You are on page 1of 116

University of Miami

Scholarly Repository
Open Access Dissertations Electronic Theses and Dissertations

2016-04-25

A Pedagogical Analysis of Selected Early Piano


Works by Alexander Scriabin
Larisa Soboleva
University of Miami, l.soboleva@umiami.edu

Follow this and additional works at: https://scholarlyrepository.miami.edu/oa_dissertations

Recommended Citation
Soboleva, Larisa, "A Pedagogical Analysis of Selected Early Piano Works by Alexander Scriabin" (2016). Open Access Dissertations.
1629.
https://scholarlyrepository.miami.edu/oa_dissertations/1629

This Open access is brought to you for free and open access by the Electronic Theses and Dissertations at Scholarly Repository. It has been accepted for
inclusion in Open Access Dissertations by an authorized administrator of Scholarly Repository. For more information, please contact
repository.library@miami.edu.



81,9(56,7<2)0,$0,




$3('$*2*,&$/$1$/<6,62)6(/(&7('($5/<3,$12:25.6%<
$/(;$1'(56&5,$%,1

%\

/DULVD6REROHYD

$'2&725$/(66$<

6XEPLWWHGWRWKH)DFXOW\
RIWKH8QLYHUVLW\RI0LDPL
LQSDUWLDOIXOILOOPHQWRIWKHUHTXLUHPHQWVIRU
WKHGHJUHHRI'RFWRURI0XVLFDO$UWV

&RUDO*DEOHV)ORULGD

0D\
 







‹
/DULVD6REROHYD
$OO5LJKWV5HVHUYHG





81,9(56,7<2)0,$0,

$GRFWRUDOHVVD\VXEPLWWHGLQSDUWLDOIXOILOOPHQWRI
WKHUHTXLUHPHQWVIRUWKHGHJUHHRI
'RFWRURI0XVLFDO$UWV



$3('$*2*,&$/$1$/<6,62)6(/(&7('($5/<3,$12:25.6%<
$/(;$1'(56&5,$%,1


/DULVD6REROHYD

$SSURYHG

BBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBB BBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBB
1DRNR7DNDR'0$ 6DQWLDJR5RGULJXH]00
$VVLVWDQW3URIHVVRURI.H\ERDUG3HGDJRJ\ 3URIHVVRUDQG&KDLURI.H\ERDUG
3HUIRUPDQFH

BBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBB BBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBB
7LDQ<LQJ00 *XLOOHUPR3UDGR3K'
$VVRFLDWH3URIHVVRURI.H\ERDUG 'HDQRIWKH*UDGXDWH6FKRRO
3HUIRUPDQFH


BBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBB
0DUJDUHW'RQDJKXH'0$
$VVRFLDWH3URIHVVRURI,QVWUXPHQWDO
3HUIRUPDQFHDQG3URJUDP'LUHFWRURI
:RRGZLQGV









62%2/(9$/$5,6$   '0$.H\ERDUG3HUIRUPDQFHDQG3HGDJRJ\ 
   0D\ 

$3HGDJRJLFDO$QDO\VLVRI6HOHFWHG(DUO\3LDQR
:RUNVE\$OH[DQGHU6FULDELQ

$EVWUDFWRIDGRFWRUDOHVVD\DWWKH8QLYHUVLW\RI0LDPL
'RFWRUDOHVVD\VXSHUYLVHGE\'RFWRU1DRNR7DNDR

1RRISDJHVLQWH[W  


0RVWSLDQRWHDFKHUVFRQVLGHU$OH[DQGHU6FULDELQ¶VSLDQRZRUNVWREHDSSURSULDWH

RQO\IRUWKHLUPRVWDGYDQFHGVWXGHQWV:KLOHPDQ\ZRUNVE\)UHGHULF&KRSLQRI

HTXLYDOHQWGLIILFXOW\DUHUHJXODUO\SHUIRUPHGLQUHFLWDOVMXULHVDQGDXGLWLRQV6FULDELQ¶V

PXVLFXQGHVHUYHGO\LVH[FOXGHGIURPWKHHDUOLHUVWDJHVRIPXVLFDOWUDLQLQJ$OWKRXJK

VRPHRIKLVHDUO\RSXVHVVXFKDVWKH(WXGHV2SDQG3UHOXGHV2SDUHPRUH

SRSXODUWKHUHVWRIKLVPXVLFLVODUJHO\XQNQRZQHYHQWRSLDQRWHDFKHUV+LVPD]XUNDV

QRFWXUQHVDQGZDOW]HVDOOIURP6FULDELQ¶VHDUO\SHULRGDUHSHUIHFWH[DPSOHVRIWKH

5RPDQWLFVW\OHDQGKDYHWKHSRWHQWLDOWREHDQLPSRUWDQWSDUWRID\RXQJPXVLFLDQV¶

UHSHUWRLUH)RUSHUIRUPHUVDQGWHDFKHUVXQIDPLOLDUZLWK6FULDELQ¶VZRUNVWKHSURFHVVRI

EHFRPLQJFRQYHUVDQWZLWKWKHLQKHUHQWFKDOOHQJHVRIWKHVHZRUNVHQRXJKWRPDNHDQ

LQIRUPHGUHSHUWRLUHVHOHFWLRQPD\DSSHDUGDXQWLQJ7RIDFLOLWDWHVHYHQUHSUHVHQWDWLYH

HDUO\ZRUNV²WZRQRFWXUQHVWZRZDOW]HVWZRPD]XUNDVDQGDQLPSURPSWX²ZHUH

VHOHFWHGIRUGHWDLOHGDQDO\VLVIURPWKHWHDFKLQJDQGSUDFWLFLQJSHUVSHFWLYHV3HUWLQHQW





KLVWRULFDOLQIRUPDWLRQIRUHDFKSLHFHDVZHOODVVWUXFWXUDODQDO\VLVIRUHDFKSLHFHLV

SUHVHQWHG






7$%/(2)&217(176


3DJH

/,672)(;$03/(6LY

/,672)7$%/(6[

&KDSWHU

  ,1752'8&7,21 
  1HHGIRU6WXG\««««««««««««««««««««««««
  3XUSRVHRI(VVD\«««««««««««««««««««««««
  
  /,7(5$785(5(9,(:
  %LRJUDSKLFDO,QIRUPDWLRQ
  $QDO\VLVRI6FULDELQ¶V0XVLF
6W\OLVWLF&RPSDULVRQV
3HUIRUPDQFH3UDFWLFH6WXGLHV

  0(7+2'2/2*< 
:RUNV6HOHFWHGIRU$QDO\VLV
  2UJDQL]DWLRQRI$QDO\VLV

29(59,(:2)6&5,$%,1¶6,163,5$7216&+23,1$1'3,$12
  
  :25.66(/(&7(')25$1$/<6,6 
  1RFWXUQHLQ$)ODW0DMRU
  :DOW]LQ')ODW0DMRU
  :DOW]2S 
  0D]XUND2S1R
  0D]XUND2S1R
  1RFWXUQH2S1R
,PSURPSWX2S1R
 
&21&/86,21 
 
%,%/,2*5$3+<«««««




LLL



/,672)(;$03/(6

([DPSOH6FULDELQ1RFWXUQHLQ$IODWPDMRUPP

([DPSOH6FULDELQ1RFWXUQHLQ$IODWPDMRUP

([DPSOH7KH³FORFN´PHWKRG

([DPSOH7KH³FORFN´PHWKRG

([DPSOH6FULDELQ1RFWXUQHLQ$IODWPDMRUPP

([DPSOH&KRSLQ(WXGH2S1RPP

([DPSOH6FULDELQ1RFWXUQHLQ$IODWPDMRUPP

([DPSOH&KRSLQ1RFWXUQH2S1RPP

([DPSOH6FULDELQ1RFWXUQHLQ$IODWPDMRUPP

([DPSOH6FULDELQ1RFWXUQHLQ$IODWPDMRUPP

([DPSOH6FULDELQ1RFWXUQHLQ$IODWPDMRUP

([DPSOH&KRSLQ1RFWXUQH2S1RPP

([DPSOH$QWRQ5XELQVWHLQ(WXGH2S1RPP

([DPSOH6FULDELQ1RFWXUQHLQ$IODWPDMRUPP

([DPSOH DEF 6FULDELQ1RFWXUQHLQ$IODWPDMRUSUDFWLFLQJP

([DPSOH6FULDELQ1RFWXUQHLQ$IODWPDMRUP

([DPSOH6FULDELQ1RFWXUQHLQ$IODWPDMRUPP

([DPSOH'IODWPDMRU7RQLF URRWSRVLWLRQDQGLQYHUVLRQV 

([DPSOH

([DPSOH

([DPSOH

([DPSOH6FULDELQ:DOW]LQ'IODWPDMRUPP

LY



([DPSOH6FULDELQ:DOW]LQ'IODWPDMRUPP

([DPSOH%H\HU2S1R

([DPSOH6FULDELQ:DOW]LQ'IODWPDMRUPP

([DPSOH6FULDELQ:DOW]LQ'IODWPDMRUPP

([DPSOH6FULDELQ:DOW]LQ'IODWPDMRUPP

([DPSOH6FULDELQ:DOW]LQ'IODWPDMRUPP

([DPSOHV6FULDELQ:DOW]LQ'IODWPDMRUSUDFWLFLQJGRXEOHQRWHVLQOHIWKDQGPP
 

([DPSOH6FULDELQ:DOW]LQ'IODWPDMRUPP

([DPSOH%HHWKRYHQ6RQDWD2S1RPRYHPHQW,PP

([DPSOH6FULDELQ:DOW]LQ'IODWPDMRUPP

([DPSOH6FULDELQ:DOW]LQ'IODWPDMRUPPHLJKWKQRWHVFRPELQHGLQ
EORFNHGLQWHUYDOV

([DPSOH6FULDELQ:DOW]LQ'IODWPDMRUPPGRXEOHGHLJKWKQRWHV
  

([DPSOH6FULDELQ:DOW]LQ'IODWPDMRUPP

([DPSOH6FULDELQ:DOW]2SPP

([DPSOH6FULDELQ:DOW]2SPP

([DPSOH6FULDELQ:DOW]2SPPRULJLQDOYHUVLRQ

([DPSOH6FULDELQ:DOW]2SPPUHDUUDQJHGFKRUGVLQWKHULJKWKDQG
  

([DPSOHD6FULDELQ:DOW]2SP$USHJJLDWHGFKRUGRQO\LQOHIWKDQG
  

([DPSOHE6FULDELQ:DOW]2SP$USHJJLDWHGFKRUGIURPWKHERWWRP
 WRWKHWRS

([DPSOH6FULDELQ:DOW]2SPP

Y



([DPSOH6FULDELQ:DOW]2SPPVLPSOLILHGULJKWKDQGZLWKOHIWKDQGLQ
EORFNHGFKRUGV

([DPSOH6FULDELQ:DOW]2SPP

([DPSOH6FULDELQ:DOW]2SPP

([DPSOH6FULDELQ:DOW]2SPP

([DPSOH6FULDELQ:DOW]2SPP

([DPSOH6FULDELQ:DOW]2SPP

([DPSOH6FULDELQ:DOW]2SPP

([DPSOHD6FULDELQ0D]XUND2S1RPP

([DPSOHE6FULDELQ0D]XUND2S1RPP

([DPSOHV

([DPSOH6FULDELQ0D]XUND2S1RPPOHIWKDQG

([DPSOH6FULDELQ0D]XUND2S1RPPSUDFWLFLQJOHIWKDQG  
    

([DPSOH6FULDELQ0D]XUND2S1RPPSUDFWLFLQJOHIWKDQG
  

([DPSOH6FULDELQ0D]XUND2S1RPP

([DPSOH6FULDELQ0D]XUND2S1RPP

([DPSOH

([DPSOH6FULDELQ0D]XUND2S1RPP

([DPSOH&KRSLQ3RORQDLVH2S1R

([DPSOH6FULDELQ0D]XUND2S1R%VHFWLRQPP

([DPSOH0D]XUND2S1R%6HFWLRQPP

([DPSOH6FULDELQ0D]XUND2S1RPP

([DPSOH6FULDELQ0D]XUND2S1RPP

YL



([DPSOH&KRSLQ0D]XUND2S1RPP

([DPSOH6FULDELQ0D]XUND2S1RP

([DPSOH6FULDELQ0D]XUND2S1R2FWDYHVZLWKWKHLQQHUYRLFHPP
 

([DPSOH&KRSLQ(WXGH2S1R3DUDOOHORFWDYHVZLWKWKHLQQHUYRLFH
  

([DPSOH6FULDELQ0D]XUND2S1RILUVWWKHPHPP

([DPSOH6FULDELQ0D]XUND2S1RPPSOD\LQJRQO\ILUVWEHDWRIWKH
ULJKWKDQG

([DPSOH6FULDELQ0D]XUND2S1RPPIROORZLQJWKH³LQVLGH´ILQJHUV
 RIWKHMXPSV

([DPSOH6FULDELQ0D]XUND2S1RPP

([DPSOH6FULDELQ0D]XUND2S1RPP

([DPSOH6FULDELQ0D]XUND2S1RPP

([DPSOH6FULDELQ0D]XUND2S1RPP

([DPSOH&KRSLQ:DOW]2S1RPP

([DPSOH&KRSLQ%DOODGH2SPP

([DPSOH&KRSLQ7DUHQWHOOH2SPP

([DPSOH6FULDELQ0D]XUND2S1RPP

([DPSOH6FULDELQ1RFWXUQH2S1RPP

([DPSOH6FULDELQ1RFWXUQH2S1RPP

([DPSOH6FULDELQ1RFWXUQH2S1RPP

([DPSOH6FULDELQ1RFWXUQH2S1RPPUHJURXSHGWULSOHWVLQWKHOHIW
KDQGDFFRPSDQLPHQW

([DPSOH&KRSLQ1RFWXUQH2S1RPP

([DPSOH6FULDELQ1RFWXUQH2S1RPP

YLL



([DPSOH&KRSLQ,PSURPSWX)DQWDV\2SPP

([DPSOH6FULDELQ3UHOXGH2S1RPP

([DPSOH6FULDELQ1RFWXUQH2S1R5K\WKPLFPRWLYHRIWKHWUDQVLWLRQIURP
PLGGOHVHFWLRQWR5HFDSLWXODWLRQ

([DPSOH6FULDELQ1RFWXUQH2S1RPP

([DPSOH7FKDLNRYVN\1RFWXUQH2S1RPP

([DPSOH6FULDELQ,PSURPSWX2S1RPP

([DPSOH6FULDELQ,PSURPSWX2S1RP

([DPSOH6FULDELQ,PSURPSWX2S1RP

([DPSOH6FULDELQ,PSURPSWX2S1RP

([DPSOH6FULDELQ,PSURPSWX2S1RP

([DPSOH6FULDELQ,PSURPSWX2S1RPP

([DPSOH6FULDELQ6RQDWD)DQWDVLD2SPRY,PP

([DPSOH6FULDELQ3UHOXGH2S1RPP

([DPSOH6FULDELQ3UHOXGH2S1RPP

([DPSOH6FULDELQ,PSURPSWX2S1RPPRWLYH³D´

([DPSOH6FULDELQ,PSURPSWX2S1RPP

([DPSOH6FULDELQ,PSURPSWX2S1RPP

([DPSOH6FULDELQ(WXGH2S1RPP

([DPSOH6FULDELQ,PSURPSWX2S1RPPRULJLQDOYHUVLRQ 
    

([DPSOH6FULDELQ,PSURPSWX2S1RPPLQFRPSOHWHOHIWKDQG
  

([DPSOH6FULDELQ6RQDWD1R2SPRYHPHQW,,PP  
    


YLLL



([DPSOH6FULDELQ6RQDWD1R2SPP

([DPSOH&KRSLQ3UHOXGH2S1RPP

([DPSOH&KRSLQ1RFWXUQH2S1RPP

([DPSOH6FULDELQ,PSURPSWX2S1RPP

([DPSOH6FULDELQ,PSURPSWX2S1RPPWKHILQJHUVIRUDODUJHU
KDQGZLWKDJRRGVWUHWFK

([DPSOHV6FULDELQ,PSURPSWX2S1RPVWHSVRISUDFWLFLQJWKH
RUQDPHQW

([DPSOH6FULDELQ,PSURPSWX2S1RPSOD\LQJULJKWKDQG¶VSDUWZLWK
WZRKDQGV

([DPSOHV6FULDELQ,PSURPSWX2S1RPSUDFWLFLQJSRO\UK\WKPV 
  

([DPSOH6FULDELQ,PSURPSWX2S1RPPSUDFWLFLQJSRO\UK\WKPV
  

([DPSOH&KRSLQ3RORQDLVH2S1RP

([DPSOH6FULDELQ,PSURPSWX2S1RPP3UDFWLFLQJOHDSVLQ
OHIWKDQG

([DPSOH6FULDELQ,PSURPSWX2S1RPP3UDFWLFLQJOHDSVLQ
OHIWKDQG


 

L[




/,672)7$%/(6


7DEOH1RFWXUQHLQ$IODWPDMRU)RUP

7DEOH:DOW]LQ'IODWPDMRU)RUP

7DEOH:DOW]2S)RUP

7DEOH0D]XUND2S1R)RUP

7DEOH0D]XUND2S1R)RUP

7DEOH1RFWXUQH2S1R)RUP

7DEOH,PSURPSWX2S1R)RUP




[

&+$37(521(,1752'8&7,21

3LDQRWHDFKHUVRIWHQHQFRXQWHUGLIIHUHQWGLOHPPDVZKHQFKRRVLQJUHSHUWRLUHIRU

WKHLUVWXGHQWV:KDWSLHFHVKRXOGEHDVVLJQHGIRUWKLVSDUWLFXODUVWXGHQW",VLWDORJLFDO

FRQWLQXDWLRQLQKLVRUKHUPXVLFDOGHYHORSPHQW":LOOLWSURYLGHFKDOOHQJHVWKDWWKH

VWXGHQWZLOOEHDEOHWRVROYH":LOOLWILWWKHSHUVRQDOLW\RIWKHVWXGHQWQDWXUDOO\RUZLOOLW

H[SDQGLW":LOOLWEHLQWHUHVWLQJIRUDXGLHQFHVLQDUHFLWDOVHWWLQJ"&DQWKHSLHFHEHXVHG

IRUDQDXGLWLRQRUDFRPSHWLWLRQ"

7KURXJKWKHVHOHFWLRQRIUHSHUWRLUHWHDFKHUVDVVLJQWRVWXGHQWVWKHWHDFKHUVDOVR

FRQYH\SHUVRQDOPXVLFDOSKLORVRSKLHVVRPHWLPHVXQNQRZLQJO\7KHVHSKLORVRSKLHVDUH

ZKDWZHEHOLHYHVWXGHQWVQHHGWRDFKLHYHLQWHUPVRIPXVLFDODQGWHFKQLFDOJURZWK

)LQGLQJDSSURSULDWHUHSHUWRLUHWKDWUHIOHFWVWKHVHJRDOVLVSRVVLEOHDOEHLWFKDOOHQJLQJ

2IWHQWHDFKHUVPD\LQVWHDGPRGLI\WKHH[SHFWDWLRQVLQDQ\JLYHQZRUNWRILWWKHVWXGHQW

EXWWKLVDOVRFRPHVZLWKWKHSHULOVRILWVRZQWKDWKDYHEHHQH[SUHVVHGE\PDQ\

SHGDJRJXHVLQFOXGLQJ+HLQULFK1HXKDXVDQG5XWK6OHQF\QVND$V1HXKDXVFDXWLRQVXV

FDUHOHVVO\DSSURDFKLQJWKHIXQFWLRQDOLPSDFWRIUHSHUWRLUHDVVLJQPHQWZRXOGEHDPLVWDNH

ZLWKRXWDVHQVLWLYHDSSURDFKIURPWKHWHDFKHU¶VSDUWZHPD\EHWXUQLQJWKH³VXPWRWDORI

DUWLVWLFSLDQROLWHUDWXUHLQWRWUDLQLQJPDWHULDO´RU³DGDSW>LQJ@WKHFRPSRVHUWRWKHSXSLO

LQVWHDGRIUDLVLQJWKHSXSLOWRWKHFRPSRVHU´:KLOHWKLVZRXOGDOZD\VUHPDLQDGHOLFDWH

EDODQFLQJDFWYHU\RIWHQXQIRUWXQDWHO\SLDQRWHDFKHUVDVVLJQWKHVDPHUHSHUWRLUHWKH\

DUHXVHGWRDVVLJQLQJZLWKRXWPXFKWKRXJKW7KLVPD\DULVHIURPVLPSOHFRQYHQLHQFH


+LODU\$SIHOVWDGW³)LUVW7KLQJV)LUVW6HOHFWLQJ5HSHUWRLUH´0XVLF(GXFDWRUV-RXUQDOQR
-XO\ KWWSZZZMVWRURUJVWDEOH DFFHVVHG'HFHPEHU 

+HLQULFK1HXKDXV7KH$UWRI3LDQR3OD\LQJWUDQV.$/HLERYLWFK /RQGRQ%DUULH -HQNLQV
 





SURIHVVLRQDOKDELWRUKLGGHQLQVHFXULWLHVLQWKHSURFHVVRIILQGLQJDQGVHOHFWLQJUHSHUWRLUH

WKDWLVQRWZHOONQRZQRULVLQIUHTXHQWO\SHUIRUPHG

7KHUHKDVEHHQDQHQRUPRXVDPRXQWRIOLWHUDWXUHZULWWHQIRUSLDQRWKURXJKRXWLWV

ORQJKLVWRU\WKDWFRXOGEHH[FHOOHQWZRUNVIRU\RXQJPXVLFLDQVWRVWXG\*LYHQWKHYDVW

QXPEHURIFKRLFHVLWLVXQGHUVWDQGDEOHWKDWPDQ\WHDFKHUVHVSHFLDOO\WKRVHOHVV

H[SHULHQFHGPD\IHHORYHUZKHOPHGDQGFKRRVHWRVWD\ZLWKLQWKH³WULHGDQGWUXH´

WHDFKLQJUHSHUWRLUHZLWKFKDOOHQJHVWKDWDUHIDPLOLDU,WWDNHVWLPHDQGHIIRUWIRUWHDFKHUV

WRH[SDQGWHDFKLQJUHSHUWRLUHMXVWDVLWGRHVWRH[SDQGWKHSHUIRUPLQJUHSHUWRLUHEXWWKH

IRUPHULVQRWSDUWRIWKHSURIHVVLRQDOJRDOVRIWHQVSRNHQDERXW1RRQHZRXOGGLVDJUHH

WKDWH[SORULQJZRUNVE\OHVVHUNQRZQFRPSRVHUVKDVPHULWLQEURDGHQLQJVWXGHQWV¶

PXVLFDOSDOHWWH)RUWKHVDPHWRNHQH[DPLQLQJOHVVSHUIRUPHGZRUNVE\DIDPRXV

FRPSRVHUVKRXOGEHHTXDOO\FRQVLGHUHG7KHXQLTXHDGYDQWDJHRIWKHODWWHULVLQWKH

SUHSDUDWLRQRIWKHSXSLOIRUWKHZHOONQRZQZRUNVE\WKHVDPHFRPSRVHUODWHURQLQWKHLU

VWXGLHVDVZHOODVFRQWULEXWLQJWRDQDGGLWLRQDOGLPHQVLRQRIXQGHUVWDQGLQJIRUWKH

FRPSRVHU¶VZRUNRYHUDOO,QWKLVUHVSHFWWKHOHVVHUNQRZQZRUNVRI$OH[DQGHU6FULDELQ

DUHDSHUIHFWH[DPSOHRISRWHQWLDOUHSHUWRLUHIRUGHYHORSLQJVWXGHQWV

1HHGIRU6WXG\

7KHPXVLFRI$OH[DQGHU6FULDELQ  RIWHQDSSHDUVDVVWDQGDUGUHSHUWRLUH

LQDGYDQFHGSLDQRUHFLWDOSURJUDPV+LVWHQVRQDWDV)DQWDV\2SSUHOXGHVSRHPV

DQGHWXGHVUHPDLQZHOONQRZQZLWKLQPXVLFFLUFOHV+RZHYHUWKHLUPXVLFDODQGWHFKQLFDO

GHPDQGVRIWHQPDNHWKHPLPSRVVLEOHWREHSHUIRUPHGE\GHYHORSLQJSLDQLVWV

5HVHDUFKHUVXVXDOO\IRFXVWKHLUDWWHQWLRQRQWKHSHGDJRJLFDOYDOXHRIZRUNVWKDWDUHPRUH

SRSXODUVXFKDV(WXGHV2SRU3UHOXGHV2S<HWLQKLVHDUOLHUZRUNVZHILQG


SLHFHVVXFKDVZDOW]HVQRFWXUQHVLPSURPSWXVPD]XUNDVVFKHU]LDQGSRORQDLVHVWKDWDUH

PRUHDFFHVVLEOHE\LQWHUPHGLDWHWRDGYDQFHGSLDQRVWXGHQWV$OWKRXJKPDQ\RIWKHVH

ZRUNVKDYHEHHQPHQWLRQHGLQUHSHUWRLUHJXLGHVDJRRGSDUWRIWKHHDUO\FRPSRVLWLRQV

UHPDLQVZLWKRXWVFKRODUO\DWWHQWLRQEH\RQGPHUHPHQWLRQRIWKHLUH[LVWHQFH7KHYDULHW\

RIWHFKQLFDODQGPXVLFDOFKDOOHQJHVPDNHVWKHVHZRUNVDYLWDOSDUWRISLDQRUHSHUWRLUH

7KHUHLVFXUUHQWO\QROLWHUDWXUHWKDWH[DPLQHV6FULDELQ¶VOHVVHUNQRZQUHSHUWRLUH

IURPDSHGDJRJLFDOSRLQWRIYLHZ7KHUHIRUHWKHDLPRIWKLVVWXG\LVWRUHYHDOWKH

SHGDJRJLFDOYDOXHZLWKLQ6FULDELQ¶VHDUO\FRPSRVLWLRQV+LVQRFWXUQHVPD]XUNDVDQG

ZDOW]HVDUHZRUWK\RIFORVHH[DPLQDWLRQIURPERWKSHUIRUPDQFHDQGSHGDJRJLFDO

VWDQGSRLQWV:LWKPRUHIDPLOLDULW\WKHLUPHULWRULRXVQHVVDVERWKSHUIRUPDQFHDQG

WHDFKLQJUHSHUWRLUHFDQILQDOO\EHUHFRJQL]HGE\SHUIRUPHUVDQGWHDFKHUVDOLNH7KURXJKD

WKRURXJKH[DPLQDWLRQRIWKHVHZRUNVZHPD\KHOSVWXGHQWVDFTXLUHDVWURQJEDVLVIRU

PDQDJLQJWKHWHFKQLFDODQGPXVLFDOLGLRV\QFUDVLHVDVVRFLDWHGZLWKWKHSHUIRUPDQFH

SUDFWLFHRI6FULDELQ¶VZRUNVLQJHQHUDO,QDGGLWLRQVWXGHQWVFDQH[SORUHPDQ\SLDQLVWLF

DQGFRPSRVLWLRQDOIHDWXUHVWKDWDUHXQLTXHDQGUHFXUUHQWLQ6FULDELQ¶VZRUNV

SRO\UK\WKPVOHDSVRFWDYHVDQGSOD\LQJFDQWDELOHPHORGLHVZLWKDYDVWYDULHW\RI

DFFRPSDQLPHQWILJXUHV$ORQJZLWKVXFKWHFKQLFDODQGSLDQLVWLFVRSKLVWLFDWLRQ

6FULDELQ¶VFRPSRVLWLRQVDUHUHSOHWHZLWKDJDPXWRIHPRWLRQDOFRQWHQWH[SRVXUHWRZKLFK

FDQKHOSGHYHORSHPRWLRQDOPDWXULW\DQGUHDGLQHVVIRUDZLGHUDQJHRIH[SUHVVLRQLQWKH

ZRUNVE\RWKHUFRPSRVHUV$HVWKHWLFDOO\WKLVPXVLFPD\KHOSSUHSDUHDVWXGHQWWR

VKDUSHQWKHLUPXVLFDOLQVWLQFWVWRPDNHWKH³ULJKW´PXVLFDOGHFLVLRQVLQRWKHUVLPLODU

VW\OLVWLFZRUNVWKDWUHTXLUHDQHTXDOO\GHPDQGLQJOHYHORIVHQVLWLYLW\


$SDUWIURPEHLQJDOPRVWIRUJRWWHQWKHVHSLHFHVHQFRPSDVVYHU\DWWUDFWLYH

PHORGLHVDQGUK\WKPVWKDWZLOOKHOSPRWLYDWHVWXGHQWVWRRYHUFRPHWHFKQLFDODQGPXVLFDO

FKDOOHQJHVWKDWPD\RWKHUZLVHDSSHDUEH\RQGUHDFK7KLVPD\RIIHUDQRSSRUWXQLW\IRU

WKHWHDFKHUWRSURSHOWKHVWXGHQWWRDIXQGDPHQWDOO\KLJKHUOHYHORISLDQLVWLFDFKLHYHPHQW

ZLWKREYLRXVORQJWHUPEHQHILWV,QWURGXFLQJKLV\RXWKIXODQGPRUHDFFHVVLEOH

FRPSRVLWLRQVWRDSXSLOHDUO\KDVRWKHUDGYDQWDJHV:HPD\KHOSWKHSXSLOJDLQDEHWWHU

XQGHUVWDQGLQJRI6FULDELQ¶VPXVLFDOODQJXDJHWKHUHIRUHIRVWHULQJDPRUHDFFXUDWH

UHDOL]DWLRQRIKLVFRPSRVLWLRQDOLQWHQWLRQVRIKLVPDVWHUZRUNVODWHURQ$OVRWKHIDFWWKDW

WKH\DUHQRWRIWHQSHUIRUPHGKDVRWKHUUHZDUGVLWPDNHVWKHZRUNPRUHLQWHUHVWLQJIRU

ERWKWKHWHDFKHUDQGWKHVWXGHQWWKHDXGLHQFHDWDFRQFHUWPD\HQMR\KHDULQJVRPHWKLQJ

GLIIHUHQWIURPWKHFRPPRQO\XVHGUHSHUWRLUH

7KHUHKDVEHHQDVXEVWDQWLDODPRXQWRIUHVHDUFKGHGLFDWHGWR6FULDELQ¶VRXWSXW

WKDWKLJKOLJKWVFRPSRVLWLRQDODQGSHUIRUPDQFHXQGHUSLQQLQJVRIKLVZRUN6XFKVWXGLHV

IRFXVPRVWO\RQKLVZHOONQRZQUHSHUWRLUHDQGRPLWWKHVHOHFWLRQVWKDWDUHWKHIRFXVRI

WKHFXUUHQWVWXG\)URPWKHSHUVSHFWLYHRIDWHDFKHUZKRKDVQRWSHUIRUPHG6FULDELQ¶V

ZRUNVH[WHQVLYHO\WKHSURFHVVRIFKRRVLQJDUHSUHVHQWDWLYH\HWDFFHVVLEOHVHOHFWLRQIRU

SXSLOVPD\VHHPDUGXRXV7RIDFLOLWDWHFDUHIXOO\SUHVHOHFWHGFURVVVHFWLRQRIZRUNVZLOO

EHSUHVHQWHGWRJHWKHUZLWKSHUWLQHQWELRJUDSKLFDOFRQWH[WDQGGHWDLOHGDQDO\VLVIURPWKH

SUDFWLFHDQGWHDFKLQJSHUVSHFWLYHV

3XUSRVHRI6WXG\

7KHSXUSRVHRIWKLVZRUNLVWRSURPRWH6FULDELQ¶VHDUO\ZRUNVWREHLQWHJUDWHG

LQWRWKHVWXGLHVRIGHYHORSLQJSLDQLVWV,QWKHPLQGVRIWHDFKHUVJXLGLQJOHVVDGYDQFHG

VWXGHQWV6FULDELQ¶VQDPHLVXVXDOO\DVVRFLDWHGZLWKH[WUHPHO\GLIILFXOWDQGDGYDQFHG


WHFKQLFDOGHPDQGV6XFKDVVRFLDWLRQOLNHO\VWHPVIURPODFNRIIDPLOLDULW\ZLWKKLVZRUNV

RXWVLGHRIWKHIDPRXVVRQDWDVDQGHWXGHVDQGWKLVRIWHQUHVXOWVLQSRVWSRQLQJLQWURGXFLQJ

6FULDELQ¶VPXVLFWRWKHVWXGHQWXQWLODFHUWDLQDJHLQWHDFKLQJ7KLVVWXG\GHPRQVWUDWHV

WKDWZDLWLQJLVXQQHFHVVDU\+RZRIWHQ\RXQJVWXGHQWVSHUIRUPZDOW]HVQRFWXUQHVRU

LPSURPSWXVRI&KRSLQ"7KHWHDFKHUVPLJKWFRQVLGHUDOHVVWUDYHOHGSDWKZLWKWKHZRUNV

WKDWDUHQRWZHOONQRZQEXWDUHQROHVVEHDXWLIXORUFKDOOHQJLQJ,QFOXGLQJHDUO\PXVLFE\

6FULDELQFDQFRPSOHPHQWVWXG\RI&KRSLQ¶VZRUN7KHGLVFRYHUHGGLIIHUHQFHVPLJKW

SURYHHQOLJKWHQLQJIRUERWKHGXFDWRUDQGSHUIRUPHU+LVHDUO\FRPSRVLWLRQVDUHVLPLODUWR

&KRSLQ¶VZULWLQJEXWDWWKHVDPHWLPHLQGLFDWLYHRIWKHXQLTXHLQQRYDWLRQVWKDW6FULDELQ

GLVFRYHUHGODWHULQOLIHWKXVPDNLQJWKHPZRUWK\RIVWXG\HYHQE\DGYDQFHGVWXGHQWV

ZRUNLQJRQODWHUZRUNV)RUH[DPSOHWKHVXJJHVWLRQVRI3URPHWKHDQFKRUGFDQEHIRXQG

LQ:DOW]2SDQGLQVHYHUDOPD]XUNDVIURP2S

)URPWKHWHFKQLFDOVWDQGSRLQWVHYHUDORIWKHHDUO\RSXVHVDUHTXLWHDFFHVVLEOHIRU

VWXGHQWVDQGFRXOGUHSODFHIDPRXVDQGRIWHQSHUIRUPHGZRUNVE\&KRSLQ$OVR

6FULDELQ¶VHDUO\FRPSRVLWLRQVFDQLQVSLUHWKHVWXGHQWVWRWKHIXWXUHVWXG\RIRWKHU5XVVLDQ

FRPSRVHUVVXFKDV6HUJHL5DFKPDQLQRY1LNRODL0HGWQHUDQG6HUJHL3URNRILHY

6FULDELQ¶VFRPSRVLWLRQDOVW\OHFDQEHYLHZHGDVDWUDQVLWLRQEHWZHHQSUDFWLFHVRIWKH

5RPDQWLFSHULRGDQGWKHPRGHUQLVPWKDWIROORZHG7KHWHFKQLFDODQGPXVLFDO

DFFHVVLELOLW\RIKLVHDUO\RSXVPDNHVLWLGHDOIRUVWXGHQWVZKRPD\EHXQIDPLOLDUZLWK

PRUHFRQWHPSRUDU\FRPSRVHUVSRWHQWLDOO\LQVSLULQJWKHPWRH[DPLQHRWKHUFRPSRVHUV


1DWDOL\D6XNKLQD³$OH[DQGHU6FULDELQ  3LDQR0LQLDWXUHVDV&KURQLFOHRI+LV
&UHDWLYH(YROXWLRQ&RPSOH[LW\RI,QWHUSUHWDWLYH$SSURDFKDQG,WV,PSOLFDWLRQV´ 3K'GLVV8QLYHUVLW\RI
1RUWK7H[DV0D\ KWWSVHDUFKSURTXHVWFRPGRFYLHZ"DFFRXQWLG  DFFHVVHG
-DQXDU\ 


