Superior Energy Services. In addition, Spectra Energy declined on a relative basis, while
Peabody Energy declined on both a relative and absolute basis. The stock of Peabody
Energy fell during the quarter on weakening natural gas prices and slower growth in China. In consumer staples, stock selection was negative, mainly in the household products and food products industries. Energizer Holdings detracted from results. The company
reported disappointing results mid-quarter, with shop weaker top-line growth and poor quality operating income. Elsewhere, in materials, stock selection was negative, especially in the chemicals, and metals and mining industries. The stock of Celanese detracted from results on a relative
basis. In late January, Celanese reported disappointing results prompted by destocking in
Europe. Outlook and positioning Going forward, we will continue to invest in companies that adhere to our long-standing
investment philosophy and that are within our risk-managed framework. By doing so, we
believe we will be in a very good position to provide our investors with a strongris