Delta Air Lines Historical Profit & Loss Summary (December 31; $ millions)

Particulers 2017 2018 2019 2020

Passenger & cargo revenue 37,691 40,620 43,030 8,507
Other revenue 3,447 3,818 3,977 1553
Total revenue 41,138 44,438 47,007 10,060
Operating expense (34,963) (38,979) (40,357) (12,697)
Operating income 6,175 5,459 6,650 (2,637)
Interest expense (396) (311) (301) (273)
Other non-operating expense (20) (179) (177) (95)
Profit before income taxes and 5,759 4,969 6,172 (3,005)
unusual items
Unusual items (259) 182 26 (4,616)
Profit before income taxes 5,500 5,151 6,198 (7,621)
Income tax expense 2,295 1,216 1,431 1,370
Net income 3,205 3,935 4,767 (6,251)

Supplemental information: -2738

EBITDA 8,210 7,583 8,913 -712
EBITDAR 10,062 10,462 11,882 0.4
Dividends per Share 1.02 1.31 1.51
Full-time equivalent employees 86,564 88,680 91,224
(period-end)
Revenue passenger miles (in 217,712 225,243 237,680 93368
millions)
Available seat miles (in millions) 254,325 263,365 275,379 139682
mary (December 31; $ millions)
(1st Q 2020+2nd Q 2020)*2
7721 786
871 682
8592 1468
-8934 -3763
-342 -2295
-79 -194
-74 -21
-495 -2510

-112 -4504
-607 -7014
73 1297
-534 -5717
 Balance Sheet & Cash Flow Information ($ millions)
Particulars 2017 2018
ASSETS
Cash & Short-Term Investments 2,639 1,768
Accounts Receivable 2,377 2,314
Inventory 1,329 1,055
Prepaid Expenses and Other 1,420 1,156
Restricted Cash 39 47
Total Current Assets 7,804 6,340
Net Property, Plant & Equipment 25,403 33,152
Long-term Investments 513 1,098
Goodwill and Other Intangibles 14,641 14,611
Other Long-Term Assets 5,310 5,065
Total Assets 53,671 60,266
LIABILITIES
Accounts Payable 3,634 2,976
Accrued Expenses 5,250 5,457
Currrent Portion of Long-Term Debt 2,839 1,416
Current Portion of Leases 97 1,064
Unearned Revenue, Current 7,126 7,650
Other Current Liabilities 13 15
Total Current Liabilities 18,959 18,578
Long-Term Debt 6,295 7,959
Long-Term Leases 297 6,095
Unearned Revenue, Non-Current 3,559 3,652
Pension & Other Post-Retirement Benefits 9,810 9,163
Other Non-Current Liabilities 2,221 1,132
Total Liabilities 41,141 46,579
Total Equity 12,530 13,687
Total Liabilities And Equity 53,671 60,266

Supplemental information:
Credit rating (Standard & Poors) BBB- BBB-
Capital Expenditure 3,891 5,168
Repurchase of Common Stock 1,677 1,575
Cash Dividends 731 909

Retained Earnings 6,892 9,366 12,392

on ($ millions)
2019 June30,2020

2,894 15,671
2,854 1,375
1,251 847
1,038 909
212 113
8,249 18,915
35,918 34,123
1,152 1,656
14,944 15,770
4,269 1,797
64,532 72,261

3,266 2,332
5,496 3,762
2,058 4,954
1,034 1,008
8,335 5,881
15 2,213
20,204 20,150
8,052 18,539
6,115 6,244
3,509 6,101
8,452 8,160
2,842 4,377
49,174 63,571
15,358 8,690
64,532 72,261

BBB- BB
4,936 1,218
2,027 344
980 260

16,179 9,668
 Quarterly Profit & Loss Summary ($ millions)
First Quarter Second Quarter
Particulers 2019 2020 2019 2020
Passenger & cargo revenue 9,446 7,721 11,554 786
Other revenue 1,026 871 982 682
Total revenue 10,472 8,592 12,536 1,468
Operating expense (9,465) (8,934) (10,423) (3,763)
Operating income 1,007 (342) 2,113 (2,295)
Interest expense (83) (79) (75) (194)
Other non-operating expense (78) (74) (32) (21)
Profit before income taxes and unusual 846 (495) 2,006 (2,510)
items items
Unusual 100 (112) (99) (4,504)
Profit before income taxes 946 (607) 1,907 (7,014)
Income tax expense (216) 73 (464) 1,297
Net income 730 (534) 1,443 (5,717)