ODWHU:KLOHSLDQLVWVUHODWLYHO\QHZWRWHDFKLQJPD\QRWEHLQFOLQHGWRVHDUFKIRUPRUH

DFFHVVLEOHZRUNVDPRQJWKHODUJHRXWSXWE\6FULDELQDQDQQRWDWHGJXLGHRISUHVHOHFWHG

UHSHUWRLUHLVKRSHGWRHQFRXUDJHLQFOXGLQJWKHPLQWKHLUWHDFKLQJDQGSHUIRUPDQFH

 
&+$37(57:2/,7(5$785(5(9,(:

6FULDELQ¶VILJXUHKDVGUDZQWKHDWWHQWLRQRIELRJUDSKHUVWKHRULVWVDQG

SHUIRUPHUVDVZHOODVPXVLFDOFULWLFVRYHUWKHGHFDGHV7KHLQWHUHVWLQKLVP\VWLF

SHUVRQDOLW\DQGH[FHSWLRQDOZRUNKDVQRWFHDVHGWRWKLVGD\(YHQRQHKXQGUHG\HDUVDIWHU

KLVGHDWKQHZSXEOLFDWLRQVHGLWLRQVUHFRUGLQJVDQGDQDO\VLVRIKLVPXVLFFRQWLQXHWR

DSSHDU

 7KHH[LVWLQJOLWHUDWXUHFDQEHFDWHJRUL]HGLQWRIRXUJURXSV

x %LRJUDSKLFDO

x *HQHUDOVW\OLVWLFDQGWKHRUHWLFDODQDO\VLVRIKLVPXVLF

x 6W\OLVWLFFRPSDULVRQVZLWKRWKHUFRPSRVHUVLQFOXGLQJWKRVHFRPSDULQJ

6FULDELQ¶VHDUO\ZRUNVZLWK&KRSLQ

x 3HUIRUPDQFHSUDFWLFHVWXGLHV

%LRJUDSKLFDO,QIRUPDWLRQ

0DQ\VRXUFHVDERXW6FULDELQ¶VOLIHZHUHZULWWHQLQ5XVVLDQ%RRNVUHIHUUHGIRU

WKHSUHVHQWSURMHFWDUH5HPLQLVFHQFHVDERXW6FULDELQE\/HRQLG6DEDQHHY7KH&KURQLF

RIWKH/LIHDQG&UHDWLRQRI$16FULDELQE\0DUJDUHW3UHDVKQLNRYDDQG2OJD

7RPSDNRYDDQG6FULDELQ$UWLVWDQG0\VWLFE\%RULV6FKORH]HU

7KHPDLQVRXUFHVLQ(QJOLVKODQJXDJHDUH6FULDELQ$%LRJUDSK\E\)DXELRQ

%RZHUV6FULDELQE\$OIUHG6ZDQDQG$*UHDW5XVVLDQ7RQH3RHW6FULDELQE\$UWKXU

(DJOHILHOG+XOO


 $OO5XVVLDQWLWOHVDUHWUDQVODWHGE\WKHDXWKRU





/HRQLG6DEDQHHY UHSULQWHG VKDUHVPDQ\LQWHUHVWLQJIDFWVDERXW

6FULDELQ¶VOLIHDQGZRUNLQWKHERRNWKDWFRYHUVWKHODVWILYH\HDUVRI6FULDELQ¶VOLIHZKHQ

6FULDELQDQG6DEDQHHYEHFDPHFORVHIULHQGV

7KHVWXG\RI3UHDVKQLNRYDDQG7RPSDNRYD  LVDGHWDLOHGRXWOLQHRI

6FULDELQ¶VOLIHFRQFHUWVFKHGXOHSUHPLHUHRIWKHZRUNVDQGHYHQWVLQKLVSHUVRQDOOLIH

0DULQD6FULDELQ  GDXJKWHURIWKHFRPSRVHUWUDQVODWHG6FULDELQ¶V

QRWHERRNVIURP5XVVLDQWR)UHQFK%RULVGH6FKORH]HUEURWKHURI6FULDELQ¶VVHFRQGZLIH

7DW\DQDZURWHDERRNWLWOHG6FULDELQ$UWLVWDQG0\VWLF  ZKLFKVKDUHVWKH

FRPSRVHU¶VP\VWLFDODQGSKLORVRSKLFDOEHOLHIVZKLFKZDVWUDQVODWHGLQWR(QJOLVKE\

1LNRODV6ORQLPVN\  )DXELRQ%RZHUV  ZURWHWKHILUVWGHWDLOHGDFFRXQW

RIWKHFRPSRVHU¶VELRJUDSK\LQ(QJOLVK,QWKHVDPH\HDUWZRRWKHUELRJUDSKLHVE\

%ULWLVKDXWKRUVZHUHUHSULQWHG VHFRQGHGLWLRQV 6FULDELQE\$OIUHG6ZDQ¶V ILUVWHGLWLRQ

 DQG$*UHDW5XVVLDQ7RQH3RHW6FULDELQE\$UWKXU(DJOHILHOG+XOO ILUVWHGLWLRQ

 

2IWKHDERYHZRUNVWKRVHE\3UHDVKQLNRYDDQG7RPSDNRYDDVZHOODVE\

)DXELRQ%RZHUVLQIRUPHGP\VWXG\ZLWKWKHKLVWRULFDOGHWDLOVDERXWWKHFRPSRVLWLRQVDQ

LPSRUWDQWSDUWRIVWXGHQWV¶XQGHUVWDQGLQJRIWKHZRUNVLQTXHVWLRQ

$QDO\VLVRI6FULDELQ¶V0XVLF

6WXGLHVWKDWH[DPLQHWKHVW\OLVWLFDVSHFWRI6FULDELQ¶VZRUNVDUH6SHFLILFVRI

6FULDELQ¶V3LDQLVWLF6W\OHE\$QD1LNRODHYD7KH0XVLFRI$OH[DQGHU6FULDELQE\-DPHV

0%DNHU6FULDELQE\+XJK0DFGRQDOG7RQDO0LUDJHV$0XOWLIDFHWHG9LHZRI7RQDOLW\

LQWKH(DUO\7UDQVLWLRQDO3LHFHVRI$OH[DQGHU6FULDELQE\%ULDQ+RIIPDQ6FULDELQ¶V

(WXGHV2SE\0LNKDLO<DQRYLWVN\DQG6FULDELQWKH3URJUHVVLYH(OHPHQWVRI


0RGHUQLVPLQWKH(DUO\:RUNVRI$OH[DQGHU6FULDELQE\.HLWK3KLOOLS6DOOH\7KHVH

VWXGLHVDUHYHU\GLIIHUHQWLQWKHLUVWUXFWXUHDQGFRQWHQWEXWHDFKGHWDLOV6FULDELQ¶V

PXVLFDOVW\OHIURPDSDUWLFXODUSHUVSHFWLYH

1LNRODHYD¶VVWXG\  GLVFXVVHVWKHHOHPHQWVRI6FULDELQ¶VPXVLFLQWKUHH

FDWHJRULHV³O\ULFLPDJH´³PRYLQJLPDJH´DQG³YRODWLOHLPDJH´VXFKFRQFHSWXDO

IUDPHZRUNLVXVHIXOLQWKHFXUUHQWVWXG\7KH³O\ULFLPDJH´FKDSWHUGHVFULEHVSUHOXGHV

DQGQRFWXUQHVZKLOHWKH³PRYLQJLPDJH´LVGHVFULEHGWKURXJKZDOW]HVPD]XUNDV

LPSURPSWXVDQGVWXGLHV7KH³YRODWLOHLPDJH´ZKLFKLVFKDUDFWHULVWLFRIWKHVHFRQG

SHULRGRI6FULDELQ¶VZRUNDFFRUGLQJWR1LNRODHYDDSSHDUVILUVWLQ(WXGH2S1R

7KHFKDSWHUDERXWWKH³O\ULFLPDJH´LVSDUWLFXODUO\YDOXDEOHWRWKHFXUUHQWVWXG\DVLW

LQFOXGHVPXOWLSOHH[DPSOHVRIWKHHDUO\ZRUNV

0DFGRQDOG¶VERRN  WDONVDERXWWKHLPSRUWDQFHRIWKHHDUO\SLHFHVLQWKH

VW\OLVWLFGHYHORSPHQWRI6FULDELQ¶VPXVLF7KHILUVWFKDSWHU³$OOHJUR$SSDVVLRQDWR2S

)RXQGDWLRQRIWKH6W\OH´GHPRQVWUDWHVKRZVXFKDQHDUO\RSXVDOUHDG\LQFOXGHVPDQ\

DVSHFWVRI6FULDELQ¶VPXVLFDOODQJXDJHWKDWZLOOEHUHFRJQL]HGODWHU

$QLPSRUWDQWWKHRUHWLFDOVWXG\RI6FULDELQ¶VPXVLFEHORQJVWR-DPHV0%DNHU

 ZKRVH6FKHQNHULDQDQDO\VLVRI6FULDELQ¶VPXVLFZDVWKHILUVWWRH[DPLQHKLV

KDUPRQ\IURPWKHSHUVSHFWLYHRIYRLFHOHDGLQJ+HH[SODLQVWKHJUHDWYDULHW\RI

VRQRULWLHVDQGWKHLUFRPSOH[UHODWLRQVZLWKLQWKHIUDPHZRUNRIVHWFRPSOH[WKHRU\DQG

LQWURGXFHVDQRULJLQDOPHWKRGRIVWDWLVWLFDODQDO\VLVWRVXUYH\6FULDELQ¶VKDUPRQLF

SUDFWLFHIURPWR+LVZRUNLQFOXGHVFRPSUHKHQVLYHDQDO\VLVRILPSRUWDQW

ZRUNVVXFKDVWKH)LIWK3LDQR6RQDWD3RHPRI(FVWDV\DQG3URPHWKHXV$OWKRXJK

%DNHU¶VVWXG\IRFXVHVRQWUDQVLWLRQDODQGODWHZRUNVRIWKHFRPSRVHUKLVZRUNLVRI


LQWHUHVWEHFDXVHWKHUHLVDFKDSWHUWKDWGLVFXVVHVWKHVWUXFWXUHRIKLVHDUO\ZRUNVZLWK

VFKHPDWLFH[DPSOHVRIVHOHFWHGZRUNV

+RIIPDQIROORZV%DNHU¶VPHWKRGDQGDQDO\]HVWZRSUHOXGHVIURPWKHPLGGOH

SHULRG 2S1RDQG2S1R WKURXJKWKHSHUVSHFWLYHRI6FKHQNHULDQDQDO\VLV

DQGFRQWH[WXDOYRLFHOHDGLQJDQDO\VLV  .

 <DQRYLWVN\¶VWKHVLV  H[SORUHVWKHVW\OLVWLFDQGSHUIRUPDQFHSHUVSHFWLYHV

IRXQGLQ6FULDELQ¶V(WXGHV2S7KHDXWKRUVWDWHVWKDWWKLVVHWLVRI³FUXFLDOLPSRUWDQFH

IRUFRPSUHKHQGLQJERWK6FULDELQ¶VPXVLFDOODQJXDJHDQGWKHSUREOHPVWKDWKLVZRUNV

SRVHIRUFRQWHPSRUDU\SHUIRUPHUV´7KHVHFRQGFKDSWHURIWKLVUHVHDUFKSURYLGHVDQ

KLVWRULFDOEDFNJURXQGIRU6FULDELQ¶VHDUO\FRPSRVLWLRQDOODQJXDJHDQGWDONVDERXW

VHOHFWHGHDUO\ZRUNVWKDWSUHILJXUH(WXGHV2S7KLVFKDSWHUZDVHVSHFLDOO\KHOSIXOIRU

WKHSUHVHQWVWXG\VLQFHLWWDONVDERXWVHYHUDOSLHFHVDQDO\]HGKHUHVXFKDV:DOW]2S

0D]XUNDV2SDQG1RFWXUQHV2S

6DOOH\¶VGLVVHUWDWLRQ  H[DPLQHVSLHFHVIRUSLDQRVRORIURP6FULDELQ¶VHDUO\

SHULRGLQWHUPVRIKDUPRQ\VWUXFWXUHV\PPHWU\DQGPRWLYH+HDOVRSURYLGHV

FRQFXUUHQWGHYHORSPHQWVLQ5XVVLDQLQWHOOHFWXDOKLVWRU\6DOOH\FODLPVWKDWWKHHDUO\

SHULRGRI6FULDELQ¶VOLIHRIWHQQHJOHFWHGE\WKHVFKRODUVLVYHU\LPSRUWDQWDQGPDNHVD

FRPSHOOLQJDUJXPHQWWKDWKLVHDUO\ZRUNVDUHXQLTXHZLWKVHYHUDODVSHFWVRIKLVVW\OH

EHLQJPRGHUQLVWLFDQGUHODWDEOHWRDVSHFWVRIKLVODWHUVW\OH

 
0LNKDLO<DQRYLWVN\³6FULDELQ¶V(WXGHV2S´ 3K'GLVV7HPSOH8QLYHUVLW\ LL
KWWSVHDUFKSURTXHVWFRPGRFYLHZ"DFFRXQWLG  DFFHVVHG0DUFK 


.HLWK3KLOOLS6DOOH\³6FULDELQWKH3URJUHVVLYH(OHPHQWVRI0RGHUQLVPLQWKH(DUO\:RUNVRI
$OH[DQGHU6FULDELQ´ 3K'GLVV6FKRRORI0XVLFDQG'DQFH8QLYHUVLW\RI2UHJRQ LLL
KWWSVHDUFKSURTXHVWFRPGRFYLHZ"DFFRXQWLG  DFFHVVHG-DQXDU\ 

,ELGY


7KHUHDUHDQXPEHURIGLVVHUWDWLRQVGHGLFDWHGWR6FULDELQ¶VSLDQRVRQDWDV$OOWHQ

SLDQRVRQDWDVDUHDQDO\]HGE\*UHJRU\$6WUDPSH  WKHSHUIRUPDQFHSUREOHPVLQ

VHOHFWHGSLDQRVRQDWDVDUHGLVFXVVHGE\-RKQ$*RUPDQ  +HUEHUW+DUROG:LVH

 GHWHUPLQHVWKHUHODWLRQVKLSEHWZHHQSLWFKVHWVDQGPXVLFDOIRUPLQ6RQDWDV1R

WKURXJKDQG%UHWW$QGHUVRQ  RIIHUVDQLQWHJUDODQDO\VLVRIVRQDWDV1RDQG

1R&KL]XNR$VDGD  SUHVHQWVWKH6FKHQNHULDQDQDO\VLVRIVRQDWD1R2S

(PLO\&KLOLQ&KLDQJ  GHVFULEHVUXEDWRDQGFOLPD[SURMHFWLRQLQSLDQRVRQDWDV1R

2SDQG1R2S

6RPHVWXGLHVDUHGHGLFDWHGWRSLDQRPLQLDWXUHVIURPGLIIHUHQWSHULRGVRI

6FULDELQ¶VOLIH1DWDOL\D6XNKLQD  DQDO\]HVZRUNVIURPGLIIHUHQWSHULRGV-HIIUH\

<XQHN  IRFXVHVRQWKHODWHPLQLDWXUHVDQG'DQLHO3HUHLHUD*RQ]DOH]  WDONV

DERXWHYROXWLRQRI6FULDELQ¶VVW\OHWKURXJKDOORIWKHSLDQRSUHOXGHV

6W\OLVWLF&RPSDULVRQV

 7KLVFDWHJRU\LQFOXGHVVRXUFHVWKDWGLVFXVVVLPLODULWLHVDQGGLIIHUHQFHVZLWKRWKHU

FRPSRVHUVDQGLQFOXGHVWKHIROORZLQJVWXGLHV6FULDELQE\+XJK0DFGRQDOG7KH

,QIOXHQFHRI&KRSLQLQ3LDQR0XVLFRQWKH7ZHQW\)RXU3UHOXGHVIRU3LDQR2SRI

$OH[DQGHU6FULDELQE\6HRQJ$H/LP7KH6FULDELQ6RXQGDQG6W\OH$Q$QDO\VLVRI

7ZHOYH(WXGHV2SE\:HQ&KLQJ/LQ7KH0D]XUND7ULDQJOH7KH,QIOXHQFHRIWKH

0D]XUNDVRI)UpGpULN&KRSLQRQWKH0D]XUNDVRI$OH[DQGHU6FULDELQDQG5HLQKROG

*OLqUHE\&DURO.HQGDOO2OLYHU$&RPSDULVRQRI6FULDELQ
V/DVW)LYH3LDQR6RQDWDVDQG

0HVVLDHQ¶V9LQJW5HJDUGV6XUO
(QIDQW-HVXV$QDO\VHVRI6RQDWD1RDQG

/DXUD/\QQ:KLWHKHDG³7UDQVFHQGHQW6RXQGV7KH(DUO\3LDQR0XVLFRI$OH[DQGHU6FULDELQ´
0$GLVV8QLYHUVLW\RI9LFWRULD 




&RQWHPSODWLRQV,,9DQG;;E\<L7LQJ/LQDQG7UDGLWLRQDQG,QQRYDWLRQLQWKH

7ZHQW\)RXU3UHOXGHV2SXVRI$OH[DQGHU6FULDELQE\+ZD<RXQJ/HH0RVWRIWKH

VRXUFHVIURPWKLVFDWHJRU\WDONDERXWVLPLODULWLHVRI6FULDELQ¶VHDUO\PXVLFLQFRPSDULVRQ

ZLWK&KRSLQ¶VDQGH[DPLQHYDULRXVZD\VLQZKLFKWKHVWURQJLQIOXHQFHE\WKH3ROLVK

FRPSRVHURYHU6FULDELQFDQEHWUDFHGUHODWLYHWRRWKHULQIOXHQFHV

0DFGRQDOG¶VVWXG\  LQFOXGHVWKHGLVFXVVLRQRIJHQHUDOFKDUDFWHULVWLFVRI

6FULDELQ¶VZRUNFRPSDULQJLWZLWKWKHZRUNVRIRWKHUFRPSRVHUVZKRLQIOXHQFHGKLP

VXFKDV7FKDLNRYVN\&KRSLQ/LV]WDQG:DJQHUDQGWKHFRPSRVHUVZKRZHUHLQWXUQ

LQIOXHQFHGE\6FULDELQVXFKDV3URNRILHY6WUDYLQVN\DQG0HVVLDHQ0DFGRQDOG

GHPRQVWUDWHVKDUPRQLFVLPLODULWLHVEHWZHHQWKHGLIIHUHQWSHULRGVRI6FULDELQ¶VZRUN

XVLQJVSHFLILFPXVLFDOH[DPSOHVIURPZRUNVE\6FULDELQDVZHOODVE\WKHFRPSRVHUV

OLVWHGDERYH

7KHGLVVHUWDWLRQVE\6HRQJ$H/LP  DQGE\+ZD<RXQJ/HH  

GLVFXVVKRZ&KRSLQ¶VLQIOXHQFHPDUNHGDSRLQWRIGHSDUWXUHLQ6FULDELQ¶VFRPSRVLWLRQDO

VW\OH7KHODWWHUDOVRDQDO\]HVDOOWZHQW\IRXUSUHOXGHVWKHLUVWUXFWXUHKDUPRQLF

SURJUHVVLRQYRLFHOHDGLQJDQGSKUDVLQJ

:HQ&KLQJ/LQ¶VWKHVLV  GHPRQVWUDWHV&KRSLQ¶VLQIOXHQFHE\FRPSDULQJ

&KRSLQ¶V(WXGHV2SDQG6FULDELQ¶V(WXGHV2S

 <L7LQJ/LQ  FRPSDUHV6FULDELQDQG0HVVLDHQ¶VZRUNIURPWKHDVSHFWRI

WKHLUSKLORVRSKLFDODQGUHOLJLRXVEHOLHYHVGHWHUPLQLQJGLIIHUHQWHIIHFWVEURXJKWE\WKHLU

SKLORVRSKLHVRQPXVLFDQGREVHUYLQJWKHLQIOXHQFHVEURXJKWWREHDURQWKHFRPSRVLWLRQV

E\WKHYDULRXVFXOWXUDODQGELRJUDSKLFDOEDFNJURXQGVRIWKHFRPSRVHUV


<L7LQJ/LQ³$&RPSDULVRQRI6FULDELQ¶V/DVW)LYH3LDQR6RQDWDVDQG0HVVLDHQ¶V9LQJW
5HJDUGV6XUO¶(QIDQW-HVXV$QDO\VHVRI6RQDWDQRDQG&RQWHPSODWLRQV,,9DQG;;´ 3K'GLVV


 7KHVWXG\E\&DURO.HQGDOO2OLYHU  VKRZVVLPLODULWLHVEHWZHHQ&KRSLQ

ZLWK6FULDELQPD]XUNDV7KHDXWKRULQFOXGHVVSHFLILFPXVLFH[DPSOHVLQWKHDERYH

GLVFXVVLRQLQFOXGLQJ6FULDELQ¶V0D]XUNDV2S$OWKRXJK2OLYHU¶VVWXG\GRHVQRW

LQFOXGHGHVFULSWLRQVRIWKHHDUO\0D]XUNDV2SKHUUHVHDUFKSURYLGHVSHUWLQHQW

LQIRUPDWLRQDERXWPD]XUNDDVDJHQUHZKLFKLVKHOSIXOIRUP\VWXG\

3HUIRUPDQFH3UDFWLFH6WXGLHV

 :RUNVWKDWVSHFLILFDOO\DGGUHVVWKHJHQHUDOSHUIRUPDQFHDVSHFWRI6FULDELQ¶V

SLDQRPXVLFLQFOXGH7KH3HUIRUPLQJ6W\OHRI$OH[DQGHU6FULDELQE\$QDWROH/HLNLQ

6FULDELQ¶V3UHOXGHV2S$3HGDJRJLFDO*XLGHE\&XOO\%HOO7KH(WXGHVRI

$OH[DQGHU6FULDELQ$3HUIRUPDQFH3HUVSHFWLYHE\5REHUW&UDLJ5XFNPDQ$

3HUIRUPHU¶V*XLGHWRWKH3LDQR(WXGHV2SRI$OH[DQGHU6FULDELQE\-X+HH.LP

DQG/HIW+DQG$USHJJLDWHG)LJXUDWLRQLQWKH3LDQR:RUNVRI$OH[DQGHU6FULDELQ

&KDUDFWHULVWLF7\SHVDQG7KHLU3HUIRUPDQFH3UDFWLFHE\<RRMXQJ.LP

/HLNLQ¶V  ERRNLVDVWXG\EDVHGRQ6FULDELQ¶VRZQSHUIRUPDQFHVXVLQJWKH

FRPSRVHU¶VSLDQRUROOUHFRUGLQJV$ORQJZLWKWKH6RQDWD)DQWDV\2SDQG6RQDWD1R

2SWKHVHUROOVLQFOXGH(WXGH2S1RDQGVRPHRIWKH3UHOXGHV2S7KLV

ERRNLVDJUHDWUHVRXUFHIRUXQGHUVWDQGLQJKRZ6FULDELQKLPVHOISHUIRUPHGKLVPXVLF

3HUWLQHQWLQIRUPDWLRQDERXWKLVXVHRIUXEDWRSHGDODQGDUWLFXODWLRQZLOOEHUHIHUUHGWRLQ

WKHFXUUHQWVWXG\DVDJXLGHWRSHUIRUPDQFHSDUDPHWHUVIRUWKHZRUNVGLVFXVVHG

5HVHDUFKE\&XOO\%HOO  LVDSHGDJRJLFDOJXLGHIRUWKHVHWRI3UHOXGHV2S

7KHDXWKRUFODLPVWKDW2SFDQVHUYHDVDQLQWURGXFWLRQWRURPDQWLFPXVLFDQG

ZRXOGEHFRPHDJRRGVXEVWLWXWLRQIRUIDPRXVSUHOXGHVE\&KRSLQDQG5DFKPDQLQRII

6RXWKZHVWHUQ%DSWLVW7KHRORJLFDO6HPLQDU\7H[DV YL
KWWSVHDUFKSURTXHVWFRPGRFYLHZ"DFFRXQWLG  DFFHVVHG0DUFK 


7KHDXWKRUGHVFULEHVHDFKSUHOXGHOHYHOLQJWKHSLHFHDFFRUGLQJWRWKHPXVLFDODQG

WHFKQLFDOGLIILFXOW\

5XFNPDQ¶VVWXG\  JRHVEH\RQGWKHLOOXVWUDWLRQVRIWKHSHUIRUPDQFH

SUREOHPVWKDWSLDQLVWVHQFRXQWHULQ6FULDELQ¶VPXVLF7KHDXWKRUVWDWHVWKDW³E\YLUWXHRI

WKHLUFKURQRORJLFDOSODFHPHQWLQ6FULDELQ¶VFRPSOHWHZRUNVHWXGHVLOOXVWUDWHKLV

FRPSRVLWLRQDOGHYHORSPHQWVKRZLQJWKHJUDGXDOWUDQVIRUPDWLRQIURPVLPSOHGLDWRQLF

KDUPRQ\WRXOWUDFKURPDWLFLVPDQGDWRQDOLW\´7KHUHIRUHHWXGHVDSSHDUDVODQGPDUNVLQ

KLVVW\OLVWLFGHYHORSPHQW5XFNPDQQRWRQO\H[DPLQHVWKHGLIILFXOWLHVRIWKHHWXGHVEXW

DOVRLQFOXGHVH[DPSOHVRIRWKHUSLHFHV²PD]XUNDVLPSURPSWXVDQGSUHOXGHV²WKDW

FRQWDLQVLPLODUWHFKQLFDOSUREOHPV

 -X+HH.LP  GHVFULEHVSUDFWLFHDQGSHUIRUPDQFHWHFKQLTXHVRUJDQL]HG

XQGHUWKHDUHDVRIILQJHULQJVDUWLFXODWLRQDQGSKUDVLQJG\QDPLFVUK\WKPDQGWHPSRDQG

SHGDOLQJ7KHVHFWLRQGHGLFDWHGWRWKHWHFKQLTXHSDUWRIWKH(WXGHV2SZDV

HVSHFLDOO\KHOSIXOLQP\SURMHFW.LPOLVWVDOOSRVVLEOHGLIILFXOWLHVWKDWWKHSHUIRUPHUFDQ

KDYHZKLOHZRUNLQJRQWKHSLHFHV$OWKRXJKZRUNVIURP2SEHORQJWRWKHPLGGOH

SHULRGWKHUHDUHPDQ\FRPPRQFRPSRQHQWVWKDWDUHHTXDOO\DSSOLFDEOHWRWKHHDUO\

SLHFHV

5HVHDUFKE\<RRMXQJ.LP  GHP\VWLILHV6FULDELQ¶VFRPSOH[ILJXUHVLQWKH

OHIWKDQG7KHDXWKRUFODLPVWKDWOHIWKDQGDUSHJJLDWHGILJXUHVDUHDPRQJWKHPRVW

FRPSOH[DQGYHUVDWLOHLQWKHKLVWRU\RINH\ERDUGZULWLQJDQGWKDWWKH\DUHRQHRIWKHPRVW


5REHUW&UDLJ5XFNPDQ³7KH(WXGHVRI$OH[DQGHU6FULDELQ$3HUIRUPDQFH3HUVSHFWLYH´ 3K
'GLVV&ROOHJH&RQVHUYDWRU\RI0XVLF8QLYHUVLW\RI&LQFLQQDWL LY
KWWSVHDUFKSURTXHVWFRPGRFYLHZ"DFFRXQWLG  DFFHVVHG-DQXDU\ 


UHFRJQL]DEOHDQGLPSRUWDQWIHDWXUHVRI6FULDELQ¶VFRPSRVLWLRQDOVW\OH.LP¶VVWXG\

LQWHUSUHWV6FULDELQ¶VFRPSOH[ILJXUHVRIWKHOHIWKDQGIURPYDULRXVDQJOHVWKH\DUHSODFHG

LQKLVWRULFDOFRQWH[WE\WKHLUUHODWLYHW\SRORJ\ IURP%DURTXHDQG&ODVVLFWR5RPDQWLF 

DQGKLVPRVWFKDUDFWHULVWLFDQGFRPPRQILJXUHVDUHFDWHJRUL]HGDFFRUGLQJWRWKHLU

SDWWHUQV7KHH[DPSOHVRIDUSHJJLDWHGILJXUHVXVHGDUHGUDZQIURPWKHSLDQRZRUNV

LQFOXGLQJSUHOXGHVHWXGHVQRFWXUQHVDQGPD]XUNDV²WKHSLHFHVDQDO\]HGLQWKHFXUUHQW

VWXG\


<RRMXQJ.LP³/HIW+DQG$USHJJLDWHG)LJXUDWLRQLQWKH3LDQR:RUNVRI$OH[DQGHU6FULDELQ
&KDUDFWHULVWLFW\SHVDQGWKHLU3HUIRUPDQFH3UDFWLFH´ 3K'GLVV6FKRRORI0XVLF/RXLVLDQD6WDWH
8QLYHUVLW\ YKWWSVHDUFKSURTXHVWFRPGRFYLHZ"DFFRXQWLG  DFFHVVHG-DQXDU\
 
