03a0196p.06

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
3$8/ *5(*25< +286(
3HWLWLRQHU$SSHOODQW
Y
5,&.< %(//:DUGHQ
5HVSRQGHQW$SSHOOHH
;!

1
1R
)LOHG-XQH
%HIRUH0$57,1&KLHI&LUFXLW-XGJH0(55,77
%2**61255,66,/(5%$7&+(/'(5
'$8*+75(<0225(&2/(&/$<DQG*,/0$1
&LUFXLW-XGJHV
BBBBBBBBBBBBBBBBB
25'(5
BBBBBBBBBBBBBBBBB
%2<&( ) 0$57,1 -5 &KLHI &LUFXLW -XGJH 3DXO
*UHJRU\+RXVHZKRKDVEHHQVHQWHQFHGWRGHDWKUHTXHVWVDQ
RUGHU DXWKRUL]LQJ )HGHUDO 'HIHQGHU 6HUYLFHV RI (DVWHUQ
7HQQHVVHH ,QF WR UHSUHVHQW KLP LQ SHQGLQJ VWDWH FRXUW
SURFHHGLQJV)HGHUDO'HIHQGHUZDVDSSRLQWHGWRUHSUHVHQW
+RXVHLQKLVIHGHUDOKDEHDVFRUSXVSURFHHGLQJLQWKH8QLWHG
6WDWHV 'LVWULFW &RXUW IRU WKH (DVWHUQ 'LVWULFW RI 7HQQHVVHH
SXUVXDQWWR86&† T 7KLVFRXUWKDV\HWWRLVVXHD
ILQDOHQEDQFGHFLVLRQDVZHDUHDZDLWLQJDUXOLQJIURPWKH
+RXVHY%HOO 1R
7HQQHVVHH6XSUHPH&RXUWRQWKUHHFHUWLILHGTXHVWLRQV$ZULW
RIFHUWLRUDULLVDOVRSHQGLQJEHIRUHWKH6XSUHPH&RXUWRIWKH
8QLWHG6WDWHV1HYHUWKHOHVV+RXVHKDVLQLWLDWHGOLWLJDWLRQLQ
RUGHU WR REWDLQ UHOLHI LQ WKH VWDWH FRXUWV RI 7HQQHVVHH RQ
FODLPV RI LQHIIHFWLYH DVVLVWDQFH RI FRXQVHO ZLWKKROGLQJ
H[FXOSDWRU\HYLGHQFHDQGPLVFRQGXFWE\WKHSROLFHDQGWKH
SURVHFXWRU +RXVH VHHNV WR KDYH )HGHUDO 'HIHQGHU¶V
DSSRLQWPHQW H[SDQGHG DQG WKHUHIRUH SDLG E\ WKH IHGHUDO
JRYHUQPHQWIRUWKHVWDWHFRXUWUHSUHVHQWDWLRQ$IWHUUHYLHZ
WKHDSSOLFDEOHFDVHODZIURPRXUVLVWHUFLUFXLWVZHILQGWKDW
6HFWLRQ T GRHVQRWDXWKRUL]HWKHH[SDQGHGDSSRLQWPHQW
$FFRUGLQJO\WKHPRWLRQLVGHQLHG
$V WKH IDFWV VXUURXQGLQJ +RXVH¶V FRQYLFWLRQ ZHUH IXOO\
GLVFXVVHGLQRXUSULRURSLQLRQ+RXVHY%HOO)G
WK&LU ZHZLOOQRWUHLWHUDWHWKHPKHUH7KH
VROHTXHVWLRQEHIRUHXVFRQFHUQVZKHWKHU6HFWLRQ T ZLOO
DOORZ)HGHUDO'HIHQGHUWREHFRPSHQVDWHGIRUDQ\VWDWHZRUN
6HFWLRQ T % DXWKRUL]HVWKHDSSRLQWPHQWRIFRXQVHO
IRUDQ\LQGLJHQWGHIHQGDQWLQDQ\SRVWFRQYLFWLRQSURFHHGLQJV
XQGHU86&† VHHNLQJWRYDFDWHRUVHWDVLGHDVWDWH
GHDWKVHQWHQFH DVZHOODVIRUIHGHUDOGHDWKVHQWHQFHVXQGHU
86&†7KHVWDWXWHDOVRSURYLGHVWKDWDGHIHQGDQW
LV HQWLWOHG WR ³WKH IXUQLVKLQJV RI VXFK RWKHU VHUYLFHV LQ
DFFRUGDQFHZLWKSDUDJUDSKV DQG ´
86& † T % 6HFWLRQ T SURYLGHV WKDW
DSSRLQWHGDWWRUQH\V
VKDOO UHSUHVHQW WKH GHIHQGDQW WKURXJKRXW HYHU\
VXEVHTXHQW VWDJH RI DYDLODEOH MXGLFLDO SURFHHGLQJV
LQFOXGLQJ WKH SUHWULDO SURFHHGLQJV WULDO VHQWHQFLQJ
PRWLRQVIRUQHZWULDODSSHDOVDSSOLFDWLRQVIRUZULWRI
FHUWLRUDULWRWKH6XSUHPH&RXUWRIWKH8QLWHG6WDWHVDQG
DOO DYDLODEOH SRVWFRQYLFWLRQ SURFHVV WRJHWKHU ZLWK
DSSOLFDWLRQVIRUVWD\VRIH[HFXWLRQDQGRWKHUDSSURSULDWH
PRWLRQV DQG SURFHGXUHV DQG VKDOO DOVR UHSUHVHQW WKH
GHIHQGDQW LQ VXFK FRPSHWHQF\ SURFHHGLQJV DQG
SURFHHGLQJVIRUH[HFXWLYHRURWKHUFOHPHQF\DVPD\EH
DYDLODEOHWRWKHGHIHQGDQW

