STEVEN DANIEL SACKS MIDRASH AND MULTIPLICITY
≥
S TUDIA JUDAICA F OR SC H U NGE N Z U R W I S S E N S C H A F T D E S...
67 downloads
1023 Views
2MB Size
Report
This content was uploaded by our users and we assume good faith they have the permission to share this book. If you own the copyright to this book and it is wrongfully on our website, we offer a simple DMCA procedure to remove your content from our site. Start by pressing the button below!
Report copyright / DMCA form
STEVEN DANIEL SACKS MIDRASH AND MULTIPLICITY
≥
S TUDIA JUDAICA F OR SC H U NGE N Z U R W I S S E N S C H A F T D E S JUDE N T U M S
B E G RÜ N D E T VON E. L. E H R L I CH H E R AU S G E G E B E N VON G. S T E M B E RG E R
BAN D XLVIII
WA LT E R D E G R U Y T E R · B E R L I N · N E W YO R K
MIDRASH AND MULTIPLICITY P IR KE DE -R AB BI EL IE ZE R AND THE RENEWAL OF RAB BI NI C I NT ERPR ET IVE CULTURE BY S TE VE N DAN IE L S ACKS
WA LT E R D E G R U Y T E R · B E R L I N · N E W YO R K
앝 Printed on acid-free paper which falls within the guidelines of the ANSI 앪 to ensure permanence and durability.
ISBN 978-3-11-020922-8 ISSN 0585-5306 Bibliographic information published by the Deutsche Nationalbibliothek The Deutsche Nationalbibliothek lists this publication in the Deutsche Nationalbibliografie; detailed bibliographic data are available in the Internet at http://dnb.d-nb.de. Library of Congress Cataloging-in-Publication Data A CIP catalogue record for this book is available from the Library of Congress.
쑔 Copyright 2009 by Walter de Gruyter GmbH & Co. KG, D-10785 Berlin All rights reserved, including those of translation into foreign languages. No part of this book may be reproduced or transmitted in any form or by any means, electronic or mechanical, including photocopy, recording or any information storage and retrieval system, without permission in writing from the publisher. Printed in Germany Cover Design: Christopher Schneider, Laufen
לאבי Barry Aubrey Sacks כעבור סופה ואין רשע וצדיק יסוד עולם )משלי י:כה(
Acknowledgements The author of this work is greatly indebted to many who have moved this project from conception to the present form, but only has the pleasure to list few here. The inspiration for this work originated under the tutelage of Professor Michael Fishbane, who illuminated the beauty and complexity of midrash for me, and remains my paradigm as a scholar. I am also eternally grateful for the guidance of Professor Jonathan Z. Smith, and cannot duly express my gratitude to him for his kindness and attention to detail throughout my efforts. Professor Lewis Barth was instrumental with his early support for this project, and his extraordinary hospitality. Similarly, I owe my deepest thanks to Professors Rivka Ulmer and Carol Bakhos for their criticism and support for this project. My colleagues, Professors Joseph Molleur and Ahmed Souaiaia are a paradigm of kindness and support, and for all things I owe them my deepest gratitude. I would also like to acknowledge the diligent efforts of my assistant, Alyssa McMullin, who prepared the indices in this work with great patience. Finally, and not least, I would like to acknowledge the support of my family, who have made all things possible.
Table of Contents Acknowledgements . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
vii
PRE and the History of Rabbinic Literature . . . . . . . . . . . . . . . . . . . . . . . . .
1
Literary Arrangement in PRE . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . Narrative and the Phenomenon of Lists . . . . . . . . . . . . . . . . . . . . . . The Context of Thematic Discourse . . . . . . . . . . . . . . . . . . . . . . . . . Analogy and Bound Themes in PRE . . . . . . . . . . . . . . . . . . . . . . .
17 22 32 36
PRE and Pseudepigraphy . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . R. Eliezer as Author, Pseudonym or Archetype . . . . . . . . . . . . . . . Transmission and Tradents in PRE . . . . . . . . . . . . . . . . . . . . . . . . . . Appendix: Geonic Hebrew and Pseudepigraphy . . . . . . . . . . . . . . .
42 53 59 82
PRE and the Language of Scripture . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . Exegetical Terminology in PRE . . . . . . . . . . . . . . . . . . . . . . . . . . . . . PREs Exegetical Expansions . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . Appendix: Legal Authority and Scriptural Innovation in PRE . . .
88 90 100 109
PRE and the Rabbinic Tradition . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . Technical Vocabulary in PRE . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . Quotation and Resonance . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . Mythic Clusters . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . Appendix: PRE, Ishmael and Islam . . . . . . . . . . . . . . . . . . . . . . . . . .
120 122 135 145 157
Conclusion . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
168
Select Bibliography . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
171
Index . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
175
35( DQG WKH +LVWRU\ RI 5DEELQLF ,QWHUSUHWDWLRQ 7KH 3LUNH GH5DEEL (OLH]HU LV D ZRUN RI UDEELQLF LQWHUSUHWDWLRQ WKDW KDV LQWULJXHG DQG IUXVWUDWHG VFKRODUV RI -HZLVK FXOWXUH IRU WKH SDVW WZR FHQWXULHV $V D PLGUDVK WKLV ZRUN SRLQWV WKH UHDGHU WRZDUG WKHRORJLFDO HWKLFDO DQG VRFLDO LQWHUSUHWDWLRQV RI WKH +HEUHZ %LEOH 3LUNH GH5DEEL (OLH]HU 35( KDV PXFK LQ FRPPRQ ZLWK FODVVLFDO UDEELQLF OLWHUDWXUH LQ WKDW WKH ZRUN¶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¶V DXWKHQWLFLW\ DV DQ RULJLQDO YRLFH RI UDEELQLF FXOWXUH 35( KDV FKDOOHQJHG JHQHUDWLRQV RI VFKRODUV WR UHIOHFW XSRQ WKH PLGUDVK¶V UHFHSWLRQ UHDUWLFXODWLRQ DQG GHSDUWXUHV IURP WKH FODVVLFDO WUDGLWLRQ DQG WKHVH TXHVWLRQV KDYH HQDEOHG D GHHSHU XQGHUVWDQGLQJ RI WKH KLVWRU\ RI UDEELQLF LQWHUSUHWDWLRQ 1HYHUWKHOHVV D ODUJHU TXHVWLRQ VWLOO UHPDLQV ZKDW LV LW H[DFWO\ WKDW PDNHV 35( ³UDEELQLF´ DQG D ³PLGUDVK´" 'XULQJ WKH PHGLHYDO HUD 35(¶V UHSXWDWLRQ DV DQ DXWKHQWLF UDEELQLF ZRUN ZDV ZHOONQRZQ DQG XQGLVSXWHG 0HGLHYDO VFKRODUV FRQVLGHUHG 3LUNH GH5DEEL (OLH]HU WR EH RQH RI WKH PRVW VLJQLILFDQW VRXUFHV IRU FODVVLFDO OHJDO DQG QRQ OHJDO UDEELQLF WUDGLWLRQV DQG DV D WRRO IRU OHJDO DUJXPHQWV RU 6FULSWXUDO LQWHUSUHWDWLRQ 6FKRODUV RI WKLV HUD XQGHUVWRRG WKH ZRUN WR EH ODUJHO\ WKH BBBBBBBBBBBB
)RU FLWDWLRQV RI WKH ZRUN LQ PHGLHYDO OLWHUDWXUH VHH 5 'DYLG /XULD¶V ,QWURGXFWLRQ WR KLV HGLWLRQ RI 35( VHFWLRQV DQG LQ 3LUNH GH5DEEL (OLH]HU :DUVDZ = 0 5DELQRZLW] ³.LW¶HL *HQL]DK 0¶3LUNH 'H5DEEL (OLH]HU´ LQ %DU,ODQ $QQXDO ;9, +RURZLW] +D0DJLG DQG DQG /HRSROG =XQ] DQG &KDQRFK $OEHFN +D'HUDVKRW E¶
35( DQG WKH +LVWRU\ RI 5DEELQLF ,QWHUSUHWDWLRQ
FUHDWLRQ RI LWV QDPHVDNH WKH VHFRQG FHQWXU\ WDQQD 5 (OLH]HU EHQ +\UFDQRV WR ZKRP WKH LQLWLDO WZR FKDSWHUV RI WKH ZRUN DUH GHGLFDWHG DQG ZKR LQLWLDWHV WKH ZRUN¶V 6FULSWXUDO GLVFRXUVH LQ WKH WKLUG FKDSWHU 2Q WKH VWUHQJWK RI WKHVH DOOXVLRQV WKH PHGLHYDOV FRQFOXGHG WKDW WKH DXWKRU RI 3LUNH GH5DEEL (OLH]HU ZDV WKH 5 (OLH]HU RI WKH WLWOH 7KH\ DVVRFLDWHG 35(¶V FRPSOH[ OLWHUDU\ VW\OH ZLWK WKH OHJDO DQG H[HJHWLFDO SHUVRQDOLW\ RI 5 (OLH]HU ZKR FRXOG UHVROYH DQ\ KLVWRULFDO RU OLWHUDU\ GLVFUHSDQF\ E\ YLUWXH RI KLV DXWKRULDO SHUVRQDOLW\ &RQVHTXHQWO\ WKH\ FRXOG QRW DFNQRZOHGJH DQ\ WH[WXDO HYLGHQFH RI 35(¶V GLIIHUHQFH IURP WKH FODVVLFDO UDEELQLF FDQRQ DQG WKH\ FRQVLGHUHG WKH ZRUN¶V IHDWXUHV ZLWKLQ WKH FRQWH[W RI WUDGLWLRQDO DWWULEXWLRQ DORQH /HRSROG =XQ] ZDV WKH ILUVW WR FKDOOHQJH WKH WUDGLWLRQDO YLHZ RI 35(¶V DWWULEXWLRQ DQG DXWKRUVKLS LQ KLV 'LH JRWWHVGLHQVWOLFKHQ 9RUWUlJH GHU -XGHQ KLVWRULVFK HQWZLFNHOW DQG WKXV WR RSHQ XS WKH ZRUN WR PRGHUQ BBBBBBBBBBBB
HQWZLFNHOW +LOGHVKHLP *HRUJ 2OPV 9HUODJVEXFKKDQGOXQJ QRWHV G H DQG I UHSULQW RI LG )UDQNIXUW ð >%HUOLQ @ KHQFHIRUWK =XQ] DQG =XQ]$OEHFN QRWHV ,Q WKH =RKDU VHH *HUVKRP 6FKROHP 0DMRU 7UHQGV LQ -HZLVK 0\VWLFLVP 1HZ ³7KH &XVWRP RI /RRNLQJ DW WKH )LQJHUQDLOV DW WKH 2XWJRLQJ RI WKH 6DEEDWK´ +HEUHZ 8QLRQ &ROOHJH $QQXDO ;,,±;,,, QRWH DQG @ WKDW 1DWURQDL *DRQ FLWHV D WUDGLWLRQ IURP 35( WKDW LV UHFRUGHG LQ WKH 6HGHU RI 5 $PUDP $V UHFRUGHG LQ WKLV ZRUN 35( LV FLWHG E\ QDPH DV WKH VRXUFH IRU WKH WUDGLWLRQ RI ORRNLQJ DW RQHV ILQJHUQDLOV RQ WKH 6DEEDWK )LQHVLQJHU FLWHV 6HGHU 5DY $PUDP HG &RURQHO :DUVDZ D DQG 6HGHU $PUDP +DVKDOHP HG )UXPNLQ -HUXVDOHP 9ROXPH ,, D IRU WKLV WUDGLWLRQ 7UDGLWLRQDO VRXUFHV HYHQ GHULYH 5 (OLH]HU¶V DXWKRUVKLS IURP D JHPDWULD RI WKH ILUVW YHUVH FLWHG LQ WKLV FKDSWHU 6HH =XQ] QRWH E 6HH =XQ] DQG QRWH H DQG =XQ]$OEHFN DQG QRWH =XQ] VWDWHV RQ SDJH ³1DFK HLQHU DOWHQ 6LWWH WUDW GHU $XWRU EHLP %HJLQQ VHLQHU 9RUWUlJH LQ GHQ +LQWHUJUXQG XQG YHUEDUJ VLFK JOHLFKVDP KLQWHU GHQ EHUKPWHQ 1DPHQ GHV 5 (OLH]HU EHQ +\UFDQXV GHU GDV :HUN PLW GHP &DSLWHO LQWURGX]LUW XQG QDFK GLHVHP $QJDQJH KDW GDVVHOEH VHLQHQ 1DPHQ HUKDOWHQ´ 35( LV UHIHUUHG WR DV WKH ³%UDLWKD´ RU ³0LGUDVK´ RI 5DEEL (OLH]HU LQ WKH HDUOLHVW VRXUFHV EXW KDV QRW EHHQ DWWULEXWHG WR DQ\ RWKHU UDEELQLF DXWKRULW\ =XQ] DQG =XQ]$OEHFN
0LGUDVK DQG 0XOWLSOLFLW\
VFKRODUVKLS ,Q KLV VHPLQDO ZRUN =XQ] DUJXHG WKDW WKH ODQJXDJH XVH RI QHZHU WUDGLWLRQV DQG WKHPHV DQG KLVWRULFDO UHIHUHQFHV SODFH WKH RULJLQ RI WKH ZRUN LQ WKH HLJKWK FHQWXU\ DQG QRW WKH HUD RI WKH HDUO\ UDEELV $FFRUGLQJ WR =XQ] 35(¶V OLWHUDU\ TXDOLWLHV SRLQW WRZDUGV WKH JHRQLF HUD DFFRXQWLQJ IRU LWV IXQGDPHQWDO GLIIHUHQFHV ZLWK FODVVLFDO OLWHUDWXUH IDPLOLDULW\ ZLWK D ³ODWH´ IRUP RI +HEUHZ FLWDWLRQ RI ODWHU PLGUDVKLP DQG FRQIXVLRQ DERXW WKH HUD DQG LGHQWLW\ RI UDEELQLF ILJXUHV DV ZHOO DV KLVWRULFDO DQG OLWHUDU\ UHIHUHQFHV WR ,VODP DQG WKH ,VODPLF FRQTXHVW %DVHG RQ WKLV HYLGHQFH =XQ] LGHQWLILHG 35( ZLWK WKH OLWHUDU\ H[HJHWLFDO DQG KLVWRULFDO GHYHORSPHQWV RI HLJKWK FHQWXU\ 3DOHVWLQH ,Q WKH 9RUWUlJH =XQ] VRXJKW WR GHPRQVWUDWH WKH KLVWRULFDO DQG FXOWXUDO FRQWULEXWLRQV RI H[HJHWLFDO ZRUNV VXFK DV 35( WR UDEELQLF WKRXJKW 1HYHUWKHOHVV =XQ]¶V DWWDFN RQ 35(¶V DXWKRUVKLS ZDV DOVR DQ DWWDFN XSRQ WKH ZRUN DV DQ DXWKHQWLF H[SUHVVLRQ RI UDEELQLF FXOWXUH $FFRUGLQJ WR =XQ] 35(¶V UHODWLRQVKLS WR FODVVLFDO UDEELQLF OLWHUDWXUH GHSHQGV XSRQ WKH SVHXGHSLJUDSKLF JHRQLF DXWKRU¶V UHODWLRQVKLS WR HDUOLHU DQG FRQWHPSRUDU\ WUDGLWLRQV =XQ]¶V DJHQGD IRU ODWHU VFKRODUV WKHUHIRUH ZDV WR GHWHUPLQH WKH LQWHUSOD\ EHWZHHQ BBBBBBBBBBBB
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³,VKPDHOLWH´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µ,VKPDHOLWHV¶ UXOH LQGLFDWH WKDW WKH ZRUN ZDV FRPSRVHG LQ WKH EHJLQQLQJ RI WKH WK FHQWXU\ VHH =XQ]$OEHFN QRWH 2Q WKH RWKHU KDQG +HLQULFK *UDHW] DUJXHG LQ ³'LH P\VWLVFKH /LWHUDWXU LQ GHU JDRQlLVFKHQ (SRFKH´ 0RQDWVVFKULIW IU *HVFKLFKWH XQG :LVVHQVFKDIW GHV -XGHQWKXPV WKDW 35( FRXOG EH VLWXDWHG ZLWKLQ WKH VSDQ RI D IRXU \HDU SHULRG EHFDXVH WKH ZRUN UHIHUV WR WZR EURWKHUV ZKRVH UXOH SUHFLSLWDWHV WKH PHVVLDQLF HUD LQ FKDSWHU WKLUW\ =XQ] LGHQWLILHG 35( ZLWK 3DOHVWLQH GXH WR WKH DXWKRU¶V UHIHUHQFHV WR WKH FDOHQGDU DQG ULWXDOV RI 3DOHVWLQH DQG FLWDWLRQ RI UDEELQLF DXWKRULWLHV DOPRVW H[FOXVLYHO\ IURP 3DOHVWLQH VHH =XQ] DQG QRWH D DQG =XQ]$OEHFN DQG QRWH
35( DQG WKH +LVWRU\ RI 5DEELQLF ,QWHUSUHWDWLRQ
HGLWRUVKLS SVHXGHSLJUDSK\ RU DUWLILFH DQG WKH JHQXLQH ³UDEELQLF´ WUDGLWLRQV RU DUWLIDFWV WKDW WKH DXWKRU GUDZV IURP PDLQVWUHDP UDEELQLF FXOWXUH ,Q WKH ZDNH RI =XQ]¶V SLRQHHULQJ VWXG\ *HUDOG )ULHGODQGHU -RVHSK +HLQHPDQQ DQG -DFRE (OEDXP DPRQJ RWKHU HPLQHQW VFKRODUV FRXOG VD\ ZLWK FHUWDLQW\ WKDW 35( ZDV QRW D FODVVLFDO ZRUN RI UDEELQLF LQWHUSUHWDWLRQ 7KLV UHMHFWLRQ RI WKH WUDGLWLRQDO YLHZ GLG QRW SURYLGH DQ\ LQVLJKW LQWR WKH OLWHUDU\ FKDUDFWHU RI ZRUN QRU LQWR LWV UHODWLRQVKLS ZLWK UDEELQLF OLWHUDWXUH KRZHYHU 7KH LPSRUWDQFH RI 35( WR WKH KLVWRU\ RI UDEELQLF LQWHUSUHWDWLRQ ZDV QHYHU LQ GRXEW HYHQ LI RQH PLJKW DUJXH WKDW 35( ZDV D JHRQLF IRUJHU\ LW UHWDLQHG LWV SURPLQHQFH ZLWKLQ WKH UDEELQLF FDQRQ DV D UHOLF RI WKLV ODWHU HUD 1HYHUWKHOHVV WKH GLVFRYHU\ RI WKH JHRQLF FKDUDFWHU RI WKH ZRUN LQ IDFW UDLVHG PRUH TXHVWLRQV DERXW 35( DQG LWV HUD WKDQ LW FRXOG DQVZHU ZKDW FRXOG EH VDLG RI D ZRUN ZLWK VXFK D YDULHW\ RI OLWHUDU\ FXOWXUDO DQG KHUPHQHXWLF SHUVRQDH" =XQ]¶V ZRUN JDYH ULVH WR D GL]]\LQJ UDQJH RI RSLQLRQV DERXW 35( DQG EURXJKW WR WKH IRUH QHZ LVVXHV FRQFHUQLQJ WKH GHYHORSPHQW DQG QDWXUH RI UDEELQLF LQWHUSUHWDWLRQ WKDW FRQWLQXH WR LQIOXHQFH WKH VWXG\ RI PLGUDVK WR WKH SUHVHQW GD\ )LUVW DQG IRUHPRVW WKH GLYHUVLW\ RI OLWHUDU\ H[HJHWLFDO DQG FXOWXUDO H[SUHVVLRQ LQ 35( FRPSOLFDWHV WKH SLFWXUH RI LWV SODFH ZLWKLQ UDEELQLF OLWHUDWXUH 6WUXFWXUDOO\ VFKRODUV KDYH LGHQWLILHG 35(¶V LQWHUSUHWLYH VW\OH ZLWK WKH LQWURGXFWLRQ RU UHLQWURGXFWLRQ RI QDUUDWLYH LQWR %LEOLFDO H[HJHVLV 6LQFH BBBBBBBBBBBB
=XQ] VWDWHV >LQ =XQ] @ WKDW ³'LHVHQ GLH -XJHQG GHV %XFKHV GDUWKXHQGHQ 0HUNPDOHQ HQWVSULFKW 6WLO XQG *HLVW GHV 0LGUDVK GLH .QVWOLFKNHLW GHV 3ODQHV XQG GHU ,QKDOW YROONRPPHQ´ )ULHGODQGHU 3LUNH 6HH GLVFXVVLRQ EHORZ -RVHSK +HLQHPDQQ $JJDGRW Y¶7ROGRWHKHQ -HUXVDOHP .HWHU 6HH GLVFXVVLRQ EHORZ -DFRE (OEDXP ³5KHWRULF 0RWLI DQG 6XEMHFW 0DWWHU±WRZDUG DQ $QDO\VLV RI 1DUUDWLYH 7HFKQLTXH LQ 3LUNH GH5DEEL (OLH]HU´ +HEUHZ LQ -HUXVDOHP 6WXGLHV LQ -HZLVK )RONORUH 6HH GLVFXVVLRQ EHORZ 7KH GHSWK RI =XQ]¶V LPSDFW XSRQ 35( VFKRODUVKLS LV LQGLVSXWDEOH )HZ TXHVWLRQV KDYH EHHQ UDLVHG LQ 35( VFKRODUVKLS WKDW FDQQRW EH WUDFHG EDFN WR WKH VRPHWLPHV FU\SWLF FRPPHQWV RI =XQ] $FFRUGLQJO\ , HQYLVLRQ WKH SUHVHQW ZRUN DV DQ DWWHPSW WR IRUPXODWH QHZ TXHVWLRQV DERXW WKH FKDUDFWHU RI WKLV ZRUN DV D UHVSRQVH WR =XQ] DQG WKRVH ZKR IROORZHG KLV GLUHFWLRQ 6HH IRU H[DPSOH 5LYND .HUQ 8OPHU¶V UHYLHZ RI 'DJPDU %ǂUQHU.OHLQ¶V 3LUNH GH5DEEL (OLH]HU 1DFK GHU (GLWLRQ 9HQHGLJ XQWHU %HUFNVLFKWLJXQJ GHU (GLWLRQ :DUVFKDX %HUOLQ GH *UX\WHU LQ 7KH -RXUQDO RI WKH $PHULFDQ 2ULHQWDO 6RFLHW\ 7KLV LGHQWLILFDWLRQ RI 35( ZLWK QDUUDWLYH LV HYLGHQW LQ =XQ]¶V VWDWHPHQW >LQ =XQ] @ WKDW 35( LV GLYLGHG EHWZHHQ GLVFXVVLRQV RI HVRWHULF ZLVGRP UHVWDWHPHQW RI 6FULSWXUDO HYHQWV DQG FRQFHUQ ZLWK WKH ULWXDO OLIH RI ,VUDHO ³8QVHU +DJDGLVW JLHEW VLFK DXI 9HUDQODVVXQJ GHV SHQWDWHXFKLVFKHQ 0RPHQWV DXVJHGHKQWHQ %HWUDFKWXQJHQ EHU PDQFKHUOHL *HJHQVWlQGH KLQ
0LGUDVK DQG 0XOWLSOLFLW\
=XQ] VFKRODUV KDYH QRWHG WKDW 35( RUJDQL]HV WUDGLWLRQV DQG LQWHUSUHWDWLRQV DFFRUGLQJ WR WKH RUGHU RI 6FULSWXUDO QDUUDWLYH LQ WKH 7RUDK 7KLV OLWHUDU\ IHDWXUH LV FRPPRQO\ DWWULEXWHG WR WKH LQIOXHQFH RI WKH OLWHUDWXUH RI WKH +HOOHQLVWLF RU ,VODPLF SHULRG DQG WKH WHUP ³5HZULWWHQ %LEOH´ $W WKH VDPH WLPH VFKRODUV VXFK DV -RVHSK +HLQHPDQQ RU -DFRE (OEDXP KDYH QRWHG WKDW WKH ZRUN¶V QDUUDWLYH IHDWXUHV DUH IUHTXHQWO\ LQWHUUXSWHG E\ QRQQDUUDWLYH ³GLJUHVVLRQV´ 2WKHU OLWHUDU\ IHDWXUHV VXFK DV WKH HQXPHUDWLRQ RI $EUDKDP¶V WULDOV RU OHQJWK\ GLVFXVVLRQV DERXW WKH P\VWHULHV RI WKH FDOHQGDU VXJJHVW FRPSHWLQJ EOXHSULQWV IRU WKH OLWHUDU\ RUJDQL]DWLRQ RI WKH ZRUN 0RUHRYHU 35(¶V DSSDUHQW FLWDWLRQ RI DQG DOOXVLRQ WR D MXPEOH RI UDEELQLF DQG QRQ UDEELQLF WUDGLWLRQV KDYH IXUWKHU FRPSOLFDWHG WKH GLVFXVVLRQ RI WKH ZRUN¶V RULJLQV VWUXFWXUH DQG LGHQWLW\ $V PXFK DV VFKRODUV KDYH VRXJKW WR UHSUHVHQW 35( DV D XQLILHG QDUUDWLYH FRPSRVLWLRQ WKH\ KDYH DOVR HQYLVLRQHG WKH ZRUN DV DQ DQWKRORJ\ RI WUDGLWLRQV GUDZQ IURP RU DVVRFLDWHG ZLWK VRXUFHV DV GLYHUVH DV 7DUJXP 3VHXGR-RQDWKDQ WKH SL\\XWLP KHNKDORW OLWHUDWXUH ,VODPLF BBBBBBBBBBBB
GLH WKHLOV JHKHLPH :HLVKHLW WKHLOV ELEOLVFKH %HJHEHQKHLWHQ YRUQHKPOLFK DEHU GDV UHOLJL|VH /HEHQ GHU -XGHQ EHWUHIIHQ «´ =XQ] DQG =XQ]$OEHFN /RXLV *LQ]EHUJ RQ WKH RWKHU KDQG >LQ 2Q -HZLVK /DZ DQG /RUH 3KLODGHOSKLD -HZLVK 3XEOLFDWLRQ 6RFLHW\ @ DWWULEXWHV WKH DSSHDUDQFH RI QDUUDWLYH LQ 35( WR WKH LQIOXHQFH RI ³$UDELF FROOHFWLRQV RI %LEOLFDO OHJHQGV´ ZKLFK LV GHULYHG IURP KLV UHDGLQJ RI $EUDKDP *HLJHU >LQ :DV KDW 0RKDPPHG DXV GHP -XGHQWKXPH DXIJHQRPPHQ" 3UHXVVLVFKHQ 5KHLQXQLYHUVLWlW %RQQ ) %DDGHQ FXUUHQWO\ DYDLODEOH LQ (QJOLVK WUDQVODWLRQ DV -XGDLVP DQG ,VODP 1HZ
35( DQG WKH +LVWRU\ RI 5DEELQLF ,QWHUSUHWDWLRQ
WDIVLU 6HFRQG 7HPSOH DSRFU\SKD DQG HYHQ HDUO\ &KULVWLDQ OLWHUDWXUH 7KH DQRPDORXV FKDUDFWHU RI WUDGLWLRQV DQG VWUXFWXUH DGRSWHG IURP UDEELQLF DQG QRQUDEELQLF OLWHUDWXUH LV VHHPLQJO\ DW RGGV ZLWK WKH ZRUN¶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³DXWKHQWLF´ UDEELQLF PLGUDVK 35(¶V DSSDUHQW PL[WXUH RI OLWHUDU\ VW\OHV DQG WUDGLWLRQV SURYLGHV D BBBBBBBBBBBB
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³5KHWRULF´ %DUWK ³,V (YHU\´ QRWH DQG )ULHGODQGHU 3LUNH [[ )ULHGODQGHU 3LUNH [[L DQG (OEDXP ³5KHWRULF´ +HLQHPDQQ $JJDGRW )ULHGODQGHU 3LUNH [[LL DQG RWKHUV 6HH P\ GLVFXVVLRQ RI SVHXGHSLJUDSK\ DQG 6HFRQG 7HPSOH OLWHUDWXUH EHORZ 7KH RULJLQDO DUJXPHQW IRU WKH LQIOXHQFH RI &KULVWLDQ OLWHUDWXUH ZDV UDLVHG E\ ,VDGRUH /pYL >LQ ³ҾOpPHQWV &KUpWLHQV GDQV OH 3LUNp 5DEEL (OLp]HU´ 5HYXH GHV ͂WXGHV -XLYHV @ 7KLV FRQWHQWLRQ KDV QRW IRXQG PXFK VXSSRUW DPRQJ ODWHU VFKRODUV GXH WR WKH ZRUN¶V DSSDUHQW ³,VODPLF´ EDFNJURXQG )ULHGODQGHU DVVHUWV >LQ 3LUNH OLLL@ WKDW ³YHU\ PDQ\ LQWHUHVWLQJ SDUDOOHOV WR VRPH RI WKH WHDFKLQJ LQ RXU µ&KDSWHUV¶ DUH WR EH IRXQG LQ WKH ZULWLQJ RI WKH &KXUFK )DWKHUV´ EXW KH GRHV QRW HODERUDWH WRR PXFK DQG IDYRUV WKH UHODWLRQVKLS RI 35( WR 6HFRQG 7HPSOH OLWHUDWXUH 1HYHUWKHOHVV WKLV RSLQLRQ KDV UHFHQWO\ EHHQ UHYLYHG E\ 5DFKHO $GHOPDQ >LQ 3RHWLFV RI 6SDFH DQG 7LPH LQ WKH 0LGUDVKLF 1DUUDWLYH ± 7KH &DVH RI 3LUNH GH5DEEL (OLH]HU +HEUHZ 8QLYHUVLW\ 'RFWRUDO 7KHVLV DQG LQ KHU DQDO\VLV RI FKDSWHU WHQ II@ WKDW 35( DFNQRZOHGJHV DQG SROHPLFL]HV DJDLQVW &KULVWLDQ WUDGLWLRQV EXW VKH DOVR IDYRUV WKH UHODWLRQVKLS RI 35( WR 6HFRQG 7HPSOH OLWHUDWXUH RYHU LWV UHODWLRQVKLS WR HDUO\ &KULVWLDQLW\ 1HLWKHU VFKRODU DFNQRZOHGJHV /pYL 7KH LQIOXHQFH RI /pYL¶V ZRUN KRZHYHU PD\ VWLOO EH GLVFHUQHG LQ )UHQFK VFKRODUVKLS 6HH IRU H[DPSOH
0LGUDVK DQG 0XOWLSOLFLW\
EDVLV IRU -DFRE (OEDXP WR FKDUDFWHUL]H 35( DV D ZRUN ZKLFK LV FDXJKW EHWZHHQ WZR GRPLQDQW PRGHV RI GLVFRXUVH DQ ³HGLWRULDO´ UHRUJDQL]DWLRQ RI UHFHLYHG UDEELQLF WUDGLWLRQV DQG D FUHDWLYH ³UHZULWLQJ´ RI VRPH WUDGLWLRQV DFFRUGLQJ WR WKH VKDSH RI 6FULSWXUDO QDUUDWLYH 6LQFH 35( GRHV QRW FRQIRUP WR SUHFRQFHLYHG QRWLRQV RI ZKDW FRQVWLWXWHV D ³PLGUDVK´ QRU GRHV LW DUWLFXODWH D FRQVLVWHQW DOWHUQDWLYH VXFK DV QDUUDWLYH VFKRODUVKLS KDV DFFHSWHG RQO\ WKDW GLIIHUHQW JHQUHV FXOWXUHV DQG PRGHV RI GLVFRXUVH FRPSHWH IRU WKH ZRUN¶V LGHQWLW\ &RQVHTXHQWO\ WKH UHDO TXHVWLRQ SRVHG E\ 35( UHVLGHV LQ LWV DELOLW\ WR DUWLFXODWH DQ\ RI WKH OLWHUDU\ H[HJHWLFDO DQG H[SRVLWRU\ TXDOLWLHV RI PLGUDVK DV ZH FDQ XQGHUVWDQG WKH PHDQLQJ RI WKLV WHUP $OWKRXJK VFKRODUV KDYH QRPLQDOO\ IRFXVHG XSRQ 35(¶V RZQ OLWHUDU\ TXDOLWLHV WKH FKDUDFWHUL]DWLRQ RI 35( DV D PpODQJH RI WUDGLWLRQV DOVR UHIOHFWV WKH FRQWUDGLFWRU\ PL[WXUH RI OLWHUDU\ SDUDGLJPV WKDW VFKRODUV KDYH DVVLJQHG WR RWKHU ZRUNV RI HDUO\ JHRQLF LQWHUSUHWDWLRQ 7KH IHZ LQWHUSUHWLYH ZRUNV DVVLJQHG WR WKDW SHULRG KDYH EHHQ VDLG WR SRVVHVV DQ ³HGLWRULDOLVP´ WKDW DUWLFXODWHV ³RVVLILHG´ UDEELQLF WUDGLWLRQV W\SLFDOO\ LQ WKH YRLFH RI ³LPSRUWHG´ OLWHUDU\ IRUPV 'XH WR LWV LPPHUVLRQ LQ ³IRUHLJQ´ FXOWXUHV WKH HDUO\ JHRQLF ZRUN UHKHDUVHV UHFHLYHG UDEELQLF DQG QRQUDEELQLF WUDGLWLRQV DQG OLWHUDU\ H[SUHVVLRQV WRJHWKHU ,Q WKH YLHZ RI PDQ\ VFKRODUV WKH JHRQLF HUD LV D WLPH LQ ZKLFK WKH OLWHUDU\ DQG KHUPHQHXWLF SDUDGLJPV RI PLGUDVK EHJLQ WR JLYH ZD\ BBBBBBBBBBBB
(OEDXP ³2Q WKH &KDUDFWHU´ 35( PD\ EH LGHQWLILHG ZLWK WKH HDUO\ JHRQLF VDYRUDLF RU HYHQ ³VWDPPDLWLF´ HUD RI UDEELQLF LQWHUSUHWDWLRQ 1RQHWKHOHVV VLQFH WKHUH KDYH EHHQ QR DXWKRULWDWLYH VWXGLHV WKDW KDYH FODULILHG WKH GLIIHUHUHQFH LQ DQG DPRQJ DJJDGLF SDUDGLJPV RI WKLV HUD WKH SUHVHQW VWXG\ ZLOO VSHDN RQO\ RI WKH ³HDUO\ JHRQLF´ HUD 6WDWHPHQWV IURP WKH QLQWK FHQWXU\ ZRUN 6HGHU 7DQQDLP YH$PRUDLP DQG WKH ODWH WHQWK FHQWXU\ JHRQLF HSLVWOH ,JJHUHW 5DY 6KHULUD *DRQ >LQ % 0 /HZLQ ,JJHUHW 5DY 6KHULUD *DRQ 0DNRU -HUXVDOHP DQG . .DKDQ 6HGHU 7DQQDLP YH$PRUDLP +DPEXUJ @ VXJJHVW DQ RVVLILFDWLRQ RI UDEELQLF OLWHUDU\ FUHDWLYLW\ GXULQJ WKLV SHULRG ± QDPHO\ LQ WKH VWDWHPHQW WKDW WKH HQG RI WKH DPRUDLF HUD PDUNV WKH FRPSOHWLRQ RI ʤʠʸʥʤ KRZHYHU WKLV ZRUG LV XQGHUVWRRG 7KLV VWDWHPHQW LV LQWHUSUHWHG DV D UHIHUHQFH WR WKH FRPSOHWLRQ RI WKH %DE\ORQLDQ 7DOPXG LQ SDUWLFXODU DQG GHPDQGV D GLVFXVVLRQ LQ LWV RZQ ULJKW 7KH TXHVWLRQ RI ³RVVLILFDWLRQ´ LV FRQWUDYHUVLDO DV %URG\ DFNQRZOHGJHV LQ 7KH *HRQLP RI %DE\ORQLD DQG WKH 6KDSLQJ RI 0HGLHYDO -HZLVK &XOWXUH 1HZ +DYHQ LQ $JJDGRW @ DQG -RVHSK 'DQ >LQ +D6LSXU +D,YUL %H
35( DQG WKH +LVWRU\ RI 5DEELQLF ,QWHUSUHWDWLRQ
WR PHGLHYDO H[HJHWLFDO QDUUDWLYH DQG DQWKRORJLFDO UHSUHVHQWDWLRQV RI 6FULSWXUDO DQG UDEELQLF WUDGLWLRQV 5LQD 'URU\ DUJXHG WKDW HDUO\ JHRQLF OLWHUDWXUH LV FKDUDFWHUL]HG E\ DQ ³DEVROXWH DFFHSWDQFH RI WKH OLWHUDU\ SDUDGLJP FUHDWHG LQ SUHYLRXV JHQHUDWLRQV´ ZKLFK RQO\ GLIIHUV IURP FODVVLFDO PLGUDVK LQ KDYLQJ IDOOHQ XQGHU WKH LQIOXHQFH RI QRQUDEELQLF LGHDV $FFRUGLQJO\ VFKRODUV KDYH DUJXHG WKDW HDUO\ JHRQLF ZRUNV H[HPSOLI\ WKLV ³GDUN DJH´ RI H[HJHWLFDO FUHDWLYLW\ ZKLFK EHJDQ ZLWK WKH µFORVLQJ¶ RI WKH %DE\ORQLDQ 7DOPXG DQG ILUVW ,VODPLF FRQTXHVWV VL[WK±VHYHQWK FHQWXULHV &( DQG HQGHG ZLWK WKH LQQRYDWLRQV RI 6D¶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³IORDWLQJ´ RU ³UHSUHVVHG´ BBBBBBBBBBBB
(OEDXP ³2Q WKH &KDUDFWHU´ 'DQ +D6LSXU DQG (OEDXP ³)URP 6HUPRQ WR 6WRU\´ 3URRIWH[WV (OL LQ 7KH *HRQLP RI %DE\ORQLD [L[@ WKDW ³NQRZOHGJH RI HYHQWV LQ WKDW SRUWLRQ RI WKH *HRQLF SHULRG ZKLFK SUHFHGHG WKH 0XVOLP FRQTXHVW LV YLUWXDOO\ QLO VR WKDW WKH KLVWRU\ RI WKH *HRQLF SHULRG PLJKW EH VDLG WR EHJLQ DW WKLV SRLQW´ 6HH %DURQ $ 6RFLDO DQG 5HOLJLRXV +LVWRU\ RI WKH -HZV 9ROXPH ,,, DQG 9ROXPH 9, 6HH EHORZ DQG %URG\ 7KH *HRQLP RI %DE\ORQLD 5LQD 'URU\ LQ KHU UHFHQW ZRUN LQ 0RGHOV DQG &RQWDFWV ODEHOV WKH H[SRVLWLRQV RQ 6FULSWXUH RI WKH SRVW7DOPXGLF DQG 3UH6D¶DG\D *DRQ (UD DV ³RVVLILHG´ DQG EHORQJLQJ WR D SHULRG RI ³VWDJQDWLRQ´ 6HH DOVR (OEDXP ³2Q WKH &KDUDFWHU´ DQG %URG\ 7KH *HRQLP RI %DE\ORQLD *LQ]EHUJ 2Q -HZLVK /DZ DQG /RUH )ULHGODQGHU 3LUNH [[LL DQG [Y[YL $OEHFN¶V FRPPHQWV LQ =XQ]$OEHFN DQG 'DQ +D6LSXU
0LGUDVK DQG 0XOWLSOLFLW\
QRQUDEELQLF WUDGLWLRQV 6FKRODUV DUJXH WKDW 35( DQG RWKHU JHRQLF ZRUNV DUH LQVWUXFWLYH FRQFHUQLQJ WKH XQVXFFHVVIXO UHFRQFLOLDWLRQ RI JHRQLF LQWHUSUHWLYH OLWHUDWXUH ZLWK FODVVLFDO UDEELQLF GLVFRXUVH 1HYHUWKHOHVV WKHLU GLVFXVVLRQV RI WKH HDUO\ JHRQLF HUD WHOO XV OLWWOH DERXW KRZ WKHVH ZRUNV GHYHORS WKH SDUWLFXODU FKDUDFWHULVWLFV RI PLGUDVK 7KH VFKRODUO\ FRQVHQVXV LV WKDW 35( LV DQ HVVHQWLDO OLQN LQ UDEELQLF LQWHUSUHWLYH KLVWRU\ ± DQG LW LV WUXH WKDW 35(¶V H[SRVLWRU\ YRLFH GRHV SURYLGH WKLV QHFHVVDU\ OLQN EHWZHHQ WKH FODVVLFDO DQG PHGLHYDO SHULRGV 1HYHUWKHOHVV WKH ZRUN¶V LPSRUWDQFH LV GLPLQLVKHG E\ WKH XQFHUWDLQW\ DERXW WKH FKDUDFWHU RI LWV UHODWLRQVKLS WR FODVVLFDO PLGUDVK DQG ODWHU %LEOLFDO LQWHUSUHWDWLRQ SULPDULO\ EHFDXVH VFKRODUV KDYH UHOLHG XSRQ RYHUEHDULQJ DXWKRULDO KLVWRULFDO DQG QRQ UDEELQLF XQGHUVWDQGLQJV RI WKH ZRUN 7KH WHUPV WKDW KDYH FRPH WR EH DVVRFLDWHG ZLWK 35( ³5HZULWWHQ %LEOH´ ³5DEELQLF 3VHXGHSLJUDSKD´ RU HYHQ ³/DWH 0LGUDVK´ LQGLFDWH VFKRODUV¶ DWWHPSWV WR VTXHH]H 35( LQWR D VSDFH EHWZHHQ OLWHUDU\ RU LQWHUSUHWLYH JHQUHV ZKHWKHU LW EH GXH WR D ULJLG QRWLRQ RI FODVVLFDO IRUP RI LQWHUSUHWDWLRQ RU D VWHUHRW\SH RI D ³IRUHLJQ´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
7KH LGHD RI ³IORDWLQJ´ WUDGLWLRQV LV IRXQG LQ )ULHGODQGHU 3LUNH OLL 6HH DOVR +HLQHPDQQ $JJDGRW DQG 'DQ +D6LSXU $GHOPDQ VSHDNV RI D ³WH[WXDO VXEFRQVFLRXV´ IRU WKH %LEOH LQ ZKLFK 6HFRQG 7HPSOH DQG $QFLHQW 1HDU (DVWHUQ WUDGLWLRQV DUH ³UHSUHVVHG´ LQ FODVVLFDO UDEELQLF OLWHUDWXUH EXW ³UHWXUQ´ LQ 35( GXH WR WKH DXWKRU¶V DWWHQWLRQ WR WKH %LEOLFDO WH[W LWVHOI ± DQG QRW QHFHVVDULO\ GXH WR DQ\ GLUHFW LQIOXHQFH RI WKHVH WUDGLWLRQV 6KH VWDWHV LQ RQH WHOOLQJ SDVVDJH >LQ 3RHWLFV RI 7LPH DQG 6SDFH @ ³:KDW ZH ILQG LQ WKH PLGUDVKLF WUDGLWLRQ LV D µUHWXUQ RI WKH UHSUHVVHG¶ WR ERUURZ WKH )UHXGLDQ SKUDVH ZKHUHLQ WKH P\WKLF XQLYHUVH LV UHYLYHG ZKLOH LWV SDJDQ FRQWHQW LV VLPXOWDQHRXVO\ QHXWUDOL]HG 2QH QHHG QRW DVVXPH WKDW WKHUH LV D GLUHFW FRQWLQXLW\ EHWZHHQ WKHVH DQFLHQW QHDUHDVWHUQ OHJHQGV DQG WKH PXFK ODWHU PLGUDVKLF DSSURSULDWLRQ RI WKLV PDWHULDO ,W FRXOG EH DV /RHZHQVWDPP VXJJHVWV WKDW WKH 5DEELV DFWXDOO\ UHFRQVWUXFW DQG UHYLYH WKH P\WKLF PDWHULDO IURP WKHLU FORVH UHDGLQJ RI WKH %LEOH LWVHOI´ 6HH DOVR 3RHWLFV RI 7LPH DQG 6SDFH DQG 6HH (OEDXP ³5KHWRULF´ DQG DQG ³2Q WKH &KDUDFWHU´ (OEDXP DUJXHV ³LQ WKH DFW RI FLWDWLRQ >RI 6FULSWXUH LQ 35(@ WKHUH LV QRWKLQJ SURYHQ RWKHU WKDQ D ZLOO WR HVWDEOLVK WKH IRXQGDWLRQV RI SORW GHVFULSWLRQ RU OLQJXLVWLF LOOXVWUDWLRQV´ ZKLFK XQGHUVFRUHV D FRVPHWLF XVH RI 6FULSWXUDO YHUVHV DQG WKXV QR µJHQXLQH¶ H[HJHVLV DW DOO 6HH P\ GLVFXVVLRQ EHORZ
35( DQG WKH +LVWRU\ RI 5DEELQLF ,QWHUSUHWDWLRQ
LVVXHV ZLWKLQ WKLV ZRUN DV ZHOO DV KRZ WKLV H[DPSOH RI HDUO\ JHRQLF LQWHUSUHWDWLRQ UHODWHV WR WKH FODVVLFDO FDQRQ LQ IRUP H[SUHVVLRQ DQG H[HJHWLFDO PHWKRG 35(¶V LPSRUWDQFH WR WKH UDEELQLF FDQRQ XQGHUVFRUHV WKDW LW LV QRW RI SHULSKHUDO RU HVRWHULF LQWHUHVW 2Q WKH FRQWUDU\ LW LV FHQWUDO WR RXU KLVWRULFDO XQGHUVWDQGLQJ RI LQWHUSUHWLYH DQG FXOWXUDO LGHQWLWLHV LQ UDEELQLF OLWHUDWXUH ,I VFKRODUV FRQVLGHU 35( WR EH SUREOHPDWLF LW LV EHFDXVH WKH ZRUN VLWV XQFRPIRUWDEO\ EHWZHHQ WKH LGHQWLWLHV WKDW WKH\ KDYH DVVLJQHG WR HDUOLHU DQG ODWHU HUDV RI LQWHUSUHWDWLRQ 7KHVH VFKRODUV¶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¶V UHODWLRQVKLS WR UDEELQLF OLWHUDWXUH WKH SUHVHQW GLVFXVVLRQ IRFXVHV XSRQ WKDW ZRUN¶V HQJDJHPHQW ZLWK 6FULSWXUDO ODQJXDJH UDEELQLF GLVFRXUVH DQG LQWHUSUHWLYH LQQRYDWLRQ ,Q WKH HIIRUW WR FRUUHODWH 35( ZLWK WKH UDEELQLF WUDGLWLRQ WKH PXOWLSOH SUREOHPV RI DXWKRUVKLS DXWKRULW\ DQG FXOWXUDO LQIOXHQFH FDQ EH UHVROYHG LI ZH IRFXV XSRQ WKH ZRUN¶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¶V LGHQWLW\ ZLWKLQ WKH UDEELQLF FDQRQ DV ZHOO DV RXU GHILQLWLRQV RI ZKDW FRQVWLWXWHV PLGUDVK GXULQJ WKH JHRQLF HUD 7KLV VWXG\¶V PHWKRG RI LQYHVWLJDWLRQ LQWR WKH LGHQWLW\ RI PLGUDVK DQG 35( ZLOO GHYHORS XQGHU WKH UXEULF ³WUDGLWLRQ EXLOGLQJ´ ZKLFK HPERGLHV P\ RYHUDUFKLQJ DSSURDFK WR WKH PXOWLSOLFLW\ RI PLGUDVKLF GLVFRXUVH ,Q WKH SUHVHQW VWXG\ ³WUDGLWLRQ EXLOGLQJ´ UHSUHVHQWV WKH SURFHVV E\ ZKLFK WKH H[SRVLWRUV SDUWLFLSDWH LQ WKH GLVFRXUVH RI WKH UDEELQLF WUDGLWLRQ DQG ZRUN ZLWKLQ WUDGLWLRQDO DQG 6FULSWXUDO ODQJXDJH LQ RUGHU WR HQJDJH WUDQVPLW DQG
0LGUDVK DQG 0XOWLSOLFLW\
UHIRUPXODWH DQ DSSOLHG YLVLRQ RI %LEOLFDO PHDQLQJ ,Q PLGUDVKLF WUDGLWLRQ EXLOGLQJ WKH DUWLFXODWLRQ DQG UHDUWLFXODWLRQ RI WKH YRLFH DQG ODQJXDJH RI WKH WUDGLWLRQ EXLOGV XSRQ HDUOLHU ³LQQHUFDQRQLFDO´ UDEELQLF XQGHUVWDQGLQJV RI 6FULSWXUH 7KH UHJHQHUDWLRQ RI 6FULSWXUDO PHDQLQJ WKDW LV IRXQG LQ WKH DFW RI LQWHUSUHWDWLRQ LV QXUWXUHG ZLWKLQ H[HJHWLFDO P\WKLF DQG WKHPDWLF FRQQHFWLRQV DQG UHFRQILJXUDWLRQV RI 6FULSWXUH 7UDGLWLRQ EXLOGLQJ LV WKLV DXWKRU¶V DWWHPSW WR XQGHUVWDQG SDUWLFXODU UDEELQLF WUDGLWLRQV RI LQWHUSUHWDWLRQ LQ WKHLU UHODWLRQVKLS WR 6FULSWXUH UHFHLYHG WUDGLWLRQV DQG WKH SKHQRPHQDO ZRUOG DV D VLQJOH XQLW RI H[SUHVVLRQ DQG WR FRPSUHKHQG KRZ WKLV YDULHW\ RI FRQFHSWLRQV GUDZQ IURP WKH UDEELQLF WUDGLWLRQ DUH H[SUHVVHG ZLWKLQ WKH FRQWRXUV RI 6FULSWXUDO ODQJXDJH 35(¶V UROH LQ WKLV SURFHVV RI WUDGLWLRQ EXLOGLQJ WKHUHIRUH SURYLGHV WKH EDVLV IRU WKH GLVFXVVLRQ RI LWV UHODWLRQVKLS WR FODVVLFDO UDEELQLF GLVFRXUVH DV ZHOO DV LWV H[HJHWLFDO FRQQHFWLRQV ZLWKLQ WKH KLVWRU\ RI UDEELQLF OLWHUDWXUH ,Q WKH SUHVHQW VWXG\ ZH ZLOO UHDVVHVV WKH SUHVXPHG FRQIOLFW LQ 35( EHWZHHQ WKH ZRUN¶V ³RULJLQDO´ DQG ³GHULYDWLYH´ FKDUDFWHULVWLFV E\ HPSOR\LQJ RXU FKRVHQ PHWKRG ³WUDGLWLRQ EXLOGLQJ´ LQ DQ DQDO\VLV RI WKH PRVW FRPSHOOLQJ HYLGHQFH RI WKH ZRUN¶V UHODWLRQVKLS WR FODVVLFDO UDEELQLF OLWHUDWXUH 7KH H[DJJHUDWLRQ RI OLWHUDU\ ³LQIOXHQFHV´ RU ³DXWKRULDO´ PRGLILFDWLRQV LV WKH SULPDU\ FDXVH IRU WKH SUHVHQW ODFN RI FODULW\ DERXW WKH ZRUN¶V OLWHUDU\ VWUXFWXUH DQG H[SRVLWRU\ WHFKQLTXH 'XH WR LPSUHFLVLRQ LQ WKH XQGHUVWDQGLQJ RI 35(¶V UHODWLRQVKLS ZLWK UDEELQLF DQG QRQUDEELQLF ZRUNV D VRUW RI ³SDUDOOHORPDQLD´ KDV GHYHORSHG )XUWKHUPRUH VFKRODUV KDYH PDGH XVH RI DPELJXRXV FULWHULD ZKHQ FRPSDULQJ 35(¶V WUDGLWLRQV ODQJXDJH DQG P\WK ZLWK UHODWHG OLWHUDWXUHV 7KH SUHVHQW VWXG\ ZLOO DWWHPSW WR UHILQH WKH 35(¶V UHODWLRQVKLS ZLWK WKH UDEELQLF WUDGLWLRQ WKURXJK LQVWDQFHV LQ ZKLFK WKH FRUH 6FULSWXUDO SDVVDJH RU UHFHLYHG WUDGLWLRQ FDQ EH GHPRQVWUDWHG LQ FRQFUHWH WHUPV &RQJUXHQFH LQ ODQJXDJH XVH RI VLPLODU 6FULSWXUDO SURRIWH[WV DQG WKH DWWHPSW WR SURYLGH VHYHUDO RWKHU RYHUODSSLQJ SRLQWV RI VLPLODULW\ ZLOO EH FRQVLGHUHG EHIRUH QDUUDWLYH LPDJHU\ RU RWKHU OHVV FRQFUHWH IDFWRUV FDQ EH LQWURGXFHG WKLV SULQFLSOH VKRXOG EH DSSOLHG QRW RQO\ LQ UHIHUHQFH WR QRQUDEELQLF ZRUNV ZKLFK DUH QRW WKH SULPDU\ FRQFHUQ RI WKLV VWXG\ EXW HYHQ LQ 35(¶V UHODWLRQVKLS WR RWKHU UDEELQLF ZRUNV 7KH UHDVVHVVPHQW EHORZ DVSLUHV WR WKH JUHDWHVW SUHFLVLRQ LQ LWV DQDO\VLV DQG UHOLHV JUHDWO\ XSRQ WKH GHOLFDF\ ZLWK ZKLFK WKLV FRPSDUDWLYH H[HUFLVH ZLOO EH XQGHUWDNHQ &DXWLRQ LV LQ RUGHU KHUH JLYHQ WKDW QRW DOO FDWHJRULHV RI VLPLODULW\ EHWZHHQ UHVSHFWLYH WUDGLWLRQV WKDW DUH UHODWHG WR BBBBBBBBBBBB
7KLV XVHIXO WHUP RULJLQDWHV LQ 6DPXHO 6DQGPHO¶V DUWLFOH ³3DUDOOHORPDQLD´ LQ -RXUQDO RI %LEOLFDO /LWHUDWXUH
35( DQG WKH +LVWRU\ RI 5DEELQLF ,QWHUSUHWDWLRQ
WKH +HEUHZ 6FULSWXUHV QHFHVVDULO\ LQGLFDWH WKH RULJLQ RU HYHQ UHODWLRQ RI D ZRUN RU WUDGLWLRQ 6LPLODUO\ WKH SUHFLVLRQ RI WKH SUHVHQW DQDO\VLV GHSHQGV XSRQ WKH GHSWK DQG DFFXUDF\ RI WKH PDQXVFULSW WUDGLWLRQ WKDW LV DYDLODEOH WR VFKRODUVKLS 35( VFKRODUVKLS IURP =XQ] WR WKH SUHVHQW KDV VXIIHUHG IURP WKH DEVHQFH RI D PDWXUH VFKRODUO\ HGLWLRQ WR GHOLQHDWH 35(¶V PDQXVFULSW WUDGLWLRQ 6HYHUDO DWWHPSWV WR FROOHFW DQG UHSUHVHQW 35(¶V WH[WXDO WUDGLWLRQ KDYH VXIIHUHG IURP RPLVVLRQV DQG SLRXV HPHQGDWLRQV DV LQ WKH SRSXODU YHUVLRQ RI 5 'DYLG /XULD RU XQVFLHQWLILF XVH RI IHZ DQG XQLGHQWLILDEOH PDQXVFULSWV VXFK DV LQ WKH YHUVLRQV RI +RURZLW] +LJJHU DQG WKH (QJOLVK WUDQVODWLRQ RI )ULHGODQGHU 7KH LQFRPSOHWH EXW LQYDOXDEOH HGLWLRQ RI =HY *RWWOLHE KDV EHHQ LGHQWLILHG DV WKH EDVLV IRU IXUWKHU UHVHDUFK LQWR WKH WH[WXDO WUDGLWLRQ RI 35( /HZLV %DUWK¶V FROOHFWLRQ RI 35( PDQXVFULSWV DV ZHOO DV 5DFKHO $GHOPDQ DQG (OLH]HU 7UHLWHO¶V UHFHQW ZRUN ZLWK SDUWLFXODU FKDSWHUV PD\ DOVR SURYLGH WKH IRXQGDWLRQ IRU IXWXUH WH[WXDO UHSUHVHQWDWLRQV RI WKH ZRUN 1HYHUWKHOHVV LQ WKH FXUUHQW DEVHQFH RI D PDWXUH UHSUHVHQWDWLRQ RI WKH WUDGLWLRQ WKH SUHVHQW VWXG\ ZLOO XWLOL]H WKH WH[WXDO WUDGLWLRQ RI *RWWOLHE SUHVHQWO\ LGHQWLILHG DV -76 /HKPDQ DV D EDVH PDQXVFULSW WR FRPSDUH ZLWK WKH YDULDWLRQV RI 35( WH[WXDO WUDGLWLRQV DWWHVWHG LQ D YDULHW\ RI RWKHU PDQXVFULSWV $OWKRXJK WKHVH PDQXVFULSWV FDQ LQIRUP RXU UHVHDUFK DERXW 35(¶V OLWHUDU\ VWUXFWXUH DQG H[SUHVVLRQ DV D WH[WXDO WUDGLWLRQ WKH HYLGHQFH DYDLODEOH IRU RXU UHVHDUFK LV IDU IURP FRPSOHWH 1HYHUWKHOHVV WKH SUHVHQW VWXG\ ZLOO PDNH H[WHQVLYH XVH RI BBBBBBBBBBBB
$V 5DFKHO $GHOPDQ SRLQWV RXW >LQ 7KH 3RHWLFV RI 7LPH DQG 6SDFH QRWH @ ³%DUWK PLVWDNHQO\ LGHQWLILHG WKH EDVH WH[W DV (QHORZ « >DQG (OLH]HU@ 7UHLWHO LGHQWLILHG WKH EDVH WH[W DV -76 /HKPDQ ´ 7KH PDQXVFULSW FLWDWLRQV WKDW , SURYLGH DUH WKH PDQXVFULSWV WKDW ZHUH JUDFLRXVO\ RIIHUHG IRU WKLV SURMHFW E\ 3URIHVVRU /HZLV %DUWK RI +HEUHZ 8QLRQ &ROOHJH LQ /RV $QJHOHV DQG FKRVHQ RQ WKH EDVLV RI WKHLU JHRJUDSKLFDO FKURQRORJLFDO DQG WH[WXDO GLYHUVLW\ 7KHVH PDQXVFULSWV DUH -76 -76 3DULV 3DULV -76 (QHORZ +8& +8& 3DUPD 3DUPD 3DUPD :DUVDZ DQG 0RVFRZ 6HH %DUWK¶V DUWLFOH ³,V (YHU\ +HEUHZ 0DQXVFULSW´ IRU PRUH GHWDLOV DV FLWHG DERYH , KDYH DOVR XVHG WKH HDUOLHVW SULQWHG HGLWLRQV 5 'DYLG /XULD¶V HGLWLRQ +RURZLW]¶V HGLWLRQ DQG WKH PDQXVFULSW YDULDQWV LQ *RWWOLHE¶V HGLWLRQ HYHQ LI WKH VRXUFH WR ZKLFK KH UHIHUV KDV QRW EHHQ LGHQWLILHG 7KH YDULDQWV FLWHG EHORZ H[HPSOLI\ PDQXVFULSW WUDGLWLRQV ZKLFK DWWHVW D UHDGLQJ IRU WKH UHOHYDQW DWWULEXWLRQ DQG , ZLOO PDNH UHIHUHQFH WR WKH ILUVW SULQWHG HGLWLRQ /XULD¶V HGLWLRQ DQG RWKHU YHUVLRQV LQ WKH SXEOLF GRPDLQ DV LV QHFHVVDU\ 6HH %DUWK ³,V (YHU\ 0HGLHYDO +HEUHZ 0DQXVFULSW´ ,Q WKLV DUWLFOH %DUWK VWDWHG ³>7@KH WH[WXDO KLVWRU\ DQG WUDQVPLVVLRQ RI 3LUTp 5 (O LV VWLOO JUHDWHU WKDQ ZKDW ZH NQRZ´ )XUWKHUPRUH %DUWK DVNV ZLWK JRRG UHDVRQ ³,V -76 (QHORZ >VLF WKH DVVXPHG EDVH WH[W IRU *RWWOLHE@ LQ IDFW WKH FRGH[ RSWLPXV DQG LI VR ZK\"´ 3UHVHQW WH[WXDO FULWLFDO ZRUN KDV EHHQ XQGHUWDNHQ ZLWK YLJRU ZLWK 5DFKHO $GHOPDQ DQG (OLH]HU 7UHLWHO¶V XQSXEOLVKHG ZRUN ZLWK
0LGUDVK DQG 0XOWLSOLFLW\
PDQXVFULSW HYLGHQFH LQ RUGHU WR DFKLHYH DV PXFK SUHFLVLRQ DV SRVVLEOH 3ULRU WR RXU HQJDJHPHQW LQ WKH ODUJHU LVVXHV RI OLWHUDU\ FRPSDULVRQ H[SRVLWRU\ GHYHORSPHQW DQG KHUPHQHXWLFDO VWUDWHJ\ ZLWKLQ 35( WKH SUHVHQW ZRUN ZLOO DOLJQ WKH YDULDQWV LQ WKH PDQXVFULSW LQ RUGHU WR DFKLHYH WKH PRVW EDODQFHG SRUWUDLW RI WKH WUDQVPLVVLRQ RI WKH WH[W $V D ILQDO FRPPHQW RQ WKH PHWKRG XVHG LQ WKH SUHVHQW VWXG\ WKLV DXWKRU KDV FKRVHQ WKH PRVW JODULQJ H[DPSOHV RI 35(¶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² /HRSROG =XQ] DQG -DFRE (OEDXP LQ SDUWLFXODU ² DQG EHFDXVH WKH GLIILFXOW\ RI WKHLU H[HPSOD SUHVHQWV WKH FKDOOHQJH RI WKLV ZRUN LQ LWV IXOOHVW H[SUHVVLRQ 6XFK D FKDOOHQJH LV WKH EDVLV IRU D GHHSHQHG XQGHUVWDQGLQJ RI 35(¶V PLGUDVKLF H[SRVLWLRQ DQG LWV UHODWLRQVKLS WR WKH UDEELQLF WUDGLWLRQ 7KURXJK WKH XVH RI WKHVH DQRPDORXV WUDGLWLRQV WKLV VWXG\ ZLOO RYHUFRPH HYLGHQFH WR WKH FRQWUDU\ DQG IRUPXODWH FRQFOXVLRQV DERXW WKH ZRUN¶V VWUXFWXUH KHUPHQHXWLF RULHQWDWLRQ DQG VWDWXV DV D PLGUDVK 7KH DQDO\VLV LQ WKLV VWXG\ LV RUJDQL]HG DFFRUGLQJ WR WKH RUJDQL]DWLRQ FRPSRVLWLRQ DQG KHUPHQHXWLFV RI 35( DOO RI ZKLFK SUHVHQW D FRPSOHWH SRUWUDLW RI WKH ZRUN¶V SODFH ZLWKLQ WKH KLVWRULFDO GHYHORSPHQW RI UDEELQLF LQWHUSUHWDWLRQ 7KH ILUVW FKDSWHU DGGUHVVHV WKH RUJDQL]DWLRQ RI 35(¶V OLWHUDU\ VWUXFWXUH DQG WKH ZRUN¶V PXOWLYDOHQW XVH RI QDUUDWLYH HQXPHUDWLRQ WKHPHV DQG DQDORJLHV $V LQGLFDWHG DERYH WKH FRQIOLFW ZLWKLQ 35(¶V RUJDQL]DWLRQDO VWUXFWXUH UHSUHVHQWV WKH LQLWLDO EDUULHU WR DQ XQGHUVWDQGLQJ RI WKH ZRUN¶V OLWHUDU\ YRLFH 7KLV VHFWLRQ ZLOO H[DPLQH WKH OLWHUDU\ DQG W\SRORJLFDO IRXQGDWLRQV RI QDUUDWLYH ZLWKLQ WKH ZRUN DQG LQGLFDWH WKH FRQQHFWLRQV DQG FRUUHVSRQGHQFHV DPRQJ RWKHU VHHPLQJO\ GLJUHVVLYH OLWHUDU\ IRUPXODWLRQV ,W ZLOO EH DUJXHG WKDW 35( LV FKDUDFWHUL]HG E\ D PXOWLIDFHWHG DQG LQWHUGHSHQGHQW UHIRUPXODWLRQ RI WKH H[SRVLWRU\ RUJDQL]DWLRQ RI 6FULSWXUH LQ ZKLFK WKH RYHUODSSLQJ ERXQGDULHV DPRQJ WKH IRFL RI OLWHUDU\ W\SHV ² QDUUDWLYH OLVWV WKHPHV DQG DQDORJLHV ² HPERG\ WKH ZRUN¶V LQWHJUDWHG DQG RYHUDUFKLQJ DSSURDFK WR 6FULSWXUDO LQWHUSUHWDWLRQ 7KH FRRUGLQDWLRQ RI WKHVH IHDWXUHV ZLOO \LHOG D FRKHVLYH SRUWUDLW BBBBBBBBBBBB YDULHW\ RI 35( PDQXVFULSWV 1HYHUWKHOHVV WKHLU ZRUN UHPDLQV LQFRPSOHWH DW SUHVHQW ZULWLQJ EXW ZRXOG EH D ZHOFRPH FRQWULEXWLRQ WR WKH VWXG\ RI WKLV ZRUN
35( DQG WKH +LVWRU\ RI 5DEELQLF ,QWHUSUHWDWLRQ
RI WKH ZRUN DQG SURYLGH D EDVLV IRU WKH LQYHVWLJDWLRQ RI 35(¶V WUDQVPLVVLRQ DQG WUDQVIRUPDWLRQ RI UDEELQLF GLVFRXUVH 7KH VHFRQG FKDSWHU ZLOO H[DPLQH WKH ZRUN¶V DXWKRUVKLS DQG DWWULEXWLRQV DQG WKHLU HIIHFW XSRQ WKH DXWKRULW\ DQG DXWKHQWLFLW\ RI WKH ZRUN %HJLQQLQJ ZLWK =XQ]¶V FULWLTXH RI 35(¶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¶V DWWULEXWLRQV DQG WKHLU SDUWQHUHG WUDGLWLRQV ZLWK SDUDOOHO DWWULEXWLRQV DQG WUDGLWLRQV IURP FODVVLFDO UDEELQLF OLWHUDWXUH 35(¶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¶V H[SRVLWRUV RQ WUDQVPLVVLRQ DQG FRPSRVLWLRQ ZLWKLQ PLGUDVK 7KH XOWLPDWH JRDO LV WR VLWXDWH WKH ZRUN¶V DXWKRUVKLS DQG WUDQVPLVVLRQ RI WUDGHQWV ZLWKLQ WKH KLVWRULFDO IRUPV RI UDEELQLF DWWULEXWLRQ ,Q WKH WKLUG FKDSWHU WKH GLVFXVVLRQ ZLOO LOOXVWUDWH WKH PRGHV RI ³WUDGLWLRQ EXLOGLQJ´ HPERGLHG LQ 35(¶V H[HJHWLFDO HQJDJHPHQW ZLWK 6FULSWXUH 7KLV VHFWLRQ ZLOO IRFXV RQ D WKH XVH RI WUDGLWLRQDO UDEELQLF GLVFRXUVH DQG WHFKQLFDO WHUPLQRORJ\ DV VLJQSRVWV IRU WKH ZRUN¶V WUDQVPLVVLRQ DQG LQWHUSUHWDWLRQ RI 6FULSWXUH E WKH LQQRYDWLYH UHDUWLFXODWLRQ DQG WUDQVIRUPDWLRQ RI 6FULSWXUDO DQG UDEELQLF ODQJXDJH LQ RUGHU WR HQJDJH WKH ODQJXDJH P\WK DQG DSSOLHG PHDQLQJ RI 6FULSWXUH DQG ILQDOO\ F WKH LQWHUSOD\ EHWZHHQ WKH 35(¶V OLWHUDU\ RUJDQL]DWLRQ DQG WKH ZRUN¶V H[HJHWLFDO HQGHDYRUV ,Q RUGHU WR FRUUHODWH 35( ZLWK WKH FODVVLFDO WUDGLWLRQ WKLV VHFWLRQ ZLOO DVVXPH WKDW PLGUDVK LV IRXQGHG XSRQ DQ LQQHUFDQRQLFDO GLVFRXUVH ZKLFK RFFXUV ZLWKLQ WKH JLYHQQHVV RI
0LGUDVK DQG 0XOWLSOLFLW\
6FULSWXUDO ODQJXDJH 7KLV ³JLYHQQHVV´ LV HPERGLHG ZLWKLQ WKRVH UDEELQLF WUDGLWLRQV ZKLFK DUH OLQJXLVWLFDOO\ DQFKRUHG LQ WKHLU 6FULSWXUDO ³VRXUFH´ DQG ZLOO SURYLGH WKH EDVLV WR H[SORUH 35(¶V ³WUDGLWLRQ EXLOGLQJ´ &RQVHTXHQWO\ WKLV VHFWLRQ ZLOO HOXFLGDWH 35(¶V UHODWLRQVKLS WR FODVVLFDO UDEELQLF LQWHUSUHWDWLRQ DQG ZLOO EH DW SDLQV WR DVVHUW WKH SURPLQHQFH RI D GLVWLQFWLYH W\SH RI ³H[HJHVLV´ LQ 35(¶V UHODWLRQVKLS WR 6FULSWXUH ,Q WKH IRXUWK DQG ILQDO FKDSWHU WKH UROH RI WKH UHFHLYHG WUDGLWLRQV IURP FODVVLFDO UDEELQLF OLWHUDWXUH ZLOO EH H[DPLQHG DQG 35(¶V UHFHSWLRQ WUDQVPLVVLRQ DQG WUDQVIRUPDWLRQ RI WKHVH WUDGLWLRQV ZLOO EH DVVHVVHG 7KLV FKDSWHU ZLOO GHPRQVWUDWH WKDW 35(¶V SUHVHQWDWLRQ RI PLGUDVK LV PDUNHG QRW RQO\ E\ KHUPHQHXWLF GHYHORSPHQW EXW DOVR E\ LQQRYDWLYH UHFRQFHSWXDOL]DWLRQV RI UDEELQLF ODQJXDJH WUDGLWLRQV LPDJHU\ DQG P\WK 35(¶V UHIOHFWLRQ XSRQ WKH ODQJXDJH DQG PHDQLQJ RI WKH UDEELQLF WUDGLWLRQ LV NH\ WR VLWXDWLQJ WKH ZRUN ZLWKLQ WKH KLVWRU\ RI UDEELQLF OLWHUDWXUH )URP WKLV ZH FDQ RIIHU D UHDVRQHG UHVSRQVH WR WKH SUREOHPV WKDW WKH ZRUN KDV SUHVHQWHG IRU D GHYHORSPHQWDO VFKHPD RI UDEELQLF LQWHUSUHWDWLRQ DQG SURYLGH DQ HQWU\ LQWR WKH ZRUN¶V SODFH ZLWKLQ WKLV KLVWRU\ 7KH GLVFXVVLRQ LQ WKLV ERRN VHHNV WR UHRULHQW 35( ZLWKLQ WKH UDEELQLF WUDGLWLRQ DQG SURYLGH D QHZ GLUHFWLRQ IRU UHVHDUFK LQWR WKH UHODWLRQVKLS EHWZHHQ PLGUDVK RI WKH HDUO\ JHRQLF HUD DQG FODVVLFDO QRWLRQV RI UDEELQLF LQWHUSUHWDWLRQ 7KLV VWXG\ ZLOO DGGUHVV 35(¶V OLWHUDU\ DQG H[SRVLWRU\ YRLFH ZLWKLQ WKH FRQWH[W RI WKH UDEELQLF WUDGLWLRQ 7KH PXOWLSOLFLW\ RI WKLV YRLFH ZLOO EH H[SRVHG WKURXJK DQ H[DPLQDWLRQ RI KRZ WKH ZRUN¶V H[SRVLWRUV FRQGHQVH 6FULSWXUDO DQG UDEELQLF WUDGLWLRQV LQWR D ZHE RI LQWHUQDO VLJQLILFDWLRQ $W WKH FHQWHU RI P\ ILQGLQJV LV WKLV FRQGHQVDWLRQ RU ³FOXVWHULQJ´ ZKLFK LV D IRUP RI H[HJHWLFDO WUDQVIRUPDWLRQ E\ ZKLFK 35(¶V H[SRVLWRUV FRPELQHG UHFHLYHG WUDGLWLRQV DQG GLVFRXUVH LQ RUGHU WR FUHDWH QHZ ZD\V WR WKLQN DERXW DQG HQJDJH 6FULSWXUH DQG WKH UDEELQLF WUDGLWLRQ ,Q WKH KLVWRU\ RI PLGUDVK 35( LV QRWDEOH IRU LWV LQFUHDVLQJ RI WKH GHQVLW\ RI H[HJHWLFDO DQG OLWHUDU\ ODQJXDJH WR WKH H[WHQW WKDW WKH ZRUN \LHOGV QHZ IRUPV RI UHIHUHQFH WR LWV PLGUDVKLF LGHDOV D BBBBBBBBBBBB
2QH FRXOG DUJXH WKDW PXFK RI ZKDW LV FRPPRQO\ FRQVLGHUHG WR EH FODVVLFDO PLGUDVK FRXOG EH FODVVLILHG DV HDUO\ JHRQLF RQ DFFRXQW RI WKH IDFW WKDW PXFK RI WKH OHJDO DQG LQWHUSUHWLYH WUDGLWLRQ ZDV HGLWHG DQG PRGLILHG GXULQJ WKH HDUO\ JHRQLF HUD )URP WKLV SHUVSHFWLYH WKLV SHULRG LV DV LPSRUWDQW DV WKDW RI WKH ³6WDPPDLP´ WKDW KDV GRPLQDWHG GLVFXVVLRQV DERXW WKH IRUPDWLRQ RI WKH %DE\ORQLDQ 7DOPXG IRU WKH SDVW WKLUW\ \HDUV 6HH &UHDWLRQ DQG &RPSRVLWLRQ 7KH &RQWULEXWLRQ RI WKH %DYOL 5HGDFWRUV 6WDPPDLP WR WKH $JJDGD -HIIUH\ / 5XEHQVWHLQ (G 0RKU 6LHEHFN 7ELQJHQ DQG P\ UHYLHZ RI WKLV ZRUN LQ WKH 5HYLHZ RI %LEOLFDO /LWHUDWXUH -XQH
35( DQG WKH +LVWRU\ RI 5DEELQLF ,QWHUSUHWDWLRQ
ODQJXDJH WKDW LV DOPRVW V\PEROLF LQ LWV UHIHUHQWLDO TXDOLWLHV ³&OXVWHULQJ´ UHSUHVHQWV WKH GHYHORSPHQW RI GHQVH XQLWV RI ODQJXDJH ZKLFK DOORZ PRUH FRPSOH[ H[SRVLWLRQV DQG ³LQQHUFDQRQLFDO´ FRUUHODWLRQV ZLWKLQ 6FULSWXUDO DQG UDEELQLF WKRXJKW ,Q WKH KLVWRU\ RI WKLV WKRXJKW 35(¶V UHIRUPXODWLRQ RI 6FULSWXUDO DQG UDEELQLF GLVFRXUVH LQWR WKHVH GHQVH ³FOXVWHUV´ RI VLJQLILFDWLRQ DQWLFLSDWHV IXUWKHU FRQGHQVDWLRQV RI LPDJHU\ DQG P\WK VXFK GHQVH OLQJXLVWLF XQLWV DUH IRXQG LQ WKH ODWHU PHGLHYDO OLWHUDWXUH SDUWLFXODUO\ WKDW RI WKH =RKDU ,Q 35(¶V WUDGLWLRQ EXLOGLQJ 6FULSWXUH DQG WKH UDEELQLF WUDGLWLRQ DUH XQLILHG LQ VHYHUDO RYHUODSSLQJ WRSRJUDSKLHV ZKLFK DSSO\ GHHSHQ DQG WUDQVIRUP LQKHULWHG WUDGLWLRQV DQG ODQJXDJH 7KH H[LVWHQFH RI D ³FOXVWHUHG´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
/LWHUDU\ $UUDQJHPHQW LQ 35( $FDGHPLF DVVHVVPHQWV RI WKH 3LUNH GH5DEEL (OLH]HU KDYH IRFXVHG XSRQ 6FULSWXUDO QDUUDWLYH DV WKH NH\ WR WKH ZRUN¶V OLWHUDU\ DQG LQWHUSUHWLYH RUJDQL]DWLRQ 6LQFH /HRSROG =XQ] VFKRODUV RI PLGUDVK KDYH XQGHUVWRRG WKDW 35( VLWXDWHV 6FULSWXUDO DQG UDEELQLF WUDGLWLRQV ZLWKLQ WKH IUDPHZRUN RI VWRULHV WKDW UXQ IURP WKH FUHDWLRQ VWRU\ RI *HQHVLV WKURXJK WKH ,VUDHOLWHV¶ ZDQGHULQJV LQ WKH GHVHUW IURP 1XPEHUV $FFRUGLQJ WR WKLV YLHZ 6FULSWXUDO QDUUDWLYH SURYLGHV WKH JXLGHOLQH IRU 35(¶V ³HGLWRULDO´ RU ³DXWKRULDO´ UHSUHVHQWDWLRQ RI 6FULSWXUDO DQG UDEELQLF WUDGLWLRQV ,Q WKHLU HGLWRULDO UHZRUNLQJV RI WKHVH WUDGLWLRQV WKH H[SRVLWRUV DUUDQJHG DQ DQWKRORJ\ RI LPSRUWHG UDEELQLF DQG QRQ UDEELQLF WUDGLWLRQV DQG ³UHQHZ´ WKH PHDQLQJ RI 6FULSWXUH ZLWKLQ WKH FRQWH[W RI LWV QDUUDWLYH VWUXFWXUH ,I ZH IROORZ WKLV OLQH RI WKLQNLQJ 35( VXVWDLQV WKH FXOWXUDO UHOHYDQFH RI 6FULSWXUH WKURXJK LWV UHIOHFWLRQV XSRQ QDUUDWLYH VLQFH ³UHWHOOLQJ´ WKH ³VWRULHV´ RI 6FULSWXUH LQWHJUDWHV FRQWHPSRUDU\ VRFLDO DQG KLVWRULFDO HYHQWV DQG EHOLHIV LQWR WKH IL[HG VWUXFWXUH RI WKH 6FULSWXUDO FDQRQ ,W KDV WKHUHIRUH EHHQ SURSRVHG WKDW 35( ³UHYLVHV´ 6FULSWXUDO DQG WUDGLWLRQDO FRQWHQW LQ RUGHU WR UHVSRQG WR FXUUHQW HYHQWV ³>WR@ UHVROYH GLIILFXOWLHV DQG FRQWUDGLFWLRQV LQ 6FULSWXUH´ RU WR KDUPRQL]H GLVSDUDWH UHFHLYHG UDEELQLF WUDGLWLRQV 7KHVH VFKRODUV KDYH DUJXHG WKDW LQ FRQWUDVW WR WKH KRPLOHWLFDO RU H[HJHWLFDO FKDUDFWHU RI HDUOLHU ZRUNV RI PLGUDVK 35(¶V YHUVLRQ RI PLGUDVK LV FKDUDFWHUL]HG E\ D OLWHUDU\ IHDWXUH ZKLFK VXSHULPSRVHV QDUUDWLYH XSRQ ROGHU UDEELQLF WUDGLWLRQV 1RW VXUSULVLQJO\ WKLV DQDO\VLV EXWWUHVVHV WKH YLHZ WKDW 35( LV XQLILHG E\ LWV UHSHWLWLRQ RI 6FULSWXUDO QDUUDWLYH DQG FDQ EH LGHQWLILHG ZLWK ³QDUUDWLYH´ LQ LWV FXOWXUDO OLWHUDU\ DQG KHUPHQHXWLFDO DSSURDFK WR 6FULSWXUH $W WKH VDPH WLPH WKHVH VFKRODUV KDYH DOVR SRLQWHG RXW WKH PDMRU IDXOWOLQHV LQ 35(¶V ILGHOLW\ WR ³QDUUDWLYH´ ,Q KLV LQIOXHQWLDO VWXG\ RI 35( -DFRE (OEDXP FRQWHQGHG WKDW WKH DXWKRU UHQHZV UHFHLYHG 6FULSWXUDO DQG UDEELQLF WUDGLWLRQV WKURXJK QDUUDWLYH ³UHZULWLQJ´ DQG ³HGLWRULDO´ LQVHUWLRQV ,Q KLV UHZRUNLQJ RI BBBBBBBBBBBB
6HH (OEDXP ³5KHWRULF´ DQG 6HH DOVR +HLQHPDQQ $JJDGRW 6HH 9HUPHV 6FULSWXUH DQG 7UDGLWLRQ (OEDXP ³5KHWRULF´ QRWH +HLQHPDQQ $JJDGRW (OEDXP ³2Q WKH &KDUDFWHU´
/LWHUDU\ $UUDQJHPHQW LQ 35(
-RVHSK +HLQHPDQQ¶V HDUOLHU DUJXPHQW DERXW WKH FHQWUDOLW\ RI QDUUDWLYH WR 35( (OEDXP DUJXHG WKDW WKH DXWKRU ³UHZULWHV´ DQG ³HGLWV´ WKH DQWKRORJ\ RI UDEELQLF DQG IRUHLJQ WUDGLWLRQV LQ RUGHU WR DOLJQ WKHVH WUDGLWLRQV ZLWK WKH 6FULSWXUDO VWRU\ $V (OEDXP VWDWHV ³WKH DXWKRU GRHV QRW IROORZ WKH PHWKRG RI FLWDWLRQ >IRXQG LQ SULRU PLGUDVKLP@ EXW UDWKHU SURGXFHV D QHZ H[SUHVVLRQ RI WKH YHUVHV ZKHWKHU KH ZLVKHV WR H[SDQG WKH VFRSH RI WKH >6FULSWXUDO@ VWRU\ RU FRPPHQWDU\«´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
6LPLODUO\ (OEDXP DUJXHG WKDW WKH DXWKRU LV XQDEOH WR DFKLHYH EDODQFH EHWZHHQ D QDUUDWLYH ³UHZULWLQJ´ RI WKH 6FULSWXUDO VWRU\ DQG D IRUPXODLF ³HGLWLQJ´ RI LQKHULWHG UDEELQLF WUDGLWLRQV (OEDXP LGHQWLILHG D FRQWUDGLFWLRQ EHWZHHQ WKH QDUUDWLYH DQG WKHPDWLF FRQVWUXFWLRQV RI WKH DXWKRU WKH DXWKRU¶V ZLVK WR FRPSOHWH WKHPDWLF ULWXDO DQG FRQFHSWXDO H[SDQVLRQV ³SUHYHQWV WKH DXWKRU IURP KLV ILUVW PRWLYH WKH QDUUDWLYH RI WKH HYHQWV RI 6FULSWXUH´ 7KH ZRUN¶V XQHYHQ OLWHUDU\ RUJDQL]DWLRQ QRWZLWKVWDQGLQJ (OEDXP DUJXHG WKDW WKH DXWKRU KDG MXVW RQH JRDO LQ KLV HGLWRULDO DGGLWLRQV ZKLFK FRUUHVSRQGHG WR D SURPLQHQW OLWHUDU\ LGHDO RI LWV HUD WR LQFRUSRUDWH DQ DQWKRORJ\ RI 6FULSWXUDO UDEELQLF DQG IRUHLJQ WUDGLWLRQV LQWR 6FULSWXUH¶V FKURQRORJLFDO BBBBBBBBBBBB
(OEDXP DJUHHG WKDW QDUUDWLYH GHILQHV WKH OLWHUDU\ DQG FXOWXUDO RULHQWDWLRQ RI WKH ZRUN \HW KH DUJXHG WKDW +HLQHPDQQ IDLOHG WR DSSUHFLDWH WKH RULJLQDO FRQWULEXWLRQV RI WKH DXWKRU WR WKH UHQHZDO RI WKH 6FULSWXUDO VWRU\ ³+HLQHPDQQ HPSKDVL]HV WKH SULQFLSOH RI DGDSWDWLRQ LQ WKH PLGUDVK « >EXW@ LI LW ZHUH QRW IRU KLV FRQFOXGLQJ ZRUGV DQG D IHZ LQGLFDWLRQV KHUH DQG WKHUH LW ZRXOG EH SRVVLEOH WR GHGXFH IURP KLV ZRUGV DSSDUHQWO\ WKDW WKHUH LV QR >DXWKRULDO@ LQQRYDWLRQ >LQ 35(@´ 6HH (OEDXP ³5KHWRULF´ QRWH (OEDXP ³5KHWRULF´ (OEDXP ³5KHWRULF´ +HLQHPDQQ 6HH (OEDXP ³2Q WKH &KDUDFWHU´ DQG ³5KHWRULF´ (OEDXP ³5KHWRULF´
0LGUDVK DQG 0XOWLSOLFLW\
QDUUDWLYH ,Q KLV YLHZ WKHVH HGLWRULDO DGGLWLRQV RU LQVHUWLRQV EROVWHU WKH 6FULSWXUDO QDUUDWLYH DQG WKXV FUHDWH ³FRQQHFWLRQV EHWZHHQ WKH KRPLOHWLFDO H[SODQDWLRQV DQG EHWZHHQ WKH YHUVHV RU VHFWLRQV RI WKH SORW E\ DGGLQJ WR WKHP DGGLWLRQDO ZRUGV DQG LGLRPDWLF SKUDVHV ZKRVH SXUSRVH LW ZDV WR FUHDWH QDUUDWLYH IORZ´ 1HYHUWKHOHVV (OEDXP DOVR FKDUDFWHUL]HG WKHVH HGLWRULDO UHYLVLRQV DQG LQVHUWLRQV DV ³GLJUHVVLRQ>V@´ ZKLFK XQGHUPLQHV WKH VWUXFWXUDO FRKHUHQFH RI WKH ZRUN 7KH OLWHUDU\ VWUXFWXUH RI WKH ZRUN LV VSOLQWHUHG E\ WKH DXWKRU¶V DWWHPSW WR FRRUGLQDWH WZR RSSRVLWLRQDO OLWHUDU\ JRDOV ³EHFDXVH LW ZDV LPSRVVLEOH IRU WKH HGLWRU WR DFKLHYH FRPSOHWH KDUPRQ\ EHWZHHQ WKHVH GLIIHUHQW LPSXOVHV>@ « WR FUHDWH D QHZ QDUUDWLYH WR HQFRPSDVV HOHPHQWV RI WKH RULJLQDO ELEOLFDO QDUUDWLYH DV ZHOO DV QHZ KRPLOHWLFDO H[SRVLWLRQ >RQ WKH RQH KDQG@ RQ WKH RWKHU WKH ZLVK WR SUHVHUYH WKH IRUP RI WKH %LEOLFDO VWRU\ DV LW XQIROGV´ $V D ³/DWH 0LGUDVK´ 35(¶V FRQWUDGLFWLRQV LQFRUSRUDWH WKH WZR IRUPV RI OLWHUDU\ H[SUHVVLRQ DWWHVWHG LQ FODVVLFDO PLGUDVKLF OLWHUDWXUH WKH LQWHUSUHWLYH H[HJHWLFDO DQG WKH VHUPRQLFKRPLOHWLFDO DSSURDFKHV WR 6FULSWXUDO H[SRVLWLRQ &RQVHTXHQWO\ 35(¶V HQJDJHPHQW ZLWK 6FULSWXUH LV D PpODQJH WKDW LV QRW FRPSUHKHQVLEOH DV D QDUUDWLYH H[SRVLWLRQ RI 6FULSWXUH EXW FKDUDFWHULVWLF IRU WKH HUD RI UDEELQLF LQWHUSUHWLYH FXOWXUH 7KH SUREOHPV LQ 35(¶V OLWHUDU\ RUJDQL]DWLRQ KRZHYHU DUH QRW OLPLWHG WR WKH DSSDUHQW FRQWUDGLFWLRQ EHWZHHQ QDUUDWLYH DQG RWKHU OLWHUDU\ FRQVLGHUDWLRQV RI WKLV HUD 7KH FKDOOHQJH LQ 35(¶V OLWHUDU\ RUJDQL]DWLRQ UXQV IDU GHHSHU D VHFRQG DQG PRUH REYLRXV GLIILFXOW\ IRU 35( LV WKH QHFHVVDU\ DGPLVVLRQ WKDW DOO PDQXVFULSW WUDGLWLRQV LQ RXU SRVVHVVLRQ DUH LQFRPSOHWH =XQ] DUJXHG WKDW BBBBBBBBBBBB
(OEDXP ³)URP 6HUPRQ WR 6WRU\´ (OEDXP ³5KHWRULF´ (OEDXP ³)URP 6HUPRQ WR 6WRU\´ (OEDXP ³2Q WKH &KDUDFWHU´ 7R (OEDXP¶V FUHGLW KH GHHPSKDVL]HV WKH QHHG WR DWWULEXWH WKH QDUUDWLYH LQFOLQDWLRQ WR ³H[WHUQDO´ OLWHUDWXUHV >LQ ³5KHWRULF´ @ ³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´ 6HH P\ GLVFXVVLRQ EHORZ (OEDXP ³2Q WKH &KDUDFWHU´
/LWHUDU\ $UUDQJHPHQW LQ 35(
ZH KDYH ORVW ODUJH VHFWLRQV RI WKH WH[WXDO WUDGLWLRQ D FRQWHQWLRQ ZKLFK LV ERUQH RXW E\ WKH DEEUHYLDWLRQ RI 6FULSWXUDO QDUUDWLYH DQG WKH SDUWLDO DWWHVWDWLRQ RI WKH WHQ GLYLQH GHVFHQWV RU WKH EOHVVLQJV RI WKH 6KHPRQHK (VUHK $V KH SXW LW ³+LHUQDFK VROOWH PDQ IDVW YHUPXWKHQ GDVV GDV XQV YRUOLHJHQGH :HUN XQYROOVWlQGLJ VHL GD HLQ 'DUVWHOOHU GHU DOOH 0RPHQWH GHV SHQWDWHXFKLVFKHQ ,QKDOWV VR DXVIKUOLFK HQWZLFNHOW VFKZHUOLFK EHL GHP $XVVDW]H GHU 6FKZHVWHU 0RVH¶V SO|W]OLFK GLH )HGHU QLHGHUJHOHJW KDEHQ GUIWH´ $FFRUGLQJ WR =XQ] WKH DXWKRU PXVW KDYH KDG D PRUH FRPSOHWH HGLWLRQ RI 35( LQ KLV ³RULJLQDO´ YHUVLRQ RI WKH ZRUN 6LPLODUO\ 5 'DYLG /XULD IRXQG WKH WH[WXDO WUDGLWLRQ RI 35( LQFRPSOHWH WKRXJK IRU GLIIHUHQW UHDVRQ WKH ZULWLQJV RI WKH ULVKRQLP UHIHU WR SDVVDJHV WKDW DUH QRW DWWHVWHG LQ DQ\ PDQXVFULSW LQ RXU SRVVHVVLRQ ,Q KLV YLHZ DGGLWLRQDO UHIHUHQFHV FRUURERUDWH WKH REYLRXV JDS EHWZHHQ WKH UHFHLYHG DQG ³RULJLQDO´ WH[WXDO WUDGLWLRQ DQG WKDW 35( H[LVWHG DV D PRUH FRPSOHWH WH[WXDO WUDGLWLRQ GXULQJ DQ HDUO\ HUD RI WUDQVPLVVLRQ %RWK YLHZV SURYH WKDW 35( LV QRW RQO\ FRPSOH[ LQ LWV OLWHUDU\ RUJDQL]DWLRQ EXW DOVR QRWLFHDEO\ LQFRPSOHWH BBBBBBBBBBBB
=XQ] DQG =XQ]$OEHFN /XULD ³,QWURGXFWLRQ´ 6HFWLRQ ,Q UHVSRQVH WR WKH SUREOHP RI VWUXFWXUDO JDSV LQ 35( $YLJGRU 6KLQDQ K\SRWKHVL]HG WKDW 35(¶V WH[WXDO WUDGLWLRQ FRXOG EH VXSSOHPHQWHG E\ 7DUJXP 3VHXGR-RQDWKDQ 3V- $FFRUGLQJ WR 6KLQDQ WKH DXWKRU RI 3V- FOHDUO\ XWLOL]HG 35( DV WKH EDVLV IRU PDQ\ RI KLV LQWHUSUHWDWLRQV 6KLQDQ WKHQ JRHV RQ WR DUJXH >LQ 7DUJXP Y¶ $JJDGDK %R @ WKDW ³>6LQFH@ WKH PDMRULW\ >RI WUDGLWLRQV@ WKDW >3V-@ DGRSWV IURP 35( DUH IURP >WKH H[LVWLQJ WH[W RI 35( XSRQ@ *HQHVLV DQG ([RGXV >ZH PD\@ SXW IRUWK WKH SURSRVLWLRQ WKDW LW LV SRVVLEOH WKH 7XUJHPDQ >RI 3V-@ UHSUHVHQWHG WKH ORVW VHFWLRQV RI WKH PLGUDVK >35( LQ LWV LQWHUSUHWDWLRQV RI@ /HYLWLFXV 1XPEHUV DQG 'HXWHURQRP\ DQG WKH GLIIHUHQW LVVXHV IRXQG ZLWKLQ WKHP´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´ 1RQHWKHOHVV 6KLQDQ FRQWHQGHG ³>(@YHQ LI LW LV QHFHVVDU\ WR DVVHVV WKH LQWHQWLRQV RI >5 KLV@ UHFROOHFWLRQ RI 35( « VXPPDULO\ :H PD\ MXVWLILDEO\ OHDUQ WKDW ZH HQFRXQWHU LQ >3V-@ D XQLTXH WUDGLWLRQ WKDW LV FLWHG LQ ODWHU OLWHUDWXUH XQGHU WKH H[DFW QDPH RI 35(´ 'HVSLWH *LQ]EHUJ¶V HDUOLHU REMHFWLRQV 6KLQDQ GLG QRW RIIHU DQ\ IXUWKHU HYLGHQFH WKDW 3V- FRXOG VXSSOHPHQW WKH PLVVLQJ VHFWLRQV RI
0LGUDVK DQG 0XOWLSOLFLW\
,Q UHVSRQVH WR WKH IRUHJRLQJ GLIILFXOWLHV WKH GLVFXVVLRQ RI 35( WR IROORZ ZLOO GHPRQVWUDWH WKDW WKH ZRUN¶V OLWHUDU\ IRUP GHSHQGV XSRQ WKH EDODQFHG LQWHUDFWLRQ RI RUJDQL]DWLRQDO IHDWXUHV DOO RI ZKLFK DUH IRXQGHG XSRQ WKH ZRUN¶V LQQRYDWLYH UHFHSWLRQ WUDQVPLVVLRQ DQG WUDQVIRUPDWLRQ RI 6FULSWXUDO DQG UDEELQLF WUDGLWLRQV ,W PXVW EH DGPLWWHG WKDW 35( DWWHQGV WR WKH FKURQRORJLFDO QDUUDWLYH RU ³KLVWRULFDO´ GHYHORSPHQW RI WKH 3HQWDWHXFK DQG WKDW WKHUH DUH FOHDU OLPLWDWLRQV WR 35(¶V PDQXVFULSW WUDGLWLRQ 1HYHUWKHOHVV WKH OLWHUDU\ FRPSOH[LW\ DQG LQFRPSOHWHQHVV RI WKH ZRUN PXVW EH FRQVLGHUHG LQ WKH OLJKW RI WKH H[SRVLWRUV¶ ODUJHU SURMHFW WKH UHRUJDQL]DWLRQ DQG UHSUHVHQWDWLRQ RI 6FULSWXUDO PXOWLSOLFLW\ )LUVW DQG IRUHPRVW WKH DSSDUHQW FRQWUDGLFWLRQ EHWZHHQ QDUUDWLYH DQG RWKHU ³GLJUHVVLYH´ IHDWXUHV GRHV QRW KROG XS WR VFUXWLQ\ 1DUUDWLYH LV QRW WKH RQO\ QRU LV LW WKH GRPLQDQW DLP RI 6FULSWXUDO H[SRVLWLRQ LQ 35( 2Q WKH FRQWUDU\ 35( LV FKDUDFWHUL]HG E\ PXOWLSOH OLWHUDU\ IRUPV LQFOXGLQJ QDUUDWLYH OLVWV WKHPHV DQG DQDORJ\ HDFK RI ZKLFK LQWHUDFWV DQG FRDOHVFHV ZLWKLQ WKH ZRUN¶V PDWUL[ RI OLWHUDU\ IRUPXODWLRQV 7KH QDUUDWLYH HOHPHQW FRQVLVWV RI WKH H[SRVLWRUV¶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
35( $OWKRXJK 6KLQDQ DUJXHG WKDW 3V- UHSURGXFHV WKH WUDGLWLRQV RI 35( VHOHFWLYHO\ KH DVVHUWHG WKDW WKH FOHDU GHSHQGHQFH RI 3V- XSRQ 35( LQGLFDWHV WKH H[LVWHQFH RI HDUOLHU WUDGLWLRQV 6KLQDQ¶V DUJXPHQW IRU D K\SRWKHWLFDOO\ FRPSOHWH YHUVLRQ RI 35( JURZV RXW RI KLV GLVSXWHV ZLWK +D\ZDUG +HLQHPDQQ DQG 3pUH] )HUQiQGH] DQG RWKHU VFKRODUV RI 7DUJXPLF OLWHUDWXUH DERXW WKH UHODWLRQVKLS EHWZHHQ 3V- DQG 35( DQG WKH DQWLTXLW\ RI 35( $OEUHFKW $OW >LQ ³6RORPRQLF :LVGRP´ 'RXJODV $ .QLJKW WUDQV LQ 6WXGLHV LQ $QFLHQW ,VUDHOLWH :LVGRP -DPHV / &UHQVKDZ HG .WDY 1HZ LQ 0HPUD 0DJLD 0LWRV -HUXVDOHP 0DJQHV @ ³>7@KH SRVLWLRQ RI UXOHV D SHUFHSWLRQ RI WKH ZRUOG DV RUGHUO\ DQG PHWKRGLFDO WKH QHHG WR FRQYH\ WKH WUDGLWLRQDO FRQWHQW LQ D FRPIRUWDEOH H[SUHVVLRQ IRU FROOHFWLRQ DQG UHPHPEUDQFH ± DOO WKLV LV RI WKH FKDUDFWHU RI WKH ZRUN LWVHOI´
/LWHUDU\ $UUDQJHPHQW LQ 35(
GHSOR\HG DORQJVLGH DQG LQ FRRUGLQDWLRQ ZLWK WKH ZRUN¶V QDUUDWLYH HOHPHQWV 7KH H[SRVLWRUV LQWURGXFH GHYHORS DQG LQWHJUDWH VHYHUDO VWUXFWXUDO IHDWXUHV VLPXOWDQHRXVO\ ZLWKRXW DQ\ FRQFHUQ IRU FRQWLQXLW\ IURP RQH W\SH RI GLVFRXUVH RU DQRWKHU
