JWD: Annual Report 2016 by ar.jwd

.-2%-2

31)-%11 /%0!2). )1).- )11).- !-$ 20!2%')%1 %11!'% &0., 2(% (!)0,! )-!-#)!+ )'(+)'(21 )12.05 1(!0%(.+$)-' 203#230% !230% .& 31)-%11 !-$ .,/%2)2).- .+)#5 !0%(.31% !-$ !0$ !-!'%,%-2 %04)#% 0!-1/.02!2).- !-$ )120)"32).- %04)#% .,%12)# !-$ -2%0-!2).-!+ .4)-' %04)#%1 %#.0$ !-$ -&.0,!2).- !-!'%,%-2 %04)#% 2(%0 %04)#%1 (% .,/!-571 .,/%2)2).- !-$ %04)#% .+)#)%1

$,)-)120!2).- !-$ .0/.0!2% .4%0-!-#% -&.0,!2).- .& %#30)2)%1 !-$ (!0%(.+$%01 0'!-)6!2).-!+ 203#230% .0/.0!2% .4%0-!-#% .0/.0!2% .#)!+ %1/.-1)")+)25 -2%0-!+ .-20.+ !-$ )1* !-!'%,%-2 %+!2%$ 0!-1!#2).-1

)-!-#)!+ .1)2).- !-$ /%0!2)-' %0&.0,!-#%

%/.02 .& 2(% .!0$ .& )0%#2.071 ##.3-2!")+)25 2. )-!-#)!+ %/.02

%/.02 .& 2(% 3$)2 .,,)22%%

!-!'%,%-2 )1#311).- !-$ -!+51)1 -$%/%-$%-2 3$)2.071 %/.02 )-!-#)!+ 2!2%,%-2 .2%1 2. 2(% )-!-#)!+ 2!2%,%-21

. +" &'),/,-&5

#6 0: 09 56 +6;): :/(: (33 6- 6;8 ,4736?,,9 7;: 36.09:0*9 (9 :67 780680:? <,8? )8,(:/ :/,? :(2, ,<,8? 46<, :/,? 4(2, :/,? $ ,<,8?:/05. 36.09:0*9

' =, (3=(?9 & (5+ $ ,<,8?:/05. 36.09:0*9

/ 2016

BUSINESS OPERATION

/ 2016

Vision, Mission & Business Strategies

“Invest inceasingly in ASEAN to become a regional logistics service provider whose network of operations cover both emerging and mature markets.”

Domestic Business ' =

)&.*$"-4 "/% ";"3%064 00%4 & " # PG +8% $IFNJDBMT 4VQQMZ $IBJO $FOUFS UP GVMųMM EJGGFSFOU OFFET ! 8JUI NPSF UIBO ZFBST PG FYQFSJFODF JO XBSFIPVTJOH BOE TQBDF NBOBHFNFOU GPS IB[BSEPVT HPPET JO -BFN $IBCBOH 1PSU XIFSF JNQPSUT BOE FYQPSUT PG IB[BSEPVT HPPET DPOUJOVF UP HSPX VOJOUFSSVQUFEMZ FWFSZ ZFBS +8% IBT SFBMJ[FE UIF DVTUPNFS EFNBOE GPS B SFMJBCMF XBSFIPVTJOH GBDJMJUZ EVSJOH UIF QFSJPE PG UJNF UIBU HPPET BSF XBJUJOH GPS EFMJWFSZ PVUTJEF UIF DVTUPNT DVTUPEZ XIJDI SFTVMUT JO IJHI DPTU PG XBSFIPVTJOH 'PS UIJT SFBTPO XF IBWF EFDJEFE UP FYQBOE ! $ ! $ $ GVMųMM EJGGFSFOU OFFET BDSPTT UIF FOUJSF QSPDFTT PG JNQPSU FYQPSU UIBU JODMVEFT TUPSBHF QBDLBHJOH SFQBDLBHJOH BOE EJTUSJCVUJPO UP GBDUPSJFT CPUI EPNFTUJDBMMZ BOE DSPTT CPS EFS JO DPNQMJBODF XJUI XPSME DMBTT XBSFIPVTJOH BOE NBO BHFNFOU TUBOEBSET "U UIF FOE PG UIF PDDVQBODZ SBUF XBT IJHIFS UIBO #Z UIF FOE PG UIJT ZFBS XF QSPKFDU UP JODSFBTF UIF PDDVQBODZ SBUF UP 0-% 503"(& ı *U JT FTTFOUJBM UP JODSFBTF UIF WBSJFUZ PG HPPET JO PSEFS UP SFEVDF SFMJBODF PO TFBGPPE DBUFHPSJ[F HPPET BOE PGGFS EJGGFSFOUJBUFE TFMMJOH QPJOUT PG FBDI MPDBUJPO -BSHFMZ JNQBDUFE CZ *MMFHBM VOSFQPSUFE BOE VOSFHVMBUFE ųTIJOH *66 BT XFMM BT IVNBO USBGųDLJOH UIF BNPVOU PG HPPET GPS XBSFIPVTJOH IBT TJHOJųDBOUMZ EFDSFBTFE 5IFSFGPSF UIF DPNQBOZ JT USZJOH UP JODSFBTF UIF WBSJFUZ PG HPPET GPS XBSFIPVTJOH UP SFEVDF SFMJBODF PO UIF TFBGPPE DBUFHPSZ GSPN UP BEEJOH PUIFS DBUFHPSJFT TVDI BT QPVMUSZ XJOF DIFFTF BOE GSP[FO SFBEZ NFBMT UP UIF MJTU

' =

BOE PGGFSJOH PUIFS WBMVF BEEFE TFSWJDFT TVDI BT DIFFTF CMFOEJOH XJUIJO UIF GSFF [POF #Z DBUFHPSJ[JOH HPPET BOE IJHIMJHIUJOH EJGGFSFOU TFMMJOH QPJOUT GPS B TQFDJÅ³D MPDBUJPO PVS XBSFIPVTJOH GBDJMJUZ PO 4VXJOUIBXPOH 3PBE XIJDI JT TVSSPVOEFE CZ QPVMUSZ QSPDFTTJOH QMBOUT JT EFTJHOFE FTQFDJBMMZ UP TFSWF QPVMUSZ CVTJOFTTFT BOE UIPTF MPPLJOH GPS DPME TUPSBHF TFSWJDF BU UIF UFNQFSBUVSF r$ 8F IBWF JOWFTUFE JO UIF DPOTUSVDUJPO PG BEEJUJPOBM GSFF[JOH SPPNT JO +VMZ MBTU ZFBS EVF UP B DPOTJTUFOUMZ SJTJOH EFNBOE #BOHOB 5SBE 3PBE ,. JT BO JEFBM MPDBUJPO GPS UIF EFWFMPQNFOU PG .VMUJ $PVOUSZ $POTPMJEBUJPO BOE EJTUSJCVUJPO DFOUFS FTQFDJBMMZ GPS SFGSJHFSBUFE BOE GSP[FO SFBEZ NFBMT DBOOFE GPPET GSVJU KVJDF BOE XJOF 5IF TFMMJOH QPJOU JT UIBU JU JT 5IBJMBOEÄ´T Å³STU GSFF [POF DPME TUPSBHF GBDJMJUZ PGGFSJOH NBOZ QSJWJMFHFT UP JNQPSUFST BOE FYQPSUFST JO QBSUJDVMBS 5IF DPME TUPSBHF GBDJMJUZ JO .BIBDIBJ BSFB JO 4BNVU 1SBLBO 1SPWJODF XIJDI JT OFBS Å³TIJOH [POF JT EFTJHOFE UP QSJODJQBMMZ BEESFTT EFNBOE PG UIF TFBGPPE JOEVTUSZ 650.05*7& "/% "354 & ! ! SFWFOVF JO BSFBT PG XBSFIPVTF NBOBHFNFOU BOE PO TJUF ZBSE NBOBHFNFOU TFSWJDFT JOUFOEJOH UP BUUSBDU NPSF BVUP QBSUT NBOVGBDUVSFST CZ UFBNJOH VQ XJUI NBSLFU MFBEFST JO UIBU JOEVTUSZ 5IF BVUPNPUJWF NBSLFU JT MJLFMZ UP HSPX BU BO BDDFMFSBUFE QBDF 5IFSFGPSF UIF DPNQBOZ JT TFFLJOH UP JODSFBTF UIF QSPQPSUJPO PG SFWFOVF GSPN BVUP QBSUT BOE HBSBHF NBOBHFNFOU TZTUFNT PG PVS DVTUPNFSÄ´T QSFNJTFT 0O 4JUF 4FSWJDF GSPN UP PG UIF UPUBM SFWFOVF HFOFSBUFE UISPVHI BVUP QBSUT XBSFIPVTJOH BOE HBSBHF NBOBHFNFOU TFSWJDFT XJUI UIF VTF PG PVS ":.4 "VUPNPUJWF :BSE .BOBHFNFOU 4ZTUFN &YDMVTJWFMZ EFWFMPQFE CZ +8% UIF TZTUFN PGGFST TQFDJBMMZ EFTJHOFE TPMVUJPOT UIBU NFFU B TQFDJÅ³D CVTJOFTT OFFE 8F BSF FYQBOEJOH PVS JOUFHSBUFE MPHJTUJDT TFSWJDF QPSUGPMJP GPS UIF BVUPNPUJWF JOEVTUSZ GSPN VQTUSFBN UP EPXOTUSFBN 'SPN $BS TFSWJDF QSPWJEFS BOE NBOBHFNFOU UP B MPHJTUJDT QSPWJEFS TFSWJOH BVUPNPUJWF BOE QBSUT NBOVGBDUVSFST JO 5IBJMBOE XIJDI JT POF PG UIF MBSHFTU DBS QSPEVDUJPO CBTFT JO "4&"/ +8% IBT TJHOFE B KPJOU WFOUVSF BHSFFNFOU XJUI 4JBN .PUPST *OEVTUSJFT $P -UE UP FTUBCMJTI B OFX DPNQBOZ OBNFE 4JBN +8% -PHJTUJDT $P -UE UP QSPWJEF JOUFHSBUFE BVUPNPUJWF MPHJTUJDT TFSWJDFT UP 4JBN .PUPST *OEVTUSJFTÄ´ TVCTJEJBSJFT 5IFTF JODMVEF UIF USBOTQPSUBUJPO PG BVUPNPUJWF QBSUT GSPN GBDUPSJFT UP XBSFIPVTFT QBSUT JOWFOUPSZ NBOBHFNFOU BOE QBDLBHJOH CFGPSF EFMJWFSZ UP DBS BTTFNCMZ QMBOUT BOE EJTUSJCVUPST OBUJPOXJEF 5IF Å³STU QIBTF JT FYQFDUFE UP TFSWF UXP PVU PG GBDUPSJFT VOEFS 4JBN .PUPST *OEVTUSJFT 00%4 3"/41035"5*0/ "/% *453*#65*0/ & ! GBTU HSPXJOH CVTJOFTTFT 8F IBWF B QMBO UP BEE NPSF JOWFTUNFOU JO FYQBOEJOH UIF DPWFSBHF PG UIF TFSWJDF BOE FYQFDU UP TQFOE BSPVOE NJMMJPO CBIU PO UIJT #Z FYQBOEJOH PVS OBUJPOXJEF OFUXPSL PG HPPET USBOTQPSUBUJPO BOE EJTUSJCVUJPO XF BJN BU DBQUVSJOH FYJTUJOH DVTUPNFST XIP VTF PVS XBSFIPVTJOH TFSWJDF BOE XJMM USZ UP TFSWF PUIFS HSPVQT PG DVTUPNFS JO UIF OFBS GVUVSF 'PS DSPTT CPSEFS USBOTQPSUBUJPO TFSWJDF XIJDI IBT HSPXO DPOTJEFSBCMZ BT B SFTVMU PG UIF ! ! # " ! ! "TJBO NBSLFUT #FTJEFT UIF DPNQBOZ IBT SFDFOUMZ TJHOFE B KPJOU WFOUVSF BHSFFNFOU XJUI 4SJUIJ (SPVQ UP NBYJNJ[F UIF QPUFOUJBM BOE CVJME VQ TFSWJDF OFUXPSL UP DPWFS "4&"/ NBSLFUT .PSFPWFS UIF DPNQBOZ JT QMBOOJOH UP DPODFOUSBUF NPSF PO OFX NBSLFUT GSPN # # UP # $ BT B SFTQPOTF UP UIF VQXBSE USFOE PG UIF F $PNNFSDF JOEVTUSZ 8F XJMM GPDVT PO

' '

TQFDJBMJ[FE TFSWJDF BSFBT UIBU XF IBWF FYQFSUJTF JO TVDI BT UFNQFSBUVSF DPOUSPMMFE HPPET BOE BVUPNPUJWF QBSUT BOE 05"- 0(*45*$4 0-65*0/ Ä± 8F BSF DPNNJUUFE UP PGGFSJOH BOE EFMJWFSJOH B UPUBM MPHJTUJDT TPMVUJPO CZ TFFLJOH B QFSGFDU DPNCJOBUJPO PG PVS FYJTUJOH TUSFOHUIT PS MPPLJOH GPS NPSF QPUFOUJBM QBSUOFST UP BDIJFWF HSFBUFS CVTJOFTT OFUXPSLJOH TVDDFTT 5BSHFU DVTUPNFST GPS UIJT JODMVEF NFEJVN BOE MBSHF DPNQBOJFT PS CVTJOFTT DPOHMPNFSBUFT IBWJOH Å³SN DVTUPNFS CBTF EPNFTUJDBMMZ BOE JO "4&"/ DPVOUSJFT BOE TFFLJOH GPS B ! 'JOBMMZ UIF DPNQBOZ JT DPOÅ³EFOU UIBU JU DPVME NBOBHF 01&3"5*/( &91&/4&4 "/% $0/530- $0454 .03& &''&$5*7&-: CFDBVTF JU IBT BMSFBEZ SFDPSEFE BMM FYQFOTFT JO UIF TFDPOE BOE UIJSE RVBSUFST 0UIFS FYQFOTFT SFMBUFE UP CVTJOFTT EFWFMPQNFOU CPUI EPNFTUJDBMMZ BOE BCSPBE GPS UIF OFYU ZFBST IBWF BMTP CFFO SFDPSEFE 'PS NPSF XF IBWF JOTUBMMFE TPMBS SPPGUPQ QBOFMT PO UIF SPPG PG PVS DPME TUPSBHF CVJMEJOH PO 4VXJOUIBXPOH SPBE 5IF JOTUBMMBUJPOT QSPWJEF VT XJUI DMFBOFS FOFSHZ BOE IFMQ SFEVDF PVS FMFDUSJDJUZ CJMM NPSF UIBO NJMMJPO CBIU B ZFBS .PSF TPMBS QBOFMT XJMM CF JOTUBMMFE BU FWFSZ DPME TUPSBHF TJUFT JO UIF OFBS GVUVSF

Ä»

Overseas Business Presence 8JUI UIF FNFSHFODF PG "4&"/ &DPOPNJD $PNNVOJUZ BOE 5IBJMBOEÄ´T &BTUFSO &DPOPNJD $PSSJEPS &$$ "4&"/ XJMM CFDPNF B DFOUFS GPS USBOTQPSUBUJPO BOE EJTUSJCVUJPO BT XFMM BT B GVUVSF GBTU HSPXJOH JOEVTUSJBM IVC 5IF DPNQBOZ DPOUJOVFT UP CVJME VQ OFX PQQPSUVOJUJFT JO UIJT SFHJPO 8F FYUFOE TVDDFTT PG UIF QBTU ZFBST CZ DBQJUBMJ[JOH PO PVS LOPXMFEHF PG TQFDJBMJ[FE MPHJTUJDT TFSWJDFT UP QFOFUSBUF OFX NBSLFUT 0VS JOWFTUNFOUT DBO CF EJWJEFE JOUP UXP DBUFHPSJFT BDDPSEJOH UP UIF MFWFM PG NBSLFU EFWFMPQNFOU &NFSHJOH NBSLFUT MJLF -BPT $BNCPEJB BOE .ZBONBS BSF PG JNQPSUBODF UP UIF DPNQBOZ XIP QJPOFFSFE XPSME DMBTT MPHJTUJDT TFSWJDFT JO UIFTF DPVOUSJFT 8BSFIPVTFT UIBU BSF GVMMZ PQFSBUJPOBM JO UIF UISFF DPVOUSJFT SFDFJWFE B WFSZ QPTJUJWF GFFECBDL FTQFDJBMMZ UIF DPME TUPSBHF GBDJMJUJFT JO -BPT BOE $BNCPEJB UIBU IBT CFFO PDDVQJFE BMNPTU PG JUT DBQBDJUZ 5IF DPNQBOZ IBT B QMBO UP FYQBOE UIF XBSFIPVTF DBQBDJUZ BOE JT TFFLJOH BEEJUJPOBM CVTJOFTT " ! ! ! HSPXUI $BNCPEJB JT B DPVOUSZ UIBU UIF DPNQBOZ TFFT UIF " $ BDRVJSFE B QPSUJPO PG TIBSFT JO B NBKPS JOEVTUSJBM FTUBUF EFWFMPQNFOU Å³SN XIJDI JT DVSSFOUMZ MJTUFE JO UIF $BNCP EJB 4FDVSJUJFT &YDIBOHF $49 5IJT TVDDFTTGVM BDRVJTJUJPO " $ QSPKFDU JO UIF OFBS GVUVSF BOE BMMPX JU UP VUJMJ[F NPSF TQBDF GPS IB[BSEPVT HPPET NBOBHFNFOU XIJDI JT POF PG UIF CVTJOFTT BSNT PG UIF DPNQBOZ JO $BNCPEJB 5IJT JT JO MJOF XJUI UIF DPNQBOZÄ´T JOWFTUNFOU QMBO JO $BNCPEJB BOE JU JT BCPVU UP DPODMVEFE XJUI SFMFWBOU $BNCPEJBO HPWFSONFOU BHFODJFT XIP TIBSF B WJTJPO UP TUSFBNMJOF UIF DPVOUSZÄ´T DPOUSPM BOE NBOBHFNFOU PG IB[BSEPVT HPPET PO QBS XJUI PUIFS DPVOUSJFT JO "4&"/ "563& "3,&54 XIFSF FDPOPNZ IBT SFBDIFE B TUBUF PG FRVJMJCSJVN BOE JT MBSHF BOE IJHIMZ DPNQFUJUJWF MJLF 7JFUOBN *OEPOFTJB .BMBZTJB BOE UIF 1IJMJQQJOFT UIF DPNQBOZ DPOUJOVFT UP TFBSDI GPS OFX PQQPSUVOJUJFT BOE XJMM GPDVT PO JOWFTUJOH JO CVTJOFTTFT SVO CZ NBKPS NBSLFU $ " ! " $ TUSFOHUIFO UIFJS CVTJOFTT 5IJT JT UP HSBC NBSLFU TIBSF BT XFMM BT HSPX SFWFOVF BOE QSPÅ³U GPS UIF FOUJSF (SPVQ PG $

% " ! "$ / 2016

Message from the Chairman

“IT WAS CHALLENGING FOR JWD. HOWEVER, WE EVENTUALLY OVERCAME THIS AND ACHIEVED OUR VISIONARY GOAL OF BEING A LEADER IN ASEAN’S LOGISTICS INDUSTRY. WE ARE WELL POSITIONED TO DEAL WITH HARD WORK AND LOOK UPON PAST CHALLENGES AS LESSONS TO LEARN THAT CAN CERTAINLY BE A PROOF OF OUR COMMITMENT TO TAKING STEPS FURTHER WITH GREATER STRENGTH AND WILLINGNESS TO PARTNER WITH ALL CHALLENGES.”

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Ĵ QSFNJTFT DPVOUSJFT JU CFOFųUT PUIFS SFMBUFE CVTJOFTTFT TVDI BT EPNFT NBLJOH UIF QSPQPSUJPO PG FBSOJOHT GSPN PO TJUF TFSWJDFT JO UJD BOE DSPTT CPSEFS USBOTQPSUBUJPO PG HPPET XIJDI HSFX NPSF SPTF GSPN XIJDI XBT POMZ "EEJUJPOBMMZ +8% IBT UIBO MBTU ZFBS %FTQJUF EJGųDVMUJFT XF XFSF HJWFO B MPU PG TJHOFE B KPJOU WFOUVSF BHSFFNFOU XJUI 4JBN .PUPST *OEVTUSJFT PQQPSUVOJUJFT 8JUIPVU DPOTJEFSJOH QSPWJTJPOT BOE FYUSB FYQFOTF $P -UE UP FTUBCMJTI B OFX DPNQBOZ OBNFE 4JBN +8% -PHJTUJDT JU XBT MJLFMZ UIBU XF FBSOFE OFU PQFSBUJOH QSPųU PG NJMMJPO $P -UE 5IF OFX KPJOU WFOUVSF JT UP QSPWJEF DPNQBOJFT XJUIJO CBIU #FTJEFT PVS TVCTJEJBSJFT FBSOFE B QSPųU PO B DPOUJOVPVT UIF 4JBN .PUPST (SPVQ XJUI JOUFHSBUFE MPHJTUJDT TFSWJDFT TVDI BT CBTJT 5IF $PNQBOZĴT #PBSE PG %JSFDUPST UIFSFGPSF BHSFFE UP BTL USBOTQPSUBUJPO PG BVUP QBSUT GSPN GBDUPSJFT UP XBSFIPVTF QBSU JOWFOUPSZ UIF "OOVBM (FOFSBM .FFUJOH PG 4IBSFIPMEFST UP DPOTJEFS NBOBHFNFOU BOE QBDLBHJOH CFGPSF EFMJWFSZ UP DBS BTTFNCMZ BOE BQQSPWF EJWJEFOE QBZNFOU PG CBIU QFS TIBSF GPS UIF QMBOUT BOE EJTUSJCVUPST OBUJPOXJEF 5IF ųSTU QIBTF JT EFTJHOFE ųTDBM ZFBS 5IF CPPL DMPTJOH EBUF XJMM CF .BZ BOE UP TFSWF UXP GBDUPSJFT PQFSBUFE CZ DPNQBOJFT XJUIJO UIF 4JBN EJWJEFOET XJMM CF QBJE UP TIBSFIPMEFST PO .BZ UIJT ZFBS

.PUPST (SPVQ GSPN B UPUBM PG GBDUPSJFT 5IJT JT B TJHOJÅ³DBOU NJMFTUPOF GPS UIF FYQBOTJPO PG JOUFHSBUFE MPHJTUJDT TFSWJDFT GPS UIF BVUPNPUJWF TFDUPS GSPN VQTUSFBN UP EPXOTUSFBN 'SPN BO BVUPNPUJWF ZBSE TFSWJDF QSPWJEFS TFSWJOH JOEJWJEVBM DBST XF IBWF HSPXO TUFBEJMZ UP CFDPNF BO FOFSHFUJD QMBZFS JO UIF BVUPNPUJWF QBSUT NBOVGBDUVSJOH JOEVTUSZ XIFSF 5IBJMBOE JT QPTJUJPOFE BT B MFBEJOH QSPEVDUJPO CBTF JO "4&"/

UP UIF FGÅ³DJFODZ PG DPTU NBOBHFNFOU BOE QFSGPSNBODF UIJT ZFBS BOE JO UIF GVUVSF "T QBSU PG PVS TVTUBJOBCMF HSPXUI NPEFM XF IBWF SFDFOUMZ JOWFTUFE JO TPMBS SPPGUPQ PO DPME TUPSBHF XBSFIPVTJOH UP HFOFSBUF DMFBO FOFSHZ BOE CSJOH QPXFS DPTU EPXO NPSF UIBO NJMMJPO CBIU QFS ZFBS "EEJUJPOBM TPMBS SPPG VOJUT XJMM CF JOTUBMMFE BU PUIFS TJUFT JO UIF OFBS GVUVSF )& $0.1"/: )"4 " $&"4&-&44 $0..*5.&/5 50 *.1307*/( 063 03("/*;"5*0/ */ "-- "3&"4 8*5)065 45011*/( 50 4&&, '03 /&8 0110356/*5*&4 5)"5 "--084 '03 #3*%(*/( 063 #64*/&44 "/% 4&7&3"- 05)&3 4&$5034 63 453&/(5) *4 50 1307*%& 41&$*"-*;&% -0(*45*$4 4&37*$&4

0ODF XF IBWF QJPOFFSFE IJHI TUBOEBSE XBSFIPVTJOH TFSWJDF JO -BPT .ZBONBS BOE $BNCPEJB XF IBWF HPU B WFSZ QPTJUJWF GFFE CBDL XJUI BO BWFSBHF PDDVQBODZ SBUF OPU MFTT UIBO "DDPSE JOH UP UIF FYQBOTJPO QMBO JO -BPT XF IBWF BEEFE NPSF XBSF IPVTJOH TQBDF MFBEJOH UP B UPUBM PG TRVBSF NFUFST 5IF DPOTUSVDUJPO XPSL JT FYQFDUFE UP TUBSU JO BOE VQPO DPN QMFUJPO JU XJMM NFFU SJTJOH EFNBOE GPS USBOTQPSUBUJPO FTQFDJBMMZ DSPTT CPSEFS USBOTQPSUBUJPO UIBU JT MJLFMZ UP HSPX GSPN /PU POMZ PQFSBUF BOE QMBO GPS CVTJOFTT JO B QSPGFTTJPOBM NBOOFS BT B SFTVMU PG UIF FYQBOTJPO PG PWFSBMM XBSFIPVTF TQBDF JO "4&"/ ! $ EFWFMPQNFOU PG IVNBO SFTPVSDFT XIJDI BSF DPOTJEFSFE UIF NPTU .PSFPWFS UIF $PNQBOZ IBT TJHOFE B KPJOU WFOUVSF BHSFFNFOU WBMVBCMF BTTFUT GPS B TFSWJDF QSPWJEFS 'PS UIJT SFBTPO XF IBWF XJUI 4SJUIBJ (SPVQ UP FTUBCMJTI -JOL "TJB -PHJTUJDT XJUI BO PCKFDUJWF JOJUJBUFE B QSPKFDU DBMMFE Ä¶5P CF UIF 45"34Ä·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Å³DBOUMZ EFDSFBTFE EVF UP UIF FGGFDU PG JMMFHBM Å³TIJOH BOE .PTU PG BMM UIF $PNQBOZ JT DPNNJUUFE UP CFJOH B HPPE IVNBO USBGÅ³DLJOH 5IFSFGPSF EFQFOEFODF PO PUIFS LJOET % $ ! $ PG HPPET IBT CFFO JODSFBTFE GSPN UP "MUFSOBUJWF TQJSJUFE BDUJWJUJFT XIJDI JODMVEF B DIFDL EBN QSPKFDU JO /BLIPO TPVSDFT PG FBSOJOHT UP TFBGPPE JODMVEF QPVMUSZ DIFFTF BOE XJOF /BZPL 1SPWJODF B CFBDI DMFBOJOH QSPKFDU JO $IPOCVSJ 1SPWJODF 5IBJMBOEÄ´T Å³STU DPME TUPSBHF GBDJMJUZ JO GSFF [POF PO #BOHOB 5SBE GSFF MVODI QSPKFDUT GPS DIJMESFO 8F BMTP EFEJDBUFE UP HPPE 3PBE ,. JT BNPOH PVS TFMMJOH QPJOUT CFDBVTF JU JT TJUVBUFE PO HPWFSOBODF BOE TUSJDUMZ DPNQMZ XJUI HPPE DPSQPSBUF HPWFSOBODF B QSJNF MPDBUJPO JEFBM GPS CFJOH B .VMUJ $PVOUSZ $POTPMJEBUJPO QSJODJQMFT TQFDJÅ³FE CZ UIF 4UPDL &YDIBOHF PG 5IBJMBOE Ä± UP USFBU "T PVS DPME TUPSBHF BOE GSFF [POF XBSFIPVTJOH GBDJMJUJFT PO 4V BMM TUBLFIPMEFST JO B GBJS BOE FRVJUBCMF NBOOFS XJOUBXPOH 3PBE FOKPZ B TUFBEZ HSPXUI PG EFNBOE JO UIF QPVMUSZ TFDUPS XF IBT JOWFTUFE JO UIF BEEJUJPO PG GSFF[JOH SPPN JO UIF 8IBU XF IBWF EPOF JO UIF QBTU ZFBS XPVME IBWF OFWFS CFFO UIJSE RVBSUFS PG UP NFFU EJGGFSFOU OFFET TVDDFTTGVM XJUIPVU HFOFSPVT TVQQPSU BOE DPMMBCPSBUJWF FGGPSUT GSPN BMM PG ZPV 0O CFIBMG PG UIF $PNQBOZ NBOBHFNFOU PVS 5P NFFU UIF OFFET BOE SFTQPOE UP OFX CVTJOFTT PQQPSUVOJUJFT TUBGG BOE BMM TVCTJEJBSJFT * XPVME MJLF UP UIBOL BMM PG ZPV Ä± GSPN XF IBWF FYQBOEFE PVS IB[BSEPVT HPPET BOE DIFNJDBMT TUPSBHF TIBSFIPMEFST WBMVFE DVTUPNFST BOE QBSUOFST Ä± GPS ZPVS MPOH BOE NBOBHFNFOU TFSWJDFT CZ TFUUJOH VQ +8% $IFNJDBM 4VQQMZ TUBOEJOH DPOÅ³EFODF JO BOE TVQQPSU GPS PVS DPNQBOZ +8% $IBJO $FOUSF BU -BFN $IBCBOH 1PSU JO $IPOCVSJ 1SPWJODF JO +VMZ QMFEHFT UIBU XF XJMM DPOUJOVF UP PQFSBUF QSPGFTTJPOBMMZ UP MFBE MBTU ZFBS JO PSEFS UP JODSFBTF UIF TUPSBHF QBDLJOH BOE EJTUSJCVUJPO UP TVTUBJOBCMF TVDDFTT BOE CF SFTQPOTJCMF XJUI B SFBM TFOTF PG DBQBDJUZ EPNFTUJDBMMZ BOE GPS DSPTT CPSEFS PQFSBUJPOT 5IF DVSSFOU DPNNJUNFOU JOUFOUJPOBMMZ GPS ZPVS PQUJNBM CFOFÅ³U BOE PDDVQBODZ SBUF JT BOE XF QSPKFDU UP HFU PDDVQBODZ CZ UIF FOE PG 5IF $PNQBOZ JT DPOÅ³EFOU JO PVS BCJMJUZ UP NBOBHF PQFSBUJOH FYQFOTFT BOE DPOUSPM DPTUT UP BDIJFWF IJHIFS FGÅ³DJFODZ "MM FYQFOTFT IBWF CFFO SFDPSEFE JO UIF TFDPOE BOE UIJSE RVBSUFST PG UIF QSFWJPVT ZFBS JODMVEJOH PQFSBUJOH FYQFOTFT QSPWJTJPOT BOE PUIFS FYQFOTFT SFMBUFE UP CVTJOFTT EFWFMPQNFOU EPNFTUJDBMMZ BOE JOUFSOBUJPOBMMZ JO UIF OFYU ZFBST 5IJT JT BEWBOUBHFPVT

"/(,03/ )"/"4"3/4*-1

$IBJSNBO PG UIF #PBSE PG %JSFDUPST

3 )"37"/*/ 6/%*5,*54"%"

$IBJSNBO PG &YFDVUJWF $PNNJUUFF $IJFG &YFDVUJWF 0GÅ³DFS

/ 2016

'+ +!' ) '%&)'%&0/

--!. % %&%.%! +/%.3 !

!0!(/! ",)' ,!(. & ( ,!( !,%(# )" -!,0% ! ,)-- *,)"%. !&&%(# ( '%(%-., .%0! !2*!(-! !. *,)"%.

-$ "&)1- ",)' /-! %( )*!, .%(# .%0%.%! -$ "&)1- ",)' /-! %( %(0!-.%(# .%0%.%! -$ "&)1- ",)' /-! %( "%( ( %(# .%0%.%! " /,,!(. , .%) ,)-- *,)"%. ' ,#%( !. *,)"%. ' ,#%( !./,( )( !+/%.3 !./,( )( --!. ! . .) !+/%.3 , .%) ! . -!,0% ! )0!, #! , .%)

3FNBSL /FU QSPÅ³U BUUSJCVUBCMF UP PXOFST PG UIF $PNQBOZ

%'! %'! %'!-

%4%-3% &0., 0%-2!+ !-$ 0%-$%0)-' .& 1%04)#%1

0.11 0.&)2

)8)07)

4155 41*-6 4155 41*-6 %4+-0

.12 203#230%

%4%-3% 0%!*$.5 )24)'-%6-10 %0( %/146-5%6-10

/2.1;)) &)0)*-6 ):2)05)5

1.( ,%-0

!4%052146%6-10 ):2)05)

6,)45

%2 0.&)2

"6-.-6-)5 %0( /%-06)0%0') ):2)05) !4%8).-0+ ):2)05) Ã&#x2021; )06%. ):2)05) 0574%0) ):2)05) ,%4) 1* 241*-6 1* 6,) 12)4%6-0+ %+4))/)06 1057/%&.) 75)(

)6 41*-6 )6 41*-6 ):'. 0) !-/) :2 )6 41*-6 %4+-0

)6 41*-6 %664-&76%&.) 61 190)45 1* 6,) 1/2%0;

)0)4%. 11(5

761/16-8)

%0+)4175 11(5

#%4),175) $%4( %0%+)/)06 !4%052146 -564-&76-10 )'14(5 0*1 %0%+)/)06 18-0+ 6,)4 5)48-')5

2!2%,%-2 .& )-!-#)!+ .1)2).-

%2 0.&)2 !0')-

%2 0.&)2

0.11 0.&)2 !0')-

%4%-3%

1 !2 %#%,"%0 744)06 %55)65 08)56/)06 2412)46-)5 412)46; 2.%06 %0( )37-2/)06 6,)4 010 '744)06 %55)65

1 !2 %#%,"%0 744)06 .-%&-.-6-)5 10+ 6)4/ .1%05 6,)4 010 '744)06 %55)65 37-6;

/ 2016

(%,)#!+1 !-$ !-'%0.31 ..$1

)8)07)

4155 41*-6

4155 41*-6 %4+-0

)8)07)

4155 41*-6 %4+-0

4155 41*-6

4155 41*-6 %4+-0

)8)07)

4155 41*-6

4155 41*-6 %4+-0

)8)07)

4155 41*-6

4155 41*-6 %4+-0

%#.0$ -&.0,!2).- !-!'%,%-2

)8)07)

0.11 0.&)2 !0')-

%4%-3% 0.11 0.&)2

16) 41 14/% -0%0'-%. 6%6)/)06 $)%4

4155 41*-6

4155 41*-6 %4+-0

0.11 0.&)2 !0')-

)8)07)

%4%-3% 0.11 0.&)2

.4)-' %04)#%

0!-1/.02!2).- )120)"32).- %04)#%

4155 41*-6

0.11 0.&)2 !0')-

%4%-3% 0.11 0.&)2

0.11 0.&)2 !0')-

%4%-3% 0.11 0.&)2

)8)07)

4155 41*-6 %4+-0

.+$ 2.0!'%

%4%-3% 0.11 0.&)2

4155 41*-6

32.,.2)4%

0.11 0.&)2 !0')-

%4%-3% 0.11 0.&)2

0.11 0.&)2 !0')-

%4%-3% 0.11 0.&)2

%-%0!+ ..$1

09:68?

()* &$' %/ & * (&+' %* (% * &% # &, () &$' %/ $ * - ) )* # ) / ( * * / +% *" *) &$' %/ - ) %* % *& '(&, &+) &# $&, % ) (, ) &$ )* ##/ % %* (% * &% ##/

(&+' .' % %*& * '(&' (*/ , #&'$ %* +) % )) - * * )* # ) $ %* & %! '&(% % &$' %/ $ * & ( % & ) % - ( &+) &( ( %*

* &$' %/ $ * - ) &+% *& '(&, ( &( % % &($ * &% $ % $ %* 1 * ()* &$' %/ % # % *& '(&, &$'( %) , ( % & & +$ %* $ % $ %* % * )*&( ) (, )

% & & )* ) + # &$' %/ $ * - ) &+% *& '(&, &+*)&+( #& )* ) ) (, ) ( (*/ & - ( &+) % )+''#/ % $ % $ %* +% * &%) * - ) ) % %* )* ' &( * (&+' % &$ % +##/ %* ( * - ( &+) % / ( $ % $ %* ) (, '(&, (

* )*(&% &$$ *$ %* *& % ( ) % * '&* %* # & *

(&+' *& &$ &% & ) 0) # % #& )* ) ) (, '(&, () * (&+ * +) & , % % &( $ * &% * %&#& / /% $ &#+* &%) &$' %/ $ * - ) )* # ) *& & ( )&#+* &%) &( )+''#/ % $ % $ %*

( %)'&(* # % &$' %/ $ * - ) &+% *& '(&, &$ )* % (&)) &( ( ) (, ) % * # & *( %)'&(* * &% % )*( +* &% & && ) % # % * &$' %/ *& &$ % %* ( * #& )* ) ) (, '(&, (

%* ( % %*& * +*&$&* , #& ) (&+' %* ( %*& * && * ) +) % )) +*& & &$' %/ % &# % ) *&( / ' (*% ( $ * - ) )* # ) *& & ( % - * &# *&( (&+' ( % & ) ( ) %* % *& ) (, * +*&$&* , % +)*(/ &$ ' %/ ) % +) % #& )* ) $ % $ %* )&#+* &%) , #&' / /% $ &#+* &%) &$' %/ $ *

.' % % * ) &' & #& )* )

%*& $ (" *) ) &$' %/ $ * %, )* % !& %* , %*+( )

/ 2016

& .#&,)"'+% 0.1!01.# %

%'7+.5:8+ &'7* '4'-+3+49 !+7;/)+

"7'486579'9/54 /897/(:9/54 !+7;/)+

:95 5-/) 5 9* "

% "7'486579 ".'/2'4* 5 9* "! (0(3$. 11'4 $0*(3164 11'4 651/15,7(

651/15,7(

'6') 52*/4- 5 9*

')/,/) 52* !957'-+ 5 9* !

')/,/) 5-/89/)8 75 5 9*

(/2(3$563( 10531..(' *11'4

% ')/,/) 5 9* %

(/2(3$563( 10531..(' *11'4

52* !957'-+ 5 9*

(/2(3$563( 10531..(' *11'4

% 8/' 5 9* %

(0(3$. 11'4 $0*(3164 11'4 651/15,7( $0' (/2(3$563( &10531..(' 11'4

% 8/' 52*/4- 7/;'9+ 9* % ,0*$213(

5-/89/)8 %'7+.5:8/4- " "

5-/89/)8 '4* %'7+.5:8/4- 7/;'9+ /3/9+* = >

,0*$213(

% 8/' 5-/89/)8 '3(5*/' 5 9* = % '3(5*/' >

% 8/' 5-/89/)8 <'43'7 5 9* = % <'43'7 >

$/%1',$

8$0/$3

(0(3$. 11'4 $0' (/2(3$563( 10531..(' 11'4

/41 8/' 5-/89/)8 75 5 9*

5;/4- !+7;/)+

+)57* 4,573'9/54 '4'-+3+49 !+7;/)+

$ 49+74'9/54'2 5;+78 5 9* $

9.+7 !+7;/)+8

'9'!',+ 5 9* "!

+40'6574 '4* 5 9*

44(54 $0$*(/(05

$ 49+74'9/54'2 5;+78 #! 4) $ #! !

% ')/,/) '4* 5 9*

44(54 $0$*(/(05

$ 4*5)./4' 5;+78 9* $ $

<4'3/) " !52:9/548 5 9* "!

",(50$/

1.65,104 (37,&(

$ '-' 5;+78 9* $ $/%1',$

$ '-' 5;+78 $ " ,/13 (45(

,0*),4+(3 1.',0*4 ,/,5(' +1.'4 .,22(3 1.',0*4 ,/,5(' +1.'4 .,22(3 1.',0*4 ,/,5(' +1.'4 $0' 0' $3&+(55, 3162 1.',0* +1.'4

3 (7,0 #+,5&3$)5 3 $3- #+,5&3$)5 $0' 3 +1/$4 #+,5&3$)5 +1.'4

3 (7,0 #+,5&3$)5 +1.'4 (5 6,.'(3 1/2$08 ,/,5(' +1.'4 3,5+$, 05(3 1*,45,&4 1/2$08 ,/,5(' +1.'4 3 $&+$2+1. $3,046,5 +1.'4 3 $2$5 $3,046,5 +1.'4 * 1.',0* 1/2$08

/ % " ! "$ / 2016

01.# ,$ 1/'+#// +" ,*-#0'0',+ ,)'!5 JWD InLogistics Public Company Limited (â&#x20AC;&#x153;The Companyâ&#x20AC;?) provides a complete range of services in in-land logistics, covering diverse fields from warehouse management to transportation. The Company has invested intensively in information technology development in order to maximize its data storage and goods management efficiency, quickly respond to the needs of customers and reduce possible operational errors, which are considered the vital part of logistics. The Companyâ&#x20AC;&#x2122;s operations are divided into five core businesses as follows:

$)9-06<:- )5, %)9, )5)/-4-5; -9=1+-

-+69, )5, 5.694);165 )5)/-4-5; -9=1+-

!9)5:769;);165 )5, 1:;91*<;165 -9=1+-

64-:;1+ )5, 5;-95);165)3 6=15/ -9=1+-

;0-9 -9=1+-:

MYANMAR

LAOS

4,300 Sq.m.

Sisattanak District

Mingalardon

720 Sq.m. GENERAL

ZONE GENERAL

ZONE

GENERAL

ZONE

Hlaing Thar Yar, Industrial Zoe

SUVARNABHUMI AIRPORT

2 BANGKOK [Bangkapi]

4 CHACHOENGSAO [Suwinthawong]

3 BANGKOK [Minburi-Samwa] GENERAL

ZONE

KHLONG TOEI PORT [Bangkok Port] SAKHON 1 SAMUT [Mahachai]

PRAKAN 5 SAMUT [Bangna-Trad KM.19]

CAMBODIA

GENERAL

ZONE

Jin Yong Chang Industrial Park

6 CHONBURI [Laem Chabang] L

LAEM CHABANG PORT

4,428 Sq.m.

GENERAL

ZONE

GENERAL

ZONE

Warehouse Service Capacity Unit: sq.m. 2016 GENERAL

ZONE

Total

General warehouse space and free zone Warehouse for dangerous goods

131,106

Cold storage

54,327

Document and data storage Others

14,520

10,032

9,951 219,936

Yard Service Capacity Unit: sq.m. Dangerous goods yard Automotive yard

Total

2016 173,968 395,287 569,255

The Company’s most significant revenue stream comes from warehouse management services, which represented 68.2 – 69.8 percent of its revenue from rental and rendering of services generated in 2014-2016 Revenues from transportation, domestic and international moving service and document and data storage accounted for 11.7 – 14.9, 11.5 – 16.0, 3.5 – 4.2 and 0.6–1.5 percent of the amount respectively.

/ 2016

Warehouse and Yard Management Service 5IF $PNQBOZ QSPWJEFT CPUI HFOFSBM BOE GSFF [POF XBSFIPVTF NBOBHFNFOU TFSWJDFT XIJDI DBO CF EJWJEFE JOUP GPVS DBUFHPSJFT BDDPSEJOH UP UIF UZQF PG HPPET HFOFSBM HPPET EBOHFSPVT HPPET BVUPNPUJWF JUFNT BT XFMM BT UFNQFSBUVSF DPOUSPMMFE HPPET DIJMMFE BOE GSP[FO QSPEVDUT

1. General and Free Zone Warehouse Management For General Goods 8BSFIPVTF NBOBHFNFOU TFSWJDF GPS HFOFSBM HPPET JT B DPSF CVTJOFTT PG UIF $PNQBOZ 3FWFOVF GSPN XBSFIPVTF NBOBHFNFOU TFSWJDF GPS HFOFSBM HPPET JT UIF TFDPOE TPVSDF PG UIF $PNQBOZÄ´T UPUBM SFWFOVF *O Ä± JU SFQSFTFOUT Ä± QFSDFOU PG UIF $PNQBOZÄ´T UPUBM SFWFOVF XIJDI " $ " ! TFSWJDF JODMVEJOH Ä³QFS TRVBSF NFUFS QFS NPOUIÄ´ BOE Ä³3FWFOVF 5POÄ´ 35 TZTUFNT BOE HFOFSBM HPPET IBOEMJOH TVDI BT HPPET BDDFQUBODF JOTQFDUJPO TFSWJDF BOE NFSDIBOEJTJOH JO 5IBJMBOE 5ITFSWJDF 5P EBUF UIF $PNQBOZ IBT B XBSFIPVTF DBQBDJUZ GPS HFOFSBM HPPET MPDBUFE PVUTJEF GSFF [POF PQFSBUJPO PG BQQSPY JNBUFMZ TRVBSF NFUFST BOE TRVBSF NFUFST JO GSFF [POF NBLJOH B UPUBM XBSFIPVTJOH TQBDF PG TRVBSF NFUFST 5IF $PNQBOZ JT UIF Å³STU FOUSFQSFOFVS JO -BFN $IBCBOH 1PSU CFJOH BQQSPWFE CZ UIF $VTUPN %FQBSUNFOU UP VTF GSFF [POF TQBDF UP CVJME JUT XBSFIPVTF GBDJMJUZ BMMPXJOH UIF $PN QBOZÄ´T XBSFIPVTF NBOBHFNFOU DVTUPNFST UP SFDFJWF GSFF [POF CFOFÅ³UT

Nature of Customers and Target Customers 5BSHFU DVTUPNFST GPS UIF $PNQBOZÄ´T XBSFIPVTF NBOBHFNFOU TFSWJDF GPS HFOFSBM HPPET JO HFOFSBM XBSFIPVTF TQBDF BOE GSFF [POF JODMVEF NBOVGBDUVSFST EJTUSJCVUPST XIPTF QSPEVDUT JOWPMWFT JNQPSU BOE FYQPSU 5IF SFBTPO JT UIBU UIF $PNQBOZÄ´T XBSFIPVTF GBDJMJUJFT BSF NPTUMZ MPDBUFE XJUIJO UIF -BFN $IBCBOH 1PSU XIJDI JT POF PG 5IBJMBOEÄ´T NPTU JNQPSUBOU QPSUT GPS JNQPSU BOE FYQPSU 5PEBZ NPTU PG UIF $PNQBOZÄ´T UBSHFU DVTUPNFST BSF NBOVGBDUVSFST JNQPSUJOH BOE FYQPSUJOH MBSHF JUFNT VTFE JO UIF QFUSPDIFNJDBM JOEVTUSZ BT XFMM BT LFZ QMBZFST JO BVUPNPUJWF UJSF DPOTVNFS QSPEVDUT NJOFSBM JNQPSU BOE JOUFSOBUJPOBM GSFJHIU GPSXBSEJOH JOEVTUSJFT

%VSJOH UIF $PNQBOZ IBT QBSUJBMMZ SFOPWBUFE HFOFSBM HPPET XBSFIPVTF UP DIFNJDBM EJTUSJCVUJPO DFOUFS DBMMFE +8% $IFNJ DBM 4VQQMZ $IBJO +$4 UP FOIBODF PVS DIFNJDBM XBSFIPVTF TFSWJDF DPNQMZJOH XJUI TBGFUZ QSJODJQMF PG %FQBSUNFOU PG *OEVTUSJBM 8PSLT 'VSUIFSNPSF UIF $PNQBOZ IBT FYQBOEFE PVS TFSWJDFT JO OFJHICPSJOH DPVOUSJFT TVDI BT -BPT .ZBONBS BOE $BNCPEJB XJUI B DBQBDJUZ PG TRVBSF NFUFST "MM HPPET TUPSFE JO UIF $PNQBOZÄ´T XBSFIPVTF BSF XFMM NBOBHFE VTJOH UIF 8BSFIPVTF .BOBHFNFOU 4ZTUFN 8.4 XIJDI IBT CFFO EFWFMPQFE CZ JUT TVCTJEJBSZ %ZOBNJD *5 4PMVUJPO $PNQBOZ -JNJUFE %*54 %*54 JT SFTQPOTJCMF GPS TQFDJBMJ[FE XBSFIPVTF NBOBHFNFOU XJUI DPNQMFY BOE BEWBODFE TFSWJDF BDUJWJUJFT JO BDDPSEBODF XJUI UIF $PNQBOZÄ´T CVTJOFTT EJSFDUJPOT XIJDI BSF GPDVTFE PO TQFDJBMJ[FE TFSWJDFT BOE B WBSJFUZ PG JO EFQUI TFSWJDFT 5IF 8.4 DPNF XJUI BO BCJMJUZ UP NPOJUPS BOE SFDPSE NPWFNFOUT PG UIF HPPET FOBCMJOH UIF $PNQBOZ BOE JUT DVTUPNFST UP USBDL TUBUVT PG UIF HPPET PO SFBM UJNF CBTJT BOE UIVT BDDFMFSBUJOH UIF TQFFE PG TFSWJDF EFMJWFSZ XIJMF SFEVDJOH FSSPST BOE FOIBODJOH XBSFIPVTF TQBDF NBOBHFNFOU FGÅ³DJFODZ

Competitive Situation 5IF $PNQBOZÄ´T DPNQFUJUPST JO XBSFIPVTF NBOBHFNFOU TFSWJDF JOEVTUSZ QBSUJDVMBSMZ GPS HFOFSBM HPPET JO HFOFSBM XBSFIPVTF TQBDF BOE GSFF [POF JODMVEF ,FSSZ -PHJTUJDT 5IBJMBOE $PNQBOZ -JNJUFE BOE :VTFO -PHJTUJDT 5IBJMBOE $PNQBOZ -JNJUFE GPS JOTUBODF )PXFWFS FBDI PG UIF DPNQBOJFT JO UIJT Å³FME PQFSBUFT JO EJGGFSFOU MPDBUJPOT GPS FYBNQMF UIF $PNQBOZ JT UIF TPMF TFSWJDF QSPWJEFS PG XBSFIPVTF NBOBHFNFOU JO TVDI NBOOFS JO JOEVTUSJBM FTUBUFT BOE UIF -BFN $IBCBOH 1PSU

2. Warehouse Management for Dangerous Goods 8BSFIPVTJOH GPS EBOHFSPVT HPPET JT UIF QSJNBSZ TPVSDF PG SFWFOVF GPS UIF (SPVQ *U SFQSFTFOUT Ä± QFSDFOU PG UIF $PNQBOZÄ´T UPUBM SFWFOVF JO Ä±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

HPPET BOE QSFQBSJOH GPS EFBMJOH XJUI QPTTJCMF JODJEFOUT DBVTFE CZ UIF MFBLBHF PG EBOHFSPVT HPPET 5IF $PNQBOZÄ´T TUBGG UBLFT DBSF PG EBOHFSPVT HPPET BU BMM TUBHFT CZ BMMPDBUJOH EFEJDBUFE XBSFIPVTF TQBDF BDDPSEJOH UP FBDI UZQF PG IB[BSEPVT HPPET 5IF $PNQBOZÄ´T XBSFIPVTJOH GBDJMJUZ DPOTJTUT PG CPUI JOEPPS XBSFIPVTFT BOE PVUEPPS ZBSET UBJMPSFE UP TQFDJÅ³D OFFET PG EBOHFSPVT HPPET XBSFIPVTJOH 4FSWJDF BHSFFNFOUT DPODFSOJOH XBSFIPVTF NBOBHFNFOU TFS WJDFT GPS EBOHFSPVT HPPET CPUI JO JOEPPS XBSFIPVTFT BOE PVUEPPS ZBSET BSF MPOH UFSN BHSFFNFOUT CFUXFFO UIF $PN QBOZ BOE UIF 1PSU "VUIPSJUZ PG 5IBJMBOE 5IFTF TQFDJGZ QSJDF SBUFT GPS XBSFIPVTF NBOBHFNFOU TFSWJDFT GPS EBOHFSPVT HPPET JO BDDPSEBODF XJUI XIBU BOOPVODFE CZ UIF 1PSU "VUIPSJUZ PG 5IBJMBOE 1SJDFT BSF EJTQMBZFE PO UIF XFCTJUF XXX EH OFU PSH " QPSUJPO PG SFWFOVF GSPN XBSFIPVTJOH BOE IBOEMJOH PG EBOHFSPVT HPPET XJMM CF TFOU UP UIF 1PSU "VUIPSJUZ PG 5IBJMBOE

*U DVSSFOUMZ PQFSBUFT B UPUBM EBOHFSPVT HPPET XBSFIPVTJOH DBQBDJUZ PG TRVBSF NFUFST XIJDI JODMVEF POF DPOUBJO 5IF $PNQBOZ IBT BEPQUFE B TZTUFN DBMMFE %JGGFSFOUJBM (14 FS ZBSE GPS EBOHFSPVT HPPET PG TRVBSF NFUFST BOE UXP Ä¶% (14Ä· XIJDI IBT CFFO EFWFMPQFE CZ %*54 JO DPPQFSBUJPO XBSFIPVTFT GPS EBOHFSPVT HPPET DPWFSJOH TRVBSF NFUFST XJUI 4ZNFP (NC) B (FSNBO Å³SN TQFDJBMJ[JOH JO UIF EFWFMPQNFOU BOE NBOVGBDUVSF PG NPEFSO )' SBEJP TFOTPS 5IF DPNQBOZÄ´T EBOHFSPVT HPPET IBOEMJOH TFSWJDFT JOWPMWF UFDIOPMPHZ DPNQPOFOUT 5IF TZTUFN JT VTFE UP GBDJMJUBUF NBOZ UIJOHT GSPN EBOHFSPVT HPPET SFDFJWJOH BU UIF -BFN XBSFIPVTJOH BOE TFBSDIJOH PG BMM PG UIF $PNQBOZÄ´T EBOHFSPVT $IBCBOH 1PSU EBUB SFDPSEJOH PG JOCPVOE BOE PVUCPVOE HPPET HPPET DPOUBJOFST 5IF -BFN $IBCBOH 1PSU JT UIF Å³STU QPSU JO JO UIF OFUXPSL BOE DPNNVOJDBUJPOT SFMBUFE UP JNQPSU FYQPSU 4&" BOE UIF XPSMEÄ´T TFDPOE QPSU UIBU VTFT UIF % (14 JO XBSFIPVTJOH BOE USBOTQPSUBUJPO PG EBOHFSPVT HPPET Ä¶%( /&5Ä· XBSFIPVTJOH BOE TFBSDIJOH PG EBOHFSPVT HPPET *U FOBCMFT UIF XIJDI XBT JOWFOUFE BOE EFWFMPQFE CZ %*54 UP NPOJUPS BOE $PNQBOZ BOE UIF 1PSU "VUIPSJUZ PG 5IBJMBOE UP RVJDLMZ BOE DPOUSPM JODPNJOH BOE PVUHPJOH TUBUVT PG BMM EBOHFSPVT HPPET QSFDJTFMZ USBDL BOE USBDF DPOUBJOFST GPS EBOHFSPVT HPPET XJUIJO UIF -BFN $IBCBOH 1PSU IBOEMJOH PG EBOHFSPVT HPPET XJUIJO UIF -BFN $IBCBOH 1PSU UIVT TJNQMJGZJOH XPSL QSPDFTT CFUXFFO UIF -BFN $IBCBOH 1PSU BOE UIF $PNQBOZÄ´T BOE FOIBODJOH TBGFUZ JO UIF XPSLQMBDF EBOHFSPVT HPPET XBSFIPVTFT BOE PS XBSFIPVTFT PQFSBUFE CZ JNQPSUFST FYQPSUFST PG UIBU EBOHFSPVT HPPET UP MPBEJOH BOE VOMPBEJOH PG EBOHFSPVT HPPET UP BOE GSPN DPOUBJOFST BT XFMM BT EBOHFSPVT HPPET XBSFIPVTJOH 5IF $PNQBOZ IBT B UFBN PG FYQFSJFODFE BOE TQFDJBMMZ USBJOFE TUBGG CFJOH SFTQPOTJCMF GPS IBOEMJOH FBDI UZQF PG IB[BSEPVT

Nature of Customers and Target Customers 5IF $PNQBOZ JT UIF POMZ MPHJTUJDT TFSWJDF QSPWJEFS JO 5IBJMBOE CFJOH BXBSEFE B DPODFTTJPO CZ UIF 1PSU "VUIPSJUZ PG 5IBJMBOE UP IBOEMF EBOHFSPVT HPPET USBOTQPSUFE WJB UIF -BFN $IBCBOH 1PSU 5BSHFU DVTUPNFST GPS UIF $PNQBOZÄ´T XBSFIPVTJOH BOE TUPSBHF NBOBHFNFOU TFSWJDFT GPS EBOHFSPVT HPPET BSF BMM UZQFT PG MPHJTUJDT TFSWJDF QSPWJEFST USBOTQPSUJOH EBOHFSPVT HPPET UISPVHI UIF -BFN $IBCBOH 1PSU

Competitive Situation 5IF $PNQBOZ JT UIF POMZ MPHJTUJDT TFSWJDF QSPWJEFS CFJOH BXBSEFE B DPODFTTJPO CZ UIF 1PSU "VUIPSJUZ PG 5IBJMBOE UP IBOEMF EBOHFSPVT HPPET XIJDI BSF USBOTQPSU WJB UIF -BFN $IBCBOH 1PSU 5IFSF JT OP DPNQFUJUPS )PXFWFS JNQPSUFS FYQPSUFS PG EBOHFSPVT HPPET NBZ VTF PUIFS DIBOOFMT PG USBOTQPSUBUJPO TVDI BT NBSJOF USBOTQPSUBUJPO WJB UIF #BOHLPL 1PSU BOE BMUFSOBUJWFMZ BJS PS MBOE USBOTQPSUBUJPO

/ 2016

3. Automotive Yard Management 5IF (SPVQ PGGFST B DPNQSFIFOTJWF SBOHF PG BVUPNPUJWF MPHJTUJDT TFSWJDFT GPS WFIJDMFT JOUFOEFE UP CF FYQPSUFE PS JNQPSUFE 5IJT CVTJOFTT JT SVO VOEFS UIF PQFSBUJPO PG "VUP-PHJD $PNQOBZ -JNJUFE "5- XIJDI JT POF PG JUT TVCTJEJBSJFT *O Ä± UIF $PNQBOZ FBSOFE BQQSPYJNBUFMZ Ä± QFSDFOU PG JUT UPUBM SFWFOVF GSPN BVUPNPUJWF XBSFIPVTJOH BOE ZBSE NBOBHFNFOU CPUI JO HFOFSBM TQBDF BOE GSFF [POF 5IJT TPVSDF PG SFWFOVF JODMVEFT UIBU GSPN WFIJDMF TUPSBHF TQBDF JO QSFQBSBUJPO GPS FYQPSU JNQPSU BT XFMM BT SFMBUFE WFIJDMF IBOEMJOHT TFSWJDFT TVDI BT WFIJDMF SFDFJWJOH WFIJDMF DMFBOJOH QSF EFMJWFSZ JOTQFDUJPO EFMJWFSZ GSPN B TUPSBHF GBDJMJUZ UP UIF -BFN $IBCBOH 1PSU DVTUPN DMFBSBODF BOE USVDL TFRVFODJOH "5- IBT BEPQUFE "VUPNPUJWF :BSE .BOBHFNFOU 4ZTUFN ":.4 XIJDI XBT EFWFMPQFE CZ %*54 UP DPOUSPM USBOTQPSUBUJPO PG Å³OJTIFE WFIJDMFT BOE NBOBHF PWFSBMM JOGPSNBUJPO 5IF ":.4 JOUFHSBUFT TFBNMFTTMZ XJUI UIF FYJTUJOH *5 JOGSBTUSVDUVSF PG "5- BOE JUT DVTUPNFST QSPWJEJOH UIF DVTUPNFST XJUI BO POMJOF BDDFTT UP JOGPSNBUJPO BCPVU UIFJS WFIJDMFT BOE FOBCMJOH UIFN UP USBDL UIF TUBUVT PG UIFJS WFIJDMFT PO B SFBM UJNF CBTJT

Nature of Customers and Target Customers 5BSHFU DVTUPNFST GPS BVUPNPUJWF XBSFIPVTJOH BOE ZBSE NBOBHFNFOU JODMVEF MPDBM BOE JOUFSOBUJPOBM MFBEFST JO UIF BVUPNPUJWF JOEVTUSZ FTQFDJBMMZ JNQPSUFST FYQPSUFST BOE EFBMFST OBUJPOXJEF 5PEBZ NPTU PG UIF $PNQBOZÄ´T DVTUPNFST BSF MFBEJOH BVUP NPUJWF DPNQBOJFT TVDI BT /JTTBO .PUPS 5IBJMBOE $PNQBOZ -JNJUFE *TV[V .PUPS 5IBJMBOE $PNQBOZ -JNJUFE BOE 5BUB .PUPST 5IBJMBOE $PNQBOZ -JNJUFE

Competitive Situation

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Å³DJFODZ TRVBSF NFUFST PS BCPVU SBJT 5IJT JT EJWJEFE JOUP B SBJ GSFF [POF TQBDF BOE SBJT GPS HFOFSBM PQFSBUJPOT XJUI B UPUBM TUPSBHF DBQBDJUZ PG WFIJDMFT "EEJUJPOBMMZ UIF (SPVQ PGGFST PO TJUF BVUPNPUJWF ZBSE BOE XBSFIPVTF NBOBHFNFOU TFSWJDFT CZ VTJOH UIF "VUPNPUJWF :BSE $ ! BT EPJOH JU BU "5- &BSOJOHT GSPN BVUPNPUJWF TUPSBHF JT DBMDVMBUFE BDDPSEJOH UP BDUVBM TQBDF VTFE TJ[F BOE OVNCFS PG WFIJDMFT PS TQBDF QSPWJEFE CZ UIF $PNQBOZ PO NPOUIMZ CBTJT

4. General and Free Zone Warehouse Management for Temperature-Controlled Goods 5IF (SPVQ QSPWJEFT UFNQFSBUVSF DPOUSPMMFE XBSFIPVTJOH GPS GSP[FO BOE SFGSJHFSBUFE QSPEVDUT TVDI BT GSFTI QSPEVDF XBJUJOH GPS QSPDFTTJOH PS FYQPSU JODMVEJOH NFBU GSVJUT BOE JDF DSFBN GPS JOTUBODF 5IJT JT PQFSBUFE CZ 1BDJÅ³D $PME 4UPSBHF $PNQBOZ -JNJUFE 1$4 +8% 1BDJÅ³D $PNQBOZ -JNJUFE +1"$ BOE +1, $PME 4UPSBHF $PNQBOZ -JNJUFE +1, XIJDI BSF UIF $PNQBOZÄ´T TVCTJEJBSJFT 5IF $PNQBOZ FBSOFE Ä± QFSDFOU PG JUT UPUBM SFWFOVF GSPN UFNQFSBUVSF DPOUSPMMFE XBSF IPVTJOH JO Ä± .BJO TPVSDFT PG UIF JODPNF XFSF XBSFIPVTJOH BOE IBOEMJOH PG HPPET QBSUJDVMBSMZ JO UIF Å³FME PG TPSUJOH BOE QBDLBHJOH 5IF $PNQBOZ BMTP QSPWJEFT JUT DVTUPN FST XJUI DIFFTF NJYJOH TFSWJDF JO GSFF [POF FOBCMJOH UIFN UP SFEVDF UBY CVSEFO 5IF (SPVQÄ´T DPME TUPSBHF GBDJMJUZ PGGFST BEKVTUBCMF UFNQFSBUVSF DPOUSPMT CFUXFFO r$ BOE r$ UP NFFU EJGGFSFOU TUPSBHF SFRVJSFNFOUT PG FBDI QSPEVDU 5IF (SPVQ IBT BEPQUFE $PME $IBJO .BOBHFNFOU 4ZTUFN $$.4 XIJDI XBT EFWFMPQFE CZ %*54 UP JNQSPWF UIF FGÅ³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Å³STU QSPWJEFS JO 5IBJMBOE UP PGGFS UFNQFSBUVSF DPOUSPMMFE XBSFIPVTJOH GPS GSP[FO BOE SFGSJHFSBUFE HPPET JO GSFF [POF DPWFSJOH B TQBDF PG TRVBSF NFUFST 5IFSF BSF UXP UZQFT PG TFSWJDF BHSFFNFOU

CFUXFFO UIF (SPVQ BOE JUT DMJFOUT GPS UIF UFNQFSBUVSF DPOUSPMMFE XBSFIPVTJOH GPS GSP[FO BOE SFGSJHFSBUFE HPPET ZFBS DPOUSBDU CFUXFFO UIF (SPVQ BOE FOUFSQSJTF DVTUPNFST BOE OPO MPOH UFSN DPOUSBDU JO XIJDI EFUBJMT PG BHSFFNFOU JODMVEJOH TFSWJDF GFFT BSF TQFDJÅ³FE JO UIF TFSWJDF QSPQPTBM

Nature of Customers and Target Customers 5BSHFU DVTUPNFST GPS UIF (SPVQÄ´T UFNQFSBUVSF DPOUSPMMFE XBSFIPVTJOH GPS GSP[FO BOE SFGSJHFSBUFE HPPET JO HFOFSBM BOE GSFF [POF JODMVEF MPDBM GPPE JNQPSUFST BOE NBOVGBDUVSFST XJUI GPPE QSPEVDUT JOUFOEFE UP CF QSPDFTTFE PS FYQPSUFE QSPDFTTFE GPPE NBOVGBDUVSFST XJUI QSPEVDUT XBJUJOH GPS FYQPSU FMFDUSPOJDT TVQQMJFST BOE QIBSNBDFVUJDBM DPNQBOJFT GPS

Competitive Situation $PNQFUJUPST JO UIF UFNQFSBUVSF DPOUSPMMFE XBSFIPVTJOH GPS GSP[FO BOE SFGSJHFSBUFE HPPET TFHNFOU GPS FYBNQMF JODMVEF 1JUJ .BIBDIBJ $PME 4UPSBHF $PNQBOZ -JNJUFE 5IFQNBOFF $PME 4UPSBHF .BIBDIBJ $PNQBOZ -JNJUFE BOE ., $PME 4UPSBHF $PNQBOZ -JNJUFE XIJDI BSF JO OFBSCZ MPDBUJPOT )PXFWFS UIF $PNQBOZÄ´T UFNQFSBUVSF DPOUSPMMFE XBSFIPVTJOH GBDJMJUZ GPS GSP[FO BOE SFGSJHFSBUFE HPPET JT MPDBUFE JO UIF BSFB JO XIJDI EFNBOE GPS UFNQFSBUVSF DPOUSPMMFE XBSFIPVTJOH TFSWJDFT GPS GSP[FO BOE SFGSJHFSBUFE HPPET JT SFMBUJWFMZ IJHI 5IFSFGPSF UIF (SPVQÄ´T DPNQFUJUJWF TJUVBUJPO JT JO B NPEFSBUF MFWFM

% " ! "$ / 2015 2016

Transportation and Distribution Service 5IF (SPVQ QSPWJEFT HPPET USBOTQPSUBUJPO TFSWJDFT VOEFS UIF PQFSBUJPO PG JUT TVCTJEJBSJFT JODMVEJOH +8% 5SBOTQPSU 5IBJMBOE $PNQBOZ -JNJUFE +54 BOE 1BDJÅ³D -PHJTUJDT 1SP $PNQBOZ -JNJUFE 1-1 5IF NBJO PCKFDUJWF JT UP FOBCMF UIF DPNQBOZ UP CFDPNF B DPNQSFIFOTJWF MPHJTUJDT TFSWJDF QSPWJEFS BOE CSJOH HSFBUFS DPOWFOJFODF UP JUT DVTUPNFST *O UIF ZFBS Ä± UIF (SPVQÄ´T BWFSBHF SFWFOVF GSPN HPPET USBOTQPSUBUJPO BDDPVOUFE GPS BQQSPYJNBUFMZ Ä± QFSDFOU PG JUT UPUBM SFWFOVF 5IF (SPVQ QSPWJEFT EPNFTUJD BT XFMM BT DSPTT CPSEFS USBOTQPS UBUJPO TFSWJDFT TVDI BT JO -BPT $BNCPEJB BOE .ZBONBS BOE IBT B QMBO UP FYQBOE JUT SPVUFT UP PUIFS "TJBO DPVOUSJFT JO UIF OFBS GVUVSF (PPET USBOTQPSUFE CZ UIF (SPVQ DBO CF DMBTTJÅ³FE JOUP GPVS DBUFHPSJFT JODMVEJOH HFOFSBM HPPET EBOHFSPVT HPPET BVUPNPUJWF BOE UFNQFSBUVSF DPOUSPMMFE HPPET GSP[FO BOE SFGSJHFSBUFE QSPEVDUT *U IBT JOTUBMMFE 3FBM UJNF (14 5SBDLJOH 4ZTUFN UIBU FOBCMFT JU UP JEFOUJGZ UIF MPDBUJPO TUBUVT TQFFE BOE EJSFDUJPO PG UIF Å´FFU 5IF (SPVQ BMTP VTFT 5SBOTQPSUBUJPO .BOBHFNFOU 4ZTUFN 5.4 UP FOIBODF UIF FGÅ³DJFODZ PG USBOT QPSUBUJPO NBOBHFNFOU BOE JUT PXO EBUB XBSFIPVTF 5IF 5.4 DPNFT XJUI B DBQBCJMJUZ UP DPOUSPM PWFSBMM USBOTQPSUBUJPO TZTUFN DPWFSJOH BMM USBOTQPSUBUJPO SFMBUFE BDUJWJUJFT GSPN WFIJDMF CPPLJOH UP USBOTBDUJPO SFDPSEJOH "EEJUJPOBMMZ UIF (SPVQ IBT JNQMFNFOUFE (14 5FNQFSBUVSF 3FQPSUJOH 4ZTUFN GPS UIF USBOTQPSUBUJPO PG UFNQFSBUVSF DPOUSPMMFE HPPET GSP[FO BOE SFGSJHFSBUFE QSPEVDUT *U JT FRVJQQFE XJUI B UFNQFSBUVSF NFBTVSJOH EFWJDF UIBU TIPXT UIF EFHSFF PG UFNQFSBUVSF JO PSEFS UP FOTVSF JU JT OPU MPXFS PS IJHIFS UIBO XIBU JT SFRVJSFE

Nature of Customers and Target Customers 5IF HPPET USBOTQPSUBUJPO CVTJOFTT JT POF PG HSPXUI ESJWFST GPS UIF (SPVQ UIBU FOBCMF JU UP CFDPNF B DPNQSFIFOTJWF MPHJTUJDT TFSWJDF QSPWJEFS 5IFSFGPSF NPTU PG UIF UBSHFU DVTUPNFST GPS UIF $PNQBOZÄ´T USBOTQPSUBUJPO TFSWJDF BSF UIPTF VTJOH JUT XBSFIPVTJOH TFSWJDF JO PSEFS UP JODSFBTF UIF MFWFM PG DPOWFOJFODF BOE SFEVDF MPHJTUJDT DPTUT

Competitive Situation 5IF USBOTQPSUBUJPO CVTJOFTT JT B IJHIMZ DPNQFUJUJWF JOEVTUSZ CFDBVTF UIFSF BSF B MBSHF OVNCFS PG QMBZFST JO UIF NBSLFU %JSFDU DPNQFUJUPST GPS FYBNQMF JODMVEF ,FSSZ -PHJTUJDT 5IBJMBOE -UE .JOH 5SBOTQPSU $P -UE :VTFO -PHJTUJDT 5IBJMBOE $P -UE BOE /JNTFFTFOH (SPVQ

