5(&200(1'(' )25 )8//7(;7 38%/,&$7,21 3XUVXDQW WR 6L[WK &LUFXLW 5XOH 

(/(&7521,& &,7$7,21  )(' $SS 3 WK &LU )LOH 1DPH DS

81,7('67$7(6&28572)$33($/6 )257+(6,;7+&,5&8,7 BBBBBBBBBBBBBBBBB

,QUH 1$1 %(7+ $/7 ; 'HEWRU  BBBBBBBBBBBBBBBBBBBBBBB   1R  1$1 %(7+ $/7 !  $SSHOODQW   Y   81,7(' 67$7(6 2) $0(5,&$   $SSHOOHH  1 $SSHDOIURPWKH8QLWHG6WDWHV'LVWULFW&RXUW IRUWKH:HVWHUQ'LVWULFWRI0LFKLJDQDW*UDQG5DSLGV 1R n:HQGHOO$0LOHV'LVWULFWsXGJH $UJXHG sXQH 'HFLGHGDQG)LOHG 2FWREHU %HIRUH '$8*+75(<DQG&/$<&LUFXLWsXGJHV :,//,$06'LVWULFWsXGJH

7KH +RQRUDEOH *OHQ 0 :LOOLDPV 8QLWHG 6WDWHV 'LVWULFW sXGJH IRU WKH :HVWHUQ 'LVWULFW RI 9LUJLQLD VLWWLQJ E\ GHVLJQDWLRQ

  ,QUH$OW 1R

BBBBBBBBBBBBBBBBB &2816(/ $5*8('   $QLWD * 0F,QW\UH *URVVH 3RLQWH 3DUN 0LFKLJDQIRU$SSHOODQW0DULRQ(0(ULFNVRQ81,7(' 67$7(6 '(3$570(17 2) s867,&( $33(//$7( 6(&7,217$;',9,6,21:DVKLQJWRQ'&IRU$SSHOOHH 21 %5,()   $QLWD * 0F,QW\UH *URVVH 3RLQWH 3DUN 0LFKLJDQ IRU $SSHOODQW  0DULRQ (0 (ULFNVRQ 'DYLG (QJOLVK &DUPDFN 81,7(' 67$7(6 '(3$570(17 2) s867,&( $33(//$7( 6(&7,21 7$; ',9,6,21 :DVKLQJWRQ'&IRU$SSHOOHH BBBBBBBBBBBBBBBBB 23,1,21 BBBBBBBBBBBBBBBBB 0$57+$ &5$,* '$8*+75(< &LUFXLW sXGJH  7KH GHEWRU1DQ%HWK$OWDSSHDOVIURPDQRUGHURIWKHGLVWULFW FRXUW  DIILUPLQJ WKH EDQNUXSWF\ FRXUWjV GLVPLVVDO RI KHU EDQNUXSWF\SHWLWLRQRQWKHJURXQGVWKDWVKHLVLQHOLJLEOHIRU &KDSWHUUHOLHIEHFDXVHWKHDPRXQWRIKHUOLTXLGDWHGQRQ FRQWLQJHQWXQVHFXUHGGHEWH[FHHGHGWKHVWDWXWRU\OLPLWDQG EHFDXVHWKHUHFRUGVKRZHGWKDWKHUSHWLWLRQZDVQRWEURXJKW LQ JRRG IDLWK  7KH GLVWULFW FRXUW VXVWDLQHG WKH EDQNUXSWF\ FRXUWjV GHFLVLRQ IRFXVLQJ SULQFLSDOO\ RQ WKH LVVXH RI JRRG IDLWK$OWFKDOOHQJHVERWKDVSHFWVRIWKHEDQNUXSWF\FRXUWjV UXOLQJ:HILQGQRHUURUDQGDIILUP )$&78$/$1'352&('85$/%$&.*5281' 1DQ %HWK $OW LV D OLFHQVHG SV\FKLDWULVW SUDFWLFLQJ LQ 0LFKLJDQ)RUWKHSDVWVHYHUDO\HDUV$OWDQGPHPEHUVRIKHU IDPLO\ KDYH KDG D YHU\ FRQWHQWLRXV UHODWLRQVKLS ZLWK WKH ,QWHUQDO5HYHQXH6HUYLFH,Q $OWjVIDWKHU'U:LOOLDP $OWDQGKHUVLVWHU.DUHQ $OW ZHUHFRQYLFWHGE\DMXU\RI YDULRXVIHGHUDOLQFRPHWD[RIIHQVHV2QGLUHFWDSSHDOWKLV FRXUWUHYHUVHGWKHLUFRQYLFWLRQVEDVHGXSRQDQLPSURSHUMXU\ LQVWUXFWLRQDQGUHPDQGHGWKHFDVHIRUDQHZWULDO6HH8QLWHG 1R ,QUH$OW 

