,668(
0$5&+
7(&+1,&$/-2851$/&20387(562)7+()5217,(5 6(&5(762)7+($5$.66<67(0 1(:5$&(*(70(',(9$/:,7+7+(%25$.$, (;3/25(7+(52&.522670,1,1*&2/21<±$%$1'21('25,6,7" &5($785(6&$5286,1**(77,1*6+27,17+(/(*$1'025(
7HFKQLFDO-RXUQDO &RPSXWHUV 1HZ,WHPV 6WDU6\VWHPV $UDNV6\VWHP +HQW] 1HZ5XOHV +LW/RFDWLRQ *HWWLQJ'UXQN $UFKHW\SHV +XPDQ6\VWHPV7HFKQLFLDQ
:L]DUGVRIWKH&RDVW,QFDVXEVLGLDU\RI+DVEUR,QFDQG DUH XVHG KHUH ZLWKRXW SHUPLVVLRQ :L]DUGV RI WKH &RDVW $OO 5LJKWV 5HVHUYHG 7KH IUHH GLVWULEXWLRQ RI WKLV UHYLVHG HGLWLRQ RI WKH RXWRISULQW JDPH V\VWHP LV QRW LQWHQGHGWRGHWUDFWLQFRPHIURP:L]DUGVRIWKH&RDVW
2QWKH&RYHU
,VVXH0DUFK
$ VFRXWLQJ VFLHQFH YHVVHO KDV GLVFRYHUHG D ODUJH DOLHQ FUDIW LQ RUELWRQWKHGDUNVLGHRIDGLVWDQWSODQHW,GRQ WNQRZLI, GZDQW WRJHWWRRFORVH .RUW.UDPHUF
)RUZDUG
7KRUPDQ5DLYHNQHOWE\WKHERG\DQGVHDUFKHGWKURXJKWKHKDLU FHUWDLQ KH¶G ILQG ZKDW KH ZDV ORRNLQJ IRU ³,W¶V JRW WR EH KHUH VRPHZKHUH´ ³:KDW DUH \RX ORRNLQJ IRU"´ FDPH D YRLFH IURP EHKLQG KLP ,W VRXQGHG 'UDODVLWH 7KRUPDQ VWRRG VWUDLJKWHQLQJ KLV ZLQJ PHPEUDQHVZLWKRXWWKLQNLQJ ³,ZDVVXSSRVHGWRPHHWKLPKHUH,QVSHFWRU+HZDVVXSSRVHG WR JLYH PH VRPHWKLQJ LPSRUWDQW WR P\ FDVH´ 2IILFHU 5DLYH ORRNHGDURXQGDWWKHVFHQH,WZDVPHVV\DQGKHGLGQ¶WZDQWWR EHWKHUH 7KH,QVSHFWRUORRNHGGRZQVPLUNHGDQGORZHUHGKLPVHOISLFNLQJ XSDVPDOOPHWDOOLFGLVNDWWDFKHGWRDKDLUSLHFH+HORRNHGDWLW FDUHIXOO\³7KLV LVHYLGHQFH\RXNQRZ
,Q WKLV QHZ VHFWLRQ ZH WDNH D W\SH RI WHFKQRORJ\ IRXQG WKURXJKRXW WKH IURQWLHU DQG H[SDQG FODULI\ RU GLVFXVVHV LW WKRURXJKO\)XWXUHDUWLFOHVLQWKH7HFKQLFDO-RXUQDOZLOOGHDOZLWK 5RERWV9HKLFOHV:HDSRQ7HFKQRORJ\DQG'HIHQVHV
&20387(56
E\$QGUHZ0RGUR
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
',))(5(1&(6:,7+ 02'(517(&+12/2*<
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
352*5$06
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
2873870(7+2'6
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
'HULYHGIURP-RKQ2OVVRQ¶VVRIWZDUHDQGLQVSLUHGE\DUFKLYHGGDWDIURP³5R\&ULVPDQ¶V8QLYHUVH´
$UDNV6\VWHP
$UDNV,
$UDNV,,
-RYLDQ [NP$8 [KRXUVVWDQGDUG\HDUV 5LQJHGPDQ\PRRQVH[WUHPHO\ YRODWLOHPDJPD
7\SH 2UELWDO5DGLXV
$UDNV,9
7HUUHVWULDO [NP$8 [KRXUVVWDQGDUG\HDUV 7KHRFUDWLFWHUUDIRUPHGKRPHZRUOGRI
$UDNV,9
$UDNV,,
7\SH 2UELWDO5DGLXV
$UDNV,,,+(17=
$UDNV,
$UDNV,,, +HQW]
7\SH 2UELWDO5DGLXV
1RWH1RWWRVFDOH
-RYLDQ [NP$8 [KRXUVVWDQGDUG\HDUV 0DQ\PRRQVRQHKDVWUDFHDWPRVSKHUH DQGSRODUFDSVEXWLVXQLQKDELWHG
7\SH 2UELWDO5DGLXV
5RFN3ODQHW [NP$8 [KRXUVVWDQGDUG\HDUV )DLOHGPLQLQJSODQHWFUDVKHGVWDUVKLS IDOVHXUDQLXPUHDGLQJV
6WDU'DWD
6WDU7\SH *9
$UDNV,
$UDNV , LV D JDV JLDQW WKDW KDV SODQHWDU\ ULQJV VPDOOPRRQVDQGODUJHPRRQVUHYROYHDURXQGLWLQ RGG F\FOHV 1RQH RI WKH PRRQV DUH KDELWDEOH WKRXJK WKH IRXUWK PRRQ $UDNV ,G PD\ KDYH VRPH PLQHUDOV IRU PLQLQJ )XWXUH H[SHGLWLRQV DUH QHFHVVDU\ WR YHULI\ LQLWLDO VFDQV $UDNV , LV YRODWLOH PDJPD PRVWO\ RQ LWV VRXWKHUQ D[LV SROH ZKLFKIDFHVWKHVWDUPRVWRIWHQ
$UDNV,,
$UDNV ,, LV DOVR D JDV JLDQW ,W KDV VPDOO PRRQV DQG ODUJH PRRQV 7KH ODUJHVW RI WKH PRRQV $UDNV ,,F LV WKH FXUUHQW QDPH KDV D WUDFH DWPRVSKHUHDQGVRPH SRODUFDSVEXWLVIDUWRRKRW IRUOLIHWRH[LVWVDIHO\
$UDNV,,,+(17=
'D\ KRXUV +\GURVSKHUH ,FH $WPRVSKHUH'HQVH%UHDWKDEOH &OLPDWH &&$YHUDJH& 7UDGH ,QGXVWULDO 1DWLYH/LIH 6SHFLDO *RYHUQPHQW 7KHRFUDF\ 3RSXODWLRQ'HQVLW\ +HDY\
/LIH)RUPV
5HFRUGV VKRZ WKDW QR LQWHOOLJHQW OLIH RULJLQDWHG RQ +HQW] 'XULQJ WKH WLPH RI WKH
%DFNJURXQG
'LVFRYHUHG LQ SI +HQW] ZDV WKH ILUVW FRORQ\ ZRUOG HVWDEOLVKHG E\ WKH
ZHOODVDWLPHRIJUHDWVFLHQWLILFOHDUQLQJDERXWERWK V\VWHPVWKHOLIHRQWKHSODQHWV WHUUDIRUPLQJDQG WUDQVSRUWDWLRQ 7KH JRYHUQPHQW RI :DORR ZDV VLPLODUO\ WUDQVSRUWHG LQ ZKROH WR +HQW] $W WKH HQG RI WKH \HDUV WKH JRYHUQPHQWV UHWXUQHG WR WKHLU SUHGLVDVWHUVWDWHV
3ROLWLFV
+HQW]LVUXOHGE\DUHOLJLRXVFODQWKH)DPLO\RI2QH 7KLV JRYHUQPHQW HYROYHG IURP WKDW RI WKH WUDQVSODQWHG JRYHUQPHQW IURP :DORR 3DYRU 7KH KHDG RI WKH JRYHUQPHQW LV D KLJK SULHVW EXW ORFDO SROLWLFV DUH KDQGOHG E\ 3ULHVWV DSSRLQWHG E\ WKH +LJK 3ULHVW DQG RYHUVHHQ E\ WKH +LJK 3ULHVW¶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¶VSROLWLFDOSRZHUDVZHOODVKLV JHQHUDO OHJDO HQIRUFHPHQW DELOLW\ XVH KLV 7HOHSDWK OHYHODVWKHOHJDOHQIRUFHPHQWOHYHOVKRZQEHORZ
/DZ
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
%LVKRS *RYHUQV 3URYLQFHV +DV D ERG\ RI 3HUVRQDOJXDUGVZLWKKLPDWDOOWLPHV&DQFDOORQ DUPHG DQG WUDLQHG
/DQJXDJH
$UJRQLDQ LV WKH ODQJXDJH RI WKH
$WWLWXGHV
