What is the value of the straight bond component? What coupon rate should Manaavi propose in order for the convert to sell at exactly $1,000 per bond? What discount rate did you use to value the straight bond component? Conceptually, what should happen to the coupon rate if Manaavi were to propose a 15% conversion premium? a 40% conversion premium?

EXHIBIT 42.5 I Long-Term Debt as of December 31, 2005 (in millions of dollars) 1.125\% convertible notes due in 2010 4.85% notes due 2014 4.00% notes due 2009 6.5\% debt securities due 2007 8.1\% notes due 2097 Total borrowings $1,759 1,000 998 100 $3,957100 EXHIBIT 42.6 I Capital Market Data for January 2006 U.S. Government Yields Treasury bill (1-year) Treasury note (5-year) Treasury bond (20-year) Corporate Long-Term Bond Yields Aaa Aa A Baa 4.45% 4.46% 4.65% 5.29% 5.45% 5.79% 6.24% EXHIBIT 42.2 I Consolidated Balance Sheets (in millions of dollars) EXHIBIT 42.4 I MoGen Stock Price for 2001 to 2005 EXHIBIT 42.5 I Long-Term Debt as of December 31, 2005 (in millions of dollars) 1.125\% convertible notes due in 2010 4.85% notes due 2014 4.00% notes due 2009 6.5\% debt securities due 2007 8.1\% notes due 2097 Total borrowings $1,759 1,000 998 100 $3,957100 EXHIBIT 42.6 I Capital Market Data for January 2006 U.S. Government Yields Treasury bill (1-year) Treasury note (5-year) Treasury bond (20-year) Corporate Long-Term Bond Yields Aaa Aa A Baa 4.45% 4.46% 4.65% 5.29% 5.45% 5.79% 6.24% EXHIBIT 42.2 I Consolidated Balance Sheets (in millions of dollars) EXHIBIT 42.4 I MoGen Stock Price for 2001 to 2005