2007 2008 2009 2010 2011

Inventory 83,770 85,465 92,999 99,672 104,460

Accounts Receivable 47,888 48,857 53,164 56,978 59,715
Accounts Payable 18,830 18,985 20,664 22,149 23,214
Sales 479,329 489,028 532,137 570,319 597,717
COGS 423,837 427,333 465,110 498,535 522,522

DSO 36.47 36.47 36.47 36.47 36.47

DSI 72.14 73.00 72.98 72.97 72.97
DSP 16.22 16.22 16.22 16.22 16.22
Cash conversion cycle 92.39 93.25 93.23 93.22 93.22

EBIT Multiple 10.5 EBIT Multiple:

EBITDA Multiple 9 EV 493552.5
PE Multiple 13.8 Firm value($m 497.7135
BV Multiple 2.5
EBIT 47005
Depreciation 9587 EBITDA Multiple:
EBITDA 56592 EV 509328
Net Income 28203 Firm value($m 513.489

The value of Mercury athletic. So the firm value need to be calculated

EV is calculated from FCFF $301.96 million
Firm value is calculated by adding the cash back
Firm value $306.12
This is the value need to be assigned to the company
PE Multiple:
Mkt value of Equity 389201.4
Mkt value of debt 0
Firm value($mn) 389.2014

BV Multiple:
BV of Equity(2007) 221032
Mkt value of Equity 552580
Mkt value of debt 0
Firm value($mn) 552.58