Agenda packet — Ontario City Council, March 15, 2022 (part 2 of 10)

(4) Adopt a resolution recommending the City Council approve the Development Code Amendment, File No. PDCA21-001, pursuant to the facts and reasons contained in the staff report and attached resolution.

PROJECT ANALYSIS: The proposed project is an update to the Housing Element and includes related applications to establish and implement an Affordable Housing Overlay to support the necessary residential densities to achieve the City's Regional Housing Needs Assessment (“RHNA”).
(1) General Plan Amendment (File No. PGPA21-004) — This General Plan Amendment includes the Housing Element update to the Policy Plan (general plan) component of The Ontario Plan (“TOP”), addressing State mandates, the 6th Cycle RHNA, and a modification to the Policy Plan Land Use Plan (Exhibit LU-01) to establish an Affordable Housing Overlay.
(a) Housing Element Update — The Housing Element is one of the seven mandated elements of the general plan, which each city and county in the State is required to periodically adopt (generally every eight years). The Housing Element is required to adequately plan to meet the existing and projected housing needs of all economic segments of the community. This Housing Element Cycle (6th Cycle) covers the RHNA period from October 15, 2021 through October 15, 2029. The Housing Element is the only element of the general plan reviewed and certified by the State to ensure compliance with State law.

The City of Ontario (“City”) has initiated a process to update its Housing Element, one of the elements of the Policy Plan. The proposed 2021–2029 Housing Element Update constitutes a "project" pursuant to CEQA, and therefore, the City prepared an Addendum to The Ontario Plan Environmental Impact Report (“TOP EIR”). (i) Public Participation — The California Government Code requires that local governments make a diligent effort to solicit public participation from all economic segments of the community in the development of the draft Housing Element.

The following provides a general timeline describing major milestones in preparing Ontario's draft 2021-2029 Housing Element Update:
 June 14, 2021 – Property Owner Open House – Staff hosted a virtual open house to provide an overview of the TOP 2050 Project and land use designation changes on specific properties as part of the City's housing strategy to fulfill the 6th RHNA Cycle site inventory obligation.
 June 28, 2021 – Community Workshop #1 – Staff hosted a virtual workshop to present the TOP 2050 update, including the City's housing strategy to receive comments, and answer questions from the public.
213
Planning Commission Staff Report
File Nos.: PGPA21-004, PZC21-002 and PDCA21-001
December 20, 2021

Page 3 of 18 ends

 July 29, 2021 – Community Workshop #2 – Staff hosted a virtual workshop to facilitate a guided discussion of the environmental justice, community health, and resiliency policies, and share the City's preferred land use plan and housing strategy. The intent of Community Workshop #2 was to further inform the community of policy updates and gather feedback regarding the preferred land use plan.
 August 31, 2021 – In compliance with Senate Bill 18 notification requirements (Tribal Consultation), the City mailed a separate project notice to 16 local tribes identified by the Native American Heritage Commission (NAHC). No consultation requests were received during the requisite 90-day response period.  October 14, 2021 – City staff posted the Ontario Housing Element 2021-2029 - Public Review Draft on Ontarioplan.org/TOP2050 and submitted the draft to California Department of Housing and Community Development (“HCD”) for a 60- day review.
(ii) Regional Housing Needs Assessment (RHNA) — The Southern California Association of Governments (“SCAG”) is responsible for oversight of the RHNA process for Southern California, which includes Ontario. For the 2021–2029 RHNA planning period, the City has been allocated 20,854 housing units to accommodate the estimated growth need at various income levels. As required by California law, the Housing Element must identify the City's ability to accommodate this estimated growth through available sites and appropriate zoning. Ontario's 6th RHNA Cycle allocation includes the following:

City of Ontario 6th Cycle RHNA Allocation by Income Category Income Category
(Percent of Annual Mean Income) RHNA Allocation
Very Low (31 to 50) 5,640
Low (51 to 80) 3,286
Moderate (81 to 120) 3,329
Above Moderate (121 or more) 8,599
Total 20,854
Source: SCAG 2021
The proposed 2021–2029 Housing Element must demonstrate the City's ability to accommodate the RHNA housing allocation either through production or the availability of properly zoned land that can accommodate additional growth. If adequate sites cannot be identified in the existing zoning, the City is required to rezone sites that can accommodate the remaining need at a minimum density of 30 dwelling units per acre, which is the default density set by HCD. The City is not required to build residential units in order to meet its RHNA allocation, only to identify potential sites and create the framework allowing the market the opportunity to develop these units. 214
Planning Commission Staff Report
File Nos.: PGPA21-004, PZC21-002 and PDCA21-001
December 20, 2021

Page 4 of 18 ends

The proposed 2021–2029 Housing Element Update explores opportunities to accommodate the RHNA through current production, entitled units, and the availability of properly zoned land that can accommodate additional growth. The proposed Housing Element Update will further identify and address potential and actual governmental and non-governmental constraints on the development of housing for all income levels.
(iii) State Mandates Included Within the Housing Element Update — The following provides a brief summary of recently adopted State laws that effect and were included in the 2021-2029 Housing Element Update. Their overarching premise is to increase the housing supply within the State by permitting more housing in more places and in greater volume.
 SB 330 Housing Crisis Act: Prohibits the downzoning of any residential property without a corresponding increase in another location. Reduces the length of the entitlement process and provides greater certainty on development standards and fees. The offset upzoning must take place concurrently and provide no net loss in residential capacity.
 SB 35 Streamlined Approval for Housing Projects: Expedites the construction of affordable housing in places were the permitting or construction of housing is slower than compared to the RHNA. If housing production of above moderate RHNA is below the annual target, projects with 10 percent low-income housing are eligible for streamlining. If housing production of low-income RHNA is below the annual target, projects with 50 percent low-income housing are eligible for streamlining.
 SB 166 No Net Loss Zoning: Cities must build or maintain capacity for 100 percent of their RHNA requirement throughout the entire planning period.  AB 1397 Non-Vacant Sites: Provides for increased scrutiny on the development potential for underutilized sites included in the RHNA land inventory.  AB 72 Increased HCD Enforcement: HCD may revoke certification and report any violations to the Attorney General on a jurisdictions failure to comply.  AB 686 Housing Discrimination (Affirmatively Furthering Fair Housing (“AFFH”)):

Jurisdictions must facilitate deliberate action to address, combat, and relieve disparities resulting from past patterns of segregation to foster more inclusive communities.
 AB 167 Housing Accountability Act: Prohibits reducing density, disapproving, or conditioning approvals of a lower/moderate income housing development project or emergency shelter if they comply with zoning and objective development standards.
215
Planning Commission Staff Report
File Nos.: PGPA21-004, PZC21-002 and PDCA21-001
December 20, 2021

Page 5 of 18 ends

(iv) 2021-2029 Ontario Housing Element Content — California Housing Element law prescribes the scope and content of the Housing Element. Pursuant to Section 65583 of the California Government Code, the Housing Element must contain a variety of detailed analyses, listed below.
 Analysis of demographic, social, and housing characteristics; current housing needs; and future housing needs due to population and employment growth and change.
 Assessment of Fair Housing (“AFH”) consistent with the core elements of the analysis required by the federal Affirmatively Furthering Fair Housing (AFFH) Final Rule of July 16, 2015.
 Analysis of governmental and nongovernmental constraints that affect the development, maintenance, and improvement of housing for all income groups and people with disabilities.
 Inventory of resources available to address the City's housing needs, including available land for housing, financial resources, and administrative capacity to manage housing programs.
 Evaluation of the accomplishments of current housing programs and specific programs to address the development, improvement, and conservation of housing to meet current and future needs.
 Documentation of public outreach for the Housing Element and the involvement of the public in shaping housing policies and programs for the 2021–2029 Housing Element.
 Housing goals, policies, and programs to address the production, maintenance, and improvement of housing for all economic segments of the community commensurate with its needs.
 The Housing Element encompasses all seven topical areas mentioned here, provides a brief synopsis of issues, and then follows with a complete set of goals, policies, and programs to be implemented over the planning period. The City also prepared a web format for ease of public distribution and use by policymakers and housing providers in implementing programs.

The Housing Element is prepared to be consistent with several policy and program plans mandated by the State. Most importantly, State law requires SCAG to determine the amount of housing needed within its six-county region and allocate a share of the regional housing need to each community. Housing Elements are required to incorporate 216
Planning Commission Staff Report
File Nos.: PGPA21-004, PZC21-002 and PDCA21-001
December 20, 2021

Page 6 of 18 ends

the estimates of housing need reflected in regional housing plans. The Housing Element is also consistent with the City's Consolidated Plan.
(v) HCD Review — The draft 2021-2029 Housing Element Update was submitted to HCD on October 14, 2021. HCD has 60-days to complete their review of a draft housing element and 90-days to review an adopted housing element. Comments from HCD on the draft Housing Element Update are expected to be received by December 13, 2021, which is after the date of this report being prepared; therefore, staff will provide an oral report on the status of HCD's review comments at the Planning Commission meeting.
(b) Affordable Housing Overlay — The proposed General Plan Amendment also proposes to modify the Policy Plan Land Use Plan (LU-01) to establish an Affordable Housing Overlay. The purpose of the Affordable Housing Overlay is to facilitate housing opportunities within the City through the implementation of the Housing Element. The Affordable Housing Overlay will only apply to those properties identified in Exhibits A – Proposed AH, Affordable Housing Overlay and Exhibit B – Revised LU-01 with AH, Affordable Housing Overlay; and those parcels listed in the Resolution of Approval for PGPA21-004, Attachment A: Housing Element Update, Appendix B: Housing Element Sites Inventory (Parcel List).

As shown in Exhibit B – Revised LU-01 with AH, Affordable Housing Overlay, the Affordable Housing Overlay will apply to those identified parcels generally located: (1) south of Riverside Drive, (2) along East Holt Boulevard between the Cucamonga Creek Channel and Corona Avenue, and (3) areas designated as MU-2 at the northeast corner of West Holt Boulevard and Mountain Avenue. As discussed in the RHNA analysis above (see Section (1)(a)(II)), the Affordable Housing Overlay is being established to ensure that there are adequate sites at sufficient residential densities to meet the City's RHNA housing obligation throughout the planning period.
(2) Zone Change (PZC-21-002) — The proposed Zone Change will modify the Zoning Map to establish an Affordable Housing Overlay. The purpose of the Affordable Housing Overlay is to facilitate housing opportunities within the City through the implementation of Housing Element. The Affordable Housing Overlay will only apply to those properties identified in Exhibits A – Proposed AH, Affordable Housing Overlay and Exhibit C – Revised Zoning Map with AH, Affordable Housing Overlay; and those parcels listed in the Resolution of Approval for PGPA21-004, Attachment A: Housing Element Update, Appendix B: Housing Element Sites Inventory (Parcel List).

As shown in Exhibit C – Revised Zoning Map with AH, Affordable Housing Overlay, the Affordable Housing Overlay will apply to those identified parcels generally located: (1) south of Riverside Drive, (2) along East Holt Boulevard, between the Cucamonga Creek Channel and Corona Avenue, and (3) areas designated as MU-2 at the northeast corner of West Holt Boulevard and Mountain Avenue. As discussed in the RHNA analysis above (see Section (1)(a)(II)), the Affordable Housing Overlay is being established to ensure that 217
Planning Commission Staff Report
File Nos.: PGPA21-004, PZC21-002 and PDCA21-001
December 20, 2021

Page 7 of 18 ends

there are adequate sites at sufficient residential densities to meet the City's RHNA housing obligation throughout the planning period.
(3) Development Code Amendment (PDCA21-001) — The Development Code (Ontario Municipal Code Title 9) provides the legislative framework for the implementation of The Ontario Plan, which states long-term principles, goals, and policies for guiding the growth and development of the City in a manner that achieves Ontario's vision, and promotes and protects the public health, safety, comfort, convenience, prosperity, and welfare of its citizens. Staff has initiated an alteration to the Development Code that is necessary to establish provisions of the Development Code, which are described below. The proposed changes, as they would appear in the Development Code, are included as Exhibit D (Proposed Development Code Amendment) of this staff report.

The proposed Development Code Amendment will modify Section 6.01.035, by adding Subparagraph C.6 to establish an AH (Affordable Housing) Overlay District. The purpose of the AH (Affordable Housing) Overlay District standards is to facilitate housing opportunities within the City through the implementation of Housing Element. The AH (Affordable Housing) Overlay District will only apply to those properties identified in Exhibit A – Proposed AH, Affordable Housing Overlay, Exhibit B – Revised LU-01 with AH, Affordable Housing Overlay, Exhibit C – Revised Zoning Map with AH, Affordable Housing Overlay; and those parcels listed in the Resolution of Approval for PGPA21-004, Attachment A: Housing Element Update, Appendix B: Housing Element Sites Inventory (Parcel List).

Generally, the AH (Affordable Housing) Overlay District will do three things:
(a) It removes the specific plan requirement from sites where there is no existing specific plan.
(b) It satisfies new state requirements for sites that are part of the rezoning program by:
(i) Allowing by-right development of residential projects if 20 percent of units are affordable to lower incomes.
(ii) Establishing a minimum density of 20 du/ac.
(c) It raises the maximum density on MDR zoned sites from 25 to 30 du/ac, if 25 percent of units are affordable to lower incomes.

COMPLIANCE WITH THE ONTARIO PLAN: The proposed project is consistent with the principles, goals and policies contained within the Vision, Governance, Policy Plan (General Plan), and City Council Priorities components of TOP. More specifically, the goals and policies of TOP that are furthered by the proposed project are as follows:
218
Planning Commission Staff Report
File Nos.: PGPA21-004, PZC21-002 and PDCA21-001
December 20, 2021

Page 8 of 18 ends

(1) City Council Goals.
 Invest in the Growth and Evolution of the City's Economy.  Maintain the Current High Level of Public Safety.
 Operate in a Businesslike Manner.
 Pursue City's Goals and Objectives by Working with Other Governmental Agencies.
 Focus Resources in Ontario's Commercial and Residential Neighborhoods.  Invest in the City's Infrastructure (Water, Streets, Sewers, Parks, Storm Drains and Public Facilities).
 Encourage, Provide or Support Enhanced Recreational, Educational, Cultural and Healthy City Programs, Policies and Activities.
 Ensure the Development of a Well Planned, Balanced, and Self-Sustaining Community in the New Model Colony.
(2) Vision.

Distinctive Development:
 Commercial and Residential Development.
 Development quality that is broadly recognized as distinctive and not exclusively tied to the general suburban character typical of much of Southern California. (3) Governance.

Decision Making:
 Goal G1: Sustained decision-making that consistently moves Ontario towards its Vision by using TOP as a framework for assessing choices.  G1-2 Long-term Benefit. We require decisions to demonstrate and document how they add value to the community and support the Ontario Vision. (4) Policy Plan (General Plan).

Land Use Element:
 Goal LU1: A community that has a spectrum of housing types and price ranges that match the jobs in the City and that make it possible for people to live and work in Ontario and maintain a quality of life.
 LU1-1 Strategic Growth. We concentrate growth in strategic locations that help create place and identity, maximize available and planned infrastructure, and foster the development of transit.
219
Planning Commission Staff Report
File Nos.: PGPA21-004, PZC21-002 and PDCA21-001
December 20, 2021

Page 9 of 18 ends

 LU1-6 Complete Community. We incorporate a variety of land uses and building types in our land use planning efforts that result in a complete community where residents at all stages of life, employers, workers, and visitors have a wide spectrum of choices of where they can live, work, shop and recreate within Ontario. (Refer to Complete Community Section of Community Economics Element).  Goal LU2: Compatibility between a wide range of uses.

Housing Element:
 Goal H2: Diversity of types of quality housing that are affordable to a range of household income levels, accommodate changing demographics, and support and reinforce the economic sustainability of Ontario.
 H2-4 New Model Colony. We support a premier lifestyle community in the Ontario Ranch distinguished by diverse housing, highest design quality, and cohesive and highly amenitized neighborhoods.
 H2-5 Housing Design. We require architectural excellence through adherence to City design guidelines, thoughtful site planning, environmentally sustainable practices, and other best practices.
 Goal H5: A full range of housing types and community services that meet the special housing needs for all individuals and families in Ontario, regardless of income level, age, or other status.
 H5-2 Family Housing. We support the development of larger rental apartments that are appropriate for families with children, including, as feasible, the provision of services, recreation, and other amenities.

Community Economics Element:
 Goal CE1: A complete community that provides for all incomes and stages of life.
 CE1-6 Diversity of Housing. We collaborate with residents, housing providers and the development community to provide housing opportunities for every stage of life; we plan for a variety of housing types and price points to support our workforce, attract business, and foster a balanced community.
 Goal CE2: A City of distinctive neighborhoods, districts, and corridors, where people choose to be.
 CE2-1 Development Projects. We require new development and redevelopment to create unique, high-quality places that add value to the community. 220
Planning Commission Staff Report
File Nos.: PGPA21-004, PZC21-002 and PDCA21-001
December 20, 2021

Page 10 of 18 ends

 CE2-2 Development Review. We require those proposing new development and redevelopment to demonstrate how their projects will create appropriately unique, functional, and sustainable places that will compete well with their competition within the region.
 CE2-4 Protection of Investment. We require that new development and redevelopment protect existing investment by providing architecture and urban design of equal or greater quality.
 CE2-5 Private Maintenance. We require adequate maintenance, upkeep, and investment in private property because proper maintenance on private property protects property values.

Safety Element:
 Goal S1: Minimized risk of injury, loss of life, property damage and economic and social disruption caused by earthquake-induced and other geologic hazards.  S1-1 Implementation of Regulations and Standards. We require that all new habitable structures be designed in accordance with the most recent California Building Code adopted by the City, including provisions regarding lateral forces and grading.

Community Design Element:
 Goal CD1: A dynamic, progressive city containing distinct neighborhoods and commercial districts that foster a positive sense of identity and belonging among residents, visitors, and businesses.
 CD1-1 City Identity. We take actions that are consistent with the City being a leading urban center in Southern California while recognizing the diverse character of our existing viable neighborhoods.
 CD1-2 Growth Areas. We require development in growth areas to be distinctive and unique places within which there are cohesive design themes.  CD1-3 Neighborhood Improvement. We require viable existing residential and non-residential neighborhoods to be preserved, protected, and enhanced in accordance with our land use policies.
 Goal CD2: A high level of design quality resulting in public spaces, streetscapes, and developments that are attractive, safe, functional and distinct.  CD2-1 Quality Architecture. We encourage all development projects to convey visual interest and character through:
221
Planning Commission Staff Report
File Nos.: PGPA21-004, PZC21-002 and PDCA21-001
December 20, 2021

Page 11 of 18 ends

• Building volume, massing, and height to provide appropriate scale and proportion;
• A true architectural style which is carried out in plan, section and elevation through all aspects of the building and site design and appropriate for its setting; and
• Exterior building materials that are visually interesting, high quality, durable, and appropriate for the architectural style.
 CD2-2 Neighborhood Design. We create distinct residential neighborhoods that are functional, have a sense of community, emphasize livability and social interaction, and are uniquely identifiable places through such elements as:
• A pattern of smaller, walkable blocks that promote access, activity and safety;
• Variable setbacks and parcel sizes to accommodate a diversity of housing types;
• Traffic calming measures to slow traffic and promote walkability while maintaining acceptable fire protection and traffic flows; • Floor plans that encourage views onto the street and de-emphasize the visual and physical dominance of garages (introducing the front porch as the "outdoor living room"), as appropriate; and
• Landscaped parkways, with sidewalks separated from the curb.  CD2-7 Sustainability. We collaborate with the development community to design and build neighborhoods, streetscapes, sites, outdoor spaces, landscaping and buildings to reduce energy demand through solar orientation, maximum use of natural daylight, passive solar and natural ventilation, building form, mechanical and structural systems, building materials and construction techniques.  CD2-8 Safe Design. We incorporate defensible space design into new and existing developments to ensure the maximum safe travel and visibility on pathways, corridors, and open space and at building entrances and parking areas by avoiding physically and visually isolated spaces, maintenance of visibility and accessibility, and use of lighting.
 CD2-9 Landscape Design. We encourage durable landscaping materials and designs that enhance the aesthetics of structures, create, and define public and private spaces, and provide shade and environmental benefits.  CD2-13 Entitlement Process. We work collaboratively with all stakeholders to ensure a high degree of certainty in the efficient review and timely processing of all development plans and permits.

HOUSING ELEMENT COMPLIANCE: The proposed 2021-2029 Housing Element Update is mandated by Sections 65580 to 65589 of the California Government Code. State Housing 222
Planning Commission Staff Report
File Nos.: PGPA21-004, PZC21-002 and PDCA21-001
December 20, 2021

Page 12 of 18 ends

Element law requires that each city and county identify and analyze existing and projected housing needs within their jurisdiction and prepare goals, policies, and programs to further the development, improvement, and preservation of housing for all economic segments of their community commensurate with local housing needs.

AIRPORT LAND USE COMPATIBILITY PLAN (ALUCP) COMPLIANCE: The California State Aeronautics Act (Public Utilities Code Section 21670 et seq.) requires that an Airport Land Use Compatibility Plan be prepared for all public use airports in the State; and requires that local land use plans and individual development proposals must be consistent with the policies set forth in the adopted Airport Land Use Compatibility Plan. On April 19, 2011, the City Council of the City of Ontario approved and adopted the Ontario International Airport Land use Compatibility Plan (“ALUCP”), establishing the Airport Influence Area for Ontario International Airport, which encompasses lands within parts of San Bernardino, Riverside, and Los Angeles Counties, and limits future land uses and development within the Airport Influence Area, as they relate to noise, safety, airspace protection, and overflight impacts of current and future airport activity. The proposed project is located within the Airport Influence Area of Ontario International Airport and was evaluated and found to be consistent with the policies and criteria of the ALUCP. Any special conditions of approval associated with uses in close proximity to the airport are included in the conditions of approval provided with the attached Resolution.

ENVIRONMENTAL REVIEW: The environmental impacts of this project were analyzed in an Addendum to The Ontario Plan Environmental Impact Report (State Clearinghouse No. 2008101140), certified by the City Council on January 27, 2010, in conjunction with File No. PGPA06-001. This Application introduces no new significant environmental impacts.

All previously adopted mitigation measures shall be a condition of project approval, as applicable, and are incorporated herein by this reference. 223
Planning Commission Staff Report
File Nos.: PGPA21-004, PZC21-002 and PDCA21-001
December 20, 2021

Page 13 of 18 ends

Exhibit A – Proposed AH, Affordable Housing Overlay Locations 224
Planning Commission Staff Report
File Nos.: PGPA21-004, PZC21-002 and PDCA21-001
December 20, 2021

Page 14 of 18 ends

Exhibit B – Revised LU-01 with AH, Affordable Housing Overlay 225
Planning Commission Staff Report
File Nos.: PGPA21-004, PZC21-002 and PDCA21-001
December 20, 2021

Page 15 of 18 ends

Exhibit C – Revised Zoning Map with AH, Affordable Housing Overlay 226
Planning Commission Staff Report
File Nos.: PGPA21-004, PZC21-002 and PDCA21-001
December 20, 2021

Page 16 of 18 ends

Exhibit D – Proposed Development Code Amendment
Draft DCA Section 6.01.035 (6. AH (Affordable Housing) Overlay District) (Document follows this page)
227
Planning Commission Staff Report
File Nos.: PGPA21-004, PZC21-002 and PDCA21-001
December 20, 2021

Page 17 of 18 ends

228
Planning Commission Staff Report
File Nos.: PGPA21-004, PZC21-002 and PDCA21-001
December 20, 2021

Page 18 of 18 ends

229
RESOLUTION NO. PC21-093

A RESOLUTION OF THE PLANNING COMMISSION OF THE CITY OF

ONTARIO, CALIFORNIA, RECOMMENDING THE CITY COUNCIL

ADOPT AN ADDENDUM TO THE ONTARIO PLAN ENVIRONMENTAL
IMPACT REPORT FOR FILE NOS. PGPA21-004, PZC-21-002, AND PDCA21-001, FOR WHICH AN INITIAL STUDY WAS PREPARED, IN

ACCORDANCE WITH THE REQUIREMENTS OF THE CALIFORNIA

ENVIRONMENTAL QUALITY ACT, AS AMENDED, AND MAKING
FINDINGS IN SUPPORT THEREOF.

WHEREAS, CITY OF ONTARIO (hereinafter referred to as "Applicant") has filed an Application for the approval of File Nos. PGPA21-004, General Plan Amendment, PZC-21-002, Zone Change, and PDCA21-001, Development Code Amendment, as described in the title of this Resolution (hereinafter referred to as "Application" or "Project"); and
WHEREAS, THE ONTARIO PLAN ("TOP") Environmental Impact Report (State Clearinghouse No. 2008101140) was certified on January 27, 2010 (hereinafter referred to as "Certified EIR"), in which development and use of the Project site was discussed; and
WHEREAS, the Planning Director of the City of Ontario has prepared and approved for attachment to the certified Environmental Impact Report, an Addendum to the Certified EIR (hereinafter referred to as "EIR Addendum") in accordance with the requirements of the California Environmental Quality Act of 1970, together with State and local guidelines implementing said Act, all as amended to date (collectively referred to as "CEQA"); and
WHEREAS, the EIR Addendum concluded that implementation of the Project would not propose additional growth that was not evaluated under the 2010 Certified EIR or change the buildout evaluated under the Approved Project, and no substantial changes in circumstances under CEQA Guidelines Section 15162(a)(2) have occurred since the certification of the 2010 EIR that would indicate new significant impacts or substantially increase the severity of significant impacts previously identified and background environmental conditions have not significantly changed since the certification of the 2010 Certified EIR. Additionally, no information that was not known and could not have been known at the time of the 2010 Certified EIR preparation has been revealed that shows new or substantially greater significant impacts would result under Section 15162(a)(3).

There are no new or different mitigation measures that would substantially reduce one or more significant impacts of the Approved Project but that are not adopted. The Proposed Project does not identify or require adoption of any further mitigation measures beyond those provided in the Certified EIR; and
230
Planning Commission Resolution
File Nos. PGPA21-004, PZC-21-002, & PDCA21-001
December 20, 2021

Page 2 ends

WHEREAS, pursuant to State CEQA Guidelines Section 15164(a), a lead agency shall prepare an addendum to a previously certified EIR if some changes or additions are necessary to a project, but the preparation of a subsequent or supplemental EIR is not required; and
WHEREAS, the City determined that none of the conditions requiring preparation of a subsequent or supplemental EIR would occur from the Project, and that preparation of an Addendum to the Certified EIR was appropriate; and WHEREAS, the City of Ontario is the lead agency on the Project, and the Planning Commission is the recommending authority for the requested approval to construct and otherwise undertake the Project; and
WHEREAS, the Planning Commission has reviewed and considered the EIR Addendum for the Project, has concluded that none of the conditions requiring preparation of a subsequent of supplemental EIR have occurred, and intends to take actions on the Project in compliance with CEQA and state and local guidelines implementing CEQA; and
WHEREAS, the EIR Addendum for the Project is on file in the Planning Department, located at 303 East B Street, Ontario, CA 91764, are available for inspection by any interested person at that location and are, by this reference, incorporated into this Resolution as if fully set forth herein; and
WHEREAS, Ontario Development Code Table 2.02-1 (Review Matrix) grants the Planning Commission the responsibility and authority to review and make recommendation to City Council on the subject Application; and WHEREAS, City of Ontario Development Code Division 2.03 (Public Hearings) prescribes the manner in which public notification shall be provided and hearing procedures to be followed, and all such notifications and procedures have been completed; and
WHEREAS, all legal prerequisites to the adoption of this Resolution have occurred.

NOW, THEREFORE, IT IS HEREBY FOUND, DETERMINED, AND RESOLVED by the Planning Commission of the City of Ontario, as follows:

SECTION 1: Environmental Determination and Findings. As the recommending body for the Project, the Planning Commission has reviewed and considered the information contained in the administrative record for the Project. Based upon the facts and information contained in the administrative record, including all written 231
Planning Commission Resolution
File Nos. PGPA21-004, PZC-21-002, & PDCA21-001
December 20, 2021

Page 3 ends

and oral evidence presented to the Planning Commission, the Planning Commission finds as follows:
(1) The environmental impacts of this project were reviewed in conjunction with an Addendum to The Ontario Plan ("TOP") Environmental Impact Report— State Clearinghouse No. 2008101140 ("Certified EIR"), which was certified by the Ontario City Council on January 27, 2010, in conjunction with File Nos. PGPA21-004, PZC-21-002, and PDCA21-001; and
(2) The EIR Addendum and administrative record have been completed in compliance with CEQA, the State CEQA Guidelines, and the City of Ontario Local CEQA Guidelines; and
(3) The City's "Guidelines for the Implementation of the California Environmental Quality Act (CEQA)" provide for the use of a single environmental assessment in situations where the impacts of subsequent projects are adequately analyzed. This Application introduces no new significant environmental impacts; and (4) The EIR Addendum contains a complete and accurate reporting of the environmental impacts associated with the Project, and reflects the independent judgment of the Planning Commission; and
(5) There is no substantial evidence in the administrative record supporting a fair argument that the project may result in significant environmental impacts; and (6) The proposed project will introduce no new significant environmental impacts beyond those previously analyzed in the Certified EIR, and all mitigation measures previously adopted by the Certified EIR, are incorporated herein by this reference.

SECTION 2: Additional Environmental Review Not Required. Based on the Addendum, all related information presented to the Planning Commission, and the specific findings set forth in Section 1, above, the Planning Commission finds that the preparation of a subsequent or supplemental Environmental Impact Report is not required for the Project, as the Project:
(1) Does not constitute substantial changes to the Certified EIR that will require major revisions to the Certified EIR due to the involvement of new significant environmental effects or a substantial increase in the severity of previously identified significant effects; and
(2) Does not constitute substantial changes with respect to the circumstances under which the Certified EIR was prepared, that will require major revisions to the 232
Planning Commission Resolution
File Nos. PGPA21-004, PZC-21-002, & PDCA21-001
December 20, 2021

Page 4 ends

Certified EIR due to the involvement of new significant environmental effects or a substantial increase in the severity of the previously identified significant effects; and (3) Does not contain new information of substantial importance that was not known and could not have been known with the exercise of reasonable diligence at the time the Certified EIR was certified/adopted, that shows any of the following:
(a) The Project will have one or more significant effects not discussed in the Certified EIR; or
(b) Significant effects previously examined will be substantially more severe than shown in the Certified EIR; or
(c) Mitigation measures or alternatives previously found not to be feasible would in fact be feasible and would substantially reduce one or more significant effects of the Project, but the City declined to adopt such measures; or (d) Mitigation measures or alternatives considerably different from those analyzed in the Certified EIR would substantially reduce one or more significant effects on the environment, but which the City declined to adopt.

SECTION 3: Planning Commission Action. Based upon the findings and conclusions set forth in Sections 1 and 2, above, the Planning Commission hereby finds that based upon the entire record of proceedings before it, and all information received, that there is no substantial evidence that the Project will constitute substantial changes to the Certified EIR, and does hereby approve the EIR Addendum, attached hereto as "Attachment A," and incorporated herein by this reference.

SECTION 4: Custodian of Records. The documents and materials that constitute the record of proceedings on which these findings have been based are located at the City of Ontario City Hall, 303 East "B" Street, Ontario, California 91764. The custodian for these records is the City Clerk of the City of Ontario.

SECTION 5: Certification to Adoption. The Secretary shall certify to the adoption of the Resolution.
- - - - - - - - - - - - - -
233
234
235
Planning Commission Resolution
File Nos. PGPA21-004, PZC-21-002, & PDCA21-001
December 20, 2021

Page 7 ends

ATTACHMENT A:

Addendum to The Ontario Plan
Environmental Impact Report
(Addendum to follow this page)
236

EhDdKd,
KEdZ/KW>E
/Z
&/E>
Es/ZKED
Ed> /DWdZ
WKZd
;^dd
>
Z/E',Kh^
EhD
ZϮϬϬϴϭϬϭϭϰϬͿ
KEs/
tWZK:
d
WƌĞƉĂƌĞĚ&Žƌ͗
ŝƚǇŽĨKŶƚĂƌŝŽ
ϯϬϯ
ĂƐƚ͟͞^ƚƌĞĞƚ
KŶƚĂƌŝŽ͕ĂůŝĨŽƌŶŝĂϵϭϳϲϰ
WƌĞƉĂƌĞĚǇ͗
<ŝŵůĞǇͲ,ŽƌŶĂŶĚƐƐŽĐŝĂƚĞƐ͕/ŶĐ͘
ϯϴϴϬ >ĞŵŽŶ^ƚƌĞĞƚ͕^ƵŝƚĞϰϮϬ
ZŝǀĞƌƐŝĚĞ͕ϵϮϱϬϭ
ĞĐĞŵďĞƌϮϬϮϭ
237
238
dĂďůĞŽĨŽŶƚĞŶƚƐ
dŚĞKŶƚĂƌŝŽWůĂŶ
/Z ŝ ŽŶsŝĞǁWƌŽũĞĐƚ
ĚĚĞŶĚƵŵƚŽƚŚĞ&ŝŶĂů
ŶǀŝƌŽŶŵĞŶƚĂů/ŵƉĂĐƚZĞƉŽƌƚ
d>
K&KEd
Ed^
ϭ WƵƌƉŽƐĞŽĨƚŚĞĚĚĞŶĚƵŵ͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘ϭ Ϯ ĞƐĐƌŝƉƚŝŽŶŽĨWƌŽƉŽƐĞĚWƌŽũĞĐƚ͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘ϯ Ϯ͘ϭ WƌŽũĞĐƚ^ĞƚƚŝŶŐĂŶĚ>ŽĐĂƚŝŽŶ͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘ϯ Ϯ͘Ϯ WƌŽũĞĐƚĞƐĐƌŝƉƚŝŽŶ͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘ϰ Ϯ͘ϯ ŽŶƐƚƌƵĐƚŝŽŶ^ĐŚĞĚƵůĞ͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘ϱ Ϯ͘ϰ WƌŽũĞĐƚƉƉƌŽǀĂůƐ͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘ϱ ϯ dŚĞKŶƚĂƌŝŽWůĂŶ
/Z
ŶǀŝƌŽŶŵĞŶƚĂů/ŵƉĂĐƚŶĂůǇƐŝƐ^ƵŵŵĂƌǇ͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘Ϯϭ ϰ ŽŶsŝĞǁǀĞŶƵĞtĂƌĞŚŽƵƐĞWƌŽũĞĐƚ
ŶǀŝƌŽŶŵĞŶƚĂů/ŵƉĂĐƚŶĂůǇƐŝƐĂŶĚWƌŽũĞĐƚƉƉƌŽǀĂůƐ͘͘͘͘͘͘͘͘͘Ϯϯ ϰ͘ϭ ĞƐƚŚĞƚŝĐƐ͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘Ϯϰ ϰ͘Ϯ ŐƌŝĐƵůƚƵƌĂůĂŶĚ&ŽƌĞƐƚƌǇZĞƐŽƵƌĐĞƐ͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘Ϯϳ ϰ͘ϯ ŝƌYƵĂůŝƚǇ͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘Ϯϵ ϰ͘ϰ ŝŽůŽŐŝĐĂůZĞƐŽƵƌĐĞƐ͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘ϯϲ ϰ͘ϱ ƵůƚƵƌĂůZĞƐŽƵƌĐĞƐ͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘ϰϬ ϰ͘ϲ 'ĞŽůŽŐǇĂŶĚ^ŽŝůƐ͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘ϰϯ ϰ͘ϳ 'ƌĞĞŶŚŽƵƐĞ'ĂƐ
ŵŝƐƐŝŽŶƐ;'ůŽďĂůůŝŵĂƚĞŚĂŶŐĞͿ͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘ϰϳ ϰ͘ϴ ,ĂǌĂƌĚƐĂŶĚ,ĂǌĂƌĚŽƵƐDĂƚĞƌŝĂůƐ͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘ϰϵ ϰ͘ϵ ,ǇĚƌŽůŽŐǇĂŶĚtĂƚĞƌYƵĂůŝƚǇ͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘ϱϰ ϰ͘ϭϬ >ĂŶĚhƐĞĂŶĚWůĂŶŶŝŶŐ͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘ϱϴ ϰ͘ϭϭ DŝŶĞƌĂůZĞƐŽƵƌĐĞƐ͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘ϲϬ ϰ͘ϭϮ EŽŝƐĞ͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘ϲϭ ϰ͘ϭϯ WŽƉƵůĂƚŝŽŶĂŶĚ,ŽƵƐŝŶŐ͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘ϲϲ ϰ͘ϭϰ WƵďůŝĐ^ĞƌǀŝĐĞƐ͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘ϲϴ ϰ͘ϭϱ ZĞĐƌĞĂƚŝŽŶ͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘ϳϬ ϰ͘ϭϲ dƌĂŶƐƉŽƌƚĂƚŝŽŶ͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘ϳϭ ϰ͘ϭϳ hƚŝůŝƚŝĞƐĂŶĚ^ĞƌǀŝĐĞ^ǇƐƚĞŵƐ͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘ϳϰ ϰ͘ϭϴ dƌŝďĂůƵůƚƵƌĂůZĞƐŽƵƌĐĞƐ͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘ϳϴ ϰ͘ϭϵ
ŶĞƌŐǇ͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘ϴϭ ϰ͘ϮϬ tŝůĚĨŝƌĞ͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘ϴϮ ϱ ĞƚĞƌŵŝŶĂƚŝŽŶŽĨƉƉƌŽƉƌŝĂƚĞ
YŽĐƵŵĞŶƚĂƚŝŽŶ͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘ϴϱ ϲ ŽŶĐůƵƐŝŽŶ͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘ϴϵ ϳ ZĞĨĞƌĞŶĐĞƐ͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘ϵϭ 239
dĂďůĞŽĨŽŶƚĞŶƚƐ
dŚĞKŶƚĂƌŝŽWůĂŶ
/Z ŝŝ ŽŶsŝĞǁWƌŽũĞĐƚ
ĚĚĞŶĚƵŵƚŽƚŚĞ&ŝŶĂů
ŶǀŝƌŽŶŵĞŶƚĂů/ŵƉĂĐƚZĞƉŽƌƚ
>/^dK&
y,//d^

ǆŚŝďŝƚϭ͗ZĞŐŝŽŶĂů>ŽĐĂƚŝŽŶDĂƉ͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘ϳ

ǆŚŝďŝƚϮ͗WƌŽũĞĐƚsŝĐŝŶŝƚǇDĂƉ͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘ϵ

ǆŚŝďŝƚϯ͗ŽŶĐĞƉƚƵĂů^ŝƚĞWůĂŶ͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘ϭϭ

ǆŚŝďŝƚϰ͘ϭ͗
ůĞǀĂƚŝŽŶƐ͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘ϭϯ

ǆŚŝďŝƚϰ͘Ϯ͗ŽŶĐĞƉƚƵĂů
ůĞǀĂƚŝŽŶƐ͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘ϭϱ

ǆŚŝďŝƚϱ͗ŽŶĐĞƉƚƵĂů>ĂŶĚƐĐĂƉĞWůĂŶ͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘ϭϳ

ǆŚŝďŝƚϲ͗ŽŶĐĞƉƚƵĂů'ƌĂĚŝŶŐWůĂŶ͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘ϭϵ >/^dK&d>
^
dĂďůĞϭ͗ƐƐĞƐƐŽƌWĂƌĐĞůEƵŵďĞƌƐ͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘ϯ dĂďůĞϮ͗ŽŶƐƚƌƵĐƚŝŽŶ,ĞĂůƚŚZŝƐŬ͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘ϯϯ dĂďůĞϯ͗KƉĞƌĂƚŝŽŶĂů,ĞĂůƚŚZŝƐŬ͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘ϯϯ dĂďůĞϰ͗ŚƌŽŶŝĐĂŶĚĐƵƚĞ,ĂǌĂƌĚƐ͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘ϯϰ dĂďůĞϱ͗dǇƉŝĐĂůŽŶƐƚƌƵĐƚŝŽŶ
ƋƵŝƉŵĞŶƚEŽŝƐĞĂŶĚsŝďƌĂƚŝŽŶ>ĞǀĞůƐ͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘ϲϯ >/^dK&WW
E/
^
͘ DŝƚŝŐĂƚŝŽŶDŽŶŝƚŽƌŝŶŐĂŶĚZĞƉŽƌƚŝŶŐWƌŽŐƌĂŵ
͘ ƵůƚƵƌĂůZĞƐŽƵƌĐĞdĞĐŚŶŝĐĂůZĞƉŽƌƚ
͘ ,ĞĂůƚŚZŝƐŬƐƐĞƐƐŵĞŶƚ
͘ WŚĂƐĞ/
ŶǀŝƌŽŶŵĞŶƚĂů^ŝƚĞƐƐĞƐƐŵĞŶƚ
240
WƵƌƉŽƐĞŽĨƚŚĞĚĚĞŶĚƵŵ
dŚĞKŶƚĂƌŝŽWůĂŶ
/Z ϭ ŽŶsŝĞǁWƌŽũĞĐƚ
ĚĚĞŶĚƵŵƚŽƚŚĞ&ŝŶĂů
ŶǀŝƌŽŶŵĞŶƚĂů/ŵƉĂĐƚZĞƉŽƌƚ
ϭ WhZWK^
K&d,

EhD
dŚŝƐĚĚĞŶĚƵŵ ŚĂƐďĞĞŶ ƉƌĞƉĂƌĞĚŝŶ ĂĐĐŽƌĚĂŶĐĞǁŝƚŚƚŚĞ ƉƌŽǀŝƐŝŽŶƐŽĨ ƚŚĞ ĂůŝĨŽƌŶŝĂ ŶǀŝƌŽŶŵĞŶƚĂů
YƵĂůŝƚǇĐƚ;
YͿ;ĂůŝĨŽƌŶŝĂWƵďůŝĐZĞƐŽƵƌĐĞƐŽĚĞ΀WZ΁^ĞĐƚŝŽŶϮϭϬϬϬĞƚƐĞƋ͘Ϳ͖ƚŚĞ Y'ƵŝĚĞůŝŶĞƐ
;dŝƚůĞ ϭϰ͕ĂůŝĨŽƌŶŝĂŽĚĞ ŽĨ ZĞŐƵůĂƚŝŽŶƐ΀Z΁^ĞĐƚŝŽŶ ϭϱϬϬϬ ĞƚƐĞƋ͘Ϳ͖ĂŶĚ ƚŚĞƌƵůĞƐ͕ƌĞŐƵůĂƚŝŽŶƐ͕ĂŶĚ ƉƌŽĐĞĚƵƌĞƐĨŽƌŝŵƉůĞŵĞŶƚŝŶŐ
YĂƐƐĞƚĨŽƌƚŚďǇƚŚĞŝƚǇŽĨKŶƚĂƌŝŽ;ŝƚǇͿ͘dŚĞŝƚǇŝƐƚŚĞůĞĂĚĂŐĞŶĐǇ ƵŶĚĞƌƚŚĞ
Y͘
^ĞĐƚŝŽŶϭϱϭϲϰ;ĂͿŽĨƚŚĞ
Y'ƵŝĚĞůŝŶĞƐƐƚĂƚĞƐƚŚĂƚ͞ƚŚĞůĞĂĚĂŐĞŶĐǇŽƌĂƌĞƐƉŽŶƐŝďůĞĂŐĞŶĐǇƐŚĂůůƉƌĞƉĂƌĞ ĂŶĂĚĚĞŶĚƵŵƚŽĂƉƌĞǀŝŽƵƐůǇĐĞƌƚŝĨŝĞĚ
/ZŝĨƐŽŵĞĐŚĂŶŐĞƐŽƌĂĚĚŝƚŝŽŶƐĂƌĞŶĞĐĞƐƐĂƌǇ͕ďƵƚŶŽŶĞŽĨƚŚĞ ĐŽŶĚŝƚŝŽŶƐ ĚĞƐĐƌŝďĞĚ ŝŶ ^ĞĐƚŝŽŶ ϭϱϭϲϮ ĐĂůůŝŶŐ ĨŽƌ ƉƌĞƉĂƌĂƚŝŽŶ ŽĨ Ă ƐƵďƐĞƋƵĞŶƚ /Z ŚĂǀĞ ŽĐĐƵƌƌĞĚ͘͟
WƵƌƐƵĂŶƚƚŽ^ĞĐƚŝŽŶϭϱϭϲϮ;ĂͿŽĨƚŚĞ
Y'ƵŝĚĞůŝŶĞƐ͕ĂƐƵďƐĞƋƵĞŶƚ
ŶǀŝƌŽŶŵĞŶƚĂů/ŵƉĂĐƚZĞƉŽƌƚ;^
/ZͿ
ŽƌEĞŐĂƚŝǀĞĞĐůĂƌĂƚŝŽŶŝƐŽŶůǇƌĞƋƵŝƌĞĚǁŚĞŶ͗
;ϭͿ ^ƵďƐƚĂŶƚŝĂůĐŚĂŶŐĞƐĂƌĞƉƌŽƉŽƐĞĚŝŶƚŚĞƉƌŽũĞĐƚǁŚŝĐŚǁŝůůƌĞƋƵŝƌĞŵĂũŽƌƌĞǀŝƐŝŽŶƐŽĨƚŚĞƉƌĞǀŝŽƵƐ

/ZŽƌŶĞŐĂƚŝǀĞĚĞĐůĂƌĂƚŝŽŶĚƵĞƚŽƚŚĞŝŶǀŽůǀĞŵĞŶƚŽĨŶĞǁƐŝŐŶŝĨŝĐĂŶƚĞŶǀŝƌŽŶŵĞŶƚĂůĞĨĨĞĐƚƐŽƌĂ ƐƵďƐƚĂŶƚŝĂůŝŶĐƌĞĂƐĞŝŶƚŚĞƐĞǀĞƌŝƚǇŽĨƉƌĞǀŝŽƵƐůǇŝĚĞŶƚŝĨŝĞĚƐŝŐŶŝĨŝĐĂŶƚĞĨĨĞĐƚƐ͖ ;ϮͿ ^ƵďƐƚĂŶƚŝĂů ĐŚĂŶŐĞƐ ŽĐĐƵƌ ǁŝƚŚ ƌĞƐƉĞĐƚ ƚŽ ƚŚĞ ĐŝƌĐƵŵƐƚĂŶĐĞƐ ƵŶĚĞƌ ǁŚŝĐŚ ƚŚĞ ƉƌŽũĞĐƚ ŝƐ ƵŶĚĞƌƚĂŬĞŶǁŚŝĐŚǁŝůůƌĞƋƵŝƌĞŵĂũŽƌƌĞǀŝƐŝŽŶƐŽĨƚŚĞƉƌĞǀŝŽƵƐ /ZŽƌEĞŐĂƚŝǀĞĞĐůĂƌĂƚŝŽŶĚƵĞƚŽ
ƚŚĞŝŶǀŽůǀĞŵĞŶƚŽĨŶĞǁƐŝŐŶŝĨŝĐĂŶƚĞŶǀŝƌŽŶŵĞŶƚĂůĞĨĨĞĐƚƐŽƌĂƐƵďƐƚĂŶƚŝĂůŝŶĐƌĞĂƐĞŝŶƚŚĞƐĞǀĞƌŝƚǇ ŽĨƉƌĞǀŝŽƵƐůǇŝĚĞŶƚŝĨŝĞĚƐŝŐŶŝĨŝĐĂŶƚĞĨĨĞĐƚƐ͖Žƌ
;ϯͿ EĞǁ ŝŶĨŽƌŵĂƚŝŽŶ ŽĨ ƐƵďƐƚĂŶƚŝĂůŝŵƉŽƌƚĂŶĐĞ͕ǁŚŝĐŚ ǁĂƐŶŽƚ ŬŶŽǁŶ ĂŶĚ ĐŽƵůĚ ŶŽƚ ŚĂǀĞ ďĞĞŶ ŬŶŽǁŶ ǁŝƚŚ ƚŚĞĞǆĞƌĐŝƐĞŽĨ ƌĞĂƐŽŶĂďůĞĚŝůŝŐĞŶĐĞ ĂƚƚŚĞ ƚŝŵĞƚŚĞƉƌĞǀŝŽƵƐ /ZǁĂƐĐĞƌƚŝĨŝĞĚĂƐ
ĐŽŵƉůĞƚĞŽƌƚŚĞEĞŐĂƚŝǀĞĞĐůĂƌĂƚŝŽŶǁĂƐĂĚŽƉƚĞĚ͕ƐŚŽǁƐĂŶǇŽĨƚŚĞĨŽůůŽǁŝŶŐ͗ ;Ϳ dŚĞƉƌŽũĞĐƚǁŝůůŚĂǀĞŽŶĞ ŽƌŵŽƌĞƐŝŐŶŝĨŝĐĂŶƚĞĨĨĞĐƚƐŶŽƚĚŝƐĐƵƐƐĞĚŝŶƚŚĞƉƌĞǀŝŽƵƐ /ZŽƌ
ŶĞŐĂƚŝǀĞĚĞĐůĂƌĂƚŝŽŶ͖
;Ϳ ^ŝŐŶŝĨŝĐĂŶƚĞĨĨĞĐƚƐƉƌĞǀŝŽƵƐůǇĞǆĂŵŝŶĞĚǁŝůůďĞƐƵďƐƚĂŶƚŝĂůůǇŵŽƌĞƐĞǀĞƌĞƚŚĂŶƐŚŽǁŶŝŶƚŚĞ ƉƌĞǀŝŽƵƐ
/Z͖
;Ϳ DŝƚŝŐĂƚŝŽŶŵĞĂƐƵƌĞƐŽƌĂůƚĞƌŶĂƚŝǀĞƐƉƌĞǀŝŽƵƐůǇĨŽƵŶĚ ŶŽƚƚŽ ďĞĨĞĂƐŝďůĞǁŽƵůĚ ŝŶ ĨĂĐƚďĞ ĨĞĂƐŝďůĞ͕ĂŶĚǁŽƵůĚƐƵďƐƚĂŶƚŝĂůůǇƌĞĚƵĐĞŽŶĞŽƌŵŽƌĞƐŝŐŶŝĨŝĐĂŶƚĞĨĨĞĐƚƐŽĨƚŚĞƉƌŽũĞĐƚ͕ďƵƚ ƚŚĞƉƌŽũĞĐƚƉƌŽƉŽŶĞŶƚƐĚĞĐůŝŶĞƚŽĂĚŽƉƚƚŚĞŵŝƚŝŐĂƚŝŽŶŵĞĂƐƵƌĞŽƌĂůƚĞƌŶĂƚŝǀĞ͖Žƌ ;Ϳ DŝƚŝŐĂƚŝŽŶŵĞĂƐƵƌĞƐŽƌĂůƚĞƌŶĂƚŝǀĞƐǁŚŝĐŚĂƌĞĐŽŶƐŝĚĞƌĂďůǇĚŝĨĨĞƌĞŶƚĨƌŽŵƚŚŽƐĞĂŶĂůǇǌĞĚ ŝŶ ƚŚĞ ƉƌĞǀŝŽƵƐ
/ZǁŽƵůĚ ƐƵďƐƚĂŶƚŝĂůůǇƌĞĚƵĐĞ ŽŶĞ Žƌ ŵŽƌĞ ƐŝŐŶŝĨŝĐĂŶƚĞĨĨĞĐƚƐ ŽŶ ƚŚĞ ĞŶǀŝƌŽŶŵĞŶƚ͕ ďƵƚ ƚŚĞ ƉƌŽũĞĐƚ ƉƌŽƉŽŶĞŶƚƐ ĚĞĐůŝŶĞ ƚŽ ĂĚŽƉƚ ƚŚĞŵŝƚŝŐĂƚŝŽŶ ŵĞĂƐƵƌĞŽƌ ĂůƚĞƌŶĂƚŝǀĞ͘
dŚĞKŶƚĂƌŝŽWůĂŶ;KŶƚĂƌŝŽ'ĞŶĞƌĂůWůĂŶ΀'W΁ͿĂŶĚ&ŝŶĂů ŶǀŝƌŽŶŵĞŶƚĂů/ŵƉĂĐƚZĞƉŽƌƚ;KŶƚĂƌŝŽ'W
/ZͿǁĂƐ
ĂĚŽƉƚĞĚďǇƚŚĞŝƚǇŽƵŶĐŝůŽŶ:ĂŶƵĂƌǇϮϳ͕ϮϬϭϬ͘ϭdŚĞKŶƚĂƌŝŽ'WŝƐŝŶƚĞŶĚĞĚƚŽŐƵŝĚĞƚŚĞŝƚǇ͛ƐŐƌŽǁƚŚ ĂŶĚĚĞǀĞůŽƉŵĞŶƚ͘tŚŝůĞƚŚĞĚŽĐƵŵĞŶƚǁĂƐŶŽƚĐƌĞĂƚĞĚǁŝƚŚĂŶĞǆƉŝƌĂƚŝŽŶƚŝŵĞůŝŶĞ͕ƚŚĞŝŶĨŽƌŵĂƚŝŽŶƵƐĞĚ ϭ
ŝƚǇŽĨKŶƚĂƌŝŽ͘;ϮϬϭϬͿ͘DŽŶƚŚůǇĐƚŝǀŝƚǇZĞƉŽƌƚͶĐƚŝŽŶƐ DŽŶƚŚŽĨ͗:ĂŶƵĂƌǇϮϬϭϬ͘WĂŐĞϮ͘ZĞƚƌŝĞǀĞĚĨƌŽŵ͗ ŚƚƚƉƐ͗ͬͬǁǁǁ͘ŽŶƚĂƌŝŽĐĂ͘ŐŽǀͬƐŝƚĞƐͬĚĞĨĂƵůƚͬĨŝůĞƐͬKŶƚĂƌŝŽͲ&ŝůĞƐͬWůĂŶŶŝŶŐͬDŽŶƚŚůǇͲĐƚŝǀŝƚǇͲZĞƉŽƌƚƐͬũĂŶƵĂƌǇͺϮϬϭϬ͘ƉĚĨ ;ĐĐĞƐƐĞĚƵŐƵƐƚϭϵ͕ϮϬϮϭͿ
241
WƵƌƉŽƐĞŽĨƚŚĞĚĚĞŶĚƵŵ
dŚĞKŶƚĂƌŝŽWůĂŶ
/Z Ϯ ŽŶsŝĞǁWƌŽũĞĐƚ
ĚĚĞŶĚƵŵƚŽƚŚĞ&ŝŶĂů
ŶǀŝƌŽŶŵĞŶƚĂů/ŵƉĂĐƚZĞƉŽƌƚ
ŝŶŝƚƐĐƌĞĂƚŝŽŶĂŶĚŐŽĂůƐƚŚĂƚǁĞƌĞĐƌĞĂƚĞĚǁĞƌĞďĂƐĞĚŽŶĂϮϬϯϱŚŽƌŝǌŽŶǇĞĂƌ͘^ŝŶĐĞŝƚƐĐĞƌƚŝĨŝĐĂƚŝŽŶ͕ƚŚĞ KŶƚĂƌŝŽ'WĂŶĚKŶƚĂƌŝŽ'W
/ZŚĂǀĞďĞĞŶƚŚĞďĂƐŝƐĨŽƌŐƌŽǁƚŚŵĞƚƌŝĐƐŝŶƚŚĞŝƚǇĂŶĚĂĐƚĂƐƚŚĞŐƵŝĚĞůŝŶĞƐ ĨŽƌĐŽŶƚŝŶƵĞĚĚĞǀĞůŽƉŵĞŶƚǁŝƚŚŝŶƚŚĞŝƚǇ͘dŚĞKŶƚĂƌŝŽWůĂŶŝŶĐůƵĚĞƐƐŝǆĐŽŵƉŽŶĞŶƚƐǁŚŝĐŚĐƌĞĂƚĞĂŵŽƌĞ ĐŽŵƉƌĞŚĞŶƐŝǀĞŐƵŝĚĞůŝŶĞ͘
ϭ͘ dŚĞsŝƐŝŽŶŽŵƉŽŶĞŶƚƉƌŽǀŝĚĞƐĂďƌŽĂĚŽƵƚůŽŽŬĂƚƚŚĞŝƚǇ͛ƐĐŚĂƌĂĐƚĞƌĂŶĚƚŚĞŝĚĞĂůĚŝƌĞĐƚŝŽŶŽĨ ĨƵƚƵƌĞŐƌŽǁƚŚ͘dŚŝƐĐŽŵƉŽŶĞŶƚ ŽƵƚůŝŶĞƐƚŚĞ ŝŶƚĞŶƚŝŽŶŽĨ ƚŚĞKŶƚĂƌŝŽ'WĂŶĚ ƚŚĞĨŽƵŶĚĂƚŝŽŶĂů ĐŽŶĐĞƉƚƐŶĞĐĞƐƐĂƌǇĨŽƌƚŚĞĐƌĞĂƚŝŽŶŽĨĂƉƌŽƐƉĞƌŽƵƐĐŽŵŵƵŶŝƚǇ͘dŚĞƐĞĐŽŶĐĞƉƚƐŝŶĐůƵĚĞĚǇŶĂŵŝĐ ďĂůĂŶĐĞ͕ĂƉƌŽƐƉĞƌŽƵƐĞĐŽŶŽŵǇ͕ĚŝƐƚŝŶĐƚŝǀĞĚĞǀĞůŽƉŵĞŶƚ͕ĂŶĚƌĞĐŽŐŶŝǌĞĚůĞĂĚĞƌƐŚŝƉ͘ Ϯ͘ dŚĞ'ŽǀĞƌŶĂŶĐĞDĂŶƵĂůĐŽŶƚĞǆƚƵĂůŝǌĞƐƚŚĞKŶƚĂƌŝŽ'WĂƐĂďƵƐŝŶĞƐƐƉůĂŶĨŽƌƚŚĞŝƚǇ͘/ƚĞǆƉůĂŝŶƐ ŚŽǁdŚĞKŶƚĂƌŝŽWůĂŶŝƐĂƚŽŽůĨŽƌĚĞĐŝƐŝŽŶŵĂŬŝŶŐĂŶĚĐŽŵŵƵŶŝĐĂƚŝŽŶ͘ ϯ͘ dŚĞWŽůŝĐǇWůĂŶƐƚĂƚĞƐůŽŶŐͲƚĞƌŵŐŽĂůƐ͕ƉƌŝŶĐŝƉůĞƐ͕ĂŶĚƉŽůŝĐŝĞƐĨŽƌĂĐŚŝĞǀŝŶŐKŶƚĂƌŝŽ͛ƐsŝƐŝŽŶ͘dŚŝƐ ĐŽŵƉŽŶĞŶƚĂĐƚƐĂƐƚŚĞĚŝƌĞĐƚŐƵŝĚĞĨŽƌĐŽŶƚŝŶƵĞĚ ŐƌŽǁƚŚĂŶĚĚĞǀĞůŽƉŵĞŶƚǁŝƚŚŝŶƚŚĞŝƚǇĂŶĚ ĨƵůůǇĚĞĨŝŶĞƐĞĂĐŚĂƐƉĞĐƚŽĨůŝĨĞǁŝƚŚŝŶƚŚĞŝƚǇ͘dŚĞƉŽůŝĐǇƉůĂŶĂĚĚƌĞƐƐĞƐĞĂĐŚĂƐƉĞĐƚŽĨůŝĨĞǁŝƚŚŝŶ ƚŚĞŝƚǇƚŚƌŽƵŐŚƐĞǀĞŶĞůĞŵĞŶƚƐ͗
Ă͘ >ĂŶĚhƐĞ
ď͘ ŽŵŵƵŶŝƚǇĞƐŝŐŶ
Đ͘ ŽŵŵƵŶŝƚǇ
ĐŽŶŽŵŝĐƐ
Ě͘
ŶǀŝƌŽŶŵĞŶƚĂůZĞƐŽƵƌĐĞƐ
Ğ͘ ^ĂĨĞƚǇ
Ĩ͘ ^ŽĐŝĂůZĞƐŽƵƌĐĞƐ
Ő͘ DŽďŝůŝƚǇ
ϰ͘ dŚĞŝƚǇŽƵŶĐŝůWƌŝŽƌŝƚŝĞƐĐŽŶƐŝƐƚŽĨƐŚŽƌƚƚĞƌŵĂĐƚŝŽŶƐĂŶĚŽďũĞĐƚŝǀĞƐĐŽŶƐŝĚĞƌĞĚďǇƚŚĞĐƵƌƌĞŶƚ ŝƚǇĐŽƵŶĐŝů͘dŚĞƐĞŐŽĂůƐƐƉĂŶĂƐŝŶŐůĞĨŝƐĐĂůǇĞĂƌǁŝƚŚƚŚĞĐƵƌƌĞŶƚƐĞƚŽĨŐŽĂůƐƚŽďĞŝŵƉůĞŵĞŶƚĞĚ ŝŶƚŚĞϮϬϮϬͬϮϬϮϭĨŝƐĐĂůǇĞĂƌ͘
ϱ͘ /ŵƉůĞŵĞŶƚĂƚŝŽŶĚĞƐĐƌŝďĞƐƚŚĞŵĞƚŚŽĚƐƚŚĂƚƚŚĞŝƚǇŝŶƚĞŶĚƐƚŽƵƐĞŝŶŽƌĚĞƌƚŽĨƵůůǇ ƌĞĂůŝǌĞƚŚĞ ŐŽĂůƐŽĨƚŚĞKŶƚĂƌŝŽ'W͘dŚĞƐĞŵĞƚŚŽĚƐŝŶĐůƵĚĞ ƚŚĞĨŽƌŵĂƚŝŽŶŽĨƉĂƌƚŶĞƌƐŚŝƉƐǁŝƚŚŽƚŚĞƌƉƵďůŝĐ ŽƌƉƌŝǀĂƚĞĞŶƚŝƚŝĞƐĂŶĚƚŚĞĂĚŽƉƚŝŽŶŽĨŵĂƐƚĞƌƉůĂŶƐĨŽƌƉŚǇƐŝĐĂůĚĞǀĞůŽƉŵĞŶƚƐŽƌƐĞƌǀŝĐĞƐǇƐƚĞŵƐ ŝŶĐůƵĚŝŶŐĐĂƉŝƚĂůŝŵƉƌŽǀĞŵĞŶƚƉƌŽŐƌĂŵƐĂŶĚƌĞĐƌĞĂƚŝŽŶŵĂƐƚĞƌƉůĂŶƐ͘KƚŚĞƌŵĞƚŚŽĚƐƌĞůŝĞĚƵƉŽŶ ƚŽŝŵƉůĞŵĞŶƚƚŚĞŝƚǇ͛ƐŐŽĂůƐŝŶĐůƵĚĞƚŚĞĐƌĞĂƚŝŽŶŽĨĐŝƚǇŝŶŝƚŝĂƚŝǀĞƐ͕ƚŚĞĐŽŶƐŝƐƚĞŶƚĐŽŶƚŝŶƵĂƚŝŽŶ ŽĨŽƉĞƌĂƚŝŽŶĂůƉƌŽŐƌĂŵƐ͕ĂŶĚƚŚĞĨĂĐŝůŝƚĂƚŝŽŶŽĨĚĞǀĞůŽƉŵĞŶƚƉƌŽũĞĐƚƐ͘ ϲ͘ dƌĂĐŬŝŶŐ ĂŶĚ &ĞĞĚďĂĐŬ ŝŶĐůƵĚĞƐ Ă ƐǇƐƚĞŵ ĨŽƌ ƉƵďůŝĐ ĞŵƉůŽǇĞĞƐ ĂŶĚ ƉƌŝǀĂƚĞ ƌĞƐŝĚĞŶƚƐ ƚŽ ĂĚĞƋƵĂƚĞůǇĐŽŵŵƵŶŝĐĂƚĞǁŝƚŚŝƚǇĚĞƉĂƌƚŵĞŶƚƐĂŶĚƉƌŽǀŝĚĞƚƌĂŶƐƉĂƌĞŶĐǇŝŶŝƚǇŽƉĞƌĂƚŝŽŶƐ͘ 242
ĞƐĐƌŝƉƚŝŽŶŽĨWƌŽƉŽƐĞĚWƌŽũĞĐƚ
dŚĞKŶƚĂƌŝŽWůĂŶ
/Z ϯ ŽŶsŝĞǁWƌŽũĞĐƚ
ĚĚĞŶĚƵŵƚŽƚŚĞ&ŝŶĂů
ŶǀŝƌŽŶŵĞŶƚĂů/ŵƉĂĐƚZĞƉŽƌƚ
Ϯ
^Z/Wd/KEK&WZKWK^
WZK:
d
Ϯ͘ϭ WƌŽũĞĐƚ^ĞƚƚŝŶŐĂŶĚ>ŽĐĂƚŝŽŶ
dŚĞ WƌŽũĞĐƚ ƐŝƚĞŝƐ ůŽĐĂƚĞĚ ŝŶ ƚŚĞ ǁĞƐƚĞƌŶƉŽƌƚŝŽŶ ŽĨ ƚŚĞ ŝƚǇ ŽŶ ƚŚĞ ǁĞƐƚƐŝĚĞ ŽĨ ŽŶ sŝĞǁ ǀĞŶƵĞ ĂƉƉƌŽǆŝŵĂƚĞůǇϭϯϬĨĞĞƚŶŽƌƚŚŽĨƚŚĞŶŽƌƚŚǁĞƐƚĐŽƌŶĞƌŽĨ ƚŚĞŝŶƚĞƌƐĞĐƚŝŽŶŽĨĞĚĂƌ^ƚƌĞĞƚĂŶĚŽŶsŝĞǁ ǀĞŶƵĞ͘
ǆŚŝďŝƚϭ͕ZĞŐŝŽŶĂů>ŽĐĂƚŝŽŶDĂƉĂŶĚ
ǆŚŝďŝƚϮ͕WƌŽũĞĐƚsŝĐŝŶŝƚǇDĂƉƐŚŽǁƚŚĞWƌŽũĞĐƚ͛ƐůŽĐĂƚŝŽŶ ǁŝƚŚŝŶƚŚĞŽǀĞƌĂůůŝƚǇĂƐǁĞůůĂƐƚŚĞWƌŽũĞĐƚ͛ƐůŽĐĂƚŝŽŶǁŝƚŚŝŶƚŚĞ ƐƵƌƌŽƵŶĚŝŶŐĐŽŵŵƵŶŝƚǇ͕ƌĞƐƉĞĐƚŝǀĞůǇ͘ ZĞŐŝŽŶĂůĂĐĐĞƐƐƚŽƚŚĞƐŝƚĞǁŽƵůĚďĞǀŝĂĂůŝĨŽƌŶŝĂ^ƚĂƚĞ,ŝŐŚǁĂǇϲϬ;ͲϲϬͿĂƉƉƌŽǆŝŵĂƚĞůǇϬ͘ϱŵŝůĞƐƐŽƵƚŚ ŽĨƚŚĞWƌŽũĞĐƚƐŝƚĞǁŝƚŚƚŚĞŶĞĂƌĞƐƚĞǆŝƚͬĞŶƚƌĂŶĐĞƌĂŵƉůŽĐĂƚĞĚĂƉƉƌŽǆŝŵĂƚĞůǇϬ͘ϳŵŝůĞƐƐŽƵƚŚĞĂƐƚŽĨƚŚĞ WƌŽũĞĐƚ͕ĂƚͲϲϬ͛ƐŝŶƚĞƌƐĞĐƚŝŽŶǁŝƚŚ'ƌŽǀĞǀĞŶƵĞ͘
dŚĞWƌŽũĞĐƚǁŽƵůĚ ŽĐĐƵƉǇ Ăϳ͘ϰϳŶĞƚĂĐƌĞƐŝƚĞǁŝƚŚŝŶ ƚŚĞŝƚǇĂŶĚ ŝŶĐůƵĚĞƐƚŚĞĨŽůůŽǁŝŶŐ ĨŝĨƚǇͲĨŝǀĞ ;ϱϱͿ ƐƐĞƐƐŽƌWĂƌĐĞůEƵŵďĞƌƐ;WEƐͿ͗ϭϬϱϬͲϰϰϭͲϬϱ͕ϭϬϱϬͲϰϰϭͲϬϵ͕ϭϬϱϬͲϰϰϭͲϭϭƚŚƌŽƵŐŚͲϲϮ͕ĂŶĚϭϬϱϬͲϰϰϭͲϳϯ͘ EŽƚĞ͗dŚĞĨŽůůŽǁŝŶŐWEƐĂƌĞĐŽŶĚŽŵŝŶŝƵŵƵŶŝƚƐǀŝĂĂƉƌĞǀŝŽƵƐůǇƌĞĐŽƌĚĞĚĐŽŶĚŽŵŝŶŝƵŵƉůĂŶ͕ǁŚŝĐŚǁŝůů ďĞƌĞŵŽǀĞĚƉƌŝŽƌƚŽƚŚĞWƌŽũĞĐƚ͛ƐĐŽŶƐƚƌƵĐƚŝŽŶĐŽŵŵĞŶĐĞŵĞŶƚ͗ϭϬϱϬͲϰϰϭͲϭϭƚŚƌŽƵŐŚͲϲϮ͘ dĂďůĞϭ͗ƐƐĞƐƐŽƌWĂƌĐĞůEƵŵďĞƌƐ
ϭϬϱϬͲϰϰϭͲϬϱ ϭϬϱϬͲϰϰϭͲϬϵ ϭϬϱϬͲϰϰϭͲϭϭ ϭϬϱϬͲϰϰϭͲϭϮ ϭϬϱϬͲϰϰϭͲϭϯ ϭϬϱϬͲϰϰϭͲϭϰ ϭϬϱϬͲϰϰϭͲϭϱ ϭϬϱϬͲϰϰϭͲϭϲ ϭϬϱϬͲϰϰϭͲϭϳ ϭϬϱϬͲϰϰϭͲϭϴ ϭϬϱϬͲϰϰϭͲϭϵ ϭϬϱϬͲϰϰϭͲϮϬ ϭϬϱϬͲϰϰϭͲϮϭ ϭϬϱϬͲϰϰϭͲϮϮ ϭϬϱϬͲϰϰϭͲϮϯ ϭϬϱϬͲϰϰϭͲϮϰ ϭϬϱϬͲϰϰϭͲϮϱ ϭϬϱϬͲϰϰϭͲϮϲ ϭϬϱϬͲϰϰϭͲϮϳ ϭϬϱϬͲϰϰϭͲϮϴ ϭϬϱϬͲϰϰϭͲϮϵ ϭϬϱϬͲϰϰϭͲϯϬ ϭϬϱϬͲϰϰϭͲϯϭ ϭϬϱϬͲϰϰϭͲϯϮ ϭϬϱϬͲϰϰϭͲϯϯ ϭϬϱϬͲϰϰϭͲϯϰ ϭϬϱϬͲϰϰϭͲϯϱ ϭϬϱϬͲϰϰϭͲϯϲ ϭϬϱϬͲϰϰϭͲϯϳ ϭϬϱϬͲϰϰϭͲϯϴ ϭϬϱϬͲϰϰϭͲϯϵ ϭϬϱϬͲϰϰϭͲϰϬ ϭϬϱϬͲϰϰϭͲϰϭ ϭϬϱϬͲϰϰϭͲϰϮ ϭϬϱϬͲϰϰϭͲϰϯ ϭϬϱϬͲϰϰϭͲϰϰ ϭϬϱϬͲϰϰϭͲϰϱ ϭϬϱϬͲϰϰϭͲϰϲ ϭϬϱϬͲϰϰϭͲϰϳ ϭϬϱϬͲϰϰϭͲϰϴ ϭϬϱϬͲϰϰϭͲϰϵ ϭϬϱϬͲϰϰϭͲϱϬ ϭϬϱϬͲϰϰϭͲϱϭ ϭϬϱϬͲϰϰϭͲϱϮ ϭϬϱϬͲϰϰϭͲϱϯ ϭϬϱϬͲϰϰϭͲϱϰ ϭϬϱϬͲϰϰϭͲϱϱ ϭϬϱϬͲϰϰϭͲϱϲ ϭϬϱϬͲϰϰϭͲϱϳ ϭϬϱϬͲϰϰϭͲϱϴ ϭϬϱϬͲϰϰϭͲϱϵ ϭϬϱϬͲϰϰϭͲϲϬ ϭϬϱϬͲϰϰϭͲϲϭ ϭϬϱϬͲϰϰϭͲϲϮ ϭϬϱϬͲϰϰϭͲϳϯ dŚĞWƌŽũĞĐƚƐŝƚĞŝƐĐƵƌƌĞŶƚůǇĚŝƐƚƵƌďĞĚĂŶĚĚĞǀĞůŽƉĞĚ ǁŝƚŚŝŶĚƵƐƚƌŝĂůƵƐĞƐĂŶĚŽƚŚĞƌŝŵƉƌŽǀĞŵĞŶƚƐ͘dŚĞ ŶŽƌƚŚĞƌŶ ƉŽƌƚŝŽŶ ŽĨ ƚŚĞ WƌŽũĞĐƚ ƐŝƚĞ ĐŽŶƚĂŝŶƐ ƚǁŽ ŵƵůƚŝͲƚĞŶĂŶƚ ŝŶĚƵƐƚƌŝĂů ďƵŝůĚŝŶŐƐ ĂŶĚ ƐƵƌĨĂĐĞ ůŽƚ ŝŵƉƌŽǀĞŵĞŶƚƐ͘dŚĞŶŽƌƚŚĞĂƐƚĞƌŶƉŽƌƚŝŽŶŽĨƚŚĞWƌŽũĞĐƚƐŝƚĞŝŶĐůƵĚĞƐƚŚƌĞĞĚƌŝǀĞǁĂǇƐĐŽŶŶĞĐƚŝŶŐƚŽŽŶ sŝĞǁǀĞŶƵĞ͘dŚĞƌĞŵĂŝŶĚĞƌŽĨƚŚĞŶŽƌƚŚĞƌŶƉŽƌƚŝŽŶŽĨƚŚĞWƌŽũĞĐƚƐŝƚĞĐŽŶƐŝƐƚƐŽĨŵĂŝŶƚĂŝŶĞĚŐƌĂƐƐĞƐ͘ dŚĞƐŽƵƚŚĞƌŶƉŽƌƚŝŽŶŽĨƚŚĞWƌŽũĞĐƚƐŝƚĞ;WEϭϬϱϬͲϰϰϭͲϬϱͿĐŽŶƚĂŝŶƐĨŽƵƌďƵŝůĚŝŶŐƐ͕ĨŽƵƌƐŚĞĚƐƚƌƵĐƚƵƌĞƐ͕ ĂŶĚŽŶĞĚƌŝǀĞǁĂǇĐŽŶŶĞĐƚŝŶŐƚŽŽŶsŝĞǁǀĞŶƵĞ͘ƌĞƐŝĚĞŶƚŝĂůďƵŝůĚŝŶŐŝƐůŽĐĂƚĞĚŝŶƚŚĞƐŽƵƚŚĞĂƐƚĐŽƌŶĞƌ ŽĨ ƚŚĞ WƌŽũĞĐƚ ƐŝƚĞ ďĞƐŝĚĞ Ă ůĂƌŐĞ͕ƐŚĞĚ ƐƚƌƵĐƚƵƌĞ͘dŚĞ ƐŽƵƚŚĞƌŶ ƉŽƌƚŝŽŶ ŽĨ ƚŚĞ WƌŽũĞĐƚ͕ ďĞƐŝĚĞ ƚŚĞ ƌĞƐŝĚĞŶƚŝĂůƉƌŽƉĞƌƚǇ͕ŝƐĨƵůůǇƉĂǀĞĚĂŶĚƵƐĞĚĨŽƌƉĂƌŬŝŶŐĂŶĚŽƵƚĚŽŽƌƐƚŽƌĂŐĞ͘^ŽŵĞƚƌĞĞƐĂƌĞĂůƐŽƉƌĞƐĞŶƚ ŝŶďŽƚŚƚŚĞŶŽƌƚŚĞƌŶĂŶĚƐŽƵƚŚĞƌŶƉŽƌƚŝŽŶƐŽĨƚŚĞWƌŽũĞĐƚƐŝƚĞ͘ 243
ĞƐĐƌŝƉƚŝŽŶŽĨWƌŽƉŽƐĞĚWƌŽũĞĐƚ
dŚĞKŶƚĂƌŝŽWůĂŶ
/Z ϰ ŽŶsŝĞǁWƌŽũĞĐƚ
ĚĚĞŶĚƵŵƚŽƚŚĞ&ŝŶĂů
ŶǀŝƌŽŶŵĞŶƚĂů/ŵƉĂĐƚZĞƉŽƌƚ
^ƵƌƌŽƵŶĚŝŶŐůĂŶĚƵƐĞƐŝŶĐůƵĚĞ͗
EŽƌƚŚͬEŽƌƚŚǁĞƐƚ͗&ŝǀĞ;ϱͿŝŶĚƵƐƚƌŝĂůǁĂƌĞŚŽƵƐĞďƵŝůĚŝŶŐƐ͘ ^ŽƵƚŚ͗EŽŶͲŽŶĨŽƌŵŝŶŐƌĞƐŝĚĞŶƚŝĂůďƵŝůĚŝŶŐǁŝƚŚĂŶĐŝůůĂƌǇŝŶĚƵƐƚƌŝĂůƚƌƵĐŬƉĂƌŬŝŶŐͬŽƵƚĚŽŽƌƐƚŽƌĂŐĞ

ĂƐƚ͗ŽŶsŝĞǁǀĞŶƵĞĂŶĚƚǁŽǁĂƌĞŚŽƵƐĞďƵŝůĚŝŶŐƐ͘
tĞƐƚ͗&ŽƵƌ;ϰͿǁĂƌĞŚŽƵƐĞďƵŝůĚŝŶŐƐ͘
dŚĞWƌŽũĞĐƚƐŝƚĞ͛Ɛ'ĞŶĞƌĂůWůĂŶůĂŶĚƵƐĞĂŶĚǌŽŶŝŶŐĚĞƐŝŐŶĂƚŝŽŶƐĂƌĞĂƐĨŽůůŽǁƐ͗ x 'ĞŶĞƌĂůWůĂŶ>ĂŶĚhƐĞ͗/ŶĚƵƐƚƌŝĂůϮ
x ŽŶŝŶŐ͗'ĞŶĞƌĂů/ŶĚƵƐƚƌŝĂů;/'Ϳ͕>ŝŐŚƚ/ŶĚƵƐƚƌŝĂů;/>Ϳϯ tŚŝůĞĂůůƚŚĞWƌŽũĞĐƚƉĂƌĐĞůƐŚĂǀĞĂ'ĞŶĞƌĂůWůĂŶůĂŶĚƵƐĞĚĞƐŝŐŶĂƚŝŽŶŽĨ/ŶĚƵƐƚƌŝĂů͕ŽŶůǇWEϭϬϱϬͲϰϰϭͲϬϱ ŝƐǌŽŶĞĚĂƐ>ŝŐŚƚ/ŶĚƵƐƚƌŝĂů;/>Ϳ͕ǁŚŝůĞƚŚĞƌĞŵĂŝŶŝŶŐƉĂƌĐĞůƐĂƌĞǌŽŶĞĚ'ĞŶĞƌĂů/ŶĚƵƐƚƌŝĂů;/'Ϳ͘ Ϯ͘Ϯ WƌŽũĞĐƚĞƐĐƌŝƉƚŝŽŶ
dŚĞWƌŽũĞĐƚƉƌŽƉŽƐĞƐƚŚĞĚĞǀĞůŽƉŵĞŶƚ ŽĨ ŽŶĞ ϭϳϰ͕ϲϬϯƐƋƵĂƌĞĨŽŽƚ;ƐĨͿ ǁĂƌĞŚŽƵƐĞďƵŝůĚŝŶŐ ĐŽŶƚĂŝŶŝŶŐ ϭϳϬ͕ϭϬϯƐĨŽĨ ƌĞĨƌŝŐĞƌĂƚĞĚǁĂƌĞŚŽƵƐĞƐƉĂĐĞĂŶĚĂƉƉƌŽǆŝŵĂƚĞůǇϰ͕ϱϬϬƐĨŽĨƚǁŽͲƐƚŽƌǇŽĨĨŝĐĞƐƉĂĐĞŝŶƚŚĞ ƐŽƵƚŚĞĂƐƚĐŽƌŶĞƌŽĨƚŚĞƉƌŽƉŽƐĞĚďƵŝůĚŝŶŐ͘ dŚĞWƌŽũĞĐƚƐŝƚĞǁŽƵůĚŚĂǀĞĂĨůŽŽƌ ĂƌĞĂƌĂƚŝŽ;&ZͿŽĨ Ϭ͘ϱϰ ;Ϭ͘ϱϱ&ZŝƐƚŚĞŵĂǆŝŵƵŵĂůůŽǁĞĚŝŶ/ŶĚƵƐƚƌŝĂůůĂŶĚƵƐĞĂƌĞĂƐ ͿĂŶĚƚŚĞƉƌŽƉŽƐĞĚďƵŝůĚŝŶŐǁŽƵůĚŚĂǀĞĂŶ ĂƉƉƌŽǆŝŵĂƚĞďƵŝůĚŝŶŐ ŚĞŝŐŚƚŽĨ ϰϱ͛;ŵĂǆŝŵƵŵŽĨ ϱϱ͛ƉĞƌŵŝƚƚĞĚͿ͘WƌŽũĞĐƚƐŝƚĞŝŵƉƌŽǀĞŵĞŶƚƐǁŽƵůĚ ĂůƐŽ ŝŶĐůƵĚĞ ƐƵƌĨĂĐĞ ƉĂƌŬŝŶŐ͕ ůĂŶĚƐĐĂƉŝŶŐ͕ ĂŶĚ ŝŶƚĞƌŶĂů ĚƌŝǀĞ ĂŝƐůĞƐ͘ĐĐĞƐƐƚŽ ƚŚĞ WƌŽũĞĐƚ ƐŝƚĞ ǁŽƵůĚ ďĞ ĞƐƚĂďůŝƐŚĞĚƚŚƌŽƵŐŚƚǁŽĚƌŝǀĞǁĂǇƐĂůŽŶŐƚŚĞĞĂƐƚĞƌŶƉŽƌƚŝŽŶŽĨƚŚĞƐŝƚĞĐŽŶŶĞĐƚŝŶŐƚŽŽŶsŝĞǁǀĞŶƵĞ͘ dŚĞWƌŽũĞĐƚŝƐƐƉĞĐƵůĂƚŝǀĞŝŶŶĂƚƵƌĞ͖ƚŚĞĞŶĚƵƐĞƌ͕ƚŚĞŝƌƵƐĞŽĨƚŚĞƉŽƚĞŶƚŝĂůƌĞĨƌŝŐĞƌĂƚĞĚǁĂƌĞŚŽƵƐĞƐƉĂĐĞ͕ ĂŶĚƚŚĞŝƌŚŽƵƌƐŽĨŽƉĞƌĂƚŝŽŶĂƌĞƵŶŬŶŽǁŶĂƚƚŚŝƐƚŝŵĞ͘,ŽǁĞǀĞƌ͕ƚŽďĞĐŽŶƐĞƌǀĂƚŝǀĞ͕ŝƚŚĂƐďĞĞŶĂƐƐƵŵĞĚ ƚŚĂƚƚŚĞ ďƵŝůĚŝŶŐ ǁŽƵůĚ ŽƉĞƌĂƚĞϮϰŚŽƵƌƐ ƉĞƌ ĚĂǇͬϳ ĚĂǇƐ ƉĞƌ ǁĞĞŬ ĨŽƌ ƚŚĞ ĚĚĞŶĚƵŵ͛Ɛ ,ĞĂůƚŚ ZŝƐŬ ƐƐĞƐƐŵĞŶƚ;ƉƉĞŶĚŝǆͿƌĞĨĞƌĞŶĐĞĚŚĞƌĞŝŶ͘
ǆŚŝďŝƚϯ͕ŽŶĐĞƉƚƵĂů^ŝƚĞWůĂŶ͕
ǆŚŝďŝƚϰ͘ϭ͕
ůĞǀĂƚŝŽŶƐ͕ĂŶĚ

ǆŚŝďŝƚ ϰ͘Ϯ͕ ŽŶĐĞƉƚƵĂů
ůĞǀĂƚŝŽŶƐ ǀŝƐƵĂůŝǌĞƐ ƚŚĞ ƉƌŽƉŽƐĞĚ WƌŽũĞĐƚ͛Ɛ ĚŝŵĞŶƐŝŽŶƐ ĂŶĚ ƉůĂŶŶĞĚ ŝŵƉƌŽǀĞŵĞŶƚƐ͘
Ϯ͘Ϯ͘ϭ ĐĐĞƐƐ
ZĞŐŝŽŶĂů
ZĞŐŝŽŶĂůĂĐĐĞƐƐƚŽƚŚĞWƌŽũĞĐƚƐŝƚĞŝƐƉƌŽǀŝĚĞĚǀŝĂͲϲϬ͕ĂƉƉƌŽǆŝŵĂƚĞůǇϬ͘ϱŵŝůĞƐŽƵƚŚŽĨƚŚĞWƌŽũĞĐƚƐŝƚĞ͕ ǁŝƚŚĞǆŝƚƐĂƚ'ƌŽǀĞǀĞŶƵĞĂŶĚ
ƵĐůŝĚǀĞŶƵĞ͘
>ŽĐĂů
>ŽĐĂůĂĐĐĞƐƐƚŽƚŚĞ WƌŽũĞĐƚƐŝƚĞŝƐƉƌŽǀŝĚĞĚ ǀŝĂ ŽŶ sŝĞǁǀĞŶƵĞ ǁŚŝĐŚ ŝƐĂŶϴϴ͛ZŝŐŚƚŽĨtĂǇ ;ZKtͿ ĐŽůůĞĐƚŽƌƐƚƌĞĞƚƚŚĂƚƚƌĞŶĚƐŝŶĂŶŽƌƚŚͲƐŽƵƚŚĚŝƌĞĐƚŝŽŶ͘ Ϯ
ŝƚǇŽĨKŶƚĂƌŝŽ͘ϮϬϭϬ͘
ǆŚŝďŝƚ >hͲϬϭ>ĂŶĚhƐĞWůĂŶ͘ŚƚƚƉƐ͗ͬͬǁǁǁ͘ŽŶƚĂƌŝŽƉůĂŶ͘ŽƌŐͬǁƉͲ ĐŽŶƚĞŶƚͬƵƉůŽĂĚƐͬƐŝƚĞƐͬϰͬϮϬϮϭͬϬϱͬdKW>hWͺDĂƉϮϰǆϯϲϭϬͺϲͺϮϬϮϭϬϱϮϰͺsͺϭ͘ƉĚĨ ;ĂĐĐĞƐƐĞĚƵŐƵƐƚϮϬϮϭͿ͘ ϯ ŝƚǇŽĨKŶƚĂƌŝŽ͘ZĞǀ͘ϮϬϮϭ͘ŽŶŝŶŐDĂƉ͘ŚƚƚƉƐ͗ͬͬǁǁǁ͘ŽŶƚĂƌŝŽĐĂ͘ŐŽǀͬƐŝƚĞƐͬĚĞĨĂƵůƚͬĨŝůĞƐͬKŶƚĂƌŝŽͲ &ŝůĞƐͬWůĂŶŶŝŶŐͬŽĐƵŵĞŶƚƐͬŽŶŝŶŐйϮϬDĂƉͬŽŶŝŶŐͺϮϬϮϭϬϮϭϮ͘ƉĚĨ ;ĂĐĐĞƐƐĞĚƵŐƵƐƚϮϬϮϭͿ͘ 244
ĞƐĐƌŝƉƚŝŽŶŽĨWƌŽƉŽƐĞĚWƌŽũĞĐƚ
dŚĞKŶƚĂƌŝŽWůĂŶ
/Z ϱ ŽŶsŝĞǁWƌŽũĞĐƚ
ĚĚĞŶĚƵŵƚŽƚŚĞ&ŝŶĂů
ŶǀŝƌŽŶŵĞŶƚĂů/ŵƉĂĐƚZĞƉŽƌƚ
WƌŽũĞĐƚ^ŝƚĞ
WƌŽũĞĐƚƐŝƚĞŵĂŝŶŝŶŐƌĞƐƐĂŶĚĞŐƌĞƐƐĚƌŝǀĞǁĂǇǁŽƵůĚďĞƉƌŽǀŝĚĞĚǀŝĂŽŶĞϰϬͲĨŽŽƚǁŝĚĞĚƌŝǀĞǁĂǇ;ŶŽƌƚŚͿ ĂŶĚ ŽŶĞ ϯϬ͛ʹ ϲ͟ǁŝĚĞ ĚƌŝǀĞǁĂǇ ;ƐŽƵƚŚͿ ůŽĐĂƚĞĚĂůŽŶŐƚŚĞ ĞĂƐƚĞƌŶďŽƌĚĞƌ ŽĨ ƚŚĞƐŝƚĞĂůŽŶŐ ŽŶsŝĞǁ ǀĞŶƵĞ͘dŚĞĚƌŝǀĞǁĂǇƐǁŽƵůĚĐŽŶŶĞĐƚĚŝƌĞĐƚůǇƚŽŽŶsŝĞǁǀĞŶƵĞĂŶĚĂůůŽǁĨƵůů ĂĐĐĞƐƐŵŽǀĞŵĞŶƚĨŽƌ ďŽƚŚǀĞŚŝĐůĞƐĂŶĚƚƌƵĐŬƐ͘
Ϯ͘Ϯ͘Ϯ WĂƌŬŝŶŐ
dŚĞ WƌŽũĞĐƚ ǁŽƵůĚ ŝŶĐůƵĚĞ ƚŚĞ ƉƌŽǀŝƐŝŽŶ ŽĨ ϭϬϬ ƐƚĂŶĚĂƌĚϵ͛ǆϭϴ͛ƐƚĂůůƐĂŶĚ ϭϵ ϭϮ͛ǆϰϱ͛ƚƌĂŝůĞƌƉĂƌŬŝŶŐ ƐƚĂůůƐ͘WĞƌŝƚǇƌĞƋƵŝƌĞŵĞŶƚƐ͕ƚŚĞWƌŽũĞĐƚŝƐ ƌĞƋƵŝƌĞĚƚŽƉƌŽǀŝĚĞ ϵϴƐƚĂŶĚĂƌĚƐƚĂůůƐĂŶĚƐŝǆƚƌĂŝůĞƌƐƚĂůůƐ͕ ĂŶĚĂƐƐƵĐŚ͕ƉƌŽǀŝĚĞƐƐƵĨĨŝĐŝĞŶƚƉĂƌŬŝŶŐ͘
Ϯ͘Ϯ͘ϯ >ĂŶĚƐĐĂƉŝŶŐ
dŚĞWƌŽũĞĐƚŝƐĂŶƚŝĐŝƉĂƚĞĚƚŽůĂŶĚƐĐĂƉĞĂƉƉƌŽǆŝŵĂƚĞůǇϭϬ͘ϭϰƉĞƌĐĞŶƚ;ϯϮ͕ϱϮϵƐĨͿŽĨƚŚĞWƌŽũĞĐƚƐŝƚĞ͕ǁŚŝĐŚ ŝƐŐƌĞĂƚĞƌƚŚĂŶƚŚĞŵŝŶŝŵƵŵ ƌĞƋƵŝƌĞĚ ϭϬƉĞƌĐĞŶƚ;ϯϮ͕ϱϮϵƐĨͿĂƐƌĞƋƵŝƌĞĚďǇ ƚŚĞKŶƚĂƌŝŽĞǀĞůŽƉŵĞŶƚ ŽĚĞ͘&ŽƌĂĚĚŝƚŝŽŶĂůĚĞƚĂŝů͕ƉůĞĂƐĞƌĞĨĞƌƚŽ
ǆŚŝďŝƚϱ͕ŽŶĐĞƉƚƵĂů>ĂŶĚƐĐĂƉĞWůĂŶ͘
Ϯ͘Ϯ͘ϰ ^ŝƚĞ
ǆĐĂǀĂƚŝŽŶĂŶĚ'ƌĂĚŝŶŐĐƚŝǀŝƚŝĞƐ
dŚĞWƌŽũĞĐƚƐŝƚĞŝƐĨůĂƚ͕ƐůŽƉŝŶŐŐĞŶƚůǇĚŽǁŶǁĂƌĚĨƌŽŵŶŽƌƚŚƚŽƚŚĞƐŽƵƚŚĂŶĚǁĞƐƚƚŽĞĂƐƚ͕ǁŝƚŚĐŚĂŶŐĞŝŶ ŐƌŽƵŶĚƐƵƌĨĂĐĞĞůĞǀĂƚŝŽŶĨƌŽŵĂƉƉƌŽǆŝŵĂƚĞůǇϴϳϮĨĞĞƚƚŽϴϲϰĨĞĞƚ͘dŚĞƐŽŝůĐƵƚǁŽƵůĚ ďĞϮϲ͕ϲϬϲĐƵďŝĐ ǇĂƌĚƐ;ĐǇͿĂŶĚĨŝůůǁŽƵůĚ ĂůƐŽďĞϮϲ͕ϲϬϲĐǇ͘ƐƐƵĐŚ͕ƚŚĞWƌŽũĞĐƚƐŝƚĞŝƐĂŶƚŝĐŝƉĂƚĞĚƚŽďĂůĂŶĐĞŽŶͲƐŝƚĞĂŶĚ ŶŽŶĞĞĚĨŽƌƐŽŝůŝŵƉŽƌƚŽƌĞǆƉŽƌƚŝƐĂŶƚŝĐŝƉĂƚĞĚ͖ƌĞĨĞƌƚŽ ǆŚŝďŝƚϲ͕ŽŶĐĞƉƚƵĂů'ƌĂĚŝŶŐWůĂŶ͘
Ϯ͘Ϯ͘ϱ ^ŝƚĞƌĂŝŶĂŐĞ
dŚĞƌĞĂƌĞĨŝǀĞ ;ϱͿŽŶƐŝƚĞĐĂƚĐŚďĂƐŝŶƐǁŚŝĐŚ ĐŽŶǀĞǇ ƐƚŽƌŵǁĂƚĞƌǀŝĂϭϮ͟Ͳϭϴ͟ ŚŝŐŚͲĚĞŶƐŝƚǇƉŽůǇĞƚŚǇůĞŶĞ ;,W
ͿƉŝƉĞƐŝŶƚŽϮϬϲƵŶĚĞƌŐƌŽƵŶĚŝŶĨŝůƚƌĂƚŝŽŶĐŚĂŵďĞƌƐƚŽƚƌĞĂƚƚŚĞƐƚŽƌŵǁĂƚĞƌ͘ĞƉĞŶĚŝŶŐŽŶƚŚĞƐŝǌĞ ŽĨƚŚĞƐƚŽƌŵĞǀĞŶƚ͕ƚŚĞƐƚŽƌŵǁĂƚĞƌŝƐĞŝƚŚĞƌ;ϭͿĞŶƚŝƌĞůǇĐŽŶǀĞǇĞĚŝŶƚŽ ƚŚĞƐƚŽƌŵĐŚĂŵďĞƌƐǁŚĞƌĞŝƚŝƐ ƚƌĞĂƚĞĚďǇƉĞƌĐŽůĂƚŝŶŐŝŶƚŽƚŚĞƐŽŝů͕Žƌ;ϮͿƚŚĞϴϱƚŚƉĞƌĐĞŶƚŝůĞƉĞƌĐŽůĂƚĞƐŝŶƚŽƚŚĞƐŽŝůǁŝƚŚƚŚĞĞǆĐĞƐƐďĞŝŶŐ ĚŝƐĐŚĂƌŐĞĚĚŝƌĞĐƚůǇŽŶƚŽ ŽŶ sŝĞǁǀĞŶƵĞ;ƚŚĞƌĞŝƐŶŽ ĞǆŝƐƚŝŶŐƉƵďůŝĐ ƐƚŽƌŵĚƌĂŝŶƚŽ ƚŝĞͲŝŶƚŽͿƚŚƌŽƵŐŚ ƚǁŽ;ϮͿϰ͛Ͳϱ͛ƉĂƌŬǁĂǇĚƌĂŝŶƐ͖ƌĞĨĞƌƚŽ
ǆŚŝďŝƚϲ͕ŽŶĐĞƉƚƵĂů'ƌĂĚŝŶŐWůĂŶ͘
Ϯ͘ϯ ŽŶƐƚƌƵĐƚŝŽŶ^ĐŚĞĚƵůĞ
ŽŶƐƚƌƵĐƚŝŽŶŝƐĂŶƚŝĐŝƉĂƚĞĚƚŽďĞŐŝŶŝŶ:ƵůǇϮϬϮϮĂŶĚŝƐĂŶƚŝĐŝƉĂƚĞĚƚŽƌĞƋƵŝƌĞŶŝŶĞ;ϵͿŵŽŶƚŚƐ͕ĐŽŶĐůƵĚŝŶŐ ŝŶƉƌŝůϮϬϮϯ;ĞƐƚ͘Ϳ͘
Ϯ͘ϰ WƌŽũĞĐƚƉƉƌŽǀĂůƐ
dŚĞŝƚǇŝƐƚŚĞ>ĞĂĚŐĞŶĐǇĂƐƐĞƚĨŽƌƚŚŝŶ
Y^ƚĂƚƵƚĞ^ĞĐƚŝŽŶϮϭϬϲϳĂŶĚŝƐƌĞƐƉŽŶƐŝďůĞĨŽƌƌĞǀŝĞǁŝŶŐ ĂŶĚĂƉƉƌŽǀŝŶŐƚŚĞĚĚĞŶĚƵŵƚŽdŚĞKŶƚĂƌŝŽWůĂŶKŶƚĂƌŝŽ'W /Z͘/ŶĂĚĚŝƚŝŽŶƚŽƚŚĞĚĚĞŶĚƵŵ͕ƚŚĞŝƚǇ
ǁŝůůĐŽŶƐŝĚĞƌƚŚĞĨŽůůŽǁŝŶŐĚŝƐĐƌĞƚŝŽŶĂƌǇĂƉƉƌŽǀĂůƐĨŽƌƚŚĞWƌŽũĞĐƚ͗ x ĞǀĞůŽƉŵĞŶƚWůĂŶͲĞƐŝŐŶŽĨƚŚĞƉƌŽƉŽƐĞĚƐŝƚĞĂŶĚďƵŝůĚŝŶŐŝŵƉƌŽǀĞŵĞŶƚƐ͘ 245
ĞƐĐƌŝƉƚŝŽŶŽĨWƌŽƉŽƐĞĚWƌŽũĞĐƚ
dŚĞKŶƚĂƌŝŽWůĂŶ
/Z ϲ ŽŶsŝĞǁWƌŽũĞĐƚ
ĚĚĞŶĚƵŵƚŽƚŚĞ&ŝŶĂů
ŶǀŝƌŽŶŵĞŶƚĂů/ŵƉĂĐƚZĞƉŽƌƚ
x >Žƚ>ŝŶĞ ĚũƵƐƚŵĞŶƚ;>>ͿͲ ŽŶƐŽůŝĚĂƚŝŽŶ ŽĨ ƚŚƌĞĞ ;ϯͿ ƉĂƌĐĞůƐ ;ĐƵƌƌĞŶƚůǇ ϱϱ WE͛ƐĚƵĞ ƚŽĂŶ ĞǆŝƐƚŝŶŐ͕ƌĞĐŽƌĚĞĚĐŽŶĚŽŵŝŶŝƵŵ ƉůĂŶƚŚĂƚŝƐ ƚŽďĞƌĞŵŽǀĞĚ ƉƌŝŽƌƚŽ ƚŚĞWƌŽũĞĐƚ͛Ɛ ĐŽŶƐƚƌƵĐƚŝŽŶĐŽŵŵĞŶĐĞŵĞŶƚͿŝŶƚŽŽŶĞƉĂƌĐĞů͘
x ŽŶĞŚĂŶŐĞʹZĞǌŽŶĞŽĨƐŽƵƚŚĞƌůǇƉĂƌĐĞůƚŽƚĂůŝŶŐцϮ͘ϵϬŶĞƚĂĐƌĞƐ;WEEŽ͘ϭϬϱϬͲϰϰϭͲϬϱͿĨƌŽŵ >ŝŐŚƚ/ŶĚƵƐƚƌŝĂů;/>ͿƚŽ'ĞŶĞƌĂů/ŶĚƵƐƚƌŝĂů;/'ͿƚŽƌĞŵŽǀĞƚŚĞĞǆŝƐƚŝŶŐ͞ƐƉůŝƚ͟ǌŽŶŝŶŐŽŶƚŚĞWƌŽũĞĐƚ ƐŝƚĞ͘
x ĞƌƚŝĨŝĐĂƚĞ ŽĨƉƉƌŽƉƌŝĂƚĞŶĞƐƐʹŶĂůǇƐŝƐŽĨƚŚĞĂƉƉƌŽǆ͘ϭ͕ϬϬϴƐƋƵĂƌĞĨŽŽƚďƵŝůĚŝŶŐ ůŽĐĂƚĞĚ Ăƚϭϵϰϴ ^͘ ŽŶ sŝĞǁ ǀĞŶƵĞ ;WE EŽ͘ ϭϬϱϬͲϰϰϭͲϬϱͿ ĂƐ Ă ŚŝƐƚŽƌŝĐ ƌĞƐŽƵƌĐĞ͕ ĂŶĚ ƚŚĞ ƌĞƋƵŝƌĞĚƚƌĞĂƚŵĞŶƚƚŚĞƌĞŽĨ͘
246
Not to scale
Source: Google MapsExhibit 1: Regional Location MapBon View Project City of Ontario Project Site
247
ĞƐĐƌŝƉƚŝŽŶŽĨWƌŽƉŽƐĞĚWƌŽũĞĐƚ
dŚĞKŶƚĂƌŝŽWůĂŶ
/Z ϴ ŽŶsŝĞǁWƌŽũĞĐƚ
ĚĚĞŶĚƵŵƚŽƚŚĞ&ŝŶĂů
ŶǀŝƌŽŶŵĞŶƚĂů/ŵƉĂĐƚZĞƉŽƌƚ
dŚŝƐƉĂŐĞŝŶƚĞŶƚŝŽŶĂůůǇůĞĨƚďůĂŶŬ͘

248
Not to scale
Source: Google EarthExhibit 2: Project Vicinity MapBon View Project City of Ontario E Cedar St
E
E Cedar St
Francis St E Francis St
E Spruce St E Spruce St
E Boxwood Ct E Boxwood Ct
E Birch Ct E Birch Ct
S Campus Ave Campus Ave S Bon View Ave Bon View Ave S Cucamonga Ave Cucamonga Ave 249
ĞƐĐƌŝƉƚŝŽŶŽĨWƌŽƉŽƐĞĚWƌŽũĞĐƚ
dŚĞKŶƚĂƌŝŽWůĂŶ
/Z ϭϬ ŽŶsŝĞǁWƌŽũĞĐƚ
ĚĚĞŶĚƵŵƚŽƚŚĞ&ŝŶĂů
ŶǀŝƌŽŶŵĞŶƚĂů/ŵƉĂĐƚZĞƉŽƌƚ
dŚŝƐƉĂŐĞŝŶƚĞŶƚŝŽŶĂůůǇůĞĨƚďůĂŶŬ͘

250
Not to scale Exhibit 3: Conceptual Site Plan
Bon View Project City of Ontario

PROJECT INFORMATION
251
ĞƐĐƌŝƉƚŝŽŶŽĨWƌŽƉŽƐĞĚWƌŽũĞĐƚ
dŚĞKŶƚĂƌŝŽWůĂŶ
/Z ϭϮ ŽŶsŝĞǁWƌŽũĞĐƚ
ĚĚĞŶĚƵŵƚŽƚŚĞ&ŝŶĂů
ŶǀŝƌŽŶŵĞŶƚĂů/ŵƉĂĐƚZĞƉŽƌƚ
dŚŝƐƉĂŐĞŝŶƚĞŶƚŝŽŶĂůůǇůĞĨƚďůĂŶŬ͘

252
Not to scale Exhibit 4: Conceptual Elevations
Bon View Project City of Ontario
Elevations : Elevations Conceptua 1Col: 253
ĞƐĐƌŝƉƚŝŽŶŽĨWƌŽƉŽƐĞĚWƌŽũĞĐƚ
dŚĞKŶƚĂƌŝŽWůĂŶ
/Z ϭϰ ŽŶsŝĞǁWƌŽũĞĐƚ
ĚĚĞŶĚƵŵƚŽƚŚĞ&ŝŶĂů
ŶǀŝƌŽŶŵĞŶƚĂů/ŵƉĂĐƚZĞƉŽƌƚ
dŚŝƐƉĂŐĞŝŶƚĞŶƚŝŽŶĂůůǇůĞĨƚďůĂŶŬ͘

254
Not to scale Exhibit 4: Conceptual Elevations
Bon View Project City of Ontario
Elevations : Elevations Conceptua 1Col:2Elevations Conceptual : Elevations Conceptua Conceptual levations evations onceptual Elevations onceptual E Conceptua 255
ĞƐĐƌŝƉƚŝŽŶŽĨWƌŽƉŽƐĞĚWƌŽũĞĐƚ
dŚĞKŶƚĂƌŝŽWůĂŶ
/Z ϭϲ ŽŶsŝĞǁWƌŽũĞĐƚ
ĚĚĞŶĚƵŵƚŽƚŚĞ&ŝŶĂů
ŶǀŝƌŽŶŵĞŶƚĂů/ŵƉĂĐƚZĞƉŽƌƚ
dŚŝƐƉĂŐĞŝŶƚĞŶƚŝŽŶĂůůǇůĞĨƚďůĂŶŬ͘

256
Not to scale Exhibit 5: Conceptual Landscape Plan
Bon View Project City of Ontario
257
ĞƐĐƌŝƉƚŝŽŶŽĨWƌŽƉŽƐĞĚWƌŽũĞĐƚ
dŚĞKŶƚĂƌŝŽWůĂŶ
/Z ϭϴ ŽŶsŝĞǁWƌŽũĞĐƚ
ĚĚĞŶĚƵŵƚŽƚŚĞ&ŝŶĂů
ŶǀŝƌŽŶŵĞŶƚĂů/ŵƉĂĐƚZĞƉŽƌƚ
dŚŝƐƉĂŐĞŝŶƚĞŶƚŝŽŶĂůůǇůĞĨƚďůĂŶŬ͘
258
Not to scale Exhibit 6: Conceptual Grading Plan
Bon View Project City of Ontario
259

ŶǀŝƌŽŶŵĞŶƚĂů/ŵƉĂĐƚŶĂůǇƐŝƐ^ƵŵŵĂƌǇ
dŚĞKŶƚĂƌŝŽWůĂŶ
/Z ϮϬ ŽŶsŝĞǁWƌŽũĞĐƚ
ĚĚĞŶĚƵŵƚŽƚŚĞ&ŝŶĂů
ŶǀŝƌŽŶŵĞŶƚĂů/ŵƉĂĐƚZĞƉŽƌƚ
dŚŝƐƉĂŐĞŝŶƚĞŶƚŝŽŶĂůůǇůĞĨƚďůĂŶŬ͘
260

ŶǀŝƌŽŶŵĞŶƚĂů/ŵƉĂĐƚŶĂůǇƐŝƐ^ƵŵŵĂƌǇ
dŚĞKŶƚĂƌŝŽWůĂŶ
/Z Ϯϭ ŽŶsŝĞǁWƌŽũĞĐƚ
ĚĚĞŶĚƵŵƚŽƚŚĞ&ŝŶĂů
ŶǀŝƌŽŶŵĞŶƚĂů/ŵƉĂĐƚZĞƉŽƌƚ
ϯ d,
KEdZ/KW>E
/Z
Es/ZKED
Ed>/DWdE>z^/^^hDDZz
dŚĞĞŶǀŝƌŽŶŵĞŶƚĂůŝŵƉĂĐƚĨŝŶĚŝŶŐƐŽĨƚŚĞKŶƚĂƌŝŽ'W
/ZĂƌĞƐƵŵŵĂƌŝǌĞĚďĞůŽǁ͘
EŽ/ŵƉĂĐƚ͗dŚĞKŶƚĂƌŝŽ'W
/ZĚĞƚĞƌŵŝŶĞĚƚŚĂƚŶŽ ŝŵƉĂĐƚǁŽƵůĚ ŽĐĐƵƌǁŝƚŚ ƌĞƐƉĞĐƚƚŽƚŚĞĨŽůůŽǁŝŶŐ ĞŶǀŝƌŽŶŵĞŶƚĂůƚŽƉŝĐĂƌĞĂƐďĞůŽǁ͘dŚĞƐĞŝŵƉĂĐƚƐǁĞƌĞŝŶĐůƵĚĞĚŝŶƚŚĞKŶƚĂƌŝŽ'W /Z͛Ɛ͞
ĨĨĞĐƚƐ&ŽƵŶĚEŽƚ
dŽĞ^ŝŐŶŝĨŝĐĂŶƚ;
&Ed^Ϳ͟ƐĞĐƚŝŽŶ;^ĞĐƚŝŽŶϴ͘ϬŽĨƚŚĞƌĂĨƚ
/ZͿ͘
x ĞƐƚŚĞƚŝĐƐ;
&Ed^/;ďͿͿ͖
x ,ĂǌĂƌĚƐĂŶĚ,ĂǌĂƌĚŽƵƐDĂƚĞƌŝĂůƐ;
&Ed^s//;ĨͿͿ͖ĂŶĚ
x EŽŝƐĞ;
&Ed^y/;ĨͿͿ͘
>ĞƐƐdŚĂŶ^ŝŐŶŝĨŝĐĂŶƚ/ŵƉĂĐƚ͗dŚĞKŶƚĂƌŝŽ'W
/ZŝĚĞŶƚŝĨŝĞĚůĞƐƐƚŚĂŶƐŝŐŶŝĨŝĐĂŶƚŝŵƉĂĐƚƐŝŶƚŚĞĨŽůůŽǁŝŶŐ ĞŶǀŝƌŽŶŵĞŶƚĂůƚŽƉŝĐĂƌĞĂƐ͗
x ĞƐƚŚĞƚŝĐƐ;/ŵƉĂĐƚƐϱ͘ϭ͘ϭƚŚƌŽƵŐŚϱ͘ϭ͘ϯͿ͖
x ŝƌYƵĂůŝƚǇ;/ŵƉĂĐƚϱ͘ϯͲϰͿ͖
x ŝŽůŽŐŝĐĂůZĞƐŽƵƌĐĞƐ;/ŵƉĂĐƚƐϱ͘ϰͲϭƚŚƌŽƵŐŚϱ͘ϰͲϱͿ͖
x ƵůƚƵƌĂůZĞƐŽƵƌĐĞƐ;/ŵƉĂĐƚϱ͘ϱͲϯͿ͖
x 'ĞŽůŽŐǇĂŶĚ^ŽŝůƐ;/ŵƉĂĐƚƐϱ͘ϳͲϭƚŚƌŽƵŐŚϱ͘ϳͲϯͿ͖
x ,ĂǌĂƌĚƐĂŶĚ,ĂǌĂƌĚŽƵƐDĂƚĞƌŝĂůƐ;/ŵƉĂĐƚƐϱ͘ϴͲϭƚŚƌŽƵŐŚϱ͘ϴͲϲͿ͖ x ,ǇĚƌŽůŽŐǇĂŶĚtĂƚĞƌYƵĂůŝƚǇ;/ŵƉĂĐƚƐϱ͘ϵͲϭƚŚƌŽƵŐŚϱ͘ϵͲϲͿ͖ x >ĂŶĚhƐĞĂŶĚWůĂŶŶŝŶŐ;/ŵƉĂĐƚƐϱ͘ϭϬͲϭƚŚƌŽƵŐŚϱ͘ϭϬͲϯͿ͖ x DŝŶĞƌĂůZĞƐŽƵƌĐĞƐ;/ŵƉĂĐƚϱ͘ϭϭͲϭͿ͖
x WŽƉƵůĂƚŝŽŶĂŶĚ,ŽƵƐŝŶŐ;/ŵƉĂĐƚƐϱ͘ϭϯͲϭ͕ϱ͘ϭϯͲϮͿ͖
x WƵďůŝĐ^ĞƌǀŝĐĞƐ;/ŵƉĂĐƚƐϱ͘ϭϰͲϭƚŚƌŽƵŐŚϱ͘ϭϰͲϰͿ͖
x ZĞĐƌĞĂƚŝŽŶ;/ŵƉĂĐƚƐϱ͘ϭϱͲϭ͕ϱ͘ϭϱͲϮͿ͖
x dƌĂŶƐƉŽƌƚĂƚŝŽŶͬdƌĂĨĨŝĐ;/ŵƉĂĐƚƐϱ͘ϭϲͲϮƚŚƌŽƵŐŚϱ͘ϭϲͲϱͿ͖ĂŶĚ x hƚŝůŝƚŝĞƐĂŶĚ^ĞƌǀŝĐĞ^ǇƐƚĞŵƐ;/ŵƉĂĐƚƐϱ͘ϭϳͲϮƚŚƌŽƵŐŚϱ͘ϭϳͲϱͿ͘ >ĞƐƐdŚĂŶ^ŝŐŶŝĨŝĐĂŶƚ/ŵƉĂĐƚǁŝƚŚ/ŶĐŽƌƉŽƌĂƚŝŽŶŽĨDŝƚŝŐĂƚŝŽŶ͗dŚĞKŶƚĂƌŝŽ'W /ZŝĚĞŶƚŝĨŝĞĚŝŵƉĂĐƚƐƚŚĂƚ
ĐŽƵůĚďĞŵŝƚŝŐĂƚĞĚƚŽůĞƐƐƚŚĂŶƐŝŐŶŝĨŝĐĂŶƚůĞǀĞůƐǁŝƚŚŝŶĐŽƌƉŽƌĂƚŝŽŶŽĨŵŝƚŝŐĂƚŝŽŶŵĞĂƐƵƌĞƐŝŶƚŚĞĨŽůůŽǁŝŶŐ ĞŶǀŝƌŽŶŵĞŶƚĂůƚŽƉŝĐĂƌĞĂƐ͗
x ƵůƚƵƌĂůZĞƐŽƵƌĐĞƐ;/ŵƉĂĐƚϱ͘ϱͲϮͿ͖
x EŽŝƐĞ;/ŵƉĂĐƚϱ͘ϭϮͲϰͿ͖ĂŶĚ
x hƚŝůŝƚŝĞƐĂŶĚ^ĞƌǀŝĐĞ^ǇƐƚĞŵƐ;/ŵƉĂĐƚϱ͘ϭϳͲϭͿ͘
^ŝŐŶŝĨŝĐĂŶƚĂŶĚhŶĂǀŽŝĚĂďůĞ/ŵƉĂĐƚ͗dŚĞKŶƚĂƌŝŽ'W
/ZŝĚĞŶƚŝĨŝĞĚƐŝŐŶŝĨŝĐĂŶƚĂŶĚƵŶĂǀŽŝĚĂďůĞŝŵƉĂĐƚƐŝŶ
ƚŚĞĨŽůůŽǁŝŶŐĞŶǀŝƌŽŶŵĞŶƚĂůƚŽƉŝĐĂƌĞĂƐ͗
x ŐƌŝĐƵůƚƵƌĞZĞƐŽƵƌĐĞƐ;/ŵƉĂĐƚƐϱ͘ϮͲϭƚŚƌŽƵŐŚϱ͘ϮͲϯͿ͖ x ŝƌYƵĂůŝƚǇ;/ŵƉĂĐƚƐϱ͘ϯͲϭ͕ϱ͘ϯͲϮ͕ϱ͘ϯͲϯ͕ϱ͘ϯͲϱ͕ϱ͘ϯͲϲͿ͖ 261

ŶǀŝƌŽŶŵĞŶƚĂů/ŵƉĂĐƚŶĂůǇƐŝƐ^ƵŵŵĂƌǇ
dŚĞKŶƚĂƌŝŽWůĂŶ
/Z ϮϮ ŽŶsŝĞǁWƌŽũĞĐƚ
ĚĚĞŶĚƵŵƚŽƚŚĞ&ŝŶĂů
ŶǀŝƌŽŶŵĞŶƚĂů/ŵƉĂĐƚZĞƉŽƌƚ
x ƵůƚƵƌĂůZĞƐŽƵƌĐĞƐ;/ŵƉĂĐƚϱ͘ϱͲϭͿ͖
x 'ůŽďĂůůŝŵĂƚĞŚĂŶŐĞ;/ŵƉĂĐƚϱ͘ϲͲϭͿ͖
x EŽŝƐĞ;/ŵƉĂĐƚϱ͘ϭϮͲϭ͕ϱ͘ϭϮͲϮ͕ϱ͘ϭϮͲϯ͕ϱ͘ϭϮͲϱ͕ϱ͘ϭϮͲϲͿ͖ĂŶĚ x dƌĂŶƐƉŽƌƚĂƚŝŽŶͬdƌĂĨĨŝĐ;/ŵƉĂĐƚϱ͘ϭϲͲϭͿ͘
262
(QYLURQPHQWDO,PSDFW$QDO\VLV
dŚĞKŶƚĂƌŝŽWůĂŶ
/Z Ϯϯ ŽŶsŝĞǁWƌŽũĞĐƚ
ĚĚĞŶĚƵŵƚŽƚŚĞ&ŝŶĂů
ŶǀŝƌŽŶŵĞŶƚĂů/ŵƉĂĐƚZĞƉŽƌƚ
ϰ KE s/
t s
Eh
tZ
,Kh^
WZK:
d
Es/ZKED
Ed> /DWd
E>z^/^EWZK:
dWWZKs>^
dŚĞƐĐŽƉĞŽĨƚŚĞŝƚǇ͛ƐƌĞǀŝĞǁŽĨƚŚĞWƌŽũĞĐƚŝƐƐĞƚĨŽƌƚŚŝŶ YĂŶĚƚŚĞ
Y'ƵŝĚĞůŝŶĞƐ͘dŚŝƐƌĞǀŝĞǁŝƐ
ůŝŵŝƚĞĚƚŽĞǀĂůƵĂƚŝŶŐƚŚĞĞŶǀŝƌŽŶŵĞŶƚĂůĞĨĨĞĐƚƐĂƐƐŽĐŝĂƚĞĚǁŝƚŚƚŚĞWƌŽũĞĐƚǁŚĞŶĐŽŵƉĂƌĞĚƚŽƚŚĞKŶƚĂƌŝŽ 'WĂƐƐĞƚĨŽƌƚŚŝŶƚŚĞKŶƚĂƌŝŽ'W
/Z͘dŚŝƐĚĚĞŶĚƵŵĂůƐŽƌĞǀŝĞǁƐŶĞǁŝŶĨŽƌŵĂƚŝŽŶ͕ŝĨĂŶǇ͕ŽĨƐƵďƐƚĂŶƚŝĂů ŝŵƉŽƌƚĂŶĐĞƚŚĂƚǁĂƐŶŽƚŬŶŽǁŶ ĂŶĚĐŽƵůĚ ŶŽƚ ŚĂǀĞďĞĞŶ ŬŶŽǁŶ ǁŝƚŚƚŚĞĞǆĞƌĐŝƐĞŽĨ ƌĞĂƐŽŶĂďůĞĚƵĞ ĚŝůŝŐĞŶĐĞ ĂƚƚŚĞƚŝŵĞ ƚŚĞKŶƚĂƌŝŽ'W
/ZǁĂƐĐĞƌƚŝĨŝĞĚ͘dŚŝƐĞǀĂůƵĂƚŝŽŶ ŝŶĐůƵĚĞƐ ĂĚĞƚĞƌŵŝŶĂƚŝŽŶĂƐƚŽ ǁŚĞƚŚĞƌƚŚĞĐŚĂŶŐĞƐƉƌŽƉŽƐĞĚĨŽƌƚŚĞWƌŽũĞĐƚǁŽƵůĚƌĞƐƵůƚŝŶĂŶǇŶĞǁƐŝŐŶŝĨŝĐĂŶƚŝŵƉĂĐƚƐŽƌŵŽƌĞƐĞǀĞƌĞ ƐŝŐŶŝĨŝĐĂŶƚŝŵƉĂĐƚ͘
ůƚŚŽƵŐŚ
Y'ƵŝĚĞůŝŶĞƐ^ĞĐƚŝŽŶϭϱϭϲϰĚŽĞƐŶŽƚƐƚŝƉƵůĂƚĞƚŚĞĨŽƌŵĂƚŽƌĐŽŶƚĞŶƚŽĨĂŶĚĚĞŶĚƵŵ͕ƚŚĞ ƚŽƉŝĐĂůĂƌĞĂƐŝĚĞŶƚŝĨŝĞĚŝŶ dŚĞKŶƚĂƌŝŽWůĂŶ
/ZǁĞƌĞƵƐĞĚĂƐŐƵŝĚĂŶĐĞĨŽƌƚŚŝƐĚĚĞŶĚƵŵ͘/ŶĂĚĚŝƚŝŽŶ͕ ^ĞĐƚŝŽŶϭϱϭϲϰ;ĞͿŽĨƚŚĞ
Y'ƵŝĚĞůŝŶĞƐƐƚĂƚĞƐƚŚĂƚ͞ďƌŝĞĨĞǆƉůĂŶĂƚŝŽŶŽĨƚŚĞĚĞĐŝƐŝŽŶŶŽƚƚŽƉƌĞƉĂƌĞĂ ƐƵďƐĞƋƵĞŶƚ
/ZƉƵƌƐƵĂŶƚƚŽ^ĞĐƚŝŽŶϭϱϭϲϮƐŚŽƵůĚďĞŝŶĐůƵĚĞĚŝŶĂŶĂĚĚĞŶĚƵŵƚŽĂŶ /Z͕ƚŚĞůĞĂĚĂŐĞŶĐǇΖƐ
ĨŝŶĚŝŶŐƐŽŶ ƚŚĞWƌŽũĞĐƚ͕ŽƌĞůƐĞǁŚĞƌĞŝŶ ƚŚĞƌĞĐŽƌĚ͘dŚĞĞǆƉůĂŶĂƚŝŽŶŵƵƐƚďĞƐƵƉƉŽƌƚĞĚďǇ ƐƵďƐƚĂŶƚŝĂů ĞǀŝĚĞŶĐĞ͘͟dŚŝƐĐŽŵƉĂƌĂƚŝǀĞĂŶĂůǇƐŝƐƉƌŽǀŝĚĞƐƚŚĞŝƚǇǁŝƚŚƚŚĞĨĂĐƚƵĂůďĂƐŝƐĨŽƌĚĞƚĞƌŵŝŶŝŶŐǁŚĞƚŚĞƌĂŶǇ ĐŚĂŶŐĞƐŝŶƚŚĞWƌŽũĞĐƚ͕ĂŶǇĐŚĂŶŐĞƐŝŶĐŝƌĐƵŵƐƚĂŶĐĞƐ͕ŽƌĂŶǇŶĞǁŝŶĨŽƌŵĂƚŝŽŶƐŝŶĐĞƚŚĞKŶƚĂƌŝŽ'W /Z
ǁĂƐĐĞƌƚŝĨŝĞĚǁŽƵůĚƌĞƋƵŝƌĞĂĚĚŝƚŝŽŶĂůĞŶǀŝƌŽŶŵĞŶƚĂůƌĞǀŝĞǁŽƌƉƌĞƉĂƌĂƚŝŽŶŽĨĂŶ^ /Z͘
WƵƌƐƵĂŶƚƚŽ
Y'ƵŝĚĞůŝŶĞƐ^ĞĐƚŝŽŶϭϱϭϲϮ͕ƚŚĞŝƚǇŚĂƐĚĞƚĞƌŵŝŶĞĚ͕ŽŶƚŚĞďĂƐŝƐŽĨƐƵďƐƚĂŶƚŝĂůĞǀŝĚĞŶĐĞ ŝŶƚŚĞůŝŐŚƚŽĨƚŚĞǁŚŽůĞƌĞĐŽƌĚ͕ƚŚĂƚŝŵƉůĞŵĞŶƚĂƚŝŽŶŽĨƚŚĞWƌŽũĞĐƚĚŽĞƐŶŽƚƉƌŽƉŽƐĞƐƵďƐƚĂŶƚŝĂůĐŚĂŶŐĞƐ ƚŽƚŚĞKŶƚĂƌŝŽ'W
/Z͕ŶŽƐƵďƐƚĂŶƚŝĂůĐŚĂŶŐĞƐŝŶĐŝƌĐƵŵƐƚĂŶĐĞƐǁŽƵůĚŽĐĐƵƌǁŚŝĐŚǁŽƵůĚƌĞƋƵŝƌĞŵĂũŽƌ ƌĞǀŝƐŝŽŶƐƚŽƚŚĞKŶƚĂƌŝŽ'W
/Z͕ĂŶĚŶŽ ŶĞǁŝŶĨŽƌŵĂƚŝŽŶ ŽĨ ƐƵďƐƚĂŶƚŝĂůŝŵƉŽƌƚĂŶĐĞŚĂƐďĞĞŶ ƌĞǀĞĂůĞĚ ƐŝŶĐĞƚŚĞĐĞƌƚŝĨŝĐĂƚŝŽŶŽĨKŶƚĂƌŝŽ'W
/ZƚŚĂƚǁŽƵůĚƌĞƐƵůƚŝŶĞŝƚŚĞƌŶĞǁƐŝŐŶŝĨŝĐĂŶƚĞĨĨĞĐƚƐŽƌĂŶŝŶĐƌĞĂƐĞ ŝŶƚŚĞƐĞǀĞƌŝƚǇŽĨƉƌĞǀŝŽƵƐůǇĂŶĂůǇǌĞĚƐŝŐŶŝĨŝĐĂŶƚĞĨĨĞĐƚƐ͘ DŝƚŝŐĂƚŝŽŶDŽŶŝƚŽƌŝŶŐĂŶĚZĞƉŽƌƚŝŶŐWƌŽŐƌĂŵ;DDZWͿǁĂƐĂĚŽƉƚĞĚĂƐĂƉĂƌƚŽĨƚŚĞKŶƚĂƌŝŽ'W /ZƚŚĂƚ
ŵŝŶŝŵŝǌĞĚŝŵƉĂĐƚƐĂƐƐŽĐŝĂƚĞĚǁŝƚŚŝŵƉůĞŵĞŶƚĂƚŝŽŶŽĨƚŚĞKŶƚĂƌŝŽ'W /Z͘dŚĞƉƌĞǀŝŽƵƐůǇĂĚŽƉƚĞĚKŶƚĂƌŝŽ
'W
/ZŵŝƚŝŐĂƚŝŽŶŵĞĂƐƵƌĞƐĂƉƉůŝĐĂďůĞ ƚŽ ƚŚĞ WƌŽũĞĐƚ ǁŽƵůĚ ďĞ ĐŽůůĞĐƚŝǀĞůǇ ŝŵƉŽƐĞĚ ĂƐƚŚĞ WƌŽũĞĐƚ͛Ɛ DDZW͕ǁŚŝĐŚŝƐĐŽŶƚĂŝŶĞĚŝŶƉƉĞŶĚŝǆ͘

263
(QYLURQPHQWDO,PSDFW$QDO\VLV
dŚĞKŶƚĂƌŝŽWůĂŶ
/Z Ϯϰ ŽŶsŝĞǁWƌŽũĞĐƚ
ĚĚĞŶĚƵŵƚŽƚŚĞ&ŝŶĂů
ŶǀŝƌŽŶŵĞŶƚĂů/ŵƉĂĐƚZĞƉŽƌƚ
ϰ͘ϭ ĞƐƚŚĞƚŝĐƐ
ϰ͘ϭ͘ϭ ^ƵŵŵĂƌǇŽĨWƌĞǀŝŽƵƐ
ŶǀŝƌŽŶŵĞŶƚĂůŶĂůǇƐŝƐ
dŚĞKŶƚĂƌŝŽ'W
/ZĐŽŶĐůƵĚĞĚƚŚĂƚĨƵƌƚŚĞƌĚĞǀĞůŽƉŵĞŶƚŽĨƚŚĞŝƚǇĂƐƉƌŽƉŽƐĞĚŝŶƚŚĞKŶƚĂƌŝŽ'WǁŽƵůĚ ŶŽƚŝŵƉĂĐƚƐĐĞŶŝĐǀŝƐƚĂƐĚƵĞƚŽĐŽŶƚŝŶƵĞĚĂĚŚĞƌĞŶĐĞƚŽƚŚĞĂƉƉůŝĐĂďůĞƉƌŽǀŝƐŝŽŶƐŽĨƚŚĞKŶƚĂƌŝŽDƵŶŝĐŝƉĂů ŽĚĞ;KŶƚĂƌŝŽDͿĂŶĚKŶƚĂƌŝŽĞǀĞůŽƉŵĞŶƚŽĚĞ͘dŚĞǀŝƐƵĂůĐŚĂƌĂĐƚĞƌŽĨƚŚĞŝƚǇǁŽƵůĚďĞĂĐĐĞŶƚƵĂƚĞĚ ǁŝƚŚ ƚŚĞŝŵƉůĞŵĞŶƚĂƚŝŽŶ ŽĨ ƚŚĞKŶƚĂƌŝŽ 'W ĂŶĚ ŝƚƐĂƐƐŽĐŝĂƚĞĚŽŵŵƵŶŝƚǇĞƐŝŐŶ ůĞŵĞŶƚĂƐǁĞůů ĂƐ
ĐŽŶƚŝŶƵĞĚ ĐŽŵƉůŝĂŶĐĞǁŝƚŚƚŚĞKŶƚĂƌŝŽDĂŶĚKŶƚĂƌŝŽĞǀĞůŽƉŵĞŶƚŽĚĞ͘&ƵƌƚŚĞƌŵŽƌĞ͕ƚŚĞKŶƚĂƌŝŽ 'W͛ƐĐŽŶƚŝŶƵĞĚ ĂĚŚĞƌĞŶĐĞƚŽ ƚŚĞKŶƚĂƌŝŽDĂŶĚKŶƚĂƌŝŽĞǀĞůŽƉŵĞŶƚ ŽĚĞǁĂƐĂůƐŽĂŶƚŝĐŝƉĂƚĞĚƚŽ ĐƌĞĂƚĞĂůĞƐƐƚŚĂŶƐŝŐŶŝĨŝĐĂŶƚŝŵƉĂĐƚĨƌŽŵƚŚĞĂĚǀĞƌƐĞŐĞŶĞƌĂƚŝŽŶŽĨůŝŐŚƚĂŶĚŐůĂƌĞ͘ /ŵƉĂĐƚƐĂƐƐŽĐŝĂƚĞĚǁŝƚŚƐĐĞŶŝĐƌĞƐŽƵƌĐĞƐ͕ůŽŶŐͲƚĞƌŵǀŝƐƵĂůĐŚĂƌĂĐƚĞƌ͕ĂŶĚůŝŐŚƚͬŐůĂƌĞǁĞƌĞĚĞƚĞƌŵŝŶĞĚƚŽ ďĞůĞƐƐƚŚĂŶƐŝŐŶŝĨŝĐĂŶƚ͘EŽŵŝƚŝŐĂƚŝŽŶŵĞĂƐƵƌĞƐǁĞƌĞĚĞĞŵĞĚŶĞĐĞƐƐĂƌǇ͘ ϰ͘ϭ͘Ϯ ŶĂůǇƐŝƐŽĨWƌŽƉŽƐĞĚWƌŽũĞĐƚ
dŚƌĞƐŚŽůĚ;ĂͿ ,ĂǀĞĂƐƵďƐƚĂŶƚŝĂůĂĚǀĞƌƐĞĞĨĨĞĐƚŽŶĂƐĐĞŶŝĐǀŝƐƚĂ͍΀KŶƚĂƌŝŽ'W /Z/ŵƉĂĐƚϱ͘ϭͲϭ΁
EŽEĞǁŽƌDŽƌĞ^ĞǀĞƌĞ/ŵƉĂĐƚƐ͗dŚĞWƌŽũĞĐƚǁŽƵůĚŶŽƚŚĂǀĞĂŵŽƌĞƐĞǀĞƌĞŽƌƐƵďƐƚĂŶƚŝĂůĂĚǀĞƌƐĞĞĨĨĞĐƚ ŽŶĂƐĐĞŶŝĐǀŝƐƚĂƚŚĂŶǁŚĂƚǁĂƐŽƌŝŐŝŶĂůůǇĂŶĂůǇǌĞĚŝŶƚŚĞKŶƚĂƌŝŽ'W /Z͘dŚĞKŶƚĂƌŝŽ'W
/ZĐŝƚĞĚƚŚĞ^ĂŶ
'ĂďƌŝĞůDŽƵŶƚĂŝŶƐĂƐƚŚĞŵĂŝŶƐĐĞŶŝĐǀŝƐƚĂǀŝƐŝďůĞĨƌŽŵ ƚŚĞŝƚǇ͘/ƚǁĂƐĐŽŶĐůƵĚĞĚƚŚĂƚƚŚĞŝŶĐůƵƐŝŽŶŽĨ ƉƌŽǀŝƐŝŽŶƐ ƌĞƋƵŝƌŝŶŐ ƌĞƚĞŶƚŝŽŶ ŽĨ ƐŝŐŶŝĨŝĐĂŶƚŶĂƚƵƌĂů ĨĞĂƚƵƌĞƐ ĂŶĚ ŽƉĞŶ ƐƉĂĐĞ ƉƌĞƐĞƌǀĂƚŝŽŶ ŽĨ ǀŝĞǁƐ͕ ĐŽŶƚŽƵƌŐƌĂĚŝŶŐ͕ŶĂƚƵƌĂůůĂŶĚƐĐĂƉŝŶŐ͕ĂŶĚĂƌĐŚŝƚĞĐƚƵƌĂůĚĞƐŝŐŶƚŚĂƚďůĞŶĚƐǁŝƚŚƚŚĞŶĂƚƵƌĂůƚĞƌƌĂŝŶŽĨƚŚĞ ŝƚǇǁŽƵůĚĞŶƐƵƌĞƚŚĂƚĨƵƚƵƌĞĚĞǀĞůŽƉŵĞŶƚǁŽƵůĚŶŽƚŝŶƚĞƌĨĞƌĞǁŝƚŚƚŚĞǀŝĞǁƐŽĨƚŚĞŝƚǇ͛ƐƐĐĞŶŝĐǀŝƐƚĂ͘ dŚĞ^ĂŶ'ĂďƌŝĞůDŽƵŶƚĂŝŶƐĂƌĞǀŝƐŝďůĞŶŽƌƚŚŽĨƚŚĞŝƚǇĂŶĚWƌŽũĞĐƚƐŝƚĞ͘,ŽǁĞǀĞƌ͕ǀŝĞǁƐŽĨƚŚĞ^ĂŶ'ĂďƌŝĞů DŽƵŶƚĂŝŶƐĂƌĞĐƵƌƌĞŶƚůǇŽďƐƚƌƵĐƚĞĚďǇĞǆŝƐƚŝŶŐĚĞǀĞůŽƉŵĞŶƚ͘ƐĚĞƐĐƌŝďĞĚŝŶ^ĞĐƚŝŽŶϮ͘ϭ͕WƌŽũĞĐƚ^ĞƚƚŝŶŐ ĂŶĚ>ŽĐĂƚŝŽŶ͕ƚŚĞWƌŽũĞĐƚǁŽƵůĚ ďĞĚĞǀĞůŽƉĞĚ ǁŝƚŚŝŶĂŶ ĂƌĞĂƚŚĂƚŚĂƐďĞĞŶƉƌĞǀŝŽƵƐůǇ ĚĞǀĞůŽƉĞĚ ĨŽƌ ŝŶĚƵƐƚƌŝĂů ĂŶĚ ǁĂƌĞŚŽƵƐŝŶŐƵƐĞƐ͘ dŚŝƐ ĂƌĞĂ ŝƐ ŚĞĂǀŝůǇ ĚĞǀĞůŽƉĞĚ ǁŝƚŚŵƵůƚŝƉůĞ ǁĂƌĞŚŽƵƐŝŶŐ ďƵŝůĚŝŶŐƐ ǁŝƚŚŝŶƚŚĞWƌŽũĞĐƚƐŝƚĞĂƐǁĞůůĂƐĂĚũĂĐĞŶƚƚŽƚŚĞWƌŽũĞĐƚƐŝƚĞƚŽƚŚĞŶŽƌƚŚ͕ƐŽƵƚŚ͕ĞĂƐƚ͕ĂŶĚǁĞƐƚ͘ ĞǀĞůŽƉŵĞŶƚ ŽĨ ƚŚĞ WƌŽũĞĐƚǁŽƵůĚ ďĞ ƌĞƋƵŝƌĞĚ ƚŽ ĐŽŵƉůǇ ǁŝƚŚ ĞƐƚĂďůŝƐŚĞĚŝƚǇƌĞŐƵůĂƚŝŽŶƐƌĞŐĂƌĚŝŶŐ ĚĞǀĞůŽƉŵĞŶƚ ĂŶĚ ďƵŝůĚŝŶŐ ĚŝŵĞŶƐŝŽŶƐ͘ dŚŝƐ ŝŶĐůƵĚĞƐ ƚŚŽƐĞ ƉƌĞƐĞŶƚĞĚŝŶ KŶƚĂƌŝŽ ĞǀĞůŽƉŵĞŶƚ ŽĚĞ ^ĞĐƚŝŽŶϲ͘Ϭϭ͘ϬϮϱĨŽƌŝŶĚƵƐƚƌŝĂůǌŽŶŝŶŐĚŝƐƚƌŝĐƚƐ͘dŚĞWƌŽũĞĐƚǁŽƵůĚďĞǁŝƚŚŝŶƚŚĞĂĐĐĞƉƚĂďůĞƚŚƌĞƐŚŽůĚĨŽƌ ďƵŝůĚŝŶŐŚĞŝŐŚƚ͕ǁŚŝĐŚǁŽƵůĚŽƚŚĞƌǁŝƐĞĨƵƌƚŚĞƌŝŵƉĂĐƚǀŝĞǁƐŽĨƚŚĞ^ĂŶ'ĂďƌŝĞůDŽƵŶƚĂŝŶƐ͘ ĐĐŽƌĚŝŶŐůǇ͕ŶŽŶĞǁŝŵƉĂĐƚƐƌĞůĂƚŝǀĞƚŽĂĚǀĞƌƐĞĞĨĨĞĐƚƐŽŶĂƐĐĞŶŝĐǀŝƐƚĂŽƌĂƐƵďƐƚĂŶƚŝĂůŝŶĐƌĞĂƐĞŝŶƚŚĞ ƐĞǀĞƌŝƚǇ ŽĨ Ă ƉƌĞǀŝŽƵƐůǇ ŝĚĞŶƚŝĨŝĞĚ ƐŝŐŶŝĨŝĐĂŶƚ ŝŵƉĂĐƚ ĞǀĂůƵĂƚĞĚ ŝŶ ƚŚĞ KŶƚĂƌŝŽ 'W /Z ǁŽƵůĚ ŽĐĐƵƌ͘
ĚĚŝƚŝŽŶĂůůǇ͕ŶŽŶĞǁŝŶĨŽƌŵĂƚŝŽŶŽĨƐƵďƐƚĂŶƚŝĂůŝŵƉŽƌƚĂŶĐĞƚŚĂƚǁĂƐŶŽƚŬŶŽǁŶĂŶĚĐŽƵůĚŶŽƚŚĂǀĞďĞĞŶ ŬŶŽǁŶĂƚƚŚĞƚŝŵĞƚŚĞKŶƚĂƌŝŽ'W
/ZǁĂƐĐĞƌƚŝĨŝĞĚŝƐĂǀĂŝůĂďůĞƚŚĂƚǁŽƵůĚŝŵƉĂĐƚƚŚĞƉƌŝŽƌĨŝŶĚŝŶŐŽĨŶŽ ƐŝŐŶŝĨŝĐĂŶƚŝŵƉĂĐƚ͘
DŝƚŝŐĂƚŝŽŶWƌŽŐƌĂŵ
DŝƚŝŐĂƚŝŽŶDĞĂƐƵƌĞƐĨƌŽŵƚŚĞKŶƚĂƌŝŽ'W
/Z
EŽŶĞŝĚĞŶƚŝĨŝĞĚŝŶƚŚĞKŶƚĂƌŝŽ'W
/Z͘
264
(QYLURQPHQWDO,PSDFW$QDO\VLV
dŚĞKŶƚĂƌŝŽWůĂŶ
/Z Ϯϱ ŽŶsŝĞǁWƌŽũĞĐƚ
ĚĚĞŶĚƵŵƚŽƚŚĞ&ŝŶĂů
ŶǀŝƌŽŶŵĞŶƚĂů/ŵƉĂĐƚZĞƉŽƌƚ
ŽŶĐůƵƐŝŽŶ
dŚĞWƌŽũĞĐƚ ǁŽƵůĚ ƌĞƐƵůƚŝŶ ŶŽ ŶĞǁ ŽƌŵŽƌĞ ƐĞǀĞƌĞŝŵƉĂĐƚŽŶ Ă ƐĐĞŶŝĐǀŝƐƚĂ;ƐͿ͘ ůĞƐƐƚŚĂŶƐŝŐŶŝĨŝĐĂŶƚ ŝŵƉĂĐƚǁĂƐŝĚĞŶƚŝĨŝĞĚŝŶƚŚĞKŶƚĂƌŝŽ'W
/ZǁŝƚŚƌĞƐƉĞĐƚƚŽƐĐĞŶŝĐǀŝƐƚĂƐ͘dŚĞWƌŽũĞĐƚǁŽƵůĚďĞĚĞƐŝŐŶĞĚ ĐŽŶƐŝƐƚĞŶƚ ǁŝƚŚ ƚŚĞ ĂƉƉůŝĐĂďůĞ ŐƵŝĚĞůŝŶĞƐ ĂŶĚ ƐƚĂŶĚĂƌĚƐ ǁŝƚŚŝŶ ƚŚĞ KŶƚĂƌŝŽ 'W͕ KŶƚĂƌŝŽ D͕ ĂŶĚ KŶƚĂƌŝŽĞǀĞůŽƉŵĞŶƚŽĚĞ͘dŚĞƌĞĨŽƌĞ͕ŶŽ ŶĞǁĂŶĚͬŽƌ ŵŽĚŝĨŝĞĚŵŝƚŝŐĂƚŝŽŶŵĞĂƐƵƌĞƐĂƌĞƌĞƋƵŝƌĞĚ ĨŽƌ ŝƐƐƵĞƐƌĞůĂƚĞĚƚŽĂĞƐƚŚĞƚŝĐƐ͘
dŚƌĞƐŚŽůĚ;ďͿ ^ƵďƐƚĂŶƚŝĂůůǇ ĚĂŵĂŐĞ ƐĐĞŶŝĐ ƌĞƐŽƵƌĐĞƐ͕ ŝŶĐůƵĚŝŶŐ͕ďƵƚ ŶŽƚ ůŝŵŝƚĞĚ ƚŽ͕ ƚƌĞĞƐ͕ ƌŽĐŬ ŽƵƚĐƌŽƉƉŝŶŐƐ͕ ĂŶĚ ŚŝƐƚŽƌŝĐ ďƵŝůĚŝŶŐƐ ǁŝƚŚŝŶ Ă ƐĐĞŶŝĐ ŚŝŐŚǁĂǇ͍ ΀EŽƚ ĂŶĂůǇǌĞĚ ŝŶ KŶƚĂƌŝŽ'W
/Z΁
dŚƌĞƐŚŽůĚ;ĐͿ ŽŶĨůŝĐƚǁŝƚŚĂƉƉůŝĐĂďůĞǌŽŶŝŶŐĂŶĚŽƚŚĞƌƌĞŐƵůĂƚŝŽŶƐŐŽǀĞƌŶŝŶŐƐĐĞŶŝĐƋƵĂůŝƚǇ͍΀KŶƚĂƌŝŽ 'W
/Z/ŵƉĂĐƚϱ͘ϭͲϮ΁
EŽEĞǁŽƌDŽƌĞ^ĞǀĞƌĞ/ŵƉĂĐƚ͗dŚĞWƌŽũĞĐƚƐŝƚĞŝƐŶŽƚǁŝƚŚŝŶŽƌĂĚũĂĐĞŶƚƚŽĂƐĐĞŶŝĐŚŝŐŚǁĂǇ͘EŽĞůŝŐŝďůĞ ŽƌŽĨĨŝĐŝĂůůǇĚĞƐŝŐŶĂƚĞĚŚŝŐŚǁĂǇƐĞǆŝƐƚǁŝƚŚŝŶƚŚĞŝƚǇ͘ ϰ dŚĞWƌŽũĞĐƚǁŽƵůĚ ĐŚĂŶŐĞƚŚĞƐŝƚĞĂƉƉĞĂƌĂŶĐĞĨƌŽŵŚŽƐƚŝŶŐĨŽƵƌǁĂƌĞŚŽƵƐŝŶŐƐƚƌƵĐƚƵƌĞƐ͕ĂƌĞƐŝĚĞŶƚŝĂů ďƵŝůĚŝŶŐ͕ĂŶĚŽƵƚĚŽŽƌƐƚŽƌĂŐĞĂƌĞĂƐƚŽĂǁĂƌĞŚŽƵƐĞďƵŝůĚŝŶŐ͘dŚĞWƌŽũĞĐƚƐŝƚĞŝƐƐƵƌƌŽƵŶĚĞĚďǇůĂŶĚǌŽŶĞĚ ĨŽƌŝŶĚƵƐƚƌŝĂůƵƐĞǁŝƚŚĂ'ĞŶĞƌĂůWůĂŶůĂŶĚƵƐĞĚĞƐŝŐŶĂƚŝŽŶĨŽƌŝŶĚƵƐƚƌŝĂůƵƐĞ͘ĐĐŽƌĚŝŶŐůǇ͕ŶŽŶĞǁŝŵƉĂĐƚƐ ƌĞůĂƚŝǀĞƚŽ ĂĚǀĞƌƐĞĂĞƐƚŚĞƚŝĐŝŵƉĂĐƚƐŽƌĂƐƵďƐƚĂŶƚŝĂůŝŶĐƌĞĂƐĞŝŶƚŚĞƐĞǀĞƌŝƚǇŽĨĂƉƌĞǀŝŽƵƐůǇŝĚĞŶƚŝĨŝĞĚ ƐŝŐŶŝĨŝĐĂŶƚŝŵƉĂĐƚĞǀĂůƵĂƚĞĚŝŶƚŚĞKŶƚĂƌŝŽ'W
/ZǁŽƵůĚŽĐĐƵƌ͘ƐƉƌĞǀŝŽƵƐůǇ ƐƚĂƚĞĚ͕ƚŚĞWƌŽũĞĐƚǁŽƵůĚ ĐŽŵƉůǇ ǁŝƚŚ ƉŽůŝĐŝĞƐ ƉƌĞƐĞŶƚĞĚŝŶ ƚŚĞKŶƚĂƌŝŽ 'W ŽŵŵƵŶŝƚǇ ĞƐŝŐŶĞůĞŵĞŶƚ͘ ŽŵƉůŝĂŶĐĞ ǁŝƚŚ ƚŚĞ ƉƌŽǀŝƐŝŽŶƐ ŽĨ ƚŚŝƐĞůĞŵĞŶƚ ǁŽƵůĚ ĞŶƐƵƌĞ ƚŚĂƚƚŚĞWƌŽũĞĐƚ ǁŽƵůĚ ďĞ ĚĞǀĞůŽƉĞĚ ǁŝƚŚ ŶŽƚ ŽŶůǇ ŵŽĚĞƌŶ ĂƌĐŚŝƚĞĐƚƵƌĂůĚĞƐŝŐŶƐĞŶƐŝďŝůŝƚŝĞƐĂŶĚŵĂƚĞƌŝĂůƐ͕ďƵƚĂůƐŽĐŽŶƐŝƐƚĞŶƚǁŝƚŚƚŚĞĞƐƚĂďůŝƐŚĞĚǀŝƐƵĂůĐŚĂƌĂĐƚĞƌ ŽĨƚŚĞĂƌĞĂ͘
DŝƚŝŐĂƚŝŽŶWƌŽŐƌĂŵ
DŝƚŝŐĂƚŝŽŶDĞĂƐƵƌĞƐĨƌŽŵƚŚĞKŶƚĂƌŝŽ'W
/Z
EŽŶĞŝĚĞŶƚŝĨŝĞĚŝŶƚŚĞKŶƚĂƌŝŽ'W
/Z͘
ŽŶĐůƵƐŝŽŶ
dŚĞWƌŽũĞĐƚǁŽƵůĚƌĞƐƵůƚŝŶŶŽŶĞǁŽƌŵŽƌĞƐĞǀĞƌĞŝŵƉĂĐƚƐŽŶƚŚĞŝƚǇ͛ƐǀŝƐƵĂůĐŚĂƌĂĐƚĞƌŽƌƋƵĂůŝƚǇ͘ůĞƐƐ ƚŚĂŶƐŝŐŶŝĨŝĐĂŶƚŝŵƉĂĐƚǁĂƐŝĚĞŶƚŝĨŝĞĚŝŶƚŚĞKŶƚĂƌŝŽ'W /ZǁŝƚŚƌĞƐƉĞĐƚƚŽƐĐĞŶŝĐǀŝƐƚĂƐ͘dŚĞWƌŽũĞĐƚǁŽƵůĚ
ďĞĚĞƐŝŐŶĞĚĐŽŶƐŝƐƚĞŶƚǁŝƚŚƚŚĞĂƉƉůŝĐĂďůĞŐƵŝĚĞůŝŶĞƐĂŶĚƐƚĂŶĚĂƌĚƐǁŝƚŚŝŶƚŚĞKŶƚĂƌŝŽ'W͕KŶƚĂƌŝŽD͕ ĂŶĚKŶƚĂƌŝŽĞǀĞůŽƉŵĞŶƚŽĚĞ͘dŚĞƌĞĨŽƌĞ͕ŶŽŶĞǁĂŶĚͬŽƌŵŽĚŝĨŝĞĚŵŝƚŝŐĂƚŝŽŶŵĞĂƐƵƌĞƐĂƌĞƌĞƋƵŝƌĞĚĨŽƌ ŝƐƐƵĞƐƌĞůĂƚĞĚƚŽĂĞƐƚŚĞƚŝĐƐ͘
ϰ
ĂůŝĨŽƌŶŝĂĞƉĂƌƚŵĞŶƚŽĨdƌĂŶƐƉŽƌƚĂƚŝŽŶ;ĂůdƌĂŶƐͿ͘;ϮϬϭϴͿ͘ĂůŝĨŽƌŶŝĂ ^ƚĂƚĞ^ĐĞŶŝĐ,ŝŐŚǁĂǇ^ǇƐƚĞŵDĂƉ͘ZĞƚƌŝĞǀĞĚĨƌŽŵ͗ ŚƚƚƉƐ͗ͬͬĐĂůƚƌĂŶƐ͘ŵĂƉƐ͘ĂƌĐŐŝƐ͘ĐŽŵͬĂƉƉƐͬǁĞďĂƉƉǀŝĞǁĞƌͬŝŶĚĞǆ͘Śƚŵů͍ŝĚсϰϲϱĚĨĚϯĚϴϬϳĐϰϲĐĐϴĞϴϬϱϳϭϭϲĨϭĂĂĐĂĂ ;ĐĐĞƐƐĞĚƵŐƵƐƚϭϳ͕ϮϬϮϭͿ 265
(QYLURQPHQWDO,PSDFW$QDO\VLV
dŚĞKŶƚĂƌŝŽWůĂŶ
/Z Ϯϲ ŽŶsŝĞǁWƌŽũĞĐƚ
ĚĚĞŶĚƵŵƚŽƚŚĞ&ŝŶĂů
ŶǀŝƌŽŶŵĞŶƚĂů/ŵƉĂĐƚZĞƉŽƌƚ
dŚƌĞƐŚŽůĚ;ĚͿ ƌĞĂƚĞĂŶĞǁƐŽƵƌĐĞŽĨƐƵďƐƚĂŶƚŝĂůůŝŐŚƚŽƌŐůĂƌĞ͕ǁŚŝĐŚǁŽƵůĚĂĚǀĞƌƐĞůǇĂĨĨĞĐƚĚĂǇŽƌ ŶŝŐŚƚƚŝŵĞǀŝĞǁƐŝŶƚŚĞĂƌĞĂ͍΀KŶƚĂƌŝŽ'W
/Z/ŵƉĂĐƚϱ͘ϭͲϯ΁
EŽEĞǁŽƌDŽƌĞ^ĞǀĞƌĞ/ŵƉĂĐƚ͗ƐƐƚĂƚĞĚŝŶƚŚĞKŶƚĂƌŝŽ'W /Z͕ŝŵƉĂĐƚƐƌĞŐĂƌĚŝŶŐůŝŐŚƚĂŶĚŐůĂƌĞǁŽƵůĚ
ƌĞŵĂŝŶůĞƐƐƚŚĂŶƐŝŐŶŝĨŝĐĂŶƚĂƐůŽŶŐĂƐĨƵƚƵƌĞƉƌŽũĞĐƚƐĐŽŵƉůŝĞĚǁŝƚŚKŶƚĂƌŝŽĞǀĞůŽƉŵĞŶƚŽĚĞ^ĞĐƚŝŽŶ ϲ͘Ϭϭ͘ϬϮϱ;ĐŝƚĞĚĂƐ^ĞĐƚŝŽŶϵͲϭ͘ϯϯϮϱŝŶƚŚĞKŶƚĂƌŝŽ'W
/ZͿ͘
ŽŶƐŝƐƚĞŶƚǁŝƚŚƚŚĞKŶƚĂƌŝŽĞǀĞůŽƉŵĞŶƚŽĚĞ͕ĂŶĚĂƐĂƉƉůŝĐĂďůĞ͕ĂůůĞǆƚĞƌŝŽƌůŝŐŚƚŝŶŐƐŚĂůůďĞĂĚĞƋƵĂƚĞůǇ ĐŽŶƚƌŽůůĞĚĂŶĚƐŚŝĞůĚĞĚƚŽƉƌĞǀĞŶƚŐůĂƌĞĂŶĚƵŶĚĞƐŝƌĂďůĞŝůůƵŵŝŶĂƚŝŽŶƚŽĂĚũĂĐĞŶƚƉƌŽƉĞƌƚŝĞƐŽƌƐƚƌĞĞƚƐ͘ ĚĞƋƵĂƚĞ ůŝŐŚƚŝŶŐůĞǀĞůƐ ƐŚĂůůďĞ ƉƌŽǀŝĚĞĚ ƚŽ ĞŶƐƵƌĞ ĂƐĂĨĞĞŶǀŝƌŽŶŵĞŶƚ͕ ǁŚŝůĞ ŶŽƚ ĐƌĞĂƚŝŶŐĂƌĞĂƐŽĨ ŝŶƚĞŶƐĞůŝŐŚƚŽƌŐůĂƌĞ͘>ŝŐŚƚĨŝǆƚƵƌĞƐĂŶĚƉŽůĞƐƐŚĂůůĂůƐŽďĞĚĞƐŝŐŶĞĚĂŶĚƉůĂĐĞĚŝŶĂŵĂŶŶĞƌĐŽŶƐŝƐƚĞŶƚ ĂŶĚĐŽŵƉĂƚŝďůĞǁŝƚŚŽǀĞƌĂůůƐŝƚĞĂŶĚďƵŝůĚŝŶŐĚĞƐŝŐŶ͕ĂŶĚŚŝŐŚͲŝŶƚĞŶƐŝƚǇƐĞĐƵƌŝƚǇůŝŐŚƚŝŶŐĨŝǆƚƵƌĞƐƐŚĂůůŶŽƚ ďĞƐƵďƐƚŝƚƵƚĞĚĨŽƌƐŝƚĞŽƌůĂŶĚƐĐĂƉĞůŝŐŚƚŝŶŐŽƌŐĞŶĞƌĂůďƵŝůĚŝŶŐĞǆƚĞƌŝŽƌŝůůƵŵŝŶĂƚŝŽŶ͕ďƵƚƐŚĂůůďĞůŝŵŝƚĞĚ ƚŽ ůŽĂĚŝŶŐ ĂŶĚ ƐƚŽƌĂŐĞůŽĐĂƚŝŽŶƐ Žƌ ŽƚŚĞƌ ƐŝŵŝůĂƌ ƐĞƌǀŝĐĞ ĂƌĞĂƐ͘/Ŷ ĂĚĚŝƚŝŽŶ͕ Ăůů ůŝŐŚƚŝŶŐ ƉƌŽǀŝĚĞĚ ƚŽ ŝůůƵŵŝŶĂƚĞ ƉĂƌŬŝŶŐ ĂƌĞĂƐ Žƌ ďƵŝůĚŝŶŐƐ ƐŚĂůů ďĞ ƉŽƐŝƚŝŽŶĞĚ ƐŽ ĂƐ ƚŽ ĚŝƌĞĐƚ ůŝŐŚƚ ĂǁĂǇ ĨƌŽŵ ĂĚũŽŝŶŝŶŐ ƉƌŽƉĞƌƚŝĞƐ͘
dŚĞƐĞƌĞŐƵůĂƚŝŽŶƐĂƌĞĐŽŶƐŝĚĞƌĞĚƚŽďĞĞŝƚŚĞƌĚĞƐŝŐŶŵĞĂƐƵƌĞƐŽƌĞǆŝƐƚŝŶŐƌĞŐƵůĂƚŝŽŶƐƉƵƌƐƵĂŶƚƚŽ Y
ƐƚĂŶĚĂƌĚƐ͘/ŶĐŽƌƉŽƌĂƚŝŽŶŽĨƐƵĐŚĨĞĂƚƵƌĞƐŝŶƚŽƚŚĞWƌŽũĞĐƚǁŽƵůĚĞŶƐƵƌĞƉƌŽƉĞƌĚĞƐŝŐŶ͕ŝŶƐƚĂůůĂƚŝŽŶ͕ĂŶĚ ŽƉĞƌĂƚŝŽŶŽĨ ĂůůĞǆƚĞƌŝŽƌůŝŐŚƚŝŶŐ͕ƚŚĞƌĞďǇƌĞĚƵĐŝŶŐƚŚĞƉŽƚĞŶƚŝĂůĨŽƌŐůĂƌĞĞĨĨĞĐƚƐŽƌůŝŐŚƚƐƉŝůůŽǀĞƌŽŶƚŽ ĂĚũĂĐĞŶƚƉƌŽƉĞƌƚŝĞƐ͘ƐƐƵĐŚ͕ĐŽŶƐŝƐƚĞŶĐǇǁŝƚŚ ƚŚĞKŶƚĂƌŝŽDĂŶĚKŶƚĂƌŝŽ ĞǀĞůŽƉŵĞŶƚŽĚĞ ǁŽƵůĚ ĞŶƐƵƌĞƚŚĂƚƉŽƚĞŶƚŝĂůŝŵƉĂĐƚƐĂƐƐŽĐŝĂƚĞĚǁŝƚŚůŝŐŚƚĂŶĚŐůĂƌĞǁŽƵůĚ ďĞůĞƐƐƚŚĂŶƐŝŐŶŝĨŝĐĂŶƚ͘ŽŶƐŝƐƚĞŶƚ ǁŝƚŚƚŚĞKŶƚĂƌŝŽ'W
/Z͕ŶŽŵŝƚŝŐĂƚŝŽŶŵĞĂƐƵƌĞƐĂƌĞƌĞƋƵŝƌĞĚ͘
ĐĐŽƌĚŝŶŐůǇ͕ ŶŽ ŶĞǁ Žƌ ŵŽƌĞ ƐĞǀĞƌĞ ŝŵƉĂĐƚƐ ƌĞůĂƚŝǀĞ ƚŽ ĂĚǀĞƌƐĞ ĂĞƐƚŚĞƚŝĐ ŝŵƉĂĐƚƐ ǁŽƵůĚ ŽĐĐƵƌ͘ ĚĚŝƚŝŽŶĂůůǇ͕ŶŽŶĞǁŝŶĨŽƌŵĂƚŝŽŶŽĨƐƵďƐƚĂŶƚŝĂůŝŵƉŽƌƚĂŶĐĞƚŚĂƚǁĂƐŶŽƚŬŶŽǁŶĂŶĚĐŽƵůĚŶŽƚŚĂǀĞďĞĞŶ ŬŶŽǁŶĂƚƚŚĞƚŝŵĞƚŚĞKŶƚĂƌŝŽ'W
/ZǁĂƐĐĞƌƚŝĨŝĞĚŝƐĂǀĂŝůĂďůĞƚŚĂƚǁŽƵůĚŝŵƉĂĐƚƚŚĞƉƌŝŽƌĨŝŶĚŝŶŐŽĨŶŽ ƐŝŐŶŝĨŝĐĂŶƚŝŵƉĂĐƚ͘
DŝƚŝŐĂƚŝŽŶWƌŽŐƌĂŵ
DŝƚŝŐĂƚŝŽŶDĞĂƐƵƌĞƐĨƌŽŵƚŚĞKŶƚĂƌŝŽ'W
/Z
EŽŶĞŝĚĞŶƚŝĨŝĞĚŝŶƚŚĞKŶƚĂƌŝŽ'W
/Z͘
ŽŶĐůƵƐŝŽŶ
dŚĞWƌŽũĞĐƚǁŽƵůĚ ƌĞƐƵůƚŝŶŶŽ ŶĞǁ ŽƌŵŽƌĞƐĞǀĞƌĞŝŵƉĂĐƚƐĨƌŽŵůŝŐŚƚŽƌ ŐůĂƌĞ͘EŽƐŝŐŶŝĨŝĐĂŶƚŝŵƉĂĐƚƐ ĂƐƐŽĐŝĂƚĞĚǁŝƚŚ ůŝŐŚƚ ĂŶĚ ŐůĂƌĞ ĂƌĞŝĚĞŶƚŝĨŝĞĚ ŝŶ ƚŚĞ KŶƚĂƌŝŽ 'W /Z͘dŚĞ WƌŽũĞĐƚ ǁŽƵůĚ ďĞ ĚĞƐŝŐŶĞĚ
ĐŽŶƐŝƐƚĞŶƚǁŝƚŚƚŚĞĂƉƉůŝĐĂďůĞŐƵŝĚĞůŝŶĞƐĂŶĚƐƚĂŶĚĂƌĚƐǁŝƚŚŝŶƚŚĞKŶƚĂƌŝŽDĂŶĚKŶƚĂƌŝŽĞǀĞůŽƉŵĞŶƚ ŽĚĞ͘ dŚĞƌĞĨŽƌĞ͕ ŶŽ ŶĞǁ ĂŶĚͬŽƌ ŵŽĚŝĨŝĞĚ ŵŝƚŝŐĂƚŝŽŶŵĞĂƐƵƌĞƐ ĂƌĞ ƌĞƋƵŝƌĞĚ ĨŽƌ ŝƐƐƵĞƐ ƌĞůĂƚĞĚ ƚŽ ĂĞƐƚŚĞƚŝĐƐ͘
KǀĞƌĂůůĞƐƚŚĞƚŝĐƐ/ŵƉĂĐƚŽŶĐůƵƐŝŽŶ
tŝƚŚƌĞŐĂƌĚƚŽ
Y^ƚĂƚƵƚĞ^ĞĐƚŝŽŶϮϭϭϲϲĂŶĚƚŚĞ
Y'ƵŝĚĞůŝŶĞƐ^ĞĐƚŝŽŶϭϱϭϲϮ;ĂͿ͕ƚŚĞWƌŽũĞĐƚǁŽƵůĚ
ŶŽƚƌĞƐƵůƚŝŶĂŶǇŶĞǁŽƌŵŽƌĞƐĞǀĞƌĞŝŵƉĂĐƚƐǁŝƚŚƌĞƐƉĞĐƚƚŽĂĞƐƚŚĞƚŝĐƐ͘dŚĞƌĞĨŽƌĞ͕ƚŚĞƉƌĞƉĂƌĂƚŝŽŶŽĨĂ ^
/ZŝƐŶŽƚǁĂƌƌĂŶƚĞĚ͘
266
(QYLURQPHQWDO,PSDFW$QDO\VLV
dŚĞKŶƚĂƌŝŽWůĂŶ
/Z Ϯϳ ŽŶsŝĞǁWƌŽũĞĐƚ
ĚĚĞŶĚƵŵƚŽƚŚĞ&ŝŶĂů
ŶǀŝƌŽŶŵĞŶƚĂů/ŵƉĂĐƚZĞƉŽƌƚ
ϰ͘Ϯ ŐƌŝĐƵůƚƵƌĂůĂŶĚ&ŽƌĞƐƚƌǇZĞƐŽƵƌĐĞƐ
ϰ͘Ϯ͘ϭ ^ƵŵŵĂƌǇŽĨWƌĞǀŝŽƵƐ
ŶǀŝƌŽŶŵĞŶƚĂůŶĂůǇƐŝƐ
dŚĞŝƚǇŽĨKŶƚĂƌŝŽ 'W
/ZŝĚĞŶƚŝĨŝĞĚ ƚŚĞƉŽƚĞŶƚŝĂůŽĨ ĂŐƌŝĐƵůƚƵƌĂůŝŵƉĂĐƚƐƵƉŽŶ ŝŵƉůĞŵĞŶƚĂƚŝŽŶ ŽĨƚŚĞ KŶƚĂƌŝŽ'WĚƵĞƚŽƚŚĞůĂĐŬŽĨĂŐƌŝĐƵůƚƵƌĂůůǇĚĞƐŝŐŶĂƚĞĚƉĂƌĐĞůƐŽƌůĂŶĚ͘&ƵƌƚŚĞƌŵŽƌĞ͕ŝƚǁĂƐŝĚĞŶƚŝĨŝĞĚƚŚĂƚ ŶŽůŝŵŝƚĂƚŝŽŶƐǁĞƌĞƉƌĞƐĞŶƚŝŶƚŚĞŝƚǇ͛ƐƌĞŐƵůĂƚŝŽŶƐƚŚĂƚƉƌĞǀĞŶƚĞĚĂŐƌŝĐƵůƚƵƌĂůůǇĚĞǀĞůŽƉĞĚůĂŶĚƐ ĨƌŽŵ ƚƌĂŶƐŝƚŝŽŶŝŶŐƚŽŶŽŶĂŐƌŝĐƵůƚƵƌĂůƵƐĞƐ͘^ŝŐŶŝĨŝĐĂŶƚŝŵƉĂĐƚƐǁĞƌĞĂŶƚŝĐŝƉĂƚĞĚǁŝƚŚƚŚĞďƵŝůĚŽƵƚŽĨƚŚĞKŶƚĂƌŝŽ 'WĚƵĞƚŽĐŽŶĨůŝĐƚƐǁŝƚŚĞƐƚĂďůŝƐŚĞĚtŝůůŝĂŵƐŽŶŽŶƚƌĂĐƚƐĂŶĚƐƵƌƌŽƵŶĚŝŶŐĨĂƌŵƐ͘ ϰ͘Ϯ͘Ϯ ŶĂůǇƐŝƐŽĨWƌŽƉŽƐĞĚWƌŽũĞĐƚ
dŚƌĞƐŚŽůĚ;ĂͿ ŽŶǀĞƌƚ WƌŝŵĞ &ĂƌŵůĂŶĚ͕hŶŝƋƵĞ&ĂƌŵůĂŶĚ͕ Žƌ &ĂƌŵůĂŶĚ ŽĨ ^ƚĂƚĞǁŝĚĞ/ŵƉŽƌƚĂŶĐĞ ;&ĂƌŵůĂŶĚͿ͕ĂƐƐŚŽǁŶŽŶƚŚĞŵĂƉƐƉƌĞƉĂƌĞĚƉƵƌƐƵĂŶƚƚŽƚŚĞ&ĂƌŵůĂŶĚDĂƉƉŝŶŐĂŶĚ DŽŶŝƚŽƌŝŶŐWƌŽŐƌĂŵ ŽĨ ƚŚĞ ĂůŝĨŽƌŶŝĂ ZĞƐŽƵƌĐĞƐŐĞŶĐǇ͕ƚŽ ŶŽŶ ͲĂŐƌŝĐƵůƚƵƌĂů ƵƐĞ͍ ΀KŶƚĂƌŝŽ'W
/Z/ŵƉĂĐƚϱ͘ϮͲϭ΁
dŚƌĞƐŚŽůĚ;ďͿ ŽŶĨůŝĐƚǁŝƚŚĞǆŝƐƚŝŶŐǌŽŶŝŶŐĨŽƌĂŐƌŝĐƵůƚƵƌĂůƵƐĞ͕ŽƌĂtŝůůŝĂŵƐŽŶĐƚĐŽŶƚƌĂĐƚ͍΀KŶƚĂƌŝŽ 'W
/Z/ŵƉĂĐƚϱ͘ϮͲϮ΁
dŚƌĞƐŚŽůĚ;ĐͿ ŽŶĨůŝĐƚǁŝƚŚĞǆŝƐƚŝŶŐǌŽŶŝŶŐĨŽƌ͕ŽƌĐĂƵƐĞƌĞǌŽŶŝŶŐŽĨ͕ĨŽƌĞƐƚůĂŶĚ;ĂƐĚĞĨŝŶĞĚŝŶWƵďůŝĐ ZĞƐŽƵƌĐĞƐŽĚĞƐĞĐƚŝŽŶϭϮϮϮϬ;ŐͿͿ͕ ƚŝŵďĞƌůĂŶĚ;ĂƐ ĚĞĨŝŶĞĚďǇWƵďůŝĐ ZĞƐŽƵƌĐĞƐŽĚĞ ƐĞĐƚŝŽŶϰϱϮϲͿ͕ŽƌƚŝŵďĞƌůĂŶĚǌŽŶĞĚdŝŵďĞƌůĂŶĚWƌŽĚƵĐƚŝŽŶ;ĂƐĚĞĨŝŶĞĚďǇ'ŽǀĞƌŶŵĞŶƚ ŽĚĞƐĞĐƚŝŽŶϱϭϭϬϰ;ŐͿͿ͍΀EŽƚĂŶĂůǇǌĞĚŝŶKŶƚĂƌŝŽ'W
/Z΁΀hƉĚĂƚĞĚ
YƉƉĞŶĚŝǆ'
dŚƌĞƐŚŽůĚ΁
dŚƌĞƐŚŽůĚ;ĚͿ ZĞƐƵůƚŝŶƚŚĞůŽƐƐŽĨ ĨŽƌĞƐƚůĂŶĚŽƌĐŽŶǀĞƌƐŝŽŶŽĨĨŽƌĞƐƚůĂŶĚƚŽŶŽŶ ͲĨŽƌĞƐƚƵƐĞ͍΀EŽƚ ĂŶĂůǇǌĞĚŝŶKŶƚĂƌŝŽ'W
/Z΁ ΀hƉĚĂƚĞĚ
YƉƉĞŶĚŝǆ'dŚƌĞƐŚŽůĚ΁
dŚƌĞƐŚŽůĚ;ĞͿ /ŶǀŽůǀĞŽƚŚĞƌĐŚĂŶŐĞƐŝŶƚŚĞ ĞǆŝƐƚŝŶŐ ĞŶǀŝƌŽŶŵĞŶƚǁŚŝĐŚ͕ĚƵĞƚŽ ƚŚĞŝƌ ůŽĐĂƚŝŽŶŽƌ ŶĂƚƵƌĞ͕ĐŽƵůĚƌĞƐƵůƚŝŶĐŽŶǀĞƌƐŝŽŶŽĨ&ĂƌŵůĂŶĚ͕ƚŽŶŽŶ ͲĂŐƌŝĐƵůƚƵƌĂůƵƐĞŽƌĐŽŶǀĞƌƐŝŽŶŽĨ ĨŽƌĞƐƚůĂŶĚƚŽŶŽͲĨŽƌĞƐƚůĂŶĚ͍΀KŶƚĂƌŝŽ'W
/Z/ŵƉĂĐƚϱ͘ϮͲϯ΁
EŽEĞǁŽƌDŽƌĞ^ĞǀĞƌĞ/ŵƉĂĐƚ͗dŚĞWƌŽũĞĐƚǁŽƵůĚďĞĚĞǀĞůŽƉĞĚ ŝŶĂƉŽƌƚŝŽŶŽĨƚŚĞŝƚǇĚĞƐŝŐŶĂƚĞĚĨŽƌ ŝŶĚƵƐƚƌŝĂůůĂŶĚƵƐĞƐ͘&ƵƌƚŚĞƌŵŽƌĞ͕ƚŚĞƉĂƌĐĞůƐŝŶǁŚŝĐŚƚŚĞWƌŽũĞĐƚǁŽƵůĚŽĐĐƵƉǇĂƌĞĐƵƌƌĞŶƚůǇĚĞǀĞůŽƉĞĚ ĨŽƌŝŶĚƵƐƚƌŝĂůĂŶĚǁĂƌĞŚŽƵƐŝŶŐƵƐĞƐ͘dŚĞƉĂƌĐĞůƐĂƌĞĂůƐŽĐƵƌƌĞŶƚůǇǌŽŶĞĚĨŽƌ'ĞŶĞƌĂů/ŶĚƵƐƚƌŝĂů;/'ͿĂŶĚ >ŝŐŚƚ/ŶĚƵƐƚƌŝĂů;/>ͿƵƐĞƐǁŚŝĐŚĚŽŶŽƚŝŶĐůƵĚĞĂŐƌŝĐƵůƚƵƌĞŽƌĨŽƌĞƐƚƌǇ͘dŚĞƌĞĨŽƌĞ͕ƚŚĞWƌŽũĞĐƚƐŝƚĞǁŽƵůĚŶŽƚ ďĞƐƵŝƚĂďůĞĨŽƌĚĞƐŝŐŶĂƚŝŽŶĂƐWƌŝŵĞ&ĂƌŵůĂŶĚ͕hŶŝƋƵĞ&ĂƌŵůĂŶĚ͕&ĂƌŵůĂŶĚŽĨ ^ƚĂƚĞǁŝĚĞ/ŵƉŽƌƚĂŶĐĞ͕Žƌ tŝůůŝĂŵƐŽŶ ŽŶƚƌĂĐƚĂŐƌŝĐƵůƚƵƌĞ͘&ƵƌƚŚĞƌŵŽƌĞ͕ƚŚĞĚĞǀĞůŽƉĞĚ ƐƚĂƚĞŽĨ ƚŚĞ WƌŽũĞĐƚǁŽƵůĚ ŶŽƚĐĂƵƐĞŝƚƐ ƌĞĚĞǀĞůŽƉŵĞŶƚƚŽĂĨĨĞĐƚƐƵƌƌŽƵŶĚŝŶŐĨĂƌŵƐĂƐŶŽĂŐƌŝĐƵůƚƵƌĂůŽƌĨŽƌĞƐƚƌǇƵƐĞƐĂƌĞĂĚũĂĐĞŶƚŽƌŶĞĂƌďǇƚŽ ƚŚĞWƌŽũĞĐƚƐŝƚĞ͘
ƐƐƵĐŚ͕ŶŽŝŵƉĂĐƚƐƌĞůĂƚĞĚƚŽƚŚĞůŽƐƐŽĨĨĂƌŵůĂŶĚǁŽƵůĚ ŽĐĐƵƌ͘dŚŝƐŝƐĂůŽǁĞƌůĞǀĞůŽĨŝŵƉĂĐƚƐĞǀĞƌŝƚǇ ƚŚĂŶǁĂƐĨŽƵŶĚŝŶƚŚĞKŶƚĂƌŝŽ'W
/Z͘ĞĐĂƵƐĞŽĨƚŚĞůĂĐŬŽĨĂŐƌŝĐƵůƚƵƌĂůŝŵƉĂĐƚƐ͕ŶŽŵŝƚŝŐĂƚŝŽŶŵĞĂƐƵƌĞƐ ĂƌĞŶĞĐĞƐƐĂƌǇ͘
DŝƚŝŐĂƚŝŽŶWƌŽŐƌĂŵ
DŝƚŝŐĂƚŝŽŶDĞĂƐƵƌĞƐĨƌŽŵƚŚĞKŶƚĂƌŝŽ'W
/Z
267
(QYLURQPHQWDO,PSDFW$QDO\VLV
dŚĞKŶƚĂƌŝŽWůĂŶ
/Z Ϯϴ ŽŶsŝĞǁWƌŽũĞĐƚ
ĚĚĞŶĚƵŵƚŽƚŚĞ&ŝŶĂů
ŶǀŝƌŽŶŵĞŶƚĂů/ŵƉĂĐƚZĞƉŽƌƚ
EŽŶĞŝĚĞŶƚŝĨŝĞĚŝŶƚŚĞKŶƚĂƌŝŽ'W
/Z͘
KǀĞƌĂůůŐƌŝĐƵůƚƵƌĂůĂŶĚ&ŽƌĞƐƚƌǇZĞƐŽƵƌĐĞƐ/ŵƉĂĐƚŽŶĐůƵƐŝŽŶ dŚĞWƌŽũĞĐƚǁŽƵůĚƌĞƐƵůƚŝŶŶŽ ŶĞǁŽƌŵŽƌĞƐĞǀĞƌĞŝŵƉĂĐƚƚŽĂŐƌŝĐƵůƚƵƌĂůŽƌĨŽƌĞƐƚƌǇƌĞƐŽƵƌĐĞƐ͘ĞƐƉŝƚĞ ƚŚĞ ƐŝŐŶŝĨŝĐĂŶƚ ĂŶĚ ƵŶĂǀŽŝĚĂďůĞ ŝŵƉĂĐƚƐ ŝĚĞŶƚŝĨŝĞĚ ŝŶ ƚŚĞ KŶƚĂƌŝŽ 'W /Z͕ŶŽ ƐŝŐŶŝĨŝĐĂŶƚ ŝŵƉĂĐƚƐ ƚŽ
ĂŐƌŝĐƵůƚƵƌĂůƌĞƐŽƵƌĐĞƐĂƌĞŝĚĞŶƚŝĨŝĞĚŝŶ ƌĞůĂƚŝŽŶƚŽWƌŽũĞĐƚŝŵƉůĞŵĞŶƚĂƚŝŽŶ͘dŚĞWƌŽũĞĐƚŝƐůŽĐĂƚĞĚǁŝƚŚŝŶĂ ƉƌĞǀŝŽƵƐůǇĚĞǀĞůŽƉĞĚĂŶĚĂĐƚŝǀĞĂƌĞĂĚĞƐŝŐŶĂƚĞĚĨŽƌŝŶĚƵƐƚƌŝĂůůĂŶĚƵƐĞƐ͖ƚŚĞƌĞĨŽƌĞ͕ŶŽŶĞǁĂŶĚͬŽƌƌĞĨŝŶĞĚ ŵŝƚŝŐĂƚŝŽŶŵĞĂƐƵƌĞƐĂƌĞƌĞƋƵŝƌĞĚĨŽƌŝƐƐƵĞƐƌĞůĂƚĞĚƚŽĂŐƌŝĐƵůƚƵƌĂůŽƌĨŽƌĞƐƚƌǇƌĞƐŽƵƌĐĞƐ͘ tŝƚŚƌĞŐĂƌĚƚŽ
Y^ƚĂƚƵƚĞ^ĞĐƚŝŽŶϮϭϭϲϲĂŶĚ
Y'ƵŝĚĞůŝŶĞƐ^ĞĐƚŝŽŶϭϱϭϲϮ;ĂͿ͕ƚŚĞĐŚĂŶŐĞƐƉƌŽƉŽƐĞĚ
ďǇƚŚĞWƌŽũĞĐƚǁŽƵůĚŶŽƚƌĞƐƵůƚŝŶĂŶǇŶĞǁŽƌŵŽƌĞƐĞǀĞƌĞŝŵƉĂĐƚƐǁŝƚŚƌĞƐƉĞĐƚƚŽĂŐƌŝĐƵůƚƵƌĂůĂŶĚĨŽƌĞƐƚƌǇ ƌĞƐŽƵƌĐĞƐ͘dŚĞƌĞĨŽƌĞ͕ƉƌĞƉĂƌĂƚŝŽŶŽĨĂ^
/ZŝƐŶŽƚǁĂƌƌĂŶƚĞĚ͘
268
(QYLURQPHQWDO,PSDFW$QDO\VLV
dŚĞKŶƚĂƌŝŽWůĂŶ
/Z Ϯϵ ŽŶsŝĞǁWƌŽũĞĐƚ
ĚĚĞŶĚƵŵƚŽƚŚĞ&ŝŶĂů
ŶǀŝƌŽŶŵĞŶƚĂů/ŵƉĂĐƚZĞƉŽƌƚ
ϰ͘ϯ ŝƌYƵĂůŝƚǇ
ϰ͘ϯ͘ϭ ^ƵŵŵĂƌǇŽĨWƌĞǀŝŽƵƐ
ŶǀŝƌŽŶŵĞŶƚĂůŶĂůǇƐŝƐ
dŚĞKŶƚĂƌŝŽ'W
/ZĐŽŶĐůƵĚĞĚƚŚĂƚŝŵƉůĞŵĞŶƚĂƚŝŽŶŽĨƚŚĞKŶƚĂƌŝŽ'WǁŽƵůĚĐŽŶĨůŝĐƚǁŝƚŚƚŚĞŝƌYƵĂůŝƚǇ DĂŶĂŐĞŵĞŶƚWůĂŶĂƚĨƵůů ďƵŝůĚŽƵƚ͘ ^ŝŵŝůĂƌůǇ͕ŝŶ ŽƌĚĞƌƚŽƌĞĂĐŚĨƵůů ďƵŝůĚŽƵƚ͕ĚĞǀĞůŽƉŵĞŶƚƐǁŽƵůĚ ůŝŬĞůǇ ĞǆĐĞĞĚ ^ŽƵƚŚ ŽĂƐƚŝƌ YƵĂůŝƚǇ DĂŶĂŐĞŵĞŶƚŝƐƚƌŝĐƚ;^YDͿ ƚŚƌĞƐŚŽůĚƐ ĞƐƚĂďůŝƐŚĞĚƚŽ ŵŝŶŝŵŝǌĞ ƉŽƚĞŶƚŝĂů Ăŝƌ ƋƵĂůŝƚǇ ĚĞŐƌĂĚĂƚŝŽŶ͘ &ƵƌƚŚĞƌ͕ ƐƉĞĐŝĨŝĐ ƉƌŽũĞĐƚƐ ǁŽƵůĚ ƉŽƚĞŶƚŝĂůůǇ ďĞ ůŽĐĂƚĞĚ ŶĞĂƌďǇ ĚĞǀĞůŽƉŵĞŶƚƐ ĂŶĚ ŽƉĞƌĂƚŝŽŶƐ ǁŚŝĐŚ ƉƌŽĚƵĐĞ ƐƵďƉĂƌ Ăŝƌ ƋƵĂůŝƚǇ ĞŵŝƐƐŝŽŶƐ͘^ĞƉĂƌĂƚĞůǇ͕ŝŵƉĂĐƚƐ ĨƌŽŵ ƚƌĂŶƐƉŽƌƚĂƚŝŽŶŝŶĐƌĞĂƐĞƐǁĞƌĞŶŽƚĞǆƉĞĐƚĞĚƚŽŐĞŶĞƌĂƚĞƐŝŐŶŝĨŝĐĂŶƚĂŝƌƋƵĂůŝƚǇŝŵƉĂĐƚƐ͘ ϰ͘ϯ͘Ϯ ŶĂůǇƐŝƐŽĨWƌŽƉŽƐĞĚWƌŽũĞĐƚ
dŚƌĞƐŚŽůĚ;ĂͿ ŽŶĨůŝĐƚǁŝƚŚŽƌŽďƐƚƌƵĐƚŝŵƉůĞŵĞŶƚĂƚŝŽŶŽĨƚŚĞĂƉƉůŝĐĂďůĞĂŝƌƋƵĂůŝƚǇƉůĂŶ͍΀KŶƚĂƌŝŽ'W

