EFTA00294306

BERN DYNAMIC LLP The Bern Lucerne Fund Bern Dynamic LLP I 41 Paradise Walk I London, SW3 4JL UK I Phone •44 20 7745 2435 EFTA00294306 Disclaimer THESE MATERIALS DO NOT CONSTITUTE AN OFFER OF SECURITIES. SUCH AN OFFER WILL ONLY BE MADE BY MEANS OF A CONFIDENTIAL MEMORANDUM TO BE FURNISHED TO QUALIFIED INVESTORS UPON REQUEST. ALL INFORMATION CONTAINED HEREIN IS SUBJECT TO REVISION AND COMPLETION. THESE MATERIALS ARE CONFIDENTIAL AND INTENDED SOLELY FOR THE INFORMATION OF THE PERSON TO WHOM DELIVERED. RECIPIENTS MAY NOT REPRODUCE OF TRANSMIT, IN WHOLE OR IN PART, TO THIRD PARTIES. NOTE: Performance results are described herein are net of fees. The latest month's performance is preliminary and subject to revision. BERN DYNAMIC LLP 2 EFTA00294307 Bern Lucerne Fund Introduction Bern Lucerne Fund The fund is a joint venture between Bern Dynamic LLP and Lucerne Capital, LLC The Bern Lucerne Fund is a joint venture between Bern Dynamic (GP) and Lucerne Capital (Sub-Advisor), a collaboration born from a childhood friendship between Thijs Hovers (Lucerne) and Lars Christiaanse (Bern). Lucerne Capital is a European long-short equity fund with a track record starting in 2002 and a net annual return of over 13% since inception. The Bern Lucerne Fund will run pad passu with the existing Lucerne Capital Fund Strategy. As General Partner, Bern will monitor and control the fund's investments and offer transparency to investors, while maintaining client relationships and facilitating dialogue between investors and Lucerne. All historical data presented in this document represent Lucerne's existing offshore fund. 3 BERN DYNAMIC LLP EFTA00294308 Bern Dynamic Overview Bern Dynamic LLP ("Bern") A boutique advisory and brokerage firm since 2011 Partner: Lars A. Christiaanse Bern offers clients access to a pool of world-class, senior experts with a global reach, along with the experience and ability to provide advice across the broadest range of issues; geopolitical, security and business. In tandem with its advisory role, Bern Dynamic will use its unique international network to benefit its clients; creating, managing and executing the ambitions of investors and entrepreneurs. Team of 16 in London, UK 4 BERN DYNAMIC LLP EFTA00294309 Lucerne Capital Management, LLC ("Lucerne") An SEC-Registered Investment Advisor since 2000 Partners: Pieter Taselaar (founder) and Thijs Hovers European long / short equity management 'A, Firm assets under management: $290 million (11.01.2013) 'A, 10-year track record compounding 14.5% net of fees annually, +314.2% cumulative net since inception (May 2003 through October 2013) 'A, Team of 6 in Greenwich, CT Unique management skill attributable to Unique expertise in uncovering value in global leaders and local leading-edge companies within Continental Europe Four decades experience interacting with a focused list of 250 European management teams 'A, Evaluate companies in a proven and repeatable private equity investment style, considering dynamics for above-average market growth, free cash flow, hard assets, and valuation 'A, Tactical trading around positions with defined entry and exits BERN DYNAMIC LLP EFTA00294310 Lucerne Cumulative Returns vs Indices 400% 375% 350% 325% 300% c 275% '5 250% la 225% N CC 200% aj 175% -ic 150% ft3 125% 100% n 75?: L.1 25% .J 2 QJ Z 0% -25% -50% .75% 2003 :(Jc.-: 205 2008 220 2008 2009 2010 2011 2012 2013 The Lucerne Capital Offshore Fund, LTD Cumulative Returns .