRWDJPLQLVWLJKWO\FRXSOHGWR
SUHV\QDSWLF&DFKDQQHOVDQGIXQFWLRQVDVWKHPDMRU&D
VHQVRURIIDVWWUDQVPLWWHUUHOHDVHLQFHUHEHOODULQKLELWRU\
V\QDSVHV,$5$,0%$57263-21$6,QVWRI6FLDQG
7HFKQRO,67$XVWULD8QLY)UHLEXUJ
//
&HUHEHOODUPRWRUVHTXHQFHDFTXLVLWLRQ$
FRPSXWDWLRQDOVWXG\$(.$+1$0$*$/5+2*5,0
0,17=7HO$YLY8QLY
//
7KHDFWLYLW\RIFHUHEHOODU3XUNLQMHFHOOV
FRQWULEXWHVWRWKHLQGXFWLRQRIPRWRUOHDUQLQJ71*8<(1
98$.2+/,.'(,66(527+-/5$<021'6WDQIRUG
8QLY6WDQIRUG8QLY
//
%DVLVIXQFWLRQVIRUFHUHEHOODULQVSLUHG
FRQWURORIVRIWVPDUWPDWHULDOV(':,/62165
$1'(56213'($1-3255,//6KHI¿HOG8QLY
//
+RZWKHPD[LPXPDPSOLWXGHRUGXUDWLRQ
RIFRQGLWLRQHGVWLPXOLGHWHUPLQHVWKHWLPLQJRIFRQGLWLRQDO
UHVSRQVHV$FRPSXWDWLRQDOVWXG\RIDFHUHEHOODUVSLNLQJ
QHWZRUNPRGHO7+21'$7<$0$=$.,0+,52126
1$*$25,.(1%UDLQ6FL,QVW-6365HV)HOORZ3'
8QLYRI(OHFWUR&RPPXQLFDWLRQV
//
&RQWURORIPRYHPHQWE\RSWRJHQHWLF
GHFUHDVHVLQ3XUNLQMHFHOODFWLYLW\6$+(,1(<*
$8*867,1(-)0(',1$8QLYRI3HQQV\OYDQLD'XNH
186*UDG0HG6FK.RUHD,QVWRI6FLDQG7HFKQRO
//
&ORVHGORRSLQWHUIDFHZLWKWKH
ROLYRFHUHEHOODUV\VWHP5+2*5,'.21)257<(
6(*$/,6$0$*$/6$%$0)25'5358(&./
&*8*(500,17=3V\FKRELRJ\5HV8QLW6FKRI
3V\FKRORJLFDO6FLHQFHV7HO$YLY8QLY7HO$YLY8QLY,QVW
6XSHULRUHGL6DQLWj*XJHU7HFKQRORJLHV
//
&KDUDFWHUL]DWLRQRI3XUNLQMHFHOOLQSXWV
RQWRVXEW\SHVRIPHGLDOYHVWLEXODUQXFOHXVQHXURQVWKDW
PHGLDWHFHUHEHOODUOHDUQLQJ.-.(//(+(57.2'$0$
6'8/$&6DON,QVW
//
'HQGULWLFVSHFLDOL]DWLRQZLWKLQWKH
PDPPDOLDQFHUHEHOODUQXFOHLUHYHDOHGE\'UHFRQVWUXFWLRQ
DQGDQXQELDVHGSRSXODWLRQEDVHGDQDO\VLV6+$02'(+
,68*,+$5$)568/7$18QLY7XHELQJHQ7RN\R0HG
DQG'HQW8QLY*UDG6FKRI0HG
//
,QYLYRFDOFLXPG\QDPLFVLQFHUHEHOODU
3XUNLQMHFHOOGHQGULWHV70,&+,.$:$$0,<$:$.,6
.$.(,0+$866(56,72+$5$-1$.$,%UDLQ6FL
,QVWLWXWH6DLWDPD8QLY5,.(1%UDLQ6FL,QVW5,.(1%UDLQ
6FL,QVW7RN\R0HWURSROLWDQ,QVWRI0HG6FL:ROIVRQ,QVW
IRU%LRPHG5HVHDUFK8QLY&RO/RQGRQ
//
0RYHPHQWGH¿FLWVSURGXFHGE\LQIHULRU
ROLYHOHVLRQDUHVXEGLYLVLRQVSHFL¿F.0+251$'((3
$5*,%621%DUURZ1HXURORJ,QVW
//
0XOWLSOHEXUVWLQJHYRNHGE\PRVV\¿EHU
EXQGOHVWLPXODWLRQLQXQLSRODUEUXVKFHOOV([SHULPHQWDO
HYLGHQFHDQGFRPSXWDWLRQDOPRGHOLQJ)/2&$7(//,
668%5$0$1,<$0)35(6725,662/,1$6/
0$3(//,60$6(772('¶$1*(/28QLYRI3DYLD
,5&&6&0RQGLQR
S
.. (OHFWULFDOFRQWULEXWLRQRISRVWV\QDSWLF
7W\SHFDOFLXPFKDQQHOVWRSDUDOOHO¿EHU3XUNLQMHFHOO
V\QDSWLFWUDQVPLVVLRQ5/<98(%(/(-5(1*(5
+35266(5$5$1'$//0.$12.6$.,085$%
%$5%2853,623($)(/7=,%(16(TXLSH&HUYHOHW
0HUFN5HV/DEV:HOOFRPH7UXVW6DQJHU,QVW8QLYRI
%ULVWRO8QLYRI7RN\R1LLJDWD8QLY8QLYGH6WUDVERXUJ
//
+RZWKHPD[LPXPDPSOLWXGHRUGXUDWLRQ
RIFRQGLWLRQHGVWLPXOLGHWHUPLQHVWKHWLPLQJRIFRQGLWLRQDO
UHVSRQVHV$QH[SHULPHQWDOVWXG\RIWKHUDEELWQLFWLWDWLQJ
PHPEUDQHUHVSRQVH0+,52127+21'$.8&+,12
+,%,+.,7$=$:$0$1=$,7<$0$=$.,0
1$.$*$:$61$*$2/DEIRU0RWRU/HDUQLQJ&RQWURO
5,.(1%UDLQ6FL,QVW-636'HSW(OHFW(QJ1DJDRND
8QLY7HFK'HSW+LVWRODQG1HXURDQDW7RN\R0HG8QLY
8QLY(OHFWUR&RPP
//
$QDO\VLVRIDGHWDLOHGPRGHORIJUDQXODU
OD\HUSURFHVVLQJFDQLWVXSSRUWWKHFRPSXWDWLRQVUHTXLUHGE\
WKHDGDSWLYH¿OWHUPRGHORIWKHFHUHEHOOXP"&5g66(57
3'($1662/,1$6('¶$1*(/2-3255,//8QLYRI
6KHI¿HOG8QLYRI3DYLD
//
,VPRWRUOHDUQLQJHQFRGHGE\VWUXFWXUDO
DOWHUDWLRQVLQFHUHEHOODUSDUDOOHO¿EHUV"2&:,17(5/
/,-/5$<021'6WDQIRUG'HSWRI1HXURELR6WDQIRUG
8QLY
//
7KHWDIUHTXHQF\UHVRQDQFHLQWKH
FHUHEHOOXPJUDQXODUOD\HUFLUFXLW('¶$1*(/23
/20%$5'2'*$1'2/),-0$3(//,662/,1$6
8QLYRI3DYLD,5&&6&0RQGLQR8QLYRI0RGHQD
//
(IIHFWVRIWKHFRQGLWLRQDOVWLPXOXVRQ
*ROJLFHOODFWLYLW\GXULQJFODVVLFDOFRQGLWLRQLQJRIWKHH\H
EOLQNUHVSRQVHLQWKHGHFHUHEUDWHIHUUHW$5$60866(1
5=8&&$'-,5(1+('-)-2+$16621&
g57(1%/$'369(16621*+(66/2:/XQG8QLY
7KH/DEIRU6\QWKHWLF3HUFHSWLYH(PRWLYHDQG&RJQLWLYH
6\VWHPV63(&68QLY3RPSHX)DEUD
//
$7I05,VWXG\RIFHUHEHOODUDFWLYDWLRQLQ
VHTXHQWLDO¿QJHUPRYHPHQWWDVNV0567()$1(6&80
7+h5/,1*60$'(5:$/'7:,(67/(50(/$''
-',('5,&+6(1'7,00$118QLYRI'XLVEXUJ(VVHQ
(UZLQ/+DKQ,QVWIRU0DJQHWLF5HVRQDQFH,PDJLQJ,QVW
RI&RJQLWLYH1HXURVFL'HSWRI'LDJQRVDQG,QWHUYHQWLRQDO
5DGLRORJ\DQG1HXURUDGLRORJ\
3267(5
3RVWXUHDQG*DLW.LQHPDWLFV0XVFOH$FWLYLW\([HUFLVH
DQG)DWLJXH%LRPHFKDQLFV
//
(IIHFWVRIVWUHQJWKDQGPRWRULPDJHU\
WUDLQLQJRQFRUWLFRPXVFXODUVLJQDOFRXSOLQJLQDJLQJ0%
%$<5$0'&811,1*+$0&%211(77%0$021(
(%3/2:-+2896,(0,212:*+<8(&OHYHODQG
&OLQ&OHYHODQG6WDWH8QLY.HQW6WDWH8QLY&OHYHODQG
&OLQ.HVVOHU)QGQ5HV&WU
00
'HYHORSPHQWRIDPRGHOIRUPRYHPHQW
DQDO\VLVRIVTXLUUHOPRQNH\SUHKHQVLRQ.675g0%20$
*(,(576&+0$1.(6%$5%$<5-18'28QLYRI
.DQVDV0HG&WU
00
L:DONDJDLWDQDO\VLVGHYLFHLQFRUSRUDWLQJ
DQL3RGZLUHOHVVDFFHOHURPHWHUDSSOLFDWLRQ5&
/(02<1(70$6752,$11,,QGHSHQGHQW
00
(VWLPDWLQJOHJVWLIIQHVVDQGGDPSLQJ
GXULQJUXQQLQJ09(1.$'(6$1/0$+$'(9$1'(
/,(%(50$11DWO&WU)RU%LRO6FL+DUYDUG8QLY+DUYDUG
8QLY
00
.LQHPDWLFDQGNLQHWLFSDWWHUQVRIWUHDGPLOO
ZDONLQJLQSUHDGROHVFHQWFKLOGUHQ-:8*HRUJLD6WDWH
8QLY
00
/RFRPRWLRQDQGVNLOOHGORFRPRWLRQLQ
W\SLFDOO\GHYHORSLQJ¿YHWRVL[\HDUROGFKLOGUHQ,,2EVWDFOH
ZDONLQJ&:&+$86*20%$772%&$66,(-
)/$11(5<.0$1&862&3,/&1D]DUHWK&RO
00
(IIHFWVRIOLPLWLQJPRYHPHQWUDQJHRIWKH
FHQWHURIIRRWSUHVVXUHRQSRVWXUDOFRQWUROGXULQJDUPÀH[LRQ
.)8-,:$5$&<$*8&+,0,5(,.DQD]DZD8QLY
+RNNDLGR%XQN\R8QLY
00
/DWHUDOLW\RIWKHSRVWXUDOVWHDGLQHVV
GXULQJRQHOHJVWDQFHLQVWDWLFDQGG\QDPLFEDODQFH
FRQGLWLRQ7.,<27$.)8-,:$5$)DFRI+XPDQLWLHV
6DSSRUR,QWO8QLY.DQD]DZD8QLY
00
0XVFOHV\QHUJLHVRIIHHGIRUZDUGSRVWXUDO
DGMXVWPHQWVGXULQJUHDFKLQJWRPXOWLGLUHFWLRQDOWDUJHWVLQ
VWDQGLQJ-$/(21$5'6$&+9$7$//+7,1*3
-67$3/(<0F*LOO8QLY*HRUJLD7HFKDQG(PRU\8QLY
8QLYRI:ROORQJRQJ
00 $V\PPHWU\RIIRRWSRVLWLRQDQGZHLJKW
GLVWULEXWLRQDQGWKHLQWHUOHJFRRUGLQDWLRQG\QDPLFVRI
VWDQGLQJ=:$1*.1(:(//7KH3HQQV\OYDQLD6WDWH
8QLY7KH3HQQV\OYDQLD6WDWH8QLY
00 &RPSHQVDWRU\SRVWXUDOFRRUGLQDWLRQ
SDWWHUQVDVDIXQFWLRQRIUK\WKPLFDOSHUWXUEDWLRQ-.2-
&+$//,6.01(:(//7KH3HQQV\OYDQLD6WDWH8QLY
7KH3HQQV\OYDQLD6WDWH8QLY7KH3HQQV\OYDQLD6WDWH8QLY
00 7KHHIIHFWVRIORDGW\SHRQWLPHWRWDVN
IDLOXUHRQWKHWUXQNÀH[RUV652%(567&0:$//-
67+20$62KLR8QLY2KLR8QLY
00 (0*SDWWHUQVGXULQJGLIIHUHQWPHWKRGVRI
WKHVLWWRVWDQGWDVN%(71<5(5LFH8QLY
00 *DLWPRGL¿FDWLRQLQKHDOWK\LQGLYLGXDOV
IROORZLQJURERWDVVLVWHGEDODQFHWUDLQLQJ6.,0.5(('
8QLYRI6RXWK)ORULGD8QLYRI6RXWK)ORULGD
00 $QRYHORSWLFÀRZSDWWHUQFDQVSHHG
ORFRPRWRUOHDUQLQJ-0),1/(<0$67$7721$-
%$67,$1.HQQHG\.ULHJHU,QVW-RKQV+RSNLQV8QLY
00 (IIHFWRIORZHUOLPEHQGHIIHFWRUURERW
DVVLVWHGWKHUDS\ZLWKERG\ZHLJKWVXSSRUWYVWUHDGPLOOJDLW
WUDLQLQJLQ3DUNLQVRQ¶VSDWLHQWV36$/('/(3(5$)
672&&+,0'(3$1',6(3$/0$0)5$1&(6&+,1,
,5&&66DQ5DIIDHOH3LVDQD,5&&66DQ5DIIDHOH3LVDQD
6DQ5DIIDOHOH
00 *DLWWUDQVLWLRQVLQKXPDQLQIDQWV&DQ
EDELHVUXQ"(99$68'(9$16.3$75,&.-)
<$1*0RVV5HKDE5HV,QVW8QLYRI$OEHUWD8QLYRI
$OEHUWD
00 5HOLDELOLW\RIWUHDGPLOOJDLWG\QDPLF
PHDVXUHV'9(51,%$$:(*/$5=:*$*(<RUN
8QLY
00 &KDQJHVLQUHODWLYHDFWLYLW\RIIDVWHU
DQGVORZHUPRWRUXQLWSRSXODWLRQVLQIHOLQHDQNOHH[WHQVRUV
GXULQJORFRPRWLRQIROORZLQJVHOIUHLQQHUYDWLRQ$3$17$//
()+2'62172/(5-*5(*25%,35,/876.<
*HRUJLD,QVWRI7HFKQRO0DQFKHVWHU0HWURSROLWDQ8QLY
86&
00 3HUIRUPDQFHGXULQJFXWWLQJPDQRXHYUHV
UHODWHVWRWLPLQJRIPRWRUPRGXOHDFWLYDWLRQV$6
2/,9(,5$8*.(567,1*')$5,1$$DOERUJ8QLY
&DSHV)RXQGDWLRQ0LQLVWU\RI(GXFRI%UD]LO'HSW
RI1HXURUHKDELOLWDWLRQ(QJLQHHULQJ%HUQVWHLQ)RFXV
1HXURWHFKQRORJ\*|WWLQJHQ%HUQVWHLQ&WUIRU&RPSXWDW
1HXURVFLHQFH8QLY0HG&WU*|WWLQJHQ*HRUJ$XJXVW
8QLY
00
/RFRPRWRUDGDSWDWLRQLQDYLUWXDO
HQYLURQPHQWDIIHFWVJDLWNLQHWLFV008.+(5-((-
&+,(169$//$%+$-268/$167(5*,288QLYRI
1HEUDVND$W2PDKD
S
11
6<1(5*26LQGH[IRUTXDQWLI\LQJ
PXOWLSOHPXVFOHDFWLYDWLRQLQVTXDWPRYHPHQWV6/
*251,$.$328502*+$''$0:+3$/26.,'
32¶&21125&6/$<1(8QLYRI+RXVWRQ8QLYRI
+RXVWRQ
11 ,PSDLUHG+UHÀH[JDLQGXULQJSRVWXUDO
ORDGHGORFRPRWLRQLQLQGLYLGXDOVSRVWVWURNH-/,$1*'$
%52:11RUWKZHVWHUQ8QLYHUVLW\)HLQEHUJ6FKRI0HG
1RUWKZHVWHUQ8QLYHUVLW\)HLQEHUJ6FKRI0HG'HSWRI
3K\VLFDO7KHUDS\8QLYRI$ODEDPD$W%LUPLQJKDP
11
*HQHUDOL]DELOLW\RI6<1(5*26
LQGH[IRUTXDQWLI\LQJPXOWLSOHPXVFOHDFWLYDWLRQ$
328502*+$''$06/*251,$.'32¶&21125
:+3$/26.,&6/$<1(8QLY+RXVWRQ8QLYRI
+RXVWRQ
11 %HWDHOHFWURHQFHSKDORJUDSKLFFKDQJHV
GXULQJWKUHVKROGRISHUFHSWLRQRIDQNOHSDVVLYHPRWLRQ
DVVHVVPHQW'572/('2-$%$5(/$$).2+1
8QLYRI6DR3DXOR8QLFVXO
11
(0*GULYHQELRPHFKDQLFDOPRGHORIWKH
VSLQHGXULQJÀH[LRQH[WHQVLRQODWHUDOEHQGLQJDQGD[LDO
URWDWLRQRIWKHOXPEDUVSLQH/00&0$1860&857,1
80&&$57+<3(5662100/2:(5<8QLY&RO
'XEOLQ8QLY&RO'XEOLQ8QLY&RO'XEOLQ
11
5HJXODWLRQRILQWHUOLPEFXWDQHRXV
UHÀH[HVGXULQJZDONLQJZKLOHPDLQWDLQLQJOLJKWWRXFKLQDQ
XQVWDEOHHQYLURQPHQW-)25(52-(0,6,$6=(.8QLY
$OEHUWD
11
,QÀXHQFHRIDQNOHSODQWDUÀH[RUIDWLJXH
RQSRVWXUDOFRQWURODQGDVVRFLDWHGFKDQJHVLQSRVWXUH
6%2<$6&0&*2:1(0(''</$-2,(0
%,/2'($88QLYRI2WWDZD
11
,QKLELWLRQRIWKHVWDUWOHUHVSRQVHLQWKH
FHUYLFDOPXOWL¿GXVPXVFOHWULJJHUHGE\ZKLSODVKFROOLVLRQV
':0$1*+-%52:16&*221(7,//(.(*3
6,(*081'-%/28,18QLYRI%ULWLVK&ROXPELD8QLYRI
%ULWLVK&ROXPELD0($)RUHQVLF(QJLQHHUV6FLHQWLVWV,QVW
IRU&RPSXWLQJ,QIRUPDWLRQDQG&RJQLWLYH6\VWHPV,&,&6
11
([HUFLVHLQGXFHGTXDGULFHSVPXVFOH
LQMXU\GLVUXSWVORZHUERG$0*DFWLYLW\GXULQJGRZQVORSH
ZDONLQJ06$%$7,(5&%/$&.&OD\WRQ6WDWH8QLY7KH
8QLYRI0LVVLVVLSSL
3267(5
3RVWXUHDQG*DLW$IIHUHQW&RQWURO
11
3URELQJORFRPRWLYHFRQWUROZLWKYHVWLEXODU
DQGPHFKDQLFDOVWLPXOL'/2*$17.,(0(/3$*$'$
-%/28,1--(.$8QLYRI0DU\ODQG8QLYRI%ULWLVK
&ROXPELD
11 ,QWHJUDWLRQRIVHQVRU\IRUFHIHHGEDFNLV
GLVWXUEHGLQ&536UHODWHGG\VWRQLD:08**()&7
9$1'(5+(/0$&6&+287(1'HOIW8QLYRI7HFKQRO
1RUWKZHVWHUQ8QLY8QLYRI7ZHQWH
11 2QWKHDVVRFLDWLRQEHWZHHQSODQWDU
ÀH[LRQWRUTXHYDULDELOLW\LQVLWWLQJDQGVWDQGLQJ)+
0$*$/+(6(00(//2$).2+18QLY'H6DR
3DXOR
11 ,PSDLUHGIRRWIRUFHGLUHFWLRQUHJXODWLRQ
GXULQJSRVWXUDOORDGHGORFRPRWLRQLQLQGLYLGXDOVSRVWVWURNH
-/,$1*'$%52:11RUWKZHVWHUQ8QLYHUVLW$HLQEHUJ
6FKRI0HG1RUWKZHVWHUQ8QLYHUVLW\)HLQEHUJ6FKRI
0HG8QLYRI$ODEDPDDW%LUPLQJKDP1RUWKZHVWHUQ
8QLYHUVLW\)HLQEHUJ6FKRI0HG
S
11 +HWHURJHQHLW\RIVSLQDOLQWHUQHXURQV
PHGLDWLQJSRVWXUDOOLPEUHÀH[HV39=(/(1,1/+689
)/<$/.$*125/296.<7*'(/,$*,1$.DUROLQVND
,QVW
11 *DLWLVFRQWUROOHGEHWWHUZLWKKDSWLF
IHHGEDFNWKDQZLWKYLVLRQ.%((56<<6+,+3(7$/(
5$%,11<&201<,7
11 (YDOXDWLRQRIWKHHIIHFWRI
FKDQJHLQZDONLQJFRQGLWLRQRQEUDLQDFWLYLW\WKURXJK
HOHFWURHQFHSKDORJUDSK\1)8-,:$5$6025,2.$+
1$.$12.8(7$.LR8QLY5(+$67$*(&R/WG
11 3HUFHSWLRQRIG\QDPLFORZHUH[WUHPLW\
ORDGVLQVWURNHVXUYLYRUV9:&+87+251%<%
'6&+0,75HKDELO,QVWRI&KLFDJR8QLYRI,OOLQRLVDW
&KLFDJR0DUTXHWWH8QLY
11 :KROHFHOOSDWFKFODPSUHFRUGLQJVIURP
PXVFOHVSLQGOHDIIHUHQWQHXURQVLQLQWDFWGRUVDOURRWJDQJOLD
LVRODWHGIURPPRXVH3-2%/,1*-)0$''(1%$
*5$+$08QLYRI1HZFDVWOH
22
3RVWXUHFRQWUROGXULQJRQHOHJTXLHW
VWDQGLQJLVLPSURYHGZLWKVXEVHQVRU\HOHFWULFDOVWLPXODWLRQ
WRPXVFOHVRQULJLGEXWQRWYLVFRHODVWLFVXUIDFH5
,6+,%$6+,0,6+,+$5$.,0$1$.$06+,12+$5$
7RN\R0HWURSROLWDQ8QLY*HRUJLD,QVWRI7HFKQRO$WODQWD
9$5HKDELO5'&WURI([FHOOHQFH
22
,QWHUOLPEFRPPXQLFDWLRQEHWZHHQ
NQHHÀH[RUVGXULQJDVLWWLQJWDVN$-767(9(16217
6,1.-$(5105$&+$&=.(567,1*$DOERUJ8QLY
22
9DULDELOLW\RISRVWXUDOVZD\LVUHGXFHG
ZLWKDQLQFUHDVHLQSRVLWLYHDQNOHIHHGEDFN%+'$/721
%//88-7,1*/,6+)09$1'(5/226($
&52)7-%/28,18QLYRI%ULWLVK&ROXPELD8QLYRI%ULWLVK
&ROXPELD8QLYRI%ULWLVK&ROXPELD
22
'RHVDQNOHWRUTXHRUDQNOHSRVLWLRQ
GHWHUPLQHRXUSRVWXUHGXULQJVWDQGLQJ"%//88+)
09$1'(5/226-%/28,1($&52)78%&8%&
8%&
22
/RZIUHTXHQF\VHQVRULPRWRUFRUWLFDO
PRGXODWLRQVGXULQJSDVVLYHDQGDFWLYHDQNOHPRYHPHQWV
DWGLIIHUHQWUDWHV5-0&.,1'/(6%'6&+0,7
0DUTXHWWH8QLY
22
3RVWXUDOUHRUJDQL]DWLRQLQUHVSRQVH
WRWRUVREDVHGFRYLEURWDFWLOHVWLPXODWLRQ%/((%-
0$57,1.6,(1.28QLYRI0LFKLJDQ8QLYRI0LFKLJDQ
11
/XPERVDFUDOPHFKDQLFVGXULQJDQ
DQWHULRUFDUU\LQJDQGREVWDFOHDYRLGDQFHWDVN-%
.,5,(//$.+$:.,16&3(55<$0225(:
*$*(<RUN8QLY<RUN8QLY
11 ,QWHUDFWLRQVRIWRXFKIHHGEDFNZLWK
PXVFOHYLEUDWLRQDQGJDOYDQLFYHVWLEXODUVWLPXODWLRQLQ
WKHFRQWURORIWUXQNSRVWXUH(0$$6:,1.(/+(-
9((*(5-+9$1',(É1988QLY$PVWHUGDP
3267(5
%UDLQ0DFKLQH,QWHUIDFH,PSODQWHG(OHFWURGHV2WKHU
'LUHFW,QWHUDFWLRQVZLWK1HXURQV
22
(QFRGLQJDQGVHOHFWLRQRIVSDWLDOYV
REMHFWLQIRUPDWLRQLQSULPDWHSUHIURQWDOFRUWH[DQGVWULDWXP
,235,6/06$1726-//21*-91272%
&3$55,6+*$*(5+$5'75(+$036216$
'($':</(5:DNH)RUHVW6FKRI0HG8QLYRI.HQWXFN\
22
3DWWHUQHGVWLPXODWLRQRISUHIURQWDO
FRUWH[DOWHUVH[HFXWLYHGHFLVLRQPDNLQJE\QRQKXPDQ
SULPDWHVSHUIRUPLQJDGHOD\HGPDWFKWRVDPSOHWDVN5(
+$03621-//21*-91272%&3$55,6+'
621*'6+,19=0$50$5(/,67:%(5*(5*
$*(5+$5'76$'($':</(5:DNH)RUHVW6FKRI
0HG86&8QLYRI.HQWXFN\
22
1RQOLQHDUG\QDPLFDOPRGHOLQJRIWKH
IXQFWLRQDOFRQQHFWLYLW\LQSUHIURQWDOFRUWH[RIQRQKXPDQ
SULPDWHVGXULQJDGHOD\HGPDWFKWRVDPSOHWDVN'621*
,235,65+0&+$19=0$50$5(/,65(
+$036216$'($':</(57:%(5*(586&
:DNH)RUHVW8QLYHUVLW\6FKRI0HG&LW\8QLYRI+RQJ
.RQJ
22 'HFRGLQJWKHPRWRUFRUWH[VWULDWXP
FLUFXLWLQEHKDYLQJPRQNH\V/06$1726,235,6-/
/21*%&3$55,6+-912725(+$036216$
'($':</(5:DNH)RUHVW6FKRI0HG
22 8WDKHOHFWURGHDUUD\VZLWK
LQWHJUDWHGHOHFWURQLFVIRUFRQWUROOLQJKLJKGHJUHHRI
IUHHGRPQHXURSURVWKHWLFV/5,(7+5)5$1./,13
7$7+,5(''<56+$50$/:,//,$06)7(125(
07g33(5+233(50$115+$55,621)
62/=%$&+(58QLYRI8WDK%ODFNURFN0LFURV\VWHPV
-RKQV+RSNLQV$SSOLHG3K\VLFV/DE)UDXQKRIHU,=0,QWDQ
7HFKQRORJLHV//&
22 &RQWURORI0LFWXULWLRQ8ULQDWLRQ
,QWUDIDVFLFXODUVWLPXODWLRQRIWKHIHOLQHSXGHQGDOQHUYHXVLQJ
DQRYHOKLJKGHQVLW\SHQHWUDWLQJDUUD\RIHOHFWURGHV+$
:$5..60$7+(:656+$50$37$7+,5(''<
.*867$)6215$1250$118QLYRI8WDK&DVH
:HVWHUQ5HVHUYH8QLY
22 %LSRODUDQGPXOWLHOHFWURGHLQWUDIDVFLFXODU
QHUYHVWLPXODWLRQLPSURYHVERWKVHOHFWLYLW\DQGVWUHQJWKRI
PRWRUUHVSRQVHV'5+,/*$57%5'2:'(10$
)5$1.(/'-:$55(1*$&/$5.8QLYRI8WDK
22 (OHFWURSK\VLRORJ\RIVXEPLOOLPHWHU
QHUYHVXWLOL]LQJQRYHOKLJKGHQVLW\XWDKVODQWHGHOHFWURGH
DUUD\V37$7+,5(''<+:$5.56+$50$.
0$7+(:6()(51$1'(=/5,(7+)62/=%$&+(5
51250$118QLYRI8WDK8QLYRI8WDK8QLY0LJXHO
+HUQiQGH]
22 'HYHORSPHQWRIRSWURGHDUUD\VIRU
RSWLFDOQHXUDOVWLPXODWLRQ0',:(.$579)$%$<$3
7$7+,5(''</5,(7+)62/=%$&+(56%/$,5*$
&/$5.8QLYRI8WDK8QLYRI8WDK
22 ,PSURYHGGHYLFHFRQWURODQGWHOHPHWU\
UHFHSWLRQDFKLHYHGZLWKGHVLJQLPSURYHPHQWVWR,QWHJUDWHG
1HXUDO,QWHUIDFH5HFRUGLQJGHYLFHV'-:$55(1:$
60,7+55+$55,62137$7+,5(''</:5,(7+
*$&/$5.)62/=%$&+(58QLYRI8WDK8QLYRI
:DVKLQJWRQ,QWDQ7HFKQRORJLHV8QLYRI8WDK8QLYRI8WDK
22 5HDOWLPHSUHGLFWLRQDQGELRIHHGEDFN
FRQWURORILQGLYLGXDOQHXURQVXVLQJVSLNHUHODWHGVORZ
SRWHQWLDOV$-$&.62170+$//.1$=$53285
1HZFDVWOH8QLY
22 5HVWRULQJVHQVRULPRWRUKDQGIXQFWLRQ
E\DFWLYDWLQJDQGUHFRUGLQJIURPPRQNH\DUPQHUYHVZLWK
LQWUDIDVFLFXODU8WDKVODQWHGHOHFWURGHDUUD\V&(7+,(5
1$6$&+610/('%(77(5'-:$55(10$
)5$1.(/-0628=$/(0,//(5*$&/$5.
1RUWKZHVWHUQ8QLY1RUWKZHVWHUQ8QLY8QLYRI8WDK
1RUWKZHVWHUQ8QLY
22 1RLVHHQKDQFHGLQWUDFRUWLFDO
PLFURVWLPXODWLRQIRUYLUWXDOWRXFK/(0(',1$0$
/(%('(9-(2¶'2+(57<0$/1,&2/(/,6'XNH
8QLY'XNH8QLY'XNH8QLY8QLYRI&DOLIRUQLD8QLYRI
&DOLIRUQLD'XNH8QLY(GPRQGDQG/LO\6DIUD,QWO,QVWRI
1HXURVFL
33
&KURQLFUHFRUGLQJVRIVLQJOHDQGPXOWL
XQLWQHXURQDODFWLYLW\ZLWKDSRO\PHUPLFURHOHFWURGHDUUD\
.6+$+'%0&&5((5<972/26$$722.(5
7'(/,0$6)(/,;+6+(7+63$118/DZUHQFH
/LYHUPRUH1DWO/DE+XQWLQJWRQ0HG5HV,QVW
33
0LFURVWLPXODWLRQGHWHFWLRQWKUHVKROGV
ULVHZLWKUHSHDWHGVWLPXODWLRQRIWKHVDPHFRUWLFDOVLWHV.
*+26(-+50$816(//0*++06+DUYDUG0HG
6FK
33
6OHHSDQGZDNHVWDWHGHWHFWLRQIRU
SUDFWLFDOHOHFWURFRUWLFRJUDSKLFEUDLQFRPSXWHULQWHUIDFH
DSSOLFDWLRQV03$+:$0.861(5&+$&.(5
'7%81'<16=5$0$-'%5(6+($560
6+$50$$'$,7&+&0*$21$.:(,1%(5*(5
(&/(87+$5'7:DVKLQJWRQ8QLY:DVKLQJWRQ8QLY
:DVKLQJWRQ8QLY:DVKLQJWRQ8QLY
33
'HFRGLQJJULSW\SHVIURPPDFDTXH
PRWRUSUHPRWRUDQGSDULHWDOFRUWH[+6&+(5%(5*(56
6&+$))(/+2)(5.0(1=*HUPDQ3ULPDWH&WU
33
'HFRGLQJRIUHDFKDQGJUDVSNLQHPDWLFV
IURPSULPDWHSUHPRWRUPRWRUDQGSDULHWDOFRUWH[9.
