INVESTOR PRESENTATION DESERT HOPE ALUMNI AUGUST, 2016 IMPORTANT - - PowerPoint PPT Presentation

INVESTOR PRESENTATION

AUGUST, 2016

DESERT HOPE ALUMNI

IMPORTANT PRESENTATION INFORMATION

2

Notice to Investors

We use market data and industry forecasts and projections throughout this presentation, including data from publicly available information and industry publications. These sources generally state that the information they provide has been obtained from sources believed to be reliable, but that the accuracy and completeness of the information are not guaranteed. The forecasts and projections are based on industry surveys and the preparers’ experience in the industry, and there can be no assurance that any of the forecasts or projections will be achieved. We believe that the surveys and market research others have performed are reliable, but we have not independently investigated or verified this information. Forecasts and other forward-looking information obtained from these sources are subject to the same qualifications and uncertainties as the other forward-looking statements contained in this presentation.

Forward-Looking Statements

Some of the statements made in this presentation constitute forward-looking statements within the meaning of federal securities laws. Forward-looking statements reflect our current views with respect to future events and performance. In some cases you can identify forward-looking statements by terminology such as “may,” “might, “will,” “should,” “could” or the negative thereof. Generally, the words “anticipate,” “believe,” “continues,” “expect,” “intend,” “estimate,” “project,” “plan” and similar expressions identify forward-looking statements. In particular, statements about our pipeline, industry growth opportunities, disclosure of key performance indicators, business growth strategy and financial guidance in this presentation are forward-looking statements. We have based these forward-looking statements on our current expectations, assumptions, estimates and projections. While we believe these expectations, assumptions, estimates and projections are reasonable, such forward-looking statements are only predictions and involve known and unknown risks, uncertainties and

• ther factors, many of which are outside of our control, which could cause our actual results, performance or achievements to differ materially from any results,

performance or achievements expressed or implied by such forward-looking statements. For additional discussion of risks, uncertainties and other factors, see the section titled “Risk Factors” in our Annual Report on Form 10-K and other filings with the Securities and Exchange Commission (the "SEC"). Risks, uncertainties and other factors include, without limitation: (i) our inability to operate our facilities; (ii) our reliance on our sales and marketing program to continuously attract and enroll clients; (iii) a reduction in reimbursement rates by certain third-party payors for inpatient and outpatient services and point of care and definitive lab testing; (iv) our failure to successfully achieve growth through acquisitions and de novo expansions; (v) uncertainties regarding the timing of the closing of acquisitions; (vi) our failure to achieve anticipated financial results from prior or pending acquisitions and the integration thereof; (vii) the possibility that a governmental entity may prohibit, delay or refuse to grant approval for the consummation of an acquisition; (viii) a disruption in our ability to perform diagnostic drug testing services; (ix) maintaining compliance with applicable regulatory authorities, licensure and permits to operate our facilities and lab; (x) a disruption in our business and reputation and potential economic consequences associated with the indictment of certain of our subsidiaries and current and former employees and the civil securities claims brought by shareholders; (xi) our inability to agree on conversion and other terms for the balance of convertible debt; (xii) our inability to meet our covenants in our loan documents; (xiii) our inability to obtain senior lender consent to exceed the current $50 million limit in unsecured subordinated debt; (xiv) our inability to integrate newly acquired facilities; and (xv) general economic conditions, as well as other risks discussed in the “Risk Factors” section of the Company’s Annual Report on Form 10-K and

• ther filings with the SEC.

Given these risks and uncertainties, you are cautioned not to place undue reliance on such forward-looking statements. These risks and uncertainties may cause our actual future results to be materially different than those expressed in our forward-looking statements. These forward-looking statements are made only as of the date

• f this presentation. We do not undertake and specifically decline any obligation to update any such statements or to publicly announce the results of any revisions to

any such statements to reflect future events or developments.

PRESENTERS

• Founder and CEO of Foundations Recovery Network
• At Foundations, opened notable treatment facilities including the Canyon in

Malibu, La Paloma in Memphis and Michael’s House in Palm Springs

• Started Moments of Change & Lifestyle Intervention, two of the leading

national industry conferences

• Author of Believable Hope
• 20 years of management experience
• Founder and Managing Member of Private Capital Securities, a boutique

investment banking firm

• Former Vice President at Piper Jaffray and Fixed Income Specialist with

Stephens Inc.