6WDWHVY$OW )G WK&LU  8SRQUHPDQG :LOOLDP $OW SOHDGHG JXLOW\ WR D PLVGHPHDQRU DQG ZDV VHQWHQFHGWRWLPHVHUYHG6HH8QLWHG6WDWHVY$OW)G   WK&LU  'XULQJWKHSHQGHQF\RIWKHDSSHDO WKHJRYHUQPHQWVXHG:LOOLDP$OWDQGRWKHUPHPEHUVRIWKH $OWIDPLO\LQDFLYLODFWLRQWRFROOHFWEDFNWD[HVDULVLQJIURP  WKURXJK  DORQJZLWKLQWHUHVWDQGSHQDOWLHV7KH GLVWULFW FRXUWjV MXGJPHQW UHTXLULQJ :LOOLDP $OW WR SD\ ZDVDIILUPHGE\WKLVFRXUWRQDSSHDO$OW )GDW 7KH ,56 DVVHUWV WKDW 1DQ %HWK $OW IDLOHG WR ILOH IHGHUDO LQFRPHWD[UHWXUQVIRUWKH\HDUV DQG 0RUHRYHU ,56 DXGLWV IRU WKH \HDUV   DQG   UHVXOWHG LQ D FRPELQHGWD[GHILFLHQF\IRU$OWLQWKHDPRXQWRI  7KH,56DOVRDXGLWHG$OWIRUWKH\HDUV WKURXJK   ,QLWLDOO\WKHDXGLWVIRUWKHVH\HDUVZHUHDVVLJQHGWRWKH,56jV FULPLQDO LQYHVWLJDWLRQ GLYLVLRQ IRU FULPLQDO IUDXG EXW WKH\ ZHUHODWHUUHWXUQHGWRWKHGLYLVLRQIRUFLYLOIUDXG ,Q0D\ $OWDVVLJQHGKHUDFFRXQWDQW(DUO*HPPHQ WR UHSUHVHQW KHU EHIRUH WKH ,56 ZLWK UHVSHFW WR KHU WD[ OLDELOLWLHV IRU WKH \HDUV   WKURXJK    ,Q sXO\   *HPPHQ VHQW D OHWWHU WR WKH ORFDO ,56 RIILFH VHHNLQJ mDVVLVWDQFHLQFRPSLOLQJWRWDOVIRUWKHWD[OLDELOLW\lRI1DQ$OW DQG $OWjV SHUVRQDO VHUYLFHV FRUSRUDWLRQ  6SHFLILFDOO\ *HPPHQZDQWHGWRNQRZmDVTXLFNO\DVSRVVLEOHlWKHDPRXQW RI$OWjVmHQWLUHOLDELOLW\l2QHZHHNODWHUDQ,56UHYHQXH DJHQW VHQW *HPPHQ FRSLHV RI UHSRUWV UHODWLQJ WR $OWjV OLDELOLW\QRWLQFOXGLQJLQWHUHVWWKDWWKH,56UHSUHVHQWHGZRXOG JLYH*HPPHQmDUHDVRQDEOHILJXUHWRZRUNZLWKl*HPPHQ IROORZHG XS RQ WKH ,56jV OHWWHU E\ DVNLQJ IRU mWKH LQWHUHVW FDOFXODWLRQVlRUDWOHDVWmWKHHIIHFWLYHLQWHUHVWUDWHVl ,Q sXQH   WKH ,56 VHQW $OW D VWDWXWRU\ QRWLFH RI GHILFLHQF\ LQ WKH DPRXQW RI  IRU WKH \HDUV   WKURXJK     6HYHUDO PRQWKV EHIRUH WKH LVVXDQFH RI WKDW

 $OW WHVWLILHG DW GHSRVLWLRQ WKDW VKH GLG QRW mUHDOO\ UHFDOOl ZKHWKHU VKH ILOHG D IHGHUDO LQFRPH WD[ UHWXUQ IRU    ,QUH$OW 1R 1R ,QUH$OW 

QRWLFH RI GHILFLHQF\ $OW KDG ILOHG KHU LQLWLDO SHWLWLRQ IRU RXW &KDSWHU  UHOLHI LV UHVHUYHG IRU WKH mKRQHVW EXW &KDSWHU  UHOLHI LQ EDQNUXSWF\ FRXUW +RZHYHU WKH XQIRUWXQDWH GHEWRUl  7KH FRXUWjV FRQFOXVLRQ WKDW $OWjV EDQNUXSWF\FRXUWGLVPLVVHGWKDWSHWLWLRQZKHQ$OWjVODZ\HU FRQGXFWGHPRQVWUDWHGWKDWVKHGLGQRWTXDOLI\DVDQmKRQHVW IDLOHGWRDSSHDUDWWKHVFKHGXOHGFRQILUPDWLRQKHDULQJDQGWKH IRUWKFRPLQJWUXWKIXODQGIUDQNlGHEWRULVVXSSRUWHGE\WKH SHWLWLRQ KDG WR EH UHILOHG DIWHU WKH GHILFLHQF\ QRWLFH ZDV UHFRUG DQG LV VXEMHFW WR JUHDW GHIHUHQFH RQ RXU SDUW LVVXHG,QOLVWLQJFUHGLWRUVKROGLQJXQVHFXUHGQRQSULRULW\ $FFRUGLQJO\ZH$)),50WKDWFRXUWjVRUGHUGLVPLVVLQJ$OWjV FODLPVLQWKHVHFRQGSHWLWLRQ$OWLQGLFDWHGWKDWWKH,56KDG SHWLWLRQDVODFNLQJLQJRRGIDLWK,WWKXVEHFRPHVXQQHFHVVDU\ D FODLP DULVLQJ IURP D WD[ DVVHVVPHQW LQ WKH DPRXQW RI IRUXVWRGHDODWOHQJWKZLWKWKHEDQNUXSWF\FRXUWjVDGGLWLRQDO $OWGLGQRWLQGLFDWHWKHWD[DEOH\HDURU\HDUVWR UXOLQJ WKDW $OW GLG QRW PHHW WKH HOLJLELOLW\ UHTXLUHPHQWV RI ZKLFKWKLVDVVHVVPHQWUHODWHG6KHDOVROLVWHGWZRGLIIHUHQW † H LQWKLVFDVH ODZ ILUPV DV KROGLQJ XQVHFXUHG QRQSULRULW\ FODLPV IRU DWWRUQH\VIHHVLQWKHWRWDODPRXQWRIDQGDWD[ GHEWWRWKH6WDWHRI0LFKLJDQ$OWOLVWHGQRRWKHUFUHGLWRUV ,Q1RYHPEHU WKH,56ILOHGDSURRIRIFODLPLQ$OWjV EDQNUXSWF\FDVHOLVWLQJDVHFXUHGFODLPIRUDQ XQVHFXUHGSULRULW\FODLPRIDQGDQXQVHFXUHGJHQHUDO FODLPIRU7KH,56jVFODLPFRYHUHGFLYLOSHQDOWLHVIURP  DQG  DVZHOODVLQFRPHWD[OLDELOLW\IRU DQG  ,WGLGQRWLQFOXGHWD[OLDELOLWLHVDULVLQJIURPWKH\HDUV  WKURXJK  HYHQWKRXJKLWKDGOHVVWKDQILYHPRQWKV EHIRUH LVVXHG D QRWLFH RI GHILFLHQF\ IRU DPRXQWV GXH IURP WKRVH\HDUV ,Q 0DUFK   WKH JRYHUQPHQW WRRN $OWjV GHSRVLWLRQ SXUVXDQW WR )HGHUDO 5XOH RI %DQNUXSWF\ 3URFHGXUH  $OWjVSHUIRUPDQFHLQWKHGHSRVLWLRQZDVUHPDUNDEOH EH\RQG SURYLGLQJKHUIXOOQDPHDWWKHRXWVHWRIWKHGHSRVLWLRQVKH ZDVHLWKHUXQDEOHRUXQZLOOLQJWREHUHVSRQVLYHWRWKHPRVW EDVLFTXHVWLRQVSRVHGE\WKHJRYHUQPHQW)RUH[DPSOH$OW VWDWHGWKDWVKHZDVXQDZDUHRIKHUVWUHHWDGGUHVVDQGFRXOG QRW UHPHPEHU ZKHQ VKH PRYHG WR KHU FXUUHQW UHVLGHQFH :KHQDVNHGIRUKHUWHOHSKRQHQXPEHU$OWVWDWHGm,FDQjWWHOO \RXWKDWRQHWKDWHLWKHU,GRQjWUHFHLYHDQ\FDOOVWKHUHDV DUXOHl )XUWKHUHYHQWKRXJK$OWKDGOHVVWKDQRQH\HDUEHIRUH WKH GHSRVLWLRQ  VLJQHG DV SUHVLGHQW WKH   FRUSRUDWH LQFRPHWD[UHWXUQRI&OLQLFDO3V\FKLDWULF0HGLFLQH3&KHU GHSRVLWLRQ WHVWLPRQ\ GHPRQVWUDWHG DQ LQFUHGLEOH ODFN RI  ,QUH$OW 1R 1R ,QUH$OW 

