6XSHUSRVLWLRQRI:DYHV

$FRXVWLFVDQG9LEUDWLRQ$QLPDWLRQV
'DQLHO$5XVVHOO*UDGXDWH3URJUDPLQ$FRXVWLFV7KH3HQQV\OYDQLD6WDWH8QLYHUVLW\
$OOWH[WDQGLPDJHVRQWKLVSDJHDUHE\'DQLHO$5XVVHOODQGPD\QRWXVHGLQRWKHUZHESDJHVRUUHSRUWVZLWKRXWSHUPLVVLRQ
7KHFRQWHQWRIWKLVSDJHZDVRULJLQDOO\SRVWHGRQ-XO\7KH+70/FRGHZDVPRGLILHGWREH+70/FRPSOLDQWRQ-DQXDU\

6XSHUSRVLWLRQRI:DYHV
7KHSULQFLSOHRIVXSHUSRVLWLRQPD\EHDSSOLHGWRZDYHVZKHQHYHUWZRRUPRUHZDYHVWUDYHOOLQJWKURXJKWKHVDPHPHGLXPDWWKHVDPHWLPH7KHZDYHVSDVVWKURXJK
HDFKRWKHUZLWKRXWEHLQJGLVWXUEHG7KHQHWGLVSODFHPHQWRIWKHPHGLXPDWDQ\SRLQWLQVSDFHRUWLPHLVVLPSO\WKHVXPRIWKHLQGLYLGXDOZDYHGLVSODFHPHQWV7KLVLVWUXH
RIZDYHVZKLFKDUHILQLWHLQOHQJWKZDYHSXOVHVRUZKLFKDUHFRQWLQXRXVVLQHZDYHV

6XSHUSRVLWLRQRIWZRRSSRVLWHGLUHFWLRQZDYHSXOVHV
7KHDQLPDWLRQDWOHIWVKRZVWZR*DXVVLDQZDYHSXOVHVDUHWUDYHOOLQJLQWKHVDPHPHGLXPEXWLQRSSRVLWH
GLUHFWLRQV7KHWZRZDYHVSDVVWKURXJKHDFKRWKHUZLWKRXWEHLQJGLVWXUEHGDQGWKHQHWGLVSODFHPHQWLVWKH
VXPRIWKHWZRLQGLYLGXDOGLVSODFHPHQWV
,WVKRXOGDOVREHPHQWLRQHGWKDWWKLVPHGLXPLVQRQGLVSHUVLYHDOOIUHTXHQFLHVWUDYHODWWKHVDPHVSHHG
VLQFHWKH*DXVVLDQZDYHSXOVHVGRQRWFKDQJHWKHLUVKDSHDVWKH\SURSDJDWH,IWKHPHGLXPZDVGLVSHUVLYH
WKHQWKHZDYHVZRXOGFKDQJHWKHLUVKDSH
6ROLWRQVDUHH[DPSOHVRIQRQOLQHDUZDYHVWKDWGRQRWREH\WKHSULQFLSOHRIVXSHUSRVLWLRQZKHQWKH\LQWHUDFW
ZLWKHDFKRWKHU

&RQVWUXFWLYHDQG'HVWUXFWLYH,QWHUIHUHQFH
7ZRZDYHVZLWKWKHVDPHDPSOLWXGHIUHTXHQF\DQGZDYHOHQJWKDUHWUDYHOOLQJLQWKHVDPHGLUHFWLRQ8VLQJWKHSULQFLSOHRIVXSHUSRVLWLRQWKHUHVXOWLQJZDYH
GLVSODFHPHQWPD\EHZULWWHQDV
\[W \PVLQN[W\PVLQN[W \PFRVVLQN[W
ZKLFKLVDWUDYHOOLQJZDYHZKRVHDPSOLWXGHGHSHQGVRQWKHSKDVH:KHQWKHWZRZDYHVDUHLQSKDVH WKH\LQWHUIHUHFRQVWUXFWLYHO\DQGWKHUHVXOWKDVWZLFH
WKHDPSOLWXGHRIWKHLQGLYLGXDOZDYHV:KHQWKHWZRZDYHVKDYHRSSRVLWHSKDVH WKH\LQWHUIHUHGHVWUXFWLYHO\DQGFDQFHOHDFKRWKHURXW