• Co-founder and CEO of four communications companies including Igaea, an

international VoIP Company

• 23+ years management experience
• Former auditor with Ernst & Young LLP, a national public accounting firm
• Served multiple large for-profit healthcare clients in Nashville, TN and Atlanta,

GA including Fortune 100

• Experience across a variety of corporate transactions, including public
• fferings of securities and mergers and acquisitions
• 17+ years industry experience

Michael T. Cartwright

Chairman

(since 2011)


Chief Executive Officer

(since 2013) michael@contactaac.com

Kirk R. Manz

Chief Financial Officer

(since 2011) kmanz@contactaac.com

Andrew W. McWilliams

Chief Accounting Officer

(since 2014) amcwilliams@contactaac.com

3

AAC: WHY

4

> Addiction is a chronic disease that affects 23 million people (1)

• 4.1 million seek treatment for addiction annually (1)
• $600 billion annual societal cost (2)


> Drug overdose is now the leading cause of accidental death in the U.S. (3)

• 105 people die and another 6,748 are treated in emergency departments every day as a result of drug
• verdose or for the misuse or abuse of drugs (4)


> The substance abuse treatment industry is a highly fragmented industry ripe for consolidation

• 28,600 treatment clinics and residential centers operated by over 19,200 enterprises (5)

(1) 2012 National Survey on Drug Use and Health (2) National Institute on Drug Abuse (3) Centers for Disease Control and Prevention (4) National Comorbidity Survey (5) Management estimate based on IBISWorld estimates

AAC EXISTS TO HELP PEOPLE SUFFERING FROM ADDICTION AND CO-OCCURRING DISORDERS TO OBTAIN SOBRIETY AND LIVE HAPPY, HEALTHY AND PRODUCTIVE LIVES

AAC: AT A GLANCE

5

> American Addiction Centers, Inc. (“AAC”)

• Headquartered in Brentwood, Tennessee
• Operates 12 residential alcohol and drug addiction treatment facilities in California, Florida, Louisiana,

Mississippi, Nevada, New Jersey and Texas

• Operates 18 standalone outpatient centers in Nevada, Louisiana, Mississippi, New Jersey, Rhode Island and

Texas

• $212 million 2015 revenue up 60% from $133 million revenue in 2014
• Approx. 90% of reimbursements from commercial payors with no government reimbursement
• Over 1,100 detoxification, residential and sober living beds currently with over 400 beds in pipeline
• Over 2,200 employees
• Engaged board of directors with strong healthcare & public company experience
• Invested executive management and board - own majority of outstanding stock

AAC IS A LEADING PROVIDER OF INPATIENT DRUG AND ALCOHOL ADDICTION TREATMENT SERVICES 
 IN THE BEHAVIORAL HEALTH SECTOR

AAC 4 CORE COMPETENCIES

6 Demand Supply

CLINICAL EXCELLENCE

7

• Research-based
• Structured curriculum
• Tailored treatment

EFFECTIVE PROGRAM

• Medical
• Clinical
• Utilization review

EXPERIENCED STAFF

• Delicious, healthy food
• Meticulous housekeeping
• Courteous interaction

EXCEPTIONAL SERVICE

• Beautiful buildings
• Amenities
• Desirable locations

PREMIUM FACILITIES

> AAC offers fully accredited and licensed programs to treat essentially all drug and alcohol addiction disorders as well as co-occurring disorders regardless of stage of treatment required

CUSTOMER MISSION: COMBINE EXCEPTIONAL CLINICAL CARE WITH PREMIUM FACILITIES TO PROVIDE EFFECTIVE TREATMENT SOLUTIONS FOR THOSE SUFFERING FROM ADDICTION AND CO-OCCURRING MENTAL HEALTH DISORDERS

CLINICAL EXCELLENCE

SCALABLE SALES AND MARKETING PLATFORM

8

Multi-faceted Sales and Marketing

Outside Sales

Direct Referrals

Multimedia 24 / 7 Call Center

100+ Professionals Short Form TV Long Form TV SEO(1) PPC(2) Lead Gen Sites(3) Billboards Print 60+ Professionals Unions
 Hospitals
 EAPs/LAPs First Responders

