02a0039p.06

8QLWHG6WDWHVY%DUQHV 1R
, DOVR KDYH VHYHUDO SROLF\ FRQFHUQV ZLWK WKH PDMRULW\¶V
UXOLQJWKDWWKHPDWWHUPXVWEHUHPDQGHGWRDGLIIHUHQWGLVWULFW
MXGJH)LUVWRIDOOLWLQWHUIHUHVZLWKWKHEOLQGGUDZ6HFRQG
LW XQQHFHVVDULO\ GXSOLFDWHV GLVWULFW FRXUW WLPH DQG H[SHQVH
EHFDXVH DQRWKHU GLVWULFW MXGJH ZLOO QRZ EH UHTXLUHG WR
IRUPDOO\UHYLHZWKHILOHDQGLPSRVHVHQWHQFH,WDOVRZDVWHV
WKHSUREDWLRQRIILFHU¶VWLPHZKRZLOOKDYHWRJHWWKHQHZ
GLVWULFW MXGJH XS WR VSHHG 7KH LQHIILFLHQF\ LV HYHQ PRUH
GLVWXUELQJZKHQRQHFRQVLGHUVWKDWZLWKDWLPHO\REMHFWLRQ
WKHRULJLQDOGLVWULFWMXGJHFRXOGLQVWDQWDQHRXVO\FRUUHFWWKH
*RYHUQPHQW¶VHUURUDWWKHVHQWHQFLQJ7KLUGWKHPDMRULW\¶V
UXOHDOVRGHSULYHVWKHQHZMXGJHRIWKHRSSRUWXQLW\WRWDNHWKH
GHIHQGDQW¶V JXLOW\ SOHD D SURFHVV ZKLFK GRYHWDLOV WKH
VHQWHQFLQJSURFHVVHVSHFLDOO\LQDFDVHOLNHWKLVZKHUHWKH
*RYHUQPHQW KDG DJUHHG WR UHFRPPHQG DQ DFFHSWDQFH RI
UHVSRQVLELOLW\ DGMXVWPHQW DQG WKH SUHVHQWHQFH UHSRUW
FRQWDLQHGDVLPLODUUHFRPPHQGDWLRQ
,Q DGGLWLRQ WKH PDMRULW\¶V UXOH FUHDWHV DQ LQFHQWLYH IRU
GHIHQVHFRXQVHOWRLQWHQWLRQDOO\ZDLYHWKHHUURUDWVHQWHQFLQJ
VRWKDWWKHGHIHQGDQWFDQJHWDVHFRQGELWHDWWKHDSSOHZLWK
DQRWKHU GLVWULFW MXGJH LI WKH GHIHQGDQW GRHV QRW JHW WKH
VHQWHQFHKHZDQWVWKHILUVWWLPHDURXQG,QGHHGQRZLWLV
DUJXDEO\PDOSUDFWLFHWRREMHFW)LQDOO\WKHPDMRULW\¶VUXOLQJ
SXWVDQDGGLWLRQDOVWUDLQRQWKHQHZGLVWULFWMXGJH(YHQLI
WKLV&RXUWGRHVQRWFOHDUO\LQGLFDWHWKDWDGLIIHUHQWVHQWHQFHLV
UHTXLUHGWKHYHU\IDFWRIWKHUHPDQGLWVHOIFHUWDLQO\FUHDWHV
WKH VXJJHVWLRQ WKDW WKLV GHIHQGDQW GHVHUYHV D GLIIHUHQW
VHQWHQFHRQUHPDQGHYHQLIWKDWLVQRWDFWXDOO\WKHFDVH7KLV
PLVLPSUHVVLRQFRXOGLQWXUQOHDGWRWKHGLVWRUWLRQRIMXVWLFH
$FFRUGLQJO\,',66(17

5(&200(1'(' )25 )8//7(;7 38%/,&$7,21
3XUVXDQW WR 6L[WK &LUFXLW 5XOH
(/(&7521,& &,7$7,21 )(' $SS 3 WK &LU
)LOH 1DPH DS
81,7('67$7(6&28572)$33($/6
)257+(6,;7+&,5&8,7
BBBBBBBBBBBBBBBBB
81,7(' 67$7(6 2) $0(5,&$
3ODLQWLII$SSHOOHH
Y
$17+21< ':$<1( %$51(6
'HIHQGDQW$SSHOODQW
;!

1
1R
$SSHDOIURPWKH8QLWHG6WDWHV'LVWULFW&RXUW
IRUWKH:HVWHUQ'LVWULFWRI7HQQHVVHHDW0HPSKLV
1R²-XOLD6*LEERQV'LVWULFW-XGJH
6XEPLWWHG2FWREHU
'HFLGHGDQG)LOHG-DQXDU\
%HIRUH.(,7+68+5+(,15,&+DQG&/$<&LUFXLW
-XGJHV
BBBBBBBBBBBBBBBBB
&2816(/
21 %5,() 0DU\ & -HUPDQQ :$03/(5 3,(5&(
0HPSKLV 7HQQHVVHH IRU $SSHOODQW 3DXO 0 2¶%ULHQ
$66,67$17 81,7(' 67$7(6 $77251(< 0HPSKLV
7HQQHVVHHIRU$SSHOOHH

-- 1 of 10 --

8QLWHG6WDWHVY%DUQHV 1R
&/$< - GHOLYHUHG WKH RSLQLRQ RI WKH FRXUW LQ ZKLFK
.(,7+-MRLQHG68+5+(,15,&+- SS GHOLYHUHG
DVHSDUDWHGLVVHQWLQJRSLQLRQ
BBBBBBBBBBBBBBBBB
23,1,21
BBBBBBBBBBBBBBBBB
&/$< &LUFXLW -XGJH 'HIHQGDQW $QWKRQ\ 'ZD\QH
%DUQHVDSSHDOVIURPWKHMXGJPHQWRIFRQYLFWLRQDQGVHQWHQFH
HQWHUHG E\ WKH GLVWULFW FRXUW RQ $SULO IROORZLQJ
'HIHQGDQW¶VJXLOW\SOHDFRQYLFWLRQIRURQHFRXQWRIXVHRID
FRPPXQLFDWLRQIDFLOLW\WRIDFLOLWDWHWKHSRVVHVVLRQZLWKWKH
LQWHQW WR GLVWULEXWH PDULMXDQD LQ YLRODWLRQ RI 86&
† E IRU ZKLFK 'HIHQGDQW ZDV VHQWHQFHG WR HLJKWHHQ
PRQWKVRILPSULVRQPHQW2QDSSHDO'HIHQGDQWFRQWHVWVWKH
LPSRVLWLRQ RI KLV VHQWHQFH FODLPLQJ WKDW WKH JRYHUQPHQW
YLRODWHG WKH WHUPV RI WKH SOHD DJUHHPHQW E\ QRW H[SUHVVO\
UHTXHVWLQJWKDWWKHGLVWULFWFRXUWVHQWHQFH'HIHQGDQWDWWKH
ORZHQGRIWKHJXLGHOLQHVDQGFODLPVWKDWKLVFULPLQDOKLVWRU\
OHYHOZDVHUURQHRXVO\EDVHGXSRQPLVGHPHDQRUV
)RUWKHUHDVRQVVHWIRUWKEHORZZH9$&$7('HIHQGDQW¶V
VHQWHQFHDQG5(0$1'IRUUHVHQWHQFLQJEHIRUHDGLIIHUHQW
GLVWULFWFRXUWMXGJH
67$7(0(172))$&76
2Q1RYHPEHU'HIHQGDQWSOHDGHGJXLOW\WRXVLQJ
D FRPPXQLFDWLRQ IDFLOLW\ ± D WHOHSKRQH ± WR IDFLOLWDWH WKH
FRPPLVVLRQRIDGUXJIHORQ\QDPHO\³SRVVHVVLRQZLWKLQWHQW
WRGLVWULEXWHPDULMXDQDLQYLRODWLRQRI7LWOH8QLWHG6WDWHV
&RGH 6HFWLRQ E DQG 7LWOH 8QLWHG 6WDWHV &RGH
6HFWLRQ´$VSDUWRIWKHSOHDDJUHHPHQW³>W@KHJRYHUQPHQW
DJUHH>G@WRUHFRPPHQGWKDWWKH'HIHQGDQWEHVHQWHQFHGDWWKH
ORZHQGRIWKHDSSOLFDEOHVHQWHQFLQJJXLGHOLQHUDQJH´7KH
SOHDDJUHHPHQWDOVRSURYLGHGWKDW³>W@KHJRYHUQPHQWDJUHH>G@
WR UHFRPPHQG WKDW WKH GHIHQGDQW¶V EDVH RIIHQVH OHYHO EH
FDOFXODWHGXVLQJWZRSRXQGVRIPDULMXDQD´
1R 8QLWHG6WDWHVY%DUQHV
DFRS\RIWKHWUDQVFULSWRIWKHJXLOW\SOHDKHDULQJ 8QLWHG
6WDWHV Y &DQDGD )G VW &LU
JRYHUQPHQWEUHDFKHGDJUHHPHQWE\XUJLQJFRXUWWRLPSRVH
KLJKHUVHQWHQFHWKDQWKDWXSRQZKLFKLWKDGDJUHHGLQSOHD
DJUHHPHQWVSHFLILFDOO\VWDWLQJWKDWWKHFRXUWVKRXOGLPSRVH³D
OHQJWK\SHULRGRILQFDUFHUDWLRQ´DQGE\IDLOLQJWRLQIRUPWKH
FRXUW RI WKH IXOO H[WHQW RI WKH GHIHQGDQW¶V FRRSHUDWLRQ
UHPDQGLQJIRUUHVHQWHQFLQJEHIRUHDGLIIHUHQWMXGJHVWDWLQJ
WKDW ³>Z@KHWKHU RU QRW WKH VHQWHQFLQJ MXGJH ZDV DFWXDOO\
LQIOXHQFHGE\WKH$VVLVWDQW8QLWHG6WDWHV$WWRUQH\¶VDFWLRQV
LVQRWDPDWHULDOFRQVLGHUDWLRQ´ 8QLWHG6WDWHVY*UDQGLQHWWL
)G WK&LU KROGLQJWKDWUHVHQWHQFLQJ
EHIRUH D GLIIHUHQW GLVWULFW MXGJH ZDV UHTXLUHG ZKHUH WKH
JRYHUQPHQWDWWRUQH\³ZDVQRWRQO\DQXQSHUVXDVLYHDGYRFDWH
IRUWKHSOHDDJUHHPHQWEXWLQHIIHFWDUJXHGDJDLQVWLW´ ,Q
HDFK RI WKH FDVHV FLWHG E\ WKH PDMRULW\ WKH *RYHUQPHQW
HQJDJHGLQDIILUPDWLYHFRQGXFWWKDWEUHDFKHGWKHDJUHHPHQW
E\H[SUHVVLQJVHQWLPHQWVDWWKHVHQWHQFLQJKHDULQJWKDWZHUH
DWRGGVZLWKWKHSURPLVHVPDGHLQSOHDDJUHHPHQWV
+HUHWKH*RYHUQPHQW¶VHUURULVVLPSO\RQHRIRPLVVLRQ,
GRQRWPHDQWRVXJJHVWWKDWE\PHUHO\UHPDLQLQJVLOHQWWKH
*RYHUQPHQW FDQ RWKHUZLVH EUHDFK SOHD DJUHHPHQWV ZLWK
LPSXQLW\+RZHYHUXQOLNHWKHFDVHVFLWHGE\WKHPDMRULW\
WKHUHLVQRWKLQJRQWKLVUHFRUGWRVXJJHVWLPSURSULHW\E\WKH
*RYHUQPHQW&I&DQDGD)GDW QRWLQJWKDWWKH
*RYHUQPHQW¶VIDLOXUHWRH[SODLQWKHGHIHQGDQW¶VFRRSHUDWLYH
HIIRUWV PLJKW EH RYHUORRNHG H[FHSW WKDW ³>L@Q WKH
FLUFXPVWDQFHV KRZHYHU WKH $VVLVWDQW 8QLWHG 6WDWHV
$WWRUQH\¶V VLOHQFH DERXW &DQDGD¶V FRRSHUDWLRQ OLNH KHU
IDLOXUHHYHUSRVLWLYHO\WRXUJHWKHPRQWKVHQWHQFHKDVD
PRUHRPLQRXVULQJ´ ,QRWKHUZRUGVWKH*RYHUQPHQWKDV
QRWVHQWDPL[HGPHVVDJHWRWKH'LVWULFW-XGJHVRWKHUHLVQR
UHDVRQIRUWKLV&RXUWWRGRXEWWKDWWKH'LVWULFW-XGJHZRXOG
FRQVLGHUWKH*RYHUQPHQW¶VQRQELQGLQJUHFRPPHQGDWLRQDW
UHVHQWHQFLQJ )XUWKHUPRUH WKH 'LVWULFW -XGJH LQ WKLV FDVH
H[SUHVVHG QR VXFK GLVLQFOLQDWLRQ DQG QRWKLQJ HOVH LQ WKH
UHFRUGSRLQWVWRDQ\SRWHQWLDOELDVDJDLQVWWKH*RYHUQPHQW¶V
UHFRPPHQGDWLRQ,QGHHGWKHRQO\LQQRFHQWSOD\HUKHUHLVWKH
'LVWULFW-XGJH

