BB 7-01.ppp - Burntisland.Net
Transcription
BB 7-01.ppp - Burntisland.Net
)5( ( +( +00 ([WUDFRSLHVLQ WKH/LEUDU\ 'LVWULEXWHGWR%XUQWLVODQG+RPHV 6XPPHU,VVXH 7KH%XUQWLVODQG&RPPXQLW\&RXQFLO%&&LVHOHFWHGHYHU\\HDUVWRDVFHUWDLQFRRUGLQDWHDQGH[SUHVVWRORFDODQGSXEOLF DXWKRULWLHVWKHYLHZVRIWKHFRPPXQLW\ZKLFKLWUHSUHVHQWVDQGWRFDUU\RXWRWKHUIXQFWLRQVLQWKHLQWHUHVWVRIWKHFRPPXQLW\ &20081,7<&281&,/¶65(&25' 7KHHOHFWLRQRIFRPPXQLW\FRXQFLOORUVZDVGHOD\HGWR &RPPXQLW\&RXQFLO6XFFHVVRYHUSDVWWKUHH\HDUV 9 6XSSRUWHGWKHSURYLVLRQRIDQDOOZHDWKHUSLWFKDWWKH%HDFRQQRZ DFFRPPRGDWHWKH*HQHUDO(OHFWLRQZKLFKZDVLQWXUQ LQGHYHORSPHQW GHOD\HGE\WKH)RRWDQG0RXWK'LVHDVH$QHZGDWHKDV 9 2UJDQLVHGWKHDWUHRXWLQJVIRUKXQGUHGVRIORFDOSHQVLRQHUVFRXU QRZEHHQVHWIRUWKH)LIHFRPPXQLW\FRXQFLOHOHFWLRQV WHV\RI([[RQ0RELO 9 ([WHQGHGWKHSURYLVLRQRI&KULVWPDVOLJKWV 2FWREHU (DUO\ LQGLFDWLRQV VXJJHVW WKDW %XUQWLVODQG¶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¶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¶V :LVKDUW)DPLO\ 9 1HJRWLDWHGLPSURYHPHQWVWRWKHEHDFKDQG/LQNVE\)LIH&RXQFLO DFKLHYHPHQWVDUHOLVWHGLQWKHDGMDFHQWER[ DQG)LIH(QWHUSULVH %HDFKKDV%OXH)ODJ 9 9 9 9 %(67'5(66(':,1'2: 9 5HDG LW RQ WKH :HE ZZZVHDVLGHDZDUGVRUJXN WR VDYH \RX VXUILQJ WKH SDJH UHDGV ³%XUQWLVODQG 7KLV SOHDVDQWEHDFKLVORFDWHGWRWKHHDVWHQGRI%XUQWLVODQG RYHUORRNLQJWKH)LUWKRI)RUWK$VDQG\EHDFKZLWKURFN 9 SRROVSOXVDPRGHUQOHLVXUHFHQWUH6HDVLGH3DUNFUD]\ JROI ERXQF\ FDVWOHV SLFQLF WDEOHV DQG D VXPPHU IDLU 9 JURXQG$QH[FHOOHQWYHQXHIXOORIKLVWRU\DQGH[FLWLQJ 9 SODFHVWRYLVLW´ 7KH%XUQWLVODQG&RPPXQLW\&RXQFLO%&&FRQWULEX WLRQ WR &LYLF :HHN LV VSRQVRULQJ WKH %HVW 'UHVVHG :LQGRZ&RPSHWLWRQ7KLV\HDUWKHUHZHUHHQWULHV SLFNLQJ XS WKH WKHPH RI )DYRXULWH 6WRULHV %XUQ WLVODQG¶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¶V ³1RDK¶V $UN´ ILUVW 6FRWPHG +HUE¶V ³7LWDQLD´VHFRQGDQG3UHVHQW7LPHV¶³-XQJOH%RRN´ WKLUG 7KH %&& VHFUHWDU\ 0DUJDUHW 0DFGRQDOG UH PDUNHGWKDWLWZDVQLFHWRVHHWZRRIWKHQHZWUDGHUVVR ZHOOSODFHG ' H O L F D W H( H(VV V H Q F HHWW K HH55 D P E O H U VV55 H V WW77 H D U RR RRP P6X 6XSS S R U W L Q JJWW K HH&& R PP PPXX Q L W \\77 H OO 'LVFXVVHGLQ&KDPEHUV %XUJK%X]]6XPPHUSDJH *DELRQV 5DLOWUDFN FRQWUDFWRUV UH PRYHGWKHUHPDLQLQJJDELRQIURPWKH /LQNVRQ-XQHILQDOO\PDNLQJJRRG WKHGDPDJHIURPWKHGHUDLOPHQWRIWKH FRDOWUDLQLQ-XO\7KHFRQWUDF