/Z/ŵƉĂĐƚϱ͘ϯͲϭ΁
dŚƌĞƐŚŽůĚ;ďͿ sŝŽůĂƚĞĂŶǇĂŝƌƋƵĂůŝƚǇƐƚĂŶĚĂƌĚŽƌĐŽŶƚƌŝďƵƚĞƐƵďƐƚĂŶƚŝĂůůǇƚŽĂŶĞǆŝƐƚŝŶŐŽƌƉƌŽũĞĐƚĞĚ Ăŝƌ ƋƵĂůŝƚǇ ǀŝŽůĂƚŝŽŶ͘ ΀KŶƚĂƌŝŽ'W
/Z /ŵƉĂĐƚ ϱ͘ϯͲϮ͕ ϱ͘ϯͲϯ΁ ΀EŽ ůŽŶŐĞƌ ŝŶĐůƵĚĞĚŝŶ

YƉƉĞŶĚŝǆ'dŚƌĞƐŚŽůĚƐ΁
,ĞĂůƚŚ ZŝƐŬ ƐƐĞƐƐŵĞŶƚ;,ZͿ ǁĂƐ ĐŽŶĚƵĐƚĞĚ ĨŽƌ ƚŚĞ WƌŽũĞĐƚ ďǇ <ŝŵůĞǇͲ,ŽƌŶ ĂŶĚ ƐƐŽĐŝĂƚĞƐŝŶ ƵŐƵƐƚϮϬϮϭ͘dŚĞƌĞƐƵůƚƐŽĨƚŚĞ,ZĂƌĞƐƵŵŵĂƌŝǌĞĚŚĞƌĞŝŶĂŶĚŝŶĐůƵĚĞĚĂƐƉƉĞŶĚŝǆƚŽƚŚŝƐĚĚĞŶĚƵŵ͘ EŽEĞǁŽƌDŽƌĞ^ĞǀĞƌĞ/ŵƉĂĐƚ͗dŚĞWƌŽũĞĐƚƐŝƚĞŝƐůŽĐĂƚĞĚŝŶ ƚŚĞ^ŽƵƚŚ ŽĂƐƚŝƌĂƐŝŶ;ĂƐŝŶͿǁŚŝĐŚ ŝŶĐůƵĚĞƐ ƉĂƌƚƐŽĨ ^ĂŶ ĞƌŶĂƌĚŝŶŽ͕>ŽƐŶŐĞůĞƐ͕ĂŶĚ ZŝǀĞƌƐŝĚĞĐŽƵŶƚŝĞƐ ĂŶĚ Ăůů ŽĨ KƌĂŶŐĞŽƵŶƚǇ͘dŚĞ ^YDĂŶĚƚŚĞĂůŝĨŽƌŶŝĂŝƌZĞƐŽƵƌĐĞƐŽĂƌĚ;ZͿŵŽŶŝƚŽƌĂŝƌƋƵĂůŝƚǇǁŝƚŚŝŶƚŚĞĂƐŝŶ͘ ŝƌ ƋƵĂůŝƚǇ ƉůĂŶƐ ĚĞƐĐƌŝďĞĂŝƌ ƉŽůůƵƚŝŽŶ ĐŽŶƚƌŽů ƐƚƌĂƚĞŐŝĞƐĂŶĚŵĞĂƐƵƌĞƐƚŽ ďĞ ŝŵƉůĞŵĞŶƚĞĚ ďǇ Ă ĐŝƚǇ͕ ĐŽƵŶƚǇ͕ƌĞŐŝŽŶ͕ĂŶĚͬŽƌĂŝƌĚŝƐƚƌŝĐƚ͘dŚĞƉƌŝŵĂƌǇƉƵƌƉŽƐĞŽĨĂŶĂŝƌƋƵĂůŝƚǇƉůĂŶŝƐƚŽďƌŝŶŐĂŶĂƌĞĂƚŚĂƚĚŽĞƐ ŶŽƚĂƚƚĂŝŶ&ĞĚĞƌĂůĂŶĚ^ƚĂƚĞĂŝƌƋƵĂůŝƚǇƐƚĂŶĚĂƌĚƐŝŶƚŽĐŽŵƉůŝĂŶĐĞǁŝƚŚƚŚĞƌĞƋƵŝƌĞŵĞŶƚƐŽĨƚŚĞ&ĞĚĞƌĂů ůĞĂŶŝƌĐƚĂŶĚĂůŝĨŽƌŶŝĂůĞĂŶŝƌĐƚ͘/ŶĂĚĚŝƚŝŽŶ͕ĂŝƌƋƵĂůŝƚǇƉůĂŶƐĂƌĞĚĞǀĞůŽƉĞĚƚŽĞŶƐƵƌĞƚŚĂƚĂŶ ĂƌĞĂŵĂŝŶƚĂŝŶƐ Ă ŚĞĂůƚŚĨƵů ůĞǀĞů ŽĨ Ăŝƌ ƋƵĂůŝƚǇ ďĂƐĞĚ ŽŶ ƚŚĞ EĂƚŝŽŶĂů ŵďŝĞŶƚ ŝƌYƵĂůŝƚǇ ^ƚĂŶĚĂƌĚƐ ;EY^Ϳ ĂŶĚƚŚĞĂůŝĨŽƌŶŝĂŵďŝĞŶƚ ŝƌYƵĂůŝƚǇ^ƚĂŶĚĂƌĚƐ;Y^Ϳ͘dŚĞ ŝƌYƵĂůŝƚǇDĂŶĂŐĞŵĞŶƚWůĂŶ ;YDWͿ ŝƐƉƌĞƉĂƌĞĚďǇ ^YDĂŶĚƚŚĞ ^ŽƵƚŚĞƌŶĂůŝĨŽƌŶŝĂƐƐŽĐŝĂƚŝŽŶŽĨ 'ŽǀĞƌŶŵĞŶƚƐ;^'Ϳ͘dŚĞ YDW ƉƌŽǀŝĚĞƐƉŽůŝĐŝĞƐ ĂŶĚ ĐŽŶƚƌŽůŵĞĂƐƵƌĞƐƚŚĂƚƌĞĚƵĐĞĞŵŝƐƐŝŽŶƐƚŽ ĂƚƚĂŝŶďŽƚŚ ^ƚĂƚĞĂŶĚ&ĞĚĞƌĂů ĂŵďŝĞŶƚĂŝƌƋƵĂůŝƚǇƐƚĂŶĚĂƌĚƐ͘
ĐĐŽƌĚŝŶŐƚŽƚŚĞ^YD͕ĂƉƌŽũĞĐƚŝƐĐŽŶƐŝƐƚĞŶƚǁŝƚŚƚŚĞYDWŝĨƚŚĞƉƌŽũĞĐƚǁŽƵůĚŶŽƚƌĞƐƵůƚŝŶĂŶ ŝŶĐƌĞĂƐĞŝŶ ƚŚĞ ĨƌĞƋƵĞŶĐǇ Žƌ ƐĞǀĞƌŝƚǇŽĨ ĞǆŝƐƚŝŶŐĂŝƌ ƋƵĂůŝƚǇ ǀŝŽůĂƚŝŽŶƐ Žƌ ĐĂƵƐĞŽƌ ĐŽŶƚƌŝďƵƚĞ ƚŽ ŶĞǁ ǀŝŽůĂƚŝŽŶƐŽƌĚĞůĂǇƚŝŵĞůǇĂƚƚĂŝŶŵĞŶƚŽĨĂŝƌƋƵĂůŝƚǇƐƚĂŶĚĂƌĚƐŽƌƚŚĞŝŶƚĞƌŝŵĞŵŝƐƐŝŽŶƌĞĚƵĐƚŝŽŶƐƐƉĞĐŝĨŝĞĚ ŝŶƚŚĞYDW͘dŚĞĂƐŝŶŝƐĚĞƐŝŐŶĂƚĞĚĂƐĂƚƚĂŝŶŵĞŶƚĨŽƌĐƌŝƚĞƌŝĂƉŽůůƵƚĂŶƚƐEŝƚƌŽŐĞŶŝŽǆŝĚĞ;EKϮͿ͕^ƵůĨƵƌ ŝŽǆŝĚĞ;^KϮͿĂŶĚ>ĞĂĚ͘,ŽǁĞǀĞƌ͕ƚŚĞĂƐŝŶŝƐĐƵƌƌĞŶƚůǇŝŶŶŽŶĂƚƚĂŝŶŵĞŶƚĨŽƌKǌŽŶĞ;KϯͿ͘EŝƚƌŽŐĞŶKǆŝĚĞ ;EKǆͿ ĞŵŝƐƐŝŽŶƐ͕ĂƉƌĞĐƵƌƐŽƌƚŽKϯ͕ĂƌĞĨĂƌďĞůŽǁƚŚĞƚŚƌĞƐŚŽůĚƐĞƐƚĂďůŝƐŚĞĚďǇƚŚĞ^YD͘ŽŵƉůŝĂŶĐĞ ǁŝƚŚ ^YD ZƵůĞ ϭϭϭϯ ǁŽƵůĚ ĞŶƐƵƌĞƌĞĂĐƚŝǀĞ ŽƌŐĂŶŝĐŐĂƐƐĞƐ;ZK'Ϳ ĞŵŝƐƐŝŽŶƐĂƌĞďĞůŽǁ ^YD ƚŚƌĞƐŚŽůĚ ůĞǀĞůƐ͘ ZƵůĞ ϭϭϭϯ ƌĞƋƵŝƌĞƐ ŵĂŶƵĨĂĐƚƵƌĞƌƐ͕ĚŝƐƚƌŝďƵƚŽƌƐ͕ĂŶĚ ĞŶĚͲƵƐĞƌƐ ŽĨ ĂƌĐŚŝƚĞĐƚƵƌĂůĂŶĚ ŝŶĚƵƐƚƌŝĂůŵĂŝŶƚĞŶĂŶĐĞĐŽĂƚŝŶŐƐƚŽƌĞĚƵĐĞǀŽůĂƚŝůĞŽƌŐĂŶŝĐĐŽŵƉŽƵŶĚƐ ;sKͿĞŵŝƐƐŝŽŶƐĨƌŽŵƚŚĞƵƐĞŽĨ ƚŚĞƐĞĐŽĂƚŝŶŐƐ͕ƉƌŝŵĂƌŝůǇďǇƉůĂĐŝŶŐůŝŵŝƚƐŽŶƚŚĞsKĐŽŶƚĞŶƚŽĨǀĂƌŝŽƵƐĐŽĂƚŝŶŐĐĂƚĞŐŽƌŝĞƐ͘dŚĞĂƐŝŶŝƐ 269
(QYLURQPHQWDO,PSDFW$QDO\VLV
dŚĞKŶƚĂƌŝŽWůĂŶ
/Z ϯϬ ŽŶsŝĞǁWƌŽũĞĐƚ
ĚĚĞŶĚƵŵƚŽƚŚĞ&ŝŶĂů
ŶǀŝƌŽŶŵĞŶƚĂů/ŵƉĂĐƚZĞƉŽƌƚ
ĂůƐŽŝŶŶŽŶĂƚƚĂŝŶŵĞŶƚĨŽƌƉĂƌƚŝĐƵůĂƚĞŵĂƚƚĞƌϭϬŵŝĐƌŽŶƐŝŶĚŝĂŵĞƚĞƌŽƌůĞƐƐ;WDϭϬͿĂŶĚƉĂƌƚŝĐƵůĂƚĞŵĂƚƚĞƌ Ϯ͘ϱŵŝĐƌŽŶƐŝŶĚŝĂŵĞƚĞƌŽƌůĞƐƐ;WDϮ͘ϱͿ͘
dŚĞ^YD͛Ɛ
Y,ĂŶĚďŽŽŬ͕ŝĚĞŶƚŝĨŝĞƐƚǁŽŬĞǇŝŶĚŝĐĂƚŽƌƐŽĨĐŽŶƐŝƐƚĞŶĐǇǁŝƚŚƚŚĞYDW͗ ϭ͘ tŚĞƚŚĞƌĂ ƉƌŽũĞĐƚǁŝůů ƌĞƐƵůƚŝŶ ĂŶ ŝŶĐƌĞĂƐĞŝŶ ƚŚĞĨƌĞƋƵĞŶĐǇ Žƌ ƐĞǀĞƌŝƚǇŽĨ ĞǆŝƐƚŝŶŐĂŝƌƋƵĂůŝƚǇ ǀŝŽůĂƚŝŽŶƐ Žƌ ĐĂƵƐĞ Žƌ ĐŽŶƚƌŝďƵƚĞ ƚŽ ŶĞǁ ǀŝŽůĂƚŝŽŶƐ Žƌ ĚĞůĂǇ ƚŝŵĞůǇ ĂƚƚĂŝŶŵĞŶƚŽĨ Ăŝƌ ƋƵĂůŝƚǇ ƐƚĂŶĚĂƌĚƐŽƌƚŚĞŝŶƚĞƌŝŵĞŵŝƐƐŝŽŶƌĞĚƵĐƚŝŽŶƐƐƉĞĐŝĨŝĞĚŝŶƚŚĞYDW͘ Ϯ͘ tŚĞƚŚĞƌĂƉƌŽũĞĐƚǁŝůůĞǆĐĞĞĚƚŚĞĂƐƐƵŵƉƚŝŽŶƐŝŶƚŚĞYDWďĂƐĞĚŽŶƚŚĞǇĞĂƌŽĨƉƌŽũĞĐƚďƵŝůĚŽƵƚ ĂŶĚƉŚĂƐĞ͘
dŚĞWƌŽũĞĐƚǁŽƵůĚ ďĞŝŶĐŽŶƐŝƐƚĞŶƚǁŝƚŚYDWƌŝƚĞƌŝŽŶϭƐŝŶĐĞƚŚĞWƌŽũĞĐƚǁŽƵůĚŽĐĐƵƉǇĂŶĂƌĞĂƚŚĂƚŝƐ ĐƵƌƌĞŶƚůǇĚĞǀĞůŽƉĞĚĂŶĚŝŶƵƐĞǁŝƚŚŝŶĚƵƐƚƌŝĂůͬǁĂƌĞŚŽƵƐŝŶŐĂĐƚŝǀŝƚŝĞƐĂŶĚĚĞǀĞůŽƉŵĞŶƚƐ͘/ŵƉůĞŵĞŶƚĂƚŝŽŶ ŽĨ ƚŚĞWƌŽũĞĐƚǁŽƵůĚĐŽŶƚŝŶƵĞ ƚŚĞƐĞƵƐĞƐĂƚĂƐĞĞŵŝŶŐůǇůĂƌŐĞƌƐĐĂůĞ͘dŚĞůĂƌŐĞƌƐŝǌĞĂŶĚƐƵďƐĞƋƵĞŶƚůǇ ůĂƌŐĞƌŽƉĞƌĂƚŝŶŐĂĐƚŝǀŝƚǇǁŽƵůĚŝŶĞǀŝƚĂďůǇŐĞŶĞƌĂƚĞĂŶŝŶĐƌĞĂƐĞĚƌĂƚĞŽĨĞŵŝƐƐŝŽŶƐ͘dŚĞWƌŽũĞĐƚǁŽƵůĚůŝŬĞůǇ ĞǆĐĞĞĚ ƚŚĞ ƐŚŽƌƚͲƚĞƌŵ ĐŽŶƐƚƌƵĐƚŝŽŶ ƐƚĂŶĚĂƌĚƐ ĂƐ ƚŚĞ ĐŽŶƐƚƌƵĐƚŝŽŶ ĂĐƚŝǀŝƚŝĞƐ ǁŽƵůĚ ŝŶǀŽůǀĞ ďŽƚŚ ĐŽŶƐƚƌƵĐƚŝŽŶ ŽĨ ƚŚĞ WƌŽũĞĐƚ ƐƚƌƵĐƚƵƌĞƐĂŶĚ ĚĞŵŽůŝƚŝŽŶ ŽĨ ĞǆŝƐƚŝŶŐ ƐƚƌƵĐƚƵƌĞƐ͘ dŚƵƐ͕ƚŚĞ ƉŽƚĞŶƚŝĂů ĨŽƌ ƐŝŐŶŝĨŝĐĂŶƚŝŵƉĂĐƚƐŝƐĂŶƚŝĐŝƉĂƚĞĚĚƵĞƚŽƚŚĞWƌŽũĞĐƚ͛ƐŝŶĐŽŶƐŝƐƚĞŶĐǇǁŝƚŚƚŚĞĨŝƌƐƚĐƌŝƚĞƌŝŽŶ͘ ŽŶĐĞƌŶŝŶŐŽŶƐŝƐƚĞŶĐǇƌŝƚĞƌŝŽŶEŽ͘Ϯ͕ƚŚĞYDWĐŽŶƚĂŝŶƐĂŝƌƉŽůůƵƚĂŶƚƌĞĚƵĐƚŝŽŶ ƐƚƌĂƚĞŐŝĞƐďĂƐĞĚŽŶ ^'͛ƐůĂƚĞƐƚŐƌŽǁƚŚĨŽƌĞĐĂƐƚƐ͕ĂŶĚ ^'͛ƐŐƌŽǁƚŚĨŽƌĞĐĂƐƚƐǁĞƌĞ ĚĞĨŝŶĞĚ ŝŶ ĐŽŶƐƵůƚĂƚŝŽŶ ǁŝƚŚ ůŽĐĂů ŐŽǀĞƌŶŵĞŶƚƐĂŶĚ ǁŝƚŚ ƌĞĨĞƌĞŶĐĞƚŽ ůŽĐĂů ŐĞŶĞƌĂůƉůĂŶƐ͘ dŚĞ WƌŽũĞĐƚ ŝƐ ĐŽŶƐŝƐƚĞŶƚǁŝƚŚ ƚŚĞ ůĂŶĚ ƵƐĞ ĚĞƐŝŐŶĂƚŝŽŶĂŶĚĚĞǀĞůŽƉŵĞŶƚĚĞŶƐŝƚǇƉƌĞƐĞŶƚĞĚŝŶƚŚĞKŶƚĂƌŝŽ'WĂŶĚƚŚĞƌĞĨŽƌĞǁŽƵůĚŶŽƚĞǆĐĞĞĚƚŚĞ ƉŽƉƵůĂƚŝŽŶ Žƌ ũŽď ŐƌŽǁƚŚ ƉƌŽũĞĐƚŝŽŶƐ ƵƐĞĚ ďǇ ƚŚĞ ^YD ƚŽ ĚĞǀĞůŽƉ ƚŚĞ YDW͘dŚƵƐ͕ ĂůĞƐƐƚŚĂŶ ƐŝŐŶŝĨŝĐĂŶƚŝŵƉĂĐƚǁŽƵůĚŽĐĐƵƌ͕ĂƐƚŚĞWƌŽũĞĐƚŝƐĐŽŶƐŝƐƚĞŶƚǁŝƚŚƚŚĞƐĞĐŽŶĚĐƌŝƚĞƌŝŽŶ͘ dŚĞKŶƚĂƌŝŽ'W
/ZŝĚĞŶƚŝĨŝĞĚŝŵƉĂĐƚƐĚƵƌŝŶŐĐŽŶƐƚƌƵĐƚŝŽŶĂƐĂƐŝŐŶŝĨŝĐĂŶƚĂŶĚƵŶĂǀŽŝĚĂďůĞŝŵƉĂĐƚŽŶĂŝƌ ƋƵĂůŝƚǇ͘ DŝƚŝŐĂƚŝŽŶDĞĂƐƵƌĞϯͲϭ ǁĂƐ ŝĚĞŶƚŝĨŝĞĚ ŝŶ ƚŚĞ KŶƚĂƌŝŽ 'W /Z ƚŽ ƌĞĚƵĐĞ Ăŝƌ ĞŵŝƐƐŝŽŶƐ ĨƌŽŵ
ŝŵƉůĞŵĞŶƚĂƚŝŽŶŽĨƚŚĞKŶƚĂƌŝŽ'W͘
dŚĞKŶƚĂƌŝŽ'W
/ZŝĚĞŶƚŝĨŝĞĚĂŝƌƋƵĂůŝƚǇŽƉĞƌĂƚŝŽŶĂůŝŵƉĂĐƚƐĂƐƐŽĐŝĂƚĞĚǁŝƚŚƚŚĞďƵŝůĚŽƵƚŽĨƚŚĞKŶƚĂƌŝŽ 'WĂƐƐŝŐŶŝĨŝĐĂŶƚĂŶĚƵŶĂǀŽŝĚĂďůĞ͘/ƚǁĂƐĐŽŶĐůƵĚĞĚŝŶ ƚŚĞKŶƚĂƌŝŽ'W /ZƚŚĂƚŶŽŵŝƚŝŐĂƚŝŽŶŵĞĂƐƵƌĞƐ
ƉƌŽƉŽƐĞĚĨŽƌ/ŵƉĂĐƚϱ͘ϯͲϭǁŽƵůĚďĞĨĞĂƐŝďůĞ͘ƐƐƵĐŚ͕ŶŽŵŝƚŝŐĂƚŝŽŶŝƐŝŶĐůƵĚĞĚ͘ DŝƚŝŐĂƚŝŽŶWƌŽŐƌĂŵ
DŝƚŝŐĂƚŝŽŶDĞĂƐƵƌĞƐĨƌŽŵƚŚĞKŶƚĂƌŝŽ'W
/Z
DŝƚŝŐĂƚŝŽŶŵĞĂƐƵƌĞƐϯͲϭĂŶĚϯͲϮǁĞƌĞŝĚĞŶƚŝĨŝĞĚŝŶƚŚĞKŶƚĂƌŝŽ'W /Z͘
ϯͲϭ dŚĞ ŝƚǇ ŽĨ KŶƚĂƌŝŽ ƵŝůĚŝŶŐ ĞƉĂƌƚŵĞŶƚ ƐŚĂůů ƌĞƋƵŝƌĞ ƚŚĂƚ Ăůů ŶĞǁ ĐŽŶƐƚƌƵĐƚŝŽŶ ƉƌŽũĞĐƚƐ ŝŶĐŽƌƉŽƌĂƚĞ ĨĞĂƐŝďůĞŵŝƚŝŐĂƚŝŽŶ ŵĞĂƐƵƌĞƐƚŽƌĞĚƵĐĞĂŝƌ ƋƵĂůŝƚǇ ĞŵŝƐƐŝŽŶƐ͘WŽƚĞŶƚŝĂůŵĞĂƐƵƌĞƐ ƐŚĂůůďĞŝŶĐŽƌƉŽƌĂƚĞĚĂƐĐŽŶĚŝƚŝŽŶƐŽĨĂƉƉƌŽǀĂůĨŽƌĂƉƌŽũĞĐƚĂŶĚŵĂǇŝŶĐůƵĚĞ͗ x ZĞƋƵŝƌŝŶŐ ĨƵŐŝƚŝǀĞ ĚƵƐƚ ĐŽŶƚƌŽů ŵĞĂƐƵƌĞƐ ƚŚĂƚ ĞǆĐĞĞĚ ^ŽƵƚŚ ŽĂƐƚ ŝƌ YƵĂůŝƚǇ DĂŶĂŐĞŵĞŶƚŝƐƚƌŝĐƚ͛ƐZƵůĞϰϬϯ͕ƐƵĐŚĂƐ͗
o ZĞƋƵŝƌŝŶŐƵƐĞŽĨŶŽŶƚŽǆŝĐ ƐŽŝůƐƚĂďŝůŝǌĞƌƐƚŽƌĞĚƵĐĞǁŝŶĚ ĞƌŽƐŝŽŶ͘ o ƉƉůǇŝŶŐǁĂƚĞƌĞǀĞƌǇĨŽƵƌŚŽƵƌƐƚŽĂĐƚŝǀĞƐŽŝůĚŝƐƚƵƌďŝŶŐĂĐƚŝǀŝƚŝĞƐ͘ 270
(QYLURQPHQWDO,PSDFW$QDO\VLV
dŚĞKŶƚĂƌŝŽWůĂŶ
/Z ϯϭ ŽŶsŝĞǁWƌŽũĞĐƚ
ĚĚĞŶĚƵŵƚŽƚŚĞ&ŝŶĂů
ŶǀŝƌŽŶŵĞŶƚĂů/ŵƉĂĐƚZĞƉŽƌƚ
o dĂƌƉŝŶŐ ĂŶĚͬŽƌ ŵĂŝŶƚĂŝŶŝŶŐ ĂŵŝŶŝŵƵŵ ŽĨ Ϯϰ ŝŶĐŚĞƐŽĨ ĨƌĞĞďŽĂƌĚ ŽŶ ƚƌƵĐŬƐ ŚĂƵůŝŶŐ Ěŝƌƚ͕ƐĂŶĚ͕ƐŽŝů͕ŽƌŽƚŚĞƌůŽŽƐĞŵĂƚĞƌŝĂůƐ͘
x hƐŝŶŐ ĐŽŶƐƚƌƵĐƚŝŽŶ ĞƋƵŝƉŵĞŶƚ ƌĂƚĞĚ ďǇ ƚŚĞ hŶŝƚĞĚ ^ƚĂƚĞƐ ŶǀŝƌŽŶŵĞŶƚĂů WƌŽƚĞĐƚŝŽŶ
ŐĞŶĐǇĂƐŚĂǀŝŶŐdŝĞƌϯŽƌŚŝŐŚĞƌĞǆŚĂƵƐƚĞŵŝƐƐŝŽŶůŝŵŝƚƐ͘ x
ŶƐƵƌŝŶŐ ĐŽŶƐƚƌƵĐƚŝŽŶ ĞƋƵŝƉŵĞŶƚ ŝƐ ƉƌŽƉĞƌůǇ ƐĞƌǀŝĐĞĚ ĂŶĚ ŵĂŝŶƚĂŝŶĞĚ ƚŽ ƚŚĞ ŵĂŶƵĨĂĐƚƵƌĞƌ͛ƐƐƚĂŶĚĂƌĚƐ͘
x >ŝŵŝƚŝŶŐŶŽŶĞƐƐĞŶƚŝĂůŝĚůŝŶŐ ŽĨĐŽŶƐƚƌƵĐƚŝŽŶĞƋƵŝƉŵĞŶƚƚŽŶŽŵŽƌĞƚŚĂŶĨŝǀĞĐŽŶƐĞĐƵƚŝǀĞ ŵŝŶƵƚĞƐ͘
x hƐŝŶŐ ^ƵƉĞƌͲŽŵƉůŝĂŶƚ sK ƉĂŝŶƚƐ ĨŽƌ ĐŽĂƚŝŶŐ ŽĨ ĂƌĐŚŝƚĞĐƚƵƌĂů ƐƵƌĨĂĐĞƐ ǁŚĞŶĞǀĞƌ ƉŽƐƐŝďůĞ͘ůŝƐƚŽĨ^ƵƉĞƌͲŽŵƉůŝĂŶƚĂƌĐŚŝƚĞĐƚƵƌĂůĐŽĂƚŝŶŐŵĂŶƵĨĂĐƚƵƌĞƐĐĂŶďĞĨŽƵŶĚŽŶ ƚŚĞ ^ŽƵƚŚ ŽĂƐƚ ŝƌ YƵĂůŝƚǇ DĂŶĂŐĞŵĞŶƚ ŝƐƚƌŝĐƚ͛Ɛ ǁĞďƐŝƚĞ Ăƚ͗ ŚƚƚƉ͗ͬͬǁǁǁ͘ĂƋŵĚ͘ŐŽǀͬƉƌĚĂƐͬďƌŽĐŚƵƌĞƐͬ^ƵƉĞƌͲŽŵƉůŝĂŶƚͺ/D͘ƉĚĨ͘ ϯͲϮ dŚĞŝƚǇŽĨKŶƚĂƌŝŽ ƐŚĂůů ĞǀĂůƵĂƚĞŶĞǁ ĚĞǀĞůŽƉŵĞŶƚƉƌŽƉŽƐĂůƐǁŝƚŚŝŶ ƚŚĞŝƚǇĂŶĚ ƌĞƋƵŝƌĞĂůů ĚĞǀĞůŽƉŵĞŶƚƐƚŽ ŝŶĐůƵĚĞ ĂĐĐĞƐƐŽƌ ůŝŶŬĂŐĞƐ ƚŽ ĂůƚĞƌŶĂƚŝǀĞŵŽĚĞƐ ŽĨ ƚƌĂŶƐƉŽƌƚĂƚŝŽŶ͕ ƐƵĐŚĂƐ ƚƌĂŶƐŝƚƐƚŽƉƐ͕ďŝŬĞƉĂƚŚƐ͕ĂŶĚͬŽƌƉĞĚĞƐƚƌŝĂŶƉĂƚŚƐ;Ğ͘Ő͕͘ƐŝĚĞǁĂůŬƐͿ͘ ŽŶĐůƵƐŝŽŶ
dŚĞ WƌŽũĞĐƚ ǁŽƵůĚ ƌĞƐƵůƚŝŶ ŶŽ ŶĞǁ ŽƌŵŽƌĞ ƐĞǀĞƌĞŝŵƉĂĐƚ ƉĞƌƚĂŝŶŝŶŐƚŽ ĐŽŶĨůŝĐƚ ǁŝƚŚ Žƌ ŽďƐƚƌƵĐƚŝŶŐ ŝŵƉůĞŵĞŶƚĂƚŝŽŶŽĨƚŚĞYDW͘/ŵƉĂĐƚƐǁŽƵůĚƌĞŵĂŝŶƐŝŐŶŝĨŝĐĂŶƚĂŶĚƵŶĂǀŽŝĚĂďůĞƐŝŵŝůĂƌůǇƚŽƚŚĞĐĞƌƚŝĨŝĞĚ KŶƚĂƌŝŽ 'W
/Z ǁŝƚŚ ŶŽ ŵŝƚŝŐĂƚŝŽŶ ĨŽƵŶĚ ĨĞĂƐŝďůĞ͘ dŚĞ WƌŽũĞĐƚ͛Ɛ ŝŵƉĂĐƚƐ ǁŽƵůĚ ďĞ ĐŽŶƐŝƐƚĞŶƚ ǁŝƚŚ ĚĞǀĞůŽƉŵĞŶƚŝŶƚŚĞĂƌĞĂĂŶĚǁŽƵůĚ ĨŽůůŽǁĂƉƉůŝĐĂďůĞYDWŵĞĂƐƵƌĞƐ͘dŚĞƌĞĨŽƌĞ͕ŶŽŶĞǁŽƌŵŽƌĞƐĞǀĞƌĞ ŝŵƉĂĐƚƐƌĞůĂƚŝǀĞƚŽĂŝƌƋƵĂůŝƚǇĞŵŝƐƐŝŽŶƐĨƌŽŵƚŚĞƉƌĞǀŝŽƵƐůǇŝĚĞŶƚŝĨŝĞĚƐŝŐŶŝĨŝĐĂŶƚŝŵƉĂĐƚĞǀĂůƵĂƚĞĚŝŶƚŚĞ KŶƚĂƌŝŽ'W
/ZǁŽƵůĚŽĐĐƵƌǁŝƚŚŝŵƉůĞŵĞŶƚĂƚŝŽŶŽĨƚŚĞWƌŽũĞĐƚĂŶĚŝĚĞŶƚŝĨŝĞĚŵŝƚŝŐĂƚŝŽŶŵĞĂƐƵƌĞƐĨƌŽŵ ƚŚĞKŶƚĂƌŝŽ'W
/Z͘ĚĚŝƚŝŽŶĂůůǇ͕ŶŽŶĞǁŝŶĨŽƌŵĂƚŝŽŶŽĨƐƵďƐƚĂŶƚŝĂůŝŵƉŽƌƚĂŶĐĞƚŚĂƚǁĂƐŶŽƚŬŶŽǁŶĂŶĚ ĐŽƵůĚŶŽƚŚĂǀĞďĞĞŶŬŶŽǁŶĂƚƚŚĞƚŝŵĞƚŚĞKŶƚĂƌŝŽ'W
/ZǁĂƐĐĞƌƚŝĨŝĞĚŝƐĂǀĂŝůĂďůĞƚŚĂƚǁŽƵůĚĐŚĂŶŐĞ
ƚŚĞƐŝŐŶŝĨŝĐĂŶĐĞĚĞƚĞƌŵŝŶĂƚŝŽŶŝŶƚŚĞKŶƚĂƌŝŽ'W
/Z͘
dŚƌĞƐŚŽůĚ;ĐͿ ZĞƐƵůƚŝŶĂĐƵŵƵůĂƚŝǀĞůǇĐŽŶƐŝĚĞƌĂďůĞŶĞƚŝŶĐƌĞĂƐĞŽĨĂŶǇĐƌŝƚĞƌŝĂƉŽůůƵƚĂŶƚĨŽƌǁŚŝĐŚƚŚĞ ƉƌŽũĞĐƚƌĞŐŝŽŶŝƐŝŶŶŽŶͲĂƚƚĂŝŶŵĞŶƚƵŶĚĞƌĂŶĂƉƉůŝĐĂďůĞ&ĞĚĞƌĂůŽƌƐƚĂƚĞĂŵďŝĞŶƚĂŝƌ ƋƵĂůŝƚǇƐƚĂŶĚĂƌĚ͍΀KŶƚĂƌŝŽ'W
/Z/ŵƉĂĐƚϱ͘ϯͲϮ͕ϱ͘ϯͲϯ΁
ŽŶƐƚƌƵĐƚŝŽŶ
ŵŝƐƐŝŽŶƐ
EŽEĞǁ ŽƌDŽƌĞ^ĞǀĞƌĞ/ŵƉĂĐƚ͗ŽŶƐƚƌƵĐƚŝŽŶĂƐƐŽĐŝĂƚĞĚǁŝƚŚƚŚĞWƌŽũĞĐƚ ǁŽƵůĚ ŐĞŶĞƌĂƚĞƐŚŽƌƚ ͲƚĞƌŵ ĞŵŝƐƐŝŽŶƐŽĨ ĐƌŝƚĞƌŝĂĂŝƌƉŽůůƵƚĂŶƚƐ͘dŚĞ ĐƌŝƚĞƌŝĂƉŽůůƵƚĂŶƚƐ ŽĨ ƉƌŝŵĂƌǇ ĐŽŶĐĞƌŶ ǁŝƚŚŝŶ ƚŚĞ WƌŽũĞĐƚĂƌĞĂ ŝŶĐůƵĚĞ KϯͲƉƌĞĐƵƌƐŽƌ ƉŽůůƵƚĂŶƚƐ ;ŝ͘Ğ͕͘ ZK' ĂŶĚ EKyͿ ĂŶĚ WDϭϬ ĂŶĚ WDϮ͘ϱ͘ ŽŶƐƚƌƵĐƚŝŽŶͲŐĞŶĞƌĂƚĞĚ ĞŵŝƐƐŝŽŶƐĂƌĞƐŚŽƌƚƚĞƌŵĂŶĚŽĨƚĞŵƉŽƌĂƌǇĚƵƌĂƚŝŽŶ͕ůĂƐƚŝŶŐŽŶůǇĂƐůŽŶŐĂƐĐŽŶƐƚƌƵĐƚŝŽŶĂĐƚŝǀŝƚŝĞƐŽĐĐƵƌ͕ ďƵƚǁŽƵůĚďĞĐŽŶƐŝĚĞƌĞĚĂƐŝŐŶŝĨŝĐĂŶƚĂŝƌƋƵĂůŝƚǇŝŵƉĂĐƚŝĨƚŚĞǀŽůƵŵĞŽĨƉŽůůƵƚĂŶƚƐŐĞŶĞƌĂƚĞĚĞǆĐĞĞĚƐƚŚĞ ^YD͛ƐƚŚƌĞƐŚŽůĚƐŽĨƐŝŐŶŝĨŝĐĂŶĐĞ͘ŽŶƐƚƌƵĐƚŝŽŶĂƐƐŽĐŝĂƚĞĚǁŝƚŚƚŚĞWƌŽũĞĐƚǁŽƵůĚŐĞŶĞƌĂƚĞƐŚŽƌƚ ͲƚĞƌŵ ĞŵŝƐƐŝŽŶƐŽĨ ĐƌŝƚĞƌŝĂĂŝƌƉŽůůƵƚĂŶƚƐ͘dŚĞ ĐƌŝƚĞƌŝĂƉŽůůƵƚĂŶƚƐ ŽĨ ƉƌŝŵĂƌǇ ĐŽŶĐĞƌŶ ǁŝƚŚŝŶ ƚŚĞ WƌŽũĞĐƚĂƌĞĂ ŝŶĐůƵĚĞ KϯͲƉƌĞĐƵƌƐŽƌ ƉŽůůƵƚĂŶƚƐ ;ŝ͘Ğ͕͘ ZK' ĂŶĚ EKyͿ ĂŶĚ WDϭϬ ĂŶĚ WDϮ͘ϱ͘ ŽŶƐƚƌƵĐƚŝŽŶͲŐĞŶĞƌĂƚĞĚ ĞŵŝƐƐŝŽŶƐĂƌĞƐŚŽƌƚƚĞƌŵĂŶĚŽĨƚĞŵƉŽƌĂƌǇĚƵƌĂƚŝŽŶ͕ůĂƐƚŝŶŐŽŶůǇĂƐůŽŶŐĂƐĐŽŶƐƚƌƵĐƚŝŽŶĂĐƚŝǀŝƚŝĞƐŽĐĐƵƌ͕ ďƵƚǁŽƵůĚďĞĐŽŶƐŝĚĞƌĞĚĂƐŝŐŶŝĨŝĐĂŶƚĂŝƌƋƵĂůŝƚǇŝŵƉĂĐƚŝĨƚŚĞǀŽůƵŵĞŽĨƉŽůůƵƚĂŶƚƐŐĞŶĞƌĂƚĞĚĞǆĐĞĞĚƐƚŚĞ ^YD͛ƐƚŚƌĞƐŚŽůĚƐŽĨƐŝŐŶŝĨŝĐĂŶĐĞ͘
271
(QYLURQPHQWDO,PSDFW$QDO\VLV
dŚĞKŶƚĂƌŝŽWůĂŶ
/Z ϯϮ ŽŶsŝĞǁWƌŽũĞĐƚ
ĚĚĞŶĚƵŵƚŽƚŚĞ&ŝŶĂů
ŶǀŝƌŽŶŵĞŶƚĂů/ŵƉĂĐƚZĞƉŽƌƚ
&ƵŐŝƚŝǀĞĚƵƐƚĞŵŝƐƐŝŽŶƐŵĂǇĂůƐŽƉƌĞƐĞŶƚĂƐƵďƐƚĂŶƚŝĂů͕ƚĞŵƉŽƌĂƌǇŝŵƉĂĐƚŽŶůŽĐĂůĂŝƌƋƵĂůŝƚǇ͘/ŶĂĚĚŝƚŝŽŶ͕ ĨƵŐŝƚŝǀĞĚƵƐƚŵĂǇďĞĂŶƵŝƐĂŶĐĞƚŽƚŚŽƐĞůŝǀŝŶŐĂŶĚǁŽƌŬŝŶŐŝŶƚŚĞWƌŽũĞĐƚǀŝĐŝŶŝƚǇ͘hŶĐŽŶƚƌŽůůĞĚĚƵƐƚĨƌŽŵ ĐŽŶƐƚƌƵĐƚŝŽŶĐĂŶ ďĞĐŽŵĞĂ ŶƵŝƐĂŶĐĞĂŶĚ ƉŽƚĞŶƚŝĂů ŚĞĂůƚŚŚĂǌĂƌĚƚŽ ƚŚŽƐĞůŝǀŝŶŐ ĂŶĚ ǁŽƌŬŝŶŐ ŶĞĂƌďǇ͘ ^YDZƵůĞƐϰϬϮĂŶĚϰϬϯ;ƉƌŽŚŝďŝƚŝŽŶŽĨŶƵŝƐĂŶĐĞƐ͕ǁĂƚĞƌŝŶŐŽĨŝŶĂĐƚŝǀĞĂŶĚƉĞƌŝŵĞƚĞƌĂƌĞĂƐ͕ƚƌĂĐŬŽƵƚ ƌĞƋƵŝƌĞŵĞŶƚƐ͕ĞƚĐ͘Ϳ͕ĂƌĞ ĂƉƉůŝĐĂďůĞ ƚŽ ƚŚĞ WƌŽũĞĐƚ͘ ZƵůĞ ϰϬϮ ƉƌŽŚŝďŝƚƐ ƚŚĞ ĚŝƐĐŚĂƌŐĞĨƌŽŵ ĂŶǇ ƐŽƵƌĐĞ ǁŚĂƚƐŽĞǀĞƌƐƵĐŚƋƵĂŶƚŝƚŝĞƐŽĨĂŝƌĐŽŶƚĂŵŝŶĂŶƚƐŽƌŽƚŚĞƌŵĂƚĞƌŝĂůǁŚŝĐŚĐĂƵƐĞŝŶũƵƌǇ͕ĚĞƚƌŝŵĞŶƚ͕ŶƵŝƐĂŶĐĞ͕ ŽƌĂŶŶŽǇĂŶĐĞƚŽĂŶǇĐŽŶƐŝĚĞƌĂďůĞŶƵŵďĞƌŽĨ ƉĞƌƐŽŶƐŽƌƚŽƚŚĞƉƵďůŝĐ͕ ŽƌǁŚŝĐŚĞŶĚĂŶŐĞƌƚŚĞĐŽŵĨŽƌƚ͕ ƌĞƉŽƐĞ͕ŚĞĂůƚŚ͕ŽƌƐĂĨĞƚǇŽĨĂŶǇƐƵĐŚƉĞƌƐŽŶƐŽƌƚŚĞƉƵďůŝĐ͕ŽƌǁŚŝĐŚĐĂƵƐĞ͕ŽƌŚĂǀĞĂŶĂƚƵƌĂůƚĞŶĚĞŶĐǇƚŽ ĐĂƵƐĞ͕ŝŶũƵƌǇ Žƌ ĚĂŵĂŐĞƚŽ ďƵƐŝŶĞƐƐŽƌ ƉƌŽƉĞƌƚǇ͘ dŚŝƐ ƌƵůĞ ĚŽĞƐ ŶŽƚ ĂƉƉůǇ ƚŽ ŽĚŽƌƐ ĞŵĂŶĂƚŝŶŐĨƌŽŵ ĂŐƌŝĐƵůƚƵƌĂůŽƉĞƌĂƚŝŽŶƐŶĞĐĞƐƐĂƌǇĨŽƌ ƚŚĞ ŐƌŽǁŝŶŐŽĨ ĐƌŽƉƐŽƌ ƚŚĞƌĂŝƐŝŶŐŽĨ ĨŽǁů Žƌ ĂŶŝŵĂůƐ͘ZƵůĞϰϬϯ ƌĞƋƵŝƌĞƐĨƵŐŝƚŝǀĞĚƵƐƚƐŽƵƌĐĞƐƚŽŝŵƉůĞŵĞŶƚďĞƐƚĂǀĂŝůĂďůĞĐŽŶƚƌŽůŵĞĂƐƵƌĞƐĨŽƌĂůůƐŽƵƌĐĞƐ͕ĂŶĚĂůůĨŽƌŵƐ ŽĨǀŝƐŝďůĞƉĂƌƚŝĐƵůĂƚĞŵĂƚƚĞƌĂƌĞƉƌŽŚŝďŝƚĞĚĨƌŽŵĐƌŽƐƐŝŶŐĂŶǇƉƌŽƉĞƌƚǇůŝŶĞ͘dŚŝƐƌƵůĞŝƐŝŶƚĞŶĚĞĚƚŽƌĞĚƵĐĞ WDϭϬĞŵŝƐƐŝŽŶƐĨƌŽŵĂŶǇƚƌĂŶƐƉŽƌƚĂƚŝŽŶ͕ŚĂŶĚůŝŶŐ͕ĐŽŶƐƚƌƵĐƚŝŽŶ͕ŽƌƐƚŽƌĂŐĞĂĐƚŝǀŝƚǇƚŚĂƚŚĂƐƚŚĞƉŽƚĞŶƚŝĂů ƚŽŐĞŶĞƌĂƚĞĨƵŐŝƚŝǀĞĚƵƐƚ͘
WƌŽũĞĐƚŽƉĞƌĂƚŝŽŶƐͲŐĞŶĞƌĂƚĞĚĞŵŝƐƐŝŽŶƐǁŽƵůĚďĞƉƌŝŵĂƌŝůǇĂƐƐŽĐŝĂƚĞĚǁŝƚŚŵŽƚŽƌǀĞŚŝĐůĞƵƐĞĂŶĚĂƌĞĂ ƐŽƵƌĐĞƐ͕ƐƵĐŚĂƐƚŚĞƵƐĞŽĨůĂŶĚƐĐĂƉĞŵĂŝŶƚĞŶĂŶĐĞĞƋƵŝƉŵĞŶƚĂŶĚĂƌĐŚŝƚĞĐƚƵƌĂůĐŽĂƚŝŶŐƐ͘ƐƉƌĞǀŝŽƵƐůǇ ƐƚĂƚĞĚ͕ƚŚĞWƌŽũĞĐƚǁŽƵůĚďĞƌĞƋƵŝƌĞĚƚŽĐŽŵƉůǇ ǁŝƚŚZƵůĞϭϭϭϯŝŶŽƌĚĞƌƚŽŵŝŶŝŵŝǌĞĞŵŝƐƐŝŽŶƐĚƵĞƚŽ ĂƌĐŚŝƚĞĐƚƵƌĂůĐŽĂƚŝŶŐƐ͘&ƵƌƚŚĞƌŵŽƌĞ͕ƚŚĞWƌŽũĞĐƚǁŽƵůĚďĞǁŝƚŚŝŶƚŚĞŝŶƚĞŶĚĞĚƵƐĂŐĞŽĨƚŚĞWƌŽũĞĐƚƐŝƚĞĂƐ ĂŶĂůǇǌĞĚ ŝŶ ƚŚĞ KŶƚĂƌŝŽ 'W
/Z͘dŚĞ WƌŽũĞĐƚ͛Ɛ ĐŽŶƐŝƐƚĞŶĐǇ ǁŝƚŚ ƉƌĞǀŝŽƵƐůǇ ĂŶĂůǇǌĞĚ ƵƐĂŐĞ ĂŶĚ ƚŚĞ ƚĞŵƉŽƌĂƌǇŶĂƚƵƌĞŽĨĐŽŶƐƚƌƵĐƚŝŽŶŐĞŶĞƌĂƚĞĚĞŵŝƐƐŝŽŶƐǁŽƵůĚůĞĂĚƚŽĂƐŝŵŝůĂƌůǇƐŝŐŶŝĨŝĐĂŶƚĞŶǀŝƌŽŶŵĞŶƚĂů ŝŵƉĂĐƚ͖ĐŽŶƐŝƐƚĞŶƚǁŝƚŚƚŚĞĐŽŶĐůƵƐŝŽŶƐŽĨ ƚŚĞKŶƚĂƌŝŽ'W /Z͘ĞƐƉŝƚĞƚŚĞƐŝŐŶŝĨŝĐĂŶƚĂŶĚƵŶĂǀŽŝĚĂďůĞ
ŶĂƚƵƌĞŽĨƚŚŝƐŝŵƉĂĐƚ͕ŵŝƚŝŐĂƚŝŽŶŵĞĂƐƵƌĞϯͲϮǁŝůůĐŽŶƚŝŶƵĞƚŽďĞĂƉƉůŝĞĚ͘ DŝƚŝŐĂƚŝŽŶWƌŽŐƌĂŵ
DŝƚŝŐĂƚŝŽŶDĞĂƐƵƌĞƐĨƌŽŵƚŚĞKŶƚĂƌŝŽ'W
/Z
^ĞĞŵŝƚŝŐĂƚŝŽŶŵĞĂƐƵƌĞϯͲϭĂŶĚϯͲϮĨƌŽŵƚŚĞKŶƚĂƌŝŽ'W /ZĂďŽǀĞ͘
ŽŶĐůƵƐŝŽŶ
ŝƌƋƵĂůŝƚǇŝŵƉĂĐƚƐƌĞůĂƚĞĚƚŽƚŚĞWƌŽũĞĐƚĂƌĞǁŝƚŚŝŶƚŚĞůŝŵŝƚŽĨŝŵƉĂĐƚƐŝĚĞŶƚŝĨŝĞĚďǇƚŚĞ^YD͘EŽŶĞǁ ŝŵƉĂĐƚƌĞůĂƚŝǀĞƚŽĂŝƌƋƵĂůŝƚǇŽƌĂƐƵďƐƚĂŶƚŝĂůŝŶĐƌĞĂƐĞŝŶƚŚĞƐĞǀĞƌŝƚǇŽĨĂƉƌĞǀŝŽƵƐůǇŝĚĞŶƚŝĨŝĞĚƐŝŐŶŝĨŝĐĂŶƚ ŝŵƉĂĐƚĞǀĂůƵĂƚĞĚ ŝŶ ƚŚĞ KŶƚĂƌŝŽ'W
/ZǁŽƵůĚ ŽĐĐƵƌ͘ ĚĚŝƚŝŽŶĂůůǇ͕ ŶŽ ŶĞǁ ŝŶĨŽƌŵĂƚŝŽŶ ŽĨ ƐƵďƐƚĂŶƚŝĂů ŝŵƉŽƌƚĂŶĐĞƚŚĂƚǁĂƐŶŽƚ ŬŶŽǁŶ ĂŶĚ ĐŽƵůĚ ŶŽƚ ŚĂǀĞďĞĞŶ ŬŶŽǁŶ ĂƚƚŚĞ ƚŝŵĞƚŚĞKŶƚĂƌŝŽ 'W /ZǁĂƐ
ĐĞƌƚŝĨŝĞĚŝƐĂǀĂŝůĂďůĞƚŚĂƚǁŽƵůĚĂůƚĞƌƚŚĞKŶƚĂƌŝŽ'W /Z͛ƐƐŝŐŶŝĨŝĐĂŶĐĞĨŝŶĚŝŶŐ͘
dŚƌĞƐŚŽůĚ;ĚͿ
ǆƉŽƐĞƐĞŶƐŝƚŝǀĞƌĞĐĞƉƚŽƌƐƚŽƐƵďƐƚĂŶƚŝĂůƉŽůůƵƚĂŶƚĐŽŶĐĞŶƚƌĂƚŝŽŶƐ͘΀KŶƚĂƌŝŽ'W /Z
/ŵƉĂĐƚϱ͘ϯͲϮ͕ϱ͘ϯͲϰ͕ϱ͘ϯͲϱ΁
EŽEĞǁŽƌDŽƌĞ^ĞǀĞƌĞ/ŵƉĂĐƚ͗dŚĞ^ƚĂƚĞ
Y'ƵŝĚĞůŝŶĞƐŝŶĚŝĐĂƚĞƚŚĂƚĂƉŽƚĞŶƚŝĂůůǇƐŝŐŶŝĨŝĐĂŶƚŝŵƉĂĐƚ ĐŽƵůĚ ŽĐĐƵƌ ŝĨ ĂƉƌŽũĞĐƚ ǁŽƵůĚ ĞǆƉŽƐĞƐĞŶƐŝƚŝǀĞƌĞĐĞƉƚŽƌƐƚŽ ƐƵďƐƚĂŶƚŝĂůƉŽůůƵƚĂŶƚĐŽŶĐĞŶƚƌĂƚŝŽŶƐ͘dŚĞ WƌŽũĞĐƚ͛ƐƉŽƚĞŶƚŝĂůƚŽĞǆƉŽƐĞƐĞŶƐŝƚŝǀĞƌĞĐĞƉƚŽƌƐƚŽŚĂƌŵĨƵů ƉŽůůƵƚĂŶƚĐŽŶĐĞŶƚƌĂƚŝŽŶƐǁĂƐĂŶĂůǇǌĞĚŝŶĂ ,ĞĂůƚŚZŝƐŬƐƐĞƐƐŵĞŶƚƉƌĞƉĂƌĞĚďǇ<ŝŵůĞǇͲ,ŽƌŶĂŶĚƐƐŽĐŝĂƚĞƐ͘ϱ ϱ
<ŝŵůĞǇͲ,ŽƌŶĂŶĚƐƐŽĐŝĂƚĞƐ͘;ϮϬϮϭͿ͘,ĞĂůƚŚZŝƐŬƐƐĞƐƐŵĞŶƚŽŶsŝĞǁtĂƌĞŚŽƵƐĞŝƚǇŽĨKŶƚĂƌŝŽ͕ĂůŝĨŽƌŶŝĂ͘WĂŐĞƐϭϴƚŚƌŽƵŐŚϭϵ͘ 272
(QYLURQPHQWDO,PSDFW$QDO\VLV
dŚĞKŶƚĂƌŝŽWůĂŶ
/Z ϯϯ ŽŶsŝĞǁWƌŽũĞĐƚ
ĚĚĞŶĚƵŵƚŽƚŚĞ&ŝŶĂů
ŶǀŝƌŽŶŵĞŶƚĂů/ŵƉĂĐƚZĞƉŽƌƚ
ŽŶƐƚƌƵĐƚŝŽŶ
dŚĞĚƵƌĂƚŝŽŶŽĨ ĐŽŶƐƚƌƵĐƚŝŽŶĂĐƚŝǀŝƚŝĞƐĨŽƌƚŚĞWƌŽũĞĐƚŝƐĞƐƚŝŵĂƚĞĚƚŽƚĂŬĞĂƉƉƌŽǆŝŵĂƚĞůǇŶŝŶĞŵŽŶƚŚƐ͘ ŽŶƐƚƌƵĐƚŝŽŶͲƌĞůĂƚĞĚĂĐƚŝǀŝƚŝĞƐǁŽƵůĚƌĞƐƵůƚŝŶWƌŽũĞĐƚͲŐĞŶĞƌĂƚĞĚĞŵŝƐƐŝŽŶƐŽĨĚŝĞƐĞůWD;WDͿĨƌŽŵƚŚĞ ĞǆŚĂƵƐƚŽĨ ŽĨĨͲƌŽĂĚ͕ŚĞĂǀǇͲĚƵƚǇ ĚŝĞƐĞůĞƋƵŝƉŵĞŶƚ ĨŽƌ ƐŝƚĞƉƌĞƉĂƌĂƚŝŽŶ;Ğ͘Ő͕͘ĐůĞĂƌŝŶŐ͕ŐƌĂĚŝŶŐͿ͖ƉĂǀŝŶŐ͖ ĂƉƉůŝĐĂƚŝŽŶ ŽĨ ĂƌĐŚŝƚĞĐƚƵƌĂů ĐŽĂƚŝŶŐƐ͖ ŽŶͲƌŽĂĚ ƚƌƵĐŬ ƚƌĂǀĞů͖ ĂŶĚ ŽƚŚĞƌ ŵŝƐĐĞůůĂŶĞŽƵƐ ĂĐƚŝǀŝƚŝĞƐ͘ &Žƌ ĐŽŶƐƚƌƵĐƚŝŽŶĂĐƚŝǀŝƚǇ͕WDŝƐƚŚĞƉƌŝŵĂƌǇƚŽǆŝĐĂŝƌĐŽŶƚĂŵŝŶĂŶƚŽĨĐŽŶĐĞƌŶ͘KŶͲƌŽĂĚĚŝĞƐĞůͲƉŽǁĞƌĞĚŚĂƵů ƚƌƵĐŬƐƚƌĂǀĞůŝŶŐƚŽĂŶĚĨƌŽŵƚŚĞĐŽŶƐƚƌƵĐƚŝŽŶĂƌĞĂƚŽĚĞůŝǀĞƌŵĂƚĞƌŝĂůƐĂŶĚĞƋƵŝƉŵĞŶƚĂƌĞůĞƐƐŽĨĂĐŽŶĐĞƌŶ ďĞĐĂƵƐĞƚŚĞǇǁŽƵůĚŶŽƚƐƚĂǇŽŶƚŚĞƐŝƚĞĨŽƌůŽŶŐĚƵƌĂƚŝŽŶƐ͘ŝĞƐĞůĞǆŚĂƵƐƚĨƌŽŵĐŽŶƐƚƌƵĐƚŝŽŶĞƋƵŝƉŵĞŶƚ ŽƉĞƌĂƚŝŶŐĂƚƚŚĞƐŝƚĞƉŽƐĞƐĂŚĞĂůƚŚƌŝƐŬƚŽŶĞĂƌďǇƐĞŶƐŝƚŝǀĞƌĞĐĞƉƚŽƌƐ͘dŚĞĐůŽƐĞƐƚƐĞŶƐŝƚŝǀĞƌĞĐĞƉƚŽƌƐŶĞĂƌ ƚŚĞWƌŽũĞĐƚƐŝƚĞĂƌĞƌĞƐŝĚĞŶƚŝĂůƵƐĞƐůŽĐĂƚĞĚƚŽƚŚĞƐŽƵƚŚ͘ ƐŶŽƚĞĚĂďŽǀĞ͕ŵĂǆŝŵƵŵ;ǁŽƌƐƚĐĂƐĞͿWDϭϬĞǆŚĂƵƐƚĐŽŶƐƚƌƵĐƚŝŽŶĞŵŝƐƐŝŽŶƐŽǀĞƌƚŚĞĞŶƚŝƌĞĐŽŶƐƚƌƵĐƚŝŽŶ ƉĞƌŝŽĚ ǁĞƌĞƵƐĞĚŝŶ
ZDKƚŽĂƉƉƌŽǆŝŵĂƚĞĐŽŶƐƚƌƵĐƚŝŽŶWDĞŵŝƐƐŝŽŶƐ͘ZŝƐŬůĞǀĞůƐǁĞƌĞĐĂůĐƵůĂƚĞĚ ďĂƐĞĚŽŶƚŚĞĂůŝĨŽƌŶŝĂKĨĨŝĐĞŽĨ
ŶǀŝƌŽŶŵĞŶƚĂů,ĞĂůƚŚ,ĂǌĂƌĚƐƐĞƐƐŵĞŶƚ;K
,,ͿŐƵŝĚĂŶĐĞĚŽĐƵŵĞŶƚ͕
ŝƌdŽǆŝĐƐ,Žƚ^ƉŽƚƐWƌŽŐƌĂŵZŝƐŬƐƐĞƐƐŵĞŶƚ'ƵŝĚĞůŝŶĞƐ;&ĞďƌƵĂƌǇϮϬϭϱͿ͘ZĞƐƵůƚƐŽĨƚŚŝƐĂƐƐĞƐƐŵĞŶƚĂƌĞ ƐƵŵŵĂƌŝǌĞĚŝŶdĂďůĞϮ͕ŽŶƐƚƌƵĐƚŝŽŶ,ĞĂůƚŚZŝƐŬ͘
dĂďůĞϮ͗ŽŶƐƚƌƵĐƚŝŽŶ,ĞĂůƚŚZŝƐŬ

ǆƉŽƐƵƌĞ^ĐĞŶĂƌŝŽ WŽůůƵƚĂŶƚ
ŽŶĐĞŶƚƌĂƚŝŽŶ
;ђŐͬŵϯͿ΀ϭ΁΀Ϯ΁
DĂǆŝŵƵŵĂŶĐĞƌ
ZŝƐŬ;ZŝƐŬƉĞƌ
DŝůůŝŽŶͿ
ŚƌŽŶŝĐEŽŶĐĂŶĐĞƌ
,ĂǌĂƌĚ
ĐƵƚĞEŽŶĐĂŶĐĞƌ
,ĂǌĂƌĚ
ŽŶƐƚƌƵĐƚŝŽŶ Ϭ͘ϬϬϬϭϳ Ϭ͘ϬϮϱ Ϭ͘ϬϬϬϬϯ Ϭ͘ϬϬϬϰϭ
dŚƌĞƐŚŽůĚ Eͬ ϭϬ ϭ͘Ϭ ϭ͘Ϭ
dŚƌĞƐŚŽůĚ
ǆĐĞĞĚĞĚ EŽ EŽ EŽ EŽ
΀ϭ΁ZĞĨĞƌƚŽƉƉĞŶĚŝǆŽĨƚŚĞ,ĞĂůƚŚZŝƐŬƐƐĞƐƐŵĞŶƚ
΀Ϯ΁dŚĞŵĂǆŝŵƵŵĐĂŶĐĞƌƌŝƐŬǁŽƵůĚďĞĞǆƉĞƌŝĞŶĐĞĚ ĂƚƚŚĞƌĞƐŝĚĞŶĐĞƐƚŽƐŽƵƚŚ ŽĨƚŚĞWƌŽũĞĐƚƐŝƚĞĂůŽŶŐĞĚĂƌ^ƚƌĞĞƚ͘ ZĞƐƵůƚƐŽĨ ƚŚŝƐ,ĞĂůƚŚZŝƐŬƐƐĞƐƐŵĞŶƚŝŶĚŝĐĂƚĞƚŚĂƚƚŚĞƵŶŵŝƚŝŐĂƚĞĚŵĂǆŝŵƵŵĐŽŶĐĞŶƚƌĂƚŝŽŶŽĨ WDϭϬ ĚƵƌŝŶŐĐŽŶƐƚƌƵĐƚŝŽŶǁŽƵůĚďĞϬ͘ϬϬϬϭϳʅŐͬŵϯĂŶĚƌĞƐƵůƚĂŶƚĐĂŶĐĞƌƌŝƐŬŽĨϬ͘ϬϮϱŝŶŽŶĞŵŝůůŝŽŶ͕ǁŚŝĐŚǁŽƵůĚ ŶŽƚĞǆĐĞĞĚƚŚĞ^YDƚŚƌĞƐŚŽůĚŽĨ ϭϬŝŶ ŽŶĞŵŝůůŝŽŶ͘ EŽŶͲĐĂŶĐĞƌŚĂǌĂƌĚƐĨŽƌ WDǁŽƵůĚ ďĞ ďĞůŽǁ ^YDƚŚƌĞƐŚŽůĚŽĨϭ͘Ϭ͕ǁŝƚŚĂĐŚƌŽŶŝĐŚĂǌĂƌĚŝŶĚĞǆĐŽŵƉƵƚĞĚĂƚϬ͘ϬϬϬϬϯĂŶĚĂŶĂĐƵƚĞŚĂǌĂƌĚŝŶĚĞǆ ŽĨϬ͘ϬϬϬϰϭ͘dŚĞƌĞĨŽƌĞ͕ĐŽŶƐƚƌƵĐƚŝŽŶƌŝƐŬůĞǀĞůƐǁŽƵůĚďĞůĞƐƐƚŚĂŶ^YDƚŚƌĞƐŚŽůĚƐĂŶĚŝŵƉĂĐƚƐǁŽƵůĚ ďĞůĞƐƐƚŚĂŶƐŝŐŶŝĨŝĐĂŶƚ͘
KƉĞƌĂƚŝŽŶƐ
sĞŚŝĐůĞ WD ĞŵŝƐƐŝŽŶƐǁĞƌĞ ĞƐƚŝŵĂƚĞĚƵƐŝŶŐ ĞŵŝƐƐŝŽŶ ĨĂĐƚŽƌƐĨŽƌ WDϭϬ ŐĞŶĞƌĂƚĞĚǁŝƚŚ ƚŚĞ D&
ĚĞǀĞůŽƉĞĚďǇZ͘dƌƵĐŬĞŵŝƐƐŝŽŶƐǁĞƌĞŵŽĚĞůĞĚǁŝƚŚ
ZDKƚŽĚĞƚĞƌŵŝŶĞƉŽůůƵƚĂŶƚĐŽŶĐĞŶƚƌĂƚŝŽŶƐ͘
ƐƐŚŽǁŶŝŶdĂďůĞϯ͕KƉĞƌĂƚŝŽŶĂů,ĞĂůƚŚZŝƐŬ͕ƚŚĞƵŶŵŝƚŝŐĂƚĞĚĐĂůĐƵůĂƚĞĚĐĂƌĐŝŶŽŐĞŶŝĐƌŝƐŬƌĞƐƵůƚŝŶŐĨƌŽŵ ƚŚĞ WƌŽũĞĐƚ ŝƐϬ͘ϴϴ ƉĞƌŵŝůůŝŽŶ͕ ǁŚŝĐŚ ǁŽƵůĚ ŶŽƚ ĞǆĐĞĞĚ ƚŚĞ ^YDƚŚƌĞƐŚŽůĚ ŽĨ ϭϬ ŝŶ ŽŶĞ ŵŝůůŝŽŶ ƌĞƐŝĚĞŶƚƐ͘dŚĞƌĞĨŽƌĞ͕ƚŚĞĐĂƌĐŝŶŽŐĞŶŝĐƌŝƐŬĂƐƐŽĐŝĂƚĞĚǁŝƚŚƚŚĞWƌŽũĞĐƚǁŽƵůĚďĞůĞƐƐƚŚĂŶƐŝŐŶŝĨŝĐĂŶƚ͘ dĂďůĞϯ͗KƉĞƌĂƚŝŽŶĂů,ĞĂůƚŚZŝƐŬ

ǆƉŽƐƵƌĞ^ĐĞŶĂƌŝŽ DĂǆŝŵƵŵĂŶĐĞƌZŝƐŬ
;ZŝƐŬƉĞƌDŝůůŝŽŶͿ΀ϭ΁΀Ϯ΁
^ŝŐŶŝĨŝĐĂŶĐĞdŚƌĞƐŚŽůĚ
;ZŝƐŬƉĞƌDŝůůŝŽŶͿ
ŚƌŽŶŝĐEŽŶĐĂŶĐĞƌ
,ĂǌĂƌĚ
ZĞƐŝĚĞŶƚƐ Ϭ͘ϴϴ ϭϬ EŽ
΀ϭ΁ZĞĨĞƌƚŽƉƉĞŶĚŝǆŽĨƚŚĞ,ĞĂůƚŚZŝƐŬƐƐĞƐƐŵĞŶƚ
΀Ϯ΁dŚĞŵĂǆŝŵƵŵĐĂŶĐĞƌƌŝƐŬǁŽƵůĚďĞĞǆƉĞƌŝĞŶĐĞĚ ĂƚƚŚĞƌĞƐŝĚĞŶĐĞƐƚŽƚŚĞƐŽƵƚŚŽĨƚŚĞWƌŽũĞĐƚƐŝƚĞĂůŽŶŐWŚŝůĂĚĞůƉŚŝĂ ^ƚƌĞĞƚďĂƐĞĚŽŶ ǁŽƌƐƚͲĐĂƐĞĞǆƉŽƐƵƌĞĚƵƌĂƚŝŽŶƐĨŽƌƚŚĞWƌŽũĞĐƚ͕ϵϱƚŚƉĞƌĐĞŶƚŝůĞďƌĞĂƚŚŝŶŐƌĂƚĞƐ͕ĂŶĚϯϬͲǇĞĂƌĂǀĞƌĂŐŝŶŐƚŝŵĞ͘ 273
(QYLURQPHQWDO,PSDFW$QDO\VLV
dŚĞKŶƚĂƌŝŽWůĂŶ
/Z ϯϰ ŽŶsŝĞǁWƌŽũĞĐƚ
ĚĚĞŶĚƵŵƚŽƚŚĞ&ŝŶĂů
ŶǀŝƌŽŶŵĞŶƚĂů/ŵƉĂĐƚZĞƉŽƌƚ
EŽŶĂƌĐŝŶŽŐĞŶŝĐ,ĂǌĂƌĚƐ
dŚĞƐŝŐŶŝĨŝĐĂŶĐĞƚŚƌĞƐŚŽůĚƐĨŽƌdŽǆŝĐŝƌŽŶƚĂŵŝŶĂŶƚƐ;dͿĞǆƉŽƐƵƌĞĂůƐŽƌĞƋƵŝƌĞĂŶĞǀĂůƵĂƚŝŽŶŽĨŶŽŶͲ ĐĂŶĐĞƌƌŝƐŬƐƚĂƚĞĚŝŶƚĞƌŵƐŽĨĂŚĂǌĂƌĚŝŶĚĞǆ͘EŽŶͲĐĂŶĐĞƌĐŚƌŽŶŝĐŝŵƉĂĐƚƐĂƌĞĐĂůĐƵůĂƚĞĚďǇĚŝǀŝĚŝŶŐƚŚĞ ĂŶŶƵĂůĂǀĞƌĂŐĞĐŽŶĐĞŶƚƌĂƚŝŽŶďǇƚŚĞZĞĨĞƌĞŶĐĞ
ǆƉŽƐƵƌĞ>ĞǀĞů;Z
>ͿĨŽƌƚŚĂƚƐƵďƐƚĂŶĐĞ͘dŚĞZ
>ŝƐĚĞĨŝŶĞĚ
ĂƐƚŚĞĐŽŶĐĞŶƚƌĂƚŝŽŶĂƚǁŚŝĐŚŶŽ ĂĚǀĞƌƐĞŶŽŶͲĐĂŶĐĞƌ ŚĞĂůƚŚĞĨĨĞĐƚƐĂƌĞĂŶƚŝĐŝƉĂƚĞĚ͘dŚĞ ƉŽƚĞŶƚŝĂůĨŽƌ ĂĐƵƚĞŶŽŶͲĐĂŶĐĞƌŚĂǌĂƌĚƐŝƐĞǀĂůƵĂƚĞĚďǇĐŽŵƉĂƌŝŶŐƚŚĞŵĂǆŝŵƵŵƐŚŽƌƚͲƚĞƌŵĞǆƉŽƐƵƌĞůĞǀĞůƚŽĂŶĂĐƵƚĞ Z
>͘Z
>ƐĂƌĞĚĞƐŝŐŶĞĚƚŽƉƌŽƚĞĐƚƐĞŶƐŝƚŝǀĞŝŶĚŝǀŝĚƵĂůƐǁŝƚŚŝŶƚŚĞƉŽƉƵůĂƚŝŽŶ͘dŚĞĐĂůĐƵůĂƚŝŽŶŽĨĂĐƵƚĞŶŽŶͲ ĐĂŶĐĞƌŝŵƉĂĐƚƐŝƐƐŝŵŝůĂƌƚŽƚŚĞƉƌŽĐĞĚƵƌĞĨŽƌĐŚƌŽŶŝĐŶŽŶͲĐĂŶĐĞƌŝŵƉĂĐƚƐ͘ ĐƵƚĞĂŶĚĐŚƌŽŶŝĐŝŵƉĂĐƚƐĂƌĞƐŚŽǁŶŝŶdĂďůĞϰ͕ŚƌŽŶŝĐĂŶĚĐƵƚĞ,ĂǌĂƌĚƐ͘ŶĂĐƵƚĞŽƌĐŚƌŽŶŝĐŚĂǌĂƌĚ ŝŶĚĞǆŽĨϭ͘ϬŝƐĐŽŶƐŝĚĞƌĞĚŝŶĚŝǀŝĚƵĂůůǇ ƐŝŐŶŝĨŝĐĂŶƚ͘dŚĞŚĂǌĂƌĚŝŶĚĞǆŝƐĐĂůĐƵůĂƚĞĚďǇĚŝǀŝĚŝŶŐƚŚĞĂĐƵƚĞŽƌ ĐŚƌŽŶŝĐĞǆƉŽƐƵƌĞďǇƚŚĞƌĞĨĞƌĞŶĐĞĞǆƉŽƐƵƌĞůĞǀĞů͘dŚĞŚŝŐŚĞƐƚŵĂǆŝŵƵŵĐŚƌŽŶŝĐĂŶĚĂĐƵƚĞŚĂǌĂƌĚŝŶĚĞǆ ĨƌŽŵ ƚŚĞ WƌŽũĞĐƚ ǁŽƵůĚ ďĞ Ϭ͘ϬϬϬϮ ĂŶĚ Ϭ͘ϬϬϭϯ͕ƌĞƐƉĞĐƚŝǀĞůǇ͘dŚĞƌĞĨŽƌĞ͕ŶŽŶͲĐĂƌĐŝŶŽŐĞŶŝĐ ŚĂǌĂƌĚƐĂƌĞ ĐĂůĐƵůĂƚĞĚƚŽďĞǁŝƚŚŝŶĂĐĐĞƉƚĂďůĞůŝŵŝƚƐĂŶĚĂůĞƐƐƚŚĂŶƐŝŐŶŝĨŝĐĂŶƚŝŵƉĂĐƚǁŽƵůĚŽĐĐƵƌ͘ dĂďůĞϰ͗ŚƌŽŶŝĐĂŶĚĐƵƚĞ,ĂǌĂƌĚƐ

ŵŝƐƐŝŽŶƐ^ŽƵƌĐĞƐ ŚƌŽŶŝĐ,ĂǌĂƌĚ ĐƵƚĞ,ĂǌĂƌĚ
KƉĞƌĂƚŝŽŶĂůdƌƵĐŬƐ Ϭ͘ϬϬϬϮ Ϭ͘ϬϬϭϯ
^YDdŚƌĞƐŚŽůĚ ϭ͘Ϭ ϭ͘Ϭ
dŚƌĞƐŚŽůĚ
ǆĐĞĞĚĞĚ EŽ EŽ
ZĞĨĞƌƚŽƉƉĞŶĚŝǆ ŽĨƚŚĞ,ĞĂůƚŚZŝƐŬƐƐĞƐƐŵĞŶƚ
Ɛ ĚĞƐĐƌŝďĞĚ ĂďŽǀĞ͕ ŝŵƉĂĐƚƐ ƌĞůĂƚĞĚ ƚŽ ĐĂŶĐĞƌ ƌŝƐŬ ǁŽƵůĚ ďĞ ůĞƐƐ ƚŚĂŶ ƐŝŐŶŝĨŝĐĂŶƚ͘ ĚĚŝƚŝŽŶĂůůǇ͕ ŶŽŶĐĂƌĐŝŶŽŐĞŶŝĐŚĂǌĂƌĚƐĂƌĞĐĂůĐƵůĂƚĞĚƚŽďĞǁŝƚŚŝŶĂĐĐĞƉƚĂďůĞůŝŵŝƚƐ͘/ƚƐŚŽƵůĚďĞŶŽƚĞĚƚŚĂƚƚŚĞŝŵƉĂĐƚƐ ĂƐƐĞƐƐƚŚĞ WƌŽũĞĐƚ͛Ɛ ŝŶĐƌĞŵĞŶƚĂů ĐŽŶƚƌŝďƵƚŝŽŶ ƚŽ ŚĞĂůƚŚ ƌŝƐŬ ŝŵƉĂĐƚƐ͕ ĐŽŶƐŝƐƚĞŶƚ ǁŝƚŚ ƚŚĞ ^YD ŐƵŝĚĂŶĐĞĂŶĚŵĞƚŚŽĚŽůŽŐǇ͘dŚĞ^YDŚĂƐŶŽƚĞƐƚĂďůŝƐŚĞĚƐĞƉĂƌĂƚĞĐƵŵƵůĂƚŝǀĞƚŚƌĞƐŚŽůĚƐĂŶĚĚŽĞƐ ŶŽƚ ƌĞƋƵŝƌĞĐŽŵďŝŶŝŶŐ ŝŵƉĂĐƚƐĨƌŽŵ ĐƵŵƵůĂƚŝǀĞƉƌŽũĞĐƚƐ͘dŚĞ ^YDĐŽŶƐŝĚĞƌƐƉƌŽũĞĐƚƐƚŚĂƚĚŽ ŶŽƚ ĞǆĐĞĞĚƚŚĞ ƉƌŽũĞĐƚͲƐƉĞĐŝĨŝĐƚŚƌĞƐŚŽůĚƐƚŽŐĞŶĞƌĂůůǇŶŽƚ ďĞ ĐƵŵƵůĂƚŝǀĞůǇ ƐŝŐŶŝĨŝĐĂŶƚ͘dŚĞƌĞĨŽƌĞ͕ŝŵƉĂĐƚƐ ƌĞůĂƚĞĚƚŽŚĞĂůƚŚƌŝƐŬĨƌŽŵƚŚĞWƌŽũĞĐƚǁŽƵůĚďĞůĞƐƐƚŚĂŶƐŝŐŶŝĨŝĐĂŶƚ͘ DŝƚŝŐĂƚŝŽŶWƌŽŐƌĂŵ
DŝƚŝŐĂƚŝŽŶDĞĂƐƵƌĞƐĨƌŽŵƚŚĞKŶƚĂƌŝŽ'W
/Z
DŝƚŝŐĂƚŝŽŶŵĞĂƐƵƌĞƐϯͲϭ ĂŶĚ ϯͲϯ ǁĞƌĞ ŝĚĞŶƚŝĨŝĞĚ ŝŶ ƚŚĞ KŶƚĂƌŝŽ'W /Z͘ ,ŽǁĞǀĞƌ͕ǁŚŝůĞ ŵŝƚŝŐĂƚŝŽŶ
ŵĞĂƐƵƌĞϯͲϭ;ƐŚŽǁŶĂďŽǀĞͿŝƐĂƉƉůŝĐĂďůĞƚŽƚŚĞWƌŽũĞĐƚ͕ŵŝƚŝŐĂƚŝŽŶŵĞĂƐƵƌĞϯͲϯǁŽƵůĚ ŶŽƚĂƉƉůǇ ƚŽƚŚĞ WƌŽũĞĐƚďĞĐĂƵƐĞŝƚŝƐŝŵƉŽƐĞĚƐŽůĞůǇƵƉŽŶƚŚĞŝƚǇ͕ƌĂƚŚĞƌƚŚĂŶƚŚĞWƌŽũĞĐƚŝƚƐĞůĨ͘ ŽŶĐůƵƐŝŽŶ
ŝƌƋƵĂůŝƚǇŝŵƉĂĐƚƐƌĞůĂƚĞĚƚŽƚŚĞWƌŽũĞĐƚĂƌĞǁŝƚŚŝŶ ƚŚĞůŝŵŝƚŽĨ ŝŵƉĂĐƚƐŝĚĞŶƚŝĨŝĞĚ ďǇ ƚŚĞ^YD͘EŽ ŶĞǁ ŝŵƉĂĐƚ ƌĞůĂƚŝǀĞ ƚŽ Ăŝƌ ƋƵĂůŝƚǇ Žƌ Ă ƐƵďƐƚĂŶƚŝĂůŝŶĐƌĞĂƐĞŝŶ ƚŚĞ ƐĞǀĞƌŝƚǇ ŽĨ Ă ƉƌĞǀŝŽƵƐůǇ ŝĚĞŶƚŝĨŝĞĚ ƐŝŐŶŝĨŝĐĂŶƚŝŵƉĂĐƚ ĞǀĂůƵĂƚĞĚŝŶ ƚŚĞ KŶƚĂƌŝŽ 'W
/ZǁŽƵůĚ ŽĐĐƵƌ͘ĚĚŝƚŝŽŶĂůůǇ͕ ŶŽ ŶĞǁ ŝŶĨŽƌŵĂƚŝŽŶ ŽĨ ƐƵďƐƚĂŶƚŝĂůŝŵƉŽƌƚĂŶĐĞƚŚĂƚǁĂƐŶŽƚŬŶŽǁŶĂŶĚĐŽƵůĚŶŽƚŚĂǀĞďĞĞŶŬŶŽǁŶĂƚƚŚĞƚŝŵĞƚŚĞKŶƚĂƌŝŽ'W

/ZǁĂƐĐĞƌƚŝĨŝĞĚŝƐĂǀĂŝůĂďůĞƚŚĂƚǁŽƵůĚĂůƚĞƌƚŚĞKŶƚĂƌŝŽ'W /Z͛ƐƐŝŐŶŝĨŝĐĂŶĐĞĨŝŶĚŝŶŐ͘
274
(QYLURQPHQWDO,PSDFW$QDO\VLV
dŚĞKŶƚĂƌŝŽWůĂŶ
/Z ϯϱ ŽŶsŝĞǁWƌŽũĞĐƚ
ĚĚĞŶĚƵŵƚŽƚŚĞ&ŝŶĂů
ŶǀŝƌŽŶŵĞŶƚĂů/ŵƉĂĐƚZĞƉŽƌƚ
dŚƌĞƐŚŽůĚ;ĞͿ ZĞƐƵůƚ ŝŶ ŽƚŚĞƌ ĞŵŝƐƐŝŽŶƐ ;ƐƵĐŚ ĂƐ ƚŚŽƐĞ ůĞĂĚŝŶŐ ƚŽ ŽĚŽƌƐͿ ĂĚǀĞƌƐĞůǇ ĂĨĨĞĐƚŝŶŐ Ă ƐƵďƐƚĂŶƚŝĂůŶƵŵďĞƌŽĨƉĞŽƉůĞ͘΀KŶƚĂƌŝŽ'W
/Z/ŵƉĂĐƚϱ͘ϯͲϲ΁
dŚĞ^YD
YŝƌYƵĂůŝƚǇ,ĂŶĚďŽŽŬŝĚĞŶƚŝĨŝĞƐĐĞƌƚĂŝŶůĂŶĚƵƐĞƐĂƐƐŽƵƌĐĞƐŽĨŽĚŽƌƐ͘dŚĞƐĞůĂŶĚƵƐĞƐ ŝŶĐůƵĚĞƚŚĞĨŽůůŽǁŝŶŐ͗ĂŐƌŝĐƵůƚƵƌĞ͕ǁĂƐƚĞǁĂƚĞƌƚƌĞĂƚŵĞŶƚƉůĂŶƚ͕ĨŽŽĚƉƌŽĐĞƐƐŝŶŐƉůĂŶƚƐ͕ĐŚĞŵŝĐĂůƉůĂŶƚƐ͕ ĐŽŵƉŽƐƚŝŶŐ͕ƌĞĨŝŶĞƌŝĞƐ͕ůĂŶĚĨŝůůƐ͕ĚŝĂƌŝĞƐ͕ĂŶĚĨŝďĞƌŐůĂƐƐŵŽůĚŝŶŐ͘dŚĞWƌŽũĞĐƚŝƐĂǁĂƌĞŚŽƵƐĞĨĂĐŝůŝƚǇ ĂŶĚ ĚŽĞƐŶŽƚƉƌŽƉŽƐĞƚŽŝŶĐůƵĚĞĂŶǇŽĚŽƌͲŝŶĚƵĐŝŶŐƵƐĞƐŽŶƚŚĞWƌŽũĞĐƚƐŝƚĞ͘dŚĞWƌŽũĞĐƚǁŽƵůĚŶŽƚďĞĂƐŽƵƌĐĞ ŽĨŽďũĞĐƚŝŽŶĂďůĞŽĚŽƌƐ͖ŶŽŝŵƉĂĐƚǁŽƵůĚŽĐĐƵƌ͘
DŝƚŝŐĂƚŝŽŶWƌŽŐƌĂŵ
DŝƚŝŐĂƚŝŽŶDĞĂƐƵƌĞƐĨƌŽŵƚŚĞ&ŝŶĂů
/Z
EŽŶĞŝĚĞŶƚŝĨŝĞĚŝŶƚŚĞKŶƚĂƌŝŽ'W
/Z͘
ŽŶĐůƵƐŝŽŶ
dŚĞƌĞĂƌĞŶŽŶĞǁƉŽƚĞŶƚŝĂůůǇƐŝŐŶŝĨŝĐĂŶƚŝŵƉĂĐƚƐĂƐƐŽĐŝĂƚĞĚǁŝƚŚƚŚĞWƌŽũĞĐƚ͖ƚŚĞƌĞĨŽƌĞ͕ŶŽŶĞǁĂŶĚͬŽƌ ƌĞĨŝŶĞĚŵŝƚŝŐĂƚŝŽŶŵĞĂƐƵƌĞƐĂƌĞƌĞƋƵŝƌĞĚĨŽƌŝƐƐƵĞƐƌĞůĂƚĞĚƚŽĂŝƌƋƵĂůŝƚǇ͘ KǀĞƌĂůůŝƌYƵĂůŝƚǇ/ŵƉĂĐƚŽŶĐůƵƐŝŽŶ
tŝƚŚƌĞŐĂƌĚƚŽ
Y^ƚĂƚƵƚĞ^ĞĐƚŝŽŶϮϭϭϲϲĂŶĚ
Y'ƵŝĚĞůŝŶĞƐ^ĞĐƚŝŽŶϭϱϭϲϮ;ĂͿ͕ƚŚĞĐŚĂŶŐĞƐƉƌŽƉŽƐĞĚ
ďǇƚŚĞWƌŽũĞĐƚǁŽƵůĚŶŽƚƌĞƐƵůƚŝŶĂŶǇŶĞǁŝŵƉĂĐƚƐ͕ŽƌŝŶĐƌĞĂƐĞƚŚĞƐĞǀĞƌŝƚǇŽĨƚŚĞƉƌĞǀŝŽƵƐůǇŝĚĞŶƚŝĨŝĞĚ ŝŵƉĂĐƚƐ͕ǁŝƚŚƌĞƐƉĞĐƚƚŽĂŝƌƋƵĂůŝƚǇ͘dŚĞƌĞĨŽƌĞ͕ƉƌĞƉĂƌĂƚŝŽŶŽĨĂ^ /ZŝƐŶŽƚǁĂƌƌĂŶƚĞĚ͘
275
(QYLURQPHQWDO,PSDFW$QDO\VLV
dŚĞKŶƚĂƌŝŽWůĂŶ
/Z ϯϲ ŽŶsŝĞǁWƌŽũĞĐƚ
ĚĚĞŶĚƵŵƚŽƚŚĞ&ŝŶĂů
ŶǀŝƌŽŶŵĞŶƚĂů/ŵƉĂĐƚZĞƉŽƌƚ
ϰ͘ϰ ŝŽůŽŐŝĐĂůZĞƐŽƵƌĐĞƐ
ϰ͘ϰ͘ϭ ^ƵŵŵĂƌǇŽĨWƌĞǀŝŽƵƐ
ŶǀŝƌŽŶŵĞŶƚĂůŶĂůǇƐŝƐ
dŚĞKŶƚĂƌŝŽ'W
/ZĐŽŶĐůƵĚĞĚ ƚŚĂƚǁŚŝůĞ ƚŚĞŝƚǇĐŽŶƚĂŝŶƐƐƵŝƚĂďůĞŚĂďŝƚĂƚƐĨŽƌŵƵůƚŝƉůĞƐĞŶƐŝƚŝǀĞďŝƌĚ ƐƉĞĐŝĞƐ͕ƚŚĞŝƌƉŽƚĞŶƚŝĂůĨŽƌŽĐĐƵƌƌĞŶĐĞǁŽƵůĚ ďĞ ůŽǁĚƵĞ ƚŽƚŚĞŝƚǇ͛ƐĚĞǀĞůŽƉĞĚ ŶĂƚƵƌĞ͘,ŽǁĞǀĞƌ͕ŶŽ ƐĞŶƐŝƚŝǀĞƉůĂŶƚƐƉĞĐŝĞƐǁĞƌĞŽďƐĞƌǀĞĚǁŝƚŚŝŶƚŚĞŝƚǇĂŶĚƐƵŝƚĂďůĞƐĞŶƐŝƚŝǀĞƐƉĞĐŝĞƐŚĂǀĞĂůŽǁƉƌŽďĂďŝůŝƚǇ ŽĨ ŽĐĐƵƌƌŝŶŐ͘ ĚĚŝƚŝŽŶĂůůǇ͕ ŶŽ ƌĞŐŝŽŶĂů ǁŝůĚůŝĨĞ ĐŽƌƌŝĚŽƌƐ ǁĞƌĞ ŽďƐĞƌǀĞĚ ŝŶ ƚŚĞ ŝƚǇ͘ &ƵƌƚŚĞƌŵŽƌĞ͕ ƐƵďƐĞƋƵĞŶƚƉƌŽũĞĐƚƐǁŽƵůĚďĞƌĞƋƵŝƌĞĚƚŽĐŽŵƉůǇǁŝƚŚ&ĞĚĞƌĂů͕^ƚĂƚĞ͕ĂŶĚůŽĐĂůƉŽůŝĐŝĞƐĂŶĚƌĞŐƵůĂƚŝŽŶƐ͘ /ƚǁĂƐĐŽŶĐůƵĚĞĚƚŚĂƚŝŵƉůĞŵĞŶƚĂƚŝŽŶŽĨƚŚĞKŶƚĂƌŝŽ'WǁŽƵůĚŶŽƚĂĨĨĞĐƚƐƵƌĨĂĐĞŽƌũƵƌŝƐĚŝĐƚŝŽŶĂůǁĂƚĞƌƐ͕ ƚŚŽƵŐŚ ƐƵďƐĞƋƵĞŶƚ ƉƌŽũĞĐƚƐǁŽƵůĚ ďĞ ƌĞƋƵŝƌĞĚ ƚŽ ĐŽŵƉůǇ ǁŝƚŚ &ĞĚĞƌĂů͕ ^ƚĂƚĞ͕ĂŶĚ ůŽĐĂů ƉŽůŝĐŝĞƐ ĂŶĚ ƌĞŐƵůĂƚŝŽŶƐ͘&ŝŶĂůůǇ͕ ƚŚĞKŶƚĂƌŝŽ 'W
/Z ĐŽŶĐůƵĚĞĚ ƚŚĂƚ ŝŵƉůĞŵĞŶƚĂƚŝŽŶ ŽĨ ƚŚĞKŶƚĂƌŝŽ 'W ǁŽƵůĚ ŶŽƚ ĐŽŶĨůŝĐƚǁŝƚŚĞƐƚĂďůŝƐŚĞĚŚĂďŝƚĂƚƉůĂŶƐĂŶĚƚŚĂƚƐƵďƐĞƋƵĞŶƚƉƌŽũĞĐƚƐǁŽƵůĚŶĞĞĚƚŽĂŶĂůǇǌĞƚŚĞŝƌŝŶĚŝǀŝĚƵĂů ŝŵƉĂĐƚƐĨŽƌĐŽŵƉůŝĂŶĐĞǁŝƚŚŚĂďŝƚĂƚĐŽŶƐĞƌǀĂƚŝŽŶƉůĂŶƐĂŶĚƉƌŽŐƌĂŵƐ͘ ϰ͘ϰ͘Ϯ ŶĂůǇƐŝƐŽĨWƌŽƉŽƐĞĚWƌŽũĞĐƚ
dŚƌĞƐŚŽůĚ;ĂͿ ,ĂǀĞĂƐƵďƐƚĂŶƚŝĂůĂĚǀĞƌƐĞĞĨĨĞĐƚ͕ĞŝƚŚĞƌĚŝƌĞĐƚůǇŽƌƚŚƌŽƵŐŚŚĂďŝƚĂƚŵŽĚŝĨŝĐĂƚŝŽŶƐ͕ŽŶ ĂŶǇƐƉĞĐŝĞƐŝĚĞŶƚŝĨŝĞĚ ĂƐĂ ĐĂŶĚŝĚĂƚĞ͕ƐĞŶƐŝƚŝǀĞ͕ŽƌƐƉĞĐŝĂůƐƚĂƚƵƐƐƉĞĐŝĞƐŝŶ ůŽĐĂů Žƌ ƌĞŐŝŽŶĂůƉůĂŶƐ͕ƉŽůŝĐŝĞƐ͕ŽƌƌĞŐƵůĂƚŝŽŶƐ͕ŽƌďǇƚŚĞĂůŝĨŽƌŶŝĂĞƉĂƌƚŵĞŶƚŽĨ &ŝƐŚĂŶĚ 'ĂŵĞŽƌh͘^͘&ŝƐŚĂŶĚtŝůĚůŝĨĞ^ĞƌǀŝĐĞ͍΀KŶƚĂƌŝŽ'W
/Z/ŵƉĂĐƚϱ͘ϰͲϭ΁
EŽEĞǁŽƌDŽƌĞ^ĞǀĞƌĞ/ŵƉĂĐƚ͗dŚĞWƌŽũĞĐƚƐŝƚĞŝƐĐƵƌƌĞŶƚůǇĚĞǀĞůŽƉĞĚ ĂŶĚŝŶĂĐƚŝǀĞƵƐĞĨŽƌŝŶĚƵƐƚƌŝĂů ǁĂƌĞŚŽƵƐŝŶŐĂĐƚŝǀŝƚŝĞƐ͘dŚĞƐĞĂĐƚŝǀŝƚŝĞƐǁŽƵůĚŝŶŚĞƌĞŶƚůǇŝŶŚŝďŝƚƚŚĞƉŽƚĞŶƚŝĂůĨŽƌƚŚĞĨŽƌŵĂƚŝŽŶŽĨƐƵŝƚĂďůĞ ŚĂďŝƚĂƚĨŽƌďŽƚŚǁŝůĚůŝĨĞĂŶĚƐĞŶƐŝƚŝǀĞǀĞŐĞƚĂƚŝŽŶ͘ůĂƌŐĞŽƉĞŶŐƌĂƐƐĂƌĞĂĞǆŝƐƚƐŝŶƚŚĞŶŽƌƚŚǁĞƐƚƉŽƌƚŝŽŶ ŽĨ ƚŚĞ WƌŽũĞĐƚ ƐŝƚĞ͘,ŽǁĞǀĞƌ͕ ƚŚŝƐ ĂƌĞĂ ŝƐ ƐƵƌƌŽƵŶĚŝŶŐ ŽŶ Ăůů ƐŝĚĞƐ ďǇ ŽŶŐŽŝŶŐ ŝŶĚƵƐƚƌŝĂů ĂƌĞĂƐǁŝƚŚ ĐŽŶƐŝƐƚĞŶƚŚƵŵĂŶĂĐƚŝǀŝƚǇ͘&ƵƌƚŚĞƌŵŽƌĞ͕ƚŚŝƐĂƌĞĂŽĨŐƌĂƐƐǁŽƵůĚŶŽƚƐƵŝƚĂďůǇĂĐƚĂƐĂŶĞƐƚŝŶŐƐŝƚĞĨŽƌďŝƌĚ ƐƉĞĐŝĞƐƐŝŶĐĞƚŚĞĨĞǁŽƌŶĂŵĞŶƚĂůƚƌĞĞƐĂƌĞůŽĐĂƚĞĚĂĚũĂĐĞŶƚƚŽĂƌĞĂƐǁŝƚŚŚŝŐŚŚƵŵĂŶŝŶƚĞƌĂĐƚŝŽŶ͘ ĐĐŽƌĚŝŶŐƚŽ&ŝŐƵƌĞϱ͘ϰͲϭŽĨƚŚĞKŶƚĂƌŝŽ'W
/Z͕ƚŚĞWƌŽũĞĐƚůŽĐĂƚŝŽŶĨĂůůƐŽƵƚƐŝĚĞŽĨƚŚĞ^ĂŶĞƌŶĂƌĚŝŶŽ <ĂŶŐĂƌŽŽZĂƚƌŝƚŝĐĂů,ĂďŝƚĂƚ͕ĞůŚŝ^ĂŶĚƐ&ůŽǁĞƌͲ>ŽǀŝŶŐ&ůǇKŶƚĂƌŝŽZĞĐŽǀĞƌǇhŶŝƚ͕KĂŬŵŽŶƚ/ŶĚƵƐƚƌŝĂů 'ƌŽƵƉ,ĂďŝƚĂƚŽŶƐĞƌǀĂƚŝŽŶWůĂŶĨŽƌWƌŽƚĞĐƚŝŽŶŽĨĞůŚŝ^ĂŶĚƐ&ůŽǁĞƌͲ>ŽǀŝŶŐ&ůǇ͕ĂŶĚĂůŝĨŽƌŶŝĂEĂƚƵƌĂů ŝǀĞƌƐŝƚǇĂƚĂďĂƐĞKĐĐƵƌƌĞŶĐĞƐ;KŶƚĂƌŝŽĂŶĚ'ƵĂƐƚŝYƵĂĚƌĂŶŐůĞƐͿ͘dŚĞƌĞǁĞƌĞŶŽ ƉĞƌĞŐƌŝŶĞĨĂůĐŽŶ Žƌ ďƵƌƌŽǁŝŶŐŽǁůŽďƐĞƌǀĂŶĐĞƐǁŝƚŚŝŶƚŚĞWƌŽũĞĐƚĂƌĞĂ͘/ŶƚŚĞƚŝŵĞƐŝŶĐĞƚŚĞKŶƚĂƌŝŽ'W /ZǁĂƐĐĞƌƚŝĨŝĞĚ͕ƚŚĞ
WƌŽũĞĐƚƐŝƚĞŚĂƐďĞĞŶĚĞǀĞůŽƉĞĚǁŝƚŚŝŶĚƵƐƚƌŝĂůƵƐĞƐǁŚŝĐŚǁŽƵůĚĐŽŶƚŝŶƵĞƚŽŝŶŚŝďŝƚƚŚĞŶĂƚƵƌĂůĨŽƌŵĂƚŝŽŶ ŽĨŚĂďŝƚĂƚƐĨŽƌƐƉĞĐŝĂůƐƚĂƚƵƐƐƉĞĐŝĞƐŽƌƉůĂŶƚƐ͘dŚĞƌĞĨŽƌĞ͕ŝŵƉĂĐƚƐƚŽƐĞŶƐŝƚŝǀĞƐƉĞĐŝĞƐĂŶĚƚŚĞŝƌŚĂďŝƚĂƚƐ ǁŽƵůĚďĞůĞƐƐƚŚĂŶƐŝŐŶŝĨŝĐĂŶƚ͘
DŝƚŝŐĂƚŝŽŶWƌŽŐƌĂŵ
DŝƚŝŐĂƚŝŽŶDĞĂƐƵƌĞƐĨƌŽŵƚŚĞKŶƚĂƌŝŽ'W
/Z
EŽŶĞŝĚĞŶƚŝĨŝĞĚŝŶƚŚĞKŶƚĂƌŝŽ'W
/Z͘
ŽŶĐůƵƐŝŽŶ
dŚĞWƌŽũĞĐƚǁŽƵůĚƌĞƐƵůƚŝŶŶŽŶĞǁŽƌŵŽƌĞƐĞǀĞƌĞŝŵƉĂĐƚŽŶŶĂƚƵƌĂůŚĂďŝƚĂƚƐĂŶĚƐĞŶƐŝƚŝǀĞƐƉĞĐŝĞƐ͘ůĞƐƐ ƚŚĂŶƐŝŐŶŝĨŝĐĂŶƚŝŵƉĂĐƚǁĂƐŝĚĞŶƚŝĨŝĞĚŝŶƚŚĞKŶƚĂƌŝŽ'W /ZǁŝƚŚƌĞƐƉĞĐƚƚŽŶĂƚƵƌĂůŚĂďŝƚĂƚƐĂŶĚƐĞŶƐŝƚŝǀĞ
276
(QYLURQPHQWDO,PSDFW$QDO\VLV
dŚĞKŶƚĂƌŝŽWůĂŶ
/Z ϯϳ ŽŶsŝĞǁWƌŽũĞĐƚ
ĚĚĞŶĚƵŵƚŽƚŚĞ&ŝŶĂů
ŶǀŝƌŽŶŵĞŶƚĂů/ŵƉĂĐƚZĞƉŽƌƚ
ƐƉĞĐŝĞƐ͘dŚĞWƌŽũĞĐƚǁŽƵůĚďĞĚĞƐŝŐŶĞĚĐŽŶƐŝƐƚĞŶƚǁŝƚŚƚŚĞĂƉƉůŝĐĂďůĞŐƵŝĚĞůŝŶĞƐĂŶĚƐƚĂŶĚĂƌĚƐǁŝƚŚŝŶƚŚĞ KŶƚĂƌŝŽ'W͕KŶƚĂƌŝŽD͕ĂŶĚKŶƚĂƌŝŽĞǀĞůŽƉŵĞŶƚŽĚĞ͘dŚĞƌĞĨŽƌĞ͕ŶŽŶĞǁĂŶĚͬŽƌŵŽĚŝĨŝĞĚŵŝƚŝŐĂƚŝŽŶ ŵĞĂƐƵƌĞƐĂƌĞƌĞƋƵŝƌĞĚĨŽƌŝƐƐƵĞƐƌĞůĂƚĞĚƚŽďŝŽůŽŐŝĐĂůƌĞƐŽƵƌĐĞƐ͘ dŚƌĞƐŚŽůĚ;ďͿ ,ĂǀĞĂ ƐƵďƐƚĂŶƚŝĂůĂĚǀĞƌƐĞĞĨĨĞĐƚ ŽŶĂŶǇƌŝƉĂƌŝĂŶŚĂďŝƚĂƚŽƌ ŽƚŚĞƌƐĞŶƐŝƚŝǀĞŶĂƚƵƌĂů ĐŽŵŵƵŶŝƚǇŝĚĞŶƚŝĨŝĞĚŝŶ ůŽĐĂů Žƌ ƌĞŐŝŽŶĂůƉůĂŶƐ͕ƉŽůŝĐŝĞƐ͕ ĂŶĚƌĞŐƵůĂƚŝŽŶƐŽƌďǇ ƚŚĞ ĂůŝĨŽƌŶŝĂĞƉĂƌƚŵĞŶƚŽĨ&ŝƐŚĂŶĚtŝůĚůŝĨĞŽƌh͘^͘&ŝƐŚĂŶĚtŝůĚůŝĨĞ^ĞƌǀŝĐĞ͍΀KŶƚĂƌŝŽ'W

/Z/ŵƉĂĐƚϱ͘ϰͲϮ΁
dŚƌĞƐŚŽůĚ;ĐͿ ,ĂǀĞĂƐƵďƐƚĂŶƚŝĂůĂĚǀĞƌƐĞĞĨĨĞĐƚŽŶƐƚĂƚĞŽƌ&ĞĚĞƌĂůůǇƉƌŽƚĞĐƚĞĚǁĞƚůĂŶĚƐ;ŝŶĐůƵĚŝŶŐ͕ ďƵƚŶŽƚůŝŵŝƚĞĚ ƚŽ͕ŵĂƌƐŚ͕ǀĞƌŶĂůƉŽŽů͕ĐŽĂƐƚĂů͕ĞƚĐ͘Ϳ ƚŚƌŽƵŐŚĚŝƌĞĐƚƌĞŵŽǀĂů͕ĨŝůůŝŶŐ͕ ŚǇĚƌŽůŽŐŝĐĂůŝŶƚĞƌƌƵƉƚŝŽŶ͕ŽƌŽƚŚĞƌŵĞĂŶƐ͍΀KŶƚĂƌŝŽ'W /Z/ŵƉĂĐƚϱ͘ϰͲϯ΁
EŽEĞǁŽƌDŽƌĞ^ĞǀĞƌĞ/ŵƉĂĐƚ͗dŚĞKŶƚĂƌŝŽ'W
/ZĚĞƚĞƌŵŝŶĞĚƚŚĂƚĚĞǀĞůŽƉŵĞŶƚǁŝƚŚŝŶƚŚĞŝƚǇǁŽƵůĚ
ŶŽƚĂĚǀĞƌƐĞůǇĂĨĨĞĐƚƚŚĞŝƚǇ͛ƐƐƵƌĨĂĐĞǁĂƚĞƌƐ͕ũƵƌŝƐĚŝĐƚŝŽŶĂůǁĂƚĞƌƐ͕ǁĞƚůĂŶĚƐ͕ŽƌƌŝƉĂƌŝĂŶŚĂďŝƚĂƚƐĂƐƚŚĞ ĂƌĞĂƐƚŚĂƚĐŽƵůĚďĞĐŽŶƐŝĚĞƌĞĚǁŝƚŚŝŶƚŚĞƐĞǌŽŶĞƐǁŽƵůĚ ďĞĚĞƐŝŐŶĂƚĞĚŽƉĞŶ ƐƉĂĐĞĂŶĚĂůůŽǁĨŽƌǀĞƌǇ ůŝŵŝƚĞĚĚĞǀĞůŽƉŵĞŶƚ͘^ŽŵĞĂƌĞĂƐŶŽƚĞĚĂƐũƵƌŝƐĚŝĐƚŝŽŶĂůǁĂƚĞƌƐĂƌĞŽǁŶĞĚĂŶĚŵĂŶĂŐĞĚďǇƚŚĞŽƵŶƚǇ͘ ƌĞĂƐƵŶĚĞƌŽƵŶƚǇŵĂŶĂŐĞŵĞŶƚǁŽƵůĚŶŽƚďĞƐƵďũĞĐƚƚŽůĂŶĚƵƐĞĐŽŶƚƌŽůƐĨƌŽŵƚŚĞŝƚǇ͘ dŚĞWƌŽũĞĐƚ ƐŝƚĞŝƐƉƌĞǀŝŽƵƐůǇ ĚĞǀĞůŽƉĞĚ ǁŝƚŚ ŝŶĚƵƐƚƌŝĂůƵƐĞƐĂŶĚ ĚŽĞƐŶŽƚ ĐŽŶƚĂŝŶǁĞƚůĂŶĚŽƌƌŝƉĂƌŝĂŶ ĨĞĂƚƵƌĞƐ͘ŵĂũŽƌŝƚǇŽĨƚŚĞWƌŽũĞĐƚƐŝƚĞŝƐĚĞǀĞůŽƉĞĚǁŝƚŚŝŶĚƵƐƚƌŝĂůƵƐĞƐǁŚŝĐŚĚŽĞƐŶŽƚŝŶĐůƵĚĞŶĂƚƵƌĂůŽƌ ŵĂŶŵĂĚĞƐƵƌĨĂĐĞǁĂƚĞƌƐ͘dŚĞƵŶĚĞǀĞůŽƉĞĚŐƌĂƐƐǇĂƌĞĂŝŶƚŚĞŶŽƌƚŚǁĞƐƚƉŽƌƚŝŽŶŽĨƚŚĞWƌŽũĞĐƚƐŝƚĞĚŽĞƐ ŶŽƚ ĐŽŶƚĂŝŶ ǁĂƚĞƌ ĨĞĂƚƵƌĞƐĂŶĚ ŝƐ ŶŽƚ ůŽĐĂƚĞĚ ĂĚũĂĐĞŶƚ ƚŽ ĂŶǇ ŽĨ ƚŚĞ ŝƚǇ͛ƐƐƵƌĨĂĐĞ ǁĂƚĞƌĨĞĂƚƵƌĞƐ͘ dŚĞƌĞĨŽƌĞ͕ŶŽ ŶĞǁ ŝŵƉĂĐƚƐƌĞůĂƚŝǀĞƚŽƌŝƉĂƌŝĂŶŚĂďŝƚĂƚŽƌ ŽƚŚĞƌƐĞŶƐŝƚŝǀĞŶĂƚƵƌĂůĐŽŵŵƵŶŝƚǇ ǁŽƵůĚ ďĞ ĐĂƵƐĞĚĚƵĞƚŽƚŚĞWƌŽũĞĐƚŝŵƉůĞŵĞŶƚĂƚŝŽŶ͘
DŝƚŝŐĂƚŝŽŶWƌŽŐƌĂŵ
DŝƚŝŐĂƚŝŽŶDĞĂƐƵƌĞƐĨƌŽŵƚŚĞKŶƚĂƌŝŽ'W
/Z
EŽŶĞŝĚĞŶƚŝĨŝĞĚŝŶƚŚĞKŶƚĂƌŝŽ'W
/Z͘
ŽŶĐůƵƐŝŽŶ
dŚĞWƌŽũĞĐƚǁŽƵůĚƌĞƐƵůƚŝŶŶŽŶĞǁŽƌŵŽƌĞƐĞǀĞƌĞŝŵƉĂĐƚŽŶĂƋƵĂƚŝĐŚĂďŝƚĂƚƐĂŶĚƌĞƐŽƵƌĐĞƐ͘ůĞƐƐƚŚĂŶ ƐŝŐŶŝĨŝĐĂŶƚŝŵƉĂĐƚǁĂƐŝĚĞŶƚŝĨŝĞĚŝŶƚŚĞKŶƚĂƌŝŽ'W
/ZǁŝƚŚƌĞƐƉĞĐƚƚŽƚŚĞƐĞƌĞƐŽƵƌĐĞƐ͘dŚĞWƌŽũĞĐƚǁŽƵůĚ
ďĞĚĞƐŝŐŶĞĚĐŽŶƐŝƐƚĞŶƚǁŝƚŚƚŚĞĂƉƉůŝĐĂďůĞŐƵŝĚĞůŝŶĞƐĂŶĚƐƚĂŶĚĂƌĚƐǁŝƚŚŝŶƚŚĞKŶƚĂƌŝŽ'W͕KŶƚĂƌŝŽD͕ ĂŶĚKŶƚĂƌŝŽĞǀĞůŽƉŵĞŶƚŽĚĞ͘dŚĞƌĞĨŽƌĞ͕ŶŽŶĞǁĂŶĚͬŽƌŵŽĚŝĨŝĞĚŵŝƚŝŐĂƚŝŽŶŵĞĂƐƵƌĞƐĂƌĞƌĞƋƵŝƌĞĚĨŽƌ ŝƐƐƵĞƐƌĞůĂƚĞĚƚŽďŝŽůŽŐŝĐĂůƌĞƐŽƵƌĐĞƐ͘
dŚƌĞƐŚŽůĚ;ĚͿ /ŶƚĞƌĨĞƌĞƐƵďƐƚĂŶƚŝĂůůǇǁŝƚŚƚŚĞŵŽǀĞŵĞŶƚŽ ĨĂŶǇŶĂƚŝǀĞƌĞƐŝĚĞŶƚŽƌŵŝŐƌĂƚŽƌǇĨŝƐŚŽƌ ǁŝůĚůŝĨĞ ƐƉĞĐŝĞƐŽƌǁŝƚŚĞƐƚĂďůŝƐŚĞĚŶĂƚŝǀĞƌĞƐŝĚĞŶƚŽƌŵŝŐƌĂƚŽƌǇǁŝůĚůŝĨĞĐŽƌƌŝĚŽƌƐ͕Žƌ ŝŵƉĞĚĞƚŚĞƵƐĞŽĨŶĂƚŝǀĞǁŝůĚůŝĨĞ ŶƵƌƐĞƌǇƐŝƚĞƐ͍΀KŶƚĂƌŝŽ'W /Z/ŵƉĂĐƚϱ͘ϰͲϰ΁
EŽEĞǁŽƌDŽƌĞ^ĞǀĞƌĞ/ŵƉĂĐƚ͗ZĞĨĞƌĂďŽǀĞƚŽƚŚƌĞƐŚŽůĚƐĂĂŶĚďĂďŽǀĞ͘dŚĞKŶƚĂƌŝŽ'W /ZĐŽŶĐůƵĚĞĚ
ƚŚĂƚƚŚĞŝƚǇĚŽĞƐŶŽƚĨƵŶĐƚŝŽŶĂƐĂƐƵŝƚĂďůĞǁŝůĚůŝĨĞŵŽǀĞŵĞŶƚĐŽƌƌŝĚŽƌ͕ƐŝŶĐĞƚŚĞŝƚǇŝƐŵŽƐƚůǇĚĞǀĞůŽƉĞĚ͕ ǁŝƚŚŵŽƐƚ ŽĨ ƚŚĞ ůĂŶĚ ĐŽŶǀĞƌƚĞĚ ƚŽ ŝŶĚƵƐƚƌŝĂů͕ĐŽŵŵĞƌĐŝĂů͕ĂŶĚƌĞƐŝĚĞŶƚŝĂů ƵƐĞƐ͘EŽ ƌĞŐŝŽŶĂů ǁŝůĚůŝĨĞ ŵŽǀĞŵĞŶƚĐŽƌƌŝĚŽƌƐŚĂǀĞďĞĞŶŝĚĞŶƚŝĨŝĞĚŝŶƚŚĞŝƚǇĂƐŵŽƐƚŽĨƚŚĞŝƚǇŝƐŝůůͲƐƵŝƚĞĚĨŽƌƚŚĞƉƵƌƉŽƐĞƐŽĨ ǁŝůĚůŝĨĞŵŽǀĞŵĞŶƚ͘>ŽĐĂůŵŽǀĞŵĞŶƚĐŽƌƌŝĚŽƌƐǁŽƵůĚĐŽŶƐŝƐƚŽĨĨůŽŽĚ ĐŽŶƚƌŽůĐŚĂŶŶĞůƐĂŶĚ^ ĐŽƌƌŝĚŽƌƐ͘
277
(QYLURQPHQWDO,PSDFW$QDO\VLV
dŚĞKŶƚĂƌŝŽWůĂŶ
/Z ϯϴ ŽŶsŝĞǁWƌŽũĞĐƚ
ĚĚĞŶĚƵŵƚŽƚŚĞ&ŝŶĂů
ŶǀŝƌŽŶŵĞŶƚĂů/ŵƉĂĐƚZĞƉŽƌƚ
ƐƉƌĞǀŝŽƵƐůǇ ƐƚĂƚĞĚ͕ƚŚĞWƌŽũĞĐƚŚĂƐďĞĞŶ ƉƌĞǀŝŽƵƐůǇ ĚĞǀĞůŽƉĞĚ ǁŝƚŚŝŶĚƵƐƚƌŝĂůĂŶĚ ǁĂƌĞŚŽƵƐŝŶŐƵƐĞƐ ǁŝƚŚŵĂŶŵĂĚĞůĂŶĚƐĐĂƉŝŶŐŝŵƉƌŽǀĞŵĞŶƚƐƚŚĂƚǁŽƵůĚŶŽƚďĞƐƵŝƚĂďůĞĨŽƌƚŚĞŶĞƐƚŝŶŐŽĨƐĞŶƐŝƚŝǀĞƐƉĞĐŝĞƐ͘ dƌĞĞƐŽďƐĞƌǀĞĚŽŶƚŚĞWƌŽũĞĐƚƐŝƚĞǁĞƌĞůĂƌŐĞůǇŽƌŶĂŵĞŶƚĂůĂŶĚĂĚũĂĐĞŶƚƚŽĂƌĞĂƐŽĨŚŝŐŚŚƵŵĂŶƚƌĂĨĨŝĐ͘ dŚĞƌĞĨŽƌĞ͕ƚŚĞWƌŽũĞĐƚƐŝƚĞǁŽƵůĚƌĞŵĂŝŶŝůůͲƐƵŝƚĞĚĨŽƌǁŝůĚůŝĨĞŵŽǀĞŵĞŶƚ͘ DŝƚŝŐĂƚŝŽŶWƌŽŐƌĂŵ
DŝƚŝŐĂƚŝŽŶDĞĂƐƵƌĞƐĨƌŽŵƚŚĞKŶƚĂƌŝŽ'W
/Z
EŽŶĞŝĚĞŶƚŝĨŝĞĚŝŶƚŚĞKŶƚĂƌŝŽ'W
/Z͘
ŽŶĐůƵƐŝŽŶ
dŚĞWƌŽũĞĐƚǁŽƵůĚƌĞƐƵůƚŝŶŶŽ ŶĞǁŽƌŵŽƌĞƐĞǀĞƌĞŝŵƉĂĐƚŽŶǁŝůĚůŝĨĞŵŽǀĞŵĞŶƚ͘ůĞƐƐƚŚĂŶƐŝŐŶŝĨŝĐĂŶƚ ŝŵƉĂĐƚǁĂƐŝĚĞŶƚŝĨŝĞĚŝŶƚŚĞKŶƚĂƌŝŽ'W
/Z͘dŚĞWƌŽũĞĐƚǁŽƵůĚďĞĚĞƐŝŐŶĞĚĐŽŶƐŝƐƚĞŶƚǁŝƚŚƚŚĞĂƉƉůŝĐĂďůĞ ŐƵŝĚĞůŝŶĞƐĂŶĚƐƚĂŶĚĂƌĚƐǁŝƚŚŝŶƚŚĞKŶƚĂƌŝŽ'W͕KŶƚĂƌŝŽD͕ĂŶĚKŶƚĂƌŝŽĞǀĞůŽƉŵĞŶƚŽĚĞ͘dŚĞƌĞĨŽƌĞ͕ ŶŽŶĞǁĂŶĚͬŽƌŵŽĚŝĨŝĞĚŵŝƚŝŐĂƚŝŽŶŵĞĂƐƵƌĞƐĂƌĞƌĞƋƵŝƌĞĚĨŽƌŝƐƐƵĞƐƌĞůĂƚĞĚƚŽďŝŽůŽŐŝĐĂůƌĞƐŽƵƌĐĞƐ͘ dŚƌĞƐŚŽůĚ;ĞͿ ŽŶĨůŝĐƚǁŝƚŚĂŶǇůŽĐĂůƉŽůŝĐŝĞƐŽƌŽƌĚŝŶĂŶĐĞƐƌĞůĂƚĞĚƚŽƉƌŽƚĞĐƚŝŶŐďŝŽůŽŐŝĐĂůƌĞƐŽƵƌĐĞƐ͕ ƐƵĐŚĂƐĂƚƌĞĞƉƌĞƐĞƌǀĂƚŝŽŶƉŽůŝĐǇŽƌŽƌĚŝŶĂŶĐĞ͍΀KŶƚĂƌŝŽ'W /Z/ŵƉĂĐƚϱ͘ϰͲϱ΁
dŚƌĞƐŚŽůĚ;ĨͿ ŽŶĨůŝĐƚ ǁŝƚŚ ƚŚĞ ƉƌŽǀŝƐŝŽŶƐ ŽĨ ĂŶ ĂĚŽƉƚĞĚ ,ĂďŝƚĂƚ ŽŶƐĞƌǀĂƚŝŽŶ WůĂŶ͕ EĂƚƵƌĂů ŽŵŵƵŶŝƚǇ ŽŶƐĞƌǀĂƚŝŽŶ WůĂŶ͕Žƌ ŽƚŚĞƌ ĂƉƉƌŽǀĞĚ ůŽĐĂů͕ƌĞŐŝŽŶĂů͕Žƌ ƐƚĂƚĞ ŚĂďŝƚĂƚ ĐŽŶƐĞƌǀĂƚŝŽŶƉůĂŶ͍΀KŶƚĂƌŝŽ'W
/Z/ŵƉĂĐƚϱ͘ϰͲϱ΁
EŽEĞǁŽƌDŽƌĞ^ĞǀĞƌĞ/ŵƉĂĐƚ͗dŚĞKŶƚĂƌŝŽ'W
/ZĐŽŶĐůƵĚĞĚƚŚĂƚƚŚĞŵĂũŽƌŝƚǇŽĨƚŚĞŝƚǇŝƐŽƵƚƐŝĚĞŽĨ ĂĐŽŶƐĞƌǀĂƚŝŽŶƉůĂŶŽƌĂƌĞĂƐŽĨůŝŬĞůŝŚŽŽĚ ĨŽƌ ƐĞŶƐŝƚŝǀĞƐƉĞĐŝĞƐ͘ĐĐŽƌĚŝŶŐƚŽƚŚĞKŶƚĂƌŝŽ'W /Z͕ĨƵƚƵƌĞ
WƌŽũĞĐƚƐǁŝƚŚŝŶ ĞƐƚĂďůŝƐŚĞĚ,ĂďŝƚĂƚŽŶƐĞƌǀĂƚŝŽŶWůĂŶ ĂƌĞĂƐƐŚŽƵůĚ ĨƵůůǇ ĂŶĂůǇǌĞƉŽƚĞŶƚŝĂů ŝŵƉĂĐƚƐƚŽ ŶĂƚƵƌĂůƐƉĞĐŝĞƐĂŶĚƐƉĞĐŝĂůƐƚĂƚƵƐƐƉĞĐŝĞƐ͘KŶĞ,ĂďŝƚĂƚŽŶƐĞƌǀĂƚŝŽŶWůĂŶĞǆŝƐƚƐǁŝƚŚŝŶƚŚĞŝƚǇ͘dŚĞƉůĂŶ ĂƌĞĂŝƐĂϭϵͲĂĐƌĞĂƌĞĂŶĞĂƌƚŚĞŝŶƚĞƌƐĞĐƚŝŽŶŽĨ'ƌĞǇƐƚŽŶĞƌŝǀĞĂŶĚƚŚĞĞĂƐƚĞƌŶŝƚǇďŽƵŶĚĂƌǇĞƐƚĂďůŝƐŚĞĚ ƚŽƉƌŽƚĞĐƚƚŚĞĞůŚŝ^ĂŶĚƐ&ůŽǁĞƌͲ>ŽǀŝŶŐ&ůǇ;^&>&Ϳ͘dŚĞWƌŽũĞĐƚǁŽƵůĚďĞŽƵƚƐŝĚĞŽĨƚŚŝƐĂƌĞĂ͘&ƵƌƚŚĞƌ͕Ă ƉŽƌƚŝŽŶŽĨƌŝƚŝĐĂů,ĂďŝƚĂƚhŶŝƚϰĨŽƌ^ĂŶĞƌŶĂƌĚŝŶŽŬĂŶŐĂƌŽŽƌĂƚ;^<ZͿĞǆŝƐƚƐŝŶƚŚĞŶŽƌƚŚĞĂƐƚĞƌŶĐŽƌŶĞƌ ŽĨƚŚĞŝƚǇ͘dŚĞWƌŽũĞĐƚƐŝƚĞǁŽƵůĚĂůƐŽďĞŽƵƚƐŝĚĞŽĨƚŚŝƐĐŽŶƐĞƌǀĂƚŝŽŶĂƌĞĂ͘dŚĞƌĞĨŽƌĞ͕ĚƵĞƚŽŝƚƐĞǆŝƐƚĞŶĐĞ ŽƵƚƐŝĚĞ ŽĨ ƚŚĞ ŝƚǇ͛ƐĞƐƚĂďůŝƐŚĞĚ ,ĂďŝƚĂƚŽŶƐĞƌǀĂƚŝŽŶ WůĂŶ ĂƌĞĂƐ͕ƚŚĞ WƌŽũĞĐƚ ǁŽƵůĚ ďĞ ƵŶůŝŬĞůǇ ƚŽ ƐƵďƐƚĂŶƚŝĂůůǇĂĨĨĞĐƚĞƐƚĂďůŝƐŚĞĚ,ĂďŝƚĂƚŽŶƐĞƌǀĂƚŝŽŶWůĂŶƐ͘ƵĞƚŽƚŚĞWƌŽũĞĐƚƐŝƚĞ͛ƐƉƌĞǀŝŽƵƐůǇĚĞǀĞůŽƉĞĚ ƐƚĂƚĞ͕ƌĞĚĞǀĞůŽƉŵĞŶƚĂĐƚŝǀŝƚŝĞƐǁŽƵůĚďĞƵŶůŝŬĞůǇ ƚŽŝŶŚŝďŝƚƚŚĞŐŽĂůƐŽĨ,ĂďŝƚĂƚŽŶƐĞƌǀĂƚŝŽŶWůĂŶƐĂƐƚŚĞ ĂƌĞĂŝƐĐƵƌƌĞŶƚůǇĚĞǀĞůŽƉĞĚĨŽƌŝŶĚƵƐƚƌŝĂůƵƐĞƐ͘
^ŝŵŝůĂƌůǇ͕ ƚŚĞ WƌŽũĞĐƚ ǁŽƵůĚ ŶŽƚ ĐŽŶĨůŝĐƚ ǁŝƚŚ ĂŶǇ ůŽĐĂů ƉŽůŝĐŝĞƐ Žƌ ŽƌĚŝŶĂŶĐĞƐ ƉƌŽƚĞĐƚŝŶŐ ďŝŽůŽŐŝĐĂů ƌĞƐŽƵƌĐĞƐ͘tŚŝůĞƚŚĞWƌŽũĞĐƚǁŽƵůĚ ƌĞŵŽǀĞĐŽŵŵŽŶƐŚƌƵďƐĂŶĚƚƌĞĞƐĨŽƵŶĚ ŽŶƐŝƚĞ͕ƚŚĞWƌŽũĞĐƚǁŽƵůĚ ĐŽŵƉůǇǁŝƚŚƚŚĞKŶƚĂƌŝŽĞǀĞůŽƉŵĞŶƚŽĚĞ^ĞĐƚŝŽŶϭ͘Ϭϭ͘ϬϬϱ;>ͿĂŶĚϲ͘Ϭϱ͘ϬϮϬ͘ŽŶƐŝƐƚĞŶƚǁŝƚŚƚŚĞKŶƚĂƌŝŽ 'W
/Z͕ŝŵƉĂĐƚƐŝŶƚŚŝƐƌĞŐĂƌĚĂƌĞĐŽŶƐŝĚĞƌĞĚůĞƐƐƚŚĂŶƐŝŐŶŝĨŝĐĂŶƚĨŽůůŽǁŝŶŐĐŽŵƉůŝĂŶĐĞǁŝƚŚƚŚĞƉƌŽǀŝƐŝŽŶƐ ŽĨƚŚĞĞǀĞůŽƉŵĞŶƚŽĚĞ͘ĚĚŝƚŝŽŶĂůůǇ͕ŶŽŶĞǁŝŶĨŽƌŵĂƚŝŽŶŽĨƐƵďƐƚĂŶƚŝĂůŝŵƉŽƌƚĂŶĐĞƚŚĂƚǁĂƐŶŽƚŬŶŽǁŶ ĂŶĚĐŽƵůĚŶŽƚŚĂǀĞďĞĞŶŬŶŽǁŶĂƚƚŚĞƚŝŵĞƚŚĞKŶƚĂƌŝŽ'W /ZǁĂƐĐĞƌƚŝĨŝĞĚŝƐĂǀĂŝůĂďůĞƚŚĂƚǁŽƵůĚĐŚĂŶŐĞ
ƚŚĞĨŝŶĚŝŶŐŽĨůĞƐƐƚŚĂŶƐŝŐŶŝĨŝĐĂŶƚŝŵƉĂĐƚƵŶĚĞƌƚŚŝƐƚŚƌĞƐŚŽůĚ͘ 278
(QYLURQPHQWDO,PSDFW$QDO\VLV
dŚĞKŶƚĂƌŝŽWůĂŶ
/Z ϯϵ ŽŶsŝĞǁWƌŽũĞĐƚ
ĚĚĞŶĚƵŵƚŽƚŚĞ&ŝŶĂů
ŶǀŝƌŽŶŵĞŶƚĂů/ŵƉĂĐƚZĞƉŽƌƚ
DŝƚŝŐĂƚŝŽŶWƌŽŐƌĂŵ
DŝƚŝŐĂƚŝŽŶDĞĂƐƵƌĞƐĨƌŽŵƚŚĞKŶƚĂƌŝŽ'W
/Z
EŽŶĞŝĚĞŶƚŝĨŝĞĚŝŶƚŚĞKŶƚĂƌŝŽ'W
/Z͘
ŽŶĐůƵƐŝŽŶ
dŚĞWƌŽũĞĐƚǁŽƵůĚƌĞƐƵůƚŝŶŶŽŶĞǁŽƌŵŽƌĞƐĞǀĞƌĞŝŵƉĂĐƚŽŶĐŽŶƐĞƌǀĂƚŝŽŶƉůĂŶƐĂŶĚƉŽůŝĐŝĞƐ͘ůĞƐƐƚŚĂŶ ƐŝŐŶŝĨŝĐĂŶƚŝŵƉĂĐƚǁĂƐŝĚĞŶƚŝĨŝĞĚŝŶƚŚĞKŶƚĂƌŝŽ'W
/Z͘dŚĞWƌŽũĞĐƚǁŽƵůĚďĞĚĞƐŝŐŶĞĚĐŽŶƐŝƐƚĞŶƚǁŝƚŚƚŚĞ
ĂƉƉůŝĐĂďůĞŐƵŝĚĞůŝŶĞƐĂŶĚƐƚĂŶĚĂƌĚƐǁŝƚŚŝŶƚŚĞKŶƚĂƌŝŽ'W͕KŶƚĂƌŝŽD͕ĂŶĚKŶƚĂƌŝŽĞǀĞůŽƉŵĞŶƚŽĚĞ͘ dŚĞƌĞĨŽƌĞ͕ŶŽ ŶĞǁ ĂŶĚͬŽƌŵŽĚŝĨŝĞĚ ŵŝƚŝŐĂƚŝŽŶŵĞĂƐƵƌĞƐĂƌĞƌĞƋƵŝƌĞĚ ĨŽƌ ŝƐƐƵĞƐƌĞůĂƚĞĚƚŽ ďŝŽůŽŐŝĐĂů ƌĞƐŽƵƌĐĞƐ͘
KǀĞƌĂůůŝŽůŽŐŝĐĂůZĞƐŽƵƌĐĞƐ/ŵƉĂĐƚƐŽŶĐůƵƐŝŽŶ
tŝƚŚƌĞŐĂƌĚƚŽ
Y^ĞĐƚŝŽŶϮϭϭϲϲĂŶĚ
Y'ƵŝĚĞůŝŶĞƐ^ĞĐƚŝŽŶϭϱϭϲϮ;ĂͿ͕ƚŚĞĐŚĂŶŐĞƐƉƌŽƉŽƐĞĚďǇƚŚĞ WƌŽũĞĐƚǁŽƵůĚŶŽƚƌĞƐƵůƚŝŶĂŶǇŶĞǁŝŵƉĂĐƚƐ͕ŽƌŝŶĐƌĞĂƐĞƚŚĞƐĞǀĞƌŝƚǇŽĨƚŚĞƉƌĞǀŝŽƵƐůǇŝĚĞŶƚŝĨŝĞĚŝŵƉĂĐƚƐ͕ ǁŝƚŚƌĞƐƉĞĐƚƚŽďŝŽůŽŐŝĐĂůƌĞƐŽƵƌĐĞƐ͘dŚĞƌĞĨŽƌĞ͕ƉƌĞƉĂƌĂƚŝŽŶŽĨĂ^ /ZŝƐŶŽƚǁĂƌƌĂŶƚĞĚ͘

279
(QYLURQPHQWDO,PSDFW$QDO\VLV
dŚĞKŶƚĂƌŝŽWůĂŶ
/Z ϰϬ ŽŶsŝĞǁWƌŽũĞĐƚ
ĚĚĞŶĚƵŵƚŽƚŚĞ&ŝŶĂů
ŶǀŝƌŽŶŵĞŶƚĂů/ŵƉĂĐƚZĞƉŽƌƚ
ϰ͘ϱ ƵůƚƵƌĂůZĞƐŽƵƌĐĞƐ
ϰ͘ϱ͘ϭ ^ƵŵŵĂƌǇŽĨWƌĞǀŝŽƵƐ
ŶǀŝƌŽŶŵĞŶƚĂůŶĂůǇƐŝƐ
dŚĞKŶƚĂƌŝŽ'W
/ZĐŽŶĐůƵĚĞĚƚŚĂƚŝŵƉůĞŵĞŶƚĂƚŝŽŶŽĨƚŚĞKŶƚĂƌŝŽ'WǁŽƵůĚƌĞƐƵůƚŝŶƉŽƚĞŶƚŝĂůŝŵƉĂĐƚƐƚŽ ƚŚĞŝƚǇ͛ƐŚŝƐƚŽƌŝĐĂůƌĞƐŽƵƌĐĞƐ͘dŚŝƐŝƐĂƚƚƌŝďƵƚĞĚƚŽƚŚĞƉŽƚĞŶƚŝĂůĚĞŵŽůŝƚŝŽŶŽĨdŝĞƌ///ƌĞƐŽƵƌĐĞƐ͕ƐŝŶĐĞƚŚĞ KŶƚĂƌŝŽ'WǁŽƵůĚƐƚƌŽŶŐůǇĞŶĐŽƵƌĂŐĞƚŚĞƉƌĞƐĞƌǀĂƚŝŽŶŽĨdŝĞƌ//ƌĞƐŽƵƌĐĞƐĂŶĚƌĞƋƵŝƌĞƚŚĞƉƌĞƐĞƌǀĂƚŝŽŶ ŽĨdŝĞƌ/ƌĞƐŽƵƌĐĞƐ͘ƐǁĞůů͕ƚŚĞKŶƚĂƌŝŽ'W
/ZĨŽƵŶĚƚŚĂƚǁŚŝůĞŝŵƉĂĐƚƐƚŽĂƌĐŚĞŽůŽŐŝĐĂůƌĞƐŽƵƌĐĞƐǁŽƵůĚ ďĞ ůŽǁ͕ ƚŚĞƌĞ ŝƐ ƚŚĞ ƉŽƚĞŶƚŝĂů ƚŽ ĞŶĐŽƵŶƚĞƌ ƉƌĞǀŝŽƵƐůǇ ƵŶŬŶŽǁŶ ƉĂůĞŽŶƚŽůŽŐŝĐĂů ƌĞƐŽƵƌĐĞƐ͘Ɛ ǁĞůů͕ ĞůůĞǀƵĞĞŵĞƚĞƌǇǁĂƐŝĚĞŶƚŝĨŝĞĚĂƐĂEĂƚŝǀĞŵĞƌŝĐĂŶďƵƌŝĂůƐŝƚĞ͘WŽƚĞŶƚŝĂůŝŵƉĂĐƚƐƚŽEĂƚŝǀĞŵĞƌŝĐĂŶ ƌĞƐŽƵƌĐĞƐǁĞƌĞĨŽƵŶĚƚŽďĞƉŽƚĞŶƚŝĂůůǇƐŝŐŶŝĨŝĐĂŶƚďƵƚŶŽƚƵŶĂǀŽŝĚĂďůĞǁŝƚŚƚŚĞƉƌŽƉĞƌƵƐĞŽĨŵŝƚŝŐĂƚŝŽŶ͘ ϰ͘ϱ͘Ϯ ŶĂůǇƐŝƐŽĨWƌŽƉŽƐĞĚWƌŽũĞĐƚ
ƵůƚƵƌĂůZĞƐŽƵƌĐĞdĞĐŚŶŝĐĂůZĞƉŽƌƚ;ZdZͿǁĂƐĐƌĞĂƚĞĚĨŽƌƚŚĞWƌŽũĞĐƚďǇ^ĂƉƉŚŽƐ ŶǀŝƌŽŶŵĞŶƚĂů͕/ŶĐ͘
ŝŶ ƵŐƵƐƚϮϬϮϭ͘ dŚĞ ƌĞƐƵůƚƐŽĨ ƚŚĞ ZdZĂƌĞ ƐƵŵŵĂƌŝǌĞĚ ŚĞƌĞŝŶ ĂŶĚ ŝŶĐůƵĚĞĚ ĂƐ ƉƉĞŶĚŝǆ ƚŽ ƚŚŝƐ ĚĚĞŶĚƵŵ͘
dŚƌĞƐŚŽůĚ;ĂͿ ĂƵƐĞĂƐƵďƐƚĂŶƚŝĂůĂĚǀĞƌƐĞĐŚĂŶŐĞŝŶƚŚĞƐŝŐŶŝĨŝĐĂŶĐĞŽĨĂŚŝƐƚŽƌŝĐĂůƌĞƐŽƵƌĐĞƉƵƌƐƵĂŶƚ ^ĞĐƚŝŽŶϭϱϬϲϰ͘ϱ͍΀KŶƚĂƌŝŽ'W/ŵƉĂĐƚϱ͘ϱͲϭ΁
dŚƌĞƐŚŽůĚ;ďͿ ĂƵƐĞĂƐƵďƐƚĂŶƚŝĂůĂĚǀĞƌƐĞĐŚĂŶŐĞŝŶƚŚĞƐŝŐŶŝĨŝĐĂŶĐĞŽĨĂŶĂƌĐŚĂĞŽůŽŐŝĐĂůƌĞƐŽƵƌĐĞ ƉƵƌƐƵĂŶƚƚŽ
Y'ƵŝĚĞůŝŶĞƐ^ĞĐƚŝŽŶϭϱϬϲϰ͘ϱ͍΀KŶƚĂƌŝŽ'W/ŵƉĂĐƚϱ͘ϱͲϭĂŶĚϱ͘ϱͲϮ΁ EŽEĞǁŽƌDŽƌĞ^ĞǀĞƌĞ/ŵƉĂĐƚ͗dŚĞKŶƚĂƌŝŽ'WĨŽƵŶĚƚŚĂƚĚĞƐƉŝƚĞƚŚĞŝŵƉůĞŵĞŶƚĂƚŝŽŶŽĨƉŽůŝĐŝĞƐŝŶƚŚĞ KŶƚĂƌŝŽ 'W͕ ƚŚĞƌĞ ǁĂƐ Ɛƚŝůů Ă ƉƌĞƐĞŶƚ ƌŝƐŬ ĨŽƌ ĨƵƚƵƌĞ ĚĞǀĞůŽƉŵĞŶƚƐ ƚŽ ƐŝŐŶŝĨŝĐĂŶƚůǇ ŝŵƉĂĐƚ ŚŝƐƚŽƌŝĐĂů ƌĞƐŽƵƌĐĞƐ͘dŚĞƐĞƌŝƐŬƐ ǁĞƌĞ ĐŽŶĐůƵĚĞĚ ƚŽ ƌĞŵĂŝŶ ƐŝŐŶŝĨŝĐĂŶƚ ĂŶĚ ƵŶĂǀŽŝĚĂďůĞ ĞǀĞŶ ĂĨƚĞƌŵŝƚŝŐĂƚŝŽŶ͘ ,ŽǁĞǀĞƌ͕ĂZdZǁĂƐĐŽŶĚƵĐƚĞĚĨŽƌƚŚĞWƌŽũĞĐƚǁŚŝĐŚŝŶĐůƵĚĞĚďŽƚŚĂĨŝĞůĚƐƵƌǀĞǇŽĨƚŚĞWƌŽũĞĐƚĂƌĞĂĂƐ ǁĞůůĂƐƌĞĐŽƌĚƐĞĂƌĐŚĞƐŽĨƚŚĞĂůŝĨŽƌŶŝĂ,ŝƐƚŽƌŝĐĂůZĞƐŽƵƌĐĞƐ/ŶǀĞŶƚŽƌǇĂƚĂďĂƐĞ;,Z/Ϳ͕ƚŚĞEĂƚŝŽŶĂů ZĞŐŝƐƚĞƌŽĨ ,ŝƐƚŽƌŝĐ WůĂĐĞƐ ;EZ,WͿ͕ ƚŚĞ ĂůŝĨŽƌŶŝĂ ZĞŐŝƐƚĞƌ ŽĨ ,ŝƐƚŽƌŝĐ ZĞƐŽƵƌĐĞƐ ;Z,ZͿ͕ ĂůŝĨŽƌŶŝĂ ,ŝƐƚŽƌŝĐĂů>ĂŶĚŵĂƌŬƐ͕ĂůŝĨŽƌŶŝĂWŽŝŶƚƐŽĨ/ŶƚĞƌĞƐƚ͕ƚŚĞŝƚǇŽĨ^ŝĞƌƌĂDĂĚƌĞ,ŝƐƚŽƌŝĐĂů>ĂŶĚŵĂƌŬƐ͕ĂŶĚƚŚĞ ^ŽƵƚŚĞŶƚƌĂůŽĂƐƚĂů/ŶĨŽƌŵĂƚŝŽŶĞŶƚĞƌ;^/Ϳ͘>ŝƚĞƌĂƚƵƌĞƌĞǀŝĞǁƐǁĞƌĞĂůƐŽĐŽŶĚƵĐƚĞĚƚŽĚĞƚĞƌŵŝŶĞŝĨ ƚŚĞ ƉƌŽƉŽƐĞĚ WƌŽũĞĐƚ ǁŽƵůĚ ŚĂǀĞ ƚŚĞ ƉŽƚĞŶƚŝĂů ƚŽ ŚĂǀĞ Ă ƐŝŐŶŝĨŝĐĂŶƚ ŝŵƉĂĐƚ ŽŶ ƉƌĞǀŝŽƵƐůǇ ƌĞĐŽƌĚĞĚ ŚŝƐƚŽƌŝĐĂůƌĞƐŽƵƌĐĞƐ͘ϲ
dŚĞĨŝĞůĚƐƵƌǀĞǇĐŽŶĚƵĐƚĞĚĨŽƌ ƚŚĞZdZĞŶĐŽƵŶƚĞƌĞĚŶŽ ĐƵůƚƵƌĂůƌĞƐŽƵƌĐĞƐǁŝƚŚŝŶƚŚĞWƌŽũĞĐƚƐŝƚĞƚŚĂƚ ǁŽƵůĚďĞĚĞĞŵĞĚƐƵďƐƚĂŶƚŝĂůŽƌƐŝŐŶŝĨŝĐĂŶƚ͘dŚĞWƌŽũĞĐƚƐŝƚĞǁĂƐŽďƐĞƌǀĞĚĂƐŚĞĂǀŝůǇĚŝƐƚƵƌďĞĚ͕ǁŝƚŚƉŝůĞƐ ŽĨ Ĩŝůů ŵĂƚĞƌŝĂů͕ƌƵďďůĞ ĂŶĚ ŵŽĚĞƌŶ ĐŽŶƐƚƌƵĐƚŝŽŶ ĚĞďƌŝƐ ƐĐĂƚƚĞƌĞĚĂĐƌŽƐƐƚŚĞ ƉƌŽƉĞƌƚǇ͘ϳ ^ŝŵŝůĂƌůǇ͕ ƚŚĞ ƌĞĐŽƌĚƐ ƐĞĂƌĐŚĨŽƌ ƚŚĞ WƌŽũĞĐƚ ƐŝƚĞĨŽƵŶĚ ŶŽ ƐŝŐŶŝĨŝĐĂŶƚ ĐƵůƚƵƌĂů ƌĞƐŽƵƌĐĞƐǁŝƚŚŝŶ ƚŚĞ ƉƌŽũĞĐƚ ƐŝƚĞ Žƌ Ϭ͘ϮϱͲŵŝůĞďƵĨĨĞƌ ƐƚƵĚǇĂƌĞĂ͘ϴ&ƵƌƚŚĞƌŵŽƌĞ͕WƌŽũĞĐƚŝŵƉůĞŵĞŶƚĂƚŝŽŶǁŽƵůĚ ŝŶĐůƵĚĞ ƚŚĞƉƌĞƉĂƌĂƚŝŽŶŽĨ Ă dŝĞƌϯĞƚĞƌŵŝŶĂƚŝŽŶĨŽƌĐŽŶƐŝĚĞƌĂƚŝŽŶďǇƚŚĞ,ŝƐƚŽƌŝĐWƌĞƐĞƌǀĂƚŝŽŶ^ƵďĐŽŵŵŝƚƚĞĞ;,W^ͿĂůŽŶŐǁŝƚŚƚŚĞ ŶĞĐĞƐƐĂƌǇĞƌƚŝĨŝĐĂƚĞŽĨƉƉƌŽƉƌŝĂƚĞŶĞƐƐĞŶƚŝƚůĞŵĞŶƚĂƉƉůŝĐĂƚŝŽŶ;ƐĞĞ^ĞĐƚŝŽŶϮ͘ϰĨŽƌŵŽƌĞĚĞƚĂŝůͿ͘dŚŝƐ ƉƌŽĐĞƐƐǁŽƵůĚĨƵƌƚŚĞƌƌĞĚƵĐĞƚŚĞƉŽƚĞŶƚŝĂůĨŽƌƐƵďƐƚĂŶƚŝĂůŝŵƉĂĐƚƐ͘ ϵDŝƚŝŐĂƚŝŽŶŝƐĂůƐŽƉƌŽƉŽƐĞĚŝŶŽƌĚĞƌ ϲ
^ĂƉƉŚŽƐ
ŶǀŝƌŽŶŵĞŶƚĂů͕/ŶĐ͘;ϮϬϮϭͿ͘ϭϵϰϴ^͘ŽŶsŝĞǁǀĞŶƵĞ͕KŶƚĂƌŝŽ͕ĂůŝĨŽƌŶŝĂ ƵůƚƵƌĂů ZĞƐŽƵƌĐĞƐdĞĐŚŶŝĐĂůZĞƉŽƌƚ͘WĂŐĞϮϭ͘ ϳ /ďŝĚ͘WĂŐĞϮϮ͘
ϴ
/ďŝĚ͘WĂŐĞϮϰ͘
ϵ
/ďŝĚWĂŐĞϮϱ͘
280
(QYLURQPHQWDO,PSDFW$QDO\VLV
dŚĞKŶƚĂƌŝŽWůĂŶ
/Z ϰϭ ŽŶsŝĞǁWƌŽũĞĐƚ
ĚĚĞŶĚƵŵƚŽƚŚĞ&ŝŶĂů
ŶǀŝƌŽŶŵĞŶƚĂů/ŵƉĂĐƚZĞƉŽƌƚ
ƚŽ ĨƵƌƚŚĞƌ ŵŝŶŝŵŝǌĞ ƉŽƚĞŶƚŝĂů ŝŵƉĂĐƚƐ͘tŝƚŚ ŵŝƚŝŐĂƚŝŽŶ ŝŵƉůĞŵĞŶƚĞĚ͕ ŝŵƉĂĐƚƐ ǁŽƵůĚ ďĞ ůĞƐƐ ƚŚĂŶ ƐŝŐŶŝĨŝĐĂŶƚ͘
DŝƚŝŐĂƚŝŽŶWƌŽŐƌĂŵ
DŝƚŝŐĂƚŝŽŶDĞĂƐƵƌĞƐĨƌŽŵƚŚĞKŶƚĂƌŝŽ'W
/Z
DŝƚŝŐĂƚŝŽŶŵĞĂƐƵƌĞƐϱͲϭ ƚŚƌŽƵŐŚ ϱͲϰ ǁĞƌĞƉƌŽƉŽƐĞĚ ǁŝƚŚŝŶ ƚŚĞKŶƚĂƌŝŽ 'W /ZƚŽŵŝƚŝŐĂƚĞƉŽƚĞŶƚŝĂů
ŝŵƉĂĐƚƐ͘,ŽǁĞǀĞƌ͕ŵŝƚŝŐĂƚŝŽŶŵĞĂƐƵƌĞϱͲϭŝƐŶŽƚĂƉƉůŝĐĂďůĞƐŝŶĐĞƚŚĞWƌŽũĞĐƚŝƐŶŽƚǁŝƚŚŝŶĂ&ŽĐƵƐĂƌĞĂĂƐ ĚĞŵĂƌĐĂƚĞĚďǇ&ŝŐƵƌĞϯͲϰ ŽĨ ƚŚĞKŶƚĂƌŝŽ'W
/Z͘ƐǁĞůů͕ŵŝƚŝŐĂƚŝŽŶŵĞĂƐƵƌĞƐϱͲϮƚŚƌŽƵŐŚϱͲϰĂƌĞŶŽƚ ĂƉƉůŝĐĂďůĞƚŽƚŚĞWƌŽũĞĐƚ͕ƐŝŶĐĞŶĞŝƚŚĞƌĂ^ƉĞĐŝĨŝĐWůĂŶŽƌ'ĞŶĞƌĂůWůĂŶŵĞŶĚŵĞŶƚĂƌĞƉƌŽƉŽƐĞĚĂƐƉĂƌƚ ŽĨƚŚĞWƌŽũĞĐƚĂŶĚŶŽƐŝŐŶƐŽĨĐƵůƚƵƌĂůŽƌŚŝƐƚŽƌŝĐĂůƌĞƐŽƵƌĐĞƐǁĞƌĞŝĚĞŶƚŝĨŝĞĚŝŶŽƌĂƌŽƵŶĚƚŚĞWƌŽũĞĐƚƐŝƚĞ͘ ŽŶĐůƵƐŝŽŶ
dŚĞWƌŽũĞĐƚǁŽƵůĚ ƌĞƐƵůƚŝŶ ŶŽŶĞǁŽƌŵŽƌĞƐĞǀĞƌĞŝŵƉĂĐƚŽŶ ĂŚŝƐƚŽƌŝĐŽƌĂƌĐŚĂĞŽůŽŐŝĐĂůƌĞƐŽƵƌĐĞ͘EŽ ŶĞǁŽƌŵŽƌĞƐĞǀĞƌĞŝŵƉĂĐƚĨƌŽŵ ƉƌĞǀŝŽƵƐůǇ ŝĚĞŶƚŝĨŝĞĚ ƐŝŐŶŝĨŝĐĂŶƚŝŵƉĂĐƚƐĞǀĂůƵĂƚĞĚŝŶ ƚŚĞ KŶƚĂƌŝŽ'W ǁŽƵůĚŽĐĐƵƌ͘&ƵƌƚŚĞƌŵŽƌĞ͕ŶŽŶĞǁŝŶĨŽƌŵĂƚŝŽŶŽĨƐƵďƐƚĂŶƚŝĂůŝŵƉŽƌƚĂŶĐĞƚŚĂƚǁĂƐŶŽƚŬŶŽǁŶĂŶĚĐŽƵůĚ ŶŽƚŚĂǀĞďĞĞŶŬŶŽǁŶ ĂƚƚŚĞƚŝŵĞƚŚĞKŶƚĂƌŝŽ'WǁĂƐĐĞƌƚŝĨŝĞĚŝƐĂǀĂŝůĂďůĞƚŚĂƚǁŽƵůĚ ŝŵƉĂĐƚƚŚĞƉƌŝŽƌ ĨŝŶĚŝŶŐ ŽĨ ůĞƐƐ ƚŚĂŶ ƐŝŐŶŝĨŝĐĂŶƚ ŝŵƉĂĐƚ ǁŝƚŚ ŵŝƚŝŐĂƚŝŽŶ ƵŶĚĞƌ ƚŚŝƐ ƚŚƌĞƐŚŽůĚ͘ dŚĞ ĂďŽǀĞ ͲƌĞĨĞƌĞŶĐĞĚ ŵŝƚŝŐĂƚŝŽŶŵĞĂƐƵƌĞƐĨƌŽŵƚŚĞKŶƚĂƌŝŽ'W
/ZĂƌĞĂƉƉůŝĐĂďůĞ͘
dŚƌĞƐŚŽůĚ;ĐͿ ŝƌĞĐƚůǇ Žƌ ŝŶĚŝƌĞĐƚůǇ ĚĞƐƚƌŽǇĂ ƵŶŝƋƵĞ ƉĂůĞŽŶƚŽůŽŐŝĐĂůƌĞƐŽƵƌĐĞŽƌ ƐŝƚĞ Žƌ ƵŶŝƋƵĞ ŐĞŽůŽŐŝĐĨĞĂƚƵƌĞ͘΀KŶƚĂƌŝŽ'W/ŵƉĂĐƚϱ͘ϱͲϮ΁΀EŽůŽŶŐĞƌŝŶĐůƵĚĞĚŝŶƚŚŝƐƐĞĐƚŝŽŶƉĞƌƚŚĞ ϮϬϮϭ
YƉƉĞŶĚŝǆ'dŚƌĞƐŚŽůĚƐ΁
EŽ ŶĞǁ ŽƌDŽƌĞ ^ŝŐŶŝĨŝĐĂŶƚ/ŵƉĂĐƚ͗WĂůĞŽŶƚŽůŽŐŝĐĂů ƌĞƐŽƵƌĐĞƐĂŶĚ ŐĞŽůŽŐŝĐ ĨĞĂƚƵƌĞƐĂƌĞ ĚŝƐĐƵƐƐĞĚ ĚŝƐĐƵƐƐŝŽŶϰ͘ϲ;ĨͿďĞůŽǁ͘
dŚƌĞƐŚŽůĚ;ĚͿ ŝƐƚƵƌďĂŶǇŚƵŵĂŶƌĞŵĂŝŶƐ͕ŝŶĐůƵĚŝŶŐƚŚŽƐĞŝŶƚĞƌƌĞĚŽƵƚƐŝĚĞŽĨĨŽƌŵĂů ĐĞŵĞƚĞƌŝĞƐ͍ ΀KŶƚĂƌŝŽ'W/ŵƉĂĐƚϱ͘ϱͲϯ΁
EŽŶĞǁŽƌDŽƌĞ^ŝŐŶŝĨŝĐĂŶƚ/ŵƉĂĐƚ͗dŚĞZdZĨŽƵŶĚƚŚĂƚŶŽĐĞŵĞƚĞƌŝĞƐŽƌďƵƌŝĂůƐŝƚĞƐǁĞƌĞŽďƐĞƌǀĞĚĂƐ Ă ƌĞƐƵůƚ ŽĨ ƚŚĞ ƌĞǀŝĞǁ ŽĨ ŚŝƐƚŽƌŝĐ ĂĞƌŝĂů ƉŚŽƚŽŐƌĂƉŚƐĂŶĚ ŚŝƐƚŽƌŝĐ ƚŽƉŽŐƌĂƉŚŝĐŵĂƉƐ͘ Ɛ ǁĞůů͕ ŝƚ ǁĂƐ ĚĞƚĞƌŵŝŶĞĚ ƚŚĂƚ ƚŚĞ ƉŽƚĞŶƚŝĂů ƚŽ ĞŶĐŽƵŶƚĞƌ ŚƵŵĂŶ ƌĞŵĂŝŶƐ ǁĞƌĞ ůŽǁ ďĂƐĞĚ ŽŶ ƚŚĞ ŝŶŚĞƌĞŶƚ ĐŚĂƌĂĐƚĞƌŝƐƚŝĐƐĂŶĚůŽĐĂƚŝŽŶŽĨƚŚĞWƌŽũĞĐƚĂƌĞĂ͘,ŽǁĞǀĞƌ͕ƚƌŝďĂůĐƵůƚƵƌĂůƌĞƐŽƵƌĐĞƐŵĂǇďĞĞŶĐŽƵŶƚĞƌĞĚ ĚƵƌŝŶŐŐƌŽƵŶĚŵŽǀŝŶŐĂĐƚŝǀŝƚŝĞƐ͘/ŶŽƌĚĞƌƚŽŵŝŶŝŵŝǌĞƉŽƚĞŶƚŝĂůŝŵƉĂĐƚƐ͕ƚŚĞWƌŽũĞĐƚǁŽƵůĚŝŶĐŽƌƉŽƌĂƚĞ ^ƚĂŶĚĂƌĚŽŶĚŝƚŝŽŶEŽ͘ϭĨƌŽŵWƵďůŝĐZĞƐŽƵƌĐĞƐŽĚĞ^ĞĐƚŝŽŶϱϬϵϳ͘dŚŝƐǁŽƵůĚĂůůŽǁŝŵƉĂĐƚƐƚŽƌĞŵĂŝŶ ůĞƐƐƚŚĂŶƐŝŐŶŝĨŝĐĂŶƚ͘
281
(QYLURQPHQWDO,PSDFW$QDO\VLV
dŚĞKŶƚĂƌŝŽWůĂŶ
/Z ϰϮ ŽŶsŝĞǁWƌŽũĞĐƚ
ĚĚĞŶĚƵŵƚŽƚŚĞ&ŝŶĂů
ŶǀŝƌŽŶŵĞŶƚĂů/ŵƉĂĐƚZĞƉŽƌƚ
DŝƚŝŐĂƚŝŽŶWƌŽŐƌĂŵ
DŝƚŝŐĂƚŝŽŶDĞĂƐƵƌĞƐĨƌŽŵƚŚĞKŶƚĂƌŝŽ'W
/Z
EŽ ŵŝƚŝŐĂƚŝŽŶŵĞĂƐƵƌĞƐĂƌĞ ƉƌŽƉŽƐĞĚ ǁŝƚŚŝŶ ƚŚĞ KŶƚĂƌŝŽ 'W /Z͘,ŽǁĞǀĞƌ͕ ĐŽŵƉůŝĂŶĐĞ ǁŝƚŚ WƵďůŝĐ
ZĞƐŽƵƌĐĞƐŽĚĞ^ĞĐƚŝŽŶϱϬϵϳ͘ϵϴ;^ƚĂŶĚĂƌĚŽŶĚŝƚŝŽŶEŽ͘ϭƐŚŽǁŶďĞůŽǁͿŝƐƉƌŽƉŽƐĞĚŝŶƚŚĞKŶƚĂƌŝŽ'W

