[SEAL]

 

                                    BERMUDA

                             THE COMPANIES ACT 1981

                          MEMORANDUM OF ASSOCIATION OF

                           COMPANY LIMITED BY SHARES

                             (SECTION 7(1) AND (2))

 

                           MEMORANDUM OF ASSOCIATION

                                       OF

 

                              FOSTER WHEELER LTD.

                   (hereinafter referred to as "the Company")

 

1.  The liability of the members of the Company is limited to the amount (if

    any) for the time being unpaid on the shares respectively held by them.

 

2.  We, the undersigned, namely,

 

 

<TABLE>

<CAPTION>

                                                          BERMUDIAN

                                                           STATUS                               NUMBER OF

NAME                                 ADDRESS              (YES/NO)          NATIONALITY         SUBSCRIBED

----                            -----------------         ---------         -----------         ----------

<S>                             <C>                       <C>               <C>                 <C>

 

ALISON R. GUILFOYLE             2 CHURCH STREET             NO               BRITISH             ONE

                                HAMILTON HM 11

                                BERMUDA

 

JAMES M. MACDONALD                                         YES               BRITISH             ONE

 

ALEC R. ANDERSON                                           YES               BRITISH             ONE

</TABLE>

 

 

    do hereby respectively agree to take such number of shares of the Company as

    may be allotted to us respectively by the provisional directors of the

    Company, not exceeding the number of shares for which we have respectively

    subscribed, and to satisfy such calls as may be made by the directors,

    provisional directors or promoters of the Company in respect of the shares

    allotted to us respectively.

 

3.  The Company is to be an EXEMPTED Company as defined by the Companies Act

    1981.

 

4.  The Company, with the consent of the Minister of Finance, has power to hold

    land situated in Bermuda not exceeding       in all, including the following

    parcels:--

 

    N/A

 

                                      II-1

 

<PAGE>

 

5.  The authorised share capital of the Company is US$12,000.00 divided into

    shares of US$1.00 each. The minimum subscribed share capital of the Company

    is US$12,000.00.

 

 

6.  The objects for which the Company is formed and incorporated are--

 

    1.  TO ACT AND OR TO PERFORM ALL THE FUNCTIONS OF A HOLDING COMPANY IN ALL

       ITS BRANCHES AND TO CO-ORDINATE THE POLICY AND ADMINISTRATION OF ANY

       SUBSIDIARY COMPANY OR COMPANIES WHEREVER INCORPORATED OR CARRYING ON

       BUSINESS OR OF ANY GROUP OF COMPANIES OF WHICH THE COMPANY OR ANY

       SUBSIDIARY COMPANY IS A MEMBER OR WHICH ARE IN ANY MANNER CONTROLLED

       DIRECTLY OR INDIRECTLY BY THE COMPANY OR WHICH ARE IN ANY MANNER

       CONTROLLED DIRECTLY OR INDIRECTLY BY THE SAME ENTITY IN ANY MANNER

       CONTROLLING DIRECTLY OR INDIRECTLY THE COMPANY;

 

    2.  TO RAISE OR SECURE THE PAYMENT OF MONEY IN SUCH MANNER AS THE COMPANY

       MAY THINK FIT AND FOR THAT PURPOSE TO AUTHORISE, ISSUE, OFFER, SELL AND

       DELIVER, COMMON SHARES, PREFERRED SHARES AND OTHER SECURITIES OF THE

       COMPANY, NOTES, OR OTHER EVIDENCES AND TO TRANSFER, REDEEM, AND PURCHASE

       ANY SUCH SECURITIES, NOTES OR EVIDENCES OF INDEBTEDNESS AS AFORESAID;

 