Domestic and International Moving Services 5IF $PNQBOZ QSPWJEFT B DPNQMFUF SBOHF PG NPWJOH TFSWJDFT UP JOEJWJEVBM BOE DPSQPSBUF DMJFOUT EPNFTUJDBMMZ BOE JOUFSOB UJPOBMMZ VOEFS UIF PQFSBUJPO PG +7, *OUFSOBUJPOBM .PWFST $PNQBOZ -JNJUFE +7, +7, IBT PGÅ³DFT JO 5IBJMBOE BOE BCSPBE 64" $BNCPEJB 7JFUOBN BOE &BTU 5JNPS BDUJOH BT QPJOUT PG DPOUBDU GPS DMJFOUT JO SFTQFDUJWF DPVOUSJFT 8JUI BO PCKFDUJWF UP SFTQPOE UP HSPXJOH CVTJOFTT PQQPSUVOJUJFT BCSPBE UIFTF JOUFSOBUJPOBM PGÅ³DFT EP OPU QSPWJEF NPWJOH TFSWJDFT CZ UIFN TFMWFT CVU DPPQFSBUFT XJUI UIF $PNQBOZÄ´T QPUFOUJBM BOE RVBMJÅ³FE CVTJOFTT QBSUOFST UP TFSWF DVTUPNFST *O XIBUFWFS XBZ FBDI UZQF PG NPWJOH TFSWJDF SFRVJSFT TUBGG XJUI TQFDJBMJ[FE TLJMMT BOE B VOJRVFMZ EJGGFSFOU CVU BQQSPQSJBUF NPWJOH FRVJQNFOU 5IF DPNQBOZ IBT IJHIMZ FYQFSJFODFE NPWJOH TUBGG FTQFDJBMMZ USBJOFE UP IBOEMF FBDI TQFDJÅ³D JUFN .PWJOH TFSWJDFT CZ +7, DBO CF DMBTTJÅ³FE JOUP GPVS DBUFHPSJFT JODMVEJOH UIBU GPS IPVTFIPME JUFNT PGÅ³DF SFMPDBUJPO GBDUPSZ NBDIJOFT BOE USBEF GBJS FYIJCJUT

Nature of Customers and Target Customers 5BSHFU DVTUPNFST GPS UIF $PNQBOZÄ´T NPWJOH TFSWJDFT JOUFOEFE UP SFMPDBUF IPVTFIPME JUFNT PGÅ³DF FRVJQNFOU JOEVTUSJBM NB DIJOFT BOE IJHI WBMVF HPPET BSF PSHBOJ[BUJPOT XIPTF TUBGG BSF FYQBUSJBUFT XPSLJOH JO 5IBJMBOE F H FNCBTTJFT JOUFSOBUJPOBM JOEFQFOEFOU BHFODJFT SFBM FTUBUF Å³SNT PGGFSJOH NPWJOH TFSWJD FT UP CVZFST BT XFMM BT CVTJOFTT DPNQBOJFT BOE GBDUPSJFT XIP OFFE NPWJOH TVQQPSU

Competitive Situation %JSFDU DPNQFUJUPST JO CPUI EPNFTUJD BOE JOUFSOBUJPOBM TFSWJDFT JODMVEF "TJBO 5JHFST .PCJMJUZ 5IBJMBOE $PNQBOZ -JNJUFE "(4 *OUFSOBUJPOBM .PWFST $PNQBOZ -JNJUFE BOE $SPXO 3FMPDBUJPOT $PNQBOZ -JNJUFE &BDI QMBZFS IBT JUT PXO UBSHFU DVTUPNFS 5IFZ NPTUMZ DPODFOUSBUF PO EPNFTUJD NPWJOH TFSWJDFT XIJMF UIF $PNQBOZ GPDVTFT PO NPWJOH TFSWJDFT GPS JOUFSOBUJPOBM PSHBOJ[BUJPOT TVDI BT FNCBTTZ BOE OPX FOIBODF UP PUIFS NPWJOH TFSWJDFT TVDI BT PGÅ³DF BOE FYIJCJUJPO DVTUPNFST

/ 2016

Record and Information Management Service 5IF (SPVQ QSPWJEFT B DPNQSFIFOTJWF SBOHF PG EPDVNFOU EBUB TUPSBHF BOE NBOBHFNFOU TFSWJDFT VOEFS UIF PQFSBUJPO PG %BUB4BGF $PNQBOZ -JNJUFE XIPTF NBJO TPVSDFT PG SFWFOVF DPNF GSPN EPDVNFOU TUPSBHF JO UIF GPSN PG JOEJWJEVBM CPYFT Å³MFT BOE DMPVE XIJDI JT B OFXMZ JOUSPEVDFE TFSWJDF GSPN NBOBHJOH BO JOEJWJEVBM EPDVNFOU CPY BO JOEJWJEVBM EPDVNFOU Å³MF BOE UIF MBTUFTU NJTTJPO EBUBTBGF PO DMPVE TFSWJDF BOE EBUB IBOEMJOH TFSWJDFT DPWFSJOH FMFDUSPOJDT NFEJB TUPSBHF EPDVNFOU TDBOOJOH QBDLJOH BOE Å³MMJOH EPDVNFOU EFTUSVDUJPO EPDVNFOU EFMJWFSZ GPS JOTUBODF BOE PO TJUF TUPSBHF TFSWJDF CZ B UFBN PG TQFDJBMJTUT

Nature of Customers and Target Customs 5BSHFU DVTUPNFST GPS UIF $PNQBOZÄ´T EPDVNFOU EBUB TUPSBHF BOE NBOBHFNFOU TFSWJDFT BSF PSHBOJ[BUJPOT XPSLJOH XJUI B MBSHF OVNCFS PG EPDVNFOUT BOE EBUB TPVSDFT UIBU OFFE UP CF TFDVSFMZ NBOBHFE BOE TUPSFE 5IFTF JODMVEF BVEJU Å³SNT CBOLT BOE JOTVSBODF DPNQBOJFT JO QBSUJDVMBS

Competitive Situation 5PEBZÄ´T EPDVNFOU EBUB TUPSBHF BOE NBOBHFNFOU TFSWJDF JOEVTUSZ JT OPU IJHIMZ DPNQFUJUJWF BT UIFSF JT B SFMBUJWFMZ TNBMM OVNCFS PG TFSWJDF QSPWJEFST JO UIF NBSLFU 5IF $PNQBOZÄ´T EJSFDU DPNQFUJUPST JODMVEF 3FDBMM &OUFSQSJTF 5IBJMBOE $PNQBOZ -JNJUFE ,SVOHEIFQ %PDVNFOU $PNQBOZ -JNJUFE BOE 4VC 4SJ 5IBJ 1VCMJD $PNQBOZ -JNJUFE

Other Services Office and Warehouse Rentals 5IF (SPVQ IBT PGÅ³DFT BOE XBSFIPVTFT GPS SFOU VOEFS UIF PQFSBUJPO PG #FOKBQPSO -BOE $PNQBOZ -JNJUFE #+- BOE +8% 1BDJÅ³D -BOE $PNQBOZ -JNJUFE +1-"/% .PTU PG #+-Ä´T SFUBM DVTUPNFST BSF JOUFSOBM DVTUPNFST JODMVEJOH UIF $PNQBOZ BOE JUT TVCTJEJBSJFT -BOET PGÅ³DFT BOE XBSFIPVTFT PXOFE CZ #+- BSF MPDBUFE PO ,SVOHUIFQ ,SFFUIB 3PBE BOE 4BNXB 3PBE JO #BOHLPL 4VXJOUBXPOH 3PBE JO $IBDIPFOHTBP BOE XJUIJO -BFN ! # ! +1-"/% PGGFST GPS SFOU MBOET PGÅ³DFT BOE XBSFIPVTFT XIJDI BSF NPTUMZ MPDBUFE PO #BOHOB 5SBE 3PBE JO 4BNVUQSBLBSO

IT Solutions for Supply Chain Management. 5IF (SPVQ QSPWJEFT TPGUXBSF EFWFMPQNFOU GPS EJWFSTF BSFBT PG MPHJTUJDT UP JOUFSOBM BOE FYUFSOBM DVTUPNFST VOEFS UIF PQFSBUJPO PG %ZOBNJD *5 4PMVUJPOT $PNQBOZ -JNJUFE %*54 4ZTUFNT BOE TPMVUJPOT UBJMPSFE UP UIF OFFET PG UIF (SPVQ BOE FYUFSOBM DVTUPNFST BOE TVDDFTTGVMMZ HFOFSBUJOH SFWFOVF GPS %*54 JODMVEF 8.4 $$.4 5.4 BOE ":.4

/ 2016

The Companyâ&#x20AC;&#x2122;s Competition and Service Policies )& 3061<4 $0.1&5*5*7& 453"5&(*&4 "3& "4 '0--084

Integrated Logistics Service Provider

5IF $PNQBOZ JT DPNNJUUFE UP FOIBODJOH UIF QPUFOUJBM PG UIF FOUJSF (SPVQ PG $PNQBOJFT UP CFDPNF BO JOUFHSBUFE MPHJTUJDT TFSWJDF QSPWJEFS JO "TJB DPWFSJOH EJWFSTF Å³FMET GSPN XBSFIPVTJOH BOE TUPSBHF TFSWJDFT GPS HFOFSBM HPPET EBOHFSPVT HPPET BVUPNPUJWF UFNQFSBUVSF DPOUSPMMFE HPPET GSP[FO BOE SFGSJHFSBUFE QSPEVDUT UP EPDVNFOU EBUB TUPSBHF BOE NBOBHFNFOU TFSWJDFT .PSFPWFS UIF (SPVQ TQFDJBMJ[FT JO XBSFIPVTF MPHJTUJDT NBOBHFNFOU BT XFMM BT IBOEMJOH PG B WBSJFUZ PG HPPET UP FOTVSF HSFBUFS DPOWFOJFODF JNQSPWF UIF FGÅ³DJFODZ PG HPPET NBOBHFNFOU BOE IFMQ UIF (SPVQÄ´T DVTUPNFST UP SFEVDF UIFJS XBSFIPVTJOH DPTUT

The Use of Advanced Management Technology

5IF DPNQBOZ CFMJFWFT UIBU UIF FGÅ³DJFODZ PG HPPET NBOBHFNFOU QMBZT B DSVDJBM SPMF JO EFUFSNJOJOH UIF TVDDFTT PG B MPHJTUJDT CVTJOFTT 'PS UIBU SFBTPO UIF $PNQBOZ IBT BEPQUFE TUBUF PG UIF BSU JOGPSNBUJPO UFDIOPMPHZ UP BTTJTU JO NBOBHJOH UIF (SPVQÄ´T XBSFIPVTJOH BOE USBOTQPSUBUJPO TFSWJDFT BT XFMM BT EBUB TUPSBHF BDUJWJUJFT 5IJT IFMQT BDDFMFSBUF TFSWJDF EFMJWFSZ SFEVDF FSSPST JO UIF NBOBHFNFOU QSPDFTT XJUIJO XBSFIPVTFT BOE USBOTQPSUBUJPO BDUJWJUJFT TJNQMJGZ PQFSBUJPOT MPXFS DPTUT PG HPPET NBOBHFNFOU BOE CSJOH EPXO EFQFOEFODF PO IVNBO MBCPVS UIVT NBYJNJ[JOH DVTUPNFS TBUJTGBDUJPO

Advantageous Locations

4USBUFHJD MPDBUJPO JT BMXBZT PO UIF MJTU PG UIF $PNQBOZÄ´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Ä´T UPUBM XBSFIPVTJOH TQBDF JT MPDBUFE XJUIJO UIF -BFN $IBCBOH 1PSU XIJDI JT GVMMZ FRVJQQFE XJUI TUBUF PG UIF BSU JOGSBTUSVDUVSF BOE GBDJMJUJFT JO DPNQMJBODF XJUI JOUFSOBUJPOBM TUBOEBSET *U DBO BDDPNNPEBUF QPTU 1BOBNBY TIJQT BOE JT UIF CVTJFTU QPSU JO 5IBJMBOE *O UIF -BFN $IBCBOH 1PSU IBOEMFE BT NVDI BT NJMMJPO 5&6 XIJDI SFQSFTFOUT PG BMM JOCPVOE BOE PVUCPVOE TIJQNFOUT UP GSPN 5IBJMBOE JO 4PVSDF 5IF 1PSU "VUIPSJUZ PG 5IBJMBOE

#BOHOB 5SBE 3PBE ,. 4BNVUQSBLBSO 1SPWJODF

4VXJOUBXPOH 3PBE $IBDIPFOHTBP 1SPWJODF

4BNXB 3PBE #BOHLPL

"CPVU PG UIF $PNQBOZÄ´T UPUBM XBSFIPVTJOH TQBDF JT MPDBUFE PO 4VXJOUBXPOH 3PBE UIBU JT CFTU GPS EPDVNFOU TUPSBHF BOE XBSFIPVTJOH UFNQFSBUVSF DPOUSPMMFE HPPET GSP[FO BOE SFGSJHFSBUFE QSPEVDUT $VSSFOUMZ UIFSF JT OP UFNQFSBUVSF DPOUSPMMFE XBSFIPVTF GPS GSP[FO BOE SFGSJHFSBUFE QSPEVDUT UP TFSWF FYUFSOBM DVTUPNFST JO UIJT BSFB 5IF $PNQBOZ JT UIF Å³STU MPHJTUJDT QSPWJEFS UP PGGFS XBSFIPVTJOH TFSWJDFT GPS UFNQFSBUVSF DPOUSPMMFE HPPET GSP[FO BOE SFGSJHFSBUFE QSPEVDUT JO UIF 4VXJOUBXPOH BSFB

,SVOHUIFQ ,SFFUIB 3PBE #BOHLPL

"CPVU PG UIF $PNQBOZÄ´T UPUBM XBSFIPVTJOH TQBDF JT MPDBUFE PO ,SVOHUIFQ ,SFFUIB 3PBE *U JT NPTUMZ VTFE GPS XBSFIPVTJOH HPPET JOUFOEFE UP CF SFMPDBUFE FTQFDJBMMZ GPS DVTUPNFST XIP OFFET EPNFTUJD BOE JOUFSOBUJPOBM NPWJOH TFSWJDFT 5IF SPBE JT OPU GBS GSPN UIF 4VWBSOBCIV NJ "JSQPSU BOE 5IBJMBOEÄ´T NBJO QPSUT NBLJOH JU DPOWFOJFOU DSPTT CPSEFS USBOTQPSUBUJPO

"CPVU PG UIF $PNQBOZÄ´T UPUBM XBSFIPVTJOH TQBDF JT TJUVBUFE PO #BOHOB 5SBE 3PBE ,. 4BNVUQSBLBSO 1SPWJODF OFBS JUT DVTUPNFSTÄ´ DBS BTTFNCMZ QMBOUT .PTU PG UIF TQBDF JT VTFE BT BVUPNPUJWF ZBSE BOE GPS TUPSBHF PG UFNQFSBUVSF DPOUSPMMFE HPPET GSP[FO BOE SFGSJHFSBUFE QSPEVDUT *U DPOOFDUT UP SPBE OFUXPSLT BOE QVCMJD JOGSBTUSVDUVSF BOE JT OPU GBS GSPN LFZ EJTUSJCVUJPO DFOUFST OBNFMZ JOEVTUSJBM FTUBUFT QPSUT BOE UIF 4VWBSOBCIVNJ "JSQPSU "CPVU PG UIF $PNQBOZÄ´T UPUBM XBSFIPVTJOH TQBDF JT MPDBUFE PO 4BNXB 3PBE OFBS #BOH $IBO *OEVTUSJBM &TUBUF BOE &BTU 0VUFS 3JOH 3PBE 5IF XBSFIPVTF SFOUT GBDJMJUZ PO B EBJMZ CBTJT UIBU JT CFTU GPS HPPET JOUFOEFE UP CF EFMJWFSFE UP JOOFS #BOHLPL

.BIBDIBJ 4BNVU 4BLIPO 1SPWJODF

"SPVOE PG UIF $PNQBOZÄ´T UPUBM XBSFIPVTJOH TQBDF JT MPDBUFE JO .BIBDIBJ BSFB OFBS LFZ GBDJMJUJFT PGGFSJOH UFNQFSBUVSF DPOUSPMMFE TUPSBHF GPS GSP[FO BOE SFGSJHFSBUFE HPPET OBNFMZ Å³TIJOH CPBUT BOE GPPE QSPDFTTJOH QMBOUT XIJDI UIF $PNQBOZÄ´T LFZ DVTUPNFST

Order Fulfillment Center

5IF $PNQBOZÄ´T DPNQSFIFOTJWF SBOHF PG TFSWJDFT IFMQT TJNQMJGZ DPNQMFY XPSL QSPDFTT BOE JNQSPWF UIF FGÅ³DJFODZ JO MPHJTUJDT DPTU NBOBHFNFOU PO UIF DVTUPNFS TJEF 5IF DPNQBOZ MPPLT BGUFS HPPET EVSJOH UIF UJNF UIFZ BSF CFJOH TUPSFE JO UIF $PNQBOZÄ´T XBSFIPVTFT GSPN UIF EFMJWFSZ PG HPPET QBDLBHJOH IBOEMJOH TPSUJOH BOE POMJOF TUPSBHF PG HPPET EBUB 5IFSFGPSF VTFST PG UIF $PNQBOZÄ´T XBSFIPVTJOH TFSWJDFT BSF SFTQPOTJCMF POMZ GPS CJMMJOH 5IJT FOBCMF UIF $PNQBOZÄ´T XBSFIPVTJOH DVTUPNFST TJHOJÅ³DBOUMZ SFEVDF XPSLMPBE JO HPPET NBOBHFNFOU "EEJUJPOBMMZ PQUJPOBM TFSWJDFT MJLF TPSUJOH BDDPSEJOH UP TQFDJÅ³DBUJPOT TFU CZ DVTUPNFST BOE DPOTVNFST BOE SF QBDLBHJOH NBZ BEE WBMVF UP QSPEVDUT PG UIF $PNQBOZÄ´T " ! !

Service Quality Standards

5IF (SPVQ JT DPNNJUUFE UP UBLJOH TFSWJDF RVBMJUZ UP UIF OFYU MFWFM UP FOTVSF NBYJNVN DVTUPNFS TBUJTGBDUJPO BOE BMTP JODSFBTF DPNQFUJUJWF BEWBOUBHF 5IJT IBT FOBCMFE UIF (SPVQ UP CF DFSUJÅ³FE CZ JOUFSOBUJPOBM TUBOEBSE PSHBOJ[BUJPOT BOE XJO BXBSET GSPN HPWFSONFOU BOE QSJWBUF JOTUJUVUJPOT

IURP 0$6&, 0DQDJHPHQW 6\VWHP &HUWLILFDWLRQ ,QVWLWXWH 7KDLODQG

%HVW 3HUIRUPDQFH $FKLHYHPHQW !0$ /%0!1).- !-$ !-!'%,%-1 IURP 1LVVDQ 0RWRU 7KDLODQG &R /WG ([SRUW /RJLVWLFV 0RGHO $ZDUG (/0$ &0., 1(% %/!01,%-1 .& 4/.01 0.,.1).- '(3 0LQLVWU\ RI &RPPHUFH

&0., 0.2/ (!)+!-$ . 1$ &0., -1%01%#( 0.2/

&0., 0.2/ (!)+!-$ . 1$

&RQWUDFWRU (+ 6 3HUIRUPDQFH &0.,

),', $FFUHGLWHG ,QWHUQDWLRQDO 0RYH 6WDQGDUG )$,0 IURP ),',

1.#* ##20!#5 3!0$ IURP 'DPFR /RJLVWLFV 7KDLODQG &R /WG &0., 0.2/ (!)+!-$ . 1$

([SRUW /RJLVWLFV 0RGHO $ZDUG (/0$ &0., 1(% %/!01,%-1 .& 4/.01 3URPRWLRQ '(3 0LQLVWU\ RI &RPPHUFH 3ULPH 0LQLVWHU V ([SRUW $ZDUG 30 &0., 1(% %/!01,%-1 .& 4/.01 3URPRWLRQ '(3 0LQLVWU\ RI &RPPHUFH &0., 0.2/ (!)+!-$ . 1$ &0., 0.2/ (!)+!-$ . 1$

1.#* ##20!#5 3!0$ IURP 'DPFR /RJLVWLFV 7KDLODQG &R /WG

!/!")+)15 !120)15 .$%+ ,QWHJUDWLRQ &00, /HYHO 7,&7$ $ZDUGV IURP WKH 6RIWZDUH ,QGXVWU\ 3URPRWLRQ '%-#5 2"+)# 0'!-)6!1).- DQG 7KH $VVRFLDWLRQ RI 7KDL ,&7 ,QGXVWU\ $7&,

&HUWLILFDWH RI 0HPEHUVKLS &XVWRP 7UDGH 3DUWQHUVKLS $JDLQVW 7HUURULVP & 73$7

&0., 0.2/ (!)+!-$ . 1$ &0., -1%01%#( 0.2/

%XVLQHVV PDQDJHPHQW XSJUDGH LQ DFFRUGDQFH ZLWK ORJLVWLFV VHUYLFH TXDOLW\ VWDQGDUGV VSHFLILHG

8QGHU WKH 3URMHFW IRU WKH ,PSURYHPHQW RI 4XDOLW\ 6WDQGDUGV DQG %XVLQHVV 1HWZRUNLQJ LQ WKH /RJLVWLFV 6HUYLFH ,QGXVWU\ ZKLFK ZDV LQLWLDWHG E\ WKH %/!01,%-1 RI %XVLQHVV 'HYHORSPHQW 0LQLVWU\ RI .,,%0#%

Partnership with Freight Forwarding Companies

&0., -1%01%#( 0.2/

(!)+!-$ 4#%++%-#% 3!0$ Â&#x160;Â´Â&#x192; )URVW 6XOOLYDQ (!)+!-$ 4#%++%-#% 3!0$ Â&#x160;Â´Â&#x192; )URVW 6XOOLYDQ 7KDLODQG (QHUJ\ $ZDUGV IURP 'HSDUWPHQW RI $OWHUQDWLYH (QHUJ\ 'HYHORSPHQW DQG (IILFLHQF\ 0LQLVWU\ RI (QHUJ\ 1!-$!0$)6%$ !-)1!1).- %01)&)#!1% .& WHPSHUDWXUH FRQWUROOHG ZDUHKRXVLQJ IURP 'HSDUWPHQW RI )LVKHULHV 0LQLVWU\ RI $JULFXOWXUH DQG &RRSHUDWLYHV VWDUV FHUWLILFDWH RI WHPSHUDWXUH FRQWUROOHG ZDUHKRXVH IURP 'HSDUWPHQW .& -1%0-!+ 0!$% .& (!)+!-$ *UHHQ ,QGXVWU\ /HYHO IURP 0LQLVWU\ RI ,QGXVWU\

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

/ 2016

ADMINISTRATION AND CORPORATE GOVERNANCE

/ 2016

Information of Securities and Shareholders Amount of Authorized Share Capital and Paid-Up Share Capital 65)03*;&% )"3& "1*5"- "/% 446&% "/% "*% 1 )"3& "1*5""T PG %FDFNCFS UIF $PNQBOZ IBE BO BNPVOU PG BVUIPSJ[FE TIBSF DBQJUBM BU UIF WBMVF PG #BIU BOE BO BNPVOU PG QBJE VQ TIBSF DBQJUBM BU UIF WBMVF PG #BIU XJUI B QBS WBMVF PG #BUI DPNQSJTJOH PG DPNNPO TIBSFT *.*5"5*0/ 0/ 5)& 1&3$&/5"(& 0' 4)"3&4 )&-% #: '03&*(/ 4)"3&)0-%&34 .BYJNVN GPSFJHO TIBSFIPMEJOH PG UIF $PNQBOZÄ´T TIBSFT JT SFTUSJDUFE UP PG UIF OVNCFS PG TIBSFT JTTVFE BOE QBJE VQ "T PG %FDFNCFS UIF GPSFJHO TIBSFIPMEJOH SBUJP JO UIF $PNQBOZ XBT "+03 )"3&)0-%&34< (3&&.&/5 3&("3%*/( 5)& .1"$5 0/ 446"/$& "/% ''&3*/( 0' )"3&4 03 5)& 0.1"/:<4 %.*/*453"5*0/ */ 8)*$) 5)& 0.1"/:<4 04*(/*/( )"4 #&&/ */$-6%&% /POF

Shareholders $/, $67 (168 #/(8,/63+,89 6- ' 5-6 6.090:*9 !;)30* 647(5? 040:,+ (9 (: :/, 3(:,9: 662 36905. (:, 65 (8*/ !,%5),30()5 -67

81&)5 3* !,%5)6

534357-32 3* !,%5),30(-2+

5 ,%59%2-2 82(-7/-76%(% 56 ,-1307,-4 82(-7/-76%(% 5 -7',%- -1-74%2;% 56 ',%5% -1-74%2;% 6 15%4,%52 82(-7/-76%(% 6 %2%(% 82(-7/-76%(% 6 5%:%2 $35%2-. 6 !%3:%2)) 4-:%234%7 ! # ! " 6 ,)245%4,% 8%11%-75))

Issuance of Other Securities -None-

Dividend Policy

5IF $PNQBOZ IBT FTUBCMJTIFE B EJWJEFOE QPMJDZ GPS TIBSFIPMEFST BU B SBUF PG OPU MPXFS UIBO PG OFU QSPÅ³U GSPN UIF $PNQBOZÄ´T TFQBSBUF Å³OBODJBM TUBUFNFOUT BGUFS UIF EFEVDUJPO PG DPSQPSBUF JODPNF UBY BOE MFHBM SFTFSWF SFRVJSFNFOUT )PXFWFS UIF $PNQBOZ NBZ DPOTJEFS QBZJOH UIF EJWJEFOE EJGGFSFOUMZ GSPN UIBU TQFDJÅ³FE JO UIF QPMJDZ VOEFS UIF DPOEJUJPOT UIBU TVDI BDUJPO TIBMM QSPEVDF UIF IJHIFTU SFUVSOT GPS UIF TIBSFIPMEFST PG UIF $PNQBOZ XIJMF JODSFBTJOH CVTJOFTT QSPÅ³UT FOIBODJOH Å³OBODJBM TUBCJMJUZ BOE MJRVJEJUZ BOE TVQQPSUJOH OFDFTTBSZ TQFOEJOH GPS CVTJOFTT PQFSBUJPOT BOE FYQBOTJPO JO BMM FDPOPNJD DPOEJUJPOT 5IF TVCTJEJBSZ DPNQBOJFT IBWF FTUBCMJTIFE B EJWJEFOE QPMJDZ GPS TIBSFIPMEFST BU B SBUF PG OPU MPXFS UIBO PG OFU QSPÅ³U GSPN UIF TVCTJEJBSZ DPNQBOJFTÄ´ TFQBSBUF Å³OBODJBM TUBUFNFOUT BGUFS UIF EFEVDUJPO PG DPSQPSBUF JODPNF UBY BOE MFHBM SFTFSWF SFRVJSFNFOUT )PXFWFS UIF $PNQBOZ NBZ DPOTJEFS QBZJOH UIF EJWJEFOE EJGGFSFOUMZ GSPN UIBU TQFDJÅ³FE JO UIF QPMJDZ VOEFS UIF DPOEJUJPOT UIBU TVDI BDUJPO TIBMM QSPEVDF UIF IJHIFTU SFUVSOT GPS UIF TIBSFIPMEFST PG UIF $PNQBOZ XIJMF JODSFBTJOH CVTJOFTT QSPÅ³UT FOIBODJOH Å³OBODJBM TUBCJMJUZ BOE MJRVJEJUZ BOE TVQQPSUJOH OFDFTTBSZ TQFOEJOH GPS CVTJOFTT PQFSBUJPOT BOE FYQBOTJPO JO BMM FDPOPNJD DPOEJUJPOT

,:(039 6- :/, 647(5?@9 0<0+,5+ !(?4,5: -68 :/, 7(9: -0<, 67,8(:05. ?,(89 ( !' $ * # +" #(

( %&$ ( $# % & ( # # ! ( ( " #( !! $# ( )" & $ ' & ' !! $# & '

* # % & ' & ( % & ' & $( ! * # % !! $# (

+$)( & ( $

3FNBSLT /VNCFS PG 4IBSFT SFQPSUFE BT PG TU %FDFNCFS FBDI ZFBS %JWJEFOE QBZNFOU QFS TIBSF DBMDVMBUFE PO TIBSFT OVNCFS BT PG TU %FDFNCFS FBDI ZFBS "WFSBHF SBUF BQQMJFE PO UIF ZFBS UIBU IBT JOUFSJN EJWJEFOE QBZNFOU %VSJOH JOUFSJN EJWJEFOE QBZNFOU PO QFSGPSNBODF PG +BOVBSZ Ä± "VHVTU QBJE BU #BIU QFS TIBSF PS JO BNPVOU PG #BIU NJMMJPO *O BEEJUJPO "OOVBM (FOFSBM .FFUJOH PG 4IBSFIPMEFST "(. :FBS IBT BQQSPWFE TUPDL EJWJEFOE QBZNFOU PO PSEJOBSZ TIBSFT JO UIF SBUJP PG DVSSFOU TIBSFT UP EJWJEFOE TIBSFT XIJDI DBO CF DPOWFSUFE UP #BIU QFS TIBSF QMVT DBTI EJWJEFOE QBZNFOU BU UIF SBUF PG #BIU QFS TIBSF UPUBMJOH EJWJEFOE QBZNFOU #BIU QFS TIBSF PS BQQSPYJNBUFMZ #BIU NJMMJPO 5P CF QSFTFOUFE UP "OOVBM (FOFSBM .FFUJOH PG 4IBSFIPMEFST "(. :FBS GPS BO BQQSPWBM

Organizational Structure The Companyâ&#x20AC;&#x2122;s Administrative Structure 5IF 0SHBOJ[BUJPO $IBSU PG +8% *OGP-PHJTUJDT 1VCMJD $PNQBOZ -JNJUFE

# $$

' %$ & "

$ " $"

!%$( ' %$ & "

" " # $ %# ## & ! $ " %!

" # $ %# ## & ! $ ! " $

"T PG TU %FDFNCFS

" " # $ % # %" #$" $

" " # $ ! " $ " # $ "! " $ $" ( ## #$ $ " # $ "! " $ % $ #

" # $ #$" $

" # $ % $

$ " %# # & # "

/ 2016

Board of Directors

Mr. Mangkorn Dhanasarnsilp

/(084(5 5+,7,5+,5: 08,*:68 ;+0: 6440::,,

Mr. Charvanin Bunditkitsada

08,*:68

Ms. Amrapharn Bunditkitsada

08,*:68

Mr. Jitchai Nimitpanya

08,*:68

Mrs. Achara Nimitpanya

08,*:68

Ms. Orawan Voranij 1

Mr. Vichate Tantiwanich

08,*:68

5+,7,5+,5: 08,*:68 /(084(5 6- ;+0: 6440::,,

Mr. Tanate Piriyothinkul

08,*:68

Mr. Vichaya Chatikavanij

5+,7,5+,5: 08,*:68 ;+0: 6440::,,

.T 0SBXBO 7PSBOJK IBT SFTJHOFE GSPN UIF DPNQBOZÄ´T #PBSE PG %JSFDUPST BDDPSEJOH UP UIF SFTPMVUJPO BQQSPWFE CZ UIF #PBSE PG %JSFDUPSTÄ´ NFFUJOH PO "VHVTU

/ 2016

Executive Committee

Mr. Charvanin Bunditkitsada

/(084(5 6- >,*;:0<, 6440::,, /0,- >,*;:0<, --0*,8

Mr. Jitchai Nimitpanya

>,*;:0<, 6440::,, ,7;:? /0,- >,*;:0<, --0*,8

Mr. Tanate Piriyothinkul

>,*;:0<, 6440::,, #&! ;905,99 ,<,3674,5:

Mr. Wichu Sangkorntanakij

>,*;:0<, 6440::,, &! 7,8(:0659

Mrs. Achara Nimitpanya

Mr. Eakapong Tungsrisanguan

>,*;:0<, 6440::,, (5(.05. 08,*:68 6- 63+ /(05 ;905,99

Mr. Nattapume Pavaratn

>,*;:0<, 6440::,, &! 68768(:, #:8(:,.?

>,*;:0<, 6440::,, /0,- 05(5*0(3 --0*,8

/ 2016

Mr. Mangkorn Dhanasarnsilp ?,(89 /(084(5 5+,7,5+,5: 08,*:68 ;+0: 6440::,,

Education / Seminar / Training programs attended

Ä» ." JO *OEVTUSJBM &OHJOFFSJOH -BNBS 6OJWFSTJUZ 5FYBT 64" Ä» .#" /PSUI 5FYBT 4UBUF 6OJWFSTJUZ 64"

Ä» #& JO *OEVTUSJBM &OHJOFFSJOH $IVMBMPOHLPSO 6OJWFSTJUZ Ä» "EWBODF "VEJU $PNNJUUFF 1SPHSBN ""$1 UI

Ä» UI (PWFSONFOU 1SJWBUF 4FDUPS +PJOU 5SBJOJOH 1SPHSBN 5IBJMBOE /BUJPOBM %FGFOTF $PMMFHF Ä» UI "EWBODFE $FSUJÅ³DBUF $PVSTF JO 1VCMJD &DPOPNJDT .BOBHFNFOU GPS &YFDVUJWFT ,JOH 1SBKBEIJQPLÄ´T *OTUJUVUF Ä» UI $FSUJÅ³DBUF $PVSTF JO .BOBHFNFOU GPS &YFDVUJWFT 5IBJMBOE $BQJUBM .BSLFU "DBEFNZ Ä» TU 6SCBO %FWFMPQNFOU 1SPHSBN GPS &YFDVUJWFT 6SCBO (SFFO %FWFMPQNFOU *OTUJUVUF #BOHLPL

Work Experience

Ä» #VTJOFTT $POTVMUBOU -JPO 5IBJMBOE $P -UE Ä» #PBSE PG %JSFDUPST 5PZP 4FJLBO 5IBJMBOE $P -UE Ä» #PBSE PG %JSFDUPST .PMUFO 5IBJMBOE $P -UE Ä» #PBSE PG %JSFDUPST .PMUFO "TJB 1PMZNFS 1SPEVDUT $P -UE Ä» #PBSE PG %JSFDUPST 5IBJ LPCBTIJ $P -UE Ä» #PBSE PG %JSFDUPST 5IBJ $VCJD 5FDIOPMPHZ $P -UE Ä» #PBSE PG %JSFDUPST $IPLUIBOBTJO $P -UE Ä» $IBJSNBO 5IBJ 4JMJDBUF $IFNJDBM $P -UE Ä» #PBSE PG %JSFDUPST -JLJUPNJ 5IBJMBOE $P -UE Ä» $IBJSNBO &BTUFSO 4JMJDBUF $P -UE Ä» #PBSE PG %JSFDUPST 4PNCBUUIBOB $P -UE Ä» SE /BUJPOBM &DPOPNJD BOE 4PDJBM "EWJTPSZ $PVODJM /&4"$ Ä» 7JDF $IBJSNBO PG UIF 'FEFSBUJPO 0G 5IBJ *OEVTUSJFT Ä» $IBJSNBO PG 5IBJ 3VTTJB #VTJOFTT $PVODJM Ä» "EWJTPS &NQMPZFSTÄ´ $POGFEFSBUJPO PG 5IBJ 5SBEF BOE *OEVTUSZ

Shareholding as of 30 December 2016

Board directorship at other listed companies

/POF

Date of appointment as Board Director

'FCSVBSZ

Mr. Charvanin Bunditkitsada

?,(89 08,*:68 /(084(5 6- >,*;:0<, 6440::,, /0,- >,*;:0<, 6440::,,

Education / Seminar / Training programs attended

Ä» .4 JO &OHJOFFSJOH BOE 5FDIOPMPHZ .BOBHFNFOU (FPSHF 8BTIJOHUPO 6OJWFSTJUZ 64"

Ä» #4 JO $PNQVUFS BOE /FUXPSL &OHJOFFSJOH "TTVNQUJPO 6OJWFSTJUZ Ä» %$1 %JSFDUPST $FSUJÅ³DBUJPO 1SPHSBN UI

Ä» $&%* #BCTPO &OUSFQSFOFVSJBM -FBEFSTIJQ 1SPHSBN #BCTPO $PMMFHF .BTTBDIVTFUU 64"

Ä» UI $FSUJÅ³DBUF $PVSTF JO 5IBJMBOE BOE "&$ ,JOH 1SBKBEIJQPLÄ´T *OTUJUVUF Ä» UI "EWBODFE $FSUJÅ³DBUF $PVSTF JO 1VCMJD &DPOPNJDT .BOBHFNFOU GPS &YFDVUJWFT ,JOH 1SBKBEIJQPLÄ´T *OTUJUVUF Ä» UI $FSUJÅ³DBUF $PVTF JO .BOBHFNFOU GPS &YFDVUJWF 5IBJMBOE $BQJUBM .BSLFU "DBEFNZ Ä» 'VUVSF &OUSFQSFOFVST 'PSVN '&' $SFBUJWF &OUSFQSFOFVSTIJQ %FWFMPQNFOU *OTUJUVUF $&%* #BOHLPL VOJWFSTJUZ Ä» /FX 4USBUFHZ PG 5SBOTQPSU 4VQQMZ $IBJO .BOBHFNFOU 5IF $IBSUFSFE *OTUJUVUF PG -PHJTUJDT BOE 5SBOTQPSU #BOHLPL 5IBJMBOE Ä» $FSUJÅ³DBUF JO -PHJTUJDT 4USBUFHZ BOE .BOBHFNFOU $IVMBMPOHLPSO 6OJWFSTJUZ #BOHLPL 5IBJMBOE Ä» 6MUSB 8FBMUI 68 &DPOPNJD BTTPDJBUJPO $IVMBMPOHLPSO 6OJWFSTJUZ #BOHLPL 5IBJMBOE %VSJOH 5SBJOJOH

Work Experience

' .FNCFS PG UIF #PBSE PG %JSFDUPST BU "VUP-PHJDT $P -UE Ä» .FNCFS PG UIF #PBSE PG %JSFDUPST BU #FOKBCIPSO -BOE $P -UE Ä» .FNCFS PG UIF #PBSE PG %JSFDUPST BU %BUB4BGF $P -UE Ä» .FNCFS PG UIF #PBSE PG %JSFDUPST BU %ZOBNJD *5 4PMVUJPOT $P -UE Ä» .FNCFS PG UIF #PBSE PG %JSFDUPST BU +7, *OUFSOBUJPOBM .PWFST $P -UE Ä» .FNCFS PG UIF #PBSE PG %JSFDUPST BU +8% 5SBOTQPSU 5IBJMBOE $P -UE Ä» .FNCFS PG UIF #PBSE PG %JSFDUPST BU +8% "TJB $P -UE Ä» .FNCFS PG UIF #PBSE PG %JSFDUPST BU +8% 1BDJÅ³D 1BDJÅ³D -BOE $P -UE Ä» .FNCFS PG UIF #PBSE PG %JSFDUPST BU

Shareholding as of 30 December 2016

Board directorship at other listed companies

/POF

Date of appointment as Board Director

'FCSVBSZ

+1, $PME 4UPSBHF $P -UE Ä» .FNCFS PG UIF #PBSE PG %JSFDUPST BU +7, *OUFSOBUJPOBM .PWFST 64" $P -UE Ä» .FNCFS PG UIF #PBSE PG %JSFDUPST BU +7, *OEPDIJOB .PWFST $P -UE Ä» .FNCFS PG UIF #PBSE PG %JSFDUPST BU +8% "TJB )PMEJOH 4JOHBQPSF 1UF -UE Ä» .FNCFS PG UIF #PBSE PG %JSFDUPST BU +$. -PHJTUJDT BOE 8BSFIPVTJOH 4JOHBQPSF 1UF -UE Ä» .FNCFS PG UIF #PBSE PG %JSFDUPST BU &. -PHJTUJDT 8BSFIPVTJOH 4JOHBQPSF 1UF -UE Ä» .FNCFS PG UIF #PBSE PG %JSFDUPST BU +8% "TJB -PHJTUJDT $BNCPEJB $P -UE Ä» .FNCFS PG UIF #PBSE PG %JSFDUPST BU +8% 1BDJÅ³D $P -UE

/ 2016

Ms. Amrapharn Bunditkitsada

?,(89 08,*:68 #&! ;4(5 ",96;8*,9

Education / Seminar / Training programs attended

Ä» ." JO &OUSFQSFOFVSTIJQ .BOBHFNFOU .BIJEPM 6OJWFSTJUZ *OUFSOBUJPOBM $PMMFHF Ä» ##" 'JOBODF BOE #BOLJOH "TTVNQUJPO 6OJWFSTJUZ Ä» %$1 %JSFDUPST $FSUJÅ³DBUJPO 1SPHSBN UI

' 4NBSU %JTDMPTVSF 1SPHSBN 4%1

Work Experience

Ä» .FNCFS PG UIF #PBSE PG %JSFDUPST BU "VUP-PHJD $P -UE Ä» .FNCFS PG UIF #PBSE PG %JSFDUPST BU #FOKBCIPSO -BOE $P -UE Ä» .FNCFS PG UIF #PBSE PG %JSFDUPST BU %BUB4BGF $P -UE Ä» .FNCFS PG UIF #PBSE PG %JSFDUPST BU %ZOBNJD *5 4PMVUJPOT $P -UE Ä» .FNCFS PG UIF #PBSE PG %JSFDUPST BU +7, *OUFSOBUJPOBM .PWFST $P -UE Ä» .FNCFS PG UIF #PBSE PG %JSFDUPST BU +8% 5SBOTQPSU 5IBJMBOE $P -UE Ä» .FNCFS PG UIF #PBSE PG %JSFDUPST BU +8% "TJB $P -UE Ä» .FNCFS PG UIF #PBSE PG %JSFDUPST BU +8% 1BDJÅ³D -BOE $P -UE Ä» .FNCFS PG UIF #PBSE PG %JSFDUPST BU +1, $PME 4UPSBHF $P -UE Ä» .FNCFS PG UIF #PBSE PG %JSFDUPST BU +8% 1BDJÅ³D $P -UE

Shareholding as of 30 December 2016

Board directorship at other listed companies

/POF

Date of appointment as Board Director

/PWFNCFS

% " ! "$ / 2015

Mr. Jitchai Nimitpanya ?,(89 08,*:68 ,7;:? /0,- >,*;:0<, --0*,8 /(084(5 6- :/, "092 (5(.,4,5: 6440::,,

Education / Seminar / Training programs attended

Ä» ##" 1SJODF PG 4POHLMB 6OJWFSTJUZ Ä» %$1 %JSFDUPST $FSUJÅ³DBUJPO 1SPHSBN UI

Ä» %"1 %JSFDUPST "DDSFEJUBUJPO 1SPHSBN UI

Ä» UI "EWBODFE $FSUJÅ³DBUF $PVSTF JO 1VCMJD &DPOPNJDT .BOBHFNFOU GPS &YFDVUJWFT ,JOH 1SBKBEIJQPLÄ´T *OTUJUVUF Ä» UI "EWBODFE $FSUJÅ³DBUF $PVSTF JO 1VCMJD "ENJOJTUSBUJPO BOE -BX GPS &YFDVUJWFT ,JOH 1SBKBEIJQPLÄ´T *OTUJUVUF Ä» UI "EWBODFE $FSUJÅ³DBUF $PVSTF JO 1PMJUJDT BOE (PWFSOBODF JO %FNPDSBUJD 4ZTUFNT GPS &YFDVUJWFT ,JOH 1SBKBEIJQPLÄ´T *OTUJUVUF Ä» UI 5SBJOJOH $PVSTF PO "ENJOJTUSBUJWF +VTUJDF GPS &YFDVUJWFT 5IBJMBOE *OTUJUVUF PG +VEHF "ENJOJTUSBUJPO %FWFMPQNFOU

Work Experience

Ä» $IBJSNBO BU 1BDJÅ³D $PME 4UPSBHF $P -UE Ä» %FQVUZ .BOBHJOH %JSFDUPS BU $IPDLTBNVU .BSJOF $P -UE Ä» .FNCFS PG UIF #PBSE PG %JSFDUPST BU +$. -PHJTUJDT BOE 8BSFIPVTJOH 4JOHBQPSF 1UF -UE Ä» .FNCFS PG UIF #PBSE PG %JSFDUPST BU &. -PHJTUJDT 8BSFIPVTJOH 4JOHBQPSF 1UF -UE Ä» .BOBHJOH %JSFDUPS BU 1PXFS 'SFF[F 4FSWJDF $P -UE Ä» .FNCFS PG UIF #PBSE PG %JSFDUPST BU *O QPJOU 7JTJPO $P -UE Ä» .FNCFS PG UIF #PBSE PG %JSFDUPST BU 1BDJÅ³D 'PPE 1SP $P -UE Ä» .FNCFS PG UIF #PBSE PG %JSFDUPST BU +8% 1BDJÅ³D $P -UE Ä» .FNCFS PG UIF #PBSE PG %JSFDUPST BU +1, $PME 4UPSBHF $P -UE Ä» $IBJSNBO BU 1BDJÅ³D -PHJTUJDT 1SP $P -UE Ä» #PBSE PG %JSFDUPST +8% "TJB -PHJTUJDT $BNCPEJB $P -UE Ä» #PBSE PG %JSFDUPST +8% 1BDJÅ³D -BOE $P -UE Ä» #PBSE PG %JSFDUPST +BQBD )PMEJOH $P -UE

Shareholding as of 30 December 2016

Board directorship at other listed companies

/POF

Date of appointment as Board Director

"QSJM

/ 2016

Mrs. Achara Nimitpanya ?,(89 08,*:68 >,*;:0<, 6440::,, (5(.05. 08,*:68 6- 63+ /(05 ;905,99 "092 6440::,,

Education / Seminar / Training programs attended

Ä» .#" $IJBOH .BJ 6OJWFSTJUZ Ä» ##" 1SJODF PG 4POHLMB 6OJWFSTJUZ Ä» %"1 %JSFDUPST "DDSFEJUBUJPO 1SPHSBN UI

Ä» %$1 %JSFDUPST $FSUJÅ³DBUJPO 1SPHSBN UI

Ä» UI "EWBODFE $FSUJÅ³DBUF $PVSTF JO 1VCMJD &DPOPNJDT .BOBHFNFOU GPS &YFDVUJWFT ,JOH 1SBKBEIJQPLÄ´T *OTUJUVUF Ä» UI "EWBODFE $FSUJÅ³DBUF $PVSTF JO 1PMJUJDT BOE (PWFSOBODF JO %FNPDSBUJD 4ZTUFNT GPS &YFDVUJWFT ,JOH 1SBKBEIJQPLÄ´T *OTUJUVUF Ä» UI "EWBODFE 4FDVSJUZ .BOBHFNFOU 1SPHSBN 5IBJMBOE /BUJPOBM %FGFODF

Work Experience

Ä» .FNCFS PG UIF #PBSE PG %JSFDUPST BU 1BDJÅ³D $PME 4UPSBHF $P -UE Ä» %FQVUZ .BOBHJOH %JSFDUPS BU $IPDLTBNVU .BSJOF $P -UE Ä» .FNCFS PG UIF #PBSE PG %JSFDUPST BU 1BDJÅ³D -PHJTUJDT 1SP $P -UE Ä» .FNCFS PG UIF #PBSE PG %JSFDUPST BU *O QPJOU 7JTJPO $P -UE Ä» .FNCFS PG UIF #PBSE PG %JSFDUPST BU 1BDJÅ³D 'PPE 1SP $P -UE Ä» .FNCFS PG UIF #PBSE PG %JSFDUPST BU +8% 1BDJÅ³D $P -UE Ä» .FNCFS PG UIF #PBSE PG %JSFDUPST BU +1, $PME 4UPSBHF $P -UE Ä» #PBSE PG %JSFDUPST +8% 1BDJÅ³D -BOE $P -UE Ä» #PBSE PG %JSFDUPST +BQBD )PMEJOH $P -UE Ä» #PBSE PG %JSFDUPST 1PXFS 'SFF[F 4FSWJDF $P -UE

Shareholding as of 30 December 2016

Board directorship at other listed companies

/POF

Date of appointment as Board Director

"QSJM

Ms. Orawan Voranij ?,(89 08,*:68

Education / Seminar / Training programs attended

Ä» #" JO 1PMJUJDBM 4DJFODF 3BNLIBNIBFOH 6OJWFSTJ Ä» %$1 %JSFDUPS $FSUJÅ³DBUF 1SPHSBN UI

Ä» SE .JOJ .#" .BOBHFNFOU /BUJPOBM *OTUJUVUF PG %FWFMPQNFOU "ENJOJTUSBUJPO /*%"

Work Experience

Ä» .FNCFS PG UIF #PBSE PG %JSFDUPST BU "VUP-PHJDT $P -UE Ä» .FNCFS PG UIF #PBSE PG %JSFDUPST BU +7, *OUFSOBUJPOBM .PWFST 64" $P -UE Ä» .FNCFS PG UIF #PBSE PG %JSFDUPST BU +7, *OEPDIJOB .PWFST 7JFUOBN $P -UE Ä» .FNCFS PG UIF #PBSE PG %JSFDUPST BU +7, /BLB .PWFST $BNCPEJB $P -UE Ä» .FNCFS PG UIF #PBSE PG %JSFDUPST BU +7, *OUFSOBUJPOBM .PWFST $P -UE Ä» .FNCFS PG UIF #PBSE PG %JSFDUPST BU #FOKBCIPSO -BOE $P -UE Ä» .FNCFS PG UIF #PBSE PG %JSFDUPST BU %BUB4BGF $P -UE Ä» .FNCFS PG UIF #PBSE PG %JSFDUPST BU %ZOBNJD *5 4PMVUJPOT $P -UE Ä» .FNCFS PG UIF #PBSE PG %JSFDUPST BU +8% 5SBOTQPSU 5IBJMBOE $P -UE Ä» .FNCFS PG UIF #PBSE PG %JSFDUPST BU 'PVS 8JOE *OEVTUSJBM $P -UE Ä» .FNCFS PG UIF #PBSE PG %JSFDUPST BU 4VQ 1PPO 5IBWFF $P -UE

Shareholding as of 30 December 2016

Board directorship at other listed companies

/POF

Date of appointment as Board Director

"VHVTU BOE IBT SFTJHOFE GSPN UIF $PNQBOZÄ´T #PBSE PG %JSFDUPST PO "VHVTU

/ 2016

Mr. Tanate Piriyothinkul

?,(89 08,*:68 >,*;:0<, 6440::,, #&! ;905,99 ,<,3674,5: "092 6440::,,

Education / Seminar / Training programs attended

Ä» .#" 4BTJO (SBEVBUF *OTUJUVUF PG #VTJOFTT "ENJOJTUSBUJPO PG $IVMBMPOHLPSO 6OJWFSTJUZ Ä» .4 JO &DPOPNJDT BOE 'JOBODF 6OJWFSTJUZ PG 1FOOTZMWBOJB 64"

Ä» ##" "TTVNQUJPO 6OJWFSTJUZ Ä» $FSUJÅ³DBUF PG 4VQQMZ $IBJO .BOBHFNFOU $SBOÅ³FME 6OJWFSTJUZ Ä» $FSUJÅ³DBUF PG .BSJUJNF BOE -PHJTUJDT -PHJTUJDT BOE 5SBOTQPSUBUJPO *OTUJUVUF 6,

Ä» $FSUJÅ³DBUF PG #VTJOFTT "ENJOJTUSBUJPO "TTVNQUJPO $PNNFSDJBM $PMMFHF Ä» %$1 %JSFDUPS $FSUJÅ³DBUF 1SPHSBN TU

Ä» UI $FSUJÅ³DBUF $PVSTF JO "&$ ,JOH 1SBKBEIJQPLÄ´T *OTUJUVUF Ä» UI "EWBODFE $FSUJÅ³DBUF $PVSTF JO 1VCMJD &DPOPNJDT .BOBHFNFOU GPS &YFDVUJWFT ,JOH 1SBKBEIJQPLÄ´T *OTUJUVUF

Work Experience

Ä» .BOBHJOH %JSFDUPS +8% "TJB $P -UE Ä» .FNCFS PG UIF #PBSE PG %JSFDUPST BU +8% "TJB )PMEJOH 4JOHBQPSF 1UF -UE Ä» .FNCFS PG UIF #PBSE PG %JSFDUPST BU +$. -PHJTUJDT BOE 8BSFIPVTJOH 4JOHBQPSF 1UF -UE Ä» .FNCFS PG UIF #PBSE PG %JSFDUPST BU &. -PHJTUJDT 8BSFIPVTJOH 4JOHBQPSF 1UF -UE Ä» .FNCFS PG UIF #PBSE PG %JSFDUPST BU +8% "TJB -PHJTUJDT $BNCPEJB $P -UE Ä» .BOBHJOH %JSFDUPS BU %BNDP -PHJTUJDT .BMBZTJB 4EO #IE Ä» (FOFSBM .BOBHFS BU %BNDP -PHJTUJDT 5IBJMBOE $P -UE Ä» 3FHJPOBM 4VQQMZ $IBJO %FWFMPQNFOU .BOBHFS .BFSTL -PHJTUJDT "TJB 1BDJÅ³D Ä» $PVOUSZ )FBE PG -PHJTUJDT BOE 'SFJHIU 'PSXBSEJOH %JWJTJPO .BFSTL -JOF 5IBJMBOE

Shareholding as of 30 December 2016

Board directorship at other listed companies

/POF

Date of appointment as Board Director

'FCSVBSZ

Mr. Vichate Tantiwanich ?,(89 5+,7,5+,5: 08,*:68 /(084(5 6- ;+0: 6440::,,

Education / Seminar / Training programs attended

Ä» ." JO 'JOBODF BOE .BSLFUJOH 6OJWFSTJUZ PG )BSUGPSE $POOFDUJDVU 64" Ä» #" JO .POFUBSZ BOE 1VCMJD 'JOBODF &DPOPNJDT $IVMBMPOHLPSO 6OJWFSTJUZ Ä» 7BKJSBWVEI $PMMFHF Ä» %$1 %JSFDUPST $FSUJÅ³DBUJPO 1SPHSBN OE

Ä» $'1 TU $FSUJÅ³FE 'JOBODJBM 1MBOOFS 1SPHSBN 5IBJ 'JOBODF 1MBOOFST "TTPDJBUJPO Ä» $&%* #BCTPO &OUSFQSFOFVSJBM -FBEFSTIJQ 1SPHSBN Ä» 5&1$P5 SE 5PQ &YFDVUJWF 1SPHSBN JO $PNNFSDF BOE 5SBEF $PNNFSDF "DBEFNZ Ä» TU $FSUJÅ³DBUF $PVSTF JO .BOBHFNFOU GPS &YFDVUJWFT 5IBJMBOE $BQJUBM .BSLFU "DBEFNZ Ä» UI /BUJPOBM %FGFODF $PMMFHF 5IF /BUJPOBM %FGFODF $PVSTF

Work Experience

Ä» %JSFDUPS &YQPSU *NQPSU #BOL PG 5IBJMBOE "EWJTPS UP .JOJTUFS PG $PNNFSDF Ä» "EWJTPS UP .JOJTUFS PG $PNNFSDF .ST "QJSBEJ 5BOUSBQPSO

Ä» 4FOJPS 7JDF 1SFTJEFOU $PSQPSBUF "GGBJST 5IBJ #FWFSBHF 1MD Ä» $IBJSNBO PG &YFDVUJWF #PBSE $ "TFBO $FOUFS 5IBJ#FWÄ´T 4VCTJEJBSZ

Ä» $IBJSNBO PG &YFDVUJWF #PBSE $SFBUJWF &OUSFQSFOFVSTIJQ %FWFMPQNFOU *OTUJUVUF #BOHLPL 6OJWFSTJUZ Ä» #PBSE PG %JSFDUPS $BQJUBM .BSLFU "DBEFNZ $PNNJUUFF Ä» "EWJTPS .BSLFU GPS "MUFSOBUJWF *OWFTUNFOU ."* Ä» "EWJTPS 5IBJ +BQBOFTF "TTPDJBUJPO Ä» &YFDVUJWF %JSFDUPS *OUFSOBUJPOBM $IBNCFS PG $PNNFSDF 5IBJMBOE *$$ Ä» %JSFDUPS 5IBJ #FWFSBHF .BSLFUJOH $P -UE Ä» #PBSE PG %JSFDUPST %IBOBSBL "TTFU %FWFMPQNFOU $P -UE Ä» *0% "EWJTPSZ $PNNJUUFF PO 3FTFBSDI BOE (PWFSOBODF 5IBJ *OTUJUVUF PG %JSFDUPST Ä» "QQFMMBUF 4VC DPNNJUUFF 4FDVSJUJFT BOE &YDIBOHF $PNNJTTJPO PG 5IBJMBOE 4&$

Shareholding as of 30 December 2016

/POF

Board directorship at other listed companies

Ä» .FNCFS PG UIF #PBSE PG %JSFDUPST BU 1IBUSB -FBTJOH 1VCMJD $PNQBOZ -JNJUFE

Date of appointment as Board Director

'FCSVBSZ

/ 2016

Mr. Vichaya Chatikavanij ?,(89 5+,7,5+,5: 08,*:68 ;+0: 6440::,,

Education / Seminar / Training programs attended

Ä» #4 JO 5FYUJMF 4DJFODF 6OJWFSTJUZ PG 5FOOFTTFF 64"

Ä» %JSFDUPST $FSUJÅ³DBUJPO 1SPHSBN "VTUSBMJBO *OTUJUVUF PG $PNQBOZ %JSFDUPST Ä» "$$1 "EWBODFE "VEJU $PNNJUUFF 1SPHSBN UI

Ä» UI "EWBODFE $FSUJÅ³DBUF $PVSTF JO 1VCMJD &DPOPNJDT .BOBHFNFOU GPS &YFDVUJWFT ,JOH 1SBKBEIJQPLÄ´T *OTUJUVUF

Work Experience

Ä» "TTJTUBOU .BOBHJOH %JSFDUPS -PYMFZ 1SPQFSUZ %FWFMPQNFOU $P -UE Ä» "EWJTPS -PYMFZ 1MD Ä» %JSFDUPS ;JO 4VBQBI $P -UE Ä» %JSFDUPS -PYMFZ *OGSB $P -UE Ä» %JSFDUPS 1BSJOEB 1MD Ä» .BOBHJOH %JSFDUPS ( & - (FOFSBM &OHJOFFSJOH 4FSWJDF $P -UE Ä» .BOBHJOH %JSFDUPS (FOFSBM "SDIJUFDUVSBM 1SFDBTU $PODSFUF $P -UE Ä» .BOBHJOH %JSFDUPS (FOFSBM &OHJOFFSJOH 1MD Ä» .BOBHJOH QBSUOFS $IBULBTFN -JNJUFE 1BSUOFSTIJQ Ä» %JSFDUPS 3BJOCPX PJM DP -UE Ä» %JSFDUPS %VBOHUBXBO TUPOF QMBOU DP -UE

Shareholding as of 30 December 2016

/POF

Board directorship at other listed companies

Ä» "EWJTPS BU -PYMFZ 1VCMJD $PNQOZ -JNJUFE Ä» #PBSE .FNCFS BU 1BSJOEB 1VCMJD $PNQBOZ -JNJUFE

Date of appointment as Board Director

'FCSVBSZ

Board of Directors 5IF #PBSE PG %JSFDUPST DPOTJTUT PG NFNCFST BT GPMMPXT

& "+,

* ' $(*' ! ' + *'+"%)

* ! *. '"' -' ",$",+ + &* )! *' -' ",$",+ * ", ! " "&",) '0 *+ ! * "&",) '0 + * / ' (* '"# * ' , "*"0(,!"'$-% * " ! , ',"/ '" ! * " ! 0 ! ,"$ . '"#

(+","(' ! "*& ' ( ,! ( * ( "* ,(*+ ' ) ' ', "* ,(* ' & * ( - ", (&&",, "* ,(* "* ,(* "* ,(* "* ,(* "* ,(* "* ,(* ' ) ' ', "* ,(* ' ! "*& ' ( - ", (&&",, ' ) ' ', "* ,(* ' & * ( - ", (&&",,

&."3,4 ' .T 0SBXBO 7PSBOJK IBT SFTJHOFE GSPN UIF DPNQBOZÄ´T #PBSE PG %JSFDUPST BDDPSEJOH UP UIF SFTPMVUJPO BQQSPWFE CZ UIF #PBSE PG %JSFDUPSTÄ´ NFFUJOH PO "VHVTU

"VUIPSJ[FE TJHOBUPSZ EJSFDUPST BSF .S $IBSWBOJO #VOEJULJUTBEB UP DPTJHO XJUI .T "NSBQIBSO #VOEJULJUTBEB PS .S +JUDIBJ /JNJUQBOZB PS .ST "DIBSB /JNJUQBOZB BT UXP EJSFDUPST BOE UIF TFBM PG UIF $PNQBOZ TIBMM CF BGÅ³YFE

% " ! "$ / 2016

Meeting attendance record of each committee in 2016 /VNCFS PG NFFUJOH BUUFOEBODF UPUBM OVNCFS PG NFFUJOHT JO

'/01 +# 7 01 +#

,,2 * #,#/ * ##1',% -$ & /#&-*"#/0

&# -+. ,560 - /" -$ '/#!1-/0

11#,"#" 11#,"#" 11#,"#" 11#,"#" 11#,"#" 11#,"#" 11#,"#" 11#,"#" 11#,"#"

2"'1 -++'11##

2 -++'11##0 "+','01/ 1'3# -++'11##

'0) , %#+#,1

- /" -$ '/#!1-/0 / ,%)-/, & , 0 /,0'*. / & /3 ,', 2,"'1)'10 " 0 +/ .& /, 2,"'1)'10 " / '1!& ' '+'1. ,5 /0 !& / '+'1. ,5 0 / 4 , -/ ,'( / , 1# '/'5-1&',)2* / '!& 1# ,1'4 ,'!& / '!& 5 & 1') 3 ,'(

"+','01/ 1'3# -++'11## '0) , %#+#,1 -++'11## / '!&2 ,%)-/,1 , )'( / 11 .2+# 3 / 1, / ) .-,% 2,%0/'0 ,%2 ,

&."3,4 "DDPSEJOH UP UIF SFTPMVUJPO BQQSPWFE CZ UIF #PBSE PG %JSFDUPSTÄ´ NFFUJOH PO "VHVTU .T 0SBXBO 7PSBOJK IBT SFTJHOFE GSPN UIF DPNQBOZÄ´T #PBSE /VNCFS PG NFFUJOH BUUFOEBODF JO FOEFE %FDFNCFS

5IF $PNQBOZÄ´T #PBSE PG %JSFDUPST IBT TFU B QPMJDZ PO NJOJNVN OVNCFS PG NFFUJOH BUUFOEFFT BU UIF NPNFOU NFNCFST PG UIF #PBSE PG %JSFDUPST WPUF 8IJMF WPUJOH JU JT SFRVJSFE UIBU OVNCFS PG NFFUJOH BUUFOEFFT NVTU OPU MFTT UIBO UXP UIJSE PG UIF UPUBM NFNCFST

Executive Management "T PG %FDFNCFS UIF &YFDVUJWF .BOBHFNFOU DPOTJTUT PG NFNCFST BT GPMMPXT

$ !)*

&)!*!&%

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

( !* ! !$!*' %. ( " '&% +% )(!) % + % ) $( ' (% +% !*"!*) ( % * !(!.&* !%"+#

! - +*!, ! ( *!% %!&( ! ( )! %* & ' ( *!&%)

'+*. ! - +*!, & ! ( ! !% % ! # ! ( %!&( ! ( )! %* & +$ % )&+( $!%!)*( *!&% %!&( ! ( )! %* & +)!% )) , #&'$ %*

Remuneration of Directors and Executives Cash Remuneration (1) Monetary Compensation 5IF $PNQBOZÄ´T 3FNVOFSBUJPO $PNNJUUFF IBT TFU VQ B DPNQFOTBUJPO QPMJDZ BT GPMMPXT B %JSFDUPSTÄ´ "UUFOEBODF 'FFT

C "VEJU $PNNJUUFF .FNCFSTÄ´ "UUFOEBODF 'FFT

3FNVOFSBUJPO GPS NFNCFST PG UIF #PBSE PG %JSFDUPST BOE "VEJU $PNNJUUFF JT BT GPMMPXT

6OJU #BIU

,, ' ' + "* ,(* +, ( * ( "* ,(*+

- ", (&&",,

(, %

* ' $(*' ! ' + *'+"%) * ! *. '"' -' ",$",+ + &* )! *' -' ",$",+ * ", ! " "&",) '0 *+ ! * "&",) '0 + * / ' (* '"# * " ! , ',"/ '" ! * " ! 0 ! ,"$ . '"# * ' , "*"0(,!"'$-%

05& "DDPSEJOH UP UIF SFTPMVUJPO BQQSPWFE CZ UIF #PBSE PG %JSFDUPSTÄ´ NFFUJOH PO "VHVTU .T 0SBXBO 7PSBOJK IBT SFTJHOFE GSPN UIF DPNQBOZÄ´T #PBSE PG %JSFDUPST .FFUJOH BMMPXBODF GPS FOEFE %FDFNCFS

(2) Remuneration for the Companyâ&#x20AC;&#x2122;s Management *O UPUBM DBTI SFNVOFSBUJPO GPS Å³WF NBOBHFNFOU CPBSE NFNCFST XBT CBIU JODMVEJOH NPOUIMZ SFNVOFSBUJPO CPOVTFT BOE PUIFST 5IF SFNVOFSBUJPO DSJUFSJB BSF CBTFE PO UIF $PNQBOZÄ´T PQFSBUJOH SFTVMUT BOE UIF NBOBHFNFOUÄ´T QFSGPSNBODF # " " " ! " " $ ! ! #! !

# " " " !

Â¥Â©Â£

(3) Provident Fund 5IF $PNQBOZ IBT BMTP FTUBCMJTIFE B QSPWJEFOU GVOE GPS UIF CFOFÅ³U PG NBOBHFNFOU CPBSE NFNCFST *O JU DPOUSJCVUFE CBIU UP UIF QSPWJEFOU GVOE TFU VQ GPS NBOBHFNFOU CPBSE NFNCFST

! $ ! # ! !" # $ # #! $# # # ! % # $

(4) Other Compensation /POF

# #

$ ! # ! !"

# #

Employees Number of employees (exclusive of management) "T PG %FDFNCFS UIF $PNQBOZ BOE JUT TVCTJEJBSJFT IBWF B UPUBM PG FNQMPZFFT FYDMVTJWF PG NBOBHFNFOU BT GPMMPXT

# % ! ! !

#! % " ! " " !" #" " !" " " $ ! $ # " " !" " ! $ !

05& 05"- /6.#&3 0' &.1-0:&&4 */$-6%*/( &.1-0:&&4 */ "/% 8)*$) )"7& #&&/ .&3(&% 8*5) 5)& 0.1"/:

Remuneration for employees (exclusive of management board members) *O UIF $PNQBOZ BOE JUT TVCTJEJBSJFT IBWF QBJE SFNVOFSBUJPO UP FNQMPZFFT FYDMVTJWF PG NBOBHFNFOU CPBSE NFNCFST GPS B UPUBM PG CBIU XIJDI JODMVEFT NPOUIMZ TBMBSJFT PWFSUJNF QBZNFOUT MJWJOH BMMPXBODF BOE CPOVTFT

" #

! !

" #

! "

! !

05& 05"- ".06/5 0' 3&.6/&3"5*0/ 1"*% 50 "-- &.1-0:&&4 */$-6%*/( 5)04& */ "/%

Provident Fund 1SPWJEFOU GVOE *O UIF $PNQBOZ IBT DPOUSJCVUFE UP UIF FNQMPZFFTÄ´ QSPWJEFOU GVOE BT GPMMPXT

" $ ! " ! ! "! ! ! # ! "

! !

" $

! !