/ZƚŽĞŶƐƵƌĞŶŽƐŝŐŶŝĨŝĐĂŶƚŝŵƉĂĐƚƐ͘
^ƚĂŶĚĂƌĚŽŶĚŝƚŝŽŶEŽ͘ϭ
/ĨƚŚĞŽƵŶƚǇŽƌŽŶĞƌĚĞƚĞƌŵŝŶĞƐƚŚĂƚƚŚĞƌĞŵĂŝŶƐĂƌĞŽƌĂƌĞďĞůŝĞǀĞĚƚŽďĞEĂƚŝǀĞŵĞƌŝĐĂŶ͕ ƐͬŚĞ ƐŚĂůů ŶŽƚŝĨǇ ƚŚĞ EĂƚŝǀĞ ŵĞƌŝĐĂŶ ,ĞƌŝƚĂŐĞ ŽŵŵŝƐƐŝŽŶ ;E,Ϳ ŝŶ ^ĂĐƌĂŵĞŶƚŽ ǁŝƚŚŝŶ ϮϰŚŽƵƌƐ͘/ŶĂĐĐŽƌĚĂŶĐĞǁŝƚŚ^ĞĐƚŝŽŶϱϬϵϳ͘ϵϴŽĨƚŚĞĂůŝĨŽƌŶŝĂ WZ͕ƚŚĞE,ƐŚĂůůŝŵŵĞĚŝĂƚĞůǇ ŶŽƚŝĨǇ ƚŚĞ ƉĞƌƐŽŶ;ƐͿ ŝƚ ďĞůŝĞǀĞƐ ƚŽ ďĞ ƚŚĞ DŽƐƚ >ŝŬĞůǇ ĞƐĐĞŶĚĂŶƚ ŽĨ ƚŚĞ ĚĞĐĞĂƐĞĚEĂƚŝǀĞ ŵĞƌŝĐĂŶ͘dŚĞĚĞƐĐĞŶĚĂŶƚƐƐŚĂůůĐŽŵƉůĞƚĞƚŚĞŝƌŝŶƐƉĞĐƚŝŽŶĂŶĚŵĂŬĞĂƌĞĐŽŵŵĞŶĚĂƚŝŽŶǁŝƚŚŝŶ ϰϴŚŽƵƌƐŽĨ ďĞŝŶŐ ŐƌĂŶƚĞĚ ĂĐĐĞƐƐƚŽƚŚĞƐŝƚĞ͘dŚĞĚĞƐŝŐŶĂƚĞĚEĂƚŝǀĞŵĞƌŝĐĂŶƌĞƉƌĞƐĞŶƚĂƚŝǀĞ ǁŽƵůĚ ƚŚĞŶ ĚĞƚĞƌŵŝŶĞ͕ ŝŶ ĐŽŶƐƵůƚĂƚŝŽŶ ǁŝƚŚ ƚŚĞ >ŽƐ ŶŐĞůĞƐ ŽƵŶƚǇ DĞƚƌŽƉŽůŝƚĂŶ dƌĂŶƐƉŽƌƚĂƚŝŽŶ ƵƚŚŽƌŝƚǇ ;DĞƚƌŽͿ͕ ƚŚĞ ĚŝƐƉŽƐŝƚŝŽŶ ŽĨ ƚŚĞ ŚƵŵĂŶ ƌĞŵĂŝŶƐ͘ dŚĞ DŽƐƚ >ŝŬĞůǇ ĞƐĐĞŶĚĂŶƚ͛ƐƌĞĐŽŵŵĞŶĚĂƚŝŽŶƐŚĂůůďĞĨŽůůŽǁĞĚ ŝĨĨĞĂƐŝďůĞĂŶĚŵĂǇŝŶĐůƵĚĞƐĐŝĞŶƚŝĨŝĐƌĞŵŽǀĂů ĂŶĚ ŶŽŶͲĚĞƐƚƌƵĐƚŝǀĞ ĂŶĂůǇƐŝƐ ŽĨ ƚŚĞ ŚƵŵĂŶ ƌĞŵĂŝŶƐ ĂŶĚ ĂŶǇ ŝƚĞŵƐ ĂƐƐŽĐŝĂƚĞĚ ǁŝƚŚ EĂƚŝǀĞ ŵĞƌŝĐĂŶďƵƌŝĂůƐ͘/ĨDĞƚƌŽƌĞũĞĐƚƐƚŚĞDŽƐƚ>ŝŬĞůǇĞƐĐĞŶĚĂŶƚ͛ƐƌĞĐŽŵŵĞŶĚĂƚŝŽŶƐ͕ƚŚĞĂŐĞŶĐǇ ƐŚĂůůƌĞďƵƌǇƚŚĞƌĞŵĂŝŶƐǁŝƚŚĂƉƉƌŽƉƌŝĂƚĞ ĚŝŐŶŝƚǇŽŶƚŚĞƉƌŽƉĞƌƚǇŝŶĂůŽĐĂƚŝŽŶƚŚĂƚǁŝůůŶŽƚďĞ ƐƵďũĞĐƚƚŽĨƵƌƚŚĞƌƐƵďƐƵƌĨĂĐĞĚŝƐƚƵƌďĂŶĐĞ;ϭϰĂůŝĨŽƌŶŝĂ ŽĚĞŽĨZĞŐƵůĂƚŝŽŶƐΑϭϱϬϲϰ͘ϱ;ĞͿͿ͘ ŽŶĐůƵƐŝŽŶ
dŚĞ WƌŽũĞĐƚ ǁŽƵůĚ ƌĞƐƵůƚŝŶ ŶŽ ŶĞǁ Žƌ ŵŽƌĞ ƐĞǀĞƌĞŝŵƉĂĐƚ ƉĞƌƚĂŝŶŝŶŐ ƚŽ ƚŚĞ ĚŝƐƚƵƌďĂŶĐĞ ŽĨ ŚƵŵĂŶ ƌĞŵĂŝŶƐ͘dŚĞ WƌŽũĞĐƚ ŝƐ ĐŽŶƐŝƐƚĞŶƚ ǁŝƚŚ ƚŚĞ KŶƚĂƌŝŽ 'W /Z͘dŚĞ ZdZĚŝĚ ŶŽƚ ĨŝŶĚ ŶĞǁ ƉŽƚĞŶƚŝĂůůǇ
ƐŝŐŶŝĨŝĐĂŶƚŝŵƉĂĐƚƐĂƐƐŽĐŝĂƚĞĚǁŝƚŚƚŚĞWƌŽũĞĐƚƌĞŐĂƌĚŝŶŐŚŝƐƚŽƌŝĐĂůŽƌĂƌĐŚĂĞŽůŽŐŝĐĂůƌĞƐŽƵƌĐĞ͕ŽƌŚƵŵĂŶ ƌĞŵĂŝŶƐ͖ƚŚĞƌĞĨŽƌĞ͕ŶŽŵŝƚŝŐĂƚŝŽŶŵĞĂƐƵƌĞƐĂƌĞƌĞƋƵŝƌĞĚ͕ďƵƚƚŚĞWƌŽũĞĐƚŵƵƐƚĐŽŵƉůǇǁŝƚŚƚŚĞĂďŽǀĞ ƌĞĨĞƌĞŶĐĞĚĂƉƉůŝĐĂďůĞ&
/ZŵŝƚŝŐĂƚŝŽŶŵĞĂƐƵƌĞƐ͘
KǀĞƌĂůůƵůƚƵƌĂůZĞƐŽƵƌĐĞƐ/ŵƉĂĐƚƐŽŶĐůƵƐŝŽŶ
tŝƚŚƌĞŐĂƌĚƚŽ
Y^ƚĂƚƵƚĞ^ĞĐƚŝŽŶϮϭϭϲϲĂŶĚ
Y'ƵŝĚĞůŝŶĞƐ^ĞĐƚŝŽŶϭϱϭϲϮ;ĂͿ͕ƚŚĞĐŚĂŶŐĞƐƉƌŽƉŽƐĞĚ
ďǇ ƚŚĞWƌŽũĞĐƚǁŽƵůĚŶŽƚ ƌĞƐƵůƚŝŶ ĂŶǇŶĞǁŽƌŵŽƌĞƐĞǀĞƌĞŝŵƉĂĐƚƐǁŝƚŚƌĞƐƉĞĐƚƚŽĐƵůƚƵƌĂůƌĞƐŽƵƌĐĞƐ͘ dŚĞƌĞĨŽƌĞ͕ƉƌĞƉĂƌĂƚŝŽŶŽĨĂŶ^
/ZŝƐŶŽƚǁĂƌƌĂŶƚĞĚ͘

282
(QYLURQPHQWDO,PSDFW$QDO\VLV
dŚĞKŶƚĂƌŝŽWůĂŶ
/Z ϰϯ ŽŶsŝĞǁWƌŽũĞĐƚ
ĚĚĞŶĚƵŵƚŽƚŚĞ&ŝŶĂů
ŶǀŝƌŽŶŵĞŶƚĂů/ŵƉĂĐƚZĞƉŽƌƚ
ϰ͘ϲ 'ĞŽůŽŐǇĂŶĚ^ŽŝůƐ
ϰ͘ϲ͘ϭ ^ƵŵŵĂƌǇŽĨWƌĞǀŝŽƵƐ
ŶǀŝƌŽŶŵĞŶƚĂůŶĂůǇƐŝƐ
dŚĞ KŶƚĂƌŝŽ 'W
/ZĐŽŶĐůƵĚĞĚ ƚŚĂƚŝŵƉůĞŵĞŶƚĂƚŝŽŶ ŽĨ ƚŚĞ KŶƚĂƌŝŽ 'W ǁŽƵůĚ ŶŽƚ ƌĞƐƵůƚŝŶ ƐŝŐŶŝĨŝĐĂŶƚ ŝŵƉĂĐƚƐƌĞůĂƚŝǀĞƚŽŐĞŽůŽŐǇĂŶĚƐŽŝůƐ͕ĂŶĚŶŽŵŝƚŝŐĂƚŝŽŶǁĂƐŝĚĞŶƚŝĨŝĞĚĂƐŶĞĐĞƐƐĂƌǇƚŽƌĞĚƵĐĞƉŽƚĞŶƚŝĂů ŝŵƉĂĐƚƐ͘
ϰ͘ϲ͘Ϯ ŶĂůǇƐŝƐŽĨWƌŽƉŽƐĞĚWƌŽũĞĐƚ
dŚƌĞƐŚŽůĚ;ĂͿ ŝƌĞĐƚůǇŽƌŝŶĚŝƌĞĐƚůǇĐĂƵƐĞƉŽƚĞŶƚŝĂůƐƵďƐƚĂŶƚŝĂůĂĚǀĞƌƐĞĞĨĨĞĐƚƐ͕ŝŶĐůƵĚŝŶŐƚŚĞƌŝƐŬůŽƐƐ͕ ŝŶũƵƌǇ͕ŽƌĚĞĂƚŚŝŶǀŽůǀŝŶŐ͗
;ŝͿ ZƵƉƚƵƌĞŽĨĂŬŶŽǁŶĞĂƌƚŚƋƵĂŬĞĨĂƵůƚ͕ĂƐĚĞůŝŶĞĂƚĞĚŽŶƚŚĞŵŽƐƚƌĞĐĞŶƚůƋƵŝƐƚͲ WƌŝŽůŽ
ĂƌƚŚƋƵĂŬĞ&ĂƵůƚŽŶŝŶŐDĂƉŝƐƐƵĞĚďǇƚŚĞ^ƚĂƚĞ'ĞŽůŽŐŝƐƚĨŽƌƚŚĞĂƌĞĂŽƌ ďĂƐĞĚŽŶŽƚŚĞƌƐƵďƐƚĂŶƚŝĂůĞǀŝĚĞŶĐĞŽĨĂŬŶŽǁŶĨĂƵůƚ͍ZĞĨĞƌƚŽŝǀŝƐŝŽŶŽĨDŝŶĞƐ ĂŶĚ'ĞŽůŽŐǇ^ƉĞĐŝĂůWƵďůŝĐĂƚŝŽŶϰϮ͘΀KŶƚĂƌŝŽ'W
/Z/ŵƉĂĐƚϱ͘ϳͲϭ΁
;ŝŝͿ ^ƚƌŽŶŐƐĞŝƐŵŝĐŐƌŽƵŶĚƐŚĂŬŝŶŐ͍΀KŶƚĂƌŝŽ'W
/Z/ŵƉĂĐƚϱ͘ϳͲϭ΁
;ŝŝŝͿ ^ĞŝƐŵŝĐͲƌĞůĂƚĞĚŐƌŽƵŶĚĨĂŝůƵƌĞ͕ŝŶĐůƵĚŝŶŐůŝƋƵĞĨĂĐƚŝŽŶ͍΀KŶƚĂƌŝŽ'W /Z/ŵƉĂĐƚϱ͘ϳͲϭ΁
;ŝǀͿ >ĂŶĚƐůŝĚĞƐ͍΀EŽƚĂŶĂůǇǌĞĚŝŶƚŚĞKŶƚĂƌŝŽ'W
/Z΁
&ĂƵůƚŝŶŐĂŶĚ^ĞŝƐŵŝĐŝƚǇ
EŽEĞǁŽƌDŽƌĞ^ĞǀĞƌĞ/ŵƉĂĐƚ͗dŚĞůƋƵŝƐƚͲWƌŝŽůŽŽŶĞƐ^ƉĞĐŝĂů^ƚƵĚŝĞƐĐƚĚĞĨŝŶĞƐĂĐƚŝǀĞĨĂƵůƚƐĂƐƚŚŽƐĞ ƚŚĂƚŚĂǀĞĞǆƉĞƌŝĞŶĐĞĚƐƵƌĨĂĐĞĚŝƐƉůĂĐĞŵĞŶƚŽƌŵŽǀĞŵĞŶƚĚƵƌŝŶŐƚŚĞůĂƐƚϭϭ͕ϬϬϬǇĞĂƌƐ͘dŚĞKŶƚĂƌŝŽ'W

/ZŝĚĞŶƚŝĨŝĞƐĞŝŐŚƚĨĂƵůƚǌŽŶĞƐŶĞĂƌƚŚĞŝƚǇ͘ĐĐŽƌĚŝŶŐƚŽƚŚĞKŶƚĂƌŝŽ'W /Z͕ŶŽŶĞĞǆŝƐƚďĞŶĞĂƚŚƚŚĞ
WƌŽũĞĐƚĂƌĞĂďŽƵŶĚĂƌŝĞƐ͘ĐĐŽƌĚŝŶŐƚŽ &ŝŐƵƌĞϱ͘ϳͲϮŽĨ ƚŚĞKŶƚĂƌŝŽ'W /ZƚŚĞŶĞĂƌĞƐƚĨĂƵůƚ ůŝŶĞ ƚŽƚŚĞ
WƌŽũĞĐƚƐŝƚĞŝƐƚŚĞŚŝŶŽĞŶƚƌĂůsĂůůĞǇ&ĂƵůƚ͕ůŽĐĂƚĞĚĂƉƉƌŽǆŝŵĂƚĞůǇĨŝǀĞŵŝůĞƐƐŽƵƚŚǁĞƐƚŽĨƚŚĞWƌŽũĞĐƚ ƐŝƚĞ͘&ƵƌƚŚĞƌŵŽƌĞ͕ĂůůĚĞǀĞůŽƉŵĞŶƚǁŽƵůĚĐŽŵƉůǇǁŝƚŚƚŚĞĂƉƉůŝĐĂďůĞ&ĞĚĞƌĂů͕^ƚĂƚĞ͕ĂŶĚůŽĐĂůƌĞŐƵůĂƚŝŽŶƐ ƌĞŐĂƌĚŝŶŐƐĞŝƐŵŝĐŝƚǇĂŶĚĨĂƵůƚŚĂǌĂƌĚƐƐƵĐŚĂƐƚŚĞĂůŝĨŽƌŶŝĂƵŝůĚŝŶŐŽĚĞ;ͿǁŚŝĐŚǁĂƐĂĚŽƉƚĞĚŽŶ :ĂŶƵĂƌǇϭ͕ϮϬϮϬ͘dŚĞŝŶĐůƵĚĞƐ ĚĞƚĂŝůĞĚĚĞƐŝŐŶƌĞƋƵŝƌĞŵĞŶƚƐƌĞůĂƚĞĚƚŽ ƐƚƌƵĐƚƵƌĂůĚĞƐŝŐŶ͕ƐŽŝůƐ ĂŶĚ ĨŽƵŶĚĂƚŝŽŶƐ͕ĂŶĚŐƌĂĚŝŶŐƚŽĞŶƐƵƌĞƚŚĂƚƉƵďůŝĐƐĂĨĞƚǇƌŝƐŬƐĚƵĞƚŽƐĞŝƐŵŝĐƐŚĂŬŝŶŐĂƌĞŵŝŶŝŵŝǌĞĚƚŽůĞǀĞůƐ ďĞůŽǁƐŝŐŶŝĨŝĐĂŶƚ͘
>ŝƋƵĞĨĂĐƚŝŽŶĂŶĚ>ĂŶĚƐůŝĚĞƐ
EŽEĞǁŽƌDŽƌĞ^ĞǀĞƌĞ/ŵƉĂĐƚ͗dŚĞŐĞŶĞƌĂůůŝƋƵĞĨĂĐƚŝŽŶƐƵƐĐĞƉƚŝďŝůŝƚǇŽĨƚŚĞƐŝƚĞǁĂƐĚĞƚĞƌŵŝŶĞĚďǇ ƌĞƐĞĂƌĐŚŽĨƚŚĞ^ĂŶĞƌŶĂƌĚŝŶŽŽƵŶƚǇKĨĨŝĐŝĂů>ĂŶĚhƐĞWůĂŶ͕'ĞŶĞƌĂůWůĂŶ͕ĂŶĚ'ĞŽůŽŐŝĐ,ĂǌĂƌĚKǀĞƌůĂǇ͘ DĂƉ&,ϮϳϭϬĨŽƌƚŚĞŚŝŶŽh^'^ƋƵĂĚƌĂŶŐůĞŝŶĚŝĐĂƚĞƐƚŚĂƚƚŚĞWƌŽũĞĐƚƐŝƚĞŝƐŶŽƚůŽĐĂƚĞĚǁŝƚŚŝŶĂŶĂƌĞĂ ŽĨůŝƋƵĞĨĂĐƚŝŽŶŽƌůĂŶĚƐůŝĚĞƐƵƐĐĞƉƚŝďŝůŝƚǇ͘ĂƐĞĚŽŶƚŚĞŵĂƉƉŝŶŐƉĞƌĨŽƌŵĞĚďǇƚŚĞŽƵŶƚǇ͕ůŝƋƵĞĨĂĐƚŝŽŶŝƐ ŶŽƚĐŽŶƐŝĚĞƌĞĚƚŽďĞĂĚĞƐŝŐŶĐŽŶĐĞƌŶĨŽƌƚŚŝƐWƌŽũĞĐƚ͘ ϭϬ^ĂŶĞƌŶĂƌĚŝŶŽŽƵŶƚǇ'ĞŶĞƌĂůWůĂŶ͘ϮϬϬϳ͘'ĞŽůŽŐŝĐ,ĂǌĂƌĚKǀĞƌůĂǇƐ͘ǀĂŝůĂďůĞĂƚ ŚƚƚƉ͗ͬͬǁǁǁ͘ƐďĐŽƵŶƚǇ͘ŐŽǀͬhƉůŽĂĚƐͬůƵƐͬ'ĞŽ,ĂǌDĂƉƐͬ&,ϮϳͺϮϬϭϬϬϯϬϵ͘ƉĚĨ͘ ĐĐĞƐƐĞĚƵŐƵƐƚϴ͕ϮϬϮϭ 283
(QYLURQPHQWDO,PSDFW$QDO\VLV
dŚĞKŶƚĂƌŝŽWůĂŶ
/Z ϰϰ ŽŶsŝĞǁWƌŽũĞĐƚ
ĚĚĞŶĚƵŵƚŽƚŚĞ&ŝŶĂů
ŶǀŝƌŽŶŵĞŶƚĂů/ŵƉĂĐƚZĞƉŽƌƚ
DŝƚŝŐĂƚŝŽŶWƌŽŐƌĂŵ
DŝƚŝŐĂƚŝŽŶDĞĂƐƵƌĞƐĨƌŽŵƚŚĞKŶƚĂƌŝŽ'W
/Z
EŽŶĞŝĚĞŶƚŝĨŝĞĚŝŶƚŚĞKŶƚĂƌŝŽ'W
/Z͘
ŽŶĐůƵƐŝŽŶ
dŚĞWƌŽũĞĐƚǁŽƵůĚƌĞƐƵůƚŝŶŶŽŶĞǁŽƌŵŽƌĞƐĞǀĞƌĞŝŵƉĂĐƚĚƵĞƚŽƐƵƐĐĞƉƚŝďŝůŝƚǇƚŽůĂŶĚƐůŝĚĞ͕ůŝƋƵĞĨĂĐƚŝŽŶ͕ ŽƌƐĞŝƐŵŝĐĞĨĨĞĐƚƐ͘ůĞƐƐƚŚĂŶƐŝŐŶŝĨŝĐĂŶƚŝŵƉĂĐƚǁĂƐŝĚĞŶƚŝĨŝĞĚŝŶƚŚĞKŶƚĂƌŝŽ'W /Z͘dŚĞWƌŽũĞĐƚǁŽƵůĚ
ďĞĚĞƐŝŐŶĞĚĐŽŶƐŝƐƚĞŶƚǁŝƚŚƚŚĞĂƉƉůŝĐĂďůĞŐƵŝĚĞůŝŶĞƐĂŶĚƐƚĂŶĚĂƌĚƐǁŝƚŚŝŶƚŚĞKŶƚĂƌŝŽ'W͕KŶƚĂƌŝŽD͕ ĂŶĚKŶƚĂƌŝŽĞǀĞůŽƉŵĞŶƚŽĚĞ͘dŚĞƌĞĨŽƌĞ͕ŶŽŶĞǁĂŶĚͬŽƌŵŽĚŝĨŝĞĚŵŝƚŝŐĂƚŝŽŶŵĞĂƐƵƌĞƐĂƌĞƌĞƋƵŝƌĞĚĨŽƌ ŝƐƐƵĞƐƌĞůĂƚĞĚƚŽŐĞŽůŽŐŝĐĂůŚĂǌĂƌĚƐ͘
dŚƌĞƐŚŽůĚ;ďͿ ZĞƐƵůƚŝŶƐƵďƐƚĂŶƚŝĂůĞƌŽƐŝŽŶŽƌůŽƐƐŽĨƚŽƉƐŽŝů͍΀KŶƚĂƌŝŽ'W /Z/ŵƉĂĐƚϱ͘ϳͲϮ΁
dŚƌĞƐŚŽůĚ;ĐͿ ĞůŽĐĂƚĞĚŽŶĂŐĞŽůŽŐŝĐƵŶŝƚŽƌƐŽŝůƚŚĂƚŝƐƵŶƐƚĂďůĞ͕ŽƌƚŚĂƚǁŽƵůĚďĞĐŽŵĞƵŶƐƚĂďůĞĂƐ Ă ƌĞƐƵůƚ ŽĨ ƚŚĞ WƌŽũĞĐƚ͕ ĂŶĚ ƉŽƚĞŶƚŝĂůůǇ ƌĞƐƵůƚ ŝŶ ŽŶ Ͳ Žƌ ŽĨĨͲƐŝƚĞ ůĂŶĚƐůŝĚĞ͕ ůĂƚĞƌĂů ƐƉƌĞĂĚŝŶŐ͕ƐƵďƐŝĚĞŶĐĞ͕ůŝƋƵĞĨĂĐƚŝŽŶŽƌĐŽůůĂƉƐĞ͍΀KŶƚĂƌŝŽ'W /Z/ŵƉĂĐƚϱ͘ϳͲϮ΁
dŚƌĞƐŚŽůĚ;ĚͿ ĞůŽĐĂƚĞĚŽŶĞǆƉĂŶƐŝǀĞƐŽŝů͕ĂƐĚĞĨŝŶĞĚŝŶdĂďůĞϭϴͲϭͲŽĨƚŚĞhŶŝĨŽƌŵƵŝůĚŝŶŐŽĚĞ͕ ĐƌĞĂƚŝŶŐ ƐƵďƐƚĂŶƚŝĂů ĚŝƌĞĐƚ Žƌ ŝŶĚŝƌĞĐƚ ƌŝƐŬƐ ƚŽ ůŝĨĞ Žƌ ƉƌŽƉĞƌƚǇ͍ ΀KŶƚĂƌŝŽ'W /Z
/ŵƉĂĐƚϱ͘ϳͲϮ΁
EŽEĞǁŽƌDŽƌĞ^ĞǀĞƌĞ/ŵƉĂĐƚ͗dŚĞKŶƚĂƌŝŽ'W
/ZĐŽŶĐůƵĚĞĚƚŚĂƚƐŽŝůƐǁŝƚŚŝŶƚŚĞŝƚǇŚĂǀĞƚŚĞƉŽƚĞŶƚŝĂů ƚŽŐĞŶĞƌĂƚĞŚĂǌĂƌĚƐŝŶƚŚĞĨŽƌŵŽĨŐƌŽƵŶĚƐƵďƐŝƐƚĞŶĐĞ͕ĞƌŽƐŝŽŶ͕ĂŶĚƵŶƐƚĂďůĞƐŽŝůƐ͘/ƚǁĂƐĚĞƚĞƌŵŝŶĞĚƚŚĂƚ ĨƵƚƵƌĞƉƌŽũĞĐƚƐ͛ĐŽŵƉůŝĂŶĐĞǁŝƚŚƚŚĞǁŽƵůĚƌĞĚƵĐĞŝŵƉĂĐƚƐĨƌŽŵƵŶƐƚĂďůĞƐŽŝůƐƚŽŝŶƐŝŐŶŝĨŝĐĂŶƚůĞǀĞůƐ͘ &ƵƌƚŚĞƌ͕ĨƵƚƵƌĞƉƌŽũĞĐƚƐ͛ĂĚŽƉƚŝŽŶ ŽĨ EĂƚŝŽŶĂůWŽůůƵƚĂŶƚŝƐĐŚĂƌŐĞ ůŝŵŝŶĂƚŝŽŶ^ǇƐƚĞŵ;EW
^Ϳ ƉĞƌŵŝƚƐ
ĂŶĚ ĂĐĐŽŵƉĂŶŝĞĚ ^ƚŽƌŵǁĂƚĞƌ WŽůůƵƚŝŽŶ WƌĞǀĞŶƚŝŽŶ WůĂŶƐ ;^tWWWƐͿ ǁŽƵůĚ ƌĞĚƵĐĞ ƉŽƚĞŶƚŝĂů ƌŝƐŬƐ ŽĨ ĞƌŽƐŝŽŶ͘
dŚĞWƌŽũĞĐƚǁŽƵůĚŶŽƚƌĞƐƵůƚŝŶƐŝŐŶŝĨŝĐĂŶƚƐŽŝůĞƌŽƐŝŽŶŽƌůŽƐƐŽĨƚŽƉƐŽŝůďĞĐĂƵƐĞŽĨƚŚĞƉƌĞǀŝŽƵƐůǇĚŝƐƚƵƌďĞĚ ĂŶĚĚĞǀĞůŽƉĞĚŶĂƚƵƌĞŽĨƚŚĞWƌŽũĞĐƚƐŝƚĞĂŶĚƚŚĞůŝŵŝƚĞĚƐŝǌĞĂŶĚƐĐŽƉĞŽĨƚŚĞWƌŽũĞĐƚ͘'ƌĂĚŝŶŐŝŶĐƌĞĂƐĞƐ ƚŚĞ ƉŽƚĞŶƚŝĂůĨŽƌ ĞƌŽƐŝŽŶ ďǇ ƌĞŵŽǀŝŶŐ ƉƌŽƚĞĐƚŝǀĞǀĞŐĞƚĂƚŝŽŶ͕ĐŚĂŶŐŝŶŐŶĂƚƵƌĂůĚƌĂŝŶĂŐĞƉĂƚƚĞƌŶƐ͕ĂŶĚ ĐŽŶƐƚƌƵĐƚŝŶŐƐůŽƉĞƐ͘/ŶĂĚĚŝƚŝŽŶ͕ƚŚĞŝƚǇƌĞƋƵŝƌĞƐĂŶĞƌŽƐŝŽŶͬĚƵƐƚĐŽŶƚƌŽůƉůĂŶĨŽƌƉƌŽũĞĐƚƐůŽĐĂƚĞĚǁŝƚŚŝŶ ƚŚŝƐĂƌĞĂ͘dŚĞWƌŽũĞĐƚ ǁŽƵůĚ ĂůƐŽďĞ ƌĞƋƵŝƌĞĚ ƚŽĐŽŵƉůǇ ǁŝƚŚ ĂůůƌĞƋƵŝƌĞŵĞŶƚƐƐĞƚĨŽƌƚŚ ŝŶ ƚŚĞ EW ^
ƉĞƌŵŝƚĨŽƌ ĐŽŶƐƚƌƵĐƚŝŽŶĂĐƚŝǀŝƚŝĞƐ;Ğ͘Ő͕͘ŝŵƉůĞŵĞŶƚĂƚŝŽŶŽĨ ĞƐƚDĂŶĂŐĞŵĞŶƚWƌĂĐƚŝĐĞƐ΀DWƐ΁ƚŚƌŽƵŐŚ ƉƌĞƉĂƌĂƚŝŽŶŽĨĂ^tWWWͿ͕ƌĞĚƵĐŝŶŐƉŽƚĞŶƚŝĂůŝŵƉĂĐƚƐƚŽůĞƐƐƚŚĂŶƐŝŐŶŝĨŝĐĂŶƚůĞǀĞůƐ͘ ĚĚŝƚŝŽŶĂůůǇ͕ƚŚĞWƌŽũĞĐƚǁŽƵůĚĂůƐŽďĞƌĞƋƵŝƌĞĚƚŽĐŽŵƉůǇǁŝƚŚƚŚĞĂŶĚƵŶĚĞƌŐŽƌĞǀŝĞǁŽĨŐƌĂĚŝŶŐ ƉůĂŶƐďǇƚŚĞŝƚǇ
ŶŐŝŶĞĞƌǁŚŽǁŽƵůĚĞŶƐƵƌĞŶŽƐŝŐŶŝĨŝĐĂŶƚŝŵƉĂĐƚƐǁŽƵůĚŽĐĐƵƌ͘ DŝƚŝŐĂƚŝŽŶWƌŽŐƌĂŵ
DŝƚŝŐĂƚŝŽŶDĞĂƐƵƌĞƐĨƌŽŵƚŚĞKŶƚĂƌŝŽ'W
/Z
EŽŶĞŝĚĞŶƚŝĨŝĞĚŝŶƚŚĞKŶƚĂƌŝŽ'W
/Z͘
284
(QYLURQPHQWDO,PSDFW$QDO\VLV
dŚĞKŶƚĂƌŝŽWůĂŶ
/Z ϰϱ ŽŶsŝĞǁWƌŽũĞĐƚ
ĚĚĞŶĚƵŵƚŽƚŚĞ&ŝŶĂů
ŶǀŝƌŽŶŵĞŶƚĂů/ŵƉĂĐƚZĞƉŽƌƚ
ŽŶĐůƵƐŝŽŶ
dŚĞWƌŽũĞĐƚǁŽƵůĚƌĞƐƵůƚŝŶŶŽŶĞǁŽƌŵŽƌĞƐĞǀĞƌĞŝŵƉĂĐƚĚƵĞƚŽƐƵƐĐĞƉƚŝďŝůŝƚǇƚŽŚĂǌĂƌĚƐĨƌŽŵůĂŶĚĨĂŝůƵƌĞ ĂŶĚĞƌŽƐŝŽŶ͘ ůĞƐƐƚŚĂŶƐŝŐŶŝĨŝĐĂŶƚŝŵƉĂĐƚǁĂƐŝĚĞŶƚŝĨŝĞĚ ŝŶƚŚĞKŶƚĂƌŝŽ 'W /Z͘dŚĞWƌŽũĞĐƚǁŽƵůĚ ďĞ
ĚĞƐŝŐŶĞĚĐŽŶƐŝƐƚĞŶƚǁŝƚŚƚŚĞĂƉƉůŝĐĂďůĞŐƵŝĚĞůŝŶĞƐĂŶĚƐƚĂŶĚĂƌĚƐǁŝƚŚŝŶƚŚĞKŶƚĂƌŝŽ'W͕KŶƚĂƌŝŽD͕ĂŶĚ KŶƚĂƌŝŽĞǀĞůŽƉŵĞŶƚ ŽĚĞ͘dŚĞƌĞĨŽƌĞ͕ŶŽ ŶĞǁĂŶĚͬŽƌŵŽĚŝĨŝĞĚ ŵŝƚŝŐĂƚŝŽŶŵĞĂƐƵƌĞƐĂƌĞƌĞƋƵŝƌĞĚ ĨŽƌ ŝƐƐƵĞƐƌĞůĂƚĞĚƚŽŐĞŽůŽŐŝĐĂůŚĂǌĂƌĚƐ͘
dŚƌĞƐŚŽůĚ;ĞͿ ,ĂǀĞƐŽŝůƐŝŶĐĂƉĂďůĞŽĨĂĚĞƋƵĂƚĞůǇƐƵƉƉŽƌƚŝŶŐƚŚĞƵƐĞŽĨ ƐĞƉƚŝĐƚĂŶŬƐŽƌĂůƚĞƌŶĂƚŝǀĞ ǁĂƐƚĞǁĂƚĞƌĚŝƐƉŽƐĂůƐǇƐƚĞŵƐǁŚĞƌĞƐĞǁĞƌĂƌĞŶŽƚĂǀĂŝůĂďůĞĨŽƌƚŚĞĚŝƐƉŽƐĂůŽĨǁĂƐƚĞ ǁĂƚĞƌ͍΀KŶƚĂƌŝŽ'W
/Z/ŵƉĂĐƚϱ͘ϳͲϯ΁
EŽEĞǁŽƌDŽƌĞ^ĞǀĞƌĞ/ŵƉĂĐƚ͗dŚĞKŶƚĂƌŝŽ'W
/ZŶŽƚĞƐƚŚĂƚƐĞƉƚŝĐƚĂŶŬƐĂƌĞŶŽƚƵƐĞĚǁŝƚŚŝŶƚŚĞŝƚǇ ĂƐǁĂƐƚĞǁĂƚĞƌŝƐƐĞƌǀŝĐĞĚďǇƚŚĞ/ŶůĂŶĚ
ŵƉŝƌĞhƚŝůŝƚŝĞƐŐĞŶĐǇ;/
hͿ͘dŚĞƌĞĨŽƌĞ͕ƚŚĞWƌŽũĞĐƚǁŽƵůĚŶŽƚ
ƌĞƋƵŝƌĞƚŚĞƐƵƉƉŽƌƚŽĨƐĞƉƚŝĐƚĂŶŬƵƐĂŐĞ͘&ƵƌƚŚĞƌ͕ƚŚĞƉƌĞǀŝŽƵƐĚĞǀĞůŽƉŵĞŶƚǁŚŝĐŚĐƵƌƌĞŶƚůǇŽĐĐƵƉŝĞƐƚŚĞ WƌŽũĞĐƚĂƌĞĂǁŽƵůĚƐŝŵŝůĂƌůǇƵƚŝůŝǌĞƚŚĞ/
hŝŶƐƚĞĂĚŽĨƐĞƉƚŝĐƚĂŶŬƐ͘&ƵƌƚŚĞƌŵŽƌĞ͕ĂĐĐŽƌĚŝŶŐƚŽƚŚĞWŚĂƐĞ / ƐƚƵĚǇ ĐŽŶĚƵĐƚĞĚ ĨŽƌ ƚŚĞ WƌŽũĞĐƚ͕ ŶŽ ƵŶĚĞƌŐƌŽƵŶĚ ƐƚŽƌĂŐĞ ƚĂŶŬƐ ;h^dƐͿ ǁĞƌĞ ŽďƐĞƌǀĞĚ ĚƵƌŝŶŐ ƌĞĐŽŶŶĂŝƐƐĂŶĐĞŽĨƚŚĞWƌŽũĞĐƚƐŝƚĞ͘ϭϭdŚĞƌĞĨŽƌĞ͕ƚŚĞWƌŽũĞĐƚǁŽƵůĚŶŽƚƉƌŽƉŽƐĞƚŚĞĚĞǀĞůŽƉŵĞŶƚŽĨƐĞƉƚŝĐ ƚĂŶŬƐĂŶĚǁŽƵůĚŶŽƚƌĞƋƵŝƌĞƚŚĞƌĞŵŽǀĂůŽĨƐĞƉƚŝĐƚĂŶŬƐŽƌŽƚŚĞƌƵŶĚĞƌŐƌŽƵŶĚƚĂŶŬƐ͘ DŝƚŝŐĂƚŝŽŶWƌŽŐƌĂŵ
DŝƚŝŐĂƚŝŽŶDĞĂƐƵƌĞƐĨƌŽŵƚŚĞKŶƚĂƌŝŽ'W
/Z
EŽŶĞŝĚĞŶƚŝĨŝĞĚŝŶƚŚĞKŶƚĂƌŝŽ'W
/Z͘
ŽŶĐůƵƐŝŽŶ
dŚĞWƌŽũĞĐƚǁŽƵůĚƌĞƐƵůƚŝŶŶŽŶĞǁŽƌŵŽƌĞƐĞǀĞƌĞŝŵƉĂĐƚĚƵĞƚŽƚŚĞƉƌĞƐĞŶĐĞŽĨƐĞƉƚŝĐƚĂŶŬƐ͘ůĞƐƐƚŚĂŶ ƐŝŐŶŝĨŝĐĂŶƚŝŵƉĂĐƚǁĂƐŝĚĞŶƚŝĨŝĞĚŝŶƚŚĞKŶƚĂƌŝŽ'W
/Z͘dŚĞWƌŽũĞĐƚǁŽƵůĚďĞĚĞƐŝŐŶĞĚĐŽŶƐŝƐƚĞŶƚǁŝƚŚƚŚĞ
ĂƉƉůŝĐĂďůĞŐƵŝĚĞůŝŶĞƐĂŶĚƐƚĂŶĚĂƌĚƐǁŝƚŚŝŶƚŚĞKŶƚĂƌŝŽ'W͕KŶƚĂƌŝŽD͕ĂŶĚKŶƚĂƌŝŽĞǀĞůŽƉŵĞŶƚŽĚĞ͘ dŚĞƌĞĨŽƌĞ͕ŶŽŶĞǁĂŶĚͬŽƌŵŽĚŝĨŝĞĚŵŝƚŝŐĂƚŝŽŶŵĞĂƐƵƌĞƐĂƌĞƌĞƋƵŝƌĞĚĨŽƌŝƐƐƵĞƐƌĞůĂƚĞĚƚŽƐŽŝůŚĂǌĂƌĚƐŝŶ ƌĞůĂƚŝŽŶƚŽƐĞƉƚŝĐƐǇƐƚĞŵƐ͘
dŚƌĞƐŚŽůĚ;ĨͿ ŝƌĞĐƚůǇ Žƌ ŝŶĚŝƌĞĐƚůǇ ĚĞƐƚƌŽǇĂ ƵŶŝƋƵĞ ƉĂůĞŽŶƚŽůŽŐŝĐĂůƌĞƐŽƵƌĐĞŽƌ ƐŝƚĞ Žƌ ƵŶŝƋƵĞ ŐĞŽůŽŐŝĐĨĞĂƚƵƌĞ͍΀EŽƚĂŶĂůǇǌĞĚŝŶƚŚĞKŶƚĂƌŝŽ'W
/Z΁
ƐƉƌĞǀŝŽƵƐůǇƐƚĂƚĞĚ͕ƚŚĞWƌŽũĞĐƚƐŝƚĞŚĂƐďĞĞŶƉƌĞǀŝŽƵƐůǇĚĞǀĞůŽƉĞĚǁŝƚŚƌĞƐŝĚĞŶƚŝĂůĂŶĚŝŶĚƵƐƚƌŝĂůƵƐĞƐ ǁŚŝĐŚ ǁŽƵůĚ ŚĂǀĞ ŝŶǀŽůǀĞĚ ŐƌŽƵŶĚ ŵŽǀŝŶŐ ĂĐƚŝǀŝƚŝĞƐƐƵĐŚ ĂƐůĂŶĚ ĐůĞĂƌŝŶŐ ĂŶĚ ŐƌĂĚŝŶŐ ĚƵƌŝŶŐ ƚŚĞŝƌ ĐŽŶƐƚƌƵĐƚŝŽŶ͘ZĞĚĞǀĞůŽƉŵĞŶƚŽĨ ƚŚĞƐŝƚĞǁŽƵůĚ ďĞƵŶůŝŬĞůǇ ƚŽĞŶĐŽƵŶƚĞƌŶĞǁƉĂůĞŽŶƚŽůŽŐŝĐĂůĨĞĂƚƵƌĞƐ͘ ^ŝŵŝůĂƌůǇ͕ƵŶŝƋƵĞ ŐĞŽůŽŐŝĐĂůĨĞĂƚƵƌĞƐǁŽƵůĚďĞƵŶůŝŬĞůǇ ƚŽďĞĞŶĐŽƵŶƚĞƌĞĚĚƵĞƚŽƚŚĞĚĞǀĞůŽƉĞĚƐƚĂƚĞŽĨ ƚŚĞWƌŽũĞĐƚƐŝƚĞ͘/ŵƉĂĐƚƐĂƌĞĂŶƚŝĐŝƉĂƚĞĚƚŽďĞůĞƐƐƚŚĂŶƐŝŐŶŝĨŝĐĂŶƚ͘ DŝƚŝŐĂƚŝŽŶWƌŽŐƌĂŵ
DŝƚŝŐĂƚŝŽŶDĞĂƐƵƌĞƐĨƌŽŵƚŚĞKŶƚĂƌŝŽ'W
/Z
EŽŶĞŝĚĞŶƚŝĨŝĞĚŝŶƚŚĞKŶƚĂƌŝŽ'W
/Z͘
ϭϭKƌŝŽŶ
ŶǀŝƌŽŶŵĞŶƚĂů/ŶĐ͘WŚĂƐĞ/
ŶǀŝƌŽŶŵĞŶƚĂů ^ŝƚĞƐƐĞƐƐŵĞŶƚ^ŽƵƚŚŽŶsŝĞǁǀĞŶƵĞĂŶĚ ĂƐƚĞĚĂƌ^ƚƌĞĞƚKŶƚĂƌŝŽ͕ĂůŝĨŽƌŶŝĂ ĚĂƚĞĚ
ƉƌŝůϮϬϮϭ͘WĂŐĞϰͲϰ͘
285
(QYLURQPHQWDO,PSDFW$QDO\VLV
dŚĞKŶƚĂƌŝŽWůĂŶ
/Z ϰϲ ŽŶsŝĞǁWƌŽũĞĐƚ
ĚĚĞŶĚƵŵƚŽƚŚĞ&ŝŶĂů
ŶǀŝƌŽŶŵĞŶƚĂů/ŵƉĂĐƚZĞƉŽƌƚ
ŽŶĐůƵƐŝŽŶ
dŚĞ WƌŽũĞĐƚ ǁŽƵůĚ ƌĞƐƵůƚ ŝŶ ŶŽ ŶĞǁ Žƌ ŵŽƌĞ ƐĞǀĞƌĞŝŵƉĂĐƚ ĚƵĞ ƚŽ ƚŚĞ ƉƌĞƐĞŶĐĞ ŽĨ ƉĂůĞŽŶƚŽůŽŐŝĐĂů ƌĞƐŽƵƌĐĞƐ͘ ůĞƐƐƚŚĂŶ ƐŝŐŶŝĨŝĐĂŶƚŝŵƉĂĐƚ ǁĂƐ ŝĚĞŶƚŝĨŝĞĚ ŝŶ ƚŚĞ KŶƚĂƌŝŽ 'W /Z͘dŚĞ WƌŽũĞĐƚ ǁŽƵůĚ ďĞ
ĚĞƐŝŐŶĞĚĐŽŶƐŝƐƚĞŶƚǁŝƚŚƚŚĞĂƉƉůŝĐĂďůĞŐƵŝĚĞůŝŶĞƐĂŶĚƐƚĂŶĚĂƌĚƐǁŝƚŚŝŶƚŚĞKŶƚĂƌŝŽ'W͕KŶƚĂƌŝŽD͕ĂŶĚ KŶƚĂƌŝŽĞǀĞůŽƉŵĞŶƚ ŽĚĞ͘dŚĞƌĞĨŽƌĞ͕ŶŽ ŶĞǁĂŶĚͬŽƌŵŽĚŝĨŝĞĚ ŵŝƚŝŐĂƚŝŽŶŵĞĂƐƵƌĞƐĂƌĞƌĞƋƵŝƌĞĚ ĨŽƌ ŝƐƐƵĞƐƌĞůĂƚĞĚƚŽƉĂůĞŽŶƚŽůŽŐŝĐĂůƌĞƐŽƵƌĐĞƐ͘
KǀĞƌĂůů'ĞŽůŽŐǇĂŶĚ^ŽŝůƐ/ŵƉĂĐƚƐŽŶĐůƵƐŝŽŶ
tŝƚŚƌĞŐĂƌĚƚŽ
Y^ĞĐƚŝŽŶϮϭϭϲϲĂŶĚ
Y'ƵŝĚĞůŝŶĞƐ^ĞĐƚŝŽŶϭϱϭϲϮ;ĂͿ͕ƚŚĞĐŚĂŶŐĞƐƉƌŽƉŽƐĞĚďǇƚŚĞ WƌŽũĞĐƚǁŽƵůĚŶŽƚƌĞƐƵůƚŝŶĂŶǇŶĞǁŝŵƉĂĐƚƐ͕ŽƌŝŶĐƌĞĂƐĞƚŚĞƐĞǀĞƌŝƚǇŽĨƚŚĞƉƌĞǀŝŽƵƐůǇŝĚĞŶƚŝĨŝĞĚŝŵƉĂĐƚƐ͕ ǁŝƚŚƌĞƐƉĞĐƚƚŽŐĞŽůŽŐǇĂŶĚƐŽŝůƐ͘dŚĞƌĞĨŽƌĞ͕ƉƌĞƉĂƌĂƚŝŽŶŽĨĂ^ /ZŝƐŶŽƚǁĂƌƌĂŶƚĞĚ͘
286
(QYLURQPHQWDO,PSDFW$QDO\VLV
dŚĞKŶƚĂƌŝŽWůĂŶ
/Z ϰϳ ŽŶsŝĞǁWƌŽũĞĐƚ
ĚĚĞŶĚƵŵƚŽƚŚĞ&ŝŶĂů
ŶǀŝƌŽŶŵĞŶƚĂů/ŵƉĂĐƚZĞƉŽƌƚ
ϰ͘ϳ 'ƌĞĞŶŚŽƵƐĞ'ĂƐ
ŵŝƐƐŝŽŶƐ;'ůŽďĂůůŝŵĂƚĞŚĂŶŐĞͿ
ϰ͘ϳ͘ϭ ^ƵŵŵĂƌǇŽĨWƌĞǀŝŽƵƐ
ŶǀŝƌŽŶŵĞŶƚĂůŶĂůǇƐŝƐ
dŚĞKŶƚĂƌŝŽ'W
/ZĐŽŶĐůƵĚĞĚƚŚĂƚƚŚĞďƵŝůĚŽƵƚŽĨƚŚĞŝƚǇǁŽƵůĚŐĞŶĞƌĂƚĞĂƐŝŐŶŝĨŝĐĂŶƚĂŶĚƵŶĂǀŽŝĚĂďůĞ ŝŵƉĂĐƚĚƵĞƚŽŐƌĞĞŶŚŽƵƐĞŐĂƐ;','ͿĞŵŝƐƐŝŽŶƐ͘dŚŝƐǁĂƐďĂƐĞĚŽŶďŽƚŚĞŵŝƐƐŝŽŶƐĨƌŽŵĐŽŶƐƚƌƵĐƚŝŽŶĂŶĚ ŽƉĞƌĂƚŝŽŶƐ ŽĨ ĞĂĐŚ ůĂŶĚ ƵƐĞ ƚǇƉĞ͘ ,ŽǁĞǀĞƌ͕ ƚŚĞKŶƚĂƌŝŽ 'W /ZŵĂŝŶƚĂŝŶĞĚ ƚŚĂƚƚŚĞ ŝƚǇ ǁŽƵůĚ ďĞ
ĐŽŵƉůŝĂŶƚǁŝƚŚƚŚĞĞƐƚĂďůŝƐŚĞĚƉŽůŝĐŝĞƐǁŝƚŚŝŶƚŚĞ^ĞŶĂƚĞŝůů;^Ϳϯϳϱ^ƵƐƚĂŝŶĂďůĞŽŵŵƵŶŝƚŝĞƐ^ƚƌĂƚĞŐŝĞƐ ;^^ͿĂŶĚ^'^^͘dŚĞƌĞĨŽƌĞ͕ŝŵƉĂĐƚƐƌĞŐĂƌĚŝŶŐĐůŝŵĂƚĞĐŚĂŶŐĞƉŽůŝĐŝĞƐǁĞƌĞĐŽŶĐůƵĚĞĚƚŽďĞůĞƐƐƚŚĂŶ ƐŝŐŶŝĨŝĐĂŶƚ͘
ϰ͘ϳ͘Ϯ ŶĂůǇƐŝƐŽĨWƌŽƉŽƐĞĚWƌŽũĞĐƚ
dŚƌĞƐŚŽůĚ;ĂͿ 'ĞŶĞƌĂƚĞŐƌĞĞŶŚŽƵƐĞŐĂƐĞŵŝƐƐŝŽŶƐ͕ĞŝƚŚĞƌ ĚŝƌĞĐƚůǇ Žƌ ŝŶĚŝƌĞĐƚůǇ͕ƚŚĂƚŵĂǇ ŚĂǀĞĂ ƐŝŐŶŝĨŝĐĂŶƚ ŝŵƉĂĐƚ ŽŶ ƚŚĞ ĞŶǀŝƌŽŶŵĞŶƚ͕ ďĂƐĞĚ ŽŶ ĂŶǇ ĂƉƉůŝĐĂďůĞ ƚŚƌĞƐŚŽůĚ ŽĨ ƐŝŐŶŝĨŝĐĂŶĐĞ͘΀KŶƚĂƌŝŽ'W
/Z/ŵƉĂĐƚϱ͘ϲͲϭ΁
dŚƌĞƐŚŽůĚ;ďͿ ŽŶĨůŝĐƚ ǁŝƚŚĂŶǇĂƉƉůŝĐĂďůĞƉůĂŶ͕ƉŽůŝĐǇŽƌƌĞŐƵůĂƚŝŽŶŽĨ ĂŶĂŐĞŶĐǇĂĚŽƉƚĞĚĨŽƌƚŚĞ ƉƵƌƉŽƐĞŽĨƌĞĚƵĐŝŶŐƚŚĞĞŵŝƐƐŝŽŶƐŽĨŐƌĞĞŶŚŽƵƐĞŐĂƐĞƐ͘΀KŶƚĂƌŝŽ'W /Z/ŵƉĂĐƚϱ͘ϲͲϭ΁
,ĞĂůƚŚ ZŝƐŬ ƐƐĞƐƐŵĞŶƚ;,ZͿ ǁĂƐ ĐŽŶĚƵĐƚĞĚ ĨŽƌ ƚŚĞ WƌŽũĞĐƚ ďǇ <ŝŵůĞǇͲ,ŽƌŶ ĂŶĚ ƐƐŽĐŝĂƚĞƐŝŶ ƵŐƵƐƚϮϬϮϭ͘dŚĞƌĞƐƵůƚƐŽĨƚŚĞ,ZĂƌĞƐƵŵŵĂƌŝǌĞĚŚĞƌĞŝŶĂŶĚŝŶĐůƵĚĞĚĂƐƉƉĞŶĚŝǆƚŽƚŚŝƐĚĚĞŶĚƵŵ͘ ĂĐŬŐƌŽƵŶĚ
'ůŽďĂů ĐůŝŵĂƚĞĐŚĂŶŐĞƌĞĨĞƌƐƚŽĐŚĂŶŐĞƐŝŶ ĂǀĞƌĂŐĞĐůŝŵĂƚŝĐĐŽŶĚŝƚŝŽŶƐ ŽŶ ĂƌƚŚĂƐĂǁŚŽůĞ͕ ŝŶĐůƵĚŝŶŐ
ƚĞŵƉĞƌĂƚƵƌĞ͕ǁŝŶĚƉĂƚƚĞƌŶƐĂŶĚƉƌĞĐŝƉŝƚĂƚŝŽŶ͘'ůŽďĂůƚĞŵƉĞƌĂƚƵƌĞƐĂƌĞŵŽĚĞƌĂƚĞĚďǇŶĂƚƵƌĂůůǇŽĐĐƵƌƌŝŶŐ ĂƚŵŽƐƉŚĞƌŝĐŐĂƐĞƐ͕ŝŶĐůƵĚŝŶŐǁĂƚĞƌǀĂƉŽƌ͕ĐĂƌďŽŶĚŝŽǆŝĚĞ;KϮͿ͕ŵĞƚŚĂŶĞ;,ϰͿ͕ĂŶĚŶŝƚƌŽƵƐŽǆŝĚĞ;EϮKͿ͕ ĂƐǁĞůůĂƐŚǇĚƌŽĨůƵŽƌŽĐĂƌďŽŶƐ;,&ƐͿ͕ƉĞƌĨůƵŽƌŽĐĂƌďŽŶƐ;W&ƐͿ͕ĂŶĚƐƵůĨƵƌŚĞǆĂĨůƵŽƌŝĚĞ;^&ϲͿ͘dŚĞƐĞ','Ɛ ĂůůŽǁƐŽůĂƌƌĂĚŝĂƚŝŽŶ;ƐƵŶůŝŐŚƚͿŝŶƚŽƚŚĞ
ĂƌƚŚ͛ƐĂƚŵŽƐƉŚĞƌĞďƵƚƉƌĞǀĞŶƚƌĂĚŝĂƚŝǀĞŚĞĂƚĨƌŽŵĞƐĐĂƉŝŶŐ͕ƚŚƵƐ ǁĂƌŵŝŶŐƚŚĞ
ĂƌƚŚ͛ƐĂƚŵŽƐƉŚĞƌĞ͘','ƐĂƌĞĞŵŝƚƚĞĚ ďǇ ďŽƚŚ ŶĂƚƵƌĂůƉƌŽĐĞƐƐĞƐĂŶĚ ŚƵŵĂŶ ĂĐƚŝǀŝƚŝĞƐ͘ ŽŶĐĞŶƚƌĂƚŝŽŶƐŽĨ','ŚĂǀĞŝŶĐƌĞĂƐĞĚŝŶƚŚĞĂƚŵŽƐƉŚĞƌĞƐŝŶĐĞƚŚĞŝŶĚƵƐƚƌŝĂůƌĞǀŽůƵƚŝŽŶ͘,ƵŵĂŶĂĐƚŝǀŝƚŝĞƐ ƚŚĂƚŐĞŶĞƌĂƚĞ','ĞŵŝƐƐŝŽŶƐŝŶĐůƵĚĞĐŽŵďƵƐƚŝŽŶŽĨĨŽƐƐŝůĨƵĞůƐ;KϮĂŶĚEϮKͿ͖ŶĂƚƵƌĂůŐĂƐŐĞŶĞƌĂƚĞĚĨƌŽŵ ůĂŶĚĨŝůůƐ͕ĨĞƌŵĞŶƚĂƚŝŽŶŽĨŵĂŶƵƌĞĂŶĚĐĂƚƚůĞĨĂƌŵŝŶŐ;,ϰͿ͖ĂŶĚ ŝŶĚƵƐƚƌŝĂůƉƌŽĐĞƐƐĞƐƐƵĐŚĂƐŶǇůŽŶĂŶĚ ŶŝƚƌŝĐĂĐŝĚƉƌŽĚƵĐƚŝŽŶ;EϮKͿ͘
','ƐŚĂǀĞǀĂƌǇŝŶŐŐůŽďĂůǁĂƌŵŝŶŐƉŽƚĞŶƚŝĂů;'tWͿ͘dŚĞ'tWŝƐƚŚĞƉŽƚĞŶƚŝĂůŽĨĂŐĂƐŽƌĂĞƌŽƐŽůƚŽƚƌĂƉ ŚĞĂƚŝŶƚŚĞĂƚŵŽƐƉŚĞƌĞ͖ŝƚŝƐƚŚĞ͞ĐƵŵƵůĂƚŝǀĞƌĂĚŝĂƚŝǀĞĨŽƌĐŝŶŐĞĨĨĞĐƚŽĨĂŐĂƐŽǀĞƌĂƐƉĞĐŝĨŝĞĚƚŝŵĞŚŽƌŝǌŽŶ ƌĞƐƵůƚŝŶŐĨƌŽŵƚŚĞĞŵŝƐƐŝŽŶŽĨĂƵŶŝƚŵĂƐƐŽĨŐĂƐƌĞůĂƚŝǀĞƚŽĂƌĞĨĞƌĞŶĐĞŐĂƐ͘͟dŚĞƌĞĨĞƌĞŶĐĞŐĂƐĨŽƌ'tW ŝƐKϮ͖ƚŚĞƌĞĨŽƌĞ͕KϮŚĂƐĂ'tWĨĂĐƚŽƌŽĨϭ͘dŚĞŽƚŚĞƌŵĂŝŶ','ƐƚŚĂƚŚĂǀĞďĞĞŶĂƚƚƌŝďƵƚĞĚƚŽŚƵŵĂŶ ĂĐƚŝǀŝƚǇŝŶĐůƵĚĞ ,ϰ͕ǁŚŝĐŚ ŚĂƐĂ 'tW ĨĂĐƚŽƌŽĨ Ϯϴ͕ ĂŶĚ EϮK͕ǁŚŝĐŚ ŚĂƐĂ'tW ĨĂĐƚŽƌ ŽĨ Ϯϲϱ͘tŚĞŶ ĂĐĐŽƵŶƚŝŶŐĨŽƌ','Ɛ͕ĂůůƚǇƉĞƐŽĨ','ĞŵŝƐƐŝŽŶƐĂƌĞĞǆƉƌĞƐƐĞĚŝŶƚĞƌŵƐŽĨKϮĞƋƵŝǀĂůĞŶƚƐ;KϮĞͿĂŶĚĂƌĞ ƚǇƉŝĐĂůůǇƋƵĂŶƚŝĨŝĞĚŝŶŵĞƚƌŝĐƚŽŶƐ;DdͿŽƌŵŝůůŝŽŶŵĞƚƌŝĐƚŽŶƐ;DDdͿ͘ ƐƐĞŵďůǇŝůů ;ͿϯϮ͕ƚŚĞĂůŝĨŽƌŶŝĂ'ůŽďĂůtĂƌŵŝŶŐ^ŽůƵƚŝŽŶƐĐƚŽĨ ϮϬϬϲ͕ĞƐƚĂďůŝƐŚĞĚĂ^ƚĂƚĞŐŽĂůŽĨ ƌĞĚƵĐŝŶŐ ',' ĞŵŝƐƐŝŽŶƐ ƚŽ ϭϵϵϬ ůĞǀĞůƐ ďǇ ƚŚĞ ǇĞĂƌ ϮϬϮϬ͕ ǁŚŝĐŚ ǁŽƵůĚ ƌĞƋƵŝƌĞ Ă ƌĞĚƵĐƚŝŽŶ ŽĨ ĂƉƉƌŽǆŝŵĂƚĞůǇϭϳϯDDdŶĞƚKϮĞďĞůŽǁ ͞ďƵƐŝŶĞƐƐĂƐƵƐƵĂů͟ĞŵŝƐƐŝŽŶůĞǀĞůƐ͘^ϵϳ͕ĂĐŽŵƉĂŶŝŽŶďŝůů͕ ĚŝƌĞĐƚĞĚƚŚĞĂůŝĨŽƌŶŝĂEĂƚƵƌĂůZĞƐŽƵƌĐĞƐŐĞŶĐǇ;ZĞƐŽƵƌĐĞƐŐĞŶĐǇͿƚŽĐĞƌƚŝĨǇĂŶĚĂĚŽƉƚŐƵŝĚĞůŝŶĞƐĨŽƌ 287
(QYLURQPHQWDO,PSDFW$QDO\VLV
dŚĞKŶƚĂƌŝŽWůĂŶ
/Z ϰϴ ŽŶsŝĞǁWƌŽũĞĐƚ
ĚĚĞŶĚƵŵƚŽƚŚĞ&ŝŶĂů
ŶǀŝƌŽŶŵĞŶƚĂů/ŵƉĂĐƚZĞƉŽƌƚ
ƚŚĞŵŝƚŝŐĂƚŝŽŶŽĨ','ƐŽƌƚŚĞĞĨĨĞĐƚƐŽĨ','ĞŵŝƐƐŝŽŶƐ͘^ϵϳǁĂƐƚŚĞ^ƚĂƚĞ>ĞŐŝƐůĂƚƵƌĞ͛ƐĚŝƌĞĐƚŝǀĞƚŽƚŚĞ ZĞƐŽƵƌĐĞƐŐĞŶĐǇƚŽƐƉĞĐŝĨŝĐĂůůǇĞƐƚĂďůŝƐŚƚŚĂƚ','ĞŵŝƐƐŝŽŶƐĂŶĚƚŚĞŝƌŝŵƉĂĐƚƐĂƌĞĂƉƉƌŽƉƌŝĂƚĞƐƵďũĞĐƚƐ ĨŽƌ
YĂŶĂůǇƐŝƐ͘
ǆĞĐƵƚŝǀĞKƌĚĞƌ;
KͿ ^ͲϯͲϬϱ ǁĂƐĞŶĂĐƚĞĚŝŶ :ƵŶĞϮϬϬϱ ĂŶĚ ĐĂůůƐĨŽƌ ĂŶ ϴϬƉĞƌĐĞŶƚ ƌĞĚƵĐƚŝŽŶďĞůŽǁϭϵϵϬůĞǀĞůƐďǇϮϬϱϬ͘^ϯϮǁĂƐƐŝŐŶĞĚŝŶƚŽůĂǁŝŶϮϬϭϲĂŶĚĞƐƚĂďůŝƐŚĞƐĂŶŝŶƚĞƌŝŵ',' ĞŵŝƐƐŝŽŶƌĞĚƵĐƚŝŽŶŐŽĂůĨŽƌƚŚĞ^ƚĂƚĞƚŽƌĞĚƵĐĞ','ĞŵŝƐƐŝŽŶƐƚŽϰϬƉĞƌĐĞŶƚďĞůŽǁϭϵϵϬůĞǀĞůƐďǇƚŚĞ ǇĞĂƌϮϬϯϬ͘
EŽEĞǁŽƌ^ĞǀĞƌĞ/ŵƉĂĐƚ͗dŚĞKŶƚĂƌŝŽWůĂŶ'WĨŽƵŶĚƚŚĂƚĂƐŝŐŶŝĨŝĐĂŶƚƵŶĂǀŽŝĚĂďůĞŝŵƉĂĐƚǁŽƵůĚŽĐĐƵƌ ĨƌŽŵ','ĞŵŝƐƐŝŽŶƐĂƐĂƌĞƐƵůƚŽĨƚŚĞKŶƚĂƌŝŽ'WŝŵƉůĞŵĞŶƚĂƚŝŽŶ͘/ƚǁĂƐĐĂůĐƵůĂƚĞĚƚŚĂƚƚŚƌŽƵŐŚďƵŝůĚŽƵƚ͕ ĐŽŶƐƚƌƵĐƚŝŽŶĞŵŝƐƐŝŽŶƐŝŶ ƚŚĞŝƚǇĐŽƵůĚ ĂǀĞƌĂŐĞĂƉƉƌŽǆŝŵĂƚĞůǇϭϲ͕ϱϯϯDdŽĨ KϮĞƉĞƌǇĞĂƌ͘dŚŝƐǁĂƐ ĨŽƵŶĚ ƚŽďĞĂĐƵŵƵůĂƚŝǀĞůǇĐŽŶƐŝĚĞƌĂďůĞĂŵŽƵŶƚŽĨ','ĞŵŝƐƐŝŽŶƐ͘KƉĞƌĂƚŝŽŶƐĂĐƚŝǀŝƚŝĞƐǁŝƚŚŝŶƚŚĞŝƚǇ ĂƚĨƵůů ďƵŝůĚŽƵƚ ǁŽƵůĚ ďĞ ϭϯ͘ϲDDd͘ůƚŚŽƵŐŚ ŶŽ ŶƵŵĞƌŝĐ ƚŚƌĞƐŚŽůĚ ǁĂƐĂĚŽƉƚĞĚ ĂƚƚŚĞ ƚŝŵĞŽĨ ƚŚĞ KŶƚĂƌŝŽ'W
/Z͕ƚŚĞĞŵŝƐƐŝŽŶƐŐĞŶĞƌĂƚĞĚǁĞƌĞƐƚŝůůĐŽŶƐŝĚĞƌĞĚƐŝŐŶŝĨŝĐĂŶƚ͘ dŚĞWƌŽũĞĐƚƐŝƚĞǁŽƵůĚŵĂŝŶƚĂŝŶŝƚƐĐƵƌƌĞŶƚůĂŶĚƵƐĞĚĞƐŝŐŶĂƚŝŽŶƐǁŚŝĐŚǁĞƌĞĂĚŽƉƚĞĚǁŝƚŚƚŚĞKŶƚĂƌŝŽ 'W
/Z͘dŚĞƌĞĨŽƌĞ͕ƚŚĞůĂŶĚƵƐĞƐǁŽƵůĚƌĞŵĂŝŶĐŽŶƐŝƐƚĞŶƚǁŝƚŚƚŚŽƐĞĂŶĂůǇǌĞĚĨŽƌƚŚĞKŶƚĂƌŝŽ'WĂŶĚƚŚĞ ĞǆŝƐƚŝŶŐĚĞǀĞůŽƉŵĞŶƚƐ ŽŶ ƚŚĞ WƌŽũĞĐƚƐŝƚĞ͘ ^ŝŶĐĞ ƚŚĞ WƌŽũĞĐƚ ǁŽƵůĚ ŝŶǀŽůǀĞ ƚŚĞ ĚĞŵŽůŝƚŝŽŶ ŽĨ ĞǆŝƐƚŝŶŐ ƐƚƌƵĐƚƵƌĞƐĚĞƐƉŝƚĞƚŚĞĐŽŶƚŝŶƵĂƚŝŽŶ ŽĨĞǆŝƐƚŝŶŐůĂŶĚ ƵƐĞƐ͕ŝƚŝƐĂŶƚŝĐŝƉĂƚĞĚƚŚĂƚĞŵŝƐƐŝŽŶƐǁŽƵůĚƌĞŵĂŝŶ ƐŝŐŶŝĨŝĐĂŶƚ͘,ŽǁĞǀĞƌ͕ƚŚĞWƌŽũĞĐƚǁŽƵůĚďĞĚĞǀĞůŽƉĞĚŝŶĐŽŶƐŝƐƚĞŶĐǇǁŝƚŚƚŚĞKŶƚĂƌŝŽ'WĂŶĚKŶƚĂƌŝŽD͘ dŚĞ ƉƌŽǀŝƐŝŽŶƐ ǁŝƚŚŝŶ ƚŚĞƐĞĐŽĚĞƐ ǁĞƌĞ ĨŽƵŶĚ ƚŽ ƐƵŝƚĂďůǇ ĐŽŵƉůǇ ǁŝƚŚ ĂƉƉůŝĐĂďůĞ ƉůĂŶƐ͕ ƉŽůŝĐŝĞƐ͕ Žƌ ƌĞŐƵůĂƚŝŽŶƐƌĞŐĂƌĚŝŶŐ','ĞŵŝƐƐŝŽŶƐ͘dŚĞWƌŽũĞĐƚǁŽƵůĚ ďĞƌĞƋƵŝƌĞĚ ƚŽĐŽŵƉůǇ ǁŝƚŚďŽƚŚ &ĞĚĞƌĂůĂŶĚ ^ƚĂƚĞƌĞŐƵůĂƚŝŽŶƐƌĞŐĂƌĚŝŶŐĂŝƌƋƵĂůŝƚǇĂŶĚ','ĞŵŝƐƐŝŽŶƐ͘dŚĞƌĞĨŽƌĞ͕ŝŵƉĂĐƚƐǁŽƵůĚƌĞŵĂŝŶƐŝŐŶŝĨŝĐĂŶƚ͖ ĐŽŶƐŝƐƚĞŶƚǁŝƚŚƚŚĞKŶƚĂƌŝŽ'W
/Z͘
DŝƚŝŐĂƚŝŽŶWƌŽŐƌĂŵ
DŝƚŝŐĂƚŝŽŶDĞĂƐƵƌĞƐĨƌŽŵƚŚĞKŶƚĂƌŝŽ'W
/Z
DŝƚŝŐĂƚŝŽŶŵĞĂƐƵƌĞƐϲͲϭƚŚƌŽƵŐŚϲͲϲĂƌĞŝŶĐůƵĚĞĚ ŝŶƚŚĞKŶƚĂƌŝŽ'W /ZƚŽŵŝƚŝŐĂƚĞŝŵƉĂĐƚƐĂƐƐŽĐŝĂƚĞĚ
ǁŝƚŚ ĐůŝŵĂƚĞĐŚĂŶŐĞ ĂŐŐƌĂǀĂƚŝŶŐ','ĞŵŝƐƐŝŽŶƐ ĚƵĞ ƚŽ ŶŽŶĐŽŵƉůŝĂŶĐĞ ǁŝƚŚ ĞƐƚĂďůŝƐŚĞĚƉŽůŝĐŝĞƐ ĂŶĚ ƌĞŐƵůĂƚŝŽŶƐ͘ůůŽĨƚŚĞKŶƚĂƌŝŽ'W
/ZŵŝƚŝŐĂƚŝŽŶŵĞĂƐƵƌĞƐ;ϲͲϭƚŚƌŽƵŐŚϲͲϱͿĂƌĞŝŵƉŽƐĞĚƐŽůĞůǇƵƉŽŶƚŚĞ ŝƚǇ͕ĂŶĚĂƌĞƚŚĞƌĞĨŽƌĞŶŽƚĂƉƉůŝĐĂďůĞƚŽƚŚĞWƌŽũĞĐƚ͘ ŽŶĐůƵƐŝŽŶ
dŚĞ WƌŽũĞĐƚ ǁŽƵůĚ ƌĞƐƵůƚ ŝŶ ŶŽ ŶĞǁ Žƌ ŵŽƌĞ ƐĞǀĞƌĞ ŝŵƉĂĐƚ ŽŶ ',' ĞŵŝƐƐŝŽŶƐ͘ ƐŝŐŶŝĨŝĐĂŶƚ ĂŶĚ ƵŶĂǀŽŝĚĂďůĞŝŵƉĂĐƚǁĂƐŝĚĞŶƚŝĨŝĞĚŝŶƚŚĞKŶƚĂƌŝŽ'W
/Z͘dŚĞWƌŽũĞĐƚǁŽƵůĚďĞĚĞƐŝŐŶĞĚĐŽŶƐŝƐƚĞŶƚǁŝƚŚ
ƚŚĞĂƉƉůŝĐĂďůĞŐƵŝĚĞůŝŶĞƐĂŶĚ ƐƚĂŶĚĂƌĚƐǁŝƚŚŝŶƚŚĞKŶƚĂƌŝŽ 'W͕KŶƚĂƌŝŽD͕ĂŶĚKŶƚĂƌŝŽĞǀĞůŽƉŵĞŶƚ ŽĚĞ͘dŚĞƌĞĨŽƌĞ͕ŶŽ ŶĞǁĂŶĚͬŽƌŵŽĚŝĨŝĞĚŵŝƚŝŐĂƚŝŽŶŵĞĂƐƵƌĞƐĂƌĞƌĞƋƵŝƌĞĚ ĨŽƌŝƐƐƵĞƐƌĞůĂƚĞĚƚŽ ',' ĞŵŝƐƐŝŽŶƐ͘
KǀĞƌĂůů'ƌĞĞŶŚŽƵƐĞ'ĂƐ
ŵŝƐƐŝŽŶƐ/ŵƉĂĐƚƐŽŶĐůƵƐŝŽŶ
tŝƚŚƌĞŐĂƌĚƚŽ
Y^ĞĐƚŝŽŶϮϭϭϲϲĂŶĚ
Y'ƵŝĚĞůŝŶĞƐ^ĞĐƚŝŽŶϭϱϭϲϮ;ĂͿ͕ƚŚĞĐŚĂŶŐĞƐƉƌŽƉŽƐĞĚďǇƚŚĞ WƌŽũĞĐƚǁŽƵůĚŶŽƚƌĞƐƵůƚŝŶĂŶǇŶĞǁŝŵƉĂĐƚƐ͕ŽƌŝŶĐƌĞĂƐĞƚŚĞƐĞǀĞƌŝƚǇŽĨƚŚĞƉƌĞǀŝŽƵƐůǇŝĚĞŶƚŝĨŝĞĚŝŵƉĂĐƚƐ͕ ǁŝƚŚƌĞƐƉĞĐƚƚŽ','ĞŵŝƐƐŝŽŶƐ͘dŚĞƌĞĨŽƌĞ͕ƉƌĞƉĂƌĂƚŝŽŶŽĨĂ^ /ZŝƐŶŽƚǁĂƌƌĂŶƚĞĚ͘
288
(QYLURQPHQWDO,PSDFW$QDO\VLV
dŚĞKŶƚĂƌŝŽWůĂŶ
/Z ϰϵ ŽŶsŝĞǁWƌŽũĞĐƚ
ĚĚĞŶĚƵŵƚŽƚŚĞ&ŝŶĂů
ŶǀŝƌŽŶŵĞŶƚĂů/ŵƉĂĐƚZĞƉŽƌƚ
ϰ͘ϴ ,ĂǌĂƌĚƐĂŶĚ,ĂǌĂƌĚŽƵƐDĂƚĞƌŝĂůƐ
ϰ͘ϴ͘ϭ ^ƵŵŵĂƌǇŽĨWƌĞǀŝŽƵƐ
ŶǀŝƌŽŶŵĞŶƚĂůŶĂůǇƐŝƐ
dŚĞKŶƚĂƌŝŽ'W
/ZĐŽŶĐůƵĚĞĚ ƚŚĂƚŝŵƉůĞŵĞŶƚĂƚŝŽŶŽĨ ƚŚĞKŶƚĂƌŝŽ 'W ǁŽƵůĚ ŶŽƚ ŐĞŶĞƌĂƚĞƐŝŐŶŝĨŝĐĂŶƚ ŝŵƉĂĐƚƐŝŶƌĞůĂƚŝŽŶƚŽŚĂǌĂƌĚŽƵƐŵĂƚĞƌŝĂůƐ͘&ƵƌƚŚĞƌŵŽƌĞ͕ŶŽŵŝƚŝŐĂƚŝŽŶǁĂƐĚĞĞŵĞĚŶĞĐĞƐƐĂƌǇĨŽƌĞĂĐŚ ŝŵƉĂĐƚ͘
ϰ͘ϴ͘Ϯ ŶĂůǇƐŝƐŽĨWƌŽƉŽƐĞĚWƌŽũĞĐƚ
dŚƌĞƐŚŽůĚ;ĂͿ ƌĞĂƚĞ Ă ƐŝŐŶŝĨŝĐĂŶƚ ŚĂǌĂƌĚƚŽ ƚŚĞ ƉƵďůŝĐ Žƌ ƚŚĞĞŶǀŝƌŽŶŵĞŶƚƚŚƌŽƵŐŚ ƚŚĞƌŽƵƚŝŶĞ ƚƌĂŶƐƉŽƌƚ͕ƵƐĞ͕ŽƌĚŝƐƉŽƐĂůŽĨŚĂǌĂƌĚŽƵƐŵĂƚĞƌŝĂůƐ͘΀KŶƚĂƌŝŽ'W /Z/ŵƉĂĐƚϱ͘ϴͲϭ΁
dŚƌĞƐŚŽůĚ;ďͿ ƌĞĂƚĞ Ă ƐŝŐŶŝĨŝĐĂŶƚ ŚĂǌĂƌĚƚŽ ƚŚĞ ƉƵďůŝĐ Žƌ ƚŚĞ ĞŶǀŝƌŽŶŵĞŶƚƚŚƌŽƵŐŚƌĞĂƐŽŶĂďůǇ ĨŽƌĞƐĞĞĂďůĞƵƉƐĞƚĂŶĚĂĐĐŝĚĞŶƚĐŽŶĚŝƚŝŽŶƐŝŶǀŽůǀŝŶŐƚŚĞƌĞůĞĂƐĞŽĨŚĂǌĂƌĚŽƵƐŵĂƚĞƌŝĂůƐ ŝŶƚŽƚŚĞĞŶǀŝƌŽŶŵĞŶƚ͘΀KŶƚĂƌŝŽ'W
/Z/ŵƉĂĐƚϱ͘ϴͲϭ΁
dŚƌĞƐŚŽůĚ;ĐͿ
ŵŝƚ ŚĂǌĂƌĚŽƵƐ ĞŵŝƐƐŝŽŶƐ Žƌ ŚĂŶĚůĞ ŚĂǌĂƌĚŽƵƐ Žƌ ĂĐƵƚĞůǇ ŚĂǌĂƌĚŽƵƐŵĂƚĞƌŝĂůƐ͕ ƐƵďƐƚĂŶĐĞ͕ŽƌǁĂƐƚĞǁŝƚŚŝŶŽŶĞͲƋƵĂƌƚĞƌŵŝůĞŽĨĂŶĞǆŝƐƚŝŶŐŽƌƉƌŽƉŽƐĞĚƐĐŚŽŽů͘΀KŶƚĂƌŝŽ 'W
/Z/ŵƉĂĐƚϱ͘ϴͲϭ΁
WŚĂƐĞ/
ŶǀŝƌŽŶŵĞŶƚĂů^ŝƚĞƐƐĞƐƐŵĞŶƚǁĂƐĐŽŶĚƵĐƚĞĚĨŽƌƚŚĞWƌŽũĞĐƚďǇKƌŝŽŶ ŶǀŝƌŽŶŵĞŶƚĂů͕/ŶĐ͘ŝŶ
ƉƌŝůϮϬϮϭ͘dŚĞƌĞƐƵůƚƐŽĨƚŚĞWŚĂƐĞ/
ŶǀŝƌŽŶŵĞŶƚĂů^ŝƚĞƐƐĞƐƐŵĞŶƚĂƌĞƐƵŵŵĂƌŝǌĞĚŚĞƌĞŝŶĂŶĚŝŶĐůƵĚĞĚ ĂƐƉƉĞŶĚŝǆƚŽƚŚŝƐĚĚĞŶĚƵŵ͘
EŽEĞǁŽƌDŽƌĞ^ĞǀĞƌĞ/ŵƉĂĐƚ͗dŚĞƉƌŽƉŽƐĞĚĐŽŶƐƚƌƵĐƚŝŽŶĂĐƚŝǀŝƚŝĞƐǁŽƵůĚŝŶǀŽůǀĞƚŚĞƚƌĂŶƐƉŽƌƚ͕ƵƐĞ͕ ĂŶĚĚŝƐƉŽƐĂůŽĨŚĂǌĂƌĚŽƵƐŵĂƚĞƌŝĂůƐƐƵĐŚĂƐƉĂŝŶƚƐ͕ƐŽůǀĞŶƚƐ͕ŽŝůƐ͕ŐƌĞĂƐĞ͕ĂŶĚĐĂƵůŬŝŶŐǁŚŝĐŚĂƌĞƚǇƉŝĐĂů ǁŝƚŚĐŽŶƐƚƌƵĐƚŝŽŶƐŝƚĞƐ͕ŝŶĐůƵĚŝŶŐƚŚĞĐŽŶƐƚƌƵĐƚŝŽŶŽĨǁĂƌĞŚŽƵƐĞĨĂĐŝůŝƚŝĞƐ͘/ŶĂĚĚŝƚŝŽŶ͕ŚĂǌĂƌĚŽƵƐŵĂƚĞƌŝĂůƐ ǁŽƵůĚďĞŶĞĞĚĞĚĨŽƌĨƵĞůŝŶŐĂŶĚƐĞƌǀŝĐŝŶŐĐŽŶƐƚƌƵĐƚŝŽŶĞƋƵŝƉŵĞŶƚŽŶƚŚĞƐŝƚĞ͘dŚĞƐĞƚǇƉĞƐŽĨŵĂƚĞƌŝĂůƐ ĂƌĞŶŽƚĂĐƵƚĞůǇŚĂǌĂƌĚŽƵƐ͕ĂŶĚĂůůƐƚŽƌĂŐĞ͕ŚĂŶĚůŝŶŐ͕ƵƐĞ͕ĂŶĚĚŝƐƉŽƐĂůŽĨƚŚĞƐĞŵĂƚĞƌŝĂůƐĂƌĞƌĞŐƵůĂƚĞĚďǇ &ĞĚĞƌĂůĂŶĚ^ƚĂƚĞƌĞƋƵŝƌĞŵĞŶƚƐ͕ǁŚŝĐŚƚŚĞWƌŽũĞĐƚĐŽŶƐƚƌƵĐƚŝŽŶĂĐƚŝǀŝƚŝĞƐĂƌĞƌĞƋƵŝƌĞĚƚŽƐƚƌŝĐƚůǇĂĚŚĞƌĞ ƚŽ͘dŚĞƐĞƌĞŐƵůĂƚŝŽŶƐŝŶĐůƵĚĞ͗ƚŚĞ&ĞĚĞƌĂůKĐĐƵƉĂƚŝŽŶĂů^ĂĨĞƚǇĂŶĚ,ĞĂůƚŚĐƚĂŶĚ,ĂǌĂƌĚŽƵƐDĂƚĞƌŝĂůƐ dƌĂŶƐƉŽƌƚĂƚŝŽŶ Đƚ͖ dŝƚůĞ ϴ ŽĨ ƚŚĞ ĂůŝĨŽƌŶŝĂ ŽĚĞ ŽĨ ZĞŐƵůĂƚŝŽŶƐ;ĂůK^,Ϳ͕ ĂŶĚ ƚŚĞ ^ƚĂƚĞ hŶŝĨŝĞĚ ,ĂǌĂƌĚŽƵƐtĂƐƚĞ ĂŶĚ ,ĂǌĂƌĚŽƵƐDĂƚĞƌŝĂůƐDĂŶĂŐĞŵĞŶƚ ZĞŐƵůĂƚŽƌǇ WƌŽŐƌĂŵ͘ Ɛ Ă ƌĞƐƵůƚ͕ ƌŽƵƚŝŶĞ ƚƌĂŶƐƉŽƌƚĂŶĚƵƐĞŽĨŚĂǌĂƌĚŽƵƐŵĂƚĞƌŝĂůƐĚƵƌŝŶŐĐŽŶƐƚƌƵĐƚŝŽŶǁŽƵůĚďĞůĞƐƐƚŚĂŶƐŝŐŶŝĨŝĐĂŶƚ͘&ƵƌƚŚĞƌŵŽƌĞ͕ ƚŚĞƌŝƐŬƐƌĞůĂƚĞĚƚŽƵƉƐĞƚŽƌ ĂĐĐŝĚĞŶƚĐŽŶĚŝƚŝŽŶƐ ŝŶǀŽůǀŝŶŐ ƚŚĞƌĞůĞĂƐĞŽĨ ŚĂǌĂƌĚŽƵƐŵĂƚĞƌŝĂůƐŝŶƚŽƚŚĞ ĞŶǀŝƌŽŶŵĞŶƚǁŽƵůĚďĞĂĚĞƋƵĂƚĞůǇĂĚĚƌĞƐƐĞĚƚŚƌŽƵŐŚĐŽŵƉůŝĂŶĐĞǁŝƚŚĞǆŝƐƚŝŶŐ&ĞĚĞƌĂů͕^ƚĂƚĞ͕ĂŶĚůŽĐĂů ƌĞŐƵůĂƚŝŽŶƐ͘
WƌŽũĞĐƚŽƉĞƌĂƚŝŽŶƐǁŽƵůĚŝŶǀŽůǀĞ ǁĂƌĞŚŽƵƐĞͬůŽŐŝƐƚŝĐƐƚǇƉĞƵƐĞƐƚŚĂƚŵĂǇŝŶǀŽůǀĞƚŚĞƵƐĞĂŶĚƐƚŽƌĂŐĞŽĨ ĐŽŵŵŽŶ ŚĂǌĂƌĚŽƵƐ ŵĂƚĞƌŝĂůƐ ƐƵĐŚ ĂƐ ŽŝůƐ͕ ƉĂŝŶƚƐ͕ ƐŽůǀĞŶƚƐ͕ ĂŶĚ ĐůĞĂŶŝŶŐ ƉƌŽĚƵĐƚƐ͘ ůƐŽ͕ ďƵŝůĚŝŶŐ ŵĞĐŚĂŶŝĐĂů ƐǇƐƚĞŵƐĂŶĚ ŐƌŽƵŶĚƐ ĂŶĚ ůĂŶĚƐĐĂƉĞ ŵĂŝŶƚĞŶĂŶĐĞ ĐŽƵůĚ ĂůƐŽ ƵƐĞ Ă ǀĂƌŝĞƚǇ ŽĨ ƉƌŽĚƵĐƚƐ ĨŽƌŵƵůĂƚĞĚ ǁŝƚŚ ŚĂǌĂƌĚŽƵƐ ŵĂƚĞƌŝĂůƐ͕ ŝŶĐůƵĚŝŶŐ ĨƵĞůƐ͕ ĐůĞĂŶĞƌƐ͕ ůƵďƌŝĐĂŶƚƐ͕ ĂĚŚĞƐŝǀĞƐ͕ ƐĞĂůĞƌƐ͕ ĂŶĚ ƉĞƐƚŝĐŝĚĞƐͬŚĞƌďŝĐŝĚĞƐ͘dŚĞƌŽƵƚŝŶĞƚƌĂŶƐƉŽƌƚ͕ƵƐĞ͕ŽƌĚŝƐƉŽƐĂůŽĨŚĂǌĂƌĚŽƵƐŵĂƚĞƌŝĂůƐǁŽƵůĚďĞůŝŵŝƚĞĚƚŽ ŵĂƚĞƌŝĂůƐĂŶĚ ƐŽůǀĞŶƚƐ ƵƐĞĚ ĨŽƌ ŵĂŝŶƚĞŶĂŶĐĞ ĂŶĚ ŽƉĞƌĂƚŝŽŶ ŽĨ ƚŚĞ ĨĂĐŝůŝƚǇ͕ ŝŶĐůƵĚŝŶŐ ƚŚĞ ƵƉŬĞĞƉ ŽĨ ůĂŶĚƐĐĂƉŝŶŐĂŶĚĐůĞĂŶŝŶŐƉƌŽĚƵĐƚƐ͘&ƵƌƚŚĞƌŵŽƌĞ͕ƚŚĞƵƐĞŽĨ ƚŚĞƐĞŵĂƚĞƌŝĂůƐǁŽƵůĚŶŽƚƉŽƐĞƐƵďƐƚĂŶƚŝĂů ƌŝƐŬƚŽ ƚŚĞ ƐƵƌƌŽƵŶĚŝŶŐƉŽƉƵůĂƚŝŽŶ ĂŶĚ ǁŽƵůĚ ŶŽƚ ĂĨĨĞĐƚŶĞĂƌďǇƐĐŚŽŽů͕ĚĞƐƉŝƚĞƚŚĞ ŶĞĂƌďǇ ŽŶsŝĞǁ

ůĞŵĞŶƚĂƌǇ^ĐŚŽŽůůŽĐĂƚĞĚĂƉƉƌŽǆŝŵĂƚĞůǇϬ͘ϮŵŝůĞƐŽƵƚŚĞĂƐƚŽĨƚŚĞWƌŽũĞĐƚƐŝƚĞ͘ 289
(QYLURQPHQWDO,PSDFW$QDO\VLV
dŚĞKŶƚĂƌŝŽWůĂŶ
/Z ϱϬ ŽŶsŝĞǁWƌŽũĞĐƚ
ĚĚĞŶĚƵŵƚŽƚŚĞ&ŝŶĂů
ŶǀŝƌŽŶŵĞŶƚĂů/ŵƉĂĐƚZĞƉŽƌƚ
&ƵƌƚŚĞƌŵŽƌĞ͕ŚĂǌĂƌĚŽƵƐŵĂƚĞƌŝĂůƐǁŽƵůĚďĞƵƐĞĚĂŶĚƐƚŽƌĞĚŝŶĂĐĐŽƌĚĂŶĐĞǁŝƚŚĂƉƉůŝĐĂďůĞƌĞŐƵůĂƚŝŽŶƐ ĂŶĚ ƐƵĐŚ ƵƐĞƐ ǁŽƵůĚ ďĞ ƌĞƋƵŝƌĞĚ ƚŽ ĐŽŵƉůǇ ǁŝƚŚ &ĞĚĞƌĂů ĂŶĚ ^ƚĂƚĞ ůĂǁƐ ƚŽ ƌĞĚƵĐĞ ƚŚĞ ƉŽƚĞŶƚŝĂů ĐŽŶƐĞƋƵĞŶĐĞƐŽĨŚĂǌĂƌĚŽƵƐŵĂƚĞƌŝĂůƐĂĐĐŝĚĞŶƚƐ͘tŝƚŚƚŚĞŝŵƉůĞŵĞŶƚĂƚŝŽŶŽĨƚŚĞŵŽƐƚĐƵƌƌĞŶƚŝŶĚƵƐƚƌǇ DWƐ͕ƚŚŝƐǁŽƵůĚƉƌŽƚĞĐƚŚƵŵĂŶŚĞĂůƚŚĂŶĚƚŚĞĞŶǀŝƌŽŶŵĞŶƚƐŚŽƵůĚĂŶǇĂĐĐŝĚĞŶƚĂůƐƉŝůůƐŽƌƌĞůĞĂƐĞƐŽĨ ŚĂǌĂƌĚŽƵƐŵĂƚĞƌŝĂůƐŽĐĐƵƌĚƵƌŝŶŐŽƉĞƌĂƚŝŽŶŽĨƚŚĞWƌŽũĞĐƚ͘EŽŶĞǁŝŵƉĂĐƚŽƌŝŶĐƌĞĂƐĞŝŶƚŚĞƐĞǀĞƌŝƚǇŽĨ ĂŶŝĚĞŶƚŝĨŝĞĚŝŵƉĂĐƚǁŽƵůĚƚŚĞƌĞĨŽƌĞŽĐĐƵƌǁŝƚŚŝŵƉůĞŵĞŶƚĂƚŝŽŶŽĨƚŚĞWƌŽũĞĐƚ͘ DŝƚŝŐĂƚŝŽŶWƌŽŐƌĂŵ
DŝƚŝŐĂƚŝŽŶDĞĂƐƵƌĞƐĨƌŽŵƚŚĞKŶƚĂƌŝŽ'W
/Z
EŽŶĞŝĚĞŶƚŝĨŝĞĚŝŶƚŚĞKŶƚĂƌŝŽ'W
/Z͘
ŽŶĐůƵƐŝŽŶ
dŚĞWƌŽũĞĐƚǁŽƵůĚƌĞƐƵůƚŝŶŶŽ ŶĞǁŽƌŵŽƌĞƐĞǀĞƌĞŝŵƉĂĐƚĚƵĞƚŽƚŚĞƚƌĂŶƐƉŽƌƚŽƌƐƚŽƌĂŐĞŽĨŚĂǌĂƌĚŽƵƐ ŵĂƚĞƌŝĂůƐ͘ ůĞƐƐ ƚŚĂŶ ƐŝŐŶŝĨŝĐĂŶƚ ŝŵƉĂĐƚ ǁĂƐ ŝĚĞŶƚŝĨŝĞĚ ŝŶ ƚŚĞ KŶƚĂƌŝŽ 'W /Z͘ dŚĞ WƌŽũĞĐƚ ǁŽƵůĚ ďĞ
ĚĞƐŝŐŶĞĚĐŽŶƐŝƐƚĞŶƚǁŝƚŚƚŚĞĂƉƉůŝĐĂďůĞŐƵŝĚĞůŝŶĞƐĂŶĚƐƚĂŶĚĂƌĚƐǁŝƚŚŝŶƚŚĞKŶƚĂƌŝŽ'W͕KŶƚĂƌŝŽD͕ĂŶĚ KŶƚĂƌŝŽĞǀĞůŽƉŵĞŶƚ ŽĚĞ͘dŚĞƌĞĨŽƌĞ͕ŶŽ ŶĞǁĂŶĚͬŽƌŵŽĚŝĨŝĞĚ ŵŝƚŝŐĂƚŝŽŶŵĞĂƐƵƌĞƐĂƌĞƌĞƋƵŝƌĞĚ ĨŽƌ ŝƐƐƵĞƐƌĞůĂƚĞĚƚŽŚĂǌĂƌĚŽƵƐŵĂƚĞƌŝĂůƐ͘
dŚƌĞƐŚŽůĚ;ĚͿ ĞůŽĐĂƚĞĚŽŶĂƐŝƚĞǁŚŝĐŚŝƐŝŶĐůƵĚĞĚŽŶĂůŝƐƚŽĨŚĂǌĂƌĚŽƵƐŵĂƚĞƌŝĂůƐĐŽŵƉŝůĞĚƉƵƌƐƵĂŶƚ ƚŽ'ŽǀĞƌŶŵĞŶƚŽĚĞ^ĞĐƚŝŽŶϲϱϵϲϮ͘ϱ ĂŶĚ͕ĂƐ Ă ƌĞƐƵůƚ͕ǁŽƵůĚ ŝƚ ĐƌĞĂƚĞĂ ƐŝŐŶŝĨŝĐĂŶƚ ŚĂǌĂƌĚƚŽƚŚĞƉƵďůŝĐŽƌƚŚĞĞŶǀŝƌŽŶŵĞŶƚ͍΀KŶƚĂƌŝŽ'W
/Z/ŵƉĂĐƚϱ͘ϴͲϮ΁
EŽEĞǁŽƌDŽƌĞ^ĞǀĞƌĞ/ŵƉĂĐƚ͗WƌŽũĞĐƚƐŝƚĞƌĞĐŽŶŶĂŝƐƐĂŶĐĞĐŽŶĚƵĐƚĞĚĨŽƌƚŚĞWŚĂƐĞ/ƐƚƵĚǇĨŽƵŶĚŶŽ ƉŚǇƐŝĐĂůƐŝŐŶƐŽĨƉƌĞǀŝŽƵƐŚĂǌĂƌĚŽƵƐŵĂƚĞƌŝĂůƐƉŝůůƐ͘EŽĚŽĐƵŵĞŶƚĞĚŚŝƐƚŽƌŝĐĂůŽĐĐƵƌƌĞŶĐĞƐŽĨŚĂǌĂƌĚŽƵƐ ŵĂƚĞƌŝĂůƐƉŝůůƐǁĞƌĞĨŽƵŶĚ͘EŽh^dƐǁĞƌĞŝĚĞŶƚŝĨŝĞĚŽŶƚŚĞWƌŽũĞĐƚƐŝƚĞǁŚŝůĞĂďŽǀĞŐƌŽƵŶĚƐƚŽƌĂŐĞƚĂŶŬƐ ŝŶĐůƵĚĞĚŵƵůƚŝƉůĞĐŽŵƉƌĞƐƐĞĚŐĂƐƚĂŶŬƐĂŶĚĐǇůŝŶĚĞƌƐ͘dŚĞĐŽŵƉƌĞƐƐĞĚŐĂƐƚĂŶŬƐŝŶĐůƵĚĞĚŽŶĞĞŵƉƚǇϱϱͲ ŐĂůůŽŶĚƌƵŵĂŶĚƚǁŽĞŵƉƚǇĐĂŶŝƐƚĞƌƐŽĨĂĐĞƚŽŶĞ͘,ĂǌĂƌĚŽƵƐŵĂƚĞƌŝĂůƐƚŽƌĂŐĞŽŶͲƐŝƚĞŝŶĐůƵĚĞĚĐůĞĂŶŝŶŐ ƐŽůƵƚŝŽŶƐĨŽƌŐĞŶĞƌĂůŚŽƵƐĞŬĞĞƉŝŶŐ͕ƉĂŝŶƚƐ͕ƐŽůǀĞŶƚƐ͕ĂŶĚŽŝůƐ͘dŚĞƐƚŽƌĂŐĞŽĨƚŚĞƐĞŵĂƚĞƌŝĂůƐǁĂƐĨŽƵŶĚ ƚŽďĞŝŶŐŽŽĚĐŽŶĚŝƚŝŽŶĂŶĚŚĂĚŶŽƚůĞĚƚŽƐƉŝůůƐŽƌĞŶǀŝƌŽŶŵĞŶƚĂůĐŽŶƚĂŵŝŶĂƚŝŽŶ͘ ϭϮ tĂƐƚĞƐƚŽƌĂŐĞŽŶƚŚĞWƌŽũĞĐƚƐŝƚĞŝŶĐůƵĚĞĚ ĂĐŽŶƚĂŝŶŵĞŶƚƉĂůůĞƚŽĨĨŽƵƌ ϱϱͲŐĂůůŽŶ ĚƌƵŵƐŽĨ ŚĂǌĂƌĚŽƵƐ ǁĂƐƚĞŽŝů͘tĂƐƚĞĐŽůůĞĐƚŝŽŶ ŽŶͲƐŝƚĞǁĂƐŽďƐĞƌǀĞĚƚŽŝŶĐůƵĚĞ ƚŚĞƌĞĐǇĐůŝŶŐŽĨŵĂƚĞƌŝĂůƐƐƵĐŚĂƐŵĞƚĂůƐ͕ ĐĂƌĚďŽĂƌĚƐ͕ĂŶĚƉůĂƐƚŝĐƐ͘EŽŽŝůƐƚĂŝŶŝŶŐǁĂƐŽďƐĞƌǀĞĚĂƌŽƵŶĚƚŚĞƐƚŽƌĂŐĞĐŽŶƚĂŝŶĞƌƐŽƌǁĂƐƚĞƌĞĐĞƉƚĂĐůĞƐ͘ tĂƐƚĞƐƚŽƌĂŐĞĐŽŶƚĂŝŶĞƌƐŽŶͲƐŝƚĞ ǁĞƌĞĐŽŶĨŝƌŵĞĚ ƚŽďĞ ŝŶ ŐŽŽĚ ĐŽŶĚŝƚŝŽŶ ǁŝƚŚŶŽ ƐŝŐŶŽĨ ůĞĂŬĂŐĞŽƌ ĚĂŵĂŐĞƚŽƚŚĞƐƵƌƌŽƵŶĚŝŶŐĞŶǀŝƌŽŶŵĞŶƚ͘ϭϯdŚĞWŚĂƐĞ/ĂƐƐĞƐƐŵĞŶƚĨŽƵŶĚƚŚĂƚƚŚĞƉƌĞǀŝŽƵƐƵƐĞƐŽĨƚŚĞ WƌŽũĞĐƚ ƐŝƚĞ ĂƌĞ ƵŶůŝŬĞůǇ ƚŽ ƉŽƐĞ ĂŶ ĞŶǀŝƌŽŶŵĞŶƚĂů ƌŝƐŬ ĨƌŽŵ ĐŽŶƚŝŶƵĞĚ ƵƐĂŐĞ ŽĨ ƚŚĞ WƌŽũĞĐƚ ƐŝƚĞ͘ ^ƵƌƌŽƵŶĚŝŶŐ ƵƐĞƐŶĞĂƌďǇƚŚĞWƌŽũĞĐƚƐŝƚĞǁĞƌĞĨŽƵŶĚ ƚŽďĞƵŶůŝŬĞůǇ ƚŽƉŽƐĞĞŶǀŝƌŽŶŵĞŶƚĂůƌŝƐŬƐƚŽƚŚĞ WƌŽũĞĐƚƐŝƚĞďĂƐĞĚŽŶǀĂƌŝŽƵƐĐŽŶĚŝƚŝŽŶƐ;ŝ͘Ğ͕͘ĚŝƐƚĂŶĐĞĨƌŽŵdĂƌŐĞƚWƌŽƉĞƌƚǇ͕ŐƌŽƵŶĚǁĂƚĞƌĨůŽǁĚŝƌĞĐƚŝŽŶ͕ ĂŶĚĂďƐĞŶĐĞŽĨƌĞƉŽƌƚĞĚĞŶǀŝƌŽŶŵĞŶƚĂůƌĞŐƵůĂƚŽƌǇǀŝŽůĂƚŝŽŶƐͿ͘ϭϰ ĐĐŽƌĚŝŶŐƚŽƚŚĞKŶƚĂƌŝŽ'W
/Z͕ƚŚĞŝƚǇĐŽŶƚĂŝŶƐĞŝŐŚƚ>ĞĂŬŝŶŐhŶĚĞƌŐƌŽƵŶĚ^ƚŽƌĂŐĞdĂŶŬ;>h^dͿƐŝƚĞƐ ǁŚŝĐŚ ĐŽƵůĚ Ɛƚŝůů ďĞ ůĞĂŬŝŶŐ ŚĂǌĂƌĚŽƵƐŵĂƚĞƌŝĂůƐ͘,ŽǁĞǀĞƌ͕ ďĂƐĞĚ ŽŶ ƚŚĞ ƵƉĚĂƚĞĚ ŽƌƚĞƐĞƐŝƚĞ ůŝƐƚ ϭϮKƌŝŽŶ
ŶǀŝƌŽŶŵĞŶƚĂů/ŶĐ͘WŚĂƐĞ/
ŶǀŝƌŽŶŵĞŶƚĂů ^ŝƚĞƐƐĞƐƐŵĞŶƚ^ŽƵƚŚŽŶsŝĞǁǀĞŶƵĞĂŶĚ ĂƐƚĞĚĂƌ^ƚƌĞĞƚKŶƚĂƌŝŽ͕ĂůŝĨŽƌŶŝĂ͘ WĂŐĞϰͲϰ͘ ϭϯ/ďŝĚWĂŐĞƐϰͲϰƚŚƌŽƵŐŚϰͲϱ͘ ϭϰ/ďŝĚ͘WĂŐĞƐϱͲϱƚŚƌŽƵŐŚϱͲϲ͘
290
(QYLURQPHQWDO,PSDFW$QDO\VLV
dŚĞKŶƚĂƌŝŽWůĂŶ
/Z ϱϭ ŽŶsŝĞǁWƌŽũĞĐƚ
ĚĚĞŶĚƵŵƚŽƚŚĞ&ŝŶĂů
ŶǀŝƌŽŶŵĞŶƚĂů/ŵƉĂĐƚZĞƉŽƌƚ
ŵĂŝŶƚĂŝŶĞĚďǇƚŚĞĂůŝĨŽƌŶŝĂĞƉĂƌƚŵĞŶƚŽĨdŽǆŝĐ^ƵďƐƚĂŶĐĞƐŽŶƚƌŽů;d^Ϳ͕ƚŚĞŝƚǇĚŽĞƐŶŽƚĐŽŶƚĂŝŶ ĂŶǇĂĐƚŝǀĞŚĂǌĂƌĚŽƵƐǁĂƐƚĞƐƵďƐƚĂŶĐĞƐŝƚĞƐ͘ϭϱWŽƚĞŶƚŝĂůŚĂǌĂƌĚƐƚŽĐŽŶƐƚƌƵĐƚŝŽŶǁŽƌŬĞƌƐĂŶĚƚŚĞƉƵďůŝĐ ŵĂǇ ŽĐĐƵƌ ĂƐ ĂƌĞƐƵůƚ ŽĨ ĐŽŶƐƚƌƵĐƚŝŽŶ ĂĐƚŝǀŝƚŝĞƐŽŶ ĞǆŝƐƚŝŶŐƐŝƚĞƐƚŚĂƚ ĐŽƵůĚ ďĞ ĐŽŶƚĂŵŝŶĂƚĞĚ͘&ƵƚƵƌĞ ĚĞǀĞůŽƉŵĞŶƚŽĨĂŶǇŽĨƚŚĞƐĞĚŽĐƵŵĞŶƚĞĚŚĂǌĂƌĚŽƵƐŵĂƚĞƌŝĂůƐƐŝƚĞƐǁŽƵůĚƌĞƋƵŝƌĞƉƌŝŽƌƌĞŵĞĚŝĂƚŝŽŶĂŶĚ ĐůĞĂŶƵƉƵŶĚĞƌƚŚĞƐƵƉĞƌǀŝƐŝŽŶŽĨƚŚĞd^ŝŶŽƌĚĞƌƚŽŵĞĞƚ&ĞĚĞƌĂů͕^ƚĂƚĞ͕ĂŶĚůŽĐĂůƐƚĂŶĚĂƌĚƐ͘ &ƵƌƚŚĞƌŵŽƌĞ͕ƚŚĞWƌŽũĞĐƚƐŝƚĞŚĂƐďĞĞŶƉƌĞǀŝŽƵƐůǇĚĞǀĞůŽƉĞĚǁŝƚŚŝŶĚƵƐƚƌŝĂůĂŶĚǁĂƌĞŚŽƵƐŝŶŐƵƐĞƐǁŚŝĐŚ ǁŽƵůĚďĞĐŽŶƐŝƐƚĞŶƚǁŝƚŚƚŚĞƉƌŽƉŽƐĞĚƵƐĞƐ͘ĞĐĂƵƐĞƚŚĞƉƌŽƉŽƐĞĚƵƐĞƐǁŽƵůĚďĞƐŝŵŝůĂƌƚŽƚŚĞĞǆŝƐƚŝŶŐ ƵƐĞƐ͕ŶŽ ŶĞǁ ŝŵƉĂĐƚƐ ĂƌĞ ĂŶƚŝĐŝƉĂƚĞĚ ĂƐ ƉĂƌƚ ŽĨ ƚŚĞ WƌŽũĞĐƚ ĂŶĚ ŶŽ ŶĞǁ ŵŝƚŝŐĂƚŝŽŶ ŵĞĂƐƵƌĞƐĂƌĞ ƌĞĐŽŵŵĞŶĚĞĚ͘/ŵƉĂĐƚƐǁŽƵůĚƌĞŵĂŝŶůĞƐƐƚŚĂŶƐŝŐŶŝĨŝĐĂŶƚǁŝƚŚŽƵƚŵŝƚŝŐĂƚŝŽŶĂƉƉůŝĞĚ͘ DŝƚŝŐĂƚŝŽŶWƌŽŐƌĂŵ
DŝƚŝŐĂƚŝŽŶDĞĂƐƵƌĞƐĨƌŽŵƚŚĞKŶƚĂƌŝŽ'W
/Z
EŽŶĞŝĚĞŶƚŝĨŝĞĚŝŶƚŚĞKŶƚĂƌŝŽ'W
/Z͘
ŽŶĐůƵƐŝŽŶ
dŚĞWƌŽũĞĐƚǁŽƵůĚƌĞƐƵůƚŝŶŶŽ ŶĞǁŽƌŵŽƌĞƐĞǀĞƌĞŝŵƉĂĐƚĚƵĞƚŽƚŚĞŚĂǌĂƌĚŽƵƐǁĂƐƚĞƐŝƚĞ͘ůĞƐƐƚŚĂŶ ƐŝŐŶŝĨŝĐĂŶƚŝŵƉĂĐƚǁĂƐŝĚĞŶƚŝĨŝĞĚŝŶƚŚĞKŶƚĂƌŝŽ'W
/Z͘dŚĞWƌŽũĞĐƚǁŽƵůĚďĞĚĞƐŝŐŶĞĚĐŽŶƐŝƐƚĞŶƚǁŝƚŚƚŚĞ
ĂƉƉůŝĐĂďůĞŐƵŝĚĞůŝŶĞƐĂŶĚƐƚĂŶĚĂƌĚƐǁŝƚŚŝŶƚŚĞKŶƚĂƌŝŽ'W͕KŶƚĂƌŝŽD͕ĂŶĚKŶƚĂƌŝŽĞǀĞůŽƉŵĞŶƚŽĚĞ͘ dŚĞƌĞĨŽƌĞ͕ŶŽ ŶĞǁ ĂŶĚͬŽƌŵŽĚŝĨŝĞĚ ŵŝƚŝŐĂƚŝŽŶŵĞĂƐƵƌĞƐĂƌĞƌĞƋƵŝƌĞĚ ĨŽƌ ŝƐƐƵĞƐƌĞůĂƚĞĚƚŽ ŚĂǌĂƌĚŽƵƐ ŵĂƚĞƌŝĂůƐ͘
dŚƌĞƐŚŽůĚ;ĞͿ &ŽƌĂWƌŽũĞĐƚůŽĐĂƚĞĚǁŝƚŚŝŶĂŶĂŝƌƉŽƌƚůĂŶĚƵƐĞƉůĂŶ͕ŽƌǁŚĞƌĞƐƵĐŚĂƉůĂŶŚĂƐŶŽƚďĞĞŶ ĂĚŽƉƚĞĚ͕ǁŝƚŚŝŶƚǁŽŵŝůĞƐ ŽĨĂƉƵďůŝĐĂŝƌƉŽƌƚŽƌƉƵďůŝĐƵƐĞĂŝƌƉŽƌƚ͕ƌĞƐƵůƚŝŶĂƐĂĨĞƚǇ ŚĂǌĂƌĚŽƌĞǆĐĞƐƐŝǀĞŶŽŝƐĞĨŽƌƉĞŽƉůĞƌĞƐŝĚŝŶŐŽƌǁŽƌŬŝŶŐƚŚĞƉƌŽũĞĐƚĂƌĞĂ͍΀KŶƚĂƌŝŽ'W

/Z/ŵƉĂĐƚϱ͘ϴͲϯ΁
dŚƌĞƐŚŽůĚ;ĨͿ &ŽƌĂ ƉƌŽũĞĐƚŝŶƚŚĞǀŝĐŝŶŝƚǇŽĨĂ ƉƌŝǀĂƚĞĂŝƌƐƚƌŝƉ͕ƌĞƐƵůƚŝŶĂƐĂĨĞƚǇŚĂǌĂƌĚĨŽƌƉĞŽƉůĞ ƌĞƐŝĚŝŶŐŽƌǁŽƌŬŝŶŐŝŶƚŚĞƉƌŽũĞĐƚĂƌĞĂ͘΀KŶƚĂƌŝŽ'W
/Z/ŵƉĂĐƚϱ͘ϴͲϰ΁΀EŽƚŝŶĐůƵĚĞĚŝŶ
ƚŚĞƵƉĚĂƚĞĚ
YƉƉĞŶĚŝǆ'dŚƌĞƐŚŽůĚƐ΁
EŽEĞǁŽƌDŽƌĞ^ĞǀĞƌĞ/ŵƉĂĐƚ͗dŚĞKŶƚĂƌŝŽ'W
/ZĐŽŶĐůƵĚĞĚƚŚĂƚĂůƚŚŽƵŐŚ ƚŚĞŝƚǇĐŽŶƚĂŝŶƐƉŽƌƚŝŽŶƐ ŽĨƚŚĞ>ŽƐŶŐĞůĞƐͬKŶƚĂƌŝŽ/ŶƚĞƌŶĂƚŝŽŶĂůŝƌƉŽƌƚ;>KEdͿĂŶĚŚŝŶŽŝƌƉŽƌƚůĂŶĚƵƐĞĐŽŵƉĂƚŝďŝůŝƚǇǌŽŶĞƐ͕ ƚŚĞĞƐƚĂďůŝƐŚĞĚůĂŶĚƵƐĞƉŽůŝĐŝĞƐǁŝƚŚŝŶĞĂĐŚǌŽŶĞǁŽƵůĚůŝŵŝƚƌŝƐŬƐĨƌŽŵĨƵƚƵƌĞĚĞǀĞůŽƉŵĞŶƚ͘dŚĞWƌŽũĞĐƚ ŝƐŽƵƚƐŝĚĞŽĨ ƚŚĞ ŚŝŶŽŝƌƉŽƌƚ ĐŽŵƉĂƚŝďŝůŝƚǇĂƌĞĂĞŶƚŝƌĞůǇ͘,ŽǁĞǀĞƌ͕ƚŚĞWƌŽũĞĐƚƌĞŵĂŝŶƐŝŶƐŝĚĞŽĨ ƚŚĞ >KEdĐŽŵƉĂƚŝďŝůŝƚǇĂƌĞĂ͘ĞƐƉŝƚĞƚŚŝƐ͕ƚŚĞWƌŽũĞĐƚŝƐŽƵƚƐŝĚĞŽĨƚŚĞ>KEdƐĂĨĞƚǇǌŽŶĞƐĂƐĞƐƚĂďůŝƐŚĞĚďǇ ƚŚĞKŶƚĂƌŝŽ /ŶƚĞƌŶĂƚŝŽŶĂůŝƌƉŽƌƚ >ĂŶĚhƐĞŽŵƉĂƚŝďŝůŝƚǇWůĂŶ ǁŚŝĐŚ ǁĂƐƵƉĚĂƚĞĚ ŝŶ :ƵŶĞϮϬϭϴ͘ϭϲdŚĞ ϭϱĞƉĂƌƚŵĞŶƚŽĨdŽǆŝĐ ^ƵďƐƚĂŶĐĞƐŽŶƚƌŽů͘ ;ϮϬϮϭͿ͘
ŶǀŝƌŽ^ƚŽƌ͘
ŚƚƚƉƐ͗ͬͬǁǁǁ͘ĞŶǀŝƌŽƐƚŽƌ͘ĚƚƐĐ͘ĐĂ͘ŐŽǀͬƉƵďůŝĐͬƐĞĂƌĐŚ͘ĂƐƉ͍ƉĂŐĞсϱΘĐŵĚсƐĞĂƌĐŚΘďƵƐŝŶĞƐƐͺŶĂŵĞсΘŵĂŝŶͺƐƚƌĞĞƚͺŶĂŵĞсΘĐŝƚǇсΘǌŝƉсΘĐŽƵŶƚǇсΘ ƐƚĂƚƵƐсdйϮ<>'йϮKDΘďƌĂŶĐŚсΘƐŝƚĞͺƚǇƉĞс^/d
^йϮ&h^ΘŶƉůсΘĨƵŶĚŝŶŐсΘƌĞƉŽƌƚƚŝƚůĞс,ZKh^нt^d
нEн^h^dE
^н
^/d
н>/^dнйϮϴKZd
^
йϮϵΘƌĞƉŽƌƚƚǇƉĞсKZd
^
Θ&ĞĚĞƌĂůͺƐƵƉĞƌĨƵŶĚсΘƐƚĂƚĞͺƌĞƐƉŽŶƐĞсΘǀŽůƵŶƚĂƌǇͺĐůĞĂŶƵƉсΘƐĐŚŽŽůͺĐůĞĂŶƵƉсΘŽƉĞƌĂƚŝŶ ŐсΘƉŽƐƚͺĐůŽƐƵƌĞсΘŶŽŶͺŽƉĞƌĂƚŝŶŐсΘĐŽƌƌĞĐƚŝǀĞͺĂĐƚŝŽŶсΘƚŝĞƌĞĚͺƉĞƌŵŝƚсΘĞǀĂůƵĂƚŝŽŶсΘƐƉĞĐͺƉƌŽŐсΘŶĂƚŝŽŶĂůͺƉƌŝŽƌŝƚǇͺůŝƐƚсΘƐĞŶĂƚĞсΘĐŽŶŐ ƌ ĞƐƐсΘĂƐƐĞŵďůǇсΘĐƌŝƚŝĐĂůͺƉŽůсΘďƵƐŝŶĞƐƐͺƚǇƉĞсΘĐĂƐĞͺƚǇƉĞсΘƐĞĂƌĐŚƚǇƉĞсΘŚǁŵƉͺƐŝƚĞͺƚǇƉĞсΘĐůĞĂŶƵƉͺƚǇƉĞсΘŽĐŝĞĞƌƉсΘŚǁŵƉс&ĂůƐĞΘƉĞƌ ŵŝƚƚĞĚсΘƉĐͺƉĞƌŵŝƚƚĞĚсΘŝŶƐƉĞĐƚŝŽŶƐсΘŝŶƐƉĞĐƚŝŽŶƐŽƚŚĞƌсΘĐŽŵƉůĂŝŶƚƐсΘĐĞŶƐƵƐƚƌĂĐƚсΘĐĞƐ ĚĞĐŝůĞсΘƐĐŚŽŽůͺĚŝƐƚƌŝĐƚсΘ ŽƌĚĞƌďǇсĐŝƚǇ ;ĂĐĐĞƐƐĞĚ ƵŐƵƐƚϴ͕ϮϬϮϭͿ͘ ϭϲdŚĞKŶƚĂƌŝŽ/ŶƚĞƌŶĂƚŝŽŶĂůŝƌƉŽƌƚʹ/ŶƚĞƌŐĞŶĐǇŽůůĂďŽƌĂƚŝǀĞ;KEdͲ/Ϳ͘;ϮϬϭϴͿ͘KŶƚĂƌŝŽ/ŶƚĞƌŶĂƚŝŽŶĂůŝƌƉŽƌƚ>ĂŶĚhƐĞŽŵƉĂƚŝďŝůŝƚǇ WůĂŶ ;:ƵůǇϮϬϭϴŵĞŶĚŵĞŶƚͿDĂƉϮͲϮ͘ZĞƚƌŝĞǀĞĚĨƌŽŵ͗ŚƚƚƉƐ͗ͬͬǁǁǁ͘ŽŶƚͲŝĂĐ͘ĐŽŵͬǁƉͲĐŽŶƚĞŶƚͬƵƉůŽĂĚƐͬϮϬϭϵͬϬϮͬKEdͲ/ͲƉŽůŝĐǇͲŵĂƉͲϮͲϮ͘ƉĚĨ ;ĐĐĞƐƐĞĚƵŐƵƐƚϵ͕ϮϬϮϭͿ
291
(QYLURQPHQWDO,PSDFW$QDO\VLV
dŚĞKŶƚĂƌŝŽWůĂŶ
/Z ϱϮ ŽŶsŝĞǁWƌŽũĞĐƚ
ĚĚĞŶĚƵŵƚŽƚŚĞ&ŝŶĂů
ŶǀŝƌŽŶŵĞŶƚĂů/ŵƉĂĐƚZĞƉŽƌƚ
WƌŽũĞĐƚǁŽƵůĚƚŚĞƌĞĨŽƌĞŶŽƚĐŽŶĨůŝĐƚǁŝƚŚƚŚĞĞƐƚĂďůŝƐŚĞĚĂŝƌƉŽƌƚůĂŶĚƵƐĞƉůĂŶƐĂŶĚǁŽƵůĚŶŽƚƌĞƐƵůƚŝŶĂ ƐĂĨĞƚǇŚĂǌĂƌĚ͘
DŝƚŝŐĂƚŝŽŶWƌŽŐƌĂŵ
DŝƚŝŐĂƚŝŽŶDĞĂƐƵƌĞƐĨƌŽŵƚŚĞKŶƚĂƌŝŽ'W
/Z
EŽŶĞŝĚĞŶƚŝĨŝĞĚŝŶƚŚĞKŶƚĂƌŝŽ'W
/Z͘
ŽŶĐůƵƐŝŽŶ
dŚĞ WƌŽũĞĐƚ ǁŽƵůĚ ƌĞƐƵůƚ ŝŶ ŶŽ ŶĞǁ ŽƌŵŽƌĞ ƐĞǀĞƌĞŝŵƉĂĐƚ ĚƵĞ ƚŽ ƉƌŽǆŝŵŝƚǇ ƚŽ ĂŝƌƉŽƌƚƐ͘ ůĞƐƐƚŚĂŶ ƐŝŐŶŝĨŝĐĂŶƚŝŵƉĂĐƚǁĂƐŝĚĞŶƚŝĨŝĞĚŝŶƚŚĞKŶƚĂƌŝŽ'W
/Z͘dŚĞWƌŽũĞĐƚǁŽƵůĚďĞĚĞƐŝŐŶĞĚĐŽŶƐŝƐƚĞŶƚǁŝƚŚƚŚĞ
ĂƉƉůŝĐĂďůĞŐƵŝĚĞůŝŶĞƐĂŶĚƐƚĂŶĚĂƌĚƐǁŝƚŚŝŶƚŚĞKŶƚĂƌŝŽ'W͕KŶƚĂƌŝŽD͕ĂŶĚKŶƚĂƌŝŽĞǀĞůŽƉŵĞŶƚŽĚĞ͘ dŚĞƌĞĨŽƌĞ͕ŶŽ ŶĞǁĂŶĚͬŽƌŵŽĚŝĨŝĞĚŵŝƚŝŐĂƚŝŽŶŵĞĂƐƵƌĞƐĂƌĞƌĞƋƵŝƌĞĚĨŽƌ ŝƐƐƵĞƐƌĞůĂƚĞĚƚŽĂŝƌƉŽƌƚůĂŶĚ ƵƐĞƉůĂŶƐ͘
dŚƌĞƐŚŽůĚ;ŐͿ /ŵƉĂŝƌŝŵƉůĞŵĞŶƚĂƚŝŽŶŽĨŽƌƉŚǇƐŝĐĂůůǇŝŶƚĞƌĨĞƌĞǁŝƚŚĂŶĂĚŽƉƚĞĚĞŵĞƌŐĞŶĐǇƌĞƐƉŽŶƐĞ ƉůĂŶŽƌĞŵĞƌŐĞŶĐǇĞǀĂĐƵĂƚŝŽŶƉůĂŶ͘΀KŶƚĂƌŝŽ'W
/Z/ŵƉĂĐƚϱ͘ϴͲϱ΁
EŽEĞǁŽƌDŽƌĞ^ĞǀĞƌĞ/ŵƉĂĐƚƐ͗dŚĞKŶƚĂƌŝŽ'W
/ZĐŽŶĐůƵĚĞĚ ƚŚĂƚƚŚĞŝƚǇ͛ƐƵƉĚĂƚĞĚ>ŽĐĂů,ĂǌĂƌĚ
DŝƚŝŐĂƚŝŽŶWůĂŶ ĂŶĚ ƌĞŐŝŽŶĂůĞŵĞƌŐĞŶĐǇ ĐŽŶŶĞĐƚŝŽŶƐ ǁŽƵůĚ ƉƌŽǀŝĚĞ ƉƌŽƉĞƌ ĞŵĞƌŐĞŶĐǇƌĞƐƉŽŶƐĞĂŶĚ ĞǀĂĐƵĂƚŝŽŶŝŶ ĐĂƐĞƐŽĨ ĞŵĞƌŐĞŶĐǇ͘dŚĞ ŝƚǇ͛Ɛ>ŽĐĂů,ĂǌĂƌĚDŝƚŝŐĂƚŝŽŶWůĂŶ ĞƐƚĂďůŝƐŚĞƐƚŚĂƚŝŶƚĞƌƐƚĂƚĞƐ ǁŽƵůĚƐĞƌǀĞĂƐĞŵĞƌŐĞŶĐǇĞǀĂĐƵĂƚŝŽŶƌŽƵƚĞƐ͘ϭϳdŚĞWƌŽũĞĐƚǁŽƵůĚŶŽƚŝŶƚĞƌĨĞƌĞǁŝƚŚŝŶƚĞƌƐƚĂƚĞĐĂƉĂĐŝƚǇ ĂŶĚǁŽƵůĚŶŽƚŝŶĐůƵĚĞŵŽĚŝĨŝĐĂƚŝŽŶƐƚŽŚŝŐŚǁĂǇƐǇƐƚĞŵƐǁŝƚŚŝŶƚŚĞŝƚǇ͘&ƵƌƚŚĞƌŵŽƌĞ͕ƚŚĞWƌŽũĞĐƚǁŽƵůĚ ŶŽƚŵŽĚŝĨǇƚŚĞƌŽĂĚǁĂǇŝŶĂǁĂǇƚŚĂƚǁŽƵůĚŝŶŚŝďŝƚƚŚĞƚƌĂǀĞƌƐĂůŽĨĞŵĞƌŐĞŶĐǇƌĞƐƉŽŶĚĞƌƐ͘dǁŽĚƌŝǀĞǁĂǇƐ ǁŽƵůĚďĞĚĞǀĞůŽƉĞĚĂůŽŶŐŽŶsŝĞǁǀĞŶƵĞƚŽĐŽŶŶĞĐƚƚŚĞWƌŽũĞĐƚƐŝƚĞƚŽƚŚĞŝƚǇ͛ƐĐŝƌĐƵůĂƚŝŽŶŶĞƚǁŽƌŬ͘ dŚŝƐ ƉƌŽĐĞƐƐǁŽƵůĚ ŶŽƚ ŝŵƉĞĚĞ ƚŚĞ ŝƚǇ͛ƐĞŵĞƌŐĞŶĐǇƌĞƐƉŽŶƐĞĐĂƉĂĐŝƚǇĂŶĚ ǁŽƵůĚ ĂůůŽǁ ĨŽƌ ŐƌĞĂƚĞƌ ƌĞƐƉŽŶƐĞƚŽƉŽƚĞŶƚŝĂůĞŵĞƌŐĞŶĐŝĞƐǁŝƚŚŝŶƚŚĞWƌŽũĞĐƚƐŝƚĞ͘ ƐƐƵĐŚ͕ĨƵƚƵƌĞĚĞǀĞůŽƉŵĞŶƚǁŝƚŚŝŶWƌŽũĞĐƚďŽƵŶĚĂƌŝĞƐǁŽƵůĚŶŽƚŝŶƚĞƌĨĞƌĞǁŝƚŚĂŶĂĚŽƉƚĞĚĞŵĞƌŐĞŶĐǇ ƌĞƐƉŽŶƐĞƉůĂŶ ĂŶĚͬŽƌ ƚŚĞ ĞŵĞƌŐĞŶĐǇĞǀĂĐƵĂƚŝŽŶ ƉůĂŶ ĂŶĚ ůĞƐƐƚŚĂŶ ƐŝŐŶŝĨŝĐĂŶƚŝŵƉĂĐƚƐǁŽƵůĚ ŽĐĐƵƌ͘ ĐĐŽƌĚŝŶŐůǇ͕ŶŽ ŶĞǁŽƌŵŽƌĞƐĞǀĞƌĞŝŵƉĂĐƚĨƌŽŵĂƉƌĞǀŝŽƵƐůǇ ŝĚĞŶƚŝĨŝĞĚƐŝŐŶŝĨŝĐĂŶƚŝŵƉĂĐƚĞǀĂůƵĂƚĞĚŝŶ ƚŚĞKŶƚĂƌŝŽ'W
/ZǁŽƵůĚŽĐĐƵƌ͘ĚĚŝƚŝŽŶĂůůǇ͕ŶŽŶĞǁŝŶĨŽƌŵĂƚŝŽŶŽĨƐƵďƐƚĂŶƚŝĂůŝŵƉŽƌƚĂŶĐĞƚŚĂƚǁĂƐŶŽƚ ŬŶŽǁŶĂŶĚĐŽƵůĚŶŽƚŚĂǀĞďĞĞŶŬŶŽǁŶĂƚƚŚĞƚŝŵĞƚŚĞKŶƚĂƌŝŽ'W /ZǁĂƐĐĞƌƚŝĨŝĞĚŝƐĂǀĂŝůĂďůĞƚŚĂƚǁŽƵůĚ
ĐŚĂŶŐĞƚŚĞŝŵƉĂĐƚĨŝŶĚŝŶŐ͘
DŝƚŝŐĂƚŝŽŶWƌŽŐƌĂŵ
DŝƚŝŐĂƚŝŽŶĨƌŽŵƚŚĞKŶƚĂƌŝŽ'W
/Z
EŽŶĞŝĚĞŶƚŝĨŝĞĚŝŶƚŚĞKŶƚĂƌŝŽ'W
/Z͘
ŽŶĐůƵƐŝŽŶ
dŚĞWƌŽũĞĐƚǁŽƵůĚƌĞƐƵůƚŝŶŶŽŶĞǁŽƌŵŽƌĞƐĞǀĞƌĞŝŵƉĂĐƚĚƵĞƚŽƚŚĞŝŶŚŝďŝƚŝŽŶ ŽĨĞŵĞƌŐĞŶĐǇĂĐĐĞƐƐ͘ ůĞƐƐƚŚĂŶƐŝŐŶŝĨŝĐĂŶƚŝŵƉĂĐƚǁĂƐŝĚĞŶƚŝĨŝĞĚŝŶƚŚĞKŶƚĂƌŝŽ'W /Z͘dŚĞWƌŽũĞĐƚǁŽƵůĚďĞĚĞƐŝŐŶĞĚĐŽŶƐŝƐƚĞŶƚ
ϭϳŝƚǇŽĨKŶƚĂƌŝŽ͘;ϮϬϭϴͿ͘ŝƚǇŽĨKŶƚĂƌŝŽϮϬϭϴ,ĂǌĂƌĚDŝƚŝŐĂƚŝŽŶWůĂŶ͘WĂŐĞϰͲϭϬϮ͘ZĞƚƌŝĞǀĞĚĨƌŽŵ͗ ŚƚƚƉƐ͗ͬͬǁǁǁ͘ŽŶƚĂƌŝŽĐĂ͘ŐŽǀͬƐŝƚĞƐͬĚĞĨĂƵůƚͬĨŝůĞƐͬKŶƚĂƌŝŽͲ&ŝůĞƐͬ ŵĞƌŐĞŶĐǇͲDĂŶĂŐĞŵĞŶƚͬZĞĂĚǇKŶƚĂƌŝŽͬĐŝƚǇͺŽĨͺŽŶƚĂƌŝŽͺϮϬϭϴͺŚŵƉ͘ƉĚĨ ;ĐĐĞƐƐĞĚƵŐƵƐƚϵ͕ϮϬϮϭͿ
292
(QYLURQPHQWDO,PSDFW$QDO\VLV
dŚĞKŶƚĂƌŝŽWůĂŶ
/Z ϱϯ ŽŶsŝĞǁWƌŽũĞĐƚ
ĚĚĞŶĚƵŵƚŽƚŚĞ&ŝŶĂů
ŶǀŝƌŽŶŵĞŶƚĂů/ŵƉĂĐƚZĞƉŽƌƚ
ǁŝƚŚ ƚŚĞ ĂƉƉůŝĐĂďůĞ ŐƵŝĚĞůŝŶĞƐ ĂŶĚ ƐƚĂŶĚĂƌĚƐ ǁŝƚŚŝŶ ƚŚĞ KŶƚĂƌŝŽ 'W͕ KŶƚĂƌŝŽ D͕ ĂŶĚ KŶƚĂƌŝŽ ĞǀĞůŽƉŵĞŶƚ ŽĚĞ͘dŚĞƌĞĨŽƌĞ͕ ŶŽ ŶĞǁ ĂŶĚͬŽƌ ŵŽĚŝĨŝĞĚ ŵŝƚŝŐĂƚŝŽŶŵĞĂƐƵƌĞƐĂƌĞ ƌĞƋƵŝƌĞĚ ĨŽƌ ŝƐƐƵĞƐ ƌĞůĂƚĞĚƚŽĞŵĞƌŐĞŶĐǇƌĞƐƉŽŶƐĞĐĂƉĂďŝůŝƚŝĞƐ͘
dŚƌĞƐŚŽůĚ;ŚͿ
ǆƉŽƐĞƉĞŽƉůĞŽƌƐƚƌƵĐƚƵƌĞƐ͕ĞŝƚŚĞƌĚŝƌĞĐƚůǇŽƌŝŶĚŝƌĞĐƚůǇ͕ƚŽĂƐŝŐŶŝĨŝĐĂŶƚƌŝƐŬŽĨ ůŽƐƐ͕ ŝŶũƵƌǇ͕ŽƌĚĞĂƚŚŝŶǀŽůǀŝŶŐǁŝůĚůĂŶĚĨŝƌĞƐ͘΀KŶƚĂƌŝŽ'W /Z/ŵƉĂĐƚϱ͘ϴͲϲ΁
EŽEĞǁŽƌDŽƌĞ^ĞǀĞƌĞ/ŵƉĂĐƚƐ͗dŚĞWƌŽũĞĐƚǁŽƵůĚ ŶŽƚĞǆƉŽƐĞƉĞŽƉůĞ ŽƌƐƚƌƵĐƚƵƌĞƐƚŽĂƌŝƐŬŽĨůŽƐƐ͕ ŝŶũƵƌǇ Žƌ ĚĞĂƚŚŝŶǀŽůǀŝŶŐ ǁŝůĚůĂŶĚ ĨŝƌĞƐ͕ŝŶĐůƵĚŝŶŐ ǁŚĞƌĞ ǁŝůĚůĂŶĚƐ ĂƌĞĂĚũĂĐĞŶƚƚŽƵƌďĂŶŝǌĞĚ ĂƌĞĂƐŽƌ ǁŚĞƌĞƌĞƐŝĚĞŶĐĞƐĂƌĞŝŶƚĞƌŵŝǆĞĚǁŝƚŚǁŝůĚůĂŶĚƐ͘dŚĞWƌŽũĞĐƚƐŝƚĞŝƐůŽĐĂƚĞĚǁŝƚŚŝŶĂŶƵƌďĂŶŝǌĞĚĂƌĞĂĂŶĚ ŝƐƐƵƌƌŽƵŶĚĞĚ ďǇ ĚĞǀĞůŽƉŵĞŶƚ ŽŶ ĂůůƐŝĚĞƐ͘dŚĞWƌŽũĞĐƚ ƐŝƚĞŝƐŶŽƚ ůŽĐĂƚĞĚ ǁŝƚŚŝŶ Žƌ ĂĚũĂĐĞŶƚƚŽ ůĂŶĚ ĚĞƐŝŐŶĂƚĞĚĂƐĂǀĞƌǇŚŝŐŚĨŝƌĞŚĂǌĂƌĚƐĞǀĞƌŝƚǇǌŽŶĞ;s,&,^Ϳ͘ϭϴ/ŵƉĂĐƚƐƌĞůĂƚĞĚƚŽǁŝůĚůĂŶĚĨŝƌĞƐǁŽƵůĚŶŽƚ ďĞƐŝŐŶŝĨŝĐĂŶƚ͘ĐĐŽƌĚŝŶŐůǇ͕ŶŽŶĞǁŽƌŵŽƌĞƐĞǀĞƌĞŝŵƉĂĐƚĨƌŽŵĂƉƌĞǀŝŽƵƐůǇŝĚĞŶƚŝĨŝĞĚƐŝŐŶŝĨŝĐĂŶƚŝŵƉĂĐƚ ĞǀĂůƵĂƚĞĚŝŶƚŚĞKŶƚĂƌŝŽ'W
/ZǁŽƵůĚŽĐĐƵƌ͘ĚĚŝƚŝŽŶĂůůǇ͕ŶŽŶĞǁŝŶĨŽƌŵĂƚŝŽŶŽĨƐƵďƐƚĂŶƚŝĂůŝŵƉŽƌƚĂŶĐĞ ƚŚĂƚǁĂƐŶŽƚ ŬŶŽǁŶ ĂŶĚ ĐŽƵůĚ ŶŽƚ ŚĂǀĞďĞĞŶ ŬŶŽǁŶ ĂƚƚŚĞ ƚŝŵĞƚŚĞ KŶƚĂƌŝŽ'W /ZǁĂƐĐĞƌƚŝĨŝĞĚŝƐ
ĂǀĂŝůĂďůĞƚŚĂƚǁŽƵůĚĐŚĂŶŐĞƚŚĞŝŵƉĂĐƚĨŝŶĚŝŶŐ͘
DŝƚŝŐĂƚŝŽŶWƌŽŐƌĂŵ
DŝƚŝŐĂƚŝŽŶĨƌŽŵƚŚĞKŶƚĂƌŝŽ'W
/Z
EŽŶĞŝĚĞŶƚŝĨŝĞĚŝŶƚŚĞKŶƚĂƌŝŽ'W
/Z͘
ŽŶĐůƵƐŝŽŶ
dŚĞWƌŽũĞĐƚǁŽƵůĚƌĞƐƵůƚŝŶůĞƐƐƚŚĂŶƐŝŐŶŝĨŝĐĂŶƚŝŵƉĂĐƚƐŝŶƌĞůĂƚŝŽŶƚŽǁŝůĚůĂŶĚĨŝƌĞƐ͘ůĞƐƐƚŚĂŶƐŝŐŶŝĨŝĐĂŶƚ ŝŵƉĂĐƚǁĂƐĂůƐŽŝĚĞŶƚŝĨŝĞĚ ŝŶ ƚŚĞ KŶƚĂƌŝŽ 'W
/Z͘dŚĞWƌŽũĞĐƚ ǁŽƵůĚ ďĞ ĚĞƐŝŐŶĞĚĐŽŶƐŝƐƚĞŶƚǁŝƚŚƚŚĞ ĂƉƉůŝĐĂďůĞŐƵŝĚĞůŝŶĞƐĂŶĚƐƚĂŶĚĂƌĚƐǁŝƚŚŝŶƚŚĞKŶƚĂƌŝŽ'W͕KŶƚĂƌŝŽD͕ĂŶĚKŶƚĂƌŝŽĞǀĞůŽƉŵĞŶƚŽĚĞ͘ dŚĞƌĞĨŽƌĞ͕ŶŽŶĞǁĂŶĚͬŽƌŵŽĚŝĨŝĞĚŵŝƚŝŐĂƚŝŽŶŵĞĂƐƵƌĞƐĂƌĞƌĞƋƵŝƌĞĚĨŽƌŝƐƐƵĞƐƌĞůĂƚĞĚƚŽǁŝůĚůĂŶĚĨŝƌĞƐ͘ KǀĞƌĂůů,ĂǌĂƌĚƐĂŶĚ,ĂǌĂƌĚŽƵƐDĂƚĞƌŝĂůƐͲZĞůĂƚĞĚ/ŵƉĂĐƚƐŽŶĐůƵƐŝŽŶ tŝƚŚƌĞŐĂƌĚƚŽ
Y^ĞĐƚŝŽŶϮϭϭϲϲĂŶĚ
Y'ƵŝĚĞůŝŶĞƐ^ĞĐƚŝŽŶϭϱϭϲϮ;ĂͿ͕ƚŚĞĐŚĂŶŐĞƐƉƌŽƉŽƐĞĚďǇƚŚĞ WƌŽũĞĐƚǁŽƵůĚŶŽƚƌĞƐƵůƚŝŶĂŶǇŶĞǁŝŵƉĂĐƚƐ͕ŽƌŝŶĐƌĞĂƐĞƚŚĞƐĞǀĞƌŝƚǇŽĨƚŚĞƉƌĞǀŝŽƵƐůǇŝĚĞŶƚŝĨŝĞĚŝŵƉĂĐƚƐ͕ ǁŝƚŚƌĞƐƉĞĐƚƚŽŚĂǌĂƌĚƐĂŶĚŚĂǌĂƌĚŽƵƐŵĂƚĞƌŝĂůƐ͘dŚĞƌĞĨŽƌĞ͕ƉƌĞƉĂƌĂƚŝŽŶŽĨĂ^ /ZŝƐŶŽƚǁĂƌƌĂŶƚĞĚ͘
ϭϴ>&/Z
&ZW;ϮϬϮϭͿ͘&ŝƌĞ,ĂǌĂƌĚ^ĞǀĞƌŝƚǇŽŶĞsŝĞǁĞƌ͘ŚƚƚƉƐ͗ͬͬĞŐŝƐ͘ĨŝƌĞ͘ĐĂ͘ŐŽǀͬ&,^ͬ;ĐĐĞƐƐĞĚƵŐƵƐƚϵ͕ϮϬϮϭͿ͘ 293
(QYLURQPHQWDO,PSDFW$QDO\VLV
dŚĞKŶƚĂƌŝŽWůĂŶ
/Z ϱϰ ŽŶsŝĞǁWƌŽũĞĐƚ
ĚĚĞŶĚƵŵƚŽƚŚĞ&ŝŶĂů
ŶǀŝƌŽŶŵĞŶƚĂů/ŵƉĂĐƚZĞƉŽƌƚ
ϰ͘ϵ ,ǇĚƌŽůŽŐǇĂŶĚtĂƚĞƌYƵĂůŝƚǇ
ϰ͘ϵ͘ϭ ^ƵŵŵĂƌǇŽĨWƌĞǀŝŽƵƐ
ŶǀŝƌŽŶŵĞŶƚĂůŶĂůǇƐŝƐ
dŚĞ KŶƚĂƌŝŽ 'W
/ZĐŽŶĐůƵĚĞĚ ƚŚĂƚŝŵƉůĞŵĞŶƚĂƚŝŽŶ ŽĨ ƚŚĞ KŶƚĂƌŝŽ 'W ǁŽƵůĚ ŶŽƚ ƌĞƐƵůƚŝŶ ƐŝŐŶŝĨŝĐĂŶƚ ŝŵƉĂĐƚƐƌĞůĂƚŝǀĞ ƚŽ ŚǇĚƌŽůŽŐǇ ĂŶĚ ǁĂƚĞƌƋƵĂůŝƚǇ͕ ĂŶĚ ŶŽ ŵŝƚŝŐĂƚŝŽŶ ŝƐ ŶĞĐĞƐƐĂƌǇƚŽ ƌĞĚƵĐĞ ƉŽƚĞŶƚŝĂů ŝŵƉĂĐƚƐ͘
ϰ͘ϵ͘Ϯ ŶĂůǇƐŝƐŽĨWƌŽƉŽƐĞĚWƌŽũĞĐƚ
dŚƌĞƐŚŽůĚ;ĂͿ sŝŽůĂƚĞ ĂŶǇ ǁĂƚĞƌ ƋƵĂůŝƚǇƐƚĂŶĚĂƌĚƐ ŽƌǁĂƐƚĞ ĚŝƐĐŚĂƌŐĞƌĞƋƵŝƌĞŵĞŶƚƐŽƌ ŽƚŚĞƌǁŝƐĞ ƐƵďƐƚĂŶƚŝĂůůǇĚĞŐƌĂĚĞƐƵƌĨĂĐĞŽƌŐƌŽƵŶĚǁĂƚĞƌƋƵĂůŝƚǇ͍΀KŶƚĂƌŝŽ'W /Z/ŵƉĂĐƚϱ͘ϵͲϰ΁
dŚƌĞƐŚŽůĚ;ŝͿ ŽŶĨůŝĐƚǁŝƚŚŽƌŽďƐƚƌƵĐƚŝŵƉůĞŵĞŶƚĂƚŝŽŶŽĨĂǁĂƚĞƌƋƵĂůŝƚǇĐŽŶƚƌŽůƉůĂŶŽƌƐƵƐƚĂŝŶĂďůĞ ŐƌŽƵŶĚǁĂƚĞƌŵĂŶĂŐĞŵĞŶƚƉůĂŶ͍΀KŶƚĂƌŝŽ'W
/Z/ŵƉĂĐƚϱ͘ϵͲϰ΁
EŽEĞǁŽƌDŽƌĞ^ĞǀĞƌĞ/ŵƉĂĐƚ͗dŚĞWƌŽũĞĐƚǁŽƵůĚƌĞƐƵůƚŝŶŶŽŶĞǁŽƌŵŽƌĞƐĞǀĞƌĞŝŵƉĂĐƚƐĂƐŝƚƉĞƌƚĂŝŶƐ ƚŽ ĂŶǇ ĐŽŶĨůŝĐƚƐ ǁŝƚŚ ǁĂƚĞƌ ƋƵĂůŝƚǇ ĂŶĚ ŐƌŽƵŶĚǁĂƚĞƌ ƉůĂŶƐ͘ ĂƐĞĚ ŽŶ ƚŚĞ KŶƚĂƌŝŽ 'W /Z ĨŝŶĚŝŶŐƐ͕
ŝŵƉůĞŵĞŶƚĂƚŝŽŶŽĨEW
^ĂŶĚ^tWWW DW^ǁŽƵůĚ ĞĨĨĞĐƚŝǀĞůǇŵŝŶŝŵŝǌĞŝŵƉĂĐƚƐĂƐƐŽĐŝĂƚĞĚǁŝƚŚǁĂƚĞƌ ƋƵĂůŝƚǇ͘ Ɛ ƐƵĐŚ͕ ƚŚĞ WƌŽũĞĐƚ ǁŽƵůĚ ĐŽŵƉůǇ ǁŝƚŚ &ĞĚĞƌĂů͕ ^ƚĂƚĞ͕ĂŶĚ ůŽĐĂů ƌĞŐƵůĂƚŝŽŶƐ ƌĞŐĂƌĚŝŶŐƚŚĞ ŵĂŝŶƚĞŶĂŶĐĞŽĨ ǁĂƚĞƌƋƵĂůŝƚǇ ƐƚĂŶĚĂƌĚƐ͘dŚŝƐŝŶĐůƵĚĞƐ ƚŚĞ ĚĞǀĞůŽƉŵĞŶƚ ŽĨ ĂŶEW ^ ƉĞƌŵŝƚĂŶĚ ƚŚĞ
ĂƐƐŽĐŝĂƚĞĚ^tWWW͘DWƐŝŶĐůƵĚĞĚŝŶƚŚĞƐĞƉĞƌŵŝƚƐŵĂǇŝŶĐůƵĚĞĂĐƚŝŽŶƐƐƵĐŚĂƐ͗ x ^ŝƚĞ ĚĞƐŝŐŶ ƐƚĂŶĚĂƌĚƐƚŚĂƚŵĂǆŝŵŝǌĞ ƉĞƌŵĞĂďůĞ ĂƌĞĂƐ͕ƵƐĞƉŽƌŽƵƐ ƉĂǀĞŵĞŶƚƐ͕ĂŶĚ ĨŽĐƵƐ ŽŶ ŶĂƚƵƌĂůĚƌĂŝŶĂŐĞƐǇƐƚĞŵƐ͖
x ^ƚƌƵĐƚƵƌĂůƐŽƵƌĐĞĐŽŶƚƌŽůƚŚĂƚŵŝŶŝŵŝǌĞƐƉŽůůƵƚŝŽŶ ŽĨƐƚŽƌŵǁĂƚĞƌďǇƐƵĐŚŵĞĂŶƐĂƐƉĂǀŝŶŐƚƌĂƐŚ ƐƚŽƌĂŐĞĂƌĞĂƐĂŶĚĨƵĞůŝŶŐĂƌĞĂƐǁŝƚŚŝŵƉĞƌǀŝŽƵƐƐƵƌĨĂĐĞƐ͕ĂŶĚŐƌĂĚŝŶŐƐƵĐŚĂƌĞĂƐƚŽďůŽĐŬƌƵŶͲŽĨĨ͖ ĂŶĚ
x dƌĞĂƚŵĞŶƚ ŽŶƚƌŽů ŵĞĂƐƵƌĞƐ ƚŚĂƚ ZĞŵŽǀĞ ƉŽůůƵƚĂŶƚƐ ĨƌŽŵ ƐƚŽƌŵǁĂƚĞƌďǇ ĨŝůƚƌĂƚŝŽŶ͕ ŵĞĚŝĂ ĂďƐŽƌƉƚŝŽŶ͕ŽƌŽƚŚĞƌŵĞĂŶƐ͘
dŚĞƌĞĨŽƌĞ͕ŶŽŶĞǁĂŶĚͬŽƌŵŽĚŝĨŝĞĚŵŝƚŝŐĂƚŝŽŶŵĞĂƐƵƌĞƐĂƌĞƌĞƋƵŝƌĞĚĨŽƌŝƐƐƵĞƐƌĞůĂƚĞĚƚŽƉŽƚĞŶƚŝĂůǁĂƚĞƌ ĚĞŐƌĂĚĂƚŝŽŶƚŚƌŽƵŐŚWƌŽũĞĐƚŝŵƉůĞŵĞŶƚĂƚŝŽŶ͘
DŝƚŝŐĂƚŝŽŶWƌŽŐƌĂŵ
DŝƚŝŐĂƚŝŽŶDĞĂƐƵƌĞƐĨƌŽŵƚŚĞKŶƚĂƌŝŽ'W
/Z
EŽŶĞŝĚĞŶƚŝĨŝĞĚŝŶƚŚĞKŶƚĂƌŝŽ'W
/Z͘
ŽŶĐůƵƐŝŽŶ
dŚĞWƌŽũĞĐƚǁŽƵůĚ ƌĞƐƵůƚŝŶŶŽŶĞǁŽƌŵŽƌĞƐĞǀĞƌĞŝŵƉĂĐƚĚƵĞƚŽǁĂƚĞƌƋƵĂůŝƚǇĚĞŐƌĂĚĂƚŝŽŶ͘ůĞƐƐƚŚĂŶ ƐŝŐŶŝĨŝĐĂŶƚŝŵƉĂĐƚǁĂƐŝĚĞŶƚŝĨŝĞĚŝŶƚŚĞKŶƚĂƌŝŽ'W
/Z͘dŚĞWƌŽũĞĐƚǁŽƵůĚďĞĚĞƐŝŐŶĞĚĐŽŶƐŝƐƚĞŶƚǁŝƚŚƚŚĞ
ĂƉƉůŝĐĂďůĞŐƵŝĚĞůŝŶĞƐĂŶĚƐƚĂŶĚĂƌĚƐǁŝƚŚŝŶƚŚĞKŶƚĂƌŝŽ'W͕KŶƚĂƌŝŽD͕ĂŶĚKŶƚĂƌŝŽĞǀĞůŽƉŵĞŶƚŽĚĞ͘ dŚĞƌĞĨŽƌĞ͕ŶŽŶĞǁĂŶĚͬŽƌŵŽĚŝĨŝĞĚŵŝƚŝŐĂƚŝŽŶŵĞĂƐƵƌĞƐĂƌĞƌĞƋƵŝƌĞĚĨŽƌŝƐƐƵĞƐƌĞůĂƚĞĚƚŽǁĂƚĞƌƋƵĂůŝƚǇ͘ 294
(QYLURQPHQWDO,PSDFW$QDO\VLV
dŚĞKŶƚĂƌŝŽWůĂŶ
/Z ϱϱ ŽŶsŝĞǁWƌŽũĞĐƚ
ĚĚĞŶĚƵŵƚŽƚŚĞ&ŝŶĂů
ŶǀŝƌŽŶŵĞŶƚĂů/ŵƉĂĐƚZĞƉŽƌƚ
dŚƌĞƐŚŽůĚ;ďͿ ^ƵďƐƚĂŶƚŝĂůůǇ ĚĞĐƌĞĂƐĞ ŐƌŽƵŶĚǁĂƚĞƌ ƐƵƉƉůŝĞƐ Žƌ ŝŶƚĞƌĨĞƌĞ ƐƵďƐƚĂŶƚŝĂůůǇ ǁŝƚŚ ŐƌŽƵŶĚǁĂƚĞƌƌĞĐŚĂƌŐĞƐƵĐŚƚŚĂƚƚŚĞƉƌŽũĞĐƚŵĂǇ ŝŵƉĞĚĞ ƐƵƐƚĂŝŶĂďůĞŐƌŽƵŶĚǁĂƚĞƌ ŵĂŶĂŐĞŵĞŶƚŽĨƚŚĞďĂƐŝŶ͍΀KŶƚĂƌŝŽ'W
/Z/ŵƉĂĐƚϱ͘ϵͲϮ΁
dŚĞŵĂũŽƌŝƚǇŽĨƚŚĞWƌŽũĞĐƚĂƌĞĂŝƐĚĞǀĞůŽƉĞĚĂŶĚƵƌďĂŶŝǌĞĚ͕ƚŚĞƌĞĨŽƌĞ͕ĚĞǀĞůŽƉŵĞŶƚŽĨƚŚĞĂƌĞĂǁŽƵůĚ ŶŽƚ ĐĂƵƐĞĂ ƐŝŐŶŝĨŝĐĂŶƚŝŶĐƌĞĂƐĞŝŶ ŝŵƉĞƌǀŝŽƵƐ ƐƵƌĨĂĐĞƐĂŶĚ ƚŚĞƌĞĨŽƌĞ ǁŽƵůĚ ŶŽƚ ƐƵďƐƚĂŶƚŝĂůůǇŝŵƉĂĐƚ ŐƌŽƵŶĚǁĂƚĞƌƐƵƉƉůŝĞƐŽƌŝŶƚĞƌĨĞƌĞǁŝƚŚŐƌŽƵŶĚǁĂƚĞƌƌĞĐŚĂƌŐĞ͘dŚĞWƌŽũĞĐƚǁŽƵůĚŶŽƚŝŶƚƌŽĚƵĐĞĂŶĞǁ ŝŶĐŽŶƐŝƐƚĞŶƚ ƵƐĞ ƚŽ ƚŚĞ WƌŽũĞĐƚ ĂƌĞĂ ǁŚŝĐŚ ǁŽƵůĚ ĞǆĐĞĞĚ ƚŚĞ ƵƐĂŐĞƐĞƐƚŝŵĂƚĞĚ ǁŝƚŚ ƚŚĞ ůĂŶĚ ƵƐĞ ĚĞƐŝŐŶĂƚŝŽŶ ĂƐƐŽĐŝĂƚĞĚ ǁŝƚŚ ƚŚĞ WƌŽũĞĐƚ͘ dŚĞƌĞĨŽƌĞ͕ ƚŚĞ WƌŽũĞĐƚ ǁŽƵůĚ ŶŽƚ ĚĞƉůĞƚĞ Žƌ ŽƚŚĞƌǁŝƐĞ ƐƵďƐƚĂŶƚŝĂůůǇĚĞŐƌĂĚĞƐƵƌĨĂĐĞŽƌŐƌŽƵŶĚǁĂƚĞƌƋƵĂůŝƚǇ͕ŶŽƌǁŽƵůĚ ŝƚƐƵďƐƚĂŶƚŝĂůůǇĚĞĐƌĞĂƐĞŐƌŽƵŶĚǁĂƚĞƌ ƐƵƉƉůŝĞƐ Žƌ ŝŶƚĞƌĨĞƌĞ ƐƵďƐƚĂŶƚŝĂůůǇ ǁŝƚŚ ŐƌŽƵŶĚǁĂƚĞƌ ƌĞĐŚĂƌŐĞ ƐƵĐŚ ƚŚĂƚ ƚŚĞ WƌŽũĞĐƚ ŵĂǇ ŝŵƉĞĚĞ ƐƵƐƚĂŝŶĂďůĞŐƌŽƵŶĚǁĂƚĞƌŵĂŶĂŐĞŵĞŶƚŽĨƚŚĞďĂƐŝŶƐ͘
dŚĞ WƌŽũĞĐƚ ƚŚĞƌĞĨŽƌĞ ǁŽƵůĚ ŶŽƚ ƌĞƐƵůƚ ŝŶ ŶĞǁ Žƌ ŵŽƌĞ ƐĞǀĞƌĞ ŝŵƉĂĐƚƐ ƌĞůĂƚĞĚ ƚŽ ŐƌŽƵŶĚǁĂƚĞƌ͘ ĚĚŝƚŝŽŶĂůůǇ͕ŶŽŶĞǁŝŶĨŽƌŵĂƚŝŽŶŽĨƐƵďƐƚĂŶƚŝĂůŝŵƉŽƌƚĂŶĐĞƚŚĂƚǁĂƐŶŽƚŬŶŽǁŶĂŶĚĐŽƵůĚŶŽƚŚĂǀĞďĞĞŶ ŬŶŽǁŶ Ăƚ ƚŚĞ ƚŝŵĞ ƚŚĞ KŶƚĂƌŝŽ 'W
/Z ǁĂƐ ĐĞƌƚŝĨŝĞĚ ŝƐ ĂǀĂŝůĂďůĞ ƚŚĂƚ ǁŽƵůĚ ĐŚĂŶŐĞ ƚŚĞ ŝŵƉĂĐƚ ĚĞƚĞƌŵŝŶĂƚŝŽŶ͘ ĐĐŽƌĚŝŶŐůǇ͕ ƚŚĞ WƌŽũĞĐƚ ǁŽƵůĚ ŶŽƚ ƐŝŐŶŝĨŝĐĂŶƚůǇ ŝŵƉĂĐƚ ůŽĐĂů ŐƌŽƵŶĚǁĂƚĞƌ ƌĞĐŚĂƌŐĞ͘ /ŵƉĂĐƚƐǁŽƵůĚďĞůĞƐƐƚŚĂŶƐŝŐŶŝĨŝĐĂŶƚ͘
DŝƚŝŐĂƚŝŽŶWƌŽŐƌĂŵ
DŝƚŝŐĂƚŝŽŶDĞĂƐƵƌĞƐĨƌŽŵƚŚĞKŶƚĂƌŝŽ'W
/Z
EŽŶĞŝĚĞŶƚŝĨŝĞĚŝŶƚŚĞKŶƚĂƌŝŽ'W
/Z͘
ŽŶĐůƵƐŝŽŶ
dŚĞWƌŽũĞĐƚǁŽƵůĚƌĞƐƵůƚŝŶŶŽŶĞǁŽƌŵŽƌĞƐĞǀĞƌĞŝŵƉĂĐƚĚƵĞƚŽŐƌŽƵŶĚǁĂƚĞƌĚĞŐƌĂĚĂƚŝŽŶ͘ůĞƐƐƚŚĂŶ ƐŝŐŶŝĨŝĐĂŶƚŝŵƉĂĐƚǁĂƐŝĚĞŶƚŝĨŝĞĚŝŶƚŚĞKŶƚĂƌŝŽ'W
/Z͘dŚĞWƌŽũĞĐƚǁŽƵůĚďĞĚĞƐŝŐŶĞĚĐŽŶƐŝƐƚĞŶƚǁŝƚŚƚŚĞ
ĂƉƉůŝĐĂďůĞŐƵŝĚĞůŝŶĞƐĂŶĚƐƚĂŶĚĂƌĚƐǁŝƚŚŝŶƚŚĞKŶƚĂƌŝŽ'W͕KŶƚĂƌŝŽD͕ĂŶĚKŶƚĂƌŝŽĞǀĞůŽƉŵĞŶƚŽĚĞ͘ dŚĞƌĞĨŽƌĞ͕ŶŽŶĞǁĂŶĚͬŽƌŵŽĚŝĨŝĞĚŵŝƚŝŐĂƚŝŽŶŵĞĂƐƵƌĞƐĂƌĞƌĞƋƵŝƌĞĚĨŽƌŝƐƐƵĞƐƌĞůĂƚĞĚƚŽŐƌŽƵŶĚǁĂƚĞƌ͘ dŚƌĞƐŚŽůĚ;ĐͿ ^ƵďƐƚĂŶƚŝĂůůǇĂůƚĞƌƚŚĞĞǆŝƐƚŝŶŐĚƌĂŝŶĂŐĞƉĂƚƚĞƌŶŽĨƚŚĞƐŝƚĞŽƌĂƌĞĂ͕ŝŶĐůƵĚŝŶŐƚŚƌŽƵŐŚ ƚŚĞĂůƚĞƌĂƚŝŽŶŽĨƚŚĞĐŽƵƌƐĞŽĨĂƐƚƌĞĂŵŽƌƌŝǀĞƌ͕ ŽƌƚŚƌŽƵŐŚƚŚĞĂĚĚŝƚŝŽŶŽĨŝŵƉĞƌǀŝŽƵƐ ƐƵƌĨĂĐĞƐŝŶĂŵĂŶŶĞƌǁŚŝĐŚǁŽƵůĚƌĞƐƵůƚŝŶĂƐƵďƐƚĂŶƚŝĂůĞƌŽƐŝŽŶŽƌƐŝůƚĂƚŝŽŶŽŶ ͲŽƌŽĨĨͲ ƐŝƚĞ͘΀EŽƚĂŶĂůǇǌĞĚŝŶƚŚĞKŶƚĂƌŝŽ'W
/Z΁
dŚƌĞƐŚŽůĚ;ĚͿ ^ƵďƐƚĂŶƚŝĂůůǇĂůƚĞƌƚŚĞĞǆŝƐƚŝŶŐĚƌĂŝŶĂŐĞƉĂƚƚĞƌŶŽĨƚŚĞƐŝƚĞŽƌĂƌĞĂ͕ŝŶĐůƵĚŝŶŐƚŚƌŽƵŐŚ ƚŚĞĂůƚĞƌĂƚŝŽŶŽĨƚŚĞĐŽƵƌƐĞŽĨĂƐƚƌĞĂŵŽƌƌŝǀĞƌ͕ŽƌƚŚƌŽƵŐŚƚŚĞĂĚĚŝƚŝŽŶŽĨŝŵƉĞƌǀŝŽƵƐ ƐƵƌĨĂĐĞƐŝŶĂŵĂŶŶĞƌǁŚŝĐŚǁŽƵůĚƐƵďƐƚĂŶƚŝĂůůǇŝŶĐƌĞĂƐĞƚŚĞƌĂƚĞŽƌĂŵŽƵŶƚŽĨƐƵƌĨĂĐĞ ƌƵŶŽĨĨ ŝŶ Ă ŵĂŶŶĞƌ ǁŚŝĐŚ ǁŽƵůĚ ƌĞƐƵůƚ ŝŶ ĨůŽŽĚŝŶŐ ŽŶ Ͳ Žƌ ŽĨĨƐŝƚĞ͍ ΀KŶƚĂƌŝŽ 'W /ŵƉĂĐƚϱ͘ϵͲϭ΁
dŚƌĞƐŚŽůĚ;ĞͿ ^ƵďƐƚĂŶƚŝĂůůǇĂůƚĞƌƚŚĞĞǆŝƐƚŝŶŐĚƌĂŝŶĂŐĞƉĂƚƚĞƌŶŽĨƚŚĞƐŝƚĞŽƌĂƌĞĂ͕ŝŶĐůƵĚŝŶŐƚŚƌŽƵŐŚ ƚŚĞĂůƚĞƌĂƚŝŽŶŽĨƚŚĞĐŽƵƌƐĞŽĨĂƐƚƌĞĂŵŽƌƌŝǀĞƌ͕ŽƌƚŚƌŽƵŐŚƚŚĞĂĚĚŝƚŝŽŶŽĨŝŵƉĞƌǀŝŽƵƐ ƐƵƌĨĂĐĞƐŝŶ Ă ŵĂŶŶĞƌǁŚŝĐŚ ǁŽƵůĚĐƌĞĂƚĞ Žƌ ĐŽŶƚƌŝďƵƚĞƌƵŶŽĨĨǁĂƚĞƌǁŚŝĐŚ ǁŽƵůĚ ĞǆĐĞĞĚƚŚĞĐĂƉĂĐŝƚǇŽĨĞǆŝƐƚŝŶŐŽƌƉůĂŶŶĞĚƐƚŽƌŵǁĂƚĞƌĚƌĂŝŶĂŐĞƐǇƐƚĞŵƐŽƌƉƌŽǀŝĚĞ ƐƵďƐƚĂŶƚŝĂůĂĚĚŝƚŝŽŶĂůƐŽƵƌĐĞƐŽĨƉŽůůƵƚĞĚƌƵŶŽĨĨ͘΀KŶƚĂƌŝŽ'W/ŵƉĂĐƚϱ͘ϵͲϭ΁ 295
(QYLURQPHQWDO,PSDFW$QDO\VLV
dŚĞKŶƚĂƌŝŽWůĂŶ
/Z ϱϲ ŽŶsŝĞǁWƌŽũĞĐƚ
ĚĚĞŶĚƵŵƚŽƚŚĞ&ŝŶĂů
ŶǀŝƌŽŶŵĞŶƚĂů/ŵƉĂĐƚZĞƉŽƌƚ
EŽEĞǁŽƌDŽƌĞ^ĞǀĞƌĞ/ŵƉĂĐƚ͗ƐƐƚĂƚĞĚŝŶƚŚĞKŶƚĂƌŝŽ'W /Z͕ƐƚŽƌŵǁĂƚĞƌŝŶĨƌĂƐƚƌƵĐƚƵƌĞǁŽƵůĚďĞ
ĚĞƐŝŐŶĞĚ ƚŽ ĂĐĐŽŵŵŽĚĂƚĞĨůŽǁƐ ĂĚĚĞĚ ƚŚƌŽƵŐŚ ƚŚĞ ŝŵƉůĞŵĞŶƚĂƚŝŽŶ ŽĨ ƚŚĞKŶƚĂƌŝŽ 'W͘ ƐƐƚĂƚĞĚŝŶ ^ĞĐƚŝŽŶϰ͘ϲ͕'ĞŽůŽŐǇĂŶĚ^ŽŝůƐ͕ĨƵƚƵƌĞƉƌŽũĞĐƚƐŝŶĐůƵĚŝŶŐƚŚĞWƌŽũĞĐƚǁŽƵůĚďĞƌĞƋƵŝƌĞĚƚŽĂƚƚĂŝŶĂŶEW ^
ƉĞƌŵŝƚĂŶĚĂƐƐŽĐŝĂƚĞĚ^tWWW͘dŚĞƐĞƚǁŽƉƌŽĐĞƐƐĞƐĂŶĚƚŚĞĂƐƐŽĐŝĂƚĞĚDWƐǁŽƵůĚĂĚĞƋƵĂƚĞůǇŵŝŶŝŵŝǌĞ ƉŽƚĞŶƚŝĂůŽĨĨͲƐŝƚĞ ǁĂƚĞƌƋƵĂůŝƚǇŝŵƉĂĐƚƐ͘ŽŶƐƚƌƵĐƚŝŽŶͲƌĞůĂƚĞĚDWƐǁŽƵůĚ ďĞ ŝĚĞŶƚŝĨŝĞĚ ďĂƐĞĚŽŶ ƐŝƚĞͲ ƐƉĞĐŝĨŝĐ ĐŽŶĚŝƚŝŽŶƐ ĚƵƌŝŶŐ ƉƌĞƉĂƌĂƚŝŽŶ ŽĨ Ă ^tWWW ĨŽƌ ƚŚĞ ĨƵƚƵƌĞ ĚĞǀĞůŽƉŵĞŶƚ ƉƌŽũĞĐƚ͘ >ŽŶŐ ƚĞƌŵ ŽƉĞƌĂƚŝŽŶĂůDWƐǁŽƵůĚďĞŝĚĞŶƚŝĨŝĞĚƚŚƌŽƵŐŚŝƐƐƵĂŶĐĞŽĨĂŶEW ^ƉĞƌŵŝƚƚŚƌŽƵŐŚƚŚĞZĞŐŝŽŶĂůtĂƚĞƌ
YƵĂůŝƚǇŽŶƚƌŽůŽĂƌĚ;ZtYͿĂŶĚǁŽƵůĚŝŶĐůƵĚĞǁĂƚĞƌƋƵĂůŝƚǇĨĞĂƚƵƌĞƐƚŽĞŶƐƵƌĞƚŚĂƚƌƵŶŽĨĨŝƐƚƌĞĂƚĞĚ ƉƌŝŽƌƚŽĚŝƐĐŚĂƌŐĞŝŶƚŽƚŚĞƐƚŽƌŵĚƌĂŝŶŽƌƌĞŐŝŽŶĂůĐŽŶǀĞǇĂŶĐĞĨĂĐŝůŝƚŝĞƐ͘&ƵƌƚŚĞƌŵŽƌĞ͕ďĂƐĞĚŽŶƚŚĞƐƚĂƚĞ ŽĨƚŚĞWƌŽũĞĐƚƐŝƚĞĂŶĚĐŽŶƐŝƐƚĞŶĐǇǁŝƚŚĞǆŝƐƚŝŶŐƵƐĞƐ͕ŝƚŝƐĂŶƚŝĐŝƉĂƚĞĚƚŚĂƚƚŚĞWƌŽũĞĐƚǁŽƵůĚ ŶŽƚǀŝŽůĂƚĞ ĂŶǇǁĂƚĞƌƋƵĂůŝƚǇƐƚĂŶĚĂƌĚƐŽƌǁĂƐƚĞĚŝƐĐŚĂƌŐĞƌĞƋƵŝƌĞŵĞŶƚƐ͘ dŚĞWƌŽũĞĐƚǁŽƵůĚĂůƐŽƌĞƐƵůƚŝŶŶŽ ŶĞǁŽƌŵŽƌĞƐĞǀĞƌĞŝŵƉĂĐƚĨƌŽŵ ĞƌŽƐŝŽŶŽƌ ƐŝůƚĂƚŝŽŶ͘ĂƐĞĚŽŶƚŚĞ KŶƚĂƌŝŽ'W
/ZĨŝŶĚŝŶŐƐ͕ƚŚĞWƌŽũĞĐƚƐŝƚĞŝƐŶŽƚůŽĐĂƚĞĚŝŶĂŶĂƌĞĂƉƌŽŶĞƚŽƚŚĞƉƌĞǀŝŽƵƐůǇŵĞŶƚŝŽŶĞĚŶĂƚƵƌĂů ŽƌŵĂŶŵĂĚĞĚŝƐĂƐƚĞƌƐ͘dŚƵƐ͕ƚŚĞWƌŽũĞĐƚǁŽƵůĚŶŽƚƐƵďƐƚĂŶƚŝĂůůǇĂůƚĞƌƚŚĞĞǆŝƐƚŝŶŐĚƌĂŝŶĂŐĞƉĂƚƚĞƌŶŽĨƚŚĞ ƐŝƚĞŽƌĂƌĞĂ͕ŝŶĐůƵĚŝŶŐƚŚƌŽƵŐŚƚŚĞĂůƚĞƌĂƚŝŽŶŽĨƚŚĞĐŽƵƌƐĞŽĨĂƐƚƌĞĂŵŽƌƌŝǀĞƌŽƌƚŚƌŽƵŐŚƚŚĞĂĚĚŝƚŝŽŶŽĨ ŝŵƉĞƌǀŝŽƵƐ ƐƵƌĨĂĐĞƐ͕ŝŶ Ă ŵĂŶŶĞƌ ǁŚŝĐŚ ǁŽƵůĚ ĐƌĞĂƚĞ ƚŚĞ ĂďŽǀĞͲŵĞŶƚŝŽŶĞĚ ĚŝƐĂƐƚĞƌƐ͘ ůĞƐƐ ƚŚĂŶ ƐŝŐŶŝĨŝĐĂŶƚŝŵƉĂĐƚŝƐĂŶƚŝĐŝƉĂƚĞĚĨƌŽŵWƌŽũĞĐƚŝŵƉůĞŵĞŶƚĂƚŝŽŶ͘EŽŶĞǁŝŵƉĂĐƚŽƌŝŶĐƌĞĂƐĞŝŶƚŚĞƐĞǀĞƌŝƚǇ ŽĨĂŶŝĚĞŶƚŝĨŝĞĚŝŵƉĂĐƚǁŽƵůĚƚŚĞƌĞĨŽƌĞŽĐĐƵƌǁŝƚŚŝŵƉůĞŵĞŶƚĂƚŝŽŶŽĨƚŚĞWƌŽũĞĐƚ͘ dŚƌĞƐŚŽůĚ;ĨͿ ^ƵďƐƚĂŶƚŝĂůůǇĂůƚĞƌƚŚĞĞǆŝƐƚŝŶŐĚƌĂŝŶĂŐĞƉĂƚƚĞƌŶŽĨƚŚĞƐŝƚĞŽƌĂƌĞĂ͕ŝŶĐůƵĚŝŶŐƚŚƌŽƵŐŚ ƚŚĞĂůƚĞƌĂƚŝŽŶŽĨƚŚĞĐŽƵƌƐĞŽĨĂƐƚƌĞĂŵŽƌƌŝǀĞƌ͕ŽƌƚŚƌŽƵŐŚƚŚĞĂĚĚŝƚŝŽŶŽ ĨŝŵƉĞƌǀŝŽƵƐ ƐƵƌĨĂĐĞƐŝŶĂŵĂŶŶĞƌǁŚŝĐŚǁŽƵůĚŝŶĨůŽŽĚŚĂǌĂƌĚ͕ƚƐƵŶĂŵŝ͕ŽƌƐĞŝĐŚĞǌŽŶĞƐ͕ƌŝƐŬƌĞůĞĂƐĞ ŽĨƉŽůůƵƚĂŶƚƐĚƵĞƚŽƉƌŽũĞĐƚŝŶƵŶĚĂƚŝŽŶ͍΀KŶƚĂƌŝŽ'W/ŵƉĂĐƚϱ͘ϵͲϯ͕ϱ͘ϵͲϭϬ΁ dŚƌĞƐŚŽůĚ;ŐͿ ^ƵďƐƚĂŶƚŝĂůůǇĂůƚĞƌƚŚĞĞǆŝƐƚŝŶŐĚƌĂŝŶĂŐĞƉĂƚƚĞƌŶŽĨƚŚĞƐŝƚĞŽƌĂƌĞĂ͕ŝŶĐůƵĚŝŶŐƚŚƌŽƵŐŚ ƚŚĞĂůƚĞƌĂƚŝŽŶŽĨƚŚĞĐŽƵƌƐĞŽĨĂƐƚƌĞĂŵŽƌƌŝǀĞƌ͕ŽƌƚŚƌŽƵŐŚƚŚĞĂĚĚŝƚŝŽŶŽĨŝŵƉĞƌǀŝŽƵƐ ƐƵƌĨĂĐĞƐ ŝŶ Ă ŵĂŶŶĞƌ ǁŚŝĐŚ ǁŽƵůĚ ŝŵƉĞĚĞ Žƌ ƌĞĚŝƌĞĐƚ ĨůŽŽĚ ĨůŽǁƐ͍ ΀KŶƚĂƌŝŽ'W /ŵƉĂĐƚϱ͘ϵͲϯ΁
EŽEĞǁŽƌDŽƌĞ^ĞǀĞƌĞ/ŵƉĂĐƚ͗ĐĐŽƌĚŝŶŐƚŽKŶƚĂƌŝŽ'W
/Z&ŝŐƵƌĞϱ͘ϵͲϮ͕ƚŚĞWƌŽũĞĐƚƐŝƚĞŝƐŶŽƚůŽĐĂƚĞĚ
ǁŝƚŚŝŶ Ă&ĞĚĞƌĂů
ŵĞƌŐĞŶĐǇDĂŶĂŐĞŵĞŶƚŐĞŶĐǇ;&
DͿ ĚĞƐŝŐŶĂƚĞĚϭϬϬͲǇĞĂƌĨůŽŽĚƉůĂŝŶ͘ &ƵƌƚŚĞƌ͕ƚŚĞ
ĐƵƌƌĞŶƚ&
D&ůŽŽĚ /ŶƐƵƌĂŶĐĞZĂƚĞDĂƉ;&/ZDͿĨŽƌƚŚĞWƌŽũĞĐƚĂƌĞĂƐŚŽǁƐƚŚĂƚŝƚůŝĞƐŽƵƚƐŝĚĞŽĨŬŶŽǁŶ ĨůŽŽĚ ŚĂǌĂƌĚǌŽŶĞƐ͘dŚĞWƌŽũĞĐƚŝŶǀŽůǀĞƐ ƚŚĞĚĞǀĞůŽƉŵĞŶƚ ŽĨ ŝŶĚƵƐƚƌŝĂůǁĂƌĞŚŽƵƐŝŶŐĨĂĐŝůŝƚǇŝŶ ĂŶĂƌĞĂ ƉƌĞǀŝŽƵƐůǇŽĐĐƵƉŝĞĚďǇƐŝŵŝůĂƌƵƐĞƐ͘
dŚĞWƌŽũĞĐƚǁŽƵůĚ ƌĞƐƵůƚŝŶŶŽ ŶĞǁŽƌŵŽƌĞƐĞǀĞƌĞŝŵƉĂĐƚƐĂƐŝƚƉĞƌƚĂŝŶƐƚŽĨůŽŽĚ ŚĂǌĂƌĚ͕ƚƐƵŶĂŵŝ͕Žƌ ƐĞŝĐŚĞǌŽŶĞƐ͕ŽƌƌŝƐŬƚŚĞƌĞůĞĂƐĞŽĨ ƉŽůůƵƚĂŶƚƐĚƵĞ ƚŽWƌŽũĞĐƚŝŶƵŶĚĂƚŝŽŶ͘ ĂƐĞĚŽŶ ƚŚĞKŶƚĂƌŝŽ'W /Z
ĨŝŶĚŝŶŐƐ͕ƚŚĞWƌŽũĞĐƚƐŝƚĞŝƐŶŽƚůŽĐĂƚĞĚŝŶĂŶĂƌĞĂƉƌŽŶĞƚŽƚŚĞƉƌĞǀŝŽƵƐůǇŵĞŶƚŝŽŶĞĚŶĂƚƵƌĂůŽƌŵĂŶŵĂĚĞ ĚŝƐĂƐƚĞƌƐ͘dŚƵƐ͕ ŶŽ ƉŽůůƵƚĂŶƚƐ ǁŽƵůĚ ďĞ ƌĞůĞĂƐĞĚ ĚƵĞ ƚŽ ŝŶƵŶĚĂƚŝŽŶ ďǇ ƐĞŝĐŚĞ͕ƚƐƵŶĂŵŝ͕ ŽƌŵƵĚĨůŽǁ͘ dŚĞƌĞĨŽƌĞ͕ƚŚĞWƌŽũĞĐƚǁŽƵůĚŶŽƚŝŶǀŽůǀĞƚŚĞĚĞǀĞůŽƉŵĞŶƚŽĨƌĞƐŝĚĞŶƚŝĂůƐƚƌƵĐƚƵƌĞƐŽƌŝŵƉĞĚĞĨůŽŽĚĨůŽǁƐ͘ DŝƚŝŐĂƚŝŽŶWƌŽŐƌĂŵ
DŝƚŝŐĂƚŝŽŶDĞĂƐƵƌĞƐĨƌŽŵƚŚĞKŶƚĂƌŝŽ'W
/Z
EŽŶĞŝĚĞŶƚŝĨŝĞĚŝŶƚŚĞKŶƚĂƌŝŽ'W
/Z͘
296
(QYLURQPHQWDO,PSDFW$QDO\VLV
dŚĞKŶƚĂƌŝŽWůĂŶ
/Z ϱϳ ŽŶsŝĞǁWƌŽũĞĐƚ
ĚĚĞŶĚƵŵƚŽƚŚĞ&ŝŶĂů
ŶǀŝƌŽŶŵĞŶƚĂů/ŵƉĂĐƚZĞƉŽƌƚ
ŽŶĐůƵƐŝŽŶ
dŚĞWƌŽũĞĐƚǁŽƵůĚƌĞƐƵůƚŝŶŶŽŶĞǁŽƌŵŽƌĞƐĞǀĞƌĞŝŵƉĂĐƚĚƵĞƚŽĨůŽŽĚƌŝƐŬƐ͘ůĞƐƐƚŚĂŶƐŝŐŶŝĨŝĐĂŶƚŝŵƉĂĐƚ ǁĂƐŝĚĞŶƚŝĨŝĞĚ ŝŶ ƚŚĞ KŶƚĂƌŝŽ 'W
/Z͘dŚĞ WƌŽũĞĐƚ ǁŽƵůĚ ďĞ ĚĞƐŝŐŶĞĚ ĐŽŶƐŝƐƚĞŶƚǁŝƚŚ ƚŚĞ ĂƉƉůŝĐĂďůĞ ŐƵŝĚĞůŝŶĞƐĂŶĚƐƚĂŶĚĂƌĚƐǁŝƚŚŝŶƚŚĞKŶƚĂƌŝŽ'W͕KŶƚĂƌŝŽD͕ĂŶĚKŶƚĂƌŝŽĞǀĞůŽƉŵĞŶƚŽĚĞ͘dŚĞƌĞĨŽƌĞ͕ ŶŽŶĞǁĂŶĚͬŽƌŵŽĚŝĨŝĞĚŵŝƚŝŐĂƚŝŽŶŵĞĂƐƵƌĞƐĂƌĞƌĞƋƵŝƌĞĚĨŽƌŝƐƐƵĞƐƌĞůĂƚĞĚƚŽĨůŽŽĚŝŶŐ͘ dŚƌĞƐŚŽůĚ;ŝͿ
ǆƉŽƐĞƉĞŽƉůĞ Žƌ ƐƚƌƵĐƚƵƌĞƐƚŽ Ă ƐŝŐŶŝĨŝĐĂŶƚƌŝƐŬ ŽĨ ůŽƐƐ͕ŝŶũƵƌǇŽƌ ĚĞĂƚŚŝŶǀŽůǀŝŶŐ ĨůŽŽĚŝŶŐ͕ŝŶĐůƵĚŝŶŐĨůŽŽĚŝŶŐĂƐĂƌĞƐƵůƚŽĨƚŚĞĨĂŝůƵƌĞŽĨ ĂůĞǀĞĞŽƌĚĂŵ͍΀KŶƚĂƌŝŽ'W /ŵƉĂĐƚϱ͘ϵͲϯ΁΀EŽƚŝŶĐůƵĚĞĚŝŶƚŚĞϮϬϮϭ
YƉƉĞŶĚŝǆ'dŚƌĞƐŚŽůĚƐ ΁
EŽEĞǁŽƌDŽƌĞ^ĞǀĞƌĞ/ŵƉĂĐƚ͗ĐĐŽƌĚŝŶŐƚŽ ƚŚĞKŶƚĂƌŝŽ'W /Z&ŝŐƵƌĞϱ͘ϵͲϮ͕ƚŚĞWƌŽũĞĐƚƐŝƚĞŝƐůŽĐĂƚĞĚ
ǁŝƚŚŝŶƚŚĞ^ĂŶŶƚŽŶŝŽƌĞĞŬĂŵ&ĂŝůƵƌĞ/ŶƵŶĚĂƚŝŽŶĂƌĞĂ͘dŚŝƐǁŽƵůĚůĞĂǀĞƚŚĞWƌŽũĞĐƚƐŝƚĞƉŽƚĞŶƚŝĂůůǇ ĨůŽŽĚĞĚƚŽĂĚĞƉƚŚŽĨƵƉƚŽĨŽƵƌĨĞĞƚ͘,ŽǁĞǀĞƌ͕ŝƚŝƐƐƚĂƚĞĚƚŚĂƚĚĂŵĨĂŝůƵƌĞĨŽƌƚŚĞ^ĂŶŶƚŽŶŝŽƌĞĞŬĂŵ ŝƐǀĞƌǇ ůŽǁ ĚƵĞ ƚŽ ƚŚĞŝƚǇ͛ƐůŽǁ ƉŽƚĞŶƚŝĂů ĨŽƌ ƐŝŐŶŝĨŝĐĂŶƚŐƌŽƵŶĚ ƐŚĂŬŝŶŐĞĂƌƚŚƋƵĂŬĞƐ͘ ϭϵ&ƵƌƚŚĞƌŵŽƌĞ͕ ĂĐĐŽƌĚŝŶŐƚŽKŶƚĂƌŝŽ'W
/Z&ŝŐƵƌĞϱ͘ϵͲϮ͕ŝŶĂĐĂƐĞŽĨĚĂŵĨĂŝůƵƌĞ͕ĚĂŵŝŶƵŶĚĂƚŝŽŶǁŽƵůĚ ĂƌƌŝǀĞĂƚƚŚĞ WƌŽũĞĐƚƐŝƚĞŝŶĂƉƉƌŽǆŝŵĂƚĞůǇƚŚƌĞĞƚŽĨŽƵƌŚŽƵƌƐ͕ǁŚŝĐŚǁŽƵůĚďĞĞŶŽƵŐŚƚŽƚŝŵĞƚŽĞǀĂĐƵĂƚĞƉĞƌƐŽŶŶĞů ĂŶĚŵŝŶŝŵŝǌĞŚƵŵĂŶŝŶũƵƌǇĂŶĚŚĂǌĂƌĚƐ͘
DŝƚŝŐĂƚŝŽŶWƌŽŐƌĂŵ
DŝƚŝŐĂƚŝŽŶDĞĂƐƵƌĞƐĨƌŽŵƚŚĞKŶƚĂƌŝŽ'W
/Z
EŽŶĞŝĚĞŶƚŝĨŝĞĚŝŶƚŚĞKŶƚĂƌŝŽ'W
/Z͘
ŽŶĐůƵƐŝŽŶ
dŚĞWƌŽũĞĐƚǁŽƵůĚƌĞƐƵůƚŝŶŶŽŶĞǁŽƌŵŽƌĞƐĞǀĞƌĞŝŵƉĂĐƚĚƵĞƚŽĨůŽŽĚƌŝƐŬƐ͘ůĞƐƐƚŚĂŶƐŝŐŶŝĨŝĐĂŶƚŝŵƉĂĐƚ ǁĂƐŝĚĞŶƚŝĨŝĞĚ ŝŶ ƚŚĞ KŶƚĂƌŝŽ 'W
/Z͘dŚĞ WƌŽũĞĐƚ ǁŽƵůĚ ďĞ ĚĞƐŝŐŶĞĚ ĐŽŶƐŝƐƚĞŶƚǁŝƚŚ ƚŚĞ ĂƉƉůŝĐĂďůĞ ŐƵŝĚĞůŝŶĞƐĂŶĚƐƚĂŶĚĂƌĚƐǁŝƚŚŝŶƚŚĞKŶƚĂƌŝŽ'W͕KŶƚĂƌŝŽD͕ĂŶĚKŶƚĂƌŝŽĞǀĞůŽƉŵĞŶƚŽĚĞ͘dŚĞƌĞĨŽƌĞ͕ ŶŽŶĞǁĂŶĚͬŽƌŵŽĚŝĨŝĞĚŵŝƚŝŐĂƚŝŽŶŵĞĂƐƵƌĞƐĂƌĞƌĞƋƵŝƌĞĚĨŽƌŝƐƐƵĞƐƌĞůĂƚĞĚƚŽĨůŽŽĚŝŶŐ͘ KǀĞƌĂůů,ǇĚƌŽůŽŐǇĂŶĚtĂƚĞƌYƵĂůŝƚǇͲZĞůĂƚĞĚ/ŵƉĂĐƚƐŽŶĐůƵƐŝŽŶ tŝƚŚƌĞŐĂƌĚƚŽ
Y^ĞĐƚŝŽŶϮϭϭϲϲĂŶĚ
Y'ƵŝĚĞůŝŶĞƐ^ĞĐƚŝŽŶϭϱϭϲϮ;ĂͿ͕ƚŚĞĐŚĂŶŐĞƐƉƌŽƉŽƐĞĚďǇƚŚĞ WƌŽũĞĐƚǁŽƵůĚŶŽƚƌĞƐƵůƚŝŶĂŶǇŶĞǁŝŵƉĂĐƚƐ͕ŽƌŝŶĐƌĞĂƐĞƚŚĞƐĞǀĞƌŝƚǇŽĨƚŚĞƉƌĞǀŝŽƵƐůǇŝĚĞŶƚŝĨŝĞĚŝŵƉĂĐƚƐ͕ ǁŝƚŚƌĞƐƉĞĐƚƚŽŚǇĚƌŽůŽŐǇĂŶĚǁĂƚĞƌƋƵĂůŝƚǇ͘dŚĞƌĞĨŽƌĞ͕ƉƌĞƉĂƌĂƚŝŽŶŽĨĂ^ /ZŝƐŶŽƚǁĂƌƌĂŶƚĞĚ͘

