A Phase 1, Open-Label, Parallel-Cohort, Single-Dose Study to Evaluate the Effect of Renal Impairment on the Pharmacokinetics of LOXO-292
Phase: PHASE1
Conditions: Healthy, Renal Insufficiency
Sponsor: Eli Lilly and Company

1URWRFRO-*2;-=-($PHQGPHQW
$3KDVH2SHQ/DEHO3DUDOOHO&RKRUW6LQJOH'RVH6WXG\WR(YDOXDWHWKH(IIHFWRI5HQDO,PSDLUPHQWRQWKH
3KDUPDFRNLQHWLFVRI/2;2
1&7
$SSURYDO'DWH0D\


$SSHQGLFHV

6WXG\,QIRUPDWLRQ

3URWRFRODQG3URWRFRO$PHQGPHQWV
/2;25(7&$3URWRFRODQG3URWRFRO$PHQGPHQWV


3DJH
&OLQLFDO3URWRFRO
$3KDVH2SHQ/DEHO3DUDOOHO&RKRUW6LQJOH'RVH6WXG\WR(YDOXDWHWKH(IIHFWRI
5HQDO,PSDLUPHQWRQWKH3KDUPDFRNLQHWLFVRI/2;2
&HOHULRQ3URMHFW1R&$
6SRQVRU3URMHFW1R/2;25(7
86,1'1R
*&36WDWHPHQW
7KLVVWXG\LVWREHSHUIRUPHGLQIXOOFRPSOLDQFHZLWKWKHSURWRFRO*RRG&OLQLFDO3UDFWLFHV
*&3DQGDSSOLFDEOHUHJXODWRU\UHTXLUHPHQWV$OOUHTXLUHGVWXG\GRFXPHQWDWLRQZLOOEH
DUFKLYHGDVUHTXLUHGE\UHJXODWRU\DXWKRULWLHV
&RQILGHQWLDOLW\6WDWHPHQW
7KLVGRFXPHQWLVFRQILGHQWLDO,WFRQWDLQVSURSULHWDU\LQIRUPDWLRQRI/R[R2QFRORJ\,QF
DQGRU&HOHULRQ$Q\YLHZLQJRUGLVFORVXUHRIVXFKLQIRUPDWLRQWKDWLVQRWDXWKRUL]HGLQ
ZULWLQJE\/R[R2QFRORJ\,QFDQGRU&HOHULRQLVVWULFWO\SURKLELWHG6XFKLQIRUPDWLRQPD\
EHXVHGVROHO\IRUWKHSXUSRVHRIUHYLHZLQJRUSHUIRUPLQJWKLVVWXG\
/2;25(7&$3URWRFRODQG3URWRFRO$PHQGPHQWV


&21),'(17,$/
&$/2;25(7)LQDO3URWRFRO$PHQGPHQW0D\
3DJH

35272&2/5(9,6,21+,6725<
0D\
E\
)LQDO3URWRFRO$PHQGPHQW
3XUSRVHRI$PHQGPHQW
7KHSURWRFROLVXSGDWHGDWWKHUHTXHVWRIWKH6SRQVRUWRDGGIXUWKHU
FODULILFDWLRQIRUWKHFRPSXWDWLRQRIEDVHOLQHHVWLPDWHGJORPHUXODU
ILOWUDWLRQUDWHH*)5PHDVXUHPHQWVWRPRGLI\WKHLQFOXVLRQ
FULWHULRQZLWKUHVSHFWWRODERUDWRU\WHVWVWRIDFLOLWDWHVXEMHFW
UHFUXLWPHQWDQGDGGYHUELDJHWRDOORZUHVFUHHQLQJRIVFUHHQ
IDLOXUHVXEMHFWV
&KDQJHVWRWKH6WXG\3URWRFRO
6HFWLRQ6\QRSVLV>6XPPDU\RI6WXG\'HVLJQ@6HFWLRQ
2YHUDOO6WXG\'HVLJQDQG3ODQ6HFWLRQ$GGLWLRQDO
5HTXLUHPHQWVIRU6XEMHFWVZLWK5,,QFOXVLRQ6HFWLRQ
$GGLWLRQDO5HTXLUHPHQWVIRU+HDOWK\6XEMHFWV,QFOXVLRQ
DQG6HFWLRQ&OLQLFDO/DERUDWRU\7HVWVDUHXSGDWHGWR
UHIOHFWWKDWH*)5YDOXHVZLOOEHPHDVXUHGIRUDOOVXEMHFWVLH
VXEMHFWVZLWKUHQDOLPSDLUPHQW5,DQGKHDOWK\PDWFKHGFRQWURO
VXEMHFWVDQGWKDWHDFKLQGLYLGXDOH*)5PHDVXUHPHQWWDNHQIRU
H*)5PHDQEDVHOLQHHVWLPDWLRQLHWKHKLVWRULFDQGVFUHHQLQJ
PHDVXUHPHQWRUWKHVFUHHQLQJPHDVXUHPHQWVVKRXOGERWKEH
ZLWKLQWKHVSHFLILHGH*)5UDQJHVIRUWKDWFRKRUWWRFDWHJRUL]H
VXEMHFWV¶UHQDOLPSDLUPHQWVWDWXV
6HFWLRQ6WXG\3RSXODWLRQDQG6HFWLRQ0HWKRGRI
7UHDWPHQW$VVLJQPHQWKDVEHHQXSGDWHGWRDGGODQJXDJH
DOORZLQJUHVFUHHQLQJRIVFUHHQIDLOXUHVXEMHFWV
,QFOXVLRQ&ULWHULRQ6HFWLRQ$OO6XEMHFWVKDVEHHQ
UHPRYHGIURPWKLVVHFWLRQDQGDGGHGVHSDUDWHO\WR6HFWLRQ
$GGLWLRQDO5HTXLUHPHQWVIRU6XEMHFWVZLWK5,QRZ,QFOXVLRQ
&ULWHULRQDQG6HFWLRQ$GGLWLRQDO5HTXLUHPHQWVIRU
+HDOWK\6XEMHFWVQRZ,QFOXVLRQ&ULWHULRQDQGIXUWKHU
PRGLILHGLQ6HFWLRQWRDOORZVXEMHFWVZLWK5,ZLWKUHFKHFN
YDOXHVIRUSDUDPHWHUVDVOLVWHGLQWKHFULWHULRQWREHHOLJLEOHIRU
SDUWLFLSDWLRQLIYDOXHVDUHFRQVLVWHQWZLWKWKHLUUHQDOGLVHDVH
7\SRJUDSKLFDODQGJUDPPDWLFDOFRUUHFWLRQVDVZHOODVIRUPDWWLQJ
FKDQJHVZHUHPDGHWKURXJKRXWWKHSURWRFRO
/2;25(7&$3URWRFRODQG3URWRFRO$PHQGPHQWV

33'

&21),'(17,$/
&$/2;25(7)LQDO3URWRFRO$PHQGPHQW0D\

3DJH

-DQXDU\
E\


)LQDO3URWRFRO$PHQGPHQW
3XUSRVHRI$PHQGPHQW
7KHSURWRFROLVXSGDWHGDWWKHUHTXHVWRIWKH6SRQVRUSULPDULO\WR
FKDQJHWKHWLPHSHULRGEHWZHHQH*)5PHDVXUHPHQWVDW6FUHHQLQJ
DQGWKHWLPHSHULRGRIDFFHSWDEOHYDOXHVWREHXVHGDVKLVWRULFDO
H*)5IRUEDVHOLQHDVVHVVPHQW$GGLWLRQDOO\WKHIROORZLQJ
FKDQJHVZHUHPDGH
x 9HUELDJHIRUPDOHFRQWUDFHSWLYHXVHFRQFRPLWDQWPHGLFDWLRQ
XVHDQGUHVWULFWLRQVDQGVHULRXVDGYHUVHHYHQW6$(DGYHUVH
HYHQW$(UHSRUWLQJKDVEHHQXSGDWHG
x 6XEMHFWVZKRDUHSRVLWLYHIRUKHSDWLWLV%YLUXV+HSDWLWLV&
YLUXVRU+XPDQLPPXQRGHILFLHQF\YLUXVE\DQWLERG\ZLOO
UHTXLUHFRQILUPDWLRQE\SRO\PHUDVHFKDLQUHDFWLRQ3&5
EHIRUHHQUROOPHQWWRGHWHFWSUHVHQFHRIDFWLYHYLUXV
x 9HUELDJHFRQFHUQLQJVPRNLQJVWDWXVIRUVXEMHFWVZLWKUHQDO
LPSDLUPHQWKDVEHHQXSGDWHG
x )HQWDQ\OKDVEHHQUHPRYHGIURPWKHODERUDWRU\GUXJVFUHHQ
SDQHODQGWHVWVIRUPHWKDGRQHFRFDLQHPHWDEROLWH
DGGLWLRQDOWHVWV±GUXJSDQHOSDUWLDOWKURPERSODVWLQWLPH
FRDJXODWLRQPHDQFRUSXVFXODUKHPRJORELQKHPDWRORJ\
DQGFRORUDQGDSSHDUDQFHXULQDO\VLVKDYHEHHQDGGHG
x $QHZVHFWLRQFRYHULQJVXEMHFWFRQILGHQWLDOLW\KDVEHHQ
LQVHUWHGLQWRWKHSURWRFRO7KLVVHFWLRQZDVUHTXHVWHGE\WKH
,QVWLWXWLRQDO5HYLHZ%RDUG,5%WREHLQFOXGHGLQDOO&HOHULRQ
JHQHUDWHGSURWRFROV
x 5HIHUHQFHWR³'D\´RU³&KHFNLQ´ZHUHUHSODFHGWKURXJKRXW
WKHSURWRFROIRU³&KHFNLQ'D\´
x 1RPHQFODWXUHLQUHIHUHQFHWRVWXG\YLVLWVLH(27(7DQG
(26KDVEHHQXSGDWHGIRUFODULW\SXUSRVHV
&KDQJHVWRWKH6WXG\3URWRFRO
6HFWLRQ6\QRSVLV6XPPDU\RI6WXG\GHVLJQ6HFWLRQ
2YHUDOO6WXG\'HVLJQDQG3ODQ6HFWLRQ$GGLWLRQDO
5HTXLUHPHQWVIRU6XEMHFWVZLWK5,±&ULWHULRQ>SUHYLRXVO\@
6HFWLRQ$GGLWLRQDO5HTXLUHPHQWVIRU6XEMHFWVZLWK5,±
&ULWHULRQDQG6HFWLRQ&OLQLFDO/DERUDWRU\7HVWV7H[W
/2;25(7&$3URWRFRODQG3URWRFRO$PHQGPHQWV

33'

&21),'(17,$/
&$/2;25(7)LQDO3URWRFRO$PHQGPHQW0D\
3DJH
KDVEHHQXSGDWHGWRUHIOHFWWKDWLIQRKLVWRULFDOPHDVXUHPHQWIRU
H*)5LVDYDLODEOHLQDGGLWLRQWRWKH6FUHHQLQJH*)5WRSURYLGHD
PHDQDVHFRQG6FUHHQLQJH*)5VDPSOHLVWREHWDNHQGXULQJWKH
6FUHHQLQJSHULRGtGD\VDSDUWDQGQRWDVSUHYLRXVO\VSHFLILHG
DVDEDVHOLQHVDPSOHDWKRXUV,IDQKLVWRULFDOPHDVXUHPHQWLV
DYDLODEOHWKLVKDVDGGLWLRQDOO\EHHQXSGDWHGWRUHIOHFWWKH
PHDVXUHPHQWPXVWEHUHFRUGHGZLWKLQPRQWKVRI6FUHHQLQJ
6HFWLRQ6WXG\(YHQWV)ORZ&KDUW&ROXPQIRU'D\KDVEHHQ
XSGDWHGWRLQGLFDWHWKDW(QGRI7UHDWPHQW(27LVHTXLYDOHQWWR
&OLQLF'LVFKDUJH)RRWQRWHV³G´DQG³H´KDYHEHHQXSGDWHGWR
FODULI\GHILQLWLRQVIRU(QGRI7UHDWPHQW(27(DUO\7HUPLQDWLRQ
(7DQG(QGRI6WXG\(26
6HFWLRQ6WXG\(YHQWV)ORZ&KDUW)RRWQRWH³O´6HFWLRQ
0RQLWRULQJ6HFWLRQ5HSRUWLQJDQG6HFWLRQ
6HULRXV$GYHUVH(YHQWVKDYHEHHQXSGDWHGIRU$(DQG
6$(UHSRUWLQJYHUELDJH
6HFWLRQ,QFOXVLRQ&ULWHULD$OO6XEMHFWV&ULWHULRQKDV
EHHQXSGDWHGWRUHIOHFWERWKSDUWLFLSDWLQJPDOHVDQGWKHLUIHPDOH
SDUWQHUVPXVWXVHFRQWUDFHSWLRQWKHUHE\HQVXULQJWKHSDUWLFLSDWLQJ
PDOHZLOOEHUHVSRQVLEOHIRUFRQWUDFHSWLYHXVH
6HFWLRQ$GGLWLRQDO5HTXLUHPHQWVIRU6XEMHFWVZLWK5,
&ULWHULRQLVXSGDWHGWRUHPRYHGHILQLWLRQDVVWDWHGLQWKH
SDUHQWKHVLVIRUPRGHUDWHVPRNHUUHTXLUHPHQWLH
FLJDUHWWHVGD\RUWKHHTXLYDOHQW
6HFWLRQ$GGLWLRQDO5HTXLUHPHQWVIRU6XEMHFWVZLWK5,
&ULWHULRQKDVEHHQUHPRYHG³6XEMHFWKDVVWDEOHUHQDOGLVHDVH
VWDWXVDQGIXQFWLRQDWOHDVWPRQWKSULRUWR/2;2
DGPLQLVWUDWLRQ´DVUHTXLUHPHQWVRIWKLVFDYHDWLVFRYHUHGE\
&ULWHULRQLQ([FOXVLRQ6HFWLRQ$GGLWLRQDO5HTXLUHPHQWV
IRU6XEMHFWVZLWK5,
6HFWLRQ([FOXVLRQ&ULWHULD$OO6XEMHFWV&ULWHULRQKDV
EHHQXSGDWHGWRUHIOHFWWKDWVXEMHFWVZKRDUHSRVLWLYHIRUKHSDWLWLV
%YLUXVKHSDWLWLV&YLUXVRUKXPDQLPPXQRGHILFLHQF\YLUXVE\
DQWLERG\ZLOOUHTXLUHFRQILUPDWLRQE\3&5EHIRUHHQUROOPHQWWR
GHWHFWSUHVHQFHRIDFWLYHYLUXV6XEMHFWVZKRDUH3&5SRVLWLYHZLOO
QRWEHHOLJLEOH7KHIROORZLQJFULWHULRQ3UHYLRXVO\&ULWHULRQ
KDVEHHQGHOHWHGDQGLQFRUSRUDWHGLQWRWKHVXFFHHGLQJFULWHULRQ
³,VXQDEOHWRUHIUDLQIURPRUDQWLFLSDWHVWKHXVHRIDQ\PHGLFDWLRQ
RUVXEVWDQFHLQFOXGLQJSUHVFULSWLRQRURYHUWKHFRXQWHUSURWRQ
SXPSLQKLELWRUV33,VYLWDPLQVXSSOHPHQWVQDWXUDORUKHUEDO
VXSSOHPHQWVIURPGD\VSULRUWRGRVLQJDQGWKURXJKRXWWKH
/2;25(7&$3URWRFRODQG3URWRFRO$PHQGPHQWV


&21),'(17,$/
&$/2;25(7)LQDO3URWRFRO$PHQGPHQW0D\
3DJH
VWXG\´WKXV&ULWHULRQQRZVWDWHV³,VXQDEOHWRUHIUDLQIURPRU
DQWLFLSDWHVWKHXVHRIDQ\PRGHUDWHRUVWURQJLQKLELWRURULQGXFHU
RI&<3$$RUVWURQJLQKLELWRURI3JSSURWRQSXPS
LQKLELWRUVDQWDFLGVDQG+UHFHSWRUDQWDJRQLVWVIURPGD\V
SULRUWRGRVLQJDQGWKURXJK(27RU(7´&ULWHULRQLQ
UHIHUHQFHWR³PHGLFDWLRQLQFOXGLQJRYHUWKHFRXQWHUWKDWZRXOG
VLJQLILFDQWO\DOWHUH*)5´KDVEHHQPRYHGXSWRJURXSZLWKRWKHU
PHGLFDWLRQUHODWHGFULWHULDDQGLVWKXV&ULWHULRQ
,Q FRQVHTXHQFHWKHIROORZLQJ &ULWHULRQ  XQGHU 6HFWLRQ 
$GGLWLRQDO 5HTXLUHPHQWV IRU 6XEMHFWV ZLWK 5, ZDV DGGHG
³8QDEOHWRUHIUDLQIURPRUDQWLFLSDWHVWKHXVHRIDQ\PHGLFDWLRQRU
VXEVWDQFHLQFOXGLQJSUHVFULSWLRQRURYHUWKHFRXQWHUPHGLFDWLRQV
YLWDPLQVXSSOHPHQWVQDWXUDORUKHUEDOVXSSOHPHQWVIURPGD\V
SULRUWRGRVLQJDQGWKURXJK(27RU(7XQOHVVLWLVDSUHVFULSWLRQ
RU QRQSUHVFULSWLRQ PHGLFDWLRQ XVHG WR WUHDW PDQLIHVWDWLRQV RI
UHQDOGLVHDVHRUPHGLFDWLRQVQHHGHGWRWUHDWVWDEOHGLVHDVHVZKLFK
KDVEHHQDSSURYHGE\WKH3,RUGHVLJQHHZLWKDJUHHPHQWIURP
WKH&HOHULRQ0HGLFDO0RQLWRUDQGWKH6SRQVRUDQGSURYLGHGWKH\
KDYHEHHQRQDVWDEOHUHJLPHQIRUDWOHDVWGD\VSULRUWRGRVLQJ
DQG DUH DEOH WR ZLWKKROG XVH IRU  KRXUV SUHGRVH DQG KRXUV
SRVWGRVH RQ WKH GD\ RI GRVH DGPLQLVWUDWLRQ 'D\  XQOHVV
DSSURYHGE\WKH3,RUGHVLJQHH&HOHULRQ0HGLFDO0RQLWRUDQG
6SRQVRU´
$GGLWLRQDOO\ &ULWHULRQ  XQGHU 6HFWLRQ  $GGLWLRQDO
5HTXLUHPHQWV IRU +HDOWK\ 6XEMHFWV ZDV DGGHG ³,V XQDEOH WR
UHIUDLQIURPRUDQWLFLSDWHVWKHXVHRIDQ\PHGLFDWLRQRUVXEVWDQFH
LQFOXGLQJ SUHVFULSWLRQ RU RYHUWKHFRXQWHU PHGLFDWLRQV YLWDPLQ
VXSSOHPHQWVQDWXUDORUKHUEDOVXSSOHPHQWVIURPGD\VSULRUWR
GRVLQJ DQG WKURXJK (27 RU (7 XQOHVV DSSURYHG E\ WKH 3, RU
GHVLJQHHZLWKDJUHHPHQWIURPWKH&HOHULRQ0HGLFDO0RQLWRUDQG
WKH6SRQVRU´
6HFWLRQ  3URKLELWLRQV DQG &RQFRPLWDQW 0HGLFDWLRQV ZDV
DOVR XSGDWHG WR EH FRQVLVWHQW ZLWK WKH DGGLWLRQ RI &ULWHULRQ 
XQGHU6HFWLRQ$GGLWLRQDO5HTXLUHPHQWVIRU6XEMHFWVZLWK
5, DQG &ULWHULRQ  XQGHU 6HFWLRQ  $GGLWLRQDO
5HTXLUHPHQWVIRU+HDOWK\6XEMHFWV
6HFWLRQ3URKLELWLRQV DQG &RQFRPLWDQW 0HGLFDWLRQ 7KH
IROORZLQJ  UHVWULFWLRQV KDYH EHHQ DGGHG ³3DUWLFLSDWLRQ LQ DQ\
RWKHU LQYHVWLJDWLRQDO VWXG\ GUXJ WULDO LQ ZKLFK UHFHLSW RI DQ\
LQYHVWLJDWLRQDO GUXJ RFFXUV ZLWKLQ  KDOIOLYHV LI NQRZQ RU
GD\V ZKLFKHYHU LV ORQJHU SULRU WR &KHFNLQ 'D\  LV
SURKLELWHG´³$Q\GUXJWKDWSURORQJVWKH4747FLQWHUYDOZLOOEH
SURKLELWHG IRU GD\V SULRU WR WKH GRVLQJ DQG WKURXJK (27 RU
/2;25(7&$3URWRFRODQG3URWRFRO$PHQGPHQWV


&21),'(17,$/
&$/2;25(7)LQDO3URWRFRO$PHQGPHQW0D\

3DJH
(7´ DQG ³2WKHU )UXLW -XLFH  KRXUV SULRU WR ILUVW GRVLQJ DQG
WKURXJK(27RU(7´$GGLWLRQDOO\WKHUHDUHJHQHUDOPRGLILFDWLRQV
LPSOHPHQWHGWRYHUELDJHLQWKLVVHFWLRQ
6HFWLRQ$FWLYLW\YHUELDJHKDVEHHQXSGDWHGWRUHIOHFW
PRGLILFDWLRQVPDGHWR&ULWHULRQRI6HFWLRQ$GGLWLRQDO
5HTXLUHPHQWVIRU6XEMHFWVZLWK5,DQGWRFODULI\WKDWKHDOWK\
PDWFKHGFRQWUROVXEMHFWVZLOOQRWEHSHUPLWWHGWRVPRNHRULQJHVW
WREDFFRRUQLFRWLQHFRQWDLQLQJSURGXFWVIURPPRQWKVSULRUWR
6FUHHQLQJWKURXJKWKH(27RU(7DVLQGLFDWHGLQWKHHOLJLELOLW\
FULWHULD
6HFWLRQ6WXG\$VVHVVPHQWVDQG3URFHGXUHV7H[WKDVEHHQ
PRGLILHGWRGHQRWHEORRGFROOHFWLRQZLOOIROORZZLQGRZVDV
SURYLGHGLQ6HFWLRQ6WXG\(YHQWV)ORZ&KDUW
6HFWLRQ&OLQLFDO/DERUDWRU\7HVWV)HQWDQ\OKDVEHHQ
UHPRYHGIURPWKHXULQHGUXJSDQHODVIHQWDQ\OLVQRWW\SLFDOO\
WHVWHGLQURXWLQHGUXJVFUHHQV7KHGHWHFWLRQDQGPRQLWRULQJRI
IHQWDQ\OLVGLIILFXOWGXHWRWKHGUXJ¶VVKRUWKDOIOLIH)HQWDQ\OLV
RQO\GHWHFWDEOHLQWKHXULQHIRUDSSUR[LPDWHO\KRXUVDQGZRXOG
EHHVVHQWLDOO\XQGHWHFWDEOHE\KRXUV7HVWVIRUPHWKDGRQH
FRFDLQHPHWDEROLWHDGGLWLRQDOWHVWV±GUXJSDQHOSDUWLDO
WKURPERSODVWLQWLPHFRDJXODWLRQPHDQFRUSXVFXODUKHPRJORELQ
KHPDWRORJ\DQGFRORUDQGDSSHDUDQFHXULQDO\VLVKDYHEHHQ
DGGHG
6HFWLRQ%ORRG6DPSOLQJDQG3URFHVVLQJ7KHWDEOHZLWK
EORRGFROOHFWLRQZLQGRZVKDVEHHQUHPRYHGDQGWH[WLVXSGDWHGWR
GHQRWHWKDWUHIHUHQFHZLOOEHPDGHWRZLQGRZVDVUHIOHFWHGLQ
6HFWLRQ6WXG\(YHQWV)ORZ&KDUW
6HFWLRQ3KDUPDFRNLQHWLF3DUDPHWHUV6HFWLRQ'DWD
4XDOLW\$VVXUDQFH6HFWLRQ'UXJ6XSSOLHV3DFNDJLQJDQG
/DEHOLQJ6HFWLRQ'DWD+DQGOLQJDQG5HFRUG.HHSLQJDQG
6HFWLRQ5HSRUW)RUPDW7H[WKDVEHHQXSGDWHGWRFODULI\
WKDWWKH)LQDO5HSRUWLVWKH&OLQLFDO6WXG\5HSRUW
6HFWLRQ8ULQH&ROOHFWLRQ7H[WKDVEHHQPRGLILHGIRU
FODULW\
$QHZVHFWLRQ&RQILGHQWLDOLW\KDVEHHQLQVHUWHGLQWRWKH
SURWRFROWRLQFOXGHYHUELDJHIRUVXEMHFWFRQILGHQWLDOLW\PDLQWDLQHG
GXULQJWKHWULDO
$VDSSURSULDWHWKURXJKRXWWKHSURWRFROGRFXPHQWUHIHUHQFHWR
³'D\´RU³&KHFNLQ´ZHUHUHSODFHGZLWK³&KHFNLQ'D\´
/2;25(7&$3URWRFRODQG3URWRFRO$PHQGPHQWV


&21),'(17,$/
&$/2;25(7)LQDO3URWRFRO$PHQGPHQW0D\
3DJH
DQGQRPHQFODWXUHWKURXJKRXWWKHSURWRFROGRFXPHQWLQUHIHUHQFH
WRVWXG\YLVLWVLH(27(7DQG(26KDVEHHQXSGDWHGIRU
FODULW\SXUSRVHV
'HFHPEHU
E\
)LQDO3URWRFRO$PHQGPHQW
3XUSRVHRI$PHQGPHQW
7KHSURWRFROLVEHLQJDPHQGHGGXHWRDUHTXHVWE\WKH,QVWLWXWLRQDO
5HYLHZ%RDUGWRFODULI\ODQJXDJHIRUWKHUHSRUWLQJRIVHULRXV
DGYHUVHHYHQWV6$(VGXULQJWKHVWXG\,QDGGLWLRQDWUHTXHVWRI
WKH6SRQVRUDEEUHYLDWHGSK\VLFDOH[DPLQDWLRQDVVHVVPHQWV
DGGLWLRQDOODERUDWRU\VDIHW\WHVWVFRWLQLQHWHVWKHDOWK\VXEMHFWV
RQO\DQGDPRGLILFDWLRQWRWKHYLWDOVLJQVDQGHOHFWURFDUGLRJUDP
(&*VFKHGXOHDUHDGGHGWRWKHVWXG\FRQGXFW$WUHTXHVWRIWKH
6SRQVRUWKHXSSHUDJHOLPLWIRULQFOXVLRQKDVDOVREHHQLQFUHDVHG
WLPHZLQGRZVKDYHEHHQPRGLILHGIRUYLWDOVLJQVDQG(&*
FRQGXFWDQGWKHUHTXLUHPHQWIRUVWDQGDUGL]HGPHDOVDFURVVVLWHV
KDVEHHQUHPRYHG7KHWLPHGXUDWLRQIRUGDWDUHWHQWLRQKDVEHHQ
XSGDWHGWRUHIOHFWWKH,QWHUQDWLRQDO&RQIHUHQFHRQ+DUPRQL]DWLRQ
UHTXLUHPHQWV
&KDQJHVWRWKH6WXG\3URWRFRO
6HFWLRQ6\QRSVLV6WXG\2EMHFWLYHV6HFWLRQ
2EMHFWLYHVDQG6HFWLRQ(QGSRLQWVKDYHEHHQPRGLILHGWR
LQFOXGHXULQHSKDUPDFRNLQHWLFV
6HFWLRQ6\QRSVLV6XPPDU\RI6WXG\'HVLJQ6HFWLRQ
&RQILQHPHQW5HWXUQ9LVLWVDQG)ROORZXSDQG6HFWLRQ
(QGRI6WXG\'HILQLWLRQKDYHEHHQXSGDWHGWRUHIOHFWWKDWWKH
(QGRI7ULDOLVZKHQWKHVXEMHFWLVUHOHDVHGIURPWKH&58DQG
(QGRI6WXG\LVZKHQWKHVXEMHFWFRPSOHWHVWKHIROORZXSSKRQH
FDOO7KHVHVHFWLRQVLQFOXGLQJIRRWQRWH³H´RIWKH6WXG\(YHQWV
)ORZ&KDUWKDYHEHHQDGGLWLRQDOO\XSGDWHGWRUHIOHFWWKH
IROORZXSFRQWDFWZLOOEHUHODWLYHWRVWXG\GUXJUHODWHGDGYHUVH
HYHQWV
6HFWLRQ6\QRSVLV.H\$VVHVVPHQWVKDVEHHQXSGDWHGWR
PRGLI\YHUELDJHIRUVDIHW\DVVHVVPHQWV
6HFWLRQ6WXG\(YHQWV)ORZ&KDUWKDVEHHQPRGLILHGWR
FRPELQH'D\DQGWKH(QGRI7ULDO(DUO\7HUPLQDWLRQFROXPQ
6HFWLRQ6WXG\(YHQWV)ORZ&KDUWDQG6HFWLRQ
([FOXVLRQ&ULWHULDKDYHEHHQXSGDWHGWRLQFOXGHDFRWLQLQHWHVWDV
DQDGGLWLRQDOUHTXLUHPHQWIRUKHDOWK\VXEMHFWV6HFWLRQ
/2;25(7&$3URWRFRODQG3URWRFRO$PHQGPHQWV

33'

&21),'(17,$/
&$/2;25(7)LQDO3URWRFRO$PHQGPHQW0D\

3DJH
&ULWHULRQKDVEHHQXSGDWHGWRLQFOXGHUHIHUHQFHWRWREDFFR
FRQWDLQLQJSURGXFWV

6HFWLRQ6WXG\(YHQWV)ORZFKDUWDQG6HFWLRQ9LWDO
6LJQVKDYHEHHQPRGLILHGWRGHQRWHDFKDQJHWRWKHYLWDOVLJQV
DQG(&*VFKHGXOHRQ'D\:HLJKWZLOODOVREHPHDVXUHGRQ
'D\UHPRYLQJWKHKRXUZLQGRZSULRUWR'D\GRVLQJ
$GGLWLRQDOO\WKHGHYLDWLRQZLQGRZVKDYHEHHQUHPRYHGIRU
SRVWWUHDWPHQW(&*V6HFWLRQDQGSRVWWUHDWPHQWYLWDOVLJQV
KRXUV$VSHUXSGDWHGIRRWQRWHV³J´DQG³K´RIWKH6WXG\
(YHQWV)ORZ&KDUW(&*VDQGYLWDOVLJQPHDVXUHPHQWVXQOHVV
RWKHUZLVHLQGLFDWHGZLOOEHREWDLQHGSULRUWRDQGDVFORVHDV
SRVVLEOHWRWKHVFKHGXOHGEORRGGUDZV
6HFWLRQ6WXG\(YHQWV)ORZ&KDUWIRRWQRWH³Q´KDVEHHQ
LQFOXGHGWRGHQRWHWKHWLPHZLQGRZIRUWKHSUHGRVHSURWHLQ
ELQGLQJVDPSOH
6HFWLRQ6WXG\(YHQWV)ORZ&KDUWDQG6HFWLRQ3K\VLFDO
([DPLQDWLRQVKDYHEHHQPRGLILHGWRGHQRWHWKHFRQGXFWRI
DGGLWLRQDODEEUHYLDWHGH[DPLQDWLRQVRQ'D\DQGDW+RXU
SRVWGRVHRQ'D\
6HFWLRQ/2;2%DFNJURXQG3DUDJUDSKKDVEHHQ
PRGLILHGWRLQFOXGHSRVVLEOHSDQFUHDVLQMXU\DVDWKHRUHWLFDOULVN
EDVHGRQDQLPDOWR[LFRORJ\VWXGLHVRIKXPDQH[SRVXUHWR
/2;2WKLVLVQRWHGLQWKH,QYHVWLJDWRU¶V%URFKXUHEXWZDV
RPLWWHGLQHUURULQSUHYLRXVSURWRFROYHUVLRQ
6HFWLRQ5LVNVDQGRU%HQHILWVWR6XEMHFWV3DUDJUDSK³$(
TXHVWLRQLQJ´KDVEHHQXSGDWHGWRXVHWKHYHUELDJH³$(
PRQLWRULQJ´
6HFWLRQ2YHUDOO6WXG\GHVLJQDQG3ODQ3DUDJUDSKKDV
EHHQXSGDWHGWRUHIOHFWDFWXDOVDIHW\HYHQWVEHLQJDVVHVVHGGXULQJ
WKHVWXG\
6HFWLRQ,QFOXVLRQ&ULWHULD&ULWHULRQKDVEHHQXSGDWHGWR
UHIOHFWDQLQFUHDVHLQWKHXSSHUDJHOLPLWWRIURP
6HFWLRQ0HDOVDVWKHFRQGXFWRIWKLVVWXG\LVZLWKLQ
PXOWLSOHFHQWHUVWKHFDYHDWIRUVWDQGDUGL]HGPHDOVZLWKUHJDUGWR
FRPSRVLWLRQDQGFDORULHFRQWHQWKDVEHHQUHPRYHG
6HFWLRQ6FUHHQLQJKDVEHHQXSGDWHGWRLQFOXGHYHUELDJHIRU
³VHUXPFKHPLVWU\WK\URLGVWLPXODWLQJKRUPRQHSUHJQDQF\
IROOLFOHVWLPXODWLQJKRUPRQHWHVWVOLSDVHDQGDP\ODVH´LQWKHOLVW
/2;25(7&$3URWRFRODQG3URWRFRO$PHQGPHQWV


&21),'(17,$/
&$/2;25(7)LQDO3URWRFRO$PHQGPHQW0D\
3DJH
RIODERUDWRU\SDQHOVWHVWVEHLQJDVVHVVHGDWWKH6FUHHQLQJYLVLW
6HFWLRQ&OLQLFDO/DERUDWRU\7HVWVLQWKHKHPDWRORJ\
SDQHOWRWDODQGGLIIHUHQWLDOOHXNRF\WHFRXQWKDVEHHQUHPRYHGDQG
VSHFLILFDOO\UHSODFHGZLWKWKHIROORZLQJSDUDPHWHUVZKLWHEORRG
FHOOFRXQWZKLWHEORRGFHOOGLIIHUHQWLDODEVROXWHDQGSHUFHQW
EDVRSKLOVHRVLQRSKLOVO\PSKRF\WHVPRQRF\WHVDQGQHXWURSKLOV
$GGLWLRQDOO\UHGEORRGFHOOGLVWULEXWLRQZLGWKPHDQFRUSXVFXODU
KHPRJORELQFRQFHQWUDWLRQDQGPHDQFRUSXVFXODUYROXPHKDYH
EHHQDGGHG,QWKHVHUXPFKHPLVWU\SDQHOWKHIROORZLQJWHVWVKDYH
EHHQDGGHGFDOFLXPLURQWRWDOSURWHLQDQGXULFDFLG
3KHQF\FOLGLQHDQGFRWLQLQHKHDOWK\VXEMHFWVRQO\KDYHDOVREHHQ
DGGHGWRWKH³RWKHU´ODERUDWRU\WHVWSDQHO
6HFWLRQ0RQLWRULQJYHUELDJHKDVEHHQPRGLILHGIRU$(
TXHVWLRQLQJPRQLWRULQJ$GGLWLRQDOO\RXWFRPHGHILQLWLRQVIRU$(
UHVROXWLRQVKDYHEHHQXSGDWHG
6HFWLRQ5HSRUWLQJDQGIRRWQRWH³O´RIWKH6WXG\)ORZ
&KDUW6HFWLRQKDYHEHHQXSGDWHGWRGHQRWHWKDW)ROORZLQJ
&OLQLF'LVFKDUJHWKURXJK(QGRI6WXG\DOO6$(VUHJDUGOHVVRI
GUXJUHODWLRQVKLSPXVWEHUHSRUWHG$GGLWLRQDOO\6HFWLRQ
6HULRXV$GYHUVH(YHQWV3DUDJUDSKKDVEHHQPRGLILHGLQOLQH
ZLWKWKHVHFKDQJHV
6HFWLRQ3KDUPDFRNLQHWLF3DUDPHWHUVWKHIROORZLQJ
YHUELDJHKDVEHHQDGGHG1RYDOXHIRU.HO$8&H[WUDS
$8&LQI&/)9])RUWòZLOOEHUHSRUWHGIRUFDVHVWKDWGRQRW
H[KLELWDWHUPLQDOORJOLQHDUSKDVHLQWKHFRQFHQWUDWLRQWLPH
SURILOH
6HFWLRQ'DWD+DQGOLQJDQG5HSRUWLQJKDVEHHQXSGDWHGWR
UHIOHFWVWXG\UDZGDWDDQGDQRULJLQDOFRS\RIWKHILQDOUHSRUWZLOO
EHUHWDLQHGE\WKHSDUWLFLSDWLQJ&OLQLFDO5HVHDUFK8QLWVIRUDWOHDVW
\HDUV
2FWREHU
E\
)LQDO3URWRFRO
/2;25(7&$3URWRFRODQG3URWRFRO$PHQGPHQWV

33'

&21),'(17,$/
&$/2;25(7)LQDO3URWRFRO$PHQGPHQW0D\
3DJH

6321625±6,*1$725<
$3KDVH2SHQ/DEHO3DUDOOHO&RKRUW6LQJOH'RVH6WXG\WR(YDOXDWHWKH(IIHFWRI
5HQDO,PSDLUPHQWRQWKH3KDUPDFRNLQHWLFVRI/2;2
6321625
/R[R2QFRORJ\,QF
*DWHZD\%RXOHYDUG6XLWH
6RXWK6DQ)UDQFLVFR&DOLIRUQLD86$
6321625¶6
5(35(6(17$7,9(
&RQVXOWDQWWR/R[R2QFRORJ\,QF
0RELOH
(0DLO
6LJQDWXUH
'DWH
0D\_3'7
6L
6L
6L
6L
6L
6L
6L
6L
6L
6L
6L
6L
6L
6 JQDWXUH
/2;25(7&$3URWRFRODQG3URWRFRO$PHQGPHQWV

33'
33'
33'
33'
33'

/2;25(7&$3URWRFRODQG3URWRFRO$PHQGPHQWV

33'
33'
33'
33'

/2;25(7&$3URWRFRODQG3URWRFRO$PHQGPHQWV

33'
33'
33'
33'
33'

/2;25(7&$3URWRFRODQG3URWRFRO$PHQGPHQWV

33'
33'
33'

/2;25(7&$3URWRFRODQG3URWRFRO$PHQGPHQWV

33'
33'
33'

/2;25(7&$3URWRFRODQG3URWRFRO$PHQGPHQWV

33'
33'
33'
33'33'

/2;25(7&$3URWRFRODQG3URWRFRO$PHQGPHQWV

33'
33'
33'
33'

&21),'(17,$/
&$/2;25(7)LQDO3URWRFRO$PHQGPHQW0D\

3DJH

$'',7,21$/.(<&217$&76)257+(678'<
6SRQVRU&RQWDFW,QIRUPDWLRQ
IRU6HULRXV$GYHUVH(YHQW
5HSRUWLQJ
HID[
(PDLOVDIHW\#OR[RRQFRORJ\FRP


0HGLFDO0RQLWRU

&RQVXOWDQWWR/R[R2QFRORJ\,QF
0RELOH

(PDLO


$GGLWLRQDO6SRQVRU&RQWDFW


/R[R2QFRORJ\,QF
7HO

(PDLO


3URWRFRO$XWKRU


&HOHULRQ
/LVEXUQ5RDG
%HOIDVW%7$'
1RUWKHUQ,UHODQG
7HO

)D[

(PDLO


&HUWLILHG&OLQLFDO/DERUDWRU\
&RQWDFWLQIRUPDWLRQZLOOEHSURYLGHGLQDVHSDUDWH
GRFXPHQW

%LRDQDO\WLFDO/DERUDWRU\IRU
/2;2
$OWXUDV$QDO\WLFV,QF
$OWXUDV7HFKQRORJ\3DUN
$OWXUDV'ULYH
0RVFRZ,GDKR86$
7HO


/2;25(7&$3URWRFRODQG3URWRFRO$PHQGPHQWV

33'
33'
33'
33'
33'
33'
33'
33'
33'
33'
33'
33'

&21),'(17,$/
&$/2;25(7)LQDO3URWRFRO$PHQGPHQW0D\

3DJH
3KDUPDFRNLQHWLFDQG6WDWLVWLFDO
$QDO\VHV

&HOHULRQ
$OH[LV1LKRQ%RXOHYDUG6XLWH
0RQWUHDO4XHEHF+01&DQDGD
7HO
)D[

DQGRU

&HOHULRQ
5RVH6WUHHW
/LQFROQ1HEUDVND86$
7HO
)D[

/2;25(7&$3URWRFRODQG3URWRFRO$PHQGPHQWV


&21),'(17,$/
&$/2;25(7)LQDO3URWRFRO$PHQGPHQW0D\

3DJH

7$%/(2)&217(176
 35272&2/5(9,6,21+,6725< 
 6321625±6,*1$725< 
 35,1&,3$/,19(67,*$725$1'&/,1,&$/6,7(±6,*1$725< 
 $'',7,21$/.(<&217$&76)257+(678'< 
 7$%/(2)&217(176 
 6<1236,6 
 678'<(9(176)/2:&+$57 
 $%%5(9,$7,216 
 ,1752'8&7,21 

%DFNJURXQG 

/2;2 

5DWLRQDOH 

5DWLRQDOHIRUWKLV6WXG\DQG6WXG\'HVLJQ 

5DWLRQDOHIRUWKH'RVH6HOHFWLRQDQG'RVH5HJLPHQ 

5DWLRQDOHIRU3ULPDU\(QGSRLQWV 

5LVNVDQGRU%HQHILWVWR6XEMHFWV 
 2%-(&7,9(6$1'(1'32,176 
 2EMHFWLYHV 
 (QGSRLQWV 
 678'<'(6,*1 
 2YHUDOO6WXG\'HVLJQDQG3ODQ 

&RQILQHPHQW5HWXUQ9LVLWVDQG)ROORZ8S 

(QGRI6WXG\'HILQLWLRQ 
 678'<3238/$7,21 
 ,QFOXVLRQ&ULWHULD 

$OO6XEMHFWV 

$GGLWLRQDO5HTXLUHPHQWVIRU6XEMHFWVZLWK5, 

$GGLWLRQDO5HTXLUHPHQWVIRU+HDOWK\6XEMHFWV 
 ([FOXVLRQ&ULWHULD 

$OO6XEMHFWV 

$GGLWLRQDO5HTXLUHPHQWVIRU6XEMHFWVZLWK5, 

$GGLWLRQDO5HTXLUHPHQWVIRU+HDOWK\6XEMHFWV 
 (DUO\7HUPLQDWLRQRI6XEMHFWVIURPWKH6WXG\ 
 6WXG\5HVWULFWLRQV 
/2;25(7&$3URWRFRODQG3URWRFRO$PHQGPHQWV


&21),'(17,$/
&$/2;25(7)LQDO3URWRFRO$PHQGPHQW0D\

3DJH

3URKLELWLRQVDQG&RQFRPLWDQW0HGLFDWLRQ 

0HDOV 

$FWLYLW\ 
 75($70(176 
 7UHDWPHQWV$GPLQLVWHUHG 
 'RVH0RGLILFDWLRQ 
 0HWKRGRI7UHDWPHQW$VVLJQPHQW 
 %OLQGLQJ 
 7UHDWPHQW&RPSOLDQFH 
 678'<$66(660(176$1'352&('85(6 
 6FUHHQLQJ 
 6DIHW\$VVHVVPHQWV 

3K\VLFDO([DPLQDWLRQ 

9LWDO6LJQV 

(&*0RQLWRULQJ 

%RG\:HLJKW 

&OLQLFDO/DERUDWRU\7HVWV 

$GYHUVH(YHQWV 
 $GYHUVH(YHQW'HILQLWLRQ 
 0RQLWRULQJ 
 5HSRUWLQJ 
 6HULRXV$GYHUVH(YHQW 
 3KDUPDFRNLQHWLF$VVHVVPHQWV 

%ORRG6DPSOLQJDQG3URFHVVLQJ 

3KDUPDFRNLQHWLF3DUDPHWHUV 

8ULQH&ROOHFWLRQ 

8ULQH3KDUPDFRNLQHWLF3DUDPHWHUV 

$QDO\WLFDO0HWKRG 
 %ORRG9ROXPH'UDZQIRU6WXG\$VVHVVPHQWV 
 67$7,67,&$/&216,'(5$7,216 
 6DPSOH6L]H'HWHUPLQDWLRQ 
 3RSXODWLRQIRU$QDO\VHV 
 6WDWLVWLFDO$QDO\VHV 

3KDUPDFRNLQHWLF$QDO\VHV 
 'HVFULSWLYH6WDWLVWLFV 
 $QDO\VLVRI&RYDULDQFH 
 5DWLRVDQG&RQILGHQFH,QWHUYDOV 
/2;25(7&$3URWRFRODQG3URWRFRO$PHQGPHQWV


&21),'(17,$/
&$/2;25(7)LQDO3URWRFRO$PHQGPHQW0D\

3DJH
 $GGLWLRQDO$QDO\VLV 
 3URWHLQ%LQGLQJ 

6DIHW\$QDO\VHV 
 678'<$'0,1,675$7,21 
 (WKLFV 

,QVWLWXWLRQDO5HYLHZ%RDUG 

(WKLFDO&RQGXFWRIWKH6WXG\ 

6XEMHFW,QIRUPDWLRQDQG&RQVHQW 

&RQILGHQWLDOLW\ 
 7HUPLQDWLRQRIWKH6WXG\ 
 'DWD4XDOLW\$VVXUDQFH 
 'LUHFW$FFHVVWR6RXUFH'DWD'RFXPHQWV 
 'UXJ6XSSOLHV3DFNDJLQJDQG/DEHOLQJ 
 'DWD+DQGOLQJDQG5HFRUG.HHSLQJ 
 5HSRUW)RUPDW 
 3XEOLFDWLRQ3ROLF\ 
 5()(5(1&(6 

/,672)7$%/(6
7DEOH 
%ORRG9ROXPHGXULQJWKH6WXG\ 

/2;25(7&$3URWRFRODQG3URWRFRO$PHQGPHQWV


&21),'(17,$/
&$/2;25(7)LQDO3URWRFRO$PHQGPHQW0D\

3DJH

6<1236,6
&RPSRXQG
/2;2
&OLQLFDO,QGLFDWLRQ
&DQFHU
6WXG\3KDVHDQG7\SH
3KDVH±5HQDO,PSDLUPHQW5,
6WXG\2EMHFWLYHV
3ULPDU\
7RFRPSDUHWKHSODVPDSKDUPDFRNLQHWLFV3.RI/2;2
IROORZLQJDGPLQLVWUDWLRQLQVXEMHFWVZLWKYDU\LQJGHJUHHVRI5,
LHPLOGPRGHUDWHDQGVHYHUHFRPSDUHGWRKHDOWK\PDWFKHG
FRQWUROVXEMHFWV
6HFRQGDU\
7RHYDOXDWHWKHVDIHW\DQGWROHUDELOLW\RI/2;2LQVXEMHFWV
ZLWK5,
7RFRPSDUHWKHXULQH3.RI/2;2IROORZLQJ
DGPLQLVWUDWLRQLQVXEMHFWVZLWKYDU\LQJGHJUHHVRI5,LHPLOG
PRGHUDWHDQGVHYHUHFRPSDUHGWRKHDOWK\PDWFKHGFRQWURO
VXEMHFWV
6XPPDU\RI6WXG\
'HVLJQ
7KLVLVDQRQUDQGRPL]HGRSHQODEHOSDUDOOHOFRKRUW
PXOWLSOHVLWHVLQJOHGRVHVWXG\WRFRPSDUHWKH3.RI
/2;2LQVXEMHFWVZLWKPLOGPRGHUDWHDQGVHYHUH5,
FRPSDUHGWRKHDOWK\PDWFKHGFRQWUROVXEMHFWVPDWFKHGIRU
DJHERG\PDVVLQGH[%0,DQGVH[
2Q'D\VXEMHFWVZLOOUHFHLYHDVLQJOHRUDOGRVHRI/2;2
3ODVPDDQGXULQHVDPSOHVLISRVVLEOHZLOOEHWDNHQSUHGRVH
DQGWKURXJKKRXUVSRVWGRVHIRUKHDOWK\VXEMHFWVDQGVXEMHFWV
ZLWK5,IRU/2;23.DVVHVVPHQW
$VVLJQPHQWWRDUHQDOIXQFWLRQSDQHOZLOOEHDVIROORZV
&RKRUW
5HQDO)XQFWLRQ
H*)5P/PLQP

+HDOWK\0DWFKHG&RQWURO


0LOG
H*)5

0RGHUDWH
H*)5

6HYHUHQRWRQGLDO\VLV

/2;25(7&$3URWRFRODQG3URWRFRO$PHQGPHQWV


&21),'(17,$/
&$/2;25(7)LQDO3URWRFRO$PHQGPHQW0D\

3DJH

(VWLPDWHGJORPHUXODUILOWUDWLRQUDWHH*)5EDVHGRQ
0RGLILFDWLRQRI'LHWLQ5HQDO'LVHDVH0'5'HTXDWLRQDW
6FUHHQLQJ%DVHOLQHH*)5ZLOOEHREWDLQHGIRUDOOVXEMHFWVLH
VXEMHFWVZLWK5,DQGKHDOWK\PDWFKHGFRQWUROVXEMHFWVE\WDNLQJ
WKHPHDQRIWKHH*)5REWDLQHGIURP6FUHHQLQJDQGIURP
KLVWRULFDOYDOXHVZLWKLQDPRQWKSHULRGIURP6FUHHQLQJ,IQR
KLVWRULFDOPHDVXUHPHQWLVDYDLODEOHDVHFRQG6FUHHQLQJH*)5
VDPSOHZLOOEHWDNHQGXULQJWKH6FUHHQLQJSHULRGtGD\V
DSDUWDQGWKHPHDQRIWKHWZRYDOXHVZLOOEHXVHGDVWKH
%DVHOLQHH*)5IRUFRKRUWDVVLJQPHQW,QGLYLGXDOH*)5YDOXHV
UHFRUGHGIRUHDFKPHDVXUHPHQWFRQWULEXWLQJWRWKHVXEMHFWPHDQ
EDVHOLQHYDOXHPXVWIDOOZLWKLQWKHVSHFLILHGH*)5UDQJHVIRU
HDFKFRKRUWLHKHDOWK\PLOGPRGHUDWHDQGVHYHUHWR
FDWHJRUL]HVXEMHFWV¶UHQDOLPSDLUPHQWVWDWXV
)RUKHDOWK\PDWFKHGFRQWUROVXEMHFWVDVLQJOHDVVHVVPHQWRI
DFWXDOFUHDWLQLQHFOHDUDQFHFRPSXWHGRYHUDKRXUXULQH
FROOHFWLRQPD\EHXVHGLQSODFHRIWKHH*)5EDVHGRQWKH
0'5'HTXDWLRQDWWKH3ULQFLSDO,QYHVWLJDWRU3,¶VGLVFUHWLRQ

7KHFOLQLFDOUHVHDUFKXQLWV&58VZLOOFRQWDFWDOOVXEMHFWVZKR
UHFHLYHG/2;2LQFOXGLQJVXEMHFWVZKRWHUPLQDWHIURPWKH
VWXG\HDUO\DWWKH(QGRI6WXG\(26DVGHILQHGLQWKH6WXG\
(YHQWV)ORZFKDUW6HFWLRQE\DIROORZXSSKRQHFDOO)8
7KH(26)8SKRQHFDOOZLOOEHSHUIRUPHGGD\VGD\V
DIWHUWKH(QGRI7UHDWPHQW(27YLVLWRU(DUO\7HUPLQDWLRQ
(7YLVLWDVGHILQHGLQWKH6WXG\(YHQWV)ORZFKDUW6HFWLRQ
WRGHWHUPLQHLIDQ\VHULRXVDGYHUVHHYHQW6$(RUVWXG\GUXJ
UHODWHGDGYHUVHHYHQW$(KDVRFFXUUHGVLQFHWKH(27RU(7
YLVLW
1XPEHURI6XEMHFWV
8SWRDGXOWPDOHDQGIHPDOHVXEMHFWVZLOOEHHQUROOHG
6XEMHFWVZLWK5,
8SWRUHQDOO\LPSDLUHGVXEMHFWVZLOOEHHQUROOHGDVIROORZV
8SWRHLJKWVXEMHFWVZLWKPLOG5,
8SWRHLJKWVXEMHFWVZLWKPRGHUDWH5,
8SWRHLJKWVXEMHFWVZLWKVHYHUH5,
+HDOWK\0DWFKHG&RQWURO6XEMHFWV
8SWRKHDOWK\VXEMHFWVZLOOEHHQUROOHGWRHQVXUHWKDWHDFK
VXEMHFWLQWKH5,FRKRUWVLVPDWFKHGZLWKDKHDOWK\VXEMHFWEDVHG
RQVH[DJHr\HDUVDQG%0,$QLQGLYLGXDO
KHDOWK\VXEMHFWPD\EHPDWFKHGWRRQHVXEMHFWIURPHDFKRIWKH
5,FRKRUWVPLOGPRGHUDWHDQGVHYHUHSURYLGLQJPDWFKLQJ
FULWHULRQDUHPHWDQGVXFKWKDWHDFKKHDOWK\VXEMHFWPD\EH
PDWFKHGWRDPD[LPXPRIVXEMHFWVZLWK5,+RZHYHUQR
/2;25(7&$3URWRFRODQG3URWRFRO$PHQGPHQWV


&21),'(17,$/
&$/2;25(7)LQDO3URWRFRO$PHQGPHQW0D\

3DJH
KHDOWK\VXEMHFWFDQEHPDWFKHGWRPRUHWKDQRQHVXEMHFWLQDQ\
VLQJOH5,FRKRUW
'RVDJH'RVDJH)RUP
5RXWHDQG'RVH
5HJLPHQ
6XEMHFWVZLOOUHFHLYHDVLQJOHRUDOGRVHRIPJ/2;2
[PJFDSVXOHVRQ'D\IROORZLQJDIDVWRIDWOHDVW
KRXUVIURPIRRGQRWLQFOXGLQJZDWHUZLWKDSSUR[LPDWHO\
P/RIZDWHU6XEMHFWVZLOOUHPDLQIDVWHGIURPIRRGQRW
LQFOXGLQJZDWHUIRUDWOHDVWKRXUSRVWGRVH
.H\$VVHVVPHQWV
3KDUPDFRNLQHWLFV
7KHIROORZLQJ3.SDUDPHWHUVZLOOEHFDOFXODWHGIRU/2;2
LQSODVPDDVDSSURSULDWH$8&W$8&$8&LQI
$8&H[WUDS&/)&PD[7PD[.HOWòDQG9])
7KHIROORZLQJSKDUPDFRNLQHWLFSDUDPHWHUVZLOOEHFDOFXODWHGIRU
/2;2LQXULQHDVDSSURSULDWHLQDOOFRKRUWV$H)HDQG
&/U
6DIHW\
$OOVDIHW\DVVHVVPHQWVLQFOXGLQJ$(VDQG6$(VYLWDOVLJQ
PHDVXUHPHQWVFOLQLFDOODERUDWRU\LQFOXGLQJFUHDWLQHNLQDVH
UHVXOWVSK\VLFDOH[DPLQDWLRQUHVXOWVFRQFRPLWDQWPHGLFDWLRQV
DQG(&*LQWHUSUHWDWLRQVZLOOEHWDEXODWHGDQGVXPPDUL]HG
ZKHUHSRVVLEOHXVLQJGHVFULSWLYHPHWKRGRORJ\E\UHQDOIXQFWLRQ
JURXSDQGDVQHHGHGE\WLPHSRLQW

/2;25(7&$3URWRFRODQG3URWRFRO$PHQGPHQWV


&21),'(17,$/
&$/2;25(7)LQDO3URWRFRO$PHQGPHQW0D\

3DJH

678'<(9(176)/2:&+$57
6WXG\3URFHGXUHD
6FUE
6WXG\'D\V
)8
(26H
'D\Vĺ










&OLQLF'LVFKDUJH
(27RU(7G

+RXUVĺ
&,F












 

  





$GPLQLVWUDWLYH3URFHGXUHV
























,QIRUPHG&RQVHQW
;























,QFOXVLRQ([FOXVLRQ&ULWHULD
;
;






















0HGLFDO+LVWRU\
;























6DIHW\(YDOXDWLRQV
























)XOO3K\VLFDO([DPLQDWLRQI
;





















;

$EEUHYLDWHG3K\VLFDO([DPLQDWLRQI

;




;

















+HLJKW
;























:HLJKW
;
;




















;

$VVHVVPHQWRI5HQDO)XQFWLRQ
;























/HDG6DIHW\(&*J
;
;




















;

9LWDO6LJQV+5%3DQG55K
;
;
;L





;


;



;

;
;
;
;
;
;

9LWDO6LJQV7
;
;
;L



















;

+HP6HUXP&KHPM&RDJDQG8$N
;
;













;



;


;

7K\URLG6WLPXODWLQJ+RUPRQH
;























+E$F
;























6HUXP3UHJ7HVWƂRQO\
;
;




















;

6HUXP)6+303ƂRQO\
;























8ULQHRU6DOLYD'UXJ6FUHHQ
;
;






















8ULQHRU%UHDWK$OFRKRO6FUHHQ
;
;






















8ULQH&RWLQLQH+HDOWK\6XEMHFWV2QO\
;
;






















+,9+HSDWLWLV6FUHHQ
;























$(0RQLWRULQJO
;
;
&RQ0HGV0RQLWRULQJ
;
;
6WXG\'UXJ$GPLQLVWUDWLRQ
3KDUPDFRNLQHWLFV
























/2;2$GPLQLVWUDWLRQ


;





















%ORRGIRU/2;2P
/2;25(7&$3URWRFRODQG3URWRFRO$PHQGPHQWV

&&,

&21),'(17,$/
&$/2;25(7)LQDO3URWRFRO$PHQGPHQW0D\

3DJH
6WXG\3URFHGXUHD
6FUE
6WXG\'D\V
)8
(26H
'D\Vĺ










&OLQLF'LVFKDUJH
(27RU(7G

+RXUVĺ
&,F












 

  




%ORRGIRU/2;23URWHLQ%LQGLQJQ
8ULQHIRU/2;2R
2WKHU3URFHGXUHV
























&RQILQHPHQWLQWKH&58T

;

9LVLW
;























)RRWQRWHV
D
)RUGHWDLOVRQ3URFHGXUHVUHIHUWR6HFWLRQ
E
:LWKLQGD\VSULRUWR/2;2DGPLQLVWUDWLRQ
F
6XEMHFWVZLOOEHDGPLWWHGWRWKH&58DW&,'D\DWWKHWLPHLQGLFDWHGE\WKH&58
G
7REHSHUIRUPHGDW(27RUDW(7(27LVGHILQHGDVZKHQWKHVXEMHFWLVUHOHDVHGIURPWKH&58IROORZLQJFRPSOHWLRQRIDOODVVHVVPHQWVWKURXJK'D\(7LVGHILQHGDV
ZKHQWKHVXEMHFWLVUHOHDVHGIURPWKH&58LIWKHVXEMHFWWHUPLQDWHVWKHVWXG\HDUO\9LWDO6LJQ(&*DQG6DIHW\ODERUDWRU\UHVXOWVIRUVHUXPFKHPLVWU\KHPDWRORJ\
FRDJXODWLRQDQGXULQDO\VLVDUHWREHDYDLODEOHIRUUHYLHZE\WKH3,RUGHVLJQHHSULRUWRVXEMHFWUHOHDVHIURPWKH&58DWWKH(27RU(7YLVLW
H
7REHSHUIRUPHGGD\VGD\VIROORZLQJ(27RU(7(QGRI6WXG\(26LVGHILQHGDVZKHQWKH&58FRQWDFWVWKHVXEMHFWE\SKRQHFDOOGD\VGD\VDIWHU(27
RU(7YLVLW WRGHWHUPLQHLIDQ\ 6$(RUVWXG\ GUXJ UHODWHG$( KDV RFFXUUHG VLQFH WKH ODVW VWXG\ YLVLW $OO VXEMHFWVZKRUHFHLYHG/2;2LQFOXGLQJVXEMHFWVZKR
WHUPLQDWHWKHVWXG\HDUO\ZLOOEHFRQWDFWHG
I
6\PSWRPGULYHQSK\VLFDOH[DPLQDWLRQVPD\EHSHUIRUPHGDWRWKHUWLPHVDWWKH3,¶VRUGHVLJQHH¶VGLVFUHWLRQ6FKHGXOHGDEEUHYLDWHGSK\VLFDOH[DPLQDWLRQVZLOOLQFOXGH
DWDPLQLPXPH[DPLQDWLRQRIUHVSLUDWRU\FDUGLRYDVFXODUDQGJDVWURLQWHVWLQDOV\VWHPVZLWKWKHRSWLRQIRUIXUWKHUH[DPLQDWLRQRIDGGLWLRQDOV\VWHPVDVQHFHVVDU\EDVHGRQ
UHSRUWHGV\PSWRPV$(V
J
6XEMHFWVDUHWREHVXSLQHIRUPLQXWHVSULRUWR(&*DVVHVVPHQW(&*VZLOOEHREWDLQHGSULRUWRDQGDVFORVHDVSRVVLEOHWRWKHVFKHGXOHGEORRGGUDZVLIVFKHGXOHGDWWKH
VDPHWLPH
K
9LWDOVLJQV+5%3DQG55ZLOOEHREWDLQHGDW6FUHHQLQJDQG&,'D\SUHGRVHDWKRXUVPLQXWHVDQGKRXUVPLQXWHVSRVWGRVHRQ'D\DQGRQFH
GDLO\WKURXJK(27RU(79LWDOVLJQPHDVXUHPHQWVVKRXOGEHFDUULHGRXWSULRUWRDQGDVFORVHDVSRVVLEOHWRKDYLQJEORRGGUDZQ%3DQG+5ZLOOEHPHDVXUHGXVLQJWKH
VDPHDUPIRUHDFKUHDGLQJ6XEMHFWVDUHWREHVXSLQHIRUPLQXWHVSULRUWRYLWDOVLJQVDVVHVVPHQWV
L
7REHSHUIRUPHGZLWKLQKRXUVSULRUWRGRVLQJRQ'D\
M
6DPSOHVIRUVHUXPFKHPLVWU\ZLOOEHREWDLQHGIROORZLQJDIDVWRIDWOHDVWKRXUVDW6FUHHQLQJDQGDW&,'D\DWRWKHUVFKHGXOHGWLPHVVHUXPFKHPLVWU\WHVWVZLOOEH
SHUIRUPHGDIWHUDWOHDVWDQKRXUIDVW+RZHYHULQFDVHRIGURSRXWVRUUHFKHFNVVXEMHFWVPD\QRWKDYHIDVWHGIRURUKRXUVSULRUWRWKHWLPHWKDWWKHVHUXPFKHPLVWU\
VDPSOHLVWDNHQ
N
)RUVXEMHFWVZKRPD\EHDQXULFXULQHVDPSOHVIRUXULQDO\VLVZLOOQRWEHFROOHFWHG
/2;25(7&$3URWRFRODQG3URWRFRO$PHQGPHQWV

&&,

&21),'(17,$/
&$/2;25(7)LQDO3URWRFRO$PHQGPHQW0D\
3DJH
O
$(VDQG6$(VZLOOEHUHFRUGHGEHJLQQLQJDWLQIRUPHGFRQVHQW$(VZLOOEHUHFRUGHGWKURXJKRXWWKHVWXG\LHIURPVLJQLQJRIWKH,&)XQWLO(26RU(7LIWKHVXEMHFW
GLVFRQWLQXHVIURPWKHVWXG\DQGGRHVQRWFRPSOHWHDIROORZXSFDOOHLWKHUDVVXEMHFWPHGLFDOKLVWRU\LIWKHHYHQWLVUHSRUWHGDVEHJLQQLQJSULRUWRVLJQLQJRIWKH,&)RULI
WKHHYHQWRFFXUVSULRUWRVWXG\GUXJDGPLQLVWUDWLRQRQ'D\DQGLVDVVHVVHGDVQRWUHODWHGWRVWXG\SURFHGXUHVE\WKH3,>RUGHVLJQHH@RUDV$(VLIWKHHYHQWRFFXUVDIWHU
VLJQLQJRIWKH,&)EXWSULRUWRVWXG\GUXJDGPLQLVWUDWLRQRQ'D\DQGLVDVVHVVHGDVUHODWHGWRVWXG\SURFHGXUHVE\WKH3,>RUGHVLJQHH@RULIWKHHYHQWRFFXUVDIWHUVWXG\
GUXJDGPLQLVWUDWLRQRQ'D\WKURXJK(27RU(7UHJDUGOHVVRIUHODWLRQVKLSWRVWXG\GUXJ)URP(27RU(7WKURXJK(26RQO\$(VDVVHVVHGDVUHODWHGWRVWXG\GUXJE\
WKH3,RUGHVLJQHHDUHWREHUHSRUWHG$OO6$(VWKDWGHYHORSIURPWKHWLPHRI,&)VLJQLQJXQWLO(26RU(7LIWKHVXEMHFWGLVFRQWLQXHVIURPWKHVWXG\DQGGRHVQRW
FRPSOHWHDIROORZXSFDOODUHWREHUHSRUWHG
S
3ULRUWRGRVLQJ
T
6XEMHFWVZLOOEHFRQILQHGWRWKH&58XQWLOWKHFRPSOHWLRQRIKRXUEORRGGUDZDQGRU(27VWXG\SURFHGXUHVRU(7VWXG\SURFHGXUHV
$EEUHYLDWLRQV ܲ )HPDOHV $( $GYHUVH HYHQWV %3 %ORRG SUHVVXUH &, &KHFNLQ &KHP &KHPLVWU\ &RDJ   FRDJXODWLRQ &RQ0HGV &RQFRPLWDQW PHGLFDWLRQ
&58 &OLQLFDOUHVHDUFKXQLW(&* (OHFWURFDUGLRJUDPH*)5 HVWLPDWHGJORPHUXODUILOWUDWLRQUDWH(26 (QGRI6WXG\(27 (QGRI7UHDWPHQW(7 HDUO\WHUPLQDWLRQ
)6+ )ROOLFOHVWLPXODWLQJKRUPRQH)8 )ROORZXS+HP +HPDWRORJ\+,9 +XPDQLPPXQRGHILFLHQF\YLUXV+5 +HDUWUDWH,&) ,QIRUPHGFRQVHQWIRUP3, 3ULQFLSDO
,QYHVWLJDWRU 303 3RVWPHQRSDXVDO 3UHJ 3UHJQDQF\ 5,   5HQDO LPSDLUPHQW 55 5HVSLUDWRU\ UDWH 6$(   VHULRXV DGYHUVH HYHQW 6FU 6FUHHQLQJ 7 7HPSHUDWXUH
8$ 8ULQDO\VLV 
/2;25(7&$3URWRFRODQG3URWRFRO$PHQGPHQWV

&&,

&21),'(17,$/
&$/2;25(7)LQDO3URWRFRO$PHQGPHQW0D\

3DJH

$%%5(9,$7,216
a
$SSUR[LPDWHO\
ȝ0
0LFURPRODU
$'/
$FWLYLWLHVRI'DLO\/LYLQJ
$(
$GYHUVHHYHQW
$H
7RWDODPRXQWRIGUXJH[FUHWHGLQWKHXULQH
$/3
$ONDOLQHSKRVSKDWDVH
$/7
$ODQLQHDPLQRWUDQVIHUDVH
$1&29$
$QDO\VLVRIFRYDULDQFH
$67
$VSDUWDWHDPLQRWUDQVIHUDVH
$8&
$UHDXQGHUWKHFRQFHQWUDWLRQWLPHFXUYH
$8&X
$UHDXQGHUWKHFRQFHQWUDWLRQWLPHFXUYHIRUXQERXQGGUXJ
$8&
7KHDUHDXQGHUWKHFRQFHQWUDWLRQWLPHFXUYHIURPWLPHWR
+RXU
$8&H[WUDS
3HUFHQWRI$8&LQIH[WUDSRODWHG
$8&W
$UHDXQGHUWKHFRQFHQWUDWLRQWLPHFXUYHIURPWLPHWRWKHODVW
REVHUYHGQRQ]HURFRQFHQWUDWLRQW
$8&LQI
$UHDXQGHUWKHFRQFHQWUDWLRQWLPHFXUYHIURPWLPH
H[WUDSRODWHGWRLQILQLW\
$9
$WULRYHQWULFXODU
%3
%ORRGSUHVVXUH
%,'
7ZLFHGDLO\
%SP
%HDWVSHUPLQXWH
%0,
%RG\PDVVLQGH[
&
'HJUHHV&HOVLXV
&)5
&RGHRI)HGHUDO5HJXODWLRQV
&,
&RQILGHQFHLQWHUYDO
&/)
$SSDUHQWWRWDOSODVPDFOHDUDQFHDIWHURUDOH[WUDYDVFXODU
DGPLQLVWUDWLRQ
&/U
5HQDOFOHDUDQFH
&/X)
$SSDUHQWWRWDOSODVPDFOHDUDQFHDIWHURUDOH[WUDYDVFXODU
DGPLQLVWUDWLRQIRUXQERXQGGUXJ
&PD[
0D[LPXPREVHUYHGFRQFHQWUDWLRQ
/2;25(7&$3URWRFRODQG3URWRFRO$PHQGPHQWV


&21),'(17,$/
&$/2;25(7)LQDO3URWRFRO$PHQGPHQW0D\

3DJH
&PD[X
0D[LPXPREVHUYHGFRQFHQWUDWLRQRIXQERXQGGUXJ
&.
&UHDWLQHNLQDVH
&5)
&DVHUHSRUWIRUP
&58
&OLQLFDO5HVHDUFK8QLW
&7&$(
&RPPRQ7HUPLQRORJ\&ULWHULDIRU$GYHUVH(YHQWV
&<3
&\WRFKURPH3
'/7
'RVHOLPLWLQJWR[LFLW\
H*)5
(VWLPDWHGJORPHUXODUILOWUDWLRQUDWH
(&*
(OHFWURFDUGLRJUDP
(26
(QGRIVWXG\
(27
(QGRIWUHDWPHQW
(65'
(QGVWDJHUHQDOGLVHDVH
(7
(DUO\WHUPLQDWLRQ
)'$
)RRGDQG'UXJ$GPLQLVWUDWLRQ
)H
)UDFWLRQRIGUXJH[FUHWLRQ
)6+
)ROOLFOHVWLPXODWLQJKRUPRQH
)X
8QERXQGIUDFWLRQRIGUXJLQSODVPD
*
*UDP
*&3
*RRG&OLQLFDO3UDFWLFH
*/3
*RRG/DERUDWRU\3UDFWLFH
+%V$J
+HSDWLWLV%VXUIDFHDQWLJHQ
+&9
+HSDWLWLV&YLUXV
K(5*
+XPDQHWKHUDJRJRUHODWHGJHQH
+,9
+XPDQLPPXQRGHILFLHQF\YLUXV
,%
,QYHVWLJDWRU¶V%URFKXUH
,&
,QKLELWRU\FRQFHQWUDWLRQDW
,&)
,QIRUPHG&RQVHQW)RUP
,&+
,QWHUQDWLRQDO&RXQFLORQ+DUPRQL]DWLRQ
,1'
,QYHVWLJDWLRQDO1HZ'UXJ
,5%
,QVWLWXWLRQDO5HYLHZ%RDUG
,8'
,QWUDXWHULQHGHYLFH
.HO
$SSDUHQWWHUPLQDOHOLPLQDWLRQUDWHFRQVWDQW
/2;25(7&$3URWRFRODQG3URWRFRO$PHQGPHQWV


&21),'(17,$/
&$/2;25(7)LQDO3URWRFRO$PHQGPHQW0D\

3DJH
.J
.LORJUDP
/)7
/LYHUIXQFWLRQWHVW
/60V
/HDVWVTXDUHVPHDQV
P
0HWHUVVTXDUHG
0'5'
0RGLILFDWLRQRI'LHWLQ5HQDO'LVHDVH
0HG'5$
0HGLFDO'LFWLRQDU\IRU5HJXODWRU\$FWLYLWLHV
0J
0LOOLJUDP
0LQ
0LQLPXP
P/
0LOOLOLWHU
PP+J
0LOOLPHWHURIPHUFXU\
0VHF
0LOOLVHFRQG
1&,
1DWLRQDO&DQFHU,QVWLWXWH
1R
1XPEHU
3&5
3RO\PHUDVHFKDLQUHDFWLRQ
3,
3ULQFLSDO,QYHVWLJDWRU
3.
3KDUPDFRNLQHWLFV
4$
4XDOLW\$VVXUDQFH
47F
&RUUHFWHGYDOXHRIWKHLQWHUYDOEHWZHHQWKH4DQG7ZDYHVRQWKH
HOHFWURFDUGLRJUDPWUDFLQJ
56,
5HIHUHQFH6DIHW\,QIRUPDWLRQ
5,
5HQDOLPSDLUPHQW
5(7
5HDUUDQJHGGXULQJWUDQVIHFWLRQ
6$(
6HULRXVDGYHUVHHYHQW
6$3
6WDWLVWLFDODQDO\VLVSODQ
686$5
6XVSHFWHGXQH[SHFWHGVHULRXVDGYHUVHUHDFWLRQ
7($(
7UHDWPHQWHPHUJHQWDGYHUVHHYHQWV
7PD[
7LPHWRUHDFKPD[LPXPREVHUYHGFRQFHQWUDWLRQ
Wò
$SSDUHQWWHUPLQDOHOLPLQDWLRQKDOIOLIH
86
8QLWHG6WDWHV
86$
8QLWHG6WDWHVRI$PHULFD
9])
$SSDUHQWYROXPHRIGLVWULEXWLRQGXULQJWKHWHUPLQDOHOLPLQDWLRQ
SKDVHDIWHURUDOH[WUDYDVFXODUDGPLQLVWUDWLRQ
:+2
:RUOG+HDOWK2UJDQL]DWLRQ
/2;25(7&$3URWRFRODQG3URWRFRO$PHQGPHQWV


&21),'(17,$/
&$/2;25(7)LQDO3URWRFRO$PHQGPHQW0D\

3DJH

,1752'8&7,21

%DFNJURXQG

/2;2
/2;2LVVPDOOPROHFXOHDQGDVHOHFWLYHLQKLELWRURIWKHUHDUUDQJHGGXULQJWUDQVIHFWLRQ
5(7UHFHSWRUW\URVLQHNLQDVHGHVLJQHGWRFRPSHWLWLYHO\EORFNWKHDGHQRVLQHWULSKRVSKDWH
ELQGLQJVLWHRIWKHNLQDVH/2;2ZDVDWOHDVWIROGPRUHVHOHFWLYHIRU5(7WKDQIRU
RIRWKHUNLQDVHVWHVWHGLQDODUJHLQYLWURVFUHHQ&RQVLVWHQWZLWKVXFKDKLJKGHJUHH
RIVHOHFWLYLW\/2;2FDXVHGVLJQLILFDQWF\WRWR[LFLW\LQKXPDQFDQFHUFHOOOLQHVWKDW
KDUERUHGHQGRJHQRXVFOLQLFDOO\UHOHYDQW5(7JHQHDOWHUDWLRQVEXWZDVPXFKOHVVF\WRWR[LF
DJDLQVWKXPDQFDQFHUFHOOOLQHVZLWKRXW5(7DOWHUDWLRQV3RWHQWDQGVHOHFWLYHLQKLELWLRQRI
5(7PD\SURYLGHFOLQLFDOEHQHILWWRVXEMHFWVZLWKPDOLJQDQFLHVGXHWRRQFRJHQLFDOWHUDWLRQV
LQ5(7RUZLWKRWKHUPHFKDQLVPVRILQFUHDVHG5(7DFWLYLW\
1RQFOLQLFDO
&DUGLDFVDIHW\RI/2;2ZDVHYDOXDWHGLQD*RRG/DERUDWRU\3UDFWLFH*/3LQYLWUR
DVVD\IRUKXPDQHWKHUDJRJRUHODWHGJHQHK(5*DFWLYLW\LQD*/3LQYLYRVWXG\LQ
FRQVFLRXVWHOHPHWU\LQVWUXPHQWHGPLQLSLJVDQGLQD*/3GD\UHSHDWGRVHWR[LFRORJ\
VWXG\ZLWK(&*PRQLWRULQJLQPLQLSLJV/2;2KDGDLQKLELWRU\FRQFHQWUDWLRQ
WKH*/3K(5*DVVD\ZKLFKLVDSSUR[LPDWHO\

WKDQWKHSUHGLFWHGPD[LPXPXQERXQGFRQFHQWUDWLRQDWWKHGRVHRIPJDQGPJ
UHVSHFWLYHO\WZLFHGDLO\%,'7KHUHZHUHQR/2;2UHODWHGFKDQJHVLQDQ\
FDUGLRYDVFXODUHQGSRLQWVLQFOXGLQJ47LQWHUYDOFRUUHFWHGIRUKHDUWUDWH47FDWGRVHVXSWR
PJNJLQWKHVDIHW\SKDUPDFRORJ\FDUGLRYDVFXODUVWXG\LQFRQVFLRXVPLQLSLJV
)XUWKHUPRUHWKHUHZHUHQR/2;2UHODWHG(&*FKDQJHVLQWKHGD\UHSHDWGRVH
WR[LFLW\VWXG\LQPLQLSLJVDWWKHKLJKGRVHRIPJNJ7RJHWKHUWKHVHGDWDLQGLFDWHWKDW
/2;2KDVDORZULVNRILQGXFLQJGHOD\HGYHQWULFXODUUHSRODUL]DWLRQSURORQJDWLRQRIWKH
47FLQWHUYDODQGXQVWDEOHDUUK\WKPLDV
$GPLQLVWUDWLRQRI/2;2DWVLQJOHGRVHVXSWRPJNJLQPDOHUDWVKDGQRHIIHFWRQ
UHVSLUDWRU\IXQFWLRQ
3RWHQWLDOHIIHFWVRI/2;2RQWKHFHQWUDOQHUYRXVV\VWHPZHUHHYDOXDWHGDVSDUWRIWKH
*/3GD\UHSHDWGRVHVWXG\LQUDWVLQIXQFWLRQDOREVHUYDWLRQDOEDWWHU\WHVWVDQGORFRPRWRU
DFWLYLW\DVVHVVPHQWV)LQGLQJVZHUHOLPLWHGWRDQLPDOVUHFHLYLQJWKHKLJKGRVHRQZHHNRI
WKHGRVLQJSKDVHDQGZHUHDWWULEXWHGWRSRRUJHQHUDOERG\FRQGLWLRQDQGZHLJKWFKDQJHV
DVVRFLDWHGZLWK/2;2DGPLQLVWUDWLRQUDWKHUWKDQVSHFLILFQHXURORJLFDOHIIHFWV
$GGLWLRQDOO\QRPLFURVFRSLFDEQRUPDOLWLHVLQQHXURQDOWLVVXHVZHUHIRXQG
,QWR[LFRORJ\VWXGLHVRI/2;2WKDWZHUHFRQGXFWHGLQWKHUDWDQGPLQLSLJWKHSULPDU\
SDWKRORJLFILQGLQJVIRUERWKVSHFLHVZHUHLQWKHWRQJXHSDQFUHDVERQHPDUURZDQG
O\PSKRLGWLVVXHVZKLOHWKHJDVWURLQWHVWLQDOWUDFWDQGRYDULHVZHUHWDUJHWWLVVXHVLQPLQLSLJ
2WKHUWDUJHWWLVVXHVLGHQWLILHGLQWKHUDWLQFOXGHGPXOWLWLVVXHPLQHUDOL]DWLRQSK\VHDO
FDUWLODJHLQFLVRUWHHWKOXQJ%UXQQHU¶VJODQGDQGSRVVLEO\OLYHU$VVHVVPHQWRIGRVHV
/2;25(7&$3URWRFRODQG3URWRFRO$PHQGPHQWV

&&,
&&,

&21),'(17,$/
&$/2;25(7)LQDO3URWRFRO$PHQGPHQW0D\

3DJH
DVVRFLDWHGZLWKPRULEXQGLW\GHDWKUHYHDOHGDVWHHSGRVHUHVSRQVHFXUYHIRUERWKVSHFLHV
/2;2ZDVQRWPXWDJHQLFLQWKH*/3EDFWHULDOPXWDWLRQDVVD\:KHQHYDOXDWHGLQWZR
LQYLWURDVVD\V/2;2ZDVQRWJHQRWR[LF/2;2ZDVQRWIRXQGWREHSKRWRWR[LF
ZKHQHYDOXDWHGLQDQLQYLWURQHXWUDOUHGXSWDNHSKRWRWR[LFLW\DVVD\
%DVHGRQSUHFOLQLFDOSKDUPDFRORJ\H[SHULPHQWVZLWKKXPDQFDQFHUFHOOVLQYLWURDQGLQ
PXULQH[HQRJUDIWPRGHOVPHDQLQJIXOLQKLELWLRQRI5(7LQWXPRUVLVH[SHFWHGWREH
DFKLHYDEOHZLWKRUDOGRVLQJUHJLPHQV

%DVHGRQWKHQRQFOLQLFDOSURILOHLQFOXGLQJUHVXOWVIURPDQLPDOWR[LFRORJ\VWXGLHVWKHRUHWLFDO
ULVNVRIKXPDQH[SRVXUHWR/2;2LQFOXGHWKHIROORZLQJORVVRIDSSHWLWHGHFUHDVHLQ
ERG\ZHLJKWLQFUHDVHLQWRWDOZKLWHEORRGFHOOVQHXWURSKLOVDQGPRQRF\WHVGHFUHDVHLQ
DOEXPLQLQFUHDVHLQJOREXOLQGHFUHDVHGDOEXPLQJOREXOLQUDWLRGHFUHDVHLQWRWDOSURWHLQ
LQFUHDVHGERG\WHPSHUDWXUHOHWKDUJ\LQFUHDVHLQFKROHVWHURODQGWULJO\FHULGHVLQFUHDVHLQ
SKRVSKRUXVFKDQJHVLQWDVWHVHQVDWLRQDQGRUGHYHORSPHQWRI[HURVWRPLDJDVWURLQWHVWLQDO
V\PSWRPVVLJQVQDXVHDYRPLWLQJORRVHVWRROVDEGRPLQDOGLVFRPIRUWGHFUHDVHVLQUHGFHOO
PDVVUHGEORRGFHOOKHPRJORELQKHPDWRFULWDQGUHWLFXORF\WHVGHFUHDVHLQSODWHOHWV
LQFUHDVHVLQOLYHUIXQFWLRQWHVWVDONDOLQHSKRVSKDWDVHDVSDUWDWHDPLQRWUDQVIHUDVHDQGDODQLQH
DPLQRWUDQVIHUDVHDQGSRVVLEOHSDQFUHDVLQMXU\
/2;2KDVEHHQJLYHQRUDOO\DQGLQWUDYHQRXVO\WRPLFHUDWVGRJVPLQLSLJVDQG
PRQNH\/2;2ZDVDEVRUEHGDQGELRDYDLODEOHLQDOOVSHFLHVWHVWHG6ROXELOLW\VWXGLHV
DQGSKDUPDFRNLQHWLFVWXGLHVVXJJHVWWKDWWKHSKDUPDFRNLQHWLFH[SRVXUHRI/2;2PD\
EHUHGXFHGE\SURWRQSXPSLQKLELWRUVDQGRWKHUDQWDFLGV/2;2DSSHDUVWREH
PHWDEROL]HGSULPDULO\E\F\WRFKURPHS&<3$EXWDWWKHUDSHXWLFDOO\UHOHYDQW
H[SRVXUHVLWLVQRWDQWLFLSDWHGWRLQKLELWRULQGXFHGUXJPHWDEROL]LQJHQ]\PHV/2;2LV
DOVRDVXEVWUDWHIRUWKH%UHDVW&DQFHU5HVLVWDQFH3URWHLQ
5HIHUWRWKH,QYHVWLJDWRU¶V%URFKXUHIRUGHWDLOHGEDFNJURXQGLQIRUPDWLRQRQ/2;2
,QYHVWLJDWRU¶V%URFKXUH
&OLQLFDO
/2;2LVFXUUHQWO\EHLQJVWXGLHGLQDQRQJRLQJJOREDO3KDVH6WXG\/2;25(7
LQSDWLHQWVZLWKDGYDQFHGVROLGWXPRUVLQFOXGLQJ5(7IXVLRQSRVLWLYH16&/&
5(7PXWDQWPHGXOODU\WK\URLGFDUFLQRPDDQGRWKHUWXPRUVZLWKLQFUHDVHG5(7DFWLYLW\
7KHVWDUWLQJGRVHRI/2;2ZDVPJRQFHGDLO\
$VRID-XO\GDWDFXWRIIGDWHVDIHW\GDWDZDVDYDLODEOHIURPSDWLHQWVZLWK
PJ%,'DVWKHKLJKHVWGRVHDGPLQLVWHUHG$VRIWKLVGDWHWZRGRVHOLPLWLQJWR[LFLWLHV
'/7VRIWXPRUO\VLVV\QGURPHDQG*UDGHWKURPERF\WRSHQLDDWWKHPJ%,'GRVH
OHYHOKDYHEHHQUHSRUWHG7KHPRVWIUHTXHQWO\UHSRUWHGWUHDWPHQWHPHUJHQWDGYHUVHHYHQWV
7($(V>!RISDWLHQWV@ZHUHGU\PRXWKUHODWHGGLDUUKHD
UHODWHGIDWLJXHUHODWHGFRQVWLSDWLRQUHODWHGKHDGDFKH
UHODWHGDQGK\SHUWHQVLRQUHODWHG5HJDUGLQJ7($(V
SDWLHQWVH[SHULHQFHG*UDGH7($(VWKDWZHUHMXGJHGE\WKH,QYHVWLJDWRUDVUHODWHGWR
VWXG\GUXJ7KUHHSDWLHQWVKDYHGLHGZLWKLQGD\VRIWKHLUODVWGRVHRIVWXG\GUXJDQG
/2;25(7&$3URWRFRODQG3URWRFRO$PHQGPHQWV

&&,

&21),'(17,$/
&$/2;25(7)LQDO3URWRFRO$PHQGPHQW0D\

3DJH
QRGHDWKVKDYHEHHQDWWULEXWHGWRVWXG\GUXJ$VPDOOQXPEHURISDWLHQWVKDYHH[SHULHQFHG
*UDGHRUKLJKHUOLYHUIXQFWLRQWHVW/)7DEQRUPDOLWLHVFRQVLGHUHGUHODWHGWRWKHVWXG\
GUXJRFFXUULQJEHWZHHQGD\VDIWHUVWDUWLQJ/2;27KHVHFKDQJHVZHUH
DV\PSWRPDWLFDQGUHVROYHGZLWKGRVHLQWHUUXSWLRQ/2;2ZDVUHVXPHGDWDORZHUGRVH
IROORZLQJQRUPDOL]DWLRQRIWKH/)7V
$VRI$XJXVW3.GDWDZHUHDYDLODEOHIURP
SDWLHQWVIURPWKHJOREDO3KDVH
VWXG\/2;2LVDEVRUEHGDIWHURUDODGPLQLVWUDWLRQZLWKDPHGLDQWLPHWRPD[LPXP
FRQFHQWUDWLRQ7PD[RIDSSUR[LPDWHO\KRXUV$OWKRXJKWKH3.VDPSOLQJRI/2;2
ZDVQRWORQJHQRXJKWRDGHTXDWHO\FKDUDFWHUL]H$8&LQIWKHKDOIOLIHDSSHDUVWREH
KRXUV/RZFRQFHQWUDWLRQVRI/2;2ZHUHUHFRYHUHGDVXQFKDQJHGGUXJLQXULQH
LQGLFDWLQJWKDWWKHNLGQH\FRQWULEXWHVWRRYHUDOOFOHDUDQFH
$VRI6HSWHPEHU/R[R2QFRORJ\KDVLQLWLDWHG
VLQJOHSDWLHQWSURWRFROV6SHFLDO
$FFHVV6FKHPHRU7HPSRUDU\$XWKRUL]DWLRQ8VHFDVHVWRSURYLGHDFFHVVWR/2;2IRU
SDWLHQWVZLWKFOLQLFDOQHHGQRWPHHWLQJHOLJLELOLW\FULWHULDIRUWKHRQJRLQJJOREDO3KDVH
VWXG\7RGDWHQR7($(VKDYHEHHQDWWULEXWHGWRVWXG\GUXJIRUWKHVHSDWLHQWV
3UHOLPLQDU\3.GDWDDYDLODEOHIURPRQJRLQJVWXGLHV/2;25(7DQG/2;25(7
EHLQJFRQGXFWHGLQKHDOWK\VXEMHFWVLQGLFDWHWKDW/2;2KDVDQHVWLPDWHG
WHUPLQDOWòRIDSSUR[LPDWHO\KRXUVDIWHUDVLQJOHGRVH

5DWLRQDOH
 5DWLRQDOHIRUWKLV6WXG\DQG6WXG\'HVLJQ
6XEMHFWVZLWK5,PD\KDYHFRPSURPLVHGGUXJGLVSRVLWLRQGXHWRWKHLUUHQDOGLVHDVHDQG
VHYHULW\RIGLVHDVH7KHSXUSRVHRIWKLVVWXG\LVWRGHWHUPLQHWKHHIIHFWRI5,RQWKHVLQJOH
GRVH3.RI/2;2DQGLIDSSOLFDEOHSURYLGHGRVLQJUHFRPPHQGDWLRQVWRFOLQLFLDQVIRU
IXWXUHWUHDWPHQWRISDWLHQWVZLWKLPSDLUHGUHQDOIXQFWLRQ
6XEMHFWVZLWKHQGVWDJHUHQDOGLVHDVH(65'ZLWKHVWLPDWHGJORPHUXODUILOWUDWLRQUDWH
H*)5P/PLQZKRDUHQRW\HWRQKHPRGLDO\VLVDVVWDWHGLQWKH)'$*XLGDQFHIRU
,QGXVWU\3KDUPDFRNLQHWLFVLQ3DWLHQWVZLWK,PSDLUHG5HQDO)XQFWLRQ6WXG\'HVLJQ'DWD
$QDO\VLVDQG,PSDFWRQ'RVLQJDQG/DEHOLQJ0DUFKDUHDVXEMHFWSRSXODWLRQWKDWLV
HVVHQWLDOO\QRWDYDLODEOH2QFHVXEMHFWVDUHLGHQWLILHGDVKDYLQJ(65'WKH\DUHLPPHGLDWHO\
SODFHGRQGLDO\VLVDQGQRORQJHUPDWFKWKHUHTXLUHPHQWRIWKHJXLGDQFH6XEMHFWVZLWK5,
DVVHVVHGDVPLOGH*)5P/PLQPPRGHUDWH
H*)5P/PLQPDQGVHYHUHH*)5P/PLQPZLOOEH
HQUROOHGLQWKLVVWXG\DQGWKHLU3.SURILOHZLOOEHFRPSDUHGWRVXEMHFWVZLWKQRUPDOUHQDO
IXQFWLRQH*)5P/PLQP6XEMHFWVZLOOEHPDWFKHGIRUDJH%0,DQGVH[
7KHVHFRYDULDWHVZHUHVHOHFWHGDVWKH\PD\LPSDFWWKHSODVPDH[SRVXUHRI/2;2
%DVHGRQWKHSUHOLPLQDU\3.GDWDIURPRQJRLQJVWXGLHVEHLQJFRQGXFWHGLQKHDOWK\VXEMHFWV
/2;25(7DQG/2;25(7/2;2KDVDQHVWLPDWHGWHUPLQDOWòRI
DSSUR[LPDWHO\KRXUVDIWHUDVLQJOHGRVH$VDPSOLQJVFKHGXOHRIXSWRKRXUVLVXVHGWR
DFFRXQWIRUWKHSRVVLELOLW\WKDW/2;2HOLPLQDWLRQPD\EHDOWHUHGZKHQUHQDOIXQFWLRQLV
LPSDLUHG
/2;25(7&$3URWRFRODQG3URWRFRO$PHQGPHQWV

&&,
&&,

&21),'(17,$/
&$/2;25(7)LQDO3URWRFRO$PHQGPHQW0D\

3DJH
 5DWLRQDOHIRUWKH'RVH6HOHFWLRQDQG'RVH5HJLPHQ
$VLQJOHGRVHRIPJ/2;2ZDVVHOHFWHGEHFDXVHLWLVDGRVHWKDWKDVEHHQ
DGPLQLVWHUHG%,'WRFDQFHUSDWLHQWV7KHGRVHRIPJ%,'KDVEHHQVHOHFWHGDVWKH
UHFRPPHQGHG3KDVHGRVHIRUIXUWKHUHYDOXDWLRQLQFDQFHUSDWLHQWV$VLQJOHGRVHRIPJ
VKRXOGSURYLGHVXIILFLHQWOHYHOVRI/2;2WRDVVHVVWKH3.SURSHUWLHVEHLQJLQYHVWLJDWHG
,QWHULPGDWDIURPWKHRQJRLQJVWXG\/2;25(7VKRZWKDWWKH3.RI/2;2LV
GRVHOLQHDUIURPPJ4'WKURXJKPJ%,'
$VRI-XO\GDWDFXWRIIGDWHVDIHW\GDWDZHUHDYDLODEOHIURP
SDWLHQWVZLWKGRVHV
XSWRPJ%,'PJGD\$VRIWKLVGDWH'/7VRI*UDGHWXPRUO\VLVV\QGURPH
DQG*UDGHWKURPERF\WRSHQLDDWWKHPJ%,'GRVHOHYHOKDYHEHHQUHSRUWHG
 5DWLRQDOHIRU3ULPDU\(QGSRLQWV
7KHSULPDU\3.HQGSRLQWVZLOOLQFOXGH$8&W$8&LQIDQG&PD[DVWKHVHSDUDPHWHUV
DUHWKHPRVWUHOHYDQWWRFKDUDFWHUL]HH[SRVXUHRI/2;2IROORZLQJDVLQJOHGRVHLQ
VXEMHFWVZLWK5,DQGLQKHDOWK\PDWFKHGFRQWUROVXEMHFWV

5LVNVDQGRU%HQHILWVWR6XEMHFWV
7KHGRVHRI/2;2DGPLQLVWHUHGLQWKLVVWXG\LVQRWDQWLFLSDWHGWRLQGXFHDQ\VLJQLILFDQW
ULVNRUEHQHILWWRVXEMHFWVSDUWLFLSDWLQJLQWKLVVWXG\DVLWGRHVQRWH[FHHGWKHKLJKHVWGDLO\
WRWDOGRVHVDIHO\DGPLQLVWHUHGLQWKHRQJRLQJJOREDO3KDVH6WXG\/2;25(7
>,QYHVWLJDWRU¶V%URFKXUH@
7KHVDIHW\PRQLWRULQJSUDFWLFHVHPSOR\HGE\WKLVSURWRFROLHOHDG(&*YLWDOVLJQV
FOLQLFDOODERUDWRU\WHVWV$(PRQLWRULQJDQGSK\VLFDOH[DPLQDWLRQDUHDGHTXDWHWRSURWHFW
WKHVXEMHFWV¶VDIHW\
7KHUHZLOOEHQRGLUHFWKHDOWKEHQHILWIRUVWXG\SDUWLFLSDQWVIURPUHFHLSWRIVWXG\GUXJ$Q
LQGLUHFWKHDOWKEHQHILWWRWKHKHDOWK\VXEMHFWVHQUROOHGLQWKLVVWXG\LVWKHIUHHPHGLFDOWHVWV
UHFHLYHGDW6FUHHQLQJDQGGXULQJWKHVWXG\
/2;25(7&$3URWRFRODQG3URWRFRO$PHQGPHQWV

&&,

&21),'(17,$/
&$/2;25(7)LQDO3URWRFRO$PHQGPHQW0D\

3DJH
 2%-(&7,9(6$1'(1'32,176
 2EMHFWLYHV
3ULPDU\
7RFRPSDUHWKHSODVPD3.RI/2;2IROORZLQJDGPLQLVWUDWLRQLQVXEMHFWVZLWKYDU\LQJ
GHJUHHVRI5,LHPLOGPRGHUDWHDQGVHYHUHFRPSDUHGWRKHDOWK\PDWFKHGFRQWUROVXEMHFWV
6HFRQGDU\
7RHYDOXDWHWKHVDIHW\DQGWROHUDELOLW\RI/2;2LQVXEMHFWVZLWK5,
7RFRPSDUHWKHXULQH3.RI/2;2IROORZLQJDGPLQLVWUDWLRQLQVXEMHFWVZLWKYDU\LQJ
GHJUHHVRI5,LHPLOGPRGHUDWHDQGVHYHUHFRPSDUHGWRKHDOWK\PDWFKHGFRQWUROVXEMHFWV
 (QGSRLQWV
3KDUPDFRNLQHWLFV
7KHSODVPD3.HQGSRLQWVZLOOLQFOXGH$8&W$8&$8&LQI$8&H[WUDS&/)
&PD[7PD[.HOWòDQG9])
6DIHW\
6DIHW\HQGSRLQWVZLOOLQFOXGHOHDG(&*VSK\VLFDOH[DPLQDWLRQVYLWDOVLJQVFOLQLFDO
ODERUDWRU\WHVWVDQG$(V
7KHXULQH3.HQGSRLQWVZLOOLQFOXGH$H)HDQG&/U
/2;25(7&$3URWRFRODQG3URWRFRO$PHQGPHQWV


&21),'(17,$/
&$/2;25(7)LQDO3URWRFRO$PHQGPHQW0D\

3DJH
 678'<'(6,*1
 2YHUDOO6WXG\'HVLJQDQG3ODQ
7KLVLVDQRQUDQGRPL]HGRSHQODEHOSDUDOOHOFRKRUWPXOWLSOHVLWHVLQJOHGRVHUHQDO
LPSDLUPHQWVWXG\
6FUHHQLQJRIVXEMHFWVZLOORFFXUZLWKLQGD\VSULRUWRWKHILUVWGRVLQJ
2Q'D\VXEMHFWVZLOOUHFHLYHDVLQJOHRUDOGRVHRI/2;23ODVPDDQGXULQHVDPSOHVLI
SRVVLEOHZLOOEHWDNHQSUHGRVHDQGWKURXJKKRXUVIRUKHDOWK\VXEMHFWVDQGVXEMHFWVZLWK
5,IRU/2;23.DVVHVVPHQW
$VVLJQPHQWWRDUHQDOIXQFWLRQSDQHOZLOOEHDVIROORZV
&RKRUW
5HQDO)XQFWLRQ
H*)5P/PLQP

+HDOWK\0DWFKHG&RQWURO


0LOG
H*)5

0RGHUDWH
H*)5

6HYHUHQRWRQGLDO\VLV


H*)5EDVHGRQ0'5'HTXDWLRQDW6FUHHQLQJ%DVHOLQHH*)5
ZLOOEHREWDLQHGIRUDOOVXEMHFWVLHVXEMHFWVZLWK5,DQG
KHDOWK\PDWFKHGFRQWUROVXEMHFWVE\WDNLQJWKHPHDQRIWKH
H*)5REWDLQHGIURP6FUHHQLQJDQGIURPKLVWRULFDOYDOXHVZLWKLQ
DPRQWKSHULRGIURP6FUHHQLQJ,IQRKLVWRULFDOPHDVXUHPHQW
LVDYDLODEOHDVHFRQG6FUHHQLQJH*)5VDPSOHZLOOEHWDNHQ
GXULQJWKH6FUHHQLQJSHULRGtGD\VDSDUWDQGWKHPHDQRI
WKHWZRYDOXHVZLOOEHXVHGDVWKH%DVHOLQHH*)5IRUFRKRUW
DVVLJQPHQW,QGLYLGXDOH*)5YDOXHVUHFRUGHGIRUHDFK
PHDVXUHPHQWFRQWULEXWLQJWRWKHVXEMHFWPHDQEDVHOLQHYDOXH
PXVWIDOOZLWKLQWKHVSHFLILHGH*)5UDQJHVIRUHDFKFRKRUWLH
KHDOWK\PLOGPRGHUDWHDQGVHYHUHWRFDWHJRUL]HVXEMHFWV¶UHQDO
LPSDLUPHQWVWDWXV
)RUKHDOWK\PDWFKHGFRQWUROVXEMHFWVDVLQJOHDVVHVVPHQWRI
DFWXDOFUHDWLQLQHFOHDUDQFHFRPSXWHGRYHUDKRXUXULQH
FROOHFWLRQPD\EHXVHGLQSODFHRIWKHH*)5EDVHGRQWKH
0'5'HTXDWLRQDWWKH3,¶VGLVFUHWLRQ