-- 2 of 10 --

8QLWHG6WDWHVY%DUQHV 1R
GHWDLOV RI WKH QHJRWLDWLRQV IRU WKH SOHD +H VWDWHG WKDW WKH
SURVHFXWRU¶V UHFRPPHQGDWLRQV GLG QRW LQIOXHQFH KLP DQG ZH
KDYH QR UHDVRQ WR GRXEW WKDW 1HYHUWKHOHVV ZH FRQFOXGH WKDW WKH
LQWHUHVWV RI MXVWLFH DQG DSSURSULDWH UHFRJQLWLRQ RI WKH GXWLHV RI
WKH SURVHFXWLRQ LQ UHODWLRQ WR SURPLVHV PDGH LQ WKH QHJRWLDWLRQ
RI SOHDV RI JXLOW\ ZLOO EH EHVW VHUYHG E\ UHPDQGLQJ WKH FDVH WR
WKH VWDWH FRXUWV IRU IXUWKHU FRQVLGHUDWLRQ 7KH XOWLPDWH UHOLHI WR
ZKLFK SHWLWLRQHU LV HQWLWOHG ZH OHDYH WR WKH GLVFUHWLRQ RI WKH VWDWH
FRXUW ZKLFK LV LQ D EHWWHU SRVLWLRQ WR GHFLGH ZKHWKHU WKH
FLUFXPVWDQFHV RI WKLV FDVH UHTXLUH RQO\ WKDW WKHUH EH VSHFLILF
SHUIRUPDQFH RI WKH DJUHHPHQW RQ WKH SOHD LQ ZKLFK FDVH
SHWLWLRQHU VKRXOG EH UHVHQWHQFHG E\ D GLIIHUHQW MXGJH RU
ZKHWKHU LQ WKH YLHZ RI WKH VWDWH FRXUW WKH FLUFXPVWDQFHV UHTXLUH
JUDQWLQJ WKH UHOLHI VRXJKW E\ SHWLWLRQHU LH WKH RSSRUWXQLW\ WR
ZLWKGUDZ KLV SOHD RI JXLOW\ :H HPSKDVL]H WKDW WKLV LV LQ QR
VHQVH WR TXHVWLRQ WKH IDLUQHVV RI WKH VHQWHQFLQJ MXGJH WKH IDXOW
KHUH UHVWV RQ WKH SURVHFXWRU QRW RQ WKH VHQWHQFLQJ MXGJH
6DQWREHOOR Y 1HZ <RUN 86 IRRWQRWH RPLWWHG
:HDUHQRWERXQGE\&LUFXLWRSLQLRQVZKLFKHOHYDWHWKDW
GLFWDWRELQGLQJSUHFHGHQW)XUWKHUPRUHWKHVHFDVHVSUHVHQW
IDFWXDOVFHQDULRVGLIIHUHQWIURPWKHRQHEHIRUHXVWRGD\&I
8QLWHG6WDWHVY0RQGUDJRQ)G WK&LU
JRYHUQPHQW FDOOHG VHQWHQFLQJ FRXUW¶V DWWHQWLRQ WR
DOOHJHGO\VHULRXVQDWXUHRIGHIHQGDQW¶VSULRURIIHQVHVGHVSLWH
SURPLVH LQ SOHD DJUHHPHQW WR ³PDNH QR UHFRPPHQGDWLRQ
UHJDUGLQJVHQWHQFH´DQGWKHGLVWULFW FRXUWH[SUHVVO\VWDWHG
WKDW LW GLG QRW WKLQN DQ\ RI WKH FRPPHQWV ZHUH D
UHFRPPHQGDWLRQRQWKHVHQWHQFHVWDWLQJWKDWLWZDVUHTXLUHG
WRUHPDQGIRUUHVHQWHQFLQJEHIRUHDGLIIHUHQWMXGJH 8QLWHG
6WDWHVY0F4XHHQ)G WK&LU SODLQ
HUURUDQDO\VLVUHPDQGLQJIRUUHVHQWHQFLQJEHIRUHDGLIIHUHQW
GLVWULFWMXGJHZKHUHWKHJRYHUQPHQWIDLOHGDVDJUHHGLQDQ
RUDOSOHDDJUHHPHQWWRUHFRPPHQGDOLPLWHGVHQWHQFHDQGDQ
DFFHSWDQFHRIUHVSRQVLELOLW\DGMXVWPHQWDQGPDGHDIILUPDWLYH
VWDWHPHQWVWKDWLWFRXOGQRWDVNWKHFRXUWWRJLYHWKHGHIHQGDQW
DORZHUVHQWHQFHEHFDXVHLWEHOLHYHGWKHUHZDVQRIDFWXDORU
OHJDO EDVLV IRU D GRZQZDUG GHSDUWXUH DSSHOODWH FRXUW
FULWLFL]HG WKH JRYHUQPHQW IRU LWV DOOHJHG ³XQLQWHQWLRQDO´
IDLOXUHWRDELGHE\WKHDJUHHPHQWZKHQLWZDVWKHVDPH$86$
IRUERWKWKHJXLOW\SOHDKHDULQJDQGVHQWHQFLQJKHDULQJIRU
QRWUHGXFLQJSOHDDJUHHPHQWWRZULWLQJDQGIDLOLQJWRSURFXUH
1R 8QLWHG6WDWHVY%DUQHV
$WVHQWHQFLQJWKHFRXUWIRXQG'HIHQGDQW¶VFULPLQDOKLVWRU\
OHYHO ZDV VL[ KLV VHQWHQFLQJ UDQJH ZDV GHWHUPLQHG WR EH
WZHOYHWRHLJKWHHQPRQWKVDQGWKHFRXUWVHQWHQFHG'HIHQGDQW
WRHLJKWHHQPRQWKV¶LPSULVRQPHQW
',6&866,21
'HIHQGDQWILUVWDUJXHVWKDWKLVVHQWHQFHVKRXOGEHUHYHUVHG
DQGKLVFDVHUHPDQGHGEHFDXVHWKHJRYHUQPHQWEUHDFKHGWKH
SOHD DJUHHPHQW E\ QRW UHFRPPHQGLQJ DW VHQWHQFLQJ WKDW
'HIHQGDQWEHVHQWHQFHGDWWKHORZHQGRIWKHJXLGHOLQHVDVVHW
IRUWKLQWKHSOHDDJUHHPHQW
:H UHYLHZ WKH TXHVWLRQ RI ZKHWKHU WKH JRYHUQPHQW¶V
FRQGXFWRUODFNWKHUHRIYLRODWHGLWVSOHDDJUHHPHQWZLWKD
GHIHQGDQWGHQRYR6HH8QLWHG6WDWHVY:HOOV)G
WK&LU +RZHYHUEHFDXVH'HIHQGDQWIDLOHGWR
REMHFWDIWHUWKHJRYHUQPHQWGLGQRWRIIHUDUHFRPPHQGDWLRQ
DW VHQWHQFLQJ 'HIHQGDQW ZDLYHG KLV ULJKW WR DSSHDO DQ\
EUHDFKRIWKHSOHDDJUHHPHQWDQGDSODLQHUURUDQDO\VLVWKXV
JXLGHVWKLV&RXUW¶VUHYLHZ6HH8QLWHG6WDWHVY&DUU
)G WK&LU 8QLWHG6WDWHVY&XOOHQV
)G WK &LU VHH DOVR 7HHSOH Y 8QLWHG
6WDWHV 1R :/ DW WK &LU
-XO\ XQSXEOLVKHGRSLQLRQ
:KHQUHYLHZLQJDFODLPXQGHUDSODLQHUURUVWDQGDUGWKLV
&RXUWPD\RQO\UHYHUVHLILWLVIRXQGWKDW WKHUHLVDQHUURU
WKDWLVSODLQ ZKLFKDIIHFWHGWKHGHIHQGDQW¶VVXEVWDQWLDO
ULJKWVDQG WKDWVHULRXVO\DIIHFWHGWKHIDLUQHVVLQWHJULW\RU
SXEOLF UHSXWDWLRQ RI WKH MXGLFLDO SURFHHGLQJV 6HH 8QLWHG
6WDWHVY&DUWHU)G WK&LU
'HIHQGDQW¶VSOHDDJUHHPHQWLQGLFDWHVWKDWWKHJRYHUQPHQW
H[SUHVVO\DJUHHGWRUHFRPPHQGWKDW'HIHQGDQWEHVHQWHQFHG
DWWKHORZHQGRIWKHJXLGHOLQHV7KHSOHDDJUHHPHQWZDVUHDG
YHUEDWLPWR'HIHQGDQWE\WKHGLVWULFWFRXUWDWWKHFKDQJHRI
SOHDKHDULQJDWZKLFKWLPHWKHFRXUWDFNQRZOHGJHGWKDWWKH
JRYHUQPHQWUHFRPPHQGHGWKDW'HIHQGDQWEHVHQWHQFHGDWWKH
ORZ HQG RI WKH JXLGHOLQHV ZKLOH 'HIHQGDQW DFNQRZOHGJHG
WKDW WKH FRXUW ZDV QRW ERXQG E\ WKDW UHFRPPHQGDWLRQ