-- 1 of 2 --

1R +RXVHY%HOO
:HDJUHHZLWKRXUVLVWHUFLUFXLWVWKDW6HFWLRQ T %
PXVWEHFRQVWUXHGQDUURZO\DQGDJUHHZLWKWKHLUFRQFOXVLRQ
WKDWWKHVWDWXWHGRHVQRWDXWKRUL]HIHGHUDOFRPSHQVDWLRQIRU
UHSUHVHQWDWLRQLQVWDWHSURFHHGLQJV6HH.LQJY0RRUH
)G WK&LU &ODUNY-RKQVRQ)G
WK&LU 6WHUOLQJY6FRWW)G
WK&LU +LOOY/RFNKDUW)G
WK&LU ,QUH/LQGVH\)G
WK&LU
6HFWLRQLVSDUWRIWKH$QWL'UXJ$EXVH$FWRI
3XE/1R6WDW7KHDFWSURYLGHVIRU
SXQLVKPHQWIRUHQJDJLQJLQFRQWLQXLQJFULPLQDOHQWHUSULVHVLQ
YLRODWLRQRIIHGHUDOGUXJODZVDQGSURYLGHVIRUWKHLPSRVLWLRQ
RIWKHGHDWKSHQDOW\LQFHUWDLQFDVHV86&†7KH
ODZDOVRHVWDEOLVKHVWKHSURFHGXUHVIRULPSRVLQJWKHGHDWK
SHQDOW\ LQ IHGHUDO FDVHV DQG SURYLGHV IRU FRXQVHO IRU
ILQDQFLDOO\ XQDEOH GHIHQGDQWV 6HFWLRQ T LV HQWLWOHG
³$SSHDO LQ FDSLWDO FDVHV FRXQVHO IRU ILQDQFLDOO\ XQDEOH
GHIHQGDQWV´$VWKHFRXUWQRWHGLQ.LQJWKHVWDWXWH³VHHPV
GLUHFWHGWRWKHDSSHDOVRIGHDWKSHQDOW\VHQWHQFHVLQIHGHUDO
FDVHV´ .LQJ )G DW +RZHYHU 6HFWLRQ
T % SURYLGHVIRUWKHDSSRLQWPHQWRIFRXQVHOLQDQ\
SURFHHGLQJXQGHU6HFWLRQRU6HFWLRQLQZKLFKWKH
GHIHQGDQW LV VHHNLQJ WR VHW DVLGH D VWDWH RU IHGHUDO GHDWK
VHQWHQFH
6KRXOG ZH DOORZ WKH LQWHUSUHWDWLRQ VXJJHVWHG E\ +RXVH
+RXVHZRXOGEHHQWLWOHGWRKDYH)HGHUDO'HIHQGHUUHSUHVHQW
KLPLQDQ\UHVXOWLQJQHZVWDWHWULDOVWDWHDSSHDODQGVWDWH
KDEHDVFRUSXVSURFHHGLQJVLIKLVFXUUHQWVHQWHQFHLVYDFDWHG
6HH LG :H ILQG WKLV SURSRVLWLRQ XQDFFHSWDEOH $V WKH