1DUUDWLYH DQG WKH 3KHQRPHQRQ RI /LVWV ,Q KLV 6FULSWXUH DQG 7UDGLWLRQ LQ -XGDLVP *H]D 9HUPHV RULJLQDWHG WKH WHUP ³5HZULWWHQ %LEOH´ LQ RUGHU WR GHILQH WKH FHQWUDO H[HJHWLFDO WHFKQLTXH RI +HOOHQLVWLF DQG ODWHU -XGDLVP $FFRUGLQJ WR 9HUPHV -HZLVK H[SRVLWRUV RI WKH +HOOHQLVWLF SHULRG SURGXFHG H[HJHWLFDO ZRUNV WKDW UHIRUPXODWHG 6FULSWXUDO QDUUDWLYH LQ UHVSRQVH WR VRFLDO KLVWRULFDO DQG GRFWULQDO GHPDQGV ³>L@Q RUGHU WR DQWLFLSDWH TXHVWLRQV DQG WR VROYH SUREOHPV LQ DGYDQFH WKH PLGUDVKLVW BBBBBBBBBBBB
*H]D 9HUPHV 6FULSWXUH DQG 7UDGLWLRQ LQ -XGDLVP /HLGHQ %ULOO 6HH 9HUPHV 6FULSWXUH DQG 7UDGLWLRQ 9HUPHV¶ YLHZ ZDV KLJKO\ DSRORJHWLF DQG DUJXHG >LQ 6FULSWXUH DQG 7UDGLWLRQ @ WKDW WKLV IHDWXUH GHPRQVWUDWHV WKH FRQQHFWLRQ RI UDEELQLF -XGDLVP WR WKH WUDGLWLRQV DQG H[HJHWLFDO PHWKRGV RI WKH HDUOLHVW DQG PRVW DXWKHQWLF -XGDLVP ³>6@LQFH WDUJXPLF DQG PLGUDVKLF OLWHUDWXUH HPERGLHV DQFLHQW H[HJHWLFDO WUDGLWLRQ LW SURYLGHV D UHOLDEOH EDVLV IRU UHVHDUFK LQWR WKH PLQG RI WKH ODVW UHGDFWRUV RI WKH %LEOH LQWR WKH VLJQLILFDQFH WKDW LV WR VD\ RI WKH ILQDO FRPSLODWLRQ RI 6FULSWXUH´ 9HUPHV 6FULSWXUH DQG 7UDGLWLRQ
0LGUDVK DQG 0XOWLSOLFLW\
LQVHUWV KDJJDGDK LQWR WKH %LEOLFDO QDUUDWLYH´ 7KH JDSV LQ WKH 6FULSWXUDO QDUUDWLYH WKHUHIRUH SURYLGH DQ DUHQD LQ ZKLFK WKH -HZLVK H[SRVLWRU VXVWDLQV WKH FXOWXUDO UHOHYDQFH RI 6FULSWXUH 7KH WHUP ³5HZULWWHQ %LEOH´ UHSUHVHQWV D ³PDQLSXODWLRQ´ RI WKH 6FULSWXUDO QDUUDWLYH ZKHUHLQ WUDGLWLRQDO DQG FRQWHPSRUDU\ YLHZV DUH LQVHUWHG LQWR WKH ³JDSV´ LQ WKH 6FULSWXUDO VWRU\ =XQ] ZDV WKH ILUVW WR FRUUHODWH 35(¶V OLWHUDU\ RUJDQL]DWLRQ ZLWK WKH 6FULSWXUDO QDUUDWLYH DV PHQWLRQHG DERYH EXW ZLWKRXW 9HUPHV¶ LQIOXHQWLDO WHUP =XQ] KDG DUJXHG WKDW 35( UHSOLFDWHG WKH FKURQRORJ\ RI LPSRUWDQW ³KLVWRULFDO´ HYHQWV IURP WKH 3HQWDWHXFK ³NQSIW GHU 9HUIDVVHU VHLQH KDJDGLVFKHQ 'DUVWHOOXQJHQ DQ GLH 6FK|SIXQJ DQ XQG YHUIROJW GHQ *DQJ GHV 3HQWDWHXFK LQ VHLQHQ ZLFKWLJVWHQ KLVWRULVFKHQ 0RPHQWHQ´ +HLQHPDQQ DQG RWKHU VFKRODUV ZHQW IXUWKHU FRQWHQGLQJ WKDW WKH GRPLQDQFH RI QDUUDWLYH LQ 35( HYLGHQFHG H[WHUQDO LQIOXHQFHV RQ UDEELQLF LQWHUSUHWDWLYH FXOWXUH VR WKDW 35( ZDV D VRUW RI ³5HZULWWHQ %LEOH´ -RVHSK +HLQHPDQQ PD\ QRW KDYH RULJLQDWHG WKH WHUP ³5HZULWWHQ %LEOH´ QRU ZDV KH WKH ILUVW WR XVH LW WR GHVFULEH 35( +HLQHPDQQ ZDV KRZHYHU WKH ILUVW WR DUJXH IRU WKH OLWHUDU\ HGLWRULDO DQG LGHRORJLFDO XQLW\ RI 35( RQ WKH EDVLV RI WKLV HYRFDWLYH WHUP 2Q WKH EDVLV RI 9HUPHV¶ DQG =XQ]¶V ZRUN +HLQHPDQQ DUJXHG WKDW WKH DXWKRU RI 35( XWLOL]HV QDUUDWLYH IRUPV RI H[SUHVVLRQ LQ RUGHU WR FRRUGLQDWH WKLV GLYHUVLW\ RI 6FULSWXUDO UDEELQLF DQG IRUHLJQ WUDGLWLRQV LQWR D VLQJOH OLWHUDU\ DQG LGHRORJLFDO ZRUN +HLQHPDQQ HPSKDVL]HG WKH DXWKRU¶V UHLQWURGXFWLRQ RI QDUUDWLYH LQWR UDEELQLF GLVFRXUVH DV D VLJQSRVW IRU WKH ZRUN¶V SODFH LQ WKH KLVWRU\ RI UDEELQLF OLWHUDWXUH DQG KH SURYLGHG DQ LQIOXHQWLDO WHUP WKDW FRXOG H[SUHVV WKH ORQJ KHOG RSLQLRQ WKDW 35( ZDV IRXQGHG LQ QDUUDWLYH GLVFRXUVH ,Q ODWHU VFKRODUVKLS WKH LQWURGXFWLRQ RI QDUUDWLYH LQWR WKH KRPLOHWLFDO RU H[HJHWLFDO H[SUHVVLRQ RI UDEELQLF 6FULSWXUDO LQWHUSUHWDWLRQ VLJQLILHG WKH ZRUN¶V FRQWDFW ZLWK DQG GHYHORSPHQW DORQJVLGH WKH OLWHUDU\ IRUP RI WKH ³5HZULWWHQ %LEOH´ ZKLFK ZDV DGDSWHG IURP FRQWHPSRUDU\ $UDELF RU +HOOHQLVWLF OLWHUDWXUHV ,Q FRQWUDVW WR 9HUPHV¶ YLHZ WKDW WKH 5HZULWWHQ %LEOH ZDV RI +HOOHQLVWLF RULJLQ +HLQHPDQQ UHFDOOHG WKH GLVFXVVLRQ RI /RXLV *LQ]EHUJ ZKR KDG DUJXHG WKDW 35( ³LV PRGHOHG XSRQ WKH $UDELF FROOHFWLRQV RI %LEOLFDO OHJHQGV LQ ZKLFK QDUUDWLYH LV HPSKDVL]HG ZKLOH D UDEELQLF PLGUDVK FHQWHUV LQWHUHVW XSRQ PDWWHUV BBBBBBBBBBBB
9HUPHV 6FULSWXUH DQG 7UDGLWLRQ 9HUPHV 6FULSWXUH DQG 7UDGLWLRQ =XQ] 7KH HDUOLHVW GHVLJQDWLRQ WKDW , KDYH IRXQG LV -RKQ %RZNHU 7KH 7DUJXPV DQG 5DEELQLF /LWHUDWXUH DQ ,QWURGXFWLRQ WR -HZLVK ,QWHUSUHWDWLRQV RI 6FULSWXUH &DPEULGJH &DPEULGJH ZKR VWDWHV RI WKH JHQUH RI ³5HZULWWHQ %LEOH´ WKDW WKH ³RXWVWDQGLQJ H[DPSOH LV 3LUTH GH5DEEL (OLH]HU´
/LWHUDU\ $UUDQJHPHQW LQ 35(
H[HJHWLFDO´ +HLQHPDQQ XQGHUVWRRG WKH WHUP 5HZULWWHQ %LEOH WR UHIOHFW ,VODPLF LQIOXHQFHV XSRQ 35( EDVHG XSRQ VHHPLQJO\ FRPPRQ IHDWXUHV WR ZKLFK $EUDKDP *HLJHU ZDV WKH ILUVW WR GUDZ DWWHQWLRQ ,Q KLV GLVVHUWDWLRQ :DV KDW 0RKDPPHG DXV GHP -XGHQWKXPH DXIJHQRPPHQ" *HLJHU DUJXHG WKDW WKH QDUUDWLYH VSHHFK RI WKH 4XUDQ FRUUHVSRQGV WR WKH LOOLWHUDF\ DQG LJQRUDQFH RI 0RKDPPDG¶V -HZLVK LQIRUPDQWV DQG $UDE DXGLHQFH /LNH RWKHU VFKRODUV ZKR KDG IROORZHG *HLJHU¶V SUREOHPDWLF DVVXPSWLRQV DERXW HDUO\ ,VODPLF OLWHUDWXUH VXFK DV ,VUDHO /pYL DQG 0D[ *UQEDXP *LQ]EHUJ DQG +HLQHPDQQ DUJXHG WKDW 35(¶V SDUDOOHOV ZLWK ,VODPLF OLWHUDWXUH LQ VKDUHG WUDGLWLRQV DV ZHOO DV LQ LWV XVH RI QDUUDWLYH FRXOG H[SODLQ 35(¶V GLYHUJHQFH IURP FODVVLFDO UDEELQLF OLWHUDWXUH 35( OLNH WKH 4XUDQ GHPRQVWUDWHG LWV UHODWLRQVKLS WR 6FULSWXUH PRVW REYLRXVO\ WKURXJK LWV UHOLDQFH RQ QDUUDWLYH IRUPV RI LQWHUSUHWDWLRQ )RU +HLQHPDQQ 35( VKRXOG EH XQGHUVWRRG DV D SURGXFW RI LWV FXOWXUDO FRQWH[W LQ ZKLFK QDUUDWLYH DVVHUWHG LWV LPSRUWDQFH RU UHVXUJHQFH LQ WKLV ZRUN RI -HZLVK %LEOLFDO LQWHUSUHWDWLRQ ,Q KLV DUJXPHQWV DERXW WKH UROH RI QDUUDWLYH LQ 35( +HLQHPDQQ DOVR VDZ WKDW OLWHUDU\ GHYLFH DV FHQWUDO WR WKH ZRUN¶V HGLWRULDO WUDQVPLVVLRQ RI UDEELQLF WUDGLWLRQV $FFRUGLQJ WR +HLQHPDQQ WKH DXWKRU LQWURGXFHG QDUUDWLYH LQWR KLV H[SRVLWLRQ LQ RUGHU WR UHVSRQG WR FRQWUDGLFWLRQV LQ WKH ZRUN¶V OLWHUDU\ DQG LGHRORJLFDO VWUXFWXUH +HLQHPDQQ DUJXHG WKDW WKH DXWKRU WUDQVIRUPV KLV VRXUFHV HLWKHU ³LQ UHIHUHQFH WR KLV SROHPLF QHHGV RU RSLQLRQ WKDW D WUDGLWLRQDO OHJHQG FDQ EH EHDXWLILHG LQ D QHZ YHUVLRQ WKURXJK WKH FRPELQDWLRQ RI PRWLIV ´ +HUH WKH LQIOXHQFH RI ,VODPLF OLWHUDWXUH LV HVSHFLDOO\ SURPLQHQW DV WKH QDUUDWLYH BBBBBBBBBBBB
*LQ]EHUJ 2Q -HZLVK /DZ DQG /RUH +HLQHPDQQ $JJDGRW *HLJHU -XGDLVP DQG ,VODP *HLJHU¶V YLHZ ZDV WKDW WKH 4XUDQ WUDQVPLWV 6FULSWXUDO DQG UDEELQLF WUDGLWLRQV DV ³QDUUDWLYHV « ZKLFK OLYHG PRVWO\ LQ WKH PRXWKV RI WKH SHRSOH « DQG VXLWHG WKH FKLOGLVK OHYHO RI >0XKDPPDG¶V@ FRQWHPSRUDULHV´ DQG WKDW 35( ZDV D SULPDU\ VRXUFH IRU 6FULSWXUDO WUDGLWLRQV LQ WKH 4XUDQ 6LQFH WKLV FRQWUDGLFWHG =XQ]¶V DVVHVVPHQW RI WKH ZRUN DV SRVWGDWLQJ WKH 4XUDQ *HLJHU ZDV IRUFHG WR EDFNWUDFN DQG DUJXH >LQ -XGDLVP DQG ,VODP YLLL@ WKDW ³7KH IHZ SDVVDJHV >LQ WKH 4XUDQ@ ZKLFK DUH WDNHQ IURP RWKHU >UDEELQLF@ ZULWLQJV RI ZKLFK WKH DJH LV QRW VR H[DFWO\ NQRZQ VXFK DV WKH VHFWLRQV RI 5DEEL (OLHVHU « ZKLFK >DUH@ SODFHG LQ D VRPHZKDW ODWHU SHULRG WKDQ WKDW RI WKH FRPSRVLWLRQ RI WKH 4XUDQ E\ WKH OHDUQHG =XQ] LQ KLV ODWHVW YDOXDEOH ZRUN « DUH DOO RI VXFK D NLQG WKDW RQH FDQ JHQHUDOO\ SRLQW WR VRPH GHFLGHG GHFODUDWLRQ LQ +RO\ 6FULSWXUH LWVHOI IURP ZKLFK VXFK RSLQLRQV DQG WUDGLWLRQV PD\ KDYH DULVHQ DQG WKHUHIRUH WKHLU SULRULW\ RI H[LVWHQFH LQ -XGDLVP FDQ EH DFFHSWHG ZLWKRXW KHVLWDWLRQ´ 0D[ *UQEDXP 1HXH %HLWUlJH ]XU 6HPLWLVFKHQ 6DJHQNXQGH /HLGHQ %ULOO DQG /pYL ³eOpPHQWV &KUpWLHQV´ +HLQHPDQQ $JJDGRW +HLQHPDQQ $JJDGRW
0LGUDVK DQG 0XOWLSOLFLW\
SDUDGLJP ZDV QRW D IHDWXUH RI UDEELQLF OLWHUDWXUH $W WKH VDPH WLPH QDUUDWLYH UHSUHVHQWV DQ LQQRYDWLRQ LQ WKH SUHVHQWDWLRQ DQG UHFRQFLOLDWLRQ RI FRQWUDGLFWRU\ UDEELQLF DQG QRQUDEELQLF WUDGLWLRQV +HLQHPDQQ DUJXHG WKDW 35(¶V DXWKRU UHVSRQGV ³SROHPLFDOO\´ RU ³DSRORJHWLFDOO\´ WR WKH UHFHLYHG ,VODPLF WUDGLWLRQV D FRQWHQWLRQ WKDW FRQWLQXHV WR HYRNH GHEDWH DERXW WKH UHODWLRQVKLS RI UDEELQLF OLWHUDWXUH WR HDUO\ ,VODP +HLQHPDQQ DOVR UHFRJQL]HG KRZHYHU WKDW DV DQ HGLWRULDO WRRO RI WKH DXWKRU QDUUDWLYH LV D SULQFLSOH E\ ZKLFK WKH DXWKRU UHIRUPXODWHV WKHVH UHFHLYHG WUDGLWLRQV DOEHLW LPSHUIHFWO\ ,Q KLV YLHZ 35( LV D ZRUN WKDW LV GHWHUPLQHG E\ VHYHUDO OLWHUDU\ SDUDGLJPV LQFOXGLQJ D GLJUHVVLYH LGHRORJLFDO SDUDGLJP WKDW UXQV WKURXJKRXW WKH DXWKRU¶V HGLWRULDO UHYLVLRQ RI UHFHLYHG WUDGLWLRQV +HLQHPDQQ DUJXHG WKDW WKH ZRUN¶V UHODWLRQVKLS WR WKH ,VODPLF PLOLHX LQFOXGHV DGRSWLRQ RI QDUUDWLYH H[SUHVVLRQ DQG 6FULSWXUDO WUDGLWLRQV RQ WKH RQH KDQG DQG D VXVWDLQHG LGHRORJLFDO HQJDJHPHQW ZLWK WKH GRPLQLRQ DQG GRFWULQHV RI WKH ,VODPLF PLOLHX DQG HDUOLHU UDEELQLF WUDGLWLRQV RQ WKH RWKHU ,Q KLV YLHZ 35( H[HPSOLILHV WKH UHODWLRQVKLS EHWZHHQ WKH OLWHUDU\ FXOWXUHV RI ,VODP DQG -XGDLVP DV ZHOO DV WKH DXWKRU¶V HGLWRULDO LGHRORJ\ WKH DXWKRU ERWK DGRSWV ,VODPLF WUDGLWLRQV DQG QDUUDWLYH DQG XWLOL]HV HGLWRULDO LQVHUWLRQV LQ RUGHU UHYLVH WUDGLWLRQV DFFRUGLQJ WR KLV VRFLDO LGHRORJLFDO RU WKHRORJLFDO YLHZV 1HYHUWKHOHVV DV +HLQHPDQQ SXWV LW ³WKH DXWKRU RI 35( GHDOV YHU\ IUHHO\ HYHQ DUELWUDULO\ ZLWK KLV VRXUFHV KH UHZRUNV DVVHPEOHV WUDQVIRUPV DQG FRPELQHV WKHP DFFRUGLQJ WR KLV ZLOO´ $OWKRXJK WKH DXWKRU RIWHQ XVHV QDUUDWLYH LQ RUGHU WR RULHQW DQ DQWKRORJ\ RI WUDGLWLRQV WRZDUGV WKH 6FULSWXUDO VWRU\ WKH ZRUN GRHV QRW H[KLELW D FRQVLVWHQW XVH RI WKLV HGLWRULDO BBBBBBBBBBBB
+HLQHPDQQ $JJDGRW +HLQHPDQQ $JJDGRW +HLQHPDQQ FRUUHODWHG WKH OLWHUDU\ DQG LGHRORJLFDO IHDWXUHV RI 35( LQ UHVSRQVH WR %HUQKDUG +HOOHU¶V DUWLFOH ³0XKDPPHGDQLVFKHV XQG $QWLPXKDPPHGDQLVFKHV LQ GHQ 3LUNH 5DEEL (OLH]HU´ 0RQDWVVFKULIW IU *HVFKLFKWH XQG :LVVHQVFKDIW GHV -XGHQWKXPV DQG $FFRUGLQJ WR +HOOHU WKH DXWKRU IUDPHG ,VODPLF WUDGLWLRQV ZLWK SROHPLF VWDWHPHQWV LQ RUGHU WR GLVWDQFH KLV LQWHUSUHWDWLRQV IURP WKH GRFWULQHV DQG UXOH RI ,VODP LQ >³0XKDPPHGDQLVFKHV XQG $QWLPXKDPPHGDQLVFKHV´ @ ³(V LVW XQV NODU JHZRUGHQ GHU 9HUIDVVHU GHU 3LUNH 5 ( KDW GHQ 4RUDQ XQG GLH PXKDPPHGDQLVFKH /HJHQGH JHNDQQW GLH LVODPLVFKH 8HEHUOLHIHUXQJ EHU ,VUDHO EHNlPSIW´ 7KLV GLVFXVVLRQ RI 35(¶V ³DSRORJHWLF´ RU ³SROHPLF´ YLHZ RI LWV ,VODPLF LQIOXHQFHV FRQWLQXHV LQ FRQWHPSRUDU\ GLVFRXUVH &DURO %DNKRV >LQ ,VKPDHO RQ WKH %RUGHU 5DEELQLF 3RUWUD\DOV RI WKH )LUVW $UDE 1HZ
/LWHUDU\ $UUDQJHPHQW LQ 35(
WHFKQLTXH 7KH DXWKRU VRPHWLPHV PRGLILHV WUDGLWLRQV ZLWK UHVSHFW WR QDUUDWLYH DQG LGHRORJ\ DQG VRPHWLPHV KH LQVHUWV XQPRGLILHG WUDGLWLRQV DQG RSLQLRQV ± HGLWRULDO FKRLFHV WKDW JURZ RXW RI WKH DXWKRU¶V UHODWLRQVKLS WR ,VODPLF OLWHUDU\ FXOWXUH $V PHQWLRQHG LQ WKH LQWURGXFWLRQ WR WKLV FKDSWHU P\ GLVFXVVLRQ EHORZ ZLOO DWWHPSW WR UHDVVHVV WKH SUHYDOHQW YLHZ WKDW 35( LV SULPDULO\ FRQFHUQHG ZLWK ³UHYLVLQJ´ 6FULSWXUDO QDUUDWLYH DQG WKDW WKH RWKHU OLWHUDU\ PRGHOV LQ WKH ZRUN DUH D QHFHVVDU\ EXW XQIRUWXQDWH GLVWUDFWLRQ IURP WKH ZRUN¶V QDUUDWLYH H[SRVLWLRQ RI 6FULSWXUDO DQG UDEELQLF WUDGLWLRQV $V FDQ EH VHHQ LQ +HLQHPDQQ¶V UHSUHVHQWDWLRQ RI WKH ZRUN WKH FRQWUDVW EHWZHHQ 6FULSWXUDO QDUUDWLYH DQG RWKHU OLWHUDU\ IHDWXUHV LV DV PXFK D FRPPHQW RQ WKH VRFLDO FRQWH[W RI UDEELQLF FXOWXUH DV LW LV DQ DVVHVVPHQW RI WKH ZRUN¶V OLWHUDU\ IHDWXUHV 7KH GHVLUH RI VFKRODUV WR OLQN 35( FORVHO\ ZLWK $UDELF ZRUNV VWHPV IURP D SROHPLF DERXW HDUO\ ,VODP¶V UHODWLRQVKLS ZLWK WKH +HEUHZ %LEOH RQH LQ ZKLFK QDUUDWLYH LV VHHQ DV D OHVVHU DQG PRUH ³SULPLWLYH´ IRUP RI %LEOLFDO H[HJHVLV 7KH YLHZ WKDW IRUHLJQ LQIOXHQFH LV UHVSRQVLEOH IRU WKH GHYHORSPHQW RI 35(¶V OLWHUDU\ RUJDQL]DWLRQ KRZHYHU LV QRW VDWLVIDFWRU\ 7KLV YLHZ LV EDVHG XSRQ FXOWXUDO SUHMXGLFHV DQG LQDGHTXDWHO\ GHVFULEHV 35(¶V PXOWLIDFHWHG UHFRQILJXUDWLRQ RI 6FULSWXUDO DQG UDEELQLF WUDGLWLRQV $FFRUGLQJO\ WKH JRDO RI P\ GLVFXVVLRQ LQ WKLV ZRUN LV WR XQGHUVWDQG 35(¶V UROH ZLWKLQ UDEELQLF OLWHUDWXUH LWVHOI DQG WR FRPSUHKHQG WKH UHODWLRQVKLS EHWZHHQ LWV OLWHUDU\ IRUPV DQG WKH ZD\ LW UHFHLYHV WUDQVPLWV DQG WUDQVIRUPV 6FULSWXUDO DQG UDEELQLF GLVFRXUVH P\ PHDQLQJ VKRXOG EHFRPH PRUH DSSDUHQW DV WKH GLVFXVVLRQ RI 35( SURFHHGV 1DWXUDOO\ 35( FDQQRW EH LVRODWHG IURP WKH LQIOXHQFHV RI LWV ,VODPLF PLOLHX HYHQ LI ZH GR QRW W\SRORJLFDOO\ UHGXFH WKRVH LQIOXHQFHV WR QDUUDWLYH 7KH TXHVWLRQ RI 35(¶V GHSDUWXUH IURP WKH PRGHOV RI FODVVLFDO UDEELQLF OLWHUDWXUH KRZHYHU FDQ EH DQVZHUHG RQ WKH EDVLV RI WKH ZRUN¶V GHYHORSPHQW RI UDEELQLF DQG 6FULSWXUDO WUDGLWLRQV $ WDUJHWHG DQDO\VLV RI WKH UHODWLRQVKLS EHWZHHQ QDUUDWLYH DQG RWKHU OLWHUDU\ IHDWXUHV ZLOO PDNH FOHDU WKDW D FXOWXUDO H[SODQDWLRQ IRU 35(¶V OLWHUDU\ FKDUDFWHU LV XQQHFHVVDU\ DQG WKDW WKH ZRUN H[KLELWV D PRUH PXOWLIDFHWHG XQGHUVWDQGLQJ RI 6FULSWXUDO H[SRVLWLRQ
BBBBBBBBBBBB
+HLQHPDQQ $JJDGRW
0LGUDVK DQG 0XOWLSOLFLW\
1DUUDWLYH DQG 1DUUDWLYL]DWLRQ LQ -RQDK )RU PDQ\ RI WKH VFKRODUV GLVFXVVHG DERYH FKDSWHU WHQ RI 35( EHVW H[HPSOLILHV WKH ZRUN¶V FRPSOH[ UHODWLRQVKLS ZLWK 6FULSWXUDO QDUUDWLYH ,Q WKHLU YLHZ WKLV FKDSWHU H[KLELWV D ILGHOLW\ WR WKH VWRU\ RI -RQDK RQ WKH RQH KDQG DQG D GLJUHVVLYH GLVUXSWLRQ RI WKLV QDUUDWLYH WKURXJK HGLWRULDO LQVHUWLRQV RU RWKHU DXWKRULDO WHFKQLTXHV RQ WKH RWKHU $FFRUGLQJ WR (OEDXP DQG RWKHU VFKRODUV WKH DXWKRU ILOOV LQ WKH QDUUDWLYH JDSV ZLWK OHQJWK\ DFFRXQWV RI -RQDK¶V LPPHUVLRQ LQ WKH VHD DQG WKH SUHKLVWRU\ RI -RQDK¶V SURSKHF\ WKDW H[SDQG WKH FRQWHQW RI WKH 6FULSWXUDO QDUUDWLYH )XUWKHUPRUH WKH DXWKRU LQWHUZHDYHV DQDORJLHV WKDW FRUUHODWH VLPLODU 6FULSWXUDO HYHQWV LQWR WKH QDUUDWLYH GLJUHVVLQJ IXUWKHU IURP WKH -RQDK QDUUDWLYH 2QH VXFK DQDORJ\ LV WKDW GUDZQ EHWZHHQ -RQDK¶V VHDIDULQJ MRXUQH\ DQG WKH FURVVLQJ RI WKH 6HD RI 5HHGV DQG 1RDK¶V DUN DQG WKH RXWFU\ RI WKH SURSKHWV RI %D¶DO DW 0W &DUPHO 7KH FKDSWHU LQWHJUDWHV GHWDLOV HYHQWV ULWXDOV DQG DQDORJLHV LQ RUGHU WR ³LQWHUODFH 6FULSWXUDO GHWDLOV >E\ TXRWDWLRQ RU SDUDSKUDVH@ DQG QHZ GHWDLOV « DQG HPEHOOLVKPHQWV´ &RQVHTXHQWO\ VFKRODUV KDYH DUJXHG WKDW FKDSWHU WHQ H[HPSOLILHV WKH ZRUN¶V ³ILUVW PRWLYH D QDUUDWLYH RI WKH HYHQWV RI 6FULSWXUH´ ZKHUHDV WKH FKDSWHU¶V RWKHU VWUXFWXUDO IHDWXUHV ³H[SDQG´ WKH QDUUDWLYH FRQWHQW DQG WKXV GLJUHVV IURP WKLV QDUUDWLYH VW\OH 7KH XQHDV\ EDODQFH LQ WKH ZRUN EHWZHHQ QDUUDWLYH DQG GLJUHVVLYH IHDWXUHV LV ODLG EDUH LQ FKDSWHU WHQ DQ RSSRUWXQH SODFH IRU XV WR EHJLQ WR TXHVWLRQ KRZ VXFK D FKDSWHU FDQ H[HPSOLI\ WKH ZRUN¶V OLWHUDU\ VWUXFWXUH $OWKRXJK FKDSWHU WHQ LV D FRPPRQO\ FLWHG H[DPSOH RI WKH WHQVLRQV EHWZHHQ QDUUDWLYH DQG RWKHU OLWHUDU\ IHDWXUHV LQ 35( WKLV UHDGLQJ RI WKH FKDSWHU LV SUREOHPDWLF IRU D QXPEHU RI UHDVRQV 7KH LQLWLDO DQG PRVW JODULQJ SUREOHP ZLWK WKLV SHUVSHFWLYH LV WKDW WKH VWRU\ RI -RQDK GRHV QRW FRUUHVSRQG WR WKH KLVWRULFDO SURJUHVV RI WKH 3HQWDWHXFK 7KLV FKDSWHU GRHV QRW FRQWLQXH WKH ZRUN¶V FKURQRORJLFDO SURJUHVVLRQ IURP FUHDWLRQ WR WKH ILQDO FKDSWHUV RI ([RGXV 5DWKHU WKH VWRU\ RI -RQDK GHSDUWV IURP WKH QDUUDWLYH LQ WKH 3HQWDWHXFK BBBBBBBBBBBB
(OEDXP ³5KHWRULF´ 7KLV FLWDWLRQ RFFXUV LQ UHIHUHQFH WR FKDSWHU IRUW\WZR EXW LV JLYHQ ZLWKLQ D OLVW RI VLPLODU H[HPSOD 6HH *LQ]EHUJ /HJHQGV 9ROXPH 9, QRWH 6HH (OEDXP ³5KHWRULF´ (OEDXP ³5KHWRULF´ (OEDXP ³5KHWRULF´ 'LQD 6WHLQ DOVR DUJXHG >LQ 0HPUD 0DJLD 0LWRV QRWH @ =XQ]¶V ³FKURQRORJ\´ LV SUREOHPDWLF
/LWHUDU\ $UUDQJHPHQW LQ 35(
LQ RUGHU WR GLVFXVV DQ HSLVRGH IURP WKH 3URSKHWV &RQVHTXHQWO\ WKH DUJXPHQW WKDW 35( LV SULPDULO\ FRQFHUQHG ZLWK QDUUDWLYH FKURQRORJ\ PXVW H[HPSW FKDSWHU WHQ IURP WKH ZRUN¶V FRQFHUQ ZLWK 6FULSWXUDO FKURQRORJ\ (YHQ LI FKDSWHU WHQ LV JXLGHG E\ WKH QDUUDWLYH IURP -RQDK ZKHUH GRHV LW ILW LQWR WKH VWUXFWXUDO RUJDQL]DWLRQ RI WKH ZRUN" ,I ZH DFFHSW QDUUDWLYH FKURQRORJ\ ± WKDW LV WKH VWRULHV GUDZQ IURP WKH 3HQWDWHXFK DV WKH SULPDU\ DUHD RI IRFXV WKLV H[DPSOH FDQQRW VXSSRUW WKH ZRUN¶V QDUUDWLYH LQFOLQDWLRQ LQ WKH ZD\ WKDW WKHVH VFKRODUV ZLVK 7KLV SUREOHP LV HDVLO\ UHVROYHG KRZHYHU LI ZH UHDVVHVV WKH UHODWLRQVKLS RI 35(¶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¶V HQXPHUDWLRQ RI GD\V VHYHUDO RI WKH FKDSWHUV FRQWDLQ DQ H[SOLFLW UHIHUHQFH WR WKH GD\ WR ZKLFK WKH\ EHORQJ RU D UHIHUHQFH WR DQ HYHQW RU V\PERO ZKLFK UHIHUV WR WKDW GD\ 6LPLODU WR WKH OLVWV RI WKH WHQ GLYLQH GHVFHQWV RU WKH WHQ WULDOV RI $EUDKDP IRXQG HOVHZKHUH LQ 35( WKH OLVW RI WKH GD\V RI FUHDWLRQ SURYLGHV D VWUXFWXUDO FRQWH[W WKDW DOORZV WKH LQWURGXFWLRQ RI -RQDK¶V QDUUDWLYH LQWR WKH VWUXFWXUH RI WKHVH FKDSWHUV 0RUHRYHU FKDSWHU WHQ H[SOLFLWO\ UHIHUV WR LWV SODFH ZLWKLQ WKH HQXPHUDWLYH OLVW WKH FKDSWHU EHJLQV ZLWK WKH UHPDUN ³RQ WKH ILIWK GD\ -RQDK IOHG EHIRUH KLV *RG´ 7KH SUHYLRXV FKDSWHU LV RFFXSLHG ZLWK DQ H[SDQVLYH GLVFXVVLRQ RI WKH FUHDWLRQ RI ELUGV ILVK ORFXVWV DQG WKH /HYLDWKDQ RQ WKH ILIWK GD\ 6R WRR ZH FDQ DUJXH WKDW WKH QDUUDWLYH RI -RQDK FRQWLQXHV WKH ZRUN¶V H[SORUDWLRQ RI WKLV ILIWK GD\ )XUWKHUPRUH -RQDK¶V HQFRXQWHU ZLWK /HYLDWKDQ BBBBBBBBBBBB
(OEDXP GRHV QRW H[SODLQ WKH GLYLVLRQ RI WKH ZRUN¶V DFFRXQW RI WKH -RQDK QDUUDWLYH EHWZHHQ FKDSWHU WHQ DQG FKDSWHU IRUW\WKUHH 7KRVH FKDSWHUV ZKLFK GR QRW DSSHDU WR ILW LQWR WKLV GHVFULSWLRQ RI WKH OLWHUDU\ VWUXFWXUH VXFK DV FKDSWHUV ILIWHHQ WR VHYHQWHHQ FRPSULVH D VXEVHW ZLWKLQ WKLV VWUXFWXUH 6HH P\ GLVFXVVLRQ RI µWKHPDWLF¶ FKDSWHUV EHORZ 0DQ\ SDUDOOHO ZDWHU LPDJHV RQ WKH ILIWK GD\ WKURXJKRXW WKH FKDSWHU DUH UHIHUHQFHG VXFK DV ZKHQ WKH ZDWHUV ZHUH FKDQJHG LQWR EORRG LQ (J\SW WKH GD\ RI WKH ([RGXV WKH GD\ WKDW WKH -RUGDQ ZDV FURVVHG DQG WKH GD\ +H]HNLDK VWRSSHG WKH IRXQWDLQV 7KLV OLWHUDU\ IHDWXUH ZDV
0LGUDVK DQG 0XOWLSOLFLW\
ZKLFK LQLWLDWHV -RQDK¶V MRXUQH\ LQWR WKH FRVPRJUDSK\ RI WKH ZDWHU\ GHSWKV XQGHUVFRUHV WKH LPSRUWDQFH RI WKH ILIWK GD\ WR WKH FRQWHQW RI WKH -RQDK QDUUDWLYH )ULHGODQGHU QRWHV ³7KH VWRU\ RI -RQDK EHORQJV WR WKH VHULHV RI HYHQWV ZKLFK KDSSHQHG RQ 7KXUVGD\ PRUHRYHU WKH /HYLDWKDQ PHQWLRQHG LQ FRQQHFWLRQ ZLWK WKH VWRU\ ZDV FUHDWHG RQ WKH ILIWK GD\´ &RQVHTXHQWO\ WKH -RQDK HSLVRGH UHSUHVHQWV WKH ZRUN¶V LQWHJUDWLRQ RI QDUUDWLYH GLVFRXUVH ZLWK LWV H[SORUDWLRQ RI WKH GD\V RI FUHDWLRQ :H PXVW DVVXPH WKDW WKH ILIWK GD\ LV FHQWUDO WR WKH SUHVHQFH RI WKH VWRU\ RI -RQDK VLQFH LW FUHDWHV D ERQG EHWZHHQ WKLV FKDSWHU DQG WKRVH ZKLFK DUH SULRU DQG VXEVHTXHQW 7KH DSSHDUDQFH RI WKLV VWRU\ RFFXUV ZLWKLQ WKH FRQWH[W RI WKLV OLVW RI GD\V DQG UHSUHVHQWV D FRQVLVWHQW OLQH RI GLVFRXUVH 7KLV H[HPSODU\ VHFWLRQ RI 35( GHPRQVWUDWHV WKDW WKH FKDSWHU LV GHILQHG E\ WKH LQWHUDFWLRQ RI -RQDK¶V QDUUDWLYH ZLWK WKH H[SRVLWRUV¶ XVH RI HQXPHUDWLRQ 7KH ZRUN LWVHOI GRHV QRW LQGLFDWH WKDW QDUUDWLYH GRPLQDWHV WKH SODQ RI WKH ZRUN 2Q WKH FRQWUDU\ FKDSWHU WHQ GHPRQVWUDWHV WKDW QDUUDWLYH DQG OLVWV FRH[LVW ZLWKLQ WKH OLWHUDU\ VWUXFWXUH RI WKH ZRUN :LWK LWV VWUDWHJLF XVH RI D SKUDVH WKDW LQGLFDWHV WKH FRQQHFWLRQ EHWZHHQ LWV QDUUDWLYH DQG OLVW WKH WHQWK FKDSWHU GHPRQVWUDWHV WKDW 35(¶V H[SRVLWLRQ HQJDJHV ERWK QDUUDWLYH DQG OLVWV LQ WKH FRQWH[W RI RQH DQRWKHU 7KLV WHQWK FKDSWHU SUHVHQWV WKH QDUUDWLYH RI -RQDK D FRVPRJUDSK\ RI WKH ZDWHU\ GHSWKV LQ WKH FRQWH[W RI WKH ILIWK GD\ RI FUHDWLRQ &RQVHTXHQWO\ WKLV HSLVRGH H[HPSOLILHV WKH ZRUN¶V PXOWLIDFHWHG DQG LQWHUGHSHQGHQW OLWHUDU\ RUJDQL]DWLRQ RQH WKDW LV LQIRUPHG E\ D PRUH FRPSOH[ UHSUHVHQWDWLRQ RI 6FULSWXUH WKDQ QDUUDWLYH DORQH
7KH 7HQ 7ULDOV DQG 6FULSWXUDO 1DUUDWLYH ,I FKDSWHU WHQ FDQ HPERG\ WKH FROODERUDWLRQ RI QDUUDWLYH DQG OLVWV LQ 35( LW VXUHO\ LV QRW DQ LVRODWHG H[DPSOH RI WKH UHODWLRQVKLS EHWZHHQ WKHVH WZR IHDWXUHV $QRWKHU LPSRUWDQW H[DPSOH RI WKH LQWHUDFWLRQ EHWZHHQ QDUUDWLYH DQG OLVWV LV DWWHVWHG LQ WKH VHFWLRQ RQ WKH WHQ WULDOV RI $EUDKDP &KDSWHUV WZHQW\VL[ WKURXJK WKLUW\RQH UHODWH WKH HYHQWV RI $EUDKDP¶V OLIH IURP *HQHVLV 7KHVH FKDSWHUV DUH SUHFHGHG E\ WKH VWRU\ RI $EUDKDP¶V DGYHQWXUHV LQ 6RGRP LQ FKDSWHU WZHQW\ILYH DQG DUH IROORZHG E\ WKH GHDWK RI 6DUDK DQG WKH VWUXJJOH BBBBBBBBBBBB
DOVR QRWLFHG E\ $GHOPDQ >LQ 3RHWLFV RI 7LPH DQG 6SDFH @ EXW VKH GLG QRW FRUUHODWH WKLV IHDWXUH WR WKH OLWHUDU\ RUJDQL]DWLRQ RI WKH ZRUN )ULHGODQGHU 3LUNH QRWH
/LWHUDU\ $UUDQJHPHQW LQ 35(
IRU ,VDDF¶V EOHVVLQJ EHWZHHQ -DFRE DQG (VDX LQ FKDSWHU WKLUW\WZR /LNH WKH VWRU\ RI -RQDK LQ FKDSWHU WHQ WKLV VHFWLRQ KDV EHHQ LGHQWLILHG DV DQ H[DPSOH RI 35(¶V ILGHOLW\ WR WKH VWUXFWXUH RI 6FULSWXUDO QDUUDWLYH /HZLV %DUWK VXPV XS WKLV FRQWHQWLRQ ³$FFRUGLQJ WR WKH DVVHVVPHQW RI VFKRODUV 35( LQ JHQHUDO DQG WKH WULDOV LQ SDUWLFXODU UHSUHVHQW WKH ILUVW SKDVH LQ WKH WUDQVLWLRQ IURP WKH VHUPRQLF IRUP WR WKH GHYHORSPHQW RI QDUUDWLYH IRXQGDWLRQV LQ WKH UHYLVHG QDUUDWLYH RI 6FULSWXUH GXULQJ WKH PHGLHYDO HUD´ $V LQ WKH H[DPSOH IURP FKDSWHU WHQ DERYH KRZHYHU WKH VFKRODUO\ FRQVHQVXV RQ WKH QDUUDWLYH FKDUDFWHU RI WKLV VHFWLRQ LV XQIRUWXQDWHO\ RQHVLGHG (YHQ RQ WKH VXUIDFH $EUDKDP¶V WULDOV H[KLELW D OLVW ± VSHFLILFDOO\ D OLVW RI WKH WHQ WULDOV LQWURGXFHG LQ FKDSWHU WZHQW\VL[ ± WKDW LQIRUP DQG LQWHUDFW ZLWK WKH QDUUDWLYH GHYHORSPHQW RI $EUDKDP¶V OLIH 7KLV VHULHV RI FKDSWHUV HQXPHUDWH WKH WULDOV DV WKH\ VKDSH WKH WUDMHFWRU\ RI $EUDKDP¶V OLIH 7KH GHVLJQDWLRQ RI WKH VHFWLRQ RQ $EUDKDP DV WKH ³WHQ WULDOV´ LQGLFDWHV WKDW WKLV VHFWLRQ LV DV ZHOO GHILQHG E\ D OLVW RI WKH HYHQWV DV LW LV E\ WKHVH HYHQWV¶ QDUUDWLYH FKURQRORJLHV RU WHFKQLTXHV &RQVHTXHQWO\ WKH V\PELRWLF UHODWLRQVKLS EHWZHHQ OLVWV DQG QDUUDWLYH HDFK RI ZKLFK UHSUHVHQWV WKH HYHQWV WKURXJK D GLIIHUHQW OLWHUDU\ OHQV LV HYLGHQW HYHQ RQ WKH VXUIDFH ,Q DGGLWLRQ WR WKLV FRLQFLGHQFH RI QDUUDWLYH DQG OLVWV 35( H[KLELWV DGGLWLRQDO IHDWXUHV WKDW GHPRQVWUDWH WKH LQWHJUDWLRQ RI WKLV QDUUDWLYH RI $EUDKDP¶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¶V OLIH LV RUJDQL]HG E\ YLUWXH RI WKH H[SRVLWRUV¶ LQWURGXFWLRQ RI WKHVH WULDOV 2Q WKH RQH KDQG WKH FRRUGLQDWLRQ RI QDUUDWLYH DQG OLVWV LQ WKHVH FKDSWHUV DORQH LV GHPRQVWUDWHG ZLWK D QDUUDWLYH ZKLFK SUHFHGHV WKH WULDOV LQ WKH ZRUN¶V OLWHUDU\ UHSUHVHQWDWLRQ RI $EUDKDP¶V OLIH EXW SRVWGDWHV WKH ILUVW WULDO FKURQRORJLFDOO\ LQ FKDSWHU WZHQW\ILYH $EUDKDP¶V H[SHULHQFHV LQ 6RGRP *HQHVLV DUH LQWURGXFHG EHIRUH WKH WULDO RI $EUDKDP¶V ELUWK LQ FKDSWHU BBBBBBBBBBBB
%DUWK ³/HFWLRQ IRU WKH 6HFRQG 'D\ RI 5RVK +DVKDQDK $ +RPLO\ &RQWDLQLQJ WKH /HJHQG RI WKH 7HQ 7ULDOV RI $EUDKDP´ +HEUHZ 8QLRQ &ROOHJH $QQXDO
0LGUDVK DQG 0XOWLSOLFLW\
WZHQW\VL[ ,I 35( VRXJKW WR HVWDEOLVK LWV ILGHOLW\ WR 6FULSWXUDO FKURQRORJ\ $EUDKDP¶V ELUWK VKRXOG KDYH SUHFHGHG WKH HYHQWV RI 6RGRP ± \HW WKH DSSHDUDQFH RI WKH WHQ WULDOV UHRULHQWV WKH QDUUDWLYH FKURQRORJ\ WRZDUGV $EUDKDP¶V ELUWK EHFDXVH 6RGRP LV QRW LQ WKH OLVW RI WULDOV )XUWKHUPRUH FKDSWHU WZHQW\VL[ LQWURGXFHV WKH ILUVW ILYH WULDOV RI $EUDKDP ZLWKRXW DQ\ GHYHORSPHQW RI QDUUDWLYH FRQWHQW 35(¶V 6FULSWXUDO FKURQRORJ\ WKHUHIRUH RQO\ RFFXUV ZLWKLQ WKH FRQWH[W RI WKLV OLVW ± WKH ³LPSRUWDQW HYHQWV´ WKDW DUH GUDZQ IURP WKH OLVW RI WKH WHQ WULDOV 7KH UHODWLRQVKLS EHWZHHQ QDUUDWLYH DQG OLVWV KRZHYHU GRHV QRW QHFHVVDULO\ LQGLFDWH WKH VXERUGLQDWLRQ RI RQH OLWHUDU\ PRGHO WR WKH RWKHU 2Q WKH FRQWUDU\ QDUUDWLYH DQG HQXPHUDWLRQ DUH V\PELRWLF OLWHUDU\ IRUPV LQ ZKLFK QDUUDWLYH DQG OLVWV LQWHUDFW DQG FROODERUDWH ZLWKLQ WKH ZRUN¶V UHFHSWLRQ WUDQVPLVVLRQ DQG WUDQVIRUPDWLRQ RI 6FULSWXUDO DQG UDEELQLF WUDGLWLRQV ,Q WKH ZRUN¶V WUDQVPLVVLRQ RI 6FULSWXUDO DQG UDEELQLF WUDGLWLRQV WKH VHFWLRQV WKDW KDYH EHHQ LGHQWLILHG DV QDUUDWLYH DUH LQFOLQHG PRUH WRZDUGV D ³QDUUDWLYL]DWLRQ´ RU DQ HGLWRULDO UHYLVLRQ RI UHFHLYHG WUDGLWLRQV LQWR D VLQJOH VWRU\ WKDQ WRZDUGV D VWUDLJKWIRUZDUG UHSUHVHQWDWLRQ RI 6FULSWXUDO FKURQRORJ\ 1DUUDWLYH LV QRW WKH SULPDU\ RUJDQL]DWLRQDO IUDPHZRUN EXW DQ DGGLWLRQDO OLWHUDU\ IHDWXUH WKDW UHYHDOV WKH ZRUN¶V UHODWLRQVKLS WR 6FULSWXUH HYHQ LI ³>WKH DXWKRU@ GRHV QRW FLWH ± HLWKHU LQ WKHLU ODQJXDJH RU KLV± DOO RI WKH YHUVHV XVHG E\ WKH 6FULSWXUDO VWRU\ WHOOHU DQG WKH FLWDWLRQ LV QRW DOZD\V DFFRUGLQJ WR WKH FKURQRORJLFDO RUGHU RI 6FULSWXUH´ 7KH OLWHUDU\ IUDPLQJ GHYLFH RI WKLV VHFWLRQ LV QDUUDWLYH \HW WKH HQWLUHW\ RI WKH $EUDKDPLF HSLVRGHV RFFXUV LQ FRRUGLQDWLRQ ZLWK DQRWKHU WDVN RI WKH H[SRVLWRUV WKH FUHDWLRQ RI D OLVW RI WKH WULDOV (YHQ WKH $EUDKDPLF QDUUDWLYH WKDW SUHFHGHV WKH VHFWLRQ WKH MXGJPHQW RI 6RGRP RFFXUV ZLWKLQ WKH OLWHUDU\ IUDPHZRUN RI D OLVW WKH WHQ GLYLQH GHVFHQWV 6RGRP LV WKH VLWH RI WKH WKLUG GLYLQH GHVFHQW DQG LV LWVHOI SUHFHGHG E\ WKH VHFRQG GHVFHQW LQ FKDSWHU WZHQW\IRXU &RQVHTXHQWO\ 35(¶V QDUUDWLYHV RIWHQ SUHVHQW D FROODERUDWLYH OLWHUDU\ PRGHO EHWZHHQ QDUUDWLYH DQG OLVWV 7KH VHFWLRQ PDQLIHVWV D OLQHDU GHYHORSPHQW RI WKH HYHQWV DVVRFLDWHG ZLWK WKH WHQ WULDOV DORQJVLGH WKH GHYHORSPHQW RI QDUUDWLYH FKURQRORJ\ 7KH H[SRVLWRUV¶ FKRLFH WR QHJRWLDWH $EUDKDP¶V H[SHULHQFHV LQ WKLV ZD\ UHIOHFWV D PXOWLIDFHWHG WUDQVIRUPDWLRQ RI 6FULSWXUH DQG WKHLU WUDQVODWLRQ RI PLGUDVKLF H[SRVLWLRQ LQ GHIHUHQFH WR D QXPEHU RI DOLJQHG OLWHUDU\ JRDOV 7KH V\PELRWLF FRQIOXHQFH RI QDUUDWLYH DQG OLVWV LQ FKDSWHUV WZHQW\VL[ WKURXJK WKLUW\RQH H[HPSOLILHV WKH H[SRVLWRU\ RULHQWDWLRQ RI WKH ZRUN :H FDQ VHH WKDW WKH QDUUDWLYH HOHPHQWV RI WKH VHFWLRQ RFFXU LQ WKH FRQWH[W RI D OLVW $V BBBBBBBBBBBB
(OEDXP ³5KHWRULF´
/LWHUDU\ $UUDQJHPHQW LQ 35(
LQ FKDSWHU WHQ WKH 6FULSWXUDO QDUUDWLYH GHYHORSV LQ FRQMXQFWLRQ ZLWK WKH VWUXFWXUDO HQXPHUDWLRQ RI WKH OLVW \HW WKLV OLVW LV GHYHORSHG DORQJVLGH QDUUDWLYL]DWLRQ DQG WKH ZRUN¶V GHYHORSPHQW RI WKH QDUUDWLYH FKURQRORJ\ RI WKH 3HQWDWHXFK 1DUUDWLYH DQG OLVWV ERWK LQWURGXFH DQ RUJDQL]DWLRQ WKDW FRUUHVSRQGV WR WKH ZRUN¶V UHFHSWLRQ WUDQVPLVVLRQ DQG WUDQVIRUPDWLRQ RI 6FULSWXUH ,Q WKLV VHFWLRQ WKH 6FULSWXUDO QDUUDWLYH DQG D OLVW LQWHUWZLQH LQ RUGHU UHSUHVHQW $EUDKDP¶V OLIH ,Q WZR OLWHUDU\ UHSUHVHQWDWLRQV RI $EUDKDP¶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¶V RUJDQL]DWLRQ RI 6FULSWXUDO DQG UDEELQLF WUDGLWLRQV 8SRQ FORVHU DQDO\VLV WKHVH DSSDUHQW H[DPSOHV RI WKH ZRUN¶V DGKHUHQFH WR WKH 6FULSWXUDO QDUUDWLYH H[KLELW WKH FRPSOH[LW\ RI 35(¶V UHFHSWLRQ WUDQVPLVVLRQ DQG WUDQVIRUPDWLRQ RI 6FULSWXUDO DQG UDEELQLF WUDGLWLRQV
7KH &RQWH[W RI 7KHPDWLF 'LVFRXUVH 7KH SUHYLRXV VHFWLRQ VRXJKW WR UHYHUVH WKH SHUFHSWLRQ WKDW 35( LV SULPDULO\ GHWHUPLQHG E\ QDUUDWLYH XSRQ FORVHU H[DPLQDWLRQ WZR H[DPSOHV RI ³QDUUDWLYH´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¶V XVH RI D VLQJOH IHDWXUH GRHV QRW SUHFOXGH WKH LQWURGXFWLRQ DQG FRPSOHWLRQ RI DQRWKHU QDUUDWLYH OLVW RU RWKHU VWUXFWXUDO IHDWXUH &RQVHTXHQWO\ , KDYH DUJXHG WKDW WKH VWUXFWXUDO H[SUHVVLRQ RI WKH ZRUN H[KLELWV D FRPSOH[ LQWHUDFWLRQ RI OLWHUDU\ IRUPV HDFK RI ZKLFK RULHQW WKH ODQJXDJH DQG FRQWHQW RI 6FULSWXUH DQG WUDGLWLRQ WRZDUGV D SDUWLFXODU VWUXFWXUDO H[SUHVVLRQ 7KH PXOWLIDFHWHG OLWHUDU\ RUJDQL]DWLRQ RI 35( KRZHYHU GRHV QRW IRUFH XV WR FRQVLGHU WKH ZRUN DV DQ DQWKRORJ\ RI DWWULEXWHV DV D ³FRPSRVLWH´ ZRUN RU
0LGUDVK DQG 0XOWLSOLFLW\
DV D ³GLJUHVVLYH´ UHYLVLRQ RI WKH 6FULSWXUDO QDUUDWLYH ,Q WKH H[DPSOHV , H[SORUH EHORZ , ZLOO DUJXH WKDW WKHPHV DUH D WKLUG V\PELRWLF OLWHUDU\ IRUP SUHVHQW LQ WKH ZRUN /LNH WKH QDUUDWLYHV DQG OLVWV WKH WKHPHV LQ 35( FRRUGLQDWH DQG LOOXPLQDWH WKH ZRUN¶V UHFHSWLRQ WUDQVPLVVLRQ DQG WUDQVIRUPDWLRQ RI 6FULSWXUDO DQG UDEELQLF WUDGLWLRQV DQG SURYLGH DQRWKHU OLWHUDU\ PRGHO RI H[SRVLWLRQ ZLWKLQ WKH FRQWH[W RI WKH ZRUN¶V RWKHU VWUXFWXUDO IHDWXUHV
&RVPRORJ\ DQG WKH 3ULQFLSOHV RI ,QWHUFDODWLRQ ,Q KLV DVVHVVPHQW RI WKH VWUXFWXUDO IUDPHZRUN RI 35( *HUDOG )ULHGODQGHU DUJXHG WKDW WKH GLVFXVVLRQV RI FRVPRORJ\ WKDW DUH IRXQG LQ FKDSWHUV VL[ WKURXJK HLJKW IRUP RQH RXW RI WKH ³WKUHH RULJLQDOO\ GLVWLQFW VHFWLRQV´ RI WKH ZRUN 7KHVH FKDSWHUV SURYLGH D OHQJWK\ DQG GHWDLOHG GLVFXVVLRQ RI DVWURQRP\ DQG WKH LQWHUFDODWLRQ RI WKH UDEELQLF OXQLVRODU FDOHQGDU DQG DV VXFK VWDQGV LQ FRQWUDVW WR WKH UHVW RI WKH ZRUN ,W ZDV ORQJ KHOG WKDW WKH UHODWLRQVKLS EHWZHHQ WKHVH FKDSWHUV DQG 35( DV D ZKROH ZDV VXVSHFW D UHIOHFWLRQ RI WKH ZRUN¶V DQWKRORJLFDO DWWULEXWHV ³:KHWKHU WKH WKUHH FKDSWHUV GHDOLQJ ZLWK WKH &DOHQGDU DUH VHHQ DV DQ LQWHJUDO SDUW RI WKH VHFWLRQ SUHYLRXVO\ GLVFXVVHG RU ZKHWKHU WKH\ EHORQJ WR WKH DFWXDO 3LUNH GH 5DEEL (OLH]HU LV D PRRW SRLQW ZKLFK FDQQRW EH GHFLGHG RIIKDQG >VLQFH WKH ZKROH ZRUN LV VXEMHFW WR D YDVW GHJUHH RI FRPELQDWLRQ@´ 0RUH FRQWHPSRUDU\ VFKRODUV KDYH UHFRJQL]HG WKDW WKHVH FKDSWHUV QRW RQO\ GLIIHU IURP RWKHU VHFWLRQV RI 35( LQ WHUPV RI VWUXFWXUH EXW DUH DOVR PDUNHG E\ OLWHUDU\ LQFRQVLVWHQFLHV 6SHFLILFDOO\ +HLQHPDQQ DQG RWKHU VFKRODUV VDZ WKH VHFWLRQ DV ³PDUUHG E\ LQWHUSRODWLRQV´ &RQVHTXHQWO\ WKHVH FKDSWHUV KDYH EHHQ VHHQ DV DQ DQRPDO\ ZLWKLQ 35(¶V OLWHUDU\ VWUXFWXUH DQG DV RQH RI WKH SULQFLSDO REVWDFOHV WR WKH FRKHUHQFH RI 35(¶V OLWHUDU\ RUJDQL]DWLRQ ,Q KLV GHWDLOHG DQDO\VLV RI WKHVH FKDSWHUV 6DFKD 6WHUQ LPSURYHG RQ SUHYLRXV DQDO\VHV RI WKH ZRUN¶V FRVPRORJLFDO GLVFXVVLRQ 6WHUQ¶V SULPDU\ BBBBBBBBBBBB
(OEDXP ³5KHWRULF´ )ULHGODQGHU 3LUNH [Y )ULHGODQGHU 3LUNH [YL +HLQHPDQQ $JJDGRW QRWH (OEDXP >LQ (OEDXP ³5KHWRULF´ @ DUJXHG WKDW WKHVH FKDSWHUV GHULYHG IURP WKH ZRUN¶V RULHQWDWLRQ WRZDUGV UDEELQLF P\VWLFLVP (SKUDLP - :HLVHQEHUJ ³7KH &DOHQGDU´ (QF\FORSHGLD -XGDLFD 9ROXPH 9 -HUXVDOHP .HWHU
/LWHUDU\ $UUDQJHPHQW LQ 35(
FRQWULEXWLRQ ZDV VKRZLQJ QRW RQO\ KRZ WKH FKDSWHUV DUH WH[WXDOO\ FRUUXSW EXW PRUH LPSRUWDQWO\ WKH UHDVRQ ZK\ WKH\ GR QRW RIIHU D YLDEOH PRGHO IRU WKH -HZLVK FDOHQGDU $FFRUGLQJ WR 6WHUQ FKDSWHU VHYHQ H[KLELWV WZR FRQWUDGLFWRU\ UHSUHVHQWDWLRQV RI OXQDWLRQ RQH RI ò GD\V DQG WZRWKLUGV RI DQ KRXU DQG DQRWKHU RI ò GD\V WZRWKLUGV RI DQ KRXU DQG ³SDUWV´ %\ HLWKHU UHFNRQLQJ WKH UHVXOW LV DQ LPSUDFWLFDO \HDU F\FOH LI XVHG WKLV FDOHQGDU ZRXOG EHFRPH LQRSHUDEOH DIWHU D IHZ JHQHUDWLRQV EHFDXVH RI WKH IDXOW\ FRUUHVSRQGHQFH EHWZHHQ WKH LQWHUFDODWLRQ DQG WKH DFWXDO DSSHDUDQFH RI WKH QHZ PRRQ )XUWKHUPRUH 6WHUQ UHPDUNHG WKDW WKH WH[W H[KLELWV LQWHUSRODWLRQV WKDW PDNH WKH WUDGLWLRQ ³VR FRUUXSW >WKDW LW LV@ YLUWXDOO\ XQXVDEOH´ LQ VHYHUDO LQVWDQFHV ,Q KLV YLHZ WKH SUREOHP RI WKHVH FKDSWHUV LV H[SUHVVHG LQ WKH ZRUN¶V FRQWUDGLFWRU\ DQG LQFRKHUHQW DUWLFXODWLRQ RI WKH LQWHUFDODWLRQ 'HVSLWH WKHVH VLJQLILFDQW FULWLFLVPV 6WHUQ DOVR SURYLGHG D ZD\ WR XQGHUVWDQG WKHVH FKDSWHUV¶ UHODWLRQVKLS ZLWK WKH UHVW RI WKH ZRUN +H H[SODLQHG WKDW 35(¶V YHUVLRQ RI WKH FDOHQGDU LV IRXQGHG XSRQ DQ ³LGHRORJLFDO´ VWUXFWXUH WKDW XQLWHV WKH FKDSWHU¶V PDWKHPDWLFDO LQDFFXUDFLHV XQGHU D VLQJOH SURMHFW DQG DLP WKH FRUUHODWLRQ RI LQWHUFDODWLRQ ZLWK WKH IRXUWK GD\ RI FUHDWLRQ $FFRUGLQJ WR 6WHUQ WKH FRVPRORJLFDO DFFRXQWV RI 35( DQG RWKHU HDUO\ WH[WV SDUWLFXODUO\ %DUDLWKD GH6KHPXHO UHSUHVHQW DQ ³LGHDO´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
6DFKD 6WHUQ &DOHQGDU DQG &RPPXQLW\ $ +LVWRU\ RI WKH -HZLVK &DOHQGDU 6HFRQG &HQWXU\ %&( ± 7HQWK &HQWXU\ &( 2[IRUG 2[IRUG 8QLYHUVLW\ 3UHVV 5 'DYLG /XULD >LQ /XULD 3LUNH &KDSWHU QRWH @ ZDV ILUVW WR DUJXH WKDW WKH 35( WH[W LQFOXGHV FRQWUDGLFWRU\ RSLQLRQV RQ WKH LQWHUFDODWLRQ ,Q FRQWUDVW ZLWK 6WHUQ DQG /XULD VHH 0 &UHL]HQDFK >LQ ³8HEHU GLH .DOHQGHUUHJHOQ LQ GHQ 3LUNH 5 (OLHVHU´ ,VUDHOLWLVFKH $QQDOHQ @ ZKR DUJXHG WKDW 35(¶V V\VWHP RI LQWHUFDODWLRQ LV DQ RSHUDEOH V\VWHP 6DFKD 6WHUQ ³)LFWLWLRXV &DOHQGDUV (DUO\ 5DEELQLF 1RWLRQV RI 7LPH $VWURQRP\ DQG 5HDOLW\´ -HZLVK 4XDUWHUO\ 5HYLHZ QRWH 6WHUQ VSHDNV KHUH RI D VHFWLRQ IURP FKDSWHU VHYHQ RI 35( WKDW SDUDOOHOV WKH µWUDQVLWLRQDO¶ FDOHQGDU PHQWLRQHG LQ WKH 3DOHVWLQLDQ 7DOPXG 5RVK +DVKDQD D 6HH (GZDUG *ROGPDQ ³$ &ULWLFDO (GLWLRQ RI 3DOHVWLQLDQ 7DOPXG 7UDFWDWH 5RVK +DVKDQD &KDSWHU 7ZR´ +HEUHZ 8QLRQ &ROOHJH $QQXDO DQG 0LGUDVK 3VDOPV 6WHUQ ³)LFWLWLRXV &DOHQGDUV´ DQG 6WHUQ &DOHQGDU DQG &RPPXQLW\ 7KH HDUOLHVW VRXUFH IRU WKLV WUDGLWLRQ LV WKH %DE\ORQLDQ 7DOPXG %HUDNKRW E
0LGUDVK DQG 0XOWLSOLFLW\
ZKHQ *RG FUHDWHG WKH VXQ DQG PRRQ ,Q WKHLU QHJRWLDWLRQ RI WKH PDWKHPDWLFDO FHUWDLQW\ RI WKH FDOHQGDU WKHUHIRUH 35(¶V H[SRVLWRUV DUH PRUH LQWHUHVWHG LQ FUHDWLRQ WKHRORJ\ WKDQ LQ WH[WXDO RU FRVPRORJLFDO SUHFLVLRQ ³>7@KLV SDVVDJH PD\ UHSUHVHQW D FRJQLWLYH DWWHPSW WR FRPSUHKHQG DQG PDNH VHQVH RI DVWURQRPLFDO F\FOHV E\ UHVWUXFWXULQJ DQG LPSRVLQJ PDWKHPDWLFDO KDUPRQ\ XSRQ WKHP « DFFRUGLQJ WR ZKLFK WKH KDUPRQLRXV XQLW\ RI WKH FUHDWHG ZRUOG LV GHHPHG WR UHIOHFW WKH XQLW\ RI LWV FUHDWRU´ &RQVHTXHQWO\ IRU 6WHUQ WKHVH FKDSWHUV DUH ³ILFWLWLRXV´ EHFDXVH D WKHRORJLFDO SULQFLSOH GHWHUPLQHV WKH VWUXFWXUH RI WKH ZRUN DQG WKH FRQWHQW RI FRVPRORJLFDO VSHFXODWLRQV 6WHUQ GLVWLQJXLVKHG EHWZHHQ VFLHQWLILF FDOHQGULFDO HQGHDYRUV DQG WKH ³DJJDGLF´ FKDUDFWHU RI WKHVH FKDSWHUV ,Q KLV YLHZ 35(¶V GLVFXVVLRQ RI WKH FDOHQGDU PXVW EH XQGHUVWRRG DV DQ H[WHQVLRQ RI WKH OLWHUDU\ DQG H[SRVLWRU\ FRQFHUQV 7KHVH OLWHUDU\ RU ³VFLHQWLILF´ LQFRQVLVWHQFLHV WKHQ VKRXOG EH XQGHUVWRRG DV DQ H[WHQVLRQ RI WKH ZRUN¶V UHIRUPXODWLRQ RI 6FULSWXUDO DQG UDEELQLF WUDGLWLRQV $OWKRXJK LW LV QRW H[SOLFLWO\ VWDWHG E\ KLP 6WHUQ¶V LQVLJKW LQWR WKH RULHQWDWLRQ RI WKH FDOHQGDU WRZDUGV WKLV IRXUWK GD\ LV NH\ WR GHPRQVWUDWLQJ KRZ WKH SDVVDJH UHODWHV WR 35(¶V OLWHUDU\ RUJDQL]DWLRQ 7KH H[SRVLWRUV¶ DWWHPSW WR RULHQW WKH LQWHUFDODWLRQ WRZDUGV WKH IRXUWK GD\ RI FUHDWLRQ FRUUHVSRQGV ZLWK WKH SODFH RI WKHVH FKDSWHUV ZLWKLQ WKH ZRUN¶V H[SRVLWLRQ $V D WKHPH WKDW SHUYDGHV WKLV VHFWLRQ RI 35( WKH FRVPRORJLFDO GLVFXVVLRQ SDUWLFLSDWHV LQ WKH ZRUN¶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¶V LQVLJKWV ZH DUH DEOH WR VHH WKDW ³WKHPDWLF´ FRQFHUQV ZLWK WKLV IRXUWK GD\ GHWHUPLQH WKH H[SRVLWRUV¶ DWWHPSW WR FRRUGLQDWH QDUUDWLYH OLVWV DQG WKHPDWLF GLVFRXUVH LQ WKHLU UHIRUPXODWLRQV RI 6FULSWXUDO DQG UDEELQLF WUDGLWLRQV &RQVHTXHQWO\ WKH DSSDUHQW FRQWUDGLFWLRQV DQG LQDFFXUDFLHV LQ 35(¶V YLHZ RI LQWHUFDODWLRQ LV DQ H[WHQVLRQ RI WKH H[SRVLWRUV¶ FRQFHUQ ZLWK WKH BBBBBBBBBBBB
6WHUQ ³)LFWLWLRXV &DOHQGDUV´ DQG DQG &DOHQGDU DQG &RPPXQLW\ 6WHUQ ³)LFWLWLRXV &DOHQGDUV´ 6WHUQ ³)LFWLWLRXV &DOHQGDUV´
/LWHUDU\ $UUDQJHPHQW LQ 35(
IRXUWK GD\ RI FUHDWLRQ ZKLFK FRUUHVSRQGV WR WKH OLWHUDU\ SURJUHVV LQ SULRU DQG VXEVHTXHQW FKDSWHUV DQG SURYLGHV D YLDEOH H[SODQDWLRQ IRU WKH GHSDUWXUH LQWR WKHPDWLF GLVFRXUVH /LNH WKH FKDSWHUV RQ -RQDK WKH FKDSWHUV RQ FRVPRORJ\ DQG LQWHUFDODWLRQ H[KLELW D VHULHV RI IHDWXUHV UHIOHFWLQJ 35(¶V PXOWLIDFHWHG PHDQV RI UHFHSWLRQ WUDQVPLVVLRQ DQG WUDQVIRUPDWLRQ RI 6FULSWXUDO GLVFRXUVH 7KH H[SRVLWRUV FRUUHODWH WKH WKHPH RI LQWHUFDODWLRQ WR WKH OLVW DQG QDUUDWLYH RI GD\V ZKLFK GHPRQVWUDWHV 35(¶V LQWHUGHSHQGHQW RUJDQL]DWLRQ RI OLWHUDU\ SULQFLSOHV 7KLV VHFWLRQ LV FRQFHUQHG ZLWK WKH FRRUGLQDWLRQ RI FRVPRORJLFDO GLVFRXUVH WR WKH GHYHORSPHQW RI 6FULSWXUDO QDUUDWLYH DQG OLVWV 7KHVH FKDSWHUV LQWHJUDWH D OLVW DQG QDUUDWLYH RI GD\V LQWR D WKRURXJK GLVFXVVLRQ RI D WKHPH DOO LGHRORJLFDOO\ DV ZHOO DV V\PELRWLFDOO\ UHSUHVHQWDWLYH RI WKH ZRUN¶V OLWHUDU\ DQG H[SRVLWRU\ RUJDQL]DWLRQ
$QDORJ\ DQG ³%RXQG 7KHPHV´ LQ 35( $FFRUGLQJ WR -DFRE (OEDXP WKH DXWKRU¶V FRQWULEXWLRQ WR UDEELQLF OLWHUDWXUH LV IRXQG LQ KLV HGLWRULDO DFWLYLW\ ,Q (OEDXP¶V YLHZ HDUOLHU VFKRODUV KDG HIIDFHG WKH FRQWULEXWLRQV RI 35(¶V DXWKRU DQG WKXV REVFXUHG KLV OLWHUDU\ FUHDWLYLW\ ,Q FRQWUDVW (OEDXP DUJXHG WKDW DQ RULJLQDO FRQWULEXWLRQ WR UDEELQLF OLWHUDWXUH FRXOG EH IRXQG ZLWKLQ WKH ZRUN¶V HGLWRULDO LQVHUWLRQV ³>,@W LV QHFHVVDU\ WR HPSKDVL]H WKDW WKH DXWKRU RI WKH 35( GRHV QRW RQO\ LQWHUZHDYH MRLQ GXSOLFDWH FRPELQH DGDSW DQG UHSHDW WKH H[SRVLWLRQ RI SUHYLRXV VRXUFHV« >5@DWKHU KH LV DOVR D FUHDWRU RI RULJLQDO QDUUDWLYHV DJJDGRW WKDW DUH LQWHUZRYHQ LQ >KLV@ QHZ SUHVHQWDWLRQ DQG DUH DQ H[WHQVLRQ RI WKH 6FULSWXUDO VWRU\´ $OWKRXJK (OEDXP DGPLWWHG WKDW QDUUDWLYH DQG HGLWRULDO LPSXOVHV FRPSHWH LQ WKH VKDSLQJ RI WKH ZRUN KH VRXJKW WR LGHQWLI\ WKH DXWKRU¶V UROH LQ WKH PDLQWHQDQFH RI WKH 6FULSWXUDO QDUUDWLYH &RQVHTXHQWO\ (OEDXP LGHQWLILHG WKH DXWKRU¶V FRQWULEXWLRQ WR OLWHUDU\ RUJDQL]DWLRQ DV HGLWRULDO H[SUHVVLRQV RYHU DQG DERYH WKH DXWKRU¶V UHKHDUVDO RI UHFHLYHG WUDGLWLRQV ³>VLQFH@ WKH RXWOLQHV RI >KLV@ LQQRYDWLRQ>V@ DUH LPSUHVVHG LQ >WKH@ HVVHQFH >RI WKHVH H[SUHVVLRQV@´ $V DUWLFXODWHG E\ (OEDXP WKHVH LQVHUWLRQV DUH SULPDULO\ RULHQWHG WRZDUGV KDUPRQL]LQJ UHFHLYHG WUDGLWLRQV ZLWK WKH FKURQRORJLFDO SURJUHVV DQG FRQWHQW RI WKH 6FULSWXUDO QDUUDWLYH RQ WKH RQH KDQG DQG D ³GLJUHVVLYH´ H[SDQVLRQ RI BBBBBBBBBBBB
(OEDXP ³5KHWRULF´ (OEDXP ³5KHWRULF´
0LGUDVK DQG 0XOWLSOLFLW\
6FULSWXUDO FRQWHQW RQ WKH RWKHU 7KH DXWKRU¶V HGLWRULDO WHFKQLTXHV LQFOXGH SDUDSKUDVH RU ³QDUUDWLYL]DWLRQ´ RI 6FULSWXUH LQWURGXFWLRQ RI 6FULSWXUDO YHUVHV LQ RUGHU WR DGYDQFH WKH 6FULSWXUDO SORW UHSHWLWLRQ RI SKUDVHV DQG WKHPHV LQ RUGHU WR GUDZ SDUDOOHOV EHWZHHQ HSLVRGHV DQG LQVHUWLRQ RI WKHPDWLF GLVFXVVLRQV ZKLFK HODERUDWH XSRQ D 6FULSWXUDO HYHQW )RUHPRVW DPRQJ WKHVH WHFKQLTXHV (OEDXP GHPRQVWUDWHG WKDW WKH DXWKRU SUHVHQWV YDULRXV 6FULSWXUDO HYHQWV DV DQDORJRXV ZKHQ KH LQVHUWV VLPLODU H[SUHVVLRQV DQG GHVFULSWLRQV RI WKHP LQWR WKH UHYLVHG QDUUDWLYH 35( DWWHVWV D VHULHV RI ³VHW FRPELQDWLRQV´ RI ODQJXDJH LPDJHU\ FKURQRORJ\ DQG JHRJUDSK\ 7KHVH ³VHW FRPELQDWLRQV´ FUHDWH D ZHE RI UHIHUHQFHV WKURXJKRXW WKH ZRUN WKDW FRUUHODWH QDUUDWLYH HSLVRGHV WKURXJK VLPLODU FKURQRORJLFDO JHRJUDSKLFDO DQG ULWXDO ODQJXDJH RU LPDJHU\ ([DPSOHV LQFOXGH WKH DOOXVLRQV WR DQDORJRXV HYHQWV ZKLFK RFFXU RQ WKH QLJKW RI 3DVVRYHU LQ FKDSWHUV WZHQW\RQH WZHQW\VL[ WZHQW\VHYHQ WZHQW\HLJKW WKLUW\WZR DQG ILIW\ UHSHWLWLRQ RI SKUDVHV VXFK DV ³LQ VHFXULW\ DQG HDVH´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³,QGHHG H[DPLQDWLRQ RI WKH BBBBBBBBBBBB
(OEDXP ³5KHWRULF´ (OEDXP ³5KHWRULF´ QRWH (OEDXP ³5KHWRULF´ QRWH (OEDXP ³5KHWRULF´ +HLQHPDQQ QRWLFHG WKDW WKH ZRUN DWWHVWV VHYHUDO FKDUDFWHULVWLF H[SUHVVLRQV IRU H[DPSOH 35( DWWHVWV WKH SKUDVH ³LQ VHFXULW\ DQG HDVH´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³>7KLV H[SUHVVLRQ LV IRUPXODWHG WR FRXQWHU@ WKH PHVVLDQLF PRYHPHQWV GXULQJ >WKH DXWKRU¶V@ WLPH ZKHUHLQ IDOVH PHVVLDKV ILUVW VWRRG « >.@QRZLQJO\ RU QRW >WKH DXWKRU LQWURGXFHV@ WKH DQDFKURQLVP WKDW WKH\ VHWWOHG LQ (J\SW LQ VHFXULW\ DQG HDVH « >LQ RUGHU WR@ OHVVHQ WKH H[SHFWDWLRQ >IRU WKH PHVVLDK VLQFH@ WKH\ ZHUH QRW LQ GDQJHU RI EHLQJ DQQLKLODWHG DQG HVSHFLDOO\ EHFDXVH >WKH DXWKRU ZLVKHG WR DUJXH@ WKDW IDOVH PHVVLDKV VKRXOG QRW ULVH DPRQJ WKHP DQG EULQJ DERXW WKH GHVWUXFWLRQ >RI WKH FRPPXQLW\@´ +HLQHPDQQ $JJDGRW
/LWHUDU\ $UUDQJHPHQW LQ 35(
WRWDOLW\ RI H[SUHVVLRQV LQ WKH PLGUDVK LV HQRXJK WR EOXQW WKH VXUSULVH RI +HLQHPDQQ ,Q >WKH DXWKRU¶V@ IRUPXODWLRQ RI D >6FULSWXUDO HYHQW@ KH EXLOGV KLV H[SRVLWLRQ XSRQ VHW FRPELQDWLRQV «´ 7KH UHSHWLWLRQ RI SKUDVHV ORFDWLRQV DQG WKHPHV FUHDWHV FRQQHFWLRQV ZLWKLQ WKH 6FULSWXUDO QDUUDWLYH LQ (OEDXP¶V YLHZ :LWK WKLV GHYLFH WKH DXWKRU¶V HGLWRULDO OLJDWXUHV SURYLGH D FRPPHQWDU\ XSRQ HDFK 6FULSWXUDO HSLVRGH ZLWKLQ ³FRPSUHKHQVLYH SORW IUDPHZRUNV´ ZKLFK LQGLFDWH WKH SODFH RI HDFK HSLVRGH ZLWKLQ WKH ODUJHU FRQWH[W RI 6FULSWXUH (OEDXP LGHQWLILHG WKHVH H[SUHVVLRQV DV D FKDUDFWHULVWLF IHDWXUH RI 35( 5HSHWLWLRQ RI ³ERXQG WKHPHV´ H[SRVLWLRQDO ZRUGV GHVFULSWLRQV RU HSLVRGHV FKDUDFWHUL]HV WKH HGLWRULDO VWUXFWXUH RI WKH ZRUN LQ UHODWLRQ WR WKH 6FULSWXUDO QDUUDWLYH $V DQ RULJLQDO DQG LQQRYDWLYH IRUP RI H[SRVLWLRQ (OEDXP DUJXHG WKDW WKHVH HGLWRULDO LQVHUWLRQV DUH WKH PHDQV E\ ZKLFK WKH DXWKRU LQWURGXFHV QHZ LGHDV LQWR 6FULSWXUDO QDUUDWLYH 1HYHUWKHOHVV RQH HIIHFW RI WKLV FRPPHQWDU\ LV WR PDNH WKH ZRUN XQHYHQ DQG ³GLJUHVVLYH´ >5@HQHZDO >RI WKH 6FULSWXUDO VWRU\@ RFFXUV DV LI >WKHUH LV D QHHG@ WR FRPSOHWH ZKDW LV DOOHJHGO\ DEVHQW LQ >6FULSWXUH@ VXFK DV LQ FRQQHFWLRQV WR HSLVRGHV RI WKH SORW LQVWDQFHV RI VLPLODU DFWLRQV DQG WKH OLNH ± ZH RIWHQ ILQG DQ DGGLWLRQDO HPEHOOLVKPHQW LQ WKH PLGUDVKLF FRPSRVLWLRQ RI VWRULHV ZKLFK LV QRW UHTXLUHG DW DOO E\ WKH 6FULSWXUDO WH[W EXW RQO\ VXSSRUW WKH >DXWKRU¶V H[SRVLWLRQV RI 6FULSWXUH@
$V D ³ERXQG WKHPH´ WKH ZRUN¶V GLYHUJHQFH IURP 6FULSWXUDO QDUUDWLYH VHUYHV WR FRUUHODWH DQ HYHQW LQ WKH 6FULSWXUDO VWRU\ WR D VHW RI VLPLODU HYHQWV LQ 6FULSWXUH RU D SDUDOOHO UDEELQLF WUDGLWLRQ RU ULWXDO ,Q (OEDXP¶V YLHZ WKH FKDUDFWHU RI 35( PXVW EH XQGHUVWRRG DV QDUUDWLYH DV ZHOO DV LQ WKH FRQWH[W RI LWV VLPLODULWLHV WR FRQWHPSRUDQHRXV UDEELQLF OLWHUDWXUH ZKLFK KH LGHQWLILHG LQ WKH DXWKRU¶V HGLWRULDO LQVHUWLRQV &RQVHTXHQWO\ DOWKRXJK (OEDXP VRXJKW WR SUHVHUYH WKH DXWKRU¶V YRLFH LQ KLV WUDQVIRUPDWLRQ RI 6FULSWXUDO DQG UDEELQLF WUDGLWLRQV WKLV RQO\ FRQWULEXWHV IXUWKHU WR WKH FRQIXVLRQ DERXW WKH OLWHUDU\ RUJDQL]DWLRQ RI WKH ZRUN DQG LWV DPELJXRXV UHODWLRQVKLS WR FODVVLFDO UDEELQLF LQWHUSUHWDWLRQ BBBBBBBBBBBB
(OEDXP ³5KHWRULF´ (OEDXP ³5KHWRULF´ DQG (OEDXP ³5KHWRULF´ [ (OEDXP ³5KHWRULF´ (OEDXP ³5KHWRULF´ (OEDXP RQO\ PHQWLRQV WKH VLJQLILFDQFH RI µSDUDOOHO VWUXFWXUHV¶ DV DQ H[WHQVLRQ RI WKH IXQGDPHQWDO OLWHUDU\ WHQGHQFLHV RI WKH DXWKRU LQ ³5KHWRULF´ QRWH
0LGUDVK DQG 0XOWLSOLFLW\
(OEDXP¶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¶V UHSUHVHQWDWLRQ RI 6FULSWXUDO DQG UDEELQLF WUDGLWLRQV DV QDUUDWLYH OLVWV DQG WKHPHV DV ZHOO DV LWV UHIRUPXODWLRQ RI WKHVH WUDGLWLRQV DV ³FOXVWHUV´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¶V KRXVH EHIRUH WKH ([RGXV ,Q FKDSWHU WZHQW\VHYHQ 35( HYRNHV WKH QLJKW RI WKH 3DVVRYHU LQ RUGHU WR FRUUHODWH $EUDKDP¶V YLFWRU\ RYHU WKH .LQJV ZLWK WKH GHIHDW RI WKH (J\SWLDQV GXULQJ WKH ([RGXV ,Q FKDSWHU WZHQW\HLJKW WKH ZRUN FRUUHODWHV WKH QLJKW RI 3DVVRYHU ZLWK $EUDKDP¶V YLVLRQV DW 0DPUH LQ ZKLFK $EUDKDP IRUHVHHV WKH ULVH DQG IDOO RI WKH )RXU .LQJGRPV ,Q FKDSWHU WKLUW\WZR WKH QLJKW RI 3DVVRYHU LV LGHQWLILHG DV WKH WLPH ZKHQ WKH WUHDVXUH KRXVHV RI KHDYHQO\ UDLQ RSHQ DQG WKH VXSHUQDO RQHV UHFLWH +DOOHO $QG ILQDOO\ LQ FKDSWHU ILIW\ WKH QLJKW RI WKH 3DVVRYHU FRLQFLGHV ZLWK WKH IDVW RI (VWKHU 7KHVH H[HPSOD SURYLGH PRUH WKDQ DQ H[SDQVLRQ RI WKH ³QDUUDWLYH´ FRQWH[W LQ ZKLFK WKH\ RFFXU 2Q WKH FRQWUDU\ 35( LQFRUSRUDWHV WKLV DQDORJ\ LQWR VHYHUDO GLIIHUHQW OLWHUDU\ PRGHOV LQ RUGHU WR FUHDWH QHZ OLQHV RI LQWHUDFWLRQ DQG DVVRFLDWLRQ DPRQJ WKH ZRUN¶V VWUXFWXUDO UHSUHVHQWDWLRQV DQG LQWHUSUHWV WKH ³UHFHLYHG´ 6FULSWXUDO DQG UDEELQLF WUDGLWLRQV ZLWKLQ WKH FRQWH[W RI WKHLU RUJDQL]DWLRQ DQG WUDQVPLVVLRQ 7KH QLJKW RI BBBBBBBBBBBB
(OEDXP ³5KHWRULF´ (OEDXP SURYLGHG D QHDUFRPSUHKHQVLYH SRUWUDLW RI WKH IHDWXUH LQ WKH ZRUN +H GLG RPLW D QXPEHU RI RFFXUUHQFHV VXFK DV WKH SKUDVH ʯʺʹʥʣʷ ʭʥʷʮʮ ʥʬʴʰ WKDW WKH ZRUN DWWHVWV ZLWK UHJDUG WR WKH IDOOHQ DQJHOV LQ FKDSWHU VHYHQ 6DPDHO DQG KLV FRKRUW LQ FKDSWHU IRXUWHHQ DQG WZHQW\VHYHQ DQG WKH OLNHQHVV RI ,VUDHO DQG WKH %HQHL (ORKLP LQ FKDSWHU WZHQW\WZR WKH DSSHDUDQFH RI WKH DQJHO 0LFKDHO DW WKH UHVFXH RI 6DUDK LQ FKDSWHU WZHQW\VL[
/LWHUDU\ $UUDQJHPHQW LQ 35(
3DVVRYHU LV LQVHUWHG LQWR WKH IUDPHZRUN RI WKH QDUUDWLYHV RI &DLQ DQG $EHO LQ FKDSWHU WZHQW\RQH DQG (VWKHU LQ FKDSWHU ILIW\ WKH OLVWV RI WKH WHQ WULDOV LQ FKDSWHUV WZHQW\VL[ WZHQW\VHYHQ DQG WZHQW\HLJKW DQG WKH WKHPH RI UHVXUUHFWLRQ LQ FKDSWHU WKLUW\WZR $QDORJLHV WKXV FRUUHODWH GLVSDUDWH VHFWLRQV DQG H[SUHVVLRQV RI WKH ZRUN ZLWK RQH DQRWKHU DQG FRQWULEXWH WR WKH LQFUHDVLQJ GHQVLW\ RU UHIHUHQWLDOLW\ RI 35(¶V UHFHSWLRQ WUDQVPLVVLRQ DQG WUDQVIRUPDWLRQ RI LWV UHFHLYHG WUDGLWLRQV WKHVH DQDORJLHV DUH HTXDOO\ D WRRO RI H[SRVLWLRQ ZKLFK GHHSHQ 35(¶V HQJDJHPHQW ZLWK 6FULSWXUH $V D VWUXFWXUDO IHDWXUH WKDW LV HPEHGGHG ZLWKLQ QDUUDWLYH OLVWV DQG WKHPDWLF IHDWXUHV WKH DQDORJ\ RI 3DVVRYHU XQLILHV WKH ZRUN¶V OLWHUDU\ RUJDQL]DWLRQ RI 6FULSWXUDO DQG UDEELQLF WUDGLWLRQV 7KLV DQDORJ\ QRW RQO\ FRUUHODWHV 6FULSWXUDO HYHQWV EXW DOVR FRUUHODWHV EHWZHHQ WKH ODUJHU VWUXFWXUDO XQLWV ZLWKLQ WKH ZRUN¶V RUJDQL]DWLRQDO IUDPHZRUN ,Q VXP WKH OLWHUDU\ IHDWXUH RI DQDORJ\ ERWK LQWHJUDWHV WKH OLWHUDU\ PRGHOV RI QDUUDWLYH OLVWV DQG WKHPHV WR D JUHDWHU GHJUHH WKDQ DOUHDG\ LQGLFDWHG DV ZHOO DV SURYLGLQJ D VLJQSRVW IRU 35(¶V WUDQVIRUPDWLRQ RI UHFHLYHG UDEELQLF WUDGLWLRQV LQWR FOXVWHUV RI VLJQLILFDWLRQ $V D GHILQLQJ IHDWXUH RI WKH ZRUN¶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¶V SODFH ZLWKLQ WKH KLVWRU\ RI UDEELQLF LQWHUSUHWDWLRQ 0\ GLVFXVVLRQ LQ WKH FKDSWHUV WR IROORZ ZLOO DGGUHVV WKH UHODWLRQVKLS EHWZHHQ DQDORJLHV DV LQWHUSUHWLYH ³FOXVWHUV´ RU WRROV RI UHFHSWLRQ WUDQVPLVVLRQ DQG WUDQVIRUPDWLRQ RI 6FULSWXUDO DQG UDEELQLF WUDGLWLRQV 7KHVH OLWHUDU\ IHDWXUHV H[SUHVV WKH GHSWK RI 35(¶V HQJDJHPHQW ZLWK 6FULSWXUDO DQG UDEELQLF WUDGLWLRQV DQG DUH FHQWUDO WR RXU FRQVLGHUDWLRQ RI WKH ZRUN¶V SDUWLFLSDWLRQ LQ WKH PLGUDVKLF WUDGLWLRQ EXLOGLQJ 7KH UHFXUUHQFH RI ODQJXDJH LPDJHU\ JHRJUDSK\ DQG FKURQRORJ\ ZLWKLQ 35( WKHUHIRUH SUHVHQWV DQ DGGLWLRQDO IHDWXUH ZLWKLQ WKH VWUXFWXUDO RUJDQL]DWLRQ RI WKH ZRUN ,Q WHUPV RI OLWHUDU\ RUJDQL]DWLRQ WKH GHYLFH RI DQDORJ\ FUHDWHV D ERQG EHWZHHQ GLVSDUDWH 6FULSWXUDO HYHQWV DQG IRUWLILHV WKH LQWHUDFWLRQ RI V\PELRWLF VWUXFWXUDO HOHPHQWV RI WKH ZRUN :KDW (OEDXP DQG RWKHU VFKRODUV EHIRUH KLP GLG QRW VHH LV WKDW OLWHUDU\ IRUPV VXFK DV QDUUDWLYH OLVWV WKHPHV DQG DQDORJLHV DUH QRW DQ DGGLWLRQDO OD\HU RI ³HGLWRULDO´ HQJDJHPHQW RQ WKH SDUW RI 35(¶V H[SRVLWRUV 2Q WKH FRQWUDU\ WKHVH IRUPV DUH FHQWUDO WR WKH ZRUN¶V HQJDJHPHQW ZLWK 6FULSWXUDO DQG UDEELQLF WUDGLWLRQV DQG UHSUHVHQW 35(¶V LQQRYDWLYH WUDQVIRUPDWLRQ RI
0LGUDVK DQG 0XOWLSOLFLW\
UDEELQLF LQWHUSUHWDWLRQ LQWR D WRRO RI H[SRVLWLRQ DV ZLOO EH GLVFXVVHG EHORZ 7KH GLVFXVVLRQ ZKLFK IROORZV ZLOO LOOXPLQDWH WKH VWUXFWXUDO KHUPHQHXWLFDO DQG FXOWXUDO VLJQLILFDQFH RI WKHVH OLWHUDU\ IHDWXUHV DV WKH\ UHODWH WR 35(¶V LQWHUSUHWDWLRQ RI 6FULSWXUH
35( DQG 3VHXGHSLJUDSK\ 7KH GLVFRYHU\ WKDW 5 (OLH]HU EHQ +\UFDQRV ZDV QRW WKH DXWKRU RI WKH 3LUNH GH 5DEEL (OLH]HU LQLWLDWHG D EURDG UHFRQVLGHUDWLRQ RI WKH ZRUN¶V DXWKHQWLFLW\ ,Q WKH QLQHWHHQWK FHQWXU\ /HRSROG =XQ] GLVPLVVHG WKH WUDGLWLRQDO DWWULEXWLRQ RI WKH ZRUN WR WKH VHFRQG FHQWXU\ VDJH DQG DUJXHG WKDW WKLV IDOVH DWWULEXWLRQ UHSUHVHQWHG DQ LQWHQWLRQDO GHFHSWLRQ ,Q KLV DQDO\VLV RI 35(¶V ODQJXDJH DQG VW\OH =XQ] VDZ DQ DWWHPSW E\ D JHRQLF DXWKRU WR UHSUHVHQW KLV ZRUN DV WDQQDLWLF $FFRUGLQJO\ =XQ] DUJXHG WKDW WKH PLVDWWULEXWLRQ ZDV QRW DQ HUURU ZLWKLQ WKH WUDGLWLRQ RI WUDQVPLVVLRQ EXW UDWKHU WKDW 35( ZDV LQWHQWLRQDOO\ ³IDOVLILHG´ YHUIlOVFKW )RU =XQ] 35( QR ORQJHU UHSUHVHQWHG WKH DXWKRULWDWLYH WUDGLWLRQV RI WKH FODVVLFDO HUD LQ RULJLQ RU LQ FRQWHQW 2Q WKH FRQWUDU\ KH SURSRVHG WKDW D JHRQLF DXWKRU FRPSRVHG WKH ZRUN DV DQ LPLWDWLRQ RU IRUJHU\ RI DXWKHQWLF LQWHUSUHWDWLRQV IURP FODVVLFDO UDEELQLF OLWHUDWXUH =XQ]¶V FRQFOXVLRQV UHJDUGLQJ WKH DXWKRUVKLS RI 35( UHVXOWHG LQ 35(¶V ³SVHXGHSLJUDSK\´ EHFRPLQJ D PXFK PRUH FRPSOH[ LVVXH DV VFKRODUV EHJDQ WR FRQIODWH WKH WHUP ZLWK WKH UROH RI +HOOHQLVWLF LQIOXHQFHV XSRQ WKH ZRUN *HUDOG )ULHGODQGHU WKH IRUHPRVW H[SRQHQW RI WKH FRQQHFWLRQ EHWZHHQ 35(¶V SVHXGHSLJUDSK\ DQG 6HFRQG 7HPSOH OLWHUDWXUH WHUPHG 35( ³5DEELQLF 3VHXGHSLJUDSKD´ LQ RUGHU WR EXWWUHVV WKH OHJLWLPDF\ RI SRVW%LEOLFDO -XGDLVP DV DQ KHLU WR WKH +HOOHQLVWLF WUDGLWLRQ )RU )ULHGODQGHU 35( DQG WKH BBBBBBBBBBBB
=XQ] 6HH IRU H[DPSOH 0RVKH 'DYLG +HUU ³3LUNH GH5DEEL (OLH]HU´ (QF\FORSHGLD -XGDLFD 9ROXPH ;,,, 6LPLODUO\ -RVHSK 'DQ SURSRVHG >LQ +D6LSXU @ WKDW 35( UHSUHVHQWV D ³UHYLYDO´ RI +HOOHQLVWLF IRUPV RI OLWHUDU\ H[SUHVVLRQ ZKLFK ZHUH ³KLGGHQ´ GXULQJ WKH FODVVLFDO UDEELQLF HUD 7KH FRUUHODWLRQ RI ³3VHXGHSLJUDSK\´ DQG ³3VHXGHSLJUDSKD´ KDV EHHQ UHYLYHG UHFHQWO\ E\ 5DFKHO $GHOPDQ >LQ 7KH 3RHWLFV RI 7LPH DQG 6SDFH @ 6HH $QQD 8URZLW])UHXGHQVWHLQ ³3VHXGHSLJUDSKLF 6XSSRUW RI 3VHXGHSLJUDSKLFDO 6RXUFHV 7KH &DVH RI 3LUTH GH 5DEEL (OLH]HU´ LQ 7UDFLQJ WKH 7KUHDGV 6WXGLHV LQ WKH 9LWDOLW\ RI -HZLVK 3VHXGHSLJUDSKD -RKQ & 5HHYHV (G $WODQWD 6RFLHW\ RI %LEOLFDO /LWHUDWXUH )ULHGODQGHU ZDV QRW WKH ILUVW KRZHYHU WR VXJJHVW WKDW 35( LV D OLWHUDU\ GHVFHQGHQW RI WKH 3VHXGHSLJUDSKD ,VUDHO /pYL VXJJHVWV >LQ ³ҾOpPHQWV &KUpWLHQV GDQV OH 3LUNp 5DEEL (OLp]HU´ 5HYXH GHV ͂WXGHV -XLYHV @ WKDW WKH 35( UHFHLYHG 6HFRQG 7HPSOH WUDGLWLRQV WKURXJK WKH LQWHUPHGLDU\ RI ,VODPLF DQG &KULVWLDQ OLWHUDWXUH &KDQRFK $OEHFN >LQ =XQ] $OEHFN QRWH @ FODLPHG WR EH WKH ILUVW WR VD\ WKDW 35( ZDV GHULYHG IURP WKLV JHQUH RI +HOOHQLVWLF OLWHUDWXUH DQG GLVDJUHHG ZLWK WKH VHW RI SDUDOOHOV SURGXFHG E\ )ULHGODQGHU 6HH
0LGUDVK DQG 0XOWLSOLFLW\
3VHXGHSLJUDSKD H[KLELWHG ³VLPLODU SKUDVHV DQG LGHDV´ ZKLFK FROOHFWLYHO\ LQGLFDWHG WKH SUHVHQFH RI +HOOHQLVWLF IHDWXUHV LQ 35( )ULHGODQGHU RIIHUHG D ORQJ OLVW RI H[DPSOHV LQ VXSSRUW RI KLV DUJXPHQW WKDW 35( ³PRGLILHV WKH WHDFKLQJ RI WKH ROG 3VHXGHSLJUDSKD´ 7KH UDGLFDO UHLQWURGXFWLRQ RI WKHVH ³HVRWHULF´ LGHDV DGGHG DQRWKHU FKDUDFWHULVWLF IHDWXUH RI WKH 3VHXGHSLJUDSKD SVHXGHSLJUDSK\ RU WKH IDOVH DWWULEXWLRQ WR DQ HDUOLHU PRUH DXWKRULWDWLYH DXWKRULDO WUDGHQW $FFRUGLQJ WR )ULHGODQGHU WKH ³HVRWHULF´ LGHDV WKDW 35( GHULYHG IURP 6HFRQG 7HPSOH OLWHUDWXUH GLUHFWO\ FRQWULEXWHG WR WKH ZRUN¶V SVHXGHSLJUDSK\ DQG WKH DXWKRU¶V GHFLVLRQ WR UHSOLFDWH WKH SVHXGHSLJUDSK\ RI WKLV OLWHUDWXUH ³,Q PDQ\ UHVSHFWV WKH ERRN LV SROHPLFDO DQG XQRUWKRGR[ ± SROHPLFDO LQ RSSRVLQJ GRFWULQHV DQG WUDGLWLRQV FXUUHQW LQ FHUWDLQ FLUFOHV LQ IRUPHU WLPHV XQRUWKRGR[ LQ UHYHDOLQJ FHUWDLQ P\VWHULHV« 'LG RXU DXWKRU GHHP LW GDQJHURXV WR H[SRVH KLV RZQ LGHQWLW\" « >,I VR Z@KDW QDPH ZDV PRUH KRQRXUHG « WKDQ 5DEEL (OLH]HU WKH *UHDW «"´ ,Q KHU FULWLTXH RI )ULHGODQGHU $QQD 8URZLW])UHXGHQVWHLQ H[SRVHG KLV FRQIODWLRQ RI +HOOHQLVWLF DQG SVHXGHSLJUDSKLF DWWULEXWHV ³>)ULHGODQGHU@ QRW RQO\ FDOOHG 35( SVHXGHSLJUDSKLF +H DOVR EHOLHYHG WKDW LW KDG EHHQ LQIOXHQFHG BBBBBBBBBBBB
$OEHFN¶V DUWLFOH ³$JDGRW LP /LFKWH GHU 3VHXGHSLJUDSKHQ´ 0RQDWVVFKULIW IU *HVFKLFKWH XQG :LVVHQVFKDIW GHV -XGHQWXPV 6HH DOVR $GHOPDQ >LQ 7KH 3RHWLFV RI 7LPH DQG 6SDFH @ ZKR UDLVHV WKH SRVVLELOLW\ WKDW 35(¶V DXWKRU ³HQJDJHG LQ D SURFHVV RI µEDFNERUURZLQJ¶ >6HFRQG 7HPSOH OLWHUDWXUH@ IURP &KULVWLDQ ZRUNV´ ,Q 5 + &KDUOHV SXEOLVKHG WKH ILUVW FRPSUHKHQVLYH FRPSLODWLRQ RI WKH 3VHXGHSLJUDSKD DQG $SRFU\SKD DYDLODEOH LQ WUDQVODWLRQ ,Q )ULHGODQGHU SURGXFHG WKH ILUVW WUDQVODWLRQ RI 35( LQ RUGHU WR UHPHG\ WKH ³QHJOHFW´ RI UDEELQLF OLWHUDWXUH LQ &KDUOHV¶ FRPSLODWLRQ ZLWK D PRUH ³DSSURSULDWH´ VHOHFWLRQ 35( 6HH 5 + &KDUOHV 7KH $SRFU\SKD DQG 3VHXGHSLJUDSKD RI WKH 2OG 7HVWDPHQW 9ROXPH ,, 2[IRUG 2[IRUG &ODUHQGRQ LLL DQG )ULHGODQGHU 3LUNH [LLL 1RQHWKHOHVV )ULHGODQGHU¶V FRQFHSWLRQ RI 35(¶V XQIRUWXQDWH ³RPLVVLRQ´ IURP &KDUOHV¶ FRPSLODWLRQ KDV PRUH WR GR ZLWK KLV YLHZ RI WKH FRQFHSWXDO DQG JHQHDORJLFDO VLPLODULWLHV LQ WKH ZRUN¶V UHODWLRQVKLS WR WKH 3VHXGHSLJUDSKD WKDQ ZLWK D EHOLHI WKDW WKH ZRUN LWVHOI RULJLQDWHV LQ WKH ³LQWHUWHVWDPHQWDO´ HUD )ULHGODQGHU 3LUNH [[LLL 5DFKHO $GHOPDQ >LQ 7KH 3RHWLFV RI 7LPH DQG 6SDFH @ RQ WKH RWKHU KDQG VSHDNV RI WKH SKHQRPHQD DV ³UHWXUQ RI WKH UHSUHVVHG´ DSRFDO\SWLF RU HVFKDWRORJLFDO FRQFHSWLRQV RI 6HFRQG 7HPSOH OLWHUDWXUH $V LQGLFDWHG DERYH LQ FKDSWHU RQH QRWH $GHOPDQ¶V DQDO\VLV RI WKLV UHODWLRQVKLS LV RIWHQ XQFOHDU VLQFH VKH WHQGV WR VXSHULPSRVH WKH LGHDV RI )UHXG (OLDGH DQG RWKHU WKHRULVWV W\SRORJLFDOO\ RQWR WKH WUDQVPLVVLRQ KLVWRU\ RI 35( DQG RWKHU ZRUNV RI UDEELQLF OLWHUDWXUH DQG WR DVVXPH WKDW WKLV OLWHUDWXUH LQGHSHQGHQWO\ UHVXUUHFWV ³VXEFRQVFLRXV´ UHDGLQJV RI WKH %LEOH WKDW DUH LGHQWLFDO WR WKRVH WKDW DUH IRXQG LQ 6HFRQG 7HPSOH OLWHUDWXUH )ULHGODQGHU SURYLGHG D OLVW RI SDUDOOHOV >LQ 3LUNH [[LLLOLL@ ZKLFK VSDQV RYHU WZHQW\ SDJHV )ULHGODQGHU 3LUNH [[LL 6HH DOVR $OEHFN¶V DGGLWLRQV WR =XQ] LQ =XQ]$OEHFN QRWH DQG 8URZLW])UHXGHQVWHLQ ³3VHXGHSLJUDSKLF 6XSSRUW´ QRWH )ULHGODQGHU 3LUNH [LLL[LY 6HH DOVR $GHOPDQ ZKR >LQ 7KH 3RHWLFV RI 7LPH DQG 6SDFH @ YRLFHV D VLPLODU H[SODQDWLRQ IRU WKH UROH RI 5 (OLH]HU UHODWLYH WR WKH FRQWHQW RI WKH ZRUN
35( DQG 3VHXGHSLJUDSK\
