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Selected Shareholders Prior to IPO Number of Shares Owned Jeffrey Bezos 9,885,000 3.401.376 L. John Doerr Tom Alberg Scott Cook Patricia Stonesifer All other

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Selected Shareholders Prior to IPO Number of Shares Owned Jeffrey Bezos 9,885,000 3.401.376 L. John Doerr Tom Alberg Scott Cook Patricia Stonesifer All other shareholders Total shares outstanding prior to IPO Total new shares available for public purchase Total shares outstanding after IPO 195,000 75,000 75.000 7.227.326 20,858,702 3,000,000 23,858,702 As indicated above, the firm issued 3,000,000 new shares in the IPO. The initial price was $18.00 per share with investment bankers retaining $1.26 of that price as fees. The final first- day closing price was $23.50. 1. What were the total proceeds from this offering (the new shares issued)? How much of that total went to Amazon (net of fees)? How much went to the investment bankers? What percent went to the investment bankers? 2. Mr. Doerr owned a significant number of shares. What was the market value of these shares at the end of the first day of trading? 3. What was the total market value of Amazon.com following its first day as a publicly held company?

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