-- 3 of 10 --

8QLWHG6WDWHVY%DUQHV 1R
6SHFLILFDOO\WKHIROORZLQJH[FKDQJHWRRNSODFHEHWZHHQWKH
FRXUWDQG'HIHQGDQWDWKLVSOHDKHDULQJ
7+(&2857 $QG GR \RX XQGHUVWDQG WKDWWKH
UHFRPPHQGDWLRQVRIWKHSOHDDJUHHPHQWZLWKUHVSHFWWR
WKH FDOFXODWLRQ RI WKH VHQWHQFLQJ JXLGHOLQHV DQG \RXU
UHFHLYLQJFUHGLWIRUDFFHSWDQFHRIUHVSRQVLELOLW\DQG\RXU
EHLQJVHQWHQFHGDWWKHORZHQGRIWKHJXLGHOLQHUDQJH
WKDWWKRVHDUHDOOUHFRPPHQGDWLRQVWRWKHFRXUW"'R\RX
XQGHUVWDQGWKDWWKHMXGJHGRHVQRWKDYHWRDFFHSWWKRVH
UHFRPPHQGDWLRQV
7+('()(1'$17 <HVPD¶DP
-$ DW +RZHYHU DW 'HIHQGDQW¶V VHQWHQFLQJ WKH
JRYHUQPHQWIDLOHGWRVWDWHWKLVUHFRPPHQGDWLRQRQWKHUHFRUG
,Q&RKHQY8QLWHG6WDWHV)G WK&LU
WKLV&RXUWUHFRJQL]HGWKDW³>W@KHOHDGLQJGHFLVLRQRQ
WKHTXHVWLRQRIWKHFRQVHTXHQFHVRIWKHIDLOXUHRISURVHFXWLQJ
DXWKRULWLHVWRDELGHE\DSOHDEDUJDLQDJUHHPHQWLV6DQWREHOOR
Y1HZ<RUN86 ´:HZHQWRQWRQRWHWKDW
LQ6DQWREHOOR³WKHVHQWHQFLQJMXGJHVSHFLILFDOO\VWDWHGWKDWKH
ZDVQRWFRQFHUQHGZLWKWKHDOOHJHGEUHDFKRIDSOHDEDUJDLQ
DJUHHPHQWEHFDXVHKHZDVμQRWDWDOOLQIOXHQFHGE\ZKDWWKH
'LVWULFW $WWRUQH\ VD\V¶´ &RKHQ )G DW FLWLQJ
6DQWREHOOR 86 DW :H WKHQ UHFRJQL]HG WKH
6XSUHPH&RXUW¶VKROGLQJLQ6DQWREHOORWKDW³QRWZLWKVWDQGLQJ
WKLVGLVFODLPHUWKHGHIHQGDQWZRXOGEHHQWLWOHGWRUHOLHILIKH
HVWDEOLVKHGDEUHDFKRIWKHSOHDDJUHHPHQW´&RKHQ)G
DW4XRWLQJIURP6DQWREHOORZHRSLQHG
>:@KHQ D SOHD UHVWV LQ DQ\ VLJQLILFDQW GHJUHH RQ D
SURPLVHRUDJUHHPHQWRIWKHSURVHFXWRUVRWKDWLWFDQEH
VDLGWREHDSDUWRIWKHLQGXFHPHQWRUFRQVLGHUDWLRQVXFK
SURPLVHPXVWEHIXOILOOHG
:HQHHGQRWUHDFKWKHTXHVWLRQZKHWKHUWKHVHQWHQFLQJ
MXGJHZRXOGRUZRXOGQRWKDYHEHHQLQIOXHQFHGKDGKH
NQRZQDOOWKHGHWDLOVRIWKHQHJRWLDWLRQVIRUWKHSOHD+H
VWDWHG WKDW WKH SURVHFXWRU¶V UHFRPPHQGDWLRQ GLG QRW
LQIOXHQFH KLP DQG ZH KDYH QR UHDVRQ WR GRXEW WKDW
1R 8QLWHG6WDWHVY%DUQHV
7KH 6XSUHPH &RXUW VWDWHG
:H QHHG QRW UHDFK WKH TXHVWLRQ ZKHWKHU WKH VHQWHQFLQJ MXGJH
ZRXOG RU ZRXOG QRW KDYH EHHQ LQIOXHQFHG KDG KH NQRZQ DOO WKH
H[WHQWRIKLVFRRSHUDWLRQZLWKWKHJRYHUQPHQW´ 7KLV&RXUW
SUHYLRXVO\ IROORZHG WKH 6HYHQWK &LUFXLW¶V OHDG LQ DQRWKHU
XQSXEOLVKHGGHFLVLRQ8QLWHG6WDWHVY0DOFROP1R
:/ DW WK &LU -XQH
XQSXEOLVKHG KROGLQJ WKDW ZKHUH WKH GHIHQGDQW IDLOV WR
REMHFWWRWKHDOOHJHGEUHDFKEHIRUHWKHGLVWULFWFRXUWDSSHOODWH
FRXUWPD\UHYLHZWKHFODLPRQO\IRUSODLQHUURUDQGVWDWLQJ
WKDW ³>L@Q WKH FRQWH[W RI DQ DVVHUWHG EUHDFK RI D SOHD
DJUHHPHQWWKHGHIHQGDQWPXVWGHPRQVWUDWHWKDWKLVVHQWHQFH
ZRXOGKDYHEHHQGLIIHUHQWLIWKHJRYHUQPHQWKDGSHUIRUPHG
LWV SDUW RI WKH DJUHHPHQW´ /LNH WKH HUURUV LQ )ORUHV
6DQGRYDO7HHSOHDQG0DOFROPWKH*RYHUQPHQW¶VEUHDFKRI
WKHSOHDDJUHHPHQWKHUHLVQRWSODLQHUURUUHTXLULQJDUHPDQG
,,
,DOVRWDNHLVVXHZLWKWKHPDMRULW\¶VUXOLQJWKDWWKHPDWWHUEH
UHPDQGHGWRDGLIIHUHQWGLVWULFWMXGJH$JDLQ6DQWREHOORGRHV
QRWGLFWDWHVXFKDUHVXOW,Q6DQWREHOORRQHSURVHFXWRUKDG
SURPLVHGQRWWRPDNHDUHFRPPHQGDWLRQDWWKHWLPHRISOHD
EDUJDLQLQJ DQG WKHQ DQRWKHU SURVHFXWRU KDG DVNHG IRU WKH
PD[LPXPSXQLVKPHQWGXULQJVHQWHQFLQJ'HIHQVHFRXQVHO
LPPHGLDWHO\ REMHFWHG DW WKH VHQWHQFLQJ KHDULQJ $V ZH
REVHUYHG LQ &RKHQ LQ 6DQWREHOOR ³WKH VHQWHQFLQJ MXGJH
VSHFLILFDOO\VWDWHGWKDWKHZDVQRWFRQFHUQHGZLWKWKHDOOHJHG
EUHDFKRIDSOHDEDUJDLQDJUHHPHQWEHFDXVHKHZDV³QRWDWDOO
LQIOXHQFHGE\ZKDWWKH'LVWULFW$WWRUQH\VD\V´&RKHQ
)GDW TXRWLQJ6DQWREHOOR86DW $OWKRXJK
WKH6XSUHPH&RXUWGLGQRWVD\VRSUHVXPDEO\WKH&RXUWIHOW
WKDW D UHPDQG WR WKH VDPH VHQWHQFLQJ MXGJH PLJKW SURYH
IUXLWOHVVJLYHQKLVFRPPHQWWKDWKHZRXOGQRWEHLQIOXHQFHG
E\ DQ\WKLQJ WKH GLVWULFW DWWRUQH\ VDLG <HW HYHQ LQ WKDW
VLWXDWLRQWKH6XSUHPH&RXUWGLGQRWUHTXLUHWKDWWKHFDVHEH
UHPDQGHGWRDGLIIHUHQWGLVWULFWMXGJHEXWOHIWWKHPDWWHUWR
WKH GLVFUHWLRQ RI WKH VWDWH FRXUWV 6DQWREHOOR 86 DW

