55.

5.00%
10%
15.00%

$ 48.00
$ 50.00
$ 48.00

6.00%
$ 50.00
3.00%
$ 44.44

0.1100
41.7

0 1 2 3 4 5 6 7 8
$ 2.87 $ 3.10 $ 3.35 $ 3.62 $ 3.90 $ 4.22 $ 4.34 $ 4.47 $ 4.61
$ 2.87 $ 2.87 $ 2.87 $ 2.87 $ 2.87 $ 59.12
$ 73.47
 50
50
0.08

80%
12.00%
$ 5.60
0.821429
0.123214
$ 6.29

Retain 6.00%
Payout $ 3.77
$ 94.35
$ 86.68
 1 2 3 4 5
53 68 78 75 82
46.4912280701754 52.32379 52.647778264 44.4060208027642 42.5882304775049
$ 681.37
$ 9.53

$ 1,136
$ 1,080
$ 23.20

Year 0 1
Earning & FCF Forecast
1 Sales 433 468
2 Growth vs. Prior Year 8.1%
3 Cost of Goods Sold (313.6)
4 Gross Profit 154.4
5 Selling, General & Admin. (93.6)
6 Depreciation (7.0)
7 EBIT 53.8
8 Less: Income tax at 40% (21.5)
9 Plus: Depreciation 7
10 Less: Capital Expenditures (7.7)
11 Less: Increases in NWC (6.3)
 12 Free Cash Flow 25.3
23

8.11
5.13
12.09
9

24.83
27.48
22.24
25.36

$ 26.08
$ 40.13
8.36%

Year 0 1 2 3
FCF ($ million) -100 50 100 70
D = d x VL 46.47 37.91 16.13 0
Interest 0 2.83 2.31 0.98
Increase in debt 46.47 -8.56 -21.78 -16.13
-53.53 39.6 76.72 53.23
-53.53 36 63.4049586776859 39.992486851991
85.87
$ 41.80

P/E Price/Book Enterprise Value/Sales enterprise Value/EBITDA

Average 15.01 2.84 1.06 8.49
Maximum 51% 186% 106% 27%
Minimum -42% -61% -56% -22%

$ 30.77

$ 58.48
$ 16.12

$ 27.10

$ 33.17
$ 22.15
 442.9176

2 3 4

516 547 574.3

10.3% 6.0% 5.0%
(345.7) (366.5) (384.8)
170.3 180.5 189.5
(103.2) (109.4) (114.9)
(7.5) (9.0) (9.5)
59.6 62.1 65.2
(23.8) (24.8) (26.1)
7.5 9 9.5
(10.0) (9.9) (10.4)
(8.6) (5.6) (4.9)
 24.6 30.8 33.3
20.33058 23.1405 22.74435 477.6313
 Year 0 1 2 3 4
Earning & FCF Forecast ($millions)
1 Sales 433 468 516 547 574.3
2 Growth vs. Prior Year 8.10% 10.30% 6.00% 5.00%
3 Cost of Goods Sold -313.6 -345.7 -366.5 -384.8
4 Gross Profit 154.4 170.3 180.5 189.5
5 Selling, General & Admin. -93.6 -103.2 -109.4 -114.9
6 Depreciation -7 -7.5 -9 -9.5
7 EBIT 53.8 59.6 62.1 65.2
8 Less: Income tax at 40% -21.5 -23.8 -24.8 -26.1
9 Plus: Depreciation 7 7.5 9 9.5
10 Less: Capital Expenditures -7.7 -10 -9.9 -10.4
11 Less: Increases in NWC -6.3 -8.6 -5.6 -4.9
12 Free Cash Flow 25.3 24.6 30.8 33.3
 50
2

14.5
0.033333

50 A
8 shares remaining
75 High price B
25 low price B
70 C
30 C

16.66667
13.33333
60
 3 assets A
4.285714 liabilities
-15.00
-14.42% B
-30 C

-6.40% 1.90%
2.866351 0.743128
2.12
37.91%
80
38.95652
68.92308

8 9
9.6 9.5 8.1
317120