$V D UHVXOW RI WKH XQLIRUPV ZRUQ E\ HYHU\RQH ZKR OLYHV RU ZRUNV RQ +HQW] RU ZRUNV IRU *2'&R ZKLFK GLVSOD\V WKHLU MRE DQG VRFLDO SRVLWLRQ WKH LQKDELWDQWV RI +HQW] DUH JHQHUDOO\ YHU\ SULYDWH ZLWK DOO RWKHU SHUVRQDO LQIRUPDWLRQ 7KLV OHDGV WR D YLHZ RIWKHPEHLQJVHFUHWLYHWRRXWVLGHUV*HQHUDOO\WKH\
ZLOOEHPXFKPRUHRSHQZLWKDQ\EHLQJVWKDWDUHRI WKHVDPHGLYLVLRQV
3URPLQHQW/RFDWLRQV
• 2QHKRPH +HDGTXDUWHUV RI *2'&R DQG WKH RQO\ FLW\ZLWKDVWDUSRUWWKRXJKLWLVXVHGRQO\IRUWKH SULHVWKRRG VKXWWOH SRUWV H[LVWV LQ VHYHUDO RWKHU FLWLHVWRIHUU\FDUJRWR+LJKSRLQW ,WLVVDLGWKDWDOO URDGVOHDGWR2QHKRPH7KLVZDVDOVRWKHORFDWLRQ RI WKH RULJLQDO PLQLQJ FRORQ\ 7KHUH DUH UXPRUV WKDW XQGHU WKH FLW\ LQ WKH ROG IRXQGDWLRQV RI WKH RULJLQDORXWSRVWWKH+LJK3ULHVWKLGHVVHFUHWVRIDQ HUDGLFDWHG UDFH WKDW RQFH LQKDELWHG +HQW] ZLSHG RXW E\ *2'&R DV D IRUP RI FOHDQVLQJ 2I FRXUVH WKLVLVRQO\DUXPRU • +LJKSRLQW 7KHUH LV D IRUWLILHG VSDFH VWDWLRQ LQ RUELW DURXQG +HQW] ,W DFWV DV FXVWRPV DQG LPPLJUDWLRQ DQG LV D OLYLQJ DUHD IRU PDQ\ ZKR DZDLW DFFHSWDQFH LQWR WKH FORLVWHUHG H[LVWHQFH RI 7KH)DPLO\RI2QH7KHUHDUHVHYHUDOVKXWWOHVWKDW FRPH DQG JR GDLO\ EXW GRFNLQJ VWDUVKLSV DUH OLPLWHG WR RQH SHU GD\ 7KLV FDXVHV D EDFNXS RI VKLSVSDUNHGLQRUELWDURXQGWKHSODQHWDWDOOWLPHV SULRULWL]HG E\ WKH ZKLP RI VHFXULW\ SHUVRQQHO 6HFXULW\ LV PDLQWDLQHG E\ *2'&R HPSOR\HHV ZKR DQVZHUWRWKH+LJK3ULHVWRQO\LQWKHRU\ • +XOOKHDO 6WDWLRQ %RWKHUHG E\ WKH QXPEHU RI VKLSVWKDWVWRSRQWKHLUZD\WRRWKHUVWDUV\VWHPV WKH+LJK3ULHVWGHFUHHGWKDWDQHZVWDWLRQEHEXLOW LQDQRSSRVLWHRUELWWR+LJKSRLQWVRWKHWZRZRXOG QHYHU EH LQ YLHZ RI RQH DQRWKHU 7KLV VWDWLRQ LV GHYRWHG WR UHIXHOLQJ UHSDLULQJ DQG VXSSO\LQJ SDVVHUVE\ 7KH SULFHV DUH KLJK EXW *2'&R¶V WHFKQLFLDQV DUH VXUSULVLQJO\ NQRZOHGJHDEOH $OO FUHZ PXVW GHSOR\ ZKLOH VHUYLFHV DUH UHQGHUHG WR VKLSV XS WR RQH FUHZPDQ ± SUHVXPDEO\ WKH FDSWDLQ ± FDQ UHPDLQ EHKLQG ZKHUH WKH\ DUH XVKHUHG WR WKH WUDGLQJ JDOOHU\ D ODUJH PDOO ZKHUH WKH\ PD\ VSHQG WKHLU FUHGLWV RQ WHFK DQG VLPSOH HQWHUWDLQPHQW$OFRKROLVOLPLWHGDQGIDQDWLFVDUH DQ HWHUQDO SUHVHQFH KHUH HQOLJKWHQLQJ WKH ZHDU\ WUDYHOHU
$UDNV,9
$UDNV ,9 LV QRWKLQJ EXW D FROG URFN\ PDVV ,WV VXUIDFH LV FRYHUHG ZLWK FUDWHUV SURYLQJ WKDW LW KDV VHHQ PXFK DEXVH LQ LWV H[LVWHQFH ,QLWLDO VFDQV VKRZHGXUDQLXPYHLQVUXQQLQJWKURXJKWKHURFNEXW PLQLQJH[SHGLWLRQVIDLOHGWRWXUQXSDQ\WKLQJDWDOO 7KHUH DUH UXLQV RI DEDQGRQHG PLQLQJ RXWSRVWV OLWWHUHG HYHU\ZKHUH RQ $UDNV ,9 $GGLWLRQDOO\ D PLQLQJVKLSWKH([&DYDWRU FUDVKHG RQLWVVXUIDFH WZHQW\\HDUVDJRZKHQLWKDGHQJLQHWURXEOH$UDNV ,9LVNQRZQDVDPLQHU¶VSLSHGUHDPDQGVFLHQWLVWV FXUUHQWO\ GRXEW WKH YDOLGLW\ RI WKH LQLWLDO XUDQLXP VFDQV
+LW/RFDWLRQ
LQVSLUHGE\$QGUHZ/&KDQJ±DND)X0DQ&KX
7KH6WDU)URQWLHUVFRPEDWV\VWHPLVGHVLJQHGWREH VLPSOHDQGJHQHUDO:HGRQ¶WQRUPDOO\FDUHH[DFWO\ ZKHUHZHJHWKLWRQO\WKDWZHJRWKLW7KHGDPDJH LV UROOHG LQGHSHQGHQW RI WKH OHYHO RI VXFFHVV RI WKH DWWDFN UROO DQG VXEWUDFWHG IURP 6WDPLQD DIWHU DSSO\LQJ GHIHQVHV %XW VLPSOH V\VWHPV DUHQ¶W IRU HYHU\RQH7KLVV\VWHPJLYHVUXOHVIRUJRYHUQLQJKLW ORFDWLRQV ZKLFK DGGV ERWK FRPSOH[LW\ DQG VRPH UHDOLVPWRWKHJDPH
VNLOO LV OHYHO VR \RX FRXOG EXPS WKH KLW ORFDWLRQ GRZQ WR WKH RWKHU OHJ RU XS WR RU KLV OHIW DUPRUKDQG DV\RXZLVK
(IIHFWVRI+LW/RFDWLRQV
,Q RUGHU WR NHHS PXFK RI WKH FRPEDW VLPSOH DQG ORRVH \RX GRQ¶W KDYH WR NHHS WUDFN RI HDFK KLW VHSDUDWHO\,I\RX¶UHKLWLQWKHOHIWDUPULJKWOHJRU IRUHKHDG\RXVWLOOMXVWVXEWUDFW\RXUGDPDJHIURPD VLQJOH&XUUHQW6WDPLQDVFRUH +RZHYHUZKHQ\RX¶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±+HDG,IWKHGDPDJHFDXVHGLVJUHDWHUWKDQWKH WHQV GLJLW RI WKH WDUJHW¶V 6WDPLQD VFRUH KH PXVW PDNHD6WDPLQDPD[LPXPQRWFXUUHQW DYRLGDQFH UROORUEHGD]HGWUHDWDVVXUSULVHG IRURQHWXUQ,I GDPDJH FDXVHG LV JUHDWHU WKDQ RQH KDOI RI WKH WDUJHW¶V PD[LPXP 6WDPLQD VFRUH KH PXVW PDNH D 6WDPLQD PD[LPXP QRW FXUUHQW DYRLGDQFH UROO RU IDOOXQFRQVFLRXVIRUGWXUQV7KHKHDGLVDOHWKDO KLW ORFDWLRQ LI D FKDUDFWHU VXVWDLQV PRUH GDPDJH WKDQ KH KDV UHPDLQLQJ FXUUHQW 6WDPLQD SRLQWV WR HQGXUHKH¶VGHDG ±&KHVW,IGDPDJHFDXVHGLVJUHDWHUWKDQKDOI WKH WDUJHW¶V PD[LPXP 6WDPLQD KH PXVW PDNH D 6WUHQJWK DYRLGDQFH UROO RU EH NQRFNHG EDFN PHWHUV E\ WKH EORZ 7KH FKHVW LV D OHWKDO KLW ORFDWLRQ D FKDUDFWHU ZKR WDNHV PRUH GDPDJH WKDQ KH KDV UHPDLQLQJ FXUUHQW 6WDPLQD SRLQWV WR HQGXUH LVGHDG ± $EGRPHQ ,I GDPDJH FDXVHG LV JUHDWHU WKDQ KDOI WKH WDUJHW¶V PD[LPXP 6WDPLQD KH PXVW PDNH D 5HDFWLRQ 6SHHG FKHFN WR UROOZLWKWKHEORZ RU KH ZLOOEHZLQGHGIRUWKHQH[WWXUQWUHDWDVVXUSULVHG 7KH DEGRPHQ LV D OHWKDO KLW ORFDWLRQ D FKDUDFWHU ZKR WDNHV PRUH GDPDJH WKDQ KH KDV UHPDLQLQJ 6NLOO/HYHO ,I \RX SRVVHVV VNLOO OHYHOV LQ WKH ZHDSRQ \RX¶UH FXUUHQW6WDPLQDSRLQWVWRHQGXUHLVGHDG XVLQJ\RXFDQ³EXPS´WKHKLWORFDWLRQXSRUGRZQD QXPEHU RI VWHSV HTXDO WR \RXU VNLOO¶V OHYHO )RU ± $UPV ,IGDPDJHFDXVHGLVJUHDWHUWKDQKDOI H[DPSOH )LULQJ \RXU EODVWHU SLVWRO DW D WKXJ \RX WKH WDUJHW¶V PD[LPXP 6WDPLQD KLV OLPE ZLOO EH UROO DQG DUH VXFFHVVIXO