WRU¶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¶V (YHQWV DQG 3UR PRWLRQV GHSDUWPHQW 7KH &RXQFLO UHJUHWWHGWKDWLWKDGQRWEHHQFRQVXOWHG LQWKHIRUPXODWLRQRITXHVWLRQVRUFRQ GXFW RI WKH VXUYH\ $V LW VWDQGV WKH VXUYH\ DSSHDUV VHOHFWLYH LQ LWV TXHV WLRQV DQG WDUJHW DXGLHQFH LWV UHVXOWV ZLOO ODFN FUHGLELOLW\ 7KH %&& ZLOO ZULWHWR)LIHZLWKLWVUHVHUYDWLRQV )OHPLQJ :D\ 'HYHORSPHQW 7KH DSSOLFDWLRQWRGHYHORSWKHDUHDRIWKH ROG %LQQ +RXVH DW WKH (DVW HQG RI )OHPLQJ ZD\ KDV EHHQ ZLWKGUDZQ 2XWOLQH SHUPLVVLRQ IRU WKUHH KRXVHV $/&$1¶V%851"$QG\:%UHSRUWV UHPDLQV EXW WKH GHYHORSHU QHHGV WR EXLOG VL[ RU PRUH KRPHV LI KH LV WR UHFRYHU WKH FRVW RI VWDELOLVLQJ DQG ODQGVFDSLQJWKHKLOOEHKLQG 5HG 3RQG $ GHYHORSHU¶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¶%UDH 7KH%&&QRWHGZLWK SOHDVXUH WKH ZRUN E\ )LIH &RXQFLO WR UHVXUIDFH DQG PDNH VDIH 6FKRODU¶V %UDH LQ DGYDQFH RI WKH .LQJ -DPHV %LEOHFHOHEUDWLRQV ,QWKHORQJHUWHUP$OFDQLQWHQGWRSLQSRLQWWKHVWUHDPUHVSRQVL EOHDQGWKHQGLYHUWLWDZD\IURPWKHODQGILOOVLWH7KLVLVQRWDQ +HDY\UDLQIDOORYHUWKHODVW\HDUKDVUDLVHGZDWHUOHYHOVLQ)LIH¶V HDV\WDVNDVWKHVWUHDPLVPRUHRIDVSRQJHWKDQDSLSH$OFDQ XQGHUJURXQG DTXLIHUV $V D UHVXOW GRUPDQW VSULQJV KDYH UHDS KDYHDOVRXQGHUWDNHQWRPDNHJRRGWKHGDPDJHWRWKHEXUQ7KLV SHDUHGRQWKHXSSHUOHYHOVRIWKH%LQQDQGHOVHZKHUH2QHVXFK FRXOGWDNHVHYHUDOIRUPVRQHPLJKWEHWRUHPRYHWKHSLSHDQG VSULQJ LV IHHGLQJ ZDWHU LQWR $OFDQ¶V :LQQH\KDOO ODQG ILOO VLWHFOHDQRXWWKHEXUQVRWKDWLWEHFRPHVDDFUHGLEOHZDWHUIHDWXUH 7KHVLWHLVXVHGWRVWRUHWKHZDVWHFOD\IURPWKHFKHPLFDOZRUNVDJDLQ$QRWKHULVWRUHWDLQRUUHSODFHWKHSLSHDQGWKHQFRYHULW 7KH ZDVWH FOD\ FRQWDLQV FDXVWLF VRGD ,Q QRUPDO WLPHV WKH WKLVZRXOGHQFORVHWKHZDWHUFRXUVHDQGSUHYHQWLWIURPUHYHUWLQJ FDXVWLF VRGD OHDFKHV RXW DQG UXQV DV FRQWDPLQDWHG ZDWHU 7KH WRDQRSHQVHZHU FRQWDPLQDWH FDQ EH OLNHQHG WR D YHU\ ZHDN VROXWLRQ RI EOHDFK$OWKRXJK HPEDUUDVVHG WKDW FLUFXPVWDQFHV KDYH FRPSURPLVHG 7KH FRQWDPLQDWH UXQV GRZQ WKH %LQQ WR VHWWOLQJ SRQGV E\ WKH WKHLUFRPPLWPHQWWRSURWHFWWKHHQYLURQPHQW$OFDQKDYHPDGH EDFN URDG DQG IURP WKHUH E\ GHGLFDWHG SLSHOLQH WR WKH PDLQ HYHU\ HIIRUW WR PLQLPLVH WKH LPSDFW DQG NHHS WKH FRPPXQLW\ ZRUNVIRUSXULILFDWLRQ LQIRUPHG7KHUHVHUYRLUVKRXOGEHHPSW\E\WKHHQGRI$XJXVW 7KLV\HDUWKHH[WUDVSULQJZDWHUKDVRYHUZKHOPHG$OFDQ¶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¶V%HDFKZDVPLQLPDO ³:HZLOOGHILQLWHO\EHHQWHULQJDWHDPDJDLQDQGKRSHWRLPSURYH RQWKLV\HDU¶VDPD]LQJDFKLHYHPHQW´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¶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¶VDYDLODEOH,I DEOHGTXLWHDQDFKLHYHPHQWLQWKLVGD\DQGDJH QRW KRZ GR ZH UHGUHVV WKH EDODQFH" 0HPEHUV RI WKH )HHO*RRG" )RURQFHWKH+LJK6WUHHWEXQWLQJZDVEHIRUHWKHVWDUWRI SUHVHQW &RPPXQLW\ &RXQFLO IDYRXU D SDUWQHUVKLS DS &LYLF:HHNWKHVKRZVVHHPQHDWHUDQGTXLHWHU6FKRODU¶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¶VVDNHXVHLW RI%XUQWLVODQGQRZWKDWZRXOGEHUHDOO\JRRG (OHFWLRQIRUWKH%XUQWLVODQG &RPPXQLW\&RXQFLO 7KH5XOHVDVVXPLQJWKH\DUHWKHVDPHDVWKHODVW HOHFWLRQLQ 7KH&RPPXQLW\&RXQFLOKDVHOHFWHGPHP ♦ EHUV ,IWKHUHDUHIHZHUWKDQQRPLQDWLRQVWKHUH ♦ ZLOOEHQR&RPPXQLW\&RXQFLO ,IWKHUHDUHPRUHWKDQQRPLQDWLRQVWKHUH ♦ ZLOOEHDQHOHFWLRQ 1RPLQDWLRQSDSHUVZLOOEHDYDLODEOHIURPWKH ♦ )LIH2IILFHLQWKH+LJK6WUHHW7KHSDSHUVPXVWEH VXEPLWWHGE\SPRQ7KXUVGD\WK 6HSWHPEHU ♦ 3ROOLQJZLOOWDNHSODFHRQ7KXUVGD\WK 7KHUHZLOOEHDDQH[WUDHGLWLRQRIWKH%XUJK%X]]OLVWLQJ FDQGLGDWHV IRU WKH FRPPLWWHH &DQGLGDWHV PD\ IRU D FKDUJHRI PDNHWKHLUFDVHIRUHOHFWLRQLQQRWPRUHWKDQ ZRUGV7KRVHZLVKLQJWRWDNHDGYDQWDJHRIWKLVRIIHU VKRXOG GHOLYHU WKHLU VXEPLVVLRQ WR WKH %XUJK %X]] (DVW /HYHQ 6WUHHW %XUQWLVODQG E\ SRVW KDQG ID[ RU HPDLO3D\PHQWFDQEHE\FKHTXHRUFDVKDWDPXWXDOO\ FRQYHQLHQWWLPH6XEPLVVLRQVPXVWEHUHFHLYHGE\ SP RQ 6XQGD\ 6HSWHPEHU (PDLO DZE#EXUQWLVODQGFRXNID[ &RPPXQLW\&RXQFLOORUV (GLWRU &KDLU $OH[0DF'RQDOG&UDLJ&RXUW 9LFH&KDLU 'DYLG3ODQW%URRP+RXVH0DQVH/DQH 6HFUHWDU\ 0DUJDUHW0DFGRQDOG1HLOVRQ*URYH 7UHDVXUHU $QHULV*UDQW0HOYLOOH*DUGHQV 0LQXWHV$YULO&RYHQWU\:HVW/HYHQ6WUHHW 'DYLG&RRSHU7KLVWOH+RXVH7KLVWOH6WUHHW &KULVWLQH'HZDU$EHUGRXU5RDG $QGUHZ'RXJODV%URRPKLOO$YHQXH 3DXO'RZLH:HVW/HYHQ6WUHHW %RE)DLUOLH0HOGUXP&UHVFHQW %HWW\ +RUQ 7KH +HDGODQGV 6RXWK 9LHZ /DPPHUODZV $OH[:KLWWRQ.LUNJDWH $QG\:LJKW%R\FRWW(DVW/HYHQ6WUHHW )LIH&RXQFLOORUVIRU&RPPXQLW\&RXQFLO$UHD %XUQWLVODQG(DVW-RKQ 0DF'RXJDOO&URPZHOO5RDG %XUQWLVODQG.<(+ %XUQWLVODQG:HVW,VDEHOOD%HYHULGJH'DOEHDWK&UHV FHQW&RZGHQEHDWK)LIH.<5) /RFDOLW\0DQDJHU 'RQDOG*UDQW&HQWUDO2IILFH7RZQ+RXVH.LUNFDOG\.