RS-24-102, Supplement to License Amendment Request to Revise Technical Specifications to Adopt Risk Informed Completion Times TSTF-505, Revision 2, Provide Risk-Informed Extended Completion Times - RITSTF Initiative 4b, and TSTF-591
| ML24295A350 | |
| Person / Time | |
|---|---|
| Site: | Dresden |
| Issue date: | 10/21/2024 |
| From: | Humphrey M Constellation Energy Generation |
| To: | Office of Nuclear Reactor Regulation, Document Control Desk |
| References | |
| RS-24-102 | |
| Download: ML24295A350 (1) | |
Text
October 21, 2024 U.S. Nuclear Regulatory Commission Page 2 RS-24-102 10 CFR 50.90 October 21, 2024 ATTN: Document Control Desk U.S. Nuclear Regulatory Commission Washington, D.C. 20555-0001 Dresden Nuclear Power Station, Units 2 and 3 Renewed Facility Operating License Nos. DPR-19 and DRP-25 NRC Docket Nos. 50-237 and 50-249
Subject:
Supplement to License Amendment Request to Revise Technical Specifications to Adopt Risk Informed Completion Times TSTF-505, Revision 2, "Provide Risk-Informed Extended Completion Times - RITSTF Initiative 4b," and TSTF-591, "Revise Risk Informed Completion Time (RICT) Program"
Reference:
Letter from Mark D. Humphrey (Constellation Energy Generation, LLC) to U.S Nuclear Regulatory Commission, "License Amendment Request to Revise Technical Specifications to Adopt Risk Informed Completion Times TSTF-505, Revision 2, 'Provide Risk-Informed Extended Completion Times - RITSTF Initiative 4b,' and TSTF-591,'Revise Risk Informed Completion Time (RICT)
Program'," dated May 8, 2024 (ADAMS Accession No. ML24129A135)
In the reference, Constellation Energy Generation, LLC (CEG) requested amendments to Renewed Facility Operating License Nos. DRP-19 and DRP-25 for Dresden Nuclear Power Station, Units 2 and 3 (Dresden).
During a review of the sample Risk-Informed Completion Time (RICT) calculations done for of the Dresden TSFT-505 and TSTF-591 License Amendment Request, it was identified that the RICT days estimates listed in Table E1-2 did not incorporate the high wind/tornado missile penalty factor values given in Enclosure 4. The penalty factor values are established to account for additional risks due to the high wind/tornado missile hazards during the period when a RICT is in effect; and, when applied, causes a decrease in the allowed outage time estimates given in Table E1-2. This supplemental letter is being submitted to provide updates to Enclosure 1 and Enclosure 9 that correct issues identified during internal reviews as described below.
An extent of condition review was performed, and additional corrections were made. These corrections included revising quantifications for Enclosure 1 and the Enclosure 9 sensitivity calculations. The revised documentation discussed in this letter incorporates the corrected results and updated assessments of those results. Note that the RICT calculations given in Table E1-2 are for example only and actual RICT values will be calculated using the plant
October 21, 2024 U.S. Nuclear Regulatory Commission Page 2 configuration model in PARAGON when the program is implemented. Additionally, the overall conclusions of Enclosure 9 were unchanged.
The attachments of this letter contain the corrected pages of those enclosures that properly account for the penalty factor values and corrections. Attachment 1 contains only the corrected pages of Enclosure 1 and the page with the associated footnotes for Table E1-2. Attachment 2 contains the entirety of Enclosure 9 which includes revision bars.
CEG has reviewed the information supporting the finding of no significant hazards consideration, and the environmental consideration that were previously provided to the NRC in the reference. The additional information provided in this submittal does not affect the bases for concluding that the proposed license amendments do not involve a significant hazards consideration. In addition, the information provided in this submittal does not affect the bases for concluding that neither an environmental impact statement nor an environmental assessment needs to be prepared in connection with the proposed amendment.
There are no regulatory commitments contained in this letter. Should you have any questions concerning this letter, please contact Mr. Nicholas Lien at (779) 231-6283.
I declare under penalty of perjury that the foregoing is true and correct. Executed on the 21st day of October 2024.
Respectfully, Mark D. Humphrey Sr. Manager - Licensing Constellation Energy Generation, LLC Attachments:
- 1) Corrected Enclosure 1 - Pages E1-27 through E1-29 only.
- 2) Corrected Enclosure 9 - full document with revision bars cc:
Regional Administrator - NRC Region III NRC Senior Resident Inspector - DNPS Illinois Emergency Management Agency and Office of Homeland Security - Division of Nuclear Safety
- Humphrey, Mark D.
Digitally signed by Humphrey, Mark D.
Date: 2024.10.21 11:37:39 -05'00'
ATTACHMENT 1 Corrected Enclosure 1 - Pages E1-27 through E1-29 only
License Amendment Request Adopt Risk Informed Completion Times TSTF-505 and TSTF-591 Docket Nos. 50-237 and 50-249 List of Revised Required Actions to Corresponding PRA Functions E1-27
- 3. Example RICT Calculations Examples of calculated RICTs are provided in Table E1-2 for each individual condition to which the RICT applies (assuming no other SSCs modeled in the PRA are unavailable). Following TSTF-505 implementation, the actual RICT values will be calculated using the actual plant configuration and the current revision of the PRA models representing the as-built, as-operated condition of the plant, as required by NEI 06-09, Revision 0-A and the NRC safety evaluation, and may differ from the RICTs presented in Table E1-2.
Table E1-2 below lists the calculated RICTs for each TS condition using the method outlined in NEI 06-09, Revision 0-A, [2] shown below. The same equation was used to calculate the Large Early Release Frequency (LERF) RICT by simply using the RICT Incremental Conditional Large Early Release Probability (ICLERP) Limit and LERF instead.
The RICT Incremental Conditional Core Damage Probability (ICCDP) limit is 1.00E-05, while the RICT ICLERP limit is 1.00E-06. The RICTs are limited to a maximum of thirty (30) days, and to a minimum of the original TS completion time.
Table E1-2 provides example RICT calculations for the purposes of this Enclosure.
Table E1-2: In-Scope TS/LCO Conditions RICT Estimate TS Condition LCO Condition RICT Estimate (days)1, 2 3.1.7.A One SLC subsystem inoperable.
30.0 3.3.1.1.A(2)
One or more required channels inoperable.
0.3 3.3.1.1.B(2)
One or more Functions with one or more required channels inoperable in both trip systems.
0.3 3.3.2.2.A One or more Feedwater System and main turbine high water level trip channels inoperable.
30.0 3.3.4.1.A One or more channels inoperable.
30.0 3.3.5.1.B As required by Required Action A.1 and referenced in Table 3.3.5.1-1.
24.3 3.3.5.1.C As required by Required Action A.1 and referenced in Table 3.3.5.1-1.
24.3 3.3.5.1.D As required by Required Action A.1 and referenced in Table 3.3.5.1-1.
30.0 3.3.5.1.E As required by Required Action A.1 and referenced in Table 3.3.5.1-1.
30.0 3.3.5.1.F As required by Required Action A.1 and referenced in Table 3.3.5.1-1.
30.0 3.3.5.1.G As required by Required Action A.1 and referenced in Table 3.3.5.1-1.
30.0 3.3.5.3.A One or more Reactor Vessel Pressure-High channels inoperable.
30.0 3.3.6.1.A(2)
One or more required channels inoperable 1.5 3.3.6.3.A One relief valve inoperable due to inoperable channel(s).
30.0 3.3.8.1.A One or more channels inoperable.
30.0 3.4.3.A One relief valve inoperable.
30.0
License Amendment Request Adopt Risk Informed Completion Times TSTF-505 and TSTF-591 Docket Nos. 50-237 and 50-249 List of Revised Required Actions to Corresponding PRA Functions E1-28 Table E1-2: In-Scope TS/LCO Conditions RICT Estimate TS Condition LCO Condition RICT Estimate (days)1, 2 3.5.1.B One LPCI subsystem inoperable for reasons other than Condition A OR one Core Spray subsystem inoperable.
30.0 3.5.1.C One LPCI pump in each subsystem inoperable.
30.0 3.5.1.E Two LPCI subsystems inoperable for reasons other than Condition C.
24.3 3.5.1.G HPCI System inoperable.
30.0 3.5.1.H One ADS valve inoperable.
30.0 3.5.3.A IC System inoperable.
11.0 3.6.1.2.C Primary containment air lock inoperable for reasons other than Condition A or B.
7.5 3.6.1.3.A One or more penetration flow paths with one PCIV inoperable for reasons other than Condition D.
7.5 3.6.1.6.A One low set relief valve inoperable.
30.0 3.6.1.7.A One or more lines with one reactor building-to-suppression chamber vacuum breaker not closed.
N/A 3.6.1.7.C One line with one or more reactor building-to-suppression chamber vacuum breakers inoperable for opening.
N/A 3.6.1.8.A One required suppression chamber-to-drywell vacuum breaker inoperable for opening.
4.3 3.6.2.3.A One suppression pool cooling subsystem inoperable.
19.9 3.6.2.6.A One drywell spray subsystem inoperable.
30.0 3.7.1.B One CCSW pump in each subsystem inoperable.
30.0 3.7.1.C One CCSW subsystem inoperable for reasons other than Condition A.
30.0 3.8.1.A One required offsite circuit inoperable.
30.0 3.8.1.B One required DG inoperable.
30.0 3.8.1.C Two required offsite circuits inoperable.
30.0 3.8.1.D One required offsite circuit inoperable AND one required DG inoperable.
24.0 3.8.4.A One required 250 VDC battery charger inoperable.
30.0 3.8.4.C One 250 VDC battery inoperable, due to the need to replace the battery, as determined by maintenance or testing.
30.0 3.8.4.D One 250 VDC electrical power subsystem inoperable for reasons other than Conditions A, B, or C.
30.0 3.8.4.E One required Division 1 or 2 125 VDC battery charger inoperable.
26.1 3.8.4.G Division 1 or 2 125 VDC battery inoperable, due to the need to replace the battery, as determined by maintenance or testing.
18.5 3.8.4.H(2)
Division 1 or 2 125 VDC electrical power subsystem inoperable for reasons other than Conditions E, F, or G.
1.0 3.8.4.I Opposite unit Division 2 125 VDC electrical power subsystem inoperable.
30.0 3.8.7.A(2)
One or more AC electrical power distribution subsystems inoperable.
3.1 3.8.7.B(2)
One or more DC electrical power distribution subsystems inoperable.
1.0 3.8.7.C One or more required opposite unit Division 2 AC or DC electrical power distribution subsystems inoperable.
5.5
License Amendment Request Adopt Risk Informed Completion Times TSTF-505 and TSTF-591 Docket Nos. 50-237 and 50-249 List of Revised Required Actions to Corresponding PRA Functions E1-29 Table E1-2 Notes:
(1) RICTs are based on the Unit 2 internal events and internal fire PRA model calculations with seismic and high winds core damage frequency (CDF) and large early release frequency (LERF) penalties. RICTs calculated to be greater than 30 days are capped at 30 days based on NEI 06-09-A. RICTs are rounded to nearest tenth of a day.
(2) Per NEI 06-09, for cases where the total CDF or LERF is greater than 1E-03/yr or 1E-04/yr, respectively, the RICT Program will not be entered.