Supplemental information: 2019 2020 2019 2020

EBITDA 1,622 336 2,826 (1,705)
EBITDAR 2,143 903 3,375 (1,259)
Dividends per Share 0.35 0.40 0.35 0.00
Revenue passenger miles (in millions) 51,617 43,063 63,173 3,621
Available seat miles (in millions) 62,415 59,245 71,754 10,596
 Exhibit 9 Key Operational Metrics, U.S. Legacy Airlines, 2019
Particulars Delta Air LineAmerican Airl United Airlines
Revenue passenger miles (in millions) 237,680 241,252 239,360
Available seat miles (in millions) 275,379 285,088 284,999
Passenger mile yield (¢) 17.79 17.41 16.55
Passenger revenue per available seat mile (¢) 15.35 14.74 13.9
Total revenue per available seat mile (¢) 17.07 16.05 15.18
Operating cost per available seat mile (¢) 14.67 14.98 13.67
Operating cost per available seat mile excl. fuel 10.52 11.46 10.21
and specialload
Passenger items (¢)
factor 86.30% 84.60% 84.00%
Fuel gallons consumed (in millions) 4,214 4,537 4,292
Average price per fuel gallon ($) 2.02 2.07 2.09
Full-time equivalent employees 91,224 133,700 80,120
 Balace Sheet
Particulars 2017 2018 2019 2020
Cash 2639 1768 2894 15671
Accounts Receivables 2377 2314 2854 1375
Inventory 1329 1055 1251 847
Prepaid Expenses and Other 1420 1156 1038 909
Restricted Cash 39 47 212 113
Current Asset 7804 6340 8249 18915
Net Fixed Asset (PPE) 25403 33152 35918 34123
Total Asset 53671 60266 64532 72261
Accounts Payable 3634 2976 3266 2332
Current Liability 18959 18578 20204 20150
Long Term Debt 6295 7959 8052 18539
Total Debt 25254 26537 28256 38689
Total Liability 41,141 46,579 49,174 63,571
Total Equity 12530 13687 15358 8690
Income Statement
Particulars 2017 2018 2019 2020
Revenue 41,138 44,438 47,007 10,060
Operating Cost 34,968 38,979 40,357 25,394
Operating Profit 6,175 5,459 6,650 (2,637)
Interest 396 311 301 (546)
Net Income 3,205 3,935 4,767 (6,251)

Ratio Analysis
Particulars 2017 2018 2019 2020
Liquidity Ratio
Current Ratio 0.412 0.341 0.408 0.939
Quick Ratio 0.342 0.284 0.346 0.897
Cash Ratio 0.139 0.095 0.143 0.778
Net Working Cap to Total Asset -0.208 -0.203 -0.185 -0.017
Working Capital (11,155) (12,238) (11,955) (1,235)
Interval Measure 80.343 58.555 73.584 268.150
Long Term Solvency Ratio 2017 2018 2019 2020
Total Debt Ratio 0.767 0.773 0.762 0.880
Debt to Equity Ratio 2.015 1.939 1.840 4.452
Equity Multiplier 4.283 4.403 4.202 8.315
Long Term Debt Ratio 0.334 0.368 0.344 0.681
Cash Coverage Ratio 22.008 28.213 34.026 -2.407
Asset Management Ratio 2017 2018 2019 2020
Receivable Turnover 17.307 19.204 16.471 7.316
Days Sales in Recievables 21.090 19.006 22.161 49.888
NWC Turnover -3.688 -3.631 -3.932 -8.146
Fixed Asset Turnover 1.619 1.340 1.309 0.295
Total Asset Turnover 0.766 0.737 0.728 0.139
Profitability Ratio 2017 2018 2019 2020
Profit Margin 0.078 0.089 0.101 -0.621
ROA 0.060 0.065 0.074 -0.087
ROE 0.256 0.287 0.310 -0.719

Du-point Analysis
Particulars 2017 2018 2019 2020
Profit Margin 7.79% 8.86% 10.14% -62.14%
Total Asset Turnover 76.65% 73.74% 72.84% 13.92%
Equity Multiplier 4.283 4.403 4.202 8.315
ROE 25.58% 28.75% 31.04% -71.93%

2017 2018 2019 2020

Operating assets 7804 6340 8249 18915
Operating liabilities 18959 18578 20204 20150
Net working capital -3543.699935 -4051.0002 -3999.900065 -4510.100084
Change in Net Working Capital -507.30023 51.100098 -510.200019
 2019 1H2020
Delta American United Southwest Delta American

Revenue, profit and cash flow items: Delta American United Southwest Delta
Passenger revenue 42.3 42.0 39.6 20.8 8.2
Total revenue 47.0 45.8 43.3 22.4 10.1
Operating profit 6.7 3.9 4.6 2.9 (2.6)
Net income 4.8 1.7 3.0 2.3 (6.3)
EBITDA 8.9 6.2 6.7 4.0 (1.4)
EBITDAR 11.9 10.6 10.3 5.6 (0.4)
Capital expenditures 4.9 4.3 4.5 1.0 1.2
Revenue passenger miles (billions) 238 241 239 131 47
Passenger revenue per mile (cents) 17.8 17.4 16.6 15.8 17.7
Available seat miles 275 285 285 157
Load factor 86.3% 84.6% 84.0% 83.5% 66.8%
EBITDAR margin % 25.3% 23.1% 23.8% 25.2% -3.5%
Selected capitalization items:
Total debt 10.1 23.6 14.6 2.0 23.5
Total lease obligations 7.1 9.8 5.9 2.0 7.3
Cash and short-term investments 2.9 3.8 4.9 4.1 15.7
Net debt and leases 14.4 29.6 15.5 (0.1) 15.1
Net debt and leases / EBITDAR 1.21 2.81 1.51 -0.01 n.m.
Available undrawn credit facilities 3.1 3.2 2.0 1.0 0.0
Total liquidity 6.0 7.1 6.9 5.1 15.7
Credit rating BBB- BB- BB BBB+ BB
Share price (as of filing date) 59.13 28.33 70.57 55.68 28.60
Total shares outstanding (mil, on filing date) 638 426 248 517 635
Market value of equity 37.7 12.1 17.5 28.8 18.2
Enterprise value 52.1 41.7 33.0 28.7 33.2
EV / EBITDAR 4.4 3.9 3.2 5.1 n.m.
D/V 28% 71% 47% 0% 45%
Market value of equity 37725
 1H2020
Delta American United Southwest