&+$37(57+5((0(7+2'2/2*<

$PRQJWKHHDUO\FRPSRVLWLRQVE\6FULDELQZRUNVDUHVHOHFWHGZLWKFRQVLGHUDWLRQ

WRPXVLFDODQGWHFKQLFDODFFHVVLELOLW\DVZHOODVSHGDJRJLFDOYDOXH)RUWKHSXUSRVHRIWKLV

VWXG\ZKLFKLVWRKHOSWKRVHXQIDPLOLDUZLWKWKHVHZRUNVWRPDNHDQLQIRUPHGGHFLVLRQ

GXULQJWKHUHSHUWRLUHVHOHFWLRQSURFHVVDVZHOODVWRDLGSUDFWLFLQJDQGWHDFKLQJWKH

VHOHFWLRQVPXVWUHSUHVHQWDVZLGHDSDOHWWHRI6FULDELQ¶VVW\OLVWLFFKDUDFWHULVWLFVDVSRVVLEOH

ZKLOHQRWRYHUZKHOPLQJLQQXPEHU7RWKLVHQGRQO\VHYHQFDUHIXOO\VHOHFWHGZRUNVDUH

H[DPLQHGFORVHO\7KHZRUNVWKXVVHOHFWHGVSDQWKHGLIILFXOW\OHYHOIURPXSSHU

LQWHUPHGLDWHWRHDUO\DGYDQFHGOHYHOV7KHH[DFWODEHOLQJRIWKHOHYHOVRUUDQNLQJLVQRWWKH

DLPRIWKHFXUUHQWVWXG\DVWKLVZRXOGYDU\DFFRUGLQJWRWKHSDUWLFXODUH[SHFWDWLRQVLQ

WHFKQLFDODQGPXVLFDOUHILQHPHQWDVGHWHUPLQHGDSSURSULDWHE\WKHLQVWUXFWRU,WLVKRSHG

WKDWWKHGHWDLOHGGHVFULSWLRQVRISRWHQWLDOWHFKQLFDODQGPXVLFDOFKDOOHQJHVZRXOGEHPRUH

LQIRUPDWLYHIRUPDNLQJVHOHFWLRQVDFFRUGLQJWRHDFKVWXGHQW¶VVWUHQJWKVDQGZHDNQHVVHV

:RUNV6HOHFWHGIRU$QDO\VLV

7KHVWXG\DQDO\]HVWKHIROORZLQJVHYHQSLHFHVIURPWKHHDUO\SHULRGRI6FULDELQ¶V

OLIH WR 

x 1RFWXUQHLQ$IODWPDMRU ZLWKRXWRSXVQXPEHU 

x :DOW]LQ'IODWPDMRU ZLWKRXWRSXVQXPEHU 

x :DOW]2S

x 0D]XUND2S1R

x 0D]XUND2S1R

x 1RFWXUQH2S1R

x ,PSURPSWX2S1R






7KHZRUNVZLWKRXWWKHRSXVQXPEHUV 1RFWXUQHLQ$IODWPDMRUDQG:DOW]LQ'IODW

PDMRU DUHFRPSRVLWLRQVZULWWHQE\6FULDELQDWWKHYHU\HDUO\DJHDQGSXEOLVKHGDIWHUWKH

FRPSRVHU¶VGHDWK$OWKRXJKWKHFRPSRVHUGHFLGHGQRWWRSXEOLVKWKHVHSLHFHVGXULQJKLV

OLIHWKH\DUHQRQHWKHOHVVYDOXDEOHIRUGLGDFWLFSXUSRVHV7KHVWUXFWXUHRIWKHVHZRUNVLV

YHU\FOHDUWKHPXVLFLVDSSHDOLQJDQGWKHPHORG\LVYHU\DFFHVVLEOH7KH\DOVRFRQWDLQD

YDULHW\RIQHZWHFKQLFDOFRQFHSWVWKDWPD\EHIRUWKHILUVWWLPHWRWKHVWXGHQW/HDUQLQJ

WKHVHQHZPHWKRGVDQGWHFKQLTXHVDWWKLVOHYHOZKLOHLWLVVWLOOPDQDJHDEOHZLOOIDFLOLWDWH

DSSO\LQJWKHPODWHULQSLHFHVDWDPRUHDGYDQFHGOHYHO

:DOW]2SLVDOVRDFRPSRVLWLRQZULWWHQDWD\RXQJDJHZKHQ6FULDELQZDVRQO\

WKLUWHHQ\HDUVROG7KLVZRUNWKHFRPSRVHUGHFLGHGWRSXEOLVKDVKLVILUVWRSXV:DOW]LVD

URPDQWLFZRUNLQ&KRSLQHVTXHPDQQHUEXWLWDOUHDG\LQFOXGHVVRPHKDUPRQLFIHDWXUHVWKDW

6FULDELQZLOOEHLPSURYLQJXSRQODWHULQKLVOLIH

7HQPD]XUNDV2SERDVWVDYDULHW\RIFRQWUDVWLQJFKDUDFWHUVDORQJZLWKMXVWDV

YDULHGWHFKQLFDODQGPXVLFDOFKDOOHQJHV7KLVF\FOHLQFOXGHVPD]XUNDVRIYDULHGOHYHOVRI

GLIILFXOW\IURPHDVLHUDQGVKRUWHUZRUNVVXFKDV0D]XUNDV1RDQG1RWRPRUH

YLUWXRVLFDQGGLIILFXOWZRUNVVXFKDV1RDQG1R0D]XUNDV1RDQG1RZHUH

VHOHFWHGIRUWKHFXUUHQWVWXG\EHFDXVHRIWKHLUXQXVXDOFRPELQDWLRQVRIPXVLFDOIHDWXUHVDQG

WHFKQLFDODVSHFWV0D]XUND2S1RFRPELQHVHOHPHQWVRIERWKZDOW]DQGPD]XUND

0D]XUND2S1RKDVDQLQGLYLGXDOWH[WXUHDQGDQXQXVXDOWRQDOSDOHWWH

1RFWXUQH2S1RLVDSLHFHWKDWKDVWKHSRWHQWLDORIEHFRPLQJRQHRIWKH

IDYRULWHZRUNVIRUWKHVWXGHQW7KHQRFWXUQHKDVDVWULNLQJFRQWUDVWEHWZHHQWKHVHFWLRQV

DQGFRPELQHVERWK³O\ULF´DQG³GUDPDWLFLPDJHV´WRERUURZ1LNRODHYD¶VWHUPLQRORJ\



7KHODVWSLHFHVHOHFWHGIRUWKHFXUUHQWVWXG\LV,PSURPSWX2S1R7KLVZRUN

LVRQHRIWKHEHVWH[DPSOHVRI6FULDELQ¶VGUDPDWLFZULWLQJLQWKHHDUO\SHULRG

   2UJDQL]DWLRQRI$QDO\VLV

1RGLVFXVVLRQRI6FULDELQ¶VHDUO\ZRUNVLVFRPSOHWHZLWKRXWDQXQGHUVWDQGLQJRI

WKHOHYHORILQIOXHQFH&KRSLQKDGRQWKHFRPSRVHUDVZHOODVZKDWSLDQRFRPSRVLWLRQV

PHDQWIRU6FULDELQ$EULHIRYHUYLHZLVSURYLGHGSULRUWRWKHVHFWLRQGHWDLOLQJWKHDQDO\VLV

RIWKHVHOHFWHGSLHFHV

,QWKHDQDO\VLVRIWKHVHOHFWHGZRUNVWKHGLVFXVVLRQRIHDFKSLHFHZLOOLQFOXGHWKH

IROORZLQJWKUHHJHQHUDODVSHFWV

 +LVWRULFDOEDFNJURXQGJHQHUDOLQIRUPDWLRQDERXWWKHFRPSRVLWLRQGUDZQIURP

ELRJUDSKLFDOVRXUFHV$FRPPHQWDU\ZLOOEHLQFOXGHGWRSODFHWKHZRUNZLWKLQ

6FULDELQ¶VRXWSXWDFFRUGLQJWRWKHFKDUDFWHUJHQUHFDWHJRUL]DWLRQVXJJHVWHGE\

1LNRODHYDZKHQDSSURSULDWH

 7KHRUHWLFDODQDO\VLVWKHRYHUYLHZRIWKHIRUPKDUPRQLFIHDWXUHVDQGSKUDVH

VWUXFWXUHDSSOLFDEOHWRSHUIRUPDQFHDQGWHDFKLQJ

 7HDFKLQJDQGSUDFWLFLQJVWUDWHJLHVLGHQWLILFDWLRQRIWKHPDLQFKDOOHQJHVWR

RYHUFRPHPXVLFDOO\DQGWHFKQLFDOO\3UDFWLFDOVWUDWHJLHVIRUOHDUQLQJDVZHOODV

H[HFXWLRQZLOOEHLQFOXGHGDVQHHGHG7KLVPD\EHLQWKHIRUPRISRVVLEOH

ILQJHULQJVDQGKDQGVXEVWLWXWLRQVRUH[DPSOHVRISUDFWLFHVWHSVWKDWZLOOKHOS

VWXGHQWVROYHWKHFKDOOHQJHVLQVRPHSDVVDJHV

:KHUHLQGLFDWLRQRISLWFKQDPHVZLWKVSHFLILFNH\ERDUGUHJLVWUDWLRQLVQHHGHGWKH

$PHULFDQ³6FLHQWLILF3LWFK1RWDWLRQ´ 631 V\VWHPLVXVHG


&+$37(5)28529(59,(:2)6&5,$%,1¶6,163,5$7,216
3,$12$1'&+23,1

6FULDELQ¶VGHYHORSPHQWRIVW\OHIURPWKHHDUO\FRPSRVLWLRQVWRKLVODVWRSXVLVRQH

RIWKHPRVWLQWHUHVWLQJLQWKHKLVWRU\RIPXVLF+LVHDUO\SHULRGLVLQIOXHQFHGE\&KRSLQ

ZLWKDGGHGGDVKRI/LV]WDQG7FKDLNRYVN\WKHPLGGOHSHULRGLVLQVSLUHGE\:DJQHUDQG

ODWHSHULRGLVWKHUHIOHFWLRQRIFRPSRVHU¶VGLVFUHWHJHQLXV$FFRUGLQJWR$UWKXU5XELQVWHLQ

ZKRPHWWKHFRPSRVHUDWWKHDJHRIVHYHQWHHQ6FULDELQVDLG³RQFH,ZDVD&KRSLQLVWWKHQ

D:DJQHULVWQRZ,DPRQO\D6FULDELQLVW´12

%HIRUH6FULDELQWKHIRONPXVLFZDVDQLPSRUWDQWVRXUFHRILQVSLUDWLRQIRUWKH

PDMRULW\RI5XVVLDQFRPSRVHUV7KHIDWKHURI5XVVLDQPXVLF0LFKDLO*OLQNDDORQJZLWK

KLVQLQHWHHQWKFHQWXU\VXFFHVVRUV1LNRODL5LPVN\.RUVDNRY6HUJHL7DQHHY0LO\

%DODNLUHY0RGHVW0XVVRUJVN\$OH[DQGHU%RURGLQDQG3LRWU<O\LFK7FKDLNRYVN\

HVWDEOLVKHGDFORVHFRQQHFWLRQEHWZHHQIRONPXVLFDQGWKHLUYRFDOFRPSRVLWLRQVLQWXUQ

LQIOXHQFLQJSLDQRPXVLF137KH\ZURWHDJUHDWQXPEHURIRSHUDWLFZRUNVDQGVRQJV

6FULDELQ¶VFRQWHPSRUDU\6HUJHL5DFKPDQLQRIIDOVRIROORZHGWKLVWUDGLWLRQOHDYLQJXVD

JUHDWQXPEHURIVRQJVDQGWKUHHRSHUDWLFZRUNV

6FULDELQ¶VFKLOGKRRGZDVYHU\GLIIHUHQWIURPRWKHU5XVVLDQFRPSRVHUVDQGWKLV

PD\SDUWO\DFFRXQWIRUWKHGHYHORSPHQWRIKLVPXVLFDOWDVWHWKDWLVXQLTXHIURPKLV

SUHGHFHVVRUVDQGFRQWHPSRUDULHV7KHFULWLFDQGFRPSRVHU$OH[DQGHU.RSW\DHIIFRQWUDVWV

6FULDELQ¶VHDUO\OLIHZLWKWKDWRIKLVFRPSDWULRWV³6FULDELQZDVERUQLQDPDMRUFLW\

12
)DXELRQ%RZHUV6FULDELQ 1HZ<RUN'RYHU 

13
6RQJVXVLQJSRHWLFWH[WVZDVDSUHYDOHQWJHQUHWKURXJKRXWWKH5XVVLDQPXVLFJDWKHULQJVNQRZQDV
WKH0XVLFDO6DORQV)HDWXULQJSURIHVVLRQDODQGDPDWHXUSHUIRUPHUVWKHVH6DORQVIORXULVKHGXQWLOWKH
FHQWUDOL]HG5XVVLDQ0XVLF6RFLHW\HVWDEOLVKHGWKH6W3HWHUVEXUJ&RQVHUYDWRU\ZLWKWKHLQLWLDWLYHRI$QWRQ
5XELQVWHLQLQDQGWKH0RVFRZ&RQVHUYDWR\LQXQGHUWKHDHJLVRI1LNRODL5XELQVWHLQ<DQRYLWVN\








0RVFRZ QRWLQWKHFRXQWU\VLGHZKHUH*OLQND0RXVVRUJVN\DQG 5LPVN\ .RUVDNRII

ZHUHERUQ+HSUHGRPLQDQWO\OLYHGDFLW\OLIH´146FULDELQ¶VFKLOGKRRGDQGHGXFDWLRQ

ODFNHGH[SRVXUHWRIRONPXVLFZKLFKPLJKWZHOOH[SODLQZK\KHGHOLEHUDWHO\DYRLGHG

ZULWLQJYRFDOOLWHUDWXUH+LVDXQW/\XERY6FULDELQDZRXOGUHDGKLP&KDUOHV'LFNHQVDQG

:DOWHU6FRWWLQ5XVVLDQWUDQVODWLRQDQGRFFDVLRQDOO\ZRXOGWDNHKLPWRWKH,WDOLDQRSHUD

WKDWZDVRQWRXULQ0RVFRZDWWKDWWLPH156FULDELQ¶VIDPLO\VRXJKWWKHILQHVWDQGPRVW

FRVPRSROLWDQPXVLFDOHGXFDWLRQIRUWKHFRPSRVHUVLQFHD\RXQJDJH+HVWDUWHGSLDQRDQG

WKHRU\OHVVRQVZLWK*HRUJ\&RQXVLQWKHQFRQWLQXHGSLDQROHVVRQVZLWK1LNRODL

=YHUHIIXQWLOHQWHULQJWKH0RVFRZ&RQVHUYDWRU\ZKHUHKHVWXGLHGWKURXJKWKHRU\

ZLWK6HUJHL7DQHHIIFRPSRVLWLRQZLWK$QWRQ$UHQVN\DQGSLDQRZLWK9DVVLO\6DIRQRII16

'XULQJWKHXQGHUWKHVWXGLHVZLWK1LNRODL=YHUHII6FULDELQGLVFRYHUV)UpGpULF

&KRSLQZKRVHPXVLFEHFDPHKLVELJJHVWLQVSLUDWLRQLQKLV\RXQJDJH6FULDELQGLGQRW

RQO\HQMR\SOD\LQJ&KRSLQ¶VZRUNVEXWDOVRLPSURYLVHGDQGFRPSRVHGLQ&KRSLQ¶VVW\OH

7KHOLVWRI6FULDELQ¶VHDUO\SLDQRZRUNVLQFOXGHZRUNVZLWK&KRSLQHVTXHQDPHVVXFKDV

SUHOXGHVHWXGHVPD]XUNDVZDOW]HVSRORQDLVHQRFWXUQHVDQGLPSURPSWXV&pVDU&XLRQFH

PDGHDMRNHWKDW6FULDELQPXVWKDYHGLVFRYHUHGDFKHVWRIXQSXEOLVKHGPDQXVFULSWVE\

&KRSLQ)DXELRQ%RZHUVZULWHVWKDW6FULDELQIHOOLQORYHZLWK&KRSLQKHVOHSWZLWKKLV

PXVLFXQGHUKLVSLOORZDWQLJKWKHFDUULHGLWLQKLVERRNEDJWRKLVFODVVHV6FULDELQ¶V

14
$OH[DQGHU.RSW\DHII$16FULDELQ 3HWURJUDG<XUJHQVRQ 
15
<DQRYLWVN\

16
,ELG

17
$OIUHG-6ZDQ6FULDELQ 1HZ<RUN'D&DSR3UHVV 
18
1DWDOL\D6XNKLQD³$OH[DQGHU6FULDELQ  ´
19
%RZHUV



DXQW/\XERYVWDWHVLQKHUPHPRULHV³ZKHQ&KRSLQEHFDPHKLVILUVWPXVLFDOJRG6FULDELQ

QRWRQO\SOD\HGWKHPDVWHU¶VPXVLFFRQWLQXDOO\DQGWDONHGDERXWLWLQGHIDWLJDEO\EXW

DVVXPHGVRPHRI&KRSLQ¶VSHUVRQDOPDQQHULVPV+HQHYHUZHQWWRVOHHSEHIRUHPDNLQJ

VXUHWKDWDYROXPHRI&KRSLQCVPXVLFZDVXQGHUKLVSLOORZ´

(DUO\FRPSRVLWLRQVRI6FULDELQQRWRQO\VKDUHWKHFRPPRQQDPHZLWK&KRSLQ¶V

ZRUN7KH\DUHDOVRVLPLODULQIRUPWH[WXUHDQGKDUPRQ\(WXGHV2SKDYHWKHVDPH

QXPEHURIVWXGLHVDV&KRSLQ¶V2SZLWKWKHIDPRXV³5HYROXWLRQDU\´HWXGHDVWKH

FRQFOXVLYHSLHFH6FULDELQZURWH3UHOXGHV2SWKDWSDUDOOHOVWKHIDPRXV2S

SUHOXGHVRI&KRSLQZLWKVLPLODUNH\VFKHPHVUK\WKPLFDVSHFWVDQGKDUPRQLFODQJXDJH

)ROORZLQJ&KRSLQ¶VWUDGLWLRQ6FULDELQ¶VFKRUGVLQHDUO\FRPSRVLWLRQVDUHEDVHGRQWULDGLF

VWUXFWXUHVDQGWRQLFGRPLQDQWKDUPRQLHVZLWKIRQGQHVVIRUWKHWKLUWHHQWKGRPLQDQWFKRUG

LQSDUWLFXODU 7KHODWWHURIWHQDSSHDUHG ZLWKWKHVHYHQWKWKLUGDQGWKLUWHHQWKVSHOOHGLQ

IRXUWKV7KLVYRLFLQJFDQDOVREHVHHQLQVHYHUDORI&KRSLQ¶VZRUNV21$FFRUGLQJWR3HWHU

6DEEDJKWKLVYRLFLQJZRXOGEHWKHPDLQJHQHUDWLQJVRXUFHRIWKHODWHU0\VWLFFKRUG%RWK

6FULDELQDQG&KRSLQDOVRIHDWXUHFKURPDWLFDQGQRQKDUPRQLFWRQHVLQVLPLODUZD\V+XJK

0DF'RQDOGDVVHUWV&KRSLQ¶VPXVLFLVFKDUDFWHUL]HGE\WKHHDV\PDQLSXODWLRQRIULFK

GLDWRQLFKDUPRQ\LQIXVHGZLWKFKURPDWLFLVPDQGWKDWDQ\FRPSRVHUZKREXLOWKLV

KDUPRQLFODQJXDJHRQVHYHQWKFKRUGVRIDOOGHVFULSWLRQVORRNHGWR&KRSLQIRUDPRGHO

20
'DYLQ(ZHQ0RGHUQ0XVLF$+LVWRU\DQG$SSUHFLDWLRQ±IURP:DJQHUWR:HEHUQ &KLOWRQ
&RPSDQ\3KLODGHOSKLD 1HZ<RUN 

 21
3HWHU6DEEDJK7KH'HYHORSPHQWRI+DUPRQ\LQ6FULDELQ
V:RUNV 8QLYHUVDO3XEOLVKHU86$
 
KWWSVERRNVJRRJOHFRPERRNV"LG 8K;EOEN\;& SULQWVHF IURQWFRYHUY RQHSDJH T I IDOVH DFFHVVHG
0DUFK 




6FULDELQ³DVVLPLODWHGWKHQDWXUDOGHSOR\PHQWRIWKLVKDUPRQLFODQJXDJHH[SUHVVLQJLW

SDUWLFXODUO\LQSLDQLVWLFWHUPV´

6LPLODUWR&KRSLQZKRGHGLFDWHGDOPRVWKLVHQWLUHFRPSRVLWLRQWRWKHSLDQR

6FULDELQFRPSRVHGPRVWO\IRUWKLVLQVWUXPHQW6LQFHKLVHDUO\DJHSLDQRZDVWKH

FRPSRVHU¶VPRVWIDLWKIXOIULHQG6FULDELQ¶VDXQW/\XERYUHFDOOVWKDW³ZKHQKHILUVWIHOOLQ

ORYHZLWKWKHSLDQRKHZRXOGNLVVLWFRQWLQXDOO\DVLILWZHUHDKXPDQEHLQJZKHQHYHUKLV

SLDQRKDGWREHWXQHGUHSDLUHGRUPRYHGKHVXIIHUHGWKHSK\VLFDOWRUPHQWRIRQHVHHLQJ

KLVEHORYHGRSHUDWHGXSRQE\DVXUJHRQ´3DXO5RVHQIHOGZULWHVLQ

³7KHSLDQRZDVKLVLQVWUXPHQW,WLVRQO\LQFRPSRVLWLRQIRUWKDWPHGLXPWKDWKH
H[SUHVVHGLQGHOLEO\KLVH[TXLVLWHOXPLQRXVO\SRHWLFDOPRVWGLVTXLHWLQJWHPSHUDQG
GHILQLWHO\UHFRUGHGKLPVHOI7KHUHKDYHEHHQIHZFRPSRVHUVPRUHILQHO\FRQVFLRXVRIWKH
SLDQRIHZZKRKDYHKHOGLWLQJUHDWHUUHYHUHQFHIHZZKRKDYHKHDUNHQHGPRUH
VROLFLWRXVO\WRLWVYRLFHWKDWLVVRGLIIHUHQWIURPWKHYRLFHVRIRWKHULQVWUXPHQWV´


22
+XJK0DF'RQDOG6NU\DELQ2[IRUG6WXGLHVRI&RPSRVHUV /RQGRQ2[IRUG8QLYHUVLW\3UHVV
 
23
(ZHQ
24
3DXO5RVHQIHOG0XVLFDO3RUWUDLWV +DUFRXUW%UDFHDQG+RZH1HZ<RUN 
&+$37(5),9(:25.66(/(&7(')25$1$/<6,6

1RFWXUQHLQ$)ODW0DMRU

1RFWXUQHLQ$IODWPDMRULVRQHRIWKHHDUOLHVWFRPSRVLWLRQVRI$OH[DQGHU6FULDELQ

ZULWWHQLQWKHDXWXPQRI7KHPDQXVFULSWLVNHSWWRGD\DW6FULDELQ¶V+RXVH0XVHXP

LQ0RVFRZXQGHUWKHILOH1R7KHGDWHDQGSODFHRIFRPSRVLWLRQLVQRWLQGLFDWHGLQWKH

VFRUHDQGUHPDLQVXQNQRZQ6DEDQHHYIRXQGWKLVSLHFHZKHQWKHLUFRPPRQWHDFKHU

$OH[DQGHU=YHUHYEHTXHDWKHGKLVPXVLFOLEUDU\WRKLP$PRQJWKHERRNV6DEDQHHYIRXQG

6FULDELQ¶V2SDQGWKHPDQXVFULSWRIWKH\RXQJZRUNDVKHFDOOVLW³1RFWXUQHLQ$IODW

PDMRU´6DEDQHHYDVVXPHVWKDWWKH1RFWXUQHZDVGHGLFDWHGWR=YHUHY WRJHWKHUZLWK

1RFWXUQH2S1R 7KHPDQXVFULSWZDVVXEVHTXHQWO\SXEOLVKHGLQWKH<RXWKIXODQG

(DUO\:RUN$OH[DQGHUDQG-XOLDQ6FULDELQE\0XVLF7UHDVXUH3XEOLFDWLRQVLQ

,QWKLVHDUO\ZRUNWKHLQIOXHQFHRI&KRSLQLVHYLGHQWWKLV1RFWXUQHLVUHPLQLVFHQW

RI&KRSLQ¶V(WXGH2S1RZULWWHQLQWKHVDPHNH\:ULWWHQLQ$%$IRUPWKH

SLHFHIUHTXHQWO\IHDWXUHVYHU\FOHDUIRXUPHDVXUHSKUDVHV

7DEOH1RFWXUQHLQ$IODWPDMRU)RUP

$ % $
 
$ D E D & G D D % D
&KRUDO±WUDQVLWLRQ
WR5HFDSLWXODWLRQ

P         
$IODWPDMRU )PLQRU $IODW &PDMRU $IODWPDMRU $IODWPDMRU ) $IODW
 PDMRU PLQRU PDMRU



$(DJOHILHOG+XOO$*UHDW5XVVLDQ7RQH3RHW 1HZ<RUN$PHULFDQ0XVLFRORJLFDO6RFLHW\
 


 0DUJDULWD3UHDVKQLNRYDDQG2OJD7RPSDNRYD/HWRSLVL-L]QLL7YRUFHVWYD$16FULDELQD>7KH
&KURQLFRIWKH/LIHDQG&UHDWLRQRI$16FULDELQ@ 0RVFRZ0X]LND 


 3UHDVKQLNRYDDQG7RPSDNRYD







7KHWHFKQLFDODQGPXVLFDOFKDOOHQJHVLQWKLVSLHFHUHSUHVHQWNH\VLJQDWXUH IRXU

IODWV PHWHUFKDQJHGRXEOHQRWHVWKLFNFKRUGDOWH[WXUHWKHEDODQFHEHWZHHQPHORG\DQG

DFFRPSDQLPHQWSKUDVLQJRIPHORG\

7KHILUVWWKHPHRIWKH$VHFWLRQUHSUHVHQWVDVLPSOHPHORGLFOLQH7KHLPSRUWDQFHRI

WKHEDODQFHEHWZHHQWKHPHORG\DQGDFFRPSDQLPHQWFDQQHYHUEHRYHUVWUHVVHGWKHOHIW

KDQGVKRXOGQRWFRYHUWKHULJKWKDQGDQGWKHPHORG\QHHGVWRKDYHWKHFDQWLOHQDTXDOLW\RI

WRQHUHJDUGOHVVRIWKHG\QDPLFV.QRZLQJWKLVIDFWPD\QRWEHHQRXJKWRDFFRPSOLVKWKLV

JRDOGXHWRWKHMX[WDSRVLWLRQEHWZHHQWKHEXV\VL[WHHQWKQRWHDUSHJJLDWHGOHIWKDQGDJDLQVW

PXFKVORZHUULJKWKDQGPHORG\7RVXFFHVVIXOO\SKUDVHWKHPHORG\RIWKHULJKWKDQGWKDW

XVXDOO\FRQVLVWVRIIRXUPHDVXUHORQJSKUDVHVLWLVQHFHVVDU\WRILQGMXVWWKHULJKWVXSSRUW

DQGIORZLQWKHOHIWKDQGWRFRPSOHPHQWWKHULJKW

([DPSOH6FULDELQ1RFWXUQHLQ$IODWPDMRUPP

7KHDFFRPSDQLPHQWLQERWK$DQG%VHFWLRQVLVEDVHGRQDUSHJJLDWHGFKRUGZLWK

WKHDGGHGVHFRQGVFDOHGHJUHH,Q$VHFWLRQWU\LQJRXWDIHZRSWLRQVRIWKHILQJHULQJ

VKRXOGEHUHFRPPHQGHG

([DPSOH6FULDELQ1RFWXUQHLQ$IODWPDMRUP





7KHQHHGWRSD\FORVHDWWHQWLRQWRDFKLHYHWKHVPRRWKVRXQGRIWKLVDFFRPSDQLPHQW

PD\EHREYLRXVEXWDFFRPSOLVKLQJWKLVLVDQRWKHUPDWWHU6WXGHQWVSOD\LQJWKLVSLHFH

ZRXOGFHUWDLQO\KDYHDOUHDG\ZRUNHGRQWKH³WKXPEXQGHU´WHFKQLTXHEHIRUHEXWWKHNH\

RI$IODWPDJQLILHVDQ\XQILQLVKHGUHILQHPHQWLQWKLVUHVSHFW7KH³FORFN´PHWKRGFDQEH

XVHGDVDQH[HUFLVH

([DPSOH7KH³FORFN´PHWKRG

$IWHUWKDWVWXGHQWPLJKWDGGRQHPRUHQRWHRQHDFKVLGHRIWKH$IODW

([DPSOH7KH³FORFN´PHWKRG

  

7KHQWKHOHIWKDQGFDQEHSOD\HGDVLWLVZULWWHQ

([DPSOH6FULDELQ1RFWXUQHLQ$IODWPDMRUPP

)RUVWXGHQWVZLWKORFNHGWKXPESRVLWLRQUHODWLYHWRWKHVHFRQGILQJHUVRPHYHUEDO

VXJJHVWLRQVVXFKDVWKHIROORZLQJDFFRPSDQLHGE\GHPRQVWUDWLRQPD\SRLQWWKHPLQWKH

ULJKWGLUHFWLRQ)RUWKHDVFHQGLQJOLQH³,PDJLQHWKHWKXPEIROGLQJXQGHUWKHKDQGWRWRXFK

WKHEDVHRIWKHIRXUWKILQJHU´³OHWWKHWKXPEWLOWWRZDUGVWKHQDLODVWKHKDQGJOLGHVRYHU



LW´RU³\RXGRQ¶WQHHGWRKROGWLJKWWKHEDVHRIWKHWKXPERQFH\RXKHDUWKHWRQH´$OVRLW

LVDQRSSRUWXQLW\WRGUDZVWXGHQWV¶DWWHQWLRQWRWKHIDFWWKDWWKLVLVDJRRGH[DPSOHRI

JHQHUDOO\IODWWHUXVHRIWKHILQJHUVEHLQJPRUHVXFFHVVIXORQEODFNNH\V

9HU\VLPLODUDFFRPSDQLPHQWILJXUHVFDQEHIRXQGLQ&KRSLQ¶VZRUN2QHRIWKH

H[DPSOHVLVWKHIDPRXV(WXGH2S1RLQ&PLQRUZKHUHWKHOHIWKDQGLVEDVHGRQ

WKH&PLQRUDUSHJJLRZLWKDGGHGVHFRQGVFDOHGHJUHH ' 7KHGLIIHUHQFHLVWKHRFWDYH

UDQJH6FULDELQ¶VDFFRPSDQLPHQWFRYHUVWZRRFWDYHVIURPWKH$♭WRWKH$♭&KRSLQ

JRHVEH\RQGWZRUHJLVWHUVJRLQJIURPWKH&WR(♭$OVRWKHIHHOLQJRIWKHKDQGLQ

UHODWLRQWRWKHNH\ZLOOEHGLIIHUHQW$IODWPDMRULVPRVWO\SOD\HGRQEODFNNH\VZKLOH&

PLQRUXVHVPRVWO\ZKLWHNH\VZLWKRQHEODFNNH\RQ(IODW7KH%VHFWLRQRIWKH6FULDELQ¶V

1RFWXUQHZKLFKLVZULWWHQLQ)PLQRULVYHU\FORVHHYHQWRSRJUDSKLFDOO\WR&KRSLQ¶VOHIW

KDQGRIWKH&PLQRUHWXGH

([DPSOH&KRSLQ(WXGH2S1RPP

 

([DPSOH6FULDELQ1RFWXUQHLQ$IODWPDMRUPP

 