ϭϵŝƚǇŽĨKŶƚĂƌŝŽ͘;ϮϬϬϵͿ͘dŚĞKŶƚĂƌŝŽWůĂŶƌĂĨƚ
/Z͘ϱ͘ϵ,ǇĚƌŽůŽŐǇ͘WĂŐĞϱ͘ϵͲϮϯ͘ŽƐƚĂDĞƐĂ͕͗dŚĞWůĂŶŶŝŶŐĞŶƚĞƌ͘ 297
(QYLURQPHQWDO,PSDFW$QDO\VLV
dŚĞKŶƚĂƌŝŽWůĂŶ
/Z ϱϴ ŽŶsŝĞǁWƌŽũĞĐƚ
ĚĚĞŶĚƵŵƚŽƚŚĞ&ŝŶĂů
ŶǀŝƌŽŶŵĞŶƚĂů/ŵƉĂĐƚZĞƉŽƌƚ
ϰ͘ϭϬ >ĂŶĚhƐĞĂŶĚWůĂŶŶŝŶŐ
ϰ͘ϭϬ͘ϭ ^ƵŵŵĂƌǇŽĨWƌĞǀŝŽƵƐ
ŶǀŝƌŽŶŵĞŶƚĂůŶĂůǇƐŝƐ
ĐĐŽƌĚŝŶŐ ƚŽ ƚŚĞKŶƚĂƌŝŽ 'W
/Z͕ŝŵƉůĞŵĞŶƚĂƚŝŽŶ ŽĨ ƚŚĞKŶƚĂƌŝŽ'W ǁŽƵůĚ ŶŽƚ ĚŝǀŝĚĞ ĂŶĞƐƚĂďůŝƐŚĞĚ ĐŽŵŵƵŶŝƚǇ͘dŚĞKŶƚĂƌŝŽ'WŝŶĐůƵĚĞƐĂƌĂŶŐĞŽĨŝŶĚƵƐƚƌŝĂů͕ĐŽŵŵĞƌĐŝĂů͕ƉƵďůŝĐ͕ĂŶĚƌĞƐŝĚĞŶƚŝĂůƵƐĞƐ͘dŚĞ KŶƚĂƌŝŽ'W
/ZĐŽŶĐůƵĚĞĚƚŚĂƚŝŵƉůĞŵĞŶƚĂƚŝŽŶŽĨƚŚĞKŶƚĂƌŝŽ'WǁŽƵůĚŶŽƚƌĞƐƵůƚŝŶƐŝŐŶŝĨŝĐĂŶƚŝŵƉĂĐƚƐ ƌĞůĂƚŝǀĞƚŽůĂŶĚƵƐĞĂŶĚƉůĂŶŶŝŶŐ͕ĂŶĚŶŽŵŝƚŝŐĂƚŝŽŶŝƐŶĞĐĞƐƐĂƌǇƚŽƌĞĚƵĐĞƉŽƚĞŶƚŝĂůŝŵƉĂĐƚƐ͘ ϰ͘ϭϬ͘Ϯ ŶĂůǇƐŝƐŽĨWƌŽƉŽƐĞĚWƌŽũĞĐƚ
dŚƌĞƐŚŽůĚ;ĂͿ WŚǇƐŝĐĂůůǇĚŝǀŝĚĞĂŶĞƐƚĂďůŝƐŚĞĚĐŽŵŵƵŶŝƚǇ͍΀KŶƚĂƌŝŽ'W/ŵƉĂĐƚϱ͘ϭϬͲϭ΁ EŽEĞǁŽƌDŽƌĞ^ĞǀĞƌĞ/ŵƉĂĐƚ͗dŚĞWƌŽũĞĐƚƐŝƚĞŝƐůĂƌŐĞůǇĚĞǀĞůŽƉĞĚǁŝƚŚ͕ĂŶĚƐƵƌƌŽƵŶĚĞĚďǇ͕ŝŶĚƵƐƚƌŝĂů ǁĂƌĞŚŽƵƐŝŶŐƵƐĞƐ;ƐĞĞ^ĞĐƚŝŽŶϮ͘ϭĨŽƌŵŽƌĞĚĞƚĂŝůͿ͘ŽŶƐŝƐƚĞŶƚǁŝƚŚƚŚĞKŶƚĂƌŝŽ'W /Z͕ƚŚĞWƌŽũĞĐƚǁŽƵůĚ
ŶŽƚĚŝǀŝĚĞĂŶĞƐƚĂďůŝƐŚĞĚĐŽŵŵƵŶŝƚǇ͘dŚĞWƌŽũĞĐƚƉƌŽƉŽƐĞƐƚŽŝŵƉůĞŵĞŶƚĂǁĂƌĞŚŽƵƐĞͬůŽŐŝƐƚŝĐƐĨĂĐŝůŝƚǇ͘ dŚĞ WƌŽũĞĐƚ ǁŽƵůĚ ďĞ ƐŝŵŝůĂƌ ĂŶĚ ĐŽŶƐŝƐƚĞŶƚǁŝƚŚ ƐƵƌƌŽƵŶĚŝŶŐ ƵƐĞƐ͘ ǆŝƐƚŝŶŐ ĚĞǀĞůŽƉŵĞŶƚ ǁŝƚŚŝŶ ƚŚĞ
WƌŽũĞĐƚĂƌĞĂŝƐĂůƌĞĂĚǇĚŝǀŝĚĞĚďǇƚŚĞĞǆŝƐƚŝŶŐůŽĐĂůƌŽĂĚǁĂǇŶĞƚǁŽƌŬ͕ŝŶĐůƵĚŝŶŐŽŶsŝĞǁǀĞŶƵĞ͕ĂŶĚƚŚĞ WƌŽũĞĐƚŝƐŶŽƚĂŶƚŝĐŝƉĂƚĞĚƚŽĐƌĞĂƚĞĂĚĚŝƚŝŽŶĂůƉŚǇƐŝĐĂůďĂƌƌŝĞƌƐďĞƚǁĞĞŶƚŚĞƐĞƵƐĞƐ͘dŚĞƌĞĨŽƌĞ͕ƚŚĞƌĞĂƌĞ ŶŽŶĞǁŽƌŵŽƌĞƐĞǀĞƌĞŝŵƉĂĐƚƐ͘
DŝƚŝŐĂƚŝŽŶWƌŽŐƌĂŵ
DŝƚŝŐĂƚŝŽŶDĞĂƐƵƌĞƐĨƌŽŵƚŚĞKŶƚĂƌŝŽ'W
/Z
EŽŶĞŝĚĞŶƚŝĨŝĞĚŝŶƚŚĞKŶƚĂƌŝŽ'W
/Z͘
ŽŶĐůƵƐŝŽŶ
dŚĞWƌŽũĞĐƚǁŽƵůĚƌĞƐƵůƚŝŶŶŽ ŶĞǁŽƌŵŽƌĞƐĞǀĞƌĞůĂŶĚƵƐĞŝŵƉĂĐƚƐ͘ůĞƐƐƚŚĂŶƐŝŐŶŝĨŝĐĂŶƚŝŵƉĂĐƚǁĂƐ ŝĚĞŶƚŝĨŝĞĚŝŶƚŚĞKŶƚĂƌŝŽ'W
/Z͘dŚĞWƌŽũĞĐƚǁŽƵůĚďĞĚĞƐŝŐŶĞĚĐŽŶƐŝƐƚĞŶƚǁŝƚŚƚŚĞĂƉƉůŝĐĂďůĞŐƵŝĚĞůŝŶĞƐ ĂŶĚƐƚĂŶĚĂƌĚƐǁŝƚŚŝŶƚŚĞKŶƚĂƌŝŽ'W͕KŶƚĂƌŝŽD͕ĂŶĚKŶƚĂƌŝŽĞǀĞůŽƉŵĞŶƚŽĚĞ͘dŚĞƌĞĨŽƌĞ͕ŶŽŶĞǁ ĂŶĚͬŽƌŵŽĚŝĨŝĞĚŵŝƚŝŐĂƚŝŽŶŵĞĂƐƵƌĞƐĂƌĞƌĞƋƵŝƌĞĚĨŽƌŝƐƐƵĞƐƌĞůĂƚĞĚƚŽůĂŶĚƵƐĞ͘ dŚƌĞƐŚŽůĚ;ďͿ ĂƵƐĞĂ ƐŝŐŶŝĨŝĐĂŶƚĞŶǀŝƌŽŶŵĞŶƚĂůŝŵƉĂĐƚ ĚƵĞƚŽĂ ĐŽŶĨůŝĐƚ ǁŝƚŚ ĂŶǇůĂŶĚƵƐĞ ƉůĂŶ͕ ƉŽůŝĐǇ͕ Žƌ ƌĞŐƵůĂƚŝŽŶ ĂĚŽƉƚĞĚ ĨŽƌ ƚŚĞ ƉƵƌƉŽƐĞ ŽĨ ĂǀŽŝĚŝŶŐ Žƌ ŵŝƚŝŐĂƚŝŶŐ ĂŶ ĞŶǀŝƌŽŶŵĞŶƚĂůĞĨĨĞĐƚ͍ ΀KŶƚĂƌŝŽ'W
/Z/ŵƉĂĐƚϱ͘ϭϬͲϮ΁
EŽEĞǁŽƌDŽƌĞ^ĞǀĞƌĞ/ŵƉĂĐƚ͗EŽƉŽƚĞŶƚŝĂůůǇƐŝŐŶŝĨŝĐĂŶƚŝŵƉĂĐƚƐƌĞůĂƚĞĚƚŽůĂŶĚƵƐĞĂŶĚƉůĂŶŶŝŶŐĂƌĞ ŝĚĞŶƚŝĨŝĞĚ ŝŶƚŚĞKŶƚĂƌŝŽ'W
/Z͘dŚĞWƌŽũĞĐƚǁŽƵůĚ ŶŽƚƌĞƋƵŝƌĞĂŶĂŵĞŶĚŵĞŶƚƚŽƚŚĞKŶƚĂƌŝŽWůĂŶ /Z
>ĂŶĚhƐĞ
ůĞŵĞŶƚ͕ďĞĐĂƵƐĞǁĂƌĞŚŽƵƐŝŶŐƵƐĞƐĂƌĞƉĞƌŵŝƚƚĞĚƵƐĞƐďǇƌŝŐŚƚǁŝƚŚŝŶŝŶĚƵƐƚƌŝĂůǌŽŶĞƐ͘ƐƐƵĐŚ͕ ƚŚĞWƌŽũĞĐƚǁŽƵůĚďĞĐŽŶƐŝƐƚĞŶƚǁŝƚŚĂƉƉůŝĐĂďůĞůĂŶĚƵƐĞƉůĂŶƐ͕ŝŶĐůƵĚŝŶŐƚŚĞKŶƚĂƌŝŽ'W͘dŚĞWƌŽũĞĐƚĚŽĞƐ͕ ŚŽǁĞǀĞƌ͕ ƉƌŽƉŽƐĞ ƚŚĞ ŝŵƉůĞŵĞŶƚĂƚŝŽŶ ŽĨ Ă ŽŶĞ ŚĂŶŐĞ ĨŽƌ ƚŚĞ WƌŽũĞĐƚ ƐŝƚĞ͛Ɛ ƐŽƵƚŚĞƌŶ ƉĂƌĐĞů ;WEϭϬϱϬͲϰϰϭͲϬϱͿ ĨƌŽŵ ǌŽŶŝŶŐ ĚĞƐŝŐŶĂƚŝŽŶ >ŝŐŚƚ /ŶĚƵƐƚƌŝĂů ;/>Ϳ ƚŽ 'ĞŶĞƌĂů /ŶĚƵƐƚƌŝĂů ;/'Ϳ͘ dŚĞ ŽŶĞ ŚĂŶŐĞŝƐŝŶƚĞŶĚĞĚƚŽĐƌĞĂƚĞĂĐŽŶƐŝƐƚĞŶƚǌŽŶŝŶŐĚĞƐŝŐŶĂƚŝŽŶƚŚƌŽƵŐŚŽƵƚƚŚĞWƌŽũĞĐƚƐŝƚĞ͘dŚŝƐĐŚĂŶŐĞ͕ ŚŽǁĞǀĞƌ͕ ŝƐ ŶŽƚ ĞǆƉĞĐƚĞĚ ƚŽ ƐƵďƐƚĂŶƚŝĂůůǇ ĂĨĨĞĐƚ ĞƐƚĂďůŝƐŚĞĚ ůĂŶĚ ƵƐĞ ƉŽůŝĐŝĞƐ ƐŝŶĐĞ ďŽƚŚ ǌŽŶŝŶŐ ĚĞƐŝŐŶĂƚŝŽŶƐĂůůŽǁĨŽƌƚŚĞWƌŽũĞĐƚ͛ƐƉƌŽƉŽƐĞĚƵƐĞƐ͘dŚĞWƌŽũĞĐƚǁŽƵůĚ ƚŚĞƌĞĨŽƌĞŶŽƚ ĐĂƵƐĞĂƐŝŐŶŝĨŝĐĂŶƚ 298
(QYLURQPHQWDO,PSDFW$QDO\VLV
dŚĞKŶƚĂƌŝŽWůĂŶ
/Z ϱϵ ŽŶsŝĞǁWƌŽũĞĐƚ
ĚĚĞŶĚƵŵƚŽƚŚĞ&ŝŶĂů
ŶǀŝƌŽŶŵĞŶƚĂů/ŵƉĂĐƚZĞƉŽƌƚ
ĞŶǀŝƌŽŶŵĞŶƚĂů ŝŵƉĂĐƚĚƵĞ ƚŽ ĂĐŽŶĨůŝĐƚ ǁŝƚŚ ĂŶǇ ůĂŶĚ ƵƐĞ ƉůĂŶ͕ ƉŽůŝĐǇ͕ Žƌ ƌĞŐƵůĂƚŝŽŶĂĚŽƉƚĞĚ ĨŽƌ ƚŚĞ ƉƵƌƉŽƐĞŽĨĂǀŽŝĚŝŶŐŽƌŵŝƚŝŐĂƚŝŶŐĂŶĞŶǀŝƌŽŶŵĞŶƚĂůĞĨĨĞĐƚ͘ DŝƚŝŐĂƚŝŽŶWƌŽŐƌĂŵ
DŝƚŝŐĂƚŝŽŶDĞĂƐƵƌĞƐĨƌŽŵƚŚĞKŶƚĂƌŝŽ'W
/Z
EŽŶĞŝĚĞŶƚŝĨŝĞĚŝŶƚŚĞKŶƚĂƌŝŽ'W
/Z͘
ŽŶĐůƵƐŝŽŶ
dŚĞWƌŽũĞĐƚǁŽƵůĚƌĞƐƵůƚŝŶŶŽ ŶĞǁŽƌŵŽƌĞƐĞǀĞƌĞůĂŶĚƵƐĞŝŵƉĂĐƚƐ͘ůĞƐƐƚŚĂŶƐŝŐŶŝĨŝĐĂŶƚŝŵƉĂĐƚǁĂƐ ŝĚĞŶƚŝĨŝĞĚŝŶƚŚĞKŶƚĂƌŝŽ'W
/Z͘dŚĞWƌŽũĞĐƚǁŽƵůĚďĞĚĞƐŝŐŶĞĚĐŽŶƐŝƐƚĞŶƚǁŝƚŚƚŚĞĂƉƉůŝĐĂďůĞŐƵŝĚĞůŝŶĞƐ ĂŶĚƐƚĂŶĚĂƌĚƐǁŝƚŚŝŶƚŚĞKŶƚĂƌŝŽ'W͕KŶƚĂƌŝŽD͕ĂŶĚKŶƚĂƌŝŽĞǀĞůŽƉŵĞŶƚŽĚĞ͘dŚĞƌĞĨŽƌĞ͕ŶŽŶĞǁ ĂŶĚͬŽƌŵŽĚŝĨŝĞĚŵŝƚŝŐĂƚŝŽŶŵĞĂƐƵƌĞƐĂƌĞƌĞƋƵŝƌĞĚĨŽƌŝƐƐƵĞƐƌĞůĂƚĞĚƚŽůĂŶĚƵƐĞ͘ dŚƌĞƐŚŽůĚ;ĐͿ ŽŶĨůŝĐƚ ǁŝƚŚ ĂŶǇ ĂƉƉůŝĐĂďůĞ ŚĂďŝƚĂƚ ĐŽŶƐĞƌǀĂƚŝŽŶ ƉůĂŶ Žƌ ŶĂƚƵƌĂů ĐŽŵŵƵŶŝƚǇ ĐŽŶƐĞƌǀĂƚŝŽŶ ƉůĂŶ͘΀KŶƚĂƌŝŽ'W
/Z/ŵƉĂĐƚϱ͘ϭϬͲϯ΁΀EŽƚ ŝŶĐůƵĚĞĚŝŶ ƚŚĞ ϮϬϮϭ
Y
ƉƉĞŶĚŝǆ'dŚƌĞƐŚŽůĚƐ΁
^ĞĞ^ĞĐƚŝŽŶϰ͘ϰ͕ƚŚƌĞƐŚŽůĚ;ĨͿĂďŽǀĞ͘
DŝƚŝŐĂƚŝŽŶWƌŽŐƌĂŵ
DŝƚŝŐĂƚŝŽŶDĞĂƐƵƌĞƐĨƌŽŵƚŚĞKŶƚĂƌŝŽ'W
/Z
EŽŶĞŝĚĞŶƚŝĨŝĞĚŝŶƚŚĞKŶƚĂƌŝŽ'W
/Z͘
ŽŶĐůƵƐŝŽŶ
dŚĞWƌŽũĞĐƚǁŽƵůĚƌĞƐƵůƚŝŶŶŽ ŶĞǁŽƌŵŽƌĞƐĞǀĞƌĞůĂŶĚƵƐĞŝŵƉĂĐƚƐ͘ůĞƐƐƚŚĂŶƐŝŐŶŝĨŝĐĂŶƚŝŵƉĂĐƚǁĂƐ ŝĚĞŶƚŝĨŝĞĚŝŶƚŚĞKŶƚĂƌŝŽ'W
/Z͘dŚĞWƌŽũĞĐƚǁŽƵůĚďĞĚĞƐŝŐŶĞĚĐŽŶƐŝƐƚĞŶƚǁŝƚŚƚŚĞĂƉƉůŝĐĂďůĞŐƵŝĚĞůŝŶĞƐ ĂŶĚƐƚĂŶĚĂƌĚƐǁŝƚŚŝŶƚŚĞKŶƚĂƌŝŽ'W͕KŶƚĂƌŝŽD͕ĂŶĚKŶƚĂƌŝŽĞǀĞůŽƉŵĞŶƚŽĚĞ͘dŚĞƌĞĨŽƌĞ͕ŶŽŶĞǁ ĂŶĚͬŽƌŵŽĚŝĨŝĞĚŵŝƚŝŐĂƚŝŽŶŵĞĂƐƵƌĞƐĂƌĞƌĞƋƵŝƌĞĚĨŽƌŝƐƐƵĞƐƌĞůĂƚĞĚƚŽůĂŶĚƵƐĞ͘ KǀĞƌĂůů>ĂŶĚhƐĞĂŶĚWůĂŶŶŝŶŐ/ŵƉĂĐƚƐŽŶĐůƵƐŝŽŶ
tŝƚŚƌĞŐĂƌĚƚŽ
Y^ĞĐƚŝŽŶϮϭϭϲϲĂŶĚ
Y'ƵŝĚĞůŝŶĞƐ^ĞĐƚŝŽŶϭϱϭϲϮ;ĂͿ͕ƚŚĞĐŚĂŶŐĞƐƉƌŽƉŽƐĞĚďǇƚŚĞ WƌŽũĞĐƚǁŽƵůĚŶŽƚƌĞƐƵůƚŝŶĂŶǇŶĞǁŝŵƉĂĐƚƐ͕ŽƌŝŶĐƌĞĂƐĞƚŚĞƐĞǀĞƌŝƚǇŽĨƚŚĞƉƌĞǀŝŽƵƐůǇŝĚĞŶƚŝĨŝĞĚŝŵƉĂĐƚƐ͕ ǁŝƚŚƌĞƐƉĞĐƚƚŽůĂŶĚƵƐĞĂŶĚƉůĂŶŶŝŶŐ͘dŚĞƌĞĨŽƌĞ͕ƉƌĞƉĂƌĂƚŝŽŶŽĨĂ^ /ZŝƐŶŽƚǁĂƌƌĂŶƚĞĚ͘
299
(QYLURQPHQWDO,PSDFW$QDO\VLV
dŚĞKŶƚĂƌŝŽWůĂŶ
/Z ϲϬ ŽŶsŝĞǁWƌŽũĞĐƚ
ĚĚĞŶĚƵŵƚŽƚŚĞ&ŝŶĂů
ŶǀŝƌŽŶŵĞŶƚĂů/ŵƉĂĐƚZĞƉŽƌƚ
ϰ͘ϭϭ DŝŶĞƌĂůZĞƐŽƵƌĐĞƐ
ϰ͘ϭϭ͘ϭ ^ƵŵŵĂƌǇŽĨWƌĞǀŝŽƵƐ
ŶǀŝƌŽŶŵĞŶƚĂůŶĂůǇƐŝƐ
ĐĐŽƌĚŝŶŐƚŽƚŚĞKŶƚĂƌŝŽ'W
/Z͕ƚǁŽĂƌĞĂƐŝŶƚŚĞŝƚǇĂƌĞĐůĂƐƐŝĨŝĞĚĂƐDŝŶĞƌĂůZĞƐŽƵƌĐĞŽŶĞ;DZͿͲϮ͗ ŽŶĞŝƐŝŶƚŚĞŶŽƌƚŚǁĞƐƚĞƌŶƉŽƌƚŝŽŶŽĨƚŚĞŝƚǇĂŶĚƚŚĞƐĞĐŽŶĚŝƐĂůŽŶŐƚŚĞĞĂƐƚĞƌŶŝƚǇďŽƵŶĚĂƌǇ͘dŚĞƐĞ ƚǁŽ ĂƌĞĂƐ ƚŽƚĂů ĂƉƉƌŽǆŝŵĂƚĞůǇ ϲ͕ϭϯϮ ĂĐƌĞƐ͕ Žƌ ĂƉƉƌŽǆŝŵĂƚĞůǇ ϭϵ ƉĞƌĐĞŶƚ ŽĨ ƚŚĞ ŝƚǇ͛Ɛ ĂƌĞĂ͖ ƐĞĞ &ŝŐƵƌĞϱ͘ϭϭͲϭ͕DŝŶĞƌĂůZĞƐŽƵƌĐĞŽŶĞƐŽĨƚŚĞKŶƚĂƌŝŽ'W /Z͘dŚĞƌĞŵĂŝŶĚĞƌŽĨƚŚĞŝƚǇ͕ĂƉƉƌŽǆŝŵĂƚĞůǇ
ϴϭƉĞƌĐĞŶƚŽĨŝƚƐĂƌĞĂ͕ŝƐDZͲϯ͕ǁŚĞƌĞƚŚĞƐŝŐŶŝĨŝĐĂŶĐĞŽĨŵŝŶĞƌĂůĚĞƉŽƐŝƚƐŝƐƵŶŬŶŽǁŶ͘DŝŶĞƌĂůƌĞƐŽƵƌĐĞƐ ŝŶ ƚŚĞ ŝƚǇ ĂƌĞ ůŝŵŝƚĞĚ ƚŽ ĐŽŶƐƚƌƵĐƚŝŽŶ ĂŐŐƌĞŐĂƚĞƐƐƵĐŚĂƐ ƐĂŶĚ ĂŶĚ ŐƌĂǀĞů͘dŚĞƌĞ ĂƌĞ ĐƵƌƌĞŶƚůǇ ŶŽ ƉĞƌŵŝƚƚĞĚŵŝŶŝŶŐŽƉĞƌĂƚŝŽŶƐŝŶƚŚĞŝƚǇ͘
dŚĞKŶƚĂƌŝŽ'W
/ZĐŽŶĐůƵĚĞĚƚŚĂƚĂĐĐŽƌĚŝŶŐƚŽƚŚĞKŶƚĂƌŝŽWůĂŶ͕ŝƚŝƐŶŽƚĂŶƚŝĐŝƉĂƚĞĚƚŚĂƚƚŚĞŝƚǇǁŽƵůĚ ĐŽŶƚĂŝŶŬŶŽǁŶĚĞƉŽƐŝƚƐŽĨƉƌĞĐŝŽƵƐŐĞŵƐƚŽŶĞƐ͕ŽƌĞƐ͕ŽƌƵŶŝƋƵĞ͕ŽƌƌĂƌĞŵŝŶĞƌĂůƐǁŝƚŚŝŶƚŚĞWƌŽũĞĐƚǀŝĐŝŶŝƚǇ ĂŶĚĚĞǀĞůŽƉŵĞŶƚ ƉƌŽũĞĐƚƐǁŽƵůĚ ŶŽƚƌĞƐƵůƚŝŶ ƐŝŐŶŝĨŝĐĂŶƚŝŵƉĂĐƚƐƌĞůĂƚŝǀĞƚŽŵŝŶĞƌĂůƌĞƐŽƵƌĐĞƐ͕ĂŶĚŶŽ ŵŝƚŝŐĂƚŝŽŶŵĞĂƐƵƌĞƐǁĞƌĞŝŵƉůĞŵĞŶƚĞĚ͘
ϰ͘ϭϭ͘Ϯ ŶĂůǇƐŝƐŽĨWƌŽƉŽƐĞĚWƌŽũĞĐƚ
dŚƌĞƐŚŽůĚ;ĂͿ ZĞƐƵůƚŝŶƚŚĞůŽƐƐŽĨĂǀĂŝůĂďŝůŝƚǇŽĨĂŬŶŽǁŶŵŝŶĞƌĂůƌĞƐŽƵƌĐĞƚŚĂƚǁŽƵůĚďĞŽĨǀĂůƵĞƚŽ ƚŚĞƌĞŐŝŽŶĂŶĚƚŚĞƌĞƐŝĚĞŶƚƐŽĨƚŚĞƐƚĂƚĞ͍΀KŶƚĂƌŝŽ'W /Z/ŵƉĂĐƚϱ͘ϭϭͲϭ΁
dŚƌĞƐŚŽůĚ;ďͿ ZĞƐƵůƚŝŶƚŚĞůŽƐƐŽĨĂǀĂŝůĂďŝůŝƚǇŽĨĂůŽĐĂůůǇŝŵƉŽƌƚĂŶƚŵŝŶĞƌĂůƌĞƐŽƵƌĐĞƌĞĐŽǀĞƌǇƐŝƚĞ ĚĞůŝŶĞĂƚĞĚŽŶĂůŽĐĂůŐĞŶĞƌĂůƉůĂŶ͕ƐƉĞĐŝĨŝĐƉůĂŶ͕ŽƌŽƚŚĞƌůĂŶĚƵƐĞƉůĂŶ͍΀KŶƚĂƌŝŽ'W /Z
/ŵƉĂĐƚϱ͘ϭϭͲϭ΁
EŽEĞǁŽƌDŽƌĞ^ĞǀĞƌĞ/ŵƉĂĐƚ͗ŽŶƐŝƐƚĞŶƚǁŝƚŚƚŚĞKŶƚĂƌŝŽ'W /ZĐŽŶĐůƵƐŝŽŶƐ͕ƚŚĞWƌŽũĞĐƚƐŝƚĞŝƐŶŽƚ
ůŽĐĂƚĞĚŝŶ ĂŶ ĂƌĞĂŬŶŽǁŶ ƚŽ ĐŽŶƚĂŝŶŵŝŶĞƌĂůƌĞƐŽƵƌĐĞƐƚŚĂƚǁŽƵůĚ ďĞ ŽĨ ǀĂůƵĞ ƚŽƚŚĞ ƌĞŐŝŽŶĂŶĚ ƚŚĞ ƌĞƐŝĚĞŶƚƐŽĨ ƚŚĞ ^ƚĂƚĞ͘ϮϬĚĚŝƚŝŽŶĂůůǇ͕ ŝŵƉůĞŵĞŶƚĂƚŝŽŶ ŽĨ ƚŚĞ WƌŽũĞĐƚ ǁŽƵůĚ ŶŽƚ ƌĞƐƵůƚ ŝŶ ƚŚĞ ůŽƐƐ ŽĨ ĂǀĂŝůĂďŝůŝƚǇ ŽĨ Ă ůŽĐĂůůǇ ŝŵƉŽƌƚĂŶƚŵŝŶĞƌĂů ƌĞƐŽƵƌĐĞƐƌĞĐŽǀĞƌǇƐŝƚĞĚĞůŝŶĞĂƚĞĚ ŝŶ ƚŚĞ KŶƚĂƌŝŽ 'W Žƌ ŽŶ ĂůŝĨŽƌŶŝĂ ĞƉĂƌƚŵĞŶƚŽĨ ŽŶƐĞƌǀĂƚŝŽŶŵĂƉƉŝŶŐ͘ EŽ ŶĞǁ ŽƌŵŽƌĞ ƐĞǀĞƌĞŝŵƉĂĐƚ ƌĞůĂƚŝǀĞ ƚŽŵŝŶĞƌĂů ƌĞƐŽƵƌĐĞƐŶŽƚĂůƌĞĂĚǇĞǀĂůƵĂƚĞĚŝŶƚŚĞKŶƚĂƌŝŽ'W
/ZǁŽƵůĚŽĐĐƵƌǁŝƚŚŝŵƉůĞŵĞŶƚĂƚŝŽŶŽĨƚŚĞWƌŽũĞĐƚ͘
ůĞƐƐƚŚĂŶƐŝŐŶŝĨŝĐĂŶƚŝŵƉĂĐƚǁŽƵůĚŽĐĐƵƌ͘
DŝƚŝŐĂƚŝŽŶWƌŽŐƌĂŵ
DŝƚŝŐĂƚŝŽŶDĞĂƐƵƌĞƐĨƌŽŵƚŚĞKŶƚĂƌŝŽ'W
/Z
EŽŶĞŝĚĞŶƚŝĨŝĞĚŝŶƚŚĞKŶƚĂƌŝŽ'W
/Z͘
KǀĞƌĂůůDŝŶĞƌĂůZĞƐŽƵƌĐĞƐ/ŵƉĂĐƚƐŽŶĐůƵƐŝŽŶ
tŝƚŚƌĞŐĂƌĚƚŽ
Y^ĞĐƚŝŽŶϮϭϭϲϲĂŶĚ
Y'ƵŝĚĞůŝŶĞƐ^ĞĐƚŝŽŶϭϱϭϲϮ;ĂͿ͕ƚŚĞĐŚĂŶŐĞƐƉƌŽƉŽƐĞĚďǇƚŚĞ WƌŽũĞĐƚǁŽƵůĚŶŽƚƌĞƐƵůƚŝŶĂŶǇŶĞǁŝŵƉĂĐƚƐ͕ŽƌŝŶĐƌĞĂƐĞƚŚĞƐĞǀĞƌŝƚǇŽĨƚŚĞƉƌĞǀŝŽƵƐůǇŝĚĞŶƚŝĨŝĞĚŝŵƉĂĐƚƐ͕ ǁŝƚŚƌĞƐƉĞĐƚƚŽŵŝŶĞƌĂůƌĞƐŽƵƌĐĞƐ͘dŚĞƌĞĨŽƌĞ͕ƉƌĞƉĂƌĂƚŝŽŶŽĨĂ^ /ZŝƐŶŽƚǁĂƌƌĂŶƚĞĚ͘
ϮϬĂůŝĨŽƌŶŝĂĞƉĂƌƚŵĞŶƚŽĨŽŶƐĞƌǀĂƚŝŽŶ͘ϮϬϮϭ͘DŝŶĞƌĂů>ĂŶĚůĂƐƐŝĨŝĐĂƚŝŽŶ͘ ŚƚƚƉƐ͗ͬͬŵĂƉƐ͘ĐŽŶƐĞƌǀĂƚŝŽŶ͘ĐĂ͘ŐŽǀͬĐŐƐͬŝŶĨŽƌŵĂƚŝŽŶǁĂƌĞŚŽƵƐĞͬŝŶĚĞǆ͘Śƚŵů͍ŵĂƉсŵůĐ ;ĂĐĐĞƐƐĞĚƵŐƵƐƚϮϭ͕ϮϬϮϭͿ͘ 300
(QYLURQPHQWDO,PSDFW$QDO\VLV
dŚĞKŶƚĂƌŝŽWůĂŶ
/Z ϲϭ ŽŶsŝĞǁWƌŽũĞĐƚ
ĚĚĞŶĚƵŵƚŽƚŚĞ&ŝŶĂů
ŶǀŝƌŽŶŵĞŶƚĂů/ŵƉĂĐƚZĞƉŽƌƚ
ϰ͘ϭϮ EŽŝƐĞ
ϰ͘ϭϮ͘ϭ ^ƵŵŵĂƌǇŽĨWƌĞǀŝŽƵƐ
ŶǀŝƌŽŶŵĞŶƚĂůŶĂůǇƐŝƐ
dŚĞKŶƚĂƌŝŽ'W
/ZĐŽŶƐŝĚĞƌĞĚŶŽŝƐĞĨƌŽŵĐŽŶƐƚƌƵĐƚŝŽŶĂĐƚŝǀŝƚŝĞƐĂƐǁĞůůĂƐŶŽŝƐĞĨƌŽŵŽƉĞƌĂƚŝŽŶƐĚƵƌŝŶŐ ĨƵůů ďƵŝůĚŽƵƚ ŽĨƚŚĞKŶƚĂƌŝŽ'W͕ŝŶĐůƵĚŝŶŐ ǀĞŚŝĐůĞƚƌĂĨĨŝĐƚŚĞƉŽƚĞŶƚŝĂůĞǆƉŽƐƵƌĞŽĨŶĞĂƌďǇƌĞƐŝĚĞŶƚƐĂŶĚ ŽƚŚĞƌƐĞŶƐŝƚŝǀĞƌĞĐĞƉƚŽƌƐƚŽŶŽŝƐĞ͘tŝƚŚŝŵƉůĞŵĞŶƚĂƚŝŽŶŽĨŵŝƚŝŐĂƚŝŽŶŵĞĂƐƵƌĞƐ͕ĂůůŶŽŝƐĞŝŵƉĂĐƚƐǁĞƌĞ ĚĞƚĞƌŵŝŶĞĚƚŽƌĞŵĂŝŶƐŝŐŶŝĨŝĐĂŶƚĂŶĚƵŶĂǀŽŝĚĂďůĞ͕ǁŝƚŚƚŚĞĞǆĐĞƉƚŝŽŶŽĨKŶƚĂƌŝŽ'W /Zϱ͘ϭϮͲϰ͕ǁŚŽƐĞ
ŝŵƉĂĐƚǁĂƐĚĞĞŵĞĚůĞƐƐƚŚĂŶƐŝŐŶŝĨŝĐĂŶƚ͘dŚĞƉŽƚĞŶƚŝĂůĨŽƌƐŝŐŶŝĨŝĐĂŶƚůĞǀĞůƐŽĨŐƌŽƵŶĚďŽƌŶĞǀŝďƌĂƚŝŽŶƐ ĂŶĚŶŽŝƐĞǁŽƵůĚďĞƐƵĨĨŝĐŝĞŶƚůǇŵŝƚŝŐĂƚĞĚƚŽůĞƐƐƚŚĂŶƐŝŐŶŝĨŝĐĂŶƚůĞǀĞůƐ͘ ϰ͘ϭϮ͘Ϯ ŶĂůǇƐŝƐŽĨWƌŽƉŽƐĞĚWƌŽũĞĐƚ
dŚƌĞƐŚŽůĚ;ĂͿ 'ĞŶĞƌĂƚŝŽŶŽĨĂƐƵďƐƚĂŶƚŝĂůƚĞŵƉŽƌĂƌǇŽƌƉĞƌŵĂŶĞŶƚŝŶĐƌĞĂƐĞŝŶĂŵďŝĞŶƚŶŽŝƐĞůĞǀĞůƐ ŝŶƚŚĞǀŝĐŝŶŝƚǇŽĨƚŚĞƉƌŽũĞĐƚŝŶĞǆĐĞƐƐŽĨƐƚĂŶĚĂƌĚƐĞƐƚĂďůŝƐŚĞĚŝŶƚŚĞůŽĐĂůŐĞŶĞƌĂůƉůĂŶ Žƌ ŶŽŝƐĞ ŽƌĚŝŶĂŶĐĞ͕Žƌ ĂƉƉůŝĐĂďůĞ ƐƚĂŶĚĂƌĚƐŽĨ ŽƚŚĞƌ ĂŐĞŶĐŝĞƐ͍ ΀KŶƚĂƌŝŽ 'W /Z
/ŵƉĂĐƚϱ͘ϭϮͲϭ͕ϱ͘ϭϮͲϮ΁
dŚƌĞƐŚŽůĚ;ĐͿ ƐƵďƐƚĂŶƚŝĂůƉĞƌŵĂŶĞŶƚŝŶĐƌĞĂƐĞŝŶĂŵďŝĞŶƚŶŽŝƐĞůĞǀĞůƐŝŶƚŚĞƉƌŽũĞĐƚǀŝĐŝŶŝƚǇĂďŽǀĞ ůĞǀĞůƐĞǆŝƐƚŝŶŐǁŝƚŚŽƵƚƚŚĞƉƌŽũĞĐƚ͘΀KŶƚĂƌŝŽ'W
/Z/ŵƉĂĐƚϱ͘ϭϮͲϭ͕ϱ͘ϭϮͲϮ΁΀EŽƚŝŶĐůƵĚĞĚ
ŝŶƚŚĞϮϬϮϭ
YƉƉĞŶĚŝǆ'dŚƌĞƐŚŽůĚƐ΁
EŽEĞǁŽƌDŽƌĞ^ĞǀĞƌĞ/ŵƉĂĐƚ͗dŚĞKŶƚĂƌŝŽ'W
/ZĨŽƵŶĚƚŚĂƚ ƚŚĞďƵŝůĚŽƵƚŽĨƚŚĞKŶƚĂƌŝŽ'WǁŽƵůĚ
ĐƌĞĂƚĞŝŶĐƌĞĂƐĞĚƚƌĂĨĨŝĐǁŚŝĐŚǁŽƵůĚ ŐĞŶĞƌĂƚĞƐƵďƐƚĂŶƚŝĂůĂŵŽƵŶƚƐŽĨŶŽŝƐĞǁŝƚŚŝŶƚŚĞŝƚǇ͘dŚŝƐǁŽƵůĚ ĂůƐŽĂĨĨĞĐƚƐĞŶƐŝƚŝǀĞƌĞĐĞƉƚŽƌƐĚƵĞƚŽƚŚĞĐŝƚǇǁŝĚĞŝŶĐƌĞĂƐĞŽĨĂŵďŝĞŶƚŶŽŝƐĞůĞǀĞůƐ͘ &ŝŐƵƌĞϱ͘ϭϮͲϭŽĨƚŚĞKŶƚĂƌŝŽ'W
/ZƐŚŽǁƐƚŚĂƚĞǆŝƐƚŝŶŐŶŽŝƐĞůĞǀĞůƐŝŶƚŚĞWƌŽũĞĐƚĂƌĞĂǁĂƐďĞƚǁĞĞŶϲϬƚŽ ϲϱ ĚĞĐŝďĞůƐ ;ĚͿ͘ dŚĞ ŝƚǇ ƉƌŽũĞĐƚĞĚ ƚŚĂƚ ƚŚĞƐĞ ŶŽŝƐĞ ůĞǀĞůƐ ǁŽƵůĚ ƌĞŵĂŝŶ ƚŚĞ ƐĂŵĞ ĂƐ ƐŚŽǁŶ ŝŶ &ŝŐƵƌĞϱ͘ϭϮͲϲ ŽĨ ƚŚĞ KŶƚĂƌŝŽ 'W
/Z͘EŽŝƐĞ ůĞǀĞůƐ ĨŽƌ ƚŚĞ WƌŽũĞĐƚ ǁŽƵůĚ ďĞ ƐŝŵŝůĂƌ ƚŽ ƚŚŽƐĞĐƵƌƌĞŶƚůǇ ŐĞŶĞƌĂƚĞĚĂƚƚŚĞWƌŽũĞĐƚƐŝƚĞĚƵĞƚŽƚŚĞƐŝŵŝůĂƌŝƚǇŽĨƚŚĞƉƌŽƉŽƐĞĚƵƐĞƐǁŝƚŚƚŚĞĞǆŝƐƚŝŶŐƵƐĞƐ͘dŚĞWƌŽũĞĐƚ ĚŽĞƐ ŶŽƚ ŝŶĐůƵĚĞ ƌŽĂĚǁĂǇ ŝŵƉƌŽǀĞŵĞŶƚƐ ǁŚŝĐŚ ǁŽƵůĚ ĂůƚĞƌ ƚƌĂĨĨŝĐƉĂƚƚĞƌŶƐŝŶ ƚŚĞƐƵƌƌŽƵŶĚŝŶŐ ĂƌĞĂ͘ ĐĐŽƌĚŝŶŐƚŽ&ŝŐƵƌĞϱ͘ϭϮͲϴŽĨƚŚĞKŶƚĂƌŝŽ'W
/Z͕ƚŚĞWƌŽũĞĐƚƐŝƚĞŝƐŶŽƚďŽƵŶĚĞĚďǇƌŽĂĚǁĂǇƐǁŚŝĐŚǁŽƵůĚ ĞǆƉĞƌŝĞŶĐĞŝŶĐƌĞĂƐĞĚŶŽŝƐĞůĞǀĞůƐ͘ĞĐĂƵƐĞƚŚĞWƌŽũĞĐƚǁŽƵůĚ ďĞĐŽŶƐŝƐƚĞŶƚǁŝƚŚƚŚĞĞǆŝƐƚŝŶŐůĂŶĚƵƐĞŽĨ ƚŚĞWƌŽũĞĐƚĂƌĞĂ͕ĨƵƚƵƌĞŶŽŝƐĞŝŵƉĂĐƚƐǁŽƵůĚďĞĂĐĐŽƵŶƚĞĚĨŽƌƚŚƌŽƵŐŚƚŚĞĨŝŶĚŝŶŐƐŽĨƚŚĞKŶƚĂƌŝŽ'W /Z͘
,ŽǁĞǀĞƌ͕ĚĞƐƉŝƚĞƚŚĞ ƐŝŐŶŝĨŝĐĂŶƚŝŵƉĂĐƚŝĚĞŶƚŝĨŝĞĚ ŝŶ ƚŚĞKŶƚĂƌŝŽ 'W /Z͕ƚŚĞ WƌŽũĞĐƚ ǁŽƵůĚ ŽĐĐƵƉǇ Ă
ƐƉĞĐŝĨŝĐĂƌĞĂŽĨ ƚŚĞŝƚǇǁŚŝĐŚ ǁŽƵůĚŶŽƚĞǆƉĞƌŝĞŶĐĞŝŶĐƌĞĂƐĞĚŶŽŝƐĞůĞǀĞůƐƚŚƌŽƵŐŚƚŚĞďƵŝůĚŽƵƚŽĨƚŚĞ KŶƚĂƌŝŽ'W͘
DŝƚŝŐĂƚŝŽŶǁĂƐĨŽƵŶĚƚŽŶŽƚďĞƐƵŝƚĂďůĞƚŽƌĞĚƵĐĞƚŚĞƐŝŐŶŝĨŝĐĂŶĐĞŽĨ/ŵƉĂĐƚϱ͘ϭϮͲϭŝŶƚŚĞKŶƚĂƌŝŽ'W /Z͕
ŚŽǁĞǀĞƌ͕ďĞĐĂƵƐĞƚŚĞWƌŽũĞĐƚŝƐƵŶůŝŬĞůǇ ƚŽŐĞŶĞƌĂƚĞĂƐŝŐŶŝĨŝĐĂŶƚĂŵŽƵŶƚŽĨŶŽŝƐĞĐŽŵƉĂƌĞĚƚŽƚŚĞŝƚǇ͛Ɛ ƉƌŽũĞĐƚŝŽŶƐ͕ŵŝƚŝŐĂƚŝŽŶŝƐŶŽƚ ƌĞƋƵŝƌĞĚ͕ĂŶĚŝŵƉĂĐƚƐǁŽƵůĚďĞůĞƐƐƚŚĂŶƐŝŐŶŝĨŝĐĂŶƚ͘,ŽǁĞǀĞƌ͕ŵŝƚŝŐĂƚŝŽŶ ŵĞĂƐƵƌĞϭϮͲϭǁĂƐĨŽƵŶĚƐƵŝƚĂďůĞƚŽƌĞĚƵĐĞƚŚĞƐŝŐŶŝĨŝĐĂŶĐĞŽĨ/ŵƉĂĐƚϱ͘ϭϮͲϮŝŶƚŚĞKŶƚĂƌŝŽ'W /Z͘
301
(QYLURQPHQWDO,PSDFW$QDO\VLV
dŚĞKŶƚĂƌŝŽWůĂŶ
/Z ϲϮ ŽŶsŝĞǁWƌŽũĞĐƚ
ĚĚĞŶĚƵŵƚŽƚŚĞ&ŝŶĂů
ŶǀŝƌŽŶŵĞŶƚĂů/ŵƉĂĐƚZĞƉŽƌƚ
DŝƚŝŐĂƚŝŽŶWƌŽŐƌĂŵ
DŝƚŝŐĂƚŝŽŶDĞĂƐƵƌĞƐĨƌŽŵƚŚĞ&ŝŶĂů
/Z
DŝƚŝŐĂƚŝŽŶŵĞĂƐƵƌĞϭϮͲϭǁĂƐƉƌŽƉŽƐĞĚŝŶƚŚĞKŶƚĂƌŝŽ'W /Z͘,ŽǁĞǀĞƌ͕ŵŝƚŝŐĂƚŝŽŶŵĞĂƐƵƌĞϭϮͲϭŝƐŶŽƚ
ĂƉƉůŝĐĂďůĞ ƚŽƚŚĞ WƌŽũĞĐƚďĞĐĂƵƐĞƚŚĞWƌŽũĞĐƚ;ϭͿ ĚŽĞƐ ŶŽƚŝŶǀŽůǀĞ ĂŶŽŝƐĞͲƐĞŶƐŝƚŝǀĞƵƐĞĂŶĚ ;ϮͿ ŝƐŶŽƚ ůŽĐĂƚĞĚǁŝƚŚŝŶƚŚĞϲϱĚE
>ĐŽŶƚŽƵƌůŝŶĞ͘
ŽŶĐůƵƐŝŽŶ
dŚĞWƌŽũĞĐƚǁŽƵůĚƌĞƐƵůƚŝŶŶŽŶĞǁŽƌŵŽƌĞƐĞǀĞƌĞůĂŶĚƵƐĞŝŵƉĂĐƚƐ͘ƐŝŐŶŝĨŝĐĂŶƚĂŶĚƵŶĂǀŽŝĚĂďůĞŝŵƉĂĐƚ ǁĂƐŝĚĞŶƚŝĨŝĞĚ ŝŶ ƚŚĞ KŶƚĂƌŝŽ 'W
/Z͘dŚĞ WƌŽũĞĐƚ ǁŽƵůĚ ďĞ ĚĞƐŝŐŶĞĚ ĐŽŶƐŝƐƚĞŶƚǁŝƚŚ ƚŚĞ ĂƉƉůŝĐĂďůĞ ŐƵŝĚĞůŝŶĞƐĂŶĚƐƚĂŶĚĂƌĚƐǁŝƚŚŝŶƚŚĞKŶƚĂƌŝŽ'W͕KŶƚĂƌŝŽD͕ĂŶĚKŶƚĂƌŝŽĞǀĞůŽƉŵĞŶƚŽĚĞ͘ĞƐƉŝƚĞƚŚĞ ƐŝŐŶŝĨŝĐĂŶƚŝŵƉĂĐƚƐŝĚĞŶƚŝĨŝĞĚŝŶƚŚĞKŶƚĂƌŝŽ'W
/Z͕WƌŽũĞĐƚŝŵƉĂĐƚƐǁŽƵůĚďĞůĞƐƐƚŚĂŶƐŝŐŶŝĨŝĐĂŶƚĂŶĚŶŽ ŶĞǁĂŶĚͬŽƌŵŽĚŝĨŝĞĚŵŝƚŝŐĂƚŝŽŶŵĞĂƐƵƌĞƐĂƌĞƌĞƋƵŝƌĞĚĨŽƌŝƐƐƵĞƐƌĞůĂƚĞĚƚŽŶŽŝƐĞůĞǀĞůƐ͘ dŚƌĞƐŚŽůĚ;ďͿ 'ĞŶĞƌĂƚŝŽŶ ŽĨ ĞǆĐĞƐƐŝǀĞ ŐƌŽƵŶĚďŽƌŶĞ ǀŝďƌĂƚŝŽŶ Žƌ ŐƌŽƵŶĚďŽƌŶĞ ŶŽŝƐĞ ůĞǀĞůƐ͍ ΀KŶƚĂƌŝŽ'W
/Z/ŵƉĂĐƚϱ͘ϭϮͲϯ͕ϱ͘ϭϮͲϰ΁
EŽ EĞǁ Žƌ DŽƌĞ ^ĞǀĞƌĞ /ŵƉĂĐƚ͗ dŚĞ KŶƚĂƌŝŽ 'W
/Z ĨŽƵŶĚ ƚŚĂƚ ŐƌŽƵŶĚďŽƌŶĞ ǀŝďƌĂƚŝŽŶƐ ĚƵĞ ƚŽ
ĐŽŶƐƚƌƵĐƚŝŽŶĂĐƚŝǀŝƚŝĞƐŚĂĚƚŚĞƉŽƚĞŶƚŝĂůƚŽĐƌĞĂƚĞƐŝŐŶŝĨŝĐĂŶƚŝŵƉĂĐƚƐĂƚĨƵůůďƵŝůĚŽƵƚ ŽĨ ƚŚĞKŶƚĂƌŝŽ'W͘ ŽŶƐƚƌƵĐƚŝŽŶŽĨƚŚĞWƌŽũĞĐƚĐŽƵůĚŐĞŶĞƌĂƚĞǀĂƌǇŝŶŐĚĞŐƌĞĞƐŽĨŐƌŽƵŶĚďŽƌŶĞǀŝďƌĂƚŝŽŶĚĞƉĞŶĚŝŶŐŽŶƚŚĞ ĐŽŶƐƚƌƵĐƚŝŽŶƉƌŽĐĞĚƵƌĞĂŶĚƚŚĞĐŽŶƐƚƌƵĐƚŝŽŶĞƋƵŝƉŵĞŶƚƵƐĞĚ͘ ĐĐŽƌĚŝŶŐƚŽKŶƚĂƌŝŽD^ĞĐƚŝŽŶϱ͘ϮϵͲϬϰ͕ŵĂŶƵĨĂĐƚƵƌŝŶŐĂŶĚŝŶĚƵƐƚƌŝĂůŶŽŝƐĞůŝŵŝƚƐĂƌĞϳϬĚĚƵƌŝŶŐƚŚĞ ϳĂŵƚŽϭϬƉŵƉĞƌŝŽĚ͕ĂŶĚϳϬĚĚƵƌŝŶŐƚŚĞϭϬƉŵƚŽϳĂŵƉĞƌŝŽĚ͘&ƵƌƚŚĞƌŵŽƌĞ͕ƚŚĞKŶƚĂƌŝŽ'WƐƚĂƚĞƐ ƚŚĂƚǀŝďƌĂƚŝŽŶĂůĂŶŶŽǇĂŶĐĞĂƌĞůŝŬĞůǇ ƚŽŽĐĐƵƌŽŶĐĞĚĞĐŝďĞůǀĞůŽĐŝƚǇ;sĚͿĞǆĐĞĞĚƐϳϴsĚǁŝƚŚŝŶϮϱĨĞĞƚ ŽĨƚŚĞƐĞŶƐŝƚŝǀĞƌĞĐĞƉƚŽƌĂŶĚƐƚƌƵĐƚƵƌĂůĚĂŵĂŐĞŝƐůŝŬĞůǇ ƚŽŽĐĐƵƌŽŶĐĞZŽŽƚDĞĂŶ^ƋƵĂƌĞ;ZD^ͿǀĞůŽĐŝƚǇ ĞǆĐĞĞĚƐ Ϭ͘Ϯ ŝŶĐŚĞƐ ƉĞƌ ƐĞĐŽŶĚ ;ŝŶͬƐĞĐͿ ǁŝƚŚŝŶ Ϯϱ ĨĞĞƚ ŽĨ Ă ƐĞŶƐŝƚŝǀĞ ƌĞĐĞƉƚŽƌ͘dŚĞ ŶĞĂƌĞƐƚƐĞŶƐŝƚŝǀĞ ƌĞĐĞƉƚŽƌƐĂƌĞƚŚĞŵƵůƚŝͲĨĂŵŝůǇƌĞƐŝĚĞŶƚŝĂůƵƐĞƐĂƉƉƌŽǆŝŵĂƚĞůǇϮϬϬĨĞĞƚƐŽƵƚŚŽĨƚŚĞWƌŽũĞĐƚďŽƵŶĚĂƌǇ͘ EŽŝƐĞůĞǀĞůƐĐĂŶďĞĐĂůĐƵůĂƚĞĚƵƐŝŶŐƚŚĞĨŽůůŽǁŝŶŐĞƋƵĂƚŝŽŶ͗>ǀ;Ϳс>ǀ;ϮϱĨĞĞƚͿͲ;ϯϬǆůŽŐϭϬ;ͬϮϱĨĞĞƚͿͿ͘ sŝďƌĂƚŝŽŶĂůůĞǀĞůƐĐĂŶďĞ ĐĂůĐƵůĂƚĞĚƵƐŝŶŐƚŚĞĨŽůůŽǁŝŶŐĞƋƵĂƚŝŽŶ͗ WWsĞƋƵŝƉсWWsƌĞĨǆ;ϮϱͬͿϭ͘ϱ͘&ŽƌƚŚĞƐĞ ĞƋƵĂƚŝŽŶƐ͕WWsĞƋƵŝƉсƚŚĞƉĞĂŬƉĂƌƚŝĐůĞǀĞůŽĐŝƚǇŝŶŝŶͬƐĞĐŽĨƚŚĞĞƋƵŝƉŵĞŶƚĂĚũƵƐƚĞĚĨŽƌƚŚĞĚŝƐƚĂŶĐĞ͖WWsƌĞĨ сƚŚĞƌĞĨĞƌĞŶĐĞǀŝďƌĂƚŝŽŶůĞǀĞůŝŶŝŶͬƐĞĐ͕сƚŚĞĚŝƐƚĂŶĐĞĨƌŽŵƚŚĞĞƋƵŝƉŵĞŶƚƚŽƚŚĞƌĞĐĞŝǀĞƌ͕ĂŶĚ>ǀсƚŚĞ ǀŝďƌĂƚŝŽŶĂůůĞǀĞů͘Ϯϭ
dĂďůĞ ϳͲϰ ŽĨ ƚŚĞ &ĞĚĞƌĂů dƌĂŶƐŝƚĚŵŝŶŝƐƚƌĂƚŝŽŶ ;&dͿ dƌĂŶƐŝƚEŽŝƐĞĂŶĚ sŝďƌĂƚŝŽŶ /ŵƉĂĐƚƐƐĞƐƐŵĞŶƚ DĂŶƵĂůůŝƐƚƐĐŽŶƐƚƌƵĐƚŝŽŶĞƋƵŝƉŵĞŶƚ ŶŽŝƐĞ ĂŶĚǀŝďƌĂƚŝŽŶ ůĞǀĞůƐ ĂƚϮϱ ĨĞĞƚ;ϭϭϮ sĚͿ͘dĂďůĞϱ͕dǇƉŝĐĂů ŽŶƐƚƌƵĐƚŝŽŶ
ƋƵŝƉŵĞŶƚEŽŝƐĞĂŶĚsŝďƌĂƚŝŽŶ>ĞǀĞůƐĚŝƐƉůĂǇƐŶŽŝƐĞůĞǀĞůƐĂƚϮϬϬĨĞĞƚƵƐŝŶŐƚŚĞĂďŽǀĞ ŶŽŝƐĞĂŶĚǀŝďƌĂƚŝŽŶĞƋƵĂƚŝŽŶƐ͘
Ϯϭ&ĞĚĞƌĂůdƌĂŶƐŝƚĚŵŝŶŝƐƚƌĂƚŝŽŶ͘;ϮϬϭϴͿ͘dƌĂŶƐŝƚ EŽŝƐĞĂŶĚsŝďƌĂƚŝŽŶ /ŵƉĂĐƚƐƐĞƐƐŵĞŶƚDĂŶƵĂů͘WĂŐĞϭϴϱ͘ 302
(QYLURQPHQWDO,PSDFW$QDO\VLV
dŚĞKŶƚĂƌŝŽWůĂŶ
/Z ϲϯ ŽŶsŝĞǁWƌŽũĞĐƚ
ĚĚĞŶĚƵŵƚŽƚŚĞ&ŝŶĂů
ŶǀŝƌŽŶŵĞŶƚĂů/ŵƉĂĐƚZĞƉŽƌƚ
dĂďůĞϱ͗dǇƉŝĐĂůŽŶƐƚƌƵĐƚŝŽŶ
ƋƵŝƉŵĞŶƚEŽŝƐĞĂŶĚsŝďƌĂƚŝŽŶ>ĞǀĞůƐ

ƋƵŝƉŵĞŶƚ
WWsĂƚ
Ϯϱ&ĞĞƚ
;ŝŶͬƐĞĐͿ
WWsĂƚ
ϮϬϬ&ĞĞƚ
;ŝŶͬƐĞĐͿ

ǆĐĞĞĚ
dŚƌĞƐŚŽůĚ͍
;͘ϮŝŶͬƐĞĐͿ
sĞůŽĐŝƚǇĂƚ
Ϯϱ&ĞĞƚ
;sĚͿ
sĞůŽĐŝƚǇĂƚ
ϮϬϬ&ĞĞƚ
;sĚͿ

ǆĐĞĞĚ
dŚƌĞƐŚŽůĚ͍
;ϳϴsĚͿ
WŝůĞƌŝǀĞƌ;/ŵƉĂĐƚͿhƉƉĞƌZĂŶŐĞ ϭ͘ϱϭϴ Ϭ͘Ϭϲϳϭ EK ϭϭϮ ϴϰ͘ϵ z ^
WŝůĞƌŝǀĞƌ;/ŵƉĂĐƚͿdǇƉŝĐĂů Ϭ͘ϲϰϰ Ϭ͘ϬϮϴϱ EK ϭϬϰ ϳϲ͘ϵ EK WŝůĞƌŝǀĞƌ;^ŽŶŝĐͿhƉƉĞƌZĂŶŐĞ Ϭ͘ϳϯϰ Ϭ͘ϬϯϮϰ EK ϭϬϱ ϳϳ͘ϵ EK WŝůĞƌŝǀĞƌ;^ŽŶŝĐͿdǇƉŝĐĂů Ϭ͘ϭϳ Ϭ͘ϬϬϳϱ EK ϵϯ ϲϱ͘ϵ EK ůĂŵƐŚŽǀĞůĚƌŽƉ;^ůƵƌƌǇtĂůůͿ Ϭ͘ϮϬϮ Ϭ͘ϬϬϴϵ EK ϵϰ ϲϲ͘ϵ EK ,ǇĚƌŽŵŝůů;^ůƵƌƌǇtĂůůͿŝŶ^Žŝů Ϭ͘ϬϬϴ Ϭ͘ϬϬϬϰ EK ϲϲ ϯϴ͘ϵ EK ,ǇĚƌŽŵŝůů;^ůƵƌƌǇtĂůůͿŝŶZŽĐŬ Ϭ͘Ϭϭϳ Ϭ͘ϬϬϬϴ EK ϳϱ ϰϳ͘ϵ EK sŝďƌĂƚŽƌǇZŽůůĞƌ Ϭ͘Ϯϭ Ϭ͘ϬϬϵϯ EK ϵϰ ϲϲ͘ϵ EK
,ŽĞZĂŵ Ϭ͘Ϭϴϵ Ϭ͘ϬϬϯϵ EK ϴϳ ϱϵ͘ϵ EK
>ĂƌŐĞďƵůůĚŽǌĞƌ Ϭ͘Ϭϴϵ Ϭ͘ϬϬϯϵ EK ϴϳ ϱϵ͘ϵ EK
ĂŝƐƐŽŶĚƌŝůůŝŶŐ Ϭ͘Ϭϴϵ Ϭ͘ϬϬϯϵ EK ϴϳ ϱϵ͘ϵ EK
>ŽĂĚĞĚƚƌƵĐŬƐ Ϭ͘Ϭϳϲ Ϭ͘ϬϬϯϰ EK ϴϲ ϱϴ͘ϵ EK
:ĂĐŬŚĂŵŵĞƌ Ϭ͘Ϭϯϱ Ϭ͘ϬϬϭϱ EK ϳϵ ϱϭ͘ϵ EK
^ŵĂůůƵůůĚŽǌĞƌ Ϭ͘ϬϬϯ Ϭ͘ϬϬϬϭ EK ϱϴ ϯϬ͘ϵ EK
^ŽƵƌĐĞ͗&ĞĚĞƌĂůdƌĂŶƐŝƚĚŵŝŶŝƐƚƌĂƚŝŽŶ͘;ϮϬϭϴͿ͘dƌĂŶƐŝƚEŽŝƐĞĂŶĚsŝďƌĂƚŝŽŶ /ŵƉĂĐƚƐƐĞƐƐŵĞŶƚDĂŶƵĂů͘dĂďůĞϳͲϰ͘WĂŐĞϭϴϰ͘ dŚĞWƌŽũĞĐƚǁŽƵůĚ ŐĞŶĞƌĂƚĞǀŝďƌĂƚŝŽŶĂůůĞǀĞůƐǁĞůůďĞůŽǁ ƚŚĞĂĐĐĞƉƚĂďůĞƚŚƌĞƐŚŽůĚƐĞƐƚĂďůŝƐŚĞĚďǇƚŚĞ &d͘^ŝŵŝůĂƌůǇ͕ƵƐĞŽĨĐŽŶƐƚƌƵĐƚŝŽŶĞƋƵŝƉŵĞŶƚǁŽƵůĚ ŶŽƚŐĞŶĞƌĂƚĞŶŽŝƐĞůĞǀĞůƐďĞǇŽŶĚĞƐƚĂďůŝƐŚĞĚůĞǀĞůƐ ĞǆĐĞƉƚŝŶƚŚĞƵƉƉĞƌƌĂŶŐĞŽĨŝŵƉĂĐƚƉŝůĞĚƌŝǀĞƌƐ͘,ŽǁĞǀĞƌ͕ƚŚĞƵƉƉĞƌƌĂŶŐĞŝƐŶŽƚĐŽŶƐŝƐƚĞŶƚůǇƵƐĞĚĚƵƌŝŶŐ ĐŽŶƐƚƌƵĐƚŝŽŶ ĂĐƚŝǀŝƚŝĞƐ ĂŶĚ ǁŽƵůĚ ŽĐĐƵƌ ŝŶ ƐŚŽƌƚͲƚĞƌŵƚĞŵƉŽƌĂƌǇ ĞǀĞŶƚƐ͘ dŚĞ ƚǇƉŝĐĂů ƌĂŶŐĞ ŝƐ ŵŽƌĞ ŝŶĚŝĐĂƚŝǀĞŽĨĂǀĞƌĂŐĞĞƋƵŝƉŵĞŶƚƵƐĂŐĞ͘
/ƚŝƐĂůƐŽĂĐŬŶŽǁůĞĚŐĞĚƚŚĂƚĐŽŶƐƚƌƵĐƚŝŽŶĂĐƚŝǀŝƚŝĞƐǁŽƵůĚŽĐĐƵƌƚŚƌŽƵŐŚŽƵƚƚŚĞWƌŽũĞĐƚƐŝƚĞĂŶĚǁŽƵůĚŶŽƚ ďĞ ĐŽŶĐĞŶƚƌĂƚĞĚĂƚƚŚĞƉŽŝŶƚ ĐůŽƐĞƐƚƚŽƚŚĞŶĞĂƌĞƐƚƌĞƐŝĚĞŶƚŝĂůƐƚƌƵĐƚƵƌĞ͘dŚĞƌĞĨŽƌĞ͕ǀŝďƌĂƚŝŽŶŝŵƉĂĐƚƐ ĂƐƐŽĐŝĂƚĞĚǁŝƚŚƚŚĞWƌŽũĞĐƚǁŽƵůĚďĞůĞƐƐƚŚĂŶƐŝŐŶŝĨŝĐĂŶƚ͘ KŶĐĞŽƉĞƌĂƚŝŽŶĂů͕ƚŚĞWƌŽũĞĐƚǁŽƵůĚŶŽƚďĞĂƐŽƵƌĐĞŽĨŐƌŽƵŶĚďŽƌŶĞǀŝďƌĂƚŝŽŶ͘KƉĞƌĂƚŝŽŶƐŽĨƚŚĞWƌŽũĞĐƚ ǁŽƵůĚ ŝŶĐůƵĚĞ ƚƌƵĐŬĚĞůŝǀĞƌŝĞƐ͘ƵĞƚŽƚŚĞƌĂƉŝĚĚƌŽƉͲŽĨĨ ƌĂƚĞŽĨ ŐƌŽƵŶĚͲďŽƌŶĞ ǀŝďƌĂƚŝŽŶĂŶĚ ƚŚĞƐŚŽƌƚ ĚƵƌĂƚŝŽŶŽĨƚŚĞĂƐƐŽĐŝĂƚĞĚĞǀĞŶƚƐ͕ǀĞŚŝĐƵůĂƌƚƌĂĨĨŝĐͲŝŶĚƵĐĞĚŐƌŽƵŶĚͲďŽƌŶĞǀŝďƌĂƚŝŽŶŝƐƌĂƌĞůǇƉĞƌĐĞƉƚŝďůĞ ďĞǇŽŶĚƚŚĞƌŽĂĚǁĂǇƌŝŐŚƚͲŽĨͲǁĂǇ͕ĂŶĚƌĂƌĞůǇƌĞƐƵůƚƐŝŶǀŝďƌĂƚŝŽŶůĞǀĞůƐƚŚĂƚĐĂƵƐĞĚĂŵĂŐĞƚŽďƵŝůĚŝŶŐƐŝŶ ƚŚĞǀŝĐŝŶŝƚǇ͘dŚĞŶĞĂƌĞƐƚƐĞŶƐŝƚŝǀĞƌĞĐĞƉƚŽƌƐĂƌĞĂƉƉƌŽǆŝŵĂƚĞůǇ ϮϬϬĨĞĞƚĨƌŽŵƚŚĞWƌŽũĞĐƚďŽƵŶĚĂƌǇ͘ƚ ϮϬϬĨĞĞƚ͕ŝŵƉĂĐƚƐǁŽƵůĚďĞůĞƐƐƚŚĂŶƐŝŐŶŝĨŝĐĂŶƚŝŶƚŚŝƐƌĞŐĂƌĚ͘ DŝƚŝŐĂƚŝŽŶWƌŽŐƌĂŵ
DŝƚŝŐĂƚŝŽŶDĞĂƐƵƌĞƐĨƌŽŵƚŚĞ&ŝŶĂů
/Z
DŝƚŝŐĂƚŝŽŶŵĞĂƐƵƌĞƐϭϮͲϮĂŶĚϭϮͲϯǁĞƌĞƉƌŽƉŽƐĞĚŝŶƚŚĞKŶƚĂƌŝŽ'W /Z͘,ŽǁĞǀĞƌ͕ŵŝƚŝŐĂƚŝŽŶŵĞĂƐƵƌĞƐ
ϭϮͲϮ ĂŶĚ ϭϮͲϯ ĂƌĞ ŶŽƚ ĂƉƉůŝĐĂďůĞ ďĞĐĂƵƐĞ ƚŚĞ WƌŽũĞĐƚ ǁŽƵůĚ ŶŽƚ ŐĞŶĞƌĂƚĞŶŽŝƐĞ Žƌ ǀŝďƌĂƚŝŽŶƐ ĂďŽǀĞ ĞƐƚĂďůŝƐŚĞĚƚŚƌĞƐŚŽůĚƐĂŶĚ ŝƐŶŽƚĚŝƌĞĐƚůǇĂĚũĂĐĞŶƚƚŽƚŚĞhŶŝŽŶ WĂĐŝĨŝĐZĂŝůƌŽĂĚŽƌ ^ŽƵƚŚĞƌŶ ĂůŝĨŽƌŶŝĂ ZĞŐŝŽŶĂůZĂŝůƵƚŚŽƌŝƚǇŵĂŝŶůŝŶĞƐ͘
303
(QYLURQPHQWDO,PSDFW$QDO\VLV
dŚĞKŶƚĂƌŝŽWůĂŶ
/Z ϲϰ ŽŶsŝĞǁWƌŽũĞĐƚ
ĚĚĞŶĚƵŵƚŽƚŚĞ&ŝŶĂů
ŶǀŝƌŽŶŵĞŶƚĂů/ŵƉĂĐƚZĞƉŽƌƚ
ŽŶĐůƵƐŝŽŶ
EŽ ŶĞǁ ŝŵƉĂĐƚƐŽƌ Ă ƐƵďƐƚĂŶƚŝĂůŝŶĐƌĞĂƐĞŝŶ ƚŚĞ ƐĞǀĞƌŝƚǇŽĨ Ă ƉƌĞǀŝŽƵƐůǇ ŝĚĞŶƚŝĨŝĞĚ ƐŝŐŶŝĨŝĐĂŶƚŝŵƉĂĐƚ ĞǀĂůƵĂƚĞĚŝŶƚŚĞKŶƚĂƌŝŽ'W
/ZǁŽƵůĚŽĐĐƵƌ͘ĚĚŝƚŝŽŶĂůůǇ͕ŶŽŶĞǁŝŶĨŽƌŵĂƚŝŽŶŽĨƐƵďƐƚĂŶƚŝĂůŝŵƉŽƌƚĂŶĐĞ ƚŚĂƚǁĂƐŶŽƚ ŬŶŽǁŶ ĂŶĚ ĐŽƵůĚ ŶŽƚ ŚĂǀĞďĞĞŶ ŬŶŽǁŶ ĂƚƚŚĞ ƚŝŵĞƚŚĞ KŶƚĂƌŝŽ'W /ZǁĂƐĐĞƌƚŝĨŝĞĚŝƐ
ĂǀĂŝůĂďůĞƚŚĂƚǁŽƵůĚŝŵƉĂĐƚƚŚĞƉƌŝŽƌĨŝŶĚŝŶŐŽĨŶŽƐŝŐŶŝĨŝĐĂŶƚŝŵƉĂĐƚƵŶĚĞƌƚŚŝƐŝƐƐƵĞĂƌĞĂ͘ dŚƌĞƐŚŽůĚ;ĚͿ ƐƵďƐƚĂŶƚŝĂůƚĞŵƉŽƌĂƌǇŽƌ ƉĞƌŝŽĚŝĐŝŶĐƌĞĂƐĞŝŶ ĂŵďŝĞŶƚŶŽŝƐĞůĞǀĞůƐ ŝŶ ƚŚĞƉƌŽũĞĐƚ ǀŝĐŝŶŝƚǇ ĂďŽǀĞ ůĞǀĞůƐ ĞǆŝƐƚŝŶŐ ǁŝƚŚŽƵƚƚŚĞ ƉƌŽũĞĐƚ͍΀KŶƚĂƌŝŽ'W /Z/ŵƉĂĐƚ ϱ͘ϭϮͲϱ΁
΀EŽƚŝŶĐůƵĚĞĚŝŶƚŚĞϮϬϮϭ
YƉƉĞŶĚŝǆ'dŚƌĞƐŚŽůĚƐ΁
ŽŶƐƚƌƵĐƚŝŽŶ
ŽŶƐƚƌƵĐƚŝŽŶͲƌĞůĂƚĞĚĂĐƚŝǀŝƚŝĞƐǁŽƵůĚ ƚĞŵƉŽƌĂƌŝůǇŝŶĐƌĞĂƐĞĂŵďŝĞŶƚ ŶŽŝƐĞ ůĞǀĞůƐŝŶ ƚŚĞ WƌŽũĞĐƚǀŝĐŝŶŝƚǇ͘ ŽŶƐƚƌƵĐƚŝŽŶͲƌĞůĂƚĞĚŶŽŝƐĞůĞǀĞůƐĂƚĂŶĚŶĞĂƌƚŚĞWƌŽũĞĐƚƐŝƚĞǁŽƵůĚĨůƵĐƚƵĂƚĞĚĞƉĞŶĚŝŶŐŽŶƚŚĞůĞǀĞůĂŶĚ ƚǇƉĞŽĨ ĐŽŶƐƚƌƵĐƚŝŽŶĂĐƚŝǀŝƚǇŽŶ ĂŐŝǀĞŶĚĂǇ͘dŚĞĂŶĂůǇƐŝƐƉĞƌĨŽƌŵĞĚŝŶ ƚŚĞ&ŝŶĂů /ZƵƐĞĚĐŽŶƐĞƌǀĂƚŝǀĞ
ĂƐƐƵŵƉƚŝŽŶƐƚŽĐĂůĐƵůĂƚĞǁŽƌƐƚͲĐĂƐĞĐŽŶƐƚƌƵĐƚŝŽŶŶŽŝƐĞůĞǀĞůƐ͘EŽŝƐĞĨƌŽŵWƌŽũĞĐƚĐŽŶƐƚƌƵĐƚŝŽŶĂĐƚŝǀŝƚŝĞƐ ĐŽƵůĚďĞĂƵĚŝďůĞĂƚŶĞĂƌďǇƌĞƐŝĚĞŶƚŝĂůƵƐĞƐ͘ŽŶƐƚƌƵĐƚŝŽŶŶŽŝƐĞǁŽƵůĚďĞŝŶƚĞƌŵŝƚƚĞŶƚĂŶĚůĂƐƚĨŽƌƐĞǀĞƌĂů ĚĂǇƐŽƌĂĨĞǁǁĞĞŬƐ͘^ŚŽƌƚͲƚĞƌŵŶŽŝƐĞŝŵƉĂĐƚƐĂƐƐŽĐŝĂƚĞĚǁŝƚŚĞǆĐĂǀĂƚŝŽŶ͕ĞĂƌƚŚŵŽǀŝŶŐ͕ĂŶĚĐŽŶƐƚƌƵĐƚŝŽŶ ĂĐƚŝǀŝƚŝĞƐǁŽƵůĚ ďĞ ĐŽŶƐŝĚĞƌĞĚ ůĞƐƐƚŚĂŶƐŝŐŶŝĨŝĐĂŶƚŝĨ͗ϭͿ ĐŽŶƐƚƌƵĐƚŝŽŶĂĐƚŝǀŝƚŝĞƐĂƌĞůŝŵŝƚĞĚ ƚŽĚĂǇƚŝŵĞ ŚŽƵƌƐ͖ ϮͿ ĐŽŶƐƚƌƵĐƚŝŽŶ ĞƋƵŝƉŵĞŶƚ ŝƐ ĞƋƵŝƉƉĞĚ ǁŝƚŚ ŶŽŝƐĞ ĐŽŶƚƌŽů ĨŝůƚĞƌƐ͕ ĂƐ ĂƉƉƌŽƉƌŝĂƚĞ͖ ĂŶĚ ϯͿĐŽŶƐƚƌƵĐƚŝŽŶĂĐƚŝǀŝƚǇŝƐŵŽŶŝƚŽƌĞĚƚŽĞŶƐƵƌĞƚŚĂƚŶŽŝƐĞƌĞĚƵĐƚŝŽŶƐƉĞĐŝĨŝĐĂƚŝŽŶƐĂŶĚŐƵŝĚĞůŝŶĞƐĂƌĞŵĞƚ͘ WƌŽũĞĐƚĐŽŶƐƚƌƵĐƚŝŽŶǁŽƵůĚďĞŝŵƉůĞŵĞŶƚĞĚŝŶĂĐĐŽƌĚĂŶĐĞǁŝƚŚƚŚĞƐĞĐŽŶĚŝƚŝŽŶƐ͘/ƚŝƐŶŽƚĂŶƚŝĐŝƉĂƚĞĚƚŚĂƚ ĐŽŶƐƚƌƵĐƚŝŽŶŽĨ ƚŚĞ WƌŽũĞĐƚ ǁŽƵůĚ ƌĞƐƵůƚ ŝŶ ŶĞǁ ƐŚŽƌƚͲƚĞƌŵŶŽŝƐĞ ŝŵƉĂĐƚƐŽƌ ŝŶĐƌĞĂƐĞƚŚĞƐĞǀĞƌŝƚǇ ŽĨ ŝŵƉĂĐƚƐƉƌĞǀŝŽƵƐůǇĂŶĂůǇǌĞĚŝŶƚŚĞ&ŝŶĂů
/Z͘ĚĚŝƚŝŽŶĂůůǇ͕ƚŚĞWƌŽũĞĐƚǁŽƵůĚ ďĞƌĞƋƵŝƌĞĚƚŽĐŽŵƉůǇǁŝƚŚ DŝƚŝŐĂƚŝŽŶDĞĂƐƵƌĞϭϮͲϰ͘dŚĞƌĞĨŽƌĞ͕ŶŽĨƵƌƚŚĞƌĞŶǀŝƌŽŶŵĞŶƚĂůƌĞǀŝĞǁŝƐƌĞƋƵŝƌĞĚ͘ DŝƚŝŐĂƚŝŽŶWƌŽŐƌĂŵ
DŝƚŝŐĂƚŝŽŶDĞĂƐƵƌĞƐĨƌŽŵƚŚĞ&ŝŶĂů
/Z
DŝƚŝŐĂƚŝŽŶDĞĂƐƵƌĞϭϮͲϰǁĂƐŝĚĞŶƚŝĨŝĞĚŝŶƚŚĞKŶƚĂƌŝŽ'W /Z͘,ŽǁĞǀĞƌ͕ŵŝƚŝŐĂƚŝŽŶŵĞĂƐƵƌĞϭϮͲϰŝƐŶŽƚ
ĂƉƉůŝĐĂďůĞƚŽƚŚĞWƌŽũĞĐƚƐŝŶĐĞƚŚĞĂŶĂůǇƐŝƐǁŝƚŚŝŶƚŚŝƐĚĚĞŶĚƵŵ /ZƉƌŽǀŝĚĞƐƐƵŝƚĂďůĞƐƵďƐƚĂŶƚŝĂƚŝŽŶĨŽƌ
ƚŚĞĂŶƚŝĐŝƉĂƚŝŽŶŽĨůĞƐƐƚŚĂŶƐŝŐŶŝĨŝĐĂŶƚŶŽŝƐĞŝŵƉĂĐƚƐ͘ ŽŶĐůƵƐŝŽŶ
DŝƚŝŐĂƚŝŽŶDĞĂƐƵƌĞϭϮͲϰ ǁŽƵůĚ ƌĞĚƵĐĞ ĐŽŶƐƚƌƵĐƚŝŽŶŶŽŝƐĞ ůĞǀĞůƐ͘ĚĚŝƚŝŽŶĂůůǇ͕ ŶŽ ŶĞǁ ŝŶĨŽƌŵĂƚŝŽŶ ŽĨ ƐƵďƐƚĂŶƚŝĂůŝŵƉŽƌƚĂŶĐĞƚŚĂƚǁĂƐŶŽƚŬŶŽǁŶĂŶĚĐŽƵůĚŶŽƚŚĂǀĞďĞĞŶŬŶŽǁŶĂƚƚŚĞƚŝŵĞƚŚĞKŶƚĂƌŝŽ'W

/ZǁĂƐĐĞƌƚŝĨŝĞĚŝƐĂǀĂŝůĂďůĞƚŚĂƚǁŽƵůĚŝŵƉĂĐƚƚŚĞƉƌŝŽƌĨŝŶĚŝŶŐŽĨŶŽƐŝŐŶŝĨŝĐĂŶƚŝŵƉĂĐƚƵŶĚĞƌƚŚŝƐŝƐƐƵĞ ĂƌĞĂ͘
dŚƌĞƐŚŽůĚ;Ğ͕ĨͿ&ŽƌĂƉƌŽũĞĐƚůŽĐĂƚĞĚǁŝƚŚŝŶƚŚĞǀŝĐŝŶŝƚǇŽĨĂƉƌŝǀĂƚĞĂŝƌƐƚƌŝƉŽƌĂŶĂŝƌƉŽƌƚůĂŶĚƵƐĞƉůĂŶ Žƌ͕ǁŚĞƌĞƐƵĐŚĂƉůĂŶŚĂƐŶŽƚďĞĞŶĂĚŽƉƚĞĚ͕ǁŝƚŚŝŶƚǁŽŵŝůĞƐ ŽĨĂ Ɖ ƵďůŝĐĂŝƌƉŽƌƚŽƌ ƉƵďůŝĐƵƐĞĂŝƌƉŽƌƚ͕ǁŽƵůĚƚŚĞƉƌŽũĞĐƚĞǆƉŽƐĞƉĞŽƉůĞƌĞƐŝĚŝŶŐŽƌǁŽƌŬŝŶŐŝŶƚŚĞƉƌŽũĞĐƚ ĂƌĞĂƚŽĞǆĐĞƐƐŝǀĞŶŽŝƐĞůĞǀĞůƐ͍΀KŶƚĂƌŝŽ'W
/Z/ŵƉĂĐƚϱ͘ϭϮͲϲ΁
EŽEĞǁ ŽƌDŽƌĞ^ĞǀĞƌĞ/ŵƉĂĐƚ͗dŚĞKŶƚĂƌŝŽ/ŶƚĞƌŶĂƚŝŽŶĂůŝƌƉŽƌƚŝƐůŽĐĂƚĞĚĂƉƉƌŽǆŝŵĂƚĞůǇ ϭ͘ϰŵŝůĞƐ ŶŽƌƚŚĞĂƐƚŽĨƚŚĞWƌŽũĞĐƚƐŝƚĞ͘ƐƐƚĂƚĞĚŝŶ^ĞĐƚŝŽŶϰ͘ϴ;ƚŚƌĞƐŚŽůĚĨͿĂďŽǀĞ͕ƚŚĞWƌŽũĞĐƚƐŝƚĞŝƐůŽĐĂƚĞĚǁŝƚŚŝŶ ƚŚĞŝƌƉŽƌƚ/ŶĨůƵĞŶĐĞƌĞĂŽĨƚŚĞ>KEd͘,ŽǁĞǀĞƌ͕ƚŚĞWƌŽũĞĐƚƐŝƚĞŝƐůŽĐĂƚĞĚǁŝƚŚŝŶƚŚĞϲϬͲϲϱĚE >
304
(QYLURQPHQWDO,PSDFW$QDO\VLV
dŚĞKŶƚĂƌŝŽWůĂŶ
/Z ϲϱ ŽŶsŝĞǁWƌŽũĞĐƚ
ĚĚĞŶĚƵŵƚŽƚŚĞ&ŝŶĂů
ŶǀŝƌŽŶŵĞŶƚĂů/ŵƉĂĐƚZĞƉŽƌƚ
ŶŽŝƐĞŝŵƉĂĐƚǌŽŶĞŽĨƚŚĞĂŝƌƉŽƌƚ͘ϮϮdŚĞ WƌŽũĞĐƚ͛ƐƉƌŽǆŝŵŝƚǇǁŽƵůĚ ŶŽƚůŝŬĞůǇ ďĞ ƐŝŐŶŝĨŝĐĂŶƚůǇĂĨĨĞĐƚĞĚďǇ ŽǀĞƌŚĞĂĚĂŝƌĐƌĂĨƚŶŽŝƐĞ͘ĐĐŽƌĚŝŶŐƚŽdĂďůĞϮͲϯŽĨƚŚĞ>KEdůĂŶĚƵƐĞƉůĂŶ͕ŝŶĚƵƐƚƌŝĂůƵƐĞƐĂƌĞĐŽŶƐŝĚĞƌĞĚ ŶŽƌŵĂůůǇĐŽŵƉĂƚŝďůĞĨŽƌŶŽŝƐĞůĞǀĞůƐƌĂŶŐŝŶŐĨƌŽŵůĞƐƐƚŚĂŶϲϬĚƚŽϳϬĚ͘ϮϯĚĚŝƚŝŽŶĂůůǇ͕ƚŚĞWƌŽũĞĐƚ ƐŝƚĞŝƐŶŽƚůŽĐĂƚĞĚǁŝƚŚŝŶ ƚŚĞǀŝĐŝŶŝƚǇ ŽĨ ĂƉƌŝǀĂƚĞĂŝƌƐƚƌŝƉ͘ĐĐŽƌĚŝŶŐůǇ͕ŶŽ ŶĞǁŝŵƉĂĐƚŽƌ ĂƐƵďƐƚĂŶƚŝĂů ŝŶĐƌĞĂƐĞŝŶƚŚĞƐĞǀĞƌŝƚǇŽĨĂƉƌĞǀŝŽƵƐůǇŝĚĞŶƚŝĨŝĞĚƐŝŐŶŝĨŝĐĂŶƚŝŵƉĂĐƚĞǀĂůƵĂƚĞĚŝŶƚŚĞKŶƚĂƌŝŽ'W /ZǁŽƵůĚ
ŽĐĐƵƌ͘ĚĚŝƚŝŽŶĂůůǇ͕ŶŽŶĞǁŝŶĨŽƌŵĂƚŝŽŶŽĨƐƵďƐƚĂŶƚŝĂůŝŵƉŽƌƚĂŶĐĞƚŚĂƚǁĂƐŶŽƚŬŶŽǁŶĂŶĚĐŽƵůĚŶŽƚŚĂǀĞ ďĞĞŶŬŶŽǁŶĂƚƚŚĞƚŝŵĞƚŚĞKŶƚĂƌŝŽ'W
/ZǁĂƐĐĞƌƚŝĨŝĞĚŝƐĂǀĂŝůĂďůĞƚŚĂƚǁŽƵůĚĐŚĂŶŐĞƚŚĞŝŵƉĂĐƚĨŝŶĚŝŶŐ͘ DŝƚŝŐĂƚŝŽŶWƌŽŐƌĂŵ
DŝƚŝŐĂƚŝŽŶDĞĂƐƵƌĞƐĨƌŽŵƚŚĞ&ŝŶĂů
/Z
KŶƚĂƌŝŽ'W
/ZŵŝƚŝŐĂƚŝŽŶŵĞĂƐƵƌĞϭϮͲϭǁŽƵůĚďĞƵƐĞĚƚŽŵŝŶŝŵŝǌĞŝŵƉĂĐƚƐ͘,ŽǁĞǀĞƌ͕ŵŝƚŝŐĂƚŝŽŶŵĞĂƐƵƌĞ ϭϮͲϭŝƐŶŽƚĂƉƉůŝĐĂďůĞƚŽƚŚĞWƌŽũĞĐƚďĞĐĂƵƐĞƚŚĞWƌŽũĞĐƚ;ϭͿ ĚŽĞƐŶŽƚ ŝŶǀŽůǀĞ ĂŶŽŝƐĞͲƐĞŶƐŝƚŝǀĞƵƐĞĂŶĚ ;ϮͿŝƐŶŽƚůŽĐĂƚĞĚǁŝƚŚŝŶƚŚĞϲϱĚE
>ĐŽŶƚŽƵƌůŝŶĞ͘
ŽŶĐůƵƐŝŽŶ
dŚĞƌĞĂƌĞŶŽŶĞǁƉŽƚĞŶƚŝĂůůǇƐŝŐŶŝĨŝĐĂŶƚŝŵƉĂĐƚƐĂƐƐŽĐŝĂƚĞĚǁŝƚŚƚŚĞWƌŽũĞĐƚ͖ƚŚĞƌĞĨŽƌĞ͕ŶŽŶĞǁĂŶĚͬŽƌ ƌĞĨŝŶĞĚŵŝƚŝŐĂƚŝŽŶŵĞĂƐƵƌĞƐĂƌĞƌĞƋƵŝƌĞĚ͘
KǀĞƌĂůůEŽŝƐĞ/ŵƉĂĐƚŽŶĐůƵƐŝŽŶ
tŝƚŚƌĞŐĂƌĚƚŽ
Y^ƚĂƚƵƚĞ^ĞĐƚŝŽŶϮϭϭϲϲĂŶĚ
Y'ƵŝĚĞůŝŶĞƐ^ĞĐƚŝŽŶϭϱϭϲϮ;ĂͿ͕ƚŚĞĐŚĂŶŐĞƐƉƌŽƉŽƐĞĚ
ďǇƚŚĞWƌŽũĞĐƚǁŽƵůĚŶŽƚƌĞƐƵůƚŝŶĂŶǇŶĞǁŝŵƉĂĐƚƐ͕ŽƌŝŶĐƌĞĂƐĞƚŚĞƐĞǀĞƌŝƚǇŽĨƚŚĞƉƌĞǀŝŽƵƐůǇŝĚĞŶƚŝĨŝĞĚ ŝŵƉĂĐƚƐ͕ǁŝƚŚƌĞƐƉĞĐƚƚŽŶŽŝƐĞ͘dŚĞƌĞĨŽƌĞ͕ƉƌĞƉĂƌĂƚŝŽŶŽĨĂ^ /ZŝƐŶŽƚǁĂƌƌĂŶƚĞĚ͘

ϮϮdŚĞKŶƚĂƌŝŽ/ŶƚĞƌŶĂƚŝŽŶĂůŝƌƉŽƌƚʹ/ŶƚĞƌŐĞŶĐǇŽůůĂďŽƌĂƚŝǀĞ;KEdͲ/Ϳ͘;ϮϬϭϴͿ͘KŶƚĂƌŝŽ/ŶƚĞƌŶĂƚŝŽŶĂůŝƌƉŽƌƚ>ĂŶĚhƐĞŽŵƉĂƚŝďŝůŝƚǇ WůĂŶ ;:ƵůǇϮϬϭϴŵĞŶĚŵĞŶƚͿDĂƉϮͲϯ͘ZĞƚƌŝĞǀĞĚĨƌŽŵ͗ŚƚƚƉƐ͗ͬͬǁǁǁ͘ŽŶƚͲŝĂĐ͘ĐŽŵͬǁƉͲĐŽŶƚĞŶƚͬƵƉůŽĂĚƐͬϮϬϭϵͬϬϮͬKEdͲ/ͲƉŽůŝĐǇͲŵĂƉͲϮͲϯƌĞǀϮͲ ϭ͘ƉĚĨ;ĐĐĞƐƐĞĚƵŐƵƐƚϵ͕ϮϬϮϭͿ Ϯϯ/ďŝĚ͘dĂďůĞϮͲϯ͘ZĞƚƌŝĞǀĞĚĨƌŽŵ͗ŚƚƚƉƐ͗ͬͬǁǁǁ͘ŽŶƚͲŝĂĐ͘ĐŽŵͬǁƉͲĐŽŶƚĞŶƚͬƵƉůŽĂĚƐͬϮϬϭϵͬϬϮͬ>hWͲŚĂƉͲϮͲdĂďůĞͲϮͲϯͲEŽŝƐĞͲƌŝƚĞƌŝĂͲ ŵĞŶĚŵĞŶƚͲ:ƵůǇͲϮϬϭϴͲ&ŝŶĂůͲŽĐ͘ƉĚĨ ;ĐĐĞƐƐĞĚƵŐƵƐƚϵ͕ϮϬϮϭͿ 305
(QYLURQPHQWDO,PSDFW$QDO\VLV
dŚĞKŶƚĂƌŝŽWůĂŶ
/Z ϲϲ ŽŶsŝĞǁWƌŽũĞĐƚ
ĚĚĞŶĚƵŵƚŽƚŚĞ&ŝŶĂů
ŶǀŝƌŽŶŵĞŶƚĂů/ŵƉĂĐƚZĞƉŽƌƚ
ϰ͘ϭϯ WŽƉƵůĂƚŝŽŶĂŶĚ,ŽƵƐŝŶŐ
ϰ͘ϭϯ͘ϭ ^ƵŵŵĂƌǇŽĨWƌĞǀŝŽƵƐ
ŶǀŝƌŽŶŵĞŶƚĂůŶĂůǇƐŝƐ
ĐĐŽƌĚŝŶŐƚŽƚŚĞKŶƚĂƌŝŽ'W
/Z͕ďƵŝůĚŽƵƚŽĨƚŚĞKŶƚĂƌŝŽ'WǁŽƵůĚŶŽƚƌĞƐƵůƚŝŶĂŶǇƐŝŐŶŝĨŝĐĂŶƚŝŵƉĂĐƚƐƚŽ ĞǆŝƐƚŝŶŐƌĞƐŝĚĞŶƚŝĂůƵŶŝƚƐǁŝƚŚŝŶƚŚĞŝƚǇ͘^ŚŽƵůĚ ĨƵƚƵƌĞĚĞǀĞůŽƉŵĞŶƚƉƌŽƉŽƐĂůƐƌĞƐƵůƚŝŶƚŚĞƉŽƚĞŶƚŝĂůĨŽƌ ĚŝƐƉůĂĐĞŵĞŶƚŽĨ ƌĞƐŝĚĞŶƚŝĂůƵƐĞƐ͕ĞĂĐŚĚĞǀĞůŽƉŵĞŶƚ ĂƉƉůŝĐĂƚŝŽŶǁŽƵůĚ ďĞ ƌĞǀŝĞǁĞĚ ŽŶ ĂĐĂƐĞ ͲďǇͲĐĂƐĞ ďĂƐŝƐĨŽƌŝŵƉĂĐƚƐ͘ƐƐƵĐŚ͕ƚŚĞKŶƚĂƌŝŽ'W
/ZĐŽŶĐůƵĚĞĚƚŚĂƚŝŵƉĂĐƚƐŝŶƚŚŝƐƌĞŐĂƌĚǁŽƵůĚďĞůĞƐƐƚŚĂŶ ƐŝŐŶŝĨŝĐĂŶƚĂŶĚŶŽŵŝƚŝŐĂƚŝŽŶŵĞĂƐƵƌĞƐǁĞƌĞƌĞĐŽŵŵĞŶĚĞĚ͘ ϰ͘ϭϯ͘Ϯ ŶĂůǇƐŝƐŽĨWƌŽƉŽƐĞĚWƌŽũĞĐƚ
dŚƌĞƐŚŽůĚ;ĂͿ /ŶĚƵĐĞ ƐƵďƐƚĂŶƚŝĂů ƵŶƉůĂŶŶĞĚ ƉŽƉƵůĂƚŝŽŶ ŐƌŽǁƚŚ ŝŶ ĂŶ ĂƌĞĂ͕ ĞŝƚŚĞƌ ĚŝƌĞĐƚůǇ ;ĨŽƌĞǆĂŵƉůĞ͕ ďǇ ƉƌŽƉŽƐŝŶŐŶĞǁŚŽŵĞƐĂŶĚ ďƵƐŝŶĞƐƐĞƐͿŽƌ ŝŶĚŝƌĞĐƚůǇ ;ĨŽƌ ĞǆĂŵƉůĞ͕ ƚŚƌŽƵŐŚĞǆƚĞŶƐŝŽŶŽĨƌŽĂĚƐŽƌŽƚŚĞƌŝŶĨƌĂƐƚƌƵĐƚƵƌĞͿ͍΀KŶƚĂƌŝŽ'W /Z/ŵƉĂĐƚϱ͘ϭϯͲϭ΁
EŽEĞǁŽƌDŽƌĞ^ĞǀĞƌĞ/ŵƉĂĐƚ͗dŚĞKŶƚĂƌŝŽ'W
/ZĐŽŶĐůƵĚĞĚƚŚĂƚƚŚĞŝŵƉůĞŵĞŶƚĂƚŝŽŶŽĨƚŚĞKŶƚĂƌŝŽ
'WǁŽƵůĚ ŝŶĐůƵĚĞ ƉŽƉƵůĂƚŝŽŶ ŐƌŽǁƚŚƚŚĂƚĞǆĐĞĞĚĞĚ^'ƉƌŽũĞĐƚŝŽŶƐ͘^'ƉƌŽũĞĐƚŝŽŶƐĨŽƌ ϮϬϯϱǁĞƌĞ ϯϯϳ͕Ϭϵϱ͕ ĂŶĚ ƚŚĞKŶƚĂƌŝŽ 'W ĂŶƚŝĐŝƉĂƚĞĚ Ă ƉŽƉƵůĂƚŝŽŶ ŽĨ ϯϲϬ͕ϴϱϭ ƉĞƌƐŽŶƐ͘ ,ŽǁĞǀĞƌ͕ ŝŵƉĂĐƚƐ ǁĞƌĞ ĂŶƚŝĐŝƉĂƚĞĚƚŽďĞůĞƐƐƚŚĂŶƐŝŐŶŝĨŝĐĂŶƚĚƵĞƚŽƚŚĞĐƌĞĂƚŝŽŶŽĨďĂůĂŶĐĞĚůĂŶĚƵƐĞƐ͘ dŚĞWƌŽũĞĐƚǁŽƵůĚŶŽƚŝŶĚƵĐĞƉŽƉƵůĂƚŝŽŶŐƌŽǁƚŚƚŚƌŽƵŐŚƚŚĞŝŶƚƌŽĚƵĐƚŝŽŶŽĨŚŽƵƐŝŶŐďĞĐĂƵƐĞŶŽŚŽƵƐŝŶŐ ŝƐĂƐƐŽĐŝĂƚĞĚǁŝƚŚƚŚĞĚĞǀĞůŽƉŵĞŶƚ͘&ƵƌƚŚĞƌŵŽƌĞ͕ƚŚĞWƌŽũĞĐƚǁŽƵůĚŶŽƚƉƌŽƉŽƐĞŵŽĚŝĨŝĐĂƚŝŽŶƐƚŽůĂŶĚ ƵƐĞƐĂŶĚ ǁŽƵůĚ ŝŶǀŽůǀĞ ƐŝŵŝůĂƌĂĐƚŝǀŝƚŝĞƐƚŽ ƚŚŽƐĞ ĐƵƌƌĞŶƚůǇ ĐŽŶĚƵĐƚĞĚ ŽŶ ƚŚĞ WƌŽũĞĐƚ ƐŝƚĞ͘tŚŝůĞ ƚŚĞ ĐŽŶƐƚƌƵĐƚŝŽŶƉŚĂƐĞŵĂǇƚĞŵƉŽƌĂƌŝůǇŐĞŶĞƌĂƚĞĞŵƉůŽǇŵĞŶƚ͕ƚŚĞƐĞũŽďƐǁŽƵůĚŶŽƚƌĞŵĂŝŶĐŽŶƐƚĂŶƚĞŶŽƵŐŚ ƚŽŐĞŶĞƌĂƚĞƉŽƉƵůĂƚŝŽŶŐƌŽǁƚŚ͘
^ϯϯϬ͕ƚŚĞ,ŽƵƐŝŶŐĐĐŽƵŶƚĂďŝůŝƚǇĐƚ͕ǁŚŝĐŚŝƐƉĂƌƚŽĨ ƚŚĞWůĂŶŶŝŶŐĂŶĚŽŶŝŶŐ>Ăǁ͕ƉƌŽŚŝďŝƚƐĂůŽĐĂů ĂŐĞŶĐǇ ĨƌŽŵ ĚŝƐĂƉƉƌŽǀŝŶŐ͕ Žƌ ĐŽŶĚŝƚŝŽŶŝŶŐ ĂƉƉƌŽǀĂů ŝŶ Ă ŵĂŶŶĞƌƚŚĂƚ ƌĞŶĚĞƌƐ ŝŶĨĞĂƐŝďůĞ͕ Ă ŚŽƵƐŝŶŐ ĚĞǀĞůŽƉŵĞŶƚƉƌŽũĞĐƚĨŽƌǀĞƌǇůŽǁ͕ůŽǁͲ͕ŽƌŵŽĚĞƌĂƚĞͲŝŶĐŽŵĞŚŽƵƐĞŚŽůĚƐŽƌĂŶĞŵĞƌŐĞŶĐǇƐŚĞůƚĞƌƵŶůĞƐƐ ƚŚĞůŽĐĂůĂŐĞŶĐǇŵĂŬĞƐƐƉĞĐŝĨŝĞĚǁƌŝƚƚĞŶĨŝŶĚŝŶŐƐďĂƐĞĚŽŶĂƉƌĞƉŽŶĚĞƌĂŶĐĞŽĨƚŚĞĞǀŝĚĞŶĐĞŝŶƚŚĞƌĞĐŽƌĚ͘ /ŶƚŚŝƐŝŶƐƚĂŶĐĞ͕^ϯϯϬŝƐŶŽƚĂƉƉůŝĐĂďůĞďĞĐĂƵƐĞĂƐƉƌĞǀŝŽƵƐůǇŶŽƚĞĚ͕ƚŚĞWƌŽũĞĐƚĚŽĞƐŶŽƚƉƌŽƉŽƐĞĂŶǇ ŚŽƵƐŝŶŐĂŶĚƚŚĞWƌŽũĞĐƚƐŝƚĞŝƐŶŽƚǌŽŶĞĚĨŽƌƌĞƐŝĚĞŶƚŝĂůĚĞǀĞůŽƉŵĞŶƚ͘ƵĞƚŽƚŚĞĐŽŶƚŝŶƵĂƚŝŽŶŽĨƐŝŵŝůĂƌ ůĂŶĚƵƐĞƐ͕ĂůĞƐƐƚŚĂŶƐŝŐŶŝĨŝĐĂŶƚŝŵƉĂĐƚǁŽƵůĚŽĐĐƵƌ͘ DŝƚŝŐĂƚŝŽŶWƌŽŐƌĂŵ
DŝƚŝŐĂƚŝŽŶDĞĂƐƵƌĞƐĨƌŽŵƚŚĞ&ŝŶĂů
/Z
EŽŵŝƚŝŐĂƚŝŽŶŵĞĂƐƵƌĞƐǁĞƌĞŝĚĞŶƚŝĨŝĞĚŝŶƚŚĞKŶƚĂƌŝŽ'W /Z͘
ŽŶĐůƵƐŝŽŶ
dŚĞƌĞĂƌĞŶŽŶĞǁƉŽƚĞŶƚŝĂůůǇƐŝŐŶŝĨŝĐĂŶƚŝŵƉĂĐƚƐĂƐƐŽĐŝĂƚĞĚǁŝƚŚƚŚĞWƌŽũĞĐƚ͖ƚŚĞƌĞĨŽƌĞ͕ŶŽŶĞǁĂŶĚͬŽƌ ƌĞĨŝŶĞĚŵŝƚŝŐĂƚŝŽŶŵĞĂƐƵƌĞƐĂƌĞƌĞƋƵŝƌĞĚ͘
306
(QYLURQPHQWDO,PSDFW$QDO\VLV
dŚĞKŶƚĂƌŝŽWůĂŶ
/Z ϲϳ ŽŶsŝĞǁWƌŽũĞĐƚ
ĚĚĞŶĚƵŵƚŽƚŚĞ&ŝŶĂů
ŶǀŝƌŽŶŵĞŶƚĂů/ŵƉĂĐƚZĞƉŽƌƚ
dŚƌĞƐŚŽůĚ;ďͿ ŝƐƉůĂĐĞ ƐƵďƐƚĂŶƚŝĂů ŶƵŵďĞƌƐ ŽĨ ĞǆŝƐƚŝŶŐ ƉĞŽƉůĞ Žƌ ŚŽƵƐŝŶŐ͕ ŶĞĐĞƐƐŝƚĂƚŝŶŐ ƚŚĞ ĐŽŶƐƚƌƵĐƚŝŽŶŽĨƌĞƉůĂĐĞŵĞŶƚŚŽƵƐŝŶŐĞůƐĞǁŚĞƌĞ͍΀KŶƚĂƌŝŽ'W /Z/ŵƉĂĐƚϱ͘ϭϯͲϮ΁
EŽEĞǁŽƌDŽƌĞ^ĞǀĞƌĞ/ŵƉĂĐƚ͗dŚĞWƌŽũĞĐƚŝŶǀŽůǀĞƐƚŚĞĚĞǀĞůŽƉŵĞŶƚŽĨŶĞǁŝŶĚƵƐƚƌŝĂůƵƐĞƐŝŶĂŶĂƌĞĂ ƚŚĂƚŝƐĐƵƌƌĞŶƚůǇŽĐĐƵƉŝĞĚďǇŝŶĚƵƐƚƌŝĂůǁĂƌĞŚŽƵƐŝŶŐůĂŶĚƵƐĞƐ͘dŚĞWƌŽũĞĐƚǁŽƵůĚďĞĐŽŶƐŝƐƚĞŶƚǁŝƚŚƚŚĞ ĞƐƚĂďůŝƐŚĞĚůĂŶĚƵƐĞĚĞƐŝŐŶĂƚŝŽŶƐŽĨƚŚĞWƌŽũĞĐƚĂƌĞĂĂŶĚƚŚĞƌĞĨŽƌĞƚŚĞKŶƚĂƌŝŽ'W͘ƐƚŚĞWƌŽũĞĐƚĚŽĞƐ ŶŽƚ ƌĞŵŽǀĞ ĐƵƌƌĞŶƚůǇ ŽĐĐƵƉŝĞĚ ŚŽƵƐŝŶŐ͕ Žƌ ƌĞĚƵĐĞ ƚŚĞ ŝƚǇ͛ƐĐĂƉĂĐŝƚǇ ĨŽƌ ŚŽƵƐŝŶŐ͕ ƚŚĞ ƉƌŽǀŝƐŝŽŶ ŽĨ ƌĞƉůĂĐĞŵĞŶƚŚŽƵƐŝŶŐǁŽƵůĚŶŽƚďĞŶĞĐĞƐƐĂƌǇ͘EŽŝŵƉĂĐƚǁŽƵůĚŽĐĐƵƌŝŶƚŚŝƐƌĞŐĂƌĚ͘ DŝƚŝŐĂƚŝŽŶWƌŽŐƌĂŵ
DŝƚŝŐĂƚŝŽŶDĞĂƐƵƌĞƐĨƌŽŵƚŚĞ&ŝŶĂů
/Z
EŽŵŝƚŝŐĂƚŝŽŶŵĞĂƐƵƌĞƐǁĞƌĞŝĚĞŶƚŝĨŝĞĚŝŶƚŚĞKŶƚĂƌŝŽ'W /Z͘
ŽŶĐůƵƐŝŽŶ
dŚĞƌĞĂƌĞŶŽŶĞǁƉŽƚĞŶƚŝĂůůǇƐŝŐŶŝĨŝĐĂŶƚŝŵƉĂĐƚƐĂƐƐŽĐŝĂƚĞĚǁŝƚŚƚŚĞWƌŽũĞĐƚ͖ƚŚĞƌĞĨŽƌĞ͕ŶŽŶĞǁĂŶĚͬŽƌ ƌĞĨŝŶĞĚŵŝƚŝŐĂƚŝŽŶŵĞĂƐƵƌĞƐĂƌĞƌĞƋƵŝƌĞĚ͘
KǀĞƌĂůůWŽƉƵůĂƚŝŽŶĂŶĚ,ŽƵƐŝŶŐ/ŵƉĂĐƚŽŶĐůƵƐŝŽŶ
tŝƚŚƌĞŐĂƌĚƚŽ
Y^ƚĂƚƵƚĞ^ĞĐƚŝŽŶϮϭϭϲϲĂŶĚ
Y'ƵŝĚĞůŝŶĞƐ^ĞĐƚŝŽŶϭϱϭϲϮ;ĂͿ͕ƚŚĞĐŚĂŶŐĞƐƉƌŽƉŽƐĞĚ
ďǇƚŚĞWƌŽũĞĐƚǁŽƵůĚŶŽƚƌĞƐƵůƚŝŶĂŶǇŶĞǁŝŵƉĂĐƚƐ͕ŽƌŝŶĐƌĞĂƐĞƚŚĞƐĞǀĞƌŝƚǇŽĨƚŚĞƉƌĞǀŝŽƵƐůǇŝĚĞŶƚŝĨŝĞĚ ŝŵƉĂĐƚƐ͕ǁŝƚŚƌĞƐƉĞĐƚƚŽƉŽƉƵůĂƚŝŽŶĂŶĚŚŽƵƐŝŶŐ͘dŚĞƌĞĨŽƌĞ͕ƉƌĞƉĂƌĂƚŝŽŶŽĨĂ^ /ZŝƐŶŽƚǁĂƌƌĂŶƚĞĚ͘

307
(QYLURQPHQWDO,PSDFW$QDO\VLV
dŚĞKŶƚĂƌŝŽWůĂŶ
/Z ϲϴ ŽŶsŝĞǁWƌŽũĞĐƚ
ĚĚĞŶĚƵŵƚŽƚŚĞ&ŝŶĂů
ŶǀŝƌŽŶŵĞŶƚĂů/ŵƉĂĐƚZĞƉŽƌƚ
ϰ͘ϭϰ WƵďůŝĐ^ĞƌǀŝĐĞƐ
ϰ͘ϭϰ͘ϭ ^ƵŵŵĂƌǇŽĨWƌĞǀŝŽƵƐ
ŶǀŝƌŽŶŵĞŶƚĂůŶĂůǇƐŝƐ
dŚĞ KŶƚĂƌŝŽ 'W
/ZĐŽŶĐůƵĚĞĚ ƚŚĂƚ ƚŚĞƌĞ ŝƐ ƉŽƚĞŶƚŝĂů ĨŽƌ ƐĞƌǀŝĐĞ ŶĞĞĚƐ ƚŽ ŝŶĐƌĞĂƐĞ ƌĞůĂƚŝǀĞ ƚŽ ĨŝƌĞ ƉƌŽƚĞĐƚŝŽŶ͕ƉŽůŝĐĞ ƉƌŽƚĞĐƚŝŽŶ͕ĂŶĚ ƐĐŚŽŽůƐǁŝƚŚƚŚĞŝŵƉůĞŵĞŶƚĂƚŝŽŶŽĨ ƚŚĞKŶƚĂƌŝŽ'W͘,ŽǁĞǀĞƌ͕ƚŚĞƐĞ ŝŶĐƌĞĂƐĞƐŝŶ ƉŽƉƵůĂƚŝŽŶ ǁŽƵůĚ Ɛƚŝůů ƌĞŵĂŝŶǁŝƚŚŝŶ ƚŚĞ ŝƚǇ͛ƐƐĞƌǀŝĐĞĐĂƉĂĐŝƚǇ͘dŚĞ KŶƚĂƌŝŽ 'W /ZĂůƐŽ
ĐŽŶĐůƵĚĞĚƚŚĂƚŝŵƉůĞŵĞŶƚĂƚŝŽŶŽĨƚŚĞKŶƚĂƌŝŽ'WǁŽƵůĚŶŽƚƐŝŐŶŝĨŝĐĂŶƚůǇŝŶĐƌĞĂƐĞƚŚĞĚĞŵĂŶĚĨŽƌůŝďƌĂƌǇ ƐĞƌǀŝĐĞƐƚŚĂƚǁŽƵůĚƌĞƋƵŝƌĞĐŽŶƐƚƌƵĐƚŝŽŶŽĨĂĚĚŝƚŝŽŶĂůůŝďƌĂƌǇĨĂĐŝůŝƚŝĞƐ͘ dŚƌĞƐŚŽůĚ;ĂͿ ZĞƐƵůƚŝŶĂƐƵďƐƚĂŶƚŝĂůĂĚǀĞƌƐĞƉŚǇƐŝĐĂůŝŵƉĂĐƚĂƐƐŽĐŝĂƚĞĚǁŝƚŚƚŚĞƉƌŽǀŝƐŝŽŶŽĨŶĞǁŽƌ ƉŚǇƐŝĐĂůůǇ ĂůƚĞƌĞĚ ŐŽǀĞƌŶŵĞŶƚĂů ĨĂĐŝůŝƚŝĞƐ͕ ŶĞĞĚ ĨŽƌ ŶĞǁ Žƌ ƉŚǇƐŝĐĂůůǇ ĂůƚĞƌĞĚ ŐŽǀĞƌŶŵĞŶƚĂů ĨĂĐŝůŝƚŝĞƐ͕ ƚŚĞ ĐŽŶƐƚƌƵĐƚŝŽŶ ŽĨ ǁŚŝĐŚ ĐŽƵůĚ ĐĂƵƐĞ ƐŝŐŶŝĨŝĐĂŶƚ ĞŶǀŝƌŽŶŵĞŶƚĂůŝŵƉĂĐƚƐ͕ŝŶŽƌĚĞƌƚŽŵĂŝŶƚĂŝŶĂĐĐĞƉƚĂďůĞƐĞƌǀŝĐĞƌĂƚŝŽƐ͕ƌĞƐƉŽŶƐĞƚŝŵĞƐ ŽƌŽƚŚĞƌƉĞƌĨŽƌŵĂŶĐĞŽďũĞĐƚŝǀĞƐĨŽƌĨŝƌĞƉƌŽƚĞĐƚŝŽŶƐĞƌǀŝĐĞƐ͕ƉŽůŝĐĞƉƌŽƚĞĐƚŝŽŶƐĞƌǀŝĐĞƐ͕ ƐĐŚŽŽů ƐĞƌǀŝĐĞƐ͕ ƉĂƌŬƐ ƐĞƌǀŝĐĞƐ͕ ĂŶĚ ŽƚŚĞƌ ƉƵďůŝĐ ĨĂĐŝůŝƚŝĞƐ͍ ΀KŶƚĂƌŝŽ 'W /Z
/ŵƉĂĐƚϱ͘ϭϰͲϭ͕ϱ͘ϭϰͲϮ͕ϱ͘ϭϰͲϯ͕ϱ͘ϭϰͲϰ΁
EŽEĞǁ ŽƌDŽƌĞ^ĞǀĞƌĞ/ŵƉĂĐƚ͗dŚĞ WƌŽũĞĐƚĚŽĞƐŶŽƚ ŝŶĐůƵĚĞ Žƌ ƌĞƋƵŝƌĞ ĐŽŶƐƚƌƵĐƚŝŽŶŽĨ ĂŶǇŶĞǁ Žƌ ƉŚǇƐŝĐĂůůǇ ĂůƚĞƌĞĚ ĨŝƌĞ ƉƌŽƚĞĐƚŝŽŶ͕ ƉŽůŝĐĞ ƉƌŽƚĞĐƚŝŽŶ͕ ƐĐŚŽŽů͕ Žƌ ŽƚŚĞƌ ƉƵďůŝĐ ĨĂĐŝůŝƚŝĞƐ͘ WƌŝŽƌ ƚŽ ĐŽŵŵĞŶĐĞŵĞŶƚ ŽĨ ĐŽŶƐƚƌƵĐƚŝŽŶ ĂĐƚŝǀŝƚŝĞƐ͕ƚŚĞ WƌŽũĞĐƚ ƉůĂŶƐ ǁŽƵůĚ ďĞ ƌĞǀŝĞǁĞĚ ďǇ ĂƉƉůŝĐĂďůĞ ůŽĐĂů ĂŐĞŶĐŝĞƐƚŽ ĞŶƐƵƌĞ ĐŽŵƉůŝĂŶĐĞ ǁŝƚŚ ƚŚĞ KŶƚĂƌŝŽ D ĂŶĚKŶƚĂƌŝŽ ĞǀĞůŽƉŵĞŶƚ ŽĚĞ͕ ĂƐ ǁĞůů ĂƐ Ăůů ĂƉƉůŝĐĂďůĞ ƌĞŐƵůĂƚŝŽŶƐƚŽ ĞŶƐƵƌĞ ĂĚĞƋƵĂƚĞƐŝƚĞ ƐŝŐŶĂŐĞ͕ůŝŐŚƚŝŶŐ͕ĂŶĚ ŽƚŚĞƌ ĐƌŝŵĞ ƐĂĨĞƚǇƉƌĞǀĞŶƚĂƚŝǀĞ ŵĞĂƐƵƌĞƐ͘dŚŝƐŝŶĐůƵĚĞƐ ĨĂŝƌ ƵƐĞ ĨĞĞƐǁŚŝĐŚ ĂƌĞ ƐŽƵƌĐĞĚĨƌŽŵ ĚĞǀĞůŽƉĞƌƐ ƚŚĂƚĂƌĞĚŝƐƚƌŝďƵƚĞĚ ƚŽ ŝƚǇ ƐĞƌǀŝĐĞƐƐƵĐŚĂƐĨŝƌĞĂŶĚƉŽůŝĐĞƉƌŽƚĞĐƚŝŽŶĨĂĐŝůŝƚŝĞƐ͘dŚĞŶĞĂƌĞƐƚKŶƚĂƌŝŽ&ŝƌĞĞƉĂƌƚŵĞŶƚ;K&ͿƐƚĂƚŝŽŶŝƐ K&^ƚĂƚŝŽŶϯůŽĐĂƚĞĚĂƉƉƌŽǆŝŵĂƚĞůǇϬ͘ϴŵŝůĞƐŶŽƌƚŚĞĂƐƚŽĨƚŚĞWƌŽũĞĐƚƐŝƚĞ͘dŚĞŶĞĂƌĞƐƚKŶƚĂƌŝŽWŽůŝĐĞ ĞƉĂƌƚŵĞŶƚ;KWͿŝƐĂƉƉƌŽǆŝŵĂƚĞůǇϮ͘ϰŵŝůĞƐƐŽƵƚŚĞĂƐƚŽĨƚŚĞWƌŽũĞĐƚƐŝƚĞ͘ ŽŶƐƚƌƵĐƚŝŽŶŽĨƚŚĞWƌŽũĞĐƚǁŽƵůĚŶŽƚƌĞƐƵůƚŝŶĂĚǀĞƌƐĞƉŚǇƐŝĐĂůŝŵƉĂĐƚƐĂƐƐŽĐŝĂƚĞĚǁŝƚŚƚŚĞƉƌŽǀŝƐŝŽŶŽĨ Žƌ ŶĞĞĚ ĨŽƌ ŶĞǁ Žƌ ƉŚǇƐŝĐĂůůǇ ĂůƚĞƌĞĚƉƵďůŝĐ ĨĂĐŝůŝƚŝĞƐ͕ĂŶĚ ǁŽƵůĚ ŶŽƚ ĂĚǀĞƌƐĞůǇ ĂĨĨĞĐƚƐĞƌǀŝĐĞ ƌĂƚŝŽƐ͕ ƌĞƐƉŽŶƐĞƚŝŵĞƐ͕Žƌ ŽƚŚĞƌ ƉĞƌĨŽƌŵĂŶĐĞŽďũĞĐƚŝǀĞƐ͘ŽŵƉůŝĂŶĐĞǁŝƚŚ ĂƉƉůŝĐĂďůĞ ůŽĐĂů ƌĞŐƵůĂƚŝŽŶƐǁŽƵůĚ ĞŶƐƵƌĞƚŚĂƚWƌŽũĞĐƚĐŽŶƐƚƌƵĐƚŝŽŶǁŽƵůĚƌĞƐƵůƚŝŶĂůĞƐƐƚŚĂŶƐŝŐŶŝĨŝĐĂŶƚŝŵƉĂĐƚƚŽƉƵďůŝĐƐĞƌǀŝĐĞƐ͘ ^ŝŶĐĞƚŚĞWƌŽũĞĐƚƐŝƚĞŝƐĂůƌĞĂĚǇƐĞƌǀĞĚďǇƚŚĞĞǆŝƐƚŝŶŐĨŝƌĞƐƚĂƚŝŽŶ͕ĂŶĚƚŚĞWƌŽũĞĐƚǁŽƵůĚďĞĐŽŶƐƚƌƵĐƚĞĚ ƉƵƌƐƵĂŶƚƚŽĞǆŝƐƚŝŶŐĂůŝĨŽƌŶŝĂ&ŝƌĞŽĚĞƌĞŐƵůĂƚŝŽŶƐ͕ƚŚĞWƌŽũĞĐƚǁŽƵůĚŶŽƚƌĞƐƵůƚŝŶƚŚĞŶĞĞĚĨŽƌŶĞǁŽƌ ƉŚǇƐŝĐĂůůǇ ĂůƚĞƌĞĚ ƉŽůŝĐĞ ĂŶĚͬŽƌ ĨŝƌĞ ĚĞƉĂƌƚŵĞŶƚ ĨĂĐŝůŝƚŝĞƐ ƚŚĂƚĐŽƵůĚ ĐĂƵƐĞƐŝŐŶŝĨŝĐĂŶƚ ĞŶǀŝƌŽŶŵĞŶƚĂů ŝŵƉĂĐƚƐ͘
dŚĞ WƌŽũĞĐƚ ĚŽĞƐ ŶŽƚ ŚĂǀĞ Ă ƌĞƐŝĚĞŶƚŝĂů ĐŽŵƉŽŶĞŶƚ ĂŶĚ ǁŽƵůĚ ƚŚĞƌĞĨŽƌĞŶŽƚ ĚŝƌĞĐƚůǇ ŝŶƚƌŽĚƵĐĞ ŶĞǁ ƌĞƐŝĚĞŶƚƐƚŽƚŚĞŝƚǇƚŚĂƚǁŽƵůĚƌĞƋƵŝƌĞƉƵďůŝĐƐĞƌǀŝĐĞƐ͘ EŽŶĞǁŝŶĨŽƌŵĂƚŝŽŶŽĨƐƵďƐƚĂŶƚŝĂůŝŵƉŽƌƚĂŶĐĞƚŚĂƚǁĂƐŶŽƚŬŶŽǁŶĂŶĚĐŽƵůĚŶŽƚŚĂǀĞďĞĞŶŬŶŽǁŶĂƚƚŚĞ ƚŝŵĞƚŚĞKŶƚĂƌŝŽ'W
/ZǁĂƐĐĞƌƚŝĨŝĞĚŝƐĂǀĂŝůĂďůĞ͘/ŵƉĂĐƚƐƚŽĨŝƌĞƉƌŽƚĞĐƚŝŽŶ͕ƉŽůŝĐĞƉƌŽƚĞĐƚŝŽŶ͕ƐĐŚŽŽůƐ͕ ĂŶĚŽƚŚĞƌƉƵďůŝĐĨĂĐŝůŝƚŝĞƐĂƌĞĂŶƚŝĐŝƉĂƚĞĚƚŽďĞůĞƐƐƚŚĂŶƐŝŐŶŝĨŝĐĂŶƚ͘>ĂƐƚůǇ͕ƚŚĞWƌŽũĞĐƚ͛ƐƉĂǇŵĞŶƚŽĨƚŚĞ 'ĞŶĞƌĂůŝƚǇĞǀĞůŽƉŵĞŶƚ/ŵƉĂĐƚ&ĞĞƐ͕ĂƉŽƌƚŝŽŶŽĨǁŚŝĐŚŝƐĂůůŽĐĂƚĞĚƚŽƚŚĞĨŝƌĞĚĞƉĂƌƚŵĞŶƚ;ƐͿ͕ǁŽƵůĚ ĂŝĚŝŶŽĨĨƐĞƚƚŝŶŐĂŶǇƉŽƚĞŶƚŝĂůŝŵƉĂĐƚƐ͘
308
(QYLURQPHQWDO,PSDFW$QDO\VLV
dŚĞKŶƚĂƌŝŽWůĂŶ
/Z ϲϵ ŽŶsŝĞǁWƌŽũĞĐƚ
ĚĚĞŶĚƵŵƚŽƚŚĞ&ŝŶĂů
ŶǀŝƌŽŶŵĞŶƚĂů/ŵƉĂĐƚZĞƉŽƌƚ
DŝƚŝŐĂƚŝŽŶWƌŽŐƌĂŵ
DŝƚŝŐĂƚŝŽŶDĞĂƐƵƌĞƐĨƌŽŵƚŚĞKŶƚĂƌŝŽ'W
/Z
EŽŵŝƚŝŐĂƚŝŽŶŵĞĂƐƵƌĞƐǁĞƌĞŝĚĞŶƚŝĨŝĞĚŝŶƚŚĞKŶƚĂƌŝŽ'W /Z͘
KǀĞƌĂůůWƵďůŝĐ^ĞƌǀŝĐĞƐ/ŵƉĂĐƚŽŶĐůƵƐŝŽŶ
tŝƚŚƌĞŐĂƌĚƚŽ
Y^ƚĂƚƵƚĞ^ĞĐƚŝŽŶϮϭϭϲϲĂŶĚ
Y'ƵŝĚĞůŝŶĞƐ^ĞĐƚŝŽŶϭϱϭϲϮ;ĂͿ͕ƚŚĞĐŚĂŶŐĞƐƉƌŽƉŽƐĞĚ
ďǇƚŚĞWƌŽũĞĐƚǁŽƵůĚŶŽƚƌĞƐƵůƚŝŶĂŶǇŶĞǁŽƌŵŽƌĞƐĞǀĞƌĞŝŵƉĂĐƚƐĨƌŽŵƚŚĞƉƌĞǀŝŽƵƐůǇŝĚĞŶƚŝĨŝĞĚŝŵƉĂĐƚƐ͕ ǁŝƚŚƌĞƐƉĞĐƚƚŽƉƵďůŝĐƐĞƌǀŝĐĞƐ͘dŚĞƌĞĨŽƌĞ͕ƉƌĞƉĂƌĂƚŝŽŶŽĨĂŶ^ /ZŝƐŶŽƚǁĂƌƌĂŶƚĞĚ͘

309
(QYLURQPHQWDO,PSDFW$QDO\VLV
dŚĞKŶƚĂƌŝŽWůĂŶ
/Z ϳϬ ŽŶsŝĞǁWƌŽũĞĐƚ
ĚĚĞŶĚƵŵƚŽƚŚĞ&ŝŶĂů
ŶǀŝƌŽŶŵĞŶƚĂů/ŵƉĂĐƚZĞƉŽƌƚ
ϰ͘ϭϱ ZĞĐƌĞĂƚŝŽŶ
ϰ͘ϭϱ͘ϭ ^ƵŵŵĂƌǇŽĨWƌĞǀŝŽƵƐ
ŶǀŝƌŽŶŵĞŶƚĂůŶĂůǇƐŝƐ
dŚĞKŶƚĂƌŝŽ'W
/ZĐŽŶĐůƵĚĞĚƚŚĂƚĨƵƚƵƌĞĚĞǀĞůŽƉŵĞŶƚĂƐƐŽĐŝĂƚĞĚǁŝƚŚƚŚĞKŶƚĂƌŝŽ'WǁŽƵůĚŶŽƚƌĞƐƵůƚ ŝŶĂƐŝŐŶŝĨŝĐĂŶƚŝŵƉĂĐƚĚƵĞƚŽƚŚĞŝŶĐůƵƐŝŽŶŽĨ ŚĞůƉĨƵů ƉŽůŝĐŝĞƐ͘ůƚŚŽƵŐŚWƌŽũĞĐƚĐŽƵůĚĐƌĞĂƚĞƚĞŵƉŽƌĂƌǇ ĞŵƉůŽǇŵĞŶƚŽƉƉŽƌƚƵŶŝƚŝĞƐƚŚƌŽƵŐŚƚŚĞĐŽŶƐƚƌƵĐƚŝŽŶƉŚĂƐĞ͕ƚŚĞŽǀĞƌĂůůƵƐĞǁŽƵůĚďĞĐŽŶƐŝƐƚĞŶƚǁŝƚŚƚŚĞ ĞƐƚĂďůŝƐŚĞĚůĂŶĚƵƐĞ͘
ϰ͘ϭϱ͘Ϯ ŶĂůǇƐŝƐŽĨWƌŽƉŽƐĞĚWƌŽũĞĐƚ
dŚƌĞƐŚŽůĚ;ĂͿ tŽƵůĚƚŚĞƉƌŽũĞĐƚŝŶĐƌĞĂƐĞƚŚĞƵƐĞŽĨĞǆŝƐƚŝŶŐŶĞŝŐŚďŽƌŚŽŽĚĂŶĚƌĞŐŝŽŶĂůƉĂƌŬƐŽƌŽƚŚĞƌ ƌĞĐƌĞĂƚŝŽŶĂůĨĂĐŝůŝƚŝĞƐƐƵĐŚƚŚĂƚƐƵďƐƚĂŶƚŝĂůƉŚǇƐŝĐĂůĚĞƚĞƌŝŽƌĂƚŝŽŶŽĨƚŚĞĨĂĐŝůŝƚǇǁŽƵůĚ ŽĐĐƵƌŽƌďĞĂĐĐĞůĞƌĂƚĞĚ͍΀KŶƚĂƌŝŽ'W
/Z/ŵƉĂĐƚϱ͘ϭϱͲϭ΁
dŚƌĞƐŚŽůĚ;ďͿ ŽĞƐƚŚĞƉƌŽũĞĐƚŝŶĐůƵĚĞƌĞĐƌĞĂƚŝŽŶĂůĨĂĐŝůŝƚŝĞƐŽƌƌĞƋƵŝƌĞƚŚĞĐŽŶƐƚƌƵĐƚŝŽŶŽƌĞǆƉĂŶƐŝŽŶ ŽĨ ƌĞĐƌĞĂƚŝŽŶĂů ĨĂĐŝůŝƚŝĞƐ ǁŚŝĐŚ ŵŝŐŚƚ ŚĂǀĞ ĂŶ ĂĚǀĞƌƐĞ ƉŚǇƐŝĐĂů ĞĨĨĞĐƚ ŽŶ ƚŚĞ ĞŶǀŝƌŽŶŵĞŶƚ͍΀KŶƚĂƌŝŽ'W
/Z/ŵƉĂĐƚϱ͘ϭϱͲϭ΁
EŽEĞǁŽƌDŽƌĞ^ĞǀĞƌĞ/ŵƉĂĐƚ͗dŚĞKŶƚĂƌŝŽ'W
/ZĐŽŶĐůƵĚĞĚƚŚĂƚƚŚĞƉŽƉƵůĂƚŝŽŶŐƌŽǁƚŚŝŶĐůƵĚĞĚŝŶ
ƚŚĞŝŵƉůĞŵĞŶƚĂƚŝŽŶŽĨƚŚĞKŶƚĂƌŝŽ'WǁŽƵůĚ ŝŶĐƌĞĂƐĞĚĞŵĂŶĚĨŽƌƉĂƌŬůĂŶĚĂŶĚŽƉĞŶƐƉĂĐĞďĞǇŽŶĚƚŚĞ ƉƌĞĨĞƌƌĞĚƌĂƚŝŽŽĨƚŚƌĞĞĂĐƌĞƐƉĞƌϭ͕ϬϬϬƌĞƐŝĚĞŶƚƐĂŶĚǁŽƵůĚŶĞĐĞƐƐŝƚĂƚĞĂƉŽůŝĐǇĐŚĂŶŐĞƚŽŝŶĐƌĞĂƐĞƚŚŝƐ ƌĂƚŝŽƚŽϱĂĐƌĞƐƉĞƌϭ͕ϬϬϬƌĞƐŝĚĞŶƚƐ;ĐƵƌƌĞŶƚůǇWŽůŝĐǇWZϭͲϱͿ͘WŽůŝĐǇWZϭͲϲĂůƐŽƉƌŽǀŝĚĞƐĂŵŝŶŝŵƵŵŽĨƚǁŽ ĂĐƌĞƐŽĨĚĞǀĞůŽƉĞĚƉƌŝǀĂƚĞƉĂƌŬƐƉĂĐĞƉĞƌϭ͕ϬϬϬƌĞƐŝĚĞŶƚƐ͘ dŚĞ WƌŽũĞĐƚ ĚŽĞƐ ŶŽƚ ŝŶĐůƵĚĞ ƌĞƐŝĚĞŶƚŝĂů ƵƐĞƐǁŚŝĐŚ ǁŽƵůĚ ĚŝƌĞĐƚůǇ ŝŶĐƌĞĂƐĞƚŚĞ ŝƚǇ͛ƐƉŽƉƵůĂƚŝŽŶ Žƌ ĚĞŵĂŶĚƐŽŶƉĂƌŬĨĂĐŝůŝƚŝĞƐ͘^ƉĞĐŝĨŝĐĂůůǇ͕ƚŚĞWƌŽũĞĐƚŝƐŶŽƚĂŶƚŝĐŝƉĂƚĞĚƚŽƐƵďƐƚĂŶƚŝĂůůǇŝŶĐƌĞĂƐĞƚŚĞƵƐĞŽĨ ĞǆŝƐƚŝŶŐŶĞŝŐŚďŽƌŚŽŽĚ ĂŶĚ ƌĞŐŝŽŶĂůƉĂƌŬƐŽƌŽƚŚĞƌ ƌĞĐƌĞĂƚŝŽŶĂůĨĂĐŝůŝƚŝĞƐƐƵĐŚƚŚĂƚƐƵďƐƚĂŶƚŝĂůƉŚǇƐŝĐĂů ĚĞƚĞƌŝŽƌĂƚŝŽŶŽĨƚŚĞĨĂĐŝůŝƚǇǁŽƵůĚŽĐĐƵƌŽƌďĞĂĐĐĞůĞƌĂƚĞĚ͕ŶŽƌǁŽƵůĚŝƚ ŝŶĐůƵĚĞƌĞĐƌĞĂƚŝŽŶĂůĨĂĐŝůŝƚŝĞƐŽƌ ƌĞƋƵŝƌĞƚŚĞĐŽŶƐƚƌƵĐƚŝŽŶŽƌĞǆƉĂŶƐŝŽŶŽĨƌĞĐƌĞĂƚŝŽŶĂůĨĂĐŝůŝƚŝĞƐǁŚŝĐŚŵŝŐŚƚŚĂǀĞĂŶĂĚǀĞƌƐĞƉŚǇƐŝĐĂůĞĨĨĞĐƚ ŽŶƚŚĞĞŶǀŝƌŽŶŵĞŶƚ͘
DŝƚŝŐĂƚŝŽŶWƌŽŐƌĂŵ
DŝƚŝŐĂƚŝŽŶDĞĂƐƵƌĞƐĨƌŽŵƚŚĞKŶƚĂƌŝŽ'W
/Z
EŽŵŝƚŝŐĂƚŝŽŶŵĞĂƐƵƌĞƐǁĞƌĞƉƌŽƉŽƐĞĚŝŶƚŚĞKŶƚĂƌŝŽ'W /Z͘
KǀĞƌĂůůZĞĐƌĞĂƚŝŽŶ/ŵƉĂĐƚŽŶĐůƵƐŝŽŶ
tŝƚŚƌĞŐĂƌĚƚŽ
Y^ƚĂƚƵƚĞ^ĞĐƚŝŽŶϮϭϭϲϲĂŶĚ
Y'ƵŝĚĞůŝŶĞƐ^ĞĐƚŝŽŶϭϱϭϲϮ;ĂͿ͕ƚŚĞĐŚĂŶŐĞƐƉƌŽƉŽƐĞĚ
ďǇƚŚĞWƌŽũĞĐƚǁŽƵůĚŶŽƚƌĞƐƵůƚŝŶĂŶǇŶĞǁŽƌŵŽƌĞƐĞǀĞƌĞŝŵƉĂĐƚƐĨƌŽŵƚŚĞƉƌĞǀŝŽƵƐůǇŝĚĞŶƚŝĨŝĞĚŝŵƉĂĐƚƐ͕ ǁŝƚŚƌĞƐƉĞĐƚƚŽƌĞĐƌĞĂƚŝŽŶ͘dŚĞƌĞĨŽƌĞ͕ƉƌĞƉĂƌĂƚŝŽŶŽĨĂŶ^ /ZŝƐŶŽƚǁĂƌƌĂŶƚĞĚ͘
310
(QYLURQPHQWDO,PSDFW$QDO\VLV
dŚĞKŶƚĂƌŝŽWůĂŶ
/Z ϳϭ ŽŶsŝĞǁWƌŽũĞĐƚ
ĚĚĞŶĚƵŵƚŽƚŚĞ&ŝŶĂů
ŶǀŝƌŽŶŵĞŶƚĂů/ŵƉĂĐƚZĞƉŽƌƚ
ϰ͘ϭϲ dƌĂŶƐƉŽƌƚĂƚŝŽŶ
ϰ͘ϭϲ͘ϭ ^ƵŵŵĂƌǇŽĨWƌĞǀŝŽƵƐ
ŶǀŝƌŽŶŵĞŶƚĂůŶĂůǇƐŝƐ
dŚĞKŶƚĂƌŝŽ'W
/ZŝĚĞŶƚŝĨŝĞĚŽŶĞŝŵƉĂĐƚĂƌĞĂǁŚŝĐŚǁŽƵůĚ ĐƌĞĂƚĞƐŝŐŶŝĨŝĐĂŶƚĂŶĚƵŶĂǀŽŝĚĂďůĞŝŵƉĂĐƚƐ͘ dŚĞKŶƚĂƌŝŽ'W
/ZĨŽƵŶĚƚŚĂƚƚŚƌŽƵŐŚƚŚĞďƵŝůĚŽƵƚŽĨƚŚĞKŶƚĂƌŝŽ'W͕ƚƌĂĨĨŝĐǁŽƵůĚŝŶĐƌĞĂƐĞĂŶĚůŽǁĞƌ ƚŚĞƐĞƌǀŝĐĞůĞǀĞůƐŽĨ ŝŶƚĞƌƐĞĐƚŝŽŶƐǁŝƚŚŝŶƚŚĞŝƚǇƐŝŐŶŝĨŝĐĂŶƚůǇ͘DŝƚŝŐĂƚŝŽŶŝƐƉƌŽƉŽƐĞĚŝŶŽƌĚĞƌƚŽƌĞĚƵĐĞ ƚŚŝƐ ŝŵƉĂĐƚ͖ ŚŽǁĞǀĞƌ͕ ƚŚĞ ŝŵƉĂĐƚ ǁĂƐ ĚĞƚĞƌŵŝŶĞĚ ƚŽ ďĞ ƐŝŐŶŝĨŝĐĂŶƚ ĂŶĚ ƵŶĂǀŽŝĚĂďůĞ ƌĞŐĂƌĚůĞƐƐŽĨ ŵŝƚŝŐĂƚŝŽŶ͘KƚŚĞƌƉŽƚĞŶƚŝĂůŝŵƉĂĐƚƐĚƵĞƚŽƚŚĞŝŵƉůĞŵĞŶƚĂƚŝŽŶŽĨƚŚĞWƌŽũĞĐƚǁĞƌĞĨŽƵŶĚƚŽďĞůĞƐƐƚŚĂŶ ƐŝŐŶŝĨŝĐĂŶƚǁŝƚŚŽƵƚƚŚĞŶĞĞĚĨŽƌŵŝƚŝŐĂƚŝŽŶ͘
ϰ͘ϭϲ͘Ϯ ŶĂůǇƐŝƐŽĨWƌŽƉŽƐĞĚWƌŽũĞĐƚ
dŚƌĞƐŚŽůĚ;Ă͕ŐͿ ŽŶĨůŝĐƚǁŝƚŚĂ ƉƌŽŐƌĂŵ͕ƉůĂŶ͕ŽƌĚŝŶĂŶĐĞŽƌƉŽůŝĐǇĂĚĚƌĞƐƐŝŶŐƚŚĞĐŝƌĐƵůĂƚŝŽŶƐǇƐƚĞŵ͕ ŝŶĐůƵĚŝŶŐƚƌĂŶƐŝƚ͕ƌŽĂĚǁĂǇ͕ďŝĐǇĐůĞĂŶĚƉĞĚĞƐƚƌŝĂŶĨĂĐŝůŝƚŝĞƐ͍΀hƉĚĂƚĞĚƚŽϮϬϮϭ Y
ƉƉĞŶĚŝǆ'dŚƌĞƐŚŽůĚƐ΁΀KŶƚĂƌŝŽ'W/ŵƉĂĐƚϱ͘ϭϲͲϭĂŶĚϱ͘ϭϲͲϱ΁ dŚƌĞƐŚŽůĚ;ďͿ tŽƵůĚƚŚĞƉƌŽũĞĐƚĐŽŶĨůŝĐƚŽƌďĞŝŶĐŽŶƐŝƐƚĞŶƚǁŝƚŚ Y'ƵŝĚĞůŝŶĞƐƐĞĐƚŝŽŶϭϱϬϲϰ͘ϯ͕
ƐƵďĚŝǀŝƐŝŽŶ;ďͿ͍΀KŶƚĂƌŝŽ'W/ŵƉĂĐƚϱ͘ϭϲͲϭ΁
EŽEĞǁŽƌDŽƌĞ^ĞǀĞƌĞ/ŵƉĂĐƚ͗dŚĞKŶƚĂƌŝŽ'W
/ZĚŝĚŶŽƚƐƚƵĚǇƚŚĞŝŶƚĞƌƐĞĐƚŝŽŶƐŶĞĂƌĞƐƚƚŽƚŚĞWƌŽũĞĐƚ ƐŝƚĞ͘,ŽǁĞǀĞƌ͕ƚŚĞŶĞĂƌĞƐƚŵĂũŽƌŝŶƚĞƌƐĞĐƚŝŽŶƐǁŽƵůĚƌĞŵĂŝŶĂƚĂůĞǀĞůŽĨƐĞƌǀŝĐĞ;>K^ͿƚŚĂƚŝƐƐƵŝƚĂďůĞĂŶĚ ůĞƐƐƚŚĂŶƐŝŐŶŝĨŝĐĂŶƚ͘dŚĞƐĞŝŶƚĞƌƐĞĐƚŝŽŶƐŝŶĐůƵĚĞĂŵƉƵƐǀĞŶƵĞĂŶĚWŚŝůĂĚĞůƉŚŝĂ^ƚƌĞĞƚ͕'ƌŽǀĞǀĞŶƵĞ ĂŶĚ&ƌĂŶĐŝƐǀĞŶƵĞ͕ĂŶĚ'ƌŽǀĞǀĞŶƵĞĂŶĚWŚŝůĂĚĞůƉŚŝĂ^ƚƌĞĞƚ͘ dŚĞWƌŽũĞĐƚǁŽƵůĚŝŶǀŽůǀĞ ƚŚĞĚĞǀĞůŽƉŵĞŶƚŽĨĂǁĂƌĞŚŽƵƐŝŶŐĨĂĐŝůŝƚǇƚŚĂƚŝƐĐŽŶƐŝƐƚĞŶƚǁŝƚŚƚŚĞůĂŶĚƵƐĞ ĚĞƐŝŐŶĂƚŝŽŶƐĂŶĚƌĞŐƵůĂƚŝŽŶƐŽĨƚŚĞWƌŽũĞĐƚĂƌĞĂ͘&ƵƌƚŚĞƌŵŽƌĞ͕ƚŚĞWƌŽũĞĐƚǁŽƵůĚ ďĞĚĞǀĞůŽƉĞĚƐŝŵŝůĂƌůǇ ƚŽƚŚĞĐƵƌƌĞŶƚĞǆŝƐƚŝŶŐƵƐĞƐǁŚŝĐŚ ĐŽŶƐŝƐƚŽĨŝŶĚƵƐƚƌŝĂůƐƚƌƵĐƚƵƌĞƐĂŶĚĂĐƚŝǀŝƚŝĞƐ͘dŚĞWƌŽũĞĐƚǁŽƵůĚŶŽƚ ŝŶĐůƵĚĞ ƌŽĂĚǁĂǇŵŽĚŝĨŝĐĂƚŝŽŶ ƚŽ ĂĚũĂĐĞŶƚƐƚƌĞĞƚƐ;ĞĚĂƌ^ƚƌĞĞƚĂŶĚ ŽŶsŝĞǁǀĞŶƵĞͿ ĂƉĂƌƚĨƌŽŵƚŚĞ ƌĞƉůĂĐĞŵĞŶƚŽĨ ƚŚĞĨŝǀĞ;ϱͿ ĞǆŝƐƚŝŶŐĚƌŝǀĞǁĂǇƐǁŝƚŚƚǁŽ;ϮͿ ƉƌŽƉŽƐĞĚĚƌŝǀĞǁĂǇƐƚŽƉƌŽǀŝĚĞ ŝŶŐƌĞƐƐĂŶĚ ĞŐƌĞƐƐƚŽͬĨƌŽŵƚŚĞWƌŽũĞĐƚƐŝƚĞ͘dŚĞƐŝŵŝůĂƌŝƚǇďĞƚǁĞĞŶƚŚĞĞǆŝƐƚŝŶŐƵƐĞƐĂŶĚƚŚĞWƌŽũĞĐƚŝŵƉůǇƚŚĂƚƚƌĂĨĨŝĐ ŝŶƚĞŶƐŝƚǇǁŽƵůĚŶŽƚƐƵďƐƚĂŶƚŝĂůůǇĐŚĂŶŐĞ͘&ƵƌƚŚĞƌ͕ƚŚĞŝŶƚĞƌƐĞĐƚŝŽŶƐƐƚƵĚŝĞĚďǇƚŚĞKŶƚĂƌŝŽ'W /ZƐŚŽǁĂ
ůĞƐƐƚŚĂŶƐŝŐŶŝĨŝĐĂŶƚ>K^ƚŚƌŽƵŐŚƚŚĞŝŵƉůĞŵĞŶƚĂƚŝŽŶŽĨƚŚĞKŶƚĂƌŝŽ'W͘ ƐǁĞůů͕dŚĞWƌŽũĞĐƚĂůƐŽĚŽĞƐŶŽƚŝŶĐůƵĚĞ ƌŽĂĚǁĂǇŝŵƉƌŽǀĞŵĞŶƚƐƚŚĂƚǁŽƵůĚŵŽĚŝĨǇ ƉĞĚĞƐƚƌŝĂŶ͕ŵĂƐƐ ƚƌĂŶƐŝƚ͕ŽƌďŝĐǇĐůĞŝŶĨƌĂƐƚƌƵĐƚƵƌĞ͘ZŽĂĚǁĂǇƐǁŽƵůĚĐŽŶƚŝŶƵĞƚŽĨƵŶĐƚŝŽŶƵŶĚĞƌƚŚĞŝƌĐƵƌƌĞŶƚĨŽƌŵ͘ DŽƌĞŽǀĞƌ͕ǁŝƚŚƌĞƐƉĞĐƚƚŽ
Y'ƵŝĚĞůŝŶĞƐƐĞĐƚŝŽŶϭϱϬϲϰ͘ϯƌĞŐĂƌĚŝŶŐƚŚĞWƌŽũĞĐƚ͛ƐǀĞŚŝĐůĞƐŵŝůĞƐƚƌĂǀĞůĞĚ ;sDdͿŝŵƉĂĐƚ͕ƚŚĞWƌŽũĞĐƚŝƐƐĐƌĞĞŶĞĚŽƵƚĨƌŽŵsDdĚƵĞƚŽŝƚƐůŽĐĂƚŝŽŶǁŝƚŚŝŶĂůŽǁsDdŐĞŶĞƌĂƚŝŶŐǌŽŶĞ͘ dŚĞƌĞĨŽƌĞ͕ŝŵƉĂĐƚƐĨƌŽŵƚŚĞWƌŽũĞĐƚǁŽƵůĚďĞůĞƐƐƚŚĂŶƐŝŐŶŝĨŝĐĂŶƚ͘ DŝƚŝŐĂƚŝŽŶWƌŽŐƌĂŵ
DŝƚŝŐĂƚŝŽŶDĞĂƐƵƌĞƐĨƌŽŵƚŚĞKŶƚĂƌŝŽ'W
/Z
dŚĞ KŶƚĂƌŝŽ 'W
/ZƉƌŽƉŽƐĞĚ ŵŝƚŝŐĂƚŝŽŶŵĞĂƐƵƌĞϭϲͲϭ ƚŽ ŵŝŶŝŵŝǌĞ ŝŵƉĂĐƚƐƚŽ ůĞƐƐƚŚĂŶ ƐŝŐŶŝĨŝĐĂŶƚ͘ ,ŽǁĞǀĞƌ͕ŵŝƚŝŐĂƚŝŽŶŵĞĂƐƵƌĞϭϲͲϭŝƐŝŵƉŽƐĞĚƐŽůĞůǇƵƉŽŶƚŚĞŝƚǇ͕ĂŶĚŝƐƚŚĞƌĞĨŽƌĞŶŽƚĂƉƉůŝĐĂďůĞƚŽƚŚĞ ƉƌŽƉŽƐĞĚWƌŽũĞĐƚ͘
311
(QYLURQPHQWDO,PSDFW$QDO\VLV
dŚĞKŶƚĂƌŝŽWůĂŶ
/Z ϳϮ ŽŶsŝĞǁWƌŽũĞĐƚ
ĚĚĞŶĚƵŵƚŽƚŚĞ&ŝŶĂů
ŶǀŝƌŽŶŵĞŶƚĂů/ŵƉĂĐƚZĞƉŽƌƚ
ŽŶĐůƵƐŝŽŶ
dŚĞWƌŽũĞĐƚǁŽƵůĚ ŶŽƚĨƵƌƚŚĞƌĞǆĐĞĞĚƌŽĂĚǁĂǇƵƐĂŐĞĐĂƉĂĐŝƚŝĞƐŽƌƚƌĂĨĨŝĐƚŚƌĞƐŚŽůĚƐĞƐƚĂďůŝƐŚĞĚǁŝƚŚŝŶ ƚŚĞŝƚǇ͘EŽŶĞǁŝŵƉĂĐƚƐŽƌĂƐƵďƐƚĂŶƚŝĂůŝŶĐƌĞĂƐĞŝŶƚŚĞƐĞǀĞƌŝƚǇŽĨ ƚŚĞƉƌĞǀŝŽƵƐůǇ ŝĚĞŶƚŝĨŝĞĚƐŝŐŶŝĨŝĐĂŶƚ ŝŵƉĂĐƚĞǀĂůƵĂƚĞĚ ŝŶ ƚŚĞ KŶƚĂƌŝŽ'W
/ZǁŽƵůĚ ŽĐĐƵƌ͘ ĚĚŝƚŝŽŶĂůůǇ͕ ŶŽ ŶĞǁ ŝŶĨŽƌŵĂƚŝŽŶ ŽĨ ƐƵďƐƚĂŶƚŝĂů ŝŵƉŽƌƚĂŶĐĞƚŚĂƚǁĂƐŶŽƚ ŬŶŽǁŶ ĂŶĚ ĐŽƵůĚ ŶŽƚ ŚĂǀĞďĞĞŶ ŬŶŽǁŶ ĂƚƚŚĞ ƚŝŵĞƚŚĞKŶƚĂƌŝŽ 'W /ZǁĂƐ
ĐĞƌƚŝĨŝĞĚƚŚĂƚǁŽƵůĚŝŵƉĂĐƚƚŚĞƉƌŝŽƌĨŝŶĚŝŶŐƵŶĚĞƌƚŚŝƐŝƐƐƵĞĂƌĞĂ͘ dŚƌĞƐŚŽůĚ;ĐͿ ZĞƐƵůƚŝŶĂĐŚĂŶŐĞŝŶĂŝƌƚƌĂĨĨŝĐƉĂƚƚĞƌŶƐ͕ŝŶĐůƵĚŝŶŐĞŝƚŚĞƌĂŶŝŶĐƌĞĂƐĞŝŶƚƌĂĨĨŝĐůĞǀĞůƐŽƌ Ă ĐŚĂŶŐĞ ŝŶ ůŽĐĂƚŝŽŶ ƚŚĂƚ ƌĞƐƵůƚƐ ŝŶ ƐƵďƐƚĂŶƚŝĂů ƐĂĨĞƚǇ ƌŝƐŬƐ͍ ΀KŶƚĂƌŝŽ 'W /Z
/ŵƉĂĐƚϱ͘ϭϲͲϮ΁΀EŽƚŝŶĐůƵĚĞĚŝŶƚŚĞϮϬϮϭ
YƉƉĞŶĚŝǆ'dŚƌĞƐŚŽůĚƐ΁
EŽEĞǁŽƌDŽƌĞ^ĞǀĞƌĞ/ŵƉĂĐƚ͗dŚĞWƌŽũĞĐƚĚŽĞƐŶŽƚŝŶǀŽůǀĞƚŚĞŵŽĚŝĨŝĐĂƚŝŽŶŽĨĂŝƌƚƌĂĨĨŝĐŝŶĨƌĂƐƚƌƵĐƚƵƌĞ͕ ƉůĂŶƐ͕ŽƌƉŽůŝĐŝĞƐ͘EŽŝŵƉĂĐƚǁŽƵůĚŽĐĐƵƌ͘
DŝƚŝŐĂƚŝŽŶWƌŽŐƌĂŵ
EŽŶĞŝĚĞŶƚŝĨŝĞĚŝŶƚŚĞKŶƚĂƌŝŽ'W
/Z͘
ŽŶĐůƵƐŝŽŶ
EŽ ŶĞǁ ŝŵƉĂĐƚƐŽƌ Ă ƐƵďƐƚĂŶƚŝĂůŝŶĐƌĞĂƐĞŝŶ ƚŚĞ ƐĞǀĞƌŝƚǇŽĨ Ă ƉƌĞǀŝŽƵƐůǇ ŝĚĞŶƚŝĨŝĞĚ ƐŝŐŶŝĨŝĐĂŶƚŝŵƉĂĐƚ ĞǀĂůƵĂƚĞĚŝŶƚŚĞKŶƚĂƌŝŽ'W
/ZǁŽƵůĚŽĐĐƵƌ͘ĚĚŝƚŝŽŶĂůůǇ͕ŶŽŶĞǁŝŶĨŽƌŵĂƚŝŽŶŽĨƐƵďƐƚĂŶƚŝĂůŝŵƉŽƌƚĂŶĐĞ ƚŚĂƚǁĂƐŶŽƚŬŶŽǁŶ ĂŶĚĐŽƵůĚ ŶŽƚŚĂǀĞďĞĞŶŬŶŽǁŶ ĂƚƚŚĞƚŝŵĞƚŚĞKŶƚĂƌŝŽ'W /ZǁĂƐĐĞƌƚŝĨŝĞĚƚŚĂƚ
ǁŽƵůĚŝŵƉĂĐƚƚŚĞƉƌŝŽƌĨŝŶĚŝŶŐŽĨŶŽƐŝŐŶŝĨŝĐĂŶƚŝŵƉĂĐƚƵŶĚĞƌƚŚŝƐŝƐƐƵĞĂƌĞĂ͘ dŚƌĞƐŚŽůĚ;ĚͿ ^ƵďƐƚĂŶƚŝĂůůǇŝŶĐƌĞĂƐĞŚĂǌĂƌĚƐĚƵĞƚŽĂĚĞƐŝŐŶĨĞĂƚƵƌĞ;Ğ͘Ő͕͘ƐŚĂƌƉĐƵƌǀĞƐŽƌĚĂŶŐĞƌŽƵƐ ŝŶƚĞƌƐĞĐƚŝŽŶƐͿ Žƌ ŝŶĐŽŵƉĂƚŝďůĞ ƵƐĞƐ ;Ğ͘Ő͕͘ ĨĂƌŵ ĞƋƵŝƉŵĞŶƚͿ ΀KŶƚĂƌŝŽ 'W /Z
/ŵƉĂĐƚϱ͘ϭϲͲϯ΁
dŚƌĞƐŚŽůĚ;ĞͿ ZĞƐƵůƚŝŶŝŶĂĚĞƋƵĂƚĞĞŵĞƌŐĞŶĐǇĂĐĐĞƐƐ͍΀KŶƚĂƌŝŽ'W /Z/ŵƉĂĐƚϱ͘ϭϲͲϯ΁
EŽEĞǁŽƌDŽƌĞ^ĞǀĞƌĞ/ŵƉĂĐƚ͗dŚĞWƌŽũĞĐƚ͛ƐŐĞŽŵĞƚƌŝĐĚĞƐŝŐŶĨĞĂƚƵƌĞƐ͕ŝŶĐůƵĚŝŶŐƚŚĞĞŶƚƌĂŶĐĞƐĂŶĚ ŝŶƚĞƌŶĂůĚƌŝǀĞǁĂǇƐǇƐƚĞŵ͕ŚĂǀĞďĞĞŶĚĞƐŝŐŶĞĚƚŽŵĞĞƚƚŚĞƐƚĂŶĚĂƌĚƐĨŽƌƚŚĞƚƵƌŶŝŶŐƌĂĚŝŝŽĨůĂƌŐĞƚƌƵĐŬƐ ǁŝƚŚƚƌĂŝůĞƌƐ͘dŚŝƐŝƐĂůƐŽďĞŶĞĨŝĐŝĂůĨŽƌƚŚĞĂĐĐĞƐƐŽĨĞŵĞƌŐĞŶĐǇƌĞƐƉŽŶƐĞĞƋƵŝƉŵĞŶƚ͕ŝŶĐůƵĚŝŶŐ ĂůĂĚĚĞƌ ĨŝƌĞƚƌƵĐŬ͘dŚĞWƌŽũĞĐƚĂƌĞĂŝƐĐƵƌƌĞŶƚůǇĚĞǀĞůŽƉĞĚ͕ĂŶĚŶŽĂŐƌŝĐƵůƚƵƌĂůĂĐƚŝǀŝƚŝĞƐŽĐĐƵƌŝŶƚŚĞWƌŽũĞĐƚĂƌĞĂ͖ ƚŚĞƌĞĨŽƌĞ͕ƚŚĞƌĞǁŽƵůĚďĞŶŽŝŶĐŽŵƉĂƚŝďůĞƵƐĞǁŝƚŚĨĂƌŵĞƋƵŝƉŵĞŶƚ͘ &ƵƌƚŚĞƌŵŽƌĞ͕ƚŚĞKŶƚĂƌŝŽ'W
/ZĨŽƵŶĚƚŚĂƚƚŚĞƐƵƌƌŽƵŶĚŝŶŐŝŶƚĞƌƐĞĐƚŝŽŶƐǁŽƵůĚŽƉĞƌĂƚĞĂƚĂƐƵĨĨŝĐŝĞŶƚ >K^͘ĞƐƉŝƚĞŽŶsŝĞǁǀĞŶƵĞŶŽƚďĞŝŶŐĂŶĂůǇǌĞĚŝŶƚŚĞKŶƚĂƌŝŽ'W /Z͕ƚŚĞƌĞƉůĂĐĞŵĞŶƚŽĨƚŚĞĨŝǀĞ;ϱͿ
ĞǆŝƐƚŝŶŐ ĚƌŝǀĞǁĂǇƐ ǁŝƚŚ ƚǁŽ ;ϮͿ ƉƌŽƉŽƐĞĚ ĚƌŝǀĞǁĂǇƐ ŝƐ ŶŽƚ ĞǆƉĞĐƚĞĚ ƚŽ ĐƌĞĂƚĞ ŚĂǌĂƌĚŽƵƐ ĚƌŝǀŝŶŐ ĐŽŶĚŝƚŝŽŶƐ͘dŚĞWƌŽũĞĐƚǁŽƵůĚ͕ƚŚĞƌĞĨŽƌĞ͕ŐĞŶĞƌĂƚĞĂůĞƐƐƚŚĂŶƐŝŐŶŝĨŝĐĂŶƚƚƌĂ ĨĨŝĐŚĂǌĂƌĚŝŵƉĂĐƚ͕ĂŶĚŶŽ ŵŝƚŝŐĂƚŝŽŶǁŽƵůĚďĞƌĞƋƵŝƌĞĚ͘
WƌŽũĞĐƚ ĐŽŶƐƚƌƵĐƚŝŽŶ ĂĐƚŝǀŝƚŝĞƐĐŽƵůĚ ƌĞƋƵŝƌĞ ƚŚĞ ƌĞƐƚƌŝĐƚŝŽŶŽĨ ƉƵďůŝĐ ĂĐĐĞƐƐŝŶ ŝƚƐĚƵƌĂƚŝŽŶ͘ ^ƚĂŶĚĂƌĚ ĐŽŶƐƚƌƵĐƚŝŽŶƐĂĨĞƚǇŵĞĂƐƵƌĞƐǁŽƵůĚĂůƐŽďĞĂƉƉůŝĞĚǁŚŝĐŚǁŽƵůĚŝŶĐůƵĚĞĂƉƉƌŽƉƌŝĂƚĞƐŝŐŶĂŐĞĂŶĚĨůĂŐŵĞŶ ǀŝƐŝďůĞ ƚŽ ĂƉƉƌŽĂĐŚŝŶŐŵŽƚŽƌŝƐƚƐĂŶĚ ƉĞĚĞƐƚƌŝĂŶƐŝŶĚŝĐĂƚŝŶŐ ĂĐĐĞƐƐŽƉƚŝŽŶƐ ĂŶĚ ǁĂƌŶŝŶŐƐ͘ ŵĞƌŐĞŶĐǇ
ĂĐĐĞƐƐǁŽƵůĚĂůƐŽďĞŵĂŝŶƚĂŝŶĞĚĚƵƌŝŶŐWƌŽũĞĐƚŽƉĞƌĂƚŝŽŶƐƚŚƌŽƵŐŚƚŚĞĚƵĂůĚƌŝǀĞǁĂǇĂĐĐĞƐƐĐŽŶŶĞĐƚĞĚ ƚŽŽŶsŝĞǁǀĞŶƵĞ͘dŚĞƌĞĨŽƌĞ͕ŝŵƉĂĐƚƐǁŽƵůĚďĞůĞƐƐƚŚĂŶƐŝŐŶŝĨŝĐĂŶƚ͘ 312
(QYLURQPHQWDO,PSDFW$QDO\VLV
dŚĞKŶƚĂƌŝŽWůĂŶ
/Z ϳϯ ŽŶsŝĞǁWƌŽũĞĐƚ
ĚĚĞŶĚƵŵƚŽƚŚĞ&ŝŶĂů
ŶǀŝƌŽŶŵĞŶƚĂů/ŵƉĂĐƚZĞƉŽƌƚ
DŝƚŝŐĂƚŝŽŶWƌŽŐƌĂŵ
DŝƚŝŐĂƚŝŽŶDĞĂƐƵƌĞƐĨƌŽŵƚŚĞKŶƚĂƌŝŽ'W
/Z
EŽŶĞŝĚĞŶƚŝĨŝĞĚŝŶƚŚĞKŶƚĂƌŝŽ'W
/Z͘
ŽŶĐůƵƐŝŽŶ
dŚĞWƌŽũĞĐƚǁŽƵůĚ ƌĞƐƵůƚŝŶŶŽŽƌŵŽƌĞƐĞǀĞƌĞŶĞǁŝŵƉĂĐƚĂƐŝƚƉĞƌƚĂŝŶƐƚŽŐĞŽŵĞƚƌŝĐĚĞƐŝŐŶĨĞĂƚƵƌĞŽƌ ŝŶĐŽŵƉĂƚŝďůĞ ƵƐĞƐ͘EŽ ŶĞǁŝŵƉĂĐƚƐŽƌ ĂƐƵďƐƚĂŶƚŝĂůŝŶĐƌĞĂƐĞŝŶƚŚĞ ƐĞǀĞƌŝƚǇŽĨ Ă ƉƌĞǀŝŽƵƐůǇ ŝĚĞŶƚŝĨŝĞĚ ƐŝŐŶŝĨŝĐĂŶƚŝŵƉĂĐƚ ĞǀĂůƵĂƚĞĚŝŶ ƚŚĞ KŶƚĂƌŝŽ 'W
/ZǁŽƵůĚ ŽĐĐƵƌ͘ĚĚŝƚŝŽŶĂůůǇ͕ ŶŽ ŶĞǁ ŝŶĨŽƌŵĂƚŝŽŶ ŽĨ ƐƵďƐƚĂŶƚŝĂůŝŵƉŽƌƚĂŶĐĞƚŚĂƚǁĂƐŶŽƚŬŶŽǁŶĂŶĚĐŽƵůĚŶŽƚŚĂǀĞďĞĞŶŬŶŽǁŶĂƚƚŚĞƚŝŵĞƚŚĞKŶƚĂƌŝŽ'W