/2;25(7&$3URWRFRODQG3URWRFRO$PHQGPHQWV


&21),'(17,$/
&$/2;25(7)LQDO3URWRFRO$PHQGPHQW0D\

3DJH
(DFKKHDOWK\PDWFKHGFRQWUROVXEMHFW&RKRUWZLOOEHGHPRJUDSKLFDOO\PDWFKHGE\DJH
\HDUVERG\PDVVLQGH[%0,DQGVH[WRWKHHQUROOHGUHQDOLPSDLUPHQW
VXEMHFWV6KRXOGDQRWKHUUHQDOLPSDLUPHQWVXEMHFWEHLGHQWLILHGZLWKZKRPDQDOUHDG\
HQUROOHGKHDOWK\VXEMHFWLVGHPRJUDSKLFDOO\PDWFKHGWKHKHDOWK\VXEMHFWPD\DOVREHPDWFKHG
ZLWKWKDWLPSDLUHGVXEMHFWDVORQJDVWKHLPSDLUHGVXEMHFWLVLQDGLIIHUHQWUHQDOLPSDLUPHQW
FRKRUW(DFKVXEMHFWZLWKQRUPDOUHQDOIXQFWLRQPD\EHPDWFKHGZLWKXSWRVXEMHFWZLWKLQ
HDFKUHQDOLPSDLUPHQWFRKRUWLHPLOGPRGHUDWHDQGVHYHUH
6DIHW\DQGWROHUDELOLW\ZLOOEHDVVHVVHGWKURXJK(27RU(7E\PRQLWRULQJ$(VSHUIRUPLQJ
SK\VLFDO H[DPLQDWLRQV DQG FOLQLFDO ODERUDWRU\ WHVWV PHDVXULQJ YLWDO VLJQV DQG UHFRUGLQJ
(&*V

7LPLQJRIDOOVWXG\SURFHGXUHVDUHLQGLFDWHGLQWKH6WXG\(YHQWV)ORZ&KDUW6HFWLRQ
6XEMHFWVPD\EHUHSODFHGDWWKHGLVFUHWLRQRIWKH6SRQVRU
 &RQILQHPHQW5HWXUQ9LVLWVDQG)ROORZ8S
6XEMHFWVZLOOEHKRXVHGLQWKH&58IURP&KHFNLQ'D\DWWKHWLPHLQGLFDWHGE\WKH&58
XQWLODIWHUFRPSOHWLRQRIWKH'D\(27RU(7VWXG\SURFHGXUHV(27LVGHILQHGDVWKHGD\
RQZKLFKWKHVXEMHFWLVUHOHDVHGIURPWKH&58IROORZLQJDOOVWXG\SURFHGXUHV6WXG\(YHQWV
)ORZ&KDUW6HFWLRQ

$WDOOWLPHVDVXEMHFWPD\EHUHTXLUHGWRUHPDLQDWWKH&58IRUORQJHUDWWKHGLVFUHWLRQRIWKH
3,RUGHVLJQHHDQGRU6SRQVRU
7KH&58ZLOOFRQWDFWVXEMHFWVE\SKRQHFDOOGD\VGD\VDIWHUWKH(27RU(7YLVLW
GHILQHGDV(26WRGHWHUPLQHLIDQ6$(RUVWXG\GUXJUHODWHG$(KDVRFFXUUHGVLQFHWKH(27
RU(7YLVLW$OOVXEMHFWVZKRUHFHLYHG/2;2LQFOXGLQJVXEMHFWVZKRWHUPLQDWHWKHVWXG\
HDUO\ZLOOEHFRQWDFWHGDW(26
 (QGRI6WXG\'HILQLWLRQ
(QGRI6WXG\(26LVGHILQHGDVWKHGD\RQZKLFKWKHVXEMHFWFRPSOHWHVWKHIROORZXSSKRQH
FDOO6WXG\(YHQWV)ORZ&KDUW6HFWLRQ

6WXG\FRPSOHWLRQDSSOLHVWRWKHFOLQLFDOFRQGXFWRIWKHVWXG\RYHUDOOLHODVWVXEMHFW¶V
)ROORZXSSKRQHFDOO


/2;25(7&$3URWRFRODQG3URWRFRO$PHQGPHQWV


&21),'(17,$/
&$/2;25(7)LQDO3URWRFRO$PHQGPHQW0D\

3DJH
 678'<3238/$7,21
7KH,QYHVWLJDWRURUGHVLJQHH&HOHULRQ0HGLFDO0RQLWRUDQG6SRQVRUZLOOUHYLHZPHGLFDO
KLVWRU\DQGDOOVFUHHQLQJHYDOXDWLRQVIRUSRWHQWLDOVXEMHFWVSULRUWRHQUROOPHQW7KH6SRQVRU
ZLOOSURYLGHDSSURYDORIVXEMHFWVIRUHQUROPHQWSULRUWRGRVLQJ
6XEMHFWVZKRDUHGHWHUPLQHGWREHVFUHHQIDLOXUHVDUHSHUPLWWHGWREHUHVFUHHQHGLIWKH3,RU
GHVLJQHHZLWKDJUHHPHQWIURPWKH&HOHULRQ0HGLFDO0RQLWRUDQGWKH6SRQVRUIHHOVWKDWWKH
VXEMHFWPD\PHHWHOLJLELOLW\FULWHULDXSRQUHVFUHHQLQJ5HVFUHHQHGVXEMHFWVZLOOEHSURYLGHG
ZLWKQHZVXEMHFWLGHQWLILFDWLRQ
 ,QFOXVLRQ&ULWHULD
6XEMHFWVPXVWIXOILOODOORIWKHIROORZLQJLQFOXVLRQFULWHULDWREHHOLJLEOHIRUSDUWLFLSDWLRQLQWKH
VWXG\
 $OO6XEMHFWV
 0DOHRUIHPDOHRIQRQFKLOGEHDULQJSRWHQWLDORQO\\HDUVRIDJHLQFOXVLYHDW
6FUHHQLQJ
 %RG\PDVVLQGH[%0,DQGNJPDW6FUHHQLQJDQGKDYHDPLQLPXPZHLJKW
RIDWOHDVWNJDW6FUHHQLQJ
 )HPDOHRIQRQFKLOGEHDULQJSRWHQWLDOPXVWKDYHXQGHUJRQHRQHRIWKHIROORZLQJ
VWHULOL]DWLRQSURFHGXUHVDWOHDVWPRQWKVSULRUWRGRVLQJ
x K\VWHURVFRSLFVWHULOL]DWLRQ
x ELODWHUDOWXEDOOLJDWLRQRUELODWHUDOVDOSLQJHFWRP\
x K\VWHUHFWRP\
x ELODWHUDORRSKRUHFWRP\
RUEHSRVWPHQRSDXVDOZLWKDPHQRUUKHDIRUDWOHDVW\HDUSULRUWRGRVLQJDQG
IROOLFOHVWLPXODWLQJKRUPRQH)6+VHUXPOHYHOVFRQVLVWHQWZLWKSRVWPHQRSDXVDOVWDWXV
3RVWPHQRSDXVDOVWDWXVZLOOEHFRQILUPHGZLWKDVFUHHQLQJVHUXPIROOLFOHVWLPXODWLQJ
KRUPRQHOHYHOYDOXHZLWKLQWKH&58¶VODERUDWRU\¶VH[SHFWHGUDQJHIRUSRVWPHQRSDXVDO
VWDWXV$OOIHPDOHVPXVWKDYHDQHJDWLYHTXDOLWDWLYHVHUXPSUHJQDQF\WHVWVHUXPKXPDQ
FKRULRQLFJRQDGRWURSLQDW6FUHHQLQJDQG&KHFNLQ'D\
 0DOHVZKRDUHFDSDEOHRIIDWKHULQJDFKLOGPXVWDJUHHWRXVHRQHRIWKHIROORZLQJPHWKRGV
RIFRQWUDFHSWLRQIURPWKHWLPHRIWKHGRVHDGPLQLVWUDWLRQWKURXJKPRQWKVDIWHUWKHVWXG\
GUXJDGPLQLVWUDWLRQRQ'D\
/2;25(7&$3URWRFRODQG3URWRFRO$PHQGPHQWV


&21),'(17,$/
&$/2;25(7)LQDO3URWRFRO$PHQGPHQW0D\

3DJH
0DOHVWHULOL]DWLRQZLWKGRFXPHQWHGFRQILUPDWLRQRIVXUJLFDOVXFFHVV0DOHVXEMHFWVZLOOEH
VXUJLFDOO\VWHULOHIRUDWOHDVWGD\VSULRUWR&KHFNLQ'D\,IGRFXPHQWDWLRQLVQRW
DYDLODEOHPDOHVXEMHFWVPXVWIROORZRQHRIWKHFRQWUDFHSWLRQPHWKRGVEHORZ
D 0DOHFRQGRPZLWKVSHUPLFLGHDQG
E )RUDIHPDOHSDUWQHURIPDOHVWXG\SDUWLFLSDQW
 ,QWUDXWHULQHGHYLFH,8'KRUPRQDO,8'HJ0LUHQD
&RSSHU,8'VDUHDFFHSWDEOHHJ3DUD*DUG
 (VWDEOLVKHGXVHRIRUDOLPSODQWHGWUDQVGHUPDORUKRUPRQDO
PHWKRGRIFRQWUDFHSWLRQDVVRFLDWHGZLWKLQKLELWLRQRIRYXODWLRQ
RU
 %LODWHUDOWXEDOOLJDWLRQ
0DOHVZKRSUDFWLFHWUXHDEVWLQHQFHEHFDXVHRIDOLIHVW\OHFKRLFHLHGRQRWEHFRPH
DEVWLQHQWMXVWIRUWKHSXUSRVHRIVWXG\SDUWLFLSDWLRQDUHH[HPSWIURPFRQWUDFHSWLYH
UHTXLUHPHQWV3HULRGLFDEVWLQHQFHE\DIHPDOHSDUWQHUHJFDOHQGDURYXODWLRQ
V\PSWRWKHUPDOSRVWRYXODWLRQPHWKRGVDQGZLWKGUDZDODUHQRWDFFHSWDEOHPHWKRGVRI
FRQWUDFHSWLRQ,IDPDOHVXEMHFWLVDEVWLQHQWDWWKHWLPHRIVLJQLQJWKH,&)EXWEHFRPHV
VH[XDOO\DFWLYHGXULQJWKHVWXG\KHPXVWDJUHHWRXVHFRQWUDFHSWLRQDVGHVFULEHGDERYH
)RUPDOHVXEMHFWVVH[XDOLQWHUFRXUVHZLWKIHPDOHSDUWQHUVZKRDUHSUHJQDQWRU
EUHDVWIHHGLQJVKRXOGEHDYRLGHGXQOHVVFRQGRPVZLWKVSHUPLFLGHDUHXVHGIURPWKHWLPHRI
WKHVWXG\GUXJDGPLQLVWUDWLRQXQWLOPRQWKVDIWHUVWXG\GUXJDGPLQLVWUDWLRQRQ'D\
0DOHVXEMHFWVDUHUHTXLUHGWRUHIUDLQIURPGRQDWLRQRIVSHUPIURP&KHFNLQ'D\XQWLO
PRQWKVDIWHUVWXG\GUXJDGPLQLVWUDWLRQRQ'D\
)RUVXEMHFWVZKRDUHH[FOXVLYHO\LQVDPHVH[UHODWLRQVKLSVFRQWUDFHSWLYHUHTXLUHPHQWVGR
QRWDSSO\
 8QGHUVWDQGVWKHVWXG\SURFHGXUHVLQWKH,&)DQGEHZLOOLQJDQGDEOHWRFRPSO\ZLWKWKH
SURWRFRO
 $GGLWLRQDO5HTXLUHPHQWVIRU6XEMHFWVZLWK5,
 6XEMHFWLVDQRQVPRNHURUPRGHUDWHVPRNHUDQGLVZLOOLQJWRFRQVXPHQRPRUHWKDQ
FLJDUHWWHVGD\RUHTXLYDOHQWLQWREDFFRRUQLFRWLQHFRQWDLQLQJSURGXFWVIURP&KHFNLQ
'D\WKURXJK(27RU(7DQGUHIUDLQIURPWKHXVHRIWREDFFRRUQLFRWLQHFRQWDLQLQJ
SURGXFWVIRUKRXUVSULRUWRGRVLQJDQGKRXUVDIWHUGRVHDGPLQLVWUDWLRQRQ'D\
/2;25(7&$3URWRFRODQG3URWRFRO$PHQGPHQWV


&21),'(17,$/
&$/2;25(7)LQDO3URWRFRO$PHQGPHQW0D\

3DJH
 :LWKWKHH[FHSWLRQRIUHQDOLQVXIILFLHQF\EDVHOLQHPHGLFDOKHDOWKLVMXGJHGWREHVWDEOH
ZLWKQRFOLQLFDOO\VLJQLILFDQWPHGLFDOKLVWRU\SK\VLFDOH[DPLQDWLRQODERUDWRU\SURILOHV
YLWDOVLJQVRU(&*DEQRUPDOLWLHVDW6FUHHQLQJDQGDWWKHWLPHRI&KHFNLQ'D\DV
GHHPHGDFFHSWDEOHE\WKH3,RUGHVLJQHHZLWKDJUHHPHQWIURPWKH&HOHULRQ0HGLFDO
0RQLWRUDQGWKH6SRQVRU
 /LYHUIXQFWLRQWHVWVDODQLQHDPLQRWUDQVIHUDVH>$/7@DQGDVSDUWDWHDPLQRWUDQVIHUDVH
>$67@DQGVHUXPWRWDODQGGLUHFWELOLUXELQDP\ODVHDQGOLSDVHVKRXOGEHZLWKLQWKH
XSSHUOLPLWRIQRUPDOIRUWKHODERUDWRU\XVHGE\WKH&58DW6FUHHQLQJDQG&KHFNLQ'D\
5HFKHFNVRIWKH/)7V$/7DQG$67VHUXPWRWDODQGGLUHFWELOLUXELQDP\ODVHDQG
OLSDVHZLOOEHSHUPLWWHGXSWRWLPHVWRFRQILUPVXEMHFWHOLJLELOLW\6XEMHFWVPD\EH
HOLJLEOHIRUSDUWLFLSDWLRQLQWKHVWXG\EDVHGRQUHFKHFNHGYDOXHVLIWKHVHYDOXHVDUHZLWKLQ
WKHXSSHUOLPLWRIQRUPDORULIWKHVHYDOXHVDUHFRQVLVWHQWZLWKWKHLUUHQDOGLVHDVHDQGLIWKH
3,RUGHVLJQHHZLWKDJUHHPHQWIURPWKH&HOHULRQ0HGLFDO0RQLWRUDQGWKH6SRQVRUIHHOV
WKDWWKHUHVXOWVDUHQRWFOLQLFDOO\VLJQLILFDQWDQGZLOOQRWLPSDFWVWXG\FRQGXFW
 6XEMHFWLVQRWFXUUHQWO\RUKDVQRWSUHYLRXVO\EHLQJRQKHPRGLDO\VLV
 %DVHOLQHH*)5EDVHGRQWKH0'5'HTXDWLRQDW6FUHHQLQJDVIROORZV
x 6HYHUH5,P/PLQP
x 0RGHUDWH5,DQGP/PLQP
x 0LOG5,DQGP/PLQP
7KH0'5'HTXDWLRQLVDVIROORZVIRUIHPDOHVPXOWLSO\UHVXOWE\LI$IULFDQ
$PHULFDQPXOWLSO\UHVXOWE\
H*)5 [6FUVWG[$JH
6FUVWGVHUXPFUHDWLQLQHPJG/PHDVXUHGZLWKDVWDQGDUGL]HGDVVD\
7KHEDVHOLQHH*)5ZLOOEHREWDLQHGE\WDNLQJWKHPHDQRIWKHH*)5REWDLQHGIURP
VFUHHQLQJDQGIURPKLVWRULFDOYDOXHVZLWKLQDPRQWKSHULRGIURPVFUHHQLQJ,IQR
KLVWRULFDOPHDVXUHPHQWLVDYDLODEOHDVHFRQGVFUHHQLQJH*)5VDPSOHZLOOEHWDNHQGXULQJ
WKHVFUHHQLQJSHULRGGD\VDSDUWDQGWKHPHDQRIWKHWZRYDOXHVZLOOEHXVHGDVWKH
%DVHOLQHH*)5IRUFRKRUWDVVLJQPHQW,QGLYLGXDOH*)5YDOXHVUHFRUGHGIRUHDFK
PHDVXUHPHQWFRQWULEXWLQJWRWKHVXEMHFWPHDQEDVHOLQHYDOXHPXVWIDOOZLWKLQWKHVSHFLILHG
H*)5UDQJHVIRUHDFKFRKRUWPLOGPRGHUDWHDQGVHYHUHWRFDWHJRUL]HVXEMHFWV¶UHQDO
LPSDLUPHQWVWDWXV
 8VHRISUHVFULSWLRQDQGQRQSUHVFULSWLRQPHGLFDWLRQVWKDWDUHQHHGHGWRVWDELOL]HWKH
VXEMHFW¶VXQGHUO\LQJPHGLFDOFRQGLWLRQRUFRQFXUUHQWEDVHOLQHFRQGLWLRQVDVGHHPHG
DFFHSWDEOHE\WKH3,RUGHVLJQHHZLWKDJUHHPHQWIURPWKH&HOHULRQ0HGLFDO0RQLWRUDQG
WKH6SRQVRUSURYLGLQJWKHVXEMHFWKDVEHHQRQDVWDEOHGRVHIRUDPLQLPXPRIGD\V
SULRUWRVWXG\GUXJDGPLQLVWUDWLRQ
/2;25(7&$3URWRFRODQG3URWRFRO$PHQGPHQWV


&21),'(17,$/
&$/2;25(7)LQDO3URWRFRO$PHQGPHQW0D\

3DJH
 $GGLWLRQDO5HTXLUHPHQWVIRU+HDOWK\6XEMHFWV
 +HDOWK\DGXOWPDOHDQGIHPDOHVXEMHFWVZLOOEHPDWFKHGWRDWOHDVWRQHVSHFLILFVXEMHFW
LQWKHUHQDOO\LPSDLUHGFRKRUWVEDVHGXSRQDJH%0,DQGVH[7KHIROORZLQJFULWHULD
VKRXOGEHIXOILOOHG
x
$JHPXVWEHZLWKLQ\HDUVRIWKHPDWFKHGVXEMHFWV¶DJHLQWKHUHQDOO\LPSDLUHG
FRKRUW
x
%0,PXVWEHZLWKLQRIWKHPDWFKHGVXEMHFWV¶%0,LQWKHUHQDOO\LPSDLUHG
FRKRUW
 &RQWLQXRXVQRQVPRNHUZKRKDVQRWXVHGQLFRWLQHWREDFFRFRQWDLQLQJSURGXFWVIRUDWOHDVW
PRQWKVSULRUWRWKHILUVWGRVLQJDQGWKURXJK(27RU(7
 %DVHOLQHH*)5P/PLQPDW6FUHHQLQJEDVHGRQWKH0'5'HTXDWLRQDV
GHVFULEHGLQ6HFWLRQ&ULWHULRQ%DVHGRQWKHGLVFUHWLRQRIWKH3,RUGHVLJQHHD
VLQJOHDVVHVVPHQWRIDFWXDOFUHDWLQLQHFOHDUDQFHHYDOXDWHGRYHUDKRXUXULQHFROOHFWLRQ
PD\EHXVHGLQSODFHRIWKHH*)5EDVHGRQWKH0'5'HTXDWLRQIRUKHDOWK\VXEMHFWV
,QGLYLGXDOH*)5YDOXHVUHFRUGHGIRUHDFKPHDVXUHPHQWFRQWULEXWLQJWRWKHVXEMHFWPHDQ
EDVHOLQHYDOXHPXVWIDOOZLWKLQWKHVSHFLILHGH*)5UDQJHIRUDKHDOWK\PDWFKHGVXEMHFW
!P/PLQP
 0HGLFDOO\KHDOWK\ZLWKQRFOLQLFDOO\VLJQLILFDQWPHGLFDOKLVWRU\SK\VLFDOH[DPLQDWLRQ
ODERUDWRU\SURILOHVYLWDOVLJQVRU(&*VDW6FUHHQLQJDQGDWWKHWLPHRI&KHFNLQ'D\
DVGHHPHGE\WKH3,RUGHVLJQHHDQGDVFRQILUPHGE\WKH&HOHULRQ0HGLFDO0RQLWRUDQG
WKH6SRQVRU
 /LYHUIXQFWLRQWHVWV$/7DQG$67VHUXPWRWDODQGGLUHFWELOLUXELQDP\ODVHDQGOLSDVH
PXVWEHZLWKLQWKHXSSHUOLPLWRIQRUPDOIRUWKHODERUDWRU\XVHGE\WKH&58DW6FUHHQLQJ
DQG&KHFNLQ'D\5HFKHFNVRIWKH/)7V$/7DQG$67VHUXPWRWDODQGGLUHFW
ELOLUXELQDP\ODVHDQGOLSDVHZLOOEHSHUPLWWHGXSWRWLPHVWRFRQILUPVXEMHFWHOLJLELOLW\
6XEMHFWVPD\EHHOLJLEOHIRUSDUWLFLSDWLRQLQWKHVWXG\EDVHGRQUHFKHFNHGYDOXHVLIWKHVH
YDOXHVDUHZLWKLQQRUPDOUDQJHVDQGLIWKH3,RUGHVLJQHHZLWKDJUHHPHQWIURPWKH
&HOHULRQ0HGLFDO0RQLWRUDQGWKH6SRQVRUIHHOVWKDWWKHUHVXOWVDUHQRWFOLQLFDOO\
VLJQLILFDQWDQGZLOOQRWLPSDFWVWXG\FRQGXFW
 ([FOXVLRQ&ULWHULD
6XEMHFWVPXVWQRWEHHQUROOHGLQWKHVWXG\LIWKH\PHHWDQ\RIWKHIROORZLQJFULWHULD
 $OO6XEMHFWV
 0HQWDOO\RUOHJDOO\LQFDSDFLWDWHGRUKDVVLJQLILFDQWHPRWLRQDOSUREOHPVDWWKHWLPHRIWKH
VFUHHQLQJYLVLWRUH[SHFWHGGXULQJWKHFRQGXFWRIWKHVWXG\
/2;25(7&$3URWRFRODQG3URWRFRO$PHQGPHQWV


&21),'(17,$/
&$/2;25(7)LQDO3URWRFRO$PHQGPHQW0D\

3DJH
 +LVWRU\RUSUHVHQFHRIFOLQLFDOO\VLJQLILFDQWPHGLFDORUSV\FKLDWULFFRQGLWLRQRUGLVHDVHLQ
WKHRSLQLRQRIWKH3,RUGHVLJQHHDQGDVFRQILUPHGE\WKH&HOHULRQ0HGLFDO0RQLWRUDQG
WKH6SRQVRU
 +LVWRU\RIDQ\LOOQHVVWKDWLQWKHRSLQLRQRIWKH3,RUGHVLJQHHDQGDVFRQILUPHGE\WKH
&HOHULRQ0HGLFDO0RQLWRUDQGWKH6SRQVRUPLJKWFRQIRXQGWKHUHVXOWVRIWKHVWXG\RU
SRVHVDQDGGLWLRQDOULVNWRWKHVXEMHFWE\WKHLUSDUWLFLSDWLRQLQWKHVWXG\
 +LVWRU\RIVWRPDFKRULQWHVWLQDOVXUJHU\RUUHVHFWLRQJDVWULWLVJDVWURLQWHVWLQDOWUDFWRU
KHSDWLFGLVRUGHURURWKHUFOLQLFDOFRQGLWLRQWKDWPLJKWDVGHHPHGE\WKH3,RUGHVLJQHH
ZLWKDJUHHPHQWIURPWKH&HOHULRQ0HGLFDO0RQLWRUDQGWKH6SRQVRUDIIHFWWKHDEVRUSWLRQ
GLVWULEXWLRQELRWUDQVIRUPDWLRQRUH[FUHWLRQRI/2;2DSSHQGHFWRP\KHUQLDUHSDLU
DQGFKROHF\VWHFWRP\ZLOOEHDOORZHGEDULDWULFVXUJHU\ZLOOQRWEHDOORZHG
 6XEMHFWKDVUHTXLUHGWUHDWPHQWIRUJDVWURLQWHVWLQDOEOHHGLQJZLWKLQPRQWKVSULRUWR
&KHFNLQ'D\
 +LVWRU\RUSUHVHQFHRIDOFRKROLVPRUGUXJDEXVHZLWKLQWKHSDVW\HDUVSULRUWRGRVLQJ
 +LVWRU\RUSUHVHQFHRIK\SHUVHQVLWLYLW\RULGLRV\QFUDWLFUHDFWLRQWRWKHVWXG\GUXJVRU
UHODWHGFRPSRXQGVRULQDFWLYHLQJUHGLHQWV
 +LVWRU\RUSUHVHQFHRI
x OLYHUGLVHDVH
x SDQFUHDWLWLV
x SHSWLFXOFHUGLVHDVH
x LQWHVWLQDOPDODEVRUSWLRQ
x JDVWULFUHGXFWLRQVXUJHU\
x XQH[SODLQHGV\QFRSH
x KLVWRU\RUSUHVHQFHRIFOLQLFDOO\VLJQLILFDQWFDUGLRYDVFXODUGLVHDVH
P P\RFDUGLDOLQIDUFWLRQRUFHUHEURYDVFXODUWKURPERHPEROLVPZLWKLQPRQWKVSULRU
WRGRVLQJ
P V\PSWRPDWLFDQJLQDSHFWRULVZLWKLQPRQWKVSULRUWRGRVLQJ
P 1HZ<RUN+HDUW$VVRFLDWLRQ&ODVVFRQJHVWLYHKHDUWIDLOXUHZLWKLQPRQWKV
SULRUWRGRVLQJ
P FRQJHQLWDOSURORQJHG47V\QGURPH
P YHQWULFXODUSUHH[FLWDWLRQV\QGURPH:ROII3DUNLQVRQ:KLWHV\QGURPH
P DUUK\WKPLDRUKLVWRU\RIDUUK\WKPLDUHTXLULQJPHGLFDOLQWHUYHQWLRQ
P YHQWULFXODUG\VIXQFWLRQRUULVNIDFWRUVIRU7RUVDGHVGH3RLQWHVHJKHDUWIDLOXUH
FDUGLRP\RSDWK\IDPLO\KLVWRU\RI/RQJ476\QGURPH
/2;25(7&$3URWRFRODQG3URWRFRO$PHQGPHQWV


&21),'(17,$/
&$/2;25(7)LQDO3URWRFRO$PHQGPHQW0D\

3DJH
P VLJQLILFDQWVFUHHQLQJ(&*DEQRUPDOLWLHV
 /HIW%XQGOHEUDQFKEORFN
 6HFRQGGHJUHHDWULRYHQWULFXODU$9EORFNW\SHRUWKLUGGHJUHH$9EORFN
 )HPDOHVXEMHFWVRIFKLOGEHDULQJSRWHQWLDO
)HPDOHVXEMHFWVZLWKDSRVLWLYHSUHJQDQF\WHVWRUZKRDUHODFWDWLQJ
6XEMHFWVZLWKDWUHVWLHVXSLQHIRUDWOHDVWPLQXWHVKHDUWUDWHORZHUWKDQESPRU
KLJKHUWKDQESPDW6FUHHQLQJ&KHFNLQ'D\DQGSULRUWRGRVLQJ2XWRIUDQJH
YDOXHVWKDWDUHQRWFOLQLFDOO\VLJQLILFDQWDVGHWHUPLQHGE\WKH3,RUGHVLJQHHPD\EH
UHSHDWHGWZLFHGXULQJ6FUHHQLQJ&KHFNLQ'D\DQGSULRUWRGRVLQJ1RWH5HFKHFNV
RIKHDUWUDWHYDOXHVZLOOEHSHUPLWWHGXSWRWLPHVWRFRQILUPHOLJLELOLW\IRUVWXG\
SDUWLFLSDWLRQ6XEMHFWVPD\EHHOLJLEOHIRUSDUWLFLSDWLRQLQWKHVWXG\EDVHGRQUHFKHFNHG
KHDUWUDWHYDOXHVLIWKH\IDOOZLWKLQWKHUDQJHVUHIHUHQFHGDERYHDQGLIWKH3,RUGHVLJQHH
ZLWKDJUHHPHQWIURPWKH&HOHULRQ0HGLFDO0RQLWRUDQGWKH6SRQVRUIHHOWKDWWKHUHVXOWV
DUHQRWFOLQLFDOO\VLJQLILFDQWEDVHGRQWKHDJHDQGUHQDOLPSDLUPHQWVWDWXVRIWKHVXEMHFW
DQGZLOOQRWLPSDFWVWXG\FRQGXFW
 3RVLWLYHUHVXOWVIRUWKHXULQHRUVDOLYDGUXJVFUHHQDW6FUHHQLQJRU&KHFNLQ'D\
XQOHVVWKHSRVLWLYHGUXJVFUHHQLVGXHWRSUHVFULSWLRQGUXJXVHWKDWLVDSSURYHGE\WKH3,RU
GHVLJQHH&HOHULRQ0HGLFDO0RQLWRUDQG6SRQVRU
 3RVLWLYHUHVXOWVIRUXULQHRUEUHDWKDOFRKROVFUHHQDW6FUHHQLQJRU&KHFNLQ'D\
 3RVLWLYHUHVXOWVDW6FUHHQLQJIRUKXPDQLPPXQRGHILFLHQF\YLUXV+,9KHSDWLWLV%VXUIDFH
DQWLJHQ+%V$JRUKHSDWLWLV&YLUXV+&96XEMHFWVZKRDUHSRVLWLYHIRUKHSDWLWLV%
YLUXV+&9RU+,9E\DQWLERG\ZLOOUHTXLUHFRQILUPDWLRQE\SRO\PHUDVHFKDLQUHDFWLRQ
3&5EHIRUHHQUROOPHQWWRGHWHFWSUHVHQFHRIDFWLYHYLUXV6XEMHFWVZKRDUH3&5SRVLWLYH
ZLOOQRWEHHOLJLEOH
 2UDOERG\WHPSHUDWXUHDW6FUHHQLQJ&KHFNLQ'D\DQGSULRUWRGRVLQJOHVVWKDQ&
RUJUHDWHUWKDQ&
 ,VXQDEOHWRUHIUDLQIURPRUDQWLFLSDWHVWKHXVHRIDQ\PRGHUDWHRUVWURQJLQKLELWRURU
LQGXFHURI&<3$$VWURQJLQKLELWRURI3JSSURWRQSXPSLQKLELWRUVDQWDFLGVDQG
+UHFHSWRUDQWDJRQLVWVIURPGD\VSULRUWRGRVLQJDQGWKURXJK(27RU(7
 +DVEHHQRQDGLHWLQFRPSDWLEOHZLWKWKHRQVWXG\GLHWLQWKHRSLQLRQRIWKH3,RU
GHVLJQHHDQGDVFRQILUPHGE\WKH&HOHULRQ0HGLFDO0RQLWRUDQGWKH6SRQVRUZLWKLQWKH
GD\VSULRUWRGRVLQJDQGWKURXJK(27RU(7
 $Q\PHGLFDWLRQLQFOXGLQJRYHUWKHFRXQWHUWKDWZRXOGVLJQLILFDQWO\DOWHUH*)5ZKLFK
E\WKHGHWHUPLQDWLRQRIWKH3,RUGHVLJQHHDQGDVFRQILUPHGE\WKH&HOHULRQ0HGLFDO
0RQLWRUDQGWKH6SRQVRUPLJKWLQWHUIHUHZLWKWKHVWXG\HJFLPHWLGLQHZLOOEH
SURKLELWHGDWOHDVWZHHNVSULRUWRGRVLQJDQGWKURXJK(27RU(7
/2;25(7&$3URWRFRODQG3URWRFRO$PHQGPHQWV


&21),'(17,$/
&$/2;25(7)LQDO3URWRFRO$PHQGPHQW0D\

3DJH
 'RQDWLRQRIEORRGRUVLJQLILFDQWEORRGORVVZLWKLQGD\VSULRUWRGRVLQJ
 3ODVPDRUSODWHOHWGRQDWLRQZLWKLQZHHNVSULRUWRGRVLQJ
 'RVLQJLQDQ\RWKHULQYHVWLJDWLRQDOVWXG\GUXJWULDOLQYROYLQJDGPLQLVWUDWLRQRIDQ\
LQYHVWLJDWLRQDOGUXJLQWKHSDVWGD\VRUKDOIOLYHVLINQRZQZKLFKHYHULVORQJHU
SULRUWR&KHFNLQ'D\
 6WUHQXRXVH[HUFLVHZLWKLQGD\VSULRUWR&KHFNLQ'D\
 3RRUSHULSKHUDOYHQRXVDFFHVV
 +LVWRU\RIDPDMRUVXUJLFDOSURFHGXUHZLWKLQGD\VSULRUWR6FUHHQLQJ
 +LVWRU\RUSUHVHQFHXSRQFOLQLFDOHYDOXDWLRQRIDQ\LOOQHVVWKDWLQWKHRSLQLRQRIWKH
,QYHVWLJDWRUZRXOGLQWHUIHUHZLWKWKHDELOLW\WRSURYLGHLQIRUPHGFRQVHQWRUFRPSO\ZLWK
VWXG\LQVWUXFWLRQVRUWKDWPLJKWFRQIRXQGWKHLQWHUSUHWDWLRQRIWKHVWXG\UHVXOWVRUSXWWKH
VXEMHFWDWXQGXHULVN
 5HFHLSWRIEORRGSURGXFWVZLWKLQPRQWKVSULRUWR&KHFNLQ'D\
 $GGLWLRQDO5HTXLUHPHQWVIRU6XEMHFWVZLWK5,
 +DVUDSLGO\IOXFWXDWLQJUHQDOIXQFWLRQRUKDVGHPRQVWUDWHGRUVXVSHFWHGUHQDODUWHU\
VWHQRVLV5DSLGO\IOXFWXDWLQJUHQDOIXQFWLRQLVGHILQHGDVEDVHOLQHDQGKLVWRULFDOH*)5
YDOXHVWKDWGLIIHUE\PRUHWKDQZLWKLQDWOHDVWPRQWKVIRUVXEMHFWVZLWKKLVWRULFDO
H*)5YDOXHVDYDLODEOHDWWKHWLPHRIVFUHHQLQJRUH*)5YDOXHVWKDWGLIIHUE\PRUHWKDQ
IRUWKHVFUHHQLQJPHDVXUHPHQWVtGD\VDSDUWIRUVXEMHFWVZLWKQRKLVWRULFDO
H*)5YDOXHVDYDLODEOHDWWKHWLPHRIVFUHHQLQJ
 +DVKDGDUHQDOWUDQVSODQWDQHSKUHFWRP\RULVDVXEMHFWZLWKDNQRZQKLVWRU\RIQHSKURWLF
V\QGURPH
 8QDEOHWRUHIUDLQIURPRUDQWLFLSDWHVWKHXVHRIDQ\PHGLFDWLRQRUVXEVWDQFHLQFOXGLQJ
SUHVFULSWLRQRURYHUWKHFRXQWHUPHGLFDWLRQVYLWDPLQVXSSOHPHQWVQDWXUDORUKHUEDO
VXSSOHPHQWVIURPGD\VSULRUWRGRVLQJDQGWKURXJK(27RU(7XQOHVVLWLVD
SUHVFULSWLRQRUQRQSUHVFULSWLRQPHGLFDWLRQXVHGWRWUHDWPDQLIHVWDWLRQVRIUHQDOGLVHDVHRU
PHGLFDWLRQVQHHGHGWRWUHDWVWDEOHGLVHDVHVZKLFKKDVEHHQDSSURYHGE\WKH3,RU
GHVLJQHHZLWKDJUHHPHQWIURPWKH&HOHULRQ0HGLFDO0RQLWRUDQGWKH6SRQVRUDQG
SURYLGHGWKH\KDYHEHHQRQDVWDEOHUHJLPHQIRUDWOHDVWGD\VSULRUWRGRVLQJDQGDUH
DEOHWRZLWKKROGXVHIRUKRXUVSUHGRVHDQGKRXUVSRVWGRVHRQWKHGD\RIGRVH
DGPLQLVWUDWLRQ'D\XQOHVVDSSURYHGE\WKH3,RUGHVLJQHHZLWKDJUHHPHQWIURPWKH
&HOHULRQ0HGLFDO0RQLWRUDQG6SRQVRU
 +DVUHTXLUHGQHZPHGLFDWLRQIRUUHQDOGLVHDVHZLWKLQGD\VSULRUWR&KHFNLQ'D\
 47LQWHUYDOFRUUHFWHGIRUKHDUWUDWHXVLQJ)ULGHULFLD¶VPHWKRG47F)LV!PVHF
/2;25(7&$3URWRFRODQG3URWRFRO$PHQGPHQWV


&21),'(17,$/
&$/2;25(7)LQDO3URWRFRO$PHQGPHQW0D\

3DJH
 $WUHVWLHVXSLQHIRUDWOHDVWPLQXWHVGLDVWROLFEORRGSUHVVXUH%3RIRU!
PP+JDQGRUV\VWROLF%3RIRU!PP+JDW6FUHHQLQJ&KHFNLQDQGSULRUWR
GRVLQJ2XWRIUDQJHYDOXHVWKDWDUHQRWFOLQLFDOO\VLJQLILFDQWDVGHWHUPLQHGE\WKH3,RU
GHVLJQHHPD\EHUHSHDWHGWZLFHGXULQJ6FUHHQLQJ&KHFNLQ'D\DQGSULRUWRGRVLQJ
1RWH5HFKHFNVRI%3YDOXHVZLOOEHSHUPLWWHGXSWRWLPHVWRFRQILUPHOLJLELOLW\IRUVWXG\
SDUWLFLSDWLRQ6XEMHFWVPD\EHHOLJLEOHIRUSDUWLFLSDWLRQLQWKHVWXG\EDVHGRQUHFKHFNHG%3
YDOXHVLIWKH\IDOOZLWKLQWKHUDQJHVUHIHUHQFHGDERYHDQGWKH3,RUGHVLJQHHZLWK
DJUHHPHQWIURPWKH&HOHULRQ0HGLFDO0RQLWRUDQGWKH6SRQVRUIHHOVWKDWWKHUHVXOWVDUHQRW
FOLQLFDOO\VLJQLILFDQWEDVHGRQWKHDJHDQGUHQDOLPSDLUPHQWVWDWXVRIWKHVXEMHFWDQGZLOO
QRWLPSDFWVWXG\FRQGXFW
 $GGLWLRQDO5HTXLUHPHQWVIRU+HDOWK\6XEMHFWV
 +LVWRU\RUSUHVHQFHRIGLDEHWHVPHOOLWXV
 +LVWRU\RI/HIW%XQGOH%UDQFK%ORFN
 47LQWHUYDOFRUUHFWHGIRUKHDUWUDWHXVLQJ)ULGHULFLD¶VPHWKRG47F)LV!PVHF
 $WUHVWLHVXSLQHIRUDWOHDVWPLQXWHVGLDVWROLF%3RIRU!PP+JDQGRU
VXSLQHV\VWROLF%3RIRU!PP+JDW6FUHHQLQJ&KHFNLQ'D\DQGSULRUWR
GRVLQJ2XWRIUDQJHYDOXHVWKDWDUHQRWFOLQLFDOO\VLJQLILFDQWDVGHWHUPLQHGE\WKH3,RU
GHVLJQHHPD\EHUHSHDWHGWZLFHGXULQJ6FUHHQLQJ&KHFNLQ'D\DQGSULRUWRGRVLQJ
1RWH5HFKHFNVRI%3YDOXHVZLOOEHSHUPLWWHGXSWRWLPHVWRFRQILUPHOLJLELOLW\IRUVWXG\
SDUWLFLSDWLRQ6XEMHFWVPD\EHHOLJLEOHIRUSDUWLFLSDWLRQLQWKHVWXG\EDVHGRQUHFKHFNHG%3
YDOXHVLIWKH\IDOOZLWKLQWKHUDQJHVUHIHUHQFHGDERYHDQGLIWKH3,RUGHVLJQHHZLWK
DJUHHPHQWIURPWKH&HOHULRQ0HGLFDO0RQLWRUDQGWKH6SRQVRUIHHOVWKDWWKHUHVXOWVDUHQRW
FOLQLFDOO\VLJQLILFDQWDQGZLOOQRWLPSDFWVWXG\FRQGXFW
 $Q\FOLQLFDOO\VLJQLILFDQWGHYLDWLRQVIURPQRUPDOUDQJHVLQFUHDWLQHNLQDVH&.XQOHVV
DSSURYHGE\WKH3,RUGHVLJQHHZLWKDJUHHPHQWIURPWKH&HOHULRQ0HGLFDO0RQLWRUDQG
WKH6SRQVRU
 6LJQLILFDQWKLVWRU\RUFOLQLFDOPDQLIHVWDWLRQRIDQ\PHWDEROLFDOOHUJLFGHUPDWRORJLFDO
KHSDWLFELOLDU\UHQDOKHPDWRORJLFDOSXOPRQDU\FDUGLRYDVFXODULQFOXGLQJDQ\SULRU
KLVWRU\RIFDUGLRP\RSDWK\RUFDUGLDFIDLOXUHJDVWURLQWHVWLQDOQHXURORJLFDORUSV\FKLDWULF
GLVRUGHUDVGHWHUPLQHGE\WKH,QYHVWLJDWRURUFDQFHUZLWKLQWKHSDVW\HDUVH[FHSW
ORFDOL]HGEDVDOFHOOVTXDPRXVRULQVLWXFDQFHURIWKHVNLQ
 ,VXQDEOHWRUHIUDLQIURPRUDQWLFLSDWHVWKHXVHRIDQ\PHGLFDWLRQRUVXEVWDQFHLQFOXGLQJ
SUHVFULSWLRQRURYHUWKHFRXQWHUPHGLFDWLRQVYLWDPLQVXSSOHPHQWVQDWXUDORUKHUEDO
VXSSOHPHQWVIURPGD\VSULRUWRGRVLQJDQGWKURXJK(27RU(7XQOHVVDSSURYHGE\WKH
3,RUGHVLJQHHZLWKDJUHHPHQWIURPWKH&HOHULRQ0HGLFDO0RQLWRUDQGWKH6SRQVRU
 +LVWRU\RIFRQJHQLWDOQRQKHPRO\WLFK\SHUELOLUXELQHPLDHJ*LOEHUW¶VV\QGURPH
 3RVLWLYHFRWLQLQHWHVWDW6FUHHQLQJRU&KHFNLQ'D\
/2;25(7&$3URWRFRODQG3URWRFRO$PHQGPHQWV


&21),'(17,$/
&$/2;25(7)LQDO3URWRFRO$PHQGPHQW0D\

3DJH
 (DUO\7HUPLQDWLRQRI6XEMHFWVIURPWKH6WXG\
6XEMHFWVDUHIUHHWRZLWKGUDZIURPWKHVWXG\DWDQ\WLPHIRUDQ\UHDVRQ
,QDGGLWLRQVXEMHFWVPD\EHZLWKGUDZQIURPWKHVWXG\E\WKH3,RUGHVLJQHHIRUWKHIROORZLQJ
UHDVRQV
x $(V
x 'LIILFXOWLHVLQEORRGFROOHFWLRQ
x 3RVLWLYHSUHJQDQF\WHVW
x 3RVLWLYHXULQHRUVDOLYDGUXJDQGSRVLWLYHXULQHRUEUHDWKDOFRKROWHVWXQOHVVWKHSRVLWLYH
GUXJVFUHHQLVGXHWRSUHVFULSWLRQGUXJXVHWKDWLVDSSURYHGE\WKH3,RUGHVLJQHHWKH
&HOHULRQ0HGLFDO0RQLWRUDQGWKH6SRQVRU
$VXEMHFWPD\EHZLWKGUDZQE\WKH3,GHVLJQHHRUWKH6SRQVRULIHLWKHUFRQVLGHUVHQUROOPHQW
RIWKHVXEMHFWLQWRWKHVWXG\LVLQDSSURSULDWHWKHVWXG\SODQLVYLRODWHGRUIRUDGPLQLVWUDWLYH
DQGRURWKHUVDIHW\UHDVRQV3URPSWQRWLILFDWLRQWRWKH6SRQVRURIZLWKGUDZDORIDQ\VXEMHFW
VKRXOGEHSURYLGHG
6XEMHFWVZKRZLWKGUDZIURPWKHVWXG\ZLOOXQGHUJRHDUO\WHUPLQDWLRQIURPWKHVWXG\
SURFHGXUHVDVRXWOLQHGLQWKH6WXG\(YHQWV)ORZ&KDUW6HFWLRQ
 6WXG\5HVWULFWLRQV
 3URKLELWLRQVDQG&RQFRPLWDQW0HGLFDWLRQ
&RQVXPSWLRQRIIRRGVDQGEHYHUDJHVFRQWDLQLQJWKHIROORZLQJVXEVWDQFHVZLOOEHSURKLELWHGDV
LQGLFDWHG
x ;DQWKLQHV&DIIHLQHKRXUVSULRUWR&KHFNLQ'D\DQGWKURXJK(27RU(7
x $OFRKROKRXUVSULRUWR&KHFNLQDQGWKURXJK(27RU(7
x *UDSHIUXLW*UDSHIUXLW-XLFH6HYLOOHRUDQJHGD\VSULRUWR&KHFNLQ'D\DQG
WKURXJK(27RU(7
x 2WKHU)UXLW-XLFHKRXUVSULRUWRILUVWGRVLQJDQGWKURXJK(27RU(7
x &LWULFDFLGIRRGVRUEHYHUDJHVKRXUVSULRUWR&KHFNLQ'D\DQGWKURXJK(27RU
(7
3DUWLFLSDWLRQLQDQ\RWKHULQYHVWLJDWLRQDOVWXG\GUXJWULDOLQZKLFKUHFHLSWRIDQ\LQYHVWLJDWLRQDO
GUXJRFFXUVZLWKLQKDOIOLYHVLINQRZQRUGD\VZKLFKHYHULVORQJHUSULRUWR&KHFNLQ
'D\LVSURKLELWHG
8VHRIDQ\SUHVFULSWLRQRURYHUWKHFRXQWHUPHGLFDWLRQVLQFOXGLQJYLWDPLQVXSSOHPHQWV
QDWXUDORUKHUEDOVXSSOHPHQWVZLOOEHSURKLELWHGIRUDWOHDVWGD\VSULRUWRGRVLQJDQG
/2;25(7&$3URWRFRODQG3URWRFRO$PHQGPHQWV


&21),'(17,$/
&$/2;25(7)LQDO3URWRFRO$PHQGPHQW0D\

3DJH
WKURXJK(27RU(7XQOHVVDOORZHGE\WKH3,RUGHVLJQHHZLWKDJUHHPHQWIURPWKH&HOHULRQ
0HGLFDO0RQLWRUDQGWKH6SRQVRU
8VHRIDOOSUHVFULSWLRQRUQRQSUHVFULSWLRQPHGLFDWLRQVWKDWDUHPRGHUDWHRUVWURQJLQKLELWRUVRU
LQGXFHUVRI&<3$DQG&<3$VWURQJ3JSLQKLELWRUVSURWRQSXPSLQKLELWRUV33,V
+UHFHSWRUDQWDJRQLVWVRUDQWDFLGVZLOOEHSURKLELWHGIRUDWOHDVWGD\VSULRUWRGRVLQJ
WKURXJK(27RU(7:HDN&<3LQKLELWRUVRULQGXFHUVPD\EHGHHPHGDFFHSWDEOHIROORZLQJ
FRQVXOWDWLRQZLWKWKH6SRQVRU&HOHULRQ0HGLFDO0RQLWRUDQGWKH3,
$Q\GUXJWKDWSURORQJVWKH4747FLQWHUYDOZLOOEHSURKLELWHGIRUGD\VSULRUWRWKHGRVLQJ
DQGWKURXJK(27RU(7
8VHRIDQ\PHGLFDWLRQLQFOXGLQJRYHUWKHFRXQWHUWKDWZRXOGVLJQLILFDQWO\DOWHUH*)5ZKLFK
E\WKHGHWHUPLQDWLRQRIWKH3,RUGHVLJQHH&HOHULRQ0HGLFDO0RQLWRURU6SRQVRUPLJKW
LQWHUIHUHZLWKWKHVWXG\HJFLPHWLGLQHZLOOEHSURKLELWHGIRUDWOHDVWGD\VSULRUWRGRVLQJ
DQGWKURXJK(27RU(7
)RUUHQDOO\LPSDLUHGVXEMHFWVWKHXVHRISUHVFULSWLRQDQGQRQSUHVFULSWLRQPHGLFDWLRQVWKDWDUH
QHHGHGWRVWDELOL]HWKHVXEMHFW¶VXQGHUO\LQJPHGLFDOFRQGLWLRQRUFRQFXUUHQWEDVHOLQH
FRQGLWLRQVDQGGHHPHGDFFHSWDEOHE\WKH3,RUGHVLJQHH&HOHULRQ0HGLFDO0RQLWRUDQG
6SRQVRUDUHDOORZHGSURYLGHGWKDWWKHVXEMHFWKDVEHHQRQDVWDEOHGRVHIRUDPLQLPXPRI
GD\VSULRUWRVWXG\GUXJDGPLQLVWUDWLRQ5HQDOO\LPSDLUHGVXEMHFWVPXVWEHDEOHWRZLWKKROG
WKHXVHRIWKHVHPHGLFDWLRQVIRUKRXUVSUHGRVHDQGKRXUVSRVWGRVHRQWKHGD\RIVWXG\GUXJ
DGPLQLVWUDWLRQ'D\XQOHVVDSSURYHGE\WKH3,RUGHVLJQHH&HOHULRQ0HGLFDO0RQLWRU
DQG6SRQVRU6KRUWWHUPPHGLFDWLRQDGMXVWPHQWVPD\EHPDGHXSRQFRQVXOWDWLRQZLWKWKH3,
RUGHVLJQHH&HOHULRQ0HGLFDO0RQLWRUDQG6SRQVRU7KHXVHRIDGGLWLRQDOPHGLFDWLRQVLVWR
EHDYRLGHGIURPGD\VSULRUWRVWXG\GUXJDGPLQLVWUDWLRQXQWLO(27RU(7XQOHVVUHTXLUHGWR
WUHDWDQ$()URP&KHFNLQ'D\WKURXJK(27RU(7DQ\FRQFXUUHQWPHGLFDWLRQ
LQFOXGLQJERWKSUHVFULSWLRQDQGQRQSUHVFULSWLRQGUXJVPXVWEHGLVFXVVHGZLWKWKH3,RU
GHVLJQHH&HOHULRQ0HGLFDO0RQLWRUDQGRU6SRQVRUSULRUWRXVHXQOHVVDSSURSULDWHPHGLFDO
FDUHQHFHVVLWDWHVWKDWWKHUDS\VKRXOGEHJLQEHIRUHWKH3,RUGHVLJQHH&HOHULRQ0HGLFDO
0RQLWRUDQGRU6SRQVRUFDQEHFRQVXOWHG)ROORZLQJVWXG\GUXJDGPLQLVWUDWLRQRQ'D\
DFHWDPLQRSKHQXSWRJSHUKRXUVPD\EHDGPLQLVWHUHGDWWKHGLVFUHWLRQRIWKH3,RU
GHVLJQHH
$SSURSULDWHVRXUFHVZLOOEHFRQVXOWHGE\WKH3,RUGHVLJQHHWRFRQILUPODFNRI3.LQWHUDFWLRQ
ZLWKWKHVWXG\GUXJ
,IGHYLDWLRQVRFFXUWKH3,RUGHVLJQHHLQFRQVXOWDWLRQZLWKWKH&HOHULRQ0HGLFDO0RQLWRUDQG
WKH6SRQVRULIQHHGHGZLOOGHFLGHRQDFDVHE\FDVHEDVLVZKHWKHUWKHVXEMHFWPD\FRQWLQXH
SDUWLFLSDWLRQLQWKHVWXG\
$OOPHGLFDWLRQVLQFOXGLQJYLWDPLQVDQGKHUEDOVXSSOHPHQWVWDNHQE\VXEMHFWVGXULQJWKH
FRXUVHRIWKHVWXG\ZLOOEHUHFRUGHG
/2;25(7&$3URWRFRODQG3URWRFRO$PHQGPHQWV


&21),'(17,$/
&$/2;25(7)LQDO3URWRFRO$PHQGPHQW0D\

3DJH
 0HDOV
6XEMHFWVZLOOIDVWIURPIRRGQRWLQFOXGLQJZDWHUIRUDWOHDVWKRXUVSULRUWRVWXG\GUXJ
DGPLQLVWUDWLRQDQGZLOOFRQWLQXHWRIDVWIURPIRRGQRWLQFOXGLQJZDWHUIRUDWOHDVWKRXU
SRVWGRVH
:KHQFRQILQHGVWDQGDUGPHDOVDQGVQDFNVZLOOEHSURYLGHGDWDSSURSULDWHWLPHVH[FHSWZKHQ
WKH\DUHUHTXLUHGWRIDVW:KHQFRQILQHGLQWKH&58VXEMHFWVZLOOEHUHTXLUHGWRIDVWIURPDOO
IRRGDQGGULQNH[FHSWZDWHUEHWZHHQPHDOVDQGVQDFNV
 $FWLYLW\
6XEMHFWVZLOOUHPDLQDPEXODWRU\RUVHDWHGXSULJKWIRUWKHILUVWKRXUVSRVWGRVHH[FHSWZKHQ
WKH\DUHVXSLQHRUVHPLUHFOLQHGIRUVWXG\SURFHGXUHV
+RZHYHUVKRXOG$(VRFFXUDWDQ\WLPHGXULQJWKLVSHULRGVXEMHFWVPD\EHSODFHGLQDQ
DSSURSULDWHSRVLWLRQRUZLOOEHSHUPLWWHGWROLHGRZQRQWKHLUULJKWVLGH
6XEMHFWVZLOOEHLQVWUXFWHGWRUHIUDLQIURPVWUHQXRXVSK\VLFDODFWLYLW\ZKLFKFRXOGFDXVH
PXVFOHDFKHVRULQMXU\LQFOXGLQJFRQWDFWVSRUWVDWDQ\WLPHIURPGD\VSULRUWR&KHFNLQ
'D\XQWLO(27RU(7
6SHFLILFPHDVXUHVZLOOEHWDNHQWRSUHYHQWWKHVXEMHFWIURPPLVVLQJDXULQHFROOHFWLRQE\
VWULFWO\FRQWUROOLQJDQGSURYLGLQJDFFHVVWRGHVLJQDWHGUHVWURRPVRQO\6XEMHFWVZLOOEHDVNHG
WRYRLGSULRUWRHQWHULQJWKHVKRZHU
6XEMHFWVZLWK5,PXVWEHZLOOLQJWRFRQVXPHQRPRUHWKDQFLJDUHWWHVRUHTXLYDOHQWGD\IURP
&KHFNLQ'D\XQWLOWKH(27RU(7'HSHQGLQJRQWKH&58UXOHVDQGUHJXODWLRQVVXEMHFWV
PD\EHSURKLELWHGIURPVPRNLQJGXULQJWKHLUFRQILQHPHQWLQWKH&58RUGXULQJSRUWLRQVRI
WKHLUFRQILQHPHQWLQWKH&58+HDOWK\PDWFKHGFRQWUROVXEMHFWVZLOOQRWEHSHUPLWWHGWRVPRNH
RULQJHVWWREDFFRRUQLFRWLQHFRQWDLQLQJSURGXFWVIURPPRQWKVSULRUWR6FUHHQLQJWKURXJKWKH
(27RU(7



/2;25(7&$3URWRFRODQG3URWRFRO$PHQGPHQWV


&21),'(17,$/
&$/2;25(7)LQDO3URWRFRO$PHQGPHQW0D\

3DJH
 75($70(176
 7UHDWPHQWV$GPLQLVWHUHG
/2;2ZLOOEHVXSSOLHGDVPJFDSVXOHV
6XEMHFWVZLOOUHFHLYHDVLQJOHRUDOGRVHRIPJ/2;2[PJFDSVXOHVRQ'D\
IROORZLQJDIDVWIURPIRRGRIDWOHDVWKRXUVQRWLQFOXGLQJZDWHUZLWKDSSUR[LPDWHO\
P/RIZDWHUIROORZHGE\DIDVWIURPIRRGQRWLQFOXGLQJZDWHUIRUDWOHDVWKRXU
SRVWGRVH
6XEMHFWVZLOOEHLQVWUXFWHGQRWWRFUXVKVSOLWRUFKHZ/2;2
7KHSKDUPDF\DWWKH&58ZLOOSURYLGHHDFKGRVHLQLQGLYLGXDOXQLWGRVHFRQWDLQHUVIRUHDFK
VXEMHFW
7KHH[DFWFORFNWLPHRIGRVLQJZLOOEHUHFRUGHG
 'RVH0RGLILFDWLRQ
7KHGRVHDQGDGPLQLVWUDWLRQRIWKHVWXG\GUXJVWRDQ\VXEMHFWPD\QRWEHPRGLILHG,I
QHFHVVDU\DVXEMHFWPXVWEHGLVFRQWLQXHGIRUWKHUHDVRQVGHVFULEHGLQ6HFWLRQ
 0HWKRGRI7UHDWPHQW$VVLJQPHQW
(DFKVXEMHFWZLOOEHDVVLJQHGDXQLTXHLGHQWLILFDWLRQQXPEHUXSRQVFUHHQLQJ6XEMHFWVZKR
FRPSOHWHWKHVWXG\VFUHHQLQJDVVHVVPHQWVDQGPHHWDOOWKHHOLJLELOLW\FULWHULDZLOOEHDVVLJQHGD
XQLTXHLGHQWLILFDWLRQQXPEHUDWWKHWLPHRIWKHGRVLQJGLIIHUHQWIURPWKHVFUHHQLQJQXPEHU
DQGZLOOUHFHLYHWKHFRUUHVSRQGLQJSURGXFW
6XEMHFWVZLOOUHFHLYH/2;2RQRQHRFFDVLRQ
6XEMHFWVPD\EHUHSODFHGDWWKHGLVFUHWLRQRIWKH6SRQVRU
6XEMHFWQXPEHULQJZLOOFRQVLVWRIFKDUDFWHUVLH;;;;;;ZKHUHWKHILUVWGLJLWVDUHWKH
VLWHQXPEHUDQGWKHODVWGLJLWVDUHWKHVXEMHFWQXPEHU6XEMHFWQXPEHUVZLOOEHLGHQWLILHGE\
FRKRUWHJVXEMHFWQXPEHULQJZLOOEHDVIROORZVIRUVLWH
&RKRUW0DWFKHGFRQWUROKHDOWK\VXEMHFWV

&RKRUW6XEMHFWVZLWKPLOG5,

&RKRUW6XEMHFWVZLWKPRGHUDWH5,

&RKRUW6XEMHFWVZLWKVHYHUH5,

6XEMHFWVZKRDUHGHWHUPLQHGWREHVFUHHQIDLOXUHVDUHSHUPLWWHGWREHUHVFUHHQHGLIWKH3,RU
GHVLJQHHZLWKDJUHHPHQWIURPWKH&HOHULRQ0HGLFDO0RQLWRUDQGWKH6SRQVRUIHHOVWKDWWKH
VXEMHFWPD\PHHWHOLJLELOLW\FULWHULDXSRQUHVFUHHQLQJ5HVFUHHQHGVXEMHFWVZLOOEHSURYLGHG
ZLWKQHZVXEMHFWLGHQWLILFDWLRQ
/2;25(7&$3URWRFRODQG3URWRFRO$PHQGPHQWV

&&,
&&,
&&,
&&,

&21),'(17,$/
&$/2;25(7)LQDO3URWRFRO$PHQGPHQW0D\

3DJH
,IUHSODFHPHQWVXEMHFWVDUHXVHGWKHODVWWKUHHGLJLWVRIWKHUHSODFHPHQWVXEMHFWQXPEHUZLOOEH
PRUHWKDQWKHRULJLQDOHJLIDKHDOWK\VXEMHFWLVHQUROOHGLQ6LWHDQGLVUHSODFHGLQ
6LWHWKHQ6XEMHFW1R
ZLOOUHSODFH6XEMHFW1R
LIDVXEMHFWZLWKPLOG5,
LVHQUROOHGDW6LWHDQGUHSODFHGDW6LWHWKHQ6XEMHFW1R
ZLOOUHSODFH6XEMHFW
1R

 %OLQGLQJ
7KLVLVDQRSHQODEHOVWXG\
 7UHDWPHQW&RPSOLDQFH
$TXDOLILHGGHVLJQHHZLOOEHUHVSRQVLEOHIRUPRQLWRULQJWKHDGPLQLVWUDWLRQRIWKHWLPHGRUDO
GRVHVRI/2;2$PRXWKFKHFNZLOOEHSHUIRUPHGE\WKHTXDOLILHGGHVLJQHHWRHQVXUHWKDW
WKHVXEMHFWVKDYHVZDOORZHGWKHVWXG\GUXJ2QFHDVXEMHFWKDVILQLVKHGWKHGRVLQJZDWHUWKH
TXDOLILHGGHVLJQHHZLOOXVHDIODVKOLJKWDQGDWRQJXHGHSUHVVRUWRFKHFNWKHVXEMHFW¶VPRXWK
6XEMHFWV¶KDQGVZLOODOVREHYHULILHGWRHQVXUHWKDWWKHVWXG\GUXJZDVLQJHVWHG
/2;25(7&$3URWRFRODQG3URWRFRO$PHQGPHQWV

&&,
&&,
&&,
&&,

&21),'(17,$/
&$/2;25(7)LQDO3URWRFRO$PHQGPHQW0D\

3DJH
 678'<$66(660(176$1'352&('85(6
7KH6WXG\(YHQWV)ORZ&KDUW6HFWLRQVXPPDUL]HVWKHFOLQLFDOSURFHGXUHVWREHSHUIRUPHG
DWHDFKYLVLW,QGLYLGXDOFOLQLFDOSURFHGXUHVDUHGHVFULEHGLQGHWDLOEHORZ$GGLWLRQDO
HYDOXDWLRQVWHVWLQJPD\EHGHHPHGQHFHVVDU\E\WKH3,RUGHVLJQHHDQGRUWKH6SRQVRUIRU
UHDVRQVUHODWHGWRVXEMHFWVDIHW\
)RUWKLVVWXG\WKHEORRGFROOHFWLRQIRU/2;2LVWKHFULWLFDOSDUDPHWHUDQGQHHGVWREH
FROOHFWHGDVFORVHWRWKHH[DFWWLPHSRLQWDVSRVVLEOHDQGLQDFFRUGDQFHWRWKHWLPHZLQGRZV
SURYLGHGLQWKH6WXG\(YHQWV)ORZFKDUW6HFWLRQ$OORWKHUSURFHGXUHVVKRXOGEHFRPSOHWHG
DVFORVHWRWKHSUHVFULEHGVFKHGXOHGWLPHDVSRVVLEOHEXWFDQEHSHUIRUPHGSULRURUDIWHUWKH
SUHVFULEHGVFKHGXOHGWLPH
$Q\QRQVFKHGXOHGSURFHGXUHVUHTXLUHGIRUXUJHQWHYDOXDWLRQRIVDIHW\FRQFHUQVWDNH
SUHFHGHQFHRYHUDOOURXWLQHVFKHGXOHGSURFHGXUHV
 6FUHHQLQJ
:LWKLQGD\VSULRUWRWKHILUVWGRVLQJPHGLFDOKLVWRU\DQGGHPRJUDSKLFGDWDLQFOXGLQJ
QDPHVH[DJHUDFHHWKQLFLW\ERG\ZHLJKWNJKHLJKWFP%0,NJPDQGKLVWRU\RI
WREDFFRXVHZLOOEHUHSRUWHG(DFKVXEMHFWZLOOKDYHDSK\VLFDOH[DPLQDWLRQYLWDOVLJQ
PHDVXUHPHQWVKHDUWUDWHEORRGSUHVVXUHWHPSHUDWXUHDQGUHVSLUDWRU\UDWHOHDG(&*DQG
WKHODERUDWRU\WHVWVRIVHUXPFKHPLVWU\VHURORJ\WK\URLGVWLPXODWLQJKRUPRQHSUHJQDQF\
IHPDOHV)6+SRVWPHQRSDXVDOIHPDOHVKHPDWRORJ\FRDJXODWLRQDP\ODVHOLSDVHKHSDWLF
DQGUHQDOIXQFWLRQDQGDGGLWLRQDOWHVWVDVQRWHGLQ6HFWLRQ
 6DIHW\$VVHVVPHQWV
 3K\VLFDO([DPLQDWLRQ
)XOOSK\VLFDOH[DPLQDWLRQVDQGDEEUHYLDWHGSK\VLFDOH[DPLQDWLRQVZLOOEHSHUIRUPHGDV
RXWOLQHGLQWKH6WXG\(YHQWV)ORZ&KDUW6HFWLRQ$QDEEUHYLDWHGSK\VLFDOH[DPLQDWLRQ
LQFOXGHVDWWKHPLQLPXPH[DPLQDWLRQRIUHVSLUDWRU\FDUGLRYDVFXODUDQG*,V\VWHPVZLWKWKH
RSWLRQIRUIXUWKHUH[DPLQDWLRQRIDGGLWLRQDOV\VWHPVDVQHFHVVDU\EDVHGRQUHSRUWHG
V\PSWRPV$(V6\PSWRPGULYHQSK\VLFDOH[DPLQDWLRQVPD\EHSHUIRUPHGDWRWKHUWLPHVLI
GHHPHGQHFHVVDU\E\WKH3,RUGHVLJQHH
 9LWDO6LJQV
6LQJOHPHDVXUHPHQWVRIERG\WHPSHUDWXUHUHVSLUDWRU\UDWHEORRGSUHVVXUHDQGKHDUWUDWHZLOO
EHPHDVXUHGDVRXWOLQHGLQWKH6WXG\(YHQWV)ORZ&KDUW6HFWLRQ$GGLWLRQDOYLWDOVLJQVPD\
EHWDNHQDWDQ\RWKHUWLPHVLIGHHPHGQHFHVVDU\
9LWDOVLJQPHDVXUHPHQWVVKRXOGEHFDUULHGRXWSULRUWRDQGDVFORVHDVSRVVLEOHWRKDYLQJEORRG
GUDZQ%ORRGSUHVVXUHDQGKHDUWUDWHZLOOEHPHDVXUHGXVLQJWKHVDPHDUPIRUHDFKUHDGLQJ
%ORRGSUHVVXUHKHDUWUDWHDQGUHVSLUDWRU\UDWHPHDVXUHPHQWVZLOOEHSHUIRUPHGZLWKVXEMHFWV
LQDVXSLQHSRVLWLRQDWOHDVWPLQXWHVH[FHSWZKHQWKH\DUHVXSLQHRUVHPLUHFOLQHGEHFDXVH
/2;25(7&$3URWRFRODQG3URWRFRO$PHQGPHQWV


&21),'(17,$/
&$/2;25(7)LQDO3URWRFRO$PHQGPHQW0D\

3DJH
RIVWXG\SURFHGXUHVDQGRU$(VHJQDXVHDGL]]LQHVVRULIGHHPHGQHFHVVDU\E\WKH3,RU
GHVLJQHH
%ORRGSUHVVXUHKHDUWUDWHDQGUHVSLUDWRU\UDWHZLOOEHPHDVXUHGDW6FUHHQLQJDW&KHFNLQ
'D\DQGSUHGRVHKRXUVPLQXWHVDQGKRXUVPLQXWHVSRVWGRVHRQ'D\
DQGRQFHGDLO\RQHDFK6WXG\'D\WKURXJK(27RU(7&58GLVFKDUJH
 (&*0RQLWRULQJ
6LQJOHOHDG(&*VZLOOEHSHUIRUPHGDVRXWOLQHGLQWKH6WXG\(YHQWV)ORZ&KDUW6HFWLRQ
$GGLWLRQDO(&*VPD\EHWDNHQDWDQ\RWKHUWLPHVLIGHHPHGQHFHVVDU\E\WKH3,RUGHVLJQHH
(&*VZLOOEHSHUIRUPHGZLWKVXEMHFWVLQDVXSLQHSRVLWLRQDWOHDVWPLQXWHV$OO(&*
WUDFLQJVZLOOEHUHYLHZHGE\WKH3,RUGHVLJQHH
(&*VZLOOEHPHDVXUHGDW6FUHHQLQJDW&KHFNLQ'D\DQGDWWKH(27RU(7&58
GLVFKDUJH(&*VZLOOEHREWDLQHGSULRUWRDQGDVFORVHDVSRVVLEOHWRWKHVFKHGXOHGEORRG
GUDZVLIVFKHGXOHGDWWKHVDPHWLPH
 %RG\:HLJKW
%RG\ZHLJKWNJZLOOEHUHSRUWHGDVRXWOLQHGLQWKH6WXG\(YHQWV)ORZ&KDUW6HFWLRQ
 &OLQLFDO/DERUDWRU\7HVWV
$OOWHVWVOLVWHGEHORZZLOOEHSHUIRUPHGDVRXWOLQHGLQWKH6WXG\(YHQWV)ORZ&KDUW6HFWLRQ
,QDGGLWLRQODERUDWRU\VDIHW\WHVWVPD\EHSHUIRUPHGDWYDULRXVXQVFKHGXOHGWLPHSRLQWVLI
GHHPHGQHFHVVDU\E\WKH3,RUGHVLJQHH
+HPDWRORJ\

6HUXP&KHPLVWU\
x
+HPRJORELQ
x
+HPDWRFULW
x
5HGEORRGFHOO5%&FRXQW
x
3ODWHOHWFRXQW
x
5%&GLVWULEXWLRQZLGWK
x
0HDQFRUSXVFXODUKHPRJORELQ
FRQFHQWUDWLRQ
x
0HDQFRUSXVFXODUYROXPH
x
:KLWHEORRGFHOO:%&OHXNRF\WHFRXQW
x
:%&OHXNRF\WHGLIIHUHQWLDODEVROXWHDQG
SHUFHQW
¾
%DVRSKLOV
¾
(RVLQRSKLOV
¾
/\PSKRF\WHV
¾
0RQRF\WHV
¾
1HXWURSKLOV

&RDJXODWLRQ
x
3URWKURPELQ7LPH,QWHUQDWLRQDO
QRUPDOL]HGUDWLR
x
3DUWLDOWKURPERSODVWLQWLPH
x
$FWLYDWHGSDUWLDOWKURPERSODVWLQWLPH

x
%ORRG8UHD1LWURJHQ
x
%LOLUXELQWRWDODQGGLUHFW
x
$/3
x
$67
x
$/7
x
$OEXPLQ
x
&DOFLXP
x
,URQ
x
7RWDO3URWHLQ
x
8ULF$FLG
x
6RGLXP
x
3RWDVVLXP
x
0DJQHVLXP
x
&KORULGH
x
*OXFRVHIDVWLQJ
x
&UHDWLQHNLQDVH
x
&UHDWLQLQH
x
&KROHVWHURO
x
7ULJO\FHULGHV
x
3KRVSKRUXV
x
$P\ODVH
x
/LSDVH



/2;25(7&$3URWRFRODQG3URWRFRO$PHQGPHQWV


&21),'(17,$/
&$/2;25(7)LQDO3URWRFRO$PHQGPHQW0D\

3DJH
8ULQDO\VLV
$GGLWLRQDO7HVWV
x
S+
x
&RORUDQGDSSHDUDQFH
x
6SHFLILFJUDYLW\
x
3URWHLQ
x
*OXFRVH
x
.HWRQHV
x
%LOLUXELQ
x
%ORRG
x
1LWULWH
x
8URELOLQRJHQ
x
/HXNRF\WHHVWHUDVH

x
+,9WHVW
x
+%V$J
x
+&9
x
+E$F
x
8ULQHGUXJVFUHHQ
¾
2SLDWHV
¾
2SLRLGVPHWKDGRQHR[\FRGRQH
¾
$PSKHWDPLQHV
¾
%DUELWXUDWHV
¾
%HQ]RGLD]HSLQHV
¾
&RFDLQHPHWDEROLWH
¾
0HWKDGRQH
¾
&DQQDELQRLGV
¾
3KHQF\FOLGLQH
x
8ULQHFRWLQLQHKHDOWK\VXEMHFWVRQO\
x
8ULQHDOFRKROVFUHHQ
x
6HUXPSUHJQDQF\WHVW
IRUIHPDOHVRQO\
x
)6+IRUSRVWPHQRSDXVDOIHPDOHVRQO\
x
7K\URLGVWLPXODWLQJKRUPRQH


6DPSOHVIRUVHUXPFKHPLVWU\ZLOOEHREWDLQHGIROORZLQJDIDVWRIDWOHDVWKRXUVDW6FUHHQLQJDQGDW&KHFNLQ
'D\  DW RWKHU VFKHGXOHG WLPHV VHUXP FKHPLVWU\ WHVWV ZLOO EH SHUIRUPHG DIWHU DW OHDVW DQ  KRXU IDVW
+RZHYHULQFDVHRIGURSRXWVRUUHFKHFNVVXEMHFWVPD\QRWKDYHIDVWHGIRURUKRXUVSULRUWRWKHWLPHWKDW
WKHVHUXPFKHPLVWU\VDPSOHLVWDNHQ

%DVHOLQHH*)5ZLOOEHREWDLQHGE\WDNLQJWKHPHDQRIWKHH*)5REWDLQHGIURP6FUHHQLQJDQGIURPKLVWRULFDO
YDOXHVZLWKLQDPRQWKSHULRGIURP6FUHHQLQJ,IQRKLVWRULFDOPHDVXUHPHQWLVDYDLODEOHDVHFRQG6FUHHQLQJ
H*)5VDPSOHZLOOEHWDNHQGXULQJWKH6FUHHQLQJSHULRGGD\VDSDUWDQGWKHPHDQRIWKHWZRYDOXHVZLOO
EH XVHG DV WKH %DVHOLQH H*)5 IRU FRKRUW DVVLJQPHQW )RU KHDOWK\ VXEMHFWV D VLQJOH DVVHVVPHQW RI DFWXDO
FUHDWLQLQHFOHDUDQFHFRPSXWHGRYHUDKRXUXULQHFROOHFWLRQPD\EHXVHGLQSODFHRIWKHH*)5EDVHGRQWKH
0'5'HTXDWLRQDWWKH3,¶VGLVFUHWLRQ,QGLYLGXDOH*)5YDOXHVUHFRUGHGIRUHDFKPHDVXUHPHQWFRQWULEXWLQJ
WRWKHVXEMHFWPHDQEDVHOLQHYDOXHPXVWIDOOZLWKLQWKHVSHFLILHGH*)5UDQJHVIRUHDFKFRKRUWLHKHDOWK\
PLOGPRGHUDWHDQGVHYHUHWRFDWHJRUL]HVXEMHFWV¶UHQDOLPSDLUPHQWVWDWXV

)RUVXEMHFWVZKRDUHDQXULFXULQHVDPSOHVIRUXULQDO\VLVZLOOQRWEHFROOHFWHG

 ,IXULQDO\VLVLVSRVLWLYHIRUSURWHLQEORRGQLWULWHDQGRUOHXNRF\WHHVWHUDVHDPLFURVFRSLFH[DPLQDWLRQIRUUHG
EORRGFHOOVZKLWHEORRGFHOOVEDFWHULDFDVWVDQGHSLWKHOLDOFHOOVZLOOEHSHUIRUPHG
3HUIRUPHGDW6FUHHQLQJRQO\
 $GYHUVH(YHQWV

$GYHUVH(YHQW'HILQLWLRQ
$Q$(PHDQVDQ\XQWRZDUGPHGLFDORFFXUUHQFHDVVRFLDWHGZLWKWKHXVHRIDGUXJLQKXPDQV
ZKHWKHURUQRWFRQVLGHUHGGUXJUHODWHG
$VXVSHFWHGDGYHUVHUHDFWLRQPHDQVDQ\$(IRUZKLFKWKHUHLVDUHDVRQDEOHSRVVLELOLW\WKDWWKH
GUXJFDXVHGWKH$(5HDVRQDEOHSRVVLELOLW\PHDQVWKHUHLVHYLGHQFHWRVXJJHVWDFDXVDO
UHODWLRQVKLSEHWZHHQWKHGUXJDQGWKH$(
$Q$(FDQWKHUHIRUHEHDQ\XQIDYRUDEOHDQGXQLQWHQGHGVLJQLQFOXGLQJDQDEQRUPDO
ODERUDWRU\ILQGLQJV\PSWRPRUGLVHDVHWHPSRUDOO\DVVRFLDWHGZLWKWKHXVHRIDPHGLFLQDO
LQYHVWLJDWLRQDOSURGXFWZKHWKHURUQRWUHODWHGWRWKHPHGLFLQDOLQYHVWLJDWLRQDOSURGXFW
/2;25(7&$3URWRFRODQG3URWRFRO$PHQGPHQWV


&21),'(17,$/
&$/2;25(7)LQDO3URWRFRO$PHQGPHQW0D\

3DJH

0RQLWRULQJ
6XEMHFWVZLOOEHPRQLWRUHGIURP6FUHHQLQJVLJQLQJRILQIRUPHGFRQVHQWXQWLO(26RU(7LI
WKHVXEMHFWGLVFRQWLQXHVDQGGRHVQRWFRPSOHWHDIROORZXSFDOOIRUDGYHUVHUHDFWLRQVWRWKH
VWXG\GUXJVDQGRUVWXG\SURFHGXUHV$WWKH(27RU(7YLVLWVXEMHFWVZLOOEHDVNHGKRZWKH\
DUHIHHOLQJSULRUWRFKHFNRXWIURPWKH&58'XULQJWKH(26IROORZXSSKRQHFDOOVXEMHFWV
ZLOOEHTXHULHGZLWKDQRSHQHQGHGTXHVWLRQVXFKDVµ+RZKDYH\RXEHHQIHHOLQJVLQFH\RXU
ODVWYLVLW"¶
$(VZKHWKHUVHULRXVRUQRQVHULRXVLQFOXGLQJDEQRUPDOODERUDWRU\WHVWYDOXHVDEQRUPDO
YLWDOVLJQVDQG(&*DEQRUPDOLWLHVGHHPHGFOLQLFDOO\VLJQLILFDQWE\WKH3,RUGHVLJQHHZLOOEH
HYDOXDWHGE\WKH3,RUGHVLJQHHDQGWUHDWHGDQGRUIROORZHGWKURXJK(27RU(7$(VZKLFK
DUHRQJRLQJDWWKH(27RU(7ZKLFKDUHDVVHVVHGDVUHODWHGWRVWXG\GUXJE\WKH3,RU
GHVLJQHHZLOOEHIROORZHGWKURXJKWKH(26$(VZKLFKDUHRQJRLQJDWWKH(26ZKLFKDUH
DVVHVVHGDVUHODWHGWRVWXG\GUXJPD\EHFRQWLQXHGWREHIROORZHGXQWLOWKHV\PSWRPVRU
YDOXHVUHWXUQWRQRUPDORUDFFHSWDEOHOHYHOVDVMXGJHGE\WKH3,RUGHVLJQHHDQGFRQILUPHG
E\WKH6SRQVRU
7UHDWPHQWRIVHULRXVDGYHUVHHYHQWV6$(VZLOOEHSHUIRUPHGE\DSK\VLFLDQHLWKHUDWWKH
&58RUDWDQHDUE\KRVSLWDOHPHUJHQF\URRP:KHUHDSSURSULDWHPHGLFDOWHVWVDQGRU
H[DPLQDWLRQVZLOOEHSHUIRUPHGWRGRFXPHQWUHVROXWLRQRIHYHQWV2XWFRPHPD\EH
FODVVLILHGDVGHDWKUHODWHGWR$(QRWUHFRYHUHGRUQRWUHVROYHGUHFRYHUHGRUUHVROYHG
UHFRYHUHGRUUHVROYHGZLWKVHTXDODHUHFRYHULQJRUUHVROYLQJRUXQNQRZQ

5HSRUWLQJ
$(VDQG6$(VZLOOEHFROOHFWHGEHJLQQLQJDWLQIRUPHGFRQVHQW$(VZLOOEHUHFRUGHG
WKURXJKRXWWKHVWXG\LHIURPVLJQLQJRIWKH,&)XQWLO(26RU(7LIWKHVXEMHFWGLVFRQWLQXHV
DQGGRHVQRWFRPSOHWHDIROORZXSFDOOHLWKHUDVVXEMHFWPHGLFDOKLVWRU\LIWKHHYHQWLV
UHSRUWHGDVEHJLQQLQJSULRUWRVLJQLQJRIWKH,&)RULIWKHHYHQWRFFXUVSULRUWRVWXG\GUXJ
DGPLQLVWUDWLRQRQ'D\DQGLVDVVHVVHGDVQRWUHODWHGWRVWXG\SURFHGXUHVE\WKH3,>RU
GHVLJQHH@RUDV$(VLIWKHHYHQWRFFXUVDIWHUVLJQLQJRIWKH,&)EXWSULRUWRVWXG\GUXJ
DGPLQLVWUDWLRQRQ'D\DQGLVDVVHVVHGDVUHODWHGWRVWXG\SURFHGXUHVE\WKH3,>RUGHVLJQHH@
RULIWKHHYHQWRFFXUVDIWHUVWXG\GUXJDGPLQLVWUDWLRQRQ'D\WKURXJK(27RU(7UHJDUGOHVV
RIUHODWLRQVKLSWRVWXG\GUXJ)URP(27RU(7WKURXJK(26RQO\$(VDVVHVVHGDVUHODWHGWR
VWXG\GUXJE\WKH3,RUGHVLJQHHDUHWREHUHSRUWHG$OO6$(VWKDWGHYHORSIURPWKHWLPHRI
,&)VLJQLQJXQWLO(26RU(7LIVXEMHFWGLVFRQWLQXHVIURPWKHVWXG\DQGGRHVQRWFRPSOHWHWKH
IROORZXSFDOODUHWREHUHSRUWHG
8QOHVVDVXEMHFWZLWKGUDZVFRQVHQWRULVZLWKGUDZQIURPWKHVWXG\DQGGRHVQRWFRPSOHWHWKH
IROORZXSFDOODOOVXEMHFWVPXVWEHIROORZHGXQWLOWKH(26$(VZKLFKDUHRQJRLQJDWWKH(26
ZKLFKDUHDVVHVVHGDVUHODWHGWRVWXG\GUXJE\WKH3,RUGHVLJQHHPD\EHIROORZHGXQWLOWKH
V\PSWRPVRUYDOXHVUHWXUQWRQRUPDORUDFFHSWDEOHOHYHOVDVMXGJHGE\WKH3,RUGHVLJQHHDQG
FRQILUPHGE\WKH6SRQVRU7KH3,RUGHVLJQHHVKRXOGXVHDSSURSULDWHMXGJPHQWLQRUGHULQJ
DGGLWLRQDOWHVWVDVQHFHVVDU\WRPRQLWRUWKHUHVROXWLRQRIHYHQWV7KH6SRQVRUPD\UHTXHVWWKDW
DGGLWLRQDOVDIHW\WHVWVEHSHUIRUPHG
/2;25(7&$3URWRFRODQG3URWRFRO$PHQGPHQWV


&21),'(17,$/
&$/2;25(7)LQDO3URWRFRO$PHQGPHQW0D\

3DJH
7KH3,RUGHVLJQHHZLOOUHYLHZHDFK$(DQGDVVHVVLWVUHODWLRQVKLSWRGUXJWUHDWPHQW\HV
>UHODWHG@RUQR>XQUHODWHG@(DFKVLJQRUV\PSWRPUHSRUWHGZLOOEHJUDGHGRQWKH1DWLRQDO
&DQFHU,QVWLWXWH1&,&RPPRQ7HUPLQRORJ\&ULWHULDIRU$GYHUVH(YHQWV&7&$(YHUVLRQ
WR[LFLW\JUDGLQJVFDOH
*UDGHUHIHUVWRWKHVHYHULW\RIWKH$(7KH&7&$(GLVSOD\V*UDGHVWKURXJKZLWKXQLTXH
FOLQLFDOGHVFULSWLRQVRIVHYHULW\IRUHDFK$(EDVHGRQWKHIROORZLQJJHQHUDOJXLGHOLQH1&,
&7&$(1RY
*UDGH
0LOGDV\PSWRPDWLFRUPLOGV\PSWRPVFOLQLFDORUGLDJQRVWLFREVHUYDWLRQV
RQO\LQWHUYHQWLRQQRWLQGLFDWHG
*UDGH
0RGHUDWHPLQLPDOORFDORUQRQLQYDVLYHLQWHUYHQWLRQLQGLFDWHGOLPLWLQJ
DJHDSSURSULDWHLQVWUXPHQWDO$'/
*UDGH
6HYHUHRUPHGLFDOO\VLJQLILFDQWEXWQRWLPPHGLDWHO\OLIHWKUHDWHQLQJ
KRVSLWDOL]DWLRQRUSURORQJDWLRQRIKRVSLWDOL]DWLRQLQGLFDWHGGLVDEOLQJ
OLPLWLQJVHOIFDUH$'/
*UDGH
/LIHWKUHDWHQLQJFRQVHTXHQFHVXUJHQWLQWHUYHQWLRQLQGLFDWHG
*UDGH
'HDWKUHODWHGWR$(
$6HPLFRORQLQGLFDWHVµRU¶ZLWKLQWKHGHVFULSWLRQRIWKHJUDGH
1RWH1RWDOOJUDGHVDUHDSSURSULDWHIRUDOO$(V7KHUHIRUHVRPH$(VDUHOLVWHGZLWKLQWKH&7&$(ZLWKIHZHUWKDQRSWLRQV
IRUJUDGHVHOHFWLRQ*UDGHGHDWKLVQRWDSSURSULDWHIRUVRPH$(VDQGWKHUHIRUHLVQRWDQRSWLRQ
$'/ $FWLYLWLHVRI'DLO\/LYLQJ
,QVWUXPHQWDO$'/UHIHUWRSUHSDULQJPHDOVVKRSSLQJIRUJURFHULHVRUFORWKHVXVLQJWKHWHOHSKRQHPDQDJLQJPRQH\HWF
6HOIFDUH$'/UHIHUWREDWKLQJGUHVVLQJDQGXQGUHVVLQJIHHGLQJVHOIXVLQJWKHWRLOHWWDNLQJPHGLFDWLRQVDQGQRW
EHGULGGHQ

6HULRXV$GYHUVH(YHQW
,IDQ\$(VDUHVHULRXVDVGHILQHGE\WKH)'$&RGHRI)HGHUDO5HJXODWLRQV&)57LWOH
VSHFLDOSURFHGXUHVZLOOEHIROORZHG$OO6$(VZLOOEHUHSRUWHGWRWKH6SRQVRURUGHVLJQHHYLD
ID[RUHPDLOZLWKLQKRXUVRIILUVWDZDUHQHVVRIWKHHYHQWZKHWKHURUQRWWKHVHULRXV
HYHQWVDUHGHHPHGGUXJUHODWHG$OOVHULRXVHYHQWUHSRUWLQJZLOODGKHUHWR&)5IRU
,QYHVWLJDWLRQDO1HZ'UXJV,1'DQGWRWKH*XLGDQFHIRU,QGXVWU\DQG,QYHVWLJDWRUV6DIHW\
5HSRUWLQJ5HTXLUHPHQWVIRU,1'VDQG%$%(GDWHG'HFHPEHU$Q\HYHQWWKDWPHHWVWKH
FULWHULDRIDVXVSHFWHGXQH[SHFWHGVHULRXVDGYHUVHUHDFWLRQ686$5ZLOOEHUHSRUWHGWRWKH
,5%,(&DFFRUGLQJWRVLWH&58SROLF\E\WKH,QYHVWLJDWRURUGHVLJQHHDQGWRUHJXODWRU\
DXWKRULWLHVE\WKH6SRQVRURU6SRQVRUGHVLJQHHDFFRUGLQJWRUHJXODWRU\DXWKRULW\
UHTXLUHPHQWV5HIHUWR5HIHUHQFH6DIHW\,QIRUPDWLRQ56,LQWKHFXUUHQW,%IRUH[SHFWHG
DGYHUVHUHDFWLRQV

$6$(LVDQ\$(RUVXVSHFWHGDGYHUVHUHDFWLRQWKDWLQWKHYLHZRIHLWKHUWKH3,RUGHVLJQHH
RU6SRQVRUUHVXOWVLQDQ\RIWKHIROORZLQJRXWFRPHV'HDWKDOLIHWKUHDWHQLQJ$(LQSDWLHQW
KRVSLWDOL]DWLRQRUSURORQJDWLRQRIH[LVWLQJKRVSLWDOL]DWLRQDSHUVLVWHQWRUVLJQLILFDQWLQFDSDFLW\
/2;25(7&$3URWRFRODQG3URWRFRO$PHQGPHQWV


&21),'(17,$/
&$/2;25(7)LQDO3URWRFRO$PHQGPHQW0D\

3DJH
RUGLVDELOLW\RUDFRQJHQLWDODQRPDO\ELUWKGHIHFW,PSRUWDQWPHGLFDOHYHQWVWKDWPD\QRWUHVXOW
LQGHDWKEHOLIHWKUHDWHQLQJRUUHTXLUHKRVSLWDOL]DWLRQPD\EHFRQVLGHUHGVHULRXVZKHQEDVHG
XSRQDSSURSULDWHPHGLFDOMXGJPHQWWKH\PD\MHRSDUGL]HWKHSDWLHQWRUVXEMHFWDQGPD\UHTXLUH
PHGLFDORUVXUJLFDOLQWHUYHQWLRQWRSUHYHQWRQHRIWKHRXWFRPHVOLVWHGLQWKHDERYHGHILQLWLRQ
([DPSOHVRIVXFKPHGLFDOHYHQWVLQFOXGHDOOHUJLFEURQFKRVSDVPUHTXLULQJLQWHQVLYHWUHDWPHQW
LQDQHPHUJHQF\URRPRUDWKRPHEORRGG\VFUDVLDVRUFRQYXOVLRQVWKDWGRQRWUHVXOWLQ
LQSDWLHQWKRVSLWDOL]DWLRQRUWKHGHYHORSPHQWRIGUXJGHSHQGHQF\RUGUXJDEXVH
/LIHWKUHDWHQLQJLVGHILQHGDVDQ$(RUVXVSHFWHGDGYHUVHUHDFWLRQWKDWLQWKHYLHZRIWKH3,RU
GHVLJQHHRU6SRQVRUSODFHVWKHSDWLHQWRUVXEMHFWDWLPPHGLDWHULVNRIGHDWK,WGRHVQRW
LQFOXGHDQ$(RUVXVSHFWHGDGYHUVHUHDFWLRQWKDWKDGLWRFFXUUHGLQDPRUHVHYHUHIRUPPLJKW
KDYHFDXVHGGHDWK
$OO6$(VPXVWEHUHSRUWHGRQD6$(5HSRUW)RUPSURYLGHGE\/R[R2QFRORJ\DQGVHQWE\ID[
RUHPDLOWRWKH6SRQVRUOLVWHGLQ6HFWLRQZLWKLQKRXUVRIILUVWDZDUHQHVVRIWKHHYHQW
:KHQXVLQJWKH6$(HID[DFRYHUSDJHLQFOXGLQJVWXG\LGHQWLILFDWLRQ
QXPEHUDQGVWXG\GUXJSURGXFWLH/2;2LVUHTXLUHG$OWHUQDWLYHO\DQHPDLOFDQEH
VHQWWRVDIHW\#OR[RRQFRORJ\FRP
7KH3,LVQRWREOLJDWHGWRDFWLYHO\VHHNLQIRUPDWLRQUHJDUGLQJWKHRFFXUUHQFHRIQHZ6$(V
EHJLQQLQJDIWHU(26+RZHYHULIWKH3,OHDUQVRIVXFKDQ6$(DQGWKDWHYHQWLVGHHPHG
DVVRFLDWHGZLWKWKHXVHRIVWXG\GUXJKHVKHVKRXOGSURPSWO\GRFXPHQWDQGUHSRUWWKHHYHQW
7KH3,ZLOOEHUHTXHVWHGWRVXSSO\GHWDLOHGLQIRUPDWLRQDVZHOODVIROORZXSUHJDUGLQJWKH
6$($OWKRXJKQRWFRQVLGHUHGDQ$(SHUVHWKH6SRQVRUPXVWEHQRWLILHGRIDQ\VXEMHFWRU
VXEMHFW¶VSDUWQHUZKREHFRPHVSUHJQDQWGXULQJWKHVWXG\DWDQ\WLPHEHWZHHQ6FUHHQLQJXQWLO
GD\VDIWHUVWXG\GUXJDGPLQLVWUDWLRQRQ'D\
 3KDUPDFRNLQHWLF$VVHVVPHQWV
 %ORRG6DPSOLQJDQG3URFHVVLQJ
)RUDOOVXEMHFWVEORRGVDPSOHVIRUWKHGHWHUPLQDWLRQRI/2;2ZLOOEHFROOHFWHGDW
VFKHGXOHGWLPHSRLQWVDVGHOLQHDWHGLQWKH6WXG\(YHQWV)ORZ&KDUW6HFWLRQ
,QVWUXFWLRQIRUEORRGVDPSOLQJFROOHFWLRQSURFHVVLQJDQGVDPSOHVKLSPHQWZLOOEHSURYLGHG
VHSDUDWHO\
%ORRGFROOHFWLRQVSHUIRUPHGRXWVLGHRIWKHVDPSOHFROOHFWLRQZLQGRZVDVGHILQHGLQWKH6WXG\
(YHQWV)ORZ&KDUW6HFWLRQZLOOEHFRQVLGHUHGGHYLDWLRQV

/2;25(7&$3URWRFRODQG3URWRFRO$PHQGPHQWV


&21),'(17,$/
&$/2;25(7)LQDO3URWRFRO$PHQGPHQW0D\

3DJH
 3KDUPDFRNLQHWLF3DUDPHWHUV
3.SDUDPHWHUVIRUSODVPD/2;2ZLOOEHFDOFXODWHGDVIROORZVDVDSSURSULDWH

$8&W

7KHDUHDXQGHUWKHFRQFHQWUDWLRQWLPHFXUYHIURPWLPHWRWKHODVW
REVHUYHGQRQ]HURFRQFHQWUDWLRQDVFDOFXODWHGE\WKHOLQHDUWUDSH]RLGDO
PHWKRG
$8&

7KHDUHDXQGHUWKHFRQFHQWUDWLRQWLPHFXUYHIURPWLPHWR+RXUDV
FDOFXODWHGE\WKHOLQHDUWUDSH]RLGDOPHWKRG,IWKHKRXUSODVPD
FRQFHQWUDWLRQLVPLVVLQJ%/4RUQRWUHSRUWDEOHWKHQWKLVSDUDPHWHU
FDQQRWEHFDOFXODWHG
$8&LQI
7KHDUHDXQGHUWKHFRQFHQWUDWLRQWLPHFXUYHIURPWLPHH[WUDSRODWHGWR
LQILQLW\$8&LQILVFDOFXODWHGDVWKHVXPRI$8&WSOXVWKHUDWLRRI
WKHODVWPHDVXUDEOHSODVPDFRQFHQWUDWLRQWRWKHHOLPLQDWLRQUDWH
FRQVWDQW
$8&H[WUDS
3HUFHQWRI$8&LQIH[WUDSRODWHGUHSUHVHQWHGDV
$8&W$8&LQI
&/)
$SSDUHQWWRWDOSODVPDFOHDUDQFHDIWHURUDOH[WUDYDVFXODU
DGPLQLVWUDWLRQFDOFXODWHGDV'RVH$8&LQI
&PD[
0D[LPXPREVHUYHGFRQFHQWUDWLRQ
7PD[
7LPHWRUHDFK&PD[,IWKHPD[LPXPYDOXHRFFXUVDWPRUHWKDQRQH
WLPHSRLQW7PD[LVGHILQHGDVWKHILUVWWLPHSRLQWZLWKWKLVYDOXH
.HO
$SSDUHQWILUVWRUGHUWHUPLQDOHOLPLQDWLRQUDWHFRQVWDQWFDOFXODWHGIURPD
VHPLORJSORWRIWKHSODVPDFRQFHQWUDWLRQYHUVXVWLPHFXUYH7KH
SDUDPHWHUZLOOEHFDOFXODWHGE\OLQHDUOHDVWVTXDUHVUHJUHVVLRQDQDO\VLV
XVLQJWKHPD[LPXPQXPEHURISRLQWVLQWKHWHUPLQDOORJOLQHDUSKDVH
HJWKUHHRUPRUHQRQ]HURSODVPDFRQFHQWUDWLRQV
Wò
$SSDUHQWILUVWRUGHUWHUPLQDOHOLPLQDWLRQKDOIOLIHZLOOEHFDOFXODWHGDV
.HO
9])
$SSDUHQWYROXPHRIGLVWULEXWLRQGXULQJWKHWHUPLQDOHOLPLQDWLRQSKDVH
DIWHURUDOH[WUDYDVFXODUDGPLQLVWUDWLRQFDOFXODWHGDV
'RVH$8&LQI[.HO
1RYDOXHIRU.HO$8&H[WUDS$8&LQI&/)9])RUWòZLOOEHUHSRUWHGIRUFDVHVWKDW
GRQRWH[KLELWDWHUPLQDOORJOLQHDUSKDVHLQWKHFRQFHQWUDWLRQWLPHSURILOH
1R3.SDUDPHWHUVZLOOEHFDOFXODWHGIRUVXEMHFWVZLWKRUIHZHUFRQVHFXWLYHWLPHSRLQWVZLWK
GHWHFWDEOHFRQFHQWUDWLRQV
,QGLYLGXDODQGPHDQSODVPDFRQFHQWUDWLRQWLPHFXUYHVERWKOLQHDUDQGORJOLQHDUZLOOEH
LQFOXGHGLQWKHILQDO&OLQLFDO6WXG\5HSRUW
/2;25(7&$3URWRFRODQG3URWRFRO$PHQGPHQWV


&21),'(17,$/
&$/2;25(7)LQDO3URWRFRO$PHQGPHQW0D\

3DJH
 8ULQH&ROOHFWLRQ
8ULQHVDPSOHVIRUGHWHUPLQDWLRQRI/2;2FRQFHQWUDWLRQVZLOOEHFROOHFWHGDWVHOHFWHG
LQWHUYDOVDVGHOLQHDWHGLQWKH6WXG\(YHQWV)ORZ&KDUW6HFWLRQ)RUUHQDOO\LPSDLUHG
VXEMHFWVXULQHVDPSOHVZLOOEHFROOHFWHGZKHQHYHUSRVVLEOHDVWKH\PD\QRWEHDEOHWRSURGXFH
XULQHDWHDFKLQWHUYDO
3ULRUWRWKHSUHGRVHVDPSOHLQVWUXFWLRQVIRUWKHXULQHFROOHFWLRQPHWKRGVGHVFULEHGEHORZZLOO
EHSURYLGHGWRHDFKVXEMHFW
2Q'D\DVSRWFROOHFWLRQZLOOEHREWDLQHG
6XEMHFWV
ZLOOEHDVNHGDJDLQWRHPSW\WKHLUEODGGHU

DQGQRXULQHZLOOEHFROOHFWHGDWWKLVWLPHXQOHVVLWLV
2QO\RQH


8ULQHSRUWLRQVZLOOEHSRROHGSHUVXEMHFWZLWKLQDQ\SODQQHGFROOHFWLRQLQWHUYDO
-XVWSULRUWRWKHHQGRIHDFKVDPSOLQJLQWHUYDOGHVFULEHGLQWKH6WXG\(YHQWV)ORZ&KDUW
6HFWLRQVXEMHFWVZLOOEHHQFRXUDJHGWRYRLGWKHLUEODGGHUDJDLQWRFRPSOHWHWKHFROOHFWLRQ
7KHWLPHRIYRLGVRFFXUULQJDWDQ\WLPHGXULQJWKHFROOHFWLRQLQWHUYDOVKRXOGEHGRFXPHQWHG
6KRXOGVXEMHFWVEHXQDEOHWRYRLGWKLVZLOOEHGRFXPHQWHGDVZHOO
8ULQHZLOOEHUHIULJHUDWHGGXULQJWKHFROOHFWLRQLQWHUYDOV7KHZHLJKWRIDQHPSW\XULQH
FROOHFWLRQFRQWDLQHUDQGWRWDOZHLJKWRIXULQHFROOHFWHGGXULQJHDFKWLPHGLQWHUYDOZLOOEH
UHFRUGHG
,QVWUXFWLRQVIRUXULQHFROOHFWLRQSURFHVVLQJDQGVDPSOHVKLSPHQWZLOOEHSURYLGHGVHSDUDWHO\
 8ULQH3KDUPDFRNLQHWLF3DUDPHWHUV
3.SDUDPHWHUVIRUXULQH/2;2ZLOOEHFDOFXODWHGDVIROORZVDVDSSURSULDWH
$H
7RWDODPRXQWRIGUXJH[FUHWHGLQWKHXULQHRYHUWKHHQWLUHSHULRGRIVDPSOH
FROOHFWLRQKRXUVREWDLQHGE\DGGLQJWKHDPRXQWVH[FUHWHGRYHUHDFK
FROOHFWLRQLQWHUYDO
)H
)UDFWLRQRIGUXJH[FUHWLRQGXULQJHDFKFROOHFWLRQLQWHUYDO2EWDLQHGE\GLYLGLQJ
WKHDPRXQWRIGUXJH[FUHWHGLQHDFKFROOHFWLRQLQWHUYDOE\WKHGRVH
&/U
5HQDOFOHDUDQFHFDOFXODWHGDV$HW¶W´$8&W¶W´ZKHUHW¶W´LVWKHORQJHVW
LQWHUYDORIWLPHGXULQJZKLFK$HDQG$8&DUHERWKREWDLQHG
 $QDO\WLFDO0HWKRG
6DPSOHVZLOOEHDQDO\]HGIRUSODVPDDQGXULQH/2;2XVLQJYDOLGDWHGELRDQDO\WLFDO
PHWKRGV6DPSOHVIURPVXEMHFWVWREHDVVD\HGDUHVSHFLILHGLQ6HFWLRQ
/2;25(7&$3URWRFRODQG3URWRFRO$PHQGPHQWV