(OHYHQWK&LUFXLWVDLGLQ.LQJLGDW
1RWKLQJLQWKHOHJLVODWLYHKLVWRU\LQGLFDWHVWRXVWKDW
&RQJUHVVGHFLGHGWRSD\±E\SDVVLQJPRQH\WKURXJKWKH
IHGHUDOFRXUWV±ODZ\HUVWRUHSUHVHQWGHIHQGDQWVLQVWDWH
SURFHHGLQJV6HFWLRQ T % ZDVDGGHGWRWKHELOO
YHU\ ODWH LQ WKH VHVVLRQ DQG VHHPLQJO\ ZLWKRXW IORRU
GHEDWH 7KH ZKROH EXVLQHVV RI IHGHUDO FRPSHQVDWLRQ
+RXVHY%HOO 1R
FRQWUROOHGE\IHGHUDOFRXUWV IRUODZ\HUVDFWLQJLQVWDWH
SURFHHGLQJRQEHKDOIRIVWDWHSULVRQHUVVHHPVWRRELJDQG
LQQRYDWLYHWRKDYHEHHQGHDOWZLWKDWWKHWDLOHQGRID
VHVVLRQDVWKHOHJLVODWLRQZDVEHLQJDSSURYHGDWWKHODVW
PRPHQW :H FRQVLGHU LW XQOLNHO\ 7KH ODVWPLQXWH
QDWXUHRIWKHDPHQGPHQWDQGWKHODFNRIUHFRUGHGGHEDWH
DERXWWKHLVVXHIXUWKHUFORXGVRXUPLQGVWKDW&RQJUHVV
DFWXDOO\LQWHQGHGIRUVHFWLRQ T WRSURYLGHFRXQVHO
DW IHGHUDO H[SHQVH WR VWDWH SULVRQHUV HQJDJHG LQ VWDWH
SURFHHGLQJV
7KHUXOHLVVLPSOH7KHWZRUHSUHVHQWDWLRQVVKDOOQRWPL[
7KHVWDWHZLOOEHUHVSRQVLEOHIRUVWDWHSURFHHGLQJVDQGWKH
IHGHUDO JRYHUQPHQW ZLOO EH UHVSRQVLEOH IRU IHGHUDO
SURFHHGLQJV $V WKH ZHLJKW RI DXWKRULW\ GRHV QRW VXSSRUW
+RXVH¶VUHTXHVWWRKDYH)HGHUDO'HIHQGHUUHSUHVHQWKLPLQ
WKH VWDWH FRXUW SURFHHGLQJV DW WKH H[SHQVH RI WKH IHGHUDO
JRYHUQPHQW+RXVH¶VPRWLRQWRH[SDQG)HGHUDO'HIHQGHU¶V
UHSUHVHQWDWLRQ EH\RQG LWV IHGHUDO FRXUW UHVSRQVLELOLWLHV LV
'(1,('
(17(5('%<25'(52)7+(&2857
V/HRQDUG*UHHQ
BBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBB
&OHUN

-- 2 of 2 --