—MSCI Euro Net LCL TR —.500 TR Net Net Cumulative Annualized Net Annual Returns 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 Return Return The Lucerne Capital Offshore Fund, LTD 29.7% 18.7% 27.6% 25.9% -3.5% -43.8% 95.9% 24.7% -19.8% 26.5% 24.6% 314.2% 14.51 MSCI Europe Net LCL TR 19.8% 12.2% 24.9% 19.1% 6.0% -38.9% 27.7% 6.8% -9.3% 15.6% 19.8% 121.8% 7.9% 500 TR 22.8% 10.9% 4.9% 15.8% 5.5% -37.0% 26.5% 15.1% 2.1% 16.0% 25.3% 137.4% 8.6% 6 BERN DYNAMIC LLP EFTA00294311 The Bern Lucerne Fund Strategy - European Long / Short Equity Opportunity Capitalize on the inefficiencies in the Continental Europe that result from: • o Reporting lags o Inadequate analyst coverage Invest in a fund with well-established operational and administrative o Misunderstood trade and fiscal policies controls both internally and through service provider partners o Changing industry 'ie. Maintain a highly liquid portfolio allowing for flexible risk management dynamics among and active management companies in the same value chain Focus on making money on the buy by being more nimble than other o Changing industry and European equity investors, of which there are few true competitors corporate dynamics o Perceived-versus-real Portfolio Construction changes to the Universe of Continental European large, mid- and small-cap companies competitive landscape Currency exposure is monitored and hedged to the USD o Lack of deep equity \ it culture Opportunistic management of exposures 20 to 50 positions with sector and country diversification Normal holding period: 3 to 24 months for longs, 1 to 6 months for shorts Long positions are usually less than 10% of NAV and short positions less than 3% At least 70% of the portfolio can normally be liquidated over S to 7 days, measured as no more than 25% of average daily traded volume BERN DYNAMIC LLP 7 EFTA00294312 Investment Process Bottom-up value research Research requires watching for a private equity style opportunity Macroeconomic Overlay with a potential 30% return scenario Alignment of portfolio to macroeconomic Universe of 2000 European stocks environment Rotation between sectors Quality filter using metrics that have proven to be good indicators of companies' financial and companies with performance varying sensitivities to discretionary versus non- discretionary spending Dynamic use of the screening tool to focus our bottom-up research efforts Established database of research on economic Apply in-depth bottom-up valuation-driven research to selected group of 100-200 stocks cycle sensitivity: durable/ non-durable segments, Longs Typically Exhibit +Growing cash flows due to a strong Shorts Typically Exhibit -Declining industrial/consumer competitive position +Opportunities to expand domestic and return on capital employed -Balance buyers, competitive global market share +High-quality management focused on sheet or cash flow issues -Low landscape opportunities to expand market share while delivering a barriers to entry -Margin pressure - continuously high rate of return +Corporate events that are High multiples on incorrect earnings catalysts to change estimates BERN DYNAMIC LLP 8 EFTA00294313 Proprietary Opportunity Screen Index CRC IV liketert._Peno mower BESTFPERIOO soar once tan ono, a% INT Dee mating +Her NnM weicep One stage ESITDA Gross Margin vs ROTC ex tin Debt/ EV/ESIT vs Valuation Ticker Name Sector Revenue %HMCO CAGR 4 YR 5 Tr data ROIL Gooda di ICY % DIV % LOMA Capital intern, History upside title tp ARKEMA Chemicals 8% .3% 14.1% 14.6% 3.0% 2.6% 0.6 AC FP ACCOlt SA Travel & leisure 20% 52% 30% 2.7% 03 AI FP AIR UQUIDE SA Chemicals 21% 2% 10.4% 14.0% 4.2% 10% 14 41% PIO FP ALSTOM Industrial Engineering 15% .5% 25% 13.3% 6.7% 2.8% 13 BN FP CANON( Feed Producers 11% 11% 9.9% 50% 11% Lfi 25% CA FP CARREFOUR SA