SHWLWLRQLQEDGIDLWK+RZHYHUWKHEDQNUXSWF\FRXUWQRWHG NQRZOHGJHDERXWWKHFRPSDQ\$OWWHVWLILHGWKDWVKHmG>LG@ DIWHU FRPPHQWLQJ XSRQ $OWjV GHSRVLWLRQ SHUIRUPDQFH WKDW QRWNQRZKRZPDQ\HPSOR\HHVlWKHFRPSDQ\KDGEXWWKDW mEDQNUXSWF\LVQRWDKDYHQIRUWD[SURWHVWRUVl,QGHHGPDQ\ VKHmEHOLHYH>G@lWKDWIRXUSHRSOHZRUNHGWKHUH $OWjVVLVWHU SXEOLVKHGFDVHVUHJDUGLQJGLVPLVVDORI&KDSWHUSHWLWLRQV *UHWFKHQ EURWKHULQODZ PRWKHU DQG $OW KHUVHOI  :KHQ IRUEDGIDLWKLQYROYHWD[SURWHVWRUV6HHHJ,QUH%XUUHOO DVNHGZKDWVHUYLFHV*UHWFKHQSHUIRUPHGIRUWKHFRPSDQ\$OW  %5   %DQNU (' 7HQQ    GLVPLVVLQJ UHVSRQGHGm2K,FRXOGQjWWHOO\RXl$OWFODLPHGQRWWRNQRZ &KDSWHUSHWLWLRQDVKDYLQJEHHQILOHGLQEDGIDLWKLQDQ ZKRRZQHGWKHVWRFNRIWKHFRUSRUDWLRQRUZKHWKHUVKHKDG HIIRUW WR IXUWKHU GHEWRUjV WD[ SURWHVW  VHH DOVR  /XQGLQ DQ\ RZQHUVKLS LQWHUHVW LQ LW  %RWK $OWjV DWWRUQH\ DQG KHU VXSUDDW† DFFRXQWDQWZHUHSUHVHQWGXULQJKHUGHSRVLWLRQWHVWLPRQ\ $OWYLJRURXVO\GLVSXWHVWKHFRXUWjVFKDUDFWHUL]DWLRQRIKHU :LWKLQ D IHZ ZHHNV RI WKH GHSRVLWLRQ WKH JRYHUQPHQW DVDWD[SURWHVWRU5DWKHUVKHFRQWHQGVVKHLVDYLFWLPERWK PRYHGWRGLVPLVV$OWjV&KDSWHUSHWLWLRQDWWDFKLQJDPRQJ RI,56KDUDVVPHQWDQGLQQRFHQWJRRGIDLWKUHOLDQFHXSRQKHU RWKHU H[KLELWV WKH WUDQVFULSW RI $OWjV GHSRVLWLRQ  7KH mPHQWDOO\LOOlVLVWHU)XUWKHULQKHUEULHI$OWH[SODLQVKHU JRYHUQPHQW DUJXHGWKDW$OWGLGQRWTXDOLI\IRU&KDSWHU GHSRVLWLRQSHUIRUPDQFHXSRQKHULQH[SHULHQFHDVDZLWQHVV UHOLHI XQGHU  86& †  H  EHFDXVH     VKH ODFNHG FODLPLQJ VKH EHFDPH mFRQIXVHG DQG IOXVWHUHGl E\ KHU mUHJXODULQFRPHlDQG  DVRIWKHGDWHVKHILOHGKHUSHWLWLRQ mKRVWLOHl LQWHUURJDWRU ZKR ZDV DSSDUHQWO\ WKH VDPH VKHRZHGWRWKH,56mQRQFRQWLQJHQWOLTXLGDWHGXQVHFXUHG mSURVHFXWRU ZKR KDG VHQW KHU IDWKHU DQG VLVWHU WR SULVRQl GHEWVlJUHDWHUWKDQ7KHJRYHUQPHQWDUJXHGWKDW 7KLV H[SODQDWLRQ KRZHYHU LV QHLWKHU VXSSRUWHG E\ DQ LWZDVLPSRVVLEOHWRYHULI\ZKHWKHU$OWKDGUHJXODULQFRPH DIILGDYLWIURP$OWQRUZDVLWRIIHUHGWRWKHEDQNUXSWF\FRXUW EHFDXVH RI KHU VWRQHZDOOLQJ GXULQJ WKH GHSRVLWLRQ  :LWK LQFRQQHFWLRQZLWKWKHPRWLRQWRGLVPLVV$OWKRXJK$OWPD\ UHVSHFWWRWKHQRQFRQWLQJHQWOLTXLGDWHGXQVHFXUHG QRWEHDmWD[SURWHVWRUlDVWKDWSKUDVHLVQRUPDOO\XQGHUVWRRG GHEWFHLOLQJWKHJRYHUQPHQWUHSUHVHQWHGWKDWLWKDGPDLOHG WKDWGRHVQRWRYHUFRPHWKHVWURQJLQIHUHQFHRIEDGIDLWKDQG $OW D QRWLFH RI GHILFLHQF\ IRU WKH \HDUV     LQ WKH DEXVH RI WKH EDQNUXSWF\ SURFHVV UDLVHG E\ KHU GHSRVLWLRQ DPRXQWRI RQsXQH 7KLVWD[GHEWZDVQRW SHUIRUPDQFHDQGIDLOXUHWRVFKHGXOHKHUWD[GHEW UHIOHFWHGLQ$OWjVVHFRQGSHWLWLRQ)LQDOO\WKHJRYHUQPHQW UHTXHVWHGWKDWm>L@QVRIDUDVWKHGHEWRUjVSHWLWLRQZDVQRWLQ $ ORZHU FRXUWjV ILQGLQJ RI IDFW mZLOO RQO\ EH FOHDUO\ JRRG IDLWKl LW VKRXOG mEH GLVPLVVHG RXWULJKW ZLWKRXW DQ\ HUURQHRXV ZKHQ DOWKRXJK WKHUH PD\ EH VRPH HYLGHQFH WR RSWLRQIRUFRQYHUVLRQlWRD&KDSWHUSHWLWLRQ VXSSRUW WKH ILQGLQJ µWKH UHYLHZLQJ FRXUW RQ WKH HQWLUH HYLGHQFHLVOHIWZLWKWKHGHILQLWHDQGILUPFRQYLFWLRQWKDWD ,QKHUVKRUWZULWWHQUHVSRQVH$OWDVNHGWKHFRXUWWRGHQ\ PLVWDNHKDVEHHQFRPPLWWHGjl8QLWHG6WDWHVY/DWRXI WKHPRWLRQWRGLVPLVVRQWKHJURXQGVWKDWWKH,56KDGILOHGD )G WK&LU   TXRWLQJ$QGHUVRQY&LW\RI SURRI RI FODLP LQ WKH PXFK VPDOOHU WRWDO DPRXQW RI %HVVHPHU86   8SRQUHYLHZRIWKH DQGWKDWWKHGHDGOLQHWRILOHFODLPVLQKHUFDVH WRWDOLW\RIWKHFLUFXPVWDQFHVLQWKLVUHFRUGZHVLPSO\FDQQRW KDGORQJSDVVHG$FFRUGLQJWR$OWWKH,56VKRXOGEHmEDUUHG VD\ WKDW WKH EDQNUXSWF\ FRXUWjV ILQGLQJ RI EDG IDLWK ZDV IURP DOOHJLQJ LWV FODLP LV QRW DV ILOHGl  $OWHUQDWLYHO\ $OW FOHDUO\HUURQHRXV DUJXHGWKDWVKRXOGWKHFRXUWILQGKHULQHOLJLEOHXQGHU&KDSWHU VKHEHDOORZHGWRFRQYHUWKHUSHWLWLRQWR&KDSWHU &21&/86,21 $WDODWHUKHDULQJRQWKHJRYHUQPHQWjVPRWLRQWRGLVPLVV :HUHFRJQL]HWKDWWKHGLVPLVVDORID&KDSWHUSHWLWLRQLV $OWjVDWWRUQH\WROGWKHEDQNUXSWF\MXGJHWKDWDWWKHWLPH$OW DKDUVKPHDVXUH+RZHYHUDVWKHEDQNUXSWF\FRXUWSRLQWHG  ,QUH$OW 1R 1R ,QUH$OW 