    3.  TO PROVIDE AND OR PROCURE FINANCING AND FINANCIAL INVESTMENT, MANAGEMENT

       AND ADVISORY SERVICES AND ADMINISTRATIVE SERVICES TO ANY ENTITY IN WHICH

       THE COMPANY OWNS, DIRECTLY OR INDIRECTLY AN EQUITY INTEREST (REGARDLESS

       OF WHETHER THE SAME CARRIES ANY VOTING RIGHTS OR PREFERRED RIGHTS OR

       RESTRICTIONS); AND, IN CONNECTION WITH ANY OF THE FOREGOING, TO PROVIDE

       AND OR PROCURE CREDIT, FINANCIAL ACCOMMODATION, LOANS AND OR ADVANCES

       WITH OR WITHOUT INTEREST OR BENEFIT TO THE COMPANY TO ANY SUCH ENTITY AND

       TO LEND TO AND OR DEPOSIT WITH ANY FINANCIAL INSTITUTION, FUND AND OR

       TRUST, ALL OR ANY PROPERTY OF THE COMPANY AND OR ANY INTEREST THEREIN TO

       PROVIDE COLLATERAL FOR LOANS OR OTHER FORMS OF FINANCING PROVIDED TO ANY

       SUCH ENTITY;

 

    4.  TO ACT AS AN INVESTMENT COMPANY AND FOR THAT PURPOSE TO ACQUIRE AND HOLD

       UPON ANY TERMS AND, EITHER IN THE NAME OF THE COMPANY OR THAT OF ANY

       NOMINEE, SHARES, STOCK, DEBENTURES, DEBENTURE STOCK, OWNERSHIP INTERESTS,

       ANNUITIES, NOTES, MORTGAGES, BONDS, OBLIGATIONS AND SECURITIES, FOREIGN

       EXCHANGE, FOREIGN CURRENCY DEPOSITS AND COMMODITIES, ISSUED OR GUARANTEES

       BY ANY COMPANY OR PARTNERSHIP WHEREVER INCORPORATED, ESTABLISHED OR

       CARRYING ON BUSINESS, OR BY ANY GOVERNMENT, SOVEREIGN, RULER,

       COMMISSIONERS, PUBLIC BODY OR AUTHORITY, SUPREME, MUNICIPAL, LOCAL OR

       OTHERWISE, BY ORIGINAL SUBSCRIPTION, TENDER, PURCHASE, EXCHANGE,

       UNDERWRITING, PARTICIPATION IN SYNDICATES OR IN ANY OTHER MANNER AND

       WHETHER OR NOT FULLY PAID UP, AND TO MAKE PAYMENTS THEREON AS CALLED UP

       OR IN ADVANCE OF CALLS OR OTHERWISE AND TO SUBSCRIBE FOR THE SAME,

       WHETHER CONDITIONALLY OR ABSOLUTELY, AND TO HOLD THE SAME WITH A VIEW TO

       INVESTMENT, BUT WITH THE POWER TO VARY ANY INVESTMENTS, AND TO EXERCISE

       AND ENFORCE ALL RIGHTS AND POWERS CONFERRED BY OR INCIDENT TO THE

       OWNERSHIP THEREOF, AND TO INVEST AND DEAL WITH THE MONEYS OF THE COMPANY

       NOT IMMEDIATELY REQUIRED UPON SUCH SECURITIES AND IN SUCH MANNER AS MAY

       BE FROM TIME TO TIME DETERMINED;

 

    5.  BUYING, SELLING AND DEALING IN GOODS OF ALL KINDS;

 

    6.  ACQUIRING BY PURCHASE OR OTHERWISE AND HOLDING AS AN INVESTMENT

       INVENTIONS, PATENTS, TRADE MARKS, TRADE NAMES, TRADE SECRETS, DESIGNS AND

       THE LIKE;

 

    7.  BUYING, SELLING, HIRING, LETTING AND DEALING IN CONVEYANCES OF ANY SORT;

 

    8.  TO ACQUIRE BY PURCHASE OR OTHERWISE HOLD, SELL, DISPOSE OF AND DEAL IN

       REAL PROPERTY SITUATED OUTSIDE BERMUDA AND IN PERSONAL PROPERTY OF ALL

       KINDS WHERESOEVER SITUATED; AND

 

    9.  TO ENTER INTO ANY GUARANTEE, CONTRACT OF INDEMNITY OR SURETYSHIP AND TO

       ASSURE, SUPPORT OR SECURE WITH OR WITHOUT CONSIDERATION OR BENEFIT THE

       PERFORMANCE OF ANY OBLIGATIONS OF ANY PERSON OR PERSONS AND TO GUARANTEE

       THE FIDELITY OF INDIVIDUALS FILLING OR ABOUT TO FILL SITUATIONS OF TRUST

       OR CONFIDENCE.