DPRXQW RI GDPDJH VXVWDLQHG \RXU FKDUDFWHU ZLOO DOZD\V KDYH DW OHDVW RQH FXUUHQW 6WDPLQD SRLQW UHPDLQLQJ ±+DQGV,IWKHGDPDJHFDXVHGLVJUHDWHUWKDQ WKH WHQV GLJLW RI WKH WDUJHW¶V PD[LPXP 6WDPLQD VFRUH KH PXVW PDNH D 'H[WHULW\ DYRLGDQFH UROO RU GURS DQ\WKLQJ KH ZDV KROGLQJ LQ WKDW KDQG ,I WKH GDPDJH FDXVHG LV JUHDWHU WKDQ KDOI WKH WDUJHW¶V PD[LPXP 6WDPLQD KLV KDQG ZLOO EH QXPEHG DQG XVHOHVV IRU G WXUQV 7KH KDQG LV QRW DQ LPPHGLDWHO\ OHWKDO KLW ORFDWLRQ UHJDUGOHVV RI WKH DPRXQW RI GDPDJH VXVWDLQHG \RXU FKDUDFWHU ZLOO DOZD\V KDYH DW OHDVW RQH FXUUHQW 6WDPLQD SRLQW UHPDLQLQJ ± /HJV ,I WKH GDPDJH FDXVHG LV JUHDWHU WKDQ WKH WHQV GLJLW RI WKH WDUJHW¶V PD[LPXP 6WDPLQD VFRUH KH PXVW PDNH D 'H[WHULW\ DYRLGDQFH UROO RU EH WULSSHG O\LQJ SURQH ,I WKH GDPDJH FDXVHG LV JUHDWHU WKDQ KDOI WKH WDUJHW¶V PD[LPXP 6WDPLQD VFRUH KLV OHJ LV QXPEHG DQG KLV PRYHPHQW ZLOO EH KDOYHG IRU G WXUQV 7KH OHJ LV QRW DQ LPPHGLDWHO\ OHWKDO KLW ORFDWLRQ UHJDUGOHVV RI WKH DPRXQW RI GDPDJH VXVWDLQHG \RXU FKDUDFWHU ZLOO DOZD\V KDYH DW OHDVW RQH FXUUHQW 6WDPLQD SRLQW UHPDLQLQJ
1RQKXPDQRLG6KDSHV
7KH UHIHUHH ZLOO KDYH WR XVH FRPPRQ VHQVH ZKHQ GHWHUPLQLQJ KLW ORFDWLRQ WR UDFHV RWKHU WKDQ WKRVH ZLWK KXPDQRLG VKDSHV 5DFHV ZLWK GLIIHUHQW DSSHQGDJHV VKRXOG KDYH D FKDQFH RI EHLQJ KLW LQ WKRVH ORFDWLRQV IRU H[DPSOH LI KLW LQ WKH DUP WKH UHIHUHH PLJKW GHVFULEH WKH ZRXQG DV D ZLQJ LQMXU\ WR \RXU
+LW/RFDWLRQDQG&RYHU
:KHQ GHDOLQJ ZLWK KDUG FRYHU LQVWHDG RI DSSO\LQJ WKHQRUPDOSHQDOWLHVWRKLWXVHWKLVUXOHLQVWHDG,I WKH KLW ORFDWLRQ UROOHG FDQQRW EH EXPSHG WR D ORFDWLRQ WKDW LV H[SRVHG WKHQ WKH WDUJHW ZDV SURWHFWHGE\WKHFRYHU
)RU H[DPSOH D 'UDODVLWH GXFNV EHKLQG D PHWDO GXPSVWHU LQ DQ DOOH\ ZKLOH EHLQJ ILUHG XSRQ E\ 6DWKDU DJHQWV +H SRNHV KLV KHDG DQG ULJKW DUP DURXQGWKHFRUQHUWRILUH $QHQHP\ VKRRWVDWKLP DQG UROOV D KLW ORFDWLRQ RI WKH OHJ ,I WKDW IRH FDQQRW EXPS WKH KLW ORFDWLRQ XS WR RU WKH VKRWZLOOKLWWKHGXPSVWHULQVWHDG
7DUJHWLQJ
,I GHVLUHG \RX FDQ VSHFLILFDOO\ WDUJHW D VLQJOH KLW ORFDWLRQ )RU H[DPSOH \RX PLJKW ZDQW WR VKRRW \RXU WDUJHW¶V KDQG VR KH GURSV KLV JXQ 7R DFFRPSOLVK WKLV WDVN \RX¶OO XVH WKHVH UXOHV 7KH IROORZLQJ WDEOH VXPPDUL]HV WKH SHQDOWLHV DVVRFLDWHG ZLWKDLPLQJDWDERG\ORFDWLRQ $LP/RFDWLRQ 0RGLILHU +HDG &KHVWRU$EGRPHQ $UPRU/HJ +DQG 1RWH WKDW LI \RX VSHQG DQ HQWLUH WXUQ FRQFHQWUDWLQJ DQG VWHDG\LQJ \RXU DLP WKH UXOHV JLYH \RX D PRGLILHU WR KLW 7KLV FDQ EH XVHG WR KHOS RIIVHW WKH DLPLQJSHQDOWLHVGHULYHGIURPWKLVWDEOH
$LPLQJDW7KLQJV
,I\RXUUHIHUHHDOORZV\RXFDQDLPDWLWHPVKHOGE\ \RXU WDUJHW RU VRPHWKLQJ KH LV ZHDULQJ RU QHDU 7KLVZRXOGKDYHSHQDOWLHVDQGHIIHFWVGHWHUPLQHGE\ WKHUHIHUHHDQGDUHEH\RQGWKHVFRSHRIWKLVDUWLFOH
3HUPDQHQW,QMXULHV
,I WKH UHIHUHH ZDQWV WR EH SDUWLFXODUO\ QDVW\ WR KLV SOD\HUV KH FDQ LQYRNH WKLV UXOH $Q\ WLPH \RXU FKDUDFWHU LV KLW IRU PRUH WKDQ KDOI KLV PD[LPXP 6WDPLQD VFRUH KH KDV D FKDQFH WR VXVWDLQ SHUPDQHQWLQMXULHV $IWHUDILJKWLVRYHUDQGWKHEDQGDJLQJEHJLQVDQ\ LQMXU\ \RX KDYH GHULYHG IURP WKH LQMXU\ HIIHFWV GHVFULEHG DERYH WR D KDQG DUP RU OHJ PLJKW HQG XS EHFRPLQJ PRUH RI D ORQJWHUP SUREOHP IRU \RXU FKDUDFWHU 5ROO G IRU HDFK LQMXUHG KLW ORFDWLRQ 2QDUROORIWKDWLQMXU\LVPRUHVHYHUH )URPWKDWSRLQWIRUZDUG\RX¶OOKDYHDSHQDOW\WR DQ\DFWLRQWKDWLQYROYHVWKDWKDQGDUPRUOHJ7KLV LV DGGLWLYH PDQ\ LQMXULHV RYHU WLPH ZLOO PDNH WKLV SHQDOW\JHWZRUVHDQGZRUVHWKHVHFRQGLQMXU\WKDW JHWV VHULRXV ZLOO WXUQ LQWR D SHQDOW\ HWF 1R DPRXQWRIVXUJHU\ZLOOFRUUHFWWKLVDOWKRXJKLI\RXU FDPSDLJQ DOORZV F\EHUQHWLF UHSODFHPHQW RU DXJPHQWDWLRQPD\EHSRVVLEOH :KHQ\RXUSHQDOW\ WRDERG\DUHDJHWVJUHDWHUWKDQKDOI\RXUPD[LPXP 6WDPLQDWKDWERG\SDUWPD\QHHGDPSXWDWHG
*HWWLQJ'UXQN
E\$OELQ-RKQVRQ
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
WKH FKDQFHV RI D VNLOO RU DELOLW\ UROO DERYH DQG WKH PD[LPXPDOORZHGWRXVHRQDQ\VLQJOHUROOLV
'UXQNHQQHVV
