1
EXHIBIT (b)(3)
Preliminary Materials Presented
at
Special Committee Meeting
on
January 23, 1998
2
Chronology of Events
o February 25, 1997 PetroFina announced its intention to purchase the
remaining 14.2% of Fina's outstanding shares it did not already own for
$266 million, or $60 per share. The Company also announced it will seek a
listing on the New York stock exchange in order to gain improved access to
capital markets in the U.S. PetroFina's Board of Directors formed a
Special Committee to evaluate the proposal and to assist PetroFina in
determining the structure of the consideration.
o April 1997 Fina presents a revised three year corporate plan to PetroFina
o September 1997 Fina announces 40%/60% joint venture with BASF Corp. to
build and operate an $800 million steam cracker
o November 1997 Fina presents a revised three year corporate plan to
PetroFina
o December 1997 PetroFina proposes $60 per share in cash and a warrant
security on the underlying PetroFina ADR stock (exercise price of $42.25;
0.8224:1 exchange ratio; 3-year term)
o February 1998 The PetroFina proposal currently under consideration
includes:
-- $60 per share in cash
-- 4,420,000 warrants issued
-- Exercise price of $42.25 per ADR
-- 0.9:1 exchange ratio
-- Warrants exerciseable at any time (American style) for a 5 year term
3
Warrant Valuation Sensitivities
ADR Price vs. Volatility (a)
Option Value
ADR Price
---------------------------------------------------------------------------
$32 $33 $34 $35 $36 $37 $38
V ------------------------------------------------------------------
o 18% 2.75 3.21 3.67 4.21 4.75 5.32 5.94
l 19% 2.99 3.46 3.93 4.47 5.02 5.60 6.22
a 20% 3.24 3.71 4.19 4.74 5.31 5.87 6.51
t 21% 3.48 3.97 4.46 5.01 5.58 6.15 6.79
i 22% 3.73 4.22 4.72 5.28 5.86 6.43 7.07
l 23% 3.97 4.48 4.98 5.55 6.13 6.72 7.34
i 24% 4.22 4.73 5.25 5.81 6.41 7.00 7.62
t 25% 4.47 4.99 5.51 6.08 6.68 7.29 7.89
y 26% 4.71 5.25 5.78 6.34 6.96 7.56 8.18
---------------------------------------------------------------------------
Warrant Value (b)
ADR Price
---------------------------------------------------------------------------
$32 $33 $34 $35 $36 $37 $38
V ------------------------------------------------------------------
o 18% 2.48 2.89 3.30 3.79 4.28 4.79 5.35
l 19% 2.69 3.11 3.54 4.02 4.52 5.04 5.60
a 20% 2.92 3.34 3.77 4.27 4.78 5.28 5.86
t 21% 3.13 3.57 4.01 4.51 5.02 5.54 6.11
i 22% 3.36 3.80 4.25 4.75 5.27 5.79 6.36
l 23% 3.57 4.03 4.48 5.00 5.52 6.05 6.61
i 24% 3.80 4.26 4.73 5.23 5.77 6.30 6.86
t 25% 4.02 4.49 4.96 5.47 6.01 6.56 7.10
y 26% 4.24 4.73 5.20 5.71 6.26 6.80 7.36
---------------------------------------------------------------------------
Assumptions
- --------------------------------------------------------------------------------
Black Scholes valuation of an American style option using current yield curve.
Assumes issuance of 4,420,000 warrants convertable into 3,978,000 PetroFina
ADRs.
Assumes an effective date of April 1, 1998, a strike price at $42.25 and an
expiration date of April 1, 2003.
Note: Option value at PetroFina ADR price of $35.125 (February 10, 1998) equals
$5.35 ($4.82 in warrant value).
(a) Calculated with an assumed yield curve (6/15/98: 5.81%; 12/14/98: 5.77%;
6/14/99: 5.78%; 12/16/99: 5.79%; 6/19/00: 5.82%; 18/18/00: 5.85%; 6/18/01:
5.88%; 12/17/01: 5.91%; 6/17/02: 5.95%; 12/16/02: 5.98%).
(b) Warrant value represents underlying option times exchange ratio of 0.9.