&&,
&&,
&&,
&&,
&&,

&21),'(17,$/
&$/2;25(7)LQDO3URWRFRO$PHQGPHQW0D\

3DJH
 %ORRG9ROXPH'UDZQIRU6WXG\$VVHVVPHQWV
7DEOH %ORRG9ROXPHGXULQJWKH6WXG\
6DPSOH7\SH
1XPEHURI
7LPH3RLQWV
$SSUR[LPDWH
9ROXPHSHU7LPH
3RLQWP/
$SSUR[LPDWH
6DPSOH9ROXPH
2YHU&RXUVHRI
6WXG\P/
6FUHHQLQJODERUDWRU\VDIHW\WHVWVLQFOXGLQJ
KHPDWRORJ\VHUXPFKHPLVWU\FRDJXODWLRQ
VHURORJ\WK\URLGVWLPXODWLQJKRUPRQH)6+
IRUSRVWPHQRSDXVDOIHPDOHVXEMHFWVRQO\DQG
VHUXPSUHJQDQF\IRUIHPDOHVXEMHFWVRQO\
2QVWXG\KHPDWRORJ\VHUXPFKHPLVWU\DQG
FRDJXODWLRQ
%ORRGIRU/2;23.
%ORRGIRU/2;23URWHLQ%LQGLQJ
7RWDO%ORRG9ROXPHP/


5HSUHVHQWVWKHODUJHVWFROOHFWLRQWXEHWKDWPD\EHXVHGIRUWKLVDVPDOOHUWXEHPD\EHXVHG

,IDGGLWLRQDOVDIHW\RU3.DQDO\VLVLVQHFHVVDU\RULIODUJHUFROOHFWLRQWXEHVDUHUHTXLUHGWRREWDLQVXIILFLHQW
SODVPDVHUXPIRUDQDO\VLVDGGLWLRQDOEORRGPD\EHREWDLQHG

/2;25(7&$3URWRFRODQG3URWRFRO$PHQGPHQWV

&&,
&&,
&&,

&21),'(17,$/
&$/2;25(7)LQDO3URWRFRO$PHQGPHQW0D\

3DJH
 67$7,67,&$/&216,'(5$7,216
'DWDZLOOEHKDQGOHGDQGSURFHVVHGDFFRUGLQJWR&HOHULRQ6WDQGDUG2SHUDWLQJ3URFHGXUHV
ZKLFKDUHZULWWHQEDVHGRQWKHSULQFLSOHVRI*&3
 6DPSOH6L]H'HWHUPLQDWLRQ
7KHVDPSOHVL]HLVFRQVLGHUHGVXIILFLHQWWRSURYLGHFOLQLFDOO\PHDQLQJIXOGHVFULSWLYHUHVXOWV
LQFOXGLQJFRQILGHQFHLQWHUYDOVDERXWHVWLPDWHVRIJHRPHWULFPHDQUDWLRVRIWKH$8&DQG
&PD[ZLWK/2;2IRUVXEMHFWVZLWKYDU\LQJGHJUHHVRI5,LHPLOGPRGHUDWHDQG
VHYHUHFRPSDUHGWRKHDOWK\PDWFKHGFRQWUROVXEMHFWV
 3RSXODWLRQIRU$QDO\VHV
3.3RSXODWLRQ3ODVPDVDPSOHVIURPDOOVXEMHFWVZLOOEHDVVD\HGHYHQLIWKHVXEMHFWVGRQRW
FRPSOHWHWKHVWXG\3.SRSXODWLRQZLOOFRPSULVHDOOVXEMHFWVZKRFRPSO\VXIILFLHQWO\ZLWKWKH
SURWRFRODQGGLVSOD\DQHYDOXDEOH3.SURILOHHJH[SRVXUHWRWUHDWPHQWDYDLODELOLW\RI
PHDVXUHPHQWVDQGDEVHQFHRIPDMRUSURWRFROYLRODWLRQV
6DIHW\3RSXODWLRQ$OOVXEMHFWVZKRUHFHLYHGDWOHDVWRQHGRVHRIWKHVWXG\GUXJZLOOEH
LQFOXGHGLQWKHVDIHW\HYDOXDWLRQV
 6WDWLVWLFDO$QDO\VHV
'HWDLOHGPHWKRGRORJ\IRUVXPPDU\DQGVWDWLVWLFDODQDO\VHVRIWKHGDWDFROOHFWHGLQWKLVVWXG\
ZLOOEHGRFXPHQWHGLQD6WDWLVWLFDO$QDO\VLV3ODQ6$37KH6$3ZLOOEHSUHSDUHGE\&HOHULRQ
DQGDJUHHGXSRQZLWKWKH6SRQVRU7KLVGRFXPHQWPD\PRGLI\WKHSODQVRXWOLQHGLQWKH
SURWRFROKRZHYHUDQ\PDMRUPRGLILFDWLRQVRIWKHSULPDU\HQGSRLQWVGHILQLWLRQDQGRULWV
DQDO\VLVZLOODOVREHUHIOHFWHGLQDSURWRFRODPHQGPHQW$GGLWLRQDOVWDWLVWLFDODQDO\VHVRWKHU
WKDQWKRVHGHVFULEHGLQWKLVVHFWLRQPD\EHSHUIRUPHGLIGHHPHGDSSURSULDWH
 3KDUPDFRNLQHWLF$QDO\VHV

'HVFULSWLYH6WDWLVWLFV
9DOXHVZLOOEHFDOFXODWHGIRUWKHSODVPDFRQFHQWUDWLRQVDQGWKH3.SDUDPHWHUVOLVWHGLQ
6HFWLRQIRU/2;2XVLQJDSSURSULDWHVXPPDU\VWDWLVWLFVWREHIXOO\RXWOLQHGLQWKH
6$3
$QDO\VLVRI&RYDULDQFH
$QDQDO\VLVRIFRYDULDQFH$1&29$ZLOOEHSHUIRUPHGRQWKHOQWUDQVIRUPHG$8&W
$8&LQIDQG&PD[7KH$1&29$PRGHOZLOOFRQWDLQDFDWHJRULFDOIDFWRURISRSXODWLRQIRU
VXEMHFWVZLWKYDULRXVGHJUHHVRI5,PLOGPRGHUDWHDQGVHYHUHDQGKHDOWK\PDWFKHGFRQWURO
VXEMHFWVDFDWHJRULFDOFRYDULDWHVH[DQGFRQWLQXRXVFRYDULDWHVDJHDQG%0,
7KHWRPDWFKLQJFRPSDULVRQVRILQWHUHVWVDUH
x 6XEMHFWVZLWKVHYHUH5,YHUVXVKHDOWK\PDWFKHGFRQWUROVXEMHFWV
/2;25(7&$3URWRFRODQG3URWRFRO$PHQGPHQWV


&21),'(17,$/
&$/2;25(7)LQDO3URWRFRO$PHQGPHQW0D\

3DJH
x 6XEMHFWVZLWKPRGHUDWH5,YHUVXVKHDOWK\PDWFKHGFRQWUROVXEMHFWV
x 6XEMHFWVZLWKPLOG5,YHUVXVKHDOWK\PDWFKHGFRQWUROVXEMHFWV

5DWLRVDQG&RQILGHQFH,QWHUYDOV
5DWLRVRIOHDVWVTXDUHVPHDQV/60ZLOOEHFDOFXODWHGXVLQJWKHH[SRQHQWLDWLRQRIWKH
GLIIHUHQFHEHWZHHQUHQDOIXQFWLRQFRKRUW/60IURPWKH$1&29$DQDO\VHVRQWKH
OQWUDQVIRUPHG$8&W$8&LQIDQG&PD[7KHVHUDWLRVZLOOEHH[SUHVVHGDVDSHUFHQWDJH
UHODWLYHWRWKHKHDOWK\PDWFKHGFRQWUROFRKRUW
1LQHW\SHUFHQWFRQILGHQFHLQWHUYDOV&,VIRUWKHUDWLRVZLOOEHGHULYHGE\
H[SRQHQWLDWLRQRIWKH&,VREWDLQHGIRUWKHGLIIHUHQFHEHWZHHQUHQDOIXQFWLRQFRKRUW/60
UHVXOWLQJIURPWKH$1&29$DQDO\VHVRQWKHOQWUDQVIRUPHG$8&W$8&LQIDQG&PD[
7KH&,VZLOOEHH[SUHVVHGDVDSHUFHQWDJHUHODWLYHWRWKHKHDOWK\PDWFKHGFRQWUROFRKRUW

$GGLWLRQDO$QDO\VLV
7KHUHODWLRQVKLSEHWZHHQ/2;23.SDUDPHWHUVLH&PD[DQG$8&DQGPHDVXUHVRI
UHQDOIXQFWLRQVXFKDVH*)5DQG&/FUPD\EHH[SORUHGXVLQJDOLQHDUUHJUHVVLRQDSSURDFKRU
RWKHUPHWKRGVDVLQGLFDWHGLQWKH6$3
7KHHIIHFWRIFRYDULDWHVVXFKDVDJH%0,DQGJHQGHUPD\EHLQYHVWLJDWHG

3URWHLQ%LQGLQJ
)UDFWLRQRIXQERXQG/2;2LQSODVPD)XZLOOEHFRPSXWHGDQG3.SDUDPHWHUVPD\DOVR
EHH[SUHVVHGLQWHUPVRIXQERXQGFRQFHQWUDWLRQVHJ&PD[X$8&XDQG&/X)LI
DSSOLFDEOH
 6DIHW\$QDO\VHV
$OOVDIHW\GDWDZLOOEHSRSXODWHGLQWKHLQGLYLGXDO&5)V$OOVDIHW\GDWDZLOOEHOLVWHGE\
VXEMHFWV
'RVLQJGDWHVDQGWLPHVZLOOEHOLVWHGE\VXEMHFW
$(VZLOOEHFRGHGXVLQJWKH0HGLFDO'LFWLRQDU\IRU5HJXODWRU\$FWLYLWLHV0HG'5$DQG
VXPPDUL]HGE\WUHDWPHQWIRUWKHQXPEHURIVXEMHFWVUHSRUWLQJWKH7($($E\VXEMHFW$(GDWD
OLVWLQJLQFOXGLQJYHUEDWLPWHUPFRGHGWHUPWUHDWPHQWVHYHULW\DQGUHODWLRQVKLSWRWUHDWPHQW
ZLOOEHSURYLGHG
6DIHW\GDWDLQFOXGLQJ(&*VSK\VLFDOH[DPLQDWLRQVYLWDOVLJQVDVVHVVPHQWVFOLQLFDOODERUDWRU\
UHVXOWVZLOOEHVXPPDUL]HGE\WUHDWPHQWDQGSRLQWRIWLPHRIFROOHFWLRQ
'HVFULSWLYHVWDWLVWLFVXVLQJDSSURSULDWHVXPPDU\VWDWLVWLFVZLOOEHFDOFXODWHGIRUTXDQWLWDWLYH
VDIHW\GDWDDVZHOODVIRUWKHGLIIHUHQFHWREDVHOLQHZKHQDSSURSULDWH
&RQFRPLWDQWPHGLFDWLRQVZLOOEHOLVWHGE\VXEMHFWDQGFRGHGXVLQJWKH:RUOG+HDOWK
2UJDQL]DWLRQGUXJGLFWLRQDU\0HGLFDOKLVWRU\ZLOOEHOLVWHGE\VXEMHFW
/2;25(7&$3URWRFRODQG3URWRFRO$PHQGPHQWV


&21),'(17,$/
&$/2;25(7)LQDO3URWRFRO$PHQGPHQW0D\

3DJH
 678'<$'0,1,675$7,21
 (WKLFV
 ,QVWLWXWLRQDO5HYLHZ%RDUG
7KLVSURWRFROZLOOEHUHYLHZHGE\DQ,5%DQGWKHVWXG\ZLOOQRWVWDUWXQWLOWKH,5%KDV
DSSURYHGWKHSURWRFRORUDPRGLILFDWLRQWKHUHRI7KH,5%ZLOOEHFRQVWLWXWHGDQGRSHUDWHLQ
DFFRUGDQFHZLWKWKHSULQFLSOHVDQGUHTXLUHPHQWVGHVFULEHGLQWKH86&RGHRI)HGHUDO
5HJXODWLRQV&)53DUWDQGZLOOEHFRPSOLDQWWR7KH,QWHUQDWLRQDO&RXQFLORQ
+DUPRQLVDWLRQ,&+JXLGHOLQHV
 (WKLFDO&RQGXFWRIWKH6WXG\
7KLVUHVHDUFKZLOOEHFDUULHGRXWLQDFFRUGDQFHZLWKWKHSURWRFRO86&RGHRI)HGHUDO
5HJXODWLRQV&)53DUWVDQGWKHHWKLFDOSULQFLSOHVVHWIRUWKLQWKH'HFODUDWLRQRI
+HOVLQNL*&3DQGWKH,&+KDUPRQL]HGWULSDUWLWHJXLGHOLQHUHJDUGLQJ*&3(>5@*RRG
&OLQLFDO3UDFWLFH,QWHJUDWHG$GGHQGXPWR(>5@0DUFKVW
 6XEMHFW,QIRUPDWLRQDQG&RQVHQW
7KHSXUSRVHRIWKHVWXG\WKHSURFHGXUHVWREHFDUULHGRXWDQGWKHSRWHQWLDOKD]DUGVZLOOEH
GHVFULEHGWRWKHVXEMHFWVLQQRQWHFKQLFDOWHUPV6XEMHFWVZLOOEHUHTXLUHGWRUHDGVLJQDQGGDWH
DQ,&)VXPPDUL]LQJWKHGLVFXVVLRQSULRUWR6FUHHQLQJDQGZLOOEHDVVXUHGWKDWWKH\PD\
ZLWKGUDZIURPWKHVWXG\DWDQ\WLPHZLWKRXWMHRSDUGL]LQJWKHLUPHGLFDOFDUH
6XEMHFWVZLOOEHJLYHQDFRS\RIWKHLUVLJQHG,&)
 &RQILGHQWLDOLW\
$OOPHPEHUVRIWKH,QYHVWLJDWRU¶VVWDIIKDYHVLJQHGFRQILGHQWLDOLW\DJUHHPHQWV%\VLJQLQJWKLV
SURWRFROWKH,QYHVWLJDWRUDQGLQYHVWLJDWLRQDOVWDIIZLOOUHJDUGDOOLQIRUPDWLRQSURYLGHGE\WKH
6SRQVRUDQGDOOLQIRUPDWLRQREWDLQHGGXULQJWKHFRXUVHRIWKHVWXG\DVFRQILGHQWLDO
7KH,QYHVWLJDWRUPXVWJXDUDQWHHWKHSULYDF\RIWKHVXEMHFWVWDNLQJSDUWLQWKHVWXG\6XEMHFWV
ZLOOEHLGHQWLILHGWKURXJKRXWGRFXPHQWDWLRQDQGHYDOXDWLRQE\DXQLTXHVXEMHFWVWXG\QXPEHU
7KURXJKRXWWKHVWXG\DVXEMHFW¶VVRXUFHGDWDZLOORQO\EHOLQNHGWRWKH6SRQVRU¶VFOLQLFDO
VWXG\GDWDEDVHRUGRFXPHQWDWLRQYLDDXQLTXHLGHQWLILFDWLRQQXPEHU,IVXEMHFWQDPHDSSHDUV
RQDQ\VWXG\GRFXPHQWLWPXVWEHUHGDFWHGEHIRUHWKHFRS\RIWKHGRFXPHQWVLVVXSSOLHGWRWKH
6SRQVRU$Q\LQIRUPDWLRQFRQFHUQLQJWKHVXEMHFWVFOLQLFDOQRWHVLGHQWLILFDWLRQQXPEHUVHWF
PXVWEHNHSWRQILOHE\WKH,QYHVWLJDWRUZKRZLOOHQVXUHWKDWLWLVUHYHDOHGRQO\WRWKH6SRQVRU
,5%RUUHJXODWRU\DXWKRULWLHVIRUWKHSXUSRVHVRIWULDOPRQLWRULQJDXGLWLQJRURIILFLDO
LQVSHFWLRQV$VUHTXLUHGLQWKHFDVHRIDQHYHQWZKHUHPHGLFDOH[SHQVHVDUHWKHUHVSRQVLELOLW\
RIWKH6SRQVRUSHUVRQDOLQIRUPDWLRQLHIXOOQDPHVRFLDOVHFXULW\GHWDLOVHWFPD\EH
UHOHDVHGWRWKH6SRQVRU$SSURSULDWHSUHFDXWLRQVZLOOEHWDNHQWRPDLQWDLQFRQILGHQWLDOLW\RI
PHGLFDOUHFRUGVDQGSHUVRQDOLQIRUPDWLRQLQVWULFWHVWFRQILGHQFHDQGLQDFFRUGDQFHZLWKORFDO
GDWDSURWHFWLRQODZV
/2;25(7&$3URWRFRODQG3URWRFRO$PHQGPHQWV


&21),'(17,$/
&$/2;25(7)LQDO3URWRFRO$PHQGPHQW0D\

3DJH
 7HUPLQDWLRQRIWKH6WXG\
7KHSDUWLFLSDWLQJ&58VUHVHUYHWKHULJKWWRWHUPLQDWHWKHVWXG\LQWKHLQWHUHVWRIVXEMHFW
ZHOIDUH
7KH6SRQVRUUHVHUYHVWKHULJKWWRVXVSHQGRUWHUPLQDWHWKHVWXG\DWDQ\WLPH
 'DWD4XDOLW\$VVXUDQFH
6WDQGDUGRSHUDWLQJSURFHGXUHVDUHDYDLODEOHIRUDOODFWLYLWLHVSHUIRUPHGDW&HOHULRQDQG
SDUWLFLSDWLQJ&58VUHOHYDQWWRWKHTXDOLW\RIWKLVVWXG\'HVLJQDWHGSHUVRQQHORI&HOHULRQDQG
SDUWLFLSDWLQJ&58VDVDSSURSULDWHZLOOEHUHVSRQVLEOHIRULPSOHPHQWLQJDQGPDLQWDLQLQJ
TXDOLW\DVVXUDQFH4$DQGTXDOLW\FRQWUROV\VWHPVWRHQVXUHWKDWWKHVWXG\LVFRQGXFWHGDQG
WKDWGDWDDUHJHQHUDWHGGRFXPHQWHGDQGUHSRUWHGLQFRPSOLDQFHZLWKWKHVWXG\SURWRFRO*&3
DQG*/3UHTXLUHPHQWVDVZHOODVDSSOLFDEOHUHJXODWRU\UHTXLUHPHQWVDQGORFDOODZVUXOHVDQG
UHJXODWLRQVUHODWLQJWRWKHFRQGXFWRIWKHFOLQLFDOVWXG\
7KH&OLQLFDO6WXG\5HSRUWZLOOEHDXGLWHGE\WKH&HOHULRQ4$GHSDUWPHQWDQGWKH4$DXGLW
FHUWLILFDWHZLOOEHLQFOXGHGLQWKH&OLQLFDO6WXG\5HSRUW
(GLWFKHFNVDUHWKHQSHUIRUPHGIRUDSSURSULDWHGDWDEDVHVDVDYDOLGDWLRQURXWLQHXVLQJ6$6RU
FRPSDUDEOHVWDWLVWLFDOSURJUDPWRFKHFNIRUPLVVLQJGDWDGDWDLQFRQVLVWHQFLHVGDWDUDQJHVHWF
&RUUHFWLRQVDUHPDGHSULRUWRGDWDEDVHORFN
 'LUHFW$FFHVVWR6RXUFH'DWD'RFXPHQWV
7KHSDUWLFLSDWLQJ&58VZLOOHQVXUHWKDWWKH6SRQVRU,5%DQGLQVSHFWLRQE\GRPHVWLFDQG
IRUHLJQUHJXODWRU\DXWKRULWLHVZLOOKDYHGLUHFWDFFHVVWRDOO&58VVRXUFHGDWDGRFXPHQWVDQG
UHSRUWVIRUWKHSXUSRVHRIPRQLWRULQJDQGDXGLWLQJ,&+>(@	,QWKHHYHQWWKDW
RWKHUVWXG\UHODWHGPRQLWRULQJVKRXOGEHGRQHE\RWKHUSDUWLHVWKH\ZLOOEHUHTXLUHGWRVLJQD
FRQILGHQWLDOLW\DJUHHPHQWSULRUWRDQ\PRQLWRULQJDQGDXGLWLQJ
 'UXJ6XSSOLHV3DFNDJLQJDQG/DEHOLQJ
7KH6SRQVRUZLOOVXSSO\VXIILFLHQWTXDQWLWLHVRIWKH/2;2FDSVXOHVWRDOORZFRPSOHWLRQ
RIWKLVVWXG\7KHORWQXPEHUVDQGH[SLUDWLRQGDWHVZKHUHDYDLODEOHRIWKHVWXG\GUXJV
VXSSOLHGZLOOEHUHFRUGHGLQWKHILQDO&OLQLFDO6WXG\5HSRUW
5HFRUGVZLOOEHPDGHRIWKHUHFHLSWDQGGLVSHQVLQJRIWKHVWXG\GUXJVVXSSOLHG$WWKH
FRQFOXVLRQRIWKHVWXG\DQ\XQXVHGVWXG\GUXJVZLOOEHUHWDLQHGE\WKH&58UHWXUQHGWRWKH
6SRQVRURUGHVLJQHHRUGHVWUR\HGDVSHU6SRQVRULQVWUXFWLRQV,IQRVXSSOLHVUHPDLQWKLVIDFW
ZLOOEHGRFXPHQWHGLQWKHSKDUPDF\SURGXFWDFFRXQWDELOLW\UHFRUGV
 'DWD+DQGOLQJDQG5HFRUG.HHSLQJ
'DWDZLOOEHHQWHUHGGLUHFWO\DQGPDQDJHGZLWKLQDQHOHFWURQLFGDWDFDSWXUHV\VWHP
2PQL&RPP7ULDO0DVWHU
/2;25(7&$3URWRFRODQG3URWRFRO$PHQGPHQWV


&21),'(17,$/
&$/2;25(7)LQDO3URWRFRO$PHQGPHQW0D\

3DJH
$OOUDZGDWDJHQHUDWHGLQFRQQHFWLRQZLWKWKLVVWXG\WRJHWKHUZLWKWKHRULJLQDOFRS\RIWKH
ILQDO&OLQLFDO6WXG\5HSRUWZLOOEHUHWDLQHGE\WKHSDUWLFLSDWLQJ&58VXQWLODWOHDVW\HDUV
DIWHUWKHODVWDSSURYDORIDPDUNHWLQJDSSOLFDWLRQLQDQ,&+UHJLRQDQGXQWLOWKHUHDUHQR
SHQGLQJRUFRQWHPSODWHGPDUNHWLQJDSSOLFDWLRQVLQDQ,&+UHJLRQRUDWOHDVW\HDUVKDYH
HODSVHGVLQFHWKHIRUPDOGLVFRQWLQXDWLRQRIFOLQLFDOGHYHORSPHQWRIWKHLQYHVWLJDWLRQDOSURGXFW
7KHVHGRFXPHQWVVKRXOGEHUHWDLQHGIRUDORQJHUSHULRGKRZHYHULIUHTXLUHGE\WKHDSSOLFDEOH
UHJXODWRU\UHTXLUHPHQWVRUE\DQDJUHHPHQWZLWKWKH6SRQVRU,WLVWKHUHVSRQVLELOLW\RIWKH
6SRQVRUWRLQIRUPWKHSDUWLFLSDWLQJ&58VDVWRZKHQWKHVHGRFXPHQWVQRORQJHUQHHGWREH
UHWDLQHG
 5HSRUW)RUPDW
$FFRUGLQJWRWKH,&++DUPRQL]HG7ULSDUWLWH*XLGHOLQH2UJDQL]DWLRQRIWKH&RPPRQ
7HFKQLFDO'RFXPHQWIRUWKH5HJLVWUDWLRQRI3KDUPDFHXWLFDOVIRU+XPDQ8VH0DQGWKH
,&+0([SHUW:RUNLQJ*URXSWKHILQDO&OLQLFDO6WXG\5HSRUWZLOOEHZULWWHQDFFRUGLQJWR
WKH,&+(*XLGHOLQH6WUXFWXUHDQG&RQWHQWRI&OLQLFDO6WXG\5HSRUWV
 3XEOLFDWLRQ3ROLF\
$OOXQSXEOLVKHGLQIRUPDWLRQJLYHQWR&HOHULRQDQGRUWKHSDUWLFLSDWLQJ&58VE\WKH6SRQVRU
VKDOOQRWEHSXEOLVKHGRUGLVFORVHGWRDWKLUGSDUW\ZLWKRXWWKHSULRUZULWWHQFRQVHQWRIWKH
6SRQVRU
7KHGDWDJHQHUDWHGE\WKLVVWXG\DUHFRQVLGHUHGFRQILGHQWLDOLQIRUPDWLRQDQGWKHSURSHUW\RI
WKH6SRQVRU7KLVFRQILGHQWLDOLQIRUPDWLRQPD\EHSXEOLVKHGRQO\LQFROODERUDWLRQZLWK
SDUWLFLSDWLQJSHUVRQQHOIURPWKH6SRQVRURUXSRQ6SRQVRU¶VZULWWHQFRQVHQWWRSXEOLVKWKH
DUWLFOH
/2;25(7&$3URWRFRODQG3URWRFRO$PHQGPHQWV


&21),'(17,$/
&$/2;25(7)LQDO3URWRFRO$PHQGPHQW0D\

3DJH
 5()(5(1&(6
/2;2,QYHVWLJDWRU¶V%URFKXUH/R[R2QFRORJ\,QF9HUVLRQ2FW
)RRGDQG'UXJ$GPLQLVWUDWLRQ*XLGDQFHIRU,QGXVWU\3KDUPDFRNLQHWLFVLQ3DWLHQWVZLWK
,PSDLUHG5HQDO)XQFWLRQ²6WXG\'HVLJQ'DWD$QDO\VLVDQG,PSDFWRQ'RVLQJDQG/DEHOLQJ
0DUFK$YDLODEOHDWKWWSVZZZIGDJRYGRZQORDGVGUXJVJXLGDQFHVXFPSGI
1DWLRQDO&DQFHU,QVWLWXWH&RPPRQ7HUPLQRORJ\&ULWHULDIRU$GYHUVH(YHQWV&7&$(
5HYLVHG1RYY$YDLODEOHDW
KWWSVFWHSFDQFHUJRYSURWRFROGHYHORSPHQWHOHFWURQLFBDSSOLFDWLRQVGRFV&7&$(BYB4XLFNB
5HIHUHQFHB[SGI
/2;25(7&$3URWRFRODQG3URWRFRO$PHQGPHQWV



3DJH





&OLQLFDO3URWRFRO


$3KDVH2SHQ/DEHO3DUDOOHO&RKRUW6LQJOH'RVH6WXG\WR(YDOXDWHWKH(IIHFWRI
5HQDO,PSDLUPHQWRQWKH3KDUPDFRNLQHWLFVRI/2;2


&HOHULRQ3URMHFW1R&$

6SRQVRU3URMHFW1R/2;25(7

86,1'1R









*&36WDWHPHQW
7KLVVWXG\LVWREHSHUIRUPHGLQIXOOFRPSOLDQFHZLWKWKHSURWRFRO*RRG&OLQLFDO3UDFWLFHV
*&3DQGDSSOLFDEOHUHJXODWRU\UHTXLUHPHQWV$OOUHTXLUHGVWXG\GRFXPHQWDWLRQZLOOEH
DUFKLYHGDVUHTXLUHGE\UHJXODWRU\DXWKRULWLHV

&RQILGHQWLDOLW\6WDWHPHQW
7KLVGRFXPHQWLVFRQILGHQWLDO,WFRQWDLQVSURSULHWDU\LQIRUPDWLRQRI/R[R2QFRORJ\,QF
DQGRU&HOHULRQ$Q\YLHZLQJRUGLVFORVXUHRIVXFKLQIRUPDWLRQWKDWLVQRWDXWKRUL]HGLQ
ZULWLQJE\/R[R2QFRORJ\,QFDQGRU&HOHULRQLVVWULFWO\SURKLELWHG6XFKLQIRUPDWLRQPD\
EHXVHGVROHO\IRUWKHSXUSRVHRIUHYLHZLQJRUSHUIRUPLQJWKLVVWXG\

/2;25(7&$3URWRFRODQG3URWRFRO$PHQGPHQWV


&21),'(17,$/
&$/2;25(7)LQDO3URWRFRO$PHQGPHQW-DQ

3DJH

35272&2/5(9,6,21+,6725<

-DQXDU\
E\


)LQDO3URWRFRO$PHQGPHQW
3XUSRVHRI$PHQGPHQW
7KHSURWRFROLVXSGDWHGDWWKHUHTXHVWRIWKH6SRQVRUSULPDULO\WR
FKDQJHWKHWLPHSHULRGEHWZHHQH*)5PHDVXUHPHQWVDW6FUHHQLQJ
DQGWKHWLPHSHULRGRIDFFHSWDEOHYDOXHVWREHXVHGDVKLVWRULFDO
H*)5IRUEDVHOLQHDVVHVVPHQW$GGLWLRQDOO\WKHIROORZLQJ
FKDQJHVZHUHPDGH
x 9HUELDJHIRUPDOHFRQWUDFHSWLYHXVHFRQFRPLWDQWPHGLFDWLRQ
XVHDQGUHVWULFWLRQVDQGVHULRXVDGYHUVHHYHQW6$(DGYHUVH
HYHQW$(UHSRUWLQJKDVEHHQXSGDWHG
x 6XEMHFWVZKRDUHSRVLWLYHIRUKHSDWLWLV%YLUXV+HSDWLWLV&
YLUXVRU+XPDQLPPXQRGHILFLHQF\YLUXVE\DQWLERG\ZLOO
UHTXLUHFRQILUPDWLRQE\SRO\PHUDVHFKDLQUHDFWLRQ3&5
EHIRUHHQUROOPHQWWRGHWHFWSUHVHQFHRIDFWLYHYLUXV
x 9HUELDJHFRQFHUQLQJVPRNLQJVWDWXVIRUVXEMHFWVZLWKUHQDO
LPSDLUPHQWKDVEHHQXSGDWHG
x )HQWDQ\OKDVEHHQUHPRYHGIURPWKHODERUDWRU\GUXJVFUHHQ
SDQHODQGWHVWVIRUPHWKDGRQHFRFDLQHPHWDEROLWH
DGGLWLRQDOWHVWV±GUXJSDQHOSDUWLDOWKURPERSODVWLQWLPH
FRDJXODWLRQPHDQFRUSXVFXODUKHPRJORELQKHPDWRORJ\
DQGFRORUDQGDSSHDUDQFHXULQDO\VLVKDYHEHHQDGGHG
x $QHZVHFWLRQFRYHULQJVXEMHFWFRQILGHQWLDOLW\KDVEHHQ
LQVHUWHGLQWRWKHSURWRFRO7KLVVHFWLRQZDVUHTXHVWHGE\WKH
,QVWLWXWLRQDO5HYLHZ%RDUG,5%WREHLQFOXGHGLQDOO&HOHULRQ
JHQHUDWHGSURWRFROV
x 5HIHUHQFHWR³'D\´RU³&KHFNLQ´ZHUHUHSODFHGWKURXJKRXW
WKHSURWRFROIRU³&KHFNLQ'D\´
x 1RPHQFODWXUHLQUHIHUHQFHWRVWXG\YLVLWVLH(27(7DQG
(26KDVEHHQXSGDWHGIRUFODULW\SXUSRVHV
&KDQJHVWRWKH6WXG\3URWRFRO
6HFWLRQ6\QRSVLV6XPPDU\RI6WXG\GHVLJQ6HFWLRQ
2YHUDOO6WXG\'HVLJQDQG3ODQ6HFWLRQ$GGLWLRQDO
5HTXLUHPHQWVIRU6XEMHFWVZLWK5,±&ULWHULRQ>SUHYLRXVO\@
6HFWLRQ$GGLWLRQDO5HTXLUHPHQWVIRU6XEMHFWVZLWK5,±
/2;25(7&$3URWRFRODQG3URWRFRO$PHQGPHQWV

33'

&21),'(17,$/
&$/2;25(7)LQDO3URWRFRO$PHQGPHQW-DQ

3DJH
&ULWHULRQDQG6HFWLRQ&OLQLFDO/DERUDWRU\7HVWV7H[W
KDVEHHQXSGDWHGWRUHIOHFWWKDWLIQRKLVWRULFDOPHDVXUHPHQWIRU
H*)5LVDYDLODEOHLQDGGLWLRQWRWKH6FUHHQLQJH*)5WRSURYLGHD
PHDQDVHFRQG6FUHHQLQJH*)5VDPSOHLVWREHWDNHQGXULQJWKH
6FUHHQLQJSHULRGtGD\VDSDUWDQGQRWDVSUHYLRXVO\VSHFLILHG
DVDEDVHOLQHVDPSOHDWKRXUV,IDQKLVWRULFDOPHDVXUHPHQWLV
DYDLODEOHWKLVKDVDGGLWLRQDOO\EHHQXSGDWHGWRUHIOHFWWKH
PHDVXUHPHQWPXVWEHUHFRUGHGZLWKLQPRQWKVRI6FUHHQLQJ
6HFWLRQ6WXG\(YHQWV)ORZ&KDUW&ROXPQIRU'D\KDVEHHQ
XSGDWHGWRLQGLFDWHWKDW(QGRI7UHDWPHQW(27LVHTXLYDOHQWWR
&OLQLF'LVFKDUJH)RRWQRWHV³G´DQG³H´KDYHEHHQXSGDWHGWR
FODULI\GHILQLWLRQVIRU(QGRI7UHDWPHQW(27(DUO\7HUPLQDWLRQ
(7DQG(QGRI6WXG\(26
6HFWLRQ6WXG\(YHQWV)ORZ&KDUW)RRWQRWH³O´6HFWLRQ
0RQLWRULQJ6HFWLRQ5HSRUWLQJDQG6HFWLRQ
6HULRXV$GYHUVH(YHQWVKDYHEHHQXSGDWHGIRU$(DQG
6$(UHSRUWLQJYHUELDJH
6HFWLRQ,QFOXVLRQ&ULWHULD$OO6XEMHFWV&ULWHULRQKDV
EHHQXSGDWHGWRUHIOHFWERWKSDUWLFLSDWLQJPDOHVDQGWKHLUIHPDOH
SDUWQHUVPXVWXVHFRQWUDFHSWLRQWKHUHE\HQVXULQJWKHSDUWLFLSDWLQJ
PDOHZLOOEHUHVSRQVLEOHIRUFRQWUDFHSWLYHXVH
6HFWLRQ$GGLWLRQDO5HTXLUHPHQWVIRU6XEMHFWVZLWK5,
&ULWHULRQLVXSGDWHGWRUHPRYHGHILQLWLRQDVVWDWHGLQWKH
SDUHQWKHVLVIRUPRGHUDWHVPRNHUUHTXLUHPHQWLH
FLJDUHWWHVGD\RUWKHHTXLYDOHQW
6HFWLRQ$GGLWLRQDO5HTXLUHPHQWVIRU6XEMHFWVZLWK5,
&ULWHULRQKDVEHHQUHPRYHG³6XEMHFWKDVVWDEOHUHQDOGLVHDVH
VWDWXVDQGIXQFWLRQDWOHDVWPRQWKSULRUWR/2;2
DGPLQLVWUDWLRQ´DVUHTXLUHPHQWVRIWKLVFDYHDWLVFRYHUHGE\
&ULWHULRQLQ([FOXVLRQ6HFWLRQ$GGLWLRQDO5HTXLUHPHQWV
IRU6XEMHFWVZLWK5,
6HFWLRQ([FOXVLRQ&ULWHULD$OO6XEMHFWV&ULWHULRQKDV
EHHQXSGDWHGWRUHIOHFWWKDWVXEMHFWVZKRDUHSRVLWLYHIRUKHSDWLWLV
%YLUXVKHSDWLWLV&YLUXVRUKXPDQLPPXQRGHILFLHQF\YLUXVE\
DQWLERG\ZLOOUHTXLUHFRQILUPDWLRQE\3&5EHIRUHHQUROOPHQWWR
GHWHFWSUHVHQFHRIDFWLYHYLUXV6XEMHFWVZKRDUH3&5SRVLWLYHZLOO
QRWEHHOLJLEOH7KHIROORZLQJFULWHULRQ3UHYLRXVO\&ULWHULRQ
KDVEHHQGHOHWHGDQGLQFRUSRUDWHGLQWRWKHVXFFHHGLQJFULWHULRQ
³,VXQDEOHWRUHIUDLQIURPRUDQWLFLSDWHVWKHXVHRIDQ\PHGLFDWLRQ
RUVXEVWDQFHLQFOXGLQJSUHVFULSWLRQRURYHUWKHFRXQWHUSURWRQ
SXPSLQKLELWRUV33,VYLWDPLQVXSSOHPHQWVQDWXUDORUKHUEDO
/2;25(7&$3URWRFRODQG3URWRFRO$PHQGPHQWV


&21),'(17,$/
&$/2;25(7)LQDO3URWRFRO$PHQGPHQW-DQ

3DJH
VXSSOHPHQWVIURPGD\VSULRUWRGRVLQJDQGWKURXJKRXWWKH
VWXG\´WKXV&ULWHULRQQRZVWDWHV³,VXQDEOHWRUHIUDLQIURPRU
DQWLFLSDWHVWKHXVHRIDQ\PRGHUDWHRUVWURQJLQKLELWRURULQGXFHU
RI&<3$$RUVWURQJLQKLELWRURI3JSSURWRQSXPS
LQKLELWRUVDQWDFLGVDQG+UHFHSWRUDQWDJRQLVWVIURPGD\V
SULRUWRGRVLQJDQGWKURXJK(27RU(7´&ULWHULRQLQ
UHIHUHQFHWR³PHGLFDWLRQLQFOXGLQJRYHUWKHFRXQWHUWKDWZRXOG
VLJQLILFDQWO\DOWHUH*)5´KDVEHHQPRYHGXSWRJURXSZLWKRWKHU
PHGLFDWLRQUHODWHGFULWHULDDQGLVWKXV&ULWHULRQ
,Q FRQVHTXHQFHWKHIROORZLQJ &ULWHULRQ  XQGHU 6HFWLRQ 
$GGLWLRQDO 5HTXLUHPHQWV IRU 6XEMHFWV ZLWK 5, ZDV DGGHG
³8QDEOHWRUHIUDLQIURPRUDQWLFLSDWHVWKHXVHRIDQ\PHGLFDWLRQRU
VXEVWDQFHLQFOXGLQJSUHVFULSWLRQRURYHUWKHFRXQWHUPHGLFDWLRQV
YLWDPLQVXSSOHPHQWVQDWXUDORUKHUEDOVXSSOHPHQWVIURPGD\V
SULRUWRGRVLQJDQGWKURXJK(27RU(7XQOHVVLWLVDSUHVFULSWLRQ
RU QRQSUHVFULSWLRQ PHGLFDWLRQ XVHG WR WUHDW PDQLIHVWDWLRQV RI
UHQDOGLVHDVHRUPHGLFDWLRQVQHHGHGWRWUHDWVWDEOHGLVHDVHVZKLFK
KDVEHHQDSSURYHGE\WKH3,RUGHVLJQHHZLWKDJUHHPHQWIURP
WKH&HOHULRQ0HGLFDO0RQLWRUDQGWKH6SRQVRUDQGSURYLGHGWKH\
KDYHEHHQRQDVWDEOHUHJLPHQIRUDWOHDVWGD\VSULRUWRGRVLQJ
DQG DUH DEOH WR ZLWKKROG XVH IRU  KRXUV SUHGRVH DQG KRXUV
SRVWGRVH RQ WKH GD\ RI GRVH DGPLQLVWUDWLRQ 'D\  XQOHVV
DSSURYHGE\WKH3,RUGHVLJQHH&HOHULRQ0HGLFDO0RQLWRUDQG
6SRQVRU´
$GGLWLRQDOO\ &ULWHULRQ  XQGHU 6HFWLRQ  $GGLWLRQDO
5HTXLUHPHQWV IRU +HDOWK\ 6XEMHFWV ZDV DGGHG ³,V XQDEOH WR
UHIUDLQIURPRUDQWLFLSDWHVWKHXVHRIDQ\PHGLFDWLRQRUVXEVWDQFH
LQFOXGLQJ SUHVFULSWLRQ RU RYHUWKHFRXQWHU PHGLFDWLRQV YLWDPLQ
VXSSOHPHQWVQDWXUDORUKHUEDOVXSSOHPHQWVIURPGD\VSULRUWR
GRVLQJ DQG WKURXJK (27 RU (7 XQOHVV DSSURYHG E\ WKH 3, RU
GHVLJQHHZLWKDJUHHPHQWIURPWKH&HOHULRQ0HGLFDO0RQLWRUDQG
WKH6SRQVRU´

6HFWLRQ  3URKLELWLRQV DQG &RQFRPLWDQW 0HGLFDWLRQV ZDV
DOVR XSGDWHG WR EH FRQVLVWHQW ZLWK WKH DGGLWLRQ RI &ULWHULRQ 
XQGHU6HFWLRQ$GGLWLRQDO5HTXLUHPHQWVIRU6XEMHFWVZLWK
5, DQG &ULWHULRQ  XQGHU 6HFWLRQ  $GGLWLRQDO
5HTXLUHPHQWVIRU+HDOWK\6XEMHFWV
6HFWLRQ3URKLELWLRQV DQG &RQFRPLWDQW 0HGLFDWLRQ 7KH
IROORZLQJ  UHVWULFWLRQV KDYH EHHQ DGGHG ³3DUWLFLSDWLRQ LQ DQ\
RWKHU LQYHVWLJDWLRQDO VWXG\ GUXJ WULDO LQ ZKLFK UHFHLSW RI DQ\
LQYHVWLJDWLRQDO GUXJ RFFXUV ZLWKLQ  KDOIOLYHV LI NQRZQ RU
GD\V ZKLFKHYHU LV ORQJHU SULRU WR &KHFNLQ 'D\  LV
SURKLELWHG´³$Q\GUXJWKDWSURORQJVWKH4747FLQWHUYDOZLOOEH
/2;25(7&$3URWRFRODQG3URWRFRO$PHQGPHQWV


&21),'(17,$/
&$/2;25(7)LQDO3URWRFRO$PHQGPHQW-DQ

3DJH
SURKLELWHG IRU GD\V SULRU WR WKH GRVLQJ DQG WKURXJK (27 RU
(7´ DQG ³2WKHU )UXLW -XLFH  KRXUV SULRU WR ILUVW GRVLQJ DQG
WKURXJK(27RU(7´$GGLWLRQDOO\WKHUHDUHJHQHUDOPRGLILFDWLRQV
LPSOHPHQWHGWRYHUELDJHLQWKLVVHFWLRQ
6HFWLRQ$FWLYLW\YHUELDJHKDVEHHQXSGDWHGWRUHIOHFW
PRGLILFDWLRQVPDGHWR&ULWHULRQRI6HFWLRQ$GGLWLRQDO
5HTXLUHPHQWVIRU6XEMHFWVZLWK5,DQGWRFODULI\WKDWKHDOWK\
PDWFKHGFRQWUROVXEMHFWVZLOOQRWEHSHUPLWWHGWRVPRNHRULQJHVW
WREDFFRRUQLFRWLQHFRQWDLQLQJSURGXFWVIURPPRQWKVSULRUWR
6FUHHQLQJWKURXJKWKH(27RU(7DVLQGLFDWHGLQWKHHOLJLELOLW\
FULWHULD
6HFWLRQ6WXG\$VVHVVPHQWVDQG3URFHGXUHV7H[WKDVEHHQ
PRGLILHGWRGHQRWHEORRGFROOHFWLRQZLOOIROORZZLQGRZVDV
SURYLGHGLQ6HFWLRQ6WXG\(YHQWV)ORZ&KDUW
6HFWLRQ&OLQLFDO/DERUDWRU\7HVWV)HQWDQ\OKDVEHHQ
UHPRYHGIURPWKHXULQHGUXJSDQHODVIHQWDQ\OLVQRWW\SLFDOO\
WHVWHGLQURXWLQHGUXJVFUHHQV7KHGHWHFWLRQDQGPRQLWRULQJRI
IHQWDQ\OLVGLIILFXOWGXHWRWKHGUXJ¶VVKRUWKDOIOLIH)HQWDQ\OLV
RQO\GHWHFWDEOHLQWKHXULQHIRUDSSUR[LPDWHO\KRXUVDQGZRXOG
EHHVVHQWLDOO\XQGHWHFWDEOHE\KRXUV7HVWVIRUPHWKDGRQH
FRFDLQHPHWDEROLWHDGGLWLRQDOWHVWV±GUXJSDQHOSDUWLDO
WKURPERSODVWLQWLPHFRDJXODWLRQPHDQFRUSXVFXODUKHPRJORELQ
KHPDWRORJ\DQGFRORUDQGDSSHDUDQFHXULQDO\VLVKDYHEHHQ
DGGHG
6HFWLRQ%ORRG6DPSOLQJDQG3URFHVVLQJ7KHWDEOHZLWK
EORRGFROOHFWLRQZLQGRZVKDVEHHQUHPRYHGDQGWH[WLVXSGDWHGWR
GHQRWHWKDWUHIHUHQFHZLOOEHPDGHWRZLQGRZVDVUHIOHFWHGLQ
6HFWLRQ6WXG\(YHQWV)ORZ&KDUW
6HFWLRQ3KDUPDFRNLQHWLF3DUDPHWHUV6HFWLRQ'DWD
4XDOLW\$VVXUDQFH6HFWLRQ'UXJ6XSSOLHV3DFNDJLQJDQG
/DEHOLQJ6HFWLRQ'DWD+DQGOLQJDQG5HFRUG.HHSLQJDQG
6HFWLRQ5HSRUW)RUPDW7H[WKDVEHHQXSGDWHGWRFODULI\
WKDWWKH)LQDO5HSRUWLVWKH&OLQLFDO6WXG\5HSRUW
6HFWLRQ8ULQH&ROOHFWLRQ7H[WKDVEHHQPRGLILHGIRU
FODULW\
$QHZVHFWLRQ&RQILGHQWLDOLW\KDVEHHQLQVHUWHGLQWRWKH
SURWRFROWRLQFOXGHYHUELDJHIRUVXEMHFWFRQILGHQWLDOLW\PDLQWDLQHG
GXULQJWKHWULDO
$VDSSURSULDWHWKURXJKRXWWKHSURWRFROGRFXPHQWUHIHUHQFHWR
/2;25(7&$3URWRFRODQG3URWRFRO$PHQGPHQWV


&21),'(17,$/
&$/2;25(7)LQDO3URWRFRO$PHQGPHQW-DQ

3DJH
³'D\´RU³&KHFNLQ´ZHUHUHSODFHGZLWK³&KHFNLQ'D\´
DQGQRPHQFODWXUHWKURXJKRXWWKHSURWRFROGRFXPHQWLQUHIHUHQFH
WRVWXG\YLVLWVLH(27(7DQG(26KDVEHHQXSGDWHGIRU
FODULW\SXUSRVHV

'HFHPEHU
E\


)LQDO3URWRFRO$PHQGPHQW
3XUSRVHRI$PHQGPHQW
7KHSURWRFROLVEHLQJDPHQGHGGXHWRDUHTXHVWE\WKH,QVWLWXWLRQDO
5HYLHZ%RDUGWRFODULI\ODQJXDJHIRUWKHUHSRUWLQJRIVHULRXV
DGYHUVHHYHQWV6$(VGXULQJWKHVWXG\,QDGGLWLRQDWUHTXHVWRI
WKH6SRQVRUDEEUHYLDWHGSK\VLFDOH[DPLQDWLRQDVVHVVPHQWV
DGGLWLRQDOODERUDWRU\VDIHW\WHVWVFRWLQLQHWHVWKHDOWK\VXEMHFWV
RQO\DQGDPRGLILFDWLRQWRWKHYLWDOVLJQVDQGHOHFWURFDUGLRJUDP
(&*VFKHGXOHDUHDGGHGWRWKHVWXG\FRQGXFW$WUHTXHVWRIWKH
6SRQVRUWKHXSSHUDJHOLPLWIRULQFOXVLRQKDVDOVREHHQLQFUHDVHG
WLPHZLQGRZVKDYHEHHQPRGLILHGIRUYLWDOVLJQVDQG(&*
FRQGXFWDQGWKHUHTXLUHPHQWIRUVWDQGDUGL]HGPHDOVDFURVVVLWHV
KDVEHHQUHPRYHG7KHWLPHGXUDWLRQIRUGDWDUHWHQWLRQKDVEHHQ
XSGDWHGWRUHIOHFWWKH,QWHUQDWLRQDO&RQIHUHQFHRQ+DUPRQL]DWLRQ
UHTXLUHPHQWV
&KDQJHVWRWKH6WXG\3URWRFRO
6HFWLRQ6\QRSVLV6WXG\2EMHFWLYHV6HFWLRQ
2EMHFWLYHVDQG6HFWLRQ(QGSRLQWVKDYHEHHQPRGLILHGWR
LQFOXGHXULQHSKDUPDFRNLQHWLFV
6HFWLRQ6\QRSVLV6XPPDU\RI6WXG\'HVLJQ6HFWLRQ
&RQILQHPHQW5HWXUQ9LVLWVDQG)ROORZXSDQG6HFWLRQ
(QGRI6WXG\'HILQLWLRQKDYHEHHQXSGDWHGWRUHIOHFWWKDWWKH
(QGRI7ULDOLVZKHQWKHVXEMHFWLVUHOHDVHGIURPWKH&58DQG
(QGRI6WXG\LVZKHQWKHVXEMHFWFRPSOHWHVWKHIROORZXSSKRQH
FDOO7KHVHVHFWLRQVLQFOXGLQJIRRWQRWH³H´RIWKH6WXG\(YHQWV
)ORZ&KDUWKDYHEHHQDGGLWLRQDOO\XSGDWHGWRUHIOHFWWKH
IROORZXSFRQWDFWZLOOEHUHODWLYHWRVWXG\GUXJUHODWHGDGYHUVH
HYHQWV
6HFWLRQ6\QRSVLV.H\$VVHVVPHQWVKDVEHHQXSGDWHGWR
PRGLI\YHUELDJHIRUVDIHW\DVVHVVPHQWV
6HFWLRQ6WXG\(YHQWV)ORZ&KDUWKDVEHHQPRGLILHGWR
FRPELQH'D\DQGWKH(QGRI7ULDO(DUO\7HUPLQDWLRQFROXPQ
6HFWLRQ6WXG\(YHQWV)ORZ&KDUWDQG6HFWLRQ
([FOXVLRQ&ULWHULDKDYHEHHQXSGDWHGWRLQFOXGHDFRWLQLQHWHVWDV
/2;25(7&$3URWRFRODQG3URWRFRO$PHQGPHQWV

33'

&21),'(17,$/
&$/2;25(7)LQDO3URWRFRO$PHQGPHQW-DQ

3DJH
DQDGGLWLRQDOUHTXLUHPHQWIRUKHDOWK\VXEMHFWV6HFWLRQ
&ULWHULRQKDVEHHQXSGDWHGWRLQFOXGHUHIHUHQFHWRWREDFFR
FRQWDLQLQJSURGXFWV

6HFWLRQ6WXG\(YHQWV)ORZFKDUWDQG6HFWLRQ9LWDO
6LJQVKDYHEHHQPRGLILHGWRGHQRWHDFKDQJHWRWKHYLWDOVLJQV
DQG(&*VFKHGXOHRQ'D\:HLJKWZLOODOVREHPHDVXUHGRQ
'D\UHPRYLQJWKHKRXUZLQGRZSULRUWR'D\GRVLQJ
$GGLWLRQDOO\WKHGHYLDWLRQZLQGRZVKDYHEHHQUHPRYHGIRU
SRVWWUHDWPHQW(&*V6HFWLRQDQGSRVWWUHDWPHQWYLWDOVLJQV
KRXUV$VSHUXSGDWHGIRRWQRWHV³J´DQG³K´RIWKH6WXG\
(YHQWV)ORZ&KDUW(&*VDQGYLWDOVLJQPHDVXUHPHQWVXQOHVV
RWKHUZLVHLQGLFDWHGZLOOEHREWDLQHGSULRUWRDQGDVFORVHDV
SRVVLEOHWRWKHVFKHGXOHGEORRGGUDZV
6HFWLRQ6WXG\(YHQWV)ORZ&KDUWIRRWQRWH³Q´KDVEHHQ
LQFOXGHGWRGHQRWHWKHWLPHZLQGRZIRUWKHSUHGRVHSURWHLQ
ELQGLQJVDPSOH
6HFWLRQ6WXG\(YHQWV)ORZ&KDUWDQG6HFWLRQ3K\VLFDO
([DPLQDWLRQVKDYHEHHQPRGLILHGWRGHQRWHWKHFRQGXFWRI
DGGLWLRQDODEEUHYLDWHGH[DPLQDWLRQVRQ'D\DQGDW+RXU
SRVWGRVHRQ'D\
6HFWLRQ/2;2%DFNJURXQG3DUDJUDSKKDVEHHQ
PRGLILHGWRLQFOXGHSRVVLEOHSDQFUHDVLQMXU\DVDWKHRUHWLFDOULVN
EDVHGRQDQLPDOWR[LFRORJ\VWXGLHVRIKXPDQH[SRVXUHWR
/2;2WKLVLVQRWHGLQWKH,QYHVWLJDWRU¶V%URFKXUHEXWZDV
RPLWWHGLQHUURULQSUHYLRXVSURWRFROYHUVLRQ
6HFWLRQ5LVNVDQGRU%HQHILWVWR6XEMHFWV3DUDJUDSK³$(
TXHVWLRQLQJ´KDVEHHQXSGDWHGWRXVHWKHYHUELDJH³$(
PRQLWRULQJ´
6HFWLRQ2YHUDOO6WXG\GHVLJQDQG3ODQ3DUDJUDSKKDV
EHHQXSGDWHGWRUHIOHFWDFWXDOVDIHW\HYHQWVEHLQJDVVHVVHGGXULQJ
WKHVWXG\
6HFWLRQ,QFOXVLRQ&ULWHULD&ULWHULRQKDVEHHQXSGDWHGWR
UHIOHFWDQLQFUHDVHLQWKHXSSHUDJHOLPLWWRIURP
6HFWLRQ0HDOVDVWKHFRQGXFWRIWKLVVWXG\LVZLWKLQ
PXOWLSOHFHQWHUVWKHFDYHDWIRUVWDQGDUGL]HGPHDOVZLWKUHJDUGWR
FRPSRVLWLRQDQGFDORULHFRQWHQWKDVEHHQUHPRYHG
6HFWLRQ6FUHHQLQJKDVEHHQXSGDWHGWRLQFOXGHYHUELDJHIRU
³VHUXPFKHPLVWU\WK\URLGVWLPXODWLQJKRUPRQHSUHJQDQF\
/2;25(7&$3URWRFRODQG3URWRFRO$PHQGPHQWV


&21),'(17,$/
&$/2;25(7)LQDO3URWRFRO$PHQGPHQW-DQ

3DJH
IROOLFOHVWLPXODWLQJKRUPRQHWHVWVOLSDVHDQGDP\ODVH´LQWKHOLVW
RIODERUDWRU\SDQHOVWHVWVEHLQJDVVHVVHGDWWKH6FUHHQLQJYLVLW
6HFWLRQ&OLQLFDO/DERUDWRU\7HVWVLQWKHKHPDWRORJ\
SDQHOWRWDODQGGLIIHUHQWLDOOHXNRF\WHFRXQWKDVEHHQUHPRYHGDQG
VSHFLILFDOO\UHSODFHGZLWKWKHIROORZLQJSDUDPHWHUVZKLWHEORRG
FHOOFRXQWZKLWHEORRGFHOOGLIIHUHQWLDODEVROXWHDQGSHUFHQW
EDVRSKLOVHRVLQRSKLOVO\PSKRF\WHVPRQRF\WHVDQGQHXWURSKLOV
$GGLWLRQDOO\UHGEORRGFHOOGLVWULEXWLRQZLGWKPHDQFRUSXVFXODU
KHPRJORELQFRQFHQWUDWLRQDQGPHDQFRUSXVFXODUYROXPHKDYH
EHHQDGGHG,QWKHVHUXPFKHPLVWU\SDQHOWKHIROORZLQJWHVWVKDYH
EHHQDGGHGFDOFLXPLURQWRWDOSURWHLQDQGXULFDFLG
3KHQF\FOLGLQHDQGFRWLQLQHKHDOWK\VXEMHFWVRQO\KDYHDOVREHHQ
DGGHGWRWKH³RWKHU´ODERUDWRU\WHVWSDQHO
6HFWLRQ0RQLWRULQJYHUELDJHKDVEHHQPRGLILHGIRU$(
TXHVWLRQLQJPRQLWRULQJ$GGLWLRQDOO\RXWFRPHGHILQLWLRQVIRU$(
UHVROXWLRQVKDYHEHHQXSGDWHG
6HFWLRQ5HSRUWLQJDQGIRRWQRWH³O´RIWKH6WXG\)ORZ
&KDUW6HFWLRQKDYHEHHQXSGDWHGWRGHQRWHWKDW)ROORZLQJ
&OLQLF'LVFKDUJHWKURXJK(QGRI6WXG\DOO6$(VUHJDUGOHVVRI
GUXJUHODWLRQVKLSPXVWEHUHSRUWHG$GGLWLRQDOO\6HFWLRQ
6HULRXV$GYHUVH(YHQWV3DUDJUDSKKDVEHHQPRGLILHGLQOLQH
ZLWKWKHVHFKDQJHV
6HFWLRQ3KDUPDFRNLQHWLF3DUDPHWHUVWKHIROORZLQJ
YHUELDJHKDVEHHQDGGHG1RYDOXHIRU.HO$8&H[WUDS
$8&LQI&/)9])RUWòZLOOEHUHSRUWHGIRUFDVHVWKDWGRQRW
H[KLELWDWHUPLQDOORJOLQHDUSKDVHLQWKHFRQFHQWUDWLRQWLPH
SURILOH
6HFWLRQ'DWD+DQGOLQJDQG5HSRUWLQJKDVEHHQXSGDWHGWR
UHIOHFWVWXG\UDZGDWDDQGDQRULJLQDOFRS\RIWKHILQDOUHSRUWZLOO
EHUHWDLQHGE\WKHSDUWLFLSDWLQJ&OLQLFDO5HVHDUFK8QLWVIRUDWOHDVW
\HDUV
2FWREHU
E\

)LQDO3URWRFRO

/2;25(7&$3URWRFRODQG3URWRFRO$PHQGPHQWV

33'

&21),'(17,$/
&$/2;25(7)LQDO3URWRFRO$PHQGPHQW-DQ
3DJH

6321625±6,*1$725<
$3KDVH2SHQ/DEHO3DUDOOHO&RKRUW6LQJOH'RVH6WXG\WR(YDOXDWHWKH(IIHFWRI
5HQDO,PSDLUPHQWRQWKH3KDUPDFRNLQHWLFVRI/2;2
6321625
/R[R2QFRORJ\,QF
*DWHZD\%RXOHYDUG6XLWH
6RXWK6DQ)UDQFLVFR &DOLIRUQLD 86$
6321625¶6
5(35(6(17$7,9(
&RQVXOWDQWWR/R[R2QFRORJ\,QF
0RELOH
(0DLO 
6LJQDWXUH
'DWH
-DQ_367
/2;25(7&$3URWRFRODQG3URWRFRO$PHQGPHQWV

33'
33'
33'
33'
33'

/2;25(7&$3URWRFRODQG3URWRFRO$PHQGPHQWV

33'
33'
33'
33'

/2;25(7&$3URWRFRODQG3URWRFRO$PHQGPHQWV

33'
33'
33'
33'
33'

/2;25(7&$3URWRFRODQG3URWRFRO$PHQGPHQWV

33'
33'
33'
33'

/2;25(7&$3URWRFRODQG3URWRFRO$PHQGPHQWV

33'
33'
33'

/2;25(7&$3URWRFRODQG3URWRFRO$PHQGPHQWV

33'
33'
33'
33'
33'
33'

/2;25(7&$3URWRFRODQG3URWRFRO$PHQGPHQWV

33'
33'
33'

&21),'(17,$/
&$/2;25(7)LQDO3URWRFRO$PHQGPHQW-DQ

3DJH

$'',7,21$/.(<&217$&76)257+(678'<
6SRQVRU&RQWDFW,QIRUPDWLRQ
IRU6HULRXV$GYHUVH(YHQW
5HSRUWLQJ
HID[
(PDLOVDIHW\#OR[RRQFRORJ\FRP


0HGLFDO0RQLWRU

&RQVXOWDQWWR/R[R2QFRORJ\,QF
0RELOH

(PDLO


$GGLWLRQDO6SRQVRU&RQWDFW


/R[R2QFRORJ\,QF
7HO

(PDLO


3URWRFRO$XWKRU


&HOHULRQ
/LVEXUQ5RDG
%HOIDVW%7$'
1RUWKHUQ,UHODQG
7HO

)D[

(PDLO


&HUWLILHG&OLQLFDO/DERUDWRU\
&RQWDFWLQIRUPDWLRQZLOOEHSURYLGHGLQDVHSDUDWH
GRFXPHQW

%LRDQDO\WLFDO/DERUDWRU\IRU
/2;2
$OWXUDV$QDO\WLFV,QF
$OWXUDV7HFKQRORJ\3DUN
$OWXUDV'ULYH
0RVFRZ,GDKR86$
7HO


/2;25(7&$3URWRFRODQG3URWRFRO$PHQGPHQWV

33'
33'
33'
33'
33'
33'
33'
33'
33'
33'
33'
33'

&21),'(17,$/
&$/2;25(7)LQDO3URWRFRO$PHQGPHQW-DQ

3DJH
3KDUPDFRNLQHWLFDQG6WDWLVWLFDO
$QDO\VHV

&HOHULRQ
$OH[LV1LKRQ%RXOHYDUG6XLWH
0RQWUHDO4XHEHF+01&DQDGD
7HO
)D[

DQGRU

&HOHULRQ
5RVH6WUHHW
/LQFROQ1HEUDVND86$
7HO
)D[

/2;25(7&$3URWRFRODQG3URWRFRO$PHQGPHQWV


&21),'(17,$/
&$/2;25(7)LQDO3URWRFRO$PHQGPHQW-DQ

3DJH

7$%/(2)&217(176
 35272&2/5(9,6,21+,6725< 
 6321625±6,*1$725< 
 35,1&,3$/,19(67,*$725$1'&/,1,&$/6,7(±6,*1$725< 
 $'',7,21$/.(<&217$&76)257+(678'< 
 7$%/(2)&217(176 
 6<1236,6 
 678'<(9(176)/2:&+$57 
 $%%5(9,$7,216 
 ,1752'8&7,21 

%DFNJURXQG 

/2;2 

5DWLRQDOH 

5DWLRQDOHIRUWKLV6WXG\DQG6WXG\'HVLJQ 

5DWLRQDOHIRUWKH'RVH6HOHFWLRQDQG'RVH5HJLPHQ 

5DWLRQDOHIRU3ULPDU\(QGSRLQWV 

5LVNVDQGRU%HQHILWVWR6XEMHFWV 
 2%-(&7,9(6$1'(1'32,176 
 2EMHFWLYHV 
 (QGSRLQWV 
 678'<'(6,*1 
 2YHUDOO6WXG\'HVLJQDQG3ODQ 

&RQILQHPHQW5HWXUQ9LVLWVDQG)ROORZ8S 

(QGRI6WXG\'HILQLWLRQ 
 678'<3238/$7,21 
 ,QFOXVLRQ&ULWHULD 

$OO6XEMHFWV 

$GGLWLRQDO5HTXLUHPHQWVIRU6XEMHFWVZLWK5, 

$GGLWLRQDO5HTXLUHPHQWVIRU+HDOWK\6XEMHFWV 
 ([FOXVLRQ&ULWHULD 

$OO6XEMHFWV 

$GGLWLRQDO5HTXLUHPHQWVIRU6XEMHFWVZLWK5, 

$GGLWLRQDO5HTXLUHPHQWVIRU+HDOWK\6XEMHFWV 
 (DUO\7HUPLQDWLRQRI6XEMHFWVIURPWKH6WXG\ 
 6WXG\5HVWULFWLRQV 
/2;25(7&$3URWRFRODQG3URWRFRO$PHQGPHQWV


&21),'(17,$/
&$/2;25(7)LQDO3URWRFRO$PHQGPHQW-DQ

3DJH

3URKLELWLRQVDQG&RQFRPLWDQW0HGLFDWLRQ 

0HDOV 

$FWLYLW\ 
 75($70(176 
 7UHDWPHQWV$GPLQLVWHUHG 
 'RVH0RGLILFDWLRQ 
 0HWKRGRI7UHDWPHQW$VVLJQPHQW 
 %OLQGLQJ 
 7UHDWPHQW&RPSOLDQFH 
 678'<$66(660(176$1'352&('85(6 
 6FUHHQLQJ 
 6DIHW\$VVHVVPHQWV 

3K\VLFDO([DPLQDWLRQ 

9LWDO6LJQV 

(&*0RQLWRULQJ 

%RG\:HLJKW 

&OLQLFDO/DERUDWRU\7HVWV 

$GYHUVH(YHQWV 
 $GYHUVH(YHQW'HILQLWLRQ 
 0RQLWRULQJ 
 5HSRUWLQJ 
 6HULRXV$GYHUVH(YHQW 
 3KDUPDFRNLQHWLF$VVHVVPHQWV 

%ORRG6DPSOLQJDQG3URFHVVLQJ 

3KDUPDFRNLQHWLF3DUDPHWHUV 

8ULQH&ROOHFWLRQ 

8ULQH3KDUPDFRNLQHWLF3DUDPHWHUV 

$QDO\WLFDO0HWKRG 
 %ORRG9ROXPH'UDZQIRU6WXG\$VVHVVPHQWV 
 67$7,67,&$/&216,'(5$7,216 
 6DPSOH6L]H'HWHUPLQDWLRQ 
 3RSXODWLRQIRU$QDO\VHV 
 6WDWLVWLFDO$QDO\VHV 

3KDUPDFRNLQHWLF$QDO\VHV 
 'HVFULSWLYH6WDWLVWLFV 
 $QDO\VLVRI&RYDULDQFH 
 5DWLRVDQG&RQILGHQFH,QWHUYDOV 
/2;25(7&$3URWRFRODQG3URWRFRO$PHQGPHQWV


&21),'(17,$/
&$/2;25(7)LQDO3URWRFRO$PHQGPHQW-DQ

3DJH
 $GGLWLRQDO$QDO\VLV 
 3URWHLQ%LQGLQJ 

6DIHW\$QDO\VHV 
 678'<$'0,1,675$7,21 
 (WKLFV 

,QVWLWXWLRQDO5HYLHZ%RDUG 

(WKLFDO&RQGXFWRIWKH6WXG\ 

6XEMHFW,QIRUPDWLRQDQG&RQVHQW 

&RQILGHQWLDOLW\ 
 7HUPLQDWLRQRIWKH6WXG\ 
 'DWD4XDOLW\$VVXUDQFH 
 'LUHFW$FFHVVWR6RXUFH'DWD'RFXPHQWV 
 'UXJ6XSSOLHV3DFNDJLQJDQG/DEHOLQJ 
 'DWD+DQGOLQJDQG5HFRUG.HHSLQJ 
 5HSRUW)RUPDW 
 3XEOLFDWLRQ3ROLF\ 
 5()(5(1&(6 

/,672)7$%/(6
7DEOH 
%ORRG9ROXPHGXULQJWKH6WXG\ 

/2;25(7&$3URWRFRODQG3URWRFRO$PHQGPHQWV


&21),'(17,$/
&$/2;25(7)LQDO3URWRFRO$PHQGPHQW-DQ

3DJH

6<1236,6
&RPSRXQG
/2;2
&OLQLFDO,QGLFDWLRQ
&DQFHU
6WXG\3KDVHDQG7\SH
3KDVH±5HQDO,PSDLUPHQW5,
6WXG\2EMHFWLYHV
3ULPDU\
7RFRPSDUHWKHSODVPDSKDUPDFRNLQHWLFV3.RI/2;2
IROORZLQJDGPLQLVWUDWLRQLQVXEMHFWVZLWKYDU\LQJGHJUHHVRI5,
LHPLOGPRGHUDWHDQGVHYHUHFRPSDUHGWRKHDOWK\PDWFKHG
FRQWUROVXEMHFWV
6HFRQGDU\
7RHYDOXDWHWKHVDIHW\DQGWROHUDELOLW\RI/2;2LQVXEMHFWV
ZLWK5,
7RFRPSDUHWKHXULQH3.RI/2;2IROORZLQJ
DGPLQLVWUDWLRQLQVXEMHFWVZLWKYDU\LQJGHJUHHVRI5,LHPLOG
PRGHUDWHDQGVHYHUHFRPSDUHGWRKHDOWK\PDWFKHGFRQWURO
VXEMHFWV
6XPPDU\RI6WXG\
'HVLJQ
7KLVLVDQRQUDQGRPL]HGRSHQODEHOSDUDOOHOFRKRUW
PXOWLSOHVLWHVLQJOHGRVHVWXG\WRFRPSDUHWKH3.RI
/2;2LQVXEMHFWVZLWKPLOGPRGHUDWHDQGVHYHUH5,
FRPSDUHGWRKHDOWK\PDWFKHGFRQWUROVXEMHFWVPDWFKHGIRU
DJHERG\PDVVLQGH[%0,DQGVH[
2Q'D\VXEMHFWVZLOOUHFHLYHDVLQJOHRUDOGRVHRI/2;2
3ODVPDDQGXULQHVDPSOHVLISRVVLEOHZLOOEHWDNHQSUHGRVH
DQGWKURXJKKRXUVSRVWGRVHIRUKHDOWK\VXEMHFWVDQGVXEMHFWV
ZLWK5,IRU/2;23.DVVHVVPHQW
$VVLJQPHQWWRDUHQDOIXQFWLRQSDQHOZLOOEHDVIROORZV
&RKRUW
5HQDO)XQFWLRQ
H*)5P/PLQP

+HDOWK\0DWFKHG&RQWURO


0LOG
H*)5

0RGHUDWH
H*)5

6HYHUHQRWRQGLDO\VLV

/2;25(7&$3URWRFRODQG3URWRFRO$PHQGPHQWV


&21),'(17,$/
&$/2;25(7)LQDO3URWRFRO$PHQGPHQW-DQ

3DJH

(VWLPDWHGJORPHUXODUILOWUDWLRQUDWHH*)5EDVHGRQ
0RGLILFDWLRQRI'LHWLQ5HQDO'LVHDVH0'5'HTXDWLRQDW
6FUHHQLQJ%DVHOLQHH*)5ZLOOEHREWDLQHGE\WDNLQJWKHPHDQ
RIWKHH*)5REWDLQHGIURP6FUHHQLQJDQGIURPKLVWRULFDOYDOXHV
ZLWKLQDPRQWKSHULRGIURP6FUHHQLQJ,IQRKLVWRULFDO
PHDVXUHPHQWLVDYDLODEOHDVHFRQG6FUHHQLQJH*)5VDPSOHZLOO
EHWDNHQGXULQJWKH6FUHHQLQJSHULRGtGD\VDSDUWDQGWKH
PHDQRIWKHWZRYDOXHVZLOOEHXVHGDVWKH%DVHOLQHH*)5IRU
FRKRUWDVVLJQPHQW
)RUKHDOWK\PDWFKHGFRQWUROVXEMHFWVDVLQJOHDVVHVVPHQWRI
DFWXDOFUHDWLQLQHFOHDUDQFHFRPSXWHGRYHUDKRXUXULQH
FROOHFWLRQPD\EHXVHGLQSODFHRIWKH0'5'HTXDWLRQDWWKH
3ULQFLSDO,QYHVWLJDWRU3,¶VGLVFUHWLRQ

7KHFOLQLFDOUHVHDUFKXQLWV&58VZLOOFRQWDFWDOOVXEMHFWVZKR
UHFHLYHG/2;2LQFOXGLQJVXEMHFWVZKRWHUPLQDWHIURPWKH
VWXG\HDUO\DWWKH(QGRI6WXG\(26DVGHILQHGLQWKH6WXG\
(YHQWV)ORZFKDUW6HFWLRQE\DIROORZXSSKRQHFDOO)8
7KH(26)8SKRQHFDOOZLOOEHSHUIRUPHGGD\VGD\V
DIWHUWKH(QGRI7UHDWPHQW(27YLVLWRU(DUO\7HUPLQDWLRQ
(7YLVLWDVGHILQHGLQWKH6WXG\(YHQWV)ORZFKDUW6HFWLRQ
WRGHWHUPLQHLIDQ\VHULRXVDGYHUVHHYHQW6$(RUVWXG\GUXJ
UHODWHGDGYHUVHHYHQW$(KDVRFFXUUHGVLQFHWKH(27RU(7
YLVLW
1XPEHURI6XEMHFWV
8SWRDGXOWPDOHDQGIHPDOHVXEMHFWVZLOOEHHQUROOHG
6XEMHFWVZLWK5,
8SWRUHQDOO\LPSDLUHGVXEMHFWVZLOOEHHQUROOHGDVIROORZV
8SWRHLJKWVXEMHFWVZLWKPLOG5,
8SWRHLJKWVXEMHFWVZLWKPRGHUDWH5,
8SWRHLJKWVXEMHFWVZLWKVHYHUH5,
+HDOWK\0DWFKHG&RQWURO6XEMHFWV
8SWRKHDOWK\VXEMHFWVZLOOEHHQUROOHGWRHQVXUHWKDWHDFK
VXEMHFWLQWKH5,FRKRUWVLVPDWFKHGZLWKDKHDOWK\VXEMHFWEDVHG
RQVH[DJHr\HDUVDQG%0,$QLQGLYLGXDO
KHDOWK\VXEMHFWPD\EHPDWFKHGWRRQHVXEMHFWIURPHDFKRIWKH
5,FRKRUWVPLOGPRGHUDWHDQGVHYHUHSURYLGLQJPDWFKLQJ
FULWHULRQDUHPHWDQGVXFKWKDWHDFKKHDOWK\VXEMHFWPD\EH
PDWFKHGWRDPD[LPXPRIVXEMHFWVZLWK5,+RZHYHUQR
KHDOWK\VXEMHFWFDQEHPDWFKHGWRPRUHWKDQRQHVXEMHFWLQDQ\
VLQJOH5,FRKRUW
/2;25(7&$3URWRFRODQG3URWRFRO$PHQGPHQWV


&21),'(17,$/
&$/2;25(7)LQDO3URWRFRO$PHQGPHQW-DQ

3DJH
'RVDJH'RVDJH)RUP
5RXWHDQG'RVH
5HJLPHQ
6XEMHFWVZLOOUHFHLYHDVLQJOHRUDOGRVHRIPJ/2;2
[PJFDSVXOHVRQ'D\IROORZLQJDIDVWRIDWOHDVW
KRXUVIURPIRRGQRWLQFOXGLQJZDWHUZLWKDSSUR[LPDWHO\
P/RIZDWHU6XEMHFWVZLOOUHPDLQIDVWHGIURPIRRGQRW
LQFOXGLQJZDWHUIRUDWOHDVWKRXUSRVWGRVH
.H\$VVHVVPHQWV
3KDUPDFRNLQHWLFV
7KHIROORZLQJ3.SDUDPHWHUVZLOOEHFDOFXODWHGIRU/2;2
LQSODVPDDVDSSURSULDWH$8&W$8&$8&LQI
$8&H[WUDS&/)&PD[7PD[.HOWòDQG9])
7KHIROORZLQJSKDUPDFRNLQHWLFSDUDPHWHUVZLOOEHFDOFXODWHGIRU
/2;2LQXULQHDVDSSURSULDWHLQDOOFRKRUWV$H)HDQG
&/U
6DIHW\
$OOVDIHW\DVVHVVPHQWVLQFOXGLQJ$(VDQG6$(VYLWDOVLJQ
PHDVXUHPHQWVFOLQLFDOODERUDWRU\LQFOXGLQJFUHDWLQHNLQDVH
UHVXOWVSK\VLFDOH[DPLQDWLRQUHVXOWVFRQFRPLWDQWPHGLFDWLRQV
DQG(&*LQWHUSUHWDWLRQVZLOOEHWDEXODWHGDQGVXPPDUL]HG
ZKHUHSRVVLEOHXVLQJGHVFULSWLYHPHWKRGRORJ\E\UHQDOIXQFWLRQ
JURXSDQGDVQHHGHGE\WLPHSRLQW

/2;25(7&$3URWRFRODQG3URWRFRO$PHQGPHQWV


&21),'(17,$/
&$/2;25(7)LQDO3URWRFRO$PHQGPHQW-DQ

3DJH

678'<(9(176)/2:&+$57
6WXG\3URFHGXUHD
6FUE
6WXG\'D\V
)8
(26H
'D\Vĺ










&OLQLF'LVFKDUJH
(27RU(7G

+RXUVĺ
&,F












 

  





$GPLQLVWUDWLYH3URFHGXUHV
























,QIRUPHG&RQVHQW
;























,QFOXVLRQ([FOXVLRQ&ULWHULD
;
;






















0HGLFDO+LVWRU\
;























6DIHW\(YDOXDWLRQV
























)XOO3K\VLFDO([DPLQDWLRQI
;





















;

$EEUHYLDWHG3K\VLFDO([DPLQDWLRQI

;




;

















+HLJKW
;























:HLJKW
;
;




















;

$VVHVVPHQWRI5HQDO)XQFWLRQ
;























/HDG6DIHW\(&*J
;
;




















;

9LWDO6LJQV+5%3DQG55K
;
;
;L





;


;



;

;
;
;
;
;
;

9LWDO6LJQV7
;
;
;L



















;

+HP6HUXP&KHPM&RDJDQG8$N
;
;













;



;


;

7K\URLG6WLPXODWLQJ+RUPRQH
;























+E$F
;























6HUXP3UHJ7HVWƂRQO\
;
;




















;

6HUXP)6+303ƂRQO\
;























8ULQHRU6DOLYD'UXJ6FUHHQ
;
;






















8ULQHRU%UHDWK$OFRKRO6FUHHQ
;
;






















8ULQH&RWLQLQH+HDOWK\6XEMHFWV2QO\
;
;






















+,9+HSDWLWLV6FUHHQ
;























$(0RQLWRULQJO
;
;
&RQ0HGV0RQLWRULQJ
;
;
6WXG\'UXJ$GPLQLVWUDWLRQ
3KDUPDFRNLQHWLFV
























/2;2$GPLQLVWUDWLRQ


;





















%ORRGIRU/2;2P
/2;25(7&$3URWRFRODQG3URWRFRO$PHQGPHQWV

&&,

&21),'(17,$/
&$/2;25(7)LQDO3URWRFRO$PHQGPHQW-DQ

3DJH
6WXG\3URFHGXUHD
6FUE
6WXG\'D\V
)8
(26H
'D\Vĺ










&OLQLF'LVFKDUJH
(27RU(7G

+RXUVĺ
&,F












 

  




%ORRGIRU/2;23URWHLQ%LQGLQJQ
8ULQHIRU/2;2R
2WKHU3URFHGXUHV
























&RQILQHPHQWLQWKH&58T

;

9LVLW
;























)RRWQRWHV
D
)RUGHWDLOVRQ3URFHGXUHVUHIHUWR6HFWLRQ
E
:LWKLQGD\VSULRUWR/2;2DGPLQLVWUDWLRQ
F
6XEMHFWVZLOOEHDGPLWWHGWRWKH&58DW&,'D\DWWKHWLPHLQGLFDWHGE\WKH&58
G
7REHSHUIRUPHGDW(27RUDW(7(27LVGHILQHGDVZKHQWKHVXEMHFWLVUHOHDVHGIURPWKH&58IROORZLQJFRPSOHWLRQRIDOODVVHVVPHQWVWKURXJK'D\(7LVGHILQHGDV
ZKHQWKHVXEMHFWLVUHOHDVHGIURPWKH&58LIWKHVXEMHFWWHUPLQDWHVWKHVWXG\HDUO\9LWDO6LJQ(&*DQG6DIHW\ODERUDWRU\UHVXOWVIRUVHUXPFKHPLVWU\KHPDWRORJ\
FRDJXODWLRQDQGXULQDO\VLVDUHWREHDYDLODEOHIRUUHYLHZE\WKH3,RUGHVLJQHHSULRUWRVXEMHFWUHOHDVHIURPWKH&58DWWKH(27RU(7YLVLW
H
7REHSHUIRUPHGGD\VGD\VIROORZLQJ(27RU(7(QGRI6WXG\(26LVGHILQHGDVZKHQWKH&58FRQWDFWVWKHVXEMHFWE\SKRQHFDOOGD\VGD\VDIWHU(27
RU(7YLVLW WRGHWHUPLQHLIDQ\ 6$(RUVWXG\ GUXJ UHODWHG$( KDV RFFXUUHG VLQFH WKH ODVW VWXG\ YLVLW $OO VXEMHFWVZKRUHFHLYHG/2;2LQFOXGLQJVXEMHFWVZKR
WHUPLQDWHWKHVWXG\HDUO\ZLOOEHFRQWDFWHG
I
6\PSWRPGULYHQSK\VLFDOH[DPLQDWLRQVPD\EHSHUIRUPHGDWRWKHUWLPHVDWWKH3,¶VRUGHVLJQHH¶VGLVFUHWLRQ6FKHGXOHGDEEUHYLDWHGSK\VLFDOH[DPLQDWLRQVZLOOLQFOXGH
DWDPLQLPXPH[DPLQDWLRQRIUHVSLUDWRU\FDUGLRYDVFXODUDQGJDVWURLQWHVWLQDOV\VWHPVZLWKWKHRSWLRQIRUIXUWKHUH[DPLQDWLRQRIDGGLWLRQDOV\VWHPVDVQHFHVVDU\EDVHGRQ
UHSRUWHGV\PSWRPV$(V
J
6XEMHFWVDUHWREHVXSLQHIRUPLQXWHVSULRUWR(&*DVVHVVPHQW(&*VZLOOEHREWDLQHGSULRUWRDQGDVFORVHDVSRVVLEOHWRWKHVFKHGXOHGEORRGGUDZVLIVFKHGXOHGDWWKH
VDPHWLPH
K
9LWDOVLJQV+5%3DQG55ZLOOEHREWDLQHGDW6FUHHQLQJDQG&,'D\SUHGRVHDWKRXUVPLQXWHVDQGKRXUVPLQXWHVSRVWGRVHRQ'D\DQGRQFH
GDLO\WKURXJK(27RU(79LWDOVLJQPHDVXUHPHQWVVKRXOGEHFDUULHGRXWSULRUWRDQGDVFORVHDVSRVVLEOHWRKDYLQJEORRGGUDZQ%3DQG+5ZLOOEHPHDVXUHGXVLQJWKH
VDPHDUPIRUHDFKUHDGLQJ6XEMHFWVDUHWREHVXSLQHIRUPLQXWHVSULRUWRYLWDOVLJQVDVVHVVPHQWV
L
7REHSHUIRUPHGZLWKLQKRXUVSULRUWRGRVLQJRQ'D\
M
6DPSOHVIRUVHUXPFKHPLVWU\ZLOOEHREWDLQHGIROORZLQJDIDVWRIDWOHDVWKRXUVDW6FUHHQLQJDQGDW&,'D\DWRWKHUVFKHGXOHGWLPHVVHUXPFKHPLVWU\WHVWVZLOOEH
SHUIRUPHGDIWHUDWOHDVWDQKRXUIDVW+RZHYHULQFDVHRIGURSRXWVRUUHFKHFNVVXEMHFWVPD\QRWKDYHIDVWHGIRURUKRXUVSULRUWRWKHWLPHWKDWWKHVHUXPFKHPLVWU\
VDPSOHLVWDNHQ
N
)RUVXEMHFWVZKRPD\EHDQXULFXULQHVDPSOHVIRUXULQDO\VLVZLOOQRWEHFROOHFWHG
/2;25(7&$3URWRFRODQG3URWRFRO$PHQGPHQWV

&&,

&21),'(17,$/
&$/2;25(7)LQDO3URWRFRO$PHQGPHQW-DQ

3DJH
O
$(VDQG6$(VZLOOEHUHFRUGHGEHJLQQLQJDWLQIRUPHGFRQVHQW$(VZLOOEHUHFRUGHGWKURXJKRXWWKHVWXG\LHIURPVLJQLQJRIWKH,&)XQWLO(26RU(7LIWKHVXEMHFW
GLVFRQWLQXHVIURPWKHVWXG\DQGGRHVQRWFRPSOHWHDIROORZXSFDOOHLWKHUDVVXEMHFWPHGLFDOKLVWRU\LIWKHHYHQWLVUHSRUWHGDVEHJLQQLQJSULRUWRVLJQLQJRIWKH,&)RULI
WKHHYHQWRFFXUVSULRUWRVWXG\GUXJDGPLQLVWUDWLRQRQ'D\DQGLVDVVHVVHGDVQRWUHODWHGWRVWXG\SURFHGXUHVE\WKH3,>RUGHVLJQHH@RUDV$(VLIWKHHYHQWRFFXUVDIWHU
VLJQLQJRIWKH,&)EXWSULRUWRVWXG\GUXJDGPLQLVWUDWLRQRQ'D\DQGLVDVVHVVHGDVUHODWHGWRVWXG\SURFHGXUHVE\WKH3,>RUGHVLJQHH@RULIWKHHYHQWRFFXUVDIWHUVWXG\
GUXJDGPLQLVWUDWLRQRQ'D\WKURXJK(27RU(7UHJDUGOHVVRIUHODWLRQVKLSWRVWXG\GUXJ)URP(27RU(7WKURXJK(26RQO\$(VDVVHVVHGDVUHODWHGWRVWXG\GUXJE\
WKH3,RUGHVLJQHHDUHWREHUHSRUWHG$OO6$(VWKDWGHYHORSIURPWKHWLPHRI,&)VLJQLQJXQWLO(26RU(7LIWKHVXEMHFWGLVFRQWLQXHVIURPWKHVWXG\DQGGRHVQRW
FRPSOHWHDIROORZXSFDOODUHWREHUHSRUWHG
S
3ULRUWRGRVLQJ
T
6XEMHFWVZLOOEHFRQILQHGWRWKH&58XQWLOWKHFRPSOHWLRQRIKRXUEORRGGUDZDQGRU(27VWXG\SURFHGXUHVRU(7VWXG\SURFHGXUHV

$EEUHYLDWLRQV ܲ )HPDOHV $( $GYHUVH HYHQWV %3 %ORRG SUHVVXUH &, &KHFNLQ &KHP &KHPLVWU\ &RDJ   FRDJXODWLRQ &RQ0HGV &RQFRPLWDQW PHGLFDWLRQ
&58 &OLQLFDOUHVHDUFKXQLW(&* (OHFWURFDUGLRJUDPH*)5 HVWLPDWHGJORPHUXODUILOWUDWLRQUDWH(26 (QGRI6WXG\(27 (QGRI7UHDWPHQW(7 HDUO\WHUPLQDWLRQ
)6+ )ROOLFOHVWLPXODWLQJKRUPRQH)8 )ROORZXS+HP +HPDWRORJ\+,9 +XPDQLPPXQRGHILFLHQF\YLUXV+5 +HDUWUDWH,&) ,QIRUPHGFRQVHQWIRUP3, 3ULQFLSDO
,QYHVWLJDWRU 303 3RVWPHQRSDXVDO 3UHJ 3UHJQDQF\ 5,   5HQDO LPSDLUPHQW 55 5HVSLUDWRU\ UDWH 6$(   VHULRXV DGYHUVH HYHQW 6FU 6FUHHQLQJ 7 7HPSHUDWXUH
8$ 8ULQDO\VLV

/2;25(7&$3URWRFRODQG3URWRFRO$PHQGPHQWV

&&,

&21),'(17,$/
&$/2;25(7)LQDO3URWRFRO$PHQGPHQW-DQ

3DJH

$%%5(9,$7,216
a
$SSUR[LPDWHO\
ȝ0
0LFURPRODU
$'/
$FWLYLWLHVRI'DLO\/LYLQJ
$(
$GYHUVHHYHQW
$H
7RWDODPRXQWRIGUXJH[FUHWHGLQWKHXULQH
$/3
$ONDOLQHSKRVSKDWDVH
$/7
$ODQLQHDPLQRWUDQVIHUDVH
$1&29$
$QDO\VLVRIFRYDULDQFH
$67
$VSDUWDWHDPLQRWUDQVIHUDVH
$8&
$UHDXQGHUWKHFRQFHQWUDWLRQWLPHFXUYH
$8&X
$UHDXQGHUWKHFRQFHQWUDWLRQWLPHFXUYHIRUXQERXQGGUXJ
$8&
7KHDUHDXQGHUWKHFRQFHQWUDWLRQWLPHFXUYHIURPWLPHWR
+RXU
$8&H[WUDS
3HUFHQWRI$8&LQIH[WUDSRODWHG
$8&W
$UHDXQGHUWKHFRQFHQWUDWLRQWLPHFXUYHIURPWLPHWRWKHODVW
REVHUYHGQRQ]HURFRQFHQWUDWLRQW
$8&LQI
$UHDXQGHUWKHFRQFHQWUDWLRQWLPHFXUYHIURPWLPH
H[WUDSRODWHGWRLQILQLW\
$9
$WULRYHQWULFXODU
%3
%ORRGSUHVVXUH
%,'
7ZLFHGDLO\
%SP
%HDWVSHUPLQXWH
%0,
%RG\PDVVLQGH[
&
'HJUHHV&HOVLXV
&)5
&RGHRI)HGHUDO5HJXODWLRQV
&,
&RQILGHQFHLQWHUYDO
&/)
$SSDUHQWWRWDOSODVPDFOHDUDQFHDIWHURUDOH[WUDYDVFXODU
DGPLQLVWUDWLRQ
&/U
5HQDOFOHDUDQFH
&/X)
$SSDUHQWWRWDOSODVPDFOHDUDQFHDIWHURUDOH[WUDYDVFXODU
DGPLQLVWUDWLRQIRUXQERXQGGUXJ
&PD[
0D[LPXPREVHUYHGFRQFHQWUDWLRQ
/2;25(7&$3URWRFRODQG3URWRFRO$PHQGPHQWV


&21),'(17,$/
&$/2;25(7)LQDO3URWRFRO$PHQGPHQW-DQ
3DJH
&PD[X
0D[LPXPREVHUYHGFRQFHQWUDWLRQRIXQERXQGGUXJ
&.
&UHDWLQHNLQDVH
&5)
&DVHUHSRUWIRUP
&58
&OLQLFDO5HVHDUFK8QLW
&7&$(
&RPPRQ7HUPLQRORJ\&ULWHULDIRU$GYHUVH(YHQWV
&<3
&\WRFKURPH3
'/7
'RVHOLPLWLQJWR[LFLW\
H*)5
(VWLPDWHGJORPHUXODUILOWUDWLRQUDWH
(&*
(OHFWURFDUGLRJUDP
(26
(QGRIVWXG\
(27
(QGRIWUHDWPHQW
(65'
(QGVWDJHUHQDOGLVHDVH
(7
(DUO\WHUPLQDWLRQ
)'$
)RRGDQG'UXJ$GPLQLVWUDWLRQ
)H
)UDFWLRQRIGUXJH[FUHWLRQ
)6+
)ROOLFOHVWLPXODWLQJKRUPRQH
)X
8QERXQGIUDFWLRQRIGUXJLQSODVPD
*
*UDP
*&3
*RRG&OLQLFDO3UDFWLFH
*/3
*RRG/DERUDWRU\3UDFWLFH
+%V$J
+HSDWLWLV%VXUIDFHDQWLJHQ
+&9
+HSDWLWLV&YLUXV
K(5*
+XPDQHWKHUDJRJRUHODWHGJHQH
+,9
+XPDQLPPXQRGHILFLHQF\YLUXV
,%
,QYHVWLJDWRU¶V%URFKXUH
,&
,QKLELWRU\FRQFHQWUDWLRQDW
,&)
,QIRUPHG&RQVHQW)RUP
,&+
,QWHUQDWLRQDO&RXQFLORQ+DUPRQL]DWLRQ
,1'
,QYHVWLJDWLRQDO1HZ'UXJ
,5%
,QVWLWXWLRQDO5HYLHZ%RDUG
,8'
,QWUDXWHULQHGHYLFH
.HO
$SSDUHQWWHUPLQDOHOLPLQDWLRQUDWHFRQVWDQW
/2;25(7&$3URWRFRODQG3URWRFRO$PHQGPHQWV


&21),'(17,$/
&$/2;25(7)LQDO3URWRFRO$PHQGPHQW-DQ

3DJH
.J
.LORJUDP
/)7
/LYHUIXQFWLRQWHVW
/60V
/HDVWVTXDUHVPHDQV
P
0HWHUVVTXDUHG
0'5'
0RGLILFDWLRQRI'LHWLQ5HQDO'LVHDVH
0HG'5$
0HGLFDO'LFWLRQDU\IRU5HJXODWRU\$FWLYLWLHV
0J
0LOOLJUDP
0LQ
0LQLPXP
P/
0LOOLOLWHU
PP+J
0LOOLPHWHURIPHUFXU\
0VHF
0LOOLVHFRQG
1&,
1DWLRQDO&DQFHU,QVWLWXWH
1R
1XPEHU
3&5
3RO\PHUDVHFKDLQUHDFWLRQ
3,
3ULQFLSDO,QYHVWLJDWRU
3.
3KDUPDFRNLQHWLFV
4$
4XDOLW\$VVXUDQFH
47F
&RUUHFWHGYDOXHRIWKHLQWHUYDOEHWZHHQWKH4DQG7ZDYHVRQWKH
HOHFWURFDUGLRJUDPWUDFLQJ
56,
5HIHUHQFH6DIHW\,QIRUPDWLRQ
5,
5HQDOLPSDLUPHQW
5(7
5HDUUDQJHGGXULQJWUDQVIHFWLRQ
6$(
6HULRXVDGYHUVHHYHQW
6$3
6WDWLVWLFDODQDO\VLVSODQ
686$5
6XVSHFWHGXQH[SHFWHGVHULRXVDGYHUVHUHDFWLRQ
7($(
7UHDWPHQWHPHUJHQWDGYHUVHHYHQWV
7PD[
7LPHWRUHDFKPD[LPXPREVHUYHGFRQFHQWUDWLRQ
Wò
$SSDUHQWWHUPLQDOHOLPLQDWLRQKDOIOLIH
86
8QLWHG6WDWHV
86$
8QLWHG6WDWHVRI$PHULFD
9])
$SSDUHQWYROXPHRIGLVWULEXWLRQGXULQJWKHWHUPLQDOHOLPLQDWLRQ
SKDVHDIWHURUDOH[WUDYDVFXODUDGPLQLVWUDWLRQ
:+2
:RUOG+HDOWK2UJDQL]DWLRQ
/2;25(7&$3URWRFRODQG3URWRFRO$PHQGPHQWV


&21),'(17,$/
&$/2;25(7)LQDO3URWRFRO$PHQGPHQW-DQ

3DJH

,1752'8&7,21

%DFNJURXQG

/2;2
/2;2LVVPDOOPROHFXOHDQGDVHOHFWLYHLQKLELWRURIWKHUHDUUDQJHGGXULQJWUDQVIHFWLRQ
5(7UHFHSWRUW\URVLQHNLQDVHGHVLJQHGWRFRPSHWLWLYHO\EORFNWKHDGHQRVLQHWULSKRVSKDWH
ELQGLQJVLWHRIWKHNLQDVH/2;2ZDVDWOHDVWIROGPRUHVHOHFWLYHIRU5(7WKDQIRU
RIRWKHUNLQDVHVWHVWHGLQDODUJHLQYLWURVFUHHQ&RQVLVWHQWZLWKVXFKDKLJKGHJUHH
RIVHOHFWLYLW\/2;2FDXVHGVLJQLILFDQWF\WRWR[LFLW\LQKXPDQFDQFHUFHOOOLQHVWKDW
KDUERUHGHQGRJHQRXVFOLQLFDOO\UHOHYDQW5(7JHQHDOWHUDWLRQVEXWZDVPXFKOHVVF\WRWR[LF
DJDLQVWKXPDQFDQFHUFHOOOLQHVZLWKRXW5(7DOWHUDWLRQV3RWHQWDQGVHOHFWLYHLQKLELWLRQRI
5(7PD\SURYLGHFOLQLFDOEHQHILWWRVXEMHFWVZLWKPDOLJQDQFLHVGXHWRRQFRJHQLFDOWHUDWLRQV
LQ5(7RUZLWKRWKHUPHFKDQLVPVRILQFUHDVHG5(7DFWLYLW\
1RQFOLQLFDO
&DUGLDFVDIHW\RI/2;2ZDVHYDOXDWHGLQD*RRG/DERUDWRU\3UDFWLFH*/3LQYLWUR
DVVD\IRUKXPDQHWKHUDJRJRUHODWHGJHQHK(5*DFWLYLW\LQD*/3LQYLYRVWXG\LQ
FRQVFLRXVWHOHPHWU\LQVWUXPHQWHGPLQLSLJVDQGLQD*/3GD\UHSHDWGRVHWR[LFRORJ\
VWXG\ZLWK(&*PRQLWRULQJLQPLQLSLJV/2;2KDGDLQKLELWRU\FRQFHQWUDWLRQ


WKH*/3K(5*DVVD\ZKLFKLVDSSUR[LPDWHO\

WKDQWKHSUHGLFWHGPD[LPXPXQERXQGFRQFHQWUDWLRQDWWKHGRVHRIPJDQGPJ
UHVSHFWLYHO\WZLFHGDLO\%,'7KHUHZHUHQR/2;2UHODWHGFKDQJHVLQDQ\
FDUGLRYDVFXODUHQGSRLQWVLQFOXGLQJ47LQWHUYDOFRUUHFWHGIRUKHDUWUDWH47FDWGRVHVXSWR
PJNJLQWKHVDIHW\SKDUPDFRORJ\FDUGLRYDVFXODUVWXG\LQFRQVFLRXVPLQLSLJV
)XUWKHUPRUHWKHUHZHUHQR/2;2UHODWHG(&*FKDQJHVLQWKHGD\UHSHDWGRVH
WR[LFLW\VWXG\LQPLQLSLJVDWWKHKLJKGRVHRIPJNJ7RJHWKHUWKHVHGDWDLQGLFDWHWKDW
/2;2KDVDORZULVNRILQGXFLQJGHOD\HGYHQWULFXODUUHSRODUL]DWLRQSURORQJDWLRQRIWKH
47FLQWHUYDODQGXQVWDEOHDUUK\WKPLDV
$GPLQLVWUDWLRQRI/2;2DWVLQJOHGRVHVXSWRPJNJLQPDOHUDWVKDGQRHIIHFWRQ
UHVSLUDWRU\IXQFWLRQ
3RWHQWLDOHIIHFWVRI/2;2RQWKHFHQWUDOQHUYRXVV\VWHPZHUHHYDOXDWHGDVSDUWRIWKH
*/3GD\UHSHDWGRVHVWXG\LQUDWVLQIXQFWLRQDOREVHUYDWLRQDOEDWWHU\WHVWVDQGORFRPRWRU
DFWLYLW\DVVHVVPHQWV)LQGLQJVZHUHOLPLWHGWRDQLPDOVUHFHLYLQJWKHKLJKGRVHRQZHHNRI
WKHGRVLQJSKDVHDQGZHUHDWWULEXWHGWRSRRUJHQHUDOERG\FRQGLWLRQDQGZHLJKWFKDQJHV
DVVRFLDWHGZLWK/2;2DGPLQLVWUDWLRQUDWKHUWKDQVSHFLILFQHXURORJLFDOHIIHFWV
$GGLWLRQDOO\QRPLFURVFRSLFDEQRUPDOLWLHVLQQHXURQDOWLVVXHVZHUHIRXQG
,QWR[LFRORJ\VWXGLHVRI/2;2WKDWZHUHFRQGXFWHGLQWKHUDWDQGPLQLSLJWKHSULPDU\
SDWKRORJLFILQGLQJVIRUERWKVSHFLHVZHUHLQWKHWRQJXHSDQFUHDVERQHPDUURZDQG
O\PSKRLGWLVVXHVZKLOHWKHJDVWURLQWHVWLQDOWUDFWDQGRYDULHVZHUHWDUJHWWLVVXHVLQPLQLSLJ
2WKHUWDUJHWWLVVXHVLGHQWLILHGLQWKHUDWLQFOXGHGPXOWLWLVVXHPLQHUDOL]DWLRQSK\VHDO
FDUWLODJHLQFLVRUWHHWKOXQJ%UXQQHU¶VJODQGDQGSRVVLEO\OLYHU$VVHVVPHQWRIGRVHV
/2;25(7&$3URWRFRODQG3URWRFRO$PHQGPHQWV