ATTACHMENT 2 Corrected Enclosure 9 - Full Document with Revision Bars
(1&/2685(
/LFHQVH$PHQGPHQW5HTXHVW
'UHVGHQ1XFOHDU3RZHU6WDWLRQ8QLWVDQG
'RFNHW1RVDQG
5HYLVH7HFKQLFDO6SHFLILFDWLRQVWR$GRSW5LVN,QIRUPHG&RPSOHWLRQ7LPHV767)
5HYLVLRQ³3URYLGH5LVN,QIRUPHG([WHQGHG&RPSOHWLRQ7LPHV5,767),QLWLDWLYHE'
DQG767)5HYLVLRQ5HYLVH5LVN,QIRUPHG&RPSOHWLRQ7LPH5,&73URJUDP
.H\\$VVXPSWLRQVDQG6RXUFHVRI8QFHUWDLQW\\
/LFHQVH$PHQGPHQW5HTXHVW
(QFORVXUH
$GRSW5LVN,QIRUPHG&RPSOHWLRQ7LPHV767)
'RFNHW1RVDQG
.H\\$VVXPSWLRQVDQG6RXUFHVRI8QFHUWDLQW\\
(
,QWURGXFWLRQ
7KHSXUSRVHRIWKLVHQFORVXUHLVWRGLVSRVLWLRQWKHLPSDFWRI3UREDELOLVWLF5LVN$VVHVVPHQW
35$PRGHOLQJHSLVWHPLFXQFHUWDLQW\\IRUWKH5LVN,QIRUPHG&RPSOHWLRQ7LPH5,&73URJUDP
DVSDUWRI5,&77HFKQLFDO6SHFLILFDWLRQ7DVN)RUFH5,767),QLWLDWLYHE1XFOHDU(QHUJ\\
,QVWLWXWH1(,7RSLFDO5HSRUW1(,$5HIHUHQFH>@6HFWLRQLWHPUHTXLUHVDQ
HYDOXDWLRQWRGHWHUPLQHLQVLJKWVWKDWZLOOEHXVHGWRGHYHORS5LVN0DQDJHPHQW$FWLRQV50$V
WRDGGUHVVWKHVHXQFHUWDLQWLHV7KHEDVHOLQHLQWHUQDOHYHQWV35$DQGILUH35$)35$PRGHOV
GRFXPHQWDVVXPSWLRQVDQGVRXUFHVRIXQFHUWDLQW\\DQGWKHVHZHUHUHYLHZHGGXULQJWKHPRGHO
SHHUUHYLHZV7KHDSSURDFKWDNHQLVWKHUHIRUHWRUHYLHZWKHVHGRFXPHQWVWRLGHQWLI\\WKHLWHPV
ZKLFKPD\\EHGLUHFWO\\UHOHYDQWWRWKH5,&73URJUDPFDOFXODWLRQVWRSHUIRUPVHQVLWLYLW\\DQDO\\VHV
ZKHUHDSSURSULDWHWRGLVFXVVWKHUHVXOWVDQGWRSURYLGHGLVSRVLWLRQVIRUWKH5,&73URJUDP
7KHHSLVWHPLFXQFHUWDLQW\\DQDO\\VLVDSSURDFKGHVFULEHGEHORZDSSOLHVWRWKHLQWHUQDOHYHQWV
35$DQGDQ\\HSLVWHPLFXQFHUWDLQW\\LPSDFWVWKDWDUHXQLTXHWR)35$DUHDOVRDGGUHVVHG,Q
DGGLWLRQ7RSLFDO5HSRUW1(,$UHTXLUHVWKDWWKHXQFHUWDLQW\\EHDGGUHVVHGLQ5,&7
3URJUDP&RQILJXUDWLRQ5LVN0DQDJHPHQW3URJUDP&503RWKHUZLVHUHIHUUHGWRDVWKH5HDO
7LPH5LVN575WRROVE\\FRQVLGHUDWLRQRIWKHWUDQVODWLRQIURPWKH35$PRGHOWRWKH575
PRGHO7KH575PRGHODOVRUHIHUUHGWRDVWKH3$5$*21PRGHOGLVFXVVHGLQ(QFORVXUH
LQFOXGHVLQWHUQDOHYHQWVIORRGLQJHYHQWVDQGILUHHYHQWV7KHPRGHOWUDQVODWLRQXQFHUWDLQWLHV
HYDOXDWLRQDQGLPSDFWDVVHVVPHQWDUHOLPLWHGWRQHZXQFHUWDLQWLHVWKDWFRXOGEHLQWURGXFHGE\\
DSSOLFDWLRQRIWKH575WRROGXULQJ5,&73URJUDPFDOFXODWLRQV
,QDGGLWLRQJHQHULFOHYHOVRXUFHVRIXQFHUWDLQW\\DQGDVVXPSWLRQVIURP(35,
5HIHUHQFH>@ZHUHDOVRHYDOXDWHG1RDGGLWLRQDONH\\VRXUFHVRIPRGHOXQFHUWDLQW\\ZHUH
LGHQWLILHGIURPWKDWUHYLHZRI/HYHOJHQHULFXQFHUWDLQWLHV
'LYHUVHDQG)OH[LEOH0LWLJDWLQJ6WUDWHJLHV)/(;LQWKH35$0RGHOV
7KHSXUSRVHRIWKH'136)/(;HTXLSPHQWLVWRSURYLGHLQGHSHQGHQWPHDQVFDSDEOHRI
PLWLJDWLQJDVLPXOWDQHRXVORVVRIDOO$&SRZHUDQGORVVRIQRUPDODFFHVVWRWKHXOWLPDWHKHDW
VLQNUHVXOWLQJIURPDEH\\RQGGHVLJQEDVLVH[WHUQDOHYHQW%'%((E\\SURYLGLQJDGHTXDWH
FDSDELOLW\\WRPDLQWDLQRUUHVWRUHFRUHFRROLQJFRQWDLQPHQWFRROLQJDQG6SHQW)XHO3RRO6)3
FRROLQJFDSDELOLWLHVWRDOOXQLWVRQVLWH
7KURXJKSURFHGXUDOGLUHFWLRQWKHXVHRI)/(;HTXLSPHQWLVOLPLWHGWRH[WHQGHGORVVRI$&
SRZHU(/$3FRQGLWLRQVHJVWDWLRQEODFNRXW6%2
/LFHQVH$PHQGPHQW5HTXHVW
(QFORVXUH
$GRSW5LVN,QIRUPHG&RPSOHWLRQ7LPHV767)
'RFNHW1RVDQG
.H\\$VVXPSWLRQVDQG6RXUFHVRI8QFHUWDLQW\\
(
$W'136)/(;HTXLSPHQWFRQVLVWVRIWKHIROORZLQJ
7ZR.:GLHVHOJHQHUDWRUVRQHORFDWHGLQ)/(;%XLOGLQJ$DQGDQRWKHUORFDWHGLQ
)/(;%XLOGLQJ&$IWHUEHLQJFRQQHFWHGYLDWHPSRUDU\\FDEOHVD'*ZLOOVXSSO\\$&
SRZHUWR)/(;SXPSVDQG9$&VDIHW\\UHODWHGEXVVHVLQWKH5HDFWRU%XLOGLQJ
o 7KH%XLOGLQJ$'*LVWUDLOHUPRXQWHG,WLVLQ³6WDQGE\\'FRQQHFWHGYLD)/(;
FDEOHVWRWKH7HPSRUDU\\3RZHU'LVWULEXWLRQ8QLW73'8ORFDWHGDIHZIHHWDZD\\
o 7KH%XLOGLQJ&'*LVWUDLOHUPRXQWHGDQGLVWKHEDFNXS)/(;'*
)RXU)/(;3XPSV$%$%SXPSVDUHXVHGWRVXSSO\\ZDWHUIRUFRUHFRROLQJ
FRQWDLQPHQWFRROLQJDQGVSHQWIXHOSRRO6)3FRROLQJLQWKHHYHQWRIVLPXOWDQHRXVORVV
RIDOO$&SRZHUDQGORVVRIQRUPDODFFHVVWRWKHXOWLPDWHKHDWVLQN8+67ZRSXPSV
$DQG$DUHGHVLJQDWHGDVWKHSULPDU\\)/(;SXPSVDQGDUHPRXQWHGXQGHUWKH
VWDLUVLQWKH88(DVW:HVW/3&,&RUQHU5RRP7KHRWKHUWZRSXPSV%DQG%
DUHGHVLJQDWHGDV1$OWHUQDWH)/(;SXPSVDQGDUHPRXQWHGLQWKH8:HVW8
(DVW7RUXV%DVHPHQWDUHD(DFKSXPSFDQGHOLYHUJSPDWIHHWKHDG
$VVRFLDWHGKRVLQJDQGHOHFWULFDOFRQQHFWLRQVDUHVWRUHGQHDUWKHSXPSV
³0LQL0RQVRRQ'SXPSV+/-WKHVHDUHVPDOOSXPSVXVHGWRSXPSGLHVHOIXHOIURPWKH
XQGHUJURXQGGLHVHOVWRUDJHWDQNLQWRDERYHJURXQGFDQVEDUUHOVDQGWDQNV(DFK
SXPSFDQSURYLGHDPLQLPXPRIJSPZKHQSXPSLQJRYHUDIRRWHOHYDWLRQ
FKDQJHZKHQSRZHUHGGLUHFWO\\IURPD9EDWWHU\\$<DQPDUJHQHUDWRUSRUWDEOH
9$&GLHVHOJHQHUDWRULVDOVRDYDLODEOHIRUXVHWRSURYLGHWKH9'&RXWSXWIRU
WKH0LQL0RQVRRQSXPSV
%XV&RQQHFW'HYLFHV%&'VVWRUHGQHDU5HDFWRU%XLOGLQJ0&&DQG
DUHXVHGWRSURYLGHSDWKZD\\VIRUWKH)/(;'*RXWSXWWRHQWHUDQGEDFNIHHGD9
VDIHW\\UHODWHGEXV
73'8VDUHQRUPDOO\\KRRNHGWRD)/(;'*ZLWKPXOWLSOHFDEOHV$73'8LVD9$&
GLVWULEXWLRQKXPWKDWFRQQHFWVWKHRXWSXWIURPD)/(;'*WRDQ\\RIIRXUGHVWLQDWLRQV
VXFKDVRQH)/(;SXPS%XV%XVDQG)/(;%XLOGLQJ$SRUWDEOH3RZHU
GLVWULEXWLRQXQLWXVHGWRSURYLGHWHPSRUDU\\OLJKWLQJQHHGV
7ZR+HLGUD+6++'LHVHODQG7HOHVFRSLQJ&UDQHDVVHPEOLHVDUHDYDLODEOHIRUXVH
DVSDUWRIWKH6$:$VWUDWHJ\\(DFKDVVHPEO\\KDVDWUDLOHUPRXQWHGGLHVHOGULYHQSXPS
aJSPZKLFKZLOOEHWRZHGWRWKH'UHVGHQLQWDNHFDQDOQRUWKRIWKHWXUELQHEXLOGLQJ
(DFKDVVHPEO\\DOVRKDVDWHOHVFRSLQJFUDQH7KHFUDQHZLOOORZHUWKHVXEPHUVLEOH
SXPSLQWRWKHFDQDO%RWKDVVHPEOLHVDUHLQ)/(;%XLOGLQJ%+/-RQHIRUXVHDQGRQHWR
VDWLVI\\WKH1UHTXLUHPHQWV
2WKHUHTXLSPHQWLVDOVRDYDLODEOHZLWKLQWKHWKUHH)/(;EXLOGLQJVVXFKDVWZRDGGLWLRQDO
)/(;SXPSVVLPLODUWRWKH$%$%SXPSVORFDWHGRQDEDUJH%XLOGLQJ&WZR
VPDOOHUSXPSVZKLFKPD\\EHXWLOL]HGLQIXWXUH)/(;VWUDWHJLHVDOVRLQ%XLOGLQJ&D
/LFHQVH$PHQGPHQW5HTXHVW
(QFORVXUH
$GRSW5LVN,QIRUPHG&RPSOHWLRQ7LPHV767)
'RFNHW1RVDQG
.H\\$VVXPSWLRQVDQG6RXUFHVRI8QFHUWDLQW\\
(
WUXFN%XLOGLQJ%IRUPRYLQJWKHWUDLOHUVDQGDSRZHUGROO\\%XLOGLQJ%FDSDEOHRI
SXVKLQJDQGSXOOLQJSRXQGJURVVZHLJKWHGWUDLOHUV
'136DOVRKDVDWLWVGLVSRVDOWZRRWKHUPHFKDQLVPV³V\\VWHPV'IRUDGGUHVVLQJFRQGLWLRQV
ZKLFKPD\\DULVHGXHWR(/$3QDPHO\\WKH+DUGHQHG&RQWDLQPHQW9HQW6\\VWHP+&96DQG
%ODFN6WDU7HFK%76DOVRUHIHUUHGWRDV%ODFN6WDUW%HFDXVHRSHUDWLRQRIHLWKHURIWKHVHWZR
V\\VWHPVLVVXEMHFWWRWKHVDPHHQWU\\FULWHULDDV)/(;LH(/$36%2+&96DQG%ODFN6WDUW
DUHRIWHQLQFOXGHGLQGLVFXVVLRQVDQGHYDOXDWLRQVZKLFKLQFOXGH)/(;
7KHSXUSRVHRIWKH+&96LVWRSURYLGHDGLUHFWSDWKWRYHQWFRQWDLQPHQWWRDWPRVSKHUHDQGWR
