General Disclaimer

This website has been published (in Australia) by APP Securities Pty Ltd (ABN 45 112 871 842)(AFS Licence No 307 706) (APP Securities).

All information has been prepared in good faith and based on the facts known at the time of preparation and does not purport to contain all relevant information in respect of the financial products to which it relates. Any projections are estimates only and may not be realised in the future.

Disclosure

APP Securities and its associates (as defined in Chapter 1 of the Corporations Act), officers, directors, employees and agents, from time to time, may hold securities in any of the companies to which this document refers and made trade in securities mentioned either as principal or agent.

Disclaimer & General Advice Warning

All financial product advice provided by APP Securities is General Advice or recommendations which, while believed to be accurate at the time of publication, are not appropriate for all persons or accounts. This document/communication does not purport to contain all the information that a prospective investor may require. Before making an investment or trading decision, the recipient must consider market developments subsequent to the date of this document/communication, and whether the advice is appropriate in light of his or her financial circumstances or seek further advice on its appropriateness or should form his/her own independent view given the person’s investment objectives, financial situation and particular needs regarding any securities or Financial Products mentioned herein.

Information in this document/communication has been obtained from sources believed to be true but neither APP Securities nor its associates make any recommendation or warranty concerning the Financial Products or the accuracy, or reliability or completeness of the information or the performance of the companies referred to in this document. Past performance is not indicative of future performance.

This document/communication is not an offer, invitation, solicitation or recommendation with respect to the subscription for, purchase or sale of any Financial Product, and neither this document/communication or anything in it shall form the basis of any contract or commitment. Although every attempt has been made to verify the accuracy of the information contained in the document/communication, liability for any errors or omissions (except any statutory liability which cannot be excluded) is specifically excluded by APP Securities, its associates, officers, directors, employees and agents. The securities of any company(ies) mentioned in this document/communication may not be eligible for sale in all jurisdictions or to all categories of investors.

Research Disclaimer

Please note that this document/communication is only a summary of research that has been conducted by APP Securities’ research team and should be treated accordingly. It may contain general advice or recommendations which, while believed to be accurate at the time of publication, are not appropriate for all persons or accounts. This document/communication does not purport to contain all the information that a prospective investor may require. Before making an investment or trading decision, the recipient must consider market developments subsequent to the date of this document, and whether the advice is appropriate in light of his or her financial circumstances or seek further advice on its appropriateness or should form his/her own independent view given the person’s investment objectives, financial situation and particular needs regarding any securities or Financial Products mentioned herein.

APP Securities does and seeks to do business with companies covered in its research reports, including being paid for research. Investors should consider this report as only a single factor in making their investment decision. Research Analysts who prepare a document for APP Securities hereby certify that the views expressed in the document/communication accurately reflect the analyst’s personal views about any and all of the subject issuer(s) and/or securities. The Research Analysts also certify that no part of their compensation is, will be directly or indirectly related to the specific recommendation(s) in a report.

APP Securities has prepared research from multiple distributions and without consideration to the investment objectives, financial situation or particular needs (“Objectives”) of any individual investor. Accordingly, any advice given is not a recommendation that a particular course of action is suitable for any particular person and is not suitable to be acted on as investment advice. Readers must assess whether or not the advice is appropriate to their Objectives before making an investment decision on the basis of this report.

Country specific disclosures

United Kingdom: This report is issued and distributed by APP Securities only to persons falling within Articles 19 (5), 38, 47 and 49, of the Financial Services and Markets Act 2000 (Financial Promotion) Order 2005, (all such persons together being referred to as “relevant persons”). Directors, officers and employees of such entities are also included provided their responsibilities regarding those entitles involve engaging in investment activity. Persons who do not have professional experience relating to investments should not rely on this document.

Canada: The investments or investment services referred to in this document are available in Canada only to “Designated Institutions”, as defined by the Securities Act (Ontario).

Analysts’ Compensation

The research analysts responsible for the preparation of research reports receive compensation based upon various factors, including the quality and accuracy of the analyst(s) research, client evaluation feedback, independent survey rankings and overall firm revenues, which include revenues from, among other business units and corporate finance.

Other International Investors

International investors outside the US, UK or Canada are encouraged to contact their local regulatory authorities to determine whether any restrictions apply to their ability to purchase this investment.