-- 4 of 10 --

8QLWHG6WDWHVY%DUQHV 1R
DSSOLFDEOH*XLGHOLQHUDQJHDQGE\DGYLVLQJWKHFRXUWWR
FRQVLGHUDOOUHOHYDQWFRQGXFW)ORUHVGLGQRWUDLVHWKHVH
LVVXHVDWKLVVHQWHQFLQJ³%UHDFKRIDSOHDDJUHHPHQW
FDQQRW EH UDLVHG IRU WKH ILUVW WLPH RQ GLUHFW DSSHDO´
'¶,JXLOORQW )G DW FLWLQJ 8QLWHG 6WDWHV Y
3U\RU)G WK&LU )RUIHLWXUHRI
DQDOOHJDWLRQRIEUHDFKRIDSOHDDJUHHPHQWLVVXEMHFWWR
WKHSODLQHUURUH[FHSWLRQ,G7KLVFRXUWZLOOLQWHUYHQH
RQO\ LI WKH EUHDFK FDXVHG D GLIIHUHQW RXWFRPH DW WKH
VHQWHQFLQJKHDULQJ,G7KHJRYHUQPHQWDJUHHGLQWKH
SOHD DJUHHPHQW WKDW ³>D@W WKH WLPH RI VHQWHQFLQJ WKH
JRYHUQPHQW VKDOO UHFRPPHQG WKDW WKH FRXUW LPSRVH D
VHQWHQFH DW WKH ORZHU HQG RI WKH DSSOLFDEOH JXLGHOLQH
UDQJH´7KHGLVWULFWFRXUWKDGWKLVDJUHHPHQW$WWKH
VHQWHQFLQJKHDULQJWKHFRXUWDGYLVHG)ORUHVWKDWLWQHHG
QRWIROORZ WKHJRYHUQPHQW¶VUHFRPPHQGDWLRQDSRLQW
DERXWZKLFKWKHVHQWHQFLQJDJUHHPHQWLWVHOIKDGZDUQHG
)ORUHV)ORUHVLQGLFDWHGKHXQGHUVWRRG,QWKLVOLJKWWKH
JRYHUQPHQW¶VIDLOXUHWRVWDWHLWVSRVLWLRQRQWKHUHFRUGDW
WKH VHQWHQFLQJ KHDULQJ GLG QRW YLRODWH WKH DJUHHPHQW
7KHJRYHUQPHQWKDGDOUHDG\FRQYH\HGWRWKHFRXUWLWV
SRVLWLRQSXUVXDQWWRWKHDJUHHPHQWDQGWKHFRXUWKDGLQ
LWVSRVVHVVLRQZULWWHQHYLGHQFHRIWKDWDJUHHPHQW2UDOO\
VWDWLQJZKDWZDVFRQWDLQHGLQWKHZULWWHQDJUHHPHQWZLWK
ZKLFKWKHFRXUWZDVIDPLOLDUDOUHDG\ZRXOGKDYHEHHQ
XQOLNHO\WRFKDQJHWKHFRXUW¶VVHQWHQFH7KHUHIRUHHYHQ
ZHUHWKHJRYHUQPHQWUHTXLUHGE\WKHDJUHHPHQWWRUHFLWH
RUDOO\LWVUHFRPPHQGDWLRQLWV IDLOXUHWRGRVRGLGQRW
SUHMXGLFH )ORUHV DQG GRHV QRW FRQVWLWXWH JURXQGV IRU
UHVHQWHQFLQJ&I8QLWHG6WDWHVY3U\RU)G
WK&LU QRSODLQHUURUZKHUHJRYHUQPHQW¶V
EUHDFKRISOHDDJUHHPHQWLVWHFKQLFDOIDLOXUHWRLQIRUP
FRXUWRILQIRUPDWLRQDERXWZKLFKFRXUWLVDOUHDG\DZDUH
8QLWHG6WDWHVY)ORUHV6DQGRYDO)G WK
&LU 6HHDOVR3U\RU)GDW VWDWLQJWKDW³WKLV
WULYLDOWHFKQLFDOYLRODWLRQRIDSOHDDJUHHPHQWLVLQVXIILFLHQW
WRUHTXLUHWKHVHWWLQJDVLGHRIDGHIHQGDQW¶VJXLOW\SOHDV7KH
VHQWHQFLQJMXGJHZDVIDPLOLDUZLWKWKHSOHDDJUHHPHQWDQG
KHDUGWKHGHIHQGDQW¶VRZQWHVWLPRQ\LQLWVHQWLUHW\DVWRWKH
1R 8QLWHG6WDWHVY%DUQHV
1HYHUWKHOHVV ZH FRQFOXGH WKDW WKH LQWHUHVWV RI MXVWLFH
DQG DSSURSULDWH UHFRJQLWLRQ RI WKH GXWLHV RI WKH
SURVHFXWLRQ LQ UHODWLRQ WR SURPLVHV PDGH LQ WKH
QHJRWLDWLRQV RI SOHDV RI JXLOW\ ZLOO EH EHVW VHUYHG E\
UHPDQGLQJ WKH FDVH WR WKH VWDWH FRXUWV IRU IXUWKHU
FRQVLGHUDWLRQ:HHPSKDVL]HWKDWWKLVLVLQQRVHQVH
WRTXHVWLRQWKHIDLUQHVVRIWKHVHQWHQFLQJMXGJHWKHIDXOW
KHUHUHVWVRQWKHSURVHFXWRUQRWRQWKHVHQWHQFLQJMXGJH
&RKHQ )G DW HPSKDVLV DGGHG TXRWLQJ
6DQWREHOOR86DW 7KLV&RXUWWKHQKHOGWKDW
>D@V WKH WRXFKVWRQH RI 6DQWREHOOR LV ZKHWKHU WKH
SURVHFXWLRQ PHW LWV FRPPLWPHQW DQG QRW ZKHWKHU WKH
FRXUW ZRXOG KDYH DGRSWHG WKH JRYHUQPHQW¶V
UHFRPPHQGDWLRQLWQHFHVVDULO\IROORZVWKDWLQWKLVFDVH
WKH3DUROH%RDUG¶VDZDUHQHVVRIDQGRUGLVLQFOLQDWLRQWR
DGRSW WKH WHUPV DQG FRQGLWLRQV RI WKH SOHD DJUHHPHQW
ZRXOGEHLUUHOHYDQW
&RKHQ)GDW HPSKDVLVDGGHGIRRWQRWHRPLWWHG
7KHIDFWWKDWRXUUHYLHZLVJXLGHGE\DSODLQHUURUVWDQGDUG
GRHVQRWHIIHFWWKHDSSOLFDWLRQRI6DQWREHOOR&RKHQDQGWKHLU
SURJHQ\LQDVPXFKDVLVZHOOVHWWOHGWKDWZKHQDGHIHQGDQW
SOHDGV JXLOW\ LQ UHOLDQFH RQ D SOHD DJUHHPHQW KH ZDLYHV
FHUWDLQIXQGDPHQWDOFRQVWLWXWLRQDOULJKWVVXFKDVWKHULJKWWR
WULDOE\MXU\6HH3HDY\Y8QLWHG6WDWHV)G
WK&LU 8QLWHG6WDWHVY&ODUN)G VW&LU
%HFDXVH D GHIHQGDQW LV IRUHJRLQJ WKHVH SUHFLRXV
FRQVWLWXWLRQDOJXDUDQWHHVZKHQHQWHULQJLQWRDSOHDDJUHHPHQW
ZLWKWKHJRYHUQPHQWLWLVHVVHQWLDOWKDW³IDLUQHVV´RQWKHSDUW
RIWKHSURVHFXWRULVSUHVXSSRVHG6HH6DQWREHOOR86DW
,QWKLVFRQWH[W³μIXQGDPHQWDOIDLUQHVVPHDQVWKDWWKH
FRXUWVZLOOHQIRUFHSURPLVHVPDGHGXULQJWKHSOHDEDUJDLQLQJ
SURFHVV WKDW LQGXFH D FULPLQDO GHIHQGDQW WR ZDLYH KLV
FRQVWLWXWLRQDO ULJKWV DQG SOHDG JXLOW\¶´ 8QLWHG 6WDWHV Y
5RELVRQ)G WK&LU TXRWLQJ6WDWHQY
1HDO )G WK &LU %HFDXVH WKH
DJUHHPHQWLVSUHPLVHGXSRQD³IXQGDPHQWDOIDLUQHVV´VRDVWR

