Questions before Final Decision (5 Given that any method of reducing the weather risk exposure will be costly, what are the benefits to the UGG's diversified owners from reducing the weather risk? 6)Should UGG's rather unique ownership structure influence the decision to reduce the weather risk exposure? (7 How could they structure a weather derivative to cover the exposure? More specifically, what would be the underlying index? Would they need a separate contract for each crop and each province?23 Questions before Final Decision ◼ (5) Given that any method of reducing the weather risk exposure will be costly, what are the benefits to the UGG’s diversified owners from reducing the weather risk? ◼ (6) Should UGG’s rather unique ownership structure influence the decision to reduce the weather risk exposure? ◼ (7) How could they structure a weather derivative to cover the exposure? More specifically, what would be the underlying index? Would they need a separate contract for each crop and each province?