Other Compensation /POF

Significant labor disputes in the last three years 5IF $PNQBOZ IBT OP MBCPS EJTQVUFT UIBU NJHIU DBVTF BOZ TJHOJÅ³DBOU JNQBDU PO JUT PQFSBUJPOT

/ % " ! "$ / 2015 2016

Corporate Governance Corporate Governance Policy 5IF $PNQBOZ SFBMJ[FT UIF JNQPSUBODF PG HPPE DPSQPSBUF HPWFSOBODF BT B TJHOJÅ³DBOU DPOUSJCVUJPO UP UIF $PNQBOZÄ´T PQFSBUJPOT GPS CFTU FGGFDUJWFOFTT BOE TVTUBJOBCMF HSPXUI XIJDI XJMM MFBE UP NBYJNVN CFOFÅ³UT UP BMM SFMBUFE QBSUJFT JODMVEJOH UIF FNQMPZFFT UIF JOWFTUPST UIF TIBSFIPMEFST BOE PUIFS TUBLFIPMEFST UIVT UIF #PBSE PG %JSFDUPST IBT BQQSPWFE UIF FTUBCMJTINFOU PG B DPSQPSBUF HPWFSOBODF QPMJDZ UP DPWFS BMM JNQPSUBOU DPOUFOUT GSPN UIF TUSVDUVSF UIF SPMFT BOE SFTQPO TJCJMJUJFT PG UIF #PBSE PG %JSFDUPST UP UIF FYFDVUJWF NBOBHFNFOU DPODFQUT GPS USBOTQBSFODZ DMBSJUZ BOE BVEJUBCJMJUZ UP QBWF UIF XBZ GPS HPPE DPSQPSBUF NBOBHFNFOU UP FOTVSF UIBU UIF $PNQBOZÄ´T PQFSBUJPOT XJMM CF DBSSJFE PVU PO B CBTJT PG GBJSOFTT XIJMF SFHBSEJOH UIF NBYJNVN CFOFÅ³UT UP UIF TIBSFIPMEFST BOE BMM TUBLFIPMEFST

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

Corporate Governance: Principles, Policies and Practices 5IF #PBSE PG %JSFDUPST HJWFT JNQPSUBODF UP HPPE DPSQPSBUF HPWFSOBODF QSBDUJDFT CZ SFBMJ[JOH UIF SPMFT BOE SFTQPOTJCJMJUJFT PG UIF EJSFDUPST BOE UIF FYFDVUJWFT JO QSPNPUJOH HPPE DPSQPSBUF HPWFSOBODF JO PSEFS UP JNQSPWF UIF DPNQFUJUJWFOFTT PG UIF CVTJOFTT BOE UP CVJME USVTU BNPOH UIF TIBSFIPMEFST UIF JOWFTUPST BOE BMM SFMBUFE QBSUJFT CZ DPOEVDUJOH CVTJOFTT PQFSBUJPOT XJUI FGGFDUJWFOFTT BOE USBOTQBSFODZ UIVT UIF #PBSE PG %JSFDUPST IBT TFU VQ B DPSQPSBUF HPWFSOBODF QPMJDZ VOEFS UIF QSJODJQMFT PG HPPE DPSQPSBUF HPWFSOBODF JO UIF GPMMPXJOH DBUFHPSJFT

1. Rights of the Shareholders 0O UPQ PG UIF CBTJD TIBSFIPMEFSTÄ´ SJHIUT TVDI BT UIF SJHIU UP CVZ TFMM PS USBOTGFS TFDVSJUJFT PG UIFJS PXO UIF SJHIU UP SFDFJWF QSPÅ³U TIBSFT GSPN UIF $PNQBOZ UIF SJHIU UP BUUFOE UIF TIBSFIPMEFSTÄ´ NFFUJOHT UIF $PNQBOZ BMTP HJWFT JNQPSUBODF UP UIF TIBSFIPMEFSTÄ´ SJHIUT UP PCUBJO JOGPSNBUJPO PG UIF $PNQBOZ BDDVSBUFMZ JO JUT FOUJSFUZ TVGÅ³DJFOUMZ QVODUVBMMZ BOE FRVBMMZ UP BTTJTU JO UIF EFDJTJPO NBLJOH QSPDFTT GPS BMM JTTVFT UIVT UIF #PBSE PG %JSFDUPST IBT FTUBCMJTIFE B QPMJDZ XJUI EFUBJMT BT GPMMPXT 5IF $PNQBOZ TIBMM TFOE UIF *OWJUBUJPO -FUUFS UP UIF 4IBSFIPMEFSTÄ´ .FFUJOH BMPOH XJUI TVGÅ³DJFOU JOGPSNBUJPO DPODFSOJOH UIF NFFUJOH BHFOEBT GPS UIF TIBSFIPMEFSTÄ´ DPOTJEFSBUJPO CZ TFOEJOH UIF *OWJUBUJPO -FUUFS JO BEWBODF PG UIF TIBSFIPMEFSTÄ´ NFFUJOH EBZ XJUIJO UIF UJNF QFSJPE JO BDDPSEBODF XJUI SFMBUFE MBXT OPUJÅ³DBUJPOT PS SFHVMBUJPOT UP QSPWJEF UJNF GPS UIF TIBSFIPMEFST UP TUVEZ UIF JOGPSNB $ 'PS UIPTF TIBSFIPMEFST XIP NBZ OPU BUUFOE UIF .FFUJOH JO QFSTPO UIF $PNQBOZ BMMPXT UIF TIBSFIPMEFST UP HJWF B QSPYZ UP JOEFQFOEFOU EJSFDUPST PS BOZ QFSTPOT UP BUUFOE $ ! " $ TFOU CZ UIF $PNQBOZ BUUBDIFE UP UIF *OWJUBUJPO -FUUFS UP UIF 4IBSFIPMEFSTÄ´ .FFUJOH

5IF $PNQBOZ TIBMM GBDJMJUBUF UIF NFFUJOH BUUFOEBODF PG BMM TIBSFIPMEFST FRVBMMZ JO SFTQFDU PG CPUI WFOVF BOE UJNF 5IF TIBSFIPMEFSTÄ´ NFFUJOH TIBMM CF DPOEVDUFE JO BDDPSEBODF XJUI UIF MBXT BOE SFHVMBUJPOT PG UIF $PNQBOZ CZ VTJOH TFRVFOUJBM QBJSXJTF WPUJOH XJUI B Å³YFE BHFOEB SFTQFDUJOH UIF BHFOEB XJUIPVU DIBOHFT PO JNQPSUBOU JOGPSNBUJPO PS BEEJOH VOOFDFTTBSZ BHFOEBT XIJMF QSPWJEJOH FRVBM PQQPSUVOJUJFT GPS BMM TIBSFIPMEFST UP RVFTUJPO DPN NFOU PS NBLF SFDPNNFOEBUJPOT

5IF $PNQBOZ TIBMM FYQBOE JUT OFXT BOE JOGPSNBUJPO DIBOOFMT GPS UIF TIBSFIPMEFST UISPVHI UIF $PNQBOZÄ´T XFCTJUF *O UIF DBTF PG UIF *OWJUBUJPO -FUUFS UP UIF 4IBSFIPMEFSTÄ´ .FFUJOH B SFMFBTF PG UIF JOGPSNBUJPO TIBMM CF NBEF QSJPS UP UIF TDIFEVMFE EBUF PG UIF NFFUJOH GPS UIF TIBSFIPMEFST UP DPOWFOJFOUMZ EPXOMPBE UIF BHFOEBT BOE UIF JOGPSNBUJPO JO JUT FOUJSFUZ "MM EJSFDUPST BOE FYFDVUJWFT TIBMM CF FODPVSBHFE UP BUUFOE UIF NFFUJOH UP BMUPHFUIFS BOTXFS UIF RVFTUJPOT SBJTFE CZ UIF TIBSFIPMEFST

! " FOUJSFUZ GPS BDDVSBDZ TQFFE BOE USBOTQBSFODZ SFDPSEJOH UIF JNQPSUBOU RVFTUJPOT BOE DPNNFOUT GPS UIF TIBSFIPMEFST UP WFSJGZ XJUIJO EBZT DPVOUJOH GSPN UIF EBUF PG UIF "OOVBM (FOFSBM .FFUJOH PG 4IBSFIPMEFST 5IF $PNQBOZ TIBMM TFOE TVDI NJOVUFT UP UIF 4UPDL &YDIBOHF PG 5IBJMBOE PS SFMBUFE BHFODJFT XJUIJO UIF TQFDJÅ³FE UJNF QFSJPE XIJMF EJTTFNJOBUJOH UIF NJOVUFT PO UIF $PNQBOZÄ´T XFCTJUF GPS UIF TIBSFIPMEFSTÄ´ DPOTJEFSBUJPO

2. Equitable Treatment of Shareholders 5IF $PNQBOZ IBT TFU VQ B QPMJDZ UP FOTVSF FRVJUBCMF USFBUNFOU PG BMM TIBSFIPMEFST UIVT UIF #PBSE PG %JSFDUPST IBT FTUBCMJTIFE UIF QPMJDZ BT GPMMPXT 5IF $PNQBOZ TIBMM TFOE UIF *OWJUBUJPO -FUUFS UP UIF "MM TIBSFIPMEFST JODMVEJOH NBKPSJUZ TIBSFIPMEFST 4IBSFIPMEFSTÄ´ .FFUJOH BMPOH XJUI UIF JOGPSNBUJPO SFHBSEJOH NJOPSJUZ TIBSFIPMEFST 5IBJ TIBSFIPMEFST GPSFJHO UIF NFFUJOH UP UIF TIBSFIPMEFST QSJPS UP UIF TDIFEVMFE TIBSFIPMEFST TIBMM CF USFBUFE GBJSMZ BOE FRVBMMZ NFFUJOH JO BDDPSEBODF XJUI UIF SFMBUFE MBXT OPUJÅ³DBUJPOT PS SFHVMBUJPOT JO PSEFS UP QSPWJEF UJNF GPS UIF TIBSFIPMEFST UP TUVEZ UIF JOGPSNBUJPO JO JUT FOUJSFUZ CFGPSF UIF EBZ PG UIF NFFUJOH XIJMF HJWJOH BO PQQPSUVOJUZ GPS UIF TIBSFIPMEFST UP TFOE RVFTUJPOT QSJPS UP UIF NFFUJOH EBZ UP UIF DPNQBOZ TFDSFUBSZ UP CF DPMMFDUFE BT JNQPSUBOU RVFTUJPOT UP CF SBJTFE JO UIF NFFUJOH $POWFOJFODF TIBMM CF QSPWJEFE UP UIPTF TIBSFIPMEFST XIP NBZ OPU BUUFOE UIF NFFUJOH JO QFSTPO 4VDI TIBSFIPMEFST NBZ HJWF B QSPYZ UP BOZ QFSTPO PS BTTJHO BU MFBTU JOEFQFOEFOU EJSFDUPS BT B QSPYZ UP BUUFOE UIF NFFUJOH BOE UP WPUF GPS UIFN CZ QSPWJEJOH UIF OBNF PG TVDI JOEFQFOEFOU EJSFDUPS JO UIF *OWJUBUJPO -FUUFS UP UIF 4IBSFIPMEFSTÄ´ .FFUJOH

3. Roles of the Stakeholders 5IF $PNQBOZ SFBMJ[FT BOE JT BXBSF PG UIF SJHIUT PG BMM TUBLFIPMEFST JODMVEJOH JOUFSOBM TUBLFIPMEFST J F TIBSFIPMEFST BOE FNQMPZFFT BOE FYUFSOBM TUBLFIPMEFST J F DMJFOUT QBSUOFST DSFEJUPST DPNQFUJUPST TPDJFUZ BOE TVSSPVOEJOH DPNNVOJUZ *O PSEFS UP CVJME B NVUVBM VOEFSTUBOEJOH BOE DPPQFSBUJPO CFUXFFO UIF $PNQBOZ BOE UIF TUBLFIPMEFST XIJDI XJMM CF CFOFÅ³DJBM UP UIF CVTJOFTT PQFSBUJPOT XIJMF CVJMEJOH USVTU BOE JODSFBTJOH DPNQFUJUJWF BEWBOUBHF PG UIF $PNQBOZ JO UIF MPOH UFSN UIF $PNQBOZ IBT FTUBCMJTIFE B QPMJDZ BOE SFHVMBUJPOT BT GPMMPXT

Shareholders

5IF $PNQBOZ JT DPNNJUUFE UP DPOEVDU JUT CVTJOFTT PQFSBUJPOT XJUI USBOTQBSFODZ BOE GPDVTFT PO DPSQPSBUF EFWFMPQNFOU GPS TVTUBJOBCMF HSPXUI UP HFOFSBUF CFOFÅ³UT GPS UIF TIBSFIPMEFST BOE UP JODSFBTF UIF WBMVF PG UIF $

Employees

5IF $PNQBOZ IBT FTUBCMJTIFE B QPMJDZ UP USFBU BMM FNQMPZFFT GBJSMZ BOE FRVBMMZ BOE UP QSPWJEF BQQSPQSJBUF DPNQFOTBUJPO BOE XFMGBSF CBTFE PO FBDI FNQMPZFFÄ´T LOPXMFEHF BOE QFSGPSNBODF 5IF $PNQBOZ BMTP HJWFT JNQPSUBODF UP LOPXMFEHF EFWFMPQNFOU BOE QFSGPSNBODF FOIBODFNFOU GPS CFUUFS TLJMMT BOE IJHIFS FGÅ³DJFODZ BOE IBT TFU VQ B QSPWJEFOU GVOE GPS UIF FNQMPZFFT

/ 2016

Trade partners

5IF $PNQBOZ IBT B QPMJDZ UP USFBU BMM USBEF QBSUOFST GBJSMZ BOE FRVBMMZ BOE JO BO IPOFTU XBZ XJUIPVU UBLJOH BEWBOUBHF " BHSFFNFOUT BOE UIJT JT BMXBZT CBTFE PO TPVOE CVTJOFTT

Creditors

5IF $PNQBOZ DPOUJOVFT UP GPTUFS DPOÅ³EFODF BNPOH DSFEJUPST CZ GPDVTJOH PO CVTJOFTT JOUFHSJUZ BOE B TUSPOH DPNNJUNFOU UP DSFEJUPST 5IF GPMMPXJOH JT UIF XBZ UIF $PNQBOZ USFBU DSFEJUPST %FWFMPQ BHSFFNFOUT UIBU BSF GBJS UP DSFEJUPST BOE DPNQMZ XJUI BHSFFNFOUT NBEF CZ CPUI QBSUJFT 5IF $PNQBOZ TIBMM TUSJDUMZ DPNQMZ XJUI BHSFFE DPOEJUJPOT *O DBTF UIF DPNQBOZ DBOOPU DPNQMZ XJUI BOZ DPOEJUJPOT UIF DSFEJUPS NVTU CF JOGPSNFE JNNFEJBUFMZ JO PSEFS UP Å³OE UIF TPMVUJPO UPHFUIF BOE UBLF QSFWFOUJWF NFBTVSFT UP BWPJE QPTTJCMF EBNBHF

Business competitors

5IF DPNQBOZ IBT B QPMJDZ UP DPOEVDU JO B XBZ UIBU DPNQMJFT XJUI UIF JOEVTUSZÄ´T TPVOE DPNQFUJUJPO BOE SFHVMBUPSZ GSBNFXPSL *U TIBMM OPU TFFL GPS DPOÅ³EFOUJBM JOGPSNBUJPO PG CVTJOFTT DPNQFUJUPST CZ EJTIPOFTU PS JOBQQSPQSJBUF XBZ 5IF $PNQBOZ TIBMM OPU EFTUSPZ UIF CVTJOFTT DPNQFUJUPSTÄ´ SFQVUBUJPO CZ NBLJOH EFGBNBUJPO !

Intellectual property

$ ! $ PUIFST BOE POMZ VTFT UIFN BT QFSNJUUFE 5IFSF JT [FSP UPMFSBODF GPS BOZ GPSN PG WJPMBUJPO PG JOUFMMFDUVBM QSPQFSUZ BOE UIJT JT BMTP DPOTJEFSFE WJPMBUJPO PG UIF $PNQBOZÄ´T $ 5IF $PNQBOZ IBT QVSDIBTFE FTTFOUJBM QSPQSJFUBSZ TPGUXBSF GPS FNQMPZFFT UP VTF TVGÅ³DJFOUMZ JO UIFJS EBJMZ XPSL

&NQMPZFFT BSF OPU BMMPXFE UP JOTUBMM VOBVUIPSJ[FE TPGUXBSF JO UIF $PNQBOZÄ´T DPNQVUFST BOE EFWJDFT

Clients

5IF $PNQBOZ QBZT BUUFOUJPO UP DMJFOUT BOE UBLFT GVMM SFTQPOTJCJMJUJFT 'PS JOTUBODF PVS TFSWJDFT BSF FGGFDUJWF GBTU QVODUVBM BOE DPOÅ³EFOUJBM EVF UP PVS XPSL VOJUT BOE DVT UPNFS SFMBUJPOTIJQ NBOBHFNFOU PGÅ³DFST

Competitors

5IF $PNQBOZ IBT FTUBCMJTIFE B QPMJDZ UP PQFSBUF XJUIJO B GBJS DPNQFUJUJPO GSBNFXPSL OFJUIFS UP TFFL DPNQFUJUPSTÄ´ TFDSFUT UISPVHI EJTIPOFTU PS JNQSPQFS BQQSPBDIFT OPS UP BUUFNQU UP EBNBHF DPNQFUJUPSTÄ´ SFQVUBUJPO UISPVHI GBMTF TUBUFNFOUT PS HSPVOEMFTT BDDVTBUJPO

Community and Society

5IF $PNQBOZ JT DPNNJUUFE UP CFIBWF BT B HPPE DJUJ[FO CZ BEIFSJOH UP SFMBUFE MBXT BOE SFHVMBUJPOT JO UIFJS FOUJSFUZ UP IFMQ FOIBODF UIF RVBMJUZ PG MJGF JO UIF TPDJFUZ BOE UIF DPNNVOJUZ XIJDI UIF $PNQBOZ BOE JUT BGÅ³MJBUFE DPNQBOJFT CFMPOH UP GPS B CFUUFS PWFSBMM RVBMJUZ BOE UIF $PNQBOZÄ´T TVTUBJOBCMF HSPXUI

Environment

5IF $PNQBOZ DPOEVDUT CVTJOFTT JO B MBXGVM NBOOFS BOE TUSJDUMZ DPNQMJFT XJUI SFHVMBUJPOT SFMBUFE UP UIF FOWJSPONFOU *U BMTP BUUBDIFT B MPU PG JNQPSUBODF UP DPOUSPMMJOH JNQBDUT UP UIF FOWJSPONFOU PO B DPOUJOVPVT CBTJT #FTJEFT UIF $PNQBOZ FODPVSBHFT JUT TVCTJEJBSJFT BOE BGÅ³MJBUFT UP QSPWJEF FOWJSPONFOUBMMZ GSJFOEMZ TFSWJDFT XJUI B SFBM DPNNJUNFOU UP FGÅ³DJFOU VTF PG OBUVSBM SFTPVSDFT BOE QSPNPUF BOE TVQQPSU BDUJWJUJFT UIBU BSF NFBOU UP QSPUFDU PVS OBUVSF BOE QSFTFSWF FOFSHZ *U BMTP QSPWJEFT FNQMPZFFT XJUI LOPXMFEHF BOE USBJOJOH QSPHSBNT PO FOWJSPONFOU JO DPOKVODUJPO XJUI FTUBCMJTIJOH B QPMJDZ UP TFMFDU BOE QSPNPUF UIF VTF PG FOWJSPONFOUBMMZ GSJFOEMZ QSPEVDUT

4. Information Disclosure and Transparency 5IF #PBSE PG %JSFDUPST JT DPNNJUUFE UP UIF TVQFSWJTJPO PG BMM PQFSBUJPOT JO DPNQMJBODF XJUI UIF MBXT SVMFT BOE SFHVMBUJPOT SFMBUFE UP JOGPSNBUJPO EJTDMPTVSF CZ HJWJOH JNQPSUBODF UP BDDVSBUF DPNQMFUF BOE USBOTQBSFOU EJTDMPTVSFT PG UIF $PNQBOZÄ´T JOGPSNBUJPO Å³OBODJBM JOGPSNBUJPO BOE HFOFSBM JOGPSNBUJPO XIJDI JT OPO Å³OBODJBM UP CF FRVBMMZ JOGPSNFE UP BMM SFMBUFE QBSUJFT "GUFS UIF $PNQBOZ IBT CFFO MJTUFE JO UIF 4UPDL &YDIBOHF PG 5IBJMBOE UIF $PNQBOZ TIBMM EJTTFNJOBUF UIF $PNQBOZÄ´T JOGPSNBUJPO UP UIF TIBSFIPMEFST BOE UIF QVCMJD UISPVHI UIF JOGPSNBUJPO DIBOOFMT PG UIF 4UPDL &YDIBOHF PG 5IBJMBOE BOE UIF $PNQBOZÄ´T XFCTJUF 'VSUIFSNPSF UIF #PBSE PG %JSFDUPST HJWFT JNQPSUBODF UP UIF Å³OBODJBM SFQPSUT UP SFWFBM UIF $PNQBOZÄ´T Å³OBODJBM QPTJUJPO BOE UIF BDUVBM PQFSBUJOH QFSGPSNBODF CBTFE PO UIF BDDPVOUJOH EBUB XIJDI JT BDDVSBUF DPNQMFUF BOE TVGÅ³DJFOU JO BDDPSEBODF XJUI UIF HFOFSBMMZ BDDFQUFE BDDPVOUJOH TUBOEBSET 5IF $PNQBOZ TIBMM BMTP EJTDMPTF FBDI EJSFDUPSÄ´T JOGPSNBUJPO UIF SPMFT BOE SFTQPOTJCJMJUJFT PG UIF #PBSE PG %JSFDUPST BOE UIF TVCDPNNJUUFFT JODMVEJOH UIF SFNVOFSBUJPO PG EJSFDUPST BOE FYFDVUJWFT JO UIF "OOVBM 3FQPSU 'PSN BOE UIF "OOVBM 3FHJTUSBUJPO 4UBUFNFOUT 'PSN 'PS JOWFTUPS SFMBUJPOT UIF $PNQBOZ TIBMM QSPWJEF JOWFTUPS SFMBUJPOT PGÅ³DFST UP DPOUBDU BOE QSPWJEF JOGPSNBUJPO UP UIF TIBSFIPMEFST UIF JOWFTUPST UIF TFDVSJUJFT BOBMZTUT PS SFMBUFE BHFODJFT JODMVEJOH BOZ QFSTPO QSPWJEFE UIBU TVDI JOGPSNBUJPO TIBMM CF BDDVSBUF DPNQMFUF BOE USVUIGVM

5. Directorsâ&#x20AC;&#x2122; Responsibilities 5IF #PBSE PG UIF %JSFDUPST JT SFTQPOTJCMF GPS UIF TIBSFIPMEFST JO SFHBSE UP UIF $PNQBOZÄ´T CVTJOFTT PQFSBUJPOT DPSQPSBUF HPWFSOBODF BOE QSJODJQMFT XIJDI XJMM HFOFSBUF NBYJNVN CFOFÅ³UT UP UIF TIBSFIPMEFST CZ DPOTJEFSJOH UIF CFOFÅ³UT PG BMM TUBLFIPMEFST 5IF #PBSE PG %JSFDUPST IBT B EVUZ UP DPOEVDU UIF CVTJOFTT PQFSBUJPOT JO DPNQMJBODF XJUI UIF MBXT PCKFDUJWFT BOE SVMFT PG UIF $PNQBOZ BT XFMM BT UIF SFTPMVUJPOT PG UIF 4IBSFIPMEFSTÄ´ .FFUJOH XJUI JOUFHSJUZ XIJMF NBJOUBJOJOH UIF TIPSU UFSN BOE MPOH UFSN CFOFÅ³UT PG UIF TIBSFIPMEFST BOE UIF TUBLFIPMEFST 5P NBLF DFSUBJO UIBU UIF CVTJOFTT PQFSBUJPOT PG UIF $PNQBOZ BSF DPOEVDUFE JO UIF EJSFDUJPO UIBU HFOFSBUFT NBYJNVN CFOFÅ³UT UP UIF TIBSFIPMEFST BOE UIF TUBLFIPMEFST UIF #PBSE PG %JSFDUPST TIBMM QSPWJEF UIF $PNQBOZÄ´T WJTJPO NJTTJPO PCKFDUJWFT QPMJDJFT PQFSBUJPO EJSFDUJPOT TUSBUFHJFT QMBOT BOE BOOVBM CVEHFU BOE TIBSF UIFJS PQJOJPOT BOE NBLF DPNNFOUT UP DSFBUF B NVUVBM VOEFSTUBOEJOH PG UIF PWFSBMM CVTJOFTT CFGPSF NBLJOH BQQSPWBMT BOE NPOJUPSJOH PO BENJOJTUSBUJPO UP BDIJFWF UIF HPBMT BT QMBOOFE CZ BEIFSJOH UP UIF QSJODJQMFT PG UIF 4UPDL &YDIBOHF PG 5IBJMBOE BOE UIF 0GÅ³DF PG UIF 4FDVSJUJFT BOE &YDIBOHF $PNNJTTJPO

Components of the Board of Directors 5IF #PBSE PG %JSFDUPST JT DPNQSJTFE PG EJSFDUPST XIP BSF DPNQFUFOU BOE FYQFSJFODFE JO UIF CVTJOFTT 5IF EJSFDUPST IBWF B EVUZ UP TFU VQ UIF $PNQBOZÄ´T QPMJDZ WJTJPO TUSBUFHJFT HPBMT UBTLT CVTJOFTT QMBOT BOE CVEHFU XIJMF TVQFSWJTJOH UIF FYFDVUJWFT UP NBOBHF PQFSBUJPOT JO BDDPSEBODF XJUI UIF $PNQBOZÄ´T QPMJDZ GPS FGÅ³DJFODZ BOE FGGFDUJWFOFTT VOEFS UIF MBXT PCKFDUJWFT SVMFT PG UIF $PNQBOZ UIF SFTPMVUJPOT PG UIF TIBSFIPMEFSTÄ´ NFFUJOH BOE UIF SFTPMVUJPOT PG UIF FYFDVUJWFTÄ´ NFFUJOH XJUI SFTQPOTJCJMJUZ JOUFHSJUZ DBVUJPO HPPE DPSQPSBUF HPWFSOBODF UP BEE NBYJNVN FDPOPNJD WBMVF UP UIF CVTJOFTT BOE UP FOTVSF NBYJNVN TFDVSJUZ GPS UIF TIBSFIPMEFST

.PSFPWFS UIF #PBSE PG %JSFDUPST IBT FTUBCMJTIFE B QPMJDZ UP TFQBSBUF UIF QPTJUJPOT PG $IBJSNBO PG UIF #PBSE BOE $IJFG &YFDVUJWF 0GÅ³DFS UP CF IFME CZ EJGGFSFOU JOEJWJEVBMT JO PSEFS UP DMBSJGZ UIF EJGGFSFOU SFTQPOTJCJMJUJFT CFUXFFO DPSQPSBUF HPWFSOBODF BOE PQFSBUJPOT NBOBHFNFOU )PXFWFS UIF $PNQBOZ IBT DMFBSMZ TFQBSBUFE UIF SPMFT BOE SFTQPOTJCJMJUJFT PG UIF #PBSE PG %JSFDUPST BOE UIF &YFDVUJWF $PNNJUUFF XIJMF DIFDLT BOE CBMBODFT PO PQFSBUJPOT IBWF CFFO DBSSJFE PVU UIF #PBSE PG %JSFDUPST BSF BTTJHOFE UP GPDVT PO FTUBCMJTIJOH UIF QPMJDZ BOE TVQFSWJTJOH UIF FYFDVUJWFT BU UIF QPMJDZ MFWFM XIJMF UIF FYFDVUJWFT TIBMM NBOBHF UIF $PNQBOZÄ´T PQFSBUJPOT JO BDDPSEBODF XJUI UIF FTUBCMJTIFE QPMJDZ

5IF #PBSE PG %JSFDUPST JT DPNQSJTFE PG NFNCFST Ä± PG UIFN BMTP IPME BO FYFDVUJWF MFWFM QPTJUJPO BSF OPO FYFDVUJWF BOE BSF JOEFQFOEFOU EJSFDUPST 5IF JOEFQFOEFOU EJSFDUPST BSF GVMMZ RVBMJÅ³FE JO BDDPSEBODF XJUI UIF /PUJÅ³DBUJPO PG $BQJUBM .BSLFU 4VQFSWJTPSZ #PBSE XIJMF PG UIFN BMTP IPME UIF QPTJUJPO PG "VEJU $PNNJUUFF .FNCFS )PXFWFS OP MFTT UIBO IBMG PG BMM EJSFDUPST TIBMM SFTJEF JO 5IBJMBOE &BDI EJSFDUPS TIBMM QFSGPSN IJT IFS EVUJFT BOE FYFSDJTF EJTDSFUJPO JOEFQFOEFOUMZ UP NBLF EFDJTJPOT CZ SBJTJOH RVFTUJPOT FYQSFTTJOH DPNNFOUT PS EJTBHSFFJOH JO UIF DBTF PG DPOÅ´JDUT XIJDI NBZ BGGFDU UIF CFOFÅ³UT PG UIF TIBSFIPMEFST PS UIF TUBLFIPMEFST

Term of Office of the Directors *O FWFSZ "OOVBM (FOFSBM .FFUJOH PG UIF 4IBSFIPMEFST POF UIJSE PG UIF EJSFDUPST TIBMM WBDBUF PGÅ³DF *G UIF OVNCFS DBOOPU CF FWFOMZ EJWJEFE CZ UISFF VTF UIF OVNCFS DMPTFTU UP POF UIJSE %JSFDUPST XIP NVTU WBDBUF PGÅ³DF JO UIF Å³STU ZFBS BOE UIF TFDPOE ZFBS BGUFS UIF SFHJTUSBUJPO PG UIF DPNQBOZ TIBMM ESBX MPUT *O UIF TVCTFRVFOU ZFBST EJSFDUPST XIP IBWF SFNBJOFE JO PGÅ³DF GPS UIF MPOHFTU

#FTJEF UIF SFUJSFNFOU CZ SPUBUJPO EJSFDUPST NBZ WBDBUF PGÅ³DF VQPO %JTQPTTFTTJPO PG RVBMJÅ³DBUJPOT PS QPTTFTTJPO PG EJTRVBMJÅ³DBUJPOT 5IF NFFUJOH PG UIF TIBSFIPMEFST SFTPMWJOH UP SFNPWF CZ B WPUF PG OPU MFTT UIBO UISFF GPVSUIT PG UIF TIBSFIPMEFST JO UIF NFFUJOH XIP IBWF UIF SJHIU UP WPUF BMUPHFUIFS IPMEJOH OPU MFTT IBMG PG UIF BNPVOU PG TIBSFT IFME CZ TIBSFIPMEFST XIP BUUFOE UIF NFFUJOH BOE IBWF UIF SJHIU UP WPUF 5IF DPVSU JTTVJOH BO PSEFS UP SFNPWF

Director Recruitment 5IF $PNQBOZ HJWFT JNQPSUBODF UP UIF SFDSVJUNFOU PG EJSFDUPST XIP BSF DPNQFUFOU BOE FYQFSJFODFE XJUI B HPPE XPSL SFDPSE MFBEFSTIJQ TLJMMT WJTJPO HPPE NPSBMT FUIJDT BOE QPTJUJWF BUUJUVEFT UPXBSET UIF PSHBOJ[BUJPO TVGÅ³DJFOUMZ DPNNJUUFE JO PSEFS UP HFOFSBUF CFOFÅ³UT UP UIF CVTJOFTT PQFSBUJPOT PG UIF $PNQBOZ 'VSUIFSNPSF BOZ RVBMJÅ³FE DBOEJEBUF NVTU CF BQQSPQSJBUF GPS BOE DPNQBUJCMF XJUI UIF PSHBOJ[BUJPO DPNQPOFOUT BOE TUSVDUVSF JO DPNQMJBODF XJUI UIF CVTJOFTT TUSBUFHJFT PG UIF $PNQBOZ UP SFÅ´FDU USBOTQBSFODZ JO PSEFS UP CVJME USVTU BNPOH UIF TIBSFIPMEFST

/ 2016

Directorsâ&#x20AC;&#x2122; Remuneration 5IF #PBSE PG %JSFDUPST IBT B EVUZ UP EFUFSNJOF UIF EJSFDUPSTÄ´ SFNVOFSBUJPO UP CF QSPQPTFE UP UIF 4IBSFIPMEFSTÄ´ .FFUJOH CZ DPOTJEFSJOH UIF GPMMPXJOH DSJUFSJB 5IF DPNQBOZÄ´T CVTJOFTT QFSGPSNBODF BOE CVTJOFTT TJ[F #FOFÅ³UT FYQFDUFE CZ UIF DPNQBOZ GSPN FBDI EJSFDUPS CZ DPNQBSJOH XJUI UIF EJSFDUPSTÄ´ SFNVOFSBUJPOT PG UIF 5IF FTUBCMJTIFE SFNVOFSBUJPO TIBMM CF BUUSBDUJWF UP UIPTF DPNQBOJFT MJTUFE PO UIF 4UPDL &YDIBOHF PG 5IBJMBOE PG RVBMJÅ³FE EJSFDUPST XIP NBUDI UIF OFFET BOE UIF DPOEJUJPOT TJNJMBS DBUFHPSZ BOE TJ[F PG UIF DPNQBOZ UP UBLF PO UIF QPTJUJPO PG EJSFDUPS PS &YQFSJFODF SPMFT EVUJFT BOE SFTQPOTJCJMJUJFT PG FBDI FYFDVUJWF EJSFDUPS

Roles of the Board of Directors 5ISPVHI EFWFMPQJOH HPPE DPSQPSBUF HPWFSOBODF UIF EJSFDUPST TIBMM CFTJEF DPOEVDUJOH CVTJOFTT PQFSBUJPOT JO DPNQMJBODF XJUI UIF MBXT UIF PCKFDUJWFT BOE UIF SVMFT PG UIF DPNQBOZ BOE UIF SFTPMVUJPOT PG UIF TIBSFIPMEFSTÄ´ NFFUJOH IBWF UIF BVUIPSJUZ BOE GVODUJPO BOE BTTVNF UIF SFTQPOTJCJMJUZ PG UIF #PBSE PG %JSFDUPST JO BDDPSEBODF XJUI UIF SFHVMBUJPOT SFHBSEJOH UIF SPMFT BOE "VUIPSJUZ PG UIF #PBSE PG %JSFDUPST 4FDUJPO *UFN 5IF #PBSE PG %JSFDUPST

Roles and Responsibilities of the Subcommittees $VSSFOUMZ UIF #PBSE PG %JSFDUPST IBT BQQPJOUFE TVCDPN NJUUFFT UIF "VEJU $PNNJUUFF UIF &YFDVUJWF $PNNJUUFF BOE UIF 3JTL .BOBHFNFOU $PNNJUUFF XIPTF SPMFT BOE SFTQPOTJCJMJUJFT IBWF CFFO DMFBSMZ EFÅ³OFE BT GPMMPXT 4FDUJPO *UFN $VSSFOUMZ UIF $PNQBOZ IBT OP SFNVOFSBUJPO DPNNJUUFF BOE OPNJOBUJPO DPNNJUUFF VOMJLFMZ UP CF JO DPNQMJBODF XJUI UIF HPPE DPSQPSBUF

HPWFSOBODF QSJODJQMFT PG UIF 4UPDL &YDIBOHF PG 5IBJMBOE EVF UP UIF GBDU UIBU UIF $PNQBOZ IBT EFDJEFE UP BMMPDBUF UIF UBTLT UP UIF #PBSE PG %JSFDUPST UIF &YFDVUJWF $PNNJUUFF BOE UIF $IJFG &YFDVUJWF 0GÅ³DFS UP OPNJOBUF BOE EFUFSNJOF UIF SFNVOFSBUJPO GPS JNQPSUBOU FYFDVUJWFT /FWFSUIFMFTT UIF SFNVOFSBUJPO PG UIF $IJFG &YFDVUJWF 0GÅ³DFS TIBMM CF EFUFSNJOFE CZ UIF #PBSE PG %JSFDUPST

Roles of the Company Secretary 5IF $PNQBOZ 4FDSFUBSZ TIBMM QSPWJEF JOJUJBM BEWJDF UP UIF EJSFDUPST PO UIF DPOEVDU PG CVTJOFTT JO BDDPSEBODF XJUI UIF MBXT UIF SFRVJSFNFOUT UIF SFHVMBUJPOT BOE UIF SVMFT PG UIF DPNQBOZ BOE TIBMM NPOJUPS UIFJS PQFSBUJPOT GPS BDDVSBDZ BOE DPOTJTUFODZ 5IF $PNQBOZ 4FDSFUBSZ TIBMM TVQFSWJTF PO UIF BTTJHOFE JOGPSNBUJPO EJTDMPTVSF BOE EJTTFNJOBUJPO JO BDDPSEBODF XJUI UIF QSJODJQMFT PG UIF 4UPDL &YDIBOHF PG 5IBJMBOE BOE UIF 0GÅ³DF PG UIF 4FDVSJUJFT BOE &YDIBOHF $PNNJTTJPO

5IF $PNQBOZ 4FDSFUBSZ TIBMM QSPWJEF BOE Å³MF UIF GPMMPXJOH EPDVNFOUT ' Ä» *OWJUBUJPO -FUUFS UP UIF #PBSE PG %JSFDUPSTÄ´ .FFUJOH BOE .JOVUFT PG UIF #PBSE PG %JSFDUPSTÄ´ .FFUJOH Ä» *OWJUBUJPO -FUUFS UP UIF "OOVBM (FOFSBM .FFUJOH PG 4IBSFIPMEFST BOE .JOVUFT PG UIF "OOVBM (FOFSBM .FFUJOH PG 4IBSFIPMEFST Ä» "OOVBM 3FQPSU Ä» 3FQPSU PG $POÅ´JDU PG *OUFSFTU PG %JSFDUPST BOE &YFDVUJWFT

6. Meeting of the Companyâ&#x20AC;&#x2122;s Board of Directors $/, 647(5? /(9 ,9:()309/,+ *6+, 6- *65+;*: -68 4,,:05.9 (9 -6336=9 5IF $PNQBOZÄ´T #PBSE PG %JSFDUPST TDIFEVMFT BU MFBTU TJY BOOVBM NFFUJOHT JO BEWBODF &YUSBPSEJOBSZ NFFUJOHT DBO BMTP CF TDIFEVMFE BT OFFEFE BOE BQQSPQSJBUF CZ QVCMJTIJOH B OPUJDF BU MFBTU EBZT CFGPSF UIF NFFUJOH EBUF 0O FBDI CPBSE NFFUJOH UIFSF NVTU CF NFNCFST PG OPU MFTT UIBO B IBMG PG UIF UPUBM OVNCFS PG #PBSE PG %JSFDUPST

3FHBSEJOH NFFUJOH TDIFEVMF BHFOEB BOE TVQQPSUJOH EPDVNFOUT UIF #PBSE PG %JSFDUPST TFUT VQ NFFUJOH TDIFEVMF GPS UIF XIPMF ZFBS JO BEWBODF BOE LFFQT BMM CPBSE NFNCFST JOGPSNFE PG UIBU TDIFEVMF 'PS UIF #PBSE PG %JSFDUPST BHSFFE UP DPOWFOF NFFUJOHT BU QN

&BDI NFFUJOH NVTU CF BUUFOEFE CZ BU MFBTU UXP UIJSE PG UIF #PBSE NFNCFST BOE UBLFT BCPVU IPVST $IBJSNBO PG UIF #PBSE PG %JSFDUPST JT SFTQPOTJCMF GPS BMMPDBUJOH FOPVHI UJNF UP FBDI BHFOEB JUFN TP UIBU #PBSE NFNCFST BSF BCMF UP EJTDVTT BOE FYQSFTT UIFJS PQJOJPOT EFMJCFSBUFMZ PO JN QPSUBOU TVCKFDUT 5IJT JT KVTU GPS UIF GBJS CFOFÅ³U PG TIBSF IPMEFST BOE BMM QBSUJFT JOWPMWFE BOE BMMPXT GPS BMM SFMFWBOU ! ! XIFO EJTDVTTJOH JNQPSUBOU JTTVFT "HFOEB JUFNT BSF DMFBSMZ JEFOUJÅ³FE JO BEWBODFE CZ DIBJSNBO PG UIF #PBSE PG %JSFDUPST BOE #PBSE NFNCFST XIP XPSL UPHFUIFS UP DPOTJEFS UPQJDT UP CF JODMVEFE JO FBDI NFFUJOH 5IF $PNQBOZÄ´T TFDSFUBSZ JT SFTQPOTJCMF GPS FOTVSJOH UIBU #PBSE NFNCFST BSF QSPWJEFE XJUI BMM SFMBUFE EPDVNFOUT JO BEWBODF CFGPSF NFFUJOH JO PSEFS UIBU UIFZ IBWF FOPVHI UJNF UP TUVEZ DPOTJEFS UPQJDT UP CF DPNNFOUFE PO BOE QSFQBSF GPS WPUJOH 5IF $PNQBOZÄ´T TFDSFUBSZ JT SFTQPOTJCMF GPS EFMJWFSJOH JO WJUBUJPO MFUUFS UP NFFUJOH UPHFUIFS XJUI NFFUJOH BHFOEB BOE BMM SFMBUFE EPDVNFOUT UP #PBSE NFNCFST BU MFBTU EBZT JO BEWBODF FYDFQU UIBU JU OFFET UP CF DPOTJEFSFE VSHFOUMZ 4VQQPSUJOH EPDVNFOUT GPS FBDI NFFUJOH NVTU JODMVEF B TVNNBSZ UIBU JEFOUJÅ³FT JNQPSUBOU NBUUFST UP CF DPOTJEFSFE

*O DPOTJEFSJOH BHFOEB JUFNT #PBSE NFNCFST XIP BSF TFFO BT IBWJOH BO JOUFSFTU JO BOZ JUFN CFJOH DPOTJEFSFE IBWF OP SJHIU UP WPUF *O DBTF PG DPOTJEFSJOH BOZ JUFN SFMBUFE #PBSE NFNCFST XIP BSF TFFO BT IBWJOH B DPOÅ´JDU PG JOUFSFTU NVTU OPU CF QSFTFOU JO UIF NFFUJOH EVSJOH UIF DPOTJEFSBUJPO PG UIJT BHFOEB JUFN 5IF $PNQBOZÄ´T TFDSFUBSZ JT SFTQPOTJCMF GPS UBLJOH NJOVUFT PG NFFUJOH BOE TVCNJUUJOH UIJT UP UIF $PNQBOZÄ´T #PBSE PG %JSFDUPST GPS SFWJFX BOE UP BMM #PBSE NFNCFST GPS DPN NFOUT 5IJT NVTU CF QSPDFTTFE UP DPNQMFUJPO XJUIJO EBZT GSPN UIF EBUF PG NFFUJOH *O UBLJOH NJOVUFT EFUBJMT PG NFFUJOH NVTU CF SFDPSEFE JO XSJUUFO GPSN .JOVUFT BQ QSPWFE CZ #PBSE NFNCFST NVTU CF Å³MFE BOE LFQU JO BO PSHBOJ[FE NBOOFS BOE BWBJMBCMF GPS #PBSE NFNCFST BOE BMM QBSUJFT JOWPMWFE UP SFWJFX 3FHBSEJOH NFFUJOH BUUFOEFE CZ #PBSE NFNCFST XIP BSF OPU JO UIF NBOBHFNFOU UFBN UIF $PNQBOZÄ´T #PBSE PG %JSFDUPST SFRVJSFT UIBU #PBSE NFNCFST XIP BSF OPU JO UIF % " PODF B ZFBS TP UIBU UIFZ DBO FYDIBOHF UIFJS QPJOUT PG WJFX BOE DPOTJEFS EJGGFSFOU NBUUFST SFMBUFE UP UIF $PNQBOZÄ´T CVTJOFTT BOE UPQJDT PG DVSSFOU JOUFSFTU

*U JT FTTFOUJBM UP BMMPDBUF FOPVHI UJNF GPS UIF BENJOJTUSBUJWF UFBN UP TVCNJU EPDVNFOUT BOE JOGPSNBUJPO GPS GVSUIFS EJTDVTTJPOT BOE UIJT NVTU CF FOPVHI GPS UIF #PBSE PG %J SFDUPST UP EJTDVTT PO JNQPSUBOU NBUUFST "MM #PBSE NFNCFST IBWF PQQPSUVOJUJFT BOE BSF FODPVSBHFE UP FYQSFTT UIFJS !

7. Annual Report of the Board of Directors 5IF #PBSE PG %JSFDUPST TIBMM CF SFTQPOTJCMF GPS UIF QSFQBSBUJPO PG UIF Å³OBODJBM SFQPSUT PG UIF $PNQBOZ BOE UIF Å³OBODJBM JOGPSNBUJPO TIPXO JO UIF BOOVBM SFQPSU 5IF QSFQBSBUJPO PG UIF Å³OBODJBM SFQPSUT TIBMM CF JO BDDPSEBODF XJUI UIF HFOFSBMMZ BDDFQUFE BDDPVOUJOH TUBOEBSET UISPVHI UIF VTF PG BQQSPQSJBUF BDDPVOUJOH QPMJDJFT XJUI DPOTJTUFOU QSBDUJDFT BOE IJHI EJTDSFUJPO XIJMF QSPWJEJOH TVGÅ³DJFOU EJTDMPTVSFT PG JNQPSUBOU JOGPSNBUJPO JO UIF OPUFT UP UIF Å³OBODJBM TUBUFNFOUT 5IF #PBSE PG %JSFDUPST TIBMM BTTJHO UIF "VEJU $PNNJUUFF UP EFUFSNJOF UIF RVBMJUZ PG UIF Å³OBODJBM SFQPSUT BOE NBLF TVHHFTUJPOT UP UIF #PBSE PG %JSFDUPST

8. Business Knowledge and Perspective Enhancement for Directors 5IF #PBSE PG %JSFDUPST FNQIBTJ[FT LOPXMFEHF FOIBODFNFOU GPS BMM EJSFDUPST BOE UIF TVCDPNNJUUFFT CZ BTTJHOJOH EJSFDUPST UP BUUFOE USBJOJOHT PSHBOJ[FE CZ WBSJPVT BHFODJFT UP FOIBODF UIFJS LOPXMFEHF BOE UP CSPBEFO UIFJS QFSTQFDUJWF XIJMF JOJUJBUJOH FYFDVUJWF EFWFMPQNFOU QSPKFDUT GPS UIF CFOFÅ³UT PG TVDDFTTJPO QMBOOJOH 5IF #PBSE PG %JSFDUPST IBT BMTP FTUBCMJTIFE B QPMJDZ UP BTTJHO UIF FYFDVUJWFT UP QSPWJEF VTFGVM EPDVNFOUT BOE JOGPSNBUJPO PO UIF PQFSBUJPOT GPS UIF OFX EJSFDUPST BOE UP QSPWJEF B CVTJOFTT PSJFOUBUJPO BOE EJSFDUJPO UP UIFN XIFOFWFS UIFSF JT B DIBOHF PG EJSFDUPST

9. Internal Control 5IF #PBSE PG %JSFDUPST IBT TFU VQ BO JOUFSOBM DPOUSPM GPS UIF $PNQBOZ UP DPWFS BMM BTQFDUT JODMVEJOH Å³OBODF BOE PQFSBUJPOT JO BDDPSEBODF XJUI SFMBUFE MBXT SVMFT BOE SFRVJSFNFOUT BOE IBT BMTP QSPWJEFE TVGÅ³DJFOUMZ FGGFDUJWF BVEJU NFDIBOJTNT BOE DPVOUFSCBMBODFT UP SFHVMBSMZ QSPUFDU UIF $PNQBOZÄ´T BTTFUT 5IF #PBSE PG %JSFDUPST IBT BMTP TFU VQ BO BQQSPWBM QSPDFTT JEFOUJÅ³FE UIF SFTQPOTJCJMJUJFT PG EJSFDUPST BOE FNQMPZFFT JODPSQPSBUFE XJUI BVEJUT BOE DPVOUFSCBMBODFT FTUBCMJTIFE XSJUUFO PQFSBUJPOT SFHVMBUJPOT BOE TFU VQ JOEFQFOEFOU JOUFSOBM BVEJU BHFODJFT UP BVEJU UIF PQFSBUJPOT PG BMM VOJUT JO DPNQMJBODF XJUI FTUBCMJTIFE SFHVMBUJPOT XIJMF FWBMVBUJOH FGÅ³DJFODJFT BOE JOUFSOBM DPOUSPM TVGÅ³DJFODZ PG WBSJPVT VOJUT JO UIF $PNQBOZ

/ 2016

10. Use of Internal Information 5IF #PBSE PG %JSFDUPST SFBMJ[FT UIF JNQPSUBODF PG HPPE DPSQPSBUF HPWFSOBODF 'PS USBOTQBSFODZ BOE QSFWFOUJPO PG TFMG JOUFSFTU GSPN UIF VTF PG UIF $PNQBOZÄ´T VOEJTDMPTFE JOUFSOBM JOGPSNBUJPO UIF $PNQBOZ IBT FTUBCMJTIFE B QPMJDZ PO UIF VTF PG UIF $PNQBOZÄ´T JOUFSOBM JOGPSNBUJPO BT GPMMPXT ,OPXMFEHF PG EVUJFT TIBMM CF QSPWJEFE UP UIF EJSFDUPST 5IF EJSFDUPST BOE UIF FYFDVUJWFT JODMVEJOH UIPTF IPMEJOH UIF FYFDVUJWFT JODMVEJOH UIPTF IPMEJOH UIF QPTJUJPO PG UIF QPTJUJPO PG FYFDVUJWF JO BDDPVOUJOH PS Å³OBODF BU UIF FYFDVUJWF JO BDDPVOUJOH PS Å³OBODF BU UIF MFWFM PG NBOBHFS MFWFM PG NBOBHFS PS IJHIFS PS UIF FRVJWBMFOU BOE UIF PS IJHIFS PS UIF FRVJWBMFOU UP QSPWJEF BOE TVCNJU UIF SFMBUFE PQFSBUPST XIP IBWF CFFO JOGPSNFE PG JNQPSUBOU SFQPSU PG TFDVSJUJFT IPMEJOH PG UIFJS PXO UIFJS TQPVTF BOE JOUFSOBM JOGPSNBUJPO XIJDI NBZ BGGFDU UIF TUPDL QSJDFT TIBMM UIFJS VOEFSBHF DIJMESFO UP UIF 0GÅ³DF PG 4FDVSJUJFT BOE SFGSBJO GSPN UIF TBMF BOE QVSDIBTF PG UIF $PNQBOZÄ´T &YDIBOHF $PNNJTTJPO BOE UIF 4UPDL &YDIBOHF JO TFDVSJUJFT EVSJOH UIF QFSJPE QSJPS UP UIF EJTTFNJOBUJPO PG BDDPSEBODF XJUI 4FDUJPO BOE 1FOBMUZ VOEFS 4FDUJPO UIF Å³OBODJBM TUBUFNFOUT PS UIF Å³OBODJBM QPTJUJPO BOE UIF PG UIF 4FDVSJUJFT BOE &YDIBOHF "DU # & TUBUVT PG UIF $PNQBOZ VOUJM UIF $PNQBOZ IBT EJTDMPTFE QVCMJDMZ 5IF $PNQBOZ TIBMM OPUJGZ JO XSJUJOH UIF EJSFDUPST BOE UIF FYFDVUJWFT JODMVEJOH UIPTF IPMEJOH UIF QPTJUJPO 5IF EJSFDUPST BOE UIF FYFDVUJWFT JODMVEJOH UIPTF IPMEJOH PG FYFDVUJWF JO BDDPVOUJOH PS Å³OBODF BU UIF MFWFM PG UIF QPTJUJPO PG FYFDVUJWF JO BDDPVOUJOH PS Å³OBODF BU UIF NBOBHFS PS IJHIFS PS UIF FRVJWBMFOU UP SFGSBJO GSPN UIF MFWFM PG NBOBHFS PS IJHIFS PS UIF FRVJWBMFOU TIBMM CF TBMF BOE QVSDIBTF PG UIF $PNQBOZÄ´T TFDVSJUJFT GPS BU MFBTU BTTJHOFE UP BMXBZT QSPWJEF BOE TVCNJU UIF SFQPSU PG EBZT QSJPS UP UIF QVCMJD EJTDMPTVSF BOE JU JT BEWJTBCMF UP TFDVSJUJFT IPMEJOH PG UIFJS PXO UIFJS TQPVTF BOE UIFJS XBJU BU MFBTU IPVST BGUFS UIF QVCMJD EJTDMPTVSF *U JT BMTP VOEFSBHF DIJMESFO UP UIF $PNQBOZ 4FDSFUBSZ CFGPSF QSPIJCJUFE UP EJTDMPTF TVDI JNQPSUBOU JOGPSNBUJPO UP PUI TFOEJOH UP UIF 0GÅ³DF PG 4FDVSJUJFT BOE &YDIBOHF FS JOEJWJEVBMT $PNNJTTJPO BOE UIF 4UPDL &YDIBOHF 5IF QSFQBSBUJPO BOE UIF EFMJWFSZ TIBMM CF DPNQMFUFE XJUI EBZT DPVOUJOH 1FOBMUJFT IBWF CFFO TQFDJÅ³FE GPS UIF VTF PG VOEJTDMPTFE GSPN UIF EBZ PG BQQPJOUNFOU BT EJSFDUPS PS FYFDVUJWF PS UIF EBZ PG UIF SFQPSU PG DIBOHFT PG TFDVSJUJFT IPMEJOH XSJUUFO XBSOJOH XBHF SFEVDUJPO UFNQPSBSZ TVTQFOTJPO XJUIJO XPSLJOH EBZT DPVOUJOH GSPN UIF EBZ PG QVSDIBTF XJUIPVU QBZ UP TFWFSBODF BOE TIBMM CF EFUFSNJOFE CBTFE ! ! VQPO JOUFOUJPOT BOE UIF TFWFSJUZ PG UIF FSSPS

Structure of the Board of Directors Board of Directors 5IF #PBSE PG %JSFDUPST JT DPNQSJTFE PG FYQFSUT XIP BSF LOPXMFEHFBCMF DPNQFUFOU BOE FYQFSJFODFE JO WBSJPVT QSPGFTTJPOT XIJDI BSF CFOFÅ³DJBM UP UIF $PNQBOZ 5IF #PBSE PG %JSFDUPST SFQSFTFOUT UIF TIBSFIPMEFST BOE IBT B EVUZ UP TVQFSWJTF UIF XIPMF CVTJOFTT PQFSBUJPOT UP DPNQMZ XJUI UIF MBXT PCKFDUJWFT BOE SVMFT PG UIF $PNQBOZ BT XFMM BT UIF SFTPMVUJPOT PG UIF 4IBSFIPMEFSTÄ´ .FFUJOH XJUI JOUFHSJUZ XIJMF NBJOUBJOJOH UIF CFOFÅ³UT PG UIF TIBSFIPMEFST BOE PUIFS TUBLFIPMEFST 5P DBSSZ PVU TVDI UBTLT UIF #PBSE PG %JSFDUPST TIBMM BQQSPWF UIF $PNQBOZÄ´T WJTJPO NJTTJPO TUSBUFHJFT HPBMT CVTJOFTT QMBOT BOE CVEHFU 5IF #PBSE PG %JSFDUPST IBT DMFBSMZ EFÅ³OFE JO XSJUJOH UIF SPMFT EVUJFT BOE SFTQPOTJCJMJUJFT PG UIF #PBSE PG %JSFDUPST UIF "VEJU $PNNJUUFF BOE UIF &YFDVUJWF $PNNJUUFF BOE IBT BMTP QSPWJEFE NFDIBOJTNT GPS DPSQPSBUF HPWFSOBODF PQFSBUJPOT NPOJUPSJOH BOE FYFDVUJWF DPNNJUUFF DPOUSPM VOEFS B XSJUUFO DPSQPSBUF HPWFSOBODF QPMJDZ UP CF SFWJFXFE BU MFBTU PODF B ZFBS 4VDI QPMJDZ IBT CFFO SFHVMBSMZ EJTTFNJOBUFE BOE DPNNVOJDBUFE BT EJSFDUJPO GPS PQFSBUJPOT JO BMM DIBOOFMT JODMVEJOH UIF PSHBOJ[BUJPOÄ´T JOUSBOFU UIF $PNQBOZÄ´T XFCTJUF UIF NBOVBM GPS UIF EJSFDUPST UIF FYFDVUJWFT BOE UIF FNQMPZFFT CZ UIF 0GÅ³DF PG $PNQBOZ 4FDSFUBSZ BOE UIF $PSQPSBUF (PWFSOBODF 1SPNPUJPO %JWJTJPO -BX 4FDUJPO

"T PG %FDFNCFS UIF #PBSE PG %JSFDUPST TIBMM CF DPNQSJTFE PG NFNCFST BT GPMMPXT

& "+,

* ' $(*' ! ' + *'+"%)

* ! *. '"' -' ",$",+ + &* )! *' -' ",$",+ * ", ! " "&",) '0 *+ ! * "&",) '0 + * / ' (* '"# * ' , "*"0(,!"'$-% * " ! , ',"/ '" ! * " ! 0 ! ,"$ . '"#

(+","(' ! "*& ' ( ,! ( * ( "* ,(*+ ' ) ' ', "* ,(* ' & * ( - ", (&&",, "* ,(* "* ,(* "* ,(* "* ,(* "* ,(* "* ,(* ' ) ' ', "* ,(* ' ! "*& ' ( - ", (&&",, ' ) ' ', "* ,(* ' & * ( - ", (&&",,

# " ! & ! " ! " ! # '(" ! ! # !" ! # # ! " $# ! % ' # ! ! # !"( # $ $"#

$POTFRVFOUMZ .S /BUUBQVNF 1BWBSBUO UBLFT VQ UIF QPTJUJPO PG $PNQBOZ 4FDSFUBSZ

Authority of the Board of Directors 5IF #PBSE SFQSFTFOUT BMM UIF TIBSFIPMEFST BOE JT SFTQPOTJCMF GPS HPWFSOJOH UIF $PNQBOZÄ´T PQFSBUJPOT JO BDDPSEBODF XJUI UIF QSPWJTJPOT PG UIF MBX "SUJDMFT PG "TTPDJBUJPO BOE SFTPMVUJPOT PG TIBSFIPMEFS NFFUJOHT 5IF QSJNBSZ SPMF PG UIF #PBSE JT UP TFU UIF $PNQBOZÄ´T TUSBUFHJD EJSFDUJPO BOE QSPWJEF UIF OFDFTTBSZ MFBEFSTIJQ BOE PWFSTJHIU UP CVJME MPOH UFSN TIBSFIPMEFS WBMVF *O HPWFSOJOH UIF $PNQBOZ UIF EJSFDUPST NVTU FYFSDJTF UIFJS CVTJOFTT KVEHNFOU BOE BDU JO XIBU UIFZ SFBTPOBCMZ CFMJFWF UP CF UIF CFTU JOUFSFTUT PG UIF $PNQBOZ BOE JUT TIBSFIPMEFST %JSFDUPST NVTU BMTP XIFO BQQSPQSJBUF UBLF JOUP DPOTJEFSBUJPO UIF JOUFSFTUT PG PUIFS TUBLFIPMEFST 5IF #PBSE IBT EFMFHBUFE SFTQPOTJCJMJUZ GPS NBOBHJOH UIF $PNQBOZÄ´T EBZ UP EBZ CVTJOFTT BOE PQFSBUJPOT UP UIF NBOBHFNFOU UISPVHI UIF $&0 XJUIJO UIF MJNJUT TFU PVU JO UIF EFMFHBUJPO PG BVUIPSJUZ BQQSPWFE CZ UIF #PBSE XIJMTU SFTFSWJOH LFZ NBUUFST GPS UIF #PBSE *O TVQFSWJTJOH BMM UIF $PNQBOZÄ´T CVTJOFTT UIF #PBSE PG %JSFDUPST IBT EFUFSNJOFE UIF GPMMPXJOH NBUUFST UP CF UIF BVUIPSJUZ BOE SFTQPOTJCJMJUZ PG UIF #PBSE PG %JSFDUPST XIP TIBMM DPOTJEFS GPS UIF BQQSPWBM

/ 2016

5IF #PBSE PG %JSFDUPST TIBMM IBWF UIF "VUIPSJUZ EVUJFT BOE SFTQPOTJCJMJUJFT UP DPOEVDU CVTJOFTT PQFSBUJPOT JO BDDPSEBODF XJUI UIF MBXT PCKFDUJWFT BOE SVMFT PG UIF $PNQBOZ JODMVEJOH UIF MFHJUJNBUF SFTPMVUJPOT PG UIF 4IBSFIPMEFSTÄ´ .FFUJOH XJUI JOUFHSJUZ XIJMF NBJOUBJOJOH UIF CFOFÅ³UT PG UIF $PNQBOZ 5IF "OOVBM (FOFSBM .FFUJOH PG 4IBSFIPMEFST TIBMM CF IFME XJUIJO NPOUIT DPVOUJOH GSPN UIF FOE PG UIF BDDPVOUJOH QFSJPE PG UIF $PNQBOZ " %JSFDUPSTÄ´ .FFUJOH TIBMM CF BSSBOHFE BU MFBTU PODF FWFSZ 5IF #PBSE PG %JSFDUPST TIBMM QSPWJEF BOE CF SFTQPOTJCMF GPS UIF QSFQBSBUJPO BOE UIF EJTDMPTVSF PG UIF Å³OBODJBM TUBUFNFOUT UP TIPX UIF Å³OBODJBM QPTJUJPO BOE UIF PQFSBUJOH QFSGPSNBODF EVSJOH UIF QSFWJPVT ZFBS BOE TIBMM QSFTFOU UP UIF 4IBSFIPMEFSTÄ´ .FFUJOH GPS DPOTJEFSBUJPO BOE BQQSPWBM 5IF #PBSE PG %JSFDUPST TIBMM TFU UIF $PNQBOZÄ´T HPBMT EJSFDUJPOT QPMJDJFT CVTJOFTT PQFSBUJPO QMBOT BOE CVEHFU BOE TIBMM NPOJUPS BOE TVQFSWJTF UIF FYFDVUJWFTÄ´ BENJOJTUSBUJPO BOE NBOBHFNFOU UP DPNQMZ XJUI UIF TQFDJÅ³FE QPMJDJFT QMBOT BOE CVEHFUT XJUI FGÅ³DJFODZ BOE FGGFDUJWFOFTT 5IF #PBSE PG %JSFDUPST TIBMM FTUBCMJTI B SJTL NBOBHFNFOU QPMJDZ BOE TVQFSWJTF UIF PQFSBUJPOT PG UIF FYFDVUJWFT UP DPNQMZ XJUI UIF QPMJDZ BOE TIBMM SFQPSU UIF SFTVMUT UP UIF EJSFDUPST 5IF #PBSE PG %JSFDUPST TIBMM BMTP SFHVMBSMZ SFWJFX UIF TZTUFN PS BTTFTT UIF FGÅ³DJFODZ PG SJTL NBOBHFNFOU 5IF #PBSE PG %JSFDUPST TIBMM TVQFSWJTF UIF BENJOJTUSBUJPO BOE NBOBHFNFOU PG UIF $PNQBOZ BOE UIF TVCTJEJBSZ DPNQBOJFT UP DPNQMZ XJUI UIF TQFDJÅ³FE QPMJDZ UIF MBX PO TFDVSJUJFT BOE FYDIBOHF UIF /PUJÅ³DBUJPO PG $BQJUBM .BSLFU 4VQFSWJTPSZ #PBSE UIF SFRVJSFNFOUT PG UIF 4UPDL &YDIBOHF PG 5IBJMBOE TVDI BT DPOOFDUFE USBOTBDUJPOT BOE BDRVJTJUJPO PS EJTQPTBM PG NBKPS BTTFUT BT MPOH BT UIFZ BSF OPU JO DPOÅ´JDU XJUI PUIFS MBXT XIJMF QSPWJEJOH TVGÅ³DJFOU BOE BQQSPQSJBUF JOUFSOBM DPOUSPM TZTUFNT BOE JOUFSOBM BVEJU 5IF #PBSE PG %JSFDUPST TIBMM SFWJFX WFSJGZ BOE BQQSPWF CVTJOFTT FYQBOTJPO QMBOT MBSHF JOWFTUNFOU QSPKFDUT BT XFMM BT JOWFTUNFOUT QSPQPTFE CZ UIF FYFDVUJWFWT 5IF #PBSE PG %JSFDUPST TIBMM QSFQBSF BO "OOVBM 3FQPSU PG UIF %JSFDUPST BOE TIBMM CF SFTQPOTJCMF GPS UIF QSFQBSBUJPO BOE EJTDMPTVSF PG UIF Å³OBODJBM TUBUFNFOUT UP TIPX UIF Å³OBODJBM QPTJUJPO BOE UIF PQFSBUJOH QFSGPSNBODF PG UIF QSFWJPVT ZFBS BOE TIBMM QSFTFOU UP UIF 4IBSFIPMEFSTÄ´ .FFUJOH GPS DPOTJEFSBUJPO BOE BQQSPWBM

5IF #PBSE PG %JSFDUPST TIBMM TFU VQ UIF TUSVDUVSF PG BENJOJTUSBUJPO BOE NBOBHFNFOU BOE TIBMM IBWF UIF BVUIPSJUZ UP BQQPJOU UIF #PBSE PG %JSFDUPST UIF $IJFG &YFDVUJWF 0GÅ³DFS BOE UIF TVCDPNNJUUFFT BT EFFNFE BQQSPQSJBUF TVDI BT UIF "VEJU $PNNJUUFF UIF /PNJOBUJPO BOE 3FNVOFSBUJPO $PNNJUUFF XIJMF TQFDJGZJOH UIF "VUIPSJUZ PG UIF BQQPJOUFE #PBSE PG %JSFDUPST $IJFG FYFDVUJWF 0GÅ³DFS BOE TVCDPNNJUUFFT )PXFWFS TVDI BVUIPSJ[BUJPO XJUIJO TQFDJÅ³FE CPVOEBSJFT TIBMM OPU BMMPX UIF #PBSE PG %JSFDUPST UIF $IJFG &YFDVUJWF 0GÅ³DFS BOE UIF TVCDPNNJUUFFT UP BQQSPWF USBOTBDUJPOT XJUI DPOÅ´JDU PG JOUFSFTU PS USBOTBDUJPOT PG JOUFSFTUFE QFSTPOT PS UIPTF XIJDI BSF BHBJOTU BOZ CFOFÅ³UT PG UIF $PNQBOZ PS UIF TVCTJEJBSZ DPNQBOJFT JG BOZ FYDFQU GPS UIPTF USBOTBDUJPOT BQQSPWFE JO DPNQMJBODF XJUI UIF QPMJDZ BOE QSJODJQMFT BQQSPWFE CZ UIF #PBSE PG %JSFDUPST 5IF #PBSE PG %JSFDUPST NBZ BVUIPSJ[F POF PS TFWFSBM EJSFDUPST PS PUIFS JOEJWJEVBMT UP DPOEVDU BOZ PQFSBUJPO GPS UIF #PBSE PG %JSFDUPST VOEFS UIF TVQFSWJTJPO PG UIF #PBSE PG %JSFDUPST PS NBZ EFMFHBUF UIF BVUIPSJUZ UP TVDI JOEJWJEVBM T JG EFFNFE BQQSPQSJBUF CZ UIF #PBSE PG %JSFDUPST BOE XJUIJO B UJNF QFSJPE EFFNFE BQQSPQSJBUF CZ UIF #PBSE PG %JSFDUPST PO UIF CBTJT UIBU TVDI BVUIPSJ[BUJPO NBZ CF DBODFMMFE XJUIESBXO BMUFSOBUFE PS SFWJTFE JG EFFNFE BQQSPQSJBUF /FWFSUIFMFTT TVDI BVUIPSJ[BUJPO TIBMM OPU BMMPX TVDI JOEJWJEVBM T UP DPOTJEFS BOE BQQSPWF USBOTBDUJPOT XJUI DPOÅ´JDU PG JOUFSFTU PS USBOTBDUJPOT PG JOUFSFTUFE QFSTPOT PS UIPTF XIJDI BSF BHBJOTU BOZ CFOFÅ³UT PG UIF $PNQBOZ PS UIF TVCTJEJBSZ DPNQBOJFT JG BOZ BT EFÅ³OFE JO UIF /PUJÅ³DBUJPO PG $BQJUBM .BSLFU 4VQFSWJTPSZ #PBSE BOE PS UIF 4UPDL &YDIBOHF PG 5IBJMBOE BOE PS BOZ PUIFS OPUJÅ³DBUJPOT PG SFMBUFE BHFODJFT FYDFQU GPS BQQSPWFE USBOTBDUJPOT XIJDI BSF OPSNBM CVTJOFTT QSBDUJDFT JO BDDPSEBODF XJUI UIF HFOFSBM DPNNFSDJBM DPOEJUJPOT PS QPMJDJFT BOE QSJODJQMFT DPOTJEFSFE BOE BQQSPWFE CZ UIF #PBSE PG %JSFDUPST VOEFS UIF TQFDJÅ³FE QSJODJQMFT DPOEJUJPOT BOE NFUIPET PG DPOOFDUFE USBOTBDUJPOT BOE UIF BDRVJSFE PS EJTQPTFE USBOTBDUJPOT PG JNQPSUBOU BTTFUT PG MJTUFE DPNQBOJFT XIJDI BSF JO DPNQMJBODF XJUI UIF /PUJÅ³DBUJPO PG $BQJUBM .BSLFU 4VQFSWJTPSZ #PBSE BOE PS UIF 4UPDL &YDIBOHF PG 5IBJMBOE BOE PS OPUJÅ³DBUJPOT PG PUIFS SFMBUFE BHFODJFT 5IF #PBSE PG %JSFDUPST IBT UIVT SFTPMWFE UP BMMPX UIF &YFDVUJWF $PNNJUUFF UP DPOTJEFS BOE BQQSPWF BE IPD USBOTBDUJPOT PS PUIFS USBOTBDUJPOT VOEFS BO BNPVOU BT GPMMPXT

% " ! "$ / 2016

B "QQSPWBM PG *OWFTUNFOU BOE $POTUSVDUJPO 5SBOTBDUJPOT 0 6%(&5 3"/4"$5*0/4 "QQSPWBM GPS JOWFTUNFOUT JO Å³YFE BTTFUT TVDI BT MBOE CVJMEJOHT PS FEJÅ³DF XJUI B WBMVF PG NPSF UIBO #BIU "QQSPWBM GPS PUIFS JOWFTUNFOUT TVDI BT KPJOU WFOUVSFT MPBOT XJUI B WBMVF PG NPSF UIBO #BIU "QQSPWBM GPS MPBOT GSPN Å³OBODJBM JOTUJUVUJPOT XJUI B QVSQPTF GPS DPOTUSVDUJPO XBSFIPVTJOH XJUI B WBMVF PG NPSF UIBO #BIU "QQSPWBM GPS MPBOT GSPN SFMBUFE DPNQBOJFT PS PUIFS DPNQBOJFT XJUI B QVSQPTF GPS DPOTUSVDUJPO XBSFIPVTJOH XJUI B WBMVF PG NPSF UIBO #BIU

Subcomittees 1. Audit Committee 5IF "VEJU $PNNJUUFF JT DPNQSJTFE PG NFNCFST BT GPMMPXT

" " % ! ! & " $

! " # " "" " " # " "" " " # " "" " "

5IF "VEJU $PNNJUUFF .FNCFST BSF TVGÅ³DJFOUMZ LOPXMFEHFBCMF BOE FYQFSJFODFE UP SF FYBNJOF UIF DSFEJCJMJUZ PG UIF Å³OBODJBM TUBUFNFOUT PG UIF $PNQBOZ

/ 2016

Authority of the Audit Committee 5IF "VEJU $PNNJUUFF IBT UIF "VUIPSJUZ SFDPSEFE JO XSJUJOH JO BDDPSEBODF XJUI UIF $IBSUFS PG UIF "VEJU $PNNJUUFF BQQSPWFE CZ UIF #PBSE PG %JSFDUPST XIJDI IBT CFFO BOOVBMMZ SF FYBNJOFE BOE JNQSPWFE BT GPMMPXT 5IF "VEJU $PNNJUUFF TIBMM SF FYBNJOF UIF $PNQBOZÄ´T Å³OBODJBM SFQPSUT GPS BDDVSBDZ BOE TVGÅ³DJFOU EJTDMPTVSF CZ DPPSEJOBUJOH XJUI FYUFSOBM BVEJUPST BOE FYFDVUJWFT XIP BSF SFTQPOTJCMF GPS UIF QSFQBSBUJPO PG UIF Å³OBODJBM SFQPSUT JODMVEJOH UIF RVBSUFSMZ Å³OBODJBM SFQPSUT BOE UIF BOOVBM Å³OBODJBM SFQPSU 5IF "VEJU $PNNJUUFF NBZ TVHHFTU UIF BVEJUPST UP SF FYBNJOF PS WFSJGZ BOZ USBOTBDUJPO BT EFFNFE OFDFTTBSZ BOE JNQPSUBOU EVSJOH UIF Å³OBODJBM BVEJU PG UIF $ 5IF "VEJU $PNNJUUFF TIBMM SF FYBNJOF UIF $PNQBOZÄ´T JOUFSOBM DPOUSPM TZTUFN BOE JOUFSOBM BVEJU GPS TVJUBCJMJUZ BOE FGGFDUJWFOFTT BOE TIBMM SFWJFX UIF JOEFQFOEFODF PG UIF JOUFSOBM BVEJU VOJUT BOE BQQSPWF BQQPJOUNFOUT SFNPWBMT UFSNJOBUJPOT PG UIF DIJFG PG UIF JOUFSOBM BVEJU VOJUT PS PUIFS VOJUT SFTQPOTJCMF GPS JOUFSOBM BVEJU PS BOZ PUIFS PSHBOJ[BUJPOT CFJOH SFTQPOTJCMF GPS NBUUFST SFMBUFE UP JOUFSOBM BVEJU 5IF "VEJU $PNNJUUFF TIBMM SF FYBNJOF UIF PQFSBUJPOT PG UIF $PNQBOZ UP DPNQMZ XJUI UIF MBX PO TFDVSJUJFT BOE FYDIBOHF UIF SFRVJSFNFOUT PG UIF 4UPDL &YDIBOHF BOE UIF MBXT SFMBUFE UP UIF CVTJOFTT PG UIF $PNQBOZ 5IF "VEJU $PNNJUUFF TIBMM DPOTJEFS TFMFDU BOE OPNJOBUF JOEJWJEVBMT XIP BSF JOEFQFOEFOU UP DBSSZ PVU UIF EVUJFT PG BVEJUPS PG UIF $PNQBOZ BOE QSPQPTF UIF SFNVOFSBUJPO PG TVDI JOEJWJEVBMT CZ DPOTJEFSJOH DSFEJCJMJUZ SFTPVSDF TVGÅ³DJFODZ BVEJU RVBOUJUZ PG TVDI BVEJU PGÅ³DF BOE UIF FYQFSJFODF PG UIF BQQPJOUFE BVEJUPST PG UIF $PNQBOZ 5IF "VEJU $PNNJUUFF TIBMM BUUFOE NFFUJOHT XJUI UIF BVEJUPST XJUIPVU BUUFOEBODF PG UIF BENJOJTUSBUJPO EFQBSUNFOU BU $ 5IF "VEJU $PNNJUUFF TIBMM SFWJFX DPOOFDUFE USBOTBDUJPOT PS USBOTBDUJPOT XJUI DPOÅ´JDU PG JOUFSFTU UP DPNQMZ XJUI UIF MBXT BOE SFRVJSFNFOUT PG UIF 4UPDL &YDIBOHF UP FOTVSF UIBU TVDI USBOTBDUJPOT BSF SFBTPOBCMF BOE QSPWJEF NBYJNVN CFOFÅ³UT GPS UIF $PNQBOZ 5IF "VEJU $PNNJUUFF TIBMM QSFQBSF UIF "VEJU $PNNJUUFF 3FQPSUT UISPVHI EJTDMPTVSF JO UIF $PNQBOZÄ´T "OOVBM 3FQPSU 4VDI SFQPSUT TIBMM CF TJHOFE CZ UIF $IBJSNBO PG UIF "VEJU $PNNJUUFF BOE TIBMM DPOTJTU PG UIF GPMMPXJOH JOGPSNBUJPO