 

                                      II-2

 

<PAGE>

7.  Powers of the Company

 

    1.  THE COMPANY SHALL, PURSUANT TO THE SECTION 42 OF THE COMPANIES ACT 1981,

       HAVE THE POWER TO ISSUE PREFERENCE SHARES WHICH ARE, AT THE OPTION OF THE

       HOLDER, LIABLE TO BE REDEEMED.

 

    2.  THE COMPANY SHALL, PURSUANT TO SECTION 42A OF THE COMPANIES ACT 1981,

       HAVE THE POWER TO PURCHASE ITS OWN SHARES.

 

    Signed by each subscriber in the presence of at least one witness attesting

the signature thereof

 

 

<TABLE>

<S>                                                <C>

------------------------------------------         ------------------------------------------

 

       (signed) Alison R. Guilfoyle                               L. Avanthay

------------------------------------------         ------------------------------------------

 

       (signed) James M. MacDonald                                L. Avanthay

------------------------------------------         ------------------------------------------

 

        (signed) Alec R. Anderson                                 L. Avanthay

------------------------------------------         ------------------------------------------

              (SUBSCRIBERS)                                       (WITNESSES)

</TABLE>

 

 

 

SUBSCRIBED this 15th day of December, 2000

 

 

 

 

[The following amendments were approved by shareholders on July 10, 2014]

AMENDMENTS TO ARTICLES 8, 16 AND 33 OF OUR ARTICLES OF ASSOCIATION TO REVISE THE TRANSFER RESTRICTIONS AND THE VOTING LIMITATIONS AND TO ADD NEW DEFINITIONS

The Implementation Agreement provides that our Company shall amend its Articles of Association in relation to certain transfer and voting rights restrictions. Our Board of Directors recommends that our shareholders approve the amendment of the transfer restrictions and voting rights restrictions in article 8 paragraph 5 and article 16 paragraph 5 of the Articles of Association to allow a shareholder who, together with its affiliates, holds more than 2/3 of all issued and outstanding Shares as a direct result of Shares acquired in a successful public tender offer, to be registered as a shareholder along with any affiliates of such shareholder that hold Shares with voting rights in relation to all Shares held by such person. Further, each affiliate of such person shall also be entitled to be registered as a shareholder with voting rights in relation to all Shares held by such affiliate. Thereby the transfer and voting rights limitation of 10% shall in principle be upheld until the 2/3 threshold is reached, but a shareholder who has acquired a controlling 2/3 majority of the Company following a public tender offer shall be given the assurance that it will, immediately on acquisition of such shareholding, be registered as a shareholder with voting rights for all Shares held by it and that any of its affiliates holding Shares shall be registered as a shareholder with voting rights for all Shares so held by the relevant affiliate.

As a result, the Board of Directors proposes:

 

 

a)

revisions to article 8 paragraph 5 of our Articles of Association, as set forth below;

 

 

b)

revisions to article 16 paragraph 5 of our Articles of Association, as set forth below;

 

 

c)

revisions to article 33 of our Articles of Association, as set forth below; and

 

 

d)

that article 8(5) , article 16(5) and article 33 of our Articles of Association be amended as follows:

 

Existing Version (English) of para 5 of

    

Proposed New Version (English) of para 5 of

Art. 8 Shareholders Register

    

Art. 8 Shareholders Register

“(5) No person shall be registered with voting rights for 10 % or more of the share capital as recorded in the commercial register. This limitation on registration also applies with respect to shares held by Nominees on behalf of a Person which Beneficially Owns 10 % or more of the shares of the Company, whether or not any such individual Nominee’s holdings exceed the limit set forth in the preceding sentence. The Board is authorized to grant exceptions to the limitation on registration set forth in this section, including to register in particular Clearing Nominees with 10 % or more of the shares of the Company. The shares exceeding the limit set forth in this section 5 shall be entered in the share register as shares without voting rights. In furtherance of the provisions of this section, the Board of Directors is authorized at any time to request from any Person which discloses publicly, including in any filing with the SEC, or to the Company that it Beneficially

    