E\ DSRFU\SKDO DQG SVHXGHSLJUDSKLFDO ZULWLQJV´ $V 8URZLW])UHXGHQVWHLQ VXJJHVWHG WKH LGHD WKDW 35(¶V ³SVHXGHSLJUDSK\´ LV GHULYHG IURP D SDUWLFXODU OLWHUDU\ JHQUH LV QRW ERUQH RXW E\ WKH HYLGHQFH QRU FDQ ZH FRQVLGHU 35(¶V DWWLWXGH WRZDUGV DXWKRUVKLS DQG DWWULEXWLRQ D SURGXFW RI LWV UHODWLRQVKLS WR QRQ UDEELQLF OLWHUDWXUHV 0RUHRYHU WKH ORJLF RI )ULHGODQGHU¶V RZQ DUJXPHQW ZKHQ H[WHQGHG VKRZV WKH XQOLNHOLKRRG WKDW FXOWXUDO FRQWDFW H[SODLQV 35(¶V SVHXGHSLJUDSK\ ,I WKLV SXUSRUWHG SVHXGHSLJUDSK\ LV QRPLQDOO\ UDEELQLF ZK\ DVVXPH WKDW LW RULJLQDWHV RXWVLGH RI WKH UDEELQLF WUDGLWLRQ" $V 6DPXHO 6DQGPHO SXW LW ³>:@KHQ ZH GHVFULEH VRPHWKLQJ DV +HOOHQLVWLF DUH ZH VSHDNLQJ DERXW WKH ODQJXDJH LQ ZKLFK DQ LGHD LV H[SUHVVHG RU DUH ZH DOOXGLQJ WR VRPH GHPRQVWUDEOH GLIIHUHQFH EHWZHHQ D -HZLVK DQG D *UHHN LGHD"´ ,Q WKLV VWDWHPHQW 6DQGPHO FRXQVHOV FDXWLRQ ZLWK UHJDUG WR OLWHUDU\ DQG FXOWXUDO SUHMXGLFHV $FFRUGLQJO\ ZH FDQQRW XWLOL]H WKH OLWHUDU\ GHYLFH RI SVHXGHSLJUDSK\ DV RXU SRUW RI HQWU\ LQWR WKH ZRUN¶V UHODWLRQVKLS ZLWK +HOOHQLVWLF OLWHUDWXUH ± ZKLFK ZRXOG UHO\ XSRQ FXOWXUDO LPSUHVVLRQV DQG QRW OLWHUDU\ IHDWXUHV :H PXVW FRQVLGHU 35(¶V UHODWLRQVKLS ZLWK SVHXGHSLJUDSK\ ZLWKLQ WKH FRQWH[W RI UDEELQLF DWWULEXWLRQ DQG DXWKRUVKLS ± WKH OLWHUDU\ IHDWXUHV RI WKH ZRUN ± LQ RUGHU WR DVVHVV 35(¶V UHODWLRQVKLS WR DXWKRUVKLS DQG DWWULEXWLRQ RI FODVVLFDO UDEELQLF OLWHUDWXUH ,Q WKH DFDGHPLF XVH RI WKH WHUP ³SVHXGHSLJUDSK\´ LQGLFDWHV GRXEW DERXW WKH OHJLWLPDF\ RI D ZRUN¶V DXWKRUVKLS LGHDV WUDGLWLRQV DQG VW\OH RI H[SUHVVLRQ ,Q D IDOVLILHG ZRUN DQ DXWKRU RU DXWKRUV LV VDLG WR UHFDVW KLV GLVFRXUVH DIWHU WKH FKDUDFWHULVWLF WH[WXDO DQG LGHRORJLFDO TXDOLWLHV IRXQG LQ FDQRQLFDO ZRUNV ZKLFK KH KDV ³PRGLILHG ZLWK WKH LQWHQWLRQ WR GHFHLYH´ 7KH DXWKRU ³LPLWDWHV´ WKH DWWULEXWLYH DQG OLWHUDU\ SDUDGLJPV RI DQ HDUOLHU HUD IRU D YDULHW\ RI PRWLYHV EXW KH LV H[SRVHG E\ KLV ³VOLSV´ LQ ZKLFK XQFRQVFLRXV VW\OLVWLF BBBBBBBBBBBB
8URZLW])UHXGHQVWHLQ ³3VHXGHSLJUDSKLF 6XSSRUW´ $OWKRXJK 5DFKHO $GHOPDQ >LQ 7KH 3RHWLFV RI 7LPH DQG 6SDFH QRWH @ LV FRUUHFW WR LQGLFDWH WKDW WKHUH DUH VLJQLILFDQW SUREOHPV LQ 8URZLW])UHXGHQVWHLQ¶V DFFRXQW RI SDUDOOHOV WKH SUREOHP LV PRUH PHWKRORJLFDO WKDQ DQ LVVXH RI ³RYHUVLJKWV´ $GHOPDQ¶V ZRUN UHSUHVHQWV D UHDUWLFXODWLRQ RI WKH LPSRUWDQFH RI WKH 3VHXGHSLJUDSKD IRU RXU XQGHUVWDQGLQJ RI 35( ,QGHHG VKH VWDWHV >LQ 7KH 3RHWLFV RI 7LPH DQG 6SDFH @ WKDW ³>O@LNH PDQ\ RI WKH 6HFRQG 7HPSOH FRPSRVLWLRQV LQFOXGHG LQ WKH 3VHXGHSLJUDSKD WKH DXWKRU RI 35( ZULWHV XQGHU D IDOVH QDPH´ $V LQGLFDWHG DERYH $GHOPDQ¶V UHWXUQ WR )ULHGODQGHU¶V YLHZ RI WKH ZRUN SHUSHWXDWHV WKH FRQIXVLRQ RI KLVWRULFDO OLWHUDU\ W\SHV ZLWK DFWXDO OLWHUDU\ IHDWXUHV 6DQGPHO ³3DUDOOHORPDQLD´ %UXFH 0 0HW]JHU ³/LWHUDU\ )RUJHULHV DQG &DQRQLFDO 3VHXGHSLJUDSKD´ -RXUQDO RI %LEOLFDO /LWHUDWXUH 0HW]JHU >LQ ³/LWHUDU\ )RUJHULHV´@ OLVWV WKH IROORZLQJ PRWLYDWLRQV IRU 3VHXGHSLJUDSK\ ILQDQFLDO JDLQ PDOLFH UHVSHFWKRQRU PRGHVW\ ³UHIOH[ RI ZKDW ZDV LQ WKH
0LGUDVK DQG 0XOWLSOLFLW\
OLQJXLVWLF RU KLVWRULFDO LPSHUIHFWLRQV HQWHU LQWR KLV FRPSRVLWLRQ $V 5RQDOG 6\PH KDV DUJXHG D ZRUN RI SVHXGHSLJUDSK\ FDQ EH LGHQWLILHG WKURXJK ³D FOHDU DQDFKURQLVP RI IDFW RU ODQJXDJH « D KLVWRULFDO HUURU RU JUDYH PLVFRQFHSWLRQ « WKH FULWHULD RI VW\OH DQG ODQJXDJH «>RU@ LPLWDWLQJ WRR FORVHO\ DQ DXWKRU ZLWK D GLVWLQFWLYH LGLRV\QFUDV\ ´ &ODVVLILFDWLRQ RU FRQGHPQDWLRQ RI D ZRUN DV D IRUJHU\ GHSHQGV XSRQ WKH UHOLDELOLW\ RI WKH FDQRQLFDO ZRUNV WR ZKLFK WKH IRUJHU\ LV FRPSDUHG HYHQ LI WKHUH LV ³D PDUJLQ RI HUURU SURGXFHG E\ WKH IRUJHUV ZKR VXFFHHGHG DQG ZKRVH ZRUNV DUH QRZ DPRQJ WKRVH IURP ZKLFK ZH GHULYH RXU FULWHULD RI DXWKHQWLFLW\´ $ YHULILDEOH GLIIHUHQFH LQ DWWULEXWLRQ DQG VW\OH LV IXQGDPHQWDO WR WKH GLVWLQFWLRQ EHWZHHQ FDQRQLFDO ZRUNV DQG ³IRUJHG´ SVHXGHSLJUDSKLF OLWHUDWXUH EDVHG XSRQ WKH DVVXPSWLRQ WKDW FDQRQLFDO ZRUNV DUH IUHH IURP WKH SUREOHPV RI DWWULEXWLRQ ODQJXDJH DQG KLVWRU\ WKDW PDUN WKH ³IRUJHULHV´ ,Q WKH FODVVLFDO OLWHUDWXUH RI DQWLTXLW\ KRZHYHU WKLV LV UDUHO\ HYHU WKH FDVH SDUWLFXODUO\ ZKHQ ZH H[DPLQH DWWULEXWLRQV LQ FODVVLFDO DQG PHGLHYDO UDEELQLF OLWHUDWXUH ,Q WKH ODVW WZHQW\ \HDUV VFKRODUVKLS KDV RYHUWXUQHG WUDGLWLRQDO QRWLRQV DERXW DXWKRUVKLS DWWULEXWLRQ DQG ³SVHXGHSLJUDSK\´ ZLWK UHJDUG WR WKH 7DOPXG DQG RWKHU UDEELQLF ZRUNV ,Q WKH HDUO\ WZHQWLHWK FHQWXU\ :LOKHOP %DFKHU DQG RWKHU HDUO\ VFKRODUV RI UDEELQLF OLWHUDWXUH VRXJKW WR FODVVLI\ DWWULEXWLRQV DQG WUDGLWLRQV DFFRUGLQJ WR WKH ³ELRJUDSKLFDO´ GDWD RI UDEELQLF OLWHUDWXUH 7KLV BBBBBBBBBBBB
ZULWHU¶V NQRZOHGJH RU EHOLHI DFWXDOO\ VDLG XSRQ FHUWDLQ RFFDVLRQV´ FRQILUPDWLRQ RI LGHDV WUDQVPLVVLRQFRS\LQJ PLVWDNHV RU DXWKRULW\ IRU XQRUWKRGR[ GRFWULQDO FODLPV 5RQDOG 6\PH ³)UDXG DQG ,PSRVWXUH´ LQ 3VHXGHSLJUDSKD , .XUW YRQ )ULW] HG (QWUHWLHQV VXU O¶$QWLTXLWp &ODVVLTXH 9ROXPH ;9,,, 9DQG°XYUHV*HQqYH )RQGDWLRQ +DUGW SRXU O¶eWXGH GH O¶$QWLTXLWp &ODVVLTXH 0RUWRQ 6PLWK ³3VHXGHSLJUDSK\ LQ WKH ,VUDHOLWH /LWHUDU\ 7UDGLWLRQ´ LQ 3VHXGHSLJUDSKD , 6HH %XUWRQ 0DFN ³8QGHU WKH 6KDGRZ RI 0RVHV $XWKRUVKLS DQG $XWKRULW\ LQ +HOOHQLVWLF -XGDLVP´ LQ 6RFLHW\ RI %LEOLFDO /LWHUDWXUH 6HPLQDU 3DSHUV &KLFR 6FKRODUV 6HH /RXLV -DFREV ³+RZ PXFK RI WKH %DE\ORQLDQ 7DOPXG LV 3VHXGHSLJUDSKLF"´ -RXUQDO RI -HZLVK 6WXGLHV ± ZKHUH KH GLVFXVVHV WKH FRQWUDGLFWRU\ DWWULEXWLRQ RI DPRUDLF GLFWD DV WDQQDLWLF EUDLWRW 7KLV LVVXH KDV LWV JHQHVLV LQ ,VDDF +LUVK :HLVV¶ GLVFXVVLRQ LQ 'RU 'RU Y¶'RUVKDY 9ROXPH ,, 6HH DOVR 0LFKDHO +LJJHU 2W]DU KD%DUDLWRW 9ROXPH ,; 1HZ
35( DQG 3VHXGHSLJUDSK\
PRGH RI GLVFRXUVH DERXW DXWKRUVKLS DQG DWWULEXWLRQ ZDV EURXJKW WR D VWDQGVWLOO GXH WR WKH UHVHDUFK RI -DFRE 1HXVQHU DQG KLV VFKRRO RI UHVHDUFK >:LOOLDP 6FRWW@ *UHHQ KDV VXPPDUL]HG WKH UHDVRQV ZK\ D ELRJUDSKLFDO DSSURDFK WR UDEELQLF OLWHUDWXUH LV DQ LPSRVVLELOLW\ )LUVWO\ UDEELQLF GRFXPHQWV GR QRW FRQWDLQ DOO WKH WUDGLWLRQV RI RU DERXW D FHUWDLQ UDEEL ZKLFK FLUFXODWHG DW WKDW WLPH 7KH WUDGLWLRQV SUHVHUYHG LQ WKH GRFXPHQWV PXVW QRW EH FKDUDFWHULVWLF RU UHSUHVHQWDWLYH IRU D SDUWLFXODU UDEEL¶V WHDFKLQJ 6HFRQGO\ DWWULEXWLRQV DUH XQUHOLDEOH ,Q OHJDO DQG H[HJHWLFDO FRQWH[WV ³QDPHV IXQFWLRQ PHUHO\ DV D ODEHO´ 7KLUGO\ WKH H[DFW IRUP DQG FRQWHQW RI HDUOLHU WUDGLWLRQV DUH QRW UHFRYHUDEOH 7KH HGLWRUV RI WKH H[WDQW GRFXPHQWV KDYH UHZRUNHG WKH WUDGLWLRQV ZKLFK WKH\ UHFHLYHG DQG WKH\ KDYH PDGH WKHP VXEVHUYLHQW WR WKHLU QHZ UHGDFWLRQDO SXUSRVHV
3ULRU WR 1HXVQHU VFKRODUV XWLOL]HG WKH ³ELRJUDSKLFDO´ GDWD IURP WKH GLFWD DQG ³DFWV´ IRXQG LQ FODVVLFDO UDEELQLF OLWHUDWXUH DORQJVLGH WKH UDEELQLF JHQHDORJLHV IRXQG LQ VXFK ZRUNV VXFK DV 3LUNH $YRW 6HGHU 7DQQDLP ZH$PRUDLP DQG ,JJHUHW 6KHULUD *DRQ LQ RUGHU WR DVVHVV WKH DXWKHQWLFLW\ RI VXVSHFW DWWULEXWLRQV RU ELRJUDSKLFDO WUDGLWLRQV 7KH FORVH DQDO\VLV RI 1HXVQHU¶V VFKRRO KRZHYHU \LHOGHG WKH FRQFOXVLRQ WKDW DWWULEXWLRQV DQG ELRJUDSK\ ZLWKLQ UDEELQLF OLWHUDWXUH ZHUH IRXQGHG XSRQ OLWHUDU\ DQG QRW KLVWRULFDO FRQVLGHUDWLRQV ,Q WKH ZRUGV RI $PUDP 7URSSHU ³>7@KH SRVVLELOLW\ RI ZULWLQJ D UDEELQLF ELRJUDSK\ LV FXUWDLOHG ZKHQ DWWULEXWLRQV DUH VXVSHFW DQG UDEELQLF WH[WV DUH YLHZHG DV OLWHUDU\ FRPSRVLWLRQV UDWKHU WKDQ KLVWRULFDO UHFRUGV´ 7KH IDLOXUH RI WKH ³ELRJUDSKLFDO´ DSSURDFK WR DWWULEXWLRQ UHFDVWV DWWULEXWLRQ DV D OLWHUDU\ WRRO WKDW GRHV QRW DFFXUDWHO\ UHIOHFW WKH OLYHV DQG GLFWD RI WKH VDJHV &RQVHTXHQWO\ PRVW VFKRODUV FRQVLGHU FODVVLFDO UDEELQLF DWWULEXWLRQV DV BBBBBBBBBBBB
6HH WKH GHYHORSPHQW RI 1HXVQHU¶V HIIRUWV LQ (OLH]HU EHQ +\UFDQRV 7KH 7UDGLWLRQ DQG 7KH 0DQ /HLGHQ %ULOO DQG ,Q 6HDUFK RI 7DOPXGLF %LRJUDSK\ 7KH 3UREOHP RI WKH $WWULEXWHG 6D\LQJ &KLFR 6FKRODUV &DWKHULQH +H]VHU 7KH 6RFLDO 6WUXFWXUH RI WKH 5DEELQLF 0RYHPHQW LQ 5RPDQ 3DOHVWLQH 7ELQJHQ 0RKU 6LHEHFN 7KH VXPPDU\ LV GHULYHG IURP :LOOLDP 6FRWW *UHHQ ³:KDW¶V LQ D 1DPH" ± 7KH 3UREOHPDWLF RI 5DEELQLF %LRJUDSK\´ LQ $SSURDFKHV WR $QFLHQW -XGDLVP 7KHRU\ DQG 3UDFWLFH :LOOLDP 6FRWW *UHHQ HG 0LVVRXOD 6FKRODUV 6HH +H]VHU¶V GLVFXVVLRQ RI WKH ELRJUDSKLFDO DSSURDFK LQ +H]VHU 7KH 6RFLDO 6WUXFWXUH DQG 3HWHU 6FKlIHU ³5HVHDUFK LQWR 5DEELQLF /LWHUDWXUH $Q $WWHPSW WR 'HILQH WKH 6WDWXV 4XDHVWLRQLV´ -RXUQDO RI -HZLVK 6WXGLHV 6HH $PUDP 7URSSHU :LVGRP 3ROLWLFV DQG +LVWRULRJUDSK\ 7UDFWDWH $YRW LQ WKH &RQWH[W RI WKH *UDHFR5RPDQ 1HDU (DVW 2[IRUG 2[IRUG -DFRE 1HXVQHU ³7KH 0RGHUQ 6WXG\ RI WKH 0LVKQD´ LQ 7KH 6WXG\ RI $QFLHQW -XGDLVP -DFRE 1HXVQHU HG 9ROXPH , 1HZ
0LGUDVK DQG 0XOWLSOLFLW\
KLVWRULFDO SRLQWV RI UHIHUHQFH WKDW FDQ SHUKDSV LGHQWLI\ DQ DSSUR[LPDWH HUD RU WHUPLQXV D TXR RI D WUDGLWLRQ EXW ZKLFK FDQQRW GHWHUPLQH WKH DXWKHQWLFLW\ RU WKH DXWKRUVKLS RI WKRVH WUDGLWLRQV 7KLV ³OLWHUDU\´ DSSURDFK WR DXWKRUVKLS DQG DWWULEXWLRQ LQ WKH 7DOPXG DQG PLGUDVK VHULRXVO\ XQGHUPLQHV WKH PHDQLQJ RI ³SVHXGHSLJUDSK\´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³IDOVLILHG´ UDEELQLF DWWULEXWLRQV DUH ³LQ WKH VSLULW´ RI WKRVH HDUOLHU DXWKRULWLHV DQG WKXV DUH DQ ³DFFHSWDEOH GHFHSWLRQ´ IRU VXEVHTXHQW JHQHUDWLRQV 6HFRQG WKH GHYHORSPHQW RI ³RUDO WRUDK´ REYLDWHV WKH QHHG WR LGHQWLI\ DQ ³RULJLQDWRU´ RI D WUDGLWLRQ VLQFH WKH SULQFLSOH RI RUDO WRUDK LV WUDQVPLVVLRQ IURP 6LQDL DQG FDQQRW EH FRQVLGHUHG LQ WHUPV RI FRQYHQWLRQDO DXWKRUVKLS $V 0DUF %UHJPDQ VWDWHG 7KH 5DEELV EHOLHYHG WKDW QRW RQO\ WKH ZULWWHQ 7RUDK EXW DOVR WKH 2UDO 7RUDK ± UDEELQLF WUDGLWLRQ ± ZDV JLYHQ E\ *RG WR 0RVHV DW 6LQDL DQG WUDQVPLWWHG JHQHUDWLRQ E\ JHQHUDWLRQ WR WKHP &RQVLGHULQJ WKHLU SDVVLRQDWH EHOLHI LQ WKH OLWHUDO WUXWK RI GLYLQH UHYHODWLRQ WKH 5DEELV¶ IUHHGRP LQ FUHDWLQJ LQYHQWLYH LQWHUSUHWDWLRQV RI 6FULSWXUH VRPHWLPHV VHHPV SDUDGR[LFDO WR WKH PRGHUQ UHDGHU $ VLPLODU SDUDGR[ VHHPV WR SHUWDLQ WR WKH 5DEELV¶ DWWLWXGH WR DWWULEXWLRQ
7KLUGO\ WKH PRGHUQ FRQFHSW RI DXWKRUVKLS GRHV QRW PDNH VHQVH LQ WKH ³SUH DXWKRULDO´ HQYLURQPHQW RI FODVVLFDO UDEELQLF OLWHUDWXUH $V 6DFKD 6WHUQ SXW LW ,W LV FOHDU KRZHYHU WKDW 7DOPXGLF VRXUFHV FRXOG QRW KDYH FRQVLGHUHG DQ\ DWWULEXWHH ± DQ\ ³VD\HU´ RI D VD\LQJ ± DV DQ ³DXWKRU´ LQ WKH IXOO PRGHUQ :HVWHUQ VHQVH RI WKH WHUP 7R VRPH H[WHQW KH ZRXOG DOZD\V EH VHHQ DV WKH
BBBBBBBBBBBB
6HH DOVR 6WUDFN DQG 6WHPEHUJHU ,QWURGXFWLRQ II %UHJPDQ ³3VHXGHSLJUDSK\ LQ 5DEELQLF /LWHUDWXUH´ UHSURGXFHG KWWSRULRQPVFFKXMLDFLO V\PSRVLXPVQGSDSHUV%UHJPDQKWPO %UHJPDQ ³3VHXGHSLJUDSK\´
DW
WKH
ZHEVLWH
35( DQG 3VHXGHSLJUDSK\
EHDUHU DQG WUDGHQW RI KLV PDVWHUV¶ WHDFKLQJV DQG RI RWKHU HDUOLHU WUDGLWLRQV ,W LV ZLWKLQ WKH FRQWH[W RI WKLV ³IOH[LEOH´ FROOHFWLYH YLHZ RI DXWKRUVKLS WKDW 7DOPXGLF DWWLWXGHV WRZDUGV SVHXGHSLJUDSK\ PLVDWWULEXWLRQ DQG UHOLDELOLW\ RI 7DQQDLWLF DQG $PRUDLF DWWULEXWLRQV VKRXOG EH DVVHVVHG
)RU WKHVH VFKRODUV WKH FODVVLFDO DXGLHQFH¶V XQGHUVWDQGLQJ RI WKHVH DWWULEXWLRQV LV SDUDPRXQW DQG LV WKH UHDVRQ ZK\ ZH VKRXOG FRQVLGHU VXFK DWWULEXWLRQV WR EH WKH OLWHUDU\ FRQYHQWLRQV RI FODVVLFDO UDEELQLF OLWHUDWXUH 7KH DXGLHQFH¶V DSSUREDWLRQ RI WKH WUDGLWLRQ LV VXFK WKDW ³ODWHU UHGDFWRUV SHUVLVW LQ FRQVLGHULQJ 7DQQDLWLF DQG $PRUDLF DWWULEXWLRQV DV JHQHUDOO\ UHOLDEOH´ &RQVHTXHQWO\ 6WHUQ DQG %UHJPDQ SURSRVH D QXPEHU RI H[FHSWLRQV IRU FODVVLFDO UDEELQLF OLWHUDWXUH RQ DFFRXQW RI ZKLFK ZH VKRXOG LJQRUH WKH IXQGDPHQWDO ELRJUDSKLFDO DXWKRULDO RU DWWULEXWLYH SUREOHPV RI FODVVLFDO UDEELQLF OLWHUDWXUH DQG UHVWRUH WKHVH ZRUNV¶ DWWULEXWLYH LQWHJULW\ ,Q WKHLU UHLQWHUSUHWDWLRQ RI FODVVLFDO UDEELQLF DWWULEXWLRQV DQG DXWKRUVKLS 6WHUQ DQG %UHJPDQ DUJXHG IRU D GLVWLQFWLRQ EHWZHHQ DXWKRULWDWLYH IRUPV RI DWWULEXWLRQ LQ FODVVLFDO UDEELQLF OLWHUDWXUH DQG WKRVH ZRUNV ZKLFK ZRXOG IDOO RXWVLGH RI WKHLU FDWHJRULHV RI DSSUREDWLRQ ,I WKH ZRUN ZDV ³LQ WKH VSLULW´ RI FODVVLFDO UDEELQLF OLWHUDWXUH FRLQFLGHG ZLWK WKH SULQFLSOHV RI RUDO WRUDK DQGRU UHSUHVHQWHG D PRUH QXDQFHG QRWLRQ RI DXWKRUVKLS ZH VKRXOG XQGHUVWDQG WKDW WKH RULJLQDO DXGLHQFH DFFHSWHG WKH ZRUN DV DXWKHQWLF DQG VR VKRXOG ZH $FFRUGLQJO\ 6WHUQ DUJXHG WKDW VWDWHPHQWV ZLWKLQ WKH 7DOPXG SURYLGH WKHVH JURXQG UXOHV IRU DWWULEXWLRQ DQG DXWKRUVKLS ³7KH 7DOPXGLF DVVXPSWLRQ WKDW UDEELQLF DWWULEXWLRQV ZHUH JHQHUDOO\ UHOLDEOH LV XQGHUVWDQGDEOH LI ZH FRQVLGHU WKDW WUXWKIXO DQG DFFXUDWH DWWULEXWLRQ LV WUHDWHG LQ 7DOPXGLF VRXUFHV DV D ELQGLQJ LQMXQFWLRQ « LQ >WKLV@ ZHOO NQRZQ %DUDLWKD IURP .LQ\DQ 7RUDK $YRW >³$OO WKRVH ZKR DWWULEXWH D VWDWHPHQW LQ WKH QDPH RI LWV VSHDNHU EULQJ UHGHPSWLRQ LQWR WKH ZRUOG DV 6FULSWXUH VWDWHV µ(VWKHU VSRNH WR WKH NLQJ LQ WKH QDPH RI 0RUGHFKDL¶ (VWK @´ $ FRPSDULVRQ RI WKHVH ³DXWKHQWLF´ VWDQGDUGV ZLWK 35(¶V SXUSRUWHGO\ OHVV DXWKHQWLF VWDQGDUGV KRZHYHU VKRZV WKDW WKH GLVWLQFWLRQ EHWZHHQ WKH WZR OLWHUDWXUHV LV QRW VHOIHYLGHQW ,URQLFDOO\ 35(¶V IRUPV RI DXWKRUVKLS DQG DWWULEXWLRQ DUH OLNHZLVH IDLWKIXO WR WKHVH ³UXOHV´ DQG UHIOHFW DQ DFFHSWDQFH E\ WKH WUDGLWLRQDO DXGLHQFH HYHQ LQ WKH BBBBBBBBBBBB
6WHUQ ³$WWULEXWLRQ´ 6HH DOVR -HG 'HZH\ :\ULFN 7KH *HQHVLV RI $XWKRUVKLS /HJHQGV RI WKH 7H[WXDOL]DWLRQ RI +RPHULF (SLF DQG WKH %LEOH 'RFWRUDO 7KHVLV +DUYDUG 8QLYHUVLW\ 6WHUQ ³$WWULEXWLRQ´ 6WHUQ FLWHV %DE\ORQLDQ 7DOPXG 0HJLOODK D +XOOLQ E 1LGGDK E DQG .DOOD HQG 35( 7DQKXPD %DPLGEDU 7KH WUDGLWLRQ LV DOVR FLWHG LQ 7DQQD GH%HL (OL\DKX =XWD 6WHUQ ³$WWULEXWLRQ´ 6HH DOVR DQG 6WHUQ ³7KH &RQFHSW RI $XWKRUVKLS´
0LGUDVK DQG 0XOWLSOLFLW\
SUHVHQW 0RUHRYHU WKH GLFWXP FLWHG E\ 6WHUQ LQ GHIHQVH RI WKH 7DOPXG¶V VLPLODUO\ VXVSHFW IRUPV RI DWWULEXWLRQ LV IRXQG LQ 35( FKDSWHU ILIW\ ZLWK WKH VDPH DVVXUDQFH WKDW WKH LQVWLWXWLRQ RI DWWULEXWLRQ LV WDNHQ VHULRXVO\ 7KLV UDLVHV DQ REYLRXV TXHVWLRQ LI WKH VDPH VWDQGDUGV DUH DSSOLHG WR ERWK FODVVLFDO UDEELQLF OLWHUDWXUH DQG 35( FDQ ZH VWLOO FRQGHPQ 35( DV D SVHXGHSLJUDSKLF LPLWDWLRQ RI UDEELQLF DXWKRUVKLS DQG DWWULEXWLRQ" ,I ZH DFFHSW WKH ILUVW WZR H[SODQDWLRQV RI FODVVLFDO SVHXGHSLJUDSK\ SURYLGHG E\ %UHJPDQ DQG 6WHUQ 35(¶V ³SVHXGHSLJUDSK\´ GRHV QRW GLIIHU IURP FODVVLFDO UDEELQLF OLWHUDWXUH 2Q WKH FRQWUDU\ ZH FDQQRW FRQGHPQ 35( LI WKH DSSURYDO RI WKH WUDGLWLRQ KDV EHHQ EHVWRZHG XSRQ LW DV LV GHPRQVWUDWHG LQ 35(¶V WUDGLWLRQDO DXWKRULW\ ZLWKLQ WKH FDQRQ 7KHVH VFKRODUV¶ FRQGHPQDWLRQ RI 35( DV SVHXGHSLJUDSK\ KRZHYHU LV SULPDULO\ EDVHG LQ WKHLU WKLUG H[SODQDWLRQ RI FODVVLFDO UDEELQLF SVHXGHSLJUDSK\ WKH LGHD RI WKH DXWKRU ZKLFK VFKRODUV RI 35( DVVXPH RQO\ HPHUJHG GXULQJ WKH HDUO\ JHRQLF HUD LQ 35( ,Q RWKHU ZRUGV WKHVH VFKRODUV FRQGHPQ 35( DV D SVHXGHSLJUDSK\ EHFDXVH WKH ZRUN GHILQHV WKH DXWKRU LQ PRGHUQ WHUPV ,Q KLV RULJLQDO UHMHFWLRQ RI 5 (OLH]HU DV WKH DXWKRU RI 35( =XQ] DVFULEHG WKH DWWULEXWLRQ WR DQ DQRQ\PRXV JHRQLF DXWKRU ZKR ³KLG´ YHUEDUJVLFK EHKLQG WKH QDPH RI WKH HPLQHQW 5 (OLH]HU $V D ³IRUJHG´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¶V SVHXGHSLJUDSK\ WKH SULQFLSDO LGHD WKDW 35( LV WKH SURGXFW RI DQ DXWKRU UDWKHU WKDQ D SURGXFW RI ³RUDO WRUDK´ RU WUDQVPLVVLRQ LV WKH JUHDWHVW DQG PRVW LPSRUWDQW GLVWLQFWLRQ EHWZHHQ LW DQG HDUOLHU UDEELQLF ZRUNV ,Q WKH YLHZ RI WKHVH VFKRODUV WKHQ WKH HPHUJHQFH RI DXWKRUVKLS ± IDOVH DXWKRUVKLS WKDW LV ± LV WKH SULPDU\ UHDVRQ ZK\ 35( LV FRQVLGHUHG D ³SVHXGHSLJUDSK\´ ZKHUHDV FODVVLFDO UDEELQLF OLWHUDWXUH ZKLFK VKDUHV PDQ\ RI WKH VDPH OLWHUDU\ IHDWXUHV LV QRW ,I ZH DFFHSW WKHVH VFKRODUV¶ FKDUDFWHUL]DWLRQ RI 35(¶V FRQFHSWLRQ RI DXWKRUVKLS WKHLU FODLP WKDW 35( UHSUHVHQWV D VKLIW WRZDUGV SVHXGHSLJUDSK\ LV TXLWH UHDVRQDEOH (OEDXP DQG RWKHU VFKRODUV KDYH FKDUDFWHUL]HG 35( DV DQ DPDOJDP RI OLWHUDU\ IHDWXUHV DQG WKH\ KDYH XQLILHG WKH ZRUN RQ WKH EDVLV RI D BBBBBBBBBBBB
=XQ] DQG =XQ]$OEHFN
35( DQG 3VHXGHSLJUDSK\
VLQJOH ± DOEHLW SVHXGHSLJUDSKLF ± OLWHUDU\ SHUVRQDOLW\ 7KLV QHZ LGHD RI WKH DXWKRU DOORZV WKHVH VFKRODUV WR DVVLJQ 35(¶V DQRPDORXV DQG LUUHJXODU GLVFRXUVH WR DQ HDVLO\ LGHQWLILHG SRLQW RI YLHZ $FFRUGLQJ WR WKHVH VFKRODUV WKH JHRQLF DXWKRU LV NQRZQ WKURXJK WKH FRQVLVWHQF\ RI KLV OLWHUDU\ DFWLYLWLHV LQ ZKLFK KH LQWHQWLRQDOO\ ³PL[HG´ DQG ³VLPSOLILHG´ DXWKHQWLF WUDGLWLRQV ZLWK QHZ RU µQRQUDEELQLF¶ WUDGLWLRQV PLVDSSURSULDWHG WDQQDLWLF ODQJXDJH DQG IDOVLILHG DWWULEXWLRQV ,Q WKLV IRFXV XSRQ OLWHUDU\ FKDUDFWHULVWLFV KRZHYHU WKLV SRLQW RI YLHZ ODUJHO\ UHOLHV XSRQ WKH FRQFHSWXDO XQLW\ LQKHUHQW LQ WKH LGHD RI WKH DXWKRU LQ RUGHU WR H[SODLQ DQG KDUPRQL]H WKH VWUXFWXUDO LQFRQJUXLWLHV RI WKH ZRUN PHQWLRQHG DERYH 7KH UDWLRQDOH EHKLQG WKLV SRLQW RI YLHZ LV VXPPDUL]HG HOHJDQWO\ E\ 0LFKHO )RXFDXOW ZKR VWDWHG WKDW ³WKH DXWKRU « VHUYHV WR QHXWUDOL]H WKH FRQWUDGLFWLRQV WKDW PD\ HPHUJH LQ D VHULHV RI WH[WV « >LQ RUGHU WR HVWDEOLVK@ D SRLQW ZKHUH FRQWUDGLFWLRQV DUH UHVROYHG ZKHUH LQFRPSDWLEOH HOHPHQWV DUH DW ODVW WLHG WRJHWKHU RU RUJDQL]HG DURXQG D IXQGDPHQWDO RU RULJLQDWLQJ FRQWUDGLFWLRQ´ 7KHVH VFKRODUV¶ VKLIWLQJ RI UHVSRQVLELOLW\ IRU 35(¶V RUJDQL]DWLRQDO PHULWV DQG IODZV IURP 5 (OLH]HU EHQ +\UFDQRV WR DQ DQRQ\PRXV DQG GHFHSWLYH JHRQLF DXWKRU WKXV UHSUHVHQWV WKH DWWHPSW WR H[SODLQ WKH SUREOHPV RI WKH WH[W E\ PHDQV RI D VLQJOH DXWKRU 7KH ULVH RI DXWKRUVKLS LQ 35( DORQH RU LQ FRQWUDVW ZLWK FODVVLFDO UDEELQLF OLWHUDWXUH KRZHYHU LV IDU IURP REYLRXV RU QHFHVVDU\ ,Q KLV LQVLJKWIXO GLVFXVVLRQ RI 35(¶V PDQXVFULSW WUDGLWLRQ /HZLV %DUWK HPSKDVL]HG WKDW D UHFRQVLGHUDWLRQ RI WKH LGHD RI VLQJOH DXWKRUVKLS LV D QHFHVVDU\ VWHS WRZDUGV D UHQHZHG DVVHVVPHQW RI WKH ZRUN $UH WKH H[SUHVVLRQV ³DXWKRU´ DQG ³DXWKRU¶V LQWHQWLRQV´ XVHIXO FDWHJRULHV LQ WKLQNLQJ DERXW 3LUTp 5 (O" 3LUTp 5 (O KDV EHHQ YDULRXVO\ GHVFULEHG DV D ³PLGUDVK´ DV D ZRUN ZKLFK UHWHOOV ELEOLFDO QDUUDWLYH DQG DV D SVHXGHSLJUDSKDO UDEELQLF ZRUN ,W FOHDUO\ WUDQVFHQGV DQ\ RI WKHVH GHVFULSWLRQV +RZ DUH ZH WR ODEHO WKH SHUVRQ RU SHUVRQV ZKR SURGXFHG 3LUTp 5 (O" 7R ZKDW VWDJH RI WKH WUDGLWLRQ GR ZH UHIHU ZKHQ ZH WDON DERXW LW"
BBBBBBBBBBBB
,Q DGGLWLRQ VHH
0LGUDVK DQG 0XOWLSOLFLW\
%DUWK OD\V EDUH WKH SUREOHPV ZLWK SXUSRUWHG GLVWLQFWLRQ EHWZHHQ WKH DXWKRULDO LGHD LQ 35( DQG WKDW RI FODVVLFDO UDEELQLF OLWHUDWXUH ZKLFK LV H[SRVHG LQ WKH UHODWLRQVKLS EHWZHHQ DXWKRUVKLS DQG WH[WXDO WUDQVPLVVLRQ ,Q WKHLU FRQVLGHUDWLRQ RI WKH UROH RI DXWKRUVKLS LQ PHGLHYDO WH[WXDO WUDQVPLVVLRQ 0DODFKL %HLW$ULp DQG RWKHU VFKRODUV KDYH GHPRQVWUDWHG WKDW PHGLHYDO VFULEHV FRQVLGHUHG PDQXVFULSWV ³RSHQ WH[WV´ VFULEHV FRXOG DOWHU LQWHUSUHW DQG LQVHUW PDWHULDO LQWR D PDQXVFULSW WUDGLWLRQ DFFRUGLQJ WR D ³FRQFHSW RI FROOHFWLYH RZQHUVKLS´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p¶V FRQWHQWLRQV WKH VWDEOH FDWHJRULHV RI DXWKRUVKLS RU DWWULEXWLRQ FDQQRW GHWHUPLQH WKH ³DXWKHQWLFLW\´ RI D ZRUN QRU SURYLGH WKH VROH EDVLV E\ ZKLFK ZH BBBBBBBBBBBB
0DODFKL %HLW$ULp ³7UDQVPLVVLRQ RI 7H[WV E\ 6FULEHV DQG &RS\LVWV 8QFRQVFLRXV DQG &ULWLFDO ,QWHUIHUHQFHV´ %XOOHWLQ RI WKH -RKQ 5\ODQGV 8QLYHUVLW\ /LEUDU\ RI 0DQFKHVWHU 6HH ,VUDHO 0 7D6KPD¶V DUWLFOH ³7KH µ2SHQ¶ %RRN LQ 0HGLHYDO +HEUHZ /LWHUDWXUH WKH 3UREOHP RI $XWKRUL]HG (GLWLRQV´ LQ WKH VDPH YROXPH 6HH DOVR RQ 35( LQ SDUWLFXODU /HZLV %DUWK ³,V (YHU\ 0HGLHYDO +HEUHZ 0DQXVFULSW D 1HZ &RPSRVLWLRQ" 7KH &DVH RI 3LUTp 5DEEL (OLH]HU´ DW KLV KRPHSDJH KWWSZZZXVFHGXGHSWKXFODSUH SURMHFWDJHQGDVKWPO 6HH %HLW$ULp ³7UDQVPLVVLRQ´ 7KLV SUREOHP ZDV DGGUHVVHG LQ WKH QRWDEOH H[FKDQJH EHWZHHQ &KDLP 0LOLNRZVN\ DQG 3HWHU 6FKlIHU DERXW WKH YLDELOLW\ RI WKH V\QRSWLF PRGHO IRU WKH UDEELQLF PDQXVFULSW WUDGLWLRQ 6HH 3HWHU 6FKlIHU ³5HVHDUFK ,QWR 5DEELQLF /LWHUDWXUH´ &KDLP 0LOLNRZVN\ ³7KH 6WDWXV 4XDHVWLRQLV RI 5HVHDUFK LQ 5DEELQLF /LWHUDWXUH´ -RXUQDO RI -HZLVK 6WXGLHV DQG 3HWHU 6FKlIHU ³2QFH $JDLQ WKH 6WDWXV 4XDHVWLRQLV RI 5HVHDUFK LQ 5DEELQLF /LWHUDWXUH $Q $QVZHU WR &KDLP 0LOLNRZVN\´ -RXUQDO RI -HZLVK 6WXGLHV ,Q WKLV H[FKDQJH 0LOLNRZVN\ UHMHFWHG WKH V\QRSWLF PRGHO RI 6FKlIHU DV WRR ³H[WUHPH´ SDUWO\ GXH WR KLV UHVLVWDQFH WR WKH GLOXWLRQ RI DXWKRULWDWLYH µFULWLFDO¶ HGLWLRQV RI UDEELQLF PDQXVFULSWV ,Q FRQWUDVW WR WKH V\QRSWLF PRGHO &KDLP 0LOLNRZVN\ DUJXHG WKDW WKH YDVW PDMRULW\ RI UDEELQLF WH[WV FDQ EH DVVHVVHG WKURXJK DQ DOWHUQDWLYH PRGHO VWHPPDWLF DQDO\VLV ZKLFK WUDFHV WKH JHQHDORJ\ RI WKH WH[WXDO WUDGLWLRQV 0LOLNRZVN\¶V UHVLVWDQFH WR 6FKlIHU¶V DUJXPHQW ZDV IRXQGHG XSRQ KLV YLHZ RI WKH SUDFWLFDO DSSOLFDWLRQ RI WKH V\QRSWLF PRGHO IRU VFKRODUO\ UHVHDUFK 0LOLNRZVN\ GLVSXWHG 6FKlIHU¶V SRVLWLRQ EHFDXVH KH IHOW WKDW 6FKlIHU GLG QRW SHUFHLYH WKDW WKHUH DUH QRW HQRXJK YDULDQWV LQ WKH PDQXVFULSW WUDGLWLRQV WR MXVWLI\ KLV V\QRSWLF DQDO\VLV RI PLGUDVK ,Q DGGLWLRQ 0LOLNRZVN\ EHOLHYHG WKDW 6FKlIHU¶V PRGHO LV FULSSOHG E\ D ZHOWHU RI WH[WXDO DXWKRULWLHV 6FKlIHU¶V PRGHO GRHV QRW EUDFNHW WKH WH[WXDO WUDGLWLRQ E\ D VLQJOH WH[W WKDW FDQ JXLGH DQDO\VLV RI WKH WH[W
35( DQG 3VHXGHSLJUDSK\
PD\ ³XQLI\´ WKH GLVSDUDWH IHDWXUHV RI DQ RWKHUZLVH DQRPDORXV FRPSRVLWLRQ 7KH OLIH RI WKLV WH[W LV QRW UHVWULFWHG WR WKH SXUSRUWHG SHUVRQDOLW\ RI D VLQJOH DXWKRU QRU FDQ WKH WH[WXDO WUDGLWLRQ EH IUR]HQ LQ RUGHU WR LGHQWLI\ D VLQJOH DXWKRU¶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¶V SXUSRUWHG SVHXGHSLJUDSK\ :LWKRXW WKH IHDWXUH RI VLQJOH DXWKRUVKLS RU ELRJUDSK\ DWWULEXWLRQ LQ 35( GRHV QRW GLIIHU IURP FODVVLFDO UDEELQLF OLWHUDWXUH LQ DQ\ ZD\ WKDW ZH FDQ PHDVXUH RU DUWLFXODWH XQOHVV ZH DUELWUDULO\ DQG XQMXVWLILDEO\ DVVLJQ WKH ³ELUWK´ RI DXWKRUVKLS LQ UDEELQLF OLWHUDWXUH WR WKLV YHU\ ZRUN 'HVSLWH WKH GLIILFXOWLHV RI WKH DERYH DSSURDFKHV WR FODVVLFDO DQG HDUO\ JHRQLF DXWKRUVKLS DQG DWWULEXWLRQ ZH PXVW XQGHUVWDQG WKH LPSRUWDQFH RI WKHVH OLWHUDU\ HOHPHQWV WR WKH LGHQWLW\ RI WKH ZRUN 7KHVH FRPSRQHQWV DUH FHQWUDO WR RXU XQGHUVWDQGLQJ RI 35(¶V UHODWLRQVKLS WR FODVVLFDO UDEELQLF OLWHUDWXUH HYHQ LI WKH WHUP ³SVHXGHSLJUDSK\´ GRHV QRW DFFXUDWHO\ GHVFULEH 35(¶V DWWULEXWLRQV ODQJXDJH DQG H[SUHVVLRQ ,Q KLV LQVLJKWIXO GLVFXVVLRQ RI SVHXGHSLJUDSK\ 0RUWRQ 6PLWK VWDWHG WKDW LI ³SVHXGHSLJUDSK\´ LV DOOHJHG WKLV IHDWXUH VKRXOG EH FRQVLGHUHG DV DQ H[SUHVVLRQ RI WH[WXDO WUDQVPLVVLRQ DQG QRW RI ³IRUJHU\´ « VXUYH\V RI UHFHQW ZRUN LQ )RUPJHVFKLFKWH *DWWXQJVJHVFKLFKWH 7UDGLWLRQVJHVFKLFKWH 5HGDNWLRQVJHVFKLFKWH DQG hEHUOLHIHUXQJVJHVFKLFKWH LQGLFDWH WKDW QRQH RI WKH SUDFWLWLRQHUV RI WKHVH SRO\V\OODELF GLVFLSOLQHV KDV SDLG DQ\ DWWHQWLRQ WR SVHXGHSLJUDSK\ DV VXFK WKRXJK RQH PLJKW VXSSRVH LW D OLWHUDU\ IRUP LPSRUWDQW ERWK IRU UHGDFWLRQ DQG IRU WKH KLVWRU\ RI WKH ZD\ WKH PDWHULDO ZDV KDQGHG GRZQ
,Q DFFRUGDQFH ZLWK 6PLWK¶V VXJJHVWLRQ ZH DOVR ZLOO FRQVLGHU WKH IHDWXUHV RI DXWKRULWDWLYH DWWULEXWLRQV DQG ODQJXDJH LQ WKH FRQWH[W RI WKH WUDQVPLVVLRQ DQG WUDQVIRUPDWLRQ RI WH[WXDOO\ VLJQLILFDQW IHDWXUHV RI DWWULEXWLRQ DQG WUDGLWLRQV ,Q RXU H[DPLQDWLRQ RI SVHXGHSLJUDSK\ LQ UDEELQLF OLWHUDWXUH ZH FDQQRW GHILQH WKH WHUP LQ UHODWLRQ WR D KLVWRULFDOO\ ³JHQXLQH´ DWWULEXWLRQ QRU FDQ ZH GLVWDQFH WKH ³SUHDXWKRULDO´ SVHXGHSLJUDSK\ RI WKH FDQRQLFDO WH[WV IURP WKH ³DXWKRULDO¶´ BBBBBBBBBBBB
0RUWRQ 6PLWK ³3VHXGHSLJUDSK\´
0LGUDVK DQG 0XOWLSOLFLW\
SVHXGHSLJUDSK\ RI WKH 35( 7KLV LV QRW D UHDVRQ IRU FRQFHUQ KRZHYHU DV ZH GR QRW QHHG DQ\ FULWHULD RI ELRJUDSKLFDO RU KLVWRULFDO WUXWK LQ RUGHU WR DVVHVV 35(¶V UHODWLRQVKLS ZLWK WKH DWWULEXWLRQV DQG WUDGLWLRQV RI FODVVLFDO OLWHUDWXUH 2Q WKH FRQWUDU\ ZH ZLOO VWUHVV WKH UROH RI DWWULEXWLRQV LQ 35( DV D ³FRQWH[WXDO´ HQGHDYRU ZH ZLOO VHHN WR GHWHUPLQH WKH VLJQLILFDQFH RI WUDGLWLRQV DQG DWWULEXWLRQV LQ WKH FRQWH[W RI WKH ZRUN¶V LQWHUDFWLRQ ZLWK WKH GLVFRXUVH RI 6FULSWXUDO DQG FODVVLFDO UDEELQLF OLWHUDWXUH 7KH VWXG\ RI 35(¶V DXWKRUVKLS DQG DWWULEXWLRQ FDQ EH GLYLGHG LQWR WZR SDUWV ILUVW WKH DWWULEXWLRQ RI FRPSRVLWLRQ RU WUDQVPLVVLRQ RI WKH HQWLUH ZRUN WR 5 (OLH]HU E +\UFDQRV DQG VHFRQG WKH DWWULEXWLRQ RI LQGLYLGXDO WUDGLWLRQV WR D YDULHW\ RI WDQQDLWLF VDJHV :H FDQ VSHDN RI 5 (OLH]HU¶V ³DXWKRULDO´ RU ³DXWKRUL]LQJ´ SUHVHQFH ZLWKLQ WKH ZRUN WKDW KDV OHG WKH DVVRFLDWLRQ RI WKH ZRUN ZLWK WKLV VDJH DV ZHOO DV RI WKH PRUH H[WHQVLYH PRUSKRORJ\ RI DWWULEXWLRQV ZKLFK UHIHU WR RWKHU VDJHV DQG WUDGLWLRQV DVVRFLDWHG ZLWK FODVVLFDO UDEELQLF OLWHUDWXUH $FFRUGLQJO\ ZH ZLOO H[DPLQH WKH ZRUN¶V DWWULEXWLRQV DQG WUDGLWLRQV LQGHSHQGHQWO\ EXW DOVR DORQJVLGH SDUDOOHO WUDGLWLRQV RU DWWULEXWLRQV IURP FODVVLFDO UDEELQLF OLWHUDWXUH :H VKDOO GR VR LQ RUGHU WR HOXFLGDWH WKH UHODWLRQVKLS EHWZHHQ WKH FRQWHQW RI WKH WUDGLWLRQ DQG WKH DXWKRULW\ WR ZKRP LW LV DWWULEXWHG DV ZHOO DV WR HVWDEOLVK WKH UHODWLRQVKLS RI WKHVH DWWULEXWLRQV DQG WUDGLWLRQV ZLWK FODVVLFDO UDEELQLF OLWHUDWXUH 7KH GLVFXVVLRQ EHORZ ZLOO IRFXV XSRQ WH[WXDO IHDWXUHV WKDW FRUUHODWH 35(¶V UHODWLRQVKLS WR WUDGLWLRQDO UDEELQLF DWWULEXWLRQ DQG HVWDEOLVK WKH ZRUN¶V UHODWLRQVKLS ZLWK WKH WRROV RI DWWULEXWLRQ DQG DXWKHQWLFLW\ ZLWKLQ WKH ZRUN 7KLV H[DPLQDWLRQ RI 5 (OLH]HU DQG KLV IHOORZ WUDGHQWV ZLOO SURYLGH D FRPSDUDWLYH DSSURDFK WR WKH WH[WXDO HYLGHQFH LQ ZKLFK WKH FRQWH[W DQG WUDQVPLVVLRQ RI WKH DWWULEXWLRQV DQG WKH WUDGLWLRQV ZLOO JXLGH XV WR 35(¶V UHODWLRQVKLS ZLWK FODVVLFDO UDEELQLF OLWHUDWXUH
5 (OLH]HU DV $XWKRU 3VHXGRQ\P RU $UFKHW\SH $V PHQWLRQHG LQ WKH LQWURGXFWLRQ WR WKLV VWXG\ WKH DWWULEXWLRQ RI 35( WR 5DEEL (OLH]HU JRHV EDFN DV IDU DV WKH HLJKWKQLQWK FHQWXU\ VDJH 3LUTRL EHQ %DERL RU WKH QLQWK FHQWXU\ VDJH 1DWURQDL *DRQ )URP WKLV HDUO\ HUD IRUZDUG WKH DXWKRULW\ DQG DXWKRUVKLS RI 35( KDYH EHHQ DVVRFLDWHG ZLWK 5 (OLH]HU DQG WKH ZRUN KDV ERUQH KLV QDPH 7KH SULPDU\ WH[WXDO HYLGHQFH ZLWKLQ 35( IRU 5 BBBBBBBBBBBB
6HH LQWURGXFWLRQ QRWH
35( DQG 3VHXGHSLJUDSK\
(OLH]HU¶V DXWKRUVKLS KRZHYHU LV RQO\ GHULYHG IURP WKH LQLWLDO WZR KDJLRJUDSKLF FKDSWHUV RI WKH ZRUN ,Q WKH WUDGLWLRQDO DQG DFDGHPLF XQGHUVWDQGLQJ RI WKHVH SDVVDJHV UHDGHUV KDYH DVVXPHG WKDW WKHUH LV QR GLIIHUHQFH EHWZHHQ WKH WUDGLWLRQDO XQGHUVWDQGLQJ DQG DQ LPSOLFLW FODLP LQ WKHVH ILUVW FKDSWHUV &RQVHTXHQWO\ WKH GLVFRYHU\ WKDW 5 (OLH]HU LV QRW WKH DXWKRU RU DXWKRUL]HU RI 35( DOVR UHFDVW WKHVH VHFWLRQV DV D SDUW ± RU WKH HQWLUHW\ ± RI WKH SURRI WKDW D SVHXGHSLJUDSKLF JHRQLF DXWKRU ZLVKHG WR JUDIW 5 (OLH]HU¶V DXWKRULW\ RQWR KLV RZQ RULJLQDO FRPSRVLWLRQ $V LQGLFDWHG DERYH VFKRODUV KDYH DUJXHG WKDW WKHVH FKDSWHUV DUH WKH VWURQJHVW HYLGHQFH WKDW 5 (OLH]HU LV RU LV LQWHQGHG WR EH WKH DXWKRU RI 35( \HW WKHVH FKDSWHUV SRVH D VWUXFWXUDO GLIILFXOW\ LQ DQG RI WKHPVHOYHV 2XWVLGH RI WKH UHFHLYHG RSLQLRQ RI WKH UDEELQLF WUDGLWLRQ WKHUH LV QR RWKHU EDVLV IRU WKLV FODLP ZLWKLQ 35( LWVHOI 1HYHUWKOHVV WKHVH VDPH VFKRODUV KDYH DUJXHG WKDW WKHVH FKDSWHUV EHDU OLWWOH UHVHPEODQFH WR WKH UHVW RI WKH ZRUN DQG WKDW ZH VKRXOG DOVR DVVXPH WKDW WKH\ ZHUH QRW SDUW RI WKH ³RULJLQDO´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¶V UHODWLRQVKLS ZLWK WKH ZRUN 6WHLQ DVVHUWHG WKDW ZH FDQ ILQG SURRI IRU WKH UHODWLRQVKLS EHWZHHQ WKH FKDSWHUV BBBBBBBBBBBB
)RU H[DPSOH )ULHGODQGHU FKDOOHQJHG ERWK WKH VWDWXV RI 35( DV D VLQJOH ZRUN DV ZHOO DV WKH µRULJLQDOLW\¶ RI WKH ILUVW WZR FKDSWHUV >LQ 3LUNH [LLL DQG [YL@ 6LPLODU WR =XQ] KRZHYHU KH DUJXHG WKDW D VLQJOH *HRQLF DXWKRU DGRSWHG WKH QDPH RI 5 (OLH]HU LQ RUGHU WR OHJLWLPL]H WKH GRFWULQHV RI KLV ZRUN ,Q WKH DEVHQFH RI D VHFWLRQ IRU 5 (OLH]HU QRU D FRKHVLYH ZRUN KRZ LV WKLV SRVVLEOH" *HQHVLV 5DEED $YRW GH5DEEL 1DWDQ $ DQG % DV ZHOO DV 7DQKXPD %XEHU /HFK /¶FKD 6WHLQ 0HPUD 0DJLD 0LWRV
0LGUDVK DQG 0XOWLSOLFLW\
GHGLFDWHG WR 5 (OLH]HU DQG WKH UHVW RI WKH ZRUN LQ 35(¶V OLWHUDU\ DQG WKHPDWLF RUJDQL]DWLRQ ,Q FRQWUDVW ZLWK SUHYLRXV VFKRODUV 6WHLQ VWDWHG WKDW D GHPRQVWUDEOH WKHPDWLF FRUUHVSRQGHQFH EHWZHHQ WKHVH FKDSWHUV DQG WKH UHPDLQGHU RI WKH ZRUN SURYHV KRZ LQWHJUDO WKLV VHFWLRQ LV WR WKH DXWKRU¶V RULJLQDO FRQFHSWLRQ RI 35( $FFRUGLQJ WR 6WHLQ WKHVH LQLWLDO FKDSWHUV IHDWXUH 5 (OLH]HU EHFDXVH KH LV D GLGDFWLF ³DUFKHW\SH´ WKDW JXLGHV WKH ZRUN¶V WKHPDWLF GHYHORSPHQW 7KH ILUVW WZR FKDSWHUV RI WKH ZRUN HQJDJH WKH EHJLQQLQJV RI 5 (OLH]HU LQ KLV µELUWK¶ DV D VDJH 7KH\ VHUYH IRU WKH FRQVROLGDWLRQ RI WKH FRQQHFWLRQ RI WKH ZRUN WR WKLV JUHDW WDQQD DQG VXSSRUW WKH SVHXGHSLJUDSKLF GLPHQVLRQ RI 35( &KDSWHUV FRQFHQWUDWH XSRQ WKH VSHFLILF FXOWXUDO LGHQWLW\ RI ,VUDHO DQG LQ WKH FUHDWLRQ RI DQ LQGLYLGXDO VWXGHQWV RI VDJHV DQG WKDW RI FKDSWHU WKUHH HQJDJHV LQ WKH XQLYHUVDO FRVPRORJ\ LQ WKH VXEVWUXFWXUH DQG LQ WKH PRGHO LQ OLJKW RI ZKLFK >WKH ZRUN¶V@ 6FULSWXUDO KLVWRU\ LV RSHQHG
6WHLQ SODFHG WKHPDWLF LVVXHV DW WKH IRUHIURQW RI KHU GLVFXVVLRQ RI WKHVH FKDSWHUV DQG VRXJKW WR SRUWUD\ 5 (OLH]HU¶V KDJLRJUDSK\ DV D ³IRONORULVWLF´ DUFKHW\SH WKDW LV IRXQGHG XSRQ WKH ³KHUR P\WK´ ± D QDUUDWLYH WURSH LQ ZKLFK D ³KHUR´ PDWXUHV WKURXJK WULDOV LQWURGXFHG E\ SRVLWLYH DQG QHJDWLYH ³SDUHQWV´ LQ KLV VWUXJJOHV IRU JRRG RYHU HYLO WKDW DUH W\SRORJLFDOO\ UHSUHVHQWHG LQ KLV 2HGLSDO FRQIOLFW ZLWK KLV IDWKHU $V D YDULDQW RQ WKH ³KHUR P\WK´ WKH QDUUDWLYH RI 5 (OLH]HU¶V ³DVFHWLF´ DFWLYLWLHV UHSUHVHQWV D VRFLDO ³GLGDFWLF´ WKDW FRQWLQXHV WKURXJKRXW WKH ZRUN 6WHLQ DUJXHG WKDW WKH DUFKHW\SDO LPDJHU\ RI 5 (OLH]HU¶V WULDOV UHYHUEHUDWHV WKURXJKRXW 35( DQG FRORUV WKH ZRUN¶V UHSUHVHQWDWLRQ RI RWKHU 6FULSWXUDO SHUVRQDOLWLHV VXFK DV 0RVHV RU (OLMDK WKH ULWXDOV RI WKH SUHVHQW DQG WKH SURPLVH RI PHVVLDQLF UHGHPSWLRQ $OWKRXJK WKHUH DUH PRUH DQFLHQW YHUVLRQV RI WKLV VWRU\ 6WHLQ DUJXHG WKDW 35(¶V YHUVLRQ H[KLELWV D WHPSRUDOLW\ WKDW PLUURUV WKH GLGDFWLF PHVVDJH RI WKH ZRUN DQG WKXV FDQ EH DSSOLHG WR RXU FRQVLGHUDWLRQ RI DXWKRUVKLS DQG SVHXGHSLJUDSK\ 35(¶V RULHQWDWLRQ WRZDUGV D 6FULSWXUDO SDVW D FXOWXUDOULWXDO SUHVHQW DQG DQ BBBBBBBBBBBB
6WHLQ 0HPUD 0DJLD 0LWRV 6WHLQ 0HPUD 0DJLD 0LWRV DQG 6WHLQ 0HPUD 0DJLD 0LWRV 6HH 6WHLQ 0HPUD 0DJLD 0LWRV 6HH 2WWR 5DQN¶V ³7KH 0\WK RI WKH %LUWK RI WKH +HUR´ /RUG 5DJODQ¶V ³7KH +HUR´ DQG $ODQ 'XQGHV¶ ³7KH +HUR 3DWWHUQ DQG WKH /LIH RI -HVXV´ LQ 5REHUW $ 6HJDO¶V FROOHFWLRQ ,Q 4XHVW RI WKH +HUR 3ULQFHWRQ 3ULQFHWRQ 7KH 2HGLSDO FRQQRWDWLRQ RI WKH P\WKLF WURSH LV VWUHVVHG E\ 6LJPXQG )UHXG LQ KLV 0RVHV DQG 0RQRWKHLVP 1HZ
35( DQG 3VHXGHSLJUDSK\
HVFKDWRORJLFDO IXWXUH LV WKH NH\ KHXULVWLF FRPSRQHQW IRU WKH WKHPDWLF DQG GLGDFWLF FRPSRQHQWV RI WKH ZRUN 35( HQJDJHV IRU WKH PRVW SDUW LQ WKH HYHQWV RI 6FULSWXUH ± WKH 6FULSWXUDO SDVW 7KH KLVWRULFDO UDQJH ZLWKLQ LW LV FRQQHFWHG WR WKH EHJLQQLQJ RI FUHDWLRQ DQG HYHQ EHIRUH DQG WKH HQG LQ WKH HVFKDWRORJLFDO IXWXUH« >7@KH ZRUN LV DOPRVW QHYHU FRUUHODWHG WR WKH SHULRG RI WKH VDJHV DQG DOVR DOPRVW QHYHU UHIHUV WR WKHLU HUD 7KH QHDU SDVW LV DOPRVW QHYHU UHFDOOHG KHUH DQG HYHQ PRVW FRPSRQHQWV RI WKLV SUHVHQW DUH UHFDOOHG LQ WKH PLGVW RI H[SHULHQFHV RI WKH EDVLF ULWXDO SUD[LV « OLNH SUD\HU
$FFRUGLQJO\ 6WHLQ FRQWHQGHG WKDW 35( VHWV 5 (OLH]HU EHIRUH LWV DXGLHQFH DV D PRGHO WR EH HPXODWHG 7KH KDJLRJUDSKLF FKDSWHUV DUH DQ ³LQLWLDWLRQ´ LQWR WKH WUDGLWLRQ ZKLFK LQ 6WHLQ¶V YLHZ H[SOLFLWO\ VHWV WKH DUFKHW\SH RI 5 (OLH]HU DJDLQVW &KULVWLDQLW\ DQG ,VODP LQ WKHLU FRPSHWLQJ FODLPV WR WKH $EUDKDPLF WUDGLWLRQ 6WHLQ DUJXHG WKDW 5 (OLH]HU SURYLGHV D FHQWHU WR WKH ZRUN ZKLFK LV DEOH WR XQLWH WKH GLYHUJHQW OLWHUDU\ DQG WKHPDWLF HOHPHQWV PHQWLRQHG DERYH DQG ZKLFK FRQGHQVHV WKH ZRUN¶V ³PHVVDJH´ LQWR D OHVVRQ IRU UHDGHUV RI WKH JHRQLF HUD 6WHLQ¶V UHVROXWLRQ WR WKH SUREOHP RI WKHVH FKDSWHUV¶ UHODWLRQ WR WKH UHPDLQGHU RI 35( LV D FUHDWLYH DWWHPSW WR IRUJH FRQQHFWLRQV DPRQJ WKH GLVSDUDWH VHFWLRQV RI WKH ZRUN DQG UHWDLQ WKH WUDGLWLRQDO DFDGHPLF XQGHUVWDQGLQJ RI 5 (OLH]HU 6WHLQ¶V DSSURDFK KRZHYHU HQFRXUDJHV XV WR GHULYH RXU XQGHUVWDQGLQJ RI 35( IURP PRGHUQ DQG OHVV WKDQ XQLYHUVDOO\ DFFHSWHG VWUXFWXUDOLVW UHDGLQJV RI WKH ZRUN UDWKHU WKDQ IURP WKH ZRUN DQG LWV WH[WXDO UHODWLRQV DQG GRHV QRW VXIILFLHQWO\ DFNQRZOHGJH WKH ZD\ WKDW WKH H[SRVLWRUV XWLOL]H 5 (OLH]HU DQG RWKHU VDJHV DV WUDGHQWV ZKR DUH WR EH FRQVLGHUHG LQ UHODWLRQ WR WKHLU DWWULEXWHG WUDGLWLRQV ,Q KLV DVVHVVPHQW RI 5 (OLH]HU¶V ³DXWKRULDO´ UROH =XQ] DUJXHG WKDW 35( GRHV QRW UHIOHFW DQ DWWULEXWLRQ WR 5 (OLH]HU EH\RQG WKH ILUVW IHZ FKDSWHUV EHFDXVH ³$OOHLQ EDOG QDFK GLHVHU HPSIHKOHQGHQ (LQIKUXQJ HUVFKHLQHQ F DQGHUH 1DPHQ XQG $XWRULWlWHQ XQG YRQ HLQHU EHDEVLFKWLJWHQ 8QWHUVFKLHEXQJ LVW ZHLWHU NHLQH 6SXU´ =XQ] LV FRUUHFW LQ SRLQWLQJ RXW WKDW WKHUH LV QR VLJQ WKDW WKH ZRUN LV DWWULEXWHG WR 5 (OLH]HU EH\RQG WKLV SRLQW 0RUHRYHU 35(¶V H[SRVLWRUV KDELWXDOO\ SODFH BBBBBBBBBBBB
6WHLQ 0HPUD 0DJLD 0LWRV 6HH DOVR 6WHLQ 0HPUD 0DJLD 0LWRV 6HH DOVR DQG P\ GLVFXVVLRQ RI ULWXDO DQG ODZ EHORZ 6WHLQ 0HPUD 0DJLD 0LWRV 6HH 6WHLQ 0HPUD 0DJLD 0LWRV =XQ] 6HH DOVR =XQ]$OEHFN
0LGUDVK DQG 0XOWLSOLFLW\
WUDGLWLRQV LQ WKH PRXWKV RI RWKHU VDJHV DV WUDGHQWV ZKR DUH LQYROYHG LQ WKH SURFHVV RI WUDQVPLVVLRQ RI WKH UDEELQLF WUDGLWLRQ ,I ZH FRQVLGHU WKHVH FKDSWHUV ZLWKLQ WKH FRQWH[W RI DWWULEXWLRQ DQG WUDQVPLVVLRQ KRZHYHU ZH QHHG QRW EH IRUFHG LQWR D GHIHQVLYH SRVWXUH DERXW 5 (OLH]HU¶V UHODWLRQVKLS WR WKHP ,Q FODVVLFDO UDEELQLF OLWHUDWXUH DWWULEXWLRQ RI D ZRUN WR D SDUWLFXODU VDJH LV UDUH DQG RIWHQ GHSHQGV PRUH RQ WKH LQLWLDO WUDGHQW RI WKH ZRUN WKDQ RQ WKH LGHD WKDW WKDW WKH VDJH DFWXDOO\ ³DXWKRUHG´ WKH ZRUN $V LQ 35( WKHVH ZRUNV IUDPH DOO RI WKHLU WUDGLWLRQV ZLWKLQ WKH FRQWH[W RI DWWULEXWLRQV WR LQGLYLGXDO VDJHV 6LPLODUO\ WUDGLWLRQV LQ ³XQDWWULEXWHG´ ZRUNV VXFK DV ([RGXV 5DEED DOVR IUDPH DOO LQGLYLGXDO H[SRVLWLRQV ZLWKLQ WKH FRQWH[W RI D VDJH ZKR LV QDPHG LQ WKH ERG\ RI WKH ZRUN $OWKRXJK WKH ZRUN LV GLVWLQJXLVKHG IURP RWKHU PLGUDVKLP E\ WKH LQLWLDO KDJLRJUDSKLF FKDSWHUV 35(¶V 5 (OLH]HU LV QRW RIIHUHG DV WKH DXWKRU RI WKH DQRQ\PRXV DQG XQDWWULEXWHG WUDGLWLRQV DV LQ -XELOHHV RU RWKHU ILUVW SHUVRQ µSVHXGHSLJUDSKLHV¶ HJ ³7KLV LV D FKURQLFOH RI 0RVHV´ ³$ 3VDOP RI 'DYLG´ HWF $FFRUGLQJO\ WKH WH[WXDO HYLGHQFH WKDW FDQ EH GUDZQ IURP WKHVH FKDSWHUV QHHG QRW LQGLFDWH DXWKRUVKLS RU UHGXFDWLRQ WR DQ DUFKHW\SH ZH GR QRW QHHG WR UHWDLQ WKH LGHD RI SVHXGHSLJUDSK\ LI WKH WH[W GRHV QRW SURYLGH XV ZLWK DQ\ HYLGHQFH WKDW WKLV LV WKH ³PHVVDJH´ LQ WKHVH FKDSWHUV 2Q WKH FRQWUDU\ ZH VKRXOG FRQVLGHU 35( LQ D ZD\ WKDW LV FRQVLVWHQW ZLWK WKH ZD\ ZH FRQVLGHU RWKHU ZRUNV ZLWKLQ WKH FDQRQ ZKLFK H[KLELW VLPLODU WH[WXDO IHDWXUHV DV ZHOO DV ZLWKLQ WKH FRQWH[W RI WKH ZD\ WKDW WKH ZRUN H[KLELWV 5 (OLH]HU ZLWKLQ WKH UHPDLQGHU RI WKH WH[W ,Q 35( 5 (OLH]HU LV WKH PRVW IUHTXHQW WUDGHQW RI LQGLYLGXDO WUDGLWLRQV DQG LV FLWHG PRUH WKDQ WZHQW\ILYH WLPHV 35(¶V 5 (OLH]HU VSHDNV WR PDQ\ RI WKH GRPLQDQW WKHPHV LQ WKH ZRUN VXFK DV WKH QDWXUH RI WKH PHUNDYDK WKH LQWHUFDODWLRQ RI WKH FDOHQGDU WKH IRXU NLQJGRPV ZKR UXOH EHIRUH WKH PHVVLDK FLUFXPFLVLRQ FKDULW\ DQG WKH QDWXUH RI WKH 7HPSOH 0RUHRYHU 5 (OLH]HU LV WKH ILUVW WUDGHQW WR EH FLWHG DW WKH VWDUW RI VHYHQ FKDSWHUV 'HVSLWH KLV SURPLQHQFH ZLWKLQ WKH ZRUN 5 (OLH]HU¶V UROH DV D WUDGHQW RI WUDGLWLRQV GRHV QRW GHPRQVWUDWH WKDW WKHUH LV D VLQJOH ³DXWKRULDO´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
7KRVH FKDSWHUV DUH FKDSWHUV WKUHH IRXU QLQH ILIWHHQ WZHQW\IRXU WKLUW\WKUHH DQG WKLUW\ IRXU
35( DQG 3VHXGHSLJUDSK\
EHKLQG WKH ZRUN¶V FRPSRVLWLRQ 7KHVH FKDSWHUV DQG WKH FRUUHVSRQGLQJ DWWULEXWLRQV WR 5 (OLH]HU GR QRW GLFWDWH WKH WHQRU RI WKH ZRUN¶V UHODWLRQVKLS WR FODVVLFDO UDEELQLF OLWHUDWXUH QRU GRHV WKH ZRUN KDYH D ³WKHPDWLF´ IRFXV XSRQ WKLV ILJXUH 7KH WH[WXDO KLVWRU\ RI WKHVH LQLWLDO FKDSWHUV LV D GHVLGHUDWXP \HW WKLV FRPSOH[ KLVWRU\ VKRXOG QRW RYHUVKDGRZ 35(¶V UHODWLRQVKLS ZLWK UDEELQLF OLWHUDWXUH QRU WKH ZRUN¶V XVH RI FODVVLFDO IRUPV RI DWWULEXWLRQ 2Q WKH FRQWUDU\ 5 (OLH]HU¶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¶V VWDWXV DV WUDGHQW LV QRW JUHDWHU WKDQ WKH FRPELQHG WHVWLPRQ\ RI WKH RWKHU WUDGHQWV DQG KLV XVH LQ 35( LV QRW VLJQLILFDQWO\ GLIIHUHQW WKDQ WKDW RI WUDGHQWV LQ RWKHU UDEELQLF OLWHUDWXUH &RQVHTXHQWO\ LI ZH GR QRW FRQVLGHU WKH LVVXH RI 5 (OLH]HU DSDUW IURP WKH RWKHU WUDGHQWV LQ 35( ZH FDQ VHH WKDW KLV UROH LQ WKHVH LQLWLDO FKDSWHUV GRHV QRW GHWHUPLQH KLV SODFH ZLWKLQ WKH ZRUN¶V DWWULEXWLYH VWUXFWXUH QRU GRHV WKH LVVXH EHDU XSRQ WKH DXWKHQWLFLW\ RI WKH ZRUN DV D ZKROH 2Q WKH FRQWUDU\ WKH DWWULEXWLRQ RI WKH ZRUN WR 5 (OLH]HU LV ERXQG XS ZLWK 35(¶V XVH RI WKH DXWKRULWDWLYH GLVFRXUVH RI WUDGHQWV LQ JHQHUDO $V :LOOLDP 6FRWW *UHHQ SXWV LW ³>5@DEELQLF GRFXPHQWV DUH QRW FRQVWUXFWHG DURXQG WKH VD\LQJV RI DQ\ LQGLYLGXDO EXW IROORZ HLWKHU D WKHPDWLF IRUPDO WRSLFDO RU 6FULSWXUDO DUUDQJHPHQW LQ ZKLFK WKH WHDFKLQJV RU RSLQLRQV RI YDULRXV PDVWHUV DUH JDWKHUHG WR DGGUHVV D VLQJOH LVVXH RU WR LQWHUSUHW D SDUWLFXODU YHUVH RI 6FULSWXUH´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³PLVDWWULEXWLRQ´ 35( LV D ZRUN RI PXOWLSOH DWWULEXWLRQV ZKLFK LQFOXGH 5 (OLH]HU DPRQJ D PXOWLWXGH RI RWKHU UDEELQLF DXWKRULWLHV $FFRUGLQJO\ 5 BBBBBBBBBBBB
*UHHQ ³:KDW¶V LQ D 1DPH"´
0LGUDVK DQG 0XOWLSOLFLW\
(OLH]HU¶V UROH FDQ EH VHHQ LQ WKH FRQYHQWLRQDO ZD\ WKDW KH SDUWLFLSDWHV LQ WKH VDJHV¶ H[SRVLWLRQ RI 6FULSWXUH 7KHUH LV QR HYLGHQFH WR GHPRQVWUDWH DQ XOWHULRU PRWLYH IRU WKH SURPLQHQW UROH IRU 5 (OLH]HU LQ 35( ZLWKLQ WKH UHPDLQGHU RI WKH ZRUN &RQVHTXHQWO\ WKH EHVW DSSURDFK WR WKH KLVWRULF HQLJPD RI 5 (OLH]HU LQ 35( LV WR XQGHUVWDQG WKH IRUPV RI DWWULEXWLRQ LQ WKH FRQWH[W RI VLPLODU IRUPV RI DWWULEXWLRQ DQG QRW WR RYHUVWDWH KLV LPSRUWDQFH IRU RXU KLVWRULFDO DXWKRULDO RU SVHXGHSLJUDSKLF FRQFHSWLRQV RI WKH ZRUN ZLWKRXW WH[WXDO HYLGHQFH
7UDQVPLVVLRQ DQG 7UDGHQWV LQ 35( ,Q WKH IRRWQRWHV RI KLV 9RUWUlJH =XQ] SUHVHQWHG WKUHH SLHFHV RI HYLGHQFH LQ RUGHU WR GHPRQVWUDWH ERWK WKDW WKH DXWKRU ³VFKHLQW YRQ GHU ULFKWLJHQ 8HEHUOLHIHUXQJ QLFKW EHUDOO HLQH JHK|ULJH .HQQWQLVV ]X EHVLW]HQ´ DQG DOWHUHG ³DXWKHQWLF´ WUDGLWLRQV ZLWK IDOVH DWWULEXWLRQV $FFRUGLQJ WR =XQ] WKH DXWKRU PLVUHSUHVHQWHG WKH VHTXHQFH RI WUDGHQWV PDQXIDFWXUHG XQNQRZQ WUDGHQWV DQG PLVDWWULEXWHG ODWHU UDEELQLF WUDGLWLRQV WR WUDGHQWV RI WKH WDQQDLWLF HUD +LV ILUVW SRLQW FRQFHUQLQJ WKH ZRUN¶V IDOVLILFDWLRQ RI LWV DWWULEXWLRQV LV WKDW 35( DWWULEXWHV WUDGLWLRQV WR D VDJH LQ FKDSWHUV IRUW\VL[ DQG ILIW\WKUHH 5DEEL 7DKQD >ʠʰʧʺ@ ZKR LV QRW DWWHVWHG LQ FODVVLFDO OLWHUDWXUH ZLWK WKH H[FHSWLRQ RI D UHIHUHQFH WR DQ $EED 7DKQD >ʠʰʧʺ ʠʡʠ@ LQ (FFOHVLDVWHV 5DEED )XUWKHUPRUH %DE\ORQLDQ 7DOPXG 0RHG .DWDQ E DWWULEXWHV WKH ODWWHU WUDGLWLRQ IURP FKDSWHU ILIW\WKUHH WR RWKHU DXWKRULWLHV =XQ]¶V VHFRQG SLHFH RI HYLGHQFH LV WKDW LQ FKDSWHU IRUW\VL[ 35( DWWULEXWHV VWDWHPHQWV WR 5 (OLH]HU EHQ $UDN WKDW DUH DWWULEXWHG WR RWKHU DXWKRULWLHV LQ 3HVLNWD GH5DY .DKDQD >@ DQG 6RQJ RI 6RQJV 5DEED >@ )LQDOO\ LQ FKDSWHU IRUW\WKUHH WKH WDQQD EHQ $]]DL SUDLVHV WKH UHSHQWDQFH RI WKH DPRUD 5 6LPHRQ EHQ /DNLVK HYHQ WKRXJK WKH IRUPHU OLYHG \HDUV HDUOLHU WKDQ WKH ODWWHU =XQ] DUJXHG BBBBBBBBBBBB
=XQ] 6HH DOVR =XQ] DQG =XQ]$OEHFN ,URQLFDOO\ =XQ] DUJXHG WKDW WKH SHUYDVLYHQHVV RI 3DOHVWLQLDQ WUDGHQWV UHIOHFW WKH ZRUN¶V 3DOHVWLQLDQ RULJLQV HYHQ LI WKH\ ZHUH ³IRUJHULHV´ 6HH =XQ] DQG =XQ]$OEHFN =XQ] QRWH G DQG =XQ]$OEHFN QRWH =XQ] FLWHG D EXW KLV HGLWLRQ LV QR ORQJHU WKH VWDQGDUG &RQVHTXHQWO\ , KDYH SURYLGHG WKH FXUUHQW FLWDWLRQ LQ WKH ERG\ RI P\ GLVFXVVLRQ DERYH 7KHVH UHIHUHQFHV DUH P\ RZQ DVVHVVPHQWV RI WKH SDVVDJHV WR ZKLFK =XQ] UHIHUUHG VLQFH =XQ] RQO\ QDPHG WKH ZRUNV RI WKHVH SDUDOOHO WUDGLWLRQV
35( DQG 3VHXGHSLJUDSK\
WKHUHIRUH WKDW WKH FKDUDFWHU RI WKHVH QDPHG DXWKRULWLHV DQG WUDGLWLRQV LQ 35( GHPRQVWUDWHV WKH LJQRUDQFH DQG LQWHQWLRQDO IRUJHU\ RI WKH JHRQLF DXWKRU 6LPSO\ SXW 35(¶V DXWKRU XWLOL]HG IRUJHU\ WR WXUQ WUDGLWLRQDO IRUPV RI DWWULEXWLRQ WR KLV DGYDQWDJH DQG LV H[SRVHG E\ KLV PLVWDNHV 7KH DWWULEXWLRQV LQ 35( DUH ³ODWH IRUJHULHV´ LQ ZKLFK WKH µDXWKRU¶ GHOHWHV WKH WUDGHQWV RI WKH HDUO\ WUDGLWLRQV LQ RUGHU WR SODFH ROG DQG QHZ WUDGLWLRQV LQWR WKH PRXWK RI WKH FODVVLFDO VDJHV ,Q WKH YLHZ RI WKHVH VFKRODUV SVHXGHSLJUDSK\ VXSSRUWV WKH IOXHQF\ RI WKH ZRUN¶V OLWHUDU\ VWUXFWXUH DV ZHOO DV 5 (OLH]HU¶V SVHXGHSLJUDSKLF SRVLWLRQ DV WKH DXWKRU DQG DXWKRUL]HU IRU WKHVH DWWULEXWLRQV DQG WKH ERRN DV D ZKROH =XQ]¶V H[HPSOD SDYH WKH ZD\ IRU D ZLGH UDQJH RI DFFXVDWLRQV DERXW WKH ZRUN¶V UHODWLRQVKLS WR DWWULEXWLRQ D 35(¶V DXWKRU IRUJHG DQ XQNQRZQ WUDGHQW IRU D NQRZQ WUDGLWLRQ E 35(¶V DXWKRU IRUJHG DQ HDUO\ WUDGHQW IRU D NQRZQ WUDGLWLRQ DQG F 35(¶V DXWKRU IRUJHG D FKURQRORJLFDOO\ LPSRVVLEOH WUDGHQW IRU DQ XQNQRZQ WUDGLWLRQ ,Q P\ GLVFXVVLRQ , ZLOO IRFXV XSRQ WKH UHODWLRQVKLS RI WKHVH DWWULEXWLRQV WR WKH DXWKRULWLHV DQG WUDGLWLRQV RI FODVVLFDO UDEELQLF OLWHUDWXUH $V PHQWLRQHG DERYH ZH FDQQRW FRQVLGHU 35(¶V DWWULEXWLRQV DV UHIOHFWLQJ DXWKHQWLF ELRJUDSKLFDO RU DXWKRULDO LQIRUPDWLRQ 5DWKHU ZH VKRXOG FRQVLGHU WKHVH LVVXHV DV WKH\ SHUWDLQ WR WUDQVPLVVLRQ LQ RUGHU WR UHFRJQL]H WKH SXUSRVH RI WKH DWWULEXWLRQ $WWULEXWLRQ LV D ³WUDGLWLRQ PDUNHU´ ZKLFK SURYLGHV LQVLJKW LQWR WKH ZRUN¶V XVH DQG GHYHORSPHQW RI DXWKRULWDWLYH UDEELQLF ODQJXDJH RU DWWULEXWLRQ 7KH GLVFXVVLRQ EHORZ ZLOO GHPRQVWUDWH WKDW DWWULEXWLRQ LV D OLWHUDU\ DQG H[SRVLWRU\ IHDWXUH RI UDEELQLF OLWHUDWXUH ZKLFK FDQ SURYLGH LQVLJKW LQWR D ZRUN¶V HQJDJHPHQW ZLWK WKH WUDGLWLRQ EXW FDQQRW EH XWLOL]HG LQ RUGHU WR FULWLTXH LWV DXWKRULDO DXWKHQWLFLW\ &RQVHTXHQWO\ ZH ZLOO H[DPLQH WKH FRQWUDGLFWLRQV DQG LQFRQVLVWHQFLHV PHQWLRQHG E\ =XQ] LQ RUGHU WR DFFRPSOLVK WZR SDUDOOHO JRDOV ILUVW , ZLOO GHPRQVWUDWH WKDW =XQ]¶V H[DPSOHV ZKLFK KDYH EHHQ WKH IRXQGDWLRQ IRU VXEVHTXHQW VFKRODUV¶ FULWLTXH RI WKH ZRUN GR QRW GHPRQVWUDWH PLVDWWULEXWLRQ RU IRUJHU\ DQG VHFRQG , ZLOO VKRZ WKDW WKHVH DWWULEXWLRQV DUH ³WUDGLWLRQ PDUNHUV´ ZKLFK UHIOHFW WKH H[SRVLWRUV¶ SDUWLFLSDWLRQ BBBBBBBBBBBB
=XQ] DQG QRWH G DQG =XQ]$OEHFN DQG QRWH +HLQHPDQQ $JJDGRW (OEDXP ³2Q WKH &KDUDFWHU´ DQG 6WHLQ 0HPUD 0DJLD 0LWRV DQG 6HH +HUU ³3LUNH´ +HLQHPDQQ $JJDGRW (OEDXP ³2Q WKH &KDUDFWHU´ DQG 6WHLQ 0HPUD 0DJLD 0LWRV $FFRUGLQJ WR -DFRE (OEDXP WKLV µIRUJHU\¶ RI DXWKHQWLF WUDGLWLRQV DQG µRPLVVLRQ¶ RI WUDGLWLRQDO DWWULEXWLRQV LV FKDUDFWHULVWLF RI RWKHU µ/DWH 0LGUDVK¶ VXFK DV 7DQKXPD RU 7DQQD GHEHL (OL\DKX 6HH KLV ³2Q WKH &KDUDFWHU´ LQ ZKLFK KH EDVHV KLV DUJXPHQW RQ =XQ] $OEHFN QRWH DQG QRWHV
0LGUDVK DQG 0XOWLSOLFLW\
LQ FODVVLFDO UDEELQLF GLVFRXUVH &RQVLGHUHG ZLWKLQ D EURDG H[DPLQDWLRQ RI 35(¶V LQWHUDFWLRQ ZLWK WKLV W\SH RI DXWKRULWDWLYH UDEELQLF GLVFRXUVH 35(¶V DWWULEXWLRQV DQG GLFWD HYLGHQFH WKH ZRUN¶V LQWHJUDWLRQ RI WKLV GLVFRXUVH LQWR LWV UHFRQFHSWXDOL]DWLRQ RI FODVVLFDO UDEELQLF OLWHUDWXUH , ZLOO DUJXH WKDW 35(¶V UHFHSWLRQ WUDQVPLVVLRQ DQG WUDQVIRUPDWLRQ RI WKH LQVWLWXWLRQ RI DWWULEXWLRQ PLUURUV LWV XVH DQG WUDQVIRUPDWLRQ RI UDEELQLF WUDGLWLRQV WKHPVHOYHV ± 35(¶V H[SRVLWRUV DOOXGH WR WKH FODVVLFDO UDEELQLF YRLFHV LQ D ZD\ WKDW XQGHUVFRUHV WKHLU PRGHV RI ³WUDGLWLRQ EXLOGLQJ´ 7KH 0\VWHU\ RI 5DEEL 7DKQD $FFRUGLQJ WR =XQ] WKH SUHVHQFH RI WKH SUHYLRXVO\ XQPHQWLRQHG DXWKRULW\ 5 7DKQD LQ 35( LV SURRI SRVLWLYH RI ERWK WKH H[SRVLWRUV¶ LJQRUDQFH RI UDEELQLF FKURQRORJ\ DV ZHOO DV WKHLU IDEULFDWLRQ RI UDEELQLF DXWKRULWLHV IRU NQRZQ WUDGLWLRQV 5 7DKQD LV HPEOHPDWLF RI ERWK WKH ZRUN¶V GLVWDQFH IURP WKH 7DQQDLWLF HUD DQG RI KRZ WKH H[SRVLWRUV DWWULEXWHG ³JHQXLQH´ WUDGLWLRQV WR IDEULFDWHG WDQQDLWLF DXWKRULWLHV =XQ] DQG KLV FRQWHPSRUDU\ 5 'DYLG /XULD LGHQWLILHG WKH DWWULEXWLRQ RI WUDGLWLRQV WR 5 7DKQD LQ FKDSWHUV IRUW\VL[ DQG ILIW\WKUHH DV SDUDGLJPDWLF H[DPSOHV RI WKH ZRUN¶V ³IRUJHU\´ RI FODVVLFDO OLWHUDWXUH DWWULEXWLRQV 8QNQRZQ WR =XQ] DQG /XULD KRZHYHU WKH UHIHUHQFHV WR 5 7DKQD LQ 35( DUH PRUH SHUYDVLYH WKDQ HLWKHU RI WKHVH VFKRODUV KDG LPDJLQHG 2XU EDVH PDQXVFULSW DWWULEXWHV VL[ WUDGLWLRQV WR 5 7DKQD PRVW RI ZKLFK KDYH ZLGH VXSSRUW ZLWKLQ WKH PDQXVFULSW WUDGLWLRQ 2I WKHVH VL[ DWWULEXWLRQV WKH IRXU BBBBBBBBBBBB
=XQ] DQG (OEDXP DOVR PHQWLRQ WKH WHQGHQF\ LQ ODWH PLGUDVK WR DGG HSLWKHWV WR WKH QDPHV RI VDJHV VXFK DV ³WKH SULHVW´ RU ³WKH OHYLWH´ EXW WKLV WUDLW LV QRW FRPPRQ ZLWKLQ WKH PRUH H[WHQVLYH UHOLDEOH PDQXVFULSW WUDGLWLRQ RI 35( 6HH =XQ] 6HH /XULD ,QWURGXFWLRQ VHFWLRQ D RQ WKH DXWKRUVKLS RI WKH ZRUN SDJH D IRU KLV FLWDWLRQV RI 5 7DKQD DQG E IRU KLV FRPPHQWV RQ WKH DXWKHQWLFLW\ RI WKH 5 7DKQD WUDGLWLRQV ,Q KLV LQWURGXFWLRQ /XULD DUJXHG WKDW WKHVH DUH VFULEDO PLVWDNHV DQG VKRXOG EH FKDQJHG WR 5 7DQKXP RU 5 +DQLQD \HW KH HPHQGV FKDSWHU IRUW\VL[ WR UHDG 5 .DKDQD )XUWKHUPRUH /XULD¶V FKRLFH LV SX]]OLQJ EHFDXVH LW FUHDWHV DQRWKHU SUREOHP IRU KLP 5 .DKDQD LV DQ DPRUD DQG /XULD PXVW RQ WKH EDVLV RI KLV RZQ DUJXPHQWV PXVW QRZ H[SODLQ WKH SUHVHQFH RI WKLV ODWH VDJH LQ WKLV SDVVDJH 6HH /XULD¶V FRPPHQWDU\ D QRWH DQG WKH FKDQJH RQ D /XULD QRWHV DQ LQVWDQFH RI WKH QDPH RI 7DKQD LQ , &KU ʤʰʧʺ D VSHOOLQJ IRXQG LQ VHYHUDO 35( PDQXVFULSWV EXW KH FRUUHFWO\ GRHV QRW VHH WKLV GHWDLO DV UHOHYDQW WR WKH SUHVHQW GLVFXVVLRQ *RWWOLHE¶V PDQXVFULSW RI -76 /HKPDQ DWWHVWV WKH VDJH LQ FKDSWHUV WZHQW\WKUHH WZHQW\ QLQH WKLUW\WKUHH IRUW\VL[ IRUW\QLQH DQG ILIW\WKUHH
35( DQG 3VHXGHSLJUDSK\
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³IDOVLILHG´ WUDGHQW PXVW ZUHVWOH QRW RQO\ ZLWK WKH H[LVWHQFH EXW DOVR ZLWK WKH PXOWLSOH DSSHDUDQFHV RI WKLV XQNQRZQ VDJH 7KLV LV SDUWLFXODUO\ WUXH LI ZH ZLVK WR FRXQWHU =XQ]¶V DFFXVDWLRQ WKDW 35( UHSODFHV ³DXWKHQWLF´ DWWULEXWLRQV ZLWK ³LQDXWKHQWLF´ WUDGHQWV ZLWK WKH DVVHUWLRQ WKDW ZH VKRXOG FRQVLGHU WKLV DWWULEXWLRQ ZLWKLQ WKH FRQWH[W RI 35(¶V SDUWLFLSDWLRQ LQ WKH DXWKRULWDWLYH GLVFRXUVH RI WKH FODVVLFDO UDEELQLF WUDGLWLRQ 2QH RI WKH FHQWUDO SRLQWV RI =XQ]¶V FULWLTXH LV WKDW WKH WUDGLWLRQV LQ WKH QDPH RI 5 7DKQD DUH DWWULEXWHG WR RWKHU DXWKRULWLHV LQ WKH FODVVLFDO VRXUFHV 3ULQFLSDOO\ =XQ] DUJXHG WKH WUDGLWLRQ IRXQG LQ FKDSWHU ILIW\WKUHH FRUUHVSRQGV WR D SDVVDJH LQ %DE\ORQLDQ 7DOPXG 0RHG .DWDQ E =XQ] IRFXVHG XSRQ WKLV WUDGLWLRQ EHFDXVH KH WKRXJKW WKDW RQO\ FKDSWHU ILIW\WKUHH SRVVHVVHG D SDUDOOHO BBBBBBBBBBBB
2XU PDQXVFULSW UHDGV ʤʰʧʺ ZKLFK LV DOVR IRXQG LQ -76 +LJJHU DQG 0RVFRZ SURYLGH DQ DOWHUQDWH VSHOOLQJ ʠʰʧʺ ZKHUHDV 3DUPD DQG *RWWOLHE VRXUFH ʡ RIIHU ʠʰʧ 7KH UHDGLQJ ʠʮʥʧʰʺ LV IRXQG LQ WKH ILUVW SULQWHG HGLWLRQ 3DULV DQG )ULHGODQGHU¶V ORVW $EUDKDP (SVWHLQ PDQXVFULSW 6HH )ULHGODQGHU 3LUNH [LY DQG QRWH 7KLV PDQXVFULSW HYLGHQFH LV QRW RYHUZKHOPLQJ EXW WKH PDQXVFULSWV DUH VWURQJ DQG IURP GLYHUVH WUDGLWLRQV 2XU PDQXVFULSW UHDGV ʠʰʧʺ ZKLFK LV DOVR IRXQG LQ WKH ILUVW SULQWHG HGLWLRQ +LJJHU DQG +8& *RWWOLHE¶V VRXUFH ʩUHDGV ʤʧʰʨDQG VRXUFH ʺ UHDGV ʤʰʧʺ /XULD RIIHUHG ʤʰʤʫ IRU WKLV ³VFULEDO HUURU´ 2XU PDQXVFULSW UHDGV ʠʰʧʺ ZKLFK LV DOVR IRXQG LQ +LJJHU 0RVFRZ DQG -76 DQG *RWWOLHE¶V VRXUFH ʩ DJDLQ RIIHUV WKH UHDGLQJ ʠʰʧʨ 7KH ILUVW SULQWHG HGLWLRQ 3DULV 0DKDOPDQ *RWWOLHE VRXUFH ʺ UHDGV ʭʥʧʰʺ ZKHUHDV 3DULV DWWHVWV ʠʰʩʰʧ 2XU PDQXVFULSW UHDGV ʠʰʧʺ DV GRHV WKH ILUVW SULQWHG HGLWLRQ +LJJHU 0RVFRZ DQG +8& DQG *RWWOLHE¶V VRXUFH ʩ DJDLQ RIIHUV WKH UHDGLQJ ʠʰʧʨ 3DUPD DWWHVWV DQ LQWHQWLRQDO RPLVVLRQ RI WKH UDEEL¶V QDPH DQG /XULD HPHQGV WKH WH[W WR UHDG ʭʥʧʰʺ 2XU PDQXVFULSW UHDGV ʠʰʧʺ DQG *RWWOLHE¶V VRXUFH ʺ KDV ʠʰʥʧʺ 1RQHWKHOHVV 3DUPD 0RVFRZ +8& +LJJHU DQG WKH ILUVW SULQWHG HGLWLRQ GR QRW DWWULEXWH WKLV WR DQ\ UDEELQLF DXWKRULW\ 2XU PDQXVFULSW UHDGV ʠʰʧʺ ZKLFK LV DOVR IRXQG LQ +LJJHU DQG *RWWOLHE VRXUFH ʡ +8& UHDGV ʠʰʧʺ 3DUPD DQG 0RVFRZ KRZHYHU DWWULEXWH WKH WUDGLWLRQ WR ʯʷʦʤ ʬʬʤ ZKLOH WKH ILUVW SULQWHG HGLWLRQ 3DULV DQG *RWWOLHE VRXUFH ʺ DWWULEXWH WKH WUDGLWLRQ WR ʯʰʧʥʩ 7KLV WUDGLWLRQ GRHV VKRZ VRPH UHVRQDQFH ZLWKLQ D GLYHUVLW\ RI PDQXVFULSWV EXW VLQFH WKLV LV D µERUGHUOLQH FDVH¶ WKH HYLGHQFH GUDZQ IURP WKH RWKHU IRXU H[DPSOHV ZLOO KDYH WR VXIILFH
0LGUDVK DQG 0XOWLSOLFLW\
YHUVLRQ RI WKH WUDGLWLRQ :KHWKHU =XQ]¶V IXQGDPHQWDO DVVHUWLRQ LV FRUUHFW RU QRW FKDSWHU ILIW\WKUHH DFWXDOO\ SURYLGHV D ZHDOWK RI SDUDOOHOV WKDW ZH FDQ XVH WR WHVW ZKHWKHU 35(¶V DWWULEXWLRQ WR WKLV VDJH ³LQWHQWLRQDOO\´ FRQWUDYHQHV WKH VWDQGDUGV IRU UDEELQLF DWWULEXWLRQ :H ZLOO WKHUHIRUH H[DPLQH WKLV FDVH LQ WKH OLJKW RI WZR FRPSRQHQWV RI =XQ]¶V FULWLTXH WR GHWHUPLQH D ZKHWKHU WKHUH LV DQ ³RULJLQDO´ WUDGLWLRQ ZLWK D PRUH ³DXWKHQWLF´ DWWULEXWLRQ WKDW ZRXOG ZDUUDQW WKH ODEHO ³IRUJHU\´ IRU WKLV WUDGLWLRQ DQG E WKH PHDQLQJ RI 5 7DKQD¶V DWWULEXWLRQ DV D UHVSRQVH RU UHIOHFWLRQ RI UDEELQLF GLVFRXUVH 1HYHUWKHOHVV , ZLOO HQJDJH =XQ]¶V DUJXPHQW ZKHUH LW LV VWURQJHVW DQG UHDVVHVV WKH UROH RI 5 7DKQD ZLWKLQ WKH ZRUN LQ KLV WHUPV 7KH DQDO\VLV EHORZ KRZHYHU LV LQWHQGHG QRW RQO\ WR UHIXWH =XQ]¶V WKHVLV EXW PXVW VHUYH DQ DGGLWLRQDO DQG KLJKHU SXUSRVH DV ZHOO ZH PXVW DWWHQG WR WKH SODFH RI DWWULEXWHG DXWKRULWLHV LQ WKH ZD\ WKDW WKH ZRUN KDV UHFHLYHG WUDQVPLWWHG DQG WUDQVIRUPHG DWWULEXWLRQ DQG WUDGLWLRQV 7KLV LVVXH LV YLWDO EHFDXVH 35(¶V UHODWLRQVKLS WR WKH LQVWLWXWLRQ RI DWWULEXWLRQ FDQ LOOXPLQDWH WKLV DVSHFW RI WKH ZRUN¶V UDEELQLF FKDUDFWHU ,Q WKH ILUVW SDUW RI KLV FULWLTXH =XQ] IRFXVHV XSRQ 35(¶V DWWULEXWLRQ RI D WUDGLWLRQ WKDW GHVFULEHV ,VUDHO DV &XVKLWH RU ³GDUNFRPSOH[LRQHG´ ZKLFK KH FODLPV LV RULJLQDOO\ IRXQG LQ WKH %DE\ORQLDQ 7DOPXG 0RHG .DWDQ E 7KH UHOHYDQW WUDGLWLRQ LQ ERWK SDVVDJHV RFFXUV ZLWKLQ WKH FRQWH[W RI ODUJHU H[SRVLWLRQV RQ &XVKLWH SHUVRQDOLWLHV ZLWKLQ 6FULSWXUH 7KH SDVVDJH IURP 35( VWDWHV ³$QG 0LULDP DQG $DURQ VSRNH DJDLQVW 0RVHV DERXW WKH LVVXH RI WKH &XVKLWH ZRPDQ WKDW KH KDG WDNHQ´ 1XP :DV VKH UHDOO\ D &XVKLWH" :DV VKH QRW 7]LSSRUDK" 5DWKHU MXVW DV WKLV &XVKLWH GLIIHUV LQ KLV ERG\ IURP DOO IRUPV RI OLIH VR 7]LSSRUDK ZDV GLIIHUHQW LQ KHU ZD\V DQG LQ KHU JRRG GHHGV IURP DOO ZRPHQ $FFRUGLQJO\ VKH ZDV FDOOHG &XVKLWH 5 7DKQD VDLG ³,VUDHO ZDV FDOOHG &XVKLWH DV 6FULSWXUH VWDWHV µ³$UH \RX QRW OLNH FKLOGUHQ RI &XVKLWHV WR PH KRXVH RI ,VUDHO"´ VD\V WKH /RUG¶ $PRV :HUH WKH\ UHDOO\ &XVKLWHV" $QG ZHUH WKH\ QRW ,VUDHO" 5DWKHU MXVW DV WKLV &XVKLWH GLIIHUV LQ KLV ERG\ IURP DOO IRUPV RI OLIH WKXV DOVR ,VUDHO GLIIHUV LQ WKHLU ZD\V DQG JRRG GHHGV IURP DOO RI WKH QDWLRQV RI WKH ZRUOG $FFRUGLQJO\ WKH\ DUH FDOOHG &XVKLWHV´ $QG DQRWKHU YHUVH VWDWHV ³$QG D &XVKLWH VHUYDQW RI WKH NLQJ VDLG WR -HUHPLDK´ -HU :DV KH UHDOO\ D &XVKLWH" :DV KH QRW %DUXFK EHQ 1HULDK" 5DWKHU MXVW DV WKLV &XVKLWH GLIIHUV LQ KLV ERG\ IURP DOO IRUPV RI OLIH WKXV %DUXFK EHQ 1HULDK GLIIHUV LQ KLV ZD\V DQG LQ KLV JRRG GHHGV IURP DOO RI ,VUDHO
BBBBBBBBBBBB
&KDSWHU WZHQW\QLQH KDV SDUDOOHO WUDGLWLRQV LQ 0LGUDVK $JJDGDK %XEHU DQG
35( DQG 3VHXGHSLJUDSK\
$FFRUGLQJO\ KLV QDPH ZDV FDOOHG &XVKLWH $QG DQRWKHU YHUVH VWDWHV ³$QG -RDE VDLG WR WKH &XVKLWH µ*R 7HOO WR WKH NLQJ ZKDW \RX VDZ¶ $QG WKH &XVKLWH ERZHG WR -RDE DQG KH UDQ´ ,, 6DP :DV KH UHDOO\ D &XVKLWH" :DV KH QRW %HQ
7KH 7DOPXG SDVVDJH VWDWHV ³$ 6KLJD\RQ RI 'DYLG WKDW KH VDQJ XQWR WKH /RUG FRQFHUQLQJ &XVK D %HQMDPLQLWH´ 3V :DV &XVK KLV QDPH" :DV QRW 6DXO KLV QDPH" 5DWKHU MXVW DV D &XVKLWH GLIIHUV LQ KLV VNLQ VR DOVR 6DXO GLIIHUHG LQ KLV GHHGV /LNHZLVH \RX PD\ VWDWH ³$ERXW WKH LVVXH RI WKH &XVKLWH ZRPDQ WKDW KH KDG WDNHQ´ 1XP :DV &XVK KHU QDPH" :DV QRW 7]LSSRUDK KHU QDPH" 5DWKHU MXVW DV D &XVKLWH GLIIHUV LQ KLV VNLQ VR DOVR 7]LSSRUDK GLIIHUHG LQ KHU GHHGV /LNHZLVH \RX PD\ VWDWH ³$QG WKH VHUYDQW RI WKH &XVKLWH NLQJ KHDUG´ -HU :DV &XVK KLV QDPH" :DV QRW 7]HGHNLDK KLV QDPH" 5DWKHU MXVW DV D &XVKLWH GLIIHUV LQ KLV VNLQ VR DOVR 7]HGHNLDK GLIIHUHG LQ KLV GHHGV /LNHZLVH \RX PD\ VWDWH ³$UH \RX QRW OLNH FKLOGUHQ RI &XVKLWHV WR PH KRXVH RI ,VUDHO"´ $PRV :HUH WKH\ FDOOHG &XVKLWHV" :HUH WKH\ QRW FDOOHG WKH KRXVH RI ,VUDHO" >5DWKHU@ MXVW DV D &XVKLWH GLIIHUV LQ KLV VNLQ DOVR ,VUDHO GLIIHUV LQ WKHLU GHHGV IURP DOO QDWLRQV
$V =XQ] QRWHG WKHVH DUH SDUDOOHO WUDGLWLRQV HYHQ LI 35(¶V YHUVLRQ RI WKH EURDG VFRSH RI &XVKLWH WUDGLWLRQV GLIIHUV LQ OHQJWK GHWDLO DQG H[SUHVVLRQ &RQWUDU\ WR =XQ] KRZHYHU WKH SDVVDJH IURP WKH 7DOPXG LV XQDWWULEXWHG DQG GRHV QRW SURYLGH DQ DOWHUQDWLYH WUDGHQW WR 5 7DKQD 7KH DWWULEXWLRQ WR 5 7DKQD LV RQH UHDVRQ ZK\ =XQ] FRQVLGHUHG 35( WR EH D IRUJHU\ EXW ZH FDQQRW VD\ WKDW 35( GLVSODFHV D ³JHQXLQH´ DWWULEXWLRQ VLQFH WKHUH LV QR ³RULJLQDO´ DWWULEXWLRQ LQ WKH 7DOPXG 2Q WKH RWKHU KDQG LI ZH DVVXPH WKDW 35( KDV ³UHFHLYHG´ WKLV WUDGLWLRQ IURP WKH 7DOPXG WKH ZRUN KDV DFWXDOO\ GHHSHQHG WKH WUDGLWLRQ¶V UHODWLRQVKLS WR WKH DXWKRULWDWLYH GLVFRXUVH RI UDEELQLF OLWHUDWXUH E\ YLUWXH RI WKH QHZ DWWULEXWLRQ DQG KDV QRW OHIW WKHVH ZRUGV RUSKDQHG DV WKH 7DOPXG GRHV BBBBBBBBBBBB
7KH ZRUN DSSHDUV WR HQG WKH WUDGLWLRQ KHUH 7KH PDQXVFULSWV DJUHH ZLWK WKLV UHDGLQJ 7KLV UHDGLQJ RI WKH SDVVDJH LQ WKH PLGUDVK FOHDUO\ GHSDUWV IURP WKH SHVKDW LQ RUGHU WR YLHZ WKH NLQJ DQG QRW WKH VHUYDQW DV WKH &XVKLWH 6HH P\ FRPPHQWV EHORZ :H PD\ RI FRXUVH DWWULEXWH WKH WUDGLWLRQ WR WKH ³6WDP´ DV LV WKH FRQYHQWLRQ EXW WKLV LV DQ DFW RI ODVW UHFRXUVH ZKLFK VD\V OLWWOH DERXW WKH LQVWLWXWLRQ RI DWWULEXWLRQ LWVHOI RWKHU WKDQ ZKDW LV DOUHDG\ NQRZQ QDPHO\ WKDW WKH 6WDP LV UHVSRQVLEOH IRU XQDWWULEXWHG WUDGLWLRQV LQ WKH 7DOPXG
0LGUDVK DQG 0XOWLSOLFLW\
1HYHUWKHOHVV =XQ]¶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³$ 6KLJD\RQ RI 'DYLG WKDW KH VDQJ XQWR WKH /RUG FRQFHUQLQJ &XVK D %HQMDPLQLWH´ 3V :DV KH UHDOO\ D &XVKLWH" 5DWKHU MXVW DV D &XVKLWH GLIIHUV LQ KLV DSSHDUDQFH DOVR 6DPXHO GLIIHUHG LQ KLV DSSHDUDQFH DV 6FULSWXUH VWDWHV ³)URP KLV VKRXOGHUV
BBBBBBBBBBBB
7KH UHIHUHQFH WR D &XVKLWH ZKR LV FDOOHG ³%HQ