0QJOJPOT PO UIF BDDVSBDZ DPNQMFUFOFTT DSFEJCJMJUZ PG UIF $PNQBOZÄ´T Å³OBODJBM SFQPSUT 0QJOJPOT PO UIF TVGÅ³DJFODZ PG UIF $PNQBOZÄ´T JOUFSOBM $ 0QJOJPOT PO UIF PQFSBUJPOT JO BDDPSEBODF XJUI UIF MBX PO TFDVSJUJFT BOE FYDIBOHF UIF SFRVJSFNFOUT PG UIF 4UPDL &YDIBOHF PS MBXT SFMBUFE UP UIF CVTJOFTT PG $ 0QJOJPOT PO UIF TVJUBCJMJUZ PG UIF BVEJUPST 0QJOJPOT PO USBOTBDUJPOT XIJDI NBZ DBVTF DPOÅ´JDU PG 5IF OVNCFS PG UIF "VEJU $PNNJUUFF NFFUJOHT BOE UIF BUUFOEBODF PG FBDI "VEJU $PNNJUUFF .FNCFS 0QJOJPOT PS PCTFSWBODFT HJWFO UP UIF "VEJU $PNNJUUFF GPS QFSGPSNJOH UIF EVUJFT JO BDDPSEBODF XJUI UIF 0UIFS USBOTBDUJPOT GPS UIF TIBSFIPMEFST BOE UIF JOWFTUPST UP CF BXBSF PG VOEFS UIF SPMFT BOE SFTQPOTJCJMJUJFT HSBOUFE CZ UIF #PBSE PG %JSFDUPST 5IF "VEJU $PNNJUUFF TIBMM DPOEVDU BOZ PUIFS PQFSBUJPOT BT BTTJHOFE CZ UIF #PBSE PG %JSFDUPST XJUI BQQSPWBM GSPN UIF "VEJU $PNNJUUFF 5IF "VEJU $PNNJUUFF TIBMM IBWF UIF BVUIPSJUZ UP BVEJU BOE JOWFTUJHBUF XIFO EFFNFE OFDFTTBSZ BMM USBOTBDUJPOT XIJDI NBZ TJHOJÅ³DBOUMZ BGGFDU UIF Å³OBODJBM QPTJUJPO BOE UIF PQFSBUJOH QFSGPSNBODF PG UIF $PNQBOZ BT GPMMPXT 5SBOTBDUJPOT XJUI DPOÅ´JDU PG JOUFSFTU 'SBVET PS JSSFHVMBSJUJFT PS EFGFDUT XIJDI BSF TJHOJÅ³DBOU $ 7JPMBUJPOT PG UIF MBX PO TFDVSJUJFT BOE FYDIBOHF UIF SFRVJSFNFOUT PG UIF 4UPDL &YDIBOHF PG 5IBJMBOE PS MBXT SFMBUFE UP UIF CVTJOFTT PG UIF $PNQBOZ 5IF "VEJU $PNNJUUFF TIBMM BMTP CF BVUIPSJ[FE UP TFFL JOEFQFOEFOU PQJOJPOT GSPN BOZ PUIFS QSPGFTTJPOBM DPOTVMUBOUT XIFO EFFNFE OFDFTTBSZ VOEFS UIF QBZNFOU $ $ ! " ! SFTQPOTJCJMJUZ GPS DPNQMFUF SFTVMUT /FWFSUIFMFTT UIF "VEJU $PNNJUUFF TIBMM SFQPSU UIF SFTVMUT PG UIF BVEJU BOE JOWFTUJHBUJPO UP UIF #PBSE PG UIF %JSFDUPST GPS JNQSPWFNFOUT XJUIJO B UJNF GSBNF BT UIF "VEJU $PNNJUUFF TFFT Å³U

2. Executive Committee / 5)& 9&$65*7& 0..*55&& 8"4 $0.13*4&% 0' .&.#&34 "4 '0--084

! &'

% %) " " (" ' '& % ' ! '$ "+ % " ' % +#' " ( % ( " #%"' " %& % ! '$ "+ % '' $(! ) % '" % $#" (" &% & " ( "

#& ' #"

%! " # ' * (' ) #!! '' * (' ) #!! '' * (' ) #!! '' * (' ) #!! '' * (' ) #!! '' * (' ) #!! '' * (' ) #!! ''

Authority of the Executive Committee 5IF &YFDVUJWF $PNNJUUFF TIBMM IBWF UIF BVUIPSJUZ SFDPSEFE JO XSJUJOH JO BDDPSEBODF XJUI UIF $IBSUFS PG UIF &YFDVUJWF DPNNJUUFF XIJDI IBT CFFO BQQSPWFE CZ UIF #PBSE PG %JSFDUPST BT GPMMPXT 5IF &YFDVUJWF $PNNJUUFF TIBMM DPOEVDU UIF CVTJOFTT PQFSBUJPOT PG UIF $PNQBOZ JO BDDPSEBODF XJUI UIF PCKFDUJWFT SVMFT QPMJDJFT PSEFST SFHVMBUJPOT BOE SFTPMV UJPOT PG UIF %JSFDUPSTÄ´ .FFUJOH BOE PS UIF SFTPMVUJPOT PG UIF 4IBSFIPMEFSTÄ´ .FFUJOHT PG UIF $PNQBOZ 5IF &YFDVUJWF $PNNJUUFF TIBMM TDSFFO UIF QSPQPTBMT PG UIF &YFDVUJWFT BOE QSFTFOU QPMJDJFT HPBMT TUSBUFHJFT CVTJOFTT PQFSBUJPOT JOWFTUNFOUT CVTJOFTT FYQBOTJPOT BOE CVEHFUT UP UIF %JSFDUPSTÄ´ .FFUJOH GPS DPOTJEFSBUJPO BOE BQQSPWBM 5IF &YFDVUJWF $PNNJUUFF TIBMM DPOTJEFS BOE BQQSPWF " ! BDDPSEBODF XJUI UIF JOWFTUNFOU CVEHFUT PS CVEHFUT BQ QSPWFE CZ UIF #PBSE PG %JSFDUPST 5IF Å³OBODJBM BNPVOU GPS FBDI USBOTBDUJPO TIBMM CF JO BDDPSEBODF XJUI UIBU TQFDJÅ³FE JO UIF BVUIPSJUZ MJNJU UBCMF XIJDI IBT CFFO BQQSPWFE CZ UIF #PBSE PG %JSFDUPST CVU OPU FYDFFEJOH UIF BOOVBM CVEHFU BQQSPWFE CZ UIF #PBSE PG %JSFDUPST $POUSBDUT JO SFMBUJPO UP UIPTF USBOTBDUJPOT TIBMM BMTP CF JODMVEFE 5IF &YFDVUJWF $PNNJUUFF TIBMM NPOJUPS UIF PQFSBUJOH $ $ " PG UIF #PBSE PG %JSFDUPST BOE UIF TQFDJÅ³FE HPBMT BOE TIBMM TVQFSWJTF UIF PQFSBUJPOT GPS CFTU RVBMJUZ BOE FGGFDUJWFOFTT

5IF &YFDVUJWF $PNNJUUFF TIBMM IBWF UIF BVUIPSJUZ UP DPOTJEFS BOE BQQSPWF FYQFOTFT GPS PQFSBUJPOT PG UIF $ " ! DPNQMJBODF XJUI UIF CVEHFU BQQSPWFE CZ UIF #PBSE PG %JSFDUPST VOEFS UIF BVUIPSJUZ BQQSPWFE CZ UIF #PBSE PG $ 5IF &YFDVUJWF $PNNJUUFF TIBMM TFU VQ UIF TUSVDUVSF PG UIF PSHBOJ[BUJPO EFMFHBUF UIF BVUIPSJUZ JO PSHBOJ[BUJPO NBO BHFNFOU BOE SFWJFX BOE BEKVTU NPOUIMZ JODPNFT BOE CPOVTFT PG QFSTPOOFM GSPN UIF $IJFG &YFDVUJWF 0GÅ³DFS EPXOXBSE 5IF &YFDVUJWF $PNNJUUFF TIBMM BMTP DPOTJEFS BOE BQQSPWF NBOQPXFS OPU JODMVEFE JO UIF BOOVBM CVEHFU 5IF &YFDVUJWF $PNNJUUFF TIBMM CF BVUIPSJ[FE UP HSBOU BVUIPSJUZ UP BOZ JOEJWJEVBM PS JOEJWJEVBMT UP DBSSZ PVU BOZ PQFSBUJPO VOEFS UIF TVQFSWJTJPO PG UIF #PBSE PG %JSFDUPST PS NBZ BVUIPSJ[F TVDI JOEJWJEVBM T BT EFFNFE BQQSPQSJBUF CZ UIF &YFDVUJWF $PNNJUUFF XJUIJO B UJNF GSBNF EFFNFE BQQSPQSJBUF CZ UIF &YFDVUJWF $PNNJUUFF PO UIF CBTJT UIBU TVDI BVUIPSJ[BUJPO NBZ CF DBODFMMFE XJUIESBXO BMUFSOBUFE PS SFWJTFE CZ UIF #PBSE PG %JSFDUPST JG EFFNFE IF &YFDVUJWF $PNNJUUFF TIBMM DPOTJEFS BOE BQQSPWF UIF PQFOJOH DMPTJOH PG CBOL BDDPVOUT BOE UIF VTF PG TFSWJDFT PG SFMBUFE CBOLT BOE TIBMM BTTJHO BVUIPSJ[FE TJHOBUPSJFT GPS UIF CBOL BDDPVOUT PG UIF $PNQBOZ

/ 2016

5IF &YFDVUJWF $PNNJUUFF TIBMM DPOEVDU BOZ PUIFS PQFSBUJPOT BT QFSJPEJDBMMZ BTTJHOFE CZ UIF #PBSE PG %JSFDUPST /FWFSUIFMFTT UIF &YFDVUJWF $PNNJUUFFÄ´T BVUIPSJ[BUJPO BOE ! % PS TVC EFMFHBUJPO UIBU BMMPXT UIF JOEJWJEVBM T BVUIPSJ[FE CZ UIF &YFDVUJWF $PNNJUUFF UP BQQSPWF USBOTBDUJPOT PG UIF BVUIPSJ[FE JOEJWJEVBMT XJUI DPOÅ´JDU PS JOUFSFTU BT EFÅ³OFE CZ UIF /PUJÅ³DBUJPO PG $BQJUBM .BSLFU 4VQFSWJTPSZ #PBSE BOE PS UIF 4UPDL &YDIBOHF PG 5IBJMBOE BOE PS SFMBUFE BHFODJFT JOUFSFTUFE QFSTPOT PS UIPTF XJUI BOZ

PUIFS DPOÅ´JDU PG JOUFSFTU BHBJOTU UIF $PNQBOZ PS UIF TVCTJEJBSZ DPNQBOJFT BOE PS SFMBUFE DPNQBOJFT 5IF &YFDVUJWF $PNNJU UFF TIBMM IBWF OP BVUIPSJUZ UP BQQSPWF TVDI PQFSBUJPOT 4VDI PQFSBUJPOT TIBMM CF QSFTFOUFE UP UIF %JSFDUPSTÄ´ .FFUJOHT BOE PS UIF 4IBSFIPMEFSTÄ´ .FFUJOH BT UIF DBTF NBZ CF GPS GVSUIFS BQQSPWBMT FYDFQU GPS BQQSPWBMT PO USBOTBDUJPOT XIJDI BSF OPS NBM CVTJOFTT QSBDUJDFT VOEFS OPSNBM CVTJOFTT BOE DPNNFSDJBM DPOEJUJPOT JO DPNQMJBODF XJUI UIF /PUJÅ³DBUJPOT PG $BQJUBM .BSLFU 4VQFSWJTPSZ #PBSE BOE PS UIF 4UPDL &YDIBOHF PG 5IBJMBOE BOE PS SFMBUFE BHFODJFT

3. Risk Management Committee )& *4, "/"(&.&/5 0..*55&& *4 $0.13*4&% 0' .&.#&34 "4 '0--084

! &'

% ' ! '$ "* %& % ! '$ "* % " ' % *#' " ( % ( " #%"' " % $#" (" &% & " ( " % ( %' #" * "'% % '' $(! ) % '"

#& ' #" %! " # & " ! "' #!! '' & #!! '' & #!! '' & #!! '' & #!! '' & #!! '' & #!! ''

/PUF 5IF 3JTL .BOBHFNFOU $PNNJUUFF IBT UFSN JO UIF PGGFS GPS UISFF ZFBST XJUI .S /BUUBQVNF 1BWBSBUO CFJOH BQQPJOUFE BT 4FDSFUBSZ UP 5IF 3JTL .BOBHFNFOU $PNNJUUFF FGGFDUJWF GSPN .BSDI

Authority of the Risk Management Committee 5IF 3JTL .BOBHFNFOU $PNNJUUFF TIBMM IBWF UIF BVUIPSJUZ SFDPSEFE JO XSJUJOH JO BDDPSEBODF XJUI UIF "QQPJOUNFOU PG 3JTL .BOBHFNFOU $PNNJUUFF XIJDI IBT CFFO BQQSPWFE CZ UIF #PBSE PG %JSFDUPST 5IF SFTPMVUJPO PG UIF #PBSE PG %JSFDUPST IBT TQFDJÅ³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

5IF 3JTL .BOBHFNFOU $PNNJUUFF TIBMM EFWFMPQ BOE SFWJFX UIF SJTL NBOBHFNFOU TZTUFN PG UIF $PNQBOZ GPS DPOTJTUFOU FGÅ³DJFODZ BOE FGGFDUJWFOFTT CZ SFHVMBSMZ BTTFTTJOH BOE NPOJUPSJOH UIF SJTL NBOBHFNFOU QSPDFTT JO DPNQMJBODF XJUI UIF TQFDJÅ³FE QPMJDZ 5IF 3JTL .BOBHFNFOU $PNNJUUFF TIBMM SFQPSU SJTLT BOE NBLF QSPQPTBMT UP UIF #PBSE PG %JSFDUPST 5IF 3JTL .BOBHFNFOU $PNNJUUFF TIBMM DBSSZ PVU PUIFS EVUJFT BTTJHOFE CZ UIF #PBSE PG %JSFDUPST

4. Chief Executive Officer Authority of the Chief Executive Officer

5IF SFTPMVUJPO IBT TQFDJÅ³FE UIF BVUIPSJUZ PG UIF $IJFG &YFDVUJWF 0GÅ³DFS BT GPMMPXT 5IF $IJFG &YFDVUJWF 0GÅ³DFS TIBMM PWFSTFF BOE DPOEVDU CVTJOFTT PQFSBUJPOT BOE PS NBOBHF UIF EBJMZ PQFSBUJPOT $ 5IF $IJFG &YFDVUJWF 0GÅ³DFS TIBMM QSFQBSF BOE QSFTFOU QPMJDJFT EJSFDUJPOT TUSBUFHJFT CVTJOFTT QMBOT CVEHFUT JOWFTUNFOUT UIF $PNQBOZÄ´T NBOBHFNFOU TUSVDUVSF BOE CVTJOFTT PQFSBUJPO SFRVJSFNFOUT JO BDDPSEBODF XJUI UIF FDPOPNJD DPOEJUJPOT UP UIF &YFDVUJWF $PNNJUUFF BOE UIF #PBSE PG %JSFDUPST GPS GVSUIFS BQQSPWBMT 5IF $IJFG &YFDVUJWF 0GÅ³DFS TIBMM TVQFSWJTF UIF PQFSBUJPOT PS UIF QFSGPSNBODF PG UIF $PNQBOZ UP CF JO BDDPSEBODF XJUI UIF QPMJDZ QMBOT BOE CVEHFU BQQSPWFE CZ UIF #PBSE PG %JSFDUPST BT XFMM BT WFSJGZ BOE BTTFTT UIF $PNQBOZÄ´T PQFSBUJOH QFSGPSNBODF UP CF JO BDDPSEBODF XJUI UIF TQFDJÅ³FE QPMJDZ 5IF $IJFG &YFDVUJWF 0GÅ³DFS TIBMM BMTP SFQPSU UIF PQFSBUJPO SFTVMUT UIF SFTVMUT PG BENJOJTUSBUJPO BOE NBOBHFNFOU BOE UIF PQFSBUJPO QSPHSFTT UP UIF #PBSE PG %JSFDUPST UIF "VEJU $PNNJUUFF BOE UIF &YFDVUJWF 5IF $IJFG &YFDVUJWF 0GÅ³DFS TIBMM DPOTJEFS BOE BQQSPWF " ! $PNQBOZ XJUIJO UIF JOWFTUNFOU CVEHFU PS UIF CVEHFU BQQSPWFE CZ UIF #PBSE PG %JSFDUPST 5IF Å³OBODJBM BNPVOU PG FBDI USBOTBDUJPO TIBMM CF JO BDDPSEBODF XJUI UIF BQQSPWBM MJNJU UBCMF XIJDI IBT CFFO BQQSPWFE CZ UIF #PBSE PG %JSFDUPST CVU OPU FYDFFEJOH UIF BOOVBM CVEHFU XIJDI IBT CFFO BQQSPWFE CZ UIF #PBSE PG %JSFDUPST $POUSBDUT SFMBUFE UP TVDI USBOTBDUJPOT TIBMM CF JODMVEFE

5IF $IJFG &YFDVUJWF 0GÅ³DFS TIBMM CF BVUIPSJ[FE UP DPOTJEFS BOE BQQSPWF FYQFOTFT PG OPSNBM CVTJOFTT PQFSBUJPOT PG UIF $PNQBOZ XJUIJO UIF CVEHFU BQQSPWFE CZ UIF #PBSE PG %JSFDUPST JO BDDPSEBODF XJUI UIF BQQSPWBM BVUIPSJUZ FOEPSTFE CZ UIF #PBSE PG %JSFDUPST 5IF $IJFG &YFDVUJWF 0GÅ³DFS TIBMM EFUFSNJOF UIF TUSVDUVSF PG UIF PSHBOJ[BUJPO BOE TIBMM BQQSPWF BQQPJOUNFOUT FNQMPZNFOU SFNPWBMT XIJMF EFUFSNJOJOH XBHFT SFNVOFSBUJPOT CPOVTFT BOE BQQSPWJOH EJTNJTTBMT GSPN UIF MFWFM PG $IJFG &YFDVUJWF 0GÅ³DFS EPXOXBSE 5IF $IJFG &YFDVUJWF 0GÅ³DFS TIBMM CF BVUIPSJ[FE UP JTTVF PSEFST SFHVMBUJPOT BOE OPUJÅ³DBUJPOT UP NBLF DFSUBJO UIBU UIF PQFSBUJPOT BSF DBSSJFE PVU JO BDDPSEBODF XJUI UIF QPMJDZ BOE CFOFÅ³UT PG UIF $PNQBOZ BOE UP NBJOUBJO HPPE PSEFS BOE EJTDJQMJOF GPS UIF QFSGPSNBODF XJUIJO UIF % 5IF $IJFG &YFDVUJWF 0GÅ³DFS TIBMM CF BVUIPSJ[FE UP TVC EFMFHBUF BOE PS BTTJHO PUIFS QFSTPO T UP DBSSZ PVU UIF PQFSBUJPOT GPS IJN IFS UISPVHI TVC EFMFHBUJPO BOE PS BVUIPSJ[BUJPO QSPWJEFE UIBU TVDI BVUIPSJ[BUJPO TIBMM CF DBSSJFE PVU XJUIJO UIF BVUIPSJ[BUJPO CPVOEBSJFT JO BDDPSEBODF XJUI UIF QPXFS PG BUUPSOFZ BOE PS JO BDDPSEBODF XJUI SFHVMBUJPOT SFRVJSFNFOUT PS PSEFST JTTVFE CZ UIF #PBSE PG %JSFDUPST BOE PS UIF $PNQBOZ 5IF $IJFG &YFDVUJWF 0GÅ³DFS TIBMM QFSJPEJDBMMZ QFSGPSN PUIFS EVUJFT BTTJHOFE CZ UIF #PBSE PG %JSFDUPST PS UIF !

/FWFSUIFMFTT UIF $IJFG &YFDVUJWF 0GÅ³DFSÄ´T BVUIPSJ[BUJPO BOE SFTQPOTJCJMJUJFT TIBMM OPU CF JO UIF NBOOFS PG BVUIPSJ[BUJPO PS TVC EFMFHBUJPO UIBU BMMPXT UIF JOEJWJEVBM T BVUIPSJ[FE CZ UIF &YFDVUJWF $PNNJUUFF UP BQQSPWF USBOTBDUJPOT PG UIF BVUIPSJ[FE JOEJWJEVBMT XJUI DPOÅ´JDU PG JOUFSFTU BT EFÅ³OFE CZ UIF /PUJÅ³DBUJPO PG $BQJUBM .BSLFU 4VQFSWJTPSZ #PBSE BOE PS UIF 4UPDL &YDIBOHF PG 5IBJMBOE BOE PS SFMBUFE BHFODJFT JOUFSFTUFE QFSTPOT PS UIPTF XJUI BOZ PUIFS DPOÅ´JDU PG JOUFSFTU BHBJOTU UIF $PNQBOZ PS UIF TVCTJEJBSZ DPNQBOJFT BOE PS SFMBUFE DPNQBOJFT 4VDI PQFSBUJPOT TIBMM CF QSFTFOUFE UP UIF %JSFDUPSTÄ´ .FFUJOHT BOE PS UIF 4IBSFIPMEFSTÄ´ .FFUJOH BT UIF DBTF NBZ CF GPS GVSUIFS BQQSPWBMT FYDFQU GPS BQQSPWBMT PO USBOTBDUJPOT XIJDI BSF OPSNBM CVTJOFTT QSBDUJDFT VOEFS OPSNBM CVTJOFTT BOE DPNNFSDJBM DPOEJUJPOT JO DPNQMJBODF XJUI UIF /PUJÅ³DBUJPOT PG $BQJUBM .BSLFU 4VQFSWJTPSZ #PBSE BOE PS UIF 4UPDL &YDIBOHF PG 5IBJMBOE BOE PS SFMBUFE BHFODJFT

5. The Companyâ&#x20AC;&#x2122;s Secretary 5P DPNQMZ XJUI HPPE DPSQPSBUF HPWFSOBODF GPS MJTUFE DPNQBOJFT BT XFMM BT UIF 4FDVSJUJFT BOE &YDIBOHF "DU /P # & UIF $PNQBOZÄ´T #PBSE PG %JSFDUPST IBT BQQPJOUFE .S /BUUBQVNF 1BWBSBUO BT UIF $PNQBOZÄ´T TFDSFUBSZ 3FQPSUJOH EJSFDUMZ UP UIF $PNQBOZÄ´T #PBSE PG %JSFDUPST TVC DPNNJUUFFT BOE UIF NBOBHFNFOU UIF TFDSFUBSZ IBT EVUJFT BOE SFTQPOTJCJMJUJFT BT GPMMPXT 5BLF DIBSHF PG BOE BENJOJTUFS NFFUJOHT PG UIF $PNQBOZÄ´T #PBSE PG %JSFDUPST BOE TVC DPNNJUUFFT )PME TIBSFIPMEFSTÄ´ NFFUJOHT BOE UBLF NJOVUFT 'JMF EPDVNFOUT BOE SFMBUFE SFQPSUT .BLF TVSF UIF $PNQBOZÄ´T #PBSE NFNCFST QFSGPSN JO BDDPSEBODF XJUI MBXT BOE SFHVMBUJPOT SFMFWBOU UP UIF $PNQBOZÄ´T CVTJOFTTFT &OTVSF DPNQMJBODF BOE QSPWJEF UIF $PNQBOZÄ´T #PBSE PG %JSFDUPST XJUI BEWJDF DPODFSOJOH DPSQPSBUF HPWFSOBODF

0WFSTFF PUIFS NBUUFST SFMBUFE UP UIF $PNQBOZÄ´T #PBSE PG %JSFDUPST UIF NBOBHFNFOU BOE TIBSFIPMEFST &OTVSF BDUJPOT BSF UBLFO JO BDDPSEBODF XJUI SFTPMVUJPOT PG UIF #PBSE PG %JSFDUPST BOE TIBSFIPMEFSTÄ´ NFFUJOHT .BLF TVSF JG PUIFS BDUJWJUJFT BSF QFSGPSNFE JO DPNQMJBODF XJUI UIF 4FDVSJUJFT BOE &YDIBOHF "DU /P # & BQ QMJDBCMF MBXT BOE SFHVMBUJPOT BT XFMM BT BOOPVODFNFOUT BOE TQFDJÅ³DBUJPOT BHSFFE CZ UIF $BQJUBM .BSLFU 4VQFSWJTPSZ #PBSE

/ 2016

Nomination and Appointment of Directors and Top Executives Nomination of the Board of Directors 5IF #PBSE PG %JSFDUPST JT DPNQSJTFE PG BU MFBTU EJSFDUPST CVU OPU NPSF UIBO EJSFDUPST BOE JT BMTP DPNQSJTFE PG JOEFQFOEFOU EJSFDUPST BU MFBTU BU UIF BNPVOU PG POF UIJSE PG UIF UPUBM OVNCFS PG EJSFDUPST CVU OPU MFTT UIBO EJSFDUPST )PXFWFS OP MFTT UIBO IBMG PG UIF UPUBM OVNCFS PG EJSFDUPST TIBMM SFTJEF JO UIF ,JOHEPN PG 5IBJMBOE BOE UIF FOUJSF #PBSE PG %JSFDUPST TIBMM OPU QPTTFTT BOZ QSPIJCJUFE DIBSBDUFSJTUJDT BT TQFDJÅ³FE CZ MBXT 5IF %JSFDUPST NBZ PS NBZ OPU CF B $PNQBOZÄ´T TIBSFIPMEFS &BDI TIBSFIPMEFS TIBMM IBWF B OVNCFS PG WPUFT FRVBM UP UIF BNPVOU PG TIBSFT IFME CZ UIF TIBSFIPMEFS &BDI TIBSFIPMEFS TIBMM VTF IJT IFS WPUF T UP WPUF GPS POF DBOEJEBUF PS TFWFSBM DBOEJEBUFT UP IPME UIF QPTJUJPO PG EJSFDUPS *O UIF DBTF PG WPUJOH GPS TFWFSBM DBOEJEBUFT UIF WPUFT TIBMM OPU CF WBSJBCMZ EJWJEFE BNPOH UIF DBOEJEBUFT

BT EJSFDUPST BU UIF TBNF BNPVOU PG EJSFDUPST UIF $PNQBOZ NBZ IBWF PS NBZ FMFDU *O UIF DBTF XIFSF UIF OVNCFST PG WPUFT GPS UIF DBOEJEBUFT JO EFTDFOEJOH PSEFS BSF UJFE FYDFFEJOH UIF OVNCFS PG EJSFDUPST UIF $PNQBOZ NBZ IBWF PS NBZ FMFDU UIF $IBJSNBO TIBMM IBWF B DBTUJOH WPUF

Nomination of the Executive Committee 5IF &YFDVUJWF $PNNJUUFF TIBMM CF BQQPJOUFE CZ UIF #PBSE PG %JSFDUPST UP MJHIUFO UIF XPSLMPBE PG UIF #PBSE QBSUJDVMBSMZ UIF BENJOJTUSB UJPO BOE SPVUJOF XPSL XIJDI NBZ CF CFZPOE UIF SFTQPOTJCJMJUJFT PG UIF $IJFG &YFDVUJWF 0GÅ³DFS UP QSPWJEF NPSF UJNF GPS UIF #PBSE PG %JSFDUPST UP GPDVT PO QPMJDZ FTUBCMJTINFOUT BOE FYFDVUJWF TVQFSWJTJPO

Nomination of the Independent Audit Committee /%&1&/%&/5 0..*55&& 5IF #PBSE PG %JSFDUPST TIBMM DPMMBCPSBUJWFMZ DPOTJEFS UIF RVBMJÅ³DBUJPOT PG JOEJWJEVBMT UP IPME UIF QPTJUJPO PG JOEFQFOEFOU EJSFDUPS CZ SFWJFXJOH UIF RVBMJÅ³DBUJPOT BOE UIF QSPIJCJUFE DIBSBDUFSJTUJDT JO BDDPSEBODF XJUI UIF 1VCMJD -JNJUFE $PNQBOJFT "DU # & BT BNFOEFE UIF 4FDVSJUJFT BOE &YDIBOHF "DU # & BT BNFOEFE UIF /PUJÅ³DBUJPO PG 4FDVSJUJFT BOE &YDIBOHF $PNNJTTJPO BOE $BQJUBM .BSLFU 4VQFSWJTPSZ #PBSE JODMVEJOH SFMBUFE OPUJÅ³DBUJPOT SVMFT BOE PS SFHVMBUJPOT .PSFPWFS UIF #PBSE PG %JSFDUPST TIBMM DPOTJEFS UIF OPNJOBUFE JOEFQFOEFOU EJSFDUPST XJUI SFGFSFODF UP UIFJS FYQFSUJTF FYQFSJFODF BOE PUIFS TVJUBCMF TLJMMT CFGPSF QSFTFOUJOH UP UIF 4IBSFIPMEFSTÄ´ .FFUJOH GPS UIF BQQPJOUNFOU BT EJSFDUPS PG UIF $PNQBOZ 5IF $PNQBOZ IBT B QPMJDZ UP BQQPJOU JOEFQFOEFOU EJSFDUPST BU UIF BNPVOU PG BU MFBTU POF UIJSE PG UIF UPUBM EJSFDUPST BOE TIBMM CF DPNQSJTFE PG OP MFTT UIBO EJSFDUPST /FWFSUIFMFTT UIF #PBSE PG %JSFDUPST TIBMM TQFDJGZ UIF RVBMJÅ³DBUJPOT PG JOEFQFOEFOU EJSFDUPS BT GPMMPXT

5IF JOEFQFOEFOU EJSFDUPS TIBMM IPME OP NPSF UIBO PG UIF BNPVOU PG BMM WPUJOH TIBSFT PG UIF $PNQBOZ UIF QBSFOU DPNQBOZ UIF TVCTJEJBSZ DPNQBOJFT UIF BGÅ³MJBUFE DPNQBOJFT UIF NBKPSJUZ TIBSFIPMEFST PS QFSTPOT XJUI DPOUSPMMJOH BVUIPSJUZ PG UIF $PNQBOZ )PXFWFS TIBSFT IFME CZ UIPTF SFMBUFE UP UIF JOEFQFOEFOU EJSFDUPS TIBMM CF JODMVEFE 5IF JOEFQFOEFOU EJSFDUPS TIBMM OPU CF PS IBT OFWFS CFFO B EJSFDUPS XIP IBT CFFO JOWPMWFE XJUI NBOBHFNFOU BO FNQMPZFF BO PGÅ³DFS B DPOTVMUBOU XIP FBSOT B SFHVMBS $ " ! $ UIF $PNQBOZ UIF QBSFOU DPNQBOZ UIF TVCTJEJBSZ DPNQBOJFT UIF BGÅ³MJBUFE DPNQBOJFT UIF TVCTJEJBSZ DPNQBOJFT PG UIF TBNF MFWFM UIF NBKPSJUZ TIBSFIPMEFST ! $ $PNQBOZ VOMFTT TVDI JOEFQFOEFOU EJSFDUPS IBT OPU CFFO B QFSTPO SFGFSSFE UP BCPWF GPS BU MFBTU ZFBST CFGPSF UIF EBZ PG TVCNJTTJPO GPS BQQSPWBM UP UIF 0GÅ³DF PG 4FDVSJUJFT BOE $PNNJTTJPO )PXFWFS UIF BGPSF NFOUJPOFE QSPIJCJUFE DIBSBDUFSJTUJDT EP OPU JODMVEF UIF QPTJUJPO IFME CZ UIF JOEFQFOEFOU EJSFDUPS BT HPWFSONFOU PGÅ³DFS PS DPOTVMUBOU UP UIF HPWFSONFOU TFDUPS XIP BSF UIF NBKPSJUZ TIBSFIPMEFST PS QFSTPOT XJUI DPOUSPMMJOH ! $ $

5IF JOEFQFOEFOU EJSFDUPS TIBMM OPU CF B QFSTPO XIP IBT CMPPE SFMBUJPO PS IBT CFFO MFHBMMZ SFHJTUFSFE BT GBUIFS NPUIFS TQPVTF TJCMJOH DIJME JODMVEJOH DIJMEÄ´T TQPVTF PG PUIFS EJSFDUPST FYFDVUJWFT NBKPSJUZ TIBSFIPMEFST QFSTPOT XJUI DPOUSPMMJOH BVUIPSJUZ DBOEJEBUFT UP CF OPNJOBUFE BT EJSFDUPST FYFDVUJWFT PS QFSTPOT XJUI DPOUSPMMJOH BVUIPSJUZ PG UIF $PNQBOZ PS UIF TVCTJEJBSZ DPNQBOJFT 5IF JOEFQFOEFOU EJSFDUPS TIBMM IBWF OP PS OFWFS IBE ! " $ DPNQBOZ UIF TVCTJEJBSZ DPNQBOJFT UIF BGÅ³MJBUFE DPNQBOJFT UIF NBKPSJUZ TIBSFIPMEFST PS QFSTPOT XJUI ! $ $ NBZ PCTUSVDU UIF JOEFQFOEFOU FYFSDJTF PG EJTDSFUJPO 5IF JOEFQFOEFOU EJSFDUPS TIBMM OPU CF PS IBT OFWFS CFFO B TJHOJÅ³DBOU TIBSFIPMEFS PS B QFSTPO XJUI DPOUSPMMJOH BVUIPSJUZ PG UIPTF XIP IBWF CVTJOFTT SFMBUJPOTIJQ XJUI UIF $PNQBOZ UIF QBSFOU DPNQBOZ UIF TVCTJEJBSZ DPNQBOJFT UIF BGÅ³MJBUFE DPNQBOJFT UIF NBKPSJUZ TIBSFIPMEFST PS " ! $ $ ! TVDI JOEFQFOEFOU EJSFDUPS IBT OPU CFFO B QFSTPO SFGFSSFE UP BCPWF GPS BU MFBTU ZFBST CFGPSF UIF EBZ PG TVCNJTTJPO GPS BQQSPWBM UP UIF 0GÅ³DF PG 4FDVSJUJFT BOE $PNNJTTJPO PG 5IBJMBOE

5IF JOEFQFOEFOU EJSFDUPS TIBMM OPU CF PS IBT OFWFS CFFO BO BVEJUPS PG UIF $PNQBOZ UIF QBSFOU DPNQBOZ UIF TVCTJEJBSZ DPNQBOJFT UIF NBKPSJUZ TIBSFIPMEFST PS QFSTPOT XJUI DPOUSPMMJOH BVUIPSJUZ PG UIF $PNQBOZ BOE TIBMM OPU CF B TJHOJÅ³DBOU TIBSFIPMEFS B QFSTPO XJUI DPOUSPMMJOH BVUIPSJUZ PS B QBSUOFS PG UIF Å³OBODJBM BVEJU PGÅ³DF XIFSF UIF BVEJUPST PG UIF $PNQBOZ UIF QBSFOU DPNQBOZ UIF TVCTJEJBSZ DPNQBOJFT UIF BGÅ³MJBUFE DPNQBOJFT UIF NBKPSJUZ TIBSFIPMEFST PS QFSTPOT XJUI DPOUSPMMJOH ! $ $ ! ! JOEFQFOEFOU EJSFDUPS IBT OPU CFFO B QFSTPO SFGFSSFE UP BCPWF GPS BU MFBTU ZFBST CFGPSF UIF EBZ PG TVCNJTTJPO GPS BQQSPWBM UP UIF 0GÅ³DF PG 4FDVSJUJFT BOE $PNNJTTJPO PG 5IBJMBOE 5IF *OEFQFOEFOU %JSFDUPS TIBMM OPU CF PS IBT OFWFS CFFO B TFSWJDF QSPWJEFS PG BOZ QSPGFTTJPO JODMVEJOH MFHBM DPOTVMUBOU TFSWJDFT BOE Å³OBODJBM DPOTVMUBOU TFSWJDFT XIJDI IBT CFFO BOOVBMMZ DPNQFOTBUFE NPSF UIBO UXP NJMMJPO #BIU GPS TFSWJDFT GSPN UIF $PNQBOZ UIF QBSFOU DPNQBOZ UIF TVCTJEJBSZ DPNQBOJFT UIF BGÅ³MJBUFE DPNQBOJFT UIF NBKPSJUZ TIBSFIPMEFST PS QFSTPOT XJUI DPOUSPMMJOH BVUIPSJUZ PG UIF $PNQBOZ BOE TIBMM OPU CF B TJHOJÅ³DBOU TIBSFIPMEFS QFSTPO XJUI DPOUSPMMJOH BVUIPSJUZ PS QBSUOFS PG TVDI QSPGFTTJPOBM TFSWJDF QSPWJEFST VOMFTT TVDI JOEFQFOEFOU EJSFDUPS IBT OPU CFFO B QFSTPO SFGFSSFE UP BCPWF GPS BU MFBTU ZFBST CFGPSF UIF EBZ PG TVCNJTTJPO GPS BQQSPWBM UP UIF 0GÅ³DF PG 4FDVSJUJFT BOE $PNNJTTJPO PG 5IBJMBOE

5IF *OEFQFOEFOU %JSFDUPS TIBMM OPU CF B EJSFDUPS XIP IBT CFFO BQQPJOUFE BT SFQSFTFOUBUJWF PG UIF EJSFDUPST PG UIF $PNQBOZ UIF NBKPSJUZ TIBSFIPMEFST PS UIF TIBSFIPMEFST XIP BSF SFMBUFE UP UIF NBKPSJUZ TIBSFIPMEFST 5IF *OEFQFOEFOU %JSFDUPS TIBMM OPU FOHBHF JO CVTJOFTT PG ! " $PNQBOZ PS UIF TVCTJEJBSZ DPNQBOJFT PS TIBMM OPU CF B QBSUOFS XJUI TJHOJÅ³DBOU QBSUOFSTIJQ PS B EJSFDUPS XIP JT JOWPMWFE XJUI NBOBHFNFOU BO FNQMPZFF BO PGÅ³DFS B DPOTVMUBOU XIP FBSOT SFHVMBS NPOUIMZ JODPNF PS IPMET TIBSFT BU UIF BNPVOU PG NPSF UIBO PG UIF UPUBM BNPVOU PG WPUJOH TIBSFT PG PUIFS DPNQBOJFT XIJDI FOHBHF JO UIF ! ! " UIF $PNQBOZ PS UIF TVCTJEJBSZ DPNQBOJFT 5IF *OEFQFOEFOU %JSFDUPS TIBMM QPTTFTT OP PUIFS DIBSBDUFSJTUJDT UIBU XJMM IJOEFS GSFF JOEFQFOEFOU PQJOJPO " $

6%*5 0..*55&& 5IF DPNQPOFOU OPNJOBUJPO BQQPJOUNFOU SFNPWBM BOE EJTNJTTBM PG UIF "VEJU $PNNJUUFF IBWF CFFO TQFDJÅ³FE JO UIF $IBSUFS PG UIF "VEJU $PNNJUUFF PG UIF $PNQBOZ 5IF #PBSE PG %JSFDUPST PS UIF TIBSFIPMEFST BT UIF DBTF NBZ CF TIBMM BQQPJOU UIF "VEJU $PNNJUUFF CZ TFMFDUJOH GSPN BU MFBTU JOEFQFOEFOU EJSFDUPST 5IF "VEJU $PNNJUUFF PS UIF #PBSE PG %JSFDUPST TIBMM UIF $IBJSNBO PG UIF "VEJU $PNNJUUFF GSPN JOEFQFOEFOU EJSFDUPS "U MFBTU "VEJU $PNNJUUFF .FNCFS TIBMM CF TVGÅ³DJFOUMZ LOPXMFEHFBCMF BOE FYQFSJFODFE JO BDDPVOUJOH BOE PS Å³ OBODF UP SF FYBNJOF UIF DSFEJCJMJUZ PG UIF Å³OBODJBM TUBUF NFOUT BOE TIBMM QPTTFTT FYUFOTJWF LOPXMFEHF SFHBSEJOH UIF DPOEJUJPOT BGGFDUJOH UIF DIBOHFT PG UIF Å³OBODJBM SFQPSUT 5IF "VEJU $PNNJUUFF .FNCFS TIBMM IBWF UFOVSF PG ZFBST DPVOUJOH GSPN UIF EBZ PG BQQPJOUNFOU PS JO BDDPSEBODF XJUI UIF UFSN PG EJSFDUPS "VEJU $PNNJUUFF .FNCFST XIP DPNQMFUF UIFJS UFSN NBZ CF SFBQQPJOUFE UP SFTVNF UIFJS QPTJUJPO BT EFFNFE BQQSPQSJBUF CZ UIF #PBSE PG %JSFDUPST PS UIF 4IBSFIPMEFSTÄ´ .FFUJOH

*O DBTF PG B WBDBOU QPTJUJPO JO UIF "VEJU $PNNJUUFF EVF UP SFBTPOT PUIFS UIBO SFUJSFNFOU UIF #PBSE PG %JSFDUPS PS UIF 4IBSFIPMEFSTÄ´ .FFUJOH TIBMM BQQPJOU B RVBMJÅ³FE JOEJ WJEVBM BT "VEJU $PNNJUUFF .FNCFS UP Å³MM VQ UIF "VEJU $PNNJUUFF JO BDDPSEBODF XJUI SFMBUFE MBXT PS SFRVJSFNFOUT XJUIJO OP NPSF UIBO NPOUIT DPVOUJOH GSPN UIF Å³STU EBZ PG NFNCFS WBDBODZ 5IF UFSN GPS UIF BVEJU DPNNJUUFF NFNCFS XIP IBT CFFO BQQPJOUFE JO QMBDF PG UIF BVEJU DPNNJUUFF NFNCFS XIP IBT WBDBUFE IJT IFS QPTJUJPO EVF UP SFBTPOT PUIFS UIBO SFUJSFNFOU TIBMM IPME UIF PGÅ³DF POMZ GPS UIF SFNBJOJOH UFSN PG UIF NFNCFS IF TIF SFQMBDFE

/ 2016

"VEJU $PNNJUUFF .FNCFST NBZ WBDBUF UIF PGÅ³DF EVF UP UIF GPMMPXJOH SFBTPOT $PNQMFUFE UFOVSF 3FNPWBM )PXFWFS JG BO BVEJU DPNNJUUFF NFNCFS SFTJHOT CFGPSF FYQJSZ PG IJT IFS UFSN IF TIF TIBMM OPUJGZ UIF $PNQBOZ BU MFBTU NPOUI JO BEWBODF XJUI SFBTPOT TP UIBU UIF #PBSE PG %JSFDUPST PS UIF 4IBSFIPMEFSTÄ´ .FFUJOH TIBMM BQQPJOU BOPUIFS RVBMJÅ³FE EJSFDUPS GPS SFQMBDFNFOU 5IF "VEJU $PNNJUUFF TIBMM BQQPJOU UIF $IJFG PG UIF *OUFSOBM "VEJU $PNNJUUFF BT UIF 4FDSFUBSZ PG UIF "VEJU $PNNJUUFF UP TVQQPSU UIF PQFSBUJPOT PG UIF "VEJU $PNNJUUFF UIF JOWJUBUJPO UP NFFUJOHT UIF QSFQBSBUJPO PG BHFOEBT UIF EFMJWFSZ PG NFFUJOH EPDVNFOUT UIF NJOVUFT BOE PUIFS BTTJHOFE UBTLT 5IF "VEJU $PNNJUUFF TIBMM IBWF UIF BVUIPSJUZ SFDPSEFE JO XSJUJOH JO BDDPSEBODF XJUI UIF $IBSUFS PG UIF "VEJU $PNNJUUFF XIJDI IBT CFFO BQQSPWFE CZ UIF #PBSE PG %JSFDUPST BOE IBT CFFO BOOVBMMZ SF FYBNJOFE BOE JNQSPWFE BT GPMMPXT 5IF "VEJU $PNNJUUFF .FNCFST TIBMM IBWF UIF RVBMJÅ³DBUJPOT JO BDDPSEBODF XJUI SFMBUFE MBXT QBSUJDVMBSMZ MBX PO QVCMJD MJNJUFE DPNQBOZ BOE MBX PO TFDVSJUJFT BOE FYDIBOHF 5IF "VEJU $PNNJUUFF .FNCFST TIBMM IPME UIF QPTJUJPO PG EJSFDUPST BOE JOEFQFOEFOU EJSFDUPST PG UIF $PNQBOZ 5IF "VEJU $PNNJUUFF .FNCFST TIBMM OPU CF EJSFDUPST XIP IBWF CFFO BTTJHOFE CZ UIF #PBSE PG %JSFDUPST UP NBLF EFDJTJPOT JO UIF PQFSBUJPOT PG UIF $PNQBOZ UIF QBSFOU DPNQBOZ UIF TVCTJEJBSZ DPNQBOJFT UIF BGÅ³MJBUFE DPNQBOJFT UIF TVCTJEJBSZ DPNQBOJFT PG UIF TBNF MFWFM UIF NBKPSJUZ TIBSFIPMEFST PS QFSTPOT XJUI DPOUSPMMJOH BVUIPSJUZ PG UIF $PNQBOZ BOE TIBMM OPU CF UIF EJSFDUPST PG UIF QBSFOU DPNQBOZ UIF TVCTJEJBSZ DPNQBOJFT PS UIF TVCTJEJBSZ DPNQBOJFT PG UIF TBNF MFWFM JO UIF DBTF PG MJTUFE DPNQBOJFT &BDI PG UIF "VEJU $PNNJUUFF .FNCFST TIBMM IPME OP NPSF UIBO PG UIF UPUBM BNPVOU PG WPUJOH TIBSFT PG UIF $PNQBOZ UIF QBSFOU DPNQBOZ UIF TVCTJEJBSZ DPNQBOJFT UIF NBKPSJUZ TIBSFIPMEFST PS QFSTPOT XJUI DPOUSPMMJOH BVUIPSJUZ PG UIF $PNQBOZ )PXFWFS TIBSFT PG UIPTF SFMBUFE UP TVDI JOEFQFOEFOU EJSFDUPST TIBMM CF JODMVEFE 5IF "VEJU $PNNJUUFF .FNCFST TIBMM OPU CF PS IBWF OFWFS CFFO EJSFDUPST XIP IBWF CFFO JOWPMWFE XJUI NBOBHFNFOU FNQMPZFFT PGÅ³DFST DPOTVMUBOUT XIP ! $ " ! $ $ $ TVCTJEJBSZ DPNQBOJFT BGÅ³MJBUFE DPNQBOJFT TVCTJEJBSZ DPNQBOJFT PG UIF TBNF MFWFM NBKPSJUZ TIBSFIPMEFS ! $ PG UIF $PNQBOZ VOMFTT TVDI BVEJU DPNNJUUFF NFNCFST IBWF OPU CFFO QFSTPOT SFGFSSFE UP BCPWF GPS BU MFBTU ZFBST CFGPSF UIF EBZ PG BQQPJOUNFOU

5IF "VEJU $PNNJUUFF .FNCFST TIBMM IBWF OP CMPPE SFMBUJPO PS TIBMM OPU CF MFHBMMZ SFHJTUFSFE BT GBUIFST NPUIFST TQPVTFT TJCMJOHT BOE DIJMESFO JODMVEJOH DIJMESFOÄ´T TQPVTFT PG PUIFS EJSFDUPST FYFDVUJWFT NBKPSJUZ TIBSFIPMEFST QFSTPOT XJUI DPOUSPMMJOH BVUIPSJUZ PS DBOEJEBUFT GPS UIF QPTJUJPO PG EJSFDUPS FYFDVUJWF PS QFSTPO XJUI DPOUSPMMJOH BVUIPSJUZ PG UIF $PNQBOZ PS UIF TVCTJEJBSZ DPNQBOJFT 5IF "VEJU $PNNJUUFF .FNCFST TIBMM IBWF OP CVTJOFTT " $ $ TVCTJEJBSZ DPNQBOJFT UIF BGÅ³MJBUFE DPNQBOJFT UIF NBKPSJUZ TIBSFIPMEFST PS QFSTPOT XJUI DPOUSPMMJOH "VUIPSJUZ PG UIF $PNQBOZ JO UIF NBOOFS UIBU NBZ PCTUSVDU UIF JOEFQFOEFOU FYFSDJTF PG EJTDSFUJPO 5IF "VEJU $PNNJUUFF .FNCFST TIBMM BMTP OPU CF PS IBWF OFWFS CFFO TJHOJÅ³DBOU TIBSFIPMEFST PS " ! $ $ SFMBUFE UP UIF $PNQBOZ QBSFOU DPNQBOZ TVCTJEJBSZ DPNQBOJFT BGÅ³MJBUFE DPNQBOJFT NBKPSJUZ TIBSFIPMEFST PS " ! $ $ ! TVDI BVEJU DPNNJUUFF NFNCFST IBWF OPU CFFO QFSTPOT SFGFSSFE UP BCPWF GPS BU MFBTU ZFBST CFGPSF UIF EBZ PG 5IF CVTJOFTT SFMBUJPOTIJQ JO QBSBHSBQI POF TIBMM JODMVEF " UIF CVTJOFTT PQFSBUJPOT SFOUJOH BOE SFOUBMT PG JNNPWBCMF QSPQFSUZ USBOTBDUJPOT SFMBUJOH UP BTTFUT PS TFSWJDFT PS Å³OBODJBM BJE QSPWJEJOH PS SFDFJWJOH UISPVHI DPMMFDUJPOT PS MPBOT HVBSBOUFFT TFDVSJUZ SJHIU PWFS BTTFUT JODMVEJOH TJNJMBS CFIBWJPST SFTVMUJOH JO UIF MJBCJMJUJFT PG $PNQBOZ PS UIF QBSUOFST PG DPOUSBDU UP CF QBJE UP BOPUIFS QBSUZ GSPN PG OFU UBOHJCMF BTTFU PG UIF $PNQBOZ PS GSPN NJMMJPO #BIU EFQFOEJOH PO XIJDI BNPVOU JT MPXFS 5IF DBMDVMBUJPO PG TVDI MJBCJMJUJFT TIBMM CF JO BDDPSEBODF XJUI UIF DBMDVMBUJPO PG UIF WBMVFT PG DPOOFDUFE USBOTBDUJPOT JO BDDPSEBODF XJUI UIF /PUJÅ³DBUJPO PG UIF $BQJUBM .BSLFU 4VQFSWJTPSZ #PBSE HPWFSOJOH SVMFT PO DPOOFDUFE USBOTBDUJPOT NVUBUJT NVUBOEJT )PXFWFS UP EFUFSNJOF TVDI MJBCJMJUJFT UIF UPUBM MJBCJMJUJFT EVSJOH UIF QFSJPE PG POF ZFBS QSJPS UP UIF TUBSUJOH EBZ PG UIF DPNNFSDJBM SFMBUJPOT XJUI UIF TBNF QFSTPO TIBMM CF JODMVEFE

5IF "VEJU $PNNJUUFF .FNCFST TIBMM OPU CF PS IBWF OFWFS CFFO UIF BVEJUPST PG UIF $PNQBOZ UIF QBSFOU DPNQBOZ UIF TVCTJEJBSZ DPNQBOJFT UIF BGÅ³MJBUFE " ! $ PG UIF $PNQBOZ BOE TIBMM OPU CF TJHOJÅ³DBOU TIBSFIPMEFST QFSTPOT XJUI DPOUSPMMJOH BVUIPSJUZ PS QBSUOFST PG UIF 0GÅ³DF PG "VEJU XIFSF UIF BVEJUPST PG UIF $PNQBOZ UIF QBSFOU DPNQBOZ UIF TVCTJEJBSZ DPNQBOJFT UIF BGÅ³MJBUFE DPNQBOJFT UIF TIBSFIPMEFST " ! $ $PNQBOZ CFMPOH UP VOMFTT TVDI "VEJU $PNNJUUFF .FNCFST IBWF OPU CFFO UIPTF QFSTPOT SFGFSSFE UP BCPWF GPS BU MFBTU ZFBST CFGPSF UIF EBZ PG 5IF "VEJU $PNNJUUFF .FNCFST TIBMM OPU CF PS IBWF OFWFS CFFO QSPGFTTJPOBM TFSWJDF QSPWJEFST JODMVEJOH MFHBM BOE Å³OBODJBM TFSWJDF QSPWJEFST XIP IBWF CFFO DPNQFOTBUFE NPSF UIBO NJMMJPO #BIU QFS ZFBS GSPN UIF $PNQBOZ UIF QBSFOU DPNQBOZ UIF TVCTJEJBSZ DPNQBOJFT UIF BGÅ³MJBUFE DPNQBOJFT PS QFSTPOT XJUI DPOUSPMMJOH BVUIPSJUZ PG UIF $PNQBOZ BOE TIBMM OPU CF TJHOJÅ³DBOU TIBSFIPMEFST QFSTPOT XJUI DPOUSPMMJOH BVUIPSJUZ PS QBSUOFST PG QSPGFTTJPOBM TFSWJDF QSPWJEFST VOMFTT TVDI "VEJU $PNNJUUFF .FNCFST IBWF OPU CFFO UIPTF QFSTPOT SFGFSSFE UP BCPWF GPS BU MFBTU ZFBST CFGPSF UIF EBZ PG BQQPJOUNFOU 5IF "VEJU $PNNJUUFF .FNCFST TIBMM OPU CF EJSFDUPST XIP IBWF CFFO BQQPJOUFE BT SFQSFTFOUBUJWFT PG UIF EJSFDUPST PG UIF $PNQBOZ UIF NBKPSJUZ TIBSFIPMEFST PS UIF TIBSFIPMEFST XIP BSF SFMBUFE UP UIF NBKPSJUZ TIBSFIPMEFST 5IF "VEJU $PNNJUUFF TIBMM OPU PQFSBUF BOZ CVTJOFTT ! " $PNQBOZ PS UIF TVCTJEJBSZ DPNQBOJFT PS TIBMM OPU CF TJHOJÅ³DBOU QBSUOFST JO QBSUOFSTIJQT PS TIBMM OPU CF EJSFDUPST XIP BSF JOWPMWFE XJUI NBOBHFNFOU FNQMPZFFT PGÅ³DFST DPOTVMUBOUT XIP FBSO SFHVMBS NPOUIMZ JODPNF PS IPMEJOH NPSF UIBO PG UPUBM WPUJOH TIBSFT PG PUIFS DPNQBOJFT PG UIF TBNF OBUVSF " $ TVCTJEJBSZ DPNQBOJFT 5IF "VEJU $PNNJUUFF .FNCFST TIBMM QFSGPSN EVUJFT JO UIF TBNF NBOOFS BT UIPTF EFDMBSFE JO UIF /PUJÅ³DBUJPO PG UIF 4UPDL &YDIBOHF PG 5IBJMBOE PO 2VBMJÅ³DBUJPOT BOE 0QFSBUJPO 4DPQF PG UIF "VEJU

5IF "VEJU $PNNJUUFF .FNCFST TIBMM CF TVGÅ³DJFOUMZ LOPXMFEHFBCMF BOE FYQFSJFODFE UP QFSGPSN EVUJFT BT BVEJU DPNNJUUFF NFNCFST )PXFWFS BU MFBTU NFNCFS PG "VEJU $PNNJUUFF TIBMM CF TVGÅ³DJFOUMZ LOPXMFEHFBCMF BOE FYQFSJFODFE UP SF FYBNJOF UIF DSFEJCJMJUZ PG UIF Å³OBODJBM TUBUFNFOUT 5IF "VEJU $PNNJUUFF .FNCFST TIBMM QPTTFTT OP PUIFS DIBSBDUFSJTUJDT UIBU XJMM IJOEFS GSFF JOEFQFOEFOU PQJOJPO JO " $ *O UIF DBTF PG UIF BQQPJOUNFOU PG JOEJWJEVBMT BT "VEJU $PNNJUUFF .FNCFST XIP IBWF PS VTFE UP IBWF CVTJOFTT SFMBUJPOTIJQ PS IBWF CFFO QSPGFTTJPOBM TFSWJDF QSPWJEFST BU UIF WBMVF PG NPSF UIBO UIBU TQFDJÅ³FE JO BDDPSEBODF XJUI QBSBHSBQI POF PS UIF $PNQBOZ TIBMM CF HSBOUFE # ! ! PS FY CVTJOFTT SFMBUJPOTIJQ PS QSPGFTTJPOBM TFSWJDFT FYDFFEJOH UIF BGPSF NFOUJPOFE WBMVF POMZ XIFO UIF $PNQBOZ IBT QSPWJEFE PQJOJPOT PG UIF #PBSE PG %JSFDUPST XIJDI EFNPOTUSBUF UIBU JO BDDPSEBODF XJUI 4FDUJPO PG UIF 4FDVSJUJFT BOE &YDIBOHF # & BT BNFOEFE ! EVUJFT BOE UIF FYQSFTTJPO PG JOEFQFOEFOU PQJOJPOT BOE TIBMM CF EJTDMPTFE JO UIF *OWJUBUJPO -FUUFS UP UIF 4IBSFIPMEFSTÄ´ .FFUJOH JO UIF BHFOEB PG UIF BQQPJOUNFOU PG UIF "VEJU $PNNJUUFF UP DMBSJGZ UIF GPMMPXJOH JTTVFT

5IF DIBSBDUFSJTUJDT PG UIF CVTJOFTT SFMBUJPOTIJQ PS UIF QSPGFTTJPOBM TFSWJDFT XIJDI NBLF TVDI JOEJWJEVBMT VORVBMJÅ³FE OPU NFFUJOH UIF QSPQFS TUBOEBSET BOE SFRVJSFNFOUT 5IF SFBTPOT BOE UIF OFDFTTJUZ PG UIF BQQPJOUNFOU PG TVDI JOEJWJEVBMT BT "VEJU $PNNJUUFF .FNCFST 5IF PQJOJPOT PG UIF #PBSE PG UIF %JSFDUPST PG UIF $PNQBOZ GPS QSPQPTJOH TVDI JOEJWJEVBMT BT JOEFQFOEFOU EJSFDUPST 5P DMBSJGZ QBSBHSBQI POF BOE UIF XPSE Ä¶QBSUOFSÄ· NFBOT BO JOEJWJEVBM XIP IBT CFFO BTTJHOFE CZ UIF "VEJU 0GÅ³DF PS QSPGFTTJPOBM TFSWJDF QSPWJEFST BT UIF TJHOBUPSZ JO UIF BVEJU SFQPSU PS SFQPSU PG QSPGFTTJPOBM TFSWJDF BT UIF DBTF NBZ CF PO CFIBMG PG TVDI KVSJTUJD

Nomination of the Risk Management Committee 5IF 3JTL .BOBHFNFOU $PNNJUUFF TIBMM CF BQQPJOUFE CZ UIF #PBSE PG %JSFDUPST UP QFSGPSN UIF EVUJFT PG TQFDJGZJOH BOE QSFQBSJOH UIF TUSBUFHJFT GPS PWFSBMM SJTL NBOBHFNFOU .PSFPWFS UIF 3JTL .BOBHFNFOU $PNNJUUFF TIBMM DPOTJTUFOUMZ DBSSZ PVU UIF EVUJFT PG EFWFMPQJOH BOE SF FYBNJOJOH UIF SJTL NBOBHFNFOU TZTUFN JO DPNQMJBODF XJUI UIF TQFDJÅ³FE QPMJDZ

/ 2016

Governance of Subsidiary Companies and Affiliated Companies 5IF $PNQBOZ SVOT B MPHJTUJDT CVTJOFTT BOE IPMET TIBSFT JO UIF TVCTJEJBSZ DPNQBOJFT BOE UIF BGÅ³MJBUFE DPNQBOJFT XIPTF PCKFDUJWFT BSF UP ! ! ! $ ! ! " ! UIF CVTJOFTT PG UIF $PNQBOZ JO PSEFS UP GBDJMJUBUF UIF $PNQBOZ JO HFOFSBUJOH CFUUFS PQFSBUJOH QFSGPSNBODF PS HBJOJOH IJHIFS QSPÅ³UT PS JOWFTUJOH JO TZOFSHZ CVTJOFTTFT UP NBJOUBJO UIF CFOFÅ³UT PG UIF JOWFTUNFOU GVOET PG UIF $PNQBOZ UIVT UIF .FFUJOH PG UIF #PBSE PG %JSFDUPST /P IFME PO +VOF SFTPMWFE UP BQQSPWF B DPSQPSBUF HPWFSOBODF QPMJDZ GPS UIF CVTJOFTTFT XIJDI UIF $PNQBOZ IBT JOWFTUFE JO 5IF $PNQBOZ IBT BMTP TQFDJÅ³FE NFBTVSFT GPS NBOBHFNFOU NPOJUPSJOH XIPTF EFUBJMT BSF BT GPMMPXT

Management Structure of the Subsidiary Companies and the Affiliated Companies 5IF $PNQBOZ TIBMM TFOE FYQFSJFODFE BOE RVBMJÅ³FE SFQSFTFOUBUJWFT UP UIF CVTJOFTTFT BT EJSFDUPST PS FYFDVUJWFT PG UIF TVCTJEJBSZ DPNQBOJFT BOE UIF BGÅ³MJBUFE DPNQBOJFT VOMFTT MJNJUFE CZ MBX 5IF QVSQPTF JT UP BTTJHO TVDI QFSTPOT UP QFSGPSN UIFJS EVUJFT JO TQFDJGZJOH JNQPSUBOU QPMJDJFT UP NBOBHF BOE TVQFSWJTF UIF CVTJOFTT PQFSBUJPOT PG TVDI TVCTJEJBSZ DPNQBOJFT PS BGÅ³MJBUFE DPNQBOJFT BT BTTJHOFE CZ UIF #PBSE PG %JSFDUPST JO BDDPSEBODF XJUI SFMBUFE MBXT

Proxy Voting by the Companyâ&#x20AC;&#x2122;s Representatives in the Shareholdersâ&#x20AC;&#x2122; Meeting of the Subsidiary Companies and the Affiliated Companies 5IF SFQSFTFOUBUJWFT PG $PNQBOZ JO UIF TVCTJEJBSZ DPNQBOJFT BOE UIF BGÅ³MJBUFE DPNQBOJFT TIBMM VTF EJTDSFUJPO XIFO DBTUJOH WPUFT JO UIF #PBSE PG %JSFDUPSTÄ´ .FFUJOH BOE PS UIF 4IBSFIPMEFSTÄ´ .FFUJOH PG TVDI TVCTJEJBSZ DPNQBOJFT BOE BGÅ³MJBUFE DPNQBOJFT JO BDDPSEBODF XJUI UIF SFTPMVUJPOT PG UIF %JSFDUPSTÄ´ .FFUJOH BOE PS UIF 4IBSFIPMEFSTÄ´ .FFUJOH PG UIF DPNQBOJFT XIJDI BQQSPWF TVDI JTTVFT

Transactions of the Directors, the Executives or Individuals who are related to the Subsidiary Companies 5IF EJSFDUPST UIF FYFDVUJWFT PS JOEJWJEVBMT XIP BSF SFMBUFE UP UIF TVCTJEJBSZ DPNQBOJFT TIBMM NBLF USBOTBDUJPOT XJUI UIF TVCTJEJBSZ DPNQBOJFT POMZ XIFO TVDI USBOTBDUJPOT IBWF CFFO BQQSPWFE CZ UIF #PBSE PG %JSFDUPST PS UIF 4IBSFIPMEFSTÄ´ .FFUJOH PG UIF $PNQBOZ BDDPSEJOH UP UIF DBMDVMBUFE USBOTBDUJPO TJ[F JO BDDPSEBODF XJUI UIF /PUJÅ³DBUJPO PG $POOFDUFE 5SBOTBDUJPOT FYDFQU GPS USBOTBDUJPOT XIJDI BSF DPNNFSDJBM BHSFFNFOUT JO UIF TBNF NBOOFS BT UIBU B SFBTPOBCMF NBO XPVME IBWF EPOF XJUI QBSUOFST PG DPOUSBDU JO UIF TBNF DJSDVNTUBODFT XJUI DPNNFSDJBM OFHPUJBUJPO QPXFS BOE XJUIPVU JOÅ´VFODF GSPN CFJOH B EJSFDUPS FYFDVUJWF PS SFMBUFE QFSTPO BT UIF DBTF NBZ CF 5IPTF USBOTBDUJPOT TIBMM CF UIF DPNNFSDJBM BHSFFNFOUT XIJDI IBWF CFFO BQQSPWFE CZ UIF #PBSE PG %JSFDUPST PG UIF $PNQBOZ PS TIBMM CF JO BDDPSEBODF XJUI UIF QSJODJQMFT BQQSPWFE CZ UIF #PBSE PG %JSFDUPST

Subsidiary Companiesâ&#x20AC;&#x2122; Information Disclosure 5IF TVCTJEJBSZ DPNQBOJFT TIBMM QFSGPSN UIF EVUJFT PG EJTDMPTJOH UIF JOGPSNBUJPO PG Å³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Å³OET JTTVFT PG TJHOJÅ³DBOU JNQPSUBODF UIF $PNQBOZ NBZ OPUJGZ UIF TVCTJEJBSZ DPNQBOJFT GPS DMBSJÅ³DBUJPO BOE PS EFNPOTUSBUJPO PG FWJEFODF UP DMBSJGZ TVDI EPVCUFE JTTVFT

Supervision on the use of internal information 5IF #PBSE PG %JSFDUPST SFBMJ[FT UIF JNQPSUBODF PG HPPE DPSQPSBUF HPWFSOBODF 'PS USBOTQBSFODZ BOE QSFWFOUJPO PG TFMG JOUFSFTU GSPN UIF VTF PG JOUFSOBM JOGPSNBUJPO PG UIF $PNQBOZ XIJDI IBT OPU CFFO EJTDMPTFE UP UIF QVCMJD UIF $PNQBOZ TIBMM FTUBCMJTI BO JOUFSOBM JOGPSNBUJPO EJTDMPTVSF QPMJDZ BT GPMMPXT ,OPXMFEHF PG EVUJFT TIBMM CF QSPWJEFE UP UIF EJSFDUPST UIF FYFDVUJWFT JODMVEJOH UIPTF JO UIF QPTJUJPO PG FYFDVUJWF JO BDDPVOUJOH PS Å³OBODF BU UIF MFWFM PG NBOBHFS MFWFM PS IJHIFS PS UIF FRVJWBMFOU UP QSFQBSF BOE TFOE UIF SFQPSU PG TFDVSJUJFT IPMEJOH PG UIFJS PXO TQPVTF VOEFSBHF DIJMESFO UP UIF 0GÅ³DF PG 4FDVSJUJFT BOE &YDIBOHF $PNNJTTJPO JO BDDPSEBODF XJUI 4FDUJPO BOE 1FOBMUZ 4FDUJPO PG UIF 4FDVSJUJFT BOE &YDIBOHF "DU # & 5IF EJSFDUPST BOE UIF FYFDVUJWFT JODMVEJOH UIPTF JO UIF QPTJUJPO PG FYFDVUJWF JO BDDPVOUJOH PS Å³OBODF BU UIF MFWFM PG NBOBHFS PS IJHIFS PS UIF FRVJWBMFOU TIBMM CF BTTJHOFE UP BMXBZT QSFQBSF BOE TFOE UIF SFQPSU PG TFDVSJUJFT IPMEJOH PG UIFJS PXO TQPVTF VOEFSBHF DIJMESFO UP UIF $PNQBOZ 4FDSFUBSZ CFGPSF TFOEJOH UP UIF 0GÅ³DF PG 4FDVSJUJFT BOE &YDIBOHF $PNNJTTJPO XJUIJO OP NPSF UIBO EBZT DPVOUJOH GSPN UIF EBZ PG BQQPJOUNFOU BT EJSFDUPS FYFDVUJWF PS TIBMM SFQPSU UIF DIBOHFT PG TFDVSJUJFT IPMEJOH XJUIJO EBZT DPVOUJOH GSPN UIF EBZ PG QVSDIBTF TBMFT USBOTGFS PS SFDFJQU PG USBOTGFS ! 5IF EJSFDUPST UIF FYFDVUJWFT JODMVEJOH UIPTF JO UIF QPTJUJPO PG FYFDVUJWF JO BDDPVOUJOH PS Å³OBODF BU UIF MFWFM PG NBOBHFS PS IJHIFS PS UIF FRVJWBMFOU BOE PQFSBUPST XIP BSF SFMBUFE BOE IBWF CFFO JOGPSNFE PG JNQPSUBOU JOUFSOBM JOGPSNBUJPO XIJDI NBZ BGGFDU UIF TUPDL QSJDFT TIBMM SFGSBJO GSPN UIF TBMF BOE QVSDIBTF PG UIF BTTFUT PG UIF $PNQBOZ EVSJOH UIF UJNF QFSJPE CFGPSF UIF EJTDMPTVSF PG UIF Å³OBODJBM TUBUFNFOUT PS UIF Å³OBODJBM QPTJUJPO BOE UIF Å³OBODJBM DPOEJUJPO PG UIF $PNQBOZ VOUJM UIF $PNQBOZ IBT EJTDMPTFE UIF JOGPSNBUJPO UP UIF QVCMJD 5IF $PNQBOZ TIBMM OPUJGZ UIF EJSFDUPST BOE UIF FYFDVUJWFT JODMVEJOH UIPTF JO UIF QPTJUJPO PG FYFDVUJWF JO BDDPVOUJOH PS Å³OBODF BU UIF MFWFM PG NBOBHFS PS IJHIFS PS UIF FRVJWBMFOU UP SFGSBJO GSPN UIF QVSDIBTF BOE TBMF PG UIF BTTFUT PG UIF $PNQBOZ UP CF SFDPSEFE JO XSJUJOH GPS BU MFBTU EBZT QSJPS UP UIF QVCMJD EJTDMPTVSF BOE TIBMM XBJU BU MFBTU IPVST BGUFS UIF QVCMJD EJTDMPTVSF %JTDMPTVSF PG TVDI JNQPSUBOU JOGPSNBUJPO UP PUIFS QFSTPOT TIBMM BMTP CF QSPIJCJUFE %JTDJQMJOBSZ QFOBMUJFT TIBMM CF TQFDJÅ³FE JG UIF VTF PG JOUFSOBM JOGPSNBUJPO GPS TFMG JOUFSFTU IBT CFFO QSBDUJDFE SBOHJOH GSPN XBSOJOHT JO XSJUJOH XBHF DVUT UFNQPSBSZ TVTQFOTJPO XJUIPVU QBZ UP UFSNJOBUJPO 1FOBMUJFT TIBMM CF EFUFSNJOFE GSPN UIF JOUFOUJPOT BOE UIF TFWFSJUZ PG TVDI FSSPS

Remuneration of the Auditors *O UIF $PNQBOZ BOE UIF TVCTJEJBSZ DPNQBOJFT IBWF QBJE UIF SFNVOFSBUJPO UP UIF BVEJUPST 5IF EFUBJMT BSF BT GPMMPXT

;+0: ,,9

5IF $PNQBOZ QBJE BVEJU GFFT UP ,1.( 1IPPNDIBJ "VEJU -UE ,1.( GPS UIF Å³TDBM ZFBS BU UIF BNPVOU PG CBIU XJUI JUT TVCTJEJBSJFT QBZJOH CBIU PVU PG UIF UPUBM BVEJU GFFT 5IF $PNQBOZ BOE JUT TVCTJEJBSJFT EJE OPU QBZ OPO BVEJU GFF UP BVEJUPST QFSTPOT PS CVTJOFTTFT UIBU SFMBUFT UP BVEJUPST BOE BVEJU Å³SNT TVDI BVEJUPST BSF XPSLJOH GPS "EEJUJPOBMMZ IBT OP GVUVSF FYQFOTF DBVTFE CZ VODPNQMFUF BHSFFNFOUT JO UIF MBTU Å³TDBM ZFBST

Other Good Corporate Governance Practices /POF

/ 2016

Corporate Social Responsibility Overview Policy 5IF $PNQBOZ SFBMJ[FT UIF JNQPSUBODF PG DPOEVDUJOH CVTJOFTT XJUI KVTUJDF XIJMF QBZJOH BUUFOUJPO UP UIF TUBLFIPMEFST UIF TPDJFUZ BOE UIF FOWJSPONFOU XJUI NPSBMJUZ FUIJDT BOE HPPE HPWFSOBODF UP DBSSZ PVU UIF PQFSBUJPOT PG UIF $PNQBOZ XJUI JOUFHSJUZ USBOTQBSFODZ BOE GBJSOFTT /FWFSUIFMFTT UIF #PBSE PG %JSFDUPSTÄ´ .FFUJOH /P PO "QSJM IBT SFTPMWFE B GSBNFXPSL PG UIF $PSQPSBUF 4PDJBM 3FTQPOTJCJMJUZ 1PMJDZ BT GPMMPXT

To conduct business with fairness 5IF $PNQBOZ TIBMM HJWF JNQPSUBODF UP DPOEVDUJOH UIF CVTJOFTT XJUIJO PQFSBUF XJUIJO B GBJS DPNQFUJUJPO GSBNFXPSL VOEFS SFMBUFE MBXT BOE SFHVMBUJPOT XIJDI TIBMM CF QSBDUJDFE BT GPMMPXT $ ! $ % 5IF $PNQBOZ TIBMM DPOEVDU WBSJPVT BDUJWJUJFT JO DPNQMJBODF ! " XJUI UIF DPNQFUJUJPO MBXT BOE SVMFT XIJMF QSPWJEJOH GVMM DPNQFUJUJPO GSBNFXPSL DPPQFSBUJPO UP UIF HPWFSONFOU PGÅ³DFST 5IF $PNQBOZ TIBMM TVQQPSU WBSJPVT QVCMJD QPMJDJFT XIJDI