< ;: %XUQWLVODQG¨V&KXUFKHV %XUJK%X]]6XPPHUSDJH E\,DLQ6RPPHUYLOOH 3DUW7KH.LUNWRQ&KXUFK\DUGDQGWKH/DVW/DLUGRI,QFKGDLUQLH ,Q WKH ILUVW DUWLFOH LQ WKLV VHULHV ZH GHDOWZLWKWKHDUULYDORI&KULVWLDQLW\LQ )LIH DQG WUDFHG WKH KLVWRU\ RI WKH &KXUFKRI6W6HUIRU6W$GDPQDQDWWKH .LUNWRQ ,Q WKLV DUWLFOH ZH¶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¶V VWLSHQG XQWLO ZKHQ WKH\ JRW D JXDUDQWHHWKDWWKHPLQLVWHUZRXOGDOVR SUHDFKDWWKH.LUNWRQ7KHFRXQWU\IRON WRR SUHIHUUHG WKH ROG FKXUFK DQG KHOSHGWRPDNHDYLDEOHFRQJUHJDWLRQ DOORZLQJWKHWZRFKXUFKHVWRRSHUDWHLQ WDQGHPIRUPDQ\\HDUV(YHQWXDOO\WKH .LUNWRQEXLOGLQJVIHOOLQWRGLVXVHDQG WKHPDLQSDUWWKHFKDQFHOEHFDPHWKH ³%XU\LQJ*URXQGRI$\WRQRI*UDQJH´ DVWKHLQVFULSWLRQDERYHWKHGRRUVD\V 7KH $\WRQ RU $\WRXQ IDPLO\ RULJL QDWHGLQ%HUZLFNVKLUH7KHLULQIOXHQFH VSUHDGWR)LIHDQGLQDEUDQFKRI WKH IDPLO\ ZDV JUDQWHG ODQGV DW ,QFKGDLUQLH QHDU .LQJODVVLH 7KH\ SURVSHUHGDQGDFTXLUHGRWKHUHVWDWHVDW &DUGHQGHQ DQG 6DOLQH DQG DURXQG WKH HVWDWH WKHQ GHVFULEHG DV ³2YHU *UDQJH DW .LQJKRUQ :HVWHU´ WKH*UDQJHHVWDWHDW%XUQWLVODQG7KH\ DOVR KDG SURSHUW\ LQ WKH VRXWK RI )UDQFHZKHUHWKH\VSHQWPXFKRIWKHLU WLPH ,QWKHDULVWRFUDWLFFXVWRPRIWKHGD\ WKH\LQWHUPDUULHGZLWKWKHULFKDQGID PRXVLQFOXGLQJWKHSRZHUIXO:HP\VV IDPLO\ 7KH\ SURGXFHG HQOLJKWHQHG IDUPHUV PLOLWDU\ PHQ DGYRFDWHV DQG OLWHUDU\ILJXUHVRQHRIZKRPLVFUHG LWHG ZLWK WKH YHUVLRQ RI ³$XOG /DQJ 6\QH´ ZKLFK 5REHUW %XUQV VXEVH TXHQWO\DGDSWHG , DP WROG E\ D SUHVHQW GD\ IDPLO\ PHPEHU WKDW $\WRXQV ZHUH EXULHG DW WKH.LUNWRQIURPWKHHDUO\GD\VLQFOXG LQJ -DPHV $\WRXQ ZKR GLHG LQ 7KHUHLVQRWUDFHRIWKHHDUOLHUEXULDOV EXW WZR ODWHU PHPEHUV RI WKH IDPLO\ KDYHPRVWLPSUHVVLYHPHPRULDOVLQWKH IRUPHUFKDQFHO2QHRIWKHVHLV5RJHU 6LQFODLU $\WRXQ WKH ³/DVW /DLUG RI ,QFKGDLUQLH´DVKHLVGHVFULEHGRQKLV WRPE 7KH RWKHU LV 5RJHU¶V PRWKHU 0DUJDUHW$QQH 5RJHUZDVERUQLQDQGLQKHU LWHG WKH IDPLO\ IRUWXQH DW WKH DJH RI HLJKWRQWKHGHDWKRIKLVIDWKHU+HKDG DQHYHQWIXOOLIHLQFOXGLQJDVSHOODVWKH /LEHUDO03IRU.LUNFDOG\IURPWR ,Q WKH HDUO\ V KH SUHVHQWHG WKH ,QFKGDLUQLH 7URSK\ WR %XUQWLVODQG *ROI&OXEDQGWKLVVHHPVWRKDYHJLYHQ D ILOOLS WR WKH JDPH LQ WKH WRZQ 7KH ILUVW FRQWHVW IRU WKH WURSK\ WRRN SODFH RQDFRXUVHDWWKHEDFNRIWKH%LQQRQ ODQG ZKLFK DW WKDW WLPH EHORQJHG WR 5RJHU $\WRXQ 7KH WURSK\ LV VWLOO SOD\HGIRUDQQXDOO\DWDQ³DZD\´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¶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µ%XUJK%X]]¶RI-DQXDU\DQG , ZLOO DYRLG JRLQJ RYHU WKH VDPH JURXQGDJDLQ 