ILOHGKHUSHWLWLRQm>:@HoDQG,EHOLHYHGLQJRRGIDLWKWKDW 4 :KHUHGR\RXZKHUHDUHWKHFKHFNVNHSW" WKHDPRXQWRIWKH,56GHEWZDVZLWKLQWKHMXULVGLFWLRQDOOLPLWV RI&KDSWHUDQGLQIDFWWKH,56ILOHGDFODLPLQWKHDPRXQW $ ,QWKHFKHFNERRN,PHDQ,GRQjW RI l  ,Q VXSSRUW RI KLV DVVHUWLRQ WKDW $OW ZDV SURFHHGLQJLQJRRGIDLWKWKHODZ\HUUHSUHVHQWHGWKDW$OWKDG 4 :KHUHLVWKHFKHFNERRNNHSW" EHHQ PDNLQJ KHU SD\PHQWV FRQVLVWHQWO\ WR WKH WUXVWHH )XUWKHUKHVDLGWKDWKHmG>LG@QRWEHOLHYHKH>HYHU@VDZlWKH $ ,GRQjWNQRZH[DFWO\ZKHUHLWLVNHSWDFWXDOO\ sXQH QRWLFHRIGHILFLHQF\VHQWWR$OW 4 'R\RXKDYHPRUHWKDQRQHFKHFNERRN" 7KH EDQNUXSWF\ FRXUW QRWHG WKDW LW KDG UHYLHZHG $OWjV GHSRVLWLRQDQGmZDVVKRFNHGl&RXQVHOIRUWKHEDQNUXSWF\ $ 1RWWRWKHEHVWRIP\NQRZOHGJHQR WUXVWHH DJUHHG ZLWK WKH FRXUWjV DVVHVVPHQW RI $OWjV 4 ,VLWNHSWDQ\ZKHUHZLWKLQ\RXUUHVLGHQFH" SHUIRUPDQFH DQG QRWHG IXUWKHU WKDW WKH TXHVWLRQV DVNHG DW GHSRVLWLRQ KDG VWLOO QRW EHHQ DQVZHUHG VDWLVIDFWRULO\  7KH $ ,GRQjWNQRZZKHUHLWLVNHSWQR EDQNUXSWF\ MXGJH GHFLGHG LQ RSHQ FRXUW WKDW $OWjV SHWLWLRQ VKRXOGEHGLVPLVVHG $VWKHEDQNUXSWF\FRXUWQRWHGLQGLVPLVVLQJ$OWjVFDVH &KDSWHUUHTXLUHVWKHGHEWRUmWREHKRQHVWIRUWKFRPLQJ &DVHGLVPLVVHG:KDWWKHFRXUWKDVVHHQLQWKLVFDVHLV WUXWKIXO DQG IUDQNl  :KHWKHU WKH GHEWRU KDV EHHQ VKRFNLQJ+HUHLVDQHGXFDWHGSHUVRQZKRDSSDUHQWO\IRU IRUWKFRPLQJZLWKWKHEDQNUXSWF\FRXUWDQGWKHFUHGLWRUVLV VRPHUHDVRQFKRVHWRVHHNEDQNUXSWF\FRXQVHOZLWKRXW SURSHUO\FRQVLGHUHGLQGHFLGLQJZKHWKHUGLVPLVVDOIRUODFNRI EULQJLQJWRKLVDWWHQWLRQWKHIDFWWKDWDOHWWHUKDGEHHQ JRRGIDLWKLVDSSURSULDWH6HH/RYH )GDW+HUH UHFHLYHGIURPWKH,56VHWWLQJIRUWKWKHDPRXQWRIWD[HV WKHEDQNUXSWF\FRXUWIRXQG$OWjVGHSRVLWLRQSHUIRUPDQFHWR ZKLFK ZHUH RZHG ZKLFK ZHUH FOHDUO\ RYHU WKH EHmODXJKDEOHDWEHVWIUDXGXOHQWDQGFULPLQDODWZRUVWl MXULVGLFWLRQDO OLPLW DW WKH WLPH  7KHQ FRPLQJ LQWR WKH EDQNUXSWF\WKHGHEWRUWDNHVDVXEPLWVWRDGHSRVLWLRQ 2EYLRXVO\$OWjVIDLOXUHWRVFKHGXOHWKHWD[GHEWVHWIRUWKLQ LQZKLFKWKHDQVZHUVDUHODXJKDEOHDWEHVWIUDXGXOHQW WKHsXQH QRWLFHRIGHILFLHQF\EROVWHUVWKHEDQNUXSWF\ DQGFULPLQDODWZRUVWLQGLFDWLQJLQIRUPDWLRQWKDWLVQRW FRXUWjVILQGLQJRIEDGIDLWK7KHFRXUWFRQFOXGHGWKDW$OWZDV DYDLODEOH WR KHU  6KH GRHVQjW NQRZ KHU DGGUHVV KHU DZDUH RI WKLV WD[ GHEW ZKLFK SXW KHU mFOHDUO\ RYHU WKH SKRQH QXPEHU ZKHUH VKH OLYHV KDV QHYHU VHHQ DQ\ MXULVGLFWLRQDOOLPLWDWWKHWLPHlXQGHU86&† H DQG FKHFNVEHLQJZULWWHQ7KLVLVVKRFNLQJDQG\RXPD\ VLPSO\FKRVHWRLJQRUHLWZKHQFRPSOHWLQJKHUVFKHGXOHV$W XVHP\ZRUGVVKRFNLQJ7KLVLVQRWZKDWEDQNUXSWF\ WKH KHDULQJ FRXQVHO IRU WKH WUXVWHH H[SUHVVHG FRQFHUQ WKDW LVDOODERXW $OWjVSODQLQFOXGLQJWKHRPLWWHGFODLPZRXOGmIDUH[FHHG PRQWKVlDQGZDVmQRWFRQILUPDEOHlXQGHU† H  ,IWKHGHEWRUKDVDGLVSXWHZLWKWKH,56WKHQWKHGLVSXWH KDVWREHPHWKHDGRQKRQHVWO\DQGIDLUO\:HGRQRW $QRWKHU IDFWRU EDQNUXSWF\ FRXUWV PD\ FRQVLGHU LQ WKLV EDQNUXSWF\LVQRWDKDYHQIRUWD[SURWHVWRUVLWLVIRUWKH FRQWH[WLVmKRZWKHGHEWDURVHl6HH/RYH )GDW KRQHVW EXW XQIRUWXQDWH GHEWRU     >(@YHU\WKLQJ WKLV 6HH DOVR %DUUHWW  )G DW   OLVWLQJ mFLUFXPVWDQFHV FRXUWKDVVHHQLQFOXGLQJWKHVHDGMRXUQPHQWVWRDWWHPSW XQGHUZKLFKWKHGHEWZDVLQFXUUHGlDVDIDFWRU +HUHWKH WRUHVROYHWKLVMXVWDUHXQIRUWXQDWH GHEWDWLVVXHLVDQHQRUPRXVIHGHUDOLQFRPHWD[GHILFLHQF\ &HUWDLQO\QRWHYHU\GHEWRUZLWKVXEVWDQWLDOWD[GHEWEULQJVKLV  ,QUH$OW 1R 1R ,QUH$OW 