Recipient Representations/Warranties

By accepting a research report, a recipient represents and warrants that he or she is entitled to receive such report in accordance with the restrictions set out in this document and agrees to be bound by the limitations contained herein. Any failure to comply with these limitations may constitute a violation of law.

Meanings of APP Securities Pty Ltd Stock Ratings

Buy – Describes stocks that we expect to provide a total return (price appreciation plus gross yield) of 10% or more within a 12-month period.

Hold – Describes stocks that we expect to provide a total return (price appreciation plus gross yield) of 0% to 10% within a 12-month period.

Sell – Describes stocks that we expect to provide a total return (price appreciation plus gross yield) of less than 0% within a 12-month period.

NR – The investment rating and price target have been temporarily suspended. Such suspensions are in compliance with applicable regulations and/or APP Securities policies.

CS – Coverage Suspended. APP Securities has suspended coverage of this company.

Speculative Buy – Describes stocks we research with a positive bias, whose company fundamentals and/or financials are being covered, but for which there is insufficient information for APP Securities to assign a Buy or Sell rating.

Speculative Sell – Describes stocks we research with a negative bias, whose company fundamentals and/or financials are being covered, but for which there is insufficient information for APP Securities to assign a Buy or Sell rating.

Monitor – Describes stocks whose company fundamentals and/or financials are being monitored, or for which no financial projections or opinions on the investment merits of the company are provided.

Valuation Methodology

APP Securities methodology for assigning stock ratings may include the following: market capitalisation, maturity, growth/value, volatility and expected total return over the next 12 months. The price targets are based on several methodologies, which may include, but are not restricted to, analyses of market risk, growth rate, revenue stream, discounted cash flow (DCF), EBITDA, EPS, cash flow (CF), free cash flow (FCF), EV/EBITDA, P/E, PE/growth, P/CF, P/FCF, premium (discount)/average group EV/EBITDA, premium (discount)/average group P/E, sum of parts, net asset value, discounted dividend model (DDM), franking credits and return on equity (ROE) over the next 12 months.

Terminal Value Methodology

APP Securities Discounted Cash Flow (DCF) valuation applies a terminal growth rate to the last forecast year’s cash flow and discounts the amount using Weighted Average Cost of Capital (WACC). The Terminal Value is tested using ASX-listed company multiples. For resource companies there is no terminal value because cash flows are forecast to the end of mine life.

Electronic Communication Disclaimer

APP Securities Pty Ltd (ABN 45 112 871 842)(AFS Licence No 307 706)(APP Securities). The contents of this electronic communication and its attachments (this “Communication”) are confidential and intended only for the use of the addressee. This document contains General Advice and has been prepared without taking into consideration any investor’s financial situations, objectives or needs and may not be appropriate for all persons or accounts. Please note, APP Securities, its officers, directors, and associates may have interests in any financial products referred to in this Communication. This Communication is not an offer, invitation, solicitation or recommendation with respect to the subscription for, purchase or sale of any financial product, and neither this Communication or anything in it shall form the basis of any contract or commitment.

Any views expressed in this Communication are those of the individual sender, except where the message states otherwise and the sender is authorised to state them to be the views of APP Securities. This Communication may also contain personal information, confidential information or legally privileged information. If personal information is contained in this Communication, then it is governed by the Privacy Act 1988 and must be treated in accordance with the Privacy Act 1988 by the recipient. The legal privilege and confidentiality attached to this e-mail is not waivered, lost or destroyed by reason of mistaken delivery to you.

APP Securities Pty Ltd does not accept liability (other than statutory liability) for any errors or omissions or for loss or damage incurred as a result of a person or entity acting in reliance on this Communication. The recipient should check this Communication for the presence of viruses. The firm accepts no liability for any damage caused by any virus transmitted by this Communication whether caused by our own negligence or not.

If you receive this Communication in error, please immediately delete it and all copies of it from your system, destroy any hard copies of it and notify the sender. If you are not the intended recipient, you must not disclose the information contained in this Communication in any way. All unauthorised reproduction or other use of material from this Communication shall be deemed wilful infringement(s) of APP Securities copyright and other proprietary and intellectual property rights, including but not limited to, rights of privacy. APP Securities reserves the right to monitor all Communications through its networks. No confidentiality or privilege is waived or lost by any miss transmission. Attachments to this Communication may have additional important disclaimers which you should read.