(IIHFWV 'ULQNV KDYH HIIHFWV DVVRFLDWHG ZLWK WKHP UHJDUGOHVV RI ZKHWKHU RU QRW WKH FKDUDFWHU SDVVHV D 6WDPLQD FKHFN 7KHVH LQFOXGH WKH VHQVDWLRQV WKH\ FDXVH DVZHOODVPRGLILHUVWRDELOLW\VFRUHV :KHQ UROOLQJ RQ WKH 'UXQN 7DEOH LW LV UHDVRQDEOH WR DVVXPH WKDW VWURQJHU GULQNV ZLOO UHVXOW LQ PRUH GUDVWLF EHKDYLRU VRRQHU WKDQ ZHDNHU GULQNV )RU WKLV UHDVRQ ZKHQ UROOLQJ RQ WKH 'UXQN 7DEOH WKH *0 VKRXOG DGG WKH IROORZLQJ PRGLILHUV WR WKH GLFH UROOV GHSHQGLQJ RQ WKH 3) RIWKHGULQN
3RWHQF\)DFWRU3)
±9HU\:HDN ±:HDN ±3RWHQW ±9HU\3RWHQW ±:2:QRWFRPPHUFLDOO\DYDLODEOH
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
'ULQN
JHWIULHQGO\FKDUDFWHUSLFNVXSDQXQDWWUDFWLYHSDWURQ JHWIULHQGO\FKDUDFWHUJLYHVDZD\VRPHWKLQJRIYDOXH JHWVWXSLGFKDUDFWHUGRHVDOLWWOHGDQFHRQDWDEOH JHWVWXSLGFKDUDFWHUGLVUREHVSDUWLDOO\RUIXOO\ JHWVWXSLGWULHVWRGRDWULFNIDOOVIRUGGDPDJH WDONORXGEHFRPHVUXGHFKDQFHRIIHQGVVRPHRQH WDONORXGVKRRWPRXWKRIIVSLOOLPSRUWDQWLQIR WDONORXGVKRRWVPRXWKRIIVWDUWDILJKW JHWYLROHQWFKDUDFWHUEUHDNVVRPHWKLQJDWUDQGRP JHWYLROHQWFKDUDFWHUDWWDFNVVRPHRQHDWUDQGRP JHWYLROHQWFKDUDFWHUSLFNVILJKWZLWKPXOWLSOHSHRSOH WKURZXSVWD\FRQVFLRXV SDVVRXWIRUGKRXUV WKURZXSSDVVRXWIRUGKRXUV SDVVRXWIRUGKRXUV
9586.'ULQNV 1HFWUDD 7¶/DN¶7LV 7KH1HHGOHU $QDSK\OD[R
)3 3) (IIHFWVSHUGULQN
<$=,5,$1'ULQNV
)OXEEUD 2SKR )ODW&LUFOH
FDOPV'(;56,17/2* QHUYRXVQHVV'(;56 3ULFNOH\VHQVDWLRQVRQVNLQ'(;56
FDOPV'(;56,17/2* PRRGHQKDQFHGGULQNHUEHFRPHV DQQR\LQJ3(5/'5,17/2* '(;56,17/2* SRSXODUGULQNEHIRUHEDWWOH675 ,17/2*
'5$/$6,7('ULQNV 6KPRRODN
5ROO 'UXQN7DEOH
3RWHQF\)DFWRU
0RGLILHUWR 'UXQN7DEOH
FDOPV'(;56,17/2* '(;56,17/2* '(;56,17/2* '(;56
GULQNHUEHFRPHVIULHQGOHU 3(5/'5'(;56 QDPHGIRU'UDODVLWH¶VIRQGQHVVIRU VKDSHV7KLVGHVFULEHVWKHVKDSHRID 'UDODVLWHZKHQKH¶VGUXQN
+XPDQ 6\VWHPV7HFK
,I LW UXQV SURJUDPPLQJ \RX FDQ PDNH LW GDQFH &RPSXWHUV DQG URERWV VKDUH PDQ\ RI WKH VDPH V\VWHPV DQG \RX NQRZ WKHP DOO 2XW RQ WKH )URQWLHU\RXUVNLOOVDUHZRUWKDORWRIPRQH\WRDORW RI SHRSOH DQG FDQ OHDG \RX GRZQ D SDWK WR DGYHQWXUH
&KDUDFWHU&RQFHSWV
5RERW4XHHQ
%\%LOO/RJDQDQG$QGUHZ0RGUR
+XPDQ 6\VWHPV7HFKQLFLDQ
67567$ '(;56 ,17/2* 3(5/'5
36 ,0 5DQJHG 0HOHH
6SHFLDO$ELOLWLHV 1RQH
6NLOOV7HFKQRORJLFDO36$ &RPSXWHUV5RERWLFV
(TXLSPHQW
5REFRPNLW 6WDQGDUG (TXLSPHQW 3DFN $XWR 3LVWRO&UHGLWV
ZKLOH DW WKH VDPH WLPH OHWWLQJ DOO RWKHU KDFNHUV NQRZ\RXUZRUNRQVLJKW
'HYHORSPHQW
7KHPRVWREYLRXVGHYHORSPHQWWHFKQLTXHLVWRZRUN RQ \RXU WHFKQLFDO VNLOOV EXW WKHUH DUH RWKHU OHVV REYLRXVZD\VIRU\RXWRGHYHORS\RXUFKDUDFWHU 'HYHORSLQJ$ELOLWLHV %HJLQZRUNLQJRQ\RXU,QWXLWLRQDQG/RJLFVFRUHVDV \RX KDYH WKH SRLQWV WR DIIRUG LW :KLOH \RXU VNLOOV DUH PRUH SDUDPRXQW WR \RXU FDUHHU WKHVH EDVLF DELOLW\ VFRUHV ZLOO KHOS \RX ZLWK WKRVH VXEWOH DELOLW\ FKHFNVWKHUHIHUHHWKURZVDW\RXWRILJXUHRXWZKDW D ULYDO KDFNHU LV XS WR XQGHUVWDQG DOLHQ SURJUDPPLQJ DQG HQJLQHHULQJ RU VHQVH WKDW VHFXULW\V\VWHPEHIRUHLW¶VWRRODWH :RUNLQJRQ\RXU3HUVRQDOLW\VFRUHZRXOGEHQLFHWR KHOS IRUPXODWH UHODWLRQVKLSV ZLWK 13&V LQ \RXU ILHOG RIVWXG\
(TXLSPHQW
(GJHVDQG)ODZV
,I XVLQJ WKLV RSWLRQDO V\VWHP IRXQG DW WKH EDFN RI WKH $OSKD 'DZQ 5HPDVWHUHG ERRN \RX PLJKW ZDQW WR FRQVLGHUVRPHRIWKHVHLGHDV (GJH:RUNV:HOO8QGHU3UHVVXUH :KHQHYHU \RX¶UH LQ WKH KRW VHDW DQG SHRSOH DUH ZDLWLQJ IRU \RX WR JHW WKH MRE GRQH TXLFNO\ \RXU FRQFHQWUDWLRQDQGLQQRYDWLRQVRDUVWRQHZOHYHOV
67567$ '(;56 ,17/2* 3(5/'5
7KH ELJJHU FRPSXWHU V\VWHPV JHW WKH PRUH YXOQHUDEOH WKH\ DUH WR DWWDFN
36 ,0 5DQJHG 0HOHH
6SHFLDO$ELOLWLHV
1LJKW9LVLRQ*OLGLQJ%DWWOH5DJH 6NLOOV7HFKQRORJLFDO36$ &RPSXWHUV3V\FKRVRFLDO
&KDUDFWHU&RQFHSWV
,QQRYDWLYH6WUHHW&RS
(TXLSPHQW
6HFXULW\6NHLQVXLW*\URMHW3LVWRO&UHGLWV
:LWKLQ PLQXWHV \RXU FRPSUHKHQVLYH VFDQ LV FRPSOHWH6RPHRQH:$6LQEXWOHIWQRWUDFH7KH RQO\ WKLQJ WKDW ZDV PRGLILHG KRZHYHU ZDV WKH VWDWXV RI 'HWHFWLYH :LYRO VZLWFKHG IURP ³DFWLYH´ WR ³RQVXVSHQVLRQ´(LWKHUWKHGDWDEDVHZDVKDFNHGRU WKHV\VWHPDGPLQLVWUDWRUPRGLILHGLWDWWKHFDSWDLQ¶V UHTXHVW HLWKHU ZD\ \RX EHWWHU VHW XS D WUDFHU SURJUDPRQWKDWILOHLQFDVHLWKDSSHQVDJDLQ\RX¶OO NQRZ 7KH FRQVXPPDWH FRPSXWHU GHIHQVH VSHFLDOLVW \RX NQRZKRZKDFNHUVDQGFULPLQDOVWKLQNDOORZLQJ\RX WR RYHUFRPH WKHLU DWWDFNV 3HUKDSV \RX¶YH GRQH VRPH KDFNLQJ LQ WKH SDVW RU EHHQ SDUW RI DQ RUJDQL]DWLRQ WKDW ODXQGHUHG PRQH\ 0D\EH \RX ZHUH HYHQ FDXJKW UHKDELOLWDWHG WKHQ UHFUXLWHG E\ 6WDU /DZ 2U PD\EH \RX¶UH MXVW DQ H[FHOOHQW VWXGHQW DQG OHDUQHG DERXW FULPLQDO SURILOLQJ DQG GHWHFWLYHZRUNZKLOHVWXG\LQJWHFKDWWKHXQLYHUVLW\ :KDWHYHU WKH UHDVRQ \RX WKLQN OLNH D FULPLQDO DQG FDQRIWHQRXWWKLQNWKHP 3DWWHUQ3URJUDP3URILOHU
SV\FKRORJLFDO SURILOLQJ PHWKRGV \RXU MRE LV WR JHW LQWR WKH PLQGVHW RI D FULPLQDO DQG ILJXUH RXW ZKDW KLV QH[W VWHS LV
(TXLSPHQW