35( DQG 3VHXGHSLJUDSK\
DQG XSZDUGV KH ZDV KLJKHU WKDQ DOO RI WKH SHRSOH´ , 6DP /LNHZLVH \RX PD\ VWDWH ³$UH \RX QRW OLNH FKLOGUHQ RI &XVKLWHV WR PH KRXVH RI ,VUDHO"´ $PRV :HUH WKH\ UHDOO\ &XVKLWHV" >5DWKHU@ MXVW DV D &XVKLWH GLIIHUV LQ KLV VNLQ DOVR ,VUDHO GLIIHUV IURP DOO QDWLRQV WKURXJK WKH FRPPDQGPHQWV /LNHZLVH \RX PD\ VWDWH ³$QG WKH &XVKLWH VHUYDQW RI WKH NLQJ DQ RIILFHU KHDUG´ -HU :DV KH UHDOO\ D &XVKLWH" 5DWKHU MXVW DV D &XVKLWH GLIIHUV LQ KLV VNLQ VR %DUXFK EHQ 1HULDK GLIIHUV LQ KLV GHHG IURP DOO RI WKH FRXUWLHUV RI WKH NLQJ
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¶V DOWHUDWLRQ RI DQ ³RULJLQDO´ &XVKLWH WUDGLWLRQ DQG GHPRQVWUDWHV WKDW D VLQJOH WUDGLWLRQ QHYHU H[LVWHG 0RHG .DWDQ SURYLGHV DQ LQWHUSUHWDWLRQ RI WKH SKUDVH ʩʹʥʫʤ ʪʬʮ ʣʡʲ DV ³D VHUYDQW RI D &XVKLWH NLQJ´ LQ RUGHU WR DSSO\ WKH ODEHO RI &XVKLWH WR NLQJ 7]HGHNLDK EXW 6LIUHL 1XPEHUV RQ WKH RWKHU KDQG LQWHUSUHWV WKH VDPH SKUDVH DV ³WKH &XVKLWH VHUYDQW RI D NLQJ´ LQ RUGHU WR DSSO\ WKH ODEHO WR %DUXFK E 1HULDK ,Q FRQWUDVW 35( FLWHV D GLIIHUHQW YHUVH -HU ZKLFK GRHV QRW DGGUHVV WKH SURSRVHG JUDPPDWLFDO DPELJXLWLHV RI -HU :KHWKHU WKH H[SRVLWRUV LQ 35( DUH UHVSRQGLQJ WR WKH GLVDJUHHPHQW EHWZHHQ 0RHG .DWDQ DQG 6LIUHL 1XPEHUV RU QRW WKH VRXUFHV WKDW =XQ] ZRXOG FODLP WR EH WKH PRUH ³RULJLQDO´ GLVDJUHH RQ WKH LQWHUSUHWDWLRQ RI WKH VDPH YHUVH 7KLV GLVDJUHHPHQW EHWZHHQ WKH WUDGLWLRQV LQGLFDWHV WKDW WKHUH ZDV QRW D XQLIRUP &XVKLWH WUDGLWLRQ WKDW 35( DGRSWHG DQG VXEYHUWHG LQ RUGHU WR HVWDEOLVK WKH DXWKRULW\ RI 5 7DKQD WKH FODLP WKDW 35( IDOVLILHG D WUDGLWLRQ KLQJHV RQ WKH IDFW WKDW LW PXVW EH D VLQJOH DXWKRUHG WUDGLWLRQ ZKLFK GRHV QRW H[LVW LQ WKHVH SDUDOOHOV 7KHVH FRQWUDGLFWRU\ VRXUFHV GHPRQVWUDWH WKDW WKHUH DUH VHYHUDO YRLFHV ZLWKLQ WKLV WUDGLWLRQ IRU ZKLFK 35(¶V H[SRVLWRUV FRXOG KDUGO\ KDYH PDQXIDFWXUHG D VLQJOH IDOVLILHG WUDGHQW 7KH G\QDPLF WUDQVPLVVLRQ DQG WUDQVIRUPDWLRQ RI WKH &XVKLWH WUDGLWLRQ LQ 35( XQGHUVFRUHV WKH IDFW WKDW ³SVHXGHSLJUDSK\´ DQG DWWULEXWLRQ PXVW EH BBBBBBBBBBBB
5DVKL DGRSWV WKLV LQWHUSUHWDWLRQ LQ KLV FRPPHQWDU\ 6HH WKH IROORZLQJ QRWH 5 'DYLG .LPKL GLVFXVVHG WKLV LVVXH DW OHQJWK LQ KLV FRPPHQWDU\ RQ -HU DQG DUJXHG WKDW WKH ODWWHU LV WKH FRUUHFW UHDGLQJ $FFRUGLQJ WR WKH UXOHV RI JUDPPDU KRZHYHU , GR QRW VHH KRZ ZH FDQ XQGHUVWDQG WKLV SKUDVH RWKHU WKDQ D SURSHU QDPH WKDW LV PRGLILHG E\ WKH GHILQLWH DGMHFWLYH
0LGUDVK DQG 0XOWLSOLFLW\
XQGHUVWRRG ZLWKLQ WKH FRQWH[W RI WUDQVPLVVLRQ RI UDEELQLF DXWKRULWDWLYH GLVFRXUVH ZKLFK FRQWULEXWHV 5 7DKQD WR WKH WUDGLWLRQ DV DQ H[WHQVLRQ RI WKH ZRUN¶V XVH RI UDEELQLF DWWULEXWLRQ 7KLV GRHV QRW KRZHYHU UHVROYH D IXQGDPHQWDO SUREOHP RI WKLV SDUWLFXODU WUDGHQW WKH DEVHQFH RI 5 7DKQD LQ RWKHU UDEELQLF ZRUNV ,I WKH JRDO LV WR WUDQVPLW DQG WUDQVIRUP WKHVH WUDGLWLRQV ZLWKLQ WKH FRQWH[W RI FODVVLFDO UDEELQLF GLVFRXUVH ZKDW FRXOG D SUHYLRXVO\ XQDWWHVWHG DWWULEXWLRQ PHDQ" 2QH SRVVLEOH VROXWLRQ PD\ EH IRXQG LQ WKH ,JJHUHW 5DY 6KHULUD *DRQ ZKLFK FRQWDLQV D UHIHUHQFH WR D VDYRUD QDPHG 5 7DKQD ʡʸ ʠʰʧʺ IURP WKH ILUVW KDOI RI WKH VL[WK FHQWXU\ 7KLV ODWH DWWULEXWLRQ FRXOG UHIOHFW WKH WUDQVPLVVLRQ DQG GHYHORSPHQW RI WKH SDVVDJH ZLWKLQ WKH 35( WUDGLWLRQ ,QGHHG WKLV DWWULEXWLRQ ZRXOG H[SODLQ WKH SUHVHQFH RI WKH VDJH DQG QHJDWH DQ\ FULWLTXH RI 35(¶V UHODWLRQVKLS WR UDEELQLF DWWULEXWLRQV ,I 35( DWWULEXWHV WKH WUDGLWLRQ WR WKLV 5 7DKQD WKH DEVHQFH RI WKH VDJH LQ HDUOLHU OLWHUDWXUH LV FKURQRORJLFDOO\ LUUHOHYDQW EHFDXVH WKH UHIHUHQFH WR KLP KHUH XSKROGV WKH ZRUN¶V SXUSRUWHG RULJLQV LQ WKH HDUO\ JHRQLF HUD )XUWKHUPRUH ZH FRXOG DUJXH WKDW WKH H[SRVLWRUV RI 35( GLG QRW IRUJH DQ DXWKRULW\ EXW WKDW WKH GLIIHUHQFHV ZLWKLQ WKH WUDGLWLRQV LQGLFDWH WKDW 5 7DKQD LV D ³JHQXLQH´ WUDGHQW 7KH SRVVLELOLW\ WKDW WKLV LV WKH ³5 7DKQD´ UHDO RU LPDJLQHG RI 35( XQGHUFXWV WKH DUJXPHQW WKDW LW LV D SVHXGHSLJUDSKLF IDEULFDWLRQ RI D WDQQDLWLF QDPH ,I LW LV QRW D UHIHUHQFH WR WKLV VDJH ZH DUH OHIW ZLWK DQ XQNQRZQ DXWKRULW\ QRW D IDOVLILHG RQH 7KLV VHPLKLVWRULFDO DSSURDFK WR WKH SUREOHP RI 5 7DKQD¶V LGHQWLW\ LV DGPLWWHGO\ WHQXRXV 6WLOO ZH PXVW DVN ZKDW ZRXOG EH WKH SXUSRVH RI DQ XQDWWHVWHG WUDGHQW IRU D NQRZQ WUDGLWLRQ" ,I ZH VXVSHQG WKHVH KLVWRULFDO VSHFXODWLRQV WKH VROXWLRQ FDQ VXUHO\ EH GLVFRYHUHG LQ WKH PDQQHU WKDW 35( KDV GHYHORSHG DQ LQGHSHQGHQW LQWHUSUHWDWLRQ RI WKH &XVKLWH WUDGLWLRQ DQG KDV SODFHG WKH WUDGLWLRQ ZLWKLQ WKH FRQWH[W RI LWV FKDUDFWHULVWLF UHIRUPXODWLRQV RI 6FULSWXUDO DQG UDEELQLF WUDGLWLRQV DV ZHOO DV WKH UHFHLYHG ODQJXDJH RI DWWULEXWLRQ WKH SDVVDJH FRUUHVSRQGV WR WKH WKHPDWLF GHYHORSPHQW LQWURGXFHG DW WKH EHJLQQLQJ RI WKH FKDSWHU ³DOO RI WKRVH ZKR VODQGHU WKHLU FRPSDQLRQ LQ VHFUHW LV GHQLHG KHDOLQJ´ ZKLFK LV WKH LPSOLFW PHDQLQJ RI WKH SURRIWH[W DQG WKH OLVW RI HSLVRGHV ZKLFK SUHFHGH WKLV H[DPSOH DQG ZKLFK IUDPHV WKH OLVW RI WKRVH DQDORJRXV WR 7]LSSRUDK WKH PDOLJQHG &XVKLWH RI 1XP ,Q UHVSRQVH WR WKH SUREOHPDWLF DSSHDUDQFH RI 5 7DKQD WKHQ ZH VKRXOG XQGHUVWDQG WKH WUDQVPLVVLRQ RI WKLV WUDGLWLRQ ZLWKLQ 35(¶V UHIRUPXODWLRQ RI 6FULSWXUDO DQG UDEELQLF WUDGLWLRQV DQG LWV LPSOLFLW DFNQRZOHGJHPHQW WKDW WKLV DWWULEXWLRQ SURYLGHV D VSULQJERDUG LQWR WKH WUDGLWLRQ RI UDEELQLF DWWULEXWLRQ BBBBBBBBBBBB
/HZLQ ,JJHUHW 5DY 6KHULUD *DRQ 7KH 6HSKDUGLF WH[W DWWHVWV ʠʰʩʧʺ ʡʸ
35( DQG 3VHXGHSLJUDSK\
,Q WKH 35( 5 7DKQD UHSUHVHQWV 35(¶V FRQWULEXWLRQ RI D UDEELQLF DXWKRULW\ WKDW UHVRQDWHV ZLWKLQ WKH ZRUN¶V XVH RI FODVVLFDO UDEELQLF ODQJXDJH DQG WUDGLWLRQV 5 7DKQD LV H[FHSWLRQDO ZLWKLQ 35( DV DQ XQNQRZQ WUDGHQW DQG GRHV QRW LQGLFDWH WKDW WKH H[SRVLWRUV KDELWXDOO\ LQVHUWHG ³IRUJHG´ VDJHV RI WKH WDQQDLWLF HUD &RQVHTXHQWO\ ZH VKRXOG FRQVLGHU WKLV WUDGHQW LQ WKH FRQWH[W RI WKH ZRUN¶V WUDQVPLVVLRQ DQG LQQRYDWLRQ RI WUDGLWLRQDO GLVFRXUVH DV ZLOO DOVR EH HODERUDWHG LQ WKH GLVFXVVLRQ RI UDEELQLF WHFKQLFDO ODQJXDJH EHORZ ,Q P\ EURDG LGHQWLILFDWLRQ RI WKH DWWULEXWLRQ DV DQ H[WHQVLRQ RI 35(¶V UHIRUPXODWLRQ RI UDEELQLF DWWULEXWLYH GLVFRXUVH 5 7DKQD LV D ³WUDGLWLRQ PDUNHU´ ZKLFK UHSUHVHQWV WKH ZRUN¶V GHYHORSPHQW RI ERWK WKH WUDGHQW DV ZHOO DV WKH &XVKLWH RI HDUOLHU UDEELQLF OLWHUDWXUH ZLWKLQ WKH FRQWH[W RI WKH ZRUN¶V OLWHUDU\ VWUXFWXUH RI OLVWV DQG WKHPHV $V PHQWLRQHG DERYH DWWULEXWLRQ RI WUDGLWLRQV WR SDUWLFXODU VDJHV LV SDUW DQG SDUFHO RI UDEELQLF OLWHUDWXUH¶V VW\OLVWLF H[SUHVVLRQ 35(¶V LQQRYDWLYH HODERUDWLRQ RI WKLV OLWHUDU\ IRUP KRZHYHU ZLOO EHFRPH PRUH DSSDUHQW LQ WKH H[HPSOD H[SORUHG EHORZ
7KH 7UDGLWLRQV RI 5 (OLH]HU E $UDN =XQ]¶V VHFRQG H[DPSOH RI 35(¶V IDEULFDWHG DWWULEXWLRQ LV GUDZQ IURP FKDSWHU IRUW\VL[ =XQ] DUJXHG WKDW WKLV FKDSWHU LGHQWLILHV 5 (OLH]HU E $UDN D VHFRQG JHQHUDWLRQ WDQQD DV WKH ³RULJLQDWRU´ 8UKHEHU RI VWDWHPHQWV WKDW DUH DWWULEXWHG WR RWKHUV LQ WKH 3HVLNWD GH5DY .DKDQD 6RQJ RI 6RQJV 5DEED DQG RWKHU ZRUNV =XQ] TXHVWLRQHG WKLV SDUWLFXODU DWWULEXWLRQ EHFDXVH KH VDZ LW DV D SULPH H[DPSOH RI 35(¶V LOOFRQFHLYHG DWWHPSW WR FODLP WDQQDLWLF RULJLQV $FFRUGLQJ WR =XQ] WKLV DWWULEXWLRQ FRPSOLFDWHV 35(¶V UHODWLRQVKLS ZLWK FODVVLFDO UDEELQLF OLWHUDWXUH VLQFH WKH FODVVLFDO VRXUFHV DWWULEXWH WKH WUDGLWLRQ WR ³RWKHU >DQG DVVXPHGO\ ODWHU@ VDJHV HQWLUHO\ DQGHUHQ /HKUHUQ ]XNRPPHQ ´ 7KXV WKLV DWWULEXWLRQ LV DQRWKHU H[DPSOH RI WKH ZRUN¶V DWWHPSW WR LQWURGXFH DXWKRULWLHV WKDW ZRXOG DQWHGDWH LWVHOI WR WKH WDQQDLWLF HUD $V LQGLFDWHG E\ =XQ] SDUDOOHO DFFRXQWV H[LVW LQ 3HVLNWD GH5DY .DKDQD DQG 6RQJ RI 6RQJV 5DEED 7KH WUDGLWLRQ IURP 35( UHDGV BBBBBBBBBBBB
=XQ] DUJXHG WKDW WKH JHRQLF DXWKRU¶V FLWDWLRQ RI DPRUDLF WUDGHQWV LQGLFDWHV KLV LJQRUDQFH RI UDEELQLF FKURQRORJ\ ,I WKLV LV WKH FDVH ZH PD\ DVN =XQ] KRZ FDQ WKLV DXWKRU VXFFHVVIXOO\ UHSUHVHQW WKH WUDGLWLRQ RI WDQQDLWLF WUDGHQWV LI KH LV VR LJQRUDQW RI UDEELQLF FKURQRORJ\" =XQ] QRWH G
0LGUDVK DQG 0XOWLSOLFLW\
5 (OLH]HU E $UDN VDLG ³:KHQ WKH +RO\ 2QH EOHVVHG EH +H ZDV UHYHDOHG WR JLYH WKH 7RUDK WR ,VUDHO PLQLVWHULQJ DQJHOV GHVFHQGHG ZLWK KLP WR FRUUHVSRQG WR WKH RI WKH µKHURHV RI ,VUDHO¶ ,Q WKHLU KDQG ZHUH WKH ZHDSRQV ʺʥʰʩʦ DQG D FURZQ ʤʸʨʲ DQG WKH FURZQV RI HYHU\ ,VUDHOLWH SRVVHVVHG WKH XQTXDOLILHG 1DPH ʹʸʥʴʮʤ ʭʹ ʸʺʫ 7KXV DOO RI WKH GD\V EHIRUH ,VUDHO FRPPLWWHG WKDW DFW >WKH VLQ RI WKH JROGHQ FDOI@ WKH\ ZHUH JRRGO\ EHIRUH WKH +RO\ 2QH EOHVVHG EH +H OLNH PLQLVWHULQJ DQJHOV WKH DQJHO RI GHDWK GLG QRW UXOH RYHU WKHP DQG WKH\ GLG QRW FDVW H[FUHPHQW OLNH KXPDQ EHLQJV :KHQ WKH\ FRPPLWWHG WKDW DFW WKH +RO\ 2QH EOHVVHG EH +H EHFDPH DQJU\ DW WKHP DQG VDLG µ, WKRXJKW RI \RX DV PLQLVWHULQJ DQJHOV¶ DV 6FULSWXUH VWDWHV µ, VDLG ³
7KH SDVVDJH IURP 3HVLNWD GH5DY .DKDQD 35. UHDGV $QRWKHU LQWHUSUHWDWLRQ RI ³:KDW ZLOO , WDNH WR ZLWQHVV IRU \RX"´ /DP ± ZLWK KRZ PDQ\ RUQDPHQWV ʭʩʨʥʹʩʷ GLG , RUQDPHQW \RX" $V VXFK 5 DQJHO@ KDG D FURZQ LQ KLV KDQG LQ RUGHU WR FURZQ ,VUDHO´ 5 $EED EDU .DKDQD VDLG LQ WKH QDPH RI 5 DQJHOV GHVFHQGHG ZLWK KLP@ RQH WR FORWKH ZLWK D FURZQ DQG WKH RWKHU WR JLUG ZLWK DUPRU ʭʩʰʩʩʦ ´ 5 +XQD 5DEED RI 6HSKRULV VDLG ³>7@KHLU JLUGOH RI PDJLVWUDF\ ʭʰʥʦ DV 6FULSWXUH VWDWHV µ+H RSHQV WKH ZD\ IRU NLQJV KH ELQGV D JLUGOH WR WKHLU ORLQV¶´-RE
7KH SDVVDJH IURP 6RQJ RI 6RQJV 5DEED 665 UHDGV 5 SHUVRQ@ LQ ,VUDHO (DFK >DQJHO@ KDG D FURZQ LQ KLV KDQG LQ RUGHU WR FURZQ HDFK >SHUVRQ@ LQ ,VUDHO 5 $EED EDU .DKDQD VDLG LQ WKH QDPH RI 5
BBBBBBBBBBBB
*RWWOLHE DUJXHG WKDW WKLV SKUDVH LV D UHIHUHQFH WR 6RQJ 7KH UHDVRQ IRU P\ WUDQVODWLRQ RI WKLV YDULDWLRQ RI WKH URRW LV GHULYHG IURP WKH UHODWLRQVKLS RI 35( WR D WUDGLWLRQ WKDW , GLVFXVV EHORZ DV ZHOO DV IURP HW\PRORJLFDO FRQVLGHUDWLRQV 6HH DOVR )ULHGODQGHU 3LUNH QRWH 6HH /HYLWLFXV 5DEED DQG WKH FRPPHQWV RI 0RUGHFDL 0DUJXOLHV RQ SDJH QRWH RI KLV HGLWLRQ RI /HYLWLFXV 5DEED IRU DQRWKHU XVH RI WKLV YHUVH E\ 5 +XQD WKDW GHPRQVWUDWHV WKDW WKLV ZRUG PHDQV ȗȫȞȘ RU µD VLJQ RI UR\DO SRZHU¶ 6HH DOVR %HUQDUG 0DQGHOEDXP¶V FRPPHQWV RQ RI KLV HGLWLRQ RI WKH 3HVLNWD GH 5DY .DKDQD 3HVLNWD GH 5DY .DKDQD IRU ZKLFK WKHUH LV DQ DOPRVW ZRUGIRUZRUG SDUDOOHO LQ 3HVLNWD 5DEEDWL /DPHQWDWLRQV 5DEED H[KLELWV WKH WUDGLWLRQ IRU WKLV OHPPD EXW GRHV QRW DWWHVW WKH 5 +XQD WUDGLWLRQ
35( DQG 3VHXGHSLJUDSK\
7@KHLU JLUGOH RI PDJLVWUDF\ ʭʰʥʦ DV 6FULSWXUH VWDWHV ³+H RSHQV WKH ZD\ IRU NLQJV KH ELQGV D JLUGOH WR WKHLU ORLQV´¶-RE
$V DERYH 35. DQG 665 DWWULEXWH WKH ³DQJHOLF GHVFHQW´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
6RQJ RI 6RQJV 5DEED
0LGUDVK DQG 0XOWLSOLFLW\
QRW DJUHH ZLWK WKH QDUUDWLYH DQG H[SRVLWRU\ GHWDLOV RI WKHVH VRXUFHV &RQVHTXHQWO\ ZH FDQQRW FRQFOXGH WKDW 35(¶V H[SRVLWRUV VRXJKW WR IDEULFDWH WKH ³RULJLQV´ RI WKHVH WUDGLWLRQV LQ RUGHU WR HVWDEOLVK WKH FKURQRORJLFDO SULRULW\ RI 35( 7KH GLIIHUHQFHV LQ H[SRVLWLRQ DQG GHWDLO DPRQJ 35( DQG WKHVH RWKHU VRXUFHV GHPRQVWUDWH DJDLQ WKDW ZH DUH QRW VHHLQJ RQH VLQJOH WUDGLWLRQ WR ZKLFK 35( FDQ DWWULEXWH WKLV VDJH 7KHVH VRXUFHV KRZHYHU GR QRW HQFRPSDVV DOO YDULDWLRQV RI WKH GHVFHQW RI DQJHOV DW 6LQDL WUDGLWLRQ 7KH UDEELQLF OLWHUDWXUH UHODWHV WZR DGGLWLRQDO YDULDQWV RI WKH GHVFHQW WKDW EHDU XSRQ WKH FRQWHQW RI WKH 35( YHUVLRQ 7KH ILUVW YDULDQW LV IRXQG LQ 3HVLNWD 5DEEDWL 7DQKXPD 0LGUDVK 3VDOPV DQG SHUVRQ@ IURP ,VUDHO´ 5 $EED EDU .DKDQD VDLG ³:KHQ ,VUDHO VWRRG XSRQ 0RXQW 6LQDL DQG VDLG µ:H ZLOO GR DQG ZH ZLOO KHDU¶ ʲʮʹʰʥ ʤʹʲʰ WKH +RO\ 2QH EOHVVHG EH +H LPPHGLDWHO\ ORYHG WKHP DQG JDYH WR HDFK RQH RI WKHP WZR DQJHOV ± RQH ZDV JLUGLQJ KLV DUPRU ʥʰʩʩʦ DQG RQH SODFHG D FURZQ XSRQ KLV KHDG´ 5 6LPRQ VDLG ³7KH\ ZHUH FORWKHG ZLWK UR\DO JDUPHQWV ʺʥʠʸʩʴʸʥʴ DV 6FULSWXUH VWDWHV µ, FORWKHG \RX LQ ZRYHQ
BBBBBBBBBBBB
3HVLNWD 5DEEDWL 7DQKXPD %XEHU 9D¶HLUD DQG 7HW]DYHK 7DQKXPD :DUVDZ 7HW]DYHK 0LGUDVK 3VDOPV
35( DQG 3VHXGHSLJUDSK\
JDUPHQWV¶´ (]HN 5 +XQD RI 6HSKRULV VDLG ³+H FORWKHG WKHP ZLWK JLUGOHV ʺʥʩʠʰʥʦ DV 6FULSWXUH VWDWHV µ>$@QG , FORWKHG \RX ZLWK OLQHQ YHVWPHQWV¶´ (]HN 5DEEL 6LPHRQ E +@H JDYH ZHDSRQV ʯʩʩʦ ʩʬʫ DQG WKH XQTXDOLILHG 1DPH ʹʸʥʴʮʤ ʭʹ ZDV HQJUDYHG XSRQ WKHP >DQG DOO RI WKH WLPH WKDW WKHVH ZHUH LQ WKHLU KDQGV WKH DQJHO RI GHDWK GLG QRW UXOH RYHU WKHP@´
$ VHFRQG YDULDQW RI WKH 6LQDL WUDGLWLRQ LV IRXQG LQ WKH %DE\ORQLDQ 7DOPXG 7DQQD GHEHL (OL\DKX =XWD DQG WKH DOO RI WKH FURZQV@ DQG KH WRRN WKHP DV LV GHPRQVWUDWHG E\ >WKH QH[W YHUVH@ µ$QG 0RVHV WRRN WKH WHQW¶´ ([ 5HVK /DNLVK VDLG ³,Q WKH IXWXUH WKH +RO\ 2QH EOHVVHG EH +H ZLOO UHWXUQ WKHP DV 6FULSWXUH
BBBBBBBBBBBB 3HVLNWD 5DEEDWL DWWULEXWHV WKH WUDGLWLRQ WR µ5 +DQLQD RI 6HSKRULV¶ DQG WKH JDUPHQWV DV ʺʥʩʰʥʦ ,Q
0LGUDVK DQG 0XOWLSOLFLW\
VWDWHV µ>7@KH UHGHHPHG RI WKH /RUG ZLOO UHWXUQ DQG FRPH XQWR =LRQ ZLWK ³SUDLVH´ DQG ³FHOHEUDWLRQ´ XSRQ WKHLU KHDGV¶´ ,VD
7KHVH WUDGLWLRQV XQGHUVFRUH D IXQGDPHQWDO GLYHUVLW\ LQ WKH WUDGLWLRQ RI WKH DQJHOLF GHVFHQW DW 6LQDL \HW WKH\ IHDWXUH PDQ\ VLPLODULWLHV ZLWK 35( WKDW DUH DEVHQW IURP 35. DQG 665 WKH 7DQKXPD YDULDQW UHIOHFWV WKH WUDGLWLRQV RI 5
35( DQG 3VHXGHSLJUDSK\
RI RXU GLVFXVVLRQ ZH QRWH WKDW 35( GRHV QRW DFNQRZOHGJH DQ\ RI WKH FRQWURYHUVLHV WKDW RFFXU EHWZHHQ WKH VDJHV LQ WKHVH VRXUFHV¶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³RULJLQDWRU´ IRU WKH WUDGLWLRQ D SDUDOOHO DWWULEXWLRQ WR 5 (OLH]HU E $UDN LV QRW IRXQG LQ DQ\ RI WKH DERYHPHQWLRQHG WUDGLWLRQV ,Q WKH SUHVHQW H[DPSOH KRZHYHU WKH FRQWH[WXDO YDOXH RI 35(¶V DWWULEXWLRQ WR 5 (OLH]HU E $UDN LV QR PRUH SUREOHPDWLF WKDQ WKH LVVXHV LQ WKH RWKHU VRXUFHV 5HODWLYH WR WKHVH RWKHU YDULDQWV RI WKH WUDGLWLRQ WKHUH LV RQH UHOHYDQW TXHVWLRQ IRU RXU VWXG\ VKRXOG ZH XQGHUVWDQG 35(¶V DWWULEXWLRQ DV D ³VXEYHUVLRQ´ RI WKH DXWKRULWDWLYH GLVFRXUVH RI UDEELQLF OLWHUDWXUH" ,I QRW WKH ZRUN¶V UHODWLRQVKLS WR WKHVH VRXUFHV VKRXOG WKHQ EH SURSHUO\ XQGHUVWRRG ZLWKLQ WKH FRQWH[W RI WUDQVPLVVLRQ DQG QRW ³IRUJHU\´ ,Q P\ GLVFXVVLRQ RI WKH FDQRQLFDO SVHXGHSLJUDSK\ LQ WKH 7DOPXG , LQGLFDWHG WKDW ³IRUJHU\´ LV HVVHQWLDOO\ D YLRODWLRQ RI WKH FDQRQLFDO VWDQGDUGV RI WKH UDEELQLF WUDGLWLRQ ,Q WHUPV RI WKLV DWWULEXWLRQ RI 35( WKHUH LV QR TXHVWLRQ WKDW LW VKRXOG QRW EH FRQVLGHUHG DV WKRXJK LW ZDV D ELRJUDSKLFDO RU DXWKRULDO DWWULEXWLRQ DQG WKLV LV HTXDOO\ WUXH RI WKH ZRUN¶V SDUDOOHO VRXUFHV $OWKRXJK 35(¶V H[SRVLWRUV GR DWWULEXWH WKH WUDGLWLRQ WR DQ ³HDUO\´ VRXUFH LW LV QRW D IRUHJRQH FRQFOXVLRQ WKDW WKLV LV LQ RUGHU WR IDOVLI\ WKH HUD RI WKH ZRUN¶V FUHDWLRQ ,Q WKLV UHVSHFW 35( DJDLQ GHPRQVWUDWHV DQ LQGHSHQGHQW UHSUHVHQWDWLRQ RI WKH DXWKRULWDWLYH GLVFRXUVH RI WKH VDJHV ,Q WUXWK WKHUH LV QR LQKHUHQW UHDVRQ ZK\ 35( DWWULEXWHV WKLV WUDGLWLRQ WR 5 (OLH]HU E $UDN RYHU DQG DERYH WKH VDJHV PHQWLRQHG LQ WKH SDUDOOHO VRXUFHV 1HYHUWKHOHVV ZH QHHG QRW XQGHUVWDQG 35(¶V DWWULEXWLYH VWUXFWXUH WR KDYH D GHILQLWLYH SXUSRVH RWKHU WKDQ WKDW ZKLFK ZH PD\ ILQG LQ FODVVLFDO UDEELQLF OLWHUDWXUH ZH VKRXOG XQGHUVWDQG WKH OLWHUDU\ IRUP DV DQ H[SUHVVLRQ RI WKH ZRUN¶V SDUWLFLSDWLRQ LQ WKH WUDGLWLRQ RI UDEELQLF DWWULEXWLRQ $JDLQ 35(¶V OLWHUDU\ RUJDQL]DWLRQ GLIIHUV JUHDWO\ IURP FODVVLFDO UDEELQLF OLWHUDWXUH ± \HW WKH ZRUN DOVR LQWHJUDWHV DQG GHYHORSV WKH LQVWLWXWLRQ RI DWWULEXWLRQ GHPRQVWUDWLQJ BBBBBBBBBBBB 6HH ([RGXV 5DEED /HYLWLFXV 5DEED (FFOHVLDVWHV 5DEED 3HVLNWD GH 5DY .DKDQD DQG 7DQKXPD %XEHU +XNNDW
0LGUDVK DQG 0XOWLSOLFLW\
LWV HQJDJHPHQW ZLWK WKH IRUP DQG H[SUHVVLRQ RI FODVVLFDO UDEELQLF GLVFRXUVH $FFRUGLQJO\ WKH ILQDO H[DPSOH WKDW ZLOO EH H[SORUHG LQ WKH QH[W VHFWLRQ ZLOO JLYH XV DQ LQWLPDWLRQ RI 35(¶V HQJDJHPHQW ZLWK DWWULEXWLRQ DV FODVVLFDO UDEELQLF GLVFRXUVH ,Q WKLV ILQDO H[DPSOH 35(¶V H[SRVLWRUV QRW RQO\ UHSOLFDWH WKH OLWHUDU\ IRUP RI FODVVLFDO DWWULEXWLRQ EXW DOVR FLWH DQG WUDQVIRUP WKH OLWHUDU\ IXQFWLRQ DQG SXUSRVH RI DWWULEXWLRQ DOWRJHWKHU
7KH &RQWUDGLFWLRQV RI %HQ $]]DL DQG 5HVK /DNLVK 7KH ILQDO H[DPSOH IURP FKDSWHU IRUW\WKUHH UHSUHVHQWV WKH PRVW GLIILFXOW DQG SUREOHPDWLF LQVWDQFH RI DWWULEXWLRQ LQ 35( ,Q KLV FULWLTXH RI WKH ZRUN¶V UDEELQLF JHQHDORJLHV =XQ] LQGLFDWHG WKDW WKLV FKDSWHU H[KLELWV DQ LPSRVVLEOH DWWULEXWLRQ WKH VHFRQG JHQHUDWLRQ WDQQD EHQ $]]DL UHIOHFWV XSRQ WKH OLIH RI D VHFRQG JHQHUDWLRQ DPRUD 5 6LPHRQ EHQ /DNLVK 5HVK /DNLVK ZKR OLYHG RYHU RQH KXQGUHG \HDUV DIWHU KLP =XQ] DUJXHG WKDW WKLV FKURQRORJLFDO LPSRVVLELOLW\ GHPRQVWUDWHV WKH JHRQLF DXWKRU¶V ³LJQRUDQFH´ RI UDEELQLF JHQHDORJLHV DV ZHOO DV KLV FDUHOHVV DWWHPSW WR XWLOL]H ³HDUO\´ DWWULEXWLRQV LQ RUGHU WR EROVWHU KLV FODLP WKDW 35( LV D WDQQDLWLF ZRUN -DFRE (OEDXP DOVR FRQVLGHUHG WKLV H[DPSOH DV SDUDGLJPDWLF RI 35(¶V GXSOLFLWRXV UHODWLRQVKLS ZLWK FODVVLFDO UDEELQLF OLWHUDWXUH ,Q FRQWUDVW ZLWK FODVVLFDO UDEELQLF OLWHUDWXUH (OEDXP DUJXHG 35( FRQWDLQV RQO\ WZR DFWV ʤʹʲʮ RI WKH VDJHV WKH ILUVW WZR KDJLRJUDSKLF FKDSWHUV RI 5 (OLH]HU DV , KDYH GLVFXVVHG DERYH DQG WKH GHVFULSWLRQ RI WKH UHSHQWDQFH RI 5HVK /DNLVK LQ FKDSWHU IRUW\WKUHH )XUWKHUPRUH KH DUJXHG WKDW HDFK LV ULGGOHG ZLWK FRPSOLFDWLRQV DQG FRQWUDGLFWLRQV ,Q KLV DUJXPHQW DJDLQVW WKH 5HVK /DNLVK WUDGLWLRQ (OEDXP DVVHUWHG WKDW ³WKH RQH ZKR VHHV D µ%DUDLWKD¶ LQ >WKH UHSHQWDQFH RI 5HVK /DNLVK@ LV FRQIURQWHG E\ D GRXEOH GLIILFXOW\´ WKH SUREOHPDWLF DWWULEXWLRQ DQG LWV DFFRPSDQ\LQJ WUDGLWLRQ 7KH EHQ $]]DL5HVK /DNLVK WUDGLWLRQ WKHQ SURYLGHG WKHVH VFKRODUV ZLWK D FOHDU EDVLV WR TXHVWLRQ BBBBBBBBBBBB 6HH DOVR )ULHGODQGHU 3LUNH QRWH 7KH WHUP %DUDLWKD LV XVXDOO\ XVHG WR GHVFULEH D WDQQDLWLF WUDGLWLRQ WKDW DSSHDUV ZLWKLQ DQ DPRUDLF ZRUN ZLWK WKH H[FHSWLRQ RI WKH 7RVHIWD 'RHV (OEDXP ZLVK WR DUJXH WKDW 35( SUHVHQWV DQ µDFW¶ RI DQ DPRUD DV D %DUDLWKD" (OEDXP ³5KHWRULF´ (OEDXP GLG QRW VSHOO RXW WKH VSHFLILFV RI WKH µGRXEOH GLIILFXOW\¶ DQG ZKDW IROORZV LV P\ DVVHVVPHQW RI KLV DUJXPHQW %DVHG RQ WKH WHUP WKDW KH XVHV ± µ%DUDLWKD¶ ± KH FRXOG EH LQGLFDWLQJ DV GRHV =XQ] WKDW WKH WUDGLWLRQ LV QRW JHQXLQHO\ WDQQDLWLF 1RQHWKHOHVV WKLV WHUP LV SUREOHPDWLF 6HH SUHYLRXV QRWH
35( DQG 3VHXGHSLJUDSK\
WKH YDOLGLW\ RI 35( DV D OLWHUDU\ IRUP YLVjYLV WKRVH RI WKH FODVVLFDO UDEELQLF HUD 7KH 35( WUDGLWLRQ DERXW 5HVK /DNLVK¶V UHSHQWDQFH LV DWWHVWHG LQ D VHULHV RI VWDWHPHQWV WKDW UHFRXQW WKH ³SRZHU RI UHSHQWDQFH´ 7KLV VWDWHPHQW LV HPEHGGHG LQ WKH SULPDU\ QDUUDWLYH ZKLFK UHODWHV 5HVK /DNLVK¶V FRQYHUVLRQ IURP WKLHYHU\ WR VDJH DQG LQ SDUDOOHO QDUUDWLYHV ZKLFK UHFRXQW WKH UHSHQWDQFH RI WKH %LEOLFDO ILJXUHV $KDE 'DYLG 0DQDVVHK DQG 3KDUDRK 7KH VWDWHPHQWV RFFXU ZLWKLQ WKH FRQWH[W RI D FLWDWLRQ WKDW LV IRXQG LQ 3LUNH $YRW WKDW ³UHSHQWDQFH DQG JRRG GHHGV DUH D VKLHOG DJDLQVW SXQLVKPHQW´ DQG UHSHDW WKH IRUPXOD ³,Q RUGHU WR FRPH WR NQRZ WKH SRZHU RI UHGHPSWLRQ JR DQG VHH´ 7KH VHFWLRQ WKDW FRQFHUQV 5HVK /DNLVK UHDGV %HQ $]]DL VDLG ³,Q RUGHU WR FRPH WR NQRZ WKH SRZHU RI UHSHQWDQFH JR DQG VHH 5 6LPHRQ E /DNLVK WKDW KH DQG KLV WZR FRPSDQLRQV ZHUH UREEHUV ʭʩʣʣʥʹ LQ WKH PRXQWDLQV DQG UREEHG ʭʩʬʦʥʢ DOO ZKR FDPH WKHLU ZD\ :KDW GLG 5 6LPHRQ E /DNLVK GR" +H OHIW KLV WZR FRPSDQLRQV LQ WKH PRXQWDLQV DQG UHWXUQHG WR WKH JRG RI KLV IDWKHUV ZLWK DOO RI KLV KHDUW ± ZLWK IDVWLQJ DQG ZLWK PRUQLQJ DQG HYHQLQJ SUD\HU EHIRUH WKH +RO\ 2QH EOHVVHG EH +H +H HQJDJHG LQ 7RUDK DOO RI KLV GD\V JDYH FKDULW\ WR WKH SRRU DQG QHYHU PRUH UHWXUQHG WR KLV HYLO ZD\V ± DQG KLV UHSHQWDQFH ZDV DFFHSWHG 2Q WKH GD\ WKDW KH GLHG KLV WZR FRPSDQLRQV ZKR ZHUH UREEHUV LQ WKH PRXQWDLQV GLHG DV ZHOO 5 6LPHRQ E /DNLVK ZDV SODFHG LQWR WKH WUHDVXU\ RI WKH OLYLQJ ʭʩʩʧʤ ʸʶʥʠ DQG KLV FRPSDQLRQV ZHUH SODFHG LQWR WKH GHSWKV RI 6KHRO +LV WZR FRPSDQLRQV VDLG EHIRUH WKH +RO\ 2QH EOHVVHG EH +H µ0DVWHU RI WKH 8QLYHUVH DUH \RX EHLQJ IDLU" 7KLV RQH ZDV RXU FRPSDQLRQ DQG ZDV UREELQJ LQ WKH PRXQWDLQV ZLWK XV \HW KH JRHV LQWR WKH WUHDVXU\ RI WKH OLYLQJ DQG >ZH@ LQWR WKH GHSWKV RI 6KHRO"¶ +H VDLG WR WKHP µ7KLV RQH UHSHQWHG GXULQJ KLV OLIH DQG \RX GLG QRW UHSHQW¶ 7KH\ VDLG WR +LP µ*LYH XV D FKDQFH DQG ZH ZLOO UHSHQW HYHQ PRUH WKDQ KH GLG¶ +H VDLG WR WKHP µ5HSHQWDQFH FDQ RQO\ RFFXU XQWLO WKH GD\ RI GHDWK¶ $ SDUDEOH WR ZKDW LV WKH PDWWHU WR EH FRPSDUHG" 7R D SHUVRQ ZKR ZLVKHV WR JR RXW WR VHD ,I KH GLG QRW EULQJ IRRG DQG ZDWHU IURP DQ LQKDELWHG ODQG IRU KLV YR\DJH ZKDW ZLOO KH HDW DQG GULQN" $JDLQ LI D SHUVRQ ZLVKHV WR WUDYHO LQ WKH GHVHUW DQG GRHV QRW WDNH IRRG DQG ZDWHU IURP D VHWWOHPHQW KH ZLOO QRW ILQG DQ\WKLQJ WR HDW RU GULQN LQ WKH GHVHUW 6LPLODUO\ LI D SHUVRQ GRHV QRW UHSHQW GXULQJ KLV OLIH WKHUH LV QR UHSHQWDQFH DIWHU KLV GHDWK ± RQO\ >WKH MXGJPHQW WKDW@ FRUUHVSRQGV WR KLV ZD\V DV 6FULSWXUH VWDWHV µ+H ZLOO QRW UHJDUG DQ\ UHSHQWDQFH ʸʴʫ ¶ 3URY DQG LW LV ZULWWHQ µ, WKH /RUG VHDUFK WKH KHDUW , FKHFN WKH NLGQH\ LQ RUGHU WR JLYH WR D SHUVRQ DFFRUGLQJ WR KLV ZD\V DQG DFFRUGLQJ WR WKH IUXLW RI KLV DFWLRQV¶´ -HU
6R WKDW ZH XQGHUVWDQG WKH DWWULEXWLRQ LQ FRQWH[W LW VKRXOG EH QRWHG WKDW WKH VWRU\ DERXW 5 6LPHRQ E /DNLVK IHDWXUHV WKLV LPSUREDEOH DWWULEXWLRQ GXULQJ WKH
0LGUDVK DQG 0XOWLSOLFLW\
ZRUN¶V GLVFXVVLRQ RI UHSHQWDQFH %HLQJ D KDJLRJUDSK\ WKH QDUUDWLYH RI 5 6LPHRQ E /DNLVK¶V UHSHQWDQFH UHFRXQWV KLV OLIH DV D UREEHU LQ RUGHU WR FRQWUDVW WKH VDQFWLILHG DFWLYLWLHV RI KLV ODWHU OLIH ZLWK WKRVH RI KLV XQUHSHQWDQW FRPSDQLRQV 7KH QDUUDWLYH SURJUHVVHV WRZDUGV D PRUDO PHVVDJH WKDW LV H[SUHVVHG LQ WKH FRQWUDVW EHWZHHQ WKH GHFLVLYH IDWHV RI 5HVK /DNLVK DQG KLV FRPSDQLRQV QDPHO\ WKDW ³UHSHQWDQFH FDQ RQO\ RFFXU XQWLO WKH GD\ RI GHDWK´ 6LPLODU WR WKH DFFRXQWV RI WKH RWKHU %LEOLFDO ILJXUHV 5 6LPHRQ E /DNLVK¶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¶V ELRJUDSK\ RI 5HVK /DNLVK WR SDUDOOHO VRXUFHV IURP FODVVLFDO UDEELQLF OLWHUDWXUH RQ WKH RQH KDQG DQG DV D SURGXFW RI VFULEDO HUURU RQ WKH RWKHU $FFRUGLQJ WR WKHVH VFKRODUV WKH 7DOPXG FRQILUPV 35(¶V VWRU\ DERXW 5HVK /DNLVK¶V FULPLQDO \RXWK :DVVHUVWHLQ QRWHG WKDW 5 6LPHRQ E /DNLVK¶V EDFNJURXQG DV D UREEHU LV FRUURERUDWHG E\ SULRU WUDGLWLRQV ZKLFK DOOXGH WR 5HVK /DNLVK¶V ZRUN DV D ³JODGLDWRU´ ʩʠʣʥʬ DQG DUH LPSOLHG LQ 5 $@ UREEHU NQRZV KLV WUDGH ʲʣʩ ʤʩʺʥʩʨʱʬʡ ʤʠʨʱʬ ´ )XUWKHUPRUH :DVVHUVWHLQ DQG /XULD DUJXHG IRU D KHUPHQHXWLF RI FKDULW\ ZLWK UHJDUG WR WKLV REYLRXV HUURU $FFRUGLQJ WR /XULD WKH JHQXLQH WUDGHQW IRU WKLV ³DXWKHQWLF´ WUDGLWLRQ PXVW EH DQ DPRUD ZLWK D VLPLODU QDPH VXFK DV 5 0HQDVKLD E $]DQ RU 5
35( DQG 3VHXGHSLJUDSK\
VFKRODUV XSKHOG WKH WUDGLWLRQ SULPDULO\ RQ WKH EDVLV RI ELRJUDSKLFDO GHWDLOV WKDW FRXOG EH FRQILUPHG LQ RWKHU VRXUFHV $V IRU WKH SUREOHPDWLF DWWULEXWLRQ WKLV VKRXOG QRW EH DQ REVWDFOH WR DFFHSWDQFH RI WKH WUDGLWLRQ DV DXWKHQWLF ERWK DV OLWHUDWXUH DQG DV ELRJUDSK\ ³>:@KDW LV LPSRUWDQW IRU XV KHUH LV QRW WKH DFFXUDF\ RI WKH DWWULEXWLRQ EXW WKH SULQFLSOHV WKDW WKH WUDGLWLRQ HVWDEOLVKHV >DQG DUH FRQILUPHG HOVHZKHUH@ ± OHW WKH WUXH >WUDGHQW@ EH ZKR KH ZLOO EH «´ ,Q WKHLU GHIHQVH RI WKH WUDGLWLRQ WKHUHIRUH QHLWKHU /XULD QRU :DVVHUVWHLQ DGGUHVVHG 35(¶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± QRW D ELRJUDSK\ ± RI 5HVK /DNLVK 35(¶V QDUUDWLYH GRHV QRW VHHN WR UHFRXQW WKH DFWXDO OLIH RI 5HVK /DNLVK 7KH QDUUDWLYH SUHVHQWV DQ LPSRVVLEOH UHSUHVHQWDWLRQ RI HYHQWV WKDW QR WUDGHQW SDUWLFXODUO\ %HQ $]]DL FRXOG NQRZ +RZ FDQ ZH DVVHVV WKH WUXWK RI EHQ $]]DL¶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¶V LQQRYDWLRQ DQG WUDQVIRUPDWLRQ RI UDEELQLF GLVFRXUVH &RQWUDU\ WR WKRVH ZKR GHEDWH WKH DXWKHQWLFLW\ RI WKLV SDVVDJH D FORVHU H[DPLQDWLRQ RI WKH WUDGLWLRQ LQGLFDWHV WKDW WKH QDUUDWLYH RI 5 6LPHRQ E /DNLVK ILWV ZLWK WKH UKHWRULFDO PHVVDJH DQG RUJDQL]DWLRQ RI WKH FKDSWHU 7KH FRQWH[W RI WKH SDVVDJH KDV EHHQ RYHUORRNHG DQG FDQ H[SODLQ WKH ZRUN¶V HQJDJHPHQW ZLWK FODVVLFDO UDEELQLF OLWHUDWXUH LQ ERWK IRUP DQG OLWHUDU\ H[SUHVVLRQ ,Q WKLV BBBBBBBBBBBB :DVVHUVWHLQ ³5HVK /DNLVK´
0LGUDVK DQG 0XOWLSOLFLW\
SDVVDJH 35(¶V H[SRVLWRUV VLWXDWH WKH QDUUDWLYH RI 5 6LPHRQ E /DNLVK ZLWKLQ WKH FRQWH[W RI WKH OLVW RI WKRVH ZKR HPERG\ WKH ³SRZHU RI UHSHQWDQFH´ DSSO\LQJ WKH VWDWHPHQW RI 3LUNH $YRW WKDW ³UHSHQWDQFH DQG JRRG GHHGV DUH D VKLHOG DJDLQVW SXQLVKPHQW´ WR HDFK HSLVRGH DQG D VWDWHPHQW GUDZQ IURP FODVVLFDO UDEELQLF OLWHUDWXUH WKDW ³UHSHQWDQFH FDQ RQO\ RFFXU XQWLO WKH GD\ RI GHDWK´ ZKLFK LV DOVR IRXQG LQ $YRW GH5DEEL 1DWDQ $ 7KH FLWDWLRQ RI WKHVH PRUDO GLFWD GHPRQVWUDWHV WKH FHQWUDOLW\ RI WKH ZRUN¶V WUDQVPLVVLRQ RI WKLV KDJLRJUDSK\ LQ FRQYHUVDWLRQ ZLWK FODVVLFDO UDEELQLF GLVFRXUVH ,I ZH XQGHUVWDQG WKH UHODWLRQVKLS EHWZHHQ WKH WKHPH ZKLFK SURYLGHV D VWUXFWXUH IRU WKH SDVVDJH DQG WKH ZRUN¶V UHFHSWLRQ WUDQVPLVVLRQ DQG WUDQVIRUPDWLRQ RI FODVVLFDO UDEELQLF GLFWD ZH JDLQ D EHWWHU XQGHUVWDQGLQJ RI WKH SODFH RI WKH 5HVK /DNLVK QDUUDWLYH ZLWKLQ WKH ZRUN 35( LV QRW FRQFHUQHG ZLWK ELRJUDSKLFDO DFFXUDF\ DQG DXWKHQWLFLW\ EXW ZLWK LWV LQQRYDWLYH UHIRUPXODWLRQ RI FODVVLFDO UDEELQLF WUDGLWLRQV LQ DFFRUGDQFH ZLWK WKH ZRUN¶V WUDQVPLVVLRQ DQG WUDQVIRUPDWLRQ RI 6FULSWXUDO DQG UDEELQLF GLVFRXUVH $FFRUGLQJO\ WKH QDUUDWLYH RI 5HVK /DNLVK DQG KLV FRPSDQLRQV¶ IDWH DIWHU WKHLU GHDWK UHIOHFWV WKH RYHUDUFKLQJ PHVVDJH RI WKH SDVVDJH DERXW WKH IXWLOLW\ RI UHSHQWDQFH DIWHU GHDWK WKH QDUUDWLYH LV VKDSHG E\ WKH H[SRVLWRUV¶ WKHPDWLF DQG H[SRVLWRU\ LQWHUHVWV DQG QRW DFFXUDWH ELRJUDSKLFDO GHWDLOV $V IRU WKH DWWULEXWLRQ RI WKH WUDGLWLRQ WR %HQ $]]DL ZH FRXOG FRQFXU ZLWK WKH FRQFOXVLRQV RI WKH VFKRODUV DERYH DQG DVVHUW WKDW LW LV EXW RQH H[DPSOH RI WKH ³LJQRUDQFH´ RI WKH H[SRVLWRUV RU IDLOLQJ WKDW D VFULEDO HUURU ,Q WHUPV RI KLVWRULFDO DFFXUDF\ ZH FDQ IUHHO\ DGPLW WKDW 35( LV D SURGXFW RI WKH HDUO\ JHRQLF HUD DQG FDQQRW EH FRQVLGHUHG DQ\WKLQJ RWKHU WKDQ D OLWHUDU\ ZRUN %XW WKH FODLP WKDW 35( LV LQWHQWLRQDOO\ PLVDWWULEXWHG FDQ RQO\ EH EDVHG XSRQ WKH YLHZ WKDW DWWULEXWLRQ UHIOHFWV DXWKRULDO RU ELRJUDSKLFDO WUXWK 2Q WKH FRQWUDU\ WKLV H[DPSOH GHPRQVWUDWHV WKH ZRUN¶V HPSKDVLV XSRQ WKH UHFHSWLRQ WUDQVPLVVLRQ DQG WUDQVIRUPDWLRQ RI UDEELQLF KDJLRJUDSK\ LQ FROODERUDWLRQ ZLWK WKH ZRUN¶V PRGLILFDWLRQ RI UHFHLYHG UDEELQLF WUDGLWLRQV ZLWKLQ WKH ZRUN¶V FKDUDFWHULVWLF VW\OH &RQVHTXHQWO\ ZH VKRXOG YLHZ ERWK WKH KDJLRJUDSK\ DV ZHOO DV WKH DWWULEXWLRQ ZLWKLQ WKH FRQWH[W RI 35(¶V SDUWLFLSDWLRQ LQ UHFHSWLRQ WUDQVPLVVLRQ DQG WUDQVIRUPDWLRQ RI UDEELQLF GLVFRXUVH ± WKDW LV DV VLJQV RI LWV HQJDJHPHQW DQG XVH RI WKH FODVVLFDO UDEELQLF WUDGLWLRQ BBBBBBBBBBBB 6HH P\ GLVFXVVLRQ RI 35(¶V WUDQVPLVVLRQ RI FODVVLFDO UDEELQLF WUDGLWLRQV SDUWLFXODUO\ 3LUNH $YRW LQ WKH QH[W FKDSWHU 7KH SUREOHPV RI WKH FKURQRORJ\ DUH QRW FRQVLGHUHG LQ WKH YHUVLRQ IRXQG LQ
35( DQG 3VHXGHSLJUDSK\
,Q FRQFOXVLRQ LW LV DSSURSULDWH WKDW ZH EULQJ RXU LQYHVWLJDWLRQ RI DXWKRUVKLS DQG DWWULEXWLRQ LQ 35( WR D FORVH E\ IRFXVLQJ RQ D WUDGLWLRQ WKDW H[SOLFLWO\ GHPRQVWUDWHV WKH QHFHVVLW\ WR XQGHUVWDQG WKH LQVWLWXWLRQ RI DWWULEXWLRQ LQ WKH FRQWH[W RI WKH ZRUN¶V OLWHUDU\ H[SUHVVLRQ DQG WUDQVPLVVLRQ RI UDEELQLF WUDGLWLRQV 7KH SUREOHP RI DWWULEXWLRQ DQG DXWKRUVKLS LQ 35( LV DQ LVVXH RI WUDQVPLVVLRQ 7KH ³UHDOLW\´ EHKLQG WKH DWWULEXWLRQ LQ 35( PD\ QRW FRUUHVSRQG WR DQ REMHFWLYHO\ YHULILDEOH JHQHDORJ\ RI WUDGHQWV DQG ZRXOG QRW SURYLGH DQ\ IXUWKHU LQIRUPDWLRQ DERXW WKH ZRUN¶V UHODWLRQVKLS WR FODVVLFDO UDEELQLF OLWHUDWXUH HYHQ LI LW FRXOG EH FRUURERUDWHG E\ WKLV OLWHUDWXUH ,Q WKLV SDVVDJH WKH FRQWHQW FRQWH[W DQG WUDQVPLVVLRQ RI WKH WUDGLWLRQ SURYLGH WKH JXLGHOLQHV IRU WKH ZRUN¶V UHQGHULQJ RI 5 6LPHRQ E /DNLVK¶V ³ELRJUDSK\´ IRU D ZHOO GHILQHG UKHWRULFDO SXUSRVH ZKHUHDV WKH DGGLWLRQ RI EHQ $]]DL GHPRQVWUDWHV WKH ZRUN¶V XVH RI WKH FODVVLFDO OLWHUDU\ IRUP RI DWWULEXWLRQ DV D IUDPH IRU WKLV WUDGLWLRQ &RQVHTXHQWO\ LI ZH UHWXUQ WR WKH GLFWXP WKDW 6DFKD 6WHUQ UDLVHG DERXW DWWULEXWLRQ LQ FODVVLFDO UDEELQLF OLWHUDWXUH ³>$@OO WKRVH ZKR DWWULEXWH D VWDWHPHQW LQ WKH QDPH RI LWV VSHDNHU EULQJ UHGHPSWLRQ LQWR WKH ZRUOG´ ZH PD\ FRPH WR D YHU\ GLIIHUHQW XQGHUVWDQGLQJ RI WKH DWWULEXWLYH RULHQWDWLRQ RI WKH ZRUN &RQWUDU\ WR 6WHUQ ZH ZLOO QRW VD\ WKDW 35(¶V XVH RI WKLV VWDWHPHQW PXVW FRUUHVSRQG WR VKDUHG KLVWRULFDO ILFWLRQV 2Q WKH FRQWUDU\ ZH PD\ VD\ WKDW WKLV VWDWHPHQW LQGLFDWHV WKH LPSRUWDQFH RI WUDQVPLVVLRQ ± WKDW LV DOO WKRVH ZKR DFNQRZOHGJH WKH WUDGLWLRQ WR WKH ZRUN¶V HQJDJHPHQW DQG WUDQVIRUPDWLRQ RI FODVVLFDO DWWULEXWLRQV 7KLV KDV OLWWOH WR GR ZLWK ³KLVWRULFDO´ FRQFHSWLRQV RI WKH DXGLHQFH QRU RI WKH ³ELRJUDSKLFDO´ PHULWV RI LWV H[SRVLWRUV 8OWLPDWHO\ WKLV VWDWHPHQW LQGLFDWHV WKH ZRUN¶V SDUWLFLSDWLRQ LQ WKH OLWHUDU\ FKDUDFWHULVWLFV WKDW DUH UHYHDOHG LQ WKH SHUVRQDOLWLHV DQG ODQJXDJH RI FODVVLFDO UDEELQLF OLWHUDWXUH WKH ³UHGHPSWLRQ´ EURXJKW LQ WKH QDPH RI D VSHDNHU UHSUHVHQWV WKH FRQWLQXLW\ RI WKH OLWHUDU\ WUDGLWLRQ RI DWWULEXWLRQ DQG QRW QHFHVVDULO\ D SUHVXPHG FODLP WR ELURJUDSKLFDO RU KLVWRULFDO WUXWK ,Q VXP 35( GRHV QRW QHFHVVDULO\ ³XQGHUPLQH´ WKH DXWKRULWDWLYH ODQJXDJH RI DXWKRUVKLS DWWULEXWLRQ RU ELRJUDSK\ LW VKRXOG EH FOHDU WKDW 35( LV QRW D ZRUN RI SVHXGHSLJUDSK\ 5DWKHU ZH PXVW XQGHUVWDQG DWWULEXWLRQ ZLWKLQ WKH FRQWH[W RI WKH ZRUN¶V WUDQVPLVVLRQ DQG WUDQVIRUPDWLRQ RI WKH ODQJXDJH RI DWWULEXWLRQ ± D IRUP RI WUDGLWLRQ WKDW GHSHQGV HTXDOO\ XSRQ WKH FRQWH[W RI H[SRVLWLRQ DQG WKH WUDQVPLVVLRQ RI WKRVH WUDGLWLRQV $V KDV EHHQ GHPRQVWUDWHG LQ WKLV H[DPSOH 35(¶V XVH RI DWWULEXWLYH IRUPV RQO\ RFFXUV ZLWKLQ WKH FRQWH[W RI WKH WUDQVPLVVLRQ RI UDEELQLF GLVFRXUVH WKH OLIH RI 5HVK /DNLVK LV D IDFHW RI WKH ZRUN¶V OLWHUDU\ IRUPXODWLRQV DQG H[SRVLWLRQV RI UDEELQLF DQG 6FULSWXUDO WUDGLWLRQV &RQVHTXHQWO\ ZH FDQ RQO\ QHJRWLDWH WKH ZRUN¶V XVH RI DXWKRULWDWLYH DWWULEXWLRQV ZLWKLQ WKH FRQWH[W RI WKHVH OLWHUDU\ IRUPXODWLRQV ZKLFK UHSUHVHQW
0LGUDVK DQG 0XOWLSOLFLW\
35(¶V ³WUDQVPLVVLRQ´ RI DXWKRULWDWLYH UDEELQLF GLVFRXUVH :H FDQ OHDUQ DERXW 35(¶V UHODWLRQVKLS WR WKH UDEELQLF WUDGLWLRQ YLD WKHVH IRUPV RI DWWULEXWLRQ )XUWKHUPRUH ZH PD\ GLVFHUQ WKH GHYHORSPHQW RI WKH LQVWLWXWLRQ RI DXWKRUVKLS DQG DWWULEXWLRQ GXULQJ WKLV HUD DQG ZLWQHVV WKH ZRUN¶V GHYHORSPHQW ZLWKLQ WKH KLVWRU\ RI UDEELQLF LQWHUSUHWDWLRQ
35( DQG 3VHXGHSLJUDSK\
$SSHQGL[ *HRQLF +HEUHZ DQG 3VHXGHSLJUDSK\ $Q DGGLWLRQDO FRQFHUQ WKDW VFKRODUV KDYH UDLVHG LQ UHJDUG WR WKH ZRUN¶V SRVVLEOH GXSOLFLWRXV UHODWLRQVKLS WR FODVVLFDO UDEELQLF OLWHUDWXUH LV WKH H[SRVLWRUV¶ FKRLFH RI +HEUHZ DV WKH H[FOXVLYH ODQJXDJH RI H[SRVLWLRQ $FFRUGLQJ WR -DFRE (OEDXP +HEUHZ LV WKH GRPLQDQW IRUP RI H[SRVLWLRQ IRU 35( EHFDXVH WKH H[SRVLWRUV VRXJKW WR DQWHGDWH WKH ZRUN WR WKH WDQQDLWLF HUD ZKHQ +HEUHZ DQG QRW $UDPDLF ZDV WKH ODQJXDJH RI H[SRVLWLRQ (OEDXP DUJXHG WKDW WKH H[SRVLWRUV LQWHQWLRQDOO\ VRXJKW WR LQFRUSRUDWH ³µVLJQV RI DQWLTXLW\¶ « VXFK DV D PL[WXUH RI +HEUHZ DQG $UDPDLF LQFOXVLRQ RI *UHHN WHUPV RQ WKH RQH KDQG DQG WR HPXODWH WKH ODQJXDJH RI WKH HDUO\ WDQQDLP LQ D ³WUDQVLWLRQ WR D µSXUH¶ +HEUHZ´ (OEDXP GLG QRW DFFHSW WKH FRQFOXVLRQV RI =XQ] ZKR KDG DUJXHG WKDW FKDUDFWHULVWLF H[SUHVVLRQV WKURXJKRXW 35( DUH WHOOWDOH VLJQV RI WKH ZRUN¶V ODWH FRPSRVLWLRQ ,Q KLV VWXG\ =XQ] RIIHUHG VL[ H[SUHVVLRQV WKDW SXUSRUWHGO\ RULJLQDWH LQ JHRQLF OLWHUDWXUH DQG WKUHH H[DPSOHV RI *UHHN DQG /DWLQ WHUPV %RWK =XQ] DQG (OEDXP KRZHYHU YLHZHG FKRLFH RI ODQJXDJH WR EH D FHQWUDO FRPSRQHQW RI WKH ZRUN¶V LGHQWLW\ ZLWKLQ WKH UDEELQLF FDQRQ &RQWUDU\ WR ERWK =XQ] DQG (OEDXP KRZHYHU 35(¶V ³SVHXGHSLJUDSK\´ SXUSRUWHGO\ IRXQG LQ LWV XVH RI IRUHLJQ ODQJXDJHV LV OLPLWHG E\ WKH HYLGHQFH ,Q DFWXDOLW\ RQO\ D IHZ ZRUGV LQ *UHHN RU /DWLQ DQG HYHQ IHZHU LQ $UDPDLF DUH IRXQG LQ 35( )XUWKHUPRUH QRQH RI WKH ³JHRQLF SKUDVHV´ DUH LQ $UDPDLF QRU DUH WKHUH PDQ\ *UHHN DQG /DWLQ ³ORDQ´ ZRUGV LQ 35( LQ WKH PDQXVFULSW BBBBBBBBBBBB (OEDXP ³2Q WKH 1DWXUH´ =XQ] DQG =XQ]$OEHFN =XQ] DUJXHG WKDW 35(¶V H[SRVLWRU\ H[SUHVVLRQ KLJKOLJKWV WKH WUDQVIRUPDWLRQ RI WHFKQLFDO ODQJXDJH WKDW RFFXUUHG GXULQJ WKH JHRQLF HUD ZKLOH WKH ZRUN¶V XVH RI *UHHN ZRUGV UHLQIRUFHG WKH ZRUN¶V 3DOHVWLQLDQ SODFH RI RULJLQ 6HH =XQ] QRWH H DQG DQG =XQ]$OEHFN DQG QRWH =XQ] DW WKH HQG RI QRWH H DQG =XQ]$OEHFN DW WKH HQG RI QRWH =XQ] LGHQWLILHG WKH IROORZLQJ LQ FKDSWHU WKUHH ʱʥʷʸʥʷ ZKLFK LV KHOG WR EH țȓȡțȠȢ LQ *UHHN LQ FKDSWHU WZHQW\WKUHHʺʥʩʰʨʴʠ ZKLFK LV KHOG WR EH SXWHDQD LQ /DWLQ DQG LQ FKDSWHU IRUW\RQH ʭʣʰʨ ZKLFK LV KHOG WR EH IJȑȞįĮ LQ *UHHN 7KHVH ODVW WZR ZRUGV RFFXU ZLWK YDULDQW VSHOOLQJV ZLWKLQ WKH PDQXVFULSW WUDGLWLRQ DQG DSSHDU WR EH KDSD[ OHJRPHQD ZLWKLQ UDEELQLF OLWHUDWXUH 7KH JHRQLF SKUDVHV WKDW =XQ] LGHQWLILHG DUH ʤʠʸʥ ʠʡ ʭʩʮʫʧ ʥʸʮʠ ʯʠʫʮ ʪʬ ʲʣʺ ʤʩʧʮ ʭʤʬ ʯʩʠʹ 7KH PDMRULW\ RI $UDPDLF ZRUGV DQG SKUDVHV WKDW DUH IRXQG LQ RXU PDQXVFULSW ± VXFK WKRVH LQ FKDSWHU WKLUW\ ILYHʠʸʥʤʰ ʩʥʤ ʳʬʠʫ ʠʥʤ ʤʩʰʩʰʮ ʠʮʥʩ ʩʥʸʺʡ LQ FKDSWHU WKLUW\ VHYHQ ʯʠʮʮ ʬʩʧʣ ʩʥʤ ʬʩʧʣ ʠʬʣ DQG LQ FKDSWHU IRUW\WKUHH ʯʩʩʣ ʺʩʠʥ ʯʩʣ ʺʩʠ ± DUH QRW DWWHVWHG LQ RWKHU PDQXVFULSW WUDGLWLRQV ZLWK WKH H[FHSWLRQ RI WKH SKUDVH LQ FKDSWHU WKLUW\IRXU ʨʬʴʺ ʤʩʣʩʷʴʺ ʠʲʸʠ ZKLFK VKRZV WKDW WKHUH DUH RQO\ RQH RU WZR $UDPDLF ZRUGV ZLWKLQ WKH 35( WUDGLWLRQ ,Q FRQWH[W WKHVH SKUDVHV DSSHDU WR EH VFULEDO FRPPHQWDU\
0LGUDVK DQG 0XOWLSOLFLW\
WUDGLWLRQ 7KH OLPLWHG H[WHQW RI 35(¶V XVDJH RI *UHHN DQG /DWLQ LV W\SLFDO RI UDEELQLF OLWHUDWXUH DQG GRHV QRW DSSHDU WR EH D SURPLQHQW OHW DORQH LQWHQWLRQDO IHDWXUH RI WKH ZRUN ,I WKHVH H[HPSOD DUH VR UDUH ZH FDQQRW XQGHUVWDQG WKHVH IHZ H[DPSOHV DV LQGLFDWLQJ WKH XVH RI WKH ³DQFLHQW´ ODQJXDJHV RI *UHHN DQG /DWLQ GHFHSWLYHO\ 7KH GHFHSWLYH XVH RI DQFLHQW ODQJXDJHV DVLGH VFKRODUV KDYH DOVR DUJXHG WKDW 35(¶V DOPRVW H[FOXVLYH XVH RI +HEUHZ LV D VWURQJ DUJXPHQW IRU LWV SVHXGHSLJUDSKLFDO LQWHQW $V DUJXHG E\ (OEDXP 35(¶V QHDUH[FOXVLYH XVH RI +HEUHZ LV XQXVXDO DQG UHIOHFWV DQ DWWHPSW WR DQWHGDWH WKH ZRUN WR WKH WDQQDLWLF HUD ZLWK WKH DVVXPSWLRQ WKDW WKH H[SRVLWRUV LJQRUHG WKH SUHYDOHQFH RI $UDPDLF GXULQJ WKLV WLPH ,Q WKH IRUPXODWLRQ RI KLV DUJXPHQW (OEDXP DSSHDUV WR EH UHVSRQGLQJ WR 5 'DYLG /XULD ZKR EHOLHYHG 35( ZDV WDQQDLWLF DQG DUJXHG WKDW 35(¶V ODQJXDJH GHPRQVWUDWHV D OLQJXLVWLF ³SXULW\´ WKDW OLQNHG 35( WR WKH 0LVKQD ,Q FRQWUDVW (OEDXP VXJJHVWHG WKDW 35( ZRXOG UHIOHFW WKH OLQJXLVWLF WHQRU RI WKH JHRQLF HUD PRUH DFFXUDWHO\ LI WKH ZRUN KDG D JUHDWHU SUHVHQFH RI $UDPDLF $V (OEDXP QRWHG WKHUH DUH YHU\ IHZ DWWHVWDWLRQV RI $UDPDLF ZLWKLQ 35( DQG PDQ\ RI WKHVH H[SUHVVLRQV DUH QRW VXSSRUWHG ZLWKLQ WKH PDQXVFULSW WUDGLWLRQ $FFRUGLQJO\ (OEDXP RXWOLQHV WKH GLIILFXOW\ RI ODQJXDJH DV D SUREOHP ZKLFK HQFRPSDVVHV WKH HQWLUH ZRUN DQG LV WHOOLQJ DV WR BBBBBBBBBBBB 7KH IROORZLQJ DGGLWLRQDO µORDQ¶ ZRUGV DUH IRXQG LQ RXU PDQXVFULSW LQ FKDSWHU IRUW\IRXU ʯʩʨʩʣʰʥʷ ZKLFK LV țȠȞįȓIJȠȞ LQ *UHHN DQG FRQGLWXP LQ /DWLQ LQ FKDSWHU IRUW\VL[ ʯʥʰʩʸʩʰʴʱ ZKLFK LV ȗĮijİȚȡȑȞȚȠȞ LQ *UHHN LQ FKDSWHU IRUW\VHYHQ ʠʩʱʤʸʴ ZKLFK LV ʌĮȡȡȘıȓĮ LQ *UHHN DQG LQ FKDSWHU ILIW\ ʤʨʩʰʥʮ ZKLFK LV PRQHWD LQ /DWLQ $Q H[DPSOH RI WKLV PD\ EH GHULYHG IURP WKLV WUDGLWLRQ DERXW WKH GHVFHQW RI WKH DQJHOV DW 6LQDL LI WKLV VW\OLVWLF IHDWXUH ZDV D GRPLQDQW DWWULEXWH RI WKH H[SRVLWRU¶V µLQWHQWLRQDO¶ XVH RI *UHHN DQG /DWLQ VXUHO\ KH ZRXOG KDYH FKRVHQ WR DQWHGDWH KLV GHVFULSWLRQ RI WKH VHFRQG LWHP ZLWK D *UHHN WHUP OLNH WKH 7DQKXPD WUDGLWLRQ 2Q WKH FRQWUDU\ WKH H[SRVLWLRQ RI WKH VHFRQG LWHP LQ WKDW SDVVDJH LV µIDYRUHG¶ RYHU WKH FKRLFH RI ODQJXDJH /XULD 3LUNH E (OEDXP XWLOL]HG WKH /XULD HGLWLRQ LQ KLV DVVHVVPHQW RI 35( DQG KLV XVH RI WKH VDPH WHUP ³SXULW\´ WR GHVFULEH WKH ZRUN¶V XVH RI +HEUHZ LQGLFDWHV KLV GHEW WR /XULD 6HH (OEDXP ³5KHWRULF´ ,Q WKLV SDVVDJH (OEDXP DGPLWV WKDW 35( LV H[FHSWLRQDO E\ WKH PHDVXUH RI KLV RZQ FDWHJRUL]DWLRQV RI /DWH 0LGUDVK EXW DJDLQ DWWULEXWHV WKLV WR WKH DXWKRU¶V FKRLFH RI ³UKHWRULFDO´ ODQJXDJH 7KHUH LV DOVR QR DSSDUHQW UHIHUHQFH WR $UDELF WKDW RQH ZRXOG DVVXPH ZRXOG EH SUHYDOHQW LI WKH ZRUN ZDV ZULWWHQ XQGHU ,VODPLF UXOH 7KLV IDFW LQ LWVHOI LV VLJQLILFDQW ZKHQ ZH FRQVLGHU WKH FXOWXUDO FRQWH[W RI WKH ZRUN KHUH DQG EHORZ 7KH UHDVRQLQJ WKDW FDQ IROORZ IURP WKLV IDFW FDQ JR LQ RQH RI WZR GLUHFWLRQV ILUVW WKDW WKH ZRUN ZDV QRW ZULWWHQ LQ DQ ,VODPLF PLOLHX ZKLFK LV SRVVLEOH EXW XQOLNHO\ FRQFOXVLRQ RU VHFRQG WKDW WKH H[SRVLWRUV¶ ³FKRLFH´ RI ODQJXDJH KDV D GHILQLWLYH OLWHUDU\ RU KHUPHQHXWLF SXUSRVH 0\ LQFOLQDWLRQ DV LQGLFDWHG LQ WKLV VHFWLRQ LV WR LQFOLQH WRZDUGV WKH ODWWHU FRQFOXVLRQ SDUWLFXODUO\ ZKHQ ZH PXVW DGPLW WKH UHODWLYH SRYHUW\ RI $UDPDLF ZLWKLQ WKH ZRUN DV ZHOO
35( DQG 3VHXGHSLJUDSK\
DXWKRULDO PRWLYH SULPDULO\ EHFDXVH KH GLG QRW ORFDWH DQ\ SDVVDJHV ZKLFK PLJKW LQGLFDWH WKH ³UDWLRQDOH´ EHKLQG WKH H[SRVLWRUV¶ ³FKRLFH´ RI ODQJXDJH 35( KRZHYHU GRHV SURYLGH WZR SDVVDJHV LQ ZKLFK D UHIHUHQFH WR WKH ³$UDPDLF ODQJXDJH´ FDQ FODULI\ WKLV ³FKRLFH´ RI +HEUHZ DV D SULPDU\ ODQJXDJH 7KH ILUVW SDVVDJH RFFXUV LQ FKDSWHU WZHQW\HLJKW LQ WKH ZRUN¶V GLVFXVVLRQ RI $EUDKDP¶V VHYHQWK WULDO WKH YLVLRQ ³EHWZHHQ WKH SLHFHV´ LQ ZKLFK WKH IRXU RSSUHVVLYH NLQJGRPV DUH UHYHDOHG WR $EUDKDP 5 (OLH]HU VDLG ³7KH +RO\ 2QH EOHVVHG EH +H UHYHDOHG WR $EUDKDP RXU IDWKHU IRXU NLQJGRPV EHWZHHQ WKH SLHFHV WKHLU GRPLQLRQ DQG GHVWUXFWLRQ DV 6FULSWXUH VWDWHV µ$QG +H VDLG WR KLP ³7DNH IRU PH D WKUHH \HDU ROG KHLIHU >D WKUHH \HDU ROG JRDW D WKUHH \HDU ROG UDP D GRYH ʸʥʺ DQG D SLJHRQ@ *HQ µ$ KHLIHU¶ WKLV LV WKH NLQJGRP RI (GRP WKDW LW LV OLNH WKH µKHLIHU RI D VKHHS¶ -HU µ$ WKUHH \HDU ROG JRDW¶ WKLV LV WKH NLQJGRP RI *UHHFH DV 6FULSWXUH VWDWHV µ$QG WKH JRDW PDJQLILHG KLPVHOI PDJQLILFHQWO\¶ 'DQ µ$ WKUHH \HDU ROG UDP¶ WKHVH DUH WKH NLQJGRPV RI 0HGLD DQG 3HUVLD DV 6FULSWXUH VWDWHV µ7KH UDP WKDW \RX VDZ ZLWK WZR KRUQV LV WKH NLQJGRPV RI 0HGLD DQG 3HUVLD¶ 'DQ µ$ GRYH ʸʥʺ ¶ WKLV LV WKH FKLOGUHQ RI ,VKPDHO 7KLV ZRUG LV QRW VSRNHQ LQ WKH ODQJXDJH RI WKH 7RUDK EXW LQ WKH $UDPDLF ODQJXDJH LQ ZKLFK WKH ZRUG 'RYH ʸʥʺ LV %XOO ʸʥʹ >LQ +HEUHZ ʸʥʺ LQ $UDPDLF@ :RH XQWR WKH ODQG ZKHUH WKH PDOH EXOO LV \RNHG ZLWK WKH IHPDOH EXOO DQG WKH\ RSHQ DQG SORZ WKH ODQG DV 6FULSWXUH VWDWHV µ7KH IRXUWK EHDVW ZLOO EH D IRXUWK NLQJGRP XSRQ WKH HDUWK WKDW ZLOO EH GLIIHUHQW IURP DOO NLQJGRPV DQG ZLOO GHYRXU DOO RI WKH HDUWK ZLOO WUHDG XSRQ LW DQG EUHDN LW LQWR SLHFHV¶ 'DQ µ$QG D SLJHRQ¶ WKLV LV ,VUDHO ZKR KDV EHHQ FRPSDUHG WR D SLJHRQ DV 6FULSWXUH VWDWHV µP\ GRYH \RX DUH LQ WKH FOHIWV RI WKH URFN « IRU \RXU YRLFH LV VZHHW DQG \RXU FRXQWHQDQFH LV EHDXWLIXO¶ 6RQJ ± >WKLV PHDQV@ \RXU YRLFH LV VZHHW LQ SUD\HU DQG \RXU FRXQWHQDQFH LV EHDXWLIXO LQ JRRG GHHGV $QRWKHU LQWHUSUHWDWLRQ µ$QG D SLJHRQ¶ WKLV LV ,VUDHO DV 6FULSWXUH VWDWHV µP\ GRYH P\ XQGHILOHG LV RQH¶´6RQJ
7KLV SDVVDJH UHFDOOV D SUHYDOHQW WRSLF LQ UDEELQLF OLWHUDWXUH WKH SDWULDUFK ZKR IRUHVHHV WKH IRXU RSSUHVVLYH NLQJGRPV WKDW SUHFHGH WKH FRPLQJ RI WKH PHVVLDK ,Q WKH DSSOLFDWLRQ E\ 35(¶V H[SRVLWRUV RI *HQ WR WKH ³FKLOGUHQ RI ,VKPDHO´ KRZHYHU WKH SDVVDJH FRQWDLQV WKH SKUDVH ³7KLV ZRUG LV QRW VSRNHQ LQ WKH ODQJXDJH RI WKH 7RUDK EXW LQ WKH $UDPDLF ODQJXDJH µ'RYH¶ LV µ%XOO¶ ʸʥʹʤ ʤʦ ʸʥʺ ʺʩʮʸʠ ʯʥʹʬʡ ʠʬʠ ʤʸʥʺ ʯʥʹʬʡ ʤʦ ʯʥʹʬ ʸʮʠʰ ʠʬ ´ 7KLV SKUDVH BBBBBBBBBBBB *RWWOLHE LGHQWLILHG WKH SKUDVH µRSHQ DQG SORZ¶ ZLWK ,VD 6HH WKH SDUDOOHO IRU WKLV SDVVDJH LQ
0LGUDVK DQG 0XOWLSOLFLW\
UHIOHFWV DQ H[SRVLWRU\ VWUDWHJ\ LQ ZKLFK WKH H[SRVLWRUV WUDQVIRUP WKH PHDQLQJ RI WKH YHUVH WKURXJK DQ XQGHUVWDQGLQJ RI ³WKH ODQJXDJH RI WKH 7RUDK´ +HEUHZ DV $UDPDLF ,Q WKLV H[HJHWLFDO PRYH WKH H[SRVLWRUV UHLQWHUSUHW WKH ZRUG 7RU ʸʥʺ LQ RUGHU WR MX[WDSRVH 'DQLHO¶V IRXU µEHDVWV¶ ZKLFK VLJQLI\ WKH IRXU NLQJGRPV DORQJVLGH $EUDKDP¶V YLVLRQ RI WKH IRXU GLIIHUHQW DQLPDOV ZKLFK DOVR VLJQLI\ WKH IRXU NLQJGRPV 7KXV WKH H[SRVLWRUV FRUUHODWH WKH IRXUWK µEHDVW¶ IURP WKH ERRN RI 'DQLHO ZLWK WKH +HEUHZ ZRUG 7XU IURP *HQ 7KH SDVVDJH LV D VLJQLILFDQW PRPHQW RI UHIOHFWLRQ XSRQ WKH UHODWLRQVKLS EHWZHHQ WKH ODQJXDJHV RI H[SRVLWLRQ DQG SURYLGHV D EDVLV WR XQGHUVWDQG WKH H[SRVLWRUV¶ YLHZ RI ODQJXDJH +HEUHZ LQ WKLV FDVH LV QRW XQGHUVWRRG E\ WKH H[SRVLWRUV DV D ODQJXDJH ZKLFK LV FORVH WR WKDW RI WKH 0LVKQD DQG RWKHU FODVVLFDO UDEELQLF ZRUNV 2Q WKH FRQWUDU\ WKH H[SRVLWRUV VSHDN RI +HEUHZ¶V LQWLPDF\ ZLWK WKH ³ODQJXDJH RI WKH 7RUDK´ ± D VWDWHPHQW ZKLFK LQGLFDWHV WKH OLWHUDWXUH ZKLFK LV WKH SULPDU\ LQVSLUDWLRQ RI WKH H[SRVLWRUV ,QWHUSUHWDWLRQ E\ PHDQV RI WUDQVODWLRQ RI WKH +HEUHZ SRUWLRQV RI 6FULSWXUH LQWR µIRUHLJQ¶ ODQJXDJHV LV UDUH LQ FODVVLFDO UDEELQLF OLWHUDWXUH DQG RQO\ EHFDPH PRUH FRPPRQ GXULQJ WKH ODWH PHGLHYDO HUD %DE\ORQLDQ 7DOPXG %DED %DWKUD D FRQWDLQV D VLPLODU W\SH RI H[SRVLWLRQ LQ ZKLFK WKH %DE\ORQLDQ DPRUD 8OOD XQGHUVWRRG WKH YHUVH LQ +RV WR EH ZULWWHQ ³LQ WKH $UDPDLF ODQJXDJH´ ʸʮʠʰ ʺʩʮʸʠ ʯʥʹʬ ʤʦ ʷʥʱʴ 35(¶V VXGGHQ VKLIW WR H[SRVLWLRQ LQ $UDPDLF LV PRUH UHPDUNDEOH KRZHYHU JLYHQ WKH YHU\ PLQLPDO XVDJH RI $UDPDLF ZLWKLQ WKH ZRUN )XUWKHUPRUH WKH H[SRVLWLRQ LQ 35( GLIIHUV IURP WKDW RI WKH %DE\ORQLDQ 7DOPXG EHFDXVH 35(¶V H[SRVLWRUV DOVR H[SODLQ WKH PHDQLQJ RI WKH $UDPDLF WHUP LQ +HEUHZ TXDOLI\LQJ WKH ODWWHU ODQJXDJH ZLWK WKH H[SUHVVLRQ ³WKH ODQJXDJH RI WKH 7RUDK´ 7KLV H[SRVLWRU\ WDFWLF XQGHUVFRUHV WKH GLVWDQFH RI WKH ZRUN IURP $UDPDLF DV ZHOO DV WKH ZRUN¶V DWWHPSW WR VHH +HEUHZ DV D UHIOHFWLRQ RI WKH OLQJXLVWLF ODQGVFDSH RI 6FULSWXUH 7KH JUHDWHU JRDO LV WR DVVRFLDWH WKH ODQJXDJH RI WKH ZRUN ZLWK 6FULSWXUDO DQG QRW HDUO\ UDEELQLF ODQJXDJH ,Q WKLV H[DPSOH ZH VHH WKDW 35(¶V H[SRVLWRUV H[KLELW PLQLPDO XVH RI $UDPDLF DV \RX PLJKW H[SHFW RI DQ\ UDEELQLF LQWHUSUHWHU 7KLV LV QRW SUREOHPDWLF EHFDXVH $UDPDLF LV QRW DVVXPHG WR EH D ODQJXDJH WKDW LV QDWXUDOO\ DVVRFLDWHG ZLWK 6FULSWXUH BBBBBBBBBBBB 2I FRXUVH LI WKH DQDORJ\ LV FDUULHG WRR IDU WKH µEHDVWV¶ RI 'DQLHO GR QRW FRUUHODWH ZHOO ZLWK WKH DQLPDOV RI $EUDKDP¶V YLVLRQ 5DEELQLF OLWHUDWXUH FKDUDFWHULVWLFDOO\ LQWHUSUHWV WKH ERRN RI 'DQLHO LQ UHIHUHQFH WR WKH IRXU NLQJGRPV 6HH IRU H[DPSOH 5DVKL¶V UHIHUHQFHV WR ZRUGV ³ʦʲʬʡ´ ,W VKRXOG QRW EH VXUSULVLQJ WKDW DQ\RQH ZKR LV IDPLOLDU ZLWK WKH +HEUHZ %LEOH LQ WKH RULJLQDO VKRXOG NQRZ VRPH $UDPDLF $IWHU DOO VHFWLRQV RI 'DQLHO DQG (]UD DUH ZULWWHQ LQ %LEOLFDO $UDPDLF
35( DQG 3VHXGHSLJUDSK\
7KLV UDWLRQDOH IRU WKH H[SRVLWRUV¶ ³SUHIHUHQFH´ IRU +HEUHZ RYHU $UDPDLF LV IXUWKHU GHPRQVWUDWHG LQ WKH ZRUN¶V VHFRQG UHIHUHQFH WR WKH ³$UDPDLF ODQJXDJH´ ZKLFK DOVR XQGHUVFRUHV WKDW +HEUHZ LV QRW DQ DUWLILFLDO FKRLFH RI ODQJXDJH ,Q FKDSWHU WKLUW\WZR WKH SKUDVH ³WKH $UDPDLF ODQJXDJH´ RFFXUV DJDLQ ZLWKLQ DQ HQXPHUDWLRQ RI WKH ³VL[ ZKR ZHUH FDOOHG E\ WKHLU QDPH EHIRUH WKH\ ZHUH ERUQ´ 6L[ ZHUH FDOOHG E\ WKHLU QDPH EHIRUH WKH\ ZHUH ERUQ DQG WKH\ DUH ,VKPDHO ,VDDF 0RVHV 6RORPRQ -RVLDK DQG WKH .LQJ 0HVVLDK « 6RORPRQ ZKHUH LQ 6FULSWXUH LV WKLV IRXQG" 6FULSWXUH VWDWHV ³%HKROG D VRQ ZLOO EH ERUQ WR \RX DQG KH ZLOO EH >D PDQ RI UHVW DQG , ZLOO JLYH KLP UHVW IURP DOO RI KLV HQHPLHV DURXQG KLP@ IRU 6RORPRQ ʤʮʬʹ ZLOO EH KLV QDPH DQG , ZLOO JLYH SHDFH DQG VLOHQFH ʨʷʹʥ ʭʥʬʹ WR ,VUDHO LQ KLV GD\V´ , &KU %XW ZK\ ZDV KLV QDPH FDOOHG 6RORPRQ" +H ZDV FDOOHG 6RORPRQ LQ WKH $UDPDLF /DQJXDJH ʯʥʹʬʡ ʤʮʬʹ ʥʮʹ ʠʸʷʰ ʺʩʮʸʠ EHFDXVH ³, ZLOO JLYH SHDFH DQG VLOHQFH WR ,VUDHO LQ KLV GD\V´
7KH WUDGLWLRQ RI 6RORPRQ DV RQH RI WKH 6FULSWXUDO ILJXUHV ZKR ZHUH JLYHQ WKHLU QDPHV EHIRUH WKH\ ZHUH ERUQ LV D ZHOO HVWDEOLVKHG WURSH RI UDEELQLF OLWHUDWXUH HYHQ LI VHYHUDO HDUOLHU ZRUNV GR QRW HQXPHUDWH DV PDQ\ RI WKHVH ILJXUHV DV 35( GRHV &RQWUDU\ WR WKH H[SODQDWLRQV RI 6RORPRQ¶V QDPH WKDW DUH IRXQG LQ RWKHU ZRUNV 35(¶V PDQXVFULSW WUDGLWLRQ FRQWDLQV D VWURQJ WHVWLPRQ\ WR D SHFXOLDU H[SODQDWLRQ RI 6RORPRQ¶V QDPH $V VWDWHG WKH ZRUN FODLPV WKDW 6RORPRQ¶V QDPH LV LQ $UDPDLF DQG WKDW , &KU FODULILHV WKH SXUSRUWHG ³GLIIHUHQFH´ EHWZHHQ DQ $UDPDLF DQG D +HEUHZ H[SODQDWLRQ 1RQHWKHOHVV WKHUH LV QR JUDPPDWLFDO OLQJXLVWLF RU HYHQ FRQWH[WXDO UHDVRQ ZK\ WKH ZRUG ʤʮʬʹ VKRXOG EH XQGHUVWRRG DV DQ $UDPDLF ZRUG &RQFHUQLQJ WKLV SDVVDJH *HUDOG )ULHGODQGHU VWDWHG WKDW ³>W@KH QDPH ʤʮʬʹ 6RORPRQ LV FRQQHFWHG ZLWK ʭʥʬʹ SHDFH « 7KH $UDPDLF 6K¶ODPD SHDFH LV VRPHZKDW VLPLODU WR WKH +HEUHZ QDPH 6K¶ORPRK 6RORPRQ ´ )ULHGODQGHU¶V H[SODQDWLRQ KRZHYHU BBBBBBBBBBBB 0HNKLOWD %R DQG *HQHVLV 5DEED QDPH ,VDDF 6RORPRQ DQG -RVLDK WKH 3DOHVWLQLDQ 7DOPXG %HUDNKRW D QDPHV ,VDDF ,VKPDHO 6RORPRQ DQG -RVLDK WKH 0LGUDVK +DVHURW 9¶
0LGUDVK DQG 0XOWLSOLFLW\
HOLGHG WKH FRQWUDGLFWLRQ LQ WKH ZRUN¶V H[SRVLWLRQ +H DUJXHG IRU VLPLODULWLHV EHWZHHQ WKH $UDPDLF ZRUG IRU SHDFH ʠʮʬʹ WKH +HEUHZ ZRUG IRU SHDFH ʭʥʬʹ DQG 6RORPRQ¶V QDPH ʤʮʬʹ 7KHUH LV KRZHYHU QR LQGLFDWLRQ WKDW WKH ZRUG KDV D GLIIHUHQW PHDQLQJ LQ $UDPDLF WKDQ LW GRHV LQ +HEUHZ QRU GRHV WKLV SKUDVH DLG DQ H[SRVLWLRQ RI WKH YHUVH $Q\ DVVXPSWLRQ WKDW $UDPDLF LV WKH QDWXUDO ODQJXDJH RI 35( FDQQRW EH PDLQWDLQHG VLQFH WKH LQFRKHUHQFH RI WKLV H[DPSOH LQWURGXFHV WKH SRVVLELOLW\ WKDW XVH RU HYHQ XQGHUVWDQGLQJ RI $UDPDLF FDQQRW EH FHQWUDO WR WKH LGHQWLW\ RI WKH ZRUN $V , KDYH LQGLFDWHG LQ WKH H[DPSOH DERYH WKH XVH RI +HEUHZ GRHV QRW KDYH WR LQGLFDWH DQ DXWKRU¶V ³IRUJHU\´ RI 0LVKQDLF ODQJXDJH 2Q WKH FRQWUDU\ WKLV FRUUXSWHG H[SRVLWLRQ GHPRQVWUDWHV WKDW WKH ZRUN¶V RULHQWDWLRQ WRZDUGV +HEUHZ UHSUHVHQWV WKH ZRUN¶V LQWLPDF\ ZLWK WKH ODQJXDJH RI WKH 7RUDK ZKLFK LV LGHQWLILHG DV WKH WUXH LQVSLUDWLRQ IRU WKH ZRUN¶V XVH RI +HEUHZ ,Q KLV H[SODQDWLRQ RI WKH H[SRVLWRUV¶ XVH RI ODQJXDJH PHQWLRQHG DERYH /XULD VXJJHVWHG WKDW WKH SUHGRPLQDQFH RI +HEUHZ LQGLFDWHG WKH ZRUN¶V UHODWLRQVKLS WR ³WKH ODQJXDJH RI WKH 0LVKQD´ ,Q KLV GLVFXVVLRQ RI WKH ZRUN¶V UHODWLRQVKLS WR +HEUHZ /XULD DOVR DUJXHG WKDW WKLV VW\OLVWLF IHDWXUH LV GHULYHG IURP WKH ZRUN¶V UHODWLRQVKLS WR WKH ODQJXDJH RI 6FULSWXUH $OWKRXJK KLV DUJXPHQW VSULQJV IURP WKH GHVLUH WR DVVRFLDWH WKH ODQJXDJH RI WKH WH[W ZLWK WKH WDQQDLWLF HUD /XULD¶V ODWWHU UHPDUN PD\ EH PRUH OLNHO\ DQG JXLGH XV WRZDUGV WKH IDFW WKDW 35(¶V LQWLPDF\ ZLWK +HEUHZ GHPRQVWUDWHV WKH ZRUN¶V HQJDJHPHQW ZLWK WKH ³ODQJXDJH RI WKH 7RUDK´ 7KLV RULHQWDWLRQ WRZDUGV WKH ODQJXDJH RI 6FULSWXUH KRZHYHU LV QRW D SURGXFW RI WKH ZRUN¶V VWUXFWXUDO DIILQLW\ ZLWK WKH PRGHO RI WKH ³5HZULWWHQ %LEOH´ DV D VRXOOHVV ³LPLWDWLRQ RI YDULRXV HOHPHQWV XQIRUWXQDWHO\ GLVFUHSDQW RI 3HQWDWHXFKDO VW\OH « >DQG@ GHOLEHUDWH LPLWDWLRQ´ 2Q WKH FRQWUDU\ ZH FDQ XQGHUVWDQG WKH ³SXULW\´ RI 35(¶V ODQJXDJH QRW RQO\ LQ WKH VHQVH WKDW WKH ZRUN GRHV QRW DVVXPH WKDW $UDPDLF VKRXOG EH D QDWXUDO ODQJXDJH IRU 6FULSWXUDO H[SRVLWLRQ EXW DOVR EHFDXVH WKLV FKRLFH RI ODQJXDJH FRLQFLGHV ZLWK WKH ZRUN¶V H[SRVLWRU\ RULHQWDWLRQ WRZDUGV 6FULSWXUH ,Q HVVHQFH WKHVH H[DPSOHV GHPRQVWUDWH WKDW 35( LGHQWLILHV +HEUHZ ZLWK 6FULSWXUH DQG LW IROORZV WKDW LWV XVH RI +HEUHZ LV DQ H[WHQVLRQ RI WKLV LGHQWLILFDWLRQ $V WKH ³ODQJXDJH RI WKH 7RUDK´ 35(¶V XVH RI +HEUHZ H[HPSOLILHV WKH ZRUN¶V DWWHPSW WR UHQHZ 6FULSWXUH LQ DOO RI LWV PXOWLSOLFLW\ BBBBBBBBBBBB /XULD RI FRXUVH UHIHUUHG WR WKLV IHDWXUH DV D SURGXFW RI WKH ZRUN¶V ILGHOLW\ WR WKH FKURQRORJ\ RI 6FULSWXUH ,Q WKH SUHVHQW GLVFXVVLRQ ZH ZLOO UHIRUPXODWH KLV LQVLJKW WR ILW ZLWK RXU UHDVVHVVPHQW RI WKH ZRUN¶V VWUXFWXUH WKDW ZDV RXWOLQHG LQ WKH SUHYLRXV FKDSWHU 6PLWK ³3VHXGHSLJUDSK\´
35( DQG WKH /DQJXDJH RI 6FULSWXUH 6FKRODUV RI WKH HDUO\ JHRQLF SHULRG KDYH ORQJ KHOG WKDW WKLV HUD GLG QRW SURGXFH DQ\ QHZ LQWHUSUHWDWLRQV RI WKH ODQJXDJH P\WK RU LPDJHU\ RI 6FULSWXUH ,Q FRQWUDVW WR WKHLU YLHZV DERXW FRPSRVLWLRQV DWWULEXWHG WR WKH DPRUDLP RU ULVKRQLP VFKRODUV DUJXHG WKDW ZRUNV RI WKH HDUO\ JHRQLF HUD RQO\ LPLWDWH WKH H[HJHWLFDO LQJHQXLW\ RI HDUOLHU UDEELQLF GLVFRXUVH (DUO\ JHRQLF LQWHUSUHWDWLRQ LV DQ ³DJJDGLF OLWHUDWXUH RI QDUUDWLYH IUHHG IURP KRPLO\´ PDUNHG E\ OLWHUDU\ GHYHORSPHQWV RU HGLWRULDO LQVHUWLRQV UDWKHU WKDQ H[HJHWLFDO LQQRYDWLRQV 6FKRODUV VHH 35( DV DQ HDUO\ JHRQLF ZRUN DV HPERG\LQJ WKLV SUHIHUHQFH RI OLWHUDU\ RU HGLWRULDO GHYHORSPHQWV RYHU H[HJHVLV $FFRUGLQJO\ DQDO\VLV RI 35(¶V 6FULSWXUDO LQWHUSUHWDWLRQV KDV EHHQ GRPLQDWHG E\ WKH OLWHUDU\ PRGHOV RI WKH HUD DQG KDV LJQRUHG WKH ZRUN¶V LQQRYDWLYH UHQHZDO RI UDEELQLF LQWHUSUHWDWLRQ DQG WKH UDEELQLF LQWHUSUHWLYH FXOWXUH RI WKLV WLPH 7KH LPSUHVVLRQ WKDW JHRQLF OLWHUDWXUH LV IRXQGHG RQ ³HGLWRULDO´ RU ³OLWHUDU\´ IHDWXUHV KDV GUDLQHG 35( RI H[HJHWLFDO DQDO\VHV -DFRE (OEDXP IRU H[DPSOH DUJXHG WKDW 35( RQO\ FLWHV %LEOLFDO YHUVHV LQ RUGHU WR VXSSRUW WKH ZRUN¶V QDUUDWLYH UHIRUPXODWLRQ RI 6FULSWXUDO WUDGLWLRQV ,Q KLV YLHZ WKH H[SRVLWRUV VXSHUILFLDOO\ ³DIIL[´ %LEOLFDO YHUVHV WR WKH ZRUN¶V OLWHUDU\ DQG HGLWRULDO FRQVWUXFWLRQV ³>9@HUVHV DUH EURXJKW E\ >WKH DXWKRU@ WR WKH H[WHQW WKDW WKH\ DUH QHFHVVDU\ IRU KLV QDUUDWLYH« >7@KH\ DUH FRPSDQLRQV WR WKH VWRU\ WKDW DUH XVHG DV HYLGHQFH IRU ZKDW LV VDLG DQG IRU WKH GHWDLOV RI WKH SORW´ $W WKH KHDUW RI WKLV FKDUDFWHUL]DWLRQ LV WKH LGHD WKDW WKH HGLWRULDO FRPSRQHQW RI 35( GHILQHV WKH ZRUN¶V UHODWLRQVKLSV WR DOO NQRZQ WH[WXDO WUDGLWLRQV DQG WKH +HEUHZ %LEOH LQ SDUWLFXODU $FFRUGLQJO\ LW ZRXOG VHHP WKDW 35( HQJDJHV ZLWK WKH ODQJXDJH LPDJHU\ DQG P\WK RI 6FULSWXUH LQ RQO\ D VXSHUILFLDO ZD\ )XUWKHU 35(¶V HGLWRULDO DWWLWXGH WRZDUGV WKH FROOHFWLRQ DQG WUDQVPLVVLRQ RI SULRU 6FULSWXUDO WUDGLWLRQV LV H[SUHVVHG E\ WKH ZRUN¶V QDUUDWLYH UHYLVLRQ RI WKHVH WUDGLWLRQV DV ZHOO DV E\ WKH ZRUN¶V LQDUWLFXODWH UHSOLFDWLRQ RI DPRUDLF H[HJHWLFDO BBBBBBBBBBBB
(OEDXP ³)URP 6HUPRQ WR 6WRU\´ 6HH GLVFXVVLRQ LQ WKH LQWURGXFWLRQ (OEDXP ³2Q WKH &KDUDFWHU´ 6HH DOVR 6WHLQ 0HPUD 0DJLD 0LWRV (OEDXP ³5KHWRULF´
0LGUDVK DQG 0XOWLSOLFLW\
WHUPLQRORJ\ ± WHUPLQRORJ\ WKDW LQGLFDWHV ZHOO GHILQHG H[HJHWLFDO WHFKQLTXHV LQ WKH FODVVLFDO VRXUFHV 7KLV SRUWUDLW RI 35( KRZHYHU KDV GHQLHG 35( LWV ULJKWIXO SODFH ZLWKLQ WKH KLVWRU\ RI UDEELQLF LQWHUSUHWDWLRQ ,Q KHU UHFHQW PRQRJUDSK 'LQD 6WHLQ FULWLTXHG WKH RSSRVLWLRQDO FDWHJRULHV RI ³ODWH´ DQG ³FODVVLFDO´ PLGUDVK WR GHVFULEH 35( DQG RWKHU JHRQLF ZRUNV¶ UHODWLRQVKLS WR 6FULSWXUDO H[HJHVLV ,Q KHU UHYLHZ RI WKLV LVVXH 6WHLQ ULJKWO\ TXHVWLRQHG WKH SUHYDLOLQJ GRJPD DERXW 35(¶V WHFKQLTXHV RI H[HJHWLFDO DUWLVWU\ \HW WKHVH WHFKQLTXHV VWLOO UHTXLUH HOXFLGDWLRQ 'HYHORSLQJ DQ DFFXUDWH FKDUDFWHUL]DWLRQ RI 35( LV QRW RQO\ IXQGDPHQWDO IRU RXU XQGHUVWDQGLQJ RI LWV LQWHUDFWLRQ ZLWK UDEELQLF IRUPV RI %LEOLFDO LQWHUSUHWDWLRQ EXW DOVR RXU NQRZOHGJH DERXW H[HJHWLFDO GHYHORSPHQWV LQ WKH HDUO\ JHRQLF HUD 7KH GLVFXVVLRQ EHORZ ZLOO H[SORUH 35(¶V LQWHUSUHWDWLRQ RI 6FULSWXUDO ODQJXDJH DQG LPDJHU\ DV H[SUHVVHG LQ LWV XVH RI WHFKQLFDO WHUPLQRORJ\ UHDUWLFXODWLRQ RI UDEELQLF WUDGLWLRQV IRU H[HJHWLFDO HQGV DQG LQQRYDWLYH H[HJHVLV RI %LEOLFDO ODQJXDJH ,Q WKH H[HPSOD EHORZ , ZLOO GHPRQVWUDWH 35(¶V H[HJHWLFDO GLPHQVLRQ WKURXJK WKH ZRUN¶V LQGHSHQGHQW DQG FUHDWLYH HQJDJHPHQW ZLWK 6FULSWXUH 7KLV HQJDJHPHQW FDQ EH VHHQ LQ WKH ZD\ WKH ZRUN H[SURSULDWHV PHDQLQJ IURP 6FULSWXUDO ODQJXDJH DV ³H[HJHVLV´ DQG WKURXJK 35(¶V DXWKHQWLF DXWKRULWDWLYH DQG RULJLQDO DFWV RI 6FULSWXUDO LQWHUSUHWDWLRQ 7KH HYLGHQFH RIIHUHG EHORZ ZLOO UHDVVHUW WKH LQQRYDWLYHQHVV RI 35( DV D VLJQSRVW IRU FUHDWLYLW\ DQG SURJUHVV RI UDEELQLF LQWHUSUHWLYH FXOWXUH GXULQJ WKH HDUO\ JHRQLF HUD 7KLV FUHDWLYLW\ IRUPV DQ DUF RI WUDQVIRUPDWLRQ LQ H[HJHWLFDO WHFKQLTXH LQ ZKLFK 6FULSWXUDO LQWHUSUHWDWLRQ RFFXUV DV D UHVXOW RI WKH H[SRVLWRUV¶ UHFHSWLRQ WUDQVPLVVLRQ DQG WUDQVIRUPDWLRQ RI 6FULSWXUDO DQG UDEELQLF ODQJXDJH DQG WUDGLWLRQV ,Q 35(¶V LQWHUSUHWDWLRQ RI 6FULSWXUH WKH H[SRVLWRUV XWLOL]H 6FULSWXUDO DQG UDEELQLF WUDGLWLRQV WR UHQHZ WKHLU HQFRXQWHU ZLWK 6FULSWXUDO ODQJXDJH 35(¶V %LEOLFDO LQWHUSUHWDWLRQ DFNQRZOHGJHV QHZ FRQQHFWLRQV EHWZHHQ DQG ZLWKLQ BBBBBBBBBBBB
(OEDXP ³5KHWRULF´ 6HH 6WHLQ 0HPUD 0DJLD 0LWRV QRWH DQG KHU FRPSDULVRQ RI 35(¶V OLWHUDU\ H[SUHVVLRQ WR WKDW RI ([RGXV 5DEED 6HH 6WHLQ 0HPUD 0DJLD 0LWRV DQG 6WHLQ ORFDWHG WKH EULGJH EHWZHHQ 35( DQG 6FULSWXUH LQ WKH PD[LP ³>$@V WKH ZRUN WHOOV WKH VHTXHQWLDO 6FULSWXUDO VWRU\ RQ WKH RQH KDQG DQG UHWDLQV PLGUDVKLF FKDUDFWHULVWLFV RQ WKH RWKHU >WKHVH IDFWRUV@ SDUWLFLSDWH DQG DUH VKDSHG E\ WKH XVH RI WKH PD[LP WKH PD[LP JHQXLQHO\ LQWHUSUHWV WKH 6FULSWXUDO WH[W ZKHWKHU FLWHG RU SDUDSKUDVHG «´ 8QIRUWXQDWHO\ KHU HPSKDVLV XSRQ ³PD[LPV´ DQG IRONORUH DV WKH NH\V WR 35(¶V H[HJHWLFDO GLPHQVLRQ GLG QRW DGGUHVV WKHVH OLWHUDU\ GHYLFHV ZLWKLQ WKH FRQWH[W RI WKH ZRUN¶V WUDQVPLVVLRQ RI UDEELQLF WUDGLWLRQV 1RU ZDV VKH DEOH WR H[SODLQ WKH YDVW PDMRULW\ RI 6FULSWXUDO YHUVHV WKURXJKRXW WKH ZRUN E\ PHDQV RI PD[LPV