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mIRU JRRG FDXVH VKRZQ WKH GHEWRUjV SHWLWLRQ 4 +RZLVLWWKDW\RXJHWWKHFDVKWKDW\RXKDYHRQ\RXU XQGHU &KDSWHU  LV GLVPLVVHG IRU EDG IDLWK DQG ODFN RI SHUVRQDWDQ\WLPH" MXULVGLFWLRQXQGHU86&† H l $ ,GRQjWKDYHDQ\FDVKRQP\SHUVRQ $IWHUJHWWLQJDQHZODZ\HU$OWDSSHDOHGWKHGLVPLVVDORUGHU 4 'R\RXHYHUKDYHDQ\FDVKRQ\RXUSHUVRQ" WRWKHGLVWULFWFRXUWDVVHUWLQJWKDWVKHZDVDYLFWLPRI,56 KDUDVVPHQWDQGEODPLQJKHUWD[SUREOHPVRQKHUmPHQWDOO\ $ 8QKXK QHJDWLYH  LOOlVLVWHU.DUHQ$OWZLWKZKRPVKHVDLGVKHKDGHQWUXVWHG KHUILQDQFHV6KHDUJXHGWKDWWKHEDQNUXSWF\FRXUWKDGHUUHG 4 :KDWGR\RXXVHWRSXUFKDVHIRRG" LQGLVPLVVLQJKHUSHWLWLRQEHFDXVHLWKDGEHHQILOHGLQJRRG IDLWK,QPDNLQJWKLVDUJXPHQW$OWFODLPHGWKDWQHLWKHUVKH $ &KHFN QRUKHUODZ\HUUHPHPEHUHGVHHLQJWKH,56jVsXQH QRWLFH RIGHILFLHQF\SULRUWRILOLQJKHUSHWLWLRQ$OWIXUWKHUDUJXHG 4 $QGLVWKDWDFKHFNWKDW\RXWKHQZULWH" WKDW DV D OHJDO PDWWHU WKH GHEW VHW IRUWK LQ WKDW GHILFLHQF\ VKRXOGQRWEHLQFOXGHGLQGHWHUPLQLQJKHUHOLJLELOLW\ $ 6RPHWLPHV\HV 7KHGLVWULFWFRXUWDIILUPHGWKHEDQNUXSWF\FRXUWILQGLQJ 4   6R GR \RX KDYH D FKHFNERRN LQ \RXU  ZLWK \RX WKDW LQ YLHZ RI $OWjV mVKDPHIXO    SHUIRUPDQFH DW KHU WRGD\" GHSRVLWLRQLWZDVQRWFOHDUO\HUURQHRXVIRUWKHEDQNUXSWF\ FRXUWWRILQGWKDW$OWjVSHWLWLRQVKRXOGEHGLVPLVVHGEDVHGRQ $ 1R EDGIDLWKl7KHGLVWULFWFRXUWDOVRUHMHFWHG$OWjVDUJXPHQWWKDW WKH   WD[GHILFLHQF\VKRXOGQRWEHFRXQWHGWRZDUG 4 'R\RXXVHFUHGLWFDUGV" WKH &KDSWHU  GHEW FHLOLQJ  $PRQJ RWKHU UHDVRQV IRU LWV FRQFOXVLRQ WKH GLVWULFW FRXUW IRXQG WKDW HYHQ LI $OW QHYHU $ 1R UHFHLYHG WKH sXQH   QRWLFH RI GHILFLHQF\ WKH UHFRUG VKRZHGWKDWVKHmKDGJRRGUHDVRQWREHOLHYHDWOHDVWD\HDU 4 6RWKHRQO\IRUPRIFXUUHQF\WKDW\RXXVHLVDFKHFN" EHIRUHWKH>Q@RWLFHRI>G@HILFLHQF\ZDVLVVXHGWKDW>VKH@ZDV $  1RGGLQJKHDGLQDIILUPDWLYH IDFLQJ DGGLWLRQDO WD[ OLDELOLW\ IRU WKH \HDUV   WKURXJK   l