4
Summary of Revised Offer
o $60 per share in cash plus:
o 4,420,000 warrants issued
o Convertible into 3,978,000 PetroFina ADRs
-- 1 warrant exerciseable into 0.9 ADRs
-- At 10 ADRs per PetroFina SA share, warrants equivalent to 397,800 SA
shares
o Exercise price of $42.25 per ADR
o Warrants exerciseable at any time (American style) for 5 years
o Registered upon issuance on New York Stock Exchange or American Stock
Exchange
o Standard anti-dilution provisions
5
FINA, Inc.
Daily Common Stock Price History
[PLOT POINTS NEXT PAGE]
Petro Fina Offer: $ 64.82(a)
(a) Assumes underlying ADR price of $ 35.125 and volatility of 22%.
6
Fina, Inc.
Daily Common Stock Price History
DATE CAT Price
20-Feb-97 1
21-Feb-97 2
24-Feb-97 3 50.13
25-Feb-97 4 62.50
26-Feb-97 5 62.25
27-Feb-97 6 62.25
28-Feb-97 7 62.38
03-Mar-97 8 62.25
04-Mar-97 9 62.50
05-Mar-97 10 63.00
06-Mar-97 11 62.63
07-Mar-97 12 64.00
10-Mar-97 13 63.25
11-Mar-97 14 63.13
12-Mar-97 15 63.25
13-Mar-97 16 63.13
14-Mar-97 17 63.13
17-Mar-97 18 63.13
18-Mar-97 19 64.25
19-Mar-97 20 63.75
20-Mar-97 21 64.13
21-Mar-97 22 64.50
24-Mar-97 23 64.50
25-Mar-97 24 65.25
26-Mar-97 25 66.00
27-Mar-97 26 64.50
28-Mar-97 27 64.50
31-Mar-97 28 63.50
01-Apr-97 29 63.75
02-Apr-97 30 63.50
03-Apr-97 31 63.50
04-Apr-97 32 63.50
07-Apr-97 33 63.50
08-Apr-97 34 64.00
09-Apr-97 35 63.88
10-Apr-97 36 63.75
11-Apr-97 37 65.00
14-Apr-97 38 64.88
15-Apr-97 39 64.88
16-Apr-97 40 64.75
17-Apr-97 41 64.75
18-Apr-97 42 64.75
21-Apr-97 43 64.88
22-Apr-97 44 64.75
23-Apr-97 45 64.75
24-Apr-97 46 64.75
25-Apr-97 47 64.75
28-Apr-97 48 64.75
29-Apr-97 49 64.88
30-Apr-97 50 64.50
01-May-97 51 65.00
Page 1
7
02-May-97 52 65.00
05-May-97 53 65.25
06-May-97 54 65.00
07-May-97 55 65.00
08-May-97 56 65.25
09-May-97 57 65.00
12-May-97 58 65.38
13-May-97 59 65.38
14-May-97 60 65.25
15-May-97 61 65.25
16-May-97 62 65.13
19-May-97 63 64.88
20-May-97 64 65.00
21-May-97 65 65.75
22-May-97 66 66.00
23-May-97 67 66.25
26-May-97 68 66.25
27-May-97 69 65.63
28-May-97 70 66.38
29-May-97 71 66.38
30-May-97 72 65.94
02-Jun-97 73 66.50
03-Jun-97 74 67.25
04-Jun-97 75 66.50
05-Jun-97 76 66.50
06-Jun-97 77 66.38
09-Jun-97 78 65.00
10-Jun-97 79 64.50
11-Jun-97 80 64.75
12-Jun-97 81 65.00
13-Jun-97 82 65.00
16-Jun-97 83 64.75
17-Jun-97 84 65.25
18-Jun-97 85 64.38
19-Jun-97 86 63.75
20-Jun-97 87 63.00
23-Jun-97 88 63.00
24-Jun-97 89 63.50
25-Jun-97 90 63.63
26-Jun-97 91 63.63
27-Jun-97 92 64.25
30-Jun-97 93 63.75
01-Jul-97 94 64.25
02-Jul-97 95 64.50
03-Jul-97 96 64.50
04-Jul-97 97 64.50
07-Jul-97 98 64.56
08-Jul-97 99 65.00
09-Jul-97 100 65.00
10-Jul-97 101 64.75
11-Jul-97 102 66.00
14-Jul-97 103 65.25
15-Jul-97 104 65.13
16-Jul-97 105 65.13
17-Jul-97 106 65.25
18-Jul-97 107 65.13
Page 2
8
21-Jul-97 108 65.38
22-Jul-97 109 65.13
23-Jul-97 110 66.00
24-Jul-97 111 65.63
25-Jul-97 112 66.25
28-Jul-97 113 65.75
29-Jul-97 114 65.50
30-Jul-97 115 65.50
31-Jul-97 116 65.50
01-Aug-97 117 66.00
04-Aug-97 118 65.63
05-Aug-97 119 66.13
06-Aug-97 120 66.44
07-Aug-97 121 66.38
08-Aug-97 122 65.75
11-Aug-97 123 65.75
12-Aug-97 124 65.88
13-Aug-97 125 66.00
14-Aug-97 126 65.88
15-Aug-97 127 66.50
18-Aug-97 128 65.75
19-Aug-97 129 66.00
20-Aug-97 130 66.38
21-Aug-97 131 66.38
22-Aug-97 132 66.44
25-Aug-97 133 66.31
26-Aug-97 134 65.88
