From: Daniel Sabba

From: Daniel Sabba To: "'Jeffrey E."' <jeevacationggmail.com> CC: Paul Morris < Todd Stevens , Stewart Oldfield , Vahe Stepanian , Ariane Dwyer > "'Richard Kahn"' Subject: Hedged MRK [C] Date: Thu, 03 Sep 2015 16:49:58 +0000 Inline-Images: image002.jpg; image007.jpg; image009.jpg; image01 1 .jpg; image016.jpg Classification: Confidential Jeffrey- please see below as a follow up to yesterday's chat on MRK. Note that MRK reached its 52wk low of $51.17/sh. last Tuesday (8/25), and its currently not too far off of the lows @ $53.44/share. Please let us know the number of shares you wish to purchase outright, as well as the tenor and strikes of the puts. Below, we've included levels for - 10% OTM listed puts, both 3m and 6m tenors. MRK Puts MRK Ref = $53.44 Expiry: November 2015 Strike Bid Ask 47.50 0.83 0.85 50.00 1.31 1.37 Expiry: April 2016 Strike Bid 47.50 2.06 50.00 2.85 Ask 2.18 2.96 MRK Nov 47.50 put: implied volatility v. price (per contract) ■ (L) Kist Not (8est) (R) 30.058 ■ (2.) Price (Best) (L) 0.84 13.50 33.00 32.50 32.00 31.50 31.00 30.50 30.00 03-580-2015 11:24:03 EFTA01200980 MRK Nov 50 put: implied volatility v. price (per contract) Hi .541 2.031 1.80 1204 1.004 26 27 kg 10:t 0300191VA 2015 Bloomberg Finance ■ (1.) Hist !Vol (Best) (R) 27.526 ■ (2.) Mat (Bost) (1) 1.43 28 31 1 2 Sec 201$ .30.50 .30.03 .29.50 .19.03 6 78.50 23.00 .27.50 03•Seo•2015 11:24:39 ?)./IRK Apr16 47.50 pu m plied volatility v. price (per contract) 7.33- 2.40 2.40• 2.004 1.03. 1.604 : 27.231 .87 • (L) Hist Mal (Best) (R) 26 ■ (2.) Price (Best) (O 2.N` 25 26 27 1 2 3 Aug 201‘ Soo 2015 Ccoroghtt 2015 elocenbeig Finance t o 03.5eo-2015 11:36:1 27.20 27.00 26.80 26.60 26.40 26.20 26.00 25.80 25.60 MRK Apr16 50 put: implied volatility v. price (per contract) EFTA01200981 Leos ,062 -Low 2.35 25 26 Met 2015 c 2015 13100mbet9 FinalCat.P. MRK Stock Price (September 2014-September 2015) ■ (1.) Mist Iva (Best) (R) 24.919 ■ (2.) Price (Best) (L) 2.85 28 31 1 2 3 See 2015 03-54v-201S 11:33:45 Source: Bloomberg Finance Daniel Sabba Key Client Partners Deutsche Bank Securities Inc. Tel. Mobile Email 64.00 62.00 60.00 58.00 56.00 C . 44 52.00 All trade execution information contained herein is being provided as an accommodation at your request in advance of your receipt of the official trade confirmation(s). Additional trade detail information available upon request. The terms of the trade(s) may be subject to change prior to settlement, and therefore the official trade confirmation(s) and account statements issued by Deutsche Bank shall govern. Deutsche Bank is not responsible for any discrepancy between the informal execution report and the official trade confirmation(s) or account statements. This communication may contain confidential and/or privileged information. If you are not the intended recipient (or have received this communication in error) please notify the sender immediately and destroy this communication. Any unauthorized copying, disclosure or distribution of the material in this communication is strictly forbidden. EFTA01200982 Deutsche Bank does not render legal or tax advice, and the information contained in this communication should not be regarded as such. EFTA01200983