     ,QUH$OW 1R 1R ,QUH$OW 

$OWDSSHDOVUDLVLQJEHIRUHWKLVFRXUWVXEVWDQWLDOO\WKHVDPH $ ,GRQRWUHFDOO DUJXPHQWVVKHPDGHEHIRUHWKHGLVWULFWFRXUW

    ',6&866,21 4 :KDWSHUVRQDOSURSHUW\GR\RXKDYH":KDWFDVKGR 2QDSSHDOZHUHYLHZWKHGHFLVLRQRIWKHEDQNUXSWF\FRXUW \RXKDYHSUHVHQWO\" GLUHFWO\6HH%DUORZY0s:DWHUPDQ $VVRF,QF ,QUH 0s:DWHUPDQ $VVRF,QF )G WK&LU $ 1RQH    7KH EDQNUXSWF\ FRXUWjV FRQFOXVLRQV RI ODZ DUH UHYLHZHGGHQRYRDQGLWVIDFWXDOILQGLQJVDUHUHYLHZHGIRU 4 <RXKDYHQRFDVKSUHVHQWO\" FOHDUHUURU6HHLG $  6KDNLQJKHDGQHJDWLYHO\ 7KHEDQNUXSWF\FRXUWjVRUGHUGLVPLVVLQJ$OWjVSHWLWLRQUHVWV RQ WZR LQGHSHQGHQW JURXQGV  WKDW $OW ZDV LQHOLJLEOH IRU 4 'R\RXKDYHDQ\FKHFNLQJDFFRXQWV" &KDSWHU  UHOLHI XQGHU  86& †  H  DQG WKDW KHU SHWLWLRQZDVILOHGLQEDGIDLWK$OWFKDOOHQJHVERWKJURXQGV $ <HV RQ DSSHDO  :H ILQG QR UHDVRQ WR GLVWXUE WKH EDQNUXSWF\ 4 $UHWKH\LQ\RXUQDPH" FRXUWjVRUGHURQHLWKHUEDVLV6SHFLILFDOO\ZHFRQFOXGHWKDW WKHEDQNUXSWF\MXGJHjVOHJDODQDO\VLVZDVVRXQGEXWHYHQLI $ ,KDYHDSHUVRQDOFKHFNLQJDFFRXQWLQP\QDPHZLWK WKHRUGHURIGLVPLVVDOFRXOGQRWEHVXVWDLQHGRQWKHEDVLVRI P\VLVWHUDVWKHFRVLJQHU LWVOHJDODQDO\VLVZHZRXOGVWLOOILQGLWQHFHVVDU\WRDIILUPWKH EDQNUXSWF\FRXUWRQWKHILQGLQJWKDW$OWj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† F ZKLFKDOWKRXJKLWGRHVQRWH[SUHVVO\ VLJQDWXUHRUGRHVLWUHTXLUHWZRVLJQDWXUHV" DGGUHVVJRRGIDLWKSHUPLWVDEDQNUXSWF\FRXUWWRGLVPLVVD $ ,GRQRWNQRZ 4 'R\RXHYHUZLWKGUDZIXQGVRXWRIWKDWDFFRXQW" $ ,GRQjWNQRZZKDW\RXPHDQH[DFWO\  ,QUH$OW 1R 1R ,QUH$OW