Feed & Drug R013110(5 42/6 Om 52% 10% 13 CAP FP CAP &MN! Software &Computer Services 21% 9.3% 14.5% 31% 2 DGFP VINO SA Constmcnon & Matenals 0% • 1% 6.0% 24 (PIMP (ADS NV Aerospace & Defense 13.7% fiA 2 EDF FP EDF Elettnety 4.916 14 2% 27 4 El FP ESSILOR INTERNATIONAL Health Care EQUIPTCM & Servic 13.7% 4R% 3.5% a2 24% EN FP BOUTGUES SA Construction & Matenais 5.4% 86% 398 1It 3 FP FP TOW SA Oil & Gas Producers 88% SS% 4.1% Sze 115 3 42% FR FP FRANCE TELECOMSA Fixed line Telecommunications 79% 149% 2-3 4914 GU FP GOF SUEZ Gas, Water& Multiutilities S' .5% 12% 23 GTO FP GEMALTO Electronic & Electrical (Quinn a 54a 11.9% 4.7% Go, 3 4% LG FP WANG( SA ConstiuctIon & %%tonal, 15% 27 Zi% 2 .1234 LR FP LEGRAND SA Electronic & Electrical (Quinn 25% 0% 10.0 6.6% 11% OS 2 MC FP LUPIN MOST HENNESSY LOUIS VUI Personal Goods 10% OM 11.5% 110/6 5.2% 2.5% 03 22% M.FP MICHELIN (CGDEI Automobiles & Parts IS% UM 14.4% 88% 5.3% 19% OA 3 12% MT NA ARCELORMTTAL Industrial Metals& Wining IS% 39% 1.4G 12 46% all IMI OR FP L'OREAL Personal Goods 10% 42% 2.2% 2 22% Pp FP PPR General Retailers I 10% 6.2% 2.9% aS 2 44% PUBFP PUBUOS GROUPE Media 25% 7,0% 1.9% 4 24% RI FP PERNOPRICARD SA Beverages 4% 4.8% 1.8% RHO FP RENAULT SA Automobiles & Palls 2,4 1% .5% 4.7% 43% SAF FP SAFRAN SA Aerospace & Defense 25% 4% 10.3% 14.7% 5.3% 1976 04 3 3% SAN FP SANOFI Pharmaceuticals& Illotechnolog IS% 2% 1% SP% 4.3% 04 SGO FP COMPAGNIE DE SAINTGOBAIN Construction & %%tonal' 28% .211 8% 48% 7.5 6.2% 4.4% 1.7 41% .794 SUFP SCHNEICER ELECTRIC SA Electronic & Electrical Equipm IS% 5% 10. 69% 3.5% 02 20% 3 11% TIC FP TECHNIP SA Oil Equipment. Services& Dist 10% 21% 11.0% 4.9 13% 35% 62% VIE FP VEOLIA ENVNIONNEMENT Gas, Water& Multiutilities 4% 11% 59% .4% WV FP VIVENDI Media .1% 7.3 50% 1.7 a 2414 VK FP VALLOUREC Industrial Engineering 155 1% 5.2% .0396 14% 1.9 2 9 BERN DYNAMIC LIP EFTA00294314 Multiple Contraction, Cheap Global Players Richemont Continental 2500 27 1200t 1000( 70W 1200 2000 22 6 - 1000 800( 000 1500 17 5000 600( • GOO 4000 1000 12 400( 6.W 3000 500 - 200( 4.00 2300 0 1000 2 CO Apr-05 Apr-06 Apr-07 Apr-08 Apr-09 Apr-10 Apr-11 Apr-12 0 000 FY1 FY1 FY1 FYI FY1 FYI FY1 FY1 - EBITDA - EV/EBITDA (RHS) 1934 1997 2000 2003 2006 2009 2012 2015E -6B110A -EV/EBITDA Index Ticker Company EBITDA Gross Margin ROIC ROC Working Capital FCY % FCY DIV % Balance sheet Shares Out EWEBITDA Valuation upside CAGR 3yr vs 4 yr avg ex Goodwill 4 yr trend 4 yr Av ND/EBITDA 6 YR CAGR vs History (%) SWI CFR VX Richemont -6.5% 4% 2 I -15% DAX CON GY Continental 11% 4% 15% 4% 1.1 4% 10 BERN DYNAMIC LLP EFTA00294315 Europe: Pockets of Excellence 2 ..‘" :saint ‘tEr ir tilL 4r Pockets of Excellence • Aged Spirits 4- Automotive • Luxury Goods Focus Countries 4- Oil Services Germany Northern Italy Engineering & Industrial Services France Ar Scandinavia • Engineering & Telecom Cabling Switzerland Austria Benelux Despite the maturity of the European capital markets, value dislocations and inefficiencies persist BERN DYNAMIC LIS 11 EFTA00294316 Europe: Global Footprint Example Worldwide automotive industry —global unit sales Exposure to growth markets is key Allows for acceleration in growth despite challenging domestic markets 70 6% CAGR 2% CAGR 60 - SO 40 • 30 20 10 0 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 ■ Developed markets ■ Emerging markets BERN DYNAMIC LIP 12 EFTA00294317 Yield is Scarce German 2 yr Government Yield French 2 yr Government Yield tete ID 'TOM= 415 ••••• 40 Otitc0 lam tD tax tO 11. 