AE Friction Gap Client Mapping Slide Intro 2025 02

*VMGXMSR+ET 1ETTMRK &VYGI3PWSR FSPWSR$TWEHZMWSV]GSQ %RHVI[&EVXIPW EFEVXIPW$TWEHZMWSV]GSQ 8SQ/MRK XOMRK$TWEHZMWSV]GSQ 䑷˧z˧
ÔŗôķėijŞ˧ėİŞijôìñĿ˧˂ˀ˂˅

;LEXMWXLI*VMGXMSR+ET 36$GYLVRU\SHUIRUPHGDQDQDO\VLVRIWKH 3URSHUW\&DVXDOW\FRPSDQLHVLQWKH86WR LGHQWLI\VRPHRIWKHGLIIHUHQFHVEHWZHHQ RYHUSHUIRUPLQJYVXQGHUSHUIRUPLQJLQVXUHUV DQGWKHLPSDFW³)ULFWLRQ´KDVRQUHVXOWV)URP WKLVZH¶UHDEOHWRGUDZVRPHFRQFOXVLRQVDQG DSSURDFKHVZKHQZRUNLQJZLWKGLIIHUHQW LQVXUHUV8VLQJWKH)ULFWLRQ*DSDQDO\VLVLWLV SRVVLEOHWRPHDVXUHRQHLQVXUHUDJDLQVWWKHLU SHHUV )ULFWLRQDIIHFWVDOOLQVXUHUVDJHQWVEURNHUV DQGUHLQVXUHUVEXW3URSHUW\&DVXDOW\LQVXUHUV DUHXQLTXHLQWKHLUXVHRIWKH&RPELQHG5DWLR PDNLQJLWHDV\WRTXDQWLI\UHVXOWV

-RWYVIVWXLEXQETXSXLMWGLEVXEVIELIEHSJXLIGSQTIXMXMSR &RPSDULQJ&RPELQHG5DWLRVDJDLQVWWKH FRPSHWLWLRQZHFDQPDSZKHUH\RXUFOLHQW ODQGV7KHOHIWKDQGFROXPQLVYHU\ LQWHUHVWLQJWKHVHLQVXUHUVDUHEHDWLQJWKH FRPSHWLWLRQRYHUDOOZLWKDORZHUFRPELQHG UDWLREXWKDYHKLJKHUH[SHQVHUDWLRVWKDQ WKHLUSHHUVPHDQLQJWKH\DUHOHVVHIILFLHQW 7KLVJURXSUHSUHVHQWVRI³ZLQQLQJ´ )ULFWLRQ*DSLQVXUHUV7KHPRVWHIIHFWLYHLQVXUHUVDUHLQ WKHULJKWFROXPQ7KHGLIIHUHQFHEHWZHHQ WKHVHWZRJURXSVLVDUHVXOWRIWKH)ULFWLRQ *DS$GGUHVVLQJWKLV³)ULFWLRQ*DS´ZLOOQRW RQO\LPSURYHWKHUHVXOWVRIWKHLQVXUHUVLQ WKHOHIWFROXPQEXWZLOODOVRPDNHWKHP PRUHIOH[LEOHDQGDJLOH

-RWYVIVWXLEXQETXSXLMWGLEVXEVIRSXHSMRKEW[IPPEWXLI GSQTIXMXMSR ,QVXUHUVRQWKLVFKDUWFRXOGEHKHUHIRUD PXOWLWXGHRIUHDVRQV1DWXUDOGLVDVWHUV FODLPVLQIODWLRQVPDUNHWIRUFHV7KHNH\ LVWRXQGHUVWDQGZK\WKH\DUHQRWGRLQJ DVZHOODVWKHFRPSHWLWLRQDQGZKDWFDQ EHGRQHWRFRUUHFWWKLV.HHSLQPLQG KDYLQJDFRPELQHGUDWLROHVVWKDQWKH FRPSHWLWLRQ'2(6127PHDQWKH\DUH XQSURILWDEOH7KLVLVDSHHUWRSHHU FRPSDULVRQWRWU\DQGGULYHFRQYHUVDWLRQ DQGRSHQGLDORJXHRQKRZWKH\FDQQRW RQO\LPSURYHWRGD\EXWSRVLWLRQ WKHPVHOYHVEHWWHUIRUWKHIXWXUH

;LIVIHSIW]SYVGPMIRXWXERH#-J]SYLEZIE4'GPMIRX[I GERQETXLIMVVIWYPXWERHGVEJXEWEPIWETTVSEGL[MXL]SY )QEMPJVMGXMSR$TWEHZMWSV]GSQ