/ZǁĂƐĐĞƌƚŝĨŝĞĚŝƐĂǀĂŝůĂďůĞƚŚĂƚǁŽƵůĚŝŵƉĂĐƚƚŚĞƉƌŝŽƌĨŝŶĚŝŶŐŽĨŶŽƐŝŐŶŝĨŝĐĂŶƚŝŵƉĂĐƚƵŶĚĞƌƚŚŝƐŝƐƐƵĞ ĂƌĞĂ͘
dŚƌĞƐŚŽůĚ;ĨͿ ZĞƐƵůƚŝŶŝŶĂĚĞƋƵĂƚĞƉĂƌŬŝŶŐĐĂƉĂĐŝƚǇ͍΀KŶƚĂƌŝŽ'W /Z/ŵƉĂĐƚϱ͘ϭϲͲϰ΁΀EŽƚŝŶĐůƵĚĞĚŝŶ
ƚŚĞϮϬϮϭ
YƉƉĞŶĚŝǆ'dŚƌĞƐŚŽůĚƐ΁
EŽEĞǁŽƌDŽƌĞ^ĞǀĞƌĞ/ŵƉĂĐƚ͗WĂƌŬŝŶŐƌĞƋƵŝƌĞŵĞŶƚƐĨŽƌƚŚĞWƌŽũĞĐƚƐŝƚĞ͛ƐůĂŶĚƵƐĞĚĞƐŝŐŶĂƚŝŽŶƌĞƋƵŝƌĞ ƚŚĂƚĨŽƌƚŚĞĚĞǀĞůŽƉŵĞŶƚŽĨǁĂƌĞŚŽƵƐŝŶŐ͕ŽŶĞƉĂƌŬŝŶŐƐƉĂĐĞďĞƉƌŽǀŝĚĞĚ ĨŽƌĞǀĞƌǇϭ͕ϬϬϬƐƋƵĂƌĞĨĞĞƚĨŽƌ ƚŚĞŝŶŝƚŝĂůϮϬ͕ϬϬϬƐƋƵĂƌĞĨĞĞƚŽĨŐƌŽƐƐĨůŽŽƌĂƌĞĂ͕ĂŶĚŽŶĞƉĂƌŬŝŶŐƐƉĂĐĞƉƌŽǀŝĚĞĚĨŽƌĞǀĞƌǇϮ͕ϬϬϬƐƋƵĂƌĞ ĨĞĞƚƚŚĞƌĞĂĨƚĞƌ͘ĚĚŝƚŝŽŶĂůůǇ͕ƚŚĞWƌŽũĞĐƚǁŽƵůĚďĞƌĞƋƵŝƌĞĚ ƚŽƉƌŽǀŝĚĞ ŽŶĞ ;ϭͿƚƌĂŝůĞƌƉĂƌŬŝŶŐƐƉĂĐĞĨŽƌ ĞǀĞƌǇĨŽƵƌ;ϰͿĚŽĐŬĚŽŽƌƐ͘dŚĞƌĞĨŽƌĞ͕ƚŚĞƉƌŽƉŽƐĞĚϭϳϰ͕ϲϬϯͲƐƋƵĂƌĞĨŽŽƚǁĂƌĞŚŽƵƐĞWƌŽũĞĐƚǁŝƚŚƚǁĞŶƚǇ ƚŚƌĞĞ;ϮϯͿĚŽĐŬĚŽŽƌƐǁŽƵůĚďĞƌĞƋƵŝƌĞĚƚŽƉƌŽǀŝĚĞϵϳĂƵƚŽƉĂƌŬŝŶŐƐƚĂůůƐĂŶĚϲƚƌĂŝůĞƌƐƚĂůůƐƚŽŵĂŝŶƚĂŝŶ ĐŽŵƉůŝĂŶĐĞǁŝƚŚƚŚĞKŶƚĂƌŝŽĞǀĞůŽƉŵĞŶƚŽĚĞ͘dŚĞWƌŽũĞĐƚŝƐƉƌŽƉŽƐŝŶŐϭϬϬƐƚĂŶĚĂƌĚƉĂƌŬŝŶŐƐƚĂůůƐĂŶĚ ϭϵƚƌĂŝůĞƌƐƚĂůůƐ͕ƚŚĞƌĞďǇĞǆĐĞĞĚŝŶŐƚŚĞƌĞƋƵŝƌĞĚƉĂƌŬŝŶŐĨŽƌƚŚĞWƌŽũĞĐƚƐŝƚĞ͕ĂŶĚƌĞƐƵůƚŝŶŐŝŶĂůĞƐƐƚŚĂŶ ƐŝŐŶŝĨŝĐĂŶƚŝŵƉĂĐƚ͘
DŝƚŝŐĂƚŝŽŶWƌŽŐƌĂŵ
DŝƚŝŐĂƚŝŽŶDĞĂƐƵƌĞƐĨƌŽŵƚŚĞKŶƚĂƌŝŽ'W
/Z
EŽŶĞŝĚĞŶƚŝĨŝĞĚŝŶƚŚĞKŶƚĂƌŝŽ'W
/Z͘
ŽŶĐůƵƐŝŽŶ
dŚĞWƌŽũĞĐƚ ǁŽƵůĚ ƌĞƐƵůƚŝŶ ŶŽ ŽƌŵŽƌĞ ƐĞǀĞƌĞŶĞǁ ŝŵƉĂĐƚĂƐŝƚƉĞƌƚĂŝŶƐƚŽ ƉĂƌŬŝŶŐĐĂƉĂĐŝƚǇ͘EŽ ŶĞǁ ŝŵƉĂĐƚƐŽƌĂƐƵďƐƚĂŶƚŝĂůŝŶĐƌĞĂƐĞŝŶƚŚĞƐĞǀĞƌŝƚǇŽĨĂƉƌĞǀŝŽƵƐůǇŝĚĞŶƚŝĨŝĞĚƐŝŐŶŝĨŝĐĂŶƚŝŵƉĂĐƚĞǀĂůƵĂƚĞĚŝŶ ƚŚĞKŶƚĂƌŝŽ'W
/ZǁŽƵůĚŽĐĐƵƌ͘ĚĚŝƚŝŽŶĂůůǇ͕ŶŽŶĞǁŝŶĨŽƌŵĂƚŝŽŶŽĨƐƵďƐƚĂŶƚŝĂůŝŵƉŽƌƚĂŶĐĞƚŚĂƚǁĂƐŶŽƚ ŬŶŽǁŶĂŶĚĐŽƵůĚŶŽƚŚĂǀĞďĞĞŶŬŶŽǁŶĂƚƚŚĞƚŝŵĞƚŚĞKŶƚĂƌŝŽ'W /ZǁĂƐĐĞƌƚŝĨŝĞĚŝƐĂǀĂŝůĂďůĞƚŚĂƚǁŽƵůĚ
ŝŵƉĂĐƚƚŚĞƉƌŝŽƌĨŝŶĚŝŶŐŽĨŶŽƐŝŐŶŝĨŝĐĂŶƚŝŵƉĂĐƚƵŶĚĞƌƚŚŝƐŝƐƐƵĞĂƌĞĂ͘ KǀĞƌĂůůdƌĂŶƐƉŽƌƚĂƚŝŽŶ/ŵƉĂĐƚŽŶĐůƵƐŝŽŶ
dŚĞWƌŽũĞĐƚǁŽƵůĚƌĞƐƵůƚŝŶŶŽŽƌŵŽƌĞƐĞǀĞƌĞŶĞǁŝŵƉĂĐƚƚŽƚƌĂŶƐƉŽƌƚĂƚŝŽŶƐǇƐƚĞŵƐ͘tŝƚŚƌĞŐĂƌĚƚŽ Y
^ƚĂƚƵƚĞ^ĞĐƚŝŽŶϮϭϭϲϲĂŶĚ
Y'ƵŝĚĞůŝŶĞƐ^ĞĐƚŝŽŶϭϱϭϲϮ;ĂͿ͕ƚŚĞĐŚĂŶŐĞƐƉƌŽƉŽƐĞĚďǇƚŚĞWƌŽũĞĐƚǁŽƵůĚ ŶŽƚƌĞƐƵůƚŝŶĂŶǇŶĞǁŝŵƉĂĐƚƐ͕ŽƌŝŶĐƌĞĂƐĞƚŚĞƐĞǀĞƌŝƚǇŽĨƚŚĞƉƌĞǀŝŽƵƐůǇŝĚĞŶƚŝĨŝĞĚŝŵƉĂĐƚƐ͕ǁŝƚŚƌĞƐƉĞĐƚ ƚŽƚƌĂŶƐƉŽƌƚĂƚŝŽŶ͘dŚĞƌĞĨŽƌĞ͕ƉƌĞƉĂƌĂƚŝŽŶŽĨĂŶ^
/ZĂŶĂůǇƐŝƐŝƐŶŽƚǁĂƌƌĂŶƚĞĚ͘
313
(QYLURQPHQWDO,PSDFW$QDO\VLV
dŚĞKŶƚĂƌŝŽWůĂŶ
/Z ϳϰ ŽŶsŝĞǁWƌŽũĞĐƚ
ĚĚĞŶĚƵŵƚŽƚŚĞ&ŝŶĂů
ŶǀŝƌŽŶŵĞŶƚĂů/ŵƉĂĐƚZĞƉŽƌƚ
ϰ͘ϭϳ hƚŝůŝƚŝĞƐĂŶĚ^ĞƌǀŝĐĞ^ǇƐƚĞŵƐ
ϰ͘ϭϳ͘ϭ ^ƵŵŵĂƌǇŽĨWƌĞǀŝŽƵƐ
ŶǀŝƌŽŶŵĞŶƚĂůŶĂůǇƐŝƐ
dŚĞ KŶƚĂƌŝŽ 'W
/ZĐŽŶĐůƵĚĞĚ ƚŚĂƚŝŵƉůĞŵĞŶƚĂƚŝŽŶ ŽĨ ƚŚĞ KŶƚĂƌŝŽ 'W ǁŽƵůĚ ŶŽƚ ƌĞƐƵůƚŝŶ ƐŝŐŶŝĨŝĐĂŶƚ ŝŵƉĂĐƚƐƌĞůĂƚŝǀĞƚŽƵƚŝůŝƚŝĞƐĂŶĚƐĞƌǀŝĐĞƐǇƐƚĞŵƐ͘,ŽǁĞǀĞƌ͕ƚŚĞŝŵƉůĞŵĞŶƚĂƚŝŽŶŽĨƚŚĞďĞůŽǁ ƌĞĨĞƌĞŶĐĞĚ ŵŝƚŝŐĂƚŝŽŶŵĞĂƐƵƌĞƐǁĂƐƌĞĐŽŵŵĞŶĚĞĚ͘
ϰ͘ϭϳ͘Ϯ ŶĂůǇƐŝƐŽĨWƌŽƉŽƐĞĚWƌŽũĞĐƚ
dŚƌĞƐŚŽůĚ;Ă͕Ğ͕ŚͿZĞƋƵŝƌĞ Žƌ ƌĞƐƵůƚ ŝŶ ƚŚĞ ƌĞůŽĐĂƚŝŽŶ Žƌ ĐŽŶƐƚƌƵĐƚŝŽŶŽĨ ŶĞǁ Žƌ ĞǆƉĂŶĚĞĚ ǁĂƚĞƌ͕ ǁĂƐƚĞǁĂƚĞƌ ƚƌĞĂƚŵĞŶƚ Žƌ ƐƚŽƌŵ ǁĂƚĞƌ ĚƌĂŝŶĂŐĞ͕ ĞůĞĐƚƌŝĐ ƉŽǁĞƌ͕ ŶĂƚƵƌĂů ŐĂƐ͕ Žƌ ƚĞůĞĐŽŵŵƵŶŝĐĂƚŝŽŶƐĨĂĐŝůŝƚŝĞƐ͕ ƚŚĞ ĐŽŶƐƚƌƵĐƚŝŽŶ ŽƌƌĞůŽĐĂƚŝŽŶŽĨ ǁŚŝĐŚ ĐŽƵůĚ ĐĂƵƐĞ ƐŝŐŶŝĨŝĐĂŶƚĞŶǀŝƌŽŶŵĞŶƚĂůĞĨĨĞĐƚƐ͍΀KŶƚĂƌŝŽ'W
/Z/ŵƉĂĐƚϱ͘ϭϳͲϭ͕ϱ͘ϭϳͲϯ͕ϱ͘ϭϳͲϱ΁
dŚƌĞƐŚŽůĚ;ďͿ ,ĂǀĞƐƵĨĨŝĐŝĞŶƚǁĂƚĞƌƐƵƉƉůŝĞƐĂǀĂŝůĂďůĞƚŽƐĞƌǀĞƚŚĞƉƌŽũĞĐƚĂŶĚƌĞĂƐŽŶĂďůǇĨŽƌĞƐĞĞĂďůĞ ĨƵƚƵƌĞ ĚĞǀĞůŽƉŵĞŶƚĚƵƌŝŶŐ ŶŽƌŵĂů͕ ĚƌǇ ĂŶĚ ŵƵůƚŝƉůĞ ĚƌǇ ǇĞĂƌƐ͍ ΀KŶƚĂƌŝŽ 'W /Z
/ŵƉĂĐƚϱ͘ϭϳͲϭ΁
EŽEĞǁŽƌDŽƌĞ^ĞǀĞƌĞ/ŵƉĂĐƚ͗dŚĞWƌŽũĞĐƚŝƐƉƌŽƉŽƐĞĚĨŽƌĚĞǀĞůŽƉŵĞŶƚ ŝŶĂŵĂŶŶĞƌƚŚĂƚŚĂƐďĞĞŶ ĂĐĐŽƵŶƚĞĚĨŽƌŝŶƚŚĞKŶƚĂƌŝŽ'W
/Z͕ŝŶĐůƵĚŝŶŐƚŚĞƉŽƚĞŶƚŝĂůǁĂƚĞƌĂŶĚǁĂƐƚĞǁĂƚĞƌƌĞƋƵŝƌĞĚĨŽƌƚŚĞƐŝƚĞ͘ dŚĞWƌŽũĞĐƚǁŽƵůĚ ŐĞŶĞƌĂƚĞĂǁĂƚĞƌĚĞŵĂŶĚŽĨ Ϯ͕ϮϵϬŐĂůůŽŶƐƉĞƌĚĂǇƉĞƌĂĐƌĞ;ŐƉĚͬĂĐͿ͘ϮϰdŚĞϳ͘ϰϳŶĞƚ ĂĐƌĞWƌŽũĞĐƚƐŝƚĞĂƌĞĂǁŽƵůĚƌĞƋƵŝƌĞĂƉƉƌŽǆŝŵĂƚĞůǇϭϳ͕ϭϬϲŐĂůůŽŶƐƉĞƌĚĂǇ;ŐƉĚͿŽƌϭϵ͘ϭϲĂĐƌĞͲĨĞĞƚĂǇĞĂƌ ;&zͿ͘dŚŝƐǁŽƵůĚŚĂǀĞŽŶůǇĐŽŵƉƌŝƐĞĚĂƉƉƌŽǆŝŵĂƚĞůǇϬ͘ϬϰƉĞƌĐĞŶƚŽĨƚŚĞƉƌŽũĞĐƚĞĚƐƵƉƉůǇĂƚƚŚĞƚŝŵĞŽĨ ƚŚĞKŶƚĂƌŝŽ'W
/Z;ϰϳ͕ϳϰϭĂĐƌĞͲĨĞĞƚͿ͘ĂƐĞĚŽŶƚŚĞƵƉĚĂƚĞĚhƌďĂŶtĂƚĞƌDĂŶĂŐĞŵĞŶƚWůĂŶ;htDWͿ͕ ƚŚŝƐǁŽƵůĚĐŽŵƉƌŝƐĞϬ͘ϬϱƉĞƌĐĞŶƚŽĨƚŚĞϮϬϭϱĞǆŝƐƚŝŶŐǁĂƚĞƌƐƵƉƉůǇ;ϯϲ͕ϭϱϯĂĐƌĞͲĨĞĞƚͿ͘dŚĞWƌŽũĞĐƚǁŽƵůĚ ĂůƐŽĐŽŵƉƌŝƐĞϬ͘ϬϰƉĞƌĐĞŶƚŽĨƚŚĞǁĂƚĞƌƐƵƉƉůǇŝŶƚŚĞǇĞĂƌϮϬϮϱ;ϰϯ͕ϳϬϵĂĐƌĞͲĨĞĞƚͿ͘ ĞĐĂƵƐĞ ƚŚĞ WƌŽũĞĐƚ͛Ɛ ƉƌŽƉŽƐĞĚ ǁĂƌĞŚŽƵƐŝŶŐ ƵƐĞ ŝƐ ĐŽŶƐŝƐƚĞŶƚ ǁŝƚŚ ƚŚĞ WƌŽũĞĐƚ ƐŝƚĞ͛Ɛ ĞǆŝƐƚŝŶŐ ĂŶĚ ƉƌŽƉŽƐĞĚ ǌŽŶŝŶŐĚŝƐƚƌŝĐƚƐ;'ĞŶĞƌĂů/ŶĚƵƐƚƌŝĂů;/'ͿĂŶĚ>ŝŐŚƚ/ŶĚƵƐƚƌŝĂů;/>ͿͿ͕ƚŚĞWƌŽũĞĐƚŝƐĂŶƚŝĐŝƉĂƚĞĚƚŽ ŚĂǀĞ Ă ŶĞŐůŝŐŝďůĞ ŝŵƉĂĐƚ ŽŶ ƚŚĞ ƉƌĞǀŝŽƵƐůǇ ŵĞŶƚŝŽŶĞĚ ƌĞƐŽƵƌĐĞƐ͘ĚĚŝƚŝŽŶĂůůǇ͕ ƚŚĞ KŶƚĂƌŝŽ 'W /Z
ĚĞƚĞƌŵŝŶĞĚƚŚĂƚŝŵƉĂĐƚƐƚŽ ƐƚŽƌŵǁĂƚĞƌĚƌĂŝŶĂŐĞĨĂĐŝůŝƚŝĞƐǁŽƵůĚ ďĞůĞƐƐƚŚĂŶƐŝŐŶŝĨŝĐĂŶƚ͘dŚĞWƌŽũĞĐƚ ǁŽƵůĚŶŽƚĐƌĞĂƚĞŽƌĐŽŶƚƌŝďƵƚĞƌƵŶŽĨĨǁĂƚĞƌƚŚĂƚǁŽƵůĚĞǆĐĞĞĚƚŚĞĐĂƉĂĐŝƚǇŽĨĞǆŝƐƚŝŶŐŽƌƉůĂŶŶĞĚ ƐƚŽƌŵ ǁĂƚĞƌĚƌĂŝŶĂŐĞƐǇƐƚĞŵƐŽƌƉƌŽǀŝĚĞĂĚĚŝƚŝŽŶĂůƐŽƵƌĐĞƐŽĨƉŽůůƵƚĞĚƌƵŶŽĨĨ͘ dŚĞKŶƚĂƌŝŽ'W
/ZĐŽŶĐůƵĚĞĚƚŚĂƚƐƵĨĨŝĐŝĞŶƚƐƚŽƌŵǁĂƚĞƌŝŶĨƌĂƐƚƌƵĐƚƵƌĞĞǆŝƐƚƐƚŽƐĞƌǀŝĐĞƚŚĞďƵŝůĚŽƵƚŽĨ ƚŚĞKŶƚĂƌŝŽ'WǁŚŝůĞƉƌŽũĞĐƚŝŶŐƚŚĞĚĞǀĞůŽƉŵĞŶƚŽĨŶĞǁƐƚŽƌŵǁĂƚĞƌĨĂĐŝůŝƚŝĞƐŝŶƵŶĚĞǀĞůŽƉĞĚ ĂƌĞĂƐ͘dŚĞ WƌŽũĞĐƚǁŽƵůĚ ŽĐĐƵƉǇĂƉŽƌƚŝŽŶ ŽĨƚŚĞŝƚǇǁŚŝĐŚŚĂƐďĞĞŶƉƌĞǀŝŽƵƐůǇĚĞǀĞůŽƉĞĚ ǁŝƚŚĐƵƌƌĞŶƚŝŶĚƵƐƚƌŝĂů ƵƐĞƐ͘dŚĞWƌŽũĞĐƚǁŽƵůĚŶŽƚƌĞƋƵŝƌĞƚŚĞĚĞǀĞůŽƉŵĞŶƚŽĨĂĚĚŝƚŝŽŶĂůƐƚŽƌŵǁĂƚĞƌĨĂĐŝůŝƚŝĞƐ͘ƐĚŝƐĐƵƐƐĞĚŝŶ ^ĞĐƚŝŽŶϰ͘ϵ͕,ǇĚƌŽůŽŐǇĂŶĚtĂƚĞƌYƵĂůŝƚǇ͕ƚŚĞWƌŽũĞĐƚǁŽƵůĚďĞƌĞƋƵŝƌĞĚƚŽĐŽŵƉůǇǁŝƚŚĂŶĂĚŽƉƚĞĚ EW
^ĂŶĚĂƐƐŽĐŝĂƚĞĚ^tWWWĐŽŶƚĂŝŶŝŶŐDWƐŵĞĂŶƚƚŽŵŝŶŝŵŝǌĞŝŵƉĂĐƚƐĨƌŽŵĚƌĂŝŶĂŐĞ͘ &ƵƌƚŚĞƌŵŽƌĞ͕ĂƐƉƌĞǀŝŽƵƐůǇ ĂĚĚƌĞƐƐĞĚ͕ƚŚĞWƌŽũĞĐƚǁŽƵůĚ ďĞ ƌĞƋƵŝƌĞĚƚŽ ƉƌĞƉĂƌĞĂ^tWWW ƚŚĂƚĚĞƚĂŝůƐ ĐŽŶƐƚƌƵĐƚŝŽŶĂŶĚƉŽƐƚͲĐŽŶƐƚƌƵĐƚŝŽŶŵĞĂƐƵƌĞƐƚŽĐŽŶƚƌŽůƐƵƌĨĂĐĞƌƵŶŽĨĨŝŶĂŵĂŶŶĞƌƚŚĂƚŝƐĐŽŶƐŝƐƚĞŶƚǁŝƚŚ ŵĂƐƚĞƌƉůĂŶŶŝŶŐĞĨĨŽƌƚƐ͘dŚĞƌĞĨŽƌĞ͕ĂƐƐŽĐŝĂƚĞĚŝŵƉĂĐƚƐĂƌĞĐŽŶƐŝĚĞƌĞĚůĞƐƐƚŚĂŶƐŝŐŶŝĨŝĐĂŶƚǁŝƚŚŵŝƚŝŐĂƚŝŽŶ ϮϰKŶƚĂƌŝŽDƵŶŝĐŝƉĂů hƚŝůŝƚŝĞƐ ŽŵƉĂŶǇ;ϮϬϭϲͿ͘ϮϬϭϱhƌďĂŶtĂƚĞƌDĂŶĂŐĞŵĞŶƚWůĂŶ͘ƉƉĞŶĚŝǆ ͘WĂŐĞϭϲ͘ZĞƚƌŝĞǀĞĚĨƌŽŵ͗ ŚƚƚƉƐ͗ͬͬǁǁǁ͘ŽŶƚĂƌŝŽĐĂ͘ŐŽǀͬƐŝƚĞƐͬĚĞĨĂƵůƚͬĨŝůĞƐͬKŶƚĂƌŝŽͲ&ŝůĞƐͬDƵŶŝĐŝƉĂůͲhƚŝůŝƚŝĞƐͲŽŵƉĂŶǇͬϮϬϭϱͺƵƌďĂŶͺǁĂƚĞƌͺŵĂŶĂŐĞŵĞŶƚͺƉůĂŶͺƵƉĚĂƚĞͺϵͲ ϭϴͲϮϬϭϴ͘ƉĚĨ;ĂĐĐĞƐƐĞĚƵŐƵƐƚϵ͕ϮϬϮϭͿ
314
(QYLURQPHQWDO,PSDFW$QDO\VLV
dŚĞKŶƚĂƌŝŽWůĂŶ
/Z ϳϱ ŽŶsŝĞǁWƌŽũĞĐƚ
ĚĚĞŶĚƵŵƚŽƚŚĞ&ŝŶĂů
ŶǀŝƌŽŶŵĞŶƚĂů/ŵƉĂĐƚZĞƉŽƌƚ
ĂƉƉůŝĞĚ͘ ĐĐŽƌĚŝŶŐůǇ͕ ŶŽ ŶĞǁ Žƌ ŵŽƌĞ ƐĞǀĞƌĞŝŵƉĂĐƚ ĨƌŽŵ Ă ƉƌĞǀŝŽƵƐůǇ ŝĚĞŶƚŝĨŝĞĚ ƐŝŐŶŝĨŝĐĂŶƚ ŝŵƉĂĐƚ ĞǀĂůƵĂƚĞĚŝŶƚŚĞKŶƚĂƌŝŽ'W
/ZǁŽƵůĚŽĐĐƵƌ͘
DŝƚŝŐĂƚŝŽŶWƌŽŐƌĂŵ
DŝƚŝŐĂƚŝŽŶDĞĂƐƵƌĞƐĨƌŽŵƚŚĞKŶƚĂƌŝŽ'W
/Z
dŚĞKŶƚĂƌŝŽ 'W
/ZŝĚĞŶƚŝĨŝĞĚ ŵŝƚŝŐĂƚŝŽŶŵĞĂƐƵƌĞƐϭϳͲϭ͕ϭϳͲϮ͕ ĂŶĚ ϭϳͲϯ ƚŽ ƌĞĚƵĐĞ ƉŽƚĞŶƚŝĂů ŝŵƉĂĐƚƐ͘ ,ŽǁĞǀĞƌĂůůŽĨ ƚŚĞƐĞŵŝƚŝŐĂƚŝŽŶŵĞĂƐƵƌĞƐ;ϭϳͲϭƚŚƌŽƵŐŚϭϳͲϯͿĂƌĞŝŵƉŽƐĞĚƐŽůĞůǇŽŶ ƚŚĞŝƚǇ͕ĂŶĚ ĂƌĞ ƚŚĞƌĞĨŽƌĞŶŽƚĂƉƉůŝĐĂďůĞƚŽƚŚĞWƌŽũĞĐƚ͘
ŽŶĐůƵƐŝŽŶ
dŚĞWƌŽũĞĐƚǁŽƵůĚƌĞƐƵůƚŝŶŶŽŶĞǁŽƌŵŽƌĞƐĞǀĞƌĞŶĞǁŝŵƉĂĐƚĂƐŝƚƉĞƌƚĂŝŶƐƚŽƉůĂĐĞŵĞŶƚŽĨƵƚŝůŝƚŝĞƐĂŶĚ ƐĞǁĞƌƐǇƐƚĞŵƐ͘ĚĚŝƚŝŽŶĂůůǇ͕ŶŽŶĞǁŝŶĨŽƌŵĂƚŝŽŶŽĨƐƵďƐƚĂŶƚŝĂůŝŵƉŽƌƚĂŶĐĞƚŚĂƚǁĂƐŶŽƚŬŶŽǁŶĂŶĚĐŽƵůĚ ŶŽƚŚĂǀĞďĞĞŶŬŶŽǁŶĂƚƚŚĞƚŝŵĞƚŚĞKŶƚĂƌŝŽ'W
/ZǁĂƐĐĞƌƚŝĨŝĞĚŝƐĂǀĂŝůĂďůĞƚŚĂƚǁŽƵůĚŝŵƉĂĐƚƚŚĞƉƌŝŽƌ ĨŝŶĚŝŶŐŽĨŶŽƐŝŐŶŝĨŝĐĂŶƚŝŵƉĂĐƚ͘
dŚƌĞƐŚŽůĚ;ĐͿ tŽƵůĚĞǆĐĞĞĚǁĂƐƚĞǁĂƚĞƌƚƌĞĂƚŵĞŶƚƌĞƋƵŝƌĞŵĞŶƚƐŽĨƚŚĞĂƉƉůŝĐĂďůĞZĞŐŝŽŶĂůtĂƚĞƌ YƵĂůŝƚǇŽŶƚƌŽůŽĂƌĚ͍΀KŶƚĂƌŝŽ'W
/Z/ŵƉĂĐƚϱ͘ϭϳͲϮ΁΀EŽƚŝŶĐůƵĚĞĚƚŚĞϮϬϮϭ
Y
ƉƉĞŶĚŝǆ'dŚƌĞƐŚŽůĚƐ΁
dŚƌĞƐŚŽůĚ;ĚͿ tŽƵůĚƌĞƐƵůƚŝŶĂĚĞƚĞƌŵŝŶĂƚŝŽŶďǇƚŚĞǁĂƐƚĞǁĂƚĞƌƚƌĞĂƚŵĞŶƚƉƌŽǀŝĚĞƌǁŚŝĐŚƐĞƌǀĞƐŽƌ ŵĂǇƐĞƌǀĞƚŚĞƉƌŽũĞĐƚƚŚĂƚŝƚŚĂƐŝŶĂĚĞƋƵĂƚĞĐĂƉĂĐŝƚǇƚŽƐĞƌǀĞƚŚĞƉƌŽũĞĐƚΖƐƉƌŽũĞĐƚĞĚ ĚĞŵĂŶĚ ŝŶ ĂĚĚŝƚŝŽŶ ƚŽ ƚŚĞ ƉƌŽǀŝĚĞƌΖƐ ĞǆŝƐƚŝŶŐ ĐŽŵŵŝƚŵĞŶƚƐ͍ ΀KŶƚĂƌŝŽ 'W /Z
/ŵƉĂĐƚϱ͘ϭϳͲϮ΁
EŽEĞǁŽƌDŽƌĞ^ĞǀĞƌĞ/ŵƉĂĐƚ͗^ĞĞĚŝƐĐƵƐƐŝŽŶĨŽƌdŚƌĞƐŚŽůĚ;ĂͿĂďŽǀĞ͘dŚĞŝƚǇŝƐĂŵĞŵďĞƌĂŐĞŶĐǇŽĨ ƚŚĞ/
h͕ǁŚŝĐŚƉƌŽǀŝĚĞƐƚŚĞŝƚǇĐŽŶƚƌĂĐƚŝŶŐƉƌŝǀŝůĞŐĞƐǁŝƚŚƚŚĞ/ hĨŽƌŽĨĨͲƐŝƚĞĐŽůůĞĐƚŝŽŶ͕ƚƌĞĂƚŵĞŶƚ͕
ĚŝƐƉŽƐĂů͕ĂŶĚƌĞƵƐĞ͘dŚĞKŶƚĂƌŝŽ'W
/ZĐŽŶĐůƵĚĞĚƚŚĂƚƚŚĞďƵŝůĚŽƵƚ ŽĨƚŚĞKŶƚĂƌŝŽ'WǁŽƵůĚ ŐĞŶĞƌĂƚĞ ĂƉƉƌŽǆŝŵĂƚĞůǇ ϱϲ͘ϰ ŵŝůůŝŽŶ ŐĂůůŽŶƐ ƉĞƌ ĚĂǇ ;ŵŐĚͿ ŽĨ ǁĂƐƚĞǁĂƚĞƌ͘ dŚĞŝƚǇ ŚĂƐ Ă ƚŽƚĂů ǁĂƐƚĞǁĂƚĞƌ ƚƌĞĂƚŵĞŶƚĐĂƉĂĐŝƚǇŽĨϭϬϴŵŐĚ͘
dŚĞǁĂƐƚĞǁĂƚĞƌŐĞŶĞƌĂƚĞĚďǇƚŚĞWƌŽũĞĐƚǁŽƵůĚďĞĂƉƉƌŽǆŝŵĂƚĞůǇϭϴ͕ϴϳϱŐĂůůŽŶƐƉĞƌĚĂǇŽƌϬ͘ϬϭϵŵŐĚ ďĂƐĞĚŽŶ ǁĂƐƚĞǁĂƚĞƌŐĞŶĞƌĂƚŝŽŶƌĂƚĞƐƉƌĞǀŝŽƵƐůǇĂƉƉƌŽǀĞĚďǇ / h;Ϯ͕ϱϬϬŐĂůůŽŶƐƉĞƌĚĂǇƉĞƌĂĐƌĞĨŽƌ
ŝŶĚƵƐƚƌŝĂůƵƐĞͿ͘dŚŝƐƌĞƉƌĞƐĞŶƚƐĂŶŽŵŝŶĂůŝŶĐƌĞĂƐĞŝŶǁĂƐƚĞǁĂƚĞƌŐĞŶĞƌĂƚŝŽŶĂŶĚŝƐǁŝƚŚŝŶƚŚĞĂƐƐƵŵƉƚŝŽŶƐ ŽĨƚŚĞƉƌĞǀŝŽƵƐĂŶĂůǇƐŝƐĐŽŶƚĂŝŶĞĚǁŝƚŚŝŶƚŚĞKŶƚĂƌŝŽ'W /Z͘EŽƐŝŐŶŝĨŝĐĂŶƚŝŵƉĂĐƚƐĂƌĞĂŶƚŝĐŝƉĂƚĞĚǁŝƚŚ
ƌĞƐƉĞĐƚƚŽƉƌŽǀŝĚŝŶŐĂĚĞƋƵĂƚĞǁĂƐƚĞǁĂƚĞƌĨĂĐŝůŝƚŝĞƐƚŽƐĞƌǀĞƚŚĞWƌŽũĞĐƚ͘ DŝƚŝŐĂƚŝŽŶWƌŽŐƌĂŵ
EŽŵŝƚŝŐĂƚŝŽŶǁĂƐƉƌŽƉŽƐĞĚĨŽƌƚŚŝƐŝŵƉĂĐƚŝŶƚŚĞKŶƚĂƌŝŽ'W /Z͘
ŽŶĐůƵƐŝŽŶ
dŚĞWƌŽũĞĐƚǁŽƵůĚƌĞƐƵůƚŝŶŶŽŶĞǁŽƌŵŽƌĞƐĞǀĞƌĞŝŵƉĂĐƚĂƐŝƚƉĞƌƚĂŝŶƐƚŽǁĂƐƚĞǁĂƚĞƌƚƌĞĂƚŵĞŶƚĐĂƉĂĐŝƚǇ͘ ĚĚŝƚŝŽŶĂůůǇ͕ŶŽŶĞǁŝŶĨŽƌŵĂƚŝŽŶŽĨƐƵďƐƚĂŶƚŝĂůŝŵƉŽƌƚĂŶĐĞƚŚĂƚǁĂƐŶŽƚŬŶŽǁŶĂŶĚĐŽƵůĚŶŽƚŚĂǀĞďĞĞŶ ŬŶŽǁŶĂƚƚŚĞƚŝŵĞƚŚĞKŶƚĂƌŝŽ'W
/ZǁĂƐĐĞƌƚŝĨŝĞĚŝƐĂǀĂŝůĂďůĞƚŚĂƚǁŽƵůĚŝŵƉĂĐƚƚŚĞƉƌŝŽƌĨŝŶĚŝŶŐŽĨŶŽ ƐŝŐŶŝĨŝĐĂŶƚŝŵƉĂĐƚƚŽǁĂƐƚĞǁĂƚĞƌƚƌĞĂƚŵĞŶƚƐǇƐƚĞŵƐ͘
315
(QYLURQPHQWDO,PSDFW$QDO\VLV
dŚĞKŶƚĂƌŝŽWůĂŶ
/Z ϳϲ ŽŶsŝĞǁWƌŽũĞĐƚ
ĚĚĞŶĚƵŵƚŽƚŚĞ&ŝŶĂů
ŶǀŝƌŽŶŵĞŶƚĂů/ŵƉĂĐƚZĞƉŽƌƚ
dŚƌĞƐŚŽůĚ;ĨͿ 'ĞŶĞƌĂƚĞƐŽůŝĚǁĂƐƚĞŝŶĞǆĐĞƐƐŽĨ^ƚĂƚĞŽƌůŽĐĂůƐƚĂŶĚĂƌĚƐ͕ŽƌŝŶĞǆĐĞƐƐŽĨƚŚĞĐĂƉĂĐŝƚǇ ŽĨ ůŽĐĂů ŝŶĨƌĂƐƚƌƵĐƚƵƌĞ͕ŽƌŽƚŚĞƌǁŝƐĞŝŵƉĂŝƌ ƚŚĞĂƚƚĂŝŶŵĞŶƚŽĨƐŽůŝĚǁĂƐƚĞ ƌĞĚƵĐƚŝŽŶ ŐŽĂůƐ͍΀KŶƚĂƌŝŽ'W
/Z/ŵƉĂĐƚϱ͘ϭϳͲϰ΁
dŚƌĞƐŚŽůĚ;ŐͿ ŽŵƉůǇ ǁŝƚŚ ĨĞĚĞƌĂů͕ ƐƚĂƚĞ͕ ĂŶĚ ůŽĐĂů ŵĂŶĂŐĞŵĞŶƚ ĂŶĚ ƌĞĚƵĐƚŝŽŶ ƐƚĂƚƵƚĞƐ ĂŶĚ ƌĞŐƵůĂƚŝŽŶƐƌĞůĂƚĞĚƚŽƐŽůŝĚǁĂƐƚĞ͍ ΀KŶƚĂƌŝŽ'W
/Z/ŵƉĂĐƚϱ͘ϭϳͲϰ΁
EŽEĞǁŽƌDŽƌĞ^ĞǀĞƌĞ/ŵƉĂĐƚ͗dŚĞKŶƚĂƌŝŽ'W
/ZĚĞƚĞƌŵŝŶĞĚƚŚĂƚƚŚĞKŶƚĂƌŝŽ'WǁŽƵůĚŶŽƚƌĞƐƵůƚŝŶ
ƐŝŐŶŝĨŝĐĂŶƚŝŵƉĂĐƚƐƌĞůĂƚŝǀĞƚŽƐŽůŝĚǁĂƐƚĞ͘/ŵƉůĞŵĞŶƚĂƚŝŽŶŽĨƚŚĞWƌŽũĞĐƚǁŽƵůĚďĞĞǆƉĞĐƚĞĚƚŽŐĞŶĞƌĂƚĞ ĂĚĚŝƚŝŽŶĂů ǁĂƐƚĞ ĚƵƌŝŶŐ ƚŚĞ ƚĞŵƉŽƌĂƌǇ͕ ƐŚŽƌƚͲƚĞƌŵ ĐŽŶƐƚƌƵĐƚŝŽŶ ƉŚĂƐĞ͕ ĂƐ ǁĞůů ĂƐ ƚŚĞ ůŽŶŐͲƚĞƌŵ ŽƉĞƌĂƚŝŽŶĂůƉŚĂƐĞ͘
^ŽůŝĚ ǁĂƐƚĞƐĞƌǀŝĐĞ ĨŽƌ ƚŚĞ ŝƚǇŝƐ ƉƌŽǀŝĚĞĚ ďǇ ƚŚĞ ů ^ŽďƌĂŶƚĞ >ĂŶĚĨŝůů ůŽĐĂƚĞĚ ƐŽƵƚŚĞĂƐƚŽĨ ƚŚĞ ŝƚǇ͘ ĐĐŽƌĚŝŶŐƚŽƚŚĞĂůŝĨŽƌŶŝĂĞƉĂƌƚŵĞŶƚŽĨZĞƐŽƵƌĐĞƐZĞĐǇĐůŝŶŐĂŶĚZĞĐŽǀĞƌǇ;ĂůZĞĐǇĐůĞͿ͕ƚŚĞůĂŶĚĨŝůůŚĂƐ ĂŵĂǆŝŵƵŵ ƚŚƌŽƵŐŚƉƵƚ ŽĨ ϭϲ͕Ϭϱϰ ƚŽŶƐ ƉĞƌ ĚĂǇ͘ dŚŝƐ ůĂŶĚĨŝůů ŚĂƐ ĂŵĂǆŝŵƵŵ ƉĞƌŵŝƚƚĞĚ ĐĂƉĂĐŝƚǇ ŽĨ ĂƉƉƌŽǆŝŵĂƚĞůǇϮϬϵ͘ϵŵŝůůŝŽŶĐƵďŝĐ ǇĂƌĚƐ͕ĂŶĚƚŚĞůĂŶĚĨŝůů ŚĂƐĂƌĞŵĂŝŶŝŶŐĐĂƉĂĐŝƚǇŽĨĂƉƉƌŽǆŝŵĂƚĞůǇϭϰϰ ŵŝůůŝŽŶĐƵďŝĐǇĂƌĚƐ͘dŚĞůĂŶĚĨŝůůŚĂƐĂŶĞǆƉĞĐƚĞĚŽƉĞƌĂƚŝŽŶĂůůŝĨĞƚŚƌŽƵŐŚϮϬϱϭ͘Ϯϱ ĐĐŽƌĚŝŶŐ ƚŽ ƚŚĞ KŶƚĂƌŝŽ 'W
/Z͕ƚƌĂƐŚ ŝƐ ŐĞŶĞƌĂƚĞĚĂƚ Ă ƌĂƚĞ ŽĨ ϭ͘ϴϱ ƚŽŶƐ ƉĞƌ ĞŵƉůŽǇĞĞ ƉĞƌ ǇĞĂƌ ;ƚŽŶƐͬĞŵƉůŽǇĞĞͬǇĞĂƌͿ͘ ĐĐŽƌĚŝŶŐ ƚŽ ƚŚĞ ^'
ŵƉůŽǇŵĞŶƚ ĞŶƐŝƚǇ ^ƚƵĚǇ͕ ǁĂƌĞŚŽƵƐĞ ƵƐĞƐ ŝŶ ^ĂŶ
ĞƌŶĂƌĚŝŶŽ ŽƵŶƚǇ ŐĞŶĞƌĂƚĞĞŵƉůŽǇĞĞƐ ĂƚĂ ƌĂƚĞ ŽĨ ŽŶĞ ĞŵƉůŽǇĞĞ ĞǀĞƌǇ Ϯ͕ϭϭϭ ƐƋƵĂƌĞĨĞĞƚ͘ &Žƌ ƚŚĞ ϭϳϰ͕ϲϬϯƐƋƵĂƌĞĨŽŽƚǁĂƌĞŚŽƵƐĞƚŚĂƚǁŽƵůĚĂŵŽƵŶƚƚŽĂƉƉƌŽǆŝŵĂƚĞůǇϴϮĞŵƉůŽǇĞĞƐ͘dŚĞƐĞϴϮĞŵƉůŽǇĞĞƐ ǁŽƵůĚ ƚŚĞƌĞĨŽƌĞŐĞŶĞƌĂƚĞĂƉƉƌŽǆŝŵĂƚĞůǇϭϱϯƚŽŶƐ ŽĨ ƐŽůŝĚ ǁĂƐƚĞ͘dŚŝƐ ĂŵŽƵŶƚƐƚŽ ĂƉƉƌŽǆŝŵĂƚĞůǇ ŽŶĞ ƉĞƌĐĞŶƚŽĨƚŚĞ
ů ^ŽďƌĂŶƚĞĚĂŝůǇƚŚƌŽƵŐŚƉƵƚ͘&ƵƌƚŚĞƌŵŽƌĞ͕ƚŚĞWƌŽũĞĐƚǁŽƵůĚ ŽĐĐƵƉǇ ĂŶĂƌĞĂĐƵƌƌĞŶƚůǇ ŽĐĐƵƉŝĞĚďǇĂƐŝŵŝůĂƌƵƐĞ͘dŚĞƌĞŵŽǀĂůĂŶĚƌĞƉůĂĐĞŵĞŶƚŽĨƚŚĂƚƵƐĞǁŽƵůĚĨƵƌƚŚĞƌŵŝŶŝŵŝǌĞƚŚĞĂĚĚŝƚŝŽŶĂů ƐŽůŝĚǁĂƐƚĞŐĞŶĞƌĂƚĞĚďǇƚŚĞWƌŽũĞĐƚ͘
ĚĚŝƚŝŽŶĂůůǇ͕ƚŚĞWƌŽũĞĐƚ͕ĂƐǁŝƚŚĂůůŽƚŚĞƌĚĞǀĞůŽƉŵĞŶƚ ŝŶƚŚĞŝƚǇ͕ǁŽƵůĚďĞƌĞƋƵŝƌĞĚƚŽĂĚŚĞƌĞƚŽŝƚǇ ŽƌĚŝŶĂŶĐĞƐǁŝƚŚƌĞƐƉĞĐƚƚŽǁĂƐƚĞƌĞĚƵĐƚŝŽŶĂŶĚƌĞĐǇĐůŝŶŐ͘ƐĂƌĞƐƵůƚ͕ŶŽŝŵƉĂĐƚƐƌĞůĂƚĞĚƚŽ^ƚĂƚĞĂŶĚ ůŽĐĂůƐƚĂƚƵƚĞƐŐŽǀĞƌŶŝŶŐƐŽůŝĚ ǁĂƐƚĞĂƌĞĂŶƚŝĐŝƉĂƚĞĚĂŶĚŶŽŵŝƚŝŐĂƚŝŽŶŝƐƌĞƋƵŝƌĞĚ͘ŽŶƐŝƐƚĞŶƚǁŝƚŚƚŚĞ KŶƚĂƌŝŽ'W
/Z͕ƚŚĞWƌŽũĞĐƚǁŽƵůĚŚĂǀĞĂůĞƐƐƚŚĂŶƐŝŐŶŝĨŝĐĂŶƚŝŵƉĂĐƚ͘ DŝƚŝŐĂƚŝŽŶWƌŽŐƌĂŵ
DŝƚŝŐĂƚŝŽŶDĞĂƐƵƌĞƐĨƌŽŵƚŚĞKŶƚĂƌŝŽ'W
/Z
EŽŵŝƚŝŐĂƚŝŽŶǁĂƐŝĚĞŶƚŝĨŝĞĚĨŽƌƚŚĞKŶƚĂƌŝŽ'W
/Z͘
ŽŶĐůƵƐŝŽŶ
dŚĞ WƌŽũĞĐƚǁŽƵůĚ ƌĞƐƵůƚŝŶ ŶŽ ŶĞǁ ŽƌŵŽƌĞƐĞǀĞƌĞŝŵƉĂĐƚ ĂƐŝƚ ƉĞƌƚĂŝŶƐƚŽ ĐŽŶĨůŝĐƚ ǁŝƚŚ ƐŽůŝĚ ǁĂƐƚĞ ƐƚĂŶĚĂƌĚƐĂŶĚ ƌĞŐƵůĂƚŝŽŶƐ͘ĚĚŝƚŝŽŶĂůůǇ͕ ŶŽ ŶĞǁ ŝŶĨŽƌŵĂƚŝŽŶ ŽĨ ƐƵďƐƚĂŶƚŝĂůŝŵƉŽƌƚĂŶĐĞ ƚŚĂƚ ǁĂƐŶŽƚ ŬŶŽǁŶĂŶĚĐŽƵůĚŶŽƚŚĂǀĞďĞĞŶŬŶŽǁŶĂƚƚŚĞƚŝŵĞƚŚĞKŶƚĂƌŝŽ'W /ZǁĂƐĐĞƌƚŝĨŝĞĚŝƐĂǀĂŝůĂďůĞƚŚĂƚǁŽƵůĚ
ŝŵƉĂĐƚƚŚĞƉƌŝŽƌĨŝŶĚŝŶŐŽĨŶŽƐŝŐŶŝĨŝĐĂŶƚŝŵƉĂĐƚƚŽƐŽůŝĚǁĂƐƚĞŐĞŶĞƌĂƚŝŽŶ͘ ϮϱĂůZĞĐǇĐůĞ͘ϮϬϮϭ͘
ů^ŽďƌĂŶƚĞ>ĂŶĚĨŝůů͘ ŚƚƚƉƐ͗ͬͬǁǁǁϮ͘ĐĂůƌĞĐǇĐůĞ͘ĐĂ͘ŐŽǀͬ^ŽůŝĚtĂƐƚĞͬ^ŝƚĞĐƚŝǀŝƚǇͬĞƚĂŝůƐͬϮϮϴϬ͍ƐŝƚĞ/сϮϰϬϮ ;ĐĐĞƐƐĞĚƵŐƵƐƚϵ͕ϮϬϮϭͿ͘
316
(QYLURQPHQWDO,PSDFW$QDO\VLV
dŚĞKŶƚĂƌŝŽWůĂŶ
/Z ϳϳ ŽŶsŝĞǁWƌŽũĞĐƚ
ĚĚĞŶĚƵŵƚŽƚŚĞ&ŝŶĂů
ŶǀŝƌŽŶŵĞŶƚĂů/ŵƉĂĐƚZĞƉŽƌƚ
KǀĞƌĂůůhƚŝůŝƚǇĂŶĚ^ĞƌǀŝĐĞ^ǇƐƚĞŵƐ/ŵƉĂĐƚŽŶĐůƵƐŝŽŶ
tŝƚŚƌĞŐĂƌĚƚŽ
Y^ƚĂƚƵƚĞ^ĞĐƚŝŽŶϮϭϭϲϲĂŶĚ
Y'ƵŝĚĞůŝŶĞƐ^ĞĐƚŝŽŶϭϱϭϲϮ;ĂͿ͕ƚŚĞĐŚĂŶŐĞƐƉƌŽƉŽƐĞĚ
ďǇƚŚĞWƌŽũĞĐƚǁŽƵůĚŶŽƚƌĞƐƵůƚŝŶĂŶǇŶĞǁŽƌŵŽƌĞƐĞǀĞƌĞŝŵƉĂĐƚƐĨƌŽŵƚŚĞƉƌĞǀŝŽƵƐůǇŝĚĞŶƚŝĨŝĞĚŝŵƉĂĐƚƐ ǁŝƚŚƌĞƐƉĞĐƚƚŽƵƚŝůŝƚŝĞƐĂŶĚƐĞƌǀŝĐĞƐǇƐƚĞŵƐ͘dŚĞƌĞĨŽƌĞ͕ƉƌĞƉĂƌĂƚŝŽŶŽĨĂŶ^ /ZŝƐŶŽƚǁĂƌƌĂŶƚĞĚ͘

317
(QYLURQPHQWDO,PSDFW$QDO\VLV
dŚĞKŶƚĂƌŝŽWůĂŶ
/Z ϳϴ ŽŶsŝĞǁWƌŽũĞĐƚ
ĚĚĞŶĚƵŵƚŽƚŚĞ&ŝŶĂů
ŶǀŝƌŽŶŵĞŶƚĂů/ŵƉĂĐƚZĞƉŽƌƚ
ϰ͘ϭϴ dƌŝďĂůƵůƚƵƌĂůZĞƐŽƵƌĐĞƐ
dŚĞƌĞǀŝƐĞĚ
Y'ƵŝĚĞůŝŶĞƐŝŶĐůƵĚĞĂŶĞǁƐĞƉĂƌĂƚĞĚŝƐĐƵƐƐŝŽŶĨŽƌdƌŝďĂůƵůƚƵƌĂůZĞƐŽƵƌĐĞƐ;dZƐͿ͘dŚŝƐ ƐĞĐƚŝŽŶďƌŝĞĨůǇĞǆĂŵŝŶĞƐƉŽƚĞŶƚŝĂůŝŵƉĂĐƚƐƌĞůĂƚĞĚƚŽdZƐƚŚĂƚĐŽƵůĚƌĞƐƵůƚĨƌŽŵŝŵƉůĞŵĞŶƚĂƚŝŽŶŽĨƚŚĞ WƌŽũĞĐƚ͘dŚĞĂŶĂůǇƐŝƐŝƐďĂƐĞĚƉƌŝŵĂƌŝůǇŽŶĐŽŶĨŝĚĞŶƚŝĂůĐƵůƚƵƌĂůƌĞƐŽƵƌĐĞƐƚƵĚŝĞƐĐŽŶĚƵĐƚĞĚĨŽƌƚŚĞWƌŽũĞĐƚ͘ WƵďůŝĐZĞƐŽƵƌĐĞŽĚĞ;WZͿůĂŶŐƵĂŐĞƌĞůĞǀĂŶƚƚŽƚŚĞdZƚŚƌĞƐŚŽůĚƐŝƐďĞůŽǁ͗ WZ^ĞĐƚŝŽŶϮϭϬϳϰĚĞĨŝŶĞƐĂdZĂƐĨŽůůŽǁƐ͗
;ĂͿ ͞dƌŝďĂůĐƵůƚƵƌĂůƌĞƐŽƵƌĐĞƐ͟ĂƌĞĞŝƚŚĞƌŽĨƚŚĞĨŽůůŽǁŝŶŐ͗ ;ϭͿ ^ŝƚĞƐ͕ĨĞĂƚƵƌĞƐ͕ƉůĂĐĞƐ͕ĐƵůƚƵƌĂůůĂŶĚƐĐĂƉĞƐ͕ƐĂĐƌĞĚƉůĂĐĞƐ͕ĂŶĚŽďũĞĐƚƐǁŝƚŚĐƵůƚƵƌĂůǀĂůƵĞƚŽĂ ĂůŝĨŽƌŶŝĂEĂƚŝǀĞŵĞƌŝĐĂŶƚƌŝďĞƚŚĂƚĂƌĞĞŝƚŚĞƌŽĨƚŚĞĨŽůůŽǁŝŶŐ͗ ;Ϳ /ŶĐůƵĚĞĚŽƌĚĞƚĞƌŵŝŶĞĚƚŽďĞĞůŝŐŝďůĞĨŽƌŝŶĐůƵƐŝŽŶŝŶƚŚĞĂůŝĨŽƌŶŝĂZĞŐŝƐƚĞƌŽĨ,ŝƐƚŽƌŝĐĂů ZĞƐŽƵƌĐĞƐ͘
;Ϳ /ŶĐůƵĚĞĚŝŶĂůŽĐĂůƌĞŐŝƐƚĞƌŽĨŚŝƐƚŽƌŝĐĂůƌĞƐŽƵƌĐĞƐĂƐĚĞĨŝŶĞĚ ŝŶ ƐƵďĚŝǀŝƐŝŽŶ;ŬͿŽĨ^ĞĐƚŝŽŶ ϱϬϮϬ͘ϭ͘
;ϮͿ ƌĞƐŽƵƌĐĞĚĞƚĞƌŵŝŶĞĚďǇ ƚŚĞůĞĂĚ ĂŐĞŶĐǇ͕ŝŶ ŝƚƐĚŝƐĐƌĞƚŝŽŶĂŶĚ ƐƵƉƉŽƌƚĞĚ ďǇ ƐƵďƐƚĂŶƚŝĂů ĞǀŝĚĞŶĐĞ͕ƚŽďĞƐŝŐŶŝĨŝĐĂŶƚƉƵƌƐƵĂŶƚƚŽĐƌŝƚĞƌŝĂƐĞƚĨŽƌƚŚŝŶ ƐƵďĚŝǀŝƐŝŽŶ;ĐͿŽĨ^ĞĐƚŝŽŶϱϬϮϰ͘ϭ͘/Ŷ ĂƉƉůǇŝŶŐ ƚŚĞĐƌŝƚĞƌŝĂƐĞƚĨŽƌƚŚ ŝŶ ƐƵďĚŝǀŝƐŝŽŶ ;ĐͿŽĨ ^ĞĐƚŝŽŶ ϱϬϮϰ͘ϭĨŽƌ ƚŚĞƉƵƌƉŽƐĞƐŽĨ ƚŚŝƐ ƉĂƌĂŐƌĂƉŚ͕ƚŚĞ ůĞĂĚ ĂŐĞŶĐǇƐŚĂůů ĐŽŶƐŝĚĞƌ ƚŚĞ ƐŝŐŶŝĨŝĐĂŶĐĞŽĨ ƚŚĞ ƌĞƐŽƵƌĐĞƚŽ Ă ĂůŝĨŽƌŶŝĂ EĂƚŝǀĞŵĞƌŝĐĂŶƚƌŝďĞ͘
;ďͿ ĐƵůƚƵƌĂůůĂŶĚƐĐĂƉĞƚŚĂƚŵĞĞƚƐƚŚĞĐƌŝƚĞƌŝĂŽĨƐƵďĚŝǀŝƐŝŽŶ;ĂͿĂďŽǀĞŝƐĂƚƌŝďĂůĐƵůƚƵƌĂůƌĞƐŽƵƌĐĞƚŽ ƚŚĞ ĞǆƚĞŶƚƚŚĂƚƚŚĞ ůĂŶĚƐĐĂƉĞŝƐŐĞŽŐƌĂƉŚŝĐĂůůǇĚĞĨŝŶĞĚ ŝŶ ƚĞƌŵƐŽĨ ƚŚĞƐŝǌĞĂŶĚ ƐĐŽƉĞŽĨ ƚŚĞ ůĂŶĚƐĐĂƉĞ͘
;ĐͿ ŚŝƐƚŽƌŝĐĂůƌĞƐŽƵƌĐĞĚĞƐĐƌŝďĞĚŝŶ^ĞĐƚŝŽŶϮϭϬϴϰ͘ϭ͕ĂƵŶŝƋƵĞĂƌĐŚĂĞŽůŽŐŝĐĂůƌĞƐŽƵƌĐĞĂƐĚĞĨŝŶĞĚŝŶ ƐƵďĚŝǀŝƐŝŽŶ ;ŐͿ ŽĨ ^ĞĐƚŝŽŶ ϮϭϬϴϯ͘Ϯ͕ Žƌ Ă ͞ŶŽŶƵŶŝƋƵĞ ĂƌĐŚĂĞŽůŽŐŝĐĂů ƌĞƐŽƵƌĐĞ͟ ĂƐ ĚĞĨŝŶĞĚ ŝŶ ƐƵďĚŝǀŝƐŝŽŶ ;ŚͿŽĨ ^ĞĐƚŝŽŶϮϭϬϴϯ͘ϮŵĂǇĂůƐŽďĞĂƚƌŝďĂůĐƵůƚƵƌĂůƌĞƐŽƵƌĐĞŝĨ ŝƚĐŽŶĨŽƌŵƐǁŝƚŚƚŚĞ ĐƌŝƚĞƌŝĂŽĨƐƵďĚŝǀŝƐŝŽŶ;ĂͿ͘
^ƵďĚŝǀŝƐŝŽŶ ;ŬͿŽĨWZ^ĞĐƚŝŽŶϱϬϮϬ͘ϭŝƐĂƐĨŽůůŽǁƐ͗
;ŬͿ ͞>ŽĐĂů ƌĞŐŝƐƚĞƌ ŽĨ ŚŝƐƚŽƌŝĐĂů ƌĞƐŽƵƌĐĞƐ͟ŵĞĂŶƐ Ă ůŝƐƚ ŽĨ ƉƌŽƉĞƌƚŝĞƐ ŽĨĨŝĐŝĂůůǇ ĚĞƐŝŐŶĂƚĞĚ Žƌ ƌĞĐŽŐŶŝǌĞĚ ĂƐŚŝƐƚŽƌŝĐĂůůǇ ƐŝŐŶŝĨŝĐĂŶƚ ďǇ Ă ůŽĐĂů ŐŽǀĞƌŶŵĞŶƚ ƉƵƌƐƵĂŶƚ ƚŽ Ă ůŽĐĂů ŽƌĚŝŶĂŶĐĞ Žƌ ƌĞƐŽůƵƚŝŽŶ͘
^ƵďĚŝǀŝƐŝŽŶ ;ĐͿŽĨWZ^ĞĐƚŝŽŶϱϬϮϰ͘ϭŝƐĂƐĨŽůůŽǁƐ͗
;ĐͿ ƌĞƐŽƵƌĐĞŵĂǇďĞůŝƐƚĞĚĂƐĂŶŚŝƐƚŽƌŝĐĂůƌĞƐŽƵƌĐĞŝŶƚŚĞĂůŝĨŽƌŶŝĂZĞŐŝƐƚĞƌŝĨŝƚŵĞĞƚƐĂŶǇŽĨƚŚĞ ĨŽůůŽǁŝŶŐEĂƚŝŽŶĂůZĞŐŝƐƚĞƌŽĨ,ŝƐƚŽƌŝĐWůĂĐĞƐĐƌŝƚĞƌŝĂ͗ ;ϭͿ /ƐĂƐƐŽĐŝĂƚĞĚǁŝƚŚĞǀĞŶƚƐƚŚĂƚŚĂǀĞŵĂĚĞĂƐŝŐŶŝĨŝĐĂŶƚĐŽŶƚƌŝďƵƚŝŽŶƚŽƚŚĞďƌŽĂĚƉĂƚƚĞƌŶƐŽĨ ĂůŝĨŽƌŶŝĂ͛ƐŚŝƐƚŽƌǇĂŶĚĐƵůƚƵƌĂůŚĞƌŝƚĂŐĞ͘
;ϮͿ /ƐĂƐƐŽĐŝĂƚĞĚǁŝƚŚƚŚĞůŝǀĞƐŽĨƉĞƌƐŽŶƐŝŵƉŽƌƚĂŶƚŝŶŽƵƌƉĂƐƚ͘ ;ϯͿ
ŵďŽĚŝĞƐƚŚĞĚŝƐƚŝŶĐƚŝǀĞĐŚĂƌĂĐƚĞƌŝƐƚŝĐƐŽĨĂƚǇƉĞ͕ƉĞƌŝŽĚ͕ƌĞŐŝŽŶ͕ŽƌŵĞƚŚŽĚŽĨĐŽŶƐƚƌƵĐƚŝŽŶ͕ ŽƌƌĞƉƌĞƐĞŶƚƐƚŚĞǁŽƌŬŽĨĂŶŝŵƉŽƌƚĂŶƚĐƌĞĂƚŝǀĞŝŶĚŝǀŝĚƵĂů͕ŽƌƉŽƐƐĞƐƐĞƐŚŝŐŚĂƌƚŝƐƚŝĐǀĂůƵĞƐ͘ ;ϰͿ ,ĂƐǇŝĞůĚĞĚ͕ŽƌŵĂǇďĞůŝŬĞůǇƚŽǇŝĞůĚ͕ŝŶĨŽƌŵĂƚŝŽŶŝŵƉŽƌƚĂŶƚŝŶƉƌĞŚŝƐƚŽƌǇŽƌŚŝƐƚŽƌǇ͘ 318
(QYLURQPHQWDO,PSDFW$QDO\VLV
dŚĞKŶƚĂƌŝŽWůĂŶ
/Z ϳϵ ŽŶsŝĞǁWƌŽũĞĐƚ
ĚĚĞŶĚƵŵƚŽƚŚĞ&ŝŶĂů
ŶǀŝƌŽŶŵĞŶƚĂů/ŵƉĂĐƚZĞƉŽƌƚ
ϰ͘ϭϴ͘ϭ ŶĂůǇƐŝƐŽĨWƌŽƉŽƐĞĚWƌŽũĞĐƚ
tŽƵůĚƚŚĞƉƌŽũĞĐƚĐĂƵƐĞĂƐƵďƐƚĂŶƚŝĂůĂĚǀĞƌƐĞĐŚĂŶŐĞŝŶƚŚĞƐŝŐŶŝĨŝĐĂŶĐĞŽĨĂƚƌŝďĂůĐƵůƚƵƌĂůƌĞƐŽƵƌĐĞ͕ ĚĞĨŝŶĞĚŝŶWƵďůŝĐZĞƐŽƵƌĐĞƐŽĚĞƐĞĐƚŝŽŶϮϭϬϳϰĂƐĞŝƚŚĞƌĂƐŝƚĞ͕ĨĞĂƚƵƌĞ͕ƉůĂĐĞ͕ĐƵůƚƵƌĂůůĂŶĚƐĐĂƉĞƚŚĂƚ ŝƐŐĞŽŐƌĂƉŚŝĐĂůůǇĚĞĨŝŶĞĚŝŶƚĞƌŵƐŽĨƚŚĞƐŝǌĞĂŶĚƐĐŽƉĞŽĨƚŚĞůĂŶĚƐĐĂƉĞ͕ƐĂĐƌĞĚƉůĂĐĞ͕ŽƌŽďũĞĐƚǁŝƚŚ ĐƵůƚƵƌĂůǀĂůƵĞƚŽĂĂůŝĨŽƌŶŝĂEĂƚŝǀĞŵĞƌŝĐĂŶƚƌŝďĞ͕ĂŶĚƚŚĂƚŝƐ͗ dŚƌĞƐŚŽůĚ;ĂͿ >ŝƐƚĞĚŽƌĞůŝŐŝďůĞĨŽƌůŝƐƚŝŶŐŝŶƚŚĞĂůŝĨŽƌŶŝĂZĞŐŝƐƚĞƌŽĨ,ŝƐƚŽƌŝĐĂůZĞƐŽƵƌĐĞƐ͕ŽƌŝŶĂůŽĐĂů ƌĞŐŝƐƚĞƌŽĨŚŝƐƚŽƌŝĐĂůƌĞƐŽƵƌĐĞƐĂƐĚĞĨŝŶĞĚŝŶWƵďůŝĐZĞƐŽƵƌĐĞƐŽĚĞƐĞĐƚŝŽŶϱϬϮϬ͘ϭ;ŬͿ͕Žƌ dŚƌĞƐŚŽůĚ;ďͿ ƌĞƐŽƵƌĐĞĚĞƚĞƌŵŝŶĞĚďǇƚŚĞůĞĂĚĂŐĞŶĐǇ͕ŝŶŝƚƐĚŝƐĐƌĞƚŝŽŶĂŶĚƐƵƉƉŽƌƚĞĚďǇƐƵďƐƚĂŶƚŝĂů ĞǀŝĚĞŶĐĞ͕ƚŽďĞ ƐŝŐŶŝĨŝĐĂŶƚƉƵƌƐƵĂŶƚ ƚŽĐƌŝƚĞƌŝĂƐĞƚ ĨŽƌƚŚŝŶ ƐƵďĚŝǀŝƐŝŽŶ ;ĐͿŽĨ WƵďůŝĐ ZĞƐŽƵƌĐĞƐŽĚĞ^ĞĐƚŝŽŶϱϬϮϰ͘ϭ͘/ŶĂƉƉůǇŝŶŐƚŚĞĐƌŝƚĞƌŝĂƐĞƚĨŽƌƚŚŝŶƐƵďĚŝǀŝƐŝŽŶ;ĐͿŽĨ WƵďůŝĐZĞƐŽƵƌĐĞƐŽĚĞ^ĞĐƚŝŽŶϱϬϮϰ͘ϭ͕ƚŚĞůĞĂĚĂŐĞŶĐǇƐŚĂůůĐŽŶƐŝĚĞƌƚŚĞƐŝŐŶŝĨŝĐĂŶĐĞŽĨ ƚŚĞƌĞƐŽƵƌĐĞƚŽĂĂůŝĨŽƌŶŝĂEĂƚŝǀĞŵĞƌŝĐĂŶƚƌŝďĞ͍
ƵůƚƵƌĂůZĞƐŽƵƌĐĞdĞĐŚŶŝĐĂůZĞƉŽƌƚ;ZdZͿǁĂƐĐƌĞĂƚĞĚĨŽƌƚŚĞWƌŽũĞĐƚďǇ^ĂƉƉŚŽƐ ŶǀŝƌŽŶŵĞŶƚĂů͕/ŶĐ͘
ŝŶƵŐƵƐƚϮϬϮϭ͘dŚĞZdZĐƌĞĂƚŝŽŶŝŶĐůƵĚĞĚĂĐƵůƚƵƌĂůƌĞƐŽƵƌĐĞƐƌĞĐŽƌĚƐƐĞĂƌĐŚĚĞƐĐƌŝďĞĚŝŶ^ĞĐƚŝŽŶϰ͘ϱ ĂďŽǀĞ͕ƌĞĐŽŶŶĂŝƐƐĂŶĐĞͲůĞǀĞůƉĞĚĞƐƚƌŝĂŶĐƵůƚƵƌĂůƌĞƐŽƵƌĐĞƐƐƵƌǀĞǇ͕ĂŶĚ^ĂĐƌĞĚ>ĂŶĚƐ&ŝůĞ;^>&Ϳ^ĞĂƌĐŚǁŝƚŚ ƚŚĞE,͘dŚĞ ƌĞƐƵůƚŽĨ ƚŚĞ^>& ĐŚĞĐŬ ĐŽŶĚƵĐƚĞĚ ƚŚƌŽƵŐŚ ƚŚĞE, ĨŽƵŶĚ ƚŚĂƚƚŚĞƌĞǁĞƌĞƉŽƚĞŶƚŝĂů ƐĂĐƌĞĚůĂŶĚƐǁŝƚŚŝŶƚŚĞh^'^ϳ͘ϱYƵĂĚƌĂŶŐůĞƚŚĂƚƚŚĞWƌŽũĞĐƚǁĂƐǁŝƚŚŝŶ͘,ŽǁĞǀĞƌ͕ƚŚŝƐĂƌĞĂŝƐĞǆƉĂŶƐŝǀĞ͕ ĂŶĚŝƚǁĂƐĚĞĞŵĞĚƵŶůŝŬĞůǇ ƚŚĂƚĂŶǇƐĂĐƌĞĚůĂŶĚƐǁĞƌĞǁŝƚŚŝŶ ƚŚĞƐƉĞĐŝĨŝĐWƌŽũĞĐƚĂƌĞĂĚƵĞƚŽŝƚƐƐŵĂůů ƐĐĂůĞĂŶĚĚĞǀĞůŽƉĞĚŶĂƚƵƌĞ͘Ϯϲ
ƐƐĞŵďůǇŝůů ;Ϳ ϱϮ͕ ĚŽĞƐŶŽƚ ĂƉƉůǇ ƚŽ ƚŚŝƐ WƌŽũĞĐƚĂƐƚŚĞ Y ĚŽĐƵŵĞŶƚ ŝƐ ĂŶ ĚĚĞŶĚƵŵ ƚŽ ƚŚĞ
KŶƚĂƌŝŽ'W
/ZĂŶĚŶŽƚƐƵďũĞĐƚƚŽƚŚĞƉƌŽǀŝƐŝŽŶƐ ŽĨϱϮ͘&ƵƌƚŚĞƌŵŽƌĞ͕ƌĞĐŽƌĚƐĞĂƌĐŚĞƐĂŶĚƚŚĞĨŝĞůĚ ƐƵƌǀĞǇĚŝĚŶŽƚƌĞǀĞĂůƚŚĞƉƌĞƐĞŶĐĞŽĨƚƌŝďĂůĐƵůƚƵƌĂůƌĞƐŽƵƌĐĞƐŽƌďƵƌŝĂůƐŝƚĞƐǁŝƚŚŝŶƚŚĞĂƌĞĂ͘Ϯϳ

ǀŝĚĞŶĐĞĐŽůůĞĐƚĞĚĚƵƌŝŶŐƚŚĞĐƌĞĂƚŝŽŶŽĨ ƚŚĞZdZŝŶĚŝĐĂƚĞĚĂůĂĐŬŽĨ ƚƌŝďĂůĐƵůƚƵƌĂůƌĞƐŽƵƌĐĞƐ͕ƚŚĞƌĞďǇ ŵŝŶŝŵŝǌŝŶŐƉŽƚĞŶƚŝĂůĨŽƌƚŚĞĚŝƐĐŽǀĞƌǇŽĨƉƌĞǀŝŽƵƐůǇƵŶĚŽĐƵŵĞŶƚĞĚĐƵůƚƵƌĂůƌĞƐŽƵƌĐĞƐǁŝƚŚŝŶƚŚĞWƌŽũĞĐƚ ĂƌĞĂ͘ ,ŽǁĞǀĞƌ͕ ^ƚĂŶĚĂƌĚ ŽŶĚŝƚŝŽŶ EŽ͘ ϭ ĨƌŽŵ WƵďůŝĐ ZĞƐŽƵƌĐĞƐ ŽĚĞ ^ĞĐƚŝŽŶ ϱϬϵϳ͘ϵϴ ǁŽƵůĚ ďĞ ŝŵƉůĞŵĞŶƚĞĚƚŽĞŶƐƵƌĞƚŚĂƚĂŶǇ ƚƌŝďĂůĐƵůƚƵƌĂůƌĞƐŽƵƌĐĞĞŶĐŽƵŶƚĞƌĞĚĚƵƌŝŶŐWƌŽũĞĐƚĚĞǀĞůŽƉŵĞŶƚǁŽƵůĚ ďĞŚĂŶĚůĞĚĐŽƌƌĞĐƚůǇĂŶĚƌĞƐƉĞĐƚĨƵůůǇ͘ĂƐĞĚŽŶƚŚĞĂďŽǀĞ͕ĂůĞƐƐƚŚĂŶƐŝŐŶŝĨŝĐĂŶƚŝŵƉĂĐƚǁŽƵůĚŽĐĐƵƌ͘ DŝƚŝŐĂƚŝŽŶWƌŽŐƌĂŵ
DŝƚŝŐĂƚŝŽŶDĞĂƐƵƌĞƐĨƌŽŵƚŚĞKŶƚĂƌŝŽ'W
/Z
EŽ ŵŝƚŝŐĂƚŝŽŶŵĞĂƐƵƌĞƐĂƌĞ ƉƌŽƉŽƐĞĚ ǁŝƚŚŝŶ ƚŚĞ KŶƚĂƌŝŽ 'W /Z͘,ŽǁĞǀĞƌ͕ ĐŽŵƉůŝĂŶĐĞ ǁŝƚŚ WƵďůŝĐ
ZĞƐŽƵƌĐĞƐŽĚĞ^ĞĐƚŝŽŶϱϬϵϳ͘ϵϴ;^ƚĂŶĚĂƌĚŽŶĚŝƚŝŽŶEŽ͘ϭƐŚŽǁŶďĞůŽǁͿŝƐƉƌŽƉŽƐĞĚŝŶƚŚĞKŶƚĂƌŝŽ'W

/ZƚŽĞŶƐƵƌĞŶŽƐŝŐŶŝĨŝĐĂŶƚŝŵƉĂĐƚƐ͘
ŽŶĐůƵƐŝŽŶ
EŽŶĞǁŝŵƉĂĐƚƌĞůĂƚĞĚƚŽƚƌŝďĂůĐƵůƚƵƌĂůƌĞƐŽƵƌĐĞƐǁŽƵůĚŽĐĐƵƌ͘ Ϯϲ^ĂƉƉŚŽƐ
ŶǀŝƌŽŶŵĞŶƚĂů͕/ŶĐ͘;ϮϬϮϭͿ͘ϭϵϰϴ^͘ŽŶsŝĞǁǀĞŶƵĞ͕KŶƚĂƌŝŽ͕ĂůŝĨŽƌŶŝĂ ƵůƚƵƌĂů ZĞƐŽƵƌĐĞƐdĞĐŚŶŝĐĂů ZĞƉŽƌƚ͘WĂŐĞϮϱ͘ Ϯϳ/ďŝĚWĂŐĞϮϲ͘ 319
(QYLURQPHQWDO,PSDFW$QDO\VLV
dŚĞKŶƚĂƌŝŽWůĂŶ
/Z ϴϬ ŽŶsŝĞǁWƌŽũĞĐƚ
ĚĚĞŶĚƵŵƚŽƚŚĞ&ŝŶĂů
ŶǀŝƌŽŶŵĞŶƚĂů/ŵƉĂĐƚZĞƉŽƌƚ
KǀĞƌĂůůdƌŝďĂůƵůƚƵƌĂůZĞƐŽƵƌĐĞƐ/ŵƉĂĐƚƐŽŶĐůƵƐŝŽŶ
tŝƚŚƌĞŐĂƌĚƚŽ
Y^ƚĂƚƵƚĞ^ĞĐƚŝŽŶϮϭϭϲϲĂŶĚ
Y'ƵŝĚĞůŝŶĞƐ^ĞĐƚŝŽŶϭϱϭϲϮ;ĂͿ͕ƚŚĞĐŚĂŶŐĞƐƉƌŽƉŽƐĞĚ
ďǇƚŚĞWƌŽũĞĐƚǁŽƵůĚŶŽƚƌĞƐƵůƚŝŶĂŶǇŶĞǁŽƌŵŽƌĞƐĞǀĞƌĞŝŵƉĂĐƚƐǁŝƚŚƌĞƐƉĞĐƚƚŽƚƌŝďĂůĐƵůƚƵƌĂůƌĞƐŽƵƌĐĞƐ͘ dŚĞƌĞĨŽƌĞ͕ƉƌĞƉĂƌĂƚŝŽŶŽĨĂŶ^
/ZŝƐŶŽƚǁĂƌƌĂŶƚĞĚ͘

320
(QYLURQPHQWDO,PSDFW$QDO\VLV
dŚĞKŶƚĂƌŝŽWůĂŶ
/Z ϴϭ ŽŶsŝĞǁWƌŽũĞĐƚ
ĚĚĞŶĚƵŵƚŽƚŚĞ&ŝŶĂů
ŶǀŝƌŽŶŵĞŶƚĂů/ŵƉĂĐƚZĞƉŽƌƚ
ϰ͘ϭϵ
ŶĞƌŐǇ
dŚĞƌĞǀŝƐĞĚ
Y'ƵŝĚĞůŝŶĞƐŝŶĐůƵĚĞĂŶĞǁƐĞƉĂƌĂƚĞĚŝƐĐƵƐƐŝŽŶĨŽƌĞŶĞƌŐǇƌĞƐŽƵƌĐĞƐ͘dŚŝƐƐĞĐƚŝŽŶďƌŝĞĨůǇ ĞǆĂŵŝŶĞƐƉŽƚĞŶƚŝĂůŝŵƉĂĐƚƐƌĞůĂƚĞĚƚŽĞŶĞƌŐǇƌĞƐŽƵƌĐĞƐƚŚĂƚĐŽƵůĚ ƌĞƐƵůƚĨƌŽŵ ŝŵƉůĞŵĞŶƚĂƚŝŽŶŽĨ ƚŚĞ WƌŽũĞĐƚ͘
dŚƌĞƐŚŽůĚ;ĂͿ ZĞƐƵůƚŝŶƉŽƚĞŶƚŝĂůůǇƐŝŐŶŝĨŝĐĂŶƚĞŶǀŝƌŽŶŵĞŶƚĂůŝŵƉĂĐƚĚƵĞƚŽǁĂƐƚĞĨƵů͕ŝŶĞĨĨŝĐŝĞŶƚ͕Žƌ ƵŶŶĞĐĞƐƐĂƌǇ ĐŽŶƐƵŵƉƚŝŽŶ ŽĨ ĞŶĞƌŐǇ ƌĞƐŽƵƌĐĞƐ͕ ĚƵƌŝŶŐ ƉƌŽũĞĐƚ ĐŽŶƐƚƌƵĐƚŝŽŶ Žƌ ŽƉĞƌĂƚŝŽŶ͍
dŚƌĞƐŚŽůĚ;ďͿ ŽŶĨůŝĐƚǁŝƚŚŽƌŽďƐƚƌƵĐƚĂƐƚĂƚĞŽƌůŽĐĂůƉůĂŶĨŽƌƌĞŶĞǁĂďůĞĞŶĞƌŐǇŽƌĞŶĞƌŐǇĞĨĨŝĐŝĞŶĐǇ͍

ŶĞƌŐǇƵƐĂŐĞǁĂƐĂŶĂůǇǌĞĚŝŶƚŚĞKŶƚĂƌŝŽWůĂŶ
/Z^ĞĐƚŝŽŶϱ͘ϭϳ͕hƚŝůŝƚŝĞƐĂŶĚ^ĞƌǀŝĐĞ^ǇƐƚĞŵƐ͘dŚĞKŶƚĂƌŝŽ 'W
/ZĐŽŶĐůƵĚĞĚ ƚŚĂƚĂůƚŚŽƵŐŚƚŚĞďƵŝůĚŽƵƚ ĂƐƐŽĐŝĂƚĞĚǁŝƚŚƚŚĞKŶƚĂƌŝŽ'WǁŽƵůĚ ŝŶĞǀŝƚĂďůǇŝŶĐƌĞĂƐĞ ĞŶĞƌŐǇĚĞŵĂŶĚǁŝƚŚŝŶƚŚĞŝƚǇ͕ĞŶĞƌŐǇĚĞŵĂŶĚƐǁŽƵůĚďĞĂďůĞƚŽďĞĂĐĐŽŵŵŽĚĂƚĞĚďǇ ĞǆŝƐƚŝŶŐƐĞƌǀŝĐĞ ƉƌŽǀŝĚĞƌƐ^ŽƵƚŚĞƌŶĂůŝĨŽƌŶŝĂ
ĚŝƐŽŶ;^
ͿĨŽƌĞůĞĐƚƌŝĐŝƚǇĂŶĚ^ŽƵƚŚĞƌŶĂůŝĨŽƌŶŝĂ'ĂƐŽŵƉĂŶǇ;^'ͿĨŽƌ ŶĂƚƵƌĂů ŐĂƐ͘ Ɛ ǁĞůů͕ ƚŚĞ ĐŽŶƐƚƌƵĐƚŝŽŶ ŽĨ ĂĚĚŝƚŝŽŶĂů ĞŶĞƌŐǇ ŝŶĨƌĂƐƚƌƵĐƚƵƌĞǁŝƚŚŝŶ ƚŚĞ ŝƚǇ ǁŽƵůĚ ďĞ ĐŽŶĚƵĐƚĞĚďǇƚŚĞŝƚǇ͛ƐĞŶĞƌŐǇƉƌŽǀŝĚĞƌƐ͘
dŚĞWƌŽũĞĐƚǁŽƵůĚƌĞĚĞǀĞůŽƉĂƉƌĞǀŝŽƵƐůǇĚĞǀĞůŽƉĞĚƉŽƌƚŝŽŶŽĨƚŚĞŝƚǇǁŝƚŚŝŶĚƵƐƚƌŝĂůǁĂƌĞŚŽƵƐŝŶŐƵƐĞƐ͘ dŚĞƐĞƵƐĞƐǁŽƵůĚďĞĐŽŶƐŝƐƚĞŶƚǁŝƚŚƚŚĞKŶƚĂƌŝŽ'WĂŶĚƚŚĞďƵŝůĚŽƵƚĂŶĂůǇǌĞĚŝŶƚŚĞKŶƚĂƌŝŽ'W /Z͘Ɛ
ǁĞůů͕ĐŽŶƐƚƌƵĐƚŝŽŶĂŶĚ ŽƉĞƌĂƚŝŽŶŽĨƚŚĞWƌŽũĞĐƚǁŽƵůĚ ďĞ ƌĞƋƵŝƌĞĚƚŽĐŽŵƉůǇ ǁŝƚŚĂůůƌĞůĞǀĂŶƚ&ĞĚĞƌĂů͕ ^ƚĂƚĞ͕ĂŶĚůŽĐĂůƌĞŐƵůĂƚŝŽŶƐŝŶǀŽůǀŝŶŐĞŶĞƌŐǇƵƐĂŐĞ͕ŝŶĐůƵĚŝŶŐƚŚĞ͘ dŚĞWƌŽũĞĐƚŝƐŶŽƚĂŶƚŝĐŝƉĂƚĞĚƚŽƌĞƐƵůƚŝŶĂŶŝŵƉĂĐƚŽŶ ƚŚĞĞŶǀŝƌŽŶŵĞŶƚĚƵĞƚŽǁĂƐƚĞĨƵů͕ŝŶĞĨĨŝĐŝĞŶƚ͕Žƌ ƵŶŶĞĐĞƐƐĂƌǇĐŽŶƐƵŵƉƚŝŽŶŽĨ ĞŶĞƌŐǇƌĞƐŽƵƌĐĞƐ͘ůĞƐƐƚŚĂŶƐŝŐŶŝĨŝĐĂŶƚŝŵƉĂĐƚǁŽƵůĚŽĐĐƵƌĨƌŽŵ ĞŶĞƌŐǇ ĐŽŶƐƵŵƉƚŝŽŶĨƌŽŵƚŚĞWƌŽũĞĐƚŝŵƉůĞŵĞŶƚĂƚŝŽŶ͘
DŝƚŝŐĂƚŝŽŶWƌŽŐƌĂŵ
DŝƚŝŐĂƚŝŽŶDĞĂƐƵƌĞƐĨƌŽŵƚŚĞKŶƚĂƌŝŽ'W
/Z
EŽŵŝƚŝŐĂƚŝŽŶŵĞĂƐƵƌĞƐǁĞƌĞŝĚĞŶƚŝĨŝĞĚŝŶƚŚĞKŶƚĂƌŝŽ'W /Z͘
ŽŶĐůƵƐŝŽŶ
EŽŶĞǁŽƌŵŽƌĞƐŝŐŶŝĨŝĐĂŶƚŝŵƉĂĐƚĨƌŽŵĞŶĞƌŐǇĐŽŶƐƵŵƉƚŝŽŶǁŽƵůĚŽĐĐƵƌ͘ KǀĞƌĂůů
ŶĞƌŐǇ/ŵƉĂĐƚŽŶĐůƵƐŝŽŶ
tŝƚŚƌĞŐĂƌĚƚŽ
Y^ĞĐƚŝŽŶϮϭϭϲϲĂŶĚ
Y'ƵŝĚĞůŝŶĞƐ^ĞĐƚŝŽŶϭϱϭϲϮ;ĂͿ͕ƚŚĞĐŚĂŶŐĞƐƉƌŽƉŽƐĞĚďǇƚŚĞ WƌŽũĞĐƚǁŽƵůĚŶŽƚƌĞƐƵůƚŝŶĂŶǇŶĞǁŝŵƉĂĐƚƐ͕ŽƌŝŶĐƌĞĂƐĞƚŚĞƐĞǀĞƌŝƚǇŽĨƚŚĞƉƌĞǀŝŽƵƐůǇŝĚĞŶƚŝĨŝĞĚŝŵƉĂĐƚƐ͕ ǁŝƚŚƌĞƐƉĞĐƚƚŽĞŶĞƌŐǇ͘dŚĞƌĞĨŽƌĞ͕ƉƌĞƉĂƌĂƚŝŽŶŽĨĂ^
/ZŝƐŶŽƚǁĂƌƌĂŶƚĞĚ͘

321
(QYLURQPHQWDO,PSDFW$QDO\VLV
dŚĞKŶƚĂƌŝŽWůĂŶ
/Z ϴϮ ŽŶsŝĞǁWƌŽũĞĐƚ
ĚĚĞŶĚƵŵƚŽƚŚĞ&ŝŶĂů
ŶǀŝƌŽŶŵĞŶƚĂů/ŵƉĂĐƚZĞƉŽƌƚ
ϰ͘ϮϬ tŝůĚĨŝƌĞ
dŚĞƌĞǀŝƐĞĚ
Y'ƵŝĚĞůŝŶĞƐŝŶĐůƵĚĞĂŶĞǁƐĞƉĂƌĂƚĞĚŝƐĐƵƐƐŝŽŶĨŽƌtŝůĚĨŝƌĞŚĂǌĂƌĚƐ͘dŚŝƐƐĞĐƚŝŽŶďƌŝĞĨůǇ ĞǆĂŵŝŶĞƐƉŽƚĞŶƚŝĂů ŝŵƉĂĐƚƐƌĞůĂƚĞĚƚŽ ǁŝůĚĨŝƌĞ ŚĂǌĂƌĚƐƚŚĂƚ ĐŽƵůĚ ƌĞƐƵůƚ ĨƌŽŵ ŝŵƉůĞŵĞŶƚĂƚŝŽŶ ŽĨ ƚŚĞ WƌŽũĞĐƚ͘
ϰ͘ϮϬ͘ϭ ŶĂůǇƐŝƐŽĨWƌŽƉŽƐĞĚWƌŽũĞĐƚ
dŚƌĞƐŚŽůĚ;ĂͿ ^ƵďƐƚĂŶƚŝĂůůǇŝŵƉĂŝƌ ĂŶĂĚŽƉƚĞĚĞŵĞƌŐĞŶĐǇƌĞƐƉŽŶƐĞƉůĂŶŽƌĞŵĞƌŐĞŶĐǇĞǀĂĐƵĂƚŝŽŶ ƉůĂŶ͍
dŚƌĞƐŚŽůĚ;ďͿ ƵĞƚŽƐůŽƉĞ͕ƉƌĞǀĂŝůŝŶŐǁŝŶĚƐ͕ĂŶĚŽƚŚĞƌĨĂĐƚŽƌƐ͕ĞǆĂĐĞƌďĂƚĞǁŝůĚĨŝƌĞƌŝƐŬƐ͕ĂŶĚƚŚĞƌĞďǇ ĞǆƉŽƐĞ ƉƌŽũĞĐƚ ŽĐĐƵƉĂŶƚƐ ƚŽ ƉŽůůƵƚĂŶƚ ĐŽŶĐĞŶƚƌĂƚŝŽŶƐ ĨƌŽŵ Ă ǁŝůĚĨŝƌĞ Žƌ ƚŚĞ ƵŶĐŽŶƚƌŽůůĞĚƐƉƌĞĂĚŽĨĂǁŝůĚĨŝƌĞ͍
dŚƌĞƐŚŽůĚ;ĐͿ ZĞƋƵŝƌĞƚŚĞŝŶƐƚĂůůĂƚŝŽŶŽƌŵĂŝŶƚĞŶĂŶĐĞŽĨĂƐƐŽĐŝĂƚĞĚŝŶĨƌĂƐƚƌƵĐƚƵƌĞ;ƐƵĐŚĂƐƌŽĂĚƐ͕ĨƵĞů ďƌĞĂŬƐ͕ĞŵĞƌŐĞŶĐǇǁĂƚĞƌƐŽƵƌĐĞƐ͕ƉŽǁĞƌůŝŶĞƐŽƌŽƚŚĞƌƵƚŝůŝƚŝĞƐͿƚŚĂƚŵĂǇĞǆĂĐĞƌďĂƚĞ ĨŝƌĞƌŝƐŬŽƌƚŚĂƚŵĂǇƌĞƐƵůƚŝŶƚĞŵƉŽƌĂƌǇŽƌŽŶŐŽŝŶŐŝŵƉĂĐƚƐƚŽƚŚĞĞŶǀŝƌŽŶŵĞŶƚ͍ dŚƌĞƐŚŽůĚ;ĚͿ
ǆƉŽƐĞƉĞŽƉůĞŽƌƐƚƌƵĐƚƵƌĞƐƚŽƐŝŐŶŝĨŝĐĂŶƚƌŝƐŬƐ͕ŝŶĐůƵĚŝŶŐĚŽǁŶƐůŽƉĞŽƌĚŽǁŶƐƚƌĞĂŵ ĨůŽŽĚŝŶŐŽƌ ůĂŶĚƐůŝĚĞƐ͕ĂƐ Ă ƌĞƐƵůƚ ŽĨ ƌƵŶŽĨĨ͕ƉŽƐƚͲĨŝƌĞƐůŽƉĞ ŝŶƐƚĂďŝůŝƚǇ͕Žƌ ĚƌĂŝŶĂŐĞ ĐŚĂŶŐĞƐ͍
dŚĞKŶƚĂƌŝŽ'W
/ZĂƐƐĞƐƐĞĚƚŚĂƚƚŚĞŝƚǇǁĂƐĂƚŝŶĐƌĞĂƐĞĚƌŝƐŬŽĨǁŝůĚĨŝƌĞŚĂǌĂƌĚƐĚƵĞƚŽŝƚƐůŽĐĂƚŝŽŶǁŝƚŚŝŶ ^ŽƵƚŚĞƌŶĂůŝĨŽƌŶŝĂ͘dŚŝƐƌŝƐŬǁĂƐĂƚƚƌŝďƵƚĞĚƚŽƚŚĞƌĞŐŝŽŶ͛ƐůŽǁĞƌƌĂƚĞŽĨƉƌĞĐŝƉŝƚĂƚŝŽŶ͕ƚŽƉŽŐƌĂƉŚǇ͕ĂŶĚ ŶĂƚŝǀĞ ǀĞŐĞƚĂƚŝŽŶ͘,ŽǁĞǀĞƌ͕ƚŚĞ ĚĞǀĞůŽƉŵĞŶƚ ŵŽĚĞƌŶ ĨŝƌĞͲƌĞƐŝƐƚĂŶƚŵĂƚĞƌŝĂůƐĂŶĚ ƚŽŽůƐ ŚĂǀĞ ŐƌĞĂƚůǇ ƌĞĚƵĐĞĚƚŚĞƐĞƌŝƐŬƐ͘ƐǁĞůů͕ƚŚĞŝƚǇ͛ƐĐŽŶƚŝŶƵĞĚĐŽŵƉůŝĂŶĐĞǁŝƚŚ^ƚĂƚĞ&ŝƌĞŽĚĞƐĨƵƌƚŚĞƌƌĞĚƵĐĞƚŚĞ ƌŝƐŬƐŽĨǁŝůĚĨŝƌĞ͘
ƐƐƚĂƚĞĚŝŶ/ŵƉĂĐƚĚŝƐĐƵƐƐŝŽŶϰ͘ϴ;ŚͿ͕ƚŚĞWƌŽũĞĐƚƐŝƚĞŝƐŶŽƚůŽĐĂƚĞĚǁŝƚŚŝŶŽƌĂĚũĂĐĞŶƚƚŽůĂŶĚĚĞƐŝŐŶĂƚĞĚ ĂƐĂǀĞƌǇŚŝŐŚĨŝƌĞŚĂǌĂƌĚƐĞǀĞƌŝƚǇǌŽŶĞ͘Ϯϴ&ƵƌƚŚĞƌŵŽƌĞ͕ƚŚĞWƌŽũĞĐƚƐŝƚĞŝƐůŽĐĂƚĞĚŝŶĂĨůĂƚͬůĞǀĞůĞĚĂƌĞĂ ǁŚŝĐŚĚŽĞƐŶŽƚŝŶĐůƵĚĞǁŝůĚŚĂďŝƚĂƚĂŶĚŝƐŶŽƚůŽĐĂƚĞĚŶĞĂƌŚŝůůƐŝĚĞƐ͘dŚĞWƌŽũĞĐƚƐŝƚĞŝƐƐƵƌƌŽƵŶĚĞĚďǇĂ ĨƵůůǇ ĚĞǀĞůŽƉĞĚ ŝŶĚƵƐƚƌŝĂů ĂƌĞĂŝŶ Ăůů ĚŝƌĞĐƚŝŽŶƐ͘ ĚĚŝƚŝŽŶĂůůǇ͕ ƚŚĞ WƌŽũĞĐƚ ƐŝƚĞǁŽƵůĚ ŶŽƚ ƌĞƋƵŝƌĞ ƚŚĞ ŝŶƐƚĂůůĂƚŝŽŶŽĨĂĚĚŝƚŝŽŶĂůƌŽĂĚƐ͕ĨƵĞůďƌĞĂŬƐ͕ĞŵĞƌŐĞŶĐǇǁĂƚĞƌƐŽƵƌĐĞƐ͕ŽƌŽƚŚĞƌĨĞĂƚƵƌĞƐƚŚĂƚĐŽƵůĚƌĞƐƵůƚ ŝŶĨŝƌĞƌŝƐŬƐ͘
&ŝŶĂůůǇ͕ĂƐĚŝƐĐƵƐƐĞĚŝŶ^ĞĐƚŝŽŶϰ͘ϲĂŶĚ^ĞĐƚŝŽŶϰ͘ϵ͕ƚŚĞWƌŽũĞĐƚƐŝƚĞŝƐŶŽƚĞǆƉŽƐĞĚƚŽĨůŽŽĚŝŶŐ͕ůĂŶĚƐůŝĚĞƐ͕ ƌƵŶŽĨĨĐŽŶĚŝƚŝŽŶƐ͘dŚĞƌĞĨŽƌĞ͕ĂůĞƐƐƚŚĂŶƐŝŐŶŝĨŝĐĂŶƚŝŵƉĂĐƚŝƐĞǆƉĞĐƚĞĚƚŽŽĐĐƵƌ͘ DŝƚŝŐĂƚŝŽŶWƌŽŐƌĂŵ
DŝƚŝŐĂƚŝŽŶDĞĂƐƵƌĞƐĨƌŽŵƚŚĞKŶƚĂƌŝŽ'W
/Z
EŽŵŝƚŝŐĂƚŝŽŶŵĞĂƐƵƌĞƐǁĞƌĞŝĚĞŶƚŝĨŝĞĚŝŶƚŚĞKŶƚĂƌŝŽ'W /Z͘
ŽŶĐůƵƐŝŽŶ
EŽŶĞǁŽƌŵŽƌĞƐŝŐŶŝĨŝĐĂŶƚŝŵƉĂĐƚƐĚƵĞƚŽǁŝůĚĨŝƌĞƌŝƐŬƐǁŽƵůĚŽĐĐƵƌ͘ Ϯϴ>&/Z
&ZW;ϮϬϮϭͿ͘&ŝƌĞ,ĂǌĂƌĚ^ĞǀĞƌŝƚǇŽŶĞsŝĞǁĞƌ͘ŚƚƚƉƐ͗ͬͬĞŐŝƐ͘ĨŝƌĞ͘ĐĂ͘ŐŽǀͬ&,^ͬ;ĐĐĞƐƐĞĚƵŐƵƐƚϵ͕ϮϬϮϭͿ͘ 322
(QYLURQPHQWDO,PSDFW$QDO\VLV
dŚĞKŶƚĂƌŝŽWůĂŶ
/Z ϴϯ ŽŶsŝĞǁWƌŽũĞĐƚ
ĚĚĞŶĚƵŵƚŽƚŚĞ&ŝŶĂů
ŶǀŝƌŽŶŵĞŶƚĂů/ŵƉĂĐƚZĞƉŽƌƚ
KǀĞƌĂůůtŝůĚĨŝƌĞ/ŵƉĂĐƚŽŶĐůƵƐŝŽŶ
tŝƚŚƌĞŐĂƌĚƚŽ
Y^ƚĂƚƵƚĞ^ĞĐƚŝŽŶϮϭϭϲϲĂŶĚ
Y'ƵŝĚĞůŝŶĞƐ^ĞĐƚŝŽŶϭϱϭϲϮ;ĂͿ͕ƚŚĞĐŚĂŶŐĞƐƉƌŽƉŽƐĞĚ
ďǇƚŚĞWƌŽũĞĐƚǁŽƵůĚ ŶŽƚƌĞƐƵůƚŝŶĂŶǇŶĞǁŽƌŵŽƌĞƐĞǀĞƌĞŝŵƉĂĐƚƐǁŝƚŚƌĞƐƉĞĐƚƚŽtŝůĚĨŝƌĞ͘dŚĞƌĞĨŽƌĞ͕ ƉƌĞƉĂƌĂƚŝŽŶŽĨĂŶ^
/ZŝƐŶŽƚǁĂƌƌĂŶƚĞĚ͘

323
(QYLURQPHQWDO,PSDFW$QDO\VLV
dŚĞKŶƚĂƌŝŽWůĂŶ
/Z ϴϰ ŽŶsŝĞǁWƌŽũĞĐƚ
ĚĚĞŶĚƵŵƚŽƚŚĞ&ŝŶĂů
ŶǀŝƌŽŶŵĞŶƚĂů/ŵƉĂĐƚZĞƉŽƌƚ
dŚŝƐƉĂŐĞŝŶƚĞŶƚŝŽŶĂůůǇůĞĨƚďůĂŶŬ͘
324
'HWHUPLQDWLRQRI$SSURSUDWH&(4$'RFXPHQWDWLRQ
dŚĞKŶƚĂƌŝŽWůĂŶ
/Z ϴϱ ŽŶsŝĞǁWƌŽũĞĐƚ
ĚĚĞŶĚƵŵƚŽƚŚĞ&ŝŶĂů
ŶǀŝƌŽŶŵĞŶƚĂů/ŵƉĂĐƚZĞƉŽƌƚ
ϱ
d
ZD/Ed/KEK&WWZKWZ/d

YKhD
Edd/KE
dŚĞ ĨŽůůŽǁŝŶŐ ĚŝƐĐƵƐƐŝŽŶůŝƐƚƐƚŚĞ ĂƉƉƌŽƉƌŝĂƚĞ ƐƵďƐĞĐƚŝŽŶƐŽĨ ^ĞĐƚŝŽŶƐ ϭϱϭϲϮ ĂŶĚ ϭϱϭϲϰ ŽĨ ƚŚĞ Y
'ƵŝĚĞůŝŶĞƐ ĂŶĚ ƉƌŽǀŝĚĞƐ ũƵƐƚŝĨŝĐĂƚŝŽŶ ĨŽƌ ƚŚĞ ŝƚǇ ƚŽŵĂŬĞ Ă ĚĞƚĞƌŵŝŶĂƚŝŽŶ ŽĨ ƚŚĞ ĂƉƉƌŽƉƌŝĂƚĞ Y
ĚŽĐƵŵĞŶƚĨŽƌƚŚĞWƌŽũĞĐƚ͕ďĂƐĞĚŽŶƚŚĞĞŶǀŝƌŽŶŵĞŶƚĂůĂŶĂůǇƐŝƐƉƌŽǀŝĚĞĚĂďŽǀĞ͘
Y'ƵŝĚĞůŝŶĞƐ^ĞĐƚŝŽŶϭϱϭϲϮവ^ƵďƐĞƋƵĞŶƚ
/ZƐĂŶĚEĞŐĂƚŝǀĞĞĐůĂƌĂƚŝŽŶƐ
;ĂͿ tŚĞŶĂŶ
/ZŚĂƐďĞĞŶĐĞƌƚŝĨŝĞĚŽƌĂŶĞŐĂƚŝǀĞĚĞĐůĂƌĂƚŝŽŶĂĚŽƉƚĞĚĨŽƌĂƉƌŽũĞĐƚ͕ŶŽ ƐƵďƐĞƋƵĞŶƚ

/Z ƐŚĂůů ďĞ ƉƌĞƉĂƌĞĚ ĨŽƌ ƚŚĂƚ WƌŽũĞĐƚ ƵŶůĞƐƐ ƚŚĞ ůĞĂĚ ĂŐĞŶĐǇ ĚĞƚĞƌŵŝŶĞƐ͕ ŽŶ ƚŚĞ ďĂƐŝƐ ŽĨ ƐƵďƐƚĂŶƚŝĂůĞǀŝĚĞŶĐĞŝŶůŝŐŚƚŽĨƚŚĞǁŚŽůĞƌĞĐŽƌĚ͕ŽŶĞŽƌŵŽƌĞŽĨƚŚĞĨŽůůŽǁŝŶŐ͗ ;ϭͿ ^ƵďƐƚĂŶƚŝĂůĐŚĂŶŐĞƐĂƌĞ ƉƌŽƉŽƐĞĚ ŝŶ ƚŚĞ WƌŽũĞĐƚǁŚŝĐŚ ǁŝůů ƌĞƋƵŝƌĞŵĂũŽƌ ƌĞǀŝƐŝŽŶƐŽĨ ƚŚĞ ƉƌĞǀŝŽƵƐ
/ZŽƌŶĞŐĂƚŝǀĞĚĞĐůĂƌĂƚŝŽŶĚƵĞƚŽƚŚĞŝŶǀŽůǀĞŵĞŶƚŽĨŶĞǁƐŝŐŶŝĨŝĐĂŶƚĞŶǀŝƌŽŶŵĞŶƚĂů ĞĨĨĞĐƚƐŽƌĂƐƵďƐƚĂŶƚŝĂůŝŶĐƌĞĂƐĞŝŶƚŚĞƐĞǀĞƌŝƚǇŽĨƉƌĞǀŝŽƵƐůǇŝĚĞŶƚŝĨŝĞĚƐŝŐŶŝĨŝĐĂŶƚĞĨĨĞĐƚƐ͘ dŚĞŝƚǇƉƌŽƉŽƐĞƐƚŽŝŵƉůĞŵĞŶƚƚŚĞWƌŽũĞĐƚǁŝƚŚŝŶƚŚĞĐŽŶƚĞǆƚŽĨƚŚĞKŶƚĂƌŝŽ'W /Z͕ĂƐĚĞƐĐƌŝďĞĚŝŶƚŚŝƐ
ĚĚĞŶĚƵŵ͘ƐĚŝƐĐƵƐƐĞĚŝŶƚŚĞ
ŶǀŝƌŽŶŵĞŶƚĂů/ŵƉĂĐƚŶĂůǇƐŝƐƐĞĐƚŝŽŶŽĨƚŚŝƐĚĚĞŶĚƵŵ͕ŶŽŶĞǁŽƌŵŽƌĞ ƐĞǀĞƌĞƐŝŐŶŝĨŝĐĂŶƚĞŶǀŝƌŽŶŵĞŶƚĂůĞĨĨĞĐƚƐďĞǇŽŶĚǁŚĂƚǁĂƐĞǀĂůƵĂƚĞĚŝŶƚŚĞKŶƚĂƌŝŽ'W /ZǁŽƵůĚŽĐĐƵƌ͘
;ϮͿ ^ƵďƐƚĂŶƚŝĂů ĐŚĂŶŐĞƐŽĐĐƵƌ ǁŝƚŚ ƌĞƐƉĞĐƚ ƚŽ ƚŚĞ ĐŝƌĐƵŵƐƚĂŶĐĞƐƵŶĚĞƌ ǁŚŝĐŚ ƚŚĞ ƉƌŽũĞĐƚ ŝƐ ƵŶĚĞƌƚĂŬĞŶǁŚŝĐŚǁŝůůƌĞƋƵŝƌĞŵĂũŽƌƌĞǀŝƐŝŽŶƐŽĨƚŚĞƉƌĞǀŝŽƵƐ /ZŽƌŶĞŐĂƚŝǀĞĚĞĐůĂƌĂƚŝŽŶĚƵĞ
ƚŽƚŚĞŝŶǀŽůǀĞŵĞŶƚ ŽĨŶĞǁƐŝŐŶŝĨŝĐĂŶƚĞŶǀŝƌŽŶŵĞŶƚĂůĞĨĨĞĐƚƐŽƌĂƐƵďƐƚĂŶƚŝĂůŝŶĐƌĞĂƐĞŝŶƚŚĞ ƐĞǀĞƌŝƚǇŽĨƉƌĞǀŝŽƵƐůǇŝĚĞŶƚŝĨŝĞĚƐŝŐŶŝĨŝĐĂŶƚĞĨĨĞĐƚƐ͘ ƐĚŽĐƵŵĞŶƚĞĚŚĞƌĞŝŶ͕ŶŽĐŝƌĐƵŵƐƚĂŶĐĞƐĂƐƐŽĐŝĂƚĞĚǁŝƚŚƚŚĞůŽĐĂƚŝŽŶ͕ƚǇƉĞ͕ƐĞƚƚŝŶŐ͕ŽƌŽƉĞƌĂƚŝŽŶƐŽĨƚŚĞ WƌŽũĞĐƚŚĂǀĞƐƵďƐƚĂŶƚŝǀĞůǇĐŚĂŶŐĞĚďĞǇŽŶĚ ǁŚĂƚǁĂƐĞǀĂůƵĂƚĞĚŝŶƚŚĞKŶƚĂƌŝŽ'W /Z͖ĂŶĚŶŽŶĞŽĨƚŚĞ
WƌŽũĞĐƚĞůĞŵĞŶƚƐǁŽƵůĚ ƌĞƐƵůƚŝŶŶĞǁŽƌŵŽƌĞƐĞǀĞƌĞƐŝŐŶŝĨŝĐĂŶƚĞŶǀŝƌŽŶŵĞŶƚĂůĞĨĨĞĐƚƐƚŚĂŶƉƌĞǀŝŽƵƐůǇ ŝĚĞŶƚŝĨŝĞĚ͘EŽŵĂũŽƌƌĞǀŝƐŝŽŶƐƚŽƚŚĞKŶƚĂƌŝŽ'W
/ZĂƌĞƌĞƋƵŝƌĞĚ͘
;ϯͿ EĞǁŝŶĨŽƌŵĂƚŝŽŶŽĨƐƵďƐƚĂŶƚŝĂůŝŵƉŽƌƚĂŶĐĞ͕ǁŚŝĐŚǁĂƐŶŽƚŬŶŽǁŶĂŶĚĐŽƵůĚŶŽƚŚĂǀĞďĞĞŶ ŬŶŽǁŶǁŝƚŚƚŚĞĞǆĞƌĐŝƐĞŽĨƌĞĂƐŽŶĂďůĞĚŝůŝŐĞŶĐĞĂƚƚŚĞƚŝŵĞƚŚĞƉƌĞǀŝŽƵƐ /ZǁĂƐĐĞƌƚŝĨŝĞĚĂƐ
ĐŽŵƉůĞƚĞŽƌƚŚĞŶĞŐĂƚŝǀĞĚĞĐůĂƌĂƚŝŽŶǁĂƐĂĚŽƉƚĞĚ͕ƐŚŽǁƐĂŶǇŽĨƚŚĞĨŽůůŽǁŝŶŐ͗ ;Ϳ dŚĞƉƌŽũĞĐƚǁŝůůŚĂǀĞŽŶĞŽƌŵŽƌĞƐŝŐŶŝĨŝĐĂŶƚĞŶǀŝƌŽŶŵĞŶƚĂůĞĨĨĞĐƚƐŶŽƚĚŝƐĐƵƐƐĞĚŝŶƚŚĞ ƉƌĞǀŝŽƵƐ
/ZŽƌŶĞŐĂƚŝǀĞĚĞĐůĂƌĂƚŝŽŶ͖
EŽŶĞǁƐŝŐŶŝĨŝĐĂŶƚĞŶǀŝƌŽŶŵĞŶƚĂůĞĨĨĞĐƚƐďĞǇŽŶĚƚŚŽƐĞĂĚĚƌĞƐƐĞĚŝŶƚŚĞKŶƚĂƌŝŽ'W /ZǁĞƌĞŝĚĞŶƚŝĨŝĞĚ͘
;Ϳ ^ŝŐŶŝĨŝĐĂŶƚĞĨĨĞĐƚƐƉƌĞǀŝŽƵƐůǇĞǆĂŵŝŶĞĚǁŝůůďĞƐƵďƐƚĂŶƚŝĂůůǇŵŽƌĞƐĞǀĞƌĞƚŚĂŶƐŚŽǁŶŝŶ ƚŚĞƉƌĞǀŝŽƵƐ
/Z͖
^ŝŐŶŝĨŝĐĂŶƚWƌŽũĞĐƚͲƌĞůĂƚĞĚĞĨĨĞĐƚƐƉƌĞǀŝŽƵƐůǇĞǆĂŵŝŶĞĚǁŽƵůĚŶŽƚďĞŵŽƌĞƐĞǀĞƌĞƚŚĂŶǁĞƌĞĚŝƐĐůŽƐĞĚŝŶ ƚŚĞKŶƚĂƌŝŽ'W
/ZĂƐĂƌĞƐƵůƚŽĨƚŚĞWƌŽũĞĐƚ͘/ŵƉĂĐƚƐĂƐƐŽĐŝĂƚĞĚǁŝƚŚĂůůĞŶǀŝƌŽŶŵĞŶƚĂůƌĞƐŽƵƌĐĞĂƌĞĂƐ ǁŽƵůĚďĞƚŚĞƐĂŵĞĂƐŽƌůĞƐƐƚŚĂŶĚŝƐĐůŽƐĞĚŝŶƚŚĞĂĚŽƉƚĞĚKŶƚĂƌŝŽ'W /Z͘/ŵƉůĞŵĞŶƚĂƚŝŽŶŽĨƚŚĞWƌŽũĞĐƚ
ǁŝƚŚŝŶƚŚĞĐŽŶƚĞǆƚŽĨƚŚĞKŶƚĂƌŝŽ'WǁŽƵůĚŶŽƚƐƵďƐƚĂŶƚŝĂůůǇŝŶĐƌĞĂƐĞƚŚĞƐĞǀĞƌŝƚǇŽĨƉƌĞǀŝŽƵƐůǇŝĚĞŶƚŝĨŝĞĚ ŝŵƉĂĐƚƐ͘
325
'HWHUPLQDWLRQRI$SSURSUDWH&(4$'RFXPHQWDWLRQ
dŚĞKŶƚĂƌŝŽWůĂŶ
/Z ϴϲ ŽŶsŝĞǁWƌŽũĞĐƚ
ĚĚĞŶĚƵŵƚŽƚŚĞ&ŝŶĂů
ŶǀŝƌŽŶŵĞŶƚĂů/ŵƉĂĐƚZĞƉŽƌƚ
;Ϳ DŝƚŝŐĂƚŝŽŶŵĞĂƐƵƌĞƐŽƌĂůƚĞƌŶĂƚŝǀĞƐƉƌĞǀŝŽƵƐůǇĨŽƵŶĚ ŶŽƚƚŽďĞĨĞĂƐŝďůĞǁŽƵůĚ ŝŶĨĂĐƚďĞ ĨĞĂƐŝďůĞ͕ĂŶĚǁŽƵůĚƐƵďƐƚĂŶƚŝĂůůǇƌĞĚƵĐĞŽŶĞŽƌŵŽƌĞƐŝŐŶŝĨŝĐĂŶƚĞĨĨĞĐƚƐŽĨƚŚĞƉƌŽũĞĐƚ͕ďƵƚ ƚŚĞƉƌŽũĞĐƚƉƌŽƉŽŶĞŶƚƐĚĞĐůŝŶĞƚŽĂĚŽƉƚƚŚĞŵŝƚŝŐĂƚŝŽŶŵĞĂƐƵƌĞŽƌĂůƚĞƌŶĂƚŝǀĞ͖Žƌ EŽŵŝƚŝŐĂƚŝŽŶŵĞĂƐƵƌĞƐŽƌĂůƚĞƌŶĂƚŝǀĞƐǁĞƌĞĨŽƵŶĚŝŶĨĞĂƐŝďůĞŝŶƚŚĞĐĞƌƚŝĨŝĞĚKŶƚĂƌŝŽ'W /Z͘
;Ϳ DŝƚŝŐĂƚŝŽŶŵĞĂƐƵƌĞƐŽƌĂůƚĞƌŶĂƚŝǀĞƐǁŚŝĐŚĂƌĞĐŽŶƐŝĚĞƌĂďůǇĚŝĨĨĞƌĞŶƚĨƌŽŵƚŚŽƐĞĂŶĂůǇǌĞĚ ŝŶ ƚŚĞ ƉƌĞǀŝŽƵƐ
/ZǁŽƵůĚ ƐƵďƐƚĂŶƚŝĂůůǇƌĞĚƵĐĞ ŽŶĞ ŽƌŵŽƌĞ ƐŝŐŶŝĨŝĐĂŶƚĞĨĨĞĐƚƐŽŶ ƚŚĞ ĞŶǀŝƌŽŶŵĞŶƚ͕ ďƵƚ ƚŚĞ ƉƌŽũĞĐƚƉƌŽƉŽŶĞŶƚƐ ĚĞĐůŝŶĞ ƚŽ ĂĚŽƉƚƚŚĞŵŝƚŝŐĂƚŝŽŶŵĞĂƐƵƌĞŽƌ ĂůƚĞƌŶĂƚŝǀĞ͘
EŽ ŽƚŚĞƌŵŝƚŝŐĂƚŝŽŶŵĞĂƐƵƌĞƐŽƌ ĨĞĂƐŝďůĞ ĂůƚĞƌŶĂƚŝǀĞƐŚĂǀĞ ďĞĞŶ ŝĚĞŶƚŝĨŝĞĚ ƚŚĂƚ ǁŽƵůĚ ƐƵďƐƚĂŶƚŝĂůůǇ ƌĞĚƵĐĞƐŝŐŶŝĨŝĐĂŶƚŝŵƉĂĐƚƐ͘
;ďͿ /ĨĐŚĂŶŐĞƐƚŽ ĂƉƌŽũĞĐƚŽƌ ŝƚƐĐŝƌĐƵŵƐƚĂŶĐĞƐŽĐĐƵƌŽƌ ŶĞǁŝŶĨŽƌŵĂƚŝŽŶ ďĞĐŽŵĞƐĂǀĂŝůĂďůĞĂĨƚĞƌ ĂĚŽƉƚŝŽŶ ŽĨ ĂŶĞŐĂƚŝǀĞĚĞĐůĂƌĂƚŝŽŶ͕ƚŚĞůĞĂĚĂŐĞŶĐǇƐŚĂůůƉƌĞƉĂƌĞĂƐƵďƐĞƋƵĞŶƚ /Z ŝĨƌĞƋƵŝƌĞĚ
ƵŶĚĞƌ ƐƵďƐĞĐƚŝŽŶ ;ĂͿ͘ KƚŚĞƌǁŝƐĞ͕ ƚŚĞ ůĞĂĚ ĂŐĞŶĐǇ ƐŚĂůů ĚĞƚĞƌŵŝŶĞ ǁŚĞƚŚĞƌ ƚŽ ƉƌĞƉĂƌĞ Ă ƐƵďƐĞƋƵĞŶƚŶĞŐĂƚŝǀĞĚĞĐůĂƌĂƚŝŽŶ͕ĂŶĂĚĚĞŶĚƵŵ͕ŽƌŶŽĨƵƌƚŚĞƌĚŽĐƵŵĞŶƚĂƚŝŽŶ͘ ^ƵďƐĞƋƵĞŶƚ ƚŽ ĐĞƌƚŝĨŝĐĂƚŝŽŶ ŽĨ ƚŚĞ KŶƚĂƌŝŽ 'W
/ZŝŶ :ƵŶĞ ϮϬϬϵ͕ ĂĚĚŝƚŝŽŶĂů ƚĞĐŚŶŝĐĂů ĂŶĂůǇƐĞƐ ǁĞƌĞ ƉĞƌĨŽƌŵĞĚĨŽƌƚŚĞWƌŽũĞĐƚĂŶĚĂƌĞƚŚĞƐƵďũĞĐƚŽĨƚŚŝƐĚĚĞŶĚƵŵ͘ĂƐĞĚŽŶƚŚĞĂŶĂůǇƐŝƐŝŶƚŚŝƐĚŽĐƵŵĞŶƚ͕ ƚŚĞWƌŽũĞĐƚǁŽƵůĚŶŽƚƌĞƐƵůƚŝŶĂŶǇŶĞǁƐŝŐŶŝĨŝĐĂŶƚĞŶǀŝƌŽŶŵĞŶƚĂůĞĨĨĞĐƚƐŶŽƌǁŽƵůĚŝƚŝŶĐƌĞĂƐĞƚŚĞƐĞǀĞƌŝƚǇ ŽĨ ƐŝŐŶŝĨŝĐĂŶƚĞĨĨĞĐƚƐƉƌĞǀŝŽƵƐůǇ ŝĚĞŶƚŝĨŝĞĚ ŝŶ ƚŚĞ KŶƚĂƌŝŽ 'W /Z͘EŽŶĞ ŽĨ ƚŚĞ ĐŽŶĚŝƚŝŽŶƐ ůŝƐƚĞĚ ƵŶĚĞƌ
ƐƵďƐĞĐƚŝŽŶ;ĂͿǁŽƵůĚŽĐĐƵƌƚŚĂƚǁŽƵůĚƌĞƋƵŝƌĞƉƌĞƉĂƌĂƚŝŽŶŽĨĂƐƵďƐĞƋƵĞŶƚ /Z͘
;ĐͿ KŶĐĞĂƉƌŽũĞĐƚŚĂƐďĞĞŶĂƉƉƌŽǀĞĚ͕ƚŚĞůĞĂĚĂŐĞŶĐǇ͛ƐƌŽůĞŝŶƉƌŽũĞĐƚĂƉƉƌŽǀĂůŝƐĐŽŵƉůĞƚĞĚ͕ƵŶůĞƐƐ ĨƵƌƚŚĞƌĚŝƐĐƌĞƚŝŽŶĂƌǇĂƉƉƌŽǀĂůŽŶƚŚĂƚƉƌŽũĞĐƚŝƐƌĞƋƵŝƌĞĚ͘/ŶĨŽƌŵĂƚŝŽŶĂƉƉĞĂƌŝŶŐĂĨƚĞƌĂŶĂƉƉƌŽǀĂů ĚŽĞƐŶŽƚƌĞƋƵŝƌĞƌĞŽƉĞŶŝŶŐŽĨƚŚĂƚĂƉƉƌŽǀĂů͘/ĨĂĨƚĞƌƚŚĞƉƌŽũĞĐƚŝƐĂƉƉƌŽǀĞĚ͕ĂŶǇŽĨƚŚĞĐŽŶĚŝƚŝŽŶƐ ĚĞƐĐƌŝďĞĚŝŶƐƵďƐĞĐƚŝŽŶ;ĂͿŽĐĐƵƌƐ͕ĂƐƵďƐĞƋƵĞŶƚ
/ZŽƌŶĞŐĂƚŝǀĞĚĞĐůĂƌĂƚŝŽŶƐŚĂůůŽŶůǇďĞƉƌĞƉĂƌĞĚ
ďǇƚŚĞƉƵďůŝĐĂŐĞŶĐǇǁŚŝĐŚŐƌĂŶƚƐƚŚĞŶĞǆƚĚŝƐĐƌĞƚŝŽŶĂƌǇĂƉƉƌŽǀĂůĨŽƌƚŚĞƉƌŽũĞĐƚ͕ŝĨĂŶǇ͘/ŶƚŚŝƐ ƐŝƚƵĂƚŝŽŶ͕ ŶŽ ŽƚŚĞƌ ZĞƐƉŽŶƐŝďůĞ ŐĞŶĐǇ ƐŚĂůů ŐƌĂŶƚ ĂŶ ĂƉƉƌŽǀĂů ĨŽƌ ƚŚĞ ƉƌŽũĞĐƚ ƵŶƚŝů ƚŚĞ ƐƵďƐĞƋƵĞŶƚ
/ZŚĂƐďĞĞŶĐĞƌƚŝĨŝĞĚŽƌƐƵďƐĞƋƵĞŶƚŶĞŐĂƚŝǀĞĚĞĐůĂƌĂƚŝŽŶĂĚŽƉƚĞĚ͘ EŽŶĞŽĨƚŚĞĐŽŶĚŝƚŝŽŶƐůŝƐƚĞĚŝŶƐƵďƐĞĐƚŝŽŶ;ĂͿǁŽƵůĚŽĐĐƵƌĂƐĂƌĞƐƵůƚŽĨƚŚĞWƌŽũĞĐƚ͘EŽ^ /ZŝƐƌĞƋƵŝƌĞĚ͘

Y'ƵŝĚĞůŝŶĞƐ^ĞĐƚŝŽŶϭϱϭϲϰവĚĚĞŶĚƵŵƚŽĂŶ
/ZŽƌEĞŐĂƚŝǀĞĞĐůĂƌĂƚŝŽŶ
;ĂͿ dŚĞůĞĂĚĂŐĞŶĐǇŽƌƌĞƐƉŽŶƐŝďůĞĂŐĞŶĐǇƐŚĂůůƉƌĞƉĂƌĞĂŶĂĚĚĞŶĚƵŵƚŽĂƉƌĞǀŝŽƵƐůǇĐĞƌƚŝĨŝĞĚ /ZŝĨ
ƐŽŵĞĐŚĂŶŐĞƐŽƌĂĚĚŝƚŝŽŶƐĂƌĞŶĞĐĞƐƐĂƌǇ͕ďƵƚŶŽŶĞŽĨƚŚĞĐŽŶĚŝƚŝŽŶƐĚĞƐĐƌŝďĞĚŝŶ^ĞĐƚŝŽŶϭϱϭϲϮ ĐĂůůŝŶŐĨŽƌƉƌĞƉĂƌĂƚŝŽŶŽĨĂƐƵďƐĞƋƵĞŶƚ
/ZŚĂǀĞŽĐĐƵƌƌĞĚ͘
ƐĚĞƐĐƌŝďĞĚĂďŽǀĞ͕ŶŽŶĞŽĨƚŚĞĐŽŶĚŝƚŝŽŶƐĚĞƐĐƌŝďĞĚŝŶƚŚĞ Y'ƵŝĚĞůŝŶĞƐ^ĞĐƚŝŽŶϭϱϭϲϮĐĂůůŝŶŐĨŽƌƚŚĞ
ƉƌĞƉĂƌĂƚŝŽŶŽĨĂ^
/ZŚĂǀĞŽĐĐƵƌƌĞĚ͘
;ďͿ Ŷ ĂĚĚĞŶĚƵŵ ƚŽ ĂŶ ĂĚŽƉƚĞĚ ŶĞŐĂƚŝǀĞĚĞĐůĂƌĂƚŝŽŶŵĂǇ ďĞ ƉƌĞƉĂƌĞĚ ŝĨ ŽŶůǇ ŵŝŶŽƌ ƚĞĐŚŶŝĐĂů ĐŚĂŶŐĞƐŽƌĂĚĚŝƚŝŽŶƐĂƌĞŶĞĐĞƐƐĂƌǇŽƌŶŽŶĞŽĨƚŚĞĐŽŶĚŝƚŝŽŶƐĚĞƐĐƌŝďĞĚŝŶ^ĞĐƚŝŽŶϭϱϭϲϮĐĂůůŝŶŐ ĨŽƌƚŚĞƉƌĞƉĂƌĂƚŝŽŶŽĨĂƐƵďƐĞƋƵĞŶƚ
/ZŽƌŶĞŐĂƚŝǀĞĚĞĐůĂƌĂƚŝŽŶŚĂǀĞŽĐĐƵƌƌĞĚ͘
326
'HWHUPLQDWLRQRI$SSURSUDWH&(4$'RFXPHQWDWLRQ
dŚĞKŶƚĂƌŝŽWůĂŶ
/Z ϴϳ ŽŶsŝĞǁWƌŽũĞĐƚ
ĚĚĞŶĚƵŵƚŽƚŚĞ&ŝŶĂů
ŶǀŝƌŽŶŵĞŶƚĂů/ŵƉĂĐƚZĞƉŽƌƚ
EŽŶĞŽĨƚŚĞĐŽŶĚŝƚŝŽŶƐĚĞƐĐƌŝďĞĚŝŶ^ĞĐƚŝŽŶϭϱϭϲϮĐĂůůŝŶŐĨŽƌƉƌĞƉĂƌĂƚŝŽŶŽĨĂƐƵďƐĞƋƵĞŶƚ /ZǁŽƵůĚŽĐĐƵƌ
ĂƐĂƌĞƐƵůƚŽĨƚŚĞWƌŽũĞĐƚ͘dŚĞƌĞĨŽƌĞ͕ĂŶĂĚĚĞŶĚƵŵƚŽƚŚĞĐĞƌƚŝĨŝĞĚKŶƚĂƌŝŽ'W /ZŝƐƚŚĞĂƉƉƌŽƉƌŝĂƚĞ
Y
ĚŽĐƵŵĞŶƚĨŽƌƚŚĞWƌŽũĞĐƚ͘
;ĐͿ ŶĂĚĚĞŶĚƵŵŶĞĞĚŶŽƚďĞĐŝƌĐƵůĂƚĞĚĨŽƌƉƵďůŝĐƌĞǀŝĞǁďƵƚĐĂŶďĞŝŶĐůƵĚĞĚŝŶŽƌĂƚƚĂĐŚĞĚƚŽƚŚĞ KŶƚĂƌŝŽ'W
/ZŽƌĂĚŽƉƚĞĚŶĞŐĂƚŝǀĞĚĞĐůĂƌĂƚŝŽŶ͘
dŚŝƐĚĚĞŶĚƵŵ ǁŝůůďĞĂƚƚĂĐŚĞĚƚŽƚŚĞKŶƚĂƌŝŽ'W
/ZĂŶĚŵĂŝŶƚĂŝŶĞĚŝŶƚŚĞĂĚŵŝŶŝƐƚƌĂƚŝǀĞƌĞĐŽƌĚĨŝůĞƐ
ĂƚƚŚĞŝƚǇ͘
;ĚͿ dŚĞ ĚĞĐŝƐŝŽŶͲŵĂŬŝŶŐ ďŽĚǇ ƐŚĂůůĐŽŶƐŝĚĞƌ ƚŚĞ ĂĚĚĞŶĚƵŵ ǁŝƚŚ ƚŚĞ KŶƚĂƌŝŽ 'W /ZŽƌ ĂĚŽƉƚĞĚ
ŶĞŐĂƚŝǀĞĚĞĐůĂƌĂƚŝŽŶƉƌŝŽƌƚŽŵĂŬŝŶŐĂĚĞĐŝƐŝŽŶŽŶƚŚĞƉƌŽũĞĐƚ͘ dŚĞŝƚǇǁŝůůĐŽŶƐŝĚĞƌƚŚŝƐĚĚĞŶĚƵŵǁŝƚŚƚŚĞKŶƚĂƌŝŽ'W /ZƉƌŝŽƌƚŽŵĂŬŝŶŐĂĚĞĐŝƐŝŽŶŽŶƚŚĞWƌŽũĞĐƚ͘
;ĞͿ ďƌŝĞĨĞǆƉůĂŶĂƚŝŽŶŽĨ ƚŚĞĚĞĐŝƐŝŽŶ ŶŽƚƚŽƉƌĞƉĂƌĞĂƐƵďƐĞƋƵĞŶƚ /ZƉƵƌƐƵĂŶƚƚŽ ^ĞĐƚŝŽŶϭϱϭϲϮ
ƐŚŽƵůĚďĞŝŶĐůƵĚĞĚŝŶĂŶĂĚĚĞŶĚƵŵƚŽĂŶ
/Z͕ƚŚĞůĞĂĚĂŐĞŶĐǇ͛ƐƌĞƋƵŝƌĞĚĨŝŶĚŝŶŐƐŽŶƚŚĞWƌŽũĞĐƚ͕ ŽƌĞůƐĞǁŚĞƌĞŝŶƚŚĞƌĞĐŽƌĚ͘dŚĞĞǆƉůĂŶĂƚŝŽŶŵƵƐƚďĞƐƵƉƉŽƌƚĞĚďǇƐƵďƐƚĂŶƚŝĂůĞǀŝĚĞŶĐĞ͘ dŚŝƐ ĚŽĐƵŵĞŶƚ ƉƌŽǀŝĚĞƐ ƐƵďƐƚĂŶƚŝĂů ĞǀŝĚĞŶĐĞ ĨŽƌ ŝƚǇ ƌĞĐŽƌĚƐ ƚŽ ƐƵƉƉŽƌƚ ƚŚĞ ƉƌĞƉĂƌĂƚŝŽŶ ŽĨ ƚŚŝƐ ĚĚĞŶĚƵŵĨŽƌƚŚĞWƌŽũĞĐƚ͘

327
'HWHUPLQDWLRQRI$SSURSUDWH&(4$'RFXPHQWDWLRQ
dŚĞKŶƚĂƌŝŽWůĂŶ
/Z ϴϴ ŽŶsŝĞǁWƌŽũĞĐƚ
ĚĚĞŶĚƵŵƚŽƚŚĞ&ŝŶĂů
ŶǀŝƌŽŶŵĞŶƚĂů/ŵƉĂĐƚZĞƉŽƌƚ
dŚŝƐƉĂŐĞŝŶƚĞŶƚŝŽŶĂůůǇůĞĨƚďůĂŶŬ͘
328
&RQFOXVLRQ
dŚĞKŶƚĂƌŝŽWůĂŶ
/Z ϴϵ ŽŶsŝĞǁWƌŽũĞĐƚ
ĚĚĞŶĚƵŵƚŽƚŚĞ&ŝŶĂů
ŶǀŝƌŽŶŵĞŶƚĂů/ŵƉĂĐƚZĞƉŽƌƚ
ϲ KE>h^/KE
dŚŝƐĚĚĞŶĚƵŵŚĂƐďĞĞŶƉƌĞƉĂƌĞĚŝŶĂĐĐŽƌĚĂŶĐĞǁŝƚŚƚŚĞƉƌŽǀŝƐŝŽŶƐŽĨƚŚĞ Y^ƚĂƚƵƚĞĂŶĚƚŚĞ
Y
'ƵŝĚĞůŝŶĞƐ ƚŽ ĚŽĐƵŵĞŶƚ ƚŚĞĨŝŶĚŝŶŐ ƚŚĂƚŶŽŶĞ ŽĨ ƚŚĞ ĐŽŶĚŝƚŝŽŶƐ Žƌ ĐŝƌĐƵŵƐƚĂŶĐĞƐƚŚĂƚǁŽƵůĚ ƌĞƋƵŝƌĞ ƉƌĞƉĂƌĂƚŝŽŶŽĨ Ă ^
/Z͕ƉƵƌƐƵĂŶƚƚŽ ^ĞĐƚŝŽŶ ϭϱϭϲϮ ĂŶĚ ^ĞĐƚŝŽŶ ϭϱϭϲϰ ŽĨ ƚŚĞ Y 'ƵŝĚĞůŝŶĞƐ͕ĞǆŝƐƚŝŶ
ĐŽŶŶĞĐƚŝŽŶǁŝƚŚƚŚĞWƌŽũĞĐƚ͘EŽŵĂũŽƌƌĞǀŝƐŝŽŶƐǁŽƵůĚďĞƌĞƋƵŝƌĞĚƚŽƚŚĞKŶƚĂƌŝŽ'W /ZƉƌĞƉĂƌĞĚĨŽƌƚŚĞ
KŶƚĂƌŝŽ'W ĂƐĂƌĞƐƵůƚŽĨ ƚŚĞWƌŽũĞĐƚ͘EŽ ŶĞǁ ƐŝŐŶŝĨŝĐĂŶƚĞŶǀŝƌŽŶŵĞŶƚĂů ŝŵƉĂĐƚƐŚĂǀĞďĞĞŶ ŝĚĞŶƚŝĨŝĞĚ͘ ^ŝŶĐĞƚŚĞĐĞƌƚŝĨŝĐĂƚŝŽŶŽĨƚŚĞKŶƚĂƌŝŽ'W
/Z͕ƚŚĞƌĞŚĂƐďĞĞŶŶŽŶĞǁŝŶĨŽƌŵĂƚŝŽŶƐŚŽǁŝŶŐƚŚĂƚŵŝƚŝŐĂƚŝŽŶ ŵĞĂƐƵƌĞƐŽƌĂůƚĞƌŶĂƚŝǀĞƐŽŶĐĞĐŽŶƐŝĚĞƌĞĚŝŶĨĞĂƐŝďůĞĂƌĞŶŽǁĨĞĂƐŝďůĞŽƌƐŚŽǁŝŶŐƚŚĂƚƚŚĞƌĞĂƌĞĨĞĂƐŝďůĞ ŶĞǁŵŝƚŝŐĂƚŝŽŶŵĞĂƐƵƌĞƐŽƌĂůƚĞƌŶĂƚŝǀĞƐƐƵďƐƚĂŶƚŝĂůůǇĚŝĨĨĞƌĞŶƚĨƌŽŵƚŚŽƐĞĂŶĂůǇǌĞĚŝŶƚŚĞ /ZƚŚĂƚƚŚĞ
ŝƚǇ ĚĞĐůŝŶĞĚ ƚŽ ĂĚŽƉƚ͘ dŚĞƌĞĨŽƌĞ͕ ƉƌĞƉĂƌĂƚŝŽŶ ŽĨ Ă ^ /Z ŝƐ ŶŽƚ ƌĞƋƵŝƌĞĚ ĂŶĚ ƚŚĞ ĂƉƉƌŽƉƌŝĂƚĞ
Y
ĚŽĐƵŵĞŶƚĨŽƌƚŚĞWƌŽũĞĐƚŝƐƚŚŝƐĚĚĞŶĚƵŵƚŽƚŚĞKŶƚĂƌŝŽ'W /Z͘dŚŝƐĚŽĐƵŵĞŶƚǁŝůůďĞŵĂŝŶƚĂŝŶĞĚŝŶ
ƚŚĞĂĚŵŝŶŝƐƚƌĂƚŝǀĞƌĞĐŽƌĚĨŝůĞƐĂƚƚŚĞŝƚǇ͘

329
&RQFOXVLRQ
dŚĞKŶƚĂƌŝŽWůĂŶ
/Z ϵϬ ŽŶsŝĞǁWƌŽũĞĐƚ
ĚĚĞŶĚƵŵƚŽƚŚĞ&ŝŶĂů
ŶǀŝƌŽŶŵĞŶƚĂů/ŵƉĂĐƚZĞƉŽƌƚ
dŚŝƐƉĂŐĞŝŶƚĞŶƚŝŽŶĂůůǇůĞĨƚďůĂŶŬ͘
330
5HIHUHQFHV
dŚĞKŶƚĂƌŝŽWůĂŶ
/Z ϵϭ ŽŶsŝĞǁWƌŽũĞĐƚ
ĚĚĞŶĚƵŵƚŽƚŚĞ&ŝŶĂů
ŶǀŝƌŽŶŵĞŶƚĂů/ŵƉĂĐƚZĞƉŽƌƚ
ϳ Z
&
Z
E
^
>&/Z
&ZW;ϮϬϮϭͿ͘&ŝƌĞ,ĂǌĂƌĚ^ĞǀĞƌŝƚǇŽŶĞsŝĞǁĞƌ͘ŚƚƚƉƐ͗ͬͬĞŐŝƐ͘ĨŝƌĞ͘ĐĂ͘ŐŽǀͬ&,^ͬ ĐĐĞƐƐĞĚƵŐƵƐƚϵ͕ϮϬϮϭ͘
ĂůŝĨŽƌŶŝĂĞƉĂƌƚŵĞŶƚŽĨŽŶƐĞƌǀĂƚŝŽŶ͘ϮϬϮϭ͘DŝŶĞƌĂů>ĂŶĚůĂƐƐŝĨŝĐĂƚŝŽŶ͘ ŚƚƚƉƐ͗ͬͬŵĂƉƐ͘ĐŽŶƐĞƌǀĂƚŝŽŶ͘ĐĂ͘ŐŽǀͬĐŐƐͬŝŶĨŽƌŵĂƚŝŽŶǁĂƌĞŚŽƵƐĞͬŝŶĚĞǆ͘Śƚŵů͍ŵĂƉсŵůĐ ĐĐĞƐƐĞĚƵŐƵƐƚϮϭ͕ϮϬϮϭ͘
ĂůŝĨŽƌŶŝĂĞƉĂƌƚŵĞŶƚŽĨdƌĂŶƐƉŽƌƚĂƚŝŽŶ;ĂůdƌĂŶƐͿ͘;ϮϬϭϴͿ͘ĂůŝĨŽƌŶŝĂ^ƚĂƚĞ^ĐĞŶŝĐ,ŝŐŚǁĂǇ^ǇƐƚĞŵ DĂƉ͘ZĞƚƌŝĞǀĞĚĨƌŽŵ͗
ŚƚƚƉƐ͗ͬͬĐĂůƚƌĂŶƐ͘ŵĂƉƐ͘ĂƌĐŐŝƐ͘ĐŽŵͬĂƉƉƐͬǁĞďĂƉƉǀŝĞǁĞƌͬŝŶĚĞǆ͘Śƚŵů͍ŝĚсϰϲϱĚĨĚϯĚϴϬϳĐϰϲĐĐϴĞϴϬϱ ϳϭϭϲĨϭĂĂĐĂĂĐĐĞƐƐĞĚƵŐƵƐƚϭϳ͕ϮϬϮϭ͘
ĂůZĞĐǇĐůĞ͘ϮϬϮϭ͘
ů^ŽďƌĂŶƚĞ>ĂŶĚĨŝůů͘
ŚƚƚƉƐ͗ͬͬǁǁǁϮ͘ĐĂůƌĞĐǇĐůĞ͘ĐĂ͘ŐŽǀͬ^ŽůŝĚtĂƐƚĞͬ^ŝƚĞĐƚŝǀŝƚǇͬĞƚĂŝůƐͬϮϮϴϬ͍ƐŝƚĞ/сϮϰϬϮ ĐĐĞƐƐĞĚƵŐƵƐƚϵ͕ϮϬϮϭ͘
ŝƚǇŽĨKŶƚĂƌŝŽ͘ZĞǀ͘ϮϬϮϭ͘ŽŶŝŶŐDĂƉ͘ŚƚƚƉƐ͗ͬͬǁǁǁ͘ŽŶƚĂƌŝŽĐĂ͘ŐŽǀͬƐŝƚĞƐͬĚĞĨĂƵůƚͬĨŝůĞƐͬKŶƚĂƌŝŽͲ &ŝůĞƐͬWůĂŶŶŝŶŐͬŽĐƵŵĞŶƚƐͬŽŶŝŶŐйϮϬDĂƉͬŽŶŝŶŐͺϮϬϮϭϬϮϭϮ͘ƉĚĨĐĐĞƐƐĞĚƵŐƵƐƚϮϬϮϭ͘ ŝƚǇŽĨKŶƚĂƌŝŽ͘;ϮϬϭϴͿ͘ŝƚǇŽĨKŶƚĂƌŝŽϮϬϭϴ,ĂǌĂƌĚDŝƚŝŐĂƚŝŽŶWůĂŶ͘WĂŐĞϰͲϭϬϮ͘ZĞƚƌŝĞǀĞĚĨƌŽŵ͗ ŚƚƚƉƐ͗ͬͬǁǁǁ͘ŽŶƚĂƌŝŽĐĂ͘ŐŽǀͬƐŝƚĞƐͬĚĞĨĂƵůƚͬĨŝůĞƐͬKŶƚĂƌŝŽͲ&ŝůĞƐͬ ŵĞƌŐĞŶĐǇͲ
DĂŶĂŐĞŵĞŶƚͬZĞĂĚǇKŶƚĂƌŝŽͬĐŝƚǇͺŽĨͺŽŶƚĂƌŝŽͺϮϬϭϴͺŚŵƉ͘ƉĚĨĐĐĞƐƐĞĚƵŐƵƐƚϵ͕ϮϬϮϭ͘ ŝƚǇŽĨKŶƚĂƌŝŽ͘ϮϬϭϬ͘
ǆŚŝďŝƚ>hͲϬϭ>ĂŶĚhƐĞWůĂŶ͘ZĞƚƌŝĞǀĞĚĨƌŽŵ͗ŚƚƚƉƐ͗ͬͬǁǁǁ͘ŽŶƚĂƌŝŽƉůĂŶ͘ŽƌŐͬǁƉͲ ĐŽŶƚĞŶƚͬƵƉůŽĂĚƐͬƐŝƚĞƐͬϰͬϮϬϮϭͬϬϱͬdKW>hWͺDĂƉϮϰǆϯϲϭϬͺϲͺϮϬϮϭϬϱϮϰͺsͺϭ͘ƉĚĨ͘ĐĐĞƐƐĞĚ ƵŐƵƐƚϮϬϮϭ͘
ŝƚǇŽĨKŶƚĂƌŝŽ͘;ϮϬϭϬͿ͘DŽŶƚŚůǇĐƚŝǀŝƚǇZĞƉŽƌƚͶĐƚŝŽŶƐDŽŶƚŚŽĨ͗:ĂŶƵĂƌǇϮϬϭϬ͘WĂŐĞϮ͘ZĞƚƌŝĞǀĞĚ ĨƌŽŵ͗ŚƚƚƉƐ͗ͬͬǁǁǁ͘ŽŶƚĂƌŝŽĐĂ͘ŐŽǀͬƐŝƚĞƐͬĚĞĨĂƵůƚͬĨŝůĞƐͬKŶƚĂƌŝŽͲ&ŝůĞƐͬWůĂŶŶŝŶŐͬDŽŶƚŚůǇͲĐƚŝǀŝƚǇͲ ZĞƉŽƌƚƐͬũĂŶƵĂƌǇͺϮϬϭϬ͘ƉĚĨ͘ĐĐĞƐƐĞĚƵŐƵƐƚϭϵ͕ϮϬϮϭ͘
ŝƚǇŽĨKŶƚĂƌŝŽ͘;ϮϬϬϵͿ͘dŚĞKŶƚĂƌŝŽWůĂŶƌĂĨƚ
/Z͘ŽƐƚĂDĞƐĂ͕͗dŚĞWůĂŶŶŝŶŐĞŶƚĞƌ͘
ĞƉĂƌƚŵĞŶƚŽĨdŽǆŝĐ^ƵďƐƚĂŶĐĞƐŽŶƚƌŽů͘;ϮϬϮϭͿ͘
ŶǀŝƌŽ^ƚŽƌ͘
ŚƚƚƉƐ͗ͬͬǁǁǁ͘ĞŶǀŝƌŽƐƚŽƌ͘ĚƚƐĐ͘ĐĂ͘ŐŽǀͬƉƵďůŝĐͬƐĞĂƌĐŚ͘ĂƐƉ͍ƉĂŐĞсϱΘĐŵĚсƐĞĂƌĐŚΘďƵƐŝŶĞƐƐͺŶĂŵĞсΘ ŵĂŝŶͺƐƚƌĞĞƚͺŶĂŵĞсΘĐŝƚǇсΘǌŝƉсΘĐŽƵŶƚǇсΘƐƚĂƚƵƐсdйϮ<>'йϮKDΘďƌĂŶĐŚсΘƐŝƚĞͺƚǇƉĞс ^/d
^йϮ&h^ΘŶƉůсΘĨƵŶĚŝŶŐсΘƌĞƉŽƌƚƚŝƚůĞс,ZKh^нt^d
нEн^h^dE
^н^/d
н>/^
dнйϮϴKZd
^
йϮϵΘƌĞƉŽƌƚƚǇƉĞсKZd
^
Θ&ĞĚĞƌĂůͺƐƵƉĞƌĨƵŶĚсΘƐƚĂƚĞͺƌĞƐƉŽŶƐĞсΘǀŽůƵŶƚĂƌǇͺĐ
ůĞĂŶƵƉсΘƐĐŚŽŽůͺĐůĞĂŶƵƉсΘŽƉĞƌĂƚŝŶŐсΘƉŽƐƚͺĐůŽƐƵƌĞсΘŶŽŶͺŽƉĞƌĂƚŝŶŐсΘĐŽƌƌĞĐƚŝǀĞͺĂĐƚŝŽŶсΘƚŝ ĞƌĞĚͺƉĞƌŵŝƚсΘĞǀĂůƵĂƚŝŽŶсΘƐƉĞĐͺƉƌŽŐсΘŶĂƚŝŽŶĂůͺƉƌŝŽƌŝƚǇͺůŝƐƚсΘƐĞŶĂƚĞсΘĐŽŶŐƌĞƐƐсΘĂƐƐĞŵďůǇ сΘĐƌŝƚŝĐĂůͺƉŽůсΘďƵƐŝŶĞƐƐͺƚǇƉĞсΘĐĂƐĞͺƚǇƉĞсΘƐĞĂƌĐŚƚǇƉĞсΘŚǁŵƉͺƐŝƚĞͺƚǇƉĞсΘĐůĞĂŶƵƉͺƚǇƉĞс ΘŽĐŝĞĞƌƉсΘŚǁŵƉс&ĂůƐĞΘƉĞƌŵŝƚƚĞĚсΘƉĐͺƉĞƌŵŝƚƚĞĚсΘŝŶƐƉĞĐƚŝŽŶƐсΘŝŶƐƉĞĐƚŝŽŶƐŽƚŚĞƌсΘĐŽŵƉů ĂŝŶƚƐсΘĐĞŶƐƵƐƚƌĂĐƚсΘĐĞƐĚĞĐŝůĞсΘƐĐŚŽŽůͺĚŝƐƚƌŝĐƚсΘŽƌĚĞƌďǇсĐŝƚǇ;ĂĐĐĞƐƐĞĚƵŐƵƐƚϴ͕ϮϬϮϭͿ͘ &ĞĚĞƌĂůdƌĂŶƐŝƚĚŵŝŶŝƐƚƌĂƚŝŽŶ͘;ϮϬϭϴͿ͘dƌĂŶƐŝƚEŽŝƐĞĂŶĚsŝďƌĂƚŝŽŶ/ŵƉĂĐƚƐƐĞƐƐŵĞŶƚDĂŶƵĂů͘ WĂŐĞϭϴϱ͘
<ŝŵůĞǇͲ,ŽƌŶĂŶĚƐƐŽĐŝĂƚĞƐ͘;ϮϬϮϭͿ͘,ĞĂůƚŚZŝƐŬƐƐĞƐƐŵĞŶƚŽŶsŝĞǁtĂƌĞŚŽƵƐĞŝƚǇŽĨKŶƚĂƌŝŽ͕ ĂůŝĨŽƌŶŝĂ͘WĂŐĞƐϭϴƚŚƌŽƵŐŚϭϵ͘
331
5HIHUHQFHV
dŚĞKŶƚĂƌŝŽWůĂŶ
/Z ϵϮ ŽŶsŝĞǁWƌŽũĞĐƚ
ĚĚĞŶĚƵŵƚŽƚŚĞ&ŝŶĂů
ŶǀŝƌŽŶŵĞŶƚĂů/ŵƉĂĐƚZĞƉŽƌƚ
KŶƚĂƌŝŽDƵŶŝĐŝƉĂůhƚŝůŝƚŝĞƐŽŵƉĂŶǇ;ϮϬϭϲͿ͘ϮϬϭϱhƌďĂŶtĂƚĞƌDĂŶĂŐĞŵĞŶƚWůĂŶ͘ƉƉĞŶĚŝǆ͘WĂŐĞϭϲ͘ ZĞƚƌŝĞǀĞĚĨƌŽŵ͗ŚƚƚƉƐ͗ͬͬǁǁǁ͘ŽŶƚĂƌŝŽĐĂ͘ŐŽǀͬƐŝƚĞƐͬĚĞĨĂƵůƚͬĨŝůĞƐͬKŶƚĂƌŝŽͲ&ŝůĞƐͬDƵŶŝĐŝƉĂůͲhƚŝůŝƚŝĞƐͲ ŽŵƉĂŶǇͬϮϬϭϱͺƵƌďĂŶͺǁĂƚĞƌͺŵĂŶĂŐĞŵĞŶƚͺƉůĂŶͺƵƉĚĂƚĞͺϵͲϭϴͲϮϬϭϴ͘ƉĚĨ ĐĐĞƐƐĞĚƵŐƵƐƚϵ͕ϮϬϮϭ͘
KƌŝŽŶ
ŶǀŝƌŽŶŵĞŶƚĂů/ŶĐ͘WŚĂƐĞ/
ŶǀŝƌŽŶŵĞŶƚĂů^ŝƚĞƐƐĞƐƐŵĞŶƚ^ŽƵƚŚŽŶsŝĞǁǀĞŶƵĞĂŶĚ ĂƐƚĞĚĂƌ
^ƚƌĞĞƚKŶƚĂƌŝŽ͕ĂůŝĨŽƌŶŝĂĚĂƚĞĚƉƌŝůϮϬϮϭ͘WĂŐĞϰͲϰƚŚƌŽƵŐŚϱͲϲ͘ ^ĂŶĞƌŶĂƌĚŝŶŽŽƵŶƚǇ'ĞŶĞƌĂůWůĂŶ͘ϮϬϬϳ͘'ĞŽůŽŐŝĐ,ĂǌĂƌĚKǀĞƌůĂǇƐ͘ǀĂŝůĂďůĞĂƚ ŚƚƚƉ͗ͬͬǁǁǁ͘ƐďĐŽƵŶƚǇ͘ŐŽǀͬhƉůŽĂĚƐͬůƵƐͬ'ĞŽ,ĂǌDĂƉƐͬ&,ϮϳͺϮϬϭϬϬϯϬϵ͘ƉĚĨ͘ ĐĐĞƐƐĞĚƵŐƵƐƚϴ͕ϮϬϮϭ͘
^ĂƉƉŚŽƐ
ŶǀŝƌŽŶŵĞŶƚĂů͕/ŶĐ͘;ϮϬϮϭͿ͘ϭϵϰϴ^͘ŽŶsŝĞǁǀĞŶƵĞ͕KŶƚĂƌŝŽ͕ĂůŝĨŽƌŶŝĂƵůƚƵƌĂůZĞƐŽƵƌĐĞƐ dĞĐŚŶŝĐĂůZĞƉŽƌƚ͘WĂŐĞƐϮϭƚŚƌŽƵŐŚϮϲ͘
dŚĞKŶƚĂƌŝŽ/ŶƚĞƌŶĂƚŝŽŶĂůŝƌƉŽƌƚʹ/ŶƚĞƌŐĞŶĐǇŽůůĂďŽƌĂƚŝǀĞ;KEdͲ/Ϳ͘;ϮϬϭϴͿ͘KŶƚĂƌŝŽ/ŶƚĞƌŶĂƚŝŽŶĂů ŝƌƉŽƌƚ>ĂŶĚhƐĞŽŵƉĂƚŝďŝůŝƚǇWůĂŶ;:ƵůǇϮϬϭϴŵĞŶĚŵĞŶƚͿDĂƉϮͲϮĂŶĚϮͲϯ͘ZĞƚƌŝĞǀĞĚĨƌŽŵ͗ ŚƚƚƉƐ͗ͬͬǁǁǁ͘ŽŶƚͲŝĂĐ͘ĐŽŵͬǁƉͲĐŽŶƚĞŶƚͬƵƉůŽĂĚƐͬϮϬϭϵͬϬϮͬKEdͲ/ͲƉŽůŝĐǇͲŵĂƉͲϮͲϮ͘ƉĚĨ ĐĐĞƐƐĞĚƵŐƵƐƚϵ͕ϮϬϮϭ͘
332
WW
E/y
D/d/'d/KEDKE/dKZ/E'EZ
WKZd/E'WZK'ZD

333
DŝƚŝŐĂƚŝŽŶDŽŶŝƚŽƌŝŶŐĂŶĚZĞƉŽƌƚŝŶŐWƌŽŐƌĂŵ
dŚĞKŶƚĂƌŝŽWůĂŶ
/Z ϭ ŽŶsŝĞǁWƌŽũĞĐƚĚĚĞŶĚƵŵƚŽƚŚĞ&ŝŶĂů
ŶǀŝƌŽŶŵĞŶƚĂů/ŵƉĂĐƚZĞƉŽƌƚ
DŝƚŝŐĂƚŝŽŶDĞĂƐƵƌĞƐ ZĞƐƉŽŶƐŝďŝůŝƚǇĨŽƌ /ŵƉůĞŵĞŶƚĂƚŝŽŶ dŝŵŝŶŐ ZĞƐƉŽŶƐŝďŝůŝƚǇĨŽƌ DŽŶŝƚŽƌŝŶŐ DŽŶŝƚŽƌ ;^ŝŐŶĂƚƵƌĞZĞƋƵŝƌĞĚͿ ;ĂƚĞŽĨŽŵƉůŝĂŶĐĞͿ /ZYh>/dzDDϯͲϭ͗dŚĞŝƚǇŽĨKŶƚĂƌŝŽƵŝůĚŝŶŐĞƉĂƌƚŵĞŶƚƐŚĂůů ƌĞƋƵŝƌĞƚŚĂƚĂůůŶĞǁ ĐŽŶƐƚƌƵĐƚŝŽŶ ƉƌŽũĞĐƚƐ ŝŶĐŽƌƉŽƌĂƚĞ ĨĞĂƐŝďůĞŵŝƚŝŐĂƚŝŽŶŵĞĂƐƵƌĞƐƚŽƌĞĚƵĐĞ Ăŝƌ ƋƵĂůŝƚǇ ĞŵŝƐƐŝŽŶƐ͘ WŽƚĞŶƚŝĂů ŵĞĂƐƵƌĞƐ ƐŚĂůů ďĞŝŶĐŽƌƉŽƌĂƚĞĚ ĂƐ ĐŽŶĚŝƚŝŽŶƐ ŽĨ ĂƉƉƌŽǀĂů ĨŽƌ Ă ƉƌŽũĞĐƚ ĂŶĚ ŵĂǇŝŶĐůƵĚĞ͗ x ZĞƋƵŝƌŝŶŐ ĨƵŐŝƚŝǀĞ ĚƵƐƚ ĐŽŶƚƌŽů ŵĞĂƐƵƌĞƐ ƚŚĂƚ ĞǆĐĞĞĚ ^ŽƵƚŚŽĂƐƚŝƌYƵĂůŝƚǇDĂŶĂŐĞŵĞŶƚŝƐƚƌŝĐƚ͛ƐZƵůĞϰϬϯ͕ƐƵĐŚĂƐ͗ o ZĞƋƵŝƌŝŶŐ ƵƐĞ ŽĨ ŶŽŶƚŽǆŝĐ ƐŽŝů ƐƚĂďŝůŝǌĞƌƐ ƚŽ
ƌĞĚƵĐĞǁŝŶĚĞƌŽƐŝŽŶ͘
o ƉƉůǇŝŶŐǁĂƚĞƌĞǀĞƌǇ ĨŽƵƌ ŚŽƵƌƐ ƚŽĂĐƚŝǀĞ ƐŽŝů
ĚŝƐƚƵƌďŝŶŐĂĐƚŝǀŝƚŝĞƐ͘
o dĂƌƉŝŶŐ ĂŶĚͬŽƌ ŵĂŝŶƚĂŝŶŝŶŐ Ă ŵŝŶŝŵƵŵ ŽĨ Ϯϰ
ŝŶĐŚĞƐŽĨĨƌĞĞďŽĂƌĚŽŶƚƌƵĐŬƐŚĂƵůŝŶŐĚŝƌƚ͕ƐĂŶĚ͕ƐŽŝů͕ŽƌŽƚŚĞƌůŽŽƐĞŵĂƚĞƌŝĂůƐ͘ x hƐŝŶŐĐŽŶƐƚƌƵĐƚŝŽŶĞƋƵŝƉŵĞŶƚƌĂƚĞĚďǇƚŚĞhŶŝƚĞĚ^ƚĂƚĞƐ

ŶǀŝƌŽŶŵĞŶƚĂů WƌŽƚĞĐƚŝŽŶ ŐĞŶĐǇ ĂƐ ŚĂǀŝŶŐ dŝĞƌ ϯ ŽƌŚŝŐŚĞƌĞǆŚĂƵƐƚĞŵŝƐƐŝŽŶůŝŵŝƚƐ͘ x
ŶƐƵƌŝŶŐĐŽŶƐƚƌƵĐƚŝŽŶĞƋƵŝƉŵĞŶƚŝƐƉƌŽƉĞƌůǇƐĞƌǀŝĐĞĚĂŶĚ ŵĂŝŶƚĂŝŶĞĚƚŽƚŚĞŵĂŶƵĨĂĐƚƵƌĞƌ͛ƐƐƚĂŶĚĂƌĚƐ͘
x >ŝŵŝƚŝŶŐŶŽŶĞƐƐĞŶƚŝĂůŝĚůŝŶŐŽĨĐŽŶƐƚƌƵĐƚŝŽŶĞƋƵŝƉŵĞŶƚƚŽ ŶŽŵŽƌĞƚŚĂŶĨŝǀĞĐŽŶƐĞĐƵƚŝǀĞŵŝŶƵƚĞƐ͘
x hƐŝŶŐ ^ƵƉĞƌͲŽŵƉůŝĂŶƚ sK ƉĂŝŶƚƐ ĨŽƌ ĐŽĂƚŝŶŐ ŽĨ ĂƌĐŚŝƚĞĐƚƵƌĂůƐƵƌĨĂĐĞƐǁŚĞŶĞǀĞƌƉŽƐƐŝďůĞ͘ůŝƐƚŽĨ^ƵƉĞƌͲŽŵƉůŝĂŶƚ ĂƌĐŚŝƚĞĐƚƵƌĂů ĐŽĂƚŝŶŐ ŵĂŶƵĨĂĐƚƵƌĞƐ ĐĂŶ ďĞĨŽƵŶĚ ŽŶ ƚŚĞ ^ŽƵƚŚ ŽĂƐƚ ŝƌ YƵĂůŝƚǇ DĂŶĂŐĞŵĞŶƚŝƐƚƌŝĐƚ͛Ɛ ǁĞďƐŝƚĞ Ăƚ͗ŚƚƚƉ͗ͬͬǁǁǁ͘ĂƋŵĚ͘ŐŽǀͬƉƌĚĂƐͬďƌŽĐŚƵƌĞƐͬ^ƵƉĞƌͲ ŽŵƉůŝĂŶƚͺ/D͘ƉĚĨ͘
WƌŽũĞĐƚƉƉůŝĐĂŶƚ KŶŐŽŝŶŐĚƵƌŝŶŐ
ĐŽŶƐƚƌƵĐƚŝŽŶ
ŝƚǇŽĨKŶƚĂƌŝŽƵŝůĚŝŶŐĞƉĂƌƚŵĞŶƚ
DDϯͲϮ͗dŚĞŝƚǇŽĨKŶƚĂƌŝŽƐŚĂůůĞǀĂůƵĂƚĞŶĞǁĚĞǀĞůŽƉŵĞŶƚƉƌŽƉŽƐĂůƐǁŝƚŚŝŶƚŚĞ ŝƚǇ ĂŶĚ ƌĞƋƵŝƌĞ Ăůů ĚĞǀĞůŽƉŵĞŶƚƐ ƚŽ ŝŶĐůƵĚĞ ĂĐĐĞƐƐ Žƌ ůŝŶŬĂŐĞƐ ƚŽĂůƚĞƌŶĂƚŝǀĞŵŽĚĞƐŽĨƚƌĂŶƐƉŽƌƚĂƚŝŽŶ͕ƐƵĐŚĂƐƚƌĂŶƐŝƚƐƚŽƉƐ͕ďŝŬĞƉĂƚŚƐ͕ĂŶĚͬŽƌƉĞĚĞƐƚƌŝĂŶƉĂƚŚƐ;Ğ͘Ő͕͘ƐŝĚĞǁĂůŬƐͿ͘ WƌŽũĞĐƚƉƉůŝĐĂŶƚ WƌŝŽƌƚŽ/ƐƐƵĂŶĐĞŽĨ
ƵŝůĚŝŶŐWĞƌŵŝƚ
ŝƚǇŽĨKŶƚĂƌŝŽƵŝůĚŝŶŐĞƉĂƌƚŵĞŶƚ
334
WW
E/y
h>dhZ>Z
^KhZ
d
,E/>Z
WKZd
335
Bon View Project, Ontario, California

CULTURAL RESOURCES TECHNICAL REPORT

PREPARED FOR:

BON VIEW LAND 10, LLC &
BV INVESTMENTS 10, LLC

AS TENANTS-IN-COMMON
2442 DUPONT DRIVE
IRVINE, CA 92612

PREPARED BY:

SAPPHOS ENVIRONMENTAL, INC.
430 NORTH HALSTEAD STREET
PASADENA, CA 91107

AUGUST 25, 2021

336
Bon View Project, Ontario, California Cultural Resources Technical Report August 25, 2021 Page i

TABLE OF CONTENTS

SECTIONS PAGE
ES EXECUTIVE SUMMARY .................................................................................................... 1

1.0 INTRODUCTION ............................................................................................................. 3

1.1 Goal of the Cultural Resources Technical Report.................................................... 3

1.2 Methods ............................................................................................................... 3

1.3 Scope of Investigation ........................................................................................... 3

2.0. PROJECT DESCRIPTION .................................................................................................. 4

2.1 Project Location .................................................................................................... 4

2.2 Project Description ............................................................................................... 4

3.0. REGULATORY FRAMEWORK .......................................................................................... 5

4.0. HISTORIC CONTEXT ..................................................................................................... 10

4.1 Prehistoric Context .............................................................................................. 10

4.2 Prehistory ........................................................................................................... 10

4.3 Gabrieleno Archaeology and Ethnography ........................................................... 12

4.4 Serrano Archaeology and Ethnography ................................................................ 13

4.5 Cahuilla Archaeology and Ethnography ............................................................... 14

4.6 Historic Context .................................................................................................. 15

5.0. METHODS ..................................................................................................................... 20

5.1 Records Search ................................................................................................... 20

5.2 Literature Review ................................................................................................ 20

5.3 Archaeological Field Survey ................................................................................ 21

6.0. RESULTS ........................................................................................................................ 23

6.1 Summary of Findings........................................................................................... 23

6.2 Cultural Resources .............................................................................................. 23

6.3 Results of the Phase I Archaeological Resources Survey ........................................ 24

6.4 Native American Sacred Sites and Human Remains ............................................. 24

6.5 Impact Analysis ................................................................................................... 24

7.0. CONCLUSION AND RECOMMENDATIONS ................................................................. 25

8.0. REFERENCES .................................................................................................................. 26

TABLES PAGE

6.1-1 Previous Surveys within the Study Area ........................................................................... 23

6.2-1 Resources within the Study Area ..................................................................................... 23 337
Bon View Project, Ontario, California Cultural Resources Technical Report August 25, 2021 Page ii

FIGURES FOLLOWS PAGE

2.1-1 Vicinity Map .................................................................................................................... 4

2.1-2 Project Area Map .............................................................................................................. 4

5.3-1 Overview of Project Area ................................................................................................ 21 338
1948 S. Bon View Avenue, Ontario, California Cultural Resources Technical Report August 25, 2021 Page 1

EXECUTIVE SUMMARY
The proposed project is located at 1948 S. Bon View Avenue in the City of Ontario (city), within San Bernardino County, California. The proposed project is located within the Ontario U.S.

