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)LJXUH²7HPSHUDWXUHSURILOHDORQJWLPHIRUFXUUHQWO\XVHG)6,,DQGF\FOLFDFHWDOV IURPJO\FHURODGDSWHG    )LJXUH²6FKHPHRID70%5DDQGD60%5EXQLW  )LJXUH6HWXSXVHGIRUWKHUPRG\QDPLFHTXLOLEULXPH[SHULPHQWV  )LJXUH6FKHPHRIWKHVHWXSXVHGIRUNLQHWLFH[SHULPHQWV  )LJXUH/LQHDUL]DWLRQRIWKHYDOXHVRIHTXLOLEULXPFRQVWDQWVDFFRUGLQJWR9DQ·W+RII HTXDWLRQ  )LJXUH(YROXWLRQRIWKHHTXLOLEULXPFRQVWDQWRIWKHDFHWDOL]DWLRQRIJO\FHUROZLWKWKH OHQJWKRIWKHDOGHK\GHFKDLQ  )LJXUH&DWDO\VWSHUIRUPDQFHVLQWHUPVRIJO\FHUROFRQYHUVLRQDIWHU K DQG K    7 . =   3 EDU = LQLWLDODFHWDOGHK\GHJO\FHUROPRODUUDWLR  ZW RI FDWDO\VW    YL  )LJXUH&DWDO\VWVSHUIRUPDQFHVLQWHUPVRIJO\FHUROFRQYHUVLRQRYHUDQ K SHULRG   7 . =   3 EDU = LQLWLDODFHWDOGHK\GHJO\FHUROPRODUUDWLR  ZW RI FDWDO\VW  )LJXUH²(IIHFWRIWKHVWLUULQJVSHHGLQWKHUHDFWLRQUDWHDVDPHDVXUHPHQWRIH[WHUQDO PDVVWUDQVIHUOLPLWDWLRQV  7 . =   3 EDU = LQLWLDODFHWDOGHK\GHJO\FHURO PRODUUDWLR  ZW RIXQVLHYHG$PEHUO\VWVWLUULQJVSHHGRI USP   )LJXUH(IIHFWRIWKHFDWDO\VWDPRXQWRQWKHUHDFWLRQUDWH  7 . =   3 EDU =  LQLWLDODFHWDOGHK\GHJO\FHUROPRODUUDWLRXQVLHYHG$PEHUO\VWVWLUULQJVSHHGRI  USP   )LJXUH(IIHFWRIWHPSHUDWXUHRQWKHUHDFWLRQUDWH  3 EDU = LQLWLDO DFHWDOGHK\GHJO\FHUROPRODUUDWLRXQVLHYHG$PEHUO\VWVWLUULQJVSHHGRI USP   )LJXUH(IIHFWRIWKHLQLWLDOUHDFWDQWPRODUUDWLRRQWKHUHDFWLRQUDWH  7 . =   3 EDU =   ZW  RIXQVLHYHG$PEHUO\VWVWLUULQJVSHHGRI USP   )LJXUH(IIHFWRQWKHUHDFWLRQUDWHRIWKHSUHVHQFHRISURGXFWVLQWKHLQLWLDOPL[WXUH   3 EDU = LQLWLDODFHWDOGHK\GHJO\FHUROPRODUUDWLR  ZW  RIXQVLHYHG $PEHUO\VWVWLUULQJVSHHGRI USP   )LJXUH(IIHFWRIFDWDO\VWSDUWLFOHVL]HRQWKHUHDFWLRQUDWH  7 . =   3 EDU = LQLWLDODFHWDOGHK\GHJO\FHUROPRODUUDWLR ZW RI$PEHUO\VWVWLUULQJ VSHHGRI USP   )LJXUH(IIHFWRISDUWLFOHVL]HRQFRQYHUVLRQSURILOHLQVLGHWKHFDWDO\VW PLQ DIWHU WKHEHJLQQLQJRIWKHUHDFWLRQ  7 . =   3 EDU = LQLWLDO DFHWDOGHK\GHJO\FHUROPRODUUDWLR  ZW  RIXQVLHYHG$PEHUO\VW  )LJXUH7HUQDU\SKDVHGLDJUDPIRUJO\FHURODFHWRQLWULOHZDWHUDQG JO\FHURODFHWRQLWULOH*($PL[WXUHVLQPRODUFRPSRVLWLRQVDW .   )LJXUH$GVRUSWLRQRQ$PEHUO\VWGHWHUPLQHGE\VZHOOLQJWHVWVSHUIRUPHGDW .  