WALL ST.

TRAINING

A B C D E F G H I J K L M
1 Target Company
2
3 ($ in millions)
4
5 INCOME STATEMENT BALANCE SHEET & MULTIPLES
6 Actual Estimated Projected Actual
7 Year 0 Year 1 Year 2 Year 3 Year 4 Year 0
8 Revenue
9 Product Line 1 Cash
10 Product Line 2 Debt
11 Other Income Equity
12 Total Revenue Net Debt
13
14 Expenses Interest on Cash
15 Compensation Interest on Debt
16 Product Development
17 Sales & Marketing Total Debt / EBITDA
18 General & Administrative Net Debt / EBITDA
19 Depreciation
20 Total Expenses Share Price
21 Price / Earnings
22 Operating Income
23 Interest Income Equity Value
24 Interest Expense Net Debt
25 Pre-Tax Income Enterprise Value
26 Taxes
27 Net Income Ent. Value / EBITDA
28 Diluted Shares Outstanding
29 Earnings per Share Total Debt / Equity
30 Total Debt / Capital
31 EBITDA
32 EBITDA Margin Net Debt / Equity
33 Net Debt / Net Capital
34 % Growth
35 Product Line 1
36 Product Line 2
37 Other Income
38
39 % of Total Revenue
40 Compensation
41 Product Development
42 Sales & Marketing
43 General & Administrative
44 Depreciation
45

Hamilton Lin, CFA, www.wallst-training.com

 WALL ST. TRAINING

A B C D E F G H I J K L M
46 Tax Rate

Hamilton Lin, CFA, www.wallst-training.com

 WALL ST. TRAINING

A B C D E F G H I J K L M
1 Acquiror Company
2
3 ($ in millions)
4
5 INCOME STATEMENT BALANCE SHEET & MULTIPLES
6 Actual Estimated Projected Actual
7 Year 0 Year 1 Year 2 Year 3 Year 4 Year 0
8 Revenue
9 Product Line 1 Cash
10 Product Line 2 Debt
11 Other Income Equity
12 Total Revenue Net Debt
13
14 Expenses Interest on Cash
15 Compensation Interest on Debt
16 Product Development
17 Sales & Marketing Total Debt / EBITDA
18 General & Administrative Net Debt / EBITDA
19 Depreciation
20 Total Expenses Share Price
21 Price / Earnings
22 Operating Income
23 Interest Income Equity Value
24 Interest Expense Net Debt
25 Pre-Tax Income Enterprise Value
26 Taxes
27 Net Income Ent. Value / EBITDA
28 Diluted Shares Outstanding
29 Earnings per Share Total Debt / Equity
30 Total Debt / Capital
31 EBITDA
32 EBITDA Margin Net Debt / Equity
33 Net Debt / Net Capital
34 % Growth
35 Product Line 1
36 Product Line 2
37 Other Income
38
39 % of Total Revenue
40 Compensation
41 Product Development
42 Sales & Marketing
43 General & Administrative
44 Depreciation
45

Hamilton Lin, CFA, www.wallst-training.com

 WALL ST. TRAINING

A B C D E F G H I J K L M
46 Tax Rate

Hamilton Lin, CFA, www.wallst-training.com

 WALL ST. TRAINING
A B C D E F G H I J K L M N O P Q R S T
1 NewCo
2
3 ($ in millions)
4
5 TARGET VALUATION DEAL STRUCTURE BALANCE SHEET & MULTIPLES
6 Pro Forma % Cash Year 0
7 Year 0 % Stock Target Acquiror Pro Forma
8 Target Stock Price
9 Premium to Target Price Deal Fees Cash
10 Acquisition Price Debt Financing Debt
11 Target Shares Outstanding Stock Issued Equity
12 Implied Equity Value Goodwill
13 Target Net Debt Acquiror Stock Price
14 Implied Enterprise Value
15 Target EBITDA New Shares Issued Interest on Cash
16 Acquiror Old No. Shares Acquiror Interest Rate
17 Implied EBITDA Multiple Pro Forma Shares Out
18
19 INCOME STATEMENT DEBT PAYDOWN
20 Pro Forma Pro Forma
21 Year 0 Year 1 Year 2 Year 3 Year 4 Year 0 Year 1 Year 2 Year 3 Year 4
22 Revenue Net Income
23 Target Company Depreciation
24 Acquiror Company Capital Expenditures
25 Revenue Synergies Net Working Capital (1% Revenue)
26 Total Revenue Cash Flow for Debt Repayments
27
28 Expenses Debt Balance
29 Compensation Beginning Balance
30 Product Development Borrowing / (Paydown)
31 Sales & Marketing Ending Balance
32 General & Administrative
33 Depreciation Cash Balance
34 Expense Synergies Beginning Balance
35 Total Expenses Additions
36 Ending Balance
37 Operating Income
38 Interest Income
39 Interest Expense SHAREHOLDERS' EQUITY
40 Pre-Tax Income Beginning Balance
41 Taxes 0.0% Plus: Net Income
42 Net Income Ending Balance
43 Diluted Shares Outstanding
44 Earnings per Share
45 CREDIT RATIOS
46 EBITDA Total Debt / EBITDA
47 EBITDA Margin Net Debt / EBITDA
48
49 ACCRETION / DILUTION ANALYSIS EBITDA / Interest
50 Acquiror's EPS
51 Pro Forma EPS Total Debt / Equity
52 Total Debt / Capital
53 Accretion / (Dilution) - $
54 Accretion / (Dilution) - % Net Debt / Equity
55 Net Debt / Net Capital

Hamilton Lin, CFA, www.wallst-training.com