big c, page-33

Just one more thing.

I have done a further scenario with the model by including SFR in the numbers.

I have assumed that OZL buys SFR for 30% above the current SFR sp.

I have assumed the capital to develop SFR is paid for by OZL.
I have not included the cash that SFR currently has.

Buying SFR at this price destroys shareholder value.

The NPV goes from 2.17 w/o SFR to $2.01 with SFR.

For SFR to be neutral to shareholder value, the sp of SFR would need to be $4.17 with OZL paying $5.42/share. I can now see why OZL is quite happy to sit on SFR and not do anything.

HT1