(1) Search Engine Optimization (2) Pay Per Click (3) Lead Generation Web Sites

MARKETING ABILITY

ACC’S MARKETING PLATFORM GENERATES OVER 2 MILLION SITE VISITS AND 35,000 PHONE CALLS PER MONTH

100+ Professionals

DE NOVO ANALYSIS: RIVER OAKS

9

RIVER OAKS REPRESENTS THE THIRD SUCCESSFUL DE NOVO LAUNCH BY AAC IN THE PAST FOUR YEARS LAGUNA TREATMENT HOSPITAL OPENED Q2 2016 IS FOURTH DE NOVO LAUNCH

Total Investment $22.0MM Total Beds 162 Cost Per Bed $130K Projected facility ADR (no drug testing) $650 Potential annual revenue @ 85% occupancy $32.0MM Projected contribution margin @ 40% $13.0MM Projected net AEBITDA (after corp overhead) $6.4MM Comparable acquisition multiple 3.4X

DE NOVO EXPERIENCE

VALUE ADDED AGGREGATOR

10

Laboratory

• toxicology
• hematology
• genomics

Standardized Curriculum

• improve clinical quality

Billing & Collections

• typically outsourced at 5% of net revenue
• perform in-house for 3% of net revenue

Legal / Compliance

• licensing, accreditation, contracting in house

Sales & Marketing

• 60 BD reps in the field; 100+ call center reps
• 30,000+ calls per month
• ability to drive increased census at acquired facilities

Research

• ability to add to AAC’s existing studies

Business Intelligence

• proprietary billing / EMR platform
• comprehensive analytics

Property Development

• expand capacity at acquired facilities

M&A EXPERIENCE

AAC’S COMPREHENSIVE PLATFORM ENABLES STRONG SYNERGIES QUICKLY POST CLOSING

CURRENT FACILITIES FOOTPRINT

11

Laguna Treatment Hospital Desert Hope Forterus SDTC Greenhouse Headquarters Oxford River Oaks Recovery First Singer Island Sunrise House Ringwood* * Pending Solutions Recovery Townsend Sagenex Labs Addiction Labs PPO Residential Facility HMO Residential Facility HMO Outpatient Facility PPO Outpatient Facility PPO Laboratory HMO Laboratory CSRI

AAC HAS EXPANDED INTO 4 NEW STATES (RI, MS, NJ, LA) IN LESS THAN 24 MONTHS

Sober Living Beds

CURRENT CAPACITY OVERVIEW

12

Beds

Anticipated Facility Current Pending State Payor Services Property Type Availability

Desert Hope 148 NV OON DTX, RTC, PHP, IOP Owned De novo Greenhouse 130 TX OON DTX, RTC, PHP, IOP Owned De novo Forterus 130 CA OON DTX, RTC, PHP, IOP Leased Original Singer Island 65 FL OON

• PHP. IOP

Leased Acquired San Diego “SDTC” 36 CA OON DTX, RTC, PHP, IOP Leased Original Recovery First 63 FL IN DTX, RTC, PHP, IOP Owned/Leased Acquired Oxford Centre 76 92 MS OON DTX, RTC, PHP, IOP Owned Acquired Q1 ‘17 Sunrise House 110 NJ IN DTX, RTC, PHP, IOP Owned Acquired River Oaks 162 FL OON DTX, RTC, PHP, IOP Owned De Novo Aliso Viejo 93 CA OON DTX, RTC, PHP, IOP Owned De Novo Ringwood 150 NJ OON DTX, RTC, PHP, IOP Owned De Novo 1H ‘18 Townsend Treatment Center 32 LA IN DTX, RTC, PHP, IOP Leased Acquired Solutions Treatment Center 80 NV IN DTX, RTC, PHP, IOP Leased Acquired Las Vegas Sober Living 65 100 NV N/A N/A Owned Acquired 2H ‘16 Arlington Sober Living 100 TX N/A N/A Owned Acquired 2H ‘16

Total 1,190 442

DE NOVO PIPELINE

13

Beds Projected Annualized Revenue* Projected Annualized AEBITDA Remaining Projected Capital Costs* Projected Completion*