,W ZRXOGQ¶W KHOS WR URXQG RXW \RXU DELOLWLHV E\ SXUFKDVLQJ D GHFHQW FRPSXWHU V\VWHP DQG WKH QHFHVVDU\SURJUDPVWRGR\RXUMREHIIHFWLYHO\$VLW VWDQGV\RXQHHGWRUHO\RQH[LVWLQJV\VWHPVWRSXOO RII \RXU VNLOOV *HWWLQJ RQH RI \RXU RZQ WKDW \RX SHUVRQDOL]H DQG SURJUDP ZRXOG PDNH D ORW RI GLIIHUHQFH
3URMHFWLOHV
E\*REOLQDUGR
,Q WKLV LVVXH ZH¶OO WDNH D FORVHU ORRN DW DXWRPDWLF SLVWROV DQGULIOHV7KHVHZHDSRQVDUHLQKLJKGHPDQGEHFDXVHRI WKHUHODWLYHLQH[SHQVLYHQHVVRIWKHRUGLQDQFH%XWLQVWHDG RI MXVW OLVWLQJ D SLOH RI ZHDSRQV DQG WKHLU VWDWLVWLFV ZH¶OO ILUVW GLVFXVV RQH RI WKH PDMRU SOD\HUV LQ WKH DUHQD RI SURMHFWLOHZHDSRQGHVLJQDQGVDOH
HQHP\ DV SHRSOH V KHOSOHVVQHVV DJDLQVW GDQJHU 7KHFRPSDQ\PRWWRLV
5XOHV
0RVW RI WKH ILUHDUPV PDQXIDFWXUHG E\ &.$ DUH DOUHDG\ FRYHUHG E\ WKH EDVLF UXOHV DQG WKRVH DSSHDULQJ RQ WKH 6WDU )URQWLHUVPDQ VXFK DV WKH 6HPLDXWRPDWLF 3LVWRO EXW VRPH RI WKHLU SURGXFWV GHVHUYHUXOHVRIWKHLURZQ
&HSHGD&XVWRP
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³WKH 'HDWK )LQJHU´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
([WHQGHG%XOOHWFOLSV
2IIHUHG IRU ERWK ULIOHV DQG SLVWROV WKHVH EXOOHW FOLSV DUH ORQJHU PDNLQJ WKH SLVWRO RU ULIOH D ELW DZNZDUG DQGEXON\7KHDGGHGEHQHILWVFDQQRWEHGHQLHGDV WKH\ KROG DQG GHOLYHU EXOOHWV WR WKH ZHDSRQ¶V ILULQJ FKDPEHU LQVWHDG RI MXVW 7KH DGGHG EXON FDXVHV D SHQDOW\ RI WR WKH ,QLWLDWLYH 0RGLILHU RI WKHXVHU
3ORW+RRNV
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
9HKLFOHV
E\%LOO/RJDQ
7KH PDLQ UXOHV ERRN FRYHUV WHQ EDVLF YHKLFOHV IRU ODQG DQG DLU 7KHVH DUH JHQHUDOO\ FLYLOLDQ RU LQGXVWULDO LQ QDWXUH 6RPH YHKLFOHV DUHQ¶W PHDQW MXVWIRUWRWLQJSHRSOHWRDQGIURVRPHDUHGHVLJQHG IRURWKHUSXUSRVHV
7KH,QILOWUDWRU
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¶VVHDW )RU H[DPSOH
7KH,QILOWUDWRU *URXQG$VVDXOW&\FOH 0LVFHOODQHRXV(TXLSPHQW &.$)DVWGUDZ+ROVWHU (OLPLQDWHVWKH,0SHQDOW\ZKHQGUDZLQJ ZHDSRQGXULQJFRPEDW
&RVW :JW &U NJ
$PPXQLWLRQ ([WHQGHG3LVWRO%XOOHWFOLS +ROGVEXOOHWVLQVWHDGRIVWDQGDUG WR,0EHFDXVHRIDGGHGEXON ([WHQGHG5LIOH%XOOHWFOLS +ROGVEXOOHWVLQVWHDGRIVWDQGDUG WR,0EHFDXVHRIDGGHGEXON
&RVW :JW &U NJ
9HKLFOH7\SH ,QILOWUDWRU *URXQG&\FOH
&RVW &U
*XQQDP $XWR3LVWRO
5RSHV 6HPL$XWRPDWLF
05+HDY\ $VVDXOW5LIOH
&.$+L/HU +XQWLQJ5LIOH
7RS6SHHG &UXLVH6SHHG $FFHO 3DVVHQ NSK PWXUQ NSK PWXUQ 'HFHO JHUV &DUJR/LPLW NSK PW NSK PW NJFXELFPHWHU
&RVW :JW :HDSRQV &U NJ 'DPDJH 5RSHV6HPLDXWRPDWLF3LVWRO GSHUEXOOHW *XQQDP$XWR3LVWRO GG 7HOHVFRSLF6LJKW 8VHUDQJHFDWHJRU\ RQHVWHSEHWWHU /DVHU6LJKW WRKLWLQ3% QRKHOSSDVWP )ODVKOLJKW ,0GXHWRWKH DGGHGEXON ',5.ED\RQHW G 36DGGVWRGDPDJH FDXVHGLQPHOHH 05+HDY\$VVDXOW5LIOH GSHUEXOOHWRU EXUVWRIG &.$+L/HU+XQWLQJ5LIOH GSHUEXOOHW 1RWHV WRKLWZKHQVHWRQ DVROLGVXUIDFH 8VHUDQJHFDWHJRU\ RQHVWHSEHWWHU
$PPR URXQGV URXQGV
6(8 5DWH 'HIHQVH ,QHUWLD ,QHUWLD
5DQJH 3%60/(
URXQGV
URXQGV
,QHUWLD
,QHUWLD
NP
E\%LOO/RJDQ
5HPHPEHUWKHHIIHFWVRIJUDYLW\RQ$UDNV,9 &DU\LQJ &DSDFLW\ LV GHFUHDVHG NJ PRVW FKDUDFWHUVZLOOEH³HQFXPEHUHG´DOOWKHWLPH 7KH GLVWDQFH D FKDUDFWHU FDQ OHDS RU YDXOW LV GHFUHDVHG P DQG WKH KHLJKW IURP ZKLFK D FKDUDFWHUFDQMXPSVDIHO\LVUHGXFHGE\P ,I KH IDOOV IURP D KHLJKW VXFK DV WKH URRI RI WKH P WDOO 7HFK &HQWHU GDPDJH LV LQFUHDVHG E\ ,I WKH OLIH VXSSRUW LV HQHUJL]HGWKHUHLVJUDYLW\FRPSHQVDWLRQWKDW UHGXFHVWKHJUDYLW\WRJZLWKLQWKHFRORQ\
%XLOW HQWLUHO\ RI GURSVKLS PLQLQJ FRPSRQHQWV DQG FRPSDUWPHQWDOL]HG OLYLQJ DUUDQJHPHQWV WKH ILUVW PLQLQJ FRORQ\ RI $UDNV ,9 GXEEHG ³5RFNURRVW´ E\ WKHORFDOV RI WKH WLPH ZDV D QLJKWPDUH VWRU\ ZLWK D GLVDSSRLQWLQJ HQGLQJ )URP WKH EHJLQQLQJ WKH UHVLGHQWV KDG D ORW RI WURXEOH NHHSLQJ WKH LQWHUORFNLQJ ZDONWXEHVFRQQHFWHGDQGLQWRGD\¶VUXLQVRQO\WKHPDLQEXLOGLQJVH[LVW 7KH FRORQ\ ZDV DERXW VWURQJ FRQVLVWLQJ RI PLQHUV JHRORJLVWV ODERUHUV DQG FKHPLVWV IURP DOO RYHU WKH)URQWLHUDOWKRXJKPRVWO\
&UHDWXUHVRI+HQW] E\%LOO/RJDQ
7KLV LVVXH¶V $GYHUVDULHV VHFWLRQ FRYHUV D KDQGIXO RI WKH PDQ\ DQLPDOV IRXQG RQ WKH SODQHW +HQW] LQ WKH $UDNV V\VWHP
$PEULNDKQ
6R WKH DPEULNDKQ ZDV EURXJKW RYHU DQG DOORZHG WR IORXULVKDQGOLYHVQRZLQWKHPRXQWDLQVFRPLQJGRZQ RQO\WRKXQWLWVSUHIHUUHGSUH\WKHJURXQGVKDQN 7KH DPEULNDKQ DUH VWHDOWK\ DQG SUH\ KDYH D WR WKHLU ,QWXLWLRQ UROO WR DYRLG VXUSULVH 7KHLU VHQVHV DUH NHHQ DV WKH\ DUH QDWXUDO SUHGDWRUV VR WKH\ KDYH D FKDQFHWRDYRLGEHLQJVXUSULVHG ,IERWKIURQWFODZVKLWVXFFHVVIXOO\WKHDPEULNDKQFDQ DXWRPDWLFDOO\UDNHZLWK LWVUHDUFODZVIRUDQ DGGLWLRQDO GGDPDJH
*URXQG6KDQN