35( DQG WKH /DQJXDJH RI 6FULSWXUH
6FULSWXUDO DQG UDEELQLF VSHHFK DQG WUDGLWLRQV LQ VKRUW GHQVH XQLWV RU ³FOXVWHUV´ ZKLFK DUH D SULPDU\ H[SUHVVLRQ RI 35(¶V LQQRYDWLYH IRUP RI LQWHUSUHWDWLRQ $V DQ LQWHUSUHWLYH ZRUN VWHHSHG LQ UDEELQLF WUDGLWLRQ EXLOGLQJ 35( LV ERXQG WR HDUOLHU UDEELQLF GLVFRXUVH DV ZHOO DV WR LWV RZQ UHLQYHQWLRQ RI FODVVLFDO XQGHUVWDQGLQJV RI 6FULSWXUH $V GHVFULEHG EHORZ FOXVWHUV LQIRUP WKH ZRUN¶V LQWHUDFWLRQ ZLWK FODVVLFDO UDEELQLF GLVFRXUVH DQG SURYLGH GHSWK WR WKH ZRUN¶V WUDGLWLRQ EXLOGLQJ DV LW SHUWDLQV WR WKH UHLQYHQWLRQ RI UDEELQLF XQGHUVWDQGLQJV RI 6FULSWXUH &RQVHTXHQWO\ ZH ZLOO IRFXV XSRQ KRZ 35( XVHV WKHVH H[HJHWLFDO ³FOXVWHUV´ WR UHIRUPXODWH WKH WUDGLWLRQDO UDEELQLF XQGHUVWDQGLQJ RI 6FULSWXUH , ZLOO FKDUDFWHUL]H WKLV FRPSRQHQW RI 35(¶V UHODWLRQVKLS WR UDEELQLF LQWHUSUHWDWLRQ WKURXJK WKHVH H[DPSOHV LQ ZKLFK WKH ZRUN¶V FRQWULEXWLRQ WR UDEELQLF DQG 6FULSWXUDO PHDQLQJ ZLOO EH LOOXPLQDWHG
([HJHWLFDO 7HUPLQRORJ\ LQ 35( $V ZLWK FODVVLFDO UDEELQLF OLWHUDWXUH PDQ\ RI 35(¶V LQWHUDFWLRQV ZLWK WKH %LEOH DUH IUDPHG E\ FODVVLFDO H[HJHWLFDO H[SUHVVLRQV ,Q FODVVLFDO PLGUDVK H[HJHWLFDO H[SUHVVLRQV VXFK DV SDWDK ʧʺʴ ³KH RSHQHG´ RU PDVKDO O¶PDK KDGDYDU GRPHK ʤʮʥʣ ʸʡʣʤ ʤʮʬ ʬʹʮ ³D SDUDEOH WR ZKDW PD\ WKH PDWWHU EH FRPSDUHG ´ VLJQLI\ VWDQGDUGL]HG UDEELQLF WHFKQLTXHV RI 6FULSWXUDO LQWHUSUHWDWLRQ ZLWKLQ WKH OHPPDWLF VWUXFWXUH RI WKHVH ZRUNV ,Q 35( KRZHYHU WKH VDPH ZHOO NQRZQ H[SUHVVLRQV DQG OHPPDWLF IRUPV DUH UDUH RU GR QRW UHSOLFDWH WKH WHUPV¶ HDUOLHU WHFKQLFDO XVH ,Q KLV H[DPLQDWLRQ RI WKLV LPSRUWDQW GLPHQVLRQ RI FODVVLFDO UDEELQLF LQWHUSUHWDWLRQ -DFRE (OEDXP DUJXHG WKDW ZKHQ FODVVLFDO WHUPLQRORJ\ GRHV DSSHDU LQ 35( LW LV IRXQG LQ DQ ³H[WUHPHO\ UHFHLYHG IRUP´ 35( GRHV QRW XVH WKHVH FODVVLFDO UDEELQLF WRROV WR LQWHUSUHW 6FULSWXUH EXW UDWKHU UHSHDWV WKHP ZLWK HGLWRULDO FRQVLGHUDWLRQV LQ PLQG *LYHQ WKH ZRUN¶V UHODWLYH ODFN RI BBBBBBBBBBBB
,Q 35( WKH WHUP ʧʺʴRFFXUV LQ FKDSWHUV WKUHH HLJKWHHQ WKLUW\RQH DQG IRUW\HLJKW EXW LQ QRQH RI WKHVH LQVWDQFHV GRHV LW IROORZ WKH IRUP RI WKH SHWLKWD 7KH WHFKQLFDO IRUPXOD RI WKH WHUP PDVKDO RFFXUV LQ FKDSWHUV RQH WZLFH WKUHH WKLUWHHQ QLQHWHHQ WKLUW\IRXU WZLFH DQG IRUW\ WKUHH WLPHV ,Q WKHVH FKDSWHUV KRZHYHU WKH PDVKDO HLWKHU GRHV QRW FRQWDLQ WKH ³FRPSOHWH´ IRUPXOD RI WKH WHFKQLFDO WHUP RU FRXOG EH LGHQWLILHG DV D WUDGLWLRQ WKDW ZDV ³UHFHLYHG´ IURP FODVVLFDO UDEELQLF OLWHUDWXUH DQG WKXV OHVV LQGLFDWLYH RI 35(¶V RZQ H[HJHWLFDO WHFKQLTXH (OEDXP ³5KHWRULF´
0LGUDVK DQG 0XOWLSOLFLW\
FODVVLFDO WHUPLQRORJ\ LW ZRXOG DSSHDU WKDW WKH DFWV RI %LEOLFDO LQWHUSUHWDWLRQ WKDW FRUUHVSRQG WR WKHVH WHUPV DUH DEVHQW IURP WKH ZRUN¶V H[SRVLWLRQ )XUWKHUPRUH LW PD\ DOVR DSSHDU WR VFKRODUV WKDW 35(¶V QRQXVH RI H[HJHWLFDO WHUPLQRORJ\ LQGLFDWHV WKH ZRUN¶V KHUPHQHXWLF OLWHUDU\ DQG FXOWXUDO GHSHQGHQFH RQ H[WHUQDO OLWHUDU\ WUDGLWLRQV VXFK DV ,VODP DQG QRW UDEELQLF -XGDLVP 1HYHUWKHOHVV WKH TXHVWLRQ FRQFHUQLQJ H[HJHWLFDO WHUPLQRORJ\ LQ 35( LV QRW ZKHWKHU VLPLODU WHFKQLFDO H[SUHVVLRQV PD\ EH IRXQG LQ WKH ZRUN :H DUH PLVWDNHQ LI WKH TXHVWLRQ LV SKUDVHG LQ WHUPV RI WKH ZRUN¶V XVH RI ³DXWKHQWLF´ VLJQLILHUV WKDW DUH QR GLIIHUHQW WKDQ WKRVH RI FODVVLFDO OLWHUDWXUH 5DWKHU LI WKHUH DUH VXFK WHFKQLFDO H[SUHVVLRQV WKH\ UHODWH WR WKH ZRUN¶V HQJDJHPHQW ZLWK 6FULSWXUDO ODQJXDJH WR WKH HDUOLHU WHFKQLFDO GLVFRXUVH RI WKH UDEELV DQG WR WKH GHYHORSPHQW RI D ODQJXDJH RI H[SRVLWLRQ WKDW LV FKDUDFWHULVWLF IRU 35( DQG SRVVLEO\ DOVR HDUO\ JHRQLF OLWHUDWXUH DV D ZKROH &RQVHTXHQWO\ WKH JRDO RI UHVHDUFK LQWR WHFKQLFDO H[SUHVVLRQV LQ 35( LV WR H[DPLQH WKH UROH RI WKHVH H[SUHVVLRQV LQ WKH H[HJHVLV RI 6FULSWXUH DQG WR DVVHVV WKH ZRUN¶V GHYHORSPHQW RI UDEELQLF LQWHUSUHWLYH GLVFRXUVH 7KHVH GXDO DLPV ZLOO JXLGH RXU GLVFXVVLRQ RI WKLV VLJQLILFDQW FRPSRQHQW RI WKH ZRUN ZKLFK SURYLGHV D OLQN EHWZHHQ WKH ZRUN¶V WUDQVPLVVLRQ RI UDEELQLF GLVFRXUVH DQG LWV LQGHSHQGHQW H[HJHVLV RI 6FULSWXUH $V VXFK WKH VWXG\ RI WKHVH WHUPV ZLOO DOORZ XV WR FODULI\ WKH DLPV DQG PHWKRGV RI WKH ZRUN LQ WKH FRQWH[W RI LWV SDUWLFLSDWLRQ LQ UDEELQLF LQWHUSUHWLYH FXOWXUH $ PDMRU FRPSRQHQW RI 35(¶V %LEOLFDO LQWHUSUHWDWLRQ LV H[KLELWHG LQ WKH H[SRVLWRUV¶ XVH RI FODVVLFDO H[HJHWLFDO WHUPLQRORJ\ LQ QHZ FLUFXPVWDQFHV DQG LQ WKH ZRUN¶V JHQHUDWLRQ RI QHZ H[HJHWLFDO WHUPV 8ELTXLWRXV UDEELQLF H[SUHVVLRQV VXFK DV VKHQH¶HPDU ʸʮʠʰʹ RU ³DV 6FULSWXUH VWDWHV´ SHUYDGH 35( DQG FODVVLFDO UDEELQLF OLWHUDWXUH EXW RQO\ VHUYH WR IUDPH D 6FULSWXUDO TXRWDWLRQ ZLWKLQ WKH FRQWH[W RI LWV H[SRVLWLRQ 2WKHU H[HJHWLFDO WHUPV WKDW DUH IUHTXHQW ZLWKLQ FODVVLFDO UDEELQLF OLWHUDWXUH¶V H[SRVLWLRQV RI 6FULSWXUH DOVR DSSHDU ZLWKLQ 35( DQG DIILUP WKH ZRUN¶V SDUWLFLSDWLRQ LQ WKH ODQJXDJH RI FODVVLFDO UDEELQLF GLVFRXUVH 7KH FODVVLFDO UDEELQLF WHUP WKDW LGHQWLILHV WKH VRXUFH RI D WUDGLWLRQ LQ 6FULSWXUDO ODQJXDJH PLQD\LQ ʯʩʰʮ RU ³IURP ZKHUH"´ RFFXUV RYHU ILIW\ WLPHV LQ 35( DQG WKH FODVVLFDO SKUDVH NDWXY HKDG DKHU RPHU ʸʮʥʠ >ʸʧʠ@ ʣʧʠ ʡʥʺʫ RU ³DQRWKHU YHUVH VWDWHV´ ZKLFK LQWURGXFHV DQ BBBBBBBBBBBB
7KH UHODWLYH DEVHQFH RI H[HJHWLFDO WHUPLQRORJ\ RI FRXUVH LV QRW WKH VROH EDVLV XSRQ ZKLFK (OEDXP DQG RWKHUV FRQWHQGHG WKDW 35( DOVR ODFNV H[HJHWLFDO LQWHJULW\ 2Q WKH FRQWUDU\ WKHVH VFKRODUV DOVR LGHQWLI\ SDUDOOHO WUDGLWLRQV WKURXJKRXW WKH ZRUN ± PLVWDNHQO\ LQ P\ YLHZ ± WKDW UHIOHFW WKH ³DQWKRORJLFDO´ DQG QRW H[HJHWLFDO FKDUDFWHU RI WKH ZRUN
35( DQG WKH /DQJXDJH RI 6FULSWXUH
DOWHUQDWH DQFKRU LQ 6FULSWXUDO ODQJXDJH IRU DQ DFW RI LQWHUSUHWDWLRQ RFFXUV DSSUR[LPDWHO\ WKLUW\ WLPHV 7KHVH H[SUHVVLRQV SURYLGH D EDVLF LQGLFDWLRQ RI WKH UHODWLRQVKLS EHWZHHQ WKH ODQJXDJH RI H[SRVLWLRQ DQG WKH ODQJXDJH RI 6FULSWXUH EXW GR OLWWOH WR SURYH WKDW 35( DFWXDOO\ FRQWDLQV ³H[HJHWLFDO´ WHUPLQRORJ\ 1RU GRHV WKH SUHVHQFH RI WKHVH WHUPV ZLWKLQ 35( PHDQ WKDW WKH ZRUN PHUHO\ ³UHSOLFDWHV´ DPRUDLF H[SUHVVLRQV RU LV ZKROO\ GHSHQGHQW LQ LWV IRUP RQ H[WHUQDO OLWHUDWXUHV 2Q WKH FRQWUDU\ WKHVH WHUPV LQGLFDWH WKH H[SRVLWRUV¶ DWWHPSWV WR XVH YHUVHV DQG UDEELQLF ODQJXDJH IRU IXUWKHU H[HJHWLFDO HQGV D IDFW WKDW FDQ RQO\ EH DIILUPHG LQ WKH PRUH H[SOLFLW H[DPSOHV ZH ZLOO H[SORUH EHORZ ,Q FODVVLFDO UDEELQLF OLWHUDWXUH DV ZHOO DV LQ 35( WKHVH WHUPV GR QRW KDYH D ZHOO GHILQHG XVH RU PHDQLQJ RXWVLGH RI WKH FLWDWLRQ RI 6FULSWXUH 1HYHUWKHOHVV WKH SUHVHQFH RI WKHVH WHUPV LQ 35( VSHDNV WR WKH ZRUN¶V UHODWLRQVKLS WR UDEELQLF LQWHUSUHWDWLRQ LQ JHQHUDO VLQFH WKH H[SRVLWRUV KDYH FKRVHQ WR HPSOR\ WKHVH FODVVLFDO WHUPV DV D OLWHUDU\ IUDPH IRU WKHLU LQWHUSUHWDWLRQ RI 6FULSWXUH 7KH SUHVHQFH RI WKHVH H[SUHVVLRQV UHIOHFWV WKH ZRUN¶V DGRSWLRQ DQG WUDQVIRUPDWLRQ RI FODVVLFDO H[HJHWLFDO ODQJXDJH 1HYHUWKHOHVV 35(¶V UHSHWLWLRQ RI WKHVH ³IUDPLQJ´ H[SUHVVLRQV UHSUHVHQW RQO\ D SDUW RI 35(¶V XVH RI FODVVLFDO UDEELQLF H[SUHVVLRQV 7KH FODVVLFDO H[SUHVVLRQ ³; LV QRW ZULWWHQ KHUH EXW <´ < ʠʬʠ ʯʠʫ ʡʩʺʫ ; ʯʩʠ IRU H[DPSOH LQGLFDWHV DQ HPSKDVLV XSRQ FRQFUHWH UHDGLQJV RI 6FULSWXUDO ODQJXDJH DQG RUWKRJUDSK\ DQG WKLV WHUP LV XVHG H[HJHWLFDOO\ RYHU WZHQW\ WLPHV ZLWKLQ 35( 7KH IROORZLQJ SDVVDJH IURP FKDSWHU ILIW\WKUHH LV RQH VXFK LQVWDQFH 5 RI 1XPEHUV @ GHVFHQGHG IURP WKH KHDYHQV DQG VXQN ʲʷʹ LQ WKH HDUWK ± LW GLG QRW UHWXUQ WR WKH KHDYHQV EXW UDWKHU HQWHUHG LQWR WKH 7HQW RI 0HHWLQJ ,Q DOO RI WKH VDFULILFLDO RIIHULQJV WKDW ,VUDHO VDFULILFHG LQ WKH GHVHUW WKLV ILUH ZHQW RXW DQG FRQVXPHG WKHP DV 6FULSWXUH VWDWHV ³ILUH GHVFHQGHG IURP KHDYHQ´ LV QRW ZULWWHQ KHUH EXW ³ILUH ZHQW RXW IURP EHIRUH WKH /RUG DQG LW FRQVXPHG >WKH 2ODK DQG IDW@ XSRQ WKH DOWDU´ /HY ʤ ʩʰʴʬʮ ʹʠ ʠʶʺʥ ʠʬʠ ʯʠʫ ʡʩʺʫ ʯʩʠ ʭʩʮʹʤ ʯʮ ʹʠ ʣʸʺʥ 7KLV ZDV WKH ILUH WKDW FRQVXPHG WKH WZR VRQV RI $DURQ DV 6FULSWXUH VWDWHV ³DQG WKH ILUH ZHQW RXW IURP EHIRUH WKH /RUG DQG FRQVXPHG WKHP´ ʹʠ ʠʶʺʥ ʭʺʥʠ ʬʫʠʺʥ ʤ ʩʰʴʬʮ /HY 7KLV ZDV WKH ILUH WKDW FRQVXPHG WKH FRKRUW RI .RUDK DV 6FULSWXUH VWDWHV ³DQG WKH ILUH ZHQW RXW IURP WKH ORUG DQG FRQVXPHG´ 1XP ʬʫʠʺʥ ʤ ʺʠʮ ʤʠʶʩ ʹʠʥ $QG D PDQ GRHV QRW GHSDUW IURP WKH HDUWK XQWLO WKDW ILUH WKDW LV VXQN XSRQ WKH HDUWK SDVVHV XSRQ KLP DV 6FULSWXUH VWDWHV ³DQG WKH ILUH VXQN´ 1XP ʹʠʤ ʲʷʹʺʥ
7KLV H[SRVLWLRQ RFFXUV ZLWKLQ WKH FRQWH[W RI WKH H[SRVLWRUV¶ UHDUWLFXODWLRQ RI WKH 6FULSWXUDO VWRU\ LQ WKH ERRN RI ([RGXV DERXW WKH ,VUDHOLWHV ³PXUPXULQJ´ DJDLQVW *RG ,Q WKLV FKDSWHU RI 35( WKH H[SRVLWRUV FRUUHODWH HSLVRGHV ZLWKLQ
0LGUDVK DQG 0XOWLSOLFLW\
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¶ H[DPLQDWLRQ RI WKH GLYLQH ILUH ZLWKLQ 6FULSWXUDO ODQJXDJH DOVR SURYLGHV DQ DGGLWLRQDO RSSRUWXQLW\ IRU WKH DSSOLFDWLRQ RI WKH FODVVLFDO H[HJHWLFDO SKUDVH RI ³; LV QRW ZULWWHQ KHUH EXW <´ WR /HY ,Q WKLV FRQWH[W WKH H[SRVLWRUV SUHIDFH WKH YHUVH ZLWK ³ILUH GHVFHQGHG IURP KHDYHQ LV QRW ZULWWHQ KHUH EXW´ LQ RUGHU WR GHPRQVWUDWH WKH FRUUHODWLRQ EHWZHHQ WKH GHWDLOV RI 6FULSWXUDO ODQJXDJH DQG P\WKLF DFWV RI WKH GLYLQH ILUH 7KH LPSDFW RI WKLV H[SUHVVLRQ ³; LV QRW ZULWWHQ KHUH EXW <´ LV UHIOHFWHG LQ WKH WRSRJUDSK\ RI WKH GLYLQH ILUH RQ (DUWK DQG D P\WKLFDOO\ FRQFUHWH LQWHUSUHWDWLRQ RI /HY 7KLV XVH RI WKH H[HJHWLFDO WHUP KRZHYHU QRW RQO\ PRGLILHV WKH PHDQLQJ RI WKH YHUVH EXW DOVR DOORZV WKH H[SRVLWRUV WR HQXPHUDWH D OLVW RI SDUDOOHOV WKURXJKRXW 6FULSWXUH EDVHG RQ WKH HPSKDVL]HG SKUDVH DQG P\WKLF PRYHPHQW WKH ILUH ³JRHV RXW´ DV PDUNHG E\ WKH URRW ʠʶʩ ZKLFK LV SURPLQHQW LQ WKH FLWHG YHUVH DV ZHOO DV LQ RWKHUV VXFK DV 1XP 7KH P\WKLF DFWLRQ DQG ODQJXDJH RI ³JRLQJ RXW´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¶V XVH RI ODQJXDJH LV HVWDEOLVKHG ILUVW DQG IRUHPRVW E\ PHDQV RI WKH H[HJHWLFDO H[SUHVVLRQ ³; LV QRW ZULWWHQ KHUH EXW <´ 7KH H[SRVLWRUV FRUUHODWH WKH ILUH IURP 1XP ZLWK WKHVH SDUDOOHO HSLVRGHV WKURXJK WKHLU DSSOLFDWLRQ RI H[HJHWLFDO WHUPLQRORJ\ WR /HY ZKLFK WKHQ UHIOHFWV EDFN XSRQ WKH ZRUG ʲʷʹʺʥ ³DQG LW VXQN´ LQ 1XP D ZRUG ZKLFK LV DOVR HPSKDVL]HG LQ HDUOLHU UDEELQLF SDUDOOHOV ,Q FRQWUDVW ZLWK WKHVH FODVVLFDO VRXUFHV KRZHYHU 35(¶V H[SRVLWRUV XWLOL]H WKLV 6FULSWXUDO ZRUG LQ RUGHU WR HOXFLGDWH WKH WRSRJUDSKLFDO SUHVHQFH RI WKH GLYLQH ILUH ZLWKLQ BBBBBBBBBBBB
6HH DOVR 5DVKL WR 1XP 6LIUH WR 1XPEHUV 3LVND DQG 6LIUHL =XWD 6HH DOVR
35( DQG WKH /DQJXDJH RI 6FULSWXUH
6FULSWXUDO ODQJXDJH $FFRUGLQJO\ WKH IRFXV RI WKH SDVVDJH LV XSRQ WKLV H[HJHWLFDO H[SUHVVLRQ WKDW KLJKOLJKWV D 6FULSWXUDO ZRUG WKDW GRHV QRW RFFXU ZLWKLQ 1XP ³JRHV RXW´ RU WKH URRW ʠʶʩ 7KH IRFXV XSRQ WKLV ZRUG DQG LWV UHVRQDQFH ZLWKLQ 6FULSWXUH FDUULHV WKH H[SRVLWRUV¶ LQWHUSUHWDWLRQ RI /HY LQWR D P\WKLF WRSRJUDSK\ WKDW LV UHSUHVHQWHG ZLWKLQ 1XP ,Q WHUPV RI WKH XVH RI WKH WHUP ZLWK UHVSHFW WR FRQFUHWH UHDGLQJV RI 6FULSWXUDO ODQJXDJH 35( XWLOL]HV WKH WHFKQLFDO H[SUHVVLRQ ³; LV QRW ZULWWHQ KHUH EXW <´ LQ D ZD\ WKDW LV FKDUDFWHULVWLF RI FODVVLFDO UDEELQLF OLWHUDWXUH 7KH H[SUHVVLRQ WKHUHIRUH SUHVHQWV D QHZ DSSOLFDWLRQ RI WKH FODVVLFDO UDEELQLF WHFKQLTXH LQ WKLV H[SUHVVLRQ RQH ZKLFK XQGHUVFRUHV WKH LPSRUWDQFH RI WKH JLYHQ UHDGLQJ RI 6FULSWXUH WR WKH UDEELV¶ P\WKLF H[HJHVLV 35(¶V H[SRVLWRUV DOVR XVH WKH H[SUHVVLRQ ³; LV QRW ZULWWHQ KHUH EXW <´ KRZHYHU LQ RUGHU WR VLWXDWH 1XPEHUV LQ D ZD\ WKDW LV SDUWLFXODUO\ FKDUDFWHULVWLF RI 35(¶V RZQ UHRUJDQL]DWLRQ DQG UHLQYHQWLRQ RI 6FULSWXUDO FRQWHQW 7KLV UHRUJDQL]DWLRQ UHDUWLFXODWHV 6FULSWXUH DV D VHW RI SDUDOOHO HSLVRGHV DOO HTXDOO\ LQYHVWHG LQ WKH P\WKLF UHIHUHQWLDOLW\ RI %LEOLFDO ODQJXDJH 35(¶V HQXPHUDWLRQ RI WKLV OLVW UHYROYHV DURXQG WKH 6FULSWXUDO URRW ʠʶʩ ZKLFK FRRUGLQDWHV WKLV WRSRJUDSK\ RI GLYLQH ILUH DQG XQYHLOV WKH VHFWLRQ¶V P\WK DERXW WKH PRYHPHQW RI WKH GLYLQH ILUH ZLWK WKLV FODVVLFDO H[SUHVVLRQ &RQVHTXHQWO\ WKH XVH RI WKH FODVVLFDO H[HJHWLFDO WHFKQLTXH QRW RQO\ GHPRQVWUDWHV WKH H[LVWHQFH RI JHQXLQH %LEOLFDO LQWHUSUHWDWLRQ EXW DOVR VKRZV KRZ 35( LQWHJUDWHV FODVVLFDO UDEELQLF ODQJXDJH LQWR LWV RZQ RUJDQL]DWLRQ DQG UHDUWLFXODWLRQ RI 6FULSWXUDO PHDQLQJ DV HQXPHUDWLRQ QDUUDWLYH WKHPHV DQG DQDORJ\ ,Q WKH ZRUN¶V IRFXV XSRQ D VLQJOH ZRUG DV EHDULQJ WKH P\WKLF PHVVDJH RI WKH SDVVDJH D 6FULSWXUDO FOXVWHU HPHUJHV LQ ZKLFK P\WKLF DQG H[SRVLWRU\ PHDQLQJ LV FRQFHQWUDWHG ZLWKLQ VLQJOH ZRUGV RU H[SUHVVLRQV DQG LQ FKDUDFWHULVWLF IRUPXODWLRQV RI D V\PEROLF ODQJXDJH 6LPLODUO\ WKH H[SRVLWRUV¶ FKDUDFWHULVWLF IRUP RI %LEOLFDO LQWHUSUHWDWLRQ FDQ DOVR EH IRXQG LQ SUHYLRXVO\ XQDWWHVWHG H[HJHWLFDO WHUPLQRORJ\ ZKLFK GHPRQVWUDWHV WKHLU HQJDJHPHQW ZLWK WKLV FODVVLFDO OLWHUDU\ IRUP DV ZHOO DV WKHLU BBBBBBBBBBBB
7KLV XVH RI WKHVH H[SUHVVLRQV LV IRXQG WKURXJKRXW WKH ZRUN ,Q DGGLWLRQ WR WKH H[SUHVVLRQ ³; LV QRW ZULWWHQ KHUH EXW <´ 35(¶V H[SRVLWRUV DOVR PDNH XVH RI RWKHU NQRZQ FODVVLFDO H[SUHVVLRQV WKDW GHPRQVWUDWH WKLV W\SH RI HQJDJHPHQW ZLWK 6FULSWXUDO ODQJXDJH 6RPH H[DPSOHV DUH ³LQ RUGHU WR HVWDEOLVK ZKDW LV ZULWWHQ´ ʸʮʠʰʹ ʤʮ ʭʩʩʷʬ ZKLFK LV XVHG DSSUR[LPDWHO\ WHQ WLPHV LQ RUGHU GHPRQVWUDWH KRZ D %LEOLFDO ILJXUH µIXOILOOV¶ D 6FULSWXUDO VWDWHPHQW ³ZKDW LV ZULWWHQ DIWHU >WKLV YHUVH@´ ʥʩʸʧʠ ʡʩʺʫ ʤʮ ZKLFK LV XVHG DSSUR[LPDWHO\ WHQ WLPHV LQ RUGHU WR FRUUHODWH WKH SURJUHVV RI 6FULSWXUDO YHUVHV WR H[HJHWLFDO H[SRVLWLRQV DQG ³GR QRW UHDG ; EXW <´ ʠʬʠ« ʠʸʥʷ ʩʤʺ ʬʠ ZKLFK LV XVHG IRXU WLPHV LQ RXU EDVH PDQXVFULSW LQ RUGHU WR DGMXVW WKH YRFDOL]DWLRQ RI D 6FULSWXUDO YHUVH LQ DFFRUGDQFH ZLWK WKH H[SRVLWRUV¶ H[HJHWLFDO H[SRVLWLRQ RI WKH YHUVH
0LGUDVK DQG 0XOWLSOLFLW\
LQGHSHQGHQW UHIOHFWLRQ DQG GHYHORSPHQW RI FODVVLFDO H[HJHWLFDO WHFKQLTXH $V GHPRQVWUDWHG DERYH WKH SUHH[LVWHQFH RI H[HJHWLFDO WHUPV LQ DPRUDLF OLWHUDWXUH GRHV QRW SURKLELW 35(¶V H[SRVLWRUV IURP XVLQJ VXFK WHUPV IRU WKHLU RZQ H[HJHWLFDO SXUSRVHV QHLWKHU DUH WKH H[SRVLWRUV SUHFOXGHG IURP JHQHUDWLQJ QHZ DQG LQGHSHQGHQW H[HJHWLFDO WHUPV 2Q WKH FRQWUDU\ DQ H[DPSOH IURP FKDSWHU WZHQW\QLQH GHPRQVWUDWHV ERWK WKH H[SRVLWRUV¶ DSSOLFDWLRQ RI WKH ROGHU FODVVLFDO UDEELQLF ODQJXDJH DQG WUDGLWLRQV DQG WKHLU FUHDWLRQ RI QHZ H[HJHWLFDO WHUPLQRORJ\ LQ WKHLU LQWHUSUHWDWLRQ RI 6FULSWXUH 7KH ,VUDHOLWHV WRRN WKH EORRG RI WKH FRYHQDQW RI FLUFXPFLVLRQ DQG WKH\ SXW LW XSRQ WKH OLQWHO RI WKHLU KRXVHV :KHQ WKH +RO\ 2QH EOHVVHG EH +H GHVFHQGHG ʣʸʩ LQ RUGHU WR VPLWH WKH ILUVW ERUQ (J\SWLDQV +H VDZ WKH EORRG RI FLUFXPFLVLRQ DQG EORRG RI WKH SDVFKDO ODPE XSRQ WKH OLQWHO RI WKHLU KRXVHV KH SDVVHG E\ ʸʡʥʲ WKH OLQWHO RI WKHLU KRXVHV >DQG +H ZDV ILOOHG ZLWK FRPSDVVLRQ IRU ,VUDHO@ DV 6FULSWXUH VWDWHV ³$QG WKH /RUG SDVVHG RYHU ʸʡʲ WR VPLWH (J\SW´ ([ %XW DQRWKHU YHUVHV VWDWHV ʸʮʥʠ ʣʧʠ ʡʥʺʫʥ ³$QG , SDVVHG E\ \RX ʪʩʬʲ ʸʡʲʠʥ DQG VDZ \RX WURGGHQ LQ \RXU EORRG DQG , VD\ WR \RX µ,Q \RXU EORRG OLYH¶ DQG , VD\ WR \RX µ,Q \RXU EORRG OLYH¶´ (]HN RQO\ ³LQ \RXU EORRGV ´ LV ZULWWHQ KHUH ʠʬʠ ʯʠʫ ʡʩʺʫ ʯʩʠ WZR WLPHV E\ WKH EORRG RI FLUFXPFLVLRQ DQG WKH EORRG RI WKH SDVFKDO ODPE 7KHUHIRUH 6FULSWXUH VWDWHV ³>$@QG , VD\ WR \RX LQ \RXU EORRG OLYH DQG , VD\ WR \RX LQ \RXU EORRG OLYH´ 5 (OLH]HU VDLG ³:K\ GLG 6FULSWXUHV VHH WR VD\ VR WZR WLPHV ʭʩʮʲʴ ʩʺʹ ʸʮʥʬ ʡʥʺʫʤ ʤʠʸ ʤʮ ʩʫ µDQG , VD\ WR \RX ³,Q \RXU EORRG OLYH´ DQG , VD\ WR \RX ³,Q \RXU EORRG OLYH¶´ 5DWKHU WKH +RO\ 2QH EOHVVHG EH +H VDLG ³%\ WKH PHULW RI WKH EORRG RI FLUFXPFLVLRQ DQG WKH EORRG RI WKH SDVFKDO ODPE \RX ZLOO EH UHGHHPHG IURP (J\SW %\ WKH EORRG RI WKH FLUFXPFLVLRQ DQG WKH EORRG RI WKH SDVFKDO ODPE \RX ZLOO EH UHGHHPHG DW WKH HQG RI WKH IRXUWK NLQJGRP DV 6FULSWXUH VWDWHV µ$V IRU \RX DOVR EHFDXVH RI WKH EORRG RI \RXU FRYHQDQW , VHQW \RXU SULVRQHUV RXW RI WKH SLW ZKHUH WKHUH LV
BBBBBBBBBBBB
7KH PDQXVFULSWV 3DUPD 3DUPD DQG WKH ILUVW SULQWHG HGLWLRQ GHOD\ WKH FLWDWLRQ RI ([RGXV XQWLO WKH HQG RI WKH SDVVDJH EXW HPSKDVL]H WKH ODQJXDJH RI WKH YHUVH LQ WKHLU GHVFULSWLRQV RI WKH HYHQW XVLQJ ³SDVVHG´ ʸʡʲ LQVWHDG RI /HKPDQ ¶V ³GHVFHQGHG´ ʣʸʩ DQG ³SODJXHG´ ʳʥʢʰʬ LQVWHDG RI ³VWUXFN´ ʺʥʫʤʬ 7KHVH GLIIHUHQFHV DUH QRW LQVLJQLILFDQW IRU WKH 35( WUDGLWLRQ¶V RULHQWDWLRQ WRZDUGV 6FULSWXUH 6HH WKH FRPPHQWV LQ WKH DQDO\VLV EHORZ 7KH PV +8& DJUHHV ZLWK RXU EDVH PDQXVFULSW $OO WKH PDQXVFULSWV ZLWK WKH H[FHSWLRQ RI RXU EDVH PDQXVFULSW DGG WKLV SKUDVH 7KH VWDWHPHQW ³DQRWKHU YHUVH VWDWHV´ LV QRW IRXQG LQ WKH PDMRULW\ RI PDQXVFULSWV DOWKRXJK PRVW PDQXVFULSWV MX[WDSRVH WKH ZRUN¶V H[SRVLWLRQ RI ([ DJDLQVW (]HN HLWKHU ZLWKLQ D GHVFULSWLRQ RI WKH HYHQW WKDW XVHV ([ RU ZLWK D FLWDWLRQ RI WKH YHUVH DW WKH HQG RI 5 (OLH]HU¶V VWDWHPHQW &RQVHTXHQWO\ WKH WHFKQLFDO SKUDVH ³DQRWKHU YHUVH VWDWHV´ LV QRW IRXQG WKURXJKRXW WKH 35( PDQXVFULSW WUDGLWLRQ EXW WKH SULQFLSOH WKDW WKH ZRUN MX[WDSRVHV LQWHUSUHWDWLRQV E\ PHDQV RI WKLV H[SUHVVLRQ LV IRXQG LQ YDULDWLRQV RI ([ ¶V SUHVHQFH ZLWKLQ 35(
35( DQG WKH /DQJXDJH RI 6FULSWXUH
QR ZDWHU¶ =HFK 7KXV 6FULSWXUH VWDWHV µ, VDLG WR \RX ³,Q \RXU EORRG OLYH´¶´
7KLV SDVVDJH IURP FKDSWHU WZHQW\QLQH DVVHVVHV WKH ULWXDO RI FLUFXPFLVLRQ D WKHPH ZKLFK FRQQHFWV D VHULHV RI RWKHU HSLVRGHV ZLWKLQ 35( 7KH VHFWLRQ¶V HPSKDVLV RQ FLUFXPFLVLRQ FRUUHVSRQGV WR WKH GRPLQDQW QDUUDWLYHV DQG HQXPHUDWLRQV RI WKLV FKDSWHU SULQFLSDOO\ $EUDKDP¶V FLUFXPFLVLRQ DV WKH QLQWK WULDO RI WKH WHQ WKDW DUH GLVFXVVHG ZLWKLQ WKH ZRUN :LWK FKDUDFWHULVWLF DWWHQWLRQ WR PXOWLSOLFLW\ LQ OLWHUDU\ H[SRVLWLRQ 35(¶V H[SRVLWRUV VLWXDWH WKH GLVFXVVLRQ RI $EUDKDP¶V QLQWK WULDO LQ WKH FRQWH[W RI DQDORJRXV FLUFXPFLVLRQV ZKLFK LQFOXGH WKH KHDUW WKH WUHHV DQG FRQYHUWV DV ZHOO DV WKRVH RI SDUDOOHO %LEOLFDO HSLVRGHV RI FLUFXPFLVLRQ VXFK DV ,VDDF DQG WKH ,VUDHOLWHV LQ (J\SW 7KH SUHVHQW VHFWLRQ¶V H[SRVLWLRQ RI FLUFXPFLVLRQ WKHUHIRUH LV IUDPHG ZLWKLQ WKH FRQWH[W RI VHYHUDO OD\HUV RI QDUUDWLYH HQXPHUDWLRQ DQG DQDORJ\ ZKLFK DUH FKDUDFWHULVWLF RI 35(¶V IRUP RI %LEOLFDO LQWHUSUHWDWLRQ ([HJHWLFDOO\ WKLV VHFWLRQ IURP FKDSWHU WZHQW\QLQH XVHV ERWK FODVVLFDO DQG QHZ WHUPLQRORJ\ LQ RUGHU WR LQWHJUDWH LWV LQWHUSUHWDWLRQ RI (]HN LQWR WKH ODQJXDJH DQG QDUUDWLYH RI ([ 7KH H[SRVLWRUV¶ XVH RI WKH DPRUDLF H[SUHVVLRQ ³RQO\ ; LV ZULWWHQ KHUH´ ʠʬʠ ʯʠʫ ʡʩʺʫ ʯʩʠ LV VLPLODU WR WKH FODVVLFDO XVH LW LV D FRQFUHWH UHDGLQJ RI WKH 6FULSWXUDO ODQJXDJH RI (]HN WKDW LQWHUSUHWV WKH 6FULSWXUDO WH[W DV ZULWWHQ DQG DV WUDGLWLRQDOO\ YRFDOL]HG ± WKDW LV WKH NHWLY DQG WKH NHUH 7KLV H[HJHWLFDO WHUP LQWHJUDWHV WKH WZR EORRGV WKH SDVFKDO EORRG DQG WKH EORRG RI WKH FLUFXPFLVLRQ LQWR WKH GXDO JUDPPDWLFDO IRUP RI WKH QRXQ ³EORRG´ ʪʩʮʣʡ QRW WKH VLQJXODU ,Q FODVVLFDO UDEELQLF OLWHUDWXUH WKH VDJHV DSSO\ D VLPLODUO\ FRQFUHWH UHDGLQJ RI WKH YHUVH LQ RUGHU WR UHIHU WR WKH ,VUDHOLWHV¶ XVH RI WZR EORRGV LQ RUGHU WR ZDUG RII WKH GLYLQH SODJXH 2QH IRUP RI WKLV FODVVLFDO UDEELQLF LQWHUSUHWDWLRQ IRXQG LQ 0HNKLOWD GH5DEEL ,VKPDHO DQG 6RQJ RI 6RQJV 5DEED ORFDWHV WKH WZR EORRGV LQ WKH YHUVH¶V UHSHWLWLRQ RI ³, VD\ WR \RX µ,Q \RXU EORRG OLYH¶´ EXW QRW LQ WKH SOXUDOLW\ RI WKH ZRUG µEORRGV¶ DV GRHV 35( 6RQJ RI 6RQJV 5DEED IRU H[DPSOH UHDGV ³DQG , ZDV EHDXWLIXO LQ (J\SW E\ PHDQV RI WKH SDVFKDO EORRG DQG E\ WKH EORRG RI FLUFXPFLVLRQ DV 6FULSWXUH VWDWHV µ$QG , SDVVHG E\ \RX DQG VDZ \RX WURGGHQ LQ \RXU EORRG DQG , VD\ WR \RX ³,Q \RXU EORRG OLYH´¶ ± WKLV LV WKH SDVFKDO EORRG µDQG , VD\ WR \RX ³,Q \RXU EORRG OLYH´¶ ± WKLV LV WKH EORRG RI BBBBBBBBBBBB
7KH WKHPH LV DOVR IRXQG LQ FKDSWHUV WHQ WKLUW\HLJKW WKLUW\QLQH IRUW\RQH DQG IRUW\HLJKW 7KH IRXUWHHQWK FHQWXU\ PDQXVFULSW 3DUPD DWWHVWV WKLV UHDGLQJ ³µ,Q \RXU EORRG¶ LV QRW ZULWWHQ KHUH UDWKHU µ,Q \RXU EORRGV ¶´ ʪʩʮʣʡ ʠʬʠ ʯʠʫ ʡʩʺʫ ʯʩʠ ʪʮʣʡ 6HH GLVFXVVLRQ EHORZ
0LGUDVK DQG 0XOWLSOLFLW\
FLUFXPFLVLRQ´ 7KH GLIIHUHQFH KHUH LV VLJQLILFDQW QRW EHFDXVH RI WKHVH ZRUNV¶ GLIIHUHQW HPSKDVLV ZLWKLQ 6FULSWXUDO ODQJXDJH ± ZKLFK LWVHOI ZRXOG VHHP WR LQGLFDWH DQ LQGHSHQGHQW WUDGLWLRQ ± EXW EHFDXVH RI WKH H[SRVLWRUV¶ FKRLFH WR GR VR ZLWKLQ WKH FRQWH[W RI WKH H[HJHWLFDO H[SUHVVLRQ ³RQO\ ; LV ZULWWHQ KHUH´ ZKLFK IUDPHV WKH H[HJHWLFDO FRQFHSWLRQ RI 35(¶V H[SRVLWRUV &RPSDUHG WR WKHVH WUDGLWLRQV 35( QRW RQO\ SUHVHQWV D GLIIHUHQW YLHZ RQ WKH ODQJXDJH RI 6FULSWXUH EXW GRHV VR ZLWK WKLV H[HJHWLFDO H[SUHVVLRQ 35(¶V LQYHVWPHQW RI WKH ³WZR EORRG´ LQWHUSUHWDWLRQ LQ WKLV VLQJOH ZRUG KRZHYHU GRHV GHPRQVWUDWH VRPH VLPLODULW\ ZLWK RWKHU FODVVLFDO WUDGLWLRQV VXFK DV WKDW IRXQG LQ 3HVLNWD GH5DY .DKDQD DQG 5XWK 5DEED 7KH WUDGLWLRQ IURP 3HVLNWD GH5DY .DKDQD UHDGV $QRWKHU LQWHUSUHWDWLRQ RI ³GXH WR \RXU ULJKWHRXV MXGJPHQWV ʪʷʣʶ ʩʨʴʹʮ ´ 3V 'XH WR WKH MXGJPHQWV ʭʩʨʴʹʮ WKDW \RX EURXJKW XSRQ WKH (J\SWLDQV LQ (J\SW DQG XSRQ WKH ULJKWHRXVQHVV ʤʷʣʶ WKDW \RX GLG WR RXU IDWKHUV LQ (J\SW VLQFH WKH\ GLG QRW SRVVHVV FRPPDQGPHQWV E\ ZKLFK WKH\ ZRXOG EH UHGHHPHG ZLWK WKH H[FHSWLRQ RI WZR FRPPDQGPHQWV WKH SDVFKDO EORRG DQG WKH EORRG RI FLUFXPFLVLRQ DV 6FULSWXUH VWDWHV ³$QG , SDVVHG E\ \RX DQG VDZ \RX WURGGHQ LQ \RXU EORRG DQG , VD\ WR \RX µ,Q \RXU EORRG OLYH¶´ ± ³,Q \RXU EORRGV ´ ± >WKLV UHIHUV WR@ WKH SDVFKDO EORRG DQG WKH EORRG RI FLUFXPFLVLRQ
7KLV SDUDOOHO WUDGLWLRQ VHHPV WR DQWLFLSDWH WKH LQWHUSUHWDWLRQ LQ 35( EXW WKHUH LV QR GLUHFW HYLGHQFH WKDW WKH 3HVLNWD GH5DY .DKDQD ³RULJLQDWHV´ WKH XVH RI WKH GXDO IRUP LQ RUGHU WR DFKLHYH WKLV FRQFUHWH UHDGLQJ RI 6FULSWXUH %HUQDUG 0DQGHOEDXP FRPPHQWHG WKDW WKH H[HJHWLFDO LQWHQWLRQV RI WKH SDVVDJH IURP WKH 3HVLNWD GH5DY .DKDQD DUH DPELJXRXV ³ ʪʩʮʣʡ >LV ZULWWHQ@ LQ SOXUDO ± EXW SHUKDSV WKH LQWHUSUHWDWLRQ >LQ 3HVLNWD GH5DY .DKDQD@ LV EDVHG XSRQ WKH GRXEOLQJ >RI µLQ \RXU EORRG OLYH¶@´ 35(¶V H[HJHWLFDO RULHQWDWLRQ WRZDUGV (]HN KRZHYHU GRHV QRW KLQJH RQ WKH ZRUN¶V LQWURGXFWLRQ RI WKH VDPH LQWHUSUHWDWLRQ LQWR D GLIIHUHQW SDUW RI WKH YHUVH 7KLV LV WUXH HYHQ LI ZH FRXOG GHPRQVWUDWH WKDW 35(¶V WUDGLWLRQ LV ³GHULYHG´ IURP 3HVLNWD GH5DY .DKDQD 2Q WKH FRQWUDU\ WKH H[SRVLWRUV¶ XVH RI WKLV DPRUDLF H[HJHWLFDO H[SUHVVLRQ BBBBBBBBBBBB
6HH DOVR 6RQJ RI 6RQJV 5DEED 0HNKLOWD GH5DEEL ,VKPDHO %R ([RGXV 5DEED DQG 5XWK 5DEED 7DQKXPD :DUVDZ 9H¶HLUD 3HVNLWD 5DEEDWL 0LGUDVK 3VDOPV DQG 7DUJXP -RQDWKDQ WR (]HN %HUQDUG 0DQGHOEDXP 3HVLNWD GH 5DY .DKDQD 9ROXPH , 1HZ
35( DQG WKH /DQJXDJH RI 6FULSWXUH
LOOXVWUDWHV KRZ 35( GHYHORSV WKH ODQJXDJH RI WKH 6FULSWXUDO DQG UDEELQLF WUDGLWLRQV ± 35( XWLOL]HV WKH UDEELQLF WHUP LQ RUGHU WR IRFXV XSRQ WKLV FRPSRQHQW RI 6FULSWXUDO ODQJXDJH $OWKRXJK WKH SDVVDJH PD\ RU PD\ QRW SURYLGH DQ ³RULJLQDO´ LQWHUSUHWDWLRQ WR ILQG WKH WZR EORRGV ZLWKLQ WKH ODQJXDJH RI (]HN WKH ZRUN¶V XVH RI H[HJHWLFDO WHUPLQRORJ\ ZLWK UHJDUG WR WKH 6FULSWXUDO YHUVH SURYLGHV D FRQWH[W IRU IXUWKHU H[SRVLWRU\ GHYHORSPHQWV ZLWKLQ WKH YHUVH DV FDQ EH VHHQ LQ RWKHU H[HJHWLFDO FRPSRQHQWV RI WKLV SDVVDJH 1HYHUWKHOHVV WKH RULJLQDOLW\ RI WKH H[SRVLWRU¶V GHYHORSPHQW RI 6FULSWXUH DQG FODVVLFDO UDEELQLF ODQJXDJH LV EHVW XQGHUVFRUHG E\ LWV XVH RI WKLV QHZ H[HJHWLFDO WHUP HOVHZKHUH ,Q D WUDGLWLRQ DWWULEXWHG WR 5 (OLH]HU LQ WKLV SDVVDJH WKH H[SRVLWRUV RI 35( QRWH WKH LPSRUWDQFH RI WKH VHFRQG VHW RI GRXEOHWV LQ (]HN ZLWK DQ DGGLWLRQDO H[HJHWLFDO H[SUHVVLRQ ³:K\ GLG 6FULSWXUH VHH WR VD\ VR WZR WLPHV´ ʭʩʮʲʴ ʩʺʹ ʸʮʥʬ ʡʥʺʫʤ ʤʠʸ ʤʮ ʩʫ 7KLV H[HJHWLFDO H[SUHVVLRQ QRW DWWHVWHG LQ DQ\ RWKHU UDEELQLF ZRUN LV IRXQG DJDLQ LQ DQ H[HPSODU\ SDVVDJH IURP FKDSWHU WKLUW\IRXU ³6HH WKDW , , DP KH WKHUH DUH QR JRGV ZLWK PH´ 'HXW 5 (OLH]HU VDLG ³:K\ GLG 6FULSWXUH VHH WR VD\ VR WZR WLPHV ʭʩʮʲʴ ʩʺʹ ʸʮʥʬ ʡʥʺʫʤ ʤʠʸ ʤʮ ʩʫ ³)RU , , DP +H ʠʥʤ ʩʰʠ ʩʰʠ ʩʫ >5@DWKHU WKH +RO\ 2QH EOHVVHG EH +H VDLG , DP +H LQ WKLV ZRUOG DQG , DP +H LQ WKH ZRUOG WR FRPH , DP +H ZKR UHGHHPHG ,VUDHO IURP WKH KDQG RI WKH (J\SWLDQV DQG , DP +H ZKR ZLOO UHGHHP WKHP DW WKH HQG RI WKH IRXUWK NLQJGRP DQG WKXV 6FULSWXUH VWDWHV ³)RU , , DP KH DQG WKHUH DUH QR JRGV ZLWK PH´ $OO RI WKH QDWLRQV WKDW ZLOO VD\ WKDW WKHUH LV D VHFRQG JRG , ZLOO NLOO WKHP ZLWK D VHFRQG GHDWK DQG WKHUH ZLOO EH QR UHVXUUHFWLRQ IRU >KH ZKR VD\V VR@ $OO RI WKH QDWLRQV WKDW ZLOO VD\ WKDW WKHUH LV QRW D VHFRQG JRG , ZLOO JLYH WKHP OLIH LQ WKH UHVXUUHFWLRQ RI WKH ZRUOG WR FRPH , ZLOO NLOO WKRVH DQG JLYH OLIH WR WKRVH DV 6FULSWXUH VWDWHV ³, NLOO DQG , JLYH OLIH´ 'HXW
6LPLODU WR WKH SDVVDJH IURP FKDSWHU WZHQW\QLQH WKLV SDVVDJH SODFHV WKH H[HJHWLFDO H[SUHVVLRQ ³:K\ GLG 6FULSWXUH VHH WR VD\ VR WZR WLPHV´ LQ WKH FRQWH[W RI D UHSHDWHG SKUDVH RU GLWWRJUDSK\ RI 6FULSWXUH ,Q ERWK FKDSWHUV WKH QHZ WHUPLQRORJ\ SURSRVHV GRXEOHG LQWHUSUHWDWLRQV IRU VFULEDO GLWWRJUDSKLHV ,Q WKLV VHQVH WKH H[SUHVVLRQ ³:K\ GLG 6FULSWXUHV VHH WR VD\ VR WZR WLPHV´ QRW RQO\ DOORZV WKH H[SRVLWRUV WR LQWURGXFH WZR LQWHUSUHWDWLRQV IRU HDFK GLWWRJUDSKLFDO UHSHWLWLRQ LQ 6FULSWXUH EXW DOVR WR XVH WKH GLWWRJUDSKLHV LQ RUGHU WR FRQVWUXFW PXOWLSOH LQWHUSUHWLYH GRXEOHWV DOO RI ZKLFK DUH LQGLFDWHG E\ WKLV QHZ H[HJHWLFDO WHUP 7KH PHDQLQJ RI WKLV GLWWRJUDSK\ LV QRW IXOO\ XQGHUVWRRG XQWLO WKH H[SRVLWRUV LQGLFDWH WKHVH H[HJHWLFDO SRVVLELOLWLHV LQ WKHLU QHZ H[SUHVVLRQ ³:K\ GLG 6FULSWXUH VHH WR VD\ VR WZR WLPHV´ ,Q FKDSWHU WKLUW\ IRXU IRU H[DPSOH WKH GLWWRJUDSK\ RI ³,´ LQ 'HXW DOORZV WKH H[SRVLWRUV WR
0LGUDVK DQG 0XOWLSOLFLW\
DSSO\ WKH GRXEOHW IRU WKH GLYLQH UROH LQ WKLV ZRUOG DQG WKH ZRUOG WR FRPH DV ZHOO DV IRU (J\SW DQG WKH PHVVLDQLF HUD 7KH SUHVHQFH RI WKH GLWWRJUDSK\ ZKLFK LV DFNQRZOHGJHG LQ WKLV H[SUHVVLRQ DOORZV WKHP WR SURSRVH D ³GRXEOHG´ LQWHUSUHWDWLRQ RI WKH ODWWHU KDOI RI WKH YHUVH ³, NLOO DQG , HQOLYHQ ʺʩʮʠ ʩʰʠ ʤʩʧʠʥ ´ $FFRUGLQJO\ WKH QHZ H[SUHVVLRQ LPEXHV WKH ODWWHU SKUDVH RI FKDSWHU WKLUW\IRXU ³, NLOO DQG , HQOLYHQ´ ZLWK D GRXEOH LQWHUSUHWDWLRQ LW UHIHUV WR WKH GLYLQH DFW RI JLYLQJ OLIH DQG GHDWK ZKLFK LV WKH LQWHUSUHWLYH UDWLRQDOH IRU WKH GLWWRJUDSK\ RI WKH ZRUG ³,´ ,Q WKHVH LQWHUSUHWDWLRQV LW LV WKH LGRODWHUV ZKR EHOLHYH WKDW WKH GLWWRJUDSK\ RI WKH ³,´ LQ WKH YHUVH PXVW UHIHU WR D GRXEOHG JRG ± VR FRUUHVSRQGLQJO\ WKH\ UHFHLYH D GRXEOHG GHDWK LQ WKLV ZRUOG DQG LQ WKH ZRUOG WR FRPH 2Q WKH RWKHU KDQG WKH H[SRVLWRUV DVVHUW WKRVH ZKR XQGHUVWDQG WKH GLWWRJUDSK\ FRUUHFWO\ DV D GRXEOHW RI UHGHPSWLRQ ZLOO UHFHLYH D GRXEOHG OLIH ERWK RI WKLV ZRUOG DQG WKH ZRUOG WR FRPH ,Q WKLV SDVVDJH WKH H[SRVLWRUV¶ QHZ WHUP HQDEOHV 6FULSWXUDO ODQJXDJH WR EH UHDG LQ WKH FRQWH[W RI WKH PXOWLSOLFLW\ RI LWV PHVVDJH VXFK WKDW WKLV GRXEOLQJ DSSOLHV QRW RQO\ WR GLYLQH LGHQWLW\ EXW WR WKH IDWH RI WKRVH ZKR XQGHUVWDQG WKH PHDQLQJ RI WKLV LGHQWLW\ ,Q D VLPLODU VHQVH RXU SDVVDJH IURP FKDSWHU WZHQW\QLQH DOVR XVHV WKH QHZ WHUP LQ RUGHU WR H[SORLW WKHVH GLWWRJUDSKLFDO GRXEOHWV ZLWKLQ (]HN ,Q LWV RZQ XVH RI WKH PHWKRGV LPSOLFLW LQ WKH H[SUHVVLRQ ³:K\ GLG 6FULSWXUHV VHH WR VD\ VR WZR WLPHV´ FKDSWHU WZHQW\QLQH UHDGV PXOWLSOH LQWHUSUHWDWLRQV LQWR WKH GLWWRJUDSK\ RI ³LQ \RXU EORRG OLYH´ DQG GRHV VR ZLWKLQ WKH FRQWH[W RI LWV RZQ XQGHUVWDQGLQJ RI WKH GXDO IRUP RI WKH ZRUG ʪʩʮʣ $JDLQ WKH H[HJHWLFDO H[SUHVVLRQ ³:K\ GLG 6FULSWXUHV VHH WR VD\ VR WZR WLPHV´ SURYLGHV WKH YHUVH KHUH (]HN DV D VHULHV RI GRXEOHWV WKDW SOD\ RII RI RQH DQRWKHU WKLV H[HJHWLFDO H[SUHVVLRQ XVHV WKH GLWWRJUDSK\ RI WKH SKUDVH ³,Q \RXU EORRG OLYH´ ZLWKLQ WKH FRQWH[W RI WKH GXDO ZRUG ʪʩʮʣ +HUH HDFK GRXEOLQJ LV DEOH WR LQIOHFW IXUWKHU PHDQLQJ XSRQ WKH RWKHU ,Q FKDSWHU WZHQW\QLQH WKH GRXEOHW RI WKH WZR EORRGV RI FLUFXPFLVLRQ DQG SDVFKDO RIIHULQJ IRXQG LQ WKH ZRUG ʪʩʮʣ LV UHDG DORQJVLGH WKH GLWWRJUDSK\ ³,Q \RXU EORRG OLYH´ ZKLFK UHIHUV WR WKH UHGHPSWLRQV LQ (J\SW DQG DW WKH HQG RI WKH IRXUWK NLQJGRP &RQVHTXHQWO\ WKH H[SRVLWRUV FRPELQH WKHVH GRXEOHWV LQ RUGHU WR WHDFK WKDW LW LV E\ YLUWXH RI WKH SDLU RI FLUFXPFLVLRQ DQG SDVFKDO RIIHULQJV WKDW WKHVH WZR UHGHPSWLRQV RFFXU 1HYHUWKHOHVV WKLV XQGHUVWDQGLQJ RI WKLV SDVVDJH DQG WKLV QHZ H[HJHWLFDO WHUP GRHV QRW UHSUHVHQW WKH OLPLW RI WKH H[SRVLWRUV¶ UHSUHVHQWDWLRQ RI PXOWLSOH LQWHUSUHWDWLRQV DQG UHODWLRQV ZLWKLQ WKH ODQJXDJH RI 6FULSWXUH ,Q DGGLWLRQ WR WKH GRXEOHWV PHQWLRQHG DERYH WKH H[SRVLWRUV MX[WDSRVH WZR PHQWLRQV RI ³SDVVLQJ´ DQG FRUUHODWH ³SDVVLQJ´ ʸʡʲ RI ([ ZKHUH *RG SDVVHV RYHU (J\SW WR WKH ³SDVVLQJ´ ʸʡʲʠʥ RI (]HN ZKHUH *RG SDVVHV RYHU ,VUDHO ³LQ WKHLU EORRGV´ 7KLV DGGLWLRQDO OD\HU RI PHDQLQJ VXSHULPSRVHV WKH ODQJXDJH RI RQH YHUVH XSRQ DQRWKHU VR WKDW WKH EORRGV LQ WKH GXDO IRUP DQG GLWWRJUDSK\
35( DQG WKH /DQJXDJH RI 6FULSWXUH
FDQ EH LGHQWLILHG DV D VLQJOH GLYLQH DFW LQ ([RGXV DQG (]HNLHO &KDSWHU WZHQW\ QLQH¶V FRPSOH[ HQJDJHPHQW ZLWK WKHVH WKUHH VHJPHQWV RI (]HN GHPRQVWUDWHV WKDW WKHUH FDQ EH QR GRXEW RI WKH ZRUN¶V GHQVH LQWHUSUHWDWLRQ RI 6FULSWXUDO ODQJXDJH 7KH SDVVDJH¶V IRFXV XSRQ WKH PHDQLQJ RI EORRG EHFRPHV PDQLIHVW VHJPHQW E\ VHJPHQW DQG GRXEOHW E\ GRXEOHW :H VKRXOG DOVR WDNH QRWH WKDW PXOWLSOLFLW\ RI WKH ZRUG µEORRGV¶ DQ H[HJHWLFDO FOXVWHU LV DOVR VLJQDOOHG LQ WKH H[SRVLWRUV¶ FUHDWLRQ RI WKH QHZ H[HJHWLFDO H[SUHVVLRQ ³:K\ GLG 6FULSWXUHV VHH WR VD\ VR WZR WLPHV´ 7KLV H[SUHVVLRQ HPERGLHV WKH ZRUN¶V UHFHSWLRQ RI WKH H[HJHWLFDO H[SUHVVLRQV IRXQG LQ FODVVLFDO OLWHUDWXUH 7KLV H[SUHVVLRQ H[HPSOLILHV WKH H[SRVLWRUV¶ FKDUDFWHULVWLF DWWHQWLRQ WR WKH QXDQFHV RI 6FULSWXUDO ODQJXDJH DQG WUDQVIRUPDWLRQ RI WH[W DV ZULWWHQ DQG WUDQVPLWWHG LQWR GHQVH OD\HUV RI H[SRVLWRU\ PHDQLQJ 7KH 6FULSWXUDO WUDGLWLRQV DQG H[HJHWLFDO WHUPLQRORJ\ RXWOLQHG LQ WKH H[HPSOD DERYH GHPRQVWUDWH WKDW 35( LV DQ H[HJHWLFDO ZRUN LQVRIDU DV WKH ZRUN XVHV WHFKQLFDO WHUPV LQ RUGHU WR SURGXFH ³FOXVWHUV´ RXW RI WKH RUWKRJUDSK\ RI 6FULSWXUH 7KH H[SRVLWRUV FUHDWH WKHLU LQWHUSUHWDWLRQV RXW RI FODVVLFDO UDEELQLF WHUPLQRORJ\ DQG WUDGLWLRQV WKH DERYH H[HPSOD GHPRQVWUDWH WKDW 35( ERWK UHIHUV WR ³NQRZQ´ UDEELQLF WUDGLWLRQV DV ZHOO DV ³FRQYHQWLRQDO´ H[HJHWLFDO WHUPV 35(¶V %LEOLFDO LQWHUSUHWDWLRQ DOVR HQWDLOV WKH GHYHORSPHQW RI WKLV QHZ LQWHUSUHWLYH WHUP LQ WKH ZRUN¶V GLVWLQFWLYH VW\OH D ³FOXVWHULQJ´ RI 6FULSWXUDO PHDQLQJ ZKLFK HQFRXUDJHV D PXOWLSOLFLW\ RI LQWHUFRQQHFWHG PHDQLQJV LQ GHQVH VKRUWKDQG 7KHVH H[HPSOD GHPRQVWUDWH 35(¶V LQQRYDWLRQ RI UDEELQLF H[HJHWLFDO WHUPLQRORJ\ ZKLFK FRQVLVWV RI GHQVH FOXVWHUV RI 6FULSWXUDO DQG UDEELQLF ODQJXDJH $V VXFK 35(¶V WHUPLQRORJ\ LQFRUSRUDWHV WKH WHUPLQRORJ\ DQG WUDGLWLRQV RI FODVVLFDO OLWHUDWXUH DV D EDFNJURXQG DQG WRRO IRU LWV RZQ H[SRVLWLRQ RI 6FULSWXUH
35(¶V ([HJHWLFDO ([SDQVLRQV &OXVWHUV RI 6FULSWXUDO /DQJXDJH ,Q KLV LQQRYDWLYH DQDO\VLV RI 35( -DFRE (OEDXP LGHQWLILHG RQH RI WKH FKDUDFWHULVWLF TXDOLWLHV RI 35(¶V LQWHUDFWLRQ ZLWK 6FULSWXUH DV EHLQJ WKH IRUPXODWLRQ RI ³ERXQG WKHPHV´ (OEDXP H[SDQGHG XSRQ WKH SRLQW PDGH E\ -RVHSK +HLQHPDQQ WKDW 35( SRVVHVVHG D OD\HU RI HGLWRULDO RUJDQL]DWLRQ LQ ZKLFK UHSHWLWLRQ RI H[SUHVVLRQV VHUYHV WR FRUUHODWH GLVSDUDWH 6FULSWXUDO
0LGUDVK DQG 0XOWLSOLFLW\
HSLVRGHV (OEDXP LGHQWLILHG WKHVH ³ERXQG WKHPHV´ RU DQDORJLHV VXFK DV ³LQ VHFXULW\ DQG HDVH´ ³$GDP DQG KLV KHOSPDWH´ DQG ³VHQW IRUWK KLV ULJKW KDQG´ DV EHLQJ NH\ HOHPHQWV RI WKH H[SRVLWRUV¶ HGLWRULDO LQWHUDFWLRQ ZLWK UHFHLYHG 6FULSWXUDO DQG UDEELQLF WUDGLWLRQV ,Q WKH GLVFXVVLRQ DERYH ZH UHIHUUHG WR RWKHU VXFK H[SUHVVLRQV ZKLFK RFFXU WKURXJKRXW WKH ZRUN DV QRW RQO\ RUJDQL]DWLRQDO DQDORJLHV EXW DOVR DV FRPSRQHQWV RI 35(¶V LQWHUSUHWDWLRQ RI 6FULSWXUH 2XU DQDO\VLV KHUH UHIHUV WR WKDW H[HJHWLFDO ± DQG QRW PHUHO\ RUJDQL]DWLRQDO ± IRUP RI GLVFRXUVH DV ³FOXVWHUV´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¶V H[SRVLWRU\ RULHQWDWLRQ WRZDUGV WKHVH FOXVWHUHG H[SUHVVLRQV FRQWULEXWHV ERWK WR WKH ZRUN¶V OLWHUDU\ RUJDQL]DWLRQ DV ZHOO DV HPERG\LQJ LWV PXOWLIDFHWHG DSSURDFK WR WKH LQWHUSUHWDWLRQ RI 6FULSWXUH ,Q FKDSWHUV WKLUW\WZR WKLUW\ILYH DQG WKLUW\VHYHQ WKH FRPSOH[LW\ RI WKHVH FOXVWHUV FDQ EH VHHQ LQ 35(¶V DFFRXQW RI -DFRE¶V VWUXJJOHV ZLWK (VDX 35(¶V H[SRVLWRUV DUWLFXODWH WKHVH VWUXJJOHV LQ DOOHJRULFDO DQG DSRFDO\SWLF WHUPV DQG DV WURSHV RI PHVVLDQLF UHGHPSWLRQ $V D OLQJXLVWLF FXH IRU WKH ULVH RI -DFRE RYHU (VDX LQ WKH PHVVLDQLF HUD WKH H[SUHVVLRQ ³WKH UHPQDQW RI -DFRE´ ʣʩʸʹ ʡʷʲʩ GHYHORSV RXW RI WKH H[SRVLWRUV¶ FRQGHQVDWLRQ RI 6FULSWXUDO ODQJXDJH DQG P\WK LQ RUGHU WR EHFRPH D QHZ WRRO RI H[SRVLWLRQ 7KH H[SUHVVLRQ ³WKH UHPQDQW RI -DFRE´ HPERGLHV ERWK WKH KRPLOHWLFDO LGHDO WKDW UXQV WKURXJKRXW WKHVH SDVVDJHV ± WKH ILQDO YLFWRU\ RI -DFRE,VUDHO RYHU (VDX(GRP ± DV ZHOO DV WKH ZRUN¶V SULQFLSDO LQWHUSUHWLYH LGHDO QDPHO\ WKDW 6FULSWXUDO DQG UDEELQLF ODQJXDJH FDQ EH UHFRQILJXUHG LQWR D GHQVH LQWHUSUHWLYH WRRO WKDW FRUUHODWHV DPRQJ HSLVRGHV DQG GHYHORSV D V\PEROLF VKRUWKDQG IRU 6FULSWXUDO DQG UDEELQLF LGHDV 7KH UHOHYDQW SDVVDJHV IURP WKHVH FKDSWHUV UHDG &KDSWHU 7KLUW\7ZR BBBBBBBBBBBB
6HH +HLQHPDQQ¶V GLVFXVVLRQ RI WKH H[SUHVVLRQ ʯʰʠʹʥ ʧʨʡ LQ +HLQHPDQQ $JJDGRW DQG QRWH 0\ UHYLHZ RI WKH PDQXVFULSW WUDGLWLRQ FRQILUPV WKH SUHVHQFH RI WKHVH WUDGLWLRQV /XULD¶V HGLWLRQ RQ WKH RWKHU KDQG RPLWV HYHU\ DWWHVWDWLRQ
35( DQG WKH /DQJXDJH RI 6FULSWXUH
>-DFRE DQG (VDX ZHUH VWUXJJOLQJ LQ 5HEHFFD¶V ZRPE@ :KDW GLG -DFRE GR" +H JUDEEHG WKH OHJ RI (VDX LQ RUGHU WR IHOO KLP ʥʬʩʴʤʬ DV 6FULSWXUH VWDWHV ³$QG DIWHU WKDW FDPH IRUWK KLV EURWKHU DQG KLV KDQG KROG RQWR (VDX¶V KHHO´ *HQ )URP KHUH \RX PD\ OHDUQ WKDW WKH FKLOGUHQ RI (VDX ZLOO QRW IDOO ʭʩʬʴʥʰ XQWLO D UHPQDQW IURP -DFRE ʡʷʲʩ ʣʩʸʹ ZLOO FRPH DQG XSURRW WKH OHJ RI (VDX IURP 0RXQW 6HLU DV 6FULSWXUH VWDWHV ³$QG \RX VDZ WKDW D VWRQH ZDV FXW ZLWKRXW KDQGV DQG VPRWH KLV LPDJH XSRQ KLV OHJV ʩʤʥʬʢʸ WKDW ZHUH LURQ DQG FOD\ DQG EURNH WKHP WR SLHFHV´ 'DQ DQG 6FULSWXUH VWDWHV ³9HQJHDQFH LV PLQH DQG UHFRPSHQVH DW WKH WLPH ZKHQ WKHLU IRRW ʭʬʢʸ VKDOO VOLS´ 'HXW
&KDSWHU 7KLUW\)LYH
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³UHPQDQW RI -DFRE´ ʡʷʲʩ ʣʩʸʹ ZLOO FRPH DQG JLYH WR WKH FKLOGUHQ RI (VDX D PHDO RI OHQWLOV LQ PRXUQLQJ DQG VRUURZ LQ WKH DQJHU DQG YHQJHDQFH ,VUDHO ZLOO EHVWRZ XSRQ WKHP >DV 6FULSWXUH VWDWHV ³$QG , ZLOO OD\ 0\ YHQJHDQFH XSRQ (GRP´ (]HN DQG D VFHSWHU ZLOO DULVH IURP ,VUDHO ʬʠʸʹʩʮ ʨʡʹ ʭʥʷʩʥ DQG WDNH WKH GRPLQLRQ NLQJGRP DQG ELUWKULJKW IURP (VDX WKDW ZKLFK -DFRE DFTXLUHG E\ PHDQV RI DQ RDWK DV 6FULSWXUH VWDWHV ³$QG -DFRE VDLG µ6ZHDU WR PH RQ WKLV GD\´ DQG KH VZRUH WR KLP *HQ ´
&KDSWHU 7KLUW\6HYHQ
>-DFRE JDYH JLIWV WR KLV EURWKHU EXW@ (VDX VDLG WR KLP ³, KDYH HQRXJK ʩʬ ʹʩ ʡʸ P\ EURWKHU´ *HQ DQG JDYH KRQRU WR -DFRE $FFRUGLQJO\ WKH FKLOGUHQ RI ,VUDHO JDYH KRQRU WR WKH FKLOGUHQ RI (VDX ZLWK WKLV ODQJXDJH DV
BBBBBBBBBBBB
6HH 5DFKHO $GHOPDQ¶V ³GLSORPDWLF YHUVLRQ´ RI WKLV FKDSWHU >LQ 3RHWLFV RI 7LPH DQG 6SDFH @ 7KHUH DUH VRPH YDULDWLRQV DQG RPLVVLRQV EHWZHHQ WKH YHUVLRQ LQ RXU PDQXVFULSW DQG RWKHU YHUVLRQV PDQ\ YHUVLRQV RPLW WKH TXRWDWLRQ IURP (]HN DQG WKH VWDWHPHQW WKDW SURFHHGV LW $GHOPDQ LQ KHU YHUVLRQ GRHV QRW DFNQRZOHGJH WKH H[LVWHQFH RI RXU YHUVLRQ DERYH 5 'DYLG /XULD DQG WKH +/$¶V HGLWLRQV DUH FORVHU WR WKH YHUVLRQ DERYH WKDQ WR $GHOPDQ¶V ³GLSORPDWLF YHUVLRQ´ EXW LW GRHV QRW LQFOXGH WKH TXRWDWLRQ IURP (]HNLHO ZKLFK DSSHDUV WR EH D UDUH DGGLWLRQ IURP RXU EDVH PDQXVFULSW
0LGUDVK DQG 0XOWLSOLFLW\
6FULSWXUH VWDWHV ³6HLU WKH SODFH RI (GRP@ HQRXJK ʤʦʤ ʸʤʤ ʺʠ ʡʱ ʭʫʬ ʡʸ ´ 'HXW 7KH +RO\ 2QH EOHVVHG EH +H VDLG WR KLP ³-DFRE LW LV QRW HQRXJK IRU \RX ʪʩʩʣ ʠʬ WKDW \RX PDGH WKH KRO\ LQWR WKH SURIDQH GLG , QRW VD\ µ7KH \RXQJHU ZLOO VHUYH WKH HOGHU >RU FRQYHUVHO\ WKH HOGHU ZLOO VHUYH WKH \RXQJHU@ ʸʩʲʶ ʣʥʡʲʩ ʡʸ " *HQ $QG \RX VDLG µ>7@KXV VD\V \RXU VHUYDQW -DFRE ʡʷʲʩ ʪʣʡʲ ʸʮʠ ʤʫ ¶ *HQ %\ \RXU OLIH LW ZLOO EH DV \RXU ZRUG DQG KH ZLOO UXOH RYHU \RX LQ WKLV ZRUOG DQG \RX ZLOO UXOH RYHU KLP LQ WKH ZRUOG WR FRPH´ $FFRUGLQJO\ -DFRE VDLG WR KLP ³3OHDVH OHW P\ /RUG SDVV EHIRUH KLV VHUYDQW ʥʣʡʲ DQG , ZLOO MRXUQH\ RQ VORZO\´ *HQ )URP KHUH ZH OHDUQ WKDW WKH FKLOGUHQ RI (VDX ZLOO QRW IDOO XQWLO D UHPQDQW ZLOO FRPH IURP ,VUDHO ʬʠʸʹʩʮ ʣʩʸʹ DQG XSURRW WKH OHJV RI WKH FKLOGUHQ RI (VDX IURP 0RXQW 6HLU DV 6FULSWXUH VWDWHV ³$QG OHW RQH IURP -DFRE KDYH GRPLQLRQ DQG D UHPQDQW IURP WKH FLW\ ZLOO GHVWUR\ ʡʷʲʩʮ ʣʸʩʥ ʸʩʲʮ ʣʩʸʹ ʣʩʡʠʤʥ ´ 1XP DQG LW LV ZULWWHQ ³$QG WKH KRXVH RI -DFRE VKDOO EH D ILUH DQG WKH KRXVH RI -RVHSK D IODPH DQG WKH KRXVH RI (VDX DV VWUDZ « EXW WKHUH ZLOO QRW EH D UHPQDQW IRU WKH KRXVH RI (VDX ʣʩʸʹ ʤʩʤʩ ʠʬʥ ʥʹʲ ʺʩʡʬ ´ 2EDG
,Q WKHVH FKDSWHUV WKH H[HJHWLFDO FOXVWHU ³WKH UHPQDQW RI -DFRE´ RFFXUV LQ WKUHH VHSDUDWH HSLVRGHV DERXW -DFRE¶V VWUXJJOH DJDLQVW (VDX $V LQGLFDWHG E\ (OEDXP ZH FDQ VHH KRZ 35( FRUUHODWHV DPRQJ WKHVH HSLVRGHV E\ PHDQV RI D VKDUHG H[SUHVVLRQ DQG FRQFHSW ³WKH UHPQDQW RI -DFRE´ $V VXFK WKH H[SUHVVLRQ FRUUHODWHV ZLWKLQ WKH QDUUDWLYH P\WKLF DQG WKHPDWLF VWUXFWXUH RI 6FULSWXUH DQG HPERGLHV WKH OLWHUDU\ FUHDWLRQ RI 35( LWVHOI 1HYHUWKHOHVV WKH FOXVWHU ³WKH UHPQDQW RI -DFRE´ LV DOVR DQ H[SUHVVLRQ RI WKH H[SRVLWRUV¶ WUDQVIRUPDWLRQ RI WKLV ODQJXDJH LQWR DQ H[HJHWLFDO WRRO WKDW LOOXPLQDWHV DQG LQWHQVLILHV WKH VHPDQWLF UHIHUHQFH RI 6FULSWXUH ,Q FKDSWHUV WKLUW\WZR DQG WKLUW\ILYH ³WKH UHPQDQW RI -DFRE´ VHUYHV DV DQ DOLDV IRU WKH PHVVLDK +RZHYHU LW LV RQO\ LQ FKDSWHU WKLUW\VHYHQ WKDW WKH H[SRVLWRUV¶ PLQLQJ RI 6FULSWXUH EHFRPHV HYLGHQW DV WKH H[SUHVVLRQ DQG LWV DSRFDO\SWLF DOOXVLRQV HPHUJH IURP WZR FHQWUDO YHUVHV 1XP ZKLFK VWDWHV LQ LWV PLGUDVKLF UHDGLQJ ³$QG RQH IURP -DFRE ZLOO KDYH GRPLQLRQ DQG >KLV@ UHPQDQW ʣʩʸʹ IURP WKH FLW\ ZLOO GHVWUR\´ DQG 2EDG ZKLFK VWDWHV ³$QG WKH KRXVH RI -DFRE VKDOO EH D ILUH DQG WKH KRXVH RI -RVHSK D IODPH DQG WKH KRXVH RI (VDX DV VWUDZ « EXW WKHUH ZLOO QRW EH D UHPQDQW ʣʩʸʹ IRU WKH KRXVH RI (VDX´ 'HVSLWH FOHDU VLPLODULWLHV LQ WKH 6FULSWXUDO UHIHUHQFH WR ³UHPQDQWV´ BBBBBBBBBBBB
7KH FRQQHFWLRQ EHWZHHQ WKHVH YHUVHV ZDV QRWHG E\ 0LFKDHO )LVKEDQH >LQ %LEOLFDO ,QWHUSUHWDWLRQ @ ³2QH FDQ KDUGO\ GRXEW WKDW WKLV SURSKHF\ >RI 2EDG @ ZDV LQWHQGHG WR IXOILOO WKH DQFLHQW SURSKHWLF ZRUGV RI %DODDP ZKR SUHGLFWHG WKH VWHOODU ULVH RI -DFRE LQ 1XP ´ 6HH DOVR 5DVKL WR 2EDG
35( DQG WKH /DQJXDJH RI 6FULSWXUH
DFNQRZOHGJHPHQW RI WKH UHODWLRQVKLS EHWZHHQ WKHVH YHUVHV LV VFDQW LQ FODVVLFDO UDEELQLF OLWHUDWXUH ,Q RWKHU UDEELQLF LQWHUSUHWDWLRQV RI 1XP WKH FODVVLFDO PLGUDVKLP LQGLFDWH WKDW WKH PHVVLDQLF ILJXUH LV LPSOLFLW LQ WKH PDVFXOLQH VLQJXODU MXVVLYH RI WKH URRW ʤʣʸ DQG WKDW KH HPHUJHV RXW RI WKH QDWLRQ RI -DFRE 7KHVH ZRUNV VLWXDWH WKH UHGHPSWLRQ LQ WKH FRQWH[W RI WKH PHVVLDK¶V GHVWUXFWLRQ ʣʩʡʠʤʥ RI WKH UHPQDQW RI (GRP D UDEELQLF DOLDV IRU (VDX DQG 5RPH WR ZKRP WKH 6FULSWXUDO SDVVDJH UHIHUV LQ SUHYLRXV YHUVHV ,Q FRQWUDVW 35(¶V H[SRVLWRUV LGHQWLI\ WKH ³UHPQDQW´ DV WKH VXEMHFW RI WKH YHUEV ʣʸʩʥ DQG ʣʩʡʠʤʥ DQG FRUUHODWH WKLV ³UHPQDQW´ WR WKH PHVVLDK ZKR FRPHV ³IURP -DFRE´ 7KH H[SRVLWRUV YLHZ WKH ³UHPQDQW´ ZKR FRPHV ³IURP D FLW\´ DV WKH VXEMHFW RI DOO YHUEV LQ WKH YHUVH ± WKDW LV WKH\ GR QRW VHH WKDW ³KH ZLOO GHVWUR\´ WKLV UHPQDQW EXW WKDW KH LV WKLV UHPQDQW &RQVHTXHQWO\ 35(¶V UHDGLQJ RI WKH YHUVH LV WKDW ³WKH UHPQDQW IURP -DFRE ZLOO KDYH GRPLQLRQ DQG GHVWUR\´ DQG QRW WKDW ³WKH >PHVVLDK@ ZLOO GHVWUR\ WKH UHPQDQW RI (VDX´ DV WKLV YHUVH LV UHDG LQ FODVVLFDO UDEELQLF OLWHUDWXUH 7KLV LQWHUSUHWDWLRQ RI WKH YHUVH IURP 1XPEHUV XQGHUVFRUHV KRZ WKH H[SRVLWRUV KDYH FUHDWHG WKH H[SUHVVLRQ ³WKH UHPQDQW RI -DFRE´ RXW RI DQ LQQRYDWLYH UHLQWHUSUHWDWLRQ RI 6FULSWXUDO ODQJXDJH )XUWKHUPRUH WKLV QHZ LQWHUSUHWDWLRQ RI WKH YHUVH EHFRPHV D FOXVWHU ZKLFK WKH\ DOVR ZLHOG DV DQ H[HJHWLFDO WRRO WKURXJKRXW WKHVH WKUHH FKDSWHUV 35(¶V RULJLQDO LQWHUSUHWDWLRQ RI WKH ZRUG ³UHPQDQW´ DV DQ DOLDV IRU WKH PHVVLDK LV DOVR HYLGHQW LQ WKH H[SRVLWRUV¶ UHDGLQJ RI 2EDG ZKLFK H[SRVLWRUV XVH WRJHWKHU ZLWK WKH YHUVH IURP 1XPEHUV WR FUHDWH WKLV H[HJHWLFDO FOXVWHU ,Q WKHLU GHYHORSPHQW RI WKLV FOXVWHU WKH H[SRVLWRUV¶ LQWHUSUHWDWLRQ RI 2EDGLDK FRQWUDVWV VKDUSO\ ZLWK WKH UHFHLYHG UDEELQLF WUDGLWLRQ RQ WKLV YHUVH ,Q FODVVLFDO UDEELQLF OLWHUDWXUH WKH VFULSWXUDO SKUDVH ʥʹʲ ʺʩʡʬ ʣʩʸʹ ʤʩʤʩ ʠʬʥ LV UHDG DV ³WKHUH ZLOO QRW EH D UHPQDQW DPRQJ WKH KRXVH RI (VDX´ WKDW LV WKH WLPH RI UHGHPSWLRQ ZLOO KHUDOG WKH FRPSOHWH GHVWUXFWLRQ RI WKRVH DVVRFLDWHG ZLWK WKH DOLDV FKDUDFWHU RU JHQHDORJ\ RI (VDX DV LQ WKH UDEELQLF UHDGLQJ RI 1XP +RZHYHU 35(¶V LQWHUSUHWDWLRQ RI WKH SKUDVH DJDLQ XQGHUVWDQGV WKH ZRUG IRU ³UHPQDQW´ WR UHIHU WR D PHVVLDQLF ILJXUH ³WKHUH ZLOO QRW EH D UHGHHPHU IRU WKH KRXVH RI (VDX´ 2Q WKH EDVLV RI WKLV QHZ UHDGLQJ RI WKH SDVVDJH 35(¶V BBBBBBBBBBBB
2QO\ 0HNKLOWD GH5DEEL ,VKPDHO %R FRUUHODWHV WKHVH SDVVDJHV LQ RUGHU WR UHLQIRUFH WKH FRQQHFWLRQ RI ODQJXDJH EXW SURYLGHV OLWWOH UHDVRQ WR VXVSHFW WKDW WKLV LV WKH RULJLQ RI WKH WUDGLWLRQ GXH WR WKH ZRUN¶V ODFN RI H[SODQDWLRQ IRU TXRWLQJ WKH YHUVHV VLGH E\ VLGH 6HH 3HVLNWD 5DEEDWL
0LGUDVK DQG 0XOWLSOLFLW\
H[SRVLWRUV FODLP WKDW WKHUH ZLOO EH D ʣʩʸʹ RI -DFRE ZKR UHGHHPV ,VUDHO EXW QR ʣʩʸʹ RU UHGHHPHU IRU (VDX 7KH OLQJXLVWLF FRQQHFWLRQ EHWZHHQ WKHVH WZR YHUVHV LV WKH EDVLV IRU WKLV FOXVWHU H[SUHVVLRQ ³WKH UHPQDQW RI -DFRE´ ZKLFK LV XQGHUVWRRG DV DQ DOLDV IRU WKH PHVVLDK 7KH H[SRVLWRUV GHULYH WKLV H[SUHVVLRQ GLUHFWO\ IURP 6FULSWXUH DQG WKXV SURYLGH D QHZ LPDJH RI WKH PHVVLDK DV KH UHODWHV WR WKH NLQJGRPV RI (VDX DOO RI ZKLFK DUH PHDQW E\ WKLV QHZ H[SUHVVLRQ 7KH FOXVWHU H[SUHVVLRQ ³WKH UHPQDQW RI -DFRE´ KRZHYHU FDQ DOVR EH VHHQ WR EH DQ H[HJHWLFDO WRRO WKDW WKH H[SRVLWRUV XVH LQ RUGHU WR LQWHUSUHW 6FULSWXUDO DQG UDEELQLF WUDGLWLRQV HOVHZKHUH LQ WKH 6FULSWXUDO ODQJXDJH WKDW LV SUHVHQW LQ WKH QDUUDWLYHV RI -DFRE DQG (VDX ,Q FKDSWHU WKLUW\VHYHQ 35(¶V H[SRVLWRUV XVH WKH H[SUHVVLRQ WR LQWURGXFH D GRXEOH LQWHUSUHWDWLRQ RI WKH SDUDGLJPDWLF YHUVH IRU WKH UHODWLRQVKLS RI -DFRE DQG (VDX *HQ 7KH ODQJXDJH RI WKLV YHUVH LV FRPPRQO\ UHQGHUHG DV ³WKH HOGHU ZLOO VHUYH WKH \RXQJHU´ ʸʩʲʶ ʣʥʡʲʩ ʡʸ WKH H[SRVLWRUV H[SORLW WKH JUDPPDU RI WKLV SKUDVH WR UHQGHU DQ HTXDOO\ SODXVLEOH LQWHUSUHWDWLRQ RI WKLV SKUDVH DV ³WKH \RXQJHU ZLOO VHUYH WKH HOGHU´ 7KH GRXEOH PHDQLQJ RI WKH SDVVDJH HPHUJHV RXW RI WKHLU DWWHQWLRQ WR WKH ZRUG ʡʸ UDY DQG WKH URRW ʣʡʲ LQ WKLV YHUVH ,Q WKH FKDSWHU WKH H[SRVLWRUV LQWURGXFH VHYHUDO YHUVHV IURP 6FULSWXUH DV D PHDQV WR GHVFULEH WKLV UHODWLRQVKLS LQ ZKLFK WKH\ KLJKOLJKW WKH RFFXUUHQFH RI WKH ZRUG ʡʸ LQ (VDX¶V UHIXVDO RI -DFRE¶V EULEHV LQ *HQ ³, KDYH HQRXJK UDY ´ ʡʸ ʩʬ ʹʩ DV ZHOO DV LQ ,VUDHO¶V DYRLGDQFH RI WKH KRPHODQG RI (VDX¶V GHVFHQGHQWV GXULQJ WKHLU MRXUQH\ LQ WKH GHVHUW LQ 'HXW ³6HLU@ HQRXJK UDY ʤʦʤ ʸʤʤ ʺʠ ʡʱ ʭʫʬ ʡʸ ´ 7KH FRUUHVSRQGHQFH RI WKHVH H[SUHVVLRQV WR WKH ODQJXDJH RI *HQ SDUWLFXODUO\ WKH ZRUG ³WKH HOGHU´ ʡʸ UDY XQGHUVFRUHV WKH VXEVHUYLHQFH RI -DFRE WKH DOLDV RI ,VUDHO LQ WKLV ZRUOG WR (VDX WKH DOLDV RI (GRP DQG 5RPH 7KH DOOXVLRQ LQ WKHVH YHUVHV IUDPHV WKH QDUUDWLYH RI -DFRE DQG (VDX DQG VHWV XS WKH VXEVHTXHQW HVFKDWRORJLFDO KLVWRU\ WKDW LV LPSOLHG LQ WKH FOXVWHU ³WKH UHPQDQW RI -DFRE´ 6LPLODUO\ WKH H[SRVLWRUV FRUUHODWH WKH DSSHDUDQFH RI WKH URRW ʣʡʲ LQ -DFRE¶V VWDWHPHQW DERXW KLV JLIWV WR (VDX WKH QDUUDWLYH WKDW IUDPHV WKH SDVVDJH ZKHQ -DFRE VWDWHV LQ *HQ ³/HW P\ ORUG >HJ (VDX@ SOHDVH SDVV EHIRUH KLV VHUYDQW ʥʣʡʲ ´ ,Q DFFRUGDQFH ZLWK WKH XVH RI WKH ZRUG ³ZLOO VHUYH´ ʣʥʡʲʩ LQ *HQ WKH H[SRVLWRUV FLWH ³SOHDVH OHW P\ ORUG SDVV EHIRUH KLV VHUYDQW ʥʣʡʲ ´ LQ RUGHU WR XQGHUVFRUH -DFRE¶V VXEVHUYLHQFH WR (VDX LQ ³WKLV ZRUOG´ &RQVHTXHQWO\ WKH H[SRVLWRUV LQWHUSUHW WKH ODQJXDJH RI *HQ DV GHPRQVWUDWLQJ (VDX¶V SRZHU LQ WKLV ZRUOG ZLWK WKH LPSOLFLW XQGHUVWDQGLQJ WKDW WKH YHUVH ZLOO EH UHUHDG LQ DQWLFLSDWLRQ RI WKH HVFKDWRORJLFDO UHYHUVDO WRZDUGV -DFRE $FFRUGLQJO\ WKH H[SRVLWRUV¶ LQWURGXFWLRQ RI WKH H[HJHWLFDO H[SUHVVLRQ BBBBBBBBBBBB
6HH
35( DQG WKH /DQJXDJH RI 6FULSWXUH
³WKH UHPQDQW RI -DFRE´ LQWR WKH LQWHUSUHWDWLRQ RI *HQ FDXVHV WKH YHUVH WR IXOILOO ERWK RI LWV SRVVLEOH PHDQLQJV 2Q WKH RQH KDQG WKH H[SRVLWRUV LQWHUSUHW *HQ DV ³WKH \RXQJHU ZLOO VHUYH WKH HOGHU´ LQVRIDU DV -DFRE EHFRPHV VXEVHUYLHQW WR (VDX LQ WKLV ZRUOG D IDFW DFFHQWXDWHG E\ -DFRE¶V XVH RI WKH ZRUGV ʡʸ DQG ʣʡʲ LQ GHIHUHQFH WR (VDX &RQYHUVHO\ WKH LQWHUSUHWDWLRQ RI WKLV YHUVH UHYHUVHV ZKHQ WKH PHVVLDQLF ³UHPQDQW RI -DFRE´ HPHUJHV WR ³XSURRW WKH OHJV RI WKH FKLOGUHQ RI (VDX IURP 0RXQW 6HLU´ 7KH XVH RI WKLV H[HJHWLFDO FOXVWHU FKDQJHV WKH LQWHUSUHWDWLRQ RI WKH YHUVH WR ³WKH HOGHU ZLOO VHUYH WKH \RXQJHU´ :LWK WKH ULVH RI WKH ³UHPQDQW RI -DFRE´ DW WKH HQG RI GD\V (VDX¶V GRPLQLRQ ZLOO EH VKDWWHUHG ,W LV ZRUWKZKLOH WR QRWH WKDW WKH HVFKDWRORJLFDO HYHQW LV QRW RQO\ SUHVHQW LQ WKH IDWH RI ,VUDHO EXW WKDW LW LV DQG PXVW EH SUHVHQW LQ D FRUUHVSRQGLQJ WUDQVIRUPDWLRQ LQ WKH ODQJXDJH RI 6FULSWXUH WKLV FKDQJH LQ WKH IDWH RI ,VUDHO LV LPSULQWHG LQ WKH QHZ DXWKRULWDWLYH LQWHUSUHWDWLRQ RI 6FULSWXUDO ODQJXDJH WKDW FRUUHODWHV WUDQVIRUPDWLRQV LQ 6FULSWXUH DQG HVFKDWRORJLFDO KLVWRU\ :LWK WKH DGGLWLRQ RI WKH FOXVWHU ³WKH UHPQDQW RI -DFRE´ WKH H[SRVLWRUV IRUHWHOO WKH PXOWLSOLFLW\ RI SUHVHQW DQG IXWXUH HYHQWV WKDW DUH UHSUHVHQWHG ZLWKLQ WKH ODQJXDJH RI 6FULSWXUH 6LPLODUO\ WKH XVH RI ³WKH UHPQDQW RI -DFRE´ LQ FKDSWHUV WKLUW\WZR DQG WKLUW\ILYH IXUWKHU LOOXVWUDWHV WKH ZRUN¶V XVH RI FOXVWHUV WR WUDQVPLW DQG WUDQVIRUP UDEELQLF XQGHUVWDQGLQJV RI 6FULSWXUH $V LQ FKDSWHU WKLUW\VHYHQ WKHVH SDVVDJHV XVH WKH H[SUHVVLRQ DV D ZD\ WR LQWHUSUHW 6FULSWXUH HYHQ DV WKH\ UHVLWXDWH WKH 6FULSWXUDO LQWHUSOD\ RI 1XP DQG 2EDG ,Q FKDSWHU WKLUW\WZR WKH H[SRVLWRUV LQWURGXFH WKH H[SUHVVLRQ LQ WKH FRQWH[W RI -DFRE¶V ILUVW VWUXJJOH ZLWK (VDX KLV VWUXJJOH LQ WKH ZRPE RI 5HEHFFD 7KLV SDVVDJH UHIHUV WR WKH ³UHPQDQW RI -DFRE´ LQ WKH FRQWH[W RI -DFRE¶V JUDVSLQJ RI (VDX¶V KHHO DQG SURYLGHV DQ HVFKDWRORJLFDO UHIRUPXODWLRQ LQ WKH VWDWHPHQW WKDW ³WKH FKLOGUHQ RI (VDX ZLOO QRW IDOO XQWLO WKH UHPQDQW RI -DFRE ZLOO FRPH DQG XSURRW WKH OHJV RI (VDX IURP 0RXQW 6HLU´ :LWK WKLV VWDWHPHQW FKDSWHU WKLUW\WZR KLJKOLJKWV 6FULSWXUDO ODQJXDJH WKDW UHIHUV WR (VDX¶V ³OHJ´ ʬʢʸ UHFDOOLQJ -DFRE¶V VWUXJJOH ZLWK (VDX DW ELUWK DQG DQWLFLSDWHV -DFRE¶V IXWXUH PHVVLDQLF WXUQ ,Q WKHLU XVH RI 'DQ ³>+H@ VPRWH KLV LPDJH XSRQ KLV OHJV ʩʤʥʬʢʸ WKDW BBBBBBBBBBBB
7KHUH LV OLWWOH URRP KHUH WR HODERUDWH XSRQ ZKDW , VHH DV D FHQWUDO D[LRP IRU PLGUDVK LQ JHQHUDO 5HFHQW GLVFXVVLRQV RI PLGUDVK KDYH RIWHQ IRFXVHG XSRQ WKH UHODWLYH PHULWV RI ³H[HJHVLV´ DV RSSRVHG WR ³HLVHJHVLV´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
0LGUDVK DQG 0XOWLSOLFLW\
ZHUH LURQ DQG FOD\ DQG EURNH WKHP WR SLHFHV´ DQG 'HXW ³>9@HQJHDQFH LV PLQH DQG UHFRPSHQVH DW WKH WLPH ZKHQ WKHLU OHJ ʭʬʢʸ VKDOO VOLS´ WKH H[SRVLWRUV KLJKOLJKW D UHIHUHQFH WR WKLV OHJ HOVHZKHUH LQ 6FULSWXUH LQ RUGHU WR PRYH WRZDUGV WKLV HVFKDWRORJLFDO PHVVDJH 7KH ³OHJ´ FRQQHFWLRQ LQ WKHVH YHUVHV UHIOHFWV DQ HVFKDWRORJLFDO PRYHPHQW ZKHQ -DFRE ³VPLWHV´ (VDX¶V OHJ DQG (VDX¶V OHJ ILQDOO\ ³VOLSV´ 7KH FRQWUDVW EHWZHHQ WKH SUHVHQW DQG IXWXUH UHODWLRQ RI -DFRE ZLWK (VDX SURYLGHV DQ DGGLWLRQDO LQVWDQFH IRU WKH H[SRVLWRUV WR UHDVVHUW DQG DSSO\ WKH H[HJHWLFDO FOXVWHU WR WKH FOXVWHUHG LPDJHU\ RI (VDX¶V OHJ $FFRUGLQJO\ FKDSWHUV WKLUW\WZR DQG WKLUW\VHYHQ VWDWH WKDW ³WKH UHPQDQW RI -DFRE ZLOO XSURRW WKH OHJ RI (VDX´ LQ WKH ZRUOG WR FRPH 7KH H[SRVLWRUV XVH WKH H[HJHWLFDO FOXVWHU LQ RUGHU WR UHDVVHUW WKLV IXQGDPHQWDO SULQFLSOH DERXW WKH PHVVLDQLF HUD DV PXFK DV WKH\ HPEHG WKH FOXVWHU ZLWKLQ WKHVH 6FULSWXUDO YHUVHV ,Q FKDSWHU WKLUW\ILYH WKH H[SRVLWRUV QRW RQO\ LQWURGXFH WKH H[HJHWLFDO FOXVWHU LQWR WKH VWUXJJOH RI -DFRE DQG (VDX RYHU WKH VDOH RI WKH ELUWKULJKW EXW WKH\ GHPRQVWUDWH WKH VLPLODULW\ EHWZHHQ FOXVWHUV DQG OLWHUDU\ RUJDQL]DWLRQ ZLWKLQ WKH ZRUN 7KH H[SRVLWRUV HPSKDVL]H -DFRE¶V VXEVHUYLHQFH WR (VDX WKURXJK WKH PHDO RI OHQWLOV DQG WKXV LQWURGXFH D OLVW RI SDUDOOHO LQVWDQFHV RI OHQWLOV DQG PRXUQLQJ LQWR WKH FRXUVH RI WKLV QDUUDWLYH WKH H[SRVLWRUV HPSKDVL]H WKH SDULW\ DPRQJ WKH SDWULDUFKDO OHQWLOV RI VXIIHULQJ LQFOXGLQJ -DFRE DQG ,VUDHO DW WKH GHVWUXFWLRQ RI WKH 7HPSOH DQG H[LOH &RQVHTXHQWO\ WKH H[SRVLWRUV DOVR XVH WKH H[SUHVVLRQ ³WKH UHPQDQW RI -DFRE´ LQ RUGHU WR HPSKDVL]H WKH LPSRUWDQFH RI WKLV OLVW WR WKH WURSH RI -DFRE¶V VXEVHUYLHQFH WR (VDX ZKLFK ZLOO HQG LQ WKH VDPH HVFKDWRORJLFDO UHYHUVLRQ 7KH H[HJHWLFDO FOXVWHU QRW RQO\ KLJKOLJKWV WKH ZRUN¶V WHQGHQF\ WR FRUUHODWH 6FULSWXUDO SDVVDJHV EXW DOVR HPERGLHV WKH ZD\ WKDW WKH ZRUN FDQ HPEHG OLVWV DQG RWKHU RUJDQL]DWLRQDO IHDWXUHV LQ WKH VWUXFWXUH RI WKH FOXVWHU ,Q HVVHQFH 35(¶V H[HJHWLFDO FOXVWHUV KDYH D FOHDU SXUSRVH WKH WUDQVPLVVLRQ DQG WUDQVIRUPDWLRQ RI D ERG\ RI NQRZOHGJH LQ GHQVH V\PEROLF ODQJXDJH DQG WKH UHIRUPXODWLRQ RI WKH ODQJXDJH RI 6FULSWXUDO DQG UDEELQLF WUDGLWLRQV LQWR D WRRO WKDW PD\ EH XVHG WR UHQHZ LWV HQJDJHPHQW ZLWK WKH PXOWLSOLFLW\ RI 6FULSWXUH ,Q WKLV H[DPSOH WKH H[SRVLWRUV JHQHUDWH DQG UHXVH WKH H[SUHVVLRQ ³WKH UHPQDQW RI -DFRE´ LQ RUGHU WR SUHVHQW WKH UHODWLRQVKLS RI -DFRE DQG (VDX DV PLUURULQJ WKH KLVWRULFDO DQG HVFKDWRORJLFDO UHDOLW\ RI WKH -HZLVK SHRSOH DV LW LV H[SUHVVHG ZLWKLQ WKH VKLIWLQJ ODQGVFDSH RI 6FULSWXDO ODQJXDJH $V D FRPSOH[ FOXVWHU RI 6FULSWXUDO DQG UDEELQLF WUDGLWLRQV ³WKH UHPQDQW RI -DFRE´ H[HPSOLILHV WKH FRPSOH[LW\ RI 35(¶V WUDGLWLRQ EXLOGLQJ 7KH GHQVLW\ DQG LQGHSHQGHQFH RI 35(¶V HQJDJHPHQW ZLWK WKH ODQJXDJH RI 6FULSWXUH LV SUHVHQW LQ WKHVH FUHDWLRQV QRW RQO\ DV D VLJQ RI HGLWRULDO DQG OLWHUDU\ YLUWXRVLW\ 2Q WKH FRQWUDU\ WKHVH H[HPSOD UHSUHVHQW FKDUDFWHULVWLF TXDOLWLHV RI WKH ZRUN¶V H[HJHWLFDO RULHQWDWLRQ WRZDUGV 6FULSWXUH D WHQGHQF\ WR JHQHUDWH GHQVH FOXVWHUV
35( DQG WKH /DQJXDJH RI 6FULSWXUH
RI ODQJXDJH WKDW UHSUHVHQWV FRPSOH[ DFWV RI LQWHUSUHWDWLRQ DQG XQGHUVWDQGLQJV RI 6FULSWXUH $V ZH ZLOO VHH LQ WKH QH[W FKDSWHU WKHVH ³WUDGLWLRQ EXLOGLQJ FOXVWHUV´ DSSO\ QRW RQO\ WR WKH ZRUN¶V LQQRYDWLYH H[HJHVLV RI 6FULSWXUDO ODQJXDJH EXW H[LVW ZLWKLQ WKH ZRUN¶V HQJDJHPHQW ZLWK UDEELQLF ODQJXDJH DV ZHOO
0LGUDVK DQG 0XOWLSOLFLW\
$SSHQGL[ /HJDO $XWKRULW\ DQG 6FULSWXUDO ,QQRYDWLRQ LQ 35( 'XULQJ WKH HUD RI WKH ULVKRQLP 35( ZDV QRW RQO\ DXWKRULWDWLYH DV D VRXUFH RI DJJDGLF WUDGLWLRQV EXW WKH ZRUN ZDV DOVR PLQHG IRU DXWKHQWLF OHJDO WUDGLWLRQV $OWKRXJK 35( LV QRW OLNH PLGUDVK KDODFKD WKH 0LVKQD 7DOPXG RU JHRQLF UHVSRQVD DQG FRGLFHV OHJDO WUDGLWLRQV RI -XGDLVP XQWLO WKH SUHVHQW GD\ EHDU 35(¶V LPSULQW 6LPLODU WR RWKHU ZRUNV RI PLGUDVK KRZHYHU 35( UHIOHFWV WKH SHUYDVLYH UDEELQLF LQWHUHVW LQ -HZLVK SUDFWLFH $FFRUGLQJO\ WKH ZRUN UHLWHUDWHV PDQ\ RI WKH KRPHOHWLFDO WUDGLWLRQV DERXW -HZLVK SUDFWLFH WKDW DUH IRXQG LQ FODVVLFDO UDEELQLF OLWHUDWXUH ,Q DGGLWLRQ 35( LQWURGXFHV D QXPEHU RI FXVWRPV DQG SUDFWLFHV 0DLQVWUHDP UDEELQLF OHJDO FRGLFHV KDYH ODUJHO\ DFFHSWHG ERWK GHULYHG DQG RULJLQDO WUDGLWLRQV DV OHJDOO\ ELQGLQJ 1HYHUWKHOHVV VFKRODUVKLS KDV RQO\ EHJXQ WR DGGUHVV WKH WHQRU RI 35(¶V LQWHUDFWLRQ DQG LQQRYDWLRQ ZLWK WUDGLWLRQDO UDEELQLF SUDFWLFH HYHQ LI WKLV LV D IXQGDPHQWDO FRPSRQHQW RI WKH ZRUN¶V UHODWLRQVKLS WR FODVVLFDO UDEELQLF OLWHUDWXUH DQG LWV LQWHUSUHWDWLRQ RI 6FULSWXUH ,Q 35(¶V GLVFRXUVH RQ FODVVLFDO UDEELQLF ODZ LW GRHV QRW IRFXV XSRQ WKH OHJDO GHULYDWLRQ RI ODZ IURP WKH %LEOH RU FODVVLFDO OHJDO ZRUNV EXW UDWKHU XSRQ WKH FRUUHVSRQGHQFH EHWZHHQ D SUDFWLFH DQG LWV 6FULSWXUDO RULJLQV (OHPHQWV RI UDEELQLF SUDFWLFH FRPSULVH PDQ\ RI WKH WKHPHV OLVWV DQG DQDORJLHV ZKLFK UXQ WKURXJKRXW WKH ZRUN 7KLV LV SDUWLFXODUO\ DSSDUHQW LQ WKH ZRUN¶V IUHTXHQW GLVFXVVLRQ RI FLUFXPFLVLRQ PDUULDJH WKH 6DEEDWK DQG WKH OLWXUJ\ $V LQGLFDWHG LQ WKH GLVFXVVLRQ RI LQWHUFDODWLRQ DERYH 35( LQWHJUDWHV D GLVFXVVLRQ RI -HZLVK SUDFWLFH LQWR LWV OLWHUDU\ UHRUJDQL]DWLRQ DQG UHSUHVHQWDWLRQ RI 6FULSWXUDO DQG UDEELQLF WUDGLWLRQV 7KH DVWURQRPLFDO FKDSWHUV DUH VWUXFWXUHG E\ WKHLU FHOHVWLDO WKHPH EXW WKH DSSOLFDWLRQ RI WKH LQWHUFDODWLRQ LV GHSHQGHQW XSRQ WKH ZRUN¶V ³LGHRORJLFDO VWUXFWXUH´ ZKLFK VLWXDWHV WKH F\FOH RQ WKH IRXUWK GD\ RI FUHDWLRQ 7KLV SULQFLSOH RI 6FULSWXUDO FRQWHQW DQG WKH GHYHORSPHQW RI SUDFWLFH DUH DOVR DSSOLFDEOH WR 35(¶V LQWHUDFWLRQ ZLWK UDEELQLF ODZ ZKHUHLQ WKH 6FULSWXUDO H[DPSOH JXLGHV WKH FUHDWLRQ RI D SUDFWLFH $V DQ H[DPSOH RI WKH ZRUN¶V LQWHUDFWLRQ ZLWK -HZLVK SUDFWLFH 35(¶V H[SRVLWRUV LQFRUSRUDWH %LEOLFDO DQG UDEELQLF SUDFWLFH LQWR WKHLU LQWHUSUHWDWLRQ RI 6FULSWXUH ,Q FKDSWHU WKLUW\VHYHQ IRU H[DPSOH WKH ZRUN VWUHVVHV WKH LPSRUWDQFH RI WKH %LEOLFDO VWRU\ FRQQHFWHG ZLWK WKH %LEOLFDO SURKLELWLRQ RI FRQVXPSWLRQ RI WKH VLQHZ RI DQ DQLPDO LQ UDEELQLF OHJDO WHUPV BBBBBBBBBBBB