Geological Survey (USGS) 7.5-minute quadrangle map, on the center of the city. The site is operated as an industrial property.

The project proposes the development of one 175,047-square-foot (sf) building containing 170,547 sf of warehousing space and 4,500 sf of office space split between two floors. The office portion of the building would be located in its southeast corner. The project site has a proposed floor-area ratio (FAR) of 0.54, with a maximum of 0.55 allowed in Industrial land use areas. Project site improvements would also include surface parking, landscaping, and internal drive aisles. Access to the project site would be established through two driveways along the eastern portion of the site connecting to Bon View Avenue.

The purpose of this Cultural Resources Technical Report (CRTR) is to provide the client with a cultural resources assessment for the project such that construction, operation, and maintenance may be undertaken in a manner that avoids known or observed cultural resources afforded consideration pursuant to the California Environmental Quality Act (CEQA) to the maximum extent feasible and practicable. The term cultural resources within this report refers to a historical resource under CEQA, defined as ´a resource listed in, or determined eligible by the State Historical Resources Commission, for listing in the California Register of Historical Resources or a resource included in a local register of historical resources,µ including built and archaeological resources.1 Additionally, this CRTR addresses tribal cultural resources as required by CEQA. Where it is infeasible to avoid impacts, the consideration of mitigation measures and alternatives would be required.

Historical and Archaeological Resources
The consideration of potential impacts was based on an archives and records search; literature review; coordination with the Native American Heritage Commission (NAHC), and a site visit of the project area completed on August 12, 2021.

No (0) previously recorded historical resources or archaeological sites and no (0) previously recorded prehistoric or historic isolates have been identified in the study area. One locally eligible City of Ontario (City) Historic Landmark is located within the proposed project site, and no (0) designated City Landmarks are located within a 0.25-mile radius of the project site. The results of the Sacred Lands File search conducted by the Native American Heritage Commission were negative. No new archaeological resources were identified during the archaeological pedestrian survey.
1 California Environmental Quality Act Statue and Guidelines 2021, Section 15054.5 (a)(1)(2). 339
1948 S. Bon View Avenue, Ontario, California Cultural Resources Technical Report August 25, 2021 Page 2
Cemeteries and Human Remains
There are no formal cemeteries located within the proposed project area. In addition, there are no known human remains, grave goods, or funerary objects within the proposed project area.

Tribal Cultural Resources
As a result of the request for review of the Sacred Lands File (SLF) from the NAHC, it has been determined that there are no sacred lands recorded on the same 7.5-minute-scale quadrangle (approximately 50 square miles) as the project site.

Recommendations
This CRTR resulted in the determination that the proposed project would result in less than significant impacts to listed or eligible for listing cultural resources from construction, operation, and maintenance of the proposed project.
340
1948 S. Bon View Avenue, Ontario, California Cultural Resources Technical Report August 25, 2021 Page 3
SECTION 1.0

INTRODUCTION
The subject property is located at 1948 S. Bon View Avenue, Ontario, San Bernardino County, California. This Cultural Resource Technical Report (CRTR) was prepared to demonstrate compliance with the California Environmental Quality Act (CEQA); specifically, Appendix G of the CEQA Guidelines for historical resources and tribal cultural resources (see Section 2.2, Project Description for full project description).

1.1 GOAL OF THE CULTURAL RESOURCES TECHNICAL REPORT
This CRTR has been prepared to provide a historical and tribal cultural resources assessment for the proposed project such that construction, operation, and maintenance may be undertaken in a manner that avoids known or observed cultural resources afforded consideration pursuant to CEQA to the maximum extent feasible and practicable. This analysis was undertaken to determine if the proposed project would result in significant impacts to cultural resources, requiring the consideration of mitigation measures or alternatives in accordance with CEQA regulations.2

1.2 METHODS
This report was prepared by Sapphos Environmental, Inc. The identification of existing resources and evaluation of potential impacts is based on information gathered from published and unpublished literature, South Central Coastal Information Center (SCCIC) June 2021 record search results, August 2021 Native American Heritage Commission results, California Office of Historic Resources Built Environment Directory, a review of current and historic maps and aerial photographs, and a site visit completed on August 12, 2021, to characterize the existing conditions relative to cultural and tribal cultural resources. In addition, an intensive pedestrian archaeological survey of any unpaved, or non-landscaped areas was performed by a qualified archaeologist on August 12, 2021.

1.3 SCOPE OF INVESTIGATION
The investigation covers the areas required by CEQA including historical resources, archaeological resources, human remains, and tribal cultural resources. Databases were reviewed for the project site and a 0.25-mile buffer.
2 Section 15064.5 (b) CEQA Guidelines.
341
1948 S. Bon View Avenue, Ontario, California Cultural Resources Technical Report August 25, 2021 Page 4
SECTION 2.0

PROJECT DESCRIPTION

2.1 PROJECT LOCATION
The proposed project is located at 1948 S. Bon View Avenue, Ontario, San Bernardino County, California (Figure 2.1-1, Vicinity Map; Figure 2.1-2, Project Area Map). The property is bounded by E. Francis Avenue to the north; S. Bon View Avenue to the east; E. Cedar Street to the south, and properties on the east side of S. Campus Avenue to the west. The project site is situated in the central portion of the city and is surrounded by commercial and industrial development to the south, north, east, and west.

2.2 PROJECT DESCRIPTION
The project proposes the development of one 175,047-square-foot (sf) building containing 170,547 sf of warehousing space and 4,500 sf of office space split between two floors. The office portion of the building would be located in its southeast corner. The project site has a proposed floor-area ratio (FAR) of 0.54, with a maximum of 0.55 allowed in Industrial land use areas. Project site improvements would also include surface parking, landscaping, and internal drive aisles. Access to the project site would be established through two driveways along the eastern portion of the site connecting to Bon View Avenue. The project is speculative in nature; the end user and their hours of operation are unknown at this time. However, to be conservative, it has been assumed that the building would operate 24 hours per day/7 days per week.

Regional access to the project site is provided via CA-60, approximately 0.48 mile south of the project site with exits at Grove Avenue and Euclid Avenue. Local access to the project site is provided via Bon View Avenue which an 88-foot-wide right-of-way (ROW) collector street that trends in a north-south direction. Project site main ingress and egress driveway would be provided via one 40-foot-wide, and one 30-foot-wide driveway located along the eastern border of the site along Bon View Avenue. The driveways would connect directly to Bon View Avenue and allow full access movement for both vehicles and trucks.

The project would include the provision of 109 standard 9-foot by 18-foot stalls and 21 trailer parking stalls. A project of this size would be required to provide 98 standard stalls and 6 trailer stalls. The project is anticipated to landscape approximately 10.11 percent (32,900 sf) of the project site which is higher the minimum required 10 percent (32,529 sf) as requLUHGE\WKH&LW\·V zoning code.
09 17-
02 59 9
342
FIGURE 2.1-1
Vicinity Map
343
FIGURE 2.1-2
Project Area Map
344
1948 S. Bon View Avenue, Ontario, California Cultural Resources Technical Report August 25, 2021 Page 5
SECTION 3.0

REGULATORY FRAMEWORK
This section of the report identifies the primary state laws and regulations that govern the conservation and protection of cultural resources that must be considered during the decisionmaking process for projects that have the potential to adversely affect cultural resources.

California Environmental Quality Act
Pursuant to CEQA, a historical resource is a resource listed in, or eligible for listing in, the California Register of Historical Resources (California Register). In addition, resources included in a local register of historic resources or identified as significant in a local survey conducted in accordance with state guidelines are also considered historical resources under CEQA, unless a preponderance of the facts demonstrates otherwise. According to CEQA, the fact that a resource is not listed in or determined eligible for listing in the California Register or is not included in a local register or survey shall not preclude a Lead Agency, as defined by CEQA, from determining that the resource may be a historical resource as defined in California Public Resources Code Section 5024.1.

CEQA applies to archaeological resources when (1) the archaeological resource satisfies the definition of a historical resource or (2) the archaeological resource satisfies the definition of a ´XQLTXHDrchaeological resourFHµ$unique archaeological resource is an archaeological artifact, object, or site that has a high probability of meeting any of the following criteria:

1. The archaeological resource contains information needed to answer important scientific research questions and there is a demonstrable public interest in that information.

2. The archaeological resource has a special and particular quality such as being the oldest of its type or the best available example of its type.

3. The archaeological resource is directly associated with a scientifically recognized important prehistoric or historic event or person.

Appendix G of the CEQA Guidelines3
provides a set of sample questions that guide the evaluation of potential impacts with regard to cultural resources.

Would the proposed project:
(a) Cause a substantial adverse change in the significance of an historical resource as defined in §15064.5?
(b) Cause a substantial adverse change in the significance of an archaeological resource as defined in §15064.5?
3 California Code of Regulations, Title 14, Chapter 3. Amended 6 October 2005. Guidelines for the Implementation of the California Environmental Quality Act, Appendix G.
345
1948 S. Bon View Avenue, Ontario, California Cultural Resources Technical Report August 25, 2021 Page 6
(c) Directly or indirectly destroy a unique paleontological resource or site or unique geologic feature?
(d) Disturb any human remains, including those interred outside of formal cemeteries? California Register of Historical Resources
Created in 1992 and implemented in 1998, the California Register LV ´DQ authoritative guide in California to be used by state and local agencies, private groups, and citizens to identify the SWDWH·V historical resources and to indicate what properties are to be protected, to the extent prudent and feasible, from substantial adverse chDQJHµ Certain properties, including those listed in or formally determined eligible for listing in the National Register of Historic Places (National Register) and California Historical Landmarks (CHLs) numbered 770 and higher, are automatically included in the California Register. Other properties recognized under the California Points of Historical Interest program, identified as significant in historic resources surveys, or designated by local landmarks programs may be nominated for inclusion in the California Register. A resource, either an individual property or a contributor to a historic district, may be listed in the California Register if the State Historical Resources Commission determines that it meets one or more of the following criteria, which are modeled on National Register criteria:

Criterion 1: It is associated with events that have made a significant contribution to the broad patterns of CalifoUQLD·s history and cultural heritage.

Criterion 2: It is associated with the lives of persons important in our past.

Criterion 3: It embodies the distinctive characteristics of a type, period, region, or method of construction; represents the work of an important creative individual; or possesses high artistic values.

Criterion 4: It has yielded, or may be likely to yield, information important in history or prehistory.

Resources nominated to the California Register must retain enough of their historic character or appearance to be recognizable as historical resources and to convey the reasons for their significance. It is possible that a resource whose integrity does not satisfy National Register criteria may still be eligible for listing in the California Register. A resource that has lost its historic character or appearance may still have sufficient integrity for the California Register if, under Criterion 4, it maintains the potential to yield significant scientific or historical information or specific data. Resources that have achieved significance within the past 50 years also may be eligible for inclusion in the California Register, provided that enough time has lapsed to obtain a scholarly perspective on the events or individuals associated with the resource.4 4 Office of Historic Preservation. Undated. ´7HFKQLcal Assistance Bulletin 6: California Register and National Register, A Comparison (for purposes of determining eligibility for the &DOLIRUQLD5HJLVWHU µ$YDLlable at:
www.ohp.parks.ca.gov
346
1948 S. Bon View Avenue, Ontario, California Cultural Resources Technical Report August 25, 2021 Page 7
California Historical Landmarks5
CHLs are buildings, structures, sites, or places that have anthropological, cultural, military, political, architectural, economic, scientific or technical, religious, experimental, or other value and that have been determined to have statewide historical significance by meeting at least one of the criteria listed below. The resource must also be approved for designation by the County Board of Supervisors (or the City or Town Council in whose jurisdiction it is located), be recommended by the State Historical Resources Commission, and be officially designated by the Director of California State Parks. The specific standards in use now were first applied in the designation of CHL No. 770. CHLs No. 770 and above are automatically listed in the California Register. To be eligible for designation as a Landmark, a resource must meet at least one of the following criteria:
x The first, last, only, or most significant of its type in the state or within a large geographic region (Northern, Central, or Southern California) x Associated with an individual or group having a profound influence on the history of California
x A prototype of, or an outstanding example of, a period, style, architectural movement or construction or one of the more notable works or the best surviving work in a region of a pioneer architect, designer, or master builder California Points of Historical Interest6
California Points of Historical Interest are sites, buildings, features, or events that are of local (city or county) significance and have anthropological, cultural, military, political, architectural, economic, scientific or technical, religious, experimental, or other value. Points of Historical Interest designated after December 1997 and recommended by the State Historical Resources Commission are also listed in the California Register. No historical resource may be designated as both a Landmark and a Point. If a Point is later granted status as a Landmark, the Point designation will be retired. In practice, the Point designation program is most often used in localities that do not have a locally enacted cultural heritage or preservation ordinance. To be eligible for designation as a Point of Historical Interest, a resource must meet at least one of the following criteria:
x The first, last, only, or most significant of its type within the local geographic region (city or county)
x Associated with an individual or group having a profound influence on the history of the local area
x A prototype of, or an outstanding example of, a period, style, architectural movement or construction or one of the more notable works or the best surviving work in the local region of a pioneer architect, designer, or master builder 5 Office of Historic Preservation, Department of Parks and Recreation6WDWHRI&DOLIRUQLD´&DOifornia Historical Landmarks Registration ProgUDPVµAvailable at: www.ohp.parks.ca.gov 6 Office of Historic Preservation, Department of Parks and Recreation, State of CalifornLD´&DOLIRrnia Points of Historical Interest RegistrDWLRQ3URJUDPVµ$YDLODEOHat: www.ohp.parks.ca.gov 347
1948 S. Bon View Avenue, Ontario, California Cultural Resources Technical Report August 25, 2021 Page 8
Native American Heritage Commission, Public Resources Code Sections 5097.9²5097.991 Section 5097.91 of the Public Resources Code established the NAHC, whose duties include the inventory of places of religious or social significance to Native Americans and the identification of known graves and cemeteries of Native Americans on private lands. Under Section 5097.9, a state policy of noninterference with the free expression or exercise of Native American religion was articulated along with a prohibition of severe or irreparable damage to Native American sanctified cemeteries, places of worship, religious or ceremonial sites or sacred shrines located on public property. Section 5097.98 specifies a protocol to be followed when the NAHC receives notification of a discovery of Native American human remains from a county coroner. Section 5097.5 defines as a misdemeanor the unauthorized disturbance or removal of archaeological, historic, or paleontological resources located on public lands.

California Native American Graves Protection and Repatriation Act of 2001 Codified in the California Health and Safety Code Sections 8010²8030, the California Native American Graves Protection and Repatriation Act (Cal NAGPRA) is consistent with the federal NAG35$,QWHQGHGWR´SURYLGHDVHDPOHVV and consistent state policy to ensure that all California Native American human remains and cultural items be treated with dignity and respect,µ &al NAGPRA also encourages and provides a mechanism for the return of remains and cultural items to lineal descendants. Section 8025 established a Repatriation Oversight Commission to oversee this process. The Act also provides a process for non-federally recognized tribes to file claims with agencies and museums for repatriation of human remains and cultural items.

Assembly Bill (AB) 52
AB 52 requires lead agencies to consult with California Native American Tribes that request such consultation prior to the agency·V UHOHDVH of a Notice of Preparation of an Environmental Impact Report or Notice of Intent of a Mitigated Negative Declaration on or after July 1, 2015.

Health and Safety Code, Sections 7050 and 7052
Health and Safety Code, Section 7050.5, declares that, in the event of the discovery of human remains outside a dedicated cemetery, ground disturbance must cease, and the county coroner must be notified. Section 7052 establishes a felony penalty for mutilating, disinterring, or otherwise disturbing human remains, except by relatives.

Penal Code, Section 622.5
Penal Code, Section 622.5, provides misdemeanor penalties for injuring or destroying objects of historic or archaeological interest located on public or private lands but specifically excludes the landowner.

City of Ontario
Section 9-1.2615 established Historic Landmark eligibility criteria as follows:

Historic Landmarks. Historic Landmarks shall include any property designated as an Historic Landmark prior to September 1, 2003 or any Historical Resource designated under this ordinance as an Historic Landmark.
348
1948 S. Bon View Avenue, Ontario, California Cultural Resources Technical Report August 25, 2021 Page 9
Any Historical Resource may be designated an Historic Landmark by the City Council pursuant to Section 9-1.2620 if:

1. It meets the criteria for listing in the National Register of Historic Places; or

2. It meets the criteria for listing in the California Register of Historic Resources; or

3. It meets one or more of the following criteria:
a. It exemplifies or reflects special elements of the CLW\·VKLVWRU\

b. It is identified with persons or events significant in local, state, or national history;
c. It is representative of the work of a notable builder, designer, architect, or artist; d. It embodies distinguishing architectural characteristics of a style, type, period, or method of construction;
e. It is a noteworthy example of the use of indigenous materials or craftsmanship; f. It embodies elements that represent a significant structural, engineering, or architectural achievement or innovation;
g. It has a unique location, a singular physical characteristic, or is an established and familiar visual feature of a neighborhood, community or the City; or, h. It is one of the few remaining examples in the City, region, state, or nation possessing distinguishing characteristics of an architectural or historical type or specimen.
349
1948 S. Bon View Avenue, Ontario, California Cultural Resources Technical Report August 25, 2021 Page 10
SECTION 4.0

HISTORIC CONTEXT
This section of the report characterizes the baseline conditions for cultural resources. This section includes information on prehistoric period context, regional ethnography, and regional and local historic context.

4.1 PREHISTORIC CONTEXT
This section of the report characterizes the baseline conditions for cultural resources and historic properties. The current project area lies at the geographic and cultural intersection of three prominent ethnohistoric territorial ranges. These include the Gabrielino, the Serrano, and the Cahuilla. Therefore, this section includes information on prehistoric period context, the three regional ethnographies, and regional and local historic context.

4.2 PREHISTORY
It is generally agreed that human occupation of Southern California began at least 10,000 years before present (BP). The archaeological record indicates that between approximately 10,000 and 6,000 years BP, a predominantly hunting and gathering economy existed, characterized by archaeological sites containing numerous projectile points and the remains of butchered large animals. The most heavily exploited species were likely those species still alive today. Bones of extinct species have been found in the region but, unlike other regions of the continent, are not definitively associated with cultural artifacts in California. Although small animal bones and plant grinding tools are rarely found within archaeological sites of this period, small game and vegetal foods were likely exploited on a widespread basis. A lack of intact stratified cultural deposits from this period suggests small groups practiced high residential mobility during this.

The three major periods of prehistory for the greater Southern California region have been refined by research using radiocarbon dates from archaeological sites in coastal Southern California:7,8 x Millingstone Period (6,000²1,000 B.C., or about 8,000²3,000 years ago) x Intermediate Period (1,000 B.C.²A.D. 650, or 3,000²1,350 years ago) x Late Prehistoric Period (A.D. 650²about A.D. 1800, or 1,350²200 years ago) Around 6,000 years BP, a shift in focus from hunting toward a greater reliance on vegetal resources occurred. Archaeological evidence of this trend consists of a much greater number of milling tools (e.g., metates and manos) for processing seeds and other vegetable matter. This period, known to archaeologists as the Millingstone Period, was a long period of time characterized by small, mobile groups that likely relied on a seasonal round of settlements that included both inland and coastal residential bases. Seeds from sage and grasses, rather than acorns, provided calories and carbohydrates. Faunal remains from sites dating to this period indicate the same animals were still 7 Koerper, Henry C., Roger D0DVRQDQG0DUN/3HWHUVRQ´&RPSOH[Lty, Demography, and Change in Late Holocene OraQJH&RXQW\µ,QCatalysts to Complexity: Late Holocene Societies of the California Coast, ed. M.

Erlandson and Terry L. Jones. Perspectives in California Archaeology. Vol. 6. Los Angeles, CA: University of California, Los Angeles, Institute of Archaeology.
8 Mason, R.D., and M.L. Peterson. 1994. Newport Coast Archaeological Project: Newport Coast Settlement Systems, Analysis, and Discussion. On file at South Central Coastal Archaeological Center, California State University, Fullerton.
350
1948 S. Bon View Avenue, Ontario, California Cultural Resources Technical Report August 25, 2021 Page 11
being hunted during this era. Inland Millingstone sites are characterized by numerous manos, metates, and hammerstones. Shell middens are common at coastal Millingstone sites. Coarsegrained lithic materials, such as quartzite and rhyolite, are more common than fine-grained materials in flaked stone tools from this time. Projectile points are found in archaeological sites from this period, but they are far fewer in number than from sites dating to before 6,000 years BP.

An increase in the size of groups and the stability of settlements is indicated by deep, extensive middens at some sites from this period.9
In sites post-dating roughly 3,000 years BP, archaeological evidence indicates the reliance on both plant gathering and hunting continued and was more specialized and locally adapted to particular environments. Mortars and pestles were added to metates and manos for grinding seeds and other vegetable material. Chipped-stone tools became more refined and specialized, and bone tools were more common. During this period, new peoples from the Great Basin began entering Southern California. These immigrants, who spoke an Uto-Aztecan language, seem to have displaced or absorbed the earlier population of Hokan-speaking peoples. The exact time of their entry into the region is not known; however, they were present in Southern California during the final phase of prehistory. During this period, population densities were higher than before; and settlement became concentrated in villages and communities along the coast and interior valleys.10,11 During the Intermediate Period, mortars and pestles appeared, indicating the beginning of acorn exploitation. Use of the acorn, a high-calorie, storable food source, probably allowed greater sedentism and facilitated an increased level of social organization. Large projectile points from archaeological sites of this period indicate that the bow and arrow, a hallmark of the Late Prehistoric Period, had not yet been introduced; and hunting was likely accomplished using the atlatl (spear thrower) instead. Settlement patterns during this time are not well understood. The semi-sedentary settlement pattern characteristic of the Late Prehistoric Period may have begun during the Intermediate Period, although territoriality may not yet have developed partially because of lower population densities. Regional subcultures also started to develop, each with its own geographical territory and language or dialect. 12,13,14 These were most likely the basis for the groups encountered by the first Europeans during the 18th century.15 Despite the regional differences, many material culture traits were shared among groups, indicating a great deal of interaction.16 The Late Prehistoric Period is better understood than earlier periods largely through ethnographic analogy made possible by ethnographic and anthropological research of the descendants of these groups in in the late 19th and early 20th centuries.
9 Wallace, William -
´$UFKDHRORJLFal Research at Malaga &RYHµ,QSymposium: A New Look at Some Old Sites, ed. G.S. Breschini and T. Haversat. Salinas, CA: Coyote Press. 10 Erlandson, J.M., D.J. Kennett, B.L. Ingram, D.A. Guthrie, D.P. Morris, M.A. Tveshov, G.J. West, and P.L. Walker. 1996. ´$QArchaeological and Paleontological Chronology for Daisy Cave (CA-SMI-261), San Miguel Island, &DOLIRUQLDµRadiocarbon, 38: 355²373.
11 McCawley, W. 1996. The First Angelinos: The Gabrielino Indians of Los Angeles. Banning, CA: Malki Museum Press, 128²131.
12 Kroeber, Alfred L. 1925. Handbook of the Indians of California. Bureau of American Ethnology Bulletin 78.

Washington, DC: Smithsonian Institution.
13 McCawley, W. 1996. The First Angelinos: The Gabrielino Indians of Los Angeles. Banning, CA: Malki Museum Press, 128²131.
14 Moratto, M.J. 1984. California Archaeology. New York, NY: Academic Press, 103²13. 15 Erlandson, J.M., D.J. Kennett, B.L. Ingram, D.A. Guthrie, D.P. Morris, M.A. Tveshov, G.J. West, and P.L. Walker.

´An Archaeological and Paleontological Chronology for Daisy Cave (CA-SMI-261), San Miguel Island, CaliforQLDµRadiocarbon, 38: 355²373.
16 McCawley, W. 1996. The First Angelinos: The Gabrielino Indians of Los Angeles. Banning, CA: Malki Museum Press, 128²131.
351
1948 S. Bon View Avenue, Ontario, California Cultural Resources Technical Report August 25, 2021 Page 12

4.3 GABRIELENO ARCHAEOLOGY AND ETHNOGRAPHY
The Shoshonean migration marks the arrival of Uto-Aztecan speakers to Southern California. The Gabrieleno, a branch of Shoshonean, arrived around 500 BC. Their language has been identified as Cupon language which is part of the larger Uto-Aztecan.17 At the time of Spanish contact, the Gabrieleno inhabited a rich coastal and inland region of Southern California consisting of present-day Los Angeles and Orange Counties and extending into western Riverside County, including San Nicolas, San Clemente and Santa Catalina Islands.18 Second only to the Chumash, the Gabrielino were the wealthiest, most populous, and most powerful ethnic group in Southern California.19 Settlement pattern studies concluded there is a presence of both primary villages that were occupied year-round and secondary temporary camps inhabited at various times of the season. Both primary and temporary settlements seemed to be located near water sources.20
Their culture was very similar to that of the Chumash despite marked differences in language, mortuary practices, and the manufacture and use of pottery. The Gabrieleno influenced cultures as far north as the San Joaquin Valley Yokuts, as far east as the Colorado River, and south into Baja California.

The majority of Gabrieleno artifacts reflect an ornate craftsmanship with everyday use items often decorated with asphaltum and shell inlaid, paintings and rare minerals. The Gabrieleno established a well-versed economic system focusing on trading goods, food reserves, and disturbed resources.

The Gabrieleno quarried steatite from Santa Catalina Island and often traded with neighboring tribes. Steatite items are highly diagnostic of the Gabrieleno, and it was used to make pipes, animal carvings, cooking vessels, and ornaments.21
The Gabrieleno houses were circular structures thatched with tule, fern, or carrizo (weeds). Some houses were recorded as large as 60 feet in diameter. Sweathouses, menstrual huts, and ceremonial enclosures were other common structures found in villages.22 Unfortunately, most of the 17 Johnson, J.R., T.W. Stafford Jr., H.O. Ajie, and D.P. MorULV´Arlington Springs Revisited.µ,QProceedings of the Fifth California Islands Symposium. ed. D. Browne, K. Mitchell, and H. Chaney. Santa Barbara, CA: USDI Minerals Management Service and The Santa Barbara Museum of Natural History, 541²5. 18 Bean, L.J. and &56PLWK
´*DEULHOLQRµ,QHandbook of North American Indians. Vol. 8. California, ed. R.F.

Heizer. Washington, DC: Smithsonian Institution.
19 Erlandson, J.M., D.J. Kennett, B.L. Ingram, D.A. Guthrie, D.P. Morris, M.A. Tveshov, G.J. West, and P.L. Walker.

´$Q$UFKDHROogical and Paleontological Chronology for Daisy Cave (CA-SMI-261), San Miguel Island, &DOLIRUQLDµRadiocarbon, 38: 355²373.
20 Johnson, J.R., T.W. Stafford Jr., H.O. Ajie, and D.P. Morris. 2002. ´$UOLQJWRQ6SULQJVRHYLVLWHGµ,n Proceedings of the Fifth California Islands Symposium. ed. D. Browne, K. Mitchell, and H. Chaney. Santa Barbara, CA: USDI Minerals Management Service and The Santa Barbara Museum of Natural History, 541²5. 21 Johnson, J.R., T.W. Stafford Jr., H.O. Ajie, DQG'30RUULV´$UOLQJWRQ6SULQJV5HYLVLWHGµ,QProceedings of the Fifth California Islands Symposium. ed. D. Browne, K. Mitchell, and H. Chaney. Santa Barbara, CA: USDI Minerals Management Service and The Santa Barbara Museum of Natural History, 541²5. 22 Johnson, J.R., T.W. Stafford Jr., H.O. Ajie, and D.P. Morris. 2002. ´$UOLQJWRQ6SULQJV5HYLVLWHGµ,QProceedings of the Fifth California Islands Symposium. ed. D. Browne, K. Mitchell, and H. Chaney. Santa Barbara, CA: USDI Minerals Management Service and The Santa Barbara Museum of Natural History, 541²5. 352
1948 S. Bon View Avenue, Ontario, California Cultural Resources Technical Report August 25, 2021 Page 13
Gabrielenos were gone long before systematic ethnographic studies could be completed. As a result, knowledge of their cultural and lifeways is sparse.23

4.4 SERRANO ARCHAEOLOGY AND ETHNOGRAPHY
The Serrano language is classified as being within the Takik language family.24 The Serrano lived in the San Bernardino Mountains east of the Cajon Pass to as far east as present-day Twentynine Palms and as far south as the Yucaipa Valley.25 The Serrano had exogamous moieties made up of exogamous, patrilineal clans. Lineage and clan leaders were hereditary ceremonial leaders who controlled sacred bundles and lived in ceremonial houses.26 The Serrano were organized into local lineages occupying favored territories but rarely claiming any territor\IDUIURPWKHOLQHDJH·V KRPH base.27 The estimated population of the Serrano before European contact was between 1,500 and 2,500. It is difficult to estimate the number of Serranos living in each village; however, it is likely that the villages held only as many Serranos as could be accommodated by water sources.28
The Serrano lived in dwellings which were circular, domed structures built over an excavated area.

These structures were built with fire pits and primarily served as sleeping areas. Ceremonial houses were the only other buildings in the villages and were normally occupied by the village priest.29 In the Serrano artifact assemblage, it is noted to be similar to that of the neighboring Cahuilla and includes musical instruments such as rattles and flutes; utensils and ornaments such as fire drills, mortars, metates, pipes, beads, awls, and projectile points from wood, shell, bone, and stone. The Serrano were talented pottery and basket makers. Their pots were made of coiled clay smoothed out with a paddle and set in the sun to dry before being fired in a pit. Serrano Brown ware was sometimes decorated with designs of circles and lines of either red or black.30 The Serrano were also known for their petroglyphs. Abstract and geometric designs are often seen with representational figures of sheep, lizards (zoomorphs) and human beings (anthropomorphs). 23 Johnson, J.R., T.W. Stafford Jr., H.O. Ajie, and D.P. Morris. 2002. ´$UOLQJWRQ6SULQJV5HYLVLWHGµ,QProceedings of the Fifth California Islands Symposium. ed. D. Browne, K. Mitchell, and H. Chaney. Santa Barbara, CA: USDI Minerals Management Service and The Santa Barbara Museum of Natural History, 541²5. 24 Bean, Lowell J. 1972. Mukat's People: The Cahuilla Indians of Southern California. Berkeley, CA: University of California Press.
25 Johnson, J.R., T.W. Stafford Jr.+2$MLHDQG'30RUULV´$UOLQJWRQ6SUings ReviVLWHGµ,QProceedings of the Fifth California Islands Symposium. ed. D. Browne, K. Mitchell, and H. Chaney. Santa Barbara, CA: USDI Minerals Management Service and The Santa Barbara Museum of Natural History, 541²5. 26 Johnson, J.R., T.W. Stafford Jr., H.2$MLHDQG'30RUULV´$UOLQJWRQ6SULQJV5HYLVLWHGµ,QProceedings of the Fifth California Islands Symposium. ed. D. Browne, K. Mitchell, and H. Chaney. Santa Barbara, CA: USDI Minerals Management Service and The Santa Barbara Museum of Natural History, 541²5. 27 Johnson, J.R., T.W. Stafford Jr., H.O. Ajie, and D.P. Morris. 2002. ´$UOLQgton Springs Revisited.µ In Proceedings of the Fifth California Islands Symposium. ed. D. Browne, K. Mitchell, and H. Chaney. Santa Barbara, CA: USDI Minerals Management Service and The Santa Barbara Museum of Natural History, 541²5. 28 Stickel, E.G. and L.J. Weinman-Roberts. 1980. An Overview of the Cultural Resources of the Western Mojave Desert. Bureau of Land Management Cultural Resources Publications. 29 Bean, Lowell J. 1972. Mukat's People: The Cahuilla Indians of Southern California. Berkeley, CA: University of California Press.
30 Bean, Lowell J. 1972. Mukat's People: The Cahuilla Indians of Southern California. Berkeley, CA: University of California Press.
353
1948 S. Bon View Avenue, Ontario, California Cultural Resources Technical Report August 25, 2021 Page 14
Researchers have proposed that the petroglyphs were records of important events, rough maps, and artistic representations of native life.31

4.5 CAHUILLA ARCHAEOLOGY AND ETHNOGRAPHY
The Cahuilla occupied a roughly 2,400-square-mile territory that covered a wide ecological range extending from the San Jacinto Mountains to the desert to the Salton Sea and was divided into geographical areas claimed by corporate groups called a Sib, composed of several lineages and villages.32 The territory was in a strategic location that provided access to resources through trade, as it was bisected by the major trade route, the Coco-Maricopa Trail. In addition, the territory was located at the periphery of two other routes, the Santa Fe Trail (which connected what is now the city of Needles to Cajon Pass) and the Yuman Trail which crossed the Borrego Desert, beginning in the city of Yuma and ending in San Diego.33 The Cahuilla, although separated from neighboring tribes by geographical features, still interacted with groups such as the Serrano, with whom the Cahuilla shared a similar ecological base, subsistence system, social and political structure, and belief system. They also regularly interacted with the Gabrieleno, a group essential in the diffusion of ideas and natural resources from the coast to inland.34 Cahuilla settlements were occupied year-round, with portions of the population, (sometimes up to one-half or two-thirds) practicing residential mobility patterns. This residential mobility was marked by faction groups leaving the main settlements for days or weeks at a time to engage in hunting, gathering, and trading activities. The settlements were located near ecological and geographical features, such as rivers, springs, or caves and canyons to maximize availability of resources.

Hunting and gathering resources such as acorns, mesquite, pinyon, cacti, tubers, and wild game remained the primary lifeway through this time. Agriculture was minimally practiced and did not have a profound effect on settlement or subsistence patterns. The Cahuilla maximized food storage with the use of large granaries near households and ceremonial structures.35 The first extensive contact with Europeans occurred when the Juan Bautista de Anza expedition passed through the area, setting up a trade route to provide resources to the missions by land.

While the first contact was hostile, later interaction included baptisms (at the surrounding missions) and, eventually, the adoption by the Cahuilla of Euro-American cattle and agricultural practices.

The Cahuilla managed to maintain their political and economic autonomy through the Spanish period, Mexican period, and into the American pioneer period. A smallpox epidemic in 1863 31 Bean, Lowell J. 1972. Mukat's People: The Cahuilla Indians of Southern California. Berkeley, CA: University of California Press.
32 Bean, Lowell J. 1972. Mukat's People: The Cahuilla Indians of Southern California. Berkeley, CA: University of California Press, 68-69, 70-75.
33 Bean, Lowell J. 1972. Mukat's People: The Cahuilla Indians of Southern California. Berkeley, CA: University of California Press, 68-69, 70-75.
34 Johnson, J.R., T.W. StafforG-U+2$MLHDQG'30RUULV´$UOLQJWRn Springs 5HYLVLWHGµ,QProceedings of the Fifth California Islands Symposium. ed. D. Browne, K. Mitchell, and H. Chaney. Santa Barbara, CA: USDI Minerals Management Service and The Santa Barbara Museum of Natural History, 541²5. 35 Johnson, J.R., T.W. Stafford Jr+2$MLHDQG'30RUULV´$UOLQJWRQ6SULQJV5HYLVLWHGµ,QProceedings of the Fifth California Islands Symposium. ed. D. Browne, K. Mitchell, and H. Chaney. Santa Barbara, CA: USDI Minerals Management Service and The Santa Barbara Museum of Natural History, 541²5. 354
1948 S. Bon View Avenue, Ontario, California Cultural Resources Technical Report August 25, 2021 Page 15
decimated a large part of the population and weakened their sovereignty. The Cahuilla remained (for the most part) on their own lands until 1877 when reservations were established.36

4.6 HISTORIC CONTEXT
Regional History
Euro-American settlement began in the area in the early 1800s as persons seeking land and fortunes made their way west from the mid-west and east coast of the United States (U.S.) or north from what is now known as Mexico. The Catholic missionaries were a catalyst in the expansion of Euro-American influences in this region. A group of missionaries, Native Americans, and soldiers from the San Gabriel Mission named San Bernardino in honor of the feast day of San Bernardino of Sienna when they entered the valley on May 10, 1810.37 The Mission San Gabriel initially attempted to expand its influence in the San Bernardino Valley when Father Dumetz was sent to the valley in 1810 to establish the mission station known as Politana. An earthquake in 1812 followed by raids from neighboring Native American tribes caused a lull of interest in the Politana by the Mission San Gabriel. 38 Beginning in the 1830s, the Mission San Gabriel established a branch at the Asistencia (California Historical Landmark No. 42).39 The Asistencia is currently located in the Mission District in eastern Loma Linda.40 During the years 1822 through 1827, the Mission Fathers traveled the San Bernardino-Sonora Road, also known as the Emigrant or Mormon Trail, (California Point of Historical Interest No. 96), which traversed Redlands, Old San Bernardino, Colton, and Agua Mansa, from the Mission San Gabriel to the San Bernardino Asistencia.41 After Mexico achieved independence from Spain in 1821, the Mexican government seized ownership of church properties through the Secularization Act of 1833, and lands were redistributed as ranchos through a tribute system.42 This land redistribution by the Mexican government fostered the development of ranchos in what is now known as California.

As a result of the Mexican government seizing control of church properties, the Asistencia was largely abandoned by the late 1830s. The Lugo family, under leadership of Jose del Carmen Lugo, moved into the former Asistencia buildings in order to establish a colony.43 Slover Mountain, also known as El Cerrito Solo, was the natural landmark used for establishing the boundaries of the /XJRV·ODQG grant within the San Bernardino Rancho.44 What became known as San Bernardino County originally consisted of the following ranchos: Canon de Santa Ana, Jurupa and El Rincon, 36 Johnson, J.R., T.W. Stafford Jr., H.O. Ajie, and D.P. Morris. ´Arlington Springs RevisiWHGµ In Proceedings of the Fifth California Islands Symposium. ed. D. Browne, K. Mitchell, and H. Chaney. Santa Barbara, CA: USDI Minerals Management Service and The Santa Barbara Museum of Natural History, 541²5. 37 Federal WriterV·3URMHFWRIWKH:RUNV3URMHFW$GPLQLVWration for the State of California. 1939. California: A Guide to the Golden State. New York, NY: Hastings House Publishers, 616, 455, 456. 38 Scott, M.B. 1976. ´'HYHORSPent of Water Facilities in the Santa Ana River Basin, California, 1810- µ
39 State of California Office of Historic Preservation, 2009b. 40 Loma Linda, City of. 2008. ´&KDSWHU+LVWRULF0LVVLRn Overlay District; Loma Linda Municipal Code. Accessed March 5, 2009. Available at: http://ordlink.com/codes/lomalinda/index.htm 41 State of California Resources Agency. 31 January 1973. ´3RLQWRI+LVWRULFDO,QWHUHVW6DQ%HUQDUGLQR-Sonora Road, Ontario.µ
42 Van Horn, Kurt. 1974. ´7HPSWLQJ7emecula. The Making and Unmaking of a Southern California CommunityµThe Journal of San Diego History. Winter, Volume 20, Number 1. 43 Scott, M.B. 1976. ´'HYHORSPHQWRI:DWHU)DFLOLWLHVLQWKH6DQWD$QD5LYHU%DVLQ&alifornia, 1810- µ
44 State of California Resources Agency. 31 January 1973. ´Point of Historical Interest, Slover Mountain.µ 355
1948 S. Bon View Avenue, Ontario, California Cultural Resources Technical Report August 25, 2021 Page 16
Cucamonga, Santa Ana del Chino, San Bernardino, and Muscupiabe.45 The ranchos largely subsisted on cattle ranching and raising crops which were irrigated from the Mill Creek Zanja and other irrigation ditches.

In an effort to gain territory, the U.S. seized the territory of Texas from the Mexican government, which resulted in the Mexican-American War. The State of California was annexed by the U.S. in 1848 through the Treaty of Guadalupe Hidalgo which ended the Mexican-American War (California Point of Historical Interest No. 151).46 The end of the war further paved the way for Euro-American settlement from the east. Ontario was sectioned as part of the public land survey system and was not owned as a rancho.

City of Ontario
The following historic context is quoted from the City of Ontario·s ´History.µ47 It was in the first week of August 1881 when George Chaffey, a Canadian engineer, viewed the wastes known as the Cucamonga Desert and decided that this patch of land, if properly watered, could become productive and profitable. George and his brother William bought the "San Antonio lands," 6,218 acres with water rights for $60,000. This was the nucleus of their new model colony. They subsequently expanded to the Southern Pacific Railroad tracks on the south. On the north, they took in the Kincaid Ranch at San Antonio Canyon, an all-important source of water.
45 Schuiling, Walter C. 1984. San Bernardino County: Land of Contrasts. Brightwaters, NY: Windsor Publications. 46 State of California Office of Historic Preservation. 2009. California Historical Landmarks: Los Angeles County Accessed January 12, 2009. Available at: http://www.ohp.parks.ca.gov/?page_id=21476 47 City of Ontario. ´Facts and History.µ Available at: https://www.ontarioca.gov/FactsAndHistory 356
1948 S. Bon View Avenue, Ontario, California Cultural Resources Technical Report August 25, 2021 Page 17
The Ontario Colony lands were quickly surveyed and went on sale in November 1882.

The centerpiece was Euclid Avenue, eight miles long and two hundred feet wide, the twin "driveways" separated by a parkway which was seeded in grass and lined with pepper trees. George named Euclid Avenue after the great Greek mathematician whose book Elements of Geometry had been a favorite subject for George in school.

The primary requirement, which had to be met before the land could be utilized, was that water had to be found and brought to the town. Chaffey laid miles of cement pipe for this purpose and later the San Antonio Water Co. drove a tunnel into the head of the canyon to tap the underground flow³then an innovation in the field. The need for electric power to lift water from deep wells led to the establishment of the Ontario Power Co.

Another innovation in the settlement of Ontario was the provision, whereby, purchasers of land automatically received shares in the water company. This would ensure purchasers that a share of water proportional to their acreage would be piped to their land. This eliminated many problems that faced settlers elsewhere, where land rights and water rights were kept separate.

TKH UHVXOWV RI *HRUJH &KDIIH\·V ODERUV VKRZHG ZKDW FRXOG EH Dchieved. All too soon, however, the Chaffey brothers went off to Australia to attempt a repeat performance of their success as city planners here.

Charles Frankish became the guiding force during 2QWDULR·V HDUO\ \HDUV1RPDWWHUZKDW the activity he undertook, Frankish always threw himself into his work and was determined to do the best possible job.
357
1948 S. Bon View Avenue, Ontario, California Cultural Resources Technical Report August 25, 2021 Page 18
In 1887, 2QWDULR·VXQLTXH´gravity mule carµ made its first run on Euclid Avenue. Charles Frankish and Godfrey Stamm established the Ontario and San Antonio Heights R.R. Co.

Engineer John Tays of Upland added the pull-out trailer that allowed the mules to coast downhill after each laborious pull from Holt to Twenty²Fourth Street. The mule car served until 1895, when it was replaced by an electric streetcar and returned temporarily when a flood damaged the electrical generator in the powerhouse.

On Dec 10th, 1891, Ontario was incorporated as a city of the sixth class under the California Constitution. It adopted a City Council-City Manager form of government. The mayor was at first called the "President of the Board," and was chosen by the Council, or the Board of Trustees as it was then called, from among their number. Subsequently, the law was changed to allow the people to elect the mayor directly.

Ontario first developed as an agricultural community, largely but not exclusively devoted to citrus. A few of the lovely Victorian "grove houses" still survive, relics of the days when growers could pretend that they were living the graceful lives of the old Spanish dons³ until it came time for harvest.

Chaffey College, which was located where the Chaffey brothers put it until 1960, originally emphasized agricultural subjects to give the growers a hand. It was there that Prof. George Weldon developed the %DEFRFN SHDFK DQ DGDSWDWLRQ WR &DOLIRUQLD·V PLOG ZLQWHUV The college has moved to Rancho Cucamonga now, but Chaffey High School is still on what was originally a joint campus
.

Even though the groves have gone from the West End, Ontario is still close to the "ton-mile center" of the industry. In addition to oranges, the production of peaches, walnuts, lemons and grapes was also important to the growth of Ontario and the adjoining city of Upland. 358
1948 S. Bon View Avenue, Ontario, California Cultural Resources Technical Report August 25, 2021 Page 19
In 1923, Judge Archie Mitchell, Waldo Waterman, and some other airplane enthusiasts established Latimer Field. From that time on, the town became increasingly aviation conscious. Urban growth pushed the fliers progressively east, until they took up their present location, the Ontario International Airport. During World War II, this was a busy training center for pilots of the hot Lockheed P-38 "Lightning" twin-boom fighter.

Since World War II, Ontario has become a much more diversified community. The mean temperature of 61 degrees and the average rainfall of 18.4" continues to attract more residents. The city has expanded from the 0.38 square mile area incorporated back in 1891, up to almost 50 square miles. The economy now reflects an industrial and manufacturing base. Ten thousand acres are zoned for industrial use. With three major railroads, the San Bernardino, Pomona, and Devore Freeways (10, 60, and 15), and the Ontario International Airport. Ontario is well provided with major transportation resources. Its proximity to Los Angeles ensures that Ontario will continue to grow in the years ahead.
2QWDULR·VRIILFLDOVRQJLV "Beautiful Ontario," written by Paul Coronel in 1960. The official flower is the Charlotte Armstrong rose, developed by local nurseryman John Armstrong and named for his first wife. At different times, Ontario has adopted as its slogan or motto each of the following: The Model Colony; The Model City; The City That Charms; Ontario Offers Opportunity; Pulse of the Inland Empire; Stop and Grow with Ontario; Gateway to the Inland Empire; A Balanced Community; The Gateway to Southern California; and Southern California's Next Urban Center.
359
1948 S. Bon View Avenue, Ontario, California Cultural Resources Technical Report August 25, 2021 Page 20
SECTION 5.0

METHODS
This section of the report describes the methods employed in the characterization and evaluation of cultural and tribal cultural resources within the proposed project study area. The study methods were designed to provide the substantial evidence required to address the scope of analysis recommended in Section 15064.5 of the CEQA regulations related to cultural resources, Native American sacred sites, and human remains.

5.1 RECORDS SEARCH
Cultural Resources Records Search
A background records search was conducted to identify previously documented cultural resources within or near the project site. A record search was conducted at the South Central Coastal Information Center, located at California State University, Fullerton, by staff on June 9, 2021. A Sacred Lands File search was conducted by the Native American Heritage Commission on August 24, 2021. The California Office of Historic Preservation Built Environment Resource Directory and City of Ontario California Historical Resources Inventory Database (CHRID) were reviewed on August 17, 2021. National, state, and local inventories of cultural resources were examined to identify significant events and personages, development patterns, and unique interpretations of architectural styles. The following inventories were consulted:
x National Register of Historic Places (2021)
x California Register of Historical Resources (2021)
x California Historical Landmarks
x California Points of Historical Interest
x City of Sierra Madre Historical Landmarks (Historical Landmarks) Staff conducted a record search at SCCIC on June 9, 2021 and included a 0.25-mile radius around the project site. The purpose of the literature search was to identify cultural resources previously recorded within and around the project site.

5.2 LITERATURE REVIEW
A literature review was completed to determine if the proposed project would have the potential to have a significant impact on previously recorded historical resources, thus requiring the consideration of avoidance and minimization measures, in accordance with CEQA Regulations.

Research included the examination of published and unpublished literature, local libraries, historic context statements, databases of previously completed surveys in the area, and a review of current and historic maps and aerial photographs. Historic aerial photographs were available and reviewed for the years 1952, 1953, 1954, 1964, 1972, 1977, 1978, 1980, 1994, 2002, 2003, 2005, 2009, 2010, 2012, 2014, 2016, and 2018. Additionally, historic topographic maps were available and reviewed for the years 1894, 1896, 1898, 1900, 1904, 1907, 1910, 1913, 1915, 1920, 1927, 1928, 1931, 1933, 1940, 1941, 1947, 1958, 1964, 1967, 1974, 1988, 1994, 1999, 2012, 2015, and 2018.
360
1948 S. Bon View Avenue, Ontario, California Cultural Resources Technical Report August 25, 2021 Page 21

5.3 ARCHAEOLOGICAL FIELD SURVEY
All cultural resource work was carried out under the direct supervision of qualified archaeologists who meet the Secretar\RIWKH,QWHULRU·VProfessional Qualification Standards for Archaeology and History, and in accordance with the procedures for compliance with CEQA. Key cultural resources personnel who conducted the field survey and prepared the technical report include Sapphos Environmental, Inc.·s Mr. Daniel Woodward, MA, (RPA #989900) who is on the Riverside County Planning Department Cultural Consultant List as Professional Archaeologist.

Sapphos Environmental, Inc. archaeologists, Mr. Woodward conducted pedestrian archaeological field survey of the project area on August 12, 2021, to document the existing conditions of the portion of open land in the project area. The project area was surveyed using transects spaced no greater than 15 meters apart. Mr. Woodward were equipped with a sub-meter accurate GPS unit recording spatial data and documented the survey area and all findings with a high-resolution digital camera. The area surveyed was open area in the SW portion of the project and consisted of approximately 0.8 acre of surface area. The overall ground visibility during the pedestrian survey was fair (approximately 30 percent). The project area is heavily disturbed, with piles of fill material, rubble and modern construction debris scattered across the property (Figure 5.3-1, Overview of Project Area). Sapphos Environmental archaeologists followed the 6HFUHWDU\ RI WKH ,QWHULRU·V Standards and Guidelines for Archaeology and Historic Preservation48 during the fieldwork.

The archaeologist examined exposed ground surface for artifacts (e.g., flaked stone tools, toolmaking debris, milling tools, ceramics), faunal remains (e.g., marine shell and bone), soil discoloration that might indicate the presence of a cultural midden, and features indicative of the former presence of structures or buildings (e.g., standing exterior walls, postholes, foundations) or historic debris (e.g., metal, glass, ceramics). Exposed subsurface soils resulting from rodent and other animal burrows were consistently identified and were visually inspected for cultural resources.

Appropriate personal protective equipment (i.e., snake gaiters, safety glasses, high-visibility safety vests, and appropriate boots) were used during the survey. Weather was ideal for survey; clear and sunny with a light breeze and a relative 85 degrees Fahrenheit. Survey methods included closeinterval 5-meter systematic transects and examination of all rodent spoil piles, exposed soil profiles, and disturbances. Extra time and effort were given to the examination of these disturbances in areas of decreased ground visibility, thereby supplementing the typical pedestrian survey methods with more intensive efforts.
48 Federal Register. 29 September 1983. Volume 48, Number 190, 44716. 361
1948 S. Bon View Avenue, Ontario, California Cultural Resources Technical Report August 25, 2021 Page 22
Figure 5.3-1. Overview of Project Area
SOURCE: Sapphos Environmental, Inc., 2021
362
1948 S. Bon View Avenue, Ontario, California Cultural Resources Technical Report August 25, 2021 Page 23
SECTION 6.0

RESULTS
This section of the report characterizes the baseline conditions for cultural resources; evaluates the potential for the proposed project to result in significant direct, indirect, or cumulative impacts, and identifies feasible measures capable of avoiding or reducing the significant impacts to cultural resources that would result from reasonably foreseeable development of the proposed project.

6.1 SUMMARY OF FINDINGS
A records search was conducted at the SCCIC on June 9, 2021. Results of the records search indicated that there have been zero (0) resources identified within the project site or 0.25-mile buffer study area. A search of the BERD indicated zero (0) properties were identified within the project site; however, one (1) property is located within the 0.25-mile buffer study area. One (1) report was identified within the 0.25-mile buffer study area (Table 6.1-1, Previous Surveys within the Study Area).

TABLE 6.1-1

PREVIOUS SURVEYS WITHIN THE STUDY AREA
Report No. Year Report Title
Within
Project Site Author
SB-03901 2003
Cultural Resource Assessment:

Cingular Wireless Facility #SB 245-
01, Ontario, San Bernardino County,
CA.

No Caprice Harper

6.2 CULTURAL RESOURCES
The 2021 SCCIC records search indicated that there are no previously recorded cultural resources located within the project site or 0.25-mile buffer study area.

A review of the BERD indicated 840 E. Francis Street was previously indicated and assigned a status code of 7N, or ´Needs to be reevaluated - formerly coded as may become NR eligible with specific conditions.µ No additional resources were identified in the records and database searches (Table 6.2-1, Resources within the Study Area).

TABLE 6.2-1

RESOURCES WITHIN THE STUDY AREA
Primary
No. Address Property Type
Status Code Within Project
Site
36-015808 840 E. Francis Street Building 7N N
363
1948 S. Bon View Avenue, Ontario, California Cultural Resources Technical Report August 25, 2021 Page 24
Local Agencies
City of Ontario
The results of the City of Ontario California Historical Resource Inventory Database (CHRID) review were negative for the project site and a 0.25-mile search radius.

6.3 RESULTS OF THE PHASE I ARCHAEOLOGICAL RESOURCES SURVEY The pedestrian archaeological resources survey was completed for the proposed project site on August 12, 2021. No cultural resources were identified during the survey.

6.4 NATIVE AMERICAN SACRED SITES AND HUMAN REMAINS
The results of the request for review of the SLF from the NAHC are negative; therefore, there are no sacred land within the project footprint. The record searches, supplemental research, and field surveys did not reveal any known cemeteries or burial sites within the action area.

6.5 IMPACT ANALYSIS
Based on the desktop review, record search results, site visit, and a review of Section 15064.5 (b) of the CEQA Guidelines, Sapphos Environmental, Inc. has determined that there would be a less than significant impact to cultural resources as a result of the proposed project.

Section 15064.5 (b) states ´a project with an effect that may cause a substantial adverse change in the significance of an historical resource is a project that may have a significant effect on the environment. Substantial adverse change in the significance of an historical resource means physical demolition, destruction, relocation, or alteration of the resource or its immediate surroundings such that the significance of an historical resource would be materially impaired.µ49 A Statement of Overring Considerations was adopted with The Ontario Plan (General Plan) Environmental Impact Report (EIR) for the demolition of Tier 3 historic properties. Tier 1 and 2 historic properties require preparation of an EIR. The subject property is not currently on the Historic Resource Inventory, but staff will recommend the addition to the Historic Preservation Subcommittee- HPSC (the keeper) and will prepare a Tier 3 Determination for consideration. This process will be initiated with submittal of entitlement applications and the Certificate of Appropriateness for demolition application. Thus, a finding of less than significant impacts is recommended for the proposed project.
49 Section 15064.5 (b)(1) CEQA Guidelines, 177. 2021.
364
1948 S. Bon View Avenue, Ontario, California Cultural Resources Technical Report August 25, 2021 Page 25
SECTION 7.0

CONCLUSION AND RECOMMENDATIONS
This section of the report provides the conclusions and recommendations for minimizing potential impacts to cultural resources from the proposed project.

There are no previously recorded cultural resources on file with the SCCIC within the proposed project area or 0.25-mile buffer. The subject property is a Tier 3 property per The Ontario Plan and mitigation measures were previously approved through the Statement of Overriding Consideration.

Based on the negative archaeological resource survey, and because no archaeological resources were identified through the SCCIC records search, there is a low probability to encounter archaeological resources based on the inherent characteristics and location of the project area.

There were no cemeteries or burial sites observed as a result of the review of historic aerial photographs and historic topographic maps. There is a low probability to encounter human remains based on the inherent characteristics and location of the project area based on this review.

Through the implementation of project design features, impacts to cultural resources are anticipated to be less than significant. Therefore, the proposed project would not result in a substantial adverse change to a historical resource (Section 15064.5(b) of the CEQA Guidelines. 365
1948 S. Bon View Avenue, Ontario, California Cultural Resources Technical Report August 25, 2021 Page 26
SECTION 8.0

REFERENCES
Bean, L.J. and &56PLWK
´*DEULHOLQRµ,QHandbook of North American Indians. Vol. 8.

California, ed. R.F. Heizer. Washington, DC: Smithsonian Institution.

Bean, Lowell J. 1972. Mukat's People: The Cahuilla Indians of Southern California. Berkeley, CA:

University of California Press.

California Code of Regulations, Title 14, Chapter 3. Amended 6 October 2005. Guidelines for the Implementation of the California Environmental Quality Act, Appendix G.

California Environmental Quality Act Statue and Guidelines 2021, Section 15054.5 (a)(1)(2).

City of Ontario. ´Facts and History.µ Available at: https://www.ontarioca.gov/FactsAndHistory Erlandson, J.M., D.J. Kennett, B.L. Ingram, D.A. Guthrie, D.P. Morris, M.A. Tveshov, G.J. West, and P.L. Walker. 1996. ´$QArchaeological and Paleontological Chronology for Daisy Cave (CA-SMI-261), San MiJXHO,VODQG&DOLIRUQLDµRadiocarbon, 38: 355²373.

Federal Register. 29 September 1983. Volume 48, Number 190, 44716.

Federal WritHUV· Project of the Works Project Administration for the State of California. 1939.

California: A Guide to the Golden State. New York, NY: Hastings House Publishers, 616, 455, 456.

Johnson, J.R., T.W. Stafford Jr., H.O$MLHDQG'30RUULV´Arlington Springs Revisited.µ In Proceedings of the Fifth California Islands Symposium. ed. D. Browne, K. Mitchell, and H.

Chaney. Santa Barbara, CA: USDI Minerals Management Service and The Santa Barbara Museum of Natural History.

Koerper, Henry C., Roger D. Mason, and Mark L. PeterVRQ´&RPSOH[LW\'HPRJUDSK\DQG Change in Late HolocHQH2UDQJH&RXQW\µ,QCatalysts to Complexity: Late Holocene Societies of the California Coast, ed. M. Erlandson and Terry L. Jones. Perspectives in California Archaeology. Vol. 6. Los Angeles, CA: University of California, Los Angeles, Institute of Archaeology.

Kroeber, Alfred L. 1925. Handbook of the Indians of California. Bureau of American Ethnology Bulletin 78. Washington, DC: Smithsonian Institution.

Loma Linda, City of. 2008. ´&KDSWHU.82 Historic Mission Overlay District; Loma Linda Municipal Code. Accessed March 5, 2009. Available at:
http://ordlink.com/codes/lomalinda/index.htm
Mason, R.D., and M.L. Peterson. 1994. Newport Coast Archaeological Project: Newport Coast Settlement Systems, Analysis, and Discussion. On file at South Central Coastal Archaeological Center, California State University, Fullerton. 366
1948 S. Bon View Avenue, Ontario, California Cultural Resources Technical Report August 25, 2021 Page 27
McCawley, W. 1996. The First Angelinos: The Gabrielino Indians of Los Angeles. Banning, CA:

Malki Museum Press.

Moratto, M.J. 1984. California Archaeology. New York, NY: Academic Press, 103²13.

Office of Historic Preservation, Department of Parks and Recreation, State of &DOLIRUQLD´&DOifornia Historical Landmarks Registration ProgUDPVµAvailable at: www.ohp.parks.ca.gov Office of Historic Preservation. Undated. ´7HFKQLcal Assistance Bulletin 6: California Register and National Register, A Comparison (for purposes of determining eligibility for the California Register
µ$YDLODEOHDW
ZZZRKSSDUNVFDJov
Schuiling, Walter C. 1984. San Bernardino County: Land of Contrasts. Brightwaters, NY: Windsor Publications.

Scott, M.B. 1976. ´'HYHORSPHQWRI:DWHU)DFLOLWLes in the Santa Ana River Basin, California, 1810-
µ
Section 15064.5 (b)(1) CEQA Guidelines, 177. 2021.

State of California Office of Historic Preservation, 2009b.

State of California Office of Historic Preservation. 2009. California Historical Landmarks: Los Angeles County Accessed January 12, 2009. Available at:
http://www.ohp.parks.ca.gov/?page_id=21476
State of California Resources Agency. 31 January 1973. ´3RLQWRI+LVWRULFDO,QWHUHVW6DQ Bernardino-Sonora Road, Ontario.µ
Stickel, E.G. and L.J. Weinman-Roberts. 1980. An Overview of the Cultural Resources of the Western Mojave Desert. Bureau of Land Management Cultural Resources Publications.

Van Horn, Kurt. 1974. ´7HPSWLQJ7emecula. The Making and Unmaking of a Southern California CommunityµThe Journal of San Diego History. Winter, Volume 20, Number 1.

Wallace, :LOOLDP-
´Archaeological Research at MalagD&RYHµ,QSymposium: A New Look at Some Old Sites, ed. G.S. Breschini and T. Haversat. Salinas, CA: Coyote Press.

Section 15064.5 (b) CEQA Guidelines.
367
WW
E/y
,
>d,Z/^<^^
^^D
Ed

368

Health Risk Assessment
Bon View Project
City of Ontario, California
WƌĞƉĂƌĞĚďǇ͗
<ŝŵůĞǇͲ,ŽƌŶĂŶĚƐƐŽĐŝĂƚĞƐ͕/ŶĐ͘
ϭϭϬϬt͘dŽǁŶĂŶĚŽƵŶƚƌǇZĚ^ƵŝƚĞϳϬϬ
KƌĂŶŐĞ͕ĂůŝĨŽƌŶŝĂϵϮϴϲϴ
ŽŶƚĂĐƚ͗Dƌ͘ZǇĂŶŚŝĞŶĞ
ϳϭϰ͘ϳϬϱ͘ϭϯϰϯ
ƵŐƵƐƚ ϮϬϮϭ
369
ŝƚǇŽĨKŶƚĂƌŝŽ ŽŶsŝĞǁWƌŽũĞĐƚ
,ĞĂůƚŚZŝƐŬƐƐĞƐƐŵĞŶƚ
ƵŐƵƐƚϮϬϮϭ
WĂŐĞͮŝŝ

TABLE OF CONTENTS
ϭ /EdZKhd/KE
ϭ͘ϭ WƌŽũĞĐƚ>ŽĐĂƚŝŽŶ͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘ ϭ ϭ͘Ϯ WƌŽũĞĐƚĞƐĐƌŝƉƚŝŽŶ͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘ ϭ Ϯ
Es/ZKED
Ed>^
dd/E'
Ϯ͘ϭ ůŝŵĂƚĞ͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘ ϱ Ϯ͘Ϯ DĞƚĞŽƌŽůŽŐǇ͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘ ϱ Ϯ͘ϯ dŽǆŝĐŝƌŽŶƚĂŵŝŶĂŶƚƐ ͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘ ϲ Ϯ͘ϰ ^ĞŶƐŝƚŝǀĞZĞĐĞƉƚŽƌƐ ͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘ ϳ ϯ Z
'h>dKZz^
dd/E'
ϯ͘ϭ &ĞĚĞƌĂů͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘ ϴ ϯ͘Ϯ ^ƚĂƚĞŽĨĂůŝĨŽƌŶŝĂ͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘ ϵ ϯ͘ϯ ZĞŐŝŽŶĂů͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘ ϭϭ ϰ ^/'E/&/E
Z/d
Z/ED
d,KK>K'z
ϰ͘ϭ ,ĞĂůƚŚZŝƐŬŶĂůǇƐŝƐdŚƌĞƐŚŽůĚƐ ͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘ ϭϯ ϰ͘Ϯ DĞƚŚŽĚŽůŽŐǇ ͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘ ϭϯ ϱ WKd
Ed/>,
>d,Z/^< /DWd^
ϱ͘ϭ ŽŶƐƚƌƵĐƚŝŽŶ,ĞĂůƚŚZŝƐŬŶĂůǇƐŝƐ ͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘ ϭϴ ϱ͘Ϯ KƉĞƌĂƚŝŽŶĂů,ĞĂůƚŚZŝƐŬŶĂůǇƐŝƐ͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘ ϭϵ ϱ͘ϯ EŽŶͲĂƌĐŝŶŽŐĞŶŝĐ,ĂǌĂƌĚƐ ͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘ ϭϵ ϲ Z
&
Z
E
^
ZĞĨĞƌĞŶĐĞƐ͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘ Ϯϭ d>
^
dĂďůĞϭ ^ĞŶƐŝƚŝǀĞZĞĐĞƉƚŽƌƐ ͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘ ϳ dĂďůĞϮ ĞĨĂƵůƚŐĞ^ĞŶƐŝƚŝǀŝƚǇ&ĂĐƚŽƌƐ͕ &ƌĂĐƚŝŽŶŽĨdŝŵĞĂƚ,ŽŵĞ͕ĂŶĚĂŝůǇƌĞĂƚŚŝŶŐZĂƚĞƐ ͘͘͘͘͘͘͘͘͘ ϭϲ dĂďůĞϯ ŽŶƐƚƌƵĐƚŝŽŶZŝƐŬ͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘ ϭϴ dĂďůĞϰ KƉĞƌĂƚŝŽŶĂůZŝƐŬ ͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘ ϭϵ dĂďůĞϱ ŚƌŽŶŝĐĂŶĚĐƵƚĞ,ĂǌĂƌĚƐ ͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘ ϭϵ

y,//d^

ǆŚŝďŝƚϭ ZĞŐŝŽŶĂů>ŽĐĂƚŝŽŶDĂƉ͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘ Ϯ

ǆŚŝďŝƚϮ WƌŽũĞĐƚ^ŝƚĞ sŝĐŝŶŝƚǇ DĂƉ ͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘ ϯ

ǆŚŝďŝƚϯ ŽŶĐĞƉƚƵĂů^ŝƚĞWůĂŶ͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘͘ ϰ WW
E/y
ƉƉĞŶĚŝǆ͗DŽĚĞůŝŶŐ ĂƚĂ
370
ŝƚǇŽĨKŶƚĂƌŝŽ ŽŶsŝĞǁWƌŽũĞĐƚ
,ĞĂůƚŚZŝƐŬƐƐĞƐƐŵĞŶƚ
ƵŐƵƐƚϮϬϮϭ
WĂŐĞͮŝŝŝ
>/^dK&Z
s/d
d
ZD^
ĂďƐŽƌƉƚŝŽŶĨĂĐƚŽƌĨƌŽŵŝŶŚĂůĂƚŝŽŶ

^ ĚǀĂŶĐĞĚŽůůĂďŽƌĂƚŝǀĞ
ŵŝƐƐŝŽŶƐ^ƚƵĚǇ
^& ĂŐĞƐĞŶƐŝƚŝǀŝƚǇĨĂĐƚŽƌ
ƐƐĞŵďůǇŝůů
WE ƐƐĞƐƐŽƌ͛ƐWĂƌĐĞůEƵŵďĞƌ
W^ ĂƵǆŝůŝĂƌǇƉŽǁĞƌƐǇƐƚĞŵ
d ĂǀĞƌĂŐŝŶŐƚŝŵĞ
dD ŝƌdŽǆŝĐŽŶƚƌŽůDĞĂƐƵƌĞ
Z ĂůŝĨŽƌŶŝĂŝƌZĞƐŽƵƌĐĞƐŽĂƌĚ
ĂůŝĨŽƌŶŝĂůĞĂŶŝƌĐƚ

Y ĂůŝĨŽƌŶŝĂ
ŶǀŝƌŽŶŵĞŶƚĂůYƵĂůŝƚǇĐƚ
W& ĐĂŶĐĞƌƉŽƚĞŶĐǇĨĂĐƚŽƌ
Ăŝƌ ĂŝƌĐŽŶĐĞŶƚƌĂƚŝŽŶĨƌŽŵŵŽĚĞů
ŝ ĂŝƌĐŽŶĐĞŶƚƌĂƚŝŽŶŽĨƐƵďƐƚĂŶĐĞ
Z ĚĂŝůǇďƌĞĂƚŚŝŶŐƌĂƚĞ
KKZ^ ŝĞƐĞůKĨĨͲZŽĂĚZĞƉŽƌƚŝŶŐ^ǇƐƚĞŵ
WD ŝĞƐĞůWĂƌƚŝĐƵůĂƚĞDĂƚƚĞƌ
ZZW ŝĞƐĞůZŝƐŬZĞĚƵĐƚŝŽŶWůĂŶ
ŽƐĞͲĂŝƌ ĚŽĞƐƚŚƌŽƵŐŚŝŶŚĂůĂƚŝŽŶ

D&
ŵŝƐƐŝŽŶƐ&ĂĐƚŽƌDŽĚĞů

ĞǆƉŽƐƵƌĞĚƵƌĂƚŝŽŶ

& ĞǆƉŽƐƵƌĞĨƌĞƋƵĞŶĐǇ
Σ& &ĂŚƌĞŶŚĞŝƚ
& &ĞĚĞƌĂůůĞĂŶŝƌĐƚ
&, ĨƌĂĐƚŝŽŶŽĨƚŝŵĞƐƉĞŶƚĂƚŚŽŵĞ
'stZ ŐƌŽƐƐǀĞŚŝĐůĞǁĞŝŐŚƚƌĂƚŝŶŐ
,W ŚĂǌĂƌĚŽƵƐĂŝƌƉŽůůƵƚĂŶƚ
,Y ŚĞĂůƚŚƋƵŽƚŝĞŶƚ
,Z ŚĞĂůƚŚƌŝƐŬĂƐƐĞƐƐŵĞŶƚ
ŬŐ ŬŝůŽŐƌĂŵƐ
> ůŝƚĞƌ
Dd
^ DƵůƚŝƉůĞŝƌdŽǆŝĐƐ
ǆƉŽƐƵƌĞ^ƚƵĚǇ
D/Z DĂǆŝŵƵŵ/ŶĚŝǀŝĚƵĂůĂŶĐĞƌZŝƐŬ
ŵŐ ŵŝůůŝŐƌĂŵƐ
PŐŵ ŵŝĐƌŽŐƌĂŵƐƉĞƌĐƵďŝĐŵĞƚĞƌ
D^d DŽďŝůĞ^ŽƵƌĐĞŝƌdŽǆŝĐ
EY^ EĂƚŝŽŶĂůŵďŝĞŶƚŝƌYƵĂůŝƚǇ^ƚĂŶĚĂƌĚƐ
E
EĂƚŝŽŶĂů
ůĞǀĂƚŝŽŶĂƚĂƐĞƚ
E
^,W EĂƚŝŽŶĂů
ŵŝƐƐŝŽŶƐ^ƚĂŶĚĂƌĚƐĨŽƌ,ĂǌĂƌĚŽƵƐŝƌWŽůůƵƚĂŶƚƐ
EKϮ ŶŝƚƌŽŐĞŶĚŝŽǆŝĚĞ
EKy ŶŝƚƌŽŐĞŶŽǆŝĚĞƐ
Kϯ ŽǌŽŶĞ
K
,, KĨĨŝĐĞ
ŶǀŝƌŽŶŵĞŶƚĂů,ĞĂůƚŚ,ĂǌĂƌĚƐƐĞƐƐŵĞŶƚ
371
ŝƚǇŽĨKŶƚĂƌŝŽ ŽŶsŝĞǁWƌŽũĞĐƚ
,ĞĂůƚŚZŝƐŬƐƐĞƐƐŵĞŶƚ
ƵŐƵƐƚϮϬϮϭ
WĂŐĞͮŝǀ
>/^dK&Z
s/d
d
ZD^;KEd/Eh
Ϳ
WD ƉĂƌƚŝĐƵůĂƚĞŵĂƚƚĞƌ
WDϭϬ ƉĂƌƚŝĐƵůĂƚĞŵĂƚƚĞƌůĞƐƐƚŚĂŶϭϬŵŝĐƌŽŶƐŝŶĚŝĂŵĞƚĞƌ WDϮ͘ϱ ƉĂƌƚŝĐƵůĂƚĞŵĂƚƚĞƌůĞƐƐƚŚĂŶϮ͘ϱŵŝĐƌŽŶƐŝŶĚŝĂŵĞƚĞƌ W
ZW WŽƌƚĂďůĞ
ƋƵŝƉŵĞŶƚZĞŐŝƐƚƌĂƚŝŽŶWƌŽŐƌĂŵ
Z
> ZĞĨĞƌĞŶĐĞ
ǆƉŽƐƵƌĞ>ĞǀĞů
Z
>ŝ ZĞĨĞƌĞŶĐĞ
ǆƉŽƐƵƌĞ>ĞǀĞůŽĨƐƵďƐƚĂŶĐĞ
ZŝƐŬŝŶŚͲƌĞƐ ƌĞƐŝĚĞŶƚŝĂůŝŶŚĂůĂƚŝŽŶĐĂŶĐĞƌƌŝƐŬ
^ ^ĞŶĂƚĞŝůů
^ ^ŽƵƚŚŽĂƐƚŝƌĂƐŝŶ
^YD ^ŽƵƚŚŽĂƐƚŝƌYƵĂůŝƚǇDĂŶĂŐĞŵĞŶƚŝƐƚƌŝĐƚ
dͲd ƚŽǆŝĐƐďĞƐƚĂǀĂŝůĂďůĞĐŽŶƚƌŽůƚĞĐŚŶŽůŽŐǇ
d dŽǆŝĐŝƌŽŶƚĂŵŝŶĂŶƚ

W hŶŝƚĞĚ^ƚĂƚĞƐ
ŶǀŝƌŽŶŵĞŶƚĂůWƌŽƚĞĐƚŝŽŶŐĞŶĐǇ
sDd ǀĞŚŝĐůĞŵŝůĞƐƚƌĂǀĞůĞĚ
sK ǀŽůĂƚŝůĞŽƌŐĂŶŝĐĐŽŵƉŽƵŶĚ
372
ŝƚǇŽĨKŶƚĂƌŝŽ ŽŶsŝĞǁǀĞŶƵĞtĂƌĞŚŽƵƐĞ
,ĞĂůƚŚZŝƐŬƐƐĞƐƐŵĞŶƚ
:ƵŶĞ ϮϬϮϭ
WĂŐĞͮϭ
1 INTRODUCTION
dŚĞƉƵƌƉŽƐĞŽĨ ƚŚŝƐ,ĞĂůƚŚZŝƐŬƐƐĞƐƐŵĞŶƚ ;,ZͿ ŝƐƚŽĞǀĂůƵĂƚĞƉŽƚĞŶƚŝĂůŚĞĂůƚŚ ƌŝƐŬƐĂƐƐŽĐŝĂƚĞĚǁŝƚŚ dŽǆŝĐ ŝƌ ŽŶƚĂŵŝŶĂŶƚƐ ;dͿ ŝŶĐůƵĚŝŶŐ ŝĞƐĞů WĂƌƚŝĐƵůĂƚĞ DĂƚƚĞƌ ;WDͿ ƌĞƐƵůƚŝŶŐ ĨƌŽŵ ƚŚĞ ŝŵƉůĞŵĞŶƚĂƚŝŽŶŽĨƚŚĞƉƌŽƉŽƐĞĚ ƚŚĞŽŶsŝĞǁWƌŽũĞĐƚ ;WƌŽũĞĐƚͿ͘ dŚŝƐ,Z ǁĂƐƉƌĞƉĂƌĞĚŝŶĂĐĐŽƌĚĂŶĐĞ ǁŝƚŚƚŚĞƌĞƋƵŝƌĞŵĞŶƚƐŽĨƚŚĞ^ŽƵƚŚŽĂƐƚŝƌYƵĂůŝƚǇDĂŶĂŐĞŵĞŶƚŝƐƚƌŝĐƚ;^YDͿĂŶĚŐƵŝĚĂŶĐĞĨƌŽŵ ƚŚĞKĨĨŝĐĞŽĨ
ŶǀŝƌŽŶŵĞŶƚĂů,ĞĂůƚŚ,ĂǌĂƌĚƐƐĞƐƐŵĞŶƚ;K
,,ͿƚŽĚĞƚĞƌŵŝŶĞŝĨŚĞĂůƚŚƌŝƐŬƐĂƌĞůŝŬĞůǇƚŽ
ŽĐĐƵƌĨƌŽŵƚŚĞWƌŽũĞĐƚ͘dĞĐŚŶŝĐĂůĚĂƚĂŝƐŝŶĐůƵĚĞĚĂƐƐĞĞƉƉĞŶĚŝǆ͗DŽĚĞůŝŶŐĂƚĂ͘

1.1 Project Location and Setting
dŚĞWƌŽũĞĐƚƐŝƚĞŝƐůŽĐĂƚĞĚĂƚƚŚĞŶŽƌƚŚǁĞƐƚĐŽƌŶĞƌŽĨ ^ŽƵƚŚŽŶsŝĞǁǀĞŶƵĞĂŶĚ ĂƐƚĞĚĂƌ^ƚƌĞĞƚŝŶƚŚĞ
ŝƚǇ ŽĨ KŶƚĂƌŝŽ͕ ĂůŝĨŽƌŶŝĂ ;ŝƚǇͿ͕ ŽƵŶƚǇ ŽĨ ^ĂŶ ĞƌŶĂƌĚŝŶŽ ;ŽƵŶƚǇͿ͕ ĂůŝĨŽƌŶŝĂ͘ dŚĞ ƐŝƚĞ ŝƐ ŐĞŶĞƌĂůůǇ ůŽĐĂƚĞĚŝŶƚŚĞǁĞƐƚĞƌŶƉŽƌƚŝŽŶŽĨƚŚĞŝƚǇ͕ĂƉƉƌŽǆŝŵĂƚĞůǇϬ͘ϱϬͲŵŝůĞŶŽƌƚŚ ŽĨ^ƚĂƚĞZŽƵƚĞϲϬ;^ZͲϲϬͿ ĂŶĚ Ϭ͘ϲϱͲŵŝůĞĞĂƐƚŽĨ
ƵĐůŝĚǀĞŶƵĞ;^ZͲϴϯͿ͘>ŽĐĂůĂĐĐĞƐƐƚŽƚŚĞƐŝƚĞŝƐƉƌŽǀŝĚĞĚǀŝĂĞĚĂƌ^ƚƌĞĞƚƚŽƚŚĞƐŽƵƚŚ ĂŶĚŽŶsŝĞǁǀĞŶƵĞƚŽƚŚĞĞĂƐƚ͖ƌĞĨĞƌƚŽ
ǆŚŝďŝƚϭ͗ZĞŐŝŽŶĂů>ŽĐĂƚŝŽŶDĂƉ ĂŶĚ
ǆŚŝďŝƚϮ͗WƌŽũĞĐƚsŝĐŝŶŝƚǇ
DĂƉ͘
dŚĞWƌŽũĞĐƚƐŝƚĞŝƐĂƌĞĐƚĂŶŐƵůĂƌůŽƚƚŚĂƚĐŽŶƚĂŝŶƐǀĂĐĂŶƚƉĂƌĐĞůƐ͘ dŚĞƐŝƚĞ͛ƐĞǆŝƐƚŝŶŐůĂŶĚƵƐĞĚĞƐŝŐŶĂƚŝŽŶŝƐ /ŶĚƵƐƚƌŝĂů͖ ƚŚĞĞǆŝƐƚŝŶŐǌŽŶŝŶŐŝƐ>ŝŐŚƚ/ŶĚƵƐƚƌŝĂů ;/>ͿĂŶĚ'ĞŶĞƌĂů/ŶĚƵƐƚƌŝĂů ;/'Ϳ͘/ŵŵĞĚŝĂƚĞƐƵƌƌŽƵŶĚŝŶŐ ƉƌŽƉĞƌƚŝĞƐĐŽŶƐŝƐƚŽĨŝŶĚƵƐƚƌŝĂůƵƐĞƐƚŽƚŚĞŶŽƌƚŚ͕ĞĂƐƚ͕ƐŽƵƚŚ͕ĂŶĚǁĞƐƚ͖ŵƵůƚŝͲĨĂŵŝůǇƌĞƐŝĚĞŶƚŝĂůƵƐĞƐĂƌĞ ůŽĐĂƚĞĚĨƵƌƚŚĞƌƚŽƚŚĞƐŽƵƚŚŽĨƚŚĞWƌŽũĞĐƚƐŝƚĞ ĂůŽŶŐĞĚĂƌ^ƚƌĞĞƚ͘

1.2 Project Description
dŚĞƉƌŽƉŽƐĞĚWƌŽũĞĐƚǁŽƵůĚŝŶǀŽůǀĞƚŚĞĐŽŶƐƚƌƵĐƚŝŽŶŽĨĂϭϳϱ͕Ϭϰϳ ƐƋƵĂƌĞͲĨŽŽƚ;ƐĨͿǁĂƌĞŚŽƵƐĞ ďƵŝůĚŝŶŐ ŽŶ ĂŶ ĂƉƉƌŽǆŝŵĂƚĞůǇ ϳ͘ϰϳͲĂĐƌĞ ƐŝƚĞ͕ ǁŝƚŚ ĂƐƐŽĐŝĂƚĞĚ ĨĂĐŝůŝƚŝĞƐ ĂŶĚ ŝŵƉƌŽǀĞŵĞŶƚƐ ŝŶĐůƵĚŝŶŐ ĂƉƉƌŽǆŝŵĂƚĞůǇ ϰ͕ϱϬϬƐƋƵĂƌĞĨĞĞƚŽĨŽĨĨŝĐĞƐƉĂĐĞ͕ǀĞŚŝĐůĞƉĂƌŬŝŶŐ͕ůŽĂĚŝŶŐĚŽĐŬĚŽŽƌƐ͕ƚƌĂŝůĞƌƉĂƌŬŝŶŐ͕ŽŶƐŝƚĞůĂŶĚƐĐĂƉŝŶŐ͕ ĂŶĚƌĞůĂƚĞĚŽŶͲƐŝƚĞĂŶĚŽĨĨͲƐŝƚĞŝŵƉƌŽǀĞŵĞŶƚƐ͖ƌĞĨĞƌƚŽ ǆŚŝďŝƚϯ͗ŽŶĐĞƉƚƵĂů^ŝƚĞWůĂŶ͘dŚĞďƵŝůĚŝŶŐŚĞŝŐŚƚ
ǁŽƵůĚďĞĂĂƉƉƌŽǆŝŵĂƚĞůǇ ϰϱ ĨĞĞƚĂŶĚŚĂǀĞĂ&ůŽŽƌƌĞĂZĂƚŝŽ;&ZͿŽĨϬ͘ϱϰ͘ 373
Not to Scale EXHIBIT 1: Regional Location Map Bon View Project City of Ontario
West
Covina
Riverside Riverside
Los
Angeles Angeles
Santa Ana Santa Ana
Huntington Huntington
Beach
10 15
15 15
5 215
215
605
210
605
710
110
210
60 91
1 405

PROJECT PROJECT
SITE
Rialto
Perris
74 Ontario Ontario
374
Not to Scale
Cedar St Cedar St
evA wei V noBView AveevA sup maC Ave
EXHIBIT 2: Project Vicinity Map Bon View ProjectCity of Ontario

PROJECT PROJECT
AREA
375
Not to scale EXHIBIT 3: Conceptual Site Plan Bon View Project City of Ontario
376
ŝƚǇŽĨKŶƚĂƌŝŽ ŽŶsŝĞǁWƌŽũĞĐƚ
,ĞĂůƚŚZŝƐŬƐƐĞƐƐŵĞŶƚ
ƵŐƵƐƚϮϬϮϭ
WĂŐĞͮϱ
2 ENVIRONMENTAL SETTING

2.1 Climate
dŚĞŐĞŶĞƌĂůƌĞŐŝŽŶ ůŝĞƐŝŶƚŚĞƐĞŵŝͲƉĞƌŵĂŶĞŶƚŚŝŐŚͲƉƌĞƐƐƵƌĞǌŽŶĞŽĨƚŚĞĞĂƐƚĞƌŶWĂĐŝĨŝĐ͘dŚĞĐůŝŵĂƚĞŝƐ ŵŝůĚĂŶĚƚĞŵƉĞƌĞĚďǇĐŽŽůƐĞĂďƌĞĞǌĞƐ͘dŚĞƵƐƵĂůůǇŵŝůĚĐůŝŵĂƚŽůŽŐŝĐĂůƉĂƚƚĞƌŶŝƐŝŶƚĞƌƌƵƉƚĞĚŝŶĨƌĞƋƵĞŶƚůǇ ďǇƉĞƌŝŽĚƐŽĨĞǆƚƌĞŵĞůǇŚŽƚǁĞĂƚŚĞƌ͕ǁŝŶƚĞƌƐƚŽƌŵƐ͕Žƌ^ĂŶƚĂŶĂǁŝŶĚƐ͘dŚĞĞǆƚĞŶƚĂŶĚƐĞǀĞƌŝƚǇŽĨƚŚĞ Ăŝƌ ƉŽůůƵƚŝŽŶ ƉƌŽďůĞŵ ŝŶ ƚŚĞ ^ŽƵƚŚ ŽĂƐƚ ŝƌ ĂƐŝŶ ;^Ϳ ŝƐ ĂĨƵŶĐƚŝŽŶ ŽĨ ƚŚĞ ĂƌĞĂ͛Ɛ ŶĂƚƵƌĂů ƉŚǇƐŝĐĂů ĐŚĂƌĂĐƚĞƌŝƐƚŝĐƐ ;ǁĞĂƚŚĞƌĂŶĚ ƚŽƉŽŐƌĂƉŚǇͿ͕ĂƐǁĞůůĂƐŵĂŶͲŵĂĚĞŝŶĨůƵĞŶĐĞƐ ;ĚĞǀĞůŽƉŵĞŶƚƉĂƚƚĞƌŶƐĂŶĚ ůŝĨĞƐƚǇůĞͿ͘&ĂĐƚŽƌƐƐƵĐŚĂƐǁŝŶĚ͕ƐƵŶůŝŐŚƚ͕ ƚĞŵƉĞƌĂƚƵƌĞ͕ŚƵŵŝĚŝƚǇ͕ ƌĂŝŶĨĂůů͕ĂŶĚ ƚŽƉŽŐƌĂƉŚǇĂůůĂĨĨĞĐƚ ƚŚĞ ĂĐĐƵŵƵůĂƚŝŽŶĂŶĚͬŽƌĚŝƐƉĞƌƐŝŽŶŽĨƉŽůůƵƚĂŶƚƐƚŚƌŽƵŐŚŽƵƚƚŚĞ^͘dŚĞƐĞĨĂĐƚŽƌƐĂůŽŶŐǁŝƚŚĂƉƉůŝĐĂďůĞ ƌĞŐƵůĂƚŝŽŶƐĂƌĞĚŝƐĐƵƐƐĞĚďĞůŽǁ͘
dŚĞĂǀĞƌĂŐĞĂŶŶƵĂůƚĞŵƉĞƌĂƚƵƌĞǀĂƌŝĞƐůŝƚƚůĞƚŚƌŽƵŐŚŽƵƚƚŚĞ^͕ĂǀĞƌĂŐŝŶŐϳϱĚĞŐƌĞĞƐ&ĂŚƌĞŶŚĞŝƚ;Σ&Ϳ͘ ,ŽǁĞǀĞƌ͕ǁŝƚŚĂůĞƐƐͲƉƌŽŶŽƵŶĐĞĚŽĐĞĂŶŝĐŝŶĨůƵĞŶĐĞ͕ƚŚĞĞĂƐƚĞƌŶŝŶůĂŶĚƉŽƌƚŝŽŶƐŽĨƚŚĞ^ ƐŚŽǁŐƌĞĂƚĞƌ ǀĂƌŝĂďŝůŝƚǇŝŶĂŶŶƵĂů ŵŝŶŝŵƵŵĂŶĚŵĂǆŝŵƵŵƚĞŵƉĞƌĂƚƵƌĞƐ͘ůůƉŽƌƚŝŽŶƐŽĨƚŚĞ^ ŚĂǀĞŚĂĚƌĞĐŽƌĚĞĚ ƚĞŵƉĞƌĂƚƵƌĞƐŽǀĞƌϭϬϬΣ&ŝŶƌĞĐĞŶƚǇĞĂƌƐ͘

2.2 Meteorology
ůƚŚŽƵŐŚ ƚŚĞ^ ŚĂƐĂ ƐĞŵŝͲĂƌŝĚĐůŝŵĂƚĞ͕ ƚŚĞĂŝƌŶĞĂƌ ƚŚĞ ƐƵƌĨĂĐĞŝƐŵŽŝƐƚĚƵĞ ƚŽ ƚŚĞƉƌĞƐĞŶĐĞŽĨĂ ƐŚĂůůŽǁŵĂƌŝŶĞůĂǇĞƌ͘
ǆĐĞƉƚĨŽƌŝŶĨƌĞƋƵĞŶƚƉĞƌŝŽĚƐǁŚĞŶĚƌǇ͕ĐŽŶƚŝŶĞŶƚĂůĂŝƌŝƐďƌŽƵŐŚƚŝŶƚŽƚŚĞ^ ďǇ ŽĨĨƐŚŽƌĞǁŝŶĚƐ͕ƚŚĞŽĐĞĂŶĞĨĨĞĐƚŝƐĚŽŵŝŶĂŶƚ͘WĞƌŝŽĚƐǁŝƚŚŚĞĂǀǇĨŽŐĂƌĞĨƌĞƋƵĞŶƚ͕ĂŶĚůŽǁƐƚƌĂƚƵƐĐůŽƵĚƐ͕ ŽĐĐĂƐŝŽŶĂůůǇ ƌĞĨĞƌƌĞĚ ƚŽ ĂƐ ͞ŚŝŐŚ ĨŽŐ͕͟ ĂƌĞ Ă ĐŚĂƌĂĐƚĞƌŝƐƚŝĐ ĐůŝŵĂƚĞ ĨĞĂƚƵƌĞ͘ ŶŶƵĂů ĂǀĞƌĂŐĞ ƌĞůĂƚŝǀĞ ŚƵŵŝĚŝƚǇŝƐϳϬƉĞƌĐĞŶƚĂƚƚŚĞĐŽĂƐƚĂŶĚϱϳƉĞƌĐĞŶƚŝŶƚŚĞĞĂƐƚĞƌŶƉĂƌƚŽĨƚŚĞ^͘WƌĞĐŝƉŝƚĂƚŝŽŶŝŶƚŚĞ ^ ŝƐ ƚǇƉŝĐĂůůǇŶŝŶĞƚŽϭϰŝŶĐŚĞƐĂŶŶƵĂůůǇĂŶĚŝƐƌĂƌĞůǇŝŶƚŚĞĨŽƌŵŽĨƐŶŽǁŽƌŚĂŝůĚƵĞƚŽƚǇƉŝĐĂůůǇǁĂƌŵ ǁĞĂƚŚĞƌ͘dŚĞĨƌĞƋƵĞŶĐǇĂŶĚĂŵŽƵŶƚŽĨƌĂŝŶĨĂůůŝƐŐƌĞĂƚĞƌŝŶƚŚĞĐŽĂƐƚĂůĂƌĞĂƐŽĨƚŚĞ^͘ ƚĞŵƉĞƌĂƚƵƌĞŝŶǀĞƌƐŝŽŶŝƐĚĞĨŝŶĞĚĂƐĂŶŝŶĐƌĞĂƐĞŝŶƚĞŵƉĞƌĂƚƵƌĞǁŝƚŚŚĞŝŐŚƚ͕ŽƌƚŽƚŚĞůĂǇĞƌǁŝƚŚŝŶǁŚŝĐŚ ƐƵĐŚĂŶŝŶĐƌĞĂƐĞŽĐĐƵƌƐ͘dŚĞŚĞŝŐŚƚŽĨƚŚĞŝŶǀĞƌƐŝŽŶŝƐŝŵƉŽƌƚĂŶƚŝŶĚĞƚĞƌŵŝŶŝŶŐƉŽůůƵƚĂŶƚĐŽŶĐĞŶƚƌĂƚŝŽŶ͘ tŚĞŶƚŚĞŝŶǀĞƌƐŝŽŶŝƐĂƉƉƌŽǆŝŵĂƚĞůǇϮ͕ϱϬϬĨĞĞƚĂďŽǀĞƐĞĂůĞǀĞů͕ƚŚĞƐĞĂďƌĞĞǌĞƐĐĂƌƌǇƚŚĞƉŽůůƵƚĂŶƚƐŝŶůĂŶĚ ƚŽĞƐĐĂƉĞŽǀĞƌƚŚĞŵŽƵŶƚĂŝŶƐůŽƉĞƐŽƌƚŚƌŽƵŐŚƚŚĞƉĂƐƐĞƐ͘ƚĂŚĞŝŐŚƚŽĨϭ͕ϮϬϬĨĞĞƚ͕ƚŚĞƚĞƌƌĂŝŶƉƌĞǀĞŶƚƐ ƚŚĞƉŽůůƵƚĂŶƚƐĨƌŽŵĞŶƚĞƌŝŶŐƚŚĞƵƉƉĞƌĂƚŵŽƐƉŚĞƌĞ͕ƌĞƐƵůƚŝŶŐŝŶĂƐĞƚƚůĞŵĞŶƚŝŶƚŚĞĨŽŽƚŚŝůůĐŽŵŵƵŶŝƚŝĞƐ͘ ĞůŽǁϭ͕ϮϬϬĨĞĞƚ͕ƚŚĞŝŶǀĞƌƐŝŽŶƉƵƚƐĂƚŝŐŚƚůŝĚŽŶƉŽůůƵƚĂŶƚƐ͕ĐŽŶĐĞŶƚƌĂƚŝŶŐƚŚĞŵŝŶĂƐŚĂůůŽǁůĂǇĞƌŽǀĞƌ ƚŚĞ ĞŶƚŝƌĞ ^͘ hƐƵĂůůǇ͕ ŝŶǀĞƌƐŝŽŶƐ ĂƌĞ ůŽǁĞƌ ďĞĨŽƌĞ ƐƵŶƌŝƐĞ ƚŚĂŶ ĚƵƌŝŶŐ ƚŚĞ ĚĂǇ͘DŝǆŝŶŐ ŚĞŝŐŚƚƐ ĨŽƌ ŝŶǀĞƌƐŝŽŶƐĂƌĞůŽǁĞƌŝŶƚŚĞƐƵŵŵĞƌĂŶĚŵŽƌĞƉĞƌƐŝƐƚĞŶƚ͕ďĞŝŶŐƉĂƌƚůǇƌĞƐƉŽŶƐŝďůĞĨŽƌƚŚĞ ŚŝŐŚůĞǀĞůƐŽĨ ŽǌŽŶĞ ;KϯͿŽďƐĞƌǀĞĚĚƵƌŝŶŐ ƐƵŵŵĞƌŵŽŶƚŚƐŝŶ ƚŚĞ^͘^ŵŽŐŝŶ ƐŽƵƚŚĞƌŶĂůŝĨŽƌŶŝĂŝƐŐĞŶĞƌĂůůǇ ƚŚĞ ƌĞƐƵůƚŽĨƚŚĞƐĞƚĞŵƉĞƌĂƚƵƌĞŝŶǀĞƌƐŝŽŶƐĐŽŵďŝŶŝŶŐǁŝƚŚĐŽĂƐƚĂůĚĂǇǁŝŶĚƐĂŶĚůŽĐĂůŵŽƵŶƚĂŝŶƐƚŽĐŽŶƚĂŝŶ ƚŚĞ ƉŽůůƵƚĂŶƚƐ ĨŽƌ ůŽŶŐ ƉĞƌŝŽĚƐ ŽĨ ƚŝŵĞ͕ ĂůůŽǁŝŶŐ ƚŚĞŵ ƚŽ ĨŽƌŵƐĞĐŽŶĚĂƌǇ ƉŽůůƵƚĂŶƚƐ ďǇ ƌĞĂĐƚŝŶŐ ǁŝƚŚ ƐƵŶůŝŐŚƚ͘dŚĞ^ ŚĂƐĂůŝŵŝƚĞĚĂďŝůŝƚǇƚŽĚŝƐƉĞƌƐĞƚŚĞƐĞƉŽůůƵƚĂŶƚƐĚƵĞƚŽƚǇƉŝĐĂůůǇůŽǁǁŝŶĚƐƉĞĞĚƐ͘ dŚĞ ĂƌĞĂ ŝŶ ǁŚŝĐŚ ƚŚĞ WƌŽũĞĐƚ ŝƐ ůŽĐĂƚĞĚ ŽĨĨĞƌƐ ĐůĞĂƌ ƐŬŝĞƐ ĂŶĚƐƵŶƐŚŝŶĞ ǇĞƚ ŝƐ Ɛƚŝůů ƐƵƐĐĞƉƚŝďůĞ ƚŽ Ăŝƌ ŝŶǀĞƌƐŝŽŶƐ͘dŚĞƐĞŝŶǀĞƌƐŝŽŶƐƚƌĂƉĂůĂǇĞƌŽĨƐƚĂŐŶĂŶƚĂŝƌŶĞĂƌƚŚĞŐƌŽƵŶĚ͕ǁŚĞƌĞŝƚŝƐƚŚĞŶĨƵƌƚŚĞƌůŽĂĚĞĚ ǁŝƚŚ ƉŽůůƵƚĂŶƚƐ͘dŚĞƐĞŝŶǀĞƌƐŝŽŶƐ ĐĂƵƐĞ ŚĂǌŝŶĞƐƐ͕ǁŚŝĐŚŝƐ ĐĂƵƐĞĚ ďǇŵŽŝƐƚƵƌĞ͕ ƐƵƐƉĞŶĚĞĚ ĚƵƐƚ͕ĂŶĚĂ ǀĂƌŝĞƚǇŽĨĐŚĞŵŝĐĂůĂĞƌŽƐŽůƐĞŵŝƚƚĞĚďǇƚƌƵĐŬƐ͕ĂƵƚŽŵŽďŝůĞƐ͕ĨƵƌŶĂĐĞƐ͕ĂŶĚŽƚŚĞƌƐŽƵƌĐĞƐ͘

377
ŝƚǇŽĨKŶƚĂƌŝŽ ŽŶsŝĞǁWƌŽũĞĐƚ
,ĞĂůƚŚZŝƐŬƐƐĞƐƐŵĞŶƚ
ƵŐƵƐƚϮϬϮϭ
WĂŐĞͮϲ

2.3 Toxic Air Contaminants
dŽǆŝĐŝƌŽŶƚĂŵŝŶĂŶƚƐ;dƐͿĂƌĞĂŝƌďŽƌŶĞƐƵďƐƚĂŶĐĞƐ ĐĂƉĂďůĞŽĨ ĐĂƵƐŝŶŐƐŚŽƌƚͲƚĞƌŵ;ĂĐƵƚĞͿĂŶĚ ůŽŶŐͲ ƚĞƌŵ ;ĐŚƌŽŶŝĐŽƌĐĂƌĐŝŶŽŐĞŶŝĐ͕ŝ͘Ğ͘ ĐĂŶĐĞƌĐĂƵƐŝŶŐͿĂĚǀĞƌƐĞŚƵŵĂŶ ŚĞĂůƚŚĞĨĨĞĐƚƐ ;ŝ͘Ğ͘ ŝŶũƵƌǇŽƌŝůůŶĞƐƐͿ͘ dƐŝŶĐůƵĚĞ ďŽƚŚŽƌŐĂŶŝĐĂŶĚŝŶŽƌŐĂŶŝĐ ĐŚĞŵŝĐĂů ƐƵďƐƚĂŶĐĞƐ͘dŚĞǇŵĂǇ ďĞĞŵŝƚƚĞĚ ĨƌŽŵĂǀĂƌŝĞƚǇŽĨ ĐŽŵŵŽŶ ƐŽƵƌĐĞƐ ŝŶĐůƵĚŝŶŐ ŐĂƐŽůŝŶĞ ƐƚĂƚŝŽŶƐ͕ ĂƵƚŽŵŽďŝůĞƐ͕ ĚƌǇ ĐůĞĂŶĞƌƐ͕ ŝŶĚƵƐƚƌŝĂů ŽƉĞƌĂƚŝŽŶƐ͕ ĂŶĚ ƉĂŝŶƚŝŶŐŽƉĞƌĂƚŝŽŶƐ͘dŚĞĐƵƌƌĞŶƚĂůŝĨŽƌŶŝĂůŝƐƚŽĨdƐŝŶĐůƵĚĞƐĂƉƉƌŽǆŝŵĂƚĞůǇϮϬϬĐŽŵƉŽƵŶĚƐ͕ŝŶĐůƵĚŝŶŐ ƉĂƌƚŝĐƵůĂƚĞĞŵŝƐƐŝŽŶƐĨƌŽŵĚŝĞƐĞůͲĨƵĞůĞĚĞŶŐŝŶĞƐ͘
,ĂǌĂƌĚŽƵƐŝƌWŽůůƵƚĂŶƚƐ;,WͿŝƐĂƚĞƌŵƵƐĞĚďǇƚŚĞ&ĞĚĞƌĂůůĞĂŶŝƌĐƚ;&ͿƚŚĂƚŝŶĐůƵĚĞƐĂǀĂƌŝĞƚǇ ŽĨ ƉŽůůƵƚĂŶƚƐ ŐĞŶĞƌĂƚĞĚ Žƌ ĞŵŝƚƚĞĚ ďǇ ŝŶĚƵƐƚƌŝĂů ƉƌŽĚƵĐƚŝŽŶ ĂĐƚŝǀŝƚŝĞƐ͘ /ĚĞŶƚŝĨŝĞĚ ĂƐ dƐ ƵŶĚĞƌ ƚŚĞ ĂůŝĨŽƌŶŝĂůĞĂŶŝƌĐƚ;Ϳ͕ƚĞŶŚĂǀĞďĞĞŶƐŝŶŐůĞĚŽƵƚƚŚƌŽƵŐŚĂŵďŝĞŶƚĂŝƌƋƵĂůŝƚǇĚĂƚĂĂƐďĞŝŶŐƚŚĞ ŵŽƐƚƐƵďƐƚĂŶƚŝĂůŚĞĂůƚŚƌŝƐŬŝŶĂůŝĨŽƌŶŝĂ͘ŝƌĞĐƚĞǆƉŽƐƵƌĞƚŽƚŚĞƐĞƉŽůůƵƚĂŶƚƐŚĂƐďĞĞŶƐŚŽǁŶƚŽĐĂƵƐĞ ĐĂŶĐĞƌ͕ďŝƌƚŚĚĞĨĞĐƚƐ͕ĚĂŵĂŐĞƚŽƚŚĞďƌĂŝŶĂŶĚŶĞƌǀŽƵƐƐǇƐƚĞŵ͕ĂŶĚƌĞƐƉŝƌĂƚŽƌǇĚŝƐŽƌĚĞƌƐ͘dŚĞĂůŝĨŽƌŶŝĂ ŝƌZĞƐŽƵƌĐĞƐŽĂƌĚ;ZͿƉƌŽǀŝĚĞƐĞŵŝƐƐŝŽŶŝŶǀĞŶƚŽƌŝĞƐĨŽƌŽŶůǇƚŚĞůĂƌŐĞƌĂŝƌďĂƐŝŶƐ͘ dƐĚŽŶŽƚŚĂǀĞĂŵďŝĞŶƚĂŝƌƋƵĂůŝƚǇƐƚĂŶĚĂƌĚƐďĞĐĂƵƐĞŶŽƐĂĨĞůĞǀĞůƐŽĨdƐĐĂŶďĞĚĞƚĞƌŵŝŶĞĚ͘/ŶƐƚĞĂĚ͕ d ŝŵƉĂĐƚƐ ĂƌĞ ĞǀĂůƵĂƚĞĚ ďǇ ĐĂůĐƵůĂƚŝŶŐ ƚŚĞ ŚĞĂůƚŚ ƌŝƐŬƐ ĂƐƐŽĐŝĂƚĞĚ ǁŝƚŚ Ă ŐŝǀĞŶ ĞǆƉŽƐƵƌĞ͘ dŚĞ ƌĞƋƵŝƌĞŵĞŶƚƐŽĨƚŚĞŝƌdŽǆŝĐ͞,Žƚ^ƉŽƚƐ͟/ŶĨŽƌŵĂƚŝŽŶĂŶĚƐƐĞƐƐŵĞŶƚĐƚ;ƐƐĞŵďůǇŝůů΀΁ϮϱϴϴͿĂƉƉůǇ ƚŽĨĂĐŝůŝƚŝĞƐƚŚĂƚƵƐĞ͕ƉƌŽĚƵĐĞ͕ŽƌĞŵŝƚƚŽǆŝĐĐŚĞŵŝĐĂůƐ͘&ĂĐŝůŝƚŝĞƐƐƵďũĞĐƚƚŽƚŚĞƚŽǆŝĐĞŵŝƐƐŝŽŶŝŶǀĞŶƚŽƌǇ ƌĞƋƵŝƌĞŵĞŶƚƐ ŽĨ ƚŚĞ ĂĐƚ ŵƵƐƚ ƉƌĞƉĂƌĞ ĂŶĚ ƐƵďŵŝƚ ƚŽǆŝĐ ĞŵŝƐƐŝŽŶ ŝŶǀĞŶƚŽƌǇ ƉůĂŶƐ ĂŶĚ ƌĞƉŽƌƚƐ͕ ĂŶĚ ƉĞƌŝŽĚŝĐĂůůǇƵƉĚĂƚĞƚŚŽƐĞƌĞƉŽƌƚƐ͘
dŽǆŝĐĐŽŶƚĂŵŝŶĂŶƚƐŽĨƚĞŶƌĞƐƵůƚ ĨƌŽŵ ĨƵŐŝƚŝǀĞĞŵŝƐƐŝŽŶƐĚƵƌŝŶŐĨƵĞůƐƚŽƌĂŐĞĂŶĚƚƌĂŶƐĨĞƌĂĐƚŝǀŝƚŝĞƐ͕ĂŶĚ ĨƌŽŵ ůĞĂŬŝŶŐ ǀĂůǀĞƐ ĂŶĚ ƉŝƉĞƐ͘ &Žƌ ĞǆĂŵƉůĞ͕ ƚŚĞ ĞůĞĐƚƌŽŶŝĐƐ ŝŶĚƵƐƚƌǇ͕ ŝŶĐůƵĚŝŶŐ ƐĞŵŝĐŽŶĚƵĐƚŽƌ ŵĂŶƵĨĂĐƚƵƌŝŶŐ͕ƵƐĞƐŚŝŐŚůǇƚŽǆŝĐĐŚůŽƌŝŶĂƚĞĚƐŽůǀĞŶƚƐŝŶƐĞŵŝĐŽŶĚƵĐƚŽƌƉƌŽĚƵĐƚŝŽŶƉƌŽĐĞƐƐĞƐ͘^ŽƵƌĐĞƐŽĨ Ăŝƌ ƚŽǆŝĐƐ ŐŽ ďĞǇŽŶĚ ŝŶĚƵƐƚƌǇ͕ ŚŽǁĞǀĞƌ͘ ƵƚŽŵŽďŝůĞĞǆŚĂƵƐƚ ĂůƐŽ ĐŽŶƚĂŝŶƐ ƚŽǆŝĐ Ăŝƌ ƉŽůůƵƚĂŶƚƐ ƐƵĐŚ ĂƐ ďĞŶǌĞŶĞ ĂŶĚ ϭ͕ϯͲďƵƚĂĚŝĞŶĞ͘ /Ŷ ĂůŝĨŽƌŶŝĂ͕ ŽŶͲƌŽĂĚ ĚŝĞƐĞůͲĨƵĞůĞĚ ĞŶŐŝŶĞƐ ĐŽŶƚƌŝďƵƚĞ ĂƉƉƌŽǆŝŵĂƚĞůǇ Ϯϰ ƉĞƌĐĞŶƚ ŽĨƚŚĞƐƚĂƚĞǁŝĚĞƚŽƚĂů͕ǁŝƚŚĂŶĂĚĚŝƚŝŽŶĂůϳϭƉĞƌĐĞŶƚĂƚƚƌŝďƵƚĞĚƚŽŽƚŚĞƌŵŽďŝůĞƐŽƵƌĐĞƐƐƵĐŚĂƐ ĐŽŶƐƚƌƵĐƚŝŽŶĂŶĚŵŝŶŝŶŐĞƋƵŝƉŵĞŶƚ͕ĂŐƌŝĐƵůƚƵƌĂůĞƋƵŝƉŵĞŶƚ͕ĂŶĚƚƌĂŶƐƉŽƌƚƌĞĨƌŝŐĞƌĂƚŝŽŶƵŶŝƚƐ͘^ƚĂƚŝŽŶĂƌǇ ƐŽƵƌĐĞƐĐŽŶƚƌŝďƵƚĞĂďŽƵƚϱƉĞƌĐĞŶƚŽĨ ƚŽƚĂůWD͘/ƚƐŚŽƵůĚďĞŶŽƚĞĚƚŚĂƚZŚĂƐĚĞǀĞůŽƉĞĚƐĞǀĞƌĂů ƉůĂŶƐ ĂŶĚ ƉƌŽŐƌĂŵƐ ƚŽ ƌĞĚƵĐĞ ĚŝĞƐĞů ĞŵŝƐƐŝŽŶƐ ƐƵĐŚ ĂƐ ƚŚĞ ŝĞƐĞů ZŝƐŬ ZĞĚƵĐƚŝŽŶ WůĂŶ ;ZZWͿ͕ ƚŚĞ ^ƚĂƚĞǁŝĚĞWŽƌƚĂďůĞ
ƋƵŝƉŵĞŶƚZĞŐŝƐƚƌĂƚŝŽŶWƌŽŐƌĂŵ ;W
ZWͿ͕ĂŶĚƚŚĞŝĞƐĞůKĨĨͲZŽĂĚZĞƉŽƌƚŝŶŐ^ǇƐƚĞŵ
;KKZ^Ϳ͘dŚĞW
ZWĂŶĚKKZ^ƉƌŽŐƌĂŵƐĂůůŽǁŽǁŶĞƌƐŽƌŽƉĞƌĂƚŽƌƐŽĨƉŽƌƚĂďůĞĞŶŐŝŶĞƐĂŶĚĐĞƌƚĂŝŶŽƚŚĞƌ ƚǇƉĞƐŽĨĞƋƵŝƉŵĞŶƚĐĂŶ ƌĞŐŝƐƚĞƌ ƚŚĞŝƌƵŶŝƚƐŝŶŽƌĚĞƌ ƚŽŽƉĞƌĂƚĞ ƚŚĞŝƌĞƋƵŝƉŵĞŶƚ ƚŚƌŽƵŐŚŽƵƚĂůŝĨŽƌŶŝĂ ǁŝƚŚŽƵƚŚĂǀŝŶŐƚŽŽďƚĂŝŶŝŶĚŝǀŝĚƵĂůƉĞƌŵŝƚƐĨƌŽŵůŽĐĂůĂŝƌĚŝƐƚƌŝĐƚƐ͘ ŝĞƐĞůĞǆŚĂƵƐƚĂŶĚŵĂŶǇŝŶĚŝǀŝĚƵĂůƐƵďƐƚĂŶĐĞƐĐŽŶƚĂŝŶĞĚŝŶŝƚ;ŝŶĐůƵĚŝŶŐĂƌƐĞŶŝĐ͕ďĞŶǌĞŶĞ͕ĨŽƌŵĂůĚĞŚǇĚĞ͕ ĂŶĚ ŶŝĐŬĞůͿ ŚĂǀĞ ƚŚĞ ƉŽƚĞŶƚŝĂů ƚŽ ĐŽŶƚƌŝďƵƚĞ ƚŽŵƵƚĂƚŝŽŶƐ ŝŶ ĐĞůůƐ ƚŚĂƚ ĐĂŶ ůĞĂĚ ƚŽ ĐĂŶĐĞƌ͘ >ŽŶŐͲƚĞƌŵ ĞǆƉŽƐƵƌĞƚŽĚŝĞƐĞůĞǆŚĂƵƐƚƉĂƌƚŝĐůĞƐƉŽƐĞƐƚŚĞŚŝŐŚĞƐƚĐĂŶĐĞƌƌŝƐŬŽĨĂŶǇdĞǀĂůƵĂƚĞĚďǇK ,,͘Z
ĞƐƚŝŵĂƚĞƐƚŚĂƚĂďŽƵƚϳϬƉĞƌĐĞŶƚŽĨƚŚĞĐĂŶĐĞƌƌŝƐŬƚŚĂƚƚŚĞĂǀĞƌĂŐĞĂůŝĨŽƌŶŝĂŶĨĂĐĞƐĨƌŽŵďƌĞĂƚŚŝŶŐƚŽǆŝĐ ĂŝƌƉŽůůƵƚĂŶƚƐƐƚĞŵƐĨƌŽŵĚŝĞƐĞůĞǆŚĂƵƐƚƉĂƌƚŝĐůĞƐ͘
/ŶŝƚƐĐŽŵƉƌĞŚĞŶƐŝǀĞĂƐƐĞƐƐŵĞŶƚŽĨĚŝĞƐĞůĞǆŚĂƵƐƚ͕K
,,ĂŶĂůǇǌĞĚŵŽƌĞƚŚĂŶϯϬƐƚƵĚŝĞƐŽĨƉĞŽƉůĞǁŚŽ
ǁŽƌŬĞĚĂƌŽƵŶĚĚŝĞƐĞůĞƋƵŝƉŵĞŶƚ͕ŝŶĐůƵĚŝŶŐƚƌƵĐŬĚƌŝǀĞƌƐ͕ƌĂŝůƌŽĂĚǁŽƌŬĞƌƐ͕ĂŶĚĞƋƵŝƉŵĞŶƚŽƉĞƌĂƚŽƌƐ͘dŚĞ ƐƚƵĚŝĞƐƐŚŽǁĞĚƚŚĞƐĞǁŽƌŬĞƌƐǁĞƌĞŵŽƌĞůŝŬĞůǇƚŽĚĞǀĞůŽƉůƵŶŐĐĂŶĐĞƌƚŚĂŶǁŽƌŬĞƌƐ ŶŽƚĞǆƉŽƐĞĚ ƚŽĚŝĞƐĞů ĞŵŝƐƐŝŽŶƐ͘dŚĞƐĞƐƚƵĚŝĞƐƉƌŽǀŝĚĞƐƚƌŽŶŐĞǀŝĚĞŶĐĞƚŚĂƚůŽŶŐͲƚĞƌŵŽĐĐƵƉĂƚŝŽŶĂůĞǆƉŽƐƵƌĞƚŽĚŝĞƐĞůĞǆŚĂƵƐƚ ŝŶĐƌĞĂƐĞƐƚŚĞƌŝƐŬŽĨůƵŶŐĐĂŶĐĞƌ͘hƐŝŶŐŝŶĨŽƌŵĂƚŝŽŶĨƌŽŵK ,,͛ƐĂƐƐĞƐƐŵĞŶƚ͕ZĞƐƚŝŵĂƚĞƐƚŚĂƚĚŝĞƐĞů
378
ŝƚǇŽĨKŶƚĂƌŝŽ ŽŶsŝĞǁWƌŽũĞĐƚ
,ĞĂůƚŚZŝƐŬƐƐĞƐƐŵĞŶƚ
ƵŐƵƐƚϮϬϮϭ
WĂŐĞͮϳ
ƉĂƌƚŝĐůĞůĞǀĞůƐŵĞĂƐƵƌĞĚ ŝŶĂůŝĨŽƌŶŝĂ͛ƐĂŝƌŝŶϮϬϬϬĐŽƵůĚĐĂƵƐĞϱϰϬ͞ĞǆĐĞƐƐ͟ĐĂŶĐĞƌƐŝŶĂƉŽƉƵůĂƚŝŽŶŽĨϭ ŵŝůůŝŽŶ ƉĞŽƉůĞ ŽǀĞƌ Ă ϳϬͲǇĞĂƌ ůŝĨĞƚŝŵĞ͘ KƚŚĞƌ ƌĞƐĞĂƌĐŚĞƌƐ ĂŶĚ ƐĐŝĞŶƚŝĨŝĐ ŽƌŐĂŶŝǌĂƚŝŽŶƐ͕ ŝŶĐůƵĚŝŶŐ ƚŚĞ EĂƚŝŽŶĂů/ŶƐƚŝƚƵƚĞ ĨŽƌKĐĐƵƉĂƚŝŽŶĂů^ĂĨĞƚǇĂŶĚ,ĞĂůƚŚ͕ŚĂǀĞĐĂůĐƵůĂƚĞĚĐĂŶĐĞƌƌŝƐŬƐ ĨƌŽŵĚŝĞƐĞůĞǆŚĂƵƐƚ ƐŝŵŝůĂƌƚŽ ƚŚŽƐĞĚĞǀĞůŽƉĞĚďǇK
,,ĂŶĚZ͘

ǆƉŽƐƵƌĞƚŽĚŝĞƐĞůĞǆŚĂƵƐƚĐĂŶŚĂǀĞŝŵŵĞĚŝĂƚĞŚĞĂůƚŚĞĨĨĞĐƚƐ͘ŝĞƐĞůĞǆŚĂƵƐƚĐĂŶŝƌƌŝƚĂƚĞƚŚĞĞǇĞƐ͕ŶŽƐĞ͕ ƚŚƌŽĂƚ͕ ĂŶĚ ůƵŶŐƐ͕ ĂŶĚ ŝƚ ĐĂŶ ĐĂƵƐĞ ĐŽƵŐŚƐ͕ ŚĞĂĚĂĐŚĞƐ͕ ůŝŐŚƚŚĞĂĚĞĚŶĞƐƐ͕ ĂŶĚ ŶĂƵƐĞĂ͘ /Ŷ ƐƚƵĚŝĞƐ ǁŝƚŚ ŚƵŵĂŶǀŽůƵŶƚĞĞƌƐ͕ĚŝĞƐĞůĞǆŚĂƵƐƚƉĂƌƚŝĐůĞƐŵĂĚĞƉĞŽƉůĞǁŝƚŚĂůůĞƌŐŝĞƐŵŽƌĞƐƵƐĐĞƉƚŝďůĞƚŽƚŚĞŵĂƚĞƌŝĂůƐ ƚŽǁŚŝĐŚƚŚĞǇĂƌĞĂůůĞƌŐŝĐ͕ƐƵĐŚĂƐĚƵƐƚĂŶĚƉŽůůĞŶ͘
ǆƉŽƐƵƌĞƚŽĚŝĞƐĞůĞǆŚĂƵƐƚĂůƐŽĐĂƵƐĞƐŝŶĨůĂŵŵĂƚŝŽŶ
ŝŶƚŚĞůƵŶŐƐ͕ǁŚŝĐŚŵĂǇĂŐŐƌĂǀĂƚĞĐŚƌŽŶŝĐƌĞƐƉŝƌĂƚŽƌǇƐǇŵƉƚŽŵƐĂŶĚŝŶĐƌĞĂƐĞƚŚĞĨƌĞƋƵĞŶĐǇŽƌŝŶƚĞŶƐŝƚǇ ŽĨĂƐƚŚŵĂĂƚƚĂĐŬƐ͘
ŝĞƐĞůĞŶŐŝŶĞƐĂƌĞĂŵĂũŽƌƐŽƵƌĐĞŽĨĨŝŶĞƉĂƌƚŝĐƵůĂƚĞƉŽůůƵƚŝŽŶ͘dŚĞĞůĚĞƌůǇĂŶĚƉĞŽƉůĞǁŝƚŚĞŵƉŚǇƐĞŵĂ͕ ĂƐƚŚŵĂ͕ĂŶĚĐŚƌŽŶŝĐŚĞĂƌƚĂŶĚůƵŶŐĚŝƐĞĂƐĞĂƌĞ ĞƐƉĞĐŝĂůůǇƐĞŶƐŝƚŝǀĞƚŽĨŝŶĞͲƉĂƌƚŝĐůĞƉŽůůƵƚŝŽŶ͘EƵŵĞƌŽƵƐ ƐƚƵĚŝĞƐŚĂǀĞůŝŶŬĞĚĞůĞǀĂƚĞĚƉĂƌƚŝĐůĞůĞǀĞůƐŝŶƚŚĞĂŝƌƚŽŝŶĐƌĞĂƐĞĚŚŽƐƉŝƚĂůĂĚŵŝƐƐŝŽŶƐ͕ĞŵĞƌŐĞŶĐǇƌŽŽŵ ǀŝƐŝƚƐ͕ĂƐƚŚŵĂĂƚƚĂĐŬƐ͕ĂŶĚƉƌĞŵĂƚƵƌĞĚĞĂƚŚƐĂŵŽŶŐƚŚŽƐĞƐƵĨĨĞƌŝŶŐĨƌŽŵƌĞƐƉŝƌĂƚŽƌǇƉƌŽďůĞŵƐ͘ĞĐĂƵƐĞ ĐŚŝůĚƌĞŶ͛ƐůƵŶŐƐĂŶĚƌĞƐƉŝƌĂƚŽƌǇƐǇƐƚĞŵƐĂƌĞƐƚŝůůĚĞǀĞůŽƉŝŶŐ͕ƚŚĞǇĂƌĞĂůƐŽŵŽƌĞƐƵƐĐĞƉƚŝďůĞƚŚĂŶŚĞĂůƚŚǇ ĂĚƵůƚƐ ƚŽ ĨŝŶĞ ƉĂƌƚŝĐůĞƐ͘
ǆƉŽƐƵƌĞ ƚŽ ĨŝŶĞ ƉĂƌƚŝĐůĞƐŝƐĂƐƐŽĐŝĂƚĞĚǁŝƚŚŝŶĐƌĞĂƐĞĚ ĨƌĞƋƵĞŶĐǇŽĨ ĐŚŝůĚŚŽŽĚ ŝůůŶĞƐƐĞƐĂŶĚĐĂŶĂůƐŽƌĞĚƵĐĞůƵŶŐ ĨƵŶĐƚŝŽŶŝŶ ĐŚŝůĚƌĞŶ͘/ŶĂůŝĨŽƌŶŝĂ͕ĚŝĞƐĞůĞǆŚĂƵƐƚƉĂƌƚŝĐůĞƐŚĂǀĞďĞĞŶ ŝĚĞŶƚŝĨŝĞĚĂƐĂĐĂƌĐŝŶŽŐĞŶ͘

2.4 Sensitive Receptors
^ĞŶƐŝƚŝǀĞƉŽƉƵůĂƚŝŽŶƐĂƌĞŵŽƌĞƐƵƐĐĞƉƚŝďůĞƚŽƚŚĞĞĨĨĞĐƚƐŽĨĂŝƌƉŽůůƵƚŝŽŶƚŚĂŶŝƐƚŚĞŐĞŶĞƌĂůƉŽƉƵůĂƚŝŽŶ͘ ^ĞŶƐŝƚŝǀĞƌĞĐĞƉƚŽƌƐƚŚĂƚĂƌĞŝŶƉƌŽǆŝŵŝƚǇƚŽůŽĐĂůŝǌĞĚƐŽƵƌĐĞƐŽĨƚŽǆŝĐƐĂƌĞŽĨƉĂƌƚŝĐƵůĂƌĐŽŶĐĞƌŶ͘>ĂŶĚƵƐĞƐ ĐŽŶƐŝĚĞƌĞĚ ƐĞŶƐŝƚŝǀĞ ƌĞĐĞƉƚŽƌƐ ŝŶĐůƵĚĞ ƌĞƐŝĚĞŶĐĞƐ͕ ƐĐŚŽŽůƐ͕ ƉůĂǇŐƌŽƵŶĚƐ͕ ĐŚŝůĚĐĂƌĞ ĐĞŶƚĞƌƐ͕ ůŽŶŐͲƚĞƌŵ ŚĞĂůƚŚĐĂƌĞĨĂĐŝůŝƚŝĞƐ͕ƌĞŚĂďŝůŝƚĂƚŝŽŶĐĞŶƚĞƌƐ͕ĐŽŶǀĂůĞƐĐĞŶƚĐĞŶƚĞƌƐ͕ĂŶĚƌĞƚŝƌĞŵĞŶƚŚŽŵĞƐ͘^ĞŶƐŝƚŝǀĞůĂŶĚ ƵƐĞƐƐƵƌƌŽƵŶĚŝŶŐƚŚĞWƌŽũĞĐƚĐŽŶƐŝƐƚŽĨ ŵƵůƚŝͲĨĂŵŝůǇĂŶĚƐŝŶŐůĞͲĨĂŵŝůǇƌĞƐŝĚĞŶĐĞƐ͘dŚĞŶĞĂƌĞƐƚƐĞŶƐŝƚŝǀĞ ůĂŶĚƵƐĞƐŶĞĂƌĞƐƚƚŽƚŚĞWƌŽũĞĐƚĂƌĞƐŚŽǁŶŝŶdĂďůĞϭ͗^ĞŶƐŝƚŝǀĞZĞĐĞƉƚŽƌƐ͘ dĂďůĞϭ͗^ĞŶƐŝƚŝǀĞZĞĐĞƉƚŽƌƐ
ZĞĐĞƉƚŽƌĞƐĐƌŝƉƚŝŽŶ ŝƐƚĂŶĐĞĂŶĚŝƌĞĐƚŝŽŶĨƌŽŵƚŚĞWƌŽũĞĐƚ DƵůƚŝͲ&ĂŵŝůǇZĞƐŝĚĞŶĐĞƐ ϭϱϱ ĨĞĞƚ ƚŽƚŚĞƐŽƵƚŚ
^ŝŶŐůĞͲ&ĂŵŝůǇZĞƐŝĚĞŶĐĞƐ ϰϴϬ ĨĞĞƚƚŽƚŚĞƐŽƵƚŚǁĞƐƚ
DƵůƚŝͲ&ĂŵŝůǇZĞƐŝĚĞŶĐĞƐ ϳϯϬ ĨĞĞƚƚŽƚŚĞǁĞƐƚ
^ŽƵƌĐĞ͗'ŽŽŐůĞ
ĂƌƚŚ͕ϮϬϮϭ͘
379
ŝƚǇŽĨKŶƚĂƌŝŽ ŽŶsŝĞǁWƌŽũĞĐƚ
,ĞĂůƚŚZŝƐŬƐƐĞƐƐŵĞŶƚ
ƵŐƵƐƚϮϬϮϭ
WĂŐĞͮϴ
3 REGULATORY SETTING

3.1 Federal
&ĞĚĞƌĂůůĞĂŶŝƌĐƚ
dŚĞ& ǁĂƐĂŵĞŶĚĞĚŝŶϭϵϵϬƚŽĂĚĚƌĞƐƐƚŚĞŶƵŵĞƌŽƵƐ ĂŝƌƉŽůůƵƚĂŶƚƐƚŚĂƚĂƌĞŬŶŽǁŶƚŽĐĂƵƐĞŽƌŵĂǇ ƌĞĂƐŽŶĂďůǇďĞĂŶƚŝĐŝƉĂƚĞĚƚŽĐĂƵƐĞĂĚǀĞƌƐĞĞĨĨĞĐƚƐ ƚŽŚƵŵĂŶŚĞĂůƚŚŽƌĂĚǀĞƌƐĞĞŶǀŝƌŽŶŵĞŶƚĂůĞĨĨĞĐƚƐ͘ ϭϴϴ ƐƉĞĐŝĨŝĐ ƉŽůůƵƚĂŶƚƐ ĂŶĚ ĐŚĞŵŝĐĂů ŐƌŽƵƉƐ ǁĞƌĞ ŝŶŝƚŝĂůůǇ ŝĚĞŶƚŝĨŝĞĚ ĂƐ ,WƐ͕ ĂŶĚ ƚŚĞ ůŝƐƚ ŚĂƐ ďĞĞŶ ŵŽĚŝĨŝĞĚŽǀĞƌƚŝŵĞ͘dŚĞ&ŵĞŶĚŵĞŶƚƐŝŶĐůƵĚĞĚŶĞǁƌĞŐƵůĂƚŽƌǇƉƌŽŐƌĂŵƐƚŽĐŽŶƚƌŽůĂĐŝĚĚĞƉŽƐŝƚŝŽŶ ĂŶĚĨŽƌƚŚĞŝƐƐƵĂŶĐĞŽĨƐƚĂƚŝŽŶĂƌǇƐŽƵƌĐĞŽƉĞƌĂƚŝŶŐƉĞƌŵŝƚƐ͘ /ŶϮϬϬϭ͕ƚŚĞhŶŝƚĞĚ^ƚĂƚĞƐ
ŶǀŝƌŽŶŵĞŶƚĂůWƌŽƚĞĐƚŝŽŶŐĞŶĐǇ;
WͿŝƐƐƵĞĚŝƚƐĨŝƌƐƚDŽďŝůĞ^ŽƵƌĐĞŝƌdŽǆŝĐƐ
ZƵůĞ͕ ǁŚŝĐŚ ŝĚĞŶƚŝĨŝĞĚ Ϯϭ ŵŽďŝůĞ ƐŽƵƌĐĞ Ăŝƌ ƚŽǆŝĐ ;D^dͿ ĐŽŵƉŽƵŶĚƐ ĂƐ ďĞŝŶŐ ,WƐ ƚŚĂƚ ƌĞƋƵŝƌĞĚ ƌĞŐƵůĂƚŝŽŶ͘ƐƵďƐĞƚŽĨƐŝǆŽĨƚŚĞƐĞD^dĐŽŵƉŽƵŶĚƐǁĞƌĞŝĚĞŶƚŝĨŝĞĚĂƐŚĂǀŝŶŐ ƚŚĞŐƌĞĂƚĞƐƚŝŶĨůƵĞŶĐĞŽŶ ŚĞĂůƚŚ ĂŶĚ ŝŶĐůƵĚĞĚ ďĞŶǌĞŶĞ͕ ϭ͕ϯͲďƵƚĂĚŝĞŶĞ͕ ĨŽƌŵĂůĚĞŚǇĚĞ͕ ĂĐƌŽůĞŝŶ͕ ĂĐĞƚĂůĚĞŚǇĚĞ͕ ĂŶĚ WD͘ DŽƌĞ ƌĞĐĞŶƚůǇ͕ƚŚĞ
WŝƐƐƵĞĚĂƐĞĐŽŶĚD^dZƵůĞŝŶ&ĞďƌƵĂƌǇϮϬϬϳ͕ǁŚŝĐŚŐĞŶĞƌĂůůǇƐƵƉƉŽƌƚĞĚƚŚĞĨŝŶĚŝŶŐƐŝŶ ƚŚĞ ĨŝƌƐƚ ƌƵůĞ ĂŶĚ ƉƌŽǀŝĚĞĚ ĂĚĚŝƚŝŽŶĂů ƌĞĐŽŵŵĞŶĚĂƚŝŽŶƐ ŽĨ ĐŽŵƉŽƵŶĚƐ ŚĂǀŝŶŐ ƚŚĞ ŐƌĞĂƚĞƐƚ ŝŵƉĂĐƚ ŽŶ ŚĞĂůƚŚ͘dŚĞƌƵůĞĂůƐŽŝĚĞŶƚŝĨŝĞĚƐĞǀĞƌĂůĞŶŐŝŶĞĞŵŝƐƐŝŽŶĐĞƌƚŝĨŝĐĂƚŝŽŶƐƚĂŶĚĂƌĚƐƚŚĂƚŵƵƐƚďĞŝŵƉůĞŵĞŶƚĞĚ͘ hŶůŝŬĞƚŚĞĐƌŝƚĞƌŝĂƉŽůůƵƚĂŶƚƐ͕ƚŽǆŝĐƐĚŽŶŽƚŚĂǀĞEĂƚŝŽŶĂůŵďŝĞŶƚŝƌYƵĂůŝƚǇ^ƚĂŶĚĂƌĚƐ;EY^ͿŵĂŬŝŶŐ ĞǀĂůƵĂƚŝŽŶŽĨƚŚĞŝƌŝŵƉĂĐƚƐŵŽƌĞƐƵďũĞĐƚŝǀĞ͘
EĂƚŝŽŶĂů
ŵŝƐƐŝŽŶƐ^ƚĂŶĚĂƌĚƐ ĨŽƌ,ĂǌĂƌĚŽƵƐŝƌWŽůůƵƚĂŶƚƐ ;E
^,WƐͿǁĞƌĞŝŶĐŽƌƉŽƌĂƚĞĚŝŶƚŽĂŐƌĞĂƚůǇ
ĞǆƉĂŶĚĞĚƉƌŽŐƌĂŵĨŽƌĐŽŶƚƌŽůůŝŶŐƚŽǆŝĐĂŝƌƉŽůůƵƚĂŶƚƐ͘dŚĞƉƌŽǀŝƐŝŽŶƐĨŽƌĂƚƚĂŝŶŵĞŶƚ ĂŶĚŵĂŝŶƚĞŶĂŶĐĞŽĨ ƚŚĞ EY^ ǁĞƌĞ ƐƵďƐƚĂŶƚŝĂůůǇ ŵŽĚŝĨŝĞĚ ĂŶĚ ĞǆƉĂŶĚĞĚ͘ KƚŚĞƌ ƌĞǀŝƐŝŽŶƐ ŝŶĐůƵĚĞĚ ƉƌŽǀŝƐŝŽŶƐ ƌĞŐĂƌĚŝŶŐ ƐƚƌĂƚŽƐƉŚĞƌŝĐŽǌŽŶĞƉƌŽƚĞĐƚŝŽŶ͕ŝŶĐƌĞĂƐĞĚĞŶĨŽƌĐĞŵĞŶƚĂƵƚŚŽƌŝƚǇ͕ĂŶĚĞǆƉĂŶĚĞĚƌĞƐĞĂƌĐŚƉƌŽŐƌĂŵƐ͘ ^ĞĐƚŝŽŶϭϭϮŽĨƚŚĞ&ŵĞŶĚŵĞŶƚƐŐŽǀĞƌŶƐƚŚĞĨĞĚĞƌĂůĐŽŶƚƌŽůƉƌŽŐƌĂŵĨŽƌ,WƐ͘E ^,WƐĂƌĞŝƐƐƵĞĚ
ƚŽůŝŵŝƚ ƚŚĞ ƌĞůĞĂƐĞŽĨ ƐƉĞĐŝĨŝĞĚ,WƐ ĨƌŽŵ ƐƉĞĐŝĨŝĐŝŶĚƵƐƚƌŝĂů ƐĞĐƚŽƌƐ͘dŚĞƐĞ ƐƚĂŶĚĂƌĚƐĂƌĞ ƚĞĐŚŶŽůŽŐǇͲ ďĂƐĞĚ͕ŵĞĂŶŝŶŐƚŚĂƚƚŚĞǇƌĞƉƌĞƐĞŶƚƚŚĞďĞƐƚĂǀĂŝůĂďůĞĐŽŶƚƌŽůƚĞĐŚŶŽůŽŐǇĂŶŝŶĚƵƐƚƌŝĂůƐĞĐƚŽƌĐŽƵůĚĂĨĨŽƌĚ͘ dŚĞůĞǀĞůŽĨĞŵŝƐƐŝŽŶƐĐŽŶƚƌŽůƐƌĞƋƵŝƌĞĚďǇE
^,WƐĂƌĞŶŽƚďĂƐĞĚŽŶŚĞĂůƚŚƌŝƐŬĐŽŶƐŝĚĞƌĂƚŝŽŶƐďĞĐĂƵƐĞ ĂůůŽǁĂďůĞ ƌĞůĞĂƐĞƐ ĂŶĚ ƌĞƐƵůƚŝŶŐ ĐŽŶĐĞŶƚƌĂƚŝŽŶƐ ŚĂǀĞ ŶŽƚ ďĞĞŶ ĚĞƚĞƌŵŝŶĞĚ ƚŽ ďĞ ƐĂĨĞ ĨŽƌ ƚŚĞ ŐĞŶĞƌĂů ƉƵďůŝĐ͘ dŚĞ & ĚŽĞƐ ŶŽƚ ĞƐƚĂďůŝƐŚ Ăŝƌ ƋƵĂůŝƚǇ ƐƚĂŶĚĂƌĚƐ ĨŽƌ ,WƐ ƚŚĂƚ ĚĞĨŝŶĞ ůĞŐĂůůǇ ĂĐĐĞƉƚĂďůĞ ĐŽŶĐĞŶƚƌĂƚŝŽŶƐŽĨƚŚĞƐĞƉŽůůƵƚĂŶƚƐŝŶĂŵďŝĞŶƚĂŝƌ͘
&ĞĚĞƌĂů
ŵŝƐƐŝŽŶƐ^ƚĂŶĚĂƌĚƐĨŽƌKŶͲZŽĂĚdƌƵĐŬƐ
dŽ ƌĞĚƵĐĞ ĞŵŝƐƐŝŽŶƐ ĨƌŽŵ ŽŶͲƌŽĂĚ͕ ŚĞĂǀǇͲĚƵƚǇ ĚŝĞƐĞů ƚƌƵĐŬƐ͕ ƚŚĞ h͘^͘ W ĞƐƚĂďůŝƐŚĞĚ Ă ƐĞƌŝĞƐ ŽĨ
ŝŶĐƌĞĂƐŝŶŐůǇƐƚƌŝĐƚĞŵŝƐƐŝŽŶƐƚĂŶĚĂƌĚƐ ĨŽƌŶĞǁĞŶŐŝŶĞƐ͕ƐƚĂƌƚŝŶŐŝŶ ϭϵϴϴ͘dŚĞh͘^͘ WƉƌŽŵƵůŐĂƚĞĚƚŚĞ
ĨŝŶĂůĂŶĚĐůĞĂŶĞƐƚƐƚĂŶĚĂƌĚƐǁŝƚŚƚŚĞϮϬϬϳ,ĞĂǀǇͲƵƚǇ,ŝŐŚǁĂǇZƵůĞ͘ϭ dŚĞWDĞŵŝƐƐŝŽŶƐƚĂŶĚĂƌĚŽĨϬ͘Ϭϭ ŐƌĂŵƉĞƌŚŽƌƐĞƉŽǁĞƌͲŚŽƵƌ;ŐͬŚƉͲŚƌͿŝƐƌĞƋƵŝƌĞĚĨŽƌŶĞǁǀĞŚŝĐůĞƐďĞŐŝŶŶŝŶŐǁŝƚŚŵŽĚĞůǇĞĂƌϮϬϬϳ͘ůƐŽ͕ ƚŚĞEKy ĂŶĚŶŽŶŵĞƚŚĂŶĞŚǇĚƌŽĐĂƌďŽŶ;ED,ͿƐƚĂŶĚĂƌĚƐŽĨϬ͘ϮϬŐͬŚƉͲŚƌĂŶĚϬ͘ϭϰŐͬŚƉͲŚƌ͕ƌĞƐƉĞĐƚŝǀĞůǇ͕ ǁĞƌĞƉŚĂƐĞĚŝŶƚŽŐĞƚŚĞƌďĞƚǁĞĞŶϮϬϬϳĂŶĚϮϬϭϬŽŶĂƉĞƌĐĞŶƚŽĨƐĂůĞƐďĂƐŝƐ͗ϱϬƉĞƌĐĞŶƚĨƌŽŵϮϬϬϳƚŽ ϮϬϬϵĂŶĚϭϬϬƉĞƌĐĞŶƚŝŶϮϬϭϬ͘
ϭ hŶŝƚĞĚ ^ƚĂƚĞƐ
ŶǀŝƌŽŶŵĞŶƚĂů WƌŽƚĞĐƚŝŽŶ ŐĞŶĐǇ ;h͘^͘
WͿ͕ ŽŶƚƌŽů ŽĨ ŝƌ WŽůůƵƚŝŽŶ ĨƌŽŵ EĞǁDŽƚŽƌ sĞŚŝĐůĞƐ͗ ,ĞĂǀǇͲƵƚǇ

ŶŐŝŶĞĂŶĚsĞŚŝĐůĞ^ƚĂŶĚĂƌĚƐĂŶĚ,ŝŐŚǁĂǇŝĞƐĞů&ƵĞů^ƵůĨƵƌŽŶƚƌŽůZĞƋƵŝƌĞŵĞŶƚƐ͕&ŝŶĂůZƵůĞ͘ϰϬŽĚĞŽĨ&ĞĚĞƌĂůZĞŐƵůĂƚŝŽŶƐ͕ WĂƌƚƐϲϵ͕ϴϬ͕ĂŶĚϴϲ͘:ĂŶƵĂƌǇϭϴ͕ϮϬϬϭ͘
380
ŝƚǇŽĨKŶƚĂƌŝŽ ŽŶsŝĞǁWƌŽũĞĐƚ
,ĞĂůƚŚZŝƐŬƐƐĞƐƐŵĞŶƚ
ƵŐƵƐƚϮϬϮϭ
WĂŐĞͮϵ

ŵŝƐƐŝŽŶ^ƚĂŶĚĂƌĚƐĨŽƌEŽŶƌŽĂĚŝĞƐĞů
ŶŐŝŶĞƐ
dŽƌĞĚƵĐĞĞŵŝƐƐŝŽŶƐĨƌŽŵŽĨĨͲƌŽĂĚĚŝĞƐĞůĞƋƵŝƉŵĞŶƚ͕ƚŚĞh͘^͘ WĞƐƚĂďůŝƐŚĞĚĂƐĞƌŝĞƐŽĨĐůĞĂŶĞƌĞŵŝƐƐŝŽŶ
ƐƚĂŶĚĂƌĚƐĨŽƌŶĞǁŽĨĨͲƌŽĂĚĚŝĞƐĞůĞŶŐŝŶĞƐ͘dŝĞƌϭƐƚĂŶĚĂƌĚƐǁĞƌĞƉŚĂƐĞĚŝŶĨƌŽŵϭϵϵϲƚŽϮϬϬϬ;ǇĞĂƌŽĨ ŵĂŶƵĨĂĐƚƵƌĞͿ͕ĚĞƉĞŶĚŝŶŐŽŶƚŚĞĞŶŐŝŶĞŚŽƌƐĞƉŽǁĞƌĐĂƚĞŐŽƌǇ͘dŝĞƌϮƐƚĂŶĚĂƌĚƐǁĞƌĞƉŚĂƐĞĚŝŶĨƌŽŵϮϬϬϭ ƚŽϮϬϬϲ͘dŝĞƌϯƐƚĂŶĚĂƌĚƐǁĞƌĞƉŚĂƐĞĚŝŶĨƌŽŵϮϬϬϲƚŽϮϬϬϴ͘dŝĞƌϰƐƚĂŶĚĂƌĚƐ͕ǁŚŝĐŚŐĞŶĞƌĂůůǇƌĞƋƵŝƌĞ ĂĚĚͲŽŶĞŵŝƐƐŝŽŶĐŽŶƚƌŽůĞƋƵŝƉŵĞŶƚƚŽĂƚƚĂŝŶƚŚĞŵ͕ĂƌĞďĞŝŶŐƉŚĂƐĞĚŝŶĨƌŽŵϮϬϬϴƚŽϮϬϭϱ͘

