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(1). In the DCF page, how can you figure out these different diluted shares O/S if what you are trying to calculate (the price per share) is the input for our treasury stock method calculation for diluted shares O/S?
(2). In slide 42 (WACC calculation), why did you include tax shield on the cost of preferred since it does not affect taxes (it's located after the income tax line on the IS)? And is there any specific reason for including preferred in the calculation of levered / unlevered beta (I don't understand because it is not a debt - so no leverage related)?
(3). I understand the concept of Corporate Overhead from an expense perspective, but honestly have never seen as a valuation component as here. So, I would like to understand what is the rationale here behind this Corporate Overhead of $200 million? What does it really means?In addition, how did you come up with this 4.5x - 5.0x range? EBITDA range applied to Overheads?? Does that make sense?
Again, thanks for your help.
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