Residential Beds

Oxford Centre

44 $7,500,000 $1,500,000 $7,500,000 Q1 ‘17

Ringwood

150 $35,000,000 $7,000,000 $25,000,000 1H ‘18

Total Residential Beds

194 $42,500,000 $8,500,000 $32,500,000

Sober Living / Program Housing Beds

Las Vegas

100 $5,000,000 $2,000,000 $2,000,000 2H ‘16

Arlington, TX

100 $5,000,000 $2,000,000 $3,500,000 2H ‘16

Oxford Centre

48 $2,500,000 $1,000,000 $4,500,000 Q1 '17

Total Sober Living / Program Housing Beds

248 12,500,000 5,000,000 10,000,000

Total Beds

442 $55,000,000 $13,500,000 $42,500,000

CURRENT DE NOVO PIPELINE REPRESENTS 40% BED EXPANSION ADDITIONAL CAPITAL OUTLAY IS LESS THAN $50MM

* Management’s current estimates.

DE NOVO DEVELOPMENT: RINGWOOD, NEW JERSEY

14

150 BEDS ON 96 ACRES

(ARCHITECTURAL RENDERING)

RINGWOOD DEVELOPMENT (FIFTH DE NOVO) HAS BEGUN WITH 2018 PLANNED OPENING OF 150 BEDS

RECENT OPERATING PERFORMANCE

15

500 1,000 1,500 2,000 2,500 3,000

Q3 '15 Q4 '15 Q1 '16 Q2 '16 2,890 2,623 2,462 1,980

Residential Admissions

RESIDENTIAL ADMISSIONS UTILIZATION OUTPATIENT VISITS

200 400 600 800 1,000 1,200

Q3 '15 Q4 '15 Q1 '16 Q2 '16 821 764 670 560

1,064 892 785 663

Staffed Beds Avg Daily Residential Census 3,340

84% 85%

2,500 5,000 7,500 10,000 12,500 15,000

Q3 '15 Q4 '15 Q1 '16 Q2 '16 13,079 4,978 4,328 4,329

Outpatient Visits

86% 77%

HISTORICAL FINANCIAL PERFORMANCE

REVENUE / NET INCOME / AEBITDA*

62% YOY $0MM $50MM $100MM $150MM $200MM $250MM 2013 2014 2015 $44 $21 $12

$8 $6 $1 $212 $133 $116

Revenue Net Income AEBITDA*

110% YOY 60% YOY

$0.00 $0.25 $0.50 $0.75 $1.00 2013 2014 2015

$0.97 $0.52 $0.29 $0.48 $0.41 $0.12

EPS AEPS*

EPS / AEPS*

68% YOY

16

* AEBITDA and adjusted EPS “AEPS” represent non-GAAP financial measures. For the reconciliation to net income and EPS, the corresponding GAAP financial measures, see the Appendix.

KEY FINANCIAL METRICS

17

1H ‘ 15 1H ‘ 16 Bed Capacity 587 1,139 Admissions 3,321 5,513 Average Daily Residential Census 510 793 Outpatient Visits 4,222 18,057 Revenue (MM) $96,607 $136,890 Net income available to AAC Holdings, Inc. common stockholders (MM) $7,593 $1,458 AEBITDA (MM)* $23,217 $24,550 Diluted EPS $0.36 $0.06 Adjusted EPS* $0.52 $0.38 Cash Provided by Operating Activities (MM) $6,593 $6,318 Average Daily Residential Revenue $988 $817 Ancillary Rev as % of Client Related Revenue 38% 29%

* AEBITDA and adjusted EPS represent non-GAAP financial measures. For the reconciliation to net income and EPS, the corresponding GAAP financial measures, see the Appendix.

HISTORICAL GROWTH OVERVIEW

18

Acquisitions 58% De Novo 42% Acquisitions 40% De Novo 60% MM Beds Cost Per Bed De Novo Investments (1)
 (Greenhouse, Desert Hope, River Oaks, Laguna) $65.5 533 $122,889 Acquisition Investments (2) (Recovery First, Oxford, Sunrise, Townsend, Solutions) $89.6 354 $253,107 Total Growth Investment $155.1 887 $174,859 De Novo Expected AEBITDA Assumes 85% occupancy @ $800 ADR @ 20% EBITDA margins $26.5 Acquisitions Expected AEBITDA* Assumes 85% occupancy @ $550 ADR @ 20% EBITDA margins $12.0 Total Expected AEBITDA $38.5 Cost of Growth Implied Acquisition Multiple 4.0