0(1=66&+$))(/+2)(5+6&+(5%(5*(5
*HUPDQ3ULPDWH&WU
33
'HFRGLQJFRYHUWYLVXRVSDWLDODWWHQWLRQ
GLUHFWLRQIURPKXPDQFRUWLFDOVXUIDFHDFWLYLW\SDWWHUQV1)
5$06(<-3:3/8,03$1'(566215XGROI0DJQXV
,QVWLWXWH8QLYRI8WUHFKW8QLY0HG&WU8WUHFKW
33
5HFRQVWUXFWLRQRIPXVFOHDFWLYLWLHVIURPD
VPDOOQXPEHURIHOHFWURFRUWLFRJUDPVLQSULPDU\PRWRUFRUWH[
'6+,1+:$7$1$%(+.$0%$5$$1$0%87,6$
<1,6+,085$<.2,.(7RN\R,QVWRI7HFKQRO1DWO,QVW
IRU3K\VLRORJLFDO6FL*UDG8QLYIRU$GYDQFHG6WXGLHV
-DSDQ6FLDQG7HFKQRO$JHQF\
22 1HUYHYLDELOLW\IROORZLQJWKHDFXWH
LPSODQWDWLRQRIKLJKGHQVLW\DUUD\HOHFWURGHPPA
LQUDWVFLDWLFQHUYH.60$7+(:6+$&:$5.3
7$7+,5(''<56+$50$5$1250$118QLYRI8WDK
8QLYRI8WDK
33
,QWHUDFWLYHQHXURQDOHPEHGGHGV\VWHP
IRUWKHFRQWUROOHGGHOLYHU\RIWHOHPHWU\EDVHGVWLPXODWLRQDQG
UHDOWLPHUHVSRQVHUHFRUGLQJV7'(&267$)25781(
%0256+('&/,-75$06+8569(08/$3$//,
$&855<56:$7(568QLYRI0HPSKLV8QLYRI
0HPSKLV8QLYRI7HQQHVVHH+OWK6FL&WU
S
33
([WUDFWLQJQHXUDOFRUUHODWHVRILSVLODWHUDO
UHDFKLQJPRYHPHQWVIURPKXPDQHOHFWURFRUWLFRJUDSK\*
+2762106),)(5:6$1'(5621197+$.25
1(&521(-RKQV+RSNLQV8QLY-RKQV+RSNLQV8QLY
-RKQV+RSNLQV8QLY-RKQV+RSNLQV8QLY
33 5HFRQVWUXFWLRQRIPXOWLSOHDUPPXVFOH
DFWLYLWLHVIURP(&R*SRWHQWLDOVLQQRQKXPDQSULPDWHV6
=$126$*5,&+$5'621(()(7=8:6FKRI
0HG
33
,QWHJUDWHGQHXUDODPSOL¿HUGHVLJQ
IRU3DUNLQVRQ¶VGLVHDVHFORVHGORRSLQYHVWLJDWLRQ$0
=%5=(6.,1/(:,65-81*$%(1$==28=6
5(1$8')ORULGD,QWO8QLY8QLYRI%RUGHDX[,06805
&156,068058QLYRI%RUGHDX[,01805
33 &ODVVL¿FDWLRQRIFRUWLFDOVWDWHXQGHU
LVRÀXUDQHSURSRIRODQGNHWDPLQHIURPEURDGEDQGZLUHOHVV
QHXUDOVLJQDOVRIDQLPSODQWDEOHQHXUDOLQWHUIDFH'$
%257210<,1-$&(526$1850,..2%URZQ8QLY
33 $GDSWDWLRQRIDQHXURQDOHQVHPEOHWR
FRQGLWLRQLQJLQDEUDLQPDFKLQHLQWHUIDFHDIWHUVSLQDOFRUG
LQMXU\$0$12+$55')/,17.$02;21'UH[HO
8QLY'UH[HO8QLY'UH[HO8QLY
33 3HUIRUPDQFHFKDUDFWHULVWLFVRIWKH
1HXURWURSKLF(OHFWURGHLQSULPDWHV35.(11('<(
:5,*+7-%$57(/666(,%(57'$1'5($6(10
&/(0(176%0$77+(:63(+,5,05%$.$<1HXUDO
6LJQDOV,QF1HXUDO6LJQDOV,QF*HRUJLD7HFK&WUIRU
$GYDQFHG1HXURORJ6XUJHU\5XVK3UHVE\WHULDQ0HG&WU
33 33\&17VFRDWLQJLQFUHDVHVWKH
VHQVLWLYLW\RIH[WUDFHOOXODUQHXURQDOUHFRUGLQJVLQYLYR
(0$**,2/,1,$$16$/'2(&$67$*12/$$
0$==21,*$1*27=,06(035,1,$9$72$
%21)$17,*=$0%5$$63,1(//,63$1=(5,'
5,&&,/)$',*$5%&6,QVW,WDOLDQR'L7HFQRORJLD
&1&6,QVW,WDOLDQRGL7HFQRORJLD'HSWGL(OHWWURQLFDH
,QIRUPD]LRQH3ROLWHFQLFRGL0LODQR,QVWRI1HXURVFLDQG
3V\FKRORJ\8QLYRI*ODVJRZ'6%7$6HFWLRQRI+XPDQ
3K\VLRORJ\8QLYRI)HUUDUD
3267(5
6WUHVVDQG1HXURLPPXQRORJ\
33 JHQHWLFREHVLW\FRUUHODWHVZLWKGLVUXSWLRQ
RILQVXOLQVLJQDOLQJSURWHLQVDFFXPXODWLRQLQWROLSLGUDIWVLQ
EUDLQ$&$0$&+2,'(/,17$9,'$/38,*8QLY
$XWyQRPD'H1XHYR/HyQ)DFRI0HG8QLY$XWyQRPD'H
1XHYR/HyQ8QLYRI&DPEULGJH
33 $EVHQFHRI67UHFHSWRULQFUHDVHV
WKHVXVFHSWLELOLW\WRVWUHVVDQGFRQIHUVDOWHUHGUHVSRQVHWR
SV\FKRWURSLFGUXJV6)/,6%2$.0217(=80$&
%,2-21()4&81+$)6*8,0$5(6)</,(::
$9(55,65/-2&$8QLYRI6mR3DXOR)053)DF
RI3KDUPRI5LEHLUmR3UHWR8QLYRI6mR3DXOR8QLYRI
*ODVJRZ6WDWH8QLYRI/RQGULQD
S
33 ,QFUHDVHVLQ+LSSRFDPSDO+0*%
IROORZLQJDVWUHVVRU3RWHQWLDOPHFKDQLVPIRUVWUHVVLQGXFHG
SULPLQJRIQHXURLQÀDPPDWRU\UHVSRQVHVWRDVXEVHTXHQW
LPPXQHFKDOOHQJH0':(%(50*)5$1./5
:$7.,166)0$,(58QLYRI&RORUDGR
44
6WUHVVRUFRQWUROODELOLW\DQGUHJLRQDO
H[SUHVVLRQRIFKHPRNLQHVDQGF\WRNLQHVLQWKHEUDLQ/
'6$1)25'00$&+,'$0$$0%52=(:,&=
7=(1*53&,$9$55$(DVWHUQ9LUJLQLD0HG6FK
(DVWHUQ9LUJLQLD0HG6FK
44
6H[XDOGLPRUSKLVPLQWKHHIIHFWVRI
SV\FKRVRFLDODQGSK\VLFDOVWUHVVRUVRQSURLQÀDPPDWRU\
F\WRNLQHV6+8'6216-$&2%6213,&.0$8'(7
+$1,60$1&DUOHWRQ8QLYDQLVPDQ/DE&DUOHWRQ8QLY
44
,QWHUDFWLYHHIIHFWVRIDVRFLDOVWUHVVRU
DQGLQWHUOHXNLQLQMHFWLRQRQDQ[LHW\UHODWHGEHKDYLRUVDQG
SUHIURQWDOH[SUHVVLRQRISURLQÀDPPDWRU\IDFWRUVLQPDOH
FGPLFH)$/<$:(5+$1,60$1&DUOHWRQ8QLY
44
%UDLQUHJLRQVSHFL¿FLQÀDPPDWLRQDOWHUV
VWUHVVFRSLQJEHKDYLRU$5*(5%(5$952/$1'
/05$1'$//&$+817(57/%$/(8QLYRI
3HQQV\OYDQLD8QLYRI3HQQV\OYDQLD8QLYRI3HQQV\OYDQLD
8QLYRI3HQQV\OYDQLD
44
(IIHFWVRIUHVWUDLQWRQ1.FHOO
F\WRWR[LFLW\`HQGRUSKLQDQGFRUWLVROLQSLJVRIGLIIHUHQW
VWUHVVVXVFHSWLELOLW\$+6:,(5*,(/$%250$1:
672-(.:*/$&,.20$52:6.$=&,(3,(/(:6.,
'0<6/,16.$(/(6=.2:,&=0.$0<&=(.-
72.$56.,'HSW$QLPDO+XPDQ3K\VLRORJ\8QLYRI
*GDQVN,QVW*HQHW$QLPDO%UHHGLQJ3ROLVK$FDG6FL
1DWO5HV,QVW$QLPDO3URGXFWLRQ
44
,PSDFWRIFKURQLFFLWDORSUDPWUHDWPHQW
RQSURLQÀDPPDWRU\F\WRNLQHYDULDWLRQVHOLFLWHGE\VRFLDO
GHIHDW0$8'(76-$&2%6213,&.50&48$,'+
$1,60$1&DUOHWRQ8QLY
44
7LPHFRXUVHRI7R[RSODVPDJRQGLLF\VW
GLVWULEXWLRQDQGKRVWQHXURLPPXQHUHVSRQVHLQEHKDYLRUDOO\
UHOHYDQWQHXUDOFLUFXLWVLQPDOH/RQJ(YDQVUDWV$.
(9$1636675$660$113.+286(50
6$32/6.<6WDQIRUG
44
(IIHFWVRI7R[RSODVPDJRQGLLLQIHFWLRQRQ
DYHUVLYHEHKDYLRUVRIIHPDOHUDWV'*2/&85*(%5(
56$32/6.<6WDQIRUG8QLY6WDQIRUG8QLY
44
S
(IIHFWVRI7R[RSODVPDJRQGLLLQIHFWLRQ
DQGFDWRGRURQEHKDYLRUF)RVH[SUHVVLRQDQGDFWLYDWLRQ
RIQLWULFR[LGHV\QWKDVHFRQWDLQLQJQHXURQVZLWKLQDSUHGDWRU
IHDUFLUFXLWLQPDOH/RQJ(YDQVUDWV36675$660$11
$.(9$16506$32/6.<6WDQIRUG8QLY
44 ,Q¿OWUDWLRQRIERQHPDUURZGHULYHG
PDFURSKDJHVLQWRWKHEUDLQSDUHQFK\PDIROORZLQJUHSHDWHG
VRFLDOGHIHDWUHTXLUHVIUDFWDONLQHUHFHSWRUH[SUHVVLRQRQ
PDFURSKDJHV-3*2'%287(:2+/(%132:(//
-6+(5,'$17KH2KLR6WDWH8QLY7KH2KLR6WDWH8QLY
33 'HYHORSPHQWRIDELRORJLFDOGDWDFDEOH
RSWRJHQHWLFEDVHGWUDQVPLVVLRQDFURVVHQJLQHHUHGFRUWLFDO
D[RQDOWUDFWV+,&+(1-$:2/)'+60,7+8QLY
RI3HQQV\OYDQLD'HSWRI1HXURVXUJ
33 3;UHFHSWRUDQWDJRQLVPUHYHUVHV
8&06LQGXFHGGHSUHVVLYHOLNHEHKDYLRUFKDQJHVLQPLFH
5)$5224$7$17,(,6,1*5,1,012//(76
52*(5&%(/=81*9&$086,16(508(TXLSH
$IIHFWLYH'LVRUGHUV,QVHUP88QLY)UDQoRLV5DEHODLV
,QVHUP8&+58GH7RXUV&OLQLTXH3V\FKLDWULTXH
8QLYHUVLWDLUH
44 $Q[LHW\OLNHEHKDYLRULQGXFHGE\UHSHDWHG
VRFLDOGHIHDWLVDVVRFLDWHGZLWKLQWHUOHXNLQGHSHQGHQW
LQ¿OWUDWLRQRIERQHPDUURZGHULYHGPDFURSKDJHVLQWRWKH
EUDLQSDUHQFK\PD(6:2+/(%1'32:(//-3
*2'%287-)6+(5,'$17KH2KLR6WDWH8QLY
44 5HSHDWHGVRFLDOGHIHDWLQGXFHG
PRELOL]DWLRQRISULPHGP\HORLGGHULYHGFHOOVZDVPHGLDWHG
E\FKHPRNLQHUHFHSWRU&&5DQGDEURJDWHGE\
`DGUHQHUJLFUHFHSWRUEORFNDGH1'32:(//(6
:2+/(%%)5($'(5$-7$5507%$,/(<6
&2/(-3*2'%287-)6+(5,'$17KH2KLR6WDWH
8QLY&RORI'HQW8QLYRI&DOLIRUQLD/RV$QJHOHV7KH2KLR
6WDWH8QLY
55
6WHURLGUHFHSWRUFRDFWLYDWRU65&
DQG65&IURPPRXVHK\SRWKDODPXVLQWHUDFWGLIIHUHQWLDOO\
ZLWKWKHPRXVHSURJHVWLQUHFHSWRULVRIRUPV./
',('(5,&+:<:$1',0'9$5'$58/8-'21*
37+20$60-7(7(/:HOOHVOH\&RO:HOOHVOH\&RO
8QLYRI7H[DV$XVWLQ
55
%UDLQGHULYHGHVWURJHQVDFXWHO\DIIHFW
PDOHVH[XDOPRWLYDWLRQEXWQRWSHUIRUPDQFHLQ-DSDQHVH
TXDLO$/6(5('<16.,-%$/7+$=$57*)%$//&
$&251,/8QLY/LHJH-RKQV+RSNLQV8QLY
3267(5
3DUHQWDO%HKDYLRU
3267(5
6H[XDO%HKDYLRU6WHURLG&RQWURO,
44 5ROHRIVWHURLGVLQWKHUHJXODWLRQRI
JURZWKIDFWRUVLQWKHPHGLDOSUHRSWLFDUHD-06:$11&
0$57,1)$,5(<$181(=/HKLJK8QLY0LFKLJDQ6WDWH
8QLY
44 2YDULDQVWHURLGVPRGXODWHGRSDPLQH
UHFHSWRUSURWHLQOHYHOVLQWKHPHGLDOSUHRSWLFDUHDRIIHPDOH
UDWV0*5$+$0$.+2'$0,3285-*3)$86
&RQFRUGLD8QLY
44 %ORFNLQJDURPDWL]DWLRQIDFLOLWDWHVVH[XDO
EHKDYLRULQRYDULHFWRPL]HGUDWVWUHDWHGZLWKHVWUDGLRODQG
WHVWRVWHURQH6526(1%$806/-21(6-*$5'1(5
*5(*25<-*3)$86&RQFRUGLD8QLY
44 +LVWRQHPRGL¿FDWLRQVXQGHUO\LQJ
HVWURJHQLQGXFHGJHQHWUDQVFULSWLRQLQYHQWURPHGLDO
K\SRWKDODPXV.*$*1,'=(606&+$$)60$/&
)$867,12':3)$))5RFNHIHOOHU8QLY5RFNHIHOOHU
8QLY
44 &DYHROLQPHGLDWHGWUDI¿FNLQJRI(5_LV
UHTXLUHGIRUIHPDOHVH[XDOUHFHSWLYLW\$&+5,67(16(13
0,&(9<&+8&/$
44 (VWUDGLROGRVHGHSHQGHQWO\
GRZQUHJXODWHVHVWURJHQUHFHSWRU_LQWKHPHGLREDVDO
K\SRWKDODPXVEXWQRWLQWKHDP\JGDOD0
0$+$921*75$.8/00$&,(/03*$5&,$.
6,1&+$.&DOLIRUQLD6WDWH8QLYHUVLW\/RQJ%HDFK
44 S,QHVWUDGLROSULPHGUDWVVXEVHTXHQW
IUHHHVWUDGLROUDSLGO\IDFLOLWDWHVORUGRVLVWKURXJK
*SURWHLQFRXSOHGUHFHSWRU*3513/21*6
&++259$11.6,1&+$.&68/%
44 *$%$%UHFHSWRUVPHGLDWHPHPEUDQH
HVWUDGLRODFWLYDWLRQRI`HQGRUSKLQQHXURQVLQWKHDUFXDWH
QXFOHXVRIWKHK\SRWKDODPXV.6,1&+$./321&(/
*20(=/*20(=$&+5,67(16(10%(5*(53
0,&(9<&+&DOLIRUQLD6WDWH8QLYHUVLW\/RQJ%HDFK'DYLG
*HIIHQ6FKO0HGDW8&/$
55
S6XESRSXODWLRQVRIRSLRLGUHFHSWRU
QHXURQVLQWKHPHGLDOSUHRSWLFQXFOHXVH[SUHVVHVWURJHQ
UHFHSWRU_DQGRSLRLGUHFHSWRUOLNHUHFHSWRU*
32/29,15%2:/%<03*$5&,$97+$&+37($
+6(1*.6,1&+$.&68/%
0RQ30±(UQHVW10RULDO&RQYHQWLRQ&HQWHU+DOO) 55
0DWHUQDOFDUHLVPHGLDWHGE\9E
UHFHSWRUVZLWKLQWKHPHGLDOSUHRSWLFDUHDLQODFWDWLQJUDWV0
/8.$69.$&=0$5(.,'1(80$112-%26&+
8QLYRI5HJHQVEXUJ
55
7KHPHGLDODP\JGDODFRQQHFWLRQVDQG
WKHSRVVLEOHUROHRIWKHVH[XDOO\GLPRUSKLFYDVRSUHVVLQHUJLF
LQQHUYDWLRQRIWKHYHQWUDOVWULDWRSDOOLGXPLQPDWHUQDO
DJJUHVVLRQLQPLFH(/$18=$027(52*$5&Ë$
&3$5'2%(//9(5$0$57Ë16È1&+(=%&$',=
025(77,/)257(60$5&2$+(51È1'(=
0$57Ë1(=+6$/$,6/Ï3(=30$5&20$1&/Ò6)
0$57Ë1(=*$5&Ë$'HSWRI&HOO%LRORJ\8QLY9DOHQFLD
'HSWRI)XQFWLRQDO%LRORJ\8QLYRI9DOHQFLD
55
&KDUDFWHUL]LQJPDWHUQDODQGSDWHUQDO
FRQWULEXWLRQVWRSDUHQWDOFDUHLQPLFHZLWKGH¿FLWVLQR[\WRFLQ
VLJQDOLQJ6:,//,$066<281*1,0+
55
0HODQLQFRQFHQWUDWLQJKRUPRQH
PLFURLQMHFWLRQVLQWRWKHPHGLDOSUHRSWLFDUHDGLVUXSW
PDWHUQDOEHKDYLRUGXULQJHDUO\EXWQRWODWHSRVWSDUWXP/
%(1('(77203(5(,5$3/$*2637257(52/2
$)(55(,5$'HSWRI3K\VLRORJ\6FKRI0HGLFLQH8QLY
GHOD5HS~EOLFD&WUIRU0RODQG%HKDYLRUDO1HXURVFLHQFH
5XWJHUV8QLY'HSWRI3K\VLRODQG1XWULWLRQ6FKRI
6FLHQFH8QLYGHOD5HS~EOLFD
55
&DQQDELQRLGVGLVUXSWPDWHUQDOEHKDYLRU
GXULQJODFWDWLRQ$*,867,3$,9$)&9,/(/$8QLY
)HGHUDO'H$OIHQDV8QLY)HGHUDOGH$OIHQDV
55
&%UHFHSWRUPHGLDWHVWKHHIIHFWVRI
JOXFRFRUWLFRLGVRQEHKDYLRUDOUHVSRQVHVGXULQJODFWDWLRQ
)&9,/(/$6*58*,16.$*,867,3$,9$8QLY
)HGHUDO'H$OIHQDV8QLYGH6mR3DXOR8QLY)HGHUDOGH
$OIHQDV
55 $GPLQLVWUDWLRQRISHUWXVVLVWR[LQLQWR
WKH97$DOWHUVPDWHUQDOUHVSRQVLYHQHVVLQSULPLJUDYLGUDWV
3(0$11--%<51(6(0%<51(67XIWV8QLY
&XPPLQJV6FKRI9HW0HG
55 %67YP32$QRUHSLQHSKULQHWUDQVSRUWHU
H[SUHVVLRQDQGHPRWLRQDOUHDFWLYLW\LQSRVWSDUWXPGDPV.
+$5',1*&05$*$1-6/2167(,10LFKLJDQ6WDWH
8QLY0LFKLJDQ6WDWH8QLY0LFKLJDQ6WDWH8QLY
55 (DUO\PDWHUQDOFDUHDQGHPRWLRQDO
UHVSRQVHVDUHDVVRFLDWHGZLWKODWHUDGXOWPDWHUQDOEHKDYLRU
DQGWU\SWRSKDQK\GUR[\ODVHH[SUHVVLRQLQWKHGRUVDO
UDSKHLQIHPDOHUDWV&05$*$1.0+$5',1*-6
/2167(,10LFKLJDQ6WDWH8QLY0LFKLJDQ6WDWH8QLY
S
55 9HVLFXODU*$%$WUDQVSRUWHUDQG
JOXWDPLFDFLGGHFDUER[\ODVHH[SUHVVLRQLQWKHQHXUDODQ[LHW\
QHWZRUNRISRVWSDUWXPDQGYLUJLQIHPDOHUDWV(,$+0('
-6/2167(,10LFKLJDQ6WDWH8QLY
55 (IIHFWVRIUHSURGXFWLYHH[SHULHQFHRQFHOO
SUROLIHUDWLRQDQGVXUYLYDOLQWKHPLGEUDLQRIDGXOWIHPDOHUDWV
0$+2/6&+%$&+-6/2167(,10LFKLJDQ6WDWH
8QLY
55 (IIHFWVRIQDWXUDOYDULDWLRQLQUDWPDWHUQDO
FDUHRQDQ[LHW\EHKDYLRUVRFLDOEHKDYLRUDQG'1$
PHWK\ODWLRQ(67$553+,//,36'')5$1&,6$.
%((5<6PLWK&RO8&%HUNHOH\6PLWK&RO
55 0RGXODWLRQRIQRYHOW\HIIHFWVRQ
DGXOWRIIVSULQJ+3$IXQFWLRQE\PDWHUQDOFLUFXODWLQJ
JOXFRFRUWLFRLGV60',1&(65'520(2%6
0&(:(1$&7$1*8QLYRI1HZ0H[LFR%DUQDUG&RO
5RFNHIHOOHU8QLY8QLYRI1HZ0H[LFR
55 6HQVLWLYHSHULRGVIRUWKHLPSDFWRI
PDWHUQDOFDUHRQRIIVSULQJEHKDYLRUDQGUHJLRQVSHFL¿F
JHQHH[SUHVVLRQ&/-(16(1<'1(8*87)$
&+$03$*1(&ROXPELD8QLY&ROXPELD8QLY
55 %HKDYLRUDODQDO\VLVRIWKH:LVWDU.\RWR
UDWVWUDLQWRPRGHOFRUHV\PSWRPVRISRVWSDUWXPGHSUHVVLRQ
03(5(,5$$0)$55$5-,0255(//5XWJHUV7KH
6WDWH8QLYRI1HZ-HUVH\
55 ,PSDLUHGPDWHUQDOEHKDYLRULQ6)
KHWHUR]\JRXVIHPDOHPLFH763$1,&6$72%(7*
0$-',&8QLYRI/MXEOMDQD&RORUDGRVWDWH8QLY
66
S,QÀXHQFHVRIDQHDUO\DGYHUVHVRFLDO
HQYLURQPHQWRQSODVPDKRUPRQHVDQGPRQRDPLQHUJLF
KLSSRFDPSDODFWLYLW\LQQHRQDWDOUDWV35266,
0(1(*277273+(15,48(6/$',(+/0$
628=$&1&255Ç$0%$/9(6&39(,*$&
'$/0$=01$))$+0$==$&25$77,500'(
$/0(,'$$%/8&,21)HGHUDO8QLYRI5LR*UDQGH'R
6XO)HGHUDO8QLYRI5LR*UDQGH'R6XO)HGHUDO8QLYRI
6mR3DXOR)HGHUDO8QLYRI5LR*UDQGH'R6XO
66
/LNHIDWKHUOLNHVRQ7UDQVPLVVLRQRI
SDWHUQDOEHKDYLRUDFURVVJHQHUDWLRQV($%(&.(5
1/,%2/*2(76&+0.80(52:&$0$5/(5
6W-RVHSK¶V8QLY&KLFDJR&RORI2VWHR0HG8QLYRI
:LVFRQVLQ0DGLVRQ8QLYRI:LVFRQVLQ0DGLVRQ
66
)DWKHUKRRGDIIHFWVEHKDYLRUDQGEUDLQ
SODVWLFLW\LQPDOHSUDLULHYROHV0LFURWXVRFKURJDVWHU
&/,(%(5:,57+</,8<:$1*6+87+5
'(6$8*867(=:$1*)ORULGD6WDWH8QLY
66
7KHHIIHFWVRIR[\WRFLQRQKHDUWUDWH
DQGWKHDXWRQRPLFQHUYRXVV\VWHPGXULQJSXSH[SRVXUH
LQWKHPDOHSUDLULHYROH:.(1.(/*/(:,6-<((
6325*(6&&$57(58QLY,OOLQRLVDW&KLFDJR5HV
7ULDQJOH,QVW
66
+RZIDWKHUV¶EUDLQVUHDFWWRDSRWHQWLDO
PDWHFRPSHWLWRURUSUHGDWRU,PPHGLDWHHDUO\JHQH
H[SUHVVLRQLQPDOHVWLFNOHEDFNV*DVWHURVWHXVDFXOHDWXV
0+.(17$0%(//8QLY,OOLQRLV8QLY,OOLQRLV8QLY
,OOLQRLV
S
66
(IIHFWVRIHDUO\SDUHQWLQJH[SHULHQFHRQ
FRUWLFDOFRQQHFWLRQVLQSUDLULHYROHV0LFURWXVRFKURJDVWHU
5*581(:$/'$0+6((/.($3(5.(<%,/('
)&22.(./%$/(6/$.58%,7=(58&'DYLV8&
'DYLV
3267(5
$XWRQRPLF&RQWURORI8ULQDU\)XQFWLRQV
66
1HXUDOSDWKZD\VLQYROYHGLQVDFUDO
QHXURPRGXODWLRQRIUHÀH[EODGGHUDFWLYLW\LQFDWV-5
52332/2%6+(1)=+$1*6=+$2-:$1*'
(1(/621:&'(*52$7&7$,8QLY3LWWVEXUJK6FK
0HG0HGWURQLF1HXURPRGXODWLRQ
66
$QLQYLYRUDWPRGHOIRUVWXGLHVRIWKH
XULQDU\EODGGHUIXQFWLRQ3$52166210$1'(56621
0-2+16621*72%,18QLYRI*RWKHQEXUJ
66 'XDOVRXUFHVDQGUROHVRIQLWULF
R[LGHLQWKHQRUPDODQGLQÀDPHGUDWXULQDU\EODGGHU
0&$1'(566213$52166210-2+16621
-&$%$/.29$108+$00$'*72%,18QLYRI
*RWKHQEXUJ&KDUOHV8QLY
66
([WHUQDOXUHWKUDOVSKLQFWHUDFWLYLW\
UHFRUGHGGXULQJYRLGLQJLQXQDQHVWKHWL]HGLQWDFWDQGVSLQDO
WUDQVHFWHGUDWV%./$3$//2-6&$53;<&+(1-
5:2/3$:%LJJV/DERUDWRU\:DGVZRUWK&WU:DGVZRUWK
&HQWHU1<6'HSWRI+OWK
66 (SLGXUDOVWLPXODWLRQLQGXFHVYRLGLQJDQG
H[WHUQDOXUHWKUDOVSKLQFWHU(86EXUVWLQJDFWLYLW\LQLQWDFW
UDWV++&+$1*50,&+,<$0$/+$97218&
,UYLQH8QLYRI/HHGV8&,UYLQH8&,UYLQH5HHYH,UYLQH
5HV&WU
66 7UDQVIRUPLQJ*URZWK)DFWRU%HWD
DQG7*)`7*)`DQG7*)`DQGUHFHSWRUVLQ
UDWXULQDU\EODGGHUDQGSODVWLFLW\ZLWKF\FORSKRVSKDPLGH
&<3LQGXFHGF\VWLWLV(*21=$/(=%0*,5$5'
60$//(<0$9,==$5'8QLYRI9HUPRQW8QLYRI
9HUPRQW
66 3ODVWLFLW\LQWUDQVLHQWUHFHSWRUSRWHQWLDO
WUSFKDQQHOH[SUHVVLRQLQXULQDU\EODGGHULQURGHQWVZLWK
XULQDU\EODGGHUG\VIXQFWLRQRUGXULQJSRVWQDWDOGHYHORSPHQW
%0*,5$5'60$//(</0(55,//09,==$5'
8QLY9HUPRQWFRO0HG8QLYRI9HUPRQW
66 ,QYROYHPHQWRIJURXS,,,,,PHWDERWURSLF
JOXWDPDWHDQGRSLRLGUHFHSWRUVLQWLELDOQHUYHLQKLELWLRQRI
QRFLFHSWLYHEODGGHUDFWLYLW\LQFDWV<0$7687$$'
0$//<)=+$1*%6+(1-:$1*-552332/2
:&'(*52$7&7$,8QLYRI3LWWVEXUJK8QLYRI
3LWWVEXUJK
66 'HHSEUDLQVWLPXODWLRQDWPLGEUDLQVLWHVLQ
UDWVVXSSUHVVHVPLFWXULWLRQE\GLVUXSWLQJFRRUGLQDWHGDFWLYLW\
RIGHWUXVRUDQGH[WHUQDOXUHWKUDOVSKLQFWHUPXVFOHV7$
/29,&.(6721(-+&227(8QLYRI%LUPLQJKDP
55 $OWHUHGH[SUHVVLRQRI*$%$$UHFHSWRU
VXEW\SHVLQWKHSRVWSDUWXPODWHUDOVHSWXPLQPLFH%(
(,6,1*(570'5,(66(10&6$8/&=+$26&
*$00,(8QLY:LVFRQVLQ
66
1HXURSHSWLGHDQGKRUPRQHUHFHSWRU
FKDQJHVLQPRQJROLDQJHUELOVIROORZLQJSDUHQWDOH[SHULHQFH
LQ0RQJROLDQJHUELOV(&+2/(5,6$3+$1.-0
/$,1*/00,62199,9(.$1$17+$15$%$',//$
-$021*00&/$5.8QLYRI*XHOSK8QLYRI*XHOSK
8QLYRI*XHOSK8QLYRI*XHOSK0F0DVWHU8QLY8QLYRI
0DU\ODQG
66 &DYHUQRXVQHUYHPDQLSXODWLRQGHFUHDVHV
WUDQVFULSWOHYHOVIRUWKHQHXURQDOQLFRWLQLFDFHW\OFKROLQH
UHFHSWRUQ$FK5VXEXQLW_DQGSRVWV\QDSWLFGHQVLW\
36'LQPDOHPRXVHPDMRUSHOYLFJDQJOLD03*
%0*,5$5'-'7203.,160$9,==$5'5/
3$562168QLYRI9HUPRQW8QLYRI9HUPRQW8QLY
9HUPRQW&RO0HG
66 8ULQDU\IXQFWLRQLQDUDWPHQRSDXVH
PRGHO*RQDGDOKRUPRQHGH¿FLHQF\YHUVXVVSKLQFWHU
GHQHUYDWLRQ-/3$/$&,260-8È5(=<&58=8QLY
$XWyQRPDGH7OD[FDOD8QLY$XWyQRPDGH7OD[FDOD8QLY
$XWRQRPD7OD[FDOD
66 %LODWHUDOSHOYLFQHUYHFUXVKDVDPRGHO
IRUXQGHUDFWLYHEODGGHULQWKHUDW3UHOLPLQDU\UHVXOWV&-
&+(50$16.<4:8-&:,17(5602)5$6(5
/RXLVLDQD6WDWH8QLY+OWK6FL&WU'XNH8QLY0HG&WU
'XUDKP9HWHUDQV$IIDLUV0HG&WU
66 5ROHRIYDQLOORLGWUDQVLHQWUHFHSWRU
SRWHQWLDOFDWLRQFKDQQHO7539LQEODGGHUG\VIXQFWLRQLQ
UHVSRQVHWRUHSHDWHGYDULDWHVWUHVV596LQPDOHUDWV/
0(55,//%*,5$5'$3(7(562109,==$5'8QLY
RI9HUPRQW8QLYRI9HUPRQW8QLYRI9HUPRQW
77
%HWDDGUHQHUJLFDJRQLVWVTXLHW
GHWUXVRUK\SHUUHÀH[LDDVVRFLDWHGZLWKVXSUDVDFUDOVSLQDO
FRUGLQMXU\02)5$6(53&'2/%(59HWHUDQV$IIDLUV
0HG&WU'XNH8QLY0HG&WU
77
6XSSUHVVLRQRIGLVWHQWLRQHOLFLWHG
XURWKHOLDO$73UHOHDVHE\12F*03SDWKZD\.