8QOLNHWKH$\WRXQVWKHLUSHUPDQHQW EDVH ZDV %XUQWLVODQG DQG WKH\ ZHUH PRUH LQYROYHG LQ ORFDO DIIDLUV IRU H[DPSOH:LOOLDP<RXQJZDV3URYRVW IURP WR 7KH\ ZHUH DOVR PRUHJHQHURXVJLIWLQJWKH0XVLF+DOO UDWKHU XQLPDJLQDWLYHO\ UHQDPHG WKH <RXQJ&RPPXQLW\+DOOWRWKHWRZQLQ 7KH SODTXH LQ WKH KDOO UHFRUGV ³7KLV KDOO HUHFWHG DQG ILWWHG XS E\ -RVHSK <RXQJ (VT DQG -RKQ <RXQJ (VT DW WKHLU MRLQW H[SHQVH ZDV SUH VHQWHG DV D IUHH JLIW WR WKH WRZQ RI %XUQWLVODQG ´ 7KH\ KDG D VWUHHW QDPHG DIWHU WKHP <RXQJ¶V 3ODFH RU %DLOLH<RXQJ¶V:\QGZKLFKODWHUEH FDPH/RWKLDQ6WUHHW 8QIRUWXQDWHO\DVLVXVXDOO\WKHFDVH WKHUHDUHIHZUHFRUGVRIWKHPRUHKXP EOHIRONLQWHUUHGDWWKH.LUNWRQ7KHUH DUHWKHKHDGVWRQHVRIFRXUVHEXWWKHVH GHWHULRUDWH RYHU WLPH $ OLVW RI WKH QDPHVDSSHDULQJRQWKHPIURPDVXU YH\FDUULHGRXWDERXWLVDWWKHHQG RIWKLVDUWLFOH7KHUHLVDOVRDUHJLVWHURI LQWHUPHQWVIRUERWKWKH.LUNWRQDQGWKH (DVW/HYHQ6WUHHWFKXUFK\DUGVFRYHU EB78 EJJ %XUQWLVODQG¶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³WKLVER\PXUGHUHG E\KLVPRWKHUZKLOHRXWRIKHUVHQVHV E\ GURZQLQJ LQ D WXE´ $QG RQ $XJXVW LQ WKH VDPH \HDU WKH XQ QDPHG\HDUROGZLIHRI5REHUW5RE HUWVRQ ODWH RI .LUNWRQ ZDV EXULHG WKHUHKDYLQJ³GLHGRIVPDOOSR[LQ(G LQEXUJK´ :HDOVRNQRZVRPHWKLQJRIWKHODVW SHUVRQ WR EH LQWHUUHG DW WKH .LUNWRQ 7RP+HZLWWZKROLYHVLQ)ORULGDWROG PHUHFHQWO\WKDWKLVJUHDWJUDQGPRWKHU +HOHQ 0DFNLQQRQ ZLGRZ RI -RKQ 'RQDOGVRQZDVWKHODVWSHUVRQEXULHG WKHUH 6KH GLHG RQ 0D\ DQG 7RPZDVWROGWKDWWKHFHPHWHU\ZKLFK KDG ORQJ EHHQ FORVHG IRU LQWHUPHQW ZDVUHRSHQHGVSHFLDOO\WRDOORZ+HOHQ WR EH ODLG WR UHVW EHVLGH KHU ODWH KXV EDQG $ ORFDO QHZVSDSHU RI WKH GD\ UHSRUWHGWKHRFFDVLRQ³7KHIXQHUDORI 0UV 'RQDOGVRQ ZKR ZDV \HDUV RI DJHWRRNSODFH7XHVGD\DIWHUQRRQDQG ZDVDWWHQGHGE\DUHSUHVHQWDWLYHWXUQ RXW RI ROG IULHQGV DQG UHVLGHQWV 0UV 'RQDOGVRQ¶VEXULDOLVWKHODVWWKDWZLOO WDNH SODFH LQ WKH DQFLHQW .LUN\DUG RI WKH.LUNEXLOWRYHU\HDUVDJRDQG RULJLQDOO\ NQRZQ DV WKH .LUN RI /LWHO .LQJRUQ´ 7KH )ORULGD IDPLO\ DOVR UH PHPEHU WKHLU 8QFOH 'DQ 'RQDOGVRQ +HOHQ¶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¶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´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µJUHHQILHOG¶ VLWH EHWZHHQ *UDQJH)DUPDQGWKHGLVWLOOHU\ VXEPLVVLRQV PDGH DW DQG DIWHU µUHVLVWV¶DQ\GHYHORSPHQWLQWKH 2Q WKH OHLVXUH IURQW )LIH 7KH 6FRWWLVK ([HFXWLYH