27-Aug-97 135 66.44
28-Aug-97 136 66.44
29-Aug-97 137 66.00
01-Sep-97 138 66.00
02-Sep-97 139 66.13
03-Sep-97 140 65.00
04-Sep-97 141 65.38
05-Sep-97 142 65.31
08-Sep-97 143 65.06
09-Sep-97 144 65.25
10-Sep-97 145 65.25
11-Sep-97 146 65.25
12-Sep-97 147 65.25
15-Sep-97 148 65.00
16-Sep-97 149 64.88
17-Sep-97 150 64.81
18-Sep-97 151 65.25
19-Sep-97 152 64.88
22-Sep-97 153 64.88
23-Sep-97 154 64.81
24-Sep-97 155 66.50
25-Sep-97 156 66.75
26-Sep-97 157 66.50
29-Sep-97 158 67.00
30-Sep-97 159 66.50
01-Oct-97 160 67.25
02-Oct-97 161 67.00
03-Oct-97 162 66.25
06-Oct-97 163 67.00
Page 3
9
07-Oct-97 164 67.38
08-Oct-97 165 66.75
09-Oct-97 166 66.63
10-Oct-97 167 66.63
13-Oct-97 168 66.38
14-Oct-97 169 66.31
15-Oct-97 170 66.00
16-Oct-97 171 66.00
17-Oct-97 172 65.00
20-Oct-97 173 65.19
21-Oct-97 174 65.00
22-Oct-97 175 65.00
23-Oct-97 176 64.50
24-Oct-97 177 64.50
27-Oct-97 178 64.56
28-Oct-97 179 63.00
29-Oct-97 180 63.50
30-Oct-97 181 63.50
31-Oct-97 182 63.50
03-Nov-97 183 64.00
04-Nov-97 164 64.50
05-Nov-97 185 64.75
06-Nov-97 186 65.00
07-Nov-97 187 65.00
10-Nov-97 188 65.00
11-Nov-97 189 64.50
12-Nov-97 190 64.50
13-Nov-97 191 64.75
14-Nov-97 192 64.75
17-Nov-97 193 64.75
18-Nov-97 194 64.75
19-Nov-97 195 64.50
20-Nov-97 196 64.50
21-Nov-97 197 65.25
24-Nov-97 198 65.25
25-Nov-97 199 65.38
26-Nov-97 200 65.38
27-Nov-97 201 65.38
28-Nov-97 202 65.50
01-Dec-97 203 64.50
02-Dec-97 204 64.69
03-Dec-97 205 64.50
04-Dec-97 206 64.63
05-Dec-97 207 64.50
08-Dec-97 208 64.31
09-Dec-97 209 64.38
10-Dec-97 210 64.63
11-Dec-97 211 64.38
12-Dec-97 212 64.38
15-Dec-97 213 64.13
16-Dec-97 214 64.00
17-Dec-97 215 63.81
18-Dec-97 216 64.63
19-Dec-97 217 64.75
22-Dec-97 218 64.75
23-Dec-97 219 64.38
Page 4
10
24-Dec-97 220 64.38
25-Dec-97 221 64.38
26-Dec-97 222 65.25
29-Dec-97 223 65.50
30-Dec-97 224 65.00
31-Dec-97 225 64.00
01-Jan-98 226 64.00
02-Jan-98 227 64.06
05-Jan-98 228 64.25
06-Jan-98 229 63.75
07-Jan-98 230 63.50
08-Jan-98 231 63.13
09-Jan-98 232 62.00
12-Jan-98 233 61.00
13-Jan-98 234 60.75
14-Jan-98 235 60.50
15-Jan-98 236 60.75
16-Jan-98 237 60.75
19-Jan-98 238 60.75
20-Jan-98 239 60.50
21-Jan-98 240 60.88
22-Jan-98 241 60.50
23-Jan-98 242 59.63
26-Jan-98 243 59.50
27-Jan-98 244 60.50
28-Jan-98 245 60.00
29-Jan-98 246 59.88
30-Jan-98 247 59.75
02-Feb-98 248 59.25
03-Feb-98 249 60.44
04-Feb-98 250 60.00
05-Feb-98 251 59.75
06-Feb-98 252 59.75
09-Feb-98 253 59.50
10-Feb-98 254 59.50
Page 5
11
Summary of Valuation Benchmarks
November Plan
[The following table was depicted as a bar chart in the printed material]
Undisturbed Market Price: $ 50.00(a)
Market Price: $ 59.50
Petro Fina Offer: $ 64.82
- --------------------------------------------------------------------------------
Domestic Integrated Public Companies (d)
- --------------------------------------------------------------------------------
Share Price
----------------
Low High
--- ----
Multiple of 1998E DCF $54 $73
P/E 1998E $65 $83
[The following table was depicted as a bar chart in the printed material]
- --------------------------------------------------------------------------------
Weighted-Average Public Companies (e)
- --------------------------------------------------------------------------------
Share Price
----------------
Low High
--- ----
Multiple of 1998 DCF $63 $78