CAPITAL DEPLOYMENT BED GROWTH COST OF GROWTH

(1) De Novo developments have been exclusively out-of-network facilities (2) Acquisitions have been primarily in-network facilities with the exception of Oxford

X

PAYOR DIVERSIFICATION

19

Out of Network 97% In Network 3%

1H ‘15

Out of Network 84% In Network 16%

2H ‘15

Out of Network 77% In Network 23%

1H ‘16

FACILITY REVENUE BY PAYOR TYPE

AAC EXPECTS TO CONTINUE TO DIVERSIFY PAYOR TYPE

LAB DIVERSIFICATION

20

> 2016 Laboratory diversification plan

• Add in-network laboratory (completed)
• Townsend acquisition
• Expand service lines (now live)
• Hematology
• Genetics
• Offer services to third party providers (now providing)
• Focus on addiction treatment providers
• Build out national sales force
• Anticipated competitive advantages
• Express turn around (24-48 hours)
• One lab for toxicology, blood chemistry and genetic needs
• Best in class reporting
• Leverage AAC’s industry relations (need only 20 providers with an avg. 50 beds to double current volume)

FACILITY MARGINS

21

Contribution Margin 40% Other 28% SW&B 32%

AVG RESIDENTIAL FACILITY* CORPORATE OVERHEAD 


• Sales & Marketing
• Billing & Collections
• Information Technology
• Finance & Accounting
• Human Resources
• Executive
• Legal & Compliance


AAC FACILITIES GENERATE AN AVERAGE OF 40% CONTRIBUTION MARGINS WITHOUT TESTING REVENUE OPPORTUNITY FOR CONTINUED OPERATING LEVERAGE WITH SCALE

Excludes POC and LAB revenue

* Based on Q4 ’15 results. Includes Allowance for Doubtful Accounts.

Which pays for

OUTCOME STUDIES

22

AAC IS COMMITTED TO OUTCOME STUDIES NOW TRACKING OVER 3,300 CLIENTS WITH MEANINGFUL DATA EXPECTED TO BE PRESENTED IN 2017

GREENHOUSE ALUMNI

KEY INVESTMENT HIGHLIGHTS

23

> American Addiction Centers, Inc. (“AAC”)

• Large and growing market - Mental Health and Substance Abuse Centers and Clinics represent $31B market (1)
• Important public need - drug overdose is the leading cause of accidental death (2)
• Favorable legislative tailwinds - Mental Health Parity & Addiction Equity Act and Affordable Care Act
• Highly fragmented industry ripe for consolidation - 28,600 treatment clinics and centers operated by over 19,200

enterprises (1) (4 largest players < 10% market share (1))

• Passionate about clinical excellence - AAC is committed to outcome studies and continual quality improvement
• Consumer driven service a perfect fit for a national brand - AAC averaging over 2 million sites visits and 35,000 in

bound calls per month

• Leading high growth platform in behavioral niche - AAC 50% 5 YR CAGR
• Strong organic track record and de novo pipeline - AAC has 1,190 beds currently and 442 beds in pipeline
• Diversified payor base - no single payor represents more than 12.5% of AAC’s revenue reimbursements (3)
• Experienced management team with established track record in the industry
• Significant operating leverage - AAC able to scale bed capacity with relatively low fixed overhead

AAC IS A LEADING PROVIDER OF INPATIENT AND OUTPATIENT DRUG AND ALCOHOL ADDICTION TREATMENT SERVICES 
 IN THE BEHAVIORAL HEALTH SECTOR

(1) 2015 IBISWorld (2) Centers for Disease Control and Prevention (3) For six months ended June 30, 2016

