KEY ASSUMPTIONS

Investment Details
● New New Investment Name of Investment
● Existing Status Quo

2007 First Year of Investment Input Denomination $000

Taxation & Amortisation

Rate 33.00% Company/Business Tax Rate Goodwill Amort (Yrs) 10

Credits ✘ Carry forward tax credits (if any) on operational losses?

Capital and Cost of Capital

Equity 10,000 Current level of Company Equity (in denomination above)
Ke 15.00% Cost of Equity, or Calculate Risk-Free Rate 7.00%
Market Risk Premium 8.00%
Debt 9,000 Current level of Company Debt Equity Beta 1.00
Kd 7.00% Cost of Debt

Timing End Discount cash flow evenly through Weighted Average Cost of Capital
the year (Mid) or at the end (End). WACC = 10.12%
CE Beg Capital Employed calculated at the start Include existing asset input data in
of the year (Beg) or averaged (Avg). EVA capital charge?

Terminal Value
Include ✘ Include a terminal value after 5 years? Calculation Type
● Infinite Finite

Rate 2.00% Growth Rate after Yr 5 (or omit to use Yr 5 Growth Rate as per forecast).

Capex 0 Ongoing annual capital expenditure requirement into perpetuity

Comparable Investment Score

Optimal Weight
10.00% 40% Return on Invested Capital (> WACC)

500 25% Net Present Value of cash flows

3.0 5% Cost/Benefit Ratio

5.0 15% Payback Period for cash invested

500 15% Free cash flow after 2 years

100% Apply default weightings: Capital Constrained

 0

TRUE 1

Mid
End
Beg
Avg

FALSE 0
TRUE 1

1
1 Capital Constrained
Capital Constrained
Capital Constrained
No Capital Constraint

40 40 20
25 25 40
5 5 20
15 15 10
15 15 10
100 100 100
 INPUT ASSUMPTIONS FOR 0 (Before 0)
$000 Description Year 0 Year 1 Year 2 Year 3 Year 4 Year 5 Total Assumptions
2006 2007 2008 2009 2010 2011
Taxable Revenue
0
0

Non-Taxable Revenue
0
0

Operating Expenses
0
0

Investment Expenses Amort Yrs

1
1
1

Existing Assets Existing Asset Accounting Taxation Unamort.

Life (yrs) Age (Yrs) Disposal Current BV Rate Method Current BV Rate Method Goodwill

Capital Expenditure New Asset Accounting Taxation Equity

Life (yrs) Yr of Acq Acq Price Actg BV Disposal Rate Method Rate Method Funding
52.6%
52.6%
52.6%
52.6%
52.6%

Page 4 of 11 24891933.xlsBefore 11/14/2009

 FINANCIAL ANALYSIS FOR 0
$000 Accounting Impact 2006 2007 2008 2009 2010 2011 Total

Total Revenue 0 0 0 0 0 0 0
less Expenditure 0 0 0 0 0 0 0
EBITDA 0 0 0 0 0 0 0

less Accounting Depreciation 0 0 0 0 0 0 0

less Goodwill Amortisation 0 0 0 0 0 0 0
EBIT 0 0 0 0 0 0 0

less Interest
Expense 0 0 0 0 0 0 0
less Tax
Payable 0 0 0 0 0 0 0
Net Profit B4 Ab. Items 0 0 0 0 0 0 0

add Profit
on Asset disposal 0 0 0 0 0 0 0
Net Profit 0 0 0 0 0 0 0

$000 Cash Flow Analysis 2006 2007 2008 2009 2010 2011 Total PV of Capital Commitments after Year 5

Taxable Revenue 0 0 0 0 0 0 0
less Total Expenditure 0 0 0 0 0 0 0
less Tax Payable 0 0 0 0 0 0 0 0
less Interest Expense 0 0 0 0 0 0 0 0
Operating Cash Flow 0 0 0 0 0 0 0 0

add Non Taxable Income 0 0 0 0 0 0 0

less Capital
Expenditure 0 0 0 0 0 0 0
add Asset Disposal Proceeds 0 0 0 0 0 0 0 0
Net Cash Flow 0 0 0 0 0 0 0 0

5 Yr NPV 0

Total NPV of Cash Flow 0

$000 Economic Value Added 2006 2007 2008 2009 2010 2011 Total PV of Capital Commitments after Year 5

