MSDN Policy Chaining Sample

I downloaded the Policy-Chaining sample code from MSDN.
In the static Execute method, they build 3 facts.  Are these examples only, or is this required? 
In the non-static Execute method, they pass the XML document as the one and only fact (not an array of facts).

Unless it’s just an example, why would they construct a new poicy and put in facts[1]?
Thanks,
Neal

public static void Execute(string policyName, TypedXmlDocument txd)

{

DebugTrackingInterceptor dti = new DebugTrackingInterceptor(“PolicyTracking3.txt”);

Policy policy = new Policy(policyName);

object[] facts = new object[3];

facts[0] = txd;

new Policy(“ProcessLoanRequestChained3”);

new DebugTrackingInterceptor(“PolicyTracking4.txt”);

policy.Execute(facts, dti);

policy.Dispose();

}