7\SH0HGLXP&DUQLYRUH 1XPEHU 0RYH)DVWPWXUQ ,056 6WDPLQD $WWDFNWZRIURQWFODZVDQGRQHELWH 'DPDJHGHDFKFODZGELWH 6SHFLDO$WWDFN5DNHZLWKUHDUFODZVIRUGLI ERWKIURQWFODZVVXFFHVVIXOO\KLW 6SHFLDO'HIHQVH1RQH 1DWLYH:RUOG+HQW]PRXQWDLQV
'(6&5,37,217KHDPEULNDKQDUHJUH\RUUHGGLVKLQ FRORUDQGKDYHWRXJKVNLQVWUHWFKHGWLJKWO\RYHUODUJH PXVFOHV 7KHLU ERG\ LV DOPRVW IHOLQH LQ VKDSH WKRXJK WKHLU KHDGV KDYH ORQJ PX]]OHV PRUH OLNH D FDQLQH /DUJHHDUVVZHHSEDFN ZKHQLQDFWLRQEXWIORSVLPSO\ ZKHQWKHEHDVWLVDWUHVW,WVSRZHUIXOIURQWFODZVDUH REYLRXV DQG GR QRW UHWUDFW :KHQ DWWDFNLQJ WKH DPEULNDKQLVDJUDFHIXODZHLQVSLULQJZRUNRIDUW 7KH DPEULNDKQ ZHUH QRW WUDQVSODQWHG WR +HQW] GXULQJ WKH JUHDW
7\SH/DUJH+HUELYRUH 1XPEHUKHUG 0RYH)DVWPWXUQNPKRXU ,056 6WDPLQD $WWDFN 'DPDJHGQLS 6SHFLDO$WWDFNDKHUGFDQVWDPSHGHIRUG GDPDJHKDOILI56DYRLGDQFHUROO 6SHFLDO'HIHQVHQRQH 1DWLYH:RUOG+HQW]SODLQV
'(6&5,37,21 *URXQG VKDQNV DUH ODUJH FUHDWXUHV ZLWK VRIW IXU FRYHULQJ WKHLU ERGLHV 7KHLU FRORUDWLRQ YDULHV GUDPDWLFDOO\ EXW DOO SRVVHVV VWULSHG ULQJV DURXQGWKHLUDQNOHVRIGDUNFRORU±W\SLFDOO\GDUNEURZQ RU EODFN $ VHULHV RI VSRWV FRYHUV WKHLU QHFNV DQG EDFNV WR KHOS FDPRXIODJH WKHP LQ WDOO ILHOGV RI GU\JUDVV LQ ZKLFK WKH\ JUD]H 7KH ORQJ QHFNV RI WKH VKDQNFDQUHDFKORZWUHHVIRUDGGLWLRQDOQXWULHQWVDQG WKH\ DUH IRQG RI XULVKDQXWV WKDW JURZ QDWXUDOO\ WKURXJKRXW+HQW] 7KHVH FUHDWXUHV KDYH EHHQ WKH
7RGD\ JURXQG VKDQNV QXPEHUV DUH VR KLJK WKDW DPEULNDKQV KDG WR EH LQWURGXFHG WR NHHS WKHLU QXPEHUV LQ FKHFN %HFDXVH RI KRZ SOHQWLIXO WKH\ DUH WKHFRVWRIDJURXQGVKDQNLVQRZXQGHU&UHGLWV 7KH JURXQG VKDQN KDG DQ DHULDO FRXVLQ WKH DLU VKDQN WKDW VHHPHG LGHQWLFDO RWKHU WKDQ WKH ULQJHG PDUNLQJV DURXQGWKHDQNOHVDQGWDLODQGRIFRXUVHZLQJV 7KH DLUVKDQNZDVKXQWHGWRH[WLQFWLRQIRUIRRGDQGOHDWKHU ORQJDJR 6KDQNV DORQH DUH SUHWW\ KDUPOHVV 7KH\ FDQ QLS DW WKHLU HQHPLHV ZLWK WKHLU VPDOO WHHWK EXW WKH VWUHQJWK RI WKHLU MDZV LV GHVLJQHG WR FKHZ JUDVV QRW PHDW DQG ERQH%XW LQ DKHUG WKHLUQXPEHUVFDQEH VSXUUHGWR VWDPSHGH E\ ILUH RU SUR[LPLW\ RI D SUHGDWRU $ OLYLQJ EHLQJ FDXJKW LQ D VWDPSHGH WDNHV G GDPDJH EXW DVXFFHVVIXO5HDFWLRQ6SHHGFKHFNZLOOFXWWKDWGDPDJH LQKDOIURXQGLQIDYRURIWKHFKDUDFWHU
7KH\ DUH FDOOHG WXQQHOHU ³TXHHQV´ EHFDXVH PDWXUH WXQQHOHUV FDUU\ D VDFN RI HJJV DURXQG LQ WKHLU XQGHUEHOOLHV DZDLWLQJ IHUWLOL]DWLRQ ,I WZR WXQQHOHU TXHHQVPHHWXSDQGEDWWOHWKHYLFWRUHDWVWKHVDFNRI WKHYLFWLPDQGWKLVEHJLQVWKHIHUWLOL]DWLRQSURFHVV
7XQQHOHU4XHHQ
7\SH0HGLXP2PQLYRUH 1XPEHU 0RYH)DVWPHWHUVSHUWXUQ ,056 6WDPLQD $WWDFN 'DPDJHGWZRFODZVGDQWOHUEDVK 6SHFLDO$WWDFNRQFHSHUGD\VSUD\GHELOLWDWHV WRDOODFWLRQV IRUGWXUQVLI 56DYRLGDQFHUROOIDLOV 6SHFLDO'HIHQVHQRQH 1DWLYH:RUOG+HQW]MXQJOHV
7\SH6PDOO&DUQLYRUH 1XPEHU 0RYH0HGLXP6ORZEXUURZLQJ ,056 6WDPLQD $WWDFNIRXUWHQWDFOHV 'DPDJHGSHUWHQWDFOH 6SHFLDO$WWDFNQRQH 6SHFLDO'HIHQVHFKLWLQRXVVKHOODFWVDVVNHLQVXLW 1DWLYH:RUOG+HQW]XQGHUJURXQG
'(6&5,37,21 7KH WXQQHOHU TXHHQ LV D VPDOO LQVHFW OLNH FUHDWXUH IRXQG LQ VXEWHUUDQHDQ ORFDWLRQV ,W KDV IRXUORQJEDUEHGDUPVWKDWHQGHDFKLQKRRNHGVSLNHV DQGDORQJVQDNHOLNHWDLO,WVHQWLUHOHQJWKLVFRYHUHG ZLWK RYHUODSSLQJ FKLWLQ H[FHSW LWV VRIWHU XQGHUEHOO\ WKDW LW VOLWKHUV DERXW RQ 7KH FUHDWXUH LV \HOORZLVK LQ FRORUZKHQVHHQLQWKHOLJKWZKLFKVHOGRPKDSSHQV )LUVW GLVFRYHUHG E\ PLQHUV ORRNLQJ IRU YDOXDEOH UHVRXUFHV WKH WXQQHOHU LV DEOH WR EXUURZ DQG PRYH DERXW IDLUO\ TXLFNO\ WKURXJK VROLG JURXQG HYHQ KDUG OLPHVWRQH ,W QRUPDOO\ IHHGV RQ WKH ODUYDH DQG FDUFDVVHVRIRWKHUXQGHUJURXQGFULWWHUV
'(6&5,37,21&RYHUHGZLWKIXUWKH\DNDEHDUKDVD WDQ FRDW WKDW VKHGV UHJXODUO\ ,W KDV VPDOO FODZV RQ WKH HQG RI LWV GRJOLNH IHHW 7KH IDFH KDV D SDLU RI DQWOHUV WKDW FXUO DURXQG IURP WKH WRS RI WKH KHDG DURXQGWKHVLGHWRSRLQWIRUZDUG5LYDOVWHQGWRFODVK WKHLUKHDGVWRJHWKHUUDWWOLQJWKHLUDQWOHUVLQRSSRVLWLRQ WRRQHDQRWKHU
%RUD.DL 3K\VLFDO6WUXFWXUH
E\%LOO/RJDQ
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
6HQVHV
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
&KDUDFWHULVWLFV $YHUDJH6L]H $YHUDJH0DVV $YHUDJH/LIHVSDQ 5HSURGXFWLYH6\VWHP %RG\7HPSHUDWXUH
PHWHUVPDOH PHWHUVIHPDOH NJPDOH NJIHPDOH \HDUVPDOH \HDUVIHPDOH KHWHURVH[XDO YLYLSDURXV GHJUHHV&HOVLXV
6SHHFK
7KHVH EHLQJV KDYH D WUDGLWLRQDO ODU\Q[ DQG YRFDO V\VWHP FDSDEOH RI SURGXFLQJ QRUPDO UDQJHV RI VRXQG EXW WKHLU YRLFHV WHQG WR EH H[WUHPHO\ ORZ LQ IUHTXHQF\ 7KHLU GHHS EDULWRQHV PDNH LQFUHGLEOH PHORGLHV ZKHQ WKH\ FKRRVH WR VLQJ WKH VRQJV RI WKHLU KRPHODQG 7KHLU VSHHFK LV VORZ DQG FDUHIXO VRXQGLQJJLYLQJWKHLPSUHVVLRQRIZLVGRP
6RFLHW\DQG&XVWRPV