American United Southwest

8.8 7.7 4.5
10.1 9.5 5.2
(5.3) (3.9) (2.3)
(4.3) (3.3) (1.0)
(4.2) (2.7) (1.6)
(2.8) (1.6) (1.0)
1.2 2.0 0.3
52 46 30
16.8 16.8 15.4
79 70 53
66.2% 66.1% 55.5%
-27.2% -16.5% -19.6%
30.7 18.8 9.7
9.4 6.1 1.8
9.8 7.5 14.5
30.2 17.4 (3.0)
n.m. n.m. n.m.
0.4 2.0 1.0
10.2 9.5 15.5
B- B+ BBB
11.77 31.67 31.53
509 291 590
6.0 9.2 18.6
36.2 26.6 15.6
n.m. n.m. n.m.
83% 65% -19%
 Financing and Liquidity Information ($ millions)

DEBTS-Secured by slots, gates and/or routes Year * 30 June Interest Maturit

2019 2020 Rate y Date(s)

Revolving credit facility 2,650 3.75% 2021-2023

Term loan 1,500 5.75% 2023
Senior secured notes 3,500 7.0% 2025
Secured by aircraft
Term loan 2,950 2.44% 2021
Certificates and notes 2,862 3,877 0.04465 2020-2028
Unsecured notes 5,550 5,800 4.37% 2020-2029
Unsecured CARES Act Loan 1,438 1.0% 2030
Other financings 1,579 1,867 1.0% 2021-2036
Total secured and unsecured debt 9,991 23,582
Unamortized debt issuance cost and other 119 (89)
Total debt 10,110 23,493
Lease liabilities 7,149 7,252
Available liquidity
Cash and short-term investments 2,894 15,671
Availability under revolving credit facilities 3,109 39
Total 6,003 15,710
Total debt and leases 17,259 30,745
Net debt and leases 14,365 15,074
Current maturities (included above)
Debt 2,058 4,954
Leases 1,034 1,008
Total 3,092 5,962
 Bisiness Risk
Revenue Variability
Particulars 2017 2018
Revenue 41,138 44,438
% changes 8.02%
Revenue Mean
Standard Deviation
CV
EBIT Variability
Particulars 2017 2018
EBIT 6175.00 5459.00
% changes -11.60%
EBIT Mean
Standard Deviation
CV
Degree of Operating Leverage
Particulars 2017 2018
Operating Income 6,175 5,459
% Changes in Operating Income -11.60%
Revenue 41,138 44,438
% Changes in Revenue 8.02%
DOL -1.45
Average DOL

Risk Premium Under 0.25% 0.50% 0.75% 0.95% 1.00%

Criteria Very low RLow Risk Moderate Risk High Risk Very high Risk
Sales Variability SV<15% 15%<SV<2 25%<SV<30% 30%<SV<40% SV>40%
EBIT Variability EBITV<15%15%<EBITV25%<EBITV<30% 30%<EBITV<40% EBITV>40%
DOL DOL<1 1<DOL<2 2<DOL<3 3<DOL<4 DOL>4
Business Risk Risk Premium
 Financial Risk
lity TIE
2019 2020 Particulars 2017
47,007 10,060 EBIT 6175.00
5.78% -78.60% Interest -396.00
35,661 Times Interest Earned (TIE) -15.59
14926.287 Average TIE
0.4186 Altman Z Score
Particulars Weight 2017
2019 2020 Working Cap / Total Asset 6.56 -0.2078403607162
6650.00 -2637.00 Retained Earings / Total Asset 3.26 0.1744983324328
21.82% -139.65% EBIT / Total Asset 6.72 0.1150528218218
3,912 MV of Equity / Book Value of Liability 1.05 0.3045623587176
3805
0.9726 Z 0.2983772367287
e High Risk Z<1.23
2019 2020 Medium Risk 1.23<Z<2.90
6,650 (2,637) Low Risk Z>2.90
21.82% -139.65% Average Z 0.350 Distress zone
47,007 10,060 Risk of The Company High Risk
5.78% -78.60% Degree of Financial Leverage
3.77 1.78 Particulars 2017
1.3684 EBIT 6175.00
Interest (396)
DFL 0.94
Average DFL

Risk Premi 0.50% 0.75% 0.95%

Risk Premium
Criteria Very low Risk Low Risk Moderate Risk
1.00% TIE TIE>300 300>TIE<200 200>TIE>100
1.00% Altman Z Z>2.99 2.3<Z<2.99 1.85<Z<2.3
0.50% DFL DOL<1.5 1.5<DOL<2.5 2.5<DOL<3.5
2.50% Financial Risk Risk Premium
 Financial Risk
TIE
2018 2019 2020
5459.00 6650.00 -2637.00
-311.00 -301.00 -273.00
-17.55 -22.09 9.66
-11.40
re
2018 2019 2020
-0.2030664056 -0.185256926796 -0.0170908235424364
0.20561344705 0.2507050765512 0.133785859592311
0.09058175422 0.1030496497862 -0.0364927139120688
0.29384486571 0.3123195184447 0.136697550770005

0.25543071402 0.6224422507049 0.222327490651955

Leverage
2018 2019 2020
5459.00 6650.00 -2637.00
(311) (301) (273)
0.95 0.96 1.12
1.0