Total Revenue 0 0 0 0 0 0 0
less Total Expenditure 0 0 0 0 0 0 0
less Tax Payable 0 0 0 0 0 0 0 0
less Interest Expense 0 0 0 0 0 0 0 0
add Asset Disposal Proceeds 0 0 0 0 0 0 0 0
add Economic Adjustments 0 0 0 0 0 0 0 0
Economic Profit 0 0 0 0 0 0 0 0

Capital Employed 0 0 0 0 0 0 0 0
less Capital Charge 0 0 0 0 0 0 0 0
Economic Value Added 0 0 0 0 0 0 0 0

Page 55ofYr11PV of EVA 0 24891933.xlsBefore 11/14/2009

Total PV of EVA 0
 INPUT ASSUMPTIONS FOR 0
$000 Description Year 0 Year 1 Year 2 Year 3 Year 4 Year 5 Total Assumptions
2006 2007 2008 2009 2010 2011
Taxable Revenue
0
0

Non-Taxable Revenue
0
0

Operating Expenses
0
0

Investment Expenses Amort Yrs

1
1
1

Existing Assets Existing Asset Accounting Taxation Unamort.

Life (yrs) Age (Yrs) Disposal Current BV Rate Method Current BV Rate Method Goodwill

Capital Expenditure New Asset Accounting Taxation Equity

Life (yrs) Yr of Acq Acq Price Actg BV Disposal Rate Method Rate Method Funding
52.6%
52.6%
52.6%
52.6%
52.6%

Page 6 of 11 24891933.xlsAfter 11/14/2009

 FINANCIAL ANALYSIS FOR 0
$000 Accounting Impact 2006 2007 2008 2009 2010 2011 Total

Total Revenue 0 0 0 0 0 0 0
less Expenditure 0 0 0 0 0 0 0
EBITDA 0 0 0 0 0 0 0

less Accounting Depreciation 0 0 0 0 0 0 0

less Goodwill Amortisation 0 0 0 0 0 0 0
EBIT 0 0 0 0 0 0 0

less Interest
Expense 0 0 0 0 0 0 0
less Tax
Payable 0 0 0 0 0 0 0
Net Profit B4 Ab. Items 0 0 0 0 0 0 0

add Profit
on Asset disposal 0 0 0 0 0 0 0
Net Profit 0 0 0 0 0 0 0

$000 Cash Flow Analysis 2006 2007 2008 2009 2010 2011 Total PV of Capital Commitments after Year 5

Taxable Revenue 0 0 0 0 0 0 0
less Total Expenditure 0 0 0 0 0 0 0
less Tax Payable 0 0 0 0 0 0 0 0
less Interest Expense 0 0 0 0 0 0 0 0
Operating Cash Flow 0 0 0 0 0 0 0 0

add Non Taxable Income 0 0 0 0 0 0 0

less Capital
Expenditure 0 0 0 0 0 0 0
add Asset Disposal Proceeds 0 0 0 0 0 0 0 0
Net Cash Flow 0 0 0 0 0 0 0 0

5 Yr NPV 0

Total NPV of Cash Flow 0

$000 Economic Value Added 2006 2007 2008 2009 2010 2011 Total PV of Capital Commitments after Year 5

Total Revenue 0 0 0 0 0 0 0
less Total Expenditure 0 0 0 0 0 0 0
less Tax Payable 0 0 0 0 0 0 0 0
less Interest Expense 0 0 0 0 0 0 0 0
add Asset Disposal Proceeds 0 0 0 0 0 0 0 0
add Economic Adjustments 0 0 0 0 0 0 0 0
Economic Profit 0 0 0 0 0 0 0 0

Capital Employed 0 0 0 0 0 0 0 0
less Capital Charge 0 0 0 0 0 0 0 0
Economic Value Added 0 0 0 0 0 0 0 0

Page 75ofYr11PV of EVA 0 24891933.xlsAfter 11/14/2009

Total PV of EVA 0
 FINANCIAL RESULTS FOR DIFFERENCE BETWEEN 0 AND 0
$000 Accounting Impact 2006 2007 2008 2009 2010 2011 Total

