Any issuance of preferred units or other securities convertible into common units and/or the payment of quarterly distributions on the preferred units in PIK Units will or may have the following effects: • an existing unitholder’s proportionate ownership interest in NEP will decrease; • the amount of cash available for distribution on each common unit may decrease; • the relative voting strength of each previously outstanding common unit will be diminished; and • the market price of NEP's common units may decline.