(1) A formal valuation shall contain the valuator’s opinion as to a value or range of values representing the fair market value of the subject matter of the valuation.
(2) A person preparing a formal valuation under this Instrument shall
(a) prepare the formal valuation in a diligent and professional manner,
(b) prepare the formal valuation as of an effective date that is not more than 120 days before the earlier of
(i) the date that the disclosure document for the transaction is first sent to security holders, if applicable, and
(ii) the date that the disclosure document is filed,
(c) make appropriate adjustments in the formal valuation for material intervening events of which it is aware between the effective date of the valuation and the earlier of the dates referred to in subparagraphs (i) and (ii) of paragraph (b),
(d) in determining the fair market value of offeree securities or affected securities, not include in the formal valuation a downward adjustment to reflect the liquidity of the securities, the effect of the transaction on the securities or the fact that the securities do not form part of a controlling interest, and
(e) provide sufficient disclosure in the formal valuation to allow the readers to understand the principal judgments and principal underlying reasoning of the valuator so as to form a reasoned judgment of the valuation opinion or conclusion.