'XULQJ WKH VHFRQG 6DWKDU ZDU VHYHUDO 6DWKDUVKLSV DQG RXWSRVWV ZHUH GHVWUR\HG PDQ\ RI ZKLFK FUDVKHGRQYDULRXVZRUOGV,QRUGHUWRSUHYHQWWKHLU WHFKQRORJ\ RU WKH P\VWHULHV RI WKHLU H[LVWHQFH IURP EHLQJNQRZQWKH\DOOVHOIGHVWUXFWHGH[FHSWRQH
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
WKH XQGHUVWDQGLQJ RI WKLV DQFLHQW SHRSOH DQG DLGLQJ WKHP LQ WKHLU SXUVXLW WR VHHN URRWV RU SODQW QHZ RQHV
6SHFLDO$ELOLWLHV
1LJKW9LVLRQ7KH%RUDNDLFDQVHHZHOOLQWKHGDUN OLNH D
%RUDNDL&KDUDFWHUV
$WWLWXGHV
7KH %RUDNDL JHW DORQJ ZHOO HQRXJK ZLWK DOO UDFHV WKH\ HQFRXQWHU %HFDXVH RI WKHLU DQWLTXDWHG YLHZSRLQW WKH\ RIWHQ GUDZ SDUDOOHOV WR DQFLHQW ZLVGRPV WKDW PRGHUQ SHRSOH ZRXOG PLVV %HFDXVH RI WKLV PDQ\ SHRSOH FRQVLGHU WKHP PRUH ZDUULRU SRHWVRUVFKRODUVWKDQPLOLWDU\DVVHWV 9UXVN KDYH WDNHQ D VSHFLDOLQWHUHVW LQ WKH %RUDNDL DQG WKHUH LV D QRQSURILW RUJDQL]DWLRQ FDOOHG WKH 9%29UXVNVIRU%RUDNDL2UJDQL]DWLRQGHGLFDWHGWR
$ELOLW\6FRUHV 67567$ '(;56 ,17/2* 3(5/'5
0RYHPHQW :DONLQJ 5XQQLQJ +RXUO\
PHWHUVSHUWXUQ PHWHUVSHUWXUQ NLORPHWHUVKRXU
6SHFLDO$ELOLWLHV 1LJKWYLVLRQ &DQVHHHTXDOO\ZHOOLQDOOEXW FRPSOHWHGDUN 'XUDELOLW\ &XUUHQW6WDPLQDPD[LPXPLV KLJKHUWKDQ67$VFRUHZRXOG QRUPDOO\DOORZ
5RJXH3ODQHW
E\$QGUHZ0RGUR
3UHVHQWHG KHUH DUH VHYHUDO GLIIHUHQW SRVVLEOH DGYHQWXUHV JURZLQJ RXW RI D VLQJOH VHHG ,Q HDFK RI WKHVH DGYHQWXUHV D PLQRU SODQHW WKDW ZDV HMHFWHG IURP WKH VRODU V\VWHP RI LWV FUHDWLRQ KDV EHHQ GLVFRYHUHG ZDQGHULQJ WKURXJK VSDFH :KDW VHFUHWV WKH SODQHW KROGV DUHOHIWWRWKHFKDUDFWHUVWRGLVFRYHU
7+(:$1'(5(5,17+('$5.
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
7+(6/((3(56
,Q WKLV YHUVLRQ RI WKH DGYHQWXUH H[SORUDWLRQV EHQHDWKWKHVXUIDFHRIWKHURJXHZRUOGUHYHDOVLJQV RI LQWHOOLJHQW LQKDELWDWLRQ FDYHUQRXV WRPEOLNH FRPSOH[HV EXUURZHG GHHS EHORZ $GYDQFHG SRZHU SODQWV NHHS FRPSXWHUV DQG PDFKLQHU\ MXVW DFWLYH HQRXJKWRPDLQWDLQWKHOLYHVRIFU\RJHQLFDOO\IUR]HQ DOLHQV +RZ PDQ\ DOLHQV VOHHS GHHS ZLWKLQ WKH SODQHW":KRDUHWKH\":KHUHGRWKH\FRPHIURP" :KDWKDSSHQHGWRWKHLUZRUOG"
&$51,9$/
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
:+(1:25/'6&2//,'(
$VDERYHWKHSODQHWLVGULIWLQJFORVHWRDQLQKDELWHG VWDU V\VWHP EXW WKLV WLPH LW V RQ D FROOLVLRQ FRXUVH ZLWK D PDMRU ZRUOG :KHQ DQ H[SHGLWLRQ WR WKH URJXHSODQHWGLVFRYHUVWKDWLWVHHPVWREHILOOHGZLWK DQFLHQW WHFKQRORJ\ EXW QR VOHHSLQJLQKDELWDQWV ZKDWZLOOEHGRQH",VWKHURJXHSODQHWLQDFWXDOLW\D ZRUOGVKLSDQGFDQLWEHGLYHUWHGLQWLPH"
:D\ODLG
E\%LOO/RJDQ
1RWH7KHFKDUDFWHUVVWDUWWKHVHVVLRQDWDPDUNHWRQDQ\ SODQHW WKH UHIHUHH GHVLUHV ORRNLQJ IRU D WDYHUQ RU FDVLQR WRVSHQGWKHLUFUHGLWVRUVHHNLQJDVSHFLILFWKLQJNQRZQWR H[LVW LQ WKLV PDUNHW IRU DQ HFFHQWULF HPSOR\HU ZKR KDV WUXVWHG WKHP ZLWK WKH PRQH\ QHHGHG WR SXUFKDVH WKH LWHP
$ QHUYRXV 9UXVN DSSURDFKHV WKH FKDUDFWHUV DQG DVNVWRWDONWRWKHPLQSULYDWHKHDGLQJLQWRDKROH LQWKHZDOOFDQWLQDDQGKRSLQJWKH\¶OOIROORZ :$5,17+(1,*+7 :KHWKHURUQRWWKHURJXHSODQHWLVLQKDELWHGLQWKLV YHUVLRQ RI WKH DGYHQWXUH LW LV ULFK LQ UHVRXUFHV D 7KH 9UXVN LV 7¶NLWD DQG VKH¶V DIUDLG EHFDXVH VKH WUHDVXUH WURYH IORDWLQJ IUHH DQG ZDLWLQJ WR EH VD\V VKH¶V EHLQJ IROORZHG 6KH DVNV WKH FKDUDFWHUV H[SORLWHG6HYHUDOULYDOJURXSVDUULYHWROD\FODLPWR LI WKH\¶OO VLW QHDUE\ DW D WDEOH DQG NHHS DQ H\H RQ WKH SODQHW DQG LQ VKRUW RUGHU WKHLU GLVDJUHHPHQWV KHU IRU D IHZ KRXUV DQG WKDW VKH¶OO UHZDUG WKHP LI DQG SRVWXULQJ EHFRPH D PXOWLZD\ VKRRWLQJ ZDU WKH\GR 'R WKH FKDUDFWHUV ZRUN IRU RQH RI WKH GLVSXWDQWV" 'R WKH\ KDYH WKHLU RZQ FODLP WR VWDNH DQG GHIHQG" 7KHFKDUDFWHUVKDYHD VHDWDQG 7¶NLWDVHQGV GULQNV 'RWKH\ZRUNIRUWKH3DQ*DODFWLF&RUSRUDWLRQRUWKH RYHUWRWKHLUWDEOHGHOLYHUHGE\DODUJHPDQZHDULQJ DQ DSURQ WZR VL]HV WRR VPDOO 6KH VLWV QHUYRXVO\ )HGHUDWLRQVHHNLQJWRDFKLHYHDSHDFHIXOVROXWLRQ" DQGWULHVQRWWRORRNDWWKHFKDUDFWHUV
$ERXWDKDOIKRXUDIWHUWKHFKDUDFWHUVSDUWDNHRIWKH GULQNV WKH\ PXVW HDFK PDNH D 6WDPLQD FKHFN ZLWK D SHQDOW\ RI WKH GULQNV DUH SRLVRQHG ZLWK D SRZHUIXO VOHHS DLG $Q\RQH ZKR UHPDLQV FRQVFLRXV LV DWWDFNHG E\ WKUHH KXPDQV RQH ZDV WKH IDNH ZDLWHU ZKR EURXJKW WKH GULQNV ZKR VHHP WR FRPH RXW RI QRZKHUH ZLWK HOHFWURVWXQQHUV ZKLOH 7¶NLWD VFUHDPVDQGWULHVWRJHWDZD\WKH\VKRXOGDOOJHW VWXQQHG :KHQ WKH\ DZDNHQ WKH\¶UH LQ DQ DOOH\ EHKLQG WKH FDQWLQD $OO HTXLSPHQW LV JRQH HYHQ VRPH RI WKHLU FORWKLQJ7¶NLWDLVQRZKHUHWREHIRXQG,QVLGHWKH FDQWLQD WKH RZQHU DQG HPSOR\HHV DUH ORFNHG LQ D FORVHW SRXQGLQJ DQG \HOOLQJ IRU KHOS WKH\ ZHUH VWXQQHG E\ WKH WKUHH KXPDQV ZKHQ WKH\ VDZ 7¶NLWD GXFNLQWRWKHEDU ,WORRNVOLNHWKHFKDUDFWHUVIDLOHG