-- 5 of 10 --

8QLWHG6WDWHVY%DUQHV 1R
LQVXUHWKDWDGHIHQGDQWGRHVQRWIRUHJRSUHFLRXVFRQVWLWXWLRQDO
ULJKWVLQYDLQLWKDVEHHQIRXQGWKDW
>W@KH*RYHUQPHQW¶VIDLOXUHWRDUJXHWKHWHUPVRI>WKHSOHD
DJUHHPHQW@WRWKHGLVWULFWFRXUWDWWKHVHQWHQFLQJKHDULQJ
FRQVWLWXWHGDEUHDFKRIWKHSOHDDJUHHPHQW$QGEHFDXVH
YLRODWLRQV RI WKH SOHD DJUHHPHQWV RQ WKH SDUW RI WKH
JRYHUQPHQWVHUYHQRWRQO\WRYLRODWHWKHFRQVWLWXWLRQDO
ULJKWVRIWKHGHIHQGDQWEXWGLUHFWO\LQYROYHWKHKRQRURI
WKH JRYHUQPHQW SXEOLF FRQILGHQFH LQ WKH IDLU
DGPLQLVWUDWLRQRIMXVWLFHDQGWKHHIIHFWLYHDGPLQLVWUDWLRQ
RIMXVWLFHLQDIHGHUDOVFKHPHRIJRYHUQPHQWZHKROG
WKDWWKH*RYHUQPHQW¶VEUHDFKFRQVWLWXWHGSODLQHUURU
8QLWHG6WDWHVY0F4XHHQ)G WK&LU
FLWDWLRQ DQG LQWHUQDO TXRWDWLRQ PDUNV RPLWWHG VHH DOVR
8QLWHG6WDWHVY0\HUV)G WK&LU ³,W
ZDV LQVXIILFLHQW WKDW WKH FRXUW E\ UHDGLQJ WKH SUHVHQWHQFH
UHSRUWDQGWKHSOHDDJUHHPHQWZDVDZDUHWKDWWKHJRYHUQPHQW
KDGDJUHHGWRUHFRPPHQGDVHQWHQFHDWWKHORZHQGRIWKH
JXLGHOLQHUDQJH7KHKDUPOHVVHUURUUXOHGRHVQRWDSSO\WRWKH
ODZRIFRQWUDFWXDOSOHDDJUHHPHQWV´
,QGHHGVHYHUDOFLUFXLWVKDYHJRQHVRIDUDVWRKROGWKDWDGH
QRYRVWDQGDUGLVXVHGZKHQUHYLHZLQJDGHIHQGDQW¶VFODLP
WKDWWKHJRYHUQPHQWEUHDFKHGWKHSOHDDJUHHPHQWUHJDUGOHVV
RIZKHWKHUWKHGHIHQGDQWREMHFWHGWRWKHDOOHJHGEUHDFKDW
VHQWHQFLQJ6HH8QLWHG6WDWHVY/DZORU)G
G&LU KROGLQJWKDWWKHGHIHQGDQWZDVQRWUHTXLUHGWR
REMHFWWRYLRODWLRQVRIWKHSOHDDJUHHPHQWDWVHQWHQFLQJDQG
WKDWIDLOXUHWRGRVRQHLWKHUZDLYHGWKHGHIHQGDQW¶VULJKWWR
DSSHDOQRUUHTXLUHGWKHFRXUWWRFRQGXFWDSODLQHUURUUHYLHZ
8QLWHG6WDWHVY&RXUWRLV)G Q WK&LU
VDPH 8QLWHG6WDWHVY0RVFDKODLGLV)G
G&LU VDPH
$FFRUGLQJO\ ZKHUH WKLV &RXUW KDV RSLQHG LQ ELQGLQJ
SUHFHGHQW WKDW WKH IDFW WKDW D VHQWHQFLQJ FRXUW PD\ KDYH
LPSOLHG WKDW LW ZRXOG QRW KDYH DFFHSWHG D FHUWDLQ
UHFRPPHQGDWLRQ PDGH E\ WKH JRYHUQPHQW LQ D SOHD
DJUHHPHQWDQGWKHIDFWWKDWWKHGLVWULFWFRXUWPD\KDYHUHDG
1R 8QLWHG6WDWHVY%DUQHV
VHQWHQFH EHIRUH WKH VHQWHQFLQJ MXGJH LQ WKH ILUVW
LQVWDQFH´8QLWHG6WDWHVY&XOOHQV)G
WK&LU $IDLOXUHWRREMHFWUHVXOWVLQZDLYHURI
WKHLVVXH6HHLG2QFHLWEHFDPHFOHDUWR7HHSOHWKDWWKH
SURVHFXWLRQZDVQRWJRLQJWRVWDWHWKHUHFRPPHQGDWLRQ
PDGHLQWKHSOHDDJUHHPHQW7HHSOHKDGWRREMHFWRUIDFH
ZDLYHU RI WKH LVVXH RQ DSSHDO 6HH %DNHU Y 8QLWHG
6WDWHV)G WK&LU
%\ IDLOLQJ WR REMHFW DW WKH WLPH RI VHQWHQFLQJ
GHIHQGDQWFOHDUO\ZDLYHGKLVULJKWWRDSSHDODQ\EUHDFK
RIWKHSOHDDJUHHPHQW$SODLQHUURUDQDO\VLVLVWKHUHIRUH
DSSOLFDEOH SXUVXDQW WR )HG 5 &ULP 3 E 6HH
8QLWHG6WDWHVY&DUU)G WK&LU
,QDOOOLNHOLKRRGDQ\UHFRPPHQGDWLRQWRVWD\ZLWKLQWKH
JXLGHOLQHUDQJHZRXOGKDYHKDGQRHIIHFWRQWKHGLVWULFW
FRXUWLQOLJKWRIWKHGLVWULFWFRXUW¶VVWDWHPHQWWKDWLWZDV
JRLQJWRGHSDUWXSZDUGXQGHUWKHVHQWHQFLQJJXLGHOLQHV
EDVHG RQ 7HHSOH¶V H[WHQVLYH FULPLQDO KLVWRU\ ,Q
DGGLWLRQ WKH FRXUW KDG WKH SOHD DJUHHPHQW EHIRUH LW
7HHSOH LV QRW HQWLWOHG WR UHOLHI DV WKH JRYHUQPHQW¶V
LQDFWLRQGLGQRWDIIHFWKLVVXEVWDQWLDOULJKWV
7HHSOH:/DW HPSKDVLVDGGHG
/LNH7HHSOHWKH'LVWULFW -XGJHLQWKLVFDVHKDGWKHSOHD
DJUHHPHQW EHIRUH LW SULRU WR VHQWHQFLQJ ,Q DGGLWLRQ WKH
'LVWULFW-XGJHUHYLHZHGLWLQRSHQFRXUWZLWK%DUQHVSULRUWR
KLVVHQWHQFLQJ$VLQ7HHSOHWKHUHLVQRUHDOLVWLFSRVVLELOLW\
WKDW WKH 'LVWULFW -XGJH ZRXOG KRQRU WKH *RYHUQPHQW¶V
UHFRPPHQGDWLRQLQOLJKWRIKHUVWDWHPHQWWKDWJLYHQ%DUQHV¶V
&+&RIWKHDSSURSULDWHVHQWHQFHZDVPRQWKV,QVKRUW
DV LQ 7HHSOH WKH *RYHUQPHQW¶V LQDFWLRQ DW WKH WLPH RI
VHQWHQFLQJGLGQRWDIIHFW%DUQHV¶VVXEVWDQWLDOULJKWV7KHUHLV
QRQHHGWRYDFDWH%DUQHV¶VVHQWHQFH
,QDFDVHVWULNLQJO\VLPLODUWRWKLVRQHWKH6HYHQWK&LUFXLW
UXOHGLQUHOHYDQWSDUW
)ORUHVQH[WDUJXHVWKDWWKHJRYHUQPHQWEUHDFKHGLWV
SOHD DJUHHPHQW E\ QRW DUJXLQJ IRU WKH ORZ HQG RI WKH