PDLQWDLQFRQWDLQPHQWSUHVVXUHEHORZGHVLJQSUHVVXUH7KH+&96SURYLGHVDYHQWSLSHPRWLYH
SRZHUIRUYHQWYDOYHVDSXUJHV\\VWHPDQGDUDGLDWLRQDQGWHPSHUDWXUHPRQLWRULQJV\\VWHPWR
HQDEOHYHQWLQJRIWKHVXSSUHVVLRQFKDPEHUVGXULQJDQGIROORZLQJDQ(/$3)/(;RU6HYHUH
$FFLGHQW:DWHU$GGLWLRQ6$:$HYHQW7KLVLVDXQLWVSHFLILFYHQWSDWKGLUHFWO\\IURPWKH
FRQWDLQPHQWYHQWKHDGHUWRDQHOHYDWHGUHOHDVHSRLQWDQGLVSRZHUHGE\\WKH'&EDWWHULHVIRU
YDOYHFRQWURODQGLQVWUXPHQWDWLRQIRUXSWRKRXUV
%ODFNVWDUW%76LVDFROOHFWLRQRIUDSLGGHSOR\\PHQWSRZHUVXSSOLHVDQGDWWHQGDQWHTXLSPHQWIRU
XVHGXULQJDQH[WHQGHGVWDWLRQEODFNRXW%ODFNVWDUWLVFRPSULVHGRISRUWDEOHEDWWHU\\JHQHUDWRU
LQYHUWHUDQGYDULRXVYROWDJH$&DQG'&SRZHUVXSSOLHVDQGFDQVXSSO\\DZLGHUDQJHRIORDGV
IURP9'&WR9'&DQG9$&WR9$&
%DWWHULHVSURYLGHUDSLGSRZHUUHVWRUDWLRQDQGSRUWDEOHOLTXLILHGSHWUROHXPJDV/3*LH
SURSDQHJHQHUDWRUVSURYLGHORQJWHUPSRZHU7KHJRDORI%ODFNVWDUWLVUDSLGUHHVWDEOLVKPHQW
RIDUHDFWRUZDWHULQMHFWLRQVRXUFHUHDFWRUSUHVVXUHFRQWURODQGYLWDOLQVWUXPHQWDWLRQQHHGHGWR
PRQLWRUWKHKHDOWKRIWKHUHDFWRUFRUHDQGFRQWDLQPHQWVWUXFWXUHV%ODFNVWDUWSURFHGXUHVDUH
ZULWWHQWRSULRULWL]HUHVWRULQJLQMHFWLRQDQGSUHVVXUHFRQWUROIROORZHGE\\UHVWRULQJLQVWUXPHQWDWLRQ
DQGFRQWUROIXQFWLRQVXVLQJWKH%ODFNVWDUWEDWWHULHV2QFHWKHYLWDOV\\VWHPVDUHUHVWRUHGWKH
IRFXVLVWKHQVKLIWHGWRSURYLGLQJ/3*JHQHUDWRUFRQQHFWLRQVWRH[WHQGWKHFRSLQJWLPH
7KH'13635$PRGHOVLQFOXGH)/(;+&96DQG%ODFN6WDUW+RZHYHUGXHWRWKH
SURFHGXUDOO\\GLUHFWHGHQWU\\FRQGLWLRQV(/$3WKHVHWKUHHV\\VWHPVDUHFUHGLWHGDVDYDLODEOH
DFFLGHQWPLWLJDWLRQIHDWXUHVZLWKLQWKH35$RQO\\LIDQ6%2RFFXUV6%2VDUHUDUHHYHQWVDQG
WKHUHIRUHWKHLPSDFWVRI)/(;+&96DQG%ODFN6WDUWXSRQFRUHGDPDJHIUHTXHQF\\DQGODUJH
HDUO\\UHOHDVHIUHTXHQF\\DUHOLPLWHG
,QWKHEDVH35$PRGHO)/(;HTXLSPHQWIDLOXUHUDWHVIRUSRUWDEOHGLHVHOGULYHQSXPSVDUH
HVWLPDWHGE\\PXOWLSO\\LQJE\\DIDFWRURIILYHWKHIDLOXUHUDWHVIRUVLPLODUFRPSRQHQWW\\SHVIRU
H[DPSOHIDLOXUHUDWHVIRUVWDQGDUGGLHVHOGULYHQSXPSVDUHPXOWLSOLHGE\\DIDFWRURIILYHDVDQ
HVWLPDWHIRUWKHIDLOXUHUDWHVRIWKH)/(;GLHVHOGULYHQSXPSV)DLOXUHUDWHVIRU)/(;GLHVHO
JHQHUDWRUVDUHWKHVDPHDVWKHJHQHULFIDLOXUHUDWHVLQ185(*&5IRU6%2GLHVHO
/LFHQVH$PHQGPHQW5HTXHVW
(QFORVXUH
$GRSW5LVN,QIRUPHG&RPSOHWLRQ7LPHV767)
'RFNHW1RVDQG
.H\\$VVXPSWLRQVDQG6RXUFHVRI8QFHUWDLQW\\
(
JHQHUDWRUV5LVNVLJQLILFDQW)/(;UHODWHGKXPDQHUURUSUREDELOLWLHV+(3VDUHFDOFXODWHGXVLQJ
GHWDLOHGKXPDQUHOLDELOLW\\DQDO\\VHVZKLOHRWKHU)/(;UHODWHGKXPDQIDLOXUHHYHQWV+)(VXVH
VFUHHQLQJYDOXHVIRUWKHLU+(3V
+&96IDLOXUHUDWHVDUHEDVHGRQUDWHVIRUOLNHFRPSRQHQWVIURP185(*&5XSGDWHG
ZLWKSODQWVSHFLILFH[SHULHQFHZKHQDYDLODEOHVXFKDVIRUYHQWYDOYHVDQGEDWWHULHV+&96
+)(VDOVRHPSOR\\VFUHHQLQJYDOXHVIRUWKHLU+(3V
)LQDOO\\%ODFN6WDUWIDLOXUHUDWHVDUHEDVHGRQ185(*&5DVZHOOZKLOH%ODFN6WDUW+(3V
DUHFDOFXODWHGXVLQJGHWDLOHGKXPDQUHOLDELOLW\\DQDO\\VLVWHFKQLTXHV
$VVHVVPHQWRI,QWHUQDO(YHQWV35$(SLVWHPLF8QFHUWDLQW\\,PSDFWV
7RLGHQWLI\\NH\\VRXUFHVRIXQFHUWDLQW\\WKH,QWHUQDO(YHQWVEDVHOLQH35$PRGHOXQFHUWDLQW\\
UHSRUWZDVGHYHORSHGEDVHGRQWKHJXLGDQFHLQ185(*5HIHUHQFH>@DQG(35,
5HIHUHQFH>@$VGHVFULEHGLQ185(*VRXUFHVRIXQFHUWDLQW\\LQFOXGH
SDUDPHWULFXQFHUWDLQWLHVPRGHOLQJXQFHUWDLQWLHVDQGFRPSOHWHQHVVRUVFRSHDQGOHYHORI
GHWDLOXQFHUWDLQWLHV
3DUDPHWULFXQFHUWDLQW\\ZDVDGGUHVVHGDVSDUWRIWKH'UHVGHQ1XFOHDU3RZHU6WDWLRQ'136
EDVHOLQH35$PRGHOTXDQWLILFDWLRQDQGLVGRFXPHQWHGLQWKH35$6XPPDU\\1RWHERRN
5HIHUHQFH>@
0RGHOLQJXQFHUWDLQWLHVDUHFRQVLGHUHGLQERWKWKHEDVH35$DQGLQVSHFLILFULVNLQIRUPHG
DSSOLFDWLRQV$VVXPSWLRQVDUHPDGHGXULQJWKH35$GHYHORSPHQWWRDGGUHVVDSDUWLFXODU
PRGHOLQJXQFHUWDLQW\\EHFDXVHWKHUHLVQRWDVLQJOHGHILQLWLYHDSSURDFK3ODQWVSHFLILF
DVVXPSWLRQVPDGHIRUHDFKRIWKH4&136,QWHUQDO(YHQWV35$WHFKQLFDOHOHPHQWVDUHQRWHGLQ
WKH6XPPDU\\1RWHERRN7KH,QWHUQDO(YHQWV35$PRGHOXQFHUWDLQWLHVHYDOXDWLRQFRQVLGHUVWKH
PRGHOLQJXQFHUWDLQWLHVIRUWKHEDVH35$E\\LGHQWLI\\LQJDVVXPSWLRQVGHWHUPLQLQJLIWKRVH
DVVXPSWLRQVDUHUHODWHGWRDVRXUFHRIPRGHOLQJXQFHUWDLQW\\DQGFKDUDFWHUL]LQJWKDWXQFHUWDLQW\\
DVQHFHVVDU\\7KH(OHFWULF3RZHU5HVHDUFK,QVWLWXWH(35,FRPSLOHGDOLVWLQJRIJHQHULF
VRXUFHVRIPRGHOLQJXQFHUWDLQW\\WREHFRQVLGHUHGIRUHDFK35$WHFKQLFDOHOHPHQW
5HIHUHQFH>@DQGWKHHYDOXDWLRQSHUIRUPHGIRU'136FRQVLGHUHGHDFKRIWKHJHQHULFVRXUFHV
RIPRGHOLQJXQFHUWDLQW\\DVZHOODVWKHSODQWVSHFLILFVRXUFHV
&RPSOHWHQHVVXQFHUWDLQW\\DGGUHVVHVVFRSHDQGOHYHORIGHWDLO8QFHUWDLQWLHVDVVRFLDWHGZLWK
VFRSHDQGOHYHORIGHWDLODUHGRFXPHQWHGLQWKH35$EXWDUHRQO\\FRQVLGHUHGIRUWKHLULPSDFWRQ
DVSHFLILFDSSOLFDWLRQ1RVSHFLILFLVVXHVRI35$FRPSOHWHQHVVKDYHEHHQLGHQWLILHGUHODWLYHWR
WKH5,&7DSSOLFDWLRQEDVHGRQWKHUHVXOWVRIWKH,QWHUQDO(YHQWV,(35$DQG)LUH35$SHHU
UHYLHZV7KHXVHRILQGXVWU\\FRQVHQVXVPRGHOLQJPHWKRGVVLWHH[SHUWLVHLQGHYHORSLQJVLWH
VSHFLILF35$PRGHOLQSXWVDQGDSSOLFDWLRQRIWKH35$6WDQGDUGDQG3HHU5HYLHZVDOOZRUNWR
OLPLWWKHHSLVWHPLFXQFHUWDLQW\\UHODWHGWRFRPSOHWHQHVV
/LFHQVH$PHQGPHQW5HTXHVW
(QFORVXUH
$GRSW5LVN,QIRUPHG&RPSOHWLRQ7LPHV767)
'RFNHW1RVDQG
.H\\$VVXPSWLRQVDQG6RXUFHVRI8QFHUWDLQW\\
(
$GHWDLOHGHYDOXDWLRQRIDVVXPSWLRQVDQGVRXUFHVRIXQFHUWDLQW\\IRUWKH,(35$0RGHOLV
LQFOXGHGLQ5HIHUHQFH>@7KHVXPPDU\\HYDOXDWLRQRIWKRVH,(35$DVVXPSWLRQVDQGVRXUFHV
RIXQFHUWDLQW\\GHWHUPLQHGWREHNH\\IRUWKLVDSSOLFDWLRQDUHVKRZQLQ6HFWLRQ
$VVHVVPHQWRI)35$(SLVWHPLF8QFHUWDLQW\\,PSDFWV
7KHSXUSRVHRIWKHIROORZLQJGLVFXVVLRQLVWRDGGUHVVWKHHSLVWHPLFXQFHUWDLQW\\LQWKH'136
)LUH35$)35$7KH)35$PRGHOLQFOXGHVYDULRXVVRXUFHVRIXQFHUWDLQW\\WKDWH[LVWEHFDXVH
WKHUHLVERWKLQKHUHQWUDQGRPQHVVLQHOHPHQWVWKDWFRPSULVHWKH)35$DQGEHFDXVHWKHVWDWH
RINQRZOHGJHLQWKHVHHOHPHQWVFRQWLQXHVWRHYROYH7KHGHYHORSPHQWRIWKH)35$ZDVJXLGHG
E\\185(*&5>@7KH)35$PRGHOXVHGFRQVHQVXVPRGHOVGHVFULEHGLQ
185(*&5(QFORVXUHSURYLGHVDGHWDLOHGGLVFXVVLRQRIWKH3HHU5HYLHZ) 2VDQG
UHVROXWLRQV
,QRUGHUWRLGHQWLI\\NH\\VRXUFHVRIXQFHUWDLQW\\IRUWKH5,&73URJUDP$SSOLFDWLRQDQHYDOXDWLRQRI
)LUH35$PRGHOXQFHUWDLQW\\ZDVSHUIRUPHGEDVHGRQWKHJXLGDQFHLQ185(*
5HIHUHQFH>@DQG(OHFWULF3RZHU5HVHDUFK,QVWLWXWH(35,UHSRUW5HIHUHQFH>@
$VVWDWHGLQ6HFWLRQRI185(*
$OWKRXJKWKHJXLGDQFHLQWKHWKLV>VLF@UHSRUWGRHVQRWFXUUHQWO\\DGGUHVVDOOVRXUFHVRI
