Comment on Peytons recent financial performance.

Quantify the impact of the accounting policy, and estimate changes being proposed by McNeilly on FY2015s earnings relative to the figures that would be reported under Peytons existing policies and estimates.

Is McNeilly correct in her assumption that conservative accounting during the current difficult period will be viewed positively by the market when Peyton goes public a few years down the road?

Can you think of any reasons why Peyton might be better served by slightly more aggressive accounting policies in 2015 (e.g., the status quo, including avoiding write-downs), in light of the proposed IPO in 2016 or 2017?

When should the restructuring charge be recognized? What are the pros and cons of recognizing the restructuring charge at the time that you propose as compared to recognizing it earlier or later?