(1) See Exhibit D for general assumptions. investment credit for all years. (1) See Exhibit D for general assumptions. (2) This alternative assumes that the tax incentives are terminated as of beginning of year 1, and the capital so provided is replaced by debt bearing interest at 8% per annum. NOTES: (2) This alternative assumes that the tax incentives are terminated as of beginning of year 1, and the capital so provided is replaced by debt bearing interest at 8% per annum. NOTES: MODEL COMPANY ALTERNATIVE CASE ASSUMING TERMINATION OF TAX INCENTIVES EXHIBIT C Page 1 of 2 End of Year Beginning 1 2 3 4 5 6 7 8 9 10 Total liabilities $ 6,000 6,000 $ 6,000 6,737 7,383 8,022 $12,737 $13,383 $14,022 Total liabilities and stockholders' equity $25,473 $27,601 $29,455 $31,337 $33,218 $35,154 $37,128 $39,186 $40,938 $43,607 $ 46,362 NOTES: (1) See Exhibit D for general assumptions. (2) This alternative assumes that the tax incentives were terminated as of the beginning of year 1, and the capital so provided is replaced by debt bearing interest at 8% per annum. The amount of debt is limited to an amount which will give rise to the same total debt to equity and tax incentives ratio as reflected in the base case. Sales are limited to the same relationship to the various asset accounts as existed in the base case, Exhibit A. All other assumptions measured by sales volume are similarly limited. MODEL COMPANY ALTERNATIVE CASE ASSUMING TERMINATION OF TAX INCENTIVES AND APPLICATION OF BASE CASE FINANCIAL RATIOS EXHIBIT C Page 2 of 2 (1) See Exhibit D for general assumptions. |