XQFHUWDLQW\\WKHJXLGDQFHSURYLGHGRQWKHXQFHUWDLQW\\LGHQWLILFDWLRQDQGFKDUDFWHUL]DWLRQ
SURFHVVDQGRQWKHSURFHVVRIIDFWRULQJWKHUHVXOWVLQWRWKHGHFLVLRQPDNLQJLVJHQHULFDQG
LQGHSHQGHQWRIWKHVSHFLILFVRXUFHRIXQFHUWDLQW\\&RQVHTXHQWO\\WKHJXLGDQFHLVDSSOLFDEOH
IRUVRXUFHVRIXQFHUWDLQW\\LQ35$VWKDWDGGUHVVDWSRZHUDQGORZSRZHUDQGVKXWGRZQ
RSHUDWLQJFRQGLWLRQVDQGERWKLQWHUQDODQGH[WHUQDOKD]DUGV
185(*DOVRGHVFULEHVDQDSSURDFKIRUDGGUHVVLQJVRXUFHVRIPRGHOXQFHUWDLQW\\DQG
UHODWHGDVVXPSWLRQV,WVWDWHV
$VRXUFHRIPRGHOXQFHUWDLQW\\H[LVWVZKHQDFUHGLEOHDVVXPSWLRQGHFLVLRQRUMXGJPHQW
LVPDGHUHJDUGLQJWKHFKRLFHRIWKHGDWDDSSURDFKRUPRGHOXVHGWRDGGUHVVDQLVVXH
EHFDXVHWKHUHLVQRFRQVHQVXVDQGWKHFKRLFHRIDOWHUQDWLYHGDWDDSSURDFKHVRUPRGHOV
LVNQRZQWRKDYHDQLPSDFWRQWKH35$PRGHODQGUHVXOWV$QLPSDFWRQWKH35$PRGHO
FRXOGLQFOXGHWKHLQWURGXFWLRQRIDQHZEDVLFHYHQWFKDQJHVWREDVLFHYHQWSUREDELOLWLHV
FKDQJHLQVXFFHVVFULWHULDRULQWURGXFWLRQRIDQHZLQLWLDWLQJHYHQW$FUHGLEOHDVVXPSWLRQLV
RQHVXEPLWWHGE\\UHOHYDQWH[SHUWVDQGZKLFKKDVDVRXQGWHFKQLFDOEDVLV5HOHYDQWH[SHUWV
LQFOXGHWKRVHLQGLYLGXDOVZLWKH[SOLFLWNQRZOHGJHDQGH[SHULHQFHIRUWKHJLYHQLVVXH$Q
H[DPSOHRIDQDVVXPSWLRQUHODWHGWRDVRXUFHRIPRGHOXQFHUWDLQW\\LVEDWWHU\\GHSOHWLRQWLPH
,QFDOFXODWLQJWKHGHSOHWLRQWLPHWKHDQDO\\VWPD\\QRWKDYHDQ\\GDWDRQWKHWLPHUHTXLUHGWR
/LFHQVH$PHQGPHQW5HTXHVW
(QFORVXUH
$GRSW5LVN,QIRUPHG&RPSOHWLRQ7LPHV767)
'RFNHW1RVDQG
.H\\$VVXPSWLRQVDQG6RXUFHVRI8QFHUWDLQW\\
(
VKHGORDGVDQGWKXVPD\\DVVXPHEDVHGRQDQDO\\VHVWKDWWKHRSHUDWRULVDEOHWRVKHG
FHUWDLQHOHFWULFDOORDGVLQDVSHFLILHGWLPH
6HFWLRQRI185(*GHILQHVFRQVHQVXVPRGHODV
$FRQVHQVXVPRGHOLVDPRGHOWKDWKDVDSXEOLFO\\DYDLODEOHSXEOLVKHGEDVLVDQGKDVEHHQ
SHHUUHYLHZHGDQGZLGHO\\DGRSWHGE\\DQDSSURSULDWHVWDNHKROGHUJURXS,QDGGLWLRQZLGHO\\
DFFHSWHG35$SUDFWLFHVPD\\EHUHJDUGHGDVFRQVHQVXVPRGHOV([DPSOHVRIWKHODWWHU
LQFOXGHWKHXVHRIWKHFRQVWDQWSUREDELOLW\\RIIDLOXUHRQGHPDQGPRGHOIRUVWDQGE\\
FRPSRQHQWVDQGWKH3RLVVRQPRGHOIRULQLWLDWLQJHYHQWV)RUULVNLQIRUPHGUHJXODWRU\\
GHFLVLRQVWKHFRQVHQVXVPRGHODSSURDFKLVRQHWKDWWKH15&KDVXVHGRUDFFHSWHGIRUWKH
VSHFLILFULVNLQIRUPHGDSSOLFDWLRQIRUZKLFKLWLVSURSRVHG
0RGHOLQJXQFHUWDLQWLHVDUHFRQVLGHUHGLQERWKWKHEDVH)LUH35$DQGLQVSHFLILFULVNLQIRUPHG
DSSOLFDWLRQV$VVXPSWLRQVDUHPDGHGXULQJWKH)LUH35$GHYHORSPHQWDVDZD\\WRDGGUHVVD
SDUWLFXODUPRGHOLQJXQFHUWDLQW\\EHFDXVHWKHUHLVQRWDVLQJOHGHILQLWLYHDSSURDFK3ODQWVSHFLILF
DVVXPSWLRQVPDGHIRUHDFKRIWKH'136)LUH35$WHFKQLFDOHOHPHQWVDUHQRWHGLQ(35,
5HIHUHQFH>@$GGLWLRQDOO\\5HIHUHQFH>@FRQWDLQVGLVFXVVLRQRIWKHVRXUFHVRI
XQFHUWDLQW\\LGHQWLILHGIRUHDFKWDVNRI185(*&55HIHUHQFH>@
&RPSOHWHQHVVXQFHUWDLQW\\DGGUHVVHVVFRSHDQGOHYHORIGHWDLO8QFHUWDLQWLHVDVVRFLDWHGZLWK
VFRSHDQGOHYHORIGHWDLODUHGRFXPHQWHGLQWKH)LUH35$EXWDUHRQO\\FRQVLGHUHGIRUWKHLU
LPSDFWRQDVSHFLILFDSSOLFDWLRQ1RVSHFLILFLVVXHVRI35$FRPSOHWHQHVVKDYHEHHQLGHQWLILHG
UHODWLYHWRWKH5,&7DQGDSSOLFDWLRQVEDVHGRQWKHUHVXOWVRIWKH,(,)35$DQG)LUH35$
SHHUUHYLHZV
(35,FRPSLOHGDOLVWLQJRIJHQHULFVRXUFHVRIPRGHOLQJXQFHUWDLQW\\WREHFRQVLGHUHGIRUHDFK
)LUH35$WHFKQLFDOHOHPHQWLQ(35,UHSRUW5HIHUHQFH>@%DVHGRQIROORZLQJWKH
PHWKRGRORJ\\LQ(35,IRUDUHYLHZRIVRXUFHVRIXQFHUWDLQW\\WKHLPSDFWRISRWHQWLDO
VRXUFHVRIXQFHUWDLQW\\RQWKH35$RUDSSOLFDWLRQVLVGLVFXVVHGLQ6HFWLRQZKLFKLGHQWLILHV
WKRVHSRWHQWLDOVRXUFHVWKDWPD\\EHNH\\VRXUFHVRIXQFHUWDLQW\\IRUWKH5,&7SURJUDP5LVN
0DQDJHPHQW$FWLRQV50$VZLOOEHGHYHORSHGZKHQDSSURSULDWHXVLQJLQVLJKWVIURPWKH)LUH
35$PRGHOUHVXOWVVSHFLILFWRWKHFRQILJXUDWLRQ7KLVZLOOLQFOXGHDUHYLHZIRULPSDFWVGXHWRWKH
NH\\VRXUFHVRIXQFHUWDLQW\\
$GHWDLOHGHYDOXDWLRQRIDVVXPSWLRQVDQGVRXUFHVRIXQFHUWDLQW\\IRUWKH)35$0RGHOLVLQFOXGHG
LQ5HIHUHQFH>@7KHVXPPDU\\HYDOXDWLRQRIWKRVH)35$DVVXPSWLRQVDQGVRXUFHVRI
XQFHUWDLQW\\GHWHUPLQHGWREHNH\\IRUWKLVDSSOLFDWLRQDUHVKRZQLQ6HFWLRQ
/LFHQVH$PHQGPHQW5HTXHVW
(QFORVXUH
$GRSW5LVN,QIRUPHG&RPSOHWLRQ7LPHV767)
'RFNHW1RVDQG
.H\\$VVXPSWLRQVDQG6RXUFHVRI8QFHUWDLQW\\
(
$VVHVVPHQWRI)3,(DQG)35$0RGHO.H\\$VVXPSWLRQVDQG8QFHUWDLQW\\
7KLVVHFWLRQSURYLGHVDVXPPDU\\RIWKHHYDOXDWLRQSHUIRUPHGWRGLVSRVLWLRQWKHNH\\
DVVXPSWLRQVDQGVRXUFHVRIXQFHUWDLQW\\DVGHVFULEHGLQ5HIHUHQFH>@7DEOH(SURYLGHVD
VXPPDU\\RIWKHVHNH\\VRXUFHVDQGDGHWDLOHGGLVFXVVLRQLVSURYLGHGLQWKHVXEVHTXHQWVHFWLRQV
LQWKLVHQFORVXUH
7DEOH(6XPPDU\\RI5,&76RXUFHVRI8QFHUWDLQW\\5HTXLULQJ)XUWKHU(YDOXDWLRQ
&DVH
6XPPDU\\
)3,( )35$
):&RQGHQVDWH6%&6DQG&5'LQMHFWLRQFDSDELOLW\\DIWHUODUJHFDWDVWURSKLF
FRQWDLQPHQW
)3,( )35$
'LJLWDO)HHGZDWHU&RQWURO
)3,(
)/(;DQG+DUGHQHG&RQWDLQPHQW9HQW6\\VWHP+&96+(3VDQG(TXLSPHQW
)DLOXUH5DWHV
)3,(
%ODFN6WDU7HFK%67+(3VDQG(TXLSPHQW)DLOXUH5DWHV
)35$
&DEOH6HOHFWLRQ81/
)35$
0LQLPXP-RLQW+(3
/LFHQVH$PHQGPHQW5HTXHVW
(QFORVXUH
$GRSW5LVN,QIRUPHG&RPSOHWLRQ7LPHV767)
'RFNHW1RVDQG
.H\\$VVXPSWLRQVDQG6RXUFHVRI8QFHUWDLQW\\
(
&DVH):&RQGHQVDWH6%&6DQG&5'LQMHFWLRQFDSDELOLW\\DIWHUODUJH
FDWDVWURSKLFFRQWDLQPHQW
/3&,DQG&RUH6SUD\\DUHFUHGLWHGIRUVXFFHVVDIWHUFRQWDLQPHQWIDLOXUHHYHQLIOLQHXSWRWKH
&67SULRUWRFRQWDLQPHQWIDLOXUHDQGDGYHUVHFRQGLWLRQVH[LVWLQWKH5HDFWRU%XLOGLQJ%HFDXVH
RI'136(59FDSDELOLW\\WRNHHSWKH539GHSUHVVXUL]HGHYHQDWKLJKFRQWDLQPHQWSUHVVXUH
/3&, &6FDQEHFUHGLWHGEHIRUHFRQWDLQPHQWIDLOXUH0LQLPDOFUHGLWUHSUHVHQWVDVOLJKW
FRQVHUYDWLYHELDVDQGLVQRWDNH\\VRXUFHRIXQFHUWDLQW\\
+3&,LVQRWFUHGLWHGIRUVXFFHVVDIWHUFRQWDLQPHQWIDLOXUH1RFUHGLWIRU+3&,V\\VWHPVDIWHU
FRQWDLQPHQWIDLOXUHPD\\UHSUHVHQWDVOLJKWFRQVHUYDWLYHELDVEXWLVQRWDNH\\VRXUFHRI
XQFHUWDLQW\\
2WKHUDOWHUQDWHORZSUHVVXUHLQMHFWLRQV\\VWHPVHJ)LUH:DWHUVWHDPE\\SDVVFRQWUROV\\VWHP
6%&6DQGXVHRI)/(;HTXLSPHQWDUHFUHGLWHGIRUVXFFHVVERWKEHIRUHDQGDIWHU
FRQWDLQPHQWIDLOXUHEHFDXVHWKHLUDOLJQPHQWLVRXWVLGHRIWKH5HDFWRU%XLOGLQJDQGWKHUHIRUH
FDQEHSHUIRUPHGIRUFHUWDLQFRQWDLQPHQWIDLOXUHPRGHV&UHGLWLQWKHPRGHOIRUWKHVHV\\VWHPV
DUHUHDOLVWLFDQGGRQRWUHSUHVHQWDNH\\VRXUFHRIXQFHUWDLQW\\
):&RQGHQVDWH6%&6DQG&5'DUHFUHGLWHGIRUVXFFHVVDIWHUFRQWDLQPHQWIDLOXUHEXWDQ
DGGLWLRQDOEDVLFHYHQWLVLQFOXGHGWKDWUHSUHVHQWVWKHOLNHOLKRRGWKDWWKHFRQWDLQPHQWIDLOXUHVL]H
DQGORFDWLRQGLVUXSWWKHFDSDELOLW\\RI):&RQGHQVDWH6%&6DQG&5'WRLQMHFW):