WKHSXEOLFPHHWLQJV7KHSODQ 'RFN DUHD WKDW ZLOO LQFUHDVH &RXQFLO VHHN WR SURYLGH D ZLOO VKRUWO\ DSSURYH WKH )LIH UHLQVWDWHVWKHURXWHRID +*9 PRYHPHQWV WKURXJK SHUPDQHQW DOO ZHDWKHU IORRGOLW 6WUXFWXUH 3ODQ VHWWLQJ RXW WKH 'RFN$FFHVV5RDGWRWKHZHVWRI %XUQWLVODQG¶V FHQWUH RU ZLOO VSRUWV IDFLOLW\ MXVW QRUWK RI WKH JRYHUQPHQW¶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¶V SODQ SURSRVHGIRUWKH*UDQJHDUHD SODQQLQJ DSSOLFDWLRQV VKRXOG GHHS ZDWHU GRFNV 7KH DFFHVV 7KH /RFDO 3ODQ LV SURSRVHV ³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µILQDOLVHG¶ SODQ DQG ZH DUH QRZ LQ D IXUWKHU FRQVXOWDWLRQSHULRG2EMHFWLRQV DW WKLV VWDJH DUH UHVROYHG E\ µSXEOLF HQTXLU\¶ EHIRUH \HW 7KH*UDQJH/HLVXUH&HQWUHDVFXUUHQWO\SURSRVHGORRNLQJWRWKH6RXWK:HVW DQRWKHUSHULRGRIFRQVXOWDWLRQ GHVLJQDWHV WKH GHUHOLFW µEURZQILHOG¶ DUHD RI WKH (DVW 'RFN IRU XVHV LQ VXSSRUW RI HPSOR\PHQWDQGDPHQLW\7KXV WKH (DVW 'RFN DUHD FRXOG VRRQ EH DYDLODEOH IRU D PL[ RI UHFUHDWLRQDO FRPPHUFLDO UHVLGHQWLDO DQG OLJKW LQGXVWULDO XVHV%HWWHUVWLOOWKH/RFDO3ODQ %LEOH:HHN,Q%XUQWLVODQG6FKRRO %XUJK%X]]6XPPHUSDJH (ODLQH 'DYLGVRQ WDNHV XV EHKLQG WHDFKHU 0U 'XQFDQ &ODUN ³+RZHYHU ,KDYHQ WVHHQD79FDPHUDEHIRUH $OORIRXUFODVVZDVRQ79 0\PXPVDLGVKHKDGDJRRGODXJK DWWKHFRQFHUW • 6WHSKHQ )LVFKEDNHU ZDV DEVROXWHO\ EULOOLDQW , ZHQW EDFN WR VHH KLP RQ )ULGD\ QLJKW • ,ZDVDELWVFDUHGLQ%LEOHZRUOGZKHQ WKHOLJKWVZHQWRXWEXW,HQMR\HGXVLQJWKHLU FRPSXWHUVDQGWKHER[ZLWKWKHWKRUQV • ,WZDVJRRGVHHLQJ0U&ODUNGDQFLQJ DQGVLQJLQJZLWKXVLQWKHSOD\JURXQG • 0UV6PLWKVKRZHGXVKRZWRSULQWRQ • WKH VFHQHV DW %XUQWLVODQG 3ULPDU\ RQFH ZH UHFRJQLVHG WKH LPSRUWDQFH RI • •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³ :KHQ , VXJJHVWHG FHOHEUDWLQJ WKH WUDQVODWLRQRIWKH%LEOH\RXFDQLPDJ LQHWKHHQWKXVLDVP´FRPPHQWHGKHDG SXOOHGRXWDOOWKHVWRSVDQGKDGDPRVW HQMR\DEOH ZHHN IURP ZKLFK ZH DOO UHDOO\EHQHILWHG´6RPHRI WKHTXRWHV IURPWKHFKLOGUHQVKRZKRZVXFFHVVIXO WKH%LEOH:HHNZDV %HFDXVH • ,ORYHGEHLQJLQWKHFRQFHUW • 0U0LGGOHWRQ VFOD\ZRUNZLWKXVZDV JUHDW %DFNURZ.D\6ZDQ:LOOLDP)RUHPDQ5RE\Q.LOOLQ6RSKLH0HLMHU+DQQDK6KRYOLQH &HQWUHURZ'DYLG,PULH5KHDQQD$OH[DQGHU )URQWURZ0DU\6WXDUW&DUOD%LUFK3HWHU+DQVRQ6KDXQ-HIIUH\1DWKDQ'RXJODV=DF 0F$OOLVWHU.LHUDQ3V\O ,QFRPHUV*XLGHWR%XUQWLVODQG +WR/ +DOI0RRQ5DLVHGURDGZD\RQ6RXWKVLGH RI5RVVHQG&DVWOH +DXJK%URRPKLOO5RGDQGIRUPHUFDUDYDQ VLWHQRZZHLJKEULGJHDUHDRI$OXPLQLXP ZRUNV +HUULQJ5RZ (DVW/HYHQ6WUHHW +LJK %HQWV +LOO 1RUWK RI $OH[DQGHU¶V 0RQXPHQW +LJK5RDG0DLQ5RDGWR$EHUGRXU +RSHWRQ&RXUW 6LWHRIIRUPHU&RRSEDNH KRXVH ,URQ&UDLJDOVRZURQJO\NQRZQDV+HUULQJ &UDLJRU+HURQ&UDLJ)RUPHUSLHUMXWWLQJ RXWLQWR2OG'RFNIURPQRUWKVLGH ,Y\ '\NHV )RRWSDWK RQ 6RXWK VLGH RI *UDQJH)DUP+RXVH .LOPXQG\/DQG1RUWKRIUHVHUYRLUVLWHRI &URPZHOO¶VFDPS-XO\ .LOPXQG\+RXVH/RQVGDOH+RXVH )RU PHUO\VLWHGRSSRVLWH*UDQJH)DUP&URP ZHOO¶VUHVLGHQFH .LOPXQG\4XDUU\'LVXVHG4XDUU\LQ.LO PXQG\:RRG .LUN%XVV5RFNH[SRVHGDWORZWLGHVRII %UHDNZDWHU6RXWKRI6W&ROXPED¶V.LUN .LUN¶V '\NH %RXQGDU\ ZDOO WR (DVW RI *UHHQPRXQW+RWHO .LUNWRQ%UDH5RDGIURP.LUNWRQWR%DFN &DXVHZD\ .LUVWLH%HOO¶V3ODQWLQJ :RRGWR1RUWKRI *UDQJH4XDUU\ .LWWOLQ¶V¶'XE5RFNSRROQRZFRYHUHGE\ FRQFUHWHSURPHQDGHDW/DPPHUODZV /DQGDOH¶V/RGJH%LQQ+RXVH /HHPRXQW :HVWHQGRI/HYHQ6WUHHW /HVOLH¶V&ORVH 1RUWKVLGHRI+LJK6WUHHWWR :HVWRISUHVHQWSROLFHVWDWLRQ /RQJ&ORVH/DQHUXQQLQJ1RUWKDQGSDUDO OHOWR(UVNLQH&KXUFK /RYHUV¶ /DQH )URP .LUNFDOG\ 5RDGWR *UHHQPRXQW5RDG1RUWK /RZ%HQWV 6KRUH6RXWKRI$OH[DQGHU¶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¶3DWLHQFH5HZDUGHG $VPDQ\%XUQWLVODQGHUVZLOONQRZWKHXSJUDGHWRWKH 0DVWHUWRQ+HDOWK&HQWUHLVQHDULQJFRPSOHWLRQ)LIH¶V 3ULPDU\ &DUH 7UXVW DSSOLHG IRU DQG VXEVHTXHQWO\ UHFHLYHG IURP WKH 6FRWWLVK ([HFXWLYH¶V PRGHUQLVDWLRQIXQG7KH7UXVWRZQVWKHEXLOGLQJDQG SURYLGHV D 6WDII *UDGH &RPPXQLW\ 3DHGLDWULFLDQ 6HUYLFH 1XUVLQJ 6HUYLFHV 'LVWULFW 1XUVHV +HDOWK 9LVLWRUVDQG3V\FKLDWULF1XUVHDQG3URIHVVLRQDOV$OOLHG WR 0HGLFLQH 6HUYLFHV 3RGLDWU\&KLURSRG\ 6SHHFK DQG /DQJXDJH7KHUDS\3K\VLRWKHUDS\DQG'LHWHWLF,WDOVR UHQWV RXW IDFLOLWLHV WR WKH WZR LQGHSHQGHQW PHGLFDO SUDFWLFHV'U0DF'RQDOGDQG'U+DOOLGD\DQG3DUWQHUV 7KH7UXVWLVEXLOGLQJDGGLWLRQDODFFRPPRGDWLRQLQDQG RYHUWKHFRXUW\DUGLQWKHFHQWUHRIWKHFRPSOH[7KLV DORQJZLWKRWKHULQWHUQDOFKDQJHVHQDEOHVWKH7UXVWDQG HDFKRIWKHWZR*33UDFWLFHVWRKDYHGHGLFDWHGUHFHSWLRQ DQG DGPLQLVWUDWLRQ IDFLOLWLHV DQG D VHFRQG WUHDWPHQW URRP7KHUHLVDOVRDQHZ*3¶VFRQVXOWLQJURRPWREULQJ WKHWRWDOXSIURPIRXUWRILYH7KHH[WUDDFFRPPRGDWLRQ DQGLPSURYHGGLVDEOHGDFFHVVZLOOLPSURYHWKHOHYHORI VHUYLFHWRDOOZKRXVHWKHFHQWUH ³,WLVDSLW\WRORVHWKHQDWXUDOOLJKWIURPWKHFRXUW\DUG´ VDLG0UV'DYLVWKH7UXVW¶V+HDOWK&HQWUH6HFUHWDU\³EXW