&&,
&&,

&21),'(17,$/
&$/2;25(7)LQDO3URWRFRO$PHQGPHQW-DQ

3DJH
DVVRFLDWHGZLWKPRULEXQGLW\GHDWKUHYHDOHGDVWHHSGRVHUHVSRQVHFXUYHIRUERWKVSHFLHV
/2;2ZDVQRWPXWDJHQLFLQWKH*/3EDFWHULDOPXWDWLRQDVVD\:KHQHYDOXDWHGLQWZR
LQYLWURDVVD\V/2;2ZDVQRWJHQRWR[LF/2;2ZDVQRWIRXQGWREHSKRWRWR[LF
ZKHQHYDOXDWHGLQDQLQYLWURQHXWUDOUHGXSWDNHSKRWRWR[LFLW\DVVD\
%DVHGRQSUHFOLQLFDOSKDUPDFRORJ\H[SHULPHQWVZLWKKXPDQFDQFHUFHOOVLQYLWURDQGLQ
PXULQH[HQRJUDIWPRGHOVPHDQLQJIXOLQKLELWLRQRI5(7LQWXPRUVLVH[SHFWHGWREH
DFKLHYDEOHZLWKRUDOGRVLQJUHJLPHQV

%DVHGRQWKHQRQFOLQLFDOSURILOHLQFOXGLQJUHVXOWVIURPDQLPDOWR[LFRORJ\VWXGLHVWKHRUHWLFDO
ULVNVRIKXPDQH[SRVXUHWR/2;2LQFOXGHWKHIROORZLQJORVVRIDSSHWLWHGHFUHDVHLQ
ERG\ZHLJKWLQFUHDVHLQWRWDOZKLWHEORRGFHOOVQHXWURSKLOVDQGPRQRF\WHVGHFUHDVHLQ
DOEXPLQLQFUHDVHLQJOREXOLQGHFUHDVHGDOEXPLQJOREXOLQUDWLRGHFUHDVHLQWRWDOSURWHLQ
LQFUHDVHGERG\WHPSHUDWXUHOHWKDUJ\LQFUHDVHLQFKROHVWHURODQGWULJO\FHULGHVLQFUHDVHLQ
SKRVSKRUXVFKDQJHVLQWDVWHVHQVDWLRQDQGRUGHYHORSPHQWRI[HURVWRPLDJDVWURLQWHVWLQDO
V\PSWRPVVLJQVQDXVHDYRPLWLQJORRVHVWRROVDEGRPLQDOGLVFRPIRUWGHFUHDVHVLQUHGFHOO
PDVVUHGEORRGFHOOKHPRJORELQKHPDWRFULWDQGUHWLFXORF\WHVGHFUHDVHLQSODWHOHWV
LQFUHDVHVLQOLYHUIXQFWLRQWHVWVDONDOLQHSKRVSKDWDVHDVSDUWDWHDPLQRWUDQVIHUDVHDQGDODQLQH
DPLQRWUDQVIHUDVHDQGSRVVLEOHSDQFUHDVLQMXU\
/2;2KDVEHHQJLYHQRUDOO\DQGLQWUDYHQRXVO\WRPLFHUDWVGRJVPLQLSLJVDQG
PRQNH\/2;2ZDVDEVRUEHGDQGELRDYDLODEOHLQDOOVSHFLHVWHVWHG6ROXELOLW\VWXGLHV
DQGSKDUPDFRNLQHWLFVWXGLHVVXJJHVWWKDWWKHSKDUPDFRNLQHWLFH[SRVXUHRI/2;2PD\
EHUHGXFHGE\SURWRQSXPSLQKLELWRUVDQGRWKHUDQWDFLGV/2;2DSSHDUVWREH
PHWDEROL]HGSULPDULO\E\F\WRFKURPHS&<3$EXWDWWKHUDSHXWLFDOO\UHOHYDQW
H[SRVXUHVLWLVQRWDQWLFLSDWHGWRLQKLELWRULQGXFHGUXJPHWDEROL]LQJHQ]\PHV/2;2LV
DOVRDVXEVWUDWHIRUWKH%UHDVW&DQFHU5HVLVWDQFH3URWHLQ
5HIHUWRWKH,QYHVWLJDWRU¶V%URFKXUHIRUGHWDLOHGEDFNJURXQGLQIRUPDWLRQRQ/2;2
,QYHVWLJDWRU¶V%URFKXUH
&OLQLFDO
/2;2LVFXUUHQWO\EHLQJVWXGLHGLQDQRQJRLQJJOREDO3KDVH6WXG\/2;25(7
LQSDWLHQWVZLWKDGYDQFHGVROLGWXPRUVLQFOXGLQJ5(7IXVLRQSRVLWLYH16&/&
5(7PXWDQWPHGXOODU\WK\URLGFDUFLQRPDDQGRWKHUWXPRUVZLWKLQFUHDVHG5(7DFWLYLW\
7KHVWDUWLQJGRVHRI/2;2ZDVPJRQFHGDLO\
$VRID-XO\GDWDFXWRIIGDWHVDIHW\GDWDZDVDYDLODEOHIURPSDWLHQWVZLWK
PJ%,'DVWKHKLJKHVWGRVHDGPLQLVWHUHG$VRIWKLVGDWHWZRGRVHOLPLWLQJWR[LFLWLHV
'/7VRIWXPRUO\VLVV\QGURPHDQG*UDGHWKURPERF\WRSHQLDDWWKHPJ%,'GRVH
OHYHOKDYHEHHQUHSRUWHG7KHPRVWIUHTXHQWO\UHSRUWHGWUHDWPHQWHPHUJHQWDGYHUVHHYHQWV
7($(V>!RISDWLHQWV@ZHUHGU\PRXWKUHODWHGGLDUUKHD
UHODWHGIDWLJXHUHODWHGFRQVWLSDWLRQUHODWHGKHDGDFKH
UHODWHGDQGK\SHUWHQVLRQUHODWHG5HJDUGLQJ7($(V
SDWLHQWVH[SHULHQFHG*UDGH7($(VWKDWZHUHMXGJHGE\WKH,QYHVWLJDWRUDVUHODWHGWR
VWXG\GUXJ7KUHHSDWLHQWVKDYHGLHGZLWKLQGD\VRIWKHLUODVWGRVHRIVWXG\GUXJDQG
/2;25(7&$3URWRFRODQG3URWRFRO$PHQGPHQWV

&&,

&21),'(17,$/
&$/2;25(7)LQDO3URWRFRO$PHQGPHQW-DQ

3DJH
QRGHDWKVKDYHEHHQDWWULEXWHGWRVWXG\GUXJ$VPDOOQXPEHURISDWLHQWVKDYHH[SHULHQFHG
*UDGHRUKLJKHUOLYHUIXQFWLRQWHVW/)7DEQRUPDOLWLHVFRQVLGHUHGUHODWHGWRWKHVWXG\
GUXJRFFXUULQJEHWZHHQGD\VDIWHUVWDUWLQJ/2;27KHVHFKDQJHVZHUH
DV\PSWRPDWLFDQGUHVROYHGZLWKGRVHLQWHUUXSWLRQ/2;2ZDVUHVXPHGDWDORZHUGRVH
IROORZLQJQRUPDOL]DWLRQRIWKH/)7V
$VRI$XJXVW3.GDWDZHUHDYDLODEOHIURP
SDWLHQWVIURPWKHJOREDO3KDVH
VWXG\/2;2LVDEVRUEHGDIWHURUDODGPLQLVWUDWLRQZLWKDPHGLDQWLPHWRPD[LPXP
FRQFHQWUDWLRQ7PD[RIDSSUR[LPDWHO\KRXUV$OWKRXJKWKH3.VDPSOLQJRI/2;2
ZDVQRWORQJHQRXJKWRDGHTXDWHO\FKDUDFWHUL]H$8&LQIWKHKDOIOLIHDSSHDUVWREH
KRXUV/RZFRQFHQWUDWLRQVRI/2;2ZHUHUHFRYHUHGDVXQFKDQJHGGUXJLQXULQH
LQGLFDWLQJWKDWWKHNLGQH\FRQWULEXWHVWRRYHUDOOFOHDUDQFH
$VRI6HSWHPEHU/R[R2QFRORJ\KDVLQLWLDWHG
VLQJOHSDWLHQWSURWRFROV6SHFLDO
$FFHVV6FKHPHRU7HPSRUDU\$XWKRUL]DWLRQ8VHFDVHVWRSURYLGHDFFHVVWR/2;2IRU
SDWLHQWVZLWKFOLQLFDOQHHGQRWPHHWLQJHOLJLELOLW\FULWHULDIRUWKHRQJRLQJJOREDO3KDVH
VWXG\7RGDWHQR7($(VKDYHEHHQDWWULEXWHGWRVWXG\GUXJIRUWKHVHSDWLHQWV
3UHOLPLQDU\3.GDWDDYDLODEOHIURPRQJRLQJVWXGLHV/2;25(7DQG/2;25(7
EHLQJFRQGXFWHGLQKHDOWK\VXEMHFWVLQGLFDWHWKDW/2;2KDVDQHVWLPDWHG
WHUPLQDOWòRIDSSUR[LPDWHO\KRXUVDIWHUDVLQJOHGRVH

5DWLRQDOH
 5DWLRQDOHIRUWKLV6WXG\DQG6WXG\'HVLJQ
6XEMHFWVZLWK5,PD\KDYHFRPSURPLVHGGUXJGLVSRVLWLRQGXHWRWKHLUUHQDOGLVHDVHDQG
VHYHULW\RIGLVHDVH7KHSXUSRVHRIWKLVVWXG\LVWRGHWHUPLQHWKHHIIHFWRI5,RQWKHVLQJOH
GRVH3.RI/2;2DQGLIDSSOLFDEOHSURYLGHGRVLQJUHFRPPHQGDWLRQVWRFOLQLFLDQVIRU
IXWXUHWUHDWPHQWRISDWLHQWVZLWKLPSDLUHGUHQDOIXQFWLRQ
6XEMHFWVZLWKHQGVWDJHUHQDOGLVHDVH(65'ZLWKHVWLPDWHGJORPHUXODUILOWUDWLRQUDWH
H*)5P/PLQZKRDUHQRW\HWRQKHPRGLDO\VLVDVVWDWHGLQWKH)'$*XLGDQFHIRU
,QGXVWU\3KDUPDFRNLQHWLFVLQ3DWLHQWVZLWK,PSDLUHG5HQDO)XQFWLRQ6WXG\'HVLJQ'DWD
$QDO\VLVDQG,PSDFWRQ'RVLQJDQG/DEHOLQJ0DUFKDUHDVXEMHFWSRSXODWLRQWKDWLV
HVVHQWLDOO\QRWDYDLODEOH2QFHVXEMHFWVDUHLGHQWLILHGDVKDYLQJ(65'WKH\DUHLPPHGLDWHO\
SODFHGRQGLDO\VLVDQGQRORQJHUPDWFKWKHUHTXLUHPHQWRIWKHJXLGDQFH6XEMHFWVZLWK5,
DVVHVVHGDVPLOGH*)5P/PLQPPRGHUDWH
H*)5P/PLQPDQGVHYHUHH*)5P/PLQPZLOOEH
HQUROOHGLQWKLVVWXG\DQGWKHLU3.SURILOHZLOOEHFRPSDUHGWRVXEMHFWVZLWKQRUPDOUHQDO
IXQFWLRQH*)5P/PLQP6XEMHFWVZLOOEHPDWFKHGIRUDJH%0,DQGVH[
7KHVHFRYDULDWHVZHUHVHOHFWHGDVWKH\PD\LPSDFWWKHSODVPDH[SRVXUHRI/2;2
%DVHGRQWKHSUHOLPLQDU\3.GDWDIURPRQJRLQJVWXGLHVEHLQJFRQGXFWHGLQKHDOWK\VXEMHFWV
/2;25(7DQG/2;25(7/2;2KDVDQHVWLPDWHGWHUPLQDOWòRI
DSSUR[LPDWHO\KRXUVDIWHUDVLQJOHGRVH$VDPSOLQJVFKHGXOHRIXSWRKRXUVLVXVHGWR
DFFRXQWIRUWKHSRVVLELOLW\WKDW/2;2HOLPLQDWLRQPD\EHDOWHUHGZKHQUHQDOIXQFWLRQLV
LPSDLUHG
/2;25(7&$3URWRFRODQG3URWRFRO$PHQGPHQWV

&&,
&&,

&21),'(17,$/
&$/2;25(7)LQDO3URWRFRO$PHQGPHQW-DQ

3DJH
 5DWLRQDOHIRUWKH'RVH6HOHFWLRQDQG'RVH5HJLPHQ
$VLQJOHGRVHRIPJ/2;2ZDVVHOHFWHGEHFDXVHLWLVDGRVHWKDWKDVEHHQ
DGPLQLVWHUHG%,'WRFDQFHUSDWLHQWV7KHGRVHRIPJ%,'KDVEHHQVHOHFWHGDVWKH
UHFRPPHQGHG3KDVHGRVHIRUIXUWKHUHYDOXDWLRQLQFDQFHUSDWLHQWV$VLQJOHGRVHRIPJ
VKRXOGSURYLGHVXIILFLHQWOHYHOVRI/2;2WRDVVHVVWKH3.SURSHUWLHVEHLQJLQYHVWLJDWHG
,QWHULPGDWDIURPWKHRQJRLQJVWXG\/2;25(7VKRZWKDWWKH3.RI/2;2LV
GRVHOLQHDUIURPPJ4'WKURXJKPJ%,'
$VRI-XO\GDWDFXWRIIGDWHVDIHW\GDWDZHUHDYDLODEOHIURP
SDWLHQWVZLWKGRVHV
XSWRPJ%,'PJGD\$VRIWKLVGDWH'/7VRI*UDGHWXPRUO\VLVV\QGURPH
DQG*UDGHWKURPERF\WRSHQLDDWWKHPJ%,'GRVHOHYHOKDYHEHHQUHSRUWHG
 5DWLRQDOHIRU3ULPDU\(QGSRLQWV
7KHSULPDU\3.HQGSRLQWVZLOOLQFOXGH$8&W$8&LQIDQG&PD[DVWKHVHSDUDPHWHUV
DUHWKHPRVWUHOHYDQWWRFKDUDFWHUL]HH[SRVXUHRI/2;2IROORZLQJDVLQJOHGRVHLQ
VXEMHFWVZLWK5,DQGLQKHDOWK\PDWFKHGFRQWUROVXEMHFWV

5LVNVDQGRU%HQHILWVWR6XEMHFWV
7KHGRVHRI/2;2DGPLQLVWHUHGLQWKLVVWXG\LVQRWDQWLFLSDWHGWRLQGXFHDQ\VLJQLILFDQW
ULVNRUEHQHILWWRVXEMHFWVSDUWLFLSDWLQJLQWKLVVWXG\DVLWGRHVQRWH[FHHGWKHKLJKHVWGDLO\
WRWDOGRVHVDIHO\DGPLQLVWHUHGLQWKHRQJRLQJJOREDO3KDVH6WXG\/2;25(7
>,QYHVWLJDWRU¶V%URFKXUH@
7KHVDIHW\PRQLWRULQJSUDFWLFHVHPSOR\HGE\WKLVSURWRFROLHOHDG(&*YLWDOVLJQV
FOLQLFDOODERUDWRU\WHVWV$(PRQLWRULQJDQGSK\VLFDOH[DPLQDWLRQDUHDGHTXDWHWRSURWHFW
WKHVXEMHFWV¶VDIHW\
7KHUHZLOOEHQRGLUHFWKHDOWKEHQHILWIRUVWXG\SDUWLFLSDQWVIURPUHFHLSWRIVWXG\GUXJ$Q
LQGLUHFWKHDOWKEHQHILWWRWKHKHDOWK\VXEMHFWVHQUROOHGLQWKLVVWXG\LVWKHIUHHPHGLFDOWHVWV
UHFHLYHGDW6FUHHQLQJDQGGXULQJWKHVWXG\
/2;25(7&$3URWRFRODQG3URWRFRO$PHQGPHQWV

&&,

&21),'(17,$/
&$/2;25(7)LQDO3URWRFRO$PHQGPHQW-DQ

3DJH
 2%-(&7,9(6$1'(1'32,176
 2EMHFWLYHV
3ULPDU\
7RFRPSDUHWKHSODVPD3.RI/2;2IROORZLQJDGPLQLVWUDWLRQLQVXEMHFWVZLWKYDU\LQJ
GHJUHHVRI5,LHPLOGPRGHUDWHDQGVHYHUHFRPSDUHGWRKHDOWK\PDWFKHGFRQWUROVXEMHFWV
6HFRQGDU\
7RHYDOXDWHWKHVDIHW\DQGWROHUDELOLW\RI/2;2LQVXEMHFWVZLWK5,
7RFRPSDUHWKHXULQH3.RI/2;2IROORZLQJDGPLQLVWUDWLRQLQVXEMHFWVZLWKYDU\LQJ
GHJUHHVRI5,LHPLOGPRGHUDWHDQGVHYHUHFRPSDUHGWRKHDOWK\PDWFKHGFRQWUROVXEMHFWV
 (QGSRLQWV
3KDUPDFRNLQHWLFV
7KHSODVPD3.HQGSRLQWVZLOOLQFOXGH$8&W$8&$8&LQI$8&H[WUDS&/)
&PD[7PD[.HOWòDQG9])
6DIHW\
6DIHW\HQGSRLQWVZLOOLQFOXGHOHDG(&*VSK\VLFDOH[DPLQDWLRQVYLWDOVLJQVFOLQLFDO
ODERUDWRU\WHVWVDQG$(V
7KHXULQH3.HQGSRLQWVZLOOLQFOXGH$H)HDQG&/U
/2;25(7&$3URWRFRODQG3URWRFRO$PHQGPHQWV


&21),'(17,$/
&$/2;25(7)LQDO3URWRFRO$PHQGPHQW-DQ

3DJH
 678'<'(6,*1
 2YHUDOO6WXG\'HVLJQDQG3ODQ
7KLVLVDQRQUDQGRPL]HGRSHQODEHOSDUDOOHOFRKRUWPXOWLSOHVLWHVLQJOHGRVHUHQDO
LPSDLUPHQWVWXG\
6FUHHQLQJRIVXEMHFWVZLOORFFXUZLWKLQGD\VSULRUWRWKHILUVWGRVLQJ
2Q'D\VXEMHFWVZLOOUHFHLYHDVLQJOHRUDOGRVHRI/2;23ODVPDDQGXULQHVDPSOHVLI
SRVVLEOHZLOOEHWDNHQSUHGRVHDQGWKURXJKKRXUVIRUKHDOWK\VXEMHFWVDQGVXEMHFWVZLWK
5,IRU/2;23.DVVHVVPHQW
$VVLJQPHQWWRDUHQDOIXQFWLRQSDQHOZLOOEHDVIROORZV
&RKRUW
5HQDO)XQFWLRQ
H*)5P/PLQP

+HDOWK\0DWFKHG&RQWURO


0LOG
H*)5

0RGHUDWH
H*)5

6HYHUHQRWRQGLDO\VLV


H*)5EDVHGRQ0'5'HTXDWLRQDW6FUHHQLQJ%DVHOLQHH*)5
ZLOOEHREWDLQHGE\WDNLQJWKHPHDQRIWKHH*)5REWDLQHGIURP
6FUHHQLQJDQGIURPKLVWRULFDOYDOXHVZLWKLQDPRQWKSHULRG
IURP6FUHHQLQJ,IQRKLVWRULFDOPHDVXUHPHQWLVDYDLODEOHD
VHFRQG6FUHHQLQJH*)5VDPSOHZLOOEHWDNHQGXULQJWKH
6FUHHQLQJSHULRGtGD\VDSDUWDQGWKHPHDQRIWKHWZR
YDOXHVZLOOEHXVHGDVWKH%DVHOLQHH*)5IRUFRKRUWDVVLJQPHQW
)RUKHDOWK\PDWFKHGFRQWUROVXEMHFWVDVLQJOHDVVHVVPHQWRI
DFWXDOFUHDWLQLQHFOHDUDQFHFRPSXWHGRYHUDKRXUXULQH
FROOHFWLRQPD\EHXVHGLQSODFHRIWKH0'5'HTXDWLRQDWWKH
3,¶VGLVFUHWLRQ

(DFKKHDOWK\PDWFKHGFRQWUROVXEMHFW&RKRUWZLOOEHGHPRJUDSKLFDOO\PDWFKHGE\DJH
\HDUVERG\PDVVLQGH[%0,DQGVH[WRWKHHQUROOHGUHQDOLPSDLUPHQW
VXEMHFWV6KRXOGDQRWKHUUHQDOLPSDLUPHQWVXEMHFWEHLGHQWLILHGZLWKZKRPDQDOUHDG\
HQUROOHGKHDOWK\VXEMHFWLVGHPRJUDSKLFDOO\PDWFKHGWKHKHDOWK\VXEMHFWPD\DOVREHPDWFKHG
ZLWKWKDWLPSDLUHGVXEMHFWDVORQJDVWKHLPSDLUHGVXEMHFWLVLQDGLIIHUHQWUHQDOLPSDLUPHQW
FRKRUW(DFKVXEMHFWZLWKQRUPDOUHQDOIXQFWLRQPD\EHPDWFKHGZLWKXSWRVXEMHFWZLWKLQ
HDFKUHQDOLPSDLUPHQWFRKRUWLHPLOGPRGHUDWHDQGVHYHUH
6DIHW\DQGWROHUDELOLW\ZLOOEHDVVHVVHGWKURXJK(27RU(7E\PRQLWRULQJ$(VSHUIRUPLQJ
SK\VLFDO H[DPLQDWLRQV DQG FOLQLFDO ODERUDWRU\ WHVWV PHDVXULQJ YLWDO VLJQV DQG UHFRUGLQJ
(&*V

/2;25(7&$3URWRFRODQG3URWRFRO$PHQGPHQWV


&21),'(17,$/
&$/2;25(7)LQDO3URWRFRO$PHQGPHQW-DQ

3DJH
7LPLQJRIDOOVWXG\SURFHGXUHVDUHLQGLFDWHGLQWKH6WXG\(YHQWV)ORZ&KDUW6HFWLRQ
6XEMHFWVPD\EHUHSODFHGDWWKHGLVFUHWLRQRIWKH6SRQVRU
 &RQILQHPHQW5HWXUQ9LVLWVDQG)ROORZ8S
6XEMHFWVZLOOEHKRXVHGLQWKH&58IURP&KHFNLQ'D\DWWKHWLPHLQGLFDWHGE\WKH&58
XQWLODIWHUFRPSOHWLRQRIWKH'D\(27RU(7VWXG\SURFHGXUHV(27LVGHILQHGDVWKHGD\
RQZKLFKWKHVXEMHFWLVUHOHDVHGIURPWKH&58IROORZLQJDOOVWXG\SURFHGXUHV6WXG\(YHQWV
)ORZ&KDUW6HFWLRQ

$WDOOWLPHVDVXEMHFWPD\EHUHTXLUHGWRUHPDLQDWWKH&58IRUORQJHUDWWKHGLVFUHWLRQRIWKH
3,RUGHVLJQHHDQGRU6SRQVRU
7KH&58ZLOOFRQWDFWVXEMHFWVE\SKRQHFDOOGD\VGD\VDIWHUWKH(27RU(7YLVLW
GHILQHGDV(26WRGHWHUPLQHLIDQ6$(RUVWXG\GUXJUHODWHG$(KDVRFFXUUHGVLQFHWKH(27
RU(7YLVLW$OOVXEMHFWVZKRUHFHLYHG/2;2LQFOXGLQJVXEMHFWVZKRWHUPLQDWHWKHVWXG\
HDUO\ZLOOEHFRQWDFWHGDW(26
 (QGRI6WXG\'HILQLWLRQ
(QGRI6WXG\(26LVGHILQHGDVWKHGD\RQZKLFKWKHVXEMHFWFRPSOHWHVWKHIROORZXSSKRQH
FDOO6WXG\(YHQWV)ORZ&KDUW6HFWLRQ

6WXG\FRPSOHWLRQDSSOLHVWRWKHFOLQLFDOFRQGXFWRIWKHVWXG\RYHUDOOLHODVWVXEMHFW¶V
)ROORZXSSKRQHFDOO


/2;25(7&$3URWRFRODQG3URWRFRO$PHQGPHQWV


&21),'(17,$/
&$/2;25(7)LQDO3URWRFRO$PHQGPHQW-DQ

3DJH
 678'<3238/$7,21
7KH,QYHVWLJDWRURUGHVLJQHH&HOHULRQ0HGLFDO0RQLWRUDQG6SRQVRUZLOOUHYLHZPHGLFDO
KLVWRU\DQGDOOVFUHHQLQJHYDOXDWLRQVIRUSRWHQWLDOVXEMHFWVSULRUWRHQUROOPHQW7KH6SRQVRU
ZLOOSURYLGHDSSURYDORIVXEMHFWVIRUHQUROPHQWSULRUWRGRVLQJ
 ,QFOXVLRQ&ULWHULD
6XEMHFWVPXVWIXOILOODOORIWKHIROORZLQJLQFOXVLRQFULWHULDWREHHOLJLEOHIRUSDUWLFLSDWLRQLQWKH
VWXG\
 $OO6XEMHFWV
 0DOHRUIHPDOHRIQRQFKLOGEHDULQJSRWHQWLDORQO\\HDUVRIDJHLQFOXVLYHDW
6FUHHQLQJ
 %RG\PDVVLQGH[%0,DQGNJPDW6FUHHQLQJDQGKDYHDPLQLPXPZHLJKW
RIDWOHDVWNJDW6FUHHQLQJ
 /LYHUIXQFWLRQWHVWVDODQLQHDPLQRWUDQVIHUDVH>$/7@DQGDVSDUWDWHDPLQRWUDQVIHUDVH
>$67@VHUXPWRWDODQGGLUHFWELOLUXELQDP\ODVHDQGOLSDVHPXVWEHZLWKLQWKHXSSHU
OLPLWRIQRUPDOIRUWKHODERUDWRU\XVHGE\WKH&58DW6FUHHQLQJDQG&KHFNLQ'D\
5HFKHFNVRIWKH/)7V$/7DQG$67VHUXPWRWDODQGGLUHFWELOLUXELQDP\ODVHDQG
OLSDVHZLOOEHSHUPLWWHGXSWRWLPHVWRFRQILUPVXEMHFWHOLJLELOLW\6XEMHFWVPD\EH
HOLJLEOHIRUSDUWLFLSDWLRQLQWKHVWXG\EDVHGRQUHFKHFNHGYDOXHVLIWKHVHYDOXHVDUHZLWKLQ
QRUPDOUDQJHVDQGLIWKH3,RUGHVLJQHHZLWKDJUHHPHQWIURPWKH&HOHULRQ0HGLFDO
0RQLWRUDQGWKH6SRQVRUIHHOVWKDWWKHUHVXOWVDUHQRWFOLQLFDOO\VLJQLILFDQWDQGZLOOQRW
LPSDFWVWXG\FRQGXFW
 )HPDOHRIQRQFKLOGEHDULQJSRWHQWLDOPXVWKDYHXQGHUJRQHRQHRIWKHIROORZLQJ
VWHULOL]DWLRQSURFHGXUHVDWOHDVWPRQWKVSULRUWRGRVLQJ
x K\VWHURVFRSLFVWHULOL]DWLRQ
x ELODWHUDOWXEDOOLJDWLRQRUELODWHUDOVDOSLQJHFWRP\
x K\VWHUHFWRP\
x ELODWHUDORRSKRUHFWRP\
RUEHSRVWPHQRSDXVDOZLWKDPHQRUUKHDIRUDWOHDVW\HDUSULRUWRGRVLQJDQG
IROOLFOHVWLPXODWLQJKRUPRQH)6+VHUXPOHYHOVFRQVLVWHQWZLWKSRVWPHQRSDXVDOVWDWXV
3RVWPHQRSDXVDOVWDWXVZLOOEHFRQILUPHGZLWKDVFUHHQLQJVHUXPIROOLFOHVWLPXODWLQJ
KRUPRQHOHYHOYDOXHZLWKLQWKH&58¶VODERUDWRU\¶VH[SHFWHGUDQJHIRUSRVWPHQRSDXVDO
VWDWXV$OOIHPDOHVPXVWKDYHDQHJDWLYHTXDOLWDWLYHVHUXPSUHJQDQF\WHVWVHUXPKXPDQ
FKRULRQLFJRQDGRWURSLQDW6FUHHQLQJDQG&KHFNLQ'D\
/2;25(7&$3URWRFRODQG3URWRFRO$PHQGPHQWV


&21),'(17,$/
&$/2;25(7)LQDO3URWRFRO$PHQGPHQW-DQ

3DJH
 0DOHVZKRDUHFDSDEOHRIIDWKHULQJDFKLOGPXVWDJUHHWRXVHRQHRIWKHIROORZLQJPHWKRGV
RIFRQWUDFHSWLRQIURPWKHWLPHRIWKHGRVHDGPLQLVWUDWLRQWKURXJKPRQWKVDIWHUWKHVWXG\
GUXJDGPLQLVWUDWLRQRQ'D\
0DOHVWHULOL]DWLRQZLWKGRFXPHQWHGFRQILUPDWLRQRIVXUJLFDOVXFFHVV0DOHVXEMHFWVZLOOEH
VXUJLFDOO\VWHULOHIRUDWOHDVWGD\VSULRUWR&KHFNLQ'D\,IGRFXPHQWDWLRQLVQRW
DYDLODEOHPDOHVXEMHFWVPXVWIROORZRQHRIWKHFRQWUDFHSWLRQPHWKRGVEHORZ
D 0DOHFRQGRPZLWKVSHUPLFLGHDQG
E )RUDIHPDOHSDUWQHURIPDOHVWXG\SDUWLFLSDQW
 ,QWUDXWHULQHGHYLFH,8'KRUPRQDO,8'HJ0LUHQD
&RSSHU,8'VDUHDFFHSWDEOHHJ3DUD*DUG
 (VWDEOLVKHGXVHRIRUDOLPSODQWHGWUDQVGHUPDORUKRUPRQDO
PHWKRGRIFRQWUDFHSWLRQDVVRFLDWHGZLWKLQKLELWLRQRIRYXODWLRQ
RU
 %LODWHUDOWXEDOOLJDWLRQ
0DOHVZKRSUDFWLFHWUXHDEVWLQHQFHEHFDXVHRIDOLIHVW\OHFKRLFHLHGRQRWEHFRPH
DEVWLQHQWMXVWIRUWKHSXUSRVHRIVWXG\SDUWLFLSDWLRQDUHH[HPSWIURPFRQWUDFHSWLYH
UHTXLUHPHQWV3HULRGLFDEVWLQHQFHE\DIHPDOHSDUWQHUHJFDOHQGDURYXODWLRQ
V\PSWRWKHUPDOSRVWRYXODWLRQPHWKRGVDQGZLWKGUDZDODUHQRWDFFHSWDEOHPHWKRGVRI
FRQWUDFHSWLRQ,IDPDOHVXEMHFWLVDEVWLQHQWDWWKHWLPHRIVLJQLQJWKH,&)EXWEHFRPHV
VH[XDOO\DFWLYHGXULQJWKHVWXG\KHPXVWDJUHHWRXVHFRQWUDFHSWLRQDVGHVFULEHGDERYH
)RUPDOHVXEMHFWVVH[XDOLQWHUFRXUVHZLWKIHPDOHSDUWQHUVZKRDUHSUHJQDQWRU
EUHDVWIHHGLQJVKRXOGEHDYRLGHGXQOHVVFRQGRPVZLWKVSHUPLFLGHDUHXVHGIURPWKHWLPHRI
WKHVWXG\GUXJDGPLQLVWUDWLRQXQWLOPRQWKVDIWHUVWXG\GUXJDGPLQLVWUDWLRQRQ'D\
0DOHVXEMHFWVDUHUHTXLUHGWRUHIUDLQIURPGRQDWLRQRIVSHUPIURP&KHFNLQ'D\XQWLO
PRQWKVDIWHUVWXG\GUXJDGPLQLVWUDWLRQRQ'D\
)RUVXEMHFWVZKRDUHH[FOXVLYHO\LQVDPHVH[UHODWLRQVKLSVFRQWUDFHSWLYHUHTXLUHPHQWVGR
QRWDSSO\
 8QGHUVWDQGVWKHVWXG\SURFHGXUHVLQWKH,&)DQGEHZLOOLQJDQGDEOHWRFRPSO\ZLWKWKH
SURWRFRO
 $GGLWLRQDO5HTXLUHPHQWVIRU6XEMHFWVZLWK5,
 6XEMHFWLVDQRQVPRNHURUPRGHUDWHVPRNHUDQGLVZLOOLQJWRFRQVXPHQRPRUHWKDQ
FLJDUHWWHVGD\RUHTXLYDOHQWLQWREDFFRRUQLFRWLQHFRQWDLQLQJSURGXFWVIURP&KHFNLQ
'D\WKURXJK(27RU(7DQGUHIUDLQIURPWKHXVHRIWREDFFRRUQLFRWLQHFRQWDLQLQJ
SURGXFWVIRUKRXUVSULRUWRGRVLQJDQGKRXUVDIWHUGRVHDGPLQLVWUDWLRQRQ'D\
/2;25(7&$3URWRFRODQG3URWRFRO$PHQGPHQWV


&21),'(17,$/
&$/2;25(7)LQDO3URWRFRO$PHQGPHQW-DQ

3DJH
 :LWKWKHH[FHSWLRQRIUHQDOLQVXIILFLHQF\EDVHOLQHPHGLFDOKHDOWKLVMXGJHGWREHVWDEOH
ZLWKQRFOLQLFDOO\VLJQLILFDQWPHGLFDOKLVWRU\SK\VLFDOH[DPLQDWLRQODERUDWRU\SURILOHV
YLWDOVLJQVRU(&*DEQRUPDOLWLHVDW6FUHHQLQJDQGDWWKHWLPHRI&KHFNLQ'D\DV
GHHPHGDFFHSWDEOHE\WKH3,RUGHVLJQHHZLWKDJUHHPHQWIURPWKH&HOHULRQ0HGLFDO
0RQLWRUDQGWKH6SRQVRU
 6XEMHFWLVQRWFXUUHQWO\RUKDVQRWSUHYLRXVO\EHLQJRQKHPRGLDO\VLV
 %DVHOLQHH*)5EDVHGRQWKH0'5'HTXDWLRQDW6FUHHQLQJDVIROORZV
x 6HYHUH5,P/PLQP
x 0RGHUDWH5,DQGP/PLQP
x 0LOG5,DQGP/PLQP
7KH0'5'HTXDWLRQLVDVIROORZVIRUIHPDOHVPXOWLSO\UHVXOWE\LI$IULFDQ
$PHULFDQPXOWLSO\UHVXOWE\
H*)5 [6FUVWG[$JH
6FUVWGVHUXPFUHDWLQLQHPJG/PHDVXUHGZLWKDVWDQGDUGL]HGDVVD\
7KHEDVHOLQHH*)5ZLOOEHREWDLQHGE\WDNLQJWKHPHDQRIWKHH*)5REWDLQHGIURP
VFUHHQLQJDQGIURPKLVWRULFDOYDOXHVZLWKLQDPRQWKSHULRGIURPVFUHHQLQJ,IQR
KLVWRULFDOPHDVXUHPHQWLVDYDLODEOHDVHFRQGVFUHHQLQJH*)5VDPSOHZLOOEHWDNHQGXULQJ
WKHVFUHHQLQJSHULRGGD\VDSDUWDQGWKHPHDQRIWKHWZRYDOXHVZLOOEHXVHGDVWKH
%DVHOLQHH*)5IRUFRKRUWDVVLJQPHQW
 8VHRISUHVFULSWLRQDQGQRQSUHVFULSWLRQPHGLFDWLRQVWKDWDUHQHHGHGWRVWDELOL]HWKH
VXEMHFW¶VXQGHUO\LQJPHGLFDOFRQGLWLRQRUFRQFXUUHQWEDVHOLQHFRQGLWLRQVDVGHHPHG
DFFHSWDEOHE\WKH3,RUGHVLJQHHZLWKDJUHHPHQWIURPWKH&HOHULRQ0HGLFDO0RQLWRUDQG
WKH6SRQVRUSURYLGLQJWKHVXEMHFWKDVEHHQRQDVWDEOHGRVHIRUDPLQLPXPRIGD\V
SULRUWRVWXG\GUXJDGPLQLVWUDWLRQ
 $GGLWLRQDO5HTXLUHPHQWVIRU+HDOWK\6XEMHFWV
 +HDOWK\DGXOWPDOHDQGIHPDOHVXEMHFWVZLOOEHPDWFKHGWRDWOHDVWRQHVSHFLILFVXEMHFW
LQWKHUHQDOO\LPSDLUHGFRKRUWVEDVHGXSRQDJH%0,DQGVH[7KHIROORZLQJFULWHULD
VKRXOGEHIXOILOOHG
x
$JHPXVWEHZLWKLQ\HDUVRIWKHPDWFKHGVXEMHFWV¶DJHLQWKHUHQDOO\LPSDLUHG
FRKRUW
x
%0,PXVWEHZLWKLQRIWKHPDWFKHGVXEMHFWV¶%0,LQWKHUHQDOO\LPSDLUHG
FRKRUW
/2;25(7&$3URWRFRODQG3URWRFRO$PHQGPHQWV


&21),'(17,$/
&$/2;25(7)LQDO3URWRFRO$PHQGPHQW-DQ

3DJH
 &RQWLQXRXVQRQVPRNHUZKRKDVQRWXVHGQLFRWLQHWREDFFRFRQWDLQLQJSURGXFWVIRUDWOHDVW
PRQWKVSULRUWRWKHILUVWGRVLQJDQGWKURXJK(27RU(7
 %DVHOLQHH*)5P/PLQPDW6FUHHQLQJEDVHGRQWKH0'5'HTXDWLRQDV
GHVFULEHGLQ6HFWLRQ&ULWHULRQ%DVHGRQWKHGLVFUHWLRQRIWKH3,RUGHVLJQHHD
VLQJOHDVVHVVPHQWRIDFWXDOFUHDWLQLQHFOHDUDQFHHYDOXDWHGRYHUDKRXUXULQHFROOHFWLRQ
PD\EHXVHGLQSODFHRIWKH0'5'HTXDWLRQIRUKHDOWK\VXEMHFWV
 0HGLFDOO\KHDOWK\ZLWKQRFOLQLFDOO\VLJQLILFDQWPHGLFDOKLVWRU\SK\VLFDOH[DPLQDWLRQ
ODERUDWRU\SURILOHVYLWDOVLJQVRU(&*VDW6FUHHQLQJDQGDWWKHWLPHRI&KHFNLQ'D\
DVGHHPHGE\WKH3,RUGHVLJQHHDQGDVFRQILUPHGE\WKH&HOHULRQ0HGLFDO0RQLWRUDQG
WKH6SRQVRU
 ([FOXVLRQ&ULWHULD
6XEMHFWVPXVWQRWEHHQUROOHGLQWKHVWXG\LIWKH\PHHWDQ\RIWKHIROORZLQJFULWHULD
 $OO6XEMHFWV
 0HQWDOO\RUOHJDOO\LQFDSDFLWDWHGRUKDVVLJQLILFDQWHPRWLRQDOSUREOHPVDWWKHWLPHRIWKH
VFUHHQLQJYLVLWRUH[SHFWHGGXULQJWKHFRQGXFWRIWKHVWXG\
 +LVWRU\RUSUHVHQFHRIFOLQLFDOO\VLJQLILFDQWPHGLFDORUSV\FKLDWULFFRQGLWLRQRUGLVHDVHLQ
WKHRSLQLRQRIWKH3,RUGHVLJQHHDQGDVFRQILUPHGE\WKH&HOHULRQ0HGLFDO0RQLWRUDQG
WKH6SRQVRU
 +LVWRU\RIDQ\LOOQHVVWKDWLQWKHRSLQLRQRIWKH3,RUGHVLJQHHDQGDVFRQILUPHGE\WKH
&HOHULRQ0HGLFDO0RQLWRUDQGWKH6SRQVRUPLJKWFRQIRXQGWKHUHVXOWVRIWKHVWXG\RU
SRVHVDQDGGLWLRQDOULVNWRWKHVXEMHFWE\WKHLUSDUWLFLSDWLRQLQWKHVWXG\
 +LVWRU\RIVWRPDFKRULQWHVWLQDOVXUJHU\RUUHVHFWLRQJDVWULWLVJDVWURLQWHVWLQDOWUDFWRU
KHSDWLFGLVRUGHURURWKHUFOLQLFDOFRQGLWLRQWKDWPLJKWDVGHHPHGE\WKH3,RUGHVLJQHH
ZLWKDJUHHPHQWIURPWKH&HOHULRQ0HGLFDO0RQLWRUDQGWKH6SRQVRUDIIHFWWKHDEVRUSWLRQ
GLVWULEXWLRQELRWUDQVIRUPDWLRQRUH[FUHWLRQRI/2;2DSSHQGHFWRP\KHUQLDUHSDLU
DQGFKROHF\VWHFWRP\ZLOOEHDOORZHGEDULDWULFVXUJHU\ZLOOQRWEHDOORZHG
 6XEMHFWKDVUHTXLUHGWUHDWPHQWIRUJDVWURLQWHVWLQDOEOHHGLQJZLWKLQPRQWKVSULRUWR
&KHFNLQ'D\
 +LVWRU\RUSUHVHQFHRIDOFRKROLVPRUGUXJDEXVHZLWKLQWKHSDVW\HDUVSULRUWRGRVLQJ
 +LVWRU\RUSUHVHQFHRIK\SHUVHQVLWLYLW\RULGLRV\QFUDWLFUHDFWLRQWRWKHVWXG\GUXJVRU
UHODWHGFRPSRXQGVRULQDFWLYHLQJUHGLHQWV
/2;25(7&$3URWRFRODQG3URWRFRO$PHQGPHQWV


&21),'(17,$/
&$/2;25(7)LQDO3URWRFRO$PHQGPHQW-DQ

3DJH
 +LVWRU\RUSUHVHQFHRI
x OLYHUGLVHDVH
x SDQFUHDWLWLV
x SHSWLFXOFHUGLVHDVH
x LQWHVWLQDOPDODEVRUSWLRQ
x JDVWULFUHGXFWLRQVXUJHU\
x XQH[SODLQHGV\QFRSH
x KLVWRU\RUSUHVHQFHRIFOLQLFDOO\VLJQLILFDQWFDUGLRYDVFXODUGLVHDVH
P P\RFDUGLDOLQIDUFWLRQRUFHUHEURYDVFXODUWKURPERHPEROLVPZLWKLQPRQWKVSULRU
WRGRVLQJ
P V\PSWRPDWLFDQJLQDSHFWRULVZLWKLQPRQWKVSULRUWRGRVLQJ
P 1HZ<RUN+HDUW$VVRFLDWLRQ&ODVVFRQJHVWLYHKHDUWIDLOXUHZLWKLQPRQWKV
SULRUWRGRVLQJ
P FRQJHQLWDOSURORQJHG47V\QGURPH
P YHQWULFXODUSUHH[FLWDWLRQV\QGURPH:ROII3DUNLQVRQ:KLWHV\QGURPH
P DUUK\WKPLDRUKLVWRU\RIDUUK\WKPLDUHTXLULQJPHGLFDOLQWHUYHQWLRQ
P YHQWULFXODUG\VIXQFWLRQRUULVNIDFWRUVIRU7RUVDGHVGH3RLQWHVHJKHDUWIDLOXUH
FDUGLRP\RSDWK\IDPLO\KLVWRU\RI/RQJ476\QGURPH
P VLJQLILFDQWVFUHHQLQJ(&*DEQRUPDOLWLHV
 /HIW%XQGOHEUDQFKEORFN
 6HFRQGGHJUHHDWULRYHQWULFXODU$9EORFNW\SHRUWKLUGGHJUHH$9EORFN
 )HPDOHVXEMHFWVRIFKLOGEHDULQJSRWHQWLDO
)HPDOHVXEMHFWVZLWKDSRVLWLYHSUHJQDQF\WHVWRUZKRDUHODFWDWLQJ
6XEMHFWVZLWKDWUHVWLHVXSLQHIRUDWOHDVWPLQXWHVKHDUWUDWHORZHUWKDQESPRU
KLJKHUWKDQESPDW6FUHHQLQJ&KHFNLQ'D\DQGSULRUWRGRVLQJ2XWRIUDQJH
YDOXHVWKDWDUHQRWFOLQLFDOO\VLJQLILFDQWDVGHWHUPLQHGE\WKH3,RUGHVLJQHHPD\EH
UHSHDWHGWZLFHGXULQJ6FUHHQLQJ&KHFNLQ'D\DQGSULRUWRGRVLQJ1RWH5HFKHFNV
RIKHDUWUDWHYDOXHVZLOOEHSHUPLWWHGXSWRWLPHVWRFRQILUPHOLJLELOLW\IRUVWXG\
SDUWLFLSDWLRQ6XEMHFWVPD\EHHOLJLEOHIRUSDUWLFLSDWLRQLQWKHVWXG\EDVHGRQUHFKHFNHG
KHDUWUDWHYDOXHVLIWKH\IDOOZLWKLQWKHUDQJHVUHIHUHQFHGDERYHDQGLIWKH3,RUGHVLJQHH
ZLWKDJUHHPHQWIURPWKH&HOHULRQ0HGLFDO0RQLWRUDQGWKH6SRQVRUIHHOWKDWWKHUHVXOWV
DUHQRWFOLQLFDOO\VLJQLILFDQWEDVHGRQWKHDJHDQGUHQDOLPSDLUPHQWVWDWXVRIWKHVXEMHFW
DQGZLOOQRWLPSDFWVWXG\FRQGXFW
/2;25(7&$3URWRFRODQG3URWRFRO$PHQGPHQWV


&21),'(17,$/
&$/2;25(7)LQDO3URWRFRO$PHQGPHQW-DQ

3DJH
 3RVLWLYHUHVXOWVIRUWKHXULQHRUVDOLYDGUXJVFUHHQDW6FUHHQLQJRU&KHFNLQ'D\
XQOHVVWKHSRVLWLYHGUXJVFUHHQLVGXHWRSUHVFULSWLRQGUXJXVHWKDWLVDSSURYHGE\WKH3,RU
GHVLJQHH&HOHULRQ0HGLFDO0RQLWRUDQG6SRQVRU
 3RVLWLYHUHVXOWVIRUXULQHRUEUHDWKDOFRKROVFUHHQDW6FUHHQLQJRU&KHFNLQ'D\
 3RVLWLYHUHVXOWVDW6FUHHQLQJIRUKXPDQLPPXQRGHILFLHQF\YLUXV+,9KHSDWLWLV%VXUIDFH
DQWLJHQ+%V$JRUKHSDWLWLV&YLUXV+&96XEMHFWVZKRDUHSRVLWLYHIRUKHSDWLWLV%
YLUXV+&9RU+,9E\DQWLERG\ZLOOUHTXLUHFRQILUPDWLRQE\SRO\PHUDVHFKDLQUHDFWLRQ
3&5EHIRUHHQUROOPHQWWRGHWHFWSUHVHQFHRIDFWLYHYLUXV6XEMHFWVZKRDUH3&5SRVLWLYH
ZLOOQRWEHHOLJLEOH
 2UDOERG\WHPSHUDWXUHDW6FUHHQLQJ&KHFNLQ'D\DQGSULRUWRGRVLQJOHVVWKDQ&
RUJUHDWHUWKDQ&
 ,VXQDEOHWRUHIUDLQIURPRUDQWLFLSDWHVWKHXVHRIDQ\PRGHUDWHRUVWURQJLQKLELWRURU
LQGXFHURI&<3$$VWURQJLQKLELWRURI3JSSURWRQSXPSLQKLELWRUVDQWDFLGVDQG
+UHFHSWRUDQWDJRQLVWVIURPGD\VSULRUWRGRVLQJDQGWKURXJK(27RU(7
 +DVEHHQRQDGLHWLQFRPSDWLEOHZLWKWKHRQVWXG\GLHWLQWKHRSLQLRQRIWKH3,RU
GHVLJQHHDQGDVFRQILUPHGE\WKH&HOHULRQ0HGLFDO0RQLWRUDQGWKH6SRQVRUZLWKLQWKH
GD\VSULRUWRGRVLQJDQGWKURXJK(27RU(7
 $Q\PHGLFDWLRQLQFOXGLQJRYHUWKHFRXQWHUWKDWZRXOGVLJQLILFDQWO\DOWHUH*)5ZKLFK
E\WKHGHWHUPLQDWLRQRIWKH3,RUGHVLJQHHDQGDVFRQILUPHGE\WKH&HOHULRQ0HGLFDO
0RQLWRUDQGWKH6SRQVRUPLJKWLQWHUIHUHZLWKWKHVWXG\HJFLPHWLGLQHZLOOEH
SURKLELWHGDWOHDVWZHHNVSULRUWRGRVLQJDQGWKURXJK(27RU(7
 'RQDWLRQRIEORRGRUVLJQLILFDQWEORRGORVVZLWKLQGD\VSULRUWRGRVLQJ
 3ODVPDRUSODWHOHWGRQDWLRQZLWKLQZHHNVSULRUWRGRVLQJ
 'RVLQJLQDQ\RWKHULQYHVWLJDWLRQDOVWXG\GUXJWULDOLQYROYLQJDGPLQLVWUDWLRQRIDQ\
LQYHVWLJDWLRQDOGUXJLQWKHSDVWGD\VRUKDOIOLYHVLINQRZQZKLFKHYHULVORQJHU
SULRUWR&KHFNLQ'D\
 6WUHQXRXVH[HUFLVHZLWKLQGD\VSULRUWR&KHFNLQ'D\
 3RRUSHULSKHUDOYHQRXVDFFHVV
 +LVWRU\RIDPDMRUVXUJLFDOSURFHGXUHZLWKLQGD\VSULRUWR6FUHHQLQJ
 +LVWRU\RUSUHVHQFHXSRQFOLQLFDOHYDOXDWLRQRIDQ\LOOQHVVWKDWLQWKHRSLQLRQRIWKH
,QYHVWLJDWRUZRXOGLQWHUIHUHZLWKWKHDELOLW\WRSURYLGHLQIRUPHGFRQVHQWRUFRPSO\ZLWK
VWXG\LQVWUXFWLRQVRUWKDWPLJKWFRQIRXQGWKHLQWHUSUHWDWLRQRIWKHVWXG\UHVXOWVRUSXWWKH
VXEMHFWDWXQGXHULVN
 5HFHLSWRIEORRGSURGXFWVZLWKLQPRQWKVSULRUWR&KHFNLQ'D\
/2;25(7&$3URWRFRODQG3URWRFRO$PHQGPHQWV


&21),'(17,$/
&$/2;25(7)LQDO3URWRFRO$PHQGPHQW-DQ

3DJH
 $GGLWLRQDO5HTXLUHPHQWVIRU6XEMHFWVZLWK5,
 +DVUDSLGO\IOXFWXDWLQJUHQDOIXQFWLRQRUKDVGHPRQVWUDWHGRUVXVSHFWHGUHQDODUWHU\
VWHQRVLV5DSLGO\IOXFWXDWLQJUHQDOIXQFWLRQLVGHILQHGDVEDVHOLQHDQGKLVWRULFDOH*)5
YDOXHVWKDWGLIIHUE\PRUHWKDQZLWKLQDWOHDVWPRQWKVIRUVXEMHFWVZLWKKLVWRULFDO
H*)5YDOXHVDYDLODEOHDWWKHWLPHRIVFUHHQLQJRUH*)5YDOXHVWKDWGLIIHUE\PRUHWKDQ
IRUWKHVFUHHQLQJPHDVXUHPHQWVtGD\VDSDUWIRUVXEMHFWVZLWKQRKLVWRULFDO
H*)5YDOXHVDYDLODEOHDWWKHWLPHRIVFUHHQLQJ
 +DVKDGDUHQDOWUDQVSODQWDQHSKUHFWRP\RULVDVXEMHFWZLWKDNQRZQKLVWRU\RIQHSKURWLF
V\QGURPH
 8QDEOHWRUHIUDLQIURPRUDQWLFLSDWHVWKHXVHRIDQ\PHGLFDWLRQRUVXEVWDQFHLQFOXGLQJ
SUHVFULSWLRQRURYHUWKHFRXQWHUPHGLFDWLRQVYLWDPLQVXSSOHPHQWVQDWXUDORUKHUEDO
VXSSOHPHQWVIURPGD\VSULRUWRGRVLQJDQGWKURXJK(27RU(7XQOHVVLWLVD
SUHVFULSWLRQRUQRQSUHVFULSWLRQPHGLFDWLRQXVHGWRWUHDWPDQLIHVWDWLRQVRIUHQDOGLVHDVHRU
PHGLFDWLRQVQHHGHGWRWUHDWVWDEOHGLVHDVHVZKLFKKDVEHHQDSSURYHGE\WKH3,RU
GHVLJQHHZLWKDJUHHPHQWIURPWKH&HOHULRQ0HGLFDO0RQLWRUDQGWKH6SRQVRUDQG
SURYLGHGWKH\KDYHEHHQRQDVWDEOHUHJLPHQIRUDWOHDVWGD\VSULRUWRGRVLQJDQGDUH
DEOHWRZLWKKROGXVHIRUKRXUVSUHGRVHDQGKRXUVSRVWGRVHRQWKHGD\RIGRVH
DGPLQLVWUDWLRQ'D\XQOHVVDSSURYHGE\WKH3,RUGHVLJQHHZLWKDJUHHPHQWIURPWKH
&HOHULRQ0HGLFDO0RQLWRUDQG6SRQVRU
 +DVUHTXLUHGQHZPHGLFDWLRQIRUUHQDOGLVHDVHZLWKLQGD\VSULRUWR&KHFNLQ'D\
 47LQWHUYDOFRUUHFWHGIRUKHDUWUDWHXVLQJ)ULGHULFLD¶VPHWKRG47F)LV!PVHF
 $WUHVWLHVXSLQHIRUDWOHDVWPLQXWHVGLDVWROLFEORRGSUHVVXUH%3RIRU!
PP+JDQGRUV\VWROLF%3RIRU!PP+JDW6FUHHQLQJ&KHFNLQDQGSULRUWR
GRVLQJ2XWRIUDQJHYDOXHVWKDWDUHQRWFOLQLFDOO\VLJQLILFDQWDVGHWHUPLQHGE\WKH3,RU
GHVLJQHHPD\EHUHSHDWHGWZLFHGXULQJ6FUHHQLQJ&KHFNLQ'D\DQGSULRUWRGRVLQJ
1RWH5HFKHFNVRI%3YDOXHVZLOOEHSHUPLWWHGXSWRWLPHVWRFRQILUPHOLJLELOLW\IRUVWXG\
SDUWLFLSDWLRQ6XEMHFWVPD\EHHOLJLEOHIRUSDUWLFLSDWLRQLQWKHVWXG\EDVHGRQUHFKHFNHG%3
YDOXHVLIWKH\IDOOZLWKLQWKHUDQJHVUHIHUHQFHGDERYHDQGWKH3,RUGHVLJQHHZLWK
DJUHHPHQWIURPWKH&HOHULRQ0HGLFDO0RQLWRUDQGWKH6SRQVRUIHHOVWKDWWKHUHVXOWVDUHQRW
FOLQLFDOO\VLJQLILFDQWEDVHGRQWKHDJHDQGUHQDOLPSDLUPHQWVWDWXVRIWKHVXEMHFWDQGZLOO
QRWLPSDFWVWXG\FRQGXFW
 $GGLWLRQDO5HTXLUHPHQWVIRU+HDOWK\6XEMHFWV
 +LVWRU\RUSUHVHQFHRIGLDEHWHVPHOOLWXV
 +LVWRU\RI/HIW%XQGOH%UDQFK%ORFN
 47LQWHUYDOFRUUHFWHGIRUKHDUWUDWHXVLQJ)ULGHULFLD¶VPHWKRG47F)LV!PVHF
 $WUHVWLHVXSLQHIRUDWOHDVWPLQXWHVGLDVWROLF%3RIRU!PP+JDQGRU
VXSLQHV\VWROLF%3RIRU!PP+JDW6FUHHQLQJ&KHFNLQ'D\DQGSULRUWR
/2;25(7&$3URWRFRODQG3URWRFRO$PHQGPHQWV


&21),'(17,$/
&$/2;25(7)LQDO3URWRFRO$PHQGPHQW-DQ

3DJH
GRVLQJ2XWRIUDQJHYDOXHVWKDWDUHQRWFOLQLFDOO\VLJQLILFDQWDVGHWHUPLQHGE\WKH3,RU
GHVLJQHHPD\EHUHSHDWHGWZLFHGXULQJ6FUHHQLQJ&KHFNLQ'D\DQGSULRUWRGRVLQJ
1RWH5HFKHFNVRI%3YDOXHVZLOOEHSHUPLWWHGXSWRWLPHVWRFRQILUPHOLJLELOLW\IRUVWXG\
SDUWLFLSDWLRQ6XEMHFWVPD\EHHOLJLEOHIRUSDUWLFLSDWLRQLQWKHVWXG\EDVHGRQUHFKHFNHG%3
YDOXHVLIWKH\IDOOZLWKLQWKHUDQJHVUHIHUHQFHGDERYHDQGLIWKH3,RUGHVLJQHHZLWK
DJUHHPHQWIURPWKH&HOHULRQ0HGLFDO0RQLWRUDQGWKH6SRQVRUIHHOVWKDWWKHUHVXOWVDUHQRW
FOLQLFDOO\VLJQLILFDQWDQGZLOOQRWLPSDFWVWXG\FRQGXFW
 $Q\FOLQLFDOO\VLJQLILFDQWGHYLDWLRQVIURPQRUPDOUDQJHVLQFUHDWLQHNLQDVH&.XQOHVV
DSSURYHGE\WKH3,RUGHVLJQHHZLWKDJUHHPHQWIURPWKH&HOHULRQ0HGLFDO0RQLWRUDQG
WKH6SRQVRU
 6LJQLILFDQWKLVWRU\RUFOLQLFDOPDQLIHVWDWLRQRIDQ\PHWDEROLFDOOHUJLFGHUPDWRORJLFDO
KHSDWLFELOLDU\UHQDOKHPDWRORJLFDOSXOPRQDU\FDUGLRYDVFXODULQFOXGLQJDQ\SULRU
KLVWRU\RIFDUGLRP\RSDWK\RUFDUGLDFIDLOXUHJDVWURLQWHVWLQDOQHXURORJLFDORUSV\FKLDWULF
GLVRUGHUDVGHWHUPLQHGE\WKH,QYHVWLJDWRURUFDQFHUZLWKLQWKHSDVW\HDUVH[FHSW
ORFDOL]HGEDVDOFHOOVTXDPRXVRULQVLWXFDQFHURIWKHVNLQ
 ,VXQDEOHWRUHIUDLQIURPRUDQWLFLSDWHVWKHXVHRIDQ\PHGLFDWLRQRUVXEVWDQFHLQFOXGLQJ
SUHVFULSWLRQRURYHUWKHFRXQWHUPHGLFDWLRQVYLWDPLQVXSSOHPHQWVQDWXUDORUKHUEDO
VXSSOHPHQWVIURPGD\VSULRUWRGRVLQJDQGWKURXJK(27RU(7XQOHVVDSSURYHGE\WKH
3,RUGHVLJQHHZLWKDJUHHPHQWIURPWKH&HOHULRQ0HGLFDO0RQLWRUDQGWKH6SRQVRU
 +LVWRU\RIFRQJHQLWDOQRQKHPRO\WLFK\SHUELOLUXELQHPLDHJ*LOEHUW¶VV\QGURPH
 3RVLWLYHFRWLQLQHWHVWDW6FUHHQLQJRU&KHFNLQ'D\
 (DUO\7HUPLQDWLRQRI6XEMHFWVIURPWKH6WXG\
6XEMHFWVDUHIUHHWRZLWKGUDZIURPWKHVWXG\DWDQ\WLPHIRUDQ\UHDVRQ
,QDGGLWLRQVXEMHFWVPD\EHZLWKGUDZQIURPWKHVWXG\E\WKH3,RUGHVLJQHHIRUWKHIROORZLQJ
UHDVRQV
x $(V
x 'LIILFXOWLHVLQEORRGFROOHFWLRQ
x 3RVLWLYHSUHJQDQF\WHVW
x 3RVLWLYHXULQHRUVDOLYDGUXJDQGSRVLWLYHXULQHRUEUHDWKDOFRKROWHVWXQOHVVWKHSRVLWLYH
GUXJVFUHHQLVGXHWRSUHVFULSWLRQGUXJXVHWKDWLVDSSURYHGE\WKH3,RUGHVLJQHHWKH
&HOHULRQ0HGLFDO0RQLWRUDQGWKH6SRQVRU
$VXEMHFWPD\EHZLWKGUDZQE\WKH3,GHVLJQHHRUWKH6SRQVRULIHLWKHUFRQVLGHUVHQUROOPHQW
RIWKHVXEMHFWLQWRWKHVWXG\LVLQDSSURSULDWHWKHVWXG\SODQLVYLRODWHGRUIRUDGPLQLVWUDWLYH
DQGRURWKHUVDIHW\UHDVRQV3URPSWQRWLILFDWLRQWRWKH6SRQVRURIZLWKGUDZDORIDQ\VXEMHFW
VKRXOGEHSURYLGHG
/2;25(7&$3URWRFRODQG3URWRFRO$PHQGPHQWV


&21),'(17,$/
&$/2;25(7)LQDO3URWRFRO$PHQGPHQW-DQ

3DJH
6XEMHFWVZKRZLWKGUDZIURPWKHVWXG\ZLOOXQGHUJRHDUO\WHUPLQDWLRQIURPWKHVWXG\
SURFHGXUHVDVRXWOLQHGLQWKH6WXG\(YHQWV)ORZ&KDUW6HFWLRQ
 6WXG\5HVWULFWLRQV
 3URKLELWLRQVDQG&RQFRPLWDQW0HGLFDWLRQ
&RQVXPSWLRQRIIRRGVDQGEHYHUDJHVFRQWDLQLQJWKHIROORZLQJVXEVWDQFHVZLOOEHSURKLELWHGDV
LQGLFDWHG
x ;DQWKLQHV&DIIHLQHKRXUVSULRUWR&KHFNLQ'D\DQGWKURXJK(27RU(7
x $OFRKROKRXUVSULRUWR&KHFNLQDQGWKURXJK(27RU(7
x *UDSHIUXLW*UDSHIUXLW-XLFH6HYLOOHRUDQJHGD\VSULRUWR&KHFNLQ'D\DQG
WKURXJK(27RU(7
x 2WKHU)UXLW-XLFHKRXUVSULRUWRILUVWGRVLQJDQGWKURXJK(27RU(7
x &LWULFDFLGIRRGVRUEHYHUDJHVKRXUVSULRUWR&KHFNLQ'D\DQGWKURXJK(27RU
(7
3DUWLFLSDWLRQLQDQ\RWKHULQYHVWLJDWLRQDOVWXG\GUXJWULDOLQZKLFKUHFHLSWRIDQ\LQYHVWLJDWLRQDO
GUXJRFFXUVZLWKLQKDOIOLYHVLINQRZQRUGD\VZKLFKHYHULVORQJHUSULRUWR&KHFNLQ
'D\LVSURKLELWHG
8VHRIDQ\SUHVFULSWLRQRURYHUWKHFRXQWHUPHGLFDWLRQVLQFOXGLQJYLWDPLQVXSSOHPHQWV
QDWXUDORUKHUEDOVXSSOHPHQWVZLOOEHSURKLELWHGIRUDWOHDVWGD\VSULRUWRGRVLQJDQG
WKURXJK(27RU(7XQOHVVDOORZHGE\WKH3,RUGHVLJQHHZLWKDJUHHPHQWIURPWKH&HOHULRQ
0HGLFDO0RQLWRUDQGWKH6SRQVRU
8VHRIDOOSUHVFULSWLRQRUQRQSUHVFULSWLRQPHGLFDWLRQVWKDWDUHPRGHUDWHRUVWURQJLQKLELWRUVRU
LQGXFHUVRI&<3$DQG&<3$VWURQJ3JSLQKLELWRUVSURWRQSXPSLQKLELWRUV33,V
+UHFHSWRUDQWDJRQLVWVRUDQWDFLGVZLOOEHSURKLELWHGIRUDWOHDVWGD\VSULRUWRGRVLQJ
WKURXJK(27RU(7:HDN&<3LQKLELWRUVRULQGXFHUVPD\EHGHHPHGDFFHSWDEOHIROORZLQJ
FRQVXOWDWLRQZLWKWKH6SRQVRU&HOHULRQ0HGLFDO0RQLWRUDQGWKH3,
$Q\GUXJWKDWSURORQJVWKH4747FLQWHUYDOZLOOEHSURKLELWHGIRUGD\VSULRUWRWKHGRVLQJ
DQGWKURXJK(27RU(7
8VHRIDQ\PHGLFDWLRQLQFOXGLQJRYHUWKHFRXQWHUWKDWZRXOGVLJQLILFDQWO\DOWHUH*)5ZKLFK
E\WKHGHWHUPLQDWLRQRIWKH3,RUGHVLJQHH&HOHULRQ0HGLFDO0RQLWRURU6SRQVRUPLJKW
LQWHUIHUHZLWKWKHVWXG\HJFLPHWLGLQHZLOOEHSURKLELWHGIRUDWOHDVWGD\VSULRUWRGRVLQJ
DQGWKURXJK(27RU(7
)RUUHQDOO\LPSDLUHGVXEMHFWVWKHXVHRISUHVFULSWLRQDQGQRQSUHVFULSWLRQPHGLFDWLRQVWKDWDUH
QHHGHGWRVWDELOL]HWKHVXEMHFW¶VXQGHUO\LQJPHGLFDOFRQGLWLRQRUFRQFXUUHQWEDVHOLQH
FRQGLWLRQVDQGGHHPHGDFFHSWDEOHE\WKH3,RUGHVLJQHH&HOHULRQ0HGLFDO0RQLWRUDQG
6SRQVRUDUHDOORZHGSURYLGHGWKDWWKHVXEMHFWKDVEHHQRQDVWDEOHGRVHIRUDPLQLPXPRI
/2;25(7&$3URWRFRODQG3URWRFRO$PHQGPHQWV


&21),'(17,$/
&$/2;25(7)LQDO3URWRFRO$PHQGPHQW-DQ

3DJH
GD\VSULRUWRVWXG\GUXJDGPLQLVWUDWLRQ5HQDOO\LPSDLUHGVXEMHFWVPXVWEHDEOHWRZLWKKROG
WKHXVHRIWKHVHPHGLFDWLRQVIRUKRXUVSUHGRVHDQGKRXUVSRVWGRVHRQWKHGD\RIVWXG\GUXJ
DGPLQLVWUDWLRQ'D\XQOHVVDSSURYHGE\WKH3,RUGHVLJQHH&HOHULRQ0HGLFDO0RQLWRU
DQG6SRQVRU6KRUWWHUPPHGLFDWLRQDGMXVWPHQWVPD\EHPDGHXSRQFRQVXOWDWLRQZLWKWKH3,
RUGHVLJQHH&HOHULRQ0HGLFDO0RQLWRUDQG6SRQVRU7KHXVHRIDGGLWLRQDOPHGLFDWLRQVLVWR
EHDYRLGHGIURPGD\VSULRUWRVWXG\GUXJDGPLQLVWUDWLRQXQWLO(27RU(7XQOHVVUHTXLUHGWR
WUHDWDQ$()URP&KHFNLQ'D\WKURXJK(27RU(7DQ\FRQFXUUHQWPHGLFDWLRQ
LQFOXGLQJERWKSUHVFULSWLRQDQGQRQSUHVFULSWLRQGUXJVPXVWEHGLVFXVVHGZLWKWKH3,RU
GHVLJQHH&HOHULRQ0HGLFDO0RQLWRUDQGRU6SRQVRUSULRUWRXVHXQOHVVDSSURSULDWHPHGLFDO
FDUHQHFHVVLWDWHVWKDWWKHUDS\VKRXOGEHJLQEHIRUHWKH3,RUGHVLJQHH&HOHULRQ0HGLFDO
0RQLWRUDQGRU6SRQVRUFDQEHFRQVXOWHG)ROORZLQJVWXG\GUXJDGPLQLVWUDWLRQRQ'D\
DFHWDPLQRSKHQXSWRJSHUKRXUVPD\EHDGPLQLVWHUHGDWWKHGLVFUHWLRQRIWKH3,RU
GHVLJQHH
$SSURSULDWHVRXUFHVZLOOEHFRQVXOWHGE\WKH3,RUGHVLJQHHWRFRQILUPODFNRI3.LQWHUDFWLRQ
ZLWKWKHVWXG\GUXJ
,IGHYLDWLRQVRFFXUWKH3,RUGHVLJQHHLQFRQVXOWDWLRQZLWKWKH&HOHULRQ0HGLFDO0RQLWRUDQG
WKH6SRQVRULIQHHGHGZLOOGHFLGHRQDFDVHE\FDVHEDVLVZKHWKHUWKHVXEMHFWPD\FRQWLQXH
SDUWLFLSDWLRQLQWKHVWXG\
$OOPHGLFDWLRQVLQFOXGLQJYLWDPLQVDQGKHUEDOVXSSOHPHQWVWDNHQE\VXEMHFWVGXULQJWKH
FRXUVHRIWKHVWXG\ZLOOEHUHFRUGHG
 0HDOV
6XEMHFWVZLOOIDVWIURPIRRGQRWLQFOXGLQJZDWHUIRUDWOHDVWKRXUVSULRUWRVWXG\GUXJ
DGPLQLVWUDWLRQDQGZLOOFRQWLQXHWRIDVWIURPIRRGQRWLQFOXGLQJZDWHUIRUDWOHDVWKRXU
SRVWGRVH
:KHQFRQILQHGVWDQGDUGPHDOVDQGVQDFNVZLOOEHSURYLGHGDWDSSURSULDWHWLPHVH[FHSWZKHQ
WKH\DUHUHTXLUHGWRIDVW:KHQFRQILQHGLQWKH&58VXEMHFWVZLOOEHUHTXLUHGWRIDVWIURPDOO
IRRGDQGGULQNH[FHSWZDWHUEHWZHHQPHDOVDQGVQDFNV
 $FWLYLW\
6XEMHFWVZLOOUHPDLQDPEXODWRU\RUVHDWHGXSULJKWIRUWKHILUVWKRXUVSRVWGRVHH[FHSWZKHQ
WKH\DUHVXSLQHRUVHPLUHFOLQHGIRUVWXG\SURFHGXUHV
+RZHYHUVKRXOG$(VRFFXUDWDQ\WLPHGXULQJWKLVSHULRGVXEMHFWVPD\EHSODFHGLQDQ
DSSURSULDWHSRVLWLRQRUZLOOEHSHUPLWWHGWROLHGRZQRQWKHLUULJKWVLGH
6XEMHFWVZLOOEHLQVWUXFWHGWRUHIUDLQIURPVWUHQXRXVSK\VLFDODFWLYLW\ZKLFKFRXOGFDXVH
PXVFOHDFKHVRULQMXU\LQFOXGLQJFRQWDFWVSRUWVDWDQ\WLPHIURPGD\VSULRUWR&KHFNLQ
'D\XQWLO(27RU(7
/2;25(7&$3URWRFRODQG3URWRFRO$PHQGPHQWV


&21),'(17,$/
&$/2;25(7)LQDO3URWRFRO$PHQGPHQW-DQ

3DJH
6SHFLILFPHDVXUHVZLOOEHWDNHQWRSUHYHQWWKHVXEMHFWIURPPLVVLQJDXULQHFROOHFWLRQE\
VWULFWO\FRQWUROOLQJDQGSURYLGLQJDFFHVVWRGHVLJQDWHGUHVWURRPVRQO\6XEMHFWVZLOOEHDVNHG
WRYRLGSULRUWRHQWHULQJWKHVKRZHU
6XEMHFWVZLWK5,PXVWEHZLOOLQJWRFRQVXPHQRPRUHWKDQFLJDUHWWHVRUHTXLYDOHQWGD\IURP
&KHFNLQ'D\XQWLOWKH(27RU(7'HSHQGLQJRQWKH&58UXOHVDQGUHJXODWLRQVVXEMHFWV
PD\EHSURKLELWHGIURPVPRNLQJGXULQJWKHLUFRQILQHPHQWLQWKH&58RUGXULQJSRUWLRQVRI
WKHLUFRQILQHPHQWLQWKH&58+HDOWK\PDWFKHGFRQWUROVXEMHFWVZLOOQRWEHSHUPLWWHGWRVPRNH
RULQJHVWWREDFFRRUQLFRWLQHFRQWDLQLQJSURGXFWVIURPPRQWKVSULRUWR6FUHHQLQJWKURXJKWKH
(27RU(7



/2;25(7&$3URWRFRODQG3URWRFRO$PHQGPHQWV


&21),'(17,$/
&$/2;25(7)LQDO3URWRFRO$PHQGPHQW-DQ

3DJH
 75($70(176
 7UHDWPHQWV$GPLQLVWHUHG
/2;2ZLOOEHVXSSOLHGDVPJFDSVXOHV
6XEMHFWVZLOOUHFHLYHDVLQJOHRUDOGRVHRIPJ/2;2[PJFDSVXOHVRQ'D\
IROORZLQJDIDVWIURPIRRGRIDWOHDVWKRXUVQRWLQFOXGLQJZDWHUZLWKDSSUR[LPDWHO\
P/RIZDWHUIROORZHGE\DIDVWIURPIRRGQRWLQFOXGLQJZDWHUIRUDWOHDVWKRXU
SRVWGRVH
6XEMHFWVZLOOEHLQVWUXFWHGQRWWRFUXVKVSOLWRUFKHZ/2;2
7KHSKDUPDF\DWWKH&58ZLOOSURYLGHHDFKGRVHLQLQGLYLGXDOXQLWGRVHFRQWDLQHUVIRUHDFK
VXEMHFW
7KHH[DFWFORFNWLPHRIGRVLQJZLOOEHUHFRUGHG
 'RVH0RGLILFDWLRQ
7KHGRVHDQGDGPLQLVWUDWLRQRIWKHVWXG\GUXJVWRDQ\VXEMHFWPD\QRWEHPRGLILHG,I
QHFHVVDU\DVXEMHFWPXVWEHGLVFRQWLQXHGIRUWKHUHDVRQVGHVFULEHGLQ6HFWLRQ
 0HWKRGRI7UHDWPHQW$VVLJQPHQW
(DFKVXEMHFWZLOOEHDVVLJQHGDXQLTXHLGHQWLILFDWLRQQXPEHUXSRQVFUHHQLQJ6XEMHFWVZKR
FRPSOHWHWKHVWXG\VFUHHQLQJDVVHVVPHQWVDQGPHHWDOOWKHHOLJLELOLW\FULWHULDZLOOEHDVVLJQHGD
XQLTXHLGHQWLILFDWLRQQXPEHUDWWKHWLPHRIWKHGRVLQJGLIIHUHQWIURPWKHVFUHHQLQJQXPEHU
DQGZLOOUHFHLYHWKHFRUUHVSRQGLQJSURGXFW
6XEMHFWVZLOOUHFHLYH/2;2RQRQHRFFDVLRQ
6XEMHFWVPD\EHUHSODFHGDWWKHGLVFUHWLRQRIWKH6SRQVRU
6XEMHFWQXPEHULQJZLOOFRQVLVWRIFKDUDFWHUVLH;;;;;;ZKHUHWKHILUVWGLJLWVDUHWKH
VLWHQXPEHUDQGWKHODVWGLJLWVDUHWKHVXEMHFWQXPEHU6XEMHFWQXPEHUVZLOOEHLGHQWLILHGE\
FRKRUWHJVXEMHFWQXPEHULQJZLOOEHDVIROORZVIRUVLWH
&RKRUW0DWFKHGFRQWUROKHDOWK\VXEMHFWV

&RKRUW6XEMHFWVZLWKPLOG5,

&RKRUW6XEMHFWVZLWKPRGHUDWH5,

&RKRUW6XEMHFWVZLWKVHYHUH5,

,IUHSODFHPHQWVXEMHFWVDUHXVHGWKHODVWWKUHHGLJLWVRIWKHUHSODFHPHQWVXEMHFWQXPEHUZLOOEH
PRUHWKDQWKHRULJLQDOHJLIDKHDOWK\VXEMHFWLVHQUROOHGLQ6LWHDQGLVUHSODFHGLQ
6LWHWKHQ6XEMHFW1R
ZLOOUHSODFH6XEMHFW1R
LIDVXEMHFWZLWKPLOG5,
LVHQUROOHGDW6LWHDQGUHSODFHGDW6LWHWKHQ6XEMHFW1R
ZLOOUHSODFH6XEMHFW
1R

/2;25(7&$3URWRFRODQG3URWRFRO$PHQGPHQWV

&&,
&&,
&&,
&&,
&&,
&&,
&&,
&&,

&21),'(17,$/
&$/2;25(7)LQDO3URWRFRO$PHQGPHQW-DQ

3DJH
 %OLQGLQJ
7KLVLVDQRSHQODEHOVWXG\
 7UHDWPHQW&RPSOLDQFH
$TXDOLILHGGHVLJQHHZLOOEHUHVSRQVLEOHIRUPRQLWRULQJWKHDGPLQLVWUDWLRQRIWKHWLPHGRUDO
GRVHVRI/2;2$PRXWKFKHFNZLOOEHSHUIRUPHGE\WKHTXDOLILHGGHVLJQHHWRHQVXUHWKDW
WKHVXEMHFWVKDYHVZDOORZHGWKHVWXG\GUXJ2QFHDVXEMHFWKDVILQLVKHGWKHGRVLQJZDWHUWKH
TXDOLILHGGHVLJQHHZLOOXVHDIODVKOLJKWDQGDWRQJXHGHSUHVVRUWRFKHFNWKHVXEMHFW¶VPRXWK
6XEMHFWV¶KDQGVZLOODOVREHYHULILHGWRHQVXUHWKDWWKHVWXG\GUXJZDVLQJHVWHG
/2;25(7&$3URWRFRODQG3URWRFRO$PHQGPHQWV


&21),'(17,$/
&$/2;25(7)LQDO3URWRFRO$PHQGPHQW-DQ

3DJH
 678'<$66(660(176$1'352&('85(6
7KH6WXG\(YHQWV)ORZ&KDUW6HFWLRQVXPPDUL]HVWKHFOLQLFDOSURFHGXUHVWREHSHUIRUPHG
DWHDFKYLVLW,QGLYLGXDOFOLQLFDOSURFHGXUHVDUHGHVFULEHGLQGHWDLOEHORZ$GGLWLRQDO
HYDOXDWLRQVWHVWLQJPD\EHGHHPHGQHFHVVDU\E\WKH3,RUGHVLJQHHDQGRUWKH6SRQVRUIRU
UHDVRQVUHODWHGWRVXEMHFWVDIHW\
)RUWKLVVWXG\WKHEORRGFROOHFWLRQIRU/2;2LVWKHFULWLFDOSDUDPHWHUDQGQHHGVWREH
FROOHFWHGDVFORVHWRWKHH[DFWWLPHSRLQWDVSRVVLEOHDQGLQDFFRUGDQFHWRWKHWLPHZLQGRZV
SURYLGHGLQWKH6WXG\(YHQWV)ORZFKDUW6HFWLRQ$OORWKHUSURFHGXUHVVKRXOGEHFRPSOHWHG
DVFORVHWRWKHSUHVFULEHGVFKHGXOHGWLPHDVSRVVLEOHEXWFDQEHSHUIRUPHGSULRURUDIWHUWKH
SUHVFULEHGVFKHGXOHGWLPH
$Q\QRQVFKHGXOHGSURFHGXUHVUHTXLUHGIRUXUJHQWHYDOXDWLRQRIVDIHW\FRQFHUQVWDNH
SUHFHGHQFHRYHUDOOURXWLQHVFKHGXOHGSURFHGXUHV
 6FUHHQLQJ
:LWKLQGD\VSULRUWRWKHILUVWGRVLQJPHGLFDOKLVWRU\DQGGHPRJUDSKLFGDWDLQFOXGLQJ
QDPHVH[DJHUDFHHWKQLFLW\ERG\ZHLJKWNJKHLJKWFP%0,NJPDQGKLVWRU\RI
WREDFFRXVHZLOOEHUHSRUWHG(DFKVXEMHFWZLOOKDYHDSK\VLFDOH[DPLQDWLRQYLWDOVLJQ
PHDVXUHPHQWVKHDUWUDWHEORRGSUHVVXUHWHPSHUDWXUHDQGUHVSLUDWRU\UDWHOHDG(&*DQG
WKHODERUDWRU\WHVWVRIVHUXPFKHPLVWU\VHURORJ\WK\URLGVWLPXODWLQJKRUPRQHSUHJQDQF\
IHPDOHV)6+SRVWPHQRSDXVDOIHPDOHVKHPDWRORJ\FRDJXODWLRQDP\ODVHOLSDVHKHSDWLF
DQGUHQDOIXQFWLRQDQGDGGLWLRQDOWHVWVDVQRWHGLQ6HFWLRQ
 6DIHW\$VVHVVPHQWV
 3K\VLFDO([DPLQDWLRQ
)XOOSK\VLFDOH[DPLQDWLRQVDQGDEEUHYLDWHGSK\VLFDOH[DPLQDWLRQVZLOOEHSHUIRUPHGDV
RXWOLQHGLQWKH6WXG\(YHQWV)ORZ&KDUW6HFWLRQ$QDEEUHYLDWHGSK\VLFDOH[DPLQDWLRQ
LQFOXGHVDWWKHPLQLPXPH[DPLQDWLRQRIUHVSLUDWRU\FDUGLRYDVFXODUDQG*,V\VWHPVZLWKWKH
RSWLRQIRUIXUWKHUH[DPLQDWLRQRIDGGLWLRQDOV\VWHPVDVQHFHVVDU\EDVHGRQUHSRUWHG
V\PSWRPV$(V6\PSWRPGULYHQSK\VLFDOH[DPLQDWLRQVPD\EHSHUIRUPHGDWRWKHUWLPHVLI
GHHPHGQHFHVVDU\E\WKH3,RUGHVLJQHH
 9LWDO6LJQV
6LQJOHPHDVXUHPHQWVRIERG\WHPSHUDWXUHUHVSLUDWRU\UDWHEORRGSUHVVXUHDQGKHDUWUDWHZLOO
EHPHDVXUHGDVRXWOLQHGLQWKH6WXG\(YHQWV)ORZ&KDUW6HFWLRQ$GGLWLRQDOYLWDOVLJQVPD\
EHWDNHQDWDQ\RWKHUWLPHVLIGHHPHGQHFHVVDU\
9LWDOVLJQPHDVXUHPHQWVVKRXOGEHFDUULHGRXWSULRUWRDQGDVFORVHDVSRVVLEOHWRKDYLQJEORRG
GUDZQ%ORRGSUHVVXUHDQGKHDUWUDWHZLOOEHPHDVXUHGXVLQJWKHVDPHDUPIRUHDFKUHDGLQJ
%ORRGSUHVVXUHKHDUWUDWHDQGUHVSLUDWRU\UDWHPHDVXUHPHQWVZLOOEHSHUIRUPHGZLWKVXEMHFWV
LQDVXSLQHSRVLWLRQDWOHDVWPLQXWHVH[FHSWZKHQWKH\DUHVXSLQHRUVHPLUHFOLQHGEHFDXVH
/2;25(7&$3URWRFRODQG3URWRFRO$PHQGPHQWV


&21),'(17,$/
&$/2;25(7)LQDO3URWRFRO$PHQGPHQW-DQ

3DJH
RIVWXG\SURFHGXUHVDQGRU$(VHJQDXVHDGL]]LQHVVRULIGHHPHGQHFHVVDU\E\WKH3,RU
GHVLJQHH
%ORRGSUHVVXUHKHDUWUDWHDQGUHVSLUDWRU\UDWHZLOOEHPHDVXUHGDW6FUHHQLQJDW&KHFNLQ
'D\DQGSUHGRVHKRXUVPLQXWHVDQGKRXUVPLQXWHVSRVWGRVHRQ'D\
DQGRQFHGDLO\RQHDFK6WXG\'D\WKURXJK(27RU(7&58GLVFKDUJH
 (&*0RQLWRULQJ
6LQJOHOHDG(&*VZLOOEHSHUIRUPHGDVRXWOLQHGLQWKH6WXG\(YHQWV)ORZ&KDUW6HFWLRQ
$GGLWLRQDO(&*VPD\EHWDNHQDWDQ\RWKHUWLPHVLIGHHPHGQHFHVVDU\E\WKH3,RUGHVLJQHH
(&*VZLOOEHSHUIRUPHGZLWKVXEMHFWVLQDVXSLQHSRVLWLRQDWOHDVWPLQXWHV$OO(&*
WUDFLQJVZLOOEHUHYLHZHGE\WKH3,RUGHVLJQHH
(&*VZLOOEHPHDVXUHGDW6FUHHQLQJDW&KHFNLQ'D\DQGDWWKH(27RU(7&58
GLVFKDUJH(&*VZLOOEHREWDLQHGSULRUWRDQGDVFORVHDVSRVVLEOHWRWKHVFKHGXOHGEORRG
GUDZVLIVFKHGXOHGDWWKHVDPHWLPH
 %RG\:HLJKW
%RG\ZHLJKWNJZLOOEHUHSRUWHGDVRXWOLQHGLQWKH6WXG\(YHQWV)ORZ&KDUW6HFWLRQ
 &OLQLFDO/DERUDWRU\7HVWV
$OOWHVWVOLVWHGEHORZZLOOEHSHUIRUPHGDVRXWOLQHGLQWKH6WXG\(YHQWV)ORZ&KDUW6HFWLRQ
,QDGGLWLRQODERUDWRU\VDIHW\WHVWVPD\EHSHUIRUPHGDWYDULRXVXQVFKHGXOHGWLPHSRLQWVLI
GHHPHGQHFHVVDU\E\WKH3,RUGHVLJQHH
+HPDWRORJ\

6HUXP&KHPLVWU\
x
+HPRJORELQ
x
+HPDWRFULW
x
5HGEORRGFHOO5%&FRXQW
x
3ODWHOHWFRXQW
x
5%&GLVWULEXWLRQZLGWK
x
0HDQFRUSXVFXODUKHPRJORELQ
FRQFHQWUDWLRQ
x
0HDQFRUSXVFXODUYROXPH
x
:KLWHEORRGFHOO:%&OHXNRF\WHFRXQW
x
:%&OHXNRF\WHGLIIHUHQWLDODEVROXWHDQG
SHUFHQW
¾
%DVRSKLOV
¾
(RVLQRSKLOV
¾
/\PSKRF\WHV
¾
0RQRF\WHV
¾
1HXWURSKLOV

&RDJXODWLRQ
x
3URWKURPELQ7LPH,QWHUQDWLRQDO
QRUPDOL]HGUDWLR
x
3DUWLDOWKURPERSODVWLQWLPH
x
$FWLYDWHGSDUWLDOWKURPERSODVWLQWLPH

x
%ORRG8UHD1LWURJHQ
x
%LOLUXELQWRWDODQGGLUHFW
x
$/3
x
$67
x
$/7
x
$OEXPLQ
x
&DOFLXP
x
,URQ
x
7RWDO3URWHLQ
x
8ULF$FLG
x
6RGLXP
x
3RWDVVLXP
x
0DJQHVLXP
x
&KORULGH
x
*OXFRVHIDVWLQJ
x
&UHDWLQHNLQDVH
x
&UHDWLQLQH
x
&KROHVWHURO
x
7ULJO\FHULGHV
x
3KRVSKRUXV
x
$P\ODVH
x
/LSDVH



/2;25(7&$3URWRFRODQG3URWRFRO$PHQGPHQWV


&21),'(17,$/
&$/2;25(7)LQDO3URWRFRO$PHQGPHQW-DQ

3DJH
8ULQDO\VLV
$GGLWLRQDO7HVWV
x
S+
x
&RORUDQGDSSHDUDQFH
x
6SHFLILFJUDYLW\
x
3URWHLQ
x
*OXFRVH
x
.HWRQHV
x
%LOLUXELQ
x
%ORRG
x
1LWULWH
x
8URELOLQRJHQ
x
/HXNRF\WHHVWHUDVH

x
+,9WHVW
x
+%V$J
x
+&9
x
+E$F
x
8ULQHGUXJVFUHHQ
¾
2SLDWHV
¾
2SLRLGVPHWKDGRQHR[\FRGRQH
¾
$PSKHWDPLQHV
¾
%DUELWXUDWHV
¾
%HQ]RGLD]HSLQHV
¾
&RFDLQHPHWDEROLWH
¾
0HWKDGRQH
¾
&DQQDELQRLGV
¾
3KHQF\FOLGLQH
x
8ULQHFRWLQLQHKHDOWK\VXEMHFWVRQO\
x
8ULQHDOFRKROVFUHHQ
x
6HUXPSUHJQDQF\WHVW
IRUIHPDOHVRQO\
x
)6+IRUSRVWPHQRSDXVDOIHPDOHVRQO\
x
7K\URLGVWLPXODWLQJKRUPRQH


6DPSOHVIRUVHUXPFKHPLVWU\ZLOOEHREWDLQHGIROORZLQJDIDVWRIDWOHDVWKRXUVDW6FUHHQLQJDQGDW&KHFNLQ
'D\  DW RWKHU VFKHGXOHG WLPHV VHUXP FKHPLVWU\ WHVWV ZLOO EH SHUIRUPHG DIWHU DW OHDVW DQ  KRXU IDVW
+RZHYHULQFDVHRIGURSRXWVRUUHFKHFNVVXEMHFWVPD\QRWKDYHIDVWHGIRURUKRXUVSULRUWRWKHWLPHWKDW
WKHVHUXPFKHPLVWU\VDPSOHLVWDNHQ

%DVHOLQHH*)5ZLOOEHREWDLQHGE\WDNLQJWKHPHDQRIWKHH*)5REWDLQHGIURP6FUHHQLQJDQGIURPKLVWRULFDO
YDOXHVZLWKLQDPRQWKSHULRGIURP6FUHHQLQJ,IQRKLVWRULFDOPHDVXUHPHQWLVDYDLODEOHDVHFRQG6FUHHQLQJ
H*)5VDPSOHZLOOEHWDNHQGXULQJWKH6FUHHQLQJSHULRGGD\VDSDUWDQGWKHPHDQRIWKHWZRYDOXHVZLOO
EH XVHG DV WKH %DVHOLQH H*)5 IRU FRKRUW DVVLJQPHQW )RU KHDOWK\ VXEMHFWV D VLQJOH DVVHVVPHQW RI DFWXDO
FUHDWLQLQHFOHDUDQFHFRPSXWHGRYHUDKRXUXULQHFROOHFWLRQPD\EHXVHGLQSODFHRIWKH0'5'HTXDWLRQDW
WKH3,¶VGLVFUHWLRQ

)RUVXEMHFWVZKRDUHDQXULFXULQHVDPSOHVIRUXULQDO\VLVZLOOQRWEHFROOHFWHG

 ,IXULQDO\VLVLVSRVLWLYHIRUSURWHLQEORRGQLWULWHDQGRUOHXNRF\WHHVWHUDVHDPLFURVFRSLFH[DPLQDWLRQIRUUHG
EORRGFHOOVZKLWHEORRGFHOOVEDFWHULDFDVWVDQGHSLWKHOLDOFHOOVZLOOEHSHUIRUPHG
3HUIRUPHGDW6FUHHQLQJRQO\
 $GYHUVH(YHQWV

$GYHUVH(YHQW'HILQLWLRQ
$Q$(PHDQVDQ\XQWRZDUGPHGLFDORFFXUUHQFHDVVRFLDWHGZLWKWKHXVHRIDGUXJLQKXPDQV
ZKHWKHURUQRWFRQVLGHUHGGUXJUHODWHG
$VXVSHFWHGDGYHUVHUHDFWLRQPHDQVDQ\$(IRUZKLFKWKHUHLVDUHDVRQDEOHSRVVLELOLW\WKDWWKH
GUXJFDXVHGWKH$(5HDVRQDEOHSRVVLELOLW\PHDQVWKHUHLVHYLGHQFHWRVXJJHVWDFDXVDO
UHODWLRQVKLSEHWZHHQWKHGUXJDQGWKH$(
$Q$(FDQWKHUHIRUHEHDQ\XQIDYRUDEOHDQGXQLQWHQGHGVLJQLQFOXGLQJDQDEQRUPDO
ODERUDWRU\ILQGLQJV\PSWRPRUGLVHDVHWHPSRUDOO\DVVRFLDWHGZLWKWKHXVHRIDPHGLFLQDO
LQYHVWLJDWLRQDOSURGXFWZKHWKHURUQRWUHODWHGWRWKHPHGLFLQDOLQYHVWLJDWLRQDOSURGXFW
/2;25(7&$3URWRFRODQG3URWRFRO$PHQGPHQWV


&21),'(17,$/
&$/2;25(7)LQDO3URWRFRO$PHQGPHQW-DQ

3DJH

0RQLWRULQJ
6XEMHFWVZLOOEHPRQLWRUHGIURP6FUHHQLQJVLJQLQJRILQIRUPHGFRQVHQWXQWLO(26RU(7LI
WKHVXEMHFWGLVFRQWLQXHVDQGGRHVQRWFRPSOHWHDIROORZXSFDOOIRUDGYHUVHUHDFWLRQVWRWKH
VWXG\GUXJVDQGRUVWXG\SURFHGXUHV$WWKH(27RU(7YLVLWVXEMHFWVZLOOEHDVNHGKRZWKH\
DUHIHHOLQJSULRUWRFKHFNRXWIURPWKH&58'XULQJWKH(26IROORZXSSKRQHFDOOVXEMHFWV
ZLOOEHTXHULHGZLWKDQRSHQHQGHGTXHVWLRQVXFKDVµ+RZKDYH\RXEHHQIHHOLQJVLQFH\RXU
ODVWYLVLW"¶
$(VZKHWKHUVHULRXVRUQRQVHULRXVLQFOXGLQJDEQRUPDOODERUDWRU\WHVWYDOXHVDEQRUPDO
YLWDOVLJQVDQG(&*DEQRUPDOLWLHVGHHPHGFOLQLFDOO\VLJQLILFDQWE\WKH3,RUGHVLJQHHZLOOEH
HYDOXDWHGE\WKH3,RUGHVLJQHHDQGWUHDWHGDQGRUIROORZHGWKURXJK(27RU(7$(VZKLFK
DUHRQJRLQJDWWKH(27RU(7ZKLFKDUHDVVHVVHGDVUHODWHGWRVWXG\GUXJE\WKH3,RU
GHVLJQHHZLOOEHIROORZHGWKURXJKWKH(26$(VZKLFKDUHRQJRLQJDWWKH(26ZKLFKDUH
DVVHVVHGDVUHODWHGWRVWXG\GUXJPD\EHFRQWLQXHGWREHIROORZHGXQWLOWKHV\PSWRPVRU
YDOXHVUHWXUQWRQRUPDORUDFFHSWDEOHOHYHOVDVMXGJHGE\WKH3,RUGHVLJQHHDQGFRQILUPHG
E\WKH6SRQVRU
7UHDWPHQWRIVHULRXVDGYHUVHHYHQWV6$(VZLOOEHSHUIRUPHGE\DSK\VLFLDQHLWKHUDWWKH
&58RUDWDQHDUE\KRVSLWDOHPHUJHQF\URRP:KHUHDSSURSULDWHPHGLFDOWHVWVDQGRU
H[DPLQDWLRQVZLOOEHSHUIRUPHGWRGRFXPHQWUHVROXWLRQRIHYHQWV2XWFRPHPD\EH
FODVVLILHGDVGHDWKUHODWHGWR$(QRWUHFRYHUHGRUQRWUHVROYHGUHFRYHUHGRUUHVROYHG
UHFRYHUHGRUUHVROYHGZLWKVHTXDODHUHFRYHULQJRUUHVROYLQJRUXQNQRZQ

5HSRUWLQJ
$(VDQG6$(VZLOOEHFROOHFWHGEHJLQQLQJDWLQIRUPHGFRQVHQW$(VZLOOEHUHFRUGHG
WKURXJKRXWWKHVWXG\LHIURPVLJQLQJRIWKH,&)XQWLO(26RU(7LIWKHVXEMHFWGLVFRQWLQXHV
DQGGRHVQRWFRPSOHWHDIROORZXSFDOOHLWKHUDVVXEMHFWPHGLFDOKLVWRU\LIWKHHYHQWLV
UHSRUWHGDVEHJLQQLQJSULRUWRVLJQLQJRIWKH,&)RULIWKHHYHQWRFFXUVSULRUWRVWXG\GUXJ
DGPLQLVWUDWLRQRQ'D\DQGLVDVVHVVHGDVQRWUHODWHGWRVWXG\SURFHGXUHVE\WKH3,>RU
GHVLJQHH@RUDV$(VLIWKHHYHQWRFFXUVDIWHUVLJQLQJRIWKH,&)EXWSULRUWRVWXG\GUXJ
DGPLQLVWUDWLRQRQ'D\DQGLVDVVHVVHGDVUHODWHGWRVWXG\SURFHGXUHVE\WKH3,>RUGHVLJQHH@
RULIWKHHYHQWRFFXUVDIWHUVWXG\GUXJDGPLQLVWUDWLRQRQ'D\WKURXJK(27RU(7UHJDUGOHVV
RIUHODWLRQVKLSWRVWXG\GUXJ)URP(27RU(7WKURXJK(26RQO\$(VDVVHVVHGDVUHODWHGWR
VWXG\GUXJE\WKH3,RUGHVLJQHHDUHWREHUHSRUWHG$OO6$(VWKDWGHYHORSIURPWKHWLPHRI
,&)VLJQLQJXQWLO(26RU(7LIVXEMHFWGLVFRQWLQXHVIURPWKHVWXG\DQGGRHVQRWFRPSOHWHWKH
IROORZXSFDOODUHWREHUHSRUWHG
8QOHVVDVXEMHFWZLWKGUDZVFRQVHQWRULVZLWKGUDZQIURPWKHVWXG\DQGGRHVQRWFRPSOHWHWKH
IROORZXSFDOODOOVXEMHFWVPXVWEHIROORZHGXQWLOWKH(26$(VZKLFKDUHRQJRLQJDWWKH(26
ZKLFKDUHDVVHVVHGDVUHODWHGWRVWXG\GUXJE\WKH3,RUGHVLJQHHPD\EHIROORZHGXQWLOWKH
V\PSWRPVRUYDOXHVUHWXUQWRQRUPDORUDFFHSWDEOHOHYHOVDVMXGJHGE\WKH3,RUGHVLJQHHDQG
FRQILUPHGE\WKH6SRQVRU7KH3,RUGHVLJQHHVKRXOGXVHDSSURSULDWHMXGJPHQWLQRUGHULQJ
DGGLWLRQDOWHVWVDVQHFHVVDU\WRPRQLWRUWKHUHVROXWLRQRIHYHQWV7KH6SRQVRUPD\UHTXHVWWKDW
DGGLWLRQDOVDIHW\WHVWVEHSHUIRUPHG
/2;25(7&$3URWRFRODQG3URWRFRO$PHQGPHQWV


&21),'(17,$/
&$/2;25(7)LQDO3URWRFRO$PHQGPHQW-DQ

3DJH
7KH3,RUGHVLJQHHZLOOUHYLHZHDFK$(DQGDVVHVVLWVUHODWLRQVKLSWRGUXJWUHDWPHQW\HV
>UHODWHG@RUQR>XQUHODWHG@(DFKVLJQRUV\PSWRPUHSRUWHGZLOOEHJUDGHGRQWKH1DWLRQDO
&DQFHU,QVWLWXWH1&,&RPPRQ7HUPLQRORJ\&ULWHULDIRU$GYHUVH(YHQWV&7&$(YHUVLRQ
WR[LFLW\JUDGLQJVFDOH
*UDGHUHIHUVWRWKHVHYHULW\RIWKH$(7KH&7&$(GLVSOD\V*UDGHVWKURXJKZLWKXQLTXH
FOLQLFDOGHVFULSWLRQVRIVHYHULW\IRUHDFK$(EDVHGRQWKHIROORZLQJJHQHUDOJXLGHOLQH1&,
&7&$(1RY
*UDGH
0LOGDV\PSWRPDWLFRUPLOGV\PSWRPVFOLQLFDORUGLDJQRVWLFREVHUYDWLRQV
RQO\LQWHUYHQWLRQQRWLQGLFDWHG
*UDGH
0RGHUDWHPLQLPDOORFDORUQRQLQYDVLYHLQWHUYHQWLRQLQGLFDWHGOLPLWLQJ
DJHDSSURSULDWHLQVWUXPHQWDO$'/
*UDGH
6HYHUHRUPHGLFDOO\VLJQLILFDQWEXWQRWLPPHGLDWHO\OLIHWKUHDWHQLQJ
KRVSLWDOL]DWLRQRUSURORQJDWLRQRIKRVSLWDOL]DWLRQLQGLFDWHGGLVDEOLQJ
OLPLWLQJVHOIFDUH$'/
*UDGH
/LIHWKUHDWHQLQJFRQVHTXHQFHVXUJHQWLQWHUYHQWLRQLQGLFDWHG
*UDGH
'HDWKUHODWHGWR$(
$6HPLFRORQLQGLFDWHVµRU¶ZLWKLQWKHGHVFULSWLRQRIWKHJUDGH
1RWH1RWDOOJUDGHVDUHDSSURSULDWHIRUDOO$(V7KHUHIRUHVRPH$(VDUHOLVWHGZLWKLQWKH&7&$(ZLWKIHZHUWKDQRSWLRQV
IRUJUDGHVHOHFWLRQ*UDGHGHDWKLVQRWDSSURSULDWHIRUVRPH$(VDQGWKHUHIRUHLVQRWDQRSWLRQ
$'/ $FWLYLWLHVRI'DLO\/LYLQJ
,QVWUXPHQWDO$'/UHIHUWRSUHSDULQJPHDOVVKRSSLQJIRUJURFHULHVRUFORWKHVXVLQJWKHWHOHSKRQHPDQDJLQJPRQH\HWF
6HOIFDUH$'/UHIHUWREDWKLQJGUHVVLQJDQGXQGUHVVLQJIHHGLQJVHOIXVLQJWKHWRLOHWWDNLQJPHGLFDWLRQVDQGQRW
EHGULGGHQ