$QRWKHUZRUNWKDWLQFOXGHVVLPLODUDFFRPSDQLPHQWLV&KRSLQ¶V1RFWXUQH2S

1R,QFRPSDULQJ6FULDELQ¶VDFFRPSDQLPHQWZLWK&KRSLQ¶VWKHODWWHUKDVDODUJHUSDOHWWH

RIKDUPRQLHVDQGDQDGGHGFKDOOHQJHRIIROORZLQJDQRFFDVLRQDODGGLWLRQDOLQQHUYRLFHWR



EHEURXJKWRXW$QRWKHUGLIIHUHQFHLVWKHQRWHYDOXHVDQGWHPSR&KRSLQXVHVHLJKWKQRWHV

ZKLOH6FULDELQXVHVVL[WHHQWKQRWHV7KHVWXGHQWPLJKWFRQVLGHUSUDFWLFLQJ&KRSLQ¶VOHIW

KDQGLQDIDVWHUWHPSRVLPLODUWR6FULDELQ¶VDFFRPSDQLPHQW7KHDFFHOHUDWLRQLQWHPSRZLOO

KHOSWKHVWXGHQWSOD\LQJWKHSDVVDJHVLQDPRUHJURXSHGPRWLRQXVLQJFRRUGLQDWHG

PRYHPHQWVRIWKHODUJHUPXVFOHVZLWKWKDWRIKDQGDQGILQJHUV7KHQHYHQDIWHUVORZLQJ

WKHWHPSRWRWKHSHUIRUPDQFHWHPSRLWLVHDVLHUWRUHWDLQWKHIORZRIWKHIDVWHUWHPSR

&KRSLQ¶VH[DPSOHLVPRUHFKDOOHQJLQJDOVREHFDXVHRIIUHTXHQWDQGLUUHJXODUFKDQJHVLQWKH

GLUHFWLRQ

([DPSOH&KRSLQ1RFWXUQH2S1RPP

([DPSOH6FULDELQ1RFWXUQHLQ$IODWPDMRUPP

7KH%VHFWLRQ )PLQRUPP LVWKHPRVWGLIILFXOWSDUWRIWKHHQWLUHSLHFH,W

LQFOXGHVWKUHHYRLFHVFKDQJHVRIKDUPRQ\LQWKHOHIWKDQGGRXEOHQRWHVDQGXQFRPIRUWDEOH

MXPSVLQWKHOHIWKDQG,WDOVRLQFOXGHVIUHTXHQWWHPSRFKDQJHVDUHFXUULQJIHDWXUH

FKDUDFWHULVWLFRIDOO6FULDELQ¶VPXVLFDGGLQJWRWKHFKDOOHQJH+DQGUHGLVWULEXWLRQZKLFKLV

RIWHQQHHGHGLQSOD\LQJ6FULDELQ¶VXVHRIODUJHFKRUGLVXVHIXOWKLVWLPHIRUDLGLQJWKHIORZ

RIWKHOHIWKDQGDFFRPSDQLPHQW,QPHDVXUHHOHYHQWKH&ଈLQWKHOHIWKDQGFRXOGEH

SOD\HGE\WKHULJKWKDQGWKLVZRXOGJLYHWKHSHUIRUPHUWKHQHHGHGWLPHWRJHWWRWKHORZ'

IURPWKHPLGGOHUHJLVWHUUHGXFLQJWKHULVNRIPLVVHGQRWHRUDQXQZDQWHGDFFHQW



([DPSOH6FULDELQ1RFWXUQHLQ$IODWPDMRUPP

:KHQFKRRVLQJWRSOD\WKH&ZLWKWKHULJKWKDQGLWVKRXOGQRWFKDQJHWKHLQWHQGHG

FRQWRXURUWKHG\QDPLFVRIWKHDFFRPSDQLPHQW7KH&VKRXOGVWLOOVRXQGDVDSDUWRIWKH

OHIWKDQGDFFRPSDQLPHQWDQGQRWWKHPHORG\&RPSDULQJUHQGLWLRQVXVLQJOHIWKDQGDORQH

ZLWKUHGLVWULEXWHG&LVRQHZD\RIHQVXULQJSURSHUDXUDOH[SHFWDWLRQDVZHOODVH[HFXWLRQ

7KLVW\SHRIIDFLOLWDWLYHDSSURDFKPD\EHQHZWRWKHVWXGHQWDQGWKHWHDFKHUVKRXOGIROORZ

XSZLWKRWKHUPXVLFDOLQVWDQFHVODWHURQWRHQFRXUDJHDSSO\LQJWKLVWHFKQLTXH

'RXEOHQRWHVLQPHDVXUHWZHOYHZLOOUHSUHVHQWDFKDOOHQJHIRUVWXGHQWVDWWKLVOHYHO

+HUHLWLVLPSRUWDQWWRFRQQHFWWKHLQWHUYDOVDQGFKRUGVDVPXFKDVSRVVLEOHZLWKRXWUHO\LQJ

VRUHO\RQWKHSHGDOZKLFKZLOOKDYHWREHIUHTXHQWO\FKDQJHG7KHULWHQXWRPDUNKHOSVWKLV

WHFKQLFDOGLIILFXOW\EXWWKLVSDVVDJHUHTXLUHVPRUHDWWHQWLRQQRQHWKHOHVV&KRRVLQJWKH

ULJKWILQJHULQJLVYHU\LPSRUWDQW

([DPSOH6FULDELQ1RFWXUQHLQ$IODWPDMRUP

'XHWRWKHPHORGLFFRQWH[WRIWKHGRXEOHQRWHVDQGIRULGHDOVKDSLQJDQGWRQDO

FRQWUROWKHILQJHULQJVKRXOGEHGHWHUPLQHGE\FRQVLGHULQJYDULRXVIDFWRUV/LPLWLQJWKH

QXPEHURIVKLIWVPD\QRWEHWKHSULPDU\REMHFWLYHEXWDFKLHYLQJ³TXLHW´DQGJUDGXDOKDQG



VKLIWVWKDWDOORZIRUPDLQWDLQLQJWKHVLQJLQJTXDOLW\RIVRXQGLVRIXWPRVWLPSRUWDQFH

6WXGHQWVVKRXOGEHHQFRXUDJHGWRH[SHULPHQWDQGGLVFRYHUWKDWRYHUIRFXVLQJRQSK\VLFDOO\

KROGLQJWKHILQJHUVPD\QRWDOZD\VDFKLHYHWKHEHVWUHVXOWV%\OLIWLQJRQHVLGHRIWKHKDQG

RUWKHRWKHUGHSHQGLQJRQWKHSDUWLFXODUILQJHULQJVWKHWRQHSURGXFWLRQFDQEHSUHSDUHG

HDUOLHUZLWKWKHIOH[LEOHZULVWFRQWULEXWLQJWRPRUHPHORGLFWRQDOTXDOLW\,QRUGHUWR

IDFLOLWDWHWKHWHFKQLFDOGLIILFXOW\RIWKHGRXEOHQRWHVZLWKLQWKHULJKWKDQGVWXGHQWFDQ

SUDFWLFHSOD\LQJWKHWRSOLQHZLWKOHJDWRPDUNLQJDQGWKHERWWRPQRWHVRIWKHFKRUGLQDQRQ

OHJDWRRUVWDFFDWRPDUNLQJRUWKHRSSRVLWHWKHLQQHUYRLFHRQOHJDWRDQGWRSVRQVWDFFDWR

DQGQRQOHJDWR

7KHPLGGOHVHFWLRQLQ&PDMRUUHTXLUHVWKHWHFKQLTXHRIYRLFLQJDFKRUDOHWH[WXUH

7KLVVHFWLRQLQFOXGHVVRPHWKLFNFKRUGVDQGRFWDYHV,QDVVLJQLQJWKLVSLHFHWKHWHDFKHU

VKRXOGFRQVLGHUWKDWDVWXGHQWZLWKVPDOOKDQGVZLOOQRWEHDEOHWRSOD\WKLVVHFWLRQRIWKH

SLHFHZLWKRXWPDNLQJPLQRUSHUIRUPDQFHPRGLILFDWLRQV

,IWKHVWXGHQWLVQRWIDPLOLDUZLWKWKHFKRUDOHVW\OHZULWLQJWKHWHDFKHUPLJKWJLYH

DQRWKHUH[DPSOHVXFKDVWKHPLGGOHVHFWLRQRI&KRSLQ¶V1RFWXUQH2S1R6LPLODU

WR6FULDELQ¶VH[DPSOHWKHWHDFKHUVKRXOGVWUHVVWKHLPSRUWDQFHRIPHORG\YRLFLQJZKLOH

VWLOOKHDULQJWKHKDUPRQ\,QRUGHUWRFRQQHFWWKHWRSVWKHVWXGHQWZLOOKDYHWROHWJRRIWKH

UHVWRIWKHQRWHVHDUOLHUZKLOHSD\LQJDWWHQWLRQWRWDNHFDUHWKDWWKHDWWDFNVRIWKHQRWHVDUH

DGKHULQJWRWKHPHORGLFFRQWRXURIHDFKYRLFHVRWKDWWKH\FDQVRXQGOHJDWRZLWKWKHSHGDO





([DPSOH&KRSLQ1RFWXUQH2S1RPP



$QRWKHUH[DPSOHRIVLPLODUWH[WXUH LQWKLVFDVHHYHQFORVHUWR6FULDELQ¶VWH[WXUH

EXWDWDKLJKHUWHFKQLFDOOHYHO LVIRXQGLQ(WXGH2S1RE\$QWRQ5XELQVWHLQ

([DPSOH$QWRQ5XELQVWHLQ(WXGH2S1RPP

,QDSSURDFKLQJWKHSUDFWLFHVWHSVIRUWKLVVHFWLRQLQ6FULDELQ¶V1RFWXUQHLWZRXOGEH

KHOSIXOWRZULWHGRZQWKHILQJHUVDQGSOD\RQO\WKHWRSYRLFHZLWKWKHILQJHUVWKDWZLOOEH

XVHGZKHQWKHUHVWRIWKHYRLFHVDUHDGGHG,WVKRXOGEHVWUHVVHGWKDWHYHQZKHQSOD\LQJ

RQO\WKHWRSYRLFHWKHKDQGSRVLWLRQVKRXOGEH³UHDOLVWLF´DQGYHU\FORVHWRWKDWRIZKHQDOO

WKHQRWHVDUHSOD\HG6LPLODUWR&KRSLQ¶VH[DPSOHWKHPLGGOHDQGWKHERWWRPYRLFHVZLOO

KDYHWREHUHOHDVHGHDUOLHUWKDQWKHWRSYRLFHPRYLQJWRWKHQH[WQRWHZLWKIOH[LEOHZULVW





([DPSOH6FULDELQ1RFWXUQHLQ$IODWPDMRUPP

3OD\LQJVXFKFKRUGVLQFORVHVXFFHVVLRQPLJKWEHDQHZWHFKQLTXHIRUWKHVWXGHQWLW

FDQ DOVREHXQFRPIRUWDEOHIRUWKHKDQG7KHWHDFKHUKDVWRKHOSWKHVWXGHQWWRILQGWKHULJKW

SRVLWLRQDQGVKDSHRIWKHKDQGWKHSRVLWLRQFDQYDU\GHSHQGLQJRQWKHKDQGVWUHWFKDQG

ILQJHUVOHQJWKV$OVRVRPHWLPHVWKLFNFKRUGVZLWKWKHILIWKILQJHURQWKHWRSQHHGVWREH

IROORZHGE\DQRFWDYHYRLFHGZLWKWKHIRXUWKILQJHU,WPD\QHHGWREHVKRZQWKDWLQRUGHU

WRFRQQHFWWKHWRSYRLFHWKHVWXGHQWKDVWRSOD\WKHILUVWFKRUGWKHQOLIWDOOWKHQRWHVH[FHSW

WKHWRSRQHWKDWLVSOD\HGE\WKHILIWKILQJHUWKHQIOLSWKHIRXUWKILQJHURYHUWKHILIWK

:LWKRXWIOH[LEOHKDQGDQGILQJHUMRLQWVWKHOHJDWRRIWKHWRSYRLFHLVQRWSRVVLEOHWKH

VWXGHQWFDQQRWKROGWKHKDQGDQGILQJHUMRLQWVWLJKWLWKDVWREHUHOHDVHGLPPHGLDWHO\DIWHU

WRQHSURGXFWLRQZLWKQRWHQVLRQEHVLGHVWKHPLQLPXPUHTXLUHGWRNHHSWKHNH\RIWKHWRS



YRLFHGRZQ7KLVLVQRHDV\WDVNHVSHFLDOO\IRUVWXGHQWVZKRVH³UHFRYHU\´DIWHUWRQH

SURGXFWLRQLVWRRVORZIURPVWUXJJOLQJWRSOD\WKHWKLFNFKRUGV

([DPSOHD

 

7KHWHDFKHUDOVRPLJKWVXJJHVWDVLPSOHUYHUVLRQILUVWE\SOD\LQJRQO\WKHRFWDYHV

7KHVWXGHQWVKRXOGIRFXVRQWKHOHJDWRRIWKHWRSYRLFHDQGKDQGIOH[LELOLW\3URYLGHGWKDW

WKHVWXGHQWNQRZVKRZWRGROHJDWRSHGDOLQJWKLVVKRXOGEHDWWHPSWHGZLWKSHGDOVRWKDW

OHWWLQJJRRIWKHERWWRPYRLFHLVHDVLHU

([DPSOHE6FULDELQ1RFWXUQHLQ$IODWPDMRUSUDFWLFLQJP

 

6XEVHTXHQWO\VWXGHQWPLJKWDGGVRPHQRWHVRIWKHFKRUGSOD\LQJWKHGLPLQLVKHG

FKRUGLQFRPSOHWHWKHQFKDQJHWKHRPLWWHGQRWHVDOOWKHZKLOHZDWFKLQJRXWIRU

XQQHFHVVDU\WHQVLRQDQGHQVXULQJUHDOLVWLFILQJHULQJDQGKDQGSRVLWLRQV

([DPSOHVF6FULDELQ1RFWXUQHLQ$IODWPDMRUSUDFWLFLQJP

  



  

0HDVXUHWZHQW\WKUHHFRQWDLQVWKHFKDOOHQJHRIKDQGFURVVLQJ+DYLQJWKHOHIWKDQGFKRUG

KHOGLQSRVLWLRQDQGJHWWLQJFRPIRUWDEOHSOD\LQJWKHULJKWKDQGSLDQRSDVVDJHLQWKHORZ

UHJLVWHUFURVVHGRYHULVKHOSIXOEHIRUHSOD\LQJDVZULWWHQ7RDYRLGDFFXPXODWLQJWRRPXFK

VRXQGZLWKWKHOHIWKDQGUHSHDWHGFKRUGVLWLVHTXDOO\XVHIXOWRKDYHWKHULJKWKDQGFURVVHG

RYHULQSRVLWLRQEXWZLWKRXWSOD\LQJWKHQRWHVWRFRQFHQWUDWHRQWKHSK\VLFDOVHQVDWLRQRI

SURGXFLQJWKHULJKWG\QDPLFVIRUWKHOHIWKDQG,QDGGLWLRQWRWKLVWHFKQLFDOGHPDQGWKH

VWXGHQWVKRXOGEHDFFXUDWHZLWKWKHG\QDPLFVDQGDUWLFXODWLRQV DFFHQWDWWKHHQGRIWKH

SKUDVHRQIRUWHDQGSLDQRLQORZUHJLVWHU 7KHORQJ&PDMRUDUSHJJLDWHGFKRUGFDQEH

SOD\HGWKHIROORZLQJZD\

([DPSOH6FULDELQ1RFWXUQHLQ$IODWPDMRUP

 

$IWHUWKHPLGGOHVHFWLRQWKHUHLVDIRXUPHDVXUHWUDQVLWLRQWRWKHUHVWDWHPHQWRIWKH

ILUVWWKHPH GROFHOHJDWR 7KHPHWHUVHDPOHVVO\FKDQJHVIURPWRZLWKRXWHOLFLWLQJ

WKHIHHOLQJRIDQHZPHWHU7KHILUVWPHORG\DSSHDUVKHUHLQWKHIRUPRIDOLOWLQJFKRUDOHLQ

WKHRULJLQDONH\RI$IODWPDMRU



([DPSOH6FULDELQ1RFWXUQHLQ$IODWPDMRUPP

:ULWWHQDWDYHU\\RXQJDJH1RFWXUQHLQ$IODWPDMRUEHORQJVWRWKH\RXWKIXO

SHULRGRI6FULDELQ¶VZRUN7KLVFRPSRVLWLRQKDVDVLPSOHDQGSOHDVDQWPHORG\DQGFDQ

EHFRPHDEHORYHGSLHFHLQWKH\RXQJVWXGHQW¶VUHSHUWRLUHDOVRHIIHFWLYHDVDUHFLWDOSLHFH

7KLVZRUNFDQLQWURGXFHPDQ\QHZWHFKQLTXHVWRWKHVWXGHQWDQGFDQVXSSOHPHQWDVDJRRG

LQWURGXFWLRQWRWKHJHQUHRI1RFWXUQH7KHVLPSOLFLW\RIWKHWKHPHSURYLGHVDFOHDULGHDRI

KRZWKHPHORG\KDVWREHSKUDVHGZKLFKJLYHVVWXGHQWDOHVVRQRIOHDUQLQJDJRRGOHJDWR

FDQWLOHQDWRQHSURGXFWLRQLQFRRUGLQDWLRQZLWKWKHSHGDO'HVSLWHVRPHWHFKQLFDO

FKDOOHQJHVWKHFRPSDFWQHVVUHSHDWHGPDWHULDOVDQGWKHDWWUDFWLYHQHVVRIWKHZRUNPDNHLW

PDQDJHDEOHDVZHOODVPRWLYDWLQJ7KHUHSHWLWLRQRIWKHPXVLFDOPDWHULDODOVRJLYHVDQ

RSSRUWXQLW\WRPDNHJRRGXVHRILPDJLQDWLRQDQGWROHDUQWRHPSOR\SHUVRQDOLQWXLWLYHWDVWH

LQSHUIRUPDQFHIURPHDUO\RQ

:DOW]LQ')ODW0DMRU

6FULDELQFRPSRVHGWKUHHZDOW]HVLQDWWKHDJHRIILIWHHQ:DOW]LQ*VKDUS

PLQRULQ$XJXVW:DOW]LQ)VKDUSPLQRULQ6HSWHPEHUDQG:DOW]LQ'IODWPDMRULQ

'HFHPEHU7KHZDOW]LQ)VKDUSPLQRUZDVORVWDQGQHYHUIRXQGZKLOHWKHRWKHUWZR

ZDOW]HVZHUHSXEOLVKHGDIWHUWKHFRPSRVHU¶VGHDWK


3UHDVKQLNRYDDQG7RPSDNRYD



:DOW]LQ'IODWPDMRUEHDUVDGHGLFDWLRQLQ)UHQFK³$0OOH9HUD*DPERXU]HII´

ZKRVHH[DFWLGHQWLW\LVQRWNQRZQ8QIRUWXQDWHO\WKHFRPSRVHU¶VPDQXVFULSWQRORQJHU

H[LVWVWRGD\7KHZRUNZDVILUVWSXEOLVKHGLQE\0X]JL]LQDQHGLWLRQEDVHGRQWZR

FRSLHV2QHFRS\KDGEHHQKDQGHGGRZQE\6FULDELQ¶VFORVHIULHQGIURPWKHODWH¶V

$QDWRO6KDLNHYLFK7KHRWKHUFRS\ZDVSURGXFHGE\UHFRQVWUXFWLRQIURPPHPRU\E\

DQRWKHU6FULDELQ¶VIULHQGSLDQLVWSHGDJRJXH(PLO.5R]HQRY7KHHGLWRULDOFRPPLWWHHRI

0X]JL]FKRVHRQHRIWKHWZRFRSLHVEXWLQFRUSRUDWHGDOOWKHHVVHQWLDOYDULDQWVRIWKHILUVW

FRS\

:DOW]LQ'IODWPDMRULQFOXGHVPDQ\OHDUQLQJREMHFWLYHVWKDW\RXQJSHUIRUPHUFDQ

GLVFRYHUDQGPDVWHUVXFKDVGLIILFXOWNH\VVLJQDWXUHVGLYHUVHOHIWKDQGDFFRPSDQLPHQW

KDQGOLQJRIWZRYRLFHVZLWKLQRQHKDQGSOD\LQJRIODUJHLQFRPSOHWHFKRUGVDSDVVDJHZRUN

FRQVLVWLQJRITXLFNWZRQRWHSKUDVLQJDQGKDQGUHGLVWULEXWLRQIRUODUJHFKRUGV

:DOW]LQ'IODWPDMRULVZULWWHQLQWKHIRUP$%&FRGD

7DEOH:DOW]LQ'IODWPDMRU)RUP

$ % & &RGD


$ D E E E E E E E E F 

P           

'IODWPDMRU %IODWPLQRU 'IODWPLQRU 'IODW (IODWPLQRU 'IODW 'IODW


PDMRU PDMRU PDMRU

7KHNH\VLJQDWXUHRIWKHILYHIODWVLQWKLVSLHFHFDQIULJKWHQWKHVWXGHQW0DQ\\RXQJ

PXVLFLDQVKDYHDGLIILFXOWWLPHUHDGLQJDSLHFHWKDWFRQWDLQVPRUHWKDQWZRRUWKUHHVKDUSV


'RQDOG0*DUYHOPDQQ$OH[DQGHUDQG-XOLDQ6FULDELQ 1HZ<RUN0XVLF7UHDVXUH3XEOLFDWLRQV
 



RUIODWVGXHWRODFNRIH[SRVXUH,GHDOO\WKHVWXGHQWVKRXOGEHH[SRVHGWRSOD\LQJHDVLHU

SLHFHVLQWKLVNH\SULRUWRWKLVDVVLJQPHQW,QDQ\FDVHDVVLJQLQJWKHVWXGHQWWRSOD\FKRUGV

DQGLQYHUVLRQVLQWKLVNH\DQGWKHUHODWLYHPLQRU %IODWPLQRU ZRXOGEHLPSRUWDQW7KLV

SUDFWLFHZLOOPDNHWKHUHDGLQJRIWKHOHIWKDQGHDVLHUDQGZLOODFFHOHUDWHWKHSURFHVV

([DPSOH'IODWPDMRU7RQLF URRWSRVLWLRQDQGLQYHUVLRQV 

 

 
7KHWHDFKHUZLOOKDYHWRH[SODLQWKDWWKHDFWXDOSLHFHFRQWDLQVRSHQYRLFLQJDQGOHVV

FRPPRQGLYLVLRQVRIWKHFKRUGVGHPRQVWUDWLQJKRZWKH\DUHUHODWHGWRWKHFORVHGSRVLWLRQ

WULDGV)RUH[DPSOHPHDVXUHRQHLVWKHVHFRQGLQYHUVLRQRQWKH'IODWPDMRUFKRUG

LQFRPSOHWH H[DPSOH PHDVXUHWKLUWHHQLVWKHURRWFKRUGLQFRPSOHWHLQRSHQSRVLWLRQ

H[DPSOH PHDVXUHIRXUWHHQVHFRQGEHDWLVPLVVLQJ(IODWDQGWKH$IODWLVGRXEOHG

H[DPSOH 

([DPSOH

 







([DPSOH

  
([DPSOH

  
7\SLFDOWHFKQLFDOSUREOHPVDVVRFLDWHGZLWKWKHZDOW]DFFRPSDQLPHQWZRXOGEH

H[SHFWHGXVXDOO\EHDWWZRDQGWKUHHLQWKLVW\SHRIDFFRPSDQLPHQWVRXQGWRRORXG,WZLOO

EHKHOSIXOWRSUDFWLFHWKHOHIWKDQGDORQHZKLOHH[DJJHUDWLQJWKHG\QDPLFVE\SOD\LQJEHDW

RQHIRUWHDQGEHDWWZRDQGWKUHHSLDQR2QWKHILUVWEHDWWKHKDQGVKRXOGJRGRZQLQWRWKH

NH\RQWKHEHDWVWZRDQGWKUHHWKHKDQGVKRXOGJRXSIURPWKHNH\7KHWHDFKHUVKRXOG

SRLQWRXWWKHLPSRUWDQFHRIWKHFRUUHFWILQJHULQJVLQWKHDFFRPSDQLPHQW

([DPSOH6FULDELQ:DOW]LQ'IODWPDMRUPP

7KHULJKWKDQGZLOOUHTXLUHSODVWLFLW\LQRUGHUWRVRXQGOLJKW\HWFRQQHFWHG6FULDELQ

ZULWHVDQDFXWHDFFHQWRQWKHORQJQRWH7KLVDFFHQWVKRXOGQRWEHH[DJJHUDWHGDQGWKH

HLJKWKQRWHVIURPWKHSUHYLRXVPHDVXUHFDQEHWUHDWHGDVDSLFNXSWRWKHTXDUWHUQRWHZLWK

WKHDFFHQWZKLFKPD\KHOSLQSURORQJLQJWKHSKUDVH





([DPSOH6FULDELQ:DOW]LQ'IODWPDMRUPP

Allegro

,IWKHJHQUHRIWKHZDOW]LVVWLOOQHZIRUWKHVWXGHQWWKHWHDFKHUPLJKWDVVLJQDVKRUW

DQGHDVLHUH[HUFLVHIURP)HUGLQDQG%H\HUIRUH[DPSOH8VLQJVLPLODUVPDOOHUH[DPSOHV

VWXGHQWFDQZRUNRQWKHOHIWKDQGDFFRPSDQLPHQWDQGPDVWHUWKHULJKWKDQG,QWKLVH[DPSOH

WKHULJKWKDQGKDVWREHSOD\HGLQRQHJHVWXUHFRQQHFWLQJWKHHLJKWKQRWHVXQGHUWKHVOXULQ

RQHPHORGLFOLQH7KLVWHFKQLTXHLVVLPLODULQIHHOWRWKHPHORG\RIWKH6FULDELQ¶VZDOW]

([DPSOH%H\HU2S1R

6HFWLRQ%VWDUWVDWPHDVXUHVHYHQWHHQLQWKHUHODWLYHPLQRUNH\ %IODWPLQRU 7KH

PHORG\LVEDVHGRQWKHUK\WKPLFPRWLYHRIWKHVHFWLRQ$DTXDUWHUQRWHIROORZHGE\IRXU

HLJKWKQRWHV7KHDFFRPSDQLPHQWLVPLVVLQJWKHWKLUGEHDWDQGWKHDUWLFXODWLRQVDUHFKDQJHG

([DPSOH6FULDELQ:DOW]LQ'IODWPDMRUPP
17

 



7KH$VHFWLRQVWDUWLQJDWPHDVXUHWZHQW\RQHFRQVLVWVRIGHVFHQGLQJDQGWKHQ

DVFHQGLQJSDVVDJHV7KHWHDFKHUFDQH[SODLQWKHKDUPRQ\RXWOLQHGLQRUGHUWRKHOSWKH

VWXGHQWLQUHDGLQJWKLVVHFWLRQGHVFHQGLQJPRWLRQLVEDVHGRQWKHGLPLQLVKHGFKRUGDQGWKH

DVFHQGLQJPRWLRQLVEDVHGRQWKH(IODWPLQRUDUSHJJLRWKHUHVWDUHRUQDPHQWDO

FKURPDWLFLVP%HFDXVHRIWKLVILQJHULQJEHFRPHVFKDOOHQJLQJDQGWKHWHDFKHUZLOOKDYHWR

KHOSWKHVWXGHQWDQGHPSKDVL]HWKHLPSRUWDQFHRIWKHXVHRIDSSURSULDWHILQJHULQJ

([DPSOH6FULDELQ:DOW]LQ'IODWPDMRUPP

21

0HDVXUHWZHQW\ILYHLVDJRRGSODFHIRUIDPLOLDUL]LQJWKHVWXGHQWZLWKWKHNH\RI(

IODWPLQRU$VDQH[HUFLVHWKHVWXGHQWFDQSUDFWLFHWKLVVKRUWVHFWLRQLQDPRGLILHGZD\E\

SOD\LQJWKHFKRUGVRI(IODWPLQRUDORQJZLWKWKHVKRUWDUSHJJLRV

([DPSOH6FULDELQ:DOW]LQ'IODWPDMRUPP

25



,QPHDVXUHIRUW\RQHWKHGHYHORSPHQWRIWKHPRWLYHIURPWKHVHFWLRQ$FRQWLQXHV

WKLVWLPHWKURXJKYDULRXVNH\V'IODWPLQRU P LQWKHSDUDOOHOPDMRU P DQG(

IODWPLQRU P EHIRUHILQDOO\PRGXODWLQJEDFNWRWKHRULJLQDONH\RI'IODWPDMRU

6HFWLRQ& 



6HFWLRQ& P UHSHDWVWKHVDPHPHORG\LQWKHULJKWKDQGZKLOHWKHOHIWKDQG

FRQVLVWVRIFRPSOHWHO\QHZILJXUDWLRQV)RUWKHVHILJXUDWLRQVDKDQGWKDWFDQUHDFKWKH

RFWDYHZLWKILQJHUVVKRXOGHPSOR\WKHIRXUWKILQJHU

([DPSOH6FULDELQ:DOW]LQ'IODWPDMRUPP

65

 

/HJDWRLQWKHOHIWKDQGVKRXOGEHGRQHQRWMXVWEHWZHHQWKHWRSYRLFH>ILQJHUV±@EXW

DOVRWKURXJKWRSDQGERWWRP>ILQJHUV±  @

([DPSOHV6FULDELQ:DOW]LQ'IODWPDMRUSUDFWLFLQJGRXEOHQRWHVLQOHIWKDQGPP



 

 

7KHFRGDEHJLQVRQWKHVHFRQGKDOIRIWKHVHFRQGEHDWRIWKHPHDVXUHVHYHQW\QLQH

DQGFRQVLVWVRIGHVFHQGLQJSDVVDJHVUHTXLULQJTXLFNWZRQRWHSKUDVHWHFKQLTXHDQGZHOO

UHJXODWHGURWDWLRQ,QRUGHUWRSOD\WKHULJKWKDQGVPRRWKO\WKHIROORZLQJJURXSLQJZLOOEH

XVHIXO H[DPSOH (DFKWZRQRWHSKUDVHVWDUWVRQWKHVDPHQRWHDVWKHODVWQRWHRIWKH

SUHFHGHQWJURXS7KHFKDQJLQJGLUHFWLRQRIWKHPHORG\DQGWKHPL[HGLQWHUYDOVPDNHWKLV



SODFHXQFRPIRUWDEOH7KLVVHFWLRQLVUHPLQLVFHQWRIWKHILUVWPRYHPHQWRIWKH³7HPSHVW´

VRQDWDE\%HHWKRYHQ

([DPSOH6FULDELQ:DOW]LQ'IODWPDMRUPP

80

 

([DPSOH%HHWKRYHQ6RQDWD2S1RPRYHPHQW,PP
12

  

3UDFWLFLQJWKLVVHFWLRQE\FKDQJLQJWKHPHORGLFGLUHFWLRQRIWKHPHORG\ZLWKLQHDFK

SKUDVHWKXVPDNLQJDOOJURXSVRIWZRQRWHVIROORZRQHGLUHFWLRQLVKHOSIXO7KHDLPRIWKLV

H[HUFLVHLVWRVWDELOL]HWKHSRVLWLRQDOVKLIWVZLWKRXWWKHSRWHQWLDOFRQIXVLRQFDXVHGE\

UHYHUVDORISK\VLFDOPRWLRQIURPVXSLQDWLRQSURQDWLRQLQRQHJURXSWRSURQDWLRQVXSLQDWLRQ

LQDQRWKHURUYLFHYHUVD

([DPSOH6FULDELQ:DOW]LQ'IODWPDMRUPP

 


5RWDWLRQRIWKHKDQGRUIRUHDUPVRDVWREULQJWKHSDOPXSZDUG5RWDWLRQRIWKHKDQGRUIRUHDUPVR
DVWREULQJWKHSDOPGRZQZDUGRUUHDUZDUG³6XSLQDWLRQ´7KH)UHH'LFWLRQDU\E\)DUOH[ZHEVLWH
KWWSZZZWKHIUHHGLFWLRQDU\FRPVXSLQDWLRQ DFFHVVHG0DUFK 




$OVRWKHVWXGHQWPLJKWFRQVLGHUSOD\LQJWKHJURXSVRIWZRQRWHVLQEORFNHGLQWHUYDOV

H[DPSOH RUE\GRXEOLQJ RUWULSOLQJ WKHRULJLQDOSKUDVHVWRPDNHHDFKURWDWLRQVHFXUH

DQGHIILFLHQW H[DPSOH 

([DPSOH6FULDELQ:DOW]LQ'IODWPDMRUPPHLJKWKQRWHVFRPELQHGLQ

EORFNHGLQWHUYDOV 

 

([DPSOH6FULDELQ:DOW]LQ'IODWPDMRUPPGRXEOHGHLJKWKQRWHV

7KHFKRUGVLQWKHODVWWZRPHDVXUHVFDQEHUROOHGDQGWKHWRS'IODWFDQEHSOD\HG

ZLWKWKHOHIWKDQG

([DPSOH6FULDELQ:DOW]LQ'IODWPDMRUPP

 