&RQGHQVDWH6%&6DQG&5'LQMHFWLRQFDSDELOLW\\DIWHUODUJHFDWDVWURSKLFFRQWDLQPHQWIDLOXUHLV
LGHQWLILHGDVDFDQGLGDWHVRXUFHRIPRGHOXQFHUWDLQW\\
/3&,DQG&RUH6SUD\\DUHQRWFUHGLWHGIRUVXFFHVVDIWHUXQFRQWUROOHGFRQWDLQPHQWYHQWLQJ1R
FUHGLWIRUWKHVHV\\VWHPVDIWHUFRQWDLQPHQWIDLOXUHPD\\UHSUHVHQWDVOLJKWFRQVHUYDWLYHELDVEXWLV
QRWDNH\\VRXUFHRIXQFHUWDLQW\\
/RJLFLVLQFOXGHGLQWKHSRVWYHQWLQJSRUWLRQRIWKHHYHQWVHTXHQFHPRGHOLQJIRUSURYLGLQJ539
LQMHFWLRQIURPSRWHQWLDOO\\YLDEOHLQMHFWLRQV\\VWHPVSRVWYHQWLQJ5HDOLVWLFWUHDWPHQWRI539
PDNHXSLVXVHGDQGLVQRWDNH\\VRXUFHRIXQFHUWDLQW\\IRUWKH'136DSSOLFDWLRQ
+DUGSLSHYHQWFRQGLWLRQVZLOOQRWUHVXOWLQGHJUDGHG5HDFWRU%XLOGLQJRU7XUELQH%XLOGLQJ
FRQGLWLRQV7KHUHIRUHORFDODFWLRQVDUHQRWVLJQLILFDQWO\\LPSDFWHG7KHSUREDELOLWLHVXVHGLQ
FKDUDFWHUL]LQJWKHORFDOOLQHXSVRIDOWHUQDWHV\\VWHPVDUHMXGJHGWREHVOLJKWO\\FRQVHUYDWLYHDQG
GRQRWUHSUHVHQWDNH\\VRXUFHRIXQFHUWDLQW\\IRUWKH'136DSSOLFDWLRQ
8VHRIYHQWSDWKVYLDGXFWZRUNLQWKH5HDFWRU%XLOGLQJ³VRIW'YHQWPD\\FUHDWHDGYHUVH
HQYLURQPHQWDOFRQGLWLRQVLQWKH5HDFWRU%XLOGLQJ%HFDXVHQRVSHFLILFGLUHFWLRQLVLQFOXGHGWR
/LFHQVH$PHQGPHQW5HTXHVW
(QFORVXUH
$GRSW5LVN,QIRUPHG&RPSOHWLRQ7LPHV767)
'RFNHW1RVDQG
.H\\$VVXPSWLRQVDQG6RXUFHVRI8QFHUWDLQW\\
(
OLQHXSWKHDOWHUQDWHLQMHFWLRQV\\VWHPVSULRUWR³VRIW'YHQWLQJFRQWDLQPHQWWKHFRQGLWLRQVLQWKH
UHDFWRUEXLOGLQJSRVWYHQWLQJDUHDVVXPHGWRSUHFOXGHWKHLUXVH
)RUWKLVVHQVLWLYLW\\FDVHWKHFRQGLWLRQDOSUREDELOLW\\WKDWDODUJHGU\\ZHOOIDLOXUHZRXOGUHVXOWLQ
ORVVRIWKHIHHGZDWHUFRQGHQVDWH6%&6DQG&5'LQMHFWLRQFDSDELOLWLHVZDVLQFUHDVHG
7DEOH(VXPPDUL]HVWKHFKDQJHWRWKHEDVLFHYHQWIRUWKLVFDVH
7DEOH(
&$6():&21'(16$7(6%&6$1'&5',1-(&7,21
&$3$%,/,7<$)7(5/$5*(&$7$67523+,&&217$,10(17
)$,/85(
%$6,&(9(17&+$1*(6
%DVLF(YHQW
%DVH
3UREDELOLW\\
)DFWRU
6HQVLWLYLW\\
3UREDELOLW\\
&139':58375
(
(
7DEOH(SURYLGHVWKHUHVXOWVRIWKLVVHQVLWLYLW\\RQWKH]HURPDLQWHQDQFHPRGHOV
7DEOH(
&$6():&21'(16$7(6%&6$1'&5',1-(&7,21&$3$%,/,7<
$)7(5/$5*(&$7$67523+,&&217$,10(17)$,/85(
=(520$,17(1$1&(5(68/76
0RGHO&DVH
&')\\U
'HOWD
&')
/(5)\\U
'HOWD/(5)
)3,(
%DVH
(
(
6HQVLWLYLW\\
(
(
)LUH
%DVH
(
(
6HQVLWLYLW\\
(
(
7RWDO
%DVH
(
(
6HQVLWLYLW\\
(
(
1RWHVWR7DEOH(
)3,(WUXQFDWLRQOLPLWLV(\\UIRU&')DQG/(5)
/LFHQVH$PHQGPHQW5HTXHVW
(QFORVXUH
$GRSW5LVN,QIRUPHG&RPSOHWLRQ7LPHV767)
'RFNHW1RVDQG
.H\\$VVXPSWLRQVDQG6RXUFHVRI8QFHUWDLQW\\
(
)LUHWUXQFDWLRQOLPLWLV(\\UIRU&')DQG(\\UIRU/(5)
'HOWD&')DQG/(5)FDOFXODWLRQVZHUHSHUIRUPHGRQQRQURXQGHG&')DQG/(5)
UHVXOWV
7KHUHVXOWVVKRZQLQ7DEOH(GHPRQVWUDWHWKDW)3,(35$DQG)35$&')DQG/(5)XVLQJ
WKH]HURPDLQWHQDQFH35$PRGHOVKDYHVHQVLWLYLW\\WRWKHIDLOXUHSUREDELOLW\\DVVRFLDWHGZLWK
IDLOXUHRIVHOHFWHGLQMHFWLRQV\\VWHPVIROORZLQJDODUJHGU\\ZHOOIDLOXUH+RZHYHUDIDFWRURI
LQFUHDVHLQWKHFRQGLWLRQDOIDLOXUHSUREDELOLW\\DSSOLHGWRDOORIWKHVHOHFWHGLQMHFWLRQV\\VWHPVLV
QRWFRQVLGHUHGFUHGLEOH7KHUHIRUHDOWKRXJKWKHUHVXOWVDUHVHQVLWLYHWRWKHIDLOXUHSUREDELOLW\\
VHOHFWHGWKHQRPLQDOYDOXHLVMXGJHGWREHDSSURSULDWHIRUWKHQRPLQDOFDOFXODWLRQV
$GGLWLRQDOO\\5,&7FDOFXODWLRQVZHUHSHUIRUPHGIRUWKLVVHQVLWLYLW\\7KHPDMRULW\\RIWKHWHFKQLFDO
VSHFLILFDWLRQVDUHXQDIIHFWHGE\\WKLVVHQVLWLYLW\\7KHWHFKQLFDOVSHFLILFDWLRQVVKRZQLQ
7DEOH(EHORZLQFOXGHDUHSUHVHQWDWLYHVDPSOLQJRIWHFKQLFDOVSHFLILFDWLRQVQRWLPSDFWHGDV
ZHOODVVRPHZKLFKDUHDIIHFWHGE\\WKHVHQVLWLYLW\\7DEOH(VXPPDUL]HVWKHUHVXOWVRIWKHVH
VHOHFW5,&7FDOFXODWLRQV
/LFHQVH$PHQGPHQW5HTXHVW
(QFORVXUH
$GRSW5LVN,QIRUPHG&RPSOHWLRQ7LPHV767)
'RFNHW1RVDQG
.H\\$VVXPSWLRQVDQG6RXUFHVRI8QFHUWDLQW\\
(
7DEOH(
&$6():&21'(16$7(6%&6$1'&5',1-(&7,21&$3$%,/,7<$)7(5/$5*(
&$7$67523+,&&217$,10(17)$,/85(
5,&7(67,0$7(5(68/76
7HFK
6SHF
)ODJ)LOH
1DPH
76/&2&RQGLWLRQ
%DVH0RGHO
5,&7(VWLPDWH
GD\\V+/-
URXQGHGGRZQ
WRQHDUHVW
WHQWK
6HQVLWLYLW\\5,&7
(VWLPDWHGD\\V+/-
URXQGHGGRZQ
WRQHDUHVWWHQWK
*
*B
+3&,6\\VWHPLQRSHUDEOH
$
$B
,&6\\VWHPLQRSHUDEOH
$
$B
2QH6/&VXEV\\VWHP
LQRSHUDEOH
$
$B
2QHVXSSUHVVLRQSRRO
FRROLQJVXEV\\VWHP
LQRSHUDEOH
& &B
$VUHTXLUHGE\\5HTXLUHG
$FWLRQ$DQGUHIHUHQFHG
LQ7DEOH(&&6
,QVWUXPHQWDWLRQ
$
$B
2QHRUPRUH$&HOHFWULFDO
SRZHUGLVWULEXWLRQ
VXEV\\VWHPVLQRSHUDEOH
'XHWRVHQVLWLYLW\\WRWKHFRQGLWLRQDOIDLOXUHSUREDELOLW\\XVHGLQWKH35$VHYHUDO5,&7HVWLPDWHV
DUHLPSDFWHG$VQRWHGWKHYDOXHXVHGIRUWKLVVHQVLWLYLW\\LVIHOWWREHXQUHDOLVWLFDQGWKHEDVH
PRGHO5,&7HVWLPDWHVGD\\VDUHMXGJHGWREHDSSURSULDWH
&DVH'LJLWDO)HHGZDWHU&RQWURO
%DVLFHYHQWVUHSUHVHQWLQJWKHUHOLDELOLW\\YDOXHVIRUWKHDXWROHYHOFRQWUROOHUWKHILHOGEXVHVDQG
IDOVHVLJQDOIURPWKH/HYHOWULSV\\VWHPDUHLQFOXGHGLQWKHV\\VWHPORJLFPRGHO
)RUWKLVVHQVLWLYLW\\FDVHWKHSUREDELOLW\\IRUWKHGLJLWDOIHHGZDWHUFRQWUROOHUIDLOLQJWRFRQWURO
IHHGZDWHUVXFKWKDWWKH539RYHUILOOVDQGIORRGVWKHVWHDPOLQHZDVLQFUHDVHGE\\DIDFWRURI
7DEOH(VXPPDUL]HVWKHFKDQJHWRWKHEDVLFHYHQWIRUWKLVFDVH
/LFHQVH$PHQGPHQW5HTXHVW
(QFORVXUH
$GRSW5LVN,QIRUPHG&RPSOHWLRQ7LPHV767)
'RFNHW1RVDQG
.H\\$VVXPSWLRQVDQG6RXUFHVRI8QFHUWDLQW\\
(
7DEOH(
&$6(',*,7$/)((':$7(5&21752/
%$6,&(9(17&+$1*(6
%DVLF(YHQW
%DVH
3UREDELOLW\\
)DFWRU
6HQVLWLYLW\\
3UREDELOLW\\
):36&2175)
(
(
7DEOH(SURYLGHVWKHUHVXOWVRIWKHVHQVLWLYLW\\RQWKH]HURPDLQWHQDQFHPRGHOV
7DEOH(
&$6(',*,7$/)((':$7(5&21752/
=(520$,17(1$1&(5(68/76
0RGHO&DVH
&')\\U
'HOWD
&')
/(5)\\U
'HOWD/(5)
)3,(
%DVH
(
(
6HQVLWLYLW\\
(
(
)LUH
%DVH
(
(
6HQVLWLYLW\\
(
(
7RWDO
%DVH
(
(
6HQVLWLYLW\\
(
(
1RWHVWR7DEOH(
)3,(WUXQFDWLRQOLPLWLV(\\UIRU&')DQG/(5)
)LUHWUXQFDWLRQOLPLWLV(\\UIRU&')DQG(\\UIRU/(5)
'HOWD&')DQG/(5)FDOFXODWLRQVZHUHSHUIRUPHGRQQRQURXQGHG&')DQG/(5)
UHVXOWV
7KHUHVXOWVVKRZQLQ7DEOH(GHPRQVWUDWHWKDW)3,(35$&')DQG/(5)XVLQJWKH]HUR
PDLQWHQDQFH35$PRGHOVDUHQRWVHQVLWLYHWRWKHSUREDELOLW\\DVVRFLDWHGZLWKIDLOXUHRIWKH
GLJLWDOIHHGZDWHUFRQWUROOHUWRVWRSIHHGZDWHUSULRUWRYHVVHORYHUILOO
$GGLWLRQDOO\\5,&7FDOFXODWLRQVZHUHSHUIRUPHGIRUWKLVVHQVLWLYLW\\$VLVH[SHFWHGJLYHQWKH
LQVHQVLWLYLW\\RIWKHPRGHOWRWKHFKDQJHWKHPDMRULW\\RIWKHWHFKQLFDOVSHFLILFDWLRQVDUH
XQDIIHFWHGE\\WKLVVHQVLWLYLW\\7KHUHDUHDIHZZKLFKVKRZDVOLJKWGHFUHDVHLQ5,&7GD\\VEXW
WKRVHGHFUHDVHVDUHYHU\\VPDOO7KHWHFKQLFDOVSHFLILFDWLRQVVKRZQLQ7DEOH(EHORZ
