Exhibit (c)(2)(v)
ISSUE 27-5 |
PREPARED FOR US 1 INDUSTRIES, INC. |
VALUATION OF AMERICAN INTER-FIDELITY EXCHANGE |
EXECUTIVE SUMMARY |
PREPARED BY CAMBRIDGE PARTNERS & ASSOCIATES |
REMARKS
[1] There were non-operating assets of "OTHER INVESTED ASSETS - INDIANA TRUCKER' EXCHANGE " in the amount of $1,020M and non-operating liability of $126M as of the valuation date.
[2] Minority discount calculated based on control premium of 20% for insurance industry based on Mergerstat data.
[3] Allocable percentage of interest of AIFE to US 1 calculated based on underwriting profit by management.
MARKET VALUE | WTD | ||||||||||
COST APPROACH INDICATION [1] | $ | 12,900 | 33 | % | |||||||
MARKET TRANSACTION APPROACH INDICATION (ROUNDED) | 13,900 | 33 | % | ||||||||
MARKET COMPARABLE APPROACH INDICATION (ROUNDED) | 12,700 | 33 | % | ||||||||
BUSINESS ENTERPRISE VALUE | 13,200 | ||||||||||
[1] | ADD: NON-OPERATING ASSETS (LIABILITIES) | 893 | |||||||||
MARKET VALUE OF INVESTED CAPITAL | $ | 14,100 | |||||||||
LESS: LONG TERM DEBT | 0 | ||||||||||
MARKET VALUE OF EQUITY - TOTAL CONTROL BASIS | $ | 14,100 | |||||||||
[2] | LESS: DISCOUNT FOR LACK OF CONTROL (MINORITY) 16.7% | 2,400 | |||||||||
MARKET VALUE OF COMMON EQUITY - MARKETABLE MINORITY INTEREST | 11,700 | ||||||||||
[3] | TIMES: ALLOCABLE PERCENTAGE TO US 1 INDUSTRIES (Rounded) 13.3% | $ | 1,600 | ||||||||
DIVIDED BY: NUMBER OF COMMON SHARES OUTSTANDING OF US 1 INDUSTRIES | 14,243 | ||||||||||
MARKET VALUE OF AIFE CONTRIBUTION TO US1 INDUSTRIES INTEREST ON PER SHARE BASIS | $ | 0.11 |