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Internet Roadshow: Given the size of the offering, we recommend the use of a slides -only online investor III presentation to provide an overview of the City's credit and the POBs. Internal Sales Call: Our banking team will orchestrate a call internally with our sales team prior to pricing to address details of the Lransaction, as well as highlight key credit metrics relevant Lo Lhe City's general fund and the nature of the POBs. One-on-one Investor Calls: Finally, we have seen increased interest from investors for one-on-one calls with issuers relating to sensitive credit types, such as POBs. BoIA's credit strategies team, in connection with BofA's sales team, could help assist in arranging these calls, as investors express interest. Retail Marketing Plan. To maximize local retail participation within the City, Orange County and the State, we would employ the following strategies: Establish Local Retail Priority: We could provide first priority for orders placed during the order period to be filled for: (1) City of Orange and potentially Orange County residents as well as Money Managers (identified by zip codes), (2) California Retail, and (3) National Retail investors. Dedicated California Retail Liaison: Grace Gaoaen, our lead California -based retail marketing specialist, will oversee our in -State and local retail marketing to ensure we solicit individual retail orders from our Merrill and Bank of America Private Bank retail financial advisors in advance of the bond sale. Print and Electronic Advertisements: To drive further attention to the City's website or landing page, the City could also place print and/or electronic advertisements in local publications. 6. Structuring Ideas and Marketing Plan for Proposed Debt Issuance Provide a brief summnry of your specific structuring ideas including the assumptions of which Ca/PERS UAL bases tofu no the maximize in vings bosro on the two scenarios descrioed above. Describe how proposer would lead the nonsoction as o senior mmoage, Specifieolly provide your srroregies and operant hie. (rr 1"1" cn.,vc (h, (rnncnl (ip.. i. OrCC V f cd c((icten(ly Proposed Work Approach. BofA is fully committed to designing a plan of finance as well as a credit and marketing approach that meets the City's goals. As the City's senior manager, BofA will work with the City and its municipal advisor during next phases of the City's financing process (per the City's February 2"a presentation), as detailed below, to help ensure that the transaction is executed efficiently. 2 Prepare various bond structuring options (e.g. untunded actuarial liability ("UAL") tunding level, selection of amortization hasps, payment structure and term) and sensitivity analysis Inaspd on varinus reinvestment srenarios utilizing BofA's proprietary modeling and optimization capabilities 2 Develop a finance plan that directly addresses the City's objectives and can be tailored further based on City staff and Council feedback, sensitivity analyses and market conditions 2 Ongoing participation in financing team and City Council calls/meetings; help address City Council questions 0 Comprehensive review of bond and disclosure documentation 2 Ongoing market and financing updates 0 Prepare rating agency materials/presentations and rating negotiations with direct involvement of BofA's in-house rating/credit specialists 2 Implement a marketing plan that leverages our extensive investor relationships with taxable bonds and experience with PORs to reach a Inroad investor audience 0 Manage underwriting syndicate, solicitation of price views and dovolopment of consensus scales 2 Leverage our large capital position and capabilities as the #1-ranked senior managing municipal underwriter nationally with the objective to price the City's bonds at the most competitive pricing levels available in the market 2 Underwrite bonds to support the City's pricing at market levels 5tructuringApproach. The City and its municipal advisor have spent an extensive amount of time analyzing the City's pension liability and evaluating potential funding strategics. As the City works toward refining its analysis and educating stakeholders, BofA can be instrumental in working with the City and its municipal advisor to evaluate potential financing options (e.g. UAL amortization base selections, UAL funding levels and payment Council 23 — 107 5/18/2021 Page BOfA5ECURITIES�� _