LWLVDVPDOOSULFHIRUWKHH[WUDVSDFHDQGIDFLOLWLHV´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³:+$7¶V21´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¶VDQQXDOIORZHUVKRZ 2XWGRRU$GMXGLFDWLRQ 7KH5HVLGHQWLDODQG 2XWGRRU VHFWLRQVRIWKH)ORZHU6KRZZLOOEHMXGJHGRQRQDQG $XJXVW (QWU\IRUPVDUHLQWKH/LEUDU\ 6KRZ6FKHGXOHV 6FKHGXOHVIRUWKHVKRZRQ$XJXVW DUHRQVDOHLQWKHWRZQ '225623(1'$< 7KHµ'RRUV2SHQ'D\¶SURJUDPPHDLPVWRJLYHWKHJHQHUDO SXEOLF DFFHVV WR EXLOGLQJV RI DUFKLWHFWXUDO KLVWRULFDO RU LQGXVWULDO LQWHUHVW WKDW DUH RWKHUZLVHG FORVHG WRWKHP $O WKRXJKGHWDLOVRIWKLV\HDU¶VEXLOGLQJVDUHQRW\HWDYDLODEOH 5RVVHQG&DVWOH3DULVK&KXUFK DQG%XUJK&KDPEHUVKDYH SDUWLFLSDWHG LQ WKH SDVW %XUQWLVODQG LV LQ &HQWUDO )LIH VR WKHVHEXLOGLQJVPD\EHRSHQRQ6HS(DVW)LIHEXLOGLQJV ZLOOEHRSHQRQ6HS:HVW)LIHRQ6HS 7$(.:21'2 7ROO&HQWUH )ULGD\V.LGVSP$GXOWVSP 6XQGD\V.LGVSP$GXOWVSP 'HWDLOV %XUJK%X]]6XPPHUSDJH %($&21 1//(,685( (& &(175( %266 ,QSDUWQHUVKLSZLWK %XUQWLVODQG2XWRI6FKRRO6HUYLFH 01592 872211 £ 45 PER /(,685(&(175( 0RQGD\)ULGD\SP-XO$XJ 1(3781(ª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¶$VVRFLDWLRQRI6FRWODQG %URRPKLOO$YHQXH%XUQWLVODQG.<%: 7HO)D[ HPDLODGPLQ#VPDUWHOHFWULFVQHW ZHEVLWHZZZVPDUWHOHFWULFVQHW %XUQWLVODQG3RVW2IILFH &RXQWHU2SHQSP:HHNGD\V SP6DWXUGD\V 3DVVSRUW([SHUWV :(*8$5$17((<285 1(:3$663257%$&.,1 :25.,1* '$<6 25 :(ª//5()81'285)(( 3$6632573+27267$.(1,17+(6+23 )5((5(7$.(,)<28ª5(127+$33< 'H\ +DLUE\ %XUJK%X]]6XPPHUSDJH +$,5'5(66,1* /$',(6*(176 7HOHSKRQH 6RPHUYLOOH6WUHHW %XUQWLVODQG 0RQGD\QLJKWVSP²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º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¶V :HZLVKDOORI RXUFXVWRPHUV 6KRUWO\PRYLQJDERYH'HOLFDWH(VVHQFH DYHU\KDSS\1HZ<HDUDQG %,**(5%(77(5%5,*+7(5 ZHOFRPHDOOQHZFXVWRPHUV &RPHDQGVHHXVVRRQ IRU 7KDQN\RXIRUXVLQJ0RYLH=RQHIRU \RXU9LGHRDQG'9'KLUH7HO +$55 55< <·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µ*UHHQ:LWFK5DQJH¶ +LJK6W$EHUGRXU RUZZZJUHHQZLWFKFRXN 0D V +M 5T L L *@ L O DQ DQ R (VVHQWLDO2LOV +HUEDO5HPHGLHV %HHVZD[VRDSV&RVPHWLFV µ0DJLFDO&DQGOHV,QFHQVH¶ &U\VWDOV&U\VWDO-HZHOOHU\ 7DURW&DUGV(VRWHULF%RRNV 520$12¶6 $+,*+675((7 %8517,6/$1' D \H ZD DU U V GH UX G QQ IR LQ XU J 48$/,7<),6+&+,36 48$/,7<6(59,&( 48$/,7<35(0,6(6 $/62/$5*(6(/(&7,212).(%$%6 3,==$6%$.('327$72(6$//$9$,/$%/( )25+20('(/,9(5,(67230 '$<6$:((.