1. What is the incremental value to shareholders projected in this merger? (Assume the restructuring cost is $330 million in year 1, $50 million in year 2, and $20 million in year 3. Synergy savings are $125 million in year 1, $250 million in year 2, $350 million in year 3 and $350 million in year 4, and it will grow at 3% per year forever after year 4. The corporate tax rate is 40% and the discount rate is 11%.)

2. How will this value of synergies be shared between the two merging firms in the proposed transaction?

3. Given that options, on average, are worth about 31% of the underlying value of the stock on the date of grant, how much of incremental value created in this transaction will go to the CEOs of the two firms involved?

I'm looking for an answer to question number 3 based on this info:

For the current contract, Base Annual salary of CEOs is $1.5 million, Target Annual Bonus is $1.875 million + $1.05 million long-term incentive award, Maximum Annual Bonus is $3.750 million + $1.575 million long-term incentive, Annual Equity Award is $8.5 million.

For the Post Merger contract, Base Annual salary of CEOs is $1.5 million, Target Annual Bonus is $1.875 million, there is no maximum annual bonus, Annual Equity Award is $6.65 million and Special One Time Awards is Options on 1.0 million share ($15.00-$45.00 for cost savings).