6HULRXV$GYHUVH(YHQW
,IDQ\$(VDUHVHULRXVDVGHILQHGE\WKH)'$&RGHRI)HGHUDO5HJXODWLRQV&)57LWOH
VSHFLDOSURFHGXUHVZLOOEHIROORZHG$OO6$(VZLOOEHUHSRUWHGWRWKH6SRQVRURUGHVLJQHHYLD
ID[RUHPDLOZLWKLQKRXUVRIILUVWDZDUHQHVVRIWKHHYHQWZKHWKHURUQRWWKHVHULRXV
HYHQWVDUHGHHPHGGUXJUHODWHG$OOVHULRXVHYHQWUHSRUWLQJZLOODGKHUHWR&)5IRU
,QYHVWLJDWLRQDO1HZ'UXJV,1'DQGWRWKH*XLGDQFHIRU,QGXVWU\DQG,QYHVWLJDWRUV6DIHW\
5HSRUWLQJ5HTXLUHPHQWVIRU,1'VDQG%$%(GDWHG'HFHPEHU$Q\HYHQWWKDWPHHWVWKH
FULWHULDRIDVXVSHFWHGXQH[SHFWHGVHULRXVDGYHUVHUHDFWLRQ686$5ZLOOEHUHSRUWHGWRWKH
,5%,(&DFFRUGLQJWRVLWH&58SROLF\E\WKH,QYHVWLJDWRURUGHVLJQHHDQGWRUHJXODWRU\
DXWKRULWLHVE\WKH6SRQVRURU6SRQVRUGHVLJQHHDFFRUGLQJWRUHJXODWRU\DXWKRULW\
UHTXLUHPHQWV5HIHUWR5HIHUHQFH6DIHW\,QIRUPDWLRQ56,LQWKHFXUUHQW,%IRUH[SHFWHG
DGYHUVHUHDFWLRQV

$6$(LVDQ\$(RUVXVSHFWHGDGYHUVHUHDFWLRQWKDWLQWKHYLHZRIHLWKHUWKH3,RUGHVLJQHH
RU6SRQVRUUHVXOWVLQDQ\RIWKHIROORZLQJRXWFRPHV'HDWKDOLIHWKUHDWHQLQJ$(LQSDWLHQW
KRVSLWDOL]DWLRQRUSURORQJDWLRQRIH[LVWLQJKRVSLWDOL]DWLRQDSHUVLVWHQWRUVLJQLILFDQWLQFDSDFLW\
/2;25(7&$3URWRFRODQG3URWRFRO$PHQGPHQWV


&21),'(17,$/
&$/2;25(7)LQDO3URWRFRO$PHQGPHQW-DQ

3DJH
RUGLVDELOLW\RUDFRQJHQLWDODQRPDO\ELUWKGHIHFW,PSRUWDQWPHGLFDOHYHQWVWKDWPD\QRWUHVXOW
LQGHDWKEHOLIHWKUHDWHQLQJRUUHTXLUHKRVSLWDOL]DWLRQPD\EHFRQVLGHUHGVHULRXVZKHQEDVHG
XSRQDSSURSULDWHPHGLFDOMXGJPHQWWKH\PD\MHRSDUGL]HWKHSDWLHQWRUVXEMHFWDQGPD\UHTXLUH
PHGLFDORUVXUJLFDOLQWHUYHQWLRQWRSUHYHQWRQHRIWKHRXWFRPHVOLVWHGLQWKHDERYHGHILQLWLRQ
([DPSOHVRIVXFKPHGLFDOHYHQWVLQFOXGHDOOHUJLFEURQFKRVSDVPUHTXLULQJLQWHQVLYHWUHDWPHQW
LQDQHPHUJHQF\URRPRUDWKRPHEORRGG\VFUDVLDVRUFRQYXOVLRQVWKDWGRQRWUHVXOWLQ
LQSDWLHQWKRVSLWDOL]DWLRQRUWKHGHYHORSPHQWRIGUXJGHSHQGHQF\RUGUXJDEXVH
/LIHWKUHDWHQLQJLVGHILQHGDVDQ$(RUVXVSHFWHGDGYHUVHUHDFWLRQWKDWLQWKHYLHZRIWKH3,RU
GHVLJQHHRU6SRQVRUSODFHVWKHSDWLHQWRUVXEMHFWDWLPPHGLDWHULVNRIGHDWK,WGRHVQRW
LQFOXGHDQ$(RUVXVSHFWHGDGYHUVHUHDFWLRQWKDWKDGLWRFFXUUHGLQDPRUHVHYHUHIRUPPLJKW
KDYHFDXVHGGHDWK
$OO6$(VPXVWEHUHSRUWHGRQD6$(5HSRUW)RUPSURYLGHGE\/R[R2QFRORJ\DQGVHQWE\ID[
RUHPDLOWRWKH6SRQVRUOLVWHGLQ6HFWLRQZLWKLQKRXUVRIILUVWDZDUHQHVVRIWKHHYHQW
:KHQXVLQJWKH6$(HID[DFRYHUSDJHLQFOXGLQJVWXG\LGHQWLILFDWLRQ
QXPEHUDQGVWXG\GUXJSURGXFWLH/2;2LVUHTXLUHG$OWHUQDWLYHO\DQHPDLOFDQEH
VHQWWRVDIHW\#OR[RRQFRORJ\FRP
7KH3,LVQRWREOLJDWHGWRDFWLYHO\VHHNLQIRUPDWLRQUHJDUGLQJWKHRFFXUUHQFHRIQHZ6$(V
EHJLQQLQJDIWHU(26+RZHYHULIWKH3,OHDUQVRIVXFKDQ6$(DQGWKDWHYHQWLVGHHPHG
DVVRFLDWHGZLWKWKHXVHRIVWXG\GUXJKHVKHVKRXOGSURPSWO\GRFXPHQWDQGUHSRUWWKHHYHQW
7KH3,ZLOOEHUHTXHVWHGWRVXSSO\GHWDLOHGLQIRUPDWLRQDVZHOODVIROORZXSUHJDUGLQJWKH
6$($OWKRXJKQRWFRQVLGHUHGDQ$(SHUVHWKH6SRQVRUPXVWEHQRWLILHGRIDQ\VXEMHFWRU
VXEMHFW¶VSDUWQHUZKREHFRPHVSUHJQDQWGXULQJWKHVWXG\DWDQ\WLPHEHWZHHQ6FUHHQLQJXQWLO
GD\VDIWHUVWXG\GUXJDGPLQLVWUDWLRQRQ'D\
 3KDUPDFRNLQHWLF$VVHVVPHQWV
 %ORRG6DPSOLQJDQG3URFHVVLQJ
)RUDOOVXEMHFWVEORRGVDPSOHVIRUWKHGHWHUPLQDWLRQRI/2;2ZLOOEHFROOHFWHGDW
VFKHGXOHGWLPHSRLQWVDVGHOLQHDWHGLQWKH6WXG\(YHQWV)ORZ&KDUW6HFWLRQ
,QVWUXFWLRQIRUEORRGVDPSOLQJFROOHFWLRQSURFHVVLQJDQGVDPSOHVKLSPHQWZLOOEHSURYLGHG
VHSDUDWHO\
%ORRGFROOHFWLRQVSHUIRUPHGRXWVLGHRIWKHVDPSOHFROOHFWLRQZLQGRZVDVGHILQHGLQWKH6WXG\
(YHQWV)ORZ&KDUW6HFWLRQZLOOEHFRQVLGHUHGGHYLDWLRQV

/2;25(7&$3URWRFRODQG3URWRFRO$PHQGPHQWV


&21),'(17,$/
&$/2;25(7)LQDO3URWRFRO$PHQGPHQW-DQ

3DJH
 3KDUPDFRNLQHWLF3DUDPHWHUV
3.SDUDPHWHUVIRUSODVPD/2;2ZLOOEHFDOFXODWHGDVIROORZVDVDSSURSULDWH

$8&W

7KHDUHDXQGHUWKHFRQFHQWUDWLRQWLPHFXUYHIURPWLPHWRWKHODVW
REVHUYHGQRQ]HURFRQFHQWUDWLRQDVFDOFXODWHGE\WKHOLQHDUWUDSH]RLGDO
PHWKRG
$8&

7KHDUHDXQGHUWKHFRQFHQWUDWLRQWLPHFXUYHIURPWLPHWR+RXUDV
FDOFXODWHGE\WKHOLQHDUWUDSH]RLGDOPHWKRG,IWKHKRXUSODVPD
FRQFHQWUDWLRQLVPLVVLQJ%/4RUQRWUHSRUWDEOHWKHQWKLVSDUDPHWHU
FDQQRWEHFDOFXODWHG
$8&LQI
7KHDUHDXQGHUWKHFRQFHQWUDWLRQWLPHFXUYHIURPWLPHH[WUDSRODWHGWR
LQILQLW\$8&LQILVFDOFXODWHGDVWKHVXPRI$8&WSOXVWKHUDWLRRI
WKHODVWPHDVXUDEOHSODVPDFRQFHQWUDWLRQWRWKHHOLPLQDWLRQUDWH
FRQVWDQW
$8&H[WUDS
3HUFHQWRI$8&LQIH[WUDSRODWHGUHSUHVHQWHGDV
$8&W$8&LQI
&/)
$SSDUHQWWRWDOSODVPDFOHDUDQFHDIWHURUDOH[WUDYDVFXODU
DGPLQLVWUDWLRQFDOFXODWHGDV'RVH$8&LQI
&PD[
0D[LPXPREVHUYHGFRQFHQWUDWLRQ
7PD[
7LPHWRUHDFK&PD[,IWKHPD[LPXPYDOXHRFFXUVDWPRUHWKDQRQH
WLPHSRLQW7PD[LVGHILQHGDVWKHILUVWWLPHSRLQWZLWKWKLVYDOXH
.HO
$SSDUHQWILUVWRUGHUWHUPLQDOHOLPLQDWLRQUDWHFRQVWDQWFDOFXODWHGIURPD
VHPLORJSORWRIWKHSODVPDFRQFHQWUDWLRQYHUVXVWLPHFXUYH7KH
SDUDPHWHUZLOOEHFDOFXODWHGE\OLQHDUOHDVWVTXDUHVUHJUHVVLRQDQDO\VLV
XVLQJWKHPD[LPXPQXPEHURISRLQWVLQWKHWHUPLQDOORJOLQHDUSKDVH
HJWKUHHRUPRUHQRQ]HURSODVPDFRQFHQWUDWLRQV
Wò
$SSDUHQWILUVWRUGHUWHUPLQDOHOLPLQDWLRQKDOIOLIHZLOOEHFDOFXODWHGDV
.HO
9])
$SSDUHQWYROXPHRIGLVWULEXWLRQGXULQJWKHWHUPLQDOHOLPLQDWLRQSKDVH
DIWHURUDOH[WUDYDVFXODUDGPLQLVWUDWLRQFDOFXODWHGDV
'RVH$8&LQI[.HO
1RYDOXHIRU.HO$8&H[WUDS$8&LQI&/)9])RUWòZLOOEHUHSRUWHGIRUFDVHVWKDW
GRQRWH[KLELWDWHUPLQDOORJOLQHDUSKDVHLQWKHFRQFHQWUDWLRQWLPHSURILOH
1R3.SDUDPHWHUVZLOOEHFDOFXODWHGIRUVXEMHFWVZLWKRUIHZHUFRQVHFXWLYHWLPHSRLQWVZLWK
GHWHFWDEOHFRQFHQWUDWLRQV
,QGLYLGXDODQGPHDQSODVPDFRQFHQWUDWLRQWLPHFXUYHVERWKOLQHDUDQGORJOLQHDUZLOOEH
LQFOXGHGLQWKHILQDO&OLQLFDO6WXG\5HSRUW
/2;25(7&$3URWRFRODQG3URWRFRO$PHQGPHQWV


&21),'(17,$/
&$/2;25(7)LQDO3URWRFRO$PHQGPHQW-DQ

3DJH
 8ULQH&ROOHFWLRQ
8ULQHVDPSOHVIRUGHWHUPLQDWLRQRI/2;2FRQFHQWUDWLRQVZLOOEHFROOHFWHGDWVHOHFWHG
LQWHUYDOVDVGHOLQHDWHGLQWKH6WXG\(YHQWV)ORZ&KDUW6HFWLRQ)RUUHQDOO\LPSDLUHG
VXEMHFWVXULQHVDPSOHVZLOOEHFROOHFWHGZKHQHYHUSRVVLEOHDVWKH\PD\QRWEHDEOHWRSURGXFH
XULQHDWHDFKLQWHUYDO
3ULRUWRWKHSUHGRVHVDPSOHLQVWUXFWLRQVIRUWKHXULQHFROOHFWLRQPHWKRGVGHVFULEHGEHORZZLOO
EHSURYLGHGWRHDFKVXEMHFW
2Q'D\DVSRWFROOHFWLRQZLOOEHREWDLQHG
6XEMHFWV
ZLOOEHDVNHGDJDLQWRHPSW\WKHLUEODGGHU

DQGQRXULQHZLOOEHFROOHFWHGDWWKLVWLPHXQOHVV
2QO\RQH


8ULQHSRUWLRQVZLOOEHSRROHGSHUVXEMHFWZLWKLQDQ\SODQQHGFROOHFWLRQLQWHUYDO
-XVWSULRUWRWKHHQGRIHDFKVDPSOLQJLQWHUYDOGHVFULEHGLQWKH6WXG\(YHQWV)ORZ&KDUW
6HFWLRQVXEMHFWVZLOOEHHQFRXUDJHGWRYRLGWKHLUEODGGHUDJDLQWRFRPSOHWHWKHFROOHFWLRQ
7KHWLPHRIYRLGVRFFXUULQJDWDQ\WLPHGXULQJWKHFROOHFWLRQLQWHUYDOVKRXOGEHGRFXPHQWHG
6KRXOGVXEMHFWVEHXQDEOHWRYRLGWKLVZLOOEHGRFXPHQWHGDVZHOO
8ULQHZLOOEHUHIULJHUDWHGGXULQJWKHFROOHFWLRQLQWHUYDOV7KHZHLJKWRIDQHPSW\XULQH
FROOHFWLRQFRQWDLQHUDQGWRWDOZHLJKWRIXULQHFROOHFWHGGXULQJHDFKWLPHGLQWHUYDOZLOOEH
UHFRUGHG
,QVWUXFWLRQVIRUXULQHFROOHFWLRQSURFHVVLQJDQGVDPSOHVKLSPHQWZLOOEHSURYLGHGVHSDUDWHO\
 8ULQH3KDUPDFRNLQHWLF3DUDPHWHUV
3.SDUDPHWHUVIRUXULQH/2;2ZLOOEHFDOFXODWHGDVIROORZVDVDSSURSULDWH
$H
7RWDODPRXQWRIGUXJH[FUHWHGLQWKHXULQHRYHUWKHHQWLUHSHULRGRIVDPSOH
FROOHFWLRQKRXUVREWDLQHGE\DGGLQJWKHDPRXQWVH[FUHWHGRYHUHDFK
FROOHFWLRQLQWHUYDO
)H
)UDFWLRQRIGUXJH[FUHWLRQGXULQJHDFKFROOHFWLRQLQWHUYDO2EWDLQHGE\GLYLGLQJ
WKHDPRXQWRIGUXJH[FUHWHGLQHDFKFROOHFWLRQLQWHUYDOE\WKHGRVH
&/U
5HQDOFOHDUDQFHFDOFXODWHGDV$HW¶W´$8&W¶W´ZKHUHW¶W´LVWKHORQJHVW
LQWHUYDORIWLPHGXULQJZKLFK$HDQG$8&DUHERWKREWDLQHG
 $QDO\WLFDO0HWKRG
6DPSOHVZLOOEHDQDO\]HGIRUSODVPDDQGXULQH/2;2XVLQJYDOLGDWHGELRDQDO\WLFDO
PHWKRGV6DPSOHVIURPVXEMHFWVWREHDVVD\HGDUHVSHFLILHGLQ6HFWLRQ
/2;25(7&$3URWRFRODQG3URWRFRO$PHQGPHQWV

&&,
&&,
&&,
&&,
&&,

&21),'(17,$/
&$/2;25(7)LQDO3URWRFRO$PHQGPHQW-DQ

3DJH
 %ORRG9ROXPH'UDZQIRU6WXG\$VVHVVPHQWV
7DEOH %ORRG9ROXPHGXULQJWKH6WXG\
6DPSOH7\SH
1XPEHURI
7LPH3RLQWV
$SSUR[LPDWH
9ROXPHSHU7LPH
3RLQWP/
$SSUR[LPDWH
6DPSOH9ROXPH
2YHU&RXUVHRI
6WXG\P/
6FUHHQLQJODERUDWRU\VDIHW\WHVWVLQFOXGLQJ
KHPDWRORJ\VHUXPFKHPLVWU\FRDJXODWLRQ
VHURORJ\WK\URLGVWLPXODWLQJKRUPRQH)6+
IRUSRVWPHQRSDXVDOIHPDOHVXEMHFWVRQO\DQG
VHUXPSUHJQDQF\IRUIHPDOHVXEMHFWVRQO\
2QVWXG\KHPDWRORJ\VHUXPFKHPLVWU\DQG
FRDJXODWLRQ
%ORRGIRU/2;23.
%ORRGIRU/2;23URWHLQ%LQGLQJ
7RWDO%ORRG9ROXPHP/


5HSUHVHQWVWKHODUJHVWFROOHFWLRQWXEHWKDWPD\EHXVHGIRUWKLVDVPDOOHUWXEHPD\EHXVHG

,IDGGLWLRQDOVDIHW\RU3.DQDO\VLVLVQHFHVVDU\RULIODUJHUFROOHFWLRQWXEHVDUHUHTXLUHGWRREWDLQVXIILFLHQW
SODVPDVHUXPIRUDQDO\VLVDGGLWLRQDOEORRGPD\EHREWDLQHG

/2;25(7&$3URWRFRODQG3URWRFRO$PHQGPHQWV

&&,
&&,
&&,

&21),'(17,$/
&$/2;25(7)LQDO3URWRFRO$PHQGPHQW-DQ

3DJH
 67$7,67,&$/&216,'(5$7,216
'DWDZLOOEHKDQGOHGDQGSURFHVVHGDFFRUGLQJWR&HOHULRQ6WDQGDUG2SHUDWLQJ3URFHGXUHV
ZKLFKDUHZULWWHQEDVHGRQWKHSULQFLSOHVRI*&3
 6DPSOH6L]H'HWHUPLQDWLRQ
7KHVDPSOHVL]HLVFRQVLGHUHGVXIILFLHQWWRSURYLGHFOLQLFDOO\PHDQLQJIXOGHVFULSWLYHUHVXOWV
LQFOXGLQJFRQILGHQFHLQWHUYDOVDERXWHVWLPDWHVRIJHRPHWULFPHDQUDWLRVRIWKH$8&DQG
&PD[ZLWK/2;2IRUVXEMHFWVZLWKYDU\LQJGHJUHHVRI5,LHPLOGPRGHUDWHDQG
VHYHUHFRPSDUHGWRKHDOWK\PDWFKHGFRQWUROVXEMHFWV
 3RSXODWLRQIRU$QDO\VHV
3.3RSXODWLRQ3ODVPDVDPSOHVIURPDOOVXEMHFWVZLOOEHDVVD\HGHYHQLIWKHVXEMHFWVGRQRW
FRPSOHWHWKHVWXG\3.SRSXODWLRQZLOOFRPSULVHDOOVXEMHFWVZKRFRPSO\VXIILFLHQWO\ZLWKWKH
SURWRFRODQGGLVSOD\DQHYDOXDEOH3.SURILOHHJH[SRVXUHWRWUHDWPHQWDYDLODELOLW\RI
PHDVXUHPHQWVDQGDEVHQFHRIPDMRUSURWRFROYLRODWLRQV
6DIHW\3RSXODWLRQ$OOVXEMHFWVZKRUHFHLYHGDWOHDVWRQHGRVHRIWKHVWXG\GUXJZLOOEH
LQFOXGHGLQWKHVDIHW\HYDOXDWLRQV
 6WDWLVWLFDO$QDO\VHV
'HWDLOHGPHWKRGRORJ\IRUVXPPDU\DQGVWDWLVWLFDODQDO\VHVRIWKHGDWDFROOHFWHGLQWKLVVWXG\
ZLOOEHGRFXPHQWHGLQD6WDWLVWLFDO$QDO\VLV3ODQ6$37KH6$3ZLOOEHSUHSDUHGE\&HOHULRQ
DQGDJUHHGXSRQZLWKWKH6SRQVRU7KLVGRFXPHQWPD\PRGLI\WKHSODQVRXWOLQHGLQWKH
SURWRFROKRZHYHUDQ\PDMRUPRGLILFDWLRQVRIWKHSULPDU\HQGSRLQWVGHILQLWLRQDQGRULWV
DQDO\VLVZLOODOVREHUHIOHFWHGLQDSURWRFRODPHQGPHQW$GGLWLRQDOVWDWLVWLFDODQDO\VHVRWKHU
WKDQWKRVHGHVFULEHGLQWKLVVHFWLRQPD\EHSHUIRUPHGLIGHHPHGDSSURSULDWH
 3KDUPDFRNLQHWLF$QDO\VHV

'HVFULSWLYH6WDWLVWLFV
9DOXHVZLOOEHFDOFXODWHGIRUWKHSODVPDFRQFHQWUDWLRQVDQGWKH3.SDUDPHWHUVOLVWHGLQ
6HFWLRQIRU/2;2XVLQJDSSURSULDWHVXPPDU\VWDWLVWLFVWREHIXOO\RXWOLQHGLQWKH
6$3
$QDO\VLVRI&RYDULDQFH
$QDQDO\VLVRIFRYDULDQFH$1&29$ZLOOEHSHUIRUPHGRQWKHOQWUDQVIRUPHG$8&W
$8&LQIDQG&PD[7KH$1&29$PRGHOZLOOFRQWDLQDFDWHJRULFDOIDFWRURISRSXODWLRQIRU
VXEMHFWVZLWKYDULRXVGHJUHHVRI5,PLOGPRGHUDWHDQGVHYHUHDQGKHDOWK\PDWFKHGFRQWURO
VXEMHFWVDFDWHJRULFDOFRYDULDWHVH[DQGFRQWLQXRXVFRYDULDWHVDJHDQG%0,
7KHWRPDWFKLQJFRPSDULVRQVRILQWHUHVWVDUH
x 6XEMHFWVZLWKVHYHUH5,YHUVXVKHDOWK\PDWFKHGFRQWUROVXEMHFWV
/2;25(7&$3URWRFRODQG3URWRFRO$PHQGPHQWV


&21),'(17,$/
&$/2;25(7)LQDO3URWRFRO$PHQGPHQW-DQ

3DJH
x 6XEMHFWVZLWKPRGHUDWH5,YHUVXVKHDOWK\PDWFKHGFRQWUROVXEMHFWV
x 6XEMHFWVZLWKPLOG5,YHUVXVKHDOWK\PDWFKHGFRQWUROVXEMHFWV

5DWLRVDQG&RQILGHQFH,QWHUYDOV
5DWLRVRIOHDVWVTXDUHVPHDQV/60ZLOOEHFDOFXODWHGXVLQJWKHH[SRQHQWLDWLRQRIWKH
GLIIHUHQFHEHWZHHQUHQDOIXQFWLRQFRKRUW/60IURPWKH$1&29$DQDO\VHVRQWKH
OQWUDQVIRUPHG$8&W$8&LQIDQG&PD[7KHVHUDWLRVZLOOEHH[SUHVVHGDVDSHUFHQWDJH
UHODWLYHWRWKHKHDOWK\PDWFKHGFRQWUROFRKRUW
1LQHW\SHUFHQWFRQILGHQFHLQWHUYDOV&,VIRUWKHUDWLRVZLOOEHGHULYHGE\
H[SRQHQWLDWLRQRIWKH&,VREWDLQHGIRUWKHGLIIHUHQFHEHWZHHQUHQDOIXQFWLRQFRKRUW/60
UHVXOWLQJIURPWKH$1&29$DQDO\VHVRQWKHOQWUDQVIRUPHG$8&W$8&LQIDQG&PD[
7KH&,VZLOOEHH[SUHVVHGDVDSHUFHQWDJHUHODWLYHWRWKHKHDOWK\PDWFKHGFRQWUROFRKRUW

$GGLWLRQDO$QDO\VLV
7KHUHODWLRQVKLSEHWZHHQ/2;23.SDUDPHWHUVLH&PD[DQG$8&DQGPHDVXUHVRI
UHQDOIXQFWLRQVXFKDVH*)5DQG&/FUPD\EHH[SORUHGXVLQJDOLQHDUUHJUHVVLRQDSSURDFKRU
RWKHUPHWKRGVDVLQGLFDWHGLQWKH6$3
7KHHIIHFWRIFRYDULDWHVVXFKDVDJH%0,DQGJHQGHUPD\EHLQYHVWLJDWHG

3URWHLQ%LQGLQJ
)UDFWLRQRIXQERXQG/2;2LQSODVPD)XZLOOEHFRPSXWHGDQG3.SDUDPHWHUVPD\DOVR
EHH[SUHVVHGLQWHUPVRIXQERXQGFRQFHQWUDWLRQVHJ&PD[X$8&XDQG&/X)LI
DSSOLFDEOH
 6DIHW\$QDO\VHV
$OOVDIHW\GDWDZLOOEHSRSXODWHGLQWKHLQGLYLGXDO&5)V$OOVDIHW\GDWDZLOOEHOLVWHGE\
VXEMHFWV
'RVLQJGDWHVDQGWLPHVZLOOEHOLVWHGE\VXEMHFW
$(VZLOOEHFRGHGXVLQJWKH0HGLFDO'LFWLRQDU\IRU5HJXODWRU\$FWLYLWLHV0HG'5$DQG
VXPPDUL]HGE\WUHDWPHQWIRUWKHQXPEHURIVXEMHFWVUHSRUWLQJWKH7($($E\VXEMHFW$(GDWD
OLVWLQJLQFOXGLQJYHUEDWLPWHUPFRGHGWHUPWUHDWPHQWVHYHULW\DQGUHODWLRQVKLSWRWUHDWPHQW
ZLOOEHSURYLGHG
6DIHW\GDWDLQFOXGLQJ(&*VSK\VLFDOH[DPLQDWLRQVYLWDOVLJQVDVVHVVPHQWVFOLQLFDOODERUDWRU\
UHVXOWVZLOOEHVXPPDUL]HGE\WUHDWPHQWDQGSRLQWRIWLPHRIFROOHFWLRQ
'HVFULSWLYHVWDWLVWLFVXVLQJDSSURSULDWHVXPPDU\VWDWLVWLFVZLOOEHFDOFXODWHGIRUTXDQWLWDWLYH
VDIHW\GDWDDVZHOODVIRUWKHGLIIHUHQFHWREDVHOLQHZKHQDSSURSULDWH
&RQFRPLWDQWPHGLFDWLRQVZLOOEHOLVWHGE\VXEMHFWDQGFRGHGXVLQJWKH:RUOG+HDOWK
2UJDQL]DWLRQGUXJGLFWLRQDU\0HGLFDOKLVWRU\ZLOOEHOLVWHGE\VXEMHFW
/2;25(7&$3URWRFRODQG3URWRFRO$PHQGPHQWV


&21),'(17,$/
&$/2;25(7)LQDO3URWRFRO$PHQGPHQW-DQ

3DJH
 678'<$'0,1,675$7,21
 (WKLFV
 ,QVWLWXWLRQDO5HYLHZ%RDUG
7KLVSURWRFROZLOOEHUHYLHZHGE\DQ,5%DQGWKHVWXG\ZLOOQRWVWDUWXQWLOWKH,5%KDV
DSSURYHGWKHSURWRFRORUDPRGLILFDWLRQWKHUHRI7KH,5%ZLOOEHFRQVWLWXWHGDQGRSHUDWHLQ
DFFRUGDQFHZLWKWKHSULQFLSOHVDQGUHTXLUHPHQWVGHVFULEHGLQWKH86&RGHRI)HGHUDO
5HJXODWLRQV&)53DUWDQGZLOOEHFRPSOLDQWWR7KH,QWHUQDWLRQDO&RXQFLORQ
+DUPRQLVDWLRQ,&+JXLGHOLQHV
 (WKLFDO&RQGXFWRIWKH6WXG\
7KLVUHVHDUFKZLOOEHFDUULHGRXWLQDFFRUGDQFHZLWKWKHSURWRFRO86&RGHRI)HGHUDO
5HJXODWLRQV&)53DUWVDQGWKHHWKLFDOSULQFLSOHVVHWIRUWKLQWKH'HFODUDWLRQRI
+HOVLQNL*&3DQGWKH,&+KDUPRQL]HGWULSDUWLWHJXLGHOLQHUHJDUGLQJ*&3(>5@*RRG
&OLQLFDO3UDFWLFH,QWHJUDWHG$GGHQGXPWR(>5@0DUFKVW
 6XEMHFW,QIRUPDWLRQDQG&RQVHQW
7KHSXUSRVHRIWKHVWXG\WKHSURFHGXUHVWREHFDUULHGRXWDQGWKHSRWHQWLDOKD]DUGVZLOOEH
GHVFULEHGWRWKHVXEMHFWVLQQRQWHFKQLFDOWHUPV6XEMHFWVZLOOEHUHTXLUHGWRUHDGVLJQDQGGDWH
DQ,&)VXPPDUL]LQJWKHGLVFXVVLRQSULRUWR6FUHHQLQJDQGZLOOEHDVVXUHGWKDWWKH\PD\
ZLWKGUDZIURPWKHVWXG\DWDQ\WLPHZLWKRXWMHRSDUGL]LQJWKHLUPHGLFDOFDUH
6XEMHFWVZLOOEHJLYHQDFRS\RIWKHLUVLJQHG,&)
 &RQILGHQWLDOLW\
$OOPHPEHUVRIWKH,QYHVWLJDWRU¶VVWDIIKDYHVLJQHGFRQILGHQWLDOLW\DJUHHPHQWV%\VLJQLQJWKLV
SURWRFROWKH,QYHVWLJDWRUDQGLQYHVWLJDWLRQDOVWDIIZLOOUHJDUGDOOLQIRUPDWLRQSURYLGHGE\WKH
6SRQVRUDQGDOOLQIRUPDWLRQREWDLQHGGXULQJWKHFRXUVHRIWKHVWXG\DVFRQILGHQWLDO
7KH,QYHVWLJDWRUPXVWJXDUDQWHHWKHSULYDF\RIWKHVXEMHFWVWDNLQJSDUWLQWKHVWXG\6XEMHFWV
ZLOOEHLGHQWLILHGWKURXJKRXWGRFXPHQWDWLRQDQGHYDOXDWLRQE\DXQLTXHVXEMHFWVWXG\QXPEHU
7KURXJKRXWWKHVWXG\DVXEMHFW¶VVRXUFHGDWDZLOORQO\EHOLQNHGWRWKH6SRQVRU¶VFOLQLFDO
VWXG\GDWDEDVHRUGRFXPHQWDWLRQYLDDXQLTXHLGHQWLILFDWLRQQXPEHU,IVXEMHFWQDPHDSSHDUV
RQDQ\VWXG\GRFXPHQWLWPXVWEHUHGDFWHGEHIRUHWKHFRS\RIWKHGRFXPHQWVLVVXSSOLHGWRWKH
6SRQVRU$Q\LQIRUPDWLRQFRQFHUQLQJWKHVXEMHFWVFOLQLFDOQRWHVLGHQWLILFDWLRQQXPEHUVHWF
PXVWEHNHSWRQILOHE\WKH,QYHVWLJDWRUZKRZLOOHQVXUHWKDWLWLVUHYHDOHGRQO\WRWKH6SRQVRU
,5%RUUHJXODWRU\DXWKRULWLHVIRUWKHSXUSRVHVRIWULDOPRQLWRULQJDXGLWLQJRURIILFLDO
LQVSHFWLRQV$VUHTXLUHGLQWKHFDVHRIDQHYHQWZKHUHPHGLFDOH[SHQVHVDUHWKHUHVSRQVLELOLW\
RIWKH6SRQVRUSHUVRQDOLQIRUPDWLRQLHIXOOQDPHVRFLDOVHFXULW\GHWDLOVHWFPD\EH
UHOHDVHGWRWKH6SRQVRU$SSURSULDWHSUHFDXWLRQVZLOOEHWDNHQWRPDLQWDLQFRQILGHQWLDOLW\RI
PHGLFDOUHFRUGVDQGSHUVRQDOLQIRUPDWLRQLQVWULFWHVWFRQILGHQFHDQGLQDFFRUGDQFHZLWKORFDO
GDWDSURWHFWLRQODZV
/2;25(7&$3URWRFRODQG3URWRFRO$PHQGPHQWV


&21),'(17,$/
&$/2;25(7)LQDO3URWRFRO$PHQGPHQW-DQ

3DJH
 7HUPLQDWLRQRIWKH6WXG\
7KHSDUWLFLSDWLQJ&58VUHVHUYHWKHULJKWWRWHUPLQDWHWKHVWXG\LQWKHLQWHUHVWRIVXEMHFW
ZHOIDUH
7KH6SRQVRUUHVHUYHVWKHULJKWWRVXVSHQGRUWHUPLQDWHWKHVWXG\DWDQ\WLPH
 'DWD4XDOLW\$VVXUDQFH
6WDQGDUGRSHUDWLQJSURFHGXUHVDUHDYDLODEOHIRUDOODFWLYLWLHVSHUIRUPHGDW&HOHULRQDQG
SDUWLFLSDWLQJ&58VUHOHYDQWWRWKHTXDOLW\RIWKLVVWXG\'HVLJQDWHGSHUVRQQHORI&HOHULRQDQG
SDUWLFLSDWLQJ&58VDVDSSURSULDWHZLOOEHUHVSRQVLEOHIRULPSOHPHQWLQJDQGPDLQWDLQLQJ
TXDOLW\DVVXUDQFH4$DQGTXDOLW\FRQWUROV\VWHPVWRHQVXUHWKDWWKHVWXG\LVFRQGXFWHGDQG
WKDWGDWDDUHJHQHUDWHGGRFXPHQWHGDQGUHSRUWHGLQFRPSOLDQFHZLWKWKHVWXG\SURWRFRO*&3
DQG*/3UHTXLUHPHQWVDVZHOODVDSSOLFDEOHUHJXODWRU\UHTXLUHPHQWVDQGORFDOODZVUXOHVDQG
UHJXODWLRQVUHODWLQJWRWKHFRQGXFWRIWKHFOLQLFDOVWXG\
7KH&OLQLFDO6WXG\5HSRUWZLOOEHDXGLWHGE\WKH&HOHULRQ4$GHSDUWPHQWDQGWKH4$DXGLW
FHUWLILFDWHZLOOEHLQFOXGHGLQWKH&OLQLFDO6WXG\5HSRUW
(GLWFKHFNVDUHWKHQSHUIRUPHGIRUDSSURSULDWHGDWDEDVHVDVDYDOLGDWLRQURXWLQHXVLQJ6$6RU
FRPSDUDEOHVWDWLVWLFDOSURJUDPWRFKHFNIRUPLVVLQJGDWDGDWDLQFRQVLVWHQFLHVGDWDUDQJHVHWF
&RUUHFWLRQVDUHPDGHSULRUWRGDWDEDVHORFN
 'LUHFW$FFHVVWR6RXUFH'DWD'RFXPHQWV
7KHSDUWLFLSDWLQJ&58VZLOOHQVXUHWKDWWKH6SRQVRU,5%DQGLQVSHFWLRQE\GRPHVWLFDQG
IRUHLJQUHJXODWRU\DXWKRULWLHVZLOOKDYHGLUHFWDFFHVVWRDOO&58VVRXUFHGDWDGRFXPHQWVDQG
UHSRUWVIRUWKHSXUSRVHRIPRQLWRULQJDQGDXGLWLQJ,&+>(@	,QWKHHYHQWWKDW
RWKHUVWXG\UHODWHGPRQLWRULQJVKRXOGEHGRQHE\RWKHUSDUWLHVWKH\ZLOOEHUHTXLUHGWRVLJQD
FRQILGHQWLDOLW\DJUHHPHQWSULRUWRDQ\PRQLWRULQJDQGDXGLWLQJ
 'UXJ6XSSOLHV3DFNDJLQJDQG/DEHOLQJ
7KH6SRQVRUZLOOVXSSO\VXIILFLHQWTXDQWLWLHVRIWKH/2;2FDSVXOHVWRDOORZFRPSOHWLRQ
RIWKLVVWXG\7KHORWQXPEHUVDQGH[SLUDWLRQGDWHVZKHUHDYDLODEOHRIWKHVWXG\GUXJV
VXSSOLHGZLOOEHUHFRUGHGLQWKHILQDO&OLQLFDO6WXG\5HSRUW
5HFRUGVZLOOEHPDGHRIWKHUHFHLSWDQGGLVSHQVLQJRIWKHVWXG\GUXJVVXSSOLHG$WWKH
FRQFOXVLRQRIWKHVWXG\DQ\XQXVHGVWXG\GUXJVZLOOEHUHWDLQHGE\WKH&58UHWXUQHGWRWKH
6SRQVRURUGHVLJQHHRUGHVWUR\HGDVSHU6SRQVRULQVWUXFWLRQV,IQRVXSSOLHVUHPDLQWKLVIDFW
ZLOOEHGRFXPHQWHGLQWKHSKDUPDF\SURGXFWDFFRXQWDELOLW\UHFRUGV
 'DWD+DQGOLQJDQG5HFRUG.HHSLQJ
'DWDZLOOEHHQWHUHGGLUHFWO\DQGPDQDJHGZLWKLQDQHOHFWURQLFGDWDFDSWXUHV\VWHP
2PQL&RPP7ULDO0DVWHU
/2;25(7&$3URWRFRODQG3URWRFRO$PHQGPHQWV


&21),'(17,$/
&$/2;25(7)LQDO3URWRFRO$PHQGPHQW-DQ

3DJH
$OOUDZGDWDJHQHUDWHGLQFRQQHFWLRQZLWKWKLVVWXG\WRJHWKHUZLWKWKHRULJLQDOFRS\RIWKH
ILQDO&OLQLFDO6WXG\5HSRUWZLOOEHUHWDLQHGE\WKHSDUWLFLSDWLQJ&58VXQWLODWOHDVW\HDUV
DIWHUWKHODVWDSSURYDORIDPDUNHWLQJDSSOLFDWLRQLQDQ,&+UHJLRQDQGXQWLOWKHUHDUHQR
SHQGLQJRUFRQWHPSODWHGPDUNHWLQJDSSOLFDWLRQVLQDQ,&+UHJLRQRUDWOHDVW\HDUVKDYH
HODSVHGVLQFHWKHIRUPDOGLVFRQWLQXDWLRQRIFOLQLFDOGHYHORSPHQWRIWKHLQYHVWLJDWLRQDOSURGXFW
7KHVHGRFXPHQWVVKRXOGEHUHWDLQHGIRUDORQJHUSHULRGKRZHYHULIUHTXLUHGE\WKHDSSOLFDEOH
UHJXODWRU\UHTXLUHPHQWVRUE\DQDJUHHPHQWZLWKWKH6SRQVRU,WLVWKHUHVSRQVLELOLW\RIWKH
6SRQVRUWRLQIRUPWKHSDUWLFLSDWLQJ&58VDVWRZKHQWKHVHGRFXPHQWVQRORQJHUQHHGWREH
UHWDLQHG
 5HSRUW)RUPDW
$FFRUGLQJWRWKH,&++DUPRQL]HG7ULSDUWLWH*XLGHOLQH2UJDQL]DWLRQRIWKH&RPPRQ
7HFKQLFDO'RFXPHQWIRUWKH5HJLVWUDWLRQRI3KDUPDFHXWLFDOVIRU+XPDQ8VH0DQGWKH
,&+0([SHUW:RUNLQJ*URXSWKHILQDO&OLQLFDO6WXG\5HSRUWZLOOEHZULWWHQDFFRUGLQJWR
WKH,&+(*XLGHOLQH6WUXFWXUHDQG&RQWHQWRI&OLQLFDO6WXG\5HSRUWV
 3XEOLFDWLRQ3ROLF\
$OOXQSXEOLVKHGLQIRUPDWLRQJLYHQWR&HOHULRQDQGRUWKHSDUWLFLSDWLQJ&58VE\WKH6SRQVRU
VKDOOQRWEHSXEOLVKHGRUGLVFORVHGWRDWKLUGSDUW\ZLWKRXWWKHSULRUZULWWHQFRQVHQWRIWKH
6SRQVRU
7KHGDWDJHQHUDWHGE\WKLVVWXG\DUHFRQVLGHUHGFRQILGHQWLDOLQIRUPDWLRQDQGWKHSURSHUW\RI
WKH6SRQVRU7KLVFRQILGHQWLDOLQIRUPDWLRQPD\EHSXEOLVKHGRQO\LQFROODERUDWLRQZLWK
SDUWLFLSDWLQJSHUVRQQHOIURPWKH6SRQVRURUXSRQ6SRQVRU¶VZULWWHQFRQVHQWWRSXEOLVKWKH
DUWLFOH
/2;25(7&$3URWRFRODQG3URWRFRO$PHQGPHQWV


&21),'(17,$/
&$/2;25(7)LQDO3URWRFRO$PHQGPHQW-DQ

3DJH
 5()(5(1&(6
/2;2,QYHVWLJDWRU¶V%URFKXUH/R[R2QFRORJ\,QF9HUVLRQ2FW
)RRGDQG'UXJ$GPLQLVWUDWLRQ*XLGDQFHIRU,QGXVWU\3KDUPDFRNLQHWLFVLQ3DWLHQWVZLWK
,PSDLUHG5HQDO)XQFWLRQ²6WXG\'HVLJQ'DWD$QDO\VLVDQG,PSDFWRQ'RVLQJDQG/DEHOLQJ
0DUFK$YDLODEOHDWKWWSVZZZIGDJRYGRZQORDGVGUXJVJXLGDQFHVXFPSGI
1DWLRQDO&DQFHU,QVWLWXWH&RPPRQ7HUPLQRORJ\&ULWHULDIRU$GYHUVH(YHQWV&7&$(
5HYLVHG1RYY$YDLODEOHDW
KWWSVFWHSFDQFHUJRYSURWRFROGHYHORSPHQWHOHFWURQLFBDSSOLFDWLRQVGRFV&7&$(BYB4XLFNB
5HIHUHQFHB[SGI
/2;25(7&$3URWRFRODQG3URWRFRO$PHQGPHQWV



3DJH





&OLQLFDO3URWRFRO


$3KDVH2SHQ/DEHO3DUDOOHO&RKRUW6LQJOH'RVH6WXG\WR(YDOXDWHWKH(IIHFWRI
5HQDO,PSDLUPHQWRQWKH3KDUPDFRNLQHWLFVRI/2;2


&HOHULRQ3URMHFW1R&$

6SRQVRU3URMHFW1R/2;25(7

86,1'1R









*&36WDWHPHQW
7KLVVWXG\LVWREHSHUIRUPHGLQIXOOFRPSOLDQFHZLWKWKHSURWRFRO*RRG&OLQLFDO3UDFWLFHV
*&3DQGDSSOLFDEOHUHJXODWRU\UHTXLUHPHQWV$OOUHTXLUHGVWXG\GRFXPHQWDWLRQZLOOEH
DUFKLYHGDVUHTXLUHGE\UHJXODWRU\DXWKRULWLHV

&RQILGHQWLDOLW\6WDWHPHQW
7KLVGRFXPHQWLVFRQILGHQWLDO,WFRQWDLQVSURSULHWDU\LQIRUPDWLRQRI/R[R2QFRORJ\,QF
DQGRU&HOHULRQ$Q\YLHZLQJRUGLVFORVXUHRIVXFKLQIRUPDWLRQWKDWLVQRWDXWKRUL]HGLQ
ZULWLQJE\/R[R2QFRORJ\,QFDQGRU&HOHULRQLVVWULFWO\SURKLELWHG6XFKLQIRUPDWLRQPD\
EHXVHGVROHO\IRUWKHSXUSRVHRIUHYLHZLQJRUSHUIRUPLQJWKLVVWXG\

/2;25(7&$3URWRFRODQG3URWRFRO$PHQGPHQWV


&21),'(17,$/
&$/2;25(7)LQDO3URWRFRO$PHQGPHQW'HF
3DJH

35272&2/5(9,6,21+,6725<
'HFHPEHU
E\
)LQDO3URWRFRO$PHQGPHQW
3XUSRVHRI$PHQGPHQW
7KHSURWRFROLVEHLQJDPHQGHGGXHWRDUHTXHVWE\WKH,QVWLWXWLRQDO
5HYLHZ%RDUGWRFODULI\ODQJXDJHIRUWKHUHSRUWLQJRIVHULRXV
DGYHUVHHYHQWV6$(VGXULQJWKHVWXG\,QDGGLWLRQDWUHTXHVWRI
WKH6SRQVRUDEEUHYLDWHGSK\VLFDOH[DPLQDWLRQDVVHVVPHQWV
DGGLWLRQDOODERUDWRU\VDIHW\WHVWVFRWLQLQHWHVWKHDOWK\VXEMHFWV
RQO\DQGDPRGLILFDWLRQWRWKHYLWDOVLJQVDQGHOHFWURFDUGLRJUDP
(&*VFKHGXOHDUHDGGHGWRWKHVWXG\FRQGXFW$WUHTXHVWRIWKH
6SRQVRUWKHXSSHUDJHOLPLWIRULQFOXVLRQKDVDOVREHHQLQFUHDVHG
WLPHZLQGRZVKDYHEHHQPRGLILHGIRUYLWDOVLJQVDQG(&*
FRQGXFWDQGWKHUHTXLUHPHQWIRUVWDQGDUGL]HGPHDOVDFURVVVLWHV
KDVEHHQUHPRYHG7KHWLPHGXUDWLRQIRUGDWDUHWHQWLRQKDVEHHQ
XSGDWHGWRUHIOHFWWKH,QWHUQDWLRQDO&RQIHUHQFHRQ+DUPRQL]DWLRQ
UHTXLUHPHQWV
&KDQJHVWRWKH6WXG\3URWRFRO
6HFWLRQ6\QRSVLV6WXG\2EMHFWLYHV6HFWLRQ
2EMHFWLYHVDQG6HFWLRQ(QGSRLQWVKDYHEHHQPRGLILHGWR
LQFOXGHXULQHSKDUPDFRNLQHWLFV
6HFWLRQ6\QRSVLV6XPPDU\RI6WXG\'HVLJQ6HFWLRQ
&RQILQHPHQW5HWXUQ9LVLWVDQG)ROORZXSDQG6HFWLRQ
(QGRI6WXG\'HILQLWLRQKDYHEHHQXSGDWHGWRUHIOHFWWKDWWKH
(QGRI7ULDOLVZKHQWKHVXEMHFWLVUHOHDVHGIURPWKH&58DQG
(QGRI6WXG\LVZKHQWKHVXEMHFWFRPSOHWHVWKHIROORZXSSKRQH
FDOO7KHVHVHFWLRQVLQFOXGLQJIRRWQRWH³H´RIWKH6WXG\(YHQWV
)ORZ&KDUWKDYHEHHQDGGLWLRQDOO\XSGDWHGWRUHIOHFWWKH
IROORZXSFRQWDFWZLOOEHUHODWLYHWRVWXG\GUXJUHODWHGDGYHUVH
HYHQWV
6HFWLRQ6\QRSVLV.H\$VVHVVPHQWVKDVEHHQXSGDWHGWR
PRGLI\YHUELDJHIRUVDIHW\DVVHVVPHQWV
6HFWLRQ6WXG\(YHQWV)ORZ&KDUWKDVEHHQPRGLILHGWR
FRPELQH'D\DQGWKH(QGRI7ULDO(DUO\7HUPLQDWLRQFROXPQ
6HFWLRQ6WXG\(YHQWV)ORZ&KDUWDQG6HFWLRQ
([FOXVLRQ&ULWHULDKDYHEHHQXSGDWHGWRLQFOXGHDFRWLQLQHWHVWDV
DQDGGLWLRQDOUHTXLUHPHQWIRUKHDOWK\VXEMHFWV6HFWLRQ
&ULWHULRQKDVEHHQXSGDWHGWRLQFOXGHUHIHUHQFHWRWREDFFR
FRQWDLQLQJSURGXFWV
/2;25(7&$3URWRFRODQG3URWRFRO$PHQGPHQWV

33'

&21),'(17,$/
&$/2;25(7)LQDO3URWRFRO$PHQGPHQW'HF
3DJH
6HFWLRQ6WXG\(YHQWV)ORZFKDUWDQG6HFWLRQ9LWDO
6LJQVKDYHEHHQPRGLILHGWRGHQRWHDFKDQJHWRWKHYLWDOVLJQV
DQG(&*VFKHGXOHRQ'D\:HLJKWZLOODOVREHPHDVXUHGRQ
'D\UHPRYLQJWKHKRXUZLQGRZSULRUWR'D\GRVLQJ
$GGLWLRQDOO\WKHGHYLDWLRQZLQGRZVKDYHEHHQUHPRYHGIRU
SRVWWUHDWPHQW(&*V6HFWLRQDQGSRVWWUHDWPHQWYLWDOVLJQV
KRXUV$VSHUXSGDWHGIRRWQRWHV³J´DQG³K´RIWKH6WXG\
(YHQWV)ORZ&KDUW(&*VDQGYLWDOVLJQPHDVXUHPHQWVXQOHVV
RWKHUZLVHLQGLFDWHGZLOOEHREWDLQHGSULRUWRDQGDVFORVHDV
SRVVLEOHWRWKHVFKHGXOHGEORRGGUDZV
6HFWLRQ6WXG\(YHQWV)ORZ&KDUWIRRWQRWH³Q´KDVEHHQ
LQFOXGHGWRGHQRWHWKHWLPHZLQGRZIRUWKHSUHGRVHSURWHLQ
ELQGLQJVDPSOH
6HFWLRQ6WXG\(YHQWV)ORZ&KDUWDQG6HFWLRQ3K\VLFDO
([DPLQDWLRQVKDYHEHHQPRGLILHGWRGHQRWHWKHFRQGXFWRI
DGGLWLRQDODEEUHYLDWHGH[DPLQDWLRQVRQ'D\DQGDW+RXU
SRVWGRVHRQ'D\
6HFWLRQ/2;2%DFNJURXQG3DUDJUDSKKDVEHHQ
PRGLILHGWRLQFOXGHSRVVLEOHSDQFUHDVLQMXU\DVDWKHRUHWLFDOULVN
EDVHGRQDQLPDOWR[LFRORJ\VWXGLHVRIKXPDQH[SRVXUHWR
/2;2WKLVLVQRWHGLQWKH,QYHVWLJDWRU¶V%URFKXUHEXWZDV
RPLWWHGLQHUURULQSUHYLRXVSURWRFROYHUVLRQ
6HFWLRQ5LVNVDQGRU%HQHILWVWR6XEMHFWV3DUDJUDSK³$(
TXHVWLRQLQJ´KDVEHHQXSGDWHGWRXVHWKHYHUELDJH³$(
PRQLWRULQJ´
6HFWLRQ2YHUDOO6WXG\GHVLJQDQG3ODQ3DUDJUDSKKDV
EHHQXSGDWHGWRUHIOHFWDFWXDOVDIHW\HYHQWVEHLQJDVVHVVHGGXULQJ
WKHVWXG\
6HFWLRQ,QFOXVLRQ&ULWHULD&ULWHULRQKDVEHHQXSGDWHGWR
UHIOHFWDQLQFUHDVHLQWKHXSSHUDJHOLPLWWRIURP
6HFWLRQ0HDOVDVWKHFRQGXFWRIWKLVVWXG\LVZLWKLQ
PXOWLSOHFHQWHUVWKHFDYHDWIRUVWDQGDUGL]HGPHDOVZLWKUHJDUGWR
FRPSRVLWLRQDQGFDORULHFRQWHQWKDVEHHQUHPRYHG
6HFWLRQ6FUHHQLQJKDVEHHQXSGDWHGWRLQFOXGHYHUELDJHIRU
³VHUXPFKHPLVWU\WK\URLGVWLPXODWLQJKRUPRQHSUHJQDQF\
IROOLFOHVWLPXODWLQJKRUPRQHWHVWVOLSDVHDQGDP\ODVH´LQWKHOLVW
RIODERUDWRU\SDQHOVWHVWVEHLQJDVVHVVHGDWWKHVFUHHQLQJYLVLW
6HFWLRQ&OLQLFDO/DERUDWRU\7HVWVLQWKHKHPDWRORJ\
/2;25(7&$3URWRFRODQG3URWRFRO$PHQGPHQWV


&21),'(17,$/
&$/2;25(7)LQDO3URWRFRO$PHQGPHQW'HF

3DJH
SDQHOWRWDODQGGLIIHUHQWLDOOHXNRF\WHFRXQWKDVEHHQUHPRYHGDQG
VSHFLILFDOO\UHSODFHGZLWKWKHIROORZLQJSDUDPHWHUVZKLWHEORRG
FHOOFRXQWZKLWHEORRGFHOOGLIIHUHQWLDODEVROXWHDQGSHUFHQW
EDVRSKLOVHRVLQRSKLOVO\PSKRF\WHVPRQRF\WHVDQGQHXWURSKLOV
$GGLWLRQDOO\UHGEORRGFHOOGLVWULEXWLRQZLGWKPHDQFRUSXVFXODU
KHPRJORELQFRQFHQWUDWLRQDQGPHDQFRUSXVFXODUYROXPHKDYH
EHHQDGGHG,QWKHVHUXPFKHPLVWU\SDQHOWKHIROORZLQJWHVWVKDYH
EHHQDGGHGFDOFLXPLURQWRWDOSURWHLQDQGXULFDFLG
3KHQF\FOLGLQHDQGFRWLQLQHKHDOWK\VXEMHFWVRQO\KDYHDOVREHHQ
DGGHGWRWKH³RWKHU´ODERUDWRU\WHVWSDQHO
6HFWLRQ0RQLWRULQJYHUELDJHKDVEHHQPRGLILHGIRU$(
TXHVWLRQLQJPRQLWRULQJ$GGLWLRQDOO\RXWFRPHGHILQLWLRQVIRU$(
UHVROXWLRQVKDYHEHHQXSGDWHG
6HFWLRQ5HSRUWLQJDQGIRRWQRWH³O´RIWKH6WXG\)ORZ
&KDUW6HFWLRQKDYHEHHQXSGDWHGWRGHQRWHWKDW)ROORZLQJ
&OLQLF'LVFKDUJHWKURXJK(QGRI6WXG\DOO6$(VUHJDUGOHVVRI
GUXJUHODWLRQVKLSPXVWEHUHSRUWHG$GGLWLRQDOO\6HFWLRQ
6HULRXV$GYHUVH(YHQWV3DUDJUDSKKDVEHHQPRGLILHGLQOLQH
ZLWKWKHVHFKDQJHV
6HFWLRQ3KDUPDFRNLQHWLF3DUDPHWHUVWKHIROORZLQJ
YHUELDJHKDVEHHQDGGHG1RYDOXHIRU.HO$8&H[WUDS
$8&LQI&/)9])RUWòZLOOEHUHSRUWHGIRUFDVHVWKDWGRQRW
H[KLELWDWHUPLQDOORJOLQHDUSKDVHLQWKHFRQFHQWUDWLRQWLPH
SURILOH
6HFWLRQ'DWD+DQGOLQJDQG5HSRUWLQJKDVEHHQXSGDWHGWR
UHIOHFWVWXG\UDZGDWDDQGDQRULJLQDOFRS\RIWKHILQDOUHSRUWZLOO
EHUHWDLQHGE\WKHSDUWLFLSDWLQJ&OLQLFDO5HVHDUFK8QLWVIRUDWOHDVW
\HDUV
2FWREHU
E\

)LQDO3URWRFRO

/2;25(7&$3URWRFRODQG3URWRFRO$PHQGPHQWV

33'

&21),'(17,$/
&$/2;25(7 )LQDO3URWRFRO$PHQGPHQW'HF
3DJH

6321625±6,*1$725<
$3KDVH2SHQ/DEHO3DUDOOHO&RKRUW6LQJOH'RVH6WXG\WR(YDOXDWHWKH(IIHFWRI
5HQDO,PSDLUPHQWRQWKH3KDUPDFRNLQHWLFVRI/2;2
6321625
/R[R2QFRORJ\,QF
*DWHZD\%RXOHYDUG6XLWH
6RXWK6DQ)UDQFLVFR &DOLIRUQLD 86$
6321625¶6
5(35(6(17$7,9(
&RQVXOWDQWWR/R[R2QFRORJ\,QF
0RELOH
(0DLO 
6LJQ
'DWH
'HF_(67
6L
6L
6L
6L
6L
6L
6L
6L
6L
6L
6 JQ
J
/2;25(7&$3URWRFRODQG3URWRFRO$PHQGPHQWV

33'
33'
33'
33'
33'

/2;25(7&$3URWRFRODQG3URWRFRO$PHQGPHQWV

33'
33'
33'
33'

/2;25(7&$3URWRFRODQG3URWRFRO$PHQGPHQWV

33'
33'
33'

/2;25(7&$3URWRFRODQG3URWRFRO$PHQGPHQWV

33'
33'
33'

/2;25(7&$3URWRFRODQG3URWRFRO$PHQGPHQWV

33'
33'
33'

/2;25(7&$3URWRFRODQG3URWRFRO$PHQGPHQWV

33'
33'
33'
33'
33'

/2;25(7&$3URWRFRODQG3URWRFRO$PHQGPHQWV

33'
33'
33'

&21),'(17,$/
&$/2;25(7)LQDO3URWRFRO$PHQGPHQW'HF

3DJH

$'',7,21$/.(<&217$&76)257+(678'<
6SRQVRU&RQWDFW,QIRUPDWLRQ
IRU6HULRXV$GYHUVH(YHQW
5HSRUWLQJ
HID[
(PDLOVDIHW\#OR[RRQFRORJ\FRP


0HGLFDO0RQLWRU

&RQVXOWDQWWR/R[R2QFRORJ\,QF
0RELOH

(PDLO


$GGLWLRQDO6SRQVRU&RQWDFW


/R[R2QFRORJ\,QF
7HO

(PDLO


3URWRFRO$XWKRU


&HOHULRQ
/LVEXUQ5RDG
%HOIDVW%7$'
1RUWKHUQ,UHODQG
7HO

)D[

(PDLO


&HUWLILHG&OLQLFDO/DERUDWRU\
&RQWDFWLQIRUPDWLRQZLOOEHSURYLGHGLQDVHSDUDWH
GRFXPHQW

%LRDQDO\WLFDO/DERUDWRU\IRU
/2;2
$OWXUDV$QDO\WLFV,QF
$OWXUDV7HFKQRORJ\3DUN
$OWXUDV'ULYH
0RVFRZ,GDKR86$
7HO


/2;25(7&$3URWRFRODQG3URWRFRO$PHQGPHQWV

33'
33'
33'
33'
33'
33'
33'
33'
33'
33'
33'
33'

&21),'(17,$/
&$/2;25(7)LQDO3URWRFRO$PHQGPHQW'HF

3DJH
3KDUPDFRNLQHWLFDQG6WDWLVWLFDO
$QDO\VHV

&HOHULRQ
$OH[LV1LKRQ%RXOHYDUG6XLWH
0RQWUHDO4XHEHF+01&DQDGD
7HO
)D[

DQGRU

&HOHULRQ
5RVH6WUHHW
/LQFROQ1HEUDVND86$
7HO
)D[

/2;25(7&$3URWRFRODQG3URWRFRO$PHQGPHQWV


&21),'(17,$/
&$/2;25(7)LQDO3URWRFRO$PHQGPHQW'HF

3DJH

7$%/(2)&217(176
 35272&2/5(9,6,21+,6725< 
 6321625±6,*1$725< 
 35,1&,3$/,19(67,*$725$1'&/,1,&$/6,7(±6,*1$725< 
 $'',7,21$/.(<&217$&76)257+(678'< 
 7$%/(2)&217(176 
 6<1236,6 
 678'<(9(176)/2:&+$57 
 $%%5(9,$7,216 
 ,1752'8&7,21 

%DFNJURXQG 

/2;2 

5DWLRQDOH 

5DWLRQDOHIRUWKLV6WXG\DQG6WXG\'HVLJQ 

5DWLRQDOHIRUWKH'RVH6HOHFWLRQDQG'RVH5HJLPHQ 

5DWLRQDOHIRU3ULPDU\(QGSRLQWV 

5LVNVDQGRU%HQHILWVWR6XEMHFWV 
 2%-(&7,9(6$1'(1'32,176 
 2EMHFWLYHV 
 (QGSRLQWV 
 678'<'(6,*1 
 2YHUDOO6WXG\'HVLJQDQG3ODQ 

&RQILQHPHQW5HWXUQ9LVLWVDQG)ROORZ8S 

(QGRI6WXG\'HILQLWLRQ 
 678'<3238/$7,21 
 ,QFOXVLRQ&ULWHULD 

$OO6XEMHFWV 

$GGLWLRQDO5HTXLUHPHQWVIRU6XEMHFWVZLWK5, 

$GGLWLRQDO5HTXLUHPHQWVIRU+HDOWK\6XEMHFWV 
 ([FOXVLRQ&ULWHULD 

$OO6XEMHFWV 

$GGLWLRQDO5HTXLUHPHQWVIRU6XEMHFWVZLWK5, 

$GGLWLRQDO5HTXLUHPHQWVIRU+HDOWK\6XEMHFWV 
 (DUO\7HUPLQDWLRQRI6XEMHFWVIURPWKH6WXG\ 
 6WXG\5HVWULFWLRQV 
/2;25(7&$3URWRFRODQG3URWRFRO$PHQGPHQWV


&21),'(17,$/
&$/2;25(7)LQDO3URWRFRO$PHQGPHQW'HF

3DJH

3URKLELWLRQVDQG&RQFRPLWDQW0HGLFDWLRQ 

0HDOV 

$FWLYLW\ 
 75($70(176 
 7UHDWPHQWV$GPLQLVWHUHG 
 'RVH0RGLILFDWLRQ 
 0HWKRGRI7UHDWPHQW$VVLJQPHQW 
 %OLQGLQJ 
 7UHDWPHQW&RPSOLDQFH 
 678'<$66(660(176$1'352&('85(6 
 6FUHHQLQJ 
 6DIHW\$VVHVVPHQWV 

3K\VLFDO([DPLQDWLRQ 

9LWDO6LJQV 

(&*0RQLWRULQJ 

%RG\:HLJKW 

&OLQLFDO/DERUDWRU\7HVWV 

$GYHUVH(YHQWV 
 $GYHUVH(YHQW'HILQLWLRQ 
 0RQLWRULQJ 
 5HSRUWLQJ 
 6HULRXV$GYHUVH(YHQW 
 3KDUPDFRNLQHWLF$VVHVVPHQWV 

%ORRG6DPSOLQJDQG3URFHVVLQJ 

3KDUPDFRNLQHWLF3DUDPHWHUV 

8ULQH&ROOHFWLRQ 

8ULQH3KDUPDFRNLQHWLF3DUDPHWHUV 

$QDO\WLFDO0HWKRG 
 %ORRG9ROXPH'UDZQIRU6WXG\$VVHVVPHQWV 
 67$7,67,&$/&216,'(5$7,216 
 6DPSOH6L]H'HWHUPLQDWLRQ 
 3RSXODWLRQIRU$QDO\VHV 
 6WDWLVWLFDO$QDO\VHV 

3KDUPDFRNLQHWLF$QDO\VHV 
 'HVFULSWLYH6WDWLVWLFV 
 $QDO\VLVRI&RYDULDQFH 
 5DWLRVDQG&RQILGHQFH,QWHUYDOV 
/2;25(7&$3URWRFRODQG3URWRFRO$PHQGPHQWV


&21),'(17,$/
&$/2;25(7)LQDO3URWRFRO$PHQGPHQW'HF
3DJH
 $GGLWLRQDO$QDO\VLV
 3URWHLQ%LQGLQJ

6DIHW\$QDO\VHV
 678'<$'0,1,675$7,21
 (WKLFV

,QVWLWXWLRQDO5HYLHZ%RDUG

(WKLFDO&RQGXFWRIWKH6WXG\

6XEMHFW,QIRUPDWLRQDQG&RQVHQW
 7HUPLQDWLRQRIWKH6WXG\
 'DWD4XDOLW\$VVXUDQFH
 'LUHFW$FFHVVWR6RXUFH'DWD'RFXPHQWV
 'UXJ6XSSOLHV3DFNDJLQJDQG/DEHOLQJ
 'DWD+DQGOLQJDQG5HFRUG.HHSLQJ
 5HSRUW)RUPDW
 3XEOLFDWLRQ3ROLF\
 5()(5(1&(6
/,672)7$%/(6
7DEOH 
%ORRG9ROXPHGXULQJWKH6WXG\
/2;25(7&$3URWRFRODQG3URWRFRO$PHQGPHQWV


&21),'(17,$/
&$/2;25(7)LQDO3URWRFRO$PHQGPHQW'HF

3DJH

6<1236,6
&RPSRXQG
/2;2
&OLQLFDO,QGLFDWLRQ
&DQFHU
6WXG\3KDVHDQG7\SH
3KDVH±5HQDO,PSDLUPHQW5,
6WXG\2EMHFWLYHV
3ULPDU\
7RFRPSDUHWKHSODVPDSKDUPDFRNLQHWLFV3.RI/2;2
IROORZLQJDGPLQLVWUDWLRQLQVXEMHFWVZLWKYDU\LQJGHJUHHVRI5,
LHPLOGPRGHUDWHDQGVHYHUHFRPSDUHGWRKHDOWK\PDWFKHG
FRQWUROVXEMHFWV
6HFRQGDU\
7RHYDOXDWHWKHVDIHW\DQGWROHUDELOLW\RI/2;2LQVXEMHFWV
ZLWK5,
7RFRPSDUHWKHXULQH3.RI/2;2IROORZLQJ
DGPLQLVWUDWLRQLQVXEMHFWVZLWKYDU\LQJGHJUHHVRI5,LHPLOG
PRGHUDWHDQGVHYHUHFRPSDUHGWRKHDOWK\PDWFKHGFRQWURO
VXEMHFWV
6XPPDU\RI6WXG\
'HVLJQ
7KLVLVDQRQUDQGRPL]HGRSHQODEHOSDUDOOHOFRKRUW
PXOWLSOHVLWHVLQJOHGRVHVWXG\WRFRPSDUHWKH3.RI
/2;2LQVXEMHFWVZLWKPLOGPRGHUDWHDQGVHYHUH5,
FRPSDUHGWRKHDOWK\PDWFKHGFRQWUROVXEMHFWVPDWFKHGIRU
DJHERG\PDVVLQGH[%0,DQGVH[
2Q'D\VXEMHFWVZLOOUHFHLYHDVLQJOHRUDOGRVHRI/2;2
3ODVPDDQGXULQHVDPSOHVLISRVVLEOHZLOOEHWDNHQSUHGRVH
DQGWKURXJKKRXUVSRVWGRVHIRUKHDOWK\VXEMHFWVDQGVXEMHFWV
ZLWK5,IRU/2;23.DVVHVVPHQW
$VVLJQPHQWWRDUHQDOIXQFWLRQSDQHOZLOOEHDVIROORZV
&RKRUW
5HQDO)XQFWLRQ
H*)5P/PLQP

+HDOWK\0DWFKHG&RQWURO


0LOG
H*)5

0RGHUDWH
H*)5

6HYHUHQRWRQGLDO\VLV

/2;25(7&$3URWRFRODQG3URWRFRO$PHQGPHQWV


&21),'(17,$/
&$/2;25(7)LQDO3URWRFRO$PHQGPHQW'HF
3DJH
 (VWLPDWHGJORPHUXODUILOWUDWLRQUDWHH*)5EDVHGRQ
0RGLILFDWLRQRI'LHWLQ5HQDO'LVHDVH0'5'HTXDWLRQDW
VFUHHQLQJ%DVHOLQHH*)5ZLOOEHREWDLQHGE\WDNLQJWKHPHDQ
RIWKHH*)5REWDLQHGIURPVFUHHQLQJDQGIURPKLVWRULFDOYDOXHV
ZLWKLQDPRQWKSHULRGIURPVFUHHQLQJ,IQRKLVWRULFDO
PHDVXUHPHQWLVDYDLODEOHDVHFRQGEDVHOLQHH*)5VDPSOHZLOO
EHWDNHQGXULQJWKHVFUHHQLQJSHULRGtKRXUVDSDUWDQGWKH
PHDQRIWKHWZRYDOXHVZLOOEHXVHGIRUFRKRUWDVVLJQPHQW
)RUKHDOWK\PDWFKHGFRQWUROVXEMHFWVDVLQJOHDVVHVVPHQWRI
DFWXDOFUHDWLQLQHFOHDUDQFHFRPSXWHGRYHUDKRXUXULQH
FROOHFWLRQPD\EHXVHGLQSODFHRIWKH0'5'HTXDWLRQDWWKH
3ULQFLSDO,QYHVWLJDWRU3,¶VGLVFUHWLRQ
7KHFOLQLFDOUHVHDUFKXQLWV&58VZLOOFRQWDFWDOOVXEMHFWVZKR
UHFHLYHG/2;2LQFOXGLQJVXEMHFWVZKRWHUPLQDWHIURPWKH
VWXG\HDUO\DWWKH(QGRI6WXG\(26DVGHILQHGLQWKH6WXG\
(YHQWV)ORZFKDUW6HFWLRQE\DIROORZXSSKRQHFDOO)8
7KH(26)8SKRQHFDOOZLOOEHSHUIRUPHGGD\VGD\V
DIWHUWKH(QGRI7UHDWPHQW(27YLVLWRU(DUO\7HUPLQDWLRQ
(7YLVLWDVGHILQHGLQWKH6WXG\(YHQWV)ORZFKDUW6HFWLRQ
WRGHWHUPLQHLIDQ\VHULRXVDGYHUVHHYHQW6$(RUVWXG\GUXJ
UHODWHGDGYHUVHHYHQW$(KDVRFFXUUHGVLQFHWKH(27RU(7
YLVLW
1XPEHURI6XEMHFWV
8SWRDGXOWPDOHDQGIHPDOHVXEMHFWVZLOOEHHQUROOHG
6XEMHFWVZLWK5,
8SWRUHQDOO\LPSDLUHGVXEMHFWVZLOOEHHQUROOHGDVIROORZV
8SWRHLJKWVXEMHFWVZLWKPLOG5,
8SWRHLJKWVXEMHFWVZLWKPRGHUDWH5,
8SWRHLJKWVXEMHFWVZLWKVHYHUH5,
+HDOWK\0DWFKHG&RQWURO6XEMHFWV
8SWRKHDOWK\VXEMHFWVZLOOEHHQUROOHGWRHQVXUHWKDWHDFK
VXEMHFWLQWKH5,FRKRUWVLVPDWFKHGZLWKDKHDOWK\VXEMHFWEDVHG
RQVH[DJHr\HDUVDQG%0,$QLQGLYLGXDO
KHDOWK\VXEMHFWPD\EHPDWFKHGWRRQHVXEMHFWIURPHDFKRIWKH
5,FRKRUWVPLOGPRGHUDWHDQGVHYHUHSURYLGLQJPDWFKLQJ
FULWHULRQDUHPHWDQGVXFKWKDWHDFKKHDOWK\VXEMHFWPD\EH
PDWFKHGWRDPD[LPXPRIVXEMHFWVZLWK5,+RZHYHUQR
KHDOWK\VXEMHFWFDQEHPDWFKHGWRPRUHWKDQRQHVXEMHFWLQDQ\
VLQJOH5,FRKRUW
/2;25(7&$3URWRFRODQG3URWRFRO$PHQGPHQWV


&21),'(17,$/
&$/2;25(7)LQDO3URWRFRO$PHQGPHQW'HF

3DJH
'RVDJH'RVDJH)RUP
5RXWHDQG'RVH
5HJLPHQ
6XEMHFWVZLOOUHFHLYHDVLQJOHRUDOGRVHRIPJ/2;2
[PJFDSVXOHVRQ'D\IROORZLQJDIDVWRIDWOHDVW
KRXUVIURPIRRGQRWLQFOXGLQJZDWHUZLWKDSSUR[LPDWHO\
P/RIZDWHU6XEMHFWVZLOOUHPDLQIDVWHGIURPIRRGQRW
LQFOXGLQJZDWHUIRUDWOHDVWKRXUSRVWGRVH
.H\$VVHVVPHQWV
3KDUPDFRNLQHWLFV
7KHIROORZLQJ3.SDUDPHWHUVZLOOEHFDOFXODWHGIRU/2;2
LQSODVPDDVDSSURSULDWH$8&W$8&$8&LQI
$8&H[WUDS&/)&PD[7PD[.HOWòDQG9])
7KHIROORZLQJSKDUPDFRNLQHWLFSDUDPHWHUVZLOOEHFDOFXODWHGIRU
/2;2LQXULQHDVDSSURSULDWHLQDOOFRKRUWV$H)HDQG
&/U
6DIHW\
$OOVDIHW\DVVHVVPHQWVLQFOXGLQJ$(VDQG6$(VYLWDOVLJQ
PHDVXUHPHQWVFOLQLFDOODERUDWRU\LQFOXGLQJFUHDWLQHNLQDVH
UHVXOWVSK\VLFDOH[DPLQDWLRQUHVXOWVFRQFRPLWDQWPHGLFDWLRQV
DQG(&*LQWHUSUHWDWLRQVZLOOEHWDEXODWHGDQGVXPPDUL]HG
ZKHUHSRVVLEOHXVLQJGHVFULSWLYHPHWKRGRORJ\E\UHQDOIXQFWLRQ
JURXSDQGDVQHHGHGE\WLPHSRLQW

/2;25(7&$3URWRFRODQG3URWRFRO$PHQGPHQWV


&21),'(17,$/
&$/2;25(7)LQDO3URWRFRO$PHQGPHQW'HF

3DJH

678'<(9(176)/2:&+$57
6WXG\3URFHGXUHD
6FUE
6WXG\'D\V
)8
(26H
'D\Vĺ









(27(7G

+RXUVĺ
&,F












 

  





$GPLQLVWUDWLYH3URFHGXUHV
























,QIRUPHG&RQVHQW
;























,QFOXVLRQ([FOXVLRQ&ULWHULD
;
;






















0HGLFDO+LVWRU\
;























6DIHW\(YDOXDWLRQV
























)XOO3K\VLFDO([DPLQDWLRQI
;





















;

$EEUHYLDWHG3K\VLFDO([DPLQDWLRQI

;




;

















+HLJKW
;























:HLJKW
;
;




















;

$VVHVVPHQWRI5HQDO)XQFWLRQ
;























/HDG6DIHW\(&*J
;
;




















;

9LWDO6LJQV+5%3DQG55K
;
;
;L





;


;



;

;
;
;
;
;
;

9LWDO6LJQV7
;
;
;L



















;

+HP6HUXP&KHPM&RDJDQG8$N
;
;













;



;


;

7K\URLG6WLPXODWLQJ+RUPRQH
;























+E$F
;























6HUXP3UHJ7HVWƂRQO\
;
;




















;

6HUXP)6+303ƂRQO\
;























8ULQHRU6DOLYD'UXJ6FUHHQ
;
;






















8ULQHRU%UHDWK$OFRKRO6FUHHQ
;
;






















8ULQH&RWLQLQH+HDOWK\6XEMHFWV2QO\
;
;






















+,9+HSDWLWLV6FUHHQ
;























$(0RQLWRULQJO
;
;
&RQ0HGV0RQLWRULQJ
;
;
6WXG\'UXJ$GPLQLVWUDWLRQ
3KDUPDFRNLQHWLFV
























/2;2$GPLQLVWUDWLRQ


;





















%ORRGIRU/2;2P
%ORRGIRU/2;23URWHLQ%LQGLQJQ
/2;25(7&$3URWRFRODQG3URWRFRO$PHQGPHQWV

&&,

&21),'(17,$/
&$/2;25(7)LQDO3URWRFRO$PHQGPHQW'HF
3DJH
6WXG\3URFHGXUHD
6FUE
6WXG\'D\V
)8
(26H
'D\Vĺ








(27(7G
+RXUVĺ
&,F












 

  



8ULQHIRU/2;2R
2WKHU3URFHGXUHV
&RQILQHPHQWLQWKH&58T
;
9LVLW
;
)RRWQRWHV
D
)RUGHWDLOVRQ3URFHGXUHVUHIHUWR6HFWLRQ
E
:LWKLQGD\VSULRUWR/2;2DGPLQLVWUDWLRQ
F
6XEMHFWVZLOOEHDGPLWWHGWRWKH&58LQ3HULRGRQ'D\DWWKHWLPHLQGLFDWHGE\WKH&58
G
7REHSHUIRUPHGDW(27RUDW(7
H
7KH&58ZLOOFRQWDFWDOOVXEMHFWVZKRUHFHLYHG/2;2LQFOXGLQJVXEMHFWVZKRWHUPLQDWHWKHVWXG\HDUO\E\SKRQHFDOOGD\VGD\VDIWHUVXEMHFWVDUHGLVFKDUJHG
IURP WKH &58 WR GHWHUPLQH LI DQ\ 6$( RU VWXG\ GUXJ UHODWHG $( KDV RFFXUUHG VLQFH WKH ODVW VWXG\ YLVLW 6DIHW\ ODERUDWRU\ UHVXOWV IRU VHUXP FKHPLVWU\ KHPDWRORJ\
FRDJXODWLRQDQGXULQDO\VLVDUHWREHDYDLODEOHIRUUHYLHZE\WKH3,RUGHVLJQHHSULRUWRVXEMHFWUHOHDVHIURPWKH&58DWWKH(27RU(7YLVLW
I
6\PSWRPGULYHQSK\VLFDOH[DPLQDWLRQVPD\EHSHUIRUPHGDWRWKHUWLPHVDWWKH3,¶VRUGHVLJQHH¶VGLVFUHWLRQ6FKHGXOHGDEEUHYLDWHGSK\VLFDOH[DPLQDWLRQVZLOOLQFOXGH
DWDPLQLPXPH[DPLQDWLRQRIUHVSLUDWRU\FDUGLRYDVFXODUDQGJDVWURLQWHVWLQDOV\VWHPVZLWKWKHRSWLRQIRUIXUWKHUH[DPLQDWLRQRIDGGLWLRQDOV\VWHPVDVQHFHVVDU\EDVHGRQ
UHSRUWHGV\PSWRPV$(V
J
6XEMHFWVDUHWREHVXSLQHIRUPLQXWHVSULRUWR(&*DVVHVVPHQW(&*VZLOOEHREWDLQHGSULRUWRDQGDVFORVHDVSRVVLEOHWRWKHVFKHGXOHGEORRGGUDZVLIVFKHGXOHGDWWKH
VDPHWLPH
K
9LWDOVLJQVUHVSLUDWRU\UDWHDQGVXSLQHEORRGSUHVVXUHDQGKHDUWUDWHZLOOEHREWDLQHGDW6FUHHQLQJDQG&KHFNLQ'D\SUHGRVHDWKRXUVPLQXWHVDQGKRXUV
PLQXWHVSRVWGRVHRQ'D\DQGRQFHGDLO\WKURXJK(27RU(79LWDOVLJQPHDVXUHPHQWVVKRXOGEHFDUULHGRXWSULRUWRDQGDVFORVHDVSRVVLEOHWRKDYLQJEORRG
GUDZQ%ORRGSUHVVXUHDQG+5ZLOOEHPHDVXUHGXVLQJWKHVDPHDUPIRUHDFKUHDGLQJ6XEMHFWVDUHWREHVXSLQHIRUPLQXWHVSULRUWRYLWDOVLJQVDVVHVVPHQWV
L
7REHSHUIRUPHGZLWKLQKRXUVSULRUWRGRVLQJRQ'D\
M
6DPSOHVIRUVHUXPFKHPLVWU\ZLOOEHREWDLQHGIROORZLQJDIDVWRIDWOHDVWKRXUVDW6FUHHQLQJDQGDW&KHFNLQ'D\DWRWKHUVFKHGXOHGWLPHVVHUXPFKHPLVWU\WHVWV
ZLOOEHSHUIRUPHGDIWHUDWOHDVWDQKRXUIDVW+RZHYHULQFDVHRIGURSRXWVRUUHFKHFNVVXEMHFWVPD\QRWKDYHIDVWHGIRURUKRXUVSULRUWRWKHWLPHWKDWWKHVHUXP
FKHPLVWU\VDPSOHLVWDNHQ
N
)RUVXEMHFWVZKRPD\EHDQXULFXULQHVDPSOHVIRUXULQDO\VLVZLOOQRWEHFROOHFWHG
O
$OO$(VZLOOEHUHFRUGHGWKURXJKRXWWKHVWXG\LHIURPVLJQLQJRIWKH,&)XQWLO(26RU(7HLWKHUDVVXEMHFWPHGLFDOKLVWRU\LIWKHHYHQWLVUHSRUWHGDVRFFXUULQJSULRUWR
VLJQLQJRIWKH,&)RULIWKHHYHQWRFFXUVSULRUWRVWXG\GUXJDGPLQLVWUDWLRQRQ'D\DQGLVDVVHVVHGDVQRWUHODWHGWRVWXG\SURFHGXUHVRUDV$(VLIWKHHYHQWRFFXUVDIWHU
VLJQLQJRIWKH,&)EXWSULRUWRVWXG\GUXJDGPLQLVWUDWLRQRQ'D\DQGLVDVVHVVHGDVUHODWHGWRVWXG\SURFHGXUHVRULIWKHHYHQWRFFXUVDIWHUVWXG\GUXJDGPLQLVWUDWLRQRQ
'D\UHJDUGOHVVRIUHODWLRQVKLSWRVWXG\GUXJ$OO6$(VWKDWGHYHORSIURPWKHWLPHRI,&)VLJQLQJXQWLO(26RU(7LIVXEMHFWGLVFRQWLQXHVIURPWKHVWXG\DUHWREH
UHSRUWHG)URP(27WKURXJK(26RU(7DOO6$(VPXVWEHUHSRUWHGDQGRQO\$(VDVVHVVHGDVUHODWHGWRVWXG\GUXJDUHWREHUHSRUWHG
/2;25(7&$3URWRFRODQG3URWRFRO$PHQGPHQWV

&&,

&21),'(17,$/
&$/2;25(7)LQDO3URWRFRO$PHQGPHQW'HF
3DJH
S
3ULRUWRGRVLQJ
T
6XEMHFWVZLOOEHFRQILQHGWRWKH&58XQWLOWKHFRPSOHWLRQRIKRXUEORRGGUDZDQGRU(27VWXG\SURFHGXUHVRU(7VWXG\SURFHGXUHV
$EEUHYLDWLRQV ܲ )HPDOHV $( $GYHUVH HYHQWV %3 %ORRG SUHVVXUH &, &KHFNLQ &KHP &KHPLVWU\ &RDJ   FRDJXODWLRQ &RQ0HGV &RQFRPLWDQW PHGLFDWLRQ
&58 &OLQLFDOUHVHDUFKXQLW(&* (OHFWURFDUGLRJUDPH*)5 HVWLPDWHGJORPHUXODUILOWUDWLRQUDWH(27(7 (QGRI7UHDWPHQW(DUO\7HUPLQDWLRQ)6+ )ROOLFOHVWLPXODWLQJ
KRUPRQH )8(26   )ROORZXS(QG RI 6WXG\ +HP +HPDWRORJ\ +,9 +XPDQ LPPXQRGHILFLHQF\ YLUXV +5 +HDUW UDWH ,&)  ,QIRUPHG FRQVHQW IRUP 3, 3ULQFLSDO
,QYHVWLJDWRU 303 3RVWPHQRSDXVDO 3UHJ 3UHJQDQF\ 5,   5HQDO LPSDLUPHQW 55 5HVSLUDWRU\ UDWH 6$(   VHULRXV DGYHUVH HYHQW 6FU 6FUHHQLQJ 7 7HPSHUDWXUH
8$ 8ULQDO\VLV 
/2;25(7&$3URWRFRODQG3URWRFRO$PHQGPHQWV

&&,

&21),'(17,$/
&$/2;25(7)LQDO3URWRFRO$PHQGPHQW'HF

3DJH

$%%5(9,$7,216
a
$SSUR[LPDWHO\
ȝ0
0LFURPRODU
$'/
$FWLYLWLHVRI'DLO\/LYLQJ
$(
$GYHUVHHYHQW
$H
7RWDODPRXQWRIGUXJH[FUHWHGLQWKHXULQH
$/3
$ONDOLQHSKRVSKDWDVH
$/7
$ODQLQHDPLQRWUDQVIHUDVH
$1&29$
$QDO\VLVRIFRYDULDQFH
$67
$VSDUWDWHDPLQRWUDQVIHUDVH
$8&
$UHDXQGHUWKHFRQFHQWUDWLRQWLPHFXUYH
$8&X
$UHDXQGHUWKHFRQFHQWUDWLRQWLPHFXUYHIRUXQERXQGGUXJ
$8&
7KHDUHDXQGHUWKHFRQFHQWUDWLRQWLPHFXUYHIURPWLPHWR
+RXU
$8&H[WUDS
3HUFHQWRI$8&LQIH[WUDSRODWHG
$8&W
$UHDXQGHUWKHFRQFHQWUDWLRQWLPHFXUYHIURPWLPHWRWKHODVW
REVHUYHGQRQ]HURFRQFHQWUDWLRQW
$8&LQI
$UHDXQGHUWKHFRQFHQWUDWLRQWLPHFXUYHIURPWLPH
H[WUDSRODWHGWRLQILQLW\
$9
$WULRYHQWULFXODU
%3
%ORRGSUHVVXUH
%,'
7ZLFHGDLO\
%SP
%HDWVSHUPLQXWH
%0,
%RG\PDVVLQGH[
&
'HJUHHV&HOVLXV
&)5
&RGHRI)HGHUDO5HJXODWLRQV
&,
&RQILGHQFHLQWHUYDO
&/)
$SSDUHQWWRWDOSODVPDFOHDUDQFHDIWHURUDOH[WUDYDVFXODU
DGPLQLVWUDWLRQ
&/U
5HQDOFOHDUDQFH
&/X)
$SSDUHQWWRWDOSODVPDFOHDUDQFHDIWHURUDOH[WUDYDVFXODU
DGPLQLVWUDWLRQIRUXQERXQGGUXJ
&PD[
0D[LPXPREVHUYHGFRQFHQWUDWLRQ
/2;25(7&$3URWRFRODQG3URWRFRO$PHQGPHQWV


&21),'(17,$/
&$/2;25(7)LQDO3URWRFRO$PHQGPHQW'HF

3DJH
&PD[X
0D[LPXPREVHUYHGFRQFHQWUDWLRQRIXQERXQGGUXJ
&.
&UHDWLQHNLQDVH
&5)
&DVHUHSRUWIRUP
&58
&OLQLFDO5HVHDUFK8QLW
&7&$(
&RPPRQ7HUPLQRORJ\&ULWHULDIRU$GYHUVH(YHQWV
&<3
&\WRFKURPH3
'/7
'RVHOLPLWLQJWR[LFLW\
H*)5
(VWLPDWHGJORPHUXODUILOWUDWLRQUDWH
(&*
(OHFWURFDUGLRJUDP
(26
(QGRIVWXG\
(27
(QGRIWULDO
(65'
(QGVWDJHUHQDOGLVHDVH
(7
(DUO\WHUPLQLDWLRQ
)'$
)RRGDQG'UXJ$GPLQLVWUDWLRQ
)H
)UDFWLRQRIGUXJH[FUHWLRQ
)6+
)ROOLFOHVWLPXODWLQJKRUPRQH
)X
8QERXQGIUDFWLRQRIGUXJLQSODVPD
*
*UDP
*&3
*RRG&OLQLFDO3UDFWLFH
*/3
*RRG/DERUDWRU\3UDFWLFH
+%V$J
+HSDWLWLV%VXUIDFHDQWLJHQ
+&9
+HSDWLWLV&YLUXV
K(5*
+XPDQHWKHUDJRJRUHODWHGJHQH
+,9
+XPDQLPPXQRGHILFLHQF\YLUXV
,%
,QYHVWLJDWRU¶V%URFKXUH
,&
,QKLELWRU\FRQFHQWUDWLRQDW
,&)
,QIRUPHG&RQVHQW)RUP
,&+
,QWHUQDWLRQDO&RXQFLORQ+DUPRQL]DWLRQ
,1'
,QYHVWLJDWLRQDO1HZ'UXJ
,5%
,QVWLWXWLRQDO5HYLHZ%RDUG
,8'
,QWUDXWHULQHGHYLFH
.HO
$SSDUHQWWHUPLQDOHOLPLQDWLRQUDWHFRQVWDQW
/2;25(7&$3URWRFRODQG3URWRFRO$PHQGPHQWV


&21),'(17,$/
&$/2;25(7)LQDO3URWRFRO$PHQGPHQW'HF

3DJH
.J
.LORJUDP
/)7
/LYHUIXQFWLRQWHVW
/60V
/HDVWVTXDUHVPHDQV
P
0HWHUVVTXDUHG
0'5'
0RGLILFDWLRQRI'LHWLQ5HQDO'LVHDVH
0HG'5$
0HGLFDO'LFWLRQDU\IRU5HJXODWRU\$FWLYLWLHV
0J
0LOOLJUDP
0LQ
0LQLPXP
P/
0LOOLOLWHU
PP+J
0LOOLPHWHURIPHUFXU\
0VHF
0LOOLVHFRQG
1&,
1DWLRQDO&DQFHU,QVWLWXWH
1R
1XPEHU
3,
3ULQFLSDO,QYHVWLJDWRU
3.
3KDUPDFRNLQHWLFV
4$
4XDOLW\$VVXUDQFH
47F
&RUUHFWHGYDOXHRIWKHLQWHUYDOEHWZHHQWKH4DQG7ZDYHVRQWKH
HOHFWURFDUGLRJUDPWUDFLQJ
56,
5HIHUHQFH6DIHW\,QIRUPDWLRQ
5,
5HQDOLPSDLUPHQW
5(7
5HDUUDQJHGGXULQJWUDQVIHFWLRQ
6$(
6HULRXVDGYHUVHHYHQW
6$3
6WDWLVWLFDODQDO\VLVSODQ
686$5
6XVSHFWHGXQH[SHFWHGVHULRXVDGYHUVHUHDFWLRQ
7($(
7UHDWPHQWHPHUJHQWDGYHUVHHYHQWV
7PD[
7LPHWRUHDFKPD[LPXPREVHUYHGFRQFHQWUDWLRQ
Wò
$SSDUHQWWHUPLQDOHOLPLQDWLRQKDOIOLIH
86
8QLWHG6WDWHV
86$
8QLWHG6WDWHVRI$PHULFD
9])
$SSDUHQWYROXPHRIGLVWULEXWLRQGXULQJWKHWHUPLQDOHOLPLQDWLRQ
SKDVHDIWHURUDOH[WUDYDVFXODUDGPLQLVWUDWLRQ
:+2
:RUOG+HDOWK2UJDQL]DWLRQ

/2;25(7&$3URWRFRODQG3URWRFRO$PHQGPHQWV


&21),'(17,$/
&$/2;25(7)LQDO3URWRFRO$PHQGPHQW'HF

3DJH

,1752'8&7,21

%DFNJURXQG

/2;2
/2;2LVVPDOOPROHFXOHDQGDVHOHFWLYHLQKLELWRURIWKHUHDUUDQJHGGXULQJWUDQVIHFWLRQ
5(7UHFHSWRUW\URVLQHNLQDVHGHVLJQHGWRFRPSHWLWLYHO\EORFNWKHDGHQRVLQHWULSKRVSKDWH
ELQGLQJVLWHRIWKHNLQDVH/2;2ZDVDWOHDVWIROGPRUHVHOHFWLYHIRU5(7WKDQIRU
RIRWKHUNLQDVHVWHVWHGLQDODUJHLQYLWURVFUHHQ&RQVLVWHQWZLWKVXFKDKLJKGHJUHH
RIVHOHFWLYLW\/2;2FDXVHGVLJQLILFDQWF\WRWR[LFLW\LQKXPDQFDQFHUFHOOOLQHVWKDW
KDUERUHGHQGRJHQRXVFOLQLFDOO\UHOHYDQW5(7JHQHDOWHUDWLRQVEXWZDVPXFKOHVVF\WRWR[LF
DJDLQVWKXPDQFDQFHUFHOOOLQHVZLWKRXW5(7DOWHUDWLRQV3RWHQWDQGVHOHFWLYHLQKLELWLRQRI
5(7PD\SURYLGHFOLQLFDOEHQHILWWRVXEMHFWVZLWKPDOLJQDQFLHVGXHWRRQFRJHQLFDOWHUDWLRQV
LQ5(7RUZLWKRWKHUPHFKDQLVPVRILQFUHDVHG5(7DFWLYLW\
1RQFOLQLFDO
&DUGLDFVDIHW\RI/2;2ZDVHYDOXDWHGLQD*RRG/DERUDWRU\3UDFWLFH*/3LQYLWUR
DVVD\IRUKXPDQHWKHUDJRJRUHODWHGJHQHK(5*DFWLYLW\LQD*/3LQYLYRVWXG\LQ
FRQVFLRXVWHOHPHWU\LQVWUXPHQWHGPLQLSLJVDQGLQD*/3GD\UHSHDWGRVHWR[LFRORJ\
VWXG\ZLWK(&*PRQLWRULQJLQPLQLSLJV/2;2KDGDLQKLELWRU\FRQFHQWUDWLRQ
WKH*/3K(5*DVVD\ZKLFKLVDSSUR[LPDWHO\

WKDQWKHSUHGLFWHGPD[LPXPXQERXQGFRQFHQWUDWLRQDWWKHGRVHRIPJDQGPJ
UHVSHFWLYHO\WZLFHGDLO\%,'7KHUHZHUHQR/2;2UHODWHGFKDQJHVLQDQ\
FDUGLRYDVFXODUHQGSRLQWVLQFOXGLQJ47LQWHUYDOFRUUHFWHGIRUKHDUWUDWH47FDWGRVHVXSWR
PJNJLQWKHVDIHW\SKDUPDFRORJ\FDUGLRYDVFXODUVWXG\LQFRQVFLRXVPLQLSLJV
)XUWKHUPRUHWKHUHZHUHQR/2;2UHODWHG(&*FKDQJHVLQWKHGD\UHSHDWGRVH
WR[LFLW\VWXG\LQPLQLSLJVDWWKHKLJKGRVHRIPJNJ7RJHWKHUWKHVHGDWDLQGLFDWHWKDW
/2;2KDVDORZULVNRILQGXFLQJGHOD\HGYHQWULFXODUUHSRODUL]DWLRQSURORQJDWLRQRIWKH
47FLQWHUYDODQGXQVWDEOHDUUK\WKPLDV
$GPLQLVWUDWLRQRI/2;2DWVLQJOHGRVHVXSWRPJNJLQPDOHUDWVKDGQRHIIHFWRQ
UHVSLUDWRU\IXQFWLRQ
3RWHQWLDOHIIHFWVRI/2;2RQWKHFHQWUDOQHUYRXVV\VWHPZHUHHYDOXDWHGDVSDUWRIWKH
*/3GD\UHSHDWGRVHVWXG\LQUDWVLQIXQFWLRQDOREVHUYDWLRQDOEDWWHU\WHVWVDQGORFRPRWRU
DFWLYLW\DVVHVVPHQWV)LQGLQJVZHUHOLPLWHGWRDQLPDOVUHFHLYLQJWKHKLJKGRVHRQZHHNRI
WKHGRVLQJSKDVHDQGZHUHDWWULEXWHGWRSRRUJHQHUDOERG\FRQGLWLRQDQGZHLJKWFKDQJHV
DVVRFLDWHGZLWK/2;2DGPLQLVWUDWLRQUDWKHUWKDQVSHFLILFQHXURORJLFDOHIIHFWV
$GGLWLRQDOO\QRPLFURVFRSLFDEQRUPDOLWLHVLQQHXURQDOWLVVXHVZHUHIRXQG
,QWR[LFRORJ\VWXGLHVRI/2;2WKDWZHUHFRQGXFWHGLQWKHUDWDQGPLQLSLJWKHSULPDU\
SDWKRORJLFILQGLQJVIRUERWKVSHFLHVZHUHLQWKHWRQJXHSDQFUHDVERQHPDUURZDQG
O\PSKRLGWLVVXHVZKLOHWKHJDVWURLQWHVWLQDOWUDFWDQGRYDULHVZHUHWDUJHWWLVVXHVLQPLQLSLJ
2WKHUWDUJHWWLVVXHVLGHQWLILHGLQWKHUDWLQFOXGHGPXOWLWLVVXHPLQHUDOL]DWLRQSK\VHDO
FDUWLODJHLQFLVRUWHHWKOXQJ%UXQQHU¶VJODQGDQGSRVVLEO\OLYHU$VVHVVPHQWRIGRVHV
DVVRFLDWHGZLWKPRULEXQGLW\GHDWKUHYHDOHGDVWHHSGRVHUHVSRQVHFXUYHIRUERWKVSHFLHV
/2;25(7&$3URWRFRODQG3URWRFRO$PHQGPHQWV

&&,
&&,

&21),'(17,$/
&$/2;25(7)LQDO3URWRFRO$PHQGPHQW'HF

3DJH
/2;2ZDVQRWPXWDJHQLFLQWKH*/3EDFWHULDOPXWDWLRQDVVD\:KHQHYDOXDWHGLQWZR
LQYLWURDVVD\V/2;2ZDVQRWJHQRWR[LF/2;2ZDVQRWIRXQGWREHSKRWRWR[LF
ZKHQHYDOXDWHGLQDQLQYLWURQHXWUDOUHGXSWDNHSKRWRWR[LFLW\DVVD\
%DVHGRQSUHFOLQLFDOSKDUPDFRORJ\H[SHULPHQWVZLWKKXPDQFDQFHUFHOOVLQYLWURDQGLQ
PXULQH[HQRJUDIWPRGHOVPHDQLQJIXOLQKLELWLRQRI5(7LQWXPRUVLVH[SHFWHGWREH
DFKLHYDEOHZLWKRUDOGRVLQJUHJLPHQV

