In reference to the tables above, if you were presenting to senior management and had to give one number for each final valuation, what would those numbers be, and how would you arrive at the numbers?

Hint: Think of final valuation as the conservative number. For GE, you should look at 7-year TV, Capex, and NWC. For Mabe, use No TV and slightly higher revenue growth, and for synergies, use the case numbers.

***Please explain why you chose the numbers you chose.

Summary of Exhibit 7 Valuation of GE Appliances No TV No TV Revenue In Case No Capex No NWC Growth Terminal Value Capex NWC No Capex NWC 4 Years 7 Years 7 Years -1.00% 0.00% 1.00% $457 $718 $984 $1,254 $1,531 $1,812 -$80 $524 $984 $1,800 $2,475 $3,175 7 Years $12 $563 $1,158 $1,776 $2,416 $3,079 -$3,863 -$2,102 $249 $1,700 $3,752 $5,909 2.00% 3.00% 4.00% Summary of Exhibit 8 Valuation of GE Interest in Mabe Revenue Terminal In Case No Terminal Values Growth Values 7 Years 7 Years 1.00% 2.00% 3.00% $60 $128 $198 $254 $268 -$28 $135 $304 $445 $480 $394 $114 $648 $1,096 $1,211 3.80% 4.00% Extension of Exhibit 9 Value of Synergies In Case No Terminal Values Revenue Terminal Growth Values 0.00% $509 $1,019 $2,558 Summary of Exhibit 7 Valuation of GE Appliances No TV No TV Revenue In Case No Capex No NWC Growth Terminal Value Capex NWC No Capex NWC 4 Years 7 Years 7 Years -1.00% 0.00% 1.00% $457 $718 $984 $1,254 $1,531 $1,812 -$80 $524 $984 $1,800 $2,475 $3,175 7 Years $12 $563 $1,158 $1,776 $2,416 $3,079 -$3,863 -$2,102 $249 $1,700 $3,752 $5,909 2.00% 3.00% 4.00% Summary of Exhibit 8 Valuation of GE Interest in Mabe Revenue Terminal In Case No Terminal Values Growth Values 7 Years 7 Years 1.00% 2.00% 3.00% $60 $128 $198 $254 $268 -$28 $135 $304 $445 $480 $394 $114 $648 $1,096 $1,211 3.80% 4.00% Extension of Exhibit 9 Value of Synergies In Case No Terminal Values Revenue Terminal Growth Values 0.00% $509 $1,019 $2,558