Ann: FY14 Results Investor Presentation, page-43

It is not a logical necessity that a negative FCF in year one leads to a negative overall valuation using a DCF model if subsequent years' cash flow are positive. FCF includes all capex but that does not mean that the split is not important when it comes to valuing VOC.

Except where future years' cash flow can be known with some certainty the DCF method is a blunt tool. Nevertheless, it is the best option available for determining absolute value. Unfortunately because it is the best of a bad bunch it can provide a false sense of certainty. As is often the case when mathematics meets finance, precision is easily confused with accuracy.