1.00% 1.30%
Risk Premium
High Risk Very high Risk
100>TIE>50 TIE<50 1.30%
1.75<Z<1.85 Z<1.75 1.30%
3.5<DOL<4.5 DOL>4.5 0.50%
3.10%
Particulars 2017 2018 2019 2020
Total Asset 53,671 60,266 64,532 72,261
Working Capital -11155 -12238 -11955 -1235
Retaind Earnings 9,366 12,392 16,179 9,668
MV of Equity 12,530 13,687 15,358 8,690
Book value of Liability 41141 46579 49174 63571
Revenue 41,138 44,438 47,007 10,060
EBIT 6175.00 5459.00 6650.00 -2637.00

Risk Distribution for non-manufacturing companies

Z > 2.90 Safe Zone

1.23 < Z < 2.90 Gray Zone

Z < 1.23 Distress Zone

Z-Score Probability
Z<1.44 60%
 WACC for Base Case
Share price (S$): 28.6
Shares outstanding (m): 635
Market capitalization (S$m): 18161
total debt (S$m): 23,582
Debt-to-equity ratio (%): 1.30
Corporate tax rate (%): 21%
Risk-free rate 2.10%
Business Risk Premium 2.50%
Financial Risk Premium 3.10%
Market risk premium 5.50%
Beta 0.60
Cost of equity 11.000%
Cost of debt 7.00%
Weight of equity 43.51%
Weight of debt 56.49%
After-tax cost of debt 5.530%
Weighted average cost of capital 8.740%
Terminal Growth Rate 2.25%
 WACC for _ Alternative 01 WACC for alt 2
Share price (S$): 28.6 Share price (S$): 28.6
Shares outstanding (m): 635 Shares outstanding (m): 635
Market capitalization (S$m): 18161 Market capitalization (S$m): 18161
total debt (S$m): 23,582 total debt (S$m): 23,582
Borrowing Against Aircraft 6,500 Borrowing Against Skymiles Program 7,800
Collateralized Borrowing 5,200 Net Debt 31,382
Net Debt 28,782 Debt-to-equity ratio (%): 1.73
Debt-to-equity ratio (%): 1.58 Corporate tax rate (%): 21%
Corporate tax rate (%): 21% Risk-free rate 2.10%
Risk-free rate 2.10% Business Risk Premium 2.50%
Business Risk Premium 2.50% Financial Risk Premium 3.10%
Financial Risk Premium 3.10% Market risk premium 5.50%
Market risk premium 5.50% Beta 0.60
Beta 0.60 Cost of equity 11.000%
Cost of equity 11.000% Default risk Premium 1.000%
Cost of debt 5.20% Total Cost of debt 7.00%
Weight of equity 38.69% Weight of equity 36.66%
Weight of debt 61.31% Weight of debt 63.34%
After-tax cost of debt 4.108% After-tax cost of debt 5.530%
Weighted average cost of capital 6.774% Weighted average cost of capital 7.535%
 WACC for Alternative 3
Share price (S$): 28.6
Shares outstanding (m): 635
Market capitalization (S$m): 18161
Long-term debt (S$m): 23,582
Borrow from US Treasury 4,600
Net Debt 28,182
Debt-to-equity ratio (%): 1.55
Corporate tax rate (%): 21%
Risk-free rate 2.10%
Business Risk Premium 2.50%
Financial Risk Premium 3.10%
Market risk premium 5.50%
Beta 0.60
Cost of equity 11.00%
LIBOR 0.950%
Cost of debt 4.45%
Weight of equity 39.19%
Weight of debt 60.81%
After-tax cost of debt 3.516%
Weighted average cost of capital 6.449%
 WACC for Alternative 04 WACC for alt 5
Share price (S$): 28.6 Share price (S$):
Shares outstanding (m): 635 Shares outstanding (m):
New Share Issue 57.69 Market capitalization (S$m):
Total Share oustanding 692.69 total debt (S$m):
Proceed From New Common Stock Issuance 1650 m Debt-to-equity ratio (%):
New Market capitalization (S$m): 19811 Corporate tax rate (%):
total debt (S$m): 23,582 Risk-free rate
Debt-to-equity ratio (%): 1.1903 Business Risk Premium
Corporate tax rate (%): 21% Financial Risk Premium
Risk-free rate 2.10% Market risk premium
Business Risk Premium 2.50% Beta
Financial Risk Premium 3.10% Cost of equity
Market risk premium 5.50% Cost of debt
Beta 0.60 Weight of equity
Cost of equity 11.000% Weight of debt
Cost of Debt 7.00% After-tax cost of debt
Weight of equity 45.65% Weighted average cost of capital
Weight of debt 54.35%
After-tax cost of debt 5.530%
Weighted average cost of capital 8.027%
r alt 5
28.6
635
18161
23,582
1.30
21%
1.55%
2.50%
3.10%
5.50%
1.20
13.750%
7.00%
43.51%
56.49%
5.530%
9.106%
 Historical Values
Particluars
2017A 2018A
Revenue 41,138.00 44,438.00
% of growth 8.02%
EBITDA 8,210.00 7,583.00
% of Margin 20% 17%
(-) D&A 2,035.00 2,124.00
EBIT 6,175.00 5,459.00
(-) Taxes 2,295 1,216
% rate (21%) 37.17% 22.28%
Net Operating Profit after Tax 3,880.00 4,243.00
(+) D&A 2,035.00 2,124.00
(+)Investment in NWC -1,083
Capital % of revenue -2.44%
(-) CapEx 3,891.00 5,168.00
% of revenue 9.46% 11.63%
Free Cash Flow to the Frims 2,024.00 2,282.00