Anti-Corruption Policy 5IF $PNQBOZ JOUFOET UP DPOEVDU CVTJOFTT XJUI USBOTQBSFODZ BEIFSFT UP HPPE DPSQPSBUF HPWFSOBODF NBJOUBJOT UIF CFOFÅ³UT PG BMM TUBLFIPMEFST BOE QSPWJEFT BO BOUJ DPSSVQUJPO QPMJDZ XIJMF TVQQPSUJOH BDUJWJUJFT XIJDI FOIBODF BOE GPTUFS UIF FYFDVUJWFT BOE FNQMPZFFT UP DPOEVDU CVTJOFTT PQFSBUJPOT JO BDDPSEBODF XJUI SFMBUFE MBXT BOE SFHVMBUJPOT 5IF $PNQBOZ TIBMM JOTUJMM FUIJDBM DPOTDJFODF HPPE WBMVFT $ ! $ BOE QPTJUJWF BUUJUVEFT GPS FNQMPZFFT UP DPOEVDU CVTJOFTT SFQSFTFOUBUJWFT BOE USBEJOH QBSUOFST UP SFQPSU QPMJDZ " $ JOGSJOHFNFOU BOE VOGBJS PS VOFUIJDBM QSBDUJDFT 5IF $PNQBOZ TIBMM QSPWJEF BO FGÅ³DJFOU JOUFSOBM DPOUSPM $ ! TZTUFN XJUI QSPQFS SF FYBNJOBUJPO BOE DPVOUFSCBMBODFT BOE TIBMM SFGSBJO GSPN BDUJPOT XIJDI NBZ EFNBOE GPS BDDFQU PS QSPQPTF BTTFUT PS PUIFS CFOFÅ³UT XIJDI NBZ QSPNPUF JMMFHBM QSBDUJDFT PS EVUZ PNJTTJPO

Respect for Human Rights 5IF $PNQBOZ IBT B QPMJDZ UP USFBU BMM TUBLFIPMEFST J F UIF FNQMPZFFT UIF EJSFDUPST UIF TIBSFIPMEFST UIF JOWFTUPST UIF DMJFOUT XJUI GBJSOFTT BOE XJUIPVU CJBT GPS PS BHBJOTU BOZ QFSTPO EVF UP UIF TJNJMBSJUJFT PS EJGGFSFODFT JO OBUJPOBMJUZ SFMJHJPO TFY BHF PS BOZ NBUUFS

Fair Treatment for Labor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Å³FE BOE FNQMPZNFOU DPOEJUJPOT TIBMM CF GBJSMZ EFUFSNJOFE 'VSUIFSNPSF UIF $PNQBOZ IBT B QPMJDZ UP TUSJDUMZ BCJEF CZ UIF -BCPS 1SPUFDUJPO "DU

5IF $PNQBOZ TIBMM QSPWJEF IFBMUI QSPUFDUJPO QMBOT BOE TBGFUZ JO UIF XPSLQMBDF CZ QSPNPUJOH BOE BEIFSJOH UP UIF TUBOEBSET PG PQFSBUJPOT PG UIF $PNQBOZ UP QSFWFOU BDDJEFOUT XIJDI NBZ PDDVS EVSJOH PQFSBUJPOT

Community or Society Co-Development 5IF $PNQBOZ SFBMJ[FT UIF JNQPSUBODF PG TPDJBM DP SFTQPOTJCJMJUZ UIVT UIF $PNQBOZ IBT QSPWJEFE QSPKFDUT UP DPOTJTUFOUMZ IFMQ BOE EFWFMPQ UIF TPDJFUZ CZ GPDVTJOH PO EPOBUJPOT BOE FEVDBUJPO TVQQPSUT

Environment Conservation 5IF $PNQBOZ DPOEVDUT JUT CVTJOFTT JO DPNQMJBODF XJUI UIF MBXT BOE SFHVMBUJPOT XIJDI BSF SFMBUFE UP UIF FOWJSPONFOU BOE IBT TQFDJÅ³FE NFBTVSFT UP QSPUFDU BOE TPMWF QSPCMFNT BGGFDUJOH UIF FOWJSPONFOU DBVTFE CZ UIF PQFSBUJPOT PG UIF $PNQBOZ JG BOZ 'VSUIFSNPSF UIF $PNQBOZ IBT B HSPVQ PG UFBNT XIP IBT CFFO USBJOFE UP IBOEMF EBOHFSPVT HPPET PG EJGGFSFOU DBUFHPSJFT UP QSPWJEF FNFSHFODZ SFTQPOTF EVF UP MFBLBHF PG BOZ EBOHFSPVT HPPET OPU KVTU UIPTF EBOHFSPVT HPPET EFQPTJUFE BU UIF $PNQBOZÄ´T HSPVQ CVU BMTP JODJEFOUT JO UIF OFBSCZ DPNNVOJUZ XIJDI NBZ PDDVS EVF UP UIPTF EBOHFSPVT HPPET

Acquisition and Dissemination of Innovation Arising from those Operations Responsible for Society, Environment and Stakeholders &3.4 0' &'&3&/$& 5IJT QPMJDZ TIBMM CF BQQMJDBCMF UP EJSFDUPST FYFDVUJWFT PGÅ³DFST BOE FNQMPZFFT PG UIF $PNQBOZ 5IF $PNQBOZ TIBMM DBSSZ PVU PQFSBUJPOT UP NBLF $ UIF $PNQBOZ BEIFSF UP UIJT QPMJDZ 0-&4 "/% &410/4*#*-*5*&4 5IF #PBSE PG %JSFDUPST TIBMM IBWF B EVUZ UP DPOTJEFS BOE BQQSPWF UIF BOUJ DPSSVQUJPO QPMJDZ BOE UP BTTJHO "ENJOJTUSBUJPO UP TVQFSWJTF BOE FODPVSBHF UIF QSBDUJDFT ! $ 5IF "VEJU $PNNJUUFF TIBMM IBWF B EVUZ UP SF FYBNJOF UIF BTTFTTNFOU PG UIF JOUFSOBM DPOUSPM TZTUFN BOE UIF DPSSVQUJPO SJTL BTTFTTNFOU QSPQPTFE CZ UIF JOUFSOBM BVEJU EFQBSUNFOU UP FOTVSF UIBU TVDI TZTUFN TIBMM IBWF UIF MPXFTU MFWFM PG DPSSVQUJPO SJTL GPS UIF Å³OBODJBM QPTJUJPO BOE UIF PQFSBUJPO QFSGPSNBODF PG UIF $PN QBOZ BOE TIBMM CF BQQSPQSJBUF UP UIF CVTJOFTT NPEFM $ 5IF $IJFG &YFDVUJWF 0GÅ³DFS BOE UIF BENJOJTUSBUPST TIBMM IBWF B EVUZ UP CF SFTQPOTJCMF GPS DPSQPSBUF HPWFSOBODF BOE TIBMM DPNNVOJDBUF UP UIF PGÅ³DFST BOE BMM SFMBUFE QBSUJFT UP TUSJDUMZ JNQMFNFOU UIF QPMJDZ BOE TIBMM SFWJFX ! $ DPSSFTQPOE XJUI UIF CVTJOFTT DIBOHFT PS UIF MFHBM SFRVJSFNFOUT UP CF QSFTFOUFE UP UIF #PBSE PG %JSFDUPST 5IF *OUFSOBM "VEJU %FQBSUNFOU TIBMM QFSGPSN B EVUZ JO BDDPSEBODF XJUI UIF TQFDJÅ³FE JOUFSOBM BVEJU QMBO BOE TIBMM QSFTFOU UIF SFQPSU PG UIF JOUFSOBM BVEJU TZTUFN BOE UIF DPSSVQUJPO SJTL BTTFTTNFOU JO SFMBUJPO UP UIF JOUFSOBM BVEJU TZTUFN UP UIF "VEJU $PNNJUUFF BOE TIBMM DPOEVDU PQFSBUJPOT BTTJHOFE CZ UIF "VEJU $PNNJUUFF SFHBSEJOH DPSSVQUJPO BVEJU PG UIF $PNQBOZ PO UPQ PG UIF TQFDJÅ³FE JOUFSOBM BVEJU QMBO

0-*$: "/% .1-&.&/5"5*0/ -"/ 5IF EJSFDUPST UIF FYFDVUJWFT UIF PGÅ³DFST BOE UIF FNQMPZFFT PG UIF $PNQBOZ TIBMM TUSJDUMZ DPOEVDU " ! QPMJDZ CZ BWPJEJOH JOWPMWFNFOU XJUI DPSSVQUJPO FJUIFS EJSFDUMZ PS JOEJSFDUMZ BT GPMMPXT 5IF EJSFDUPST UIF FYFDVUJWFT UIF PGÅ³DFST BOE UIF $ $ $ CFIBWJPS PS FOHBHF JO DPSSVQUJPO QSBDUJDFT TVDI BT HJWJOH CSJCFT UP PS SFDFJWJOH CSJCFT GSPN TUBLFIPMEFST SFMBUFE UP XPSL FJUIFS EJSFDUMZ PS JOEJSFDUMZ JO PSEFS UP HBJO JMMFHJUJNBUF CFOFÅ³UT PS UP BTL GPS PS SFDFJWF BOZ CFOFÅ³UT GSPN USBEJOH QBSUOFST PS CVTJOFTT QBSUOFST PG UIF $PNQBOZ (JWJOH PS SFDFJWJOH HJGUT QSFTFOUT SFDFQUJPOT TIBMM CF DBSSJFE PVU JO BDDPSEBODF XJUI UIF DPEF PG DPOEVDU 4QFOEJOH DBTI PS VTJOH BTTFUT PG UIF $PNQBOZ GPS EPOBUJPOT PS GVOET TIBMM CF NBEF PO CFIBMG PG UIF $PNQBOZ POMZ %POBUJPOT TIBMM CF NBEF UP JOTUJUVUJPOT FEVDBUJPO JOTUJUVUJPOT QVCMJD DIBSJUZ PSHBOJ[BUJPOT " BVEJUBCMF FWJEFODFT BOE TIBMM CF DBSSJFE PVU UISPVHI UIF QSPDFEVSFT PG UIF $PNQBOZ 033615*0/ "/% )*45-& -08*/( "OZ QFSTPO XIP XJUOFTTFT BOZ BDUJPO EFFNFE QSP DPSSVQUJPO PS JOWPMWFE XJUI DPSSVQUJPO XIJDI NBZ BGGFDU UIF $PNQBOZ FJUIFS EJSFDUMZ PS JOEJSFDUMZ TIBMM OPU OFHMFDU PS JHOPSF TVDI CFIBWJPS BOE TIBMM JNNFEJBUFMZ OPUJGZ UIF "VEJU $PNNJUUFF PS UIF $IJFG &YFDVUJWF 0GÅ³DFS PS OPUJGZ UISPVHI UIF TQFDJÅ³FE XIJTUMF CMPXJOH DIBOOFMT BT GPMMPXT 5ISPVHI UIF F NBJM PG UIF 4FDSFUBSZ PG UIF "VEJU $PNNJUUFF BU FBLBQPOH!KXE MPHJTUJDT DPN PS UIF $PNQBOZ 4FDSFUBSZ BU OBUUQVNF!KXE MPHJTUJDT DPN 5ISPVHI UIF F NBJM PG UIF $IJFG &YFDVUJWF 0GÅ³DFS BU DIBSWBOJO!KXE MPHJTUJDT DPN PS UIF TVHHFTUJPO CPY $&0 5BML ! ! BU QS!KXE MPHJTUJDT DPN

/ 2016

&$63*5: &"463&4 '03 &$3&54 5P QSPUFDU UIF SJHIUT PG UIF DPNQMBJOFST BOE UIF JO GPSNFST XIP IBWF HPPE JOUFOUJPOT UIF $PNQBOZ TIBMM DPODFBM UIFJS OBNFT BEESFTTFT BOE BMM JOGPSNBUJPO XIJDI NBZ MFBE UP UIF DPNQMBJOFST PS UIF JOGPSNFST BOE TIBMM TFDVSF UIF JOGPSNBUJPO PG UIF DPNQMBJOFST BOE UIF JOGPSNFST BT TFDSFUT CZ MJNJUJOH BDDFTT UP UIF JOGPSNBUJPO UP POMZ UIPTF SFTQPOTJCMF GPS WFSJGZJOH UIF 5IF "VEJU $PNNJUUFF BOE PS UIF $IJFG &YFDVUJWF 0G Å³DFS TIBMM IBWF B EVUZ UP VTF EJTDSFUJPO JO HJWJOH PSEFST BT EFFNFE BQQSPQSJBUF UP QSPUFDU UIF XIJTUMFCMPXFST PS UIF DPNQMBJOFST UIF XJUOFTTFT BOE UIF JOEJWJEVBMT XIP QSPWJEF JOGPSNBUJPO GPS UIF JOWFTUJHBUJPO UP Å³OE UIF USVUI UP QSFWFOU QSPCMFNT PS EBOHFST PS JOKVTUJDF " " " )PXFWFS UIPTF PO EVUZ XIP IBWF SFDFJWFE UIF DPNQMBJOUT TIBMM IBWF B EVUZ UP TFDVSF UIF JOGPSNBUJPO DPNQMBJOUT BOE EPDVNFOUBSZ FWJEFODF PG UIF DPNQMBJOFST BOE UIF JOGPSNFST BT TFDSFUT OPU UP CF VOEJTDMPTFE UP BOZ PUIFS QFSTPOT XIP BSF OPU JOWPMWFE VOMFTT JU JT B MFHBM EVUZ UP EP TP

/7&45*("5*0/ 30$&44 "/% &/"-5*&4 8IFO SFDFJWJOH B XIJTUMFCMPXFSÄ´T EJTDMPTVSF UIF "VEJU DPNNJUUFF BOE PS UIF $IJFG &YFDVUJWF 0GÅ³DFS TIBMM Å³MUFS PVU UIF JOGPSNBUJPO BOE JOWFTUJHBUF JOUP UIF USVUI PS BTTJHO B SFQSFTFOUBUJWF FYFDVUJWF MFWFM UP Å³MUFS PVU BOE JOWFTUJHBUF JOUP UIF USVUI %VSJOH UIF JOWFTUJHBUJPO UIF "VEJU $PNNJUUFF BOE PS UIF $IJFG &YFDVUJWF 0GÅ³DFS NBZ BTTJHO B SFQSFTFOUBUJWF FYFDVUJWF MFWFM UP QFSJPEJDBMMZ SFQPSU UIF QSPHSFTT UP " " *G UIF JOWFTUJHBUJPO SFWFBMT UIBU UIF JOGPSNBUJPO PS FWJEFODF MFBET UP B CFMJFG UIBU UIF BDDVTFE IBT UBLFO BDUJPO PO DPSSVQUJPO UIF $PNQBOZ TIBMM QSPWJEF UIF SJHIU GPS UIF BDDVTFE UP CF JOGPSNFE PG UIF BMMFHBUJPO BOE UIF SJHIU GPS UIF BDDVTFE UP QSPWF IJN IFSTFMG JOOPDFOU CZ Å³OEJOH BEEJUJPOBM JOGPSNBUJPO PS FWJEFODF UP EFNPOTUSBUF OP JOWPMWFNFOU XJUI UIF DPSSVQUJPO BT BDDVTFE *G UIF BDDVTFE IBT USVMZ QSBDUJDFE DPSSVQUJPO TVDI DPSSVQUJPO TIBMM CF EFFNFE BT BO BDUJPO BHBJOTU UIF BOUJ DPSSVQUJPO QPMJDZ PS UIF $PNQBOZÄ´T DPEF PG DPOEVDU IFODF UIF BDDVTFE TIBMM CF EJTDJQMJOBSZ QFOBMJ[FE JO BDDPSEBODF XJUI UIF $PNQBOZÄ´T TQFDJÅ³FE SFHVMBUJPOT BOE JG TVDI DPSSVQUJPO JT JMMFHBM UIF XSPOH EPFS NBZ CF QFOBMJ[FE JO BDDPSEBODF XJUI MBXT

Social and Environment Activities *O UIF $PNQBOZ QBSUJDJQBUFE JO B WBSJFUZ PG BDUJWJUJFT EFTUJOFE UP QPNPUF TPDJBM XFMGBSF BOE FOWJSPONFOU QSPUFDUJPO 4PNF PG UIFTF JODMVEF 1SPKFDU PO CFBDI DMFBOJOH BU #BOH 4BFO #FBDI 1SPKFDU PO Ä¶$IJMESFOÄ´T %BZÄ· GPS UIF ZFBS BU #BOHLBQJ Ä¶#FBVUJGVM #FBDI BOE $SZTUBM $MFBS #MVF 8BUFST XJUI :PVUI $FOUFS SVO CZ 3FDSFBUJPO %JWJTJPO PG #BOHLPL .FU +8% Ä· PSHBOJ[FE JO UXP HSPVQT BU #BOH 4BFO #FBDI SPQPMJUBO "ENJOJTUSBUJPOÄ´T 0GÅ³DF PG $VMUVSF 4QPSUT BOE 4BFO 4VL .VOJDJQBMJUZ $IPOCVSJ 1SPWJODF 1BSUJDJQBOUT ! DPNCJOFE FGGPSUT UP SFNPWF SVCCJTI BMPOH UIF 1SPKFDU PO B DIFDL EBN BU #BBO )VC .PFZ )JO 5VOH DPBTUMJOF PG #BOH 4BFO BOE IBOEFE PWFS USBTI DBOT UP /BLIPO /BZPL 1SPWJODF #BOH 4BFO .VOJDJQBMJUZ

Internal Control and Risk Management 5IF #PBSE IBT BTTJHOFE UIF "VEJU $PNNJUUFF UP FYBNJOF BOE SFWJFX UIF TVJUBCJMJUZ BOE FGGFDUJWFOFTT PG UIF JOUFSOBM DPOUSPM QSPDFTT 5IJT JT UP FOTVSF UIF (SPVQÄ´T JOUFSOBM DPOUSPM QSPDFTT JT BQQSPQSJBUF TVGÅ³DJFOU BOE GVMMZ DPNQMJBOU XJUI JOUFSOBM DPOUSPM QSJODJQMFT PG $040 5IF $PNNJUUFF PG 4QPOTPSJOH 0SHBOJTBUJPO PG UIF 5SFBEXBZ $PNNJTTJPO UIBU JODMVEFT NBOBHFNFOU DPOUSPM PQFSBUJPOBM DPOUSPM BDDPVOUJOH BOE Å³OBODJBM DPOUSPM BOE DPNQMJBODF DPOUSPM *O UIF NFFUJOH PG UIF $PNQBOZÄ´T "VEJU $PNNJUUFF PO 'FCSVBSZ BOE UIF NFFUJOH PG UIF #PBSE PO 'FCSVBSZ CPUI IBWF FWBMVBUFE UIF TVGÅ³DJFODZ PG UIF $PNQBOZÄ´T JOUFSOBM DPOUSPM QSPDFTT "MTP UIF $PNQBOZÄ´T TVCTJEJBSJFT IBWF FNQMPZFE UIF TVGÅ³DJFODZ FWBMVUJPO GPSN UP HVBHF UIBU JOUFSOBM DPOUSPM QSPDFTT XIJDI JODMVEFT SJTL NBOBHFNFOU BOE BTLFE UIF NBOBHFNFOU GPS NPSF JOGPSNBUJPO JO PSEFS UP BTTFTT UIF $PNQBOZÄ´T PWFSBMM JOUFSOBM DPOUSPM TZTUFN JO EJGGFSFOU BSFBT BT GPMMPXT $POUSPM &OWJSPONFOU 3JTL "TTFTTNFOU $POUSPM "DUJWJUJFT *OGPSNBUJPO BOE $PNNVOJDBUJPOT .POJUPSJOH "DUJWJUJFT 5IF "VEJU $PNNJUUFF BOE UIF #PBSE QPJOUFE PVU UIBU UIF $PNQBOZ IBE BO JOUFSOBM DPOUSPM TZTUFN JO QMBDF BOE B TVGÅ³DJFOU OVNCFS PG TUBGG UP FGÅ³DJFOUMZ PQFSBUF JO DPNQMJBODF XJUI UIF JOUFSOBM DPOUSPM TZTUFN BOE CF BCMF UP NPOJUPS BOE TVQFSWJTF PQFSBUJPOT PG JUT TVCTJEJBSJFT 5IJT FOBCMFT UIF $PNQBOZ UP QSFWFOU NFNCFS PG UIF #PBSE BOE NBOBHFNFOU GSPN UBLJOH BEWBOUBHF PG BTTFUT SFTPVSDFT CFMPOHJOH UP UIF $PNQBOZ JUTFMG PS JUT TVCTJEJBSJFT JO BO VOMBXGVM PS VOPSUIPSJ[FE NBOOFS 'PS PUIFS BTQFDUT UIF #PBSE BHSFFE UIBU UIF $PNQBOZ IBE TVGÅ³DJFOU BOE BQQSPQSJBUF JOUFSOBM DPOUSPM BT XFMM

Related Transactions The Necessity and Rationality of Related Transactions *O +8% *OGPMPHJTUJDT 1VCMJD $PNQBOZ -JNJUFE BOE JUT TVCTJEJBSJFT 5IF $PNQBOZ IBE USBOTBDUJPOT XJUI SFMBUFE QFSTPOT BOE CVTJOFTT PSHBOJ[BUJPOT BT NFOUJPOFE JO /P PG UIF BVEJUFE /PUFT UP 'JOBODJBM 4UBUFNFOU 5IF BVUIPSJ[FE BVEJUPS IBT TVNNBSJ[FE USBOTBDUJPOT XJUI SFMBUFE QFSTPOT BOE CVTJOFTT PSHBOJ[BUJPOT UIBU SFMBUFE USBOTBDUJPOT PG UIF $PNQBOZ BOE JUT TVCTJEJBSJFT XJUI QFSTPOT BOE MFHBM FOUJUJFT XIP NBZ IBWF B DPOÅ´JDU PG JOUFSFTU BSF EFTUJOFE UP FOBCMF UIF $PNQBOZÄ´T VTVBM CVTJOFTT PQFSBUJPOT BOE NFFU OPSNBM USBEF DPOEJUJPOT JO UIF TBNF NBOOFS BT B QFSTPO PG PSEJOBSZ QSVEFODF TIPVME EP XJUI DPOUSBDU QBSUJFT JO HFOFSBM JO UIF TBNF TJUVBUJPO XJUI USBEF CBSHBJOJOH QPXFS XJUIPVU UIF JOÅ´VFODF UIBU UIF PUIFS TJEF PG DPOUSBDU QBSUJFT JT UIF QFSTPO XIP NBZ IBWF B DPOÅ´JDU PG JOUFSFTU BSNÄ´T MFOHUI CBTJT BOE XJUIPVU UIF USBOTNJTTJPO PG CFOFÅ³UT CFUXFFO UIF $PNQBOZ BOE JUT TVCTJEJBSJFT BOE UIF QFSTPO XIP NBZ IBWF B DPOÅ´JDU PG JOUFSFTU 5IJT JT GPS BOZ USBOTBDUJPO UIBU JT TJHOJÅ³DBOU BOE NVTU CF JO DPNQMJBODF XJUI UIF SFHVMBUJPOT EFÅ³OFE CZ UIF 0GÅ³DF PG UIF 4FDVSJUJFT BOE &YDIBOHF $PNNJTTJPO 4&$ BOE UIF 4UPDL &YDIBOHF PG 5IBJMBOE 4&5 5IF USBOTBDUJPO IBT CFFO SFWJFXFE CZ UIF "VEJU $PNNJUUFF XIPTF DPNNFOUT DPOÅ³SN UIF USBOTBDUJPOÄ´T SBUJPOBMJUZ BOE BEWBOUBHFT UP UIF $PNQBOZ

/ 2016

Measures and Steps of Approving Related Transactions "T B MJTUFE DPNQBOZ JO UIF 4UPDL &YDIBOHF PG 5IBJMBOE +8% *OGPMPHJTUJDT 1VCMJD $PNQBOZ -JNJUFE IBT B HPBM UP PQFSBUF GPS UIF NBYJNVN CFOFÅ³U PG TIBSFIPMEFST XJUI B QPMJDZ UP QSPWJEF BEFRVBUF JOGPSNBUJPO UP JOWFTUPST BOE DPNQMZ XJUI SVMFT BOE SFHVMBUJPOT SFRVJSFNFOUT BOE MBXT JO UIF DPVOUSZ XIFSF UIF $PNQBOZ PQFSBUFT 5P FOTVSF USBOTQBSFODZ PG SFMBUFE USBOTBDUJPOT CFUXFFO UIF (SPVQ BOE SFMBUFE QFSTPOT PS FOUJUJFT XIJMF SFEVDJOH QPTTJCMF DPOÅ´JDU PG JOUFSFTU BOE PQFSBUJOH JO BDDPSEBODF XJUI HPPE DPSQPSBUF HPWFSOBODF QSJODJQMFT BOE CF GVMMZ DPNQMJBOU XJUI MBXT SVMFT BOE SFHVMBUJPOT BOE SFRVJSFNFOUT TQFDJÅ³FE CZ SFMFWBOU HPWFSOJOH BHFODJFT TVDI BT UIF 4UPDL &YDIBOHF PG 5IBJMBOE 4&5 BOE UIF 0GÅ³DF PG UIF 4FDVSJUJFT BOE &YDIBOHF $PNNJTTJPO 4&$ JO B XBZ UIBU QSPWJEFT JOWFTUPST XJUI BEFRVBUF JOGPSNBUJPO FOBCMJOH UIFN UP VTF UIFJS EJTDSFUJPO JO NBLJOH BO JOWFTUNFOU EFDJTJPO UIF $PNQBOZ IBT UIFSFGPSF TFU HVJEFMJOFT GPS EPJOH USBOTBDUJPOT CFUXFFO UIF (SPVQ BOE SFMBUFE QFSTPOT PS FOUJUJFT XIJDI DBO CF UIF DSJUFSJB GPS DPOTJEFSJOH UP DPOEVDU B USBOTBDUJPO %FUBJMT BSF BT GPMMPXT 'PS BOZ SFMBUFE USBOTBDUJPO PG UIF $PNQBOZ BOE JUT TVCTJEJBSJFT XJUI B QFSTPO XIP NBZ IBWF B DPOÅ´JDU PG JOUFSFTU UIF $PNQBOZ XJMM DPOTJEFS DPOEVDUJOH UIF USBOTBDUJPO JO UIF TBNF NBOOFS BT XJUI B QFSTPO PVUTJEF UIF PSHBOJ[BUJPO BSNÄ´T MFOHUI CBTJT GPS UIF NBYJNVN CFOFÅ³U PG UIF $PNQBOZ *U JT BMTP SFRVJSFE UIBU USBEF DPOEJUJPOT NVTU CF QSJDFBCMF BOE GBJS BOE NVTU OPU BMMPX GPS UIF USBOTNJTTJPO PG CFOFÅ³UT *O UIF FWFOU UIBU JU JT VODMFBS XIFUIFS PS OPU JOUFSSFMBUFE QSJDFT BSF BTTPDJBUFE XJUI UIF BSNÄ´T MFOHUI CBTJT UIF USBOTBDUJPO TIPVME CF TVCNJUUFE UP UIF "VEJU $PNNJUUFF GPS GVSUIFS EJTDVTTJPO BOE BQQSPWBM CFGPSF DPOEVDUJOH UIF USBOTBDUJPO 5IF $PNQBOZ IBT BVUIPSJ[FE NFNCFST PG UIF NBOBHFNFOU UFBN UP BQQSPWF Å³OBODJBM MJNJUT IJFSBSDIJDBMMZ "VUIPSJ[BUJPO PG UIF QFSTPOT XIP IBWF UIF SJHIU UP BQQSPWF XJMM CF CBTFE PO Å³OBODJBM MJNJUT TQFDJÅ³FE )PXFWFS UIF $PNQBOZ QSPIJCJUT BOZ NFNCFS PG UIF #PBSE BOE .BOBHFNFOU XIP JT BGÅ³MJBUFE PS NBZ IBWF QFSTPOBM DPOÅ´JDU PG JOUFSTU GSPN BQQSPWJOH SFMBUFE USBOTBDUJPOT JO XIJDI IF TIF JT BGÅ³MJBUFE "MTP BOZ NFNCFS PG UIF #PBSE XIP JT BGÅ´JBUFE JO UIF BHSFFNFOU UP FYFDVUF BOZ SFMBUFE USBOTBDUJPO NVTU OPU BUUFOE UIF NFFUJOH BOE WPUF BU UIBU NFFUJOH 5IF "VEJU $PNNJUUFF JT SFTQPOTJCMF GPS SFWJFXJOH JOUFSSFMBUFE USBOTBDUJPOT CFUXFFO DPNQBOJFT PS JUT TVCTJEJBSJFT BOE BOZ DPOOFDUFE QFSTPOT BOE NVTU QFSGPSN JO BDDPSEBODF XJUI SVMFT BOE SFHVMBUJPOT TFU CZ UIF 4UPDL &YDIBOHF PG 5IBJMBOE 4&5 )PXFWFS JOUFSSFMBUFE USBOTBDUJPOT CFUXFFO DPNQBOJFT BU XIJDI QFSTPOT XIP NBZ IBWF B DPOÅ´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Ä´T Å³OBODJBM QSPDFEVSFT BOE BMXBZT VOEFS UIF SFDPOTJEFSBUJPO PG WFOEPS TFMFDUJPO QSPDFTT UP FOTVSF UIBU UIF $PNQBOZ IBT QSPWJEFE PQQPSUVOJUJFT UP FOUSFQSFOFVST PVUTJEF UIF (SPVQ XIP NBZ PGGFS NPSF CFOFÅ³UT UP UIF $PNQBOZ BOE DBO CF BO FYUFSOBM TPVSDF GPS UIF DPNQBSJTPO PG QSJDFT BOE USBEF DPOEJUJPOT 5IF $PNQBOZ EJTDMPTFT JOGPSNBUJPO BCPVU SFMBUFE USBOTBDUJPOT CZ BEIFSJOH UP HVJEFMJOFT TFU JO 5IBJMBOE "DDPVOUJOH 4UBOEBSET *TTVF UI MBTU VQEBUFE JO PO UIF %JTDMPTVSF PG *OGPSNBUJPO BCPVU 3FMBUFE 1FSTPOT PS &OUJUJFT BOE JO BDDPSEBODF XJUI SVMFT BOE SFHVMBUJPOT TFU CZ UIF 0GÅ³DF PG UIF 4FDVSJUJFT BOE &YDIBOHF $PNNJTTJPO 4&$ BOE UIF 4UPDL &YDIBOHF PG 5IBJMBOE 4&5 5IF -FHBM BOE $PNQMJBODF %FQBSUNFOU BOE UIF "DDPVOUJOH %FQBSUNFOU XJMM TVCNJU SFMBUFE USBOTBDUJPOT PS USBOTBDUJPOT UIBU NBZ IBWF DPOÅ´JDU PG JOUFSFTU PDDVSSFE UP UIF "VEJU $PNNJUUFF GPS GVSUIFS SFWJFX BOE DPNNFOU PO UIF OFDFTTJUZ BOE SBUJPOBMJUZ PG FBDI USBOTBDUJPO XIFUIFS PS OPU JU JT EFTUJOFE UP HJWF UIF NBYJNVN CFOFÅ³U UP UIF $PNQBOZ CFGPSF SFQPSUJOH UP UIF #PBSE "EEJUJPOBMMZ UIF "DDPVOUJOH %FQBSUNFOU XJMM TVCNJU SFDPSET PG SFMBUFE USBOTBDUJPOT PO NPOUIMZ CBTJT JO BDDPSEBODF XJUI SVMFT BOE SFHVMBUJPOT TFU CZ UIF 4UPDL &YDIBOHF PG 5IBJMBOE 4&5 BOE UIF 0GÅ³DF PG UIF 4FDVSJUJFT BOE &YDIBOHF $PNNJTTJPO 4&$

Policy and Trend of Future Related Transactions *O UIF GVUVSF UIF $PNQBOZ NBZ OFFE UP FYFDVUF SFMBUFE USBOTBDUJPOT XIJDI BSF VTVBM BOE VOVTVBM USBEF BOE CVTJOFTT QSBDUJDFT *O EPJOH UIFTF JU JT SFRVJSFE UP CF JO DPNQMJBODF XJUI SBUJPOBM QSJDF DPOEJUJPOT BOE FOTVSF NBYJNVN CFOFÅ³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Ä´T BVEJUPS

Related Transactions 3FMBUFE USBOTBDUJPOT CFUXFFO UIF $PNQBOZ BOE JUT TVCTJEJBSJFT XJUI XIPN NBZ IBWF B DPOÅ´JDU PG JOUFSFTU GPS UIF Å³TDBM ZFBS FOEFE %FDFNCFS BOE UIF Å³TDBM ZFBS FOEFE %FDFNCFS

/ 2016

Related Transactions

$01.- +$& + $-2(26 5'. , 6 ' 4$ ".-%+("2 .% (-2$0$12

0 ' 04 -(- 3-#(2*(21 #

1 ,0 /' 0- 3-#(2*(21 #

1 0 5 - .0 -()

$2 (+1 .% $+ 2(.-1'(/

/$"(%(" 2(.-1 .% 0$+ 2$# 20 -1 "2(.-1

1' 0$'.+#(-& (- 2'$ .,/ -6 1 .% $"$,!$0 '$ 3-#(2*(21 # ,(+6 ' 1

1' 0$'.+#(-& (- 2'$ .,/ -6 $,!$0 .% 2'$ . 0# .% (0$"2.01 5'. ' 1 2'$ 32'.0(26 2. 1(&- .- !$' +% .% 2'$ .,/ -6 ,$,!$0 .% 2'$ .,/ -671 , - &$,$-2 -# .-$ .% 2'$ .,/ -671 , ).0 1' 0$'.+#$01 .- .% 01 (,.-2'(/ 3-#(2*(21 # .-$ .% 2'$ .,/ -671 , ).0 1' 0$'.+#$01 -# 2'$ 6.3-&$0 !0.2'$0 .% 1 ,0 /' 0- 3-#(2*(21 # #(0$"2.0 5'. ' 1 2'$ 32'.0(26 2. 1(&- .- !$' +% .% 2'$ .,/ -6 -# ,$,!$0 .% 2'$ .,/ -671 , - &$,$-2

30#$- .% +. - &3 0 -2$$

1' 0$'.+#(-& (- 2'$ .,/ -6 1 .% $"$,!$0 '$ 3-#(2*(21 # ,(+6 ' 1 1' 0$'.+#(-& (- 2'$ .,/ -6 $,!$0 .% 2'$ . 0# .% (0$"2.01 5'. ' 1 2'$ 32'.0(26 2. 1(&- .- !$' +% .% 2'$ .,/ -6 -# ,$,!$0 .% 2'$ .,/ -671 , - &$,$-2 3&'2$0 .% 01 (,.-2'(/ 3-#(2*(21 # .-$ .% 2'$ .,/ -671 , ).0 1' 0$'.+#$01 -# 2'$ .+#$0 1(12$0 .% 0 ' 04 -(- 3-#(2*(21 # #(0$"2.0 5'. ' 1 2'$ 32'.0(26 2. 1(&- .- !$' +% .% 2'$ .,/ -6 -# 2'$ .,/ -671 , ).0 1' 0$'.+#$0

30#$- .% +. - &3 0 -2$$

1' 0$'.+#(-& (- 2'$ .,/ -6 1 .% $"$,!$0 $,!$0 .% 2'$ . 0# .% (0$"2.01 5'. ' 1 2'$ 32'.0(26 2. 1(&- .- !$' +% .% 2'$ .,/ -6

30#$- .% +. - &3 0 -2$$

8 3 0 -2$$ +. -1 2 *$- !6 2'$ .,/ -6 -# (21 13!1(#( 0($1

8 3 0 -2$$ +. -1 2 *$- !6 2'$ .,/ -671 13!1(#( 0($1

,.3-2 '.31 -# '2

$"$11(26 -# $ 1.-

.,,$-2 .% 3#(2(-& .,,(22$$

'$ .,/ -6 -# (21 13!1(#( 0($1 1(&-$# +. - &0$$,$-21 5(2' #.,$12(" %(- -"( + (-12(232(.-1 (- .0#$0 2. % "(+(2 2$ 2'$(0 ./$0 2(.-1 5(2' 0 ' 04 -(- 3-#(2*(21 # "2(-& 1 2'$ +. - &3 0 -2.0 %.0 2.2 + ,.3-2 .% ! '2 (- -# ! '2 (-

'(1 (1 ".-1(#$0$# 1 2'$ %(- -"( + 13//.02 2. 2'$ .,/ -6 5'("' (1 #4 -2 &$.31 2. 2'$ .,/ -671 !31(-$11 ./$0 2(.-1

'$ .,/ -6 -# (21 13!1(#( 0($1 1(&-$# +. - &0$$,$-21 5(2' #.,$12(" %(- -"( + (-12(232(.-1 (- .0#$0 2. % "(+(2 2$ 2'$(0 ./$0 2(.-1 5(2' 1 ,0 /' 0- 3-#(2*(21 # "2(-& 1 2'$ +. - &3 0 -2.0 %.0 2.2 + ,.3-2 .% ! '2 (- -# ! '2 (-

'(1 (1 ".-1(#$0$# 1 2'$ %(- -"( + 13//.02 2. 2'$ .,/ -6 5'("' (1 #4 -2 &$.31 2. 2'$ .,/ -671 !31(-$11 ./$0 2(.-1

'$ .,/ -671 13!1(#( 0($1 1(&-$# +. - &0$$,$-21 5(2' #.,$12(" %(- -"( + (-12(232(.-1 (- .0#$0 2. % "(+(2 2$ 2'$(0 ./$0 2(.-1 5(2' 1 0 5 - .0 -() "2(-& 1 2'$ +. - &3 0 -2.0 %.0 2.2 + ,.3-2 .%

! '2 (- -#

! '2 (-

'(1 (1 ".-1(#$0$# 1 2'$ %(- -"( + 13//.02 2. 2'$ .,/ -671 13!1(#( 0($1 5'("' (1 #4 -2 &$.31 2. 2'$(0 !31(-$11 ./$0 2(.-1

(1" + 6$ 0 $-#$# (1" + 6$ 0 $-#$# $"$,!$0 $"$,!$0

/ 2016

Related Transactions

$01.- +$& + $-2(27 5'. , 7 ' 4$ ".-%+("2 .% (-2$0$12

0 (2"' ( (,(2/ -7

01 "' 0 (,(2/ -7

01 (,.-2'(/ 3-#(2*(21 #

$2 (+1 .% $+ 2(.-1'(/

/$"(%(" 2(.-1 .% 0$+ 2$# 20 -1 "2(.-1

1' 0$'.+#(-& (- 2'$ .,/ -7 1 .% $"$,!$0 '$ (,(2/ -7 ,(+7 ' 1 1' 0$'.+#(-& (- 2'$ .,/ -7 $,!$0 .% 2'$ . 0# .% (0$"2.01 5'. ' 1 2'$ 32'.0(27 2. 1(&- .- !$' +% .% 2'$ .,/ -7 -# ,$,!$0 .% 2'$ .,/ -781 , - &$,$-2 /.31$ .% 01 "' 0 (,(2/ -7 ,$,!$0 .% 2'$ . 0# .% (0$"2.01 5'. ' 1 2'$ 32'.0(27 2. 1(&- .- !$' +% .% 2'$ .,/ -7 -# ,$,!$0 .% 2'$ .,/ -781 $6$"32(4$ #(0$"2.01

30#$- .% +. - &3 0 -2$$

1' 0$'.+#(-& (- 2'$ .,/ -7 1 .% $"$,!$0 '$ (,(2/ -7 ,(+7 ' 1 1' 0$'.+#(-& (- 2'$ .,/ -7 $,!$0 .% 2'$ . 0# .% (0$"2.01 5'. ' 1 2'$ 32'.0(27 2. 1(&- .- !$' +% .% 2'$ .,/ -7 -# ,$,!$0 .% 2'$ .,/ -781 $6$"32(4$ #(0$"2.01 /.31$ .% 0 (2"' ( (,(2/ -7 ,$,!$0 .% 2'$ . 0# .% (0$"2.01 5'. ' 1 2'$ 32'.0(27 2. 1(&- .- !$' +% .% 2'$ .,/ -7 -# ,$,!$0 .% 2'$ .,/ -781 , - &$,$-2

30#$- .% +. - &3 0 -2$$

1' 0$'.+#(-& (- 2'$ .,/ -7 1 .% $"$,!$0 '$ 3-#(2*(21 # ,(+7 ' 1 1' 0$'.+#(-& (- 2'$ .,/ -7 -$ .% 2'$ .,/ -781 , ).0 1' 0$'.+#$01 .2'$0 .% 0 ' 04 -(- 3-#(2*(21 # -# 1 ,0 /' 0- 3-#(2*(21 # ,$,!$01 .% 2'$ . 0# .% (0$"2.01 5'. ' 1 2'$ 32'.0(27 2. 1(&- .- !$' +% .% 2'$ .,/ -7 -# ,$,!$01 .% 2'$ .,/ -781 , - &$,$-2

30#$- .% +. - &3 0 -2$$

9 3 0 -2$$ +. -1 2 *$ !7 2'$ .,/ -781 13!1(#( 0($1

9 3 0 -2$$ +. -1 2 *$- !7 2'$ .,/ -7 -# (21 13!1(#( 0($1

,.3-2 '.31 -# '2

$"$11(27 -# $ 1.-

.,,$-2 .% 3#(2(-& .,,(22$$

'$ .,/ -7 -# (21 13!1(#( 0($1 1(&-$# +. - &0$$,$-21 5(2' #.,$12(" %(- -"( + (-12(232(.-1 (- .0#$0 2. % "(+(2 2$ 2'$(0 ./$0 2(.-1 5(2' 0 (2"' ( (,(2/ -7 "2(-& 1 2'$ +. - &3 0 -2.0 %.0 2.2 + ,.3-2 .% ! '2 (-

-# ! '2 (-

'(1 (1 ".-1(#$0$# 1 2'$ %(- -"( + 13//.02 2. 2'$ .,/ -7 5'("' (1 #4 -2 &$.31 2. (21 !31(-$11 ./$0 2(.-1

'$ .,/ -7 -# (21 13!1(#( 0($1 1(&-$# +. - &0$$,$-21 5(2' #.,$12(" %(- -"( + (-12(232(.-1 (- .0#$0 2. % "(+(2 2$ 2'$(0 ./$0 2(.-1 5(2' 01 "' 0 (,(2/ -7 "2(-& 1 2'$ +. - &3 0 -2.0 %.0 2.2 + ,.3-2 .% ! '2 (-

-# ! '2 (-

'(1 (1 ".-1(#$0$# 1 2'$ %(- -"( + 13//.02 2. 2'$ .,/ -7 5'("' (1 #4 -2 &$.31 2. (21 !31(-$11 ./$0 2(.-1

'$ .,/ -7 -# (21 13!1(#( 0($1 1(&-$# +. - &0$$,$-21 5(2' #.,$12(" %(- -"( + (-12(232(.-1 (- .0#$0 2. % "(+(2 2$ 2'$(0 ./$0 2(.-1 5(2' 01 (,.-2'(/ 3-#(2*(21 # "2(-& 1 2'$ +. - &3 0 -2.0 %.0 2.2 + ,.3-2 .% ! '2 (- -# ! '2 (-

'(1 (1 ".-1(#$0$# 1 2'$ %(- -"( + 13//.02 2. 2'$ .,/ -7 5'("' (1 #4 -2 &$.31 2. (21 !31(-$11 ./$0 2(.-1

(1" + 7$ 0 $-#$# (1" + 7$ 0 $-#$# $"$,!$0 $"$,!$0

/ 2016

Related Transactions

'3410 .')#. '05+5: 8*1 /#: *#7' # %10(.+%5 1( +05'3'45

4 !#18#0'' 2+8#012#5

4 '023#2# 6#//+53''

*1%-4#/65 #3+0' 1 5&

'5#+.4 1( '.#5+104*+2

!2'%+(+%#5+104 1( 3'.#5'& 53#04#%5+104

4*#3'*1.&+0) +0 5*' 1/2#0: #4 1(

'%'/$'3 "*' 60&+5-+54#&# #/+.: *#4 4*#3'*1.&+0) +0 5*' 1/2#0: !2164' 1( 3 *#37#0+0 60&+5-+54#&# 8*1 +4 # &+3'%513 8+5* 5*' #65*13+5: 51 4+)0 10 $'*#.( 1( 5*' 1/2#0: /'/$'3 1( 5*' 1/2#0:<4 /#0#)'/'05 #0& 10' 1( 5*' 1/2#0:<4 /#,13 4*#3'*1.&'34 3'7+164.: #221+05'& #4 # /'/$'3 1( 5*' 1#3& 1( +3'%5134 1( " 8*+%* +4 5*' 1/2#0:<4 46$4+&+#3:

63&'0 1( .1#0 )6#3#05''

4*#3'*1.&+0) +0 5*' 1/2#0: #4 1(

'%'/$'3 3'7+164.: #221+05'& #4 # /'/$'3 1( 5*' 1#3& 1( +3'%5134 1( " 8*+%* +4 5*' 1/2#0:<4 46$4+&+#3:

63&'0 1( .1#0 )6#3#05''

!*#3'4 1( *1%-4#/65 #3+0' 1 5& #3' *'.& $: 2'34104 8*1 /#: *#7' # %10(.+%5 1( +05'3'45 8+5* 5*' 1/2#0: #4 (1..184 3 +5%*#+ +/+52#0:# 4*#3'*1.&+0) 34 %*#3# +/+52#0:# 4*#3'*1.&+0)

"3#04#%5+104 8+5* !

3 +5%*#+ +/+52#0:# #0& 34 %*#3# +/+52#0:# #3' /'/$'3 1( 5*' 1#3& 1( +3'%5134 8*1 *#7' 5*' #65*13+5: 51 4+)0 10 $'*#.( 1( *1%-4#/65 #3+0' 1 5& 3 +5%*#+ +/+52#0:# 4*#3'*1.&+0) +0 5*' %1/2#0: #4 1(

'%'/$'3 '/$'3 1( 5*' $1#3& 1( &+3'%5134 8*1 *#7' 5*' #65*13+5: 51 4+)0 10 $'*#.( 1( 5*' %1/2#0: #0& /'/$'3 1( 5*' %1/2#0:<4 /#0#)'/'05 !2164' 1( 34 %*#3# +/+52#0:# 8*1 +4 # /'/$'3 1( 5*' $1#3& 1( &+3'%5134 8*1 *#7' 5*' #65*13+5: 51 4+)0 10 $'*#.( 1( 5*' %1/2#0: #0& '9'%65+7' &+3'%513 34 %*#3# +/+52#0:# 4*#3'*1.&+0) +0 5*' %1/2#0: #4 1(

'%'/$'3 '/$'3 1( 5*' $1#3& 1( &+3'%5134 8*1 *#7' 5*' #65*13+5: 51 4+)0 10 $'*#.( 1( 5*' %1/2#0: #0& 5*' %1/2#0:<4 '9'%65+7' &+3'%513 !2164' 1( 3 +5%*#+ +/+52#0:# 8*1 +4 # /'/$'3 1( 5*' $1#3& 1( &+3'%5134 8*1 *#7' 5*' #65*13+5: 51 4+)0 10 $'*#.( 1( 5*' %1/2#0: #0& /'/$'3 1( 5*' %1/2#0:<4 /#0#)'/'05

= 6#3#05'' .1#04 5#-'0 $: 5*' 1/2#0:<4 46$4+&+#3+'4

= '7'06'4 (31/ 8#3'*164+0) 4'37+%' = "3#&' &'$5134 8*1 *#7' 51 2#: (13 8#3'*164+0) 4'37+%' !'37+%' (''4 "3#&' 2#:#$.'

"3#04#%5+104 8+5* = '7'06'4 (31/ 53#042135#5+10 4'37+%'4 = "3#&' &'$5134 8*1 *#7' 51 2#: (13 53#042135#5+10 4'37+%'4

"3#04#%5+104 8+5* = 6&+5 '92'04' = '$513 (13 #6&+5 (''

/1605 "*164#0& #*5

'%'44+5: #0& '#410

1//'05 1( 6&+5+0) 1//+55''

"*' 1/2#0:<4 46$4+&+#3+'4 4+)0'& .1#0 #)3''/'054 8+5* &1/'45+% (+0#0%+#. +045+565+104 +0 13&'3 51 (#%+.+5#5' 5*'+3 12'3#5+104 8+5* 4 !#18#0'' 2+8#012#5 #%5+0) #4 5*' .1#0 )6#3#0513 (13 # 515#. #/1605 1( $#*5 +0 #0& $#*5 +0

"*+4 +4 %104+&'3'& #4 5*' (+0#0%+#. 4622135 51 5*' 1/2#0:<4 46$4+&+#3+'4 8*+%* +4 #&7#05#)'164 51 5*'+3 $64+0'44 12'3#5+104

"*' 1/2#0:<4 46$4+&+#3: 4+)0'& .1#0 #)3''/'054 8+5* &1/'45+% (+0#0%+#. +045+565+104 +0 13&'3 51 (#%+.+5#5' +54 12'3#5+104 8+5* 4 '023#2# 6#//+53'' #%5+0) #4 5*' .1#0 )6#3#0513 (13 # 515#. #/1605 1( $#*5 +0 #0& $#*5 +0

"*+4 +4 %104+&'3'& #4 5*' (+0#0%+#. 4622135 51 5*' 1/2#0:<4 46$4+&+#3: 8*+%* +4 #&7#05#)'164 51 +54 $64+0'44 12'3#5+104

+4%#. :'#3 '0&'& +4%#. :'#3 '0&'&

'%'/$'3

! 1(('34 5'/2'3#563' %10531..'& 8#3'*164+0) 4'37+%' #0& 2317+&'4 (3'';+0) (#%+.+5: 51 *1%-4#/65 #3+0' 1 5& 3'';+0) 4'37+%' (''4 #3' %1/2#3#$.' 51 5*14' 1(('3'& 51 15*'3 %6451/'34 +0 3'('3'0%' 51 5*' /#3-'5 23+%' *1%-4#/65 #3+0' 1/2#0: +/+5'& (+0+4*'& 5*' 311( %*#0)' #5 "'3/+0#. #0& "'3/+0#. 1( ! +0

"*' %1/2#0:<4 3165+0' 53#04#%5+104 10&+5+104 #0& 23+%+0) $'58''0 $15* 2#35+'4 #3' 3'#410#$.' 8+5* 23+%+0) $'+0) +0 3'('3'0%' 51 5*' /#3-'5 23+%'

2317+&'4 53#042135#5+10 4'37+%'4 51 *1%-4#/65 #3+0' 1 5& "3#042135#5+10 4'37+%' (''4 #3' %1/2#3#$.' 51 5*14' 1(('3'& 51 15*'3 %6451/'34 +0 3'('3'0%' 51 5*' /#3-'5 23+%'

"*' %1/2#0:<4 3165+0' 53#04#%5+104 10&+5+104 #0& 23+%+0) $'58''0 $15* 2#35+'4 #3' 3'#410#$.' 8+5* 23+%+0) $'+0) +0 3'('3'0%' 51 5*' /#3-'5 23+%'

*1%-4#/65 #3+0' 1/2#0: +/+5'& 2#+& 51 (13 /+%3113)#0+4/ 5'454 10 %*''4' 231&6%54 #$13#513: 5'45 (''4 #3' 4+/+.#3 51 5*14' 2#+& 51 15*'3 %1/2#0+'4 +0 3'('3'0%' 51 5*' /#3-'5 23+%'

"*' %1/2#0:<4 3165+0' 53#04#%5+104 10&+5+104 #0& 23+%+0) $'58''0 $15* 2#35+'4 #3' 3'#410#$.' 8+5* 23+%+0) $'+0) +0 3'('3'0%' 51 5*' /#3-'5 23+%'

/ 2016

Related Transactions

(4521 /(*$/ (16,6; 9+2 0$; +$8( $ &21)/,&6 2) ,16(4(56

"73(4 29(4 2 6'

,//,21 2 6'

(6$,/5 2) !(/$6,215+,3

"3(&,),&$6,215 2) 4(/$6(' 64$15$&6,215

"+$4(5 2) "73(4 29(4 2 6' $4( +(/' $5 0$-24 5+$4(+2/'(45 %; 3(45215 9+2 0$; +$8( $ &21)/,&6 2) ,16(4(56 9,6+ 6+( 203$1; 45 ,0216+,3 71',6.,65$'$ +$5

5+$4(+2/',1* ,1 "73(4 29(4 2 6' 45 ,0216+,3 71',6.,65$'$ 5+$4(+2/',1* ,1 6+( 203$1; $5 2) (&(0%(4

#+( 71',6.,65$'$ $0,/; +$5 5+$4(+2/',1* ,1 6+( 203$1; 26+(4 2) 4 +$48$1,1 71',6.,65$'$ $1' 5 04$3+$41 71',6.,65$'$ 0(0%(45 2) 6+( 2$4' 2) ,4(&6245 9+2 +$5 6+( $76+24,6; 62 5,*1 21 %(+$/) 2) 6+( 203$1; $1' 0(0%(45 2) 6+( 203$1;<5 0$1$*(0(16

#4$15$&6,215 9,6+ #

,//,21 2 6' ,5 $ 57%5,',$4; 2) $ /(*$/ (16,6; 6+$6 0$; +$8( $ &21)/,&6 2) ,16(4(56 9,6+ 6+( 203$1; "73(4 29(4 2 6' +2/'5 5+$4( ,1 ,//,21 2 6' 45 ,0216+,3 71',6.,65$'$ +2/'5

5+$4( ,1 "73(4 29(4 2 6' 45 ,0216+,3 71',6.,65$'$ 5+$4(+2/',1* ,1 6+( 203$1; $5 2) (&(0%(4

#4$15$&6,215 9,6+ #

= :3(15(5 ,1&744(' %; 53$&( 4(16$/ = #4$'( 3$;$%/( = 6+(4 121 &744(16 $55(65 '(325,6 3$,'

02716 #+275$1' $+6

(&(55,6; $1' !($521

,5&$/ ;($4 (1'(' ,5&$/ ;($4 (1'(' (&(0%(4

(&(0%(4

"73(4 29(4 2 6' 2))(45 $ 4(16(' 53$&( 62 # %(&$75( # +$5 126 (127*+ 53$&( 62 5(48( ,65 &75620(45 "3$&( 4(16$/5 $4( &203$4$%/( 62 6+25( 3$,' 62 26+(4 6(1$165 ,1 4()(4(1&( 62 6+( 0$4.(6 34,&(

,//,21 2 6' 2))(45 $ 4(16(' 53$&( 62 # (1$%/,1* # 62 %(66(4 5(48( ,65 1(9 &75620(45 ,1 6+( )7674( "3$&( 4(16$/5 $4( &203$4$%/( 62 6+25( 3$,' 62 26+(4 6(1$165 ,1 4()(4(1&( 62 6+( 0$4.(6 34,&(

200(16 2) 7',6,1* 200,66((

#+( &203$1;<5 3423(46; 4(16$/ ,5 126 /21*(4 6+$1 ;($45 4,&,1* %(69((1 %26+ 3$46,(5 ,5 4($521$%/( 9,6+ 34,&,1* %(,1* ,1 4()(4(1&( 62 6+( 0$4.(6 34,&(

#+( 203$1; 5 4(16 $1' /($5( 2) 3423(46,(5 )24 $ 3(4,2' 126 /21*(4 6+$1 ;($45 4,&,1* %(69((1 4(/$6(' (16,6,(5 ,5 4($521$%/( $1' &215,56(16 9,6+ 6+( 0$4.(6 34,&(

/ 2016

Related Transactions

*5632 0*,&0 *27.7; :-3 1&; -&9* & (32+0.(7 3+ .27*5*67

2 3.27 $.6.32 3 7)

*7&.06 3+ !*0&7.326-.4

"4*(.+.(&7.326 3+ 5*0&7*) 75&26&(7.326

"-&5*6 3+ 2 3.27 $.6.32 314&2; .1.7*) &5* -*0) '; 4*56326 :-3 1&; -&9* & (32+0.(7 3+ .27*5*67 :.7- 7-* 314&2; #-*; &5* &6 +3003:6 5 .7(-&. .1.74&2;& -30)6 3+ 7-* 314&2;<6 6-&5*6 56 (-&5& .1.74&2;& -30)6

3+ 7-* 314&2;<6 6-&5*6

#5&26&(7.326 :.7- % &2&,*1*27 (3676 7-*5 )*'7356

#5&26&(7.326 :.7- " &2&,*1*27 (3676 7-*5 )*'7356

13827 #-386&2) &-7

*(*66.7; &2) !*&632

.6(&0 ;*&5 *2)*) .6(&0 ;*&5 *2)*) *(*1'*5

*(*1'*5

311*27 3+ 8).7.2, 311.77**

2 3.27 $.6.32 314&2; .1.7*) .143576 6:*&7*56 +531 &'53&) &2) 5*6*006 73 % 5.(*6 3+ 7-* 6:*&7*56 &5* 6.1.0&5 73 7-36* 3++*5*) 73 37-*5 (86731*56 .2 7-* 5*+*5*2(* 73 7-* 1&5/*7 45.(*

#-.6 .6 7-* 314&2;<6 5*,80&5 '86.2*66 75&26&(7.32 #5&)* (32).7.326 &2) 45.(.2, '*7:**2 5*0&7*) *27.7.*6 .6 5*&632&'0* &2) (326.67*27 :.7- 7-* 1&5/*7 45.(*

2 3.27 $.6.32 314&2; .1.7*) .143576 6:*&7*56 +531 &'53&) &2) 5*6*006 73 " 5.(*6 3+ 7-* 6:*&7*56 &5* 6.1.0&5 73 7-36* 3++*5*) 73 37-*5 (86731*56 .2 7-* 5*+*5*2(* 73 7-* 1&5/*7 45.(*

#-.6 .6 7-* 314&2;<6 5*,80&5 '86.2*66 75&26&(7.32 #5&)* (32).7.326 &2) 45.(.2, '*7:**2 5*0&7*) *27.7.*6 .6 5*&632&'0* &2) (326.67*27 :.7- 7-* 1&5/*7 45.(*

2 3.27 $.6.32 314&2; .1.7*) .143576 6:*&7*56 +531 &'53&) &2) 5*6*006 73 " 5.(*6 3+ 7-* 6:*&7*56 &5* 6.1.0&5 73 7-36* 3++*5*) 73 37-*5 (86731*56 .2 7-* 5*+*5*2(* 73 7-* 1&5/*7 45.(*

#-.6 .6 7-* 314&2;<6 5*,80&5 '86.2*66 75&26&(7.32 #5&)* (32).7.326 &2) 45.(.2, '*7:**2 5*0&7*) *27.7.*6 .6 5*&632&'0* &2) (326.67*27 :.7- 7-* 1&5/*7 45.(*

)).7.326 +35

/ 2016

Financial Position and Operating Performance

/ 2016

Report of The Board of Directorsâ&#x20AC;&#x2122; Accountabilities to Financial Report 5IF #PBSE PG %JSFDUPST JT SFTQPOTJCMF GPS UIF Å³OBODJBM TUBUFNFOUT PG +8% *OGP-PHJTUJDT 1VCMJD $PNQBOZ -JNJUFE BOE JUT TVCTJEJBSJFT 5IF BGPSFNFOUJPOFE Å³OBODJBM TUBUFNFOUT BSF QSFQBSFE JO BDDPSEBODF XJUI HFOFSBMMZ BDDFQUFE BDDPVOUJOH QSJODJQMFT 5IF Å³OBODJBM TUBUFNFOUT BSF QSFQBSFE VOEFS BQQSPQSJBUFE BDDPVOUJOH QPMJDJFT BOE BQQMJFE DPOTJTUFOUMZ CZ VTJOH DBSFGVM KVEHNFOU BOE UIF SFBTPOBCMF FTUJNBUJPO 4JHOJÅ³DBOU JOGPSNBUJPO JT BEFRVBUFMZ EJTDMPTFE JO UIF OPUFT UP Å³OBODJBM TUBUFNFOUT 5IF #PBSE PG %JSFDUPST QSPWJEFT HPPE DPSQPSBUF HPWFSOBODF BOE NBJOUBJOT UIF SJTL NBOBHFNFOU TZTUFN BOE JOUFSOBM DPOUSPMT UP FOTVSF UIBU BDDPVOUJOH SFDPSET BSF BDDVSBUF SFMJBCMF UJNFMZ BOE BEFRVBUF UP SFUBJO UIF DPNQBOZÄ´T BTTFUT BT XFMM BT UP QSFWFOU GSBVE BOE TJHOJÅ³DBOU JSSFHVMBS PQFSBUJPOT 5IF #PBSE IBT BQQPJOUFE BO "VEJU $PNNJUUFF DPOTJTUJOH PG JOEFQFOEFOU EJSFDUPST UP QSPWJEF FGGFDUJWF BOE FGÅ³DJFOU PWFSTJHIU PG UIF Å³OBODJBM TUBUFNFOUT JOUFSOBM DPOUSPM TZTUFN BOE JOUFSOBM BVEJU 5IF "VEJU $PNNJUUFFÄ´T WJFXT BSF SFQPSUFE JO JUT SFQPSU JO UIF $PNQBOZÄ´T BOOVBM SFQPSU 5IF #PBSE JT DPOÅ³EFOU UIBU UIF JOUFSOBM DPOUSPM TZTUFN BOE UIF JOUFSOBM BVEJU PG +8% *OGP-PHJTUJDT 1VCMJD $PNQBOZ -JNJUFE BOE JUT TVCTJEJBSJFT SFQSFTFOU UIF Å³OBODJBM QPTJUJPO SFTVMUT PG PQFSBUJPOT BOE DBTI Å´PXT UIBU HJWFT B USVF BOE GBJS WJFX JO BDDPSEBODF XJUI 5IBJ 'JOBODJBM 3FQPSUJOH 4UBOEBSET 5IF BVEJUPSTÄ´ PQJOJPO JT QSFTFOUFE JO UIF BVEJUPSTÄ´ SFQPSU BT QBSU PG UIJT BOOVBM SFQPSU

+%(,.+ & + / .+/')- . & .2 +'+ 1+"'0('0/ " /(084(5 6- :/, 6(8+ 6- 08,*:68 /(084(5 6- >,*;:0<, 6440::,,

/0,- >,*;:0<, --0*,8

Report of the Audit Committee for the year 2016 5IF "VEJU $PNNJUUFF PG +8% *OGP-PHJTUJDT 1VCMJD $PNQBOZ -JNJUFE DPNQSJTFT UISFF JOEFQFOEFOU EJSFDUPST XIJDI JODMVEF .S 7JDIBUF 5BOUJXBOJDI TFSWJOH BT $IBJSNBO .S .BOHLPSO %IBOBTBSOTJMQ BT NFNCFS PG UIF "VEJU $PNNJUUFF BOE %S &BLBQPOH 5VOHTSJTBOHVBO BT UIF TFDSFUBSZ PG UIF "VEJU DPNNJUUFF 5IF "VEJU $PNNJUUFF IBT LFZ SPMFT BOE SFTQPOTJCJMJUJFT BT TUJQVMBUFE JO UIF "VEJU $PNNJUUFF $IBSUFS XIJDI JOWPMWF SFWJFXT PG Å³OBODJBM TUBUFNFOUT HPPE DPSQPSBUF HPWFSOBODF SJTL NBOBHFNFOU JOUFSOBM DPOUSPM BOE JOUFSOBM BVEJU BOE JOTQFDUJPO PG DPSSVQUJPO *O UIF "VEJU $PNNJUUFF IFME NFFUJOHT JO XIJDI BMM NFNCFST PG UIF $PNNJUUFF DPNQMFUFMZ BUUFOEFE 5IF $PNNJUUFF EJTDVTTFE XJUI UIF UFBN JOUFSOBM BVEJUPS BOE BDDPVOUJOH BVEJUPS BCPVU TJHOJÅ³DBOU NBUUFST XIJDI BSF TVNNBSJ[FE BT GPMMPXT 3FWJFX PG Å³OBODJBM TUBUFNFOUT 5IF "VEJU $PNNJUUFF SFWJFXFE RVBSUFSMZ BOE BOOVBM Å³OBODJBM TUBUFNFOUT PG +8% *OGP-PHJTUJDT 1VCMJD $PNQBOZ -JNJUFE XIJDI IBT CFFO BVEJUFE BOE FYBNJOFE CZ UIF BDDPVOUJOH BVEJUPS 5IF BDDPVOUJOH BVEJUPS SFQPSUFE SFTVMUT PG UIF SFWJFX DPNNFOUFE PO UIF Å³OBODJBM TUBUFNFOUT VODPOEJUJPOBMMZ 5IF "VEJU $PNNJUUFF JOWJUFE NBOBHFNFOU FYFDVUJWFT BOE UIF BDDPVOUJOH BVEJUPS UP BUUFOE UIF NFFUJOH JO XIJDI UIF Å³OBODJBM TUBUFNFOUT XFSF DPOTJEFSFE 5IF SFWJFX XBT QFSGPSNFE XJUIJO UIF DPOUFYU PG TJHOJÅ³DBOU NBUUFST BOE UIF BEFRVBDZ PG QSPQFS JOGPSNBUJPO EJTDMPTVSF BOE UIFO SFQPSUFE UP UIF $PNQBOZÄ´T #PBSE PG %JSFDUPST GPS GVSUIFS BQQSPWBM PG UIF Å³OBODJBM TUBUFNFOUT "EEJUJPOBMMZ UIF "VEJU $PNNJUUFF IFME B NFFUJOH XJUI UIF BDDPVOUJOH BVEJUPS XJUIPVU UIF BUUFOEBODF PG NBOBHFNFOU FYFDVUJWFT UP EJTDVTT JOEFQFOEFOUMZ BCPVU UIF PWFSWJFX BOE HVJEFMJOF JO SFWJFXJOH UIF Å³OBODJBM TUBUFNFOUT 5IJT BTTVSFT UIF "VEJU $PNNJUUFF UIBU UIF TJHOJÅ³DBOU NBUUFST XJUIJO UIF Å³OBODJBM TUBUFNFOUT BSF QSPQFSMZ BDDVSBUF BOE JO DPNQMJBODF XJUI HFOFSBMMZ BDDFQUBCMF Å³OBODJBM SFQPSUJOH TUBOEBSET XJUI UIF BEFRVBDZ PG EJTDMPTFE JOGPSNBUJPO GPS UIF CFOFÅ³U PG TIBSFIPMEFST BOE JOWFTUPST &7*&8 0' (00% $03103"5& (07&3/"/$& 3FHBSEJOH UIF DPNQMJBODF UP BQQMJDBCMF MBXT BT XFMM BT SVMFT BOE SFHVMBUJPOT UIF "VEJU $PNNJUUFF SFWJFXFE UIF $PNQBOZÄ´T DPNQMJBODF UP DPSQPSBUF HPWFSOBODF BOE CVTJOFTT FUIJDT BMPOH XJUI SVMFT BOE SFHVMBUJPOT BOE BQQMJDBCMF MBXT *U XBT GPVOE UIBU UIF $PNQBOZÄ´T NFNCFST PG UIF #PBSE PG %JSFDUPST NBOBHFNFOU FYFDVUJWFT BOE TUBGG IBE JNQSFTTJWFMZ GVMÅ³MMFE UIF DPNQMJBODF 5IF #PBSE PG %JSFDUPST IBT JOTUJMMFE JOUP NBOBHFNFOU FYFDVUJWFT BOE TUBGG BU BMM MFWFMT BO JOUFOTF BXBSFOFTT PG FUIJDT BOE FUIJDBM DPOTJEFSBUJPOT JO BEEJUJPO UP DPNQMJBODF XJUI MBXT PO B SFHVMBS BOE SFDVSSJOH CBTJT 3FHBSEJOH SFMBUFE USBOTBDUJPOT BOE UIPTF UIBU NBZ IBWF B DPOÅ´JDU PG JOUFSFTU UIF #PBSE IBT BTTJHOFE BMM QFSTPOT JOWPMWFE UP SFQPSU UP UIF "VEJU $PNNJUUFF PO B SFHVMBS CBTJT BOE QFSGPSN BOE EJTDMPTF JO B XBZ UIBU JT JO DPNQMJBODF XJUI SFHVMBUJPOT TUJQVMBUFE CZ UIF 0GÅ³DF PG UIF 4FDVSJUJFT BOE &YDIBOHF $PNNJTTJPO 4&$ BOE UIF 4UPDL &YDIBOHF PG 5IBJMBOE 4&5 &7*&8 0' */5&3/"- $0/530- "/% */5&3/"- "6%*5 5IF "VEJU $PNNJUUFF SFWJFXFE UIF JOUFSOBM DPOUSPM TZTUFN CZ DPOTJEFSJOH UIF SFQPSU PG JOUFSOBM BVEJU SFTVMUT XIJDI XBT BVEJUFE CZ UIF JOUFSOBM BVEJUPST XIP EJTDVTTFE BOE DPNNFOUFE PO TJHOJÅ³DBOU NBUUFST BOE DPOTJEFSFE UIF BOOVBM JOUFSOBM BVEJU QMBO XJUI B GPDVT PO UIF TDPQF PG BVEJU DPWFSJOH UIF NPTU DSJUJDBM SJTLT JO FBDI QSPDFTT 5IF $PNNJUUFF BHSFFE UIBU UIF $PNQBOZÄ´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Å³U UP UIF $PNQBOZ 5IF $PNNJUUFF BHSFFE UIBU UIF NBOBHFNFOU QSPDFTTFE TVDI USBOTBDUJPOT XJUI USBOTQBSFODZ BOE FYFDVUFE UIFN JO BDDPSEBODF XJUI OPSNBM USBEF DPOEJUJPOT 5IFTF USBOTBDUJPOT IBWF BMTP QSPWFE UP CF SBUJPOBM 0/4*%&3"5*0/ 0' 5)& "110*/5.&/5 0' "$$06/5*/( "6%*503 "/% "6%*5 '&&4 '03 5)& :&"3 5IF "VEJU $PNNJUUFF JO DPPQFSBUJPO XJUI NBOBHFNFOU FYFDVUJWFT IBT BQQPJOUFE BDDPVOUJOH BVEJUPS BOE DPOTJEFSFE BVEJU GFFT GPS UIF BDDPVOUJOH ZFBS 2VBMJÅ³DBUJPOT GPS DPOTJEFSBUJPO GPS UIJT BQQPJOUNFOU BSF XPSL FYQFSJFODF LOPXMFEHF FYQFSUJTF JOEFQFOEFODF BOE PUIFST JODMVEJOH QSPQPTFE BVEJU GFFT XJUI DPNQBSJTPO UP UIBU PG UIF QSFWJPVT ZFBS BOE XPSLMPBE 5IF $PNNJUUFF IBT BHSFFE UIBU ,1.( 1IPPNDIBJ "VEJU -JNJUFE JT RVBMJÅ³FE GPS UIF $PNQBOZÄ´T BDDPVOUJOH BVEJUPS QPTJUJPO BOE SFWJFXFE RVBMJÅ³DBUJPOT PG UIF BVEJUPS UIBU BSF EFFNFE BDDVSBUF BOE DPNQMFUF 5IFSFGPSF UIF "VEJU $PNNJUUFF IBT TPVHIU UIF #PBSEÄ´T DPOTJEFSBUJPO BOE BQQSPWBM GSPN UIF .FFUJOH PG 4IBSFIPMEFST UP BQQPJOU UIF BDDPVOUJOH ZFBS 4IBSFIPMEFST UP BQQPJOU .ST 4BTJUIPSO 1POHBEJTBL SFHJTUFSFE BVEJUPS OP BOE PS .T 7BOOBQPSOO +POHQFSBEFDIBOPO SFHJTUFSFE BVEJUPS OP BOE PS .T .BSJTB 5IBSBUIPSOCVOQBLVM SFHJTUFSFE BVEJUPS OP PG ,1.( 1IPPNDIBJ "VEJU -JNJUFE BT UIF BDDPVOUJOH BVEJUPS 5IF BVEJU GFFT GPS UIF BDDPVOUJOH ZFBS XJMM CF CBIU 'PS PUIFS GFFT DBVTFE CZ OPO BVEJU TFSWJDFT 5IF $PNQBOZ XJMM QBZ PO BO BDUVBM DBTI WBMVF CBTJT 5IF "VEJU $PNNJUUFF IBT DPNQMFUFMZ GVMÅ³MMFE JUT SPMFT BOE SFTQPOTJCJMJUJFT BT BTTJHOFE *O EPJOH UIFTF UIF $PNNJUUFF DPNCJOFE LOPXMFEHF TLJMMT FYQFSJFODF QSVEFODF BOE JOEFQFOEFODF UP QSPWJEF DPNNFOUT BOE TVHHFTUJPOT 5IF $PNNJUUFF IBT BMTP SFDFJWFE LJOE DPPQFSBUJPO GSPN UIF #PBSE PG %JSFDUPST NBOBHFNFOU FYFDVUJWFT BOE BMM PUIFST JOWPMWFE JO UIFTF NBUUFST FOBCMJOH UIF $PNQBOZ UP BDIJFWF JUT HPBMT JO B RVBMJUBUJWF NBOOFS VOEFS HPPE DPSQPSBUF HPWFSOBODF BOE GPS UIF NBYJNVN CFOFÅ³U PG BMM TUBLFIPMEFST

8 &0*/(:, $(5:0=(50*/ /(084(5 6- :/, ;+0: 6440::,,

/ 2016

JWD InfoLogistics Public Company Limited Management Discussion and Analysis for the Year Ended 31 December 2016 "8'57+50<

&+'5

%2/7 $

" " "

#+27'0 /2)31+ '2* 5+9+28+ ,531 5+2*+5/2- 3, 6+59/)+6 5366 !53,/7 5366 '5-/2 '52/2-6 +,35+ 27+5+67 $'; '2* +45+)/'7/32 $ $ '5-/2 +7 453,/7 0366 '775/(87'(0+ 73 3:2+56 3, 7.+ 314'2< ;75' /7+16 $ (+,35+ +;75' /7+16 +7 453,/7 0366 '775/(87'(0+ 73 3:2+56 3, 7.+ 314'2< (+,35+ +;75' /7+16 +7 !53,/7 366 '5-/2

&3&

"3"

/FU 1SPÅ³U -PTT .BSHJO /FU QSPÅ³U MPTT BUUSJCVUBCMF UP PXOFST PG UIF $PNQBOZ 5PUBM SFWFOV

+8% *OGP-PHJTUJDT 1VCMJD $PNQBOZ -JNJUFE Ä¶UIF $PNQBOZÄ· SFQPSUFE OFU MPTT BUUSJCVUBCMF UP PXOFST PG UIF $PNQBOZ GPS UIF ZFBS FOEFE %FDFNCFS PG #BIU NJMMJPO EFDSFBTFE GSPN UIBU PG QSFWJPVT ZFBS XIJDI IBE OFU QSPÅ³U PG #BIU NJMMJPO %SPQQFE QFSGPS NBODF XBT NBJOMZ SFTVMUFE GSPN GPMMPXJOH SFBTPOT 1BZNFOU GPS BEEJUJPOBM CFOFÅ³U TIBSJOH DIBSHFE CZ UIF 1PSU "VUIPSJUZ PG 5IBJMBOE PG #BIU NJMMJPO XIJDI JT SFDPH OJTFE BT QSPWJTJPO JO 2

5IF SFDPHOJUJPO PG QSPWJTJPO GSPN UIF MFHBM BDUJPO DMBJNJOH GPS EBNBHFT DBVTFE CZ UIF Å³SF JODJEFOU 5IF MPXFS HSPTT QSPÅ³U XIJDI XBT EVF UP UIF DMPTVSF PG UXP HFOFSBM XBSFIPVTFT GPS SFOPWBUJPO BOE UIF EFDSFBTF JO TFBGPPE QSPEVDUT BGGFDUFE CZ *66 'JTIJOH QSPCMFN

/FU QSPÅ³U BUUSJCVUBCMF UP PXOFST PG UIF $PNQBOZ GPS 2 XBT #BIU NJMMJPO EFDSFBTFE GSPN 2 CZ #BIU NJMMJPO PS CFDBVTF PG MPXFS HSPTT NBSHJO PG HFOFSBM HPPET XBSFIPVTF BOE DPME TUPSBHF )PXFWFS 2 QFSGPSNBODF JNQSPWFE GSPN 2 /FU QSPÅ³U BUUSJCVUBCMF UP PXOFST PG UIF $PNQBOZ CFGPSF FYUSB JUFNT JODSFBTFE CZ #BIU NJMMJPO PS

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Å³U 5IF $PNQBOZ IBE HSPTT QSPÅ³U GPS 2 PG #BIU NJMMJPO ESPQQFE GSPN 2 CZ #BIU NJMMJPO PS EVF UP DPOTUBOU Å³YFE DPTU XIJMF SFWFOVF EFDSFBTFE F H EFQSFDJBUJPO BOE SFOUBM FYQFOTF (SPTT QSPÅ³U NBSHJO XBT EFDMJOFE GSPN 2 XIJDI XBT 'PS ZFBS FOEFE %FDFNCFS UIF $PNQBOZ IBE HSPTT QSPÅ³U PG #BIU NJMMJPO EFDSFBTFE GSPN MBTU ZFBS CZ #BIU NJMMJPO PS (SPTT NBSHJO XBT MPXFS GSPN XIJDI XBT

)PXFWFS DPNQBSJOH UP 2 HSPTT QSPÅ³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Å³SN XJUI 4JBN .PUPST (SPVQ UP QSPWJEF JOUFHSBUFE BVUPNPUJWF QBSUT MPHJTUJDT TFSWJDFT ! ! XBSFIPVTFT QBSUT XBSFIPVTF NBOBHFNFOU QBDLJOH GPS EFMJWFSZ UP BVUPNBLFSTÄ´ QMBOUT UP 4JBN .PUPST (SPVQ

Financial Performance Analysis 3FWFOVF BOE HSPTT QSPÅ³U NBSHJO CZ CVTJOFTT DBO CF TVNNBSJTFE BT GPMMPXT 1 .0$.)3 $2$+1$ .$',1/$ +# .#

,% ,0 ) $2$+1$

$ .

