3. Find the equity value of Spyder using transaction multiples. Use Exhibit 9 on comparable transactions and focus on the EV/EBITDA multiple. a) Find the average EV/EBITDA in comparable transactions in acquisitions by strategic acquirors. Skip the transactions with a negative multiple. b) Find the average EV/EBITDA in comparable transactions in acquisitions by financial acquirors. c) Use (a) and (b) to find the equity value of Spyder if it is acquired by a strategic buyer and a financial buyer, respectively. You will get two different estimates.

3. Find the equity value of Spyder using transaction multiples. Use Exhibit 9 on comparable transactions and focus on the EV/EBITDA multiple. a) Find the average EV/EBITDA in comparable transactions in acquisitions by strategic acquirors. Skip the transactions with a negative multiple. b) Find the average EV/EBITDA in comparable transactions in acquisitions by financial acquirors. c) Use (a) and (b) to find the equity value of Spyder if it is acquired by a strategic buyer and a financial buyer, respectively. You will get two different estimates. 202 All acquisitions were for 100% of the target's equity except for The North Face ( 81.2% acquired) and Helly Hansen ( 70% acquired) 21 22 Source: SDC Platinum, a Thomson Financial Product, accessed [May, 2005] and casewriters' analysis. 23 24 25 25 26 27 28 29 30 31 32 33 34 4 Exhibit 6 - Balance Sheets Ex. 9-Comparable Transactions 3. Find the equity value of Spyder using transaction multiples. Use Exhibit 9 on comparable transactions and focus on the EV/EBITDA multiple. a) Find the average EV/EBITDA in comparable transactions in acquisitions by strategic acquirors. Skip the transactions with a negative multiple. b) Find the average EV/EBITDA in comparable transactions in acquisitions by financial acquirors. c) Use (a) and (b) to find the equity value of Spyder if it is acquired by a strategic buyer and a financial buyer, respectively. You will get two different estimates. 202 All acquisitions were for 100% of the target's equity except for The North Face ( 81.2% acquired) and Helly Hansen ( 70% acquired) 21 22 Source: SDC Platinum, a Thomson Financial Product, accessed [May, 2005] and casewriters' analysis. 23 24 25 25 26 27 28 29 30 31 32 33 34 4 Exhibit 6 - Balance Sheets Ex. 9-Comparable Transactions