-- 6 of 10 --

8QLWHG6WDWHVY%DUQHV 1R
7KH PDMRULW\ DVVHUWV LQ IRRWQRWH WKDW 7HHSOH ³LV LQ GLUHFW
FRQWUDYHQWLRQ RI ELQGLQJ SXEOLVKHG DXWKRULW\ IURP WKLV &LUFXLW´ 7KLV LV
LQFRUUHFW &RKHQ LV QRW RQ SRLQW EHFDXVH WKHUH WKH HUURU ZDV SUHVHUYHG
DQG RXU UHYLHZ ZDV GH QRYR &RPSDUH &RKHQ Y 8QLWHG 6WDWHV )G
WK &LU QRW VSHFLILFDOO\ PHQWLRQLQJ EXW FOHDUO\
FRQGXFWLQJ GH QRYR UHYLHZ ZLWK 7HHSOH Y 8QLWHG 6WDWHV 1R
:/ DW WK &LU -XO\ DSSO\LQJ SODLQ HUURU
DQDO\VLV EHFDXVH WKH GHIHQGDQW IDLOHG WR REMHFW DW WKH WLPH RI VHQWHQFLQJ
EUHDFK´ 7KXVDSODLQHUURUDQDO\VLVUHTXLULQJDVKRZLQJ
WKDWWKHSODLQHUURUDIIHFWHGERWKWKHGHIHQGDQW¶VVXEVWDQWLDO
ULJKWVDQGWKHLQWHJULW\RIWKHMXGLFLDOSURFHHGLQJVZDVQRWDW
LVVXHLQWKRVHFDVHV)RUWKLVUHDVRQ7HHSOHY8QLWHG6WDWHV
1R :/ WK &LU -XO\
ZKLFKLQYROYHGDSODLQHUURUDQDO\VLVLVSHUVXDVLYHDXWKRULW\
HYHQ WKRXJK LW LV XQSXEOLVKHG 6HH DOVR 8QLWHG 6WDWHV Y
3U\RU)G WK&LU KROGLQJWKDWEUHDFK
RI D SOHD DJUHHPHQW FDQQRW EH UDLVHG IRU WKH ILUVW WLPH RQ
GLUHFWDSSHDO
,Q7HHSOHDVLQWKLVFDVHWKHSOHDDJUHHPHQWSURYLGHGWKDW
WKHJRYHUQPHQWZRXOGPDNHDQRQELQGLQJUHFRPPHQGDWLRQ
WKDWWKHGHIHQGDQW¶VVHQWHQFHEHLPSRVHGZLWKLQWKHJXLGHOLQH
UDQJH$WVHQWHQFLQJWKHGLVWULFWFRXUWFRPPHQWHGRQWKH
GHIHQGDQW¶VH[WHQVLYHFULPLQDOUHFRUGHVSHFLDOO\JLYHQKLV
WHQGHUDJHRIWZHQW\WZR\HDUVDQGGHSDUWHGXSZDUGEDVHG
RQ WKH UHFRPPHQGDWLRQ RI WKH SUREDWLRQ RIILFH 7KH
JRYHUQPHQWVWDWHGWKDWWKHSUHVHQWHQFHUHSRUWIXOO\LQIRUPHG
WKHFRXUWRIWKHJUDYLW\RIWKHVLWXDWLRQDQGGLGQRWKRQRULWV
SURPLVH7KHGHIHQGDQWGLGQRWREMHFWWRWKHJRYHUQPHQW¶V
IDLOXUHKRZHYHU7KH7HHSOHGHIHQGDQWDSSHDOHGEDVHGRQ
WKHJRYHUQPHQW¶VIDLOXUHWRPDNHDUHFRPPHQGDWLRQWKDWWKH
GHIHQGDQWEHVHQWHQFHGZLWKLQWKHJXLGHOLQHV:HUXOHGDV
IROORZV
8QGHUO\LQJWKLVLVVXHLVZKHWKHU7HHSOHZDLYHGKLVULJKW
WRDSSHDOKLVVHQWHQFHZKHQKHIDLOHGWRREMHFWDIWHUWKH
SURVHFXWLRQ GLG QRW RIIHU D UHFRPPHQGDWLRQ DW
VHQWHQFLQJ :HOO HVWDEOLVKHG LQ WKLV FLUFXLW LV WKH
HVVHQWLDOLW\³WKDWDGHIHQGDQWUDLVHDOOREMHFWLRQVWRWKH
1R 8QLWHG6WDWHVY%DUQHV
:H DUH FRJQL]DQW RI WKLV &RXUW¶V KROGLQJ WR WKH FRQWUDU\ LQ WKH
XQSXEOLVKHG FDVH RI 7HHSOH Y 8QLWHG 6WDWHV 1R :/
WK &LU -XO\ +RZHYHU EHFDXVH 7HHSOH LV DQ
XQSXEOLVKHG GHFLVLRQ IURP WKLV &RXUW DQG WKHUHIRUH QRW ELQGLQJ EHFDXVH
7HHSOH LV LQ GLUHFW FRQWUDYHQWLRQ RI ELQGLQJ SXEOLVKHG DXWKRULW\ IURP WKLV
&LUFXLW DQG EHFDXVH WKH SXEOLVKHG GHFLVLRQV IURP VHYHUDO RI RXU VLVWHU
FLUFXLWV KROG FRQWUDU\ WR 7HHSOH ZH GHFOLQH WR IROORZ 7HHSOH¶V UHVXOW
DQGKDGWKHSOHDDJUHHPHQWEHIRUHLWDUHLQVXIILFLHQWUHDVRQV
WRILQGWKDWWKHJRYHUQPHQWXSKHOGLWVSDUWRIDJLYHQSOHD
DJUHHPHQWWKHJRYHUQPHQWEUHDFKHGWKHSOHDDJUHHPHQWLQ
WKH PDWWHU DW KDQG E\ IDLOLQJ WR H[SUHVVO\ UHTXHVW WKDW
'HIHQGDQW EH VHQWHQFHG DW WKH ORZ HQG RI WKH JXLGHOLQHV
UDQJH6HH&RKHQ)GDWVHHDOVR6DQWREHOOR
86 DW ,Q DGGLWLRQ WKH JRYHUQPHQW¶V EUHDFK
DPRXQWHGWRUHYHUVLEOHHUURUXQGHUDSODLQHUURUVWDQGDUGRI
UHYLHZ LQDVPXFK DV WKH EUHDFK YLRODWHG 'HIHQGDQW¶V
FRQVWLWXWLRQDOULJKWVVXFKWKDWWKHIXQGDPHQWDOIDLUQHVVDQG
LQWHJULW\RIWKHMXGLFLDOSURFHHGLQJZHUHFRPSURPLVHG6HH
5RELVRQ)GDW0F4XHHQ)GDWVHHDOVR
6DQWREHOOR86DW ILQGLQJWKDWZKHUHDGHIHQGDQW
IXOILOOV KLV SURPLVH LQ HQWHULQJ LQWR D JXLOW\ SOHD WKH
SURVHFXWLRQLVERXQGWRIXOILOODQ\SURPLVHPDGHLQH[FKDQJH
LQRUGHUWRLQVXUHWKH³IDLUQHVV´RIWKHSOHDEDUJDLQLQJSURFHVV
ZKLFKKDVFRPHWREHNQRZQDVDQHVVHQWLDODQGGHVLUDEOH
SUDFWLFHLQWKHDGPLQLVWUDWLRQRIFULPLQDOMXVWLFH
&21&/86,21
%HFDXVHZHKROGWKDW'HIHQGDQW¶VVXEVWDQWLDOULJKWVZHUH
DIIHFWHGE\WKHJRYHUQPHQW¶VIDLOXUHWRDGKHUHWRWKHOHWWHURI
WKH SOHD DJUHHPHQW E\ H[SUHVVO\ UHFRPPHQGLQJ WKDW
'HIHQGDQWEHVHQWHQFHGDWWKHORZHQGRIWKHJXLGHOLQHVDW
VHQWHQFLQJ ZKLFK DIIHFWHG WKH LQWHJULW\ RI WKH MXGLFLDO
SURFHHGLQJ ZH 9$&$7( 'HIHQGDQW¶V VHQWHQFH DQG
5(0$1'IRUUHVHQWHQFLQJEHIRUHDGLIIHUHQWGLVWULFWFRXUW
MXGJHZKLOHLQWHQGLQJQRFULWLFLVPWRWKHVHQWHQFLQJMXGJH
KHUH6HH6DQWREHOOR86DWVHHDOVR8QLWHG6WDWHV
Y0RQGUDJRQ)G WK&LU ³>:@HDUH
UHTXLUHGWRUHPDQGIRUUHVHQWHQFLQJEHIRUHDGLIIHUHQW