,% ,0 ) $2$+1$

+ &$*$+0 . +/-,.0 0(,+ +# (/0.(!10(,+ ,2(+& $.2("$ $",.# +# +%,.* 0(,+ + &$*$+0 0'$. $.2("$/ ,0 )

1 .0$.)3

$ .

.,// .,%(0 .&(+ .$',1/$ +# .#

+ &$*$+0 . +/-,.0 0(,+ +# (/0.(!10(,+ ,2(+& $.2("$ $",.# +# +%,.* 0(,+ + &$*$+0 0'$. $.2("$/ ,0 )

/ 2016

Financial Performance Analysis "3&)064& "/% !"3% "/"(&.&/5 , )+!)%. !-!',! !'!) % (( * '#!)(,* (( * ,+(&(+$-! (% +() #! (+ %

(" (+ % !-!',!

! )

(" (+ % !-!',!

, )+!)%.

! )

)(** )("$+ )#$' !'!) % (( * '#!)(,* (( * ,+(&(+$-! (% +() #! (+ %

&/&3"- 00%4 3FWFOVF PG HFOFSBM HPPET XBSFIPVTF NBOBHFNFOU TFSWJDF GPS 2 XBT #BIU NJMMJPO DPOTJTUFE PG SFWFOVFT GSPN TUPSBHF #BIU NJMMJPO IBOEMJOH TFSWJDF #BIU NJMMJPO DVTUPN DMFBSBODF TFSWJDF #BIU NJMMJPO BOE PUIFS WBMVF BEEFE TFSWJDFT #BIU NJMMJPO 5PUBM SFWFOVF EFDMJOFE GSPN 2 CZ #BIU NJMMJPO PS BOE EFDSFBTFE CZ #BIU NJMMJPO PS DPNQBSJOH UP 2 -PXFS SFWFOVF XBT SFTVMUFE GSPN MPX PDDVQBO $ " ! 'PS UIF ZFBS FOEFE %FDFNCFS SFWFOVF GSPN HFOFSBM XBSFIPVTF XBT #BIU NJMMJPO DPOTJTUFE PG SFWFOVFT GSPN TUPSBHF #BIU NJMMJPO IBOEMJOH TFSWJDF #BIU NJMMJPO DVTUPN DMFBSBODF TFSWJDF #BIU NJMMJPO BOE PUIFS WBMVF BEEFE TFSWJDFT #BIU NJMMJPO 5PUBM SFWFOVF EFDSFBTFE GSPN UIBU PG QSFWJPVT ZFBS CZ #BIU NJMMJPO PS EVF UP UIF DMPTVSF PG UXP XBSFIPVTF JO UIF Å³STU IBMG PG UIF ZFBS #FDBVTF PG ESPQQFE SFWFOVF BOE VOBWPJEBCMF Å³YFE DPTUT F H SFOUBM FYQFOTF BOE EFQSFDJBUJPO HSPTT QSPÅ³U GPS 2 XBT #BIU NJMMJPO BOE HSPTT QSPÅ³U NBSHJO XBT EFDSFBTFE GSPN 2 XIJDI XBT CVU JNQSPWFE GSPN 2 XIJDI XBT

'PS UIF ZFBS FOEFE %FDFNCFS HSPTT QSPÅ³U XBT #BIU NJMMJPO BOE HSPTT QSPÅ³U NBSHJO XBT MPXFS GSPN MBTU ZFBS XIJDI XBT "/(&3064 00%4 3FWFOVF PG EBOHFSPVT HPPET XBSFIPVTF NBOBHFNFOU TFSWJDF GPS 2 XBT #BIU NJMMJPO DPOTJTUFE PG SFWFOVF GSPN ZBSE NBOBHFNFOU PG #BIU NJMMJPO BOE GSPN XBSFIPVTF NBOBHFNFOU PG #BIU NJMMJPO 5PUBM SFWFOVF SPTF GSPN 2 CZ #BIU NJMMJPO PS BOE JODSFBTFE GSPN 2 CZ #BIU NJMMJPO PS CFDBVTF PG B MBSHF OVNCFS PG EBOHFSPVT HPPET UISPVHIQVUT JO %FDFNCFS 'PS UIF ZFBS FOEFE %FDFNCFS SFWFOVF GSPN UIF CVTJOFTT XBT #BIU NJMMJPO JODMVEJOH SFWFOVF GSPN ZBSE NBOBHFNFOU PG #BIU NJMMJPO BOE GSPN XBSF IPVTF NBOBHFNFOU PG #BIU NJMMJPO 5PUBM SFWFOVF ESPQQFE GSPN QSFWJPVT ZFBS CZ #BIU NJMMJPO PS TJODF MPXFS TUPSBHF SFWFOVF SFTVMUFE GSPN TIPSUFS UJNF PG

Quarterly

Year

Gross Profit Margin (%) Q4/2015 Yard (TEU*) 153,157 Warehouse (Revenue Ton)

37,892 3,567

Q3/2016

Q4/2016

2015

2016

40,379 5,324

42,139 5,930

153,157 15,600

157,272 19,371

5&6 5XFOUZ &RVJWBMFOU 6OJU JT GPPU FRVJWBMFOU DPOUBJOFST

(SPTT QSPÅ³U GPS 2 XBT #BIU NJMMJPO BOE HSPTT QSPÅ³U NBSHJO XBT JNQSPWFE GSPN UIBU PG 2 BOE 2 XIJDI XFSF BOE SFTQFDUJWFMZ EVF UP CFUUFS DPTU NBOBHFNFOU BOE MPXFS EFQSFDJBUJPO FYQFOTFT 'PS UIF ZFBS FOEFE %FDFNCFS HSPTT QSPÅ³U XBT #BIU NJMMJPO BOE HSPTT QSPÅ³U NBSHJO XBT MPXFS UIBO MBTU ZFBS XIJDI XBT EVF UP BEEJUJPOBM SFWFOVF TIBSJOH XIJDI XBT DIBSHFE CZ UIF 1PSU "VUIPSJUZ PG 5IBJMBOE Ä¶1"5Ä· 650.05*7& 3FWFOVF GSPN BVUPNPUJWF ZBSE NBOBHFNFOU GPS 2 XBT #BIU NJMMJPO DPOTJTUT PG SFWFOVF GSPN TUPSBHF PG #BIU NJMMJPO BOE SFWFOVF GSPN TFSWJDF SFOEFSJOH PG #BIU NJMMJPO 5PUBM SFWFOVF JODSFBTFE GSPN 2 CZ #BIU NJMMJPO PS BOE IJHIFS GSPN 2 CZ #BIU NJMMJPO PS SFTVMUFE GSPN PO TJUF TFSWJDF FYQBOTJPO BOE BEEJUJPOBM DVTUPNFS XIJDI BSF BVUPNPUJWF NBLFST 'PS UIF ZFBS FOEFE %FDFNCFS SFWFOVF GSPN UIF CVTJOFTT XBT #BIU NJMMJPO JODMVEJOH SFWFOVF GSPN TUPSBHF PG #BIU NJMMJPO BOE SFWFOVF GSPN TFSWJDF SFOEFSJOH PG #BIU NJMMJPO 5PUBM SFWFOVF SPTF CZ #BIU NJMMJPO PS (SPTT QSPÅ³U GSPN BVUPNPUJWF ZBSE NBOBHFNFOU GPS 2 XBT #BIU NJMMJPO BOE HSPTT QSPÅ³U NBSHJO XBT "T B SFTVMU PG NPSF GPDVTJOH PO PO TJUF TFSWJDF XIJDI IBE IJHIFS ZJFME HSPTT QSPÅ³U NBSHJO XBT JODSFBTFE GSPN 2 BOE 2 XIJDI XFSF BOE SFTQFDUJWFMZ 'PS UIF ZFBS FOEFE %FDFNCFS HSPTT QSPÅ³U XBT #BIU NJMMJPO BOE HSPTT QSPÅ³U NBSHJO XBT MPXFS GSPN MBTU ZFBS XIJDI XBT EVF UP IJHIFS USBOT QPSUBUJPO DPTU GSPN FYUFSOBM TFSWJDF QSPWJEFST 0-% 503"(& 1FSGPSNBODF PG DPME TUPSBHF NBOBHFNFOU XBT ESBNBUJDBM MZ BGGFDUFE *66 'JTIJOH QSPCMFN TJODF 2 POXBSE 4FBGPPE NBOVGBDUVSFST TUJMM NBJOUBJO MPX MFWFM PG JOWFOUP SZ GPS QSPEVDUJPO 3FWFOVF GSPN DPME TUPSBHF NBOBHFNFOU TFSWJDF GPS 2 XBT #BIU NJMMJPO EFDSFBTFE CZ 2 CZ #BIU NJMMJPO PS 3FWFOVF GPS UIF ZFBS FOEFE %FDFNCFS XBT #BIU NJMMJPO TIBSQMZ EFDSFBTFE GSPN MBTU ZFBS CZ #BIU NJMMJPO PS #FDBVTF PG VOBWPJEBCMF Å³YFE DPTUT F H EFQSFDJBUJPO XIJMF SFWFOVF EFDSFBTFE HSPTT QSPÅ³U GPS 2 ESPQQFE UP #BIU NJMMJPO BOE HSPTT QSPÅ³U NBSHJO XBT MPXFS GSPN 2 XIJDI XBT (SPTT QSPÅ³U GPS UIF ZFBS FOEFE %FDFNCFS XBT #BIU NJMMJPO BOE HSPTT

QSPÅ³U NBSHJO XBT ESPQQFE GSPN 2 XIJDI XBT )PXFWFS DPNQBSJOH UP 2 QFSGPSNBODF JNQSPWFE DPOUJOVPVTMZ "T B SFTVMU PG IJHIFS PDDVQBODZ SBUF PG DPME TUPSBHF JO 4VXJOUBXPOH BSFB SFWFOVF JODSFBTFE GSPN 2 CZ #BIU NJMMJPO PS (SPTT QSPÅ³U NBSHJO JODSFBTFE GSPN 2 XIJDI XBT 3"/41035"5*0/ "/% *453*#65*0/ &37*$& 'SPN CFHJOOJOH PG UIF $PNQBOZ FYQBOEFE TFSWJDF TDPQF PG USBOTQPSUBUJPO TFSWJDF JOUP DSPTT CPSEFS USBOTQPS UBUJPO "T B SFTVMU SFWFOVF BOE HSPTT QSPÅ³U NBSHJO JNQSPWFE 3FWFOVF GSPN 2 XBT #BIU NJMMJPO XIJDI DBO CF EJWJEFE CZ QSPEVDU DBUFHPSZ BT HFOFSBM HPPET BU #BIU NJMMJPO EBOHFSPVT HPPET BU #BIU NJMMJPO BVUP NPUJWF BU #BIU NJMMJPO BOE DPOUSPMMFE UFNQFSBUVSF DIJMMFE BOE GSP[FO QSPEVDU BU #BIU NJMMJPO 5PUBM SFWFOVF SPTF CZ #BIU NJMMJPO PS DPNQBSFE UP 2 'PS UIF ZFBS FOEFE %FDFNCFS SFWFOVF GSPN USBOTQPSUBUJPO BOE EJTUSJCVUJPO TFSWJDF XBT #BIU NJMMJPO DPOTJTUT PG HFOFSBM HPPET BU #BIU NJMMJPO EBOHFSPVT HPPET BU #BIU NJMMJPO BVUPNPUJWF BU #BIU NJMMJPO BOE DPOUSPMMFE UFNQFSBUVSF DIJMMFE BOE GSP[FO QSPEVDU BU #BIU NJMMJPO 5PUBM SFWFOVF JODSFBTFE CZ #BIU NJMMJPO PS DPNQBSFE UP UIBU PG MBTU ZFBS (SPTT QSPÅ³U GPS 2 XBT #BIU NJMMJPO BOE HSPTT QSPÅ³U NBSHJO XBT EFDSFBTFE GSPN 2 XIJDI XBT EVF UP IJHIFS WPMVNF PG DPOUSPMMFE UFNQFSBUVSF DIJMMFE BOE GSP[FO QSPEVDU USBOTQPSUBUJPO XIJDI DPOUSJCVUF IJHIFS NBSHJO DPNQBSJOH UP HFOFSBM HPPET USBOTQPSUBUJPO 'PS UIF ZFBS FOEFE %FDFNCFS UIF $PNQBOZ IBE HSPTT QSPÅ³U GSPN UIF CVTJOFTT PG #BIU NJMMJPO (SPTT QSPÅ³U NBSHJO XBT XIJDI NBJOMZ GSPN JODSFBTFE DSPTT CPSEFS USBOTQPSUBUJPO TFSWJDF UIBU IBE IJHIFS NBSHJO

/ 2016

07*/( &37*$& '03 0.&45*$ "/% /5&3/"5*0/"3FWFOVF GSPN EPNFTUJD BOE JOUFSOBUJPOBM NPWJOH TFSWJDF GPS 2 XBT #BIU NJMMJPO XIJDI XBT GSPN IPVTF IPME NPWJOH TFSWJDF PG #BIU NJMMJPO PGÅ³DF NPWJOH TFSWJDF PG #BIU NJMMJPO GBDUPSZ NPWJOH TFSWJDF PG #BIU NJMMJPO BOE Å³OF BSUT BOE FYIJCJUJPO JUFNT NPWJOH TFSWJDF BU #BIU NJMMJPO 5PUBM SFWFOVF ESPQQFE CZ #BIU NJMMJPO PS GSPN UIBU PG 2 5IF EFDMJOJOH SFW FOVF XBT DBVTFE CZ UIF MPXFS WPMVNF PG IPVTFIPME NPWJOH BOE Å³OF BSUT BOE FYIJCJUJPO JUFNT NPWJOH 'PS UIF ZFBS FOEFE %FDFNCFS SFWFOVF GSPN EPNFTUJD BOE JOUFSOBUJPOBM NPWJOH TFSWJDF XBT #BIU NJMMJPO DPOTJTUT PG IPVTFIPME NPWJOH TFSWJDF PG #BIU NJMMJPO PGÅ³DF NPWJOH TFSWJDF PG #BIU NJMMJPO GBDUPSZ NPWJOH TFSWJDF PG #BIU NJMMJPO BOE Å³OF BSUT BOE FYIJ CJUJPO JUFNT NPWJOH TFSWJDF BU #BIU NJMMJPO $PNQBSJOH UP QSFWJPVT ZFBS UPUBM SFWFOVF EFDSFBTFE EVF UP ESPQQFE SFWFOVF GSPN MPXFS WPMVNF PG IPVTFIPME NPWJOH BOE Å³OF BSUT BOE FYIJCJUJPO JUFNT NPWJOH

(SPTT QSPÅ³U GPS 2 XBT #BIU NJMMJPO BOE HSPTT QSPÅ³U NBSHJO XBT JODSFBTFE GSPN 2 XIJDI XBT 'PS UIF ZFBS FOEFE %FDFNCFS HSPTT QSPÅ³U XBT #BIU NJMMJPO BOE HSPTT QSPÅ³U NBSHJO XBT TUBCMF GSPN MBTU ZFBS &$03% "/% /'03."5*0/ "/"(&.&/5 5IF SFWFOVF GSPN UIF SFDPSE BOE JOGPSNBUJPO NBOBHFNFOU TFSWJDF GPS 2 XBT #BIU NJMMJPO XIJDI DBO CF EJWJEFE JOUP TUPSBHF SFWFOVF PG #BIU NJMMJPO IBOEMJOH TFSWJDF BOE USBOTQPSUBUJPO PG #BIU NJMMJPO 5PUBM SFWFOVF XBT TUBCMF DPNQBSFE UP 2 BOE 2 'PS UIF ZFBS FOEFE %FDFNCFS SFWFOVF XBT #BIU NJMMJPO XIJDI DBO CF EJWJEFE JOUP TUPSBHF SFWFOVF PG #BIU NJMMJPO IBOEMJOH TFSWJDF BOE USBOTQPSUBUJPO PG #BIU NJMMJPO 5PUBM SFWFOVF SPTF GSPN UIBU PG QSFWJPVT ZFBS CZ #BIU NJMMJPO PS EVF UP JODSFBTFE WPMVNF PG CPYFT BOE Å³MFT LFQU JO XBSFIPVTF XIJDI BSF TIPXO JO "

(SPTT QSPÅ³U GPS 2 XBT #BIU NJMMJPO BOE HSPTT QSPÅ³U NBSHJO XBT JODSFBTFE GSPN 2 BOE 2 XIJDI BSF BOE SFTQFDUJWFMZ XIJDI NBJOMZ EVF UP IJHIFS SFWFOVF

'PS UIF ZFBS FOEFE %FDFNCFS PUIFS JODPNF XBT #BIU NJMMJPO EFDSFBTFE CZ #BIU NJMMJPO PS GSPN UIBU PG QSFWJPVT ZFBS XIJDI XBT DPOTJTU PG NBOBHF NFOU GFF BOE PUIFS TFSWJDF JODPNF

'PS UIF ZFBS FOEFE %FDFNCFS HSPTT QSPÅ³U XBT #BIU NJMMJPO BOE HSPTT QSPÅ³U NBSHJO XBT SPTF GSPN MBTU ZFBS XIJDI XBT

&--*/( "/% %.*/*453"5*7& 91&/4&4 *O 2 UIF $PNQBOZ IBE TFMMJOH BOE BENJOJTUSBUJWF FYQFOTFT PG #BIU NJMMJPO JODSFBTFE GSPN 2 CZ #BIU NJMMJPO PS $PNQBSJOH UP 2 TFMM JOH BOE BENJOJTUSBUJWF FYQFOTFT SPTF CZ #BIU NJMMJPO PS XIJDI XBT EVF UP FNQMPZFF FYQFOTFT BOE PQFS BUJOH FYQFOTFT SFMBUFE UP CVTJOFTT FYQBOTJPO

5)&3 64*/&44&4 5IF DPNQBOZ IBE SFWFOVF GSPN PUIFS CVTJOFTTFT GPS 2 PG #BIU NJMMJPO EFDSFBTFE GSPN 2 BOE 2 CZ #BIU NJMMJPO BOE #BIU NJMMJPO SFTQFD UJWFMZ XIJDI XBT NBJOMZ EVF UP EFGFSSFE SFWFOVF GSPN JOGPSNBUJPO UFDIOPMPHZ TFSWJDFT 'PS UIF ZFBS FOEFE %FDFNCFS SFWFOVF GSPN PUIFS CVTJOFTTFT XBT #BIU NJMMJPO EFDSFBTFE CZ #BIU NJMMJPO GSPN QSFWJPVT ZFBS EVF UP JOUFSOBM VTBHF PG " ! " $ ! # ! $ 5)&3 */$0.& 5IF $PNQBOZ IBE PUIFS JODPNF GPS 2 PG #BIU NJMMJPO JODSFBTFE GSPN 2 BOE 2 CZ #BIU NJMMJPO BOE #BIU NJMMJPO SFTQFDUJWFMZ 5IF JODSFBTJOH JO PUIFS JODPNF JT NBJOMZ SFTVMUFE GSPN SFWFSTBM PG BMMPXBODF

'PS UIF ZFBS FOEFE %FDFNCFS TFMMJOH BOE BENJO JTUSBUJWF FYQFOTFT XBT #BIU NJMMJPO JODSFBTFE CZ #BIU NJMMJPO PS XIJDI XBT NBJOMZ GSPN FNQMPZFF FYQFOTFT BOE PQFSBUJOH FYQFOTFT SFMBUFE UP CVTJOFTT FY QBOTJPO *O UIF $PNQBOZ IBE JOUFOTJWFMZ DPOEVDU SFTFBSDI BOE GFBTJCJMJUZ TUVEJFT UP Å³OE CVTJOFTT PQQPSUVOJ UJFT CPUI EPNFTUJD BOE PWFSTFBT *OWFTUNFOUT QSPKFDU JO QMBO XJMM CF JNQMFNFOUFE GSPN ZFBS POXBSE */"/$& 045 5IF $PNQBOZ IBE Å³OBODF DPTU GPS 2 PG #BIU NJMMJPO TUBCMF DPNQBSFE UP 2 BOE 2 'PS UIF ZFBS FOEFE %FDFNCFS UIF $PNQBOZ IBE Å³OBODF DPTU PG #BIU NJMMJPO EFDMJOFE CZ #BIU NJMMJPO PS GSPN UIBU PG QSFWJPVT ZFBS EVF UP SFQBZ NFOU PG MPBO GSPN Å³OBODJBM JOTUJUVUFT GSPN DFSUBJO QPSUJPOT PG UIF QSPDFFET GSPN *10 JTTVBODF

Statement of Financial Position 4,982.7

4,982.7

5,318.0

MM THB

5,318.0

MM THB

804.8

845.8

1,031.2

906.5

840.4

1,331.8 159.0

906.0

1,130.6 668.3

2,661.8

2,573.0 2,646.1

675.7

2,612.6 807.8

As at December 31, 2015 Other Non-Current Assets Investment Properties

PPE Current Assets

As at December 31, 2016 Shareholder's Equity Long-Term Loans

Other Non-Current Liabilities Current Liabilities

44&54 "T BU %FDFNCFS UIF $PNQBOZ IBE UPUBM BTTFUT PG #BIU NJMMJPO JODSFBTFE GSPN %FDFNCFS CZ #BIU NJMMJPO PS

*"#*-*5*&4 "T BU %FDFNCFS UIF $PNQBOZ IBE UPUBM MJBCJMJUJFT #BIU NJMMJPO JODSFBTFE GSPN %FDFNCFS CZ #BIU NJMMJPO PS

5IF $PNQBOZÄ´T BTTFUT NBJOMZ DPOTJTU PG OPO DVSSFOU BTTFUT FTQFDJBMMZ QSPQFSUZ QMBOU BOE FRVJQNFOU BOE JOWFTUNFOU QSPQFSUJFT BNPVOUFE BOE PG UPUBM BTTFUT SFTQFDUJWFMZ

633&/5 *"#*-*5*&4 "T BU %FDFNCFS DVSSFOU MJBCJMJUJFT XBT #BIU NJMMJPO JODSFBTFE GSPN %FDFNCFS CZ #BIU NJMMJPO PS XIJDI XBT NBJOMZ GSPN TIPSU UFSN MPBO VTJOH BT XPSLJOH DBQJUBM BDDSVFE FYQFOTF BOE QSPWJ

633&/5 44&54 "T BU %FDFNCFS DVSSFOU BTTFU XBT #BIU NJMMJPO JODSFBTFE CZ #BIU NJMMJPO PS GSPN %FDFNCFS UIBU XBT DBTI PG #BIU NJMMJPO TIPSU UFSN JOWFTUNFOU PG #BIU NJMMJPO BOE PUIFS SF DFJWBCMF PG #BIU NJMMJPO 0/ 633&/5 44&54 "T BU %FDFNCFS OPO DVSSFOU BTTFUT BNPVOUFE #BIU NJMMJPO JODSFBTFE CZ #BIU NJMMJPO PS GSPN %FDFNCFS XIJDI XBT NBJOMZ GSPN MPOH UFSN JOWFTUNFOU PG #BIU NJMMJPO SFTVMUFE GSPN BDRVJSJOH TIBSFT PG DPNNPO TUPDL JO 1IOPN 1FOI 4&; 1MD 1141 *OWFTUNFOU QSPQFSUZ XIJDI SPTF CZ #BIU NJMMJPO EVF UP +8% $IFNJDBM 4VQQMZ $IBJO QSPKFDU +$4 -POH UFSN MPBO JODSFBTFE PG #BIU NJMMJPO XIJMF QSPQFSUZ QMBOU BOE FRVJQNFOU EFDSFBTFE PG #BIU NJMMJPO GSPN EF #

0/ 633&/5 *"#*-*5*&4 "T BU %FDFNCFS OPO DVSSFOU MJBCJMJUJFT XBT #BIU NJMMJPO JODSFBTFE CZ #BIU NJMMJPO GSPN %F DFNCFS PS XIJDI XBT NBJOMZ EVF UP QSP DFFET GSPN EFCFOUVSF JTTVBODF PG #BIU NJMMJPO BOE MPOH UFSN MPBO SFQBZNFOU PG #BIU NJMMJPO )"3&)0-%&3<4 26*5: "T BU %FDFNCFS TIBSFIPMEFSÄ´T FRVJUZ XBT #BIU NJMMJPO EFDSFBTFE CZ #BIU NJMMJPO PS GSPN %FDFNCFS XIJDI NBJOMZ SFTVMUFE GSPN OFU MPTT JODMVEJOH OPO DPOUSPMMJOH JOUFSFTUT PG UIF ZFBS FOEFE %FDFNCFS PG #BIU NJMMJPO DBTI EJWJEFOE QBJE PG #BIU NJMMJPO BOE BEEJUJPOBM JOWFTUNFOUT PG OPO DPO USPMMJOH JOUFSFTUT PG #BIU NJMMJPO 5IF $PNQBOZ IBE TUPDL EJWJEFOE QBZNFOU JO .BZ JO UIF SBUJP PG DVSSFOU TIBSFT QFS EJWJEFOE TIBSFT 5IF $PNQBOZÄ´T SFHJTUFSFE DBQJUBM JODSFBTFE GSPN #BIU NJMMJPO BU %FDFNCFS UP #BIU NJMMJPO BU %FDFNCFS

/ 2016

Statement of Cash Flows $ /

+(1 0' +# 0' .2(3 )$+10 1 +2 /4

$1 0' %/,* 20$# (+ -$/ 1(+& "1(3(1($0

$1 0' %/,* 20$# (+ +3$01(+& "1(3(1($0

$1 0' %/,* 20$# (+ (+ +"(+& "1(3(1($0

$1 +"/$ 0$ $"/$ 0$ (+ 0' +# 0' .2(3 )$+10 0' +# 0' .2(3 )$+10 1 $"$*!$/

$BTI Å´PXT GSPN PQFSBUJOH BDUJWJUJFT 'PS UIF ZFBS FOEFE %FDFNCFS UIF $PNQBOZ IBE OFU DBTI GSPN PQFSBUJOH BDUJWJUJFT PG #BIU NJMMJPO XIJDI XBT NBJOMZ DPOUSJCVUFE CZ OFU MPTT PG #BIU NJMMJPO BEEFE CBDL PG OPO DBTI JUFNT F H EFQSFDJBUJPO FYQFOTFT PG #BIU NJMMJPO BOE Å³OBODF DPTUT PG #BIU NJMMJPO

$BTI Å´PXT GSPN Å³OBODJOH BDUJWJUJFT 'PS UIF ZFBS FOEFE %FDFNCFS UIF $PN QBOZ IBE OFU DBTI GSPN Å³OBODJOH BDUJWJUJFT PG #BIU NJMMJPO XIJDI JODMVEFT QSPDFFET GSPN EFCFOUVSF JTTVBODF PG #BIU NJMMJPO BOE MPOH UFSN MPBO SFQBZNFOU PG #BIU NJMMJPO

$BTI Å´PXT GSPN JOWFTUJOH BDUJWJUJFT 'PS UIF ZFBS FOEFE %FDFNCFS OFU DBTI VTFE JO JOWFTUJOH BDUJWJUJFT XBT #BIU NJMMJPO XIJDI XBT NBJO MZ DPOUSJCVUFE CZ OFU QVSDIBTF PG DVSSFOU JOWFTUNFOUT PG #BIU NJMMJPO QVSDIBTF PG QSPQFSUZ QMBOU BOE FRVJQ NFOU PG #BIU NJMMJPO JODSFBTFE JOWFTUNFOU QSPQFSUJFT PG #BIU NJMMJPO MPOH UFSN MPBOT UP SFMBUFE QBSUZ PG #BIU NJMMJPO BOE QVSDIBTF PG PUIFS MPOH UFSN JOWFTU NFOUT JO *10 TIBSFT PG 1IOPN 1FOI 4&; 1MD 1141 PG #BIU NJMMJPO

Key Financial Ratios

/ ,.",'0 ,*-- ,$&) ". ,*#&. *-- ,$&) /,,"). .&* &("- & &'&.0 .* +/&.0 &("- ).","-. " ,&)$ " . .* +/&.0 &("-

05&

3044 "3(*/ /FU 1SPÅ³U -PTT .BSHJO 633&/5 "5*0 *"#*-*5: 50 26*5: /5&3&45 &"3*/( &#5 50 26*5:

&)" (*).% ",&*!

(SPTT 1SPÅ³U 3FOUBM JODPNF BOE SFWFOVF GSPN SFOEFSJOH PG TFSWJDFT /FU QSPÅ³U MPTT BUUSJCVUBCMF UP PXOFST PG UIF $PNQBOZ 5PUBM SFWFOVF $VSSFOU "TTFU $VSSFOU -JBCJMJUJFT 5PUBM -JBCJMJUJFT 4IBSFIPMEFSÄ´T &RVJUZ *OUFSFTU #FBSJOH %FCU 4IBSFIPMEFSÄ´T &RVJUZ

Independent Auditorâ&#x20AC;&#x2122;s Report

$6 :/, #/(8,/63+,89 6- ' 5-6 6.09:0*9 !;)30* 647(5? 040:,+ "705065 , KDYH DXGLWHG WKH FRQVROLGDWHG DQG VHSDUDWH ILQDQFLDO VWDWHPHQWV RI -:' ,QIR/RJLVWLFV 3XEOLF &RPSDQ\ /LPLWHG DQG LWV VXEVLGLDULHV WKH Â³*URXSÂ´ DQG RI -:' ,QIR/RJLVWLFV 3XEOLF &RPSDQ\ /LPLWHG WKH Â³&RPSDQ\Â´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

/ 2016

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x 8QGHUVWDQGLQJ DQG DVVHVVLQJ WKH *URXS DQG WKH H[SRUW UDZ PDWHULDO VWRFN IRU SURGXFWLRQ KDYH &RPSDQ\Â¶V EXGJHWLQJ SURFHGXUHV WR GHWHUPLQH EHHQ NHSW DW ORZ OHYHO )XUWKHUPRUH FHUWDLQ GLUHFW WKH DSSURSULDWLRQ RI WKH LGHQWLILFDWLRQ RI DQG LQGLUHFW VXEVLGLDULHV RI WKH &RPSDQ\ RSHUDWH LPSDLUPHQW LQGLFDWRU DQG HVWLPDWLRQ PHWKRG XVHG LQ KLJK FRPSHWLWLYH DUHDV DIIHFWLQJ FROG VWRUDJH LQ DVVHVVLQJ DVVHWV UHFRYHUDEOH DPRXQW EXVLQHVV XQGHU LQWHJUDWHG ORJLVWLFV VXSSO\ FKDLQ DQG ZDUHKRXVH PDQDJHPHQW VHJPHQW DQG SURSHUW\ x 7HVWLQJ WKH DFFXUDF\ RI WKH FDOFXODWLRQ RI WKH PDQDJHPHQW XQGHU RWKHUV VHJPHQW 7KHVH HIIHFW UHFRYHUDEOH DPRXQW RI WKH DVVHWV , FRQVXOWHG WKH GLUHFW DQG LQGLUHFW VXEVLGLDULHV GRLQJ VXFK ZLWK .30* YDOXDWLRQ VSHFLDOLVW ZKHQ EXVLQHVV KDYH GHFUHDVHG LQ UHYHQXHV DQG RU FRQVLGHULQJ WKH DSSURSULDWHQHVV RI WKH GLVFRXQW LQFXUUHG ORVV IURP RSHUDWLRQ 7KH *URXS DQG WKH UDWH XVHG E\ WKH *URXS DQG WKH &RPSDQ\ &RPSDQ\ GHWHUPLQHG WKDW WKHVH IDFWRUV DUH LPSDLUPHQW LQGLFDWRUV IRU LQYHVWPHQW SURSHUWLHV x $VVHVVLQJ WKH DSSURSULDWHQHVV RI WKH NH\ SURSHUW\ SODQW DQG HTXLSPHQW SUHSDLG ODQG UHQWDO DVVXPSWLRQV XVHG LQ WKH HVWLPDWLRQ RI H[SHQVHV JRRGZLOO DQG RWKHU LQWDQJLEOH DVVHWV UHFRYHUDEOH DPRXQW E\ UHIHUHQFH WR LQWHUQDOO\ FXVWRPHU UHODWLRQVKLS DQG RI WKH DIRUHVDLG DQG H[WHUQDOO\ GHULYHG VRXUFHV RSHUDWLRQ SODQ VHJPHQW LQ WKH FRQVROLGDWHG ILQDQFLDO VWDWHPHQWV DQG WDNLQJ LQWR DFFRXQW WKH KLVWRULFDO WUHQG DQG LQYHVWPHQWV LQ VXEVLGLDULHV LQ WKH VHSDUDWH ILQDQFLDO VWDWHPHQWV x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Â¶ UHSRUW RI WKH H[WHUQDO DQG WKH &RPSDQ\ XVHG MXGJHPHQW LQ HVWLPDWLRQ RI H[SHUWV HQJDJHG E\ WKH *URXS ,Q DGGLWLRQ , WKH IRUHFDVWHG IXWXUH FDVK IORZV JHQHUDWHG IURP HYDOXDWHG WKH FRPSHWHQFH FDSDFLWLHV DQG WKH DVVHWV 7KH HVWLPDWLRQ RI WKH IRUHFDVW FDVK REMHFWLYLW\ RI WKH H[WHUQDO H[SHUWV HQJDJHG E\ WKH IORZV GHSHQGV RQ NH\ DVVXPSWLRQV *URXS DQG H[WHUQDO H[SHUW HQJDJHG E\ .30* 7KH HVWLPDWLRQ RI WKH UHFRYHUDEOH DPRXQW UHTXLUHV MXGJPHQW DQG LV LQKHUHQWO\ XQFHUWDLQ LQ WKH x , FRQVLGHUHG WKH DGHTXDF\ RI GLVFORVXUHV LQ DFFRUGDQFH ZLWK 7KDL )LQDQFLDO 5HSRUWLQJ HVWLPDWLRQ WKHUHIRUH WKLV LV DQ DUHD RI IRFXV LQ 6WDQGDUGV P\ DXGLW

47/(:0: 6- (;;,9

, GUDZ DWWHQWLRQ WR 1RWH WR WKH ILQDQFLDO VWDWHPHQWV ZKLFK GHVFULEHV WKH EHQHILW VKDULQJ IURP VXUFKDUJH LQFRPH ZKLFK LV DGGLWLRQDOO\ FKDUJHG E\ D VWDWH HQWHUSULVH 0\ RSLQLRQ LV QRW PRGLILHG LQ UHVSHFW RI WKLV PDWWHU ";/,9 5-694(;065 0DQDJHPHQW LV UHVSRQVLEOH IRU WKH RWKHU LQIRUPDWLRQ 7KH RWKHU LQIRUPDWLRQ FRPSULVHV WKH LQIRUPDWLRQ LQFOXGHG LQ WKH DQQXDO UHSRUW EXW GRHV QRW LQFOXGH WKH FRQVROLGDWHG DQG VHSDUDWH ILQDQFLDO VWDWHPHQWV DQG P\ DXGLWRUÂ¶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Â¶V DQG WKH &RPSDQ\Â¶V DELOLW\ WR FRQWLQXH DV D JRLQJ FRQFHUQ GLVFORVLQJ DV DSSOLFDEOH PDWWHUV UHODWHG WR JRLQJ FRQFHUQ DQG XVLQJ WKH JRLQJ FRQFHUQ EDVLV RI DFFRXQWLQJ XQOHVV PDQDJHPHQW HLWKHU LQWHQGV WR OLTXLGDWH WKH *URXS DQG WKH &RPSDQ\ RU WR FHDVH RSHUDWLRQV RU KDV QR UHDOLVWLF DOWHUQDWLYH EXW WR GR VR 7KRVH FKDUJHG ZLWK JRYHUQDQFH DUH UHVSRQVLEOH IRU RYHUVHHLQJ WKH *URXSÂ¶V DQG WKH &RPSDQ\Â¶V ILQDQFLDO UHSRUWLQJ SURFHVV <+0;69A: $,:765:0)030;0,: -69 ;/, <+0; 6- ;/, 65:630+(;,+ (5+ %,7(9(;, 05(5*0(3 %;(;,4,5;: 0\ REMHFWLYHV DUH WR REWDLQ UHDVRQDEOH DVVXUDQFH DERXW ZKHWKHU WKH FRQVROLGDWHG DQG VHSDUDWH ILQDQFLDO VWDWHPHQWV DV D ZKROH DUH IUHH IURP PDWHULDO PLVVWDWHPHQW ZKHWKHU GXH WR IUDXG RU HUURU DQG WR LVVXH DQ DXGLWRUÂ¶V UHSRUW WKDW LQFOXGHV P\ RSLQLRQ 5HDVRQDEOH DVVXUDQFH LV D KLJK OHYHO RI DVVXUDQFH EXW LV QRW D JXDUDQWHH WKDW DQ DXGLW FRQGXFWHG LQ DFFRUGDQFH ZLWK 76$V ZLOO DOZD\V GHWHFW D PDWHULDO PLVVWDWHPHQW ZKHQ LW H[LVWV 0LVVWDWHPHQWV FDQ DULVH IURP IUDXG RU HUURU DQG DUH FRQVLGHUHG PDWHULDO LI LQGLYLGXDOO\ RU LQ WKH DJJUHJDWH WKH\ FRXOG UHDVRQDEO\ EH H[SHFWHG WR LQIOXHQFH WKH HFRQRPLF GHFLVLRQV RI XVHUV WDNHQ RQ WKH EDVLV RI WKHVH FRQVROLGDWHG DQG VHSDUDWH ILQDQFLDO VWDWHPHQWV

/ 2016

$V SDUW RI DQ DXGLW LQ DFFRUGDQFH ZLWK 76$V , H[HUFLVH SURIHVVLRQDO MXGJPHQW DQG PDLQWDLQ SURIHVVLRQDO VNHSWLFLVP WKURXJKRXW WKH DXGLW , DOVR

x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x 2EWDLQ DQ XQGHUVWDQGLQJ RI LQWHUQDO FRQWURO UHOHYDQW WR WKH DXGLW LQ RUGHU WR GHVLJQ DXGLW SURFHGXUHV WKDW DUH DSSURSULDWH LQ WKH FLUFXPVWDQFHV EXW QRW IRU WKH SXUSRVH RI H[SUHVVLQJ DQ RSLQLRQ RQ WKH HIIHFWLYHQHVV RI WKH *URXSÂ¶V DQG WKH &RPSDQ\Â¶V LQWHUQDO FRQWURO x (YDOXDWH WKH DSSURSULDWHQHVV RI DFFRXQWLQJ SROLFLHV XVHG DQG WKH UHDVRQDEOHQHVV RI DFFRXQWLQJ HVWLPDWHV DQG UHODWHG GLVFORVXUHV PDGH E\ PDQDJHPHQW x &RQFOXGH RQ WKH DSSURSULDWHQHVV RI PDQDJHPHQWÂ¶V XVH RI WKH JRLQJ FRQFHUQ EDVLV RI DFFRXQWLQJ DQG EDVHG RQ WKH DXGLW HYLGHQFH REWDLQHG ZKHWKHU D PDWHULDO XQFHUWDLQW\ H[LVWV UHODWHG WR HYHQWV RU FRQGLWLRQV WKDW PD\ FDVW VLJQLILFDQW GRXEW RQ WKH *URXSÂ¶V DQG WKH &RPSDQ\Â¶V DELOLW\ WR FRQWLQXH DV D JRLQJ FRQFHUQ ,I , FRQFOXGH WKDW D PDWHULDO XQFHUWDLQW\ H[LVWV , DP UHTXLUHG WR GUDZ DWWHQWLRQ LQ P\ DXGLWRUÂ¶V UHSRUW WR WKH UHODWHG GLVFORVXUHV LQ WKH FRQVROLGDWHG DQG VHSDUDWH ILQDQFLDO VWDWHPHQWV RU LI VXFK GLVFORVXUHV DUH LQDGHTXDWH WR PRGLI\ P\ RSLQLRQ 0\ FRQFOXVLRQV DUH EDVHG RQ WKH DXGLW HYLGHQFH REWDLQHG XS WR WKH GDWH RI P\ DXGLWRUÂ¶V UHSRUW +RZHYHU IXWXUH HYHQWV RU FRQGLWLRQV PD\ FDXVH WKH *URXS DQG WKH &RPSDQ\ WR FHDVH WR FRQWLQXH DV D JRLQJ FRQFHUQ x (YDOXDWH WKH RYHUDOO SUHVHQWDWLRQ VWUXFWXUH DQG FRQWHQW RI WKH FRQVROLGDWHG DQG VHSDUDWH ILQDQFLDO VWDWHPHQWV LQFOXGLQJ WKH GLVFORVXUHV DQG ZKHWKHU WKH FRQVROLGDWHG DQG VHSDUDWH ILQDQFLDO VWDWHPHQWV UHSUHVHQW WKH XQGHUO\LQJ WUDQVDFWLRQV DQG HYHQWV LQ D PDQQHU WKDW DFKLHYHV IDLU SUHVHQWDWLRQ x 2EWDLQ VXIILFLHQW DSSURSULDWH DXGLW HYLGHQFH UHJDUGLQJ WKH ILQDQFLDO LQIRUPDWLRQ RI WKH HQWLWLHV RU EXVLQHVV DFWLYLWLHV ZLWKLQ WKH *URXS WR H[SUHVV DQ RSLQLRQ RQ WKH FRQVROLGDWHG ILQDQFLDO VWDWHPHQWV , DP UHVSRQVLEOH IRU WKH GLUHFWLRQ VXSHUYLVLRQ DQG SHUIRUPDQFH RI WKH JURXS DXGLW , UHPDLQ VROHO\ UHVSRQVLEOH IRU P\ DXGLW RSLQLRQ

, FRPPXQLFDWH ZLWK WKRVH FKDUJHG ZLWK JRYHUQDQFH UHJDUGLQJ DPRQJ RWKHU PDWWHUV WKH SODQQHG VFRSH DQG WLPLQJ RI WKH DXGLW DQG VLJQLILFDQW DXGLW ILQGLQJV LQFOXGLQJ DQ\ VLJQLILFDQW GHILFLHQFLHV LQ LQWHUQDO FRQWURO WKDW , LGHQWLI\ GXULQJ P\ DXGLW

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Â¶V UHSRUW XQOHVV ODZ RU UHJXODWLRQ SUHFOXGHV SXEOLF GLVFORVXUH DERXW WKH PDWWHU RU ZKHQ LQ H[WUHPHO\ UDUH FLUFXPVWDQFHV , GHWHUPLQH WKDW D PDWWHU VKRXOG QRW EH FRPPXQLFDWHG LQ P\ UHSRUW EHFDXVH WKH DGYHUVH FRQVHTXHQFHV RI GRLQJ VR ZRXOG UHDVRQDEO\ EH H[SHFWHG WR RXWZHLJK WKH SXEOLF LQWHUHVW EHQHILWV RI VXFK FRPPXQLFDWLRQ

6XNLW 9RQJWKDYDUDYDW &HUWLILHG 3XEOLF $FFRXQWDQW 5HJLVWUDWLRQ 1R

.30* 3KRRPFKDL $XGLW /WG %DQJNRN )HEUXDU\

Financial Statements -:' ,QIR/RJLVWLFV 3XEOLF &RPSDQ\ /LPLWHG DQG LWV 6XEVLGLDULHV 6WDWHPHQW RI ILQDQFLDO SRVLWLRQ &RQVROLGDWHG ILQDQFLDO VWDWHPHQWV $VVHWV

!6;,

6HSDUDWH ILQDQFLDO VWDWHPHQWV

'HFHPEHU

-DQXDU\

'HFHPEHU

-DQXDU\

05 (/; 2//"+1 00"10 &DVK DQG FDVK HTXLYDOHQWV

&XUUHQW LQYHVWPHQWV

7UDGH DFFRXQWV UHFHLYDEOH

2WKHU UHFHLYDEOHV

6KRUW WHUP ORDQV WR UHODWHG SDUWLHV

6KRUW WHUP ORDQV WR QRQ UHODWHG SDUW\ &XUUHQW SRUWLRQ RI ORQJ WHUP ORDQV WR UHODWHG SDUWLHV

,QYHQWRULHV

2WKHU FXUUHQW DVVHWV

7RWDO FXUUHQW DVVHWV

,+ 2//"+1 00"10 'HSRVLWV DW ILQDQFLDO LQVWLWXWLRQV SOHGJHG DV FROODWHUDO

,QYHVWPHQWV LQ DVVRFLDWHV DQG MRLQW YHQWXUHV

,QYHVWPHQWV LQ VXEVLGLDULHV

2WKHU ORQJ WHUP LQYHVWPHQWV

/RQJ WHUP ORDQV WR UHODWHG SDUWLHV

,QWDQJLEOH DVVHWV XQGHU RSHUDWLQJ DJUHHPHQW

,QYHVWPHQW SURSHUWLHV

3UHSDLG UHQWDO H[SHQVHV

*RRGZLOO

2WKHU LQWDQJLEOH DVVHWV

'HIHUUHG WD[ DVVHWV

2WKHU QRQ FXUUHQW DVVHWV

7RWDO QRQ FXUUHQW DVVHWV

7RWDO DVVHWV

3URSHUW\ SODQW DQG HTXLSPHQW

7KH DFFRPSDQ\LQJ QRWHV DUH DQ LQWHJUDO SDUW RI WKHVH ILQDQFLDO VWDWHPHQWV

/ 2016 -:' ,QIR/RJLVWLFV 3XEOLF &RPSDQ\ /LPLWHG DQG LWV 6XEVLGLDULHV 6WDWHPHQW RI ILQDQFLDO SRVLWLRQ &RQVROLGDWHG ILQDQFLDO VWDWHPHQWV /LDELOLWLHV DQG HTXLW\

!6;,

6HSDUDWH ILQDQFLDO VWDWHPHQWV

'HFHPEHU

-DQXDU\

'HFHPEHU

-DQXDU\

05 (/; 2//"+1 )& &)&1&"0 %DQN RYHUGUDIWV DQG VKRUW WHUP ORDQV IURP ILQDQFLDO LQVWLWXWLRQV

7UDGH DFFRXQWV SD\DEOH

2WKHU SD\DEOHV

2WKHU FXUUHQW OLDELOLWLHV

7RWDO FXUUHQW OLDELOLWLHV

&XUUHQW SRUWLRQ RI ORQJ WHUP ORDQV IURP ILQDQFLDO LQVWLWXWLRQV 6KRUW WHUP ORDQV IURP RWKHU FRPSDQLHV &XUUHQW SRUWLRQ RI ORQJ WHUP ORDQV IURP UHODWHG SDUWLHV &XUUHQW SRUWLRQ RI ILQDQFH OHDVH OLDELOLWLHV ,QFRPH WD[ SD\DEOH 3URYLVLRQV

,+ 2//"+1 )& &)&1&"0 'HEHQWXUHV

/RQJ WHUP ORDQV IURP ILQDQFLDO LQVWLWXWLRQV

'HIHUUHG WD[ OLDELOLWLHV

(PSOR\HH EHQHILW REOLJDWLRQV

2WKHU QRQ FXUUHQW OLDELOLWLHV

7RWDO QRQ FXUUHQW OLDELOLWLHV

7RWDO OLDELOLWLHV

/RQJ WHUP ORDQ IURP UHODWHG SDUW\ /RQJ WHUP DGYDQFH LQFRPH UHFHLYHG DQG DFFUXHG UHQWDO H[SHQVHV )LQDQFH OHDVH OLDELOLWLHV

7KH DFFRPSDQ\LQJ QRWHV DUH DQ LQWHJUDO SDUW RI WKHVH ILQDQFLDO VWDWHPHQWV

-:' ,QIR/RJLVWLFV 3XEOLF &RPSDQ\ /LPLWHG DQG LWV 6XEVLGLDULHV 6WDWHPHQW RI ILQDQFLDO SRVLWLRQ &RQVROLGDWHG ILQDQFLDO VWDWHPHQWV /LDELOLWLHV DQG HTXLW\

!6;,

6HSDUDWH ILQDQFLDO VWDWHPHQWV

'HFHPEHU

-DQXDU\

'HFHPEHU

-DQXDU\

05 (/; .2&16 6KDUH FDSLWDO $XWKRULVHG VKDUH FDSLWDO

,VVXHG DQG SDLG XS VKDUH FDSLWDO 3UHPLXP RQ RUGLQDU\ VKDUHV 6XUSOXV RQ DFTXLVLWLRQ RI VXEVLGLDULHV E\ VKDUH VZDS 6XUSOXV RQ EXVLQHVV UHVWUXFWXULQJ XQGHU FRPPRQ FRQWURO (TXLW\ UHGXFWLRQ IURP GLYLGHQGV SDLG IURP UHWDLQHG HDUQLQJV EHIRUH EXVLQHVV UHVWUXFWXULQJ XQGHU FRPPRQ FRQWURO

6XUSOXV RQ VKDUH EDVHG SD\PHQW WUDQVDFWLRQV

5HWDLQHG HDUQLQJV $SSURSULDWHG /HJDO UHVHUYH 8QDSSURSULDWHG 2WKHU FRPSRQHQWV RI HTXLW\

(TXLW\ DWWULEXWDEOH WR RZQHUV RI WKH &RPSDQ\

1RQ FRQWUROOLQJ LQWHUHVWV

7RWDO HTXLW\

7RWDO OLDELOLWLHV DQG HTXLW\

7KH DFFRPSDQ\LQJ QRWHV DUH DQ LQWHJUDO SDUW RI WKHVH ILQDQFLDO VWDWHPHQWV

/ 2016 -:' ,QIR/RJLVWLFV 3XEOLF &RPSDQ\ /LPLWHG DQG LWV 6XEVLGLDULHV 6WDWHPHQW RI FRPSUHKHQVLYH LQFRPH

!6;,

&RQVROLGDWHG ILQDQFLDO VWDWHPHQWV

6HSDUDWH ILQDQFLDO VWDWHPHQWV

<HDU HQGHG 'HFHPEHU

05 (/; + ,*" 5HYHQXH IURP UHQWDO DQG UHQGHULQJ RI VHUYLFHV

5HYHUVDO RI DOORZDQFH IRU LPSDLUPHQW ORVVHV RQ DVVHWV

1HW IRUHLJQ H[FKDQJH JDLQ

,QYHVWPHQW LQFRPH

2WKHU LQFRPH

7RWDO LQFRPH 5-"+0"0 &RVW RI UHQWDO DQG UHQGHULQJ RI VHUYLFHV 6HOOLQJ H[SHQVHV

$GGLWLRQDO EHQHILW VKDULQJ IURP VXUFKDUJH LQFRPH

/RVV IURP SURYLVLRQ

'HILQHG EHQHILW SODQ DFWXDULDO ORVVHV

,QFRPH WD[ RQ RWKHU FRPSUHKHQVLYH LQFRPH

$GPLQLVWUDWLYH H[SHQVHV

)LQDQFH FRVWV 7RWDO H[SHQVHV 6KDUH RI ORVV SURILW RI LQYHVWPHQWV LQ DVVRFLDWHV DQG MRLQW YHQWXUHV

3URILW EHIRUH LQFRPH WD[ H[SHQVH ,QFRPH WD[ H[SHQVH UHYHQXH

/RVV SURILW IRU WKH \HDU 2WKHU FRPSUHKHQVLYH LQFRPH 1"* 1% 1 4&)) +,1 " /" ) 00&#&"! 1, -/,#&1 ,/ ),00

1"*0 1% 1 /" ,/ * 6 " /" ) 00&#&"! 02 0".2"+1)6 1, -/,#&1 ,/ ),00 )RUHLJQ FXUUHQF\ WUDQVODWLRQ GLIIHUHQFHV IRU IRUHLJQ RSHUDWLRQV

QHW RI LQFRPH WD[

7RWDO FRPSUHKHQVLYH LQFRPH IRU WKH \HDU

1HW FKDQJH LQ IDLU YDOXH RI DYDLODEOH IRU VDOH LQYHVWPHQWV

,QFRPH WD[ RQ RWKHU FRPSUHKHQVLYH LQFRPH 7RWDO RWKHU FRPSUHKHQVLYH LQFRPH IRU WKH \HDU

7KH DFFRPSDQ\LQJ QRWHV DUH DQ LQWHJUDO SDUW RI WKHVH ILQDQFLDO VWDWHPHQWV

-:' ,QIR/RJLVWLFV 3XEOLF &RPSDQ\ /LPLWHG DQG LWV 6XEVLGLDULHV 6WDWHPHQW RI FRPSUHKHQVLYH LQFRPH

!6;,

&RQVROLGDWHG ILQDQFLDO VWDWHPHQWV

6HSDUDWH ILQDQFLDO VWDWHPHQWV

<HDU HQGHG 'HFHPEHU

05 (/; /RVV SURILW DWWULEXWDEOH WR 2ZQHUV RI WKH &RPSDQ\

1RQ FRQWUROOLQJ LQWHUHVWV

/RVV SURILW IRU WKH \HDU

7RWDO FRPSUHKHQVLYH LQFRPH DWWULEXWDEOH WR 2ZQHUV RI WKH &RPSDQ\

1RQ FRQWUROOLQJ LQWHUHVWV

7RWDO FRPSUHKHQVLYH LQFRPH IRU WKH \HDU %DVLF ORVV HDUQLQJV SHU VKDUH

7KH DFFRPSDQ\LQJ QRWHV DUH DQ LQWHJUDO SDUW RI WKHVH ILQDQFLDO VWDWHPHQWV

1%" ,*- +6

7KH DFFRPSDQ\LQJ QRWHV DUH DQ LQWHJUDO SDUW RI WKHVH ILQDQFLDO VWDWHPHQWV

7UDQVIHU WR OHJDO UHVHUYH

%DODQFH DW 'HFHPEHU

7RWDO FRPSUHKHQVLYH LQFRPH IRU WKH \HDU

3URILW RU ORVV

2WKHU FRPSUHKHQVLYH LQFRPH

&RPSUHKHQVLYH LQFRPH IRU WKH \HDU

7RWDO WUDQVDFWLRQ ZLWK RZQHUV UHFRUGHG GLUHFWO\ LQ HTXLW\

UHVWUXFWXULQJ

'LYLGHQG SDLG IURP UHWDLQHG HDUQLQJV EHIRUH EXVLQHVV

UHVWUXFWXULQJ

7RWDO FKDQJHV LQ RZQHUVKLS LQWHUHVWV LQ VXEVLGLDULHV

'LVWULEXWLRQV WR IRUPHU RZQHUV EHIRUH EXVLQHVV

SUHPLXP

'LYLGHQGV SDLG WR QRQ FRQWUROOLQJ LQWHUHVW RI VXEVLGLDULHV

FDSLWDO

$GGLWLRQDO LQYHVWPHQWV RI QRQ FRQWUROOLQJ LQWHUHVWV

&KDQJHV LQ RZQHUVKLS LQWHUHVWV LQ VXEVLGLDULHV

'LYLGHQGV WR RZQHUV RI WKH &RPSDQ\

,1 ) ,+1/& 21&,+0 6 +! !&01/& 21&,+0 1, ,4+"/0 ,#

,VVXH RI RUGLQDU\ VKDUHV

,+1/& 21&,+0 6 +! !&01/& 21&,+0 1, ,4+"/0 ,# 1%" ,*- +6

7UDQVDFWLRQV ZLWK RZQHUV UHFRUGHG GLUHFWO\ LQ HTXLW\

%DODQFH DW -DQXDU\

<HDU HQGHG 'HFHPEHU

!6;,

VKDUH VZDS

FRPPRQ FRQWURO

XQGHU

SDLG XS VKDUH

6XUSOXV IURP

UHVWUXFWXULQJ 6KDUH

IURP GLYLGHQGV SDLG

FRPPRQ FRQWURO

UHVWUXFWXULQJ XQGHU

EHIRUH EXVLQHVV

05 (/;

WUDQVDFWLRQV

EDVHG SD\PHQW

6XUSOXV RQ VKDUH

UHVHUYH

/HJDO

8QDSSURSULDWHG

5HWDLQHG HDUQLQJV

&RQVROLGDWHG ILQDQFLDO VWDWHPHQWV (TXLW\ UHGXFWLRQ 6XUSOXV RQ EXVLQHVV IURP UHWDLQHG HDUQLQJV

,VVXHG DQG

-:' ,QIR/RJLVWLFV 3XEOLF &RPSDQ\ /LPLWHG DQG LWV 6XEVLGLDULHV

6WDWHPHQW RI FKDQJHV LQ HTXLW\

GLIIHUHQFHV

WUDQVODWLRQ

&XUUHQF\

RI HTXLW\

2WKHU FRPSRQHQWV (TXLW\

WKH &RPSDQ\

RZQHUV RI

DWWULEXWDEOH WR

1RQ

LQWHUHVWV

FRQWUROOLQJ

7RWDO

HTXLW\

/ 2016

/"01/2 12/&+$

7KH DFFRPSDQ\LQJ QRWHV DUH DQ LQWHJUDO SDUW RI WKHVH ILQDQFLDO VWDWHPHQWV

7UDQVIHU WR OHJDO UHVHUYH

%DODQFH DW 'HFHPEHU

7RWDO FRPSUHKHQVLYH LQFRPH IRU WKH \HDU

2WKHU FRPSUHKHQVLYH LQFRPH

/RVV

&RPSUHKHQVLYH LQFRPH IRU WKH \HDU

7RWDO WUDQVDFWLRQ ZLWK RZQHUV UHFRUGHG GLUHFWO\ LQ HTXLW\

EXVLQHVV UHVWUXFWXULQJ

'LYLGHQG SDLG IURP UHWDLQHG HDUQLQJV EHIRUH

,1 ) % +$"0 &+ ,4+"/0%&- &+1"/"010 &+ 02 0&!& /&"0

&01/& 21&,+0 1, #,/*"/ ,4+"/0 "#,/" 20&+"00

$GGLWLRQDO LQYHVWPHQWV RI QRQ FRQWUROOLQJ LQWHUHVWV

FRPPRQ FRQWURO

SUHPLXP

FDSLWDO

VKDUH VZDS

XQGHU

6KDUH

SDLG XS VKDUH

'LYLGHQGV SDLG WR QRQ FRQWUROOLQJ LQWHUHVW RI VXEVLGLDULHV

% +$"0 &+ ,4+"/0%&- &+1"/"010 &+ 02 0&!& /&"0

1%" ,*- +6

,1 ) ,+1/& 21&,+0 6 +! !&01/& 21&,+0 1, ,4+"/0 ,#

'LYLGHQGV WR RZQHUV RI WKH &RPSDQ\

,VVXH RI VWRFN GLYLGHQGV

,+1/& 21&,+0 6 +! !&01/& 21&,+0 1, ,4+"/0 ,# 1%" ,*- +6

7UDQVDFWLRQV ZLWK RZQHUV UHFRUGHG GLUHFWO\ LQ HTXLW\

%DODQFH DW -DQXDU\

<HDU HQGHG 'HFHPEHU

!6;,

UHVWUXFWXULQJ 6XUSOXV IURP

IURP GLYLGHQGV SDLG

(TXLW\ UHGXFWLRQ

FRPPRQ FRQWURO

UHVWUXFWXULQJ XQGHU

EHIRUH EXVLQHVV

6XUSOXV RQ EXVLQHVV IURP UHWDLQHG HDUQLQJV

,VVXHG DQG

-:' ,QIR/RJLVWLFV 3XEOLF &RPSDQ\ /LPLWHG DQG LWV 6XEVLGLDULHV

6WDWHPHQW RI FKDQJHV LQ HTXLW\

WUDQVDFWLRQV

EDVHG SD\PHQW

6XUSOXV RQ VKDUH

05 (/;

UHVHUYH

/HJDO

8QDSSURSULDWHG

5HWDLQHG HDUQLQJV

&RQVROLGDWHG ILQDQFLDO VWDWHPHQWV

7RWDO RWKHU

)DLU YDOXH FKDQJHV LQ

GLIIHUHQFHV

LQYHVWPHQWV

RI HTXLW\

WUDQVODWLRQ DYDLODEOH IRU VDOH FRPSRQHQWV

&XUUHQF\

2WKHU FRPSRQHQWV RI HTXLW\ (TXLW\

WKH &RPSDQ\

RZQHUV RI

DWWULEXWDEOH WR

1RQ

LQWHUHVWV

FRQWUROOLQJ

7RWDO

HTXLW\

7KH DFFRPSDQ\LQJ QRWHV DUH DQ LQWHJUDO SDUW RI WKHVH ILQDQFLDO VWDWHPHQWV

%DODQFH DW 'HFHPEHU

7UDQVIHU WR OHJDO UHVHUYH

FDSLWDO

!6;,

SUHPLXP

VKDUH VZDS

05 (/;

WUDQVDFWLRQV

EDVHG SD\PHQW

6XUSOXV IURP

SDLG XS VKDUH

6KDUH

6XUSOXV RQ VKDUH

UHVHUYH

8QDSSURSULDWHG

5HWDLQHG HDUQLQJV /HJDO

6HSDUDWH ILQDQFLDO VWDWHPHQWV ,VVXHG DQG

7RWDO FRPSUHKHQVLYH LQFRPH IRU WKH \HDU

3URILW

&RPSUHKHQVLYH LQFRPH IRU WKH \HDU

7RWDO WUDQVDFWLRQV ZLWK RZQHUV UHFRUGHG GLUHFWO\ LQ HTXLW\

,1 ) ,+1/& 21&,+0 6 +! !&01/& 21&,+0 1, ,4+"/0 ,# 1%" ,*- +6

'LYLGHQGV WR RZQHUV RI WKH &RPSDQ\

,VVXH RI RUGLQDU\ VKDUHV

,+1/& 21&,+0 6 +! !&01/& 21&,+0 1, ,4+"/0 ,# 1%" ,*- +6

7UDQVDFWLRQV ZLWK RZQHUV UHFRUGHG GLUHFWO\ LQ HTXLW\

%DODQFH DW -DQXDU\

<HDU HQGHG 'HFHPEHU

6WDWHPHQW RI FKDQJHV LQ HTXLW\

-:' ,QIR/RJLVWLFV 3XEOLF &RPSDQ\ /LPLWHG DQG LWV 6XEVLGLDULHV

HTXLW\

7RWDO

/ 2016

7KH DFFRPSDQ\LQJ QRWHV DUH DQ LQWHJUDO SDUW RI WKHVH ILQDQFLDO VWDWHPHQWV

%DODQFH DW 'HFHPEHU

7UDQVIHU WR OHJDO UHVHUYH

7RWDO FRPSUHKHQVLYH LQFRPH IRU WKH \HDU

2WKHU FRPSUHKHQVLYH LQFRPH

3URILW

&RPSUHKHQVLYH LQFRPH IRU WKH \HDU

7RWDO WUDQVDFWLRQV ZLWK RZQHUV UHFRUGHG GLUHFWO\ LQ HTXLW\

!6;,

,1 ) ,+1/& 21&,+0 6 +! !&01/& 21&,+0 1, ,4+"/0 ,# 1%" ,*- +6

'LYLGHQGV WR RZQHUV RI WKH &RPSDQ\

,VVXH RI VWRFN GLYLGHQGV

,+1/& 21&,+0 6 +! !&01/& 21&,+0 1, ,4+"/0 ,# 1%" ,*- +6

7UDQVDFWLRQV ZLWK RZQHUV UHFRUGHG GLUHFWO\ LQ HTXLW\

%DODQFH DW -DQXDU\

<HDU HQGHG 'HFHPEHU

6WDWHPHQW RI FKDQJHV LQ HTXLW\

UHVHUYH

/HJDO

8QDSSURSULDWHG

05 (/;

