Hewlett Packard Company - Calculations for Public Comps

($ in Millions, Except Per Share Amounts in Dollars and Share Counts in Thousands)

Assumptions & Valuation Overview

Valuation Date: 1/29/2010 Share Units: 1000

Company Name: Hewlett Packard Company
Share Price: $47.07 Historical Year: 2009

Basic Shares Outstanding: 2,364,169 Exercise

Basic Equity Value: $111,281 Name Number Price Dilution
Diluted Shares Outstanding: 2,438,478 Tranche A 415 $6.00 362
Diluted Equity Value: $114,779 Tranche B 24,129 $16.00 15,927
Less: Cash & Investments $13,334 Tranche C 77,523 $23.00 39,643
Plus: Debt $15,830 Tranche D 53,094 $33.00 15,871
Plus: Minority Interest $0 Tranche E 56,997 $45.00 2,507
Plus: Preferred Stock $0 Tranche F 15,953 $57.00 0
Plus: Unfunded Pension Obl. $5,122 Tranche G 5,103 $69.00 0
Plus: Capital Leases $568 Tranche H 0
Plus: Restructuring Liab. $1,465 Tranche I 0
Plus: Other Obligations $0 Tranche J 0
Enterprise Value: $124,430 Total 233,214 74,309

Historical Projections
FY 2007 FY 2008 FY 2009 FY 2010E FY 2011E FY 2012E FY 2013E FY 2014E

Revenue: $114,552 $120,211 $124,860

Cost of Goods Sold: $87,524
Operating Expenses: $16,892
Operating Income: $10,136
Interest & Other, Net: ($721)
Pre-Tax Income: $9,415
 Taxes: $1,755
Net Income: $7,660

Diluted Shares Outstanding: 2,437,000

Earnings Per Share (EPS): $3.14 $4.33 $4.84

One-Time and Non-Cash Charges:

Depreciation & Amortization: $4,773
Stock-Based Compensation: $635
Restructuring Charges: $640
Acquisition-Related Charges: $242
In-Process R&D: $7
Other Charges: $0
Total Add-Backs: $6,297

EBIT: $11,660
EBITDA: $16,433 $18,992 $20,372