/LFHQVH$PHQGPHQW5HTXHVW
(QFORVXUH
$GRSW5LVN,QIRUPHG&RPSOHWLRQ7LPHV767)
'RFNHW1RVDQG
.H\\$VVXPSWLRQVDQG6RXUFHVRI8QFHUWDLQW\\
(
LQFOXGHDUHSUHVHQWDWLYHVDPSOLQJRIWHFKQLFDOVSHFLILFDWLRQVQRWLPSDFWHGDVZHOODVVRPH
ZKLFKDUHDIIHFWHGE\\WKHVHQVLWLYLW\\7DEOH(VXPPDUL]HVWKHUHVXOWVRIWKHVHVHOHFW5,&7
FDOFXODWLRQV
7DEOH(
&$6(',*,7$/)((':$7(5&21752/
5,&7(67,0$7(5(68/76
7HFK
6SHF
)ODJ)LOH
1DPH
76/&2&RQGLWLRQ
%DVH0RGHO
5,&7(VWLPDWH
GD\\V+/-
URXQGHGGRZQ
WRQHDUHVW
WHQWK
6HQVLWLYLW\\
5,&7(VWLPDWH
GD\\V+/-
URXQGHGGRZQ
WRQHDUHVW
WHQWK
*
*B
+3&,6\\VWHP
LQRSHUDEOH
%
%B
2QH/3&,VXEV\\VWHP
LQRSHUDEOHIRUUHDVRQV
RWKHUWKDQ&RQGLWLRQ$
25RQH&RUH6SUD\\
VXEV\\VWHPLQRSHUDEOH
$
$B
2QHRUPRUHUHTXLUHG
FKDQQHOVLQRSHUDEOH
$
$B
2QHVXSSUHVVLRQSRRO
FRROLQJVXEV\\VWHP
LQRSHUDEOH
,
,B
2SSRVLWHXQLW9'&
HOHFWULFDOSRZHU
VXEV\\VWHPLQRSHUDEOH
&
&B
2QHRUPRUHUHTXLUHG
RSSRVLWHXQLW'LYLVLRQ
$&RU'&HOHFWULFDO
SRZHUGLVWULEXWLRQ
VXEV\\VWHPVLQRSHUDEOH
7KH5,&7HVWLPDWHVUHPDLQEDVLFDOO\\XQFKDQJHGIRUDOOWHFKQLFDOVSHFLILFDWLRQVDVDUHVXOWRI
WKLVVHQVLWLYLW\\7KHUHIRUHWKHXQFHUWDLQW\\DVVRFLDWHGZLWKGLJLWDOIHHGZDWHUFRQWUROLVQHJOLJLEOH
IRUWKH5,&7$SSOLFDWLRQ
/LFHQVH$PHQGPHQW5HTXHVW
(QFORVXUH
$GRSW5LVN,QIRUPHG&RPSOHWLRQ7LPHV767)
'RFNHW1RVDQG
.H\\$VVXPSWLRQVDQG6RXUFHVRI8QFHUWDLQW\\
(
&DVH)/(;DQG+DUGHQHG&RQWDLQPHQW9HQW6\\VWHP+&96+(36DQG
(TXLSPHQW)DLOXUH5DWHV
)/(;LVFXUUHQWO\\HPSOR\\HGRQO\\IROORZLQJGHFODUDWLRQRI(/$3
)RU)3,(35$WKHUHLVPLQLPDOLPSDFWRI)/(;RQWKHUHVXOWV+RZHYHUWKLVVKRXOGEH
UHWDLQHGDVDVRXUFHRIPRGHOXQFHUWDLQW\\IRUDSSOLFDWLRQVLQZKLFK(/$3FRQGLWLRQVDUHEHLQJ
DVVHVVHG
7KH+(3VDQGHTXLSPHQWIDLOXUHUDWHVDVVRFLDWHGZLWK)/(;DUHFDQGLGDWHVRXUFHVRI
XQFHUWDLQW\\
7KH&DVHVHQVLWLYLW\\RQO\\DSSOLHVWRWKH)3,(35$VLQFH)/(;DQG+&96DUHQRWFUHGLWHGLQ
WKH)35$PRGHO
7KHEDVHPRGHOLQFOXGHV)/(;ZLWKHTXLSPHQWXQUHOLDELOLW\\IDLOXUHSUREDELOLW\\YDOXHVZKLFK
UHO\\RQQRQ)/(;HTXLSPHQWIDLOXUHUDWHVPXOWLSOLHGE\\DIDFWRURIILYHWRDFFRXQWIRUWKHODFNRI
)/(;VSHFLILFGDWDDWWKHWLPHRIPRGHOSUHSDUDWLRQDQGTXDQWLILFDWLRQ,QDGGLWLRQKXPDQHYHQW
SUREDELOLWLHVIRU)/(;UHODWHGKXPDQIDLOXUHHYHQWVXVHVFUHHQLQJYDOXHV)RUWKLVVHQVLWLYLW\\
FDVHFUHGLWIRU)/(;ZDVFRPSOHWHO\\UHPRYHGIURPWKHPRGHOWKURXJKXVHRID)/$*HYHQW
6LPLODUO\\FUHGLWIRU+&96ZDVFRPSOHWHO\\UHPRYHGWKURXJKWKHXVHRID)/$*HYHQW
7DEOH(
&$6()/(;$1'+&96+(3VDQG(48,30(17)$,/85(5$7(6
%$6,&(9(17&+$1*(6
%DVLF(YHQW
%DVH
3UREDELOLW\\
)DFWRU
6HQVLWLYLW\\
3UREDELOLW\\
)/(;2))
)$/6(
758(
)/(;,&08)/$*
)$/6(
758(
)/(;0&&
)/$*
)$/6(
758(
)/(;0&&
)/$*
)$/6(
758(
)/(;0&&
)/$*
)$/6(
758(
)/(;0&&
)/$*
)$/6(
758(
)/(;0&&
)/$*
)$/6(
758(
/LFHQVH$PHQGPHQW5HTXHVW
(QFORVXUH
$GRSW5LVN,QIRUPHG&RPSOHWLRQ7LPHV767)
'RFNHW1RVDQG
.H\\$VVXPSWLRQVDQG6RXUFHVRI8QFHUWDLQW\\
(
7DEOH(
&$6()/(;$1'+&96+(3VDQG(48,30(17)$,/85(5$7(6
%$6,&(9(17&+$1*(6
)/(;53908
)/$*
)$/6(
758(
)/(;9(17)/$*
)$/6(
758(
)/(;48908
)/$*
)$/6(
758(
³)$/6('LQGLFDWHV)/(;DQG+&96DUHFUHGLWHGZLWKFRPSRQHQWIDLOXUHSUREDELOLWLHVEDVHGRQ
VLPLODUW\\SHVRIHTXLSPHQW³758('LQGLFDWHVQRFUHGLWIRU)/(;RU+&96ZKLFKLVVLPLODUWR
DVVLJQLQJIDLOXUHSUREDELOLWLHVRIWR)/(;DQG+&96FRPSRQHQWV
7DEOH(SURYLGHVWKHUHVXOWVRIWKHVHQVLWLYLW\\RQWKH]HURPDLQWHQDQFHPRGHOV
7DEOH(
&$6()/(;$1'+&96+(3VDQG(48,30(17)$,/85(5$7(6
=(520$,17(1$1&(5(68/76
0RGHO&DVH
&')\\U
'HOWD
&')
/(5)\\U
'HOWD/(5)
)3,(
%DVH
(
(
6HQVLWLYLW\\
(
(
1RWHVWR7DEOH(
)3,(WUXQFDWLRQOLPLWLV(\\UIRU&')DQG/(5)
'HOWD&')DQG/(5)FDOFXODWLRQVZHUHSHUIRUPHGRQQRQURXQGHG&')DQG/(5)
UHVXOWV
7KHUHVXOWVVKRZQLQ7DEOH(GHPRQVWUDWHWKDW)3,(35$&')DQG/(5)XVLQJWKH]HUR
PDLQWHQDQFH35$PRGHOVHVVHQWLDOO\\KDYHQRVHQVLWLYLW\\WRWKHDYDLODELOLW\\RI)/(;RU+&96
7KHVHUHVXOWVDUHGULYHQE\\WKHIDFWWKDWWKHXVHRI)/(;DQG+&96DWWKH'136LVFRQVWUDLQHG
WRVLWXDWLRQVGHFODUHGDV([WHQGHG/RVVRI$&3RZHU(/$3VFHQDULRVLQFOXGLQJVWDWLRQ
EODFNRXW6%27KHVHVFHQDULRVDUHUDUHDQGWKXVWKHUHDUHIHZVHTXHQFHVLQWKH35$IRU
ZKLFK)/(;RU+&96DUHFUHGLWHGLQWKHEDVHPRGHO5HPRYLQJWKDWFUHGLWWKHUHIRUHKDVYHU\\
OLWWOHLPSDFWRQWKHTXDQWLILHGUHVXOWV
/LFHQVH$PHQGPHQW5HTXHVW
(QFORVXUH
$GRSW5LVN,QIRUPHG&RPSOHWLRQ7LPHV767)
'RFNHW1RVDQG
.H\\$VVXPSWLRQVDQG6RXUFHVRI8QFHUWDLQW\\
(
$GGLWLRQDOO\\5,&7FDOFXODWLRQVZHUHSHUIRUPHGIRUWKLVVHQVLWLYLW\\$VLVH[SHFWHGJLYHQWKH
PLQLPDOVHQVLWLYLW\\RIWKHPRGHOWRFKDQJHQRQHRIWKHWHFKQLFDOVSHFLILFDWLRQVDUHDIIHFWHGE\\
WKLVVHQVLWLYLW\\7KHWHFKQLFDOVSHFLILFDWLRQVVKRZQLQ7DEOH(LQFOXGHDUHSUHVHQWDWLYH
VDPSOLQJRIWHFKQLFDOVSHFLILFDWLRQV7DEOH(VXPPDUL]HVWKHUHVXOWVRIWKHVHVHOHFW5,&7
FDOFXODWLRQV
7DEOH(
&$6()/(;$1'+&96+(3VDQG(48,30(17)$,/85(5$7(6
5,&7(67,0$7(5(68/76
7HFK
6SHF
)ODJ)LOH
1DPH
76/&2&RQGLWLRQ
%DVH0RGHO
5,&7(VWLPDWH
GD\\V+/-URXQGHG
GRZQWRQHDUHVW
WHQWK
6HQVLWLYLW\\
5,&7
(VWLPDWH
GD\\V+/-
URXQGHG
GRZQWR
QHDUHVW
WHQWK
*
*B
+3&,6\\VWHPLQRSHUDEOH
$
$B
,&6\\VWHPLQRSHUDEOH
$
$B
2QHRUPRUHUHTXLUHG
FKDQQHOVLQRSHUDEOH
$
$B
2QHVXSSUHVVLRQSRRO
FRROLQJVXEV\\VWHP
LQRSHUDEOH
,
,B
2SSRVLWHXQLW9'&
HOHFWULFDOSRZHUVXEV\\VWHP
LQRSHUDEOH
&
&B
2QHRUPRUHUHTXLUHG
RSSRVLWHXQLW'LYLVLRQ$&
RU'&HOHFWULFDOSRZHU
GLVWULEXWLRQVXEV\\VWHPV
LQRSHUDEOH
7KH5,&7HVWLPDWHVUHPDLQXQFKDQJHGDVDUHVXOWRIWKLVVHQVLWLYLW\\7KHUHIRUHWKHXQFHUWDLQW\\
DVVRFLDWHGZLWK)/(;DQG+&96HTXLSPHQWUHOLDELOLW\\DQGKXPDQHUURUSUREDELOLWLHVLVQHJOLJLEOH
IRUWKH5,&7$SSOLFDWLRQ
/LFHQVH$PHQGPHQW5HTXHVW
(QFORVXUH
$GRSW5LVN,QIRUPHG&RPSOHWLRQ7LPHV767)
'RFNHW1RVDQG
.H\\$VVXPSWLRQVDQG6RXUFHVRI8QFHUWDLQW\\
(
&DVH%ODFN6WDU7HFK%67+(36DQG(TXLSPHQW)DLOXUH5DWHV
%67LVFXUUHQWO\\HPSOR\\HGRQO\\IROORZLQJGHFODUDWLRQRI(/$3
)RUWKH)3,(EDVH35$WKHUHLVPLQLPDOLPSDFWRI%67RQWKHUHVXOWV+RZHYHUWKLVVKRXOGEH
UHWDLQHGDVDVRXUFHRIPRGHOXQFHUWDLQW\\IRUDSSOLFDWLRQVLQZKLFK(/$3FRQGLWLRQVDUHEHLQJ
DVVHVVHG
7KH+(3VDQGHTXLSPHQWIDLOXUHUDWHVDVVRFLDWHGZLWK%67DUHFDQGLGDWHVRXUFHVRI
XQFHUWDLQW\\
7RGHWHUPLQHWKHLPSDFWRQWKH]HURPDLQWHQDQFHEDVHPRGHOQR76FRQILJXUDWLRQVFUHGLWIRU
%67ZDVFRPSOHWHO\\UHPRYHGIURPWKHPRGHOWKURXJKXVHRID)/$*HYHQW7DEOH
VXPPDUL]HVWKHFKDQJHWRWKHEDVLFHYHQW)/$*HYHQWIRUWKLVVLWXDWLRQ7KH&DVH