WUDQVDFWLRQV

SUHPLXP

FDSLWDO

VKDUH VZDS

EDVHG SD\PHQW

6KDUH

SDLG XS VKDUH

6XUSOXV IURP

6XUSOXV RQ VKDUH

5HWDLQHG HDUQLQJV

6HSDUDWH ILQDQFLDO VWDWHPHQWV

,VVXHG DQG

-:' ,QIR/RJLVWLFV 3XEOLF &RPSDQ\ /LPLWHG DQG LWV 6XEVLGLDULHV

LQYHVWPHQWV

DYDLODEOH IRU VDOH

FKDQJHV LQ

)DLU YDOXH

RI HTXLW\

2WKHU FRPSRQHQWV

HTXLW\

7RWDO

/ 2016 -:' ,QIR/RJLVWLFV 3XEOLF &RPSDQ\ /LPLWHG DQG LWV 6XEVLGLDULHV 6WDWHPHQW RI FDVK IORZV

!6;,

&RQVROLGDWHG ILQDQFLDO VWDWHPHQWV

6HSDUDWH ILQDQFLDO VWDWHPHQWV

<HDU HQGHG 'HFHPEHU

05 (/; 0% #),40 #/,* ,-"/ 1&+$ 1&3&1&"0 3URILW IRU WKH \HDU

+1<:;4,5;: -69 $PRUWLVDWLRQ RQ LQWDQJLEOH DVVHWV XQGHU RSHUDWLQJ DJUHHPHQW

'HSUHFLDWLRQ RQ LQYHVWPHQW SURSHUWLHV

'HSUHFLDWLRQ RQ SODQW DQG HTXLSPHQW

$PRUWLVDWLRQ RQ SUHSDLG UHQWDO H[SHQVHV

$PRUWLVDWLRQ RQ LQWDQJLEOH DVVHWV

5HYHUVDO RI DOORZDQFH IRU LPSDLUPHQW ORVVHV RQ DVVHWV

,QWHUHVW LQFRPH

'LYLGHQG LQFRPH 8QUHDOLVHG JDLQ RQ FXUUHQW LQYHVWPHQWV

6KDUH RI ORVV SURILW RI LQYHVWPHQWV LQ DVVRFLDWHV DQG MRLQW YHQWXUHV

)LQDQFH FRVWV

8QUHDOLVHG JDLQ ORVV RQ H[FKDQJH 5HYHUVDO RI EDG DQG GRXEWIXO GHEWV H[SHQVH

*DLQ RQ GLVSRVDO RI SURSHUW\ SODQW DQG HTXLSPHQW /RVV RQ GLVSRVDO RI RWKHU ORQJ WHUP LQYHVWPHQWV

*DLQ RQ GLVSRVDO RI FXUUHQW LQYHVWPHQWV

/RVV IURP SURYLVLRQ

(PSOR\HH EHQHILW REOLJDWLRQV

,QFRPH WD[ H[SHQVH UHYHQXH

7KH DFFRPSDQ\LQJ QRWHV DUH DQ LQWHJUDO SDUW RI WKHVH ILQDQFLDO VWDWHPHQWV

-:' ,QIR/RJLVWLFV 3XEOLF &RPSDQ\ /LPLWHG DQG LWV 6XEVLGLDULHV 6WDWHPHQW RI FDVK IORZV

!6;,

&RQVROLGDWHG ILQDQFLDO VWDWHPHQWV

6HSDUDWH ILQDQFLDO VWDWHPHQWV

<HDU HQGHG 'HFHPEHU

05 (/; /(5.,: 05 67,9(;05. (::,;: (5+ 30()030;0,: 7UDGH DFFRXQWV UHFHLYDEOH

2WKHU UHFHLYDEOHV

,QYHQWRULHV

2WKHU FXUUHQW DVVHWV

2WKHU QRQ FXUUHQW DVVHWV

7UDGH DFFRXQWV SD\DEOH

2WKHU SD\DEOHV

/RQJ WHUP DGYDQFH LQFRPH UHFHLYHG DQG DFFUXHG UHQWDO H[SHQVHV

2WKHU FXUUHQW OLDELOLWLHV

2WKHU QRQ FXUUHQW OLDELOLWLHV

&DVK JHQHUDWHG IURP RSHUDWLQJ DFWLYLWLHV

(PSOR\HH EHQHILWV SDLG

,QFRPH WD[ SDLG

1HW FDVK IURP RSHUDWLQJ DFWLYLWLHV

,QWHUHVW UHFHLYHG

'LYLGHQG UHFHLYHG

0% #),40 #/,* &+3"01&+$ 1&3&1&"0

3XUFKDVH RI FXUUHQW LQYHVWPHQWV

3XUFKDVH RI RWKHU ORQJ WHUP LQYHVWPHQWV

6DOH RI FXUUHQW LQYHVWPHQWV

6DOH RI RWKHU ORQJ WHUP LQYHVWPHQWV

3XUFKDVH RI LQYHVWPHQW SURSHUWLHV

3XUFKDVH RI SURSHUW\ SODQW DQG HTXLSPHQW

6DOH RI SURSHUW\ SODQW DQG HTXLSPHQW

3XUFKDVH RI LQWDQJLEOH DVVHWV XQGHU RSHUDWLQJ DJUHHPHQW

3UHSDLG UHQWDO H[SHQVHV

3XUFKDVH RI LQWDQJLEOH DVVHWV

,QFUHDVH LQ VKRUW WHUP ORDQ WR UHODWHG SDUW\

5HSD\PHQW RI VKRUW WHUP ORDQV WR UHODWHG SDUW\

,QFUHDVH LQ ORQJ WHUP ORDQV WR UHODWHG SDUW\

5HSD\PHQW RI ORQJ WHUP ORDQV WR UHODWHG SDUW\

,QFUHDVH LQ GHSRVWLV DW ILQDQFLDO LQVWLWXWLRQV SOHGJHG DV FROODWHUDO

3XUFKDVH RI LQYHVWPHQWV LQ DVVRFLDWHV DQG MRLQW YHQWXUHV

3XUFKDVH RI LQYHVWPHQWV LQ VXEVLGLDULHV

6KRUW WHUP ORDQV WR QRQ UHODWHG SDUW\

1HW FDVK XVHG LQ LQYHVWLQJ DFWLYLWLHV

7KH DFFRPSDQ\LQJ QRWHV DUH DQ LQWHJUDO SDUW RI WKHVH ILQDQFLDO VWDWHPHQWV

/ 2016 -:' ,QIR/RJLVWLFV 3XEOLF &RPSDQ\ /LPLWHG DQG LWV 6XEVLGLDULHV 6WDWHPHQW RI FDVK IORZV

!6;,

&RQVROLGDWHG ILQDQFLDO VWDWHPHQWV

6HSDUDWH ILQDQFLDO VWDWHPHQWV

<HDU HQGHG 'HFHPEHU

05 (/; 0% #),40 #/,* #&+ + &+$ 1&3&1&"0 ,QWHUHVW SDLG 'LYLGHQGV SDLG WR RZQHUV RI WKH &RPSDQ\

'LYLGHQGV SDLG WR QRQ FRQWUROOLQJ LQWHUHVW RI VXEVLGLDULHV

,QFUHDVH GHFUHDVH LQ EDQN RYHUGUDIWV DQG VKRUW WHUP ORDQV

3URFHHGV IURP VKRUW WHUP ORDQV IURP QRQ UHODWHG SDUW\

IURP ILQDQFLDO LQVWLWXWLRQV

5HSD\PHQW RI VKRUW WHUP ORDQV IURP QRQ UHODWHG SDUW\

)LQDQFH OHDVH SD\PHQWV

3URFHHGV IURP ORQJ WHUP ORDQV IURP ILQDQFLDO LQVWLWXWLRQV

5HSD\PHQW RI ORQJ WHUP ORDQV IURP ILQDQFLDO LQVWLWXWLRQV

3URFHHGV IURP ORQJ WHUP ORDQV IURP UHODWHG SDUW\

3URFHHGV IURP WKH LVVXDQFH RI RUGLQDU\ VKDUHV DQG SUHPLXP RQ RUGLQDU\ VKDUHV

3URFHHGV IURP WKH LVVXDQFH RI GHEHQWXUHV 3URFHHGV IURP DGGLWLRQDO LQYHVWPHQWV LQ VXEVLGLDULHV RI QRQ FRQWUROOLQJ LQWHUHVWV

1HW LQFUHDVH GHFUHDVH LQ FDVK DQG FDVK HTXLYDOHQWV

&DVK DQG FDVK HTXLYDOHQWV DW -DQXDU\

1HW FDVK IURP XVH LQ ILQDQFLQJ DFWLYLWLHV

&DVK DQG FDVK HTXLYDOHQWV DW 'HFHPEHU

,+ 0% &1"*0 'LYLGHQG UHFHLYDEOHV IURP VXEVLGLDULHV

$FTXLVLWLRQ RI DVVHWV XQGHU ILQDQFH OHDVHV

2XWVWDQGLQJ OLDELOLWLHV DULVLQJ IURP LQYHVWPHQW LQ LQYHVWPHQW SURSHUW\ DQG SODQW DQG HTXLSPHQW 6WRFN GLYLGHQG

&KDQJH LQ IDLU YDOXH RI RWKHU ORQJ WHUP LQYHVWPHQWV

'HILQHG EHQHILW SODQ DFWXDULDO ORVVHV

7KH DFFRPSDQ\LQJ QRWHV DUH DQ LQWHJUDO SDUW RI WKHVH ILQDQFLDO VWDWHPHQWV

-:' ,QIR/RJLVWLFV 3XEOLF &RPSDQ\ /LPLWHG DQG LWV 6XEVLGLDULHV 1RWH WR WKH ILQDQFLDO VWDWHPHQWV )RU WKH \HDU HQGHG 'HFHPEHU 1RWH

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

/ 2016

-:' ,QIR/RJLVWLFV 3XEOLF &RPSDQ\ /LPLWHG DQG LWV 6XEVLGLDULHV 1RWH WR WKH ILQDQFLDO VWDWHPHQWV )RU WKH \HDU HQGHG 'HFHPEHU

7KHVH QRWHV IRUP DQ LQWHJUDO SDUW RI WKH ILQDQFLDO VWDWHPHQWV 7KH ILQDQFLDO VWDWHPHQWV LVVXHG IRU 7KDL VWDWXWRU\ DQG UHJXODWRU\ UHSRUWLQJ SXUSRVHV DUH SUHSDUHG LQ WKH 7KDL ODQJXDJH 7KHVH (QJOLVK ODQJXDJH ILQDQFLDO VWDWHPHQWV KDYH EHHQ SUHSDUHG IURP WKH 7KDL ODQJXDJH VWDWXWRU\ ILQDQFLDO VWDWHPHQWV DQG ZHUH DSSURYHG DQG DXWKRULVHG IRU LVVXH E\ WKH %RDUG RI 'LUHFWRUV RQ )HEUXDU\ *HQHUDO LQIRUPDWLRQ -:' ,QIR/RJLVWLFV 3XEOLF &RPSDQ\ /LPLWHG WKH Â³&RPSDQ\Â´ RU Â³-:',/Â´ LV LQFRUSRUDWHG LQ 7KDLODQG DQG KDV LWV UHJLVWHUHG RIILFH DW .UXQJWKHS .UHHWKD 5RDG .KZDQJ +XDPDUN .KHW %DQJNDSL %DQJNRN 7KDLODQG 7KH &RPSDQ\ ZDV OLVWHG RQ WKH 6WRFN ([FKDQJH RI 7KDLODQG RQ 6HSWHPEHU 7KH &RPSDQ\Â¶V PDMRU VKDUHKROGHUV GXULQJ WKH ILQDQFLDO \HDU ZHUH 0U &KDUYDQLQ %XQGLWNLWVDGD DQG WKH %XQGLNLWVDGD )DPLO\ ZKR RZQHG VKDUHKROGLQJ DV DW 'HFHPEHU 7KH SULQFLSDO DFWLYLWLHV RI WKH &RPSDQ\ VXEVLGLDULHV DVVRFLDWHV DQG MRLQW YHQWXUHV FROOHFWLYHO\ QDPHG DV Â³WKH *URXSÂ´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Â³2SHUDWLQJ DJUHHPHQWÂ´ ZLWK WKH 3RUW $XWKRULW\ RI 7KDLODQG Â³3$7Â´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Â¶V DVVRFLDWHV MRLQW YHQWXUHV DQG VXEVLGLDULHV DV DW 'HFHPEHU DQG DUH JLYHQ LQ 1RWHV DQG

-:' ,QIR/RJLVWLFV 3XEOLF &RPSDQ\ /LPLWHG DQG LWV 6XEVLGLDULHV 1RWH WR WKH ILQDQFLDO VWDWHPHQWV )RU WKH \HDU HQGHG 'HFHPEHU %DVLV RI SUHSDUDWLRQ RI WKH ILQDQFLDO VWDWHPHQWV

1 1"*"+1 ,# ,*-)& + " 7KH ILQDQFLDO VWDWHPHQWV DUH SUHSDUHG LQ DFFRUGDQFH ZLWK 7KDL )LQDQFLDO 5HSRUWLQJ 6WDQGDUGV 7)56 JXLGHOLQHV SURPXOJDWHG E\ WKH )HGHUDWLRQ RI $FFRXQWLQJ 3URIHVVLRQV Â³)$3Â´ DQG DSSOLFDEOH UXOHV DQG UHJXODWLRQV RI WKH 7KDL 6HFXULWLHV DQG ([FKDQJH &RPPLVVLRQ 7KH )$3 KDV LVVXHG QHZ DQG UHYLVHG 7)56 HIIHFWLYH IRU DQQXDO DFFRXQWLQJ SHULRGV EHJLQQLQJ RQ RU DIWHU -DQXDU\ 7KH LQLWLDO DSSOLFDWLRQ RI WKHVH QHZ DQG UHYLVHG 7)56 KDV UHVXOWHG LQ FKDQJHV LQ FHUWDLQ RI WKH *URXSÂ¶V DFFRXQWLQJ SROLFLHV 7KHVH FKDQJHV KDYH QR PDWHULDO HIIHFW RQ WKH ILQDQFLDO VWDWHPHQWV

,Q DGGLWLRQ WR WKH DERYH QHZ DQG UHYLVHG 7)56 WKH )$3 KDV LVVXHG D QXPEHU RI RWKHU QHZ DQG UHYLVHG 7)56 ZKLFK DUH HIIHFWLYH IRU DQQXDO ILQDQFLDO SHULRGV EHJLQQLQJ RQ RU DIWHU -DQXDU\ DQG KDYH QRW EHHQ DGRSWHG LQ WKH SUHSDUDWLRQ RI WKHVH ILQDQFLDO VWDWHPHQWV 7KRVH QHZ DQG UHYLVHG 7)56 WKDW DUH UHOHYDQW WR WKH *URXSÂ¶V RSHUDWLRQV DUH GLVFORVHG LQ 1RWH

0&0 ,# *" 02/"*"+1 7KH ILQDQFLDO VWDWHPHQWV KDYH EHHQ SUHSDUHG RQ WKH KLVWRULFDO FRVW EDVLV H[FHSW IRU WKH IROORZLQJ LWHPV 1"*0 " 02/"*"+1 0"0 )LQDQFLDO DVVHWV KHOG IRU WUDGLQJ )DLU YDOXH $YDLODEOH IRU VDOH ILQDQFLDO DVVHWV )DLU YDOXH 'HILQHG EHQHILW OLDELOLW\ 3UHVHQW YDOXH RI WKH GHILQHG EHQHILW REOLJDWLRQ OLPLWHG DV H[SODLQHG LQ 1RWH Q

2+ 1&,+ ) +! -/"0"+1 1&,+ 2//"+ 6 7KH ILQDQFLDO VWDWHPHQWV DUH SUHVHQWHG LQ 7KDL %DKW ZKLFK LV WKH &RPSDQ\Â¶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

,QIRUPDWLRQ DERXW DVVXPSWLRQ DQG HVWLPDWLRQ XQFHUWDLQWLHV WKDW KDYH D VLJQLILFDQW ULVN RI UHVXOWLQJ LQ D PDWHULDO DGMXVWPHQWV WR WKH DPRXQWV UHFRJQLVHG LQ WKH ILQDQFLDO VWDWHPHQWV LV LQFOXGHG LQ WKH IROORZLQJ QRWHV 1RWHV N ,PSDLUPHQW WHVW NH\ DVVXPSWLRQV XQGHUO\LQJ UHFRYHUDEOH DPRXQWV DQG 1RWHV S 3URYLVLRQV DQG FRQWLQJHQW OLDELOLWLHV

/ 2016

-:' ,QIR/RJLVWLFV 3XEOLF &RPSDQ\ /LPLWHG DQG LWV 6XEVLGLDULHV 1RWH WR WKH ILQDQFLDO VWDWHPHQWV )RU WKH \HDU HQGHG 'HFHPEHU ,(:<9,4,5; 6- -(09 =(3<,

$ QXPEHU RI WKH *URXSÂ¶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

x x x

/HYHO TXRWHG SULFHV XQDGMXVWHG LQ DFWLYH PDUNHWV IRU LGHQWLFDO DVVHWV RU OLDELOLWLHV /HYHO LQSXWV RWKHU WKDQ TXRWHG SULFHV LQFOXGHG LQ /HYHO WKDW DUH REVHUYDEOH IRU WKH DVVHW RU OLDELOLW\ HLWKHU GLUHFWO\ L H DV SULFHV RU LQGLUHFWO\ L H GHULYHG IURP SULFHV /HYHO LQSXWV IRU WKH DVVHW RU OLDELOLW\ WKDW DUH QRW EDVHG RQ REVHUYDEOH PDUNHW GDWD XQREVHUYDEOH LQSXWV

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

x 1RWH ,QYHVWPHQW SURSHUW\ DQG x 1RWH )LQDQFLDO LQVWUXPHQWV

6LJQLILFDQW DFFRXQWLQJ SROLFLHV 7KH DFFRXQWLQJ SROLFLHV VHW RXW EHORZ KDYH EHHQ DSSOLHG FRQVLVWHQWO\ WR DOO SHULRGV SUHVHQWHG LQ WKHVH ILQDQFLDO VWDWHPHQWV 0&0 ,# ,+0,)&! 1&,+ 7KH FRQVROLGDWHG ILQDQFLDO VWDWHPHQWV UHODWH WR WKH &RPSDQ\ DQG LWV VXEVLGLDULHV WRJHWKHU UHIHUUHG WR DV WKH Â³*URXSÂ´ DQG WKH *URXSÂ¶V LQWHUHVWV LQ DVVRFLDWHV DQG MRLQW YHQWXUHV <:05,:: *64)05(;065:

7KH *URXS DSSOLHV WKH DFTXLVLWLRQ PHWKRG IRU DOO EXVLQHVV FRPELQDWLRQV ZKHQ FRQWURO LV WUDQVIHUUHG WR WKH *URXS RWKHU WKDQ WKRVH ZLWK HQWLWLHV XQGHU FRPPRQ FRQWURO

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

*RRGZLOO LV PHDVXUHG DV WKH IDLU YDOXH RI WKH FRQVLGHUDWLRQ WUDQVIHUUHG LQFOXGLQJ WKH UHFRJQLVHG DPRXQW RI DQ\ QRQ FRQWUROOLQJ LQWHUHVW LQ WKH DFTXLUHH OHVV WKH QHW UHFRJQLVHG DPRXQW JHQHUDOO\ IDLU YDOXH RI WKH LGHQWLILDEOH DVVHWV DFTXLUHG DQG OLDELOLWLHV DVVXPHG DOO PHDVXUHG DV RI WKH DFTXLVLWLRQ GDWH

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

:KHQ VKDUH EDVHG SD\PHQW DZDUGV H[FKDQJHG UHSODFHPHQW DZDUGV IRU DZDUGV KHOG E\ WKH DFTXLUHHÂ¶V HPSOR\HHV DFTXLUHHÂ¶V DZDUGV UHODWH WR SDVW VHUYLFHV WKHQ D SDUW RI WKH PDUNHW EDVHG PHDVXUH RI WKH DZDUGV UHSODFHG LV LQFOXGHG LQ WKH FRQVLGHUDWLRQ WUDQVIHUUHG ,I WKH\ UHTXLUH IXWXUH VHUYLFHV WKHQ WKH GLIIHUHQFH EHWZHHQ WKH DPRXQW LQFOXGHG LQ FRQVLGHUDWLRQ WUDQVIHUUHG DQG WKH PDUNHW EDVHG PHDVXUH RI WKH UHSODFHPHQW DZDUGV LV WUHDWHG DV SRVW FRPELQDWLRQ FRPSHQVDWLRQ FRVW

$ FRQWLQJHQW OLDELOLW\ RI WKH DFTXLUHH LV DVVXPHG LQ D EXVLQHVV FRPELQDWLRQ RQO\ LI VXFK D OLDELOLW\ UHSUHVHQWV D SUHVHQW REOLJDWLRQ DQG DULVHV IURP D SDVW HYHQW DQG LWV IDLU YDOXH FDQ EH PHDVXUHG UHOLDEO\

7UDQVDFWLRQ FRVWV WKDW WKH *URXS LQFXUV LQ FRQQHFWLRQ ZLWK D EXVLQHVV FRPELQDWLRQ VXFK DV OHJDO IHHV DQG RWKHU SURIHVVLRQDO DQG FRQVXOWLQJ IHHV DUH H[SHQVHG DV LQFXUUHG *8<0:0;065: -964 ,5;0;0,: <5+,9 *64465 *65;963 %XVLQHVV FRPELQDWLRQV DULVLQJ IURP WUDQVIHUV RI LQWHUHVWV LQ HQWLWLHV WKDW DUH XQGHU WKH FRQWURO RI WKH VKDUHKROGHU WKDW FRQWUROV WKH *URXS DUH DFFRXQWHG IRU DV LI WKH DFTXLVLWLRQ KDG RFFXUUHG DW WKH EHJLQQLQJ RI WKH HDUOLHVW FRPSDUDWLYH SHULRG SUHVHQWHG RU LI ODWHU DW WKH GDWH WKDW FRPPRQ FRQWURO ZDV HVWDEOLVKHG IRU WKLV SXUSRVH FRPSDUDWLYHV DUH UHYLVHG 7KH DVVHWV DQG OLDELOLWLHV DFTXLUHG DUH UHFRJQLVHG DW WKH FDUU\LQJ DPRXQWV UHFRJQLVHG SUHYLRXVO\ LQ WKH *URXS FRQWUROOLQJ VKDUHKROGHUÂ¶V FRQVROLGDWHG ILQDQFLDO VWDWHPHQWV 7KH FRPSRQHQWV RI HTXLW\ RI WKH DFTXLUHG HQWLWLHV DUH DGGHG WR WKH VDPH FRPSRQHQWV ZLWKLQ *URXS HTXLW\ $Q\ FDVK SDLG IRU WKH DFTXLVLWLRQ LV UHFRJQLVHG GLUHFWO\ LQ HTXLW\

%<):0+0(90,:

6XEVLGLDULHV DUH HQWLWLHV FRQWUROOHG E\ WKH *URXS 7KH *URXS FRQWUROV DQ HQWLW\ ZKHQ LW LV H[SRVHG WR RU KDV ULJKWV WR YDULDEOH UHWXUQV IURP LWV LQYROYHPHQW ZLWK WKH HQWLW\ DQG KDV WKH DELOLW\ WR DIIHFW WKRVH UHWXUQV WKURXJK LWV SRZHU RYHU WKH HQWLW\ 7KH ILQDQFLDO VWDWHPHQWV RI VXEVLGLDULHV DUH LQFOXGHG LQ WKH FRQVROLGDWHG ILQDQFLDO VWDWHPHQWV IURP WKH GDWH RQ ZKLFK FRQWURO FRPPHQFHV XQWLO WKH GDWH RQ ZKLFK FRQWURO FHDVHV

/ 2016

-:' ,QIR/RJLVWLFV 3XEOLF &RPSDQ\ /LPLWHG DQG LWV 6XEVLGLDULHV 1RWH WR WKH ILQDQFLDO VWDWHPHQWV )RU WKH \HDU HQGHG 'HFHPEHU !65 *65;963305. 05;,9,:;: $W WKH DFTXLVLWLRQ GDWH WKH *URXS PHDVXUHV DQ\ QRQ FRQWUROOLQJ LQWHUHVW DW LWV SURSRUWLRQDWH LQWHUHVW LQ WKH LGHQWLILDEOH QHW DVVHWV RI WKH DFTXLUHH &KDQJHV LQ WKH *URXSÂ¶V LQWHUHVW LQ D VXEVLGLDU\ WKDW GR QRW UHVXOW LQ D ORVV RI FRQWURO DUH DFFRXQWHG IRU DV HTXLW\ WUDQVDFWLRQV 6:: 6- *65;963 :KHQ WKH *URXS ORVHV FRQWURO RYHU D VXEVLGLDU\ LW GHUHFRJQLVHV WKH DVVHWV DQG OLDELOLWLHV RI WKH VXEVLGLDU\ DQG DQ\ UHODWHG QRQ FRQWUROOLQJ LQWHUHVWV DQG RWKHU FRPSRQHQWV RI HTXLW\ $Q\ UHVXOWLQJ JDLQ RU ORVV LV UHFRJQLVHG LQ SURILW RU ORVV $Q\ LQWHUHVW UHWDLQHG LQ WKH IRUPHU VXEVLGLDU\ LV PHDVXUHG DW IDLU YDOXH ZKHQ FRQWURO LV ORVW 5;,9,:;: 05 ,8<0;@ (**6<5;,+ 05=,:;,,:

7KH *URXSÂ¶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Â¶V VKDUH RI WKH SURILW RU ORVV DQG RWKHU FRPSUHKHQVLYH LQFRPH RI HTXLW\Â±DFFRXQWHG LQYHVWHHV XQWLO WKH GDWH RQ ZKLFK VLJQLILFDQW LQIOXHQFH RU MRLQW FRQWURO FHDVHV &9(5:(*;065: ,30405(;,+ 65 *65:630+(;065 ,QWUD JURXS EDODQFHV DQG WUDQVDFWLRQV DQG DQ\ XQUHDOLVHG LQFRPH RU H[SHQVHV DULVLQJ IURP LQWUD JURXS WUDQVDFWLRQV DUH HOLPLQDWHG 8QUHDOLVHG JDLQV DULVLQJ IURP WUDQVDFWLRQV ZLWK HTXLW\ DFFRXQWHG LQYHVWHHV DUH HOLPLQDWHG DJDLQVW WKH LQYHVWPHQW WR WKH H[WHQW RI WKH *URXSÂ¶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

-:' ,QIR/RJLVWLFV 3XEOLF &RPSDQ\ /LPLWHG DQG LWV 6XEVLGLDULHV 1RWH WR WKH ILQDQFLDO VWDWHPHQWV )RU WKH \HDU HQGHG 'HFHPEHU

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

/ 2016

-:' ,QIR/RJLVWLFV 3XEOLF &RPSDQ\ /LPLWHG DQG LWV 6XEVLGLDULHV 1RWH WR WKH ILQDQFLDO VWDWHPHQWV )RU WKH \HDU HQGHG 'HFHPEHU #

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

-:' ,QIR/RJLVWLFV 3XEOLF &RPSDQ\ /LPLWHG DQG LWV 6XEVLGLDULHV 1RWH WR WKH ILQDQFLDO VWDWHPHQWV )RU WKH \HDU HQGHG 'HFHPEHU %

$,*3(::0-0*(;065 ;6 7967,9;@ 73(5; (5+ ,8<074,5; :KHQ WKH XVH RI D SURSHUW\ FKDQJHV VXFK WKDW LW LV UHFODVVLILHG DV SURSHUW\ SODQW DQG HTXLSPHQW LWV ERRN YDOXH DW WKH GDWH RI UHFODVVLILFDWLRQ EHFRPHV LWV FRVW /,-"/16 -) +1 +! ".2&-*"+1 $,*6.50;065 (5+ 4,(:<9,4,5; ">5,+ (::,;: 3URSHUW\ SODQW DQG HTXLSPHQW DUH VWDWHG DW FRVW OHVV DFFXPXODWHG GHSUHFLDWLRQ DQG LPSDLUPHQW ORVVHV &RVW LQFOXGHV H[SHQGLWXUH WKDW LV GLUHFWO\ DWWULEXWDEOH WR WKH DFTXLVLWLRQ RI WKH DVVHW 7KH FRVW RI VHOI FRQWUXFWHG DVVHWV LQFOXGHV WKH FRVW RI PDWHULDOV DQG GLUHFW ODERXU DQ\ RWKHU FRVWV GLUHFWO\ DWWULEXWDEOH WR EULQJLQJ WKH DVVHWV WR D ZRUNLQJ FRQGLWLRQ IRU WKHLU LQWHQGHG XVH WKH FRVWV RI GLVPDQWOLQJ DQG UHPRYLQJ WKH LWHPV DQG UHVWRULQJ WKH VLWH RQ ZKLFK WKH\ DUH ORFDWHG DQG FDSLWDOLVHG ERUURZLQJ FRVWV 3XUFKDVHG VRIWZDUH WKDW LV LQWHJUDO WR WKH IXQFWLRQDOLW\ RI WKH UHODWHG HTXLSPHQW LV FDSLWDOLVHG DV SDUW RI WKDW HTXLSPHQW :KHQ SDUWV RI DQ LWHP RI SURSHUW\ SODQW DQG HTXLSPHQW KDYH GLIIHUHQW XVHIXO OLYHV WKH\ DUH DFFRXQWHG IRU DV VHSDUDWH LWHPV PDMRU FRPSRQHQWV RI SURSHUW\ SODQW DQG HTXLSPHQW *DLQV DQG ORVVHV RQ GLVSRVDO RI DQ LWHP RI SURSHUW\ SODQW DQG HTXLSPHQW DUH GHWHUPLQHG E\ FRPSDULQJ WKH SURFHHGV IURP GLVSRVDO ZLWK WKH FDUU\LQJ DPRXQW RI SURSHUW\ SODQW DQG HTXLSPHQW DQG DUH UHFRJQLVHG QHW ZLWKLQ RWKHU LQFRPH LQ SURILW RU ORVV

,(:,+ (::,;: /HDVHV LQ WHUPV RI ZKLFK WKH *URXS VXEVWDQWLDOO\ DVVXPHV DOO WKH ULVN DQG UHZDUGV RI RZQHUVKLS DUH FODVVLILHG DV ILQDQFH OHDVHV 3URSHUW\ SODQW DQG HTXLSPHQW DFTXLUHG E\ ZD\ RI ILQDQFH OHDVHV LV FDSLWDOLVHG DW WKH ORZHU RI LWV IDLU YDOXH DQG WKH SUHVHQW YDOXH RI WKH PLQLPXP OHDVH SD\PHQWV DW WKH LQFHSWLRQ RI WKH OHDVH OHVV DFFXPXODWHG GHSUHFLDWLRQ DQG LPSDLUPHQW ORVVHV /HDVH SD\PHQWV DUH DSSRUWLRQHG EHWZHHQ WKH ILQDQFH FKDUJHV DQG UHGXFWLRQ RI WKH OHDVH OLDELOLW\ VR DV WR DFKLHYH D FRQVWDQW UDWH RI LQWHUHVW RQ WKH UHPDLQLQJ EDODQFH RI WKH OLDELOLW\ )LQDQFH FKDUJHV DUH FKDUJHG GLUHFWO\ WR WKH SURILW RU ORVV $,*3(::0-0*(;065 ;6 05=,:;4,5; 7967,9;@ :KHQ WKH XVH RI D SURSHUW\ FKDQJHV IURP RZQHU RFFXSLHG WR LQYHVWPHQW SURSHUW\ WKH SURSHUW\ LV UHFODVVLILHG DV LQYHVWPHQW SURSHUW\ DW ERRN YDOXH %<):,8<,5; *6:;: 7KH FRVW RI UHSODFLQJ D SDUW RI DQ LWHP RI SURSHUW\ SODQW DQG HTXLSPHQW LV UHFRJQLVHG LQ WKH FDUU\LQJ DPRXQW RI WKH LWHP LI LW LV SUREDEOH WKDW WKH IXWXUH HFRQRPLF EHQHILWV HPERGLHG ZLWKLQ WKH SDUW ZLOO IORZ WR WKH *URXS DQG LWV FRVW FDQ EH PHDVXUHG UHOLDEO\ 7KH FDUU\LQJ DPRXQW RI WKH UHSODFHG SDUW LV GHUHFRJQLVHG 7KH FRVWV RI WKH GD\ WR GD\ VHUYLFLQJ RI SURSHUW\ SODQW DQG HTXLSPHQW DUH UHFRJQLVHG LQ SURILW RU ORVV DV LQFXUUHG ,79,*0(;065 'HSUHFLDWLRQ LV FDOFXODWHG EDVHG RQ WKH GHSUHFLDEOH DPRXQW ZKLFK LV WKH FRVW RI DQ DVVHW RU RWKHU DPRXQW VXEVWLWXWHG IRU FRVW OHVV LWV UHVLGXDO YDOXH

/ 2016

-:' ,QIR/RJLVWLFV 3XEOLF &RPSDQ\ /LPLWHG DQG LWV 6XEVLGLDULHV 1RWH WR WKH ILQDQFLDO VWDWHPHQWV )RU WKH \HDU HQGHG 'HFHPEHU

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

%<):,8<,5; ,?7,5+0;<9, 6XEVHTXHQW H[SHQGLWXUH LV FDSLWDOLVHG RQO\ ZKHQ LW LQFUHDVHV WKH IXWXUH HFRQRPLF EHQHILWV HPERGLHG LQ WKH VSHFLILF DVVHW WR ZKLFK LW UHODWHV $OO RWKHU H[SHQGLWXUH LQFOXGLQJ H[SHQGLWXUH RQ LQWHUQDOO\ JHQHUDWHG JRRGZLOO LV UHFRJQLVHG LQ SURILW RU ORVV DV LQFXUUHG 469;0:(;065 $PRUWLVDWLRQ LV EDVHG RQ WKH FRVW RI WKH DVVHW RU RWKHU DPRXQW VXEVWLWXWHG IRU FRVW OHVV LWV UHVLGXDO YDOXH $PRUWLVDWLRQ LV UHFRJQLVHG LQ SURILW RU ORVV RQ D VWUDLJKW OLQH EDVLV RYHU WKH HVWLPDWHG XVHIXO OLYHV RI LQWDQJLEOH DVVHWV RWKHU WKDQ JRRGZLOO IURP WKH GDWH WKDW WKH\ DUH DYDLODEOH IRU XVH VLQFH WKLV PRVW FORVHO\ UHIOHFWV WKH H[SHFWHG SDWWHUQ RI FRQVXPSWLRQ RI WKH IXWXUH HFRQRPLF EHQHILWV HPERGLHG LQ WKH DVVHW

-:' ,QIR/RJLVWLFV 3XEOLF &RPSDQ\ /LPLWHG DQG LWV 6XEVLGLDULHV 1RWH WR WKH ILQDQFLDO VWDWHPHQWV )RU WKH \HDU HQGHG 'HFHPEHU 7KH HVWLPDWHG XVHIXO OLYHV IRU WKH FXUUHQW DQG FRPSDUDWLYH SHULRGV DUH DV IROORZV y \HDUV 6RIWZDUH OLFHQVHV &XVWRPHU UHODWLRQVKLS \HDUV $UUDQJHPHQW XQGHU 2SHUDWLQJ DJUHHPHQW \HDUV $PRUWLVDWLRQ PHWKRGV XVHIXO OLYHV DQG UHVLGXDO YDOXHV DUH UHYLHZHG DW HDFK ILQDQFLDO \HDU HQG DQG DGMXVWHG LI DSSURSULDWH 7KH HVWLPDWHG XVHIXO OLIH RI DQ LQWDQJLEOH DVVHWV LQ WKH DUUDQJHPHQW XQGHU 2SHUDWLQJ DJUHHPHQW LV WKH SHULRG IURP ZKHQ WKH *URXS LV DEOH WR FKDUJH IRU WKH VHUYLFH FKDUJH IURP WKH VHUYLFH SURYLGHG XQGHU WKH 2SHUDWLQJ DJUHHPHQW WR WKH HQG RI WKH DJUHHPHQW SHULRG '

(

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Â¶V DVVHWV DUH UHYLHZHG DW HDFK UHSRUWLQJ GDWH WR GHWHUPLQH ZKHWKHU WKHUH LV DQ\ LQGLFDWLRQ RI LPSDLUPHQW ,I DQ\ VXFK LQGLFDWLRQ H[LVWV WKH DVVHWVÂ¶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

7KH UHFRYHUDEOH DPRXQW RI DYDLODEOH IRU VDOH ILQDQFLDO DVVHWV LV FDOFXODWHG E\ UHIHUHQFH WR WKH IDLU YDOXH 7KH UHFRYHUDEOH DPRXQW RI D QRQ ILQDQFLDO DVVHW LV WKH JUHDWHU RI WKH DVVHWÂ¶V YDOXH LQ XVH DQG IDLU YDOXH OHVV FRVWV WR VHOO ,Q DVVHVVLQJ YDOXH LQ XVH WKH HVWLPDWHG IXWXUH FDVK IORZV DUH GLVFRXQWHG WR WKHLU SUHVHQW YDOXH XVLQJ D SUH WD[ GLVFRXQW UDWH WKDW UHIOHFWV FXUUHQW PDUNHW DVVHVVPHQWV RI WKH WLPH YDOXH RI PRQH\ DQG WKH ULVNV VSHFLILF WR WKH DVVHW )RU DQ DVVHW WKDW GRHV QRW JHQHUDWH FDVK LQIORZV ODUJHO\ LQGHSHQGHQW RI WKRVH IURP RWKHU DVVHWV WKH UHFRYHUDEOH DPRXQW LV GHWHUPLQHG IRU WKH FDVK JHQHUDWLQJ XQLW WR ZKLFK WKH DVVHW EHORQJV

/ 2016

-:' ,QIR/RJLVWLFV 3XEOLF &RPSDQ\ /LPLWHG DQG LWV 6XEVLGLDULHV 1RWH WR WKH ILQDQFLDO VWDWHPHQWV )RU WKH \HDU HQGHG 'HFHPEHU

)

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Â¶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Â¶V QHW REOLJDWLRQ LQ UHVSHFW RI GHILQHG EHQHILW SODQV LV FDOFXODWHG VHSDUDWHO\ IRU HDFK SODQ E\ HVWLPDWLQJ WKH DPRXQW RI IXWXUH EHQHILW WKDW HPSOR\HHV KDYH HDUQHG LQ WKH FXUUHQW DQG SULRU SHULRGV GLVFRXQWLQJ WKDW DPRXQW

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

/ 2016

-:' ,QIR/RJLVWLFV 3XEOLF &RPSDQ\ /LPLWHG DQG LWV 6XEVLGLDULHV 1RWH WR WKH ILQDQFLDO VWDWHPHQWV )RU WKH \HDU HQGHG 'HFHPEHU 5=,:;4,5 ;: /

5HYHQXH IURP LQYHVWPHQWV FRPSULVHV GLYLGHQG DQG LQWHUHVW LQFRPH IURP LQYHVWPHQWV DQG EDQN GHSRVLWV 0=0+,5+ 05*64, 'LYLGHQG LQFRPH LV UHFRJQLVHG LQ SURILW RU ORVV RQ WKH GDWH WKH *URXSÂ¶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Â¶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

-:' ,QIR/RJLVWLFV 3XEOLF &RPSDQ\ /LPLWHG DQG LWV 6XEVLGLDULHV 1RWH WR WKH ILQDQFLDO VWDWHPHQWV )RU WKH \HDU HQGHG 'HFHPEHU

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Â¶V &(2 WKH FKLHI RSHUDWLQJ GHFLVLRQ PDNHU LQFOXGH LWHPV GLUHFWO\ DWWULEXWDEOH WR D VHJPHQW DV ZHOO DV WKRVH WKDW FDQ EH DOORFDWHG RQ D UHDVRQDEOH EDVLV

5HODWHG SDUWLHV )RU WKH SXUSRVHV RI WKHVH ILQDQFLDO VWDWHPHQWV SDUWLHV DUH FRQVLGHUHG WR EH UHODWHG WR WKH *URXS LI WKH *URXS KDV WKH DELOLW\ GLUHFWO\ RU LQGLUHFWO\ WR FRQWURO RU MRLQW FRQWURO WKH SDUW\ RU H[HUFLVH VLJQLILFDQW LQIOXHQFH RYHU WKH SDUW\ LQ PDNLQJ ILQDQFLDO DQG RSHUDWLQJ GHFLVLRQV RU YLFH YHUVD RU ZKHUH WKH *URXS DQG WKH SDUW\ DUH VXEMHFW WR FRPPRQ FRQWURO RU FRPPRQ VLJQLILFDQW LQIOXHQFH 5HODWHG SDUWLHV PD\ EH LQGLYLGXDOV RU RWKHU HQWLWLHV

/ 2016

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

3ULFLQJ SROLFLHV &RVW SOXV PDUJLQ 0DUNHW DQG FRQWUDFWXDOO\ DJUHHG SULFHV 0DUNHW SULFH 5LJKW WR UHFHLYH GLYLGHQG 5DWH DV PXWXDOO\ DJUHHG ZLWK UHIHUHQFH LQWHUHVW UDWHV TXRWHG E\ ILQDQFLDO LQVWLWXWLRQV %RRN YDOXH SOXV PDUJLQ

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

/ 2016

-:' ,QIR/RJLVWLFV 3XEOLF &RPSDQ\ /LPLWHG DQG LWV 6XEVLGLDULHV 1RWH WR WKH ILQDQFLDO VWDWHPHQWV )RU WKH \HDU HQGHG 'HFHPEHU

1%"/ /" "&3 )"0 #/,* /") 1"! - /1&"0 6XEVLGLDULHV -RLQW YHQWXUHV 2WKHU UHODWHG SDUWLHV 7RWDO , +0 1, /") 1"! - /1&"0

&RQVROLGDWHG 6HSDUDWH ILQDQFLDO VWDWHPHQWV ILQDQFLDO VWDWHPHQWV 05 ;/6<:(5+ (/; &RQVROLGDWHG 6HSDUDWH ILQDQFLDO VWDWHPHQWV ILQDQFLDO VWDWHPHQWV 05 ;/6<:(5+ (/;

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

-:' ,QIR/RJLVWLFV 3XEOLF &RPSDQ\ /LPLWHG DQG LWV 6XEVLGLDULHV 1RWH WR WKH ILQDQFLDO VWDWHPHQWV )RU WKH \HDU HQGHG 'HFHPEHU 1%"/ - 6 )"0 /") 1"! - /1&"0

6XEVLGLDULHV $VVRFLDWHV .H\ PDQDJHPHQW SHUVRQQHO 2WKHU UHODWHG SDUWLHV 7RWDO

&RQVROLGDWHG 6HSDUDWH ILQDQFLDO VWDWHPHQWV ILQDQFLDO VWDWHPHQWV 05 ;/6<:(5+ (/;

, +0 #/,* /") 1"! - /1&"0

&RQVROLGDWHG 6HSDUDWH ILQDQFLDO VWDWHPHQWV ILQDQFLDO VWDWHPHQWV 05 ;/6<:(5+ (/;

,+$ 1"/* ), +0 2WKHU UHODWHG SDUW\ 7RWDO $V DW 'HFHPEHU ORQJ WHUP ORDQV IURP UHODWHG SDUWLHV EHDU LQWHUHVW DW WKH UDWH RI SHU DQQXP 7,9 (55<4 0RYHPHQWV GXULQJ WKH \HDUV HQGHG 'HFHPEHU RI ORDQV WR UHODWHG SDUWLHV ZHUH DV IROORZV , +0 #/,* /") 1"! - /1&"0 &RQVROLGDWHG 6HSDUDWH ILQDQFLDO VWDWHPHQWV ILQDQFLDO VWDWHPHQWV 05 ;/6<:(5+ (/; %,/1 1"/* ), +0 6XEVLGLDU\ $W -DQXDU\ ,QFUHDVH 'HFUHDVH

$W 'HFHPEHU

,+$ 1"/* ), +0 2WKHU UHODWHG SDUWLHV $W -DQXDU\ ,QFUHDVH 'HFUHDVH $W 'HFHPEHU

&$+&#& +1 $/""*"+10 4&1% /") 1"! - /1&"0 -"/ 1&+$ )" 0" $/""*"+10 (9 7(92 9,5;(3 (.9,,4,5; 2Q -DQXDU\ $XWR /RJLF &R /WG HQWHUHG LQWR DQ RSHUDWLQJ OHDVH DJUHHPHQW IRU FDU SDUN UHQWDO ZLWK D UHODWHG FRPSDQ\ IRU D SHULRG RI WKUHH \HDUV 7KH PRQWKO\ UHQWDO H[SHQVH LV %DKW PLOOLRQ 2Q )HEUXDU\ $XWR /RJLF &R /WG HQWHUHG LQWR WKH DQ RSHUDWLQJ OHDVH DJUHHPHQW IRU FDU SDUN UHQWDO ZLWK D UHODWHG FRPSDQ\ IRU D SHULRG RI WKUHH \HDUV 7KH PRQWKO\ UHQWDO H[SHQVH LV %DKW PLOOLRQ

/ 2016

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

4033065 , +0 $/""*"+1 ), +0 #/,*

-3. &ROG 6WRUDJH &R /WG HQWHUHG LQWR D ORDQ DJUHHPHQW IRU ERUURZLQJ IURP .LQJILVKHU +ROGLQJV /LPLWHG D UHODWHG FRPSDQ\ IRU WKH FUHGLW IDFLOLW\ RI %DKW PLOOLRQ 7KLV ORDQ EHDUV LQWHUHVW DW WKH UDWH RI SHU DQQXP ZLWK D UHSD\PHQW JUDFH SHULRG IRU PRQWKV 7KH ORDQ SULQFLSDO LV UHSD\DEOH LQ LQVWDOODPHQWV HYHU\ WKUHH PRQWKV DQG DQ LQLWLDO UHSD\PHQW VWDUWV LQ 0DUFK $V DW 'HFHPEHU WKH RXWVWDQGLQJ ORDQ ZDV %DKW PLOOLRQ (/; 4033065

&DVK DQG FDVK HTXLYDOHQWV &DVK RQ KDQG &DVK DW EDQNV FXUUHQW DFFRXQWV &DVK DW EDQNV VDYLQJV DFFRXQWV 7RWDO

&RQVROLGDWHG 6HSDUDWH ILQDQFLDO VWDWHPHQWV ILQDQFLDO VWDWHPHQWV 05 ;/6<:(5+ (/;

-:' ,QIR/RJLVWLFV 3XEOLF &RPSDQ\ /LPLWHG DQG LWV 6XEVLGLDULHV 1RWH WR WKH ILQDQFLDO VWDWHPHQWV )RU WKH \HDU HQGHG 'HFHPEHU 7KH FXUUHQF\ GHQRPLQDWLRQ RI FDVK DQG FDVK HTXLYDOHQWV DV DW 'HFHPEHU ZHUH DV IROORZV &RQVROLGDWHG 6HSDUDWH ILQDQFLDO VWDWHPHQWV ILQDQFLDO VWDWHPHQWV 05 ;/6<:(5+ (/; 7KDL %DKW 7+% DQG RWKHU IXQFWLRQDO FXUUHQF\ RI VXEVLGLDULHV 8QLWHG 6WDWHV 'ROODUV 86' 2WKHU 7RWDO

2WKHU LQYHVWPHQWV &RQVROLGDWHG 6HSDUDWH ILQDQFLDO VWDWHPHQWV ILQDQFLDO VWDWHPHQWV 05 ;/6<:(5+ (/; &XUUHQW LQYHVWPHQW 8QLW WUXVWV KHOG IRU WUDGLQJ 1%"/ ),+$ 1"/* &+3"01*"+10 (TXLW\ VHFXULWLHV DYDLODEOH IRU VDOH 2WKHUV QRQ PDUNHWDEOH HTXLW\ 6HFXULWLHV 7RWDO 0RYHPHQWV GXULQJ WKH \HDUV HQGHG 'HFHPEHU RI PDUNHWDEOH VHFXULWLHV ZHUH DV IROORZV &RQVROLGDWHG 6HSDUDWH ILQDQFLDO VWDWHPHQWV ILQDQFLDO VWDWHPHQWV 05 ;/6<:(5+ (/; 2//"+1 &+3"01*"+1 7UDGLQJ VHFXULWLHV $W -DQXDU\ 3XUFKDVHV GXULQJ WKH \HDU

6DOHV GXULQJ WKH \HDU 9DOXDWLRQ DGMXVWPHQW $W 'HFHPEHU 1%"/ ),+$ 1"/* &+3"01*"+10 $W -DQXDU\ 3XUFKDVHV GXULQJ WKH \HDU 9DOXDWLRQ DGMXVWPHQW $W 'HFHPEHU

/ 2016

-:' ,QIR/RJLVWLFV 3XEOLF &RPSDQ\ /LPLWHG DQG LWV 6XEVLGLDULHV 1RWH WR WKH ILQDQFLDO VWDWHPHQWV )RU WKH \HDU HQGHG 'HFHPEHU 7KH FXUUHQF\ GHQRPLQDWLRQ RI RWKHU LQYHVWPHQWV DV DW 'HFHPEHU ZDV DV IROORZV &RQVROLGDWHG 6HSDUDWH ILQDQFLDO VWDWHPHQWV ILQDQFLDO VWDWHPHQWV 05 ;/6<:(5+ (/; 7KDL %DKW 7+% &DPERGLDQ 5LHO .+5 7RWDO

7UDGH DFFRXQWV UHFHLYDEOH !6;, 5HODWHG SDUWLHV 2WKHU SDUWLHV 7RWDO ,:: DOORZDQFH IRU GRXEWIXO DFFRXQWV 1HW 5HYHUVDO RI EDG DQG GRXEWIXO GHEWV H[SHQVH IRU WKH \HDU

$JLQJ DQDO\VHV IRU WUDGH DFFRXQWV UHFHLYDEOH ZHUH DV IROORZV 5HODWHG SDUWLHV :LWKLQ FUHGLW WHUPV 2YHUGXH /HVV WKDQ PRQWKV PRQWKV PRQWKV 2WKHU SDUWLHV :LWKLQ FUHGLW WHUPV 2YHUGXH /HVV WKDQ PRQWKV PRQWKV PRQWKV 2YHU PRQWKV ,:: DOORZDQFH IRU GRXEWIXO DFFRXQWV 1HW

&RQVROLGDWHG 6HSDUDWH ILQDQFLDO VWDWHPHQWV ILQDQFLDO VWDWHPHQWV 05 ;/6<:(5+ (/;

-:' ,QIR/RJLVWLFV 3XEOLF &RPSDQ\ /LPLWHG DQG LWV 6XEVLGLDULHV 1RWH WR WKH ILQDQFLDO VWDWHPHQWV )RU WKH \HDU HQGHG 'HFHPEHU

7KH QRUPDO FUHGLW WHUPV JUDQWHG E\ WKH *URXS UDQJH IURP GD\V WR GD\V 7KH FXUUHQF\ GHQRPLQDWLRQ RI WUDGH DFFRXQWV UHFHLYDEOH DV DW 'HFHPEHU ZDV DV IROORZV &RQVROLGDWHG 6HSDUDWH ILQDQFLDO VWDWHPHQWV ILQDQFLDO VWDWHPHQWV 05 ;/6<:(5+ (/; 7KDL %DKW 7+% 8QLWHG 6WDWHV 'ROODUV 86' 0\DQPDU .\DWV 00. 7RWDO

2WKHU UHFHLYDEOHV !6;, 5HODWHG SDUWLHV 2WKHU SDUWLHV 3UHSDLG H[SHQVHV $GYDQFH SD\PHQW WR VXSSOLHUV $GYDQFH SD\PHQW IRU FRQVWUXFWLRQ 5HYHQXH GHSDUWPHQW UHFHLYHEOH 2WKHUV 7RWDO

&RQVROLGDWHG 6HSDUDWH ILQDQFLDO VWDWHPHQWV ILQDQFLDO VWDWHPHQWV 05 ;/6<:(5+ (/;

,QYHVWPHQWV LQ DVVRFLDWHV DQG MRLQW YHQWXHV $W -DQXDU\ 6KDUH RI QHW ORVV SURILW RI DVVRFLDWHV DQG MRLQW YHQWXUHV $FTXLVLWLRQV $W 'HFHPEHU

&RQVROLGDWHG ILQDQFLDO VWDWHPHQWV 05 ;/6<:(5+ (/;

*8<0:0;065: 69 ;/, @,(9 ,5+,+

,*,4),9 2Q 0D\ -:' $VLD &R /WG GLUHFW VXEVLGLDU\ RI WKH &RPSDQ\ PDGH DQ LQYHVWPHQW LQ RI WKH LVVXHG DQG SDLG XS FDSLWDO RI /LQN $VLD /RJLVWLFV &R /WG LQFRUSRUDWHG LQ 7KDLODQG IRU D FRQVLGHUDWLRQ RI %DKW PLOOLRQ

/ 2016

-:' ,QIR/RJLVWLFV 3XEOLF &RPSDQ\ /LPLWHG DQG LWV 6XEVLGLDULHV 1RWH WR WKH ILQDQFLDO VWDWHPHQWV )RU WKH \HDU HQGHG 'HFHPEHU 2Q 0D\ -:' $VLD +ROGLQJ 3ULYDWH /WG Â³-:'$+Â´ DQ LQGLUHFW VXEVLGLDU\ RI WKH &RPSDQ\ PDGH DQ DGGLWLRQDO LQYHVWPHQW LQ (0 /RJLVWLFV :DUHKRXVLQJ 3WG /WG IRU D FRQVLGHUDWLRQ RI 86' HTXLYDOHQW WR %DKW PLOOLRQ RUGLQDU\ VKDUHV ZLWK 86' SDU YDOXH 69 ;/, @,(9 ,5+,+

,*,4),9 2Q -XQH DQG 6HSWHPEHU -:'$+ PDGH DQ DGGLWLRQDO LQYHVWPHQW LQ (0 /RJLVWLFV :DUHKRXVLQJ 3WG /WG IRU D FRQVLGHUDWLRQ RI 86' HTXLYDOHQW WR %DKW PLOOLRQ RUGLQDU\ VKDUHV ZLWK 86' SDU YDOXH

7\SH RI EXVLQHVV

&RXQWU\ RI LQFRUSRUDWLRQ 2ZQHUVKLS LQWHUHVW

3DLG XS FDSLWDO 86' 86' 86' 86' 86' 86' %DKW PLOOLRQ

&RVW

(TXLW\ 05 ;/6<:(5+ (/;

&RQVROLGDWHG ILQDQFLDO VWDWHPHQWV

1RQH RI WKH *URXSÂ¶V DVVRFLDWHV DQG MRLQW YHQWXUHV DUH SXEOLFO\ OLVWHG DQG FRQVHTXHQWO\ GR QRW KDYH SXEOLVKHG SULFH TXRWDWLRQV

$VVRFLDWHV -9. 1DJD 0RYHUV /WG 7UDQVSRUWDWLRQ VHUYLFH &DPERGLD -9. 1DJD 0RYHUV /'$ 7UDQVSRUWDWLRQ VHUYLFH 7LPRU /HVWH -RLQW YHQWXUHV ,QYHVWPHQW (0 /RJLVWLFV KROGLQJ 6LQJDSRUH :DUHKRXVLQJ 3WH /WG /LQN $VLD /RJLVWLFV 7UDQVSRUWDWLRQ &R /WG VHUYLFH 7KDL 7RWDO

'LYLGHQG LQFRPH

,QYHVWPHQWV LQ DVVRFLDWHV DQG MRLQW YHQWXUHV DV DW 'HFHPEHU DQG DQG GLYLGHQG LQFRPH IURP WKRVH LQYHVWPHQWV IRU WKH \HDUV HQGHG ZHUH DV IROORZV

1RWH WR WKH ILQDQFLDO VWDWHPHQWV )RU WKH \HDU HQGHG 'HFHPEHU

-:' ,QIR/RJLVWLFV 3XEOLF &RPSDQ\ /LPLWHG DQG LWV 6XEVLGLDULHV

/ 2016

-:' ,QIR/RJLVWLFV 3XEOLF &RPSDQ\ /LPLWHG DQG LWV 6XEVLGLDULHV 1RWH WR WKH ILQDQFLDO VWDWHPHQWV )RU WKH \HDU HQGHG 'HFHPEHU ,QYHVWPHQW LQ VXEVLGLDULHV $W -DQXDU\ $FTXLVLWLRQV $W 'HFHPEHU

6HSDUDWH ILQDQFLDO VWDWHPHQWV 05 ;/6<:(5+ (/;

*8<0:0;065: 69 ;/, @,(9 ,5+,+

,*,4),9 'XULQJ WKH &RPSDQ\ PDGH DGGLWLRQDO LQYHVWPHQWV LQ WKH VXEVLGLDULHV DV IROORZV x %HQMDSRUQ /DQG &R /WG RI QHZO\ LVVXHG DQG SDLG XS VKDUH FDSLWDO RI %DKW PLOOLRQ RUGLQDU\ VKDUHV ZLWK %DKW SDU YDOXH x -:' $VLD &R /WG Â³-:'$Â´ RI QHZO\ LVVXHG DQG SDLG XS RI QHZO\ LVVXHG RI RUGLQDU\ VKDUHV DW %DKW SDU YDOXH IRU D FRQVLGHUDWLRQ RI %DKW PLOOLRQ x -:' $VLD &R /WG SDLG XS RI QHZO\ LVVXHG RI RUGLQDU\ VKDUHV DW %DKW SDU YDOXH IRU D FRQVLGHUDWLRQ RI %DKW PLOOLRQ x -:' 3DFLILF /DQG &R /WG SDLG XS RI QHZO\ LVVXHG RI RUGLQDU\ VKDUHV DW %DKW SDU YDOXH IRU D FRQVLGHUDWLRQ RI %DKW PLOOLRQ 2Q 0D\ WKH VXEVLGLDU\ -:'$ PDGH DQ DGGLWLRQDO LQYHVWPHQW LQ UHVSHFW RI WKH VKDUH FDSLWDO LQFUHDVH RI -:' $VLD +ROGLQJ 3ULYDWH /WG Â³-:'$+Â´ IRU QHZO\ LVVXHG RI RUGLQDU\ VKDUHV DW 6*' SDU YDOXH IRU D FRQVLGHUDWLRQ RI 6*' HTXLYDOHQW WR %DKW PLOOLRQ 7KH VXEVLGLDU\ SDLG DOO VXEVFULSWLRQV IRU WKH QHZ VKDUH 2Q 0D\ DQG $XJXVW WKH LQGLUHFW VXEVLGLDU\ Â³-:'$+Â´ PDGH DQ DGGLWLRQDO LQYHVWPHQW LQ UHVSHFW RI WKH VKDUH FDSLWDO LQFUHDVH RI -&0 /RJLVWLFV :DUHKRXVLQJ 3ULYDWH /LPLWHG Â³-&0Â´ IRU QHZO\ LVVXHG RI RUGLQDU\ VKDUHV DW 6*' SDU YDOXH IRU D FRQVLGHUDWLRQ RI RI VKDUHV YDOXH RU 6*' HTXLYDOHQW WR %DKW PLOOLRQ 2Q 6HSWHPEHU WKH LQGLUHFW VXEVLGLDU\ -:'$+ PDGH DQ DGGLWLRQDO LQYHVWPHQW LQ UHVSHFW RI WKH VKDUH FDSLWDO LQFUHDVH RI -DVLD /RJLVWLFV 0\DQPDU &R /WG RI QHDUO\ LVVXHG RI RUGLQDU\ VKDUHV DW 86' SDU YDOXH IRU D FRQVLGHUDWLRQ RI 86' HTXLYDOHQW WR %DKW PLOOLRQ 69 ;/, 7,906+ ,5+,+

,*,4),9 'XULQJ WKH &RPSDQ\ PDGH DGGLWLRQDO LQYHVWPHQW LQ RUGLQDU\ VKDUHV RI VXEVLGLDULHV DV IROORZV x -:' 7UDQVSRUW 7KDLODQG &R /WG RI QHZO\ LVVXHG RI RUGLQDU\ VKDUHV DW %DKW SDU YDOXH IRU D FRQVLGHUDWLRQ RI %DKW PLOOLRQ x 'DWDVDIH &R /7G RI QHZO\ LVVXHG RI RUGLQDU\ VKDUHV DW %DKW SDU YDOXH IRU D FRQVLGHUDWLRQ RI %DKW PLOOLRQ x -:' $VLD &R /WG RI QHZO\ LVVXHG RI RUGLQDU\ VKDUHV DW %DKW SDU YDOXH IRU D FRQVLGHUDWLRQ RI %DKW PLOOLRQ x -:' 3DFLILF &R /WG RI QHZO\ LVVXHG RI RUGLQDU\ VKDUHV DW %DKW SDU YDOXH IRU D FRQVLGHUDWLRQ RI %DKW PLOOLRQ

-:' ,QIR/RJLVWLFV 3XEOLF &RPSDQ\ /LPLWHG DQG LWV 6XEVLGLDULHV 1RWH WR WKH ILQDQFLDO VWDWHPHQWV )RU WKH \HDU HQGHG 'HFHPEHU

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

7\SH RI EXVLQHVV

&/" 1 02 0&!& /&"0 %HQMDSRUQ /DQG /HDVH RI ODQG DQG &R /WG EXLOGLQJV $XWR /RJLF &R /WG <DUG PDQDJHPHQW DQG UHODWHG VHUYLFHV 'DWDVDIH &R /WG 5HFRUG DQG LQIRUPDWLRQ PDQDJHPHQW -9. ,QWHUQDWLRQDO 3DFNLQJ GRPHVWLF 0RYHUV &R /WG DQG RYHUVHDV PRYLQJ VHUYLFHV -:' $VLD &R /WG /RJLVWLFV WUDQVSRUWDWLRQ DQG ZDUHKRXVH PDQDJHPHQW SRUW DQG SDFNLQJ VHUYLFHV '\QDPLF ,7 6HOOLQJ DQG 6ROXWLRQV &R /WG LQVWDOODWLRQ RI HOHFWURQLFV GHYLFHV VRIWZDUH DSSOLFDWLRQV DQG QHWZRUN VHUYLFHV

&RXQWU\ RI LQFRUSRUDWLRQ 7KDLODQG 7KDLODQG 7KDLODQG 7KDLODQG 7KDLODQG 7KDLODQG

2ZQHUVKLS LQWHUHVW 3DLG XS FDSLWDO %DKW %DKW PLOOLRQ PLOOLRQ %DKW %DKW PLOOLRQ PLOOLRQ %DKW %DKW PLOOLRQ PLOOLRQ %DKW %DKW PLOOLRQ PLOOLRQ %DKW %DKW PLOOLRQ PLOOLRQ %DKW %DKW PLOOLRQ PLOOLRQ

&RVW

,PSDLUPHQW $W FRVW QHW 05 ;/6<:(5+ (/;

6HSDUDWH ILQDQFLDO VWDWHPHQWV

,QYHVWPHQWV LQ VXEVLGLDULHV DV DW 'HFHPEHU DQG DQG GLYLGHQG LQFRPH IURP WKRVH LQYHVWPHQWV IRU WKH \HDUV HQGHG ZHUH DV IROORZV

1RWH WR WKH ILQDQFLDO VWDWHPHQWV )RU WKH \HDU HQGHG 'HFHPEHU

-:' ,QIR/RJLVWLFV 3XEOLF &RPSDQ\ /LPLWHG DQG LWV 6XEVLGLDULHV

'LYLGHQG LQFRPH

/ 2016

-:' 7UDQVSRUW 7KDLODQG &R /WG -DSDF +ROGLQJ &R /WG -:' 3DFLILF &R /WG -:' 3DFLILF /DQG &R /WG 7RWDO

&RXQWU\ RI 2ZQHUVKLS 7\SH RI EXVLQHVV LQFRUSRUDWLRQ LQWHUHVW 3DLG XS FDSLWDO &RVW ,Q ODQG DQG RYHUVHDV WUDQVSRUWDWLRQ %DKW %DKW VHUYLFHV 7KDLODQG PLOOLRQ PLOOLRQ ,QYHVWPHQW %DKW %DKW KROGLQJ 7KDLODQG PLOOLRQ PLOOLRQ &ROG VWRUDJH %DKW %DKW VHUYLFH 7KDLODQG PLOOLRQ PLOOLRQ :DUHKRXVLQJ %DKW %DKW VHUYLFH 7KDLODQG PLOOLRQ PLOOLRQ

1RWH WR WKH ILQDQFLDO VWDWHPHQWV )RU WKH \HDU HQGHG 'HFHPEHU

-:' ,QIR/RJLVWLFV 3XEOLF &RPSDQ\ /LPLWHG DQG LWV 6XEVLGLDULHV

,PSDLUPHQW $W FRVW QHW 05 ;/6<:(5+ (/;

6HSDUDWH ILQDQFLDO VWDWHPHQWV

'LYLGHQG LQFRPH

2ZQHUVKLS LQWHUHVW

%DKW PLOOLRQ %DKW PLOOLRQ %DKW PLOOLRQ 86' 86' 86' 86' 86'

3DLG XS FDSLWDO

&RVW

6HSDUDWH ILQDQFLDO VWDWHPHQWV ,PSDLUPHQW $W FRVW QHW 05 ;/6<:(5+ (/;

1RQH RI WKH &RPSDQ\Â¶V VXEVLGLDULHV DUH SXEOLFO\ OLVWHG DQG FRQVHTXHQWO\ GR QRW KDYH SXEOLVKHG SULFH TXRWDWLRQ

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

1RWH WR WKH ILQDQFLDO VWDWHPHQWV )RU WKH \HDU HQGHG 'HFHPEHU

-:' ,QIR/RJLVWLFV 3XEOLF &RPSDQ\ /LPLWHG DQG LWV 6XEVLGLDULHV

'LYLGHQG LQFRPH

/ 2016

-:' ,QIR/RJLVWLFV 3XEOLF &RPSDQ\ /LPLWHG DQG LWV 6XEVLGLDULHV 1RWH WR WKH ILQDQFLDO VWDWHPHQWV )RU WKH \HDU HQGHG 'HFHPEHU ,QWDQJLEOH DVVHWV XQGHU RSHUDWLQJ DJUHHPHQW ,01 $W -DQXDU\ $GGLWLRQ 7UDQVIHU $W 'HFHPEHU DQG -DQXDU\ $GGLWLRQ 7UDQVIHU $W 'HFHPEHU *,/1&0 1&,+ $W -DQXDU\ $PRUWLVDWLRQ IRU WKH \HDU $W 'HFHPEHU DQG -DQXDU\ $PRUWLVDWLRQ IRU WKH \HDU $W 'HFHPEHU "1 ,,( 3 )2" $W -DQXDU\ $W 'HFHPEHU DQG -DQXDU\ $W 'HFHPEHU

&RQVROLGDWHG 6HSDUDWH ILQDQFLDO VWDWHPHQWV ,QWDQJLEOH DVVHWV $VVHWV XQGHU XQGHU RSHUDWLQJ FRQVWUXFWLRQ DJUHHPHQW DQG LQVWDOODWLRQ 7RWDO 05 ;/6<:(5+ (/;

/ 2016

-:' ,QIR/RJLVWLFV 3XEOLF &RPSDQ\ /LPLWHG DQG LWV 6XEVLGLDULHV 1RWH WR WKH ILQDQFLDO VWDWHPHQWV )RU WKH \HDU HQGHG 'HFHPEHU ,QYHVWPHQW SURSHUWLHV

&RQVROLGDWHG ILQDQFLDO VWDWHPHQWV /DQG DQG %XLOGLQJ DQG $VVHWV XQGHU ODQG EXLOGLQJ FRQVWUXFWLRQ LPSURYHPHQWV LPSURYHPHQWV DQG LQVWDOODWLRQ 05 ;/6<:(5+ (/;

,01 $W -DQXDU\ $GGLWLRQ 7UDQVIHU $W 'HFHPEHU DQG -DQXDU\ $GGLWLRQ 7UDQVIHU $W 'HFHPEHU

"-/" & 1&,+ +! &*- &/*"+1 ,# ),00"0 $W -DQXDU\ 'HSUHFLDWLRQ FKDUJH IRU WKH \HDU 5HYHUVDO RI LPSDLUPHQW ORVVHV $W 'HFHPEHU DQG -DQXDU\ 'HSUHFLDWLRQ FKDUJH IRU WKH \HDU 5HYHUVDO RI LPSDLUPHQW ORVVHV $W 'HFHPEHU "1 ,,( 3 )2" $W -DQXDU\ $W 'HFHPEHU DQG -DQXDU\ $W 'HFHPEHU

7RWDO

$V DW 'HFHPEHU WKH *URXSÂ¶V LQYHVWPHQW SURSHUWLHV ZLWK D QHW ERRN YDOXH RI %DKW PLOOLRQ (/; 4033065 ZHUH FROODWHUDO WR VHFXUH WKH FUHGLW IDFLOLWLHV SURYLGHG E\ WKH ILQDQFLDO LQVWLWXWLRQV ,QYHVWPHQW SURSHUWLHV FRPSULVH D QXPEHU RI XQXVHG ODQG DQG FRPPHUFLDO SURSHUWLHV WKDW DUH OHDVHG WR WKLUG SDUWLHV (DFK RI WKH OHDVHV FRQWDLQV DQ LQLWLDO QRQ FDQFHOODEOH SHULRG RI \HDUV 6XEVHTXHQW UHQHZDOV DUH QHJRWLDWHG ZLWK WKH OHDVH 0HDVXUHPHQW RI IDLU YDOXH

(09 =(3<, /0,9(9*/@ )DLU YDOXHV RI WKH *URXSÂ¶V LQYHVWPHQW SURSHUWLHV ZHUH GHWHUPLQHG E\ H[WHUQDO LQGHSHQGHQW SURSHUW\ YDOXHUV KDYLQJ DSSURSULDWH UHFRJQLVHG SURIHVVLRQDO TXDOLILFDWLRQV DQG UHFHQW H[SHULHQFH LQ WKH ORFDWLRQV DQG FDWHJRU\ RI WKH SURSHUW\ EHLQJ YDOXHG 7KH LQGHSHQGHQW YDOXHV SURYLGHG WKH IDLU YDOXH RI WKH *URXSÂ¶V LQYHVWPHQW SURSHUW\ RQ DQ DQQXDO EDVLV H[FHSW FRQVWUXFWLRQ LQ SURJUHVV 7KH *URXS ZDV QRW DVVHVVHG VLQFH WKHVH DVVHWV KDYH EHHQ XQGHU FRQVWUXFWLRQ 7KH IDLU YDOXH PHDVXUHPHQW IRU LQYHVWPHQW SURSHUW\ KDV EHHQ FDWHJRULVHG DV D /HYHO IDLU YDOXH EDVHG RQ WKH LQSXWV WR WKH YDOXDWLRQ WHFKQLTXH XVHG

-:' ,QIR/RJLVWLFV 3XEOLF &RPSDQ\ /LPLWHG DQG LWV 6XEVLGLDULHV 1RWH WR WKH ILQDQFLDO VWDWHPHQWV )RU WKH \HDU HQGHG 'HFHPEHU $V DW 'HFHPEHU WKH IDLU YDOXHV RI WKH *URXSÂ¶V LQYHVWPHQW SURSHUWLHV LQ WKH FRQVROLGDWHG ILQDQFLDO VWDWHPHQWV ZKLFK DVVHVVHG E\ PDUNHW FRPSDQVLRQ DSSURDFK DQG LQFRPH DSSURDFK LV %DKW PLOOLRQ (/; 4033065 7KH DVVHWV WKDW ZHUH QRW DVVHVVHG LQFOXGHG LQ WKH FRQVROLGDWHG ILQDQFLDO VWDWHPHQWV DPRXQWLQJ WR %DKW PLOOLRQ (/;

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Â¶V MXGJHPHQW DQG EDVHG RQ WKH SDVW H[SHULHQFHV DQG EXVLQHVV SODQ DV ZHOO DV WKH IXWXUH SUHGLFWLRQ WKDW LV EHOLHYHG WR EH UHDVRQDEOH LQ WKH SUHVHQW VLWXDWLRQ &KDQJHV LQ WKH LQIRUPDWLRQ RU QHZ QRWLFHDEOH LQIRUPDWLRQ PD\ OHDG WR WKH FKDQJH LQ WKH DVVXPSWLRQV DQG WKH GLVFRXQW UDWH IRU WKH HVWLPDWLRQ RI WKH GLVFRXQWHG IXWXUH FDVK IORZV %DVHG RQ WKH LPSDLUPHQW WHVW WKH UHFRYHUDEOH DPRXQW ZDV KLJKHU WKDQ LWV FDUU\LQJ DPRXQW 7KHUHIRUH WKH *URXS GLG QRW UHFRQJQLVH LPSDLUPHQW ORVV

,01 $W -DQXDU\ $GGLWLRQV 7UDQVIHUV 7UDQVIHUUHG WR LQWDQJLEOH DVVHWV 'LVSRVDOV $W 'HFHPEHU DQG -DQXDU\ $GGLWLRQV 7UDQVIHUV 'LVSRVDOV $W 'HFHPEHU

&RQVROLGDWHG ILQDQFLDO VWDWHPHQWV 2IILFH %XLOGLQJV DQG 0DFKLQHU\ IXUQLWXUH DQG 7RROLQJ DQG /DQG DQG ODQG EXLOGLQJ DQG RWKHU ZDUHKRXVH LPSURYHPHQWV LPSURYHPHQWV HTXLSPHQW HTXLSPHQW 9HKLFOHV HTXLSPHQW 05 ;/6<:(5+ (/;

1RWH WR WKH ILQDQFLDO VWDWHPHQWV )RU WKH \HDU HQGHG 'HFHPEHU 3URSHUW\ SODQW DQG HTXLSPHQW

-:' ,QIR/RJLVWLFV 3XEOLF &RPSDQ\ /LPLWHG DQG LWV 6XEVLGLDULHV

$VVHWV XQGHU FRQVWUXFWLRQ DQG LQVWDOODWLRQ

7RWDO

/ 2016

"-/" & 1&,+ $W -DQXDU\ 'HSUHFLDWLRQ FKDUJH IRU WKH \HDU 'LVSRVDOV $W 'HFHPEHU DQG -DQXDU\ 'HSUHFLDWLRQ FKDUJH IRU WKH \HDU 'LVSRVDOV $W 'HFHPEHU "1 ,,( 3 )2" $W -DQXDU\ 2ZQHG DVVHWV $VVHWV XQGHU ILQDQFH OHDVHV

/DQG DQG ODQG LPSURYHPHQWV

1RWH WR WKH ILQDQFLDO VWDWHPHQWV )RU WKH \HDU HQGHG 'HFHPEHU &RQVROLGDWHG ILQDQFLDO VWDWHPHQWV 2IILFH %XLOGLQJV DQG 0DFKLQHU\ IXUQLWXUH DQG 7RROLQJ DQG EXLOGLQJ DQG RWKHU ZDUHKRXVH LPSURYHPHQWV HTXLSPHQW HTXLSPHQW 9HKLFOHV HTXLSPHQW 05 ;/6<:(5+ (/;