3.2 State of California
ĂůŝĨŽƌŶŝĂŝƌZĞƐŽƵƌĐĞƐŽĂƌĚ
Z͛ƐƐƚĂƚĞǁŝĚĞĐŽŵƉƌĞŚĞŶƐŝǀĞĂŝƌƚŽǆŝĐƐƉƌŽŐƌĂŵǁĂƐĞƐƚĂďůŝƐŚĞĚŝŶϭϵϴϯǁŝƚŚϭϴϬϳƚŚĞdŽǆŝĐŝƌ ŽŶƚĂŵŝŶĂŶƚ/ĚĞŶƚŝĨŝĐĂƚŝŽŶĂŶĚŽŶƚƌŽůĐƚ;dĂŶŶĞƌŝƌdŽǆŝĐƐĐƚŽĨϭϵϴϯͿ͘ϭϴϬϳĐƌĞĂƚĞĚĂůŝĨŽƌŶŝĂΖƐ ƉƌŽŐƌĂŵ ƚŽ ƌĞĚƵĐĞ ĞǆƉŽƐƵƌĞ ƚŽ Ăŝƌ ƚŽǆŝĐƐ ĂŶĚ ƐĞƚƐ ĨŽƌƚŚ Ă ĨŽƌŵĂů ƉƌŽĐĞĚƵƌĞ ĨŽƌ Z ƚŽ ĚĞƐŝŐŶĂƚĞ ƐƵďƐƚĂŶĐĞƐĂƐdƐ͘KŶĐĞĂdŝƐŝĚĞŶƚŝĨŝĞĚ͕ZĂĚŽƉƚƐĂŶĂŝƌďŽƌŶĞƚŽǆŝĐƐĐŽŶƚƌŽůŵĞĂƐƵƌĞ;dDͿĨŽƌ ƐŽƵƌĐĞƐƚŚĂƚĞŵŝƚĚĞƐŝŐŶĂƚĞĚdƐ͘/ĨƚŚĞƌĞŝƐĂƐĂĨĞƚŚƌĞƐŚŽůĚ ĨŽƌĂƐƵďƐƚĂŶĐĞĂƚǁŚŝĐŚƚŚĞƌĞŝƐŶŽƚŽǆŝĐ ĞĨĨĞĐƚ͕ƚŚĞĐŽŶƚƌŽůŵĞĂƐƵƌĞŵƵƐƚƌĞĚƵĐĞĞǆƉŽƐƵƌĞƚŽďĞůŽǁƚŚĂƚƚŚƌĞƐŚŽůĚ͘/ĨƚŚĞƌĞŝƐŶŽƐĂĨĞƚŚƌĞƐŚŽůĚ͕ ƚŚĞŵĞĂƐƵƌĞŵƵƐƚŝŶĐŽƌƉŽƌĂƚĞƚŽǆŝĐƐďĞƐƚĂǀĂŝůĂďůĞĐŽŶƚƌŽůƚĞĐŚŶŽůŽŐǇ;dͲdͿƚŽŵŝŶŝŵŝǌĞĞŵŝƐƐŝŽŶƐ͘ Z ĂůƐŽ ĂĚŵŝŶŝƐƚĞƌƐ ƚŚĞ ƐƚĂƚĞ͛Ɛ ŵŽďŝůĞ ƐŽƵƌĐĞ ĞŵŝƐƐŝŽŶƐ ĐŽŶƚƌŽů ƉƌŽŐƌĂŵ ĂŶĚ ŽǀĞƌƐĞĞƐ Ăŝƌ ƋƵĂůŝƚǇ ƉƌŽŐƌĂŵƐĞƐƚĂďůŝƐŚĞĚďǇƐƚĂƚĞƐƚĂƚƵƚĞ͕ƐƵĐŚĂƐϮϱϴϴ͘hŶĚĞƌϮϱϴϴ͕dĞŵŝƐƐŝŽŶƐĨƌŽŵŝŶĚŝǀŝĚƵĂů ĨĂĐŝůŝƚŝĞƐ ĂƌĞ ƋƵĂŶƚŝĨŝĞĚ ĂŶĚ ƉƌŝŽƌŝƚŝǌĞĚ ďǇ ƚŚĞ Ăŝƌ ƋƵĂůŝƚǇ ŵĂŶĂŐĞŵĞŶƚ ĚŝƐƚƌŝĐƚ Žƌ Ăŝƌ ƉŽůůƵƚŝŽŶ ĐŽŶƚƌŽů ĚŝƐƚƌŝĐƚ͘,ŝŐŚƉƌŝŽƌŝƚǇĨĂĐŝůŝƚŝĞƐĂƌĞƌĞƋƵŝƌĞĚƚŽƉĞƌĨŽƌŵĂŚĞĂůƚŚƌŝƐŬĂƐƐĞƐƐŵĞŶƚĂŶĚ͕ŝĨƐƉĞĐŝĨŝĐƚŚƌĞƐŚŽůĚƐ ĂƌĞ ĞǆĐĞĞĚĞĚ͕ ƌĞƋƵŝƌĞĚ ƚŽ ĐŽŵŵƵŶŝĐĂƚĞ ƚŚĞ ƌĞƐƵůƚƐ ƚŽ ƚŚĞ ƉƵďůŝĐ ŝŶ ƚŚĞ ĨŽƌŵ ŽĨ ŶŽƚŝĐĞƐ ĂŶĚ ƉƵďůŝĐ ŵĞĞƚŝŶŐƐ͘/Ŷ^ĞƉƚĞŵďĞƌϭϵϵϮ͕ƚŚĞϮϱϴϴ ǁĂƐĂŵĞŶĚĞĚďǇ^ĞŶĂƚĞŝůů;^ͿϭϳϯϭǁŚŝĐŚƌĞƋƵŝƌĞĚĨĂĐŝůŝƚŝĞƐ ƚŚĂƚƉŽƐĞĂƐŝŐŶŝĨŝĐĂŶƚŚĞĂůƚŚƌŝƐŬƚŽƚŚĞĐŽŵŵƵŶŝƚǇƚŽƌĞĚƵĐĞƚŚĞŝƌƌŝƐŬƚŚƌŽƵŐŚĂƌŝƐŬŵĂŶĂŐĞŵĞŶƚƉůĂŶ͘ ŝĞƐĞůZŝƐŬZĞĚƵĐƚŝŽŶWůĂŶ
dŚĞŝĚĞŶƚŝĨŝĐĂƚŝŽŶ ŽĨWDĂƐĂdŝŶϭϵϵϴůĞĚZƚŽĂĚŽƉƚƚŚĞZŝƐŬZĞĚƵĐƚŝŽŶWůĂŶƚŽZĞĚƵĐĞWĂƌƚŝĐƵůĂƚĞ DĂƚƚĞƌ
ŵŝƐƐŝŽŶƐ ĨƌŽŵ ŝĞƐĞůͲ&ƵĞůĞĚ
ŶŐŝŶĞƐ ĂŶĚ sĞŚŝĐůĞƐ ;ZZWͿ ŝŶKĐƚŽďĞƌ ϮϬϬϬ͘ dŚĞ ZZWΖƐ ŐŽĂůƐ ŝŶĐůƵĚĞĂŶϴϱƉĞƌĐĞŶƚƌĞĚƵĐƚŝŽŶŝŶWD ďǇϮϬϮϬĨƌŽŵƚŚĞ ϮϬϬϬďĂƐĞůŝŶĞ͘Ϯ ZĞƐƚŝŵĂƚĞƐƚŚĂƚĞŵŝƐƐŝŽŶƐ ŽĨWDŝŶϮϬϯϱǁŝůůďĞůĞƐƐƚŚĂŶŚĂůĨƚŚŽƐĞŝŶϮϬϭϬ͕ĨƵƌƚŚĞƌƌĞĚƵĐŝŶŐƐƚĂƚĞǁŝĚĞĐĂŶĐĞƌƌŝƐŬĂŶĚŶŽŶͲĐĂŶĐĞƌ ŚĞĂůƚŚĞĨĨĞĐƚƐ͘ϯ dŚĞZZW ŝŶĐůƵĚĞƐ ƌĞŐƵůĂƚŝŽŶƐ ƚŽĞƐƚĂďůŝƐŚ ĐůĞĂŶĞƌ ŶĞǁ ĚŝĞƐĞůĞŶŐŝŶĞƐ͕ ĐůĞĂŶĞƌ ŝŶͲƵƐĞ ĚŝĞƐĞůĞŶŐŝŶĞƐ;ƌĞƚƌŽĨŝƚƐͿ͕ĂŶĚĐůĞĂŶĞƌĚŝĞƐĞůĨƵĞů͘
dƌƵĐŬĂŶĚƵƐZĞŐƵůĂƚŝŽŶZĞĚƵĐŝŶŐ
ŵŝƐƐŝŽŶƐĨƌŽŵ
ǆŝƐƚŝŶŐŝĞƐĞůsĞŚŝĐůĞƐ
KŶĞĐĞŵďĞƌϭϮ͕ϮϬϬϴ͕ZĂƉƉƌŽǀĞĚƚŚĞdƌƵĐŬĂŶĚƵƐZĞŐƵůĂƚŝŽŶƚŽƐŝŐŶŝĨŝĐĂŶƚůǇƌĞĚƵĐĞƉĂƌƚŝĐƵůĂƚĞ ŵĂƚƚĞƌ;WDͿĂŶĚŽǆŝĚĞƐŽĨŶŝƚƌŽŐĞŶ;EKyͿĞŵŝƐƐŝŽŶƐĨƌŽŵĞǆŝƐƚŝŶŐĚŝĞƐĞůǀĞŚŝĐůĞƐŽƉĞƌĂƚŝŶŐŝŶĂůŝĨŽƌŶŝĂ͘ dŚĞ ƌĞŐƵůĂƚŝŽŶ ƌĞƋƵŝƌĞƐ ĚŝĞƐĞů ƚƌƵĐŬƐ ĂŶĚ ďƵƐĞƐ ƚŚĂƚ ŽƉĞƌĂƚĞ ŝŶ ĂůŝĨŽƌŶŝĂ ƚŽ ďĞ ƵƉŐƌĂĚĞĚ ƚŽ ƌĞĚƵĐĞ ĞŵŝƐƐŝŽŶƐ͘,ĞĂǀŝĞƌƚƌƵĐŬƐǁĞƌĞƌĞƋƵŝƌĞĚƚŽďĞƌĞƚƌŽĨŝƚƚĞĚǁŝƚŚWDĨŝůƚĞƌƐďĞŐŝŶŶŝŶŐ:ĂŶƵĂƌǇϭ͕ϮϬϭϮ͕ĂŶĚ Ϯ ĂůŝĨŽƌŶŝĂŝƌZĞƐŽƵƌĐĞƐŽĂƌĚ͕ZŝƐŬZĞĚƵĐƚŝŽŶWůĂŶƚŽZĞĚƵĐĞWĂƌƚŝĐƵůĂƚĞDĂƚƚĞƌ ŵŝƐƐŝŽŶƐĨƌŽŵŝĞƐĞůͲ&ƵĞůĞĚ
ŶŐŝŶĞƐĂŶĚ
sĞŚŝĐůĞƐ͕KĐƚŽďĞƌϮϬϬϬ͘ ϯ ĂůŝĨŽƌŶŝĂŝƌZĞƐŽƵƌĐĞƐŽĂƌĚ͕KǀĞƌǀŝĞǁ͗ŝĞƐĞů ǆŚĂƵƐƚΘ,ĞĂůƚŚ͕ĂǀĂŝůĂďůĞĂƚ͗
ŚƚƚƉƐ͗ͬͬǁǁϮ͘Ăƌď͘ĐĂ͘ŐŽǀͬƌĞƐŽƵƌĐĞƐͬŽǀĞƌǀŝĞǁͲĚŝĞƐĞůͲĞǆŚĂƵƐƚͲĂŶĚͲŚĞĂůƚŚ͕ĂĐĐĞƐƐĞĚDĂǇϭϬ͕ϮϬϮϭ͘ 381
ŝƚǇŽĨKŶƚĂƌŝŽ ŽŶsŝĞǁWƌŽũĞĐƚ
,ĞĂůƚŚZŝƐŬƐƐĞƐƐŵĞŶƚ
ƵŐƵƐƚϮϬϮϭ
WĂŐĞͮϭϬ
ŽůĚĞƌƚƌƵĐŬƐǁĞƌĞƌĞƋƵŝƌĞĚƚŽďĞ ƌĞƉůĂĐĞĚƐƚĂƌƚŝŶŐ:ĂŶƵĂƌǇϭ͕ϮϬϭϱ͘Ǉ:ĂŶƵĂƌǇϭ͕ϮϬϮϯ͕ŶĞĂƌůǇĂůůƚƌƵĐŬƐ ĂŶĚďƵƐĞƐǁŽƵůĚŶĞĞĚƚŽŚĂǀĞϮϬϭϬŵŽĚĞůǇĞĂƌĞŶŐŝŶĞƐŽƌĞƋƵŝǀĂůĞŶƚ͘ dŚĞ ƌĞŐƵůĂƚŝŽŶ ĂƉƉůŝĞƐ ƚŽ ŵŽƐƚ ƉƌŝǀĂƚĞůǇ ĂŶĚ ĨĞĚĞƌĂůůǇͲŽǁŶĞĚ ĚŝĞƐĞů ĨƵĞůĞĚ ƚƌƵĐŬƐ ĂŶĚ ďƵƐĞƐ ĂŶĚ ƚŽ ƉƌŝǀĂƚĞůǇĂŶĚƉƵďůŝĐůǇŽǁŶĞĚƐĐŚŽŽůďƵƐĞƐǁŝƚŚĂŐƌŽƐƐǀĞŚŝĐůĞǁĞŝŐŚƚƌĂƚŝŶŐ;'stZͿŐƌĞĂƚĞƌƚŚĂŶϭϰ͕ϬϬϬ ƉŽƵŶĚƐ͘^ŵĂůůĨůĞĞƚƐǁŝƚŚƚŚƌĞĞŽƌĨĞǁĞƌĚŝĞƐĞůƚƌƵĐŬƐĐĂŶĚĞůĂǇĐŽŵƉůŝĂŶĐĞ ĨŽƌŚĞĂǀŝĞƌƚƌƵĐŬƐ ĂŶĚƚŚĞƌĞ ĂƌĞ ƐĞǀĞƌĂů ĞǆƚĞŶƐŝŽŶƐ ĨŽƌ ůŽǁͲŵŝůĞĂŐĞ ĐŽŶƐƚƌƵĐƚŝŽŶ ƚƌƵĐŬƐ͕ ĞĂƌůǇ WD ĨŝůƚĞƌ ƌĞƚƌŽĨŝƚƐ͕ ĂĚĚŝŶŐ ĐůĞĂŶĞƌ ǀĞŚŝĐůĞƐ͕ĂŶĚŽƚŚĞƌƐŝƚƵĂƚŝŽŶƐ͘WƌŝǀĂƚĞůǇĂŶĚƉƵďůŝĐůǇŽǁŶĞĚƐĐŚŽŽůďƵƐĞƐŚĂǀĞĚŝĨĨĞƌĞŶƚƌĞƋƵŝƌĞŵĞŶƚƐ͘ ,ĞĂǀǇͲƵƚǇsĞŚŝĐůĞ/ĚůŝŶŐ
ŵŝƐƐŝŽŶZĞĚƵĐƚŝŽŶWƌŽŐƌĂŵ
dŚĞƉƵƌƉŽƐĞŽĨƚŚĞZdD ƚŽ>ŝŵŝƚŝĞƐĞůͲ&ƵĞůĞĚŽŵŵĞƌĐŝĂůDŽƚŽƌsĞŚŝĐůĞ/ĚůŝŶŐŝƐƚŽƌĞĚƵĐĞƉƵďůŝĐ ĞǆƉŽƐƵƌĞ ƚŽ ĚŝĞƐĞů ƉĂƌƚŝĐƵůĂƚĞ ŵĂƚƚĞƌ ĂŶĚ ĐƌŝƚĞƌŝĂ ƉŽůůƵƚĂŶƚƐ ďǇ ůŝŵŝƚŝŶŐ ƚŚĞ ŝĚůŝŶŐ ŽĨ ĚŝĞƐĞůͲĨƵĞůĞĚ ĐŽŵŵĞƌĐŝĂůǀĞŚŝĐůĞƐ͘dŚĞĚƌŝǀĞƌŽĨĂŶǇǀĞŚŝĐůĞƐƵďũĞĐƚƚŽƚŚŝƐdDŝƐƉƌŽŚŝďŝƚĞĚĨƌŽŵŝĚůŝŶŐƚŚĞǀĞŚŝĐůĞ͛Ɛ ƉƌŝŵĂƌǇĚŝĞƐĞůĞŶŐŝŶĞĨŽƌŐƌĞĂƚĞƌƚŚĂŶĨŝǀĞŵŝŶƵƚĞƐĂƚĂŶǇůŽĐĂƚŝŽŶĂŶĚŝƐƉƌŽŚŝďŝƚĞĚĨƌŽŵŝĚůŝŶŐĂĚŝĞƐĞůͲ ĨƵĞůĞĚĂƵǆŝůŝĂƌǇƉŽǁĞƌƐǇƐƚĞŵ;W^ͿĨŽƌŵŽƌĞƚŚĂŶĨŝǀĞŵŝŶƵƚĞƐƚŽƉŽǁĞƌĂŚĞĂƚĞƌ͕ĂŝƌĐŽŶĚŝƚŝŽŶĞƌ͕ŽƌĂŶǇ ĂŶĐŝůůĂƌǇĞƋƵŝƉŵĞŶƚŽŶƚŚĞǀĞŚŝĐůĞŝĨŝƚŚĂƐĂƐůĞĞƉĞƌďĞƌƚŚĂŶĚƚŚĞƚƌƵĐŬŝƐůŽĐĂƚĞĚǁŝƚŚŝŶϭϬϬĨĞĞƚŽĨĂ ƌĞƐƚƌŝĐƚĞĚĂƌĞĂ;ŚŽŵĞƐĂŶĚƐĐŚŽŽůƐͿ͘
Z &ŝŶĂů ZĞŐƵůĂƚŝŽŶ KƌĚĞƌ͕ ZĞƋƵŝƌĞŵĞŶƚƐ ƚŽ ZĞĚƵĐĞ /ĚůŝŶŐ ŵŝƐƐŝŽŶƐ ĨƌŽŵ EĞǁ ĂŶĚ /ŶͲhƐĞ dƌƵĐŬƐ͕
ďĞŐŝŶŶŝŶŐŝŶϮϬϬϴ͕ǁŽƵůĚƌĞƋƵŝƌĞƚŚĂƚŶĞǁϮϬϬϴĂŶĚƐƵďƐĞƋƵĞŶƚŵŽĚĞůͲǇĞĂƌŚĞĂǀǇͲĚƵƚǇĚŝĞƐĞůĞŶŐŝŶĞƐ ďĞĞƋƵŝƉƉĞĚǁŝƚŚĂŶĞŶŐŝŶĞƐŚƵƚĚŽǁŶƐǇƐƚĞŵƚŚĂƚĂƵƚŽŵĂƚŝĐĂůůǇƐŚƵƚƐĚŽǁŶƚŚĞĞŶŐŝŶĞĂĨƚĞƌϯϬϬƐĞĐŽŶĚƐ ŽĨĐŽŶƚŝŶƵŽƵƐŝĚůŝŶŐŽƉĞƌĂƚŝŽŶŽŶĐĞƚŚĞǀĞŚŝĐůĞŝƐƐƚŽƉƉĞĚ͕ƚŚĞ ƚƌĂŶƐŵŝƐƐŝŽŶŝƐƐĞƚƚŽ͞ŶĞƵƚƌĂů͟Žƌ͞ƉĂƌŬ͕͟ ĂŶĚƚŚĞƉĂƌŬŝŶŐďƌĂŬĞŝƐĞŶŐĂŐĞĚ͘
Ăů
ŶǀŝƌŽ^ĐƌĞĞŶ
dŚĞ ĂůŝĨŽƌŶŝĂ KĨĨŝĐĞ ŽĨ
ŶǀŝƌŽŶŵĞŶƚĂů ,ĞĂůƚŚ ,ĂǌĂƌĚ ƐƐĞƐƐŵĞŶƚ ;K
,,Ϳ ŚĂƐ ĚĞǀĞůŽƉĞĚ
Ăů
ŶǀŝƌŽ^ĐƌĞĞŶϯ͘Ϭ͕ǁŚŝĐŚŝƐĂŵĂƉƉŝŶŐ ƚŽŽů ƚŚĂƚŚĞůƉƐŝĚĞŶƚŝĨǇĂůŝĨŽƌŶŝĂĐŽŵŵƵŶŝƚŝĞƐ ƚŚĂƚĂƌĞŵŽƐƚ ĂĨĨĞĐƚĞĚďǇŵĂŶǇƐŽƵƌĐĞƐŽĨƉŽůůƵƚŝŽŶ͕ĂŶĚǁŚĞƌĞƉĞŽƉůĞĂƌĞŽĨƚĞŶĞƐƉĞĐŝĂůůǇǀƵůŶĞƌĂďůĞƚŽƉŽůůƵƚŝŽŶ͛Ɛ ĞĨĨĞĐƚƐ͘Ăů
ŶǀŝƌŽ^ĐƌĞĞŶƵƐĞƐĞŶǀŝƌŽŶŵĞŶƚĂů͕ŚĞĂůƚŚ͕ĂŶĚƐŽĐŝŽĞĐŽŶŽŵŝĐŝŶĨŽƌŵĂƚŝŽŶƚŽƉƌŽĚƵĐĞƐĐŽƌĞƐ ĨŽƌĞǀĞƌǇĐĞŶƐƵƐƚƌĂĐƚŝŶƚŚĞ^ƚĂƚĞ͘dŚĞƐĐŽƌĞƐĂƌĞŵĂƉƉĞĚƐŽƚŚĂƚĚŝĨĨĞƌĞŶƚĐŽŵŵƵŶŝƚŝĞƐĐĂŶďĞĐŽŵƉĂƌĞĚ͘ ŶĂƌĞĂǁŝƚŚĂŚŝŐŚƐĐŽƌĞŝƐŽŶĞƚŚĂƚĞǆƉĞƌŝĞŶĐĞƐĂŵƵĐŚŚŝŐŚĞƌƉŽůůƵƚŝŽŶďƵƌĚĞŶƚŚĂŶĂƌĞĂƐǁŝƚŚůŽǁ ƐĐŽƌĞƐ͘
ĐĐŽƌĚŝŶŐƚŽĂů
ŶǀŝƌŽ^ĐƌĞĞŶ͕ƚŚĞWƌŽũĞĐƚƐŝƚĞŝƐ ůŽĐĂƚĞĚǁŝƚŚŝŶĞŶƐƵƐdƌĂĐƚϲϬϳϭϬϬϭϴϭϯ͕ǁŚŝĐŚŝƐǁŝƚŚŝŶ ƚŚĞϵϱͲϭϬϬƚŚ ƉĞƌĐĞŶƚŝůĞ͘ dŚĞƌĞƐŝĚĞŶƚŝĂůƵƐĞƐƚŽƚŚĞƐŽƵƚŚŽĨƚŚĞWƌŽũĞĐƚƐŝƚĞĂƌĞůŽĐĂƚĞĚǁŝƚŚŝŶĞŶƐƵƐ dƌĂĐƚϲϬϳϭϬϬϭϴϭϬ͕ǁŚŝĐŚŝƐǁŝƚŚŝŶƚŚĞϴϬͲϴϱƚŚƉĞƌĐĞŶƚŝůĞ͘ /ƚƐŚŽƵůĚďĞŶŽƚĞĚƚŚĂƚƚŚĞĂů ŶǀŝƌŽ^ĐƌĞĞŶ
ƐĐŽƌĞƐ ĂƌĞŶŽƚĂŶĞǆƉƌĞƐƐŝŽŶŽĨŚĞĂůƚŚƌŝƐŬ͕ĂŶĚĚŽŶŽƚƉƌŽǀŝĚĞƋƵĂŶƚŝƚĂƚŝǀĞŝŶĨŽƌŵĂƚŝŽŶŽŶŝŶĐƌĞĂƐĞƐŝŶ ĐƵŵƵůĂƚŝǀĞŝŵƉĂĐƚƐĨŽƌƐƉĞĐŝĨŝĐƐŝƚĞƐŽƌƉƌŽũĞĐƚƐ͘&ƵƌƚŚĞƌ͕ĂƐĂĐŽŵƉĂƌĂƚŝǀĞƐĐƌĞĞŶŝŶŐƚŽŽů͕ƚŚĞƌĞƐƵůƚƐĚŽ ŶŽƚƉƌŽǀŝĚĞĂďĂƐŝƐĨŽƌĚĞƚĞƌŵŝŶŝŶŐǁŚĞŶĚŝĨĨĞƌĞŶĐĞƐďĞƚǁĞĞŶƐĐŽƌĞƐĂƌĞƐŝŐŶŝĨŝĐĂŶƚŝŶƌĞůĂƚŝŽŶƚŽƉƵďůŝĐ ŚĞĂůƚŚŽƌƚŚĞĞŶǀŝƌŽŶŵĞŶƚ͘
ZĚǀĂŶĐĞĚůĞĂŶdƌƵĐŬZĞŐƵůĂƚŝŽŶ
Z ĂĚŽƉƚĞĚ ƚŚĞ ĚǀĂŶĐĞĚ ůĞĂŶ dƌƵĐŬ ZĞŐƵůĂƚŝŽŶ ŝŶ :ƵŶĞ ϮϬϮϬ ƌĞƋƵŝƌŝŶŐ ƚƌƵĐŬ ŵĂŶƵĨĂĐƚƵƌĞƌƐ ƚŽ ƚƌĂŶƐŝƚŝŽŶĨƌŽŵĚŝĞƐĞůƚƌƵĐŬƐĂŶĚǀĂŶƐ ƚŽĞůĞĐƚƌŝĐǌĞƌŽͲĞŵŝƐƐŝŽŶƚƌƵĐŬƐďĞŐŝŶŶŝŶŐŝŶϮϬϮϰ͘ǇϮϬϰϱ͕ĞǀĞƌǇ ŶĞǁƚƌƵĐŬƐŽůĚŝŶĂůŝĨŽƌŶŝĂŝƐƌĞƋƵŝƌĞĚƚŽďĞǌĞƌŽͲĞŵŝƐƐŝŽŶ͘dŚŝƐƌƵůĞĚŝƌĞĐƚůǇĂĚĚƌĞƐƐĞƐĚŝƐƉƌŽƉŽƌƚŝŽŶĂƚĞ 382
ŝƚǇŽĨKŶƚĂƌŝŽ ŽŶsŝĞǁWƌŽũĞĐƚ
,ĞĂůƚŚZŝƐŬƐƐĞƐƐŵĞŶƚ
ƵŐƵƐƚϮϬϮϭ
WĂŐĞͮϭϭ
ƌŝƐŬƐĂŶĚŚĞĂůƚŚĂŶĚƉŽůůƵƚŝŽŶďƵƌĚĞŶƐĂŶĚƉƵƚƐĂůŝĨŽƌŶŝĂŽŶƚŚĞƉĂƚŚĨŽƌĂŶĂůůǌĞƌŽͲĞŵŝƐƐŝŽŶƐŚŽƌƚͲŚĂƵů ĚƌĂǇĂŐĞ ĨůĞĞƚŝŶƉŽƌƚƐĂŶĚƌĂŝůǇĂƌĚƐďǇϮϬϯϱ͕ĂŶĚǌĞƌŽͲĞŵŝƐƐŝŽŶ͞ůĂƐƚͲŵŝůĞ͟ĚĞůŝǀĞƌǇ ƚƌƵĐŬƐĂŶĚǀĂŶƐďǇ ϮϬϰϬ͘ dŚĞ ĚǀĂŶĐĞĚ ůĞĂŶ dƌƵĐŬ ZĞŐƵůĂƚŝŽŶ ĂĐĐĞůĞƌĂƚĞƐ ƚŚĞ ƚƌĂŶƐŝƚŝŽŶ ŽĨ ǌĞƌŽͲĞŵŝƐƐŝŽŶ ŵĞĚŝƵŵͲĂŶĚ ŚĞĂǀǇͲĚƵƚǇǀĞŚŝĐůĞƐĨƌŽŵůĂƐƐϮďƚŽůĂƐƐϴ͘dŚĞƌĞŐƵůĂƚŝŽŶŚĂƐƚǁŽĐŽŵƉŽŶĞŶƚƐŝŶĐůƵĚŝŶŐĂŵĂŶƵĨĂĐƚƵƌĞƌ ƐĂůĞƐƌĞƋƵŝƌĞŵĞŶƚ͕ĂŶĚĂƌĞƉŽƌƚŝŶŐƌĞƋƵŝƌĞŵĞŶƚ͗
x ĞƌŽͲ
ŵŝƐƐŝŽŶ dƌƵĐŬ ^ĂůĞƐ͗DĂŶƵĨĂĐƚƵƌĞƌƐ ǁŚŽ ĐĞƌƚŝĨǇ ůĂƐƐ Ϯď ƚŚƌŽƵŐŚ ϴ ĐŚĂƐƐŝƐ Žƌ ĐŽŵƉůĞƚĞ ǀĞŚŝĐůĞƐ ǁŝƚŚ ĐŽŵďƵƐƚŝŽŶ ĞŶŐŝŶĞƐ ĂƌĞ ƌĞƋƵŝƌĞĚ ƚŽ ƐĞůů ǌĞƌŽͲĞŵŝƐƐŝŽŶ ƚƌƵĐŬƐ ĂƐ ĂŶ ŝŶĐƌĞĂƐŝŶŐ ƉĞƌĐĞŶƚĂŐĞ ŽĨ ƚŚĞŝƌ ĂŶŶƵĂů ĂůŝĨŽƌŶŝĂ ƐĂůĞƐ ĨƌŽŵ ϮϬϮϰ ƚŽ ϮϬϯϱ͘ Ǉ ϮϬϯϱ͕ ǌĞƌŽͲĞŵŝƐƐŝŽŶ ƚƌƵĐŬͬĐŚĂƐƐŝƐƐĂůĞƐŶĞĞĚƚŽďĞϱϱƉĞƌĐĞŶƚŽĨůĂƐƐϮďʹ ϯƚƌƵĐŬƐĂůĞƐ͕ϳϱƉĞƌĐĞŶƚŽĨůĂƐƐϰʹ ϴ ƐƚƌĂŝŐŚƚƚƌƵĐŬƐĂůĞƐ͕ĂŶĚϰϬƉĞƌĐĞŶƚŽĨƚƌƵĐŬƚƌĂĐƚŽƌƐĂůĞƐ͘ x ŽŵƉĂŶǇĂŶĚ&ůĞĞƚZĞƉŽƌƚŝŶŐ͗>ĂƌŐĞĞŵƉůŽǇĞƌƐŝŶĐůƵĚŝŶŐƌĞƚĂŝůĞƌƐ͕ŵĂŶƵĨĂĐƚƵƌĞƌƐ͕ďƌŽŬĞƌƐĂŶĚ ŽƚŚĞƌƐ ǁŽƵůĚ ďĞ ƌĞƋƵŝƌĞĚ ƚŽ ƌĞƉŽƌƚ ŝŶĨŽƌŵĂƚŝŽŶ ĂďŽƵƚ ƐŚŝƉŵĞŶƚƐ ĂŶĚ ƐŚƵƚƚůĞ ƐĞƌǀŝĐĞƐ͘ &ůĞĞƚ ŽǁŶĞƌƐ͕ǁŝƚŚϱϬŽƌŵŽƌĞƚƌƵĐŬƐ͕ǁŽƵůĚďĞƌĞƋƵŝƌĞĚƚŽƌĞƉŽƌƚĂďŽƵƚƚŚĞŝƌĞǆŝƐƚŝŶŐĨůĞĞƚŽƉĞƌĂƚŝŽŶƐ͘ dŚŝƐŝŶĨŽƌŵĂƚŝŽŶǁŽƵůĚ ŚĞůƉŝĚĞŶƚŝĨǇ ĨƵƚƵƌĞ ƐƚƌĂƚĞŐŝĞƐ ƚŽĞŶƐƵƌĞ ƚŚĂƚ ĨůĞĞƚƐ ƉƵƌĐŚĂƐĞĂǀĂŝůĂďůĞ ǌĞƌŽͲĞŵŝƐƐŝŽŶƚƌƵĐŬƐĂŶĚƉůĂĐĞƚŚĞŵŝŶƐĞƌǀŝĐĞǁŚĞƌĞƐƵŝƚĂďůĞƚŽŵĞĞƚƚŚĞŝƌŶĞĞĚƐ͘

3.3 REGIONAL
^ŽƵƚŚŽĂƐƚŝƌYƵĂůŝƚǇDĂŶĂŐĞŵĞŶƚŝƐƚƌŝĐƚ
dŚĞƉƌŽǀŝĚĞƐƚŚĞ^YD ǁŝƚŚƚŚĞĂƵƚŚŽƌŝƚǇƚŽŵĂŶĂŐĞƚƌĂŶƐƉŽƌƚĂƚŝŽŶĂĐƚŝǀŝƚŝĞƐĂƚŝŶĚŝƌĞĐƚƐŽƵƌĐĞƐ ĂŶĚƌĞŐƵůĂƚĞƐƚĂƚŝŽŶĂƌǇƐŽƵƌĐĞĞŵŝƐƐŝŽŶƐ͘/ŶĚŝƌĞĐƚƐŽƵƌĐĞƐŽĨƉŽůůƵƚŝŽŶĂƌĞŐĞŶĞƌĂƚĞĚǁŚĞŶŵŝŶŽƌƐŽƵƌĐĞƐ ĐŽůůĞĐƚŝǀĞůǇĞŵŝƚĂƐƵďƐƚĂŶƚŝĂůĂŵŽƵŶƚŽĨƉŽůůƵƚŝŽŶ͘ŶĞǆĂŵƉůĞŽĨƚŚŝƐǁŽƵůĚďĞƚŚĞŵŽƚŽƌǀĞŚŝĐůĞƐĂƚĂŶ ŝŶƚĞƌƐĞĐƚŝŽŶ͕ĂŵĂůů͕ĂŶĚŽŶŚŝŐŚǁĂǇƐ͘ƐĂ^ƚĂƚĞĂŐĞŶĐǇ͕ZƌĞŐƵůĂƚĞƐŵŽƚŽƌǀĞŚŝĐůĞƐĂŶĚĨƵĞůƐĨŽƌƚŚĞŝƌ ĞŵŝƐƐŝŽŶƐ͘
ŝƌdŽǆŝĐƐŽŶƚƌŽůWůĂŶ
dŚĞŝƌdŽǆŝĐƐŽŶƚƌŽůWůĂŶ ;DĂƌĐŚϮϬϬϬ͕ ƌĞǀŝƐĞĚDĂƌĐŚϮϲ͕ϮϬϬϰͿŝƐĂƉůĂŶŶŝŶŐĚŽĐƵŵĞŶƚĚĞƐŝŐŶĞĚ ƚŽ ĞǆĂŵŝŶĞƚŚĞŽǀĞƌĂůůĚŝƌĞĐƚŝŽŶŽĨƚŚĞ^YD͛ƐĂŝƌƚŽǆŝĐƐĐŽŶƚƌŽůƉƌŽŐƌĂŵ͘/ƚŝŶĐůƵĚĞƐĚĞǀĞůŽƉŵĞŶƚĂŶĚ ŝŵƉůĞŵĞŶƚĂƚŝŽŶŽĨƐƚƌĂƚĞŐŝĐŝŶŝƚŝĂƚŝǀĞƐƚŽŵŽŶŝƚŽƌĂŶĚĐŽŶƚƌŽůĂŝƌƚŽǆŝĐƐĞŵŝƐƐŝŽŶƐ͘ŽŶƚƌŽůƐƚƌĂƚĞŐŝĞƐƚŚĂƚ ĂƌĞĚĞĞŵĞĚǀŝĂďůĞĂŶĚĂƌĞ ǁŝƚŚŝŶƚŚĞ^YD͛ƐũƵƌŝƐĚŝĐƚŝŽŶǁŝůůĞĂĐŚďĞďƌŽƵŐŚƚƚŽƚŚĞ^YDŽĂƌĚ ĨŽƌĨƵƌƚŚĞƌĐŽŶƐŝĚĞƌĂƚŝŽŶƚŚƌŽƵŐŚƚŚĞŶŽƌŵĂůƉƵďůŝĐƌĞǀŝĞǁƉƌŽĐĞƐƐ͘^ƚƌĂƚĞŐŝĞƐƚŚĂƚĂƌĞƚŽďĞŝŵƉůĞŵĞŶƚĞĚ ďǇŽƚŚĞƌĂŐĞŶĐŝĞƐǁŝůůďĞĚĞǀĞůŽƉĞĚŝŶĂĐŽŽƉĞƌĂƚŝǀĞĞĨĨŽƌƚ͕ĂŶĚƚŚĞƉƌŽŐƌĞƐƐǁŝůůďĞƌĞƉŽƌƚĞĚďĂĐŬƚŽƚŚĞ ŽĂƌĚƉĞƌŝŽĚŝĐĂůůǇ͘
DƵůƚŝƉůĞŝƌdŽǆŝĐƐ
ǆƉŽƐƵƌĞ^ƚƵĚǇ
dŚĞ^YD ĐŽŶĚƵĐƚĞĚĂŶŝŶͲĚĞƉƚŚĂŶĂůǇƐŝƐŽĨƚŚĞƚŽǆŝĐĂŝƌĐŽŶƚĂŵŝŶĂŶƚƐĂŶĚƚŚĞŝƌƌĞƐƵůƚŝŶŐŚĞĂůƚŚƌŝƐŬƐ ĨŽƌĂůůŽĨ^ŽƵƚŚĞƌŶĂůŝĨŽƌŶŝĂ͘dŚĞ DƵůƚŝƉůĞŝƌdŽǆŝĐƐ ǆƉŽƐƵƌĞ^ƚƵĚǇŝŶƚŚĞ^ ;Dd
^/sͿƐŚŽǁƐ ƚŚĂƚ
ĐĂŶĐĞƌƌŝƐŬŚĂƐĚĞĐƌĞĂƐĞĚŵŽƌĞƚŚĂŶϱϬƉĞƌĐĞŶƚďĞƚǁĞĞŶDd ^///;ϮϬϬϴͿĂŶĚDd
^/s;ϮϬϭϱͿ͘
Dd
^/sŝƐƚŚĞŵŽƐƚĐŽŵƉƌĞŚĞŶƐŝǀĞĚĂƚĂƐĞƚĚŽĐƵŵĞŶƚŝŶŐƚŚĞĂŵďŝĞŶƚĂŝƌƚŽǆŝĐůĞǀĞůƐĂŶĚŚĞĂůƚŚƌŝƐŬƐ ĂƐƐŽĐŝĂƚĞĚǁŝƚŚƚŚĞ^ ĞŵŝƐƐŝŽŶƐ͘dŚĞƌĞĨŽƌĞ͕Dd
^/sƐƚƵĚǇƌĞƉƌĞƐĞŶƚƐƚŚĞďĂƐĞůŝŶĞŚĞĂůƚŚƌŝƐŬĨŽƌĂ
ĐƵŵƵůĂƚŝǀĞĂŶĂůǇƐŝƐ͘Dd
^/sĞƐƚŝŵĂƚĞƐƚŚĞĂǀĞƌĂŐĞĞǆĐĞƐƐĐĂŶĐĞƌƌŝƐŬůĞǀĞůĨƌŽŵĞǆƉŽƐƵƌĞƚŽdƐŝƐůĞƐƐ ƚŚĂŶϰϬϬŝŶŽŶĞŵŝůůŝŽŶďĂƐŝŶͲǁŝĚĞ͘dŚĞƐĞŵŽĚĞůĞƐƚŝŵĂƚĞƐǁĞƌĞďĂƐĞĚŽŶŵŽŶŝƚŽƌŝŶŐĚĂƚĂĐŽůůĞĐƚĞĚĂƚ 383
ŝƚǇŽĨKŶƚĂƌŝŽ ŽŶsŝĞǁWƌŽũĞĐƚ
,ĞĂůƚŚZŝƐŬƐƐĞƐƐŵĞŶƚ
ƵŐƵƐƚϮϬϮϭ
WĂŐĞͮϭϮ
ƚĞŶ ĨŝǆĞĚƐŝƚĞƐǁŝƚŚŝŶ ƚŚĞ^͘EŽŶĞŽĨ ƚŚĞ ĨŝǆĞĚŵŽŶŝƚŽƌŝŶŐƐŝƚĞƐĂƌĞŶĞĂƌ ƚŚĞWƌŽũĞĐƚ ƐŝƚĞ͘,ŽǁĞǀĞƌ͕ Dd
^/sŚĂƐĞǆƚƌĂƉŽůĂƚĞĚƚŚĞĞǆĐĞƐƐĐĂŶĐĞƌƌŝƐŬůĞǀĞůƐƚŚƌŽƵŐŚŽƵƚƚŚĞ^ ďǇŵŽĚĞůŝŶŐƚŚĞƐƉĞĐŝĨŝĐ ŐƌŝĚƐ͘Dd
^/sŵŽĚĞůŝŶŐƉƌĞĚŝĐƚĞĚĂŶĞǆĐĞƐƐĐĂŶĐĞƌƌŝƐŬŽĨϳϳϮ ŝŶŽŶĞŵŝůůŝŽŶĨŽƌƚŚĞWƌŽũĞĐƚ ĂƌĞĂ͘ϰ WD ŝƐŝŶĐůƵĚĞĚŝŶƚŚŝƐĐĂŶĐĞƌƌŝƐŬĂůŽŶŐǁŝƚŚĂůůŽƚŚĞƌdƐŽƵƌĐĞƐ͘WDĂĐĐŽƵŶƚƐĨŽƌϲϴƉĞƌĐĞŶƚŽĨƚŚĞƚŽƚĂů ƌŝƐŬ ƐŚŽǁŶ ŝŶ Dd
^ /s͘ dŚĞ ^YD ŝƐ ĐƵƌƌĞŶƚůǇ ƉƌĞƉĂƌŝŶŐ Dd
^ s͕ ǁŚŝĐŚ ǁŝůů ďĞ ƚŚĞ ůĂƚĞƐƚ
ĐŽŵƉƌĞŚĞŶƐŝǀĞ ƐƚƵĚǇ ŽĨ ůĞǀĞůƐ ŽĨ ƚŽǆŝĐ Ăŝƌ ƉŽůůƵƚĂŶƚƐ ƚŚĞ ƌĞŐŝŽŶ͕ Dd ^ s ǁŝůů ŝŶĐůƵĚĞ ĂŶ ĂĚǀĂŶĐĞĚ
ŵŽŶŝƚŽƌŝŶŐĐŽŵƉŽŶĞŶƚǁŝƚŚĂĨŽĐƵƐŽŶƌĞĨŝŶĞƌǇĞŵŝƐƐŝŽŶƐ͘ ƐƐĞŵďůǇŝůůϲϭϳʹ ŽŵŵƵŶŝƚǇŝƌWƌŽƚĞĐƚŝŽŶWƌŽŐƌĂŵ
WĂƐƐĞĚ ďǇ ƚŚĞ ĂůŝĨŽƌŶŝĂ ůĞŐŝƐůĂƚƵƌĞ ŝŶ ϮϬϭϳ͕ ϲϭϳ ŝƐ Ă ůĂǁ ƚŚĂƚ ĨŽĐƵƐĞƐ ŽŶ ƌĞĚƵĐŝŶŐ Ăŝƌ ƉŽůůƵƚŝŽŶ ŝŶ ĞŶǀŝƌŽŶŵĞŶƚĂů ũƵƐƚŝĐĞ ĐŽŵŵƵŶŝƚŝĞƐ ƚŚƌŽƵŐŚŽƵƚ ƚŚĞ ^ƚĂƚĞ͘ ϲϭϳƌĞƋƵŝƌĞƐ Ă ƐƚĂƚĞǁŝĚĞ ƐƚƌĂƚĞŐǇ ǁŝƚŚ ĨŽĐƵƐĞĚ ĂĐƚŝŽŶƐ ĨŽƌ ĐŽŵŵƵŶŝƚŝĞƐ ŚĞĂǀŝůǇ ŝŵƉĂĐƚĞĚ ďǇ Ăŝƌ ƉŽůůƵƚŝŽŶ͘ dŚĞƐĞ ĂĐƚŝŽŶƐ ŝŶĐůƵĚĞ ĚĞǀĞůŽƉŝŶŐ ĐŽŵŵƵŶŝƚǇĂŝƌŵŽŶŝƚŽƌŝŶŐƉůĂŶƐ;DWƐͿĂŶĚͬŽƌĐŽŵŵƵŶŝƚǇĞŵŝƐƐŝŽŶƐƌĞĚƵĐƚŝŽŶƉůĂŶƐ; ZWƐͿƚŽƌĞĚƵĐĞ
ĞŵŝƐƐŝŽŶƐŽĨƚŽǆŝĐĂŝƌĐŽŶƚĂŵŝŶĂŶƚƐ;dƐͿĂŶĚĐƌŝƚĞƌŝĂƉŽůůƵƚĂŶƚƐ͘dŚĞ^ĂŶĞƌŶĂƌĚŝŶŽͬDƵƐĐŽǇĂƌĞĂǁĂƐ ĂŵŽŶŐƚŚƌĞĞĐŽŵŵƵŶŝƚŝĞƐĐŚŽƐĞŶĨŽƌƚŚĞƉƌŽŐƌĂŵ͘dŚĞƉƌŽũĞĐƚƐŝƚĞŝƐĂƉƉƌŽǆŝŵĂƚĞůǇϭϳ ŵŝůĞƐǁĞƐƚŽĨƚŚĞ
ZW͛ƐďŽƵŶĚĂƌǇĂŶĚĂƉƉƌŽǆŝŵĂƚĞůǇϭϲ͘ϱ ŵŝůĞƐǁĞƐƚŽĨƚŚĞĞŵŝƐƐŝŽŶƐƐƚƵĚǇĂƌĞĂďŽƵŶĚĂƌǇ͘ dŚĞ^ĂŶĞƌŶĂƌĚŝŶŽͬDƵƐĐŽǇ
ZWŽƵƚůŝŶĞƐƚŚĞĂĐƚŝŽŶƐĂŶĚĐŽŵŵŝƚŵĞŶƚƐƚŽƌĞĚƵĐĞĂŝƌƉŽůůƵƚŝŽŶĨŽƌƚŚĞ ^ĂŶĞƌŶĂƌĚŝŶŽͬDƵƐĐŽǇĐŽŵŵƵŶŝƚǇ͘/ŵƉůĞŵĞŶƚĂƚŝŽŶŽĨƚŚĞ ZWŝƐĞƐƚŝŵĂƚĞĚƚŽƌĞĚƵĐĞEKy ĞŵŝƐƐŝŽŶƐ
ďǇϰϬƚŽϱϬƚŽŶƐƉĞƌǇĞĂƌĂŶĚWDĞŵŝƐƐŝŽŶƐďǇϬ͘ϱƚŽϬ͘ϲ ƚŽŶƐƉĞƌǇĞĂƌ͘dŚĞ ZW͛ƐŐŽĂůŝƐƚŽĐƵƚEKy ĂŶĚ
WDĞŵŝƐƐŝŽŶƐϭϬƉĞƌĐĞŶƚďǇϮϬϮϰĂŶĚϮϭƉĞƌĐĞŶƚĂŶĚϭϱƉĞƌĐĞŶƚ͕ƌĞƐƉĞĐƚŝǀĞůǇ͕ďǇϮϬϮϵ͘
ZWŝŵƉůĞŵĞŶƚĂƚŝŽŶŝƐƚŽƚĂŬĞƉůĂĐĞŽǀĞƌĂƉƉƌŽǆŝŵĂƚĞůǇĨŝǀĞǇĞĂƌƐ͘KŶĐĞĂĚŽƉƚĞĚ͕ƚŚĞ ZWǁŽƵůĚĂůůŽǁ
ƚŚĞ^YDƚŽƉƌŽǀŝĚĞŝŶĐĞŶƚŝǀĞĨƵŶĚƐƚŽĂĐĐĞůĞƌĂƚĞƚŚĞƌĞƉůĂĐĞŵĞŶƚŽĨŽůĚƚƌƵĐŬƐǁŝƚŚƚĞĐŚŶŽůŽŐǇƚŚĂƚ ŝƐ ĐůĞĂŶĞƌ ƚŚĂŶ ƌĞƋƵŝƌĞĚ͕ ĨŽĐƵƐ ĞŶĨŽƌĐĞŵĞŶƚ ƚŽ ĞŶƐƵƌĞ ƌƵůĞ ĐŽŵƉůŝĂŶĐĞ͕ ĚĞǀĞůŽƉ ŶĞǁ ƌƵůĞƐ ƚŽ ƌĞĚƵĐĞ ĞŵŝƐƐŝŽŶƐ͕ǁŽƌŬǁŝƚŚůĂŶĚƵƐĞĂŐĞŶĐŝĞƐ ƚŽĚĞǀĞůŽƉĞŵŝƐƐŝŽŶƐ ƌĞĚƵĐŝŶŐƉŽůŝĐŝĞƐ͕ĂŶĚŝŵƉůĞŵĞŶƚ ƐĐŚŽŽů ƉƌŽŐƌĂŵƐƚŽƌĞĚƵĐĞŝŶĚŽŽƌůĞǀĞůƐŽĨƉŽůůƵƚŝŽŶ͘dŚĞ
ZWĚŽĞƐŶŽƚŝŶĐůƵĚĞƐƉƌŽũĞĐƚͲƐƉĞĐŝĨŝĐƌĞƋƵŝƌĞŵĞŶƚƐ
ďƵƚǁŽƵůĚĂůůŽǁƚŚĞ^YDĂŶĚZƚŽŝŵƉůĞŵĞŶƚĞŵŝƐƐŝŽŶƐƌĞĚƵĐŝŶŐŵĞĂƐƵƌĞƐ͘dŚĞƌĞĨŽƌĞ͕ŶŽĨƵƌƚŚĞƌ ĂŶĂůǇƐŝƐŝƐǁĂƌƌĂŶƚĞĚ͘
ϰ ^ŽƵƚŚŽĂƐƚŝƌYƵĂůŝƚǇDĂŶĂŐĞŵĞŶƚŝƐƚƌŝĐƚ͕Dd
^/s
ƐƚŝŵĂƚĞĚZŝƐŬ͕ŚƚƚƉƐ͗ͬͬƐĐĂƋŵĚͲ
ŽŶůŝŶĞ͘ŵĂƉƐ͘ĂƌĐŐŝƐ͘ĐŽŵͬĂƉƉƐͬǁĞďĂƉƉǀŝĞǁĞƌͬŝŶĚĞǆ͘Śƚŵů͍ŝĚсϰϳϬĐϯϬďĐϲĚĂĨϰĞĨϲĂϰϯĨϬϬϴϮϵϳϯĨĨϰϱĨ 384
ŝƚǇŽĨKŶƚĂƌŝŽ ŽŶsŝĞǁWƌŽũĞĐƚ
,ĞĂůƚŚZŝƐŬƐƐĞƐƐŵĞŶƚ
ƵŐƵƐƚϮϬϮϭ
WĂŐĞͮϭϯ
4 SIGNIFICANCE CRITERIA AND METHODOLOGY

4.1 Health Risk Analysis Thresholds
WƌŽũĞĐƚ ŚĞĂůƚŚ ƌŝƐŬƐĂƌĞ ĚĞƚĞƌŵŝŶĞĚ ďǇĞǆĂŵŝŶŝŶŐ ƚŚĞ ƚǇƉĞƐĂŶĚůĞǀĞůƐŽĨĂŝƌ ƚŽǆŝĐƐŐĞŶĞƌĂƚĞĚĂŶĚ ƚŚĞ ĂƐƐŽĐŝĂƚĞĚ ŝŵƉĂĐƚƐ ŽŶ ĨĂĐƚŽƌƐ ƚŚĂƚ ĂĨĨĞĐƚ Ăŝƌ ƋƵĂůŝƚǇ͘ tŚŝůĞ ƚŚĞ ĨŝŶĂů ĚĞƚĞƌŵŝŶĂƚŝŽŶ ŽĨ ƐŝŐŶŝĨŝĐĂŶĐĞ ƚŚƌĞƐŚŽůĚƐŝƐǁŝƚŚŝŶƚŚĞƉƵƌǀŝĞǁŽĨƚŚĞůĞĂĚĂŐĞŶĐǇƉƵƌƐƵĂŶƚƚŽƚŚĞ^ƚĂƚĞ Y'ƵŝĚĞůŝŶĞƐ͕ƚŚĞ^YD
ƌĞĐŽŵŵĞŶĚƐƚŚĂƚƚŚĞĨŽůůŽǁŝŶŐĂŝƌƉŽůůƵƚŝŽŶƚŚƌĞƐŚŽůĚƐďĞƵƐĞĚďǇůĞĂĚĂŐĞŶĐŝĞƐŝŶĚĞƚĞƌŵŝŶŝŶŐǁŚĞƚŚĞƌ ƚŚĞŝŵƉĂĐƚƐĨƌŽŵƚŚĞWƌŽũĞĐƚĂƌĞ ƐŝŐŶŝĨŝĐĂŶƚ͘/ĨƚŚĞůĞĂĚĂŐĞŶĐǇĨŝŶĚƐƚŚĂƚƚŚĞWƌŽũĞĐƚŚĂƐƚŚĞƉŽƚĞŶƚŝĂůƚŽ ĞǆĐĞĞĚƚŚĞĂŝƌƉŽůůƵƚŝŽŶƚŚƌĞƐŚŽůĚƐ͕ƚŚĞWƌŽũĞĐƚ ƐŚŽƵůĚďĞĐŽŶƐŝĚĞƌĞĚƐŝŐŶŝĨŝĐĂŶƚ͘dŚĞƚŚƌĞƐŚŽůĚƐ ĨŽƌĂŝƌ ƚŽǆŝĐĞŵŝƐƐŝŽŶƐĂƌĞĂƐĨŽůůŽǁƐ͗
x ĂŶĐĞƌ ZŝƐŬ͗
ŵŝƚ ĐŽŶƚĂŵŝŶĂŶƚƐ ƚŚĂƚĞǆĐĞĞĚ ƚŚĞŵĂǆŝŵƵŵ ŝŶĚŝǀŝĚƵĂů ĐĂŶĐĞƌ ƌŝƐŬŽĨ ϭϬ ŝŶ ŽŶĞ ŵŝůůŝŽŶ͘
x EŽŶͲĂŶĐĞƌ ZŝƐŬ͗
ŵŝƚ ĐŽŶƚĂŵŝŶĂŶƚƐ ƚŚĂƚ ĞǆĐĞĞĚ ƚŚĞ ŵĂǆŝŵƵŵ ŚĂǌĂƌĚ ƋƵŽƚŝĞŶƚ ŽĨ ϭ ŝŶ ŽŶĞ ŵŝůůŝŽŶ͘
ĂŶĐĞƌƌŝƐŬŝƐĞǆƉƌĞƐƐĞĚŝŶƚĞƌŵƐŽĨĞǆƉĞĐƚĞĚŝŶĐƌĞŵĞŶƚĂůŝŶĐŝĚĞŶĐĞƉĞƌŵŝůůŝŽŶƉŽƉƵůĂƚŝŽŶ͘dŚĞ^YD ŚĂƐ ĞƐƚĂďůŝƐŚĞĚ ĂŶ ŝŶĐŝĚĞŶĐĞ ƌĂƚĞ ŽĨ ϭϬ ƉĞƌƐŽŶƐ ƉĞƌ ŵŝůůŝŽŶ ĂƐƚŚĞŵĂǆŝŵƵŵ ĂĐĐĞƉƚĂďůĞ ŝŶĐƌĞŵĞŶƚĂů ĐĂŶĐĞƌƌŝƐŬĚƵĞƚŽWDĞǆƉŽƐƵƌĞ͘dŚŝƐƚŚƌĞƐŚŽůĚƐĞƌǀĞƐƚŽĚĞƚĞƌŵŝŶĞǁŚĞƚŚĞƌŽƌŶŽƚĂŐŝǀĞŶƉƌŽũĞĐƚŚĂƐ ĂƉŽƚĞŶƚŝĂůůǇƐŝŐŶŝĨŝĐĂŶƚĚĞǀĞůŽƉŵĞŶƚͲƐƉĞĐŝĨŝĐĂŶĚĐƵŵƵůĂƚŝǀĞŝŵƉĂĐƚ͘dŚĞϭϬŝŶŽŶĞŵŝůůŝŽŶƐƚĂŶĚĂƌĚŝƐĂ ŚĞĂůƚŚͲƉƌŽƚĞĐƚŝǀĞƐŝŐŶŝĨŝĐĂŶĐĞƚŚƌĞƐŚŽůĚ͘ƌŝƐŬůĞǀĞůŽĨϭϬŝŶŽŶĞŵŝůůŝŽŶŝŵƉůŝĞƐĂůŝŬĞůŝŚŽŽĚƚŚĂƚƵƉƚŽϭϬ ƉĞƌƐŽŶƐ͕ ŽƵƚŽĨŽŶĞŵŝůůŝŽŶĞƋƵĂůůǇĞǆƉŽƐĞĚƉĞŽƉůĞǁŽƵůĚĐŽŶƚƌĂĐƚĐĂŶĐĞƌŝĨĞǆƉŽƐĞĚĐŽŶƚŝŶƵŽƵƐůǇ ;Ϯϰ ŚŽƵƌƐƉĞƌĚĂǇͿƚŽƚŚĞůĞǀĞůƐŽĨƚŽǆŝĐĂŝƌĐŽŶƚĂŵŝŶĂŶƚƐŽǀĞƌĂƐƉĞĐŝĨŝĞĚĚƵƌĂƚŝŽŶŽĨƚŝŵĞ͘dŚŝƐƌŝƐŬǁŽƵůĚďĞ ĂŶĞǆĐĞƐƐĐĂŶĐĞƌƚŚĂƚŝƐŝŶĂĚĚŝƚŝŽŶƚŽĂŶǇĐĂŶĐĞƌƌŝƐŬďŽƌŶĞďǇĂƉĞƌƐŽŶŶŽƚĞǆƉŽƐĞĚƚŽƚŚĞƐĞĂŝƌƚŽǆŝĐƐ͘ dŽƉƵƚƚŚŝƐƌŝƐŬŝŶ ƉĞƌƐƉĞĐƚŝǀĞ͕ƚŚĞƌŝƐŬŽĨĚǇŝŶŐĨƌŽŵĂĐĐŝĚĞŶƚĂůĚƌŽǁŶŝŶŐŝƐϭ͕ϬϬϬŝŶĂŵŝůůŝŽŶǁŚŝĐŚŝƐϭϬϬ ƚŝŵĞƐŵŽƌĞƚŚĂŶƚŚĞ^YD͛ƐƚŚƌĞƐŚŽůĚŽĨϭϬŝŶŽŶĞŵŝůůŝŽŶ͘ dŚĞ^YD ŚĂƐĂůƐŽĞƐƚĂďůŝƐŚĞĚ ŶŽŶͲĐĂƌĐŝŶŽŐĞŶŝĐ ƌŝƐŬ ƉĂƌĂŵĞƚĞƌƐ ĨŽƌ ƵƐĞŝŶ,ZƐ͘EŽŶĐĂƌĐŝŶŽŐĞŶŝĐ ƌŝƐŬƐ ĂƌĞ ƋƵĂŶƚŝĨŝĞĚ ďǇ ĐĂůĐƵůĂƚŝŶŐ Ă ΗŚĂǌĂƌĚ ŝŶĚĞǆ͕Η ;,/Ϳ ĞǆƉƌĞƐƐĞĚ ĂƐ ƚŚĞ ƌĂƚŝŽ ďĞƚǁĞĞŶ ƚŚĞ ĂŵďŝĞŶƚ ƉŽůůƵƚĂŶƚĐŽŶĐĞŶƚƌĂƚŝŽŶĂŶĚŝƚƐƚŽǆŝĐŝƚǇŽƌZĞĨĞƌĞŶĐĞ
ǆƉŽƐƵƌĞ>ĞǀĞů;Z
>Ϳ͘ŶZ
> ŝƐĂĐŽŶĐĞŶƚƌĂƚŝŽŶĂƚŽƌ
ďĞůŽǁǁŚŝĐŚŚĞĂůƚŚĞĨĨĞĐƚƐĂƌĞŶŽƚůŝŬĞůǇƚŽŽĐĐƵƌ͘ŚĂǌĂƌĚŝŶĚĞǆůĞƐƐƚŚĂŶϭ͘Ϭ ŵĞĂŶƐƚŚĂƚĂĚǀĞƌƐĞŚĞĂůƚŚ ĞĨĨĞĐƚƐĂƌĞŶŽƚĞǆƉĞĐƚĞĚ͘tŝƚŚŝŶƚŚŝƐĂŶĂůǇƐŝƐ͕ŶŽŶͲĐĂƌĐŝŶŽŐĞŶŝĐĞǆƉŽƐƵƌĞƐůĞƐƐƚŚĂŶϭ͘ϬĂƌĞĐŽŶƐŝĚĞƌĞĚ ůĞƐƐƚŚĂŶƐŝŐŶŝĨŝĐĂŶƚ͘

4.2 Methodology
dŚŝƐ ,Z ĞǀĂůƵĂƚĞƐ ƉŽƚĞŶƚŝĂů ŚĞĂůƚŚ ƌŝƐŬƐ ĂƐƐŽĐŝĂƚĞĚ ǁŝƚŚ ƚŚĞ ĞŵŝƐƐŝŽŶ ŽĨ ĚŝĞƐĞů ƉĂƌƚŝĐƵůĂƚĞ ŵĂƚƚĞƌ ƌĞƐƵůƚŝŶŐ ĨƌŽŵ ƚŚĞ ŝŵƉůĞŵĞŶƚĂƚŝŽŶ ŽĨ ƚŚĞ ƉƌŽƉŽƐĞĚ WƌŽũĞĐƚ͘ ŽŶƐƚƌƵĐƚŝŽŶ ĞƋƵŝƉŵĞŶƚ ĂŶĚ ĂƐƐŽĐŝĂƚĞĚ ŚĞĂǀǇͲĚƵƚǇƚƌƵĐŬƚƌĂĨĨŝĐŐĞŶĞƌĂƚĞĚŝĞƐĞůĞǆŚĂƵƐƚ͕ǁŚŝĐŚŝƐĂŬŶŽǁŶd͘ŝĞƐĞůĞǆŚĂƵƐƚĨƌŽŵĐŽŶƐƚƌƵĐƚŝŽŶ ĞƋƵŝƉŵĞŶƚŽƉĞƌĂƚŝŶŐĂƚƚŚĞƐŝƚĞƉŽƐĞƐĂŚĞĂůƚŚƌŝƐŬƚŽŶĞĂƌďǇƐĞŶƐŝƚŝǀĞƌĞĐĞƉƚŽƌƐ͘KƉĞƌĂƚŝŽŶĂůĂĐƚŝǀŝƚŝĞƐ ǁŽƵůĚĂůƐŽŝŶĐůƵĚĞƚŚĞƵƐĞŽĨŚĞĂǀǇͲĚƵƚǇĚŝĞƐĞůƚƌƵĐŬƐ͘ ŽŶƐƚƌƵĐƚŝŽŶ^ŽƵƌĐĞƐ
ŽŶƐƚƌƵĐƚŝŽŶ ǁŽƵůĚ ŐĞŶĞƌĂƚĞ WD ĞŵŝƐƐŝŽŶƐ ĨƌŽŵ ƚŚĞ ƵƐĞ ŽĨ ŽĨĨͲƌŽĂĚ ĚŝĞƐĞů ĞƋƵŝƉŵĞŶƚ ƌĞƋƵŝƌĞĚ ĨŽƌ ĚĞŵŽůŝƚŝŽŶ͕ŐƌĂĚŝŶŐĂŶĚĞǆĐĂǀĂƚŝŽŶ͕ƉĂǀŝŶŐ͕ĂŶĚŽƚŚĞƌĐŽŶƐƚƌƵĐƚŝŽŶĂĐƚŝǀŝƚŝĞƐ͘&ŽƌĐŽŶƐƚƌƵĐƚŝŽŶĂĐƚŝǀŝƚǇ͕ WDŝƐƚŚĞƉƌŝŵĂƌǇƚŽǆŝĐĂŝƌĐŽŶƚĂŵŝŶĂŶƚŽĨĐŽŶĐĞƌŶ͘KŶͲƌŽĂĚĚŝĞƐĞůͲƉŽǁĞƌĞĚŚĂƵůƚƌƵĐŬƐƚƌĂǀĞůŝŶŐƚŽĂŶĚ 385
ŝƚǇŽĨKŶƚĂƌŝŽ ŽŶsŝĞǁWƌŽũĞĐƚ
,ĞĂůƚŚZŝƐŬƐƐĞƐƐŵĞŶƚ
ƵŐƵƐƚϮϬϮϭ
WĂŐĞͮϭϰ
ĨƌŽŵƚŚĞĐŽŶƐƚƌƵĐƚŝŽŶĂƌĞĂƚŽĚĞůŝǀĞƌŵĂƚĞƌŝĂůƐĂŶĚĞƋƵŝƉŵĞŶƚǁĞƌĞŝŶĐůƵĚĞĚŝŶƚŚĞĂŶĂůǇƐŝƐ͕ĂůƚŚŽƵŐŚ ƚŚĞǇĂƌĞ ƚǇƉŝĐĂůůǇůĞƐƐŽĨĂĐŽŶĐĞƌŶďĞĐĂƵƐĞ ƚŚĞǇǁŽƵůĚŶŽƚ ƐƚĂǇŽŶ ƚŚĞ ƐŝƚĞ ĨŽƌůŽŶŐĚƵƌĂƚŝŽŶƐ͘ŝĞƐĞů ĞǆŚĂƵƐƚ ĨƌŽŵ ĐŽŶƐƚƌƵĐƚŝŽŶ ĞƋƵŝƉŵĞŶƚ ŽƉĞƌĂƚŝŶŐ Ăƚ ƚŚĞ ƐŝƚĞ ƉŽƚĞŶƚŝĂůůǇ ƉŽƐĞƐ Ă ŚĞĂůƚŚ ƌŝƐŬ ƚŽ ŶĞĂƌďǇ ƐĞŶƐŝƚŝǀĞƌĞĐĞƉƚŽƌƐ͘dŚĞĐůŽƐĞƐƚƐĞŶƐŝƚŝǀĞƌĞĐĞƉƚŽƌƐƚŽƚŚĞWƌŽũĞĐƚƐŝƚĞĂƌĞƌĞƐŝĚĞŶĐĞƐůŽĐĂƚĞĚϭϱϱĨĞĞƚĂǁĂǇ ĨƌŽŵƚŚĞƐŽƵƚŚďŽƵŶĚĂƌǇŽĨƚŚĞWƌŽũĞĐƚƐŝƚĞ͘
,ĞĂůƚŚͲƌĞůĂƚĞĚ ƌŝƐŬƐĂƐƐŽĐŝĂƚĞĚǁŝƚŚĚŝĞƐĞůͲĞǆŚĂƵƐƚĞŵŝƐƐŝŽŶƐĂƌĞƉƌŝŵĂƌŝůǇůŝŶŬĞĚƚŽůŽŶŐͲƚĞƌŵĞǆƉŽƐƵƌĞ ĂŶĚƚŚĞĂƐƐŽĐŝĂƚĞĚƌŝƐŬŽĨĐŽŶƚƌĂĐƚŝŶŐĐĂŶĐĞƌ͘dŚĞƵƐĞŽĨĚŝĞƐĞůͲƉŽǁĞƌĞĚĐŽŶƐƚƌƵĐƚŝŽŶĞƋƵŝƉŵĞŶƚǁŽƵůĚ ďĞĞƉŝƐŽĚŝĐĂŶĚǁŽƵůĚŽĐĐƵƌƚŚƌŽƵŐŚŽƵƚƚŚĞWƌŽũĞĐƚƐŝƚĞ͘ŽŶƐƚƌƵĐƚŝŽŶĂĐƚŝǀŝƚŝĞƐǁŽƵůĚůŝŵŝƚŝĚůŝŶŐƚŽŶŽ ŵŽƌĞƚŚĂŶĨŝǀĞŵŝŶƵƚĞƐ͕ǁŚŝĐŚǁŽƵůĚĨƵƌƚŚĞƌƌĞĚƵĐĞŶĞĂƌďǇƐĞŶƐŝƚŝǀĞƌĞĐĞƉƚŽƌƐ͛ĞǆƉŽƐƵƌĞƚŽƚĞŵƉŽƌĂƌǇ ĂŶĚǀĂƌŝĂďůĞWDĞŵŝƐƐŝŽŶƐ͘&ƵƌƚŚĞƌŵŽƌĞ͕ĞǀĞŶĚƵƌŝŶŐƚŚĞŵŽƐƚŝŶƚĞŶƐĞƉĞƌŝŽĚ ŽĨĐŽŶƐƚƌƵĐƚŝŽŶ͕ĞŵŝƐƐŝŽŶƐ ŽĨWDǁŽƵůĚďĞŐĞŶĞƌĂƚĞĚĨƌŽŵĚŝĨĨĞƌĞŶƚůŽĐĂƚŝŽŶƐŽŶƚŚĞWƌŽũĞĐƚ^ŝƚĞƌĂƚŚĞƌƚŚĂŶŝŶĂƐŝŶŐůĞůŽĐĂƚŝŽŶ ďĞĐĂƵƐĞĚŝĨĨĞƌĞŶƚƚǇƉĞƐŽĨĐŽŶƐƚƌƵĐƚŝŽŶĂĐƚŝǀŝƚŝĞƐ;Ğ͘Ő͕͘ƐŝƚĞƉƌĞƉĂƌĂƚŝŽŶĂŶĚďƵŝůĚŝŶŐĐŽŶƐƚƌƵĐƚŝŽŶͿǁŽƵůĚ ŶŽƚŽĐĐƵƌĂƚƚŚĞƐĂŵĞƉůĂĐĞĂƚƚŚĞƐĂŵĞƚŝŵĞ͘
KƉĞƌĂƚŝŽŶĂů^ŽƵƌĐĞƐ
ƵĞƚŽƚŚĞŝŶĐƌĞĂƐĞĚƚƌƵĐŬƚƌĂĨĨŝĐĨƌŽŵƚŚĞWƌŽũĞĐƚ͕ƚŚĞƌĞƐƵůƚŝŶŐĞŵŝƐƐŝŽŶƐĐŽƵůĚĂůƐŽƌĞƐƵůƚŝŶƉŽůůƵƚĂŶƚ ĐŽŶĐĞŶƚƌĂƚŝŽŶƐĂƚĞǆŝƐƚŝŶŐƐĞŶƐŝƚŝǀĞƌĞĐĞƉƚŽƌƐ͘ǀĞƌĂŐĞĚĂŝůǇƚƌŝƉƐĨƌŽŵƚƌƵĐŬƚƌĂĨĨŝĐƚŽƚŚĞWƌŽũĞĐƚǁĞƌĞ ŽďƚĂŝŶĞĚĨƌŽŵƚŚĞWƌŽũĞĐƚ dƌĂĨĨŝĐ/ŵƉĂĐƚ^ƚƵĚǇ;DĂǇϮϬϮϭͿ͘ ŵŝƐƐŝŽŶƌĂƚĞƐĨŽƌǀĞŚŝĐůĞƌƵŶŶŝŶŐĂŶĚŝĚůŝŶŐ
ĨŽƌ WDϭϬ ;WDͿ ǁĂƐ ĐĂůĐƵůĂƚĞĚ ƵƐŝŶŐ ƚƌŝƉ ĚĂƚĂ ĂŶĚ Z ϮϬϭϳ DŝƐƐŝŽŶ &ƚŽƌ ŵŽĚĞů ǀĞƌƐŝŽŶ ϭ͘Ϭ͘Ϯ
;
D&Ϳϱ ĚĂƚĂĨŽƌ^ĂŶĞƌŶĂƌĚŝŶŽŽƵŶƚǇ͖ƌĞĨĞƌƚŽƉƉĞŶĚŝǆ͘ dŚĞĞŵŝƐƐŝŽŶƐƌĂƚĞǁĂƐĐĂůĐƵůĂƚĞĚƵƐŝŶŐ ϮϬϮϮĞŵŝƐƐŝŽŶƐĨĂĐƚŽƌƐƐŝŶĐĞWƌŽũĞĐƚĐŽŶƐƚƌƵĐƚŝŽŶǁŽƵůĚďĞĐŽŵƉůĞƚĞĚŝŶůĂƚĞͲϮϬϮϭ͘dŚĞƚŚŝƌĚƚƌŝŵĞƐƚĞƌ ĞǆƉŽƐƵƌĞƵƐĞĚŽƉĞŶŝŶŐ ǇĞĂƌ;ϮϬϮϮͿĞŵŝƐƐŝŽŶƐ ĨĂĐƚŽƌƐ͕ϮͲǇĞĂƌ ĨĂĐƚŽƌƐ;ĨŽƌŝŶĨĂŶƚĞǆƉŽƐƵƌĞͿƌĞĨůĞĐƚǇĞĂƌƐ ϮϬϮϯ ĂŶĚ ϮϬϮϰ ƵƐŝŶŐϮϬϮϯĞŵŝƐƐŝŽŶƐĨĂĐƚŽƌƐ͕ϭϰͲǇĞĂƌĂǀĞƌĂŐĞĨĂĐƚŽƌƐ;ĨŽƌĐŚŝůĚĞǆƉŽƐƵƌĞĚƵƌŝŶŐǇĞĂƌƐϮͲ ϭϲͿ ƌĞĨůĞĐƚ ĞŵŝƐƐŝŽŶƐ ĚƵƌŝŶŐ ƚŚĞ ĨŝƌƐƚ ϭϰ ǇĞĂƌƐ ŽĨ ŽƉĞƌĂƚŝŽŶ ĂĨƚĞƌ ŝŶĨĂŶĐǇ ;ϮϬϮϱ ƚŽ ϮϬϯϴͿ ƵƐŝŶŐ ϮϬϮϱ ĞŵŝƐƐŝŽŶƐĨĂĐƚŽƌƐ͕ĂŶĚƚŚĞƐĞĐŽŶĚϭϰ ǇĞĂƌƐŽĨĞǆƉŽƐƵƌĞ;ǇĞĂƌƐϮϬϯϵͲϮϬϱϮͿƵƐŝŶŐϮϬϯϵĞŵŝƐƐŝŽŶƐĨĂĐƚŽƌƐ ǁĞƌĞƵƐĞĚĨŽƌĂƐƐĞƐƐŵĞŶƚŽĨĞǆƉŽƐƵƌĞĚƵƌŝŶŐ ǇĞĂƌƐϭϲƚŽϯϬĂŶĚǁĞƌĞĚĞƌŝǀĞĚĨŽƌƚŚĞ^ŽƵƚŚŽĂƐƚWŽƌƚŝŽŶ ŽĨ^ĂŶĞƌŶĂƌĚŝŶŽ ŽƵŶƚǇ͘ dŚĞĂŶĂůǇƐŝƐŝŶĐůƵĚĞƐŽŶƐŝƚĞŝĚůŝŶŐĂŶĚƚƌƵĐŬƚƌĂĨĨŝĐŽŶƚŚĞĨŽůůŽǁŝŶŐƌŽĂĚǁĂǇƐ ĂŶĚǀĞŚŝĐůĞƐƉĞĞĚƐĂƌĞ͗
x ŽŶsŝĞǁǀĞŶƵĞ;ϮϱƚŽϰϬŵŝůĞƐƉĞƌŚŽƵƌͿ
x WŚŝůĂĚĞůƉŚŝĂ^ƚƌĞĞƚ;ϰϬŵŝůĞƐƉĞƌŚŽƵƌͿ
x
ƵĐůŝĚǀĞŶƵĞ;ϰϬŵŝůĞƐƉĞƌŚŽƵƌͿ
x 'ƌŽǀĞǀĞŶƵĞ;ϰϬŵŝůĞƐƉĞƌŚŽƵƌͿ
x KŶƐŝƚĞdƌƵĐŬdƌĂĨĨŝĐ;ϭϱ ŵŝůĞƐƉĞƌŚŽƵƌͿ
ŝƐƉĞƌƐŝŽŶDŽĚĞůŝŶŐ
dŚĞĂŝƌĚŝƐƉĞƌƐŝŽŶŵŽĚĞůŝŶŐĨŽƌƚŚĞ,ZǁĂƐƉĞƌĨŽƌŵĞĚƵƐŝŶŐƚŚĞh͘^͘ W
ZDKĚŝƐƉĞƌƐŝŽŶŵŽĚĞů͘

ZDKŝƐĂƐƚĞĂĚǇͲƐƚĂƚĞ͕ŵƵůƚŝƉůĞͲƐŽƵƌĐĞ͕'ĂƵƐƐŝĂŶĚŝƐƉĞƌƐŝŽŶŵŽĚĞůĚĞƐŝŐŶĞĚ ĨŽƌƵƐĞǁŝƚŚĞŵŝƐƐŝŽŶ ƐŽƵƌĐĞƐƐŝƚƵĂƚĞĚŝŶ ƚĞƌƌĂŝŶǁŚĞƌĞŐƌŽƵŶĚĞůĞǀĂƚŝŽŶƐĐĂŶĞǆĐĞĞĚƚŚĞƐƚĂĐŬŚĞŝŐŚƚƐŽĨƚŚĞĞŵŝƐƐŝŽŶƐŽƵƌĐĞƐ ;ŶŽƚĂĨĂĐƚŽƌŝŶƚŚŝƐĐĂƐĞͿ͘
ZDKƌĞƋƵŝƌĞƐŚŽƵƌůǇŵĞƚĞŽƌŽůŽŐŝĐĂůĚĂƚĂĐŽŶƐŝƐƚŝŶŐŽĨǁŝŶĚǀĞĐƚŽƌ͕ǁŝŶĚ ƐƉĞĞĚ͕ ƚĞŵƉĞƌĂƚƵƌĞ͕ ƐƚĂďŝůŝƚǇ ĐůĂƐƐ͕ ĂŶĚ ŵŝǆŝŶŐ ŚĞŝŐŚƚ͘ ^ƵƌĨĂĐĞ ĂŶĚ ƵƉƉĞƌ Ăŝƌ ŵĞƚĞŽƌŽůŽŐŝĐĂů ĚĂƚĂ ŝƐ ƉƌŽǀŝĚĞĚďǇƚŚĞ^YD͘^ƵƌĨĂĐĞĂŶĚƵƉƉĞƌĂŝƌŵĞƚĞŽƌŽůŽŐŝĐĂůĚĂƚĂĨƌŽŵƚŚĞ&ŽŶƚĂŶĂ DŽŶŝƚŽƌŝŶŐ^ƚĂƚŝŽŶ ǁĂƐƐĞůĞĐƚĞĚĂƐďĞŝŶŐƚŚĞŵŽƐƚƌĞƉƌĞƐĞŶƚĂƚŝǀĞĨŽƌŵĞƚĞŽƌŽůŽŐǇďĂƐĞĚŽŶƉƌŽǆŝŵŝƚǇƚŽƚŚĞWƌŽũĞĐƚ ƐŝƚĞ͘ ϱ ĂůŝĨŽƌŶŝĂŝƌZĞƐŽƵƌĐĞƐŽĂƌĚ͕
D&ϮϬϭϳtĞďĂƚĂďĂƐĞ͕ ǁǁǁ͘Ăƌď͘ĐĂ͘ŐŽǀͬĞŵĨĂĐͬϮϬϭϳ͕ͬĂĐĐĞƐƐĞĚ&ĞďƌƵĂƌǇϮϬϮϭ͘ 386
ŝƚǇŽĨKŶƚĂƌŝŽ ŽŶsŝĞǁWƌŽũĞĐƚ
,ĞĂůƚŚZŝƐŬƐƐĞƐƐŵĞŶƚ
ƵŐƵƐƚϮϬϮϭ
WĂŐĞͮϭϱ
dŚĞ
ZDKĞŵŝƐƐŝŽŶƐŽƵƌĐĞ ĨŽƌĐŽŶƐƚƌƵĐƚŝŽŶĂƌĞůŝŶĞǀŽůƵŵĞƐŽƵƌĐĞƐ ;ĐŽŵƉƌŝƐĞĚŽĨƐŵĂůůĞƌ ĂĚũĂĐĞŶƚ ǀŽůƵŵĞƐŽƵƌĐĞƐͿϲ ƚŚƌŽƵŐŚŽƵƚƚŚĞWƌŽũĞĐƚƐŝƚĞ͘,ĞĂǀǇĚƵƚǇǀĞŚŝĐůĞĞŵŝƐƐŝŽŶƐǁĞƌĞĂƐƐŝŐŶĞĚĂƌĞůĞĂƐĞŚĞŝŐŚƚ ;ŝ͘Ğ͕͘ĂǀĞƌĂŐĞƐƚĂĐŬŚĞŝŐŚƚͿŽĨϭϮĨĞĞƚ;ϯ͘ϲ ŵĞƚĞƌƐͿ͕ĂŶĚĂƉůƵŵĞŚĞŝŐŚƚŽĨϮϬ͘ϰĨĞĞƚ;ϲ͘ϮϮŵĞƚĞƌƐͿ͘ ZDK
ǁĂƐƌƵŶƚŽŽďƚĂŝŶƚŚĞϭͲŚŽƵƌĂŶĚ ĂŶŶƵĂůĂǀĞƌĂŐĞĐŽŶĐĞŶƚƌĂƚŝŽŶ ŝŶŵŝĐƌŽŐƌĂŵƐƉĞƌĐƵďŝĐŵĞƚĞƌ;ʅŐͬŵϯ Ϳ
ŽĨ WDϭϬ Ăƚ ƚŚĞ ŶĞĂƌďǇ ƐĞŶƐŝƚŝǀĞ ƌĞĐĞƉƚŽƌƐ͘ ĐĐŽƌĚŝŶŐ ƚŽ ƚŚĞ ^YD͛Ɛ ^ƵƉƉůĞŵĞŶƚĂů 'ƵŝĚĞůŝŶĞƐ ĨŽƌ WƌĞƉĂƌŝŶŐZŝƐŬƐƐĞƐƐŵĞŶƚƐĨŽƌϮϱϴϴ͕ĂŝƌĚŝƐƉĞƌƐŝŽŶŵŽĚĞůŝŶŐŝƐƌĞƋƵŝƌĞĚƚŽĞƐƚŝŵĂƚĞ ĂŶŶƵĂůĂǀĞƌĂŐĞ ĐŽŶĐĞŶƚƌĂƚŝŽŶƐ ƚŽĐĂůĐƵůĂƚĞ ƚŚĞDĂǆŝŵƵŵ/ŶĚŝǀŝĚƵĂůĂŶĐĞƌZŝƐŬ;D/ZͿ͕ ƚŚĞŵĂǆŝŵƵŵĐŚƌŽŶŝĐ,/͕ ƚŚĞ ǌŽŶĞƐŽĨŝŵƉĂĐƚ͕ĂŶĚĞǆĐĞƐƐĐĂŶĐĞƌďƵƌĚĞŶ͕ĂƐǁĞůůĂƐ ƉĞĂŬŚŽƵƌůǇĐŽŶĐĞŶƚƌĂƚŝŽŶƐƚŽĐĂůĐƵůĂƚĞ ƚŚĞŚĞĂůƚŚ ŝŵƉĂĐƚĨƌŽŵƐƵďƐƚĂŶĐĞƐǁŝƚŚĂĐƵƚĞŶŽŶͲĐĂŶĐĞƌŚĞĂůƚŚĞĨĨĞĐƚƐ͘dŽĂĐŚŝĞǀĞƚŚĞƐĞŐŽĂůƐ͕ĂƌĞĐĞƉƚŽƌŐƌŝĚ ǁĂƐ ƉůĂĐĞĚŽǀĞƌƚŚĞWƌŽũĞĐƚ ƐŝƚĞƚŽĐŽǀĞƌƚŚĞǌŽŶĞŽĨŝŵƉĂĐƚ͘ĐĐŽƌĚŝŶŐƚŽƚŚĞ^YD͕ŝŶŽƌĚĞƌ͞ƚŽŝĚĞŶƚŝĨǇ ƚŚĞŵĂǆŝŵƵŵŝŵƉĂĐƚĞĚ ƌĞĐĞƉƚŽƌƐ ;ŝ͘Ğ͘ ƉĞĂŬĐĂŶĐĞƌƌŝƐŬĂŶĚƉĞĂŬŚĂǌĂƌĚŝŶĚŝĐĞƐͿĂŐƌŝĚƐƉĂĐŝŶŐŽĨϭϬϬ ŵĞƚĞƌƐŽƌůĞƐƐŵƵƐƚďĞƵƐĞĚ͟;ƐĞĞƉĂŐĞϭϲŽĨ^YD͛Ɛ^ƵƉƉůĞŵĞŶƚĂů'ƵŝĚĞůŝŶĞƐͿ͘ƵĞƚŽƚŚĞƐŝǌĞŽĨƚŚĞ WƌŽũĞĐƚ ƐŝƚĞ͕ƌĞĐĞƉƚŽƌƐǁĞƌĞ ŵŽĚĞůĞĚǁŝƚŚĂϱϬͲŵĞƚĞƌŐƌŝĚƐƉĂĐŝŶŐ͘/ŶĂĚĚŝƚŝŽŶ͕EĂƚŝŽŶĂů ůĞǀĂƚŝŽŶĂƚĂƐĞƚ
;E
ͿƚĞƌƌĂŝŶĚĂƚĂǁĂƐŝŵƉŽƌƚĞĚ ŝŶƚŽ
ZDKĨŽƌƚŚĞWƌŽũĞĐƚ͘dŚĞŵŽĚĞůŝŶŐĂŶĚĂŶĂůǇƐŝƐǁĞƌĞ ƉƌĞƉĂƌĞĚ ŝŶĂĐĐŽƌĚĂŶĐĞǁŝƚŚƚŚĞ^YDDŽĚĞůŝŶŐ'ƵŝĚĂŶĐĞĨŽƌ
ZDK͘ϳ
EŽƚĞ ƚŚĂƚ ƚŚĞ ĐŽŶĐĞŶƚƌĂƚŝŽŶ ĞƐƚŝŵĂƚĞ ĚĞǀĞůŽƉĞĚ ƵƐŝŶŐ ƚŚŝƐ ŵĞƚŚŽĚŽůŽŐǇ ŝƐ ĐŽŶƐĞƌǀĂƚŝǀĞ ĂŶĚ ŝƐ ŶŽƚ Ă ƐƉĞĐŝĨŝĐƉƌĞĚŝĐƚŝŽŶŽĨƚŚĞĂĐƚƵĂůĐŽŶĐĞŶƚƌĂƚŝŽŶƐƚŚĂƚǁŽƵůĚŽĐĐƵƌĂƚƚŚĞWƌŽũĞĐƚ ƐŝƚĞĂŶǇŽŶĞƉŽŝŶƚŝŶƚŝŵĞ͘ ĐƚƵĂů ϭͲŚŽƵƌ ĂŶĚ ĂŶŶƵĂů ĂǀĞƌĂŐĞ ĐŽŶĐĞŶƚƌĂƚŝŽŶƐ ĂƌĞ ĚĞƉĞŶĚĞŶƚ ŽŶ ŵĂŶǇ ǀĂƌŝĂďůĞƐ͕ ƉĂƌƚŝĐƵůĂƌůǇ ƚŚĞ ŶƵŵďĞƌĂŶĚƚǇƉĞŽĨǀĞŚŝĐůĞƐĂŶĚĞƋƵŝƉŵĞŶƚŽƉĞƌĂƚŝŶŐĂƚƐƉĞĐŝĨŝĐĚŝƐƚĂŶĐĞƐĚƵƌŝŶŐƚŝŵĞƉĞƌŝŽĚƐŽĨĂĚǀĞƌƐĞ ŵĞƚĞŽƌŽůŽŐǇ͘ ŚĞĂůƚŚƌŝƐŬĐŽŵƉƵƚĂƚŝŽŶǁĂƐƉĞƌĨŽƌŵĞĚ ƚŽĚĞƚĞƌŵŝŶĞ ƚŚĞ ƌŝƐŬŽĨĚĞǀĞůŽƉŝŶŐĂŶĞǆĐĞƐƐ ĐĂŶĐĞƌ ƌŝƐŬ ĐĂůĐƵůĂƚĞĚ ŽŶ ƚŚĞƐĞǁŽƌƐƚͲĐĂƐĞ ĞǆƉŽƐƵƌĞ ĚƵƌĂƚŝŽŶ ƐĐĞŶĂƌŝŽƐ͘dŚĞ ĐŚƌŽŶŝĐ ĂŶĚ ĐĂƌĐŝŶŽŐĞŶŝĐ ŚĞĂůƚŚ ƌŝƐŬ ĐĂůĐƵůĂƚŝŽŶƐ ĂƌĞ ďĂƐĞĚ ŽŶ ƚŚĞ ƐƚĂŶĚĂƌĚŝǌĞĚ ĞƋƵĂƚŝŽŶƐ ĐŽŶƚĂŝŶĞĚ ŝŶ ƚŚĞ K ,, 'ƵŝĚĂŶĐĞ
DĂŶƵĂů͘KŶůǇƚŚĞƌŝƐŬĂƐƐŽĐŝĂƚĞĚǁŝƚŚ ƚŚĞǁŽƌƐƚͲĐĂƐĞůŽĐĂƚŝŽŶŽĨƚŚĞWƌŽũĞĐƚǁĂƐĂƐƐĞƐƐĞĚ͘ ,ĞĂůƚŚZŝƐŬŽŵƉƵƚĂƚŝŽŶ
ŚĞĂůƚŚ ƌŝƐŬ ĐŽŵƉƵƚĂƚŝŽŶ ǁĂƐ ƉĞƌĨŽƌŵĞĚ ƚŽ ĚĞƚĞƌŵŝŶĞ ƚŚĞ ƌŝƐŬ ŽĨ ĚĞǀĞůŽƉŝŶŐ ĂŶ ĞǆĐĞƐƐ ĐĂŶĐĞƌ ƌŝƐŬ ĐĂůĐƵůĂƚĞĚŽŶĂϯϬͲǇĞĂƌĞǆƉŽƐƵƌĞƐĐĞŶĂƌŝŽƵƐŝŶŐZ͛ƐZŝƐŬƐƐĞƐƐŵĞŶƚ^ƚĂŶĚůŽŶĞdŽŽů ;Z^dͿ͘dŚĞ ĐŚƌŽŶŝĐĂŶĚĐĂƌĐŝŶŽŐĞŶŝĐŚĞĂůƚŚƌŝƐŬĐĂůĐƵůĂƚŝŽŶƐĂƌĞďĂƐĞĚŽŶƚŚĞƐƚĂŶĚĂƌĚŝǌĞĚĞƋƵĂƚŝŽŶƐĐŽŶƚĂŝŶĞĚŝŶ ƚŚĞh͘^͘
W,ƵŵĂŶ,ĞĂůƚŚ
ǀĂůƵĂƚŝŽŶDĂŶƵĂů ;ϭϵϵϭͿĂŶĚƚŚĞK
,,'ƵŝĚĂŶĐĞDĂŶƵĂů;ϮϬϭϱͿ͘
ZŝƐŬĂŶĚ,ĂǌĂƌĚƐƐĞƐƐŵĞŶƚ
ĂŶĐĞƌZŝƐŬ
ĂƐĞĚ ŽŶ ƚŚĞ K
,, ŵĞƚŚŽĚŽůŽŐǇ͕ ƌĞƐŝĚĞŶƚŝĂů ŝŶŚĂůĂƚŝŽŶ ĐĂŶĐĞƌ ƌŝƐŬ ĨƌŽŵ ĂŶŶƵĂů ĂǀĞƌĂŐĞ WD ĂŶĚ ďĞŶǌĞŶĞĐŽŶĐĞŶƚƌĂƚŝŽŶƐĂƌĞĐĂůĐƵůĂƚĞĚďǇŵƵůƚŝƉůǇŝŶŐ ƚŚĞĚĂŝůǇŝŶŚĂůĂƚŝŽŶĚŽƐĞ͕ĐĂŶĐĞƌƉŽƚĞŶĐǇ ĨĂĐƚŽƌ͕ ĂŐĞƐĞŶƐŝƚŝǀŝƚǇĨĂĐƚŽƌ;^&Ϳ͕ĨƌĞƋƵĞŶĐǇŽĨƚŝŵĞƐƉĞŶƚĂƚŚŽŵĞ͕ĂŶĚĞǆƉŽƐƵƌĞĚƵƌĂƚŝŽŶĚŝǀŝĚĞĚďǇĂǀĞƌĂŐŝŶŐ ƚŝŵĞ͕ǇŝĞůĚŝŶŐ ƚŚĞĞǆĐĞƐƐĐĂŶĐĞƌƌŝƐŬ͘dŚĞƐĞĨĂĐƚŽƌƐĂƌĞĚŝƐĐƵƐƐĞĚŝŶŵŽƌĞĚĞƚĂŝůďĞůŽǁ͘/ƚŝƐŝŵƉŽƌƚĂŶƚƚŽ ŶŽƚĞƚŚĂƚĞǆƉŽƐƵƌĞĚƵƌĂƚŝŽŶŝƐďĂƐĞĚŽŶĐŽŶƚŝŶƵĂůŚĞĂǀǇƚƌƵĐŬŽƉĞƌĂƚŝŽŶĂůŽŶŐŶĞĂƌďǇƌŽĂĚǁĂǇƐ͘ ǆƉŽƐƵƌĞ
ƚŚƌŽƵŐŚŝŶŚĂůĂƚŝŽŶ;ŽƐĞͲĂŝƌͿŝƐĂ ĨƵŶĐƚŝŽŶŽĨďƌĞĂƚŚŝŶŐƌĂƚĞ͕ ĞǆƉŽƐƵƌĞ ĨƌĞƋƵĞŶĐǇ͕ĂŶĚĐŽŶĐĞŶƚƌĂƚŝŽŶŽĨ ϲ ŽŶƐƚƌƵĐƚŝŽŶĞŵŝƐƐŝŽŶƐǁŽƵůĚŽĐĐƵƌĨƌŽŵŚĞĂǀǇͲĚƵƚǇĞƋƵŝƉŵĞŶƚŽƉĞƌĂƚŝŶŐƚŚƌŽƵŐŚŽƵƚƚŚĞWƌŽũĞĐƚƐŝƚĞ͘dŚĞƐĞƐŽƵƌĐĞƐǁĞƌĞ ĐŚĂƌĂĐƚĞƌŝǌĞĚĂƐŵƵůƚŝƉůĞǀŽůƵŵĞƐŽƵƌĐĞƐ ;ŵŽĚĞůĞĚĂƐĂĚũĂĐĞŶƚůŝŶĞǀŽůƵŵĞƐŽƵƌĐĞƐƚŚĂƚĐŽǀĞƌƚŚĞĚŝƐƚƵƌďĞĚĂƌĞĂƐŽĨƚŚĞ ƉƌŽũĞĐƚƐŝƚĞͿƚŽƌĞƉƌĞƐĞŶƚĐŽŶƐƚƌƵĐƚŝŽŶĞƋƵŝƉŵĞŶƚ͘ ϳ ^ŽƵƚŚŽĂƐƚŝƌYƵĂůŝƚǇDĂŶĂŐĞŵĞŶƚŝƐƚƌŝĐƚ͕^YDDŽĚĞůŝŶŐ'ƵŝĚĂŶĐĞĨŽƌ ZDK͕ŚƚƚƉ͗ͬͬǁǁǁ͘ĂƋŵĚ͘ŐŽǀͬŚŽŵĞͬĂŝƌͲ
ƋƵĂůŝƚǇͬŵĞƚĞŽƌŽůŽŐŝĐĂůͲĚĂƚĂͬŵŽĚĞůŝŶŐͲŐƵŝĚĂŶĐĞ͕ĂĐĐĞƐƐĞĚ&ĞďƌƵĂƌǇϭϳ͕ϮϬϮϬ͘ 387
ŝƚǇŽĨKŶƚĂƌŝŽ ŽŶsŝĞǁWƌŽũĞĐƚ
,ĞĂůƚŚZŝƐŬƐƐĞƐƐŵĞŶƚ
ƵŐƵƐƚϮϬϮϭ
WĂŐĞͮϭϲ
ƐƵďƐƚĂŶĐĞŝŶƚŚĞĂŝƌ͘dŽĞƐƚŝŵĂƚĞĐĂŶĐĞƌƌŝƐŬ͕ƚŚĞĚŽƐĞǁĂƐĞƐƚŝŵĂƚĞĚďǇĂƉƉůǇŝŶŐƚŚĞĨŽůůŽǁŝŶŐĨŽƌŵƵůĂƚŽ ĞĂĐŚŐƌŽƵŶĚͲůĞǀĞůĐŽŶĐĞŶƚƌĂƚŝŽŶ͗
ŽƐĞͲĂŝƌсĂŝƌΎ;ZͬtͿΎΎ
&ΎϭϬͲϲ
ŽƐĞͲĂŝƌс ĚŽƐĞƚŚƌŽƵŐŚŝŶŚĂůĂƚŝŽŶ;ŵŐͬŬŐͬĚĂǇͿ
Ăŝƌ с ĂŝƌĐŽŶĐĞŶƚƌĂƚŝŽŶ;ʅŐͬŵϯ
ͿĨƌŽŵĂŝƌĚŝƐƉĞƌƐŝŽŶŵŽĚĞů
;ZͬtͿс ĚĂŝůǇďƌĞĂƚŚŝŶŐƌĂƚĞŶŽƌŵĂůŝǌĞĚƚŽďŽĚǇǁĞŝŐŚƚ;>ͬŬŐďŽĚǇǁĞŝŐŚƚͲĚĂǇͿ с ŝŶŚĂůĂƚŝŽŶ ĂďƐŽƌƉƚŝŽŶĨĂĐƚŽƌ;ƵŶŝƚůĞƐƐͿ

&с ĞǆƉŽƐƵƌĞĨƌĞƋƵĞŶĐǇ;ĂƉƉƌŽǆŝŵĂƚĞůǇϯϱϬĚĂǇƐƉĞƌǇĞĂƌĨŽƌƌĞƐŝĚĞŶƚŝĂůͿ ϭϬͲϲ с ĐŽŶǀĞƌƐŝŽŶĨĂĐƚŽƌ;ŵŝĐƌŽŐƌĂŵƐƚŽŵŝůůŝŐƌĂŵƐ͕ůŝƚĞƌƐƚŽĐƵďŝĐŵĞƚĞƌƐͿ K
,,ĚĞǀĞůŽƉĞĚ^&Ɛ ƚŽĐŽŶƐŝĚĞƌ ƚŚĞŝŶĐƌĞĂƐĞĚƐĞŶƐŝƚŝǀŝƚǇ ƚŽĐĂƌĐŝŶŽŐĞŶƐĚƵƌŝŶŐĞĂƌůǇͲůŝĨĞĞǆƉŽƐƵƌĞ͘ &ƌĂĐƚŝŽŶŽĨƚŝŵĞĂƚŚŽŵĞ;&,ͿĚƵƌŝŶŐƚŚĞĚĂǇŝƐƵƐĞĚƚŽĂĚũƵƐƚĞǆƉŽƐƵƌĞĚƵƌĂƚŝŽŶĂŶĚĐĂŶĐĞƌƌŝƐŬĨƌŽŵĂ ƐƉĞĐŝĨŝĐ ĨĂĐŝůŝƚǇ͛ƐĞŵŝƐƐŝŽŶƐ͕ ďĂƐĞĚ ŽŶ ƚŚĞ ĂƐƐƵŵƉƚŝŽŶ ƚŚĂƚĞǆƉŽƐƵƌĞ ƚŽ ƚŚĞ ĨĂĐŝůŝƚǇ͛ƐĞŵŝƐƐŝŽŶƐĂƌĞ ŶŽƚ ŽĐĐƵƌƌŝŶŐĂǁĂǇĨƌŽŵŚŽŵĞ͘dŚĞĨĂĐƚŽƌƐƵƐĞĚŝŶƚŚĞŚĞĂůƚŚƌŝƐŬĂƐƐĞƐƐŵĞŶƚĂƌĞƐŚŽǁŶŝŶdĂďůĞϮ͗ĞĨĂƵůƚ ŐĞ^ĞŶƐŝƚŝǀŝƚǇ&ĂĐƚŽƌƐ͕ &ƌĂĐƚŝŽŶŽĨdŝŵĞĂƚ,ŽŵĞ͕ŶĚĂŝůǇƌĞĂƚŚŝŶŐZĂƚĞƐ͘ dĂďůĞϮ͗ĞĨĂƵůƚŐĞ^ĞŶƐŝƚŝǀŝƚǇ&ĂĐƚŽƌƐ͕ &ƌĂĐƚŝŽŶ ŽĨdŝŵĞĂƚ,ŽŵĞ͕ĂŶĚĂŝůǇƌĞĂƚŚŝŶŐZĂƚĞƐ ŐĞ ĞĨĂƵůƚŐĞ^ĞŶƐŝƚŝǀŝƚǇ
&ĂĐƚŽƌϭ ;^&Ϳ
&ƌĂĐƚŝŽŶŽĨdŝŵĞĂƚ,ŽŵĞ
;&,Ϳ
ĂŝůǇƌĞĂƚŚŝŶŐZĂƚĞ
;>ͬŬŐtͲĚĂǇϮͿ
dŚŝƌĚƚƌŝŵĞƐƚĞƌ ϭϬ ϭϬϬй ϯϲϭ
ϬƚŽϮǇĞĂƌƐ ϭϬ ϭϬϬй ϭ͕ϬϵϬ
ŐĞƐϮƚŚƌŽƵŐŚϭϱǇĞĂƌƐ ϯ ϭϬϬй ϳϰϱ
ŐĞƐϭϲĂŶĚŐƌĞĂƚĞƌ ϭ ϳϯй ϯϯϱ
ϭ͘ ĐĐŽƵŶƚƐĨŽƌƉŽƚĞŶƚŝĂůŝŶĐƌĞĂƐĞĚƐĞŶƐŝƚŝǀŝƚǇƚŽĐĂƌĐŝŶŽŐĞŶƐĚƵƌŝŶŐĐŚŝůĚŚŽŽĚ͘ Ϯ͘ ϵϱƚŚ ƉĞƌĐĞŶƚŝůĞĚĂŝůǇďƌĞĂƚŚŝŶŐƌĂƚĞŶŽƌŵĂůŝǌĞĚƚŽďŽĚǇǁĞŝŐŚƚ;>ͬŬŐďŽĚǇǁĞŝŐŚƚͲ ĚĂǇͿ ^ŽƵƌĐĞ͗ĂůŝĨŽƌŶŝĂKĨĨŝĐĞŽĨ
ŶǀŝƌŽŶŵĞŶƚĂů,ĞĂůƚŚ,ĂǌĂƌĚƐƐĞƐƐŵĞŶƚ͕ŝƌdŽǆŝĐƐWƌŽŐƌĂŵ'ƵŝĚĂŶĐĞDĂŶƵĂůĨŽƌƚŚĞWƌĞƉĂƌĂƚŝŽŶŽĨ,ĞĂůƚŚZŝƐŬ ƐƐĞƐƐŵĞŶƚƐ͕&ĞďƌƵĂƌǇϮϬϭϱ͘
dŽĞƐƚŝŵĂƚĞƚŚĞĐĂŶĐĞƌƌŝƐŬ͕ƚŚĞĚŽƐĞŝƐŵƵůƚŝƉůŝĞĚďǇƚŚĞĐĂŶĐĞƌƉŽƚĞŶĐǇ ĨĂĐƚŽƌ͕ƚŚĞ^&͕ƚŚĞĞǆƉŽƐƵƌĞ ĚƵƌĂƚŝŽŶĚŝǀŝĚĞĚďǇĂǀĞƌĂŐŝŶŐƚŝŵĞ͕ ĂŶĚƚŚĞĨƌĞƋƵĞŶĐǇŽĨƚŝŵĞƐƉĞŶƚĂƚŚŽŵĞ;ĨŽƌƌĞƐŝĚĞŶƚƐŽŶůǇͿ͗ ZŝƐŬŝŶŚͲƌĞƐ с;ŽƐĞĂŝƌΎW&Ύ^&Ύ;
ͬdͿΎ&,Ϳ
ZŝƐŬŝŶŚͲƌĞƐ с ƌĞƐŝĚĞŶƚŝĂůŝŶŚĂůĂƚŝŽŶĐĂŶĐĞƌƌŝƐŬ;ƉŽƚĞŶƚŝĂůĐŚĂŶĐĞƐƉĞƌŵŝůůŝŽŶͿ ŽƐĞĂŝƌ с ĚĂŝůǇĚŽƐĞƚŚƌŽƵŐŚŝŶŚĂůĂƚŝŽŶ;ŵŐͬŬŐͲĚĂǇͿ
W&с ŝŶŚĂůĂƚŝŽŶĐĂŶĐĞƌƉŽƚĞŶĐǇĨĂĐƚŽƌ;ŵŐͬŬŐͲĚĂǇͲϭͿ
^&с ĂŐĞƐĞŶƐŝƚŝǀŝƚǇĨĂĐƚŽƌĨŽƌĂƐƉĞĐŝĨŝĞĚĂŐĞŐƌŽƵƉ;ƵŶŝƚůĞƐƐͿ

с ĞǆƉŽƐƵƌĞĚƵƌĂƚŝŽŶ;ǇĞĂƌƐͿ
dс ĂǀĞƌĂŐŝŶŐƚŝŵĞŽĨůŝĨĞƚŝŵĞĐĂŶĐĞƌƌŝƐŬ;ǇĞĂƌƐͿ
&,с ĨƌĂĐƚŝŽŶŽĨƚŝŵĞƐƉĞŶƚĂƚŚŽŵĞ;ƵŶŝƚůĞƐƐͿ
ŚƌŽŶŝĐEŽŶͲĂŶĐĞƌ,ĂǌĂƌĚ
EŽŶͲĐĂŶĐĞƌĐŚƌŽŶŝĐŝŵƉĂĐƚƐĂƌĞĐĂůĐƵůĂƚĞĚďǇĚŝǀŝĚŝŶŐƚŚĞĂŶŶƵĂůĂǀĞƌĂŐĞĐŽŶĐĞŶƚƌĂƚŝŽŶďǇƚŚĞZ >ĨŽƌ
ƚŚĂƚƐƵďƐƚĂŶĐĞ͘dŚĞZ
>ŝƐĚĞĨŝŶĞĚĂƐƚŚĞĐŽŶĐĞŶƚƌĂƚŝŽŶĂƚǁŚŝĐŚŶŽĂĚǀĞƌƐĞŶŽŶͲĐĂŶĐĞƌŚĞĂůƚŚĞĨĨĞĐƚƐĂƌĞ ĂŶƚŝĐŝƉĂƚĞĚ͘dŚĞĨŽůůŽǁŝŶŐĞƋƵĂƚŝŽŶǁĂƐƵƐĞĚƚŽĚĞƚĞƌŵŝŶĞƚŚĞŶŽŶͲĐĂŶĐĞƌƌŝƐŬ͗ 388
ŝƚǇŽĨKŶƚĂƌŝŽ ŽŶsŝĞǁWƌŽũĞĐƚ
,ĞĂůƚŚZŝƐŬƐƐĞƐƐŵĞŶƚ
ƵŐƵƐƚϮϬϮϭ
WĂŐĞͮϭϳ
,ĂǌĂƌĚYƵŽƚŝĞŶƚсŝͬZ
>ŝ
ŝ с ĐŽŶĐĞŶƚƌĂƚŝŽŶŝŶƚŚĞĂŝƌŽĨƐƵďƐƚĂŶĐĞŝ;ĂŶŶƵĂůĂǀĞƌĂŐĞĐŽŶĐĞŶƚƌĂƚŝŽŶŝŶʅŐͬŵϯͿ Z
>ŝ с ĐŚƌŽŶŝĐŶŽŶĐĂŶĐĞƌZĞĨĞƌĞŶĐĞ
ǆƉŽƐƵƌĞ>ĞǀĞůĨŽƌƐƵďƐƚĂŶĐĞ;ʅŐͬŵϯ
Ϳ
ĐƵƚĞEŽŶͲĂŶĐĞƌ,ĂǌĂƌĚ
dŚĞƉŽƚĞŶƚŝĂůĨŽƌĂĐƵƚĞŶŽŶͲĐĂŶĐĞƌŚĂǌĂƌĚƐŝƐĞǀĂůƵĂƚĞĚďǇĐŽŵƉĂƌŝŶŐƚŚĞŵĂǆŝŵƵŵƐŚŽƌƚͲƚĞƌŵĞǆƉŽƐƵƌĞ ůĞǀĞů ƚŽ ĂŶ ĂĐƵƚĞ Z
>͘ Z
>Ɛ ĂƌĞ ĚĞƐŝŐŶĞĚ ƚŽ ƉƌŽƚĞĐƚ ƐĞŶƐŝƚŝǀĞ ŝŶĚŝǀŝĚƵĂůƐ ǁŝƚŚŝŶ ƚŚĞ ƉŽƉƵůĂƚŝŽŶ͘ dŚĞ ĐĂůĐƵůĂƚŝŽŶŽĨĂĐƵƚĞŶŽŶͲĐĂŶĐĞƌŝŵƉĂĐƚƐŝƐƐŝŵŝůĂƌƚŽƚŚĞƉƌŽĐĞĚƵƌĞĨŽƌĐŚƌŽŶŝĐŶŽŶͲĐĂŶĐĞƌŝŵƉĂĐƚƐ͘dŚĞ ĞƋƵĂƚŝŽŶŝƐĂƐĨŽůůŽǁƐ͗
ĐƵƚĞ,Yс DĂǆŝŵƵŵ,ŽƵƌůǇŝƌŽŶĐĞŶƚƌĂƚŝŽŶ;ʅŐͬŵϯ
ͿͬĐƵƚĞZ
>;ʅŐͬŵϯͿ
,ĞĂůƚŚZŝƐŬŽŵƉƵƚĂƚŝŽŶ
ŚĞĂůƚŚ ƌŝƐŬ ĐŽŵƉƵƚĂƚŝŽŶ ǁĂƐ ƉĞƌĨŽƌŵĞĚ ƚŽ ĚĞƚĞƌŵŝŶĞ ƚŚĞ ƌŝƐŬ ŽĨ ĚĞǀĞůŽƉŝŶŐ ĂŶ ĞǆĐĞƐƐ ĐĂŶĐĞƌ ƌŝƐŬ ĐĂůĐƵůĂƚĞĚŽŶĂϯϬͲǇĞĂƌĞǆƉŽƐƵƌĞƐĐĞŶĂƌŝŽƵƐŝŶŐZ͛ƐZŝƐŬƐƐĞƐƐŵĞŶƚ^ƚĂŶĚůŽŶĞdŽŽů;Z^dͿ͘,ĞĂůƚŚ ƌŝƐŬ ǁĞƌĞ ĂŶĂůǇǌĞĚ Ăƚ ƚŚĞ ƉŽŝŶƚ ŽĨ ŵĂǆŝŵƵŵ ŝŵƉĂĐƚ ĂŶĚ ĂƌĞ Ă ĐŽŶƐĞƌǀĂƚŝǀĞ ĞƐƚŝŵĂƚĞ͘ dŚĞ ƉŽůůƵƚĂŶƚ ĐŽŶĐĞŶƚƌĂƚŝŽŶƐĂƌĞƚŚĞŶƵƐĞĚƚŽĞƐƚŝŵĂƚĞƚŚĞůŽŶŐͲƚĞƌŵĐĂŶĐĞƌŚĞĂůƚŚƌŝƐŬƚŽĂŶŝŶĚŝǀŝĚƵĂůĂƐǁĞůůĂƐƚŚĞ ŶŽŶͲĐĂŶĐĞƌĐŚƌŽŶŝĐŚĞĂůƚŚŝŶĚĞǆ͘
dŚĞŽĨĨͲƐŝƚĞŝŵƉĂĐƚƐǁŽƵůĚŽĐĐƵƌĨƌŽŵƚŚĞĚŝĞƐĞůƚƌƵĐŬƐĂĐĐĞƐƐŝŶŐƚŚĞƉƌŽƉŽƐĞĚWƌŽũĞĐƚ͘dŚĞĐĂŶĐĞƌĂŶĚ ĐŚƌŽŶŝĐŚĞĂůƚŚƌŝƐŬƐĂƌĞďĂƐĞĚŽŶƚŚĞĂŶŶƵĂůĂǀĞƌĂŐĞĐŽŶĐĞŶƚƌĂƚŝŽŶŽĨWDϭϬ ;ƵƐĞĚĂƐĂƉƌŽǆǇĨŽƌWDͿ͘Ɛ WD ĚŽĞƐ ŶŽƚ ŚĂǀĞ ƐŚŽƌƚͲƚĞƌŵ ƚŽǆŝĐŝƚǇǀĂůƵĞƐ͕ĂĐƵƚĞ ƌŝƐŬƐǁĞƌĞĐŽŶƐĞƌǀĂƚŝǀĞůǇĞǀĂůƵĂƚĞĚ ƵƐŝŶŐ ŚŽƵƌůǇ WDϭϬ ĐŽŶĐĞŶƚƌĂƚŝŽŶƐĂŶĚƚŚĞZ
>ĨŽƌĂĐƌŽůĞŝŶ͘dŚĞĐŚƌŽŶŝĐĂŶĚĐĂƌĐŝŶŽŐĞŶŝĐŚĞĂůƚŚƌŝƐŬĐĂůĐƵůĂƚŝŽŶƐĂƌĞ ďĂƐĞĚŽŶƚŚĞƐƚĂŶĚĂƌĚŝǌĞĚĞƋƵĂƚŝŽŶƐĐŽŶƚĂŝŶĞĚŝŶƚŚĞh͘^͘ W,ƵŵĂŶ,ĞĂůƚŚ
ǀĂůƵĂƚŝŽŶ DĂŶƵĂů ;ϭϵϵϭͿ
ĂŶĚƚŚĞK
,,'ƵŝĚĂŶĐĞDĂŶƵĂů;ϮϬϭϱͿ͘
389
ŝƚǇŽĨKŶƚĂƌŝŽ ŽŶsŝĞǁWƌŽũĞĐƚ
,ĞĂůƚŚZŝƐŬƐƐĞƐƐŵĞŶƚ
ƵŐƵƐƚϮϬϮϭ
WĂŐĞͮϭϴ
5 POTENTIAL HEALTH RISK IMPACTS
ZŝĚĞŶƚŝĨŝĞĚWDĂƐĂdŝŶϭϵϵϴ͘DŽďŝůĞƐŽƵƌĐĞƐ;ŝŶĐůƵĚŝŶŐƚƌƵĐŬƐ͕ďƵƐĞƐ͕ĂƵƚŽŵŽďŝůĞƐ͕ƚƌĂŝŶƐ͕ƐŚŝƉƐ͕ ĂŶĚĨĂƌŵĞƋƵŝƉŵĞŶƚͿĂƌĞďǇĨĂƌƚŚĞůĂƌŐĞƐƚƐŽƵƌĐĞŽĨĚŝĞƐĞůĞŵŝƐƐŝŽŶƐ͘dŚĞĞǆŚĂƵƐƚĨƌŽŵĚŝĞƐĞůĞŶŐŝŶĞƐ ŝŶĐůƵĚĞƐ ŚƵŶĚƌĞĚƐ ŽĨ ĚŝĨĨĞƌĞŶƚ ŐĂƐĞŽƵƐ ĂŶĚ ƉĂƌƚŝĐƵůĂƚĞ ĐŽŵƉŽŶĞŶƚƐ͕ ŵĂŶǇ ŽĨ ǁŚŝĐŚ ĂƌĞ ƚŽǆŝĐ͘ ŝĞƐĞů ĞǆŚĂƵƐƚŝƐĞŵŝƚƚĞĚĨƌŽŵĂďƌŽĂĚƌĂŶŐĞŽĨŽŶͲĂŶĚŽĨĨͲƌŽĂĚĚŝĞƐĞůĞŶŐŝŶĞƐ͘ƐƚŚĞWƌŽũĞĐƚ ŝƐƉƌŽƉŽƐĞĚŶĞĂƌ ĞǆŝƐƚŝŶŐ ƌĞƐŝĚĞŶĐĞƐ͕ĂŶĂŶĂůǇƐŝƐŽĨWDǁĂƐƉĞƌĨŽƌŵĞĚƵƐŝŶŐƚŚĞ WͲĂƉƉƌŽǀĞĚ
ZDKŵŽĚĞů͘

5.1 Construction Health Risk Analysis
dŚĞĚƵƌĂƚŝŽŶŽĨĐŽŶƐƚƌƵĐƚŝŽŶĂĐƚŝǀŝƚŝĞƐ ĨŽƌƚŚĞWƌŽũĞĐƚŝƐĞƐƚŝŵĂƚĞĚƚŽƚĂŬĞĂƉƉƌŽǆŝŵĂƚĞůǇ ŶŝŶĞ ŵŽŶƚŚƐ͘ ŽŶƐƚƌƵĐƚŝŽŶͲƌĞůĂƚĞĚĂĐƚŝǀŝƚŝĞƐǁŽƵůĚƌĞƐƵůƚŝŶWƌŽũĞĐƚͲŐĞŶĞƌĂƚĞĚĞŵŝƐƐŝŽŶƐŽĨĚŝĞƐĞůWDĨƌŽŵƚŚĞĞǆŚĂƵƐƚ ŽĨŽĨĨͲƌŽĂĚ͕ ŚĞĂǀǇͲĚƵƚǇĚŝĞƐĞůĞƋƵŝƉŵĞŶƚĨŽƌƐŝƚĞƉƌĞƉĂƌĂƚŝŽŶ;Ğ͘Ő͕͘ĐůĞĂƌŝŶŐ͕ŐƌĂĚŝŶŐͿ͖ƉĂǀŝŶŐ͖ĂƉƉůŝĐĂƚŝŽŶ ŽĨ ĂƌĐŚŝƚĞĐƚƵƌĂů ĐŽĂƚŝŶŐƐ͖ ŽŶͲƌŽĂĚ ƚƌƵĐŬ ƚƌĂǀĞů͖ ĂŶĚ ŽƚŚĞƌ ŵŝƐĐĞůůĂŶĞŽƵƐ ĂĐƚŝǀŝƚŝĞƐ͘ &Žƌ ĐŽŶƐƚƌƵĐƚŝŽŶ ĂĐƚŝǀŝƚǇ͕ĚŝĞƐĞůWDŝƐƚŚĞƉƌŝŵĂƌǇƚŽǆŝĐĂŝƌĐŽŶƚĂŵŝŶĂŶƚŽĨĐŽŶĐĞƌŶ͘KŶͲƌŽĂĚĚŝĞƐĞůͲƉŽǁĞƌĞĚŚĂƵůƚƌƵĐŬƐ ƚƌĂǀĞůŝŶŐ ƚŽ ĂŶĚ ĨƌŽŵ ƚŚĞ ĐŽŶƐƚƌƵĐƚŝŽŶ ĂƌĞĂ ƚŽ ĚĞůŝǀĞƌŵĂƚĞƌŝĂůƐ ĂŶĚĞƋƵŝƉŵĞŶƚ ĂƌĞ ůĞƐƐ ŽĨ Ă ĐŽŶĐĞƌŶ ďĞĐĂƵƐĞƚŚĞǇǁŽƵůĚŶŽƚƐƚĂǇŽŶƚŚĞƐŝƚĞĨŽƌůŽŶŐĚƵƌĂƚŝŽŶƐ͘ŝĞƐĞůĞǆŚĂƵƐƚĨƌŽŵĐŽŶƐƚƌƵĐƚŝŽŶĞƋƵŝƉŵĞŶƚ ŽƉĞƌĂƚŝŶŐĂƚƚŚĞƐŝƚĞƉŽƐĞƐĂŚĞĂůƚŚƌŝƐŬƚŽŶĞĂƌďǇƐĞŶƐŝƚŝǀĞƌĞĐĞƉƚŽƌƐ͘dŚĞĐůŽƐĞƐƚƐĞŶƐŝƚŝǀĞƌĞĐĞƉƚŽƌƐŶĞĂƌ ƚŚĞWƌŽũĞĐƚƐŝƚĞĂƌĞ ƌĞƐŝĚĞŶƚŝĂůƵƐĞƐůŽĐĂƚĞĚƚŽƚŚĞƐŽƵƚŚ͘ ƐŶŽƚĞĚĂďŽǀĞ͕ŵĂǆŝŵƵŵ;ǁŽƌƐƚĐĂƐĞͿWDϭϬ ĞǆŚĂƵƐƚĐŽŶƐƚƌƵĐƚŝŽŶĞŵŝƐƐŝŽŶƐŽǀĞƌƚŚĞĞŶƚŝƌĞĐŽŶƐƚƌƵĐƚŝŽŶ ƉĞƌŝŽĚǁĞƌĞƵƐĞĚŝŶ
ZDKƚŽĂƉƉƌŽǆŝŵĂƚĞĐŽŶƐƚƌƵĐƚŝŽŶWDĞŵŝƐƐŝŽŶƐ͘ZŝƐŬůĞǀĞůƐǁĞƌĞĐĂůĐƵůĂƚĞĚ ďĂƐĞĚŽŶƚŚĞĂůŝĨŽƌŶŝĂKĨĨŝĐĞŽĨ
ŶǀŝƌŽŶŵĞŶƚĂů,ĞĂůƚŚ,ĂǌĂƌĚƐƐĞƐƐŵĞŶƚ;K
,,ͿŐƵŝĚĂŶĐĞĚŽĐƵŵĞŶƚ͕
ŝƌdŽǆŝĐƐ,Žƚ^ƉŽƚƐWƌŽŐƌĂŵZŝƐŬƐƐĞƐƐŵĞŶƚ'ƵŝĚĞůŝŶĞƐ;&ĞďƌƵĂƌǇϮϬϭϱͿ͘ZĞƐƵůƚƐŽĨƚŚŝƐĂƐƐĞƐƐŵĞŶƚĂƌĞ ƐƵŵŵĂƌŝǌĞĚŝŶdĂďůĞϯ͗ŽŶƐƚƌƵĐƚŝŽŶZŝƐŬ͘
dĂďůĞϯ͗ŽŶƐƚƌƵĐƚŝŽŶZŝƐŬ

ǆƉŽƐƵƌĞ
^ĐĞŶĂƌŝŽ
WŽůůƵƚĂŶƚ
ŽŶĐĞŶƚƌĂƚŝŽŶ
;ʅŐͬŵϯͿϭ͕Ϯ
DĂǆŝŵƵŵĂŶĐĞƌZŝƐŬ
;ZŝƐŬƉĞƌDŝůůŝŽŶͿ
ŚƌŽŶŝĐ
EŽŶĐĂŶĐĞƌ,ĂǌĂƌĚ
ĐƵƚĞEŽŶĐĂŶĐĞƌ
,ĂǌĂƌĚ
ŽŶƐƚƌƵĐƚŝŽŶ Ϭ͘ϬϬϬϭϳ Ϭ͘ϬϮϱ Ϭ͘ϬϬϬϬϯ Ϭ͘ϬϬϬϰϭ
dŚƌĞƐŚŽůĚ Eͬ ϭϬ ϭ͘Ϭ ϭ͘Ϭ
dŚƌĞƐŚŽůĚ
ǆĐĞĞĚĞĚ EŽ EŽ EŽ EŽ
ϭ͘ ZĞĨĞƌƚŽƉƉĞŶĚŝǆ͘
Ϯ͘ dŚĞŵĂǆŝŵƵŵĐĂŶĐĞƌƌŝƐŬǁŽƵůĚ ďĞĞǆƉĞƌŝĞŶĐĞĚĂƚƚŚĞƌĞƐŝĚĞŶĐĞƐƚŽƐŽƵƚŚ ŽĨƚŚĞWƌŽũĞĐƚƐŝƚĞĂůŽŶŐĞĚĂƌ^ƚƌĞĞƚ͘ ZĞƐƵůƚƐ ŽĨ ƚŚŝƐ ĂƐƐĞƐƐŵĞŶƚ ŝŶĚŝĐĂƚĞ ƚŚĂƚ ƚŚĞ ƵŶŵŝƚŝŐĂƚĞĚ ŵĂǆŝŵƵŵ ĐŽŶĐĞŶƚƌĂƚŝŽŶ ŽĨ WDϭϬ ĚƵƌŝŶŐ ĐŽŶƐƚƌƵĐƚŝŽŶǁŽƵůĚďĞϬ͘ϬϬϬϭϳ ʅŐͬŵϯĂŶĚƌĞƐƵůƚĂŶƚĐĂŶĐĞƌƌŝƐŬŽĨ Ϭ͘ϬϮϱ ŝŶŽŶĞŵŝůůŝŽŶ͕ǁŚŝĐŚǁŽƵůĚŶŽƚ ĞǆĐĞĞĚƚŚĞ^YDƚŚƌĞƐŚŽůĚŽĨϭϬŝŶŽŶĞŵŝůůŝŽŶ͘EŽŶͲĐĂŶĐĞƌŚĂǌĂƌĚƐĨŽƌĚŝĞƐĞůWDǁŽƵůĚďĞďĞůŽǁ ^YDƚŚƌĞƐŚŽůĚŽĨϭ͘Ϭ͕ǁŝƚŚĂĐŚƌŽŶŝĐŚĂǌĂƌĚŝŶĚĞǆĐŽŵƉƵƚĞĚĂƚϬ͘ϬϬϬϬϯ ĂŶĚĂŶĂĐƵƚĞŚĂǌĂƌĚŝŶĚĞǆ ŽĨϬ͘ϬϬϬϰϭ͘dŚĞƌĞĨŽƌĞ͕ĐŽŶƐƚƌƵĐƚŝŽŶƌŝƐŬůĞǀĞůƐǁŽƵůĚďĞůĞƐƐƚŚĂŶ^YDƚŚƌĞƐŚŽůĚƐ ĂŶĚŝŵƉĂĐƚƐǁŽƵůĚ ďĞůĞƐƐƚŚĂŶƐŝŐŶŝĨŝĐĂŶƚ͘

390
ŝƚǇŽĨKŶƚĂƌŝŽ ŽŶsŝĞǁWƌŽũĞĐƚ
,ĞĂůƚŚZŝƐŬƐƐĞƐƐŵĞŶƚ
ƵŐƵƐƚϮϬϮϭ
WĂŐĞͮϭϵ

5.2 Operational Health Risk Analysis
ĂƌĐŝŶŽŐĞŶŝĐZŝƐŬ
sĞŚŝĐůĞ WD ĞŵŝƐƐŝŽŶƐ ǁĞƌĞ ĞƐƚŝŵĂƚĞĚ ƵƐŝŶŐ ĞŵŝƐƐŝŽŶ ĨĂĐƚŽƌƐ ĨŽƌ WDϭϬ ŐĞŶĞƌĂƚĞĚ ǁŝƚŚ ƚŚĞ D&
ĚĞǀĞůŽƉĞĚďǇZ͘dƌƵĐŬĞŵŝƐƐŝŽŶƐǁĞƌĞŵŽĚĞůĞĚǁŝƚŚ
ZDKƚŽĚĞƚĞƌŵŝŶĞƉŽůůƵƚĂŶƚĐŽŶĐĞŶƚƌĂƚŝŽŶƐ͘
ƐƐŚŽǁŶŝŶdĂďůĞ ϰ͗KƉĞƌĂƚŝŽŶĂůZŝƐŬ͕ ƚŚĞƵŶŵŝƚŝŐĂƚĞĚ ĐĂůĐƵůĂƚĞĚĐĂƌĐŝŶŽŐĞŶŝĐ ƌŝƐŬ ƌĞƐƵůƚŝŶŐ ĨƌŽŵ ƚŚĞ WƌŽũĞĐƚ ŝƐϬ͘ϴϴ ƉĞƌŵŝůůŝŽŶ͕ǁŚŝĐŚǁŽƵůĚŶŽƚĞǆĐĞĞĚƚŚĞ^YDƚŚƌĞƐŚŽůĚŽĨϭϬŝŶŽŶĞŵŝůůŝŽŶƌĞƐŝĚĞŶƚƐ͘ dŚĞƌĞĨŽƌĞ͕ƚŚĞĐĂƌĐŝŶŽŐĞŶŝĐƌŝƐŬĂƐƐŽĐŝĂƚĞĚǁŝƚŚƚŚĞWƌŽũĞĐƚǁŽƵůĚďĞůĞƐƐƚŚĂŶƐŝŐŶŝĨŝĐĂŶƚ͘ dĂďůĞϰ͗ KƉĞƌĂƚŝŽŶĂůZŝƐŬ

ǆƉŽƐƵƌĞ^ĐĞŶĂƌŝŽ DĂǆŝŵƵŵĂŶĐĞƌZŝƐŬ
;ZŝƐŬƉĞƌDŝůůŝŽŶͿϭ͕Ϯ
^ŝŐŶŝĨŝĐĂŶĐĞdŚƌĞƐŚŽůĚ
;ZŝƐŬƉĞƌDŝůůŝŽŶͿ

ǆĐĞĞĚƐ^ŝŐŶŝĨŝĐĂŶĐĞ
dŚƌĞƐŚŽůĚ͍
ZĞƐŝĚĞŶƚƐ Ϭ͘ϴϴ ϭϬ EŽ
ϭ͘ ZĞĨĞƌƚŽƉƉĞŶĚŝǆ͘
Ϯ͘ dŚĞŵĂǆŝŵƵŵĐĂŶĐĞƌƌŝƐŬǁŽƵůĚ ďĞĞǆƉĞƌŝĞŶĐĞĚĂƚ ƚŚĞƌĞƐŝĚĞŶĐĞƐƚŽ ƚŚĞ ƐŽƵƚŚŽĨ ƚŚĞWƌŽũĞĐƚƐŝƚĞĂůŽŶŐWŚŝůĂĚĞůƉŚŝĂ^ƚƌĞĞƚďĂƐĞĚŽŶ ǁŽƌƐƚͲĐĂƐĞĞǆƉŽƐƵƌĞĚƵƌĂƚŝŽŶƐĨŽƌƚŚĞWƌŽũĞĐƚ͕ϵϱƚŚ ƉĞƌĐĞŶƚŝůĞďƌĞĂƚŚŝŶŐƌĂƚĞƐ͕ĂŶĚϯϬͲǇĞĂƌĂǀĞƌĂŐŝŶŐƚŝŵĞ͘

5.3 EŽŶͲĂƌĐŝŶŽŐĞŶŝĐ,ĂǌĂƌĚƐ
dŚĞƐŝŐŶŝĨŝĐĂŶĐĞƚŚƌĞƐŚŽůĚƐĨŽƌdĞǆƉŽƐƵƌĞĂůƐŽƌĞƋƵŝƌĞĂŶĞǀĂůƵĂƚŝŽŶŽĨŶŽŶͲĐĂŶĐĞƌƌŝƐŬƐƚĂƚĞĚŝŶƚĞƌŵƐ ŽĨĂŚĂǌĂƌĚŝŶĚĞǆ͘EŽŶͲĐĂŶĐĞƌĐŚƌŽŶŝĐŝŵƉĂĐƚƐĂƌĞĐĂůĐƵůĂƚĞĚďǇĚŝǀŝĚŝŶŐƚŚĞĂŶŶƵĂůĂǀĞƌĂŐĞĐŽŶĐĞŶƚƌĂƚŝŽŶ ďǇƚŚĞZ
> ĨŽƌƚŚĂƚƐƵďƐƚĂŶĐĞ͘dŚĞZ
>ŝƐĚĞĨŝŶĞĚĂƐƚŚĞĐŽŶĐĞŶƚƌĂƚŝŽŶĂƚǁŚŝĐŚŶŽĂĚǀĞƌƐĞŶŽŶͲĐĂŶĐĞƌ ŚĞĂůƚŚĞĨĨĞĐƚƐĂƌĞĂŶƚŝĐŝƉĂƚĞĚ͘dŚĞƉŽƚĞŶƚŝĂůĨŽƌĂĐƵƚĞŶŽŶͲĐĂŶĐĞƌŚĂǌĂƌĚƐŝƐĞǀĂůƵĂƚĞĚďǇĐŽŵƉĂƌŝŶŐƚŚĞ ŵĂǆŝŵƵŵƐŚŽƌƚͲƚĞƌŵĞǆƉŽƐƵƌĞůĞǀĞůƚŽĂŶĂĐƵƚĞZ
>͘Z
>ƐĂƌĞĚĞƐŝŐŶĞĚƚŽƉƌŽƚĞĐƚƐĞŶƐŝƚŝǀĞŝŶĚŝǀŝĚƵĂůƐ
ǁŝƚŚŝŶƚŚĞƉŽƉƵůĂƚŝŽŶ͘dŚĞĐĂůĐƵůĂƚŝŽŶŽĨĂĐƵƚĞŶŽŶͲĐĂŶĐĞƌŝŵƉĂĐƚƐŝƐƐŝŵŝůĂƌƚŽƚŚĞƉƌŽĐĞĚƵƌĞĨŽƌĐŚƌŽŶŝĐ ŶŽŶͲĐĂŶĐĞƌŝŵƉĂĐƚƐ͘
ĐƵƚĞĂŶĚĐŚƌŽŶŝĐŝŵƉĂĐƚƐĂƌĞƐŚŽǁŶŝŶdĂďůĞϱ͗ŚƌŽŶŝĐĂŶĚĐƵƚĞ,ĂǌĂƌĚƐ͘ŶĂĐƵƚĞŽƌĐŚƌŽŶŝĐŚĂǌĂƌĚ ŝŶĚĞǆŽĨϭ͘ϬŝƐĐŽŶƐŝĚĞƌĞĚŝŶĚŝǀŝĚƵĂůůǇƐŝŐŶŝĨŝĐĂŶƚ͘dŚĞŚĂǌĂƌĚŝŶĚĞǆŝƐĐĂůĐƵůĂƚĞĚďǇĚŝǀŝĚŝŶŐƚŚĞĂĐƵƚĞŽƌ ĐŚƌŽŶŝĐĞǆƉŽƐƵƌĞďǇƚŚĞƌĞĨĞƌĞŶĐĞĞǆƉŽƐƵƌĞůĞǀĞů͘dŚĞŚŝŐŚĞƐƚŵĂǆŝŵƵŵĐŚƌŽŶŝĐĂŶĚĂĐƵƚĞŚĂǌĂƌĚŝŶĚĞǆ ĨƌŽŵ ƚŚĞ WƌŽũĞĐƚ ǁŽƵůĚ ďĞ Ϭ͘ϬϬϬϮ ĂŶĚ Ϭ͘ϬϬϭϯ͕ ƌĞƐƉĞĐƚŝǀĞůǇ͘ dŚĞƌĞĨŽƌĞ͕ ŶŽŶͲĐĂƌĐŝŶŽŐĞŶŝĐ ŚĂǌĂƌĚƐ ĂƌĞ ĐĂůĐƵůĂƚĞĚƚŽďĞǁŝƚŚŝŶĂĐĐĞƉƚĂďůĞůŝŵŝƚƐĂŶĚĂůĞƐƐƚŚĂŶƐŝŐŶŝĨŝĐĂŶƚŝŵƉĂĐƚǁŽƵůĚŽĐĐƵƌ͘ dĂďůĞϱ͗ŚƌŽŶŝĐĂŶĚĐƵƚĞ,ĂǌĂƌĚƐ

ŵŝƐƐŝŽŶƐ^ŽƵƌĐĞƐ ŚƌŽŶŝĐ,ĂǌĂƌĚ ĐƵƚĞ,ĂǌĂƌĚ
KƉĞƌĂƚŝŽŶĂůdƌƵĐŬƐ Ϭ͘ϬϬϬϮ Ϭ͘ϬϬϭϯ
^YDdŚƌĞƐŚŽůĚ ϭ͘Ϭ ϭ͘Ϭ
dŚƌĞƐŚŽůĚ
ǆĐĞĞĚĞĚ͍ EŽ EŽ
ZĞĨĞƌƚŽƉƉĞŶĚŝǆ͗DŽĚĞůŝŶŐĂƚĂ͘
ŽŶĐůƵƐŝŽŶ
Ɛ ĚĞƐĐƌŝďĞĚ ĂďŽǀĞ͕ ŝŵƉĂĐƚƐ ƌĞůĂƚĞĚ ƚŽ ĐĂŶĐĞƌ ƌŝƐŬ ǁŽƵůĚ ďĞ ůĞƐƐ ƚŚĂŶ ƐŝŐŶŝĨŝĐĂŶƚ͘ ĚĚŝƚŝŽŶĂůůǇ͕ ŶŽŶͲ ĐĂƌĐŝŶŽŐĞŶŝĐŚĂǌĂƌĚƐĂƌĞĐĂůĐƵůĂƚĞĚƚŽďĞǁŝƚŚŝŶĂĐĐĞƉƚĂďůĞůŝŵŝƚƐ͘/ƚƐŚŽƵůĚďĞŶŽƚĞĚƚŚĂƚƚŚĞŝŵƉĂĐƚƐ ĂƐƐĞƐƐ ƚŚĞ WƌŽũĞĐƚ͛Ɛ ŝŶĐƌĞŵĞŶƚĂů ĐŽŶƚƌŝďƵƚŝŽŶ ƚŽ ŚĞĂůƚŚ ƌŝƐŬ ŝŵƉĂĐƚƐ͕ ĐŽŶƐŝƐƚĞŶƚ ǁŝƚŚ ƚŚĞ ^YD 391
ŝƚǇŽĨKŶƚĂƌŝŽ ŽŶsŝĞǁWƌŽũĞĐƚ
,ĞĂůƚŚZŝƐŬƐƐĞƐƐŵĞŶƚ
ƵŐƵƐƚϮϬϮϭ
WĂŐĞͮϮϬ
ŐƵŝĚĂŶĐĞĂŶĚŵĞƚŚŽĚŽůŽŐǇ͘dŚĞ^YDŚĂƐŶŽƚĞƐƚĂďůŝƐŚĞĚƐĞƉĂƌĂƚĞĐƵŵƵůĂƚŝǀĞƚŚƌĞƐŚŽůĚƐĂŶĚĚŽĞƐ ŶŽƚ ƌĞƋƵŝƌĞĐŽŵďŝŶŝŶŐŝŵƉĂĐƚƐ ĨƌŽŵĐƵŵƵůĂƚŝǀĞƉƌŽũĞĐƚƐ͘dŚĞ^YDĐŽŶƐŝĚĞƌƐƉƌŽũĞĐƚƐ ƚŚĂƚĚŽŶŽƚ ĞǆĐĞĞĚ ƚŚĞƉƌŽũĞĐƚͲƐƉĞĐŝĨŝĐ ƚŚƌĞƐŚŽůĚƐ ƚŽŐĞŶĞƌĂůůǇŶŽƚďĞĐƵŵƵůĂƚŝǀĞůǇƐŝŐŶŝĨŝĐĂŶƚ͘ϴ dŚĞƌĞĨŽƌĞ͕ŝŵƉĂĐƚƐ ƌĞůĂƚĞĚƚŽŚĞĂůƚŚƌŝƐŬĨƌŽŵƚŚĞWƌŽũĞĐƚ ǁŽƵůĚďĞůĞƐƐƚŚĂŶƐŝŐŶŝĨŝĐĂŶƚ͘ DŝƚŝŐĂƚŝŽŶDĞĂƐƵƌĞƐ͗ EŽŵŝƚŝŐĂƚŝŽŶŝƐƌĞƋƵŝƌĞĚ͘
>ĞǀĞůŽĨ^ŝŐŶŝĨŝĐĂŶĐĞ͗ >ĞƐƐƚŚĂŶƐŝŐŶŝĨŝĐĂŶƚŝŵƉĂĐƚ͘
ϴ ^ŽƵƚŚŽĂƐƚŝƌYƵĂůŝƚǇDĂŶĂŐĞŵĞŶƚŝƐƚƌŝĐƚ͕tŚŝƚĞWĂƉĞƌŽŶWŽƚĞŶƚŝĂůŽŶƚƌŽů^ƚƌĂƚĞŐŝĞƐƚŽĚĚƌĞƐƐƵŵƵůĂƚŝǀĞ/ŵƉĂĐƚƐĨƌŽŵ ŝƌWŽůůƵƚŝŽŶ͕ƵŐƵƐƚϮϬϬϯ͘
392
ŝƚǇŽĨKŶƚĂƌŝŽ ŽŶsŝĞǁWƌŽũĞĐƚ
,ĞĂůƚŚZŝƐŬƐƐĞƐƐŵĞŶƚ
ƵŐƵƐƚϮϬϮϭ
WĂŐĞͮϮϭ
6 REFERENCES
ϭ͘ ĂůŝĨŽƌŶŝĂŝƌWŽůůƵƚŝŽŶŽŶƚƌŽůKĨĨŝĐĞƌƐƐƐŽĐŝĂƚŝŽŶ͕,ĞĂůƚŚZŝƐŬƐƐĞƐƐŵĞŶƚ ĨŽƌWƌŽƉŽƐĞĚ>ĂŶĚhƐĞ WƌŽũĞĐƚƐ͕:ƵůǇϮϬϬϵ͘
Ϯ͘ ĂůŝĨŽƌŶŝĂŝƌZĞƐŽƵƌĐĞƐŽĂƌĚ͕
D&ϮϬϭϳtĞďĂƚĂďĂƐĞ͕ǁǁǁ͘Ăƌď͘ĐĂ͘ŐŽǀͬĞŵĨĂĐͬϮϬϭϳ͕ͬĂĐĐĞƐƐĞĚ &ĞďƌƵĂƌǇ ϮϬϮϭ͘
ϯ͘ ĂůŝĨŽƌŶŝĂ ŝƌ ZĞƐŽƵƌĐĞƐ ŽĂƌĚ͕ ZŝƐŬ ZĞĚƵĐƚŝŽŶ WůĂŶ ƚŽ ZĞĚƵĐĞ WĂƌƚŝĐƵůĂƚĞ DĂƚƚĞƌ ŵŝƐƐŝŽŶƐ ĨƌŽŵ
ŝĞƐĞůͲ&ƵĞůĞĚ
ŶŐŝŶĞƐĂŶĚsĞŚŝĐůĞƐ͕KĐƚŽďĞƌϮϬϬϬ͘
ϰ͘ ĂůŝĨŽƌŶŝĂ KĨĨŝĐĞ ŽĨ
ŶǀŝƌŽŶŵĞŶƚĂů ,ĞĂůƚŚ ,ĂǌĂƌĚ ƐƐĞƐƐŵĞŶƚ͕ ŝƌ dŽǆŝĐƐ ,Žƚ ^ƉŽƚƐ WƌŽŐƌĂŵ ZŝƐŬ ƐƐĞƐƐŵĞŶƚ'ƵŝĚĞůŝŶĞƐ͕ƵŐƵƐƚϮϬϬϯ͘
ϱ͘ ĂůŝĨŽƌŶŝĂ KĨĨŝĐĞ ŽĨ
ŶǀŝƌŽŶŵĞŶƚĂů ,ĞĂůƚŚ ,ĂǌĂƌĚ ƐƐĞƐƐŵĞŶƚ͕ ŝƌ dŽǆŝĐƐ ,Žƚ ^ƉŽƚƐ WƌŽŐƌĂŵ ZŝƐŬ ƐƐĞƐƐŵĞŶƚ'ƵŝĚĂŶĐĞDĂŶƵĂůĨŽƌWƌĞƉĂƌĂƚŝŽŶŽĨ,ĞĂůƚŚZŝƐŬƐƐĞƐƐŵĞŶƚƐ͕&ĞďƌƵĂƌǇϮϬϭϱ͘ ϲ͘ ĂůŝĨŽƌŶŝĂ KĨĨŝĐĞ ŽĨ
ŶǀŝƌŽŶŵĞŶƚĂů ,ĞĂůƚŚ ,ĂǌĂƌĚ ƐƐĞƐƐŵĞŶƚ͕ ƌĂĨƚ Ăů
ŶǀŝƌŽŶ^ĐƌĞĞŶ ϰ͘Ϭ͕
ŚƚƚƉƐ͗ͬͬŽĞŚŚĂ͘ĐĂ͘ŐŽǀͬĐĂůĞŶǀŝƌŽƐĐƌĞĞŶͬƌĞƉŽƌƚͬĚƌĂĨƚͲĐĂůĞŶǀŝƌŽƐĐƌĞĞŶͲϰϬ͕ĂĐĐĞƐƐĞĚ&ĞďƌƵĂƌǇϭϳ͕ϮϬϮϭ͘ ϳ͘ ,ĞĂůƚŚ
ĨĨĞĐƚƐ/ŶƐƚŝƚƵƚĞ͕ĚǀĂŶĐĞĚ ŽůůĂďŽƌĂƚŝǀĞ
ŵŝƐƐŝŽŶƐ ^ƚƵĚǇ ;
^Ϳ͗ >ŝĨĞƚŝŵĞ ĂŶĐĞƌĂŶĚEŽŶͲ
ĂŶĐĞƌƐƐĞƐƐŵĞŶƚŝŶZĂƚƐ
ǆƉŽƐĞĚƚŽEĞǁͲdĞĐŚŶŽůŽŐǇŝĞƐĞů
ǆŚĂƵƐƚ͕:ĂŶƵĂƌǇϮϬϭϱ͘
ϴ͘ <ŝŵůĞǇͲ,ŽƌŶ ĂŶĚƐƐŽĐŝĂƚĞƐ͕/ŶĐ͕͘KŶƚĂƌŝŽʹ ŽŶsŝĞǁdƌŝƉ'ĞŶĞƌĂƚŝŽŶ͕DĂǇ ϮϬϮϭ͘ ϵ͘ >ĂŬĞƐ
ŶǀŝƌŽŶŵĞŶƚĂů͕
ZDKsŝĞǁ'ĂƵƐƐŝĂŶWůƵŵĞŝƌŝƐƉĞƌƐŝŽŶDŽĚĞů͕sĞƌƐŝŽŶϵ͘ϵ͘Ϭ͘ ϭϬ͘ ZĂůƉŚ WƌŽƉƉĞƌ͕ Ğƚ Ăů͕͘ ŵďŝĞŶƚ ĂŶĚ
ŵŝƐƐŝŽŶ dƌĞŶĚƐ ŽĨ dŽǆŝĐ ŝƌ ŽŶƚĂŵŝŶĂŶƚƐ ŝŶ ĂůŝĨŽƌŶŝĂ͕

ŶǀŝƌŽŶŵĞŶƚĂů^ĐŝĞŶĐĞĂŶĚdĞĐŚŶŽůŽŐǇ͕^ĞƉƚĞŵďĞƌϮϬϭϱ͘
ϭϭ͘ ^ŽƵƚŚŽĂƐƚŝƌYƵĂůŝƚǇDĂŶĂŐĞŵĞŶƚŝƐƚƌŝĐƚ͕ŝƌdŽǆŝĐƐŽŶƚƌŽůWůĂŶĨŽƌƚŚĞEĞǆƚdĞŶzĞĂƌƐ͕DĂƌĐŚ ϮϬϬϬ͘
ϭϮ͘ ^ŽƵƚŚŽĂƐƚŝƌYƵĂůŝƚǇDĂŶĂŐĞŵĞŶƚŝƐƚƌŝĐƚ͕ĚĚĞŶĚƵŵƚŽƚŚĞ ŝƌdŽǆŝĐƐŽŶƚƌŽůWůĂŶ͕DĂƌĐŚϮϬϬϰ͘ ϭϯ͘ ^ŽƵƚŚ ŽĂƐƚ ŝƌ YƵĂůŝƚǇ DĂŶĂŐĞŵĞŶƚ ŝƐƚƌŝĐƚ͕ ^YD DĞƚĞŽƌŽůŽŐŝĐĂů ĂƚĂ ĨŽƌ ZDK͕
ǁǁǁ͘ĂƋŵĚ͘ŐŽǀͬŚŽŵĞͬĂŝƌͲƋƵĂůŝƚǇͬĂŝƌͲƋƵĂůŝƚǇͲĚĂƚĂͲƐƚƵĚŝĞƐͬŵĞƚĞŽƌŽůŽŐŝĐĂůͲĚĂƚĂͬĂĞƌŵŽĚͲƚĂďůĞͲϭ͕ ĂĐĐĞƐƐĞĚ&ĞďƌƵĂƌǇ ϭϳ͕ϮϬϮϭ͘
ϭϰ͘ ^ŽƵƚŚŽĂƐƚŝƌYƵĂůŝƚǇDĂŶĂŐĞŵĞŶƚŝƐƚƌŝĐƚ͕DƵůƚŝƉůĞŝƌdŽǆŝĐƐ ǆƉŽƐƵƌĞ ^ƚƵĚǇ;Dd
^/sͿ͕DĂǇϭ͕
ϮϬϭϱ͘
ϭϱ͘ ^ŽƵƚŚ ŽĂƐƚ ŝƌ YƵĂůŝƚǇ DĂŶĂŐĞŵĞŶƚ ŝƐƚƌŝĐƚ͕ ^YD DŽĚĞůŝŶŐ 'ƵŝĚĂŶĐĞ ĨŽƌ ZDK͕
ǁǁǁ͘ĂƋŵĚ͘ŐŽǀͬŚŽŵĞͬĂŝƌͲƋƵĂůŝƚǇͬĂŝƌͲƋƵĂůŝƚǇͲĚĂƚĂͲƐƚƵĚŝĞƐͬŵĞƚĞŽƌŽůŽŐŝĐĂůͲĚĂƚĂͬŵŽĚĞůŝŶŐͲŐƵŝĚĂŶĐĞ͕ ĂĐĐĞƐƐĞĚ&ĞďƌƵĂƌǇϭϳ͕ϮϬϮϭ͘
ϭϲ͘ ^ŽƵƚŚŽĂƐƚŝƌYƵĂůŝƚǇDĂŶĂŐĞŵĞŶƚŝƐƚƌŝĐƚ͕tŚŝƚĞWĂƉĞƌŽŶWŽƚĞŶƚŝĂůŽŶƚƌŽů^ƚƌĂƚĞŐŝĞƐƚŽĚĚƌĞƐƐ ƵŵƵůĂƚŝǀĞ/ŵƉĂĐƚƐĨƌŽŵŝƌWŽůůƵƚŝŽŶ͕ƵŐƵƐƚϮϬϬϯ͘
ϭϳ͘ hŶŝƚĞĚ ^ƚĂƚĞƐ
ŶǀŝƌŽŶŵĞŶƚĂů WƌŽƚĞĐƚŝŽŶ ŐĞŶĐǇ͕
ǆƉŽƐƵƌĞ &ĂĐƚŽƌƐ ,ĂŶĚďŽŽŬ͗ ϮϬϭϭ
ĚŝƚŝŽŶ͕
^ĞƉƚĞŵďĞƌϮϬϭϭ͘
ϭϴ͘ hŶŝƚĞĚ^ƚĂƚĞƐ
ŶǀŝƌŽŶŵĞŶƚĂůWƌŽƚĞĐƚŝŽŶŐĞŶĐǇ;h͘^͘
WͿ͕ŽŶƚƌŽůŽĨŝƌWŽůůƵƚŝŽŶĨƌŽŵEĞǁDŽƚŽƌ
sĞŚŝĐůĞƐ͗ ,ĞĂǀǇͲƵƚǇ
ŶŐŝŶĞ ĂŶĚ sĞŚŝĐůĞ ^ƚĂŶĚĂƌĚƐ ĂŶĚ ,ŝŐŚǁĂǇ ŝĞƐĞů &ƵĞů ^ƵůĨƵƌ ŽŶƚƌŽů ZĞƋƵŝƌĞŵĞŶƚƐ͕&ŝŶĂůZƵůĞ͘ϰϬŽĚĞŽĨ&ĞĚĞƌĂůZĞŐƵůĂƚŝŽŶƐ͕WĂƌƚƐϲϵ͕ϴϬ͕ĂŶĚϴϲ͘:ĂŶƵĂƌǇϭϴ͕ϮϬϬϭ͘ 393
ƉƉĞŶĚŝǆ
DŽĚĞůŝŶŐĂƚĂ
394
WW
E/y
W,^
/
Es/ZKED
Ed>^/d
^^
^^D
Ed
395
S:\Clients\2021-0429-72ONT2-Phase I ESA Report
Phase I Environmental
Site Assessment
South Bon View Avenue and East Cedar Street
Ontario, California
prepared for:

Panattoni Development Company, Inc.
7887 East Belleview Avenue, Suite 475
Denver, Colorado
April 2021
396
S:\Clients\2021-0429-72ONT2-Phase I ESA Report
29 April 2021
Project No. 72ONT2
Trevor McKune
Associate Risk Manager
Panattoni Development Company, Inc.
7887 E. Belleview Avenue, Suite 475
Denver, Colorado 80111
Subject: Phase I Environmental Site Assessment
Northwest Corner of South Bon View Avenue and East Cedar Street Ontario, California
Dear Mr. McKune:

Orion Environmental Inc., at the request of Panattoni Development Company, Inc. (Panattoni), has prepared this report documenting a Phase I Environmental Target Property Assessment for the approximately 7.5-acre property located at 21 through 52, 1906, 1914, 1930, 1944, and 1948 South Bon View Avenue "TTFTTPSnT1BSDFM/VNCFST 1050-441-05, 1050-441-09, 1050-441-11 through 1050-441-62, and 1050-441-73) in Ontario, California. We appreciate the opportunity to provide environmental services to Panattoni.

If you have questions or comments regarding this report, please contact Steve Hash at 562/988-2755 or [email protected].

Very truly yours,
ORION ENVIRONMENTAL INC.

Steve Hash, P.E. Mike Purchase, P.E.

Senior Project Engineer Vice President
397
S:\Clients\2021-0429-72ONT2-Phase I ESA Report ES-1

EXECUTIVE SUMMARY
Orion Environmental Inc. (Orion), at the request of Panattoni Development Company, Inc. (Panattoni), performed a Phase I Environmental Target Property Assessment (ESA) and Tier 1 Vapor Encroachment Screening (VES) of the property located at 21 through 52, 1906, 1914, 1930, 1944, and 1948 South Bon View Avenue, Ontario, California (Target Property). The Target Property consists of multiple parcels with an area of approximately 7.5-acres identified by "TTFTTPSnT1BSDFM/VNCFST "1/nT
1050-441-05, 1050-441-09, 1050-441-11
through 1050-441-62, and 1050-441-73. The Target Property is located in a developed area of Ontario predominantly characterized by industrial developments.

According to historical documentation, the Target Property was used for agricultural QVSQPTFTGSPN BUMFBTUUIFnTVOUJMUIFnT)JTUorical operations at adjoining or nearby properties appear to have included orchards, but Orion did not identify any records indicating pesticide-intensive agricultural operations at the Target Property. The Target Property was partially developed in the nTBOEDVSSFOUMZJODMVEFT UXPDPNNFSDJBM
condominiums with various commercial/industrial operations, (2) a metals fabrication operation, and (3) a single-family residence. The northern and northeastern portions of the Target Property have remained undeveloped.

Orion conducted this Phase I ESA in general accordance with the scope and limitations of ASTM Standard Practice for ESAs (E1527-13) unless otherwise noted. Similarly, the Vapor 4DSFFOJOH&WBMVBUJPOXBTDPOEVDUFEJOBDDPSEBODFXJUI"45.nTStandard Guide for Vapor Encroachment Screening on a Property Involved in Real Estate Transactions (E2600-15). The purpose of the Phase I ESA was to identify recognized environmental conditions (RECs) and vapor encroachment conditions (VECs) as defined in the aforementioned ASTM Standards.

The ESA included a review of local regulatory agency files, review of State and federal regulatory databases, Target Property reconnaissance, and interviews with current employees at the Target Property.

Orion did not identify any RECs, historical RECs (HREC), controlled RECs (CRECs), or VECs during the Phase I ESA based on historical Target Property use, historical documentation, interviews, and Target Property reconnaissance. Orion observed an apparently fresh watersand mixture on the paved ground surface of the Target Property near previously decommissioned metals polishing equipment that contained caked sand/mud. Orion 398
S:\Clients\2021-0429-72ONT2-Phase I ESA Report ES-2
identified the presence of this mixture as a de minimis condition because of the potential presence of metals. Historical records indicated that hazardous materials and wastes were present at the Target Property including halogenated solvents, but no records identified a release of chemicals to the environment. Similarly, hazardous waste oil was observed in labeled drums on secondary containment during reconnaissance, although no leaks or staining were observed in the vicinity of the drums.
#BTFEPOJOGPSNBUJPOGSPNUIF4BO#FSOBSEJOP$PVOUZ"TTFTTPSnT0GGJDF UIFTJOHMF-family
residence at the Target Property was constructed in 1979, while the remaining industrial TUSVDUVSFT XFSF CVJMUJO UIF nT BOE nT Asbestos and lead sampling of existing structures at 1944 and 1948 South Bon View Avenue were performed by others during December 2018. The results indicated that (1) non-friable asbestos was present in 50 percent of roofing material samples collected and (2) lead-based paint does not appear to be present in painted surfaces.

After completing this Phase I ESA, Orion recommends the following:

1. A hazardous materials survey should be performed prior to demolition of existing structures to further evaluate the potential presence of asbestos or lead at the Target Property.

2. Based on the historical use of halogenated solvents, petroleum hydrocarbons, and metals, a Soil Management Plan should be prepared for potential future site redevelopment activities.

3. Samples of the caked sand/mud and water-sand mixture should be collected and analyzed for metals to appropriately characterize and manage these materials before removal and offsite disposal.

The Executive Summary section of this report is only intended to represent a brief summary of findings and is not a detailed account of all the information documented in this report.

The report should be reviewed in its entirety before drawing any final conclusions as to potential environmental conditions associated with the Target Property. 399
S:\Clients\2021-0429-72ONT2-Phase I ESA Report i

TABLE OF CONTENTS
EXECUTIVE SUMMARY .................................................................................................... I

1.0 INTRODUCTION ............................................................................................... 1-1

1.1 Objectives ............................................................................................... 1-1

1.2 Scope of Work ......................................................................................... 1-2

1.3 ASTM Non-Scope Considerations ............................................................ 1-3

2.0 SOURCES OF INFORMATION ........................................................................... 2-1

3.0 SITE DESCRIPTION ............................................................................................ 3-1

3.1 Target Property Location and Vicinity ...................................................... 3-1

3.2 Physical Setting ........................................................................................ 3-2

3.3 Target Property Geology and Hydrogeology ............................................. 3-2

3.4 Nearby Water and Oil and Gas Wells ...................................................... 3-3

4.0 SITE RECONNAISSANCE AND INTERVIEWS...................................................... 4-1

4.1 Target Property Reconnaissance Methodology and Observations ............. 4-1

4.1.1 Building Interior and Exterior ........................................................ 4-1

4.1.2 Utilities ......................................................................................... 4-3

4.1.3 Chemicals and Materials Usage..................................................... 4-4

4.1.4 Wastes .......................................................................................... 4-4

4.1.5 Adjacent Properties ....................................................................... 4-5

4.2 Interviews ................................................................................................ 4-5

5.0 RECORDS REVIEW ............................................................................................. 5-1

5.1 Sanborn Map Review ............................................................................... 5-1

5.2 Historical Aerial Photography Review ...................................................... 5-1

5.3 Historical Topographic Map Review ........................................................ 5-2

5.4 City Directory Review .............................................................................. 5-3

5.5 Database Review ..................................................................................... 5-5

5.5.1 1914 and 1930 South Bon View Avenue (Target Property) ............ 5-8

5.5.2 1944 South Bon View Avenue (Target Property) ............................ 5-9

5.5.3 R&I Industries, Inc. ...................................................................... 5-10

5.5.4 Greenline Laboratories, Inc. ........................................................ 5-10

5.5.5 Sky Systems Co., Inc. .................................................................. 5-11

5.5.6 Tom Guilfoyle r 840 E. Francis Street .......................................... 5-11

5.5.7 Riviera Tube Bending & Mfg. Co. ................................................ 5-11

5.5.8 Lighting Resources, LLC .............................................................. 5-12

5.5.9 Warfield Electric Co., Inc. ........................................................... 5-13

5.5.10 Allied Mechanical Products ........................................................ 5-13

5.5.11 Southtown Industrial Park ........................................................... 5-14

5.5.12 Ontario Drums ............................................................................ 5-14 400
S:\Clients\2021-0429-72ONT2-Phase I ESA Report ii

5.5.13 Oakwood Interiors Site ................................................................ 5-15

5.5.14 Sunshine Cleaners r Driftwood Village ........................................ 5-16

5.5.15 Woodcrest Elementary/Jr. High School ........................................ 5-17

5.6 Local Agency Review............................................................................. 5-17

5.7 Vapor Encroachment Screening (VES) .................................................... 5-18

6.0 NON-SCOPE CONSIDERATIONS ...................................................................... 6-1

7.0 SUMMARY AND CONCLUSIONS ..................................................................... 7-1

8.0 REFERENCES ...................................................................................................... 8-1

9.0 RELIANCE AND LIMITATIONS ........................................................................... 9-1

10.0 ENVIRONMENTAL PROFESSIONAL STATEMENT ............................................ 10-1 List of Tables
1 Database Report Table
List of Figures
1 Target Property Location Map
2 Target Property Plan
3 Target Property Vicinity
List of Appendices
A List of Federal and State Regulatory Databases
B ERIS Database Report
C User Questionnaire
D Target Property Reconnaissance Photographs
E Local Agency Files
F Tier 1 Vapor Encroachment Screening Report
401
S:\Clients\2021-0429-72ONT2-Phase I ESA Report 1-1

1.0 INTRODUCTION
Orion was retained by Panattoni to perform a Phase I ESA at the property located at 21 through 52, 1906, 1914, 1930, 1944, and 1948 South Bon View Avenue, Ontario, California (Target Property; Figures 1 and 2). The Target Property consists of multiple parcels with an area of approximately 7.5-acres identified by APNs 1050-441-05, 1050- 441-09, 1050-441-11 through 1050-441-62, and 1050-441-73. The work was conducted in general accordance with OrionnT proposal dated 3 March 2021 and approved by Panattoni on 7 April 2021. The following sections summarize the Phase I ESA objectives and scope of work including potential non-scope considerations.

1.1 Objectives
The objectives of the Phase I ESA were to evaluate whether the Target Property may have been impacted by releases of hazardous materials from past or present activities at the Target Property or adjacent and nearby properties, which are considered Recognized Environmental Conditions (RECs). ASTM Standard E1527-13 defines a REC as:

REC: oUIF QSFTFODF PS MJLFMZ QSFTFODF PG BOZ IB[BSEPVT TVCTUBODFT PS petroleum products in, on, or at a property: (1) due to release to the environment; (2) under conditions indicative of a release to the environment; or (3) under conditions that pose a material threat of a future release to the environment. De minimis conditions are not recognized environmental DPOEJUJPOTp
The term REC includes hazardous substances or petroleum products even under conditions in compliance with laws. The term is not intended to include de minimis conditions that generally do not pose a material risk of harm to public health or the environment and that generally would not be the subject of an enforcement action if brought to the attention of appropriate government agencies. An example of de minimis conditions would include accidental leaks and spills associated with current Target Property operations.

In addition, the Phase I ESA was conducted to identify controlled or historical RECs (CRECs and HRECs, respectively) at the Target Property or surrounding properties. ASTM Standard E1527-13 defines CRECs and HRECs as the following:

CREC: oBSFDPHOJ[FEFOWJSPONFOUBMDPOEJUJPOSFTVMUJOHGSPNBQBTUSFMFBTFPG hazardous substances or petroleum products that has been addressed to the 402
S:\Clients\2021-0429-72ONT2-Phase I ESA Report 1-2
satisfaction of the applicable regulatory authority (for example, as evidenced by the issuance of a no further action letter or equivalent, or meeting riskbased criteria established by regulatory authority), with hazardous substances or petroleum products allowed to remain in place subject to the implementation of required controls (for example, property use restrictions, BDUJWJUZBOEVTFMJNJUBUJPOT
JOTUJUVUJPOBMDPOUSPMT
PSFOHJOFFSJOHDPOUSPMT
p
HREC: oBQBTU SFMFBTFof any hazardous substances or petroleum products that has occurred in connection with the property and has been addressed to the satisfaction of the applicable regulatory authority or meeting unrestricted use criteria established by a regulatory authority, without subjecting the property to any required controls (for example, property use restrictions, activity and use limitBUJPOT
JOTUJUVUJPOBMDPOUSPMT
PSFOHJOFFSJOHDPOUSPMT
p
Data gaps may have been identified during the Phase I ESA process and are discussed later in this report. ASTM Standard E1527-13 defines data gaps as:

Data Gap: oBMBDLPSJOBCJMJUZUPobtain information required by this practice despite good faith efforts by the environmental professional to gather such information. Data gaps may result from incompleteness in any of the activities required by this practice, including, but not limited to site reconnaissance (for example, an inability to conduct the site visit), and interviews (for example, an inability to interview the key site manager, regulatory officials, etc.).

A Tier 1 Vapor Encroachment Screening (VES) was conducted to identify any Vapor Encroachment Conditions (VECs) present at the Target Property or resulting from adjacent or nearby properties. ASTM Standard E2600-15 defines VECs as oUIFQSFTFODF PSMJLFMZ presence of chemical of concern vapors in the vadose zone of the target property caused by the release of vapors from contaminated soil and/or groundwater on or near the target QSPQFSUZBTJEFOUJGJFECZ5JFSPS5JFSQSPDFEVSFTp Tier 1 Screening is conducted using information gathered during the Phase I ESA and is used to identify the presence of VECs at the Target Property. Tier 2 Screening is conducted if a VEC is identified by the Tier 1 Screening and would include numeric screening criteria to provide greater certainty to the existence of a VEC.

1.2 Scope of Work
To meet these objectives, Orion conducted the following scope of work in accordance with ASTM Standards E1527-13 and E2600-15 unless otherwise noted:

Target Property and vicinity reconnaissance
403
S:\Clients\2021-0429-72ONT2-Phase I ESA Report 1-3

Interview(s) with Target Property owner representative(s)

Review of historical information

Review of State and federal environmental database information

Preparation of this report.

1.3 ASTM Non-Scope Considerations
ASTM non-scope considerations are sometimes assessed concurrently with a Phase I ESA, but XFSFOPUJODMVEFEJO0SJPOnTBQQSPWFETDPQFPGXPSLEFGJOFEJOUIFBGPSFNFOUJPOFE proposal. Examples of non-scope considerations include:

Asbestos-containing building materials
Health and safety

Lead-based paint
Industrial hygiene

Lead in drinking water
Indoor air quality

Radon
Mold

Non-liquid polychlorinated biphenyls
Cultural and historic resources

Regulatory compliance
Ecological resources

Diffuse anthropogenic pollution
Endangered species

Biological agents
Wetlands

404
S:\Clients\2021-0429-72ONT2-Phase I ESA Report 2-1

2.0 SOURCES OF INFORMATION
Orion used various sources of information to perform the Phase I ESA for the Target Property.

Historical documentation was obtained through Environmental Risk Information Services (ERIS), of Toronto, Ontario, Canada. ERIS searched databases for historical Sanborn maps, city directories, topographic maps, aerial photographs, water well records, and regulatory records using the search radii defined in ASTM Standards E1527-13 and E2600-15. To evaluate the potential presence of oil and natural gas wells, Orion reviewed the California Department of Conservation Division of Oil, Gas, and Geothermal Resources (DOGGR) online database. Similarly, Orion reviewed the California Department of Water Resources (DWR) online database of well completion reports. Orion also contacted the following agencies to request records related to the Target Property:
City of Ontario Fire Department
City of Ontario Building Department
City of Ontario Public Works Department
San Bernardino County Fire Protection District (Fire Department) San Bernardino County Environmental Health Services
4BO#FSOBSEJOP$PVOUZ"TTFTTPSnT0GGJDF.

In addition, Panattoni provided Orion with a copy of a Phase I ESA conducted for 1944 and 1948 South Bon View Avenue dated 26 November 2018. The Phase I ESA was prepared by Robin Environmental Management (REM) of San Dimas, California, on behalf of HK Ventures, Inc., UTR Diversified I, LLC, and UTR 1948 Bon View, LLC, of Brea, California (REM, 2018). Orion reviewed the Phase I ESA prepared by REM and incorporated findings into this report with references, as needed. No RECs were identified by REM as part of their Phase I ESA. Orion also reviewed a copy of an asbestos and lead survey report prepared for 1944 and 1948 South Bon View by Ambient Environmental, Inc. (Ambient), in December 2020 (Ambient, 2020).

Target Property reconnaissance was performed to observe for current land use conditions and physical indications of possible usage, storage, spillage, or dumping of hazardous, toxic, or petroleum substances on Target Property and, when possible, on adjacent properties. Historical documentation was compiled from the State and federal databases defined in ASTM Standards E1527-13 and E2600-15 (Appendix A). The results of historical 405
S:\Clients\2021-0429-72ONT2-Phase I ESA Report 2-2
database searches and agency correspondence are summarized in Section 5 of this Phase I ESA report
XIJMF&3*4nTEBUBCBTFSFQPSUJTJO"QQFOEJY#
406
S:\Clients\2021-0429-72ONT2-Phase I ESA Report 3-1

3.0 SITE DESCRIPTION
The following sections summarize the Target Property location and vicinity, physical setting, geology and hydrogeology, and nearby water and oil and gas wells.

3.1 Target Property Location and Vicinity
The Target Property is located at the northwest corner of South Bon View Avenue and East Cedar Street, Ontario, California, in an area predominantly characterized by mixed-use commercial and industrial properties (Figure 2). The Target Property consists of multiple parcels with an area of approximately 7.5-acres identified by APNs 1050-441-05, 1050-441-09, 1050-441-11 through 1050-441-62, and 1050-441-73. Based on information provided by Panattoni, a total of 13 entities own portions of the Target Property, which has been developed to include a commercial condominium with various commercial/industrial operations (1914 and 1930 South Bon View Avenue); metals fabrication company JLMC Inc. Custom Metals Fabricators (JLMC; 1944 South Bon View Avenue); and a single-family residence (1948 South Bon View Avenue). Remaining portions of the Target Property are undeveloped. The Target Property is adjoined by commercial/industrial properties to the north, south, and west and South Bon View Avenue to the east (Figure 2). The following table summarizes adjoining properties and properties in the immediate vicinity of the Target Property.

Direction
Relative to
Target Property Address
Parcel
Number Current Land Use
North 1856 S. Bon View Ave. 1050-431-26 Industrial
East 1915 S. Bon View Ave. 1050-451-04 Industrial
East 1945 S. Bon View Ave. 1050-451-03 Industrial
East-Southeast 901 E. Cedar St. 1050-451-07 Industrial
South 1954 & 1958 S. Bon View Ave. 1050-441-04 Industrial West-Southwest 799 E. Cedar St. 1050-441-72 Industrial
West 1999 S. Campus Ave. 1050-441-68 Industrial
West 1939 S. Campus Ave. 1050-441-65 Industrial
West 780 E. Francis St. 1050-431-17 Industrial
407
S:\Clients\2021-0429-72ONT2-Phase I ESA Report 3-2

3.2 Physical Setting
The average elevation of the Target Property is approximately 870 feet above mean sea level with the Target Property topography sloping downward towards the south-southeast based on U.S. Geological Survey (USGS) 7.5- and 15-minute topographic maps and Target Property reconnaissance. Outside of the existing buildings, the developed portion of the Target Property is predominantly covered in asphalt with grass and planters along the eastern property boundaries. The undeveloped portions of the Target Property at 21 through 52 and 1906 South Bon View Avenue (APNs 1050-441-31 through 1050-441-62 and 1050-441-09) are unpaved and predominantly grass. Surface and storm water are directed to two municipal drains near the eastern and southeastern boundaries of 1930 South Bon View Avenue.

3.3 Target Property Geology and Hydrogeology
USGS sources indicate that the Target Property is primarily underlain by Pliocene- to Holocene-aged quaternary alluvium and marine deposits. According to the Soil Survey Geographic database, the Target Property is underlain by Tujunga loamy sand, which is classified as Class A soils with high water transmission and low runoff potential when thoroughly wet. Based in subsurface investigations conducted at properties within the Phase I ESA search radius, shallow soils have been classified as silty sands and well- and poorly-graded sands to a maximum depth explored of 80 feet below ground surface (bgs; Clayton Group Services, Inc., 2006).

The Target Property is located within the South Coast Hydrologic Region, Upper Santa Ana Valley Basin, Chino Subbasin No. 8-002.01 (California Department of Water Resources, 2003). Groundwater within the subbasin is reported to drain southward toward the Santa Ana River. Based on subsurface investigations conducted at a property approximately

1.2 miles north of the Target Property, shallow groundwater in the area generally flows to the south-southwest with a depth to groundwater estimated as greater than 300 feet bgs (Geosyntec Consultants, 2021). For the purposes of the Phase I ESA, Orion assumed the groundwater flow direction beneath the Target Property as southwest. 408
S:\Clients\2021-0429-72ONT2-Phase I ESA Report 3-3

3.4 Nearby Water and Oil and Gas Wells
A total of 5 federal USGS wells and 78 well completion records were identified within 1 mile of the Target Property in historical records. Two records were identified in Public Water Systems Violations (PWSV) and Enforcement Data and Safe Drinking Water Information System (EDSDWIS) databases for Public Water System (PWS) No. CA3610034, which is part of the Ontario Municipal Utilities Company. The PWSV and EDSDWIS records were associated with 1425 South Bon View Avenue, which is the location of an Ontario Parks Department facility based on public mapping tools. Based on Geotracker, State Water Well No. 3610034-029 is also located at 1425 South Bon View Avenue and screened from 300 to 330 feet bgs and 342 to 368 feet bgs. During the 2014 sampling event, the contaminant of concern 1,2,3-tricloropropane was detected at a concentration equal to the California maximum contaminant level (MCL) of 0.005 micrograms per liter.

Remaining contaminants of concern (i.e., benzene, tetrachloroethane, trichloroethene, etc.) were either below detection limits or MCLs. The closest federal USGS monitoring location was listed as approximately 0.5-mile east-northeast of the Target Property and listed as a storm sewer drain. Remaining water wells are greater than 0.5 mile from the Target Property and are not considered a concern for the purposes of this Phase I ESA. Based on online DOGGR records, the Target Property is not within the administrative boundary of an oil field and no oil and gas wells were identified within 1 mile of the Target Property. 409
S:\Clients\2021-0429-72ONT2-Phase I ESA Report 4-1

4.0 SITE RECONNAISSANCE AND INTERVIEWS

4.1 Target Property Reconnaissance Methodology and Observations On 13 April 2021, Orion personnel conducted reconnaissance of the Target Property under the supervision of Mr. Larry Ramoneda of RamCo Sheet Metal and Jose Monge of JLMC.

The Target Property was observed for current land use conditions and physical indications of possible usage, storage, spillage, or dumping of hazardous substances or petroleum products on Target Property and, when possible, on adjacent properties.

Orion did not observe underground storage tanks (USTs); polychlorinated bi-phenyl (PCB)-containing equipment; active, inactive, or abandoned wells; floor drains, sumps, and drywells; odors; septic systems or cesspools; pools of liquid; pits, ponds, or lagoons; signs of stressed vegetation; or other petroleum product transmission/storage during reconnaissance. The following sections summarize Target Property reconnaissance observations with photographs in Appendix D.

4.1.1 Building Interior and Exterior
#BTFEPOJOGPSNBUJPOGSPNUIF4BO#FSOBSEJOP$PVOUZ"TTFTTPSnT0GGJDF UIFTJOHMF-family
residence at the Target Property was constructed in 1979, while the remaining industrial structures were built JOUIFnTBOEnT The following sections summarize the results PG0SJPOnTTJUFSFDPOOBJTTBODFBOEJOUFSWJFXTBTXFMMBT0SJPOnTSFWJFXPGQSFWJPVTBTCFTUPT and lead sampling performed at portions of the Target Property by others.

The existing commercial condominium buildings at 1914 and 1930 South Bon View Avenue (Buildings 1 and 2) are accessible by two paved driveways on the east sides of the property (Figure 2). Both driveways slope southeast away from the buildings and surrounding paved areas. The buildings are surrounded by paved areas that include vehicle parking and pedestrian walkways. Each building contains 10 individual units with offices, restrooms, and a garage for each unit (total of 20 units). The first and second stories of the northwest portion of the buildings contain office spaces and janitorial supply closets. Orion noted the tenants currently occupying each unit when this information was readily available based on signage. The following table summarizes the use of each unit and equipment stored at each location:
410
S:\Clients\2021-0429-72ONT2-Phase I ESA Report 4-2
Unit
Number Operation
(Tenant) Equipment/Chemicals Stored
1 X-Ray Photography
(Netshapes) X-Ray photography equipment and film development chemicals 2 and 3 Metals Machine Shop
(Materials Testing Lab) Fabrication equipment and oil/lubricant 4, 13, 14,
17 and 19
Car Storage
(Larry Ramoneda)
Vintage cars, hydraulic lifts, small quantities of paint thinner, motor oils, and paints
5 Car Restoration
(Unknown)
Hydraulic lift, motor oil, hydraulic lubricant, and small quantities of solvents
6 Landscaping
(Unknown)
One truck and trailer with landscaping/land mowing equipment and two 5-gallon polyethylene fuel canisters
7 Car Repair
(Unknown) Parts cleaner, motor oil, alkaline solvent solution, and hydraulic lift 8 Acoustic Paneling
(SoCal Acoustical) Wood and foam
9 Office Supplies Sales
(AEG Solutions) Paper/office supply products
10 Car Repair
(Unknown) Car storage, motor oil, acetone, and paint thinner 11 Furniture Painting
(JC Vintage Furniture) Paints and solvents for furniture restoration 12 and 20
Vehicle Parts
Manufacturing
(Atlas Truck Parts & Tarps)
Parts cleaner, sand blaster, hydraulic equipment and parts storage, air compressor, alkaline solvent solution, and compressed gases 15 Metals Fabrication
(RamCo Sheet Metal) Sheet metal fabrication equipment
16 Utility Planning
(+nT1JQFMJOF$POTUSVDUJPO) Standard offices equipment and supplies 18 Ice Cream Vendor
(Unknown) Ice cream carts and freezers
The property at 1944/1948 South Bon View Avenue (1050-441-05) consists of an industrial development operated by JLMC and a single-family residence at the eastern property boundary. The property is accessible by one gated and paved driveway on the east. The driveway slopes southeast towards Bon View Avenue and away from industrial portions of the property. The property is surrounded by paved areas that include vehicle parking with the exception of the residence, which is surrounded by landscaping. The industrial development consists of four structures used for metals fabrication (Buildings 3 and 4), office administration (Building 5), and garage storage (Building 6; Figure 2). The single-family residence is occupied and shares the garage storage space with JLMC. The interior and exterior of the residence were briefly observed and no obvious signs of contamination were present.

JLMC manufactures metal bins and stores propane tanks, compressed gases, and scrap metal roll off bins on the exterior of Building 3, which is a 3-sided roofed structure. Building 3 411
S:\Clients\2021-0429-72ONT2-Phase I ESA Report 4-3
contains welding bays and fabrication machinery all of which appeared to be in good condition. No hoods were observed over any of the equipment. Building 4 contained sheet metal and metal parts storage areas as well as a water jet polishing unit. Orion observed a water-sand mixture on the asphalt ground surface near an area that reportedly contained an old water-jet polishing unit that was previously removed. The water-sand mixture led back to what appeared to be a metal containment pad for the old water jet polishing unit that contained an approximately 6-inch-thick layer of caked sand/mud. Immediately beyond this pad to the south was cracked pavement with patches of weedy grass and vines.

Mr. Monge of JLMC indicated that the old equipment was removed and replaced 5 years ago and metals from any polishing or sanding were contained inside the equipment and are not in the observed caked sand/mud. The caked material reportedly has not been removed ZFUCFDBVTFJUnTCJPEFHSBEBCMF, although Orion has not confirmed the composition of these material as of this Phase I ESA report. The replacement water jet appeared to be in good condition and no staining or liquids observed in that area. While the presence of the apparently fresh water-sand mixture on the ground is noteworthy as the liquid may contain levels of metals, Orion considers this a de minimis finding for the Target Property because the issue appeared isolated and in a paved portion of the property. Additional information regarding chemicals and materials usage and wastes at JLMC are in Sections 4.1.3 and 4.1.4.

As discussed in Section 3.2, undeveloped portions of the Target Property at 21 through 52 and 1906 South Bon View Avenue (APNs 1050-441-31 through 1050-441-62 and 1050-441-09) are unpaved and predominantly grass. Orion walked the perimeter and transected the undeveloped area not identify any staining, distressed vegetation, or other indications of contamination. Municipal trash was observed in localized areas near South Bon View Avenue.

4.1.2 Utilities
Orion observed evidence of aboveground and underground municipal utilities throughout the Target Property. The City of Ontario provides potable water and sewer services for the Target Property, while electricity and natural gas are provided by Southern California Edison and the Southern California Gas Company, respectively. Additional utilities observed included fire alarms, landscape irrigation, streetlights, landline telephone, and fire suppression lines. As discussed in Section 3.2, surface and storm water are directed to two 412
S:\Clients\2021-0429-72ONT2-Phase I ESA Report 4-4
municipal drains near the eastern and southeastern boundaries of 1930 South Bon View Avenue.