6HH GLVFXVVLRQ EHORZ DQG QRWH DERYH IRU UHIHUHQFHV 5DFKHO $GHOPDQ KDV SURYLGHG VRPH PRYHPHQW WRZDUGV WKH DFDGHPLF VWXG\ RI WKHVH VHFWLRQV >LQ 3RHWLFV RI 6SDFH DQG 7LPH @ HYHQ LI VKH LGHQWLILHV 35(¶V UHODWLRQVKLS WR WKHVH OHJDO WUDGLWLRQV DV ³HWLRORJLFDO´
35( DQG WKH /DQJXDJH RI 6FULSWXUH
$W WKDW WLPH -DFRE ZLVKHG WR RYHUFRPH WKH $QJHO DQG WR IHOO KLP WR WKH JURXQG :KDW GLG WKH DQJHO GR" +H JUDEEHG WKH WHQGRQ RI -DFRE¶V OHJ DQG LQMXUHG WKH WHQGRQ ZKLFK ZDV PDGH OLNH GHDG IDW ± >D@FFRUGLQJO\ LW ZDV IRUELGGHQ ʸʥʱʠ IRU WKH FKLOGUHQ RI ,VUDHO WR HDW WKH VLQHZ RI WKH KLS WKDW LV RQ WKH WKLJK RI DOO EHDVWV DV 6FULSWXUH VWDWHV ³$QG WKXV WKH FKLOGUHQ RI ,VUDHO ZLOO QRW HDW WKH WHQGRQ «´ *HQ
6LPLODUO\ RWKHU HOHPHQWV RI UDEELQLF OLWXUJ\ DQG SUDFWLFH DUH LQWHJUDWHG LQWR WKH ZRUN¶V UHFHSWLRQ WUDQVPLVVLRQ DQG WUDQVIRUPDWLRQ RI -HZLVK SUDFWLFH 6LQFH =XQ] VFKRODUV KDYH QRWHG WKDW VHYHUDO RI WKH EOHVVLQJV IURP WKH 6KHPRQHK (VUHK DUH LQFRUSRUDWHG LQWR 35(¶V OLWHUDU\ RUJDQL]DWLRQ DQG LQWHUSUHWDWLRQ RI 6FULSWXUH ,Q FKDSWHU IRUW\ IRU H[DPSOH WKH H[SRVLWRUV LQWHJUDWH WKH IRXUWK EOHVVLQJ RI WKH 6KHPRQHK (VUHK LQWR D QDUUDWLYH DERXW 0RVHV¶ HQFRXQWHU ZLWK *RG DW WKH EXUQLQJ EXVK 0RVHV VDLG EHIRUH WKH +RO\ 2QH EOHVVHG EH +H ³0DVWHU RI DOO ZRUOGV \RX KDYH HQOLJKWHQHG PH ZLWK \RXU JUHDW DQG KRO\ QDPH WKDW , ZLOO FDOO XSRQ \RXU QDPH DQG \RX ZLOO DQVZHU PH $QG WKH\ ZHUH HQOLJKWHQHG DV 6FULSWXUH VWDWHV ³$QG WKH /RUG VDLG WR 0RVHV , DP WKDW , DP´ ([ DQG DV 6FULSWXUH VWDWHV ³$QG *RG DJDLQ VDLG WR 0RVHV WKXV \RX ZLOO VD\ XQWR ,VUDHO WKH /RUG *RG RI \RXU IDWKHUV´ DQG WKH FHOHVWLDO RQHV VDZ WKDW WKH +RO\ 2QH EOHVVHG EH +H KDG WUDQVPLWWHG WKH VHFUHW RI KLV XQTXDOLILHG QDPH WR 0RVHV DQG WKH\ VDLG ³%OHVVHG DUH \RX /RUG ZKR SURYLGHV ZLVGRP ʺʲʣʤ ʯʰʥʧ ʤ ʤʺʠ ʪʥʸʡ ´
,Q HDFK RI WKH SUDFWLFHV DQG WUDGLWLRQV DERYH 35( GRHV QRW RULJLQDWH WKH REOLJDWLRQ IRU WKH SUDFWLFH 1HYHUWKHOHVV HDFK PHQWLRQ RI D SUD\HU RU UHOLJLRXV SUDFWLFH UHRULHQWV WKH SUDFWLFH ZLWKLQ WKH ZRUN¶V OLWHUDU\ RUJDQL]DWLRQ DQG SURYLGHV D 6FULSWXUDO FRQWH[W LQ ZKLFK WKH SUDFWLFH HPHUJHG LQ LWV DXWKRULWDWLYH VWDWH 35( ILQGV WKH OHJDO EDVLV IRU HDFK SUDFWLFH ZLWKLQ WKH SDUDGLJPDWLF HYHQWV RI 6FULSWXUH \HW WKH ZRUN DOVR XVHV WKHVH SUDFWLFHV DV D IUDPHZRUN WR JXLGH DQG VWUXFWXUH LWV LQWHUSUHWDWLRQV ,Q WKHLU LQWHUDFWLRQ ZLWK WKH UDEELQLF WUDGLWLRQ RI ODZ DQG SUDFWLFH KRZHYHU 35(¶V H[SRVLWRUV DOVR LQWHUPLQJOH QHZ FXVWRPV RU SUDFWLFHV ZLWK PRUH ZHOO NQRZQ SUDFWLFHV DV SDUW RI WKHLU LQWHUSUHWDWLRQ RI 6FULSWXUH 7KH H[SRVLWRUV LGHQWLI\ LQQRYDWLRQV IRU -HZLVK ODZ DQG SUDFWLFH ZLWKLQ WKHLU BBBBBBBBBBBB
6HH $GHOPDQ 7KH 3RHWLFV RI 7LPH DQG 6SDFH $GHOPDQ SURYLGHV D KHOSIXO FKDUW WKDW WUDFNV WKH DSSHDUDQFH RI WKH 6KHPRQHK (VUHK LQ 35( XQIRUWXQDWHO\ VKH DWWHPSWV WR ILQG HYHU\ EOHVVLQJ RI WKH 6KHPRQHK (VUHK LQ 35( DQG LV IRUFHG WR ORRN IRU ³LPSOLFLW´ DOOXVLRQV IRU VHYHUDO RI WKH EOHVVLQJV
0LGUDVK DQG 0XOWLSOLFLW\
RUJDQL]DWLRQ DQG UHIRUPXODWLRQ RI 6FULSWXUH )RU H[DPSOH WKH ZRUN LQFRUSRUDWHV UHFHLYHG DQG RULJLQDO WUDGLWLRQV SUD\HUV DQG SUDFWLFHV UHODWHG WR +DYGDODK LQWR D GLVFXVVLRQ RI $GDP¶V FHOHEUDWLRQ RI WKH ILUVW 6DEEDWK DIWHU KLV H[LOH IURP WKH *DUGHQ RI (GHQ LQ FKDSWHU WZHQW\ $W WZLOLJKW RI WKH 6DEEDWK $GDP WKRXJKW WR KLPVHOI DQG VDLG ³:RH LV PH OHVW WKH VQDNH WKDW PLVOHG PH FRPHV WR ELWH P\ KHHO GXULQJ WKH QLJKW´ $V 6FULSWXUH VWDWHV ³$QG +H ZLOO ELWH PH LQ WKH QLJKW DQG WKH OLJKW ZLOO EH QLJKW´ 3V $QG D SLOODU RI ILUH ZDV VHQW LQ RUGHU WR VHUYH DV OLJKW IRU KLP DQG WR SURWHFW KLP IURP DOO HYLO $GDP VDZ WKH SLOODU RI ILUH DQG ZDV FRQWHQWHG DQG KH VHQW IRUWK KLV KDQG WRZDUGV WKH OLJKW RI WKH ILUH DQG VDLG ³%OHVVHG DUH \RX /RUG ZKR FUHDWHV WKH OLJKW RI WKH ILUH ʩʸʥʠʮ ʠʸʥʡ ʤ ʤʺʠ ʪʥʸʡ ʹʠ ´ $QG ZKHQ KH UHPRYHG KLV KDQG IURP WKH OLJKW RI WKH ILUH KH VDLG ³1RZ , NQRZ WKDW D KRO\ GD\ LV VHSDUDWHG IURP D SURIDQH GD\ ʭʥʩʮ ʹʣʷʤ ʭʥʩ ʬʣʡʰ ʬʥʧ ´ :K\" %HFDXVH RQH VKRXOG QRW EXUQ ILUH RQ WKH 6DEEDWK GD\ $W WKDW WLPH KH VDLG ³%OHVVHG DUH \RX /RUG ZKR GLYLGHV KRO\ IURP SURIDQH ʪʥʸʡ ʬʥʧʬ ʹʣʷ ʬʩʣʡʮʤ ʤ ʤʺʠ ´ 5 0HQD VD\V ³:LWK ZKDW LV D SHUVRQ REOLJDWHG WR VHSDUDWH ʬʩʣʡʤʬ ʡʩʩʧ " %\ PHDQV RI D FXS RI ZLQH DQG E\ PHDQV RI WKH OLJKW RI WKH ILUH ± µ%OHVVHG DUH \RX /RUG ZKR FUHDWHV WKH OLJKW RI WKH ILUH ʹʠ ʩʸʥʠʮ ʠʸʥʡ ʤ ʤʺʠ ʪʥʸʡ ¶ ± DQG ZKHQ KH UHPRYHV KLV KDQG IURP WKH ILUH KH VD\V µ%OHVVHG DUH \RX /RUG ZKR GLYLGHV KRO\ IURP SURIDQH ʬʥʧʬ ʹʣʷ ʬʩʣʡʮʤ ʤ ʤʺʠ ʪʥʸʡ ¶ ,I KH GRHV QRW KDYH ZLQH KH VKRXOG SXW IRUWK KLV KDQGV DQG JD]H XSRQ KLV ILQJHUQDLOV ZKLFK DUH JHQHUDWHG IURP WKH ERG\ DQG VD\ µ%OHVVHG DUH \RX /RUG ZKR FUHDWHV WKH OLJKW RI WKH ILUH¶ DQG ZKHQ KH UHPRYHV KLV KDQGV IURP WKH ILUH µ%OHVVHG DUH \RX /RUG ZKR GLYLGHV KRO\ IURP SURIDQH¶ $QG LI KH LV WUDYHOOLQJ KH VKRXOG SXW KLV KDQGV IRUWK WRZDUGV WKH OLJKW RI WKH VWDUV ZKLFK DUH FRPSRVHG RI ILUH DQG VD\ µ%OHVVHG DUH \RX /RUG ZKR FUHDWHV WKH OLJKW RI WKH ILUH¶ ,I WKH ZHDWKHU LV FORXG\ KH VKRXOG WDNH D URFN IURP WKH HDUWK DQG VD\ µ%OHVVHG DUH \RX /RUG ZKR GLYLGHV KRO\ IURP SURIDQH¶´
,Q WKLV VHFWLRQ 35( XVHV WKH +DYGDODK VHUYLFH DQG WZR RI LWV WUDGLWLRQDO SUD\HUV DV D IHDWXUH DURXQG ZKLFK LW RULHQWV WKH LQWHUSUHWDWLRQ RI D QDUUDWLYH )XUWKHUPRUH WKH H[SRVLWRUV SURYLGH DQ RULJLQ IRU WKH SUD\HUV DQG ULWXDOV ZLWKLQ WKH HYHQWV RI 6FULSWXUH LQ WKH UDEELQLF OHJDO ODQJXDJH RI ³REOLJDWLRQ´ ʡʩʩʧ 1HYHUWKHOHVV 5 0HQD¶V OHQJWK\ GLVFXVVLRQ RI WKH ULWXDO REOLJDWLRQV UHODWHG WR VHHLQJ WKH OLJKW LQ RQH¶V ILQJHUQDLOV LV DQ LQQRYDWLRQ ZKLFK LV IROORZHG WR WKH SUHVHQW GD\ ZLWKRXW SULRU OHJDO IRXQGDWLRQV ,Q KLV OHDUQHG LQYHVWLJDWLRQ RI WKLV WUDGLWLRQ 6RO )LQHVLQJHU WUDFHG WKH RULJLQV DQG UHFHSWLRQ RI WKLV WUDGLWLRQ IURP BBBBBBBBBBBB 6HH $GHOPDQ 7KH 3RHWLFV RI 7LPH DQG 6SDFH
35( DQG WKH /DQJXDJH RI 6FULSWXUH
35( WKURXJK WKH UHVSRQVD DQG FRGLFHV $OWKRXJK HDUO\ VRXUFHV LGHQWLILHG WKH SUDFWLFH LQ WKH -HUXVDOHP 7DOPXG )LQHVLQJHU DXWKRULWDWLYHO\ LGHQWLILHG WKH RULJLQ RI WKLV SUDFWLFH LQ 35( DQG QRW LQ DQ\ HDUOLHU ZRUN RI UDEELQLF OHJDO LQWHUSUHWDWLRQ $OWKRXJK OHJDO UHVSRQVD DQG FRGLFHV GR QRW DFNQRZOHGJH WKDW 35( LV WKH ILUVW VRXUFH 35(¶V LQQRYDWLRQV FRQFHUQLQJ WKLV ULWXDO WHVWLI\ WR 35(¶V LPSDFW RQ WKH OHJDO WUDGLWLRQ 7KH TXHVWLRQ WKDW VXFK H[HPSOD UDLVH WKHQ LV ZKDW WKHVH LQQRYDWLRQV LQGLFDWH DERXW WKH ZRUN¶V UHODWLRQVKLS ZLWK FODVVLFDO UDEELQLF OLWHUDWXUH DQG SUDFWLFH :KDW GR WKHVH LQQRYDWLRQV WHOO XV DERXW 35(¶V OHJDO GLVFRXUVH" $Q DQVZHU WR WKLV TXHVWLRQ FDQ EH IRXQG LQ WKH LQQRYDWLYH SUDFWLFHV DVVRFLDWHG ZLWK 35(¶V XVH RI D WHFKQLFDO H[SUHVVLRQ ³$QG WKXV WKH VDJHV HVWDEOLVKHG´ ʭʩʮʫʧ ʥʰʩʷʺʤ $OWKRXJK WKH H[SUHVVLRQ WKDW WKH VDJHV ³HVWDEOLVK´ D SUDFWLFH LV QRW H[FOXVLYH WR 35( WKLV H[DFW SKUDVH GRHV QRW RFFXU ZLWK DQ\ IUHTXHQF\ LQ DQ\ ZRUN RWKHU WKDQ 35( DQG
6RORPRQ VDZ WKDW WKH PHDVXUHPHQW RI ORYLQJ NLQGQHVV ZDV JUHDW EHIRUH WKH +RO\ 2QH EOHVVHG EH +H DQG ZKHQ KH EXLOW WKH 7HPSOH KH EXLOW WZR JDWHV RQH IRU EULGHJURRPV DQG RQH IRU PRXUQHUV DQG ,VUDHO ZDV FRPLQJ RQ WKH 6DEEDWKV DQG VLWWLQJ EHWZHHQ WKH WZR JDWHV DQG WKH EULGHJURRPV ZRXOG HQWHU DQG WKH\ ZRXOG NQRZ WKDW WKH\ ZHUH EULGHJURRPV DQG WKH\ ZRXOG VD\ WR KLP ³WKH RQH ZKR GZHOOV LQ WKLV KRXVH ZLOO JODGGHQ \RX ZLWK VRQV DQG GDXJKWHUV´ $QG WKRVH ZKR ZRXOG HQWHU LQWR WKH JDWH RI PRXUQHUV DQG WKHLU PRXWK ZRXOG EH FRYHUHG DQG WKH\ ZRXOG NQRZ WKDW KH ZDV VKDNHQ DQG WKH\ ZRXOG VD\ WR KLP ³WKH RQH ZKR GZHOOV LQ WKLV KRXVH ZLOO JLYH WR \RXU KHDUW DQG \RX ZLOO OLVWHQ WR WKH ZRUGV RI \RXU FRPSDQLRQ DQG \RXU FRPSDQLRQ ZLOO JLYH WR \RXU KHDUW WR IRUJLYH \RX DQG WKH\ ZLOO EULQJ \RX FORVH WR WKHP LQ RUGHU WKDW DOO RI ,VUDHO ZLOO JR RXW IURP LQLTXLW\ E\ PHDQV RI ORYLQJ NLQGQHVV´ WKDW@ EULGHJURRPV DQG PRXUQHUV ZRXOG HQWHU LQWR V\QDJRJXHV DQG VWXG\ KDOOV DQG WKH SHRSOH RI WKH SODFH ZRXOG VHH WKH EULGHJURRP DQG FHOHEUDWH ZLWK KLP DQG VHH WKH PRXUQHU DQG VLW ZLWK KLP XSRQ WKH JURXQG LQ RUGHU WKDW DOO RI ,VUDHO ZRXOG JR RXW IURP LQLTXLW\ E\ PHDQV RI ORYLQJ NLQGQHVV DQG LW LV VDLG RI WKHP ³EOHVVHG LV WKH RQH ZKR JLYHV JRRG UHSD\PHQW IRU DFWV RI ORYLQJ NLQGQHVV ʯʺʥʰ ʪʥʸʡ ʭʩʣʱʧ ʩʬʮʥʢʬ ʡʥʨ ʸʫʹ ´
BBBBBBBBBBBB
6RO % )LQHVLQJHU ³7KH &XVWRP RI /RRNLQJ DW WKH )LQJHUQDLOV´
0LGUDVK DQG 0XOWLSOLFLW\
&KDSWHU 7ZHQW\7KUHH
1RDK VDW DQG VHDUFKHG ZLWKLQ KLV KHDUW DQG VDLG ³7KH +RO\ 2QH EOHVVHG EH +H VDYHG PH IURP WKH IORRG DQG EURXJKW PH RXW IURP WKLV DQG WKXV , DP REOLJDWHG WR RIIHU VDFULILFHV DQG RIIHULQJV EHIRUH KLP´ $QG KH WRRN IURP DOO RI WKH FOHDQ EHDVWV EXOO DQG VKHHS DQG IURP DOO FOHDQ ELUGV D GRYH DQG D EHQ \RQD DQG VWRRG DQG EXLOW DQ DOWDU DQG RIIHUHG RIIHULQJV DV 6FULSWXUH VWDWHV ³>$@QG 1RDK EXLOW DQ DOWDU WR WKH /RUG´ *HQ DQG KH RIIHUHG DQ RIIHULQJ LV QRW ZULWWHQ KHUH EXW KH RIIHUHG RIIHULQJV RQ WKH DOWDU ʯʩʠ ʤʬʥʲ ʬʲʩʥ ʺʥʬʥʲ ʬʲʩʥ ʠʬʠ ʯʠʫ ʡʩʺʫ $QG WKH VDYRU\ VPHOO URVH EHIRUH WKH +RO\ 2QH EOHVVHG EH +H DV 6FULSWXUH VWDWHV ³>$@QG WKH /RUG VPHOOHG WKH VDYRU\ VPHOO´ DQG +H JDYH WKH UDLQERZ DV D VLJQ RI WKH FRYHQDQW RDWK VZRUQ EHWZHHQ +LP DQG WKH (DUWK DV 6FULSWXUH VWDWHV ³0\ UDLQERZ , JDYH LQ WKH FORXG´ :KDW GLG WKH +RO\ 2QH EOHVVHG EH +H GR" +H VHQW IRUWK KLV ULJKW KDQG DQG VZRUH WR 1RDK WKDW KH ZRXOG QHYHU FDXVH WKH IORRG ZDWHUV WR SDVV RYHU WKH (DUWK DV 6FULSWXUH VWDWHV ³>)@RU WKLV LV DV WKH ZDWHUV RI 1RDK IRU PH WKDW , VZRUH´ ,VD DQG WKXV WKH VDJHV HVWDEOLVKHG ʭʩʮʫʧ ʥʰʩʷʺʤ WKDW WKH\ ZRXOG UHPHPEHU WKH RDWK RI 1RDK XSRQ WKH ODQG HYHU\ GD\ DV 6FULSWXUH VWDWHV ³>,@Q RUGHU WKDW \RX ZLOO OHQJWKHQ \RXU GD\V WKDW WKH /RUG VZRUH´ 'HXW
&KDSWHU 7ZHQW\1LQH
5 ,VKPDHO VD\V ³&RXOG WKH XQFLUFXPFLVHG KHDU WKH YRLFH RI WKH +RO\ 2QH EOHVVHG EH +H DW 0W 6LQDL" 6FULSWXUH VWDWHV ³,´ +HDYHQ IRUHIHQG 7KH\ ZHUH FLUFXPFLVHG 5DWKHU LW ZDV QRW DSSURSULDWH ʤʰʷʺʫ ʠʬʹ >WKDW@ WKH\ WRRN WKH IRUHVNLQ DQG WKH EORRG DQG FRYHUHG WKHP LQ WKH GXVW RI WKH GHVHUW $QG ZKHQ %LODDP FDPH WR WKH GHVHUW LW ZDV IXOO RI ,VUDHO¶V IRUHVNLQV DQG KH VDLG ³:KR LV DEOH WR VWDQG DJDLQVW WKH PHULW RI WKLV EORRG RI FLUFXPFLVLRQ LW LV FRYHUHG LQ GXVW´ $V 6FULSWXUH VWDWHV ³:KR FDQ FRXQW WKH GXVW RI -DFRE ʩʮ ʡʷʲʩ ʸʴʲ ʤʰʮ DQG QXPEHU WKH PXOWLWXGH RI ,VUDHO"´ 1XP 7KXV WKH VDJHV HVWDEOLVKHG ʭʩʮʫʧ ʥʰʩʷʺʤ WKDW WKH\ ZRXOG FRYHU WKH IRUHVNLQ DQG EORRG ZLWK WKH GXVW RI WKH HDUWK WKDW DOOXGHV WR WKH GXVW ʸʴʲʡ ʥʬʹʮʰ DV 6FULSWXUH VWDWHV ³$QG \RXU VHHG ZLOO EH DV WKH GXVW RI WKH HDUWK´ *HQ $QG ZKHQ ,VUDHO FDPH WR WKH GHVHUW WKH +RO\ 2QH EOHVVHG EH +H VDLG WR -RVKXD ³-RVKXD GR \RX QRW NQRZ WKDW ,VUDHO LV QRW FLUFXPFLVHG DSSURSULDWHO\ ʭʩʬʥʮʰ ʯʰʷʺʫ "´ -RVKXD FLUFXPFLVHG WKHP D VHFRQG WLPH DV 6FULSWXUH VWDWHV ³$W WKDW WLPH WKH /RUG VDLG WR -RKXD µ>0@DNH NQLYHV RI VWRQH IRU \RXUVHOI´ DQG 6FULSWXUH VWDWHV ³$QG -RVKXD PDGH NQLYHV RI VWRQH IRU KLPVHOI´
&KDSWHU 7ZHQW\1LQH
(OLMDK RI JRRG PHPRU\ VWRRG DQG IOHG IURP WKH ODQG RI ,VUDHO XQWLO KH DUULYHG DW 0RXQW 6LQDL DV 6FULSWXUH VWDWHV ³$QG KH DURVH DQG KH DWH DQG KH GUDQN´ , .JV >%@\ WKH VWUHQJWK RI WKDW IRRG >KH ZHQW@ IRUW\ GD\V DQG IRUW\ QLJKWV XQWLO WKH 0RXQW RI *RG WRZDUGV +RUHE $QG WKHUH WKH +RO\ 2QH EOHVVHG EH +H ZDV UHYHDOHG WR KLP DQG VDLG WR KLP ³:KDW DUH \RX GRLQJ KHUH (OLMDK"´ , .JV DQG KH VDLG ³, DP VXUHO\ ]HDORXV ʩʺʠʰʷ ʠʰʷ IRU
35( DQG WKH /DQJXDJH RI 6FULSWXUH
WKH /RUG *RG RI +RVWV IRU WKH FKLOGUHQ RI ,VUDHO KDYH DEDQGRQHG \RXU FRYHQDQW ʪʺʩʸʡ WKH\ KDYH UXLQHG \RXU DOWDUV DQG WKH\ KDYH NLOOHG \RXU SURSKHWV E\ PHDQV RI WKH VZRUG DQG , DORQH DP OHIW DQG WKH\ VRXJKW WR WDNH P\ VRXO´ , .JV $QG WKH +RO\ 2QH EOHVVHG EH +H VDLG WR KLP ³(OLMDK \RX DUH HWHUQDOO\ ]HDORXV \RX ZHUH ]HDORXV RQ LPSURSHU VH[XDO UHODWLRQV´ DV 6FULSWXUH VWDWHV µ3LQFKDV EHQ (OHD]DU VRQ RI $DURQ >KDV WXUQHG 0\ ZUDWK DZD\ IURP WKH FKLOGUHQ RI ,VUDHO IRU KH ZDV YHU\ ]HDORXV IRU 0\ VDNH ʩʺʠʰʷ ʺʠ ʥʠʰʷʡ DPRQJ WKHP VR WKDW , GLG QRW FRQVXPH FKLOGUHQ RI ,VUDHO LQ 0\ ]HDORXVQHVV@¶ 1XP DQG KHUH \RX ZHUH VXUHO\ ]HDORXV E\ \RXU OLIH ,VUDHO ZLOO QRW SHUIRUP WKH FRYHQDQW RI FLUFXPFLVLRQ XQWLO \RX VHH LW ZLWK \RXU RZQ H\HV $QG WKXV WKH VDJHV HVWDEOLVKHG ʭʩʮʫʧ ʥʰʩʷʺʤ WKDW WKH\ ZRXOG PDNH DQ KRQRUHG VHDW IRU WKH PHVVHQJHU RI WKH FRQYHQDQW ʺʩʸʡʤ ʪʠʬʮ WKDW \RX DOO GHVLUH WR FRPH WKHUH VD\V WKH /RUG RI +RVWV
&KDSWHU )RUW\6L[
5 -RVKXD E .DUKD VD\V ³0RVHV ZDV RQ WKH PRXQWDLQ IRU IRUW\ GD\V DQG FDOOHG ZLWK WKH ZLVGRP RI WKH %LEOH RQ WKDW GD\ DQG UHKHDUVHG WKH ZLVGRP RI WKH 0LVKQD LQ WKH QLJKW DQG DIWHU IRUW\ GD\V KH WRRN WKH WDEOHWV DQG GHVFHQGHG RQ WKH VHYHQWHHQWK RI +DPX] DQG WKH WDEOHWV ZHUH EURNHQ +H VSHQW IRUW\ GD\V LQ WKH FDPS DQG NLOOHG WKH DFFXUVHG RI ,VUDHO DQG KH VSHQW IRUW\ GD\V LQ WKH FDPS XQWLO KH KDG EXUQHG WKH FDOI DQG JURXQG LW LQWR WKH GXVW RI WKH HDUWK DQG NLOOHG DOO RI WKRVH ZKR KDG NLVVHG WKH FDOI DQG KDG FXW RII LGRODWU\ IURP ,VUDHO DQG KH HVWDEOLVKHG ʥʰʩʷʺʤ HYHU\ WULEH LQ LWV SODFH 2Q 5RVK &KRGHVK (OXO WKH +RO\ 2QH EOHVVHG EH +H VDLG WR 0RVHV µ$ULVH WR PH WRZDUGV WKH PRXQWDLQ¶ ([ DQG KH FDXVHG WKH VKRIDU WR SDVV WKURXJKRXW WKH HQWLUH FDPS WKDW 0RVHV ZDV DERXW WR DVFHQG WR WKH PRXQWDLQ WKDW WKH\ ZRXOG QRW FRPPLW LGRODWU\ DQ\ PRUH DQG WKH +RO\ 2QH EOHVVHG EH +H FDXVHG WKH VKRIDU WR EH UDLVHG DV 6FULSWXUH VWDWHV µDQG WKH /RUG URVH E\ 7HUXDK WKH /RUG LQ WKH VRXQG RI WKH VKRIDU¶ 3V DQG WKXV WKH VDJHV HVWDEOLVKHG ʭʩʮʫʧ ʥʰʩʷʺʤ WKDW WKH\ ZRXOG VRXQG WKH VKRIDU RQ WKH 5RVK &KRGHVK RI (OXO LQ HYHU\ \HDU´
7KHVH FKDSWHUV LQWURGXFH D ZLGH UDQJH RI SUDFWLFHV FKDSWHU VHYHQWHHQ LQWURGXFHV D SUDFWLFH DQG SUD\HU WKDW LV DVVRFLDWHG ZLWK EULGHJURRPV DQG PRXUQHUV FKDSWHU WZHQW\WKUHH LQWURGXFHV D PHQWLRQ RI 1RDK¶V RDWK LQWR WKH GDLO\ SUD\HU VHUYLFH WKH ILUVW XVH RI WKH H[SUHVVLRQ LQ FKDSWHU WZHQW\QLQH LQWURGXFHV D ULWH WR FRYHU WKH IRUHVNLQ DQG EORRG LQ GXVW WKH VHFRQG XVH RI WKH H[SUHVVLRQ LQ FKDSWHU WZHQW\QLQH LQWURGXFHV WKH REOLJDWLRQ WR VHW DVLGH D FKDLU IRU (OLMDK GXULQJ WKH ULWH RI FLUFXPFLVLRQ DQG ILQDOO\ FKDSWHU IRUW\VL[ LQWURGXFHV WKH SUDFWLFH RI EORZLQJ WKH VKRIDU RQ WKH QHZ PRRQ GXULQJ WKH
0LGUDVK DQG 0XOWLSOLFLW\
PRQWK RI (OXO 2XW RI WKHVH SUDFWLFHV WKH ULWHV IRU WKH EULGHJURRP WKH SODFHPHQW RI (OLMDK¶V FKDLU DW D FLUFXPFLVLRQ DQG WKH VRXQGLQJ RI WKH VKRIDU GXULQJ WKH QHZ PRQWK RI (OXO KDYH PDGH WKHLU ZD\ LQWR WKH UDEELQLF FRGLFHV DV ODZ DQG QRW ORFDO FXVWRP 1HYHUWKHOHVV WKH SUDFWLFHV ZKLFK 35( VWDWHV ZHUH ³HVWDEOLVKHG E\ WKH VDJHV´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¶V SUDFWLFDO LQQRYDWLRQV DV DQ LVVXH RI 6FULSWXUDO ODZ UDEELQLF RUDO ODZ DQG FXVWRP DQG KRZ WKHVH LQQRYDWLRQV LPSDFWHG UDEELQLF ODZ 6HFRQG LI ZH WDNH WKH H[SUHVVLRQ WKDW WKH ³VDJHV HVWDEOLVK´ DW IDFH YDOXH ZH VKRXOG FRQVLGHU WKH SRVVLEOH DUJXPHQW WKDW 35(¶V H[SRVLWRUV ZLVK WR SVHXGHSLJUDSKLFDOO\ DVVHUW WKDW WKHVH SUDFWLFHV DUH ORVW WUDGLWLRQV RI WKH WDQQDLWLF HUD $QG ILQDOO\ ZH QHHG WR XQGHUVWDQG KRZ WKHVH GLVFXVVLRQV FRUUHVSRQG WR WKH ZRUN¶V RUJDQL]DWLRQ DQG LQWHUSUHWDWLRQ RI 6FULSWXUH ZH QHHG WR XQGHUVWDQG WKH SODFH RI WKHVH LQQRYDWLRQV LQ SUDFWLFH ZLWKLQ WKH ZRUN LWVHOI LQ RUGHU WR DVVHVV DQ\ K\SRWKHWLFDO ³LQWHQW´ RU ³UDWLRQDOH´ 7KHVH TXHVWLRQV DUH NH\ WR GHYHORSLQJ D VHQVH RI 35(¶V FRQFHSWLRQ RI UDEELQLF SUDFWLFH DQG ODZ DQG WKXV WKH ZRUN¶V UROH ZLWKLQ WKH DUWLFXODWLRQ RI -HZLVK SUDFWLFH ,Q WKHLU DQDO\VLV RI WKHVH LQQRYDWLRQV =XQ] DQG RWKHU VFKRODUV LGHQWLILHG 35(¶V LQQRYDWLRQV ZLWK WKH PLQKDJLP RU FXVWRPV RI 3DOHVWLQH $OWKRXJK WKHVH VFKRODUV PLJKW KDYH FRQGHPQHG 35(¶V LQQRYDWLRQV DV OHJDO BBBBBBBBBBBB
6HH 5 $VKHU E
35( DQG WKH /DQJXDJH RI 6FULSWXUH
SVHXGHSLJUDSK\ WKHUH DUH JRRG UHDVRQV ZK\ WKH\ FRXOG QRW GR VR 7R EHJLQ ZLWK =XQ] DQG RWKHU VFKRODUV FRXOG QRW FRQVLGHU WKHVH QHZ SUDFWLFHV DV %LEOLFDO FODVVLFDO PLVKQDLF RU WDOPXGLF ODZ $OWKRXJK WKH WUDGLWLRQV DUH DWWULEXWHG WR WKH ³VDJHV´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¶V OLWHUDU\ DQG ³LGHRORJLFDO´ RUJDQL]DWLRQ &RQVHTXHQWO\ ZH FDQ EHVW XQGHUVWDQG WKH GHYHORSPHQW RI WKHVH SUDFWLFHV DV PLQKDJLP ZKLFK JURZ RXW RI WKH ZRUN¶V RULJLQDO LQWHUSUHWDWLRQ RI 6FULSWXUH :H FDQ FOHDUO\ VHH WKH SURFHVV RI 6FULSWXUDO LQWHUSUHWDWLRQ DQG GHYHORSPHQW RI -HZLVK SUDFWLFH LQ 35(¶V DUWLFXODWLRQ RI (OLMDK DQG WKH SUDFWLFH RI (OLMDK¶V FKDLU 7KH VHWWLQJ DVLGH RI D FKDLU IRU (OLMDK GXULQJ WKH ULWH RI FLUFXPFLVLRQ LV IRXQG LQ FKDSWHU WZHQW\QLQH ,Q WKLV FKDSWHU WKH H[SRVLWRUV¶ GLVFXVVLRQ RI WKH WKHPH RI FLUFXPFLVLRQ RFFXUV DV DQ HODERUDWLRQ RI WKHLU HQXPHUDWLRQ RI $EUDKDP¶V HLJKWK WULDO &RQWLQXLQJ WKH ZRUN¶V GLVFXVVLRQ RI WKLV WKHPH 35(¶V H[SRVLWRUV LQIHU WKDW WKH SUDFWLFH RI (OLMDK¶V FKDLU ZDV HVWDEOLVKHG GXH WR KLV ³]HDORXVQHVV´ LQ FRQGHPQLQJ LPSURSHU VH[XDO UHODWLRQV DQG ,VUDHO¶V DEDQGRQLQJ RI WKHLU ³FRYHQDQW´ ʺʩʸʡ ZLWK *RG DV LQGLFDWHG LQ , .JV 7KH FKDSWHU LGHQWLILHV WKLV ³FRYHQDQW´ ZLWK FLUFXPFLVLRQ RU ʺʩʸʡ ʤʬʩʮ ZKLFK WKH H[SRVLWRUV WKHQ FRUUHODWH ZLWK (OLMDK DV WKH ³PHVVHQJHU RI WKH FRYHQDQW´ ʺʩʸʡʤ ʪʠʬʮ ZKLFK LV GHULYHG IURP 0DO 7KH LGHQWLILFDWLRQ RI 0DODFKL¶V ³FRYHQDQW´ ZLWK WKH FRYHQDQW RI FLUFXPFLVLRQ GRHV QRW EHJLQ LQ 35( 1HYHUWKHOHVV 35(¶V LGHQWLILFDWLRQ RI (OLMDK DV WKH ³PHVVHQJHU RI WKH FRYHQDQW´ LQ WKLV YHUVH LV QRW DWWHVWHG HDUOLHU EXW FDQ EH VHHQ LQ 35(¶V DOOXVLRQ WR 0DO ZKLFK LGHQWLILHV (OLMDK DV WKH PHVVHQJHU RQ WKH GD\ RI WKH /RUG 35(¶V H[SRVLWRUV LPSO\ WKDW (OLMDK LV WKH PHVVHQJHU RI WKH FRYHQDQW PHQWLRQHG BBBBBBBBBBBB
6HH 0HQDFKHP (ORQ ³0LQKDJ´ LQ (QF\FORSHGLD -XGDLFD 9ROXPH ;,, 6HH /HYLWLFXV 5DEED 6RQJ RI 6RQJV 5DEED LQ FODVVLFDO UDEELQLF OLWHUDWXUH DQG 6HFKHO 7RY %HUHVKLW DQG 7DQQD GHEHL (OL\DKX 5DEED LQ ODWHU OLWHUDWXUH
0LGUDVK DQG 0XOWLSOLFLW\
LQ 0DO ZKR LV ZRUWK\ WR VHH HYHU\ HQDFWPHQW RI WKLV FRYHQDQW DQG LW VKRXOG WKXV EH UDEELQLF SUDFWLFH WR VHW DVLGH D SODFH ʡʹʥʮ IRU (OLMDK GXULQJ FLUFXPFLVLRQ $V LQ WKH SUDFWLFHV DERYH WKH H[SRVLWRUV VWUHVV WKH FRUUHVSRQGHQFH EHWZHHQ WKLV SUDFWLFH DQG LWV 6FULSWXUDO RULJLQV 7KH HWHUQDO QDWXUH RI (OLMDK¶V UHODWLRQVKLS WR WKH FRYHQDQW RI FLUFXPFLVLRQ KRZHYHU LV QRW REYLRXV IURP WKLV LQWHUSUHWDWLRQ DORQH QRU GR WKH SURRIWH[WV SURYLGHG PDNH PXFK VHQVH LQ WKH FRQWH[W LQ ZKLFK WKH\ DUH JLYHQ :LWKRXW DQ\ HODERUDWLRQ LQ WKLV FKDSWHU 35( VHHPV WR GLJUHVV IURP (OLMDK ZKHQ LW XVHV D SURRIWH[W DERXW 3LQFKDV LQ RUGHU WR GHPRQVWUDWH D SULQFLSOH DERXW (OLMDK 2Q WKH VXUIDFH WKH H[SRVLWRUV¶ GHVLUH WR FRUUHODWH WKHVH HSLVRGHV FDQ EH VHHQ LQ WKH VLPLODULW\ RI WKH 6FULSWXUDO ODQJXDJH WKDW GHVFULEHV WKHVH HSLVRGHV , .JV ZKLFK GHVFULEHV (OLMDK DV ³]HDORXV´ LQ KLV DFWLRQV E\ WKH URRW ʠʰʷ LQ WKH VWDWHPHQW ³, ZDV VXUHO\ ]HDORXV IRU WKH /RUG´ ʩʺʠʰʷ ʠʰʷ FRUUHVSRQGV WR WKH VWDWHPHQW LQ 1XP WKDW 3LQFKDV ZDV ³]HDORXV IRU 0\ VDNH ʺʠ ʥʠʰʷʡ ʩʺʠʰʷ ´ 1HYHUWKHOHVV WKH SDVVDJH DV LW VWDQGV DGGV OLWWOH WR RXU XQGHUVWDQGLQJ RI WKH SUDFWLFH LWVHOI :H PXVW DVN ZKDW GRHV WKH FRUUHODWLRQ DQG SURRIWH[W DGG WR RXU XQGHUVWDQGLQJ RI WKH SUDFWLFH" :K\ GR 35(¶V H[SRVLWRUV IHHO WKH QHHG WR PDNH WKLV FRUUHODWLRQ" $QRWKHU H[SODQDWLRQ IRU WKH FRUUHODWLRQ RI (OLMDK DQG 3LQFKDV FDQ EH IRXQG LQ FKDSWHU IRUW\VHYHQ ZKLFK DOVR SURYLGHV D IRXQGDWLRQ IRU XV WR VHH 35(¶V GHYHORSPHQW RI 6FULSWXUDO ODQJXDJH LQ UHODWLRQ WR WKH SUDFWLFH 7KH SDVVDJH UHDGV 5 (OLH]HU VD\V ³7KH +RO\ 2QH EOHVVHG EH +H FRUUHODWHG ʡʩʱʤ WKH QDPH RI 3LQFKDV WR WKH QDPH RI (OLMDK RI JRRG PHPRU\ µIURP WKH VHWWOHUV RI *LOHDG¶ , .JV WKDW ,VUDHO UHSHQWHG RQ 0W *LOHDG DV 6FULSWXUH VWDWHV µ0\ FRYHQDQW ZDV ZLWK KLP RQH RI OLIH DQG RI SHDFH¶ 0DO DQG 6FULSWXUH VWDWHV µ7KH 7RUDK RI WUXWK ZDV LQ KLV PRXWK¶ 0DO DQG >WKH +RO\ 2QH EOHVVHG EH +H@ JDYH WR KLP HWHUQDO OLIH ʭʬʥʲ ʩʩʧ LQ WKLV ZRUOG DQG LQ WKH ZRUOG WR FRPH DQG KH JDYH WR KLP DQG KLV FKLOGUHQ JRRG PHDVXUH IURP ULJKWHRXV WR ZLFNHG DQG JDYH WR KLP WKH HWHUQDO SULHVWKRRG ʭʬʥʲ ʺʰʤʫ DV 6FULSWXUH VWDWHV µ>$@QG LW VKDOO EH XQWR KLP DQG WR KLV VHHG DIWHU KLP WKH FRYHQDQW RI DQ HWHUQDO SULHVWKRRG >EHFDXVH KH ZDV ]HDORXV ʠʰʷ IRU KLV *RG DQG PDGH DWRQHPHQW IRU WKH FKLOGUHQ RI ,VUDHO@¶´ 1XP
,Q FKDSWHU IRUW\VHYHQ WKH H[SRVLWRUV PDNH WKH FRUUHODWLRQ EHWZHHQ (OLMDK DQG 3LQFKDV DQ H[SOLFLW SULQFLSOH RI UDEELQLF LQWHUSUHWDWLRQ DQG P\WK ± RQH WKDW LV BBBBBBBBBBBB 6HH $GHOPDQ 7KH 3RHWLFV DQG 7LPH DQG 6SDFH DQG
35( DQG WKH /DQJXDJH RI 6FULSWXUH
WDNHQ XS LQ ODWHU OLWHUDWXUH SDUWLFXODUO\ WKH =RKDU 7KH VFULSWXUDO EDVLV IRU WKH FRUUHODWLRQ EHWZHHQ WKHVH ILJXUHV LV WKH VDPH DV LQ FKDSWHU WZHQW\QLQH (OLMDK LV 3LQFKDV EHFDXVH ERWK SHUVRQDOLWLHV GHPRQVWUDWH WKH VDPH ³]HDORXVQHVV´ WRZDUGV VH[XDO SXULW\ DV LV LQGLFDWHG LQ WKH URRW ʠʰʷ 1HYHUWKHOHVV FKDSWHU IRUW\VHYHQ HOXFLGDWHV WKH PHDQLQJ RI WKH ³FRYHQDQW´ IRU (OLMDK ZLWK DQRWKHU UHIHUHQFH WR WKH ODQJXDJH RI 0DODFKL WKLV ZLOO EH D FRYHQDQW RI ³OLIH´ IRU (OLMDK ,Q DFFRUGDQFH ZLWK ZHOO NQRZQ UDEELQLF WUDGLWLRQV DERXW (OLMDK 35(¶V H[SRVLWRUV VWDWH (OLMDK ZLOO EH JUDQWHG HWHUQDO OLIH ʭʬʥʲ ʩʩʧ LQ H[FKDQJH IRU KLV FRPPLWPHQW WR WKH GLYLQH ODZ )XUWKHUPRUH WKH H[SRVLWRUV HPSKDVL]H WKDW WKLV JLIW LV QRW RQO\ RQH RI HWHUQDO OLIH EXW OLNH *RG¶V RDWK WR 3LQFKDV RQH ZKLFK LV DQ ³HWHUQDO SULHVWKRRG´ ʭʬʥʲ ʺʰʤʫ ,Q FKDSWHU WZHQW\QLQH 35( FRUUHODWHV RQH ZKR KDVWHQV WR FLUFXPFLVH KLV RU KHU VRQ ZLWK WKH KLJK SULHVW 6LPLODUO\ FKDSWHU IRUW\VHYHQ DSSHDUV WR VXJJHVW WKDW 3LQFKDV¶ JLIW RI HWHUQDO SULHVWKRRG LV WKH VDPH SURPLVH PDGH WR (OLMDK LQ FKDSWHU WZHQW\QLQH WKDW LV WKDW *RG¶V SURPLVH WR (OLMDK WKDW ³,VUDHO ZLOO QRW SHUIRUP WKH FRYHQDQW RI FLUFXPFLVLRQ XQWLO \RX VHH LW ZLWK \RXU RZQ H\HV´ LV WKH VDPH SURPLVH DV WKDW RI WKH ³HWHUQDO SULHVWKRRG´ ,Q 35(¶V YLHZ (OLMDK DQG 3LQFKDV DUH WKH VDPH SHUVRQ ZKR SHUIRUP WKH VDPH ³]HDORXV´ DFW DQG UHFHLYH WKH VDPH UHZDUG DQ HWHUQDO SULHVWKRRG ZKLFK LV PDQLIHVW LQ WKH FKDLU ZKHUH (OLMDK WKH ³PHVVHQJHU RI WKH FRYHQDQW´ ZLOO VHH HYHU\ ,VUDHOLWH FLUFXPFLVLRQ :LWK WKLV LQWHUSUHWDWLRQ 35( HVWDEOLVKHV WKH SUDFWLFDO SULQFLSOH (OLMDK¶V DQG 3LQFKDV¶ UHZDUG IRU WKHLU 6FULSWXUDO DFWLYLWLHV LV IRXQG LQ WKH GLYLQH SURPLVH WKDW LV IXOILOOHG ZKHQ 6FULSWXUDO LQWHUSUHWDWLRQ HQFRXQWHUV WKH FRQWHPSRUDU\ SUDFWLFH RI FLUFXPFLVLRQ BBBBBBBBBBBB
6HH =RKDU ,,, D DQG =RKDU +DGDVK ,, 5XWK D 7KH FRUUHODWLRQ LV DOVR IRXQG LQ LQ /HJHQGV 9ROXPH 9, QRWH @ LQ ZKLFK KH LGHQWLILHG WKH RULJLQV RI WKLV WUDGLWLRQ RXWVLGH RI UDEELQLF OLWHUDWXUH DQG LWV HQWU\ LQWR UDEELQLF GLVFRXUVH LQ OLWHUDWXUH DIWHU 35( 6HH DOVR $GHOPDQ 3RHWLFV RI 6SDFH DQG 7LPH QRWH 9LNWRU $SRZLW]HU >LQ 3DUWHLSROLWLN GHU +DVPRQlHU]HLW LP UDEELQLVFKHQ XQG SVHXGRHSLJUDSKLVFKHQ 6FKULIWWXP 9LHQQD 9HUODJ GHU .RKXW)RXQGDWLRQ @ VLPLODUO\ VXJJHVWV D +HOOHQLVWLF RULJLQ DQG KLV YLHZ KDV EHHQ WDNHQ XS E\ $GHOPDQ >LQ 3RHWLFV RI 6SDFH DQG 7LPH @ 1HYHUWKHOHVV $GHOPDQ VWDWHV >LQ 3RHWLFV RI 6SDFH DQG 7LPH @ ³7KH DXWKRU RI 35( µUHQDPHV¶ 3KLQHKDV (OLMDK QRW EHFDXVH RI WKH UHVRQDQFH EHWZHHQ WKH WHUP ʠʰʷ DV LQ 35( EXW EHFDXVH ERWK 3KLQHKDV DQG (OLMDK HQDFW DWRQHPHQW RQ EHKDOI RI WKH QDWLRQ´ $OWKRXJK WKHUH LV PXFK RI PHULW LQ $GHOPDQ¶V OHQJWK\ GLVFXVVLRQ RI WKLV SDVVDJH >LQ 3RHWLFV RI 7LPH DQG 6SDFH @ ZH GLVDJUHH DERXW KHU DVVHUWLRQ WKDW WKLV VHFWLRQ UHSUHVHQWV ³FRQVHUYDWLRQ RI ELEOLFDO SHUVRQDOLWLHV´ RU WKDW WKLV UHSUHVHQWV DQ LQVWDQFH RI ³UHWXUQ RI UHSUHVVHG´
0LGUDVK DQG 0XOWLSOLFLW\
35(¶V LQWURGXFWLRQ RI (OLMDK¶V FKDLU LQWR UDEELQLF SUDFWLFH HPERGLHV WKH UHODWLRQVKLS EHWZHHQ WKH H[SRVLWRUV¶ 6FULSWXUDO LQWHUSUHWDWLRQ DQG WKHLU LQWHUHVW LQ -HZLVK SUDFWLFH $V PHQWLRQHG DERYH 35( PLUURUV RWKHU UDEELQLF ZRUNV LQ LWV LQWHUHVW LQ WKH 6FULSWXUDO H[HPSOLILFDWLRQ RI -HZLVK SUDFWLFH 7KLV HSLVRGH GHPRQVWUDWHV 35(¶V LQWHUHVW LQ FUHDWLQJ FRUUHODWLRQV ZLWKLQ WKH 6FULSWXUDO WH[W WKDW PXVW EH H[SUHVVHG ZLWKLQ -HZLVK SUDFWLFH )RU H[DPSOH (OLMDK¶V FKDLU RQO\ PDNHV VHQVH LI ZH VHH LW DV D QDWXUDO H[WHQVLRQ RI 35(¶V LQWHUSUHWDWLRQ RI WKH GLYLQH SURPLVH WR 3LQFKDV IRU WKH HWHUQDO SULHVWKRRG WKH UDEELQLF OLWHUDWXUH¶V FRQFHSWLRQ RI (OLMDK¶V HWHUQDO SUHVHQFH DQG WKHLU VKDUHG ]HDO IRU WKH ULWH RI FLUFXPFLVLRQ $V D SUDFWLFH WKDW RULJLQDWHV LQ 35(¶V VFULSWXUDO XQGHUVWDQGLQJ RI FXVWRP WKLV DQG RWKHU FXVWRPV DUH DGDSWHG LQWR UDEELQLF ODZ WKURXJK WKH LQQRYDWLYH WXUQ LQ WKH ZRUN¶V 6FULSWXUDO LQWHUSUHWDWLRQ DQG QRW QHFHVVDULO\ WKURXJK WKH ZRUN¶V DGRSWLRQ RI ORFDO 3DOHVWLQLDQ FXVWRP
35( DQG WKH 5DEELQLF 7UDGLWLRQ 7KH KLVWRU\ RI UDEELQLF LQWHUSUHWDWLRQ LV HPERGLHG LQ WKH PLGUDVKLF ZRUNV¶ UHFHSWLRQ WUDQVPLVVLRQ DQG WUDQVIRUPDWLRQ RI HDUOLHU LQWHUSUHWLYH GLVFRXUVH :H DUH DEOH WR ORFDWH ³ODWH´ ZRUNV OLNH 35( ZLWKLQ UDEELQLF LQWHUSUHWLYH FXOWXUH WKURXJK FRQFUHWH SRLQWV RI FRQWDFW ZLWK WKLV HDUOLHU LQWHUSUHWLYH KLVWRU\ :LWK D FDUHIXO DQDO\VLV RI SDUDOOHO WUDGLWLRQV ZH FDQ VHSDUDWH WKH RYHUODSSLQJ OD\HUV RI 6FULSWXUDO UDEELQLF DQG QHZ WUDGLWLRQV WR VHH KRZ WKH ZRUN GLJHVWV DQG UHFRQILJXUHV WKH ODQJXDJH DQG WUDGLWLRQV RI LWV OLWHUDU\ UHODWLRQV $FFRUGLQJO\ 35(¶V LQWHUDFWLRQ ZLWK HDUOLHU UDEELQLF ODQJXDJH DQG LQWHUSUHWDWLRQ LV FHQWUDO WR GHILQLQJ LWV SODFH ZLWKLQ WKH KLVWRU\ RI UDEELQLF LQWHUSUHWDWLRQ $ QXPEHU RI VFKRODUV KDYH FKDUDFWHUL]HG 35(¶V WUDQVPLVVLRQ RI 6FULSWXUDO DQG FODVVLFDO UDEELQLF OLWHUDWXUHV DV PHUHO\ ³HGLWHG´ RU ³UHZULWWHQ´ UHQGLWLRQV -RVHSK +HLQHPDQQ DUJXHG WKDW 35(¶V H[SRVLWRUV GR SXW IRUWK PDQ\ QHZ IRUPV RI OLWHUDU\ H[SUHVVLRQ EXW WKDW WKHLU GHEWV WR UHFHLYHG WUDGLWLRQV ± SDUWLFXODUO\ UDEELQLF WUDGLWLRQV ± XOWLPDWHO\ FLUFXPVFULEH WKH QDWXUH RI WKHLU ZRUN VLQFH ³WKH\ FDQQRW HUDVH WKH LQGLYLGXDO FKDUDFWHU RI WKH RULJLQDO PLGUDVK WKDW WKH\ TXRWH´ 7KLV FRQWUDVW EHWZHHQ FODVVLFDO LQQRYDWLRQ DQG 35(¶V UHSOLFDWLRQ DQG HGLWLQJ RI UHFHLYHG WUDGLWLRQV KDV GHILQHG 35(¶V FKDUDFWHUL]DWLRQ ZLWKLQ WKH UDEELQLF FDQRQ WKXV IDU $V DUWLFXODWHG E\ (OEDXP 35( LV D ³PRVDLF´ ZKLFK ³HGLWV´ DQG ³UHZULWHV´ UHFHLYHG WUDGLWLRQV LQ WKH PDQQHU RI D OLWHUDU\ ³DQWKRORJ\´ ,Q WKLV VWXG\ ZH KDYH VKRZQ WKDW 35(¶V UHODWLRQVKLS WR WKHVH WUDGLWLRQV LV IDU PRUH FRPSOH[ DQG WKDW DQ H[DPLQDWLRQ RI UDEELQLF WHUPLQRORJ\ DQG WUDGLWLRQV LQ 35( QHFHVVLWDWHV D GLIIHUHQW DSSURDFK WR WKH LVVXH RI OLWHUDU\ GHEWV ,Q RXU H[DPLQDWLRQ RI 35(¶V PDQ\ WH[WXDO UHODWLRQV ZH FDQ KLJKOLJKW WKH GRPLQDQW SULQFLSOHV RI UHFHSWLRQ WUDQVPLVVLRQ DQG WUDQVIRUPDWLRQ RI UHFHLYHG WUDGLWLRQV DQG ODQJXDJH LQ WKH ZRUN ,Q SXUVXLW RI 35(¶V UDEELQLF FKDUDFWHU , FDOO WKH SURFHVV RI UHFHSWLRQ WUDQVPLVVLRQ DQG WUDQVIRUPDWLRQ ³WUDGLWLRQ EXLOGLQJ´ ² WKDW LV WKH PRGHV RI LQWHUSUHWDWLRQ ZKLFK GHYHORS RXW RI WUDGLWLRQDO 6FULSWXUDO DQG UDEELQLF BBBBBBBBBBBB
+HLQHPDQQ $JJDGRW (OEDXP µ2Q WKH &KDUDFWHU¶ DQG ³
0LGUDVK DQG 0XOWLSOLFLW\
ODQJXDJH 35(¶V LQWHUDFWLRQ ZLWK UDEELQLF OLWHUDWXUH UHIOHFWV LWV FUHDWLYH UHDUWLFXODWLRQ RI WKH UDEELQLF WUDGLWLRQ ZKLFK JRHV EH\RQG WKH PHUH UHRUJDQL]DWLRQ RU UHYLVLRQ RI WKHVH WUDGLWLRQV ,Q WUDGLWLRQ EXLOGLQJ ZH QHHG WR H[DPLQH KRZ 35(¶V LQQRYDWLRQV DUH HPERGLHG LQ WKH ZRUN¶V UHIRUPXODWLRQV DQG GHYHORSPHQW RI LWV WH[WXDO UHODWLRQV DQG PXVW ORRN WR FRPSRQHQWV ZKLFK UHIOHFW WKH ZRUN¶V LQWHUDFWLRQ ZLWK WUDGLWLRQ LWV XVH RI UDEELQLF WHUPLQRORJ\ DQG LWV GHYHORSPHQW RI SULRU UDEELQLF WUDGLWLRQV $V DERYH , ZLOO DUJXH WKDW H[SRVLWRU\ ³FOXVWHUV´ UHSUHVHQW 35(¶V UHFHSWLRQ WUDQVPLVVLRQ DQG WUDQVIRUPDWLRQ RI UDEELQLF ODQJXDJH DQG WUDGLWLRQV $V D ZRUN ZKLFK SDUWLFLSDWHV LQ D ORQJ DQG ZHOO DUWLFXODWHG WUDGLWLRQ RI 6FULSWXUDO DQG LQWHUSUHWLYH GLVFRXUVH 35( EXLOGV XSRQ WKH OLWHUDWXUH¶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¶V GHYHORSPHQW RI UDEELQLF LQWHUSUHWDWLRQ $V ZLOO EH GHPRQVWUDWHG LQ WKH H[HPSOD EHORZ 35(¶V H[SRVLWRUV XVH ³FOXVWHUV´ LQ RUGHU WR LQFRUSRUDWH D VHULHV RI DOLJQHG WUDGLWLRQV RI LQWHUSUHWDWLRQ LQWR D GHQVH DOOXVLYH WRRO &OXVWHUV FRRUGLQDWH 6FULSWXUDO DQG UDEELQLF ODQJXDJH RU LPDJHU\ WR IRUP D QHZ ODQJXDJH RU WRRO RI DOOXVLRQ VXPPDU\ DQG 6FULSWXUDO LQWHUSUHWDWLRQ 7KHVH FOXVWHUV SDUWLFLSDWH LQ WKH WUDGLWLRQDO ³LQQHU FDQRQLFDO´ DSSURDFK WR LQWHUSUHWDWLRQV RI 6FULSWXUH WKDW DUH IRXQG ZLWKLQ WKH %LEOH DQG PLGUDVKLP 7KH UHIOH[LYLW\ DQG UHFRQILJXUDWLRQ RI 6FULSWXUDO ODQJXDJH DQG LPDJHU\ LV DOVR IRXQG LQ WKHVH ZRUNV :LWK FOXVWHUV KRZHYHU WKH H[SRVLWRUV DGYDQFH WKH ³LQQHUFDQRQLFDO´ DSSURDFK WR UDEELQLF OLWHUDWXUH VR DV WR DFNQRZOHGJH WKH GHYHORSPHQW RI UDEELQLF LGHDV ZKHQ WKH H[SRVLWRUV XQGHUWDNH QHZ DFWV RI 6FULSWXUDO LQWHUSUHWDWLRQ 7KHVH FRQFLVH GHQVH DQG DOOXVLYH H[SUHVVLRQV LQGLFDWH WKDW WKH WUDGLWLRQ RI PLGUDVK FDQ VHUYH DV D WRRO WR UHHQJDJH ZLWK WKH ODQJXDJH RI 6FULSWXUH 7KLV ³QHZ´ FRQFHSWLRQ RI LQQHU FDQRQLFDO UHIOH[LYLW\ UHSUHVHQWV WKH ZRUN¶V SDUWLFLSDWLRQ LQ DQG GHYHORSPHQW RI SULRU UDEELQLF LQWHUSUHWDWLRQ DQG LV H[SUHVVHG LQ WHUPV WKDW DUH FRQVLVWHQW ZLWK WKH ZRUN¶V IXQGDPHQWDO IRUPV RI OLWHUDU\ RUJDQL]DWLRQ $V P\ GLVFXVVLRQ
35( DQG WKH 5DEELQLF 7UDGLWLRQ
UHYLHZV WKH UHFHSWLRQ WUDQVPLVVLRQ DQG WUDQVIRUPDWLRQ RI UHFHLYHG UDEELQLF WUDGLWLRQV LQ WKLV FKDSWHU WKHUHIRUH , ZLOO LGHQWLI\ WKH ZRUN¶V WUDQVIRUPDWLRQ RI SULRU UDEELQLF GLVFRXUVH ± DQG LWV SURJUHVV ZLWKLQ WKH KLVWRU\ RI UDEELQLF LQWHUSUHWDWLRQ LQ 35( ± ZLWK WKHVH ³FOXVWHUV´ $V VXFK WKHVH FOXVWHUV VHUYH DV D QRWHZRUWK\ PHDQV RI 35(¶V SDUWLFLSDWLRQ DQG GHYHORSPHQW LQ WKH FRQVLGHUDWLRQ RI SULRU UDEELQLF GLVFRXUVH $FFRUGLQJO\ WKLV FKDSWHU LV GLYLGHG LQWR WKUHH VHFWLRQV WKDW DGGUHVV 35(¶V UHODWLRQVKLS WR WKHVH UHFHLYHG UDEELQLF WUDGLWLRQV 7KH ILUVW VHFWLRQ ZLOO H[DPLQH WKH TXHVWLRQ RI ZKHWKHU WKH H[SRVLWRUV WUDQVPLW RU ³UHVSRQG´ WR UHFHLYHG UDEELQLF WUDGLWLRQV ZLWK D FOHDU FKDQJH LQ WKHLU XVH RI HGLWRULDO YRFDEXODU\ 6HFRQGO\ , ZLOO QHJRWLDWH WKH ZRUN¶V TXRWDWLRQ RI UDEELQLF WUDGLWLRQV DQG DVVHVV WKH SODFH RI WKHVH WUDGLWLRQV ZLWKLQ LWV H[SRVLWLRQ )LQDOO\ WKH SUHVHQW FKDSWHU ZLOO FRQFOXGH ZLWK D PRUH DEVWUDFW PHGLWDWLRQ RQ WKH SODFH RI DOOXVLRQ ZLWK UHJDUG WR WKH LPDJHU\ ODQJXDJH DQG SURRIWH[WV RI SULRU UDEELQLF WUDGLWLRQV ZLWKLQ 35( LQ RUGHU WR WUDFH RQH FRQQHFWLRQ EHWZHHQ 35( DQG ODWHU GHYHORSPHQWV ZLWKLQ UDEELQLF OLWHUDWXUH
7HFKQLFDO 9RFDEXODU\ LQ 35( (GLWRULDO ([SUHVVLRQV" ,Q WKHLU DQDO\VLV RI 35(¶V UHODWLRQVKLS WR FODVVLFDO PLGUDVK VFKRODUV KDYH DUJXHG WKDW 35(¶V UHODWLRQVKLS WR FODVVLFDO UDEELQLF OLWHUDWXUH FDQ EH GHWHFWHG ZLWKLQ WKH ZRUN¶V XVH DQG WUDQVIRUPDWLRQ RI HDUOLHU WHFKQLFDO YRFDEXODU\ -DFRE (OEDXP LQLWLDWHG UHVHDUFK LQWR WKHVH WHFKQLFDO WHUPV LQ RUGHU WR HOXFLGDWH WKH UHODWLRQVKLS EHWZHHQ WKH 35(¶V XVH RI DPRUDLF WHFKQLFDO WHUPV DQG WKH H[SRVLWRUV¶ XVH RI HDUOLHU FODVVLFDO WUDGLWLRQV $FFRUGLQJ WR (OEDXP /DWH 0LGUDVK LV FKDUDFWHUL]HG E\ D PRGLILHG XVH RI DPRUDLF WHFKQLFDO H[SUHVVLRQV DQG WHUPV 35(¶V GHYHORSPHQW RI UDEELQLF LQWHUSUHWDWLRQ LV WKHUHIRUH HYLGHQW LQ WKH GLVWDQFH EHWZHHQ WKH FODVVLFDO XVH RI WKHVH WHUPV DQG 35(¶V RZQ DGRSWLRQ DQG WUDQVIRUPDWLRQ RI WKHP (OEDXP DUJXHG WKDW 35( UHSOLFDWHV WKHVH DPRUDLF H[SUHVVLRQV LQ RUGHU WR LQWHJUDWH UHFHLYHG UDEELQLF DQG 6FULSWXUDO WUDGLWLRQV LQWR D QDUUDWLYH VHTXHQFH RU WR FRQWULEXWH WR WKH H[SDQVLRQ RI WKH BBBBBBBBBBBB
(OEDXP ³5KHWRULF´ 6HH DOVR -DFRE (OEDXP ³
0LGUDVK DQG 0XOWLSOLFLW\
QDUUDWLYH ZLWK WKHVH HDUOLHU WUDGLWLRQV 7KH H[SRVLWRUV¶ VHOHFWLRQ UHSOLFDWLRQ DQG UHYLVLRQ RI UDEELQLF WUDGLWLRQV DQG WKHLU ³QHZ´ QDUUDWLYH LQVHUWLRQV DUH VLJQLILHG E\ WKH SUHVHQFH RI VXFK WHFKQLFDO WHUPV 7KHVH H[SUHVVLRQV PD\ RU PD\ QRW KDYH DQ\ WHFKQLFDO VLJQLILFDQFH LQ WKH FODVVLFDO VRXUFHV ,Q 35( KRZHYHU WKH H[SUHVVLRQV LQGLFDWH WKDW WKH H[SRVLWRUV KDYH LQFRUSRUDWHG DQ H[WHUQDO WH[W RU WUDGLWLRQ LQWR WKHLU GLVFXVVLRQ DQG KDYH GRQH VR LQ VHUYLFH RI WKH ZRUN¶V GXDO RULHQWDWLRQ WRZDUGV ³HGLWLQJ´ DQG ³UHZULWLQJ´ 0RVW SURPLQHQW DPRQJ WKHVH WHUPV LV WKH H[SUHVVLRQ PL\DG ʣʩʮ RU ³LPPHGLDWHO\´ ZKLFK KDV SURYLGHG WKH SULQFLSDO EDVLV IRU VFKRODUV¶ DUJXPHQWV DERXW WKH UHODWLRQVKLS RI WKH ZRUN WR LWV UHFHLYHG WUDGLWLRQV -DFRE (OEDXP DQG -HIIUH\ 5XEHQVWHLQ RIIHUHG PL\DG DV WKH EHVW H[DPSOH RI KRZ 35( XWLOL]HV DPRUDLF H[SRVLWRU\ H[SUHVVLRQV LQ RUGHU WR LQFRUSRUDWH GLVWDQW UDEELQLF WUDGLWLRQV DQG WR FRQQHFW ³RFFXUUHQFHV ZKLFK DUH QRW VXSSRUWHG E\ WKH 6FULSWXUDO QDUUDWLYH E\ WKH XVH RI WKH UKHWRULFDO WHUP PL\DG ZKLFK LV D FOHDU WRRO LQ >WKH DXWKRU¶V@ KDQG WR EULQJ WKH GLVWDQW >WUDGLWLRQ@ FORVH >WR WKH OLWHUDU\ VWUXFWXUH RI WKH ZRUN@´ ,Q (OEDXP¶V YLHZ PL\DG LQGLFDWHV WKH DXWKRU¶V FRQWUDGLFWRU\ H[SRVLWRU\ XUJHV WRZDUG WKH LQWHJUDWLRQ RI UDEELQLF WUDGLWLRQV LQWR LWV QDUUDWLYH ± D XQLTXH WHFKQLFDO IHDWXUH RI WKLV WHUP ± DV ZHOO DV KLV ³GLJUHVVLYH´ LQWURGXFWLRQ RI WKHPHV ZLWKLQ WKH SDWK RI WKLV QDUUDWLYH $V DQ LQWHJUDWLYH WRRO PL\DG LQFRUSRUDWHV WUDGLWLRQV DQG H[SDQVLRQV LQWR WKH 6FULSWXUDO QDUUDWLYH RQ WKH RQH KDQG VLQFH ³WKHUH LV OLWWOH >LQ 35( WKDW@ « WKDW ODFNV UDEELQLF SUHFHGHQW´ 2Q WKH RWKHU KDQG 35( DGRSWV FODVVLFDO UDEELQLF WUDGLWLRQV ZLWKRXW PRGLILFDWLRQ ZKLFK UHSUHVHQWV D GLJUHVVLRQ IURP LWV DWWHQWLRQ WR 6FULSWXUDO QDUUDWLYH WKH WHUP ERWK ³KLGHV´ WKH DXWKRU¶V XVH RI WUDGLWLRQV DQG SURYLGHV WKH RSSRUWXQLW\ IRU WKH DXWKRU WR ³GLJUHVV´ IURP WKH OLQHDU SDWK RI WKH QDUUDWLYH &RQVHTXHQWO\ VFKRODUV KDYH DUJXHG WKDW 35(¶V XVH RI PL\DG HOLGHV WKH LQFRQJUXLWLHV LQ WKH ZRUN¶V H[SRVLWLRQ DQG WKDW WKH WHUP W\SLILHV WKH ZRUN¶V HGLWRULDO WUDQVPLVVLRQ RI WUDGLWLRQV BBBBBBBBBBBB
(OEDXP ³5KHWRULF´ QRWH DQG ³)URP 6HUPRQ WR 6WRU\´ (OEDXP ³)URP 6HUPRQ WR 6WRU\´ (OEDXP µ5KHWRULF´ QRWH 6HH DOVR )LVKEDQH %LEOLFDO 0\WK -HIIUH\ 5XEHQVWHLQ ³)URP 0\WKLF 0RWLIV WR 6XVWDLQHG 0\WK 7KH 5HYLVLRQ RI 5DEELQLF 7UDGLWLRQV LQ 0HGLHYDO 0LGUDVKLP´ +DUYDUG 7KHRORJLFDO 5HYLHZ (OEDXP LQGLFDWHG >LQ µ)URP 6HUPRQ WR 6WRU\´ @ WKDW %XEHU¶V HGLWLRQ RI 7DQKXPD H[KLELWV OHVV YDULHW\ LQ WKH XVH RI WKH ODWWHU µWDJZRUGV¶ WKDQ GRHV WKH :DUVDZ HGLWLRQ DQG WKDW ³WKH LGLRPDWLF H[SUHVVLRQV GHQRWLQJ WLPH DUH RIWHQ DUWLILFLDO´ LQ WKLV ODWWHU HGLWLRQ )URP KLV GLVFXVVLRQ ZH PD\ FRQFOXGH WKDW (OEDXP FRQVLGHUHG WKHVH WHUPV DV SDUDGLJPDWLF H[HPSOD RI WKHVH HGLWRULDO IHDWXUHV LQ ERWK 7DQKXPD DQG 35( (OEDXP ³)URP 6HUPRQ WR 6WRU\´
35( DQG WKH 5DEELQLF 7UDGLWLRQ
7KH UROH RI WHFKQLFDO WHUPV LQ WKH UHFHSWLRQ WUDQVPLVVLRQ DQG WUDQVIRUPDWLRQ RI FODVVLFDO UDEELQLF WUDGLWLRQV WKHUHIRUH LV SDUWLFXODUO\ UHOHYDQW WR WKH ZRUN¶V SODFH LQ WKH KLVWRU\ RI UDEELQLF LQWHUSUHWDWLRQ (OEDXP¶V DUJXPHQW DERXW WKHVH WHFKQLFDO WHUPV SDUWLFXODUO\ PL\DG KDV H[WUDRUGLQDULO\ EURDG LPSOLFDWLRQV IRU KRZ ZH FDQ XQGHUVWDQG 35(¶V UHODWLRQVKLS WR FODVVLFDO UDEELQLF OLWHUDWXUH )LUVW (OEDXP DUJXHG WKDW WKHVH WHFKQLFDO WHUPV RULJLQDWH LQ DPRUDLF OLWHUDWXUH DQG WKXV UHSUHVHQW WKH H[SRVLWRUV¶ DGRSWLRQ DQG WUDQVIRUPDWLRQ RI FODVVLFDO UDEELQLF GLVFRXUVH ,Q FRQWUDVW ZLWK /HRSROG =XQ] ZKR DUJXHG WKDW PL\DG ZDV D VLJQ RI JHRQLF DXWKRUVKLS DQG LQQRYDWLRQ (OEDXP VDZ WKLV WHUP DV D PRGLILFDWLRQ RI SULRU UDEELQLF GLVFRXUVH 7KLV VKLIW VLWXDWHV WKH WHUP ZLWKLQ WKH FRQWH[W RI WKH ZRUN¶V UHFHSWLRQ WUDQVPLVVLRQ DQG UHLQWHUSUHWDWLRQ RI FODVVLFDO UDEELQLF GLVFRXUVH WKH WHUP LV QR ORQJHU MXVW D VLJQ RI WKH ZRUN¶V JHRQLF FKDUDFWHU EXW DOVR UHIOHFWV WKH ZD\ WKH ZRUN KDV LQWHUDFWHG ZLWK FODVVLFDO UDEELQLF ODQJXDJH 6HFRQG (OEDXP¶V FKDUDFWHUL]DWLRQ RI PL\DG LV LPSRUWDQW IRU 35(¶V SODFH DPRQJ UDEELQLF OLWHUDWXUH EHFDXVH LW VLJQLILHV KRZ WKH ZRUN EULQJV UDEELQLF WUDGLWLRQV RU LGHDV LQWR LWV LQWHUSUHWDWLRQ RI 6FULSWXUH ,Q KLV YLHZ PL\DG VHUYHV DV D OLJDWXUH ZKLFK ELQGV WRJHWKHU D JURXS RI XQPRGLILHG RU SDUWLDOO\ PRGLILHG FODVVLFDO WUDGLWLRQV ,I ZH IROORZ (OEDXP PL\DG DQG RWKHU VXFK WHUPV LQGLFDWH WKDW 35(¶V H[SRVLWRUV KDYH WDNHQ DQ H[WHUQDO WUDGLWLRQ DQG LQWURGXFHG LW LQWR WKHLU FRPSRVLWLRQ ZKHQ ZH VHH WKH WHUP ZH NQRZ WKDW DQ H[WHUQDO WUDGLWLRQ RU D PRGLILHG YHUVLRQ RI DQ H[WHUQDO WUDGLWLRQ PD\ EH FORVH DW KDQG )LQDOO\ WKLV SRLQW RI YLHZ DVVXPHV WKDW ZH FDQ GLVFHUQ WKH HQWLUHW\ RI WKH ZRUN¶V LQWHUDFWLRQ ZLWK UHFHLYHG UDEELQLF WUDGLWLRQV IURP ³HGLWLQJ´ WR ³UHZULWLQJ´ LQ WKLV WHUP 7KH H[SRVLWRUV WLS WKHLU KDQG ZLWK WKLV WHUP UHYHDOLQJ WKH ZD\ WKDW WKH\ WUDQVPLW DQG WUDQVIRUP WKH FODVVLFDO UDEELQLF WUDGLWLRQ 0L\DG HPERGLHV WKH ZRUN¶V DPELJXRXV VWDQFH WRZDUG ³LQQRYDWLRQ´ DQG ³UHSOLFDWLRQ´ RI FODVVLFDO WUDGLWLRQV 7KH LPSRUWDQFH RI WKHVH LPSOLFDWLRQV LV QRW OLPLWHG WR (OEDXP¶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± \HW ZH ZLOO ILQG WKDW WKH WHUP BBBBBBBBBBBB
=XQ] QRWH H
0LGUDVK DQG 0XOWLSOLFLW\
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¶V GHYHORSPHQW RI FODVVLFDO UDEELQLF WHUPLQRORJ\ DQG OLWHUDU\ RUJDQL]DWLRQ &RQVHTXHQWO\ WKH H[HPSOD EHORZ ZLOO GHPRQVWUDWH WKDW WKH OHVVRQ WR EH OHDUQHG FRQFHUQV 35(¶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³/HW WKH ZDWHUV EH JDWKHUHG´ *HQ KLOOV DQG YDOOH\V DURVH IURP WKH HQGV RI WKH HDUWK >7KH ZDWHUV@ ZHUH VFDWWHUHG XSRQ WKH IDFH RI WKH HDUWK DQG WKH\ ZHUH PDGH LQWR GHSWKV GHSWKV LQ WKH PLGVW RI WKH HDUWK 7KH ZDWHU UROOHG RYHU LQWR WKH GHSWKV DV 6FULSWXUH VWDWHV ³>$@QG WKH ZHOOV RI ZDWHU KH FDOOHG VHDV´ ,PPHGLDWHO\ ʣʩʮ WKH ZDWHU UHEHOOHG DQG DURVH LQ RUGHU WR FRYHU WKH ZKROH HDUWK DQG VWUHQJWKHQHG LQ RUGHU WR DULVH RQ KLJK ʭʥʸʮ DV LQ WKH EHJLQQLQJ ʤʬʧʺʡʫ XQWLO WKH +RO\ 2QH EOHVVHG EH +H URDUHG DQG FUXVKHG WKHP ʭʹʡʫ ZLWK WKH VROH>V@ RI KLV IHHW DQG PHDVXUHG WKHP ZLWK WKH KROORZ RI KLV KDQG WKDW WKHUH ZRXOG QRW EH OHVV RU PRUH DQG KH PDGH VDQG DV D IHQFH DJDLQVW WKH VHD OLNH D PDQ PDNHV D IHQFH IRU KLV YLQH\DUG :KHQ WKH\ DURVH DQG VDZ WKH VDQG EHIRUH WKHP WKH\ WXUQHG EDFNZDUGV DV 6FULSWXUH VWDWHV ³>$@QG , SURVFULEHG XSRQ LW P\ ODZ ʩʷʥʧ DQG , SODFHG EDUV DQG GRRUV´ -RE DQG DV 6FULSWXUH VWDWHV ³µ,I WKH\ GR QRW IHDU P\ VLJQ¶ VD\V WKH /RUG µWKH\ GR QRW IHDU EHIRUH PH WKDW , SODFHG VDQG DV D ERXQGDU\ WR WKH VHD DQ HWHUQDO ODZ
BBBBBBBBBBBB
7KH GHYLDWLRQ LQ RWKHU PDQXVFULSWV LV QRW VLJQLILFDQW EXW PDQXVFULSW YDULDWLRQV LQ WKH WUDGLWLRQV WKDW DUH H[SORUHG EHORZ ZLOO EH QRWHG 7KH SUHVHQFH RI WKLV WHUP LV XQLYHUVDOO\ UHFRJQL]HG LQ DOO RI WKH DIRUHPHQWLRQHG PDQXVFULSWV
35( DQG WKH 5DEELQLF 7UDGLWLRQ
ʭʬʥʲ ʷʥʧ WKDW LW VKDOO QRW SDVV WKH\ PD\ WRVV WKHPVHOYHV EXW ZLOO QRW EH DEOH WKH ZDYHV PD\ UXVK EXW QRW SDVV RYHU LW¶´ -HU %HIRUH WKH ZDWHUV ZHUH JDWKHUHG WKH GHSWKV ʺʥʮʥʤʺ ZHUH FUHDWHG $QG WKHVH DUH WKH\ ʯʤ ʥʬʠʥ WKH GHSWKV WKRVH WKDW DUH XQGHU WKH HDUWK WKDW WKH HDUWK LV XSRQ WKH IDFH RI WKH GHSWKV DQG LW LV VSUHDG OLNH D VKLS WUDYHOV XSRQ WKH IDFH RI WKH VHD LW LV VSUHDG XSRQ WKH ZDWHUV DV 6FULSWXUH VWDWHV ³7R KLP WKDW VSUHDGV WKH HDUWK XSRQ WKH ZDWHUV´ 3V $QG LW RSHQHG WR WKH *DUGHQ RI (GHQ WKDW IURP >WKHUH@ DOO WKH YDULHWLHV RI WUHHV WKDW JDYH IUXLW ZHUH SODQWHG XSRQ WKH IDFH RI WKH HDUWK DFFRUGLQJ WR WKHLU NLQG DOO W\SHV RI JUDVVHV DQG E\ WKHP LW SURYLGHG VHHGV IRU WKH HDUWK DV 6FULSWXUH VWDWHV ³WKDW LW VHHGHG XSRQ WKH HDUWK´ *HQ DQG JDYH IRRG WR DOO FUHDWXUHV EHIRUH WKH\ KDG EHHQ FUHDWHG DV 6FULSWXUH VWDWHV ³><@RX VHW EHIRUH PH P\ WDEOH FRUUHVSRQGLQJ WR P\ WURXEOHV´ 3V $OO RI WKH VSULQJV DULVH IURP WKH GHSWKV LQ RUGHU WR LUULJDWH DOO OLYLQJ WKLQJV 5 7@KH OHQJWK RI WKH HDUWK LV HTXLYDOHQW WR VL[W\ \HDUV WUDYHO DQG RQH GHSWK WKDW LV QHDU *HKHQQD JLYHV IRUWK ZDWHU µGHOLJKWV IRU WKH VRQV RI PHQ¶´ (FFO 5 2@QH WLPH HYHU\ PRQWK WKH GXFWV ULVH IURP WKH GHSWKV LQ RUGHU WR LUULJDWH DOO WKH IDFH RI WKH HDUWK DV 6FULSWXUH VWDWHV µ>$@QG GHZ ZLOO DULVH IURP WKH HDUWK DQG LUULJDWH WKH HQWLUH IDFH RI WKH ODQG¶ *HQ 7KH FORXGV JLYH IRUWK WKH VRXQG RI WKHLU VSRXWV WR WKH VHDV DQG WKH VHDV JLYH IRUWK WKH VRXQG RI WKHLU VSRXW WR WKH GHSWKV DQG WKH GHHS FDOOV WR WKH GHHS WR DULVH DQG JLYH ZDWHU WR WKH FORXGV DV 6FULSWXUH VWDWHV µ>7@KH GHHS FDOOV WR WKH GHHS DW WKH VRXQG RI \RXU ZDWHU VSRXWV¶´ 3V 7KH FORXGV GUDZ ZDWHU IURP WKH GHSWKV DV 6FULSWXUH VWDWHV ³>+@H FDXVHV ZDWHU WR DVFHQG IURP WKH HQGV RI WKH HDUWK DQG PDNHV OLJKWLQJ IRU WKH UDLQ´ 3V DQG LQ HYHU\ SODFH WKDW WKH .LQJ RI .LQJV RI .LQJV FRPPDQGV WKHP WKH\ PDNH UDLQ ,PPHGLDWHO\ ʣʩʮ WKH HDUWK EHFRPHV LPSUHJQDWHG OLNH D ZLGRZ WKURXJK KDUORWU\ DQG WKHUH LV QR JURZWK RI D VHHG RI EOHVVLQJ :KHQ WKH +RO\ 2QH EOHVVHG EH +H ZLVKHV WR EOHVV WKH SURGXFH RI WKH HDUWK DQG WR JLYH SURYLVLRQ WR WKH FUHDWHG EHLQJV IURP LW KRZHYHU KH RSHQV WKH ³JRRG WUHDVXU\´ LQ WKH KHDYHQV DQG LW UDLQV XSRQ WKH HDUWK WKDW WKH ZDWHU LV PDVFXOLQH ± ,PPHGLDWHO\ ʣʩʮ WKH HDUWK EHFRPHV SUHJQDQW OLNH D EULGH ZKR LV LPSUHJQDWHG E\ KHU ILUVW KXVEDQG DV 6FULSWXUH VWDWHV ³>,@I LW VKRXOG ZDWHU WKH HDUWK DQG PDNH LW EULQJ IRUWK ʤʣʩʬʥʤ DQG SURGXFH´ ,VD LW ZLOO EULQJ D VHHG RI EOHVVLQJ DV 6FULSWXUH VWDWHV ³$QG WKH /RUG ZLOO RSHQ IRU \RX KLV WUHDVXU\ RI WKH JRRG´ 'HXW
,Q VXSSRUW RI (OEDXP¶V FRQWHQWLRQ -HIIUH\ 5XEHQVWHLQ DUJXHG WKDW WKLV FKDSWHU VKRZV KRZ PL\DG DGRSWV DQG WUDQVIRUPV UDEELQLF WUDGLWLRQV 5XEHQVWHLQ DVVHUWHG WKDW WKH ³P\WKLF´ WUDQVLWLRQ EHWZHHQ FODVVLFDO PLGUDVK DQG ZRUNV RI
0LGUDVK DQG 0XOWLSOLFLW\
.DEEDODK FRXOG EH IRXQG LQ WKH ZRUN¶V HGLWRULDO XVH RI WKLV WHUP 1HYHUWKHOHVV PDQ\ RI WKH UHFHLYHG WUDGLWLRQV WKDW 5XEHQVWHLQ LQGLFDWHG ³DUH RI FRQWHQW UDWKHU WKDQ ZRUGLQJ´ DQG KH DGPLWV WKDW ³>L@W LV LQGHHG QRW FOHDU WKDW 3LUTH GH5DEEL (OLµH]HU GUDZV VSHFLILFDOO\ RQ WKH VRXUFHV , KDYH FLWHG LW PD\ KDYH GUDZQ RQ RWKHU VRXUFHV RU RQ RUDO WUDGLWLRQ´ 5XEHQVWHLQ¶V RZQ UHVHUYDWLRQV FDOO (OEDXP¶V LGHD LQWR TXHVWLRQ DQG FKDOOHQJH WKH FRQFHSWLRQ WKDW WKHVH SDUDOOHO ³PRWLIV´ FDQ HVWDEOLVK D FRQFUHWH UHODWLRQVKLS EHWZHHQ 35( DQG WKHVH ³RULJLQDO´ VRXUFHV )XUWKHUPRUH WKH SUHYDLOLQJ YLHZ RI PL\DG LV XQGHUPLQHG E\ FRQWUDGLFWLRQV WKDW 5XEHQVWHLQ LGHQWLILHV LQ WKH XQGHUVWDQGLQJ RI WKH WHUP LQ FKDSWHU ILYH ,Q VHYHUDO SODFHV ZLWKLQ WKH FKDSWHU 5XEHQVWHLQ QRWHV ³FODXVHV GR QRW IXQFWLRQ VR PXFK WR LQWURGXFH GLVSDUDWH WUDGLWLRQV DQG SODFH WKHP LQ FKURQRORJLFDO VHTXHQFH EXW UDWKHU WR GHSLFW WKH HIIHFWV RI WKH FDXVHV GHVFULEHG LQ SUHYLRXV VHFWLRQV 7KH FRPSLOHU RI 3LUTH GH5DEEL (OLµH]HU VHHPV WR KDYH DGDSWHG WKLV WHFKQLTXH RI MX[WDSRVLQJ UDEELQLF WUDGLWLRQV WR LQWURGXFH KLV RZQ PDWHULDO´ &RQVHTXHQWO\ WKH WUDGLWLRQV ³DUH QRW ZHOO LQWHJUDWHG´ LQWR WKH ZRUN DQG LQGLFDWH WKH H[SRVLWRUV¶ ³FUXGH QDUUDWLYH DELOLWLHV DQG ILGHOLW\ WR DQWHFHGHQW WUDGLWLRQV´ 2Q WKH RQH KDQG 35(¶V ³ILGHOLW\´ WR UDEELQLF WUDGLWLRQV FODVKHV ZLWK WKH QRWLRQ WKDW WKH ZRUN DGRSWV WKH ³PRWLIV´ RI SULRU WUDGLWLRQV 2Q WKH RWKHU KDQG WKH FRQFHSWLRQ WKDW PL\DG VWDELOL]HV WKHVH WUDGLWLRQV ZLWKLQ D QDUUDWLYH VHTXHQFH FODVKHV ZLWK WKH LQFRQVLVWHQF\ DQG LQFRPSOHWLRQ RI WKH ZRUN¶V QDUUDWLYH GLVFRXUVH ,Q HVVHQFH 5XEHQVWHLQ GHPRQVWUDWHV WKDW WKH SUHYDLOLQJ YLHZ LV SUREOHPDWLF EHFDXVH RQH PXVW DUJXH WKDW PL\DG VLPXOWDQHRXVO\ EXLOGV XS DQG XQGHUPLQHV WKH ZRUN¶V QDUUDWLYH VWUXFWXUH ,I ZH VXVSHQG WKH FRQFHSWLRQ RI PL\DG DV DQ HGLWRULDO WRRO KRZHYHU ZH FDQ VHH DJDLQ WKDW WKH WHUP UHSUHVHQWV D PRUH VXEWOH WUDQVIRUPDWLRQ RI DPRUDLF ODQJXDJH LQWR D UKHWRULFDO WURSH RI SUREOHP DQG UHVROXWLRQ ,Q WKH ODWWHU SDUW RI FKDSWHU ILYH WKH VHFWLRQ RQ WKH ZDWHUV RI WKH WKLUG GD\ RI FUHDWLRQ FDQ LOOXVWUDWH WKH UKHWRULFDO DQG QRW HGLWRULDO FKDUDFWHU RI PL\DG 7KLV FDQ EH VHHQ LQ WKH BBBBBBBBBBBB
5XEHQVWHLQ ³)URP 0\WKLF 0RWLIV´ 5XEHQVWHLQ VWDWHG >LQ ³)URP 0\WKLF 0RWLIV´ QRWH @ ³2I FRXUVH 3LUTH GH5DEEL (OLµH]HU PD\ EH FLWLQJ ORVW VRXUFHV YHUEDWLP EXW WKDW LV SXUH VSHFXODWLRQ´ 6HH 6WLWK 7KRPSVRQ ³0RWLI´ )XQN DQG :DJQDOOV 6WDQGDUG 'LFWLRQDU\ RI )RONORUH 0\WKRORJ\ DQG /HJHQG 0DULD /HDFK HG 1HZ
35( DQG WKH 5DEELQLF 7UDGLWLRQ
EUHYLW\ RI WKH SDVVDJHV WKDW VXUURXQG WKH WHUP DQG LQ WKH FRXQWHUEDODQFH EHWZHHQ WKH UHVROXWLRQ RU UHVXOW RI WKH WZR W\SHV RI UDLQ ZLWK WKH SUHJQDQF\ RI WKH ³ZLGRZ RI KDUORWU\´ DQG WKH ³ZLIH RI KHU ILUVW KXVEDQG´ &RQVHTXHQWO\ WKH WHUP VHUYHV WR HPSKDVL]H WKH UKHWRULFDO LPSDFW RI WKH UDLQV PRUH WKDQ WKH HGLWRULDO VWUXFWXUH RI WKH ZRUN ,Q FRPSDULVRQ ZLWK UDEELQLF LQWHUSUHWLYH GLVFRXUVH 35(¶V LQWHUSUHWDWLRQ RI WKH WZR UDLQV GRHV VKDUH LPDJHU\ DQG SURRIWH[WV ZLWK FODVVLFDO UDEELQLF OLWHUDWXUH EXW WKHUH LV QR H[DPSOH WKDW FDQ EH LGHQWLILHG DV WKH ZRUN¶V GRPLQDQW ³LQIOXHQFH´ RU ³VRXUFH´ ,Q WKH FODVVLFDO VRXUFHV WKH IROORZLQJ SDUDOOHO IURP *HQHVLV 5DEED SURYLGHV WKH JUHDWHVW UDQJH RI VLPLODULW\ 5 $@QG WKH GHZ DURVH IURP WKH HDUWK´ *HQ 5 LUULJDWH@ IURP DERYH DV 6FULSWXUH VWDWHV µ$QG WKHUH FDPH ZLWK FORXGV RI KHDYHQ¶´ 'DQ 5HVK /DNLVK VDLG ³7KH FORXGV RQO\ >LUULJDWH@ IURP EHORZ DV 6FULSWXUH VWDWHV µ>+@H FDXVHV ZDWHU WR DVFHQG IURP WKH HQGV RI WKH HDUWK¶´ 3V $FFRUGLQJ WR WKH RSLQLRQ RI 5 ,@W LV OLNH RQH ZKR VDLG WR KLV FRPSDQLRQ µ>/@HQG PH D VHDK RI ZKHDW¶ +H VDLG WR KLP µ%ULQJ \RXU EXFNHW DQG JR PHDVXUH¶´ WKXV WKH +RO\ 2QH EOHVVHG EH +H VDLG WR WKH HDUWK µ>%@ULQJ \RXU FORXGV DQG UHFHLYH UDLQ¶´ « 5 6DPXHO EDU 1DKPDQL VWDWHV ³2Q DFFRXQW RI IRXU WKLQJV WKH +RO\ 2QH EOHVVHG EH +H UHWRUWV WKDW WKH HDUWK ZLOO RQO\ EH LUULJDWHG IURP DERYH EHFDXVH RI WKH IHUWLOL]DWLRQ RI VHHGV WR SUHYHQW EDG GHZ ʭʩʲʸ ʭʩʬʬʨ WKDW WKH ODUJH RQHV ZLOO EH LUULJDWHG OLNH WKH VPDOOHU RQHV DQG WKDW DOO RI WKHLU KDQJLQJ YLQHV ZLOO EH OLNH WKRVH DERYH DV 6FULSWXUH VWDWHV µ,Q RUGHU WR SODFH WKRVH WKDW DUH ORZ RQ KLJK¶´ -RE
$V WKH EHVW SDUDOOHO WR 35(¶V H[SRVLWLRQ WKHVH SDVVDJHV IURP *HQHVLV 5DEED DQWLFLSDWH 35(¶V DFFRXQW RI WKH WHQVLRQ EHWZHHQ WKH XSSHU DQG ORZHU VRXUFHV RI LUULJDWLRQ 35(¶V H[SRVLWRUV FOHDUO\ SHUFHLYH WKDW WKH ³ORZHU FORXGV´ DUH BBBBBBBBBBBB
5XEHQVWHLQ SURYLGHG SDVVDJHV WKDW DUH UHODWHG WR WKHVH H[HPSOD +LV SDUDOOHOV KRZHYHU RQO\ UHODWH WKH ³LPSUHJQDWLRQ´ RI WKH HDUWK DQG QRW WKH UDEELQLF GLVFXVVLRQ DERXW WKH GLIIHUHQFHV LQ WKH µVRXUFH¶ RI WKH ZDWHUV DV LQ WKH *HQHVLV 5DEED SDVVDJH DQG LQ 35( 6HH 5XEHQVWHLQ ³)URP 0\WKLF 0RWLIV´ ± , KDYH UHYHUVHG WKH RUGHU WKDW WKHVH WUDGLWLRQV DSSHDU ZLWKLQ *HQHVLV 5DEED IRU UKHWRULFDO SXUSRVHV 7KH SDVVDJH DOVR DWWHVWV D VLPLODU WUDGLWLRQ LQ WKH FRPPHQWV RI 5 1HKHPLDK DQG 5 6DPXHO EDU 1DKPDQL 5 1HKHPLDK VWDWHV ³7KH +RO\ 2QH EOHVVHG EH +H VDLG µ7KH HDUWK ZLOO QRW EH LUULJDWHG RWKHU WKDQ IURP DERYH¶´ 7KLV WUDGLWLRQ SDUWLFLSDWHV LQ D JUHDWHU GLVFXVVLRQ RI WKH UHODWLYH PHULW RI LUULJDWLRQ E\ PHDQV RI WKH 1LOH RU RWKHU µHDUWKO\¶ ERGLHV RI ZDWHU WKURXJKRXW WKH VHFWLRQ
0LGUDVK DQG 0XOWLSOLFLW\
PDOHYROHQW DV GRHV 5 6DPXHO EDU 1DKPDQL RQ WKH EDVLV RI WKH VDPH SURRIWH[W WKDW 5HVK /DNLVK XVHV WR DUJXH WKDW ³ORZHU FORXGV´ DUH WKH WUXH VRXUFH IRU HDUWK¶V LUULJDWLRQ &RQVHTXHQWO\ RQH FRXOG DUJXH WKDW WKH *HQHVLV 5DEED SDVVDJH VHUYHV DV D WKHPDWLF DQG H[HJHWLFDO LQIOXHQFH XSRQ 35( 6LPLODUO\ ZH FRXOG VD\ WKDW RWKHU WUDGLWLRQV IURP WKH %DE\ORQLDQ 7DOPXG 7D¶DQLW DE DQG *HQHVLV 5DEED DQWLFLSDWH WKH SURRIWH[WV DQG WKH LPDJHU\ RI WKH SUHJQDQF\ DQG RIIVSULQJ RI WKH HDUWK IURP WKH ODWWHU KDOI RI WKH 35( SDVVDJH +RZHYHU QRQH RI WKHVH SDUDOOHO WUDGLWLRQV FDSWXUHV HQRXJK RI WKH QXDQFHV LQ 35(¶V H[SRVLWLRQ WR EH LGHQWLILHG DV LWV ³VRXUFH´ $OWKRXJK FRPSDUDEOH LQ QDUUDWLYH FKURQRORJ\ WKH VLPLODULWLHV RI WKHVH VRXUFHV RQO\ GHPRQVWUDWH WKDW WKH H[SRVLWRUV DUH SDUWLFLSDWLQJ LQ D WUDGLWLRQ WKDW GHYHORSHG DURXQG WKHVH SURRIWH[WV 7KH SDUDOOHO SDVVDJHV QHLWKHU GHILQH QRU DGGUHVV WKH PDOHYROHQFH RI WKH ³ORZHU FORXGV´ LQ WKH VDPH WHUPV RU ODQJXDJH DV GRHV 35( QRU GR WKH\ GHILQH DQG DGGUHVV WKH EHQHILFLDO FRPSRQHQW RI WKH ³JRRG WUHDVXU\´ LQ WKH VDPH WHUPV DQG ODQJXDJH &RPSDULVRQ EHWZHHQ WKLV VHFWLRQ DQG *HQHVLV 5DEED GHPRQVWUDWHV WKDW WKH WRSRJUDSK\ DQG PHWDSKRUV LQ WKLV VHFWLRQ RI 35( DUH QRW IRXQG LQ D SDUDOOHO UDEELQLF ZRUN 2Q WKH FRQWUDU\ FKDSWHU ILYH SURYLGHV PRUH HYLGHQFH IRU WKH WHFKQLFDO FRQMXQFWLRQ RI QDUUDWLYH GLVFRXUVHV LQ SUREOHP DQG UHVROXWLRQ WKH WZR XVHV RI WKH WHUP RQO\ DGGUHVV WKH HIIHFW RI WKH WZR W\SHV RI UDLQ &RQVHTXHQWO\ FKDSWHU ILYH¶V XVH RI WKH WHUP H[KLELWV D FDXVDO PRYHPHQW ZKLFK LV LQIRUPHG E\ WKH FRQWUDVW EHWZHHQ WKH HIIHFWV RI HDFK FDXVH 7KH ILUVW DWWHVWDWLRQ RI PL\DG LQ WKH FKDSWHU KRZHYHU DSSHDUV WR EULGJH WZR GLVSDUDWH WUDGLWLRQV DFFRUGLQJ WR WKH SUHYDLOLQJ YLHZ RI WKLV WHUP 5XEHQVWHLQ DUJXHG WKDW WKH H[SRVLWRUV¶ XVH RI WKLV WHUP LV FKURQRORJLFDOO\ SUREOHPDWLF ³3LUTH GH5DEEL (OLµH]HU SODFHV WKH UHEHOOLRQ RI WKH ZDWHUV DIWHU WKH\ REH\ *RG UHWUHDW DQG DOORZ WKH HDUWK WR DSSHDU« >7@KLV PDNHV OLWWOH VHQVH WKH UDEELQLF WUDGLWLRQV PRUH ORJLFDOO\ KDYH WKH ZDWHUV UHEHO LPPHGLDWHO\ XSRQ EHLQJ FRPPDQGHG WR UHFHGH´ $FFRUGLQJO\ RQH FRXOG DVVXPH WKLV IDXOW\ FKURQRORJ\ GHPRQVWUDWHG WKDW PL\DG FRXOG RQO\ VHUYH DQ HGLWRULDO SXUSRVH WKH H[SRVLWRUV FROOHFWHG WKH WUDGLWLRQV RI RWKHU UDEELQLF VRXUFHV DQG SODFHG WKH WUDGLWLRQV LQWR D VHTXHQFH OLQNHG E\ WKH WHUP PL\DG 5XEHQVWHLQ FRUUHODWHG WKH VHFWLRQ SUHFHGLQJ WKH WHUP ZLWK RQH VRXUFH *HQHVLV 5DEED LQ ZKLFK ZDWHUV DVFHQG PRXQWDLQV DQG GHVFHQG KLOOV DQG WKH VHFWLRQ IROORZLQJ WKH WHUP WR D VHW RI RWKHU VRXUFHV %DE\ORQLDQ 7DOPXG %DED %DWKUD E LQ ZKLFK WKH ³SULQFH RI WKH VHD´ LV RUGHUHG WR VZDOORZ DOO RI WKH ZDWHUV RI WKH ZRUOG %DE\ORQLDQ 7DOPXG +DJLJDK D LQ ZKLFK *RG ³UHEXNHV´ WKH BBBBBBBBBBBB
5XEHQVWHLQ ³)URP 0\WKLF 0RWLIV´
35( DQG WKH 5DEELQLF 7UDGLWLRQ
H[SDQVLRQ RI WKH ZDWHUV DQG *HQHVLV 5DEED LQ ZKLFK *RG WUHDGV XSRQ WKH SULPRUGLDO ZDWHUV 7KLV ³PLVWDNHQ´ FKURQRORJ\ KRZHYHU GRHV QRW LQGLFDWH KRZ WKH H[SRVLWRUV XVH WKH WHUP QRU GR WKH WUDGLWLRQV WKDW KH FLWHV FRUUHVSRQG WR DQ RUGHUO\ FKURQRORJ\ RI WKH ³RULJLQDO VRXUFH WUDGLWLRQV´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³ZDWHU LQ ZDWHU´ EHIRUH *RG SUHYHQWV WKH VH[XDO XQLRQ RI WKHVH ZDWHUV ,Q 35( KRZHYHU WKH GLVFXVVLRQ FRQFHUQV WKH UHODWLRQVKLS EHWZHHQ WKH HDUWK DQG ZDWHUV QRW WKH ZDWHUV DORQH 35(¶V WUDGLWLRQV RQO\ PDUJLQDOO\ FRUUHVSRQG WR WKH FODVVLFDO SDUDOOHOV WKDW 5XEHQVWHLQ QDPHV DQG ZH FDQQRW VHH WKH *HQHVLV 5DEED VRXUFHV DV WKH RULJLQ RI 35(¶V WUDGLWLRQV ,Q WKLV DWWHVWDWLRQ RI PL\DG WKH FKURQRORJ\ LV QRW FRUUXSW DQG LW FDQQRW LQGLFDWH WKH ³RULJLQDO´ VRXUFH IRU WKH ZRUN¶V H[SRVLWLRQ $V DERYH PL\DG LQGLFDWHV D UKHWRULFDO PRYHPHQW ZLWKLQ WKH VHFWLRQ ,Q WKLV FKDSWHU WKH ZDWHU¶V HQYHORSPHQW RI WKH HDUWK LV SUHYHQWHG E\ WKH HDUWK¶V PRYHPHQW WR IRUP PRXQWDLQV DQG KLOOV EHIRUH PL\DG WKH PRYHPHQW RI WKH ZDWHUV LV QRW E\ GLYLQH ILDW EXW UDWKHU FKDUDFWHUL]HV WKH UHODWLRQVKLS EHWZHHQ WKH HDUWK DQG WKH ZDWHUV $IWHU WKH ZDWHUV KDYH EHHQ VFDWWHUHG DQG IRUPHG LQWR VHDV PL\DG LQGLFDWHV WKH UHDFWLRQ RI WKH ZDWHUV WR WKHLU VHSDUDWLRQ DQG WKHLU HQVXLQJ DWWHPSW WR GRPLQDWH WKH ZRUOG 'XULQJ LWV DFFRXQW RI WKH ZDWHUV¶ UHEHOOLRQ 35( UHIHUV EDFN WR WKH QRWLRQ WKDW WKH ZDWHUV ZLVK WR UHWXUQ WR WKHLU BBBBBBBBBBBB
1RWH WKDW WKH SDUDOOHO WR 35(¶V WUDGLWLRQ IURP 0LGUDVK 3VDOPV DWWULEXWHV WKH WUDGLWLRQ WR 5 %HUHNLDK 7KLV ZRUN¶V DWWULEXWLRQ RI WKLV WUDGHQW WR D WUDGLWLRQ WKDW VKDUHV 35(¶V GLVFRXUVH XQGHUVFRUHV WKH UHODWLRQVKLS EHWZHHQ WKH 5 %HUHNLDK H[SRVLWLRQV RI *HQHVLV 5DEED DQG WKH XQDWWULEXWHG ZDWHU WUDGLWLRQV LQ 35( )LVKEDQH %LEOLFDO 0\WK 6HH WKH HQWLUHW\ RI FKDSWHU VL[ RQ ³*RG DQG WKH 3ULPRUGLDO :DWHUV´ IRU WUDGLWLRQV DERXW WKH ZDWHUV¶ UHEHOOLRQ 7KHVH FRPPHQWV DUH HFKRHG LQ 7KHRGRU¶V FRPPHQWV RQ SDJH RI KLV HGLWLRQ RI WKH *HQHVLV 5DEED LQ ZKLFK KH H[SOLFLWO\ FRUUHODWHV WKH WH[W¶V FRPPHQW RQ µDOO RI WKH ZRUOG ZDV ZDWHU LQ ZDWHU¶ ZLWK WKH SDVVDJH IURP 35( ,W LV QRWHG LQ /XULD¶V FRPPHQWDU\ E QRWH WKDW 35( GLVDJUHHV ZLWK *HQHVLV 5DEED LQ ZKLFK WKH PRXQWDLQV DQG KLOOV ZHUH FUHDWHG RQ WKH ILUVW GD\
0LGUDVK DQG 0XOWLSOLFLW\