:DOW]LQ'IODWPDMRUFRXOGEHDJRRGLQWURGXFWRU\SLHFHRIWKLVJHQUHIRUROGHU

VWXGHQWVZLWKJRRGKDQGVSDQRUDQH[WOHYHOZRUNIRUDVWXGHQWZKRLVDOUHDG\IDPLOLDUZLWK

WKHVW\OH7KLVZRUNFDQUHSODFHRUVXSSOHPHQWIDPRXVSLHFHVWKDWDUHRIWHQSHUIRUPHGVXFK

DV&KRSLQ¶VVPDOOZDOW]HV7KHNH\VLJQDWXUHRIILYHIODWVLVDJRRGSUDFWLFHRISOD\LQJD

SLHFHLQD³KDUGHU´NH\DQGZLOOKHOSLQEXLOGLQJFRQILGHQFHIRUDQ\NH\VLJQDWXUHVLQWKH

IXWXUH



:DOW]2SLQ)0LQRU

:DOW]2SZDVFRPSRVHGLQGXULQJ6FULDELQ¶V\HDUVDWWKH&RQVHUYDWRU\

,WZDVILUVWSXEOLVKHGLQ-XQHE\3-XUJHQVRQLLQ0RVFRZ7KHZDOW]LVZULWWHQLQ

$%$FRGDIRUP

7DEOH6FULDELQ:DOW]2S)RUP

$   %   $  &RGD

D % 7UDQVLWLRQ $ F E WUDQVLWLRQ $ E 



        
P  

) $IODW  )PLQRU 'IODW $IODW  )PLQRU ) )


PLQRU PDMRU  PDMRU PDMRU  PLQRU PDMRU

7KHZRUNLQFOXGHVDODUJHYDULHW\RIWHFKQLFDODQGPXVLFDOHOHPHQWVVXFKDVGRXEOH

QRWHVV\QFRSDWHGUK\WKPVLQQHUYRLFHPHORG\ODUJHFKRUGVDQGZLGHLQWHUYDOVGLIILFXOW

NH\VLJQDWXUHVIRUD\RXQJPXVLFLDQPHWHUFKDQJHVWZRYRLFHVLQRQHKDQG PHORG\DQG

DFFRPSDQLPHQW KDQGRYHUODSVZDOW]DQGPD]XUNDDFFRPSDQLPHQW

7KHPRVWGLIILFXOWVHFWLRQRIWKHSLHFHLVWKH%VHFWLRQ P 7KHWHDFKHUPD\

VXJJHVWWKDWDVWXGHQWVWDUWVZRUNLQJRQWKHSLHFHE\FRQFHQWUDWLQJRQWKLVVHFWLRQHDUO\

:RUNLQJLQDVWHSE\VWHSIDVKLRQRQWKLVVHFWLRQWKXVZLOODOORZIRUWKHDGGLWLRQDOWLPH

QHHGHGE\WKHWLPHWKHUHVWRIWKHSLHFHLVOHDUQHG1RWRQO\GRHVWKHOHDUQLQJIURPWKH

EHJLQQLQJXQQHFHVVDULO\H[WHQGWKHOHQJWKRIWLPHQHHGHGWRPDVWHUWKHSLHFHEHFDXVHRIWKLV

VHFWLRQEXWLWPD\DOVRVHWDSHUPDQHQWSV\FKRORJLFDOPDUNRQWKHVHFWLRQDVVRPHWKLQJ

XQVXFFHVVIXO


)DXELRQ%RZHUV6FULDELQ 1HZ<RUN'RYHU 


3UHDVKQLNRYDDQG7RPSDNRYD



6LPLODUWRRWKHUH[DPSOHVVXFKDVWKH1RFWXUQHLQ$IODWPDMRU H[DPSOHVDQG

 WKHLQVWUXFWRUZLOODOVRKDYHWRKHOSWKHVWXGHQWZLWKWKHILQJHULQJVDQGVXJJHVWKDQG

UHGLVWULEXWLRQLQPDQ\SODFHV)RUH[DPSOHWKHGRXEOHQRWHSDVVDJHVLQ$VHFWLRQZLOOQHHG

WKHILQJHULQJWKDWZRXOGDOORZWKHSHUIRUPHUWRH[HFXWHWKHPHORG\OLQHLQOHJDWRLQWKLV

FDVHQHFHVVLWDWLQJIOH[LEOHDQGDJLOHWKXPEPRYHPHQWV7KHILQJHULQJZRXOGYDU\

GHSHQGLQJRQWKHKDQGVL]HDQGILQJHUOHQJWKV

([DPSOH6FULDELQ:DOW]2SPP

7KHEVHFWLRQ P KDVDFKDUDFWHURIDPD]XUNDZLWKDQDFFHQWRQWKHWKLUGEHDW

7KLVHSLVRGHPRGXODWHVWRWKHUHODWLYHNH\ $IODWPDMRU IHDWXULQJDVKRUWPXVLFDOPRWLYH

WKDWVKRXOGEHSOD\HGLQRQHJHVWXUHE\FRRUGLQDWLQJODUJHUPXVFOHVZLWKIOH[LEOHZULVW7KH

VWXGHQWVKRXOGXVHWKHZULVWPRWLRQLQWKHULJKWKDQGWKDWZRXOGIROORZWKHJHQHUDOPHORGLF

FRQWRXUZKLFKULVHV$OVRWKHIRUHDUPDQGHOERZVKRXOGIROORZWKHJHQHUDOGLUHFWLRQRIWKH

PHORG\DQGPRYHWRZDUGVVXSSRUWLQJWKHILIWKILQJHUZLWKWKHZULVWDOORZLQJWKHWRQH

SURGXFLQJPRWLRQWREHWKDWRIDEGXFWLRQRIWKHDUP)RUWKHIRUHDUPWRIROORZLQ

VXSSRUWLQJWKHILIWKILQJHUWKHZULVWPRWLRQVKRXOGWKHUHIRUHEHQRWRQO\PRYLQJXSEXWDOVR

ODWHUDOO\WRZDUGVWKHKLJKHUUHJLVWHUV7KHW\SLFDOLQVWLQFWRIOHVVH[SHULHQFHGSLDQLVWPD\EH


0RWLRQRIWKHDUPRXWZDUGIURPWKHFHQWHURIWKHERG\




WRFRPHGRZQWRZDUGVWKHWKXPESURGXFLQJWKHWRQHE\DGGXFWLRQRQWKHDFFHQWHGQRWHV

EXWWKLVZRXOGQRWSURGXFHWKHGHVLUHGPRPHQWXPWKURXJKEHDWWKUHHWRWKHQH[WGRZQEHDW

,WLVLPSRUWDQWWRQRWHWKHUHDVRQZK\WKLVPD\EHSDUWLFXODUO\FRXQWHULQWXLWLYHLQWKLV

H[DPSOH6WXGHQWVDUHRIWHQXVHGWRSOD\LQJWKHILQJHULQJVHTXHQFHRIE\WKH

DFFRPSDQ\LQJPRWLRQLQWKHIRUHDUPRISURQDWLRQ7KLVLVDJRRGH[DPSOHRIKRZWKH

VDPHILQJHULQJFDQEHSOD\HGZLWKWKHJHQHUDOPRWLRQRIWKHIRUHDUPLQVXSLQDWLRQ2QFH

JXLGHGWKURXJKWKHH[SHULHQFHWKLVWHFKQLTXHRSHQVXSDZKROHQHZGLPHQVLRQWKDWZLOOEH

XVHIXOIRUPDQ\DGYDQFHGSLHFHV

([DPSOH6FULDELQ:DOW]2SPP  

 

7KHPLGGOHVHFWLRQ P KDVWKHLQQHUPHORG\LQERWKKDQGV H[DPSOH 7KH

DFFRPSDQLPHQW EHDWVWZRDQGWKUHHLQWKHULJKWKDQG KDVYHU\ODUJHFKRUGV,IWKHVWXGHQW¶V

KDQGGRHVQRWUHDFKWKHVHLQWHUYDOVWKHERWWRPQRWHRIWKHFKRUGVFDQEHSOD\HGRQHRFWDYH

KLJKHU H[DPSOH ²WKLVZRXOGEHPRUHGHVLUDEOHWKDQUROOLQJWKHPLQWKLVLQVWDQFH


 0RWLRQRIWKHDUPWRZDUGWKHFHQWUDOD[LVRIWKHERG\


 5RWDWLRQRIWKHKRUL]RQWDOIRUHDUPVRWKDWWKHSDOPIDFHVGRZQWRWKHJURXQG


 5RWDWLRQRIWKHKRUL]RQWDOIRUHDUPVRWKDWWKHSDOPIDFHVXSZDUG)RUVSHFLILFH[HUFLVHVDWWKH
NH\ERDUGWRIHHOWKHVHQVDWLRQVHH6H\PRXU%HUQVWHLQ7ZHQW\/HVVRQVLQ.H\ERDUG&KRUHRJUDSK\
0LOZDXNHH:,6H\PRXU%HUQVWHLQ0XVLF 



([DPSOH6FULDELQ:DOW]2SPPRULJLQDOYHUVLRQ

([DPSOH6FULDELQ:DOW]2SPPUHDUUDQJHGFKRUGVLQWKHULJKWKDQG 

7KHUHLVDQLQWHUSUHWDWLYHFKDOOHQJHIRUWKHVDPHVHFWLRQWKHILUVWSKUDVH PP

 LVUHSHDWHGWZLFH7KHVWXGHQWKDVWRILQGDZD\QRWWRSOD\H[DFWO\WKHVDPHZD\WZLFH

DQGWU\WREULQJVRPHWKLQJQHZRUGLIIHUHQWWKHVHFRQGWLPH,WFRXOGEHDFKDQJHRIWKH

YRLFLQJEHWZHHQWKHKDQGVOHDQLQJRQGLIIHUHQWSRLQWVRIWKHPHORG\YDU\LQJWKH

DFFRPSDQLPHQW¶VSURPLQHQFHDJDLQVWWKHPHORG\HWF7KHFXOPLQDWLQJFKRUGVRIWKLV

SKUDVHFDQEHSOD\HGWRJHWKHU H[DPSOH RUDUSHJJLDWHG H[DPSOH DFFRUGLQJWR

WDVWHDQGKDQGVSDQ7KLVVHOHFWLRQPD\DOVREHDZD\WRDGGYDULHW\XSRQUHSHWLWLRQ7KH

SHGDOPXVWFRPHEHIRUHWKHFKRUGDQGLQFOXGHWKHWKLUGEHDWEDVV$IODWRFWDYHRIWKH

SUHYLRXVPHDVXUH





([DPSOHD6FULDELQ:DOW]2SP$USHJJLDWHGFKRUGRQO\LQOHIWKDQG

   

([DPSOHE6FULDELQ:DOW]2SP$USHJJLDWHGFKRUGIURPWKHERWWRPWRWKH

WRS

  

)RUWKHQH[WUHLWHUDWLRQRIWKHPHORG\ P WKHUHLV\HWDQRWKHUWHFKQLFDODQG

PXVLFDOFKDOOHQJHWKHPHORG\DSSHDUVLQRFWDYHVLQWKHULJKWKDQGZKLOHWKHVDPHKDQG

PXVWQRZSOD\WZRQRWHVRIWKHDFFRPSDQLPHQWZKLFKRYHUODSZLWKWKHRFWDYHUHJLVWHU1HZ

ILJXUDWLRQLQWKHOHIWKDQGDQGWKHDFFRPSDQLPHQWZULWWHQDERYHWKHORZHUQRWHVRIWKH

PHORG\QHFHVVLWDWLQJFURZGLQJRIKDQGSRVLWLRQVUHSUHVHQWDFKDOOHQJHLQNHHSLQJWKHORQJ

OLQHRIWKHPHORG\







([DPSOH6FULDELQ:DOW]2SPP

7KHVWXGHQWPLJKWSOD\WKHOHIWKDQGLQEORFNHGFKRUGVZLWKWKHPHORG\DORQHDW

ILUVW,WLVLPSRUWDQWWRVWUHVVIRUWKHULJKWKDQGIOH[LEOHZULVWZLWKVOLJKWFLUFXODUPRWLRQ

WKDWZRXOGODWHUDFFRPPRGDWHSOD\LQJWKHDFFRPSDQLPHQWDOQRWHV/HWWLQJJRRIWKHWKXPE

QDWXUDOO\VRRQHUWKDQWKHILIWKILQJHUZLOODOVRKHOSLQJHWWLQJWKHJHQHUDOPRWLRQUHDG\IRU

SOD\LQJWKHDGGLWLRQDOQRWHVODWHU

([DPSOH6FULDELQ:DOW]2SPPVLPSOLILHGULJKWKDQGZLWKOHIWKDQGLQ

EORFNHGFKRUGV

7KHQWKHVWXGHQWFDQDGGEHDWVWZRDQGWKUHHLQWKHULJKWKDQGVWLOONHHSLQJWKHOHIW

KDQGLQEORFNHGFKRUGVXQWLODOOLVZHOO



([DPSOH6FULDELQ:DOW]2SPP

7KHOHJDWRGRXEOHQRWHSDVVDJHVLQWKHOHIWKDQGLQPHDVXUHVVHYHQW\QLQHDQG

HLJKW\RQH WKHQUHSHDWHGLQPPDQG FDQEHDFKLHYHGWKURXJKSULRULWL]LQJOHJDWR

ILQJHULQJVLQWKHERWWRPYRLFHZLWKILQJHUV RU 7KHWHDFKHUZLOO

KDYHWRGHPRQVWUDWHWKHFURVVLQJRIWKHILQJHUIRXURYHUILYHWRWKHVWXGHQWDQGH[SODLQWKDW

WKHILQJHUMRLQWVVKRXOGQRWEHKHOGLQDORFNHGSRVLWLRQEXWLQVWHDGOHWJRDVVRRQDVWKHWRQH

LVSURGXFHG7KHERWWRPQRWHVDUHKHOGZLWKOHJDWRILQJHULQJZKLOHWKHILQJHUVRQWRSQRWHV

VKRXOGOHWJRRIWKHNH\VDQGPRYHWRWKHQH[WRQH/HJDWRSHGDOLQJZRXOGWDNHFDUHRIWKH

UHVW

([DPSOH6FULDELQ:DOW]2SPP





 )URPPHDVXUHHLJKW\VHYHQ6FULDELQFUHDWHVDFRQWUDSXQWDOWH[WXUHEHWZHHQWKH

WHQRUDQGVRSUDQRYRLFHVLQWKHODVWSKUDVH8QOLNH5DFKPDQLQRIIDQG7FKDLNRYVN\6FULDELQ

XWLOL]HVVXFKWHFKQLTXHUDUHO\DQGRQO\LQKLV\RXWKIXOZRUNV,QPHDVXUHHLJKW\HLJKW

WKH$IODWLQWKHPLGGOHYRLFHFDQEHSOD\HGE\WKHOHIWKDQGZKLFKLVDOUHDG\LQSRVLWLRQE\

WKHFKRUGRQWKHSUHYLRXVEHDW7KHVWXGHQWPD\WKLQNRIWKLVQRWHDVDJUDFHQRWHDQG

H[HFXWHLQWKHIROORZLQJZD\7KLV³WULFN´ZLOOKHOSNHHSLQJWKHPHORGLFOLQHDVDZKROH

([DPSOH6FULDELQ:DOW]2SPP

 

&RGD P DOVRLQFOXGHVYHU\ZLGHLQWHUYDOV,QVRPHSODFHVWKHVWXGHQWFRXOG

XVHKDQGUHGLVWULEXWLRQDVLQGLFDWHGEHORZ

([DPSOH6FULDELQ:DOW]2SPP


0LNKDLO<DQRYLWVN\³6FULDELQ¶V(WXGHV2S´ 3K'GLVV7HPSOH8QLYHUVLW\ 
KWWSVHDUFKSURTXHVWFRPGRFYLHZ"DFFRXQWLG  DFFHVVHG0DUFK 



,QPHDVXUHVWKHSHUIRUPHUFDQDUUSHJLDWHWKHFKRUGVWDUWLQJLPPHGLDWHO\

DIWHUWKHODVWEDVVQRWH&DQGDOVRSOD\WKHERWWRP)RQWKHULJKWKDQGZLWKWKHOHIWKDQG

7KLVKDQGUHGLVWULEXWLRQZLOOKHOSNHHSWKHOLQHRIWKHPHORG\ZLWKRXWJDSV

([DPSOH6FULDELQ:DOW]2SPP

 

7KHFRGD P LQFOXGHVDQRWKHUZLGHLQWHUYDO RIDWHQWK LQWKHOHIWKDQGDQG

FRQWUDU\PRWLRQ)PDMRUDUSHJJLRVLQWKHODVWPHDVXUH7KHUROOHGFKRUGILJXUHDWWKHHQGRI

WKHSLHFHLVW\SLFDORIHQGLQJVRIPDQ\5RPDQWLFHUDSLDQRPXVLF6FULDELQVSHFLILHVWKDWKLV

FKRUGEHUROOHGLQWZRGLIIHUHQWGLUHFWLRQV7KLVLVWKHNLQGRILQQRYDWLRQ6FULDELQIUHTXHQWO\

H[KLELWVLQKLVHDUO\FDUHHU³WKHEDVLFPRGHORI&KRSLQEXWZLWKDIUHVKWZLVW´

([DPSOH6FULDELQ:DOW]2SPP

 


<RRMXQJ.LP³/HIW+DQG$USHJJLDWHG)LJXUDWLRQLQWKH3LDQR:RUNVRI$OH[DQGHU6FULDELQ
&KDUDFWHULVWLF7\SHVDQGWKHLU3HUIRUPDQFH3UDFWLFH´ 3K'GLVV1HZ<RUN8QLYHUVLW\ 
KWWSVHDUFKSURTXHVWFRPGRFYLHZ"DFFRXQWLG  DFFHVVHG0DUFK 



 :DOW]2SLVDUHPDUNDEOH5RPDQWLFSLHFHWKDWFRQWDLQVDODUJHYDULHW\RI

WHFKQLFDOGLIILFXOWLHV7KHG\QDPLFVDUWLFXODWLRQVDQGWHPSRPDUNLQJV³PXVWEHREVHUYHGWR

WKHOHWWHURUWKHDOOLPSRUWDQWFRQFHSWRIFRORUZLOOEHDEVHQWDQGWKHHIIHFWRIWKHSLHFHZLOO

EHORVW´:DOW]ZLOOUHTXLUHSDWLHQFHLQZRUNLQJRXWWKHGHWDLOVDQGFDQEHFRPHDORQJHU

WHUPSURMHFWIRUD\RXQJVWXGHQWLQWXUQDGGLQJWKHH[FLWHPHQWRIZRUNLQJRQDPRUH

FKDOOHQJLQJDQGGLIILFXOWSLHFH


0D]XUND2S1R

 7HQ0D]XUNDV2SLV6FULDELQ¶VILUVWODUJHFROOHFWLRQRISLDQRZRUNV7KLVVHW

GHPRQVWUDWHV6FULDELQ¶VDSSUHFLDWLRQRI&KRSLQ¶VZRUNVSDUWLFXODUO\KLV0D]XUNDV$

PXOWLWXGHRIPRRGVDERXQGLQWKHGDQFHFROOHFWLRQVRIERWKFRPSRVHUV²PHODQFKRO\

JUDFLRXVQHVVWHQGHUQHVVDQGSDVVLRQ

 7KHILUVWHGLWLRQRI7HQ0D]XUNDV2SZDVSXEOLVKHGLQ1RYHPEHUE\3\RWU

-XUJHQVR7KHWHQGDQFHVIURPWKLVRSXVDUHZULWWHQLQYDULRXVFKDUDFWHUVUDQJLQJIURP

6FKHU]DQGRWR'RORURVRJLYLQJWHDFKHUWKHFKDQFHWRILQGDSLHFHWKDWFRXOGILWWKH

WHPSHUDPHQWRIDQ\VWXGHQW1RLVRQHRIWKHPRVWHIIHFWLYHDQGVDWLVI\LQJRIWKHVHWZLWK

FKDOOHQJHVWKDWDUHPDQDJHDEOH

 0D]XUND2S1RLQ(PDMRULVPDUNHG0RGHUDWRZULWWHQLQWHUQDU\IRUPZLWK

DFRGD,WLVWKHRQO\GDQFHLQDPDMRUNH\IURPWKHVHWRI2S


<DQRYLWVN\


,ELG


3UHDVKQLNRYDDQG7RPSDNRYD



7DEOH0D]XUND2S1R)RUP

$ %
0RGHUDWR(PDMRU &RQJUD]LD&PDMRU
$ % $ $ D & F ' F WUDQVLWLRQWR$

P         


$ &RGD
(PDMRU 
$ $ E $ D 

     

0D]XUND2S1RZLOOUHSUHVHQWWKHIROORZLQJFKDOOHQJHVIRUWKHVWXGHQW

FRQWUDVWLQJDUWLFXODWLRQVLQWKHPHORG\DQGDFFRPSDQLPHQWOHIWKDQGPHORG\YRLFLQJ

ZLWKLQDKDQGUHSHDWHGQRWHVDQGRFWDYHV

7KHRSHQLQJHLJKWPHDVXUHSKUDVHUHSHDWHGWZLFHUHSUHVHQWVDQLQWHUSUHWDWLRQDO

FKDOOHQJH6LPLODUWRWKH%VHFWLRQRI:DOW]2SSHUIRUPHUZRXOGKDYHWRDYRLGSOD\LQJ

WKHPWKHVDPHZD\DQGILQGVRPHWKLQJGLIIHUHQWWKHVHFRQGWLPH7KLVFRXOGEH

DFFRPSOLVKHGE\DFKDQJHLQWKHWRQHG\QDPLFVRUWLPLQJ1RWRQO\LVWKLVDJRRG

RSSRUWXQLW\IRUWKHVWXGHQWWRXVHKLVLPDJLQDWLRQEXWDOVRWKHQHFHVVLW\WRVWULYHIRUPRUH

QXDQFHGGLIIHUHQWLDWLRQDQGFRQWURO WHFKQLFDOO\DQGFRQFHSWXDOO\ ZLOOKDYHDQRYHUDOO

PRWLYDWLQJHIIHFWZLWKODVWLQJLPSDFW,WLVFULWLFDOWKDWWKHWHDFKHULVUHDG\WRGHPRQVWUDWH

VRPHSRVVLELOLWLHVHIIHFWLYHO\DFFRPSDQLHGE\DSWYHUEDOGHVFULSWLRQVWRH[FLWHWKHVWXGHQW

ZLWKWKHQHZFKDOOHQJH7KHILUVWWKHPHKDVWZRFRQWUDVWLQJPRRGVWKHILUVWRQHKDVDO\ULF

FKDUDFWHUPDUNHGGROFH PH[DPSOH DQGWKHVHFRQGKDVDSOD\IXOVKHU]DQGR

OLNHFKDUDFWHU PH[DPSOH 7KHWHDFKHUFDQXVHWKHRSHQLQJPHORG\DVDOHVVRQLQ

GHWHUPLQLQJWRSRJUDSKLFDOO\VRXQGILQJHULQJ7KHUHDUHVRPHFKRLFHVDYRLGLQJWKHILUVW

ILQJHURQEODFNNH\VFRPSOHWHO\ H[DPSOH RUQRW H[DPSOH 





([DPSOHD6FULDELQ0D]XUND2S1RPP

 

([DPSOHE6FULDELQ0D]XUND2S1RPP

 

7KHPHORGLFOLQHLVDFFRPSDQLHGLQWKHOHIWKDQGE\WKHLQYHUVLRQVRI(PDMRUFKRUG

6LPLODUWRWKHH[DPSOHPHQWLRQHGLQ:DOW]LQ'IODW0DMRU H[DPSOH WKHWHDFKHUFDQ

SRLQWRXWWKLVIDFWDQGKDYHWKHVWXGHQWSOD\WKHFKRUGVDVDQH[HUFLVHWRZRUNRQWUDQVLWLRQV

IURPRQHWRWKHRWKHUILUVWXVLQJWKHEDVLFLQYHUVLRQVRIDWULDGIROORZHGE\DYHUVLRQLQIXOO

IRXUQRWHFKRUGV7KLVZRXOGDOVREHDJRRGWLPHWRSUDFWLFHWUDQVLWLRQLQJEHWZHHQIRXUQRWH

FKRUGVLQ,DQG9LQWKHOHIWKDQG

([DPSOHV

 



,WLVLPSRUWDQWWRSRLQWRXWWKDWWKLVOHIWKDQGDFFRPSDQLPHQWLQFOXGHVLQFRPSOHWH

FKRUGV6WXGHQWVKRXOGEHOHGWRFRPSDUHFRPSOHWHDQGLQFRPSOHWHFKRUGVZKLOHSD\LQJ

DWWHQWLRQWRKRZWKLVLPSDFWVRQILQJHULQJGHFLVLRQV7KLVW\SHRIGHWDLOHGDWWHQWLRQZLOOQRW

RQO\KHOSLQFOHDQH[HFXWLRQEXWDOVRIRUVHFXUHPHPRUL]DWLRQ7KHQVWXGHQWFDQSOD\RQO\

WKHWRSYRLFHRIWKHDFFRPSDQLPHQW H[DPSOH DQGWKHQDGGWKHERWWRPQRWHZLWKRXW

WKHPLGGOH H[DPSOH 

([DPSOH6FULDELQ0D]XUND2S1RPPOHIWKDQG

  

([DPSOH6FULDELQ0D]XUND2S1RPPSUDFWLFLQJOHIWKDQG

 


([DPSOH6FULDELQ0D]XUND2S1RPPSUDFWLFLQJOHIWKDQG

   

2QFHDOOWKHQRWHVDUHEHLQJSUDFWLFHGZLWKWKHFRUUHFWILQJHULQJLWVKRXOGEHSRLQWHG

RXWWKDWWKHFRPPRQQRWHVEHWZHHQWKHVHFRQGDQGWKLUGFKRUGV%DQG(DUHEHLQJSOD\HG

ZLWKGLIIHUHQWILQJHUVDQGWKHQ3UDFWLFLQJRQO\WKHQRWHV%DQG(WUDQVLWLRQLQJ



EHWZHHQWZRGLIIHUHQWILQJHULQJVZKLOHZDWFKLQJIRUUHDOLVWLFKDQGSRVLWLRQLVLPSRUWDQWIRU

JRRGYRLFLQJRIWKHVHFKRUGV

 7RFDSWXUHWKHFDSULFLRXVFKDUDFWHURIWKHVHFRQGKDOIRIWKLVPHORG\WKH

DUWLFXODWLRQVKDYHWREHFDUHIXOO\H[HFXWHGLQPHDVXUHVILYHWKURXJKHLJKW7KHWHDFKHUFDQ

KHOSWKHVWXGHQWE\GHPRQVWUDWLQJWKHKDQGPRWLRQJRLQJ³XS´IURPWKHNH\LQVWDFFDWRIRU

OLJKWQHVVDQG³GRZQ´RQWKHDFFHQW%HFDXVHRIWKHUHLWHUDWHGSLFNXS%EHIRUHWKHVHFRQG

EHDWWKHVWXGHQW¶VLQVWLQFWLVWRSOD\WKHFKRUGZLWKWKH³GRZQ´PRWLRQ7KLVVKRXOGEH

SUHYHQWHGE\LPPHGLDWHO\DGGUHVVLQJWKHFRUUHFWPRWLRQDWWKHWLPHRISLHFHDVVLJQPHQW

3OD\LQJRQO\WKHWRSPHORG\ZLWKWKHFRUUHFWILQJHULQJDWILUVWLVKHOSIXO7KLVVKRXOGEH

IROORZHGE\DVNLQJWKHVWXGHQWWRKROGWKH*VKDUSZLWKWKHILUVWILQJHUWKHQSOD\LQJWKHWRS

PHORG\ZLWKWKHVDPHJHVWXUHDVEHIRUH

([DPSOH6FULDELQ0D]XUND2S1RPP

0HDVXUHVVHYHQWHHQWRWKLUW\WZRLQFOXGHDVHULHVRIVXUSULVLQJPRGXODWLRQV

H[DPSOH 7KHPHORG\VWLOOLQIRXUEDUVVWDUWVLQWKHOHIWKDQGPLPLFNLQJWKHRSHQLQJ

PHORG\EXWLQWKHNH\RI(PLQRULQPHDVXUHVHYHQWHHQWKHQLWLVWUDQVSRVHGWRWKHNH\RI%

PLQRU7KHPHORG\LVZULWWHQLQWKHPLGGOHUHJLVWHURIWKHSLDQRZLWKDQHVSUHVVLYRPDUNLQJ

LQWKHVHFRQGHGLWLRQE\,JXPQRYDQG0LOVWHLQ7RPDNHWKHOHIWKDQGPHORG\MXVWDV

7KHHVSUHVVLYRDQGWHQXWRPDUNLQJVLQWKHULJKWKDQGDUHPLVVLQJLQWKHILUVWHGLWLRQE\3
42

-XJHQVRQ



O\ULFDODQGHORTXHQWDVWKHULJKWKDQG¶VRSHQLQJPHORG\DVNLQJWKHVWXGHQWWR³PRGHO´WKLV

OHIWKDQGPHORG\ZLWKWKHULJKWKDQG LQWKHFRUUHFWUHJLVWHU PD\EHXVHIXO7KHULJKWKDQG

KDVDFKRUGDOFRXQWHUPHORG\ZKLFKVKRXOGEHYRLFHGZHOOE\UHOHDVLQJWKHORZHUUHSHDWHG

QRWHVRIWKHFKRUGVVOLJKWO\WRNHHSWKHZULVWIOH[LEOHLQIDYRURIWKHWRSYRLFHWRQH

SURGXFWLRQ7KLVLVOLNHO\ZKDWLVLQWHQGHGE\WKHWHQXWRPDUNLQJVDOWKRXJKWKHVDPH

PDUNLQJVPD\WHPSWDVWXGHQWWRKROGDOOWKHQRWHVWRRORQJ+HUHDJDLQWKHUHDUHVRPH

FKRUGVWKDWQHHGWREHUHGLVWULEXWHG7KHODVWFKRUGRIPHDVXUHHLJKWHHQDQGWKHFKRUGRQ

WKHVHFRQGEHDWRIPHDVXUHQLQHWHHQ DVZHOODVWKHLUFRXQWHUSDUWVLQPP VSDQD

PDMRUQLQWKDQGPDMRUWHQWKUHVSHFWLYHO\WKDWFDQQRWEHUHDFKHGZLWKRQHKDQGZLWKRXW

EUHDNLQJ3OD\LQJWKHERWWRPQRWHVRIWKHVHFKRUGVZLWKWKHOHIWKDQGVROYHVWKHSUREOHP

([DPSOH6FULDELQ0D]XUND2S1RPP

,QPHDVXUHVWZHQW\ILYHWRWKLUW\WZRZKHUHDVHULHVRIPRGXODWLRQVFRQWLQXHLW

ZRXOGEHKHOSIXOWRSRLQWRXWWKDWWKHKDUPRQLHVRIWKHOHIWKDQGDUHRQO\DVHULHVRI9, L 

FDGHQFHVLQYDULRXVNH\V'PDMRULQPP*PDMRULQP%PLQRULQPP

DQG(PLQRULQPP



)RUWKHKDQGRYHUODSLQPHDVXUHWKLUW\RQHVWXGHQWQHHGVWROHDYHWKHNH\ULJKWDZD\

DIWHUSURGXFLQJWKHVRXQGDQGPRYHWRWKHQH[WRQHRUWDNHWKH$VKDUSZLWKWKHULJKWKDQG

7KHUHLVQRQHHGWRWU\WRKROGWKHORQJQRWHVLQWKHOHIWKDQGIRUWZREHDWVH[FHSWIRU

SRVVLEO\RQO\WKH(

([DPSOH

  

7KHHQGLQJRIWKH$VHFWLRQ P VRXQGVFRQFOXVLYHZLWKWKHRFWDYHVLQWKHEDVV

LQIRUWLVVLPRRXWOLQLQJWKHPHORG\EDVHGRQWKHVHFRQGHOHPHQWRIWKHILUVWVXEMHFW P 

(VSHFLDOO\ZLWKWKHQHZG\QDPLFPDUNLQJDQGWKHRFWDYHGRXEOLQJLWDFFHQWXDWHVWKH

FKDUDFWHURIDSRORQDLVH7KLVSDUWLFXODURFWDYHPHORG\LQWKHOHIWKDQGDQGFKRUGDO

DFFRPSDQLPHQWLQWKHULJKWKDQGUHPLQGVRIWKH&KRSLQ¶V3RORQDLVH2S1RPDUNHG

³PDHVWRVR´ H[DPSOH 7KLVFKDUDFWHUL]DWLRQPRUHIDPLOLDUWRVWXGHQWVZRXOGEHD

JRRGGHVFULSWLRQIRUWKHHQGLQJRIWKH$VHFWLRQLQ6FULDELQ¶V0D]XUND H[DPSOH +HUH

WKHVWXGHQWVKRXOGHQMR\SOD\LQJWKLVVHFWLRQZLWKEUDYXUD7KHSHUIRUPHUVKRXOGQRWZRUU\

DERXWWKHOHJDWRLQWKHOHIWKDQGIRFXVLQJRQO\RQVKDSLQJRIWKHSKUDVHZLWKDVOLJKWOHDQLQJ

DQGVOXUULQJIRUWKHILUVWEHDWRIWKHVHFRQGPHDVXUH

([DPSOH6FULDELQ0D]XUND2S1RPP   

  