4.1.3 Chemicals and Materials Usage
Orion did not observe evidence of any USTs at the Target Property during reconnaissance, while aboveground storage tanks (ASTs) were limited to compressed gas tanks and cylinders.

An area on the southern exterior of Building No. 3 of JLMC is designated for compressed gases including nitrogen, carbon dioxide, argon, and propane. The compressed gases are used to operate welding, fabrication equipment, and forklifts. One unlabeled empty 55-gallon drum and two empty canisters of acetone
Various cleaning solutions used for general housekeeping were observed in bathrooms and offices through the properties. Various paints, solvents, and oils were observed in multiple units on the 1914 and 1930 properties as well as on the 1944 property. In general, areas where paints, solvents, and oils were stored were in good condition with no observed staining or spills.

Orion observed two parts cleaning stations with self-contained reservoirs for an alkaline solvent solution in Unit Nos. 7 and 12 and the equipment appeared to be in good condition.

The parts cleaning equipment in Unit No. 7 is mounted directly to a storage drum. The tenant at Unit No. 12 indicated their storage drum-mounted equipment is maintained by the third-party manufacturer including periodic replacement of the alkaline solution. No spills of the alkaline solution were reported during Target Property reconnaissance or in historical documentation.

4.1.4 Wastes
Orion observed a roofed waste storage area inside Building 3 of JLMC (Figure 2). The storage area contained one secondary containment pallet with four 55-gallon drums at the time of Target Property reconnaissance. The drums and containment pallet appeared to be in good condition and were labeled as containing non-Resource Conservation and Recovery Act (RCRA) hazardous waste oil.

Trash and metals recycling were observed outside of the commercial industrial units and the JLMC building to the west and south and included wooden pallets, cardboard boxes, and metal scraps. Metal scraps were observed in containers outside of the JLMC buildings 413
S:\Clients\2021-0429-72ONT2-Phase I ESA Report 4-5
and the scraps did not appear oily. Orion did not observe oil or oil staining around the dumpsters. At the time of Target Property reconnaissance, all dumpsters were open with no covers or padlocks. The dumpsters appeared to be in good condition, but did not appear to be equipped with secondary containment.

4.1.5 Adjacent Properties
As summarized in Section 3.1, the Target Property is surrounded by commercial/industrial properties to the north, east, and west and with residential properties to the south across East Cedar Street. Based on observations from South Bon View Avenue, Orion did not identify land use conditions and physical indications of possible usage, storage, spillage, or dumping of hazardous, toxic, or petroleum substances at nearby properties. Orion did not attempt to enter nearby properties as they are private. Orion did not identify any RECs associated with nearby properties based on Target Property reconnaissance.

4.2 Interviews
As discussed in Section 4.1, Orion completed reconnaissance of the Target Property on 12 April 2021 under the supervision of Mr. Larry Ramoneda of RamCo Sheet Metal and Jose Monge of JLMC. Mr. Ramoneda has reportedly been a tenant or owner at the Target Property for 25 years, while Mr. .POHFnT FNQMPZNFOUUFOVSFBU+-.$JTVOLOPXO.S Ramoneda and Mr. Monge were unaware of any current or historical cases of environmental contamination that required agency directive actions.
414
S:\Clients\2021-0429-72ONT2-Phase I ESA Report 5-1

5.0 RECORDS REVIEW
Orion requested historical regulatory and property information for the Target Property through ERIS as summarized in Section 2.0. Orion reviewed the compiled documents and the results are summarized in the sections below.

5.1 Sanborn Map Review
Sanborn fire insurance maps are available for 12,000 communities in the U.S. from 1867 to present. Sanborn maps were initially produced for the insurance industry to provide fire risk information for buildings or other structures. According to ERIS, no Sanborn maps are available for the Target Property as the area is reportedly unmapped.

5.2 Historical Aerial Photography Review
Orion reviewed a total of 16 historical aerial photographs taken between 1935 and 2020.

Observations regarding the Target Property history based on the photographs are summarized below.

Year Notes
1935 The Target Property and surrounding areas appear as agricultural areas. The Target Property appears to be divided into two distinct parcels, each largely agricultural with a building located along the eastern boundary. Adjoining properties to the south, southeast, and northwest appear to be occupied by orchards. 1938 The Target Property and surrounding areas remain relatively unchanged from the previous description.
1946 Some orchards at surrounding properties appear to have been replaced with crops. 1952 Structures appear to have been erected at surrounding properties to the east, northeast, and south. The Target Property and surrounding areas remain agricultural. 1960 The northern adjoining property has been converted to an orchard. Additional structures have been erected at the adjoining property to the south. Nearby properties to the northwest have been developed and now comprise residential neighborhoods.

Properties south and southeast of the Target Property have been developed to comprise residences or agricultural facilities.
1966 Properties west of the Target Property have been developed and now comprise residential neighborhoods.
1976 Properties north and northeast of the Target Property have been developed and now comprise large warehouses. The Target Property and adjoining properties remain agricultural.
1980 Properties south and southwest of the Target Property have been developed and now comprise residential neighborhoods. A large warehouse facility appears in the southern portion of the Target Property, which otherwise remains largely undeveloped. 415
S:\Clients\2021-0429-72ONT2-Phase I ESA Report 5-2
Year Notes
1985 Two additional warehouse facilities have been erected at the Target Property.

Properties south of the Target Property have been developed to comprise additional residences. Nearby properties north of the Target Property have been developed to comprise large industrial facilities.
1994 Northern and northeastern adjoining properties have been developed and now comprise large industrial facilities. Orchards are no longer present in the Target Property vicinity.
2002 Surrounding properties to the east have been developed. 2005, 2010,
2012, 2018, and
2020
The Target Property and surrounding areas remain generally unchanged from the previous description.

Based on review of aerial photographs, the Target Property and adjoining properties were previously used as agricultural land from at least UIF nT BOE SFNBJOFE generally undeveloped until the 198nT)JTUPSJDBMBHSJDVMUVSBMPQFSBUJPOTMJLFMZJODMVEFEUIFVTFPG agricultural chemicals (e.g., pesticides, herbicides, and fertilizers). Orchards were observed BUTVSSPVOEJOHQSPQFSUJFTVOUJMUIFFBSMZnTHowever, Orion did not observe any signs of pesticide production. Orion does not consider historical agricultural use a REC without additional lines of evidence regarding potential historical pesticide production or application.

5.3 Historical Topographic Map Review
Orion reviewed a total of 11 7.5- and 15-minute USGS topographic maps of the area dating from 1897 to 2015 (Appendix B). Orion did not identify any RECs as a result of the historical topographic map review. Observations regarding the Target Property history based on topographic maps are summarized in the table below.

Year Notes
1897,
1900,
1903
The Target Property area is located in the Santa Ana Del Chino land grant. The Target Property is located south of the Pacific Railroad and east of the Narrow Gauge Railroad and the Chino Branch of the Pacific Railroad.
1933,
1942
The Target Property area is located on Bon View Avenue, between East Francis and East Ely Streets.

The Narrow Gauge Railroad is no longer depicted. Gas tanks are shown approximately 1.1 miles north of the Target Property. Additional unspecified tanks are shown approximately 0.9 mile west of the Target Property.
1954 Three schools (Grove School, Euclid School, and Cypress School) are shown within 1.5 miles of the Target Property. A sewage disposal facility is shown approximately 0.7-mile northwest of the Target Property. The Ontario International Airport is shown approximately 1.7 miles northeast of the Target Property. Unspecified wells are shown approximately 1.2 miles southeast of the Target Property. Increased developments are shown northwest of the Target Property. 416
S:\Clients\2021-0429-72ONT2-Phase I ESA Report 5-3
Year Notes
1967 An aqueduct is shown approximately 0.9-mile southwest of the Target Property. Four additional schools (Ontario Christian High School, Sultana School, De Anza Junior High School, and Bon View School) are shown within approximately 0.6-mile of the Target Property. 1973 California State Route 60 is shown approximately 0.5-mile south of the Target Property. The Narrow Gauge Railroad is no longer shown. This is consistent in all maps after this date. 1981 Increased developments are shown to the west and south of the Target Property. A water tank is shown approximately 0.3-mile east of the Target Property. 2015 Euclid Avenue, located approximately 0.7-mile west of the Target Property, is shown as California State Route 80. Increased developments are shown to the south of the Target Property.

5.4 City Directory Review
Orion reviewed historical City directory listings for the Target Property and adjacent properties based on registries from 1926 to 2018. None of the addresses associated with the Target Property was not listed in the registries until 1931 when two occupants were identified as a poultry farm and a private individual. Commercial and industrial businesses were first listed at Target Property addresses beginning in 1988. The properties associated with 21 through 52 South Bon View Avenue were not listed in any of the city directories reviewed as part of this Phase I ESA. The following table summarizes registered owners and/or occupants for surrounding properties.

City Directory Listings for Surrounding Properties
Address(a)
Direction
Relative
to Target
Property
Groundwater
Gradient
Distance
from Target
Property
(miles) Years Registered Owners/Occupants(b)
Target Property
1906 S. Bon
View Avenue N/A(c) N/A N/A 1965 r 2001 Individual
1914 S. Bon
View Avenue N/A N/A N/A
1931 r 1934 Calder L E Poultry
1940 Vacant
1946 r 1965 Various Individuals
1988
AEC WFG, All Seasons Landscaping, American
Detection Services, Cannone J & Associates,

JAVCAN MFR
2001 Liberty International Ministries, Popla
International
2001 - 2009 ABS Global
2009 Auto Repair
2009 - 2018 AEG Solutions (Drafting Room Equipment &
Supplies)
417
S:\Clients\2021-0429-72ONT2-Phase I ESA Report 5-4
City Directory Listings for Surrounding Properties
Address(a)
Direction
Relative
to Target
Property
Groundwater
Gradient
Distance
from Target
Property
(miles) Years Registered Owners/Occupants(b)
1914 S. Bon
View Avenue N/A N/A N/A 2014 SoCal Acoustical Wall System (Wall Covering Installation)
1930 S. Bon
View Avenue N/A N/A N/A
1988
Butcher CE & Associates, Dilicias de Michch,
Formal Affairs, Gates Products, Owens Office,
Shamrock Sterling
1988 r 2009 Column Engineering
2001 r 2018 Flor de California (Ice Cream & Frozen Desserts) 2001 Daddato Industries, Multi Tech Products,
Quality Offset Printers
2009 Waste Cleaning Services
2014 Phase Transitions (Process & Logistics Consulting) 2014 r 2018 +nT1JQFMJOF$POTUSVDUJPO
5SVDL1BSUT5BSQT*OD
1944 S. Bon
View Avenue N/A N/A N/A
1988 R&R Woodworking
2001 r 2018 Various Metal, Welding, and Metal Fabrication Companies
2018 CC K X Inc.
1948 S. Bon
View Avenue N/A N/A N/A
1931 r 1946 Various Individuals
1945 r 1951 Sosini Benj Poultry
1951 #FOnT4BMWBHF1MVNCJOH4VQQMJFT
1965 r 2001 Various Individuals
Surrounding Properties
1819 S. Bon
View Avenue Northeast Upgradient 0.10
1951 r 2001 Various Individuals
1971 r 1988 Gladhaven Kennels
2001 r 2018 Correa Concrete Construction
1856 S. Bon
View Avenue Northeast Upgradient 0.02
2001 Individual
2001 r 2018 Hub Construction
1901 S. Bon
View Avenue Northeast Upgradient 0.02
2001 Individual
2001 r 2009 The Soap Shoppe (Detergent Manufacturers)
2001 r 2018 Pouches Inc. (Manufacturers)
1915 S. Bon
View Avenue East Cross gradient 0.08
1931 Wright Justus Poultry
1934 r 1965 Various Individuals
2009 Capline International (Sporting and Recreation)
2009 r 2014 Nissin Corporation (Promotional Product
Manufacturer and Warehouse)
418
S:\Clients\2021-0429-72ONT2-Phase I ESA Report 5-5
City Directory Listings for Surrounding Properties
Address(a)
Direction
Relative
to Target
Property
Groundwater
Gradient
Distance
from Target
Property
(miles) Years Registered Owners/Occupants(b)
1945 S. Bon
View Avenue East Cross gradient 0.06
1951 Individual
1971 Hamiltons PDL PRLR
1988 Clasambra Kennels
1988 r 2001 Various Individuals
789 E. Cedar
Street Southwest Downgradient 0.07
2009 JZQuare (Automobile Accessories)
2014 r 2018 Jia-Nan Enterprises (Restaurant Management) 799 E. Cedar
Street Southwest Downgradient 0.05
2009 Platinum Plastics (Packaging Materials Wholesale)
2018 Maple Industries (Plumbing Fixtures and Supplies)
800 - 850 E.

Cedar Street South Downgradient 0.03 2001 Various Individuals 901 E. Cedar
Street Southeast Cross gradient 0.06
2009 Dura Micro (Computer Parts and Supplies)
2014 Providence Arrow
2014 r 2018 Solar Tech Power, FUH Indl (Awnings &
Canopies)
910 E. Cedar
Street Southeast Cross gradient 0.08
2009 r 2014 XCEL Distribution (Hardware Manufacturing)
2014 r 2018 XCEL Fence (Fence Contractors)
(a) All addresses are in the City of Ontario unless noted otherwise. (b) Abbreviations and company descriptions are written as described in the city directories and company websites. (c) N/A r not applicable.

Surrounding properties on East Cedar Street were not listed under their present-day addresses in the City directory prior to 2001. Upgradient addresses along South Bon View Avenue are predominantly commercial and industrial facilities. Addresses immediately south of the Target Property along East Cedar Street appear to be private residences, with commercial and industrial facilities located to the southeast and southwest, which is consistent with observations made during site reconnaissance. Orion did not identify any RECs as a result of the City directory review.

5.5 Database Review
ERIS identified 64 properties within ASTM-defined search radii in agency records. A complete list of these properties and records is in Table 1. Properties within the search area that contained records related to historical or current environmental impacts, hazardous wastes, or regulatory violations are discussed in more detail and are summarized in the table below. The locations of properties discussed in detail in Section 5.5 are also shown on 419
S:\Clients\2021-0429-72ONT2-Phase I ESA Report 5-6
Figure 3. Select properties are unlikely to pose environmental risks to the Target Property based on various conditions (i.e., distance from Target Property, groundwater flow direction, and absence of reported environmental regulatory violations) are not discussed in detail in this section. No unplottable records were identified by ERIS within 1 mile of the Target Property.

Property Address(a)
Direction
Relative
to Target
Property
Groundwater
Gradient
Distance
from
Target
Property
(miles) Database(b) Notes
Target Property
Larry Ramoneda 1914 S. Bon View
Avenue --(c) -- -- HAZNET No waste disposal reported
ABS Global, Inc. 1914 S. Bon View
Avenue, Unit 3 -- -- -- SANBERN CUPA Hazardous materials (HM) storage Nova Men Auto
Repair
1914 S. Bon View
Avenue, Unit 4 -- -- --
SANBERN CUPA Hazardous waste
(HW) generation
HAZNET and disposal
Multi Tech
Products
1930 S. Bon View
Avenue, Unit 12 -- -- -- SANBERN CUPA HM handler
Column
Engineering
1930 S. Bon View
Avenue, Unit 20 -- -- -- SANBERN CUPA Halogenated solvent disposal HAZNET Quality Offset
Printers
1930 S. Bon View
Avenue, Unit 14 -- -- --

SANBERN CUPA
Halogenated
organics disposal HAZNET
JLMC 1944 S. Bon View
Avenue -- -- --

SANBERN CUPA
HAZNET HW disposal

CERS HAZ
Flo-Bin Rentals 1944 S. Bon View
Avenue -- -- -- HAZNET No waste disposal reported
Surrounding Properties
R&I Industries,
Inc.
1871 & 1876 Taylor
Place
NorthnorthwestUpgradient /
Cross gradient 0.04

SANBERN CUPA
HW disposal

CERS HAZ
Greenline
Laboratories, Inc.
1851 S. Taylor
Place
Northnorthwest Upgradient /
Cross gradient 0.05

SANBERN CUPA
HM operations

CERS HAZ
Sky Systems Co.,
Inc. 1825 Taylor Place Northnorthwest Cross gradient 0.08

SANBERN CUPA
HM operations CERS HAZ
420
S:\Clients\2021-0429-72ONT2-Phase I ESA Report 5-7
Property Address(a)
Direction
Relative
to Target
Property
Groundwater
Gradient
Distance
from
Target
Property
(miles) Database(b) Notes
Tom Guilfoyle 840 E. Francis
Street, Unit T North Cross gradient 0.12 UST SWEEPS Historical Petroleum UST
Riviera Tube
Bending &
Manufacturing
Co.
760 E. Francis
Street, Unit T Northwest Cross gradient 0.12

RCRA SQG
HW disposal

SANBERN CUPA
Lighting
Resources, LLC 805 E. Francis Street Northnorthwest
Upgradient /
Cross gradient 0.15

ENVIROSTOR
HM operations and
HW disposal PCB

INSP COMP ENF
Warfield Electric
Co., Inc.
1745 S. Bon View
Avenue
Northnortheast Upgradient 0.17 RCRA SQG Tetrachloroethylene (PCE) generator
Allied
Mechanical
Products
1720 S. Bon View
Avenue
Northnortheast Upgradient 0.22
SANBERN CUPA HM storage
CERS TANK History of violations
Southtown
Industrial Park
1701, 1703, 1705,
and 1707 S. Bon
View Avenue
Northnortheast Upgradient 0.23
HHSS Historical petroleum
UST SWEEPS USTs
Ontario Drums 1516 S. Bon View
Avenue North Upgradient /
Cross gradient 0.39 CERCLIS Closed Superfund
site
Oakwood
Interiors Site
1333 S. Bon View
Avenue
Northnortheast Upgradient 0.67 ENVIROSTOR Land use restrictions Sunshine
Cleaners r
Driftwood
Village
2238 S. Euclid
Avenue, No. 2238 F
Westsouthwest
Downgradien
t 0.75 ENVIROSTOR
Voluntary Cleanup
Agreement for
chlorinated solvents
Woodcrest
Elementary / Jr.

High School
2725 S. Campus
Avenue
Southsouthwest Downgradien
t 0.94 ENVIROSTOR No Further Action
(a) All addresses are in the City of Ontario unless noted. (b) Database abbreviations are defined as follows:

CERS HAZ r California Environmental Reporting System (CERS) Hazardous Waste Sites CERS TANK r CERS Tanks
CERCLIS r Comprehensive Environmental Response, Compensation, and Liability Information System ENVIROSTOR r California EnviroStor Data Management System list of corrective action sites, tiered permit sites, historical Target sites, and evaluation/investigation sites HAZNET r Hazardous Waste Manifest Data
HHSS r Historical Hazardous Substance Storage Information Database INS COMP ENF r ENVIROSTOR Inspection, Compliance, and Enforcement LUST r Leaking Underground Storage Tank
PCB r PCB Notifiers
RCRA SQG r RCRA Small Quantity Generator (SQG)
421
S:\Clients\2021-0429-72ONT2-Phase I ESA Report 5-8
SANBERN CUPA r San Bernardino County Certified Unified Program Agency (CUPA) UST SWEEPS r UST Statewide Environmental Evaluation and Planning System (c) o--pr Not applicable.

Orion identified five closed LUST cases between 0.5- and 1.0-mile upgradient to cross gradient of the Target Property. Each case involved potential petroleum contamination of soil and was closed between 1986 and 2000. ASTM Standard E127-13 defines the minimum search radius for State leaking storage tank lists as 0.5 mile. Orion did not identify any historical or current LUST cases within this search radius. Based on case closure and relative distance to the Target Property, Orion does not consider these upgradient closed LUST cases a REC for the Target Property.

5.5.1 1914 and 1930 South Bon View Avenue (Target Property) Two commercial condominiums are located at 1914 and 1930 South Bon View Avenue that each consist of 10 individual units (total of 20 units) with various commercial/industrial operations. Historical records related to hazardous materials and wastes at this portion of the Target Property are summarized below.

Larry Ramoneda: As discussed in Section 4.2, Mr. Larry Ramoneda of RamCo Sheet Metal has reportedly been a tenant or owner at the Target Property for 25 years. A record from the HAZNET database indicated that Mr. Ramoneda obtained a hazardous waste identified number in 2008 that became inactive on 11 January 2009. While a unit number was not specified in the HAZNET record, Mr. Ramoneda owns Unit Nos. 4, 13, 14, 15, 17, and 19 of the commercial condominium and RamCo Sheet Metal currently occupies Unit No. 15. As discussed in Section 4.1.1, Orion observed small quantities of solvents, motor oils, and paints JO.S3BNPOFEBnTVOJUTMr. Ramoneda indicated that waste oils are brought to retail automotive parts stores for recycling during reconnaissance.

ABS Global Inc.: Permitted facility with the SANBERN CUPA that reportedly contained 1 to 3 hazardous materials specified as special chemicals. The facility permit became inactive on 28 February 2016. This record was SFQPSUFEGPSo6OJUpPG4outh Bon View Avenue. Currently, Unit No. 3 of the Target Property contains a metals machine shop. Orion observed oils and lubricants in Unit No. 3 during site reconnaissance, but no hazardous materials or wastes were observed or reported.

Nova Men Auto Repair: Permitted facility with the SANBERN CUPA that was reportedly a special generator of hazardous wastes. A record from the HAZNET database reported that this entity disposed of approximately 5 tons 422
S:\Clients\2021-0429-72ONT2-Phase I ESA Report 5-9
of oil-water separation sludge in 2002. The facility special generator permit CFDBNFJOBDUJWFPO"VHVTU5IJTSFDPSEXBTSFQPSUFEGPSo/PpPG 1914 South Bon View Avenue, which is currently owned by Mr. Ramoneda and used for car storage.

Multi Tech Products: Permitted facility with the SANBERN CUPA that was reportedly handled hazardous materials. The facility permit became inactive PO.BSDI5IJT SFDPSEXBT SFQPSUFEGPSo6OJUpPG4outh Bon View Avenue, which is currently occupied by Atlas Tarps & Parts, Inc. (Atlas), a manufacturer of vehicle tarp systems.

Column Engineering: Permitted facility with the SANBERN CUPA that was reportedly a conditionally-exempt small quantity generator (CESQG) of hazardous wastes. Column Engineering intermittently disposed of halogenated solvents between 1996 and 2008 with the largest volume (approximately 0.46 ton) reported in 2001. The facility CESQG permit became inactive on 31 July 2019. 5IJT SFDPSE XBT SFQPSUFE GPS op PG 1914 South Bon View Avenue, which is currently occupied by Atlas.

Quality Offset Printers: Permitted facility with the SANBERN CUPA that was reportedly a CESQG of hazardous wastes. Quality Offset Printers intermittently disposed of liquids with halogenated organics between 2000 and 2008 with the largest volume (approximately 0.08 ton) reported in 2001.

This rFDPSE XBT SFQPSUFE GPS o/P p PG South Bon View Avenue, which is currently owned by Mr. Ramoneda and used for car storage.

While it is noteworthy that this portion of the Target Property consisted of operations that handled or disposed of hazardous wastes, Orion did not observe or identify records indicating a release to the environment has occurred at 1914 South Bon View Avenue and does not consider the historical records summarized above a concern for the Target Property.

5.5.2 1944 South Bon View Avenue (Target Property)
JLMC currently occupies 1944 South Bon View Avenue with operations focusing on sheet metal fabrication. JLMC is currently a permitted facility with the SANBERN CUPA and reportedly a CESQG of hazardous wastes. JLMC disposed of approximately 0.6 ton of unspecified organic liquid mixture during 1997 and approximately 0.3 ton of organic solids in 2003. The Fire Department inspects JLMC and no violations were identified in 0SJPOnT Phase I ESA records review, although REM indicated that manifests were not available for review during a 2018 inspection event (REM, 2018). As discussed in Sections 4.1.3 and 423
S:\Clients\2021-0429-72ONT2-Phase I ESA Report 5-10

4.1.4, Orion observed four 55-gallon drums of non-RCRA hazardous waste oil on secondary containment in Building 3 and compressed gases and empty acetone containers on the exterior of Building 3 during reconnaissance, but no signs of leaks, spills, or surface staining in these areas (Figure 2).

Based on the Phase I ESA report prepared by REM, Flo-Bin Rentals started leasing the western portion of 1944 South Bon View Avenue for storage in 2016. As reported by REM, Flo-Bin Rentals disposed of 0.25 and 2.04 tons of organic solids in 2016 and 2017, respectively (REM, 2018). Based PO 0SJPOnT SFDPSET SFWJFX UIF )";/&5 database
contained a record for Flo-Bin Rentals, but the record did not contain any details regarding hazardous waste disposal. Orion does not consider historical records associated with 1944 South Bon View Avenue a concern for the Target Property considering the absence of documented releases to the environment.

5.5.3 R&I Industries, Inc.
(0.04-mile upgradient/cross gradient)
The R & I Industries, Inc. (R&I Industries), property is currently a permitted facility with the SANBERN CUPA and reportedly a CESQG of hazardous wastes. R & I Industries is a metals fabricator that offers laser cutting, waterjet cutting, shearing, forming with press brakes, folding, tube bending, CNC turret punching, and welding based on their website (https://rimetal.com). Violations relating to hazardous waste storage were identified for 2016 and 2020 in CERS HAZ including improper labeling of storage drums and deficiencies in facility documentation. However, the facility returned to compliance for each documented violation. No inspection documentation was available after 2020. Orion did not identify any records related to a release to the environment and does not consider this property a concern or REC for the Target Property.

5.5.4 Greenline Laboratories, Inc.
(0.047-mile upgradient/cross gradient)
The Greenline Laboratories, Inc. (Greenline), property is currently a permitted facility with the SANBERN CUPA that contains hazardous materials. Greenline is a manufacturer of industrial, sanitary, food service, and specialty products according to their website (https://greenlinelabs.com). Based on the CERS HAZ database, Greenline was issued violations for deficient facility documentation in 2015 and 2018, but returned to 424
S:\Clients\2021-0429-72ONT2-Phase I ESA Report 5-11
compliance for each documented violation. No inspection documentation was available after 2018. Orion did not identify any records related to a release to the environment and does not consider this property a concern or REC for the Target Property.

5.5.5 Sky Systems Co., Inc.
(0.075-mile cross gradient)
The Sky Systems Co., Inc. (Sky Systems), property is currently a permitted facility with the SANBERN CUPA that contains hazardous materials. Sky Systems specializes in bag-in-box packaging systems with general and foamy soaps and a variety of other sanitary products based on their website (https://www.skysystemscoinc.com/). Based on the CERS HAZ database, Greenline was issued violations for deficient facility documentation in 2016 and 2019, but returned to compliance for each documented violation. No inspection documentation was available after 2019. Orion did not identify any records related to a release to the environment and does not consider this property a concern or REC for the Target Property.

5.5.6 Tom Guilfoyle r 840 E. Francis Street
(0.12-mile upgradient/cross gradient)
The property at 840 E. Francis Street contained a 500-gallon UST that reportedly contained vehicle fuel. The UST was removed in 1991 based on the UST SWEEPS database. Orion did not identify any other records related to this UST including the conditions of the tank or subsurface upon removal. While it is noteworthy that this property historically contained a fuel tank, Orion does not consider this property a concern or REC for the Target Property without documentation related to a potential release of field products to the subsurface.

5.5.7 Riviera Tube Bending & Mfg. Co.
(0.12-mile cross gradient)
The Riviera Tube Bending & Mfg. Co. (Riviera Tube) property was permitted with SANBERN CUPA as a handler and generator or hazardous wastes until 31 August 2005. Based on 0SJPOnT SFDPSET SFWJFX
3JWJFSB 5VCF XBT BT TNBMM-quantity generator of benzene, tetrachloroethylene, trichloroethylene, and ignitable wastes. While the presence of these chemicals in close proximity to the Target Property is noteworthy, Orion did not identify any records related to a release to the environment and does not consider this property a concern or REC for the Target Property.
425
S:\Clients\2021-0429-72ONT2-Phase I ESA Report 5-12

5.5.8 Lighting Resources, LLC
(0.15- to 0.17-mile upgradient/cross gradient)
The Lighting Resources, LLC (Lighting Resources), property is separated from the Target Property to the north by a commercial development and E. Francis Street. Lighting Resources handles lighting waste, mercury-containing devices, and intact PCB-containing lighting ballasts and operates under a Standardized Hazardous Waste Facility Permit, Series A (Permit). Lighting Resources stores and crushes spent lamps and stores PCB containing light ballasts. End caps are collected and transported offsite for further recycling, while crushed glass and any mercury-containing powder is collected and transported offsite for recycling as a hazardous waste (Department of Toxic Substances Control [DTSC], 2020). Lighting Resources has a documented history of violations including failing to manage containers properly and maintain and operate permitted equipment to minimize the possibility of releasing mercury-containing phosphor powder because of a leakage in 2013. This violation resulted in a Consent Order and financial penalty.

More recently, the DTSC issued a violation in 2020 based on observations of white powder on lamp crushing equipment (Lamp Machine), the floor beneath, and the roof of the building where the equipment vents. The Lamp Machine uses a remanufacturing process to crush the outer glass of fluorescent lamps and separate the glass, metal end caps, and mercury-containing phosphor powder. The remanufacturing process utilizes an enclosed machine with vacuum system. The vacuum system connects to a High-Efficiency Particulate Air (HEPA) filtration system and an activated carbon canister, which absorbs mercury vapor before discharging to the atmosphere. The vacuum system maintains a negative pressure to prevent phosphor dust and mercury vapor from leaking and contaminating the surrounding breathing space. Under the approved Permit, Lighting Resources is required to monitor mercury vapor every 2 hours and collect periodic grab samples of crushed glass for laboratory analysis of mercury (DTSC, 2020).

DTSC conducted a facility inspection during June 2019 and observed white powders on the reportedly poorly sealed floor near the Lamp Machine. Wipe samples collected from the floor underneath the Lamp Machine contained a mercury concentration of 3.4 micrograms per wipe, which is greatFSUIBOUIFSFHVMBUPSZMJNJU4JNJMBSMZ UIFSFTVMUTPGoTXFFQpTBNQMFT
showed mercury concentrations of 0.662 milligrams per kilogram. A previous inspection 426
S:\Clients\2021-0429-72ONT2-Phase I ESA Report 5-13
was cited where DTSC indicated mercury levels in a room next to the Lamp Machine were unsafe and warranted donning a mask. Lighting Resources reportedly committed to SFUBJOJOHBMJDFOTFEFOHJOFFSUPEFTJHOBoTFDPOEBSZDPOUBJONFOUTZTUFNpBOEDPNNJUUFE to re-sealing the floor of their warehouse with an epoxy coating (DTSC, 2020). During March 2021, Lighting Resources was issued three Class 2, minor violations for improper storage and labeling of universal wastes, but these violations were listed as returned to compliance in the summary of inspection observations (DTSC, 2021). It should be noted that Orion did not observe white power at the Target Property during reconnaissance. While the potential release of mercury to the environment through emissions is noteworthy, Orion does not consider the Lighting Resources property a REC for the Target Property without additional lines of evidence indicating widespread and sustained discharge of mercury-containing emissions from this facility.

5.5.9 Warfield Electric Co., Inc.
(0.17-mile upgradient)
The Warfield Electric Co., Inc. (Warfield Electric), is a motor and motor component manufacturer. The property was identified as a Small Quantity Generator (SQG) in RCRA SQG under U.S. Environmental Protection Agency (EPA) federal identification number CAR000072769. According to the RCRA SQG database, Warfield Electric is a SQG of tetrachloroethylene (PCE). As a chlorinated volatile organic compound (VOC), PCE is a drinking water contaminant that can be highly mobile in groundwater and is not readily degraded by naturally occurring processes. However, as of January 2021 there have been no Compliance Monitoring or Enforcement violation records associated with the Warfield Electric facility. Although the upgradient presence of PCE should be noted, Orion does not consider the property to be a REC to the Target Property based on the lack of evidence suggesting the occurrence or likely occurrence of a release of hazardous materials at the Warfield Electric facility.

5.5.10 Allied Mechanical Products
(0.22-mile upgradient)
The Allied Mechanical Products facility fabricates and manufactures aerospace components and machinery. This facility appears in both the CERS TANK and SANBERN CUPA databases as an active large quantity generator, onsite waste-generating recycler, and hazardous materials storage facility with at least one reported onsite AST. According to the 427
S:\Clients\2021-0429-72ONT2-Phase I ESA Report 5-14
CERS TANK database, the property has been cited for various violations between 2013 and 2020 relating to the improper labeling, storage, and documentation of hazardous materials, JODMVEJOHNJTMBCFMJOHESVNTDPOUBJOJOHIB[BSEPVTXBTUFTBTo/POIB[BSEPVTp and leaving containers of hazardous waste open when not in use. All violations have been resolved and returned to compliance. Although violations involving hazardous waste storage at an upgradient property is noteworthy, Orion does not consider the property to be a REC to the Target Property without records indicating a release of hazardous materials to the environment.

5.5.11 Southtown Industrial Park
(0.23-mile upgradient)
The Southtown Industrial Park property appears to be a collection of commercial/industrial buildings including a construction management company. The property was identified in both the HHSS and UST SWEEPS databases as having historically contained two petroleum USTs. The USTs were both installed in 1979 and contained unleaded motor vehicle fuel.

Orion did not identify any other records related to these USTs including the dates of removal or the tank or subsurface conditions upon removal. While it is noteworthy that this property historically contained a fuel tank, Orion does not consider this property a concern or REC for the Target Property without records indicating a release to the environment.

5.5.12 Ontario Drums
(0.39-mile upgradient/cross gradient)
Ontario Drums was a Superfund site (EPA ID No. CA000906085) that involved the release of an unknown amount of an unidentified hazardous material. In May 2004, an abandoned commercial transportation trailer reportedly containing 138 steel and poly drums was discovered at 1516 South Bon View Avenue. The property was and is currently occupied by a towing service company and the abandoned trailer was not affiliated with the normal site operations. A highly corrosive liquid was observed to be leaking from the drums, through the bottom of the trailer, and onto the soil. As part of the emergency response, the trailer was towed from the property and all drums were removed from the trailer and placed into salvage drums to contain the leakage. According to a 25 May 2004 memorandum, removal of contaminated soil was considered sufficient to address impacts to the environment without the need for long term remediation (EPA, 2004). The Ontario Drums site represents a release to the environment of a hazardous substance. However, the source 428
S:\Clients\2021-0429-72ONT2-Phase I ESA Report 5-15
of the release appeared to be removed immediately after detection along with impacted environmental media. As discussed in Section 3.3, groundwater is estimated to be at a depth greater than 300 feet bgs and was unlikely to be impacted by the release. Orion does not consider the release a REC or HREC for the Target Property based on (1) the apparent speed and effectiveness of the emergency response in removing the source of the release, (2) the relatively deep groundwater table, (3) the lack of evidence suggesting another release is likely to occur based on current site operations, and (4) the lack of regulatory agencymandated long-term remediation.

5.5.13 Oakwood Interiors Site
(0.67-mile upgradient)
The Oakwood Interiors Site has historically been used for industrial operations including automotive polishing, plating, and finishing from approximately 1964 until 1992. Historical operations required the use of solvents, heavy metals, hydraulic fluids, biocides, and sulfuric acid. In 1996, Oakwood Interiors, began occupying the site as a furniture manufacturer.

Under this operator, chemicals including stain, acetone, water-based lacquer thinner, and motor oil were stored at the site in 55-gallon drums. Waste at the site was also stored in 55-gallon drums and transported offsite by a licensed hazardous materials transporter.

Historical site operations and chemical use appear to have contributed to the release of VOCs, semi-volatile organic compounds (SVOCs), and metals to soil and groundwater.

Subsurface site investigations conducted between 1988 and 1991 indicated that chromium and nickel were present in soil at maximum concentrations of 1,950 milligrams per kilogram (mg/kg) and 2,900 mg/kg, respectively. A Phase I ESA conducted in 1992 identified environmental concerns including stained soils and pavement, evidence of chromium and nickel spills, former petroleum USTs, and storage of hazardous chemicals (Clayton Group Services, 2006).

In 2000, the DTSC and the property owner entered into a voluntary cleanup agreement (VCA) to address nickel, chromium, and petroleum hydrocarbon contamination at the site.

In 2008, the City of Ontario placed a land use restriction on the property prohibiting future use as a residence, school, hospital, childcare facility, or elderly care facility, citing unacceptable cancer risks (City of Ontario, 2008). Additionally, the concrete/asphalt cover to be maintained to eliminate risk to current and future commercial/industrial workers.

Pursuant to the land use restriction covenant, the property owner must inspect the property 429
S:\Clients\2021-0429-72ONT2-Phase I ESA Report 5-16
on an annual basis and submit a report documenting observations and any violations.

According to the most recent annual inspection report dated January 2021, the concrete/asphalt cover is in acceptable condition and no covenant violations were noted (Infrastructure Engineering Corporation, 2021).

Remaining impacts in soil are separated from groundwater, which is estimated to be at a depth greater than 300 feet bgs. VOCs detected in soil vapor samples were below California Human Health Screening Levels with the exception of PCE and 1,1-dichloroethane.

Subsequent risk assessment indicated that risk levels were below applicable thresholds for commercial/industrial scenarios, while the potential residential scenario was not evaluated.

DTSC expressed concerns regarding construction and intrusive workers and recommended appropriate actions be taken to address these scenarios such avoiding fugitive emissions.

Orion has not identified a REC or CREC for the target property based on (1) the relative distance from the target property and (2) the separation between impacted soil and groundwater at the Oakwood Interiors Site.

5.5.14 Sunshine Cleaners r Driftwood Village
(0.75-mile downgradient)
Sunshine Cleaners is a dry-cleaning facility located in a multi-tenant commercial shopping center. Between approximately 1982 and 1990, Safeway Cleaners conducted dry-cleaning operations at a unit within the shopping center, while Sunshine Cleaners has had ongoing operations since 1990. Together these two facilities comprise EnviroStor Case No. 60002433 in the DTSC Site Cleanup Program, which was opened in December 2016 to investigate and remediate trichloroethylene (TCE) and PCE in soil, soil vapor, and indoor air. Based on investigation activities conducted between 2016 and 2019, groundwater does not appear to have been impacted by TCE, PCE, or other chlorinated VOCs. Soil samples collected in 2019 indicated concentrations of VOCs were generally below laboratory reporting limits across the site. Soil vapor samples collected in 2019 indicated PCE concentrations ranging from below laboratory reporting limits to 10,300 ug/m3 , with
maximum concentrations occurring at a depth of 60 feet bgs. According to a 2019 Abbreviated Site Assessment Report, impacts to soil vapor have not been fully delineated, but PCE concentrations exceeding regulatory screening levels for commercial properties do not appear to extend beyond the property boundary (Civil-Environmental-Survey Group, 2019). As of the date of this Phase I ESA report, EnviroStor Case No. 60002433 remains 430
S:\Clients\2021-0429-72ONT2-Phase I ESA Report 5-17
open to further investigate and remediate the extend of soil vapor impacts. Orion has not identified a REC for the Target Property based on relative downgradient distance and the apparent lack of impacts to groundwater.

5.5.15 Woodcrest Elementary/Jr. High School
(0.94-mile downgradient)
The Woodcrest Elementary/Junior High School property currently consists of Liberty Elementary School and Woodcrest Junior High School. Prior uses at the property have included agricultural farming prior to 1954 and dairy operations between approximately 1962 and 1992. Based on historical records, no hazardous materials appear to have been released at the property. However, soil vapor investigations conducted in 1999 indicated that maximum methane concentrations of 186,000 parts per million by volume (ppmv) were present at the property. Historically elevated methane concentrations were likely attributed to former dairy operations. Concentrations of methane between the lower and upper explosive limits (50,000 and 150,000 ppmv, respectively) can pose an explosion risk if an ignition source is present. A methane mitigation management system was installed between 2003 and 2005 with approval from the DTSC. The system operated between 2005 and 2011 under EnviroStore Case No. 36010007. The DTSC issued a no further remedial action certification in 2011 after methane concentrations decreased below regulatory screening levels of 5,000 ppmv (Miller Brooks Environmental, 2000). Orion has not identified a REC for the Target Property based on relative downgradient distance and regulatory closure.

5.6 Local Agency Review
Orion contacted local agencies defined in Section 2.0 for records associated with the Target Property and neighboring properties. Orion did not identify any RECs after reviewing local agency records that were available at the time of this report. Findings from the records review are summarized below and copies of the records are in Appendix E.

Agency Findings
City of Ontario Fire
Department
Minor violations related to housekeeping, documentation, and permitting were identified for the Target Property, but no records indicative of a release to the environment. Records for neighboring properties were not obtained. 431
S:\Clients\2021-0429-72ONT2-Phase I ESA Report 5-18
Agency Findings
City of Ontario Building
Department
The properties associated with 1914, 1930, 1944 and 1948 S. Bon View Avenue have undergone multiple tenant improvement projects requiring building permits since the late 197nTOne violation was identified for the property associated with 1948 S. Bon View Avenue relating to the lack of necessary permits for construction project in 1981. No reports of permit violations were found in agency records for the other addresses associated with the Target Property.

Records for neighboring properties were not obtained.

City of Ontario Public
Works Department
No records associated with the Target Property address were found and records for neighboring properties were not obtained.

SBC Fire Protection
District
Records indicate that as of March 2019, JLMC is an active, conditionally exempt SQG of hazardous materials at the facility located at 1944 S. Bon View Avenue.

One complaint was identified for the JLMC facility relating to the illegal shipment of materials and cutting of metals. The complaint was closed after an investigation was unable to verify the allegations. Various occupants of facilities associated with 1914 and 1930 S. Bon View Avenue have historically had permits to generate, handle, or store hazardous materials, but these permits are currently inactive. No site remediation records or permits for the removal, installation, or modification of USTs were found for any addresses associated with the Target Property. Records for neighboring properties were not obtained.

SBC Environmental
Health Department
No records associated with the Target Property address were found and records for neighboring properties were not obtained.

5.7 Vapor Encroachment Screening (VES)
Orion conducted a Tier 1 VES in conjunction with the Phase I ESA at the subject Target Property using default Area of Concern parameters and minimum search distances defined in ASTM E2600-15. The Tier I VES was conducted to evaluate whether a vapor encroachment condition (VEC) exists from subsurface contaminants at or near the Target Property. Orion has not identified any VECs and considers a minor spill reported at the Target Property a de minimis condition and no LUST-related records were identified within the Area of Concern. While Ontario Drums and the Oakwood Interiors Site are outside the Area of Concern, Orion evaluated these properties for potential VECs considering the documented releases to the environment and associated remedial responses. However, Orion has not identified a VEC related to the releases based on the information presented in Section 5.5. Details of the Tier 1 VES are included in Appendix F. 432
S:\Clients\2021-0429-72ONT2-Phase I ESA Report 6-1

6.0 NON-SCOPE CONSIDERATIONS
Non-scope issues as per Section 13 of the ASTM E1527-13 were not addressed as part of this Phase I ESA as discussed in Section 1.3 of this report. However, Orion reviewed an asbestos and lead survey report prepared by Ambient on behalf of HK Ventures for the portion of the Target Property at 1944 and 1948 South Bon View Avenue. Ambient performed the survey during November 2018 and summarized the results in a report submitted to HK Ventures during December 2018 (Ambient, 2018). Ambient reported that the property consisted of three single-story buildings, one single-story residence with a detached garage, and storage sheds. Exterior walls were covered with wood or metal siding extending up to the roof level, while interior walls and ceilings were covered with drywall and joint compound or exposed metal or wood. Floors were covered with hardwood, vinyl flooring with associated mastic, ceramic tile, or exposed concrete. Roofs were covered with typical composite roofing and associated mastic. The heating, ventilation, and air conditioning (HVAC) system was metal ducting with fiberglass insulation. After performing a visual inspection, Ambient collected samples from accessible homogeneous building materials for analysis of (1) asbestos content using polarized light microscopy by EPA Method 600/R-93-116 Visual Area Estimation and (2) lead content using x-ray fluorescence (Ambient, 2020). The results indicated that (1) non-friable asbestos was present in 50 percent of roofing material samples collected and (2) lead-based paint does not appear to be present in painted surfaces. Orion did not conduct lead or asbestos surveys to confirm the presence or absence of these materials at the Target Property. 433
S:\Clients\2021-0429-72ONT2-Phase I ESA Report 7-1

7.0 SUMMARY AND CONCLUSIONS
Based on Target Property reconnaissance, interviews, and historical file reviews, Orion has not identified any RECs, CRECs, HRECs, or VECs for the Target Property. According to historical documentation, the Target Property was used for agricultural purposes from at MFBTUUIFnTVOUJMUIFnT)JTUPSJDBMPQFSBUJPOTBUBEKPJOJOHPSOFBSCZQSPQFSUJFT appear to have included an orchard, but Orion did not identify any records indicating pesticide-intensive agricultural operations at the Target Property.

Orion observed an apparently fresh water-sand mixture on the paved ground surface of the Target Property near previously decommissioned metals polishing equipment that contained caked sand/mud. Orion identified the presence of this mixture as a de minimis condition because of the potential presence of metals. Historical records indicated that hazardous materials and wastes were present at the Target Property including halogenated solvents, but no records identified a release of chemicals to the environment. Similarly, hazardous waste oil was observed in labeled drums on secondary containment during reconnaissance, although no leaks or staining were observed in the vicinity of the drums. #BTFEPOJOGPSNBUJPOGSPNUIF4BO#FSOBSEJOP$PVOUZ"TTFTTPSnT0GGJDF UIFTJOHMF-family
residence at the Target Property was constructed in 1979, while the remaining industrial structures were CVJMUJO UIF nT BOE nT "TCFTUPT BOE MFBE TBNQMJOH PG FYJTUJOH structures at 1944 and 1948 South Bon View Avenue were performed by others during December 2018. The results indicated that (1) non-friable asbestos was present in 50 percent of roofing material samples collected and (2) lead-based paint does not appear to be present in painted surfaces.

After completing this Phase I ESA, Orion recommends the following:

1. A hazardous materials survey should be performed prior to demolition of existing structures to further evaluate the potential presence of asbestos or lead at the Target Property.

2. Based on the historical use of halogenated solvents, petroleum hydrocarbons, and metals, a Soil Management Plan should be prepared for potential future site redevelopment activities.
434
S:\Clients\2021-0429-72ONT2-Phase I ESA Report 7-2

3. Samples of the caked sand/mud and water-sand mixture should be collected and analyzed for metals to appropriately characterize and manage these materials before removal and offsite disposal.
435
S:\Clients\2021-0429-72ONT2-Phase I ESA Report 8-1

8.0 REFERENCES
Ambient Environmental Inc., 2020. o"TCFTUPT-FBE 4VSWFZ 'PSUIF 1SPQFSUZMPDBUFE BU
1944- 4PVUI #PO 7JFX "WFOVF
0OUBSJP
$BMJGPSOJB
p QSFQBSFE GPS ), 7FOUVSFT

December.
"45.*OUFSOBUJPOBM
o%FTJHOBUJPO&-13, Standard Practice for Environmental Target Property AssessmeOUT1IBTF*&OWJSPONFOUBM5BSHFU1SPQFSUZ"TTFTTNFOU1SPDFTTp ASTM International, 2015 o%FTJHOBUJPO &2600-15, Standard Guide for Vapor Encroachment Screening on Property Involved in Real Estate Transactionsp California Department of Water Resources, 2003. o$BMJGPSOJBnT(SPVOEXBUFS #VMMFUJO

6QEBUFp
$JUZPG0OUBSJP
o$PWFOBOUUP3FTUSJDU6TFPG1SPQFSUZ
&OWJSPONFOUBM3FTUSJDUJPO
3F
"TTFTTPSnT 1BSDFM /VNCFST -421-01, 1049-421-02, & 1049-431-06 of Bryant Tract M.B. 12/55, Map Book 12, Page 55 as filed in the Office of the Recorder of Said Count. %54$TJUFDPEF

p%FDFNCFS
Civil-Environmental-4VSWFZ(SPVQ
o"CCSFWJBUFE4JUF"TTFTTNFOU3FQPSU
%SJGUXPPE
Village Station, Sunshine Cleaners & Former Safeway Plaza Cleaners, 223402254 S. Euclid "WFOVF
0OUBSJP
$BMJGPSOJB
%54$4*5&$0%&
p0DUPCFS
$MBZUPO (SPVQ 4FSWJDFT
*OD
oSite Investigation Report, 1333 South Bon View $PSQPSBUJPO
4PVUI#PO7JFX"WFOVF
0OUBSJP
$BMJGPSOJB
pQSFQBSFEGPS0BLXPPE
Interiors, 6 November.
%FQBSUNFOUPG5PYJD4VCTUBODFT$POUSPM
o*TTVBODFPG"NFOEFE*OTQFDUJPO3FQPSU
BOE "NFOEFE /PUJDF PG 1SPWJTJPOBM *OTQFDUJPO 7JPMBUJPO 4DPSF p MFUUFS GSPN .BSJB (
Durand to Mr. Daniel P. Gillespie of Lighting Resources, LLC, 24 January. %FQBSUNFOU PG 5PYJD 4VCTUBODFT $POUSPM
o4VNNBSZ PG 7JPMBUJPOT
-JHIUJOH
3FTPVSDFT*OD -3*

&BTU'SBODJT4USFFU
0OUBSJP
$BMJGPSOJB
p.BSDI
(FPTZOUFD $POTVMUBOUT
o2020 Second Semiannual Soil Vapor, Indoor Air, and (SPVOEXBUFS.POJUPSJOH3FQPSU
'PSNFS"MHFS.BOVGBDUVSJOH'BDJMJUZ
0OUBSJP
$BMJGPSOJB
p
prepared for Seaview-AGI Acquisitions, February.
*OGSBTUSVDUVSF &OHJOFFSJOH $PSQPSBUJPO
o "OOVBM *OTQFDUJPO 3FQPSU
'PSNFS
Oakwood *OUFSJPS4JUF
4PVUI#PO7JFX"WFOVF
0OUBSJP
$BMJGPSOJB
pQSFQBSFEGPS
Ontario Municipal Utilities Company, 25 January.
436
S:\Clients\2021-0429-72ONT2-Phase I ESA Report 8-2
.JMMFS#SPPLT &OWJSPONFOUBM
*OD
o1SFMJNJOBSZ&OEBOHFSNFOU"TTFTTNFOU3FQPSU

Chino Valley Unified School District, Proposed Woodcrest School Sites, Ontario, $BMJGPSOJB
pQSFQBSFEGPS$IJOP7BMMFZ6OJGJFE4DIPPM%JTUSJDU
4FQUFNCFS
Robin Environmental Management
o1IBTF*&OWJSPONFOUBM4JUF"TTFTTNFOU3FQPSU

1944-1948 South Bon View Avenue (APN 1050-441-05), OntaSJP $"
pQSFQBSFEGPS
HK Ventures, Inc., UTR Diversified I, LLC, and UTR 1948 Bon View, LLC, 26 November. 64 &OWJSPONFOUBM 1SPUFDUJPO "HFODZ
o.FNPSBOEVN %PDVNFOUBUJPO PG BO
Emergency Removal Action at the Ontario Drums Site, 1516 Bon View, Ontario, San #FSOBSEJOP
$PVOUZ
$"
p.BZ
437
S:\Clients\2021-0429-72ONT2-Phase I ESA Report 9-1

9.0 RELIANCE AND LIMITATIONS
Orion has prepared this report for the exclusive use of Panattoni Development Company, Inc., Bon View Land 10, LLC, and BV Investments 10, LLC, as it pertains to the property located at 21 through 52, 1906, 1914, 1930, 1944, and 1948 South Bon View Avenue in Ontario, California. Any use of or reliance on this report by a third QBSUZTIBMMCFBUTVDIQBSUZnTTPMFSJTL
The scope of this environmental Target Property assessment was limited to visual observation of surface conditions at the Target Property, interviews with personnel familiar with the Target Property, and a review of reasonably available relevant data.

The data reviewed included reports and literature issued by federal, State, and local agencies. Orion has not conducted an independent investigation of the accuracy of these secondary sources and has assumed them to be accurate and complete. Sampling and analysis were not conducted for asbestos, radon, lead-based paint, and lead in drinking water. Investigations of the following conditions were not part of the scope of work and would not have been revealed by the investigation:

Naturally occurring toxics

Toxicity of substances common in current habitable environments, such as stored household products, building materials, and consumables

Biological pathogens

A contaminant plume below the ground surface originating from an offsite source

Contaminants or contaminant concentrations that do not violate present regulatory standards but that may violate future such standards

Unknown Target Property contamination, such as "midnight dumping" or accidental spillage of waste other than the debris observed and noted in this report.

No warranty or guarantee concerning the findings and conclusions of this ESA is offered or intended. Rather, it is represented that the scope and performance of the professional services rendered are in accordance with the current state of practice being conducted in the Target Property region by similarly qualified practitioners. 438
S:\Clients\2021-0429-72ONT2-Phase I ESA Report 10-1

10.0 ENVIRONMENTAL PROFESSIONAL STATEMENT
Orion declares that, to the best of our professional knowledge and belief, we meet the EFGJOJUJPOPGoFOWJSPONFOUBMQSPGFTTJPOBMpBTEFGJOFEin Part 312.10 of Title 40 of the Code of Federal Regulations (40 CFR). Orion personnel have the specific qualifications based on education, training, and experience to assess a property of the nature, history, and setting of the subject property. We have developed and performed all appropriate inquiries in conformance with the standards and practices set forth in 40 CFR Part 312. 29 April 2021
Steve Hash, PE Date
Senior Project Engineer
29 April 2021
Michael P. Purchase, PE Date
Vice President
439
7$%/(
'$7$%$6(5(32577$%/(
6%219,(:$9(18($1'(&('$5675((7
217$5,2&$/,)251,$
3$1$7721,'(9(/230(17&203$1<,1&
&RPSDQ\ $GGUHVV
'LVWDQFH

PLOHV

'LUHFWLRQ
5HODWLYH
WR6LWH *URXQGZDWHU*UDGLHQW 'DWDEDVH
'LVFXVVHGLQ
5HSRUW"

<HV1R

3URSHUW\,QFOXGHG
LQ9(6"

<HV1R

/DUU\5DPRQHGD
6%RQ9LHZ$YHQXH +$=1(7 <HV <HV
&XVWRP&RORU)UDPH
6%RQ9LHZ$YHQXH (0,66,216 1R <HV
6$1%(51&83$ <HV
),1'6)56 1R
6$1%(51&83$ <HV
+$=1(7 <HV
0XOWL7HFK3URGXFWV
6%RQ9LHZ$YHQXH8QLW 6$1%(51&83$ <HV <HV
6$1%(51&83$ <HV
+$=1(7 <HV
6$1%(51&83$ <HV
+$=1(7 <HV+$=1(7 <HV
6$1%(51&83$ <HV
+$=1(7 <HV+$=1(7 <HV
),1'6)56 1R),1'6)56 1R
&(56+$= <HV
5&5$121*(1 1R
),1'6)56 1R
5&5$64* 1R
)OR%LQ5HQWDOV
6%RQ9LHZ$YHQXH +$=1(7 <HV <HV
&RUSRUDWH5HVRXUFH6HUYLFHV
6%RQ9LHZ$YHQXH ),1'6)56 1R <HV
:+7KRUQWRQ&R
6%RQ9LHZ$YHQXH (0,66,216 1R <HV
266,QF
6%RQ9LHZ$YHQXH (6( 8SJUDGLHQW&URVV*UDGLHQW +$=1(7 1R <HV +$=1(7 1R
5&5$121*(1 1R
),1'6)56 1R),1'6)56 1R
6676 1R
,&,6 1R
6$1%(51&83$ 1R
5&5$121*(1 1R
<HV<HV<HV<HV<HV<HV<HV
$%6*OREDO,QF
3HWHUVRQ3LSHOLQH,QF
-/0&,QF
4XDOLW\2IIVHW3ULQWHUV
&ROXPQ(QJLQHHULQJ
1RYD0HQ$XWR5HSDLU

6%RQ9LHZ$YHQXH 3RXFKHV,QF

6%RQ9LHZ$YHQXH8QLW

6%RQ9LHZ$YHQXH1R

6%RQ9LHZ$YHQXH

6%RQ9LHZ$YHQXH1R

6%RQ9LHZ$YHQXH
6%RQ9LHZ$YHQXH
7DUJHW3URSHUW\

(6( 8SJUDGLHQW&URVV*UDGLHQW
1( 8SJUDGLHQW
440
7$%/(
'$7$%$6(5(32577$%/(
6%219,(:$9(18($1'(&('$5675((7
217$5,2&$/,)251,$
3$1$7721,'(9(/230(17&203$1<,1&
&RPSDQ\ $GGUHVV
'LVWDQFH

PLOHV

'LUHFWLRQ
5HODWLYH
WR6LWH *URXQGZDWHU*UDGLHQW 'DWDEDVH
'LVFXVVHGLQ
5HSRUW"

<HV1R

3URSHUW\,QFOXGHG
LQ9(6"

<HV1R

2QWDULR)LUH'HSW 6RXWK%RQ9LHZ$YHQXH 1( 8SJUDGLHQW &+0,56 1R <HV +$=1(7 1R
),1'6)56 1R
'(/,67('+$= 1R

6$1%(51&83$ 1R
3ULYDWH5HVLGHQFH (&HGDU6WUHHW1R' 6 'RZQJUDGLHQW &'/ 1R <HV3ULYDWH5HVLGHQFH (&HGDU6WUHHW$SW$ 6 'RZQJUDGLHQW &'/ 1R <HV
5&5$121*(1 1R
6$1%(51&83$ <HV
&(56+$= <HV
6$1%(51&83$ <HV
&(56+$= <HV
5&5$121*(1 1R
'HYLRXV&XVWRPV
(*UHYLHOOD&RXUW
1( 8SJUDGLHQW 6$1%(51&83$ 1R <HV
6$1%(51&83$ <HV
&(56+$= <HV
3ULYDWH5HVLGHQFH 6%RQ9LHZ$SW'
66( 'RZQJUDGLHQW &'/ 1R <HV
5HOLDEOH ()UDQFLV6WUHHW8QLW1 11: 8SJUDGLHQW&URVV*UDGLHQW 6$1%(51&83$ 1R <HV &HUWLILHG:HOGLQJ ()UDQFLV6WUHHW8QLW0 11: 8SJUDGLHQW&URVV*UDGLHQW 6$1%(51&83$ 1R <HV 7RP*XLOIR\OH ()UDQFLV6WUHHW 1 8SJUDGLHQW&URVV*UDGLHQW 8676:((36 <HV <HV 5&5$64* <HV
6$1%(51&83$ <HV
,VODQG3HWUROHXP%XLOGHUV,QF ()UDQFLV6WUHHW$ 1: &URVV*UDGLHQW 6$1%(51&83$ 1R <HV/DUU\&LDEXUUL = /&DELQHWV
()UDQFLV6WUHHW 1: &URVV*UDGLHQW (0,66,216 1R <HV 1HZ(UD$XWRPRWLYH ()UDQFLV6WUHHW6XLWH$ 1: &URVV*UDGLHQW 5&5$121*(1 1R <HV $UURZKHDG(QJLQHHULQJ ()UDQFLV6WUHHW8QLW) 1: &URVV*UDGLHQW 5&5$121*(1 1R <HV ( /4XDOLW\0DFKLQLQJ ()UDQFLV6WUHHW8QLW7 1: &URVV*UDGLHQW 5&5$121*(1 1R <HV &KDIIH\-RLQW8QLRQ+LJK6FKRRO
()UDQFLV6WUHHW 11( 8SJUDGLHQW (0,66,216 1R <HV '(/,67('+$= 1R
6$1%(51&83$ 1R6$1%(51&83$ 1R
(0,66,216 1R
$PLVK&RXQWU\*D]HERV
()UDQFLV6WUHHW 11: 8SJUDGLHQW&URVV*UDGLHQW 6$1%(51&83$ 1R 1R <HV<HV<HV<HV<HV<HV
1R
6N\6\VWHPV&R,QF
5LYLHUD7XEH%HQGLQJ 0IJ&R
&LW\7RRO:RUNV,QF
/RQJ5XQ7UDLOHUV
6%RQ9LHZ6WUHHW +XE&RQVWUXFWLRQ6SHFLDOWLHV,QF 5 ,,QGXVWULHV,QF
*UHHQOLQH/DERUDWRULHV,QF

()UDQFLV6WUHHW
7D\ORU3ODFH
6&DPSXV$YHQXH
67D\ORU3ODFH
7D\ORU3ODFH
()UDQFLV8QLW7

1(

11:11: 11:
1:
11(
:1:
&URVV*UDGLHQW
8SJUDGLHQW
&URVV*UDGLHQW
8SJUDGLHQW
8SJUDGLHQW&URVV*UDGLHQW8SJUDGLHQW&URVV*UDGLHQW
&URVV*UDGLHQW
441
7$%/(
'$7$%$6(5(32577$%/(
6%219,(:$9(18($1'(&('$5675((7
217$5,2&$/,)251,$
3$1$7721,'(9(/230(17&203$1<,1&
&RPSDQ\ $GGUHVV
'LVWDQFH

PLOHV

'LUHFWLRQ
5HODWLYH
WR6LWH *URXQGZDWHU*UDGLHQW 'DWDEDVH
'LVFXVVHGLQ
5HSRUW"

<HV1R

3URSHUW\,QFOXGHG
LQ9(6"

<HV1R

6$1%(51&83$ 1R
5&5$121*(1 1R
+RQRU7HN 6&DPSXV$YHQXH :1: &URVV*UDGLHQW 6$1%(51&83$ 1R 1R 6$1%(51&83$ 1R
(0,66,216 1R(0,66,216 1R(0,66,216 1R
%URWKHUV9:0DFKLQH6KRS ()UDQFLV6WUHHW 1: &URVV*UDGLHQW 6$1%(51&83$ 1R 1R 6XSHULRU2DN'HVLJQ ()UDQFLV6WUHHW 1: &URVV*UDGLHQW 6$1%(51&83$ 1R 1R 5 20F,QW\UH,QF
()UDQFLV6WUHHW 1( 8SJUDGLHQW (0,66,216 1R <HV 6$1%(51&83$ 1R
(0,66,216 1R
5&5$121*(1 1R
3RO\([WUXVLRQV ()UDQFLV6WUHHW 1: &URVV*UDGLHQW 6$1%(51&83$ 1R 1R 89:RRG)LQLVKLQJ
()UDQFLV6WUHHW8QLW$ 1( 8SJUDGLHQW 6$1%(51&83$ 1R <HV %HVW,QNDQG7KUHDG 6%RQ9LHZ$YHQXH 11( 8SJUDGLHQW 5&5$121*(1 1R 1R 5&5$76' 1R
5&5$/4* 1R
6$1%(51&83$ 1R
(19,526725 <HV(19,526725 <HV
+:3 1R+:3 1R
3&% <HV
5&5$76' 1R5&5$76' 1R
5&5$64* 1R
5&5$121*(1 1R
,163&203(1) <HV,163&203(1) <HV
&RDVW3ODVWLFV,QF
()UDQFLV6WUHHW 1( 8SJUDGLHQW 5&5$121*(1 1R 1R 6$1%(51&83$ 1R
5&5$121*(1 1R
:DONHUV$LU%UDNHV
()UDQFLV6WUHHW 11( 8SJUDGLHQW 6$1%(51&83$ 1R <HV 1R1R1R
<HV
1R
5 5,QGXVWULDO6HUYLFHV,QF
867RROLQJDQG6SDV0DQXIDFWXULQJ
+XGVRQ7HFKQRORJLHV&RPSDQ\
/LJKWLQJ5HVRXUFHV//&
0LFR:HVW
()UDQFLV6WUHHW()UDQFLV6WUHHW()UDQFLV6WUHHW()UDQFLV6WUHHW()UDQFLV6WUHHW 1:
11:
1:
11:

8SJUDGLHQW&URVV*UDGLHQW
&URVV*UDGLHQW&URVV*UDGLHQW
8SJUDGLHQW&URVV*UDGLHQW
1:
&URVV*UDGLHQW
442
7$%/(
'$7$%$6(5(32577$%/(
6%219,(:$9(18($1'(&('$5675((7
217$5,2&$/,)251,$
3$1$7721,'(9(/230(17&203$1<,1&
&RPSDQ\ $GGUHVV
'LVWDQFH

PLOHV

'LUHFWLRQ
5HODWLYH
WR6LWH *URXQGZDWHU*UDGLHQW 'DWDEDVH
'LVFXVVHGLQ
5HSRUW"

<HV1R

3URSHUW\,QFOXGHG
LQ9(6"

<HV1R

+DUGZDUH6SHFLDOWLHV ()UDQFLV6WUHHW 11: 8SJUDGLHQW&URVV*UDGLHQW 6$1%(51&83$ 1R 1R 6$1%(51&83$ 1R
5&5$121*(1 1R
0LVVLRQ/DQGVFDSH&RPSDQLHV,QF
)UDQFLV6WUHHW 1( 8SJUDGLHQW 5&5$121*(1 1R 1R 5&5$121*(1 1R 1R

6$1%(51&83$ 1R <HV
(0,66,216 1R
6$1%(51&83$ 1R
5&5$64* <HV
6WDU0HWDOV,QF 6%RQ9LHZ$YHQXH
11( 8SJUDGLHQW 6$1%(51&83$ 1R <HV
,QODQG6LJQV,QF 6%RQ9LHZ$YHQXH
11( 8SJUDGLHQW 5&5$121*(1 1R <HV
6HUD
V:KROHVDOH1XUVHU\
()UDQFLV6WUHHW 1( 8SJUDGLHQW 6$1%(51&83$ 1R <HV <RODQGD9+HUQDQGH] 6&DPSXV$YHQXH 1: &URVV*UDGLHQW 5&5$121*(1 1R 1R 6$1%(51&83$ <HV
&(567$1. <HV
5&5$64* 1R
5&5$121*(1 1R
1HII&RQVWUXFWLRQ,QF 6%RQ9LHZ$YHQXH 11( 8SJUDGLHQW 6$1%(51&83$ 1R <HV ++66 <HV
8676:((36 <HV
5&5$121*(1 1R5&5$121*(1 1R
5&5$76' 1R
5&5$121*(1 1R5&5$121*(1 1R5&5$121*(1 1R5&5$121*(1 1R5&5$121*(1 1R5&5$121*(1 1R ,QODQG9DOOH\5XEEHU&R,QF 6&DPSXV$YHQXH 1: &URVV*UDGLHQW 6$1%(51&83$ 1R 1R 6(06 1R
&(5&/,6 <HV
2DNZRRG,QWHULRUV6LWH 6%RQ9LHZ$YHQXH 11( 8SJUDGLHQW (19,526725 <HV <HV <HV<HV<HV<HV
1R
<HV
$OOLHG0HFKDQLFDO3URGXFWV
6RXWKWRZQ,QGXVWULDO3DUN
%RPHO&RQVWUXFWLRQ&R,QF
(OLWH7UXFNDQG59//&
:DUILHOG(OHFWULF&R,QF
$0',QWHUQDWLRQDO7HFKQRORJLHV
2QWDULR'UXPV 6%RQ9LHZ$YHQXH

()UDQFLV6WUHHW
6%RQ9LHZ$YHQXH6%RQ9LHZ$YHQXH6%RQ9LHZ$YHQXH DQG
6%RQ9LHZ$YHQXH
6&DPSXV$YHQXH
1(
11( 11(
&URVV*UDGLHQW
11(
8SJUDGLHQW8SJUDGLHQW
1:
8SJUDGLHQW&URVV*UDGLHQW
8SJUDGLHQW8SJUDGLHQW
11(
8SJUDGLHQW
1 443
7$%/(
'$7$%$6(5(32577$%/(
6%219,(:$9(18($1'(&('$5675((7
217$5,2&$/,)251,$
3$1$7721,'(9(/230(17&203$1<,1&
&RPSDQ\ $GGUHVV
'LVWDQFH

PLOHV

'LUHFWLRQ
5HODWLYH
WR6LWH *URXQGZDWHU*UDGLHQW 'DWDEDVH
'LVFXVVHGLQ
5HSRUW"

<HV1R

3URSHUW\,QFOXGHG
LQ9(6"

<HV1R

6XEVKLQH&OHDQHUV'ULIWZRRG9LOODJH 6(XFOLG$YHQXH1R) :6: 'RZQJUDGLHQW (19,526725 <HV 1R :RRGFUHVW(OHPHQWDU\-U+LJK6FKRRO 6&DPSXV$YHQXH 66: 'RZQJUDGLHQW (19,526725 <HV 1R

D
'DWDEDVHDFURQ\PVDUHGHILQHGDVIROORZV

&'/&ODQGHVWLQH'UXJ/DE6LWHV
&(5&/,6&RPSUHKHQVLYH(QYLURQPHQWDO5HVSRQVH&RPSHQVDWLRQDQG/LDELOLW\,QIRUPDWLRQ6\VWHP &(56+$=&DOLIRUQLD(QYLURQPHQWDO5HSRUWLQJ6\VWHP
&(56
+D]DUGRXV:DVWH6LWHV&(567DQN&(567DQNV&+0,56&DOLIRUQLD+D]DUGRXV0DWHULDO,QFLGHQW5HSRUW6\VWHP&/($1836,7(6/LVWRI&OHDQXS3URJUDPVLWHVLQWKHVWDWHRI&DOLIRUQLDPDGHDYDLODEOHWKURXJKWKH6WDWH:DWHU5HVRXUFHV&RQWURO%RDUG 6:5&%

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
,16&203(1)(19,526725,QVSHFWLRQ&RPSOLDQFHDQG(QIRUFHPHQW /867/HDNLQJ8QGHUJURXQG6WRUDJH7DQNVZLWKLQWKH&OHDQXS6LWHVLQWKH*HR7UDFNHUGDWDEDVH 3&%3&%1RWLILHUV5&5$/4*5&5$/DUJH4XDQWLW\*HQHUDWRU5&5$121*(15HVRXUFH&RQVHUYDWLRQDQG5HFRYHU\$FW 5&5$
YHULILHG1RQJHQHUDWRU5&5$64*5&5$6PDOO4XDQWLW\*HQHUDWRU5&5$76'5&5$QRQFRUUHFWLYHDFWLRQVLWHVOLVWHGDV7UHDWPHQW6WRUDJHDQGRU'LVSRVDOIDFLOLWLHVRIKD]DUGRXVZDVWH6$1%(51&83$6DQ%HUQDUGLQR&RXQW\&HUWLILHG8QLILHG3URJUDP$JHQF\ &83$
6(066XSHUIXQG(QWHUSULVH0DQDJHPHQW6\VWHP
6(06
/LVW5$FWLYH6LWH,QYHQWRU\
66766HFWLRQ6HYHQ7UDFNLQJ6\VWHPOLVWRIDFWLYH(3$UHJLVWHUHGIRUHLJQDQGGRPHVWLFSHVWLFLGHSURGXFLQJDQGGHYLFHSURGXFLQJHVWDEOLVKPHQWV8676:((368QGHUJURXQG6WRUDJH7DQN6WDWHZLGH(QYLURQPHQWDO(YDOXDWLRQDQG3ODQQLQJ6\VWHP9&39ROXQWDU\&OHDQXS3URJUDP

E
9(69DSRU(QFURDFKPHQW6FUHHQLQJ
F
1RWDSSOLFDEOH
G
1$1RWDYDLODEOH
444

!" #$ %&'$

(

) *

#+ ,-(,!
."
,

Target Property
445

! "
#"

$%$

& '

"( )*%)!
+
)

Target Property
Residences
Industrial
Industrial
Industrial
Industrial
Industrial Industrial
Industrial
Industrial
Industrial
Building 1
Building 2
Building 3
Building 4
Building 5
Building 6
Residence
446

! "
##

$%$

& '(
( (

") *+(%*!(
,
*
-

Assumed Groundwater
Flow Direction
Note: Properties discussed in Phase I Environmental Site Assessment (ESA) Report are depicted on map. Additional properties were identified in database records search and are discussed and presented elsewhere in the Phase I ESA report. Pins designating the location of each property are based on locations provided in database records search results.

Woodcrest Elementary /
Jr. High School
Sunshine Cleaners -
Driftwood Village
Oakwood Interiors Site
Ontario Drums
Riviera Tube Bending
& Mfg. Co.

Lighting Resources LLC
Tom Guilfoyle
Sky Systems Co., Inc. Greenline
Laboratories, Inc. R&I Industries, Inc.

Warfield ElectricCo.

Allied Mechanical
Products
Southtown Industrial Park
447
S:\Clients\2021-0429-72ONT2-Phase I ESA Report

APPENDIX A

LIST OF FEDERAL AND STATE REGULATORY DATABASES
448
S:\Clients\2021-0429-72ONT2-Phase I ESA Report

APPENDIX A

LIST OF FEDERAL AND STATE REGULATORY DATABASES
Orion reviewed the following regulatory agency databases to obtain information on potential environmental liabilities. Search radii for each database are defined in ASTM *OUFSOBUJPOBMnTStandard Practice for Environmental Target Property Assessments: Phase I Environmental Target Property Assessment Process (E1527-13) and Standard Guide for Vapor Encroachment Screening on a Property Involved in Real Estate Transactions (E2600-15).
Federal sources:
National Priority List (NPL)
Delisted NPL
Comprehensive Environmental Response, Compensation, and Liability Information System (CERCLIS)
CERCLIS No Further Remedial Action Planned (NFRAP)
Resource Conservation and Recovery Act (RCRA) databases including:
RCRA corrective action sites (CORRACTS)
Hazardous waste treatment, storage, and disposal (TSD) facilities
TSD facilities with reported violations
Large and small quantity hazardous waste generators
Federal institutional control and engineering control registries Emergency Response Notification System (ERNS) list of reported releases of oil and hazardous substances
Toxic Release Inventory System (TRIS)
State sources:
Hazardous waste sites identified for investigation or remediation State-equivalent NPL
State-equivalent CERCLIS
Landfill and/or solid waste disposal sites including the Solid Waste Information System (SWIS)
Leaking storage tank lists
Registered storage tank lists
Institutional control and engineering control registries Voluntary cleanup sites
Brownfield sites
California Environmental Protection Agency (CalEPA)
Santa Ana Regional Water Quality Control Board (RWQCB) Department of Toxic Substances Control (DTSC).
449
S:\Clients\2021-0429-72ONT2-Phase I ESA Report

APPENDIX B

ERIS DATABASE REPORT
450
1 erisinfo.com| Environmental Risk Information Services Order No: 21040800524p Property Information
Order Number: 21040800524p
Date Completed: April 8, 2021
Project Number: 72ONT2-1-1
Project Property: S. Bon View Avenue and E. Cedar Street S. Bon View Avenue and E. Cedar Street Ontario CA 91761 Coordinates:

Latitude: 34.03861034
Longitude: -117.63838892
UTM Northing: 3766620.79153 Meters
UTM Easting: 441072.394215 Meters
UTM Zone: UTM Zone 11S
Elevation: 870.10 ft
Slope Direction: SSE
Topographic Information........................................................................................................................................2 Hydrologic Information...........................................................................................................................................4 Geologic Information..............................................................................................................................................7 Soil Information......................................................................................................................................................9 Wells and Additional Sources..............................................................................................................................12 Summary..........................................................................................................................................................13 Detail Report....................................................................................................................................................15 Radon Information...............................................................................................................................................43 Appendix..............................................................................................................................................................44 Liability Notice......................................................................................................................................................46 The ERIS Physical Setting Report - PSR provides comprehensive information about the physical setting around a site and includes a complete overview of topography and surface topology, in addition to hydrologic, geologic and soil characteristics. The location and detailed attributes of oil and gas wells, water wells, public water systems and radon are also included for review.

The compilation of both physical characteristics of a site and additional attribute data is useful in assessing the impact of migration of contaminants and subsequent impact on soils and groundwater.

Disclaimer
This Report does not provide a full environmental evaluation for the site or adjacent properties. Please see the terms and disclaimer at the end of the Report for greater detail.
451
Topographic Information
452
Topographic Information
3 erisinfo.com| Environmental Risk Information Services Order No: 21040800524p The previous topographic map(s) are created by seamlessly merging and cutting current USGS topographic data. Below are shaded relief map(s), derived from USGS elevation data to show surrounding topography in further detail.

Topographic information at project property:

Elevation: 870.10 ft
Slope Direction: SSE
453
Hydrologic Information
454
Hydrologic Information
455
Hydrologic Information
6 erisinfo.com| Environmental Risk Information Services Order No: 21040800524p The Wetland Type map shows wetland existence overlaid on an aerial imagery. The Flood Hazard Zones map shows FEMA flood hazard zones overlaid on an aerial imagery. Relevant FIRM panels and detailed zone information is provided below.

Available FIRM Panels in area: 06071C8638H(effective:2008-08-28) 06071C8616H(effective:2008-08-28) 06071C8620H(effective:2008-08-28) 06071C8617J(effective:2015-02-18) 06071C8636J(effective:2015-02-18) 06037C1750F(effective:2008-09-26) Flood Zone D-01
Zone: D
Zone subtype:

Flood Zone X-01
Zone: X
Zone subtype: 0.2 PCT ANNUAL CHANCE FLOOD HAZARD
Flood Zone X-12
Zone: X
Zone subtype: AREA OF MINIMAL FLOOD HAZARD
Flood Zone X-14
Zone: X
Zone subtype: AREA WITH REDUCED FLOOD RISK DUE TO LEVEE 456
Geologic Information
457
Geologic Information
8 erisinfo.com| Environmental Risk Information Services Order No: 21040800524p The previous page shows USGS geology information. Detailed information about each unit is provided below.

Geologic Unit Q
Unit Name: Quaternary alluvium and marine deposits
Unit Age: Pliocene to Holocene
Primary Rock Type: alluvium
Secondary Rock Type: terrace
Unit Description: Alluvium, lake, playa, and terrace deposits; unconsolidated and semiconsolidated. Mostly nonmarine, but includes marine deposits near the coast. 458
Soil Information
459
Soil Information
10 erisinfo.com| Environmental Risk Information Services Order No: 21040800524p The previous page shows a soil map using SSURGO data from USDA Natural Resources Conservation Service. Detailed information about each unit is provided below.

Map Unit Hr (0.26%)
Map Unit Name: Hilmar loamy fine sand
Bedrock Depth - Min: null
Watertable Depth - Annual Min: null
Drainage Class - Dominant: Somewhat poorly drained
Hydrologic Group - Dominant: C - Soils in this group have moderately high runoff potential when thoroughly wet. Water transmission through the soil is somewhat restricted.

Major components are printed below
Hilmar(85%)
horizon A(0cm to 33cm) Loamy fine sand
horizon C1(33cm to 41cm) Loamy sand
horizon C2(41cm to 58cm) Loamy sand
horizon 2C3(58cm to 152cm) Stratified loamy sand to loam Component Description:

Minor map unit components are excluded from this report.

Map Unit: Hr - Hilmar loamy fine sand
Component: Hilmar (85%)
The Hilmar component makes up 85 percent of the map unit. Slopes are 0 to 2 percent. This component is on alluvial fans, alluvial plains. The parent material consists of alluvium derived from granite. Depth to a root restrictive layer is greater than 60 inches. The natural drainage class is somewhat poorly drained. Water movement in the most restrictive layer is moderately high. Available water to a depth of 60 inches (or restricted depth) is moderate. Shrink-swell potential is low. This soil is rarely flooded. It is not ponded.

There is no zone of water saturation within a depth of 72 inches. Organic matter content in the surface horizon is about 1 percent.

Nonirrigated land capability classification is 4w. This soil does not meet hydric criteria. The calcium carbonate equivalent within 40 inches, typically, does not exceed 3 percent. The soil has a slightly saline horizon within 30 inches of the soil surface.

Component: Delhi (10%)
Generated brief soil descriptions are created for major soil components. The Delhi soil is a minor component.

Component: Tujunga (5%)
Generated brief soil descriptions are created for major soil components. The Tujunga soil is a minor component.

Map Unit TuB (99.74%)
Map Unit Name: Tujunga loamy sand, 0 to 5 percent slopes Bedrock Depth - Min: null
Watertable Depth - Annual Min: null
Drainage Class - Dominant: Somewhat excessively drained Hydrologic Group - Dominant: A - Soils in this group have low runoff potential when thoroughly wet. Water is transmitted freely through the soil.

Major components are printed below
Tujunga(85%)
horizon A(0cm to 15cm) Loamy sand
horizon C1(15cm to 46cm) Loamy sand
horizon C2(46cm to 152cm) Loamy sand
Component Description:
460
Soil Information
11 erisinfo.com| Environmental Risk Information Services Order No: 21040800524p Minor map unit components are excluded from this report.

Map Unit: TuB - Tujunga loamy sand, 0 to 5 percent slopes Component: Tujunga (85%)
The Tujunga, loamy sand component makes up 85 percent of the map unit. Slopes are 0 to 5 percent. This component is on alluvial fans, alluvial plains. The parent material consists of alluvium derived from granite. Depth to a root restrictive layer is greater than 60 inches. The natural drainage class is somewhat excessively drained. Water movement in the most restrictive layer is high. Available water to a depth of 60 inches (or restricted depth) is low. Shrink-swell potential is low. This soil is rarely flooded. It is not ponded.

There is no zone of water saturation within a depth of 72 inches. Organic matter content in the surface horizon is about 1 percent.

Nonirrigated land capability classification is 4e. This soil does not meet hydric criteria.

Component: Tujunga (10%)
Generated brief soil descriptions are created for major soil components. The Tujunga soil is a minor component.

Component: Hanford (5%)
Generated brief soil descriptions are created for major soil components. The Hanford soil is a minor component. 461
Wells and Additional Sources
462
Wells and Additional Sources Summary
13 erisinfo.com| Environmental Risk Information Services Order No: 21040800524p Federal Sources
Public Water Systems Violations and Enforcement Data
Map Key PWS ID Distance (ft) Direction
3 CA3610034 2,966.89 N
Safe Drinking Water Information System (SDWIS)
Map Key PWS ID Distance (ft) Direction
3 CA3610034 2,966.89 N
USGS National Water Information System
Map Key Monitoring Loc Identifier Distance (ft) Direction 2 USGS-340228117374401 2,598.15 ENE
4 USGS-340248117375501 3,003.91 NNE
6 USGS-340303117383501 4,408.10 NNW
12 USGS-340255117390401 5,094.82 NW
13 USGS-11073493 5,244.32 E
State Sources
Oil and Gas Wells
Map Key ID Distance (ft) Direction
No records found
Periodic Groundwater Level Measurement Locations
Map Key ID Distance (ft) Direction
No records found
Well Completion Reports
Map Key WCR No Distance (ft) Direction
1 WCR0298658 714.00 NNE
1 WCR1994-012370 714.00 NNE
1 WCR2007-009669 714.00 NNE
1 WCR2007-009670 714.00 NNE
1 WCR2009-009670 714.00 NNE
1 WCR0285997 714.00 NNE
1 WCR1776-007459 714.00 NNE
1 WCR1983-006749 714.00 NNE
1 WCR2010-009991 714.00 NNE
1 WCR2009-010028 714.00 NNE
1 WCR1983-007113 714.00 NNE
1 WCR0173757 714.00 NNE
5 WCR1776-008734 4,080.43 S
463
Wells and Additional Sources Summary
14 erisinfo.com| Environmental Risk Information Services Order No: 21040800524p 5 WCR0226299 4,080.43 S
5 WCR2006-010234 4,080.43 S
5 WCR1776-007836 4,080.43 S
5 WCR1957-001829 4,080.43 S
5 WCR0279636 4,080.43 S
5 WCR0322600 4,080.43 S
5 WCR1976-005714 4,080.43 S
5 WCR1972-003123 4,080.43 S
5 WCR1977-010461 4,080.43 S
5 WCR1929-000197 4,080.43 S
5 WCR1973-003493 4,080.43 S
5 WCR0213054 4,080.43 S
5 WCR1976-005715 4,080.43 S
5 WCR1963-001520 4,080.43 S
5 WCR1997-010979 4,080.43 S
5 WCR1999-011371 4,080.43 S
5 WCR2006-010341 4,080.43 S
5 WCR1995-012429 4,080.43 S
5 WCR1954-002486 4,080.43 S
5 WCR2002-012406 4,080.43 S
5 WCR1954-001990 4,080.43 S
5 WCR1971-002483 4,080.43 S
5 WCR1997-011007 4,080.43 S
5 WCR1936-000189 4,080.43 S
5 WCR1776-007812 4,080.43 S
5 WCR1957-001716 4,080.43 S
5 WCR1978-008572 4,080.43 S
5 WCR1997-011377 4,080.43 S
5 WCR1776-011724 4,080.43 S
5 WCR2006-010342 4,080.43 S
5 WCR1963-001867 4,080.43 S
5 WCR0118375 4,080.43 S
5 WCR1978-007968 4,080.43 S
5 WCR1997-011376 4,080.43 S
7 WCR2019-008760 4,501.39 WSW
8 WCR2019-008759 4,596.32 WSW
9 WCR1925-000099 4,666.16 WNW
9 WCR1993-010851 4,666.16 WNW
9 WCR2000-011005 4,666.16 WNW
9 WCR1994-011880 4,666.16 WNW
9 WCR1957-001673 4,666.16 WNW
9 WCR1994-011123 4,666.16 WNW
9 WCR1994-011881 4,666.16 WNW
9 WCR1992-014975 4,666.16 WNW
9 WCR1993-010850 4,666.16 WNW
9 WCR1993-010852 4,666.16 WNW
9 WCR1910-000061 4,666.16 WNW
9 WCR2000-010961 4,666.16 WNW
9 WCR2000-011003 4,666.16 WNW
9 WCR1992-017050 4,666.16 WNW
9 WCR2000-011004 4,666.16 WNW
9 WCR2000-010962 4,666.16 WNW
9 WCR1994-011879 4,666.16 WNW
9 WCR2000-012827 4,666.16 WNW
9 WCR1992-017049 4,666.16 WNW
9 WCR1999-011233 4,666.16 WNW
9 WCR1998-010474 4,666.16 WNW
9 WCR2000-012656 4,666.16 WNW
9 WCR1999-011494 4,666.16 WNW
9 WCR2000-012970 4,666.16 WNW
9 WCR1998-009745 4,666.16 WNW
9 WCR1999-011495 4,666.16 WNW
9 WCR2000-011002 4,666.16 WNW
10 WCR2019-008756 4,707.64 WSW
11 WCR2019-016170 4,959.08 NNE
464
Wells and Additional Sources Detail Report
15 erisinfo.com| Environmental Risk Information Services Order No: 21040800524p Public Water Systems Violations and Enforcement Data
Map Key Direction Distance (mi) Distance (ft) Elevation (ft) DB 3 N 0.56 2,966.89 910.51 PWSV
Address Line 2:

State Code: CA
Zip Code: 91761
City Name: ONTARIO
Address Line 1: 1425 S. BON VIEW AVE.

PWS ID: CA3610034
PWS Type Code: CWS
PWS Type Description: Community Water System
Primary Source Code: SWP
Primary Source Desc: Purchased Surface Water
PWS Activity Code: A
PWS Activity Description: Active
PWS Deactivation Date:

Phone Number: 909-395-2682
--Details--
Population Served Count: 167382
City Served: ONTARIO
County Served: San Bernardino
State Served: CA
Zip Code Served:

Safe Drinking Water Information System (SDWIS)
Map Key Direction Distance (mi) Distance (ft) Elevation (ft) DB 3 N 0.56 2,966.89 910.51 SDWIS
PWS ID: CA3610034
PWS Type: Community water system
No of Facilities: 95
No of Violations: 1
No of Site Visits: 13
Cities Served: ONTARIO
Counties Served: San Bernardino
Population Served Count: 175,841
Primacy Agency: California
EPA Region: Region 9
USGS National Water Information System
Map Key Direction Distance (mi) Distance (ft) Elevation (ft) DB 2 ENE 0.49 2,598.15 877.77 FED USGS
465
Wells and Additional Sources Detail Report
16 erisinfo.com| Environmental Risk Information Services Order No: 21040800524p Organiz Identifier: USGS-CA Formation Type:

Organiz Name: USGS California Water Science
Center
Aquifer Name:

Well Depth: Aquifer Type:

Well Depth Unit: Country Code: US
Well Hole Depth: Provider Name: NWIS
W Hole Depth Unit: County: SAN BERNARDINO
Construction Date: Latitude: 34.0413333
Source Map Scale: 24000 Longitude: -117.6291389
Monitoring Loc Name: STORM DRAIN FRANCIS AND GROVE NR ONTARIO CA Monitoring Loc Identifier: USGS-340228117374401
Monitoring Loc Type: Facility: Storm sewer
Monitoring Loc Desc:

HUC Eight Digit Code: 18070203
Drainage Area:

Drainage Area Unit:

Contrib Drainage Area:

Contrib Drainage Area
Unit:

Horizontal Accuracy: Unknown
Horizontal Accuracy Unit: Unknown
Horizontal Collection
Mthd:

Mapping grade GPS unit (handheld accuracy range 12 to 40 ft) Horiz Coord Refer
System:

NAD83
Vertical Measure: 880
Vertical Measure Unit: feet
Vertical Accuracy: 5
Vertical Accuracy Unit: feet
Vertical Collection Mthd: Interpolated from topographic map.

Vert Coord Refer System: NGVD29
Map Key Direction Distance (mi) Distance (ft) Elevation (ft) DB 4 NNE 0.57 3,003.91 902.46 FED USGS
Organiz Identifier: USGS-CA Formation Type:

Organiz Name: USGS California Water Science
Center
Aquifer Name: California Coastal Basin aquifers
Well Depth: 428 Aquifer Type:

Well Depth Unit: ft Country Code: US
Well Hole Depth: Provider Name: NWIS
W Hole Depth Unit: County: SAN BERNARDINO
Construction Date: Latitude: 34.0466783
Source Map Scale: 24000 Longitude: -117.6328314
Monitoring Loc Name: 001S007W32A002S
Monitoring Loc Identifier: USGS-340248117375501
Monitoring Loc Type: Well
Monitoring Loc Desc:
466
Wells and Additional Sources Detail Report
17 erisinfo.com| Environmental Risk Information Services Order No: 21040800524p HUC Eight Digit Code: 18070203
Drainage Area:

Drainage Area Unit:

Contrib Drainage Area:

Contrib Drainage Area
Unit:

Horizontal Accuracy: 1
Horizontal Accuracy Unit: seconds
Horizontal Collection
Mthd:

Interpolated from MAP.

Horiz Coord Refer
System:

NAD83
Vertical Measure:

Vertical Measure Unit:

Vertical Accuracy:

Vertical Accuracy Unit:

Vertical Collection Mthd:

Vert Coord Refer System:

Map Key Direction Distance (mi) Distance (ft) Elevation (ft) DB 6 NNW 0.83 4,408.10 928.39 FED USGS
Organiz Identifier: USGS-CA Formation Type:

Organiz Name: USGS California Water Science
Center
Aquifer Name: California Coastal Basin aquifers
Well Depth: 444 Aquifer Type:

Well Depth Unit: ft Country Code: US
Well Hole Depth: Provider Name: NWIS
W Hole Depth Unit: County: SAN BERNARDINO
Construction Date: Latitude: 34.0508448
Source Map Scale: 24000 Longitude: -117.6439429
Monitoring Loc Name: 001S007W29N001S
Monitoring Loc Identifier: USGS-340303117383501
Monitoring Loc Type: Well
Monitoring Loc Desc:

HUC Eight Digit Code: 18070203
Drainage Area:

Drainage Area Unit:

Contrib Drainage Area:

Contrib Drainage Area
Unit:

Horizontal Accuracy: 1
Horizontal Accuracy Unit: seconds
Horizontal Collection
Mthd:

Interpolated from MAP.

Horiz Coord Refer
System:

NAD83
Vertical Measure:

Vertical Measure Unit:

Vertical Accuracy:
467
Wells and Additional Sources Detail Report
18 erisinfo.com| Environmental Risk Information Services Order No: 21040800524p Vertical Accuracy Unit:

Vertical Collection Mthd:

Vert Coord Refer System:

Map Key Direction Distance (mi) Distance (ft) Elevation (ft) DB 12 NW 0.96 5,094.82 922.51 FED USGS
Organiz Identifier: USGS-CA Formation Type:

Organiz Name: USGS California Water Science
Center
Aquifer Name: California Coastal Basin aquifers
Well Depth: 672 Aquifer Type:

Well Depth Unit: ft Country Code: US
Well Hole Depth: Provider Name: NWIS
W Hole Depth Unit: County: SAN BERNARDINO
Construction Date: Latitude: 34.0486226
Source Map Scale: 24000 Longitude: -117.6519986
Monitoring Loc Name: 001S007W30Q001S
Monitoring Loc Identifier: USGS-340255117390401
Monitoring Loc Type: Well
Monitoring Loc Desc:

HUC Eight Digit Code: 18070203
Drainage Area:

Drainage Area Unit:

Contrib Drainage Area:

Contrib Drainage Area
Unit:

Horizontal Accuracy: 1
Horizontal Accuracy Unit: seconds
Horizontal Collection
Mthd:

Interpolated from MAP.

Horiz Coord Refer
System:

NAD83
Vertical Measure:

Vertical Measure Unit:

Vertical Accuracy:

Vertical Accuracy Unit:

Vertical Collection Mthd:

Vert Coord Refer System:

Map Key Direction Distance (mi) Distance (ft) Elevation (ft) DB 13 E 0.99 5,244.32 852.22 FED USGS
Organiz Identifier: USGS-CA Formation Type:

Organiz Name: USGS California Water Science
Center
Aquifer Name:

Well Depth: Aquifer Type:

Well Depth Unit: Country Code: US
Well Hole Depth: Provider Name: NWIS
468
Wells and Additional Sources Detail Report
19 erisinfo.com| Environmental Risk Information Services Order No: 21040800524p W Hole Depth Unit: County: SAN BERNARDINO
Construction Date: Latitude: 34.0375119
Source Map Scale: 24000 Longitude: -117.6200532
Monitoring Loc Name: W BR CUCAMONGA CHANNEL AB ELY PERC BASIN A ONTARIO Monitoring Loc Identifier: USGS-11073493
Monitoring Loc Type: Stream
Monitoring Loc Desc:

HUC Eight Digit Code: 18070203
Drainage Area: 6.01
Drainage Area Unit: sq mi
Contrib Drainage Area:

Contrib Drainage Area
Unit:

Horizontal Accuracy: 1
Horizontal Accuracy Unit: seconds
Horizontal Collection
Mthd:

Interpolated from MAP.

Horiz Coord Refer
System:

NAD83
Vertical Measure: 850
Vertical Measure Unit: feet
Vertical Accuracy: 2.5
Vertical Accuracy Unit: feet
Vertical Collection Mthd: Interpolated from topographic map.

Vert Coord Refer System: NGVD29
Well Completion Reports
Map Key Direction Distance (mi) Distance (ft) Elevation (ft) DB 1 NNE 0.14 714.00 878.51 WATER WELLS
WCR No: WCR0298658 County: San Bernardino
County(OSWCR): San Bernardino Decimal Latitude: 34.04129 Decimal Lat(OSWCR): 34.04129 Decimal Longitude: -117.63712 Decim Long(OSWCR): -117.63712
Location(OSWCR): None
City(OSWCR): None
Location: None
City: None
Original Source: California Department of Water Resources - OSWCR(Well Numbers), as of Apr 29, 2020; California Department of Water Resources - Well Completion Reports Map Key Direction Distance (mi) Distance (ft) Elevation (ft) DB 1 NNE 0.14 714.00 878.51 WATER WELLS
WCR No: WCR1994-012370 County: San Bernardino
County(OSWCR): San Bernardino Decimal Latitude: 34.04129 Decimal Lat(OSWCR): 34.04129 Decimal Longitude: -117.63712 Decim Long(OSWCR): -117.63712
469
Wells and Additional Sources Detail Report
20 erisinfo.com| Environmental Risk Information Services Order No: 21040800524p Location(OSWCR): Cucamonga Avenue
City(OSWCR): Ontario
Location: Cucamonga Avenue
City: Ontario
Original Source: California Department of Water Resources - OSWCR(Well Numbers), as of Apr 29, 2020; California Department of Water Resources - Well Completion Reports Map Key Direction Distance (mi) Distance (ft) Elevation (ft) DB 1 NNE 0.14 714.00 878.51 WATER WELLS
WCR No: WCR2007-009669 County: San Bernardino
County(OSWCR): San Bernardino Decimal Latitude: 34.04129 Decimal Lat(OSWCR): 34.04129 Decimal Longitude: -117.63712 Decim Long(OSWCR): -117.63712
Location(OSWCR): Bon View & Philadelphia
City(OSWCR): Ontario
Location: Bon View & Philadelphia
City: Ontario
Original Source: California Department of Water Resources - OSWCR(Well Numbers), as of Apr 29, 2020; California Department of Water Resources - Well Completion Reports Map Key Direction Distance (mi) Distance (ft) Elevation (ft) DB 1 NNE 0.14 714.00 878.51 WATER WELLS
WCR No: WCR2007-009670 County: San Bernardino
County(OSWCR): San Bernardino Decimal Latitude: 34.04129 Decimal Lat(OSWCR): 34.04129 Decimal Longitude: -117.63712 Decim Long(OSWCR): -117.63712
Location(OSWCR): Bon View & Philadelphia
City(OSWCR): Ontario
Location: Bon View & Philadelphia
City: Ontario
Original Source: California Department of Water Resources - OSWCR(Well Numbers), as of Apr 29, 2020; California Department of Water Resources - Well Completion Reports Map Key Direction Distance (mi) Distance (ft) Elevation (ft) DB 1 NNE 0.14 714.00 878.51 WATER WELLS
WCR No: WCR2009-009670 County: San Bernardino
County(OSWCR): San Bernardino Decimal Latitude: 34.04129 Decimal Lat(OSWCR): 34.04129 Decimal Longitude: -117.63712 Decim Long(OSWCR): -117.63712
Location(OSWCR): Bon View Avenue & E Philadelphia Street City(OSWCR): Ontario
Location: Bon View Avenue & E Philadelphia Street
City: Ontario
Original Source: California Department of Water Resources - OSWCR(Well Numbers), as of Apr 29, 2020; California 470
Wells and Additional Sources Detail Report
21 erisinfo.com| Environmental Risk Information Services Order No: 21040800524p Department of Water Resources - Well Completion Reports Map Key Direction Distance (mi) Distance (ft) Elevation (ft) DB 1 NNE 0.14 714.00 878.51 WATER WELLS
WCR No: WCR0285997 County: San Bernardino
County(OSWCR): San Bernardino Decimal Latitude: 34.04129 Decimal Lat(OSWCR): 34.04129 Decimal Longitude: -117.63712 Decim Long(OSWCR): -117.63712
Location(OSWCR): None
City(OSWCR): None
Location: None
City: None
Original Source: California Department of Water Resources - OSWCR(Well Numbers), as of Apr 29, 2020; California Department of Water Resources - Well Completion Reports Map Key Direction Distance (mi) Distance (ft) Elevation (ft) DB 1 NNE 0.14 714.00 878.51 WATER WELLS
WCR No: WCR1776-007459 County: San Bernardino
County(OSWCR): San Bernardino Decimal Latitude: 34.04129 Decimal Lat(OSWCR): 34.04129 Decimal Longitude: -117.63712 Decim Long(OSWCR): -117.63712
Location(OSWCR): CAMPUS, PHILLIPS
City(OSWCR): None
Location: CAMPUS, PHILLIPS
City: None
Original Source: California Department of Water Resources - OSWCR(Well Numbers), as of Apr 29, 2020; California Department of Water Resources - Well Completion Reports Map Key Direction Distance (mi) Distance (ft) Elevation (ft) DB 1 NNE 0.14 714.00 878.51 WATER WELLS
WCR No: WCR1983-006749 County: San Bernardino
County(OSWCR): San Bernardino Decimal Latitude: 34.04129 Decimal Lat(OSWCR): 34.04129 Decimal Longitude: -117.63712 Decim Long(OSWCR): -117.63712
Location(OSWCR): 1425 S Bon View AVE
City(OSWCR): Ontario
Location: 1425 S Bon View AVE
City: Ontario
Original Source: California Department of Water Resources - OSWCR(Well Numbers), as of Apr 29, 2020; California Department of Water Resources - Well Completion Reports Map Key Direction Distance (mi) Distance (ft) Elevation (ft) DB 1 NNE 0.14 714.00 878.51 WATER WELLS
471
Wells and Additional Sources Detail Report
22 erisinfo.com| Environmental Risk Information Services Order No: 21040800524p WCR No: WCR2010-009991 County: San Bernardino
County(OSWCR): San Bernardino Decimal Latitude: 34.04129 Decimal Lat(OSWCR): 34.04129 Decimal Longitude: -117.63712 Decim Long(OSWCR): -117.63712
Location(OSWCR): S Bon View Avenue & E Philadelphia Stree City(OSWCR): Ontario
Location: S Bon View Avenue & E Philadelphia Stree
City: Ontario
Original Source: California Department of Water Resources - OSWCR(Well Numbers), as of Apr 29, 2020; California Department of Water Resources - Well Completion Reports Map Key Direction Distance (mi) Distance (ft) Elevation (ft) DB 1 NNE 0.14 714.00 878.51 WATER WELLS
WCR No: WCR2009-010028 County: San Bernardino
County(OSWCR): San Bernardino Decimal Latitude: 34.04129 Decimal Lat(OSWCR): 34.04129 Decimal Longitude: -117.63712 Decim Long(OSWCR): -117.63712
Location(OSWCR): S Bon View Avenue & E Philadelphia Stree City(OSWCR): Ontario
Location: S Bon View Avenue & E Philadelphia Stree
City: Ontario
Original Source: California Department of Water Resources - OSWCR(Well Numbers), as of Apr 29, 2020; California Department of Water Resources - Well Completion Reports Map Key Direction Distance (mi) Distance (ft) Elevation (ft) DB 1 NNE 0.14 714.00 878.51 WATER WELLS
WCR No: WCR1983-007113 County: San Bernardino
County(OSWCR): San Bernardino Decimal Latitude: 34.04129 Decimal Lat(OSWCR): 34.04129 Decimal Longitude: -117.63712 Decim Long(OSWCR): -117.63712
Location(OSWCR): 1425 S Bon View
City(OSWCR): Ontario
Location: 1425 S Bon View
City: Ontario
Original Source: California Department of Water Resources - OSWCR(Well Numbers), as of Apr 29, 2020; California Department of Water Resources - Well Completion Reports Map Key Direction Distance (mi) Distance (ft) Elevation (ft) DB 1 NNE 0.14 714.00 878.51 WATER WELLS
WCR No: WCR0173757 County: San Bernardino
County(OSWCR): San Bernardino Decimal Latitude: 34.04129 Decimal Lat(OSWCR): 34.04129 Decimal Longitude: -117.63712 Decim Long(OSWCR): -117.63712
472
Wells and Additional Sources Detail Report
23 erisinfo.com| Environmental Risk Information Services Order No: 21040800524p Location(OSWCR): None
City(OSWCR): None
Location: None
City: None
Original Source: California Department of Water Resources - OSWCR(Well Numbers), as of Apr 29, 2020; California Department of Water Resources - Well Completion Reports Map Key Direction Distance (mi) Distance (ft) Elevation (ft) DB 5 S 0.77 4,080.43 817.40 WATER WELLS
WCR No: WCR1776-008734 County: San Bernardino
County(OSWCR): San Bernardino Decimal Latitude: 34.02668 Decimal Lat(OSWCR): 34.02668 Decimal Longitude: -117.63703 Decim Long(OSWCR): -117.63703
Location(OSWCR): SULTANA, ELY
City(OSWCR): None
Location: SULTANA, ELY
City: None
Original Source: California Department of Water Resources - OSWCR(Well Numbers), as of Apr 29, 2020; California Department of Water Resources - Well Completion Reports Map Key Direction Distance (mi) Distance (ft) Elevation (ft) DB 5 S 0.77 4,080.43 817.40 WATER WELLS
WCR No: WCR0226299 County: San Bernardino
County(OSWCR): San Bernardino Decimal Latitude: 34.02668 Decimal Lat(OSWCR): 34.02668 Decimal Longitude: -117.63703 Decim Long(OSWCR): -117.63703
Location(OSWCR): None
City(OSWCR): None
Location: None
City: None
Original Source: California Department of Water Resources - OSWCR(Well Numbers), as of Apr 29, 2020; California Department of Water Resources - Well Completion Reports Map Key Direction Distance (mi) Distance (ft) Elevation (ft) DB 5 S 0.77 4,080.43 817.40 WATER WELLS
WCR No: WCR2006-010234 County: San Bernardino
County(OSWCR): San Bernardino Decimal Latitude: 34.02668 Decimal Lat(OSWCR): 34.02668 Decimal Longitude: -117.63703 Decim Long(OSWCR): -117.63703
Location(OSWCR): 2431 S Euclid Avenue
City(OSWCR): Ontario
Location: 2431 S Euclid Avenue
City: Ontario
Original Source: California Department of Water Resources - OSWCR(Well Numbers), as of Apr 29, 2020; California 473
Wells and Additional Sources Detail Report
24 erisinfo.com| Environmental Risk Information Services Order No: 21040800524p Department of Water Resources - Well Completion Reports Map Key Direction Distance (mi) Distance (ft) Elevation (ft) DB 5 S 0.77 4,080.43 817.40 WATER WELLS
WCR No: WCR1776-007836 County: San Bernardino
County(OSWCR): San Bernardino Decimal Latitude: 34.02668 Decimal Lat(OSWCR): 34.02668 Decimal Longitude: -117.63703 Decim Long(OSWCR): -117.63703
Location(OSWCR): WALNUT ST, BON VIEW
City(OSWCR): Chino
Location: WALNUT ST, BON VIEW
City: Chino
Original Source: California Department of Water Resources - OSWCR(Well Numbers), as of Apr 29, 2020; California Department of Water Resources - Well Completion Reports Map Key Direction Distance (mi) Distance (ft) Elevation (ft) DB 5 S 0.77 4,080.43 817.40 WATER WELLS
WCR No: WCR1957-001829 County: San Bernardino
County(OSWCR): San Bernardino Decimal Latitude: 34.02668 Decimal Lat(OSWCR): 34.02668 Decimal Longitude: -117.63703 Decim Long(OSWCR): -117.63703
Location(OSWCR): EUCLID, RIVERSIDE DR
City(OSWCR): None
Location: EUCLID, RIVERSIDE DR
City: None
Original Source: California Department of Water Resources - OSWCR(Well Numbers), as of Apr 29, 2020; California Department of Water Resources - Well Completion Reports Map Key Direction Distance (mi) Distance (ft) Elevation (ft) DB 5 S 0.77 4,080.43 817.40 WATER WELLS
WCR No: WCR0279636 County: San Bernardino
County(OSWCR): San Bernardino Decimal Latitude: 34.02668 Decimal Lat(OSWCR): 34.02668 Decimal Longitude: -117.63703 Decim Long(OSWCR): -117.63703
Location(OSWCR): None
City(OSWCR): None
Location: None
City: None
Original Source: California Department of Water Resources - OSWCR(Well Numbers), as of Apr 29, 2020; California Department of Water Resources - Well Completion Reports Map Key Direction Distance (mi) Distance (ft) Elevation (ft) DB 5 S 0.77 4,080.43 817.40 WATER WELLS
474
Wells and Additional Sources Detail Report
25 erisinfo.com| Environmental Risk Information Services Order No: 21040800524p WCR No: WCR0322600 County: San Bernardino
County(OSWCR): San Bernardino Decimal Latitude: 34.02668 Decimal Lat(OSWCR): 34.02668 Decimal Longitude: -117.63703 Decim Long(OSWCR): -117.63703
Location(OSWCR): None
City(OSWCR): None
Location: None
City: None
Original Source: California Department of Water Resources - OSWCR(Well Numbers), as of Apr 29, 2020; California Department of Water Resources - Well Completion Reports Map Key Direction Distance (mi) Distance (ft) Elevation (ft) DB 5 S 0.77 4,080.43 817.40 WATER WELLS
WCR No: WCR1976-005714 County: San Bernardino
County(OSWCR): San Bernardino Decimal Latitude: 34.02668 Decimal Lat(OSWCR): 34.02668 Decimal Longitude: -117.63703 Decim Long(OSWCR): -117.63703
Location(OSWCR): None
City(OSWCR): None
Location: None
City: None
Original Source: California Department of Water Resources - OSWCR(Well Numbers), as of Apr 29, 2020; California Department of Water Resources - Well Completion Reports Map Key Direction Distance (mi) Distance (ft) Elevation (ft) DB 5 S 0.77 4,080.43 817.40 WATER WELLS
WCR No: WCR1972-003123 County: San Bernardino
County(OSWCR): San Bernardino Decimal Latitude: 34.02668 Decimal Lat(OSWCR): 34.02668 Decimal Longitude: -117.63703 Decim Long(OSWCR): -117.63703
Location(OSWCR): PINE AVE, JOHNSON AVE
City(OSWCR): None
Location: PINE AVE, JOHNSON AVE
City: None
Original Source: California Department of Water Resources - OSWCR(Well Numbers), as of Apr 29, 2020; California Department of Water Resources - Well Completion Reports Map Key Direction Distance (mi) Distance (ft) Elevation (ft) DB 5 S 0.77 4,080.43 817.40 WATER WELLS
WCR No: WCR1977-010461 County: San Bernardino
County(OSWCR): San Bernardino Decimal Latitude: 34.02668 Decimal Lat(OSWCR): 34.02668 Decimal Longitude: -117.63703 Decim Long(OSWCR): -117.63703
475
Wells and Additional Sources Detail Report
26 erisinfo.com| Environmental Risk Information Services Order No: 21040800524p Location(OSWCR): CUCAMONGA, RIVERSIDE
City(OSWCR): None
Location: CUCAMONGA, RIVERSIDE
City: None
Original Source: California Department of Water Resources - OSWCR(Well Numbers), as of Apr 29, 2020; California Department of Water Resources - Well Completion Reports Map Key Direction Distance (mi) Distance (ft) Elevation (ft) DB 5 S 0.77 4,080.43 817.40 WATER WELLS
WCR No: WCR1929-000197 County: San Bernardino
County(OSWCR): San Bernardino Decimal Latitude: 34.02668 Decimal Lat(OSWCR): 34.02668 Decimal Longitude: -117.63703 Decim Long(OSWCR): -117.63703
Location(OSWCR): WALNUT AVE, CUCAMONGA AVE
City(OSWCR): None
Location: WALNUT AVE, CUCAMONGA AVE
City: None
Original Source: California Department of Water Resources - OSWCR(Well Numbers), as of Apr 29, 2020; California Department of Water Resources - Well Completion Reports Map Key Direction Distance (mi) Distance (ft) Elevation (ft) DB 5 S 0.77 4,080.43 817.40 WATER WELLS
WCR No: WCR1973-003493 County: San Bernardino
County(OSWCR): San Bernardino Decimal Latitude: 34.02668 Decimal Lat(OSWCR): 34.02668 Decimal Longitude: -117.63703 Decim Long(OSWCR): -117.63703
Location(OSWCR): WALNUT, GROVE
City(OSWCR): None
Location: WALNUT, GROVE
City: None
Original Source: California Department of Water Resources - OSWCR(Well Numbers), as of Apr 29, 2020; California Department of Water Resources - Well Completion Reports Map Key Direction Distance (mi) Distance (ft) Elevation (ft) DB 5 S 0.77 4,080.43 817.40 WATER WELLS
WCR No: WCR0213054 County: San Bernardino
County(OSWCR): San Bernardino Decimal Latitude: 34.02668 Decimal Lat(OSWCR): 34.02668 Decimal Longitude: -117.63703 Decim Long(OSWCR): -117.63703
Location(OSWCR): None
City(OSWCR): None
Location: None
City: None
Original Source: California Department of Water Resources - OSWCR(Well Numbers), as of Apr 29, 2020; California 476
Wells and Additional Sources Detail Report
27 erisinfo.com| Environmental Risk Information Services Order No: 21040800524p Department of Water Resources - Well Completion Reports Map Key Direction Distance (mi) Distance (ft) Elevation (ft) DB 5 S 0.77 4,080.43 817.40 WATER WELLS
WCR No: WCR1976-005715 County: San Bernardino
County(OSWCR): San Bernardino Decimal Latitude: 34.02668 Decimal Lat(OSWCR): 34.02668 Decimal Longitude: -117.63703 Decim Long(OSWCR): -117.63703
Location(OSWCR): None
City(OSWCR): None
Location: None
City: None
Original Source: California Department of Water Resources - OSWCR(Well Numbers), as of Apr 29, 2020; California Department of Water Resources - Well Completion Reports Map Key Direction Distance (mi) Distance (ft) Elevation (ft) DB 5 S 0.77 4,080.43 817.40 WATER WELLS
WCR No: WCR1963-001520 County: San Bernardino
County(OSWCR): San Bernardino Decimal Latitude: 34.02668 Decimal Lat(OSWCR): 34.02668 Decimal Longitude: -117.63703 Decim Long(OSWCR): -117.63703
Location(OSWCR): SULTANA, RIVERSIDE DR
City(OSWCR): Ontario
Location: SULTANA, RIVERSIDE DR
City: Ontario
Original Source: California Department of Water Resources - OSWCR(Well Numbers), as of Apr 29, 2020; California Department of Water Resources - Well Completion Reports Map Key Direction Distance (mi) Distance (ft) Elevation (ft) DB 5 S 0.77 4,080.43 817.40 WATER WELLS
WCR No: WCR1997-010979 County: San Bernardino
County(OSWCR): San Bernardino Decimal Latitude: 34.02668 Decimal Lat(OSWCR): 34.02668 Decimal Longitude: -117.63703 Decim Long(OSWCR): -117.63703
Location(OSWCR): 7601 E Walnut Street
City(OSWCR): Ontario
Location: 7601 E Walnut Street
City: Ontario
Original Source: California Department of Water Resources - OSWCR(Well Numbers), as of Apr 29, 2020; California Department of Water Resources - Well Completion Reports Map Key Direction Distance (mi) Distance (ft) Elevation (ft) DB 5 S 0.77 4,080.43 817.40 WATER WELLS
477
Wells and Additional Sources Detail Report
28 erisinfo.com| Environmental Risk Information Services Order No: 21040800524p WCR No: WCR1999-011371 County: San Bernardino
County(OSWCR): San Bernardino Decimal Latitude: 34.02668 Decimal Lat(OSWCR): 34.02668 Decimal Longitude: -117.63703 Decim Long(OSWCR): -117.63703
Location(OSWCR): 12804 S Sutana
City(OSWCR): Ontario
Location: 12804 S Sutana
City: Ontario
Original Source: California Department of Water Resources - OSWCR(Well Numbers), as of Apr 29, 2020; California Department of Water Resources - Well Completion Reports Map Key Direction Distance (mi) Distance (ft) Elevation (ft) DB 5 S 0.77 4,080.43 817.40 WATER WELLS
WCR No: WCR2006-010341 County: San Bernardino
County(OSWCR): San Bernardino Decimal Latitude: 34.02668 Decimal Lat(OSWCR): 34.02668 Decimal Longitude: -117.63703 Decim Long(OSWCR): -117.63703
Location(OSWCR): 2431 S Euclid Avenue
City(OSWCR): Ontario
Location: 2431 S Euclid Avenue
City: Ontario
Original Source: California Department of Water Resources - OSWCR(Well Numbers), as of Apr 29, 2020; California Department of Water Resources - Well Completion Reports Map Key Direction Distance (mi) Distance (ft) Elevation (ft) DB 5 S 0.77 4,080.43 817.40 WATER WELLS
WCR No: WCR1995-012429 County: San Bernardino
County(OSWCR): San Bernardino Decimal Latitude: 34.02668 Decimal Lat(OSWCR): 34.02668 Decimal Longitude: -117.63703 Decim Long(OSWCR): -117.63703
Location(OSWCR): 7410 Walnut Street
City(OSWCR): Ontario
Location: 7410 Walnut Street
City: Ontario
Original Source: California Department of Water Resources - OSWCR(Well Numbers), as of Apr 29, 2020; California Department of Water Resources - Well Completion Reports Map Key Direction Distance (mi) Distance (ft) Elevation (ft) DB 5 S 0.77 4,080.43 817.40 WATER WELLS
WCR No: WCR1954-002486 County: San Bernardino
County(OSWCR): San Bernardino Decimal Latitude: 34.02668 Decimal Lat(OSWCR): 34.02668 Decimal Longitude: -117.63703 Decim Long(OSWCR): -117.63703
478
Wells and Additional Sources Detail Report
29 erisinfo.com| Environmental Risk Information Services Order No: 21040800524p Location(OSWCR): PEDLEY AVE
City(OSWCR): Norco
Location: PEDLEY AVE
City: Norco
Original Source: California Department of Water Resources - OSWCR(Well Numbers), as of Apr 29, 2020; California Department of Water Resources - Well Completion Reports Map Key Direction Distance (mi) Distance (ft) Elevation (ft) DB 5 S 0.77 4,080.43 817.40 WATER WELLS
WCR No: WCR2002-012406 County: San Bernardino
County(OSWCR): San Bernardino Decimal Latitude: 34.02668 Decimal Lat(OSWCR): 34.02668 Decimal Longitude: -117.63703 Decim Long(OSWCR): -117.63703
Location(OSWCR): 2946 S Campus Avenue
City(OSWCR): Ontario
Location: 2946 S Campus Avenue
City: Ontario
Original Source: California Department of Water Resources - OSWCR(Well Numbers), as of Apr 29, 2020; California Department of Water Resources - Well Completion Reports Map Key Direction Distance (mi) Distance (ft) Elevation (ft) DB 5 S 0.77 4,080.43 817.40 WATER WELLS
WCR No: WCR1954-001990 County: Los Angeles
County(OSWCR): Los Angeles Decimal Latitude: 34.02668
Decimal Lat(OSWCR): 34.02668 Decimal Longitude: -117.63703 Decim Long(OSWCR): -117.63703
Location(OSWCR): EUCLID AVE, RIVERSIDE DR, BON VIEW AVE City(OSWCR): None
Location: EUCLID AVE, RIVERSIDE DR, BON VIEW AVE
City: None
Original Source: California Department of Water Resources - OSWCR(Well Numbers), as of Apr 29, 2020; California Department of Water Resources - Well Completion Reports Map Key Direction Distance (mi) Distance (ft) Elevation (ft) DB 5 S 0.77 4,080.43 817.40 WATER WELLS
WCR No: WCR1971-002483 County: San Bernardino
County(OSWCR): San Bernardino Decimal Latitude: 34.02668 Decimal Lat(OSWCR): 34.02668 Decimal Longitude: -117.63703 Decim Long(OSWCR): -117.63703
Location(OSWCR): GROVE AVE, PHILADELPHIA AVE, ROUTE 60, W City(OSWCR): None
Location: GROVE AVE, PHILADELPHIA AVE, ROUTE 60, W
City: None
Original Source: California Department of Water Resources - OSWCR(Well Numbers), as of Apr 29, 2020; California 479
Wells and Additional Sources Detail Report
30 erisinfo.com| Environmental Risk Information Services Order No: 21040800524p Department of Water Resources - Well Completion Reports Map Key Direction Distance (mi) Distance (ft) Elevation (ft) DB 5 S 0.77 4,080.43 817.40 WATER WELLS
WCR No: WCR1997-011007 County: San Bernardino
County(OSWCR): San Bernardino Decimal Latitude: 34.02668 Decimal Lat(OSWCR): 34.02668 Decimal Longitude: -117.63703 Decim Long(OSWCR): -117.63703
Location(OSWCR): 7601 E Walnut Street
City(OSWCR): Ontario
Location: 7601 E Walnut Street
City: Ontario
Original Source: California Department of Water Resources - OSWCR(Well Numbers), as of Apr 29, 2020; California Department of Water Resources - Well Completion Reports Map Key Direction Distance (mi) Distance (ft) Elevation (ft) DB 5 S 0.77 4,080.43 817.40 WATER WELLS
WCR No: WCR1936-000189 County: San Bernardino
County(OSWCR): San Bernardino Decimal Latitude: 34.02668 Decimal Lat(OSWCR): 34.02668 Decimal Longitude: -117.63703 Decim Long(OSWCR): -117.63703
Location(OSWCR): RIVERSIDE DR, BON VIEW ST, BOND SIERRA S City(OSWCR): Chino
Location: RIVERSIDE DR, BON VIEW ST, BOND SIERRA S
City: Chino
Original Source: California Department of Water Resources - OSWCR(Well Numbers), as of Apr 29, 2020; California Department of Water Resources - Well Completion Reports Map Key Direction Distance (mi) Distance (ft) Elevation (ft) DB 5 S 0.77 4,080.43 817.40 WATER WELLS
WCR No: WCR1776-007812 County: San Bernardino
County(OSWCR): San Bernardino Decimal Latitude: 34.02668 Decimal Lat(OSWCR): 34.02668 Decimal Longitude: -117.63703 Decim Long(OSWCR): -117.63703
Location(OSWCR): ELY ST, SULTANA, CAMPUS
City(OSWCR): None
Location: ELY ST, SULTANA, CAMPUS
City: None
Original Source: California Department of Water Resources - OSWCR(Well Numbers), as of Apr 29, 2020; California Department of Water Resources - Well Completion Reports Map Key Direction Distance (mi) Distance (ft) Elevation (ft) DB 5 S 0.77 4,080.43 817.40 WATER WELLS
480
Wells and Additional Sources Detail Report
31 erisinfo.com| Environmental Risk Information Services Order No: 21040800524p WCR No: WCR1957-001716 County: San Bernardino
County(OSWCR): San Bernardino Decimal Latitude: 34.02668 Decimal Lat(OSWCR): 34.02668 Decimal Longitude: -117.63703 Decim Long(OSWCR): -117.63703
Location(OSWCR): EUCLID AVE, RIVERSIDE DR, CAMPUS
City(OSWCR): None
Location: EUCLID AVE, RIVERSIDE DR, CAMPUS
City: None
Original Source: California Department of Water Resources - OSWCR(Well Numbers), as of Apr 29, 2020; California Department of Water Resources - Well Completion Reports Map Key Direction Distance (mi) Distance (ft) Elevation (ft) DB 5 S 0.77 4,080.43 817.40 WATER WELLS
WCR No: WCR1978-008572 County: San Bernardino
County(OSWCR): San Bernardino Decimal Latitude: 34.02668 Decimal Lat(OSWCR): 34.02668 Decimal Longitude: -117.63703 Decim Long(OSWCR): -117.63703
Location(OSWCR): None
City(OSWCR): None
Location: None
City: None
Original Source: California Department of Water Resources - OSWCR(Well Numbers), as of Apr 29, 2020; California Department of Water Resources - Well Completion Reports Map Key Direction Distance (mi) Distance (ft) Elevation (ft) DB 5 S 0.77 4,080.43 817.40 WATER WELLS
WCR No: WCR1997-011377 County: San Bernardino
County(OSWCR): San Bernardino Decimal Latitude: 34.02668 Decimal Lat(OSWCR): 34.02668 Decimal Longitude: -117.63703 Decim Long(OSWCR): -117.63703
Location(OSWCR): 7601 E Walnut Street
City(OSWCR): Ontario
Location: 7601 E Walnut Street
City: Ontario
Original Source: California Department of Water Resources - OSWCR(Well Numbers), as of Apr 29, 2020; California Department of Water Resources - Well Completion Reports Map Key Direction Distance (mi) Distance (ft) Elevation (ft) DB 5 S 0.77 4,080.43 817.40 WATER WELLS
WCR No: WCR1776-011724 County: San Bernardino
County(OSWCR): San Bernardino Decimal Latitude: 34.02668 Decimal Lat(OSWCR): 34.02668 Decimal Longitude: -117.63703 Decim Long(OSWCR): -117.63703
481
Wells and Additional Sources Detail Report
32 erisinfo.com| Environmental Risk Information Services Order No: 21040800524p Location(OSWCR): Walnut Street, BON VIEW
City(OSWCR): Chino
Location: Walnut Street, BON VIEW
City: Chino
Original Source: California Department of Water Resources - OSWCR(Well Numbers), as of Apr 29, 2020; California Department of Water Resources - Well Completion Reports Map Key Direction Distance (mi) Distance (ft) Elevation (ft) DB 5 S 0.77 4,080.43 817.40 WATER WELLS
WCR No: WCR2006-010342 County: San Bernardino
County(OSWCR): San Bernardino Decimal Latitude: 34.02668 Decimal Lat(OSWCR): 34.02668 Decimal Longitude: -117.63703 Decim Long(OSWCR): -117.63703
Location(OSWCR): 2431 S Euclid Avenue
City(OSWCR): Ontario
Location: 2431 S Euclid Avenue
City: Ontario
Original Source: California Department of Water Resources - OSWCR(Well Numbers), as of Apr 29, 2020; California Department of Water Resources - Well Completion Reports Map Key Direction Distance (mi) Distance (ft) Elevation (ft) DB 5 S 0.77 4,080.43 817.40 WATER WELLS
WCR No: WCR1963-001867 County: San Bernardino
County(OSWCR): San Bernardino Decimal Latitude: 34.02668 Decimal Lat(OSWCR): 34.02668 Decimal Longitude: -117.63703 Decim Long(OSWCR): -117.63703
Location(OSWCR): Walnut Street, GROVE AVE
City(OSWCR): Chino
Location: Walnut Street, GROVE AVE
City: Chino
Original Source: California Department of Water Resources - OSWCR(Well Numbers), as of Apr 29, 2020; California Department of Water Resources - Well Completion Reports Map Key Direction Distance (mi) Distance (ft) Elevation (ft) DB 5 S 0.77 4,080.43 817.40 WATER WELLS
WCR No: WCR0118375 County: San Bernardino
County(OSWCR): San Bernardino Decimal Latitude: 34.02668 Decimal Lat(OSWCR): 34.02668 Decimal Longitude: -117.63703 Decim Long(OSWCR): -117.63703
Location(OSWCR): None
City(OSWCR): None
Location: None
City: None
Original Source: California Department of Water Resources - OSWCR(Well Numbers), as of Apr 29, 2020; California 482
Wells and Additional Sources Detail Report
33 erisinfo.com| Environmental Risk Information Services Order No: 21040800524p Department of Water Resources - Well Completion Reports Map Key Direction Distance (mi) Distance (ft) Elevation (ft) DB 5 S 0.77 4,080.43 817.40 WATER WELLS
WCR No: WCR1978-007968 County: San Bernardino
County(OSWCR): San Bernardino Decimal Latitude: 34.02668 Decimal Lat(OSWCR): 34.02668 Decimal Longitude: -117.63703 Decim Long(OSWCR): -117.63703
Location(OSWCR): None
City(OSWCR): None
Location: None
City: None
Original Source: California Department of Water Resources - OSWCR(Well Numbers), as of Apr 29, 2020; California Department of Water Resources - Well Completion Reports Map Key Direction Distance (mi) Distance (ft) Elevation (ft) DB 5 S 0.77 4,080.43 817.40 WATER WELLS
WCR No: WCR1997-011376 County: San Bernardino
County(OSWCR): San Bernardino Decimal Latitude: 34.02668 Decimal Lat(OSWCR): 34.02668 Decimal Longitude: -117.63703 Decim Long(OSWCR): -117.63703
Location(OSWCR): 7601 E Walnut Street
City(OSWCR): Ontario
Location: 7601 E Walnut Street
City: Ontario
Original Source: California Department of Water Resources - OSWCR(Well Numbers), as of Apr 29, 2020; California Department of Water Resources - Well Completion Reports Map Key Direction Distance (mi) Distance (ft) Elevation (ft) DB 7 WSW 0.85 4,501.39 841.11 WATER WELLS
WCR No: WCR2019-008760 County: San Bernardino
County(OSWCR): San Bernardino Decimal Latitude: 34.03184 Decimal Lat(OSWCR): 34.03184 Decimal Longitude: -117.652373 Decim Long(OSWCR): -117.652373
Location(OSWCR): 2261 S Fern AVE
City(OSWCR): Ontario
Location: 2261 S Fern AVE
City: Ontario
Original Source: California Department of Water Resources - OSWCR(Well Numbers), as of Apr 29, 2020; California Department of Water Resources - Well Completion Reports Map Key Direction Distance (mi) Distance (ft) Elevation (ft) DB 8 WSW 0.87 4,596.32 839.50 WATER WELLS
483
Wells and Additional Sources Detail Report
34 erisinfo.com| Environmental Risk Information Services Order No: 21040800524p WCR No: WCR2019-008759 County: San Bernardino
County(OSWCR): San Bernardino Decimal Latitude: 34.03184 Decimal Lat(OSWCR): 34.03184 Decimal Longitude: -117.652731 Decim Long(OSWCR): -117.652731
Location(OSWCR): 2261 S Fern AVE
City(OSWCR): Ontario
Location: 2261 S Fern AVE
City: Ontario
Original Source: California Department of Water Resources - OSWCR(Well Numbers), as of Apr 29, 2020; California Department of Water Resources - Well Completion Reports Map Key Direction Distance (mi) Distance (ft) Elevation (ft) DB 9 WNW 0.88 4,666.16 886.15 WATER WELLS
WCR No: WCR1925-000099 County: San Bernardino
County(OSWCR): San Bernardino Decimal Latitude: 34.04123 Decimal Lat(OSWCR): 34.04123 Decimal Longitude: -117.65465 Decim Long(OSWCR): -117.65465
Location(OSWCR): E FRANCIS ST, EUCLID AVE
City(OSWCR): None
Location: E FRANCIS ST, EUCLID AVE
City: None
Original Source: California Department of Water Resources - OSWCR(Well Numbers), as of Apr 29, 2020; California Department of Water Resources - Well Completion Reports Map Key Direction Distance (mi) Distance (ft) Elevation (ft) DB 9 WNW 0.88 4,666.16 886.15 WATER WELLS
WCR No: WCR1993-010851 County: San Bernardino
County(OSWCR): San Bernardino Decimal Latitude: 34.04123 Decimal Lat(OSWCR): 34.04123 Decimal Longitude: -117.65465 Decim Long(OSWCR): -117.65465
Location(OSWCR): 501 W FRANCIS ST, ONTARIO
City(OSWCR): None
Location: 501 W FRANCIS ST, ONTARIO
City: None
Original Source: California Department of Water Resources - OSWCR(Well Numbers), as of Apr 29, 2020; California Department of Water Resources - Well Completion Reports Map Key Direction Distance (mi) Distance (ft) Elevation (ft) DB 9 WNW 0.88 4,666.16 886.15 WATER WELLS
WCR No: WCR2000-011005 County: San Bernardino
County(OSWCR): San Bernardino Decimal Latitude: 34.04123 Decimal Lat(OSWCR): 34.04123 Decimal Longitude: -117.65465 Decim Long(OSWCR): -117.65465
484
Wells and Additional Sources Detail Report
35 erisinfo.com| Environmental Risk Information Services Order No: 21040800524p Location(OSWCR): S Euclid Avenue
City(OSWCR): Ontario
Location: S Euclid Avenue
City: Ontario
Original Source: California Department of Water Resources - OSWCR(Well Numbers), as of Apr 29, 2020; California Department of Water Resources - Well Completion Reports Map Key Direction Distance (mi) Distance (ft) Elevation (ft) DB 9 WNW 0.88 4,666.16 886.15 WATER WELLS
WCR No: WCR1994-011880 County: San Bernardino
County(OSWCR): San Bernardino Decimal Latitude: 34.04123 Decimal Lat(OSWCR): 34.04123 Decimal Longitude: -117.65465 Decim Long(OSWCR): -117.65465
Location(OSWCR): 501 FRANCIS
City(OSWCR): Ontario
Location: 501 FRANCIS
City: Ontario
Original Source: California Department of Water Resources - OSWCR(Well Numbers), as of Apr 29, 2020; California Department of Water Resources - Well Completion Reports Map Key Direction Distance (mi) Distance (ft) Elevation (ft) DB 9 WNW 0.88 4,666.16 886.15 WATER WELLS
WCR No: WCR1957-001673 County: San Bernardino
County(OSWCR): San Bernardino Decimal Latitude: 34.04123 Decimal Lat(OSWCR): 34.04123 Decimal Longitude: -117.65465 Decim Long(OSWCR): -117.65465
Location(OSWCR): DESSAU, VINE
City(OSWCR): None
Location: DESSAU, VINE
City: None
Original Source: California Department of Water Resources - OSWCR(Well Numbers), as of Apr 29, 2020; California Department of Water Resources - Well Completion Reports Map Key Direction Distance (mi) Distance (ft) Elevation (ft) DB 9 WNW 0.88 4,666.16 886.15 WATER WELLS
WCR No: WCR1994-011123 County: San Bernardino
County(OSWCR): San Bernardino Decimal Latitude: 34.04123 Decimal Lat(OSWCR): 34.04123 Decimal Longitude: -117.65465 Decim Long(OSWCR): -117.65465
Location(OSWCR): BONITA ON GREVILLEA, ONTARIO
City(OSWCR): None
Location: BONITA ON GREVILLEA, ONTARIO
City: None
Original Source: California Department of Water Resources - OSWCR(Well Numbers), as of Apr 29, 2020; California 485
Wells and Additional Sources Detail Report
36 erisinfo.com| Environmental Risk Information Services Order No: 21040800524p Department of Water Resources - Well Completion Reports Map Key Direction Distance (mi) Distance (ft) Elevation (ft) DB 9 WNW 0.88 4,666.16 886.15 WATER WELLS
WCR No: WCR1994-011881 County: San Bernardino
County(OSWCR): San Bernardino Decimal Latitude: 34.04123 Decimal Lat(OSWCR): 34.04123 Decimal Longitude: -117.65465 Decim Long(OSWCR): -117.65465
Location(OSWCR): 501 FRANCIS
City(OSWCR): Ontario
Location: 501 FRANCIS
City: Ontario
Original Source: California Department of Water Resources - OSWCR(Well Numbers), as of Apr 29, 2020; California Department of Water Resources - Well Completion Reports Map Key Direction Distance (mi) Distance (ft) Elevation (ft) DB 9 WNW 0.88 4,666.16 886.15 WATER WELLS
WCR No: WCR1992-014975 County: San Bernardino
County(OSWCR): San Bernardino Decimal Latitude: 34.04123 Decimal Lat(OSWCR): 34.04123 Decimal Longitude: -117.65465 Decim Long(OSWCR): -117.65465
Location(OSWCR): None
City(OSWCR): None
Location: None
City: None
Original Source: California Department of Water Resources - OSWCR(Well Numbers), as of Apr 29, 2020; California Department of Water Resources - Well Completion Reports Map Key Direction Distance (mi) Distance (ft) Elevation (ft) DB 9 WNW 0.88 4,666.16 886.15 WATER WELLS
WCR No: WCR1993-010850 County: San Bernardino
County(OSWCR): San Bernardino Decimal Latitude: 34.04123 Decimal Lat(OSWCR): 34.04123 Decimal Longitude: -117.65465 Decim Long(OSWCR): -117.65465
Location(OSWCR): FERN & MAPLE, ONTARIO
City(OSWCR): None
Location: FERN & MAPLE, ONTARIO
City: None
Original Source: California Department of Water Resources - OSWCR(Well Numbers), as of Apr 29, 2020; California Department of Water Resources - Well Completion Reports Map Key Direction Distance (mi) Distance (ft) Elevation (ft) DB 9 WNW 0.88 4,666.16 886.15 WATER WELLS
486
Wells and Additional Sources Detail Report
37 erisinfo.com| Environmental Risk Information Services Order No: 21040800524p WCR No: WCR1993-010852 County: San Bernardino
County(OSWCR): San Bernardino Decimal Latitude: 34.04123 Decimal Lat(OSWCR): 34.04123 Decimal Longitude: -117.65465 Decim Long(OSWCR): -117.65465
Location(OSWCR): SAN ANTONIO & MAPLE
City(OSWCR): None
Location: SAN ANTONIO & MAPLE
City: None
Original Source: California Department of Water Resources - OSWCR(Well Numbers), as of Apr 29, 2020; California Department of Water Resources - Well Completion Reports Map Key Direction Distance (mi) Distance (ft) Elevation (ft) DB 9 WNW 0.88 4,666.16 886.15 WATER WELLS
WCR No: WCR1910-000061 County: San Bernardino
County(OSWCR): San Bernardino Decimal Latitude: 34.04123 Decimal Lat(OSWCR): 34.04123 Decimal Longitude: -117.65465 Decim Long(OSWCR): -117.65465
Location(OSWCR): FRANCES ST, EUCLID AVE
City(OSWCR): None
Location: FRANCES ST, EUCLID AVE
City: None
Original Source: California Department of Water Resources - OSWCR(Well Numbers), as of Apr 29, 2020; California Department of Water Resources - Well Completion Reports Map Key Direction Distance (mi) Distance (ft) Elevation (ft) DB 9 WNW 0.88 4,666.16 886.15 WATER WELLS
WCR No: WCR2000-010961 County: San Bernardino
County(OSWCR): San Bernardino Decimal Latitude: 34.04123 Decimal Lat(OSWCR): 34.04123 Decimal Longitude: -117.65465 Decim Long(OSWCR): -117.65465
Location(OSWCR): S Euclid Avenue
City(OSWCR): Ontario
Location: S Euclid Avenue
City: Ontario
Original Source: California Department of Water Resources - OSWCR(Well Numbers), as of Apr 29, 2020; California Department of Water Resources - Well Completion Reports Map Key Direction Distance (mi) Distance (ft) Elevation (ft) DB 9 WNW 0.88 4,666.16 886.15 WATER WELLS
WCR No: WCR2000-011003 County: San Bernardino
County(OSWCR): San Bernardino Decimal Latitude: 34.04123 Decimal Lat(OSWCR): 34.04123 Decimal Longitude: -117.65465 Decim Long(OSWCR): -117.65465
487
Wells and Additional Sources Detail Report
38 erisinfo.com| Environmental Risk Information Services Order No: 21040800524p Location(OSWCR): S Euclid Avenue
City(OSWCR): Ontario
Location: S Euclid Avenue
City: Ontario
Original Source: California Department of Water Resources - OSWCR(Well Numbers), as of Apr 29, 2020; California Department of Water Resources - Well Completion Reports Map Key Direction Distance (mi) Distance (ft) Elevation (ft) DB 9 WNW 0.88 4,666.16 886.15 WATER WELLS
WCR No: WCR1992-017050 County: San Bernardino
County(OSWCR): San Bernardino Decimal Latitude: 34.04123 Decimal Lat(OSWCR): 34.04123 Decimal Longitude: -117.65465 Decim Long(OSWCR): -117.65465
Location(OSWCR): CEDAR ST, VINE AVE
City(OSWCR): Ontario
Location: CEDAR ST, VINE AVE
City: Ontario
Original Source: California Department of Water Resources - OSWCR(Well Numbers), as of Apr 29, 2020; California Department of Water Resources - Well Completion Reports Map Key Direction Distance (mi) Distance (ft) Elevation (ft) DB 9 WNW 0.88 4,666.16 886.15 WATER WELLS
WCR No: WCR2000-011004 County: San Bernardino
County(OSWCR): San Bernardino Decimal Latitude: 34.04123 Decimal Lat(OSWCR): 34.04123 Decimal Longitude: -117.65465 Decim Long(OSWCR): -117.65465
Location(OSWCR): S Euclid Avenue
City(OSWCR): Ontario
Location: S Euclid Avenue
City: Ontario
Original Source: California Department of Water Resources - OSWCR(Well Numbers), as of Apr 29, 2020; California Department of Water Resources - Well Completion Reports Map Key Direction Distance (mi) Distance (ft) Elevation (ft) DB 9 WNW 0.88 4,666.16 886.15 WATER WELLS
WCR No: WCR2000-010962 County: San Bernardino
County(OSWCR): San Bernardino Decimal Latitude: 34.04123 Decimal Lat(OSWCR): 34.04123 Decimal Longitude: -117.65465 Decim Long(OSWCR): -117.65465
Location(OSWCR): S Euclid Avenue
City(OSWCR): Ontario
Location: S Euclid Avenue
City: Ontario
Original Source: California Department of Water Resources - OSWCR(Well Numbers), as of Apr 29, 2020; California 488
Wells and Additional Sources Detail Report
39 erisinfo.com| Environmental Risk Information Services Order No: 21040800524p Department of Water Resources - Well Completion Reports Map Key Direction Distance (mi) Distance (ft) Elevation (ft) DB 9 WNW 0.88 4,666.16 886.15 WATER WELLS
WCR No: WCR1994-011879 County: San Bernardino
County(OSWCR): San Bernardino Decimal Latitude: 34.04123 Decimal Lat(OSWCR): 34.04123 Decimal Longitude: -117.65465 Decim Long(OSWCR): -117.65465
Location(OSWCR): 501 FRANCIS
City(OSWCR): Ontario
Location: 501 FRANCIS
City: Ontario
Original Source: California Department of Water Resources - OSWCR(Well Numbers), as of Apr 29, 2020; California Department of Water Resources - Well Completion Reports Map Key Direction Distance (mi) Distance (ft) Elevation (ft) DB 9 WNW 0.88 4,666.16 886.15 WATER WELLS
WCR No: WCR2000-012827 County: San Bernardino
County(OSWCR): San Bernardino Decimal Latitude: 34.04123 Decimal Lat(OSWCR): 34.04123 Decimal Longitude: -117.65465 Decim Long(OSWCR): -117.65465
Location(OSWCR): E Bud Street
City(OSWCR): Ontario
Location: E Bud Street
City: Ontario
Original Source: California Department of Water Resources - OSWCR(Well Numbers), as of Apr 29, 2020; California Department of Water Resources - Well Completion Reports Map Key Direction Distance (mi) Distance (ft) Elevation (ft) DB 9 WNW 0.88 4,666.16 886.15 WATER WELLS
WCR No: WCR1992-017049 County: San Bernardino
County(OSWCR): San Bernardino Decimal Latitude: 34.04123 Decimal Lat(OSWCR): 34.04123 Decimal Longitude: -117.65465 Decim Long(OSWCR): -117.65465
Location(OSWCR): EUCLID AVE, LOCUST ST
City(OSWCR): Ontario
Location: EUCLID AVE, LOCUST ST
City: Ontario
Original Source: California Department of Water Resources - OSWCR(Well Numbers), as of Apr 29, 2020; California Department of Water Resources - Well Completion Reports Map Key Direction Distance (mi) Distance (ft) Elevation (ft) DB 9 WNW 0.88 4,666.16 886.15 WATER WELLS
489
Wells and Additional Sources Detail Report
40 erisinfo.com| Environmental Risk Information Services Order No: 21040800524p WCR No: WCR1999-011233 County: San Bernardino
County(OSWCR): San Bernardino Decimal Latitude: 34.04123 Decimal Lat(OSWCR): 34.04123 Decimal Longitude: -117.65465 Decim Long(OSWCR): -117.65465
Location(OSWCR): E Bud Street
City(OSWCR): Ontario
Location: E Bud Street
City: Ontario
Original Source: California Department of Water Resources - OSWCR(Well Numbers), as of Apr 29, 2020; California Department of Water Resources - Well Completion Reports Map Key Direction Distance (mi) Distance (ft) Elevation (ft) DB 9 WNW 0.88 4,666.16 886.15 WATER WELLS
WCR No: WCR1998-010474 County: San Bernardino
County(OSWCR): San Bernardino Decimal Latitude: 34.04123 Decimal Lat(OSWCR): 34.04123 Decimal Longitude: -117.65465 Decim Long(OSWCR): -117.65465
Location(OSWCR): 1724 S Euclid Avenue
City(OSWCR): Ontario
Location: 1724 S Euclid Avenue
City: Ontario
Original Source: California Department of Water Resources - OSWCR(Well Numbers), as of Apr 29, 2020; California Department of Water Resources - Well Completion Reports Map Key Direction Distance (mi) Distance (ft) Elevation (ft) DB 9 WNW 0.88 4,666.16 886.15 WATER WELLS
WCR No: WCR2000-012656 County: San Bernardino
County(OSWCR): San Bernardino Decimal Latitude: 34.04123 Decimal Lat(OSWCR): 34.04123 Decimal Longitude: -117.65465 Decim Long(OSWCR): -117.65465
Location(OSWCR): E Bud Street
City(OSWCR): Ontario
Location: E Bud Street
City: Ontario
Original Source: California Department of Water Resources - OSWCR(Well Numbers), as of Apr 29, 2020; California Department of Water Resources - Well Completion Reports Map Key Direction Distance (mi) Distance (ft) Elevation (ft) DB 9 WNW 0.88 4,666.16 886.15 WATER WELLS
WCR No: WCR1999-011494 County: San Bernardino
County(OSWCR): San Bernardino Decimal Latitude: 34.04123 Decimal Lat(OSWCR): 34.04123 Decimal Longitude: -117.65465 Decim Long(OSWCR): -117.65465
490
Wells and Additional Sources Detail Report
41 erisinfo.com| Environmental Risk Information Services Order No: 21040800524p Location(OSWCR): 501 W Francis Street
City(OSWCR): Ontario
Location: 501 W Francis Street
City: Ontario
Original Source: California Department of Water Resources - OSWCR(Well Numbers), as of Apr 29, 2020; California Department of Water Resources - Well Completion Reports Map Key Direction Distance (mi) Distance (ft) Elevation (ft) DB 9 WNW 0.88 4,666.16 886.15 WATER WELLS
WCR No: WCR2000-012970 County: San Bernardino
County(OSWCR): San Bernardino Decimal Latitude: 34.04123 Decimal Lat(OSWCR): 34.04123 Decimal Longitude: -117.65465 Decim Long(OSWCR): -117.65465
Location(OSWCR): E Bud Street
City(OSWCR): Ontario
Location: E Bud Street
City: Ontario
Original Source: California Department of Water Resources - OSWCR(Well Numbers), as of Apr 29, 2020; California Department of Water Resources - Well Completion Reports Map Key Direction Distance (mi) Distance (ft) Elevation (ft) DB 9 WNW 0.88 4,666.16 886.15 WATER WELLS
WCR No: WCR1998-009745 County: San Bernardino
County(OSWCR): San Bernardino Decimal Latitude: 34.04123 Decimal Lat(OSWCR): 34.04123 Decimal Longitude: -117.65465 Decim Long(OSWCR): -117.65465
Location(OSWCR): 2105 S Oakland Avenue
City(OSWCR): Ontario
Location: 2105 S Oakland Avenue
City: Ontario
Original Source: California Department of Water Resources - OSWCR(Well Numbers), as of Apr 29, 2020; California Department of Water Resources - Well Completion Reports Map Key Direction Distance (mi) Distance (ft) Elevation (ft) DB 9 WNW 0.88 4,666.16 886.15 WATER WELLS
WCR No: WCR1999-011495 County: San Bernardino
County(OSWCR): San Bernardino Decimal Latitude: 34.04123 Decimal Lat(OSWCR): 34.04123 Decimal Longitude: -117.65465 Decim Long(OSWCR): -117.65465
Location(OSWCR): E Budd Street & S Euclid Avenue
City(OSWCR): Ontario
Location: E Budd Street & S Euclid Avenue
City: Ontario
Original Source: California Department of Water Resources - OSWCR(Well Numbers), as of Apr 29, 2020; California 491
Wells and Additional Sources Detail Report
42 erisinfo.com| Environmental Risk Information Services Order No: 21040800524p Department of Water Resources - Well Completion Reports Map Key Direction Distance (mi) Distance (ft) Elevation (ft) DB 9 WNW 0.88 4,666.16 886.15 WATER WELLS
WCR No: WCR2000-011002 County: San Bernardino
County(OSWCR): San Bernardino Decimal Latitude: 34.04123 Decimal Lat(OSWCR): 34.04123 Decimal Longitude: -117.65465 Decim Long(OSWCR): -117.65465
Location(OSWCR): S Euclid Avenue
City(OSWCR): Ontario
Location: S Euclid Avenue
City: Ontario
Original Source: California Department of Water Resources - OSWCR(Well Numbers), as of Apr 29, 2020; California Department of Water Resources - Well Completion Reports Map Key Direction Distance (mi) Distance (ft) Elevation (ft) DB 10 WSW 0.89 4,707.64 838.46 WATER WELLS
WCR No: WCR2019-008756 County: San Bernardino
County(OSWCR): San Bernardino Decimal Latitude: 34.03184 Decimal Lat(OSWCR): 34.03184 Decimal Longitude: -117.653148 Decim Long(OSWCR): -117.653148
Location(OSWCR): 2261 S Fern AVE
City(OSWCR): Ontario
Location: 2261 S Fern AVE
City: Ontario
Original Source: California Department of Water Resources - OSWCR(Well Numbers), as of Apr 29, 2020; California Department of Water Resources - Well Completion Reports Map Key Direction Distance (mi) Distance (ft) Elevation (ft) DB 11 NNE 0.94 4,959.08 923.51 WATER WELLS
WCR No: WCR2019-016170 County: San Bernardino
County(OSWCR): San Bernardino Decimal Latitude: 34.051819 Decimal Lat(OSWCR): 34.051819 Decimal Longitude: -117.630789 Decim Long(OSWCR): -117.630789
Location(OSWCR): 989 S Cucamonga AVE
City(OSWCR): Ontario
Location: 989 S Cucamonga AVE
City: Ontario
Original Source: California Department of Water Resources - OSWCR(Well Numbers), as of Apr 29, 2020; California Department of Water Resources - Well Completion Reports 492
Radon Information
43 erisinfo.com| Environmental Risk Information Services Order No: 21040800524p This section lists any relevant radon information found for the target property.

Federal EPA Radon Zone for SAN BERNARDINO County: 2
Zone 1: Counties with predicted average indoor radon screening levels greater than 4 pCi/L Zone 2: Counties with predicted average indoor radon screening levels from 2 to 4 pCi/L Zone 3: Counties with predicted average indoor radon screening levels less than 2 pCi/L Federal Area Radon Information for SAN BERNARDINO County No Measures/Homes: 17
Geometric Mean: 0.5
Arithmetic Mean: 0.7
Median: 0.7
Standard Deviation: 1
Maximum: 2.9
% >4 pCi/L: 0
% >20 pCi/L: 0
Notes on Data Table: TABLE 1. Screening indoor
radon data from the EPA/State
Residential Radon Survey of
California conducted during
1989-90. Data represent 2-7
day charcoal canister
measurements from the lowest
level of each home tested.
493
Appendix
44 erisinfo.com| Environmental Risk Information Services Order No: 21040800524p Federal Sources
FEMA National Flood Hazard Layer FEMA FLOOD
The National Flood Hazard Layer (NFHL) data incorporates Flood Insurance Rate Map (FIRM) databases published by the Federal Emergency Management Agency (FEMA), and any Letters Of Map Revision (LOMRs) that have been issued against those databases since their publication date. The FIRM Database is the digital, geospatial version of the flood hazard information shown on the published paper FIRMs. The FIRM Database depicts flood risk information and supporting data used to develop the risk data. The FIRM Database is derived from Flood Insurance Studies (FISs), previously published FIRMs, flood hazard analyses performed in support of the FISs and FIRMs, and new mapping data, where available.

Indoor Radon Data INDOOR RADON
Indoor radon measurements tracked by the Environmental Protection Agency(EPA) and the State Residential Radon Survey.

Public Water Systems Violations and Enforcement Data PWSV List of drinking water violations and enforcement actions from the Safe Drinking Water Information System (SDWIS) made available by the Drinking Water Protection Division of the US EPA's Office of Groundwater and Drinking Water. Enforcement sensitive actions are not included in the data released by the EPA.

Address information provided in SWDIS may correspond either with the physical location of the water system, or with a contact address.

Radon Zone Level RADON ZONE
Areas showing the level of Radon Zones (level 1, 2 or 3) by county. This data is maintained by the Environmental Protection Agency (EPA).

Safe Drinking Water Information System (SDWIS) SDWIS
The Safe Drinking Water Information System (SDWIS) contains information about public water systems as reported to US Environmental Protection Agency (EPA) by the states. Addresses may correspond with the location of the water system, or with a contact address.

Soil Survey Geographic database SSURGO
The Soil Survey Geographic database (SSURGO) contains information about soil as collected by the National Cooperative Soil Survey at the Natural Resources Conservation Service (NRCS). Soil maps outline areas called map units. The map units are linked to soil properties in a database. Each map unit may contain one to three major components and some minor components.

U.S. Fish & Wildlife Service Wetland Data US WETLAND
The U.S. Fish & Wildlife Service Wetland layer represents the approximate location and type of wetlands and deepwater habitats in the United States.

USGS Current Topo US TOPO
US Topo topographic maps are produced by the National Geospatial Program of the U.S. Geological Survey (USGS). The project was launched in late 2009, and the term "US Topo" refers specifically to quadrangle topographic maps published in 2009 and later.

USGS Geology US GEOLOGY
Seamless maps depicting geological information provided by the United States Geological Survey (USGS).

USGS National Water Information System FED USGS
The U.S. Geological Survey (USGS)'s National Water Information System (NWIS) is the nation's principal repository of water resources data. This database includes comprehensive information of well-construction details, time-series data for gage height, streamflow, groundwater level, and precipitation and water use data.

State Sources
Oil and Gas Wells OGW
A list of Oil and Gas well locations. This is provided by California's Department of Conservation Division of 494
Appendix
45 erisinfo.com| Environmental Risk Information Services Order No: 21040800524p Oil, Gas and Geothermal Resources.

Periodic Groundwater Level Measurement Locations MONITOR WELLS Locations of groundwater level monitoring wells in the Department of Water Resources (DWR)'s Periodic Groundwater Levels dataset. The DWR Periodic Groundwater Levels dataset contains seasonal and longterm groundwater level measurements collected by the Department of Water Resources and cooperating agencies.

Well Completion Reports WATER WELLS
List of wells from the Well Completion Reports data made available by the California Department of Water Resources' (DWR) Online System for Well Completion Reports (OSWCR). Please note that the majority of well completion reports have been spatially registered to the center of the 1x1 mile Public Land Survey System section that the well is located in.
495
Liability Notice
46 erisinfo.com| Environmental Risk Information Services Order No: 21040800524p Reliance on information in Report: The Physical Setting Report (PSR) DOES NOT replace a full Phase I Environmental Site Assessment but is solely intended to be used as a review of environmental databases and physical characteristics for the site or adjacent properties.

License for use of information in Report: No page of this report can be used without this cover page, this notice and the project property identifier. The information in Report(s) may not be modified or re-sold.

Your Liability for misuse: Using this Service and/or its reports in a manner contrary to this Notice or your agreement will be in breach of copyright and contract and ERIS may obtain damages for such mis-use, including damages caused to third parties, and gives ERIS the right to terminate your account, rescind your license to any previous reports and to bar you from future use of the Service.

No warranty of Accuracy or Liability for ERIS: The information contained in this report has been produced by ERIS Information Inc. ("ERIS") using various sources of information, including information provided by Federal and State government departments. The report applies only to the address and up to the date specified on the cover of this report, and any alterations or deviation from this description will require a new report. This report and the data contained herein does not purport to be and does not constitute a guarantee of the accuracy of the information contained herein and does not constitute a legal opinion nor medical advice. Although ERIS has endeavored to present you with information that is accurate, ERIS Information Inc. disclaims, any and all liability for any errors, omissions, or inaccuracies in such information and data, whether attributable to inadvertence, negligence or otherwise, and for any consequences arising therefrom. Liability on the part of ERIS is limited to the monetary value paid for this report.

Trademark and Copyright: You may not use the ERIS trademarks or attribute any work to ERIS other than as outlined above. This Service and Report(s) are protected by copyright owned by ERIS Information Inc. Copyright in data used in the Service or Report(s) (the "Data") is owned by ERIS or its licensors. The Service, Report(s) and Data may not be copied or reproduced in whole or in any substantial part without prior written consent of ERIS. 496
Project Property:

Project No:

Requested By:

Order No:

Date Completed:

S. Bon View Avenue and E. Cedar Street
S. Bon View Avenue and E. Cedar Street
Ontario CA 91761
72ONT2-1-1
Orion Environmental, Inc.
21040800524
April 09, 2021
Please note that no information was found for your site or adjacent properties. 497
498
499
500
501
502
503
504
505
506
507
508
509
510
511
512
513
514
515
Project Property:

Project No:

Requested By:

Order No:

Date Completed:

S. Bon View Avenue and E. Cedar Street
S. Bon View Avenue and E. Cedar Street
Ontario CA 91761
72ONT2-1-1
Orion Environmental, Inc.
21040800524
April 09, 2021
516
Topographic Maps included in this report are produced by the USGS and are to be used for research purposes including a phase I report.

Maps are not to be resold as commercial property.

No warranty of Accuracy or Liability for ERIS: The information contained in this report has been produced by ERIS Information Inc.(in the US) and ERIS Information Limited Partnership (in Canada), both doing business as 'ERIS', using Topographic Maps produced by the USGS.

This maps contained herein does not purport to be and does not constitute a guarantee of the accuracy of the information contained herein.

Although ERIS has endeavored to present you with information that is accurate, ERIS disclaims, any and all liability for any errors, omissions, or inaccuracies in such information and data, whether attributable to inadvertence, negligence or otherwise, and for any consequences arising therefrom. Liability on the part of ERIS is limited to the monetary value paid for this report.

We have searched USGS collections of current topographic maps and historical topographic maps for the project property. Below is a list of maps found for the project property and adjacent area. Maps are from 7.5 and 15 minute topographic map series, if available.

Year Map Series
2015 7.5
1981 7.5
1973 7.5
1967 7.5
1954 7.5
1942 7.5
1933 7.5
1954 15
1903 15
1900 15
1897 15
517
2015
Source: USGS 7.5 Minute Topographic Map
2UGHU1R

0LOHV
Quadrangle(s): Ontario,CA
518
1981
Source: USGS 7.5 Minute Topographic Map
2UGHU1R

0LOHV
Quadrangle(s): Ontario,CA
519
1973
Source: USGS 7.5 Minute Topographic Map
2UGHU1R

0LOHV
Quadrangle(s): Ontario,CA
520
1967
Source: USGS 7.5 Minute Topographic Map
2UGHU1R

0LOHV
Quadrangle(s): Ontario,CA
521
1954
Source: USGS 7.5 Minute Topographic Map
2UGHU1R

0LOHV
Quadrangle(s): Ontario,CA
522
1942
Source: USGS 7.5 Minute Topographic Map
2UGHU1R

0LOHV
Quadrangle(s): Ontario and Vicinity,CA
523
1933
Source: USGS 7.5 Minute Topographic Map
2UGHU1R

0LOHV
Quadrangle(s): Ontario,CA
524
1954
Source: USGS 15 Minute Topographic Map
2UGHU1R

0LOHV
Quadrangle(s): Ontario,CA
525
1903
Source: USGS 15 Minute Topographic Map
2UGHU1R

0LOHV
Quadrangle(s): Cucamonga,CA
526
1900
Source: USGS 15 Minute Topographic Map
2UGHU1R

0LOHV
Quadrangle(s): Cucamonga,CA
527
1897
Source: USGS 15 Minute Topographic Map
2UGHU1R

0LOHV
Quadrangle(s): Cucamonga,CA
528
WƌŽũĞĐƚWƌŽƉĞƌƚǇ͗ ^͘ŽŶsŝĞǁǀĞŶƵĞĂŶĚ
͘ĞĚĂƌ^ƚƌĞĞƚ
^͘ŽŶsŝĞǁǀĞŶƵĞĂŶĚ
͘ĞĚĂƌ^ƚƌĞĞƚ
KŶƚĂƌŝŽ͕ϵϭϳϲϭ
WƌŽũĞĐƚEŽ͗ ϳϮKEdϮͲϭͲϭ
ZĞƋƵĞƐƚĞĚǇ͗ KƌŝŽŶ
ŶǀŝƌŽŶŵĞŶƚĂů͕/ŶĐ͘
KƌĚĞƌEŽ͗ ϮϭϬϰϬϴϬϬϱϮϰ
ĂƚĞŽŵƉůĞƚĞĚ͗ Ɖƌŝůϭϯ͕ϮϬϮϭ
529
^ĞĂƌĐŚZĞƐƵůƚƐ^ƵŵŵĂƌǇ
ĂƚĞ ^ŽƵƌĐĞ ŽŵŵĞŶƚ
ϮϬϭϴ /'/d>h^/E
^^/Z
dKZz
ϮϬϭϰ /'/d>h^/E
^^/Z
dKZz
ϮϬϬϵ /'/d>h^/E
^^/Z
dKZz
ϮϬϬϭ ,/E
^
ϭϵϴϴ ,/E
^
ϭϵϳϭ ,/E
^
ϭϵϲϱ '
E
Z>d
>
W,KE
K&>/&KZE//
ϭϵϱϭ >/Z
dKZzK
ϭϵϱϭ >K^E'
>
^/Z
dKZzK
ϭϵϰϱͲϰϲ >/Z
dKZzK
ϭϵϰϱ >K^E'
>
^/Z
dKZzK
ϭϵϰϬ >K^E'
>
^/Z
dKZzK
ϭϵϰϬ WK><^
ϭϵϯϰ >/Z
dKZzK
ϭϵϯϰ >K^E'
>
^/Z
dKZzK
ϭϵϯϭ >/Z
dKZzK
ϭϵϯϭ >K^E'
>
^/Z
dKZzK
ϭϵϮϲ >K^E'
>
^/Z
dKZzK
Ɖƌŝůϭϯ͕ϮϬϮϭ
Z
͗/dz/Z
dKZzZ
^
Z,
^͘ŽŶsŝĞǁǀĞŶƵĞĂŶĚ
͘ĞĚĂƌ^ƚƌĞĞƚ
^͘ŽŶsŝĞǁǀĞŶƵĞĂŶĚ
͘ĞĚĂƌ^ƚƌĞĞƚKŶƚĂƌŝŽ͕
dŚĂŶŬǇŽƵĨŽƌĐŽŶƚĂĐŶŐ
Z/^Ĩ ŽƌĂŶŝƚǇŝƌĞĐƚŽƌǇ^ĞĂƌĐŚĨŽƌƚŚĞƐŝƚĞĚĞƐĐƌŝďĞĚĂďŽǀĞ͘KƵƌƐƚĂīŚĂƐĐŽŶĚƵĐƚĞĚĂƌĞǀĞƌƐĞůŝƐŶŐŝƚǇŝƌ ĞĐƚŽƌǇƐĞĂƌĐŚƚŽĚĞƚĞƌŵŝŶĞƉƌŝŽƌŽĐĐƵƉĂŶƚƐŽĨƚŚĞ ƐƵďũĞĐƚƐŝƚĞĂŶĚĂĚũĂĐĞŶƚƉƌŽƉĞƌĞƐ͘t ĞŚĂǀĞƉƌŽǀŝĚĞĚƚŚĞŶĞĂƌĞƐƚĂĚĚƌĞƐƐĞƐ;ƐͿǁŚĞŶĂĚũĂĐĞŶƚĂĚĚƌĞƐƐĞƐĂƌĞŶŽƚůŝƐƚĞĚ͘/ĨǁĞŚĂǀĞƐĞĂƌĐŚĞĚĂƌĂŶŐĞŽĨĂĚĚƌĞƐƐĞƐ͕ĂůůĂĚĚƌĞƐƐĞƐŝŶƚŚĂƚ ƌĂŶŐĞĨŽƵŶĚŝŶƚŚĞŝƌĞĐƚŽƌǇĂƌĞŝŶĐůƵĚĞĚ͘
EŽƚĞ͗ZĞǀĞƌƐĞ>ŝƐŶŐŝƌ ĞĐƚŽƌŝĞƐŐĞŶĞƌĂůůǇĂƌĞĨŽĐƵƐĞĚŽŶŵŽƌĞŚŝŐŚůǇĚĞǀĞůŽƉĞĚĂƌĞĂƐ͘EĞǁůǇĚĞǀĞůŽƉĞĚĂƌĞĂƐŵĂǇďĞĐŽǀĞƌĞĚŝŶƚŚĞŵŽƌĞƌĞĐĞŶƚǇĞĂƌƐ͕ďƵƚƚŚĞŽůĚĞƌĚŝƌĞĐƚŽƌŝĞƐǁŝůůƚĞŶĚ ƚŽĐŽǀĞƌŽŶůǇƚŚĞΗĐĞŶƚƌĂůΗƉĂƌƚƐŽĨƚŚĞĐŝƚǇ͘dŽĐŽŵƉůĞƚĞƚŚĞƐĞĂƌĐŚ͕ǁĞŚĂǀĞĞŝƚŚĞƌƵůŝǌ ĞĚƚŚĞW>͕>ŝďƌĂƌǇŽĨŽŶŐƌĞƐƐ͕^ƚĂƚĞƌĐŚŝǀĞƐ͕ĂŶĚͬŽƌĂƌĞŐŝŽŶĂůůŝďƌĂƌǇŽƌŚŝƐƚŽƌǇĐĞŶƚĞƌĂƐǁĞůů ĂƐŵƵůƉůĞĚŝŐŝǌ ĞĚĚŝƌĞĐƚŽƌŝĞƐ͘dŚĞƐĞĚŽŶŽƚĐůĂŝŵƚŽďĞĂĐŽŵƉůĞƚĞĐŽůůĞĐŽŶŽĨĂůůƌ ĞǀĞƌƐĞůŝƐŶŐĐŝƚǇĚŝƌ ĞĐƚŽƌŝĞƐƉƌŽĚƵĐĞĚ͘

Z/^ŚĂƐŵĂĚĞĞǀĞƌǇĞīŽƌƚƚŽƉƌŽǀŝĚĞĂĐĐƵƌĂƚĞĂŶĚĐŽŵƉůĞƚĞŝŶĨŽƌŵĂŽŶďƵƚƐŚĂůůŶŽƚďĞŚĞůĚůŝĂďůĞĨ ŽƌŵŝƐƐŝŶŐ͕ŝŶĐŽŵƉůĞƚĞŽƌŝŶĂĐĐƵƌĂƚĞŝŶĨŽƌŵĂŽŶ͘ dŽĐŽŵƉůĞƚĞƚŚŝƐƐĞĂƌĐŚǁĞƵƐĞĚƚŚĞ ŐĞŶĞƌĂůƌĂŶŐĞ;ƐͿďĞůŽǁƚŽƐĞĂƌĐŚĨŽƌƌĞůĞǀĂŶƚĮŶĚŝŶŐƐ͘/ĨǇŽƵďĞůŝĞǀĞƚŚĞƌĞĂƌĞĂĚĚŝŽŶĂůĂĚĚƌ ĞƐƐĞƐŽƌƐƚƌĞĞƚƐƚŚĂƚƌĞƋƵŝƌĞƐĞĂƌĐŚŝŶŐƉůĞĂƐĞĐŽŶƚĂĐƚƵƐĂƚϴϲϲͲϱϭϳͲϱϮϬϰ͘ ^ĞĂƌĐŚƌŝƚĞƌŝĂ͗
ϭϳϰϮͲϮϬϰϴŽĨ^ŽŶsŝĞǁǀĞŶƵĞ
ϳϬϵͲϵϵϱŽĨ
ĞĚĂƌ^ƚƌĞĞƚ
530
WĂŐĞ͗Ϯ ZĞƉŽƌƚ/͗ϮϭϬϰϬϴϬϬϱϮϰͲϰͬϭϯͬϮϬϮϭ
ǁǁǁ͘ĞƌŝƐŝŶĨŽ͘ĐŽŵ

6($9(1*(5:RPHQ
V$SSDUHOUHWDLO

6($9(1*(5&ORWKLQJUHWDLO

6($9(1*(51RQFODVVLILHG(VWDEOLVKPHQWV

&<%(5(6/&20$GYHUWLVLQJFRPSXWHU

3,183*,5/&/27+,1*&ORWKLQJUHWDLO

-,$1$1(17(535,6(686$,1&5HVWDXUDQW0DQDJHPHQW

0$3/(,1'8675,(6,1&3OXPELQJ)L[WXUHV 6XSSOLHVZKROHVDOH

)8+,1'/,1&$ZQLQJV &DQRSLHV

Ontario City CouncilMarch 15, 2022

Ontario City Council
March 15, 2022