“(5) No Person shall be registered with voting rights for 10 % or more of the share capital as recorded in the commercial register except in case of a Public Tender Offer Exemption (cf. Art. 33). This 10% limitation on registration also applies with respect to shares held by Nominees on behalf of a Person which Beneficially Owns 10 % or more of the shares of the Company, whether or not any such individual Nominee’s holdings exceed the 10% limit set forth in the preceding sentence except in case of a Clearing Nominee Exception (cf. Art. 33). The Board is authorized to grant further exceptions to the limitation on registration set forth in this section, including to register in particular Clearing Nominees with 10 % or more of the shares of the Company. In any case where the Public Tender Offer Exemption and the Clearing Nominee Exemption do not apply, the shares exceeding the limit set forth in this section 5 shall be entered in the share register as shares without voting

 

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Owns 10 % or more of the shares of the Company, that such Person provide information with respect to all of its shares that it Beneficially Owns which are being held by Nominees or other Persons on its behalf.”

    

rights. In furtherance of the provisions of this section, the Board of Directors is authorized at any time to request from any Person which discloses publicly, including in any filing with the SEC, or to the Company that it Beneficially Owns 10 % or more of the shares of the Company, that such Person provide information with respect to all of its shares that it Beneficially Owns which are being held by Nominees or other Persons on its behalf.”

 

Existing Version (German) of para 5 of

    

Proposed New Version (German) of para 5 of

Art. 8 Aktienbuch

    

Art. 8 Aktienbuch

“(5) Keine natürliche oder juristische Person wird mit Stimmrecht im Umfang von 10% oder mehr des im Handelsregister eingetragenen Aktienkapitals im Aktienregister eingetragen. Diese Begrenzung der Eintragung findet auch Anwendung auf Aktien, welche von Nominees für Personen gehalten werden, welche an 10 % oder mehr der Aktien wirtschaftlich berechtigt sind (wie in Art. 33 der Statuten definiert), wobei dies unabhängig davon gilt, ob die Aktien des individuellen Nominees die im vorangehenden Satz festgesetzte Begrenzung überschreiten. Der Verwaltungsrat ist berechtigt, Ausnahmen zuzulassen und insbesondere Clearing Nominees im Ausmass von 10 % oder mehr zu registrieren. Die Aktien, welche die Grenze nach diesem Abs. 5 überschreiten, werden im Aktienbuch als Aktien ohne Stimmrecht registriert. Des weiteren ist der Verwaltungsrat berechtigt, von einer Person, die wirtschaftlich an einer Beteiligung an der Gesellschaft im Umfang von 10 % oder mehr des im Handelsregister eingetragenen Aktien-kapitals berechtigt ist und dies öffentlich offengelegt hat (insbesondere im Rahmen einer Offenlegung an die SEC oder an die Gesellschaft), Auskunft darüber zu verlangen, ob und allenfalls über welche Nominees oder andere Personen sie als wirtschaftlicher Eigentümer diese Aktien hält.”

    

“(5) Keine Person wird mit Stimmrecht von 10% oder mehr des im Handelsregister eingetragenen Aktienkapitals im Aktienregister eingetragen, ausser im Falle der Ausnahmeregelung öffentliches Übernahmeangebot (vgl. Art. 33). Diese Begrenzung der Eintragung auf 10% findet auch Anwendung auf Aktien, welche von Nominees für eine Persongehalten werden, welche an 10 % oder mehr der Aktien wirtschaftlich berechtigt ist (wie in Art. 33 der Statuten definiert), wobei dies unabhängig davon gilt, ob die Aktien des individuellen Nominees die im vorangehenden Satz festgesetzte 10% Begrenzung überschreitenausser im Falle der Clearing Nominee Ausnahmeregelung (vgl. Art. 33). Der Verwaltungsrat ist berechtigt,weitere Ausnahmen zuzulassen und insbesondere Clearing Nominees im Ausmass von 10 % oder mehr zu registrierenSoweit die Ausnahmeregelung öffentliches Übernahmeangebot und die Clearing Nominee Ausnahmeregelung nicht anwendbar sind, werden die Aktien, welche denGrenzwert nach diesem Abs. 5 überschreiten, im Aktienbuch als Aktien ohne Stimmrecht registriert. Des Weiteren ist der Verwaltungsrat berechtigt, von einer Person, die wirtschaftlich an einer Beteiligung an der Gesellschaft im Umfang von 10 % oder mehr des im Handelsregister eingetragenen Aktienkapitals berechtigt ist und dies öffentlich offengelegt hat (insbesondere im Rahmen einer Offenlegung an die SEC oder an die Gesellschaft), Auskunft darüber zu verlangen, ob und allenfalls über welche Nominees oder andere Personen sie als wirtschaftlicher Eigentümer diese Aktien hält.”