APPENDIX: NON-GAAP FINANCIAL MEASURES

24

Adjusted EBITDA, adjusted net income available to AAC common stockholders, and adjusted diluted earnings per share (herein collec\vely referred to as “Non-GAAP Disclosures”) are “non- GAAP financial measures” as defined under the rules and regula\ons promulgated by the SEC. Management defines Adjusted EBITDA as net income adjusted for interest expense, deprecia\on and amor\za\on expense, income tax expense, stock-based compensa\on and related tax reimbursements, li\ga\on seblement and California maber related expense, acquisi\on-related expense (which includes related professional services for accoun\ng, legal, valua\on services and licensing expenses), de novo start-up expenses and facility closure opera\ng losses and expense associated with The Academy and FitRx. Management defines Adjusted Net Income Available to AAC common stockholders as net income available to AAC common stockholders adjusted for li\ga\on seblement and California maber related expense, acquisi\on-related expense (which includes related professional services for accoun\ng, legal, valua\on services and licensing expenses), de novo start-up expenses, and facility closure opera\ng losses and expense associated with The Academy and FitRx, redemp\on of BHR Series A Preferred Units, and the income tax effect of the non-GAAP adjustments at the then applicable effec\ve tax rate. The Non-GAAP Disclosures are considered supplemental measures of the Company’s performance and are not required by, or presented in accordance with, generally accepted accoun\ng principles, or GAAP. The Non-GAAP Disclosures are not measures of the Company’s financial performance under GAAP and should not be considered as an alterna\ve to net income or any

• ther performance measures derived in accordance with GAAP. Management has included informa\on concerning Non-GAAP Disclosures because they believe that such informa\on is used

by certain investors as a measure of a company’s historical performance. Management believes these measures are frequently used by securi\es analysts, investors and other interested par\es in the evalua\on of issuers of equity securi\es, many of which present EBITDA, Adjusted EBITDA and Adjusted EPS when repor\ng their results. Because Non-GAAP Disclosures are not determined in accordance with GAAP, they are subject to varying calcula\ons and may not be comparable to similarly \tled measures of other companies. Management’s presenta\on of Non-GAAP Disclosures should not be construed as an inference that our future results will be unaffected by unusual or nonrecurring items.

RECONCILIATION OF NON-GAAP DISCLOSURES

25

(Dollars in thousands) (Dollars in thousands)

June 30, 2016 March 31, 2016 June 30, 2015 (1) June 30, 2016 June 30, 2015 (1)

Net (loss) income $ (158) $ (269) $ 5,116 $ (427) $ 7,235 Non-GAAP Adjustments: Interest expense 2,221 1,702 482 3,923 1,223 Depreciation and amortization 4,225 3,915 1,676 8,140 3,016 Income tax (benefit) expense (107) (20) 3,014 (127) 4,359 Stock-based compensation and related tax reimbursements 2,137 2,638 1,241 4,775 2,874 Litigation settlement and California matter related expense 1,311 2,325 1,500 3,636 1,520 Acquisition-related expense 1,298 860 982 2,158 1,980 De novo start-up expense and other 1,243 862 — 2,105 — Facility closure operating losses and expense 367 — 426 367 1,010 Adjusted EBITDA $ 12,537 $ 12,013 $ 14,437 $ 24,550 $ 23,217

June 30, 2016 March 31, 2016 June 30, 2015

(1)

June 30, 2016 'June 30, 2015

(1)

Net income available to AAC Holdings, Inc. common stockholders $ 872 $ 586 $ 5,555 $ 1,458 $ 7,593 Non-GAAP Adjustments: Litigation settlement and California matter related expense 1,311 2,325 1,500 3,636 1,520 Acquisition-related expense 1,298 860 982 2,158 1,980 De novo start-up and other expenses 1,243 862 — 2,105 — Facility closure operating losses and expense, net of taxes 367 — 316 367 749 Redemption of BHR Series A Preferred Units — — — — 534 Income tax effect of non-GAAP adjustments (967) (280) (920) (1,247) (1,315) Adjusted net income available to AAC Holdings, Inc. common stockholders $ 4,124 $ 4,353 $ 7,433 $ 8,477 $ 11,061 Weighted-average shares outstanding - diluted 22,811,345 22,113,500 21,487,816 22,499,064 21,376,210 Adjusted diluted earnings per share 0.18 $ 0.20 $ 0.35 $ 0.38 $ 0.52 $ Reconciliation of Adjusted Net Income Available to AAC Holdings, Inc. Common Stockholders to Net Income Available to AAC Holdings, Inc. Common Stockholders

Three Months Ended Six Months Ended

AAC HOLDINGS, INC. SUPPLEMENTAL RECONCILIATION OF NON-GAAP DISCLOSURES Unaudited (Dollars in thousands, except per share amounts) Reconciliation of Adjusted EBITDA to Net Income

Three Months Ended Six Months Ended (1) Balances shown represent recasted amounts as disclosed in the Company's Current Form 8-k as filed with the SEC on February 23, 2016.