([DPSOH&KRSLQ3RORQDLVH2S1R

7KHPLGGOHVHFWLRQPDUNHGUXEDWRDQGHVSUHVVLYR % LVZULWWHQLQWKHNH\RI&

PDMRUZLWKDEULHIPRGXODWLRQWRLWVUHODWLYHPLQRU7KLVVHFWLRQLVZULWWHQLQIRXUYRLFHV

ZLWKIUHTXHQWLPLWDWLRQDPRQJWKHP7RDYRLGWKHPRQRWRQ\IURPWKHUHFXUULQJPRWLYHWKDW

DUHVFDWWHUHGDFURVVYRLFHVWKURXJKRXWWKLVORQJVHFWLRQZKDWFDQKHOSWKHVWXGHQWLQWHUSUHW

LVWRIRFXVRQKRZWRPDNHWKHUHSHDWLQJVHFWLRQVPRUHLQWHUHVWLQJE\YDULRXVPHDQV7KH

VWXGHQWVKRXOGDOUHDG\EHIDPLOLDUZLWKWKHEDVLFLGHDRIEULQJLQJXSGLIIHUHQWYRLFHVZKHQ

WKHPXVLFUHSHDWVDQGH[SHULPHQWLQJZLWKG\QDPLFV%\FDUHIXOOD\HULQJDQGVHTXHQFLQJRI

G\QDPLFVDORQHRQHFDQDOWHUWKHIORZDVZHOODVOHQJWKVRIWKHSKUDVHVWRDVXUSULVLQJ

GHJUHH)RUH[DPSOHWKHVWXGHQWFDQWDNHLQFRQVLGHUDWLRQVRPHRIWKHIROORZLQJ

VXJJHVWLRQV





([DPSOH6FULDELQ0D]XUND2S1R%VHFWLRQPP

([DPSOH0D]XUND2S1R%6HFWLRQPP

7KHUHLVDOVRDQLQWHUHVWLQJKLGGHQPLGGOHYRLFHEDVHGRQDGHVFHQGLQJPRWLRQRIWKH

ORQJQRWHVWKDWFDQEHEURXJKWRXW7KLVZRXOGEHDJRRGFKDOOHQJHIRUWKHVWXGHQWVLQFHLW

LVKDUGWRNHHSIROORZLQJWKHOLQHRIWKHPLGGOHYRLFHZKLOHDWWHQGLQJWRVRPDQ\RWKHU

YRLFHVDQGLPLWDWLRQV





([DPSOH6FULDELQ0D]XUND2S1RPP

7KHIROORZLQJVWHSZRXOGDOVRKHOSZLWKWKHRYHUDOORUJDQLFVHQVHDQGIORZRIWKLV

VHFWLRQ*XLGLQJDVWXGHQWWKURXJKWKHSURFHVVRIPDNLQJDKDUPRQLFRXWOLQHRIWKLVVHFWLRQ

LVH[WUHPHO\IUXLWIXO7KHVWXGHQWVKRXOGWKHQPHPRUL]HLWE\SOD\LQJWKHRXWOLQHHYHQWXDOO\

EHLQJDEOHWRLQWHUQDOO\KHDUWKHDFWXDOSDUWZKLOHSOD\LQJWKURXJKWKHFKRUGV7KLVZLOOQRW

RQO\KHOSZLWKWKHLQWHUSUHWDWLRQRIWKHUHFXUULQJPRWLYHVEXWDOVRZLWKVHFXULQJWKHPHPRU\

ZKLFKZRXOGEHDFKDOOHQJHIRUWKLVVHFWLRQ

7KHPRWLYHDILJXUHRIGHVFHQGLQJHLJKWKQRWHV H[DPSOH UHSHDWLQJPDQ\

WLPHVWKURXJKGLIIHUHQWNH\VDQGDFURVVYRLFHVSUHVHQWVDQRWKHUPRUHWHFKQLFDOFKDOOHQJH

7KHSK\VLFDODQJOHRIWKHKDQGDQGWKHVKDSLQJRIILQJHUVDQGWKHLUUHODWLYHOHYHUDJHZLOOEH

GLIIHUHQWHYHU\WLPHZKLOHH[HFXWLQJWKLVSDVVDJH7KHVWXGHQWQHHGVWRILQGDZD\WR

DFKLHYHWKHVDPHHIIHFWLQHDFKSDVVDJHDQGHQVXUHWKDWDQ\GLIIHUHQFHLVE\LQWHUSUHWDWLYH

LQWHQWLRQDQGQRWWHFKQLFDOO\GULYHQ$VXUSULVLQJO\VLPLODUILJXUHRIGHVFHQGLQJSDVVDJH

ZLWKWKHUHSHDWHGQRWHVFDQEHIRXQGLQ&KRSLQ¶V0D]XUND2S1R H[DPSOH 

([DPSOH6FULDELQ0D]XUND2S1RPP

 



([DPSOH&KRSLQ0D]XUND2S1RPP

 

7KHEULHIPLQRUWRQLFL]DWLRQLQWKLVVHFWLRQ P KDVDGUDPDWLFFKDUDFWHU7KH

PHORG\LVEDVHGRQWKH&PDMRUWKHPHRIWKH%VHFWLRQ7KHWHDFKHUQHHGVWRJLYHWKH

ILQJHULQJDQGUHPLQGWKHVWXGHQWRIWKHXVHRIZULVWWRKHOSUHOHDVHWKHUHSHDWHGQRWHV7KH

ZULVWKDVWRVWDUWSOD\LQJRQWKHORZHUVLGH EHDWWZRRIWKHPHDVXUH IROORZHGE\RQH

PRWLRQWKURXJKIRXUHLJKWKQRWHVWRWKHKDOIQRWHFKRUGRIWKHIROORZLQJPHDVXUH7KH

FKDQJHRIILQJHULQJVRQWKHUHSHDWHGQRWHV WR ZLOOQDWXUDOO\FUHDWHDVOLJKWIHHOLQJ

RIWKHJURXSLQJRIWZRQRWHV%RWKLQWHUYDOVKDYHWREHHYHQO\H[HFXWHGZLWKIXOOWRQHLQWKLV

FRQWH[WWKHVHFRQGRIWKHWZRQRWHSKUDVLQJFDQQRWEHVKRUWHURUVRIWHUWKHQWKHILUVWRQH

FUHDWLQJDORQJPHORGLFOLQHWRWKHORQJQRWH

([DPSOH6FULDELQ0D]XUND2S1RP

  

7KHUHVWDWHPHQWRIWKHVHFWLRQ$LVXQYDULHGIURPWKHRSHQLQJH[FHSWIRUWKHDGGLWLRQ

RIDFRGD&RGD P LVWKHFXOPLQDWLRQRIWKHSLHFHDUULYLQJLQWKHXQSUHSDUHGNH\RI)

PDMRU7KHWZRHOHPHQWVRIWKHILUVWWKHPHDUHQRZVWDWHGFRQFXUUHQWO\O\ULFLPDJHLQWKH

ULJKWKDQGDQGVFKHU]DQGROLQHLQWKHOHIWKDQG H[DPSOH %RWKDUHZULWWHQLQRFWDYHV





LQIRUWLVVLPRFRQFOXGLQJWKHSLHFHYHU\FRQYLQFLQJO\DQGSURXGO\7KHRFWDYHVLQWKHULJKW

KDQGDUHILOOHGLQZLWKWKHPLGGOHYRLFHLQORQJHUQRWHYDOXHVJLYLQJIXOOQHVVZLWKRXWWRR

PXFKDGGLWLRQDOWHFKQLFDOKXUGOH7KLVWH[WXUHLVWHFKQLFDOO\UHPLQLVFHQWRIWKH&KRSLQ

(WXGH2S1RZKHUHWKHRFWDYHVZLWKWKHLQQHUYRLFHDUHZULWWHQLQSDUDOOHOPRWLRQ

LQWKHULJKWDQGOHIWKDQGV H[DPSOH )RUDVXFFHVVIXOUHQGLWLRQRIWKLVWHFKQLTXHWKH

IROORZLQJSRLQWVQHHGWREHNHSWLQPLQG7KHILQJHUVUHVSRQVLEOHIRUWKHKHOGQRWHVQHHGWR

OHDUQWRUHOHDVHWKHPXVFXODUWHQVLRQLQDOOEXWWKHILQJHUWLS V LPPHGLDWHO\DIWHUWKH

VRXQGLQJRIWKHQRWHV7KLVZLOODOORZIRUWKHKDQGWRVKLIWWRZDUGVWKHQH[WRFWDYHSRVLWLRQ

ZKLOHVWLOONHHSLQJWKHSUHYLRXVNH\VZKLFKQHHGVRQO\DVPDOOSK\VLFDOHIIRUWWRNHHSIURP

ULVLQJ7KHODWWHUSRLQWVKRXOGEHVWUHVVHGZLWKVWXGHQWVZKRVHHIIRUWWRKROGWKHQRWHVNHHSV

WKHPIURPUHOHDVLQJWKHXQQHFHVVDU\WHQVLRQ$OVRLQVWHDGRIWU\LQJWRVKLIWHDFKRFWDYH

SRVLWLRQRQO\E\WKHODWHUDOPRYHPHQWVRIWKHIRUHDUPDQGZULVWRFWDYHVRQWKHHQGRIHDFK

EHDWZKHQDVFHQGLQJ IRUWKHULJKWKDQG FDQEHDSSURDFKHGE\DUDLVHGZULVWDQGWKH

³PHWDFDUSRSKDODQJHDO´ 0&3 MRLQWRIWKHKHOGILQJHU V ZKLOHFRQFXUUHQWO\SXVKLQJXSDQG

VWUDLJKWHQLQJRIWKHKHOGILQJHU V DQGWLOWLQJRIWKHKDQGWRZDUGVWKHILIWKILQJHU7KLVZRXOG

DOORZIRUDVOLJKWURWDWLRQLQWKHIRUHDUPWRZDUGVWKHILIWKILQJHU VXSLQDWLRQ WRSUHSDUHIRU

WKHQH[WSRVLWLRQ7KLVPRYHPHQWDFFRPSOLVKHVWZRWKLQJVLQRQHLWSUHSDUHVIRUWKH

SRVLWLRQIRUWKHQH[WKHOGQRWH V EHWWHUE\EULQJLQJWKHEDVHRIWKHILQJHUVFORVHUWRWKHQH[W

SRVLWLRQWZRRFWDYHVDUHJURXSHGLQWRRQHODUJHUPRWLRQZKLOHKDUGO\DQ\ODWHUDOPRYHPHQW

RIWKHIRUHDUPRUHOERZLVQHHGHGWRSOD\WZRFRQVHFXWLYHRFWDYHV,WLVEHVWIRUWKHWHDFKHU

WRGHPRQVWUDWHWKLVWRJHWKHUZLWKYHUEDOJXLGDQFH

 
0HWDFDUSRSKDODQJHDO 0&3 MRLQWLVWKHMRLQWEHWZHHQWKHILQJHUV SKDODQJHV DQGERQHVLQWKH
SDOP PHWDFDUSDOERQHV ORFDWHGDWWKH³EULGJH´



([DPSOH6FULDELQ0D]XUND2S1R2FWDYHVZLWKWKHLQQHUYRLFHPP

([DPSOH&KRSLQ(WXGH2S1R3DUDOOHORFWDYHVZLWKWKHLQQHUYRLFH

0D]XUND2S1RLVDVWLPXODWLQJZRUNWKDWFRPELQHVHOHPHQWVRIVHYHUDO

GDQFHVVXFKDVPD]XUNDZDOW]DQGSRORQDLVH,WLVVXUSULVLQJO\FRQWUDVWLQJDQGHIIHFWLYH

ZKLOHLQWURGXFLQJDKRVWRIQHZSLDQLVWLFVNLOOVWKDWZLOOHQULFKWKHSHUIRUPHU¶VWHFKQLFDO

DUVHQDO



0D]XUND2S1R

0D]XUND2S1RLQ&VKDUSPLQRUIURPLVRQHRIWKHPRVWRULJLQDO

ZRUNVIURPWKHHDUO\SHULRG,WDOVRFRQWRXUVVRPHRIWKHPXVLFDOIHDWXUHVWKDWDUHSUHVHQWLQ

WKHODWHSHULRGRI6FULDELQ¶VZRUN:LWKLWVWUDQVSDUHQWDQGVSDUNOLQJHOHPHQWVLWLV

UHPLQLVFHQWRI6FULDELQ¶VODWHZRUNVXFKDV3RqPH2S1R6LPLODUWR3RqPH

6FULDELQXVHVKLJKUHJLVWHURIWKHSLDQRLQWKHVFKHU]DQGRVHFWLRQVRIWKH0D]XUNDDQGRIWHQ

EULQJVWKHOHIWKDQGLQWKHPLGGOHUHJLVWHUWHQGLQJWRFRPELQHWKHWH[WXUHRIWKHYRLFHV

0D]XUNDLVZULWWHQLQ$%$%IRUP

7DEOH6FULDELQ0D]XUND2S1R)RUP

$ % $ %
6FKHU]DQGR 0HQR
PRVVR
$ % D E & D E F

P       


3L DWHPSR 
PRVVR
&VKDUS $PDMRU &VKDUS PRGXODWLRQV *VKDUS &VKDUS PRGXODWLRQV &VKDUS
PLQRU PLQRU  PLQRU PLQRU PLQRU


7KHFKDOOHQJHRIWKLVSLHFHFRQVLVWVRIWKHVSHHGERWKPHQWDODQGSK\VLFDOWKH

MXPSVDQGWKHMX[WDSRVLWLRQRIYDULRXVDUWLFXODWLRQV VWDFFDWRQRQOHJDWROHJDWRDFFHQWV 

([SODLQLQJWRVWXGHQWVKRZDOOWKHVHIDFWRUVFRQWULEXWHWRWKHFDSULFLRXVFKDUDFWHURIWKH

SLHFHZRXOGERWKPRWLYDWHDQGIDFLOLWDWHVWXGHQWV¶PDVWHU\RIWKHVHGHWDLOV

7KHILUVWVXEMHFWLQFOXGHVWZRFRQWUDVWLQJPXVLFDOWKHPHVHDFKIRXUPHDVXUHVORQJ

7KHILUVWWKHPH PP FRQVLVWVRIWKUHHPHDVXUHVRIWKH'RPLQDQWKDUPRQ\WKDWILQDOO\

UHVROYHVWR7RQLF7KHXQUHVROYHG'RPLQDQWFUHDWHVDIHHOLQJRIGRXEWVDQGLQGHFLVLYHQHVV


1LNRODHYD



([DPSOH6FULDELQ0D]XUND2S1RILUVWWKHPHPP   


7KHPLVVLQJGRZQEHDWLQWKHOHIWKDQGFDQEHXQXVXDOIRUWKHVWXGHQWVZKRPLJKW

RWKHUZLVHEHDFFXVWRPHGWRWKHPHORG\DQGDFFRPSDQLPHQWWH[WXUHE\QRZ:KLOHWKHULJKW

KDQGPD\EHPRUHDGDSWLQHQWHULQJRQRIIEHDWVDVPHORG\QRWVRZLWKOHIWKDQGPHORG\

ZLWKPLVVLQJGRZQEHDWV7KLVLVHVSHFLDOO\VRFRQVLGHULQJWKHVRIWG\QDPLFXQFRPIRUWDEOH

PLGGOHUHJLVWHUSODFHPHQWDQGZLWKILQJHULQJVQHFHVVLWDWHGE\WKHNH\7KHSHUIRUPHUZLOO

QHHGWROHDUQDQHZFRRUGLQDWLRQLQWKLVSLHFHWRDFFRPSOLVKWKHPXVLFDOLQWHQWLRQ7KH

WHDFKHUFDQJLYHVRPHLGHDVRIKRZWRSUDFWLFHWKHVHVHFWLRQV)RUH[DPSOHDJRRGH[HUFLVH

ZRXOGEHWRSOD\RQO\WKHILUVWEHDWRIWKHULJKWKDQGWRJHWKHUZLWKWKHOHIWKDQG H[DPSOH

 'XHWRWKHXQXVXDOUHJLVWHUUHODWLRQVKLSVEHWZHHQWKHKDQGVLWPD\EHQHFHVVDU\WR

DOVRSUHFHGHWKLVH[HUFLVHE\SOD\LQJDGXHWEHWZHHQWKHWHDFKHUDQGWKHSXSLOHDFKSOD\LQJ

WKHULJKWRUWKHOHIWKDQGSDUWZLWKDFRQYHQLHQWKDQGXQWLOWKHLGHDODXGLWRU\LPDJHLV

HVWDEOLVKHGWRFDSWXUHWKHFRORULQWHQGHG7KHQVHSDUDWHO\SUDFWLFLQJWKHMXPSVIURPEHDW

WKUHHWREHDWRQHLVQHFHVVDU\UHYLHZLQJWKHIDFLOLWDWLQJFRQFHSWRIIROORZLQJWKH³LQVLGH´

ILQJHUVRIWKHMXPSVLQWKLVFDVHILYHRUIRXUWRWKXPE H[DPSOH 





([DPSOH6FULDELQ0D]XUND2S1RPPSOD\LQJRQO\ILUVWEHDWRIWKHULJKW

KDQG

  

([DPSOH6FULDELQ0D]XUND2S1RPPIROORZLQJWKH³LQVLGH´ILQJHUV RI

WKHMXPSV

 

7KHVHFRQGWKHPHRIWKHVXEMHFWLVYHU\FKURPDWLFDQGKDVDZDOW]DFFRPSDQLPHQW

7KHDUWLFXODWLRQVGRQRWFRUUHVSRQGEHWZHHQWKHULJKWDQGOHIWKDQGQRUHYHQZLWKLQWZR

YRLFHVZLWKLQWKHULJKWKDQGSOD\LQJWKHPSUHFLVHO\ZLOOUHSUHVHQWDFKDOOHQJH:KLOHWKH

ULJKWKDQGKDVVOXUVVWDFFDWRDQGDFFHQWVWKHOHIWKDQGSOD\VDZDOW]DFFRPSDQLPHQWRIWKH

VDPHQRWHYDOXHVPRVWRIWKHWLPH7KHSKUDVLQJLQWKHULJKWKDQGLVGLVWLQFWLYHDQG

XQFRPPRQ

([DPSOH6FULDELQ0D]XUND2S1RPP

 
                           



$FFHOHUDQGRIROORZHGE\DQXQH[SHFWHGIHUPDWDRQWKHUHVWPHDVXUHHQGVWKLV

VHFWLRQDEUXSWO\

0HDVXUHVHYHQWHHQ SLPRVVR LQWKHNH\RI$PDMRUFRPHVDVDVXUSULVHZLWKRXW

DQ\SUHSDUDWLRQ6WXGHQWVVKRXOGEHHQFRXUDJHGWRFUHDWHDVXGGHQFRORUFKDQJHE\

LPDJLQLQJWKHVRXQGGXULQJWKHUHVW7KHWKLUGEHDWLVDFFHQWXDWHG W\SLFDORIPD]XUND 7KH

ILUVWILQJHURQEHDWVWZRDQGWKUHHRIWKHOHIWKDQGVKRXOGEHDXUDOO\IROORZHGIRUSURSHU

YRLFLQJ

([DPSOH6FULDELQ0D]XUND2S1RPP

1 1 1 1

7KH%VHFWLRQKDVDFRQWUDVWLQJFKDUDFWHU0HORG\ZULWWHQLQWKHOHIWKDQGLV

H[SUHVVLYHDQGO\ULFDOPDUNHGZLWKDVORZHUWHPSR6WXGHQWZLOOQHHGWRSURGXFHVORZ

DWWDFNVDQGILQGDZD\WRVKDSHZLWKWKHILUVWILQJHU$JRRGFRRUGLQDWLRQRIZULVWPRWLRQ

ZHLJKWDQGILQJHUUHDGLQHVVLVQHFHVVDU\ZKLOHKROGLQJWKHEDVVQRWHDOOWKHWLPH0HORG\

QHHGVWREHH[HFXWHGZLWKRXWDFFHQWVDXVXDOPLVWDNHWKDWDVWXGHQWZRXOGPDNHLVSOD\LQJ

WKHTXDUWHUQRWHVWRRORXGZLWKWKHWKXPEZLWKULGJHGNQXFNOHVDQGORFNHGZULVWDQGWKH

EDVHRIWKHWKXPESURGXFLQJWRQHRQO\IURPWKHDUPPRWLRQ7KHVWXGHQWZLOOKDYHWREH

DEOHWRFKDQJHWKHKDQGDQGILQJHUDQJOHDOOWKHWLPH7KLVPHORG\JLYHVDOVRDJRRG

RSSRUWXQLW\WRH[SHULPHQWSOD\LQJZLWKWKHGLIIHUHQWSRLQWVRIWKHILQJHUWLSRIWKHWKXPE

ZLWKQHHGHGIOH[LELOLW\DWWKHEDVHRIWKHWKXPEDOORZLQJIRUWUDQVLWLRQDOPRYHPHQWV

EHWZHHQWKHPHORG\QRWHV



,QRUGHUWRVKDSHWKHPHORG\WKHVWXGHQWFDQSOD\LWDWILUVWH[FOXGLQJWKHWKLUGEHDW

DQGFRQQHFWLQJZLWKWKHSHGDO

([DPSOH6FULDELQ0D]XUND2S1RPP

7KHDFFRPSDQLPHQWRIWKHULJKWKDQGVKRXOGQRWLQWHUUXSWWKHPHORG\RIWKHOHIW

KDQGDWWKHVDPHWLPHDOOWKHKDUPRQLHVRIWKHULJKWKDQGVKRXOGEHKHDUGE\WKHSHUIRUPHU

ZLWKFDUHIXODWWHQWLRQWRWKHYRLFHOHDGLQJ6RPHRIWKHODUJHFKRUGVLQWKHULJKWKDQGFDQEH

UROOHGRUWDNHQE\WKHOHIWKDQG H[DPSOH ,QWKHODWWHUFDVHWKHVWXGHQWKDVWREHDZDUH

WKDWWKHFKRUGVKRXOGVWLOOVRXQGDVLISOD\HGE\WKHULJKWKDQGZKLOHWKHOHIWKDQGPHORG\


VKRXOGOLNHZLVHEHXQLQIOXHQFHGE\WKHUHGLVWULEXWLRQHIIRUWWKHUHVKRXOGQRWEHGLIIHUHQFH

LQVRXQGTXDOLW\

([DPSOH6FULDELQ0D]XUND2S1RPP





,WLVLPSRUWDQWWRIROORZZKDWWKHFRPSRVHUPDUNHGLQWHUPVRIWHPSRFKDQJHVSRFR

DFFHOHUDQGRDQGSRFRULWDUGDQWRE\WKHHQGRIWKHSKUDVH,QJHQHUDOUXEDWRLVQHFHVVDU\LQ

WKHVHVHFWLRQVZKHUHWKHOHIWKDQGSOD\VWKHPHORG\

6LPLODUPHORGLFOLQHLQWKHOHIWKDQGZLWKWKLVOLOWLQJUK\WKPLFSDWWHUQFDQEHIRXQG

LQVRPHZRUNVRI&KRSLQ,Q&KRSLQ¶V:DOW]2S1RWKHUHDUHWZRHLJKWKQRWHV

JHQHUDWHGE\QHLJKERUWRQHVRQWKHWKLUGEHDWOHDGLQJWRWKHORQJQRWHRQWKHGRZQEHDW7KLV

KHOSVNHHSLQJWKHPRPHQWXPRIWKHOLQHDQGHOLPLQDWHVWKHUHSHDWHGQRWHDOORZLQJWKH

FRQQHFWLRQRIVRXQG7KHWHDFKHUFDQVKRZWKLVH[DPSOHWRWKHVWXGHQWDQGFRPSDUHLWWR

6FULDELQ¶VPHORG\VD\LQJWKDWWKHSHUIRUPHUVKRXOGDLPWRSOD\WKHUHSHDWHGQRWHDVFORVHDV

SRVVLEOHWRWKLVH[DPSOHZKHUHOLWHUDOOHJDWRLVSRVVLEOH

([DPSOH&KRSLQ:DOW]2S1RPP

$QRWKHUVLPLODUH[DPSOHRIWKHPHORG\ZHFDQILQGLQ&KRSLQ¶V%DOODGH1R2S



([DPSOH&KRSLQ%DOODGH2SPP





,Q7DUHQWHOOH2SE\&KRSLQWKHUHLVDOVRDVLPLODUUK\WKPLFSDWWHUQLQWKHULJKW

KDQGRQO\IDVWHU

([DPSOH&KRSLQ7DUHQWHOOH2SPP

$IWHUWKHUHWXUQRIVHFWLRQ$VHFWLRQ%FRPHVEDFNLQWKHRULJLQDONH\RI&VKDUS

PLQRU7KHSLHFHHQGVRQWKHORQJ&VKDUSPDMRUDUSHJJLRLQWKHOHIWKDQGDFFRPSDQLHGE\

WKHEORFNHGFKRUGVLQWKHULJKWKDQG P 7KHUHDUHELJFRQWUDVWVLQG\QDPLFVULJKW

EHIRUHWKHHQGIURPSLDQRWRIRUWLVVLPRDQGEDFNWRSLDQLVVLPRZLWKRXWULWHQXWRPDUNLQJDW

WKHHQG

([DPSOH6FULDELQ0D]XUND2S1RPP

C-sharp major

0D]XUND1RLVRQHRIWKHPRVWFKDUPLQJSLHFHVIURPWKHF\FOHRIWHQ0D]XUNDV

2SDQGGHILQLWHO\GHVHUYLQJRIWLPHGHYRWHGLQPDVWHULQJWKHFKDOOHQJHV6LPLODUWR



0D]XUND1R0D]XUND1RFRPELQHVGLIIHUHQWPRRGVDQGPXVLFDOHOHPHQWVZKLFK

FRQWULEXWHWRWKHRULJLQDOLW\RIWKHSLHFH

1RFWXUQH2S1R

7ZR1RFWXUQHV2SZHUHZULWWHQLQWKHHDUO\\HDUVRI6FULDELQ¶VOLIHDVDVWXGHQW

DWWKH0RVFRZ&RQVHUYDWRLUHSXEOLVKHGWRJHWKHULQE\%HOLDHII1RFWXUQH1RLQ

)VKDUSPLQRUZDVZULWWHQHLJKW\HDUVHDUOLHU LQ DQGZDVLQLWLDOO\GHGLFDWHGWR

6FULDELQ¶VSLDQRSURIHVVRU$OH[DQGHU=YHUHY1RFWXUQHZDVSULQWHGZLWKRXWGHGLFDWLRQD

SROLF\6FULDELQNHSWIRUDOOUHPDLQLQJSXEOLFDWLRQVWKURXJKRXWKLVOLIH

:ULWWHQRQO\WZRRSXVHVDIWHUWKH0D]XUNDV2S1RFWXUQHV2SUHSUHVHQWDVWHS

IRUZDUGLQ6FULDELQ¶VZULWLQJWKHVHSLHFHVVKRZDVLJQLILFDQWJURZWKLQKLVXQLTXH

FRPSRVLWLRQDOLGHQWLW\³0RYLQJEH\RQGWKHLQIOXHQFHRIERWK&KRSLQDQG7FKDLNRYVN\

ZKRFUDIWHGSKUDVHVRIYRFDOFKDUDFWHU6FULDELQSUHVHQWVLQVWUXPHQWDOPHORGLFOLQHVLQ2S

WKHPRVWLPSRUWDQWTXDOLW\RIZKLFKLVWKHVHQVHRIXQLQWHUUXSWHGFRQWLQXLW\´7KH

LQVWUXPHQWDOZULWLQJRIWKH1RFWXUQHVSUREDEO\ZDVWKHUHDVRQIRU1RFWXUQH2S1R

EHLQJUHDUUDQJHGIRUYLROLQDQGSLDQRE\$0RJLOHYVN\7KLVWUDQVFULSWLRQZDVRIWHQ

SHUIRUPHGE\WKHIDPRXVYLROLQLVW'DYLG2LVWUDFK

1RFWXUQHLQ)VKDUSPLQRULVZULWWHQLQ$%$IRUP7KHOHQJWKRISKUDVHVLVXQXVXDO

IRUWKHSLHFHVRIWKLVSHULRGIURPIRXUWRILYHPHDVXUHVORQJ




 
+XOO


 %RZHUV


,ELG


<DQRYLWVN\


7KHUHFRUGLQJZDVPDGHLQZLWKSLDQLVW$*LDNRY



7DEOH6FULDELQ1RFWXUQH2S1R)RUP

$$QGDQWHô %$OOHJURDJLWDWR

D D % D F F ' G H 7UDQVLWLRQ

P         

)VKDUS $ )VKDUS ' $PDMRU %IODWPDMRU $IODW %DVV3HGDORQ


0LQRU 0DMRU PLQRU PDMRU PDMRU 'RPLQDQW
 &VKDUS 

$ &RGD

D D % D 

    

)VKDUS $PDMRU )VKDUS )VKDUS


PLQRU PLQRU PLQRU

7KHWHFKQLFDOPXVLFDOFKDOOHQJHVLQWKLVSLHFHFRQVWLWXWHRIGRXEOHYRLFH ZLWK

LPLWDWLRQLQWKHPLGGOHYRLFH ZLWKLQDKDQGOHIWKDQGDFFRPSDQLPHQWRIWKHPLGGOH

VHFWLRQPHORG\SKUDVLQJFRQWUDVWLQJFKDUDFWHUVRIWKHVHFWLRQV

7KH$VHFWLRQ $QGDQWH LQKDVDQLQWHUQDOVWUXFWXUHRIDDEDZLWKDPRGXODWLRQ

WRWKHSDUDOOHOPDMRUNH\LQWKH³E´VHFWLRQ7KHUHDUHPDQ\LPLWDWLRQVRIWKHPHORG\LQWKH

PLGGOHYRLFHRIWKHULJKWKDQGDVZHOODVLQWKHOHIWKDQGWKDWKDYHWREHLQWHUQDOO\

³DXGLDWHG´MXVWULJKWE\WKHSHUIRUPHU

([DPSOH6FULDELQ1RFWXUQH2S1RPP

 



7KHFKDOOHQJHLVIRUWKHSHUIRUPHUWRFRQFHSWXDOL]HWKHULJKWEDODQFHEHWZHHQWKH

YRLFHVDQGWRKHDUERWKDVPHORGLFOLQHV,IWKLVZHUHQRWGRQHSURSHUO\VKLIWLQJDWWHQWLRQ

FRPSOHWHO\WRWKHLQQHUDQGORZHUYRLFHVZRXOGREOLWHUDWHWKHWRSOLQHRURWKHUZLVHPDNHWKH

UHQGLWLRQXQQDWXUDO

$VH[SHFWHGPLQRUKDQGUHGLVWULEXWLRQLVQHFHVVDU\)RUWKHILUVWEHDWRIPHDVXUHV

IRXUDQGVL[WHHQZKHUHWKHOHIWKDQGFKRUGVSDQVDPLQRUWHQWKWKHSHUIRUPHUFDQDYRLG

DUSHJJLDWLQJWKHOHIWKDQGERWKWLPHVRUDWOHDVWRQFHIRUYDULHW\7KH$FDQEHSOD\HGZLWK

WKHULJKWKDQGWRJHWKHUZLWKWKH%ZLWKWKHILUVWILQJHU

([DPSOH6FULDELQ1RFWXUQH2S1RPP

 