7KHDQLPDWLRQDWOHIWVKRZVKRZWZRVLQXVRLGDOZDYHVZLWKWKHVDPHDPSOLWXGHDQGIUHTXHQF\FDQDGGHLWKHU
GHVWUXFWLYHO\RUFRQVWUXFWLYHO\GHSHQGLQJRQWKHLUUHODWLYHSKDVH127(WKLVDQLPDWLRQGRHVQRWGHSLFWWKH
SURSDJDWLRQRIDFWXDOZDYHVLQDPHGLXPLWRQO\VHUYHVWRLOOXVWUDWHWKHHIIHFWRIFKDQJLQJWKHSKDVHVKLIW
EHWZHHQWZRZDYHVDQGWKHUHVXOWLQJFRQVWUXFWLYHRUGHVWUXFWLYHLQWHUIHUHQFH7KHSKDVHGLIIHUHQFHEHWZHHQ
WKHWZRZDYHVLQFUHDVHVZLWKWLPHVRWKDWWKHHIIHFWVRIERWKFRQVWUXFWLYHDQGGHVWUXFWLYHLQWHUIHUHQFHPD\
EHVHHQ:KHQWKHWZRLQGLYLGXDOZDYHVDUHH[DFWO\LQSKDVHWKHUHVXOWLVODUJHDPSOLWXGH:KHQWKHWZRJUD\
ZDYHVEHFRPHH[DFWO\RXWRISKDVHWKHVXPZDYHLV]HUR

7ZRVLQHZDYHVWUDYHOOLQJLQRSSRVLWHGLUHFWLRQVFUHDWHDVWDQGLQJZDYH
$WUDYHOOLQJZDYHPRYHVIURPRQHSODFHWRDQRWKHUZKHUHDVDVWDQGLQJZDYHDSSHDUVWRVWDQGVWLOOYLEUDWLQJLQSODFH,QWKLVDQLPDWLRQWZRZDYHVZLWKWKHVDPH
DPSOLWXGHIUHTXHQF\DQGZDYHOHQJWKDUHWUDYHOOLQJLQRSSRVLWHGLUHFWLRQV8VLQJWKHSULQFLSOHRIVXSHUSRVLWLRQWKHUHVXOWLQJZDYHDPSOLWXGHPD\EHZULWWHQDV
\[W \PVLQN[W\PVLQN[W \PVLQN[FRVW
7KLVZDYHLVQRORQJHUDWUDYHOOLQJZDYHEHFDXVHWKHSRVLWLRQDQGWLPHGHSHQGHQFHKDYHEHHQVHSDUDWHG7KHWKHZDYHDPSOLWXGHDVDIXQFWLRQRISRVLWLRQLV\PVLQN[
7KLVDPSOLWXGHGRHVQRWWUDYHOEXWVWDQGVVWLOODQGRVFLOODWHVXSDQGGRZQDFFRUGLQJWRFRVW&KDUDFWHULVWLFRIVWDQGLQJZDYHVDUHORFDWLRQVZLWKPD[LPXP
GLVSODFHPHQWDQWLQRGHVDQGORFDWLRQVZLWK]HURGLVSODFHPHQWQRGHV

