x US Dollars, Millions Performance Drivers / Assumptions Year % Growth in revenues CoGS % of revenue SG&A % of revenue R&D % of revenue D&A as % Revenue Effective interest rate Taxes Days Sales Outstanding Days Inventory Outstanding Days Payable Outstanding CapEx as % Revenue Working capital (excluding cash) Debt repaid Dividend payout ratio Min Required cash balance Days in a year -2 51.7% 6.2% 4.1% 6.9% 8.6% 35.7% 14.9 9.9 12.0 7.5 Historical -1 Base Year 6.2% 9.7% 55.8% 58.6% 7.8% 10.1% 5.2% 8.3% 7.1% 10.1% 5.5% 5.0% 42.9% 40.0% 18.7 25.0 12.6 20.0 8.4 10.0 3% 2% 9.0 14.5 +1 $ +2 8% 58% 12% 8% 7% 6% 40% 25 20 10 7% 2 50% 5.00 360 8% 57% 12% 8% 7% 6% 40% 25 20 10 7% 2 50% Forecast +3 8% 56% 12% 8% 7% 6% 40% 25 20 10 7% 2 50% +4 +5 8% 55% 12% 8% 7% 6% 40% 25 20 10 7% 2 50% x 8% 54% 12% 8% 7% 6% 40% 25 20 10 7% 2 50% x Income Statements Year Revenues $ CoGS Gross profits SG&A R&D EBITDA Depreciation & amortization EBIT Interest expenses EBT Taxes Net income Historical -2 -1 Base Year 145.0 $ 154.0 $ 169.0 75.0 86.0 99.0 70.0 68.0 70.0 9.0 12.0 17.0 6.0 8.0 14.0 55.0 48.0 39.0 10.0 11.0 17.0 45.0 37.0 22.0 3.0 2.0 2.0 42.0 35.0 20.0 15.0 15.0 8.0 27.0 20.0 12.0 +1 Forecast +3 +2 +4 +5 x x x Balance Sheets Assets Historical -1 Base 2.0 $ 1.0 8.0 $ 11.7 3.0 5.5 13.0 18.2 -2 Cash $ Accounts receivable $ Inventory Current assets +1 Forecast +3 +2 +4 +5 3.0 $ 6.0 $ 4.0 13.0 Gross PPE Accumulated depreciation Net PPE Good will Other assets Total assets 35.0 12.0 23.0 32.0 16.0 84.0 40.0 14.0 26.0 40.0 18.0 97.0 44.0 18.0 26.0 40.0 18.0 102.2 Accounts payable Current liabilities 2.5 2.5 2.0 2.0 2.8 2.8 Long term debt Provisions and other liabilities Total liabilities Shareholders equity Common stock Retained earnings Total shareholders equity 35.0 10.0 47.5 36.5 12.0 50.5 40.0 15.0 57.8 25.0 11.5 36.5 30.0 16.5 46.5 30.0 14.5 44.5 Total liabilities & shareholders equity BALANCE CHECK 84.0 - 97.0 - 102.2 0.00 Liabilities x - - - - - x Cashflow Statements Year Operating Activities -2 -1 Base Year +1 Forecast +3 +2 +4 +5 Net income Add depreciation & amortization Changes in operating assets/liabilities: Increase in accounts receivable Increase in inventory Increase in accounts payable Cash flow from operations Investing Activities Investments in PPE (CAPEX) Sale of PPE Investments in other assets Sale of other assets Cash flow from investment activities Financing Activities Issue of equity Equity retirement or treasury buybacks Dividends paid New debt / borrowings Retirement or repayment of debt Cash flow from financing activities Net cash flow for the year Beginning cash balance Ending cash balance x x x Debt & Dividend Payment Schedule Year Cash balance before debt & dividends Debt drawn to meet min balance Debt repaid Dividends paid Ending cash balance 1.0 6.0 2.0 5.0 5.0 2.0 2.0 5.0 Forecast +3 5.0 2.0 2.0 5.0 +1 40.0 6.0 2.0 44.0 2.5 +2 44.0 2.0 2.0 44.0 2.6 Forecast +3 44.0 2.0 2.0 44.0 2.6 +1 $ 1.0 +2 +4 +5 5.0 2.0 2.0 5.0 5.0 2.0 2.0 5.0 +4 44.0 2.0 2.0 44.0 2.6 +5 44.0 2.0 2.0 44.0 2.6 x Debt Schedules Long term debt Opening balance Debt added Debt repaid Ending balance Interest