WRSURWHFWWKH\RXQJODG\9UXVNRUWKHPVHOYHV 2QH RI WKH FKDUDFWHUV QRWLFHV 7¶NLWD GURSSHG VRPHWKLQJ GXULQJ WKH VFXIIOH D VPDOO QRWH DGGUHVVHG WR KHU RSHQHG DQG HDVLO\ UHDGDEOH ,W VD\V 7¶NLWD 7KH\¶UHRQWRXV,KDGWRKLGHWKHPRQH\DW WKHWUDLQVWDWLRQXQGHUDJDUEDJHELQQHDUWKH NLRVN,¶PJRLQJLQWRKLGLQJDQGVXJJHVW\RXGR WKHVDPH,IWKH\ILQGRXWZKDWZH¶YHGRQHWKH SURMHFWZLOODOOEHIRUQRWKLQJDQGWKHKDWFKOLQJV ZLOOEHNLOOHGEHFDXVHRIZKDWWKH\DUH %HFDUHIXO %DVWLRQ :KR LV %DVWLRQ" :KDW SURMHFW ZHUH KH DQG 7¶NLWD ZRUNLQJ RQ" :KR ZHUH WKH WKUHH KXPDQV DQG MXVW ZKR LV WKH JRRG JX\ LQ DOO WKLV" $QG ZKDW¶V VR LPSRUWDQWDERXWVRPHNLQGRIKDWFKOLQJWKDWLVZRUWK DOO WKLV YLROHQFH" $OO WKH FKDUDFWHUV NQRZ LV WKH\ DORQH KROG WKH NQRZOHGJH WKDW VRPH PRQH\ LV VWDVKHG LQ WKH WUDLQ VWDWLRQ DQG WKH\¶UH DOO QRZ TXLWH EURNH VRXQGV OLNH WKH QH[W VWHS WR WKH DGYHQWXUH ZLOO WDNH SODFH QHDU D JDUEDJH ELQ E\ D NLRVN
&URP¶V5HWXUQ
E\$VKOH\5DEXUQL]OHDU#JPDLOFRP
(GLWRU¶V QRWH 7KLV DGYHQWXUH DVVXPHV WKH FKDUDFWHUV EHJLQ RQ D VWDUVKLS ,I WKH\¶UH VWDUWLQJOHYHO FKDUDFWHUV WKLV FRXOG PHDQ WKH\ ZRUN DV FUHZ RQ VRPH VKLS RZQHG E\ D PHJDFRUS RI \RXU FKRRVLQJ ,I WKH\¶UH DGYDQFHG FKDUDFWHUV WKH\ PD\ EH SLORWV HQJLQHHUV RU JXQQHUV ZRUNLQJIRUDVWDUVKLSRZQHU7KH\PLJKWHYHQKDYHWKHLU RZQVKLS
7KH FUHZ DUH RQ WKHLU UHWXUQ WULS KRPH IURP D ORQJ VWLQW RQ WKH MRE DQG DUH DVNHG WR FKHFN RXW D GLVWUHVV FDOO WKDW KDV UHFHQWO\ EHHQ SLFNHG XS 7KH FDOO LV D IDLQW ³KHOS PH´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³$JHRI$GYHQWXUH´ZKHQ PDQ\FRUSRUDWLRQVUDFHGWRH[SORUHWKHVWDUV±RIWHQ LQ GLUHFW FRQIOLFW ZLWK RQH DQRWKHU ,W KDG WDNHQ \HDUVIRUWKHDWPRVSKHUHWRRQFHDJDLQEHFRPH KRVSLWDEOH 7KH VRFLHW\ RI WKH SODQHW KDG ORQJ EHHQ WKHVXEMHFW RIGHEDWHDVWKHFHQWHU RID FXOW$FXOW RI URERWLFV VR WR VSHDN SHRSOH ZKR ZRUVKLSHG URERWV $OLVWDLU &URP KDG ORQJ EHHQ VDLG WR KDYH EHHQ D KLJK ORUG LQ WKH FXOW $OLVWDLU OLYHG D ORQJ ORQHO\ H[LVWHQFH ZLWK WKH KHOS RI URERWLFV KH ZDV QRZQRPRUHWKDQDURERWZLWKDKDQGIXOORIRUJDQLF SDUWV ± D &\ERUJ RI WKH KLJKHVW IRUP $V WKH $UFKHRORJLVWV EHJDQ WR PDNH QRLVH KH ZRNH +H SURJUDPPHG WKH VKLS URERWV WR NLOO WKH FUHZ DQG PDNH VXUH WKHLU ILQGLQJV QHYHU UHDFKHG FLYLOL]DWLRQ +H DOVR RUGHUHG WKHP WR EULQJ WKH EUDLQ RI WKH FDSWDLQRIWKHH[SHGLWLRQ :KDWGLGWKH$UFKHRORJLVWVILQG" 7KHFXOWKDGQRWRQO\EHHQDFXOWRIURERWVEXWZHUH DOVRSUDFWLFLQJVHOISHUVHYHUDQFHZLWKWKHDVVLVWDQFH RIURERWLFV7KH\ZHUHSUDFWLFLQJDFRPSOHWHUHEXLOG RIKXPDQLW\LQWRF\ERUJVWRVXUYLYHZKDWWKH\FDOOHG ³WKHGRZQIDOORIKXPDQLW\´7KHLUUHVHDUFKKDGEHHQ EDVHG RQ DQ DQFLHQW FLYLOL]DWLRQ NQRZQ RQO\ DV WKH &\V ZKR KDG ORQJ EHHQ WKRXJKW H[WLQFW 7KH DUFKHRORJLVWV IRXQG WKH RUGLQDQFH WR WKHLU UHVWLQJ SODFH
$0RGXODU'URS+RPHV ³7KH\GRQ¶WORRNOLNHJLDQW OXQFKER[HVDQ\PRUH´ 2QH)DPLO\'URSKRPHVVWDUWLQJ DW&UHGLWV $Q\VL]HDQ\VKDSHDQ\QXPEHU RIIORRUV6WDQGDUGLQGXVWULDO DQGDUPRUHGPLOLWDU\RXWSRVW 3OHDVHVSHFLI\DWPRVSKHULF PDNHXSSUHVVXUHDQGJUDYLW\ &KURQRFRP6XEVSDFH5HOD\ 7RUGLD :KHUH¶VP\PRQH\" *URNR %DYRU¶V7UDFNLQJ6HUYLFH %DLOERQGLQJVNLSWUDFLQJLGHQWLW\ WUDFNLQJLQILOWUDWLRQDQG H[WUDFWLRQ &UHGLWVSHUGD\GRXEOHIRU EDWWOHSD\ 1RERG\EHDWVRXUVHUYLFHRURXU SULFHV:LWKDWRWDORI FRPELQHG\HDUVRIH[SHULHQFH RXUDJHQWVDQGURERWVKDYH EURXJKWGRZQVRPHRIWKH )URQWLHU¶VPRVWGDQJHURXV &KURQRFRP6XEVSDFH5HOD\ 3LPS0\6NLPPHU 5RYHUWR6KDYDURDUWLVWDQG PHFKDQLF :LWKWKHODWHVWLQXQGHUVNLPPHU OLJKWLQJVRXQGV\VWHPVWLQWLQJ DQGEDIIOHUVKDSLQJ\RX¶OOEH PDNLQJKHDGVWXUQ &KURQRFRP6XEVSDFH5HOD\
'DVKDUDK·V3OHDVXUH3DODFH
/RFDWHGRQ&LUFH6WDWLRQLQWKH 6RODU0LQRU6\VWHPDVWRQH¶V WKURZIURPWKHIDPRXV'DWD 5HSRVLWRU\ZHZLOOELOO\RXU EXVLQHVVFUHGGLVFUHWHO\ &KURQRFRP6XEVSDFH5HOD\
2XU DQWKURSRPRUSKLF SOHDVXUHERWV DUH WKH EHVW LQ WKH )URQWLHU :KHWKHU \RX¶UHLQWR9UXVN
3DUDGLVHLVUHDODQGLW¶VSRZHUHGE\3DUDEDWWHULHV
5LVN&R +LJK5LVN 3DUDPLOLWDU\2SHUDWLRQV 1RZKLULQJ GHHSFRYHURSHUDWLYHV GLVJXLVHH[SHUWV GURSMXPSHUV GHPROLWLRQVH[SHUWV 0XVWEHZLOOLQJWRUHORFDWHDQG FKDQJH\RXULGHQWLW\ ,PSULVRQPHQWUHFRUGV2. 5LVN&R±$VXEVLGLDU\RI0HUF&R &KURQRFRP6XEVSDFH5HOD\ 'LUW\'HHGV 'RQH'LUW&KHDS )RUWKHULJKWSULFHZH¶OOGRLW
&\EHU2SWLFV DWDJRRGSULFH 9LVLRQFRUUHFWLRQQLJKWYLVLRQ LPSODQWVWHOHVFRSLFVLJKWLQJ OLQNVLQIUDUHGVHQVRUV (VWLPDWHVDUHIUHH &KURQRFRP6XEVSDFH5HOD\ 9UR\¶V8VHG([SORUHUV &RPHVHHRXUORW\RX¶OOGULYH DZD\KDSS\ZH¶UHVXUHRILW /RFDWHGRQ7ULDGLQWKH3UHQJODU V\VWHPNPHDVWRI/DNH9DVW &KURQRFRP6XEVSDFH5HOD\ 3DUDQRUPDO,QYHVWLJDWRUV ,W¶VQRW\RXULPDJLQDWLRQDQG \RX¶UHQRWDORQH:HFDQKHOS &KURQRFRP6XEVSDFH5HOD\