Years
Discount factor
PV of FCFF
Summation of PV of FCFF 7894.3396
Terminal Value 56330.1
PV of Terminal Value 31333.44
Enterprise Value 39,227.78
(-) Total debt 23582.00
(+) Cash 15671.00
(-) PV of agency cost (2.5% of EV) 784.56
(-)PV of Distress cost ( 25% of EV * 95%) 9316.60

Equity Value 21,215.62

Number of outstanding shares 635.00
Value Per Share 33.41
Current share price 28.60
Returns (%) 16.82%
Historical Values Projections ($ million)
2019A 2020(H1)A 2020(H2) E 2021E 2022E 2023E
47,007.00 10,060.00 11,267.20 24,739.55 31,171.84 40,835.10
5.78% -78.60% 12.00% 16.00% 26.00% 31.00%
8,913.00 1,369.00 1,352.06 3,710.93 6,857.80 10,208.78
19% 14% 12% 15% 22% 25%
2,263.00 1,268.00 1,131.50 2,140.67 2,153.51 2,166.43
6,650.00 101.00 220.56 1,570.27 4,704.29 8,042.34
1,431 1,370 46.32 329.76 987.90 1688.89
21.52% 21.00% 21.00% 21.00% 21.00% 21.00%
5,219.00 -1,269.00 174.25 1,240.51 3,716.39 6,353.45
2,263.00 1,268.00 1,131.50 2,140.67 2,153.51 2,166.43
283 10,720 676 1855 2650 3675
0.60% 106.56% 6.00% 7.50% 8.50% 9.00%
4,936.00 1,218.00 901.38 2,473.96 3,273.04 4,491.86
10.50% 12.11% 8.00% 10.00% 10.50% 11.00%
2,263.00 -11,939.00 -271.66 -948.24 -52.75 352.86

0.5 1 2 3
0.9589695136 0.9196225280312 0.84570559 0.77772992
-260.51599795 -872.0271771707 -44.608006 274.432035
Net Working Capital -11,155 -12,238 -11,955 -1,235
Change in NWC -1,083 283 10,720
Projections ($ million)
2024E 2025E 2026E 2027E
55,127.39 76,627.07 109,576.72 161,077.77
35.00% 39.00% 43.00% 47.00%
16,538.22 24,520.66 32,873.01 48,323.33
30% 32% 30% 30%
2,179.43 2,192.51 2,205.66 2,218.90
14,358.79 22,328.16 30,667.35 46,104.44
3015.35 4688.91 6440.14 9681.93
21.00% 21% 21% 21%
11,343.44 17,639.24 24,227.21 36,422.50
2,179.43 2,192.51 2,205.66 2,218.90
5237 7663 10958 16108
9.50% 10.00% 10.00% 10.00%
6,064.01 8,428.98 12,053.44 17,718.55
11.00% 11.00% 11.00% 11.00%
2,221.76 3,740.07 3,421.76 4,815.07

4 5 6 7
0.71521795 0.65773054095 0.60486382284 0.55624639787
1589.04041 2459.95510849 2069.69902923 2678.36421579
Particluars
2017A 2018A
Revenue 41,138.00 44,438.00
% of growth 8.02%
EBITDA 8,210.00 7,583.00
% of Margin 20% 17%
(-) D&A 2,035.00 2,124.00
EBIT 6,175.00 5,459.00
(-) Taxes 2,295 1,216
% rate (21%) 37.17% 22.28%
Net Operating Profit after Tax 3,880.00 4,243.00
(+) D&A 2,035.00 2,124.00
(+)Investment in NWC -1,083
Capital % of revenue -2.44%
(-) CapEx 3,891.00 5,168.00
% of revenue 9.46% 11.63%
Free Cash Flow to the Frims 2,024.00 2,282.00

Years
Discount factor
PV of FCFF
Summation of PV of FCFF -1953.6254
Terminal Value 71438.8
PV of Terminal Value 45150.86
Enterprise Value 43,197.24
(-) Total debt 23582.00
(+) Cash 15671.00
(-) PV of agency cost (2.5% of EV) 863.94
(-)PV of Distress cost ( 25% of EV * 95%) 10259.34

Equity Value 24,162.95

Number of outstanding shares 635.00
Share Price (S$) 38.05
Current share price 28.60
Returns (%) 33.05%
 Projections (Amount in S$ millio
2019A 2020(H1)A 2020(H2) E 2021E 2022E 2023E
47,007.00 10,060.00 10,864.80 24,272.77 30,583.69 40,064.63
5.78% -78.60% 8.00% 16.00% 26.00% 31.00%
8,913.00 1,369.00 1,303.78 3,640.92 6,728.41 10,016.16
19% 14% 12% 15% 22% 25%
2,263.00 1,268.00 1,131.50 2,140.67 2,153.51 2,166.43
6,650.00 101.00 172.28 1,500.25 4,574.90 7,849.73
1,431 1,370 36.18 315.05 960.73 1648.44
21.52% 21.00% 21.00% 21.00% 21.00% 21.00%
5,219.00 -1,269.00 136.10 1,185.20 3,614.17 6,201.28
2,263.00 1,268.00 1,131.50 2,140.67 2,153.51 2,166.43
283 10,720 652 1820 2600 3606
0.60% 106.56% 6.00% 7.50% 8.50% 9.00%
4,936.00 1,218.00 869.18 3,883.64 5,046.31 6,810.99
10.50% 12.11% 8.00% 16.00% 16.50% 17.00%
2,263.00 -11,939.00 -253.47 -2,378.24 -1,878.24 -2,049.09