Total Revenue 0 0 0 0 0 0 0
less Expenditure 0 0 0 0 0 0 0
EBITDA 0 0 0 0 0 0 0

less Accounting Depreciation 0 0 0 0 0 0 0

less Goodwill Amortisation 0 0 0 0 0 0 0
EBIT 0 0 0 0 0 0 0

less Interest
Expense 0 0 0 0 0 0 0
less Tax
Payable 0 0 0 0 0 0 0
Net Profit B4 Ab. Items 0 0 0 0 0 0 0

add Profit
on Asset disposal 0 0 0 0 0 0 0
Net Profit 0 0 0 0 0 0 0

$000 Cash Flow Analysis 2006 2007 2008 2009 2010 2011 Total PV of Capital Commitments after Year 5

Taxable Revenue 0 0 0 0 0 0 0
less Total Expenditure 0 0 0 0 0 0 0
less Tax Payable 0 0 0 0 0 0 0 0
less Interest Expense 0 0 0 0 0 0 0 0
Operating Cash Flow 0 0 0 0 0 0 0 0

add Non Taxable Income 0 0 0 0 0 0 0

less Capital Expenditure 0 0 0 0 0 0 0
add Asset Disposal Proceeds 0 0 0 0 0 0 0 0
Net Cash Flow 0 0 0 0 0 0 0 0

5-Yr NPV of Cash Flow 0

Infinite Terminal Value 0

Total NPV of Cash Flow 0

Page 8 of 11 24891933.xlsResults 11/14/2009

$000 Economic Value Added 2006 2007 2008 2009 2010 2011 Total PV of Capital Commitments after Year 5

Total Revenue 0 0 0 0 0 0 0
less Total Expenditure 0 0 0 0 0 0 0
less Tax Payable 0 0 0 0 0 0 0 0
less Interest Expense 0 0 0 0 0 0 0 0
add Asset Disposal Proceeds 0 0 0 0 0 0 0 0
add Economic Adjustments 0 0 0 0 0 0 0 0
Economic Profit 0 0 0 0 0 0 0 0

Capital Employed 0 0 0 0 0 0 0 0
less CapitalCharge 0 0 0 0 0 0 0 0
Economic Value Added 0 0 0 0 0 0 0 0

Total PV of EVA 0

Infinite Terminal Value 0

Total PV of EVA 0

COMPARABLE INVESTMENT SCORE ADDITIONAL ANALYSIS

Result Score Implicit Annual Growth Rates Change in Company Gearing
Return on Invested Capital (> WACC) No Capital 40.00% Total Revenues Before (Year 0) 47.37%
Net Present Value of Cash Flows 0 0.00% Total Expenses After (Year 5) 47.37%
Cost/Benefit Ratio No Upfront 5.00% Operating Cash Flow Change 0.00%
Payback Period (Year) 5 0.00% Net Cash Flow
Free Cash Flow after 2 years 0 0.00% Economic Profit Modified Internal Rate of Return
Comparable Investment Score 45.00% EVA No solution

Page 9 of 11 24891933.xlsResults 11/14/2009

 Cash Flow Chart Analysis

Annual Cash Flow Cumulative Cash Flow

1 1
1 1
1 1
1 1
1 1
0 0
0 0
0 0
0 0
0 0
0 0
2006 2007 2008 2009 2010 2011 2006 2007 2008 2009 2010 2011

Annual Cash Flow with Terminal Value

1
1
1
1
1
0
0
0
0
0
0
1
3
5
7
9

13

17

21

25

31

35

45

49

59

63

67

71

77

81

91

95

99
101
11

15

19

23

27
29

33

37
39
41
43

47

51
53
55
57

61

65

69

73
75

79

83
85
87
89

93

97
Year

Page 10 of 11 24891933.xlsResults 11/14/2009

 Economic Value Added Chart Analysis

Annual Economic Value Added Cumulative Economic Value Added

1 1
1 1
1 1
1 1
1 1
0 0
0 0
0 0
0 0
0 0
0 0
2006 2007 2008 2009 2010 2011 2006 2007 2008 2009 2010 2011

Annual EVA with Terminal Value

1
1
1
1
1
0
0
0
0
0
0
1
3
5
7
9

13

17

21

25

31

35

45

49

59

63

67

71

77

81

91

95

99
101
11

15

19

23

27
29

33

37
39
41
43

47

51
53
55
57

61

65

69

73
75

79

83
85
87
89

93

97
Year

Page 11 of 11 24891933.xlsResults 11/14/2009