UHFRJQL]HV WKDW mWKH EDQNUXSWF\ FRXUW VKRXOG EH PRUH &KDSWHUSHWLWLRQmIRUFDXVHl6HH.(,7+ 0 /81',1 UHOXFWDQWWRGLVPLVVDSHWLWLRQXQGHU6HFWLRQ F IRUODFN &+$37(5  %$1.5837&<† GHG  m$OWKRXJK RIJRRGIDLWKWKDQWRUHMHFWDSODQIRUODFNRIJRRGIDLWKXQGHU QRWPHQWLRQHGLQWKH&RGHDVDFRQGLWLRQIRUHOLJLELOLW\IRU 6HFWLRQ D l,GDW &KDSWHU  PDQ\ UHSRUWHG GHFLVLRQV KDYH FRQVLGHUHG D GHEWRUjVµJRRGIDLWKjDWWKHWKUHVKROGRID&KDSWHUFDVH ,QWKHFRQWH[WRIVHFWLRQ F WKHEXUGHQRIVKRZLQJWKH W\SLFDOO\LQWKHFRQWH[WRIDPRWLRQWRGLVPLVVDVLIJRRGIDLWK GHEWRUjV ODFN RI JRRG IDLWK LV ERUQH E\ WKH SDUW\ VHHNLQJ GLVPLVVDO6HH/RYH )GDW%HFDXVHWKHLQTXLU\LV RQH RI IDFW UDWKHU WKDQ OHJDO DQDO\VLV ZH UHYLHZ WKH  EDQNUXSWF\ FRXUWjV ILQGLQJ RI EDG IDLWK IRU FOHDU HUURU 6HFWLRQ  LV HQWLWOHG m&RQYHUVLRQ RU GLVPLVVDOl DQG SURYLGHV DW VXEVHFWLRQ F LQ SDUW WKDW 6HH%DUUHWW )GDW  VHHDOVR(LVHQ)GDW ,QGRLQJVRZHPXVWJLYHmJUHDWGHIHUHQFHWRWKHEDQNUXSWF\ >$@IWHU QRWLFH DQG D KHDULQJ WKH FRXUW PD\ FRQYHUW D FDVH XQGHU FRXUWWKHWULHURIIDFWl/RYH )GDW&RPSDUH WKLV FKDSWHU WR D FDVH XQGHU FKDSWHU  RI WKLV WLWOH RU PD\ GLVPLVV 2NRUHHK%DDK  )G DW  KROGLQJ WKDW GHFLGLQJ D FDVH XQGHU WKLV FKDSWHU ZKLFKHYHU LV LQ WKH EHVW LQWHUHVWV RI ZKHWKHUD&KDSWHUSODQKDVEHHQSURSRVHGLQJRRGIDLWK FUHGLWRUV DQG WKH HVWDWH IRU FDXVH LQFOXGLQJ 

mVKRXOGEHOHIWWRWKHEDQNUXSWF\FRXUWjVFRPPRQVHQVHDQG  XQUHDVRQDEOH GHOD\ E\ WKH GHEWRU WKDW LV SUHMXGLFLDO WR FUHGLWRUV MXGJPHQWl   QRQSD\PHQW RI DQ\ IHHV DQG FKDUJHV UHTXLUHG XQGHU FKDSWHU  RI WLWOH  +HUHWKHEDQNUXSWF\MXGJHjVUHPDUNVDWWKHKHDULQJRQWKH  IDLOXUH WR ILOH D SODQ WLPHO\ XQGHU VHFWLRQ  RI WKLV JRYHUQPHQWjVPRWLRQWRGLVPLVVPDNHLWSODLQWKDWWKLVILQGLQJ WLWOH ZDV EDVHG LQ ODUJH SDUW RQ $OWjV SHUIRUPDQFH DW KHU  IDLOXUH WR FRPPHQFH PDNLQJ WLPHO\ SD\PHQWV XQGHU

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

$OWDQGWKHODZ\HUIRUWKH'HSDUWPHQWRIsXVWLFHVKRZVZKDW  UHYRFDWLRQ RI WKH RUGHU RI FRQILUPDWLRQ XQGHU VHFWLRQ  RI WKLV WLWOH DQG GHQLDO RI FRQILUPDWLRQ RI D PRGLILHG WKHEDQNUXSWF\FRXUWKDGLQPLQG SODQ XQGHU VHFWLRQ  RI WKLV WLWOH  WHUPLQDWLRQ RI D FRQILUPHG SODQ E\ UHDVRQ RI WKH 4 :KHUHGLG\RXNHHS\RXUILQDQFLDOLQIRUPDWLRQZLWK RFFXUUHQFH RI D FRQGLWLRQ VSHFLILHG LQ WKH SODQ RWKHU WKDQ UHVSHFWWR\RXU ZRUN" FRPSOHWLRQ RI SD\PHQWV XQGHU WKH SODQ RQO\ RQ UHTXHVW RI WKH 8QLWHG 6WDWHV WUXVWHH IDLOXUH RI $ ,GRQRWNHHSLW,GRQjWNQRZZKDW\RXjUHUHIHUULQJ WKH GHEWRU WR ILOH ZLWKLQ ILIWHHQ GD\V RU VXFK DGGLWLRQDO WLPH DV WKH FRXUW PD\ DOORZ DIWHU WKH ILOLQJ RI WKH SHWLWLRQ WR FRPPHQFLQJ VXFK FDVH WKH LQIRUPDWLRQ UHTXLUHG E\ SDUDJUDSK  RI VHFWLRQ  RU 4 :KRPDLQWDLQHG\RXUUHFRUGVLQ "  RQO\ RQ UHTXHVW RI WKH 8QLWHG 6WDWHV WUXVWHH IDLOXUH WR WLPHO\ ILOH WKH LQIRUPDWLRQ UHTXLUHG E\ SDUDJUDSK  RI $ ,GRQRWUHFDOO VHFWLRQ 

4 'LGDQ\RQHPDLQWDLQ\RXUUHFRUGVLQ "  86& †  HPSKDVLV DGGHG  7KH IDFW WKDW WKH VWDWXWH XVHV WKH ZRUG mLQFOXGLQJl GHPRQVWUDWHV WKDW WKH IDFWRUV OLVWHG DUH QRW H[FOXVLYH 6HH /LOOH\   )G DW    ,QUH$OW 1R 1R ,QUH$OW 