%DVHGRQWKHQRQFOLQLFDOSURILOHLQFOXGLQJUHVXOWVIURPDQLPDOWR[LFRORJ\VWXGLHVWKHRUHWLFDO
ULVNVRIKXPDQH[SRVXUHWR/2;2LQFOXGHWKHIROORZLQJORVVRIDSSHWLWHGHFUHDVHLQ
ERG\ZHLJKWLQFUHDVHLQWRWDOZKLWHEORRGFHOOVQHXWURSKLOVDQGPRQRF\WHVGHFUHDVHLQ
DOEXPLQLQFUHDVHLQJOREXOLQGHFUHDVHGDOEXPLQJOREXOLQUDWLRGHFUHDVHLQWRWDOSURWHLQ
LQFUHDVHGERG\WHPSHUDWXUHOHWKDUJ\LQFUHDVHLQFKROHVWHURODQGWULJO\FHULGHVLQFUHDVHLQ
SKRVSKRUXVFKDQJHVLQWDVWHVHQVDWLRQDQGRUGHYHORSPHQWRI[HURVWRPLDJDVWURLQWHVWLQDO
V\PSWRPVVLJQVQDXVHDYRPLWLQJORRVHVWRROVDEGRPLQDOGLVFRPIRUWGHFUHDVHVLQUHGFHOO
PDVVUHGEORRGFHOOKHPRJORELQKHPDWRFULWDQGUHWLFXORF\WHVGHFUHDVHLQSODWHOHWV
LQFUHDVHVLQOLYHUIXQFWLRQWHVWVDONDOLQHSKRVSKDWDVHDVSDUWDWHDPLQRWUDQVIHUDVHDQGDODQLQH
DPLQRWUDQVIHUDVHDQGSRVVLEOHSDQFUHDVLQMXU\
/2;2KDVEHHQJLYHQRUDOO\DQGLQWUDYHQRXVO\WRPLFHUDWVGRJVPLQLSLJVDQG
PRQNH\/2;2ZDVDEVRUEHGDQGELRDYDLODEOHLQDOOVSHFLHVWHVWHG6ROXELOLW\VWXGLHV
DQGSKDUPDFRNLQHWLFVWXGLHVVXJJHVWWKDWWKHSKDUPDFRNLQHWLFH[SRVXUHRI/2;2PD\
EHUHGXFHGE\SURWRQSXPSLQKLELWRUVDQGRWKHUDQWDFLGV/2;2DSSHDUVWREH
PHWDEROL]HGSULPDULO\E\F\WRFKURPHS&<3$EXWDWWKHUDSHXWLFDOO\UHOHYDQW
H[SRVXUHVLWLVQRWDQWLFLSDWHGWRLQKLELWRULQGXFHGUXJPHWDEROL]LQJHQ]\PHV/2;2LV
DOVRDVXEVWUDWHIRUWKH%UHDVW&DQFHU5HVLVWDQFH3URWHLQ
5HIHUWRWKH,QYHVWLJDWRU¶V%URFKXUHIRUGHWDLOHGEDFNJURXQGLQIRUPDWLRQRQ/2;2
,QYHVWLJDWRU¶V%URFKXUH
&OLQLFDO
/2;2LVFXUUHQWO\EHLQJVWXGLHGLQDQRQJRLQJJOREDO3KDVH6WXG\/2;25(7
LQSDWLHQWVZLWKDGYDQFHGVROLGWXPRUVLQFOXGLQJ5(7IXVLRQSRVLWLYH16&/&
5(7PXWDQWPHGXOODU\WK\URLGFDUFLQRPDDQGRWKHUWXPRUVZLWKLQFUHDVHG5(7DFWLYLW\
7KHVWDUWLQJGRVHRI/2;2ZDVPJRQFHGDLO\
$VRID-XO\GDWDFXWRIIGDWHVDIHW\GDWDZDVDYDLODEOHIURPSDWLHQWVZLWK
PJ%,'DVWKHKLJKHVWGRVHDGPLQLVWHUHG$VRIWKLVGDWHWZRGRVHOLPLWLQJWR[LFLWLHV
'/7VRIWXPRUO\VLVV\QGURPHDQG*UDGHWKURPERF\WRSHQLDDWWKHPJ%,'GRVH
OHYHOKDYHEHHQUHSRUWHG7KHPRVWIUHTXHQWO\UHSRUWHGWUHDWPHQWHPHUJHQWDGYHUVHHYHQWV
7($(V>!RISDWLHQWV@ZHUHGU\PRXWKUHODWHGGLDUUKHD
UHODWHGIDWLJXHUHODWHGFRQVWLSDWLRQUHODWHGKHDGDFKH
UHODWHGDQGK\SHUWHQVLRQUHODWHG5HJDUGLQJ7($(V
SDWLHQWVH[SHULHQFHG*UDGH7($(VWKDWZHUHMXGJHGE\WKH,QYHVWLJDWRUDVUHODWHGWR
VWXG\GUXJ7KUHHSDWLHQWVKDYHGLHGZLWKLQGD\VRIWKHLUODVWGRVHRIVWXG\GUXJDQG
QRGHDWKVKDYHEHHQDWWULEXWHGWRVWXG\GUXJ$VPDOOQXPEHURISDWLHQWVKDYHH[SHULHQFHG
/2;25(7&$3URWRFRODQG3URWRFRO$PHQGPHQWV

&&,

&21),'(17,$/
&$/2;25(7)LQDO3URWRFRO$PHQGPHQW'HF

3DJH
*UDGHRUKLJKHUOLYHUIXQFWLRQWHVW/)7DEQRUPDOLWLHVFRQVLGHUHGUHODWHGWRWKHVWXG\
GUXJRFFXUULQJEHWZHHQGD\VDIWHUVWDUWLQJ/2;27KHVHFKDQJHVZHUH
DV\PSWRPDWLFDQGUHVROYHGZLWKGRVHLQWHUUXSWLRQ/2;2ZDVUHVXPHGDWDORZHUGRVH
IROORZLQJQRUPDOL]DWLRQRIWKH/)7V
$VRI$XJXVW3.GDWDZHUHDYDLODEOHIURP
SDWLHQWVIURPWKHJOREDO3KDVH
VWXG\/2;2LVDEVRUEHGDIWHURUDODGPLQLVWUDWLRQZLWKDPHGLDQWLPHWRPD[LPXP
FRQFHQWUDWLRQ7PD[RIDSSUR[LPDWHO\KRXUV$OWKRXJKWKH3.VDPSOLQJRI/2;2
ZDVQRWORQJHQRXJKWRDGHTXDWHO\FKDUDFWHUL]H$8&LQIWKHKDOIOLIHDSSHDUVWREH
KRXUV/RZFRQFHQWUDWLRQVRI/2;2ZHUHUHFRYHUHGDVXQFKDQJHGGUXJLQXULQH
LQGLFDWLQJWKDWWKHNLGQH\FRQWULEXWHVWRRYHUDOOFOHDUDQFH
$VRI6HSWHPEHU/R[R2QFRORJ\KDVLQLWLDWHG
VLQJOHSDWLHQWSURWRFROV6SHFLDO
$FFHVV6FKHPHRU7HPSRUDU\$XWKRUL]DWLRQ8VHFDVHVWRSURYLGHDFFHVVWR/2;2IRU
SDWLHQWVZLWKFOLQLFDOQHHGQRWPHHWLQJHOLJLELOLW\FULWHULDIRUWKHRQJRLQJJOREDO3KDVH
VWXG\7RGDWHQR7($(VKDYHEHHQDWWULEXWHGWRVWXG\GUXJIRUWKHVHSDWLHQWV
3UHOLPLQDU\3.GDWDDYDLODEOHIURPRQJRLQJVWXGLHV/2;25(7DQG/2;25(7
EHLQJFRQGXFWHGLQKHDOWK\VXEMHFWVLQGLFDWHWKDW/2;2KDVDQHVWLPDWHG
WHUPLQDOWòRIDSSUR[LPDWHO\KRXUVDIWHUDVLQJOHGRVH

5DWLRQDOH
 5DWLRQDOHIRUWKLV6WXG\DQG6WXG\'HVLJQ
6XEMHFWVZLWK5,PD\KDYHFRPSURPLVHGGUXJGLVSRVLWLRQGXHWRWKHLUUHQDOGLVHDVHDQG
VHYHULW\RIGLVHDVH7KHSXUSRVHRIWKLVVWXG\LVWRGHWHUPLQHWKHHIIHFWRI5,RQWKHVLQJOH
GRVH3.RI/2;2DQGLIDSSOLFDEOHSURYLGHGRVLQJUHFRPPHQGDWLRQVWRFOLQLFLDQVIRU
IXWXUHWUHDWPHQWRISDWLHQWVZLWKLPSDLUHGUHQDOIXQFWLRQ
6XEMHFWVZLWKHQGVWDJHUHQDOGLVHDVH(65'ZLWKHVWLPDWHGJORPHUXODUILOWUDWLRQUDWH
H*)5P/PLQZKRDUHQRW\HWRQKHPRGLDO\VLVDVVWDWHGLQWKH)'$*XLGDQFHIRU
,QGXVWU\3KDUPDFRNLQHWLFVLQ3DWLHQWVZLWK,PSDLUHG5HQDO)XQFWLRQ6WXG\'HVLJQ'DWD
$QDO\VLVDQG,PSDFWRQ'RVLQJDQG/DEHOLQJ0DUFKDUHDVXEMHFWSRSXODWLRQWKDWLV
HVVHQWLDOO\QRWDYDLODEOH2QFHVXEMHFWVDUHLGHQWLILHGDVKDYLQJ(65'WKH\DUHLPPHGLDWHO\
SODFHGRQGLDO\VLVDQGQRORQJHUPDWFKWKHUHTXLUHPHQWRIWKHJXLGDQFH6XEMHFWVZLWK5,
DVVHVVHGDVPLOGH*)5P/PLQPPRGHUDWH
H*)5P/PLQPDQGVHYHUHH*)5P/PLQPZLOOEH
HQUROOHGLQWKLVVWXG\DQGWKHLU3.SURILOHZLOOEHFRPSDUHGWRVXEMHFWVZLWKQRUPDOUHQDO
IXQFWLRQH*)5P/PLQP6XEMHFWVZLOOEHPDWFKHGIRUDJH%0,DQGVH[
7KHVHFRYDULDWHVZHUHVHOHFWHGDVWKH\PD\LPSDFWWKHSODVPDH[SRVXUHRI/2;2
%DVHGRQWKHSUHOLPLQDU\3.GDWDIURPRQJRLQJVWXGLHVEHLQJFRQGXFWHGLQKHDOWK\VXEMHFWV
/2;25(7DQG/2;25(7/2;2KDVDQHVWLPDWHGWHUPLQDOWòRI
DSSUR[LPDWHO\KRXUVDIWHUDVLQJOHGRVH$VDPSOLQJVFKHGXOHRIXSWRKRXUVLVXVHGWR
DFFRXQWIRUWKHSRVVLELOLW\WKDW/2;2HOLPLQDWLRQPD\EHDOWHUHGZKHQUHQDOIXQFWLRQLV
LPSDLUHG
/2;25(7&$3URWRFRODQG3URWRFRO$PHQGPHQWV

&&,
&&,

&21),'(17,$/
&$/2;25(7)LQDO3URWRFRO$PHQGPHQW'HF

3DJH
 5DWLRQDOHIRUWKH'RVH6HOHFWLRQDQG'RVH5HJLPHQ
$VLQJOHGRVHRIPJ/2;2ZDVVHOHFWHGEHFDXVHLWLVDGRVHWKDWKDVEHHQ
DGPLQLVWHUHG%,'WRFDQFHUSDWLHQWV7KHGRVHRIPJ%,'KDVEHHQVHOHFWHGDVWKH
UHFRPPHQGHG3KDVHGRVHIRUIXUWKHUHYDOXDWLRQLQFDQFHUSDWLHQWV$VLQJOHGRVHRIPJ
VKRXOGSURYLGHVXIILFLHQWOHYHOVRI/2;2WRDVVHVVWKH3.SURSHUWLHVEHLQJLQYHVWLJDWHG
,QWHULPGDWDIURPWKHRQJRLQJVWXG\/2;25(7VKRZWKDWWKH3.RI/2;2LV
GRVHOLQHDUIURPPJ4'WKURXJKPJ%,'
$VRI-XO\GDWDFXWRIIGDWHVDIHW\GDWDZHUHDYDLODEOHIURP
SDWLHQWVZLWKGRVHV
XSWRPJ%,'PJGD\$VRIWKLVGDWH'/7VRI*UDGHWXPRUO\VLVV\QGURPH
DQG*UDGHWKURPERF\WRSHQLDDWWKHPJ%,'GRVHOHYHOKDYHEHHQUHSRUWHG
 5DWLRQDOHIRU3ULPDU\(QGSRLQWV
7KHSULPDU\3.HQGSRLQWVZLOOLQFOXGH$8&W$8&LQIDQG&PD[DVWKHVHSDUDPHWHUV
DUHWKHPRVWUHOHYDQWWRFKDUDFWHUL]HH[SRVXUHRI/2;2IROORZLQJDVLQJOHGRVHLQ
VXEMHFWVZLWK5,DQGLQKHDOWK\PDWFKHGFRQWUROVXEMHFWV

5LVNVDQGRU%HQHILWVWR6XEMHFWV
7KHGRVHRI/2;2DGPLQLVWHUHGLQWKLVVWXG\LVQRWDQWLFLSDWHGWRLQGXFHDQ\VLJQLILFDQW
ULVNRUEHQHILWWRVXEMHFWVSDUWLFLSDWLQJLQWKLVVWXG\DVLWGRHVQRWH[FHHGWKHKLJKHVWGDLO\
WRWDOGRVHVDIHO\DGPLQLVWHUHGLQWKHRQJRLQJJOREDO3KDVH6WXG\/2;25(7
>,QYHVWLJDWRU¶V%URFKXUH@
7KHVDIHW\PRQLWRULQJSUDFWLFHVHPSOR\HGE\WKLVSURWRFROLHOHDG(&*YLWDOVLJQV
FOLQLFDOODERUDWRU\WHVWV$(PRQLWRULQJDQGSK\VLFDOH[DPLQDWLRQDUHDGHTXDWHWRSURWHFW
WKHVXEMHFWV¶VDIHW\
7KHUHZLOOEHQRGLUHFWKHDOWKEHQHILWIRUVWXG\SDUWLFLSDQWVIURPUHFHLSWRIVWXG\GUXJ$Q
LQGLUHFWKHDOWKEHQHILWWRWKHKHDOWK\VXEMHFWVHQUROOHGLQWKLVVWXG\LVWKHIUHHPHGLFDOWHVWV
UHFHLYHGDWVFUHHQLQJDQGGXULQJWKHVWXG\
/2;25(7&$3URWRFRODQG3URWRFRO$PHQGPHQWV

&&,

&21),'(17,$/
&$/2;25(7)LQDO3URWRFRO$PHQGPHQW'HF

3DJH
 2%-(&7,9(6$1'(1'32,176
 2EMHFWLYHV
3ULPDU\
7RFRPSDUHWKHSODVPD3.RI/2;2IROORZLQJDGPLQLVWUDWLRQLQVXEMHFWVZLWKYDU\LQJ
GHJUHHVRI5,LHPLOGPRGHUDWHDQGVHYHUHFRPSDUHGWRKHDOWK\PDWFKHGFRQWUROVXEMHFWV
6HFRQGDU\
7RHYDOXDWHWKHVDIHW\DQGWROHUDELOLW\RI/2;2LQVXEMHFWVZLWK5,
7RFRPSDUHWKHXULQH3.RI/2;2IROORZLQJDGPLQLVWUDWLRQLQVXEMHFWVZLWKYDU\LQJ
GHJUHHVRI5,LHPLOGPRGHUDWHDQGVHYHUHFRPSDUHGWRKHDOWK\PDWFKHGFRQWUROVXEMHFWV
 (QGSRLQWV
3KDUPDFRNLQHWLFV
7KHSODVPD3.HQGSRLQWVZLOOLQFOXGH$8&W$8&$8&LQI$8&H[WUDS&/)
&PD[7PD[.HOWòDQG9])
6DIHW\
6DIHW\HQGSRLQWVZLOOLQFOXGHOHDG(&*VSK\VLFDOH[DPLQDWLRQVYLWDOVLJQVFOLQLFDO
ODERUDWRU\WHVWVDQG$(V
7KHXULQH3.HQGSRLQWVZLOOLQFOXGH$H)HDQG&/U
/2;25(7&$3URWRFRODQG3URWRFRO$PHQGPHQWV


&21),'(17,$/
&$/2;25(7)LQDO3URWRFRO$PHQGPHQW'HF

3DJH
 678'<'(6,*1
 2YHUDOO6WXG\'HVLJQDQG3ODQ
7KLVLVDQRQUDQGRPL]HGRSHQODEHOSDUDOOHOFRKRUWPXOWLSOHVLWHVLQJOHGRVHUHQDO
LPSDLUPHQWVWXG\
6FUHHQLQJRIVXEMHFWVZLOORFFXUZLWKLQGD\VSULRUWRWKHILUVWGRVLQJ
2Q'D\VXEMHFWVZLOOUHFHLYHDVLQJOHRUDOGRVHRI/2;23ODVPDDQGXULQHVDPSOHVLI
SRVVLEOHZLOOEHWDNHQSUHGRVHDQGWKURXJKKRXUVIRUKHDOWK\VXEMHFWVDQGVXEMHFWVZLWK
5,IRU/2;23.DVVHVVPHQW
$VVLJQPHQWWRDUHQDOIXQFWLRQSDQHOZLOOEHDVIROORZV
&RKRUW
5HQDO)XQFWLRQ
H*)5P/PLQP

+HDOWK\0DWFKHG&RQWURO


0LOG
H*)5

0RGHUDWH
H*)5

6HYHUHQRWRQGLDO\VLV


H*)5EDVHGRQ0'5'HTXDWLRQDWVFUHHQLQJ%DVHOLQHH*)5
ZLOOEHREWDLQHGE\WDNLQJWKHPHDQRIWKHH*)5REWDLQHGIURP
VFUHHQLQJDQGIURPKLVWRULFDOYDOXHVZLWKLQDPRQWKSHULRG
IURPVFUHHQLQJ,IQRKLVWRULFDOPHDVXUHPHQWLVDYDLODEOHD
VHFRQGEDVHOLQHH*)5VDPSOHZLOOEHWDNHQGXULQJWKHVFUHHQLQJ
SHULRGtKRXUVDSDUWDQGWKHPHDQRIWKHWZRYDOXHVZLOOEH
XVHGIRUFRKRUWDVVLJQPHQW
)RUKHDOWK\PDWFKHGFRQWUROVXEMHFWVDVLQJOHDVVHVVPHQWRI
DFWXDOFUHDWLQLQHFOHDUDQFHFRPSXWHGRYHUDKRXUXULQH
FROOHFWLRQPD\EHXVHGLQSODFHRIWKH0'5'HTXDWLRQDWWKH
3,¶VGLVFUHWLRQ

(DFKKHDOWK\PDWFKHGFRQWUROVXEMHFW&RKRUWZLOOEHGHPRJUDSKLFDOO\PDWFKHGE\DJH
\HDUVERG\PDVVLQGH[%0,DQGVH[WRWKHHQUROOHGUHQDOLPSDLUPHQW
VXEMHFWV6KRXOGDQRWKHUUHQDOLPSDLUPHQWVXEMHFWEHLGHQWLILHGZLWKZKRPDQDOUHDG\
HQUROOHGKHDOWK\VXEMHFWLVGHPRJUDSKLFDOO\PDWFKHGWKHKHDOWK\VXEMHFWPD\DOVREHPDWFKHG
ZLWKWKDWLPSDLUHGVXEMHFWDVORQJDVWKHLPSDLUHGVXEMHFWLVLQDGLIIHUHQWUHQDOLPSDLUPHQW
FRKRUW(DFKVXEMHFWZLWKQRUPDOUHQDOIXQFWLRQPD\EHPDWFKHGZLWKXSWRVXEMHFWZLWKLQ
HDFKUHQDOLPSDLUPHQWFRKRUWLHPLOGPRGHUDWHDQGVHYHUH
6DIHW\DQGWROHUDELOLW\ZLOOEHDVVHVVHGWKURXJKRXWWKHVWXG\E\PRQLWRULQJ$(VSHUIRUPLQJ
SK\VLFDOH[DPLQDWLRQVDQGFOLQLFDOODERUDWRU\WHVWVPHDVXULQJYLWDOVLJQVDQGUHFRUGLQJ
(&*V
/2;25(7&$3URWRFRODQG3URWRFRO$PHQGPHQWV


&21),'(17,$/
&$/2;25(7)LQDO3URWRFRO$PHQGPHQW'HF

3DJH
7LPLQJRIDOOVWXG\SURFHGXUHVDUHLQGLFDWHGLQWKH6WXG\(YHQWV)ORZ&KDUW6HFWLRQ
6XEMHFWVPD\EHUHSODFHGDWWKHGLVFUHWLRQRIWKH6SRQVRU
 &RQILQHPHQW5HWXUQ9LVLWVDQG)ROORZ8S
6XEMHFWVZLOOEHKRXVHGWKURXJKRXWWKHVWXG\IURP'D\DWWKHWLPHLQGLFDWHGE\WKH&58
XQWLODIWHUFRPSOHWLRQRIWKHKRXUEORRGGUDZDQGRU(27RU(7VWXG\SURFHGXUHV(27LV
GHILQHGDVWKHGD\RQZKLFKWKHVXEMHFWLVUHOHDVHGIURPWKH&58IROORZLQJDOOVWXG\
SURFHGXUHV6WXG\(YHQWV)ORZ&KDUW6HFWLRQ

$WDOOWLPHVDVXEMHFWPD\EHUHTXLUHGWRUHPDLQDWWKH&58IRUORQJHUDWWKHGLVFUHWLRQRIWKH
3,RUGHVLJQHHDQGRU6SRQVRU
7KH&58ZLOOFRQWDFWDOOVXEMHFWVZKRUHFHLYHG/2;2LQFOXGLQJVXEMHFWVZKRWHUPLQDWH
WKHVWXG\HDUO\E\SKRQHFDOOGD\VGD\VDIWHUVXEMHFWVDUHGLVFKDUJHGIURPWKH&58WR
GHWHUPLQHLIDQ6$(RUVWXG\GUXJUHODWHG$(KDVRFFXUUHGVLQFHWKH(27(7YLVLW
 (QGRI6WXG\'HILQLWLRQ
(QGRI6WXG\(26LVGHILQHGDVWKHGD\RQZKLFKWKHVXEMHFWFRPSOHWHVWKHIROORZXSSKRQH
FDOO6WXG\(YHQWV)ORZ&KDUW6HFWLRQ


/2;25(7&$3URWRFRODQG3URWRFRO$PHQGPHQWV


&21),'(17,$/
&$/2;25(7)LQDO3URWRFRO$PHQGPHQW'HF

3DJH
 678'<3238/$7,21
7KH,QYHVWLJDWRURUGHVLJQHH&HOHULRQ0HGLFDO0RQLWRUDQG6SRQVRUZLOOUHYLHZPHGLFDO
KLVWRU\DQGDOOVFUHHQLQJHYDOXDWLRQVIRUSRWHQWLDOVXEMHFWVSULRUWRHQUROOPHQW7KH6SRQVRU
ZLOOSURYLGHDSSURYDORIVXEMHFWVIRUHQUROPHQWSULRUWRGRVLQJ
 ,QFOXVLRQ&ULWHULD
6XEMHFWVPXVWIXOILOODOORIWKHIROORZLQJLQFOXVLRQFULWHULDWREHHOLJLEOHIRUSDUWLFLSDWLRQLQWKH
VWXG\
 $OO6XEMHFWV
 0DOHRUIHPDOHRIQRQFKLOGEHDULQJSRWHQWLDORQO\\HDUVRIDJHLQFOXVLYHDW
6FUHHQLQJ
 %RG\PDVVLQGH[%0,DQGNJPDWVFUHHQLQJDQGKDYHDPLQLPXPZHLJKW
RIDWOHDVWNJDW6FUHHQLQJ
 /LYHUIXQFWLRQWHVWVDODQLQHDPLQRWUDQVIHUDVH>$/7@DQGDVSDUWDWHDPLQRWUDQVIHUDVH
>$67@VHUXPWRWDODQGGLUHFWELOLUXELQDP\ODVHDQGOLSDVHPXVWEHZLWKLQWKHXSSHUOLPLW
RIQRUPDOIRUWKHODERUDWRU\XVHGE\WKH&58DW6FUHHQLQJDQG&KHFNLQ5HFKHFNVRIWKH
/)7V$/7DQG$67VHUXPWRWDODQGGLUHFWELOLUXELQDP\ODVHDQGOLSDVHZLOOEH
SHUPLWWHGXSWRWLPHVWRFRQILUPVXEMHFWHOLJLELOLW\6XEMHFWVPD\EHHOLJLEOHIRU
SDUWLFLSDWLRQLQWKHVWXG\EDVHGRQUHFKHFNHGYDOXHVLIWKHVHYDOXHVDUHZLWKLQQRUPDO
UDQJHVDQGLIWKH3,RUGHVLJQHHZLWKDJUHHPHQWIURPWKH&HOHULRQ0HGLFDO0RQLWRUDQG
WKH6SRQVRUIHHOVWKDWWKHUHVXOWVDUHQRWFOLQLFDOO\VLJQLILFDQWDQGZLOOQRWLPSDFWVWXG\
FRQGXFW
 )HPDOHRIQRQFKLOGEHDULQJSRWHQWLDOPXVWKDYHXQGHUJRQHRQHRIWKHIROORZLQJ
VWHULOL]DWLRQSURFHGXUHVDWOHDVWPRQWKVSULRUWRGRVLQJ
x K\VWHURVFRSLFVWHULOL]DWLRQ
x ELODWHUDOWXEDOOLJDWLRQRUELODWHUDOVDOSLQJHFWRP\
x K\VWHUHFWRP\
x ELODWHUDORRSKRUHFWRP\
RUEHSRVWPHQRSDXVDOZLWKDPHQRUUKHDIRUDWOHDVW\HDUSULRUWRGRVLQJDQG
IROOLFOHVWLPXODWLQJKRUPRQH)6+VHUXPOHYHOVFRQVLVWHQWZLWKSRVWPHQRSDXVDOVWDWXV
3RVWPHQRSDXVDOVWDWXVZLOOEHFRQILUPHGZLWKDVFUHHQLQJVHUXPIROOLFOHVWLPXODWLQJ
KRUPRQHOHYHOYDOXHZLWKLQWKH&58¶VODERUDWRU\¶VH[SHFWHGUDQJHIRUSRVWPHQRSDXVDO
VWDWXV$OOIHPDOHVPXVWKDYHDQHJDWLYHTXDOLWDWLYHVHUXPSUHJQDQF\WHVWVHUXPKXPDQ
FKRULRQLFJRQDGRWURSLQDW6FUHHQLQJDQG&KHFNLQ
/2;25(7&$3URWRFRODQG3URWRFRO$PHQGPHQWV


&21),'(17,$/
&$/2;25(7)LQDO3URWRFRO$PHQGPHQW'HF

3DJH
 0DOHVZKRDUHFDSDEOHRIIDWKHULQJDFKLOGPXVWDJUHHWRXVHRQHRIWKHIROORZLQJPHWKRGV
RIFRQWUDFHSWLRQIURPWKHWLPHRIWKHGRVHDGPLQLVWUDWLRQWKURXJKPRQWKVDIWHUWKHODVW
GRVH
0DOHVWHULOL]DWLRQZLWKGRFXPHQWHGFRQILUPDWLRQRIVXUJLFDOVXFFHVV0DOHVXEMHFWVZLOOEH
VXUJLFDOO\VWHULOHIRUDWOHDVWGD\VSULRUWR&KHFNLQ,IGRFXPHQWDWLRQLVQRWDYDLODEOH
PDOHVXEMHFWVPXVWIROORZRQHRIWKHFRQWUDFHSWLRQPHWKRGVEHORZ
D 0DOHFRQGRPZLWKVSHUPLFLGHRU
E )RUDIHPDOHSDUWQHURIPDOHVWXG\SDUWLFLSDQW
 ,QWUDXWHULQHGHYLFH,8'KRUPRQDO,8'HJ0LUHQD
&RSSHU,8'VDUHDFFHSWDEOHHJ3DUD*DUG
 (VWDEOLVKHGXVHRIRUDOLPSODQWHGWUDQVGHUPDORUKRUPRQDO
PHWKRGRIFRQWUDFHSWLRQDVVRFLDWHGZLWKLQKLELWLRQRIRYXODWLRQ
RU
 %LODWHUDOWXEDOOLJDWLRQ
0DOHVZKRSUDFWLFHWUXHDEVWLQHQFHEHFDXVHRIDOLIHVW\OHFKRLFHLHGRQRWEHFRPH
DEVWLQHQWMXVWIRUWKHSXUSRVHRIVWXG\SDUWLFLSDWLRQDUHH[HPSWIURPFRQWUDFHSWLYH
UHTXLUHPHQWV3HULRGLFDEVWLQHQFHE\DIHPDOHSDUWQHUHJFDOHQGDURYXODWLRQ
V\PSWRWKHUPDOSRVWRYXODWLRQPHWKRGVDQGZLWKGUDZDODUHQRWDFFHSWDEOHPHWKRGVRI
FRQWUDFHSWLRQ,IDPDOHVXEMHFWLVDEVWLQHQWDWWKHWLPHRIVLJQLQJWKH,&)EXWEHFRPHV
VH[XDOO\DFWLYHGXULQJWKHVWXG\KHPXVWDJUHHWRXVHFRQWUDFHSWLRQDVGHVFULEHGDERYH
)RUPDOHVXEMHFWVVH[XDOLQWHUFRXUVHZLWKIHPDOHSDUWQHUVZKRDUHSUHJQDQWRU
EUHDVWIHHGLQJVKRXOGEHDYRLGHGXQOHVVFRQGRPVZLWKVSHUPLFLGHDUHXVHGIURPWKHWLPHRI
WKHVWXG\GUXJDGPLQLVWUDWLRQXQWLOPRQWKVDIWHUWKHODVWGRVHRIVWXG\GUXJ0DOHVXEMHFWV
DUHUHTXLUHGWRUHIUDLQIURPGRQDWLRQRIVSHUPIURP&KHFNLQXQWLOPRQWKVDIWHUWKHODVW
GRVHRIVWXG\GUXJ
)RUVXEMHFWVZKRDUHH[FOXVLYHO\LQVDPHVH[UHODWLRQVKLSVFRQWUDFHSWLYHUHTXLUHPHQWVGR
QRWDSSO\
 8QGHUVWDQGVWKHVWXG\SURFHGXUHVLQWKH,&)DQGEHZLOOLQJDQGDEOHWRFRPSO\ZLWKWKH
SURWRFRO
 $GGLWLRQDO5HTXLUHPHQWVIRU6XEMHFWVZLWK5,
 6XEMHFWLVDQRQVPRNHURUPRGHUDWHVPRNHUFLJDUHWWHVGD\RUWKHHTXLYDOHQWDQGLV
ZLOOLQJWRFRQVXPHQRPRUHWKDQFLJDUHWWHVRUHTXLYDOHQWLQWREDFFRRU
QLFRWLQHFRQWDLQLQJSURGXFWVGXULQJWKHFRQILQHPHQWSHULRGVRIWKHVWXG\DQGUHIUDLQIURP
WKHXVHRIWREDFFRRUQLFRWLQHFRQWDLQLQJSURGXFWVIRUKRXUVSULRUWRGRVLQJDQGKRXUV
DIWHUGRVHDGPLQLVWUDWLRQ
/2;25(7&$3URWRFRODQG3URWRFRO$PHQGPHQWV


&21),'(17,$/
&$/2;25(7)LQDO3URWRFRO$PHQGPHQW'HF

3DJH
 :LWKWKHH[FHSWLRQRIUHQDOLQVXIILFLHQF\EDVHOLQHPHGLFDOKHDOWKLVMXGJHGWREHVWDEOH
ZLWKQRFOLQLFDOO\VLJQLILFDQWPHGLFDOKLVWRU\SK\VLFDOH[DPLQDWLRQODERUDWRU\SURILOHV
YLWDOVLJQVRU(&*DEQRUPDOLWLHVDWVFUHHQLQJDQGDWWKHWLPHRI&KHFNLQDVGHHPHG
DFFHSWDEOHE\WKH3,RUGHVLJQHHZLWKDJUHHPHQWIURPWKH&HOHULRQ0HGLFDO0RQLWRUDQG
WKH6SRQVRU
 6XEMHFWKDVVWDEOHUHQDOGLVHDVHVWDWXVDQGIXQFWLRQDWOHDVWPRQWKSULRUWR/2;2
DGPLQLVWUDWLRQ
 6XEMHFWLVQRWFXUUHQWO\RUKDVQRWSUHYLRXVO\EHLQJRQKHPRGLDO\VLV
 %DVHOLQHH*)5EDVHGRQWKH0'5'HTXDWLRQDWVFUHHQLQJDVIROORZV
x 6HYHUH5,P/PLQP
x 0RGHUDWH5,DQGP/PLQP
x 0LOG5,DQGP/PLQP
7KH0'5'HTXDWLRQLVDVIROORZVIRUIHPDOHVPXOWLSO\UHVXOWE\LI$IULFDQ
$PHULFDQPXOWLSO\UHVXOWE\
H*)5 [6FUVWG[$JH
6FUVWGVHUXPFUHDWLQLQHPJG/PHDVXUHGZLWKDVWDQGDUGL]HGDVVD\
7KHEDVHOLQHH*)5ZLOOEHREWDLQHGE\WDNLQJWKHPHDQRIWKHH*)5REWDLQHGIURP
VFUHHQLQJDQGIURPKLVWRULFDOYDOXHVZLWKLQDPRQWKSHULRGIURPVFUHHQLQJ,IQR
KLVWRULFDOPHDVXUHPHQWLVDYDLODEOHDVHFRQGEDVHOLQHH*)5VDPSOHZLOOEHWDNHQGXULQJ
WKHVFUHHQLQJSHULRGKRXUVDSDUWDQGWKHPHDQRIWKHWZRYDOXHVZLOOEHXVHGIRU
FRKRUWDVVLJQPHQW
 8VHRISUHVFULSWLRQDQGQRQSUHVFULSWLRQPHGLFDWLRQVWKDWDUHQHHGHGWRVWDELOL]HWKH
VXEMHFW¶VXQGHUO\LQJPHGLFDOFRQGLWLRQRUFRQFXUUHQWEDVHOLQHFRQGLWLRQVDVGHHPHG
DFFHSWDEOHE\WKH3,RUGHVLJQHHZLWKDJUHHPHQWIURPWKH&HOHULRQ0HGLFDO0RQLWRUDQG
WKH6SRQVRUSURYLGLQJWKHVXEMHFWKDVEHHQRQDVWDEOHGRVHIRUDPLQLPXPRIGD\V
SULRUWRVWXG\GUXJDGPLQLVWUDWLRQ
 $GGLWLRQDO5HTXLUHPHQWVIRU+HDOWK\6XEMHFWV
 +HDOWK\DGXOWPDOHDQGIHPDOHVXEMHFWVZLOOEHPDWFKHGWRDWOHDVWRQHVSHFLILFVXEMHFW
LQWKHUHQDOO\LPSDLUHGFRKRUWVEDVHGXSRQDJH%0,DQGVH[7KHIROORZLQJFULWHULD
VKRXOGEHIXOILOOHG
x
$JHPXVWEHZLWKLQ\HDUVRIWKHPDWFKHGVXEMHFWV¶DJHLQWKHUHQDOO\LPSDLUHG
FRKRUW
/2;25(7&$3URWRFRODQG3URWRFRO$PHQGPHQWV


&21),'(17,$/
&$/2;25(7)LQDO3URWRFRO$PHQGPHQW'HF

3DJH
x
%0,PXVWEHZLWKLQRIWKHPDWFKHGVXEMHFWV¶%0,LQWKHUHQDOO\LPSDLUHG
FRKRUW
 &RQWLQXRXVQRQVPRNHUZKRKDVQRWXVHGQLFRWLQHWREDFFRFRQWDLQLQJSURGXFWVIRUDWOHDVW
PRQWKVSULRUWRWKHILUVWGRVLQJDQGWKURXJKRXWWKHVWXG\
 %DVHOLQHH*)5P/PLQPDWVFUHHQLQJEDVHGRQWKH0'5'HTXDWLRQDV
GHVFULEHGLQ6HFWLRQ&ULWHULRQ%DVHGRQWKHGLVFUHWLRQRIWKH3,RUGHVLJQHHD
VLQJOHDVVHVVPHQWRIDFWXDOFUHDWLQLQHFOHDUDQFHHYDOXDWHGRYHUDKRXUXULQHFROOHFWLRQ
PD\EHXVHGLQSODFHRIWKH0'5'HTXDWLRQIRUKHDOWK\VXEMHFWV
 0HGLFDOO\KHDOWK\ZLWKQRFOLQLFDOO\VLJQLILFDQWPHGLFDOKLVWRU\SK\VLFDOH[DPLQDWLRQ
ODERUDWRU\SURILOHVYLWDOVLJQVRU(&*VDWVFUHHQLQJDQGDWWKHWLPHRI&KHFNLQDV
GHHPHGE\WKH3,RUGHVLJQHHDQGDVFRQILUPHGE\WKH&HOHULRQ0HGLFDO0RQLWRUDQGWKH
6SRQVRU
 ([FOXVLRQ&ULWHULD
6XEMHFWVPXVWQRWEHHQUROOHGLQWKHVWXG\LIWKH\PHHWDQ\RIWKHIROORZLQJFULWHULD
 $OO6XEMHFWV
 ,VPHQWDOO\RUOHJDOO\LQFDSDFLWDWHGRUKDVVLJQLILFDQWHPRWLRQDOSUREOHPVDWWKHWLPHRIWKH
VFUHHQLQJYLVLWRUH[SHFWHGGXULQJWKHFRQGXFWRIWKHVWXG\
 +LVWRU\RUSUHVHQFHRIFOLQLFDOO\VLJQLILFDQWPHGLFDORUSV\FKLDWULFFRQGLWLRQRUGLVHDVHLQ
WKHRSLQLRQRIWKH3,RUGHVLJQHHDQGDVFRQILUPHGE\WKH&HOHULRQ0HGLFDO0RQLWRUDQG
WKH6SRQVRU
 +LVWRU\RIDQ\LOOQHVVWKDWLQWKHRSLQLRQRIWKH3,RUGHVLJQHHDQGDVFRQILUPHGE\WKH
&HOHULRQ0HGLFDO0RQLWRUDQGWKH6SRQVRUPLJKWFRQIRXQGWKHUHVXOWVRIWKHVWXG\RU
SRVHVDQDGGLWLRQDOULVNWRWKHVXEMHFWE\WKHLUSDUWLFLSDWLRQLQWKHVWXG\
 +LVWRU\RIVWRPDFKRULQWHVWLQDOVXUJHU\RUUHVHFWLRQJDVWULWLVJDVWURLQWHVWLQDOWUDFWRU
KHSDWLFGLVRUGHURURWKHUFOLQLFDOFRQGLWLRQWKDWPLJKWDVGHHPHGE\WKH3,RUGHVLJQHH
ZLWKDJUHHPHQWIURPWKH&HOHULRQ0HGLFDO0RQLWRUDQGWKH6SRQVRUDIIHFWWKHDEVRUSWLRQ
GLVWULEXWLRQELRWUDQVIRUPDWLRQRUH[FUHWLRQRI/2;2DSSHQGHFWRP\KHUQLDUHSDLU
DQGFKROHF\VWHFWRP\ZLOOEHDOORZHGEDULDWULFVXUJHU\ZLOOQRWEHDOORZHG
 6XEMHFWKDVUHTXLUHGWUHDWPHQWIRUJDVWURLQWHVWLQDOEOHHGLQJZLWKLQPRQWKVSULRUWR
&KHFNLQ
 +LVWRU\RUSUHVHQFHRIDOFRKROLVPRUGUXJDEXVHZLWKLQWKHSDVW\HDUVSULRUWRGRVLQJ
 +LVWRU\RUSUHVHQFHRIK\SHUVHQVLWLYLW\RULGLRV\QFUDWLFUHDFWLRQWRWKHVWXG\GUXJVRU
UHODWHGFRPSRXQGVRULQDFWLYHLQJUHGLHQWV
/2;25(7&$3URWRFRODQG3URWRFRO$PHQGPHQWV


&21),'(17,$/
&$/2;25(7)LQDO3URWRFRO$PHQGPHQW'HF

3DJH
 +LVWRU\RUSUHVHQFHRI
x OLYHUGLVHDVH
x SDQFUHDWLWLV
x SHSWLFXOFHUGLVHDVH
x LQWHVWLQDOPDODEVRUSWLRQ
x JDVWULFUHGXFWLRQVXUJHU\
x XQH[SODLQHGV\QFRSH
x KLVWRU\RUSUHVHQFHRIFOLQLFDOO\VLJQLILFDQWFDUGLRYDVFXODUGLVHDVH
P P\RFDUGLDOLQIDUFWLRQRUFHUHEURYDVFXODUWKURPERHPEROLVPZLWKLQPRQWKVSULRU
WRGRVLQJ
P V\PSWRPDWLFDQJLQDSHFWRULVZLWKLQPRQWKVSULRUWRGRVLQJ
P 1HZ<RUN+HDUW$VVRFLDWLRQ&ODVVFRQJHVWLYHKHDUWIDLOXUHZLWKLQPRQWKV
SULRUWRGRVLQJ
P FRQJHQLWDOSURORQJHG47V\QGURPH
P YHQWULFXODUSUHH[FLWDWLRQV\QGURPH:ROII3DUNLQVRQ:KLWHV\QGURPH
P DUUK\WKPLDRUKLVWRU\RIDUUK\WKPLDUHTXLULQJPHGLFDOLQWHUYHQWLRQ
P YHQWULFXODUG\VIXQFWLRQRUULVNIDFWRUVIRU7RUVDGHVGH3RLQWHVHJKHDUWIDLOXUH
FDUGLRP\RSDWK\IDPLO\KLVWRU\RI/RQJ476\QGURPH
P VLJQLILFDQWVFUHHQLQJ(&*DEQRUPDOLWLHV
 /HIW%XQGOHEUDQFKEORFN
 6HFRQGGHJUHHDWULRYHQWULFXODU$9EORFNW\SHRUWKLUGGHJUHH$9EORFN
 )HPDOHVXEMHFWVRIFKLOGEHDULQJSRWHQWLDO
)HPDOHVXEMHFWVZLWKDSRVLWLYHSUHJQDQF\WHVWRUZKRDUHODFWDWLQJ
6XEMHFWVZLWKDWUHVWLHVXSLQHIRUDWOHDVWPLQXWHVKHDUWUDWHORZHUWKDQESPRU
KLJKHUWKDQESPDW6FUHHQLQJ&KHFNLQDQGSULRUWRGRVLQJ2XWRIUDQJHYDOXHVWKDW
DUHQRWFOLQLFDOO\VLJQLILFDQWDVGHWHUPLQHGE\WKH3,RUGHVLJQHHPD\EHUHSHDWHGWZLFH
GXULQJ6FUHHQLQJ&KHFNLQDQGSULRUWRGRVLQJ1RWH5HFKHFNVRIKHDUWUDWHYDOXHVZLOO
EHSHUPLWWHGXSWRWLPHVWRFRQILUPHOLJLELOLW\IRUVWXG\SDUWLFLSDWLRQ6XEMHFWVPD\EH
HOLJLEOHIRUSDUWLFLSDWLRQLQWKHVWXG\EDVHGRQUHFKHFNHGKHDUWUDWHYDOXHVLIWKH\IDOO
ZLWKLQWKHUDQJHVUHIHUHQFHGDERYHDQGLIWKH3,RUGHVLJQHHZLWKDJUHHPHQWIURPWKH
&HOHULRQ0HGLFDO0RQLWRUDQGWKH6SRQVRUIHHOWKDWWKHUHVXOWVDUHQRWFOLQLFDOO\
VLJQLILFDQWEDVHGRQWKHDJHDQGUHQDOLPSDLUPHQWVWDWXVRIWKHVXEMHFWDQGZLOOQRW
LPSDFWVWXG\FRQGXFW
/2;25(7&$3URWRFRODQG3URWRFRO$PHQGPHQWV


&21),'(17,$/
&$/2;25(7)LQDO3URWRFRO$PHQGPHQW'HF

3DJH
 3RVLWLYHUHVXOWVIRUWKHXULQHRUVDOLYDGUXJVFUHHQDW6FUHHQLQJRU&KHFNLQXQOHVVWKH
SRVLWLYHGUXJVFUHHQLVGXHWRSUHVFULSWLRQGUXJXVHWKDWLVDSSURYHGE\WKH3,RUGHVLJQHH
&HOHULRQ0HGLFDO0RQLWRUDQG6SRQVRU
 3RVLWLYHUHVXOWVIRUXULQHRUEUHDWKDOFRKROVFUHHQDW6FUHHQLQJRU&KHFNLQ
 3RVLWLYHUHVXOWVDWVFUHHQLQJIRUKXPDQLPPXQRGHILFLHQF\YLUXV+,9KHSDWLWLV%VXUIDFH
DQWLJHQ+%V$JRUKHSDWLWLV&YLUXV+&9
 2UDOERG\WHPSHUDWXUHDW6FUHHQLQJ&KHFNLQDQGSULRUWRGRVLQJOHVVWKDQ&RU
JUHDWHUWKDQ&
 ,VXQDEOHWRUHIUDLQIURPRUDQWLFLSDWHVWKHXVHRIDQ\PHGLFDWLRQRUVXEVWDQFHLQFOXGLQJ
SUHVFULSWLRQRURYHUWKHFRXQWHUSURWRQSXPSLQKLELWRUV33,VYLWDPLQVXSSOHPHQWV
QDWXUDORUKHUEDOVXSSOHPHQWVIURPGD\VSULRUWRGRVLQJDQGWKURXJKRXWWKHVWXG\
 ,VXQDEOHWRUHIUDLQIURPRUDQWLFLSDWHVWKHXVHRIDQ\PRGHUDWHRUVWURQJLQKLELWRURU
LQGXFHURI&<3$$RUVWURQJLQKLELWRURI3JSIURPGD\VSULRUWRGRVLQJDQG
WKURXJKRXWWKHVWXG\
 +DVEHHQRQDGLHWLQFRPSDWLEOHZLWKWKHRQVWXG\GLHWLQWKHRSLQLRQRIWKH3,RU
GHVLJQHHDQGDVFRQILUPHGE\WKH&HOHULRQ0HGLFDO0RQLWRUDQGWKH6SRQVRUZLWKLQWKH
GD\VSULRUWRGRVLQJDQGWKURXJKRXWWKHVWXG\
 'RQDWLRQRIEORRGRUVLJQLILFDQWEORRGORVVZLWKLQGD\VSULRUWRGRVLQJ
 3ODVPDRUSODWHOHWGRQDWLRQZLWKLQZHHNVSULRUWRGRVLQJ
 'RVLQJLQDQ\RWKHULQYHVWLJDWLRQDOVWXG\GUXJWULDOLQYROYLQJDGPLQLVWUDWLRQRIDQ\
LQYHVWLJDWLRQDOGUXJLQWKHSDVWGD\VRUKDOIOLYHVLINQRZQZKLFKHYHULVORQJHU
SULRUWR&KHFNLQ
 $Q\PHGLFDWLRQLQFOXGLQJRYHUWKHFRXQWHUWKDWZRXOGVLJQLILFDQWO\DOWHUH*)5ZKLFK
E\WKHGHWHUPLQDWLRQRIWKH3,RUGHVLJQHHPLJKWLQWHUIHUHZLWKWKHVWXG\HJ
FLPHWLGLQHPXVWEHGLVFRQWLQXHGDWOHDVWZHHNVSULRUWRGRVLQJDQGWKURXJKRXWWKHVWXG\
 6WUHQXRXVH[HUFLVHZLWKLQGD\VSULRUWR&KHFNLQ
 3RRUSHULSKHUDOYHQRXVDFFHVV
 +LVWRU\RIDPDMRUVXUJLFDOSURFHGXUHZLWKLQGD\VSULRUWR6FUHHQLQJ
 +LVWRU\RUSUHVHQFHXSRQFOLQLFDOHYDOXDWLRQRIDQ\LOOQHVVWKDWLQWKHRSLQLRQRIWKH
,QYHVWLJDWRUZRXOGLQWHUIHUHZLWKWKHDELOLW\WRSURYLGHLQIRUPHGFRQVHQWRUFRPSO\ZLWK
VWXG\LQVWUXFWLRQVRUWKDWPLJKWFRQIRXQGWKHLQWHUSUHWDWLRQRIWKHVWXG\UHVXOWVRUSXWWKH
VXEMHFWDWXQGXHULVN
 5HFHLSWRIEORRGSURGXFWVZLWKLQPRQWKVSULRUWR&KHFNLQ
/2;25(7&$3URWRFRODQG3URWRFRO$PHQGPHQWV


&21),'(17,$/
&$/2;25(7)LQDO3URWRFRO$PHQGPHQW'HF

3DJH
 $GGLWLRQDO5HTXLUHPHQWVIRU6XEMHFWVZLWK5,
 +DVUDSLGO\IOXFWXDWLQJUHQDOIXQFWLRQDVGHWHUPLQHGE\KLVWRULFDOPHDVXUHPHQWVRUKDV
GHPRQVWUDWHGRUVXVSHFWHGUHQDODUWHU\VWHQRVLV5DSLGO\IOXFWXDWLQJUHQDOIXQFWLRQLV
GHILQHGDVFUHDWLQLQHFOHDUDQFHRUH*)5WKDWGLIIHUVE\PRUHWKDQZLWKLQDWOHDVW
PRQWKVRIWKHVFUHHQLQJFUHDWLQLQHFOHDUDQFHRUH*)5,IKLVWRULFDOPHDVXUHPHQWVDUHQRW
DYDLODEOHWKHQWKHVFUHHQLQJPHDVXUHPHQWVZLOOEHXVHGWRGHPRQVWUDWHVWDELOLW\
 6XEMHFWVZKRKDYHKDGDUHQDOWUDQVSODQWDQHSKUHFWRP\RUVXEMHFWVZLWKDNQRZQKLVWRU\
RIQHSKURWLFV\QGURPH
 6XEMHFWVZKRKDYHUHTXLUHGQHZPHGLFDWLRQIRUUHQDOGLVHDVHZLWKLQGD\VSULRUWR
&KHFNLQ
 47LQWHUYDOFRUUHFWHGIRUKHDUWUDWHXVLQJ)ULGHULFLD¶VPHWKRG47F)LV!PVHF
 6XEMHFWZLWKDWUHVWLHVXSLQHIRUDWOHDVWPLQXWHVGLDVWROLFEORRGSUHVVXUH%3RI
RU!PP+JDQGRUV\VWROLF%3RIRU!PP+JDW6FUHHQLQJ&KHFNLQDQGSULRU
WRGRVLQJ2XWRIUDQJHYDOXHVWKDWDUHQRWFOLQLFDOO\VLJQLILFDQWDVGHWHUPLQHGE\WKH3,RU
GHVLJQHHPD\EHUHSHDWHGWZLFHGXULQJ6FUHHQLQJ&KHFNLQDQGSULRUWRGRVLQJ1RWH
5HFKHFNVRI%3YDOXHVZLOOEHSHUPLWWHGXSWRWLPHVWRFRQILUPHOLJLELOLW\IRUVWXG\
SDUWLFLSDWLRQ6XEMHFWVPD\EHHOLJLEOHIRUSDUWLFLSDWLRQLQWKHVWXG\EDVHGRQUHFKHFNHG%3
YDOXHVLIWKH\IDOOZLWKLQWKHUDQJHVUHIHUHQFHGDERYHDQGWKH3,RUGHVLJQHHZLWK
DJUHHPHQWIURPWKH&HOHULRQ0HGLFDO0RQLWRUDQGWKH6SRQVRUIHHOVWKDWWKHUHVXOWVDUHQRW
FOLQLFDOO\VLJQLILFDQWEDVHGRQWKHDJHDQGUHQDOLPSDLUPHQWVWDWXVRIWKHVXEMHFWDQGZLOO
QRWLPSDFWVWXG\FRQGXFW
 $GGLWLRQDO5HTXLUHPHQWVIRU+HDOWK\6XEMHFWV
 +LVWRU\RUSUHVHQFHRIGLDEHWHVPHOOLWXV
 +LVWRU\RI/HIW%XQGOH%UDQFK%ORFN
 47LQWHUYDOFRUUHFWHGIRUKHDUWUDWHXVLQJ)ULGHULFLD¶VPHWKRG47F)LV!PVHF
 6XEMHFWVZLWKDWUHVWLHVXSLQHIRUDWOHDVWPLQXWHVGLDVWROLF%3RIRU!PP+J
DQGRUVXSLQHV\VWROLF%3RIRU!PP+JDWVFUHHQLQJ&KHFNLQDQGSULRUWR
GRVLQJ2XWRIUDQJHYDOXHVWKDWDUHQRWFOLQLFDOO\VLJQLILFDQWDVGHWHUPLQHGE\WKH3,RU
GHVLJQHHPD\EHUHSHDWHGWZLFHGXULQJVFUHHQLQJ&KHFNLQDQGSULRUWRGRVLQJ1RWH
5HFKHFNVRI%3YDOXHVZLOOEHSHUPLWWHGXSWRWLPHVWRFRQILUPHOLJLELOLW\IRUVWXG\
SDUWLFLSDWLRQ6XEMHFWVPD\EHHOLJLEOHIRUSDUWLFLSDWLRQLQWKHVWXG\EDVHGRQUHFKHFNHG%3
YDOXHVLIWKH\IDOOZLWKLQWKHUDQJHVUHIHUHQFHGDERYHDQGLIWKH3,RUGHVLJQHHZLWK
DJUHHPHQWIURPWKH&HOHULRQ0HGLFDO0RQLWRUDQGWKH6SRQVRUIHHOVWKDWWKHUHVXOWVDUHQRW
FOLQLFDOO\VLJQLILFDQWDQGZLOOQRWLPSDFWVWXG\FRQGXFW
 $Q\FOLQLFDOO\VLJQLILFDQWGHYLDWLRQVIURPQRUPDOUDQJHVLQFUHDWLQHNLQDVH&.XQOHVV
DSSURYHGE\WKH3,RUGHVLJQHHZLWKDJUHHPHQWIURPWKH&HOHULRQ0HGLFDO0RQLWRUDQG
WKH6SRQVRU
/2;25(7&$3URWRFRODQG3URWRFRO$PHQGPHQWV


&21),'(17,$/
&$/2;25(7)LQDO3URWRFRO$PHQGPHQW'HF

3DJH
 6LJQLILFDQWKLVWRU\RUFOLQLFDOPDQLIHVWDWLRQRIDQ\PHWDEROLFDOOHUJLFGHUPDWRORJLFDO
KHSDWLFELOLDU\UHQDOKHPDWRORJLFDOSXOPRQDU\FDUGLRYDVFXODULQFOXGLQJDQ\SULRU
KLVWRU\RIFDUGLRP\RSDWK\RUFDUGLDFIDLOXUHJDVWURLQWHVWLQDOQHXURORJLFDORUSV\FKLDWULF
GLVRUGHUDVGHWHUPLQHGE\WKH,QYHVWLJDWRURUFDQFHUZLWKLQWKHSDVW\HDUVH[FHSW
ORFDOL]HGEDVDOFHOOVTXDPRXVRULQVLWXFDQFHURIWKHVNLQ
 +LVWRU\RIFRQJHQLWDOQRQKHPRO\WLFK\SHUELOLUXELQHPLDHJ*LOEHUW¶VV\QGURPH
 3RVLWLYHFRWLQLQHWHVWDWVFUHHQLQJRUFKHFNLQ
 (DUO\7HUPLQDWLRQRI6XEMHFWVIURPWKH6WXG\
6XEMHFWVDUHIUHHWRZLWKGUDZIURPWKHVWXG\DWDQ\WLPHIRUDQ\UHDVRQ
,QDGGLWLRQVXEMHFWVPD\EHZLWKGUDZQIURPWKHVWXG\E\WKH3,RUGHVLJQHHIRUWKHIROORZLQJ
UHDVRQV
x $(V
x 'LIILFXOWLHVLQEORRGFROOHFWLRQ
x 3RVLWLYHSUHJQDQF\WHVW
x 3RVLWLYHXULQHRUVDOLYDGUXJDQGSRVLWLYHXULQHRUEUHDWKDOFRKROWHVWXQOHVVWKHSRVLWLYH
GUXJVFUHHQLVGXHWRSUHVFULSWLRQGUXJXVHWKDWLVDSSURYHGE\WKH3,RUGHVLJQHHWKH
&HOHULRQ0HGLFDO0RQLWRUDQGWKH6SRQVRU
$VXEMHFWPD\EHZLWKGUDZQE\WKH3,GHVLJQHHRUWKH6SRQVRULIHLWKHUFRQVLGHUVHQUROOPHQW
RIWKHVXEMHFWLQWRWKHVWXG\LVLQDSSURSULDWHWKHVWXG\SODQLVYLRODWHGRUIRUDGPLQLVWUDWLYH
DQGRURWKHUVDIHW\UHDVRQV3URPSWQRWLILFDWLRQWRWKH6SRQVRURIZLWKGUDZDORIDQ\VXEMHFW
VKRXOGEHSURYLGHG
6XEMHFWVZKRZLWKGUDZIURPWKHVWXG\ZLOOXQGHUJRHDUO\WHUPLQDWLRQIURPWKHVWXG\
SURFHGXUHVDVRXWOLQHGLQWKH6WXG\(YHQWV)ORZ&KDUW6HFWLRQ
 6WXG\5HVWULFWLRQV
 3URKLELWLRQVDQG&RQFRPLWDQW0HGLFDWLRQ
&RQVXPSWLRQRIIRRGVDQGEHYHUDJHVFRQWDLQLQJWKHIROORZLQJVXEVWDQFHVZLOOEHSURKLELWHGDV
LQGLFDWHG
x ;DQWKLQHV&DIIHLQHKRXUVSULRUWR&KHFNLQDQGWKURXJKRXWWKHSHULRGRI3.VDPSOH
FROOHFWLRQ
x $OFRKROKRXUVSULRUWR&KHFNLQDQGWKURXJKRXWWKHSHULRGRI3.VDPSOHFROOHFWLRQ
x *UDSHIUXLW*UDSHIUXLW-XLFH6HYLOOHRUDQJHGD\VSULRUWR&KHFNLQDQGWKURXJKRXW
WKHSHULRGRI3.VDPSOHFROOHFWLRQ
/2;25(7&$3URWRFRODQG3URWRFRO$PHQGPHQWV


&21),'(17,$/
&$/2;25(7)LQDO3URWRFRO$PHQGPHQW'HF

3DJH
x &LWULFDFLGIRRGVRUEHYHUDJHVKRXUVSULRUWR&KHFNLQDQGWKURXJKRXWSHULRGRI3.
VDPSOHFROOHFWLRQ
$Q\SUHVFULSWLRQRURYHUWKHFRXQWHUPHGLFDWLRQVLQFOXGLQJSURWRQSXPSLQKLELWRUV>33,V@
PRGHUDWHRUVWURQJLQKLELWRUVRULQGXFHUVRI&<3$$RUVWURQJLQKLELWRUVRI3JSKHUEDO
SURGXFWVQDWXUDORUKHUEDOVXSSOHPHQWVZKLFKFDQQRWEHGLVFRQWLQXHGDWOHDVWGD\VSULRUWR
GRVLQJDQGWKURXJKRXWWKHVWXG\DUHSURKLELWHGXQOHVVDOORZHGE\WKH3,RUGHVLJQHHZLWK
DJUHHPHQWIURPWKH&HOHULRQ0HGLFDO0RQLWRUDQGWKH6SRQVRUDVGHVFULEHGEHORZ
$OOSUHVFULSWLRQRUQRQSUHVFULSWLRQPHGLFDWLRQVWKDWDUHPRGHUDWHRUVWURQJLQKLELWRUVRU
LQGXFHUVRI&<3$DQG&<3$RUVWURQJ3JSLQKLELWRUVZLOOEHSURKLELWHGIRUDWOHDVW
GD\VSULRUWRGRVLQJDQGWKURXJKRXWWKHVWXG\:HDN&<3LQKLELWRUVRULQGXFHUVPD\EH
GHHPHGDFFHSWDEOHIROORZLQJFRQVXOWDWLRQZLWKWKH6SRQVRU&HOHULRQ0HGLFDO0RQLWRUDQG
WKH3,
$Q\PHGLFDWLRQLQFOXGLQJRYHUWKHFRXQWHUWKDWZRXOGVLJQLILFDQWO\DOWHUH*)5ZKLFKE\
WKHGHWHUPLQDWLRQRIWKH3,RUGHVLJQHH&HOHULRQ0HGLFDO0RQLWRURU6SRQVRUPLJKW
LQWHUIHUHZLWKWKHVWXG\HJFLPHWLGLQHPXVWEHGLVFRQWLQXHGDWOHDVWGD\VSULRUWRGRVLQJ
DQGWKURXJKRXWWKHVWXG\
'XULQJWKHFRXUVHRIWKHVWXG\DQ\FRQFXUUHQWPHGLFDWLRQLQFOXGLQJERWKSUHVFULSWLRQDQG
QRQSUHVFULSWLRQGUXJVPXVWILUVWEHGLVFXVVHGZLWKWKH3,RUGHVLJQHH&HOHULRQ0HGLFDO
0RQLWRUDQGRU6SRQVRUSULRUWRGRVLQJXQOHVVDSSURSULDWHPHGLFDOFDUHQHFHVVLWDWHVWKDW
WKHUDS\VKRXOGEHJLQEHIRUHWKH3,RUGHVLJQHH&HOHULRQ0HGLFDO0RQLWRUDQGRU6SRQVRU
FDQEHFRQVXOWHG)ROORZLQJVWXG\GUXJDGPLQLVWUDWLRQDFHWDPLQRSKHQXSWRJSHUKRXUV
PD\EHDGPLQLVWHUHGDWWKHGLVFUHWLRQRIWKH3,RUGHVLJQHH
$SSURSULDWHVRXUFHVZLOOEHFRQVXOWHGE\WKH3,RUGHVLJQHHWRFRQILUPODFNRI
3.SKDUPDFRG\QDPLFLQWHUDFWLRQZLWKWKHVWXG\GUXJ
,IGHYLDWLRQVRFFXUWKH3,RUGHVLJQHHLQFRQVXOWDWLRQZLWKWKH&HOHULRQ0HGLFDO0RQLWRUDQG
WKH6SRQVRULIQHHGHGZLOOGHFLGHRQDFDVHE\FDVHEDVLVZKHWKHUWKHVXEMHFWPD\FRQWLQXH
SDUWLFLSDWLRQLQWKHVWXG\
$OOPHGLFDWLRQVLQFOXGLQJYLWDPLQVDQGKHUEDOVXSSOHPHQWVWDNHQE\VXEMHFWVGXULQJWKH
FRXUVHRIWKHVWXG\ZLOOEHUHFRUGHG
$GGLWLRQDO5HVWULFWLRQVIRU5HQDO,PSDLUHG6XEMHFWV
6XEMHFWVZKRDUHWDNLQJFHUWDLQSUHVFULSWLRQPHGLFDWLRQVWRWUHDWPDQLIHVWDWLRQVRIUHQDO
GLVHDVHRUPHGLFDWLRQVQHHGHGWRWUHDWVWDEOHGLVHDVHVHJDQJLRWHQVLQFRQYHUWLQJHQ]\PH
LQKLELWRUVDQJLRWHQVLQ,,UHFHSWRUDQWDJRQLVWVEHWDEORFNHUVGLXUHWLFVPD\EHDOORZHGWR
SDUWLFLSDWHLQWKHVWXG\DWWKHGLVFUHWLRQRIWKH3,RUGHVLJQHHDQGIROORZLQJFRQVXOWDWLRQZLWK
WKH&HOHULRQ0HGLFDO0RQLWRUDQGWKH6SRQVRUDQGSURYLGHGWKH\KDYHEHHQRQDVWDEOH
UHJLPHQIRUDWOHDVWGD\VSULRUWRGRVLQJDQGDUHDEOHWRZLWKKROGXVHIRUKRXUVSUHGRVH
DQGKRXUVSRVWGRVHRQWKHGD\RIGRVHDGPLQLVWUDWLRQ'D\3KRVSKDWHELQGHUVFRQWDLQLQJ
DOXPLQXPFDOFLXPRUODQWKDQXPVDOWVLURQVXSSOHPHQWVRURWKHUPHWDOFDWLRQV+UHFHSWRU
/2;25(7&$3URWRFRODQG3URWRFRO$PHQGPHQWV


&21),'(17,$/
&$/2;25(7)LQDO3URWRFRO$PHQGPHQW'HF
3DJH
DQWDJRQLVWV+5$V>H[FHSWFLPHWLGLQH@RUPXOWLYLWDPLQVFRQWDLQLQJLURQRU]LQFPXVWEH
ZLWKKHOGDWOHDVWKRXUVSULRUWRGRVLQJDQGDWOHDVWKRXUVSRVWGRVH
 0HDOV
6XEMHFWVZLOOIDVWIURPIRRGQRWLQFOXGLQJZDWHUIRUDWOHDVWKRXUVSULRUWRVWXG\GUXJ
DGPLQLVWUDWLRQDQGZLOOFRQWLQXHWRIDVWIURPIRRGQRWLQFOXGLQJZDWHUIRUDWOHDVWKRXU
SRVWGRVH
:KHQFRQILQHGVWDQGDUGPHDOVDQGVQDFNVZLOOEHSURYLGHGDWDSSURSULDWHWLPHVH[FHSWZKHQ
WKH\DUHUHTXLUHGWRIDVW:KHQFRQILQHGLQWKH&58VXEMHFWVZLOOEHUHTXLUHGWRIDVWIURPDOO
IRRGDQGGULQNH[FHSWZDWHUEHWZHHQPHDOVDQGVQDFNV
 $FWLYLW\
6XEMHFWVZLOOUHPDLQDPEXODWRU\RUVHDWHGXSULJKWIRUWKHILUVWKRXUVSRVWGRVHH[FHSWZKHQ
WKH\DUHVXSLQHRUVHPLUHFOLQHGIRUVWXG\SURFHGXUHV
+RZHYHUVKRXOG$(VRFFXUDWDQ\WLPHVXEMHFWVPD\EHSODFHGLQDQDSSURSULDWHSRVLWLRQRU
ZLOOEHSHUPLWWHGWROLHGRZQRQWKHLUULJKWVLGH
6XEMHFWVZLOOEHLQVWUXFWHGWRUHIUDLQIURPVWUHQXRXVSK\VLFDODFWLYLW\ZKLFKFRXOGFDXVH
PXVFOHDFKHVRULQMXU\LQFOXGLQJFRQWDFWVSRUWVDWDQ\WLPHIURPGD\VSULRUWR&KHFNLQXQWLO
FRPSOHWLRQRIWKHVWXG\
6SHFLILFPHDVXUHVZLOOEHWDNHQWRSUHYHQWWKHVXEMHFWIURPPLVVLQJDXULQHFROOHFWLRQE\
VWULFWO\FRQWUROOLQJDQGSURYLGLQJDFFHVVWRGHVLJQDWHGUHVWURRPVRQO\6XEMHFWVZLOOEHDVNHG
WRYRLGSULRUWRHQWHULQJWKHVKRZHU
6XEMHFWVZLWK5,PXVWEHZLOOLQJWRFRQVXPHQRPRUHWKDQFLJDUHWWHVRUHTXLYDOHQWGD\IURP
WKHWLPHRI6FUHHQLQJXQWLOHQGRIVWXG\'HSHQGLQJRQWKH&58UXOHVDQGUHJXODWLRQVVXEMHFWV
PD\EHSURKLELWHGIURPVPRNLQJGXULQJWKHLUFRQILQHPHQWRUGXULQJSRUWLRQVRIWKHLU
FRQILQHPHQW+HDOWK\PDWFKHGFRQWUROVXEMHFWVZLOOQRWEHSHUPLWWHGWRVPRNHRULQJHVW
QLFRWLQHFRQWDLQLQJSURGXFWV
/2;25(7&$3URWRFRODQG3URWRFRO$PHQGPHQWV


&21),'(17,$/
&$/2;25(7)LQDO3URWRFRO$PHQGPHQW'HF

3DJH
 75($70(176
 7UHDWPHQWV$GPLQLVWHUHG
/2;2ZLOOEHVXSSOLHGDVPJFDSVXOHV
6XEMHFWVZLOOUHFHLYHDVLQJOHRUDOGRVHRIPJ/2;2[PJFDSVXOHVRQ'D\
IROORZLQJDIDVWIURPIRRGRIDWOHDVWKRXUVQRWLQFOXGLQJZDWHUZLWKDSSUR[LPDWHO\
P/RIZDWHUIROORZHGE\DIDVWIURPIRRGQRWLQFOXGLQJZDWHUIRUDWOHDVWKRXU
SRVWGRVH
6XEMHFWVZLOOEHLQVWUXFWHGQRWWRFUXVKVSOLWRUFKHZ/2;2
7KHSKDUPDF\DWWKH&58ZLOOSURYLGHHDFKGRVHLQLQGLYLGXDOXQLWGRVHFRQWDLQHUVIRUHDFK
VXEMHFW
7KHH[DFWFORFNWLPHRIGRVLQJZLOOEHUHFRUGHG
 'RVH0RGLILFDWLRQ
7KHGRVHDQGDGPLQLVWUDWLRQRIWKHVWXG\GUXJVWRDQ\VXEMHFWPD\QRWEHPRGLILHG,I
QHFHVVDU\DVXEMHFWPXVWEHGLVFRQWLQXHGIRUWKHUHDVRQVGHVFULEHGLQ6HFWLRQ
 0HWKRGRI7UHDWPHQW$VVLJQPHQW
(DFKVXEMHFWZLOOEHDVVLJQHGDXQLTXHLGHQWLILFDWLRQQXPEHUXSRQVFUHHQLQJ6XEMHFWVZKR
FRPSOHWHWKHVWXG\VFUHHQLQJDVVHVVPHQWVDQGPHHWDOOWKHHOLJLELOLW\FULWHULDZLOOEHDVVLJQHGD
XQLTXHLGHQWLILFDWLRQQXPEHUDWWKHWLPHRIWKHGRVLQJGLIIHUHQWIURPWKHVFUHHQLQJQXPEHU
DQGZLOOUHFHLYHWKHFRUUHVSRQGLQJSURGXFW
6XEMHFWVZLOOUHFHLYH/2;2RQRQHRFFDVLRQ
6XEMHFWVPD\EHUHSODFHGDWWKHGLVFUHWLRQRIWKH6SRQVRU
6XEMHFWQXPEHULQJZLOOFRQVLVWRIFKDUDFWHUVLH;;;;;;ZKHUHWKHILUVWGLJLWVDUHWKH
VLWHQXPEHUDQGWKHODVWGLJLWVDUHWKHVXEMHFWQXPEHU6XEMHFWQXPEHUVZLOOEHLGHQWLILHGE\
FRKRUWHJVXEMHFWQXPEHULQJZLOOEHDVIROORZVIRUVLWH
&RKRUW0DWFKHGFRQWUROKHDOWK\VXEMHFWV

&RKRUW6XEMHFWVZLWKPLOG5,

&RKRUW6XEMHFWVZLWKPRGHUDWH5,

&RKRUW6XEMHFWVZLWKVHYHUH5,

,IUHSODFHPHQWVXEMHFWVDUHXVHGWKHODVWWKUHHGLJLWVRIWKHUHSODFHPHQWVXEMHFWQXPEHUZLOOEH
PRUHWKDQWKHRULJLQDOHJLIDKHDOWK\VXEMHFWLVHQUROOHGLQ6LWHDQGLVUHSODFHGLQ
6LWHWKHQ6XEMHFW1R
ZLOOUHSODFH6XEMHFW1R
LIDVXEMHFWZLWKPLOG5,
LVHQUROOHGDW6LWHDQGUHSODFHGDW6LWHWKHQ6XEMHFW1R
ZLOOUHSODFH6XEMHFW
1R

/2;25(7&$3URWRFRODQG3URWRFRO$PHQGPHQWV

&&,
&&,
&&,
&&,
&&,
&&,
&&,
&&,

&21),'(17,$/
&$/2;25(7)LQDO3URWRFRO$PHQGPHQW'HF
3DJH
 %OLQGLQJ
7KLVLVDQRSHQODEHOVWXG\
 7UHDWPHQW&RPSOLDQFH
$TXDOLILHGGHVLJQHHZLOOEHUHVSRQVLEOHIRUPRQLWRULQJWKHDGPLQLVWUDWLRQRIWKHWLPHGRUDO
GRVHVRI/2;2$PRXWKFKHFNZLOOEHSHUIRUPHGE\WKHTXDOLILHGGHVLJQHHWRHQVXUHWKDW
WKHVXEMHFWVKDYHVZDOORZHGWKHVWXG\GUXJ2QFHDVXEMHFWKDVILQLVKHGWKHGRVLQJZDWHUWKH
TXDOLILHGGHVLJQHHZLOOXVHDIODVKOLJKWDQGDWRQJXHGHSUHVVRUWRFKHFNWKHVXEMHFW¶VPRXWK
6XEMHFWV¶KDQGVZLOODOVREHYHULILHGWRHQVXUHWKDWWKHVWXG\GUXJZDVLQJHVWHG
/2;25(7&$3URWRFRODQG3URWRFRO$PHQGPHQWV


&21),'(17,$/
&$/2;25(7)LQDO3URWRFRO$PHQGPHQW'HF

3DJH
 678'<$66(660(176$1'352&('85(6
7KH6WXG\(YHQWV)ORZ&KDUW6HFWLRQVXPPDUL]HVWKHFOLQLFDOSURFHGXUHVWREHSHUIRUPHG
DWHDFKYLVLW,QGLYLGXDOFOLQLFDOSURFHGXUHVDUHGHVFULEHGLQGHWDLOEHORZ$GGLWLRQDO
HYDOXDWLRQVWHVWLQJPD\EHGHHPHGQHFHVVDU\E\WKH3,RUGHVLJQHHDQGRUWKH6SRQVRUIRU
UHDVRQVUHODWHGWRVXEMHFWVDIHW\
)RUWKLVVWXG\WKHEORRGFROOHFWLRQIRU/2;2LVWKHFULWLFDOSDUDPHWHUDQGQHHGVWREH
FROOHFWHGDVFORVHWRWKHH[DFWWLPHSRLQWDVSRVVLEOH$OORWKHUSURFHGXUHVVKRXOGEHFRPSOHWHG
DVFORVHWRWKHSUHVFULEHGVFKHGXOHGWLPHDVSRVVLEOHEXWFDQEHSHUIRUPHGSULRURUDIWHUWKH
SUHVFULEHGVFKHGXOHGWLPH
$Q\QRQVFKHGXOHGSURFHGXUHVUHTXLUHGIRUXUJHQWHYDOXDWLRQRIVDIHW\FRQFHUQVWDNH
SUHFHGHQFHRYHUDOOURXWLQHVFKHGXOHGSURFHGXUHV
 6FUHHQLQJ
:LWKLQGD\VSULRUWRWKHILUVWGRVLQJPHGLFDOKLVWRU\DQGGHPRJUDSKLFGDWDLQFOXGLQJ
QDPHVH[DJHUDFHHWKQLFLW\ERG\ZHLJKWNJKHLJKWFP%0,NJPDQGKLVWRU\RI
WREDFFRXVHZLOOEHUHSRUWHG(DFKVXEMHFWZLOOKDYHDSK\VLFDOH[DPLQDWLRQYLWDOVLJQ
PHDVXUHPHQWVKHDUWUDWHEORRGSUHVVXUHWHPSHUDWXUHDQGUHVSLUDWRU\UDWHOHDG(&*DQG
WKHODERUDWRU\WHVWVRIVHUXPFKHPLVWU\VHURORJ\WK\URLGVWLPXODWLQJKRUPRQHSUHJQDQF\
IHPDOHV)6+SRVWPHQRSDXVDOIHPDOHVKHPDWRORJ\FRDJXODWLRQDP\ODVHOLSDVHKHSDWLF
DQGUHQDOIXQFWLRQDQGDGGLWLRQDOWHVWVDVQRWHGLQ6HFWLRQ
 6DIHW\$VVHVVPHQWV
 3K\VLFDO([DPLQDWLRQ
)XOOSK\VLFDOH[DPLQDWLRQVDQGDEEUHYLDWHGSK\VLFDOH[DPLQDWLRQVZLOOEHSHUIRUPHGDV
RXWOLQHGLQWKH6WXG\(YHQWV)ORZ&KDUW6HFWLRQ$QDEEUHYLDWHGSK\VLFDOH[DPLQDWLRQ
LQFOXGHVDWWKHPLQLPXPH[DPLQDWLRQRIUHVSLUDWRU\FDUGLRYDVFXODUDQG*,V\VWHPVZLWKWKH
RSWLRQIRUIXUWKHUH[DPLQDWLRQRIDGGLWLRQDOV\VWHPVDVQHFHVVDU\EDVHGRQUHSRUWHG
V\PSWRPV$(V6\PSWRPGULYHQSK\VLFDOH[DPLQDWLRQVPD\EHSHUIRUPHGDWRWKHUWLPHVLI
GHHPHGQHFHVVDU\E\WKH3,RUGHVLJQHH
 9LWDO6LJQV
6LQJOHPHDVXUHPHQWVRIERG\WHPSHUDWXUHUHVSLUDWRU\UDWHEORRGSUHVVXUHDQGKHDUWUDWHZLOO
EHPHDVXUHGDVRXWOLQHGLQWKH6WXG\(YHQWV)ORZ&KDUW6HFWLRQ$GGLWLRQDOYLWDOVLJQVPD\
EHWDNHQDWDQ\RWKHUWLPHVLIGHHPHGQHFHVVDU\
9LWDOVLJQPHDVXUHPHQWVVKRXOGEHFDUULHGRXWSULRUWRDQGDVFORVHDVSRVVLEOHWRKDYLQJEORRG
GUDZQ%ORRGSUHVVXUHDQGKHDUWUDWHZLOOEHPHDVXUHGXVLQJWKHVDPHDUPIRUHDFKUHDGLQJ
%ORRGSUHVVXUHKHDUWUDWHDQGUHVSLUDWRU\UDWHPHDVXUHPHQWVZLOOEHSHUIRUPHGZLWKVXEMHFWV
LQDVXSLQHSRVLWLRQDWOHDVWPLQXWHVH[FHSWZKHQWKH\DUHVXSLQHRUVHPLUHFOLQHGEHFDXVH
RIVWXG\SURFHGXUHVDQGRU$(VHJQDXVHDGL]]LQHVVRULIGHHPHGQHFHVVDU\E\WKH3,RU
GHVLJQHH
/2;25(7&$3URWRFRODQG3URWRFRO$PHQGPHQWV


&21),'(17,$/
&$/2;25(7)LQDO3URWRFRO$PHQGPHQW'HF
3DJH
%ORRGSUHVVXUHKHDUWUDWHDQGUHVSLUDWRU\UDWHZLOOEHPHDVXUHGDW6FUHHQLQJRQ'D\DQG
SUHGRVHKRXUVPLQXWHVDQGKRXUVPLQXWHVSRVWGRVHRQ'D\DQGRQFHGDLO\
RQHDFK6WXG\'D\WKURXJK(27RU(7&58GLVFKDUJH
 (&*0RQLWRULQJ
6LQJOHOHDG(&*VZLOOEHSHUIRUPHGDVRXWOLQHGLQWKH6WXG\(YHQWV)ORZ&KDUW6HFWLRQ
$GGLWLRQDO(&*VPD\EHWDNHQDWDQ\RWKHUWLPHVLIGHHPHGQHFHVVDU\E\WKH3,RUGHVLJQHH
(&*VZLOOEHSHUIRUPHGZLWKVXEMHFWVLQDVXSLQHSRVLWLRQDWOHDVWPLQXWHV$OO(&*
WUDFLQJVZLOOEHUHYLHZHGE\WKH3,RUGHVLJQHH
(&*VZLOOEHPHDVXUHGDW6FUHHQLQJRQ'D\DQGDWWKH(27RU(7&58GLVFKDUJH
(&*VZLOOEHREWDLQHGSULRUWRDQGDVFORVHDVSRVVLEOHWRWKHVFKHGXOHGEORRGGUDZVLI
VFKHGXOHGDWWKHVDPHWLPH
 %RG\:HLJKW
%RG\ZHLJKWNJZLOOEHUHSRUWHGDVRXWOLQHGLQWKH6WXG\(YHQWV)ORZ&KDUW6HFWLRQ
 &OLQLFDO/DERUDWRU\7HVWV
$OOWHVWVOLVWHGEHORZZLOOEHSHUIRUPHGDVRXWOLQHGLQWKH6WXG\(YHQWV)ORZ&KDUW6HFWLRQ
,QDGGLWLRQODERUDWRU\VDIHW\WHVWVPD\EHSHUIRUPHGDWYDULRXVXQVFKHGXOHGWLPHSRLQWVLI
GHHPHGQHFHVVDU\E\WKH3,RUGHVLJQHH
+HPDWRORJ\
6HUXP&KHPLVWU\
x
+HPRJORELQ
x
+HPDWRFULW
x
5HGEORRGFHOOFRXQW
x
3ODWHOHWFRXQW
x
5%&GLVWULEXWLRQZLGWK
x
0HDQFRUSXVFXODUKHPRJORELQ
FRQFHQWUDWLRQ
x
0HDQFRUSXVFXODUYROXPH
x
:KLWHEORRGFHOO
:%&OHXNRF\WHFRXQW
x
:%&OHXNRF\WHGLIIHUHQWLDO
DEVROXWHDQGSHUFHQW
x
%DVRSKLOV
x
(RVLQRSKLOV
x
/\PSKRF\WHV
x
0RQRF\WHV
x
1HXWURSKLOV
&RDJXODWLRQ
x
3URWKURPELQ 7LPH,QWHUQDWLRQDO
QRUPDOL]HGUDWLR
x
$FWLYDWHGSDUWLDOWKURPERSODVWLQ
WLPH
x
%ORRG8UHD1LWURJHQ
x
%LOLUXELQWRWDODQGGLUHFW
x
$/3
x
$67
x
$/7
x
$OEXPLQ
x
&DOFLXP
x
,URQ
x
7RWDO3URWHLQ
x
8ULF$FLG
x
6RGLXP
x
3RWDVVLXP
x
0DJQHVLXP
x
&KORULGH
x
*OXFRVHIDVWLQJ
x
&UHDWLQHNLQDVH
x
&UHDWLQLQH
x
&KROHVWHURO
x
7ULJO\FHULGHV
x
3KRVSKRUXV
x
&UHDWLQHNLQDVH
x
$P\ODVH
x
/LSDVH
/2;25(7&$3URWRFRODQG3URWRFRO$PHQGPHQWV


&21),'(17,$/
&$/2;25(7)LQDO3URWRFRO$PHQGPHQW'HF

3DJH
8ULQDO\VLV

$GGLWLRQDO7HVWV
x
S+
x
6SHFLILFJUDYLW\
x
3URWHLQ
x
*OXFRVH
x
.HWRQHV
x
%LOLUXELQ
x
%ORRG
x
1LWULWH
x
8URELOLQRJHQ
x
/HXNRF\WHHVWHUDVH

x
+,9WHVW
x
+%V$J
x
+&9
x
+E$F
x
8ULQHGUXJVFUHHQ
¾
2SLDWHV
¾
2SLRLGV
PHWKDGRQH
R[\FRGRQH
DQG
IHQWDQ\O
¾
$PSKHWDPLQHV
¾
%DUELWXUDWHV
¾
%HQ]RGLD]HSLQHV
¾
&RFDLQH
¾
&DQQDELQRLGV
¾
3KHQF\FOLGLQH
x
8ULQHFRWLQLQHKHDOWK\VXEMHFWVRQO\
x
8ULQHDOFRKROVFUHHQ
x
6HUXPSUHJQDQF\WHVW
IRUIHPDOHVRQO\
x
)6+IRUSRVWPHQRSDXVDOIHPDOHVRQO\
x
7K\URLGVWLPXODWLQJKRUPRQH


6DPSOHVIRUVHUXPFKHPLVWU\ZLOOEHREWDLQHGIROORZLQJDIDVWRIDWOHDVWKRXUVDWVFUHHQLQJDQGDW
&KHFNLQDWRWKHUVFKHGXOHGWLPHVVHUXPFKHPLVWU\WHVWVZLOOEHSHUIRUPHGDIWHUDWOHDVWDQKRXU
IDVW+RZHYHULQFDVHRIGURSRXWVRUUHFKHFNVVXEMHFWVPD\QRWKDYHIDVWHGIRURUKRXUVSULRU
WRWKHWLPHWKDWWKHVHUXPFKHPLVWU\VDPSOHLVWDNHQ

%DVHOLQHH*)5ZLOOEHREWDLQHGE\WDNLQJWKHPHDQRIWKHH*)5REWDLQHGIURPVFUHHQLQJDQGIURP
KLVWRULFDOYDOXHVZLWKLQDPRQWKSHULRGIURPVFUHHQLQJ,IQRKLVWRULFDOPHDVXUHPHQWLVDYDLODEOHD
VHFRQGEDVHOLQHH*)5VDPSOH ZLOOEHWDNHQGXULQJWKHVFUHHQLQJSHULRGKRXUVDSDUWDQGWKH
PHDQRIWKHWZRYDOXHVZLOOEHXVHGIRUFRKRUWDVVLJQPHQWWKHVHFRQGEDVHOLQHH*)5VDPSOHPD\
EHREWDLQHGDWWKHWLPHRI&KHFNLQ)RUKHDOWK\VXEMHFWVDVLQJOHDVVHVVPHQWRIDFWXDOFUHDWLQLQH
FOHDUDQFHFRPSXWHGRYHUDKRXUXULQHFROOHFWLRQPD\EHXVHGLQSODFHRIWKH0'5'HTXDWLRQDW
WKH3,¶VGLVFUHWLRQ

)RUVXEMHFWVZKRDUHDQXULFXULQHVDPSOHVIRUXULQDO\VLVZLOOQRWEHFROOHFWHG

 ,I XULQDO\VLV LV SRVLWLYH IRU SURWHLQ EORRG QLWULWH DQGRU OHXNRF\WH HVWHUDVH D PLFURVFRSLF
H[DPLQDWLRQ IRU UHG EORRG FHOOV ZKLWH EORRG FHOOV EDFWHULD FDVWV DQG HSLWKHOLDO FHOOV ZLOO EH
SHUIRUPHG
3HUIRUPHGDWVFUHHQLQJRQO\
 $GYHUVH(YHQWV

$GYHUVH(YHQW'HILQLWLRQ
$Q$(PHDQVDQ\XQWRZDUGPHGLFDORFFXUUHQFHDVVRFLDWHGZLWKWKHXVHRIDGUXJLQKXPDQV
ZKHWKHURUQRWFRQVLGHUHGGUXJUHODWHG
$VXVSHFWHGDGYHUVHUHDFWLRQPHDQVDQ\$(IRUZKLFKWKHUHLVDUHDVRQDEOHSRVVLELOLW\WKDWWKH
GUXJFDXVHGWKH$(5HDVRQDEOHSRVVLELOLW\PHDQVWKHUHLVHYLGHQFHWRVXJJHVWDFDXVDO
UHODWLRQVKLSEHWZHHQWKHGUXJDQGWKH$(
$Q$(FDQWKHUHIRUHEHDQ\XQIDYRUDEOHDQGXQLQWHQGHGVLJQLQFOXGLQJDQDEQRUPDO
ODERUDWRU\ILQGLQJV\PSWRPRUGLVHDVHWHPSRUDOO\DVVRFLDWHGZLWKWKHXVHRIDPHGLFLQDO
LQYHVWLJDWLRQDOSURGXFWZKHWKHURUQRWUHODWHGWRWKHPHGLFLQDOLQYHVWLJDWLRQDOSURGXFW
/2;25(7&$3URWRFRODQG3URWRFRO$PHQGPHQWV


&21),'(17,$/
&$/2;25(7)LQDO3URWRFRO$PHQGPHQW'HF

3DJH

0RQLWRULQJ
6XEMHFWVZLOOEHPRQLWRUHGIURPVFUHHQLQJVLJQLQJRILQIRUPHGFRQVHQWXQWLO(26RU(7IRU
DGYHUVHUHDFWLRQVWRWKHVWXG\GUXJVDQGRUVWXG\SURFHGXUHV$WWKH(27RU(7YLVLWVXEMHFWV
ZLOOEHDVNHGKRZWKH\DUHIHHOLQJSULRUWRFKHFNRXWIURPWKH&58'XULQJWKHIROORZXS
SKRQHFDOOVXEMHFWVZLOOEHTXHULHGZLWKDQRSHQHQGHGTXHVWLRQVXFKDVµ+RZKDYH\RXEHHQ
IHHOLQJVLQFH\RXUODVWYLVLW"¶$(VZKHWKHUVHULRXVRUQRQVHULRXVLQFOXGLQJDEQRUPDO
ODERUDWRU\WHVWYDOXHVDEQRUPDOYLWDOVLJQVDQG(&*DEQRUPDOLWLHVGHHPHGFOLQLFDOO\
VLJQLILFDQWDQGDVVHVVHGDVUHODWHGWRVWXG\GUXJE\WKH3,RUGHVLJQHHZLOOEHHYDOXDWHGE\WKH
3,RUGHVLJQHHDQGWUHDWHGDQGRUIROORZHGWKURXJK(26RU(7$(VZKLFKDUHRQJRLQJDW
WKH(26ZKLFKDUHDVVHVVHGDVUHODWHGWRVWXG\GUXJPD\EHFRQWLQXHGWREHIROORZHGXQWLOWKH
V\PSWRPVRUYDOXHVUHWXUQWRQRUPDORUDFFHSWDEOHOHYHOVDVMXGJHGE\WKH3,RUGHVLJQHH
DQGFRQILUPHGE\WKH6SRQVRU
7UHDWPHQWRIVHULRXVDGYHUVHHYHQWV6$(VZLOOEHSHUIRUPHGE\DSK\VLFLDQHLWKHUDWWKH
&58RUDWDQHDUE\KRVSLWDOHPHUJHQF\URRP:KHUHDSSURSULDWHPHGLFDOWHVWVDQGRU
H[DPLQDWLRQVZLOOEHSHUIRUPHGWRGRFXPHQWUHVROXWLRQRIHYHQWV2XWFRPHPD\EH
FODVVLILHGDVGHDWKUHODWHGWR$(QRWUHFRYHUHGRUQRWUHVROYHGUHFRYHUHGRUUHVROYHG
UHFRYHUHGRUUHVROYHGZLWKVHTXDODHUHFRYHULQJRUUHVROYLQJRUXQNQRZQ

5HSRUWLQJ
$OO$(VZLOOEHUHFRUGHGWKURXJKRXWWKHVWXG\LHIURPVLJQLQJRIWKH,&)XQWLO(26RU(7
HLWKHUDVVXEMHFWPHGLFDOKLVWRU\LIWKHHYHQWLVUHSRUWHGDVRFFXUULQJSULRUWRVLJQLQJRIWKH
,&)RULIWKHHYHQWRFFXUVSULRUWRVWXG\GUXJDGPLQLVWUDWLRQRQ'D\DQGLVDVVHVVHGDVQRW
UHODWHGWRVWXG\SURFHGXUHVRUDV$(VLIWKHHYHQWRFFXUVDIWHUVLJQLQJRIWKH,&)EXWSULRUWR
VWXG\GUXJDGPLQLVWUDWLRQRQ'D\DQGLVDVVHVVHGDVUHODWHGWRVWXG\SURFHGXUHVRULIWKH
HYHQWRFFXUVDIWHUVWXG\GUXJDGPLQLVWUDWLRQRQ'D\UHJDUGOHVVRIUHODWLRQVKLSWRVWXG\GUXJ
$OO6$(VWKDWGHYHORSIURPWKHWLPHRI,&)VLJQLQJXQWLO(26RU(7LIVXEMHFWGLVFRQWLQXHV
IURPWKHVWXG\DUHWREHUHSRUWHG)URP(27WKURXJK(26RU(7DOO6$(VPXVWEHUHSRUWHG
DQGRQO\$(VDVVHVVHGDVUHODWHGWRVWXG\GUXJDUHWREHUHSRUWHG
8QOHVVDVXEMHFWZLWKGUDZVFRQVHQWRULVZLWKGUDZQIURPWKHVWXG\DOOVXEMHFWVPXVWEH
IROORZHGXQWLOWKH(26$(VZKLFKDUHRQJRLQJDWWKH(26ZKLFKDUHDVVHVVHGDVUHODWHGWR
VWXG\GUXJPD\EHFRQWLQXHGWREHIROORZHGXQWLOWKHV\PSWRPVRUYDOXHVUHWXUQWRQRUPDORU
DFFHSWDEOHOHYHOVDVMXGJHGE\WKH3,RUGHVLJQHHDQGFRQILUPHGE\WKH6SRQVRU7KH3,RU
GHVLJQHHVKRXOGXVHDSSURSULDWHMXGJPHQWLQRUGHULQJDGGLWLRQDOWHVWVDVQHFHVVDU\WRPRQLWRU
WKHUHVROXWLRQRIHYHQWV7KH6SRQVRUPD\UHTXHVWWKDWDGGLWLRQDOVDIHW\WHVWVEHSHUIRUPHG
7KH3,RUGHVLJQHHZLOOUHYLHZHDFK$(DQGDVVHVVLWVUHODWLRQVKLSWRGUXJWUHDWPHQW\HV
>UHODWHG@RUQR>XQUHODWHG@(DFKVLJQRUV\PSWRPUHSRUWHGZLOOEHJUDGHGRQWKH1DWLRQDO
&DQFHU,QVWLWXWH1&,&RPPRQ7HUPLQRORJ\&ULWHULDIRU$GYHUVH(YHQWV&7&$(YHUVLRQ
WR[LFLW\JUDGLQJVFDOH
*UDGHUHIHUVWRWKHVHYHULW\RIWKH$(7KH&7&$(GLVSOD\V*UDGHVWKURXJKZLWKXQLTXH
FOLQLFDOGHVFULSWLRQVRIVHYHULW\IRUHDFK$(EDVHGRQWKHIROORZLQJJHQHUDOJXLGHOLQH1&,
&7&$(1RY
/2;25(7&$3URWRFRODQG3URWRFRO$PHQGPHQWV


&21),'(17,$/
&$/2;25(7)LQDO3URWRFRO$PHQGPHQW'HF

3DJH
*UDGH
0LOGDV\PSWRPDWLFRUPLOGV\PSWRPVFOLQLFDORUGLDJQRVWLFREVHUYDWLRQV
RQO\LQWHUYHQWLRQQRWLQGLFDWHG
*UDGH
0RGHUDWHPLQLPDOORFDORUQRQLQYDVLYHLQWHUYHQWLRQLQGLFDWHGOLPLWLQJ
DJHDSSURSULDWHLQVWUXPHQWDO$'/
*UDGH
6HYHUHRUPHGLFDOO\VLJQLILFDQWEXWQRWLPPHGLDWHO\OLIHWKUHDWHQLQJ
KRVSLWDOL]DWLRQRUSURORQJDWLRQRIKRVSLWDOL]DWLRQLQGLFDWHGGLVDEOLQJ
OLPLWLQJVHOIFDUH$'/
*UDGH
/LIHWKUHDWHQLQJFRQVHTXHQFHVXUJHQWLQWHUYHQWLRQLQGLFDWHG
*UDGH
'HDWKUHODWHGWR$(
$6HPLFRORQLQGLFDWHVµRU¶ZLWKLQWKHGHVFULSWLRQRIWKHJUDGH
1RWH1RWDOOJUDGHVDUHDSSURSULDWHIRUDOO$(V7KHUHIRUHVRPH$(VDUHOLVWHGZLWKLQWKH&7&$(ZLWKIHZHUWKDQRSWLRQV
IRUJUDGHVHOHFWLRQ*UDGHGHDWKLVQRWDSSURSULDWHIRUVRPH$(VDQGWKHUHIRUHLVQRWDQRSWLRQ
$'/ $FWLYLWLHVRI'DLO\/LYLQJ
,QVWUXPHQWDO$'/UHIHUWRSUHSDULQJPHDOVVKRSSLQJIRUJURFHULHVRUFORWKHVXVLQJWKHWHOHSKRQHPDQDJLQJPRQH\HWF
 6HOI FDUH $'/ UHIHU WR EDWKLQJ GUHVVLQJ DQG XQGUHVVLQJ IHHGLQJ VHOI XVLQJ WKH WRLOHW WDNLQJ PHGLFDWLRQV DQG QRW
EHGULGGHQ

6HULRXV$GYHUVH(YHQW
,IDQ\$(VDUHVHULRXVDVGHILQHGE\WKH)'$&RGHRI)HGHUDO5HJXODWLRQV&)57LWOH
VSHFLDOSURFHGXUHVZLOOEHIROORZHG$OO6$(VZLOOEHUHSRUWHGWRWKH6SRQVRURUGHVLJQHHYLD
ID[RUHPDLOZLWKLQKRXUVRIILUVWDZDUHQHVVRIWKHHYHQWZKHWKHURUQRWWKHVHULRXV
HYHQWVDUHGHHPHGGUXJUHODWHG$OOVHULRXVHYHQWUHSRUWLQJZLOODGKHUHWR&)5IRU
,QYHVWLJDWLRQDO1HZ'UXJV,1'DQGWRWKH*XLGDQFHIRU,QGXVWU\DQG,QYHVWLJDWRUV6DIHW\
5HSRUWLQJ5HTXLUHPHQWVIRU,1'VDQG%$%(GDWHG'HFHPEHU$Q\HYHQWWKDWPHHWVWKH
FULWHULDRIDVXVSHFWHGXQH[SHFWHGVHULRXVDGYHUVHUHDFWLRQ686$5ZLOOEHUHSRUWHGWRWKH
,5%,(&DFFRUGLQJWRVLWH&58SROLF\E\WKH,QYHVWLJDWRURUGHVLJQHHDQGWRUHJXODWRU\
DXWKRULWLHVE\WKH6SRQVRURU6SRQVRUGHVLJQHHDFFRUGLQJWRUHJXODWRU\DXWKRULW\
UHTXLUHPHQWV5HIHUWR5HIHUHQFH6DIHW\,QIRUPDWLRQ56,LQWKHFXUUHQW,%IRUH[SHFWHG
DGYHUVHUHDFWLRQV

$6$(LVDQ\$(RUVXVSHFWHGDGYHUVHUHDFWLRQWKDWLQWKHYLHZRIHLWKHUWKH3,RUGHVLJQHH
RU6SRQVRUUHVXOWVLQDQ\RIWKHIROORZLQJRXWFRPHV'HDWKDOLIHWKUHDWHQLQJ$(LQSDWLHQW
KRVSLWDOL]DWLRQRUSURORQJDWLRQRIH[LVWLQJKRVSLWDOL]DWLRQDSHUVLVWHQWRUVLJQLILFDQWLQFDSDFLW\
RUGLVDELOLW\RUDFRQJHQLWDODQRPDO\ELUWKGHIHFW,PSRUWDQWPHGLFDOHYHQWVWKDWPD\QRWUHVXOW
LQGHDWKEHOLIHWKUHDWHQLQJRUUHTXLUHKRVSLWDOL]DWLRQPD\EHFRQVLGHUHGVHULRXVZKHQEDVHG
XSRQDSSURSULDWHPHGLFDOMXGJPHQWWKH\PD\MHRSDUGL]HWKHSDWLHQWRUVXEMHFWDQGPD\UHTXLUH
PHGLFDORUVXUJLFDOLQWHUYHQWLRQWRSUHYHQWRQHRIWKHRXWFRPHVOLVWHGLQWKHDERYHGHILQLWLRQ
([DPSOHVRIVXFKPHGLFDOHYHQWVLQFOXGHDOOHUJLFEURQFKRVSDVPUHTXLULQJLQWHQVLYHWUHDWPHQW
LQDQHPHUJHQF\URRPRUDWKRPHEORRGG\VFUDVLDVRUFRQYXOVLRQVWKDWGRQRWUHVXOWLQ
LQSDWLHQWKRVSLWDOL]DWLRQRUWKHGHYHORSPHQWRIGUXJGHSHQGHQF\RUGUXJDEXVH
/2;25(7&$3URWRFRODQG3URWRFRO$PHQGPHQWV


&21),'(17,$/
&$/2;25(7)LQDO3URWRFRO$PHQGPHQW'HF

3DJH
/LIHWKUHDWHQLQJLVGHILQHGDVDQ$(RUVXVSHFWHGDGYHUVHUHDFWLRQWKDWLQWKHYLHZRIWKH3,RU
GHVLJQHHRU6SRQVRUSODFHVWKHSDWLHQWRUVXEMHFWDWLPPHGLDWHULVNRIGHDWK,WGRHVQRW
LQFOXGHDQ$(RUVXVSHFWHGDGYHUVHUHDFWLRQWKDWKDGLWRFFXUUHGLQDPRUHVHYHUHIRUPPLJKW
KDYHFDXVHGGHDWK
$OO6$(VPXVWEHUHSRUWHGRQD6$(5HSRUW)RUPSURYLGHGE\/R[R2QFRORJ\DQGVHQWE\ID[
RUHPDLOWRWKH6SRQVRUOLVWHGLQ6HFWLRQZLWKLQKRXUVRIILUVWDZDUHQHVVRIWKHHYHQW
:KHQXVLQJWKH6$(HID[DFRYHUSDJHLQFOXGLQJVWXG\LGHQWLILFDWLRQ
QXPEHUDQGVWXG\GUXJSURGXFWLH/2;2LVUHTXLUHG$OWHUQDWLYHO\DQHPDLOFDQEH
VHQWWRVDIHW\#OR[RRQFRORJ\FRP
7KH3,LVQRWREOLJDWHGWRDFWLYHO\VHHNLQIRUPDWLRQUHJDUGLQJWKHRFFXUUHQFHRIQHZ6$(V
EHJLQQLQJDIWHU(26+RZHYHULIWKH3,OHDUQVRIVXFKDQ6$(DQGWKDWHYHQWLVGHHPHG
DVVRFLDWHGZLWKWKHXVHRIVWXG\GUXJKHVKHVKRXOGSURPSWO\GRFXPHQWDQGUHSRUWWKHHYHQW
7KH3,ZLOOEHUHTXHVWHGWRVXSSO\GHWDLOHGLQIRUPDWLRQDVZHOODVIROORZXSUHJDUGLQJWKH
6$($OWKRXJKQRWFRQVLGHUHGDQ$(SHUVHWKH6SRQVRUPXVWEHQRWLILHGRIDQ\VXEMHFWRU
VXEMHFW¶VSDUWQHUZKREHFRPHVSUHJQDQWGXULQJWKHVWXG\DWDQ\WLPHEHWZHHQWKHVWDUWRI
VFUHHQLQJXQWLOGD\VDIWHUWKHODVWDGPLQLVWUDWLRQRIVWXG\GUXJ
 3KDUPDFRNLQHWLF$VVHVVPHQWV
 %ORRG6DPSOLQJDQG3URFHVVLQJ
)RUDOOVXEMHFWVEORRGVDPSOHVIRUWKHGHWHUPLQDWLRQRI/2;2ZLOOEHFROOHFWHGDW
VFKHGXOHGWLPHSRLQWVDVGHOLQHDWHGLQWKH6WXG\(YHQWV)ORZ&KDUW6HFWLRQ
,QVWUXFWLRQIRUEORRGVDPSOLQJFROOHFWLRQSURFHVVLQJDQGVDPSOHVKLSPHQWZLOOEHSURYLGHG
VHSDUDWHO\
%ORRGFROOHFWLRQVRXWVLGHWKHIROORZLQJZLQGRZVZLOOEHFRQVLGHUHGGHYLDWLRQV
+RXU
'HYLDWLRQZLQGRZ

