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Strategies & Market Trends : Value Investing -- Ignore unavailable to you. Want to Upgrade?

To: Spekulatius who wrote (28507)	10/12/2007 11:15:44 AM
From: Jurgis Bekepuris	Read Replies (2) \| Respond to of 78753

"How did you come up with ther 20% ROE number?" Directly from the annual report: 463/2107*100. Sure, you can take their non-GAAP profit and get your number. But it's not only goodwill subtraction as you claim. There are other "exceptional items" that are much bigger than goodwill adjustment. It's your choice whether they should be counted. In any case, I would not assume that Experian can produce more than 20% ROE going forward. If they can, it's a nice boost, but conservatively I cannot assume that.