P/E 1998E $66 $81
[The following table was depicted as a bar chart in the printed material]
- --------------------------------------------------------------------------------
DCF Analysis (f)
- --------------------------------------------------------------------------------
Share Price
----------------
Low High
--- ----
$53 $60
[The following table was depicted as a bar chart in the printed material]
- --------------------------------------------------------------------------------
PV of Future Stock Prices (g)
- --------------------------------------------------------------------------------
Share Price
----------------
Low High
--- ----
Year 2000 $47 $57
Year 2001 $63 $77
[The following table was depicted as a bar chart in the printed material]
- --------------------------------------------------------------------------------
100% Cash Purchase 1998 EPS Breakeven (h)
- --------------------------------------------------------------------------------
Share Price
----------------
Low High
--- ----
$53 $73
[The following table was depicted as a bar chart in the printed material]
- --------------------------------------------------------------------------------
100% Stock Purchase 1998 EPS Breakeven (h)
- --------------------------------------------------------------------------------
Share Price
----------------
Low High
--- ----
$47 $56
Note: All estimates based on management's projections from the November plan.
(a) Based on FINA's closing share price of $50.00 as of February 24, 1997, one
day prior to the PetroFina announcement.
(b) Based on closing share prices as of February 10, 1998 ($59.50).
(c) Assumes underlying ADR price of $35.125, exercise price of $42.25 and
volatility of 22% ($64.82).
(d) Based on domestic integrated common stock comparison multiples. The
valuation range extends from low to high multiple for each valuation
parameter.
(e) Calculated with public market multiples weighted by earnings/cash flows from
E&P, R&M and chemical segments. The valuation range extends from low to high
multiple for each valuation parameter.
(f) Low end of range reflects the present value, at an 11.0% discount rate, of
FINA's projected free cash flows for the period 1997-1999 and 14.0% for the
period 2000-2001. Cash flows and terminal value based on a multiple of 5.5x
LTM DCF. High end of range reflects the present value of the same cash flows
and terminal value assumption discounted at rates of 9.0% and 12.0%,
respectively, adjusted by net impact of Steam Cracker investment over
1997-2015 period, using same assumptions (approximately $4.00 to $6.00 per
share).
(g) Low end of range represents the present value, at a 12.0% discount rate, of
FINA's projected year 2000 and 2001 share prices based on a multiple of 9.0x
LTM net income. High end of range reflects the present value, at a 12.0%
discount rate, of FINA's projected year 2000 and 2001 share prices based on
a multiple of 11.0x LTM net income.
(h) Low end of range represents the price at which there is no dilution to
PetroFina's 1998E EPS assuming no synergies and a goodwill amortization
period of 5 years. High end of range reflects the price at which there is no
dilution to PetroFina's 1998E EPS assuming no synergies and a goodwill
amortization period of 20 years.
