The Hunter Newsletter Volume 2024 May | Page 7

Annual Meeting recap |
NANA

PERMANENT FUND

In late September 2023 , you made history by overwhelmingly approving the creation of a permanent fund for the NRC Shareholder Trust . You were asked to vote on two amendments to the trust . The first amendment was to create a permanent fund . The second was to change the composition of the board of trustees .
In total , approximately 64 % of NANA shareholders participated in the vote and about 86 % voted in favor of the amendments . With that historic vote , NANA can now invest net royalties from Red Dog Mine in a permanent fund to generate earnings for shareholder distributions for future generations .
You also voted to change the board of trustees from NANA ’ s 23 board members
to a structure of between five to seven trustees .
Trustees serve one-to-five-year terms , and five members are elected from the NANA board of directors . There is also the option of adding two investment professionals who are not board members . The permanent fund is intended to provide distributions to the beneficiaries indefinitely . Every NANA shareholder is a beneficiary of the NRC Shareholder Trust .

BUSINESS REINVESTMENT

We are also able to reinvest in our businesses for the first time in many years due to our financial strength .
All of our sectors performed well in 2023 . The price of zinc brought down earnings from Red Dog Mine significantly , but Red Dog was still an important source of income for our company . However , Akima , our federal contracting holding company , performed really well this year contributing $ 1.5 billion to our net revenues . And Akima is growing its ability to perform for NANA .
Through our continued strategic investments and expectations of high performance – the board is ensuring our corporation will be able to provide benefits to you .

SOCIAL AND CULTURAL SPEND

The NANA board contributed $ 52.5 million in FY23 to the NRC Shareholder Trust for trust distributions last year . However , the money we earned also helped us support shareholder and in-region cultural and social programs important to all of us including :
· $ 1.1 million to the Aqqaluk Trust for scholarships .
· $ 143,000 in support of the regional Elders Council and Iñupiaq language efforts .
· $ 366,000 to endow the 7 ( I ) scholarships .
· $ 603,000 for shareholder medical , burial and fire disaster assistance .
· $ 4 million for village economic investment .
· $ 4.6 million in donations to regional and shareholder organizations .
· $ 2.7 million in regional fuel subsidies that went to fuel vendors in each community under an agreement to reduce the cost of heating fuel and gasoline by 20 % at the pump .
· $ 1.5 million for pre-k programs for shareholder youth .
Along with half a million dollars in funding contributed to Maniilaq Association ’ s hunter support program , among other contributions . In total , the board allocated more than $ 11 million for these programs . We are moving together in the right direction .

SHAREHOLDER SURVEY RESULTS

To see the full results of the survey , head to the NANA shareholder portal and download the summer edition of The Hunter .
The 2023 Shareholder Survey had a participation rate of 22 %. While that rate is down a bit from prior surveys , we are confident that these results are a good sample of what shareholders are thinking .
Chairman ' s Report Continued on Page 8
The Hunter | 2024 May
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