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Disclaimer and Disclosures

This document provides additional disclosures and disclaimers relevant to research reports and other investment recommendations issued by Arctic Securities ASA (“Arctic”), according to the Securities Trading Act Section 3-10 with further regulations.

Supervision
Arctic’s business in general, as well as the reports it prepares, is subject to supervision by the Norwegian Financial Supervisory Authority (No: “Finanstilsynet”). Arctic aims always to operate in compliance with appropriate business principles, including Business Standard No. 3 of 6 September 2005 of the Norwegian Securities Dealers Association (No: “Norges Fondsmeglerforbund”), regarding handling of conflicts of interests and the content of reports produced by investment companies and other relevant Standards.

Authors’ independence
Arctic has no agreements with issuers with respect to dissemination of recommendations. Our analysts have not been, nor are or will be, receiving direct or indirect compensation in exchange for expressing any of the views or the specific recommendation contained in this report. The analysts of Arctic’s research department are eligible to remuneration from Arctic’s general bonus scheme.

Basis and methods for assessment
Recommendations in respect of shares and share related instruments are based on estimates using various valuation methods. These methods include analysis of earnings multiples, valuation of a company using discounted cash flow calculations and net asset value assessments.

Arctic’s credit analysts issue credit ratings in order to compare the credit quality of debt securities. The ratings are based on the same rating scale as international rating agencies and represent the opinion of Arctic as to the relative creditworthiness of securities. A credit rating on a stand alone basis should not be used as a basis for investment decisions. Arctic may also provide credit research with more specific price targets. These price targets are based on different valuation methods. The methods may include analysis of key credit ratios and other factors describing the securities’ creditworthiness, peer group analysis of securities with similar creditworthiness and different discounted cash flow valuations.

Recommendation structure
Arctic’s research department operates with 3 recommendation categories based on the expected relative return within 6 to 12 months.

Risks related to investments and recommendations
The analysts’ assessment of risk is identified by the following terms:

There is risk attached to all investments in financial instruments. The opinions contained herein are based on numerous assumptions as described in this document. Different assumptions could result in materially different results. Furthermore, the assumptions may not be realized. This document does not provide individually tailored investment advice and all recipients of this document are advised to seek the advice of a financial advisor before deciding on an investment or an investment strategy.

Prevention and avoidance of conflicts of interests
This report has been prepared by Arctic’s research department, which is separated from the corporate finance department in order to control the flow of information. All employees of Arctic are subject to duty of confidentiality towards clients and with respect to handling inside information.

Investment services
Please see the PDF file for a list of companies, to which Arctic has provided investment banking services the last 12 months. Please note that Arctic may have received assignments, that are not publicly known and that due to professional secrecy we are currently obliged not to reveal.

Share ownershipArctic does not alone, or together with related companies or persons, hold more than 5 % of the total share capital of any company on which it issues research. Arctic may have holdings in the companies as a result of market making operations and/or underlying shares as a result of derivatives trading. Arctic may buy or sell such shares both for its own account as a principal or as an agent. Please see the PDF file for a complete list of shares held by employees of Arctic.

Statistics on Recommendations
Please see the following PDF file were you will find quarterly statistics on the overall ratio of “Buy”, “Market perform” and “Sell” in Arctic Securities’ recommendations in financial instruments, including a split with respect to issuers where Arctic has provided investment banking services the previous 12 months.

Planned updates:
There is no fixed schedule for updating. However, Arctic aims to update its recommendation on a company when:

The price target is achieved,
New accounting figures are released, or
Any material news on a company or its industry is released.

Limitation of liability
This report does not constitute or form any part of any offer for sale or subscription of or solicitation of any offer to buy or subscribe for any securities; nor shall it or any part of it form the basis of or be relied on in connection with any contract or commitment whatsoever.

This report is based on publicly available information only. Generally Arctic will present a draft of a company report to the relevant company prior to publication in order to ensure a correct factual basis. All information, including statements of fact, contained in this report has been obtained and compiled in good faith from sources believed to be reliable. However, no representation or warranty, expressed or implied, is made by Arctic with respect to the completeness or accuracy of its contents, and it is not to be relied upon as authoritative and should not be regarded as a substitute for the exercise of a reasoned and independent judgement by you. Arctic accepts no liability whatsoever for any direct or consequential loss arising from the use of this report or its content.

Jurisdiction, reproduction etc.
This report is governed by and to be construed solely in accordance with Norwegian law. It may not be reproduced, redistributed or republished by any recipient for any purpose or to any person. If you are not a client of Arctic, you are not entitled to receive this research report.

Distribution in the United States
Research reports are prepared by Arctic for information purposes only. Arctic and its employees are not subject to FINRA's research analyst conflict rules. Arctic research reports are intended for distribution in the United States solely to "major U.S. institutional investors" as defined in Rule 15a-6 under the United States Securities Exchange Act of 1934, as amended. Each major U.S. institutional investor that receives a copy of an Arctic research report by its acceptance thereof represents and agrees that it shall not distribute or provide copies to any other person. Reports are prepared by Arctic and distributed to major U.S. institutional investors under Rule 15a-6(a)(2). Any U.S. person receiving these research reports that desires to effect transactions in any securities discussed within the report should call or write Arctic. Transactions by U.S. persons in securities discussed within the report may be required to be effected through a U.S.-registered broker-dealer with whom Arctic has a contractual relationship.

Our research reports do not provide individually tailored investment advice or offer tax, regulatory, accounting or legal advice. Prior to entering into any proposed transaction, recipients should determine, in consultation with their own investment, legal, tax, regulatory and accounting advisors, the economic risks and merits, as well as the legal, tax, regulatory and accounting characteristics and consequences, of the transaction. Financial statements included in the report, if any, may have been prepared in accordance with non-U.S. accounting standards that may not be comparable to the financial statements of United States companies. It may be difficult to compel a non-U.S. company and its affiliates to subject themselves to U.S. laws or the jurisdiction of U.S. courts.