-:' ,QIR/RJLVWLFV 3XEOLF &RPSDQ\ /LPLWHG DQG LWV 6XEVLGLDULHV

$VVHWV XQGHU FRQVWUXFWLRQ DQG LQVWDOODWLRQ

7RWDO

&RQVROLGDWHG ILQDQFLDO VWDWHPHQWV 2IILFH $VVHWV XQGHU 0DFKLQHU\ %XLOGLQJV DQG IXUQLWXUH DQG 7RROLQJ DQG FRQVWUXFWLRQ DQG /DQG DQG ODQG EXLOGLQJ RWKHU ZDUHKRXVH DQG LPSURYHPHQWV LPSURYHPHQWV HTXLSPHQW HTXLSPHQW 9HKLFOHV HTXLSPHQW LQVWDOODWLRQ 05 ;/6<:(5+ (/;

7RWDO

&DSLWDOLVHG ERUURZLQJ FRVWV UHODWLQJ WR WKH DFTXLVLWLRQ RI WKH SODQW DQG HTXLSPHQW DPRXQWHG WR %DKW WKRXVDQG (/; 4033065 ZLWK D FDSLWDOLVDWLRQ UDWH DW WKH UDWH RI

$V DW 'HFHPEHU WKH *URXSÂ¶V SURSHUW\ SODQW DQG HTXLSPHQW ZLWK D QHW ERRN YDOXH RI %DKW PLOOLRQ (/; 4033065 ZHUH FROODWHUDO WR VHFXUH WKH FUHGLW IDFLOLWLHV SURYLGHG E\ WKH ILQDQFLDO LQVWLWXWLRQV 7KH JURVV DPRXQW RI WKH *URXSÂ¶V IXOO\ GHSUHFLDWHG SODQW DQG HTXLSPHQW WKDW ZDV VWLOO LQ XVH DV DW 'HFHPEHU DPRXQWHG WR %DKW PLOOLRQ (/; 4033065

"1 ,,( 3 )2" $W 'HFHPEHU DQG -DQXDU\ 2ZQHG DVVHWV $VVHWV XQGHU ILQDQFH OHDVHV $W 'HFHPEHU 2ZQHG DVVHWV $VVHWV XQGHU ILQDQFH OHDVHV

1RWH WR WKH ILQDQFLDO VWDWHPHQWV )RU WKH \HDU HQGHG 'HFHPEHU

-:' ,QIR/RJLVWLFV 3XEOLF &RPSDQ\ /LPLWHG DQG LWV 6XEVLGLDULHV

/ 2016

,01 $W -DQXDU\ $GGLWLRQV 7UDQVIHUV 7UDQVIHUUHG WR LQWDQJLEOH DVVHWV 'LVSRVDOV $W 'HFHPEHU DQG -DQXDU\ $GGLWLRQV 7UDQVIHUV 'LVSRVDOV $W 'HFHPEHU "-/" & 1&,+ $W -DQXDU\ 'HSUHFLDWLRQ FKDUJH IRU WKH \HDU 'LVSRVDOV $W 'HFHPEHU DQG -DQXDU\ 'HSUHFLDWLRQ FKDUJH IRU WKH \HDU 'LVSRVDOV $W 'HFHPEHU

1RWH WR WKH ILQDQFLDO VWDWHPHQWV )RU WKH \HDU HQGHG 'HFHPEHU 6HSDUDWH ILQDQFLDO VWDWHPHQWV $VVHWV XQGHU 2IILFH FRQVWUXFWLRQ IXUQLWXUH DQG 7RROLQJ DQG %XLOGLQJV DQG 0DFKLQHU\ ZDUHKRXVH DQG RWKHU EXLOGLQJ DQG LPSURYHPHQWV HTXLSPHQW HTXLSPHQW 9HKLFOHV HTXLSPHQW LQVWDOODWLRQ 05 ;/6<:(5+ (/;

-:' ,QIR/RJLVWLFV 3XEOLF &RPSDQ\ /LPLWHG DQG LWV 6XEVLGLDULHV

7RWDO

%XLOGLQJV DQG EXLOGLQJ LPSURYHPHQWV

0DFKLQHU\ DQG HTXLSPHQW

6HSDUDWH ILQDQFLDO VWDWHPHQWV 2IILFH IXUQLWXUH DQG 7RROLQJ DQG RWKHU ZDUHKRXVH HTXLSPHQW 9HKLFOHV HTXLSPHQW 05 ;/6<:(5+ (/;

$VVHWV XQGHU FRQVWUXFWLRQ DQG LQVWDOODWLRQ

7RWDO

2Q $SULO WKH &RPSDQ\Â¶V HTXLSPHQW XVHG IRU KDQGOLQJ FDUJR FRQWDLQHU ZDV IXOO\ GDPDJHG GXH WR ILUH ZLWK D FDUU\LQJ DPRXQW RI %DKW PLOOLRQ 2Q $XJXVW WKH ORVV VXUYH\RU KDV FRQILUPHG ZLWK WKH VHWWOHPHQW LQ UHVSHFW RI LQVXUDQFH FODLP IRU HTXLSPHQW GDPDJH ORVVHV RI %DKW PLOOLRQ UHVXOWLQJ IURP WKH ILUH 6XEVHTXHQWO\ WKH &RPSDQ\ UHFHLYHG WKH FRPSHQVDWLRQ SD\PHQW LQ 6HSWHPEHU

7KH JURVV DPRXQW RI WKH &RPSDQ\Â¶V IXOO\ GHSUHFLDWHG SODQW DQG HTXLSPHQW WKDW ZDV VWLOO LQ XVH DV DW 'HFHPEHU DPRXQWHG WR %DKW PLOOLRQ (/; 4033065 &DSLWDOLVHG ERUURZLQJ FRVWV UHODWLQJ WR WKH DFTXLVLWLRQ RI WKH SODQW DQG HTXLSPHQW LQ DPRXQWHG WR %DKW PLOOLRQ ZLWK D FDSLWDOLVDWLRQ UDWH DW WKH UDWH RI

"1 ,,( 3 )2" $W -DQXDU\ 2ZQHG DVVHWV $VVHWV XQGHU ILQDQFH OHDVHV $W 'HFHPEHU DQG -DQXDU\ 2ZQHG DVVHWV $VVHWV XQGHU ILQDQFH OHDVHV $W 'HFHPEHU 2ZQHG DVVHWV $VVHWV XQGHU ILQDQFH OHDVHV

1RWH WR WKH ILQDQFLDO VWDWHPHQWV )RU WKH \HDU HQGHG 'HFHPEHU

-:' ,QIR/RJLVWLFV 3XEOLF &RPSDQ\ /LPLWHG DQG LWV 6XEVLGLDULHV

/ 2016

-:' ,QIR/RJLVWLFV 3XEOLF &RPSDQ\ /LPLWHG DQG LWV 6XEVLGLDULHV 1RWH WR WKH ILQDQFLDO VWDWHPHQWV )RU WKH \HDU HQGHG 'HFHPEHU

/(5., 05 (**6<5;05. ,:;04(;065 'XULQJ WKH *URXS KDV UHYLHZHG XVDJH DQG FXUUHQW FRQGLWLRQ RI DVVHWV WR GHWHUPLQH DQ DSSURSULDWHQHVV RI WKH HVWLPDWHG XVHIXO OLIH DQG UHVLGXDO YDOXH RI WKH DVVHWV $V D UHVXOW WKH *URXS FKDQJHG WKH HVWLPDWHG XVHIXO OLIH DQG UHVLGXDO YDOXH RI FHUWDLQ EXLOGLQJ DQG EXLOGLQJ LPSURYHPHQW PDFKLQHU\ DQG HTXLSPHQW DQG YHKLFOHV 7KH HIIHFW RI WKLV FKDQJH UHVXOWHG WR GHSUHFLDWLRQ H[SHQVH RI WKH *URXS IRU WKH \HDU HQGHG 'HFHPEHU GHFUHDVHG E\ %DKW PLOOLRQ

,QWHUHVW EHDULQJ OLDELOLWLHV

!6;, 2//"+1 %DQN RYHUGUDIWV 6HFXUHG 6KRUW WHUP ORDQV IURP ILQDQFLDO LQVWLWXWLRQV 6HFXUHG %DQN RYHUGUDIWV DQG VKRUW WHUP ORDQV IURP ILQDQFLDO LQVWLWXWLRQV &XUUHQW SRUWLRQ RI ORQJ WHUP ORDQV IURP ILQDQFLDO LQVWLWXWLRQV 6HFXUHG &XUUHQW SRUWLRQ RI ORQJ WHUP ORDQV IURP UHODWHG SDUWLHV 8QVHFXUHG

&XUUHQW SRUWLRQ RI ILQDQFH OHDVH OLDELOLWLHV 7RWDO FXUUHQW LQWHUHVW EHDULQJ OLDELOLWLHV ,+ 2//"+1 'HEHQWXUH 8QVHFXUHG /RQJ WHUP ORDQV IURP ILQDQFLDO LQVWLWXWLRQV 6HFXUHG /RQJ WHUP ORDQV IURP UHODWHG SDUWLHV 8QVHFXUHG /RQJ WHUP ORDQV )LQDQFH OHDVH OLDELOLWLHV 7RWDO QRQ FXUUHQW LQWHUHVW EHDULQJ OLDELOLWLHV *UDQG WRWDO

&RQVROLGDWHG ILQDQFLDO 6HSDUDWH ILQDQFLDO VWDWHPHQWV VWDWHPHQWV 05 ;/6<:(5+ (/;

/ 2016

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

&RQVROLGDWHG ILQDQFLDO 6HSDUDWH ILQDQFLDO VWDWHPHQWV VWDWHPHQWV 05 ;/6<:(5+ (/;

7KH GHWDLOV RI ORQJ WHUP ORDQV IURP ILQDQFLDO LQVWLWXWLRQV DV DW 'HFHPEHU ZHUH DV IROORZV /RDQ IDFLOLW\ *UDFH SHULRG /RQJ WHUP ORDQV RI WKH &RPSDQ\ D /RDQ IDFLOLW\ RI 86' /RQJ WHUP ORDQV RI VXEVLGLDULHV ,51(7695 (5+ 6 ;+ D /RDQ IDFLOLW\ RI %DKW PLOOLRQ E /RDQ IDFLOLW\ RI %DKW PLOOLRQ

,QWHUHVW UDWH 7,9 (55<4 /LERU

0/5

/RDQ SULQFLSOH UHSD\PHQW 7RWDO LQVWDOOPHQWV RI 86' HDFK &RPPHQFLQJ IURP 'HFHPEHU 7RWDO LQVWDOOPHQWV RI %DKW PLOOLRQ HDFK &RPPHQFLQJ IURP 0DUFK 7RWDO LQVWDOOPHQWV SHULRG RI %DKW PLOOLRQ HDFK SHULRG RI %DKW PLOOLRQ HDFK &RPPHQFLQJ IURP 6HSWHPEHU

/ 2016

-:' ,QIR/RJLVWLFV 3XEOLF &RPSDQ\ /LPLWHG DQG LWV 6XEVLGLDULHV 1RWH WR WKH ILQDQFLDO VWDWHPHQWV )RU WKH \HDU HQGHG 'HFHPEHU

/RDQ IDFLOLW\ F /RDQ IDFLOLW\ RI %DKW PLOOLRQ

G /RDQ IDFLOLW\ RI %DKW PLOOLRQ

H /RDQ IDFLOLW\ RI %DKW PLOOLRQ

<;6 6.0* 6 ;+ D /RDQ IDFLOLW\ RI %DKW PLOOLRQ

E /RDQ IDFLOLW\ RI %DKW PLOOLRQ

*UDFH SHULRG

F /RDQ IDFLOLW\ RI %DKW PLOOLRQ

/RDQ SULQFLSOH UHSD\PHQW 7RWDO LQVWDOOPHQWV RI %DKW PLOOLRQ HDFK &RPPHQFLQJ IURP -XO\ 7RWDO LQVWDOOPHQWV RI %DKW PLOOLRQ HDFK &RPPHQFLQJ IURP 6HSWHPEHU 7RWDO LQVWDOOPHQWV RI %DKW PLOOLRQ HDFK &RPPHQFLQJ IURP 6HSWHPEHU 7RWDO LQVWDOOPHQWV RI %DKW PLOOLRQ HDFK DQG WKH ODVW LQVWDOOPHQW RI %DKW PLOOLRQ &RPPHQFLQJ IURP )HEUXDU\ 7RWDO LQVWDOOPHQWV RI %DKW PLOOLRQ HDFK &RPPHQFLQJ IURP 0DUFK 7RWDO LQVWDOOPHQWV SHULRG RI %DKW PLOOLRQ HDFK SHULRG RI %DKW PLOOLRQ HDFK SHULRG RI %DKW PLOOLRQ HDFK SHULRG RI %DKW PLOOLRQ HDFK &RPPHQFLQJ IURP 2FWREHU 7RWDO LQVWDOOPHQWV RI %DKW PLOOLRQ HDFK &RPPHQFLQJ IURP 0D\ 7RWDO LQVWDOOPHQWV SHULRG RI %DKW PLOOLRQ HDFK SHULRG RI %DKW PLOOLRQ HDFK SHULRG RI %DKW PLOOLRQ HDFK SHULRG RI %DKW PLOOLRQ HDFK SHULRG RI %DKW PLOOLRQ HDFK SHULRG RI %DKW PLOOLRQ HDFK SHULRG RI %DKW PLOOLRQ

0/5

PRQWKV

3HULRG 0/5 3HULRG 0/5 3HULRG 0/5 0/5

' #(*0-0* (5+ 6 ;+ D /RDQ IDFLOLW\ RI %DKW PLOOLRQ

E /RDQ IDFLOLW\ RI %DKW PLOOLRQ

,QWHUHVW UDWH 7,9 (55<4 3HULRG 0/5 3HULRG 0/5 3HULRG 0/5 0/5

PRQWKV

3HULRG 0/5 3HULRG 0/5 3HULRG 0/5

0/5

PRQWKV

3HULRG 0/5 3HULRG 0/5 3HULRG RQZDUGV 0/5

-:' ,QIR/RJLVWLFV 3XEOLF &RPSDQ\ /LPLWHG DQG LWV 6XEVLGLDULHV 1RWH WR WKH ILQDQFLDO VWDWHPHQWV )RU WKH \HDU HQGHG 'HFHPEHU

/RDQ IDFLOLW\ ' #(*0-0* 6 ;+ D /RDQ IDFLOLW\ RI %DKW PLOOLRQ

*UDFH SHULRG

PRQWKV 7KH JUDFH SHULRG KDV H[WHQGHG IURP WKH H[LVWLQJ SD\PHQW VFKHGXOH LQ )HEUXDU\ WR EH LQ $XJXVW

F /RDQ IDFLOLW\ RI %DKW PLOOLRQ

PRQWKV 7KH JUDFH SHULRG KDV H[WHQGHG IURP WKH H[LVWLQJ SD\PHQW VFKHGXOH LQ )HEUXDU\ WR EH LQ $XJXVW

(7(* 63+05. 6 ;+ D /RDQ IDFLOLW\ RI %DKW PLOOLRQ

#(*0-0* 63+ %;69(., 6 ;+ D /RDQ IDFLOLW\ RI %DKW PLOOLRQ E /RDQ IDFLOLW\ RI %DKW PLOOLRQ F /RDQ IDFLOLW\ RI %DKW PLOOLRQ

/RDQ SULQFLSOH UHSD\PHQW

PRQWKV 0/5 WR 0/5 7KH JUDFH SHULRG KDV H[WHQGHG IURP WKH H[LVWLQJ SD\PHQW VFKHGXOH LQ )HEUXDU\ WR EH LQ $XJXVW

E /RDQ IDFLOLW\ RI %DKW PLOOLRQ

G /RDQ IDFLOLW\ RI %DKW PLOOLRQ

,QWHUHVW UDWH 7,9 (55<4

PRQWKV

7RWDO LQVWDOOPHQWV SHULRG RI %DKW PLOOLRQ HDFK SHULRG RI %DKW PLOOLRQ HDFK SHULRG RI %DKW PLOOLRQ HDFK SHULRG RQZDUGV RI %DKW PLOOLRQ HDFK 0/5 WR 0/5 7RWDO LQVWDOOPHQWV SHULRG RI %DKW PLOOLRQ HDFK SHULRG RI %DKW PLOOLRQ HDFK SHULRG RI %DKW PLOOLRQ HDFK SHULRG RQZDUGV RI %DKW PLOOLRQ HDFK 0/5 WR 0/5 7RWDO LQVWDOOPHQWV SHULRG RI %DKW PLOOLRQ HDFK SHULRG RI %DKW PLOOLRQ HDFK SHULRG RI %DKW PLOOLRQ HDFK SHULRG RQZDUGV RI %DKW PLOOLRQ HDFK 0/5 7RWDO LQVWDOOPHQWV RI %DKW PLOOLRQ HDFK &RPPHQFLQJ IURP -XQH 3HULRG 0/5 7RWDO LQVWDOOPHQWV RI %DKW 3HULRG 0/5 PLOOLRQ HDFK 3HULRG 0/5 &RPPHQFLQJ IURP -DQXDU\

3HULRG 0/5 3HULRG 0/5

7RWDO LQVWDOOPHQWV RI %DKW PLOOLRQ HDFK &RPPHQFLQJ IURP -XQH 3HULRG 0/5 7RWDO LQVWDOOPHQWV RI %DKW PLOOLRQ HDFK 3HULRG 0/5 &RPPHQFLQJ IURP -XQH 3HULRG 0/5 3HULRG 0/5 7RWDO LQVWDOOPHQWV RI %DKW 3HULRG 0/5 PLOOLRQ HDFK &RPPHQFLQJ IURP 0D\

/ 2016

-:' ,QIR/RJLVWLFV 3XEOLF &RPSDQ\ /LPLWHG DQG LWV 6XEVLGLDULHV 1RWH WR WKH ILQDQFLDO VWDWHPHQWV )RU WKH \HDU HQGHG 'HFHPEHU

H /RDQ IDFLOLW\ RI %DKW PLOOLRQ

I /RDQ IDFLOLW\ RI %DKW PLOOLRQ

*UDFH SHULRG

/RDQ IDFLOLW\ G /RDQ IDFLOLW\ RI %DKW PLOOLRQ

,QWHUHVW UDWH 7,9 (55<4 0/5 0/5

7KH JUDFH SHULRG KDV H[WHQGHG IURP WKH H[LVWLQJ SD\PHQW VFKHGXOH LQ $XJXVW WR EH LQ -DQXDU\

/RDQ SULQFLSOH UHSD\PHQW 7RWDO LQVWDOOPHQWV RI %DKW PLOOLRQ HDFK &RPPHQFLQJ IURP 2FWREHU 7RWDO LQVWDOOPHQWV RI %DKW PLOOLRQ HDFK &RPPHQFLQJ IURP -DQXDU\ 7RWDO LQVWDOOPHQWV SHULRG RI %DKW PLOOLRQ HDFK SHULRG RI %DKW PLOOLRQ HDFK SHULRG RI %DKW PLOOLRQ HDFK

7KH &RPSDQ\ DQG LWV VXEVLGLDULHV PXVW FRPSO\ ZLWK WKH FRQGLWLRQV DQG UHTXLUHPHQW LQFOXGLQJ ILQDQFLDO FRYHUQDQW UDWLRV DV VSHFLILHG LQ WKH ORDQ DJUHHPHQWV DQG WKH FRQGLWLRQV RI GHEHQWXUHV

$V DW 'HFHPEHU -:' 3DFLILF /DQG &R /WG -3. &ROG 6WRUDJH &R /WG DQG -DSDF +ROGLQJ &R /WG VXEVLGLDULHV RI WKH &RPSDQ\ DUH XQDEOH WR FRPSO\ ZLWK WKH ILQDQFLDO FRYHQDQWV VSHFLILHG LQ WKH ORDQ DJUHHPHQW +RZHYHU WKH VXEVLGLDLUHV UHFHLYHG D OHWWHU RI FRQVHQW ZDLYHU IRU EUHDFKLQJ FRQGLWLRQV IURP WKH ILQDQFLDO LQVWLWXWLRQV $FFRUGLQJO\ DV DW 'HFHPEHU WKH *URXSV KDV FODVVLILHG RQ RXWVWDQGLQJ ORDQ EDODQFH DV ORQJ WHUP ORDQ LQ WKH FRQVROLGDWHG ILQDQFLDO VWDWHPHQWV &+ + " )" 0" )& &)&1&"0 )LQDQFH OHDVH OLDELOLWLHV DV DW 'HFHPEHU ZHUH SD\DEOH DV IROORZV &RQVROLGDWHG ILQDQFLDO VWDWHPHQWV 3UHVHQW 3UHVHQW YDOXH RI YDOXH RI )XWXUH )XWXUH PLQLPXP PLQLPXP PLQLPXP PLQLPXP OHDVH OHDVH OHDVH OHDVH SD\PHQWV ,QWHUHVW SD\PHQWV SD\PHQWV ,QWHUHVW SD\PHQWV 05 ;/6<:(5+ (/; :LWKLQ RQH \HDU $IWHU RQH \HDU EXW ZLWKLQ ILYH \HDUV 7RWDO

-:' ,QIR/RJLVWLFV 3XEOLF &RPSDQ\ /LPLWHG DQG LWV 6XEVLGLDULHV 1RWH WR WKH ILQDQFLDO VWDWHPHQWV )RU WKH \HDU HQGHG 'HFHPEHU

)XWXUH PLQLPXP OHDVH SD\PHQWV :LWKLQ RQH \HDU $IWHU RQH \HDU EXW ZLWKLQ ILYH \HDUV 7RWDO

,QWHUHVW

6HSDUDWH ILQDQFLDO VWDWHPHQWV 3UHVHQW YDOXH RI )XWXUH PLQLPXP PLQLPXP OHDVH OHDVH SD\PHQWV SD\PHQWV ,QWHUHVW 05 ;/6<:(5+ (/;

3UHVHQW YDOXH RI PLQLPXP OHDVH SD\PHQWV

7KH FXUUHQF\ GHQRPLQDWLRQ RI LQWHUHVW EHDULQJ OLDELOLWLHV DV DW 'HFHPEHU ZDV DV IROORZV 7KDL %DKW 7+% 8QLWHG VWDWHG 'ROODUV 86' 7RWDO

&RQVROLGDWHG 6HSDUDWH ILQDQFLDO VWDWHPHQWV ILQDQFLDO VWDWHPHQWV 05 ;/6<:(5+ (/;

7UDGH DFFRXQWV SD\DEOH 5HODWHG SDUWLHV 2WKHU SDUWLHV 7RWDO

!6;,

&RQVROLGDWHG 6HSDUDWH ILQDQFLDO VWDWHPHQWV ILQDQFLDO VWDWHPHQWV 05 ;/6<:(5+ (/;

7KH FXUUHQF\ GHQRPLQDWLRQ RI WUDGH DFFRXQWV SD\DEOH DV DW 'HFHPEHU ZDV DV IROORZV &RQVROLGDWHG 6HSDUDWH ILQDQFLDO VWDWHPHQWV ILQDQFLDO VWDWHPHQWV 05 ;/6<:(5+ (/; 7KDL %DKW 7+% 8QLWHG 6WDWHV 'ROODUV 86' 7RWDO

/ 2016

-:' ,QIR/RJLVWLFV 3XEOLF &RPSDQ\ /LPLWHG DQG LWV 6XEVLGLDULHV 1RWH WR WKH ILQDQFLDO VWDWHPHQWV )RU WKH \HDU HQGHG 'HFHPEHU 2WKHU SD\DEOHV 5HODWHG SDUWLHV 2WKHU SDUWLHV $FFUXHG RSHUDWLQJ H[SHQVHV 'HSRVLWV DQG DGYDQFH UHFHLYHG 2WKHUV 7RWDO

!6;,

&RQVROLGDWHG ILQDQFLDO 6HSDUDWH ILQDQFLDO VWDWHPHQWV VWDWHPHQWV 05 ;/6<:(5+ (/;

3URYLVLRQV 0RYHPHQWV RI SURYLVLRQV IRU WKH \HDUV HQGHG 'HFHPEHU ZDV DV IROORZV

&RQVROLGDWHG ILQDQFLDO VWDWHPHQWV 6HSDUDWH ILQDQFLDO VWDWHPHQWV 05 ;/6<:(5+ (/; $W -DQXDU\ 3URYLVLRQV PDGH $W 'HFHPEHU ,Q WKH FOLHQW DQG LWV LQVXUDQFH FRPSDQ\ DUH D FR SODLQWLII DQG ILOHG OHJDO DFWLRQ WR FODLP IRU GDPDJHV FDXVHG E\ WKH JRRGV VWRUHG DW WKH &RPSDQ\Â¶V ZDUHKRXVH DQG DOOHJHGO\ WKH ILUH RFFXUUHQFH LQ WKH ZDUHKRXVH GDPDJHG WKDW JRRGV ZKHUHE\ WKH SODLQWLII FODLPV GDPDJHV RI %DKW PLOOLRQ DJDLQVW WKH &RPSDQ\ DQG WKH &RPSDQ\Â¶V LQVXUHU 6XEVHTXHQWO\ RQ 0D\ WKH $SSHDO &RXUW UXOHG LQ IDYRXU RI WKH SODLQWLII DQG MXGJHG WR WKH &RPSDQ\ WR SD\ GDPDJHV IRU VXFK ORVV DPRXQWLQJ WR %DKW PLOOLRQ ZLWK LQWHUHVW 7KH &RPSDQ\ UHFRUGHG D SURYLVLRQ RI %DKW PLOOLRQ LQ WKH ILQDQFLDO VWDWHPHQWV LQ UHVSHFW RI WKH ORVV DQG WKH LQWHUHVW +RZHYHU WKH &RPSDQ\ DQG WKH &RPSDQ\Â¶V OHJDO FRXQVHO FRQVLGHU LW DSSURSULDWH IRU DQ SHWLWLRQ DJDLQVW WKH YHUGLFW RI WKH $SSHDO &RXUW DQG D EDQN JXDUDQWHH RI %DKW PLOOLRQ ZDV LVVXHG LQ UHODWLRQ WR WKLV PDWWHU DQG WKHUHIRUH WKH &RPSDQ\ KDV ILOHG D SHWLWLRQ ZLWK WKH 6XSUHPH &RXUW

6KDUH FDSLWDO 21%,/&0"! $W -DQXDU\ RUGLQDU\ VKDUHV ,QFUHDVH RI QHZ VKDUHV $W 'HFHPEHU RUGLQDU\ VKDUHV

3DU YDOXH SHU VKDUH 05 (/;

$PRXQW 1XPEHU $PRXQW ;/6<:(5+ :/(9,: 05 ;/6<:(5+ (/; 1XPEHU

-:' ,QIR/RJLVWLFV 3XEOLF &RPSDQ\ /LPLWHG DQG LWV 6XEVLGLDULHV 1RWH WR WKH ILQDQFLDO VWDWHPHQWV )RU WKH \HDU HQGHG 'HFHPEHU 002"! +! - &! 2- $W -DQXDU\ RUGLQDU\ VKDUHV ,VVXH RI QHZ VKDUHV $W 'HFHPEHU RUGLQDU\ VKDUHV /"*&2* ,+ ,/!&+ /6 0% /"0 $W -DQXDU\ RUGLQDU\ VKDUHV ,QFUHDVH RI QHZ VKDUHV $W 'HFHPEHU RUGLQDU\ VKDUHV

3DU YDOXH SHU VKDUH 05 (/;

$PRXQW 1XPEHU $PRXQW ;/6<:(5+ :/(9,: 05 ;/6<:(5+ (/; 1XPEHU

002" ,# 0% /"0 2Q $SULO WKH &RPSDQ\Â¶V VKDUHKROGHUV SDVVHG WKH UHVROXWLRQV LQ UHODWLRQ WR WKH &RPSDQ\Â¶V VKDUH FDSLWDO DV IROORZV 3DLG GLYLGHQG E\ WKH &RPSDQ\Â¶V RUGLQDU\ VKDUHV LQ WKH UDWLR RI H[LVWLQJ VKDUHV SHU GLYLGHQG VKDUH QRW H[FHHGLQJ PLOOLRQ VKDUHV DW %DKW SDU YDOXH RU LQ WKH WRWDO DPRXQW QRW H[FHHGLQJ %DKW PLOOLRQ RU HTXLYDOHQW WR GLYLGHQG SD\PHQW DW %DKW SHU VKDUH ,Q FDVH WKDW DQ\ VKDUHKROGHU KROGV WKH LQGLYLVLEOH VKDUH UHPDLQLQJ DIWHU VXFK DOORFDWLRQ WKH GLYLGHQG VKDOO EH SDLG E\ FDVK LQ WKH DPRXQW RI %DKW SHU VKDUH DQG 7R LQFUHDVH WKH &RPSDQ\Â¶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Â³6KDUH SUHPLXPÂ´ 6KDUH SUHPLXP LV QRW DYDLODEOH IRU GLYLGHQG GLVWULEXWLRQ

/ 2016

-:' ,QIR/RJLVWLFV 3XEOLF &RPSDQ\ /LPLWHG DQG LWV 6XEVLGLDULHV 1RWH WR WKH ILQDQFLDO VWDWHPHQWV )RU WKH \HDU HQGHG 'HFHPEHU 5HVHUYHV DQG VXUSOXV

5HVHUYHV FRPSULVH --/,-/& 1&,+0 ,# -/,#&1 +! ,/ /"1 &+"! " /+&+$0 /HJDO UHVHUYH 6HFWLRQ RI WKH 3XEOLF &RPSDQLHV $FW % ( 6HFWLRQ UHTXLUHV WKDW D SXEOLF FRPSDQ\ VKDOO DOORFDWH QRW OHVV WKDQ RI LWV DQQXDO QHW SURILW OHVV DQ\ DFFXPXODWHG ORVVHV EURXJKW IRUZDUG WR D UHVHUYH DFFRXQW Â³/HJDO UHVHUYHÂ´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Â¶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

-:' ,QIR/RJLVWLFV 3XEOLF &RPSDQ\ /LPLWHG DQG LWV 6XEVLGLDULHV 1RWH WR WKH ILQDQFLDO VWDWHPHQWV )RU WKH \HDU HQGHG 'HFHPEHU

,3"*"+10 &+ /"0"/3"0 0RYHPHQWV LQ UHVHUYHV DUH VKRZQ LQ WKH VWDWHPHQWV RI FKDQJHV LQ HTXLW\

2SHUDWLQJ VHJPHQW 'XULQJ WKH \HDU HQGHG 'HFHPEHU WKH *URXS KDV FKDQJHG WKH SUHVHQWDWLRQ DQG GLVFORVXUH RI LQIRUPDWLRQ RQ RSHUDWLQJ VHJPHQWV EHFDXVH LQ WKH RSLQLRQ RI PDQDJHPHQW VXFK LQIRUPDWLRQ LV PRUH DSSURSULDWH LQ HYDOXDWLQJ WKH UHVXOW RI WKH *URXSÂ¶V VHJPHQW SHUIRUPDQFH 7KH *URXS KDV ILYH UHSRUWDEOH VHJPHQWV DV GHVFULEHG EHORZ ZKLFK DUH WKH *URXSÂ¶V VWUDWHJLF GLYLVLRQV 7KH VWUDWHJLF GLYLVLRQV RIIHU GLIIHUHQW VHUYLFHV DQG DUH PDQDJHG VHSDUDWHO\ EHFDXVH WKH\ DUH GLIIHUHQW EXVLQHVV RSHUDWLRQV ZKLFK UHTXLUH GLIIHUHQW PDUNHWLQJ VWUDWHJ\ )RU HDFK RI VWUDWHJLF GLYLVLRQV WKH &KLHI 2SHUDWLQJ 'HFLVLRQ 0DNHU &2'0 UHYLHZV LQWHUQDO PDQDJPHQHW UHSRUWV RQ DW OHDVW D TXDUWHUO\ EDVLV 7KH IROORZLQJ VXPPDU\ GHVFULEHV WKH RSHUDWLRQV LQ HDFK RI WKH *URXSÂ¶V UHSRUWDEOH VHJPHQWV x 6HJPHQW ,QWHJUDWHG ORJLVWLFV VXSSO\ FKDLQ DQG ZDUHKRXVH PDQDJHPHQW x 6HJPHQW 7UDQVSRUWDWLRQ VHUYLFHV x 6HJPHQW 'RPHVWLF DQG LQWHUQDWLRQDO UHPRYDO x 6HJPHQW 5HFRUG DQG LQIRUPDWLRQ VWRUDJH x 6HJPHQW 2WKHUV ,QIRUPDWLRQ UHJDUGLQJ WKH UHVXOWV RI HDFK UHSRUWDEOH VHJPHQW LV LQFOXGHG EHORZ 3HUIRUPDQFH LV PHDVXUHG EDVHG RQ VHJPHQW SURILW EHIRUH WD[ DV LQFOXGHG LQ WKH LQWHUQDO PDQDJHPHQW UHSRUWV WKDW DUH UHYLHZHG E\ WKH *URXSÂ¶V &2'0 6HJPHQW SURILW EHIRUH WD[ LV XVHG WR PHDVXUH SHUIRUPDQFH DV PDQDJHPHQW EHOLHYHV WKDW VXFK LQIRUPDWLRQ LV WKH PRVW UHOHYDQW LQ HYDOXDWLQJ WKH UHVXOWV RI FHUWDLQ VHJPHQWV UHODWLYH WR RWKHU HQWLWLHV WKDW RSHUDWH ZLWKLQ WKHVH LQGXVWULHV

([WHUQDO UHYHQXH 7RWDO VHJPHQW UHYHQXH &RVW RI UHQWDO DQG UHQGHULQJ RI VHUYLFHV 6HOOLQJ H[SHQVHV $GPLQLVWUDWLYH H[SHQVHV $GGLWLRQDO EHQHILW VKDULQJ IURP VXUFKDUJH LQFRPH /RVV IURP SURYLVLRQ )LQDQFH FRVWV 7RWDO VHJHPHQW H[SHQHVH 6KDUH RI ORVV SURILW RI LQYHVWPHQWV LQ DVVRFLDWHV DQG MRLQW YHQWXUHV 6HJPHQW SURILW ORVV EHIRUH LQFRPH WD[ $V DW 'HFHPEHU 5HSRUWDEOH VHJPHQW DVVHWV 5HSRUWDEOH VHJPHQW OLDELOLWLHV

6HJPHQW

+#,/* 1&,+ ,21 /"-,/1 )" 0"$*"+10

1RWH WR WKH ILQDQFLDO VWDWHPHQWV )RU WKH \HDU HQGHG 'HFHPEHU

6HJPHQW

6HJPHQW 6HJPHQW 05 ;/6<:(5+ (/;

-:' ,QIR/RJLVWLFV 3XEOLF &RPSDQ\ /LPLWHG DQG LWV 6XEVLGLDULHV

6HJPHQW

7RWDO UHSRUWDEOH VHJPHQWV

/ 2016

-:' ,QIR/RJLVWLFV 3XEOLF &RPSDQ\ /LPLWHG DQG LWV 6XEVLGLDULHV 1RWH WR WKH ILQDQFLDO VWDWHPHQWV )RU WKH \HDU HQGHG 'HFHPEHU " ,+ &) 1&,+ ,# /"-,/1 )" 0"$*"+1 00"10 +! )& &)&1&"0 $VVHWV (OLPLQDWLRQV &RQVROLGDWHG WRWDO DVVHWV /LDELOLWLHV (OLPLQDWLRQV &RQVROLGDWHG WRWDO OLDELOLWLHV

05 ;/6<:(5+ (/;

",$/ -%& ) 0"$*"+10 6HJPHQW DQG SURYLGHV DQ RYHUVHDV ORJLVWLFV DQG UHPRYHG VHUYLFHV WR LQWHUQDWLRQDO FOLHQWV LQ SUHVHQWLQJ LQIRUPDWLRQ RQ WKH EDVLV RI JHRJUDSKLFDO VHJPHQWV VHJPHQWHG UHQWDO LQFRPH DQG UHYHQXH IURP UHQGHULQJ RI VHUYLFHV DUH EDVHG RQ WKH JHRJUDSKLFDO ORFDWLRQ RI FOLHQWV ,Q DGGWLWLRQ WKH *URXS KDV QR VLJQLILFDQW DVVHWV ORFDWHG E\ WKH JHRJUDSKLFDO ORFDWLRQ LQ FRXQWULHV RXWVLGH 7KDLODQG ",$/ -%& ) &+#,/* 1&,+ &RQVROLGDWHG ILQDQFLDO VWDWHPHQWV 05 ;/6<:(5+ (/;

7KDLODQG 7KH 8QLWHG 6WDWHV RI $PHULFD 0\DQPDU /DRV &DPERGLD 2WKHU FRXQWULHV 7RWDO

$GPLQLVWUDWLYH H[SHQVHV

!6;, (PSOR\HH EHQHILW H[SHQVHV 'HSUHFLDWLRQ DQG DPRUWLVDWLRQ 3URIHVVLRQDO DQG FRQVXOWLQJ IHHV 7UDYHOOLQJ H[SHQVHV ,QVXUDQFH SUHPLXP H[SHQVHV %DQN FKDUJHV 'DPDJHG JRRGV QRW FRPSHQVDWHG E\ LQVXUDQFH 5HYHUVDO RI EDG DQG GRXEWIXO GHEWV H[SHQVHV 2WKHUV 7RWDO

&RQVROLGDWHG 6HSDUDWH ILQDQFLDO VWDWHPHQWV ILQDQFLDO VWDWHPHQWV 05 ;/6<:(5+ (/;

/ 2016

-:' ,QIR/RJLVWLFV 3XEOLF &RPSDQ\ /LPLWHG DQG LWV 6XEVLGLDULHV 1RWH WR WKH ILQDQFLDO VWDWHPHQWV )RU WKH \HDU HQGHG 'HFHPEHU (PSOR\HH EHQHILW H[SHQVHV

&RQVROLGDWHG 6HSDUDWH ILQDQFLDO VWDWHPHQWV ILQDQFLDO VWDWHPHQWV 05 ;/6<:(5+ (/;

6DODUHLV DQG ZDJHV 2WKHU EHQHILWV 'HILQHG FRQWULEXWLRQ SODQV 3HQVLRQ FRVWV GHILQHG EHQHILW SODQV 7RWDO ,-05,+ *65;90)<;065 73(5: 7KH GHILQHG FRQWULEXWLRQ SODQV FRPSULVH SURYLGHQW IXQGV HVWDEOLVKHG E\ WKH *URXS IRU LWV HPSOR\HHV 0HPEHUVKLS WR WKH IXQGV LV RQ D YROXQWDU\ EDVLV &RQWULEXWLRQV DUH PDGH PRQWKO\ E\ WKH HPSOR\HHV DW WKH UDWH UDQJLQJ IURP WR RI WKHLU EDVLF VDODULHV DQG E\ WKH *URXS DW WKH UDWH UDQJLQJ IURP WR RI WKH HPSOR\HHVÂ¶ EDVLF VDODULHV 7KH SURYLGHQW IXQGV DUH UHJLVWHUHG ZLWK WKH 0LQLVWU\ RI )LQDQFH DV MXULVWLF HQWLWLHV DQG DUH PDQDJHG E\ D OLFHQVHG )XQG 0DQDJHU

2SHUDWLQJ OHDVHV %0.50-0*(5; 3,(:,: (: 3,::,, %HQMDSRUQ /DQG &R /WG WKH &RPSDQ\Â¶V VXEVLGLDU\ HQWHUHG LQWR VHYHUDO ODQG OHDVH DJUHHPHQWV ZLWK WKH 3RUW $XWKRULW\ RI 7KDLODQG IRU D SHULRG RI \HDUV WR \HDUV VWDUWLQJ IURP -XO\ WR 6HSWHPEHU ZLWK WKH PRQWKO\ UHQWDO FKDUJHV DW WKH UDWHV RI %DKW PLOOLRQ WR %DKW PLOOLRQ ,Q DGGLWLRQ WKH VDLG VXEVLGLDU\ HQWHUHG LQWR VHYHUDO ODQG OHDVH DJUHHPHQWV ZLWK LQGLYLGXDOV DQG RWKHU HQWLWLHV IRU D SHULRG RI \HDUV WR \HDUV VWDUWLQJ IURP )HEUXDU\ WR -XO\ ZLWK WKH PRQWKO\ UHQWDO FKDUJHV RI %DKW PLOOLRQ WR %DKW PLOOLRQ $XWR /RJLF &R /WG WKH &RPSDQ\Â¶V VXEVLGLDU\ HQWHUHG LQWR VHYHUDO ODQG OHDVH DJUHHPHQWV ZLWK WKH 3RUW $XWKRULW\ RI 7KDLODQG IRU D SHULRG RI \HDUV VWDUWLQJ IURP 2FWREHU WR 'HFHPEHU ZLWK WKH PRQWKO\ UHQWDO FKDUJHV DW WKH UDWHV RI %DKW PLOOLRQ WR %DKW PLOOLRQ ,Q DGGLWLRQ WKH VDLG VXEVLGLDU\ HQWHUHG LQWR VHYHUDO ODQG OHDVH DJUHHPHQWV ZLWK LQGLYLGXDOV DQG RWKHU HQWLWLHV IRU D SHULRG RI \HDUV WR \HDUV VWDUWLQJ IURP $XJXVW WR $XJXVW ZLWK WKH PRQWKO\ UHQWDO FKDUJHV RI %DKW PLOOLRQ WR %DKW PLOOLRQ -:' 3DFLILF /DQG &R /WG WKH &RPSDQ\Â¶V VXEVLGLDU\ HQWHUHG LQWR VHYHUDO ODQG OHDVH DJUHHPHQWV ZLWK *HW %XLOGHU &R /WG IRU D SHULRG RI \HDUV VWDUWLQJ IURP 2FWREHU WR 'HFHPEHU ZLWK WKH PRQWKO\ UHQWDO FKDUJHV RI %DKW PLOOLRQ WR PLOOLRQ -3. &ROGVWRUDJH &R /WG WKH &RPSDQ\Â¶V VXEVLGLDU\ HQWHUHG LQWR VHUYHUDO ODQG OHDVV DJUHHPHQWV ZLWK *HW %XLOGHU &R /WG IRU D SHULRG RI \HDUV VWDUWLQJ IURP )HEUXDU\ WR 2FWREHU ZLWK WKH PRQWKO\ UHQWDO FKDUJHV RI %DKW PLOOLRQ WR %DKW PLOOLRQ

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

/ 2016

-:' ,QIR/RJLVWLFV 3XEOLF &RPSDQ\ /LPLWHG DQG LWV 6XEVLGLDULHV 1RWH WR WKH ILQDQFLDO VWDWHPHQWV )RU WKH \HDU HQGHG 'HFHPEHU ([SHQVHV E\ QDWXUH 7KH ILQDQFLDO VWDWHPHQWV LQFOXGH DQ DQDO\VLV RI H[SHQVHV E\ IXQFWLRQ ([SHQVHV E\ QDWXUH GLVFORVHG LQ DFFRUGDQFH ZLWK WKH UHTXLUHPHQWV RI YDULRXV 7)56 ZHUH DV IROORZV

!6;, (PSOR\HH EHQHILW H[SHQVHV 'HSUHFLDWLRQ DQG DPRUWLVDWLRQ 7UDQVSRUWDWLRQ H[SHQVHV 8WLOLWLHV DQG PDLQWHQDQFH H[SHQVHV 5HQWDO H[SHQVHV 6KDUH RI SURILW RI WKH RSHUDWLQJ DJUHHPHQW 7UDYHOLQJ H[SHQVHV &RQVXPDEOHV XVHG ,QVXUDQFH SUHPLXP H[SHQVH 2WKHUV 7RWDO FRVW RI UHQWDO DQG UHQGHULQJ RI VHUYLFHV VHOOLQJ H[SHQVHV DQG DGPLQLVWUDWLYH H[SHQVHV

&RQVROLGDWHG 6HSDUDWH ILQDQFLDO VWDWHPHQWV ILQDQFLDO VWDWHPHQWV 05 ;/6<:(5+ (/;

$GGLWLRQDO EHQHILW VKDULQJ IURP VXUFKDUJH LQFRPH ,Q 6HSWHPEHU WKH 3RUW $XWKRULW\ RI 7KDLODQG Â³3$7Â´ SODFHG D QRWLFH WR UHWURVSHFWLYHO\ UHTXHVW WKH &RPSDQ\ WR SD\ EHQHILW VKDULQJ IURP VXUFKDUJH LQFRPH ZKLFK LV DGGLWLRQDOO\ FKDUJHG E\ D VWDWH HQWHUSULVH IRU WKH &RPSDQ\Â¶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

)LQDQFH FRVWV

!6;, +1"/"01 "5-"+0"

5HODWHG SDUWLHV 2WKHU SDUWLHV /RDQV DQG EDQN RYHUGUDIWV 7RWDO LQWHUHVW H[SHQVH 2WKHU ILQDQFH FRVWV ,:: DPRXQWV LQFOXGHG LQ WKH FRVW RI TXDOLI\LQJ DVVHWV 3URSHUW\ SODQW DQG HTXLSPHQW

1HW

&RQVROLGDWHG 6HSDUDWH ILQDQFLDO VWDWHPHQWV ILQDQFLDO VWDWHPHQWV 05 ;/6<:(5+ (/;

-:' ,QIR/RJLVWLFV 3XEOLF &RPSDQ\ /LPLWHG DQG LWV 6XEVLGLDULHV 1RWH WR WKH ILQDQFLDO VWDWHPHQWV )RU WKH \HDU HQGHG 'HFHPEHU ,QFRPH WD[ H[SHQVH + ,*" 1 5 /" ,$+&0"! &+ -/,#&1 ,/ ),00 &XUUHQW WD[ H[SHQVH &XUUHQW \HDU 8QGHU SURYLGHG LQ SULRU \HDUV 'HIHUUHG WD[ H[SHQVH 0RYHPHQWV LQ WHPSRUDU\ GLIIHUHQFHV 7RWDO LQFRPH WD[ H[SHQVH UHYHQXH

&RQVROLGDWHG 6HSDUDWH ILQDQFLDO VWDWHPHQWV ILQDQFLDO VWDWHPHQWV 05 ;/6<:(5+ (/;

+ ,*" 1 5 /" ,$+&0"! &+ ,1%"/ ,*-/"%"+0&3" &+ ,*" 1HW FKDQJH LQ IDLU YDOXH RI DYDLODEOH IRU VDOH LQYHVWPHQW 'HILQH EHQHILW SODQ DFWXDULDO ORVVHV 7RWDO 1HW FKDQJH LQ IDLU YDOXH RI DYDLODEOH IRU VDOH LQYHVWPHQW 'HILQH EHQHILW SODQ DFWXDULDO ORVVHV 7RWDO

&RQVROLGDWHG ILQDQFLDO VWDWHPHQWV 7D[ 7D[ H[SHQVH

1HW RI %HIRUH H[SHQVH EHQHILW WD[ WD[ EHQHILW 05 ;/6<:(5+ (/;

%HIRUH WD[

7D[ H[SHQVH

EHQHILW

%HIRUH WD[

1HW RI WD[

6HSDUDWH ILQDQFLDO VWDWHPHQWV

1HW RI %HIRUH WD[ WD[ 05 ;/6<:(5+ (/;

7D[ H[SHQVH EHQHILW

1HW RI WD[

/ 2016

-:' ,QIR/RJLVWLFV 3XEOLF &RPSDQ\ /LPLWHG DQG LWV 6XEVLGLDULHV 1RWH WR WKH ILQDQFLDO VWDWHPHQWV )RU WKH \HDU HQGHG 'HFHPEHU " ,+ &)& 1&,+ ,# "##" 1&3" 1 5 / 1"

&RQVROLGDWHG ILQDQFLDO VWDWHPHQWV $(;, 05 ;/6<:(5+ $(;, 05 ;/6<:(5+ (/; (/; 3URILW EHIRUH LQFRPH WD[ H[SHQVH ,QFRPH WD[ XVLQJ WKH 7KDL FRUSRUDWLRQ WD[ UDWH ,QFRPH QRW VXEMHFW WR WD[

([SHQVHV QRW GHGXFWLEOH IRU WD[ SXUSRVHV &XUUHQW \HDU ORVVHV IRU ZKLFK QR GHIHUUHG WD[ DVVHW ZDV UHFRJQLVHG 8QGHU SURYLGHG LQ SULRU \HDUV ,QWHUFRPSDQ\ SURILW QRW \HW UHFRJQLVHG 7RWDO

$(;,

6HSDUDWH ILQDQFLDO VWDWHPHQWV 05 ;/6<:(5+ $(;, 05 ;/6<:(5+ (/; (/;

3URILW EHIRUH LQFRPH WD[ H[SHQVH ,QFRPH WD[ XVLQJ WKH 7KDL FRUSRUDWLRQ WD[ UDWH ,QFRPH QRW VXEMHFW WR WD[ ([SHQVHV QRW GHGXFWLEOH IRU WD[ SXUSRVHV 8QGHU SURYLGHG LQ SULRU \HDUV 7RWDO 5*64, ;(? 9,+<*;065 5HYHQXH &RGH $PHQGPHQW $FW 1R % ( GDWHG 0DUFK JUDQWV D UHGXFWLRQ RI WKH FRUSRUDWH LQFRPH WD[ UDWH WR RI QHW WD[DEOH SURILW IRU DFFRXQWLQJ SHULRGV ZKLFK EHJLQ RQ RU DIWHU -DQXDU\

3URPRWLRQDO SULYLOHJHV

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

-:' ,QIR/RJLVWLFV 3XEOLF &RPSDQ\ /LPLWHG DQG LWV 6XEVLGLDULHV 1RWH WR WKH ILQDQFLDO VWDWHPHQWV )RU WKH \HDU HQGHG 'HFHPEHU 6XPPDU\ RI UHYHQXH IURP SURPRWHG DQG QRQ SURPRWHG EXVLQHVVHV

/RFDO UHYHQXH IURP UHQWDO DQG UHQGHULQJ VHUYLFHV

&RQVROLGDWHG ILQDQFLDO VWDWHPHQWV 1RQ 3URPRWHG SURPRWHG EXVLQHVV EXVLQHVVHV

1RQ 3URPRWHG SURPRWHG 7RWDO EXVLQHVV EXVLQHVVHV 05 ;/6<:(5+ (/;

7RWDO

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

1XPEHU RI RUGLQDU\ VKDUHV RXWVWDQGLQJ DW -DQXDU\ (IIHFW RI VKDUHV LVVXHG :HLJKWHG DYHUDJH QXPEHU RI RUGLQDU\ VKDUHV RXWVWDQGLQJ EDVLF /RVV HDUQLQJV SHU VKDUH EDVLF &+ %1

'LYLGHQGV

$W WKH $QQXDO *HQHUDO 0HHWLQJ RI WKH &RPSDQ\Â¶V VKDUHKROGHUV KHOG RQ $SULO WKH &RPSDQ\Â¶V VKDUHKROGHUV KDG WKH UHVROXWLRQ WR DSSURYH WKH DSSURSULDWLRQ RI GLYLGHQG IRU \HDU WR WKH VKDUHKROGHUV RI %DKW SHU VKDUH WRWDOLQJ %DKW PLOOLRQ DV GHWDLO EHORZ 3DLG GLYLGHQG E\ WKH &RPSDQ\Â¶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

/ 2016

-:' ,QIR/RJLVWLFV 3XEOLF &RPSDQ\ /LPLWHG DQG LWV 6XEVLGLDULHV 1RWH WR WKH ILQDQFLDO VWDWHPHQWV )RU WKH \HDU HQGHG 'HFHPEHU $W WKH %RDUG RI 'LUHFWRUVÂ¶ PHHWLQJ RI WKH &RPSDQ\ KHOG RQ $XJXVW WKH %RDUG RI 'LUHFWRUV DSSURYHG WKH DSSURSULDWLRQ RI LQWHULP GLYLGHQG RI %DKW SHU VKDUH DPRXQWLQJ WR %DKW PLOOLRQ 7KH GLYLGHQG ZDV SDLG WR VKDUHKROGHUV LQ 6HSWHPEHU

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Â¶V ULVN PDQDJHPHQW SURFHVV WR HQVXUH WKDW DQ DSSURSULDWH EDODQFH EHWZHHQ ULVN DQG FRQWURO LV DFKLHYHG -&1 ) * + $"*"+1 7KH %RDUG RI 'LUHFWRUVÂ¶ SROLF\ LV WR PDLQWDLQ D VWURQJ FDSLWDO EDVH VR DV WR PDLQWDLQ LQYHVWRU FUHGLWRU DQG PDUNHW FRQILGHQFH DQG WR VXVWDLQ IXWXUH GHYHORSPHQW RI WKH EXVLQHVV 7KH %RDUG PRQLWRUV WKH UHWXUQ RQ FDSLWDO ZKLFK WKH *URXS GHILQHV DV UHVXOW IURP RSHUDWLQJ DFWLYLWLHV GLYLGHG E\ WRWDO VKDUHKROGHUVÂ¶ HTXLW\ H[FOXGLQJ QRQ FRQWUROOLQJ LQWHUHVWV DQG DOVR PRQLWRUV WKH OHYHO RI GLYLGHQGV WR RUGLQDU\ VKDUHKROGHUV +1"/"01 / 1" /&0( ,QWHUHVW UDWH ULVN LV WKH ULVN WKDW IXWXUH PRYHPHQWV LQ PDUNHW LQWHUHVW UDWHV ZLOO DIIHFW WKH UHVXOWV RI WKH *URXSÂ¶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Â± 7RWDO 1RQ FXUUHQW /RQJ WHUP ORDQV WR UHODWHG SDUWLHV 7RWDO

-:' ,QIR/RJLVWLFV 3XEOLF &RPSDQ\ /LPLWHG DQG LWV 6XEVLGLDULHV 1RWH WR WKH ILQDQFLDO VWDWHPHQWV )RU WKH \HDU HQGHG 'HFHPEHU

6HSDUDWH ILQDQFLDO VWDWHPHQWV (IIHFWLYH $IWHU \HDU LQWHUHVW UDWH :LWKLQ EXW ZLWKLQ $IWHU 7,9 \HDU \HDUV \HDUV (55<4 05 ;/6<:(5+ (/; Â± Â±

7RWDO

&XUUHQW 6KRUW WHUP ORDQV WR UHODWHG SDUWLHV 6KRUW WHUP ORDQV WR QRQ UHODWHG SDUW\ 1RQ FXUUHQW /RQJ WHUP ORDQV WR UHODWHG SDUWLHV 7RWDO &XUUHQW Â± 6KRUW WHUP ORDQV WR UHODWHG SDUWLHV 1RQ FXUUHQW /RQJ WHUP ORDQV WR UHODWHG SDUWLHV 7RWDO 7KH HIIHFWLYH LQWHUHVW UDWHV RI LQWHUHVW EHDULQJ ILQDQFLDO OLDELOLWLHV DV DW 'HFHPEHU DQG WKH SHULRGV LQ ZKLFK WKRVH OLDELOLWLHV PDWXUH RU UH SULFH ZHUH DV IROORZV

&XUUHQW 6KRUW WHUP ORDQV IURP ILQDQFLDO LQVWLWXWLRQV 1RQ FXUUHQW 'HEHQWXUHV /RQJ WHUP ORDQV IURP ILQDQFLDO LQVWLWXWLRQV /RQJ WHUP ORDQV IURP UHODWHG SDUWLHV )LQDQFLDO OHDVH OLDELOLWLHV 7RWDO

&RQVROLGDWHG ILQDQFLDO VWDWHPHQWV (IIHFWLYH $IWHU \HDU LQWHUHVW UDWH :LWKLQ EXW ZLWKLQ $IWHU 7,9 \HDU \HDUV \HDUV 7RWDO (55<4 05 ;/6<:(5+ (/;

/ 2016

-:' ,QIR/RJLVWLFV 3XEOLF &RPSDQ\ /LPLWHG DQG LWV 6XEVLGLDULHV 1RWH WR WKH ILQDQFLDO VWDWHPHQWV )RU WKH \HDU HQGHG 'HFHPEHU

&XUUHQW 6KRUW WHUP ORDQV IURP ILQDQFLDO LQVWLWXWLRQV 1RQ FXUUHQW /RQJ WHUP ORDQV IURP ILQDQFLDO LQVWLWXWLRQV /RQJ WHUP ORDQJ IURP UHODWHG SDUWLHV )LQDQFH OHDVH OLDELOLWLHV 7RWDO

&RQVROLGDWHG ILQDQFLDO VWDWHPHQWV (IIHFWLYH $IWHU \HDU LQWHUHVW UDWH :LWKLQ EXW ZLWKLQ $IWHU 7,9 \HDU \HDUV \HDUV 7RWDO (55<4 05 ;/6<:(5+ (/;

1RQ FXUUHQW 'HEHQWXUHV /RQJ WHUP ORDQV IURP ILQDQFLDO ,QVWLWXWLRQV )LQDQFH OHDVH OLDELOLWLHV 7RWDO 1RQ FXUUHQW )LQDQFH OHDVH OLDELOLWLHV 7RWDO

6HSHUDWHG ILQDQFLDO VWDWHPHQWV (IIHFWLYH $IWHU \HDU LQWHUHVW UDWH :LWKLQ EXW ZLWKLQ $IWHU 7,9 \HDU \HDUV \HDUV (55<4 05 ;/6<:(5+ (/;

7RWDO

,/"&$+ 2//"+ 6 /&0( 7KH *URXS LV H[SRVHG WR IRUHLJQ FXUUHQF\ ULVN UHWDWLQJ WR UHFHLYLQJ RI VHUYLFHV DQG SURYLGLQJ RI VHUYLFHV ORDQV WR DQG ORDQV IURP LQ IRUHLJQ FXUUHQFLHV +RZHYHU WKH *URXS DQG WKH &RPSDQ\ GLG QRW XOWLOLVH DQ\ ILQDQFLDO LQVWUXPHQWV WR UHPRWH IRUHLJQ FXUUHQF\ ULVN VLQFH VXFK ILQDQFLDO DVVHWV DQG OLDELOLWLHV GHQRPLQDWHG LQ WKH IRUHLJQ FXUUHQFLHV LQ WKH VWDWHPHQW RI ILQDQFLDO SRVLWLRQ DUH LQVLJQLILFDQW

-:' ,QIR/RJLVWLFV 3XEOLF &RPSDQ\ /LPLWHG DQG LWV 6XEVLGLDULHV 1RWH WR WKH ILQDQFLDO VWDWHPHQWV )RU WKH \HDU HQGHG 'HFHPEHU $V 'HFHPEHU WKH *URXS DQG WKH &RPSDQ\ ZHUH H[SRVHG WR IRUHLJQ FXUUHQF\ ULVN LQ UHVSHFW RI ILQDQFLDO DVVHWV DQG OLDELOLWLHV GHQRPLQDWHG LQ WKH IROORZLQJ FXUUHQFLHV &RQVROLGDWHG 6HSDUDWH ILQDQFLDO VWDWHPHQWV ILQDQFLDO VWDWHPHQWV !6;, 05 ;/6<:(5+ (/; +&1"! 1 1"0 ,)) /0 &DVK DQG FDVK HTXLYDOHQWV 7UDGH DFFRXQWV UHFHLYDEOH /RDQV WR UHODWHG SDUWLHV ,QWHUHVW EHDULQJ OLDELOLWLHV

7UDGH DFFRXQWV SD\DEOH

*URVV VWDWHPHQW RI ILQDQFLDO SRVLWLRQ H[SRVXUH * ,!& "&) 2WKHU LQYHVWPHQW *URVV VWDWHPHQW RI ILQDQFLDO SRVLWLRQ H[SRVXUH 1%"/ 2//"+ &"0 &DVK DQG FDVK HTXLYDOHQWV 7UDGH DFFRXQW UHFHLYDEOH *URVV VWDWHPHQW RI ILQDQFLDO SRVLWLRQ H[SRVXUH /"!&1 /&0( &UHGLW ULVN LV WKH SRWHQWLDO ILQDQFLDO ORVV UHVXOWLQJ IURP WKH IDLOXUH RI D FXVWRPHU RU FRXQWHUSDUW\ WR VHWWOH LWV ILQDQFLDO DQG FRQWUDFWXDO REOLJDWLRQV WR WKH *URXS DV DQG ZKHQ WKH\ IDOO GXH

0DQDJHPHQW KDV D FUHGLW SROLF\ LQ SODFH DQG WKH H[SRVXUH WR FUHGLW ULVN LV PRQLWRUHG RQ DQ RQJRLQJ EDVLV &UHGLW HYDOXDWLRQV DUH SHUIRUPHG RQ DOO FXVWRPHUV UHTXLULQJ FUHGLW RYHU D FHUWDLQ DPRXQW $W WKH UHSRUWLQJ GDWH WKHUH ZHUH QR VLJQLILFDQW FRQFHQWUDWLRQV RI FUHGLW ULVN 7KH PD[LPXP H[SRVXUH WR FUHGLW ULVN LV UHSUHVHQWHG E\ WKH FDUU\LQJ DPRXQW RI HDFK ILQDQFLDO DVVHW LQ WKH EDODQFH VKHHW +RZHYHU GXH WR WKH ODUJH QXPEHU RI SDUWLHV FRPSULVLQJ WKH *URXSÂ¶V FXVWRPHU EDVH 0DQDJHPHQW GRHV QRW DQWLFLSDWH PDWHULDO ORVVHV IURP LWV GHEW FROOHFWLRQ

/ 2016

-:' ,QIR/RJLVWLFV 3XEOLF &RPSDQ\ /LPLWHG DQG LWV 6XEVLGLDULHV 1RWH WR WKH ILQDQFLDO VWDWHPHQWV )RU WKH \HDU HQGHG 'HFHPEHU &.2&!&16 /&0( 7KH *URXS PRQLWRUV LWV OLTXLGLW\ ULVN DQG PDLQWDLQV D OHYHO RI FDVK DQG FDVK HTXLYDOHQWV GHHPHG DGHTXDWH E\ PDQDJHPHQW WR ILQDQFH WKH *URXSÂ¶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

-:' ,QIR/RJLVWLFV 3XEOLF &RPSDQ\ /LPLWHG DQG LWV 6XEVLGLDULHV 1RWH WR WKH ILQDQFLDO VWDWHPHQWV )RU WKH \HDU HQGHG 'HFHPEHU

6HSHUDWH ILQDQFLDO VWDWHPHQWV &DUU\LQJ DPRXQW

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

7RWDO

/ 2016

-:' ,QIR/RJLVWLFV 3XEOLF &RPSDQ\ /LPLWHG DQG LWV 6XEVLGLDULHV 1RWH WR WKH ILQDQFLDO VWDWHPHQWV )RU WKH \HDU HQGHG 'HFHPEHU &RPPLWPHQWV ZLWK QRQ UHODWHG SDUWLHV -&1 ) ,**&1*"+10 65;9(*;,+ )<; 56; 796=0+,+ -69 %XLOGLQJV DQG RWKHU FRQVWUXFWLRQV 0DFKLQHU\ DQG HTXLSPHQW ,QWDQJLEOH DVVHWV 7RWDO

&RQVROLGDWHG 6HSDUDWH ILQDQFLDO VWDWHPHQW ILQDQFLDO VWDWHPHQWV 05 ;/6<:(5+ (/;

1%"/ ,**&1*"+10 %DQN JXDUDQWHHV 2WKHUV 7RWDO &$+&#& +1 $/""*"+10 7KH &RPSDQ\ HQWHUHG LQWR DQ DJUHHPHQW WR LQYHVW LQ WKH FRQVWUXFWLRQ PDQDJHPHQW DQG RSHUDWLRQ RI GDQJHURXV JRRGV ZDUHKRXVH Â³2SHUDWLQJ DJUHHPHQWÂ´ ZLWK WKH 3RUW $XWKRULW\ RI 7KDLODQG Â³3$7Â´ IRU D SHULRG \HDUV 7KH &RPSDQ\ LV HQJDJHG WR RSHUDWH WKH EXVLQHVV LQ UHVSHFW RI KDQGOLQJ DQG ZDUHKRXVLQJ IRU GDQJHURXV FDUJR FRQWDLQHU LQ KD]DUGRXV ZDUHKRXVHV DUHD RZQHG E\ 3$7 ,Q DGGLWLRQ WKH &RPSDQ\ KDV FRPPLWHG WR VKDUH DQQXDO UHPXQHUDWLRQ WR 3$7 DV DJUHHG DQG XSRQ E\ WKH DJUHHPHQW IURP 2FWREHU WR 6HSWHPEHU $V DW 'HFHPEHU GHSRVLW DFFRXQWV RI WKH *URXS DQG WKH &RPSDQ\ DPRXQWLQJ WR %DKW PLOOLRQ DQG PLOOLRQ UHVSHFWLYHO\ SOHGJHG DV FROODWHUDO ZLWK UHVSHFW RI WKH EDQN JXDUDQWHHV DQG RWKHUV (/; 4033065 (5+ (/; 4033065 9,:7,*;0=,3@

&RQWLQJHQW OLDELOLWLHV ,Q WZR FRPSDQLHV KDYH EHHQ D FR SODLQWLII DQG ILOHG OHJDO DFWLRQ WR FODLP IRU FRQVHTXHQWLDO DQG JRRGV GDPDJHV RI %DKW PLOOLRQ DJDLQVW WKH &RPSDQ\ DQG WKH &RPSDQ\Â¶V LQVXUHU DOOHJHGO\ WKH ILUH RFFXUUHQFH WR WKH JRRGV GDPDJHG LQ WKH FDUJR FRQWDLQHU WKDW ZDV ORFDWHG DW WKH ZDUHKRXVH RI WKH &RPSDQ\ 7KLV FDVH LV VWLOO XQGHU FRQVLGHUDWLRQ RI WKH &LYLO &RXUW DQG WKH XOWLPDWH RXWFRPH RI WKH FDVH LV QRW ILQDOLVHG DQG WKH LPSDFW RI VXFK OLWLJDWLRQ FDQQRW SUHVHQWO\ EH GHWHUPLQHG E\ WKH &RPSDQ\ DQG WKHUHIRUH QR SURYLVLRQ IRU WKH OLDELOLW\ KDV EHHQ PDGH LQ WKH ILQDQFLDO VWDWHPHQWV

(YHQWV DIWHU WKH UHSRUWLQJ SHULRG

2Q -DQXDU\ $XWR /RJLF &R /WG WKH VXEVLGLDU\ PDGH D QHZ LQYHVWPHQW LQ RI

WKH LVVXHG DQG SDLG XS VKDUH FDSLWDO RI 6LDP -:' /RJLVWLFV &R /WG LQFRUSRUDWH LQ 7KDLODQG IRU D FRQVLGHUDWLRQ RI RI VKDUHV FDSLWDO RU %DKW PLOOLRQ LQ DFFRUGDQFH ZLWK WKH UHVROXWLRQ RI WKH %RDUG RI 'LUHFWRUVÂ¶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Â¶ PHHWLQJ KHOG RQ )HEUXDU\ WKH %RDUG RI 'LUHFWRU KDG WKH UHVROXWLRQ WR HQGRUVH IRU D GLYLGHQG SD\PHQW IRU WKH \HDU RI %DKW SHU VKDUH WRWDOLQJ %DKW PLOOLRQ

7KDL )LQDQFLDO 5HSRUWLQJ 6WDQGDUGV 7)56 QRW \HW DGRSWHG

$ QXPEHU RI QHZ DQG UHYLVHG 7)56 KDYH EHHQ LVVXHG EXW DUH QRW \HW HIIHFWLYH DQG KDYH QRW EHHQ DSSOLHG LQ SUHSDULQJ WKHVH ILQDQFLDO VWDWHPHQWV 7KRVH QHZ DQG UHYLVHG 7)56 WKDW PD\ EH UHOHYDQW WR WKH *URXSÂ¶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

/ 2016

-:' ,QIR/RJLVWLFV 3XEOLF &RPSDQ\ /LPLWHG DQG LWV 6XEVLGLDULHV 1RWH WR WKH ILQDQFLDO VWDWHPHQWV )RU WKH \HDU HQGHG 'HFHPEHU 7)56 7)56 UHYLVHG 7)56 UHYLVHG 7)56 UHYLVHG 7)56 UHYLVHG 7)56 UHYLVHG 7)56 UHYLVHG 7)56 UHYLVHG 7)56 UHYLVHG 76,& UHYLVHG 76,& UHYLVHG 76,& UHYLVHG 76,& UHYLVHG 7)5,& UHYLVHG

7)5,& UHYLVHG 7)5,& UHYLVHG 7)5,& UHYLVHG

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

7KH *URXS KDV PDGH D SUHOLPLQDU\ DVVHVVPHQW RI WKH SRWHQWLDO LQLWLDO LPSDFW RQ WKH FRQVROLGDWHG DQG VHSDUDWH ILQDQFLDO VWDWHPHQWV RI WKHVH QHZ DQG UHYLVHG 7)56 DQG H[SHFWV WKDW WKHUH ZLOO EH QR PDWHULDO LPSDFW RQ WKH ILQDQFLDO VWDWHPHQWV LQ WKH SHULRG RI LQLWLDO DSSOLFDWLRQ

5HFODVVLILFDWLRQ RI DFFRXQWV

&HUWDLQ DFFRXQWV LQ WKH ILQDQFLDO VWDWHPHQWV KDYH EHHQ UHFODVVLILHG WR FRQIRUP WR WKH SUHVHQWDWLRQ LQ WKH ILQDQFLDO VWDWHPHQWV

'HFHPEHU

&RQVROLGDWHG ILQDQFLDO VWDWHPHQW %HIRUH

$IWHU

UHFODVVLILFDWLRQ 5HFODVVLILFDWLRQ UHFODVVLILFDWLRQ

6HSHUDWH ILQDQFLDO VWDWHPHWQV %HIRUH

UHFODVVLILFDWLRQ 5HFODVVLILFDWLRQ

05 ;/6<:(5+ (/;

1 1"*"+1 ,# #&+ + & ) -,0&1&,+ 7UDGH DFFRXQW UHFHLYDEOH 2WKHU UHFHLYDEOH

'HIIHUHG UHYHQXH DQG

ORQJ WHUP DFFUXHG UHQWDO

2WKHU SD\DEOH

H[SHQVH (TXLW\ UHGXFWLRQ IURP GLYLGHQGV SDLG IURP UHWDLQHG HDUQLQJV SULRU WR EXVLQHVV UHVWUXFWXULQJ XQGHU FRPPRQ FRQWURO 5HWDLQHG HDUQLQJV XQDSSURSULDWHG

$IWHU

UHFODVVLILFDWLRQ

7KH UHFODVVLFDWLRQ KDYH EHHQ PDGH EHFDXVH LQ WKH RSLQLRQ RI PDQDJHPHQW WKH QHZ UHFODVVLILFDWLRQ LV PRUH DSSURSULDWH WR WKH *URXSÂ¶V EXVLQHVV

'2+36+8. &/-?<3>3/= /:9=3>9<C 9 !>. '& %+>-2+.+:23=/5 %9+. 38.+/81 +81595

'2+36+8. '/6

)/,=3>/ 2>>: AAA =/> 9< >2 >=. 7+36 & ' 98>+-> /8>/< =/> 9< >2 "< &?53> (981>2+@+<+@+> %/13=>/</. ?.3>9< #9 $" $2?7-2+3 ?.3> 9 !>. 7:3</ '9A/< &9?>2 &+>29<8 %. *+88+A+ &+>29<8 +81595

'/6

! "

" "

) 809!913=>3-= $?,63- 97:+8C !373>/. ) 63=>/. 38 >2/ &>9-5 B-2+81/ 90 '2+36+8.

&/<@3-/ '<+8=:9<>+>398 !913=>3-=

,+2>

-97798 =>9-5 :+< @+6?/. +> ,+2> ,+2>

-97798 =>9-5 :+< @+6?/. +> ,+2> /+.;?+<>/<=

<?81>2/: <//>2+ %. ?+7+<5 +815+:3 +81595

'2+36+8. '/6

&+7A+ )+</29?=/

"99 &+7A+ %. "38,?<3 +81595 '/6 +B !+/7 2+,+81 97:6/B

"99 '+7,98 '?81=?56+ 7:29/ &<3<+-2+ 298,?<3

'/6

+B +81/<9?= 99.= )+</29?=/ +> !+/7 2+,+81 $9<> '+7,98 '?81=?56+ 7:29/ &<3<+-2+ 298,?<3

'/6

2>>: AAA 4A. 1<9?: -97 '/6

3< 4A. 6913=>3-= -97

*OWFTUPST DBO Å³OE BEEJUJPOBM JOGPSNBUJPO BCPVU +8% *OGP-PHJTUJDT 1VCMJD $PNQBOZ -JNJUFE GSPN UIF $PNQBOZÄ´T 88?+6 %/:9<> 9<7 =29A8 38 AAA =/- 9< >2 9< AAA 4A. 1<9?: -97