Richard L. Scott Investments, LLC (“RLSI”) is a private investment firm founded on the core principles of value investing.  RLSI follows a business philosophy of investing at sensible prices in companies that offer the opportunity for solid, achievable growth.  The firm’s investment professionals focus on “bottoms-up” fundamental analysis of potential investment candidates with an emphasis on cash flow generation.  RLSI evaluates both publicly-traded and private equity investment opportunities in many industries and generally invests in companies that possess the following fundamental criteria:

• A sensibly priced company with an important market position and potential for leadership in a defendable business niche
• Proprietary products or services with proven market acceptance and low risk of technological obsolescence that are not dependent upon current fashion or subject to other factors of rapid change
• Profit margins indicative of a dominant competitive position or high franchise value

In addition to these criteria, RLSI looks for other factors that may enhance a company's potential for earnings growth and capital appreciation:

• A well-established business
• Capable and ethical management in place
• Management is “Shareholder Friendly” and accessible
• Insiders have significant ownership in the company
• Strong operating income and predictable cash flow; or, alternatively, declining profitability that can be reversed through strategic redirection
• High quality assets, which may include redundant, underutilized or hidden assets

Further consideration is given to companies where the firm believes that its expertise can add value toward the strategic direction of the company in question.