VHQVLWLYLW\\RQO\\DSSOLHVWRWKH)3,(35$VLQFH%67LVQRWFUHGLWHGLQWKH)35$PRGHO
7DEOH(
&$6(%67+(3V$1'(48,30(17)$,/85(5$7(6
%$6,&(9(17&+$1*(6
%DVLF(YHQW
%DVH
3UREDELOLW\\
)DFWRU
6HQVLWLYLW\\3UREDELOLW\\
%/$&.67$57)/$*
)$/6(&UHGLWLV
WDNHQIRU%67
758(&UHGLWLVQRW
WDNHQIRU%67
7DEOH(SURYLGHVWKHUHVXOWVRIWKHVHQVLWLYLW\\RQWKH]HURPDLQWHQDQFHPRGHOV
/LFHQVH$PHQGPHQW5HTXHVW
(QFORVXUH
$GRSW5LVN,QIRUPHG&RPSOHWLRQ7LPHV767)
'RFNHW1RVDQG
.H\\$VVXPSWLRQVDQG6RXUFHVRI8QFHUWDLQW\\
(
7DEOH(
&$6(%67+(3VDQG(48,30(17)$,/85(5$7(6
=(520$,17(1$1&(5(68/76
0RGHO&DVH
&')\\U
'HOWD
&')
/(5)\\U
'HOWD/(5)
)3,(
%DVH
(
(
6HQVLWLYLW\\
(
(
1RWHVWR7DEOH(
)3,(WUXQFDWLRQOLPLWLV(\\UIRU&')DQG/(5)
'HOWD&')DQG/(5)FDOFXODWLRQVZHUHSHUIRUPHGRQQRQURXQGHG&')DQG/(5)
UHVXOWV
7KHUHVXOWVVKRZQLQ7DEOH(GHPRQVWUDWHWKDW)3,(35$&')DQG/(5)XVLQJWKH]HUR
PDLQWHQDQFH35$PRGHOVZLWKQR76FRQILJXUDWLRQVKDYHPLQLPDOVHQVLWLYLW\\WRWKHDYDLODELOLW\\
RI%678VHRI%67KDVWKHVDPHFRQVWUDLQWVDV)/(;DQG+&96LH(/$3
$GGLWLRQDOO\\5,&7FDOFXODWLRQVZHUHSHUIRUPHGIRUWKLVVHQVLWLYLW\\LH7HFKVSHFFRQILJXUDWLRQV
ZHUHLQFRUSRUDWHGZLWKWKH35$PRGHO$VGHVFULEHGLQ6HFWLRQ%ODFNVWDUW%76FDQVXSSO\\
DZLGHUDQJHRIORDGVIURP9'&WR9'&DQG9$&WR9$&,WFDQVHUYHDVD
EDFNXSWR'&EDWWHULHVDQGFKDUJHUV7RGHWHUPLQHWKHVHQVLWLYLW\\RQWKHUHVXOWVZKHQWKHUHLV
QRFUHGLWIRU%ODFNVWDUWWKH]HURPDLQWHQDQFHPRGHOFXWVHWVIRUVHOHFW7HFK6SHFVDVVRFLDWHG
ZLWK'&SRZHUZHUHUHILQHGWRIDLOHYHQWVDVVRFLDWHGZLWK%767KHIROORZLQJEDVLFHYHQWVZHUH
VHWWRSUREDELOLW\\IDLOHGLQWKH]HURPDLQWHQDQFHPRGHO5,&7FXWVHWV
%6%&9'&)
0$,17(1$1&(&+$5*(5219'&%/$&.67$57&$57)$,/6
%6%&9'&)
0$,17(1$1&(&+$5*(5219'&%/$&.67$57&$57)$,/6
%6%<9$&)
$+%$77(5<210&5%/$&.67$57&$57)$,/6
%6%<9'&)
$+%$77(5<219'&%/$&.67$57&$57)$,/6
%6%<9'&)
$+%$77(5<219'&%/$&.67$57&$57)$,/6
%6,99$&)
,19(57(5&+$5*(5210&5%/$&.67$57&$57)$,/6
%63*9$&&
&&)762)%/$&.67$579$&'8$/)8(/*(1(5$72562)
%63*9;&&
&&)752)%/$&.67$579$&'8$/)8(/*(1(5$72562)
%63*9$&&
&&)762)%/$&.67$579$&'8$/)8(/*(1(5$72562)
%63*9;&&
&&)752)%/$&.67$579$&'8$/)8(/*(1(5$72562)
%63*9$&$
%/$&.67$579$&'8$/)8(/*(1(5$725)$,/67267$57
%63*9$&;
%/$&.67$579$&'8$/)8(/*(1(5$725)$,/672581
%63*9$&$
%/$&.67$579$&'8$/)8(/*(1(5$725)$,/67267$57
/LFHQVH$PHQGPHQW5HTXHVW
(QFORVXUH
$GRSW5LVN,QIRUPHG&RPSOHWLRQ7LPHV767)
'RFNHW1RVDQG
.H\\$VVXPSWLRQVDQG6RXUFHVRI8QFHUWDLQW\\
(
%63*9$&;
%/$&.67$579$&'8$/)8(/*(1(5$725)$,/672581
%'&23%.&$57+
23(5$725)$,/6726(783%/$&.67$57&$57
%'&23%.(59+
23(5$725)$,/672,03/(0(17%/$&.67$57)25(59
&21752/
%'&23%.+&96+
23(5$725)$,/672,03/(0(17%/$&.67$577232:(5+&96
%'&23%.,&23+
23(5$725)$,/672,03/(0(17%/$&.67$57,62&21'
23(5$7,21
%'&23%.0&5+
23(5$725)$,/672,03/(0(17%/$&.67$57)250&5, &
7DEOH(VKRZVWKHLPSDFWRIWKHVHUHILQHPHQWVRQWZR7HFK6SHFVVSHFLILFDOO\\DVVRFLDWHG
ZLWK'&SRZHU
7DEOH(
&$6(%67+(3VDQG(48,30(17)$,/85(5$7(6
5,&7(67,0$7(5(68/76
7HFK6SHF
)ODJ)LOH1DPH
76/&2&RQGLWLRQ
%DVH0RGHO
5,&7
(VWLPDWH
GD\\V+/-
URXQGHG
GRZQWR
QHDUHVW
WHQWK
6HQVLWLYLW\\
5,&7
(VWLPDWH
GD\\V+/-
URXQGHG
GRZQWR
QHDUHVW
WHQWK
*
*B
'LYLVLRQRU9'&
EDWWHU\\LQRSHUDEOHGXH
WRWKHQHHGWRUHSODFH
WKHEDWWHU\\DV
GHWHUPLQHGE\\
PDLQWHQDQFHRUWHVWLQJ
&
&B
2QHRUPRUHUHTXLUHG
RSSRVLWHXQLW'LYLVLRQ
$&RU'&HOHFWULFDO
SRZHUGLVWULEXWLRQ
VXEV\\VWHPVLQRSHUDEOH
$VVKRZQLQ7DEOH(WKHUHVXOWVDUHVHQVLWLYHWRWKLVDVVXPSWLRQIRUWKHVHVSHFLILF7HFK
6SHFV+RZHYHUWKLVLVDERXQGLQJVHQVLWLYLW\\WKDWUHPRYHGDOOFUHGLWIRU%67WKLVERXQGLQJ
/LFHQVH$PHQGPHQW5HTXHVW
(QFORVXUH
$GRSW5LVN,QIRUPHG&RPSOHWLRQ7LPHV767)
'RFNHW1RVDQG
.H\\$VVXPSWLRQVDQG6RXUFHVRI8QFHUWDLQW\\
(
DVVXPSWLRQGRHVQRWDFFXUDWHO\\UHSUHVHQWWKHDFWXDOUHOLDELOLW\\RIWKHHTXLSPHQWDQGRSHUDWRU
DFWLRQVDVVRFLDWHGZLWK%67
&DVH)35$&DEOH6HOHFWLRQ81/
$VSDUWRIWKH)LUH35$VRPHFRPSRQHQWVZHUHFRQVHUYDWLYHO\\DVVXPHGWREHIDLOHGEDVHGRQ
ODFNRIFDEOHGDWD&RPSRQHQWVLQWKLVFDWHJRU\\DUHUHIHUUHGWRDV8QNQRZQ/RFDWLRQ81/
FRPSRQHQWVEHFDXVHVSHFLILFFDEOHVZHUHQRWLGHQWLILHGIRUWKHFRPSRQHQWV$VHQVLWLYLW\\
DQDO\\VLVZDVSHUIRUPHGWRPHDVXUHWKHULVNDVVRFLDWHGZLWKWKHDVVXPSWLRQWKDWWKHVH
FRPSRQHQWVIDLOLQDOOILUHVFHQDULRV
)RUWKLVVHQVLWLYLW\\FDVHWKHDVVXPSWLRQWKDW81/FRPSRQHQWVDUHDOZD\\VIDLOHGIRUHYHU\\ILUH
VFHQDULRZDVUHPRYHGE\\GHOHWLQJWKH)/$*ILOHORJLFWKDWVHWVWKHVHIDLOXUHHYHQWVWR7UXH7KLV
LVDFRQVHUYDWLYHHVWLPDWHVLQFHWKHFDEOHVDQGDVVRFLDWHG66&VZLOOQRWEHDYDLODEOHLQHYHU\\
VFHQDULREXWWKLVUHVXOWGRHVSURYLGHDFRQVHUYDWLYHHVWLPDWHRIWKH81/DVVXPSWLRQ¶VLPSDFWLQ
WKHULVNFDOFXODWLRQV
%DVHGRQWKHUHVXOWVOLVWHGLQ7DEOH(WKHDVVXPHGIDLOXUHRIWKH81/FRPSRQHQWVKDV
VRPHULVNEHQHILWIRUWKH)LUH&')DQG/(5)ULVNFDOFXODWLRQV)RUWKHDSSOLFDWLRQWKLVLV
QRWDNH\\VRXUFHRIXQFHUWDLQW\\DQGZLOOQRWDOWHUWKHFDWHJRUL]DWLRQUHVXOWVRIPRGHOHG66&V7R
IXUWKHUDQDO\\]HWKLVXQFHUWDLQW\\LQWKH5,&7SURJUDPDVHQVLWLYLW\\ZDVHYDOXDWHGE\\H[FOXGLQJ
WKHDXWRPDWLF66&IDLOXUHVIRUHDFKRIWKHVDPSOH5,&7FDOFXODWLRQV
7DEOH(SURYLGHVWKHUHVXOWVRIWKHVHQVLWLYLW\\RQWKH]HURPDLQWHQDQFHPRGHOV
7DEOH(
&$6()35$&$%/(6(/(&7,2181/
=(520$,17(1$1&(5(68/76
0RGHO&DVH
&')\\U
'HOWD
&')
/(5)\\U
'HOWD/(5)
)35$
%DVH
(
(
6HQVLWLYLW\\
(
(
1RWHVWR7DEOH(
)35$WUXQFDWLRQOLPLWLV(\\UIRU&')DQG(IRU/(5)
'HOWD&')DQG/(5)FDOFXODWLRQVZHUHSHUIRUPHGRQQRQURXQGHG&')DQG/(5)
UHVXOWV
/LFHQVH$PHQGPHQW5HTXHVW
(QFORVXUH
$GRSW5LVN,QIRUPHG&RPSOHWLRQ7LPHV767)
'RFNHW1RVDQG
.H\\$VVXPSWLRQVDQG6RXUFHVRI8QFHUWDLQW\\
(
7DEOH(
&$6()35$&$%/(6(/(&7,2181/
5,&7(67,0$7(5(68/76
7HFK6SHF
)ODJ)LOH1DPH
76/&2&RQGLWLRQ
%DVH0RGHO
5,&7(VWLPDWH
GD\\V+/-
URXQGHG
GRZQWR
QHDUHVWWHQWK
6HQVLWLYLW\\
5,&7
(VWLPDWH
GD\\V+/-
URXQGHG
GRZQWR
QHDUHVW
WHQWK
$
$B
,&6\\VWHPLQRSHUDEOH
$
$B
2QHVXSSUHVVLRQSRRO
FRROLQJVXEV\\VWHP
LQRSHUDEOH
$
$B
2QHRUPRUH$&
HOHFWULFDOSRZHU
GLVWULEXWLRQ
VXEV\\VWHPV
LQRSHUDEOH
7KHUHVXOWVVKRZQLQ7DEOH(GHPRQVWUDWHWKDWWKHDVVXPSWLRQWKDWWKH81/FRPSRQHQWV
DUHDOZD\\VIDLOHGKDVDFRQVHUYDWLYHULVNLPSDFWRQWKH)35$UHVXOWVDQGUHPRYLQJWKH
DVVXPSWLRQSURYLGHVDQH[SHFWHGULVNEHQHILW$IWHUUHYLHZLQJWKLVDVVXPSWLRQWKURXJKHDFKRI
WKHWHFKQLFDOVSHFLILFDWLRQVWKLVDVVXPSWLRQZDVFRQILUPHGWRKDYHPLQLPDOLPSDFWDQGLVQRWD