0$76802720,<$,0<26+,=80,0.$:$7$1,$NLWD
8QLY*UDG6FK0HG
77
&RQYHUJHQFHDQGFURVVWDONDPRQJVW
XURJHQLWDOQHXUDOFLUFXLWULHV&+8%6&+(5'*837$7
%5,1.8QLY/RXLVYLOOH6FK0HG0HGWURQLF,QF
77
6HYHUHVRFLDOVWUHVVLQPLFHUHGXFHV
YRLGLQJIUHTXHQF\LQFUHDVHVEODGGHUFDSDFLW\DQG
XSUHJXODWHVXURWKHOLDOQHUYHJURZWKIDFWRU1*)0$
9,==$5'$3(7(562163:5,*+7071(/621
*0,1*,18QLY9HUPRQW&RO0HG8QLY9HUPRQW&RO
0HG8QLY9HUPRQW&RO0HG
77
,QKLELWLRQRIEODGGHURYHUDFWLYLW\E\
FRPELQDWLRQRIIRRWVWLPXODWLRQDQGWUDPDGROWUHDWPHQWLQ
FDWV&7$,$'0$//<)=+$1*<0$7687$%
6+(1-:$1*-552332/2:&'(*52$78QLY
3LWWVEXUJK8QLY3LWWVEXUJK
77
0HFKDQLVPVXQGHUO\LQJQRQPRQRWRQLF
EORFNRIXQP\HOLQDWHGD[RQVE\KLJKIUHTXHQF\ELSKDVLF
VWLPXODWLRQ-:$1*6=+$2-552332/2:&'(
*52$7&7$,8QLYRI3LWWVEXUJK
77
/DVHU&DSWXUH0LFURGLVVHFWLRQ/&0IRU
JHQRW\SLQJVSHFL¿FSRSXODWLRQVRIVLQJOHFHOOVLQUDWVSLQDO
FRUG/0$5621/<(.<26.,2.$(&%85*$5'
.7+2507)$/'872650$*186218URJHQL[
,QF*HQ8V%LR6\VWHPV
3267(5
6WUHVV0RGXODWHG3DWKZD\V+\SRWKDODPXV$P\JGDOD
DQG%HG1XFOHXV,,
77
*OXFRFRUWLFRLGIHHGEDFNXQFRYHUV
UHWURJUDGHRSLRLGVLJQDOLQJDWK\SRWKDODPLF*$%$V\QDSVHV
-,:$067((.(5-6%$,16+RWFKNLVV%UDLQ,QVW
77
1RUDGUHQDOLQHLVDVWUHVVDVVRFLDWHG
PHWDSODVWLFVLJQDODW*$%$V\QDSVHV:,128('
9%$,028.+$0(729$4-3,770$1-6%$,16
+RWFKNLVV%UDLQ,QVWLWXWH'HSWRI3K\VLRO3KDUPDFRORJ\
8QLY2
77
5HVFXHRIKRPRW\SLFVWUHVVLQGXFHG
&%5GRZQUHJXODWLRQE\QRYHOVWUHVV/6(167-6
%$,168QLYRI&DOJDU\
77
&DWHFKRODPLQHUHOHDVHXQPDVNV*$%$
PHWDSODVWLFLW\LQWKHK\SRWKDODPLFSDUDYHQWULFXODUQXFOHXV7
)h=(6,..2%/,1*(5:,128(3-:+(/$1-6
%$,168QLYRI&DOJDU\
77
6HURWRQLQWUDQVSRUWHUGH¿FLHQWUDWVH[KLELW
HQKDQFHGDFTXLVLWLRQDQGGLVUXSWHGH[WLQFWLRQRIFRQGLWLRQHG
IHDU6'),7=$,02/26+:$758,773/
-2+1621$6+(.+$5,QGLDQD8QLY6FKO0HG,QGLDQD
8QLY6FKO0HG,QGLDQD8QLY6FKO0HG
77
([SRVXUHWRDSDQLFRJHQLFK\SHUFDSQLD
VWLPXOXVHQKDQFHVDFTXLVLWLRQDQGGHOD\VH[WLQFWLRQRI
FRQGLWLRQHGIHDUDQGLVEORFNHGE\SUHWUHDWPHQWZLWKDQ
RUH[LQUHFHSWRUDQWDJRQLVW3/-2+16216'),7=
$,02/26+$6+(.+$5,QGLDQD8QLY6FKRI0HG
,QGLDQD8QLY6FKRI0HG,QGLDQD8QLY6FKRI0HG
77
3RVWWUDXPDGLVUXSWLRQRIQ126
36'SURWHLQSURWHLQLQWHUDFWLRQLVDQHIIHFWLYHPHDQVWR
DPHOLRUDWHFRQGLWLRQHGIHDU$6+(.+$56'),7=3
/-2+1621$*+2+0$117:,'/$16.,<</$,
,QGLDQD8QLY,QGLDQD8QLY
77
6RFLDOIDPLOLDULW\UHGXFHVDQ[LHW\
OLNHUHVSRQVHVWKURXJKDPHGLDOYHQWUDOSUHIURQWDO
FRUWH[GHSHQGHQWSDWKZD\LQUDWV:$758,77($
/81*:,7=$'',(75,&+3(0,1,&.$6+(.+$5
,QGLDQD8QLY6FK0HG,QGLDQD8QLY6FK0HG,QGLDQD
8QLY6FK0HG
77
6WUHVVLQGXFHGDOWHUDWLRQLQDQ[LHW\OLNH
EHKDYLRUDQG$W\SHFKDQQHOVXEXQLW.YWUDQVFULSWLQWKH
EHGQXFOHXVRIWKHVWULDWHUPLQDOLV%167$/*5+$=5$-
*82-'$%52:6.$&/,'*5$,11,((PRU\8QLY
6FKRI0HG
77
(SDFPHGLDWHVGRSDPLQH'UHFHSWRUV
GHSHQGHQWV\QDSWLFSODVWLFLW\LQWKHEDVRODWHUDODP\JGDOD
&/,5+$=5$'5$,11,(%HKDYLRUDO1HXURVFL
3V\FKLDWULF'LVRUGHUV<HUNHV1DWO3ULPDWH5HVHDUF
77
(IIHFWVRI+7$DQG+7$UHFHSWRUV
RQWKHGHYHORSPHQWRIVWUHVVLQGXFHGFKDQJHVLQEHKDYLRU
/%$'(50&223(58QLYRI7HQQHVVHH
77
/RQJWHUPPDLQWHQDQFHRIGRPLQDQFH
VWDWXVLVDVVRFLDWHGZLWKUHVLVWDQFHWRVRFLDOGHIHDWLQ6\ULDQ
+DPVWHUV3DUW,,'HIHDWLQGXFHGQHXUDODFWLYDWLRQ&(
78&.(5.(0255,621/5%$'(56(*5266
0$&223(58QLYRI7HQQHVVHH
S
77
/RQJWHUPPDLQWHQDQFHRIGRPLQDQFH
VWDWXVLVDVVRFLDWHGZLWKUHVLVWDQFHWRVRFLDOGHIHDWLQ6\ULDQ
KDPVWHUV3DUW,EHKDYLRUDOUHVSRQVHV.(0255,621
/5%$'(5&(78&.(5'0*(5+$5'0$
&223(58QLY7HQQHVVHH
88
(QNHSKDOLQDQG'\QRUSKLQH[SUHVVLRQ
DUHDVVRFLDWHGZLWKUHVLOLHQFHDQGYXOQHUDELOLW\WRFKURQLF
VRFLDOGHIHDWVWUHVVSURFHGXUH*'52/(73%(58%(
6/$)25(676%+$71$*$58QLY/DYDO&WU5HFKHUFKH
&+847KH&KLOGUHQ¶V+RVSRI3KLODGHOSKLD8QLYRI
3HQQV\OYDQLD
88
'\QHUSKLQHUJLFDIIHUHQWVWRWKH
EDVRODWHUDODQGFHQWUDOQXFOHXVRIWKHDP\JGDODLQUDW3
%(58%(6/$)25(67*'52/(78QLY/DYDO&WU
5HFKHUFKH&+84
88
6XVFHSWLELOLW\WR376'OLNHEHKDYLRULV
PHGLDWHGE\&5)UHFHSWRUW\SHOHYHOVLQWKHEHGQXFOHXV
RIWKHVWULDWHUPLQDOLV0/(%2:$1(8)(/'&2+(1
<.83(50$1076225<6*,/$&+(1'HSW
RI1HXURELRORJ\:HL]PDQQ,QVWRI6FL'HSWRI9HW
5HVRXUFHV:HL]PDQQ,QVWRI6FL
88
,QSXWVSHFL¿FUHJXODWLRQRIH[FLWDWRU\
DIIHUHQWVWRWKH%167E\DOSKD$DGUHQHUJLFUHFHSWRUV6
)/$9,1570$77+(:6(-(367(,1'*:,1'(5
9DQGHUELOW8QLY9DQGHUELOW8QLY9DQGHUELOW8QLY
88
*OXFRFRUWLFRLGVGLIIHUHQWLDOO\UHJXODWH
F\FORR[\JHQDVHUHODWHGVLJQDOLQJSDWKZD\LQWKH
K\SRWKDODPXVXQGHUYDULRXVVWUHVVFRQGLWLRQV<0$7
0$768:$.,.<$0$128&+,01,6+,+$5$7KH8QLY
RI7RN\R
88
'LVWLQFWPXOWLV\QDSWLFFLUFXLWVZLWKLQ
WKHPHGLDODQGFHQWUDOH[WHQGHGDP\JGDODRIWKHUDW0
6%,(1.2:6.,(6:(1'(//5,1$0$18QLYRI
3LWWVEXUJK
88
7KHXVHRIPLFURLQIXVLRQSXPSWR
SHUIRUPLQWUDK\SRWKDODPLFLQMHFWLRQVLQFRQVFLRXVUDWV'
9=$5(76.<09=$5(76.$,$3-'85$17'(
586<1,$.,QGLDQD8QLY6FKRI0HG
3267(5
6OHHS0ROHFXODUDQG&HOOXODU0HFKDQLVPV
88
6XVWDLQHGDFWLYLW\RIVOHHSDFWLYHFHUHEUDO
FRUWH[QHXURQVLQFKURQLFVOHHSUHVWULFWLRQ<.,005
=,(/,16.,6.$5329$6:,167215:0&&$5/(<
5(675(&.(5'*(5$6+&+(1.2+DUYDUG0HG
6FK9$%RVWRQ+HDOWKFDUH6\VW+DUYDUG0HG6FK
+DUYDUG0HG6FK
88 ,QWUDYHQRXVDGPLQLVWUDWLRQRIHV]RSLFORQH
GHFUHDVHVDFHW\OFKROLQHUHOHDVHLQWKHEDVDOIRUHEUDLQ
RIREHVHPHWDEROLFV\QGURPHUDWV96+$0%5(&+7
:,('%86&+$'$9,'29/*.2&+6/%5,7721
+$%$*+'2<$15/<',&8QLYRI0LFKLJDQ
S
88 1HXURQDOUK\WKPPRGXODWHGE\WKHOLJKW
GDUNF\FOHLQUDWKLSSRFDPSDOVOLFHV+1$.$768.$.
1$7680(.\XVKX,QVW7HFKQRO
88 )XUWKHUHYLGHQFHIRUWKHVOHHS
SURPRWLQJHIIHFWVRI+7$UHFHSWRUDQWDJRQLVWVDQG
GHPRQVWUDWLRQRIV\QHUJLVWLFHIIHFWVZLWKWKHK\SQRWLF
]ROSLGHP**5,(%(/6%((6.($-$&48(70
'(&2%(57')5$1&212(%(5*,66DQR¿$YHQWLV
5HV'HYHORS
88 3URELQJWKHFRQWULEXWLRQRI
PRQRDPLQHUJLFQHWZRUNVLQVOHHSZDNHUHJXODWLRQ$
9(11(5&6$3(53)8//(5%HWK,VUDHO'HDFRQHVV
0HG&WU
88 &KROLQHUJLFPHGLDWLRQRIHQKDQFHG5(0
VOHHSLQIRUHEUDLQVSHFL¿F&5+RYHUH[SUHVVLQJPLFH0
.,085$0/&85=,&)/$&+6.$00)+2/6%2(5
-0'(866,1*0D[3ODQFN,QVWRI3V\FKLDWU\
88 &RUWLFDOFRQWURORIWKHWKDODPXVGXULQJ
WKHVORZRVFLOODWLRQLQDQHVWKHWL]HGPLFH06+(52=,<$,
7,02)((9/DYDO8QLY
88 S
7KHGHYHORSPHQWRI2UH[LQ$
K\SRFUHWLQH[SUHVVLRQLQFKLFNHPEU\RV.(*2''(1
-3/$1'5<03203(,$120F*LOO8QLY
88 $QDO\VLVRIWKHLQWHUDFWLRQV
EHWZHHQ*$%$$UHFHSWRUDQG/WULLRGRWK\URQLQHXVLQJ
HOHFWURSK\VLRORJ\DQGPROHFXODUG\QDPLFVLPXODWLRQV7
56:(67(5*$5'-90$57,1*%5$11,*$1
5XWJHUV8QLY
88 *OLDODGHQRVLQHNLQDVHFRQWUROVWKH
KRPHRVWDWLFDGHQRVLQHGHSHGHQWVORZZDYHDFWLYLW\GHFD\
RIVORZZDYHVOHHS7(%-251(665:*5((1(
8QLYRI7H[DV6RXWKZHVWHUQ0HG&WU8QLYRI7H[DV
6RXWKZHVWHUQ1RUWK7H[DV9HWHUDQV$IIDLUV0HG&WU
88 &RUWLFDOFDOFLXPDFWLYLW\DFURVVZDNH
DQGVOHHS)LEHURSWLFPHDVXUHPHQWVLQDQHVWKHWL]HGDQG
IUHHO\EHKDYLQJDQLPDOV-6(,%7''(/,02*(60
(/$5.801:)=&KDULWp8QLYHUVLWlWVPHGL]LQ,QVLWXWHRI
3K\VLRORJ\8QLYRI%HUQ
99
7LVVXHVSHFL¿F%0$/H[SUHVVLRQ
DOWHUVVOHHSLQWKHPRXVH-(+/(1)-())(5621$-
%5$*(5.13$8/0RUHKRXVH6FKRI0HG
99
6WDWHGHSHQGHQWFKDQJHVLQDGHQRVLQH
LQWKHURGHQWKLSSRFDPSXVUHO\RQJOLRWUDQVPLVVLRQ7
%/8767(,1/,6&+0,773*+$<'217XIWV8QLY
6FKRI0HG
99
S
((*GHOWDSRZHUGXULQJLVRÀXUDQH
DQHVWKHVLDLVGHFUHDVHGLQ&%/-PRXVHE\V\VWHPLF
DQGLQWUDSRQWLQHDGPLQLVWUDWLRQRIDFHW\OFKROLQHVWHUDVH
LQKLELWRUV$6+$760$1&&125721*9$1,1,
&-:$76215/<',&+$%$*+'2<$18QLYRI
0LFKLJDQ
88
7DXULQHFRXQWHUDFWVWKHVXSSUHVVLYH
HIIHFWRIOLSRSRO\VDFFKDULGHRQQHXURJHQHVLVLQWKH
KLSSRFDPSXV70$768:$.,*:8<7$1$.$.
<$0$128&+,01,6+,+$5$/LQN|SLQJ8QLY7KH8QLY
RI7RN\R6KHQ\DQJ$JU8QLY
88 3DUWLFLSDWLRQRIPXVFDULQLF0
UHFHSWRUVLQWKHUHJXODWLRQRIVOHHSDWYHQWURODWHUDO
SUHRSWLFDUHDDQGGRUVRODWHUDOPHVRSRQWLQHWHJPHQWXP$
-,0(1(=$1*8,$12-$<$/$*$5&,$3326$'$6
52'5,*8(=1*$5&,$&$5'(1$6-9(/$=48(=
02&7(=80$8QLY$XWyQRPD0HWURSROLWDQD,]WDSDODSD
8QLY$XWyQRPD0HWURSROLWDQD,]WDSDODSD8QLY$XWyQRPD
0HWURSROLWDQD,]WDSDODSD
99
1RUHSLQHSKULQHEORFNVLVRÀXUDQHLQGXFHG
DFWLYDWLRQRISXWDWLYHVOHHSSURPRWLQJ9/32QHXURQVOHDGLQJ
WRLQYLYRDQHVWKHWLFUHVLVWDQFH+60&&$55(105
&+$/,)28;-70225(0$)/(,6+(56*%(&.
0%.(/=8QLYRI3HQQV\OYDQLD8QLYRI3HQQV\OYDQLD
8QLYRI3HQQV\OYDQLD8QLYRI3HQQV\OYDQLD
99
(YLGHQFHWKDWWKHODWHUDOK\SRWKDODPLF
DUHDFRQWUROVSDUDGR[LFDO5(0VOHHSE\PHDQVRI
GHVFHQGLQJSURMHFWLRQVWREUDLQVWHP*$%$HUJLFQHXURQV
2&/e0(17(6$3,13/,%285(/6$57+$8'
3)2573/833,&156805,16(508
,16(508
99
*HQHH[SUHVVLRQLQROLJRGHQGURF\WHVLV
DIIHFWHGE\VOHHSDQGZDNH0%(//(6,03),67(5
*(16.2:60$5(76.(/(6*72121,&&,5(//,
8QLYRI:LVFRQVLQ0DGLVRQ8QLYRI:LVFRQVLQ0DGLVRQ
99
$OPRUH[DQWSURPRWHVVOHHSDQG
H[DFHUEDWHVFDWDSOH[\LQDPXULQHPRGHORIQDUFROHSV\6
:%/$&.65025$,57<63),6+(57&+(1'
5:$55,(576.,/'8))65,,QWO
99
*$%$HUJLFQHXURQVRIWKHPHGXOODU\
SDUDIDFLDO]RQHDUHVORZZDYHVOHHSSURPRWLQJ&
$1$&/(7&%6$3(530)8//(5%,'0&+DUYDUG
99
,QGXFWLRQRI5(0VOHHSLQUDWZLWKQRQ
VHOHFWLYH*$%$DUHFHSWRUDQWDJRQLVWDQGEHQ]RGLD]HSLQH
LQYHUVHDJRQLVW0DJQLWXGHRIHIIHFWDWSRQWLQHUHWLFXODUVLWHV
DUHQRWSRVLWLYHO\FRUUHODWHG741*8<(1&/,$1**
$0$5.69$1RUWK7H[DV+OWK&DUH6\VW8QLYRI7H[DV
6RXWKZHVWHUQ0HG&WU
99 2UH[LQ$HQKDQFHVDVORZ
DIWHUK\SHUSRODUL]DWLRQV$+3DQGVORZVVWHDG\¿ULQJLQ
VHURWRQHUJLFGRUVDOUDSKH'5QHXURQV0,6+,%$6+,,
*80(1&+8.&6/(21$5'1HZ<RUN0HG&ROO
99 8QWDQJOLQJJHQHWLFDQGPROHFXODU
QHWZRUNVXQGHUO\LQJVOHHSDQGGHSUHVVLRQDQ[LHW\UHODWHG
EHKDYLRUVLQPLFH.),7=3$75,&.3-,$1*/=+28-
2:(16-0,//67(,1$.$6$56.,6((6&+$'7
--5(1*(5&-:,152:0+9,7$7(51$):
785(.1RUWKZHVWHUQ8QLY.HFN6FKRI0HG86&0RXQW
6LQDL6FKRI0HG0HUFN5HV/DEV
99 6KDUHGSKHQRW\SLFDQGJHQHWLFDVSHFWV
RISV\FKLDWULFDQGVOHHSEHKDYLRUV.05$=(.3-,$1*
/=+28-2:(16-0,//67(,1$.$6$56.,6
((6&+$'7--5(1*(5&-:,152:0+
9,7$7(51$):785(.1RUWKZHVWHUQ8QLY86&0RXQW
6LQDL6FKRI0HG0HUFN5HV/DEV
3267(5
6OHHS6\VWHPV'LVUXSWLRQ
99 (IIHFWRIH[SHULPHQWDOVOHHS
IUDJPHQWDWLRQRQWKHVRFLDOWUDQVPLVVLRQRIIRRGSUHIHUHQFH
LQUDWV.+22'-7$</25.181*$5$<($*8(52
-:22'(1%0217(0$<25$9$//(-25/
38='52:6.,&3:$5'8QLY+RXVWRQ&OHDU/DNH
8QLY+RXVWRQ&OHDU/DNH8QLY+RXVWRQ&OHDU/DNH
99 7KHUROHRISXPLOLRRQWKHVOHHSOLNHVWDWH
RI'URVRSKLODPHODQRJDVWHU1<52'5,*8(=*20(=
-257(*$+52'5,*8(=*',$=)5,9(5$0
5(<(6(5,9(5$-/$*26725,9(5$81,9(56,7<
2)38(5725,&2
99 0HWDEROLFFRQVHTXHQFHVRIGLVWXUEHG
VOHHSLQURGHQWV3%$5)30((5/2$-6&+(85,1.
02338QLYRI:DVKLQJWRQ8QLYRI*URQLQJHQ
99
3URMHFWLRQVIURPODWHUDOSRQWLQH
WHJPHQWXP/37WRVXEODWHURGRUVDOQXFOHXV6/'XWLOL]H
JO\FLQH*$%$DQGJOXWDPDWHQHXURWUDQVPLWWHUV&/,$1*
*$0$5.69$1RUWK7H[DV+OWK&DUH6\VW8QLYRI
7H[DV6RXWKZHVWHUQ0HG&WU9$1RUWK7H[DV+OWK&DUH
6\VW
:: (OHFWULFDOVWLPXODWLRQRIEDVDOIRUHEUDLQ
%)LQGXFHVFRUWLFDOJDPPDDFWLYLW\DQGDFWLYDWHV
ZDNHDFWLYH%)QHXURQVLQIUHHO\EHKDYLQJUDWV6
7+$1.$&+$1-70&.(11$5(675(&.(55:
0&&$5/(<9$%RVWRQ+HDOWKFDUH6\VW+DUYDUG0HG
6FK
99 &KROLQHUJLFEDVDOIRUHEUDLQQHXURQV
FRQWULEXWHWRWKHELRFKHPLFDODQGHOHFWURSK\VLRORJLFDO
FKDQJHVLQWKHFRUWH[GXULQJVOHHSGHSULYDWLRQ$9
.$/,1&+8.6.,05:0&&$5/(<5%$6+((5
+DUYDUG0HG6FKRRO9$%RVWRQ+HDOWKFDUH6\VW%URZQ
8QLY
:: ,QUDWVH[SRVHGWRFKURQLFLQWHUPLWWHQW
K\SR[LDUHGXFHG)RVH[SUHVVLRQLQYHQWURODWHUDOPHGXOODU\
FDWHFKRODPLQHUJLF$&QHXURQVFRQWUDVWVZLWKDQXSZDUG
WUHQGLQSRQWLQH$QHXURQV/.8%,1.%(1,1&$6$
+(55*067(771(58QLYRI3HQQV\OYDQLD
99 (IIHFWRIQLFRWLQHZLWKGUDZDORQVOHHS
TXDQWLW\DQGTXDOLW\LQUDWV+/0$7+(:6'+0$/,1
3)(,/(5/7+203621-%$87,67$$1(*5(7(3
*2<$5=8&3:$5'8QLYRI+RXVWRQ&OHDU/DNH
99 8VLQJ51$6HTWRHYDOXDWHWKHDJHG
IHPDOH6SUDJXH'DZOH\UDWFRUWH[WUDQVFULSWRPHDIWHU
UHSHDWHGERXWVRIVOHHSGHSULYDWLRQLQGXFHGE\WKHJHQWOH
KDQGOLQJPHWKRG$6(//,2775&7851(5-3
2¶&$//$*+$1&/526(1-'+8%(5'%0,//(5
:HVW9LUJLQLD8QLY6FKRI0HG&'&1,26+:HVW9LUJLQLD
6FKRI0HG:HVW9LUJLQLD8QLY6FKRI3KDUP
99 6OHHSJHQHSRO\PRUSKLVPVDQG
SV\FKRORJLFDOKHDOWK$WUDQVODWLRQDODSSURDFK79,(1$
$,),16$7$57$5-/7$57$51RYD6RXWKHDVWHUQ
8QLY1RYD6RXWKHDVWHUQ8QLY
:: 0XVFOHEOLQGOLNHSURWHLQNQRFNRXW
PLFHH[KLELWLQFUHDVHG5(0VOHHSSURSHQVLW\16$.$,
06$72.&+$5,=$1,6./((066:$16216
1,6+,126WDQIRUG6OHHSDQG&LUFDGLDQ1HXURELR/DE
8QLYRI)ORULGD&KDQJ*XQJ0HP+RVS
:: 3V\FKRPRWRUYLJLODQFHWDVNSHUIRUPDQFH
GXULQJDQGIROORZLQJFKURQLFVOHHSUHVWULFWLRQLQUDWV6
'(859(,/+(5-%86+%586$.*(6.(6.
6(0%$'DOKRXVLH8QLY
:: 0ROHFXODUDQDO\VLVRIDVHQVRU\
H[SHULHQFHLQGXFHGVOHHSLQMXYHQLOHPDOHVRQJELUGV
'7:+,7$.(50'(6+3$1'((5$7/,)))
3,5/(3(6297/,1767H[DV$08QLY
:: 6OHHSZDNHDFWLYLW\RI8&3.2PLFHDW
YDULRXVDPELHQWWHPSHUDWXUHV/.$3$6(6=(17,50$,
:DVKLQJWRQ6WDWH8QLYHUVLW\6SRNDQH
S
:: 6OHHSGHSULYDWLRQWKURXJKVRFLDO
LQWHUDFWLRQLQGXFHVF)RVDFWLYDWLRQLQWKHURVWUDOEDVDO
IRUHEUDLQLQUDWV.6(0%$15<$1-%85166
'(859(,/+(5'DOKRXVLH8QLY
:: F)RVSURWHLQDFWLYDWLRQLVLQFUHDVHG
LQVHURWRQHUJLFQHXURQVRIWKHUDWGRUVDOUDSKHQXFOHXV
GXULQJDSQHLFUHVSLUDWRU\FKDOOHQJH-70&.(11$
/%6+,))/(776:,16721<%2/2578<$0$
)(55$5,1,*'*22'+8(030&*29(51%
.2&6,65:0&&$5/(<5(675(&.(59$%RVWRQ
+HDOWKFDUH+DUYDUG0HG6FK6WRQHKLOO&RO+DUYDUG0HG
6FKRRO%HWK,VUDHO'HDFRQHVV0HG&WU
:: ((*DOSKDSRZHUPHGLDWHVSHUVHYHUDWLRQ
RIELVWDEOHSHUFHSWLRQDIWHUVOHHSGHSULYDWLRQ*
3,$1721,1520(,-1<'9$1'(5:(5)(-9$1
620(5(11HWKHUODQGV,QVW)RU1HXURVFL
:: 7KHVHGDWLYHK\SQRWLFGH[PHGHWRPLGLQH
GRHVQRWFDXVHS&5(%DFWLYDWLRQLQ15(0VOHHSUHJXODWLQJ
EUDLQUHJLRQVRI6SUDJXH'DZOH\UDW(&6:25
6%277$7+5(&+'$.,$16-,$1*$$7$/$
*$55,7<*9$1,1,+$%$*+'2<$15/<',&8QLY
RI0LFKLJDQ
:: )RRGGHSULYDWLRQDQGQHZHQYLURQPHQW
LQGXFHGVOHHSZDNHDFWLYLW\FKDQJHVLQ8&3.2PLFH&
$0(6(6=(17,50$,:DVKLQJWRQ6WDWH8QLY
:: 6OHHSGLVWXUEDQFHVDUHFRUUHODWHG
ZLWKFRJQLWLYHDQGDIIHFWLYHGH¿FLWVLQLQGLYLGXDOVZLWK
FHUHEHOODUDWD[LD$6211,50&63(1&(58QLYRI
0DVVDFKXVHWWV8QLYRI0DVVDFKXVHWWV
:: 6OHHSKLVWRU\DOWHUVUHVSRQVHVRIPLFHWR
PXVFOHVHQVLWL]DWLRQ%&687721052338QLYRI
:DVKLQJWRQ8QLYRI0LFKLJDQ8QLYRI:DVKLQJWRQ
:: /RQJWHUPVOHHSGHSULYDWLRQHIIHFWVRYHU
VSDWLDOOHDUQLQJLQDGXOWPDOHPLFHLQGLIIHUHQWH[SRVLWLRQ
WLPHV6627252'5,*8(=-+)(51$1'2*
&+,35(67,1$-(522*21=$/(=3(5(=$*$/9(=
&2175(5$62+8(7/$/9$5(=B3$//$=8(/266
/848,155$026B=8f,*$-*$5&,$(675$'$5
*21=$/(=&$67$f('$<589$/&$%$'(/*$',//2
8QLYGH*XDGDODMDUD,QVW0H[LFDQRGHO6HJXUR6RFLDO
8QLYGH*XDGDODMDUD
:: +LSSRFDPSDODFWLYLW\UHJXODWHG
F\WRVNHOHWDOSURWHLQFKDQJHVDIWHUFKURQLFVOHHSGHSULYDWLRQ
DQGUHPRYDOIURPWKHVOHHSGHSULYDWLRQFKDPEHU2
<(6628)28:/(.68%(',/9$/e5,$6,7$0
.2%$1*(+2))0$10RUJDQ6WDWH8QLY8QLYRI6DR
3DXOR
:: $FHW\OFKROLQHDQGV\QDSWLFKRPHRVWDVLV
&*),1.0=2&+2:6.,9%227+8QLYRI
0LFKLJDQ8QLYRI0LFKLJDQ8QLYRI0LFKLJDQ
:: 'D\WLPHK\SHUDURXVDOLQLGLRSDWKLF
LQVRPQLD3UHOLPLQDU\UHVXOWV7&(./,&,785&277(
&+%$67,(18QLY/DYDO&WUGHUHFKHUFKH8QLY/DYDO
5REHUW*LIIDUG
:: 2SWRJHQHWLFDOO\LQGXFHGVOHHSVSLQGOH
UK\WKPVDOWHUVOHHSDUFKLWHFWXUHLQPLFH$3.,0
&/$7&+280$1(6/((*.,0(&+(21*
*$8*867,1(+6+,1.RUHD,QVWRI6FLHFHDQG
7HFKQRO8QLYRI6FLDQG7HFKQRO.RUHD,QVWRI6FLHFH
DQG7HFKQRO.RUHD,QVWRI6FLHFHDQG7HFKQRO<RQVHL
XQLYHUVLW\
;;
'LVWLQFWFOXVWHULQJRIORFDWLRQVDQGDFWLYLW\
SDWWHUQVDPRQJYHQWURODWHUDOPHGXOODU\FHOOVUHFRUGHGGXULQJ
WKHDWRQLDRI5(0VOHHSHOLFLWHGE\SRQWLQHFDUEDFKROLQ
XUHWKDQHDQHVWKHWL]HGUDWV*067(771(5</(,.
%(1,1&$6$+(55/.8%,18QLYRI3HQQV\OYDQLD
;;
S
(QKDQFHGSDVVLYHDYRLGDQFHUHWHQWLRQ
LQ33$5_NQRFNRXWPLFH'&+,'$6&+,.$+,6$
16+,0,=8+)8-,+$5$76+,8&+,+6(,8QLY
7RNXVKLPD*UDG6FK8QLY7RNXVKLPD)DF0HG
;;
%UDLQVWHPFKROLQHUJLFDQGWKDODPLF
G\VIXQFWLRQGXULQJOLPELFVHL]XUHV3RVVLEOHPHFKDQLVP
IRUFRUWLFDOVORZRVFLOODWLRQVDQGLPSDLUHGFRQVFLRXVQHVV
-(027(/2:$*800$'$9(//,==$<<$'$0
0,6+5$5166$&+'(9%*6$1*$1$+$//,0
)850$1'(1*/27)+<'(5+%/80(1)(/'<DOH
6FKRI0HG<DOH6FKRI0HG<DOH6FKRI0HG8QLYRI
&DOLIRUQLD6DQ)UDQFLVFR<DOH6FKRI0HG
3267(5
+XPDQ9LVXDO3HUFHSWLRQ
;;
(OHFWURSK\VLRORJLFDOHYLGHQFHIRUWKH
RQVHWRIELRORJLFDOPRWLRQSURFHVVLQJ*%8==(///
&+8%%$6$))25'-7+203621&*0&'21$/'
*HRUJH0DVRQ8QLY*HRUJH0DVRQ8QLY
;;
0RGXODWLRQRIYLVXDOHYHQWUHODWHG
SRWHQWLDOVZLWKPDWFKLQJDQGQRQPDWFKLQJRGRXUV$
52%,1621-%0$77,1*/(<-5(,1+$5'8QLYRI
4XHHQVODQG8QLYRI4XHHQVODQG
;;
$EDFXVLQWKHEUDLQ$ORQJLWXGLQDO
QHXURLPDJLQJVWXG\RIDVNLOOHGDEDFXVXVHUZLWKDULJKW
KHPLVSKHULFOHVLRQ67$1$.$.6(.,7+$1$.$:$
0+$5$'$16$'$72.:$7$1$%(0+21'$
1DJR\D,QVWRI7HFKQRO.REH8QLY1DWO&WUIRU1HXURO
DQG3V\FKLDWU\(LVHL+RVS1DWO,QVWIRU3K\VLRORJLFDO6FL
7KH8QLYRI7RN\R
;;
(PERGLHGVSDWLDOWUDQVIRUPDWLRQVLQ
¿UVWDQGWKLUGSHUVRQSHUVSHFWLYHV768'27+(5$,.