SUHYLRXV SRVLWLRQ LQ RUGHU WR UHLQIRUFH WKH QDUUDWLYH FRQWLQXLW\ EHIRUH DQG DIWHU PL\DG 7KDW LV WKH ZDWHUV ZLVK WR UHWXUQ WR WKHLU SUHYLRXV FRYHULQJ RI WKH HDUWK ³DV LQ WKH EHJLQQLQJ´ ʤʬʧʺʡʫ $V D WHFKQLFDO WHUP PL\DG IXQFWLRQV DV D UKHWRULFDO PDUNHU WKDW LQWURGXFHV WKH GLYLQH UHEXNH WR WKH ZDWHUV RU D UHVSRQVH WKDW FDUULHV WKH QDUUDWLYH IURP SUREOHP WR UHVROXWLRQ 35(¶V XVH RI PL\DG H[HPSOLILHV WKH FORVH UHODWLRQVKLS EHWZHHQ LWV OLWHUDU\ RUJDQL]DWLRQ VXFK DV WKH FKDSWHU¶V UHIHUHQFH WR WKH WKLUG GD\ RI FUHDWLRQ DQG LWV XVH RI UDEELQLF WHUPV ZLWKLQ WKLV RUJDQL]DWLRQ 7KH SULPDU\ XVH RI WKH WHUP PL\DG KRZHYHU LV WR KDVWHQ WKH GLVFRXUVH IURP FDXVH WR HIIHFW RU IURP SUREOHP WR UHVROXWLRQ $QDO\VLV RI WKH WHUP LQ HYHU\ DWWHVWHG FDVH \LHOGV WKH VDPH FRQFOXVLRQ WKH WHUP LV D EULGJH EHWZHHQ SUREOHP DQG UHVROXWLRQ ,Q FKDSWHU IRUW\WZR IRU H[DPSOH WKH WHUP DSSHDUV WZLFH ³>7KH HDUWK@ VDLG EHIRUH >*RG@ µ*LYH PH WKH RDWK RI \RXU ULJKW KDQG WKDW \RX ZLOO QRW VHHN >WKH (J\SWLDQV@ IURP P\ KDQG¶ ,PPHGLDWHO\ ʣʩʮ KH SXW IRUWK KLV ULJKW KDQG DQG VZRUH WKDW KH ZRXOG QRW VHHN WKHP IURP KHU KDQG ,PPHGLDWHO\ ʣʩʮ WKH HDUWK RSHQHG LWV PRXWK DQG VZDOORZHG WKHP«´ 7KLV SDWWHUQ FRQWLQXHV WKURXJKRXW 35( ZLWKRXW UHIHUHQFH WR WKH DGRSWLRQ RI WUDGLWLRQV LQWR WKH HGLWRULDO IUDPHZRUN RI WKH ZRUN RU WR WKH ODUJHU HGLWRULDO PHWKRGV RI 35(¶V H[SRVLWRUV 2Q WKH FRQWUDU\ PL\DG VKDUHV WKH FKDUDFWHULVWLF RI SUREOHP DQG UHVROXWLRQ ZLWKLQ WKH QDUUDWLYH DQG UHIOHFWV WKH H[SRVLWRUV¶ DGRSWLRQ DQG GHYHORSPHQW RI FODVVLFDO UDEELQLF ODQJXDJH IRU WKLV QHZ SXUSRVH 0L\DG LV QRW WKH RQO\ H[SUHVVLRQ RI WHFKQLFDO ODQJXDJH LQ 35( WKDW VHUYHV WKLV SXUSRVH RI GHYHORSLQJ DXWKRULWDWLYH UDEELQLF GLVFRXUVH KRZHYHU 7KH WHUPV EH¶RWDK VKD¶DK ʤʲʹ ʤʺʥʠʡ ³DW WKDW WLPH´ DQG PDK µDVDK ʤʹʲ ʤʮ ³>:@KDW GLG KH GR"´ DUH VLPLODU WR PL\DG LQ WKH ZD\ WKDW WKH\ UHILQH QDUUDWLYH GLVFRXUVH WKRXJK WKH\ GR QRW RFFXU DV RIWHQ LQ FODVVLFDO UDEELQLF OLWHUDWXUH ,Q RXU EDVH PDQXVFULSW EH¶RWDK VKD¶DK RFFXUV RYHU WZHQW\ WLPHV $V DERYH (OEDXP LGHQWLILHG WKLV WHUP ZLWK RQH XVH RI PL\DG ³WR LQVHUW GUDPDWLF DGGLWLRQV EHWZHHQ YHUVHV´ OLNH RWKHU ³FKDUDFWHULVWLF¶´ WHUPV RI /DWH 0LGUDVK VXFK DV NHVKH>ED@ ³ZKHQ«´ YHNHYDQ VKH ³DV VRRQ DV «´ DQG µLP NHVKHKX ³ZKHQ «´ DV ZHOO DV YH « ³DQG´ $PRQJ WKHVH WHUPV EH¶RWDK VKD¶DK OLNH PL\DG UHVROYHV LVVXHV ZLWK 35(¶V QDUUDWLYH DV LQ WKH IROORZLQJ H[DPSOHV BBBBBBBBBBBB
)ULHGODQGHU SURYLGHG DQ LQWHUHVWLQJ FRPPHQW RQ SDJH QRWH IRU WKH SDLU RI PL\DG WHUPV LQ WKH ODWWHU KDOI RI FKDSWHU ILYH +H LQWHUSUHWHG WKH UDLQ RI GHEDXFKHU\ WR EH GHULYHG IURP WKH ILUVW ZDWHUV ³ZKHUH RULJLQDOO\ WKH ZDWHU ZDV´ RQ WKH EDVLV RI WKH UHIHUHQFH LQ 3VDOPV WR ³ZDWHUV WKDW DVFHQG IURP WKH HQGV RI WKH HDUWK´ (OEDXP ³)URP 6HUPRQ WR 6WRU\´
35( DQG WKH 5DEELQLF 7UDGLWLRQ
&KDSWHU (OHYHQ
$OO RI WKH FUHDWXUHV VDZ >$GDP@ DQG ZHUH DIUDLG RI KLP WKLQNLQJ WKDW KH ZDV WKHLU FUHDWRU DQG WKH\ FDPH WR ZRUVKLS KLP ± DW WKDW WLPH ʤʲʹ ʤʺʥʠʡ $GDP VDLG WR WKHP ³:K\ LV LW FUHDWXUHV" « ,I WKHUH DUH QR SHRSOH FHOHEUDWLQJ WKHLU NLQJ ZLOO WKH NLQJ FHOHEUDWH KLPVHOI"´ $W WKDW WLPH ʤʲʹ ʤʺʥʠʡ $GDP DQG DOO RI WKH FUHDWXUHV VSRNH DQG HQWKURQHG WKHLU FUHDWRU «
&KDSWHU 7ZHQW\
>$GDP@ WRRN KLV KDQGV IURP WKH OLJKW RI WKH ILUH DQG VDLG ³1RZ , NQRZ WR GLYLGH WKH KRO\ GD\ IURP WKH FRPPRQ GD\ :K\" %HFDXVH RQH GRHV QRW EXUQ ILUH RQ WKH GD\ RI WKH 6DEEDWK´ $W WKDW WLPH ʤʲʹ ʤʺʥʠʡ KH VDLG >7KH %OHVVLQJ RI +DYGDODK@
&KDSWHU 7ZHQW\)LYH
7KH VFUHDP >RI /RW¶V GDXJKWHU@ URVH EHIRUH WKH WKURQH RI JORU\ DW WKDW WLPH ʤʲʹ ʤʺʥʠʡ WKH +RO\ 2QH EOHVVHG EH +H VDLG ³, ZLOO GHVFHQG >WR 6RGRP@´
&KDSWHU )RUW\6L[
:KHQ 7KH /RUG SDVVHG KH UHPRYHG KLV KDQG IURP KLP DQG KH VDZ WKH UHDU RI WKH 6KHNKLQD DV 6FULSWXUH VWDWHV ³$QG , ZLOO WDNH DZD\ P\ KDQG DQG \RX ZLOO VHH P\ EDFN´ ([ >DQG@ DW WKDW WLPH ʤʲʹ ʤʺʥʠʡ 0RVHV EHJDQ WR FDOO LQ D JUHDW YRLFH DQG VDLG ³7KH /RUG WKH /RUG JUDFLRXV DQG FRPSDVVLRQDWH HWF´ ([
6LPLODU WR PL\DG EH¶RWDK VKD¶DK LQWURGXFHV D UKHWRULFDO GLPHQVLRQ WR WKH ZRUN¶V H[SRVLWLRQ WKDW LV RULHQWHG WRZDUGV SUREOHP DQG UHVROXWLRQ ,Q WKHVH SDVVDJHV EH¶RWDK VKD¶DK UHIOHFWV WKH PRYHPHQW RI WKH SULQFLSDO DFWRUV WKDW LV FDXVHG E\ D VLWXDWLRQ RI FRQIOLFW RU QRQSHUIRUPDQFH RI VDQFWLRQHG GXW\ 7KH H[SRVLWRU¶V XVH RI WHFKQLFDO WHUPLQRORJ\ LQ RUGHU WR RULHQW WKH PRYHPHQW RI WKH QDUUDWLYH LV DOVR H[KLELWHG LQ WKH PRVW IUHTXHQW UKHWRULFDO VWDWHPHQW LQ WKH ZRUN PDK µDVDK ʤʹʲ ʤʮ ZKLFK RFFXUV PRUH WKDQ VHYHQW\ ILYH WLPHV LQ 35( 7KLV WHUP LQYRNHV D PRUH LQWHUURJDWLYH VW\OH RI PRYHPHQW IURP SUREOHP WR UHVROXWLRQ LQ WKLV VHQVH UHVHPEOLQJ RWKHU LQWHUURJDWLYH SKUDVLQJ VXFK DV ODPDK ʤʮʬ ³ZK\"´ ZKLFK RFFXUV DSSUR[LPDWHO\ WKLUW\ WLPHV 7KH VLPLODU XVDJH RI WKLV WHUP LQ 35( ZLWK EH¶RWDK VKD¶DK DQG PL\DG DUH HYLGHQW LQ WKH IROORZLQJ H[DPSOHV &KDSWHU 7ZHQW\7ZR
>$W WKH WLPH RI WKH IORRG WKH $QDNLP@ VDLG ³,I WKH ZDWHUV RI WKH IORRG ZLOO UDLQ XSRQ XV IURP WKH KHDYHQV ZH DUH WDOO DQG WKH ZDWHU ZLOO QRW ULVH WR RXU QHFNV LI WKH ZDWHU RI WKH 7HKRP ZLOO ULVH XSRQ XV IURP WKH HDUWK ZH FDQ VWRS
0LGUDVK DQG 0XOWLSOLFLW\
XS WKH 7HKRPRW ZLWK RXU IHHW´ :KDW GLG WKH\ GR" ʯʩʹʥʲ ʥʩʤ ʤʮ 7KH\ SXW IRUWK WKHLU IHHW LQ RUGHU WR VWRS XS WKH ZHOOV :KDW GLG WKH +RO\ 2QH EOHVVHG EH +H GR" ʤ ʡʷʤʤʹʲʤʮ +HFDXVHGWKHZDWHUVRIWKH7HKRPRWWRKHDWXSRQWKHP DQGWKH\ZHUHULVLQJDQGEXUQLQJWKHLUIOHVKDQGLWSHHOHGRIIIURPWKHPDV 6FULSWXUHVWDWHV³>:@KHQWKH\ZDUPWKH\YDQLVKLQWKHKHDWʥʮʥʧ WKH\DUH FRQVXPHG LQ WKHLU SODFH´ -RE ± RQO\ UHDG ³LQ KLV KHDWLQJ ʥʮʩʮʧ ´ ± WKH\ZHUHFRQVXPHGLQWKHLUSODFH
&KDSWHU7KLUW\(LJKW
³$QGKHFDPHKRPHDQGSODFHGKLVKDQGXSRQWKHZDOODQGZDVELWWHQE\D VQDNH´$PRV :KHQ-DFREFDPHKRPHWRWKHODQGRIKLVLQKHULWDQFH KHZDVELWWHQE\DVQDNHWKLVLV6KHFKHPEHQ+DPRU7KHGDXJKWHURI-DFRE VDWLQWKHWHQWVDQGGLGQRWJRRXWVLGH:KDWGLG6KHFKHPEHQ+DPRUGR"ʤʮ ʸʥʮʧʯʡʭʫʹʤʹʲ +HEURXJKWRXWZRPHQWRSOD\WRSVRXWVLGHDQG³'LQDZHQW RXWWRVHHWKHGDXJKWHUVRIWKHODQGSOD\LQJ´DQGKHVWROHKHUVOHSWZLWKKHU DQG VKH JDYH ELUWK WR $VHQHWK 7KH VRQV RI -DFRE VSRNH LQ IDYRU RI NLOOLQJ >$VHQHWK@DQGWKH\VDLG³1RZDOORIWKHODQGZLOOVD\WKDWWKHUHLVKDUORWU\LQ WKHWHQWVRI-DFRE´:KDWGLG-DFREGR"ʡʷʲʩʤʹʲʤʮ +HZURWHWKHVXSHUQDO QDPHXSRQDVKHHWRIJROGDQGKXQJLWDURXQGKHUQHFNDQGVHQWKHUIRUWK«
7KHVH H[DPSOHV XQGHUVFRUH WKDW PL\DG EH¶RWDK VKDµDK DQG PDK µDVDK LQGLFDWH WKH EULGJH EHWZHHQ SUREOHPV DQG UHVROXWLRQV DQG WKXV VLWXDWH LQVWDQFHV RI QDUUDWLYH GLVFRXUVH ZLWKLQ WKH FRQWH[W RI WKH ZRUN¶V H[SRVLWLRQ &RQVHTXHQWO\ WKHVH WHUPV FKDUDFWHUL]H D W\SH RI UKHWRULFDO PRYHPHQW ZLWKLQ 35( RQH WKDW LQWHUDFWV DQG H[SDQGV WKH QDUUDWLYH EXW GRHV QRW PDNH DQ HGLWRULDOFRQWULEXWLRQWRWKHRUJDQL]DWLRQRIWKHZRUN$VVKRXOGEHFOHDUIURP WKH H[HPSOD DERYH 35(¶V XVH RI WKHVH WHUPV GLIIHUV IURP FODVVLFDO UDEELQLF OLWHUDWXUH LQ ZKLFK WKH WHUPV DUH GHFLGHGO\ OHVV IUHTXHQW ,Q FRQWUDVW WR FODVVLFDOOLWHUDWXUHWKHH[SRVLWRUV¶DUWLFXODWHWKHWHUPZLWKLQWKHLURUJDQL]DWLRQ DQGH[SRVLWLRQRI6FULSWXUDOGLVFRXUVHDQGWKHVH PRGHVRIGLVFRXUVHHPERG\ 35(¶VWUDGLWLRQEXLOGLQJ )XUWKHUPRUH35(¶VUHFHSWLRQWUDQVPLVVLRQDQGWUDQVIRUPDWLRQRIUDEELQLF H[SUHVVLRQV HQKDQFH LWV QDUUDWLYH RUJDQL]DWLRQ ,Q VLPLODU IDVKLRQ WKH H[SRVLWRUV LQVHUW WKH WHUP Y¶HOX KHQ ʯʤ ʥʬʠʥ ³$QG WKHVH DUH WKH\´ DV WKH\ GHSOR\WKHOLWHUDU\GHYLFHRIHQXPHUDWLRQE\PHDQVRIDQDPRUDLFWHUP7KLV WHUP LQFRUSRUDWHV WKH FODVVLFDO UDEELQLF H[SUHVVLRQ Y¶HOX KHQ LQWR 35(¶V HQXPHUDWLYH RUJDQL]DWLRQ 7KH WHUP VLJQDOV WKH HQWUDQFH RI WKH HQXPHUDWLYH BBBBBBBBBBBB
0DQXVFULSW YDULDQWV DGG DQ $O 7LNUH ZLWK ³GR QRW UHDG ³LQ KLV KHDW´ >ʥʮʥʧʡ@ EXW´ ± VHH $GHOPDQ3RHWLFVRI6SDFHDQG7LPHDQGQRWH
35(DQGWKH5DEELQLF7UDGLWLRQ
PRGHODQGFDQEHFRQVLGHUHGDUKHWRULFDOGHYHORSPHQWRIDFODVVLFDOUDEELQLF H[SUHVVLRQ7KLVGHYHORSPHQWPD\EHVHHQLQWKHIROORZLQJH[DPSOHV &KDSWHU6L[ $OO>RIWKHVWDUVDQGSODQHWV@PLQLVWHUWRWKHWZHOYHFRQVWHOODWLRQVWKDWWKH\ FRUUHVSRQGWRWKHWZHOYHPRQWKVDQGWKHVHDUHWKH\$ULHV7DXUXV*HPLQL &DQFHU /HR 9LUJR /LEUD 6FRUSLR 6DJLWWDULXV &DSULFRUQ $TXDULXV DQG 3LVFHV
&KDSWHU7KLUW\
5,VKPDHOVDLG³7KH&KLOGUHQRI,VKPDHOZLOOGRILIWHHQWKLQJVLQWKHODQGDW WKH HQGRI GD\V DQG WKHVH DUH WKH\ WKH\ ZLOO PHDVXUH WKH ODQGZLWK URSHV WKH\ZLOOFKDQJHFHPHWHULHVLQWRILHOGVIRUJUD]LQJVKHHSDQGGXQJKLOOV«´
&KDSWHU7KLUW\)RXU
$ PDQ KDV WKUHH ORYHV DQG WKHVH DUH WKH\ KLV FKLOGUHQ DQG KRXVHKROG KLV PRQH\DQGKLVJRRGGHHGV«´
7KHVHH[DPSOHV XQGHUVFRUHKRZ PXFK RI WKH WHFKQLFDOODQJXDJH ZLWKLQ 35( FRUUHVSRQGVWRWKH ZRUN¶VH[SRVLWLRQRI6FULSWXUDOUDEELQLFDQGQRQUDEELQLF WUDGLWLRQV:KHWKHUWKH\DUHDGRSWHGIURPFODVVLFDOUDEELQLFOLWHUDWXUHRUQRW WKHVH FODVVLFDO WHUPV EHFRPH DVVRFLDWHG ZLWK D GRPLQDQW IRUP RI 35(¶V OLWHUDU\RUJDQL]DWLRQDQGSURYLGHDQH[SRVLWRU\FKDUDFWHUWKDWLVSDUWLFXODUWR 35( 9¶HOX KHQ LV D WHFKQLFDO WHUP SDUDOOHO WR PL\DG WKDW VLWXDWHV WKH WUDGLWLRQZLWKLQWKHFRQWH[WRIWKHZRUN¶VH[SRVLWLRQ ,Q FRQVLGHUDWLRQ RI WKH UHODWLRQVKLS RI WKHVH WHUPV WR WKH ZRUN¶V WUDQVPLVVLRQ RI UDEELQLF WUDGLWLRQV , VKRXOG UHLWHUDWH WKDW WKHVH WHUPV GR QRW UHIOHFWWKHZRUN¶VHGLWRULDODGRSWLRQRIH[WHUQDOUDEELQLFWUDGLWLRQVEXWUDWKHU WKHWUDQVODWLRQRIFODVVLFDODPRUDLFWHUPLQRORJ\LQWRWKHPRGHVE\ZKLFK35( HQJDJHV ZLWK 6FULSWXUDO DQG UDEELQLF WUDGLWLRQV 0L\DG DQG WKH UHODWHG WHFKQLFDOWHUPVKRZHYHUDUHQRWLQGLVSHQVDEOHWRWKHH[SRVLWRUV¶QHJRWLDWLRQ RI 6FULSWXUH RU WKH UDEELQLF LQWHUSUHWLYH WUDGLWLRQ 5DWKHU 35(¶V H[SRVLWRUV GHYHORS WKHVH FODVVLFDO UDEELQLF H[SUHVVLRQV LQ RUGHU WR KLJKOLJKW UKHWRULFDO BBBBBBBBBBBB
$OWKRXJK VFKRODUV PLJKW DUJXH WKDW WKHVH HQXPHUDWLYH WUDGLWLRQV DUH GLUHFWO\ FRSLHG IURP ZRUNVVXFKDV3LUNH$YRWWKDW³LQIOXHQFHG´35(,KDYHLQWHQWLRQDOO\FKRVHQH[DPSOHVWKDW GHPRQVWUDWH WKH H[SRVLWRUV¶ XVH RI WKH WHUP WR SURYLGH SUHYLRXVO\ XQDWWHVWHG OLVWV 6HH P\ GLVFXVVLRQRI3LUNH$YRWEHORZ $GGLWLRQDO SKUDVHV ZLWKLQ 35( ZLOO EH GLVFXVVHG EHORZ VLQFH WKH\ H[SUHVV WKH ZRUN¶V UHIOHFWLRQ RQ µFLWDWLRQ¶ DV LQ ʭʩʮʫʧ ʥʸʮʠ ʯʠʫʮ DQG RWKHU UHODWHG WHUPV RU µH[HJHVLV¶ RI 6FULSWXUHDVLQʸʮʥʠʸʧʠʡʥʺʫʯʩʩʰʮDQGRWKHUUHODWHGWHUPV
0LGUDVKDQG0XOWLSOLFLW\ IDFHWV ZLWKLQ WKH ZRUN¶V OLWHUDU\ PRGHOV RI %LEOLFDO LQWHUSUHWDWLRQ &RQVHTXHQWO\ WKHVH UKHWRULFDO WHUPV HPERG\ WKH ZRUN¶V LQQRYDWLYH DUWLFXODWLRQ RI UDEELQLF H[SRVLWRU\ GLVFRXUVH 7KH ZRUN¶V UHFHSWLRQ WUDQVPLVVLRQ DQG WUDQVIRUPDWLRQ RI FODVVLFDO UDEELQLF ODQJXDJH WKHUHIRUH UHVLGH VROHO\ ZLWKLQ WKH ZRUN¶V DSSOLFDWLRQ RI WHUPLQRORJ\ LQ VHUYLFH RI WKH OLWHUDU\ PRGHOV LQ WKH ZRUN ± DQG QRW LQ WKH HGLWRULDO UHFRQILJXUDWLRQ RI WUDGLWLRQVWKHPVHOYHV
4XRWDWLRQDQG5HVRQDQFH $'HPRQVWUDWLRQRI5DEELQLF7UDGLWLRQVLQ35(
7KHUHLVVXUHO\QRHYLGHQFHIRUDUHODWLRQVKLSEHWZHHQGLVWDQWWH[WXDOWUDGLWLRQV WKDW LV PRUH FHUWDLQ WKDQ TXRWDWLRQ 4XRWDWLRQ LQGLFDWHV UHVHPEODQFH LQ ODQJXDJHDQGH[SUHVVLRQWKDWUHIOHFWVDZRUN¶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³RULJLQDO´ ZRUN DQG D VHFRQG ³GHULYDWLYH´ UHLWHUDWLRQ RU HGLWRULDO FRS\ $FFRUGLQJO\ VFKRODUV RIWHQ DVVRFLDWH TXRWDWLRQ ZLWK HGLWRUV DQG DQWKRORJLHV DQG QRW ZLWK WKH LQQRYDWLYH GHYHORSPHQW RI DQ LQWHUSUHWLYH WUDGLWLRQ $OWKRXJK TXRWDWLRQ SURYHV WKH UHODWLRQ EHWZHHQ WH[WXDO WUDGLWLRQV LW UDUHO\ KDV EHHQ VHHQ DV D VLJQSRVWRIOLWHUDU\RUKHUPHQHXWLFGHYHORSPHQW ,Q35(KRZHYHUTXRWDWLRQ RIHDUOLHUWH[WXDOWUDGLWLRQVSURYLGHVD IRUXP LQ ZKLFK WKH H[SRVLWRUV H[SDQG DQG WUDQVIRUP WKRVH TXRWHG WUDGLWLRQV LQWR BBBBBBBBBBBB
-DFRE (OEDXP¶V DUJXPHQW WKDW WKHUH DUH IRUPV RI HGLWRULDO LQQRYDWLRQ IRXQG LQ 35(¶V RULHQWDWLRQ WRZDUGV DQDORJLHV UHSUHVHQWV D PRYH DZD\ IURP WKH RSSRVLWLRQDO UHODWLRQVKLS EHWZHHQ TXRWDWLRQ DQG LQQRYDWLRQ DQG SURYLGHV D EDVLV IRU P\ GLVFXVVLRQ EHORZ 1HYHUWKHOHVV(OEDXP¶VDXWKRULDOLQQRYDWLRQLVVWLOOH[FOXVLYHO\HGLWRULDO,QFRQWUDVW,DUJXH WKDWWKLVLQQRYDWLRQRFFXUVZLWKLQWKHFRQWH[WRIWUDGLWLRQEXLOGLQJZKLFKLVQRWRQO\GHULYHG IURP HDUOLHU UDEELQLF GLVFRXUVH EXW LV D PHDQV WR H[WUDFW GHHSHU LQWHUSUHWDWLRQV IURP 6FULSWXUDOODQJXDJHDQGLPDJHU\
35(DQGWKH5DEELQLF7UDGLWLRQ
LQWHUSUHWLYH³FOXVWHUV´,QWKHZRUN¶V³WUDGLWLRQEXLOGLQJ´TXRWDWLRQDOORZVIRU WKHWUDQVODWLRQRIUHFHLYHGDQGWUDQVPLWWHGUDEELQLFWUDGLWLRQVLQWRWKH ZRUN¶V HQJDJHPHQW RI 6FULSWXUH ,Q LWV GHSOR\PHQW RI TXRWDWLRQ 35( DFNQRZOHGJHV LWV UHODWLRQVKLS WR WKHVH HDUOLHU UDEELQLF WUDGLWLRQV 1HYHUWKHOHVV WKH H[SRVLWRUV¶ WUDQVPLVVLRQ RI WKHVH WUDGLWLRQV GRHV QRW HQG ZLWK TXRWDWLRQ RI WKHP2QWKHFRQWUDU\35(WUDQVIRUPVWKHVHTXRWDWLRQVLQWRH[HJHWLFDOWRROV ³FOXVWHUV´ ZKLFK HPERG\ WKH LQQHUFDQRQLFDO ZD\ WKDW 35( HQJDJHV 6FULSWXUDODQGUDEELQLFWUDGLWLRQV7KHUHIRUPXODWLRQRIWKHVHTXRWHGVHFWLRQV RI FODVVLFDO UDEELQLF OLWHUDWXUH UHSUHVHQW WKH FUHDWLYH UHDSSOLFDWLRQ RI WKH UDEELQLF WUDGLWLRQ WKDW LV IRXQG LQ WKH ZRUN¶V ³WUDGLWLRQ EXLOGLQJ´ ± LWV LQQRYDWLYH UHDUWLFXODWLRQ RI DQ ROGHU WUDGLWLRQ IRU QHZ H[HJHWLFDO DQG H[SRVLWRU\ HQGV ,Q WKH H[HPSOD EHORZ , ZLOO GHPRQVWUDWH WKDW WKH ZRUN¶V H[SRVLWRU\ FUHDWLYLW\ LV HYLGHQW HYHQ LQ LWV PRVW FKDUDFWHULVWLFDOO\ ³HGLWRULDO´ IHDWXUHV:LWKVXUHHYLGHQFHZHFDQLGHQWLI\WKHFKDUDFWHURI35(¶VUHFHSWLRQ WUDQVPLVVLRQ DQG WUDQVIRUPDWLRQ RI WKH FODVVLFDO UDEELQLF WUDGLWLRQ DQG EHVW XQGHUVWDQGWKHZRUN¶VUHLQYHQWLRQRIFODVVLFDOUDEELQLFOLWHUDWXUH ,Q35(¶VWHFKQLFDOWHUPLQRORJ\TXRWDWLRQDSSHDUVWREHDQDFNQRZOHGJHG WHFKQLTXH LQ WKH H[SRVLWRUV¶ LQWHUDFWLRQ ZLWK WKH FODVVLFDO WUDGLWLRQ DQG ZH PLJKW XQGHUVWDQG WKDW WKLV LV UHIOHFWHG LQ VXFK H[SUHVVLRQV DV PLNDQ DPUX KDFKDPLP ʭʩʮʫʧ ʥʸʮʠ ʯʠʫʮ ³IURP KHUH WKH VDJHV VDLG´ RU DOWHUQDWLYHO\ DV QRWHG E\ 6WHLQ DQG LQ PDQXVFULSW YDULDQWV PLNDQ DWDK ODPHG ʣʮʬ ʤʺʠ ʯʠʫʮ ³IURPKHUH\RXPD\OHDUQ´1HYHUWKHOHVV WKHUHLVQRHGLWRULDOWHUPLQRORJ\LQ 35(WKDWFDQUHIOHFWWKHZRUN¶VUHFHSWLRQWUDQVPLVVLRQDQGWUDQVIRUPDWLRQRI HDUOLHU UDEELQLF WUDGLWLRQV WKLV WHUP GRHV QRW DFWXDOO\ LQGLFDWH DQ HGLWRULDO LQVHUWLRQ RU D TXRWDWLRQ IURP SULRU ZRUNV RI UDEELQLF OLWHUDWXUH 2Q WKH FRQWUDU\ WKH H[SUHVVLRQ LV W\SLFDO RI WKH UROH RI DXWKRULWDWLYH UDEELQLF WHUPLQRORJ\LQWKHFRQVWUXFWLRQRI35(¶VUKHWRULFDODQGOLWHUDU\IUDPHZRUNDV LQGLFDWHG LQ OHJDO WHUPLQRORJ\ DERYH 7KLV H[SUHVVLRQ RFFXUV LQ 35( DSSUR[LPDWHO\ ILIWHHQ WLPHV PRVWO\ ZLWKRXW KDFKDPLP DV KHUH LQ FKDSWHU WZHQW\WKUHH
BBBBBBBBBBBB
-DFRE (SVWHLQ >LQ 0DYR /¶1XVDFK +D0LVKQD 9ROXPH ,, -HUXVDOHP 0DJQHV ± @ H[DPLQHG WKLV SKUDVH LQ WKH %DE\ORQLDQ 7DOPXG DQG DUJXHG WKDW WKH H[SUHVVLRQ ZDV IROORZHGE\WKHTXRWDWLRQRIDPLVKQDZLWKLQDPLGUDVKKDODFKD3UHGDWLQJ(SVWHLQ:LOKHOP %DFKHU >LQ 'LH H[HJHWLVFKH 7HUPLQRORJLH GHU MGLVFKHQ 7UDGLWLRQVOLWHUDWXU /HLS]LJ - & +LQULFKV¶VFKH %XFKKDQGOXQJ @ GHVFULEHG WKLV WHUP DV D ³OLQN´ EHWZHHQ D ³WKHVLV´ DQG D ³SURRIWH[W´ EXW QRW DV D YHKLFOH RI TXRWDWLRQ ,Q UHIHUHQFH WR 35( 'LQD 6WHLQ >LQ 0HPUD0DJLD0LWRVQRWH@DUJXHGWKDWPLNDQDPUXKDFKDPLPFRUUHODWHVDUHFHLYHG ULWXDOWUDGLWLRQZLWKDSURRIWH[W6HHDOVRII=XQ]RQWKHRWKHUKDQGLGHQWLILHGWKHWHUPDV RQHRIWKH³JHRQLF´WHFKQLFDOWHUPV6HH=XQ]QRWHDQGQRWH
0LGUDVKDQG0XOWLSOLFLW\
>:K\ GLG 1RDK VHQG E\ PHDQV RI D GRYH"@ >)@URP KHUH >WKH VDJHV@ VDLG ʥʸʮʠʯʠʫʮ WKHRQHZKRVHQGVPDWWHUVE\PHDQVRIDQLPSXUHKDQGʭʩʠʮʨ LV OLNHRQHZKRVHQGVE\PHDQVRIDIRRODQGDOOZKRVHQGE\PHDQVRIDSXUH KDQGʸʥʤʨ >DUH@OLNHRQHZKRVHQGVPDWWHUE\PHDQVRIDIDLWKIXOPHVVHQJHU ʯʮʠʰʸʩʶ DV6FULSWXUHVWDWHV³$VWKHFROGRIVQRZLQWKHWLPHRIKDUYHVWVR LVDIDLWKIXOPHVVHQJHUWRWKHRQHZKRVHQGVKLPWKDWKHUHWXUQVWKHVRXORI KLVPDVWHU´3URY
7KHH[SUHVVLRQLQWKLVDQGRWKHUSDVVDJHVGRHVQRWLQGLFDWHDGLUHFWTXRWDWLRQ RI D UDEELQLF WUDGLWLRQ LQ 35( DQG SRVVLEO\ QRW LQ RWKHU UDEELQLF GLVFRXUVH HLWKHU 5DWKHU WKH H[SUHVVLRQ LQGLFDWHV WKDW WKH H[SRVLWRUV DUH SURYLGLQJ DQ DQFKRUIRUDULWXDOWKHPHZLWKLQWKHIUDPHZRUNRI6FULSWXUHDQGDXWKRULWDWLYH UDEELQLFGLVFRXUVH$VDWHFKQLFDOH[SUHVVLRQPLNDQDPUXKDFKDPLPPLNDQ DWDKODPHGGRHVFRQWULEXWHWRRXUFRQFHSWLRQRIWKHZRUN¶VXVHRIDXWKRULWDWLYH GLVFRXUVH DQG H[SRVLWLRQ RI 6FULSWXUDO SURRIWH[WV +RZHYHU WKH SUHVHQW DFFRXQWFDQQRWUHO\XSRQWHFKQLFDOWHUPLQRORJ\VXFKDVWKLVWREHDQH[SOLFLW LQGLFDWLRQRIWKHZRUN¶VHGLWRULDORUJDQL]DWLRQRUDVLJQLILHURIWKHH[SRVLWRUV¶ XVHRIUHFHLYHGUDEELQLFWUDGLWLRQV $PRUHKHOSIXOH[DPSOHRI35(¶VTXRWDWLRQRISULRUUDEELQLFWUDGLWLRQVLV WR EH IRXQG LQ WKH VWDWHPHQWV 35( GUDZV IURP 3LUNH $YRW 3$ RU ³7KH &KDSWHUVRIWKH)DWKHUV´ ,Q KLVDUJXPHQW IRU35(¶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³>(@QY\ OXVW DQG SULGH WDNH PDQ RXW IURP WKH ZRUOG´ IURP 3$ FKDSWHU VL[WHHQ DWWHVWV WKH VWDWHPHQW ³>7@KH ZRUOG VWDQGV XSRQ WKUHH WKLQJV 7RUDK VHUYLFH DQG DFWV RI ORYLQJ NLQGQHVV´ IURP3$DQGFKDSWHUIRUW\WKUHHDWWHVWVWKHVWDWHPHQW³>5@HSHQWDQFHDQG JRRGGHHGVDUHOLNHDVKLHOGDJDLQVWSXQLVKPHQW´IURP3$ BBBBBBBBBBBB
&RQVHTXHQWO\,DJUHHZLWK6WHLQWKDWWKLVLQGLFDWHVDUHODWLRQVKLSWRWKH6FULSWXUDOYHUVHEXW WDNHH[FHSWLRQDWKHUGHOLPLWDWLRQRIWKHGHYLFHWRWKH³PD[LP´ =XQ]QRWHD 6WHLQ0HPUD0DJLD0LWRVQRWH
35(DQGWKH5DEELQLF7UDGLWLRQ
,Q DGGLWLRQ =XQ] LGHQWLILHG TXRWDWLRQV RI 3$ LQ FKDSWHUV QLQHWHHQ DQG WZHQW\VL[FKDSWHUQLQHWHHQ DWWHVWVWKHVWDWHPHQW ³>7@HQWKLQJV ZHUHFUHDWHG DWWZLOLJKW>RIWKHVL[WKGD\@WKHPRXWKRIWKHHDUWKWKHPRXWKRIWKHZHOOWKH PRXWKRIWKHGRQNH\WKHUDLQERZWKHPDQQDWKHURGWKHVKDPLUWKHZULWLQJ WKHHQJUDYLQJWRRODQGWKHWDEOHWVWKHUHDUHWKRVHZKRVD\WKHKDUPIXOVSLULWV WKH FRIILQ RI 0RVHV DQG WKH UDPRI $EUDKDPRXUIDWKHUDQGWKHUHDUHWKRVH ZKRVD\WKHWRQJVWKDWPDGHWKHWRQJV´IURP3$DQGFKDSWHUWZHQW\VL[ DWWHVWVWKHVWDWHPHQW³$EUDKDPRXUIDWKHUZDVWULHGE\WHQWULDOVDQGKHVWRRG LQ WKHP DOO´ IURP 3$ 6WHLQ RQ WKH RWKHU KDQG LGHQWLILHG DQ DGGLWLRQDO TXRWDWLRQLQFKDSWHUILIW\ZKLFKDWWHVWVWKHVWDWHPHQW³$OOWKRVHZKRDWWULEXWH D VWDWHPHQW LQ WKH QDPH RI LWV VSHDNHU EULQJ UHGHPSWLRQ LQWR WKH ZRUOG DV 6FULSWXUHVWDWHVµ(VWKHUVSRNHWRWKHNLQJLQWKHQDPHRI0RUGHFKDL¶´(VWK IURPRXUSUHVHQWHGLWLRQRI3$WKRXJKWKLVVHFWLRQRI3$PD\KDYH EHHQDGGHGWRRXUHGLWLRQDWDODWHUGDWH =XQ]¶V FRUUHODWLRQ RI 35( FKDSWHU WZHOYH ZLWK 3$ DQG 6WHLQ¶V DUJXPHQWV IRU 3$¶V SUHVHQFH LQ FKDSWHUV VHYHQIRUW\RQHDVHFRQGUHIHUHQFHLQIRUW\WKUHHIRUW\IRXUDQGIRUW\ BBBBBBBBBBBB
, DP LQGHEWHG WR 3URIHVVRU *QWHU 6WHPEHUJHU IRU KLV FRPPHQWV WR PH DERXW WKLV LVVXH 6WHPEHUJHULGHQWLILHGWKLVFKDSWHUDVDODWHDGGLWLRQWR3$DQGORFDWHGWKHRULJLQDOVRXUFHLQ %DE\ORQLDQ7DOPXG0HJLOODKDRU+XOOLQE 35(VWDWHVWKDW³7KH+RO\2QHEOHVVHGEH+HORYHG$GDPZLWKDQH[WUDRUGLQDU\ORYHVLQFH KHFUHDWHGKLPLQWKH+RO\3ODFHLQWKHSODFHRIWKH7HPSOH«´ZKHUHDV3$VWDWHVWKDW ³$GDPZDVORYHGH[WUDRUGLQDULO\VLQFHKHZDVFUHDWHGLQWKHEHORYHGOLNHQHVV«,VUDHOZDV FDOOHG µFKLOGUHQ¶ LQ WKH H[WUDRUGLQDULO\ EHORYHG SODFH «´ 2QH FRXOG DUJXH WKDW 35( µFRQIODWHV¶WKLVWUDGLWLRQEXWWKHVHDUHSDUDOOHOVWR3$DQGQRWTXRWDWLRQVRI3$ 35(VWDWHVWKDW³>$@OOZKRDUHZLVHDQGGLVFHUQLQJGLVFHUQWKHLQWHUFDODWLRQRIWKHPRRQʠʥʤ ʤʰʡʬʣʬʥʮʯʩʡʮ DQGWKHJHQHUDWLRQVRIKXPDQEHLQJV´6WHLQVWDWHVWKDWµSHUKDSV¶35(UHIHUV WR 3$ ZKLFK VWDWHV ³*R DQG VHH ZKDW LV WKH VWUDLJKW SDWK WR ZKLFK D PDQ PXVW FOHDYH«´56LPHRQVDLG³+HZKRVHHVWKHFRQVHTXHQFHVʣʬʥʰʤʺʠʤʠʥʸʤ ´7KHGLVWDQFH EHWZHHQWKHVHVWDWHPHQWVLVYDVWDQGWKH\VKDUHQHLWKHUDOLQJXLVWLFQRUWKHPDWLFVLPLODULW\ RXWVLGHRIWKHLUPXWXDOXVHRIWKHURRWʣʬʩDVWKHREMHFWRIIUXLWIXOµXQGHUVWDQGLQJ¶ 6WHLQFRUUHODWHVWKHVWDWHPHQW³,Q+LVULJKWKDQGKHJUDVSHGWKH7RUDK±IURPKHUHZHOHDUQ WKDWWKH ZRUGV RI 7RUDK DUH OLNH EXUQLQJ FRDOV ʹʠ ʩʬʧʢ DV 6FULSWXUH VWDWHV µ>,@Q KLV ULJKW KDQGDILHU\ ODZʺʣʹʠ XQWRWKHP¶´'HXW ZLWKWKHVWDWHPHQWLQ3$WKDWRQH VKRXOG³>2@QHVKRXOGZDUPRQHVHOIZLWKWKHILUHRIWKHVDJHVEXWEHZDUHQRWWREHEXUQWE\ WKHLUFRDOV´\HWVKHIDYRUVWKHLGHRORJLFDOFRUUHVSRQGHQFHRIRUDO7RUDKWRWKHJLYLQJRIWKH 7RUDKDW6LQDLLQWKLVSDVVDJHRYHU³TXRWDWLRQ´7KHRQO\HYLGHQFHLQIDYRURIKHUDUJXPHQW LV WKH FRLQFLGHQFH RI WKH ZRUG ³FRDOV´ WR GHVFULEH WKH µWHDFKLQJV¶ EXW WKLV OLNHQHVV LV LQVXIILFLHQWWRHVWDEOLVKWKHRULJLQVRIWKHSKUDVH 6WHLQFRUUHODWHV35(¶VVWDWHPHQW³>7@KHUHLVQRUHSHQWDQFHDIWHUGHDWK´WRDQRWKHUVWDWHPHQW LQ 3$ ³2QH VKRXOG UHSHQW RQH GD\ EHIRUH \RXU GHDWK´ $OWKRXJK WKHVH DUH SDUDOOHO VWDWHPHQWV WKH LQMXQFWLRQ WR UHSHQW EHIRUH GHDWK GRHV QRW QHFHVVDULO\ LQGLFDWH WKH LPSRVVLELOLW\ RI UHSHQWDQFH DIWHU GHDWK 1RQHWKHOHVV WKHVH VWDWHPHQWV LQGLFDWH D WKHPDWLF SDUDOOHODQGFOHDUO\QRWDµFLWDWLRQ¶RI3$LQ35(
0LGUDVKDQG0XOWLSOLFLW\ VHYHQ GR QRW H[KLELW WKH VXIILFLHQW VLPLODULW\ LQ ODQJXDJH DQG WKHPHV WR VXSSRUWWKHH[SRVLWRUV¶TXRWDWLRQRIRUHYHQDOOXVLRQWR3$7KHGLIIHUHQFHV EHWZHHQ=XQ]DQG6WHLQJURZRXWDQLGHRORJLFDODVVHVVPHQWRIWKHHYLGHQFHE\ HDFKVFKRODU=XQ]LQFOXGHVFKDSWHUWZHOYHDQGRPLWVFKDSWHUILIW\EHFDXVHKH ZLVKHVWRDUJXHWKDWWKHH[SRVLWRUVXVH3$WRLQWURGXFHDVHOHFWJURXSRI35( FKDSWHUV6WHLQ¶VLQFOXVLRQRIFKDSWHUVVHYHQIRUW\RQHIRUW\WKUHHIRUW\IRXU DQGIRUW\VHYHQLVQHFHVVDU\IRUKHUFKDUDFWHUL]DWLRQRIWKHVH3$TXRWDWLRQVDV ³PD[LPV´ RQ WKH RQH KDQG KHU RPLVVLRQ RI FKDSWHUV QLQHWHHQ DQG WZHQW\ VL[RQWKHRWKHUKDQGUHIOHFWVKHUGHVLUHWRH[FOXGHOLVWVDQGHQXPHUDWLRQIURP WKHVHTXRWDWLRQV 'HVSLWHV WKHLU GLIIHUHQFHV WKH UHVHDUFK RI =XQ] DQG 6WHLQ SRLQWV WRZDUGV WKHUHFHSWLRQDQGWUDQVPLVVLRQRI3$WUDGLWLRQVDQGE\H[WHQVLRQWKHFODVVLFDO WUDGLWLRQ LQ35(YLDTXRWDWLRQ2QWKLVEDVLVRQHFRXOGJRRQWRFRQFOXGHWKDW 35( H[KLELWV DQ HGLWRU¶V DQWKRORJLFDO PHQWDOLW\
35( VWDWHV ³5 3LQFKDV VDLG µ$IWHU IRUW\ \HDUV 0RVHV ZDQWHG WR VD\ WR ,VUDHO ³'R \RX UHPHPEHU ZKDW \RX VDLG LQ WKH GHVHUW µ,V WKH /RUG JHQXLQHO\ LQ RXU PLGVW RU QRW"¶´ ([ >5@DWKHU0RVHVVDLG³,I,VD\WKXVWR,VUDHOWKXV,ZLOOH[SRVHWKHPWRVKDPHʺʠʤʬʢʮ ʭʤʩʰʴ DQG WKRVH ZKR DUH H[SRVHG WR VKDPH GR QRW KDYH D SODFH LQ WKH ZRUOG WR FRPH ± UDWKHU,ZLOOVD\WRWKHPµWKHDFWRI$PDOHN¶DQGWKH\ZLOOXQGHUVWDQGZKDWLVZULWWHQEHIRUH WKLV>LQ6FULSWXUH@´¶6WHLQFRUUHODWHGWKLVVWDWHPHQWZLWK3$ZKLFKVWDWHV³5(OLH]HU +D0RGDLVDLG«µ>7@KHRQHZKRVKDPHVKLVFRPSDQLRQLQSXEOLFʭʩʡʸʡʥʸʡʧʩʰʴʯʩʡʬʮʤʥ « KDV QR SODFH LQ WKH ZRUOG WR FRPH¶´ $JDLQ WKHVH SDVVDJHV FRLQFLGH LQ WKHPH EXW GR QRW H[KLELWDGHPRQVWUDEOHOLNHQHVVLQODQJXDJHDQGVWUXFWXUHWREHUHJDUGHGDVDµFLWDWLRQ¶7KH FRQWH[WRIHDFKSDVVDJHGLIIHUVDQGWKHODQJXDJHRI3$ZRXOGKDYHWREHUHFRQVWUXFWHGDQG WKHWHUPIRUµVKDPH¶UHFRQVWLWXWHG 35( VWDWHV ³>%\ PHDQV RI0RVHV¶@DQJHU WKHGLYLQH VSLULWGHSDUWHG IURP KLP± IURP KHUH \RXPD\OHDUQWKDWWKHDQJU\PDQGHVWUR\VKLVZLVGRPʥʺʮʫʧʣʡʠʮʯʣʴʷʤʹ ´6WHLQ¶VFKRLFH RI3$VWDWHV³>7@KHDQJU\PDQFDQQRWOHDUQʣʮʬʮʯʣʴʷʤʠʬʥ ´$JDLQ6WHLQ¶VFKRLFHRI SDUDOOHOSDVVDJHVVKDUHVDPHVVDJHDQGDVKDUHGZRUGEXWWKLVLVQRWHQRXJKIRURXUSXUVXLW RITXRWDWLRQZLWKLQ35( 6WHLQVWDWHG>LQ0HPUD0DJLD0LWRV@WKDWDSDUWLFXODUµPD[LP¶RI35(LV³RQHRIVHYHQ >VLF@ PD[LPV LQ 35( WKDW DSSHDU « LQ $YRW´ $FFRUGLQJO\ WKH FLWDWLRQV IURP 3$ DUH LQFOXGHGZLWKLQKHUOLVWRIµPD[LPV¶RQSDJHV±)RU6WHLQDPD[LPLVWKH³FUHDWLRQ RI PHDQLQJ VLJQV DQG DUUDQJHPHQW IRU VRFLDO OLIH´ DV ZHOO DV D IRUP RI UKHWRULFDO ³PRGHOLQJ´IRUWKHUHDGHU6KHGRHVQRWFRQVLGHUWKHFLWDWLRQVRI3$LQ35(LQWKHFRQWH[WRI WUDQVPLVVLRQ DQG UHMHFWVWKH YLHZ WKDW 35( LVGLUHFWO\ ³GHVFHQGHG´ IURP 3$ 1RQHWKHOHVV 6WHLQ>LQ0HPUD0DJLD0LWRV@GRHVFRPHWRDSHFXOLDUFRQFOXVLRQRQWKHEDVLVRIWKH ZRUN¶VµUHODWLRQVKLS¶WR3$WKDW³WKHQDPHµ3LUNHGH5DEEL(OLH]HU¶DOVRUHIHUVSHUKDSVWR WKHQDPHRI>3LUNH$YRW@´7KLVVWDWHPHQWLVSUREOHPDWLFERWKLQWHUPVRIWKHµJHQHDORJ\¶RI 35(ZKLFK6WHLQDFNQRZOHGJHVDVZHOODVWKHREYLRXVIDFWWKDW35(ZDVFDOOHGE\VHYHUDO RWKHUQDPHVVXFKDV0LVKQDRI5DEEL(OLH]HUWKURXJKRXWWKHHDUO\KLVWRU\RIWKHZRUN7KH VKDUHGZRUG³FKDSWHUV´PRUHRYHULVQRWVWURQJHYLGHQFHRIDUHODWLRQVKLSEHWZHHQOLWHUDU\ ZRUNV
35(DQGWKH5DEELQLF7UDGLWLRQ
FODVVLILHG³ZLWKLQWKHWUDGLWLRQ´RIZRUNVVXFKDV3$2WKHUVLPLODULWLHVVXFK DVDPXOWLSOLFLW\RIOLVWVVKRXOGDQGGRFDXVHXVWRFRQVLGHU35(LQWKHOLJKW RI WKH HQWLUHW\ RI WKH UDEELQLF WUDGLWLRQ 35(¶V WUDGLWLRQ EXLOGLQJ H[KLELWV WKH WUDQVIRUPDWLRQRIWKHVHWUDGLWLRQVDQGWKHLUWUDQVODWLRQLQWRH[HJHWLFDOFOXVWHUV 35(¶VXVHRIWKHVHTXRWHVDVWRROVIRUOLWHUDU\H[SUHVVLRQDQGLQWHUSUHWDWLRQ H[HPSOLI\ WKH YDULHW\ RI ZD\V WKDW 35( DGDSWV UHFHLYHG WUDGLWLRQV )RU H[DPSOH WKH TXRWDWLRQ LQ FKDSWHU WKLUWHHQ SURYLGHV D KHXULVWLF WKHPH LQ 3$ RI ³HQY\ OXVW DQG SULGH´ WKDW WKH ZRUN XVHV LQ RUGHU WR LQWHUSUHW WKH QDUUDWLYHRI$GDP(YHDQGWKHVHUSHQW7KH³DFWVRIORYLQJNLQGQHVV´LQ3$ SURYLGH WKH WKHPDWLF NH\ IRU WKH ZRUN WR DSSO\ WKH WURSH WR D YDULHW\ RI %LEOLFDO ILJXUHV LQ FKDSWHUV VL[WHHQ DQG VHYHQWHHQ 6LPLODUO\ 35( DWWHVWV TXRWDWLRQV IURP 3$ ZKLFK SURYLGH D OLVW RI SDUDOOHO SKHQRPHQD VXFK DV WKH ³WHQ WKLQJV ZHUH FUHDWHG DW WZLOLJKW >RI WKH VL[WK GD\@´ IURP 3$ ZKLFK SURYLGHVDEDFNJURXQGIRUWKHZRUN¶VH[SORUDWLRQRIVXFKVXEMHFWVDVWKHZHOO DQGWKHVWDIIRI$GDPLQFKDSWHUQLQHWHHQDQGHOVHZKHUH(YHQWKHTXRWDWLRQ ³$OO WKRVH ZKR DWWULEXWH D VWDWHPHQW LQ WKH QDPH RI LWV VSHDNHU EULQJ UHGHPSWLRQLQWRWKHZRUOGDV6FULSWXUHVWDWHVµ(VWKHUVSRNHWRWKHNLQJLQWKH QDPHRI0RUGHFKDL¶´(VWK IURPWKHSUHVHQWHGLWLRQRI3$SURYLGHV DFRQWH[WIRU35(WRGHYHORSQDUUDWLYHDQGFRQWH[WXDOWKHPHVLQFKDSWHUILIW\ DQGWKURXJKRXWWKHZRUN¶VDWWULEXWLYHGLVFRXUVH7KHH[SRVLWRUV¶TXRWDWLRQDQG DSSOLFDWLRQRIWKHVHFODVVLFDOVWDWHPHQWVWKXVH[HPSOLILHVWKHZRUN¶VGLVFXUVLYH UHIRUPXODWLRQRIUDEELQLFWUDGLWLRQV7KHH[SRVLWRU¶VXVHRIWKHWUDGLWLRQVLQWKH VHUYLFH RI RUJDQL]DWLRQ DQG IUDPLQJ H[HPSOLILHV D PRVW FRQFUHWH LQVWDQFH RI 35(¶V UHODWLRQVKLS ZLWK WKH ODQJXDJH GLVFRXUVH DQG WKHPHV RI UDEELQLF OLWHUDWXUH 7KLV UHODWLRQVKLS GHPRQVWUDWHV 35(¶V WUDQVODWLRQ RI UHFHLYHG UDEELQLF GLVFRXUVH LQWR WKHPDWLF DQFKRUV WKDW DOORZ WKH H[SRVLWRUV WR WKH ZRUN¶V FKDUDFWHULVWLF OLWHUDU\ RUJDQL]DWLRQ ZLWKLQ WUDGLWLRQDO UDEELQLF GLVFRXUVH 35(¶V WUDQVODWLRQ RI WKHVH TXRWDWLRQV LQWR LQWHUSUHWLYH WRROV RU ³WUDGLWLRQ EXLOGLQJFOXVWHUV´KRZHYHULVEHVWH[HPSOLILHGE\WKHZRUN¶VXVHRI3$ ³7KH ZRUOG VWDQGV XSRQ WKUHH WKLQJV 7RUDK VHUYLFH DQG DFWV RI ORYLQJ NLQGQHVVʭʩʣʱʧʺʥʬʩʮʢ ʬʲʥʤʣʥʡʲʬʲʥʤʸʥʺʬʲʣʮʥʲʭʬʥʲʤʭʩʸʡʣʤʹʬʹʬʲ ´7KH TXRWDWLRQDSSHDUVDWWKHEHJLQQLQJRIFKDSWHUVL[WHHQDQGLQWURGXFHVWKHWKHPH RI WKH ³DFWV RI ORYLQJ NLQGQHVV´ 35(¶V WUDQVODWLRQ RI WKLV TXRWDWLRQ LQWR DQ LQWHUSUHWLYH WRRO LV DFFRPSOLVKHG E\ WKH UHSHDWHG GHSOR\PHQW RI D VHOHFW BBBBBBBBBBBB
6HH6WHLQ0HPUD0DJLD0LWRV 6HH)ULHGODQGHU3LUNHQRWH 7KHZHOOLVDSUHYDOHQWDQDORJ\LQWKHZRUNLWLVPHQWLRQHGLQFKDSWHUVWKLUW\ILYHWKLUW\VL[ IRUW\RQHDQGILIW\RQHZKHUHDVWKHVWDIILVRQO\PHQWLRQHGLQFKDSWHUIRUW\
0LGUDVKDQG0XOWLSOLFLW\ SKUDVH³WKHZRUOGVWDQGVʣʮʥʲʭʬʥʲʤ ´7KHUHLWHUDWLRQRIWKLVDOOXVLYHSKUDVH EULQJV WKH RQWRORJLFDO LPSOLFDWLRQV RI WKH TXRWDWLRQ IURP 3$ WR EHDU RQ GLVFXVVLRQV LQ FKDSWHUV WKUHH VL[ VHYHQ QLQH WZHOYH QLQHWHHQ WZHQW\ILYH WZHQW\HLJKW IRUW\WKUHH IRUW\VL[ DQG IRUW\HLJKW ,Q WKHVH FKDSWHUV WKH DSSOLFDWLRQRIWKHTXRWHWKDWWKH³ZRUOGVWDQGV´WRRWKHULQWHUSUHWLYHVLWXDWLRQV GHPRQVWUDWHV KRZ 35(¶V H[SRVLWRUV ZHDYH WKH 3$ WUDGLWLRQ LQWR WKH ZRUN¶V LQQHUFDQRQLFDO H[SRVLWLRQ RI RWKHU 6FULSWXUDO DQGUDEELQLF WUDGLWLRQV ,Q WKLV FRQGHQVDWLRQ DQG UHDSSOLFDWLRQ WKLV ERUURZHG SKUDVH EHFRPHV D ³WUDGLWLRQ EXLOGLQJFOXVWHU´ZKLFKUHFDOOVWKHHWKLFDODQGRQWRORJLFDODVVXPSWLRQVRI3$ DQGLVUHXVHGLQWXUQIRUWKHZRUN¶VH[SRVLWLRQRI6FULSWXUDODQGUDEELQLF WUDGLWLRQV 7KH GHYHORSPHQW RI WKH TXRWDWLRQ FDQ EH WUDFHG LQ WKH IROORZLQJ H[DPSOHV &KDSWHU7KUHH
%HIRUHWKHZRUOGZDVFUHDWHGWKHUHZDVRQO\WKH+RO\2QHEOHVVHGEH+H DQG+LVQDPHDORQHDQGLWDURVHLQWKRXJKWEHIRUHKLPʥʩʰʴʬʤʡʹʧʮʡʤʬʲʥ WR FUHDWHWKHZRUOGDQGWKHZRUOGZDVIRUPHGʨʩʸʧʮ EHIRUHKLPDQGWKHZRUOG GLG QRW VWDQG ʣʮʥʲ ʭʬʥʲʤ ʠʬʥ $ SDUDEOH ± WR ZKDW PD\ WKH PDWWHU EH FRPSDUHG"7RDNLQJRIIOHVKDQGEORRGZKRZLVKHVWREXLOGKLVSDODFH,IKH GRHVQRWIRUPʨʩʸʧʮ WKHIRXQGDWLRQVXSRQWKHHDUWKWKHH[LWVDQGHQWUDQFHV KHZLOOQRWEHDEOHWREXLOG6LPLODUO\WKH+RO\2QHEOHVVHGEH+HIRUPHG ʨʩʸʧʮ WKH ZRUOG EHIRUH KLP EXW WKH ZRUOG ZRXOG QRW VWDQG XQWLO KH KDG FUHDWHGUHSHQWDQFHʤʡʥʹʺʠʸʡʹʣʲʣʮʥʲʭʬʥʲʤʠʬʥ
&KDSWHU6L[
7KHVXQ¶VUD\VDQGIDFHORRNEHORZWKHKDLODQGLWVUD\VDQGIDFHORRNWRWKH HDUWKRIILUH,ILWZHUHQRWWKHFDVHWKDWWKHKDLOH[WLQJXLVKHGWKHIDFHRIWKH ILUHWKHZRUOGZRXOGEHEXUQHGDQGWKHUHZRXOGEHQRWKLQJKLGGHQIURPWKH VXQ DQG LQ WKH ZLQWHU LWV XSSHU IDFH WXUQV EHORZ ,I LW ZHUH QRW IRU WKH ILUH ZKLFKKHDWVWKHIDFHRIWKHKDLOWKHZRUOGZRXOGQRWEHDEOHWRVWDQGEHIRUH WKH FROG ʸʥʷ ʩʰʴʬ ʣʥʮʲʬ ʬʥʫʩ ʭʬʥʲʤ ʤʩʤ ʠʬ DV 6FULSWXUH VWDWHV ³>:@KR FRPPDQGVWKHVXQDQGLWGRHVQRWULVH´-RE
&KDSWHU6HYHQ
$OO RI WKH FRQVWHOODWLRQV PLQLVWHU WR WKH QHZ PRRQ DQG WKH JHQHDORJ\ RI KXPDQEHLQJVʭʣʠʩʰʡʺʥʣʬʥʺʬʥ IRUWKHZRUOGVWDQGVXSRQWKHPʭʬʥʲʤʭʤʩʬʲʥ ʣʮʥʲ DQG DOO ZKR DUH ZLVH GLVFHUQ WKH QHZ PRRQ DQG WKH JHQHDORJ\ RI KXPDQEHLQJVDQGDERXWWKHP6FULSWXUHVWDWHV³>/@HWWKHPVHUYHDVVLJQV´ *HQ
&KDSWHU1LQH
35(DQGWKH5DEELQLF7UDGLWLRQ
$OORIWKHULYHUVWKDWIORZXSRQWKHHDUWKZKHQWKH\IORZXSRQWKHHDUWKWKH\ DUHEOHVVHGJRRGDQGVZHHWDQGWKHZRUOGʭʬʥʲʬ EHQHILWVIURPWKHP:KHQ >WKHVHZDWHUV@HQWHULQWRWKHVHDWKH\DUHFXUVHGHYLODQGELWWHUDQGWKHUHLV QREHQHILWIRUWKHZRUOG>$SDUDEOH@±WRZKDWPD\WKHPDWWHUEHFRPSDUHG" 7R,VUDHOZKHQWKH\WUXVWHGLQWKHVKDGHRIWKHLUFUHDWRUDQGGRKLVZLOOWKH\ DUHEOHVVHGJRRGDQGVZHHWDQGWKHUHLVEHQHILWWRWKHZRUOGDQGWKHZRUOG VWDQGVRQWKHLUEHKDOIʣʮʥʲʭʬʥʲʤʯʬʩʡʹʡʥ ±EXWWKRVHSHRSOHIURP,VUDHOZKR WXUQIURPWKHLUFUHDWRUDQGIROORZWKHVWDWXWHVRIWKHJHQWLOHVWKH\DUHFXUVHG HYLO DQG ELWWHU DQG WKHUH LV QR EHQHILW IURP WKHP WR WKH ZRUOG -XVW DV WKH ZDWHURIWKHULYHULVFRQVXPHGE\WKHVHDWKXVWKH\ZLOOEHFRQVXPHGLQWKH ILUHRI*HKHQQD
&KDSWHU7ZHOYH
7KH +RO\ 2QH EOHVVHG EH +H VDLG WR WKH PLQLVWHULQJ DQJHOV ³*R GHVFHQG DQG GR DQ DFW RI ORYLQJ NLQGQHVV ʣʱʧ ʬʥʮʢʰ WR $GDP DQG KLV KHOSPDWH EHFDXVH WKH ZRUOG VWDQGV XSRQWKH PHDVXUH RI DFWV RI ORYLQJ NLQGQHVV ʬʲʹ ʣʮʥʲʭʬʥʲʤʭʩʣʱʧʺʥʬʩʮʢʺʣʮ
&KDSWHU1LQHWHHQ
,VUDHO VDLG EHIRUH WKH +RO\ 2QH EOHVVHG EH +H ³0DVWHURI DOO :RUOGV \RX FRPSOHWHG ʺʩʬʫʺ WKH KHDYHQ DQG HDUWK IURP ZRUN DFWV DQG FRPPDQG EXW \RXUFRPSDVVLRQDQGORYH\RXZLOOQRWFRPSOHWHʤʬʫʺʬʠ EHFDXVHZHZRXOG EH XQDEOH WR VWDQG ʣʥʮʲʬ ʭʩʬʥʫʩ ʥʰʠ ʯʩʠ IRU WKH ZRUOG VWDQGV XSRQ \RXU FRPSDVVLRQDQGJUDFHʣʮʥʲʭʬʥʲʤʪʩʣʱʧʥʪʩʮʧʸʬʲʹ DV6FULSWXUHVWDWHVµ
&KDSWHU7ZHQW\)LYH
>*RG@ VDLG WR >$EUDKDP@ ³6KDOO , IRUJLYH 6RGRP RQ DFFRXQW RI D VLQJOH ULJKWHRXVPDQ",I,ILQGLQ6RGRPILIW\ULJKWHRXVPHQ,ZLOOIRUJLYH6RGRP DQG DOO RI KHU WUDQVJUHVVLRQV´ ± IURP KHUH >WKH VDJHV@ VWDWHG ³>,@I WKHUH DUH ILIW\ ULJKWHRXV PHQ LQ WKH ZRUOG WKH ZRUOG VWDQGV ʣʮʥʲ ʭʬʥʲʤ ´>$EUDKDP@ EHJDQWREHJDQGSOHDGXQWLOLWFDPHWRWHQ)URPKHUH>WKHVDJHV@VWDWHG³>,@I WKHUHDUHWHQULJKWHRXVPHQLQDSODFH>@E\YLUWXHRIWKHLUULJKWHRXVQHVVWKH SODFHVWDQGVʣʮʥʲʭʥʷʮʤ DV6FULSWXUHVWDWHV³$QGKHVDLGµ,ZLOOQRWGHVWUR\ RQDFFRXQWRIWKHWHQ¶´*HQ
&KDSWHU7ZHQW\(LJKW
5WKHDQLPDOV@HYHU\ RQHLQWRWZRDV6FULSWXUHVWDWHVµ>$@QGKHWRRNDOORIWKHVH¶*HQ EXW LIKHKDGQRWGLYLGHGWKHPWKHZRUOGFRXOGQRWKDYHVWRRGʭʺʥʠʸʺʡʠʬʥʬʠʥ ʣʮʥʲʭʬʥʲʤʤʩʤʠʬ 5DWKHUVLQFHKHGLYLGHGWKHPWKHLUVWUHQJWKZDVZHDNHQHG «´
0LGUDVKDQG0XOWLSOLFLW\
&KDSWHU)RUW\7KUHH
³5HSHQWDQFH DQG JRRG GHHGV DUH OLNH D VKLHOG DJDLQVW SXQLVKPHQW´ 5 ,VKPDHO VDLG ³,I UHSHQWDQFH KDG QRW EHHQ FUHDWHG WKH ZRUOG FRXOG QRWKDYH VWRRG ʣʮʥʲ ʭʬʥʲʤ ʤʩʤ ʠʬ ʤʡʥʹʺ ʠʸʡʰ ʠʬ ʥʬʩʠ 5DWKHU VLQFH UHSHQWDQFH ZDV FUHDWHGWKH+RO\2QHEOHVVHGEH+HSXWRXWKLVULJKWKDQGWRUHFHLYHWKRVH ZKRUHWXUQHYHU\GD\«´
&KDSWHU)RUW\6L[
5 =HFKDULDK VDLG ³>,VUDHO@ UHDGWKH 7RUDK DQG IRXQG WKHUH µ$QG \RX VKDOO DIIOLFW \RXUVHOYHV¶ /HY ± VR WKHUH RQ WKDW GD\ WKH VKRIDU SDVVHG WKURXJK DOO WKH FDPS RI ,VUDHO DQG WKH\ IDVWHG IURP WKH HOGHVW WR WKH \RXQJHVW$QGOHVWWKH'D\RI$WRQHPHQWGLGQRWH[LVWWKHZRUOGZRXOGQRW VWDQGʣʮʥʲʭʬʥʲʤʤʩʤʠʬʭʩʸʥʴʫʤʭʥʩʩʬʥʬʩʠʥ IRUWKH'D\RI$WRQHPHQWLVIRU WKLV ZRUOG DQG IRU WKH ZRUOG WR FRPH DV 6FULSWXUH VWDWHV µ>,@W ZLOO EH D 6DEEDWK RI 6DEEDWKV ʯʥʺʡʹ ʺʡʹ ¶ ± D 6DEEDWK IRU WKLV ZRUOG DQG WKH 6DEEDWKVIRUWKHZRUOGWRFRPH«´
&KDSWHU)RUW\(LJKW
5%@HKROG \RX KDYH JLYHQ QR VHHG WR PH´¶ *HQ >$QG$EUDKDPVDLG@µ+RZ ZLOO ,NQRZ"¶DV6FULSWXUHVWDWHVµ$QGKHVDLG ³/RUG*RGKRZZLOO,NQRZ"´¶ 7KH+RO\2QHEOHVVHGEH+HVDLGWRKLP µ7KLVHQWLUHZRUOGVWDQGVXSRQP\ZRUGʣʮʥʲʠʥʤʩʸʡʣʡʤʦʤʭʬʥʲʤʬʫ DQG\RX VD\ WR PH ³>+@RZ ZLOO , NQRZ"´ %\ \RXU OLIH \RX ZLOO VXUHO\ NQRZ WZR WLPHV¶DV6FULSWXUHVWDWHVµ$QGKHVDLGWR$EUDKDP³><@RXZLOOVXUHO\NQRZ ʲʣʺʲʣʩ WKDW\RXUVHHGZLOOEHDVWUDQJHUHWF¶´*HQ
,Q 35(¶V UHIRUPXODWLRQ RI 3$ WKH UHSHWLWLRQ RI WKH SKUDVH WLHV GLVSDUDWH H[SRVLWLRQVZLWKLQ35(EDFNWRWKHTXRWDWLRQIURPWKHUDEELQLFWUDGLWLRQDQG WRHDFKLQVWDQFHRILWVFRQGHQVHGUHLWHUDWLRQ7KHUHSHWLWLRQRIWKHH[SUHVVLRQ WKXV SURYLGHV D FRQWH[W IRU 35(¶V LQWHUSUHWDWLRQV ZLWKLQ WKH WUDGLWLRQ DQG DGGLWLRQDO H[SRVLWRU\ SXUSRVHV 7KH GLYHUVLW\ RI HOHPHQWV OLVWHG LQ WKHVH H[DPSOHVWKDWDOORZWKH³ZRUOGWRVWDQG´±UHSHQWDQFHWKHGD\RIDWRQHPHQW WKHGLYLQHZRUGRUFRPSDVVLRQDFWVRIORYLQJNLQGQHVVULJKWHRXVQHVVWKHDFWV RIWKHSDWULDUFKV±WHVWLI\WRWKHZLGHUDQJHRIXVHVRIWKHUHFHLYHGH[SUHVVLRQ 7KLV GLYHUVLW\ GRHV QRW LQGLFDWH DQ\ W\SH RI ³FRQIXVLRQ´ LQ 35(¶V OLWHUDU\ RUJDQL]DWLRQ QRU GRHV WKLV H[SRVLWRU\ DFW H[SUHVV VRPH VRUW RI ³FROOHFWRU¶V PHQWDOLW\´ 2Q WKH FRQWUDU\ WKH FRQGHQVDWLRQ RI WKH 3$ WUDGLWLRQ LQWR WKLV
35(DQGWKH5DEELQLF7UDGLWLRQ
H[SUHVVLRQ HPERGLHV WKH ZRUN¶V UHFHSWLRQ WUDQVPLVVLRQ DQG PRVW LPSRUWDQWO\ WUDQVIRUPDWLRQ RI WKH 3$ WUDGLWLRQ LQWR DQ H[SRVLWRU\ FOXVWHU ,Q WKHH[HPSODDERYH35(¶VLQFRUSRUDWLRQRIODQJXDJHIURP3$H[SDQGVDQG WUDQVIRUPV WKH RULHQWDWLRQ RI WKH RULJLQDO WUDGLWLRQ ZLWKLQ QHZ WKHPDWLF DQG QDUUDWLYHFRQWH[WVDQGVLWXDWHV3$LQWKHZRUN¶VSURGXFWLRQRIQHZPRGHOV RI 6FULSWXUDO H[SRVLWLRQ +HUH 35( FUHDWHV D QHZ WHFKQLFDO DQG H[SRVLWRU\ H[SUHVVLRQRXWRIWKHERG\RIWKHUHFHLYHGWUDGLWLRQWKDWSURPRWHVWKH ZRUN¶V QHZOLWHUDU\PRGHOVDQGWUDQVIRUPVWKHFRPSOH[VHWRILGHDVWKDWDUHIRXQGLQ 3$LQWRDWRRORIH[SRVLWLRQ 7KLVWUDQVIRUPDWLRQHQWDLOVDIRUPRILQWHUSUHWDWLRQWKDWVXEVLVWVDVLQQHU FDQRQLFDOUDEELQLFGLVFRXUVHDQGHPERGLHVWKHZRUN¶VWUDGLWLRQEXLOGLQJ±WKH XVH RI FODVVLFDO UDEELQLF GLVFRXUVH DV D WRRO WR H[SDQG WKH H[HJHWLFDO SRVVLELOLWLHVRIWKH6FULSWXUDODQGUDEELQLFWUDGLWLRQV35(¶VHQJDJHPHQW ZLWK WKHFODVVLFDOUDEELQLFWUDGLWLRQLVQRWOLPLWHGWRWKHDSSOLFDWLRQRIWKLVSKUDVHWR VHOHFW 6FULSWXUDO HSLVRGHV 35(¶V LQQRYDWLYH XVH RI UDEELQLF GLVFRXUVH LV PDQLIHVWHG LQ WKH ZRUN¶V XVH RI WKH ³WUDGLWLRQ EXLOGLQJ FOXVWHU´ WR UHLQWHUSUHW WKHPHDQLQJRIRWKHUTXRWDWLRQVIURP3$DVFDQEHVHHQLQFKDSWHUIRUW\WKUHH
³5HSHQWDQFH DQG JRRG GHHGV DUH OLNH D VKLHOG DJDLQVW SXQLVKPHQW´ 3LUNH $YRW 5 ,VKPDHO VDLG ³,I UHSHQWDQFH KDG QRW EHHQ FUHDWHG WKH ZRUOG FRXOGQRWKDYHVWRRGʣʮʥʲʭʬʥʲʤʤʩʤʠʬʤʡʥʹʺʠʸʡʰʠʬʥʬʩʠ 6LQFHUHSHQWDQFH ZDVFUHDWHGWKH+RO\2QHEOHVVHGEH+HSXWRXWKLVULJKWKDQGWRUHFHLYH WKRVHZKRUHWXUQHYHU\GD\«´
$ERYH , H[DPLQHG FKDSWHU IRUW\WKUHH LQ WKH FRQWH[W RI WKH FKDSWHU¶V LQWURGXFWLRQRIDOLVWRI%LEOLFDODQGUDEELQLFILJXUHVZKRHPERG\WKHWKHPHRI UHSHQWDQFH 7KLV WKHPH GHSHQGV RQ WKH ZRUN¶V TXRWDWLRQ RI 3$ D TXRWDWLRQ ZKLFK LV DOVR PRGLILHG E\ WKH GHSOR\PHQW E\ 35(¶V H[SRVLWRUV RI WKH³WUDGLWLRQEXLOGLQJFOXVWHU´³WKHZRUOGVWDQGV´ GUDZQIURP3$,QWKH FRUUHODWLRQ RI WKHVH WZR TXRWDWLRQV WKH H[SRVLWRUV XVH 3$ LQ RUGHU WR LQWHUSUHW 3$ LQQHUFDQRQLFDOO\ 7KLV VKRUW VHFWLRQ IURP FKDSWHU IRUW\ WKUHH H[HPSOLILHV WKH FRPSOH[ FRQVWUXFWLRQ LQ 35(¶V WUDQVIRUPDWLRQ RI UDEELQLFGLVFRXUVH2QWKHRQHKDQGWKHWUDGLWLRQIURP3$WKH³VKLHOGV´ DJDLQVW SXQLVKPHQW LV FLWHG DV WKH EDVLV IRU WKH FKDSWHU¶V H[SRVLWLRQ RI UHSHQWDQFH2QWKHRWKHUKDQGWKHH[SRVLWRUVXWLOL]HWKHH[SUHVVLRQ³WKHZRUOG VWDQGV´IURP3$LQRUGHUWRUHLQWHUSUHWWKLVRWKHUTXRWDWLRQIURP3$7KH FRUUHODWLRQRI3$DQGUHSUHVHQWVDQRYHOVWHSLQWKHUHFRQVLGHUDWLRQRI BBBBBBBBBBBB
7KHWKHPHRIµUHSHQWDQFH¶LVIRXQGLQFKDSWHUVWKUHHWHQWZHQW\RQHWZHQW\WKUHHWKLUW\ WKUHHWKLUW\HLJKWIRUW\WZRDQGIRUW\VHYHQLQDGGLWLRQWRWKHSUHVHQWFKDSWHU
0LGUDVKDQG0XOWLSOLFLW\ WKHUROHRIFODVVLFDOUDEELQLFGLVFRXUVHLQWKHLQWHUSUHWDWLRQRI6FULSWXUH,QDQ LQQRYDWLYHH[SRVLWRU\PDQHXYHUWKHH[SRVLWRUVXWLOL]HWKHODQJXDJHRI3$ WRLQWHUSUHW3$DQGVXPPDUL]HWKHLQQHUFDQRQLFDOUHODWLRQVKLSEHWZHHQ WKHVHWUDGLWLRQVDVIROORZV³WKHZRUOGFRXOGQRWVWDQGZLWKRXWUHSHQWDQFH´,Q WKLV FKDSWHU WKH UDEELQLF WUDGLWLRQ LV LGHQWLILHG QRW RQO\ ZLWK WKH ZRUN¶V LQWHUSUHWLYHHIIRUWVZLWK6FULSWXUDOWUDGLWLRQV)XUWKHUPRUHFKDSWHUIRUW\WKUHH GHPRQVWUDWHV D FRPSOH[ XVH RI ODQJXDJH WKDW LV TXRWHG IURP WUDGLWLRQDO UDEELQLF OLWHUDWXUH LQ RUGHU WR LQWURGXFH VHOIUHIHUHQWLDOLW\ LQWR WKH UDEELQLF OLWHUDU\WUDGLWLRQ 7KHH[DPSOHIURPFKDSWHUIRUW\WKUHHLQSDUWLFXODUW\SLILHVWKHQHZIRUPV RI UHFHSWLRQ WUDQVPLVVLRQ DQG WUDQVIRUPDWLRQ LQ 35( 7KH DFW RI ³WUDGLWLRQ EXLOGLQJ´ H[KLELWHG LQ WKLV FKDSWHU GHPRQVWUDWHV WKH ZRUN¶V FUHDWLYH FRQWULEXWLRQ WR WKH KLVWRU\ RI UDEELQLF LQWHUSUHWDWLRQ (YHQ LQ WKH H[WUHPH H[DPSOH RI ³UHSHWLWLRQ´ ± LQ ZKLFK ZH DUH DEOH WR LGHQWLI\ ODQJXDJH WKDW LV REYLRXVO\ UHFHLYHG RU OLIWHG IURP DQ HDUOLHU UDEELQLF WH[W ± WKH WUDQVPLVVLRQ GRHVQRWRFFXUZLWKRXWH[HJHWLFDOUHLQWHUSUHWDWLRQDQGUHDSSOLFDWLRQ)DUIURP EHLQJRQO\HGLWRUVWKHH[SRVLWRUVPRGLI\WKHUHFHLYHGUDEELQLFWUDGLWLRQLQWRD WRRO WR HQJDJH 6FULSWXUH 7KH H[SRVLWRUV¶ UHFRJQLWLRQ RI WKH SRVVLELOLWLHV RI UHLQWHUSUHWDWLRQLQWKHFDQRQPDUNVDVLJQLILFDQWVWHSIRUZDUGIURPWKHUDEELQLF OLWHUDWXUHRIWKHFODVVLFDOHUD7KHUHZHGRQRW\HWVHHWKHFRPSOH[LQWHJUDWLRQ RI UHFHLYHG UDEELQLF WUDGLWLRQV LQWR WKH LQWHUSUHWLYH LPDJLQDWLRQ RI UDEELQLF OLWHUDWXUHV +HUH RQ WKH RWKHU KDQG ZH VHH WKDW 6FULSWXUH LV QRW WKH RQO\ OLQJXLVWLF ODQGVFDSH WR EH UHFHLYHG LQWHUSUHWHG DQG UHIRUPXODWHG 35(¶V GHYHORSPHQWRI³WUDGLWLRQEXLOGLQJFOXVWHUV´UHSUHVHQWVWKHZRUN¶VDSSOLFDWLRQ RI LWV H[HJHWLFDO PHWKRGV WR WKH FODVVLFDO UDEELQLF WUDGLWLRQ 7KH UHVXOW LV WKH EOXUULQJ RI WKH OLQHV EHWZHHQ LWV DSSURDFKHV WR UHFHLYHG 6FULSWXUDO DQG WKH UDEELQLF WUDGLWLRQV WUHDWLQJ ERWK DV YHKLFOHV IRU GHQVH H[HJHWLFDO H[SUHVVLRQV WKDWUHHQJDJHDQGUHQHZWKHSULPDU\WDVNRI6FULSWXUDOLQWHUSUHWDWLRQ
0\WKLF&OXVWHUV 35(¶V0\WKLFDQG([HJHWLFDO5HLQWHUSUHWDWLRQ RI5DEELQLF/LWHUDWXUH
,Q WKLV FKDSWHU , KDYH SUHVHQWHG FRQFUHWH LQVWDQFHV RI WKH ZRUN¶V XVH RI WUDGLWLRQDO ODQJXDJH LQ RUGHU WR LQGLFDWH WKH WHQRU RI 35(¶V UHFHSWLRQ
35(DQGWKH5DEELQLF7UDGLWLRQ
WUDQVPLVVLRQDQGWUDQVIRUPDWLRQ RI FODVVLFDO UDEELQLF GLVFRXUVH DQG WUDGLWLRQV ZLWKLQ WUDGLWLRQ EXLOGLQJ FOXVWHUV 35( DOVR XWLOL]HV FOXVWHUV GHULYHG IURP FODVVLFDOUDEELQLFH[HJHVLVRI6FULSWXUHLQLWVODQJXDJHP\WKDQGLPDJHU\7KH ZRUN¶V OLQH RI HQJDJHPHQW ZLWK 6FULSWXUH DQG WKH FODVVLFDO UDEELQLF WUDGLWLRQ GRHVLQYROYHUHIRUPXODWLRQRIWKHVHWUDGLWLRQVLQWRWHFKQLFDOGLVFRXUVHWKDWLV H[SUHVVLRQV WKDW LQWHJUDWH WUDQVIRUP DQG LQQHUFDQRQLFDOO\ LOOXPLQDWH WKH UHODWLRQVKLSEHWZHHQ6FULSWXUDODQGUDEELQLFWUDGLWLRQV35(¶VGHYHORSPHQWRI FODVVLFDO UDEELQLF GLVFRXUVH KRZHYHU LV DOVR HYLGHQW LQ LWV WUDQVIRUPDWLRQ RI P\WK DQG H[HJHVLV LQWR FOXVWHUV DV LWV H[SRVLWRUV FUHDWH QHZ P\WKLF LPDJHU\ DQG ODQJXDJH RXW RI FODVVLFDO UDEELQLF LQWHUSUHWDWLRQ /LNH WKH WUDGLWLRQ EXLOGLQJ FOXVWHUV RXWOLQHG DERYH WKHVH ³P\WKLF FOXVWHUV´ WUDQVODWH UHFHLYHG UDEELQLFLQWHUSUHWDWLRQLQWRVKRUWH[SUHVVLRQVWKDWDUHXWLOL]HGWRGHOYHLQWRWKH GHSWKV RI 6FULSWXUDO QDUUDWLYH LPDJHU\ DQG ODQJXDJH ,Q DGGLWLRQ WKHVH ³P\WKLFFOXVWHUV´LQWURGXFHDQHZDQGFRPSOH[LQQHUFDQRQLFDOLQWHJUDWLRQRI GLVSDUDWH UHFHLYHG 6FULSWXUDO DQG UDEELQLF LPDJHU\ 7KH H[SRVLWRUV¶ DFNQRZOHGJHPHQWRIWKHUDEELQLFWUDGLWLRQWKHUHIRUHLVH[SUHVVHGQRWRQO\LQ WKHLUWUDQVPLVVLRQRIFODVVLFDOUDEELQLFLQWHUSUHWDWLRQEXWDOVRLQWKHLUEXLOGLQJ RIQHZP\WKLFDQGH[HJHWLFDOLPDJHU\RXWRIWKHERG\RIWKHUDEELQLFWUDGLWLRQ WKDWDUHDOVRUHIOHFWHGLQODWHUUDEELQLFOLWHUDWXUH 2QH RI WKH PRVW SURPLQHQW DQG VWULNLQJ H[DPSOHV RI 35(¶V ³P\WKLF FOXVWHUV´ RFFXUV LQ FKDSWHU WKLUW\ILYH RI 35( ,Q WKLV FKDSWHU WKH H[SRVLWRUV FRUUHODWH WKH 6FULSWXUDO HSLVRGH RI -DFRE DQG KLV KHDGVWRQH RU SLOODU IURP *HQHVLV ZLWK WKH P\WKLF WURSH RI WKH (YHQ 6KHWL\DK WKH SULPHYDO ³IRXQGDWLRQVWRQH´RIWKHZRUOG7KHWUDGLWLRQUHDGV
$QG-DFREUHWXUQHGLQRUGHUWRJDWKHUWKHVWRQHVDQGIRXQGWKDWDOO>VWRQHV@ KDG EHFRPH D VLQJOH VWRQH DV 6FULSWXUH VWDWHV ³$QG KH WRRN WKH VWRQH WKDW ZDV KLV KHDGVWRQH WKHUH DQG KH SODFHG LW DV D SLOODU LQ WKDW SODFH´ *HQ :KDWGLG7KH+RO\2QHEOHVVHGEH+HGR"+HWRRNKLVULJKWIRRWDQG VXEPHUJHGʤʲʡʨʥ WKHVWRQHXQWLOWKHGHSWKVRIWKH7HKRPRWDQGPDGH>WKH SLOODU@LQWRDNH\VWRQHIRUWKH7HKRPRWMXVWDVDSHUVRQPDNHVDNH\VWRQHIRU WKH URRI RI WKH KRXVH 7KHUHIRUH >WKH VWRQH@ KDV EHHQ FDOOHG WKH (YHQ 6KHWL\DKVLQFH>WKHVWRQH@LVWKHQDYHORIWKHHDUWKʵʸʠʤʸʥʡʨ IURPWKHUHDOO RI WKH (DUWK ZDV H[WHQGHG IURP WKHUH DQG WKH 7HPSOH ʬʫʩʤ RI 7KH /RUG VWDQGVXSRQ>-DFRE¶VSLOODUVWRQH@DV6FULSWXUHVWDWHV³$QGWKLVVWRQHZKLFK ,KDYHSODFHGDVDSLOODUZLOOEHWKHKRXVHRI*RG´*HQ
0LGUDVKDQG0XOWLSOLFLW\ 35(¶V LQWHUSUHWDWLRQ RI *HQHVLV FRUUHODWHV WKH 6FULSWXUDO YHUVHV ZLWK WKH LPDJH RI -DFRE WKH WHPSOH DQG WKH IRXQGDWLRQ VWRQH 6LPLODU WR SULRU PLGUDVKLP WKH H[SRVLWRUV RI 35( LGHQWLI\ WKH 7HPSOH LQ -HUXVDOHP ZLWK WKH DVVXPHGP\WKLFORFDWLRQRI-DFRE¶VGUHDP1RQHWKHOHVVWKHODQJXDJHRI*HQ LPEXHV WKH P\WKLF FRUUHODWLRQ RI -DFRE DQG WKH 7HPSOH ZLWK D PRUH FRQFUHWHUHDGLQJRIWKHSDVVDJHLQDGUDPDWLFWKHRPRUSKLVP-DFRESURYLGHV WKH VWRQH E\ ZKLFK KH DQG *RG IRUJH WKH IRXQGDWLRQV RI WKH 7HPSOH DQG SUHYHQWV WKH GDQJHURXV ZDWHUV RI WKH 7HKRP IURP HQWHULQJ LQWR WKH ZRUOG 7KLV DUWLFXODWLRQ RI -DFRE¶V GUHDP DSSHDUV WR FRUUHODWH WKH LQWHULRULW\ RI 6FULSWXUHDQGUDEELQLFP\WKPDNLQJZLWKWKHH[WHUQDOP\WKVRIWKHGLYLQHEDWWOH ZLWKFKDRVDQGWKHFRVPRJUDSKLF³QDYHO´RIWKHZRUOGWKDWKDVEHHQH[SORLWHG E\FRPSDUDWLYLVWVVXFKDV0LUFHD(OLDGHDQG$-:HQVLQFNDQGLVSUHVHQW LQWKH%DE\ORQLDQ7DOPXG
³$QGLWZDVFDOOHG6KHWL\DKʤʩʩʺʹ VLQFHWKHZRUOGZDVHVWDEOLVKHGʺʺʹʥʤ IURP LW´ :H ZHUH WDXJKW LQ DFFRUGDQFH WR WKH RQH ZKRKHOG WKDW WKH ZRUOG ZDV FUHDWHG IURP =LRQ 5 (OLH]HU VDLG ³7KH ZRUOG ZDV FUHDWHG IURP LWV FHQWHU ʥʺʩʲʶʮʠʮ DV 6FULSWXUH VWDWHV µ:KHQ WKH GLUW FRPSDFWV LQWR D FORG DQGWKHFOXPSVELQG¶´-RE 5,VDDF+D4DSSDUVDLG³7KH+RO\ 2QH EOHVVHG EH +H FDVW IRUWK DVWRQH ʯʡʠ ʤʸʩ LQWR WKH VHD ʭʩ DQG IURP
BBBBBBBBBBBB
6HH ODWHU SDUDOOHOV WR 35(¶V LQWHUSUHWDWLRQ LQ 0LGUDVK 3VDOPV %XEHU 0LGUDVK +D*DGROWR*HQ%HUHVKLW5DEEDWLWR*HQDQG,W ZDV W@KH VWRQH WKDW -DFRE HUHFWHG DV D SLOODU WKDW WKH +RO\2QHEOHVVHGEH+HSXWKLVULJKWIRRWXSRQDQGVXEPHUJHGLQWRWKH7HKRPRW«´ )RUDGLVFXVVLRQRIWKH7HKRPWUDGLWLRQVVHH)LVKEDQH%LEOLFDO0\WK 0LUFHD(OLDGH7KH6DFUHGDQGWKH3URIDQH:LOODUG57UDVNWUDQV 1HZ
35(DQGWKH5DEELQLF7UDGLWLRQ
WKHUHWKHZRUOGZDVHVWDEOLVKHGʭʬʥʲʤʺʺʹʰ DV6FULSWXUHVWDWHVµ8SRQZKDW ZHUH>WKHZRUOG¶V@SLOODUVIDVWHQHGʥʲʡʨʤʤʩʰʣʠ "2UZKRFDVWIRUWKWKHFRUQHU VWRQHʤʺʰʴʯʡʠʤʸʩ "¶´
,QWKH35(SDVVDJHWKHLPDJHRIWKHIRXQGDWLRQVWRQHLVLPEXHGZLWKP\WKLF DQG 6FULSWXUDO UHVRQDQFH 7KH P\WKLF FRQFHSWLRQV RI *HQ UHLQIRUFH DOUHDG\ GHQVH P\WKLF DQG P\VWLFDO FRQFHSWLRQV RI WKH GUHDP QDUUDWLYH LQ UDEELQLF OLWHUDWXUH DQG WKXV DXJPHQW WKH LQWHUWH[WXDO ³P\WKLF FOXVWHU´ LQ WKLV SDVVDJH&RQVHTXHQWO\WKHH[SRVLWRUV¶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¶VUHSUHVHQWDWLRQRI-DFRELVLQIRUPHG E\SDUDOOHOWUDGLWLRQVZKLFKDOORZWKHVDJHVWRUHLQWHUSUHWWKHFODVVLFDOWUDGLWLRQ DQG EROGO\ UHSUHVHQW -DFRE DV D FUHDWRU 7KH GHYHORSPHQW LQ 35( RI HDUOLHU P\WKLFWURSHVLQWRFOXVWHUVRIP\WKLFLPDJHU\FDQEHGLVFHUQHGWRVRPHH[WHQW LQ WUDGLWLRQV IURP WKH %DE\ORQLDQ 7DOPXG DQG *HQHVLV 5DEED %RWK ZRUNV LQWLPDWHWKHWUDGLWLRQEXWGRQRWGHYHORSLWDVIXOO\DQGGRQRWFRRUGLQDWHWKH LPDJHU\ZLWKVHSDUDWHP\WKLFWUDGLWLRQVVXFKDVWKH(YHQ6KHWL\DK 5DEEL$KDVDLGLQWKHQDPHRI5DEEL(OHD]DU³:KHUHLQ6FULSWXUHPD\RQH GHULYH WKDW 7KH +RO\ 2QH EOHVVHG EH +H FDOOHG -DFRE (O" >,Q WKH YHUVH ZKHUH@6FULSWXUHVWDWHVµ$QGWKH*RGRI,VUDHOFDOOHGKLP(Oʩʤʬʠʬʠʥʬʠʸʷʩʥ ʬʠʸʹʩ ¶*HQ 1RZLILWPD\RFFXUWR\RXWKDW-DFREFDOOHGWKHDOWDU(O WKHQ WKH YHUVH VKRXOG KDYH VWDWHG µ$QG -DFRE FDOOHG LW ʡʷʲʩ ʥʬ ʠʸʷʩʥ ¶ 5DWKHU>WKHYHUVHVWDWHV@µ$QG+HFDOOHGKLP(Oʬʠʥʬʠʸʷʩʥ ¶±ZKRFDOOHG KLP(O"7KH*RGRI,VUDHOʬʠʸʹʩʩʤʬʠ ´
³$QG +H HUHFWHG DQ DOWDU WKHUH DQG WKH *RG RI ,VUDHO FDOOHG KLP (O´ *HQ +H VDLG WRKLP ³
BBBBBBBBBBBB
)UDQN 0RRUH &URVV &DQDDQLWH 0\WK DQG +HEUHZ (SLF &DPEULGJH +DUYDUG 8QLYHUVLW\3UHVVIIDQG)LVKEDQH%LEOLFDO0\WKII 6HH%DE\ORQLDQ7DOPXG0HJLOODKD5DVKLRQ*HQDQG
0LGUDVKDQG0XOWLSOLFLW\ &RQVRQDQWZLWKWKHVHWUDGLWLRQV35(¶VH[SRVLWRUVH[SDQGWKHWUDGLWLRQDOYLHZ WKDW -DFRE VDQFWLILHV WKH DOWDU LQ RUGHU WR FODLP WKDW -DFRE LV GLYLQH DQG FRRSHUDWLQJZLWK*RG7KHLQWHUSUHWDWLRQRI*HQILJXUHVDVWKHIRFXVRI WKHH[SRVLWLRQLQZKLFK*RGUHIHUVWR-DFRELQGLYLQHWHUPVWKHUHSUHVHQWDWLRQ RI -DFRE DV GLYLQH DQG D SDUWQHU LQ FUHDWLRQ LV IRXQG LQ RWKHU UDEELQLF WUDGLWLRQV 1HYHUWKHOHVV WKH FRUUHODWLRQ RI WKHVH LQWHUSUHWDWLRQV DQG P\WKLF WURSHVZLWKWKH(YHQ6KHWL\DKGRHVQRWH[LVWHOVHZKHUHDQGFDQEHFRQVLGHUHG DV SDUW DQG SDUFHO RI WKH ZRUN¶V LQQRYDWLYH UHFHSWLRQ WUDQVPLVVLRQ DQG UHIRUPXODWLRQ RI FODVVLFDO LQWHUSUHWDWLRQ LQWR D ³P\WKLF FOXVWHU´ 7KH SDUDOOHO QDUUDWLYHVRI-DFRE¶VHUHFWLRQRIDSLOODUWKHH[HJHWLFDOVWUDWHJ\DQGWKHP\WKLF SDULW\ RI -DFRE ZLWK *RG VHUYH DV WKH P\WKLF DQWHFHGHQWV IRU WKH 35( H[SRVLWLRQ RI *HQHVLV 1RQHWKHOHVV WKH H[SRVLWRUV¶ XVH RI -DFRE¶V WKZDUWLQJ RI WKH 7HKRP LQ WKH 35( WUDGLWLRQ KLJKOLJKWV DQ LQQRYDWLYH FRUUHODWLRQ RI P\WKLF HSLVRGHV ZLWK WKH (YHQ 6KHWL\DK WKH GLYLQH VWDWXV RI -DFRE LQ WKH DERYH WUDGLWLRQV DOORZV 35( WR VXPPDUL]H WKH P\WKLF HYHQW RI FUHDWLRQYLDWKHLPDJHRI-DFRE ,Q WKLV DFW RI WUDGLWLRQ EXLOGLQJ 35(¶V LQWHUSUHWDWLRQ LV LQQRYDWLYH DV LW FRUUHODWHV EHWZHHQ -DFRE DQG WKH (YHQ 6KHWL\DK $V D EDFNJURXQG WR WKH P\WKLF VLJQLILFDQFH RI -DFRE DQG WKH SLOODUV *HQHVLV 5DEED SUHVHQWV D WUDGLWLRQ LQ ZKLFK -DFRE KLPVHOI HPERGLHV WKH SLOODU ZKR VXVWDLQV WKH ZRUOG 7KHSDVVDJHIURP*HQHVLV5DEEDUHDGV
³+H ZLOO GR WKH ZLOO RI WKRVH ZKR IHDU +LP´ 3V $FFRUGLQJO\ 'DYLG JORULILHG DQG FHOHEUDWHG EHIRUH WKH +RO\ 2QH EOHVVHG EH +H VLQFH >*RG@ DVVLVWHG KLP ʥʸʦʲ LQ KLV HVFDSH IURP 6DXO >6LQFH@ 6FULSWXUH VWDWHV ³%HKROGZLOOQRWWKHZLFNHGEHQGEDFNWKHERZ"´3V >:@KDWLVZULWWHQ DIWHUWKLV>YHUVH@"³,IWKH\VKRXOGWHDUDZD\WKHIRXQGDWLRQVʺʥʺʹʤ ZKDWKDV KHGRQHIRUWKHULJKWHRXVRQHʬʲʴʤʮʷʩʣʶ "´3V >'DYLG@VDLGEHIRUH
BBBBBBBBBBBB
/HYLWLFXV5DEEDDQG7DQKXPD%XEHU 7ROHGRW 1DFKPDQLGHVFLWHVWKHDIRUHPHQWLRQHGPLGUDVKLPIURP*HQHVLV5DEEDDQG0HJLOODKLQKLV FRPPHQW RQ *HQ 6HH DOVR (OOLRW :ROIVRQ $ORQJ WKH 3DWK 6WXGLHV LQ .DEEDOLVWLF 0\WK6\PEROLVPDQG+HUPHQHXWLFV$OEDQ\6WDWH8QLYHUVLW\RI1HZ
35(DQGWKH5DEELQLF7UDGLWLRQ
>*RG@ ³0DVWHU RI WKH :RUOG LI \RX KDG UHMHFWHG DEDQGRQHG DQG QRW DVVLVWHGʺʸʦʲ -DFRE>LQKLVFRQIOLFWZLWK(VDX@±VLQFHKHLVWKHNH\VWRQHDQG IRXQGDWLRQRIWKHZRUOGʭʬʥʲʬʹʥʣʥʱʩʥʥʺʥʺʹʮʠʥʤʹ DV6FULSWXUHVWDWHVµ7KH ULJKWHRXV RQH LV WKH IRXQGDWLRQ RI WKH ZRUOG ʭʬʥʲ ʣʱʩ ʷʩʣʶ ¶ 3URY >WKHQ@ µ:KDW KDV KH GRQH IRU WKH ULJKWHRXV RQH"¶´ $W WKDW PRPHQW >*RG DVVLVWHG KLP@ DV 6FULSWXUH VWDWHV ³6RPH >SUHYDLO@ E\ FKDULRW DQG VRPH >SUHYDLO@E\KRUVHVEXWZHUHFDOOWKHQDPHRI7KH/RUGRXU*RG´3V
7KLV PLGUDVK LQWURGXFHV WKH ILJXUH RI -DFRE DQG WKH (YHQ 6KHWL\DK ± KHUH UHIHUUHGWRDVWKHʥʺʥʺʹʮRUʺʥʺʹʤ±LQWRDQDUUDWLYHWKDWRQO\DGGUHVVHV-DFRE VHFRQGDULO\ 7KH ZRUGV RI 3VDOP SURYLGH D FRQWH[W IRU WKH QDUUDWLYH RI 'DYLG¶VHVFDSHDQGWKHODQJXDJHZLWKZKLFK'DYLGFDOOVIRUGLYLQHDVVLVWDQFH DQGHTXDWHVKLPVHOIZLWK-DFRE7KHSDVVDJH¶VVXPPDU\RI3VFRUUHODWHV 'DYLG ZLWK -DFRE DV VLPLODU SHUVRQDOLWLHV ZKR FRQIURQW DQ RYHUZKHOPLQJ WHUUHVWULDO IRUFH DQG UHTXLUH GLYLQH DVVLVWDQFH 7KH FRUUHODWLRQ RI WKHVH SHUVRQDOLWLHVRFFXUVZLWKLQWKHFRQWH[WRI3VLQZKLFK'DYLGDQG-DFRE DUHLGHQWLILHGZLWKWKHʺʥʺʹLQWKHSDVVDJH7KH6FULSWXUDOYHUVHUHLQIRUFHVWKH UHODWLRQVKLS EHWZHHQ WKH ʺʥʺʹ ZLWK WKH VXEMHFW RI WKH YHUVH ʷʩʣʶ DQG LV WKH H[HJHWLFDO OLQN EHWZHHQ WKHVH 6FULSWXUDO SHUVRQDOLWLHV ,Q FKDSWHU WKLUW\ILYH KRZHYHU35(SURYLGHVDPRUHH[SOLFLWFRUUHODWLRQRIWKHLPDJHVRI-DFREZLWK WKHIRXQGDWLRQVWRQHWKDWLVQRWSUHVHQWLQWKH*HQHVLV5DEEDSDVVDJH2QWKH FRQWUDU\35(¶VXQLRQRILPDJHU\LVHYLGHQWLQWKHZRUN¶VH[SDQVLYHUHFUHDWLRQ RIWKHVHWUDGLWLRQVDV³P\WKLFFOXVWHUV´ ,Q DGGLWLRQ WR 35(¶V FRQVROLGDWLRQ RI WUDGLWLRQV IURP FODVVLFDO UDEELQLF OLWHUDWXUH KRZHYHU WKH SURFHVV RI 35(¶V DGRSWLRQ DQG FRQVROLGDWLRQ RI UDEELQLFWURSHVLQWRWKLVLQQRYDWLYHDQGSHUKDSVIODZHG³P\WKLFFOXVWHU´FDQ EH HTXDOO\ LQIHUUHG IURP VXEVHTXHQW OLWHUDWXUH 7KH =RKDU DQG RWKHU ODWHU ZRUNV H[SOLFLWO\ DGGUHVV DQG DUH LQIOXHQFHG E\ 35(¶V FRQGHQVDWLRQ RI BBBBBBBBBBBB
,KDYHFKRVHQWRUHDGWKHSKUDVHDVʺʹʨʰʥʺʷʧʸʭʠZKLFKLVDWWHVWHGLQWKH9HQLFHHGLWLRQ UDWKHUWKDQʺʹʨʰʥʺʷʸʧʺʠLQWKHWH[WRIWKH7KHRGRU$OEHFNHGLWLRQ,PDGHWKLVGHFLVLRQIRU WKH VDNH RI FRQVLVWHQF\ DQG HDVH DQG GHVSLWH WKH IDFW WKDW WKH VWRQH LPDJHU\ RI WKH ODWWHU ZRXOGEHFRQVLVWHQWZLWKP\GLVFXVVLRQ1RQHWKHOHVVWKHFKRLFHRI YHUEVLVXQXVXDODQG , DPQRWFRQYLQFHGWKDWWKHWUDQVODWLRQLVDVVLPSOHDV,KDYHUHQGHUHGLWKHUH *HQHVLV 5DEED $OVR DWWHVWHG LQ
0LGUDVKDQG0XOWLSOLFLW\ LPDJHU\ LQ WKLV FKDSWHU DQG WKXV DOORZ XVWRDOVRWUDFH WKH DUF RI H[SRVLWRU\ GHYHORSPHQWV IURP WKH H[SRVLWRUV¶ LQQHUFDQRQLFDO FUHDWLRQ RI WKLV WUDGLWLRQ 7KH ZRUN¶V FRQGHQVDWLRQ RI LPDJHU\ DQG LQWHUSUHWDWLRQV SURYLGHV D SRWHQW FRQVROLGDWLRQRIP\WKLFGLVFRXUVHEXWLVFKDOOHQJHGLQWKH=RKDULQZKLFKWKDW ZRUN¶V H[SRVLWRUV TXHVWLRQ WKH SRVVLELOLW\ WKDW 35( FDQ FRUUHODWH WKH IRXQGDWLRQ VWRQH ZLWK -DFRE¶V SLOODU 7KH =RKDU¶V H[SRVLWRUV LQWHUURJDWH WKH FRQIOXHQFHRIP\WKLFLPDJHU\LQ35(LQGLUHFWDQGRSHQWHUPV
5DEELZLWK WZR VDFNV RI FORWK@ 5DEEL WKDW\RXVD\@±KRZDUHWKH\SRVVLEOH"7KH (YHQ6KHWL\DKZDVLWQRWFUHDWHGEHIRUHWKHZRUOGDQGIURPLWWKHZRUOGZDV HVWDEOLVKHG"IURPWKHYHUVH@µ$QGWKLVVWRQHZKLFK,KDYH SODFHGDVDSLOODU¶WKDWWKHPHDQLQJʲʮʹʮʣ >RIWKHYHUVH@LVWKDW-DFRESODFHG >WKHVWRQH@ʤʬʩʥʹ QRZWKDW6FULSWXUHVWDWHVµ$QGKHWRRNWKHVWRQHWKDWKH KDGXVHGDVDKHDGUHVW¶*HQ )XUWKHUPRUH-DFREZDVDW%HW(ODQG WKHVWRQHLVLQ-HUXVDOHP´
$VWKH=RKDUZUHVWOHVZLWKWKHUHFHLYHGWUDGLWLRQWKHGLVFXVVLRQRI5
7KHODQJXDJHXVHGKHUHLVDVXEMHFWRIGHEDWHLQWKHFRPPHQWDULHVDQGQRWFOHDUIURPP\ RZQUHVHDUFK $OWKRXJK *HQ LV WKH IDYRUHG SURRIWH[W SDUWLFXODUO\ GXH WR LWV OLQJXLVWLF DGYDQWDJHV YHUVHHLJKWHHQLVDOVRXWLOL]HGVLQFHLWPHQWLRQVKLVXWLOL]DWLRQRIWKHSLOODU =RKDU,D7KHSDVVDJHFRQWLQXHVDQGWKH-XGHDQRIIHUVDQDOWHUQDWLYHH[SODQDWLRQZKLFK LVFHOHEUDWHGE\5
35(DQGWKH5DEELQLF7UDGLWLRQ
7KHZRUOGZDVQRWFUHDWHGXQWLO>*RG@WRRNDVWRQHWKLVVWRQHFDOOHGWKH(YHQ 6KHWL\DKWKDWWKH+RO\2QHEOHVVHGEH+HWRRNDQGWKUHZLQWRWKHPLGVWRI WKH7HKRP«>DQG@IURPWKLV>VWRQH@WKHZRUOGZDVHVWDEOLVKHGʬʩʺʹʠ ±LWLV WKHFHQWHURIWKHZRUOGDQGDWWKLVSODFHLVWKH+RO\RI+ROLHV«7KLVVWRQH LVDVLJQLQWKHFHQWHURIWKHZRUOGDQGWKLVLVWKHVWRQHZKLFK-DFREHUHFWHG DQGHVWDEOLVKHGʬʩʺʹʠʥ DVDIRXQGDWLRQDQGSLOODURIWKHZRUOGDV6FULSWXUH VWDWHV ³-DFRE WRRN D VWRQH DQG UDLVHG LW DV SLOODU´ *HQ ³$QG WKLV VWRQH ZKLFK , KDYH SODFHG DV D SLOODU´ *HQ %XW ZDV WKLV WKH VWRQH WKDW -DFRE SODFHG ʤʬ ʩʥʹ " :DV WKLV VWRQH QRW FUHDWHG LQ WKH EHJLQQLQJ ZKHQWKH+RO\2QHEOHVVHGEH+HFUHDWHGWKHZRUOG"5DWKHU>-DFRE@SODFHG >WKHVWRQHDV@ʤʬʩʥʹ DSLOODUIURPDERYHDQGEHORZDQGZLWKUHJDUGWRWKLV LW LV ZULWWHQ LQ 6FULSWXUH ³ZKLFK , KDYH SODFHG DV D SLOODU´ :KDW LV WKDW ³ZKLFK,KDYHSODFHG´"6FULSWXUHVWDWHV³>,W@ZLOOEHWKHKRXVHRI*RG´VLQFH KHSODFHGDGZHOOLQJIURPWKHXSSHUUHDOPVWRKHUH
7KHVHODWHWUDGLWLRQVGHPRQVWUDWHWKHWKHRORJLFDODQGQDUUDWLYHWHQVLRQVLQWKH 35(P\WKDQGUHYHDOWKHFRQVROLGDWLRQRILPDJHU\DQGWUDGLWLRQVLQ35(LQWR ³P\WKLFFOXVWHUV´7KH=RKDUH[KLELWVWKHVDPHP\WKLFDOO\FRQFUHWHUHDGLQJRI *HQ RQ WKH RQH KDQG DQG ZDU\ QHJRWLDWLRQ RI WKH ORJLFDO RU FKURQRORJLFDO FRQVLVWHQF\ RI P\WKLF WUDGLWLRQV RQ WKH RWKHU 7KHVH =RKDU WUDGLWLRQV FRQWLQXH WR UHJDUG *HQ DV WKH SURRIWH[W IRU -DFRE¶V UROH DV FUHDWRU1RQHWKHOHVVWKH =RKDUH[KLELWVDSDOSDEOHWHQVLRQLQZKLFKWKHZLVK WRXWLOL]HWKHSRZHUIXOP\WKLFLPDJHU\IURP35(FRQWUDVWVZLWKWKHGHVLUHWR SUHVHUYH WKH HDUOLHU GLVFRXUVH WKDW UHVHUYHV FUHDWLRQ IRU 8U]HLW DORQH $V D VROXWLRQ WR WKH SUREOHP RI WKHVH WZR FRQWUDGLFWRU\ UHFHLYHG WUDGLWLRQV WKH =RKDU SURSRVHV WKDW -DFRE ³HVWDEOLVKHV´ WKH IRXQGDWLRQ VWRQH LQ D P\WKLF BBBBBBBBBBBB
:KDWIROORZVKHUHDUHDVHULHVRISURRIWH[WVDVVRFLDWHGZLWKWKHGLYLQHFUHDWLRQE\PHDQVRI WKH(YHQ6KHWL\DK 7KH PDQXVFULSWV IRU WKH WH[W GLVDJUHH DV WR WKH H[LVWHQFH RI WKLV ZRUG EXW WKH ʠʬ RI WKH SDVVDJH DSSHDUV WR PH WR EH D UHDVRQDEOH UHDGLQJ EHFDXVH WKH XVH RI WKH FRQMXQFWLRQ ʠʬʠ ZRXOGGDQJOHZLWKRXWWKLVZRUG $QDOWHUQDWHPDQXVFULSWYHUVLRQUHDGV³:DVWKHWLPHWKDW-DFRESODFHG>WKHVWRQH@EHIRUHWKH ZRUOGKDGEHHQFUHDWHG"5DWKHU-DFRESODFHGLW´ =RKDU,D6HH,VDLDK7LVKE\7KH:LVGRPRIWKH=RKDU'DYLG*ROGVWHLQWUDQV 2[IRUG 2[IRUG8QLYHUVLW\3UHVV± $Q H[FHSWLRQ WR WKLV H[SOLFLW FRUUHODWLRQ RI WKH -DFRE FUHDWLRQ P\WK ZLWK *HQ LV DWWHVWHG LQ =RKDU +DGDVK , D ± EXW LQ WKLV FDVH WKH SDVVDJH FLWHV DQRWKHU YHUVH ZKLFK LV UHOHYDQWIRUWKHP\WKLFUHODWLRQVKLSRI-DFREDQGWKH(YHQ6KHWL\DK*HQ
0LGUDVKDQG0XOWLSOLFLW\ VHQVH UDWKHU WKDQ DVVHUW WKDW -DFRE DFWXDOO\ SDUWLFLSDWHG LQ WKH KLVWRULFDO FUHDWLRQ RI WKH IRXQGDWLRQ VWRQH DQG WKH ZRUOG 7KH H[SRVLWRUV RI WKH =RKDU H[SRVH DQG SUREOHPDWL]H 35(¶V DFW RI DGRSWLRQ DQG FRQVROLGDWLRQ RI WKLV SDUWLFXODU XQLRQ RI H[SRVLWRU\ LPDJHV 1RQHWKHOHVV WKH =RKDU¶V H[SRVLWRUV DIILUPWKHYLWDOLW\RI35(¶VH[SRVLWRU\FUHDWLYLW\E\PHDQVRIWKHLUUHLWHUDWLRQ RI WKH FOXVWHUHG P\WKLF DQG H[HJHWLFDO HOHPHQWV LQ 35( -DFRE DQG WKH IRXQGDWLRQ VWRQH FRRSHUDWH ZLWK *RG LQ WKH VXSSUHVVLRQ RI WKH 7HKRP IRUPDWLRQ RI WKH 7HPSOH VLWH DQG FUHDWLRQ RI WKH ZRUOG &RQVHTXHQWO\ WKH =RKDU¶V XVH RI WKLV WUDGLWLRQ SRLQWV WR WZR HVVHQWLDO FRQFOXVLRQV ILUVW WKDW 35(¶VP\WKLFFRQYHUJHQFHLVDQLQQHUFDQRQLFDOFOXVWHUWKDWLVIRUPHGRXWRI WKHERG\RIFODVVLFDOUDEELQLFWUDGLWLRQDQGVHFRQGWKDW WKHSRZHURI35(¶V P\WKLFFOXVWHUKROGVVZD\LQWKH=RKDU¶VRZQLQWHUDFWLRQDQGGHYHORSPHQWRI FODVVLFDO UDEELQLF LQWHUSUHWDWLRQ 7KH =RKDU GRHV FULWLTXH 35(¶V XVH DQG UHIRUPXODWLRQRIWKHFODVVLFDOWUDGLWLRQVEXW35(¶VP\WKLFFOXVWHUQHYHUWKHOHVV FRUUHVSRQGVWRWKH=RKDU¶VRZQLQWHUSUHWLYHXQGHUVWDQGLQJRILQQHUFDQRQLFDO LQWHUSUHWDWLRQ35(LVQRWRQO\DYLDEOHLQIOXHQFHRQWKH=RKDU¶VLQWHUSUHWDWLRQ RI 6FULSWXUH EXW DOVR VHUYHV DV WKH PRGHO IRU WKH =RKDU¶V UHFHSWLRQ WUDQVPLVVLRQDQGWUDQVIRUPDWLRQRIFODVVLFDOUDEELQLFWUDGLWLRQV $VZLWK35(¶VP\WKLFFOXVWHUWKHOLQNEHWZHHQWKHP\WKLFLGHDVRI-DFRE WKH(YHQ6KHWL\DKDQGWKH6FULSWXUDOFRQWH[WRI*HQLVWDNHQXSLQWKH WUDGLWLRQRIWKH=RKDUZKLFKDWWHVWVWRWKHYLWDOLW\RIWKLVH[SRVLWRU\LPDJHU\ ZLWKLQWKH.DEEDOLVWLFJHQUHRI6FULSWXUDOLQWHUSUHWDWLRQ$VFDQEHVHHQLQWKH =RKDU35(¶VH[SRVLWRU\LQQRYDWLRQSURYLGHVDW\SHRIP\WKLFGHYHORSPHQWRI UDEELQLFLQWHUSUHWDWLRQZKLFKODWHUSDUWLFXODUO\.DEEDOLVWLFUDEELQLFOLWHUDWXUH IRXQGTXLWHFRPSHOOLQJ*HUVKRP6FKROHPDQGRWKHUVFKRODUVKDYHDUJXHGWKDW WKH =RKDU DQG RWKHU .DEEDOLVWLF ZRUNV UHIOHFW WKH LQIOXHQFH RI 35(¶V WUDGLWLRQV7KLVDGGLWLRQDOFRPSRQHQWRI³FOXVWHUV´GHPRQVWUDWHVWKHGHSWKRI WKLV UHODWLRQVKLS DV ZHOO DV WKH UHFHSWLRQ RI 35(¶V LQQHUFDQRQLFDO LQWHUSUHWDWLRQVE\WKH=RKDU,QKLVLQYDOXDEOHFRPPHQWDU\RQWKH=RKDU,D WKH 2U