* * * * * * * *

 

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Existing Version (English) of para 5 of

    

Proposed New Version (English) of para 5 of

Art. 16 Right to Participation, Voting Rights

    

Art. 16 Right to Participation, Voting Rights

“(5) The limit contained in article 16 section 3 shall not apply to the exercise of voting rights pursuant to the statutory rules on institutional shareholder representatives.”

    

“(5) The limit contained in article 16 section 3 shall also not apply to the exercise of voting rights (i) pursuant to the statutory rules on the independent proxy, and (ii) by a Person (including, for the avoidance of doubt, an Affiliate of such Person and a Clearing Nominee of such Person or of any of its Affiliates) who (yy) is registered in the share register as a shareholder with voting rights on the basis of the Public Tender Offer Exemption (cf. Art. 33) or (zz) exercises voting rights in relation to Beneficially Owned shares through a Clearing Nominee where such Beneficially Owned shares registered in the name of such Clearing Nominee benefit from the Clearing Nominee Exemption (cf. Art. 33).”

 

Existing Version (German) of para 5 of

    

Proposed New Version (German) of para 5 of

Art. 16 Recht auf Teilnahme, Stimmrecht

    

Art. 16 Recht auf Teilnahme, Stimmrecht

“(5) Die Begrenzung in Art. 16 Abs. 3 gilt zudem nicht für die Ausübung des Stimmrechts gemäss den gesetzlichen Bestimmungen über institutionelle Aktionärsvertreter.”

    

“(5) Die Begrenzung in Art. 16 Abs. 3 gilt zudem nicht für die Ausübung von Stimmrechten (i)gemäss den gesetzlichen Bestimmungen über den unabhängigen Stimmrechtsvertreter, und (ii) durch eine Person (einschliesslich die mit ihr verbundenen Personen und Clearing Nominees dieser Person oder von mit ihr verbundenen Personen), welche (yy) aufgrund der Ausnahmeregelung öffentliches Übernahmeangebot (vgl. Art. 33) im Aktienregister als Aktionär mit Stimmrecht eingetragen ist oder (zz) ihr Stimmrecht bezüglich Aktien, an denen sie wirtschaftlich berechtigt ist, über einen Clearing Nominee ausübt und dieser Clearing Nominee bezüglich dieser Aktien gestützt auf die Clearing Nominee Ausnahmeregelung (vgl. Art. 33) als Aktionär mit Stimmrecht im Aktienregister eingetragen ist.”

* * * * * * * *

 

Existing Version (English)

  

Proposed New Definitions (English) to be added in

Art. 33 Definitions

  

Art. 33 Definitions

(The present version of the Articles of Association does not provide definitions of “Affiliate,” “Clearing Nominee Exemption” or “Public Tender Offer Exemption.”)

  

[The following additional definitions will be inserted in article 33 (in alphabetical order).]

 

•      ““Affiliate” means, in relation to any Person, any subsidiary or parent company of that Person and any subsidiary of any such parent company, in each case from time to time (and for the purposes of this definition: (i) “parent company” means any company which holds a majority of the voting rights in another company, or which is a member of another

 

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       company and has the right to appoint or remove a majority of its board of directors, or which is a member of another company and controls a majority of the voting rights in it under an agreement with other members, in each case whether directly or indirectly through one or more companies; and (ii) “subsidiary” means any company in relation to which another company is its parent company);

 

•      “Clearing Nominee Exemption” means the registration and/or the perpetuation of the registration of Clearing Nominees in the share register with voting rights of 10% or more of the share capital as recorded in the commercial register with regard to shares such Clearing Nominees hold on behalf of a Person which Beneficially Owns shares which, had that Person been the legal owner of such Beneficially Owned shares, would have been entitled to have been registered in the share register as a shareholder with voting rights on the basis of the Public Tender Offer Exemption;