02*,.HLR8QLY7RN\R,QVWRIWHFKQRORJ\6RQ\&RPSXWHU
6FL/DERUDWRULHV,QF
;;
7KHUHSUHVHQWDWLRQRIQXPHURVLW\LQ
DFWLYLW\SDWWHUQVRIIXQFWLRQDOO\GH¿QHGVXEUHJLRQVRIKXPDQ
SDULHWDOFRUWH[((*(533,1(/6'(+$(1($
./(,16&+0,'7,16(50&RJQLWLYH1HXURLPDJLQJ8QLW
&($1(85263,18QLY3DULV6XG&ROOqJHGH)UDQFH
;;
7LPHZLQGRZIRUFRJQLWLYHYLVXRPRWRU
SURFHVVH[DPLQHGE\WKH(EELQJKDXVVL]HLOOXVLRQHIIHFW+
.$7680$7$'DLWR%XQND8QLY
S
:: &KURQLFDQGDFXWH5(0VOHHSGHSULYDWLRQ
GLIIHUHQWLDOO\DIIHFWW\URVLQHK\GUR[\ODVHDQGGRSDPLQH
5H[SUHVVLRQLQWKHUHZDUGFLUFXLWRIWKHUDWEUDLQ05
'81%$5,$=2*8375(0%/$<(0/(%5(721
1/(0$5(&+3/$021'218QLYRI2WWDZD8QLYGX
4XHEHFD0RQWUHD
:: (IIHFWRIVOHHSIUDJPHQWDWLRQRQVSDWLDO
OHDUQLQJDQGPHPRU\LQMXYHQLOHUDWV.181*$5$<
($*8(52.+22'-7$</25-:22'(1-
%$87,67$10&'$1,(/$9$//(-25.,(/7<.$&
3:$5'8QLY+RXVWRQ&OHDU/DNH
;; ,QGLYLGXDOGLIIHUHQFHVLQWKHLQÀXHQFH
RI'VSDWLDOFXHLQJRQSVHXGRQHJOHFWIRUKRUL]RQWDOOLQH
ELVHFWLRQWDVNV-')257(&63(1&(01,&+2//6
7KH8QLYRI0HOERXUQH8QLYRI2[IRUG)OLQGHUV8QLY
3267(5
;;
7DVNGHSHQGHQWDFWLYDWLRQRIWKDODPR
FRUWLFDOQHWZRUNVZLWKWUDQVFUDQLDODOWHUQDWLQJFXUUHQW
VWLPXODWLRQ&:(,15,&+&6&+0,'76$02$3
'(&+(170%b+50:,/.(8QLY0HG*RHWWLQJHQ
8QLY0HG*RHWWLQJHQ
;; 5HVSRQVHSURSHUWLHVRIVXSHULRUWHPSRUDO
VXOFXVGXULQJELRORJLFDOPRWLRQSHUFHSWLRQI05,VWXG\
(<$0$0272<620(<$<681*62*$:$6
:$7$1$%(7KH8QLYRI7RN\R*UDG6FKRI+XPDQ
5HODWLRQV.HLR8QLY.DQVHL)XNXVKL5HV&WU7RKRNX
)XNXVKL8QLY
;; $JHUHODWHGPDFXODUGHJHQHUDWLRQDIIHFWV
ORFDOIXQFWLRQDOFRQQHFWLYLW\51(1(57/$5266'.
'(&$5/2&2:6/(<0*5$+$0.09,66&+(5
8QLYRI$ODEDPD$W%LUPLQJKDP8QLYRI$ODEDPD$W
%LUPLQJKDP8QLYRI$ODEDPD$W%LUPLQJKDP8QLYRI
$ODEDPD$W%LUPLQJKDP
+XPDQ/RQJ7HUP0HPRU\+LSSRFDPSDO&RPSOH[DQG
5HODWHG6WUXFWXUHV
0RQ30±(UQHVW10RULDO&RQYHQWLRQ&HQWHU+DOO) <<
(IIHFWLYH&RQQHFWLYLW\EHWZHHQWKH
KXPDQSRVWHURPHGLDOFRUWH[DQGPHVLDOWHPSRUDOOREH
VWUXFWXUHV-3$59,=,-)5(,7$6%=21-<-0,//(5
0=.28%(,66,6WDQIRUG8QLY8QLY+RVS&DVH0HG
&WU8QLY+RVS&DVH0HG&WU*HRUJH:DVKLQJWRQ8QLY
<<
0DWHULDOVSHFL¿FDVVRFLDWLYHPHPRU\DQG
SHUFHSWXDOGH¿FLWVLQDSDWLHQWZLWKDULJKWSHULUKLQDOF\VW0
&,1+2))$&+(866(5$7$0%,1,&%0$57,1
(%2¶1(,/6.g+/(5%9$=48(=2'(9,16.</
'$9$&+,1HZ<RUN8QLY1HZ<RUN8QLY8QLYRI:HVWHUQ
2QWDULR1<8/DQJRQH6FKRI0HG
;; .QRZLQJZKHUHZLWKRXWNQRZLQJZKDW
3DUWLDODZDUHQHVVLQFRQWLQXRXVÀDVKVXSSUHVVLRQ/
08'5,.+*(/%$5'6$*,9&.2&+&DOWHFK
<<
&RPPRQDQGGLVWLQFWKLSSRFDPSDO
FRQQHFWLYLW\GXULQJUHWULHYDORIPHPRU\IRUHSLVRGHV
DQGVSDWLDOORFDWLRQVWRODQGPDUNFXHVRIDUHDO
ZRUOGHQYLURQPHQW-52%,10+,56++2510
026&29,7&+5526(1%$80*:,12&85&
*5$'<5RWPDQ5HV,QVW8QLYRI7RURQWR<RUN8QLY
7UHQW8QLY
;; 1RQFRQVFLRXVDGDSWDWLRQWRVSDWLDODQG
WHPSRUDOVWUXFWXUHRIELRORJLFDOPRWLRQ1)$,95(&
.2&+&DOWHFK
<<
&RPELQLQJGLVWDODQGSUR[LPDOVSDWLDO
FXHVGXULQJQDYLJDWLRQ$QI05,VWXG\+5(9(1602(1
-;8&,9(56(1+/(+1$+c%(5*1718
;; 9LVXDOSV\FKRSK\VLFV$VWXG\RQWKH
DELOLW\RIWKHYLVXDOV\VWHPWRSHUFHLYHVWRFKDVWLFLPDJHV$
'811,1*$*+25(<6+,76$1*(58RI6RXWKHUQ
&DOLIRUQLD%0('HSW
<<
,QÀDPPDWRU\HIIHFWVRQKXPDQUKLQDO
FRUWH[JOXFRVHPHWDEROLVPSUHGLFWVXEVHTXHQWVSDWLDO
PHPRU\LPSDLUPHQW1$+$55,621&'2(//(5
(&223(599221.0,/(61%85*(66+'
&5,7&+/(<8QLYRI6XVVH[5DGERXG8QLY&DPEULGJH
8QLY8&/
;; 1HXUDOUHSUHVHQWDWLRQRIWKHQDYLJDELOLW\
LQDVFHQH63$5.0'811(0/(9,1(-RKQV
+RSNLQV8QLY
;; 'HVFULSWLYHQHVVDQGLPSRUWDQFH
RIDXWRELRJUDSKLFDOLQIRUPDWLRQIRUWKHFRQVWUXFWLRQRI
DXWRELRJUDSKLFDOVHOI+)$5$8-2-.$3/$1+
'$0$6,2$'$0$6,2%UDLQ&UHDWLYLW\,QVW8QLY
RI6RXWKHUQ&DOLIRUQLD*UDG3URJUDPLQ$UHDVRI%DVLF
DQG$SSOLHG%LRORJ\8QLYRI2SRUWR3RUWXJDO%UDLQDQG
&UHDWLYLW\,QVWLWXWH8QLYRI6RXWKHUQ&DOLIRUQLD86$
;; S6H[GLIIHUHQFHVLQFRJQLWLYHDQGFRUWLFDO
SURFHVVLQJRIV\PPHWU\$-&2//(*,2')08/$5=6
0/$=$5-/*(5$5'/3(5&2/$12--3$5.(5
006/$1(37255':(9$16%XFNQHOO8QLY
*HLVLQJHU+OWK6\VWHPV
;; ,QFUHDVHLQWRSGRZQFRQQHFWLYLW\GXULQJ
YLVXDOLPDJHU\DVFRPSDUHGWRSHUFHSWLRQ''(17,&2
-&+$1*%/3&+(81*--*82.$60%2/<*
72121,%'9$19((18QLYRI:LVFRQVLQ0DGLVRQ
8QLYRI:LVFRQVLQ0DGLVRQ8QLYRI/LqJH
<<
)XQFWLRQDOPDQLSXODELOLW\RIREMHFWV
LQWHUDFWVZLWKEUDLQDFWLYLW\$EHWZHHQVXEMHFWV((*VWXG\
<<&+(1&50$'$176200(5$6,1*+$/
8QLYRI$OEHUWD8QLYRI$OEHUWD8QLY0HG&RO+DPEXUJ
(SSHQGRUI
<<
2FXORPRWRUVHOHFWLRQPLWLJDWHVYLVXDO
FURZGLQJ:+$55,6215:5(0,1*721-%
0$77,1*/(<7KH8QLYRI4XHHQVODQG7KH8QLYRI
4XHHQVODQG
<<
'LVWLQFWQHXUDOQHWZRUNVLQYROYHGLQ
VSDWLDODQGWHPSRUDOSDWWHUQVHSDUDWLRQ03$/(-$7$
*,5$5'.$+(5'0$1%.&+5,67(16(15\HUVRQ
8QLY0F0DVWHU8QLY
<<
0HGLDOWHPSRUDOOREHFRQWULEXWLRQVWRWKH
RUJDQL]DWLRQRIPHPRU\DQGIXWXUHWKRXJKW(5$&(00
.($1(09(5)$(//,(%RVWRQ8QLY6FKRI0HGDQG9$
%RVWRQ+HDOWKFDUH6\VW:HOOHVOH\&RO
<< &RUWLFDOV\VWHPVUHSUHVHQWLQJFRQWH[W
LQHSLVRGLFPHPRU\05,7&+(<$3<21(/,1$6&
5$1*$1$7+8QLYRI&DOLIRUQLD'DYLV8QLYRI&DOLIRUQLD
'DYLV
<<
0XOWLYR[HOSDWWHUQGLVWLQFWLYHQHVVDW
HQFRGLQJSUHGLFWVDFFXUDWHUHFHQF\GLVFULPLQDWLRQ/-
-(1.,16&5$1*$1$7+8&'DYLV
<< 1RYHOW\PRGXODWHVLQWUDFUDQLDO((*
VLJQDOVLQWKHSUHIURQWDOFRUWH[GXULQJPHPRU\HQFRGLQJ
0*58%(5/+6,(+%67$5(6,1$&(/*(5-
)(//1$;0$&+(5&5$1*$1$7+8&'DYLV8QLYRI
&DPEULGJH8QLYRI%RQQ/LIHDQG%UDLQ&WURI$FDGHPLF
5HV
<< 1HXUDOUHSUHVHQWDWLRQRISRVLWLRQ
LQIRUPDWLRQLQWHPSRUDOVHTXHQFHV/+6,(+0-
*58%(5/--(1.,16&5$1*$1$7+8&'DYLV8&
'DYLV
S
<< %UDLQPHFKDQLVPVRIVXFFHVVIXO
UHFRJQLWLRQWKURXJKUHWULHYDORIVHPDQWLFFRQWH[W.
)/(*$/$0$5Ë1*87,e55(=-5$*/$1'
&5$1*$1$7+8QLYRI&DOLIRUQLD'DYLV8QLYRI
6DODPDQFD8QLYRI&DOLIRUQLD'DYLV8QLYRI&DOLIRUQLD
'DYLV
<< (IIHFWVRIWKHWDHQWUDLQPHQWRQVRXUFH
PHPRU\%052%(5765-$''$17(=&+(107
.,'210(0217&+$///.(//<&5$1*$1$7+
8QLYRI&DOLIRUQLD'DYLV8QLYRI7H[DVDW'DOODV=KHMLDQJ
8QLY8QLYRI&DOLIRUQLD'DYLV
<< 5HSUHVHQWDWLRQRIREMHFWVHWVDQGVSDWLDO
FRQ¿JXUDWLRQVLQWKHKXPDQPHGLDOWHPSRUDOOREHVGXULQJ
ZRUNLQJPHPRU\WDVNSHUIRUPDQFH/$/,%%<'(
+$118/$//.(//<&5$1*$1$7+8&'DYLV8QLY
RI:LVFRQVLQ0LOZDXNHH8&'DYLV
<< 7KHSHULUKLQDOFRUWH[PRGXODWHV9
DFWLYLW\LQUHVSRQVHWRWKHDJUHHPHQWEHWZHHQSDUWIDPLOLDULW\
DQGFRQ¿JXUDWLRQIDPLOLDULW\/&$&&,$0$1,3(6&$/)
0'%$5(16(0$3(7(56218QLYRI$UL]RQD8QLY
RI7RURQWR5RWPDQ,QVW8QLYRI$UL]RQD
<< $GDSWLYHLQFRUSRUDWLRQRIHQYLURQPHQWDO
FXHVGXULQJUHFRJQLWLRQPHPRU\MXGJPHQWV$.21.(/$
-$(*(5,*'2%%,16:DVKLQJWRQ8QLY6W/RXLV
<< 6OHHSOHDGVWRGHFRQWH[WXDOL]DWLRQRI
FRQGLWLRQHGIHDU&&*6:((*(560&:.52(6
/07$/$0,1,8QLYRI$PVWHUGDP'RQGHUV,QVWIRU
%UDLQ&RJQLWLRQDQG%HKDYLRU
==
7KHUHODWLRQVKLSDPRQJVOHHSZDNH
F\FOHV&/2&.JHQRW\SHDQGDVVRFLDWLYHPHPRU\
SHUIRUPDQFHLQFROOHJHVWXGHQWV606+(50$1:
09$1'(5/,1'/7758-,//20'0$77+(:6-
(0&*($5<&*%((9(56:70$''2;'0
6&+1<(58QLYRI7H[DV$W$XVWLQ8QLWHG6WDWHV0LOLWDU\
$FDG%URZQ8QLY
==
%HKDYLRUDODQGQHXUDOHIIHFWVRIFRUWLVRO
RQHPRWLRQDODQGQHXWUDOPHPRU\.$%(11,21.50
67(,10(7=($.(16,1*(5-'3$<1(%RVWRQ&RO
7KH8QLYRI1RWUH'DPH
==
)DPLOLDULW\FDQUHÀHFWQRQFRQVFLRXV
PHPRU\337+$.5$/($.(16,1*(56'
6/271,&.%RVWRQ&RO
==
(VWURJHQDQGORQJWHUPPHPRU\
IRUHPRWLRQDOVWLPXOLLQ\RXQJZRPHQ$3203,/,%
$5121(0'¶$0,&2$*$6%$55,8QLY/¶$TXLOD
'HSW%LRPHG6FLDQG7HFKQRORJLHV
==
&RQWH[WPHPRU\DFURVVWKHDGXOW
OLIHVSDQ0')$-$5'2015$-$+5DMDK/DE
'RXJODV0HQWDO+OWK8QLY,QVW0F*LOO8QLY
==
5HWURJUDGHPHPRU\LPSDLUPHQW
HQFRPSDVVHVHYHU\GD\NQRZOHGJHDQGH[SHUWNQRZOHGJH
(YLGHQFHIURPDQDPQHVLFDUWLVW(*5(*25<0
0&&/26.(<..(//,+(5%/$1'$8-RKQV+RSNLQV
8QLY
==
6WUHVVPRGXODWHVWKHHQJDJHPHQW
RIPXOWLSOHPHPRU\V\VWHPVLQFODVVL¿FDWLRQOHDUQLQJ/
6&+:$%(27:2/)5XKU8QLYHUVLW\%RFKXP
S
3267(5
+XPDQ/RQJ7HUP0HPRU\(QFRGLQJ
==
6KRUWDQGORQJUDQJHLPSDFWVRI
HQFRGLQJDFWLYLW\RQPHPRU\IRUDURXVLQJDQGQRQDURXVLQJ
LQIRUPDWLRQ.50,&./(<67(,10(7=+5=8&.(5
($.(16,1*(5%RVWRQ&RO%RVWRQ&RO%RVWRQ&RO
==
6FKHPDWLFUHSUHVHQWDWLRQVLQSDWLHQWV
ZLWKOHVLRQVWRWKHYP3)&ZLWKDQGZLWKRXWFRQIDEXODWLRQ
9*+26+0026&29,7&+%&2/(//$$*,/%2$
8QLYRI7RURQWR5RWPDQ5HV,QVWLWXWH%D\FUHVW7RURQWR
5HKDELO,QVW&WUIRU6WURNH5HFRYHU\
==
6OHHSGHSHQGHQWFRQVROLGDWLRQRI
VFKHPDFRQIRUPDQWDQGQRQFRQIRUPDQWLWHPV3$/(:,6
1+(11,(66&$,51(<0/$0%215$/3+6
'855$178QLYRI0DQFKHVWHU8QLYRI0DQFKHVWHU8QLY
RI/LQFROLQ
==
1HXUDOQHWZRUNVLQYROYHGLQUHWULHYDORI
QHZO\OHDUQHGZRUGVDQGHIIHFWRIRYHUQLJKWFRQVROLGDWLRQ
DQI05,VWXG\$7$.$6+,0$,%$..(5-*9$1
+(//*-$1=(1-00&48((15DGERXG8QLY
1LMPHJHQ5DGERXG8QLY1LMPHJHQ3HQQV\OYDQLD6WDWH
8QLY0D[3ODQFN,QVWIRU3V\FKROLQJXLVWLFV
==
&RPPRQWHPSRUDOFRQWH[WSURPRWHV
KLSSRFDPSDODQGYHQWURPHGLDOSUHIURQWDOPHPRU\LQWHJUDWLRQ
SURFHVVHVWKDWOLQNH[SHULHQFHV'=(,7+$029$$5
:$77(1%(5*(5$535(67218QLY7H[DV$XVWLQ
==
+LSSRFDPSDOQHRFRUWLFDOIXQFWLRQDO
FRQQHFWLYLW\UHYHDOVPHPRU\LQWHJUDWLRQVLJQDWXUHWKDW
SHUVLVWVGXULQJSRVWHQFRGLQJUHVW0/6&+/,&+7,1*$
535(67218QLY7H[DV$XVWLQ
==
+LSSRFDPSDO/HDUQLQJYV)DVW0DSSLQJ
'RHVRQHSUHFOXGHWKHRWKHU"$*5(9((&223(5.
3$77(56215+(162105&&RJQLWLRQDQG%UDLQ6FL
8QLW
==
8QUDYHOLQJWKHVFKHPDHIIHFW'LVWLQFW
VFKHPDUHODWHGPHPRU\HQFRGLQJVLJQDWXUHVLQPHGLDO
SUHIURQWDODQGPHGLDOWHPSRUDOFRUWLFHV079$1
.(67(5(16%(8/$7$.$6+,0$51+(1621
'-58,7(5*)(51È1'(='RQGHUV,QVW)RU%UDLQ
&RJQLWLRQDQG%HKDYLRXU5DGERXG8QLY0HG&WU05&
&RJQLWLRQDQG%UDLQ6FL8QLW5DGERXG8QLY0HG&WU
==
,VVFHQHLWHPHSLVRGLFHQFRGLQJGULYHQ
E\SUHGLFWLRQHUURU"5+(1621(&223(5$*5(9(
0HG5HV&RXQFLO
==
6H[GLIIHUHQFHVLQWKHUHODWLRQVKLS
EHWZHHQPRRGDQGPHPRU\1(570$1/&$+,//8QLY
RI&DOLIRUQLD,UYLQH8QLYRI&DOLIRUQLD,UYLQH
==
2[\WRFLQDQGUHFRJQLWLRQPHPRU\
%HKDYLRUDODQG(53HIIHFWVRQRZQUDFHDQGRWKHUUDFH
IDFHVVXESURFHVVHVRIPHPRU\DQGSDUWLFLSDQW¶VVH[*
+(5=0$117&855$18QLYRI&RORUDGR%RXOGHU
<< +RZVLPLODULVWRRVLPLODU",QYHVWLJDWLQJ
WKHERXQGDULHVRIIHDWXUHFRQMXQFWLRQUHSUHVHQWDWLRQVLQWKH
SHULUKLQDOFRUWH['0'28*/$6+&:$7621$&+
/((8QLYRI7RURQWR
==
(IIHFWVRIGULQNLQJSDWWHUQVRQ
SURVSHFWLYHPHPRU\SHUIRUPDQFHLQFROOHJHVWXGHQWV6$
5$6.,17ULQLW\&RO
==
/DPLQDUDFWLYLW\LQWKHKLSSRFDPSDO
IRUPDWLRQDQGHQWRUKLQDOFRUWH[UHODWHGWRQRYHOW\GHWHFWLRQ
DQGHSLVRGLFHQFRGLQJ$0$$+6&+h7=(2
63(&.$<21(/,1$6++(,1=(('8=(/2WWRYRQ
*XHULFNH8QLY0DJGHEXUJ2WWRYRQ*XHULFNH8QLY8QLY
RI&DOLIRUQLD'DYLV*HUPDQ&WUIRU1HXURGHJHQHUDWLYH
'LVRUGHUV
$$$ 3DWWHUQVRIQHXUDODFWLYLW\ZLWKLQ
VXVWDLQHGVLJQDOVLPSOLFDWHGLQWDVNPDLQWHQDQFHFDQEH
XVHGWRFODVVLI\VSHFL¿FWDVNV01(7$%1$5'26%
/6&+/$**$56(3(7(56(1:DVKLQJWRQ8QLY
:DVKLQJWRQ8QLY6FKRI0HG:DVKLQJWRQ8QLY6FKRI
0HG:DVKLQJWRQ8QLY6FKRI0HG:DVKLQJWRQ8QLY6FK
RI0HG:DVKLQJWRQ8QLY:DVKLQJWRQ8QLY
$$$ %UDLQRVFLOODWLRQVDQG%2/'VLJQDOV
UHODWHGWRHI¿FLHQWHQFRGLQJVWUDWHJLHV$VLPXOWDQHRXV
((*I05,VWXG\0)(//1(5*92/%(5*0
*2/'+$&.(50:,0%(50:*5((1/((6
+$16/0$<58QLYRI.RQVWDQ]8QLYRI5HJHQVEXUJ
05&&RJQLWLRQDQG%UDLQ6FL8QLW=XNXQIWVNROOHJ8QLYRI
.RQVWDQ]
$$$ 1HXURSK\VLRORJLFDOLQYHVWLJDWLRQRI
VSRQWDQHRXVDQWLFRUUHODWHGÀXFWXDWLRQVRIWKH%2/'VLJQDO
&.(//(5&-+21(<6%,&.(/,'$9,'(6&2'
*5233(/(17=3%.,1*6/(<6+:$1*6-$,1
00,/+$0&.(//<)/$'2$0(+7$$OEHUW(LQVWHLQ
&RORI0HG3ULQFHWRQ8QLY1RUWK6KRUH/,-+OWK6\VWDQG
)HLQVWHLQ,QVWIRU0HG5HV+HEUHZ8QLYRI-HUXVDOHP
,QVWIRU3V\FKRORJ\RIWKH+XQJDULDQ$FDGRI6FL1HZ
<RUN8QLY&KLOG6WXG\&WU0RQWH¿RUH0HG&WU
$$$ %UDLQDFWLYLW\GXULQJIHDUFRQGLWLRQLQJ
LQLQFDUFHUDWHGSV\FKRSDWKV'+6&+8/7=1/
%$/'(56721-31(:0$1&//$5621)-
+(/067(77(58QLY:LVFRQVLQ0LOZDXNHH8QLYRI
:LVFRQVLQ0DGLVRQ0HG&RORI:LVFRQVLQ
3267(5
+XPDQ&RJQLWLRQDQG%HKDYLRU$WWHQWLRQDO1HWZRUNV
DQG)XQFWLRQ
$$$ 1HXUDOUHJLRQVWKDWVKRZHUURUUHODWHG
DFWLYLW\FDQEHFODVVL¿HGLQWRIRXUIXQFWLRQDOO\GLVWLQFW
UHVSRQVHSUR¿OHV)00,(=,101(7$601(/621
-:'8%,6%/6&+/$**$56(3(7(56(1
0HG:DVKLQJWRQ8QLY:DVKLQJWRQ8QLY6FKRI0HG
:DVKLQJWRQ8QLY6FKRI0HG:DVKLQJWRQ8QLY
$$$ 'LVVRFLDWLQJWKHUROHVRIODWHUDO
DQGPHGLDOSUHIURQWDOFRUWH[LQGHFLVLRQPDNLQJWDVNV
,PSOLFDWLRQVIRUVWDJHVRISURFHVVLQJ601(/621
0(:+((/(5(-3/25$1--75(0(/6(
3(7(56(1:DVKLQJWRQ8QLYLQ6W/RXLV8QLYRI
3LWWVEXUJK+RIVWUD8QLY
$$$ $QDOWHUQDWLYHSHUVSHFWLYHRQKXPDQ
EUDLQKXEV$SSURDFKHVIRULGHQWLI\LQJLQWHJUDWHGLQIRUPDWLRQ
ÀRZLQUHVWLQJVWDWHFRUUHODWLRQQHWZRUNV-'32:(5
%/6&+/$**$56(3(7(56(1:DVKLQJWRQ8QLY
:DVKLQJWRQ8QLY6FKRI0HG
$$$ 'LIIHUHQFHVLQHUURUUHODWHGUHVSRQVHV
EHWZHHQUHVRXUFHOLPLWHGDQGGDWDOLPLWHGWDVNV-:
'8%,6-66,(*(/.09,66&+(56(3(7(56(1
:DVKLQJWRQ8QLY,Q6W/RXLV8QLYRI$ODEDPDDW
%LUPLQJKDP:DVKLQJWRQ8QLY,Q6W/RXLV:DVKLQJWRQ
8QLY,Q6W/RXLV:DVKLQJWRQ8QLY,Q6W/RXLV:DVKLQJWRQ
8QLY,Q6W/RXLV
$$$ 2YHUODSSLQJIXQFWLRQDOQHWZRUN
RUJDQL]DWLRQLGHQWL¿HVLQWHUFRPPXQLW\UHODWLRQVKLSV+
681-32:(56(3(7(56(1:DVKLQJWRQ8QLY,Q
6W/RXLV
$$$ 7RZDUGRSWLPL]LQJWKHUHPRYDORIPRWLRQ
UHODWHGDUWLIDFWLQIXQFWLRQDOFRQQHFWLYLW\05,XVLQJYROXPH
FHQVRULQJWHFKQLTXHV6(3(7(56(1-'32:(5
$=61<'(572/$80$11%/6&+/$**$5
:DVKLQJWRQ8QLY6FK0HG:DVKLQJWRQ8QLY6FK0HG
$$$ I05,LQYHVWLJDWLRQVRIWHPSRUDOVHTXHQFH
SURFHVVLQJLQYLVXDOVKRUWWHUPPHPRU\RIKXPDQV6
:0,&+$/.$0/526(1/.21*%*6+,11
&811,1*+$0'&620(56%RVWRQ8QLY0DUWLQRV
&WUIRU%LRPHG,PDJLQJ&WUIRU&RPSXWDW1HXURVFLDQG
1HXUDO7HFKQRO&RPS1HW%RVWRQ8QLY%RVWRQ8QLY
$$$ &RPSHWLWLRQEHWZHHQWRSGRZQDQG
ERWWRPXSPHFKDQLVPVRIDXGLWRU\DWWHQWLRQLQ+XPDQ
$%,'(7&$8/(7/%277(0$11(2%(575$1'
,16(508
$$$ 'HYHORSPHQWDOGLIIHUHQFHVLQ
VSRQWDQHRXVDWWHQWLRQWRZDUGVHPRWLRQDOIDFHVGHSHQG
XSRQYDOHQFH(50853+<01255-62.2/2))
:*$,//$5'/.(1:257+<&9$,'<$*HRUJHWRZQ
8QLY*HRUJHWRZQ8QLY&KLOGUHQ¶V1DWO0HG&WU
$$$ (OHFWURSK\VLRORJLFDOPHDVXUHVRI
DWWHQWLRQDOHQKDQFHPHQWDQGVXSSUHVVLRQRIWDVN
LUUHOHYDQWZRUNLQJPHPRU\PDWFKHV1&$5/,6/(*)
:22'0$18&'DYLV9DQGHUELOW8QLY
$$$ 5HYLVLWLQJYLVXDOURXWLQHV-.
7627626<RUN8QLY
$$$ 9LVXDOLQSXWLQFUHDVHVWKHFRXSOLQJ
EHWZHHQYLVXDODOSKDRVFLOODWLRQVDQGGHIDXOWPRGHDFWLYLW\
</,8-02++8$1*0',1*8QLYRI)ORULGD
$$$ /RFDOL]HGRVFLOODWRU\DFWLYLW\LQWKH
KXPDQDWWHQWLRQQHWZRUNLQUHVSRQVHWRSUHGLFWLYHDQG
XQSUHGLFWLYHYLVXDOFXHV,'20%52:(&&+,/*(7$*
8QLYHUVLWDHWVNOLQLNXP+DPEXUJ(SSHQGRUI
$$$ 7DUJHW3UREDELOLW\DQGWKH6WULDWXP1
+21-21*57$1+7$11DW¶O8QLY6LQJDSRUH
$$$ ,QWHUVXEMHFWIXQFWLRQDOFRQQHFWLYLW\
UHYHDOVFRQWH[WGHSHQGHQWDOLJQPHQWRIEUDLQQHWZRUNV
(6,021<&-+21(<'$0(6</(51(58
+$6621'HSWRI3V\FKRORJ\DQG1HXURVFL,QVWLWXWH
3ULQFHWRQ8QLY7HO$YLY6RXUDVN\0HG&WU
$$$ 7UDQVFUDQLDOPDJQHWLFVWLPXODWLRQUHYHDOV
ODWHUDOL]HGLQYROYHPHQWRIULJKWSDULHWDOFRUWH[EXWQRWIURQWDO
H\H¿HOGVRUYHQWUDORFFLSLWDOFRUWH[LQYLVXDOFRQMXQFWLRQ
VHDUFKLQIDUEXWQRWQHDUVSDFH,70$+$<$1$&
&+$1*27=(1*'+81*&-8$1108**/(721
,QVWRI&RJQLWLYH1HXURVFLHQFH1DWO&HQWUDO8QLYHUVLW\
7DLZDQ1DWO<DQJ0LQJ8QLY1DWO<DQJ0LQJ8QLY
$FDGHPLD6LQLFD8QLY&RO/RQGRQ
%%% $OWHUHGGHIDXOWPRGHQHWZRUNFRQQHFWLYLW\
DIWHUSVLORF\ELQ5/&$5+$57+$55,65/((&+'
(55,7=2('6+$535:,6('1877,PSHULDO&RO
/RQGRQ,PSHULDO&RO/RQGRQ&DUGLII8QLY
S
%%% 7KHWHPSRURSDULHWDOMXQFWLRQ)XQFWLRQDO
ORFDOL]DWLRQDQGIXQFWLRQDOFRQQHFWLYLW\LQLQGLYLGXDOVXEMHFWV
.-'(9$1(<0/526(16:0,&+$/.$/
.21*'&620(56%RVWRQ8QLY$WKLQRXOD$0DUWLQRV
&WUIRU%LRPHG,PDJLQJ
%%% 5HVWLQJVWDWHIXQFWLRQDOFRQQHFWLYLW\
LGHQWL¿HVEHKDYLRUDOO\UHOHYDQWSUHIURQWDOOREHUHJLRQV
ZLWKLQWKHGRUVDODWWHQWLRQQHWZRUNLQLQGLYLGXDOVXEMHFWV
/.21*0/526(16:0,&+$/.$%*6+,11
&811,1*+$0'&620(56%RVWRQ8QLY0DUWLQRV&WU
IRU%LRPHG,PDJLQJ%RVWRQ8QLY%RVWRQ8QLY%RVWRQ
8QLY%RVWRQ8QLY
%%% 7KDODPRFRUWLFDOLQWHUDFWLRQVLQYLVXDO
VSDWLDODWWHQWLRQ;:(1</,8/<$20',1*'HSW
RI%LRPHG(QJLQHHULQJ8QLYRI)ORULGD8QLYRI)ORULGD
%HLMLQJ1RUPDO8QLYHULV\
%%% /RFDO%2/'RVFLOODWLRQVUHÀHFWQHWZRUN
VSHFL¿FVWUXFWXUDODQGIXQFWLRQDOFRQQHFWLYLW\GLIIHUHQWLDOO\
EHWZHHQUHVWDQGWDVN$%$5,$$0$16285/
+8$1*0%$/,.,*&(&&+,00(68/$0$
$3.$5,$11RUWKZHVWHUQ8QLY,%0
%%% 0RGXODWLRQRIVHQVRU\FRUWH[DOSKD
UK\WKPVGXULQJLQWHUPRGDODWWHQWLRQDQGZRUNLQJPHPRU\
(YLGHQFHIURP((*DQG(&R*./$1'(5621'
.,1*67(3+(16.'/$;(53%:(%(5-3$59,=,
57.1,*+78&%HUNHOH\8&%HUNHOH\&DOLIRUQLD3DFL¿F
0HG&WU&DOLIRUQLD3DFL¿F0HG&WU8&6DQ)UDQFLVFR
6WDQIRUG8QLY6WDQIRUG8QLY
%%% $WWHQWLRQSURFHVVLQJLQPL[HGDQ[LRXV
DQGGHSUHVVHGDGXOWV%HKDYLRUDOGDWDIRUWKH$WWHQWLRQ
1HWZRUN7HVW-:.,5721&162='$0*5((1'
$6.$8)0$1:03(5/67(,190'276218QLY
RI)ORULGD6W/RXLV8QLY
%%% 7HVWLQJWKHHIIHFWRIHPRWLRQRQFRJQLWLYH
SURFHVVLQJHI¿FLHQF\XQGHUFRQGLWLRQVRIXQFHUWDLQW\-.