,QWKHODVWPHDVXUHRIWKLVVHFWLRQ P DVSHFLDOVROXWLRQLVQHHGHGWRVDWLVI\WKH

SHGDOLQJQHHGVZKLOHIDFLOLWDWLQJWKHSOD\LQJRIZLGHO\VSDFHGLQWHUYDOV,WLVLPSRUWDQWWR

KROGWKHKDOIQRWHEDVVLQRUGHUQRWWRORVHWKHKDUPRQ\DQGWKHEDVVVXSSRUW7KHSHUIRUPHU

VKRXOGOLIWWKHSHGDORQWKHEHDWEHIRUHZKLOHKROGLQJWKHEDVV)VKDUSDQG&VKDUSLQWKHOHIW

KDQG%HDWRQHFDQEHSOD\HGLQRQHSHGDOWKHQFKDQJHWKHSHGDORQWKH(VKDUS ODVWWULSOHW

RIEHDWRQH ZKLOHVWLOOSK\VLFDOO\KROGLQJWKHKDOIQRWHEDVVQRWHVWKHQSOD\WKHUHVWRIWKH

QRWHV7KH&VKDUSLQWKHPLGGOHYRLFHRQWKHVHFRQGEHDWFDQEHSOD\HGZLWKWKHOHIWKDQG

DOORZLQJIRUDVPRRWKPHORG\LQWKHWRSYRLFH

7KHPLGGOHVHFWLRQ% $OOHJURDJLWDWR LVDVXGGHQFRQWUDVWLQWHPSRDQGFKDUDFWHUWR

WKHSUHYLRXVVHFWLRQLWLVHPRWLRQDODQGLPSXOVLYH7KHWRQDOLW\LVYHU\XQVWDEOHWRUHIOHFW



WKHPXVLFDOFKDUDFWHUWKHNH\RI'PDMRULVIROORZHGE\DFKDLQRIPRGXODWLRQV $PDMRU

%IODWPDMRUDQG$IODWPDMRU 

7KHOHIWKDQGFRQVLVWVRIQRQVWRSWULSOHWILJXUDWLRQVZKLFKZLOOUHSUHVHQWDFKDOOHQJH

IRUWKHVWXGHQW

([DPSOH6FULDELQ1RFWXUQH2S1RPP

,WLVQHFHVVDU\WRSUDFWLFHWKHOHIWKDQGDORQH,IWKHWULSOHWVVRXQGXQHYHQSUDFWLFLQJ

ZLWKUK\WKPVRUPHQWDOO\UHJURXSLQJWKHWULSOHWVZRXOGEHKHOSIXO)RUWKLVSUDFWLFHWKHDLP

LVWRFUHDWHDIORZIURPWKHVHFRQGDQGWKLUGRIWKHWULSOHWWRWKHQH[WEHDW7KHWHDFKHUKDVWR

SRLQWRXWWKDWWKLVDFFRPSDQLPHQWVKRXOGQRWVRXQGDVDVWXG\H[HUFLVH7KHILUVWRIWKH

WULSOHWQRWHVFDQQRWEHDFFHQWXDWHGWKHOLQHRIWKHOHIWKDQGVKRXOGVRXQGPHORGLFDQG

VXSSRUWLYHRIWKHULJKWKDQG6KRZLQJYDULHGOHQJWKVRIJURXSLQJVRIWULSOHWVRUVKDSLQJRQO\

WKHRXWOLQHGQRWHVPD\KHOS

([DPSOH6FULDELQ1RFWXUQH2S1RPPUHJURXSHGWULSOHWVLQWKHOHIW

KDQGDFFRPSDQLPHQW





$VDQH[DPSOHRIVLPLODUOHIWKDQGDPRQJWKHZRUNVE\&KRSLQWKHWHDFKHUFDQ

GHPRQVWUDWHWKHPLGGOHVHFWLRQRI&KRSLQ¶V1RFWXUQH2S1R7KHPRWLRQRIWKHOHIW

KDQGLVYHU\VLPLODUDOWKRXJKWKHPHWULFFRQWH[WLVGLIIHUHQW

([DPSOH&KRSLQ1RFWXUQH2S1RPP

$QRWKHUVHFWLRQWKDWUHTXLUHVJXLGDQFHDQGDWWHQWLRQLVWKHUK\WKPRIWKHWKUHH

DJDLQVWWZREHWZHHQWKHKDQGVIURPPHDVXUHVWZHQW\IRXUWRWKLUW\IRXU1DUURZO\IRFXVLQJ

RQOLQLQJXSHDFKHLJKWKEHDWZRXOGQRWSURGXFHWKHGHVLUHGHIIHFW$IWHUSUDFWLFLQJKDQGV

VHSDUDWHVWXGHQWVVKRXOGEHOHGWRH[SHULHQFHWKHXQGHUO\LQJSXOVHDVHLJKWKTXDUWHU VKRUW

ORQJ HLJKWKTXDUWHU VKRUWORQJ LQVWHDGRIWKUHHHLJKWKEHDWV7KXVIRUEHDWWZRDQGWKUHH

RIWKHPHDVXUHVWKDWFRQWDLQWKHUK\WKPLFFRQIOLFWWKHULJKWKDQGDIWHUMRLQLQJWKHOHIWKDQG

RQWKHVHFRQGEHDWVKRXOGDLPIRUWKHILUVWEHDWRIWKHIROORZLQJPHDVXUH(DFKKDQGVKRXOG

SOD\LWVOLQHLQGLYLGXDOO\ZKLOHIHHOLQJWKHOHQJWKRIDTXDUWHUEHDW7KLVLVXVXDOO\HDVLHUWR

GRDWDIDVWHUWHPSRVRHDFKKDQGEHLQJVPRRWKDQGFRPIRUWDEOHDWDUHDOLVWLFWHPSRLVD

SUHUHTXLVLWH



([DPSOH6FULDELQ1RFWXUQH2S1RPP

 

7KHVDPHDSSURDFKLQSHUIRUPLQJSRO\UK\WKPLVQHFHVVDU\LQPDQ\ZRUNVE\

&KRSLQDQG6FULDELQ

([DPSOH&KRSLQ,PSURPSWX)DQWDV\2SPP

([DPSOH6FULDELQ3UHOXGH2S1RPP

7KHWUDQVLWLRQVHFWLRQWRWKH5HFDSLWXODWLRQ PP SUHVHQWVDQLQWHUSUHWDWLYH

DQGWHFKQLFDOFKDOOHQJHGXHWRLWVVLPSOLFLW\7KHWUDQVLWLRQLVWZHOYHPHDVXUHVORQJDQGLW

LQFOXGHVVL[UHSHWLWLRQVRIWKHIROORZLQJUK\WKPRYHUD'RPLQDQWSHGDO



([DPSOH6FULDELQ1RFWXUQH2S1R5K\WKPLFPRWLYHRIWKHWUDQVLWLRQIURP

PLGGOHVHFWLRQWR5HFDSLWXODWLRQ

 

&UHDWLQJDORQJSKUDVHDFURVVWKHUHSHDWHGUK\WKPLFPRWLYHWREXLOGWKHFUHVFHQGR

IURPSLDQRWRIRUWLVVLPRLVQRHDV\WDVN,IG\QDPLFFRQWUROLVWRRGHSHQGHQWRQWKHUK\WKP

RUWKHILQJHULQJRIWKHPRWLYHWKHJRDOZRXOGQRWEHDFKLHYHG,WPD\EHQHFHVVDU\WR

H[SHULPHQWZLWKH[DJJHUDWHGDQGYDULHGG\QDPLFFKDQJHVZKLOHSOD\LQJWKHUK\WKPLF

PRWLYHSD\LQJFORVHDWWHQWLRQWRHQVXUHWKHRXWFRPHLVH[DFWO\DVLQWHQGHG7KLVZRXOGKHOS

WKHVWXGHQWWRXQGHUVWDQGWKHWHFKQLFDOSDUDPHWHUVWRFRQWUROWKHG\QDPLFVVHSDUDWHIURPWKH

UK\WKPDQGILQJHULQJ

7KHWUDQVLWLRQGRHVQRWEULQJXVGLUHFWO\WRWKHUHFDSLWXODWLRQ6LPLODUWR/LV]W¶V

ZULWLQJ6FULDELQZULWHVDQHLJKWPHDVXUHUHFLWDWLYH GROFHWUDQTXLOOR WKDWOHDGVWRWKH

SULPDU\WKHPH6LPLODUWRWKHWUDQVLWLRQRIWKH1RFWXUQHLQ$IODWPDMRU H[DPSOH WKLV

VHFWLRQVHUYHVDVDFRQQHFWLRQEHWZHHQVHFWLRQV%DQG$LWLVEDVHGRQWKHPRWLYHRIWKH

WUDQVLWLRQIURPPHDVXUHIRUW\WZREXWLWLVDOUHDG\ZULWWHQLQWKHPHWHURIWKHQH[WVHFWLRQLQ

7KHJURXSVRIWULSOHWVDQGGHVFHQGLQJOHDSVLVUHPLQLVFHQWRI7FKDLNRYVN\¶V1RFWXUQH

2S1RZKLFKH[KLELWVWKHVDPHPHWHUFKDQJHVDQGWRQDOGHVLJQLQWKH%VHFWLRQVLH

LQWURGXFWLRQRIVL[WKGHJUHHPDMRUNH\DIWHUWKHPLQRUH[SRVLWLRQ H[DPSOH 


5HFLWDWLYHLVZLGHO\XVHGLQFRPSRVLWLRQVRI/LV]WHWXGHVFRQVRODWLRQVEDOODGHVHWF


<DQRYLWVN\




([DPSOH6FULDELQ1RFWXUQH2S1RPP

([DPSOH7FKDLNRYVN\1RFWXUQH2S1RPP

  

1RFWXUQH2S1RSUHVHQWVDORWRIRSSRUWXQLWLHVIRUOHDQLQJLWFRQVLVWVRIYHU\

FRQWUDVWLQJWHPSHUDPHQWVDQGLWHPEUDFHVGLYHUVHPXVLFDODVZHOODVWHFKQLFDOFKDOOHQJHV

7KHVHDUHPDQ\TXDOLWLHVWKDWVWXGHQWFDQFRQWLQXHWRXVHDQGSROLVKLQWKHIXWXUH1RFWXUQH

2S1RLVRQHRIWKHPRVWVXFFHVVIXODQGPDWXUHFRPSRVLWLRQVRIWKHHDUO\SHULRGWKDW

FDQEHFRPHDSDUWRIWKHSLDQLVW¶VSHUPDQHQWUHSHUWRLUH

  ,PSURPSWX2S1R
7KHFRPSRVLWLRQDOVW\OHRI6FULDELQ¶VHDUO\ZULWLQJZDVHVWDEOLVKHGEHWZHHQ

'XULQJWKHVH\HDUVWKHFRPSRVHUSURGXFHGKLVPRVWSURVSHURXVZRUNV²(WXGHV2S

3UHOXGHV2SDQG,PSURPSWXV2S$OVRWKLVLVZKHQ

6FULDELQFRQWLQXRXVO\ZRUNHGRQKLVPDVWHUSLHFH6RQDWD)DQWDLVLH2S,QWKHVHZRUNV



WKHO\ULFVSKHUHRIKLVPXVLFDOSHUVRQDOLW\EHFRPHVYHU\SHUVRQDODQGLQWLPDWHZKLOHWKH

GUDPDWLFLPDJHDFTXLUHVD³VWURQJZLOOHGSXUSRVH´

7ZRLPSURPSWXV2SZHUHZULWWHQGXULQJ6FULDELQ¶VILUVWWULSWR(XURSHLQ

,PSURPSWX1RZDVZULWWHQLQ+HLGHOEHUJLQ0D\DQG,PSURPSWX1RZDV

ZULWWHQLQ:LW]QDXLQ-XQH%RWKSLHFHVDUHWHFKQLFDOO\FKDOOHQJLQJDQGZLOOUHTXLUHD

WKRURXJKPXVLFDODQGWHFKQLFDOSUHSDUDWLRQIURPWKHSHUIRUPHU7KHVHZRUNVFDQEH

DSSURSULDWHUHSHUWRLUHIRUSLDQRSHUIRUPDQFHPDMRURUDQDGXOWVWXGHQW,PSURPSWX2S

1RLVZULWWHQLQ$%$IRUPLQWKHNH\RI%IODWPLQRU

7DEOH6FULDELQ,PSURPSWX2S1R)RUP

$$QGDQWHFDQWDELOH % $

D D D D D E E DWUDQVLWLRQWR$ D D D

P          

%IODWPLQRU *IODWPDMRU 'RPLQDQWWR%IODW %IODWPLQRU


PLQRU

7KHGUDPDWLFPRRGRIWKHSLHFHDQGWKHFKRUGDODFFRPSDQLPHQWWH[WXUHUHPLQGVXV

RIWKHIDPRXV6FULDELQ(WXGH2S1RLQ'VKDUSPLQRU6LPLODUWRWKHVWXG\DQG

PDQ\RWKHUZRUNVE\6FULDELQ,PSURPSWXLQFOXGHVZLGHFKRUGVDQGKDQGFURVVLQJV7R

DFKLHYHPXVLFDOIOXLGLW\IDFLOLWDWLQJPDQ\RIWKHVHSODFHVZLWKKDQGUHGLVWULEXWLRQPD\EH

GHVLUDEOH


1LNRODHYD


%RZHUV6FULDELQ


 3UHDVKQLNRYDDQG7RPSDNRYD



7KH,PSURPSWXVWDUWVZLWKDVPDOOLQWURGXFWLRQLQWKHOHIWKDQGDQDFFRPSDQLPHQW

ILJXUHEDVHGRQWKHFKRUGRI%IODWPLQRU7KHPHORG\ 6HFWLRQ$ DSSHDUVLQPHDVXUHWZR

LQWKHULJKWKDQGRQWKHGRZQEHDW7KHHQWUDQFHRIDFFRPSDQLPHQWDQGWKHPHORG\DUH

VKLIWHGRYHUE\RQHHLJKWKQRWHGXHWRWKHSLFNXSQRWHLQWKHDFFRPSDQLPHQWILJXUH7KH

OHIWKDQGILJXUHVQRWRQO\ORRNYLVXDOO\FRQIXVLQJEXWWKH\PD\IHHOXQFRPIRUWDEOHWRSOD\

EHFDXVHWKHRFWDYHSLFNXSQHHGVWRMXPSWRDVLQJOHQRWHGRZQEHDW%XWWKHDFFHQWRQWKH

ILUVWEHDWLQWKHOHIWKDQGFRPHVWRJHWKHUZLWKWKHPHORG\RIWKHULJKWKDQG

([DPSOH6FULDELQ,PSURPSWX2S1RPP

7KHSHUIRUPHUKDVWREHFDUHIXOLQVKDSLQJWKHPHORGLFOLQHWKURXJKUHVWV

SDUWLFXODUO\LQHQVXULQJWKHVLQJLQJTXDOLW\RIWRQHRQWKHTXDUWHUQRWHIROORZLQJWKHUHVWV

ZKLFKLVVRPHWLPHVDFFHQWHG/HIWKDQGLVZULWWHQLQWKHSDWWHUQWKDWIOXFWXDWHVIURPWKHORZ

WRWKHPLGGOHUHJLVWHU7KLVDFFRPSDQLPHQWDOUHDG\XQFRPIRUWDEOHWRSOD\ZLWKWKHFRUUHFW

PHWULFLQIOHFWLRQEHFRPHVHYHQPRUHFKDOOHQJLQJZKHQWKHSHUIRUPHUKDVWRWKLQNRI

NHHSLQJWKHORQJOLQHRIWKHSKUDVHLQWKHULJKWKDQG%RWKPHORG\DQGDFFRPSDQLPHQW

HPERG\WKH³KDOWLQJ´TXDOLW\EHFDXVHRIIUHTXHQWUHVWVDQGUK\WKPLFDQFKRULQJIURPWKH

³ORQJVKRUW´GLYLVLRQRIWULSOHWV$VXFFHVVIXOSURMHFWLRQRIORQJDUFKLQJOLQHVDVLQGLFDWHG

E\WKUHHPHDVXUHORQJVOXUVWKHUHIRUHGHSHQGVRQOLVWHQLQJWKURXJKUHVWVDQGORQJQRWHVDV

LIULGLQJRQDQLPDJLQDU\ZDYHHLWKHUDSSURDFKLQJRUUHFHGLQJ



,QPHDVXUHHOHYHQWKHDFFRPSDQLPHQWEHJLQVWREHILOOHGLQE\WULSOHWV7KHSLFNXS

IHDWXUHLVIXUWKHUHPSKDVL]HGE\UK\WKPLFGLPLQXWLRQDQGE\RXWOLQLQJWKHGHVFHQGLQJEDVV

OLQHWRSUHSDUHIRUWKHPRUHGUDPDWLFUHVWDWHPHQWRIWKHRSHQLQJPHORG\7KHUHLVDKLGGHQ

YRLFHLQWKLVPHDVXUHPDUNHGZLWKWKHDFFHQWV$JDLQWKHVWXGHQWVVKRXOGKHDUWKHKLGGHQ

YRLFHEXWWKHUHLVQRQHHGWRPDNHWKHDFFHQWVWRRLPSRUWDQW

([DPSOH6FULDELQ,PSURPSWX2S1RP


6RPHH[DPSOHVRIKDQGUHGLVWULEXWLRQVIROORZ$VZLWKPDQ\RWKHULQVWDQFHVLQ

6FULDELQ¶VZRUNVDYRLGLQJEUHDNLQJVRPHRIWKHZLGHO\YRLFHGFKRUGVLVQHFHVVDU\LQRUGHU

QRWWRGLVWXUEWKHIORZ)RUH[DPSOH

([DPSOH6FULDELQ,PSURPSWX2S1RP

 









([DPSOH6FULDELQ,PSURPSWX2S1RP

 
,QPHDVXUHIRXUWHHQSOD\LQJ)DQG(IODWZLWKWKHOHIWKDQGPLJKWEHHDVLHUVLQFHWKH

OHIWKDQGLVDOUHDG\LQSRVLWLRQ7KLVKDQGUHGLVWULEXWLRQZLOOUHGXFHWKHVWUHWFKRIWKHULJKW

KDQGDQGDOORZIRUPRUHRSWLRQVLQILQJHULQJZKLFKZLOOFRQWULEXWHWRWKHOHJDWRVRXQGRI

WKHPHORG\7KLVVWLOOOHDYHVRWKHUFKDOOHQJHVWRRYHUFRPHIRURQHWKHULJKWKDQGILQJHULQJ

ZRXOGUHTXLUHHLWKHUILQJHUVXEVWLWXWLRQVRUWRQDOOHJDWRDFKLHYHGZLWKSHGDO%XWWKH

DGGLWLRQDOUDQJHRIPRELOLW\JDLQHGE\QRWKDYLQJWRVWUHWFKPDNHVVXIILFLHQWGLIIHUHQFHLQ

IDYRURIPHORG\WRPDNHLWZRUWKZKLOH$QRWKHUFKDOOHQJHLVWRPDNHWKHUHVXOWDQWUHSHDWHG

QRWHVWREHSOD\HGLQWKHVDPHKDQGWRVRXQGQDWXUDO&RPSDULQJKRZLWVRXQGVZLWKWKH

QHZDUUDQJHPHQWWRWKHRULJLQDOKDQGGLVWULEXWLRQZRXOGEHWKHEHVWZD\

([DPSOH6FULDELQ,PSURPSWX2S1RP

 

 
7KLVLVEHVWGRQHZLWKRXWWKHPHORG\OLQHDWILUVW



7KHILUVWWKHPHFRPHVEDFNLQPHDVXUHWKLUWHHQ 6HFWLRQ$ 7KLVWLPHWKHPHORG\

LVVXSSRUWHGE\WKHKDUPRQLFPLGGOHYRLFH7RJHWKHUZLWKWKHQRZFRQWLQXRXVWULSOHWOHIW

KDQGWKHRULJLQDOKDOWLQJPHORG\DVVXPHVDPXFKPRUHLPSDVVLRQHGFKDUDFWHU5K\WKPLF

GLVSODFHPHQWEHWZHHQWKHKDQGVFDXVHGE\RYHUEDUDFFRPSDQLPHQWDVVHHQKHUHLVW\SLFDO

RIPDQ\PDMRUZRUNVE\6FULDELQ

([DPSOH6FULDELQ,PSURPSWX2S1RPP

([DPSOH6FULDELQ6RQDWD)DQWDLVLH2SPRY,PP

([DPSOH6FULDELQ3UHOXGH2S1RPP





([DPSOH6FULDELQ3UHOXGH2S1RPP

0HDVXUHHLJKWHHQ VWUHWWR EHJLQVWKHWUDQVLWLRQWRWKHFXOPLQDWLRQRIWKHSLHFHZKLFK

KDSSHQVWREHDFORVLQJWKHPH7KHPHORG\LVEDVHGRQWKHWKLUGPHDVXUHRIWKHRSHQLQJ

WKHPH PRWLYH³D´P 

([DPSOH6FULDELQ,PSURPSWX2S1RPPRWLYH³D´

  

([DPSOH6FULDELQ,PSURPSWX2S1RPP

7KHWUDQVLWLRQXVHVWKHUK\WKPRIPRWLYH³D´WREXLOGXSWKHWHQVLRQEHIRUHUHWXUQLQJ

WRWKH³D´PRWLYHLQWKHIRUWLVVLPRFORVLQJWKHPH7KLVWLPHWKHWULSOHWILJXUHLVHFKRHGE\

PRUHHPSKDWLFWKUHHUHSHDWHGFKRUGVLQVL[WHHQWKVIXUWKHUHPSKDVL]LQJWKHUK\WKPLFDVSHFW

RIWKHPRWLYH7KHDFFRPSDQLPHQWRIWKHOHIWKDQGKDVDVFHQGLQJRFWDYHVIURPWKHORZEDVV



UHVHPEOLQJEUDVVSXQFWXDWLRQVLQRUFKHVWUDPDNLQJWKLVSDUWYHU\HIIHFWLYH7KHORZEDVV

RFWDYHRQDZHDNEHDWVHUYHVDVDSLFNXSWRWKHGRZQEHDWDQGUHIOHFWVLPSDWLHQFHDQG

QHUYRXVVWULYLQJIRUZDUG7KLVFRPSRVLWLRQDOGHYLFHDOVRDSSHDUVLQPDQ\RWKHUZRUNVE\

6FULDELQZLWKRQHH[DPSOHEHLQJWKHOHIWKDQGRIWKH(WXGH2S1R

([DPSOH6FULDELQ,PSURPSWX2S1RPP

([DPSOH6FULDELQ(WXGH2S1RPP

7KHUDSLGOHDSVLQWKHOHIWKDQGZLOOUHSUHVHQWDQREYLRXVWHFKQLFDOFKDOOHQJHLWLV

GLIILFXOWWRPDLQWDLQWKHIORZRIWKHSDVVDJHGXHWRWKHZLGHUHJLVWHUFKDQJHVRQRYHUDQ

RFWDYHMXPSV7KLVDFFRPSDQLPHQWZLOOGHPDQGWKH³SUHFLVHDUPVKLIWVDQGYHORFLW\RIWKH

OHIWKDQG´,QSUDFWLFLQJWKHDUPVKLIWVLWLVLPSRUWDQWWRREVHUYHWKHWLPLQJDQG


1LNRODHYD


6HRQJ$H/LP³7KH,QIOXHQFHRI&KRSLQLQ3LDQR0XVLFRQWKH7ZHQW\)RXU3UHOXGHVIRU3LDQR
2SXVRI$OH[DQGHU6FULDELQ´ 3K'GLVV2KLR6WDWH8QLYHUVLW\ 
KWWSVHDUFKSURTXHVWFRPGRFYLHZ"DFFRXQWLG  DFFHVVHG0DUFK 



SRVLWLRQLQJRIWKHHOERZ$OWKRXJKYDULRXVGHJUHHRIHOERZLQYROYHPHQWFDQOHDGWRHTXDOO\

VXFFHVVIXOMXPSVH[SHULPHQWDWLRQPD\DOORZIRUPRUHWHFKQLFDODQGPXVLFDOIUHHGRP

H[DPSOH 

,QPHDVXUHWZHQW\VHYHQWKHUHLVDUHSHDWHGFKRUGVSDQQLQJDQLQWHUYDORIWHQWKLQ

WKHOHIWKDQG,IWKHVWXGHQWFDQQRWUHDFKWKLVFKRUGLWLVSRVVLEOHWRDUSHJJLDWHWKHILUVW

FKRUGRIWKHWULSOHWVDQGRPLWWKH'IODWRQLQWKHVHFRQGDQGWKLUGWULSOHWV H[DPSOH 

$PRUHDGYDQFHGVWXGHQWPD\EHDEOHWRDOVRWDNHPRVWRIWKH'IODWVZLWKWKHULJKWKDQG,W

LVLQWHUHVWLQJWKDW6FULDELQZULWHVZLGHLQWHUYDOVVRRIWHQ,WLVZHOONQRZQWKDWFRPSRVHU

KLPVHOIKDGDVPDOOKDQGWKDWFRXOGEDUHO\UHDFKDQLQWHUYDORIDQLQWK6RWKHVWXGHQW

GRHVQRWQHHGWRZRUU\LIWKHKDQGFDQQRWVWUHWFKRULVQRWELJHQRXJKWRSOD\DWHQWKMXVW

XVHRQHRIWKHPHWKRGVGHVFULEHGDERYH

([DPSOH6FULDELQ,PSURPSWX2S1RPPRULJLQDOYHUVLRQ

  


 -X+HH.LP³$3HUIRUPHU¶V*XLGHWRWKH3LDQR(WXGHV2SRI$OH[DQGHU6FULDELQ´ 3K'GLVV
8QLYHUVLW\RI1HEUDVND/LQFROQ KWWSVHDUFKSURTXHVWFRPGRFYLHZ"DFFRXQWLG 
DFFHVVHG)HEUXDU\ 



([DPSOH6FULDELQ,PSURPSWX2S1RPPLQFRPSOHWHOHIWKDQG

   

7KHUHSHDWHGFKRUGDFFRPSDQLPHQWWH[WXUHDWHFKQLTXHWKDW6FULDELQRIWHQXVHVLQ

WKHPRVWHFVWDWLFSODFHVLQKLVODWHUZRUNV H[DPSOHVDQG DSSHDUVKHUHWREXLOG

XSWKHPRPHQWXP

([DPSOH6FULDELQ6RQDWD1R2SPRYHPHQW,,PP


([DPSOH6FULDELQ6RQDWD1R2SPP


6LPLODUUHSHDWHGFKRUGDFFRPSDQLPHQWLVDW\SHRIWHFKQLTXHWKDWZHFDQILQGLQVHYHUDO

ZRUNVRI&KRSLQ



([DPSOH&KRSLQ3UHOXGH2S1RPP

([DPSOH&KRSLQ1RFWXUQH2S1RPP

7KHPLGGOHVHFWLRQ % RIWKH,PSURPSWXLVZULWWHQLQDVOLJKWO\VORZHUWHPSR

‫ט‬ FRPSDUHGWRWKHPDUNLQJRI‫ ט‬LQWKHRSHQLQJ 'HVSLWHWKHNH\FKDQJHWRVL[

IODWV *IODWPDMRU WKHUHLVQRIHHOLQJRIWKLVNH\GXHWRIUHTXHQWXVHRIVHFRQGDU\

GRPLQDQWVDQGERUURZHGFKRUGV7KHUHDUHWZRPDLQPRWLYHVWKHILUVWRQHHPHUJHVLQ

PHDVXUHWKLUW\RXWRIWKHFRPPRQWRQHRI'IODWLQPHDVXUHWZHQW\QLQH:KDWXVHGWREH

WKHWKLUGLQ%IODWPLQRULVQRZWKHILIWKRIWKHVHFRQGDU\GRPLQDQWFKRUGLQ*IODW0DMRU

7KHVHFRQGPRWLYHVRXQGVDVDQDQVZHUDSSHDULQJLQPHDVXUHWKLUW\RQHLQDKLJKHUUHJLVWHU

WKDQWKHILUVW7KHORQJWLHGQRWHVRIWKHPLGGOHYRLFHLQWKHILUVWPRWLYHVKRXOGEHKHOGZLWK

WKHILQJHUVXQWLOWKHIROORZLQJPHDVXUH7KLVZLOODOORZIRUSHGDOFKDQJHVWRDSSUHFLDWHWKH

PRGXODWLQJFRORURIWKHKHOGQRWHVVXSSOLHGE\HDFKFKDQJHLQWKHVXUURXQGLQJPXVLFDO

FRQWH[W7KLVLVWKHW\SHRIH[SHULHQFHDVWXGHQWQHYHUIRUJHWVWRORRNIRULQRWKHUUHSHUWRLUH

7KHVHFRQGPRWLYH P VKRXOGEHSOD\HGDVVPRRWKO\DQGHDVLO\DVSRVVLEOHWRVXLWWKH





OLJKWKHDUWHGUHIOHFWLYHQDWXUHRIWKHSDVVDJH7KHILQJHULQJPXVWEHVXFKWKDWLWSULRULWL]HV

WKHVLQJLQJTXDOLW\RIWKHWRSYRLFHRIWKHGRXEOHQRWHV

([DPSOH6FULDELQ,PSURPSWX2S1RPPWKHILQJHUVWKDWFDQEH

XVHGLQWKHSDVVDJHIRUDVPDOOHUKDQG

 

([DPSOH6FULDELQ,PSURPSWX2S1RPPWKHILQJHUVIRUDODUJHU

KDQGZLWKDJRRGVWUHWFK

 

7KHRUQDPHQWLQPHDVXUHVWKLUW\RQHWKLUW\QLQHDQGIRUW\ILYHFDQEHSOD\HGZLWK

ILQJHUV,IWKLVLVDQHZWHFKQLTXHIRUWKHVWXGHQWWKHWHDFKHUFDQDGYLVHEUHDNLQJXS

WKHSDVVDJHDVIROORZV:KLOHSUDFWLFLQJWKURXJKWKHVHVWHSVWKHELJJHVWFKDOOHQJHOLHVLQ

FORVLQJWKHKDQGTXLFNO\HQRXJKWRUHSOD\WKH&IODWZLWKWKHIRXUWKILQJHU7KHVWXGHQWKDV

WRILUVWILQGWKHULJKWODWHUDOPRYHIURPWKHVHFRQGILQJHUWRWKHIRXUWKILQJHUZKLOHNHHSLQJ

WKHWKXPEIOH[LEOHHQRXJKWRIROGXQGHUWKHKDQG7KHQZKHQWKHILIWKILQJHULVDGGHGWKH

WHDFKHUPD\KDYHWRJXLGHWKHVWXGHQWQRWWRURWDWHWRZDUGVWKHILIWKILQJHUEXWWRSOD\WKH

ILIWKILQJHULQWKHJHQHUDOGLUHFWLRQWRZDUGVWKHPRYHWRWKHIRXUWKILQJHUDVSUDFWLFHGEHIRUH



([DPSOHV6FULDELQ,PSURPSWX2S1RPVWHSVRISUDFWLFLQJWKH

RUQDPHQW

 

$UJXDEO\WKHPRVWFKDOOHQJLQJWHFKQLFDOSDUWLVWKHSRO\UK\WKPZLWKLQRQHKDQGLQ

PHDVXUHWKLUW\HLJKWIRUW\DQGIRUW\WZR7KHWKUHHDJDLQVWIRXULQWKHULJKWKDQGLV

XQFRPPRQO\GLIILFXOWHYHQIRUWKRVHDFFXVWRPHGWRSRO\UK\WKPDQGPXOWLSOHYRLFHVLQRQH

KDQG,WLVQRWHDV\WRNHHSWKHPHORG\OLQHVLQFHWKHPLGGOHYRLFHLVDOZD\VRIIWKHEHDW

ZLWKWKHPHORG\7KHPHORG\LVSOD\HGZLWKILQJHUVWKUHHIRXUDQGILYHZKLOHWKH

DFFRPSDQLPHQWZLWKUHSHDWHGQRWHVDUHSOD\HGZLWKILQJHUVRQHDQGWZR(VSHFLDOO\LQD

FORVHGKDQGSRVLWLRQWKLVFRPELQDWLRQPDNHVWKHSDVVDJHYHU\XQFRPIRUWDEOHHYHQIRUD

YHU\DFFRPSOLVKHGSLDQLVW6WXGHQWFDQILUVWWU\WRSOD\WKHOLQHRIWKHULJKWKDQGZLWKWZR

KDQGVULJKWKDQGLVSOD\LQJWKHPHORG\OLQHDQGOHIWKDQGLVSOD\LQJWKHDFFRPSDQLPHQWRI



WKHPLGGOHYRLFH7KLVZRXOGDLGLQLQVWLOOLQJWKHFRUUHFWDXUDOLPDJH,WLVLPSRUWDQWWRXVH

WKHFRUUHFWILQJHUVIRUWKHPHORG\HYHQZKHQSOD\LQJWKLVSDVVDJHZLWKWZRKDQGV

([DPSOH6FULDELQ,PSURPSWX2S1RPSOD\LQJULJKWKDQG¶VSDUWZLWK

WZRKDQGV

  