IRU K   )LJXUH&RPSDULVRQRIWKHSHUIRUPDQFHRIWKHVROYHQWVRQWKHNLQHWLFVRIWKH DFHWDOL]DWLRQUHDFWLRQ  7 . =   3 EDU = LQLWLDODFHWDOGHK\GHJO\FHURO PRODUUDWLRVROYHQWPRODUIUDFWLRQRI  ZW RIWKHWRWDOUHDFWDQWVPDVVRI XQVLHYHG$PEHUO\VWVWLUULQJVSHHGRI USP   )LJXUH(IIHFWRIWKHVWLUULQJVSHHGLQWKHUHDFWLRQUDWHDVDPHDVXUHPHQWRIH[WHUQDO PDVVWUDQVIHUOLPLWDWLRQV  7 . =   3 EDU = LQLWLDODFHWDOGHK\GHJO\FHURO PRODUUDWLRVROYHQWPRODUIUDFWLRQRI  ZW RIXQVLHYHG$PEHUO\VW VWLUULQJVSHHGRI USP   )LJXUH(IIHFWRIWHPSHUDWXUHRQWKHUHDFWLRQUDWH  3 EDU = LQLWLDO DFHWDOGHK\GHJO\FHUROPRODUUDWLRVROYHQWPRODUIUDFWLRQRIVWLUULQJVSHHGRI  USP   )LJXUH(IIHFWRIWKHUHDFWDQWVPRODUUDWLRRQWKHUHDFWLRQUDWH  7 . =   3 EDU = VROYHQWPRODUIUDFWLRQRIVWLUULQJVSHHGRI USP     YLL  )LJXUH(IIHFWRIWKHVROYHQWPRODUIUDFWLRQRQWKHUHDFWLRQUDWH  7 . =   3 EDU = LQLWLDODFHWDOGHK\GHJO\FHUROPRODUUDWLRVWLUULQJVSHHGRI USP   )LJXUH²6FKHPHRIWKHVHWXSXVHGIRUWUDFHUDQGEUHDNWKURXJKH[SHULPHQWV  )LJXUH²6FKHPHRIWKHIL[HGEHGFROXPQDDQGWKHPDVVWUDQVIHUPHFKDQLVP EHWZHHQWKHEXONIOXLGDQGWKHFDWDO\VWDGVRUEHQWSDUWLFOHVE  )LJXUH7UDFHUUHVLGHQFHWLPHGLVWULEXWLRQFXUYHV  )LJXUH/DQJPXLUFRPSHWLWLYHDGVRUSWLRQLVRWKHUPIRUWKHELQDU\JO\FHUROD²'062 ERYHU$PEHUO\VWDW  .   )LJXUH/DQJPXLUFRPSHWLWLYHDGVRUSWLRQLVRWKHUPIRUWKHELQDU\:DWHUD²'062 ERYHU$PEHUO\VWDW  .   )LJXUH/DQJPXLUFRPSHWLWLYHDGVRUSWLRQLVRWKHUPIRUWKHELQDU\*($D²'062E RYHU$PEHUO\VWDW  .   )LJXUH([SHULPHQWDODQGSUHGLFWHGEUHDNWKURXJKFXUYHVIRUWKHELQDU\JO\FHURO '062DW  . DQGDIORZUDWHRIDSSUR[LPDWHO\   P/ PLQ − ⋅   )LJXUH([SHULPHQWDODQGSUHGLFWHGEUHDNWKURXJKFXUYHVIRUWKHELQDU\ZDWHU'062 DW  . DQGIORZUDWHVRIDSSUR[LPDWHO\   P/ PLQ − ⋅ DDQG   P/ PLQ − ⋅ E  )LJXUH([SHULPHQWDODQGSUHGLFWHGEUHDNWKURXJKFXUYHVIRUWKHELQDU\*($'062DW  . DQGIORZUDWHVRIDSSUR[LPDWHO\   P/ PLQ − ⋅ DDQG   P/ PLQ − ⋅ E  )LJXUH²6\QWKHVLVRI*($LQDIL[HGEHGDGVRUSWLYHUHDFWRUDW  . E\IHHGLQJD VROXWLRQFRQWDLQLQJ   − ⋅ PRO / RIDFHWDOGHK\GH   − ⋅ PRO / RIJO\FHURODQG   − ⋅ PRO / RI'062DW   − ⋅ P/ PLQ DDQGUHJHQHUDWLRQRIWKHEHGZLWKSXUH '062DW   − ⋅ P/ PLQ E  )LJXUH²,QWHUQDOFRQFHQWUDWLRQSURILOHVRIWKHIL[HGEHGDGVRUSWLYHUHDFWRU  PLQ D  P LQ E  PLQ FDQG  PLQ GDIWHUWKHEHJLQQLQJRIWKHV\QWKHVLVRI*($E\ IHHGLQJDVROXWLRQFRQWDLQLQJ   − ⋅ PRO / RIDFHWDOGHK\GH   − ⋅ PRO / RI JO\FHURODQG   − ⋅ PRO / RI'062DW   − ⋅ P/ PLQ   = 7 .   )LJXUH(IIHFWRIVSDFHWLPHRQWKHPD[LPXPDFKLHYDEOHFRQYHUVLRQIRUWKH V\QWKHVLVRI*($LQDIL[HGEHGDGVRUSWLYHUHDFWRU  = 7 .   =3H  DFHWDOGHK\GHJO\FHURO'062PRODUUDWLRRI  )LJXUH([SHULPHQWDODQGVLPXODWHGEUHDNWKURXJKFXUYHVREWDLQHGE\IHHGLQJ   − ⋅ PRO / RIZDWHU   − ⋅ PRO / RI*($DQG   − ⋅ PRO / RI'062DWD IORZUDWHRI   − ⋅ P/ PLQ WRDIL[HGEHGVDWXUDWHGZLWK   − ⋅ PRO / RIZDWHUDQG   − ⋅ PRO / RI'062DW  .   )LJXUH([SHULPHQWDODQGVLPXODWHGEUHDNWKURXJKFXUYHVREWDLQHGE\IHHGLQJ   − ⋅ PRO / RIZDWHUDQG   − ⋅ PRO / RI'062DWDIORZUDWHRI   − ⋅ P/ PLQ WR DIL[HGEHGVDWXUDWHGZLWK   − ⋅ PRO / RIZDWHU   − ⋅ PRO / RI*($DQG   − ⋅ PRO / RI'062DW  .     YLLL  )LJXUH([SHULPHQWDODQGVLPXODWHGEUHDNWKURXJKFXUYHVREWDLQHGE\IHHGLQJ   − ⋅ PRO / RIZDWHU   − ⋅ PRO / RI*($DQG   − ⋅ PRO / RI'062DWD IORZUDWHRI   − ⋅ P/ PLQ WRDIL[HGEHGVDWXUDWHGZLWK   − ⋅ PRO / RIZDWHUDQG   − ⋅ PRO / RI'062DW  .   )LJXUH([SHULPHQWDODQGVLPXODWHGEUHDNWKURXJKFXUYHVREWDLQHGE\IHHGLQJ   − ⋅ PRO / RIZDWHUDQG   − ⋅ PRO / RI'062DWDIORZUDWHRI   − ⋅ P/ PLQ WR DIL[HGEHGVDWXUDWHGZLWK   − ⋅ PRO / RIZDWHU   − ⋅ PRO / RI*($DQG   − ⋅ PRO / RI'062DW  .   )LJXUH²6FKHPDWLFFRPSDULVRQEHWZHHQ70%5DDQG60%5ERSHUDWLRQPRGH  )LJXUH²/,&26(360%5SLORWXQLW  )LJXUH²([WUDFWDDQGUDIILQDWHEH[SHULPHQWDOFRQFHQWUDWLRQKLVWRU\  )LJXUH²([SHULPHQWDO60%5LQWHUQDOFRQFHQWUDWLRQSURILOHVDWWKHILUVWWKLUGDQG WZHOIWKF\FOHVF\FOLFVWHDG\VWDWHKLJKOLJKWHGZLWKDGRWWHGOLQH  )LJXUH²([SHULPHQWDODQGVLPXODWHG60%5LQWHUQDOFRQFHQWUDWLRQSURILOHVDWWKH F\FOLFVWHDG\VWDWH =  7 .  =   ) $F [ =   ) *O\ [ =   ) '062 [ =   ' '062 [ − = ⋅   ) 4 P/ PLQ  − = ⋅   ' 4 P/ PLQ  − = ⋅   ; 4 P/ PLQ  − = ⋅   5 4 P/ PLQ  − = ⋅   5HF 4 P/ PLQ  = V W PLQ DQGDFRQILJXUDWLRQ  )LJXUH²([SHULPHQWDODQGWKHRUHWLFDO60%5FRQFHQWUDWLRQSURILOHVDWWKHF\FOLFVWHDG\ VWDWHFRQVLGHULQJDGHYLDWLRQRI ± RQWKHUDIILQDWHVWUHDPIORZUDWH   5 4 P/ PLQ − = ⋅ DDQG   5 4 P/ PLQ − = ⋅ E  )LJXUH²([SHULPHQWDODQGWKHRUHWLFDO60%5FRQFHQWUDWLRQSURILOHVDWWKHF\FOLFVWHDG\ VWDWHFRQVLGHULQJDGHYLDWLRQRI ± RQWKHUHF\FOLQJVWUHDPIORZUDWH  )LJXUH²,QILQLWHGLOXWLRQGLIIXVLRQFRHIILFLHQWIRUJO\FHURODFHWDOGHK\GHZDWHUDQG *($LQ'062DW . 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