3$/20,12179$1'$0-)$14XHHQV&ROOHJH&LW\
8QLYRI1HZ<RUN'HSWRI3V\FKLDWU\0RXQW6LQDL6FKRI
0HG
%%% +LJKHUGHIDXOWPRGHQHWZRUNDFWLYLW\
LVDVVRFLDWHGZLWKSRRUHUSHUIRUPDQFHGXULQJDPXOWL
PRGDOFRQWLQXRXVDWWHQWLRQWDVN-(%5$0(1$
/(1$572:,7&=*6,036210&2+(18&/$%UDLQ
3ODVWLFLW\,QVW
%%% &KDQJHVLQPQHPRQLFDFWLYLW\GULYH
WDVNGHSHQGHQWDOSKDEDQGRVFLOODWLRQV$QHWZRUNPRGHOIRU
HIIHFWLYHLJQRULQJ6%(57($856(.8/(530,//(5
%RVWRQ8QLY%UDQGHLV8QLY
%%% $UROHRIULJKWPLGGOHIURQWDOJ\UXV
LQHQGRJHQRXVDQGH[RJHQRXVYLVXDODWWHQWLRQ$FDVH
VWXG\0'6$7<6+856-$3((,08.$,/*
81*(5/(,'(51,0+1,+
+XPDQ&RJQLWLRQDQG%HKDYLRU$WWHQWLRQDO1HWZRUNV
(OHFWURSK\VLRORJ\DQG,PDJLQJ
%%% ,QWHUSOD\EHWZHHQVFDOHIUHHG\QDPLFV
DQGIXQFWLRQDOFRQQHFWLYLW\LQLQWULQVLFI05,QHWZRUNV3
&,8&,83$%5<%-+(&HD1HXURVSLQ(16/\RQ
&1561,+
%%% &KDUDFWHUL]DWLRQRIFKLOGKRRGDEVHQFH
VHL]XUHVDQGLFWDOSHUIRUPDQFHRQKLJKGHQVLW\((*-1
*826-+81;%$,01(*,6+,-52'5,*8(=
)(51$1'(=+0,675<:;,$2&%$,/(<0
-&52:/(<57&2167$%/(/&0$<(6+
%/80(1)(/'<DOH8QLY<DOH8QLY
%%% $WWHQWLRQSHUIRUPDQFHGXULQJW\SLFDO
FKLOGKRRGDEVHQFHVHL]XUHV-52'5Ë*8(=)(51È1'(=
6-+81-*82-*21=$/(=:;,$201(*,6+,
;%$,1'$1,(/621;+$17&2167$%/(+
%/80(1)(/'<DOH8QLY6FKRI0HG<DOH8QLY6FKRI
0HG
%%% 8QGHUVWDQGLQJWKHIXQFWLRQRI
EUDLQUHJLRQVDQGQHWZRUNV$GDWDGULYHQDSSURDFK
-.,11,6210$1'(5621/3(662$8QLYRI
0DU\ODQG)UDQNOLQ0DUVKDOO&RO
%%% 0LFURVWUXFWXUHRIWKHDP\JGDORSUHIURQWDO
ZKLWHPDWWHUWUDFNSUHGLFWVQRQFRQVFLRXVDWWHQWLRQELDVWR
WKUHDW-&+$-&$5/621(+$5021-21(6/
08-,&$3$52',*+$-&$.6WRQ\%URRN8QLY6WRQ\
%URRN8QLY8QLYRI1HZ6RXWK:DOHV
%%% 0XOWLPRGDOEUDLQLPDJLQJRI
QHXURQDORVFLOODWLRQVGXULQJDXGLWRU\DWWHQWLRQVKLIWLQJ-
$+9(1,1(16+8$1*-:%(//,9($8:&+$1*
0+b0b/b,1(10*++DUYDUG0HG6FK
%%% +XPDQEUDLQLQDGLVK1RUPDODQG
HSLOHSWLIRUPUK\WKPV&0)/25(=50&*,119
/8.$1.,1,0$5:$668*80$5-',$13/
&$5/(1/=+$1*79$/,$17(7RURQWR:HVWHUQ+RVS
%%% S
7KHHIIHFWVRIFHOOSKRQHXVHRQWKH
SRIWKHHYHQWUHODWHGSRWHQWLDODQGRQUHVSRQVHWLPH
900$*$1$((321*3,3$7752'5,*8(=9
&$0$&+2($9$/$'(=-3$%$5$&DOLIRUQLD6WDWH
8QLY1RUWKULGJH
%%% ,PSDLUPHQWVRIWKHPDJQRFHOOXODU
SDWKZD\LQDXWLVPVSHFWUXPGLVRUGHUVDVDVVHVVHGE\
YLVXDOHYRNHGSRWHQWLDOV&1=,60$176=$%20
&52*1$/(::,//,$06--+876/(58QLYRI
1HYDGD5HQR
%%% %DVHOLQHUHVSRQVHRIFRYHUWDWWHQWLRQ
LQKXPDQVXSHULRUFROOLFXOXVXVLQJI05,6.$7<$/'
5(667KH8QLYRI7H[DV$W$XVWLQ
%%% /DUJHVFDOHGLUHFWHGFRUWLFDOQHWZRUN
IRUKXPDQYLVXRVSDWLDODWWHQWLRQ730((+$16/
%5(66/(5&06</9(67(5*/6+8/0$10
&25%(77$)ORULGD$WODQWLF8QLY)ORULGD$WODQWLF8QLY
0HG:DVKLQJWRQ8QLY6FKRI0HG
%%% 8VLQJ((*WRH[DPLQHEUDLQHQHUJ\
H[SHQGLWXUHLQWKHFRQWH[WRIYDULDWLRQVLQPHQWDOZRUNORDG
DQGERG\LURQVWDWXV0-:(1*(5/(0855$<
.2/%-'+$$67KH8QLYRI2NODKRPD&RUQHOO8QLY
7KH3HQQV\OYDQLD6WDWH8QLY
S
%%% 'HIDXOWPRGHQHWZRUNFKDQJHVLQGXFHG
E\$\DKXDVFD)3)217(667*5,%(,52-3
3,172-(&+$//$.-$6&5,33$'%'(
$5$8-2%UDLQ,QVWLWXWH)HGHUDO8QLYRI5LR*UDQGHGR
1RUWH8)51'HSWRI1HXURVFLDQG%HKDYRUDO6FLHQFHV
8QLYRI6DR3DXOR863
3267(5
%%% 'LVVRFLDWLQJEUDLQQHWZRUNVIRUDOHUWQHVV
DQGVHOHFWLYHDWWHQWLRQ66$'$*+,$1,0'¶(6326,72
8QLYRI&DOLIRUQLD8QLYRI&DOLIRUQLD
%%% 7KHHIIHFWRIH\HFORVXUHRQWKHKXPDQ
HOHFWURFRUWLFRJUDP$*(//(5-)%85.(0-
.$+$1$8QLYRI3HQQV\OYDQLD
%%% S9LVXDODWWHQWLRQQHWZRUNVDQG3
EDVHGEUDLQFRPSXWHULQWHUIDFHSHUIRUPDQFH9&25%,7
&$1*(/21,'6$/7(57/25(1&(<<8/$
*$%(//DID\HWWH&RO/DID\HWWH&RO/DID\HWWH&RO
%%% 'HOWDSKDVHPRGXODWLRQVRYHUVSDWLDOO\
VHOHFWLYHEUDLQUHJLRQVGXULQJDOORFDWLRQRIVSDWLDODWWHQWLRQ
$/'$,7&+'7%81'<06+$50$16=5$0$
*/6+8/0$1(&/(87+$5'70&25%(77$
:DVKLQJWRQ8QLY6W/RXLV:DVKLQJWRQ8QLYLQ6W/RXLV
%%% 5DSLGUHRULHQWLQJRIDWWHQWLRQDVUHÀHFWHG
LQDQQSFHYHQWUHODWHGSRWHQWLDOFRPSRQHQW'7$/60$
$9$1+$50(/(1-7+((8:(68QLYHUVLVW\RI*KHQW
/HLGHQ8QLY9ULMH8QLY
%%% 'HFRGLQJDQGWUDLQLQJVXVWDLQHGDWWHQWLRQ
ZLWKUHDOWLPHI05,07'(%(77(1&28575)/((
-'&2+(1.$1250$11%785.%52:1(
3ULQFHWRQ8QLY
%%% 'HYHORSPHQWRIDWWHQWLRQDOQHWZRUNV
9ROXPHEDVHGPRUSKRPHWU\VWXG\7)8-,,'1
6$,72+7<$1$.$+.26$.$7085$0$768+
2.$=$:$8QLYRI)XNXL8QLYRI)XNXL8QLYRI)XNXL
7RWWRUL8QLY8QLYRI)XNXL8QLYRI)XNXL
%%% %UDLQQHWZRUNDFWLYDWLRQEQDEUDLQ
QHWZRUNPDSSLQJWHFKQRORJ\WHVWUHWHVWUHOLDELOLW\$
5(&+(6'.(5(0'',&.0$15+$6+021$<1
*$/,/$8)(5$%*(9$(OPLQGD/7'(OPLQGD%HQ
*XULRQ8QLYRIWKH1HJHY
%%% 7KHIUHTXHQF\FKDUDFWHULVWLFVRILQWULQVLF
IXQFWLRQDOQHWZRUNV/LQNLQJFRQFXUUHQW((*I05,'$
%5,':(///:87(,&+(/(9&$/+2810LQG5HV
1HWZRUN8QLYRI1HZ0H[LFR8QLYRI%HUJHQ
%%% 2YHUODSSLQJQHXUDOFRUUHODWHVRI
DZDUHQHVVDQGDWWHQWLRQZLWKI05,'*2':,15
%$55<50$52,69DQGHUELOW8QLY9DQGHUELOW8QLY
9DQGHUELOW8QLY0HG&WU9DQGHUELOW8QLY9DQGHUELOW8QLY
%%% 0RGL¿FDWLRQVLQVHQVHRIVHOIDUH
DVVRFLDWHGZLWKUHVWUHODWHGSUHIURQWDOFRUWH[IXQFWLRQDO
FRQQHFWLYLW\$FRPELQHGGHHS706I05,VWXG\0
*58%(5*(5</(9.29,7=(9+$5(/++$5$5,(
%(16,021+6+$5217+(1'/(5$=$1*(17HO
$YLY8QLY)XQFWLRQDO%UDLQ&HQWHU:RKO,QVWIRU$GYDQFHG
,PDJLQJ7HO$YLY6RXUDVN\0HG&WU7HO$YLY8QLY7KH
(PRWLRQ&RJQLWLRQ5HV&HQWHU6KDOYDWD0HQWDO+OWK&WU
7KH(PRWLRQ&RJQLWLRQ5HV&HQWHU6KDOYDWD0HQWDO+OWK
&WU%HQ*XULRQ8QLY
%%% 7RS'RZQPRGXODWLRQRIFRUWLFDO
LQWHUDUHDOV\QFKURQL]DWLRQZLWKWDFWLOHDWWHQWLRQLQQRUPDO
VXEMHFWVDQGWUDLQHGPHGLWDWRUV$0(*DQGFRPSXWDWLRQDO
PRGHOLQJVWXG\&(.(5506$&&+(75/$3/$17(
0+$0$/$,1(1$.&/((4:$1'35,7&+(77
&,0225(65-21(6%URZQ8QLY6WDQIRUG8QLY
0*+8QLYRI:DVKLQJWRQ0,7
%%% 6LPXOWDQHRXV((*DQGI05,PHDVXUHV
RIWRSGRZQVSDWLDODWWHQWLRQ*50$1*81--
%(1*621$0$=$+(5,8QLY&DOLI8QLYRI$PVWHUGDP
%%% 5HYHDOLQJVLQJOHWULDOWLPHFRXUVH
RIDVHQVRU\EXIIHUGXULQJWKHSV\FKRORJLFDOUHIUDFWRU\
SHULRGXVLQJDQHZVSDWLDO¿OWHULQJPHWKRG60$57,$
6&+85*(56'(+$(1(,16(50&($1HXURVSLQ
,16(50&($1HXURVSLQ&ROGH)UDQFH
%%% S
,QKLELWLRQSHUIRUPDQFHDQGFRQÀLFW
PRQLWRULQJLQKHDOWK\KXPDQV$VLPXOWDQHRXVHHJIPUL
VWXG\5,$11$&&21(78+$86(55'5(&+6/(5
'%5$1'(,66:$/,7=$6%5(08QLYRI=XULFK3K'
3URJUDPLQ,QWHJUDWLYH0RO0HG8QLYRI=XULFK&HQWUDO
,QVWRI0HQWDO+OWK
%%% 0RGXODWLRQRIEDFNJURXQGFRQQHFWLYLW\LQ
KXPDQYLVXDOFRUWH[E\VSDWLDODWWHQWLRQ$7203$5<1
$/$,'52261%785.%52:1(3ULQFHWRQ8QLY8QLY
RI*XHOSK
3267(5
(PRWLRQ,QIRUPDWLRQ3URFHVVLQJDQG1HXURFLUFXLWU\
%%% 'HFRGLQJDIIHFWLYHVWDWHV0XOWLYDULDWH
UHSUHVHQWDWLRQVRIGLVWLQFWHPRWLRQVLQWKHKXPDQEUDLQ3$
.5$*(/.6/$%$5'XNH8QLY
%%% 8VLQJ'7,DQGKLJKUHVROXWLRQ%2/'WR
LGHQWLI\GLVWLQFWIXQFWLRQDOVXEXQLWVRIWKHKXPDQDP\JGDOD
1/%$/'(56721'+6&+8/7=$.*5$'<)-
+(/067(77(58QLY:LVFRQVLQ0LOZDXNHH0HG&RORI
:LVFRQVLQ
%%% $QLQWUDFUDQLDO((*HYLGHQFHIRU
QHWZRUNIRUPDWLRQDQGRUJDQL]DWLRQGXULQJH[SHULHQFH
RIHPRWLRQDOPHDQLQJ16,1*(5,32'/,36.<)
(6326,726.,3(59$66(50<1(8)(/'5
*2(%(/,)5,('7+(1'/(57HO$YLY8QLY7HO$YLY
8QLY7HO$YLY6RXUDVN\0HG&WU0DDVWULFKW8QLY7HO$YLY
6RXUDVN\0HG&WU7HO$YLY8QLY8&/$6FK0HG7HO
$YLY6RXUDVN\0HG&WU
%%% 1HXUDOPHFKDQLVPVVXSSRUWLQJDIIHFWLYH
PQHPRQLFLQWHUIHUHQFHUHVROXWLRQ&5((&..6/$%$5
'XNH8QLY
%%% 6LQJOHXQLWDFWLYLW\LQWKHVXEWKDODPLF
QXFOHXVRIWKHKXPDQEDVDOJDQJOLDLVPRGXODWHGE\
HPRWLRQDOVWLPXOL&5&$0$/,(5/$$//(1$<
:$1*-$$/%5,77213(.215$'%6)2//(<-
61(,0$79DQGHUELOW8QLY1RUWRQ1HXURVFL,QVLWXWH
%%% 1HJDWLYHDIIHFWVSHHGVXSWKH
SURSDJDWLRQRIYLVXDOLQIRUPDWLRQGXULQJSHUFHSWLRQ0)
3$1,&+(//20&+$8021..9(5$*$0%$5/)
%$55(770DVVDFKXVHWWV*HQ+RVS+XPEROGW8QLYHUVLWlW
]X%HUOLQ0DVVDFKXVHWWV*HQ+RVSLWDO+DUYDUG0HG6FK
%DU,ODQ8QLY0DVVDFKXVHWWV*HQ+RVSLWDO+DUYDUG0HG
6FK1RUWKHDVWHUQ8QLY
%%% +HPLVSKHULFDV\PPHWULHVRIKXPRU
FRPSUHKHQVLRQDQGDSSUHFLDWLRQ<)(1*<&+$1+
&+(11DWO7DLZDQ1RUPDO8QLY
&&& /HDUQLQJ(PRWLRQV/0&'2128*+
&:,/6210(1'(1+$//:.6,00216/)(/'0$1
%$55(77/:%$56$/28(PRU\8QLY1RUWKHDVWHUQ
8QLY7KH/DXUHDWH,QVWIRU%UDLQ5HV
&&& &RPSHWLWLRQEHWZHHQUHZDUGDQGWKUHDW
SURFHVVLQJ-&+2,63$'0$/$363(&+/(5/
3(662$8QLYRI0DU\ODQG8QLYRI0DU\ODQG
S
&&& &RPSDULQJYLVXDOSURFHVVLQJDQG
DIIHFWLYHSHUFHSWLRQRIIHDUIXOVFHQHV%*8200(1*
'DUWPRXWK&RO
&&& 6HURWRQHUJLFPRGXODWLRQRIKXPDQ
IHDUUHYHUVDOOHDUQLQJ$0$3(5*,66&+287(0-
&52&.(777:52%%,168QLYRI&DPEULGJH8QLYRI
=XULFK
&&& 7KHUROHRIGRSDPLQH'UHFHSWRUVRQ
IDOVHPHPRULHVRIHPRWLRQDOO\DURXVLQJVKRUWVWRULHV59
*8$51,(5,5/5,%(,52&*20(6/%85$772
/67(,12)$%8(128QLY)HGHUDO'H6mR3DXOR
3RQWL¿FLD8QLY&DWyOLFDGR5LR*UDQGHGR6XO
&&& &RQGLWLRQHGIHDUDFTXLUHGLQFORVH
SHUVRQDOVSDFHLVUHVLVWDQWWRH[WLQFWLRQ-('8160225
)c+6'=,(/,16.,.6/$%$5'XNH8QLY'XNH8QLY
3267(5
&&& /HDUQLQJDERXWIHDUDQGVDIHW\ZLWKRXW
DZDUHQHVV+//$8'&$50(/&05$,2'
6&+,//(50RXQW6LQDL6FKRI0HG8QLYRI(GLQEXUJK
1HZ<RUN8QLY
&&& 'LIIHUHQWLDOHIIHFWVRIVOHHSYHUVXV
ZDNHIXOQHVVRQRGRUDQWHYRNHGUHDFWLYDWLRQRIIHDU
PHPRULHV.+$81(5-+2:$5'-*277)5,('
1RUWKZHVWHUQ8QLY
&&& $FRPSXWDWLRQDOQHXURVFLHQWL¿FPRGHO
RIDQWLFLSDWLRQDQGHPRWLRQDOUHVSRQVHWRPXVLF0
)8.,12.6$:$,.$,+$5$3DQDVRQLF&RUS,QVWRI
,QGXVWULDO6FLHQFH8QLYRI7RN\R),567$LKDUD,QQRYDWLYH
0DWKHPDWLFDO0RGHOOLQJ3URMHFW
&&& &RQMRLQWUHFUXLWPHQWRIGHIDXOWPRGH
DQGIURQWRSDULHWDODWWHQWLRQQHWZRUNVE\WKHWLPHYDU\LQJ
VWUXFWXUHRIVHOIVHOHFWHGVSLULWXDOPXVLF)%$55(773
-$1$7$8QLYRI&DOLIRUQLD'DYLV
&&& (OHFWURFRUWLFDOPDUNHUVRIO\LQJ
ZKHQWUXWKIXOSHRSOHDUHWDNHQIRUPHQGDFLRXV$0
3529(5%,20(9$187(//,5$'251,8QLY0LODQR
%LFRFFD
&&& S7KHLPSDFWRIWKHPLUURUQHXURQV\VWHP
RQKXPDQHPSDWK\6&$032671(/621-3,1('$
8&6'
&&& ,QÀXHQFHRIGLIIHUHQWLDOSRVLWLYHHPRWLRQDO
VWDWHVRQWKHQHXURSK\VLRORJLFDOFRUUHODWHVRISURVRFLDO
DOWUXLVWLFPRWLYDWLRQV:3,3(50%5<'21(-$&.%
526(0+2:(656$78512UHJRQ6WDWH8QLY
&&& 1HXUDOVXEVWUDWHVRIFRJQLWLYHHPSDWK\
IRUVDGQHVVPRGXODWHGE\WHDUV$IXQFWLRQDO05,VWXG\+
.7$.$+$6+,5.,7$'$$76$6$.,+.$:$0,&+,
16$'$721DWO,QVW)RU3K\VLRORJLFDO6FL1,367KH
*UDG8QLYIRU$GYDQFHG6WXGLHV6RNHQGDL
&&& (IIHFWVRIHPRWLRQDOFRQWH[WVRQUHVSRQVH
LQKLELWLRQLQDGROHVFHQWVFRPSDUHGWRDGXOWV$QI05,VWXG\
/*6,/9$)$%$55,26$$*21=È/(=-5$026
/2<28QLYGH*XDGDODMDUD,QVWGH1HXURELRORJtD8QLY
1DFLRQDO$XWyQRPDGH0p[LFR,QVWGH1HXURFLHQFLDV8QLY
GH*XDGDODMDUD
&&& 7KHQHXUDOFRUUHODWHVRIUHODWLRQDO
DJJUHVVLRQXVLQJDVRFLDOFRQGLWLRQLQJWDVN(&
0$==8//$'0855$<&/26($63277(58QLYRI
9HUPRQW
S
&&& 3HUFHSWXDOGHFLVLRQPDNLQJDQG
WKHWLPHRUGHUHIIHFW$QHXUDOFLUFXLWPRGHORIELDVHG
YLEURWDFWLOHGLVFULPLQDWLRQ$/$1*'21-5,1=(/0
%5($.63($58QLYRI1HZ6RXWK:DOHV7KH%ODFN'RJ
,QVW&WUIRU1HXUDO6FLHQFH1HZ<RUN8QLY&RXUDQW,QVW
RI0DWKHPDWLFDO6FLHQFHV1HZ<RUN8QLY4XHHQVODQG,QVW
RI0HG5HV
&&& 7UDQVLHQWSULRUSUREDELOLWLHVDIIHFWFKRLFH
ELDVGXULQJWHPSRUDOO\H[WHQGHGSHUFHSWXDOGHFLVLRQPDNLQJ
.('8129$1--75(0(/0(:+((/(58QLY
RI3LWWVEXUJK/HDUQLQJ5HVDQG'HYHORS&WU&WUIRUWKH
1HXUDO%DVLVRI&RJQLWLRQ&WUIRU1HXURVFL
&&& ,QGLYLGXDOGLIIHUHQFHVLQUHVSRQVH
WLPHGLVWULEXWLRQVIRUGHFLVLRQVUHODWHWRULJKWSUHIURQWDO
FRUWH[UHFUXLWPHQW.$%$51(6.0$1'(5621$
0$57,11,+
&&& 1HXUDODFFXPXODWLRQGXULQJIDFHKRXVH
GLVFULPLQDWLRQLQVWLPXOXVVSHFL¿FUHJLRQV--75(0(/
0(:+((/(58QLYRI3LWWVEXUJK8QLYRI3LWWVEXUJK
8QLYRI3LWWVEXUJK
&&& ,QGLYLGXDOGLIIHUHQFHVLQSUHWDVN
IXQFWLRQDOFRQQHFWLYLW\SUHGLFWVXEVHTXHQWGHFLVLRQPDNLQJ
.0$1'(5621.$%$51(6$0$57,11,0+1,+
&&& 7KHVWUHQJWKRIJUDGXDOO\DFFXPXODWLQJ
FKRLFHSUREDELOLWLHVPRGXODWHVEUDLQDFWLYLW\SULRUWRD
FDWHJRULFDOGHFLVLRQ0(:+((/(56:22-
75(0(/79,-$<$1$&2//,(5(3/25$17<$1*
8QLYRI3LWWVEXUJK8QLYRI3LWWVEXUJK8QLYRI3LWWVEXUJK
+RIVWUD8QLY1,+
&&& 0RGXODWLRQRIEUDLQDFWLYLW\E\WDVN
GLI¿FXOW\LQSHUFHSWXDOGHFLVLRQPDNLQJ%/$0,&++$1(
%0$'+,.$5,0'+$0$/$*HRUJLD6WDWH8QLY
*HRUJLD6WDWH8QLY
&&& ([RJHQRXVRVFLOODWLRQVLQGH[WDVN
GLI¿FXOW\LQSHUFHSWXDOGHFLVLRQV</,%/28;*$23
6$-'$7VLQJKXD8QLY&ROXPELD8QLY
&&& +RZ\RXNQRZKRZJRRG\RXDUH
%D\HVLDQXSGDWLQJRIEHOLHIVDERXWYLVXRPRWRUSHUIRUPDQFH
)6&+8(8(56&/()7,1+(*(5+$5'/7
0$/21(<1HZ<RUN8QLY0D[3ODQFN,QVWIRU%LRO
&\EHUQHWLFV
&&& &KRRVLQJVLGHVWKHSV\FKRSK\VLFVRI
GHFLVLRQPDNLQJLQDWZRGLUHFWLRQPRWLRQVWLPXOXV(/$0
-).$/$6.$8QLY'H0RQWUHDO
&&& 'HFLVLRQPDNLQJGHSHQGVRQDQXUJHQF\
VLJQDOPRGXODWHGE\FRQWH[W(0$5&260&$5/$1'
'7+85$3&,6(.3)9(56&+85(8QLY3RPSHX
)DEUD8QLYGH0RQWUHDO,&5($8QLY3RPSHX)DEUD
&&& '\QDPLFVRISUHIHUHQFHEDVHG
FDWHJRULFDOGHFLVLRQPDNLQJLQKXPDQV.-81*0
0(1*-'.5$/,.'DUWPRXWK&RO
&&& %UDLQDFWLYLWLHVDQGLPSUHVVLRQHYDOXDWLRQ
IRUFKRUGSURJUHVVLRQ7KHVWXG\RISHUFHSWLRQIRUFKRUG
SURJUHVVLRQ07$.$6(($,%$67$1$.$7;
)8-,6$:$6$.$768.$76+,02720$,11$*$7$
'HSWRI,QIRUPDWLFV6FKRI6FLDQG7HFKQRORJ\.ZDQVHL
*DNXLQ8QLY1DWO,QVWRI$GYDQFHG,QGXVWULDO6FLDQG
7HFKQRO*UDG6FKRI%LRPHGLFDO6FLHQFH1DJDVDNL8QLY
%UDLQ6FL,QVWLWXWH7DPDJDZD8QLY
+XPDQ'HFLVLRQ0DNLQJ3HUFHSWXDO3URFHVVHV
&&& +LHUDUFKLFDO%D\HVLDQHVWLPDWLRQRIWKH
GULIWGLIIXVLRQPRGHOTXDQWLWDWLYHFRPSDULVRQZLWKPD[LPXP
OLNHOLKRRG79:,(&.,,62)(50-)5$1.%URZQ
&&& &UDFNLQJWKHQHXUDOFRUUHODWHV
RIDPELJXRXVSHUFHSWLRQXVLQJ((*I05,-0
&$67(/+$12,&'8$57((52'5,*8(=0
&$67(/2%5$1&2,%,/,)DFRI0HGLFLQH8QLYRI
&RLPEUD3RQWL¿FLD8QLY&DWROLFDGH&KLOH
&&& $QI05,LQYHVWLJDWLRQRIWKHDFFXPXODWLRQ
RILQIRUPDWLRQIRUFDWHJRUL]DWLRQ.%5$81/,&+.
0866(//*)$1&6(*(5&RORUDGR6WDWH8QLY
&&& ,OOXPLQDWLQJWKHUROHRIPHGLDOIURQWDO
FRUWH[LQHUURUSURFHVVLQJ&76(76/.21*<
+8$1*%$*25'21..:2.7%3(11(<1DWO
8QLYRI6LQJDSRUH:DVKLQJWRQ8QLY
&&& $FURVVWULDOHIIHFWRIVWLPXOXV
H[SHFWDQF\YLRODWLRQ<.$1(.2.80('$.6$.$,
*UDG6FKRI0HGLFLQH7KH8QLYRI7RN\R
&&& ([SORULQJKXPDQFRQ¿GHQFHXVLQJ
LPSOLFLWPHDVXUHVEDVHGRQZDLWLQJWLPH+$-2+1621
59(1785,1,=)0$,1(1&KDPSDOLPDXG1HXURVFL
3URJUDPPH
&&& 1HXUDOFRUUHODWHVRIHYLGHQFH
DFFXPXODWLRQLQLQWUDFUDQLDO((*0$%(8/(10.
9$198*78QLYRI*URQLQJHQ
&&& &RQWULEXWLRQRIKXPDQSDULHWDOFRUWH[
WRREMHFWFDWHJRUL]DWLRQXQGHUXQFHUWDLQW\09$=,5,
3$6+.$0<;8+DUYDUG8QLY
&&& 8QFRYHULQJWKHQHXUDOG\QDPLFVRI
VORZHGGRZQSHUFHSWXDOGHFLVLRQVLQKXPDQVDPRGHO
EDVHGDQDO\VLV0.9$198*78QLYRI*URQLQJHQ
&&& 7ULDOWRWULDOÀXFWXDWLRQVLQUHVSRQVH
FDXWLRQSUHGLFWIURQWRVWULDWDODFWLYDWLRQG\QDPLFV/9$1
0$$1(16%52:17(,&+(/((:$*(10$.(56
7+2-76(5(1&(6%8)25670$11&6&$8QLY
RI1HZFDVWOH8QLYRI%HUJHQ8QLYRI$PVWHUGDP8QLYRI
&DOLIRUQLDDW6DQ'LHJR
&&& 6WUXFWXUDOYP3)&671FRQQHFWLRQV
SUHGLFWVHQVLWLYLW\IRUFKRLFHELDV008/'(5:
%2(.(/55$7&/,))%)25670$118QLYRI
$PVWHUGDP8QLYRI$PVWHUGDP7KH2KLR6WDWH8QLY
&&& $QRSWLPDOJRDOGLUHFWHGGHFLVLRQSROLF\
IRUDFWLYHYLVLRQH[SODLQV¿[DWLRQFKRLFHDQGGXUDWLRQLQD
KXPDQYLVXDOVHDUFKWDVN++8$1*6$+0$'$-<8
8&6'
3267(5
$P\JGDODDQG)HDU/HDUQLQJ0ROHFXODU0HFKDQLVPV
&&& 7KHUROHRI7DFJHQHDQG1NUHFHSWRU
LQIHDUPHPRU\FRQVROLGDWLRQ5$1'(52*$/,%*
',$6.-5(66/(5(PRU\8QLY++0,(PRU\8QLY
&&& *$%$HUJLFDQG*OXWDPDWHUJLFUHJXODWLRQ
RI&RUWLFRWURSLQ5HOHDVLQJ)DFWRUQHXURQVGLIIHUHQWLDOO\
FRQWULEXWHVWRDQ[LHW\DQGIHDUEHKDYLRU*0*$))25'
-*82'*5$,11,(.-5(66/(5(PRU\8QLY
+RZDUG+XJKHV0HG,QVW
&&& 9R[HOEDVHGPRUSKRPHWU\UHYHDOV
GLIIHUHQFHVEHWZHHQEUDLQVRIGHIHDWHGYHUVXVQRYHOFDJH
FRQWUROVLQKDPVWHUV.(0&&$1123.(,)(5-U&
00$5.+$0.-5(66/(5./+8+0$1*HRUJLD
6WDWH8QLY(PRU\8QLY+RZDUG+XJKHV0HG,QVW&WUIRU
%HKDYLRUDO1HXURVFL
&&& 0DSSLQJFRQQHFWLYLW\RIWKHIHDU
FRQGLWLRQLQJFLUFXLWLQWKHPRXVHDFODVVLFDOWUDFLQJDQG
GLIIXVLRQWHQVRULPDJLQJVWXG\23.(,)(5-5*5(,'
'*870$16.(,/+2/=.5(66/(5(PRU\8QLY
(PRU\8QLY(PRU\8QLYHUVLW\*HRUJLD7HFK
&&& *HSK\ULQLVDNH\IDFWRULQ%'1)
GHSHQGHQW*$%$$UHFHSWRUUHJXODWLRQLQDP\JGDOD/
028.5(66/(5(PRU\8QLY(PRU\8QLYHUVLW\++0,
&&& *HSK\ULQH[SUHVVLRQLQWKHEDVRODWHUDO
DP\JGDOD%/$DOWHUVIHDUOHDUQLQJ+%*261(///
028.-5(66/(5<HUNHV135&(PRU\8QLY+RZDUG
+XJKHV0HG,QVW
&&& 3UHOLPELF10'$UHFHSWRUVXEXQLW15
UHJXODWHVIHDUOHDUQLQJ'&&+2,.00<(56.-
5(66/(5(PRU\8QLY%HKDYLRUDO*HQHW/DERUDWRU\
0F/HDQ+RVSLWDO+DUYDUG0HG6FK(PRU\8QLYHUVLW\
+RZDUG+XJKHV0HG,QVW
&&& $UROHIRUROIDFWRU\HSLWKHOLXP
QHXURJHQHVLVIROORZLQJROIDFWRU\OHDUQLQJ")*
0255,621%*',$6'&&+2,.-5(66/(5
<HUNHV1DWO3ULPDWH5HV&HQWHU(PRU\8QLY+RZDUG
+XJKHV0HG,QVW
&&& *HQHH[SUHVVLRQLQDXGLWRU\WKDODPXV
ODWHUDODP\JGDODSDWKZD\LQIHDUFRQGLWLRQLQJ,./2760$1
.$7=5/$035(&+78QLYRI+DLID
&&& (SKULQ$LQODWHUDODP\JGDODLQORQJ
WHUPIHDUFRQGLWLRQLQJPHPRU\IRUPDWLRQ0',1(65
/$035(&+7'HSWRI1HXURELRDQG(WKRORJ\8QLYRI
+DLID
3267(5
1HXUDO&LUFXLWU\IRU)HDU/HDUQLQJ$P\JGDODDQG
5HODWHG6WUXFWXUHV
&&& )UHH]LQJWRWKHSUHGDWRURGRU
GLK\GURWULPHWK\OWKLD]ROLQHLVGLVUXSWHGE\ROIDFWRU\EXOE
UHPRYDOEXWQRWWULJHPLQDOGHDIIHUHQWDWLRQ/:$<(56
$$62.)+(<:$5'.2¶&211(//$$*267,1,
$$*267,1,-%526(18QLY'HODZDUH8QLYRI
'HODZDUH8QLYRI$ODEDPD
&&& )HDUFRQGLWLRQLQJLVDVVRFLDWHGZLWK
IHZHUV\QDSVHVLQWKHODWHUDODP\JGDORLGQXFOHLRIWKHUDW
&&$55,(5(6+,//0%28'5($8/7$0$11
68//,9$160(<(56$67,//$50-6$$5,$&
:((.61LSLVVLQJ8QLY
&&& 7KH*53SHSWLGHDQGWKH*535
SRVLWLYHLQWHUQHXURQVFRQWUROIHDUDFTXLVLWLRQDQGH[WLQFWLRQ
.=86+,'$./,*+768&+,'$&+(9,*3
6+80<$76.<5XWJHUV8QLY
&&& %ORFNDGHRIGRSDPLQH'UHFHSWRUV
ZLWKLQWKHUDWLQWHUFDODWHGSDUDFDSVXODULVODQGVKDYH
DQ[LRO\WLFHIIHFWVLQGLIIHUHQWXQFRQGLWLRQHGDQ[LHW\WHVWV(
3$/20$5(60&5(632.)8;(03e5(='(/$
025$,QVWGH)LVLRORJtD&HOXODU.DUROLQVND,QVWLWXWHW
S
&&& 6OHHSGHSULYDWLRQDOWHUVSKRVSKRU\ODWHG
&5(%OHYHOVLQWKHDP\JGDOD5HODWLRQVKLSZLWKSHUIRUPDQFH
LQDIHDUFRQGLWLRQLQJWDVN.0025(,5$1&
3,1+2'&+,32/,'(56,1,*$*/,$&2,0%5$
7/)(55(,5$-112%5(*$678),.0*0
2/,9(,5$81,)(638)$%&&WUIRU$GGLFWLRQDQG0HQWDO
+OWK
&&& 6HWWLQJDVVRFLDWLYHOHDUQLQJOHYHOV
WKURXJKDFWLYDWLRQRIDP\JGDODS\UDPLGDOQHXURQV7
2=$:$($<&8-.2,980$$-3-2+$16(1
5,.(1%UDLQ6FL,QVW
&&& 5HFRUGLQJVDQGRSWRJHQHWLF
PDQLSXODWLRQVRIGH¿QHGLQWHUQHXURQVXEW\SHVLQ
IHDUFRQGLWLRQLQJ6%(:2/))&+(55<-
*5h1'(0$11,(+5/,&+372927(--/(7=.86
&0h//(5$/h7+,)ULHGULFK0LHVFKHU,QVW,16(50
81HXURFHQWUH0DJHQGLH+HUWLH,QVWIRU&OLQ%UDLQ
5HV
&&& $WWHQXDWLRQRIWRQHFRQGLWLRQHGIUHH]LQJ
LQODWHUDODP\JGDOHVHOHFWLYHJOXFRFRUWLFRLGUHFHSWRU
NQRFNRXWPLFH5,128($7$1$.$+025,8QLY
7R\DPD
&&& %ULHIH[SRVXUHWRDFDWSURGXFHVDQ
DGUHQHUJLFGHSHQGHQW³ÀDVKEXOEPHPRU\´LQUDWV/
%8//$5'&53$5.'0',$021'8QLY6RXWK
)ORULGD9$+RVS
&&& 9DJXV1HUYH6WLPXODWLRQFRLQFLGHQW
ZLWKFRQGLWLRQHGIHDUVWLPXOLGXULQJH[WLQFWLRQIDFLOLWDWHV
PHWDSODVWLFLW\EHWZHHQWKHSUHIURQWDOFRUWH[DQGWKH
EDVRODWHUDODP\JGDOD')3(1$&0&,17<5(8QLYRI
7H[DV$W'DOODV
&&& S
5HDFWLYDWLQJIHDUXQGHUSURSUDQRORO
GLVUXSWVIHDUPHPRU\DQGUHLQVWDWHVSUHWUDXPDOHYHOVRI
GHQGULWLFVSLQHVDQGSKRVSKRHUNVLJQDOLQJLQEDVRODWHUDO
DP\JGDODQHXURQV$%255(&$*9(7(5(9
3,6(5&+,$*129(0%5(0$&(7,3/21*21(0
$00$66$5,7(8/()RQGD]LRQH6DQWD/XFLD)RQGD]LRQH
6DQWD/XFLD,QVWLWXWHRI&HOO%LRODQG1HXURELRORJ\&15
1DWLRQDO5HV&RXQFLO,QVWRI&HOO%LRODQG1HXURELRORJ\
&151DWLRQDO5HV&RXQFLO,QVWRI&HOO%LRODQG
1HXURELRORJ\&151DWLRQDO5HV&RXQFLO,5&&6
6/XFLD)QGQ
&&& 'LIIHUHQWLDOUROHVRIWKH/W\SHYROWDJH
JDWHGFDOFLXPFKDQQHOVXEW\SHV&DYDQG&DYLQ
WKDODPRDP\JGDODORQJWHUPSRWHQWLDWLRQ6-,0,1(=
7(00(**0853+<8QLYRI0LFKLJDQ
&&& 1HXURQDOFLUFXLWVIRUH[SUHVVLRQRIDFWLYH
YHUVXVSDVVLYHGHIHQVLYHEHKDYLRUV372927(06
(6326,726%(:2/))-3)$'2.=-+8$1*
6$5%(5$/h7+,)ULHGULFK0LHVFKHU,QVW&ROG6SULQJ
+DUERU/DE
&&& 0PXVFDULQLFUHFHSWRUVLQWKH
EDVRODWHUDODP\JGDODUHGXQGDQWO\LQLWLDWHSKRVSKROLSDVH&
DFWLYLW\UHTXLUHGIRUFXHGIHDUPHPRU\FRQVROLGDWLRQ0%
<281*6$7+20$68QLYRI3HQQV\OYDQLD
&&& 0LFURFLUFXLWVRIIHDUDQGUHZDUGOHDUQLQJ
LQWKHDP\JGDOD/'(0028-%$&(/2-)$'2.&
+(55<&08(//(5$/h7+,)ULHGULFK0LHVFKHU,QVW
,16(508
&&& ,QIXVLRQRIQHXURSHSWLGH<LQWRWKH
EDVRODWHUDODP\JGDODUHGXFHVWKHEHKDYLRUDOHIIHFWRIVRFLDO
GHIHDWVWUHVV&00$5.+$0./+8+0$1*HRUJLD
6WDWH8QLY*HRUJLD6WDWH8QLY
3267(5
&&& $P\JGDODFLUFXLWVPHGLDWLQJWKHVZLWFK
EHWZHHQDFWLYHDQGSDVVLYHIHDUUHVSRQVHV-3)$'2.