-- 7 of 10 --

8QLWHG6WDWHVY%DUQHV 1R
MXGJH:HHPSKDVL]HWKDWWKLVLVLQQRVHQVHWRTXHVWLRQ
WKHIDLUQHVVRIWKHVHQWHQFLQJMXGJH:HUHPDQGWRD
GLIIHUHQWMXGJHIRUUHVHQWHQFLQJEHFDXVHWKHFDVHODZUHTXLUHV
XVWRGRVR:HLQWHQGQRFULWLFLVPRIWKHGLVWULFWMXGJHE\
WKLVDFWLRQDQGQRQHVKRXOGEHLQIHUUHG´ 8QLWHG6WDWHVY
0F4XHHQ )G WK &LU ³%HFDXVH WKH
*RYHUQPHQW FRPPLWWHG SODLQ HUURU LQ EUHDFKLQJ WKH SOHD
DJUHHPHQW ZH JUDQW 0F4XHHQ WKH UHTXHVWHG VSHFLILF
SHUIRUPDQFH DQG UHPDQG KLV FDVH WR D GLIIHUHQW MXGJH IRU
UHVHQWHQFLQJ´ 8QLWHG6WDWHVY&DQDGD)G
Q VW&LU ³6DQWREHOORUHTXLUHVWKDWWKHEUHDFKRI
DSOHDDJUHHPHQWEHUHPHGLHGE\HLWKHUμVSHFLILFSHUIRUPDQFH
RIWKHDJUHHPHQWRQWKHSOHDLQZKLFKFDVHSHWLWLRQHUVKRXOG
EHUHVHQWHQFHGE\DGLIIHUHQWMXGJHRUWKHRSSRUWXQLW\WR
ZLWKGUDZ>WKH@SOHDRIJXLOW\¶´ 8QLWHG6WDWHVY*UDQGLQHWWL
)G WK&LU ,QOLJKWRIRXUKROGLQJZH
QHHGQRWDGGUHVV'HIHQGDQW¶VFODLPUHJDUGLQJWKHFDOFXODWLRQ
RIKLVFULPLQDOKLVWRU\OHYHO
1R 8QLWHG6WDWHVY%DUQHV
7KH SUHVHQWHQFH UHSRUW DOVR VXPPDUL]HG WKH UHOHYDQW
SURYLVLRQVRIWKHSOHDDJUHHPHQWLQFOXGLQJWKHSURYLVLRQWKDW
WKH*RYHUQPHQWKDGDJUHHGWRUHFRPPHQGDWVHQWHQFLQJWKDW
%DUQHV EH VHQWHQFHG DW WKH ORZ HQG RI WKH DSSOLFDEOH
VHQWHQFLQJ JXLGHOLQH UDQJH 7KH 'LVWULFW -XGJH H[SUHVVO\
DGRSWHGWKHSUHVHQWHQFHUHSRUWDWWKHVHQWHQFLQJKHDULQJ$W
WKHVHQWHQFLQJKHDULQJWKH'LVWULFW-XGJHUHLWHUDWHGWKDWDV
UHFRPPHQGHGLQWKHSUHVHQWHQFHUHSRUWWKHJXLGHOLQHUDQJH
ZDV WR PRQWKV %DUQHV PDGH QR REMHFWLRQ 7KH
'LVWULFW-XGJHWKHQGHFLGHGXSRQDQDSSURSULDWHVHQWHQFHMXVW
DVVKHVDLGVKHZRXOGDWWKHFKDQJH RI SOHDKHDULQJ³,Q
WHUPVRIDVHQWHQFHZLWKLQWKHJXLGHOLQHUDQJHWKH&RXUWILQGV
WKDWJLYHQ0U%DUQHV¶VFULPLQDOKLVWRU\>&+&@WKDWWKH
DSSURSULDWH VHQWHQFH LQ WKLV FDVH LV D VHQWHQFH RI
PRQWKV>@´$OWKRXJKWKH*RYHUQPHQWGLGQRWLQWHUMHFWDQ\
FRPPHQWDWWKLVMXQFWXUH%DUQHVGLGQRWHLWKHU
,QVKRUWWKH'LVWULFW-XGJHNQHZDVHDUO\DVWKHFKDQJHRI
SOHDKHDULQJWKDWWKH*RYHUQPHQWKDGDJUHHGWRUHFRPPHQG
WKDW %DUQHV EH VHQWHQFHG DW WKH ORZ HQG RI WKH JXLGHOLQH
UDQJH%DUQHVDOVRNQHZDWWKHFKDQJHRISOHDKHDULQJWKDWWKH
GLVWULFW FRXUW ZDV QRW ERXQG E\ WKH *RYHUQPHQW¶V
UHFRPPHQGDWLRQ 7KXV LW FDQQRW EH VDLG WKDW %DUQHV¶V
VXEVWDQWLDOULJKWVZHUHDIIHFWHGEHFDXVHWKH'LVWULFW-XGJH
ZDVIXOO\FRJQL]DQWRIWKH*RYHUQPHQW¶VQRQELQGLQJSRVLWLRQ
ZKHQ VKH H[HUFLVHG KHU DXWKRULW\ LQ VHQWHQFLQJ %DUQHV
%DUQHV KDV QRW VKRZQ DQG FDQQRW VKRZ WKDW WKH 'LVWULFW
-XGJHZRXOGKDYHLPSRVHGDGLIIHUHQWVHQWHQFHDWWKHORZ
HQGRIWKHDSSOLFDEOHJXLGHOLQHKDGWKH*RYHUQPHQWRSHQO\
DVVHUWHGLWVUHFRPPHQGDWLRQDWVHQWHQFLQJ7KHPDMRULW\¶V
DWWHPSWWRLVRODWHWKHVHQWHQFLQJKHDULQJSURFHVVLJQRUHVWKH
UHDOLW\ RI WKH LQWHUSOD\ EHWZHHQ WKH SOHD DQG VHQWHQFLQJ
SURFHVV
&RKHQY8QLWHG6WDWHV)G WK&LU DQG
6DQWREHOOR Y 1HZ <RUN 86 DUH QRW
FRQWUROOLQJ EHFDXVH LQ ERWK RI WKRVH FDVHV WKH LVVXH ZDV
SUHVHUYHG6HH8QLWHG6WDWHVY'¶,JXLOORQW)G
WK &LU ³6DQWREHOOR LV SUHGLFDWHG XSRQ D
GHIHQGDQW¶V SURSHU REMHFWLRQ WR WKH JRYHUQPHQW¶V DOOHJHG

-- 8 of 10 --

8QLWHG6WDWHVY%DUQHV 1R
XQGHUVWDQG WKH MXGJH GRHV QRW KDYH WR DFFHSW WKRVH
UHFRPPHQGDWLRQV"
7+('()(1'$17<HVPD¶DP
7+(&2857$QGWKDWLIWKHMXGJHGRHVQRWDFFHSW
WKRVH UHFRPPHQGDWLRQV \RX¶OO QRW EH DOORZHG DQ
RSSRUWXQLW\WRZLWKGUDZ\RXUSOHDGR\RXXQGHUVWDQG
WKDW"
7+('()(1'$17<HVPD¶DP
7+(&2857+DV\RXUDWWRUQH\GLVFXVVHGZLWK\RX
WKHDSSOLFDWLRQRIWKHVHQWHQFLQJJXLGHOLQHVWR\RXUFDVH"
7+('()(1'$17<HVPD¶DP
7+(&2857$QGGR\RXXQGHUVWDQGWKHFRXUWZLOO
EHGHWHUPLQLQJZKDWWKHDSSURSULDWHJXLGHOLQHUDQJHLV
DQGWKHQXQGHUYLUWXDOO\DOOFLUFXPVWDQFHV\RXPXVWEH
VHQWHQFHGZLWKLQWKDWUDQJH"
7+('()(1'$17<HVPD¶DP
7KXVDWWKHFKDQJHRISOHDKHDULQJ%DUQHVUHYLHZHGWKH
SURYLVLRQVRIWKHSOHDDJUHHPHQWDVLQWHUSUHWHGE\WKH'LVWULFW
-XGJH%DUQHVRSHQO\DFNQRZOHGJHGWRWKH'LVWULFW-XGJHWKDW
KHXQGHUVWRRGWKDWWKH*RYHUQPHQW¶VUHFRPPHQGDWLRQZDV
QRWELQGLQJRQWKHGLVWULFWFRXUWDQGDJUHHGWKDWSXUVXDQWWR
WKH WHUPV RI WKH SOHD DJUHHPHQW WKH GLVWULFW FRXUW ZDV WKH
XOWLPDWHDUELWHURIWKHDSSURSULDWHJXLGHOLQHUDQJH
0RUHLPSRUWDQWO\E\UHYLHZLQJWKHSURYLVLRQVRIWKHSOHD
DJUHHPHQW ZLWK %DUQHV DW WKH FKDQJH RI SOHD KHDULQJ WKH
'LVWULFW-XGJHZDVKHUVHOIPDGHDZDUHRIWKRVHSURYLVLRQV
LQFOXGLQJWKH*RYHUQPHQW¶VLQWHQWWRUHFRPPHQGWKDW%DUQHV
EHVHQWHQFHGDWWKHORZHQGRIWKHJXLGHOLQHVEHFDXVHVKH
UHDGWKDWSURYLVLRQRXWORXGWR%DUQHV0RUHWRWKHSRLQWWKH
'LVWULFW-XGJHZDVDZDUHDVHDUO\DVWKHSOHDFKDQJHKHDULQJ
WKH*RYHUQPHQW¶VLQWHQGHGUHFRPPHQGDWLRQDQGWKHSDUWLHV
NQHZVKHNQHZ
1R 8QLWHG6WDWHVY%DUQHV
BBBBBBBBBBBBBB
',66(17
BBBBBBBBBBBBBB
68+5+(,15,&+&LUFXLW-XGJHGLVVHQWLQJ,GRQRWILQG
SODLQHUURULQWKLVFDVH,WKHUHIRUHGRQRWWKLQNZHVKRXOG
YDFDWH%DUQHV¶VVHQWHQFHDQGUHPDQGIRUUHVHQWHQFLQJ,DOVR
GRQRWDJUHHWKDWDVVXPLQJDUHPDQGLVUHTXLUHGWKHPDWWHU
VKRXOGEHVHQWWRDGLIIHUHQWGLVWULFWMXGJH,WKHUHIRUHGLVVHQW
,
$VWKHPDMRULW\REVHUYHVZKHQUHYLHZLQJDFODLPXQGHUWKH
SODLQHUURUVWDQGDUGZHPD\UHYHUVHRQO\LIZHILQG HUURU
WKDW LV SODLQ ZKLFK DIIHFWV VXEVWDQWLDO ULJKWV DQG
WKDW VHULRXVO\ DIIHFWV WKH IDLUQHVV LQWHJULW\ RU SXEOLF
UHSXWDWLRQRIMXGLFLDOSURFHHGLQJV8QLWHG6WDWHVY&DUWHU
)G WK&LU ,DJUHHWKDWWKHUHZDV
HUURU LQ WKDW WKH *RYHUQPHQW IDLOHG WR UHFRPPHQG DW
VHQWHQFLQJWKDW'HIHQGDQWEHVHQWHQFHGDWWKHORZHQGRIWKH
JXLGHOLQHVDVSURPLVHGLQWKHSOHDDJUHHPHQW,GRQRWDJUHH
KRZHYHUWKDWLWZDVDQHUURUZKLFKDIIHFWHGVXEVWDQWLDOULJKWV
LQ WKLV FDVH RU WKDW VHULRXVO\ DIIHFWHG WKH IDLUQHVV RI WKH
MXGLFLDOSURFHHGLQJV
$GPLWWHGO\WKH*RYHUQPHQWDJUHHGLQWKHSOHDDJUHHPHQW
WRUHFRPPHQGWKDW%DUQHVEHVHQWHQFHGDWWKHORZHQGRIWKH
JXLGHOLQHV7KHSOHDDJUHHPHQWSURYLGHVLQUHOHYDQWSDUW
7KH*RYHUQPHQWDJUHHVWRGLVPLVVWKHLQGLFWPHQWLQ
7 LQ H[FKDQJH IRU WKH GHIHQGDQW¶V SOHD RI
JXLOW\ WR D RQH FRXQW ,QIRUPDWLRQ FKDUJLQJ KLP ZLWK
YLRODWLQJ86&† E 7KHJRYHUQPHQWDJUHHVWR
UHFRPPHQG WKDW WKH GHIHQGDQW¶V EDVH RIIHQVH OHYHO EH
FDOFXODWHGXVLQJWZRSRXQGVRIPDULMXDQD
7KH 'HIHQGDQWKDVEHHQLQIRUPHGRIWKHQDWXUHRI
WKHVHFKDUJHVDQGWKHHOHPHQWVRIWKHVHFKDUJHVZKLFK
PXVWEHSURYHGE\WKH*RYHUQPHQWEH\RQGDUHDVRQDEOH
GRXEWEHIRUHKHFRXOGEHIRXQGJXLOW\%\YROXQWDULO\