0.5 1 2 3
0.9677575517 0.9365546789 0.87713467 0.82148458
-245.301339 -2227.349431936 -1647.4692 -1683.2948

Revenue 10864.8
EBITDA 1303.776
D&A 1131.5
CAPEX 869.184
Terminal Growth Rate 2.25%
WACC 6.77%

Net Working Capital -11,155 -12,238 -11,955 -1,235

Change in NWC -1,083 283 10,720
Projections (Amount in S$ million)
2024E 2025E 2026E 2027E
54,087.25 75,181.28 107,509.23 158,038.57
35.00% 39.00% 43.00% 47.00%
16,226.18 24,058.01 32,252.77 47,411.57
30% 32% 30% 30%
2,179.43 2,192.51 2,205.66 2,218.90
14,046.75 21,865.50 30,047.11 45,192.67
2949.82 4591.76 6309.89 9490.46
21.00% 21% 21% 21%
11,096.93 17,273.75 23,737.21 35,702.21
2,179.43 2,192.51 2,205.66 2,218.90
5138 7518 10751 15804
9.50% 10.00% 10.00% 10.00%
9,194.83 12,780.82 11,826.02 17,384.24
17.00% 17.00% 11.00% 11.00%
-1,056.76 -832.69 3,365.94 4,733.01

4 5 6 7
0.76936522 0.72055259966 0.67483690861 0.63202166425
-813.03645 -599.99807052 2271.45934416 2991.36453236
 Historical Values
Particluars
2017A 2018A
Revenue 41,138.00 44,438.00
% of growth 8.02%
EBITDA 8,210.00 7,583.00
% of Margin 20% 17%
(-) D&A 2,035.00 2,124.00
EBIT 6,175.00 5,459.00
(-) Taxes 2,295 1,216
% rate (21%) 37.17% 22.28%
Net Operating Profit after Tax 3,880.00 4,243.00
(+) D&A 2,035.00 2,124.00
(+)Investment in NWC -1,083
Capital % of revenue -2.44%
(-) CapEx 3,891.00 5,168.00
% of revenue 9.46% 11.63%
Free Cash Flow to the Frims 2,024.00 2,282.00

Years
Discount factor
PV of FCFF
Summation of PV of FCFF 3145.8438
Terminal Value 65339.3
PV of Terminal Value 39293.56
Enterprise Value 42,439.41
(-) Total debt 23582.00
(+) Cash 15671.00
(-) PV of agency cost (2.5% of EV) 848.79
(-)PV of Distress cost ( 25% of EV * 95%) 10079.36

Equity Value 23,600.26

Number of outstanding shares 635.00
Value Per Share 37.17
Current share price 28.60
Returns (%) 29.95%
Historical Values Projections ($ million)
2019A 2020(H1)A 2020(H2) E 2021E 2022E 2023E
47,007.00 10,060.00 11,267.20 24,739.55 31,171.84 40,835.10
5.78% -78.60% 12.00% 16.00% 26.00% 31.00%
8,913.00 1,369.00 1,352.06 3,710.93 6,857.80 10,208.78
19% 14% 12% 15% 22% 25%
2,263.00 1,268.00 1,131.50 2,140.67 2,153.51 2,166.43
6,650.00 101.00 220.56 1,570.27 4,704.29 8,042.34
1,431 1,370 46.32 329.76 987.90 1688.89
21.52% 21.00% 21.00% 21.00% 21.00% 21.00%
5,219.00 -1,269.00 174.25 1,240.51 3,716.39 6,353.45
2,263.00 1,268.00 1,131.50 2,140.67 2,153.51 2,166.43
283 10,720 676 1855 2650 3675
0.60% 106.56% 6.00% 7.50% 8.50% 9.00%
4,936.00 1,218.00 901.38 3,216.14 4,208.20 5,716.91
10.50% 12.11% 8.00% 13.00% 13.50% 14.00%
2,263.00 -11,939.00 -271.66 -1,690.43 -987.90 -872.19

0.5 1 2 3
0.9643280439 0.9299285763123 0.86476716 0.80417169
-261.97170937 -1571.980323806 -854.30482 -701.3907
Net Working Capital -11,155 -12,238 -11,955 -1,235
Change in NWC -1,083 283 10,720
Projections ($ million)
2024E 2025E 2026E 2027E
55,127.39 76,627.07 109,576.72 161,077.77
35.00% 39.00% 43.00% 47.00%
16,538.22 24,520.66 32,873.01 48,323.33
30% 32% 30% 30%
2,179.43 2,192.51 2,205.66 2,218.90
14,358.79 22,328.16 30,667.35 46,104.44
3015.35 4688.91 6440.14 9681.93
21.00% 21% 21% 21%
11,343.44 17,639.24 24,227.21 36,422.50
2,179.43 2,192.51 2,205.66 2,218.90
5237 7663 10958 16108
9.50% 10.00% 10.00% 10.00%
7,717.83 10,727.79 12,053.44 17,718.55
14.00% 14.00% 11.00% 11.00%
567.94 1,441.25 3,421.76 4,815.07

4 5 6 7
0.74782224 0.69542126716 0.64669210891 0.60137747215
424.714533 1002.27798227 2212.82539886 2895.67340618
 Historical Values
Particluars
2017A 2018A
Revenue 41,138.00 44,438.00
% of growth 8.02%
EBITDA 8,210.00 7,583.00
% of Margin 20% 17%
(-) D&A 2,035.00 2,124.00
EBIT 6,175.00 5,459.00
(-) Taxes 2,295 1,216
% rate (21%) 37.17% 22.28%
Net Operating Profit after Tax 3,880.00 4,243.00
(+) D&A 2,035.00 2,124.00
(+)Investment in NWC -1,083
Capital % of revenue -2.44%
(-) CapEx 3,891.00 5,168.00
% of revenue 9.46% 11.63%
Free Cash Flow to the Frims 2,024.00 2,282.00

