J.P.Morgan Investment Banking slide image

J.P.Morgan Investment Banking

APPENDIX Selected public market comparables Market information Company Las Vegas Sands Corp Starwood Hotels & Resorts' Harrah's Entertainment MGM Mirage Hilton Hotels Wynn Resorts Ltd7 Gaylord Entertainment Orient Express Hotels Average Median Gaming - median 3/6/2006 share price $56.63 63.50 JPMorgan 71.64 39.51 23.59 72.24 44.92 35.30 % of 52-week high 99.8% 97.0% 89.9% 84.5% 90.6% 94.5% 91.7% 96.9% Equity Market value¹ $20,056.1 15,440.5 13,165.9 11,247.0 9,863.1 7,189.5 1,882.8 1,406.9 $10,031.5 $10,555.0 $12,206.4 Total market cap² $21,649.7 18,620.5 23,762.3 23,518.3 18,056.1 9,288.3 2,464.5 1,965.2 $14,915.6 $18,338.3 $22,584.0 2006E NM $10,260.3 29.1 19.6 21.2 22.7 NM NM 26.3 23.8x 22.7x 20.4x Price/EPS³ 26.3x 2007E NM 23.7 17.0 17.5 18.3 NM NM 20.3 19.4x 18.3x 17.2x Aggregate value / EBITDA¹ 2006E 2007E NM NM 13.9 12.1 9.2 8.5 9.7 9.0 11.9 10.6 NM 10.9 11.2 Lodging - median $5,873.0 ¹ Includes common shares, common share equivalents (excluding options) 2 Equals the sum of equity market value, minority interests, debt outstanding and preferred stock at liquidation preference 3 Estimates for EPS are from equity research 4 Aggregate value is total market capitalization less cash and cash equivalents. EBITDA estimates from analyst reports 5 Starwood Hotels pro forma for announced transaction with Host Marriott * Hilton Hotels pro forma for announced acquisition of Hilton plc assets 7Wynn Resorts pro forma for $900 million sale of Macau casino rights * Total debt as of 9/30/05 for Gaylord Entertainment excludes $613 million associated with the Company's secured forward exchange contract 20.3x NM 14.9 14.0 12.3x 12.9x 9.4x 13.9x 10.4x 10.7x 8.8x 11.1x PROJECT PLATO 17
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