KWWSZZZDFVSVXHGXGUXVVHOO'HPRVVXSHUSRVLWLRQVXSHUSRVLWLRQKWPO





6XSHUSRVLWLRQRI:DYHV
7KHPRYLHDWOHIWVKRZVKRZDVWDQGLQJZDYHPD\EHFUHDWHGIURPWZRWUDYHOOLQJZDYHV,IWZRVLQXVRLGDO
ZDYHVKDYLQJWKHVDPHIUHTXHQF\DQGZDYHOHQJWKDQGWKHVDPHDPSOLWXGHDUHWUDYHOOLQJLQRSSRVLWH
GLUHFWLRQVLQWKHVDPHPHGLXPWKHQXVLQJVXSHUSRVLWLRQWKHQHWGLVSODFHPHQWRIWKHPHGLXPLVWKHVXPRI
WKHWZRZDYHV$VWKHPRYLHVKRZVZKHQWKHWZRZDYHVDUHRXWRISKDVHZLWKHDFKRWKHUWKH\FDQFHO
DQGZKHQWKH\DUHH[DFWO\LQSKDVHZLWKHDFKRWKHUWKH\DGGWRJHWKHU$VWKHWZRZDYHVSDVVWKURXJKHDFK
RWKHUWKHQHWUHVXOWDOWHUQDWHVEHWZHHQ]HURDQGVRPHPD[LPXPDPSOLWXGH+RZHYHUWKLVSDWWHUQVLPSO\
RVFLOODWHVLWGRHVQRWWUDYHOWRWKHULJKWRUWKHOHIWDQGWKXVLWLVFDOOHGDVWDQGLQJZDYH
,KDYHSODFHGWZRGRWVRQWKHVWULQJRQHDWDQDQWLQRGHDQGRQHDWDQRGH:KLFKLVZKLFK"
&KHFNRXWP\UHODWHGDQLPDWLRQWRVHHKRZVWDQGLQJZDYHVPD\EHFUHDWHGLQDPHGLXPGXHWRUHIOHFWLRQRI
DZDYHIURPDERXQGDU\

7ZRVLQHZDYHVZLWKGLIIHUHQWIUHTXHQFLHV%HDWV
7ZRZDYHVRIHTXDODPSOLWXGHDUHWUDYHOOLQJLQWKHVDPHGLUHFWLRQ7KHWZRZDYHVKDYHGLIIHUHQWIUHTXHQFLHVDQGZDYHOHQJWKVEXWWKH\ERWKWUDYHOZLWKWKHVDPHZDYH
VSHHG8VLQJWKHSULQFLSOHRIVXSHUSRVLWLRQWKHUHVXOWLQJSDUWLFOHGLVSODFHPHQWPD\EHZULWWHQDV
\[W \PVLQN[W\PVLQN[W \PFRV>NN[W@VLQ>NN[W@
7KLVUHVXOWLQJSDUWLFOHPRWLRQLVWKHSURGXFWRIWZRWUDYHOOLQJZDYHV2QHSDUWLVDVLQHZDYHZKLFKRVFLOODWHVZLWKWKHDYHUDJHIUHTXHQF\I II7KLVLVWKH
IUHTXHQF\ZKLFKLVSHUFHLYHGE\DOLVWHQHU7KHRWKHUSDUWLVDFRVLQHZDYHZKLFKRVFLOODWHVZLWKWKHGLIIHUHQFHIUHTXHQF\I II7KLVWHUPFRQWUROVWKHDPSOLWXGH
HQYHORSHRIWKHZDYHDQGFDXVHVWKHSHUFHSWLRQRIEHDWV7KHEHDWIUHTXHQF\LVDFWXDOO\WZLFHWKHGLIIHUHQFHIUHTXHQF\IEHDW  II

,QWKHDQLPDWLRQDWOHIWWZRZDYHVZLWKVOLJKWO\GLIIHUHQWIUHTXHQFLHVDUHWUDYHOOLQJWRWKHULJKW6LQFHWKHWZR
ZDYHVDUHWUDYHOOLQJLQWKHVDPHPHGLXPWKH\WUDYHOZLWKWKHVDPHVSHHG7KHUHVXOWLQJVXSHUSRVLWLRQVXP
ZDYHWUDYHOVLQWKHVDPHGLUHFWLRQDQGZLWKWKHVDPHVSHHGDVWKHWZRFRPSRQHQWZDYHVEXWLWVORFDO
DPSOLWXGHGHSHQGVRQZKHWKHUWKHWZRLQGLYLGXDOZDYHVKDYHWKHVDPHRURSSRVLWHSKDVH7KHEHDWZDYH
RVFLOODWHVZLWKWKHDYHUDJHIUHTXHQF\DQGLWVDPSOLWXGHHQYHORSHYDULHVDFFRUGLQJWRWKHGLIIHUHQFH
IUHTXHQF\

%DFNWRWKH$FRXVWLFVDQG9LEUDWLRQ$QLPDWLRQV3DJH

KWWSZZZDFVSVXHGXGUXVVHOO'HPRVVXSHUSRVLWLRQVXSHUSRVLWLRQKWPO