Years
Discount factor
PV of FCFF
Summation of PV of FCFF -3832.6952
Terminal Value 76349.1
PV of Terminal Value 49297.62
Enterprise Value 45,464.93
(-) Total debt 23582.00
(+) Cash 15671.00
(-) PV of agency cost (2.5% of EV) 909.30
(-)PV of Distress cost ( 25% of EV * 95%) 10797.92

Equity Value 25,846.71

Number of outstanding shares 635.00
Value Per Share 40.70
Current share price 28.60
Returns (%) 42.32%
Historical Values Projections ($ million)
2019A 2020(H1)A 2020(H2) E 2021E 2022E 2023E
47,007.00 10,060.00 11,267.20 24,739.55 31,171.84 40,835.10
5.78% -78.60% 12.00% 16.00% 26.00% 31.00%
8,913.00 1,369.00 1,352.06 3,710.93 6,857.80 10,208.78
19% 14% 12% 15% 22% 25%
2,263.00 1,268.00 1,131.50 2,140.67 2,153.51 2,166.43
6,650.00 101.00 220.56 1,570.27 4,704.29 8,042.34
1,431 1,370 46.32 329.76 987.90 1688.89
21.52% 21.00% 21.00% 21.00% 21.00% 21.00%
5,219.00 -1,269.00 174.25 1,240.51 3,716.39 6,353.45
2,263.00 1,268.00 1,131.50 2,140.67 2,153.51 2,166.43
283 10,720 676 1855 2650 3675
0.60% 106.56% 6.00% 7.50% 8.50% 9.00%
4,936.00 1,218.00 901.38 4,205.72 5,455.07 7,350.32
10.50% 12.11% 8.00% 17.00% 17.50% 18.00%
2,263.00 -11,939.00 -271.66 -2,680.01 -2,234.77 -2,505.59

0.5 1 2 3
0.9692373457 0.9394210322535 0.88251188 0.82905022
-263.30538227 -2517.660887043 -1972.2155 -2077.2636
Net Working Capital -11,155 -12,238 -11,955 -1,235
Change in NWC -1,083 283 10,720
Projections ($ million)
2024E 2025E 2026E 2027E
55,127.39 76,627.07 109,576.72 161,077.77
35.00% 39.00% 43.00% 47.00%
16,538.22 24,520.66 32,873.01 48,323.33
30% 32% 30% 30%
2,179.43 2,192.51 2,205.66 2,218.90
14,358.79 22,328.16 30,667.35 46,104.44
3015.35 4688.91 6440.14 9681.93
21.00% 21% 21% 21%
11,343.44 17,639.24 24,227.21 36,422.50
2,179.43 2,192.51 2,205.66 2,218.90
5237 7663 10958 16108
9.50% 10.00% 10.00% 10.00%
9,922.93 13,792.87 12,053.44 17,718.55
18.00% 18.00% 11.00% 11.00%
-1,637.16 -1,623.83 3,421.76 4,815.07

4 5 6 7
0.77882721 0.7316466625 0.68732426293 0.64568686858
-1275.0651 -1188.0697661 2351.8588913 3109.02616184
 Historical Values
Particluars
2017A 2018A
Revenue 41,138.00 44,438.00
% of growth 8.02%
EBITDA 8,210.00 7,583.00
% of Margin 20% 17%
(-) D&A 2,035.00 2,124.00
EBIT 6,175.00 5,459.00
(-) Taxes 2,295 1,216
% rate (21%) 37.17% 22.28%
Net Operating Profit after Tax 3,880.00 4,243.00
(+) D&A 2,035.00 2,124.00
(+)Investment in NWC -1,083
Capital % of revenue -2.44%
(-) CapEx 3,891.00 5,168.00
% of revenue 9.46% 11.63%
Free Cash Flow to the Frims 2,024.00 2,282.00

Years
Discount factor
PV of FCFF
Summation of PV of FCFF 8251.2108
Terminal Value 61594.4
PV of Terminal Value 35876.18
Enterprise Value 44,127.39
(-) Total debt 23582.00
(+) Cash 15671.00
(-) PV of agency cost (2.5% of EV) 882.55
(-)PV of Distress cost ( 25% of EV * 95%) 10480.26

Equity Value 24,853.59

Number of outstanding shares 635.00
Value Per Share 39.14
Current share price 28.60
Returns (%) 36.85%
Historical Values Projections ($ million)
2019A 2020(H1)A 2020(H2) E 2021E 2022E 2023E
47,007.00 10,060.00 11,367.80 24,856.25 31,318.87 41,027.72
5.78% -78.60% 13.00% 16.00% 26.00% 31.00%
8,913.00 1,369.00 1,364.14 3,728.44 6,890.15 10,256.93
19% 14% 12% 15% 22% 25%
2,263.00 1,268.00 1,131.50 2,140.67 2,153.51 2,166.43
6,650.00 101.00 232.64 1,587.77 4,736.64 8,090.50
1,431 1,370 48.85 333.43 994.69 1699.00
21.52% 21.00% 21.00% 21.00% 21.00% 21.00%
5,219.00 -1,269.00 183.78 1,254.34 3,741.95 6,391.49
2,263.00 1,268.00 1,131.50 2,140.67 2,153.51 2,166.43
283 10,720 682 1864 2662 3692
0.60% 106.56% 6.00% 7.50% 8.50% 9.00%
4,936.00 1,218.00 909.42 2,485.62 3,288.48 4,513.05
10.50% 12.11% 8.00% 10.00% 10.50% 11.00%
2,263.00 -11,939.00 -276.21 -954.84 -55.13 352.38