$QRWKHUZD\WRSUDFWLFHWKLVSDUWZRXOGEHSOD\LQJPHORG\ZLWKLQFRPSOHWH

DFFRPSDQLPHQW

([DPSOHV6FULDELQ,PSURPSWX2S1RPSUDFWLFLQJSRO\UK\WKPV

 

 

7KHWHDFKHUKDVWRPHQWLRQWKDWWKHWULSOHWVLQWKRVHPHDVXUHV WKHPLGGOHYRLFH DUH

MXVW³ILOOHUV´QRWSDUWRIWKHPHORG\7KHH[DFWQHVVRIUK\WKPLVVHFRQGDU\LQLPSRUWDQFHWR

QRWGLVWXUELQJWKHRYHUDOOIORZ%HVLGHVHQVXULQJWKDWWKHPHORG\QRWHVVRXQGDVWKH\

VKRXOGLWLVPRUHLPSRUWDQWWRNHHSVWHDG\WKHEDVVGXSOHHLJKWKVWKDWVKRXOGQRWVRXQG

XQHYHQ7KHVWXGHQWKDVWROLVWHQWRWKHPHORG\DQGWKHEDVVDQGWKHQILOOLQWKHPLGGOH



YRLFH3OD\LQJRQO\WKHILUVWRIWKHWULSOHWVPD\KHOSWKHVWXGHQWWRIRFXVRQWKHPHORG\DQG

WKHEDVV

([DPSOH6FULDELQ,PSURPSWX2S1RPPSUDFWLFLQJSRO\UK\WKPV

 

$VDQHDVLHUH[DPSOHRIVLPLODUUK\WKPLFFKDOOHQJHDQH[DPSOHRIWKUHHDJDLQVWWZR

LQWKHULJKWKDQGIURP&KRSLQ¶VSRORQDLVHPD\EHUHIHUHQFHG

([DPSOH&KRSLQ3RORQDLVH2S1RP

  

,QPHDVXUHIRUW\IRXUWKHGRPLQDQWSHGDORQ)SUHSDUHVIRUWKHPRVWGUDPDWLFUHWXUQ

RIWKH$VHFWLRQ7KHUHSHDWHGFKRUGVVKRXOGQRWEHSOD\HGWRRUK\WKPLFDOO\7KHSHUIRUPHU

QHHGVWRILQGDZD\WRSOD\WKHPUXEDWRDQGLQVXFKDZD\WRVXSSRUWWKHPHORG\VXSSO\LQJ

WKHQHFHVVDU\PRPHQWXP

7KHRFWDYHOHDSVLQWKHOHIWKDQGDUHZULWWHQZLWKVIRU]DQGR7KHVWXGHQWFDQSUDFWLFH

WKHMXPSVSOD\LQJWKHWKXPEEXWMXVWWRXFKLQJWKHERWWRPQRWHZLWKWKHILIWKILQJHUZLWKRXW

DFWXDOO\SUHVVLQJWKHNH\7KHDLPLVWROHDUQWREDODQFHDQGVXSSRUWWKHWKXPELQWKLVRSHQ

SRVLWLRQ



([DPSOH6FULDELQ,PSURPSWX2S1RPP3UDFWLFLQJOHDSVLQOHIW

KDQG

7KHQH[WVWHSLVWRSUDFWLFHZLWKRFWDYHVEXWZLWKRXWVRXQGLQJWKHERWWRPRFWDYH

PDNLQJVXUHWRODQGFRPIRUWDEO\RQWKHULJKWNH\V'XULQJWKLVSUDFWLFHWKHVWXGHQWVKRXOG

WU\WRSOD\WKHOHDSVDVIDVWDVSRVVLEOH

([DPSOH6FULDELQ,PSURPSWX2S1RPP3UDFWLFLQJOHDSVLQOHIW

KDQG

,PSURPSWX2S1RLVDSHUIHFWH[DPSOHRI6FULDELQ¶VHDUO\VW\OHZKLFK

FRPELQHVFRQWUDVWLQJHOHPHQWVFKDUDFWHULVWLFIRUWKLVSHULRG/\ULFDQGVRUURZIXOPHORGLHV

LQFRPELQDWLRQZLWKGUDPDWLFDQGHPRWLRQDOFXOPLQDWLRQVFDQQRWOHDYHWKHOLVWHQHUGLVWDQW

,ISHUIRUPHGZHOOWKLVZRUNFDQEHYHU\UHZDUGLQJDQGEULQJSHUIRUPDQFHVXFFHVVWRWKH

SLDQLVW





&RQFOXVLRQ

6FULDELQ¶VPXVLFIURPWKHHDUO\SHULRGLVPRUHFRPSOH[WKHQXVXDOO\DFNQRZOHGJHG

0XVLFRIWKLVWLPHLVVWURQJO\LQIOXHQFHGE\&KRSLQ$WWKHVDPHWLPHLWLVGXULQJWKHHDUO\

SHULRGWKDW6FULDELQEHJLQVWRH[SUHVVKLVRZQVW\OHWKURXJKKLVFKRLFHRIKDUPRQLF

ODQJXDJHWH[WXUHDQGUK\WKPLFZULWLQJ7KHVHHDUO\ZRUNVFRQWDLQSOHQWLIXOPDWHULDOIRU

FRQFHUWUHSHUWRLUHRUIRUVWXG\²DPDVVRIPXVLFZKLFKFDQODVWDOLIHWLPHIRUWKRVHSLDQLVWV

ZKRFKRRVHWRDFTXDLQWWKHPVHOYHVZLWKWKHP3LHFHVRIWKLVSHULRGDUHIXOORI³GHOLJKWDQG

EHDXW\´DQGDOUHDG\LQFOXGHPDQ\LQGLYLGXDOWRXFKHVRI6FULDELQ¶VWDOHQWWKDWLVIXOO\

PDVWHUHGLQKLVODWHUZRUN

:RUNVIURPWKHHDUO\SHULRGGHVHUYHPRUHSRSXODULW\DPRQJWKHSLDQLVWVWKH\FDQ

EHFRPHDYDOXDEOHSDUWRISHUIRUPDQFHSURJUDPVDQGGLGDFWLFUHSHUWRLUH$PRQJWKHODUJH

QXPEHURIFRPSRVLWLRQVRIGLIIHUHQWJHQUHWKHWHDFKHUFDQILQGDJRRGSLHFHWRILWDQ\WDVWH

DELOLW\DQGOHYHORISUHSDUDWLRQRIWKHVWXGHQW3LHFHVIURPWKLVSHULRGFDQEHYHU\VXFFHVVIXO

LQFRQFHUWVRUDXGLWLRQVDQGFRQWULEXWHWRWKHEXLOGLQJRISLDQLVW¶VUHSHUWRLUH(DUO\ZRUNV

FDQEHSHUIRUPHGDWDQ\DJHLQDQ\HYHQWDVDQLQGHSHQGHQWSLHFHDF\FOHRUDQHQFRUH

(DUO\FRPSRVLWLRQVUHTXLUHPXVLFDODQGHPRWLRQDOGHPDQGVIURPWKHSHUIRUPHULQ

FRPELQDWLRQZLWKWKHDELOLW\DQGSDWLHQFHWRRYHUFRPHWHFKQLFDOFKDOOHQJHV$VDUHVXOWWKH

VWXGHQWFDQDFKLHYHWHFKQLFDOVNLOOVDQGZRUNRQWKHLPDJLQDWLRQDQGHPRWLRQDODVVHWVDWWKH

VDPHWLPH7KHUHSHWLWLRQRIWKHPXVLFDOPDWHULDO YHU\RIWHQ6FULDELQUHSHDWVH[DFWO\WKH

VDPHSKUDVHWZLFH DOORZVWKHSHUIRUPHUWRPDNHFKDQJHVDFFRUGLQJWRSHUVRQDOIHHOLQJIRU

WKHPXVLFWKHVWXGHQWFDQH[SHULHQFHWKHJUHDWVHQVHRIRZQHUVKLS²DIHHOLQJWKDWKHLVWKH

RQHZKRLVFUHDWLQJWKHSHUIRUPDQFHZLWKRXWEHLQJWROGH[DFWO\ZKDWWRGR7KHVLPSOLFLW\


(+XOO³$6XUYH\RIWKH3LDQRIRUWH:RUNVRI6FULDELQ´7KH0XVLFDO4XDUWHU\QR 2FWREHU
 5,/0$EVWUDFWVRI0XVLFDO/LWHUDWXUH(%6&+KRVW DFFHVVHG0DUFK 



RIWKHPHORGLHVWHQGVWROHDYHQRGRXEWVDVWRKRZWKHSKUDVHQHHGVWRVRXQGZKLFK

SURYLGHVJRRGOHVVRQVIRUOHDUQLQJ³WRQDO´OHJDWR ZKHUHSK\VLFDOFRQQHFWLRQLVQRW

SRVVLEOH UHILQHPHQWLQWRQHSURGXFWLRQDQGSKUDVLQJDQGYROXPHFRQWUROLQFRRUGLQDWLRQ

ZLWKWKHSHGDO 

7KHVHZRUNVDOUHDG\LQFOXGHDKRVWRIWHFKQLFDOFKDOOHQJHVEXWVWLOOZLWKLQD

VWUXFWXUHWKDWLVPDQDJHDEOHLQOHQJWKDQGVFRSHGRXEOHQRWHVZLGHFKRUGVLQQHUYRLFHV

KDQGFURVVLQJKDQGUHGLVWULEXWLRQILQJHUVXEVWLWXWLRQRFWDYHVWHPSRFKDQJHV

SRO\UK\WKPVZLGHOHDSVHWF9HU\ZLGHLQWHUYDOVDUHW\SLFDOIRU6FULDELQ¶VPXVLFWKLV

IHDWXUHLVSUHVHQWWKURXJKRXWKLVHQWLUHRHXYUH,QPDQ\FDVHVH[HFXWLQJZLGHLQWHUYDOVDQG

FKRUGVUHTXLUHWKHWHFKQLTXHRIKDQGUHGLVWULEXWLRQ7KHHDUO\FRPSRVLWLRQVSUHVHQWDJRRG

LQWURGXFWLRQLQOHDUQLQJDERXWKDQGUHGLVWULEXWLRQWKLVFDQODWHUEHDSSOLHGLQPRUHYLUWXRVLF

SLHFHVLQFOXGLQJZRUNVVXFKDVKLVVRQDWDVIURPWKHPLGGOHDQGODWHSHULRG

7KHUK\WKPLFGLIILFXOW\LVDQRWKHUIHDWXUHWKDWLVSUHVHQWIURPWKHYHU\HDUO\SHULRG

,WLQFOXGHVUK\WKPLFFRQIOLFWVEHWZHHQKDQGV WKHDFFRPSDQLPHQWWKDWFURVVHVWKHEDUOLQH

UHVXOWLQJLQVWURQJEHDWRIDFFRPSDQLPHQWIDOOLQJRQDZHDNEHDWRIWKHPHORG\ DQGD

QXPEHURISRO\UK\WKPVEHWZHHQKDQGVDVZHOODVZLWKLQDKDQG

 7HPSRFKDQJHVDUHDVLJQDWXUHIHDWXUHRI6FULDELQ¶VZULWLQJWKRXJKKLVHQWLUH

FUHDWLRQ$ORQJZLWKWKHZULWWHQPDUNLQJV DFFHOHUDQGRULWHQXWR 6FULDELQ¶VPXVLFUHTXLUHV

DQDWXUDOUXEDWRWKDWLVQRWDOZD\VPDUNHGLQWKHVFRUH5HSHDWHGFKRUGVLQ,PSURPSWX2S

1RDUHDJRRGH[DPSOHRIWKLVNLQGRIUXEDWR$OVRUXEDWRLQWKHIRUPRIVXEWOH

UK\WKPLFLQIOHFWLRQVLVQHFHVVDU\LQVRPHSDUWVRIWKHPHORG\ZKHUHWRRH[DFWDQH[HFXWLRQ

RIWKHGXUDWLRQVRIQRWHVFDQEULQJDERXWD³VTXDUH´VRXQGLQJPHORGLFOLQH6XFKDUXEDWRLV

YHU\FRPPRQDOVRIRUPXVLFE\&KRSLQDQGRWKHU5RPDQWLFPDVWHUV



 6FULDELQ¶VHDUO\ZRUNVGHPRQVWUDWHDJUDGXDOWHQGHQF\WRZDUGDQHQKDQFHG

DFFRPSDQLPHQWGHYHORSHGIXUWKHULQWKHPLGGOHSHULRGDQGPDVWHUHGLQODWHZRUNV:LWK

WKHH[DPSOHRI1RFWXUQH2S1RDV<DQRYLWVN\SRLQWVRXWWKHQHDUQHVVRIERWKKDQGV

WHQGVWRREVFXUHWKHWUDGLWLRQDODFFRPSDQLPHQW

7KHH[WHQGHGDFWLYLW\RIZKLFKRIWHQHQFURDFKLQJRQWKHWHUULWRU\RIWKHPHORG\ZH
FDQREVHUYHKRZ6FULDELQEUHDNVWKHWUDGLWLRQDOSUDFWLFH,QVWHDGRIEHLQJ
VXEVHUYLHQWWRWKHPHORG\WKHDFFRPSDQLPHQWUHHQIRUFHVLW)XUWKHUPRUH
6FULDELQ¶VDFFRPSDQLPHQWEHJLQVWRDVVXPHPHORGLFIXQFWLRQDQGFRORUDOUHDG\LQ
HDUO\SLHFHV

 (DUO\ZRUNVRI$OH[DQGHU6FULDELQUHSUHVHQWDQLPSRUWDQWIRUPDWLYHSHULRGIRUWKH

FRPSRVHU¶VFRPSRVLWLRQDOSHUVRQDOLW\WKDWODWHUEURNHZLWK5RPDQWLFWUDGLWLRQVHVWDEOLVKLQJ

DQHZPXVLFDOODQJXDJH/HDUQLQJ6FULDELQ¶VPXVLFDWDQHDUOLHUDJHPD\EHQHILWWKHSLDQR

SXSLOLQDWWDLQLQJDFORVHUXQGHUVWDQGLQJRI6FULDELQ¶VXQLTXHPXVLFDOVW\OHWKDWZDV

H[SRXQGHGLQKLVODWHFRPSRVLWLRQDOFUHDWLRQ%\UHYDORUL]LQJDQGUHFRYHULQJKLVHDUO\SLDQR

ZRUNVWKDWKDYHRIWHQUHPDLQHGGLVUHJDUGHGWKHSLDQRWHDFKHUJDLQVDQHZFKRLFHRI

UHSHUWRLUHWKDWKDVWKHSRWHQWLDOWRFRQWULEXWHQRWRQO\LQDFKLHYLQJWHFKQLFDODELOLWLHVEXW

PD\UHPDLQDSHUPDQHQWSDUWRIWKHVWXGHQW¶VSLDQRUHSHUWRLUHIRUWKHUHVWRIWKHLUPXVLFDO

FDUHHU

 


<DQRYLWVN\
%LEOLRJUDSK\

$QGHUVRQ%UHWW³$Q,QWHJUDWHG$QDO\VLVRI$OH[DQGHU6FULDELQ¶V6L[WKDQG(LJKWK
6RQDWDV´3K'GLVV6FKRRORI0XVLF8QLYHUVLW\RI2UHJRQ
KWWSVHDUFKSURTXHVWFRPGRFYLHZ"DFFRXQWLG  DFFHVVHG0DUFK
 
$SIHOVWDGW+LODU\³)LUVW7KLQJV)LUVW6HOHFWLQJ5HSHUWRLUH´0XVLF(GXFDWRUV-RXUQDO
QR -XO\ KWWSZZZMVWRURUJVWDEOH DFFHVVHG'HFHPEHU
 
$UWHVH$QWRQLR³9ODGLPLU6RIURQLWVN\$6WXG\RI+LV:RUNDV,QWHUSUHWHURI6FULDELQ¶V
3LDQR6RQDWDQRLQ)6KDUS0LQRU2S´3K'GLVV8QLYHUVLW\RI&DOLIRUQLD
6DQWD%DUEDUD
KWWSVHDUFKSURTXHVWFRPGRFYLHZ"DFFRXQWLG  DFFHVVHG0DUFK
 
$VDGD&KL]XNR³6FKHQNHULDQ$QDO\VLVRI6RQDWDQR2SE\$OH[DQGHU6FULDELQ´
00'HSDUWPHQWRI0XVLF&DOLIRUQLD6WDWH8QLYHUVLW\/RQJ%HDFK
KWWSVHDUFKSURTXHVWFRPGRFYLHZ"DFFRXQWLG  DFFHVVHG0DUFK
 
%DNHU-DPHV07KH0XVLFRI$OH[DQGHU6FULDELQ1HZ+DYHQ<DOH8QLYHUVLW\3UHVV

%HHWKRYHQ/XGZLJYDQ.ODYLHUVRQDWH1UGPROO2SXV1U>3LDQRVRQDWDQR
LQ'PLQRU2SQR 7HPSHVW @(GLWHGE\1RUEHUW*HUWVFKDQG0XUUD\3HUDKLD
0XࡇQFKHQ *+HQOH
%HOO&XOO\³6FULDELQ¶V3UHOXGHV2SXV$3HGDJRJLFDO*XLGH´3K'GLVV&ROOHJH
&RQVHUYDWRU\RI0XVLF8QLYHUVLW\RI&LQFLQQDWL
KWWSVHDUFKSURTXHVWFRPGRFYLHZ"DFFRXQWLG  DFFHVVHG0DUFK
 
%H\HU)HUGLQDQG(OHPHQWDU\,QVWUXVWLRQ%RRNIRU3LDQRIRUWH2S1HZ<RUN*
6FKLUPHU
%RZHUV)DXELRQ6FULDELQ$%LRJUDSK\1HZ<RUN'RYHU
&KDQJ&KLD/XQ³)LYH3UHOXGHV2SXVE\$OH[DQGHU6FULDELQ7KH0\VWLF&KRUGDV
%DVLVIRU1HZ0HDQVRI+DUPRQLF3URJUHVVLRQ´3K'GLVV8QLYHUVLW\RI7H[DV
$XVWLQKWWSVHDUFKSURTXHVWFRPGRFYLHZ"DFFRXQWLG 
DFFHVVHG0DUFK 
&KLDQJ(PLO\&KLDOLQ³5XEDWRDQG&OLPD[3URMHFWLRQLQ7ZR3LDQR6RQDWDVE\6FULDELQ´
3K'GLVV'HSDUWPHQWRI0XVLF8QLYHUVLW\RI7RURQWR
KWWSVHDUFKSURTXHVWFRPGRFYLHZ"DFFRXQWLG  DFFHVVHG0DUFK
 






Chopin, FrédérLF&RPSOHWH3UHOXGHV1RFWXUQHVDQG:DOW]HVIRU3LDQR(GLWHGE\
5DIDHO-RVHII\1HZ<RUN1<*6FKLUPHU
Chopin, FrédérLF&RPSOHWH%DOODGHV,PSURPSWXVDQG6RQDWDV(GLWHGE\,JQDFH-DQ
3DGHUHZVNL/XGZLN%URQDUVNLDQG-Rғ]HI7XUF] QғVN 
&KRSLQ)UHғG ULF&RPSOHWH3UHOXGHVDQG(WXGHVIRU6ROR3LDQR(GLWHGE\,JQDFH-DQ
3DGHUHZVNL/XGZLN%URQDUVNLDQG-Rғ]HI7XUF] QғVN 1HZ<RUN'RYHU
Chopin, FrédérLF0D]XUNDV(GLWHGE\-DPHV+XQHNHUDQG&DUO0LNXOL1HZ<RUN*
6FKLUPHU
&KRSLQ)UédérLF1RFWXUQHVDQG3RORQDLVHV(GLWHGE\&DUO0LNXOL1HZ<RUN*
6FKLUPHU
Chopin, FrédérLF:DOW]HV3LDQR(GLWHGE\&KULVWRSKH*UDERZVNL/RQGRQ(GLWLRQ3HWHUV

Chopin, FrédérLF0LVFHOODQHRXV&RPSRVLWLRQVIRUWKH3LDQR(GLWHGE\-DPHV+XQHNHU
1HZ<RUN*6FKLUPHU
(ZHQ'DYLQ0RGHUQ0XVLF$+LVWRU\DQG$SSUHFLDWLRQ±IURP:DJQHUWR:HEHUQ
3KLODGHOSKLD 1HZ<RUN&KLOWRQ&RPSDQ\
*DUYHOPDQQ'RQDOG0$OH[DQGHUDQG-XOLDQ6FULDELQ1HZ<RUN0XVLF7UHDVXUH
3XEOLFDWLRQVLQ

*DZER\$QQD³$OH[DQGHU6FULDELQ¶V7KHXUJ\LQ%OXH(VRWHULFLVPDQGWKH$QDO\VLVRI
3URPHWKHXV3RHPRI)LUH2S´3K'GLVV<DOH8QLYHUVLW\
KWWSVHDUFKSURTXHVWFRPGRFYLHZ"DFFRXQWLG  DFFHVVHG0DUFK
 

*RUPDQ-RKQ$OH[DQGHU³$Q$QDO\VLVRI3HUIRUPDQFH3UREOHPVLQ6HOHFWHG3LDQRIRUWH
6RQDWDVRI$OH[DQGHU6FULDELQ´3K'GLVV6FKRRORI(GXFDWLRQ+HDOWK1XUVLQJ
DQG$UWV3URIHVVLRQV1HZ<RUN8QLYHUVLW\
KWWSVHDUFKSURTXHVWFRPGRFYLHZ"DFFRXQWLG  DFFHVVHG0DUFK
 
+RIIPDQ%ULDQ'³7RQDO0LUDJHV$0XOWLIDFHWHG9LHZRI7RQDOLW\LQWKH(DUO\
7UDQVLWLRQDO3LHFHVRI$OH[DQGHU6FULDELQ´3K'GLVV&ROOHJH&RQVHUYDWRU\RI
0XVLF8QLYHUVLW\RI&LQFLQQDWL
KWWSVHDUFKSURTXHVWFRPGRFYLHZ"DFFRXQWLG  DFFHVVHG
)HEUXDU\ 
+XOO$UWKXU(DJOHILHOG³$6XUYH\RIWKH3LDQRIRUWH:RUNVRI6FULDELQ´7KH0XVLFDO
4XDUWHU\QR 2FWREHU 5,/0$EVWUDFWVRI0XVLFDO/LWHUDWXUH
(%6&+KRVW DFFHVVHG0DUFK 



.LP-X+HH³$3HUIRUPHU¶V*XLGHWRWKH3LDQR(WXGHV2SRI$OH[DQGHU6FULDELQ´
3K'GLVV6FKRRORI0XVLF8QLYHUVLW\RI1HEUDVND/LQFROQ
KWWSVHDUFKSURTXHVWFRPGRFYLHZ"DFFRXQWLG  DFFHVVHG0DUFK
 

.LP<RRMXQJ³/HIW+DQG$USHJLDWHG)LJXUDWLRQLQWKH3LDQR:RUNVRI$OH[DQGHU
6FULDELQ&KDUDFWHULVWLFW\SHVDQGWKHLU3HUIRUPDQFH3UDFWLFH´3K'GLVV/RXLVLDQD
6WDWH8QLYHUVLW\
KWWSVHDUFKSURTXHVWFRPGRFYLHZ"DFFRXQWLG  DFFHVVHG
-DQXDU\ 
.RSW\DHII$OH[DQGHU$16FULDELQ3HWURJUDG,<XUJHQVRQ

/HH+ZD<RXQJ³7UDGLWLRQDQG,QQRYDWLRQLQWKH7ZHQW\)RXU3UHOXGHV2SXVRI
$OH[DQGHU6FULDELQ´3K'GLVV8QLYHUVLW\RI7H[DV$XVWLQ
KWWSVHDUFKSURTXHVWFRPGRFYLHZ"DFFRXQWLG  DFFHVVHG0DUFK
 

/HLNLQ$QDWROH7KH3HUIRUPLQJ6W\OHRI$OH[DQGHU6FULDELQ)DUQKDP(QJODQG
 $VKJDWH3XE 
/LP6HRQJ$H³7KH,QIOXHQFHRI&KRSLQLQ3LDQR0XVLFRQWKH7ZHQW\)RXU3UHOXGHVIRU
3LDQR2SXVRI$OH[DQGHU6FULDELQ´3K'GLVV2KLR6WDWH8QLYHUVLW\
KWWSVHDUFKSURTXHVWFRPGRFYLHZ"DFFRXQWLG  DFFHVVHG0DUFK
 
/LQ<L7LQJ³$&RPSDULVRQRI6FULDELQ¶V/DVW)LYH3LDQR6RQDWDVDQG0HVVLDHQ¶V9LQJW
5HJDUGV6XUO
(QIDQW-HVXV$QDO\VHVRI6RQDWDQRDQG&RQWHPSODWLRQV,,9
DQG;;´3K'GLVV6RXWKZHVWHUQ%DSWLVW7KHRORJLFDO6HPLQDU\
KWWSVHDUFKSURTXHVWFRPGRFYLHZ"DFFRXQWLG  DFFHVVHG0DUFK
 
/LQ:HQ&KLQJ³7KH6FULDELQ6RXQGDQG6W\OH$Q$QDO\VLVRI7ZHOYH(WXGHV2SXV´
3K'GLVV8QLYHUVLW\RI0LDPL
KWWSVHDUFKSURTXHVWFRPGRFYLHZ"DFFRXQWLG  DFFHVVHG0DUFK
 
0DF'RQDOG+XJK6NU\DELQ2[IRUG6WXGLHVRI&RPSRVHUV/RQGRQ2[IRUG8QLYHUVLW\
3UHVV
1HXKDXV+HLQULFK7KH$UWRI3LDQR3OD\LQJ7UDQVODWHGE\.$/HLERYLWFK/RQGRQ
%DUULH -HQNLQV
1LNRODHYD$QD2VREHQRVWL)RUWHSLDQRJR6WLO\D$16FULDELQD>6SHFLILFVRI6FULDELQ¶V
3LDQLVWLF6W\OH@0RVFRZ6RYLHW&RPSRVHU3UHVV




2OLYHU&DURO.HQGDOO³7KH0D]XUND7ULDQJOH7KH,QIOXHQFHRIWKH0D]XUNDVRI)UHGHULF
&KRSLQRQWKH0D]XUNDVRI$OH[DQGHU6FULDELQDQG5HLQKROG*OLHUH´3K'GLVV
8QLYHUVLW\RI0HPSKLV
KWWSVHDUFKSURTXHVWFRPGRFYLHZ"DFFRXQWLG  DFFHVVHG0DUFK
 
3UHDVKQLNRYD0DUJDUHWDQG2OJD7RPSDNRYD/HWRSLVL-L]QLL7YRUFHVWYD$16FULDELQD
>7KH&KURQLFRIWKH/LIHDQG&UHDWLRQRI$16FULDELQ@0RVFRZ0X]LFD
5RVHQIHOG3DXO0XVLFDO3RUWUDLWV1HZ<RUN+DUFRXUW%UDFHDQG+RZHN
5XELQVWHLQ$QWRQ*UDQGH(WXGHV3RXU3LDQR/HLS]LJ&)3HWHUV
5XFNPDQ5REHUW&³7KH(WXGHVRI$OH[DQGHU6FULDELQ$3HUIRUPDQFH3HUVSHFWLYH´
3K'GLVV8QLYHUVLW\RI&LQFLQQDWL
KWWSVHDUFKSURTXHVWFRPGRFYLHZ"DFFRXQWLG  DFFHVVHG-DQXDU\
 
6DEEDJK3HWHU7KH'HYHORSPHQWRI+DUPRQ\LQ6FULDELQ
V:RUNV8QLYHUVDO3XEOLVKHU86$

KWWSVERRNVJRRJOHFRPERRNV"LG 8K;EOEN\;& SULQWVHF IURQWFRYHUY RQHSDJH T I
IDOVH DFFHVVHG0DUFK 

6DEDQHHY/HRQLG9RVSRPLQDQ\DR6FULDELQH>5HPLQLVFHQFHVDERXW6FULDELQ@0RVFRZ
&ODVVLF;;,
6DOOH\.HLWK3³6FULDELQWKH3URJUHVVLYH(OHPHQWVRI0RGHUQLVPLQWKH(DUO\:RUNVRI
$OH[DQGHU6FULDELQ´3K'GLVV8QLYHUVLW\RI2UHJRQ
KWWSVHDUFKSURTXHVWFRPGRFYLHZ"DFFRXQWLG  DFFHVVHG-DQXDU\
 
6FKORH]HU%RULV6FULDELQ$UWLVWDQG0\VWLF7UDQVODWHGE\0DULQD6FULDELQH(GLWHGE\
1LFRODV6ORQLPVN\%HUNHOH\8QLYHUVLW\RI&DOLIRUQLD3UHVV
6FULDELQ$OHNVDQGU1LNROD\HYLFK(DUO\:RUNVIRU3LDQR6ROR0HOYLOOH1HZ<RUN
%HOZLQ0LOOV
6FULDELQ$OHNVDQGU1LNROD\HYLFK0D]XUNDV3RH̖PHV PSURPSWXVDQG2WKHU:RUNVIRU
3LDQR1HZ<RUN'RYHU
6FULDELQ$OHNVDQGU1LNROD\HYLFK6DխPWO FKH.ODYLHUVRQDWHQ>&RPSOHWH3LDQR6RQDWDV@
3UHIDFHE\0DUF$QGUé+DPHOLQDQG&KULVWRSK)ODPP1HZ<RUN%lUHQUHLWHU


6HFRU7\OHU0DWWKHZ³0\VWLF&KRUG+DUPRQLFDQG/LJKW7UDQVIRUPDWLRQVLQ$OH[DQGHU
6FULDELQ¶V3URPHWKHXV´0$6FKRRORI0XVLFDQG'DQFH8QLYHUVLW\RI2UHJRQ
KWWSVHDUFKSURTXHVWFRPGRFYLHZ"DFFRXQWLG  DFFHVVHG
0DUFK 



6WUDPSH*UHJRU\$³7KH7HQ3LDQR6RQDWDVRI$OH[DQGHU6FULDELQ´0$'HSDUWPHQWRI
0XVLF8QLYHUVLW\RI:\RPLQJ
KWWSVHDUFKSURTXHVWFRPGRFYLHZ"DFFRXQWLG  DFFHVVHG
)HEUXDU\ 

6XNKLQD1DWDOL\D³$OH[DQGHU6FULDELQ  3LDQR0LQLDWXUHVDV&KURQLFOHRI+LV


&UHDWLYH(YROXWLRQ&RPSOH[LW\RI,QWHUSUHWDWLYH$SSURDFKDQG,WV,PSOLFDWLRQV´
3K'GLVV8QLYHUVLW\RI1RUWK7H[DV0D\
KWWSVHDUFKSURTXHVWFRPGRFYLHZ"DFFRXQWLG  DFFHVVHG-DQXDU\
 
6ZDQ$OIUHG-6FULDELQ1HZ<RUN'D&DSR3UHVV
7FKDLNRYVN\3\RWU,O\FK3ROQRH6REUDQLH6RFLQHQLL>&RPSOHWH&ROOHFWHG:RUNV@
0RVFRZ0X]JL]
:KLWHKHDG/DXUD/³7UDQVFHQGHQW6RXQGV7KH(DUO\3LDQR0XVLFRI$OH[DQGHU6FULDELQ´
0$GLVV8QLYHUVLW\RI9LFWRULD

:LVH+HUEHUW+DUROG-U7KH5HODWLRQVKLSRI3LWFK6HWVWR)RUPDO6WUXFWXUHLQWKH/DVW6L[
3LDQR6RQDWDVRI6FULDELQ3K'GLVV(DVWPDQ6FKRRORI0XVLF8QLYHUVLW\RI
5RFKHVWHUKWWSVHDUFKSURTXHVWFRPGRFYLHZ"DFFRXQWLG 
DFFHVVHG0DUFK 

<DQRYLWVN\0LNKDLO³6FULDELQ¶V(WXGHV2S´3K'GLVV7HPSOH8QLYHUVLW\
KWWSVHDUFKSURTXHVWFRPGRFYLHZ"DFFRXQWLG  DFFHVVHG0DUFK
 

<XQHN-HIIUH\³6FULDELQ¶V7UDQVSRVLWLRQDO:LOOV$'LDFKURQLF$SSURDFKWR$OH[DQGHU
6FULDELQ
V/DWH3LDQR0LQLDWXUHV  ´3K'GLVV6FKRRORI0XVLF
/RXLVLDQD6WDWH8QLYHUVLW\DQG$JULFXOWXUDODQG0HFKDQLFDO&ROOHJH
KWWSVHDUFKSURTXHVWFRPGRFYLHZ"DFFRXQWLG  DFFHVVHG0DUFK
 





You might also like