372927(6%:2/))/'(0028&0h//(5$
/h7+,)ULHGULFK0LHVFKHU,QVW
&&& 3UHOLPLQDU\HYLGHQFHWKDW`
DGUHQRFHSWRUVUHJXODWHIHDUFRQGLWLRQLQJE\PRGXODWLQJ
*$%$HUJLFWUDQVPLVVLRQLQWKHEDVRODWHUDODP\JGDOD0
-6.(//<$0&+$33(//2-$5,:2'2/$-/
:(,1(5:DNH)RUHVW8QLY+OWK6FL
&&& 0RUSKLQHLQMHFWLRQLQWRWKHDP\JGDOD
DQGKLSSRFDPSXVLQGXFHVVWDWHGHSHQGHQWOHDUQLQJ0$
58%,100526$'$5,%(,52&6,*125&)
0(//2)HGHUDO8QLYRI6DQWD0DULD8)60
&&& $P\JGDODDUFH[SUHVVLRQIROORZLQJ
GHFODUDWLYHPHPRU\FRQVROLGDWLRQ$WUDFHFXHGIHDU
FRQGLWLRQLQJDQDO\VLV/6&+$8$35$.$3(1.$6$
)/(0,1*6&+(15*$/9(=8QLYRI,OOLQRLV8QLYRI
,OOLQRLV
&&& $FLGVHQVLQJLRQFKDQQHOVDUHKLJKO\
H[SUHVVHGLQWKHKDEHQXODDQGLQÀXHQFHPRWRULQKLELWLRQLQ
UHVSRQVHWRDYHUVLYHVWLPXOL0335,&(+*21*0*
3$56216-5.81'(57-$:(00,(0-:(/6+
8QLY,RZD
S
/HDUQLQJDQG0HPRU\+LSSRFDPSDO&LUFXLWV,,
&&& '\QDPLFVRIFHOODVVHPEOLHVGXULQJ
QRYHOH[SHULHQFH9/23(6'266$1726$72576
5,%(,52)HGHUDO8QLYRI5LR*UDQGH'R1RUWH
&&& +RZWKHFRJQLWLYHPDSHYROYHGIURP
FKHPRWD[LV$QHZK\SRWKHVLVDERXWWKHHYROXWLRQDQG
IXQFWLRQRIROIDFWLRQ/)-$&2%68QLY&DOLIRUQLD
&&& .&1+WUDQVJHQLFPLFHH[KLELW
GH¿FLWVLQREMHFWORFDWLRQPHPRU\*9&$55$
%(%(16((47,$1-&+(1)3$3$/(2'5
:(,1%(5*(51DWO,QVWRI0HQWDO+OWK7KH,QVW,WDOLDQR
GL7HFQRORJLD/LHEHU,QVWIRU%UDLQ'HYHORS
&&& 7RWDOQXPEHURIUHHOLQLPPXQRUHDFWLYH
QHXURQVLQOD\HU,,RIWKHHQWRUKLQDOFRUWH[LQ\RXQJDQG
DJHGEHKDYLRUDOO\FKDUDFWHUL]HGUKHVXVPRQNH\V-0
/21*(-3(5(=-$52%(5760752%(5766
%+$0,',3$7<355$331DWO,QVW2Q$JLQJ1,+9DOOH\
%LRV\VWHPV&DOLIRUQLD1DWO3ULPDWH5HV&WU
&&& $IRRGGHSULYDWLRQGHSHQGHQWHIIHFWRI
KLJKHQHUJ\GLHWRQ'5/SHUIRUPDQFH&+6$03/($
81($//(-$55$5'7/'$9,'6213XUGXH8QLY
:DVKLQJWRQ/HH8QLY
&&& 3KDVLFGRSDPLQHPRGXODWLRQRI
EDVRODWHUDODP\JGDODDFWLYLW\GXULQJIHDUFRQGLWLRQLQJ*
/-21(6$6&+81*&5.1$.$/+/((/6
=:(,)(/8QLYRI:DVKLQJWRQ
&&& 2[\WRFLQUHFHSWRUPHGLDWHVVRFLDOIHDU
UHODWHGDFWLYLW\LQWKHDP\JGDOD0XOWLPRGDODQDO\VHVYLD
0(05,WHOHPHWU\DQGEHKDYLRUDOREVHUYDWLRQ6,02.-
3081$6,1*+(6<281*1,0+1,+'++61,1'V
1,+'++61,0+1,+'++6
&&& %HKDYLRXUDODQGQHXURFKHPLFDOHIIHFWV
RQKLSSRFDPSDOQRUDGUHQHUJLFQHXURWUDQVPLVVLRQFDXVHG
E\WKHODFNRI0PXVFDULQLFDFHW\OFKROLQHUHFHSWRUVLQ
PLFH$),1.-(16(1''(1&.(5*:g57:(,1
-:(663:(,.23/DE1HXURSV\FKLDWU\3V\FKLDWULF
&WU&RSHQKDJHQDQG8QLYRI&RSHQKDJHQ'HSWRI3XEO
+HDOWK8QLYRI&RSHQKDJHQ0RO6LJQDOLQJ6HFWLRQ1DWO
,QVWRI'LDEHWHVDQG'LJHVWLYHDQG.LGQH\'LVHDVHV1DWO
,QVWRI+OWK
&&& +LSSRFDPSDOFRGHVRIVSDFHLQWKH
)PU.2PRXVHPRGHORI)UDJLOH;PHQWDOUHWDUGDWLRQ
7$5%$%5:,//(06(1&0$3(11$57=)3
%$77$*/,$8QLYRI$PVWHUGDP(UDVPXV0HG&WU
&&& $FWLYDWLRQRIWKHPHVROLPELF
GRSDPLQHUJLFV\VWHPE\KLJKIUHTXHQF\VWLPXODWLRQRIWKH
SHUIRUDQWSDWKZD\DFRPELQHGHOHFWURSK\VLRORJLFDODQG
I05,VWXG\&+(/%,1**:(51(5)$1*(167(,1
/HLEQL],QVW)RU1HXURELR0DJGHEXUJ'HXWVFKHV=HQWUXP
IU1HXURGHJHQHUDWLYH(UNUDQNXQJHQ'=1(
''' &KDUDFWHUL]LQJWKHLQWHUDFWLRQVEHWZHHQ
KLSSRFDPSDOWKHWDJHQHUDWRUVE\FRPELQLQJ&6'DQG
*UDQJHU&DXVDOLW\'.$1*36:,$7(.0',1*%
.2&6,6-&UD\WRQ3UXLWW)DPLO\'HSWRI%LRPHG(QJLQ
8QLYRI)ORULGD'HSWRI3V\FKLDWU\DW%,'0&+DUYDUG0HG
6FK
''' 5HDFWLYDWLRQRIQHXUDOHQVHPEOHVGXULQJ
WKHUHWULHYDORIUHFHQWDQGUHPRWHPHPRU\..7$</(5
.=7$1$.$&&+$%$121+,&.6%)(5*8621$
7$16%$&+$5$&+%*5,(5/*5(,-0(56%-
:,/7*(18QLYRI9LUJLQLD8QLYRI9LUJLQLD7XIWV8QLY6FK
RI0HG
''' $VSLNHEDVHGDVVRFLDWLYHPHPRU\ZLWK
VWURQJVSDUVHDQGZHDNGHQVH+HEELDQFRQQHFWLRQV1
+,5$7$1,-7(5$0$(7)8.$,5,.(1%UDLQ6FL,QVW
8QLYRI7RN\R
''' (QKDQFLQJWKHUHVFXHHIIRUW(IIRUWIXO
OHDUQLQJLQFUHDVHVQHXURJHQHVLVWKURXJKDQLQFUHDVHLQFHOO
VXUYLYDO*',)(2'0&85/,.,,7-6+2565XWJHUV
8QLY
''' 1RYHOW\GHWHFWLRQLQWKHUDWEUDLQ
00((7(5$6$0%(7+$%/2./$1'988QLY
$PVWHUGDP0DDVWULFKW8QLY
''' S
'LVVRFLDEOHUROHVRIWKHGRUVDO
VWULDWXPDQGGRUVDOKLSSRFDPSXVLQWKHSHUIRUPDQFHRI
PQHPRQLFDOO\GLVWLQFWWPD]HWDVNV$&$55(2/$+
/+$//2&.&/6+$:003$7(/60$0269
&+$1'5$6(.+$5*'5:$7621$/*5,)),1
8QLYRI'HODZDUH
''' 7KHFDXGDOUHJLRQRIWKHSHULUKLQDOFRUWH[
LVLQFUHDVLQJO\UHFUXLWHGLQFRQWH[WXDOIHDUPHPRU\DFTXLUHG
RYHUGLVWULEXWHGFRQGLWLRQLQJVHVVLRQV-(7$</250
&528*+$0%22.(5+/(+0$117UHQW8QLY
''' 'LIIHUHQWLDOJDPPDDFWLYLW\UHODWHGWR
FRUUHFWVSDWLDODOWHUQDWLRQLQUDWKLSSRFDPSDO&$-0
/$8:(5(<16+1,6+,'$*%,5'$5(',6+0
7$.$+$6+,.\XVKX8QLY8QLYRI0LQQHVRWD
''' +LSSRFDPSDOFRQWURORIPHGLDQUDSKH
DFWLYLW\GXULQJULSSOHRVFLOODWLRQ$QHZFLUFXLWIRUPHPRU\
FRQVROLGDWLRQSURFHVV"'9:$1*6,.(02721DWO
,QVW2Q'UXJ$EXVH
''' 1RQYHUEDOWUDQVLWLYHLQIHUHQFHLQSLJHRQV
(IIHFWRIELODWHUDOOHVLRQRIKLSSRFDPSXV2)/$=$5(9$
..$1'5$<13,//$,0-$&(5%2'UDNH8QLY8QLY
RI,RZD
''' &ROFKLFLQHOHVLRQVRIWKHGHQWDWHJ\UXV
VHYHUHO\GLVUXSWUDSLGVHJUHJDWLRQRILQIRUPDWLRQIURP
GLVVRFLDWHGVSDWLDOIUDPHVRQDURWDWLQJDUHQD&DURXVHO6
.8%,.-692%2'$%678&+/,.29$+%8&+729$
$678&+/,.,QVWRI3K\VLRO$FDGRI6FLRIWKH&]HFK
5HSXEOLFYYL
''' &RQWUDVWLQJWKHDPQHVLFHIIHFWVRIOHVLRQV
DQGWHPSRUDU\LQDFWLYDWLRQVRIWKHKLSSRFDPSXVRQFRQWH[W
DQGVSDWLDOPHPRU\LQWKHUDW*$6&277'6$8&,(5
+/(+0$117UHQW8QLY8QLYRI2QWDULR,QVWRI7HFKQRO
''' (QFRGLQJRIUHZDUGDVVRFLDWHGIHDWXUHV
LQWKHYHQWUDOKLSSRFDPSXVGXULQJVSDWLDOOHDUQLQJ$
0$1*$1$52-2¶1(,//''835(7-/&6,&69$5,
05&$188QLYRI2[IRUG,QVWRI6FLDQG7HFKQRO
''' 7LPHODSVHLQYLYRLPDJLQJRI
GHQGULWLFVSLQHG\QDPLFVLQKLSSRFDPSDODUHD&$-(
),7=*(5$/'$$77$5'20-6&+1,7=(56WDQIRUG
8QLY6WDQIRUG8QLY+RZDUG+XJKHV0HG,QVW6WDQIRUG
8QLY
''' +LSSRFDPSDOSUHIURQWDOV\QFKURQ\
GXULQJVZLWFKLQJEHWZHHQKLSSRFDPSDOGHSHQGHQWDQG
LQGHSHQGHQWWDVNV.**8,6(0/6+$3,520RXQW
6LQDL6FKRI0HG0RXQW6LQDL6FKRI0HG
''' 3ODFHFHOOUDWHUHPDSSLQJLQWKH
KLSSRFDPSXVE\&$FROODWHUDOV762/67$'+<286,)
7-6(-12:6.,&1/66DON,QVW8QLYRI&DOLIRUQLD6DQ
'LHJR1RUZHJLDQ8QLYRI6FLDQG7HFKQRO
''' ,QWHUDFWLRQRIVXELFXOXPDQGSUHIURQWDO
FRUWH[LQVSDWLDOZRUNLQJPHPRU\%$:250:22'5/
$0,//(5.'2126$:%/$.(5*0$,58QLY
1HZ+DPSVKLUH
''' &RQWH[WLVHQFRGHGE\GLVWLQFW
KLSSRFDPSDOFLUFXLWV0(:,17=(55%2(+5,1*(57
-0&+8*+5,.(1%UDLQ6FL,QVW
''' 3DUDOOHOSURFHVVLQJVWUHDPVVXSSRUW
G\QDPLFFRQWH[WXDOUHSUHVHQWDWLRQVLQ&$-=<281*
$//(0(6685,(57-0&+8*+71$.$6+,%$6
721(*$:$0,70,7&XUUHQWO\DW5,.(1%UDLQ6FL,QVW
''' .HWDPLQHLQGXFHGEHKDYLRUDO
LPSDLUPHQWVDQGDOWHUDWLRQVLQKLSSRFDPSDOJDEDHUJLF
QHXURQGLVWULEXWLRQ$60857,6+$:--6$%%$*+
&)+($1(<00%2/721&00$*&$/$6-:
.,11(<81/91HXURVFL'RFWRUDO6WXGHQW81/9
''' 'LVWULEXWHGFRGLQJRIVHQVRU\LQIRUPDWLRQ
E\&$QHXURQVLQWKHKLSSRFDPSXV$.'+$:$/(0
102',86%+$//$1&%6
''' S'HHSEUDLQVWLPXODWLRQRIHQWRUKLQDO
FRUWH[HQKDQFHVVSDWLDOPHPRU\LQUDWV51$-(5$-
6,%,$/,&0&1$%%3)8&+6<%3(1*+3$5.
8QLYRI7H[DVDW$UOLQJWRQ
S
3267(5
&RQWURORI5HZDUG6HHNLQJDQG$YRLGDQFH%HKDYLRUV
''' 5HZDUGUHODWHGSURFHVVHVLQ%167
60$'-%$5.(5.5&2))(<'+52276
&-+$73$57+$6$5$7,9'2%529,76.<-&
+259,7=02:(675XWJHUV7KH6WDWH8QLYRI1HZ
-HUVH\1DWO,QVWRQ'UXJ$EXVH&LW\&RORI1HZ<RUNRI
WKH&LW\8QLYRI1HZ<RUN
''' &KURQLFVWUHVVDOWHUVFRFDLQHLQGXFHG
DGGLFWLYHEHKDYLRUVLQPLFHODFNLQJGRSDPLQH'UHFHSWRUV
+6,0+/((7&+2,6&+2,(.$1*3+$1-
%$,.6FKRI/LIH6FLDQG%LRWHFKQRORJ\.RUHD8QLY6HRXO
1DWO8QLY6FKRI'HQW'HSWRI1HXURVFLHQFH0HG5HV
,QVWLWXWH(ZKD:RPDQV8QLY6FKRI0HGLFLQH
''' &RFDLQH$GGLFWLRQ,VLWDKDELW"'
-%$5.(560$'+5227$33$:/$..5
&2))(<$7)$%%5,&$725(02:(675XWJHUV
8QLYHUVLW\5XWJHUV8QLY1DWO,QVWRQ'UXJ$EXVH
''' ,PDJLQJUHZDUGDQGPRWLYDWLRQUHODWHG
GRSDPLQHXSWDNHLQWKHUDW$Q>)@ÀXRURGLK\GUR[\
SKHQ\ODODQLQVWXG\(+2()(1(5&6&+b)(55
*5$)%1(80$,(5+%$&.(6+(1'(32/60D[
3ODQFN,QVW)RU1HXURORJ5HV
''' 7KHUROHRIGRUVRODWHUDOVWULDWXP
QHXURQVLQVNLOOOHDUQLQJDQGGUXJDEXVH.&2))(<'
-%$5.(560$$3$:/$.$)$%5,&$725(02
:(675XWJHUV
''' %ORFNDGHRI+\SRFUHWLQ2UH[LQ
UHFHSWRUVGRHVQRWUHGXFHGRSDPLQHUHVSRQVHVWRFRFDLQH
5$(63$f$$55$865-21(6'UH[HO8QLY&RO
RI0HG:DNH)RUHVW+OWK6FL
''' 'GRSDPLQHUHFHSWRULQWHUDFWLRQVZLWK
$03$UHFHSWRUVDUHPRUHLPSRUWDQWWRH[WHQGHGDP\JGDOD
UHZDUGPHFKDQLVPWKDQ'$03$LQWHUDFWLRQV0$
:$5$&=<16.,0672(+58QLY:LVFRQVLQ:KLWHZDWHU
8QLY:LVFRQVLQ:KLWHZDWHU
''' 7KHLQÀXHQFHRILVRODWLRQUHDULQJDQG
VRFLDOFXHVRQFRFDLQHLQGXFHGGRSDPLQHDQGVHURWRQLQLQ
WKHQXFOHXVDFFXPEHQV67%/$1'6*527(:2/'
9:$//&+$<7(5$%2:0$1'*22'(//8QLYRI
&RORUDGR'HQYHU
''' 1HXUDOFLUFXLWPHFKDQLVPIRUWKH
FRPSXWDWLRQRIUHZDUGSUHGLFWLRQHUURULQWKHPLGEUDLQ
GRSDPLQHQHXURQV.025,7$0025,6+,0$.6$.$,
<.$:$*8&+,7KH8QLYRI7RN\R7KH8QLYRI7RN\R
1DWO,QVWIRU3K\VLRORJLFDO6FL*UDG8QLYIRU$GYDQFHG
6WXGLHV62.(1'$,-DSDQ6FLDQG7HFKQRO$JHQF\&RUH
5HVIRU(YROXWLRQDO6FLDQG7HFKQRO&5(67
''' .QRFNGRZQRIGRSDPLQH'UHFHSWRUV
ZLWKLQWKHKLSSRFDPSXVDQGLWVHIIHFWRQFRFDLQHUHZDUG.
.7+,57$0$5$%0$57,1%1$8*+721&:$1*
0'85,1*+*87KH2KLR6WDWH8QLY7KH2KLR6WDWH
8QLY7KH2KLR6WDWH8QLY7KH2KLR6WDWH8QLY
''' $JDODQLQIXQFWLRQDOSRO\PRUSKLVP
PRGXODWHVUHZDUGUHODWHGYHQWUDOVWULDWXPUHDFWLYLW\
GLIIHUHQWLDOO\LQPHQDQGZRPHQ<61,.2/29$(.
6,1*+,$5+$5,5,'XNH8QLY
''' 5HODWLRQVKLSVDPRQJGRSDPLQH'
UHFHSWRUVUHZDUGDQGHDWLQJSDWKRORJ\LQREHVHDQG
OHDQDGXOWV'0*5('<6$6$(,6(167(,1-9
$17(125'256(<$$5%(/$(=-0.2//(5.
-%/$&.-63(5/0877(56002(5/(,1$
5$&,1((%,+8165$1&.7+(56+(<:DVKLQJWRQ
8QLY6FKRI0HG:DVKLQJWRQ8QLY6FK0HG
''' 0HFKDQLVPVXQGHUO\LQJ%'1)PHGLDWLRQ
RIPHVROLPELFGRSDPLQHDQGKHGRQLFIHHGLQJ/5
*$,1(<06(1$(67(9(605,267XIWV8QLY8QLY
RI0DVVDFKXVHWWV0HG6FK
''' 2SSRVLQJDFWLRQVRIK\SRFUHWLQRUH[LQ
DQGG\QRUSKLQFRWUDQVPLVVLRQRQPRWLYDWHGEHKDYLRU-
:086&+$03-$+2//$1'(5-/7+203621
6219$1,/&+$66,1*(570.$0(1(&.$6/
%25*/$1'3-.(11<:$&$5/(=21-U+DUYDUG
0HG6FK0F/HDQ+RVS7KH6FULSSV5HV,QVW8QLYRI
%ULWLVK&ROXPELD
''' 5ROHRIGRSDPLQH'UHFHSWRURQ
FRFDLQHLQGXFHGEHKDYLRUDOVHQVLWL]DWLRQLQQXFOHXV
DFFXPEHQVFRUH+/(((-81*+6,06<221-
%$,..RUHD8QLY
''' *KUHOLQG\QDPLFDOO\PRGXODWHVSKDVLF
GRSDPLQHVLJQDOVHYRNHGE\IRRGUHZDUGDQGIRRGSUHGLFWLYH
VWLPXOL--&21(052,70$18QLYRI,OOLQRLVDW
&KLFDJR
''' 'LVWLQFWUROHVIRUGLUHFWDQGLQGLUHFW
SDWKZD\VWULDWDOQHXURQVLQUHLQIRUFHPHQWDQGSXQLVKPHQW
/7<($.5$9,7=$.5(,7=(5*ODGVWRQH,QVW
)UDQFLVFR
''' (QFRGLQJRIUHZDUGUHODWHGLQIRUPDWLRQ
LQWKH97$PRGXODWLRQE\IHHGLQJKRUPRQHV*9$1
'(53/$66(59$1=(66(10&0/8,-(1',-.
+(5.$1*0-5$0$.(565$+$'$15XGROI
0DJQXV,QVW
''' 'LVUXSWLQJ'EXWQRW'WRQHZLWKLQWKH
QXFOHXVDFFXPEHQVFRUHLPSDFWVWKHUDSLGHVWDEOLVKPHQW
RIEHKDYLRUDOSUHIHUHQFHVUHVXOWLQJIURPXQH[SHFWHGUHZDUG
RPLVVLRQ.$3257(5675$16.<-/6(,/(50&
./,1*/(5%-$5$*21$8QLYRI0LFKLJDQ
''' *HQHWLFHYLGHQFHWKDWOHSWLQ
PRGXODWHVGRSDPLQHUHZDUGV\VWHPIXQFWLRQLQKXPDQV
-:%8&.+2/7=5&2:$1-%/$&.)25'0
75($':$<5/,0$16$5,5%$/':,1&60,7+5
.(66/(5'=$/'+DUYDUG8QLY9DQGHUELOW8QLY
''' 'RSDPLQHUHFHSWRUDQWDJRQLVP
UHGXFHVWKHRSSRUWXQLW\FRVWDWZKLFKUDWVPDLQWDLQRSHUDQW
SHUIRUPDQFHIRUUHZDUGLQJEUDLQVWLPXODWLRQ,758-,//2
3,6$17<.&2129(536+,=*$/&RQFRUGLD8QLY
''' 7KHYDJXVQHUYHOLQNVJXWIDWVHQVLQJWR
EUDLQGRSDPLQHUHOHDVH-*)(55(,5$/7(//(=6-
6+$00$+/$*1$'2,('($5$8-2-RKQ%3LHUFH
/DE8QLYGH6DR3DXOR
S
''' $FFXPEHQVGRSDPLQHHQFRGHVERWK
LQFHQWLYHPRWLYDWLRQDQGELGLUHFWLRQDOUHZDUGSUHGLFWLRQ
HUURUV$+$0,'&9$1'(5:((/(56&+0,'7-
53(77,%21(%-$5$*21$-'%(5.(8QLYRI
0LFKLJDQ8QLYHULW\RI0LFKLJDQ
''' ,QSXWVSHFL¿FFRQWURORIUHZDUGDQG
DYHUVLRQLQWKHYHQWUDOWHJPHQWDODUHD6/$00(/%
/,0&5$1.+8$1*.7<(.'(,66(527+5
0$/(1.$6WDQIRUG8QLY0,76WDQIRUG8QLY
''' :KDWDVKRFN(QGRFDQQDELQRLGV
PRGXODWHQXFOHXVDFFXPEHQVQHXUDOHQFRGLQJGXULQJ
QHJDWLYHUHLQIRUFHPHQW(%2/(6219&+,20$1
/23$7,1$-)&+((58QLYRI0DU\ODQG6FK0HG8QLY
RI0DU\ODQG%DOWLPRUH&RXQW\
''' 'RSDPLQHWUDQVSRUWHUYDULDQWVDUH
OLQNHGWRYHQWUDOVWULDWXPPLFURVWUXFWXUHLQFKLOGUHQDQG
DGROHVFHQWV.60$'6(1:)&%$$5e$-
6&+25.&%/266660855$<$6.,00,1*($
0'$/(1-6&+25.7/-(51,*$1'DQLVK5HV&WU
)RU0DJQHWLF5HVRQDQFH&RSHQKDJHQ8QLY+RVS&WUIRU
,QWHJUDWHG0RO%UDLQ,PDJLQJ&RSHQKDJHQ8QLY+RVS
8&6'6FULSSV7UDQVODWLRQDO6FL,QVW
''' :KDWDVKRFN6XEVHFRQGGRSDPLQH
UHOHDVHHQFRGHVFRQGLWLRQHGFXHVGXULQJQHJDWLYH
UHLQIRUFHPHQW51*(175<(%2/(621-)
&+((58QLYRI0DU\ODQG
''' 0HQVWUXDOF\FOHGHSHQGHQWÀXFWXDWLRQV
LQVWHURLGOHYHOVDIIHFWQHXUDODFWLYLW\GXULQJWKHDQWLFLSDWLRQ
RIUHZDUGDQGSXQLVKPHQW-%$<(53%$1'856.,7
6200(58QLY0HG&WU+DPEXUJ(SSHQGRUI
''' /RVVDYHUVLRQLVXQGHUWKHFRQWURORI
GRSDPLQHUJLFVLJQDOLQJ$'$*+(5&(5,&.621
6&2;0/(<721-:$*1(50-)5$1..