0.5 1 2 3
0.9621287686 0.9256917674547 0.85690525 0.79323013
-265.74916385 -883.8856869612 -47.239896 279.51951
Net Working Capital -11,155 -12,238 -11,955 -1,235
Change in NWC -1,083 283 10,720
Projections ($ million)
2024E 2025E 2026E 2027E
55,387.43 76,988.52 110,093.59 161,837.57
35.00% 39.00% 43.00% 47.00%
16,616.23 24,636.33 33,028.08 48,551.27
30% 32% 30% 30%
2,179.43 2,192.51 2,205.66 2,218.90
14,436.80 22,443.82 30,822.41 46,332.38
3031.73 4713.20 6472.71 9729.80
21.00% 21% 21% 21%
11,405.07 17,730.62 24,349.71 36,602.58
2,179.43 2,192.51 2,205.66 2,218.90
5262 7699 11009 16184
9.50% 10.00% 10.00% 10.00%
6,092.62 8,468.74 12,110.29 17,802.13
11.00% 11.00% 11.00% 11.00%
2,230.08 3,755.54 3,435.72 4,835.58

4 5 6 7
0.7342866 0.67972306485 0.62921404528 0.58245826168
1637.5164 2552.72389363 2161.8006666 2816.52503275
 Historical Values
Particluars
2017A 2018A
Revenue 41,138.00 44,438.00
% of growth 8.02%
EBITDA 8,210.00 7,583.00
% of Margin 20% 17%
(-) D&A 2,035.00 2,124.00
EBIT 6,175.00 5,459.00
(-) Taxes 2,295 1,216
% rate (21%) 37.17% 22.28%
Net Operating Profit after Tax 3,880.00 4,243.00
(+) D&A 2,035.00 2,124.00
(+)Investment in NWC -1,083
Capital % of revenue -2.44%
(-) CapEx 3,891.00 5,168.00
% of revenue 9.46% 11.63%
Free Cash Flow to the Frims 2,024.00 2,282.00

Years
Discount factor
PV of FCFF
Summation of PV of FCFF 8544.7177
Terminal Value 61928.5
PV of Terminal Value 34447.50
Enterprise Value 42,992.22
(-) Total debt 23582.00
(+) Cash 15671.00
(-) PV of agency cost (2.5% of EV) 859.84
(-)PV of Distress cost ( 25% of EV * 95%) 10210.65

Equity Value 24,010.72

Number of outstanding shares 635.00
Value Per Share 37.81
Current share price 28.60
Returns (%) 32.21%
Historical Values Projections ($ million)
2019A 2020(H1)A 2020(H2) E 2021E 2022E 2023E
47,007.00 10,060.00 11,267.20 25,166.10 32,212.60 42,842.76
5.78% -78.60% 12.00% 18.00% 28.00% 33.00%
8,913.00 1,369.00 1,352.06 3,774.91 7,086.77 10,710.69
19% 14% 12% 15% 22% 25%
2,263.00 1,268.00 1,131.50 2,140.67 2,153.51 2,166.43
6,650.00 101.00 220.56 1,634.25 4,933.26 8,544.26
1,431 1,370 46.32 343.19 1035.99 1794.29
21.52% 21.00% 21.00% 21.00% 21.00% 21.00%
5,219.00 -1,269.00 174.25 1,291.06 3,897.28 6,749.96
2,263.00 1,268.00 1,131.50 2,140.67 2,153.51 2,166.43
283 10,720 676 1887 2738 3856
0.60% 106.56% 6.00% 7.50% 8.50% 9.00%
4,936.00 1,218.00 901.38 2,516.61 3,382.32 4,712.70
10.50% 12.11% 8.00% 10.00% 10.50% 11.00%
2,263.00 -11,939.00 -271.66 -972.34 -69.61 347.84

0.5 1 2 3
0.9589695136 0.9196225280312 0.84570559 0.77772992
-260.51599795 -894.1898373159 -58.866967 270.528497
Net Working Capital -11,155 -12,238 -11,955 -1,235
Change in NWC -1,083 283 10,720
Projections ($ million)
2024E 2025E 2026E 2027E
58,694.58 82,759.36 120,001.08 178,801.60
37.00% 41.00% 45.00% 49.00%
17,608.38 26,483.00 36,000.32 53,640.48
30% 32% 30% 30%
2,179.43 2,192.51 2,205.66 2,218.90
15,428.94 24,290.49 33,794.66 51,421.59
3240.08 5101.00 7096.88 10798.53
21.00% 21% 21% 21%
12,188.87 19,189.49 26,697.78 40,623.05
2,179.43 2,192.51 2,205.66 2,218.90
5576 8276 12000 17880
9.50% 10.00% 10.00% 10.00%
6,456.40 9,103.53 13,200.12 19,668.18
11.00% 11.00% 11.00% 11.00%
2,335.91 4,002.53 3,703.22 5,293.61

4 5 6 7
0.71521795 0.65773054095 0.60486382284 0.55624639787
1670.68265 2632.58437203 2239.94263913 2944.55229831