494 60 to ta .OX 1 eJX Negative yield % % % % • to k ▪ ft Ili le % k ik a a a au so au IWOJOKICS0 tinPIZ0INkk km/. [MY, DAC:), itlEAIZS C•1O,3145113t3 Conlittketeskint teDIZI 1i BERN DYNAMIC LIP EFTA00294318 Corporate Bond Yields to All-Time Low European BBB Corporate Yield EURO 600 Stock with Div Yield > Credit 1999 20002001 2002 20032004 2005 20062007 2008 20092010 20112012 companies DY > CY —Average ....while dividend yields over credit is at an all time high BERN DYNAMIC LIP 14 EFTA00294319 urope is Investable Again The Draghi Effect Italian 10 yr Yields Credit market takes view European system is well underwritten ➢ Growth periphery remains subdued ➢ However, our companies are positioned to benefit from global growth Austerity and tax hikes widen gap between winners and losers Europe ISM breaks through 50 again after 4 years ➢ Second derivative in Europe improving ➢ We have counted over 50 companies that are turning positive on Europe in their earnings reports 15 BERN DYNAMIC LLP EFTA00294320 Europe in Recovery Mode.... Eurozone Business Climate Italian Retail Sales 1.00% 1.5 0.00% 1 are,s -1.0094 cc es. s.)Y 0.5 0 -2.00% 0 0 el es -0.5 > > 02 4, .6 z 2 = 2 -3.00% -1 2 -1.5 -4.00% -2 -5.00% -2.5 Source: Bloomberg .6.00% Source. Bloomberg -3 Corporate EBIT Margins (ex Financials) close to 10 year low enables strong profit growth 14.00% 13.0096 12.0096 11111111111111 11.0096 10.0096 9.00% 8.00% 7.0096 6.0096 4.cf;'et.tF;4et.4534' e et.cOlb as' et.se, et.cc:›et.c;09et.c;%1' 4'14 4` Source Bloomberg. UBS 16 BERN DYNAMIC LIP EFTA00294321 Leading German engineer with globalfoot print and secular growth trends • World market leader in paint shops for automotive industry • Unique footprint after decades of expanding in growth markets Summary Financials • Unique skillset helps lower cost and energy efficiency at OEMS Sales 2012 1.5bn EBIT 2012 170m • Volkswagen, Daimler and BMW among largest clients EBIT CAGR 2012-2015 20% • German OEM Capex plans reveal > 10% growth per annum Market cap 1bn • High investments in more energy efficient plants Net debt/ EBITDA 0.1x • As well as expansion in Emerging markets EV/EBIT 2013 5.3x Dividend Yield 2013 3.80% • Valuation suggest Duerr at peak profitability, while we expect ROIC 16% many years of +10% growth Unique Global Footprint Country Founded Employees China Expansion Brazil 48 years 250 2005 2011 CAGR% Mexico 46 years 210 Orders 146 858 34 South Africa 41years 50 Sales 83 575 38 Korea 30 years 115 Employees 119 887 40 China 28 years 1550 Source: Duerr India 21years 410 Russia 14 years 30 Source: Duerr BERN DYNAMIC LLP 17 EFTA00294322 Utilities & telecom incumbents, risk dividend cuts and right issues Recent examples are RWE, EON, and KPN Many contractors took too much risk to 'survive' recession Hochtief receivables rise ➢ Saipem and lmtech: recent examples where aggressive 100 20.00% accounting masked cost overruns and loss making contracts. 90 15.00% ➢ Hochtief has a high risk of being next contractor to warn due to: 1 80 ➢ Dramatic rise in working capital driven by (unbilled) 10.00% receivables signal either: 70 5.00% ➢ Cost overruns preventing billing their clients 60 ➢ Aggressive revenue recognition 50 0.00% ➢ Trade receivables rose to record 93 days in 1O13, up from 40 -5.00% 79 days in 2012 and 75 days in 2011. 