BBBBBBBBBBBB
7KXVWKH-XGHDQ¶VFHOHEUDWHGH[SODQDWLRQLQ=RKDU,DWKDWWKLVLQGLFDWHGWKHLQVWLWXWLRQRI UHVWRUDWLYHSUD\HUDQGLQ=RKDU,DWKDWWKHSXUSRVHRI-DFRE¶VDFWLRQZDVWREULQJGRZQ WKH6KHNKLQD6HH7LVKE\7KH:LVGRPRIWKH=RKDUQRWHV± 6HH6FKROHP0DMRU7UHQGV
35(DQGWKH5DEELQLF7UDGLWLRQ
,WLVWUXHWKDWWKHZRUGVRI5DEELEXW@LWDSSHDUVWR PH WKDW RQH PXVW LQWHUSUHW WKDW >ZLWK UHVSHFW WR@ -DFRE RXU IDWKHU « WKH FUHDWLRQRIWKHZRUOGZDVLQKLVKDQG>-DFRE@WRRNWKLVVWRQHʸʥʸʶ IURPWKH 7KURQH RI *ORU\ DQG IXUQLVKHG WKH (YHQ 6KHWL\DK DV WKH IRXQGDWLRQ RI WKH ZRUOGʭʬʥʲʬʹʥʣʥʱʩ DQGIRUWKLVUHDVRQ6FULSWXUHVWDWHV³$QGWKLVVWRQH ZKLFK,KDYHSODFHGDVDSLOODU´*HQ «>7KXV@5DEELWKH-XGHDQ@VLQFHKHKDGQRWH[DPLQHGKLPLQ RUGHUWRVHHLIKHFRXOGUHYHDOWKLVVHFUHWWRKLP
,Q KLV UXPLQDWLRQV XSRQ WKH WUDGLWLRQ &RUGRYHURUHLWHUDWHV WKH LPSRUWDQFH RI WKH UHODWLRQVKLS EHWZHHQ WKH LPDJHV RI -DFRE WKH (YHQ 6KHWL\DK DQG WKH SURRIWH[W 7KH H[SRVLWRUV RI =RKDU , D ZLVKHG WR UHWDLQ WKH LPDJHU\ IURP 35( \HW WKH\ VHJUHJDWHG WKH HSLVRGH IURP WKH LPDJHU\ DVVRFLDWHG ZLWK FUHDWLRQ ,Q FRQWUDVW &RUGRYHUR¶V UHLWHUDWLRQ RI WKH RULJLQDO WUDGLWLRQ ERWK WHVWLILHVWRWKHSRZHURI35(¶VP\WKLFFOXVWHUDQGXQGHUVFRUHVWKHUHODWLRQVKLS RI WKH YHUVH WR D VHW RI FRPSRVLWH P\WKRORJLFDO LGHDV WKH FRUUHODWLRQ RI WKH 7HPSOH ZLWK WKH VLWH RI FUHDWLRQ WKH +RO\ RI +ROLHV RI WKH 7HPSOH ZLWK WKH (YHQ 6KHWL\DK DQG -DFRE¶V SLOODU DQG -DFRE ZLWK *RG LQ WKH UROH RI FUHDWRU &RQVHTXHQWO\ &RUGRYHUR¶V XVH RI WKLV LPDJHU\ H[HPSOLILHV 35(¶V DGRSWLRQ DQG WUDQVIRUPDWLRQ RI WUDGLWLRQDO UDEELQLF GLVFRXUVH 35( DQWLFLSDWHV WKH WUDQVIRUPDWLRQRIWKLVUDEELQLF P\WKLFLPDJHU\LQWRDFOXVWHU WKDW LV WKHEDVLV IRUIXUWKHULQQHUFDQRQLFDOP\WKLFGHYHORSPHQWV BBBBBBBBBBBB
6HH*HQHVLV5DEEDZKLFKIXVHVWKHFRUUHODWLRQRI-DFREDQGWKH(YHQ6KHWL\DKZLWK WKHLQWHUSUHWDWLRQRI3URY )URP&RUGRYHUR¶VFRPPHQWDU\2UWKHVWRQH@DQGWKUHZLWXSRQWKHZDWHUDQGWKH ZDWHUFRQGHQVHG>ʥʠʷʴʰ VHH([@DQGWKXVPDGHVRLODV6FULSWXUHVWDWHVµ)RUKHVD\VWR VQRZWKDWLWLVHDUWK¶-RE ´6LPLODUO\EXWPDNLQJWKHUHODWLRQVKLSEHWZHHQWKHVQRZ XQGHUQHDWK WKH 7KURQH RI *ORU\ DQG WKH (YHQ 6KHWL\DK PRUH H[SOLFLW WKH 2W]DU +D0LGUDVKLPSDJHVWDWHV³µ$QG*RGFDOOHGWKHOLJKWµGD\¶*HQ 2QWKHILUVWGD\ >*RG@ WRRN D FOXPS RI VQRZ IURP XQGHUQHDWK WKH 7KURQH RI *ORU\ DQG WKUHZ LW XSRQ WKH VXUIDFHRIWKHZDWHULQWKHPLGVWRIWKHHDUWKDV6FULSWXUHVWDWHVµ)RUKH VD\VWRWKHVQRZ WKDWLWLVHDUWK¶DQGKHWRRNWKH(YHQ6KHWL\DKWKUHZLWXSRQWKHVLWHRIWKH7HPSOHDQGWKH ZRUOG ZDV HVWDEOLVKHG XSRQ LW ʭʬʥʲʤ ʤʩʬʲ ʣʱʩʺʰʥ DV 6FULSWXUH VWDWHV µ2U ZKR FDVW WKH IRXQGDWLRQ VWRQH"¶ -RE +H FDOOHG >LW@ WKH HDUWK DQG VWRRG >WKH HDUWK@ XSRQ D SODFH IURPZKLFKLWZDVQRWSRVVLEOHWRPRYH«´
0LGUDVKDQG0XOWLSOLFLW\
0RYLQJ IURP WKH UHFHSWLRQ RI WKH WUDGLWLRQ WR D FRQWHPSRUDU\ VRXUFH 35(¶V LQQHUFDQRQLFDO H[SRVLWLRQ LV VLPLODUO\ WDNHQ XS LQ D SDUDOOHO ZRUN RI HDUO\JHRQLFLQWHUSUHWDWLRQWKHIUDJPHQWDU\0LGUDVK$YNLU7KHFRUUHODWLRQRI WKHVHWURSHVXQGHUVFRUHVWKHLPSRUWDQFHRIWKLVXQXVXDOSDLULQJLQHDUO\JHRQLF LQWHUSUHWDWLRQ 0RUHRYHU WKH XQLRQ RI -DFRE DQG WKH IRXQGDWLRQ VWRQH UHSUHVHQWVDSDUDOOHOOLQHRIWKRXJKWLQWKHOLWHUDWXUHRIWKLVHUDRQHLQZKLFK VXFK³P\WKLFFOXVWHUV´HPHUJHDVDFKDUDFWHULVWLFIHDWXUHRIJHRQLFH[SRVLWRU\ GHYHORSPHQW7KHWUDGLWLRQUHDGV 5DEEL VDLG ³>-RVHSK@ ZRXOG KDYH OLVWHQHG >WR 3RWLSKDU¶V ZLIH@ KDG QRW WKH +RO\2QHEOHVVHGEH+HKDGEURXJKWEHIRUHKLPWKHOLNHQHVVʯʩʰʥʷʩʠ RIKLV IDWKHU >-DFRE@ IURP ZKLFK KH ZDV DVKDPHG DQG UDQ 7KH VHFRQG WLPH >-RVHSK@ HQWHUHG WKH +RO\ 2QH EOHVVHG EH +H WRRN WKH (YHQ6KHWL\DK DQG VDLG WR KLP µ,I \RX WRXFK KHU >WKHQ@ , DP DERXW WR FDVW DZD\ ʥʫʩʬʹʮ >WKH VWRQH@DQGGHVWUR\WKHZRUOG¶DV6FULSWXUHVWDWHVµ$QGWKHDUPVRIKLVKDQG ZHUH VXSSOH IURP WKH KDQGV RI WKH PLJKW\ RQH RI -DFRE IURP WKHUH WKH VKHSKHUGRIWKHVWRQHRI,VUDHOʬʠʸʹʩʯʡʠ ¶´*HQ
$V FDQ EH LQIHUUHG KHUH WKH H[SRVLWRUV RI 0LGUDVK $YNLU FRUUHODWH WKH ODQJXDJH RI -DFRE¶V HPEOHPDWLF EOHVVLQJV RI -RVHSK LQ *HQHVLV ZLWK WKH GHVFULSWLRQRIKLVWHPSWDWLRQLQ*HQHVLVWKHH[SRVLWRUVXVH*HQDQG WKH VXUURXQGLQJ 6FULSWXUDO SDVVDJHV LQ RUGHU WR SURYLGH FRQWH[W IRU WKLV HSLVRGH 7KH H[SRVLWRUV¶ UHIHUHQFH WR ³WKH VWRQH RI ,VUDHO´ LQ *HQ LQYHVWV WKLV 6FULSWXUDO ODQJXDJH ZLWK WKH LPDJHU\ RI -DFRE DQG WKH (YHQ 6KHWL\DK7KHSDVVDJHLWVHOIUHSUHVHQWVDQRWKHULQVWDQFHLQZKLFKWKH P\WKRI WKH(YHQ6KHWL\DKDQG-DFREPHHWDQGLQIRUPWKHDGRSWLRQDQGGHYHORSPHQWRI LQQHUFDQRQLFDOIRXQGDWLRQVWRQHWUDGLWLRQV7KLVWUDGLWLRQIURP0LGUDVK$YNLU LOOXPLQDWHV ERWK WKH OLIH RI 35(¶V WUDGLWLRQ LQ HDUO\ JHRQLF LQWHUSUHWDWLRQ DV ZHOODVWKHWHQGHQF\RIHDUO\JHRQLFOLWHUDWXUHWRGHYHORSVXFKQHZDQGUHODWHG P\WKLF FOXVWHUV 7KH WUDGLWLRQ GHPRQVWUDWHV VLPLODULWLHV WR 35(¶V UHFHSWLRQ WUDQVPLVVLRQ DQG WUDQVIRUPDWLRQ RI FODVVLFDO UDEELQLF GLVFRXUVH DQG BBBBBBBBBBBB
0LGUDVK $YNLU UHSURGXFHG LQ
35(DQGWKH5DEELQLF7UDGLWLRQ
XQGHUVFRUHV WKH PRGHV RI WUDQVIRUPDWLRQ ZKLFK HPHUJH LQ ERWK 35( DQG 0LGUDVK$YNLUDQGDUHGHYHORSHGZLWKLQWKH=RKDU ,Q FRQFOXVLRQ WKLV VHFWLRQ KDV GHPRQVWUDWHG 35(¶V FRPSOH[ LQWHUDFWLRQ ZLWK WKH H[SRVLWRU\ LPDJHU\ RI WKH FODVVLFDO UDEELQLF WUDGLWLRQ 7KH ³P\WKLF FOXVWHUV´ RI LPDJHU\ LQ 35( GHYHORS RXW RI WKH ZRUN¶V FRQWDFW ZLWK DQG DOOXVLRQWRWKHLPDJHU\LQSUHYLRXVUDEELQLFGLVFRXUVHDQGWKXVUHSUHVHQWWKH ZRUN¶V WUDQVIRUPDWLRQ RI UHFHLYHG WUDGLWLRQV IURP IRXQGDWLRQDO FODVVLFDO UDEELQLF OLWHUDWXUH DV D P\WKLF FOXVWHU WKH XQLRQ RI -DFRE ZLWK WKH (YHQ 6KHWL\DK EHFRPHV D V\PEROLF WRRO RI UDEELQLF P\WK 6LPLODU WR LWV XVH RI DXWKRULWDWLYH WUDGHQWV ODQJXDJH DQG VWDWHPHQWV WKH ZRUN¶V DGRSWLRQ DQG WUDQVIRUPDWLRQ RI UHFHLYHG H[SRVLWRU\ LPDJHU\ DOORZV WKH H[SRVLWRUV WR GHYHORSLQQHUFDQRQLFDOLQWHUSUHWDWLRQRI 6FULSWXUDODQGUDEELQLFOLWHUDWXUH,Q WKH ZRUN¶V OLQNLQJ RI -DFRE WR WKH IRXQGDWLRQ VWRQH IRU H[DPSOH WKH H[SRVLWRUV ZHDYH WRJHWKHU H[SRVLWRU\ FRPSRQHQWV RI SULRU UDEELQLF GLVFRXUVH LQRUGHUWRFUHDWHGHQVHFOXVWHUVWKDWLQQRYDWHWKHVLJQLILFDQFHDQGSRVVLELOLWLHV RI P\WKLF UHIHUHQFH ZLWKLQ WKH WUDGLWLRQ RI UDEELQLF H[SRVLWLRQ LWVHOI 7KH ZRUN¶V H[SRVLWLRQ WKHUHIRUH QRW RQO\ VLWXDWHV DQG HTXDWHV UHFHLYHG PDWHULDO ZLWKWKHQHZPRGHOVRI6FULSWXUDOFRQWHQW35(¶VGHYHORSPHQWRIWKHUDEELQLF WUDGLWLRQ UHSUHVHQWV D GHHSHQLQJ LQ 6FULSWXUDO H[SRVLWLRQ RQH ZKLFK RFFXUV ZLWKLQWKHODQJXDJHLPDJHU\DQGP\WKRI6FULSWXUDODQGUDEELQLFGLVFRXUVH,Q WKLVH[DPSOHZHPD\VHHWKDW35(¶VSURSHQVLW\WRFRQGHQVHDQGUHFRQILJXUH UDEELQLFDQG6FULSWXUDOWUDGLWLRQVLQWR³FOXVWHUV´FDQEHVHHQWREHRQHIHDWXUH RIHDUO\JHRQLFOLWHUDWXUHDVZHOODVDKDUELQJHURIWUDLWVWKDWDUHIRXQGLQWKH =RKDUDQGRWKHU.DEEDOLVWLFZRUNV
0LGUDVKDQG0XOWLSOLFLW\
$SSHQGL[35(,VKPDHODQG,VODP
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¶XVHRI35(DVDIRLOIRUHDUO\,VODPLF-HZLVKUHODWLRQVLVFOHDUO\ DQDFDGHPLFDQGQRWDWUDGLWLRQDO-HZLVKFRQFHUQ$VGLVFXVVHGHDUOLHULQWKLV VWXG\ /HRSROG =XQ] ZDV ILUVW WR DUJXH WKDW WKH 35( SURYLGHG FUXFLDO WHVWLPRQ\ DERXW WKLV HUD =XQ] GDWHG 35( WR WKH HDUO\ ,VODPLF SHULRG RQ WKH EDVLV RI WKH ZRUN¶V ODQJXDJH IRUPV RI DWWULEXWLRQ WUDGLWLRQV DQG KLVWRULFDO UHIHUHQFHV ,Q KLV IRRWVWHSV HPLQHQW VFKRODUV VXFK DV %HUQDUG +HOOHU -RVHSK +HLQHPDQQ5XYHQ)LUHVWRQH$YLYD6FKXVVPDQKDYHVWUXJJOHGWRDVVHVVKRZ 35(PRGLILHVDQGUHVSRQGVWRWKH,VODPLFWUDGLWLRQ7KH\ VRXJKWWRFRUUHODWH WKH ZRUN¶V LQIOXHQFHV LGHRORJLHV DQG OLWHUDU\ VW\OHV ZLWK WKH ,VODPLF PLOLHX 7KHVH VFKRODUV KDYH GHPRQVWUDWHG WKH LPSRUWDQFH RI 35( IRU WKH KLVWRU\ RI UDEELQLFLQWHUSUHWDWLRQDQGIRUHDUO\,VODPEXW KDYHEHHQ XQDEOH WRSUHVHQW D IXOODQGDFFXUDWHSLFWXUHRIWKHKLVWRU\FRQWDFWLQIOXHQFHDQGGHYHORSPHQWRI UDEELQLF DQG ,VODPLF FXOWXUHV 5DWKHU WKDQ RIIHU D VWUDLJKWIRUZDUG DFFRXQW RI 35(¶V UHODWLRQVKLS WR ,VODP VFKRODUV KDYH DOORZHG WKHPVHOYHV WR EHFRPH HPEURLOHGLQRQJRLQJGLVSXWHVDERXWWKHLGHRORJLFDOOLWHUDU\DQGKHUPHQHXWLF TXDOLWLHVWKDWVXUURXQGWUDGLWLRQVDERXW,VKPDHODV&DURO%DNKRVKDVKHOSIXOO\ RIIHUHG³>V@FKRODUVLQWKHSDVWKDYHGHVFULEHGWKHQDWXUHRIWKHVHWH[WVLQWHUPV RI SROHPLFDO UKHWRULF « RU DSRORJHWLF GHIHQVLYH UKHWRULF « EXW WKH\ KDYH LJQRUHGERWKWKHTXHVWLRQRIKRZWKHVWRU\ZRUNVZLWKLQHDFKWUDGLWLRQDQGWKH QRQSROHPLFDO QDWXUH RI LQWHUFRPPXQDO OLWHUDU\ UHODWLRQV´ $V , KDYH BBBBBBBBBBBB
%DNKRV,VKPDHO:KHUH%DNKRVDQG,GLIIHUKRZHYHULVWKHGHJUHHWRZKLFK,VKPDHO PD\ DLG RXU FRQFHSWLRQV RI UDEELQLF LGHDV DERXW ,VODP LQ 35( %DNKRV GRHV VWDWH >LQ ,VKPDHO @ ³>Z@H GLVFRYHU LQ 35( WKDW WKH ,VKPDHOLWHV UHSUHVHQW ,VODP´ 1HYHUWKHOHVV VKH DOVR VWDWHV >LQ ,VKPDHO @ ³>U@HIHUHQFHV WR ,VKPDHO DIWHU WKH ULVH RI ,VODP DUH QRW DOZD\V DERXW WKH $UDEV RU ,VODPLF UXOH « >VLQFH@ WKH YHU\ QDWXUH RI UDEELQLF H[HJHVLV DV WH[WXDOLQWHUSOD\UHVLVWVVXFKFRQVWULFWLRQV´$QG>LQ,VKPDHO@³>I@XUWKHUPRUHWKDWRQO\ ,VUDHOµVHHV¶VKRXOGQRWOHDGXVWRDVVXPHWKDW,VKPDHOUHSUHVHQWV,VODPWKURXJKRXW35(« ZKHQ HVSRXVLQJ ,VUDHO¶V FKRVHQQHVV KRZHYHU WKLV GRHV QRW LPSO\ WKDW HYHU\ PHQWLRQ RI
35(DQGWKH5DEELQLF7UDGLWLRQ
LQGLFDWHGLQP\GLVFXVVLRQDERYH VFKRODUV¶GLVFXVVLRQRI35(DQG,VODPKDV GHSHQGHG PRUH RIWHQ WKDQ QRW XSRQ WKH SDUWLFXODU VFKRODUV¶ LGHDV DQG SUHMXGLFHV DERXW WKH LPSDFW RI ,VODPLF LQIOXHQFH XSRQ UDEELQLF LQWHUSUHWLYH FXOWXUHDQGQRWZLWKLQWKHVRUWVRIGHYHORSPHQWVZLWKLQWKHZRUNLWVHOI 7KH DVSLUDWLRQV DQG FKDOOHQJHV RI 35( IRU WKH KLVWRU\ FXOWXUH DQG OLWHUDWXUHRIUDEELQLF-XGDLVPGXULQJWKHHUDRIHDUO\,VODPDUHQRZKHUHPRUH DSSDUHQW WKDQ LQ 35(¶V WKLUWLHWK FKDSWHU $JDLQ IROORZLQJ =XQ] KRZHYHU VXEVHTXHQWUHVHDUFK KDV IRFXVHGRQWKHWUDQVODWLRQDQGUHLQWHUSUHWDWLRQRIWKH ILJXUHRI,VKPDHODVDFLSKHUIRU-HZLVK,VODPLFUHODWLRQV7KLVFKDSWHUIRFXVHV XSRQ,VKPDHODQGKDVEHHQWKHSULPDU\WRSLFRIGLVFXVVLRQIRUWKHVFKRODUVRI -XGDLVPDQGHDUO\,VODP&KDSWHUWKLUW\LVWKHVRXUFHRIWKHJUHDWHVWDPRXQWRI HYLGHQFH DV ZHOO DV FRQWURYHUV\ ZLWK UHJDUG WR WKH UHODWLRQVKLS EHWZHHQ -XGDLVP DQG ,VODP ,Q DGGLWLRQ LW KDV DOVR EHHQ D IDFWRU LQ WKH FXUUHQW PLVFRQFHSWLRQDERXWWKHGHYHORSPHQWRIHDUO\JHRQLFLQWHUSUHWDWLRQGXULQJWKH KLVWRULFDO FLUFXPVWDQFHV RI ,VODPLF UXOH $V , DGGUHVV WKH FRQWDFW RI -XGDLVP ZLWKHDUO\,VODPWKDWLVHYLGHQFHGLQWKLVEULHIDSSHQGL[,ZLOOXQGHUVFRUHWKH LPSRUWDQFH WKDW DQ DSSUHFLDWLRQ RI 35(¶V KHUPHQHXWLF DQG VHPLRWLF FRPSOH[LW\PXVWKDYHIRUDQ\DVVHVVPHQWRI³SDUDOOHOV´RU³UHODWLRQV´EHWZHHQ 35( DQG ,VODPLF OLWHUDWXUH 0\ GLVFXVVLRQ ZLOO UHVSRQG WR WKH PRGHV RI VFKRODUO\ LQYHVWLJDWLRQ LQ WKH LVVXH DQG ZLOO LOOXPLQDWH WKH PHWKRGRORJLFDO IDLOLQJVRIHDUOLHUDQDO\VHVPRUHWKDQ,PLJKWSXUVXHDJHQHDORJLFDOGLVFXVVLRQ RIWKHWUDGLWLRQVWKHPVHOYHV ,QWKHKLVWRU\RI35(VFKRODUVKLSWKHZRUN¶VUHODWLRQVKLSWR,VODPDQGWKH HDUO\JHRQLFHUDZDVILUVWHVWDEOLVKHG RQ WKHEDVLV RI WZR SLHFHV RI HYLGHQFH ERWKGUDZQIURPWKLVFKDSWHUDQGERWKLQYROYLQJ,VKPDHO RU KLV GHVFHQGHQWV 7KH ILUVW OLQH RI HYLGHQFH ZDV KLVWRULFDO DQG FRQVLVWHG RI WKH ZRUN¶V UHIHUHQFHVWRWKH,VODPLFFRQTXHVWRI3DOHVWLQHDVDSUHFXUVRUWRWKHPHVVLDQLF HUD,QFKDSWHUWKLUW\35(OLVWV³ILIWHHQWKLQJVWKDWWKHFKLOGUHQRI,VKPDHOZLOO GR DW WKH HQG RI GD\V´ LQFOXGLQJ WKH PDNLQJ RI JHRJUDSKLFDO VXUYH\V RI WKH ODQG WKH UHEXLOGLQJ RI GHVWUR\HG FLWLHV DQG WKH FRQVWUXFWLRQ RI D EXLOGLQJ SUHVXPDEO\RQWKH7HPSOH0RXQW,QUHVSRQVHWKHQLQHWHHQWKFHQWXU\VFKRODU +HLQULFK *UDHW] DQG RWKHUV ZKR IROORZHG KLV OHDG VHL]HG XSRQ WKHVH DSRFDO\SWLF GHWDLOV LQ RUGHU WR SURYLGH D SUHFLVH DFFRXQW RI ZKHQ DQG ZKHUH WKHWH[WZDVZULWWHQ7KHFXOWXUDOFRQWH[WRIWKHZRUNZDVHVWDEOLVKHGRQWKH EDVLVRIWKHVHGHWDLOVVLQFHLWDSSHDUHGWRLQGLFDWHWKDWWKHFKLOGUHQRI,VKPDHO BBBBBBBBBBBB
,VKPDHO LV D UHIHUHQFH WR ,VODP´ $FFRUGLQJO\ , DFFHSW KHU FDXWLRQ DERXW WKH XWLOLW\ RI ,VKPDHORUWKH,VKPDHOLWHVDVDKHXULVWLFGHYLFHLQWKHGLVFXVVLRQEHORZ 6HHP\GLVFXVVLRQRIWKHVHVFKRODUV¶LGHRORJLFDORULHQWDWLRQVLQWKHILUVWFKDSWHUDERYH *UDHW]³'LHP\VWLVFKH/LWHUDWXU´
0LGUDVKDQG0XOWLSOLFLW\ ±ZKRPPHGLHYDOFRPPHQWDWRUVKDGDOUHDG\DVVRFLDWHGZLWK,VODP±KDGEXLOW WKH 'RPH RI WKH 5RFN E\ WKH WLPH WKDW 35( ZDV FRPSRVHG7KH PHQWLRQ RI WKLV,VKPDHOLWHEXLOGLQJRQWKH7HPSOH0RXQWWLHG35(WRWKH,VODPLFHUDDQG LQGLFDWHG WKH DGYHQW RI ,VODPLF UXOH ZLWKLQ WKH KLVWRULFDO LQIHUHQFH RI 35(¶V HVFKDWRORJ\ 6HFRQG DQG HTXDOO\ LPSRUWDQW LV WKH IDFW WKDW WKLV LV WKH ILUVW ZRUN WR H[KLELWDVKDUHGWUDGLWLRQZLWKWKHHDUO\LQWHUSUHWLYHZRUNVRI,VODP,QFKDSWHU WKLUW\35(UHFRXQWVWZRYLVLWVRI$EUDKDPWR,VKPDHOZKHUHDWRSKLVFDPHO KH HQFRXQWHUV KLV EDQLVKHG VRQ ,VKPDHO¶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µKRPLOHWLF¶UDEELQLFOLWHUDWXUHRIWKHFODVVLFDOSHULRGLQWRWKH µVFLHQWLILF¶ OLWHUDWXUH RI WKH PHGLHYDOSHULRG9LHZHGWKURXJKWKHOHQV RI WKLV FKDSWHU 35( GLG QRW VLPSO\ WHVWLI\ WR FRQWDFW EHWZHHQ -HZLVK DQG ,VODPLF LQWHUSUHWHUV ZLWKLQ WKH HQYLURQPHQW RI HDUO\ ,VODP 5DWKHU 35( FDPH WR EH VHHQDVDV\PEROLFUHSUHVHQWDWLRQRIWKHUHODWLRQVEHWZHHQ-XGDLVPDQG,VODP DQGDVDOLQNWKDWFRXOGH[SODLQWKHLQWHUSUHWLYHGHYHORSPHQWRI-XGDLVPIURP FXOWXUDO LVRODWLRQ WR ³-HZLVK$UDE V\PERVLV´ WR ERUURZ 6 ' *RLWHLQ¶V UHVRQDQW ODQJXDJH &KDSWHU WKLUW\ KDV JLYHQ ULVH WR PRUH VSHFXODWLYH FRQFOXVLRQVDERXWWKHOLWHUDU\KLVWRULFDODQGFXOWXUDOUHODWLRQVKLSRI-XGDLVPWR ,VODPDQGFDXVHGWUHPHQGRXVVLJQLILFDQFHWREHLQYHVWHGLQWKHGHWDLOVRIWKH
BBBBBBBBBBBB
6HH$YLYD6FKXVVPDQ³$EUDKDP¶VYLVLWVWR,VKPDHO±7KH-HZLVK2ULJLQVDQG2ULHQWDWLRQ´ 7DUEL] ± DQG KHU WKHVLV 6LSXUH KDQHYL¶LP EDPDVRUHW KD0XVOHPLW +HEUHZ8QLYHUVLW\IRUDQH[WHQVLYHOLVWRISDUDOOHOVEHWZHHQWKLVFKDSWHUDQG,VODPLF OLWHUDWXUH6HHWKHFULWLTXHRI6FKXVVPDQDQGRWKHUV¶UHDGLQJLQ%DNKRV,VKPDHO 6HH6'*RLWHLQ-HZVDQG$UDEV1HZ
35(DQGWKH5DEELQLF7UDGLWLRQ
SXUSRUWHG DXWKRU¶V ³DWWLWXGH´ WR ,VODP DOO RI ZKLFK LPSO\ WKDW 35( ZDV HPEOHPDWLFRIWKHUDEELQLFPRYHPHQW¶VUHVSRQVHWRWKHELUWKRIDJUHDWZRUOG UHOLJLRQ $V LQGLFDWHG DERYH GLVFXVVLRQ RI ,VODP DQG ,VODPLF OLWHUDWXUH¶V UHODWLRQVKLSWR35(DWSUHVHQWKDVEHHQPRUHFRQFHUQHGZLWKDUJXPHQWVDERXW WKH SDUDOOHO GHYHORSPHQW RI ,VODP DQG -XGDLVP WKDQ ZLWK UHFRJQLWLRQ RI WKH ZRUN¶V RZQ OLWHUDU\ DQG KHUPHQHXWLF GHYHORSPHQW ,W LV QR FRLQFLGHQFH IRU H[DPSOH WKDW /RXLV *LQ]EHUJ¶V FRQFOXVLRQV WKDW 35( LV PRGHOHG XSRQ ³WKH $UDELFFROOHFWLRQVRI%LEOLFDOOHJHQGVLQZKLFKQDUUDWLYHLVHPSKDVL]HGZKLOH DUDEELQLFPLGUDVKFHQWHUVLQWHUHVWXSRQPDWWHUVH[HJHWLFDO´KDVEHHQZLGHO\ WDNHQXSE\VFKRODUVRYHUWKHSDVWILIW\\HDUV*LQ]EHUJ¶VYLHZRI35(UHIOHFWV WKH IDYRULQJ RI W\SRORJLFDO H[SODQDWLRQV IRU 35( RYHU WKH DQDO\VLV RI LWV OLWHUDU\ DWWULEXWHV +LV VXUIDFH DSSUDLVDO RI 35( DV DQ DQWKRORJ\ RI VRXUFHV RYHUZULWWHQ E\ QDUUDWLYH YHU\ REYLRXVO\ VWHPV IURP WKH SUHYDLOLQJ YLHZV DERXWWKHFKDUDFWHURIWKH4XUDQDQG7DIVLU$EUDKDP*HLJHUZDVWKHILUVWWR DUJXH WKDW 0XKDPPDG FROOHFWHG DQ DQWKRORJ\ RI HDUO\ %LEOLFDO WUDGLWLRQV ZKLFK GXH WR KLV LOOLWHUDF\ ZHUH H[SUHVVHG DV QDUUDWLYH DQG QRW H[HJHVLV $FFRUGLQJ WR WKLV YLHZ 0XKDPPDG¶V LJQRUDQFH RI WKH DFWXDO%LEOLFDOWH[WLV UHIOHFWHG LQ WKH OLWHUDU\ PRGHO WKDW *HLJHU FODLPHG FRXOG EH IRXQG LQ WKH 4XUDQ 6LPLODUO\ *LQ]EHUJ FRQWHQGHG WKDW 35( IROORZV LQ WKH OLWHUDU\ IRRWVWHSV RI WKHVH HDUO\ ,VODPLF ZRUNV 35(¶V WUDQVPLVVLRQ RI UHFHLYHG WUDGLWLRQVDVQDUUDWLYHLQGLFDWHVWKH,VODPLFHQYLURQPHQWRIWKHZRUNDQGYLFH YHUVD 7KLV FLUFXODU DQG XQIRXQGHG DUJXPHQW JURZV RXW RI ORQJVWDQGLQJ SUHMXGLFHVDERXWWKHDXWKHQWLFLW\RI6FULSWXUDOVWRULHVZLWKLQ,VODP7KHVHVDPH SUHMXGLFHV KDYH LQIRUPHG WKH FKDUDFWHUL]DWLRQ RI WKH GHYHORSPHQW RI HDUO\ JHRQLFLQWHUSUHWDWLRQWKDWKDYHIRFXVHGXSRQWKHILJXUHRI,VKPDHO*LQ]EHUJ¶V DVVHVVPHQW RI 35( LV SURRI RI WKH GHJUHH WR ZKLFK VFKRODUV KDYH FRPH WR XQUHDVRQDEOH FRQFOXVLRQV DERXW WKH LPSOLFDWLRQV RI WKH ZRUN¶V KLVWRULFDO DQG OLWHUDU\FRQWDFWVZLWK,VODPDQGXQGHUVFRUHVWKHFRQWLQXLQJQHHGWRDVVHVVWKH FKDUDFWHURIWKHZRUNDQGHUDRQWKHEDVLVRIOLWHUDU\HYLGHQFHDQGQRWFXOWXUDO VWHUHRW\SHV 7KH LQFUHDVLQJ DWWHQWLRQ RQ FKDSWHU WKLUW\ DV WKH NH\ WR WKH UHODWLRQVKLS EHWZHHQ-XGDLVPDQGHDUO\,VODPKDVFDXVHGVFKRODUVWRUHGXFHWKHHQWLUHW\RI WKHOLWHUDU\DQGFXOWXUDOHYLGHQFHWRWKHH[SRVLWRUV¶DSSDUHQWXQGHUVWDQGLQJRI ,VKPDHO DV D V\PERO RI ,VODP *LYHQ WKDW WKH ODWH PHGLHYDO YLHZ LQ -XGDLVP BBBBBBBBBBBB
*LQ]EHUJ2Q-HZLVK/DZDQG/RUH *HLJHU -XGDLVP DQG ,VODP $V PHQWLRQHG DERYH *HLJHU¶V YLHZ ZDV WKDW WKH 4XUDQ WUDQVPLWV6FULSWXUDODQGUDEELQLFWUDGLWLRQVDV³QDUUDWLYHV«ZKLFKOLYHGPRVWO\LQWKHPRXWK RIWKHSHRSOH«DQGVXLWHGWKHFKLOGLVKOHYHORI>0XKDPPDG¶V@FRQWHPSRUDULHV´
0LGUDVKDQG0XOWLSOLFLW\ DQG,VODPWKDW,VKPDHOLVDQ DQFHVWRUDQGV\PEROIRU,VODP WKH IDFW WKDW WKH KLVWRULFDO HQYLURQPHQW RI WKH WLPH FDQ EH IRXQGHG XSRQ WKH ZRUN WKDW ³FKLOGUHQ RI ,VKPDHO´ SHUIRUP RQ WKH 7HPSOH 0RXQW DQG WKDW D WUDGLWLRQ FRPPRQWR35(DQGHDUO\7DIVLUGHVFULEHV,VKPDHO¶VUHODWLRQVKLSWRKLVIDWKHU LWLVQRP\VWHU\ZK\VFKRODUVKDYHIRFXVHGXSRQ,VKPDHO,QWKHDVVHVVPHQWRI /DWH 0LGUDVK DQG HDUO\ ,VODP WKH GLVFRYHU\ RI VR FDOOHG µSRVLWLYH¶ RU µQHJDWLYH¶ DWWLWXGHV WRZDUGV DQ\WKLQJ ,VKPDHOLWH KDV EHHQ FRQVLGHUHG VLJQLILFDQW IRU WKH KLVWRULFDO DQG OLWHUDU\ GHVFULSWLRQ RI UHODWLRQV EHWZHHQ -XGDLVP DQG ,VODP -RVHSK +HLQHPDQQ HYHQ VRXJKW WR XQFRYHU WKH UDWLRQDOH IRU WKH ZRUN¶V OLWHUDU\ VW\OH LQ WKH DXWKRUV¶ DWWLWXGH WRZDUGV ,VKPDHO WKXV GHPRQVWUDWLQJ WKH SHUYDVLYH LQIOXHQFH RI WKLV W\SRORJ\ XSRQ WKH DQDO\VLV RI 35(¶VFXOWXUDOOLWHUDU\DQGKHUPHQHXWLFIHDWXUHV 1HYHUWKHOHVV WKH GHFHSWLYH VLPSOLFLW\ RI D RQHWRRQH FRUUHVSRQGHQFH EHWZHHQ ,VKPDHO DQG ,VODP RU HYHQ EHWZHHQ WKH FKLOGUHQ RI ,VKPDHO DQG ,VODPEHOLHVWKHFRPSOH[LW\RI35(¶VH[HJHWLFDOQHJRWLDWLRQRI6FULSWXUHDQG HQFRXUDJHVDQXQVFLHQWLILFIRFXVXSRQWKHDWWLWXGHVRI-XGDLVPDQGHDUO\,VODP 7KH PHWKRGRORJLFDO DQG SUDFWLFDO GLIILFXOW\ RI WKLV HPSKDVLV XSRQ WKH V\PEROLFYDOXHRI,VKPDHOLVDSSDUHQWLQWKHH[DPSOHEHORZ ZKLFK ZLOOOHDG XV WKURXJK WKH QDUUDWLYH RI +DJDU DQG ,VKPDHO¶V H[SXOVLRQ $EUDKDP¶V UHFRQFLOLDWLRQ ZLWK +DJDU DQG ,VKPDHO DQG WKHQ LQWR WKH HVFKDWRORJLFDO MXGJPHQWRI,VKPDHO¶VFKLOGUHQDWWKHHQGRIGD\V,QWKHGLVFXVVLRQRIFKDSWHU WKLUW\ WKHUH KDV EHHQ QR GHWDLOHG H[DPLQDWLRQ RI WKH IROORZLQJ VHFWLRQV 7KH SDVVDJHUHDGV
%HQ=RPDVD\V³6DUDKVDLGWR$EUDKDPµ*HWXSDQGZULWHDGRFXPHQWRI GLYRUFHVRWKDW\RXPD\VHQGIRUWKWKLVPDLGVHUYDQWDQGKHUVRQIURPPHDQG IURP,VDDFP\VRQ±IURPWKLVZRUOGDQGIURPWKHZRUOGWRFRPH¶±>$@QG RI DOO WKH HYLOV WKDW EHIHOO $EUDKDP WKLV PDWWHU ZDV PRVW HYLO RI DOO DV 6FULSWXUH VWDWHV µ$QG WKLV PDWWHU DV YHU\ HYLO LQ $EUDKDP¶V H\HV¶ *HQ « $EUDKDP JRW XS HDUO\ LQ WKH PRUQLQJ DQG ZURWH D GRFXPHQW RI GLYRUFH IRU WKLVPDLGVHUYDQWDQGIRUKHUVRQDV6FULSWXUHVWDWHVµ$QG$EUDKDPJRWXS HDUO\LQWKHPRUQLQJDQGKHWRRNEUHDGDQGDIODVNRIZDWHU¶*HQ DQG
BBBBBBBBBBBB
6RPHYHUVLRQVUHIHUWR%HQ7HPD,QWKLVVHFWLRQP\ZRUNZLOOSULPDULO\FRPSDUHP\EDVH PDQXVFULSWZLWK5DFKHO$GHOPDQ¶VDOWHUQDWLYHV>LQ3RHWLFVRI7LPHDQG6SDFH@IRXQG LQKHU³GLSORPDWLF(GLWLRQ´RIWKLVFKDSWHU,ZLOORQO\QRWHPDMRUGLIIHUHQFHVLQWKLVVHFWLRQ $VQRWHGE\$GHOPDQ³GLIIHUHQWYHUVLRQVDGGµDQGKHVHQWKHUIRUWKIURPKLPVHOIDQGIURP KLVVRQIURPWKLVZRUOGDQGIURPWKHQH[W¶´
35(DQGWKH5DEELQLF7UDGLWLRQ
KHVHQWKHUIRUWKZLWKDDGRFXPHQWRIGLYRUFHEXWKHWRRND>YHLO"@DQGWLHG LWWRKHULQRUGHUWKDWLWZRXOGGUDJEHKLQGKHU« $QG DIWHU WKH GHDWK RI 6DUDK $EUDKDP VHQW IRUWK LQ RUGHU WR WDNH EDFN KLV GLYRUFHGRQHDV6FULSWXUHVWDWHVµ$QG $EUDKDPUHVXPHGWRWDNH>KHU@DVD ZLIHDQGKHUQDPHZDV>QRZ@.HWXUDK¶*HQ $QGZK\GRHV6FULSWXUH VWDWH KHUH µDQG KH UHVXPHG¶" +H UHVXPHG FRQMXJDO UHODWLRQV VLQFH WKH ILUVW WLPH WKDW VKH ZDV KLV ZLIH µ>$@QG KHU QDPH ZDV .HWXUDK¶ ± >WKLV ZDV KHU QDPH EHFDXVH@ VKH ZDV PRUH IUDJUDQW WKDQ DOO YDULHWLHV RI VSLFHV $QRWKHU LQWHUSUHWDWLRQµ>$@QGKHUQDPHZDV.HWXUDK¶±>WKLVZDVKHUQDPHEHFDXVH@ KHUGHHGVZHUHSOHDVDQWOLNHSHUIXPH$QGVKHJDYHELUWKWRVL[VRQVDQGDOO RIWKHPZHUHFDOOHGE\WKHQDPHRI,VKPDHODV6FULSWXUHVWDWHVµ>$@QGVKH JDYHELUWKWR=LPUDQ¶*HQ $QGOLNHDZRPDQZKRLVVHQWIRUWKIURPKHUKXVEDQGWKXV$EUDKDPVWRRG DQGVHQWWKHPIRUWKIURPWKLVZRUOGDQGIURPWKHZRUOGWRFRPHDV6FULSWXUH VWDWHVµ>)@RUWKHFKLOGUHQRI$EUDKDP¶VFRQFXELQHV$EUDKDPJDYHJLIWVDQG VHQWWKHPIRUWK¶*HQ ±E\PHDQVRIDGRFXPHQWRIGLYRUFH .HGDU LV FDOOHG ,VKPDHO¶V VRQ RQ KLV DFFRXQW DV 6FULSWXUH VWDWHV µ>$@QG WR .HGDUDQGWRWKH.LQJGRPRI+DW]RUWKDW1HEXFKDGH]]DUNLQJRI%DE\ORQ VWUXFN WKXV WKH /RUG VD\V ³*R XS DJDLQVW .HGDU DQG VSRLO WKH FKLOGUHQ RI .HGHP´¶-HU $QG>,VKPDHO¶V@FKLOGUHQDUHWKHFKLOGUHQRI.HGHPDV 6FULSWXUHVWDWHVµ>7@KHFKLOGUHQRI.HGHPRI$PPRQLWHV,ZLOOJLYHWKHPDV D SRVVHVVLRQ >WKDW WKH FKLOGUHQ RI $PPRQ PD\ QRW EH UHPHPEHUHG DPRQJ WKHQDWLRQV@¶(]HN $QGWKH.HQLWHVZKRZHUHQRWWKRVHFXWRIILQWKH JHQHUDWLRQRIWKHIORRGEXWUDWKHU>ZHUH@FDOOHG>.HQLWHV@GXHWRWKHQDPHRI &DLQ¶V GRPDLQ DQG DV VXFK ZHUH FDOOHG WKH .HQLWHV DV 6FULSWXUH VWDWHV µ1HYHUWKHOHVV.DLQZLOOEHFRQVXPHG¶XQWLOZKDWKDSSHQV"µ>8QWLO@$VVKXULV \RXUVHWWOHPHQW¶1XP 7KHQDWLRQWREHFRQVXPHGE\ILUHZLOOEHWKH VHHGRI,VKPDHOVLQFHWKHLUVHWWOHPHQWLVWKDWRIWKHNLQJVRI$VVKXU%LODDP VDLGµ>7@KH+RO\2QHEOHVVHGEH+HFUHDWHGVHYHQW\>QDWLRQV@LQWKHZRUOG DQGIURPKLPKHRQO\JDYHKLV QDPH(OWR,VUDHODQG,VKPDHODV6FULSWXUH VWDWHV³>$@QGKHFDOOHGKLVQDPH,VKPDHO´¶*HQ DQGVLQFHWKH+RO\ 2QHEOHVVHGEH+HFRPSDUHGWKHQDPHRI,VKPDHOWRWKHQDPHRIWKHQDPH RI,VUDHOZRHXQWRKLPZKRZLOOOLYHLQKLVGD\VDV6FULSWXUHVWDWHVµ$QGKH WRRNXSKLVSDUDEOHDQGKHVDLG³:RHXQWRKLPZKRZLOOOLYHZKHQKLVQDPH LV(O´¶´1XP
,WLVFHUWDLQO\SRVVLEOHEDVHGRQWKLVSDVVDJHWRUDLVHWKHTXHVWLRQRIZKHWKHU WKH OLWHUDU\ DQG V\PEROLF UHSUHVHQWDWLRQV RI ,VKPDHO DQG KLV GHVFHQGHQWV LQ BBBBBBBBBBBB
$VQRWHGE\$GHOPDQWKLVZRUGKDVPDQ\YDULDQWV±VXFKDVʸʥʣʸʣʤʣʩʣʸʤʣʩʡʸʤDQGRWKHU YDULDQWV , KDYH QRW VHHQ DQ\ YDULDWLRQV LQ P\ HGLWLRQV RU KHU YHUVLRQ WKDW ZDUUDQW FULWLFDO FRPPHQWDU\KHUH
0LGUDVKDQG0XOWLSOLFLW\ 35( FDQ IXQFWLRQ DV DQ LQGHSHQGHQW WRRO WR XQGHUVWDQG WKH LQWHUUHODWLRQVKLS EHWZHHQHDUO\JHRQLF-XGDLVPDQGHDUO\,VODP
35(DQGWKH5DEELQLF7UDGLWLRQ
,VDDF¶VGHVWLQ\:LWKVXFKGUDPDWLFUHYHUVDOVZHVKRXOGDVNZK\ZRXOG35( ZLVKWRNHHSEULQJLQJ,VKPDHOEDFNLQWRIDYRURQO\WRUHGXFHKLPWRUHSHDWHG H[SXOVLRQ" :K\ ZRXOG WKH WH[W ZLVK WR FRPSOLFDWH WKH LVVXH RI ,VKPDHO DQG ,VODP E\ SLOLQJ RQ VR PDQ\ QLFNQDPHV IRU WKHVH FKDUDFWHUV" ,W VHHPV WKDW WZLVWV DQG WXUQV RI WKLV SDVVDJH FOHDUO\ EHWWHU VHUYH WKH UHODWLRQVKLS EHWZHHQ YHUVHVRI*HQHVLVWKDQIRUPDQ\FRKHUHQWVWDWHPHQWRI-XGDLVP¶VUHODWLRQVKLS WRHDUO\,VODPRUVLJQWKDW35(PXVWDFNQRZOHGJHLWVUHODWLRQVKLSZLWK,VODPLF OLWHUDWXUH ,I,VKPDHOFRUUHVSRQGVWR,VODPLQ35(DVLVFRPPRQO\KHOGWKHSDVVDJH WKDWIROORZVSUHVHQWVDQHYHQPRUHSHFXOLDUDPSOLILFDWLRQRI,VKPDHO¶VVKLIWLQ LGHQWLW\ HYHQ LI WKH PHVVDJH RI DQ DSRFDO\SWLF HQG IRU ,VKPDHO¶V FKLOGUHQ LV WKHFOHDUVXEWH[W:HKDYHMXVWVKRZQWKDWWKHGRFXPHQWRIH[SXOVLRQDSSOLHV WR+DJDU,VKPDHODQGDOORIWKHLUGHVFHQGHQWVRQWKHEDVLVRIWKHUHODWLRQVKLS EHWZHHQ*HQDQG*HQ DQGWKDWWKHEURDGGHILQLWLRQRI,VKPDHO¶V GHVFHQGHQWVDUHGHULYHGIURPWKHYDULHW\RIDOLDVHVDQGYHUVHV7KHSURGXFWLRQ RI YHUVHV DQG DOLDVHV DERYH DUH DSSOLHG WR +DJDU DV ZHOO 1RZ ZH HQFRXQWHU PRUH DOLDVHV DQG YHUVHV ZKLFK DSSO\ WR ,VKPDHO DQG KLV GHVFHQGHQWV 35( DVNV:KRDUHWKHVRQVRI,VKPDHO"7KH\DUHWKHFKLOGUHQRI.HGDU7KH\DUH WKHFKLOGUHQRIWKHHDVWRUWKH%HQHL.HGHP7KH\DUHWKH.HQLWHV35(OLVWVD VHULHVRI%LEOLFDOYHUVHVWKDWFRUUHVSRQGWRWKHJHQHDORJ\RI,VKPDHO¶VFKLOGUHQ SURYLGHG LQ *HQ DQG LQ , &KU FKDSWHU RQH DQG WKDW VSHFLI\ VLPLODU IDWHV IRU WKHVH GHVFHQGHQWV LQ RUGHU WR H[SODLQ WKH DVVRFLDWLRQ RI ,VKPDHO¶V FKLOGUHQ ZLWK WKH GHFUHH 7KLQNLQJ W\SRORJLFDOO\ ZH PXVW DVN +DYH ZH QRW DOUHDG\ HVWDEOLVKHG WKH ZRUN¶V QHJDWLYH DWWLWXGH WRZDUGV WKH FKLOGUHQ RI ,VKPDHO" 'R ZH QRW DOUHDG\ NQRZ WKDW DOO RI WKH VRQV RI ,VKPDHO KDYH EHHQ VHQWIRUWKIURPWKLVZRUOGDQGWKHZRUOGWRFRPHZLWKDGRFXPHQWRIGLYRUFH" :KDWLVWKHSXUSRVHRIWKLVGLVFXVVLRQ" $V ZLWK WKH S\URWHFKQLFV RI QLFNQDPHV DQG 6FULSWXUDO YHUVHV ZKLFK H[SHOOHG +DJDU UHGHHPHG KHU DV .HWXUDK DQG H[SHOOHG KHU DJDLQ DV D FRQFXELQHWKHUDWLRQDOHIRUWKHVHVXEGLYLVLRQVZLWKLQWKHLGHQWLW\RI,VKPDHO¶V FKLOGUHQ LV IRXQG LQ LWV ZRUN ZLWK 6FULSWXUH 7KH LQQHUFDQRQLFDO ZRUN RI OLQNLQJ SDVVDJHV ZLWK 6FULSWXUH JXLGHV 35( WRZDUGV LWV UHSUHVHQWDWLRQV RI +DJDU DQG VR WRR 35( FRQVLGHUV WKH SDWK RI WKHVH 6FULSWXUDO YHUVHV WR LOOXPLQDWH ,VKPDHO 7KH NH\ WR WKH SDVVDJH OLHV LQ WKH FLWDWLRQ RI WZR FRQVHFXWLYHYHUVHVIURP%LODDP¶VSDUDEOHRI1XP±ZKLFKSURYLGHD IUDPHZRUNIRUWKHHQWLUHGLVFXVVLRQRIWKHH[SXOVLRQDQGUHGHPSWLRQRI+DJDU DQG,VKPDHO7KHH[SRVLWRUVZLVKWRFRQQHFWWKHODQGVWRWKHHDVWWKHSODFHWR ZKLFK WKH FKLOGUHQ RI +DJDU WKH FRQFXELQH DUH H[SHOOHG LQ *HQHVLV ZLWK ,VKPDHO¶V FKLOGUHQ ZKR RFFXS\ WKHVH ODQGV LQ WKHVH 6FULSWXUDO YHUVHV ,Q LWV
0LGUDVKDQG0XOWLSOLFLW\ PLGUDVKLF UHDGLQJ RI %LODDP¶V SURSKHF\ 35(¶V H[SRVLWRUV RIIHU DQ DOWHUQDWH UHDGLQJRIWKH0DVVRUHWLFWH[WRIWKH%LEOH:KHUHDVWKH0DVVRUHWLFWH[WUHDGV ˖ʕ ˎʓ ˇʑ ʍ ˢʸ˒ˉˋʤʕʮʣʔʲʯʑʩʷʕ ʸʒʲʡʕ ʬʍ ʤʓʩʤʍ ʑʩʭʠʩʫRU³,I&DLQLVWREHFRQVXPHGKRZPXFK ORQJHU" 8QWLO $VKXU WDNHV \RX FDSWLYH´ 35( LQWHUSUHWV WKLV YHUVH DV DQ DOOXVLRQWRWKHHYHQWXDORFFXSDWLRQRI$VKXUE\WKHGHVFHQGHQWVRI,VKPDHOVR WKDW WKH WH[W UHDGV ³$VKXU LV \RXU VHWWOHPHQW´ ± WKDW LV $VKXU 7RVKYHFKD DQG QRW7LVKYHFKD7KLVLVVLJQLILFDQWVLQFHWKHQH[WYHUVHLVDOVRUHYRFDOL]HGLQWKH ZRUN¶V PLGUDVKLF UHUHDGLQJ 7KLV YHUVH UHDGV ʬʒʠ ˣʮˊʑ ʗ ʮ ʤʓʩʧʍ ʑʩ ʩʑʮ ʩˣʠ LQ WKH 0DVVRUHWLF7H[W³:RHXQWRKLPZKRZLOOOLYHZKHQ*RGKDVDSSRLQWHGKLP´ UHIHUULQJ WR $VKXU ,Q FRQWUDVW 35( UHQGHUV WKH YHUVH ³:RH XQWR KLP ZKR ZLOOOLYHZKHQKLVQDPHLV(O´WKDWLV0¶VKPR(ODQGQRW0¶6XPR(O7KHVH UHYRFDOL]DWLRQV RI %LODDP¶V SURSKHF\ OHDG WR WKH ZRUN¶V FRQFOXVLRQ D WKHPH WKDW ZLOO EH WDNHQ XS DJDLQ LQ WKH WKLUW\VHFRQG FKDSWHU RI 35( WKH GHVFHQGHQWV RI ,VKPDHO EHQHILW DV GRHV ,VUDHO IURP *RG¶V FKRRVLQJ WR JLYH WKHP WKH GLYLQH QDPH 7KHVH ILQDO WKRXJKWV VSRNHQ WKURXJK WKH PRXWK RI %LODDP SURYLGH D FRQWH[W LQWR ZKLFK WKH HQWLUHW\ RI WKH ZRUN¶V GLVFXVVLRQ DERXW ,VKPDHO FDQ EH XQGHUVWRRG 7KH WZLVWV DQG WXUQV LQ WKH ZRUN¶V HQXPHUDWLRQRIWKHFKLOGUHQRI,VKPDHODUHLQWHQGHGWRHVWDEOLVKWKHLGHQWLW\RI WKHVH QDWLRQV RI WKH HDVW ± EXW RQO\ LQVRIDU DV WKHVH HQXPHUDWLRQV OHDG XV WRZDUGV WKH H[SRVLWRUV¶ LQYHVWPHQW RI WKH SRZHU RI ,VKPDHO DQG KLV GHVFHQGHQWVLQWKHSURSKHF\RI%LODDP:HGRQRWOHDUQDERXWWKHFKLOGUHQRI ,VKPDHO EHFDXVH 35( ZLVKHV WR UHYLHZ WKH JHQHDORJLFDO OLVWV RI *HQHVLV DQG &KURQLFOHV7KHUHLVQRQHHGIRU35(WRUHKHDUVH,VKPDHO¶VIDPLO\WUHH2QWKH FRQWUDU\ WKH ZRUN ZLVKHV WR JURXQG WKH LGHQWLW\ RI ,VKPDHO ZLWKLQ WKH UHODWLRQVKLS EHWZHHQ D VHULHV RI UHODWHG 6FULSWXUDO YHUVHV YHUVHV ZKLFK OHDG IURPWKHVHJHQHDORJLHVLQWRWKHIXQGDPHQWDOTXDOLW\DQGGLIIHUHQFHWKDWH[LVWV IRU ,VKPDHO DV DW RQFH H[SHOOHG DQG H[DOWHG EXW QRQHWKHOHVV VLPXOWDQHRXVO\ HYLGHQW LQ WKH H[HJHWLFDO SRVVLELOLWLHV LQ WKH LQQHUFDQRQLFDO FKDUDFWHU RI UDEELQLFDQG6FULSWXUDOZRUNV $V WKH SDVVDJH GHPRQVWUDWHV WKH SDWK ZKLFK OHDGV IURP ,VKPDHO¶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¶VV\PEROLFYDOXHDV,VODPLQ35( ZLWKGXHFDXWLRQ:HUHLWWKHFDVHLWZRXOGUHSUHVHQWDYDVWRYHUVLPSOLILFDWLRQ
35(DQGWKH5DEELQLF7UDGLWLRQ
RIWKHZRUN¶VLQYHVWPHQWLQWKH6FULSWXUDOZRUOGSDUWLFXODUO\DVWKLV6FULSWXUDO ZRUOGVKDSHVWKHUDEELQLFDQGSKHQRPHQDOZRUOG7KHH[SRVLWRUVKHUHDUHQRW XVLQJ,VKPDHOLQRUGHUWRH[SUHVVWKHLUIHHOLQJVDERXWWKHULVHRI,VODP±LQWKH PLGUDVKLF UHDGLQJ RI 6FULSWXUH ZH FDQQRW ILQG WKLV VRUW RI RQHWRRQH FRUUHVSRQGHQFH 2Q WKH FRQWUDU\ WKH PRYHPHQW RI WKHVH SDVVDJHV WKURXJK DOLDVHV DQG H[HJHVLV GHPRQVWUDWHV WKDW WKH H[SRVLWRUV SHUIRUP DQ H[FKDQJH ZLWK 6FULSWXUDO ODQJXDJH ± WKDW WKH\ GHULYH PRUH DERXW ,VKPDHO IURP WKH LQWHUDFWLRQRI6FULSWXUDOYHUVHVDQGWKHLUH[HJHWLFDOSRVVLELOLWLHVWKDQWKHXVHRI ,VKPDHODVDYHKLFOHWRH[SUHVVWKHLUYLHZVDERXW,VODP:KDWWKHW\SRORJLFDO LQWHUSUHWDWLRQRIWKLVHSLVRGHODFNVLVDQXQGHUVWDQGLQJRI35(¶VLQYHVWPHQWLQ UDEELQLF DQG 6FULSWXUDO ODQJXDJH DQG WKH ZRUN¶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¶VVKDUHGWUDGLWLRQVKLVWRU\DQGOLWHUDU\H[SUHVVLRQVLQFHLWLVRQWKLV EDVLV WKDW ZH PD\ EH DEOH WR LOOXPLQDWH RXU XQGHUVWDQGLQJV RI WKH LQQHU ZRUNLQJVRIPLGUDVKDVDZKROH7KLVLVRQHH[SODQDWLRQIRUP\ZRUN¶VIRFXV XSRQ 35(¶V UHODWLRQVKLS WR UDEELQLF OLWHUDWXUH ZH FDQ RQO\ XQGHUVWDQG WKH RULHQWDWLRQ RI WKH ZRUN WRZDUGV WKH H[WHUQDO ZRUOG LI ZH DUH FOHDU DERXW WKH ZRUN¶V RZQ KHUPHQHXWLF RULHQWDWLRQ DQG LWV PRUSKRORJ\ RI UHFHSWLRQ BBBBBBBBBBBB
$JDLQ,GLYHUJHIURP%DNKRV¶KHOSIXOGLVFXVVLRQRIWKHVHSDVVDJHVLQZKLFKVKHULJKWIXOO\ DVVHUWVWKHLPSRUWDQFHRIWKHLQWHUQDOVLJQLILFDQFHRIWKHVHILJXUHVEXWRQWKHEDVLVRI-HZLVK LGHDV RI ³FKRVHQQHVV´ )XUWKHUPRUH WKH FUX[ RI KHU DUJXPHQW LV WKDW WKHUH LV D GHHSHQLQJ DQWDJRQLVP WKDW LV PRUH SUHYDOHQW LQ 35( WKDQ RWKHU ZRUNV ZKLFK LQ OLJKW RI RWKHUUHPDUNVDSSHDUVWRODFNWKHFRQVLVWHQF\QHFHVVDU\WRDSSO\WKLVGHYLFHWKURXJKRXWWKH ZRUN,I³WKLVGRHVQRWLPSO\WKDWHYHU\PHQWLRQRI,VKPDHOLVDUHIHUHQFHWR,VODP´ZHODFN DFRQVLVWHQWFULWHULDWRMXGJHZKHQDQGZKHUHWKHSULQFLSOHDSSOLHV
0LGUDVKDQG0XOWLSOLFLW\ WUDQVPLVVLRQ DQG WUDQVIRUPDWLRQ RI WH[WXDO WUDGLWLRQV DQG WKH SKHQRPHQDO ZRUOG
&RQFOXVLRQ
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±SDUWLFXODUO\DVIDUDVZHFDQVSHDNDERXWGHYHORSPHQWLQWKHKLVWRU\ RI UDEELQLF LQWHUSUHWDWLRQ :LWKRXW D FOHDU QRWLRQ RI ZKDW FRQVWLWXWHV GHYHORSPHQW±ZKHWKHUIURPRQHHUDWRDQRWKHURUIURPRQHWH[WWRDQRWKHU± ZH FDQQRW UHFRJQL]H ZKDW LV ³PLGUDVK´ ZKDW LV ³UDEELQLF´ RU HYHQ ZKDW LV ³-HZLVK´ ,QWKHSUHVHQWVWXG\,KDYHIUDPHGWKHTXHVWLRQDVIROORZV:KDWZLWKLQ WKHEURDGVFRSHRIUDEELQLFOLWHUDWXUHDQG%LEOLFDOLQWHUSUHWDWLRQPDNHVDZRUN VXFK DV 35( D ³PLGUDVK´" 0\ DWWHPSW DW DQ DQVZHU WR WKLV TXHVWLRQ UHVLGHV ZLWKLQP\PHWKRGWRGLVFRYHUWKHZD\WKDW35(KDVUHFHLYHGWUDQVPLWWHGDQG WUDQVIRUPHGUDEELQLFLQWHUSUHWDWLRQ7KLVFRQIOXHQFHRIUHFHSWLRQWUDQVPLVVLRQ DQGWUDQVIRUPDWLRQ,KDYHFDOOHG³WUDGLWLRQEXLOGLQJ´DQXPEUHOODWHUPZKLFK GHQRWHV WKH ZRUN¶V HQJDJHPHQW ZLWK WKH LQWHUSUHWLYH VRFLDO SROLWLFDO DQG P\WKLFZRUOGRIFODVVLFDOUDEELQLFOLWHUDWXUH7KHIXQGDPHQWDOLGHDEHKLQGP\ VWXG\LVWRLOOXPLQDWHWKHZRUN¶VSRLQWVRIFRQWDFWZLWKWKHFODVVLFDOWUDGLWLRQ ZKLFK ZH LGHQWLI\ DV ³PLGUDVK´ LQ RUGHU WR VHH KRZ 35( FRQFHLYHV DQG UHFRQFHLYHVWKHWUDGLWLRQRIFODVVLFDOUDEELQLFLQWHUSUHWDWLRQ2QO\DJDLQVWWKLV WUDGLWLRQDO EDFNJURXQG FDQ ZH XQGHUVWDQG 35(¶V SODFH ZLWKLQ WKH WUDGLWLRQ DQGRQO\RQWKHEDVLVRIFORVHWH[WXDODQDO\VLVFDQZHXQGHUVWDQGZKDWPLGUDVK PHDQVGXULQJWKHHDUO\JHRQLFHUD $V , DSSO\ WKLV PHWKRG WR 35(¶V UHFHSWLRQ WUDQVPLVVLRQ DQG WUDQVIRUPDWLRQRIFODVVLFDOUDEELQLFLQWHUSUHWDWLRQ,DVVHVVWKHZRUN¶VUHVSRQVH WRERWK6FULSWXUDODQGUDEELQLFWUDGLWLRQV:HPXVWILUVWUHFRJQL]HWKDW35(LV SULPDULO\FRQFHUQHGZLWKWKHPHDQLQJRI6FULSWXUH35(FDQRQO\EHDPLGUDVK LIZHFDQGHPRQVWUDWHWKDWWKHZRUNDWWHQGVWR WKHWKHRORJLFDOHWKLFDOVRFLDO DQGP\WKLFPHDQLQJRI6FULSWXUH1HYHUWKHOHVVZHFDQDOVRRQO\UHFRJQL]HWKH ZRUN DV PLGUDVK LI LW UHIOHFWV UDEELQLF LQWHUSUHWLYH FXOWXUH WKDW LV LI LW SDUWLFLSDWHVLQWKHWUDGLWLRQVODQJXDJHDQGKHUPHQHXWLFDOVWUDWHJLHVRIFODVVLFDO
0LGUDVKDQG0XOWLSOLFLW\ UDEELQLF OLWHUDWXUH 7R EHJLQ WR DQVZHU WKLV TXHVWLRQ LW LV QHFHVVDU\ WR LQYHVWLJDWH 35(¶V UHODWLRQVKLSV ZLWK 6FULSWXUDO ODQJXDJH DQG WUDGLWLRQV DQG ZLWKWKHUDEELQLFXQGHUVWDQGLQJDQGUHSUHVHQWDWLRQRI6FULSWXUHWKDWLVIRXQGLQ FODVVLFDOPLGUDVK $V , KDYH H[SORUHG WKH H[HPSOD RI 35(¶V LQWHUDFWLRQ ZLWK WKLV WZRIROG WUDGLWLRQ,KDYHGHILQHGWKHZRUN¶VFKDUDFWHUDVH[SOLFLWO\LQQHUFDQRQLFDO%\ WKHWHUP³LQQHUFDQRQLFDO´,PHDQWKHUDEELQLFXQGHUVWDQGLQJRIPLGUDVKDVD ZD\ RI ³OLQNLQJ 6FULSWXUH WR 6FULSWXUH´ IDPRXVO\ LWHUDWHG LQ /HYLWLFXV 5DEED
%HQ $]]DL ZDV VLWWLQJ DQG LQWHUSUHWLQJ DQG WKH ILUH UDJHG DURXQG KLP >+LV VWXGHQWV@ GHSDUWHG DQG VDLG WR 5 $NLYD ³%HQ $]]DL LV VLWWLQJ DQG LQWHUSUHWLQJDQGWKHILUHUDJHVDURXQGKLP´+HZHQWWRKLPDQGVDLG³/HVW \RX DUH RFFXS\LQJ \RXUVHOI ZLWK WKH FKDSWHUV RI WKH 0HUNDEDK´ +H VDLG WR KLP ³1R ± UDWKHU , DP PHUHO\ VWULQJLQJ WKH ZRUGV RI WKH 7RUDK WR WKH 3URSKHWV DQG WKH ZRUGV RI WKH 3URSKHWV WR WKH :ULWLQJV DQG WKH ZRUGV RI 7RUDK DUH UHMRLFLQJ OLNH WKH GD\ WKH\ ZHUH JLYHQ IURP 6LQDL ± DQG LV LW QRW HVVHQWLDOWKDWZKHQWKH\ZHUHJLYHQIURP6LQDLWKH\ZHUHJLYHQE\ILUH"$V 6FULSWXUH VWDWHV µ$QG WKH PRXQWDLQ EXUQHG E\ ILUH XQWLO WKH KHDUW RI WKH KHDYHQV¶´'HXW
7KLV WUDGLWLRQ XQGHUVFRUHV WKH ERQG EHWZHHQ WKH UHYHODWRU\ PRPHQW DW 6LQDL DQGWKHUDEELQLFLQWHUSUHWLYHHQWHUSULVHGLVWDQWLQWLPHEXWXQLWHGLQSXUSRVH 7KH PRPHQWRIUHYHODWLRQDV,XQGHUVWDQGLWLVSUHVHQWLQWKHLQQHUFDQRQLFDO PHWKRG DQG LV SUHVHQW LQ WKH LQWHUSUHWLYH OLQNV WKDW DUH PDGH ZLWKLQ WKH 6FULSWXUDO WH[W $V D PLGUDVK 35( FRQWLQXHV WKLV QREOH WUDGLWLRQ H[SDQGLQJ DQG GHHSHQLQJ WKH H[HJHWLFDO SRVVLELOLWLHV WKDW OLH ODWHQW ZLWKLQ 6FULSWXUDO ODQJXDJH 7KH ZRUN¶V H[SRVLWRUV GR SURYLGH D FORVH DQDO\VLV RI 6FULSWXUDO ODQJXDJH
&RQFOXVLRQ
UDEELQLF OLWHUDWXUH 7KH FODVVLFDO UDEELQLF XQGHUVWDQGLQJ RI 6FULSWXUH LWVHOI SURYLGHV WKH RSSRUWXQLW\ IRU QHZ IRUPV RI WUDGLWLRQ EXLOGLQJ LQ ZKLFK WKH LQWHUSUHWLYH DFW FDQ FRUUHODWH EHWZHHQ GLVWLQFWO\ UDEELQLF LGHDV 35(¶V H[SRVLWRUV DUWLFXODWH WKHVH FODVVLFDO UDEELQLF LGHDV ZLWKLQ WKH LQWHUSUHWLYH SURFHVV DQG WKLV SURFHVV RI WUDGLWLRQ EXLOGLQJ LV WKH YHKLFOH RI LQWHUSUHWDWLRQ ZLWKLQWKHZRUN7KHLQQHUFDQRQLFDOSURFHVVRIFODVVLFDOUDEELQLFOLWHUDWXUHLV VLJQLILFDQWO\WUDQVIRUPHGLQ35(DQGLVLQP\YLHZWDNHQXSLQWKH=RKDUDQG RWKHU.DEEDOLVWLFOLWHUDWXUH 35(¶V LQQRYDWLYH UHFRQFHSWLRQ RI UDEELQLF LQWHUSUHWDWLRQ LV HPERGLHG ZLWKLQ LWV ³FOXVWHUV´ RI LQWHUSUHWDWLRQ 7KHVH FOXVWHUV HPHUJH RXW RI WKH H[SRVLWRUV¶ LQQHUFDQRQLFDO ZRUN RI WUDGLWLRQ EXLOGLQJ DQG FKDUDFWHULVH WKH QHZLQWHUSUHWLYHDSSURDFKWRUHFHLYHGWUDGLWLRQVWKDWFDQEHIRXQGLQWKHZRUN FODVVLFDO UDEELQLF LQWHUSUHWLYH WHFKQLTXHV DUH IRXQG LQ 35( EXW WKHVH ³FOXVWHUV´VLJQLI\WKH ZRUN¶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¶VLGHQWLW\ZLWKUHVSHFW WRWKHUDEELQLFFDQRQDVZHOODVLWVGHYHORSPHQWRIWKHGLVFRXUVHDQGVWUDWHJLHV RIWKLVOLWHUDWXUH0\ILQGLQJVKHUHUDLVHWKHFHQWUDOTXHVWLRQRIWKHZRUN¶VUROH LQWKHKLVWRU\RIUDEELQLFLQWHUSUHWDWLRQ7KHLVVXHLVQRWRQO\35(¶VUHFHSWLRQ WUDQVPLVVLRQ DQG WUDQVIRUPDWLRQ RI FODVVLFDO UDEELQLF OLWHUDWXUH KRZHYHU 2Q WKH FRQWUDU\ ZH PD\ FDUU\ WKH TXHVWLRQ IXUWKHU :KDW LV WKH PRUSKRORJ\ RI ³WUDGLWLRQ EXLOGLQJ´ RI UDEELQLF OLWHUDWXUH LQ KHUPHQHXWLF KLVWRULFDO DQG WKHRORJLFDOWHUPV",Q35(WKHDQVZHUOLHVLQLWVHIIRUWVWRDVVHVVWKHSODFHRI 6FULSWXUDODQGUDEELQLFWUDGLWLRQVZLWKLQWKHSKHQRPHQDOZRUOGDQGWRJUDSSOH ZLWKWKHUHODWLRQVKLSEHWZHHQDWUDGLWLRQRILQWHUSUHWDWLRQDQGWKHODQJXDJHRI 6FULSWXUH7KHZRUNDKHDGLQP\YLHZLVWRHOXFLGDWHWKHDUFRIWKLVDFWLYLW\ ZLWKLQWKHKLVWRU\RIUDEELQLFLQWHUSUHWDWLRQDVDZKROH
Select Bibliography Adelman, Rachel The Poetics of Time and Space in the Midrashic Narrative The Case of Pirke deRabbi Eliezer (Doctoral Thesis: Hebrew University) 2008. Albeck, Chanoch. Agadot im Lichte der Pseudepigraphen. Monatsschrift für Geschichte und Wissenschaft des Judentums 83 (1939): 162169. . Midrash Bereshit Rabbati. Jerusalem: 1940. Bacher, Wilhelm. Die exegetische Terminologie der jüdischen Traditionsliteratur. Leipzig: J.C. Hinrichssche Buchhandlung, 1905. Bakker, T. Pirke de Rabbi Eliëzer Perek 25: een literaire analyse of Een rechtvaardiging van Loth in Sodom. Utrecht: Universiteit Utrecht, Faculteit Godgeleerdheid, 1994. Barth, Lewis. Lection for the Second Day of Rosh Hashanah: A Homily Containing the Legend of the Ten Trials of Abraham. (in Hebrew) Hebrew Union College Annual 58 (1987): 148 (Hebrew Section). . Genesis 15 and the Problems of Abrahams Seventh Trial. Maarav 8 (1992): 245263. . The Ban and the Golden Plate: Interpretation in Pirqe dRabbi Eliezer 38. In The Quest for Context and Meaning: Studies in Biblical Intertextuality in Honor of James A. Sanders (Craig A. Evans and Shemaryahu Talmon Eds.) Leiden: Brill 1997, 625639. . Is Every Medieval Hebrew Manuscript a New Composition? The Case of Pirqé Rabbi Eliezer. At http://www.usc.edu/dept/huc-la/preproject/agendas.html Beit-Arie, Malachi. Transmission of Texts by Scribes and Copyists: Unconcious and Critical Interferences Bulletin of the John Rylands University Library of Manchester 75 (1993): 3351. Bowker, John The Targums and Rabbinic Literature: an Introduction to Jewish Interpretations of Scripture. Cambridge: Cambridge University Press, 1969. Börner-Klein, Dagmar. Pirke de-Rabbi Eliezer. Berlin: de Gruyter, 2004. Bregman, Marc. Pseudepigraphy in Rabbinic Literature. At http://orion.mscc.huji.ac.il/ symposiums/2nd/papers/Bregman97.html Brody, Robert. The Geonim of Babylonia and the Shaping of Medieval Jewish Culture. New Haven: Yale University Press, 1998. Charles, R. H. The Apocrypha and Pseudepigrapha of the Old Testament. Oxford: Oxford Clarendon, 1913. Dan, Joseph. HaSipur HaIvri Be-Yemei HaBenayim. Jerusalem: Keter, 1974.
172
Select Bibliography
Drory, Rina. Models and Contacts: Arabic Literature and its Impact on Medieval Jewish Culture. Leiden: Brill, 2000. Elbaum, Jacob. On the Character of Late Midrashic Literature. (in Hebrew) In Proceedings of the Ninth World Congress of Jewish Studies, Division C: Jewish Thought and Literature, World Union of Jewish Studies, Jerusalem, 1986, 5762. . From Sermon to Story. Prooftexts 6 (1986): 97109. . Rhetoric, Motif and Subject Matter Toward an Analysis of Narrative Technique in Pirke de-Rabbi Eliezer. (in Hebrew) Jerusalem Studies in Folklore 1314 (19911992): 99126. . Yalkut Shimoni and the Medieval Midrashic Anthology. Prooftexts 17 (1997): 133151. Fishbane, Michael. Biblical Interpretation in Ancient Israel. Oxford: Oxford Clarendon, 1985. . Biblical Myth and Rabbinic Mythmaking. Oxford: Oxford Clarendon, 2003. Friedlander, Gerald. Pirke de Rabbi Eliezer. New York: Hermon Books, 1981. Ginzberg, Louis. Geonica. New York: Jewish Theological Seminary, 1909. . Ginzei Schechter. New York: Jewish Theological Seminary, 1929. . On Jewish Law and Lore. Philadelphia: Jewish Publication Society, 1955. . Legends of the Jews. Philadelphia: Jewish Publication Society, 1968. Goitein, S. D. Jews and Arabs. New York: Schocken, 1955. Gottlieb, Z. Targum Yonatan ben Uziel on the Torah. Melilah 1 (1944): 26 34. Gottlieb, Zvi. Critical Edition of the Pirke de-Rabbi Eliezer (unpublished). Jerusalem: 1983. Green, William Scott. Whats in a Name? The Problematic of Rabbinic Biography. In Approaches to Judaism: Theory and Practice, pp. 7796. Missoula, MT: Scholars, 1978. Greizenach, M. Ueber die Kalenderregeln in den Pirke R. Elieser, Israelitische Annalen 2 (1840): 140141. Grünbaum, Max. Neue Beiträge zur Semitischen Sagenkunde. Leiden: Brill, 1893. Hayward, Robert. Pirqe de Rabbi Eliezer and Targum Pseudo-Jonathan. Journal of Jewish Studies 42 (1991): 215246. Heinemann, Joseph. Aggadot vToldotehen. Jerusalem: Keter, 1974. Heller, Bernhard. Muhammedanisches und Antimuhammedanisches in den Pirke R. Eliezer. Monatsschrift für Geschichte und Wissenschaft des Judenthums 69 (1925): 4754. . Ginzbergs Legends of the Jews. Jewish Quarterly Review 2425 (19331935): 5166, 165190, 281307, 393418.
Midrash and Multiplicity
173
Herr, Moshe David. Pirke deRabbi Eliezer. Encyclopedia Judaica, Volume 13. Jerusalem: Keter, 1971, 558-560. Hezser, Catherine. The Social Structure of the Rabbinic Movement in Roman Palestine. Tübingen: Mohr Siebeck, 1997. Jacobs, Louis. Are There Fictitious Baraitot in the Babylonian Talmud? Hebrew Union College Annual 42 (1971): 185196. . How Much of the Babylonian Talmud is Pseudepigraphic? Journal of Jewish Studies 28 (1977): 4659. Kugel, James L. In Potiphars House: The Interpretive Life of Biblical Texts Cambridge: Harvard University Press, 1994. Lévi, Isadore. Éléments Chrétiens dans le Pirké Rabbi Eliézer. Revue des Ẻtudes Juives 28 (1889): 8389. Luria, R. David. Pirkei de-Rabbi Eliezer. New York: Or, 1940. Mandelbaum, Bernard. Pesikta de Rav Kahana. New York: Jewish Theological Seminary, 1987. Milikowsky, Chaim. The Status Quaestionis of Research in Rabbinic Literature. Journal of Jewish Studies 39 (1988): 201211. Mirsky, Aaron. Piyyutei Yosi ben Yosi. Jerusalem: Bialik, 1977. Ohana, Moise. La polémique judéo-islamique et limage dIshmael dans Targum Pseudo-Jonathan et dans Pirke de Rabbi Eliezer. Augustinianum 15 (1975): 367387. Pérez Fernández, Miguel. Los Capítulos de Rabbí Eliezer. Valencia: 1984. . Sobre Los Textos Mesianicos del Targum Pseudo-Jonatán y del Midrás Pirqé de Rabbí Eliezer. Estudios Bíblicos 45 (1987): 3955. Rabinowitz, Zvi M. R. Kitei Genizah MPirke De-Rabbi Eliezer. Bar-Ilan Annual 16 (1979): 100111. Rubenstein, Jeffrey. From Mythic Motifs to Sustained Myth: The Revision of Rabbinic Traditions in Medieval Midrashim. Harvard Theological Review 89 (1996): 131159. Sandmel, Samuel. Parallelomania. Journal of Biblical Literature 81 (1962): 113. Schäfer, Peter. Research Into Rabbinic Literature: An Attempt to Define the Status Quaestionis. Journal of Jewish Studies 37 (1986): 139152. . Once Again the Status Quaestionis of Research in Rabbinic Literature: An Answer to Chaim Milikowsky. Journal of Jewish Studies 40 (1989): 8994. Scholem, Gershom. Major Trends in Jewish Mysticism. New York: Schocken, 1995. Shinan, Avigdor. Targum vAggadah Bo. Jerusalem: Magnes, 1992.
174
Select Bibliography
Smith, Jonathan Z. Drudgery Divine: On the Comparison of Early Christianities and the Religions of Late Antiquity. Chicago: University of Chicago Press, 1990. Smith, Morton. Pseudepigraphy in the Israelite Literary Tradition. in Pseudepigrapha I (Kurt von Fritz, ed.), Entretiens sur LAntiquité Classique, Vol. XVIII, Vandoeuvres-Genève: Fondation Hardt pour lÉtude de lAntiquité Classique, 1972, 191215. Stein, Dina. Memra, Magia, Mitos. Jerusalem: Magnes, 2004. Steinschneider, Moritz. Mathematik bei den Juden. Hildesheim: Georg Olms, 1964. Stern, Sacha. Attribution and Authorship in the Babylonian Talmud. Journal of Jewish Studies 45 (1994): 2851. . Fictitious Calendars: Early Rabbinic Notions of Time, Astronomy, and Reality. Jewish Quarterly Review 87 (1996): 103129. . Calendar and Community: A History of the Jewish Calendar Second Century BCE Tenth Century CE. Oxford: Oxford University Press, 2001. Strack, Hermann L. and Stemberger, Günter. Introduction to the Talmud and Midrash (M. Bockmuehl, trans.). Minneapolis: Fortress, 1992. Ta-Shma, Israel M. The Open Book in Medieval Hebrew Literature: The Problem of Authorized Editions. Bulletin of the John Rylands University Library of Manchester 75 (1993): 1742. Tishby, Isaiah. The Wisdom of the Zohar (David Goldstein, trans.). Oxford: Oxford University Press, 1991. Tropper, Amram. Wisdom, Politics and Historiography: Tractate Avot in the Context of the Graeco-Roman Near East. Oxford: Oxford University Press, 2004. Urowitz-Freudenstein, Anna. Pseudepigraphic Support of Pseudepigraphical Sources: The Case of Pirqe de Rabbi Eliezer. In Tracing the Threads: Studies in the Vitality of Jewish Pseudepigrapha (John C. Reeves, ed.), pp. 3553. Atlanta: Society of Biblical Literature, 1994. Vermes, Geza. Scripture and Tradition in Judaism. Leiden: Brill, 1961. Yahalom, Joseph. Az Be-Ein Kol: Seder HaAvodah HaEretz Yisraeli HaKadum Le-Yom HaKippurim. Jerusalem: Magnes, 1996. Wasserstrom, Steven M. Between Muslim and Jew: The Problem of Symbiosis Under Early Islam. Princeton: Princeton University Press, 1995. Weiss, Isaac Hirsch. Dor Dor ve-Dorshav. Berlin: Platt und Minkus, 1924. Zunz, Leopold. Die gottesdienstlichen Vorträge der Juden historisch entwickelt. Hildesheim: Georg Olms Verlagsbuchhandlung, 1966 (reprint of id., Frankfurt ²1892 [Berlin 1832]). . and Albeck, Chanoch. HaDrashot BYisrael. Jerusalem: Mosad Bialik, 1947.
General Index Abraham, Ten Trials of 5, 28, 29-32, 39, 84-85, 96, 116, 138 Adam 28, 39, 111-112, 140 Amidah (See Shemoneh Esreh) Arak, Eliezer b. (R.) 59, 68-75 Attributions 3, 14, 42-52, 59-81 (See Author, Pseudepigraphy) Anthology 5-7, 8, 17-22, 49-52, 123, 139 (See also Digression) Apocrypha (See Hellenism) Author 2-4, 14, 18, 24-26, 39, 42-44, 49-59 (See also Attributions, Pseudepigraphy) Bakhos, Carol 157 Barth, Lewis 12, 29, 50-51 Ben Azzai (R.) 59-60, 75-80 Berekiah (R.) 130
Bilaam 164-165 Bregman, Marc 47-49 Calendar 5, 33-36, 57, 109 Christianity (Literature) 6, 56
Editorialism 7-10, 17-21, 25-26, 3638, 40, 90-92, 100-101, 122-128 Elbaum, Jacob 4, 5, 7, 13, 17-19, 36-40, 75, 82-84, 88, 90, 100101, 120, 122-124 Eliezer (R.) (See Hyrcanos)
Circumcision 30, 57, 95-100, 109, 114119
Elijah 55, 114-119
Citations of PRE 1, 20
Esau 30, 101-107
Classical Interpretation, Character of 1, 3-12, 15, 17, 19, 58 (See Geonic)
Eschatology (See Messiah)
Clusters 15-16, 39-40, 90, 94, 100108, 121-122, 136, 144, 145, 146, 153, 156, 170 Creation, Days of 28-29, 34-36, 109, 127, 131, 140 Descents, Ten Divine 20, 28, 31 Digression 4-7, 18-22, 24-26, 31, 35-36, 123-124, 127-128 (See Anthology)
Even Shetiyah 146-156 Fishbane, Michael 130 Forgery (See Pseudepigraphy) Foucault, Michel 50 Friedlander, Gerald 4, 12, 29, 33, 42-44, 86 Geiger, Abraham 24-25, 160 Ginzberg, Louis 24-25, 160
176
General Index
Goitein, S.D. 159
Joseph 155
Passover, Night of 37, 39-40
Hagar 161-166
Kahana, Abba b. (R.) 71
Pirqoi ben Baboi 53
Hebrew (Language) 3, 45, 50, 82-87
Piyyutim 5
Hekhalot (Literature) 5
Kingdoms, Four 39, 57, 84-85 (See Messiah) Lakish, Simeon b. (R.) 59, 75-80, 129
Hellenism (Literature) 5, 6, 9, 22-23, 42-44, 57, 82-83
Liturgy 110-113 (See Shemoneh Esreh)
Heinemann, Joseph 4, 5, 18, 23-25, 33, 37, 100, 120, 157, 161
Luria, David (R.) 12, 20, 61, 77-78, 83, 87
Huna (R.) 70, 73 Hyrcanos, Eliezer b. (R.) 2-3, 14, 42, 49-50, 5359, 98 Inner-Canonical 11, 14-16, 121, 136, 141, 144, 146, 148, 151, 153156, 164-166, 169-170 Isaac 30, 96, 163-164 Ishmael 30, 84, 157-167
Manuscripts 12-13, 19-20, 50-52 Messiah 55, 57, 84, 99, 101-107, 158 (See Kingdoms, Four) Moses 55, 57, 73, 110, 138 Nahmani, Samuel b. (R.) 129 Narrative 4-8, 17-33, 37, 127 Natronai Gaon 53
Islam 3, 5, 8, 10, 24-26, 56, 91, 157-167
Neusner, Jacob 46-47, 78
Jacob 30, 101-107, 146-155
Origins (See Author)
Jonah 27-29, 35-36
Paschal Offering 39, 95-100
Prayer (See Liturgy) Pseudepigraphy 4, 14, 42-87 Pseudepigrapha, Rabbinic 9, 42-44 (See Hellenism, Pseudepigraphy) Pseudepigrapha, Second Temple (See Hellenism) Rewritten Bible 5, 9, 18, 22-24, 87 (See Narrative) Rubenstein, Jeffrey 123, 126-131 Saadya Gaon 8 Sarah 29, 39, 163 Scholem, Gershom 153 Second Temple Period (See Hellenism) Shemoneh Esreh 20, 110 (See Liturgy) Sinai 47, 69-74, 169
177
General Index Smith, Morton 52 Solomon 86-87 Stein, Dina 54-56, 89, 136-138 Stern, Sacha 33-35, 47-49, 80 Targum PseudoJonathan 6
Temple 37, 57, 107, 147, 153154, 158-159, 161 Tahna (R.) 59, 61-68 Tradition Building 11-12, 15-16, 64, 90, 107, 120-121, 133, 136, 140, 144-146, 168-170 Vermes, Geza 22
Yohai, Simeon b. (R.) 73 Yohanan (R.) 70-73 Zunz, Leopold 2-4, 12-14, 19-20, 23, 42, 49, 56, 59-77, 82, 110, 115, 124, 137-140, 157-158
178
Hebrew Terms
Hebrew Terms ain X ketiv kan eleh Y 92-97
lamah 132-133
patah 90
beotah shaah 131-132
mah asah 131
sharid yaakov 101-107
haolam omed 140-145
mashal 90
hetkinu hachamim 112-115
mikan amru hachamim/ mikan atah lamed 136-137
sheneemar 91 velu hen 133-134
ketuv ehad (aher) omer 91-92 ki mah raah hakatuv lomar shtei paamim 95-100
minayin 91 mi-yad 123-133
179
References to Biblical and Rabbinic Literature
References to Biblical and Rabbinic Literature Hebrew Bible Genesis 15:9 21:10 25:1 :5-6 :12-16 :23 28:22 33:9 :14 :20 49:24 Exodus 12:23
84 163 163 163 164 105-106 147-148, 151-153 105 105 149 155
15:8 24:6 32:16 33:6
95n, 96, 99 154n 71n 72n 73
Leviticus 9:24
93-94
Numbers 11:2 12:1 24:15-25 :19 25:15
93-94 67 164-165 103-106 117
Deuteronomy 2:3 105 32:35 107 :39 98-99 II Samuel 18:21
65n
I Kings 19:10
116
Lamentations 2:13 70
Isaiah 28:24
84n
Song of Songs 3:7-8 69n
Jeremiah 17:10 38:7 :12
79n 66 65-66
Ezekiel 16:6 :10 25:14
96-100, 71n, 73 102n
Hosea 8:10
85
Obadiah 1:18
103-107
Malachi 3:1 :23
116 116-117
Psalms 7:1 11:2-3 20:8 50:7 82:6-7 90:4 103:5 135:7
65n 149-150 150 71n 70, 74 3n 71n, 72n 131n
Proverbs 10:25
149n
Daniel 2:34
106-107
Job 12:18 37:6
70, 73 154n
I Chronicles 1:32 22:9
163 86
180
References to Biblical and Rabbinic Literature
Rabbinic Literature Pirke Avot 46, 137-145 1:2 137-145 2:5 139n :9 138n :10 138n 3:11 139n :14 138n 4:11 76, 79, 137 144-145 :21 137-139 5:3 137-139 :6 137-140 6:6 48, 85, 139-140 Babylonian Talmud Berakhot 59b 34n Shabbat 88a 72-74 Yoma 54b 147-148 Taanit 8a-b 129 Megillah 15a 48n, 138n 18a 2n, 148n Moed Katan 16b 59, 62-65 Hagigah 12a 129-130 Gittin 47a 77n Baba Metzia 84a 77n Baba Bathra 8a 85 74b 129 Avodah Zarah 10b 104n Hullin 104b 48n, 138n Niddah 19b 48n
Palestinian Talmud Berakhot 4a Terumot 8:5 Pesachim 4:4 Rosh Hashana 2.4, 58a Gittin 4:9
86n 77n 150n 34n 77n
Midrash Mekhilta Ishmael Bo 5 12 21 Beshallah 6
de-Rabbi 96-97 104n 86n 104n
Mekhilta de-Rabbi Simeon b. Yohai 15:7 104n Sifrei to Numbers 86 93n 99 65-66 119 147n Sifrei Zuta 11:2 12
93n 65n
Avot de-Rabbi Natan (A) 6 54n (A) 39 79 (B) 13 54n Kalla
48n
Genesis Rabba 5:2 130-131 :4 130-131 13:6 128-129 42:1 54n 45:11 86n 51:3 129 75:11 149-150 77:20 104n 79:20 148 Exodus Rabba 17:3 97n 19:5 97n 32:7 74n Leviticus Rabba 11:3 74n 13:2 69n 16:4 169 21:10 116n 36:4 149n Ecclesiastes Rabba 7:1 77n 8:3 74n 9:1 59 Lamentations Rabba 20 69n Song of Songs Rabba 1:5 96-97 4:1 59, 68, 69-73 5:20 97n 7:3 116n Ruth Rabba 6:1
97n
Peskita de-Rav Kahana 4:4 74n 6:4 97-98 16:3 59, 69-73
181
References to Biblical and Rabbinic Literature Pesikta Rabbati 12 104n 13 104n 14 73n 17 97n 21 69n 33 71 PRE 1-2 1 3
4 5 6-8 6 7 9 10
11 12 13 14 15 16 17 18 19 20 21 22
2, 54-59, 74, 125 90n 2, 54, 57n, 82n, 90n, 141, 144n, 154n 57n 56, 125131 33-36 134, 141 34, 39n, 141-144 57n, 141142 6n, 2729, 30, 32, 36, 96n, 144n 132 137-139, 141-142 90n, 137139 39n 57n 137-141 112-114, 140 90n 90n, 137140, 141 111-112, 132 37, 39, 40, 144n 37, 39n, 132-133
23
24 25
26-31 26
27 28
29
30 31 32
33 34 35
36 37 38
62, 82n, 113-114, 122, 136137, 144n 31, 39n, 57n 29, 30, 37, 37n, 132, 141, 142 29-32 30-31, 37, 39n, 39-40, 137139 30, 37, 39n, 40 30, 37, 39, 40, 84-87, 141, 142 30, 61n, 62, 95100, 113115 29-30, 134, 158166 32, 37, 90n 30, 37, 39, 40, 86-87, 101-107, 165 39n, 57n, 61n, 62, 144n 57n, 82n, 90n, 98100, 134 37, 82n, 101-107, 140n, 146-156 39n, 140n 101-107, 109 37, 37n,
39 40 41 42 43
44 46
47
48 49 50
51 53 54
39n, 96n, 133, 144n 96n 39n, 90n, 110, 140n 82n, 96n, 137, 140n 27n, 39n, 131, 144n 28n, 5960, 7580, 82n, 137-139, 144-145 83n, 137139 59, 61, 63n, 83n, 114-115, 132, 141142 37, 83n, 117-118, 137-139, 144n 37, 90n, 96n 61n, 62 37, 39n, 40, 49, 83n, 137140 140n 59, 6167, 92-94 37, 37n
Midrash Psalms 7:18 65n 19:11 34n 91:2 150n :7 147n 93:5 127n, 130n 103:8 75n 114:5 97n
182
References to Biblical and Rabbinic Literature
Aggadat Bereshit 59 104n 65 86n
Otzar Hamidrashim p. 27 127n p. 253 154n
Iggeret Rav Sherira Gaon 7n, 46, 67
Bereshit Rabbati Gen. 28:22 147n
Midrash Avkir 155-156
Baraitha de-Shemuel 34
Yalkut Reubeni VYeshev 181 155n
Rashi to Gen. 33:20 to Num. 11:2 to Obad. 1:18
148n 93n 103n
Tanhuma 168 (Buber, unless noted) Lech Lcha 10 54n Veeira 4 (W) 97n Veeira 9 71, 71n Toledot 11 149n Tetzaveh 7 71n, 72n Tetzaveh 11 (W) 71-74 Bamidbar 22 48n Hukkat 18 74n
Yalkut Shimoni Bereshit 8 127n Bereshit 45 86n Lech Lecha 80 63n Lech Lecha 86 84n Toledot 110 104n VYetze 120 147n VYishlah 133 148n VYeshev 145 155 Yitro 387 72 Ki Tissa 392 63n Bhalotekha 732 93n I Kings 300 86n Isaiah 441 72 Jeremiah 297 79n Ezekiel 355 73n Psalms 858 71 Proverbs 935 71
Nachmanides to Gen. 28:17 to Gen. 33:20 to Ex. 33:7 to Yeb. 71b
147n 149n 115n 115n
Tanna deBei Eliyahu Zuta 4 71, 77n 17 48n Tanna deBei Eliyahu Rabba 3 116n Midrash Aggadah 17:26 63n Midrash Haserot VYeterot 86n Sechel Tov Bereshit 17
Targum PseudoJonathan Numbers 11:26 20n Targum Jonathan Ezekiel 16:6 97n
R. David Kimhi To Jud 20:28 118n to Jer. 38:7 66n to I Kings 17:1 118n Mahzor Vitri 505 Zohar I 72a I 111a I 231a III 215a III 239b-240a Zohar Hadash I 47a II Ruth 42a
Midrash HaGadol Genesis 28:18 147n 116n Seder Tannaim veAmoraim 7n, 46
115n 16, 118119, 150-156 151-156 154n 152-153 118n 154n 151n, 152n 118n
Cordovero, Moses (R.) Or Yakar to Zohar I 72a 153-155