-- 9 of 10 --

8QLWHG6WDWHVY%DUQHV 1R
SOHDGLQJ JXLOW\ WKH 'HIHQGDQW NQRZLQJO\ ZDLYHV DQG
JLYHVXSKLVFRQVWLWXWLRQDOULJKWVWRSOHDGQRWJXLOW\WR
FRPSHO WKH *RYHUQPHQW WR SURYH KLV JXLOW EH\RQG D
UHDVRQDEOH GRXEW QRW WR EH FRPSHOOHG WR LQFULPLQDWH
KLPVHOI WR FRQIURQW DQG FURVVH[DPLQH WKH ZLWQHVVHV
DJDLQVWKLPWRKDYHWKHMXU\RUMXGJHGHWHUPLQHKLVJXLOW
RQWKHHYLGHQFHSUHVHQWHGDQGRWKHUFRQVWLWXWLRQDOULJKWV
ZKLFKDWWHQGDGHIHQGDQWRQWULDOLQDFULPLQDOFDVH%\
VLJQLQJWKLVDJUHHPHQWWKHGHIHQGDQWDGPLW>V@WKDWKHLV
LQIDFWJXLOW\RIWKLVRIIHQVHDQGZLOOHQWHUKLVJXLOW\SOHD
EHIRUHWKHFRXUW
7KH *RYHUQPHQW DJUHHV WR UHFRPPHQG WKDW WKH
'HIHQGDQWEHVHQWHQFHGDWWKHORZHQGRIWKHDSSOLFDEOH
VHQWHQFLQJJXLGHOLQHUDQJH

7KH'HIHQGDQWDFNQRZOHGJHV WKDWKHKDVQRWEHHQ
FRHUFHGWKUHDWHQHGRUSURPLVHGDQ\WKLQJRWKHUWKDQWKH
WHUPV RI WKLV SOHD DJUHHPHQW GHVFULEHG DERYH LQ
H[FKDQJHIRUKLVSOHDRIJXLOW\7KH'HIHQGDQWIXUWKHU
XQGHUVWDQGVWKDWKLVDWWRUQH\ZLOOEHIUHHWRDUJXHDQ\
PLWLJDWLQJ IDFWRUV LQ KLV EHKDOI DQG ZLOO EH IUHH WR
SURSRVHDQ\DOWHUQDWLYHVWRLQFDUFHUDWLRQDYDLODEOHXQGHU
WKH 6HQWHQFLQJ *XLGHOLQHV 7KH 'HIHQGDQW IXUWKHU
XQGHUVWDQGV WKDW KH ZLOO KDYH DQ RSSRUWXQLW\ WR
SHUVRQDOO\ DGGUHVV WKH &RXUW SULRU WR VHQWHQFH EHLQJ
LPSRVHG
7KH 'HIHQGDQW KDV GLVFXVVHG WKH WHUPV RI WKH
IRUHJRLQJ SOHD DJUHHPHQW ZLWK KLV DWWRUQH\ DQG LV
VDWLVILHGZLWKKLVDWWRUQH\DQGKLVDGYLFHDQGFRXQVHO
%HLQJDZDUHRIDOOWKHSRVVLEOHFRQVHTXHQFHVRIKLVSOHD
WKH'HIHQGDQWKDVLQGHSHQGHQWO\GHFLGHGWRHQWHUKLVSOHD
RQKLVRZQIUHHZLOODQGDIILUPVWKDWDJUHHPHQWRQWKH
GDWHDQGE\WKHVLJQDWXUHEHORZ
-$ HPSKDVHV DGGHG %DUQHV VLJQHG WKLV SOHD
DJUHHPHQW RQ 1RYHPEHU -$ DQG
1R 8QLWHG6WDWHVY%DUQHV
DFNQRZOHGJHGGRLQJVRWRWKHGLVWULFWFRXUWDWWKHFKDQJHRI
SOHDKHDULQJ
$WWKHFKDQJHRISOHDKHDULQJWKH'LVWULFW-XGJHUHDGWKH
SHUWLQHQWSURYLVLRQVRIWKHDJUHHPHQWYLUWXDOO\YHUEDWLPWR
%DUQHV
7+(&28577KHSOHDDJUHHPHQWSURYLGHVWKDWWKH
JRYHUQPHQWZLOOGLVPLVVWKHLQGLFWPHQWLQFDVH
LQ H[FKDQJH IRU \RXU SOHD RI JXLOW\ WR D RQHFRXQW
LQIRUPDWLRQFKDUJLQJ\RXZLWKYLRODWLQJ86&6HFWLRQ
E 7KHJRYHUQPHQWDJUHHVWRUHFRPPHQGWKDWWKH
GHIHQGDQW¶VEDVHRIIHQVHOHYHOEHFDOFXODWHGXVLQJWZR
SRXQGV RI PDULMXDQD <RX¶YH EHHQ LQIRUPHG RI WKH
QDWXUHRIWKHFKDUJHVDQGWKHHOHPHQWVRIWKHRIIHQVHWKDW
PXVWEHSURYHGE\WKHJRYHUQPHQWEH\RQGDUHDVRQDEOH
GRXEW <RX LQGLFDWH WKDW \RXU WKDW \RX KDYH EHHQ
DGYLVHGRIWKHULJKWVWKDW\RXDUHJLYLQJXSDQGWKHSOHD
DJUHHPHQWUHLWHUDWHVWKHULJKWVWKDW\RXDUHLQIDFWJLYLQJ
XS<RXDGPLWWKDW\RXDUHLQIDFWJXLOW\
7KH JRYHUQPHQW DJUHHV WR UHFRPPHQG WKDW \RX EH
VHQWHQFHG DW WKH ORZ HQG RI WKH DSSOLFDEOH JXLGHOLQH
UDQJHWKDW\RXUHFHLYHFUHGLWIRUUHVSRQVLELOLW\DQGWKDW
\RXUHFHLYHFUHGLWIRUDFFHSWDQFHRIUHVSRQVLELOLW\LI\RX
LQIDFWGHPRQVWUDWHDFFHSWDQFHRIUHVSRQVLELOLW\E\\RXU
FRQGXFWXSWRDQGLQFOXGLQJVHQWHQFLQJLQGLFDWHVWKDW
\RXDUHYROXQWDULO\SOHDGLQJJXLOW\WKDW\RXXQGHUVWDQG
\RX¶OO EH DEOH WR SHUVRQDOO\ DGGUHVV WKH FRXUW DW
VHQWHQFLQJ DQG WKDW \RXU DWWRUQH\ FDQ DUJXH DQ\
PLWLJDWLQJIDFWRUVRQ\RXUEHKDOI<RXLQGLFDWHWKDW\RX
DUHVDWLVILHGZLWK\RXUODZ\HUDQGKHUDGYLFH

7+(&28572ND\$QGGR\RXXQGHUVWDQGWKDWWKH
UHFRPPHQGDWLRQVRIWKHSOHDDJUHHPHQWZLWKUHVSHFWWR
WKH FDOFXODWLRQ RI WKH VHQWHQFLQJ JXLGHOLQHV DQG \RXU
UHFHLYLQJFUHGLWIRUDFFHSWDQFHRIUHVSRQVLELOLW\DQG\RXU
EHLQJVHQWHQFHGDWWKHORZHQGRIWKHJXLGHOLQHUDQJH
WKDWWKRVHDUHDOOUHFRPPHQGDWLRQVWRWKHFRXUW"'R\RX

-- 10 of 10 --