/2;25(7&$3URWRFRODQG3URWRFRO$PHQGPHQWV

&&,

&21),'(17,$/
&$/2;25(7)LQDO3URWRFRO$PHQGPHQW'HF

3DJH
 3KDUPDFRNLQHWLF3DUDPHWHUV
3.SDUDPHWHUVIRUSODVPD/2;2ZLOOEHFDOFXODWHGDVIROORZVDVDSSURSULDWH

$8&W

7KHDUHDXQGHUWKHFRQFHQWUDWLRQWLPHFXUYHIURPWLPHWRWKHODVW
REVHUYHGQRQ]HURFRQFHQWUDWLRQDVFDOFXODWHGE\WKHOLQHDUWUDSH]RLGDO
PHWKRG
$8&

7KHDUHDXQGHUWKHFRQFHQWUDWLRQWLPHFXUYHIURPWLPHWR+RXUDV
FDOFXODWHGE\WKHOLQHDUWUDSH]RLGDOPHWKRG,IWKHKRXUSODVPD
FRQFHQWUDWLRQLVPLVVLQJ%/4RUQRWUHSRUWDEOHWKHQWKLVSDUDPHWHU
FDQQRWEHFDOFXODWHG
$8&LQI
7KHDUHDXQGHUWKHFRQFHQWUDWLRQWLPHFXUYHIURPWLPHH[WUDSRODWHGWR
LQILQLW\$8&LQILVFDOFXODWHGDVWKHVXPRI$8&WSOXVWKHUDWLRRI
WKHODVWPHDVXUDEOHSODVPDFRQFHQWUDWLRQWRWKHHOLPLQDWLRQUDWH
FRQVWDQW
$8&H[WUDS
3HUFHQWRI$8&LQIH[WUDSRODWHGUHSUHVHQWHGDV
$8&W$8&LQI
&/)
$SSDUHQWWRWDOSODVPDFOHDUDQFHDIWHURUDOH[WUDYDVFXODU
DGPLQLVWUDWLRQFDOFXODWHGDV'RVH$8&LQI
&PD[
0D[LPXPREVHUYHGFRQFHQWUDWLRQ
7PD[
7LPHWRUHDFK&PD[,IWKHPD[LPXPYDOXHRFFXUVDWPRUHWKDQRQH
WLPHSRLQW7PD[LVGHILQHGDVWKHILUVWWLPHSRLQWZLWKWKLVYDOXH
.HO
$SSDUHQWILUVWRUGHUWHUPLQDOHOLPLQDWLRQUDWHFRQVWDQWFDOFXODWHGIURPD
VHPLORJSORWRIWKHSODVPDFRQFHQWUDWLRQYHUVXVWLPHFXUYH7KH
SDUDPHWHUZLOOEHFDOFXODWHGE\OLQHDUOHDVWVTXDUHVUHJUHVVLRQDQDO\VLV
XVLQJWKHPD[LPXPQXPEHURISRLQWVLQWKHWHUPLQDOORJOLQHDUSKDVH
HJWKUHHRUPRUHQRQ]HURSODVPDFRQFHQWUDWLRQV
Wò
$SSDUHQWILUVWRUGHUWHUPLQDOHOLPLQDWLRQKDOIOLIHZLOOEHFDOFXODWHGDV
.HO
9])
$SSDUHQWYROXPHRIGLVWULEXWLRQGXULQJWKHWHUPLQDOHOLPLQDWLRQSKDVH
DIWHURUDOH[WUDYDVFXODUDGPLQLVWUDWLRQFDOFXODWHGDV
'RVH$8&LQI[.HO
1RYDOXHIRU.HO$8&H[WUDS$8&LQI&/)9])RUWòZLOOEHUHSRUWHGIRUFDVHVWKDW
GRQRWH[KLELWDWHUPLQDOORJOLQHDUSKDVHLQWKHFRQFHQWUDWLRQWLPHSURILOH
1R3.SDUDPHWHUVZLOOEHFDOFXODWHGIRUVXEMHFWVZLWKRUIHZHUFRQVHFXWLYHWLPHSRLQWVZLWK
GHWHFWDEOHFRQFHQWUDWLRQV
,QGLYLGXDODQGPHDQSODVPDFRQFHQWUDWLRQWLPHFXUYHVERWKOLQHDUDQGORJOLQHDUZLOOEH
LQFOXGHGLQWKHILQDOUHSRUW
/2;25(7&$3URWRFRODQG3URWRFRO$PHQGPHQWV


&21),'(17,$/
&$/2;25(7)LQDO3URWRFRO$PHQGPHQW'HF

3DJH
 8ULQH&ROOHFWLRQ
3ULRUWRWKHSUHGRVHVDPSOHHDFKVXEMHFWZLOOEHLQVWUXFWHGDVWRXULQHFROOHFWLRQPHWKRGV
8ULQHVDPSOHVIRUGHWHUPLQDWLRQRI/2;2FRQFHQWUDWLRQVZLOOEHFROOHFWHGDWVHOHFWHG
LQWHUYDOVDVGHOLQHDWHGLQWKH6WXG\(YHQWV)ORZ&KDUW6HFWLRQ)RUUHQDOO\LPSDLUHG
VXEMHFWVXULQHVDPSOHVZLOOEHFROOHFWHGZKHQHYHUSRVVLEOHDVWKH\PD\QRWEHDEOHWRSURGXFH
XULQHDWHDFKLQWHUYDO
2Q'D\DVSRWFROOHFWLRQZLOOEHREWDLQHG
6XEMHFWV
ZLOOEHDVNHGDJDLQWRHPSW\WKHLUEODGGHUZLWKLQ

DQGQRXULQHZLOOEHFROOHFWHGDWWKLVWLPHXQOHVVLWLV
2QO\RQH


8ULQHSRUWLRQVZLOOEHSRROHGSHUVXEMHFWZLWKLQDQ\SODQQHGFROOHFWLRQLQWHUYDO
-XVWSULRUWRWKHHQGRIHDFKVDPSOLQJLQWHUYDOVXEMHFWVZLOOEHHQFRXUDJHGWRYRLGWKHLU
EODGGHUDJDLQWRFRPSOHWHWKHFROOHFWLRQ,IWKH\GRYRLGDWDQ\WLPHGXULQJWKHFROOHFWLRQ
LQWHUYDOWKHWLPHVKRXOGEHGRFXPHQWHG6KRXOGWKLVEHWKHFDVHVXEMHFWVQHHGWRDWWHPSWWR
YRLGDJDLQDWWKHHQGRIWKHFROOHFWLRQSHULRGDVVFKHGXOHG+RZHYHUVKRXOGVXEMHFWVEH
XQDEOHWRYRLGWKLVZLOOEHGRFXPHQWHGDVZHOO
8ULQHZLOOEHUHIULJHUDWHGGXULQJWKHFROOHFWLRQLQWHUYDOV7KHZHLJKWRIDQHPSW\XULQH
FROOHFWLRQFRQWDLQHUDQGWRWDOZHLJKWRIXULQHFROOHFWHGGXULQJHDFKWLPHGLQWHUYDOZLOOEH
UHFRUGHG
,QVWUXFWLRQVIRUXULQHFROOHFWLRQSURFHVVLQJDQGVDPSOHVKLSPHQWZLOOEHSURYLGHGVHSDUDWHO\
 8ULQH3KDUPDFRNLQHWLF3DUDPHWHUV
3.SDUDPHWHUVIRUXULQH/2;2ZLOOEHFDOFXODWHGDVIROORZVDVDSSURSULDWH
$H
7RWDODPRXQWRIGUXJH[FUHWHGLQWKHXULQHRYHUWKHHQWLUHSHULRGRIVDPSOH
FROOHFWLRQKRXUVREWDLQHGE\DGGLQJWKHDPRXQWVH[FUHWHGRYHUHDFK
FROOHFWLRQLQWHUYDO
)H
)UDFWLRQRIGUXJH[FUHWLRQGXULQJHDFKFROOHFWLRQLQWHUYDO2EWDLQHGE\GLYLGLQJ
WKHDPRXQWRIGUXJH[FUHWHGLQHDFKFROOHFWLRQLQWHUYDOE\WKHGRVH
&/U
5HQDOFOHDUDQFHFDOFXODWHGDV$HW¶W´$8&W¶W´ZKHUHW¶W´LVWKHORQJHVW
LQWHUYDORIWLPHGXULQJZKLFK$HDQG$8&DUHERWKREWDLQHG

 $QDO\WLFDO0HWKRG
6DPSOHVZLOOEHDQDO\]HGIRUSODVPDDQGXULQH/2;2XVLQJYDOLGDWHGELRDQDO\WLFDO
PHWKRGV6DPSOHVIURPVXEMHFWVWREHDVVD\HGDUHVSHFLILHGLQ6HFWLRQ
/2;25(7&$3URWRFRODQG3URWRFRO$PHQGPHQWV

&&,
&&,
&&,
&&,
&&,

&21),'(17,$/
&$/2;25(7)LQDO3URWRFRO$PHQGPHQW'HF

3DJH
 %ORRG9ROXPH'UDZQIRU6WXG\$VVHVVPHQWV
7DEOH %ORRG9ROXPHGXULQJWKH6WXG\
6DPSOH7\SH
1XPEHURI
7LPH3RLQWV
$SSUR[LPDWH
9ROXPHSHU7LPH
3RLQWP/
$SSUR[LPDWH
6DPSOH9ROXPH
2YHU&RXUVHRI
6WXG\P/
6FUHHQLQJODERUDWRU\VDIHW\WHVWVLQFOXGLQJ
KHPDWRORJ\VHUXPFKHPLVWU\FRDJXODWLRQ
VHURORJ\WK\URLGVWLPXODWLQJKRUPRQH)6+
IRUSRVWPHQRSDXVDOIHPDOHVXEMHFWVRQO\DQG
VHUXPSUHJQDQF\IRUIHPDOHVXEMHFWVRQO\
2QVWXG\KHPDWRORJ\VHUXPFKHPLVWU\DQG
FRDJXODWLRQ
%ORRGIRU/2;23.
%ORRGIRU/2;23URWHLQ%LQGLQJ
7RWDO%ORRG9ROXPHP/


5HSUHVHQWVWKHODUJHVWFROOHFWLRQWXEHWKDWPD\EHXVHGIRUWKLVDVPDOOHUWXEHPD\EHXVHG

,IDGGLWLRQDOVDIHW\RU3.DQDO\VLVLVQHFHVVDU\RULIODUJHUFROOHFWLRQWXEHVDUHUHTXLUHGWRREWDLQVXIILFLHQW
SODVPDVHUXPIRUDQDO\VLVDGGLWLRQDOEORRGPD\EHREWDLQHG

/2;25(7&$3URWRFRODQG3URWRFRO$PHQGPHQWV

&&,
&&,
&&,

&21),'(17,$/
&$/2;25(7)LQDO3URWRFRO$PHQGPHQW'HF

3DJH
 67$7,67,&$/&216,'(5$7,216
'DWDZLOOEHKDQGOHGDQGSURFHVVHGDFFRUGLQJWR&HOHULRQ6WDQGDUG2SHUDWLQJ3URFHGXUHV
ZKLFKDUHZULWWHQEDVHGRQWKHSULQFLSOHVRI*&3
 6DPSOH6L]H'HWHUPLQDWLRQ
7KHVDPSOHVL]HLVFRQVLGHUHGVXIILFLHQWWRSURYLGHFOLQLFDOO\PHDQLQJIXOGHVFULSWLYHUHVXOWV
LQFOXGLQJFRQILGHQFHLQWHUYDOVDERXWHVWLPDWHVRIJHRPHWULFPHDQUDWLRVRIWKH$8&DQG
&PD[ZLWK/2;2IRUVXEMHFWVZLWKYDU\LQJGHJUHHVRI5,LHPLOGPRGHUDWHDQG
VHYHUHFRPSDUHGWRKHDOWK\PDWFKHGFRQWUROVXEMHFWV
 3RSXODWLRQIRU$QDO\VHV
3.3RSXODWLRQ3ODVPDVDPSOHVIURPDOOVXEMHFWVZLOOEHDVVD\HGHYHQLIWKHVXEMHFWVGRQRW
FRPSOHWHWKHVWXG\3.SRSXODWLRQZLOOFRPSULVHDOOVXEMHFWVZKRFRPSO\VXIILFLHQWO\ZLWKWKH
SURWRFRODQGGLVSOD\DQHYDOXDEOH3.SURILOHHJH[SRVXUHWRWUHDWPHQWDYDLODELOLW\RI
PHDVXUHPHQWVDQGDEVHQFHRIPDMRUSURWRFROYLRODWLRQV
6DIHW\3RSXODWLRQ$OOVXEMHFWVZKRUHFHLYHGDWOHDVWRQHGRVHRIWKHVWXG\GUXJZLOOEH
LQFOXGHGLQWKHVDIHW\HYDOXDWLRQV
 6WDWLVWLFDO$QDO\VHV
'HWDLOHGPHWKRGRORJ\IRUVXPPDU\DQGVWDWLVWLFDODQDO\VHVRIWKHGDWDFROOHFWHGLQWKLVVWXG\
ZLOOEHGRFXPHQWHGLQD6WDWLVWLFDO$QDO\VLV3ODQ6$37KH6$3ZLOOEHSUHSDUHGE\&HOHULRQ
DQGDJUHHGXSRQZLWKWKH6SRQVRU7KLVGRFXPHQWPD\PRGLI\WKHSODQVRXWOLQHGLQWKH
SURWRFROKRZHYHUDQ\PDMRUPRGLILFDWLRQVRIWKHSULPDU\HQGSRLQWVGHILQLWLRQDQGRULWV
DQDO\VLVZLOODOVREHUHIOHFWHGLQDSURWRFRODPHQGPHQW$GGLWLRQDOVWDWLVWLFDODQDO\VHVRWKHU
WKDQWKRVHGHVFULEHGLQWKLVVHFWLRQPD\EHSHUIRUPHGLIGHHPHGDSSURSULDWH
 3KDUPDFRNLQHWLF$QDO\VHV

'HVFULSWLYH6WDWLVWLFV
9DOXHVZLOOEHFDOFXODWHGIRUWKHSODVPDFRQFHQWUDWLRQVDQGWKH3.SDUDPHWHUVOLVWHGLQ
6HFWLRQIRU/2;2XVLQJDSSURSULDWHVXPPDU\VWDWLVWLFVWREHIXOO\RXWOLQHGLQWKH
6$3
$QDO\VLVRI&RYDULDQFH
$QDQDO\VLVRIFRYDULDQFH$1&29$ZLOOEHSHUIRUPHGRQWKHOQWUDQVIRUPHG$8&W
$8&LQIDQG&PD[7KH$1&29$PRGHOZLOOFRQWDLQDFDWHJRULFDOIDFWRURISRSXODWLRQIRU
VXEMHFWVZLWKYDULRXVGHJUHHVRI5,PLOGPRGHUDWHDQGVHYHUHDQGKHDOWK\PDWFKHGFRQWURO
VXEMHFWVDFDWHJRULFDOFRYDULDWHVH[DQGFRQWLQXRXVFRYDULDWHVDJHDQG%0,
7KHWRPDWFKLQJFRPSDULVRQVRILQWHUHVWVDUH
x 6XEMHFWVZLWKVHYHUH5,YHUVXVKHDOWK\PDWFKHGFRQWUROVXEMHFWV
/2;25(7&$3URWRFRODQG3URWRFRO$PHQGPHQWV


&21),'(17,$/
&$/2;25(7)LQDO3URWRFRO$PHQGPHQW'HF

3DJH
x 6XEMHFWVZLWKPRGHUDWH5,YHUVXVKHDOWK\PDWFKHGFRQWUROVXEMHFWV
x 6XEMHFWVZLWKPLOG5,YHUVXVKHDOWK\PDWFKHGFRQWUROVXEMHFWV

5DWLRVDQG&RQILGHQFH,QWHUYDOV
5DWLRVRIOHDVWVTXDUHVPHDQV/60ZLOOEHFDOFXODWHGXVLQJWKHH[SRQHQWLDWLRQRIWKH
GLIIHUHQFHEHWZHHQUHQDOIXQFWLRQFRKRUW/60IURPWKH$1&29$DQDO\VHVRQWKH
OQWUDQVIRUPHG$8&W$8&LQIDQG&PD[7KHVHUDWLRVZLOOEHH[SUHVVHGDVDSHUFHQWDJH
UHODWLYHWRWKHKHDOWK\PDWFKHGFRQWUROFRKRUW
1LQHW\SHUFHQWFRQILGHQFHLQWHUYDOV&,VIRUWKHUDWLRVZLOOEHGHULYHGE\
H[SRQHQWLDWLRQRIWKH&,VREWDLQHGIRUWKHGLIIHUHQFHEHWZHHQUHQDOIXQFWLRQFRKRUW/60
UHVXOWLQJIURPWKH$1&29$DQDO\VHVRQWKHOQWUDQVIRUPHG$8&W$8&LQIDQG&PD[
7KH&,VZLOOEHH[SUHVVHGDVDSHUFHQWDJHUHODWLYHWRWKHKHDOWK\PDWFKHGFRQWUROFRKRUW

$GGLWLRQDO$QDO\VLV
7KHUHODWLRQVKLSEHWZHHQ/2;23.SDUDPHWHUVLH&PD[DQG$8&DQGPHDVXUHVRI
UHQDOIXQFWLRQVXFKDVH*)5DQG&/FUPD\EHH[SORUHGXVLQJDOLQHDUUHJUHVVLRQDSSURDFKRU
RWKHUPHWKRGVDVLQGLFDWHGLQWKH6$3
7KHHIIHFWRIFRYDULDWHVVXFKDVDJH%0,DQGJHQGHUPD\EHLQYHVWLJDWHG

3URWHLQ%LQGLQJ
)UDFWLRQRIXQERXQG/2;2LQSODVPD)XZLOOEHFRPSXWHGDQG3.SDUDPHWHUVPD\DOVR
EH H[SUHVVHG LQ WHUPV RI XQERXQG FRQFHQWUDWLRQV HJ &PD[X $8&X DQG &/X) LI
DSSOLFDEOH
 6DIHW\$QDO\VHV
$OOVDIHW\GDWDZLOOEHSRSXODWHGLQWKHLQGLYLGXDO&5)V$OOVDIHW\GDWDZLOOEHOLVWHGE\
VXEMHFWV
'RVLQJGDWHVDQGWLPHVZLOOEHOLVWHGE\VXEMHFW
$(VZLOOEHFRGHGXVLQJWKH0HGLFDO'LFWLRQDU\IRU5HJXODWRU\$FWLYLWLHV0HG'5$DQG
VXPPDUL]HGE\WUHDWPHQWIRUWKHQXPEHURIVXEMHFWVUHSRUWLQJWKH7($($E\VXEMHFW$(GDWD
OLVWLQJLQFOXGLQJYHUEDWLPWHUPFRGHGWHUPWUHDWPHQWVHYHULW\DQGUHODWLRQVKLSWRWUHDWPHQW
ZLOOEHSURYLGHG
6DIHW\GDWDLQFOXGLQJ(&*VSK\VLFDOH[DPLQDWLRQVYLWDOVLJQVDVVHVVPHQWVFOLQLFDOODERUDWRU\
UHVXOWVZLOOEHVXPPDUL]HGE\WUHDWPHQWDQGSRLQWRIWLPHRIFROOHFWLRQ
'HVFULSWLYHVWDWLVWLFVXVLQJDSSURSULDWHVXPPDU\VWDWLVWLFVZLOOEHFDOFXODWHGIRUTXDQWLWDWLYH
VDIHW\GDWDDVZHOODVIRUWKHGLIIHUHQFHWREDVHOLQHZKHQDSSURSULDWH
&RQFRPLWDQWPHGLFDWLRQVZLOOEHOLVWHGE\VXEMHFWDQGFRGHGXVLQJWKH:RUOG+HDOWK
2UJDQL]DWLRQGUXJGLFWLRQDU\0HGLFDOKLVWRU\ZLOOEHOLVWHGE\VXEMHFW
/2;25(7&$3URWRFRODQG3URWRFRO$PHQGPHQWV


&21),'(17,$/
&$/2;25(7)LQDO3URWRFRO$PHQGPHQW'HF
3DJH
 678'<$'0,1,675$7,21
 (WKLFV
 ,QVWLWXWLRQDO5HYLHZ%RDUG
7KLVSURWRFROZLOOEHUHYLHZHGE\DQ,5%DQGWKHVWXG\ZLOOQRWVWDUWXQWLOWKH,5%KDV
DSSURYHGWKHSURWRFRORUDPRGLILFDWLRQWKHUHRI7KH,5%ZLOOEHFRQVWLWXWHGDQGRSHUDWHLQ
DFFRUGDQFHZLWKWKHSULQFLSOHVDQGUHTXLUHPHQWVGHVFULEHGLQWKH86&RGHRI)HGHUDO
5HJXODWLRQV&)53DUWDQGZLOOEHFRPSOLDQWWR7KH,QWHUQDWLRQDO&RXQFLORQ
+DUPRQLVDWLRQ,&+JXLGHOLQHV
 (WKLFDO&RQGXFWRIWKH6WXG\
7KLVUHVHDUFKZLOOEHFDUULHGRXWLQDFFRUGDQFHZLWKWKHSURWRFRO86&RGHRI)HGHUDO
5HJXODWLRQV&)53DUWVDQGWKHHWKLFDOSULQFLSOHVVHWIRUWKLQWKH'HFODUDWLRQRI
+HOVLQNL*&3DQGWKH,&+KDUPRQL]HGWULSDUWLWHJXLGHOLQHUHJDUGLQJ*&3(>5@*RRG
&OLQLFDO3UDFWLFH,QWHJUDWHG$GGHQGXPWR(>5@0DUFKVW
 6XEMHFW,QIRUPDWLRQDQG&RQVHQW
7KHSXUSRVHRIWKHVWXG\WKHSURFHGXUHVWREHFDUULHGRXWDQGWKHSRWHQWLDOKD]DUGVZLOOEH
GHVFULEHGWRWKHVXEMHFWVLQQRQWHFKQLFDOWHUPV6XEMHFWVZLOOEHUHTXLUHGWRUHDGVLJQDQGGDWH
DQ,&)VXPPDUL]LQJWKHGLVFXVVLRQSULRUWRVFUHHQLQJDQGZLOOEHDVVXUHGWKDWWKH\PD\
ZLWKGUDZIURPWKHVWXG\DWDQ\WLPHZLWKRXWMHRSDUGL]LQJWKHLUPHGLFDOFDUH
6XEMHFWVZLOOEHJLYHQDFRS\RIWKHLUVLJQHG,&)
 7HUPLQDWLRQRIWKH6WXG\
7KHSDUWLFLSDWLQJ&58VUHVHUYHWKHULJKWWRWHUPLQDWHWKHVWXG\LQWKHLQWHUHVWRIVXEMHFW
ZHOIDUH
7KH6SRQVRUUHVHUYHVWKHULJKWWRVXVSHQGRUWHUPLQDWHWKHVWXG\DWDQ\WLPH
 'DWD4XDOLW\$VVXUDQFH
6WDQGDUGRSHUDWLQJSURFHGXUHVDUHDYDLODEOHIRUDOODFWLYLWLHVSHUIRUPHGDW&HOHULRQDQG
SDUWLFLSDWLQJ&58VUHOHYDQWWRWKHTXDOLW\RIWKLVVWXG\'HVLJQDWHGSHUVRQQHORI&HOHULRQDQG
SDUWLFLSDWLQJ&58VDVDSSURSULDWHZLOOEHUHVSRQVLEOHIRULPSOHPHQWLQJDQGPDLQWDLQLQJ
TXDOLW\DVVXUDQFH4$DQGTXDOLW\FRQWUROV\VWHPVWRHQVXUHWKDWWKHVWXG\LVFRQGXFWHGDQG
WKDWGDWDDUHJHQHUDWHGGRFXPHQWHGDQGUHSRUWHGLQFRPSOLDQFHZLWKWKHVWXG\SURWRFRO*&3
DQG*/3UHTXLUHPHQWVDVZHOODVDSSOLFDEOHUHJXODWRU\UHTXLUHPHQWVDQGORFDOODZVUXOHVDQG
UHJXODWLRQVUHODWLQJWRWKHFRQGXFWRIWKHFOLQLFDOVWXG\
7KH&OLQLFDO6WXG\5HSRUWZLOOEHDXGLWHGE\WKH&HOHULRQ4$GHSDUWPHQWDQGWKH4$DXGLW
FHUWLILFDWHZLOOEHLQFOXGHGLQWKHVWXG\UHSRUW
/2;25(7&$3URWRFRODQG3URWRFRO$PHQGPHQWV


&21),'(17,$/
&$/2;25(7)LQDO3URWRFRO$PHQGPHQW'HF

3DJH
(GLWFKHFNVDUHWKHQSHUIRUPHGIRUDSSURSULDWHGDWDEDVHVDVDYDOLGDWLRQURXWLQHXVLQJ6$6RU
FRPSDUDEOHVWDWLVWLFDOSURJUDPWRFKHFNIRUPLVVLQJGDWDGDWDLQFRQVLVWHQFLHVGDWDUDQJHVHWF
&RUUHFWLRQVDUHPDGHSULRUWRGDWDEDVHORFN
 'LUHFW$FFHVVWR6RXUFH'DWD'RFXPHQWV
7KHSDUWLFLSDWLQJ&58VZLOOHQVXUHWKDWWKH6SRQVRU,5%DQGLQVSHFWLRQE\GRPHVWLFDQG
IRUHLJQUHJXODWRU\DXWKRULWLHVZLOOKDYHGLUHFWDFFHVVWRDOO&58VVRXUFHGDWDGRFXPHQWVDQG
UHSRUWVIRUWKHSXUSRVHRIPRQLWRULQJDQGDXGLWLQJ,&+>(@	,QWKHHYHQWWKDW
RWKHUVWXG\UHODWHGPRQLWRULQJVKRXOGEHGRQHE\RWKHUSDUWLHVWKH\ZLOOEHUHTXLUHGWRVLJQD
FRQILGHQWLDOLW\DJUHHPHQWSULRUWRDQ\PRQLWRULQJDQGDXGLWLQJ
 'UXJ6XSSOLHV3DFNDJLQJDQG/DEHOLQJ
7KH6SRQVRUZLOOVXSSO\VXIILFLHQWTXDQWLWLHVRIWKH/2;2FDSVXOHVWRDOORZFRPSOHWLRQ
RIWKLVVWXG\7KHORWQXPEHUVDQGH[SLUDWLRQGDWHVZKHUHDYDLODEOHRIWKHVWXG\GUXJV
VXSSOLHGZLOOEHUHFRUGHGLQWKHILQDOUHSRUW
5HFRUGVZLOOEHPDGHRIWKHUHFHLSWDQGGLVSHQVLQJRIWKHVWXG\GUXJVVXSSOLHG$WWKH
FRQFOXVLRQRIWKHVWXG\DQ\XQXVHGVWXG\GUXJVZLOOEHUHWDLQHGE\WKH&58UHWXUQHGWRWKH
6SRQVRURUGHVLJQHHRUGHVWUR\HGDVSHU6SRQVRULQVWUXFWLRQV,IQRVXSSOLHVUHPDLQWKLVIDFW
ZLOOEHGRFXPHQWHGLQWKHSKDUPDF\SURGXFWDFFRXQWDELOLW\UHFRUGV
 'DWD+DQGOLQJDQG5HFRUG.HHSLQJ
'DWDZLOOEHHQWHUHGGLUHFWO\DQGPDQDJHGZLWKLQDQHOHFWURQLFGDWDFDSWXUHV\VWHP
2PQL&RPP7ULDO0DVWHU
$OOUDZGDWDJHQHUDWHGLQFRQQHFWLRQZLWKWKLVVWXG\WRJHWKHUZLWKWKHRULJLQDOFRS\RIWKH
ILQDOUHSRUWZLOOEHUHWDLQHGE\WKHSDUWLFLSDWLQJ&58VXQWLODWOHDVW\HDUVDIWHUWKHODVW
DSSURYDORIDPDUNHWLQJDSSOLFDWLRQLQDQ,&+UHJLRQDQGXQWLOWKHUHDUHQRSHQGLQJRU
FRQWHPSODWHGPDUNHWLQJDSSOLFDWLRQVLQDQ,&+UHJLRQRUDWOHDVW\HDUVKDYHHODSVHGVLQFHWKH
IRUPDOGLVFRQWLQXDWLRQRIFOLQLFDOGHYHORSPHQWRIWKHLQYHVWLJDWLRQDOSURGXFW7KHVHGRFXPHQWV
VKRXOGEHUHWDLQHGIRUDORQJHUSHULRGKRZHYHULIUHTXLUHGE\WKHDSSOLFDEOHUHJXODWRU\
UHTXLUHPHQWVRUE\DQDJUHHPHQWZLWKWKH6SRQVRU,WLVWKHUHVSRQVLELOLW\RIWKH6SRQVRUWR
LQIRUPWKHSDUWLFLSDWLQJ&58VDVWRZKHQWKHVHGRFXPHQWVQRORQJHUQHHGWREHUHWDLQHG
 5HSRUW)RUPDW
$FFRUGLQJWRWKH,&++DUPRQL]HG7ULSDUWLWH*XLGHOLQH2UJDQL]DWLRQRIWKH&RPPRQ
7HFKQLFDO'RFXPHQWIRUWKH5HJLVWUDWLRQRI3KDUPDFHXWLFDOVIRU+XPDQ8VH0DQGWKH
,&+0([SHUW:RUNLQJ*URXSWKHILQDOUHSRUWZLOOEHZULWWHQDFFRUGLQJWRWKH
,&+(*XLGHOLQH6WUXFWXUHDQG&RQWHQWRI&OLQLFDO6WXG\5HSRUWV
/2;25(7&$3URWRFRODQG3URWRFRO$PHQGPHQWV


&21),'(17,$/
&$/2;25(7)LQDO3URWRFRO$PHQGPHQW'HF
3DJH
 3XEOLFDWLRQ3ROLF\
$OOXQSXEOLVKHGLQIRUPDWLRQJLYHQWR&HOHULRQDQGRUWKHSDUWLFLSDWLQJ&58VE\WKH6SRQVRU
VKDOOQRWEHSXEOLVKHGRUGLVFORVHGWRDWKLUGSDUW\ZLWKRXWWKHSULRUZULWWHQFRQVHQWRIWKH
6SRQVRU
7KHGDWDJHQHUDWHGE\WKLVVWXG\DUHFRQVLGHUHGFRQILGHQWLDOLQIRUPDWLRQDQGWKHSURSHUW\RI
WKH6SRQVRU7KLVFRQILGHQWLDOLQIRUPDWLRQPD\EHSXEOLVKHGRQO\LQFROODERUDWLRQZLWK
SDUWLFLSDWLQJSHUVRQQHOIURPWKH6SRQVRURUXSRQ6SRQVRU¶VZULWWHQFRQVHQWWRSXEOLVKWKH
DUWLFOH
/2;25(7&$3URWRFRODQG3URWRFRO$PHQGPHQWV


&21),'(17,$/
&$/2;25(7)LQDO3URWRFRO$PHQGPHQW'HF

3DJH
 5()(5(1&(6
/2;2,QYHVWLJDWRU¶V%URFKXUH/R[R2QFRORJ\,QF9HUVLRQ2FW
)RRGDQG'UXJ$GPLQLVWUDWLRQ*XLGDQFHIRU,QGXVWU\3KDUPDFRNLQHWLFVLQ3DWLHQWVZLWK
,PSDLUHG5HQDO)XQFWLRQ²6WXG\'HVLJQ'DWD$QDO\VLVDQG,PSDFWRQ'RVLQJDQG/DEHOLQJ
0DUFK$YDLODEOHDWKWWSVZZZIGDJRYGRZQORDGVGUXJVJXLGDQFHVXFPSGI
1DWLRQDO&DQFHU,QVWLWXWH&RPPRQ7HUPLQRORJ\&ULWHULDIRU$GYHUVH(YHQWV&7&$(
5HYLVHG1RYY$YDLODEOHDW
KWWSVFWHSFDQFHUJRYSURWRFROGHYHORSPHQWHOHFWURQLFBDSSOLFDWLRQVGRFV&7&$(BYB4XLFNB
5HIHUHQFHB[SGI
/2;25(7&$3URWRFRODQG3URWRFRO$PHQGPHQWV



3DJH





&OLQLFDO3URWRFRO


$3KDVH2SHQ/DEHO3DUDOOHO&RKRUW6LQJOH'RVH6WXG\WR(YDOXDWHWKH(IIHFWRI
5HQDO,PSDLUPHQWRQWKH3KDUPDFRNLQHWLFVRI/2;2


&HOHULRQ3URMHFW1R&$

6SRQVRU3URMHFW1R/2;25(7

86,1'1R









*&36WDWHPHQW
7KLVVWXG\LVWREHSHUIRUPHGLQIXOOFRPSOLDQFHZLWKWKHSURWRFRO*RRG&OLQLFDO3UDFWLFHV
*&3DQGDSSOLFDEOHUHJXODWRU\UHTXLUHPHQWV$OOUHTXLUHGVWXG\GRFXPHQWDWLRQZLOOEH
DUFKLYHGDVUHTXLUHGE\UHJXODWRU\DXWKRULWLHV

&RQILGHQWLDOLW\6WDWHPHQW
7KLVGRFXPHQWLVFRQILGHQWLDO,WFRQWDLQVSURSULHWDU\LQIRUPDWLRQRI/R[R2QFRORJ\,QF
DQGRU&HOHULRQ$Q\YLHZLQJRUGLVFORVXUHRIVXFKLQIRUPDWLRQWKDWLVQRWDXWKRUL]HGLQ
ZULWLQJE\/R[R2QFRORJ\,QFDQGRU&HOHULRQLVVWULFWO\SURKLELWHG6XFKLQIRUPDWLRQPD\
EHXVHGVROHO\IRUWKHSXUSRVHRIUHYLHZLQJRUSHUIRUPLQJWKLVVWXG\

/2;25(7&$3URWRFRODQG3URWRFRO$PHQGPHQWV


&21),'(17,$/
&$/2;25(7)LQDO3URWRFRO2&7

3DJH

35272&2/5(9,6,21+,6725<
2FWREHU
E\

)LQDO3URWRFRO

/2;25(7&$3URWRFRODQG3URWRFRO$PHQGPHQWV

33'

/2;25(7&$3URWRFRODQG3URWRFRO$PHQGPHQWV

33'
33'
33'
33'

/2;25(7&$3URWRFRODQG3URWRFRO$PHQGPHQWV

33'
33'
33'
33'

/2;25(7&$3URWRFRODQG3URWRFRO$PHQGPHQWV

33'
33'
33'

/2;25(7&$3URWRFRODQG3URWRFRO$PHQGPHQWV

33'
33'
33'
33'

/2;25(7&$3URWRFRODQG3URWRFRO$PHQGPHQWV

33'
33'
33'
33'
33'

/2;25(7&$3URWRFRODQG3URWRFRO$PHQGPHQWV

33'
33'
33'

&21),'(17,$/
&$/2;25(7)LQDO3URWRFRO2&7

3DJH

$'',7,21$/.(<&217$&76)257+(678'<
6SRQVRU&RQWDFW,QIRUPDWLRQ
IRU6HULRXV$GYHUVH(YHQW
5HSRUWLQJ
HID[
(PDLOVDIHW\#OR[RRQFRORJ\FRP


0HGLFDO0RQLWRU

&RQVXOWDQWWR/R[R2QFRORJ\,QF
0RELOH

(PDLO


$GGLWLRQDO6SRQVRU&RQWDFW


/R[R2QFRORJ\,QF
7HO

(PDLO


3URWRFRO$XWKRU


&HOHULRQ
/LVEXUQ5RDG
%HOIDVW%7$'
1RUWKHUQ,UHODQG
7HO

)D[

(PDLO


&HUWLILHG&OLQLFDO/DERUDWRU\
&RQWDFWLQIRUPDWLRQZLOOEHSURYLGHGLQDVHSDUDWH
GRFXPHQW

%LRDQDO\WLFDO/DERUDWRU\IRU
/2;2
$OWXUDV$QDO\WLFV,QF
$OWXUDV7HFKQRORJ\3DUN
$OWXUDV'ULYH
0RVFRZ,GDKR86$
7HO


/2;25(7&$3URWRFRODQG3URWRFRO$PHQGPHQWV

33'
33'
33'
33'
33'
33'
33'
33'
33'
33'
33'
33'

&21),'(17,$/
&$/2;25(7)LQDO3URWRFRO2&7

3DJH
3KDUPDFRNLQHWLFDQG6WDWLVWLFDO
$QDO\VHV

&HOHULRQ
$OH[LV1LKRQ%RXOHYDUG6XLWH
0RQWUHDO4XHEHF+01&DQDGD
7HO
)D[

DQGRU

&HOHULRQ
5RVH6WUHHW
/LQFROQ1HEUDVND86$
7HO
)D[

/2;25(7&$3URWRFRODQG3URWRFRO$PHQGPHQWV


&21),'(17,$/
&$/2;25(7)LQDO3URWRFRO2&7

3DJH

7$%/(2)&217(176
 35272&2/5(9,6,21+,6725< 
 6321625±6,*1$725< 
 35,1&,3$/,19(67,*$725$1'&/,1,&$/6,7(±6,*1$725< 
 $'',7,21$/.(<&217$&76)257+(678'< 
 7$%/(2)&217(176 
 6<1236,6 
 678'<(9(176)/2:&+$57 
 $%%5(9,$7,216 
 ,1752'8&7,21 

%DFNJURXQG 

/2;2 

5DWLRQDOH 

5DWLRQDOHIRUWKLV6WXG\DQG6WXG\'HVLJQ 

5DWLRQDOHIRUWKH'RVH6HOHFWLRQDQG'RVH5HJLPHQ 

5DWLRQDOHIRU3ULPDU\(QGSRLQWV 

5LVNVDQGRU%HQHILWVWR6XEMHFWV 
 2%-(&7,9(6$1'(1'32,176 
 2EMHFWLYHV 
 (QGSRLQWV 
 678'<'(6,*1 
 2YHUDOO6WXG\'HVLJQDQG3ODQ 

&RQILQHPHQW5HWXUQ9LVLWVDQG)ROORZ8S 

(QGRI6WXG\'HILQLWLRQ 
 678'<3238/$7,21 
 ,QFOXVLRQ&ULWHULD 

$OO6XEMHFWV 

$GGLWLRQDO5HTXLUHPHQWVIRU6XEMHFWVZLWK5, 

$GGLWLRQDO5HTXLUHPHQWVIRU+HDOWK\6XEMHFWV 
 ([FOXVLRQ&ULWHULD 

$OO6XEMHFWV 

$GGLWLRQDO5HTXLUHPHQWVIRU6XEMHFWVZLWK5, 

$GGLWLRQDO5HTXLUHPHQWVIRU+HDOWK\6XEMHFWV 
 (DUO\7HUPLQDWLRQRI6XEMHFWVIURPWKH6WXG\ 
 6WXG\5HVWULFWLRQV 
/2;25(7&$3URWRFRODQG3URWRFRO$PHQGPHQWV


&21),'(17,$/
&$/2;25(7)LQDO3URWRFRO2&7

3DJH

3URKLELWLRQVDQG&RQFRPLWDQW0HGLFDWLRQ 

0HDOV 

$FWLYLW\ 
 75($70(176 
 7UHDWPHQWV$GPLQLVWHUHG 
 'RVH0RGLILFDWLRQ 
 0HWKRGRI7UHDWPHQW$VVLJQPHQW 
 %OLQGLQJ 
 7UHDWPHQW&RPSOLDQFH 
 678'<$66(660(176$1'352&('85(6 
 6FUHHQLQJ 
 6DIHW\$VVHVVPHQWV 

3K\VLFDO([DPLQDWLRQ 

9LWDO6LJQV 

(&*0RQLWRULQJ 

%RG\:HLJKW 

&OLQLFDO/DERUDWRU\7HVWV 

$GYHUVH(YHQWV 
 $GYHUVH(YHQW'HILQLWLRQ 
 0RQLWRULQJ 
 5HSRUWLQJ 
 6HULRXV$GYHUVH(YHQW 
 3KDUPDFRNLQHWLF$VVHVVPHQWV 

%ORRG6DPSOLQJDQG3URFHVVLQJ 

3KDUPDFRNLQHWLF3DUDPHWHUV 

8ULQH&ROOHFWLRQ 

8ULQH3KDUPDFRNLQHWLF3DUDPHWHUV 

$QDO\WLFDO0HWKRG 
 %ORRG9ROXPH'UDZQIRU6WXG\$VVHVVPHQWV 
 67$7,67,&$/&216,'(5$7,216 
 6DPSOH6L]H'HWHUPLQDWLRQ 
 3RSXODWLRQIRU$QDO\VHV 
 6WDWLVWLFDO$QDO\VHV 

3KDUPDFRNLQHWLF$QDO\VHV 
 'HVFULSWLYH6WDWLVWLFV 
 $QDO\VLVRI&RYDULDQFH 
 5DWLRVDQG&RQILGHQFH,QWHUYDOV 
/2;25(7&$3URWRFRODQG3URWRFRO$PHQGPHQWV


&21),'(17,$/
&$/2;25(7)LQDO3URWRFRO2&7

3DJH
 $GGLWLRQDO$QDO\VLV 
 3URWHLQ%LQGLQJ 

6DIHW\$QDO\VHV 
 678'<$'0,1,675$7,21 
 (WKLFV 

,QVWLWXWLRQDO5HYLHZ%RDUG 

(WKLFDO&RQGXFWRIWKH6WXG\ 

6XEMHFW,QIRUPDWLRQDQG&RQVHQW 
 7HUPLQDWLRQRIWKH6WXG\ 
 'DWD4XDOLW\$VVXUDQFH 
 'LUHFW$FFHVVWR6RXUFH'DWD'RFXPHQWV 
 'UXJ6XSSOLHV3DFNDJLQJDQG/DEHOLQJ 
 'DWD+DQGOLQJDQG5HFRUG.HHSLQJ 
 5HSRUW)RUPDW 
 3XEOLFDWLRQ3ROLF\ 
 5()(5(1&(6 

/,672)7$%/(6
7DEOH 
%ORRG9ROXPHGXULQJWKH6WXG\ 

/2;25(7&$3URWRFRODQG3URWRFRO$PHQGPHQWV


&21),'(17,$/
&$/2;25(7)LQDO3URWRFRO2&7

3DJH

6<1236,6
&RPSRXQG
/2;2
&OLQLFDO,QGLFDWLRQ
&DQFHU
6WXG\3KDVHDQG7\SH
3KDVH±5HQDO,PSDLUPHQW5,
6WXG\2EMHFWLYHV
3ULPDU\
7RFRPSDUHWKHSODVPDSKDUPDFRNLQHWLFV3.RI/2;2
IROORZLQJDGPLQLVWUDWLRQLQVXEMHFWVZLWKYDU\LQJGHJUHHVRI5,
LHPLOGPRGHUDWHDQGVHYHUHFRPSDUHGWRKHDOWK\PDWFKHG
FRQWUROVXEMHFWV
6HFRQGDU\
7RHYDOXDWHWKHVDIHW\DQGWROHUDELOLW\RI/2;2LQVXEMHFWV
ZLWK5,
6XPPDU\RI6WXG\
'HVLJQ
7KLVLVDQRQUDQGRPL]HGRSHQODEHOSDUDOOHOFRKRUW
PXOWLSOHVLWHVLQJOHGRVHVWXG\WRFRPSDUHWKH3.RI
/2;2LQVXEMHFWVZLWKPLOGPRGHUDWHDQGVHYHUH5,
FRPSDUHGWRKHDOWK\PDWFKHGFRQWUROVXEMHFWVPDWFKHGIRU
DJHERG\PDVVLQGH[%0,DQGVH[
2Q'D\VXEMHFWVZLOOUHFHLYHDVLQJOHRUDOGRVHRI/2;2
3ODVPDDQGXULQHVDPSOHVLISRVVLEOHZLOOEHWDNHQSUHGRVH
DQGWKURXJKKRXUVSRVWGRVHIRUKHDOWK\VXEMHFWVDQGVXEMHFWV
ZLWK5,IRU/2;23.DVVHVVPHQW
$VVLJQPHQWWRDUHQDOIXQFWLRQSDQHOZLOOEHDVIROORZV
&RKRUW
5HQDO)XQFWLRQ
H*)5P/PLQP

+HDOWK\0DWFKHG&RQWURO


0LOG
H*)5

0RGHUDWH
H*)5

6HYHUHQRWRQGLDO\VLV

/2;25(7&$3URWRFRODQG3URWRFRO$PHQGPHQWV


&21),'(17,$/
&$/2;25(7)LQDO3URWRFRO2&7

3DJH

(VWLPDWHGJORPHUXODUILOWUDWLRQUDWHH*)5EDVHGRQ
0RGLILFDWLRQRI'LHWLQ5HQDO'LVHDVH0'5'HTXDWLRQDW
VFUHHQLQJ%DVHOLQHH*)5ZLOOEHREWDLQHGE\WDNLQJWKHPHDQ
RIWKHH*)5REWDLQHGIURPVFUHHQLQJDQGIURPKLVWRULFDOYDOXHV
ZLWKLQDPRQWKSHULRGIURPVFUHHQLQJ,IQRKLVWRULFDO
PHDVXUHPHQWLVDYDLODEOHDVHFRQGEDVHOLQHH*)5VDPSOHZLOO
EHWDNHQGXULQJWKHVFUHHQLQJSHULRGtKRXUVDSDUWDQGWKH
PHDQRIWKHWZRYDOXHVZLOOEHXVHGIRUFRKRUWDVVLJQPHQW
)RUKHDOWK\PDWFKHGFRQWUROVXEMHFWVDVLQJOHDVVHVVPHQWRI
DFWXDOFUHDWLQLQHFOHDUDQFHFRPSXWHGRYHUDKRXUXULQH
FROOHFWLRQPD\EHXVHGLQSODFHRIWKH0'5'HTXDWLRQDWWKH
3ULQFLSDO,QYHVWLJDWRU3,¶VGLVFUHWLRQ
7KHFOLQLFDOUHVHDUFKXQLW&58ZLOOFRQWDFWDOOVXEMHFWVZKR
UHFHLYHG/2;2LQFOXGLQJVXEMHFWVZKRWHUPLQDWHWKHVWXG\
HDUO\E\SKRQHFDOODSSUR[LPDWHO\GD\VDIWHUVXEMHFWVDUH
GLVFKDUJHGIURPWKH&58WRGHWHUPLQHLIDQ\DGYHUVHHYHQW
$(KDVRFFXUUHGVLQFHWKHODVWVWXG\YLVLW
1XPEHURI6XEMHFWV
8SWRDGXOWPDOHDQGIHPDOHVXEMHFWVZLOOEHHQUROOHG
6XEMHFWVZLWK5,
8SWRUHQDOO\LPSDLUHGVXEMHFWVZLOOEHHQUROOHGDVIROORZV
8SWRHLJKWVXEMHFWVZLWKPLOG5,
8SWRHLJKWVXEMHFWVZLWKPRGHUDWH5,
8SWRHLJKWVXEMHFWVZLWKVHYHUH5,
+HDOWK\0DWFKHG&RQWURO6XEMHFWV
8S WRKHDOWK\ VXEMHFWVZLOOEHHQUROOHGWRHQVXUHWKDW HDFK
VXEMHFWLQWKH5,FRKRUWVLVPDWFKHGZLWKDKHDOWK\VXEMHFWEDVHG
RQ VH[ DJH r\HDUV DQG %0,  $Q LQGLYLGXDO
KHDOWK\VXEMHFWPD\EHPDWFKHGWRRQHVXEMHFWIURPHDFKRIWKH
5, FRKRUWV PLOG PRGHUDWH DQG VHYHUH SURYLGLQJ PDWFKLQJ
FULWHULRQ DUH PHW DQG VXFK WKDW HDFK KHDOWK\ VXEMHFW PD\ EH
PDWFKHG WR D PD[LPXP RI  VXEMHFWV ZLWK 5, +RZHYHU QR
KHDOWK\VXEMHFWFDQEHPDWFKHGWRPRUHWKDQRQHVXEMHFWLQDQ\
VLQJOH5,FRKRUW
'RVDJH'RVDJH)RUP
5RXWHDQG'RVH
5HJLPHQ
6XEMHFWVZLOOUHFHLYHDVLQJOHRUDOGRVHRIPJ/2;2
[PJFDSVXOHVRQ'D\IROORZLQJDIDVWRIDWOHDVW
KRXUVIURPIRRGQRWLQFOXGLQJZDWHUZLWKDSSUR[LPDWHO\
P/RIZDWHU6XEMHFWVZLOOUHPDLQIDVWHGIURPIRRGQRW
LQFOXGLQJZDWHUIRUDWOHDVWKRXUSRVWGRVH
/2;25(7&$3URWRFRODQG3URWRFRO$PHQGPHQWV


&21),'(17,$/
&$/2;25(7)LQDO3URWRFRO2&7

3DJH
.H\$VVHVVPHQWV
3KDUPDFRNLQHWLFV
7KHIROORZLQJ3.SDUDPHWHUVZLOOEHFDOFXODWHGIRU/2;2
LQ SODVPD DV DSSURSULDWH $8&W $8& $8&LQI
$8&H[WUDS&/)&PD[7PD[.HOWòDQG9])
7KHIROORZLQJSKDUPDFRNLQHWLFSDUDPHWHUVZLOOEHFDOFXODWHGIRU
/2;2LQXULQHDVDSSURSULDWHLQDOOFRKRUWV$H)HDQG
&/U
6DIHW\
6DIHW\ZLOOEHPRQLWRUHGWKURXJKOHDGHOHFWURFDUGLRJUDPV
(&*VSK\VLFDOH[DPLQDWLRQYLWDOVLJQPHDVXUHPHQWVFOLQLFDO
ODERUDWRU\WHVWVDQG$(V,QFLGHQFHRI$(VDQGQXPEHURI
VXEMHFWVZLWK$(VZLOOEHWDEXODWHGDQGVXPPDU\VWDWLVWLFVIRU
WKHOHDG(&*VYLWDOVLJQVDQGFOLQLFDOODERUDWRU\WHVWVPD\
EHFRPSXWHGDQGSURYLGHGDVGHHPHGFOLQLFDOO\DSSURSULDWH

/2;25(7&$3URWRFRODQG3URWRFRO$PHQGPHQWV


&21),'(17,$/
&$/2;25(7)LQDO3URWRFRO2&7

3DJH

678'<(9(176)/2:&+$57
6WXG\3URFHGXUHD
6FUE
6WXG\'D\V
)8G
'D\Vĺ









(26RU
(7H
+RXUVĺ
&,F





















$GPLQLVWUDWLYH3URFHGXUHV

























,QIRUPHG&RQVHQW
;
























,QFOXVLRQ([FOXVLRQ&ULWHULD
;
;























0HGLFDO+LVWRU\
;
























6DIHW\(YDOXDWLRQV

























)XOO3K\VLFDO([DPLQDWLRQI
;






















;

+HLJKW
;
























:HLJKW
;

;J




















;

$VVHVVPHQWRI5HQDO)XQFWLRQ
;
























/HDG6DIHW\(&*K
;

;J










;









;

9LWDO6LJQV+5%3DQG55L
;
;
;M







;


;

;

;
;
;
;
;
;
;

9LWDO6LJQV7
;
;
;M




















;

+HP6HUXP&KHPN&RDJDQG8$O
;
;













;



;



;

7K\URLG6WLPXODWLQJ+RUPRQH
;
























+E$F
;
























6HUXP3UHJ7HVWƂRQO\
;
;





















;

6HUXP)6+303ƂRQO\
;
























8ULQHRU6DOLYD'UXJ6FUHHQ
;
;























8ULQHRU%UHDWK$OFRKRO6FUHHQ
;
;























+,9+HSDWLWLV6FUHHQ
;
























$(0RQLWRULQJP
;
;
&RQ0HGV0RQLWRULQJ
;
;
6WXG\'UXJ$GPLQLVWUDWLRQ
3KDUPDFRNLQHWLFV

























/2;2$GPLQLVWUDWLRQ


;






















%ORRGIRU/2;2Q
%ORRGIRU/2;23URWHLQ
%LQGLQJ
8ULQHIRU/2;2R
2WKHU3URFHGXUHV

























&RQILQHPHQWLQWKH&58T

;


9LVLW
;
























/2;25(7&$3URWRFRODQG3URWRFRO$PHQGPHQWV

&&,

&21),'(17,$/
&$/2;25(7)LQDO3URWRFRO2&7

3DJH
)RRWQRWHV
D
)RUGHWDLOVRQ3URFHGXUHVUHIHUWR6HFWLRQ
E
:LWKLQGD\VSULRUWR/2;2DGPLQLVWUDWLRQ
F
6XEMHFWVZLOOEHDGPLWWHGWRWKH&58LQ3HULRGRQ'D\DWWKHWLPHLQGLFDWHGE\WKH&58
G
7KH&58ZLOOFRQWDFWDOOVXEMHFWVZKRUHFHLYHG/2;2LQFOXGLQJVXEMHFWVZKRWHUPLQDWHWKHVWXG\HDUO\E\SKRQHFDOODSSUR[LPDWHO\GD\VDIWHU
VXEMHFWVDUHGLVFKDUJHGIURPWKH&58WRGHWHUPLQHLIDQ\$(KDVRFFXUUHGVLQFHWKHODVWVWXG\YLVLW
H
7REHSHUIRUPHGDW(26RUDW(7
I
6\PSWRPGULYHQSK\VLFDOH[DPLQDWLRQVPD\EHSHUIRUPHGDWRWKHUWLPHVDWWKH3,¶VRUGHVLJQHH¶VGLVFUHWLRQ
J
7REHSHUIRUPHGZLWKLQKRXUVSULRUWRGRVLQJ
K
6XEMHFWVDUHWREHVXSLQHIRUPLQXWHVSULRUWR(&*DVVHVVPHQW
L
6XEMHFWVDUHWREHVXSLQHIRUPLQXWHVSULRUWRYLWDOVLJQVDVVHVVPHQW+5%3DQG55:KHQVFKHGXOHGDWWKHVDPHWLPHDVEORRGGUDZVYLWDOVLJQ
PHDVXUHPHQWVDUHWREHSHUIRUPHGSULRUWREORRGGUDZV
M
7REHSHUIRUPHGZLWKLQKRXUVSULRUWRGRVLQJRQ'D\
N
6DPSOHVIRUVHUXPFKHPLVWU\ZLOOEHREWDLQHGIROORZLQJDIDVWRIDWOHDVWKRXUVDW6FUHHQLQJDQGDW&KHFNLQDWRWKHUVFKHGXOHGWLPHVVHUXPFKHPLVWU\
WHVWVZLOOEHSHUIRUPHGDIWHUDWOHDVWDQKRXUIDVW+RZHYHULQFDVHRIGURSRXWVRUUHFKHFNVVXEMHFWVPD\QRWKDYHIDVWHGIRURUKRXUVSULRUWRWKH
WLPHWKDWWKHVHUXPFKHPLVWU\VDPSOHLVWDNHQ
O
)RUVXEMHFWVZKRPD\EHDQXULFXULQHVDPSOHVIRUXULQDO\VLVZLOOQRWEHFROOHFWHG
P
)ROORZLQJWKH(26RU(7YLVLWRQO\6$(VDVVHVVHGDVUHODWHGWRVWXG\GUXJDUHWREHUHSRUWHG
S
3ULRUWRGRVLQJ
T
6XEMHFWVZLOOEHFRQILQHGXQWLOWKHFRPSOHWLRQRIKRXUEORRGGUDZDQGRUVWXG\SURFHGXUHVRU(7SURFHGXUHV

$EEUHYLDWLRQV Ƃ )HPDOHV $( $GYHUVH HYHQWV %3 %ORRG SUHVVXUH &, &KHFNLQ &KHP &KHPLVWU\ &RDJ   FRDJXODWLRQ &RQ0HGV &RQFRPLWDQW
PHGLFDWLRQ&58 &OLQLFDOUHVHDUFKXQLW(&* (OHFWURFDUGLRJUDPH*)5 HVWLPDWHGJORPHUXODUILOWUDWLRQUDWH(26(7 (QGRI6WXG\RUHDUO\WHUPLQDWLRQ
)6+ )ROOLFOHVWLPXODWLQJKRUPRQH)8 )ROORZXS+HP +HPDWRORJ\+,9 +XPDQLPPXQRGHILFLHQF\YLUXV+5 +HDUWUDWH3, 3ULQFLSDO,QYHVWLJDWRU
303 3RVWPHQRSDXVDO 3UHJ 3UHJQDQF\ 5,   5HQDO LPSDLUPHQW 55 5HVSLUDWRU\ UDWH 6$(   VHULRXV DGYHUVH HYHQW 6FU 6FUHHQLQJ 7 7HPSHUDWXUH
8$ 8ULQDO\VLV

/2;25(7&$3URWRFRODQG3URWRFRO$PHQGPHQWV

&&,

&21),'(17,$/
&$/2;25(7)LQDO3URWRFRO2&7

3DJH

$%%5(9,$7,216
a
$SSUR[LPDWHO\
ȝ0
0LFURPRODU
$'/
$FWLYLWLHVRI'DLO\/LYLQJ
$(
$GYHUVHHYHQW
$/3
$ONDOLQHSKRVSKDWDVH
$/7
$ODQLQHDPLQRWUDQVIHUDVH
$1&29$
$QDO\VLVRIFRYDULDQFH
$67
$VSDUWDWHDPLQRWUDQVIHUDVH
$8&
$UHDXQGHUWKHFRQFHQWUDWLRQWLPHFXUYH
$8&X
$UHDXQGHUWKHFRQFHQWUDWLRQWLPHFXUYHIRUXQERXQGGUXJ
$8&
7KHDUHDXQGHUWKHFRQFHQWUDWLRQWLPHFXUYHIURPWLPHWR
+RXU
$8&H[WUDS
3HUFHQWRI$8&LQIH[WUDSRODWHG
$8&W
$UHDXQGHUWKHFRQFHQWUDWLRQWLPHFXUYHIURPWLPHWRWKHODVW
REVHUYHGQRQ]HURFRQFHQWUDWLRQW
$8&LQI
$UHDXQGHUWKHFRQFHQWUDWLRQWLPHFXUYHIURPWLPH
H[WUDSRODWHGWRLQILQLW\
$9
$WULRYHQWULFXODU
%3
%ORRGSUHVVXUH
%,'
7ZLFHGDLO\
%SP
%HDWVSHUPLQXWH
%0,
%RG\PDVVLQGH[
&
'HJUHHV&HOVLXV
&)5
&RGHRI)HGHUDO5HJXODWLRQV
&,
&RQILGHQFHLQWHUYDO
&/)
$SSDUHQWWRWDOSODVPDFOHDUDQFHDIWHURUDOH[WUDYDVFXODU
DGPLQLVWUDWLRQ
&/X)
$SSDUHQWWRWDOSODVPDFOHDUDQFHDIWHURUDOH[WUDYDVFXODU
DGPLQLVWUDWLRQIRUXQERXQGGUXJ
&PD[
0D[LPXPREVHUYHGFRQFHQWUDWLRQ
&PD[X
0D[LPXPREVHUYHGFRQFHQWUDWLRQRIXQERXQGGUXJ
&.
&UHDWLQHNLQDVH
/2;25(7&$3URWRFRODQG3URWRFRO$PHQGPHQWV


&21),'(17,$/
&$/2;25(7)LQDO3URWRFRO2&7

3DJH
&5)
&DVHUHSRUWIRUP
&58
&OLQLFDO5HVHDUFK8QLW
&7&$(
&RPPRQ7HUPLQRORJ\&ULWHULDIRU$GYHUVH(YHQWV
&<3
&\WRFKURPH3
'/7
'RVHOLPLWLQJWR[LFLW\
H*)5
(VWLPDWHGJORPHUXODUILOWUDWLRQUDWH
(&*
(OHFWURFDUGLRJUDP
(65'
(QGVWDJHUHQDOGLVHDVH
)'$
)RRGDQG'UXJ$GPLQLVWUDWLRQ
)6+
)ROOLFOHVWLPXODWLQJKRUPRQH
)X
8QERXQGIUDFWLRQRIGUXJLQSODVPD
*
*UDP
*&3
*RRG&OLQLFDO3UDFWLFH
*/3
*RRG/DERUDWRU\3UDFWLFH
+%V$J
+HSDWLWLV%VXUIDFHDQWLJHQ
+&9
+HSDWLWLV&YLUXV
K(5*
+XPDQHWKHUDJRJRUHODWHGJHQH
+,9
+XPDQLPPXQRGHILFLHQF\YLUXV
,%
,QYHVWLJDWRU¶V%URFKXUH
,&
,QKLELWRU\FRQFHQWUDWLRQDW
,&)
,QIRUPHG&RQVHQW)RUP
,&+
,QWHUQDWLRQDO&RXQFLORQ+DUPRQL]DWLRQ
,1'
,QYHVWLJDWLRQDO1HZ'UXJ
,5%
,QVWLWXWLRQDO5HYLHZ%RDUG
,8'
,QWUDXWHULQHGHYLFH
.HO
$SSDUHQWWHUPLQDOHOLPLQDWLRQUDWHFRQVWDQW
.J
.LORJUDP
/)7
/LYHUIXQFWLRQWHVW
/60V
/HDVWVTXDUHVPHDQV
P
0HWHUVVTXDUHG
0'5'
0RGLILFDWLRQRI'LHWLQ5HQDO'LVHDVH
0HG'5$
0HGLFDO'LFWLRQDU\IRU5HJXODWRU\$FWLYLWLHV
/2;25(7&$3URWRFRODQG3URWRFRO$PHQGPHQWV


&21),'(17,$/
&$/2;25(7)LQDO3URWRFRO2&7
3DJH
0J
0LOOLJUDP
0LQ
0LQLPXP
P/
0LOOLOLWHU
PP+J
0LOOLPHWHURIPHUFXU\
0VHF
0LOOLVHFRQG
1&,
1DWLRQDO&DQFHU,QVWLWXWH
1R
1XPEHU
3,
3ULQFLSDO,QYHVWLJDWRU
3.
3KDUPDFRNLQHWLFV
4$
4XDOLW\$VVXUDQFH
47F
&RUUHFWHGYDOXHRIWKHLQWHUYDOEHWZHHQWKH4DQG7ZDYHVRQWKH
HOHFWURFDUGLRJUDPWUDFLQJ
56,
5HIHUHQFH6DIHW\,QIRUPDWLRQ
5,
5HQDOLPSDLUPHQW
5(7
5HDUUDQJHGGXULQJWUDQVIHFWLRQ
6$(
6HULRXVDGYHUVHHYHQW
6$3
6WDWLVWLFDODQDO\VLVSODQ
686$5
6XVSHFWHGXQH[SHFWHGVHULRXVDGYHUVHUHDFWLRQ
7($(
7UHDWPHQWHPHUJHQWDGYHUVHHYHQWV
7PD[
7LPHWRUHDFKPD[LPXPREVHUYHGFRQFHQWUDWLRQ
Wò
$SSDUHQWWHUPLQDOHOLPLQDWLRQKDOIOLIH
86
8QLWHG6WDWHV
86$
8QLWHG6WDWHVRI$PHULFD
9])
$SSDUHQWYROXPHRIGLVWULEXWLRQGXULQJWKHWHUPLQDOHOLPLQDWLRQ
SKDVHDIWHURUDOH[WUDYDVFXODUDGPLQLVWUDWLRQ
:+2
:RUOG+HDOWK2UJDQL]DWLRQ
/2;25(7&$3URWRFRODQG3URWRFRO$PHQGPHQWV


&21),'(17,$/
&$/2;25(7)LQDO3URWRFRO2&7
3DJH

,1752'8&7,21

%DFNJURXQG

/2;2
/2;2LVVPDOOPROHFXOHDQGDVHOHFWLYHLQKLELWRURIWKHUHDUUDQJHGGXULQJWUDQVIHFWLRQ
5(7UHFHSWRUW\URVLQHNLQDVHGHVLJQHGWRFRPSHWLWLYHO\EORFNWKHDGHQRVLQHWULSKRVSKDWH
ELQGLQJVLWHRIWKHNLQDVH/2;2ZDVDWOHDVWIROGPRUHVHOHFWLYHIRU5(7WKDQIRU
RIRWKHUNLQDVHVWHVWHGLQDODUJHLQYLWURVFUHHQ&RQVLVWHQWZLWKVXFKDKLJKGHJUHH
RIVHOHFWLYLW\/2;2FDXVHGVLJQLILFDQWF\WRWR[LFLW\LQKXPDQFDQFHUFHOOOLQHVWKDW
KDUERUHGHQGRJHQRXVFOLQLFDOO\UHOHYDQW5(7JHQHDOWHUDWLRQVEXWZDVPXFKOHVVF\WRWR[LF
DJDLQVWKXPDQFDQFHUFHOOOLQHVZLWKRXW5(7DOWHUDWLRQV3RWHQWDQGVHOHFWLYHLQKLELWLRQRI
5(7PD\SURYLGHFOLQLFDOEHQHILWWRVXEMHFWVZLWKPDOLJQDQFLHVGXHWRRQFRJHQLFDOWHUDWLRQV
LQ5(7RUZLWKRWKHUPHFKDQLVPVRILQFUHDVHG5(7DFWLYLW\
1RQFOLQLFDO
&DUGLDFVDIHW\RI/2;2ZDVHYDOXDWHGLQD*RRG/DERUDWRU\3UDFWLFH*/3LQYLWUR
DVVD\IRUKXPDQHWKHUDJRJRUHODWHGJHQHK(5*DFWLYLW\LQD*/3LQYLYRVWXG\LQ
FRQVFLRXVWHOHPHWU\LQVWUXPHQWHGPLQLSLJVDQGLQD*/3GD\UHSHDWGRVHWR[LFRORJ\
VWXG\ZLWK(&*PRQLWRULQJLQPLQLSLJV/2;2KDGDLQKLELWRU\FRQFHQWUDWLRQ
WKH*/3K(5*DVVD\ZKLFKLVDSSUR[LPDWHO\
WKDQWKHSUHGLFWHGPD[LPXPXQERXQGFRQFHQWUDWLRQDWWKHGRVHRIPJDQGPJ
UHVSHFWLYHO\WZLFHGDLO\%,'7KHUHZHUHQR/2;2UHODWHGFKDQJHVLQDQ\
FDUGLRYDVFXODUHQGSRLQWVLQFOXGLQJ47LQWHUYDOFRUUHFWHGIRUKHDUWUDWH47FDWGRVHVXSWR
PJNJLQWKHVDIHW\SKDUPDFRORJ\FDUGLRYDVFXODUVWXG\LQFRQVFLRXVPLQLSLJV
)XUWKHUPRUHWKHUHZHUHQR/2;2UHODWHG(&*FKDQJHVLQWKHGD\UHSHDWGRVH
WR[LFLW\VWXG\LQPLQLSLJVDWWKHKLJKGRVHRIPJNJ7RJHWKHUWKHVHGDWDLQGLFDWHWKDW
/2;2KDVDORZULVNRILQGXFLQJGHOD\HGYHQWULFXODUUHSRODUL]DWLRQSURORQJDWLRQRIWKH
47FLQWHUYDODQGXQVWDEOHDUUK\WKPLDV
$GPLQLVWUDWLRQRI/2;2DWVLQJOHGRVHVXSWRPJNJLQPDOHUDWVKDGQRHIIHFWRQ
UHVSLUDWRU\IXQFWLRQ
3RWHQWLDOHIIHFWVRI/2;2RQWKHFHQWUDOQHUYRXVV\VWHPZHUHHYDOXDWHGDVSDUWRIWKH
*/3GD\UHSHDWGRVHVWXG\LQUDWVLQIXQFWLRQDOREVHUYDWLRQDOEDWWHU\WHVWVDQGORFRPRWRU
DFWLYLW\DVVHVVPHQWV)LQGLQJVZHUHOLPLWHGWRDQLPDOVUHFHLYLQJWKHKLJKGRVHRQZHHNRI
WKHGRVLQJSKDVHDQGZHUHDWWULEXWHGWRSRRUJHQHUDOERG\FRQGLWLRQDQGZHLJKWFKDQJHV
DVVRFLDWHGZLWK/2;2DGPLQLVWUDWLRQUDWKHUWKDQVSHFLILFQHXURORJLFDOHIIHFWV
$GGLWLRQDOO\QRPLFURVFRSLFDEQRUPDOLWLHVLQQHXURQDOWLVVXHVZHUHIRXQG
,QWR[LFRORJ\VWXGLHVRI/2;2WKDWZHUHFRQGXFWHGLQWKHUDWDQGPLQLSLJWKHSULPDU\
SDWKRORJLFILQGLQJVIRUERWKVSHFLHVZHUHLQWKHWRQJXHSDQFUHDVERQHPDUURZDQG
O\PSKRLGWLVVXHVZKLOHWKHJDVWURLQWHVWLQDOWUDFWDQGRYDULHVZHUHWDUJHWWLVVXHVLQPLQLSLJ
2WKHUWDUJHWWLVVXHVLGHQWLILHGLQWKHUDWLQFOXGHGPXOWLWLVVXHPLQHUDOL]DWLRQSK\VHDO
FDUWLODJHLQFLVRUWHHWKOXQJ%UXQQHU¶VJODQGDQGSRVVLEO\OLYHU$VVHVVPHQWRIGRVHV
DVVRFLDWHGZLWKPRULEXQGLW\GHDWKUHYHDOHGDVWHHSGRVHUHVSRQVHFXUYHIRUERWKVSHFLHV
/2;25(7&$3URWRFRODQG3URWRFRO$PHQGPHQWV

&&,
&&,

&21),'(17,$/
&$/2;25(7)LQDO3URWRFRO2&7

3DJH
/2;2ZDVQRWPXWDJHQLFLQWKH*/3EDFWHULDOPXWDWLRQDVVD\:KHQHYDOXDWHGLQWZR
LQYLWURDVVD\V/2;2ZDVQRWJHQRWR[LF/2;2ZDVQRWIRXQGWREHSKRWRWR[LF
ZKHQHYDOXDWHGLQDQLQYLWURQHXWUDOUHGXSWDNHSKRWRWR[LFLW\DVVD\
%DVHGRQSUHFOLQLFDOSKDUPDFRORJ\H[SHULPHQWVZLWKKXPDQFDQFHUFHOOVLQYLWURDQGLQ
PXULQH[HQRJUDIWPRGHOVPHDQLQJIXOLQKLELWLRQRI5(7LQWXPRUVLVH[SHFWHGWREH
DFKLHYDEOHZLWKRUDOGRVLQJUHJLPHQV

%DVHGRQWKHQRQFOLQLFDOSURILOHLQFOXGLQJUHVXOWVIURPDQLPDOWR[LFRORJ\VWXGLHVWKHRUHWLFDO
ULVNVRIKXPDQH[SRVXUHWR/2;2LQFOXGHWKHIROORZLQJORVVRIDSSHWLWHGHFUHDVHLQ
ERG\ZHLJKWLQFUHDVHLQWRWDOZKLWHEORRGFHOOVQHXWURSKLOVDQGPRQRF\WHVGHFUHDVHLQ
DOEXPLQLQFUHDVHLQJOREXOLQGHFUHDVHGDOEXPLQJOREXOLQUDWLRGHFUHDVHLQWRWDOSURWHLQ
LQFUHDVHGERG\WHPSHUDWXUHOHWKDUJ\LQFUHDVHLQFKROHVWHURODQGWULJO\FHULGHVLQFUHDVHLQ
SKRVSKRUXVFKDQJHVLQWDVWHVHQVDWLRQDQGRUGHYHORSPHQWRI[HURVWRPLDJDVWURLQWHVWLQDO
V\PSWRPVVLJQVQDXVHDYRPLWLQJORRVHVWRROVDEGRPLQDOGLVFRPIRUWGHFUHDVHVLQUHGFHOO
PDVVUHGEORRGFHOOKHPRJORELQKHPDWRFULWDQGUHWLFXORF\WHVGHFUHDVHLQSODWHOHWV
LQFUHDVHVLQOLYHUIXQFWLRQWHVWVDONDOLQHSKRVSKDWDVHDVSDUWDWHDPLQRWUDQVIHUDVHDQGDODQLQH
DPLQRWUDQVIHUDVH
/2;2KDVEHHQJLYHQRUDOO\DQGLQWUDYHQRXVO\WRPLFHUDWVGRJVPLQLSLJVDQG
PRQNH\/2;2ZDVDEVRUEHGDQGELRDYDLODEOHLQDOOVSHFLHVWHVWHG6ROXELOLW\VWXGLHV
DQGSKDUPDFRNLQHWLFVWXGLHVVXJJHVWWKDWWKHSKDUPDFRNLQHWLFH[SRVXUHRI/2;2PD\
EHUHGXFHGE\SURWRQSXPSLQKLELWRUVDQGRWKHUDQWDFLGV/2;2DSSHDUVWREH
PHWDEROL]HGSULPDULO\E\F\WRFKURPHS&<3$EXWDWWKHUDSHXWLFDOO\UHOHYDQW
H[SRVXUHVLWLVQRWDQWLFLSDWHGWRLQKLELWRULQGXFHGUXJPHWDEROL]LQJHQ]\PHV/2;2LV
DOVRDVXEVWUDWHIRUWKH%UHDVW&DQFHU5HVLVWDQFH3URWHLQ
5HIHUWRWKH,QYHVWLJDWRU¶V%URFKXUHIRUGHWDLOHGEDFNJURXQGLQIRUPDWLRQRQ/2;2
,QYHVWLJDWRU¶V%URFKXUH
&OLQLFDO
/2;2LVFXUUHQWO\EHLQJVWXGLHGLQDQRQJRLQJJOREDO3KDVH6WXG\/2;25(7
LQSDWLHQWVZLWKDGYDQFHGVROLGWXPRUVLQFOXGLQJ5(7IXVLRQSRVLWLYH16&/&
5(7PXWDQWPHGXOODU\WK\URLGFDUFLQRPDDQGRWKHUWXPRUVZLWKLQFUHDVHG5(7DFWLYLW\
7KHVWDUWLQJGRVHRI/2;2ZDVPJRQFHGDLO\
$VRID-XO\GDWDFXWRIIGDWHVDIHW\GDWDZDVDYDLODEOHIURPSDWLHQWVZLWK
PJ%,'DVWKHKLJKHVWGRVHDGPLQLVWHUHG$VRIWKLVGDWHWZRGRVHOLPLWLQJWR[LFLWLHV
'/7VRIWXPRUO\VLVV\QGURPHDQG*UDGHWKURPERF\WRSHQLDDWWKHPJ%,'GRVH
OHYHOKDYHEHHQUHSRUWHG7KHPRVWIUHTXHQWO\UHSRUWHGWUHDWPHQWHPHUJHQWDGYHUVHHYHQWV
7($(V>!RISDWLHQWV@ZHUHGU\PRXWKUHODWHGGLDUUKHD
UHODWHGIDWLJXHUHODWHGFRQVWLSDWLRQUHODWHGKHDGDFKH
UHODWHGDQGK\SHUWHQVLRQUHODWHG5HJDUGLQJ7($(V
SDWLHQWVH[SHULHQFHG*UDGH7($(VWKDWZHUHMXGJHGE\WKH,QYHVWLJDWRUDVUHODWHGWR
VWXG\GUXJ7KUHHSDWLHQWVKDYHGLHGZLWKLQGD\VRIWKHLUODVWGRVHRIVWXG\GUXJDQG
QRGHDWKVKDYHEHHQDWWULEXWHGWRVWXG\GUXJ$VPDOOQXPEHURISDWLHQWVKDYHH[SHULHQFHG
/2;25(7&$3URWRFRODQG3URWRFRO$PHQGPHQWV

&&,

&21),'(17,$/
&$/2;25(7)LQDO3URWRFRO2&7
3DJH
*UDGHRUKLJKHUOLYHUIXQFWLRQWHVW/)7DEQRUPDOLWLHVFRQVLGHUHGUHODWHGWRWKHVWXG\
GUXJRFFXUULQJEHWZHHQGD\VDIWHUVWDUWLQJ/2;27KHVHFKDQJHVZHUH
DV\PSWRPDWLFDQGUHVROYHGZLWKGRVHLQWHUUXSWLRQ/2;2ZDVUHVXPHGDWDORZHUGRVH
IROORZLQJQRUPDOL]DWLRQRIWKH/)7V 
$VRI$XJXVW3.GDWDZHUHDYDLODEOHIURP
SDWLHQWVIURPWKHJOREDO3KDVH
VWXG\/2;2LVDEVRUEHGDIWHURUDODGPLQLVWUDWLRQZLWKDPHGLDQWLPHWRPD[LPXP
FRQFHQWUDWLRQ7PD[RIDSSUR[LPDWHO\KRXUV$OWKRXJKWKH3.VDPSOLQJRI/2;2
ZDVQRWORQJHQRXJKWRDGHTXDWHO\FKDUDFWHUL]H$8&LQIWKHKDOIOLIHDSSHDUVWREH
KRXUV/RZFRQFHQWUDWLRQVRI/2;2ZHUHUHFRYHUHGDVXQFKDQJHGGUXJLQXULQH
LQGLFDWLQJWKDWWKHNLGQH\FRQWULEXWHVWRRYHUDOOFOHDUDQFH
$VRI6HSWHPEHU/R[R2QFRORJ\KDVLQLWLDWHG
VLQJOHSDWLHQWSURWRFROV6SHFLDO
$FFHVV6FKHPHRU7HPSRUDU\$XWKRUL]DWLRQ8VHFDVHVWRSURYLGHDFFHVVWR/2;2IRU
SDWLHQWVZLWKFOLQLFDOQHHGQRWPHHWLQJHOLJLELOLW\FULWHULDIRUWKHRQJRLQJJOREDO3KDVH
VWXG\7RGDWHQR7($(VKDYHEHHQDWWULEXWHGWRVWXG\GUXJIRUWKHVHSDWLHQWV
3UHOLPLQDU\3.GDWDDYDLODEOHIURPRQJRLQJVWXGLHV/2;25(7DQG/2;25(7
EHLQJFRQGXFWHGLQKHDOWK\VXEMHFWVLQGLFDWHWKDW/2;2KDVDQHVWLPDWHG
WHUPLQDOWòRIDSSUR[LPDWHO\KRXUVDIWHUDVLQJOHGRVH

5DWLRQDOH
 5DWLRQDOHIRUWKLV6WXG\DQG6WXG\'HVLJQ
6XEMHFWVZLWK5,PD\KDYHFRPSURPLVHGGUXJGLVSRVLWLRQGXHWRWKHLUUHQDOGLVHDVHDQG
VHYHULW\RIGLVHDVH7KHSXUSRVHRIWKLVVWXG\LVWRGHWHUPLQHWKHHIIHFWRI5,RQWKHVLQJOH
GRVH3.RI/2;2DQGLIDSSOLFDEOHSURYLGHGRVLQJUHFRPPHQGDWLRQVWRFOLQLFLDQVIRU
IXWXUHWUHDWPHQWRISDWLHQWVZLWKLPSDLUHGUHQDOIXQFWLRQ
6XEMHFWVZLWKHQGVWDJHUHQDOGLVHDVH(65'ZLWKHVWLPDWHGJORPHUXODUILOWUDWLRQUDWH
H*)5P/PLQZKRDUHQRW\HWRQKHPRGLDO\VLVDVVWDWHGLQWKH)'$*XLGDQFHIRU
,QGXVWU\3KDUPDFRNLQHWLFVLQ3DWLHQWVZLWK,PSDLUHG5HQDO)XQFWLRQ6WXG\'HVLJQ'DWD
$QDO\VLVDQG,PSDFWRQ'RVLQJDQG/DEHOLQJ0DUFKDUHDVXEMHFWSRSXODWLRQWKDWLV
HVVHQWLDOO\QRWDYDLODEOH2QFHVXEMHFWVDUHLGHQWLILHGDVKDYLQJ(65'WKH\DUHLPPHGLDWHO\
SODFHGRQGLDO\VLVDQGQRORQJHUPDWFKWKHUHTXLUHPHQWRIWKHJXLGDQFH6XEMHFWVZLWK5,
DVVHVVHGDVPLOGH*)5P/PLQPPRGHUDWH
H*)5P/PLQPDQGVHYHUHH*)5P/PLQPZLOOEH
HQUROOHGLQWKLVVWXG\DQGWKHLU3.SURILOHZLOOEHFRPSDUHGWRVXEMHFWVZLWKQRUPDOUHQDO
IXQFWLRQH*)5P/PLQP6XEMHFWVZLOOEHPDWFKHGIRUDJH%0,DQGVH[
7KHVHFRYDULDWHVZHUHVHOHFWHGDVWKH\PD\LPSDFWWKHSODVPDH[SRVXUHRI/2;2
%DVHGRQWKHSUHOLPLQDU\3.GDWDIURPRQJRLQJVWXGLHVEHLQJFRQGXFWHGLQKHDOWK\VXEMHFWV
/2;25(7DQG/2;25(7/2;2KDVDQHVWLPDWHGWHUPLQDOWòRI
DSSUR[LPDWHO\KRXUVDIWHUDVLQJOHGRVH$VDPSOLQJVFKHGXOHRIXSWRKRXUVLVXVHGWR
DFFRXQWIRUWKHSRVVLELOLW\WKDW/2;2HOLPLQDWLRQPD\EHDOWHUHGZKHQUHQDOIXQFWLRQLV
LPSDLUHG
/2;25(7&$3URWRFRODQG3URWRFRO$PHQGPHQWV

&&,
&&,

&21),'(17,$/
&$/2;25(7)LQDO3URWRFRO2&7
3DJH
 5DWLRQDOHIRUWKH'RVH6HOHFWLRQDQG'RVH5HJLPHQ
$VLQJOHGRVHRIPJ/2;2ZDVVHOHFWHGEHFDXVHLWLVDGRVHWKDWKDVEHHQ
DGPLQLVWHUHG%,'WRFDQFHUSDWLHQWV7KHGRVHRIPJ%,'KDVEHHQVHOHFWHGDVWKH
UHFRPPHQGHG3KDVHGRVHIRUIXUWKHUHYDOXDWLRQLQFDQFHUSDWLHQWV$VLQJOHGRVHRIPJ
VKRXOGSURYLGHVXIILFLHQWOHYHOVRI/2;2WRDVVHVVWKH3.SURSHUWLHVEHLQJLQYHVWLJDWHG
,QWHULPGDWDIURPWKHRQJRLQJVWXG\/2;25(7VKRZWKDWWKH3.RI/2;2LV
GRVHOLQHDUIURPPJ4'WKURXJKPJ%,'
$VRI-XO\GDWDFXWRIIGDWHVDIHW\GDWDZHUHDYDLODEOHIURP
SDWLHQWVZLWKGRVHV
XSWRPJ%,'PJGD\$VRIWKLVGDWH'/7VRI*UDGHWXPRUO\VLVV\QGURPH
DQG*UDGHWKURPERF\WRSHQLDDWWKHPJ%,'GRVHOHYHOKDYHEHHQUHSRUWHG
 5DWLRQDOHIRU3ULPDU\(QGSRLQWV
7KHSULPDU\3.HQGSRLQWVZLOOLQFOXGH$8&W$8&LQIDQG&PD[DVWKHVHSDUDPHWHUV
DUHWKHPRVWUHOHYDQWWRFKDUDFWHUL]HH[SRVXUHRI/2;2IROORZLQJDVLQJOHGRVHLQ
VXEMHFWVZLWK5,DQGLQKHDOWK\PDWFKHGFRQWUROVXEMHFWV

5LVNVDQGRU%HQHILWVWR6XEMHFWV
7KHGRVHRI/2;2DGPLQLVWHUHGLQWKLVVWXG\LVQRWDQWLFLSDWHGWRLQGXFHDQ\SRWHQWLDO
ULVNRUEHQHILWWRVXEMHFWVSDUWLFLSDWLQJLQWKLVVWXG\DVLWGRHVQRWH[FHHGWKHKLJKHVWGDLO\
WRWDOGRVHVDIHO\DGPLQLVWHUHGLQWKHRQJRLQJJOREDO3KDVH6WXG\/2;25(7
>,QYHVWLJDWRU¶V%URFKXUH@
7KHVDIHW\PRQLWRULQJSUDFWLFHVHPSOR\HGE\WKLVSURWRFROLHOHDG(&*YLWDOVLJQV
FOLQLFDOODERUDWRU\WHVWV$(TXHVWLRQLQJDQGSK\VLFDOH[DPLQDWLRQDUHDGHTXDWHWRSURWHFW
WKHVXEMHFWV¶VDIHW\
7KHUHZLOOEHQRGLUHFWKHDOWKEHQHILWIRUVWXG\SDUWLFLSDQWVIURPUHFHLSWRIVWXG\GUXJ$Q
LQGLUHFWKHDOWKEHQHILWWRWKHKHDOWK\VXEMHFWVHQUROOHGLQWKLVVWXG\LVWKHIUHHPHGLFDOWHVWV
UHFHLYHGDWVFUHHQLQJDQGGXULQJWKHVWXG\
/2;25(7&$3URWRFRODQG3URWRFRO$PHQGPHQWV

&&,

&21),'(17,$/
&$/2;25(7)LQDO3URWRFRO2&7
3DJH
 2%-(&7,9(6$1'(1'32,176
 2EMHFWLYHV
3ULPDU\
7RFRPSDUHWKHSODVPD3.RI/2;2IROORZLQJDGPLQLVWUDWLRQLQVXEMHFWVZLWKYDU\LQJ
GHJUHHVRI5,LHPLOGPRGHUDWHDQGVHYHUHFRPSDUHGWRKHDOWK\PDWFKHGFRQWUROVXEMHFWV
6HFRQGDU\
7RHYDOXDWHWKHVDIHW\DQGWROHUDELOLW\RI/2;2LQVXEMHFWVZLWK5,
 (QGSRLQWV
3KDUPDFRNLQHWLFV
7KH3.HQGSRLQWVZLOOLQFOXGH$8&W$8&$8&LQI$8&H[WUDS&/)&PD[
7PD[.HOWòDQG9])LQSODVPDDQG$H)HDQG&/ULQXULQH
6DIHW\
6DIHW\HQGSRLQWVZLOOLQFOXGHOHDG(&*VSK\VLFDOH[DPLQDWLRQVYLWDOVLJQVFOLQLFDO
ODERUDWRU\WHVWVDQG$(V
/2;25(7&$3URWRFRODQG3URWRFRO$PHQGPHQWV


&21),'(17,$/
&$/2;25(7)LQDO3URWRFRO2&7

3DJH
 678'<'(6,*1
 2YHUDOO6WXG\'HVLJQDQG3ODQ
7KLVLVDQRQUDQGRPL]HGRSHQODEHOSDUDOOHOFRKRUWPXOWLSOHVLWHVLQJOHGRVHUHQDO
LPSDLUPHQWVWXG\
6FUHHQLQJRIVXEMHFWVZLOORFFXUZLWKLQGD\VSULRUWRWKHILUVWGRVLQJ
2Q'D\VXEMHFWVZLOOUHFHLYHDVLQJOHRUDOGRVHRI/2;23ODVPDDQGXULQHVDPSOHVLI
SRVVLEOHZLOOEHWDNHQSUHGRVHDQGWKURXJKKRXUVIRUKHDOWK\VXEMHFWVDQGVXEMHFWVZLWK
5,IRU/2;23.DVVHVVPHQW
$VVLJQPHQWWRDUHQDOIXQFWLRQSDQHOZLOOEHDVIROORZV
&RKRUW
5HQDO)XQFWLRQ
H*)5P/PLQP

+HDOWK\0DWFKHG&RQWURO


0LOG
H*)5

0RGHUDWH
H*)5

6HYHUHQRWRQGLDO\VLV


H*)5EDVHGRQ0'5'HTXDWLRQDWVFUHHQLQJ%DVHOLQHH*)5
ZLOOEHREWDLQHGE\WDNLQJWKHPHDQRIWKHH*)5REWDLQHGIURP
VFUHHQLQJDQGIURPKLVWRULFDOYDOXHVZLWKLQDPRQWKSHULRG
IURPVFUHHQLQJ,IQRKLVWRULFDOPHDVXUHPHQWLVDYDLODEOHD
VHFRQGEDVHOLQHH*)5VDPSOHZLOOEHWDNHQGXULQJWKHVFUHHQLQJ
SHULRGtKRXUVDSDUWDQGWKHPHDQRIWKHWZRYDOXHVZLOOEH
XVHGIRUFRKRUWDVVLJQPHQW
)RUKHDOWK\PDWFKHGFRQWUROVXEMHFWVDVLQJOHDVVHVVPHQWRI
DFWXDOFUHDWLQLQHFOHDUDQFHFRPSXWHGRYHUDKRXUXULQH
FROOHFWLRQPD\EHXVHGLQSODFHRIWKH0'5'HTXDWLRQDWWKH
3,¶VGLVFUHWLRQ

(DFKKHDOWK\PDWFKHGFRQWUROVXEMHFW&RKRUWZLOOEHGHPRJUDSKLFDOO\PDWFKHGE\DJH
\HDUVERG\PDVVLQGH[%0,DQGVH[WRWKHHQUROOHGUHQDOLPSDLUPHQW
VXEMHFWV6KRXOGDQRWKHUUHQDOLPSDLUPHQWVXEMHFWEHLGHQWLILHGZLWKZKRPDQDOUHDG\
HQUROOHGKHDOWK\VXEMHFWLVGHPRJUDSKLFDOO\PDWFKHGWKHKHDOWK\VXEMHFWPD\DOVREHPDWFKHG
ZLWKWKDWLPSDLUHGVXEMHFWDVORQJDVWKHLPSDLUHGVXEMHFWLVLQDGLIIHUHQWUHQDOLPSDLUPHQW
FRKRUW(DFKVXEMHFWZLWKQRUPDOUHQDOIXQFWLRQPD\EHPDWFKHGZLWKXSWRVXEMHFWZLWKLQ
HDFKUHQDOLPSDLUPHQWFRKRUWLHPLOGPRGHUDWHDQGVHYHUH
6DIHW\ZLOOEHPRQLWRUHGWKURXJKRXWWKHVWXG\E\UHSHDWHGFOLQLFDODQGODERUDWRU\HYDOXDWLRQV
7LPLQJRIDOOVWXG\SURFHGXUHVDUHLQGLFDWHGLQWKH6WXG\(YHQWV)ORZ&KDUW6HFWLRQ
/2;25(7&$3URWRFRODQG3URWRFRO$PHQGPHQWV


&21),'(17,$/
&$/2;25(7)LQDO3URWRFRO2&7

3DJH
6XEMHFWVPD\EHUHSODFHGDWWKHGLVFUHWLRQRIWKH6SRQVRU
 &RQILQHPHQW5HWXUQ9LVLWVDQG)ROORZ8S
6XEMHFWVZLOOEHKRXVHGWKURXJKRXWWKHVWXG\IURP'D\DWWKHWLPHLQGLFDWHGE\WKH&58
XQWLODIWHUFRPSOHWLRQRIWKHKRXUEORRGGUDZDQGRUVWXG\SURFHGXUHVDVLQGLFDWHGLQWKH
6WXG\(YHQWV)ORZ&KDUW6HFWLRQ$WDOOWLPHVDVXEMHFWPD\EHUHTXLUHGWRUHPDLQDWWKH
&58IRUORQJHUDWWKHGLVFUHWLRQRIWKH3,RUGHVLJQHHDQGRU6SRQVRU
7KH&58ZLOOFRQWDFWDOOVXEMHFWVZKRUHFHLYHG/2;2LQFOXGLQJVXEMHFWVZKRWHUPLQDWH
WKHVWXG\HDUO\E\SKRQHFDOODSSUR[LPDWHO\GD\VDIWHUVXEMHFWVDUHGLVFKDUJHGIURPWKH
&58WRGHWHUPLQHLIDQ\$(KDVRFFXUUHGVLQFHWKHODVWVWXG\YLVLW
 (QGRI6WXG\'HILQLWLRQ
7KHHQGRIVWXG\LVGHILQHGDVWKHGDWHRIWKHODVWVFKHGXOHGVWXG\SURFHGXUHDVRXWOLQHGLQWKH
6WXG\(YHQWV)ORZ&KDUW6HFWLRQ


/2;25(7&$3URWRFRODQG3URWRFRO$PHQGPHQWV


&21),'(17,$/
&$/2;25(7)LQDO3URWRFRO2&7

3DJH
 678'<3238/$7,21
7KH,QYHVWLJDWRURUGHVLJQHH&HOHULRQ0HGLFDO0RQLWRUDQG6SRQVRUZLOOUHYLHZPHGLFDO
KLVWRU\DQGDOOVFUHHQLQJHYDOXDWLRQVIRUSRWHQWLDOVXEMHFWVSULRUWRHQUROOPHQW7KH6SRQVRU
ZLOOSURYLGHDSSURYDORIVXEMHFWVIRUHQUROPHQWSULRUWRGRVLQJ
 ,QFOXVLRQ&ULWHULD
6XEMHFWVPXVWIXOILOODOORIWKHIROORZLQJLQFOXVLRQFULWHULDWREHHOLJLEOHIRUSDUWLFLSDWLRQLQWKH
VWXG\
 $OO6XEMHFWV
 0DOHRUIHPDOHRIQRQFKLOGEHDULQJSRWHQWLDORQO\\HDUVRIDJHLQFOXVLYHDW
6FUHHQLQJ
 %RG\PDVVLQGH[%0,DQGNJPDWVFUHHQLQJDQGKDYHDPLQLPXPZHLJKW
RIDWOHDVWNJDW6FUHHQLQJ
 /LYHUIXQFWLRQWHVWVDODQLQHDPLQRWUDQVIHUDVH>$/7@DQGDVSDUWDWHDPLQRWUDQVIHUDVH
>$67@VHUXPWRWDODQGGLUHFWELOLUXELQDP\ODVHDQGOLSDVHPXVWEHZLWKLQWKHXSSHUOLPLW
RIQRUPDOIRUWKHODERUDWRU\XVHGE\WKH&58DW6FUHHQLQJDQG&KHFNLQ5HFKHFNVRIWKH
/)7V$/7DQG$67VHUXPWRWDODQGGLUHFWELOLUXELQDP\ODVHDQGOLSDVHZLOOEH
SHUPLWWHGXSWRWLPHVWRFRQILUPVXEMHFWHOLJLELOLW\6XEMHFWVPD\EHHOLJLEOHIRU
SDUWLFLSDWLRQLQWKHVWXG\EDVHGRQUHFKHFNHGYDOXHVLIWKHVHYDOXHVDUHZLWKLQQRUPDO
UDQJHVDQGLIWKH3,RUGHVLJQHHZLWKDJUHHPHQWIURPWKH&HOHULRQ0HGLFDO0RQLWRUDQG
WKH6SRQVRUIHHOVWKDWWKHUHVXOWVDUHQRWFOLQLFDOO\VLJQLILFDQWDQGZLOOQRWLPSDFWVWXG\
FRQGXFW
 )HPDOHRIQRQFKLOGEHDULQJSRWHQWLDOPXVWKDYHXQGHUJRQHRQHRIWKHIROORZLQJ
VWHULOL]DWLRQSURFHGXUHVDWOHDVWPRQWKVSULRUWRGRVLQJ
x K\VWHURVFRSLFVWHULOL]DWLRQ
x ELODWHUDOWXEDOOLJDWLRQRUELODWHUDOVDOSLQJHFWRP\
x K\VWHUHFWRP\
x ELODWHUDORRSKRUHFWRP\
RUEHSRVWPHQRSDXVDOZLWKDPHQRUUKHDIRUDWOHDVW\HDUSULRUWRGRVLQJDQG
IROOLFOHVWLPXODWLQJKRUPRQH)6+VHUXPOHYHOVFRQVLVWHQWZLWKSRVWPHQRSDXVDOVWDWXV
3RVWPHQRSDXVDOVWDWXVZLOOEHFRQILUPHGZLWKDVFUHHQLQJVHUXPIROOLFOHVWLPXODWLQJ
KRUPRQHOHYHOYDOXHZLWKLQWKH&58¶VODERUDWRU\¶VH[SHFWHGUDQJHIRUSRVWPHQRSDXVDO
VWDWXV$OOIHPDOHVPXVWKDYHDQHJDWLYHTXDOLWDWLYHVHUXPSUHJQDQF\WHVWVHUXPKXPDQ
FKRULRQLFJRQDGRWURSLQDW6FUHHQLQJDQG&KHFNLQ
/2;25(7&$3URWRFRODQG3URWRFRO$PHQGPHQWV


&21),'(17,$/
&$/2;25(7)LQDO3URWRFRO2&7
3DJH
 0DOHVZKRDUHFDSDEOHRIIDWKHULQJDFKLOGPXVWDJUHHWRXVHRQHRIWKHIROORZLQJPHWKRGV
RIFRQWUDFHSWLRQIURPWKHWLPHRIWKHGRVHDGPLQLVWUDWLRQWKURXJKPRQWKVDIWHUWKHODVW
GRVH
0DOHVWHULOL]DWLRQZLWKGRFXPHQWHGFRQILUPDWLRQRIVXUJLFDOVXFFHVV0DOHVXEMHFWVZLOOEH
VXUJLFDOO\VWHULOHIRUDWOHDVWGD\VSULRUWR&KHFNLQ,IGRFXPHQWDWLRQLVQRWDYDLODEOH
PDOHVXEMHFWVPXVWIROORZRQHRIWKHFRQWUDFHSWLRQPHWKRGVEHORZ
D
0DOHFRQGRPZLWKVSHUPLFLGHRU
E )RUDIHPDOHSDUWQHURIPDOHVWXG\SDUWLFLSDQW
 ,QWUDXWHULQHGHYLFH,8'KRUPRQDO,8'HJ0LUHQD
&RSSHU,8'VDUHDFFHSWDEOHHJ3DUD*DUG
 (VWDEOLVKHGXVHRIRUDOLPSODQWHGWUDQVGHUPDORUKRUPRQDO
PHWKRGRIFRQWUDFHSWLRQDVVRFLDWHGZLWKLQKLELWLRQRIRYXODWLRQ
RU
 %LODWHUDOWXEDOOLJDWLRQ
0DOHVZKRSUDFWLFHWUXHDEVWLQHQFHEHFDXVHRIDOLIHVW\OHFKRLFHLHGRQRWEHFRPH
DEVWLQHQWMXVWIRUWKHSXUSRVHRIVWXG\SDUWLFLSDWLRQDUHH[HPSWIURPFRQWUDFHSWLYH
UHTXLUHPHQWV3HULRGLFDEVWLQHQFHE\DIHPDOHSDUWQHUHJFDOHQGDURYXODWLRQ
V\PSWRWKHUPDOSRVWRYXODWLRQPHWKRGVDQGZLWKGUDZDODUHQRWDFFHSWDEOHPHWKRGVRI
FRQWUDFHSWLRQ,IDPDOHVXEMHFWLVDEVWLQHQWDWWKHWLPHRIVLJQLQJWKH,&)EXWEHFRPHV
VH[XDOO\DFWLYHGXULQJWKHVWXG\KHPXVWDJUHHWRXVHFRQWUDFHSWLRQDVGHVFULEHGDERYH
)RUPDOHVXEMHFWVVH[XDOLQWHUFRXUVHZLWKIHPDOHSDUWQHUVZKRDUHSUHJQDQWRU
EUHDVWIHHGLQJVKRXOGEHDYRLGHGXQOHVVFRQGRPVZLWKVSHUPLFLGHDUHXVHGIURPWKHWLPHRI
WKHVWXG\GUXJDGPLQLVWUDWLRQXQWLOPRQWKVDIWHUWKHODVWGRVHRIVWXG\GUXJ0DOHVXEMHFWV
DUHUHTXLUHGWRUHIUDLQIURPGRQDWLRQRIVSHUPIURP&KHFNLQXQWLOPRQWKVDIWHUWKHODVW
GRVHRIVWXG\GUXJ
)RUVXEMHFWVZKRDUHH[FOXVLYHO\LQVDPHVH[UHODWLRQVKLSVFRQWUDFHSWLYHUHTXLUHPHQWVGR
QRWDSSO\
 8QGHUVWDQGVWKHVWXG\SURFHGXUHVLQWKH,&)DQGEHZLOOLQJDQGDEOHWRFRPSO\ZLWKWKH
SURWRFRO
 $GGLWLRQDO5HTXLUHPHQWVIRU6XEMHFWVZLWK5,
 6XEMHFWLVDQRQVPRNHURUPRGHUDWHVPRNHUFLJDUHWWHVGD\RUWKHHTXLYDOHQWDQGLV
ZLOOLQJWRFRQVXPHQRPRUHWKDQFLJDUHWWHVRUHTXLYDOHQWLQWREDFFRRU
QLFRWLQHFRQWDLQLQJSURGXFWVGXULQJWKHFRQILQHPHQWSHULRGVRIWKHVWXG\DQGUHIUDLQIURP
WKHXVHRIWREDFFRRUQLFRWLQHFRQWDLQLQJSURGXFWVIRUKRXUVSULRUWRGRVLQJDQGKRXUV
DIWHUGRVHDGPLQLVWUDWLRQ
 :LWKWKHH[FHSWLRQRIUHQDOLQVXIILFLHQF\EDVHOLQHPHGLFDOKHDOWKLVMXGJHGWREHVWDEOH
ZLWKQRFOLQLFDOO\VLJQLILFDQWPHGLFDOKLVWRU\SK\VLFDOH[DPLQDWLRQODERUDWRU\SURILOHV
/2;25(7&$3URWRFRODQG3URWRFRO$PHQGPHQWV