ZHUHDSUHGLFDWHWR&KDSWHUUHOLHIl LGDW† QRWLQJ  WKHEXUGHQZKLFKDGPLQLVWUDWLRQZRXOGSODFHRQWKH WKDW EDG IDLWK mLV WKH PRVW RIWHQ FLWHG EDVLV IRU GLVPLVVDOl WUXVWHH XQGHU VHFWLRQ  F   7KH NH\ LQTXLU\ LQ VXFK FDVHV LV ZKHWKHUWKHGHEWRULVVHHNLQJWRDEXVHWKHEDQNUXSWF\SURFHVV   WKH VWDWXWRULO\PDQGDWHG SROLF\ WKDW EDQNUXSWF\ SURYLVLRQVEHFRQVWUXHGOLEHUDOO\LQIDYRURIWKHGHEWRU (YHQ WKRXJK ZH KDYH QRW VSRNHQ WR WKH VXEMHFW RI ZKDW FRQVWLWXWHV EDG IDLWK ZH KDYH DQQRXQFHG VWDQGDUGV IRU 6HHLGDW :HKDYHDOVRHPSKDVL]HGWKDWJRRGIDLWKLVD EDQNUXSWF\FRXUWVWRIROORZLQGHWHUPLQLQJWKHGHEWRUjVJRRG IDFWVSHFLILF DQG IOH[LEOH GHWHUPLQDWLRQ  6HH 0HWUR IDLWK$VDVWDUWLQJSRLQWWKHEDQNUXSWF\FRGHUHTXLUHVWKDW (PSOR\HHV&UHGLW8QLRQY2NRUHHK%DDK ,QUH2NRUHHK LQRUGHUWREHFRQILUPHGDGHEWRUjVSODQPXVWDPRQJRWKHU %DDK )G WK&LU   WKLQJVEHmSURSRVHGLQJRRGIDLWKl86&† D   ,Q WKDW FRQWH[W m>R@XU FLUFXLWjV JRRG IDLWK WHVW UHTXLUHV ,QFRQVLGHULQJZKHWKHUDSHWLWLRQKDVEHHQEURXJKWLQJRRG FRQVLGHUDWLRQRIWKHWRWDOLW\RIFLUFXPVWDQFHVl6RFLHW\1DWjO IDLWKRWKHUFLUFXLWVKDYHUHFRJQL]HGIDFWRUVVLPLODUWRWKRVH %DQNY%DUUHWW ,QUH%DUUHWW  )G  WK&LU UHOHYDQWLQGHWHUPLQLQJZKHWKHUDSODQKDVEHHQSURSRVHGLQ    FLWDWLRQVRPLWWHG $PRQJWKHFLUFXPVWDQFHVWREH JRRGIDLWK6HHHJ/RYH )GDW QRWLQJWKDWmWKH FRQVLGHUHGLQGHWHUPLQLQJZKHWKHUDSODQKDVEHHQSURSRVHG VDPHSROLF\lRISURWHFWLQJDJDLQVWDQDEXVHRIWKHSURYLVLRQV LQJRRGIDLWKDUHWKHIROORZLQJ DQG VSLULW RI &KDSWHU  mHPERGLHV WKH WZR JRRG IDLWK HYDOXDWLRQVl VHHDOVR(LVHQ)GDW m7RGHWHUPLQH  WKHGHEWRUjVLQFRPH LIDSHWLWLRQKDVEHHQILOHGLQEDGIDLWKFRXUWVDUHJXLGHGE\ WKH VWDQGDUGV XVHG WR HYDOXDWH ZKHWKHU D SODQ KDV EHHQ  WKHGHEWRUjVOLYLQJH[SHQVHV SURSRVHG LQ JRRG IDLWKl   ,Q /RYH WKH 6HYHQWK &LUFXLW DGRSWHGDmWRWDOLW\RIWKHFLUFXPVWDQFHVlWHVWIRUGHWHUPLQLQJ  WKHGHEWRUjVDWWRUQH\jVIHHV ZKHWKHUD&KDSWHUSHWLWLRQZDVILOHGLQJRRGIDLWKDQGVHW IRUWK D mQRQH[KDXVWLYHl OLVW RI IDFWRUV ZKLFK LQFOXGH mWKH  WKHH[SHFWHGGXUDWLRQRIWKH&KDSWHUSODQ QDWXUHRIWKHGHEWLQFOXGLQJWKHTXHVWLRQRIZKHWKHUWKHGHEW ZRXOGEHQRQGLVFKDUJHDEOHLQD &KDSWHUSURFHHGLQJ WKH  WKHVLQFHULW\ZLWKZKLFKWKHGHEWRUKDVSHWLWLRQHGIRU WLPLQJRIWKHSHWLWLRQ KRZWKHGHEWDURVH WKHGHEWRUjVPRWLYH UHOLHIXQGHU&KDSWHU  LQ ILOLQJ WKH SHWLWLRQ  KRZ WKH GHEWRUjV DFWLRQV DIIHFWHG FUHGLWRUV WKHGHEWRUjVWUHDWPHQWRIFUHGLWRUVERWKEHIRUHDQG  WKHGHEWRUjVSRWHQWLDOIRUIXWXUHHDUQLQJ  DIWHUWKHSHWLWLRQZDVILOHG DQGZKHWKHUWKHGHEWRUKDVEHHQ   DQ\ VSHFLDO FLUFXPVWDQFHV VXFK DV XQXVXDOO\ KLJK IRUWKFRPLQJ ZLWK WKH EDQNUXSWF\ FRXUW DQG WKH FUHGLWRUVl PHGLFDOH[SHQVHV )GDW6HHDOVR/LOOH\ )GDW  DGRSWLQJ WRWDOLW\RIFLUFXPVWDQFHV WHVW  (LVHQ  )G DW  m7R  WKHIUHTXHQF\ZLWKZKLFKWKHGHEWRUKDVVRXJKWUHOLHI GHWHUPLQH EDG IDLWK D EDQNUXSWF\ MXGJH PXVW UHYLHZ WKH EHIRUHLQEDQNUXSWF\ WRWDOLW\RIWKHFLUFXPVWDQFHVl  LQWHUQDOTXRWDWLRQVRPLWWHG  :KHUHSUHVHQWWKHIDFWRUVVHWIRUWKE\WKLVFRXUWLQWKHSODQ WKHFLUFXPVWDQFHVXQGHUZKLFKWKHGHEWZDVLQFXUUHG FRQILUPDWLRQFRQWH[WDUHSURSHUO\FRQVLGHUHGDVZHOO$VWKH 6HYHQWK&LUFXLWKDVQRWHGm>7@KHUHZLOORIWHQEHVXEVWDQWLDO   WKH DPRXQW RI SD\PHQW RIIHUHG E\ GHEWRU DV RYHUODSEHWZHHQWKHWZRLQTXLULHVl/RYH )GDW LQGLFDWLYHRIWKHGHEWRUjVVLQFHULW\WRUHSD\WKHGHEW +RZHYHUJLYHQWKHPRUHVHYHUHFRQVHTXHQFHVWKHODZDOVR