12
Summary of Valuation Benchmarks
April Plan November Plan
----------------------- ----------------------------
June 5, 1997 Update (a) February 13, 1998 Update (b)
Stock Price (c) $67.25 $59.50
Valuation Benchmarks Low Median High Low Median High
==========================================================================================================
Domestic Integrated Companies
1998E DCF $62 $69 $75 $54 $65 $73
1998E P/E 78 86 94 65 72 83
Weighted-Average Public Companies
1998E DCF NA NA NA $63 $69 $78
1998E P/E NA NA NA 66 74 81
DCF Analysis $60 NM $68 $53 NM $60
PV of Future Stock Prices
2000E $56 NM $69 $47 NM $57
2001E 67 NM 81 63 NM 77
100% Cash Purchase 1998 EPS Breakeven $55 NM $80 $53 NM $73
100% Cash Purchase 1998 EPS Breakeven 51 NM 66 47 NM 56
(a) Based on April 1997 projections and prior Special Committee presentation.
(b) Based on November 1997 projections.
(c) As of June 3, 1997 and February 10, 1998, respectively.
13
Goldman, Sachs & Co.
85 Broad Street
New York, New York 10004
(212) 902-7408
(212) 357-4451 (Fax)
TELECOPY TRANSMITTAL SHEET
- --------------------------------------------------------------------------------
CONFIDENTIAL
NOTICE: The information contained in this facsimile message is intended only for
the confidential use of the recipient. If the reader of this message is not the
intended recipient or person responsible for delivering it to the intended
recipient, you are hereby notified that you have received this communication in
error, and that any review, dissemination, distribution, or copying of this
communication is strictly prohibited. If you have received this in error, please
notify the sender immediately by telephone at the number set forth above and
destroy this facsimile message. Thank you.
- --------------------------------------------------------------------------------
Date: 01/22/98
--------------------------------------------------------------
To: Eric Shube
--------------------------------------------------------------
From: Kevin Quinn
Lukas Hovorka
--------------------------------------------------------------
Fax: (212) 474-3700
--------------------------------------------------------------
Total Pages:
--------------------------------------------------------------
Eric,
In preparation for our conference call tomorrow, we have attached 3 pages on
warrant valuation for distribution to the Board members. If you have any
questions please call Kevin at 212-902-6868 or Lukas at 212-902-7408.
- --------------------------------------------------------------------------------
Call Ann Marie or Tish (212)902-6872 if there is any problem with the
transmission of these pages.
14
Warrant Valuation and Chronology
Assumptions
------------------------------------------------------
Warrant Strike Expiration ADR Annual Conversion Effective
Value(1) Price Date Price Volatility Dividend(2) Ratio(3) Date
-------- ----- ---- ----- ---------- ----------- -------- ----
Original PetroFina Offer - 12/10/97
Value $6.04 $42.25 12/12/00 $39.00 24% 2.85% 1:1 12/22/97
Original PetroFina Offer - Revised Valuation
--------
Value 4.97 42.25 12/12/00 39.00 24% 2.85% 0.8224:1 12/22/97
----- --------
Value 5.08 42.25 12/12/00 39.00 24% $1.11 0.8224:1 12/22/97
-----
Original PetroFina Offer - New Assumptions
----- --------
Value 4.77 42.25 12/12/00 38.38 24% 1.11 0.8224:1 12/23/97
----- --- --------
Value 4.37 42.25 12/12/00 38.38 22% 1.11 0.8224:1 12/23/97
---
FINA Counter-Offer - 12/19/97
--------
Value 6.24 42.25 12/18/02 38.38 22% 1.11 0.8224:1 12/23/97
--------
New PetroFina Offer - 12/22/97
------ --- -------- ------
Value 5.60 42.25 4/1/01 38.38 24% 1.11 0.90:1 1/9/98
------ --- -------- ------
Value 5.16 42.25 4/1/01 38.38 22% 1.11 0.90:1 1/9/98
---
FINA Counter-Offer - 1/7/98