&21),'(17,$/
&$/2;25(7)LQDO3URWRFRO2&7

3DJH
YLWDOVLJQVRU(&*DEQRUPDOLWLHVDWVFUHHQLQJDQGDWWKHWLPHRI&KHFNLQDVGHHPHG
DFFHSWDEOHE\WKH3,RUGHVLJQHHZLWKDJUHHPHQWIURPWKH&HOHULRQ0HGLFDO0RQLWRUDQG
WKH6SRQVRU
 6XEMHFWKDVVWDEOHUHQDOGLVHDVHVWDWXVDQGIXQFWLRQDWOHDVWPRQWKSULRUWR/2;2
DGPLQLVWUDWLRQ
 6XEMHFWLVQRWFXUUHQWO\RUKDVQRWSUHYLRXVO\EHLQJRQKHPRGLDO\VLV
 %DVHOLQHH*)5EDVHGRQWKH0'5'HTXDWLRQDWVFUHHQLQJDVIROORZV
x 6HYHUH5,P/PLQP
x 0RGHUDWH5,DQGP/PLQP
x 0LOG5,DQGP/PLQP
7KH0'5'HTXDWLRQLVDVIROORZVIRUIHPDOHVPXOWLSO\UHVXOWE\LI$IULFDQ
$PHULFDQPXOWLSO\UHVXOWE\
H*)5 [6FUVWG[$JH
6FUVWGVHUXPFUHDWLQLQHPJG/PHDVXUHGZLWKDVWDQGDUGL]HGDVVD\
7KHEDVHOLQHH*)5ZLOOEHREWDLQHGE\WDNLQJWKHPHDQRIWKHH*)5REWDLQHGIURP
VFUHHQLQJDQGIURPKLVWRULFDOYDOXHVZLWKLQDPRQWKSHULRGIURPVFUHHQLQJ,IQR
KLVWRULFDOPHDVXUHPHQWLVDYDLODEOHDVHFRQGEDVHOLQHH*)5VDPSOHZLOOEHWDNHQGXULQJ
WKHVFUHHQLQJSHULRGKRXUVDSDUWDQGWKHPHDQRIWKHWZRYDOXHVZLOOEHXVHGIRU
FRKRUWDVVLJQPHQW
 8VHRISUHVFULSWLRQDQGQRQSUHVFULSWLRQPHGLFDWLRQVWKDWDUHQHHGHGWRVWDELOL]HWKH
VXEMHFW¶VXQGHUO\LQJPHGLFDOFRQGLWLRQRUFRQFXUUHQWEDVHOLQHFRQGLWLRQVDVGHHPHG
DFFHSWDEOHE\WKH3,RUGHVLJQHHZLWKDJUHHPHQWIURPWKH&HOHULRQ0HGLFDO0RQLWRUDQG
WKH6SRQVRUSURYLGLQJWKHVXEMHFWKDVEHHQRQDVWDEOHGRVHIRUDPLQLPXPRIGD\V
SULRUWRVWXG\GUXJDGPLQLVWUDWLRQ
 $GGLWLRQDO5HTXLUHPHQWVIRU+HDOWK\6XEMHFWV
 +HDOWK\DGXOWPDOHDQGIHPDOHVXEMHFWVZLOOEHPDWFKHGWRDWOHDVWRQHVSHFLILFVXEMHFW
LQWKHUHQDOO\LPSDLUHGFRKRUWVEDVHGXSRQDJH%0,DQGVH[7KHIROORZLQJFULWHULD
VKRXOGEHIXOILOOHG
x
$JHPXVWEHZLWKLQ\HDUVRIWKHPDWFKHGVXEMHFWV¶DJHLQWKHUHQDOO\LPSDLUHG
FRKRUW
x
%0,PXVWEHZLWKLQRIWKHPDWFKHGVXEMHFWV¶%0,LQWKHUHQDOO\LPSDLUHG
FRKRUW
/2;25(7&$3URWRFRODQG3URWRFRO$PHQGPHQWV


&21),'(17,$/
&$/2;25(7)LQDO3URWRFRO2&7

3DJH
 &RQWLQXRXVQRQVPRNHUZKRKDVQRWXVHGQLFRWLQHFRQWDLQLQJSURGXFWVIRUDWOHDVW
PRQWKVSULRUWRWKHILUVWGRVLQJDQGWKURXJKRXWWKHVWXG\EDVHGRQVXEMHFWVHOIUHSRUWLQJ
 %DVHOLQHH*)5P/PLQPDWVFUHHQLQJEDVHGRQWKH0'5'HTXDWLRQDV
GHVFULEHGLQ6HFWLRQ&ULWHULRQ%DVHGRQWKHGLVFUHWLRQRIWKH3,RUGHVLJQHHD
VLQJOHDVVHVVPHQWRIDFWXDOFUHDWLQLQHFOHDUDQFHHYDOXDWHGRYHUDKRXUXULQHFROOHFWLRQ
PD\EHXVHGLQSODFHRIWKH0'5'HTXDWLRQIRUKHDOWK\VXEMHFWV
 0HGLFDOO\KHDOWK\ZLWKQRFOLQLFDOO\VLJQLILFDQWPHGLFDOKLVWRU\SK\VLFDOH[DPLQDWLRQ
ODERUDWRU\SURILOHVYLWDOVLJQVRU(&*VDWVFUHHQLQJDQGDWWKHWLPHRI&KHFNLQDV
GHHPHGE\WKH3,RUGHVLJQHHDQGDVFRQILUPHGE\WKH&HOHULRQ0HGLFDO0RQLWRUDQGWKH
6SRQVRU
 ([FOXVLRQ&ULWHULD
6XEMHFWVPXVWQRWEHHQUROOHGLQWKHVWXG\LIWKH\PHHWDQ\RIWKHIROORZLQJFULWHULD
 $OO6XEMHFWV
 ,VPHQWDOO\RUOHJDOO\LQFDSDFLWDWHGRUKDVVLJQLILFDQWHPRWLRQDOSUREOHPVDWWKHWLPHRIWKH
VFUHHQLQJYLVLWRUH[SHFWHGGXULQJWKHFRQGXFWRIWKHVWXG\
 +LVWRU\RUSUHVHQFHRIFOLQLFDOO\VLJQLILFDQWPHGLFDORUSV\FKLDWULFFRQGLWLRQRUGLVHDVHLQ
WKHRSLQLRQRIWKH3,RUGHVLJQHHDQGDVFRQILUPHGE\WKH&HOHULRQ0HGLFDO0RQLWRUDQG
WKH6SRQVRU
 +LVWRU\RIDQ\LOOQHVVWKDWLQWKHRSLQLRQRIWKH3,RUGHVLJQHHDQGDVFRQILUPHGE\WKH
&HOHULRQ0HGLFDO0RQLWRUDQGWKH6SRQVRUPLJKWFRQIRXQGWKHUHVXOWVRIWKHVWXG\RU
SRVHVDQDGGLWLRQDOULVNWRWKHVXEMHFWE\WKHLUSDUWLFLSDWLRQLQWKHVWXG\
 +LVWRU\RIVWRPDFKRULQWHVWLQDOVXUJHU\RUUHVHFWLRQJDVWULWLVJDVWURLQWHVWLQDOWUDFWRU
KHSDWLFGLVRUGHURURWKHUFOLQLFDOFRQGLWLRQWKDWPLJKWDVGHHPHGE\WKH3,RUGHVLJQHH
ZLWKDJUHHPHQWIURPWKH&HOHULRQ0HGLFDO0RQLWRUDQGWKH6SRQVRUDIIHFWWKHDEVRUSWLRQ
GLVWULEXWLRQELRWUDQVIRUPDWLRQRUH[FUHWLRQRI/2;2DSSHQGHFWRP\KHUQLDUHSDLU
DQGFKROHF\VWHFWRP\ZLOOEHDOORZHGEDULDWULFVXUJHU\ZLOOQRWEHDOORZHG
 6XEMHFWKDVUHTXLUHGWUHDWPHQWIRUJDVWURLQWHVWLQDOEOHHGLQJZLWKLQPRQWKVSULRUWR
&KHFNLQ
 +LVWRU\RUSUHVHQFHRIDOFRKROLVPRUGUXJDEXVHZLWKLQWKHSDVW\HDUVSULRUWRGRVLQJ
 +LVWRU\RUSUHVHQFHRIK\SHUVHQVLWLYLW\RULGLRV\QFUDWLFUHDFWLRQWRWKHVWXG\GUXJVRU
UHODWHGFRPSRXQGVRULQDFWLYHLQJUHGLHQWV
 +LVWRU\RUSUHVHQFHRI
x OLYHUGLVHDVH
x SDQFUHDWLWLV
/2;25(7&$3URWRFRODQG3URWRFRO$PHQGPHQWV


&21),'(17,$/
&$/2;25(7)LQDO3URWRFRO2&7
3DJH
x
SHSWLFXOFHUGLVHDVH
x
LQWHVWLQDOPDODEVRUSWLRQ
x
JDVWULFUHGXFWLRQVXUJHU\
x
XQH[SODLQHGV\QFRSH
x
KLVWRU\RUSUHVHQFHRIFOLQLFDOO\VLJQLILFDQWFDUGLRYDVFXODUGLVHDVH
P
P\RFDUGLDOLQIDUFWLRQRUFHUHEURYDVFXODUWKURPERHPEROLVPZLWKLQPRQWKVSULRU
WRGRVLQJ
P
V\PSWRPDWLFDQJLQDSHFWRULVZLWKLQPRQWKVSULRUWRGRVLQJ
P
1HZ<RUN+HDUW$VVRFLDWLRQ&ODVVFRQJHVWLYHKHDUWIDLOXUHZLWKLQPRQWKV
SULRUWRGRVLQJ
P
FRQJHQLWDOSURORQJHG47V\QGURPH
P
YHQWULFXODUSUHH[FLWDWLRQV\QGURPH:ROII3DUNLQVRQ:KLWHV\QGURPH
P
DUUK\WKPLDRUKLVWRU\RIDUUK\WKPLDUHTXLULQJPHGLFDOLQWHUYHQWLRQ
P
YHQWULFXODUG\VIXQFWLRQRUULVNIDFWRUVIRU7RUVDGHVGH3RLQWHVHJKHDUWIDLOXUH
FDUGLRP\RSDWK\IDPLO\KLVWRU\RI/RQJ476\QGURPH
P
VLJQLILFDQWVFUHHQLQJ(&*DEQRUPDOLWLHV

/HIW%XQGOHEUDQFKEORFN

6HFRQGGHJUHHDWULRYHQWULFXODU$9EORFNW\SHRUWKLUGGHJUHH$9EORFN
 )HPDOHVXEMHFWVRIFKLOGEHDULQJSRWHQWLDO
 )HPDOHVXEMHFWVZLWKDSRVLWLYHSUHJQDQF\WHVWRUZKRDUHODFWDWLQJ
 6XEMHFWVZLWKDWUHVWLHVXSLQHIRUDWOHDVWPLQXWHVKHDUWUDWHORZHUWKDQESPRU
KLJKHUWKDQESPDW6FUHHQLQJ&KHFNLQDQGSULRUWRGRVLQJ2XWRIUDQJHYDOXHVWKDW
DUHQRWFOLQLFDOO\VLJQLILFDQWDVGHWHUPLQHGE\WKH3,RUGHVLJQHHPD\EHUHSHDWHGWZLFH
GXULQJ6FUHHQLQJ&KHFNLQDQGSULRUWRGRVLQJ1RWH5HFKHFNVRIKHDUWUDWHYDOXHVZLOO
EHSHUPLWWHGXSWRWLPHVWRFRQILUPHOLJLELOLW\IRUVWXG\SDUWLFLSDWLRQ6XEMHFWVPD\EH
HOLJLEOHIRUSDUWLFLSDWLRQLQWKHVWXG\EDVHGRQUHFKHFNHGKHDUWUDWHYDOXHVLIWKH\IDOO
ZLWKLQWKHUDQJHVUHIHUHQFHGDERYHDQGLIWKH3,RUGHVLJQHHZLWKDJUHHPHQWIURPWKH
&HOHULRQ0HGLFDO0RQLWRUDQGWKH6SRQVRUIHHOWKDWWKHUHVXOWVDUHQRWFOLQLFDOO\
VLJQLILFDQWEDVHGRQWKHDJHDQGUHQDOLPSDLUPHQWVWDWXVRIWKHVXEMHFWDQGZLOOQRW
LPSDFWVWXG\FRQGXFW
 3RVLWLYHUHVXOWVIRUWKHXULQHRUVDOLYDGUXJVFUHHQDW6FUHHQLQJRU&KHFNLQXQOHVVWKH
SRVLWLYHGUXJVFUHHQLVGXHWRSUHVFULSWLRQGUXJXVHWKDWLVDSSURYHGE\WKH3,RUGHVLJQHH
&HOHULRQ0HGLFDO0RQLWRUDQG6SRQVRU
 3RVLWLYHUHVXOWVIRUXULQHRUEUHDWKDOFRKROVFUHHQDW6FUHHQLQJRU&KHFNLQ
/2;25(7&$3URWRFRODQG3URWRFRO$PHQGPHQWV


&21),'(17,$/
&$/2;25(7)LQDO3URWRFRO2&7
3DJH
 3RVLWLYHUHVXOWVDWVFUHHQLQJIRUKXPDQLPPXQRGHILFLHQF\YLUXV+,9KHSDWLWLV%VXUIDFH
DQWLJHQ+%V$JRUKHSDWLWLV&YLUXV+&9
 2UDOERG\WHPSHUDWXUHDW6FUHHQLQJ&KHFNLQDQGSULRUWRGRVLQJOHVVWKDQ&RU
JUHDWHUWKDQ&
 ,VXQDEOHWRUHIUDLQIURPRUDQWLFLSDWHVWKHXVHRIDQ\PHGLFDWLRQRUVXEVWDQFHLQFOXGLQJ
SUHVFULSWLRQRURYHUWKHFRXQWHUSURWRQSXPSLQKLELWRUV33,VYLWDPLQVXSSOHPHQWV
QDWXUDORUKHUEDOVXSSOHPHQWVIURPGD\VSULRUWRGRVLQJDQGWKURXJKRXWWKHVWXG\
 ,VXQDEOHWRUHIUDLQIURPRUDQWLFLSDWHVWKHXVHRIDQ\PRGHUDWHRUVWURQJLQKLELWRURU
LQGXFHURI&<3$$RUVWURQJLQKLELWRURI3JSIURPGD\VSULRUWRGRVLQJDQG
WKURXJKRXWWKHVWXG\
 +DVEHHQRQDGLHWLQFRPSDWLEOHZLWKWKHRQVWXG\GLHWLQWKHRSLQLRQRIWKH3,RU
GHVLJQHHDQGDVFRQILUPHGE\WKH&HOHULRQ0HGLFDO0RQLWRUDQGWKH6SRQVRUZLWKLQWKH
GD\VSULRUWRGRVLQJDQGWKURXJKRXWWKHVWXG\
 'RQDWLRQRIEORRGRUVLJQLILFDQWEORRGORVVZLWKLQGD\VSULRUWRGRVLQJ
 3ODVPDRUSODWHOHWGRQDWLRQZLWKLQZHHNVSULRUWRGRVLQJ
 'RVLQJLQDQ\RWKHULQYHVWLJDWLRQDOVWXG\GUXJWULDOLQYROYLQJDGPLQLVWUDWLRQRIDQ\
LQYHVWLJDWLRQDOGUXJLQWKHSDVWGD\VRUKDOIOLYHVLINQRZQZKLFKHYHULVORQJHU
SULRUWR&KHFNLQ
 $Q\PHGLFDWLRQLQFOXGLQJRYHUWKHFRXQWHUWKDWZRXOGVLJQLILFDQWO\DOWHUH*)5ZKLFK
E\WKHGHWHUPLQDWLRQRIWKH3,RUGHVLJQHHPLJKWLQWHUIHUHZLWKWKHVWXG\HJ
FLPHWLGLQHPXVWEHGLVFRQWLQXHGDWOHDVWZHHNVSULRUWRGRVLQJDQGWKURXJKRXWWKHVWXG\
 6WUHQXRXVH[HUFLVHZLWKLQGD\VSULRUWR&KHFNLQ
 3RRUSHULSKHUDOYHQRXVDFFHVV
 +LVWRU\RIDPDMRUVXUJLFDOSURFHGXUHZLWKLQGD\VSULRUWR6FUHHQLQJ
 +LVWRU\RUSUHVHQFHXSRQFOLQLFDOHYDOXDWLRQRIDQ\LOOQHVVWKDWLQWKHRSLQLRQRIWKH
,QYHVWLJDWRUZRXOGLQWHUIHUHZLWKWKHDELOLW\WRSURYLGHLQIRUPHGFRQVHQWRUFRPSO\ZLWK
VWXG\LQVWUXFWLRQVRUWKDWPLJKWFRQIRXQGWKHLQWHUSUHWDWLRQRIWKHVWXG\UHVXOWVRUSXWWKH
VXEMHFWDWXQGXHULVN
 5HFHLSWRIEORRGSURGXFWVZLWKLQPRQWKVSULRUWR&KHFNLQ
 $GGLWLRQDO5HTXLUHPHQWVIRU6XEMHFWVZLWK5,
 +DVUDSLGO\IOXFWXDWLQJUHQDOIXQFWLRQDVGHWHUPLQHGE\KLVWRULFDOPHDVXUHPHQWVRUKDV
GHPRQVWUDWHGRUVXVSHFWHGUHQDODUWHU\VWHQRVLV5DSLGO\IOXFWXDWLQJUHQDOIXQFWLRQLV
GHILQHGDVFUHDWLQLQHFOHDUDQFHRUH*)5WKDWGLIIHUVE\PRUHWKDQZLWKLQDWOHDVW
/2;25(7&$3URWRFRODQG3URWRFRO$PHQGPHQWV


&21),'(17,$/
&$/2;25(7)LQDO3URWRFRO2&7
3DJH
PRQWKVRIWKHVFUHHQLQJFUHDWLQLQHFOHDUDQFHRUH*)5,IKLVWRULFDOPHDVXUHPHQWVDUHQRW
DYDLODEOHWKHQWKHVFUHHQLQJPHDVXUHPHQWVZLOOEHXVHGWRGHPRQVWUDWHVWDELOLW\
 6XEMHFWVZKRKDYHKDGDUHQDOWUDQVSODQWDQHSKUHFWRP\RUVXEMHFWVZLWKDNQRZQKLVWRU\
RIQHSKURWLFV\QGURPH
 6XEMHFWVZKRKDYHUHTXLUHGQHZPHGLFDWLRQIRUUHQDOGLVHDVHZLWKLQGD\VSULRUWR
&KHFNLQ
 47LQWHUYDOFRUUHFWHGIRUKHDUWUDWHXVLQJ)ULGHULFLD¶VPHWKRG47F)LV!PVHF
 6XEMHFWZLWKDWUHVWLHVXSLQHIRUDWOHDVWPLQXWHVGLDVWROLFEORRGSUHVVXUH%3RI
RU!PP+JDQGRUV\VWROLF%3RIRU!PP+JDW6FUHHQLQJ&KHFNLQDQGSULRU
WRGRVLQJ2XWRIUDQJHYDOXHVWKDWDUHQRWFOLQLFDOO\VLJQLILFDQWDVGHWHUPLQHGE\WKH3,RU
GHVLJQHHPD\EHUHSHDWHGWZLFHGXULQJ6FUHHQLQJ&KHFNLQDQGSULRUWRGRVLQJ1RWH
5HFKHFNVRI%3YDOXHVZLOOEHSHUPLWWHGXSWRWLPHVWRFRQILUPHOLJLELOLW\IRUVWXG\
SDUWLFLSDWLRQ6XEMHFWVPD\EHHOLJLEOHIRUSDUWLFLSDWLRQLQWKHVWXG\EDVHGRQUHFKHFNHG%3
YDOXHVLIWKH\IDOOZLWKLQWKHUDQJHVUHIHUHQFHGDERYHDQGWKH3,RUGHVLJQHHZLWK
DJUHHPHQWIURPWKH&HOHULRQ0HGLFDO0RQLWRUDQGWKH6SRQVRUIHHOVWKDWWKHUHVXOWVDUHQRW
FOLQLFDOO\VLJQLILFDQWEDVHGRQWKHDJHDQGUHQDOLPSDLUPHQWVWDWXVRIWKHVXEMHFWDQGZLOO
QRWLPSDFWVWXG\FRQGXFW
 $GGLWLRQDO5HTXLUHPHQWVIRU+HDOWK\6XEMHFWV
 +LVWRU\RUSUHVHQFHRIGLDEHWHVPHOOLWXV
 +LVWRU\RI/HIW%XQGOH%UDQFK%ORFN
 47LQWHUYDOFRUUHFWHGIRUKHDUWUDWHXVLQJ)ULGHULFLD¶VPHWKRG47F)LV!PVHF
 6XEMHFWVZLWKDWUHVWLHVXSLQHIRUDWOHDVWPLQXWHVGLDVWROLF%3RIRU!PP+J
DQGRUVXSLQHV\VWROLF%3RIRU!PP+JDWVFUHHQLQJ&KHFNLQDQGSULRUWR
GRVLQJ2XWRIUDQJHYDOXHVWKDWDUHQRWFOLQLFDOO\VLJQLILFDQWDVGHWHUPLQHGE\WKH3,RU
GHVLJQHHPD\EHUHSHDWHGWZLFHGXULQJVFUHHQLQJ&KHFNLQDQGSULRUWRGRVLQJ1RWH
5HFKHFNVRI%3YDOXHVZLOOEHSHUPLWWHGXSWRWLPHVWRFRQILUPHOLJLELOLW\IRUVWXG\
SDUWLFLSDWLRQ6XEMHFWVPD\EHHOLJLEOHIRUSDUWLFLSDWLRQLQWKHVWXG\EDVHGRQUHFKHFNHG%3
YDOXHVLIWKH\IDOOZLWKLQWKHUDQJHVUHIHUHQFHGDERYHDQGLIWKH3,RUGHVLJQHHZLWK
DJUHHPHQWIURPWKH&HOHULRQ0HGLFDO0RQLWRUDQGWKH6SRQVRUIHHOVWKDWWKHUHVXOWVDUHQRW
FOLQLFDOO\VLJQLILFDQWDQGZLOOQRWLPSDFWVWXG\FRQGXFW
 $Q\FOLQLFDOO\VLJQLILFDQWGHYLDWLRQVIURPQRUPDOUDQJHVLQFUHDWLQHNLQDVH&.XQOHVV
DSSURYHGE\WKH3,RUGHVLJQHHZLWKDJUHHPHQWIURPWKH&HOHULRQ0HGLFDO0RQLWRUDQG
WKH6SRQVRU
 6LJQLILFDQWKLVWRU\RUFOLQLFDOPDQLIHVWDWLRQRIDQ\PHWDEROLFDOOHUJLFGHUPDWRORJLFDO
KHSDWLFELOLDU\UHQDOKHPDWRORJLFDOSXOPRQDU\FDUGLRYDVFXODULQFOXGLQJDQ\SULRU
KLVWRU\RIFDUGLRP\RSDWK\RUFDUGLDFIDLOXUHJDVWURLQWHVWLQDOQHXURORJLFDORUSV\FKLDWULF
/2;25(7&$3URWRFRODQG3URWRFRO$PHQGPHQWV


&21),'(17,$/
&$/2;25(7)LQDO3URWRFRO2&7
3DJH
GLVRUGHUDVGHWHUPLQHGE\WKH,QYHVWLJDWRURUFDQFHUZLWKLQWKHSDVW\HDUVH[FHSW
ORFDOL]HGEDVDOFHOOVTXDPRXVRULQVLWXFDQFHURIWKHVNLQ
 +LVWRU\RIFRQJHQLWDOQRQKHPRO\WLFK\SHUELOLUXELQHPLDHJ*LOEHUW¶VV\QGURPH
 (DUO\7HUPLQDWLRQRI6XEMHFWVIURPWKH6WXG\
6XEMHFWVDUHIUHHWRZLWKGUDZIURPWKHVWXG\DWDQ\WLPHIRUDQ\UHDVRQ
,QDGGLWLRQVXEMHFWVPD\EHZLWKGUDZQIURPWKHVWXG\E\WKH3,RUGHVLJQHHIRUWKHIROORZLQJ
UHDVRQV
x
$(V
x
'LIILFXOWLHVLQEORRGFROOHFWLRQ
x
3RVLWLYHSUHJQDQF\WHVW
x
3RVLWLYHXULQHRUVDOLYDGUXJDQGSRVLWLYHXULQHRUEUHDWKDOFRKROWHVWXQOHVVWKHSRVLWLYH
GUXJVFUHHQLVGXHWRSUHVFULSWLRQGUXJXVHWKDWLVDSSURYHGE\WKH3,RUGHVLJQHHWKH
&HOHULRQ0HGLFDO0RQLWRUDQGWKH6SRQVRU
$VXEMHFWPD\EHZLWKGUDZQE\WKH3,GHVLJQHHRUWKH6SRQVRULIHLWKHUFRQVLGHUVHQUROOPHQW
RIWKHVXEMHFWLQWRWKHVWXG\LVLQDSSURSULDWHWKHVWXG\SODQLVYLRODWHGRUIRUDGPLQLVWUDWLYH
DQGRURWKHUVDIHW\UHDVRQV3URPSWQRWLILFDWLRQWRWKH6SRQVRURIZLWKGUDZDORIDQ\VXEMHFW
VKRXOGEHSURYLGHG
6XEMHFWVZKRZLWKGUDZIURPWKHVWXG\ZLOOXQGHUJRHDUO\WHUPLQDWLRQIURPWKHVWXG\
SURFHGXUHVDVRXWOLQHGLQWKH6WXG\(YHQWV)ORZ&KDUW6HFWLRQ
 6WXG\5HVWULFWLRQV
 3URKLELWLRQVDQG&RQFRPLWDQW0HGLFDWLRQ
&RQVXPSWLRQRIIRRGVDQGEHYHUDJHVFRQWDLQLQJWKHIROORZLQJVXEVWDQFHVZLOOEHSURKLELWHGDV
LQGLFDWHG
x
;DQWKLQHV&DIIHLQHKRXUVSULRUWR&KHFNLQDQGWKURXJKRXWWKHSHULRGRI3.VDPSOH
FROOHFWLRQ
x
$OFRKROKRXUVSULRUWR&KHFNLQDQGWKURXJKRXWWKHSHULRGRI3.VDPSOHFROOHFWLRQ
x
*UDSHIUXLW*UDSHIUXLW-XLFH6HYLOOHRUDQJHGD\VSULRUWR&KHFNLQDQGWKURXJKRXW
WKHSHULRGRI3.VDPSOHFROOHFWLRQ
x
&LWULFDFLGIRRGVRUEHYHUDJHVKRXUVSULRUWR&KHFNLQDQGWKURXJKRXWSHULRGRI3.
VDPSOHFROOHFWLRQ
$Q\SUHVFULSWLRQRURYHUWKHFRXQWHUPHGLFDWLRQVLQFOXGLQJSURWRQSXPSLQKLELWRUV>33,V@
PRGHUDWHRUVWURQJLQKLELWRUVRULQGXFHUVRI&<3$$RUVWURQJLQKLELWRUVRI3JSKHUEDO
SURGXFWVQDWXUDORUKHUEDOVXSSOHPHQWVZKLFKFDQQRWEHGLVFRQWLQXHGDWOHDVWGD\VSULRUWR
/2;25(7&$3URWRFRODQG3URWRFRO$PHQGPHQWV


&21),'(17,$/
&$/2;25(7)LQDO3URWRFRO2&7
3DJH
GRVLQJDQGWKURXJKRXWWKHVWXG\DUHSURKLELWHGXQOHVVDOORZHGE\WKH3,RUGHVLJQHHZLWK
DJUHHPHQWIURPWKH&HOHULRQ0HGLFDO0RQLWRUDQGWKH6SRQVRUDVGHVFULEHGEHORZ
$OOSUHVFULSWLRQRUQRQSUHVFULSWLRQPHGLFDWLRQVWKDWDUHPRGHUDWHRUVWURQJLQKLELWRUVRU
LQGXFHUVRI&<3$DQG&<3$RUVWURQJ3JSLQKLELWRUVZLOOEHSURKLELWHGIRUDWOHDVW
GD\VSULRUWRGRVLQJDQGWKURXJKRXWWKHVWXG\:HDN&<3LQKLELWRUVRULQGXFHUVPD\EH
GHHPHGDFFHSWDEOHIROORZLQJFRQVXOWDWLRQZLWKWKH6SRQVRU&HOHULRQ0HGLFDO0RQLWRUDQG
WKH3,
$Q\PHGLFDWLRQLQFOXGLQJRYHUWKHFRXQWHUWKDWZRXOGVLJQLILFDQWO\DOWHUH*)5ZKLFKE\
WKHGHWHUPLQDWLRQRIWKH3,RUGHVLJQHH&HOHULRQ0HGLFDO0RQLWRURU6SRQVRUPLJKW
LQWHUIHUHZLWKWKHVWXG\HJFLPHWLGLQHPXVWEHGLVFRQWLQXHGDWOHDVWGD\VSULRUWRGRVLQJ
DQGWKURXJKRXWWKHVWXG\
'XULQJWKHFRXUVHRIWKHVWXG\DQ\FRQFXUUHQWPHGLFDWLRQLQFOXGLQJERWKSUHVFULSWLRQDQG
QRQSUHVFULSWLRQGUXJVPXVWILUVWEHGLVFXVVHGZLWKWKH3,RUGHVLJQHH&HOHULRQ0HGLFDO
0RQLWRUDQGRU6SRQVRUSULRUWRGRVLQJXQOHVVDSSURSULDWHPHGLFDOFDUHQHFHVVLWDWHVWKDW
WKHUDS\VKRXOGEHJLQEHIRUHWKH3,RUGHVLJQHH&HOHULRQ0HGLFDO0RQLWRUDQGRU6SRQVRU
FDQEHFRQVXOWHG)ROORZLQJVWXG\GUXJDGPLQLVWUDWLRQDFHWDPLQRSKHQXSWRJSHUKRXUV
PD\EHDGPLQLVWHUHGDWWKHGLVFUHWLRQRIWKH3,RUGHVLJQHH
$SSURSULDWHVRXUFHVZLOOEHFRQVXOWHGE\WKH3,RUGHVLJQHHWRFRQILUPODFNRI
3.SKDUPDFRG\QDPLFLQWHUDFWLRQZLWKWKHVWXG\GUXJ
,IGHYLDWLRQVRFFXUWKH3,RUGHVLJQHHLQFRQVXOWDWLRQZLWKWKH&HOHULRQ0HGLFDO0RQLWRUDQG
WKH6SRQVRULIQHHGHGZLOOGHFLGHRQDFDVHE\FDVHEDVLVZKHWKHUWKHVXEMHFWPD\FRQWLQXH
SDUWLFLSDWLRQLQWKHVWXG\
$OOPHGLFDWLRQVLQFOXGLQJYLWDPLQVDQGKHUEDOVXSSOHPHQWVWDNHQE\VXEMHFWVGXULQJWKH
FRXUVHRIWKHVWXG\ZLOOEHUHFRUGHG
$GGLWLRQDO5HVWULFWLRQVIRU5HQDO,PSDLUHG6XEMHFWV
6XEMHFWVZKRDUHWDNLQJFHUWDLQSUHVFULSWLRQPHGLFDWLRQVWRWUHDWPDQLIHVWDWLRQVRIUHQDO
GLVHDVHRUPHGLFDWLRQVQHHGHGWRWUHDWVWDEOHGLVHDVHVHJDQJLRWHQVLQFRQYHUWLQJHQ]\PH
LQKLELWRUVDQJLRWHQVLQ,,UHFHSWRUDQWDJRQLVWVEHWDEORFNHUVGLXUHWLFVPD\EHDOORZHGWR
SDUWLFLSDWHLQWKHVWXG\DWWKHGLVFUHWLRQRIWKH3,RUGHVLJQHHDQGIROORZLQJFRQVXOWDWLRQZLWK
WKH&HOHULRQ0HGLFDO0RQLWRUDQGWKH6SRQVRUDQGSURYLGHGWKH\KDYHEHHQRQDVWDEOH
UHJLPHQIRUDWOHDVWGD\VSULRUWRGRVLQJDQGDUHDEOHWRZLWKKROGXVHIRUKRXUVSUHGRVH
DQGKRXUVSRVWGRVHRQWKHGD\RIGRVHDGPLQLVWUDWLRQ'D\3KRVSKDWHELQGHUVFRQWDLQLQJ
DOXPLQXPFDOFLXPRUODQWKDQXPVDOWVLURQVXSSOHPHQWVRURWKHUPHWDOFDWLRQV+UHFHSWRU
DQWDJRQLVWV+5$V>H[FHSWFLPHWLGLQH@RUPXOWLYLWDPLQVFRQWDLQLQJLURQRU]LQFPXVWEH
ZLWKKHOGDWOHDVWKRXUVSULRUWRGRVLQJDQGDWOHDVWKRXUVSRVWGRVH
/2;25(7&$3URWRFRODQG3URWRFRO$PHQGPHQWV


&21),'(17,$/
&$/2;25(7)LQDO3URWRFRO2&7

3DJH
 0HDOV
6XEMHFWVZLOOIDVWIURPIRRGQRWLQFOXGLQJZDWHUIRUDWOHDVWKRXUVSULRUWRVWXG\GUXJ
DGPLQLVWUDWLRQDQGZLOOFRQWLQXHWRIDVWIURPIRRGQRWLQFOXGLQJZDWHUIRUDWOHDVWKRXU
SRVWGRVH
:KHQFRQILQHGVWDQGDUGPHDOVDQGVQDFNVZLOOEHSURYLGHGDWDSSURSULDWHWLPHVH[FHSWZKHQ
WKH\DUHUHTXLUHGWRIDVW:KHQFRQILQHGLQWKH&58VXEMHFWVZLOOEHUHTXLUHGWRIDVWIURPDOO
IRRGDQGGULQNH[FHSWZDWHUEHWZHHQPHDOVDQGVQDFNV
(DFKPHDODQGRUVQDFNVVHUYHGDWWKH&58ZLOOEHVWDQGDUGL]HGDQGZLOOEHVLPLODULQFDORULF
FRQWHQWDQGFRPSRVLWLRQ
 $FWLYLW\
6XEMHFWVZLOOUHPDLQDPEXODWRU\RUVHDWHGXSULJKWIRUWKHILUVWKRXUVSRVWGRVHH[FHSWZKHQ
WKH\DUHVXSLQHRUVHPLUHFOLQHGIRUVWXG\SURFHGXUHV
+RZHYHUVKRXOG$(VRFFXUDWDQ\WLPHVXEMHFWVPD\EHSODFHGLQDQDSSURSULDWHSRVLWLRQRU
ZLOOEHSHUPLWWHGWROLHGRZQRQWKHLUULJKWVLGH
6XEMHFWVZLOOEHLQVWUXFWHGWRUHIUDLQIURPVWUHQXRXVSK\VLFDODFWLYLW\ZKLFKFRXOGFDXVH
PXVFOHDFKHVRULQMXU\LQFOXGLQJFRQWDFWVSRUWVDWDQ\WLPHIURPGD\VSULRUWR&KHFNLQXQWLO
FRPSOHWLRQRIWKHVWXG\
6SHFLILFPHDVXUHVZLOOEHWDNHQWRSUHYHQWWKHVXEMHFWIURPPLVVLQJDXULQHFROOHFWLRQE\
VWULFWO\FRQWUROOLQJDQGSURYLGLQJDFFHVVWRGHVLJQDWHGUHVWURRPVRQO\6XEMHFWVZLOOEHDVNHG
WRYRLGSULRUWRHQWHULQJWKHVKRZHU
6XEMHFWVZLWK5,PXVWEHZLOOLQJWRFRQVXPHQRPRUHWKDQFLJDUHWWHVRUHTXLYDOHQWGD\IURP
WKHWLPHRI6FUHHQLQJXQWLOHQGRIVWXG\'HSHQGLQJRQWKH&58UXOHVDQGUHJXODWLRQVVXEMHFWV
PD\EHSURKLELWHGIURPVPRNLQJGXULQJWKHLUFRQILQHPHQWRUGXULQJSRUWLRQVRIWKHLU
FRQILQHPHQW+HDOWK\PDWFKHGFRQWUROVXEMHFWVZLOOQRWEHSHUPLWWHGWRVPRNHRULQJHVW
QLFRWLQHFRQWDLQLQJSURGXFWV



/2;25(7&$3URWRFRODQG3URWRFRO$PHQGPHQWV


&21),'(17,$/
&$/2;25(7)LQDO3URWRFRO2&7
3DJH
 75($70(176
 7UHDWPHQWV$GPLQLVWHUHG
/2;2ZLOOEHVXSSOLHGDVPJFDSVXOHV
6XEMHFWVZLOOUHFHLYHDVLQJOHRUDOGRVHRIPJ/2;2[PJFDSVXOHVRQ'D\
IROORZLQJDIDVWIURPIRRGRIDWOHDVWKRXUVQRWLQFOXGLQJZDWHUZLWKDSSUR[LPDWHO\
P/RIZDWHUIROORZHGE\DIDVWIURPIRRGQRWLQFOXGLQJZDWHUIRUDWOHDVWKRXU
SRVWGRVH
6XEMHFWVZLOOEHLQVWUXFWHGQRWWRFUXVKVSOLWRUFKHZ/2;2
7KHSKDUPDF\DWWKH&58ZLOOSURYLGHHDFKGRVHLQLQGLYLGXDOXQLWGRVHFRQWDLQHUVIRUHDFK
VXEMHFW
7KHH[DFWFORFNWLPHRIGRVLQJZLOOEHUHFRUGHG
 'RVH0RGLILFDWLRQ
7KHGRVHDQGDGPLQLVWUDWLRQRIWKHVWXG\GUXJVWRDQ\VXEMHFWPD\QRWEHPRGLILHG,I
QHFHVVDU\DVXEMHFWPXVWEHGLVFRQWLQXHGIRUWKHUHDVRQVGHVFULEHGLQ6HFWLRQ
 0HWKRGRI7UHDWPHQW$VVLJQPHQW
(DFKVXEMHFWZLOOEHDVVLJQHGDXQLTXHLGHQWLILFDWLRQQXPEHUXSRQVFUHHQLQJ6XEMHFWVZKR
FRPSOHWHWKHVWXG\VFUHHQLQJDVVHVVPHQWVDQGPHHWDOOWKHHOLJLELOLW\FULWHULDZLOOEHDVVLJQHGD
XQLTXHLGHQWLILFDWLRQQXPEHUDWWKHWLPHRIWKHGRVLQJGLIIHUHQWIURPWKHVFUHHQLQJQXPEHU
DQGZLOOUHFHLYHWKHFRUUHVSRQGLQJSURGXFW
6XEMHFWVZLOOUHFHLYH/2;2RQRQHRFFDVLRQ
6XEMHFWVPD\EHUHSODFHGDWWKHGLVFUHWLRQRIWKH6SRQVRU
6XEMHFWQXPEHULQJZLOOFRQVLVWRIFKDUDFWHUVLH;;;;;;ZKHUHWKHILUVWGLJLWVDUHWKH
VLWHQXPEHUDQGWKHODVWGLJLWVDUHWKHVXEMHFWQXPEHU6XEMHFWQXPEHUVZLOOEHLGHQWLILHGE\
FRKRUWHJVXEMHFWQXPEHULQJZLOOEHDVIROORZVIRUVLWH
&RKRUW0DWFKHGFRQWUROKHDOWK\VXEMHFWV
&RKRUW6XEMHFWVZLWKPLOG5,
&RKRUW6XEMHFWVZLWKPRGHUDWH5,
&RKRUW6XEMHFWVZLWKVHYHUH5,
,IUHSODFHPHQWVXEMHFWVDUHXVHGWKHODVWWKUHHGLJLWVRIWKHUHSODFHPHQWVXEMHFWQXPEHUZLOOEH
PRUHWKDQWKHRULJLQDOHJLIDKHDOWK\VXEMHFWLVHQUROOHGLQ6LWHDQGLVUHSODFHGLQ
6LWHWKHQ6XEMHFW1R
ZLOOUHSODFH6XEMHFW1R
LIDVXEMHFWZLWKPLOG5,
LVHQUROOHGDW6LWHDQGUHSODFHGDW6LWHWKHQ6XEMHFW1R
ZLOOUHSODFH6XEMHFW
1R
/2;25(7&$3URWRFRODQG3URWRFRO$PHQGPHQWV

&&,
&&,
&&,
&&,
&&,
&&,
&&,
&&,

&21),'(17,$/
&$/2;25(7)LQDO3URWRFRO2&7

3DJH
 %OLQGLQJ
7KLVLVDQRSHQODEHOVWXG\
 7UHDWPHQW&RPSOLDQFH
$TXDOLILHGGHVLJQHHZLOOEHUHVSRQVLEOHIRUPRQLWRULQJWKHDGPLQLVWUDWLRQRIWKHWLPHGRUDO
GRVHVRI/2;2$PRXWKFKHFNZLOOEHSHUIRUPHGE\WKHTXDOLILHGGHVLJQHHWRHQVXUHWKDW
WKHVXEMHFWVKDYHVZDOORZHGWKHVWXG\GUXJ2QFHDVXEMHFWKDVILQLVKHGWKHGRVLQJZDWHUWKH
TXDOLILHGGHVLJQHHZLOOXVHDIODVKOLJKWDQGDWRQJXHGHSUHVVRUWRFKHFNWKHVXEMHFW¶VPRXWK
6XEMHFWV¶KDQGVZLOODOVREHYHULILHGWRHQVXUHWKDWWKHVWXG\GUXJZDVLQJHVWHG
/2;25(7&$3URWRFRODQG3URWRFRO$PHQGPHQWV


&21),'(17,$/
&$/2;25(7)LQDO3URWRFRO2&7

3DJH
 678'<$66(660(176$1'352&('85(6
7KH6WXG\(YHQWV)ORZ&KDUW6HFWLRQVXPPDUL]HVWKHFOLQLFDOSURFHGXUHVWREHSHUIRUPHG
DWHDFKYLVLW,QGLYLGXDOFOLQLFDOSURFHGXUHVDUHGHVFULEHGLQGHWDLOEHORZ$GGLWLRQDO
HYDOXDWLRQVWHVWLQJPD\EHGHHPHGQHFHVVDU\E\WKH3,RUGHVLJQHHDQGRUWKH6SRQVRUIRU
UHDVRQVUHODWHGWRVXEMHFWVDIHW\
)RUWKLVVWXG\WKHEORRGFROOHFWLRQIRU/2;2LVWKHFULWLFDOSDUDPHWHUDQGQHHGVWREH
FROOHFWHGDVFORVHWRWKHH[DFWWLPHSRLQWDVSRVVLEOH$OORWKHUSURFHGXUHVVKRXOGEHFRPSOHWHG
DVFORVHWRWKHSUHVFULEHGVFKHGXOHGWLPHDVSRVVLEOHEXWFDQEHSHUIRUPHGSULRURUDIWHUWKH
SUHVFULEHGVFKHGXOHGWLPH
$Q\QRQVFKHGXOHGSURFHGXUHVUHTXLUHGIRUXUJHQWHYDOXDWLRQRIVDIHW\FRQFHUQVWDNH
SUHFHGHQFHRYHUDOOURXWLQHVFKHGXOHGSURFHGXUHV
 6FUHHQLQJ
:LWKLQGD\VSULRUWRWKHILUVWGRVLQJPHGLFDOKLVWRU\DQGGHPRJUDSKLFGDWDLQFOXGLQJ
QDPHVH[DJHUDFHHWKQLFLW\ERG\ZHLJKWNJKHLJKWFP%0,NJPDQGKLVWRU\RI
WREDFFRXVHZLOOEHUHSRUWHG(DFKVXEMHFWZLOOKDYHDSK\VLFDOH[DPLQDWLRQYLWDOVLJQ
PHDVXUHPHQWVKHDUWUDWHEORRGSUHVVXUHWHPSHUDWXUHDQGUHVSLUDWRU\UDWHOHDG(&*DQG
WKHODERUDWRU\WHVWVRIKHPDWRORJLFDOKHSDWLFDQGUHQDOIXQFWLRQDQGDGGLWLRQDOWHVWVDVQRWHGLQ
6HFWLRQ
 6DIHW\$VVHVVPHQWV
 3K\VLFDO([DPLQDWLRQ
)XOOSK\VLFDOH[DPLQDWLRQVZLOOEHSHUIRUPHGDVRXWOLQHGLQWKH6WXG\(YHQWV)ORZ&KDUW
6HFWLRQ6\PSWRPGULYHQSK\VLFDOH[DPLQDWLRQVPD\EHSHUIRUPHGDWRWKHUWLPHVLI
GHHPHGQHFHVVDU\E\WKH3,RUGHVLJQHH
 9LWDO6LJQV
6LQJOHPHDVXUHPHQWVRIERG\WHPSHUDWXUHUHVSLUDWRU\UDWHEORRGSUHVVXUHDQGKHDUWUDWHZLOO
EHPHDVXUHGDVRXWOLQHGLQWKH6WXG\(YHQWV)ORZ&KDUW6HFWLRQ$GGLWLRQDOYLWDOVLJQVPD\
EHWDNHQDWDQ\RWKHUWLPHVLIGHHPHGQHFHVVDU\
%ORRGSUHVVXUHKHDUWUDWHDQGUHVSLUDWRU\UDWHPHDVXUHPHQWVZLOOEHSHUIRUPHGZLWKVXEMHFWV
LQDVXSLQHSRVLWLRQDWOHDVWPLQXWHVH[FHSWZKHQWKH\DUHVXSLQHRUVHPLUHFOLQHGEHFDXVH
RIVWXG\SURFHGXUHVDQGRU$(VHJQDXVHDGL]]LQHVVRULIGHHPHGQHFHVVDU\E\WKH3,RU
GHVLJQHH
%ORRGSUHVVXUHKHDUWUDWHDQGUHVSLUDWRU\UDWHZLOOEHPHDVXUHGRQ'D\DQGZLWKLQKRXUV
SULRUWR'D\GRVLQJIRUWKHSUHGRVHWLPHSRLQW:KHQVFKHGXOHGSRVWGRVHYLWDOVLJQVZLOOEH
SHUIRUPHGZLWKLQDSSUR[LPDWHO\PLQXWHVRIWKHVFKHGXOHGWLPHSRLQW
/2;25(7&$3URWRFRODQG3URWRFRO$PHQGPHQWV


&21),'(17,$/
&$/2;25(7)LQDO3URWRFRO2&7

3DJH
 (&*0RQLWRULQJ
6LQJOHOHDG(&*VZLOOEHSHUIRUPHGDVRXWOLQHGLQWKH6WXG\(YHQWV)ORZ&KDUW6HFWLRQ
$GGLWLRQDO(&*VPD\EHWDNHQDWDQ\RWKHUWLPHVLIGHHPHGQHFHVVDU\E\WKH3,RUGHVLJQHH
(&*VZLOOEHSHUIRUPHGZLWKVXEMHFWVLQDVXSLQHSRVLWLRQDWOHDVWPLQXWHV$OO(&*
WUDFLQJVZLOOEHUHYLHZHGE\WKH3,RUGHVLJQHH
(&*VZLOOEHPHDVXUHGZLWKLQKRXUVSULRUWR'D\GRVLQJ:KHQVFKHGXOHGSRVWGRVH
(&*VZLOOEHSHUIRUPHGZLWKLQDSSUR[LPDWHO\PLQXWHVRIWKHVFKHGXOHGWLPHSRLQW
 %RG\:HLJKW
%RG\ZHLJKWNJZLOOEHUHSRUWHGDVRXWOLQHGLQWKH6WXG\(YHQWV)ORZ&KDUW6HFWLRQ
 &OLQLFDO/DERUDWRU\7HVWV
$OOWHVWVOLVWHGEHORZZLOOEHSHUIRUPHGDVRXWOLQHGLQWKH6WXG\(YHQWV)ORZ&KDUW6HFWLRQ
,QDGGLWLRQODERUDWRU\VDIHW\WHVWVPD\EHSHUIRUPHGDWYDULRXVXQVFKHGXOHGWLPHSRLQWVLI
GHHPHGQHFHVVDU\E\WKH3,RUGHVLJQHH
+HPDWRORJ\

6HUXP&KHPLVWU\
x
+HPRJORELQ
x
+HPDWRFULW
x
7RWDODQGGLIIHUHQWLDOOHXNRF\WHFRXQW
x
5HGEORRGFHOOFRXQW
x
3ODWHOHWFRXQW


&RDJXODWLRQ
x
3URWKURPELQ7LPH,QWHUQDWLRQDO
QRUPDOL]HGUDWLR
x
$FWLYDWHGSDUWLDOWKURPERSODVWLQWLPH


x
%ORRG8UHD1LWURJHQ
x
%LOLUXELQWRWDODQGGLUHFW
x
$/3
x
$67
x
$/7
x
$OEXPLQ
x
6RGLXP
x
3RWDVVLXP
x
0DJQHVLXP
x
&KORULGH
x
*OXFRVHIDVWLQJ
x
&UHDWLQHNLQDVH
x
&UHDWLQLQH
x
&KROHVWHURO
x
7ULJO\FHULGHV
x
3KRVSKRUXV
x
&UHDWLQHNLQDVH
x
$P\ODVH
x
/LSDVH

8ULQDO\VLV

$GGLWLRQDO7HVWV
x
S+
x
6SHFLILFJUDYLW\
x
3URWHLQ
x
*OXFRVH
x
.HWRQHV
x
%LOLUXELQ
x
%ORRG
x
1LWULWH
x
8URELOLQRJHQ
x
/HXNRF\WHHVWHUDVH

x
+,9WHVW
x
+%V$J
x
+&9
x
+E$F
x
8ULQHGUXJVFUHHQ
¾
2SLDWHV
¾
2SLRLGV
PHWKDGRQH
R[\FRGRQH
DQG
IHQWDQ\O
¾
$PSKHWDPLQHV
¾
%DUELWXUDWHV
¾
%HQ]RGLD]HSLQHV
¾
&RFDLQH
/2;25(7&$3URWRFRODQG3URWRFRO$PHQGPHQWV


&21),'(17,$/
&$/2;25(7)LQDO3URWRFRO2&7

3DJH
¾
&DQQDELQRLGV
x
8ULQHDOFRKROVFUHHQ
x
6HUXPSUHJQDQF\WHVW
IRUIHPDOHVRQO\
x
)6+IRUSRVWPHQRSDXVDOIHPDOHVRQO\
x
7K\URLGVWLPXODWLQJKRUPRQH


6DPSOHVIRUVHUXPFKHPLVWU\ZLOOEHREWDLQHGIROORZLQJDIDVWRIDWOHDVWKRXUVDWVFUHHQLQJDQGDW
&KHFNLQDWRWKHUVFKHGXOHGWLPHVVHUXPFKHPLVWU\WHVWVZLOOEHSHUIRUPHGDIWHUDWOHDVWDQKRXU
IDVW+RZHYHULQFDVHRIGURSRXWVRUUHFKHFNVVXEMHFWVPD\QRWKDYHIDVWHGIRURUKRXUVSULRU
WRWKHWLPHWKDWWKHVHUXPFKHPLVWU\VDPSOHLVWDNHQ

%DVHOLQHH*)5ZLOOEHREWDLQHGE\WDNLQJWKHPHDQRIWKHH*)5REWDLQHGIURPVFUHHQLQJDQGIURP
KLVWRULFDOYDOXHVZLWKLQDPRQWKSHULRGIURPVFUHHQLQJ,IQRKLVWRULFDOPHDVXUHPHQWLVDYDLODEOHD
VHFRQGEDVHOLQHH*)5VDPSOH ZLOOEHWDNHQGXULQJWKHVFUHHQLQJSHULRGKRXUVDSDUWDQGWKH
PHDQRIWKHWZRYDOXHVZLOOEHXVHGIRUFRKRUWDVVLJQPHQWWKHVHFRQGEDVHOLQHH*)5VDPSOHPD\
EHREWDLQHGDWWKHWLPHRI&KHFNLQ)RUKHDOWK\VXEMHFWVDVLQJOHDVVHVVPHQWRIDFWXDOFUHDWLQLQH
FOHDUDQFHFRPSXWHGRYHUDKRXUXULQHFROOHFWLRQPD\EHXVHGLQSODFHRIWKH0'5'HTXDWLRQDW
WKH3,¶VGLVFUHWLRQ

)RUVXEMHFWVZKRDUHDQXULFXULQHVDPSOHVIRUXULQDO\VLVZLOOQRWEHFROOHFWHG

 ,I XULQDO\VLV LV SRVLWLYH IRU SURWHLQ EORRG QLWULWH DQGRU OHXNRF\WH HVWHUDVH D PLFURVFRSLF
H[DPLQDWLRQ IRU UHG EORRG FHOOV ZKLWH EORRG FHOOV EDFWHULD FDVWV DQG HSLWKHOLDO FHOOV ZLOO EH
SHUIRUPHG
3HUIRUPHGDWVFUHHQLQJRQO\
 $GYHUVH(YHQWV

$GYHUVH(YHQW'HILQLWLRQ
$Q$(PHDQVDQ\XQWRZDUGPHGLFDORFFXUUHQFHDVVRFLDWHGZLWKWKHXVHRIDGUXJLQKXPDQV
ZKHWKHURUQRWFRQVLGHUHGGUXJUHODWHG
$VXVSHFWHGDGYHUVHUHDFWLRQPHDQVDQ\$(IRUZKLFKWKHUHLVDUHDVRQDEOHSRVVLELOLW\WKDWWKH
GUXJFDXVHGWKH$(5HDVRQDEOHSRVVLELOLW\PHDQVWKHUHLVHYLGHQFHWRVXJJHVWDFDXVDO
UHODWLRQVKLSEHWZHHQWKHGUXJDQGWKH$(
$Q$(FDQWKHUHIRUHEHDQ\XQIDYRUDEOHDQGXQLQWHQGHGVLJQLQFOXGLQJDQDEQRUPDO
ODERUDWRU\ILQGLQJV\PSWRPRUGLVHDVHWHPSRUDOO\DVVRFLDWHGZLWKWKHXVHRIDPHGLFLQDO
LQYHVWLJDWLRQDOSURGXFWZKHWKHURUQRWUHODWHGWRWKHPHGLFLQDOLQYHVWLJDWLRQDOSURGXFW

0RQLWRULQJ
6XEMHFWVZLOOEHPRQLWRUHGIURPVFUHHQLQJVLJQLQJRILQIRUPHGFRQVHQWDQGWKURXJKRXWWKH
VWXG\IRUDGYHUVHUHDFWLRQVWRWKHVWXG\GUXJVDQGRUSURFHGXUHV3ULRUWRUHOHDVHVXEMHFWVZLOO
EHDVNHGKRZWKH\DUHIHHOLQJ$WWKHIROORZXSVXEMHFWVZLOOEHTXHULHGZLWKDQRSHQHQGHG
TXHVWLRQVXFKDVµ+RZKDYH\RXEHHQIHHOLQJVLQFH\RXUODVWYLVLW"¶$(VZKHWKHUVHULRXVRU
QRQVHULRXVLQFOXGLQJDEQRUPDOODERUDWRU\WHVWYDOXHVDEQRUPDOYLWDOVLJQVDQG(&*
DEQRUPDOLWLHVGHHPHGFOLQLFDOO\VLJQLILFDQWE\WKH3,RUGHVLJQHHZLOOEHHYDOXDWHGE\WKH3,RU
GHVLJQHHDQGWUHDWHGDQGRUIROORZHGXSXQWLOWKHV\PSWRPVRUYDOXHVUHWXUQWRQRUPDORU
DFFHSWDEOHOHYHOVDVMXGJHGE\WKH3,RUGHVLJQHHDQGFRQILUPHGE\WKH6SRQVRU
7UHDWPHQWRIVHULRXVDGYHUVHHYHQWV6$(VZLOOEHSHUIRUPHGE\DSK\VLFLDQHLWKHUDWWKH
FOLQLFDOVLWHRUDWDQHDUE\KRVSLWDOHPHUJHQF\URRP:KHUHDSSURSULDWHPHGLFDOWHVWVDQGRU
/2;25(7&$3URWRFRODQG3URWRFRO$PHQGPHQWV


&21),'(17,$/
&$/2;25(7)LQDO3URWRFRO2&7

3DJH
H[DPLQDWLRQVZLOOEHSHUIRUPHGWRGRFXPHQWUHVROXWLRQRIHYHQWV2XWFRPHPD\EH
FODVVLILHGDVUHVROYHGLPSURYHGXQFKDQJHGZRUVHIDWDORUXQNQRZQORVWWRIROORZXS

5HSRUWLQJ
$OO$(VZLOOEHUHFRUGHGWKURXJKRXWWKHVWXG\LHIURPVLJQLQJRIWKH,&)XQWLOVWXG\
FRPSOHWLRQHLWKHUDVVXEMHFWPHGLFDOKLVWRU\LIWKHHYHQWLVUHSRUWHGDVRFFXUULQJSULRUWR
VLJQLQJRIWKH,&)RUDV$(VLIWKHHYHQWLVUHODWHGWRVWXG\SURFHGXUHVDQGRFFXUVDIWHU
VLJQLQJRIWKH,&)$OO6$(VWKDWGHYHORSIURPWKHWLPHRI,&)VLJQLQJXQWLOVWXG\FRPSOHWLRQ
DUHWREHUHSRUWHG)ROORZLQJFOLQLFGLVFKDUJHRQO\$(VRU6$(VDVVHVVHGDVUHODWHGWRWKH
VWXG\GUXJVKRXOGEHUHSRUWHG
8QOHVVDVXEMHFWZLWKGUDZVFRQVHQWIRUIROORZXSDOOVXEMHFWVPXVWEHIROORZHGXQWLOFOLQLF
GLVFKDUJHRUZKHQDQ\RQJRLQJGUXJUHODWHG$(VDQGRU6$(VKDYHUHVROYHGRUEHFRPHVWDEOH
7KH3,RUGHVLJQHHVKRXOGXVHDSSURSULDWHMXGJPHQWLQRUGHULQJDGGLWLRQDOWHVWVDVQHFHVVDU\
WRPRQLWRUWKHUHVROXWLRQRIHYHQWV7KH6SRQVRUPD\UHTXHVWWKDWFHUWDLQ$(VEHIROORZHG
ORQJHUDQGRUDGGLWLRQDOVDIHW\WHVWVEHSHUIRUPHG
7KH3,RUGHVLJQHHZLOOUHYLHZHDFKHYHQWDQGDVVHVVLWVUHODWLRQVKLSWRGUXJWUHDWPHQW\HV
>UHODWHG@RUQR>XQUHODWHG@(DFKVLJQRUV\PSWRPUHSRUWHGZLOOEHJUDGHGRQWKH1DWLRQDO
&DQFHU,QVWLWXWH1&,&RPPRQ7HUPLQRORJ\&ULWHULDIRU$GYHUVH(YHQWV&7&$(YHUVLRQ
WR[LFLW\JUDGLQJVFDOH
*UDGHUHIHUVWRWKHVHYHULW\RIWKH$(7KH&7&$(GLVSOD\V*UDGHVWKURXJKZLWKXQLTXH
FOLQLFDOGHVFULSWLRQVRIVHYHULW\IRUHDFK$(EDVHGRQWKHIROORZLQJJHQHUDOJXLGHOLQH1&,
&7&$(1RY
*UDGH
0LOGDV\PSWRPDWLFRUPLOGV\PSWRPVFOLQLFDORUGLDJQRVWLFREVHUYDWLRQV
RQO\LQWHUYHQWLRQQRWLQGLFDWHG
*UDGH
0RGHUDWHPLQLPDOORFDORUQRQLQYDVLYHLQWHUYHQWLRQLQGLFDWHGOLPLWLQJ
DJHDSSURSULDWHLQVWUXPHQWDO$'/
*UDGH
6HYHUHRUPHGLFDOO\VLJQLILFDQWEXWQRWLPPHGLDWHO\OLIHWKUHDWHQLQJ
KRVSLWDOL]DWLRQRUSURORQJDWLRQRIKRVSLWDOL]DWLRQLQGLFDWHGGLVDEOLQJ
OLPLWLQJVHOIFDUH$'/
*UDGH
/LIHWKUHDWHQLQJFRQVHTXHQFHVXUJHQWLQWHUYHQWLRQLQGLFDWHG
*UDGH
'HDWKUHODWHGWR$(
$6HPLFRORQLQGLFDWHVµRU¶ZLWKLQWKHGHVFULSWLRQRIWKHJUDGH
1RWH1RWDOOJUDGHVDUHDSSURSULDWHIRUDOO$(V7KHUHIRUHVRPH$(VDUHOLVWHGZLWKLQWKH&7&$(ZLWKIHZHUWKDQRSWLRQV
IRUJUDGHVHOHFWLRQ*UDGHGHDWKLVQRWDSSURSULDWHIRUVRPH$(VDQGWKHUHIRUHLVQRWDQRSWLRQ
$'/ $FWLYLWLHVRI'DLO\/LYLQJ
,QVWUXPHQWDO$'/UHIHUWRSUHSDULQJPHDOVVKRSSLQJIRUJURFHULHVRUFORWKHVXVLQJWKHWHOHSKRQHPDQDJLQJPRQH\HWF
 6HOI FDUH $'/ UHIHU WR EDWKLQJ GUHVVLQJ DQG XQGUHVVLQJ IHHGLQJ VHOI XVLQJ WKH WRLOHW WDNLQJ PHGLFDWLRQV DQG QRW
EHGULGGHQ
/2;25(7&$3URWRFRODQG3URWRFRO$PHQGPHQWV


&21),'(17,$/
&$/2;25(7)LQDO3URWRFRO2&7

3DJH

6HULRXV$GYHUVH(YHQW
,IDQ\$(VDUHVHULRXVDVGHILQHGE\WKH)'$&RGHRI)HGHUDO5HJXODWLRQV&)57LWOH
VSHFLDOSURFHGXUHVZLOOEHIROORZHG$OO6$(VZLOOEHUHSRUWHGWRWKH6SRQVRURUGHVLJQHHYLD
ID[ RU HPDLO ZLWKLQ  KRXUV RI ILUVW DZDUHQHVV RI WKH HYHQW ZKHWKHU RU QRW WKH VHULRXV
HYHQWVDUHGHHPHGGUXJUHODWHG$OOVHULRXVHYHQWUHSRUWLQJZLOODGKHUHWR&)5IRU
,QYHVWLJDWLRQDO1HZ'UXJV,1'DQGWRWKH*XLGDQFHIRU,QGXVWU\DQG,QYHVWLJDWRUV6DIHW\
5HSRUWLQJ5HTXLUHPHQWVIRU,1'VDQG%$%(GDWHG'HFHPEHU$Q\HYHQWWKDWPHHWVWKH
FULWHULDRIDVXVSHFWHGXQH[SHFWHGVHULRXVDGYHUVHUHDFWLRQ686$5ZLOOEHUHSRUWHGWRWKH
,5%,(& DFFRUGLQJ WR VLWH&58 SROLF\ E\ WKH ,QYHVWLJDWRU RU GHVLJQHH DQG WR UHJXODWRU\
DXWKRULWLHV E\ WKH 6SRQVRU RU 6SRQVRU GHVLJQHH DFFRUGLQJ WR UHJXODWRU\ DXWKRULW\
UHTXLUHPHQWV 5HIHU WR 5HIHUHQFH 6DIHW\ ,QIRUPDWLRQ 56, LQ WKH FXUUHQW ,% IRU H[SHFWHG
DGYHUVHUHDFWLRQV

$6$(LVDQ\$(RUVXVSHFWHGDGYHUVHUHDFWLRQWKDWLQWKHYLHZRIHLWKHUWKH3,RUGHVLJQHH
RU6SRQVRUUHVXOWVLQDQ\RIWKHIROORZLQJRXWFRPHV'HDWKDOLIHWKUHDWHQLQJ$(LQSDWLHQW
KRVSLWDOL]DWLRQRUSURORQJDWLRQRIH[LVWLQJKRVSLWDOL]DWLRQDSHUVLVWHQWRUVLJQLILFDQWLQFDSDFLW\
RUGLVDELOLW\RUDFRQJHQLWDODQRPDO\ELUWKGHIHFW,PSRUWDQWPHGLFDOHYHQWVWKDWPD\QRWUHVXOW
LQGHDWKEHOLIHWKUHDWHQLQJRUUHTXLUHKRVSLWDOL]DWLRQPD\EHFRQVLGHUHGVHULRXVZKHQEDVHG
XSRQDSSURSULDWHPHGLFDOMXGJPHQWWKH\PD\MHRSDUGL]HWKHSDWLHQWRUVXEMHFWDQGPD\UHTXLUH
PHGLFDORUVXUJLFDOLQWHUYHQWLRQWRSUHYHQWRQHRIWKHRXWFRPHVOLVWHGLQWKHDERYHGHILQLWLRQ
([DPSOHVRIVXFKPHGLFDOHYHQWVLQFOXGHDOOHUJLFEURQFKRVSDVPUHTXLULQJLQWHQVLYHWUHDWPHQW
LQDQHPHUJHQF\URRPRUDWKRPHEORRGG\VFUDVLDVRUFRQYXOVLRQVWKDWGRQRWUHVXOWLQ
LQSDWLHQWKRVSLWDOL]DWLRQRUWKHGHYHORSPHQWRIGUXJGHSHQGHQF\RUGUXJDEXVH
/LIHWKUHDWHQLQJLVGHILQHGDVDQ$(RUVXVSHFWHGDGYHUVHUHDFWLRQWKDWLQWKHYLHZRIWKH3,RU
GHVLJQHHRU6SRQVRUSODFHVWKHSDWLHQWRUVXEMHFWDWLPPHGLDWHULVNRIGHDWK,WGRHVQRW
LQFOXGHDQ$(RUVXVSHFWHGDGYHUVHUHDFWLRQWKDWKDGLWRFFXUUHGLQDPRUHVHYHUHIRUPPLJKW
KDYHFDXVHGGHDWK
$OO6$(VWKDWGHYHORSIURPWKHWLPHRI,&)VLJQLQJXQWLOVWXG\FRPSOHWLRQPXVWEHUHSRUWHGRQ
D6$(5HSRUW)RUPSURYLGHGE\/R[R2QFRORJ\DQGVHQWE\ID[RUHPDLOWRWKH6SRQVRUOLVWHG
LQ6HFWLRQZLWKLQKRXUVRIILUVWDZDUHQHVVRIWKHHYHQW)ROORZLQJFOLQLFGLVFKDUJHRQO\
$(VRU6$(VDVVHVVHGDVUHODWHGWRWKHVWXG\GUXJVKRXOGEHUHSRUWHG
:KHQXVLQJWKH6$(HID[DFRYHUSDJHLQFOXGLQJVWXG\LGHQWLILFDWLRQ
QXPEHUDQGVWXG\GUXJSURGXFWLH/2;2LVUHTXLUHG$OWHUQDWLYHO\DQHPDLOFDQEH
VHQWWRVDIHW\#OR[RRQFRORJ\FRP
7KH3,LVQRWREOLJDWHGWRDFWLYHO\VHHNLQIRUPDWLRQUHJDUGLQJWKHRFFXUUHQFHRIQHZ6$(V
EHJLQQLQJDIWHUVWXG\FRPSOHWLRQ+RZHYHULIWKH3,OHDUQVRIVXFKDQ6$(DQGWKDWHYHQWLV
GHHPHGDVVRFLDWHGZLWKWKHXVHRIVWXG\GUXJKHVKHVKRXOGSURPSWO\GRFXPHQWDQGUHSRUWWKH
HYHQW
7KH3,ZLOOEHUHTXHVWHGWRVXSSO\GHWDLOHGLQIRUPDWLRQDVZHOODVIROORZXSUHJDUGLQJWKH
6$($OWKRXJKQRWFRQVLGHUHGDQ$(SHUVHWKH6SRQVRUPXVWEHQRWLILHGRIDQ\VXEMHFWRU
VXEMHFW¶VSDUWQHUZKREHFRPHVSUHJQDQWGXULQJWKHVWXG\DWDQ\WLPHEHWZHHQWKHVWDUWRI
VFUHHQLQJXQWLOGD\VDIWHUWKHODVWDGPLQLVWUDWLRQRIVWXG\GUXJ
/2;25(7&$3URWRFRODQG3URWRFRO$PHQGPHQWV


&21),'(17,$/
&$/2;25(7)LQDO3URWRFRO2&7

3DJH
 3KDUPDFRNLQHWLF$VVHVVPHQWV
 %ORRG6DPSOLQJDQG3URFHVVLQJ
)RUDOOVXEMHFWVEORRGVDPSOHVIRUWKHGHWHUPLQDWLRQRI/2;2ZLOOEHFROOHFWHGDW
VFKHGXOHGWLPHSRLQWVDVGHOLQHDWHGLQWKH6WXG\(YHQWV)ORZ&KDUW6HFWLRQ
,QVWUXFWLRQIRUEORRGVDPSOLQJFROOHFWLRQSURFHVVLQJDQGVDPSOHVKLSPHQWZLOOEHSURYLGHG
VHSDUDWHO\
%ORRGFROOHFWLRQVRXWVLGHWKHIROORZLQJZLQGRZVZLOOEHFRQVLGHUHGGHYLDWLRQV
+RXU
'HYLDWLRQZLQGRZ

 3KDUPDFRNLQHWLF3DUDPHWHUV
3.SDUDPHWHUVIRUSODVPD/2;2ZLOOEHFDOFXODWHGDVIROORZVDVDSSURSULDWH

$8&W

7KHDUHDXQGHUWKHFRQFHQWUDWLRQWLPHFXUYHIURPWLPHWRWKHODVW
REVHUYHGQRQ]HURFRQFHQWUDWLRQDVFDOFXODWHGE\WKHOLQHDUWUDSH]RLGDO
PHWKRG
$8&

7KHDUHDXQGHUWKHFRQFHQWUDWLRQWLPHFXUYHIURPWLPHWR+RXUDV
FDOFXODWHGE\WKHOLQHDUWUDSH]RLGDOPHWKRG,IWKHKRXUSODVPD
FRQFHQWUDWLRQLVPLVVLQJ%/4RUQRWUHSRUWDEOHWKHQWKLVSDUDPHWHU
FDQQRWEHFDOFXODWHG
$8&LQI
7KHDUHDXQGHUWKHFRQFHQWUDWLRQWLPHFXUYHIURPWLPHH[WUDSRODWHGWR
LQILQLW\$8&LQILVFDOFXODWHGDVWKHVXPRI$8&WSOXVWKHUDWLRRI
WKHODVWPHDVXUDEOHSODVPDFRQFHQWUDWLRQWRWKHHOLPLQDWLRQUDWH
FRQVWDQW
$8&H[WUDS
3HUFHQWRI$8&LQIH[WUDSRODWHGUHSUHVHQWHGDV
$8&W$8&LQI
&/)
$SSDUHQWWRWDOSODVPDFOHDUDQFHDIWHURUDOH[WUDYDVFXODU
DGPLQLVWUDWLRQFDOFXODWHGDV'RVH$8&LQI
&PD[
0D[LPXPREVHUYHGFRQFHQWUDWLRQ
7PD[
7LPHWRUHDFK&PD[,IWKHPD[LPXPYDOXHRFFXUVDWPRUHWKDQRQH
WLPHSRLQW7PD[LVGHILQHGDVWKHILUVWWLPHSRLQWZLWKWKLVYDOXH
.HO
$SSDUHQWILUVWRUGHUWHUPLQDOHOLPLQDWLRQUDWHFRQVWDQWFDOFXODWHGIURPD
VHPLORJSORWRIWKHSODVPDFRQFHQWUDWLRQYHUVXVWLPHFXUYH7KH
SDUDPHWHUZLOOEHFDOFXODWHGE\OLQHDUOHDVWVTXDUHVUHJUHVVLRQDQDO\VLV
/2;25(7&$3URWRFRODQG3URWRFRO$PHQGPHQWV

&&,

&21),'(17,$/
&$/2;25(7)LQDO3URWRFRO2&7

3DJH
XVLQJWKHPD[LPXPQXPEHURISRLQWVLQWKHWHUPLQDOORJOLQHDUSKDVH
HJWKUHHRUPRUHQRQ]HURSODVPDFRQFHQWUDWLRQV
Wò
$SSDUHQWILUVWRUGHUWHUPLQDOHOLPLQDWLRQKDOIOLIHZLOOEHFDOFXODWHGDV
.HO
9])
$SSDUHQWYROXPHRIGLVWULEXWLRQGXULQJWKHWHUPLQDOHOLPLQDWLRQSKDVH
DIWHURUDOH[WUDYDVFXODUDGPLQLVWUDWLRQFDOFXODWHGDV
'RVH$8&LQI[.HO
1R3.SDUDPHWHUVZLOOEHFDOFXODWHGIRUVXEMHFWVZLWKRUIHZHUFRQVHFXWLYHWLPHSRLQWVZLWK
GHWHFWDEOHFRQFHQWUDWLRQV
,QGLYLGXDODQGPHDQSODVPDFRQFHQWUDWLRQWLPHFXUYHVERWKOLQHDUDQGORJOLQHDUZLOOEH
LQFOXGHGLQWKHILQDOUHSRUW
 8ULQH&ROOHFWLRQ
3ULRUWRWKHSUHGRVHVDPSOHHDFKVXEMHFWZLOOEHLQVWUXFWHGDVWRXULQHFROOHFWLRQPHWKRGV
8ULQHVDPSOHVIRUGHWHUPLQDWLRQRI/2;2FRQFHQWUDWLRQVZLOOEHFROOHFWHGDWVHOHFWHG
LQWHUYDOVDVGHOLQHDWHGLQWKH6WXG\(YHQWV)ORZ&KDUW6HFWLRQ)RUUHQDOO\LPSDLUHG
VXEMHFWVXULQHVDPSOHVZLOOEHFROOHFWHGZKHQHYHUSRVVLEOHDVWKH\PD\QRWEHDEOHWRSURGXFH
XULQHDWHDFKLQWHUYDO
2Q'D\DVSRWFROOHFWLRQZLOOEHREWDLQHG
6XEMHFWV
ZLOOEHDVNHGDJDLQWRHPSW\WKHLUEODGGHUZLWKLQ

DQGQRXULQHZLOOEHFROOHFWHGDWWKLVWLPHXQOHVVLWLV
2QO\RQH


8ULQHSRUWLRQVZLOOEHSRROHGSHUVXEMHFWZLWKLQDQ\SODQQHGFROOHFWLRQLQWHUYDO
-XVWSULRUWRWKHHQGRIHDFKVDPSOLQJLQWHUYDOVXEMHFWVZLOOEHHQFRXUDJHGWRYRLGWKHLU
EODGGHUDJDLQWRFRPSOHWHWKHFROOHFWLRQ,IWKH\GRYRLGDWDQ\WLPHGXULQJWKHFROOHFWLRQ
LQWHUYDOWKHWLPHVKRXOGEHGRFXPHQWHG6KRXOGWKLVEHWKHFDVHVXEMHFWVQHHGWRDWWHPSWWR
YRLGDJDLQDWWKHHQGRIWKHFROOHFWLRQSHULRGDVVFKHGXOHG+RZHYHUVKRXOGVXEMHFWVEH
XQDEOHWRYRLGWKLVZLOOEHGRFXPHQWHGDVZHOO
8ULQHZLOOEHUHIULJHUDWHGGXULQJWKHFROOHFWLRQLQWHUYDOV7KHZHLJKWRIDQHPSW\XULQH
FROOHFWLRQFRQWDLQHUDQGWRWDOZHLJKWRIXULQHFROOHFWHGGXULQJHDFKWLPHGLQWHUYDOZLOOEH
UHFRUGHG
,QVWUXFWLRQVIRUXULQHFROOHFWLRQSURFHVVLQJDQGVDPSOHVKLSPHQWZLOOEHSURYLGHGVHSDUDWHO\
/2;25(7&$3URWRFRODQG3URWRFRO$PHQGPHQWV

&&,
&&,
&&,
&&,
&&,

&21),'(17,$/
&$/2;25(7)LQDO3URWRFRO2&7

3DJH
 8ULQH3KDUPDFRNLQHWLF3DUDPHWHUV
3.SDUDPHWHUVIRUXULQH/2;2ZLOOEHFDOFXODWHGDVIROORZVDVDSSURSULDWH
$H
7RWDODPRXQWRIGUXJH[FUHWHGLQWKHXULQHRYHUWKHHQWLUHSHULRGRIVDPSOH
FROOHFWLRQKRXUVREWDLQHGE\DGGLQJWKHDPRXQWVH[FUHWHGRYHUHDFK
FROOHFWLRQLQWHUYDO
)H
)UDFWLRQRIGUXJH[FUHWLRQGXULQJHDFKFROOHFWLRQLQWHUYDO2EWDLQHGE\GLYLGLQJ
WKHDPRXQWRIGUXJH[FUHWHGLQHDFKFROOHFWLRQLQWHUYDOE\WKHGRVH
&/U
5HQDOFOHDUDQFHFDOFXODWHGDV$HW¶W´$8&W¶W´ZKHUHW¶W´LVWKHORQJHVW
LQWHUYDORIWLPHGXULQJZKLFK$HDQG$8&DUHERWKREWDLQHG

 $QDO\WLFDO0HWKRG
6DPSOHVZLOOEHDQDO\]HGIRUSODVPDDQGXULQH/2;2XVLQJYDOLGDWHGELRDQDO\WLFDO
PHWKRGV6DPSOHVIURPVXEMHFWVWREHDVVD\HGDUHVSHFLILHGLQ6HFWLRQ
 %ORRG9ROXPH'UDZQIRU6WXG\$VVHVVPHQWV
7DEOH %ORRG9ROXPHGXULQJWKH6WXG\
6DPSOH7\SH
1XPEHURI
7LPH3RLQWV
$SSUR[LPDWH
9ROXPHSHU7LPH
3RLQWP/
$SSUR[LPDWH
6DPSOH9ROXPH
2YHU&RXUVHRI
6WXG\P/
6FUHHQLQJODERUDWRU\VDIHW\WHVWVLQFOXGLQJ
KHPDWRORJ\VHUXPFKHPLVWU\FRDJXODWLRQ
VHURORJ\WK\URLGVWLPXODWLQJKRUPRQH)6+
IRUSRVWPHQRSDXVDOIHPDOHVXEMHFWVRQO\DQG
VHUXPSUHJQDQF\IRUIHPDOHVXEMHFWVRQO\
2QVWXG\KHPDWRORJ\VHUXPFKHPLVWU\DQG
FRDJXODWLRQ
%ORRGIRU/2;23.
%ORRGIRU/2;23URWHLQ%LQGLQJ
7RWDO%ORRG9ROXPHP/


5HSUHVHQWVWKHODUJHVWFROOHFWLRQWXEHWKDWPD\EHXVHGIRUWKLVDVPDOOHUWXEHPD\EHXVHG

,IDGGLWLRQDOVDIHW\RU3.DQDO\VLVLVQHFHVVDU\RULIODUJHUFROOHFWLRQWXEHVDUHUHTXLUHGWRREWDLQVXIILFLHQW
SODVPDVHUXPIRUDQDO\VLVDGGLWLRQDOEORRGPD\EHREWDLQHG

/2;25(7&$3URWRFRODQG3URWRFRO$PHQGPHQWV

&&,
&&,
&&,

&21),'(17,$/
&$/2;25(7)LQDO3URWRFRO2&7

3DJH
 67$7,67,&$/&216,'(5$7,216
'DWDZLOOEHKDQGOHGDQGSURFHVVHGDFFRUGLQJWR&HOHULRQ6WDQGDUG2SHUDWLQJ3URFHGXUHV
ZKLFKDUHZULWWHQEDVHGRQWKHSULQFLSOHVRI*&3
 6DPSOH6L]H'HWHUPLQDWLRQ
7KHVDPSOHVL]HLVFRQVLGHUHGVXIILFLHQWWRSURYLGHFOLQLFDOO\PHDQLQJIXOGHVFULSWLYHUHVXOWV
LQFOXGLQJFRQILGHQFHLQWHUYDOVDERXWHVWLPDWHVRIJHRPHWULFPHDQUDWLRVRIWKH$8&DQG
&PD[ZLWK/2;2IRUVXEMHFWVZLWKYDU\LQJGHJUHHVRI5,LHPLOGPRGHUDWHDQG
VHYHUHFRPSDUHGWRKHDOWK\PDWFKHGFRQWUROVXEMHFWV
 3RSXODWLRQIRU$QDO\VHV
3.3RSXODWLRQ3ODVPDVDPSOHVIURPDOOVXEMHFWVZLOOEHDVVD\HGHYHQLIWKHVXEMHFWVGRQRW
FRPSOHWHWKHVWXG\3.SRSXODWLRQZLOOFRPSULVHDOOVXEMHFWVZKRFRPSO\VXIILFLHQWO\ZLWKWKH
SURWRFRODQGGLVSOD\DQHYDOXDEOH3.SURILOHHJH[SRVXUHWRWUHDWPHQWDYDLODELOLW\RI
PHDVXUHPHQWVDQGDEVHQFHRIPDMRUSURWRFROYLRODWLRQV
6DIHW\3RSXODWLRQ$OOVXEMHFWVZKRUHFHLYHGDWOHDVWRQHGRVHRIWKHVWXG\GUXJZLOOEH
LQFOXGHGLQWKHVDIHW\HYDOXDWLRQV
 6WDWLVWLFDO$QDO\VHV
'HWDLOHGPHWKRGRORJ\IRUVXPPDU\DQGVWDWLVWLFDODQDO\VHVRIWKHGDWDFROOHFWHGLQWKLVVWXG\
ZLOOEHGRFXPHQWHGLQD6WDWLVWLFDO$QDO\VLV3ODQ6$37KH6$3ZLOOEHSUHSDUHGE\&HOHULRQ
DQGDJUHHGXSRQZLWKWKH6SRQVRU7KLVGRFXPHQWPD\PRGLI\WKHSODQVRXWOLQHGLQWKH
SURWRFROKRZHYHUDQ\PDMRUPRGLILFDWLRQVRIWKHSULPDU\HQGSRLQWVGHILQLWLRQDQGRULWV
DQDO\VLVZLOODOVREHUHIOHFWHGLQDSURWRFRODPHQGPHQW$GGLWLRQDOVWDWLVWLFDODQDO\VHVRWKHU
WKDQWKRVHGHVFULEHGLQWKLVVHFWLRQPD\EHSHUIRUPHGLIGHHPHGDSSURSULDWH
 3KDUPDFRNLQHWLF$QDO\VHV

'HVFULSWLYH6WDWLVWLFV
9DOXHVZLOOEHFDOFXODWHGIRUWKHSODVPDFRQFHQWUDWLRQVDQGWKH3.SDUDPHWHUVOLVWHGLQ
6HFWLRQIRU/2;2XVLQJDSSURSULDWHVXPPDU\VWDWLVWLFVWREHIXOO\RXWOLQHGLQWKH
6$3
$QDO\VLVRI&RYDULDQFH
$QDQDO\VLVRIFRYDULDQFH$1&29$ZLOOEHSHUIRUPHGRQWKHOQWUDQVIRUPHG$8&W
$8&LQIDQG&PD[7KH$1&29$PRGHOZLOOFRQWDLQDFDWHJRULFDOIDFWRURISRSXODWLRQIRU
VXEMHFWVZLWKYDULRXVGHJUHHVRI5,PLOGPRGHUDWHDQGVHYHUHDQGKHDOWK\PDWFKHGFRQWURO
VXEMHFWVDFDWHJRULFDOFRYDULDWHVH[DQGFRQWLQXRXVFRYDULDWHVDJHDQG%0,
7KHWRPDWFKLQJFRPSDULVRQVRILQWHUHVWVDUH
x 6XEMHFWVZLWKVHYHUH5,YHUVXVKHDOWK\PDWFKHGFRQWUROVXEMHFWV
/2;25(7&$3URWRFRODQG3URWRFRO$PHQGPHQWV


&21),'(17,$/
&$/2;25(7)LQDO3URWRFRO2&7

3DJH
x 6XEMHFWVZLWKPRGHUDWH5,YHUVXVKHDOWK\PDWFKHGFRQWUROVXEMHFWV
x 6XEMHFWVZLWKPLOG5,YHUVXVKHDOWK\PDWFKHGFRQWUROVXEMHFWV

5DWLRVDQG&RQILGHQFH,QWHUYDOV
5DWLRVRIOHDVWVTXDUHVPHDQV/60ZLOOEHFDOFXODWHGXVLQJWKHH[SRQHQWLDWLRQRIWKH
GLIIHUHQFHEHWZHHQUHQDOIXQFWLRQFRKRUW/60IURPWKH$1&29$DQDO\VHVRQWKH
OQWUDQVIRUPHG$8&W$8&LQIDQG&PD[7KHVHUDWLRVZLOOEHH[SUHVVHGDVDSHUFHQWDJH
UHODWLYHWRWKHKHDOWK\PDWFKHGFRQWUROFRKRUW
1LQHW\SHUFHQWFRQILGHQFHLQWHUYDOV&,VIRUWKHUDWLRVZLOOEHGHULYHGE\
H[SRQHQWLDWLRQRIWKH&,VREWDLQHGIRUWKHGLIIHUHQFHEHWZHHQUHQDOIXQFWLRQFRKRUW/60
UHVXOWLQJIURPWKH$1&29$DQDO\VHVRQWKHOQWUDQVIRUPHG$8&W$8&LQIDQG&PD[
7KH&,VZLOOEHH[SUHVVHGDVDSHUFHQWDJHUHODWLYHWRWKHKHDOWK\PDWFKHGFRQWUROFRKRUW

$GGLWLRQDO$QDO\VLV
7KHUHODWLRQVKLSEHWZHHQ/2;23.SDUDPHWHUVLH&PD[DQG$8&DQGPHDVXUHVRI
UHQDOIXQFWLRQVXFKDVH*)5DQG&/FUPD\EHH[SORUHGXVLQJDOLQHDUUHJUHVVLRQDSSURDFKRU
RWKHUPHWKRGVDVLQGLFDWHGLQWKH6$3
7KHHIIHFWRIFRYDULDWHVVXFKDVDJH%0,DQGJHQGHUPD\EHLQYHVWLJDWHG

3URWHLQ%LQGLQJ
)UDFWLRQRIXQERXQG/2;2LQSODVPD)XZLOOEHFRPSXWHGDQG3.SDUDPHWHUVPD\DOVR
EH H[SUHVVHG LQ WHUPV RI XQERXQG FRQFHQWUDWLRQV HJ &PD[X $8&X DQG &/X) LI
DSSOLFDEOH
 6DIHW\$QDO\VHV
$OOVDIHW\GDWDZLOOEHSRSXODWHGLQWKHLQGLYLGXDO&5)V$OOVDIHW\GDWDZLOOEHOLVWHGE\
VXEMHFWV
'RVLQJGDWHVDQGWLPHVZLOOEHOLVWHGE\VXEMHFW
$(VZLOOEHFRGHGXVLQJWKH0HGLFDO'LFWLRQDU\IRU5HJXODWRU\$FWLYLWLHV0HG'5$DQG
VXPPDUL]HGE\WUHDWPHQWIRUWKHQXPEHURIVXEMHFWVUHSRUWLQJWKH7($($E\VXEMHFW$(GDWD
OLVWLQJLQFOXGLQJYHUEDWLPWHUPFRGHGWHUPWUHDWPHQWVHYHULW\DQGUHODWLRQVKLSWRWUHDWPHQW
ZLOOEHSURYLGHG
6DIHW\GDWDLQFOXGLQJ(&*VSK\VLFDOH[DPLQDWLRQVYLWDOVLJQVDVVHVVPHQWVFOLQLFDOODERUDWRU\
UHVXOWVZLOOEHVXPPDUL]HGE\WUHDWPHQWDQGSRLQWRIWLPHRIFROOHFWLRQ
'HVFULSWLYHVWDWLVWLFVXVLQJDSSURSULDWHVXPPDU\VWDWLVWLFVZLOOEHFDOFXODWHGIRUTXDQWLWDWLYH
VDIHW\GDWDDVZHOODVIRUWKHGLIIHUHQFHWREDVHOLQHZKHQDSSURSULDWH
&RQFRPLWDQWPHGLFDWLRQVZLOOEHOLVWHGE\VXEMHFWDQGFRGHGXVLQJWKH:RUOG+HDOWK
2UJDQL]DWLRQGUXJGLFWLRQDU\0HGLFDOKLVWRU\ZLOOEHOLVWHGE\VXEMHFW
/2;25(7&$3URWRFRODQG3URWRFRO$PHQGPHQWV


&21),'(17,$/
&$/2;25(7)LQDO3URWRFRO2&7

3DJH
 678'<$'0,1,675$7,21
 (WKLFV
 ,QVWLWXWLRQDO5HYLHZ%RDUG
7KLVSURWRFROZLOOEHUHYLHZHGE\DQ,5%DQGWKHVWXG\ZLOOQRWVWDUWXQWLOWKH,5%KDV
DSSURYHGWKHSURWRFRORUDPRGLILFDWLRQWKHUHRI7KH,5%ZLOOEHFRQVWLWXWHGDQGRSHUDWHLQ
DFFRUGDQFHZLWKWKHSULQFLSOHVDQGUHTXLUHPHQWVGHVFULEHGLQWKH86&RGHRI)HGHUDO
5HJXODWLRQV&)53DUWDQGZLOOEHFRPSOLDQWWR7KH,QWHUQDWLRQDO&RXQFLORQ
+DUPRQLVDWLRQ,&+JXLGHOLQHV
 (WKLFDO&RQGXFWRIWKH6WXG\
7KLVUHVHDUFKZLOOEHFDUULHGRXWLQDFFRUGDQFHZLWKWKHSURWRFRO86&RGHRI)HGHUDO
5HJXODWLRQV&)53DUWVDQGWKHHWKLFDOSULQFLSOHVVHWIRUWKLQWKH'HFODUDWLRQRI
+HOVLQNL*&3DQGWKH,&+KDUPRQL]HGWULSDUWLWHJXLGHOLQHUHJDUGLQJ*&3(>5@*RRG
&OLQLFDO3UDFWLFH,QWHJUDWHG$GGHQGXPWR(>5@0DUFKVW
 6XEMHFW,QIRUPDWLRQDQG&RQVHQW
7KHSXUSRVHRIWKHVWXG\WKHSURFHGXUHVWREHFDUULHGRXWDQGWKHSRWHQWLDOKD]DUGVZLOOEH
GHVFULEHGWRWKHVXEMHFWVLQQRQWHFKQLFDOWHUPV6XEMHFWVZLOOEHUHTXLUHGWRUHDGVLJQDQGGDWH
DQ,&)VXPPDUL]LQJWKHGLVFXVVLRQSULRUWRVFUHHQLQJDQGZLOOEHDVVXUHGWKDWWKH\PD\
ZLWKGUDZIURPWKHVWXG\DWDQ\WLPHZLWKRXWMHRSDUGL]LQJWKHLUPHGLFDOFDUH
6XEMHFWVZLOOEHJLYHQDFRS\RIWKHLUVLJQHG,&)
 7HUPLQDWLRQRIWKH6WXG\
7KHSDUWLFLSDWLQJ&58VUHVHUYHWKHULJKWWRWHUPLQDWHWKHVWXG\LQWKHLQWHUHVWRIVXEMHFW
ZHOIDUH
7KH6SRQVRUUHVHUYHVWKHULJKWWRVXVSHQGRUWHUPLQDWHWKHVWXG\DWDQ\WLPH
 'DWD4XDOLW\$VVXUDQFH
6WDQGDUGRSHUDWLQJSURFHGXUHVDUHDYDLODEOHIRUDOODFWLYLWLHVSHUIRUPHGDW&HOHULRQDQG
SDUWLFLSDWLQJ&58VUHOHYDQWWRWKHTXDOLW\RIWKLVVWXG\'HVLJQDWHGSHUVRQQHORI&HOHULRQDQG
SDUWLFLSDWLQJ&58VDVDSSURSULDWHZLOOEHUHVSRQVLEOHIRULPSOHPHQWLQJDQGPDLQWDLQLQJ
TXDOLW\DVVXUDQFH4$DQGTXDOLW\FRQWUROV\VWHPVWRHQVXUHWKDWWKHVWXG\LVFRQGXFWHGDQG
WKDWGDWDDUHJHQHUDWHGGRFXPHQWHGDQGUHSRUWHGLQFRPSOLDQFHZLWKWKHVWXG\SURWRFRO*&3
DQG*/3UHTXLUHPHQWVDVZHOODVDSSOLFDEOHUHJXODWRU\UHTXLUHPHQWVDQGORFDOODZVUXOHVDQG
UHJXODWLRQVUHODWLQJWRWKHFRQGXFWRIWKHFOLQLFDOVWXG\
7KH&OLQLFDO6WXG\5HSRUWZLOOEHDXGLWHGE\WKH&HOHULRQ4$GHSDUWPHQWDQGWKH4$DXGLW
FHUWLILFDWHZLOOEHLQFOXGHGLQWKHVWXG\UHSRUW
/2;25(7&$3URWRFRODQG3URWRFRO$PHQGPHQWV


&21),'(17,$/
&$/2;25(7)LQDO3URWRFRO2&7

3DJH
(GLWFKHFNVDUHWKHQSHUIRUPHGIRUDSSURSULDWHGDWDEDVHVDVDYDOLGDWLRQURXWLQHXVLQJ6$6RU
FRPSDUDEOHVWDWLVWLFDOSURJUDPWRFKHFNIRUPLVVLQJGDWDGDWDLQFRQVLVWHQFLHVGDWDUDQJHVHWF
&RUUHFWLRQVDUHPDGHSULRUWRGDWDEDVHORFN
 'LUHFW$FFHVVWR6RXUFH'DWD'RFXPHQWV
7KHSDUWLFLSDWLQJ&58VZLOOHQVXUHWKDWWKH6SRQVRU,5%DQGLQVSHFWLRQE\GRPHVWLFDQG
IRUHLJQUHJXODWRU\DXWKRULWLHVZLOOKDYHGLUHFWDFFHVVWRDOOFOLQLFDOVLWHVVRXUFH
GDWDGRFXPHQWVDQGUHSRUWVIRUWKHSXUSRVHRIPRQLWRULQJDQGDXGLWLQJ
,&+>(@	,QWKHHYHQWWKDWRWKHUVWXG\UHODWHGPRQLWRULQJVKRXOGEHGRQHE\
RWKHUSDUWLHVWKH\ZLOOEHUHTXLUHGWRVLJQDFRQILGHQWLDOLW\DJUHHPHQWSULRUWRDQ\PRQLWRULQJ
DQGDXGLWLQJ
 'UXJ6XSSOLHV3DFNDJLQJDQG/DEHOLQJ
7KH6SRQVRUZLOOVXSSO\VXIILFLHQWTXDQWLWLHVRIWKH/2;2FDSVXOHVWRDOORZFRPSOHWLRQ
RIWKLVVWXG\7KHORWQXPEHUVDQGH[SLUDWLRQGDWHVZKHUHDYDLODEOHRIWKHVWXG\GUXJV
VXSSOLHGZLOOEHUHFRUGHGLQWKHILQDOUHSRUW
5HFRUGVZLOOEHPDGHRIWKHUHFHLSWDQGGLVSHQVLQJRIWKHVWXG\GUXJVVXSSOLHG$WWKH
FRQFOXVLRQRIWKHVWXG\DQ\XQXVHGVWXG\GUXJVZLOOEHUHWDLQHGE\WKH&58UHWXUQHGWRWKH
6SRQVRURUGHVLJQHHRUGHVWUR\HGDVSHU6SRQVRULQVWUXFWLRQV,IQRVXSSOLHVUHPDLQWKLVIDFW
ZLOOEHGRFXPHQWHGLQWKHSKDUPDF\SURGXFWDFFRXQWDELOLW\UHFRUGV
 'DWD+DQGOLQJDQG5HFRUG.HHSLQJ
'DWDZLOOEHHQWHUHGGLUHFWO\DQGPDQDJHGZLWKLQDQHOHFWURQLFGDWDFDSWXUHV\VWHP
2PQL&RPP7ULDO0DVWHU
$OOUDZGDWDJHQHUDWHGLQFRQQHFWLRQZLWKWKLVVWXG\WRJHWKHUZLWKWKHRULJLQDOFRS\RIWKH
ILQDOUHSRUWZLOOEHUHWDLQHGE\WKHSDUWLFLSDWLQJ&58VXQWLODWOHDVW\HDUVDIWHUWKHODVW
DSSURYDORIDPDUNHWLQJDSSOLFDWLRQLQDQ,&+UHJLRQDQGXQWLOWKHUHDUHQRSHQGLQJRU
FRQWHPSODWHGPDUNHWLQJDSSOLFDWLRQVLQDQ,&+UHJLRQRUDWOHDVW\HDUVKDYHHODSVHGVLQFHWKH
IRUPDOGLVFRQWLQXDWLRQRIFOLQLFDOGHYHORSPHQWRIWKHLQYHVWLJDWLRQDOSURGXFW7KHVHGRFXPHQWV
VKRXOGEHUHWDLQHGIRUDORQJHUSHULRGKRZHYHULIUHTXLUHGE\WKHDSSOLFDEOHUHJXODWRU\
UHTXLUHPHQWVRUE\DQDJUHHPHQWZLWKWKH6SRQVRU,WLVWKHUHVSRQVLELOLW\RIWKH6SRQVRUWR
LQIRUPWKHSDUWLFLSDWLQJ&58VDVWRZKHQWKHVHGRFXPHQWVQRORQJHUQHHGWREHUHWDLQHG
 5HSRUW)RUPDW
$FFRUGLQJWRWKH,&++DUPRQL]HG7ULSDUWLWH*XLGHOLQH2UJDQL]DWLRQRIWKH&RPPRQ
7HFKQLFDO'RFXPHQWIRUWKH5HJLVWUDWLRQRI3KDUPDFHXWLFDOVIRU+XPDQ8VH0DQGWKH
,&+0([SHUW:RUNLQJ*URXSWKHILQDOUHSRUWZLOOEHZULWWHQDFFRUGLQJWRWKH
,&+(*XLGHOLQH6WUXFWXUHDQG&RQWHQWRI&OLQLFDO6WXG\5HSRUWV
/2;25(7&$3URWRFRODQG3URWRFRO$PHQGPHQWV


&21),'(17,$/
&$/2;25(7)LQDO3URWRFRO2&7

3DJH
 3XEOLFDWLRQ3ROLF\
$OOXQSXEOLVKHGLQIRUPDWLRQJLYHQWR&HOHULRQDQGRUWKHSDUWLFLSDWLQJ&58VE\WKH6SRQVRU
VKDOOQRWEHSXEOLVKHGRUGLVFORVHGWRDWKLUGSDUW\ZLWKRXWWKHSULRUZULWWHQFRQVHQWRIWKH
6SRQVRU
7KHGDWDJHQHUDWHGE\WKLVVWXG\DUHFRQVLGHUHGFRQILGHQWLDOLQIRUPDWLRQDQGWKHSURSHUW\RI
WKH6SRQVRU7KLVFRQILGHQWLDOLQIRUPDWLRQPD\EHSXEOLVKHGRQO\LQFROODERUDWLRQZLWK
SDUWLFLSDWLQJSHUVRQQHOIURPWKH6SRQVRURUXSRQ6SRQVRU¶VZULWWHQFRQVHQWWRSXEOLVKWKH
DUWLFOH
/2;25(7&$3URWRFRODQG3URWRFRO$PHQGPHQWV


&21),'(17,$/
&$/2;25(7)LQDO3URWRFRO2&7

3DJH
 5()(5(1&(6
/2;2,QYHVWLJDWRU¶V%URFKXUH/R[R2QFRORJ\,QF9HUVLRQ2FW
)RRGDQG'UXJ$GPLQLVWUDWLRQ*XLGDQFHIRU,QGXVWU\3KDUPDFRNLQHWLFVLQ3DWLHQWVZLWK
,PSDLUHG5HQDO)XQFWLRQ²6WXG\'HVLJQ'DWD$QDO\VLVDQG,PSDFWRQ'RVLQJDQG/DEHOLQJ
0DUFK$YDLODEOHDWKWWSVZZZIGDJRYGRZQORDGVGUXJVJXLGDQFHVXFPSGI
1DWLRQDO&DQFHU,QVWLWXWH&RPPRQ7HUPLQRORJ\&ULWHULDIRU$GYHUVH(YHQWV&7&$(
5HYLVHG1RYY$YDLODEOHDW
KWWSVFWHSFDQFHUJRYSURWRFROGHYHORSPHQWHOHFWURQLFBDSSOLFDWLRQVGRFV&7&$(BYB4XLFNB
5HIHUHQFHB[SGI
/2;25(7&$3URWRFRODQG3URWRFRO$PHQGPHQWV
