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Valuation Methods:

1. Discounted Dividend= div PV of div2. Discounted Cash Flow= cash ows PV of forecasted N ad!usted to "eco#e

cash ows$. %elative Valuation= &et the P'( forecast earnin&s) #ulti*l+ to &et P

,collect -ualitative data and -uantitative forecast sales) etc. &et &rowth rates/ 0

*ro*erl+ &ettin& the &rowth rates and &ettin& the ter#inal valueresearch or nd a

ver+ close *ro3+/

,Co#*lete the F'4 0 PV all the cash ows 0 &et a *rice

5u+ if 167 &ain over 1 +ear 8 sell otherwise

Centur+ Pacic Food) nc. CNPF/

"randed canned seafood) #eat) dair+) #i3es and 9(M tuna e3*ort "usinesses

a su"sidiar+ of Centur+ Cannin& Cor*oration and is su"se-uentl+ a #e#"er

of Centur+ Cannin& Cor*orations ;rou* of Co#*anies the ;rou*/.

4u"sidiaries:

1. ;eneral

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e+ %isAs:

1. uctuations in *rices or disru*tion in the su**l+ of Ae+ raw #aterials0 chan&es in &lo"al or re&ional levels of su**l+ and de#and0 weather conditions0 custo#s and i#*ort duties

0 &overn#ent controlsa. *ri#ar+ tuna *roduction o*erations aected "+ availa"ilit+ and *rice

of tuna0 tuna *rices have increased in recent +ears fro# H4I1?2J *er ton in

2611 to H4I1K? *er ton in 2612 due to &overn#ent re&ulations". *rices of other raw #aterials0 tin cans) #eat and #ilA *owder

uctuated fro# ti#e to ti#e,no assurance that increases can "e *assed on to consu#ers

2. CNPFs sales &rowth de*ends on successful introduction of new products and

new product extensions, which is subject to consumer preference and other

market factors at the time of introduction.

$. ctual or alle&ed conta#ination or deterioration of) or safet+ concerns a"out)CNPFs food *roducts or si#ilar *roducts *roduced "+ third *arties could &ive

rise to *roduct lia"ilit+ clai#s and har# CNPFs re*utation.. Co#*etition in CNPFs "usinesses #a+ adversel+ aect its nancial condition

and results of o*erations.

,Favora"le #aterials *rices s*ecicall+ tuna sh/) hi&her sales volu#e and

increased sellin& *rices for "randed *roducts were Ae+ drivers of total Co#*an+

&ross *rot *erfor#ance.

%ecent Develo*#ents and Plans:

,PP( ac-uisitions for the +ear were *ri#aril+ for the on&oin& construction of a new

tin can factor+ in ;eneral 4antos) the ac-uisitions of new < software a**lications

and hardware) and *lant #aintenance in the various facilities. Ph* 2K6 #illion of

these PP( ac-uisitions were nanced "+ nitial Pu"lic 9erin& *roceeds

P4( %evised @istin& %ules

1. (5

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$. 4tron& tracA record of *roduct innovation and successful introduction of new

*roducts. (3tensive #arAet *enetration throu&h #ulti0channel distri"ution networA?. Ei&hl+ scala"le e3*ort "usiness that su**lies *rocessed tuna to leadin&

international co#*anies and distri"utes "randed *roducts to hi&h &rowth

#arAetsJ. (3*erienced and dedicated #ana&e#ent tea#

DEFINITION of 'Sum-Of-Parts Valuation'

Valuing a company by determining what its divisions would be worth if it was broken up and

spun off or acquired by another company.

INVESTOPEDIA EXPLAINS 'Sum-Of-Parts Valuation'

For example, you might hear that a young technology company is "worth more than the sum

of its parts." This means that the value of the tech company's divisions could be worth more

if they were sold to other companies. In most cases, larger companies have the ability to

take advantage of synergies and economies of scale that are unavailable to smaller

companies, enabling them to maximize a division's profitability and unlock unrealized value.