------
Value 7.10 42.25 4/1/03 38.38 22% 1.11 0.90:1 1/9/98
------ -----
Value 5.99 42.25 4/1/03 36.50 22% 1.11 0.90:1 1/9/98
-----
FINA Counter-Offer - 1/7/98
(price as of 1/19/98/warrant term)
----- -------
Value 5.68 42.25 4/1/03 36.00 22% 1.11 0.90:1 1/20/98
----- -------
Value (yield curve)(4) 5.53 42.25 4/1/03 36.00 22% 1.11 0.90:1 1/20/98
------
Value 3.81 42.25 4/1/01 36.00 22% 1.11 0.90:1 1/20/98
------
Revised PetroFina Offer - 1/19/98
-----
Value 4.10 41.25 4/1/01 36.00 22% 1.11 0.90:1 1/20/98
-----
Assumptions
- -----------
Black Scholes valuation of American style option (exchangeable at any time
before expiration) using current yield curve
Assumes issuance of 4,420,000 warrants, convertible into PetroFina ADRs at
exchange ratio, ADRs represent 10 underlying PetroFina shares
Warrants registered upon issuance on NYSE or AMEX; standard anti-dilution
provisions (to be determined) have been offered
Note: Warrant value does not include FINA, Inc. $0.80 1st quarter dividend
(1) Warrant value represents underlying option value times exchange ratio
(2) Dividend assumption either constant yield or constant dollar amount
(3) Conversion ratio represents number of ADRs per issued warrant
(4) Calculated with updated (1/19/98) yield curve (6/15/98: 5.81%; 12/14/98:
5.77%; 6/14/99: 5.78%; 12/16/99: 5.79%; 6/19/00: 5.82%; 12/18/00: 5.85%;
6/18/01: 5.88%; 12/17/01: 5.91%; 6/17/02: 5.95%; 12/16/02: 5.98%)
15
Analysis of Warrant Value
Change in Valuation
$ Change from
Warrant Original PetroFina
Value Offer 12/10/97 (a)
- --------------------------------------------------------------------------------
Original PetroFina Offer - 12/l0/97 (b) $5.08 $ 0.00
Original PetroFina Offer - New Assumptions
ADR Price ($38.375) $(0.31)
Volatility (22%) (0.40)
Effective Date (12/23/97) (0.00)
Combined $4.37 $(0.72)
New PetroFina Offer - 12/22/97
ADR Price ($38.375) $(0.31)
Volatility (22%) (0.40)
Effective Date (1/9/98) (0.09)
Expiration Date (4/1/01) 0.43
Conversion ratio (0.90:1) 0.48
Combined $5.16 $0.08
Revised PetroFina Offer - 1/19/98
ADR Price ($36.00) $(1.38)
Volatility (22%) (0.40)
Expiration Date (4/1/01) 0.43
Conversion ratio (0.90:1) 0.48
Strike Price ($41.25) 0.32
Effective Date (1/20/98) (0.14)
Yield Curve (as of 1/19/98) (0.12)
Combined $4.10 $(0.99)
- --------------------------------------------------------------------------------
(a) Numbers may not add due to rounding and impact of simultaneous changes in
warrant variables.
(b) Assumes strike price of $42.25, expiration date on 12/12/00, ADR price of
$39.00, 24% volatility, annual dividend of $1.11, 0.8224:1 conversion ratio,
effective date on 12/22/97 and yield curve as of 12/10/97.
16
Analysis of Warrant Value
Sensitivity Analysis
- -------------------------------------------------------------
Current Warrant Value (a) $4.10
Warrant Value
Effective Date
----------------------------------------
1/20/98 3/1/98 4/1/98 5/1/98
---------------------------------------------------
$34.00 $3.19 $3.05 $2.94 $2.83
$35.00 $3.62 $3.46 $3.34 $3.23
ADR $36.00 $4.10 $3.93 $3.81 $3.68
Price $37.00 $4.58 $4.42 $4.29 $4.16
$38.0O $5.11 $4.92 $4.78 $4.64
$ Change from Current Warrant Value ($4.10)
Effective Date
----------------------------------------
1/20/98 3/1/98 4/1/98 5/1/98
---------------------------------------------------
$34.00 $(0.91) $(1.05) $(1.16) $(1.27)
$35.00 $(0.48) $(0.64) $(0.76) $(0.87)
ADR $36.00 $(0.00) $(0.17) $(0.29) $(0.42)
Price $37.00 $0.48 $0.32 $0.19 $0.06
$38.0O $1.01 $0.82 $0.68 $0.54
- -------------------------------------------------------------
(a) Assumes strike price of $41.25, expiration date on 4/1/01, ADR price of
$36.00, 22% volatility, annual dividend of $1.11, 0.90:1 conversion ratio
and effective date on 1/20/98.