1O2010 1O2011 1O2012 1O2013 ➢ Hochtief has lent EUR 600m to Dubai subsidiary to cover DSO (days) —YOY rise % high amounts of overdue receivables following the property bust. None of the debt has been repaid. BERN DYNAMIC LLP 18 EFTA00294323 Shorts: Fake Yielders, Contractors & Accounting Irregularities Utilities & telecom incumbents, risk dividend cuts and right issues r Recent examples are RWE, EON, and KPN Many contractors took too much risk to 'survive' recession Hochtief receivables rise Saipem and lmtech: recent examples where aggressive 100 20.00% accounting masked cost overruns and loss making contracts. /I 90 15.00% Hochtief has a high risk of being next contractor to warn due to: 80 • Dramatic rise in working capital driven by (unbilled) 10.00% receivables signal either: 70 5.00% • Cost overruns preventing billing their clients 60 • Aggressive revenue recognition 50 0.00% • Trade receivables rose to record 93 days in 1O13, up from 40 -5.00% 79 days in 2012 and 75 days in 2011. 1O2010 1O2011 1O2012 1O2013 • Hochtief has lent EUR 600m to Dubai subsidiary to cover DSO (days) —YOY rise % high amounts of overdue receivables following the property bust. None of the debt has been repaid. BERN DYNAMIC LLP 19 EFTA00294324 Appendix Appendix ➢ Monthly Returns ➢ Terms and Service Providers ➢ Bios ➢ Valuation Metrics ➢ Back Office Processes ➢ Top 5 Investment Cases ➢ AUM History ➢ Investor Base ➢ Awards & Press ➢ Investor Relations 20 BERN DYNAMIC LLP EFTA00294325 Net Monthly Returns MSCI Net The Lucerne Capital Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec Year Europe Offshore Fund, LTD LC L TR 2013 4.8% 3.5% -0.6% 0.2% 3.6% -0.8% 3.5% -0.5% 4.2% 4.6% 24.6% 19.8% 2012 12.5% 7.0% -0.7% -0.4% -6.1% -2.1% 0.9% 2.1% 3.1% 2.9% 3.5% 2.2% 26.5% 15.6% 2011 -2.4% 1.4% 4.2% 1.3% -3.4% -0.7% -9.2% -11.4% -5.6% 8.9% -3.7% 0.5% -19.8% •9.3% 2010 -1.2% -6.4% 11.8% -0.1% -12.4% -2.6% 4.2% -5.3% 11.3% 10.1% 6.5% 9.9% 24.7% 6.8% 2009 -0.8% -8.6% 1.9% 28.8% 16.4% 1.1% 13.7% 15.5% 10.2% •9.2% -1.0% 7.5% 95.9% 27.7% 2008 -16.0% 3.8% -3.8% 6.3% 1.7% -11.2% -0.2% 133% -17.2% -15.0% -2.6% -10.1% -43.8% -38.9% 2007 3.0% -1.2% 5.6% 5.8% 3.7% -0.4% -25% -6.7% -0.2% 3.2% -10.4% -2.1% -3.5% 6.0% 2006 7.5% 3J% 2.9% 2.0% -5.1% -0.9% 0.3% 2.1% 0.2% 2.7% 1.9% 6.5% 25.9% 19.1% 2005 1.8% 4.5% 0.8% -2.0% 2.5% 3.8% 4.5% 2.1% 4.7% -4.6% 3.6% 3.5% 27.6% 24.9% 2004 6.1% 3.0% -3A% -0.3% -1.4% 1.5% -0.3% 0.1% 2.4% 1.0% 4.5% 4.5% 18.7% 12.2% 2003 4.2% 3.9% 5.4% 2.5% 1.0% 6.0% 2.1% 1.6% 29.7% 19.8% Cumulative since inception 3142% 121.8% Inception: May 2003 Net annualized return 14.5% 7.9% 21 BERN DYNAMIC LIP EFTA00294326 Terms and Service Providers The Bern Lucerne Fund Fees Management fee: 1.5% Incentive fee: 20% Liquidity Monthly, with 60 days notice Minimum Investment $500,000 Early Redemption Fee First year, 2% Administrator Citco Fund Services (Bermuda) Ltd Prime Brokers Morgan Stanley Goldman Sachs Auditor PricewaterhouseCoopers Legal Paul, Weiss, Rifkind, Wharton & Garrison Walkers 22 BERN DYNAMIC LIP EFTA00294327 Bios Lucernce Capital Team CASEY NUNEZ, Chief Compliance Officer/Chief Financial Officer PIETER TASELAAR Founding Partner & Portfolio Manager since 2002 r Joined Lucerne Capital Management in 2010 ✓ Previously, Senior Associate, BDO Seidman r Previously, Senior Managing Director, ABN AMRO New York, • BS, Georgetown University Head of European Equities 'r Corporate Finance and Capital Markets, ABN AMRO Amsterdam ERNEST J. VERRICO, JR., Controller/Investor Relations 'r MBA, Columbia University 'r Law Degree, Leiden University, the Netherlands r Joined Lucerne Capital Management in 2013 ✓ Previously, Associate, Deloitte & Touche - MBA, Fairfield University Dolan School of Business THUS HOVERS • BBA, Loyola College in Maryland Partner & Portfolio Manager BRIAN JOHNSON, Head of Trading r Joined Lucerne Capital Management in 2007 • Previously, Head of Pan European Small and Mid-cap Equity ✓ Joined Lucerne Capital Management in 2008 Research, ABN AMRO r Previously, Senior Account Officer, Citi Private Bank • Head of Benelux Equity Research, ABN AMRO • BS, University of Florida • Senior Equity Analyst, ABN AMRO • Equity Analyst, Rabobank YOHANES WAHYUDI Trader • MA, International Finance • BA, Economics, University of Amsterdam, the Netherlands Joined Lucerne Capital Management in 2011 • II Ranked Analyst #2, 2006 ✓ Previously, Trading Assistant and Research Analyst Intern, Matrix • Thomson Extel - al Benelux: Small Caps Research, 2006 Capital Group • Brendan Woods Top Gun, 2010 and 2011 ✓ BS, Syracuse University r Brendan Woods Best Minds in Consumer Products, 2011 BERN DYNAMIC LIP 23 EFTA00294328 Absolute fair value metrics (rather than relative value analysis) enhances the selling discipline Strict valuation multiples at entry to invest in pricing inefficiencies with limited downside ✓ Identify attractive entry points with a potential 30% return scenario • Typically 10x EV/EBIT for strong global franchises, generating high returns and have a low capital intensity to support growth r Typically 6x EBIT for more capital intensive cyclical stocks r Key variables are cash conversion, capex/EBITDA, ROIC, fair equity risk premium, cost of debt it Assess risk (beta) by the volatility of a company's cash flow and earnings growth Cash flow based valuation model Focuses on key drivers to generate cash under a variety of market circumstances: • Top line and gross margin resilience • Cost, working capital and capex flexibility • Potential risks in tax, interest charges and hedging policies Ongoing testing of assumptions Models incorporate revenue line input from external macro advisors • Sell if growth is priced in or if investment case fundamentally changes Outperformance is due to our ability to identify and value companies focused on reinvesting or distributing strong andgrowing cash flows BEAN DYNAMIC LLP 24 EFTA00294329 Back Office Processes Committed to protecting client capital while providing the team enough support to effectively manage the Fund Operational Control Features ir Internal features — Clear roles, redundancies and ability to adapt ir External features — Service providers, NAV confirmation, and third-party custody Process Documentation ir Trade processes — Daily reconciliation. Multi-layered system both in-house and at administrator ➢ Research mosaic — Documentation to record our multi-level research process )-e Valuation policy — Month-end formal review including external input away from investment professionals )-e Risk management policy — Daily review of position sizes )-e Cash control policy — Dual signatures and maintaining cash away from brokerage account Registered investment advisor best practices — Documented policies / procedures and compliance oversight ir Privacy policy for investor information Counterparty Agreements ir Extensively negotiated term and facilities with all counterparties Disaster Recovery & Backup Procedures ir Daily backup, off-site data storage, and remote access ready Please refer to the Due Diligence Questionnaire for detail 25 BERN DYNAMIC LLP EFTA00294330 Top 5 Investment Cases As of October 2013 (in alphabetical order)* Company 2014 Valuation Market Cap (Country) Descri .tion Recent Dynamics Summary — (Mil lion €) Largest European temporary employment Ea rly cyclica I recovery play on Europe; significant 13.8x Adecco SA company, with 60% of revs in Europe, 20% in US operating leverage; signals double-digit growth in FCY 6% C 10,285 (Switzerland) and 20% in the UK (Ticker: ADEN VX) periphery with core Europe expected to follow Div 3.3% Leading engineering and consultancy firm, with Recovering end markets (U.S. architect index & early PE 12.8x Arca dis NV strong leading positions in the