NH\\VRXUFHRIXQFHUWDLQW\\IRUWKH5,&7DSSOLFDWLRQ7DEOH(VXPPDUL]HVWKHUHVXOWVRIDOORI
WKH5,&7FDOFXODWLRQFKDQJHVGD\\V,QPRVWFDVHVWKHDGGHGEHQHILWRIUHPRYLQJWKLV
FRQVHUYDWLVPZDVOHVVWKDQWZRGD\\VDQGLQQRLQVWDQFHVZDVWKH5,&7WLPHVVKRUWHULHQR
UHVXOWVZHUHPDVNHGIURPWKHVDPSOH5,&7FDOFV2QHVSHFLILFFRQILJXUDWLRQDVVRFLDWHGZLWK
WHFKQLFDOVSHFLILFDWLRQ$KDGDQLQFUHDVHLQ5,&7WLPHRIDSSUR[LPDWHO\\GD\\V7KLVZDV
DXQLTXHFRQILJXUDWLRQIRUDVSHFLILFSRZHUVXSSO\\LQPDLQWHQDQFHWKDWFRXOGSURYLGHDQ
HQKDQFHPHQWWRWKH5,&7SURJUDPXVLQJWKH'UHVGHQPRGHOXSGDWHSURFHVV
&DVH)35$0LQLPXP-RLQW+(39DOXH
/LFHQVH$PHQGPHQW5HTXHVW
(QFORVXUH
$GRSW5LVN,QIRUPHG&RPSOHWLRQ7LPHV767)
'RFNHW1RVDQG
.H\\$VVXPSWLRQVDQG6RXUFHVRI8QFHUWDLQW\\
(
- HQHUDOO\\FRQVHUYDWLYH+(3DGMXVWPHQWVZHUHPDGHWRWKHQRPLQDO+(3YDOXHVXVHGLQWKH
)3,(PRGHOWKHQUHYLVLWHGWRDGGUHVVXQLTXHILUHFRQVLGHUDWLRQVIROORZLQJWKHJXLGDQFHIURP
185(*5HIHUHQFH>@$GHWDLOHGDQDO\\VLVZDVSHUIRUPHGIRUDOOILUHVSHFLILF+)(V$
IORRUYDOXHRI(ZDVDSSOLHGIRUDOOGHSHQGHQWFRPELQDWLRQVIRUWLPHIUDPHVOHVVWKDQ
KRXUV8QFHUWDLQW\\LQ+(3YDOXHVLVSURSDJDWHGWKURXJKWKHSDUDPHWULFXQFHUWDLQW\\DQDO\\VLV
GRFXPHQWHGLQ6HFWLRQRI5HIHUHQFH>@
7DEOH(
&$6()35$0,1,080-2,17+(39$/8(
=(520$,17(1$1&(5(68/76
0RGHO&DVH
&')\\U
'HOWD
&')
/(5)\\U
'HOWD/(5)
)35$
%DVH
(
(
6HQVLWLYLW\\
(
(
1RWHVWR7DEOH(
)35$WUXQFDWLRQOLPLWLV(\\UIRU&')DQG(IRU/(5)
'HOWD&')DQG/(5)FDOFXODWLRQVZHUHSHUIRUPHGRQQRQURXQGHG&')DQG/(5)
UHVXOWV
7KHUHVXOWVVKRZQLQ7DEOH(GHPRQVWUDWHWKDWXVLQJDKLJKHU)35$PLQLPXPMRLQW+(3
KDVDVPDOOLPSDFWRQ)35$UHVXOWVDQGLVQRWDNH\\VRXUFHRIXQFHUWDLQW\\IRUWKH
DSSOLFDWLRQ
$OORIWKH5,&7VDPSOHFDOFXODWLRQVZHUHHYDOXDWHGIRUWKLVVHQVLWLYLW\\DQGDVDPSOLQJLVUHSRUWHG
LQ7DEOH($OORIWKHVDPSOH5,&7FDOFXODWLRQVKDGLQVLJQLILFDQWULVNLPSDFWVIURPWKH
FKDQJHDQGDUHXQDIIHFWHGE\\WKLVVHQVLWLYLW\\7KHUHVXOWVRIWKHVHQVLWLYLW\\LGHQWLILHGQR
VLJQLILFDQWFKDQJHLQFDOFXODWHG5,&7WLPHVWKHUHIRUHWKLVLVQRWDNH\\VRXUFHRIXQFHUWDLQW\\IRU
WKH5,&7DSSOLFDWLRQ
7DEOH(VXPPDUL]HVWKHUHVXOWVRIWKHVHVHOHFW5,&7FDOFXODWLRQV
/LFHQVH$PHQGPHQW5HTXHVW
(QFORVXUH
$GRSW5LVN,QIRUPHG&RPSOHWLRQ7LPHV767)
'RFNHW1RVDQG
.H\\$VVXPSWLRQVDQG6RXUFHVRI8QFHUWDLQW\\
(
7DEOH(
&$6()35$0,1,080-2,17+(39$/8(
5,&7(67,0$7(5(68/76
7HFK
6SHF
)ODJ)LOH
1DPH
76/&2&RQGLWLRQ
%DVH0RGHO
5,&7(VWLPDWH
GD\\V+/-
URXQGHGGRZQ
WRQHDUHVW
WHQWK
6HQVLWLYLW\\
5,&7(VWLPDWH
GD\\V+/-
URXQGHGGRZQ
WRQHDUHVW
WHQWK
*
*B
+3&,6\\VWHPLQRSHUDEOH
%
%B
2QH/3&,VXEV\\VWHP
LQRSHUDEOHIRUUHDVRQV
RWKHUWKDQ&RQGLWLRQ$25
RQH&RUH6SUD\\VXEV\\VWHP
LQRSHUDEOH
$
$B
2QHRUPRUHUHTXLUHG
FKDQQHOVLQRSHUDEOH
$
$B
2QHVXSSUHVVLRQSRRO
FRROLQJVXEV\\VWHP
LQRSHUDEOH
,
,B
2SSRVLWHXQLW9'&
HOHFWULFDOSRZHUVXEV\\VWHP
LQRSHUDEOH
&
&B
2QHRUPRUHUHTXLUHG
RSSRVLWHXQLW$&RU'&
HOHFWULFDOSRZHUGLVWULEXWLRQ
VXEV\\VWHPVLQRSHUDEOH
(
7UDQVODWLRQ&5030RGHO8QFHUWDLQW\\,PSDFW$VVHVVPHQW
,QFRUSRUDWLRQRIWKHEDVHOLQH35$PRGHOVLQWRWKH&5030RGHOXVHGIRU5,&73URJUDP
FDOFXODWLRQVPD\\LQWURGXFHQHZVRXUFHVRIPRGHOXQFHUWDLQW\\7DEOH(SURYLGHVD
GHVFULSWLRQRIWKHUHOHYDQWPRGHOFKDQJHVDQGGLVSRVLWLRQVRIZKHWKHUDQ\\RIWKHFKDQJHVPDGH
UHSUHVHQWSRVVLEOHQHZVRXUFHVRIPRGHOXQFHUWDLQW\\WKDWPXVWEHDGGUHVVHG5HIHUWR
(QFORVXUHIRUDGGLWLRQDOGLVFXVVLRQRQWKH&5030RGHO
7DEOH($VVHVVPHQWRI7UDQVODWLRQ8QFHUWDLQW\\,PSDFWV
7RSLF
'LVFXVVLRQRI
,VVXH
3DUWRI0RGHO
$IIHFWHG
76
/&2V
'LVSRVLWLRQIRU5,&7
35$PRGHOORJLF
VWUXFWXUHPD\\EH
RSWLPL]HGWR
LQFUHDVHVROXWLRQ
VSHHG
)DXOWWUHHORJLFPRGHO
VWUXFWXUHDIIHFWLQJ
ERWK,QWHUQDO(YHQWV
DQG)LUH35$V
$OO,Q6FRSH
/&2V
7KHPRGHOLIUHVWUXFWXUHGZLOOEH
ORJLFDOO\\HTXLYDOHQWDQGSURGXFH
UHVXOWVFRPSDUDEOHWRWKHEDVHOLQH
35$ORJLFPRGHO
6LQFHWKHUHVWUXFWXUHGPRGHOZLOO
SURGXFHFRPSDUDEOHQXPHULFDO
UHVXOWVWKLVLVQRWDVRXUFHRI
XQFHUWDLQW\\IRUWKH5,&73URJUDP
,QFRUSRUDWLRQRI
VHLVPLFULVNELDV
WRVXSSRUW5,&7
3URJUDPULVN
FDOFXODWLRQV
$FRQVHUYDWLYH
YDOXHIRUWKH
VHLVPLFGHOWD
&')LV
DSSOLFDEOH
&DOFXODWLRQRI5,&7
DQG5LVN
0DQDJHPHQW$FWLRQ
7KUHVKROG50$7
ZLWKLQ575
$OO,Q6FRSH
/&2V
7KHDGGLWLRQRIERXQGLQJLPSDFWV
IRUVHLVPLFHYHQWVKDVQRLPSDFW
RQEDVHOLQH35$RU575PRGHO
,PSDFWLVUHIOHFWHGLQFDOFXODWLRQRI
DOO5,&7VDQG50$7V
6LQFHWKLVLVDFRQVHUYDWLYH
DSSURDFKIRUDGGUHVVLQJVHLVPLF
ULVNLQWKH5,&73URJUDPLWLVQRW
DVRXUFHRIWUDQVODWLRQXQFHUWDLQW\\
DQG5,&73URJUDPFDOFXODWLRQV
DUHQRWLPSDFWHGVRQR
PDQGDWRU\\5LVN0DQDJHPHQW
$FWLRQV50$VDUHUHTXLUHG
6HWSODQW
DYDLODELOLW\\
5HDFWRU&ULWLFDO
<HDUV)DFWRU
7\\SHFRGH#$9$,/
ZLOOEHVHWWR
$OO,Q6FRSH
/&2V
6LQFHWKH575PRGHOHYDOXDWHV
VSHFLILFFRQILJXUDWLRQVGXULQJDW
SRZHUFRQGLWLRQVWKHXVHRID
SODQWDYDLODELOLW\\IDFWRUOHVVWKDQ
(
7DEOH($VVHVVPHQWRI7UDQVODWLRQ8QFHUWDLQW\\,PSDFWV
7RSLF
'LVFXVVLRQRI
,VVXH
3DUWRI0RGHO
$IIHFWHG
76
/&2V
'LVSRVLWLRQIRU5,&7
EDVLFHYHQWWR
LVQRWDSSURSULDWH7KLV
FKDQJHDOORZVWKH575PRGHOWR
SURGXFHDSSURSULDWHUHVXOWVIRU
VSHFLILFDWSRZHUFRQILJXUDWLRQV
7KLVFKDQJHLVFRQVLVWHQWZLWK
575WRROSUDFWLFHWKHUHIRUHWKLV
FKDQJHGRHVQRWUHSUHVHQWD
VRXUFHRIXQFHUWDLQW\\DQG5,&7
3URJUDPFDOFXODWLRQVDUHQRW
LPSDFWHGVRQRPDQGDWRU\\50$V
DUHUHTXLUHG
5HIHUHQFHV
>@1XFOHDU(QHUJ\\,QVWLWXWH1(,7RSLFDO5HSRUW751(,$5LVN,QIRUPHG7HFKQLFDO
6SHFLILFDWLRQV,QLWLDWLYHE5LVN0DQDJHG7HFKQLFDO6SHFLILFDWLRQV5076*XLGHOLQHV
5HYLVLRQGDWHG2FWREHU0/$
>@(OHFWULF3RZHU5HVHDUFK,QVWLWXWH(35,7HFKQLFDO5HSRUW753UDFWLFDO*XLGDQFH
RQWKH8VHRI35$LQ5LVN,QIRUPHG$SSOLFDWLRQVZLWKD)RFXVRQWKH7UHDWPHQWRI
8QFHUWDLQW\\'HFHPEHU
>@15&185(**XLGDQFHRQWKH7UHDWPHQWRI8QFHUWDLQWLHV$VVRFLDWHGZLWK35$VLQ
5LVN,QIRUPHG'HFLVLRQ0DNLQJ5HYLVLRQ0DUFK0/$
>@(OHFWULF3RZHU5HVHDUFK,QVWLWXWH(35,757UHDWPHQWRI3DUDPHWHUDQG0RGHO
8QFHUWDLQW\\IRU3UREDELOLVWLF5LVN$VVHVVPHQWV)LQDO5HSRUW'HFHPEHU
>@'536$35$6XPPDU\\1RWHERRN5HYLVLRQ
>@'5/$5$VVHVVPHQWRI.H\\$VVXPSWLRQVDQG6RXUFHVRI8QFHUWDLQW\\IRU'136
1XFOHDU3RZHU6WDWLRQ5HY-DQXDU\\
>@185(*&5(35,15&5(6)LUH35$0HWKRGRORJ\\IRU1XFOHDU3RZHU)DFLOLWLHV
9ROXPHVDQG6HSWHPEHU$'$06$VVHVVLRQ1RV0/$DQG
0/$
(
>@185(*(35,(35,15&5(6)LUH+XPDQ5HOLDELOLW\\$QDO\\VLV*XLGHOLQHV
-XO\\
>@'536$'UHVGHQ)LUH35$8QFHUWDLQW\\DQG6HQVLWLYLW\\1RWHERRN)LUH35$
8SGDWH5HYLVLRQ