 

•      “Public Tender Offer Exemption” means the registration of a Person with voting rights of 10% or more of the share capital as recorded in the commercial register in case such Person’s shareholding (including shareholdings held by Affiliates of such Person and shareholdings held by such Person or any of its Affiliates through a Clearing Nominee) exceeds 2/3 of the Company’s issued and outstanding share capital as a direct result of shares acquired in a successful public tender offer, in which case such Person and its Affiliates shall, as long as their aggregate shareholdings (including shares held through Clearing Nominees) continue to exceed such 2/3 threshold, be registered with their respective voting rights for all shares such Person and its Affiliates hold from time to time (including, for the avoidance of doubt, any shares acquired by such Person or its Affiliates other than pursuant to the successful public tender offer);”

 

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Existing Version (German)

  

Proposed New Definitions (German) to be added in

Art. 33 Definitionen

  

Art. 33 Definitionen

(The present version of the Articles of Association does not provide definitions of “Verbundene Person,” “Clearing Nominee Ausnahmeregelung” or “Ausnahmeregelung öffentliches Übernahmeangebot.”)

  

    [The following additional definitions will be inserted in article 33.]

 

•   ““Verbundene Person” wird, in Bezug auf eine beliebige Person, definiert als jede Tochter- oder Muttergesellschaft dieser Person und jeweils jede Tochtergesellschaft einer solchen Muttergesellschaft (und zum Zwecke dieser Definition: (i) “Muttergesellschaftwird definiert als jede Gesellschaft, die eine Mehrheit der Stimmrechte an einer anderen Gesellschaft hält oder die Gesellschafterin einer anderen Gesellschaft ist und das Recht hat, die Mehrheit ihrer Verwaltungsorgane zu bestellen oder abzuberufen oder die Mehrheit der Stimmrechte an einer Gesellschaft im Rahmen eines Vertrages mit anderen Gesellschaftern kontrolliert, jeweils entweder direkt oder indirekt durch eine oder mehrere Gesellschaften; und (ii) “Tochtergesellschaftbezeichnet jede Gesellschaft, im Verhältnis zu welcher eine andere Gesellschaft Muttergesellschaft ist);

 

•   “Clearing Nominee Ausnahmeregelung wird definiert als die Eintragung und/oder Aufrechterhaltung der Eintragung von Clearing Nominees im Aktienregister mit Stimmrechten von 10% oder mehr des im Handelsregister eingetragenen Aktienkapitals bezüglich der von diesen Clearing Nominees gehaltenen Beteiligungen im Falle, dass die Beteiligung durch die Clearing Nominees für eine wirtschaftlich berechtigte Person gehalten wird, die aufgrund der Ausnahmeregelung öffentliches Übernahmeangebot im Aktienregister mit Stimmrecht eingetragen werden könnte, wenn sie diese Aktien direkt halten würde;

 

Ausnahmeregelung öffentliches Übernahmeangebot wird definiert als die Eintragung einer Person mit Stimmrechten von 10% oder mehr des im Handelsregister eingetragenen Aktienkapitals im Aktienregister im Falle, dass die Beteiligung einer solchen Person (einschliesslich Aktien, welche mitdieser Person verbundene Personen halten und Aktien, welche diese Person oder mit ihr verbundene Personen durch Clearing Nominees halten) als direkte Folge des Erwerbs von Aktien im Rahmen eines zustande gekommenen öffentlichen Übernahmeangebots 2/3 des ausstehenden und ausgegebenen Aktienkapitals der Gesellschaft übersteigt. In diesem Fall werden eine solche Person und die mit ihr verbundenen Personen, so lange als ihre gesamten Beteiligungen (einschliesslich Aktien, die durch Clearing Nominees gehalten werden) weiterhin den Schwellenwert von 2/3 übersteigen, für alle Aktien, welche diese Person

 

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und die mit ihr verbundenen Personen zum jeweiligen Zeitpunkt halten, mit ihren entsprechenden Stimmrechten im Aktienregister eingetragen (einschliesslich Aktien, die durch diese Person oder mit ihr verbundene Personen ausserhalb des öffentlichen Übernahmeangebots erworben wurden);”

 

[As Filed: 06-12-2014]