/$5&+(50F*LOO8QLY0RQWUHDO1HXURORJ,QVW%URZQ
8QLY
''' 'HYDOXDWLRQRIHWKDQROUHZDUGLQHWKDQRO
GHSHQGHQWDQGQRQGHSHQGHQW&%/-PLFH0)
/23(=/$5$/67215(6((/-&+$1'/(5
0HG8QLYRI6RXWK&DUROLQD0HG8QLYRI6RXWK&DUROLQD
3267(5
'HFLVLRQ0DNLQJ1HXURFLUFXLWU\DQG
1HXURSKDUPDFRORJ\
''' $QDOLV\VRIWKHSDUWLFLSDWLRQRI
URVWURGRUVDOSRUWLRQRIWKHSHULDTXHGXFWDOJUD\LQEHKDYLRUDO
LQKLELWLRQDIWHUFDWH[SRVXUH0+68.,.$5$&5
7(,;(,5$/))(/,&,216&$17(5$665027$
257,=8QLY&LGDGH'H6mR3DXOR&LW\8QLYRI6mR3DXOR
8QLYRI6mR3DXOR8QLYRI6mR3DXOR
''' %DVRODWHUDODP\JGDODOHVLRQVLQKLELW
UHYHUVDOOHDUQLQJRQDFKRLFHRGRUGLVFULPLQDWLRQWDVN)$
/28&.6/:,/%5(&+73+-$1$.8&6)1HXURVFL
*UDG3URJUDP(UQHVW*DOOR&OLQDQG5HV&WU
''' %HKDYLRXUDOGHFLVLRQPDNLQJLVPHGLDWHG
E\DQRYHOLQWHUQHXURQEULGJLQJIHHGLQJDQGZLWKGUDZDO
QHXURQDOQHWZRUNVLQ/\PQDHD=3,5*(5,.(0(1(6
=/$6=/2*.(0(1(635%(1-$0,102¶6+($
8QLYRI6XVVH[
''' 6LJQWUDFNLQJDQGJRDOWUDFNLQJE\D
UHLQIRUFHPHQWOHDUQLQJPRGHO65.$9(5,$5.2(1(
6/$48,7$,1(+1$.$+$5$5,.(1%UDLQ6FL,QVW
7RN\R,QVWRI7HFKQRO
''' ,QÀXHQFHRIUHZDUGXQFHUWDLQW\RQQHXUDO
FXHUHVSRQVHVLQWKHDP\JGDOD-=&+$',&.3+
-$1$.(UQHVW*DOOR&OLQDQG5HV&HQWHU8&6)8QLYRI
''' 7KHFRQWULEXWLRQRIWKHDP\JGDODWR
VWLPXOXVUHZDUGOHDUQLQJLQUKHVXVPDFDTXHVDEHKDYLRUDO
DQGDXWRQRPLFDQDO\VLV3+58'(%(&.-$5,33/(
$50,7=($0855$<1DWO,QVWRI0HQWDO+OWK
''' 1HXUDODFWLYLW\LQPHGLDOSUHIURQWDOFRUWH[
GXULQJSHUIRUPDQFHRIDJRQRJRWDVN$$$0$<$65
(%1(5060&0855$<-'52,70$18QLYRI,OOLQRLV
$W&KLFDJR
''' 3KDVLFGRSDPLQHUHFRUGLQJVDQG
EHKDYLRUDOSKDUPDFRORJ\UHYHDOGLIIHUHQWLDOUROHVIRUQXFOHXV
DFFXPEHQVLQSXWVLQUHZDUGSUHGLFWLRQDQGDFWLRQVHOHFWLRQ
65(%1(5-'52,70$1$$$0$<$0)
52,70$18QLYRI,OOLQRLV$W&KLFDJR
''' 6LJQDOVSURMHFWHGIURPWKHFHQWURPHGLDQ
QXFOHXVRIWKDODPXVWRWKHSXWDPHQGXULQJUHZDUGEDVHG
DFWLRQVHOHFWLRQLQPRQNH\.<$0$1$.$0.,085$
7DPDJDZD8QLY%UDLQ6FL,QVW
''' 3UHOLPELFSUHIURQWDOFRUWLFDOPHFKDQLVPV
RIFRFDLQHLQGXFHGVWLPXOXVUHVSRQVHGHFLVLRQPDNLQJ
0*:+((/(5&*5266*-%$66(//6/
*285/(<(PRU\8QLY<HUNHV1DWO3ULPDWH5HV&WU
(PRU\8QLY(PRU\8QLY(PRU\6FKRI0HG
''' &RPSHWLWLRQEHWZHHQGLIIHUHQWDFWLRQ
YDOXHVLJQDOVLQVXSSOHPHQWDU\H\H¿HOGGXULQJYDOXHEDVHG
GHFLVLRQPDNLQJ;&+(160,+$/$696783+251
=DQY\O.ULHJHU0LQG%UDLQ,QVW$OOHQ,QVWIRU%UDLQ6FL
=DQY\O.ULHJHU0LQG%UDLQ,QVW
''' ,QPRQNH\VSHUIRUPLQJDYDOXHEDVHG
GHFLVLRQWDVN/,3QHXURQVHQFRGHFXHVDOLHQFHDQGQRW
DFWLRQYDOXH0//($7+(56&52/621&WUIRUWKH
1HXUDO%DVLVRI&RJQLWLRQ&DUQHJLH0HOORQ8QLY8QLYRI
3LWWVEXUJK
''' &HOOW\SHVLQWKHRUELWRIURQWDOFRUWH[
DQGWKHLUFRQWULEXWLRQWRHFRQRPLFFKRLFH&3$'2$
6&+,233$;&$,:DVKLQJWRQ8QLY
''' 'LVFRQQHFWLQJWKHRUELWRIURQWDOFRUWH[
DQGVXEWKDODPLFQXFOHXVGRHVQRWVLJQL¿FDQWO\DOWHU
LPSXOVLYHGHFLVLRQPDNLQJRQDGHOD\GLVFRXQWLQJWDVN-1
)(5/$1'3-&2&.(5)'=((%-*+26.,1*/
&248(&%$81(=&$:,167$1/(<8QLYRI%ULWLVK
&ROXPELD8QLYRI7RURQWR8QLYGH3URYHQFH0DUVHLOOH
''' S
(IIHFWVRIPRUSKLQHRQGHOD\
GLVFRXQWLQJLQUDWV,QWHUDFWLRQVZLWKRUGHURIGHOD\
SUHVHQWDWLRQ&+(1621'50$*8,5(:.2(.&
3)5$1&(8QLY7H[DV+OWK6FL&WU8QLY7H[DV+OWK6FL
&WU
''' &RFDLQH,QGXFHGLPSXOVLYLW\LVFXUWDLOHG
E\&%UHFHSWRUEORFNDGH5DSLGGRSDPLQHUJLFFRUUHODWHV
*$+(51$1'(=(2/(6215*(175<'
%(5167(,1-)&+((58QLYRI0DU\ODQG
''' $WRPR[HWLQHHIIHFWVRQULVNUHODWHG
GHFLVLRQPDNLQJLQUDWVGHSHQGVXSRQEDVHOLQHSHUIRUPDQFH
FKDUDFWHULVWLFV-:22'6-5$6+(1+8567-'
-(176&+8&/$3V\FKRORJ\%HKDYLRUDO1HXURVFL8QLYRI
&DOLIRUQLD
''' (IIHFWVRIDFXWHDGPLQLVWUDWLRQRIGUXJV
WDUJHWLQJVHURWRQHUJLFQHXURWUDQVPLVVLRQLQDUDWPRGHORI
ULVN\GHFLVLRQPDNLQJ%6(7/2:050,7&+(//.
9(5$9*:(,668QLYRI)ORULGD
S
''' $GROHVFHQWULVNWDNLQJGRSDPLQH
VLJQDOLQJDQGFRFDLQHVHOIDGPLQLVWUDWLRQ$YLFLRXVF\FOH0
50,7&+(//9*:(,66'025*$1-/%,=21%
6(7/2:8QLYRI)ORULGD&RORI0HG8QLYRI)ORULGD&RO
RI0HG8QLYRI)ORULGD&RORI0HG
''' +LJKFRFDLQHLQWDNHFDXVHVORQJODVWLQJ
HOHYDWLRQVLQLPSXOVLYHFKRLFHLQDGHOD\GLVFRXQWLQJWDVN9
:(,668QLYRI.HQWXFN\
''' 'HFLVLRQPDNLQJDQGWKH+7V\VWHP
3)$8/.1(566(/9$5$-4+8<6$3,1(2
+2:(6-352,6(58QLY&RO/RQGRQ,PSHULDO&RO
/RQGRQ8QLY&RO/RQGRQ8QLY&RO/RQGRQ8QLY&RO
/RQGRQ
''' 7KHUROHRIGRSDPLQHLQDQWHULRULQVXODU
DQGRUELWRIURQWDOFRUWH[LQULVN\GHFLVLRQPDNLQJ+,6+,,
62+$5$3172%/(5.768768,7,,-,0$7RKRNX
XQLYHUVLW\/DEIRUVRFLDODQGQHXUDOV\VWHPVUHVHDUFK8QLY
RI=XULFK
''' 7KHXQFRPSHWLWLYH10'$UHFHSWRU
DQWDJRQLVWVNHWDPLQHDQGPHPDQWLQHSUHIHUHQWLDOO\LQFUHDVH
WKHFKRLFHIRUDVPDOOLPPHGLDWHUHZDUGLQORZLPSXOVLYH
UDWV3&27721($51$5$<$1-.:$.96$%,12
%RVWRQ8QLY6FKRI0HG
''' 6HURWRQLQWUDQVSRUWHUJHQRW\SH
PRGXODWHVWHPSRUDOGLVFRXQWLQJRIPRQHWDU\UHZDUGVLQ
KXPDQV&+$57/(<-:.$1(10&0&.(11$
%-&$6(<-:.$%/(($3+(/36&(*/$77
6DFNOHU,QVW)RU'HYHORSPHQWDO3V\FKRELRORJ\:HLOO
&RUQHOO0HG&RO1HZ<RUN8QLY:HLOO&RUQHOO0HG&RO
:HLOO&RUQHOO0HG&RO8QLYRI3HQQV\OYDQLD:HLOO&RUQHOO
0HG&RO
''' $OFRKROLQFUHDVHVDWWHQWLRQWRUHFHQW
RXWFRPHVDQGLQFRQVLVWHQF\GXULQJGHFLVLRQPDNLQJLQ
WKH,RZD*DPEOLQJ7DVN$*8(9$5$'6&+0,'7*
*$11%.52(0(58=,00(50$1101602/.$
7HFKQLVFKH8QLY'UHVGHQ
''' 'HFLVLRQPDNLQJQHXURQVIRUIHHGLQJ
EHKDYLRUUHYHDOHGE\JHQHWLFDFWLYDWLRQLQ'URVRSKLOD
6,*8&+,0*25&=<&$0<26+,+$5$8QLYRI
0DVVDFKXVHWWV0HG6FK
3267(5
1HXURHWKRORJ\2WKHU
''' 7KHDQLPDOPRGHOVDQGPRGHODQLPDOV
GHEDWHVLQQHXURVFLHQFH$FRPSDUDWLYHDQDO\VLV-6
52%(57$UL]RQD6WDWH8QLY
''' S7KUHHGLVWLQFWIRUPVRIGRPLFVHOI
WRXFKLQJPRYHPHQWVFKDUDFWHUL]HGE\KDQGVKDSH
.025$<.2-0.$5/,4:+,6+$:8QLYRI
/HWKEULGJH
S
''' 3DUWQHUSUHIHUHQFHLQDQDQLPDO
PRGHORIVH[FKURPRVRPHWULVRPLHV71*811
0*+$+5$0$1,+%$56(*+<$10&5((.<
,72+)-6È1&+(=50&&/86.<6:,//,$06)
$9$1(6<$1-6,16+(,0(5$3$512/'(9,/$,1
8&/$8&/$8&/$
''' )XQFWLRQDOPULLQDZDNHXQUHVWUDLQHG
GRJV*6%(516$0%522.6063,9$.(PRU\
8QLY&RPSUHKHQVLYH3HW7KHUDS\
((( *DEDSHQWLQUHVWRUHVVRFLDOGH¿FLW
LQGXFHGE\RYDULHFWRP\LQIHPDOHUDWV(6+(.8129$,
%(/2=(576(9$3DYORY6WDWH0HGLFDO8QLYHUVLW\
((( 673WRPRJUDSK\EDVHGPDSSLQJRI
WKHFRPSOHWHEUDLQFLUFXLWPHGLDWLQJVRFLDOEHKDYLRULQ
WKHPRXVH<.,0.80$'(9,9(1.$7$5$-8.
35$'+$16&785$*$,$5*$1'$&$55(5$6/
1*0-+$:5</<&=+66(81*3267(1&ROG
6SULQJ+DUERU/DE0,7$OOHQ,QVWIRU%UDLQ6FL
((( +9&WDUJHWHGIRUHEUDLQOHVLRQVUHVXOWLQ
QRQVHOHFWLYHUHVSRQVHVWRVRQJDQGLQFUHDVHGHJJOD\LQJLQ
IHPDOHFRZELUGV:0$<(6*)%$//0)6&+0,'7
'-:+,7(-RKQV+RSNLQV8QLY8QLYRI3HQQV\OYDQLD
8QLYRI3HQQV\OYDQLD
((( /RZHUEUDLQOHYHOVRIVHURWRQLQLQUDLQERZ
WURXWODUYDHZLWKDSURSHQVLW\IRUVRFLDOGRPLQDQFH(
+g*/81'0c$1'(566217HFK8QLYRI'HQPDUN
((( S
([SORULQJJURXSOHDUQLQJLQGDQLR
UHULR.0.+$1(0'2</(-(5,6,1*(5&5
+(<'8.7-*(,(5$03(7=2/'5/'81%$5
8QLYRI0LQQHVRWD5RFKHVWHU8QLYRI0LQQHVRWD5RFKHVWHU
((( S([SORUDWRU\EHKDYLRXULQSODQDULD
'XJHVLDGRURWRFHSKDOD(IIHFWVRIVROLWDU\DQGVRFLDO
KRXVLQJ&1866(<$&$5/621=0$1'/62+1$
67,//$5$:((.60-6$$5,1LSLVVLQJ8QLY
((( 0HFKDQLVPVRIFROOHFWLYHEHKDYLRULQ
'URVRSKLODPHODQRJDVWHU35$0'<$76&+$))7(5
3/,&+2&.,/)5,6&+:76(')/25($125
%(172181,/(3)/
((( 6OHHSLQWHQVLW\LQ'URVRSKLOD%9$1
$/3+(1/.,56=(1%/$7%9$16:,1'(5(17KH
4XHHQVODQG%UDLQ,QVW
((( %UDLQVWUXFWXUHDQGGLYLVLRQRIODERULQ
DQWVWKHQHXURHFRORJ\RIVRFLDOFRPSOH[LW\-).$0+,<
0*,5$/'2&:$/.(5(3$7(/-)$75$1,(//2
%RVWRQ8QLY
((( (IIHFWRIHQULFKHGHQYLURQPHQWRQDGXOW
QHXURJHQHVLVLQWXUWOHV&KU\VHP\VSLFWD$632:(56
%+$186&+681<6WRQ\%URRN6WRQ\%URRN8QLY
''' 'HOD\GLVFRXQWLQJRIIRRGDQG
UHPLIHQWDQLOLQUKHVXVPRQNH\V'50$*8,5(/5
*(5$.&3)5$1&(8QLY7H[DV+OWK6FL&WU8QLY
7H[DV+OWK6FL&WU
''' (DUO\VRFLDOUHDULQJH[SHULHQFHDIIHFWV
WKHPLUURUQHXURQVV\VWHPDFWLYLW\PHDVXUHGZLWK((*
GXULQJWKHREVHUYDWLRQRIIDFLDOJHVWXUHVLQGD\ROG
UKHVXVPDFDTXHV3))(55$5,5(9$1'(5:(57
$3$8.1(56%2:(56-6820,1$)2;8QLY
3DUPD8QLYRI0DU\ODQG1,+
3267(5
1HXURHWKRORJ\6HQVRU\6\VWHPV,
((( 7KHWDVWHRIORYH7KHUROHRIJXVWDWRU\
OLNHSDWKZD\VLQVH[XDOEHKDYLRUV<%(16+$+$5%/8
:DVKLQJWRQ8QLY:DVKLQJWRQ8QLY
((( 3RVWVWLPXOXV¿ULQJDQGWKH
FRUUHVSRQGLQJROIDFWRU\VHDUFKVWUDWHJ\192*(6$
&+$)),2//%8+5<3/8&$6'0$57,1(=/25,$
,15,$&156,15$7KH2KLR6WDWH8QLY&RORI0HG
((( ,VDIIHUHQWVHQVRU\LQIRUPDWLRQUHTXLUHG
IRUGHYHORSPHQWRIFHQWUDOLQSXWDQGSURFHVVLQJUHJLRQVRI
WKHLQVHFWROIDFWRU\V\VWHPLQWKHDQW3KHLGROHGHQWDWD"0/
086&('(5(+:$;0$1-)$75$1,(//2%RVWRQ
8QLY%RVWRQ8QLY%RVWRQ8QLY
((( &ROOLVLRQDYRLGDQFHEHKDYLRXULQD
SDLURIÀ\LQJORFXVWV/RFXVWDPLJUDWRULD/-*5$<,
%(1$5$*$0$8QLY6DVNDWFKHZDQ
((( 'URVRSKLODWUDFN&2LQÀLJKW60
:$66(50$1':0$/.,10)5<(+RZDUG+XJKHV
0HG,QVWLWXWH8&/$8&/$
((( 'LVWLQFWUROHRILGHQWL¿HGJLDQW
LQWHUQHXURQVLQGLUHFWLRQDOFRQWURORIZLQGHYRNHGZDONLQJ
EHKDYLRULQWKHFULFNH+2*$:$02(+RNNDLGR8QLY
-67+RNNDLGR8QLY
((( $VVHVVLQJKRXVHFULFNHWOLJKWVHQVLWLYLW\
XVLQJSUHIHUHQFHVDQGFODVVLFDOFRQGLWLRQLQJ:/
,6$$&/1%$(5:&$//(1-%(':$5'6.'
7287.286+,$1&1'$9,6*HRUJLD&RO6WDWH8QLY
((( :KDWLVLWOLNHWREHDOL]DUG"*D]H
GXUDWLRQDQGWKHÀRZRIVHQVRU\H[SHULHQFHLQELUGVDQG
UHSWLOHV/1,5:,18QLY7H[DVDW(O3DVR
((( 5DSLGHIIHFWVRIHVWUDGLRORQUHWLQDO
VHQVLWLYLW\LQPDOHJROG¿VK557+2036215
6&+:(0%(5*(5'0,&+$8'36',&.,1621
%RZGRLQ&RO%RZGRLQ&RO
((( 6WXG\RIHOHFWULFDQGPRWRUEHKDYLRULQ
ZHDNO\HOHFWULF¿VK*\PQRWXVFDUDSRDQG*QDWKRQHPXV
SHWHUVLLXVLQJ,QIRUPDWLRQ7KHRU\WRROV&*)25/,0/2
%$/0(,'$39$521$)52'5,*8(=5'3,172
,QVWGH)tVLFDGD8QLYGH6DR3DXOR,QVW)LVLFD'H6DR
&DUORV8QLY6DR3DXOR8QLY$XWRQRPDGH0DGULG
((( 'LUHFWLRQVHOHFWLYHVHQVRU\QHXURQVLQ
ZHDNO\HOHFWULF¿VKHVUHVSRQGWRYHU\ORZIUHTXHQFLHV('
7<7(//6$67$03(51-&2:$1(6)25781(
-RKQV+RSNLQV8QLY-RKQV+RSNLQV8QLY
((( 6RFLDOHQYHORSHUHVSRQVHVLQ
(LJHQPDQQLDDQG$SWHURQRWXV6$67$03(506
0$'+$91-&2:$1(6)25781(-RKQV+RSNLQV
8QLY-RKQV+RSNLQV8QLY1HZ-HUVH\,QVWRI7HFKQRO
((( 6HURWRQLQGLIIHUHQWLDOO\DIIHFWVFRGLQJRI
LQIRUPDWLRQLQµRQ¶DQGµRII¶QHXURQVLQWKHZHDNO\HOHFWULF
¿VK7'((0<$'0&+$&521+RZDUG+XJKHV0HG
,QVWLWXWH-DQHOLD)DUP0F*LOO8QLY
((( 6HURWRQLQDQGQHXURSHSWLGHVLQWHUDFWWR
PRGXODWHDYHUVLYHUHVSRQVHVLQ&DHQRUKDEGLWLVHOHJDQV
+-0,//6$&.25&+1$.90+$3,$.5:
.2081,(&.,8QLYRI7ROHGR8QLYRI7ROHGR
((( $FXWHDQGWRQLFJOXWDPDWHUJLFVLJQDOLQJ
PRGXODWHVVHQVRU\PHGLDWHGDYHUVLYHUHVSRQVHVLQ
&DHQRUKDEGLWLVHOHJDQV36800(56$.25&+1$.%
%$0%(55.2081,(&.,8QLYRI7ROHGR
((( 8QFRYHULQJWKHPROHFXODUDQGFHOOXODU
EDVLVIRUK\JURVHQVDWLRQZLWKFHOHJDQV-5866(//-
3,(5&(6+,02085$8QLYRI7H[DV$W$XVWLQ
((( 0DJQHWRWDFWLFEHKDYLRULQDQHPDWRGH
$*9,'$/*$'($.$:$5'-73,(5&(
6+,02085$7KH8QLYRI7H[DV$W$XVWLQ
((( 6HQVRU\LQWHUDFWLRQEHWZHHQGLDFHW\O
DQGQRQDQRQHLQFHOHJDQV70$76885$-,=80,0
+,2.,+1$*$<$<.2%$<$6+,0,&+,126(,ZDWH
8QLY)DF(QJLQ
((( 3RWHQWLDOUROHIRUVNQLQ&DHQRUKDEGLWLV
HOHJDQVEHKDYLRUDOUHVSRQVHVWRHQYLURQPHQWDOFKHPLFDOV
0$:,/621:,6(57*621$/2*,(03
0$776216&$0$1'2/$1,$'RQJQDP,QVWRI
5DGLRORJLFDODQG0HG6FL
((( 6HQVRU\JXLGDQFHRIORFRPRWRUEHKDYLRU
LQWKHPHGLFLQDOOHHFK&0+$5/(<05266,-
&,(1)8(*26'$:$*(1$$5.$0(6&(8QLYRI
0LQQHVRWD&DOWHFK&DOWHFK
((( $FRPSDULVRQRIFHQWUDODQGSHULSKHUDO
HIIHFWVRI7539DQG753$DFWLYDWRUVDQGDQWDJRQLVWVLQWKH
OHHFK7/5$60866(1%%855(//8QLYRI6RXWK
'DNRWD
3267(5
1HXURHWKRORJ\6HQVRU\6\VWHPV,,
((( ,QYHVWLJDWLRQRIQHXUDOFLUFXLWVUHODWHG
WRDFRXVWLFVWDUWOHUHVSRQVHDQGSUHSXOVHLQKLELWLRQXVLQJ
EHKDYLRUDOSRVLWURQHPLVVLRQWRPRJUDSK\&52+/('(5
)0/(:(.(5*5$)+(1'(32/6&HQWUDO,QVWRI
0HQWDO+HDOWK0HG)DF0DQQKHLP+HLGHOEHUJ8QLYHUV
0D[3ODQFN,QVWIRU1HXURORJ5HV
((( /RZLQYDVLYHZD\WRLQDFWLYDWHQHXUDO
DFWLYLWLHVRIWKHSULPDU\DXGLWRU\FRUWH[E\WUDQVFUDQLDOQHDU
LQIUDUHGODVHULUUDGLDWLRQ1$.,<$0$.,.2%$<$6,+
5,48,0$528;'RVKLVKD8QLY'RVKLVKD8QLY
((( :KLFKDFRXVWLFFKDUDFWHULVWLFVGHWHUPLQH
LQGLYLGXDOLW\RI&RRFDOOVRI-DSDQHVHPDFDTXHV"7
)858<$0$.,.2%$<$6,+5,48,0$528;
'RVKLVKD8QLY'RVKLVKD
((( ,V0LVPDWFKQHJDWLYLW\UHODWHGWR
FDWHJRULFDOSHUFHSWLRQLQVSHFLHVVSHFL¿FFRPPXQLFDWLRQ
VRXQGVRI0RQJROLDQJHUELOV"<725,*2(.,
.2%$<$6,+5,48,0$528;'RVKLVKD8QLY'RVKLVKD
8QLY
((( 6WUXFWXUDOFKDUDFWHULVWLFVDQGIXQFWLRQVRI
LQQHUHDUH[DPLQHGE\FRFKOHDUPLFURSKRQLFVLQ0RQJROLDQ
JHUELOV0HULRQHVXQJXLFXODWXV6%2.8.)8.86+,0$
.,.2%$<$6,$06,00216-$6,00216+
5,48,0$528;'RVKLVKD8QLY'RVKLVKD8QLY%URZQ
8QLY
((( 1HXURQDOUHVSRQVHVWRFRQVSHFL¿FV
DQGVRFLDOIDFLDOWRXFKLQWKHSHULUKLQDOFRUWH[535$2
(%2%5290%5(&+7%HUQVWHLQ&WU)RU&RPSXWDW
1HXURVFL
S
((( 0HFKDQLVWLFEDVLVDQGIXQFWLRQDOUROHVRI
ORQJWHUPSODVWLFLW\LQDXGLWRU\QHXURQVLQGXFHGE\DEUDLQ
JHQHUDWHGHVWURJHQ/$75(0(5(5).29$/(6.,.
%8552:6-.-(21*53,1$8'1RUWKZHVWHUQ8QLY
<DOH8QLY
((( 6RXQGUHFHSWLRQLQFUDEV.HHSLQJDQ
HDUWRWKHJURXQGDQGDOHJLQWKHZLQG0-:$/7=-+
%(/$1*(5:HVW9LUJLQLD8QLY:HVW9LUJLQLD8QLY
((( 3K\VLRORJLFDODQGDQDWRPLFDO
GLIIHUHQWLDWLRQRIWKHLQIHULRUFROOLFXOXVLQWKHWZRVSHFLHV
RIJUD\WUHHIURJV+FKU\VRVFHOLVDQG+YHUVLFRORU6(
2'20&-/($5<-$*5$+$0*$9$648(=
23$=2*-526(8QLYRI8WDK8QLYRI0LVVLVVLSSL
((( )UHTXHQF\SUR[LPLW\DVDQDXGLWRU\
JURXSLQJFXHLQ&RSH¶VJUD\WUHHIURJV+\ODFKU\VRVFHOLV
.06&+52'(0$%((8QLYRI0LQQHVRWD8QLYRI
0LQQHVRWD
((( (OHFWURSK\VLRORJLFDOFKDUDFWHUL]DWLRQRI
QHXURQDOFHOOW\SHVDQGSRWDVVLXPFRQGXFWDQFHVUHVSRQVLEOH
IRUSKDVLF¿ULQJLQWKH&DXGRPHGLDO1LGRSDOOLXP1&0RI
]HEUD¿QFKHV$/$'$*267,1&90(//250
/($28QLYHULVLW\RI6jR3DXOR2UHJRQ+OWKDQG6FL8QLY
((( 1HXUDOFRUUHODWHVRIWXWRUVRQJ
VHOHFWLYLW\LQWKHDXGLWRU\PLGEUDLQGXULQJ]HEUD¿QFKVRQJ
GHYHORSPHQW$ORQJLWXGLQDOSLORWVWXG\XVLQJIXQFWLRQDO
05,/9$158,-66(9(/7$09$1'(5.$17*'(
*522)$9$1'(5/,1'(18QLYRI$QWZHUS
((( /DWHUDOL]HGQHXUDOUHVSRQVHVDQG
IXQFWLRQDOFRQQHFWLYLW\LQWKHYLVXDOV\VWHPRIDZDNHWUDLQHG
SLJHRQV(-21&.(56*'(*522)2*h17h5.h1
3'(12/)$9$1'(5/,1'(1%LR,PDJLQJ/DE8QLY
RI$QWZHUS,QVWRI&RJQLWLYH1HXURVFLHQFH5XKU8QLYHUVLW\
%RFKXP
((( S'HWHFWLRQRIPDJQHWLF¿HOG
LQFOLQDWLRQE\KRPLQJSLJHRQVLQDQRYHOFRQGLWLRQLQJ
SDUDGLJP0/$&(5%,93%,1*0$1&9025$
%RZOLQJ*UHHQ6WDWH8QLY
((( &RQGLWLRQHGGHWHFWLRQRIPDJQHWLF¿HOG
LQWHQVLW\VORSHGLUHFWLRQE\KRPLQJSLJHRQVLQDQRYHO³YLUWXDO
PDJQHWLFPDS´WDVN&9025$93%,1*0$1%RZOLQJ
*UHHQ6WDWH8QLY
((( %LODWHUDOOHVLRQRIQXFOHXVVXESUHWHFWDOLV
LQWHUVWLWLRSUHWHFWRVXESUHWHFWDOLV63,36VHOHFWLYHO\LPSDLUV
¿JXUHJURXQGGLVFULPLQDWLRQLQSLJHRQV0-$&(5%22
)/$=$5(9$(6&8//<.*22':,18QLYRI,RZD
'UDNH8QLY
((( 6HDVRQDOGLIIHUHQFHVLQKLSSRFDPSXV
YROXPHLQDVFDWWHUKRDUGLQJ&RUYLGWKHEOXHMD\.
/*28/'50%5$171(5.(52%(5767-
'(922*'/XWKHU&RO&RUQHOO8QLY
((( 5DSLGFKDQJHVLQQHXURQDOUHFUXLWPHQW
DSRSWRVLVDQGEHKDYLRUGXULQJVHDVRQDOUHJUHVVLRQRIWKH
DYLDQVRQJFRQWUROV\VWHP7/$562117+$75$(
%5(12:,7=8QLYRI:DVKLQJWRQ6HDWWOH
((( ([SORULQJJHQGHUGLIIHUHQFHVLQGRSDPLQH
QHXURQSK\VLRORJ\FRQQHFWLYLW\DQGEHKDYLRU$&+81*
/6=:(,)(/8QLYRI:DVKLQJWRQ8QLYRI:DVKLQJWRQ
((( 6HDVRQDOFKDQJHVLQVHOHFWLYLW\IRU
LQGLYLGXDOPDOHVRQJLQDIHPDOHVRQJELUGEDVDOJDQJOLD
QXFOHXV*'(*522)&32,5,(5,*(25*(0
+$86%(5*(5$9$1'(5/,1'(18QLYRI$QWZHUS
8QLY5HQQHV
((( (IIHFWVRIEUHHGLQJFRQGLWLRQDQGVH[RQ
YROXPHDQG)R[3H[SUHVVLRQLQWKHVRQJFRQWUROV\VWHP
RIEODFNFDSSHGFKLFNDGHHV3RHFLOHDWULFDSLOOXV/6
3+,//025(+/0$&*,//,95$<60$57,163
52$&+.5:,/621'DOKRXVLH8QLY'DOKRXVLH8QLY
((( (VWUDGLROVHOHFWLYHO\HQKDQFHVDXGLWRU\
IXQFWLRQLQPRQRWRQLFDOO\GULYHQIRUHEUDLQQHXURQV0
/&$5$6(%5(12:,7=(:58%(/8QLYRI
((( (IIHFWVRISKRWRSHULRGDQGVRFLDOFRQWH[W
RQVRQJDQGGRXEOHFRUWLQH[SUHVVLRQLQWKH+9&RIFDQDULHV
%$$/:$5'7-67(9(1621.<3(1*0/
5286(:'0$<(6-%$/7+$=$57*)%$//7KH
-RKQV+RSNLQV8QLY8QLYRI/LHJH
((( 7HVWRVWHURQHLQGXFHGVLQJLQJLQ$GXOW
)HPDOH&DQDULHV0RGXODWLRQRI10HWK\O'$VSDUWDWH
UHFHSWRUVXEXQLWH[SUHVVLRQLQUHODWLRQWRPDOHOLNHVLQJLQJ
EHKDYLRU0/5286(-56'$1*(/0$-(5*)
%$//7KH-RKQV+RSNLQV8QLY
((( &RQVXPPDWRU\VH[XDOEHKDYLRU
LQGXFHV)RVH[SUHVVLRQLQVHURWRQHUJLFFHOOJURXSVRIPDOH
-DSDQHVHTXDLO2,<,/,.&,6%$;7(5$32'/,6.<-
%$/7+$=$57*)%$//-RKQV+RSNLQV8QLY8QLYRI
/LHJH
3267(5
1RYHO(OHFWURSK\VLRORJLFDO0HWKRGV,,,
3267(5
1HXURHWKRORJ\6HDVRQDODQG6H['LIIHUHQFHV
((( 6HDVRQDOKRUPRQDODQGEHKDYLRUDO
GHWHUPLQDQWVRIPHGLDODQGGRUVDOFRUWH[YROXPHDQG
QHXURJHQHVLVLQWKH:HVWHUQ)HQFH/L]DUG6FHORSRUXV
RFFLGHQWDOLV'53)$866)5(1&+&675$1'
&DOLIRUQLD3RO\WHFKQLF6WDWH8QLYHUVLW\6DQ/XLV2ELVSR
8WDK6WDWH8QLY
S
((( $QLPPRELOL]DWLRQPHWKRGIRUELRVHQVRUV
ZLWKSUHVHUYHGHQ]\PHVSHFL¿FLW\&RQVHTXHQFHVIRU
JOXWDPDWHGHWHFWLRQLQWKHFHQWUDOQHUYRXVV\VWHP6
0$5,1(6&2&0$8&/(57/,(87$8''%$5%,(5
19$6</,(9$,16(5088&%/\RQ,,QVWGH
QDQRWHFKQRORJLHVGH/\RQ,16$
((( 'HYHORSPHQWDOFDQQDELQRLGWUHDWPHQW
SHUVLVWHQWO\DOWHUVD[RQDO1)DQGGHQGULWLF0$3
H[SUHVVLRQLQWHOHQFHSKDOLFUHJLRQVLPSRUWDQWWRYRFDOOHDUQLQJ
07*,/%(57.62'(567520%URG\6FKRI0HG
((( S
9HVLFXODUJOXWDPDWHWUDQVSRUWHU
H[SUHVVLRQLVVH[XDOO\GLPRUSKLFLQWKH]HEUD¿QFK
KLSSRFDPSXV<90$.(<(9$7&0(1'(=1/
7+(51&-6$/'$1+$'-%$,/(<6W1RUEHUW&RO
$PHULFDQ8QLY
((( +RZPDQ\FRUWLFDOQHXURQVFRQWULEXWH
WRHSLGXUDO((*"%7(/(1&=8.61%$.(55
.(037(5*&85,28QLWpGH1HXURVFLHQFHV,QIRUPDWLRQ
&RPSOH[LWp&156&KDULWp8QLYHUVLWlWVPHGL]LQ%HUOLQ
,QVWRI1HXURVFLHQFH1HZFDVWOH8QLY'HSWRI%LRORJ\
+XPEROGW8QLYHUVLWlW]X%HUOLQ
((( S(OHFWURFRUWLFRJUDSK\RIIDFHDQGSODFH
VSHFL¿FLW\GXULQJYLVXDOQDPLQJ&5&211(5&0
.$',3$6$2*/87$3,(7(5617$1'2187+RXVWRQ
87+RXVWRQ
((( (YHQWUHODWHGRVFLOODWRU\FRXSOLQJ
EHWZHHQWKHWDDQGKLJKJDPPDGXULQJVWLPXOXVDQG
UHVSRQVHSURFHVVLQJIRUPVWZRWUDQVLHQWFRUWLFDOFOXVWHUV
GXULQJPRWRUSHUIRUPDQFH6'h56&+0,'++,15,&+6
)48$1'7&5(,&+(5780.5b0(557.1,*+7
()&+$1*1&521(-:5,(*(52WWRYRQ*XHULFNH
8QLY0DJGHEXUJ8QLYHUVLWlWVNOLQLNXP6FKOHVZLJ+ROVWHLQ
8QLYRI&DOLIRUQLD8QLYRI&DOLIRUQLD-RKQV+RSNLQV0HG
,QVWLWXWLRQV&DUOYRQ2VVLHW]N\8QLY
((( 0LFURGULYHDVVHPEO\IRUFKURQLFWHWURGH
UHFRUGLQJLQFRQMXQFWLRQZLWKRSWRJHQHWLFVWLPXODWLRQDQG
LQWUDFUDQLDOGUXJLQIXVLRQ50'(*8=0$1+7%/$,5
8&/$3V\FKRORJ\'HSW
((( $XWRPDWHGLQWUDFHOOXODUUHFRUGLQJ
$,5V\VWHPIRUPXOWLFHOOXODUUHFRUGLQJLQYLYR.27$
70$7680272<<$=$.,68*,<$0$768=8.,
$.$026+,'$0085$<$0$5,.(1%6,1DWO
,QVWUXPHQWV-DSDQ&RUS
((( S,QWUDFRUWLFDOSUREHDUUD\VZLWKVLOLFRQ
EDFNERQHDQGPLFURHOHFWURGHVRQWKLQSRO\LPLGHZLQJV<
/(('026(57+2/=+$00(583)525,(3$
.,/,$68(*(57:)$1*23$8/3587+(58QLY
RI)UHLEXUJ1DWO7VLQJ+XD8QLY8QLYRI)UHLEXUJ8QLYRI
)UHLEXUJ1DWO7VLQJ+XD8QLY
((( 6LPXOWDQHRXVUHFRUGLQJRIXQLWDU\
DFWLYLWLHVIURPGHQWDWHJ\UXV&$DQG&$UHJLRQVRIWKH
KLSSRFDPSXVLQEHKDYLQJUDWVZLWKDFXVWRPL]HGPXOWL
HOHFWURGHDUUD\+;80&+6,$2'621*7:
%(5*(586&
((( 0XOWLIXQFWLRQDOELRFKLSIRUVLPXOWDQHRXV
UHDOWLPHPHDVXUHPHQWRIDGKHVLRQDQGHOHFWULFDODFWLYLW\
RIQHXURQVLQFXOWXUH0.+5$,&+(-087+86:$0<
$UL]RQD6WDWH8QLY
((( +\EULG0(*05,IRULPSURYHGZRUNÀRZ
DQGDFFXUDWHFRUHJLVWUDWLRQ.&-=(9(1+29(1-
'$%(.-21,(0,1(1379(6$1(16$/$1.2
$9=+'$129-/820$+$$5$<+68)/,1-
3(177,/b-30b.(/b/73$5..21(1-+$66(/
-6,02/$$,$+21(15-,/021,(0,$DOWR8QLY
9777HFK5HV&WURI)LQODQG$LYRQ2\+HOVLQNL8QLY
&HQWUDO+RVS(OHNWD2\
((( 0XOWLVLWHHOHFWULFDOVWLPXODWLRQLQWHJUDWHG
RQ¶KLJKGHQVLW\PLFURHOHFWURGHDUUD\V0($VUHYHDOV
WKHHIIHFWLYHFRQQHFWLYLW\RIGLVVRFLDWHGQHXURQDOFXOWXUHV$
0$&&,21(71,(86$6,0,+$0,1/%(5'21',1,
,QVW,WDOLDQR'L7HFQRORJLD
((( +LJKWKURXJKSXWPLFURHOHFWURGHVDUUD\V
IRUQHWZRUNHOHFWURSK\VLRORJ\-526665$-$5$0$1
$[LRQ%LRV\VWHPV,QF$[LRQ%LRV\VWHPV
((( 'LUHFWUHFWLI\LQJLQGXFWLYHVWLPXODWLRQ
IRUHQHUJ\HI¿FLHQWZLUHOHVVQHXUDOLQWHUIDFHV6+$0
.+5$,&+(*6,/9$*&$8:(1%(5*+68&6'
8&6'8&6'8&6'
((( 7KHEUDLQVWDUSURMHFW7RZDUGVD
PLQLDWXUL]HGPLFURV\VWHPIRUZLUHOHVVEUDLQVWLPXODWLRQ
DQGUHFRUGLQJLQURGHQWV6086$'352'$1290
:(/.(1+8<6(1.9$1.8<&.:9$1$&.(1.
