Credit Suisse Investment Banking Pitch Book
Maine current proposal overview
($ in millions, except where otherwise noted)
Share price (11/30/12)
% premium/(discount) to current
% premium/(discount) to 52-week high
Equity value
Enterprise value
Enterprise value /
2012E EBITDA(X)
2013E EBITDA(X)
Proved reserves ($/mcfe)
Recoverable unrisked resources ($/mcfe) -per Maine
Recoverable unrisked resources ($/mcfe - per RPS**
2012E Production ($/mcfe/d)
2013E Production ($/mcfe/d)
Pre-tax PV-10%
Price /
2012E CFPS
2013E CFPS
Statistics
12/31/2011 Proved reserves (Bcfe)
% oil
% developed
Resource potential (Tcfe)
2012E production (mcfe/d)
% oil
R/P
(1)
(2)
(3)
(4)
Florida
at market
$39.01
CREDIT SUISSE
(20.3%)
$37,162
40,562
5.7x
4.2x
7.2x
5.1x
Maine
$8.53
(48.5%)
$1,401
2,466
11.8x
10.6x
$10.19
0.04
0.11
17,867
16,438
3.0x
11.6x
6.0x
242
40.6%
91.1%
63.7
138
40.6%
4.8x
Cash
Maine at current proposal (
Cash + Unit
(Case 1: RPS
resource /
risking case)
$16.29
$14.75
72.9%
(11.0%)
$3,429
3,537
17.0x
15.1x
$14.61
0.06
0.16
25,633
23,582
4.3x
20.1x
10.3x
242
40.6%
91.1%
63.7
138
40.6%
4.8x
91.0%
(1.7%)
$3,779
3,888
18.7x
16.6x
$16.06
0.06
0.18
28,171
25,917
4.7x
22.2x
11.4x
242
40.6%
91.1%
63.7
138
40.6%
4.8x
Cash + Unit
(nominal
value)
$16.90
98.1%
2.0%
$3,919
4,027
19.3x
17.2x
$16.64
0.06
0.18
29,180
26,846
4.9x
23.1x
11.8x
242
40.6%
Source: Public filings, company projections at forward curve pricing as of 11/30/12 and FactSet Research Systems.
Note: Fully diluted share count assumes transaction close of 12/31/12.
Values and multiples as implied by proposed transaction.
Assumes 161.9 million basic shares outstanding for Maine per Maine management, 14.3 million options outstanding at a weighted average exercise
price of $14.20 pershare, 0.1 million RSUs and $12.1 million of 8.0% convertible preferred stock with a conversion price of $6.84. Maine corporate
adjustments as of 9/30/12 based on $191.9 million of cash and cash equivalents, $700 million of 5.75% convertible preferred stock, $188.9 million of 4%
convertible notes, $67.8 million of 5.25% of convertible notes and $300 million of 11.875% senior notes per Maine 10Q (not pro forma for sale of West Delta /
Mississippi Canyon and Eugene Island properties effective July 2012). Assumes 949.3 million basic shares outstanding for Florida, 13.6 million options
exercisable at weighted average price of $33.10 and RSUS of 1.3 million. Florida corporate adjustments as of 9/30/12 based on $3.7 billion of cash, $3.5
billion of debt and $3.6 billion of noncontrolling interest per Florida 10-Q.
Assumes unrisked 3P reserves of 335 Bcfe and unrisked resource potential of 63.7 Tcfe, per Maine management.
Assumes unrisked 3P reserves of 335 Bcfe and unrisked resource potential of 21.7 Bcfe, per RPS.
91.1%
63.7
138
40.6%
4.8x
Maine current proposal - Financial
summary
Florida Special Committee proposed
to acquire Maine in a transaction with
a per share consideration of $14.75
of cash and 1.15 units of 5% royalty
trust
Royalty trust receives revenue from
current ultra-deep exploration
prospects
Confidential
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