US, Europe and European recovery indicated by permits & planning); FCY 7.9% C 1,730 (Netherlands) the UK (Ticker: ARCAD NA) high ROIL; large accretive acquisition expected Div 2.9% German automotive component and tire Superior growth prospects on geo diversification, new PE 10.lx Continental AG producer. Key supplier to German OEMs products in safety, and recovery of tire markets; one of FCY 7.2% C 26,991 (Germany) (Ticker: CON GY) cheapest high quality cycl icals in our universe Div 2.6% Distributor of electrical equipment, including Strong growth in the US; European growth is not yet PE 11x Rexel SA (France) wires, cables, ducts, security & telecom products priced in; when it is, operating leverage would kick in FCY 9% C 5,189 & household appliances (Ticker: RXL FP) and push multiples down from already low levels Div 4.7% Designer & manufacturer of innovative systems Among highest ROIC in Dutch market; clean balance PIE 9.4x TKH Group NV for IT, telecom, electrotechnical engineering & sheet to propel growth; pa rtid pati ng in strong FCY 10% C 888 (Netherlands) industrial production (Ticker:TWEKA NA) healthcare and security growth trends Div 4.6% •Excludes index hedges. "These are Lucerne Capital Management, LLC's projections for 2014 as ofApril 2013 and are subject to change. Sourcefor Market Capitalization: Bloomberg, March 31, 2013 BERN DYNAMIC LIP 26 EFTA00294331 AUM History - Lucerne Capital Management Current Funds 27 BERN DYNAMIC LIP EFTA00294332 Investor Base Firm Investor Base as of November 1, 2013 Employee Endowment/ 7.4% foundation 0.1% Multi-family office 4.3% Fund of funds 21.5% High-net worth individuals 66.7% 28 BERN DYNAMIC LLP EFTA00294333 Awards & Press 2010 & 2011 2012 2013 Brendan Wood International's Bloomberg Brief: Hedge Funds Bloomberg Brief: Hedge Funds Top Gun Award June 19, 2012 March 12, 2013 Thijs Hovers, among the 75 most influential Lucerne Bets on European Multinationals while Returns in Brief buyside specialists in Europe Shorting Builders BarclayHedge Award Het Financieele Dagblad Barclay Managed Funds Report Recognition Award June 3, 2013 (Dutch article) 3'd Quarter 2012 Annual Top 10 Hedgefonds Lucerne speculeert op verdere Barclay Roundtable: No Optimal Solution is at The Lucerne Capital Fund, LP koersimplosie Imtech (Hedge Fund Lucerne Hand to Resolve Europe's Credit Crisis Sector: Equity Long/Short — Europe Speculates on lmtech) Het Financieele Dagblad Effect Brendan Wood International's June 14, 2013 (Dutch article) Aug 2012 (Dutch article) Top Gun Award Nederlands hedgefonds in de Verenigde Staten De korte lijntjes van een Nederlands-Amerikaan Thijs Hovers, among top 11buyside investment belegt vooral in Europese aandelen (Dutch Hedge hedgefonds (The Short Lines of a Dutch-American minds in the Dutch Market Fund in the US Invests Primarily in European Hedge Fund) Equities) BarclayHedge Award HFMWeek Awards Nominee Brendan Wood International's Recognition Award October 2013 Best Investment Minds Annual Top 10 Long/Short equity (Global) under 51bn & Long/ Thijs Hovers, Worldwide Consumer Products The Lucerne Capital Fund, LP short equity long term performance (5 years) Sector: Equity Long/Short — Europe Business in Canada Institutional Investor October 29, 2013 Feb 2011 (Online Article) Star Heckle Fund Managers See Opportunity In How Hedge Funds Generate Returns in Europe European Equities BERN DYNAMIC LIP 29 EFTA00294334 Investor Relations BERN DYNAMIC LLP CONTACT Lars A Christiaanse Routine Reporting Monthly: Day I Estimate, Newsletter, Statement Annual: Audited Financial Statements and Kls, both mid-April BERN DYNAMIC LLP 30 EFTA00294335