7$+21$5$(659$13/$1&.($$1'5(,$
$+1$28-9$1)/(7(5(1%187,1<*((576
:+'5,1.(1%85*'.%$/6&+81:(%(5/(
,0(&Y]Z/HXYHQ%HOJLXP/DERI([SWO1HXURVXUJDQG
1HXURDQDWRP\/DERI%LRO3V\FKRORJ\.DWKROLHNH8QLY
/HXYHQ/HXYHQ%HOJLXP,&VHQVH/HXYHQ%HOJLXP&16
1HXURVFL-DQVVHQ3KDUPDFHXWLFD19%HHUVH%HOJLXP
&WUIRU0LFURV\VWHPV7HFKQRO*KHQW8QLY*KHQW%HOJLXP
((( /RQJWHUPVWDELOLW\RIQHXUDOSDWWHUQVLQ
VRQJELUGVUHYHDOHGE\FDUERQ¿EHUHOHFWURGHDUUD\V:$
/,%(57,,,,**8,7&+28176-(0$5.2:,7=7-
*$5'1(5%RVWRQ8QLY%RVWRQ8QLY
((( 8QLWUHFRUGLQJFDSDELOLW\RID3('27,/
FRDWHGXOWUDORZLPSHGDQFHHOHFWURGH='8;/82&
:($9(5;7&8,8QLYRI3LWWVEXUJK8QLYRI3LWWVEXUJK
8QLYRI3LWWVEXUJK4LQJGDR8QLYRI6FLDQG7HFKQRO
((( S
0XOWLEDQGFRKHUHQFHDQGVWUXFWXUDO
FRQQHFWLYLW\FRUUHODWHZLWKLQIRUPDWLRQÀRZGXULQJODQJXDJH
SURFHVVHVLQKXPDQV&0.$',3$6$2*/8&5
&211(5.)256(7+17$1'218QLYRI7H[DV0HG
6FK$W+RXVWRQ87+RXVWRQ5LFH8QLY87+RXVWRQ
((( &RPELQDWLRQDOHIIHFWVRIW'&6DQG
XOWUDVRXQGRQH[FLVHGUDWEUDLQ':*8/,&.%&
72:($UL]RQD6WDWH8QLY
((( 2SWLFDOQHXUDOUHFRUGLQJEDVHGRQVXIDFH
SODVPRQUHVRQDQFHSKHQRPHQD6.,06-816.,0
*HRUJLD,QVWRI7HFKQRO6HRXO1DWO8QLY(ZKD:RPDQV
8QLY
((( (YDOXDWLRQRIPXOWLZHOOPLFURHOHFWURGH
DUUD\VIRUQHXURWR[LFLW\VFUHHQLQJXVLQJDFKHPLFDO
WUDLQLQJVHW(0&&211(//-52660$0&&/$,1
:5/()(:7-6+$)(5$[LRQ%LRV\VWHPV$[LRQ
%LRV\VWHPV86(QYUQ3URWHFWLRQ$JHQF\
3267(5
1RYHO(OHFWURSK\VLRORJLFDO0HWKRGV,9
((( S
$XGLWRU\VWHDG\VWDWHUHVSRQVHLQIUHH
¿HOGFRQGLWLRQV$XVHIXODSSURDFKIRUDVVHVVLQJKHDULQJ+
+(51$1'(=$7255(6&XEDQ1HXURVFL&WU&XEDQ
1HXURVFL&WU
((( $FXWHEUDLQVOLFHSUHSDUDWLRQPHWKRG
IURPROGURGHQWV6+8$1*0<886,6$$5,2NLQDZD
,QVWRI6FLDQG7HFKQRO2NLQDZD,QVWRI6FLDQG7HFKQRO
+HEUHZ8QLY
((( 5HOLDEOHDQDO\VLVRIVLQJOHXQLWDFWLYLW\LQ
ORQJWHUPUHFRUGLQJVIURPWKHKXPDQPHGLDOWHPSRUDOOREH
-1,(',(.-)$%(59$&2(1(1&((/*(5)
0250$118QLYRI%RQQ8QLYRI%RQQ
((( *OX&O,90YHUVLRQ$QLPSURYHGWRRO
IRUQHXURQDOVLOHQFLQJ6-)5$=,(5%1&2+(1+$
/(67(5&DOWHFK
((( 0LFURÀXLGLFGHYLFHVIRU
HOHFWURSK\VLRORJLFDOVFUHHQLQJRIGUXJDFWLRQVLQQHPDWRGHV
-&:((.6:052%(576.-52%,162165
/2&.(5<8QLY2UHJRQ
S
))) 7KHFRUWLFDOPXOWLIRFDOYLVXDOHYRNHG
SRWHQWLDOUHYLVLWHG7-*$:1(5&+2::-.5$)7
.4&+$1*8QLY$ODEDPD%LUPLQJKDP8$%$XEXUQ
3267(5
))) /LQNLQJELRORJLFDODQGDUWL¿FLDO
QHXURQDODVVHPEOLHVWRUHVWRUHORVWEUDLQIXQFWLRQV0
&+,$33$/21()',)$7267$9(51$30$662%5,2
7/(9,3%21,)$=,,WDOLDQ,QVWRI7HFKQRO8QLYRI
*HQRYD&1567HO$YLY8QLY
))) $XGLWRU\PLVPDWFKQHJDWLYLW\UHYHDOHG
E\DFXVWRPPDGHZLUHOHVV((*GHYLFH%HQFKPDUNZLWK
DFRPPHUFLDOO\DYDLODEOH((*V\VWHP-'8$11&/,1
6/,$1*-<(1-&+28</,1-&+,28&KLQD0HG
8QLY&KLQD0HG8QLY8QLYRI&DOLIRUQLD6DQ'LHJR1DWO
&KLDR7XQJ8QLY1DWO&KLDR7XQJ8QLY
))) 6WUXFWXUHGQHXURQDOQHWZRUNV
LQYHVWLJDWHGE\KLJKUHVROXWLRQ0($V$6,0,$%26&$
$0$&&,21(71,(86)%5$1',6'$17(/
%(5'21',1,)RQGD]LRQH,QVW,WDOLDQR'L7HFQRORJLD
)RQGD]LRQH,QVW,WDOLDQR'L7HFQRORJLD
))) 2SWLPL]DWLRQRIFRUWLFDOVLOHQWSHULRG
PHWKRGRORJ\LQDFRQWUROFRKRUW-++6,(+'-67(,1
)0+2:(//68QLYRI&DSH7RZQ8QLYRI&DSH7RZQ
8QLYRI&DSH7RZQ
))) ,PSURYHGPHWKRGVIRUDFXWHEUDLQ
VOLFHSUHSDUDWLRQIURPDGXOWDQGDJLQJDQLPDOV3DUW,,
*OXWDWKLRQHGHSOHWLRQXQGHUOLHVUDSLGGHWHULRUDWLRQRIDGXOW
EUDLQVOLFHV-77,1**)(1*0F*RYHUQ,QVW)RU%UDLQ
5HV$W0,7
))) 'UXJLQGXFHGVHL]XUHVHYDOXDWHGE\
VWDQGDUGL]HGPLGGOHWKURXJKSXWLQYLWURKLSSRFDPSDOEUDLQ
VOLFHDVVD\0526$726,5,$8*2/,1,&9,5*,1,20
$&256,$378,70HG5HV&WU$SWXLW9HURQD6UO
))) 5HPRYDORIHOHFWURFDUGLRJUDSKLFDUWLIDFWV
IURPWUXQNHOHFWURP\RJUDSK\UHFRUGLQJVLQLQGLYLGXDOVZLWK
VSLQDOFRUGLQMXU\6$6/$11%$-$-01,7=.(1$(/
%$=$929(&+.,18QLY/RXLVYLOOH8QLY/RXLVYLOOH
))) (I¿FLHQWFRGLQJRIYRFDOWUDQVLWLRQV
UHYHDOHGE\VSDUVHV\QDSWLFDFWLYLW\LQWKHVLQJLQJELUG.
+$0$*8&+,,<221%5'21$/'50221(<
'XNH8QLY'XNH8QLY'XNH8QLY'XNH8QLY
))) ,QYLYRUHFRUGLQJVZLWKRUJDQLFWUDQVLVWRU
EDVHGGHYLFHV7'28%/(7'.+2'$*+2/<0
*85),1.(/(,60$,/29$3348,/,&+,1,3/(/(8;
$*+(67(07+(59(*0$//,$5$6&%(51$5'
,16(508(FROH1DWLRQDOH6XSpULHXUHGHV0LQHVGH
6DLQW(WLHQQH0LFURYLWDH
))) 8VLQJH[WUDFHOOXODUKLJKUHVROXWLRQ
PLFURHOHFWURGHDUUD\UHFRUGLQJVWRHVWLPDWHLQWUDFHOOXODU
IHDWXUHVRIFXOWXUHGQHXURQV'-b&.(/'-%$..80
05$',92-(9,&-0h//(50),6&(//$8)5(<)
)5$1.($+,(5/(0$11(7+=ULFK4XDQWLWDWLYH%LRO
&WU
))) $ZHDUDEOHHOHFWURQLFGHYLFHIRU
QHXURSODVWLFLW\VWXGLHV.%52:1)'(&$59$/+2(
5:,//,$06$-$&.62105%$.(561%$.(5
8QLYRI1HZFDVWOH
S
))) &RQFDWHQDWHGSKDVHWHPSODWHIRU
DQDO\]LQJVWHDG\VWDWHYLVXDOHYRNHGUHVSRQVHV7
6+,12=$.,<1$586(+80(+$5$1,&7
))) 7HVWLQJIRUHIIHFWVRIVWLPXOXVFDWHJRULHV
UHODWLYHWREDFNJURXQG¿ULQJ3167(,10(7=&.
7+253%DUURZ1HXURORJ,QVW'HYLFL[//&
))) %UDLQZLGHV\QFKURQL]DWLRQXQGHUO\LQJ
FRUWLFDOUHVWLQJVWDWHQHWZRUNV7:%221675$6
0(+5.$12210%5($.63($58QLYRI1HZ6RXWK
:DOHV988QLY$PVWHUGDP4XHHQVODQG,QVWRI0HG5HV
))) +LHUDUFKLFDODQDO\VLVLQWKHKXPDQEUDLQ
FRQQHFWLYLW\QHWZRUNV-/((</,0:/,0.-81*'
.,0.$,67.$,67
))) 7DVNUHODWHGFRPSRQHQWDQDO\VLVIRU
IXQFWLRQDOQHXURLPDJLQJDQGDSSOLFDWLRQWRQHDULQIUDUHG
VSHFWURVFRS\GDWD+7$1$.$7.$785$+6$72
-DSDQ$GYDQFHG,QVWRI6FLDQG7HFKQRO+LWDFKL/WG
))) 7KHRQOLQHEUDLQDWODVUHFRQFLOLDWLRQWRRO
$ZHEDSSOLFDWLRQIRUPULDWODVH[SORUDWLRQDQGPXOWLDWODV
ODEHOLQJ&--2+1621330,75$-:%2+/$1'
%RVWRQ8QLY&ROG6SULQJ+DUERU/DE%RVWRQ8QLY
))) 6SDWLDOFRKHUHQFHLQI05,1HZ
SDUDGLJPVIRUGDWDSURFHVVLQJDQGH[SHULPHQWDOGHVLJQ%
27851(5(-3$8/'5$0$6$0<$:$'+:$)
*$6+%<80$'+2:8QLYRI&DOLIRUQLD6DQWD%DUEDUD
8QLYRI&DOLIRUQLD6DQWD%DUEDUD
))) $FFHVVLQJFDXVDOLQIRUPDWLRQYLD(&R*
DQDO\VLVRQWKH0DFDTXHPRQNH\507+20$6&
.(<6(561HWKHUODQGV,QVW)RU1HXURVFL
))) 0HDVXUHVRIUHOLDELOLW\RIWUDQVFUDQLDO
PDJQHWLFVWLPXODWLRQEDVHGFRUWLFDOPHDVXUHVLQSUR[LPDO
PXVFXODWXUH-6+$50$'&811,1*+$0&%211(7
$:<$17'-$1,1,-+28*+<8((%3/2:
&OHYHODQG&OLQ&DVH:HVWHUQ5HVHUYH8QLY&DVH:HVWHUQ
5HVHUYH8QLY&OHYHODQG&OLQ.HVVOHU)QGQ5HV&WU
))) &ODVVL¿FDWLRQRIVLQJOHIXQFWLRQDO
PDJQHWLFUHVRQDQFHLPDJLQJVFDQVRIVXEMHFWGULYHQ
FRJQLWLYHVWDWHVXVLQJVXSSRUWYHFWRUPDFKLQHV$ZLWKLQ
VXEMHFWVWXG\1(1$:$+$1'21,&78QLYHUVDO
&RPPXQLFDWLRQ5HV,QVW
))) $FFRXQWLQJIRUDUWLIDFWVLQGXFHGE\
EUDLQPRWLRQLQWZRSKRWRQFDOFLXPLPDJLQJ%:22'6
$9$=48(=:)(''<6.,0&DUQHJLH0HOORQ8QLY
8QLYRI3LWWVEXUJK
))) 5HFRUGLQJDQGHYDOXDWLQJHOHFWULFDOO\
HYRNHGUHVSRQVHVLQKLSSRFDPSDOVOLFHVXVLQJDSODQDU
PXOWLHOHFWURGHDUUD\DQGVWDQGDUGDQGLQYHUVHFXUUHQW
VRXUFHGHQVLW\DQDO\VLV+:.,7$085$77$7(12
+RNDLGR8QLY
))) 7KHDGYDQWDJHVRIXVLQJSRSXODWLRQ
GHFRGLQJWRDQDO\]HQHXUDOGDWDDQGD0DWODEGHFRGLQJ
WRROER[(00(<(560,7
))) )XQFWLRQDOFRQQHFWLYLW\XVLQJVHP
ZLWKIPULLPSOLFDWHVWKHFHUHEHOOXPLQZRUNLQJPHPRU\
LQHI¿FLHQF\LQVFKL]RSKUHQLD.-81*76:22':$5'
8QLYRI%ULWLVK&ROXPELD%&0HQWDO+OWKDQG$GGLWLRQV
5HV,QVW
))) 7KUHHGLPHQVLRQDOUHDOWLPH
HOHFWURSK\VLRORJLFDOIXQFWLRQDOPDSSLQJRIHORTXHQWFRUWH[
3%5811(5$*81'8='*837$$/5,7$&&,2
0$$'$02+%,6&+2)*6&+$/.:DGVZRUWK&WU
1<6'2+$OEDQ\0HG&RO*UD]8QLYRI7HFKQRO8QLYRI
)ORULGD$OEDQ\0HG&RO:DVKLQJWRQ8QLY6FKRI0HG
5HQVVHODHU3RO\WHFKQLF,QVW6WDWH8QLYRI1HZ<RUNDW
$OEDQ\
'DWD$QDO\VLVDQG6WDWLVWLFV,
))) $WRROER[IRUFRPSXWDWLRQDOPROHFXODU
QHXURDQDWRP\3*5$1*(-:%2+/$1'0
+$:5</<&=330,75$&ROG6SULQJ+DUERU/DE%RVWRQ
8QLY$OOHQ,QVWIRU%UDLQ6FL
))) $VROXWLRQWRLGHQWLI\LQJQHXURQHVXVLQJ
H[WUDFHOOXODUDFWLYLW\LQDZDNHDQLPDOVDSUREDELOLVWLF
PDFKLQHOHDUQLQJDSSURDFK*9$1',-&.009$1
+8//(:;3$1-7'8'0$16$+(,1(30
%/$=48(=+0(1*'($1*(/$.,$$5(1=7:
0$5*5,($02672),6('*/(<)%(1*76621&
(.(527+-g517(//7+2/7=0$1.DWKROLHNH8QLY
/HXYHQ8QLYRI&DPEULGJH-DQHOLD)DUP5HV&DPSXV
:DVKLQJWRQ8QLY:DVKLQJWRQ8QLY6FKRI0HG7KH1DWO
,QVWIRU0HG5HV8QLYRI&DPEULGJH/XQG8QLY
))) 7KHPRXVHEUDLQDUFKLWHFWXUHSURMHFWZHE
SRUWDO%9*$/%5$,7+-:%2+/$1'1-$.,02*
=+$9.,193,16.,<330,75$%RVWRQ8QLY%RVWRQ
8QLY&ROG6SULQJ+DUERU/DE
))) $)LQLWH5DWHRI,QQRYDWLRQDOJRULWKP
IRUVSLNHGHWHFWLRQIURPWZRSKRWRQFDOFLXPLPDJLQJ6
56&+8/7=-2f$7,9,$-85,*h(13'5$*277,
,PSHULDO&RO,PSHULDO&RO
))) &RQQHFWRPHZLGHJHQRPHZLGHVFDQRI
\RXQJDGXOWVGLVFRYHUVFRPPRQJHQHWLFYDULDQWDVVRFLDWHG
ZLWKGHPHQWLDVHYHULW\LQWKHHOGHUO\1-$+$16+$'
;+8$35$-$*23$/$1'+,%$5$:72*$&
5-$&.-50::(,1(56(0('/$1'*:
0217*20(5<./0&0$+21*,'(=8%,&$5$<
1*0$57,10-:5,*+7307+2036218&/$
0D\R&OLQ8&6)4XHHQVODQG,QVWRI0HG5HV8QLYRI
4XHHQVODQG
))) &DXVDOIXQFWLRQDOFRQWULEXWLRQVGHULYHG
E\JDPHWKHRU\IURPGH¿FLWVDIWHUVWURNH0=$9$*/,$
1')25.(57%&+(1**7+20$//$&&
+,/*(7$*8QLY0HG&WU+DPEXUJ(SSHQGRUI-DFREV
8QLY%UHPHQ8QLY0HG&WU+DPEXUJ(SSHQGRUI%RVWRQ
8QLY
))) ,VVSDWLDOVPRRWKLQJRII05,GDWD
XQDFFHSWDEO\PLVOHDGLQJ"57851(50D[3ODQFN
,QVWLWXWH)RU+XPDQ&RJQLWLYHDQG%UDLQ6FL
))) $SRLQWSURFHVVVWXG\RIWKHVSLNLQJ
DFWLYLW\DQGG\QDPLFVRILQIHULRUFROOLFXOXVQHXURQV(
3/285'(752'(++/,0(1%52:18QLY'H
6KHUEURRNH+DQQRYHU0HG8QLY8QLYRI0LQQHVRWD0,7
0DVVDFKXVHWWV*HQ+RVS+DUYDUG0HG6FK
))) %LRPHFKDQLFDOµ)LQJHUSULQW¶5HFRJQLWLRQ
'$853%2,66<5(':$5'606-2*)5$+,0,
/=+8&'89$/8QLYRI9LFWRULD8QLYGH6KHUEURRNH
8QLYRI:HVWHUQ2QWDULR8QLYGX4XpEHFj0RQWUpDO
))) $XWRPDWLFVSDWLDOLGHQWL¿FDWLRQDQG'
WUDFNLQJRISHULLQIDUFWGHSRODUL]DWLRQVLQLVFKHPLFUDWEUDLQ
XVLQJIDVW$'&05,3*0(121$.+$5/$0299
(<86+0$12965<87=<3$6&+251$&.(
&:,(1(5)(%2$'$6&-21(6&DUQHJLH0HOORQ
8QLY$65,$OOHJKHQ\*HQ+RVS8QLYRI3LWWVEXUJK
$65,$OOHJKHQ\*HQ+RVS
))) &RH[SUHVVLRQSUR¿OLQJRIDXWLVPJHQHV
LQWKHPRXVHEUDLQ,0(1$6+(3*5$1*((&
/$56(16%$1(5-((%$68330,75$0LQGVSHF,QF
&ROG6SULQJKDUERU/DE
))) $VRIWZDUHWRROVHWIRUUDSLGVFRULQJDQG
DQDO\VLVRI((*GDWD++$5021(/$.(56'$
-2+1621(1$</253LQQDFOH7HFKQRO
))) 1RQLQYDVLYHDVVHVVPHQWRIKXPDQ
QHXURPDJQHWLFRVFLOODWRU\DFWLYLW\GXULQJHOHFWULFFXUUHQW
VWLPXODWLRQRIWKHEUDLQ(*$5&Ë$&266,20
:,7.2:6.,6(52%,1621)/%5$6,//*
&2+(11%,5%$80(56562(.$'$5$SSOLHG
1HXURWHFKQRORJ\8QLY+RVS7ELQJHQ$SSOLHG
1HXURWHFKQRORJ\8QLYHUVLW\+RVS7ELQJHQ1,+1,+,QVW
RI0HG3V\FKRORJ\DQG%HKDYLRUDO1HXURELR
))) $QDO\VLQJFRUUHODWHGGDWD+7+,-6
,%LRVWDW
))) $QHQHUJ\HI¿FLHQWQHXURQPRGHOZLWK
JHQHUDOL]HGLQYHUVH*DXVVLDQLQWHUVSLNHLQWHUYDOGXUDWLRQV
-;,1*:%/(9<7%(5*(58QLYRI9LUJLQLD8QLYRI
9LUJLQLD
3267(5
'DWD$QDO\VLVDQG6WDWLVWLFV,,
))) ,QVFDQQHUPRWLRQELDVHVDXWRPDWHG
PHDVXUHVRIVWUXFWXUDO05,EUDLQPRUSKRPHWU\$)
$/(;$1'(5%/2&+0672&.0$1/&/$6(1
)/$/21'($5$=1$+$1-*,(''1,0+8QLYRI
&DPEULGJH1,0+
))) &RPSDULVRQRIWHVWUHWHVWUHOLDELOLW\
RIEUDLQJUDSKVGXULQJUHVWLQJVWDWHDQGDFWLYHWDVN
FRQGLWLRQV+&$203/,&+7$+:$/7(56:,77
05,(76&+(/6&,&+218%5$81$0(<(5
/,1'(1%(5*+7267&HQWUDO,QVWRI0HQWDO+OWK
&KDULWp8QLYHUVLWlWVPHGL]LQ%HUOLQ8QLYRI%RQQ
))) S
7KHQRVHNQRZVEXWWKHH\HGRHVQRW
$XWRPDWHGLPDJHDQDO\VWGHYHORSPHQWIRUFDOFLXPLPDJHV
RI$:&ROIDFWRU\QHXURQLQ&HOHJDQV$3$50,'*(&
%58**(0$111/¶(72,/(-<281*0LOOV&RO8QLY
RI&DOLIRUQLD6DQ)UDQFLVFR
))) $QRYHOVSLNHVRUWLQJDOJRULWKPEDVHG
RQGHQVLW\LQLWLDOL]DWLRQRIIX]]\FPHDQVFOXVWHULQJ*
'28&(7+6(00$28,-&0$57,1(=758-,//2
06$:$10F*LOO8QLY(FROH3RO\WHFKQLTXHGH0RQWUHDO
0F*LOO8QLY
))) ([WUDFWLQJIXQFWLRQDOEUDLQQHWZRUNV
IURPKXPDQUHVWLQJVWDWHHOHFWURFRUWLFRJUDSK\XVLQJ
VSDWLRVSHFWUDOGHHSEHOLHIQHWZRUNDQDO\VLV=9
)5(8'(1%85*0-9$167((16(/0*
%/(,&+1(5&*$21$06+$50$'%81'<5
%3/(661)5$06(<(&/(87+$5'780&
8WUHFKW5XGROI0DJQXV,QVW:DVKLQJWRQ8QLYLQ6W/RXLV
:DVKLQJWRQ8QLYLQ6W/RXLV:DVKLQJWRQ8QLYLQ6W/RXLV
))) 'LIIHUHQFHVEHWZHHQ7%66DQG76$
$VWXG\RIEUDLQZKLWHPDWWHUSODVWLFLW\LQHDUO\EOLQGV<
/$2&%581<.$1*)/(325(2&2//,*121
)$/$5<-*((0'1(/6211/(325('HSW
RI5DGLRORJ\&KLOGUHQ¶6+RVS/RV$QJHOHVDQG8QLYRI
6RXWK'HSWRI5DGLRORJ\3HQQ,PDJH&RPSXWLQJDQG6FL
/DERUDWRU\8QLYRI3HQQV\OYDQLD'HSWRI3V\FKRORJ\8QLY
RI0RQWUHDO
))) 5HJLRQDOYDULDWLRQVLQWKHWLPHFRXUVHRI
((*I05,VLJQDOFRXSOLQJ+;,$0&2+(1'58$1
8QLYRI&DOLIRUQLD/RV$QJHOHV8&/$
S
))) $QDO\VLVRIWKHGLIIXVLRQZHLJKWHGIPUL
WLPHVHULHVFRPSDULQJEORFNDQGHYHQWUHODWHGGHVLJQV5-
:,//,$06-+2&.,1*.0&0$+21'&5(87(16
84&&5&WUIRU$GYDQFHG,PDJLQJ
))) $XWRPDWHGTXDQWL¿FDWLRQRI¿EHU
WUDFWGLIIXVLRQSUR¿OHVIRUFOLQLFDODQDO\VLVRIZKLWHPDWWHU
SURSHUWLHV-<($70$15)'28*+(57<10<$//
%$:$1'(//+0)(/'0$16WDQIRUG8QLY6WDQIRUG
8QLY
))) &RPSHQVDWRU\WUDQVFRPPLVVXUH¿EHUV
LQDSDWLHQWZLWKDJHQHVLVRIFRUSXVFDOORVXP&&+(1-
'8$110/8<+68&76$,&KLQD0HG8QLY+RVS
1DWO&KXQJ+VLQJ8QLY&KLQD0HG8QLY+RVS&KLQD
0HG8QLY8QLYRI&DOLIRUQLD6DQ'LHJR&KLQD0HG8QLY
+RVS&KLQD0HG8QLY
))) 4XDQWLI\LQJUHDOZRUOGPRYHPHQW
G\QDPLFVSRVWVWURNH</89$/85835$*+$9$1
1HZ<RUN8QLY7KH5XVN,QVWLWXWH1<80HG&WU7KH
5XVN,QVWLWXWH1<86FKRI0HG
))) &RPSDULVRQRIPRWRUDQGODQJXDJH
QHWZRUNVLGHQ¿HGE\HOHFWURFRUWLFDOVWLPXODWLRQDQGUHVWLQJ
VWDWHIXQFWLRQDO05,7-0,7&+(//&'+$&.(5
136=5$0$06+$50$'7%81'<03$+:$
-'%5(6+($56-66+,021<(&/(87+$5'7
0HG:DVKLQJWRQ8QLY6FKRI0HG:DVKLQJWRQ8QLY6FK
RI0HG
))) &HQWUDOLW\RIWKHPDPPDOLDQIXQFWLRQDO
EUDLQQHWZRUN0%(66(59($%$57(/6<
085$<$0$1./2*27+(7,603,IRU%LRO&\EHUQHWLFV
&WUIRU,QWHJUDWLYH1HXURVFLHQFH8QLYRI7ELQJHQ,PDJLQJ
6FLDQG%LRPHG(QJLQHHULQJ8QLYRI0DQFKHVWHU
))) 6NHOODPSURFHVVDQGLWVDSSOLFDWLRQLQ
PRGHOLQJQHXUDOVSLNHWUDLQV55$0(=$130$55,277
6&+(1285,8QLYRI:DWHUORR
))) 'HWHFWLRQRIWHPSRUDOVWUXFWXUHRI
QHXURQDOVSLNLQJJLYHQQRLV\VSDUVHGDWD3%.586.$/
$-6$'296.<-10$&/($18QLYRI&KLFDJR
))) 4XDQWLWDWLYHFRUUHFWLRQRIUHVLGXDOPRWLRQ
DUWLIDFWVLQUHVWLQJVWDWHI05,5.83/,&.,-+$/(
:&2%(5/<:.6,00216-%2'85.$36)
%(//*2:$1/DXUHDWH,QVW)RU%UDLQ5HV8QLYRI7XOVD
8QLYRI7XOVD
))) $FRPSDULVRQRIWKHEHUHLWVFKDIWV¿HOG
DQGEHUHLWVFKDIWVNRPSOH[LWlW6(52%,16216
562(.$'$50:,7.2:6.,$-0$1'(//5
&2332/$1,+1,0+8QLYRI7ELQJHQ8QLYRI&DOLIRUQLD
6DQ'LHJR1,+1,0+
))) 8WLOL]LQJFDZRUNVIRUQHXURLPDJLQJTXDOLW\
FRQWUROLQWKHELRFDUGSURMHFW75(,*(/$.2/$61<(
3267(//7%52:1-+(11(66(<%6&+1(,'(5
-RKQV+RSNLQV8QLY
))) $FURVVFRQGLWLRQFRPSDULVRQRIVSLNH
¿HOGDVVRFLDWLRQ.4/(3$*(***5(*25,280
$.5$0(56-*27760$2,5'(6,021(87
('(1%RVWRQ8QLY8QLYRI&UHWH1DWO,QVWRI0HQWDO
+OWK0,7
))) $JHQHUDOSXUSRVHORZFRVWVROXWLRQIRU
KLJKUHVROXWLRQWHPSRUDOV\QFKURQL]DWLRQLQKXPDQVXEMHFW
H[SHULPHQWDWLRQ0-$6:$%.(//,+$10&$1121
:'+$,5672160*25'21%/$1&('&6&RUS
'&6&RUS$UP\5HV/DE
))) 7KUHHGLPHQVLRQDOQHXURSKHQRW\SLQJ
RIDGXOW]HEUD¿VKEHKDYLRU8SGDWHVDFKLHYHPHQWVDQG
IXWXUHGLUHFWLRQV-&$&+$7&&2//,16(.<=$5
6*$,.:$'-*5((1$67(:$57$527+6
/$1'60$1)*5,(&257(*(/(1%26&+/
12/'86$.$/8())7XODQH8QLY0HG6FK1ROGXV
,QIRUPDWLRQ7HFKQRO=HEUD¿VK1HXURVFL5HV,QVW
=(1(5(,
3267(5
))) 3ULQFLSDOFRPSRQHQWVDQDO\VLVRIPRXVH
EHKDYLRULQDQRSHQ¿HOGHQYLURQPHQW-70&&$%(/%
78&.(5'HSWRI$QDWRP\3K\VLRO*HQHWLFV8QLIRUPHG
6HUYLFHV8QLY8QLIRUPHG6HUYLFHV8QLYRIWKH+OWK6FL
'DWD$QDO\VLVDQG6WDWLVWLFV,,,
))) $QDO\VLVRIQHXUDOQHWZRUNVWUXFWXUHE\
LQIRUPDWLRQJHRPHWULFPHDVXUH<1,(.$/,-)(//28

nanosymposium - SfN Web Services

Transcription

Similar documents