OFII Guarantee Fees Survey Results & Findings The survey was conducted across our entire membership and we received thirty three responses. Any references to company names or practices that may have been included in the responses have been removed to ensure confidentiality. if you have any questions or comments.

Question #1: Please indicate by Yes or No if you pay the following types of guarantee fees to foreign affiliates: a) Debt b) Performance c) Other Question #1: Please indicate by Yes or No if you pay the following types of guarantee fees to foreign affiliates: a) Debt b) Performance c) Other Two-thirds of respondents paid one or multiple forms of guarantee fees to foreign affiliates. 64 percent, 21 of 33, said they paid one or multiple guarantee fees. 64 percent, 21 of 33, said they paid one or multiple guarantee fees. Nearly all of those paying fees, paid only with respect to debt 90 percent, 19 of 21, paid only Debt. 90 percent, 19 of 21, paid only Debt. 2 paid Performance fees in addition to Debt fees 2 paid Performance fees in addition to Debt fees 2 also were provided guarantees on real estate Leases but only 1 paid a fee for this guarantee 2 also were provided guarantees on real estate Leases but only 1 paid a fee for this guarantee Large majority held debt and paid fees on that debt. 70 percent of those with debt, 21 of 30, paid guarantee fees on that debt. 70 percent of those with debt, 21 of 30, paid guarantee fees on that debt.

Question #2: For those that responded yes in Question 1, please indicate A) how the amount of the fee is determined and B) whether it is part of your transfer pricing analysis and documentation? Responses to Question 2A varied significantly and did not lend themselves to interpretation. To receive a sample of written responses, redacted to ensure confidentiality, please Less than a third of respondents reported using third party consultation and analysis in fee determination. 23 percent, 5 of 22, reported third party input in fee determination 23 percent, 5 of 22, reported third party input in fee determination Less than a third reported that their Global Parent set the amount of fees. 23 percent, 5 of 22, said the Global Parent 23 percent, 5 of 22, said the Global Parent Almost one-third reported including fees in their transfer pricing analysis and documentation. 32 percent, 7 of 22, included fees 32 percent, 7 of 22, included fees

Question #3: If you answered yes to question 1, what rate did you charge for your guarantee fee? The average rate (mean) charged for a guarantee fee was 24 basis points. A majority of companies paid fees of less than 15 basis points to their foreign affiliate. 13 companies, 60 percent of those paying fees, pay between 0 and 15 bps. 13 companies, 60 percent of those paying fees, pay between 0 and 15 bps. The range of fees paid was from 5 – 100 bps. 13 paid between 5 – 15 bps (60 percent) 13 paid between 5 – 15 bps (60 percent) 4 paid pay between 15 – 30 bps (18 percent) 4 paid pay between 15 – 30 bps (18 percent) 2 paid between 30 – 50 bps (9 percent) 2 paid between 30 – 50 bps (9 percent) 3 paid between 45 – 60 bps (14 percent) 3 paid between 45 – 60 bps (14 percent)