1. All in the Family
May 25, 2011
Pershing Square Capital Management, L.P.

2. Disclaimer
The analyses and conclusions of Pershing Square Capital Management, L.P. ("Pershing Square") contained in
this presentation are based on publicly available information. Pershing Square recognizes that there may be
confidential information in the possession of the companies discussed in the presentation that could lead
these companies to disagree with Pershing Square’s conclusions. This presentation and the information
contained herein is not a recommendation or solicitation to buy or sell any securities.
The analyses provided may include certain statements, estimates and projections prepared with respect to,
among other things, the historical and anticipated operating performance of the companies, access to capital
markets and the values of assets and liabilities. Such statements, estimates, and projections reflect various
assumptions by Pershing Square concerning anticipated results that are inherently subject to significant
economic, competitive, and other uncertainties and contingencies and have been included solely for
illustrative purposes. No representations, express or implied, are made as to the accuracy or completeness of
such statements, estimates or projections or with respect to any other materials herein. Actual results may
vary materially from the estimates and projected results contained herein.
Funds managed by Pershing Square and its affiliates have invested in common stock of Family Dollar Stores
Inc. (“FDO”). Pershing Square manages funds that are in the business of trading – buying and selling –
securities and financial instruments. It is possible that there will be developments in the future that cause
Pershing Square to change its position regarding FDO. Pershing Square may buy, sell, cover or otherwise
change the form of its investment in FDO for any reason. Pershing Square hereby disclaims any duty to
provide any updates or changes to the analyses contained here including, without limitation, the manner or
type of any Pershing Square investment.

3. Family Dollar
Ticker:
FDO
Stock Price:
$54
Market Cap:
~$6.6B
EV:
~$6.7B
FY2012 P/E¹:
14x
(August FY)
________________________________________________
Note: ¹Pershing Square EPS esimtate of $3.88 2
All stock prices and financials are as of May 24, 2011 close

4. Business Overview

5. Business Description
Family Dollar
Mix Pricing Customers Real Estate
■ ~65% of sales ■ Lower prices ■ ~55% of sales ■ ~7,000 stores
are consumables than drug stores, are to <$40k ■ ~7k selling sq ft
■ ~13% home gas stations, and income per unit
products grocery stores households
■ $8.50/sq ft avg.
■ ~11% apparel ■ Comparable to ■ ~68% are over rent, short-term
mass merchants age 45 leases
■ ~11% seasonal
■ Avg. basket is ■ ~60% of sales in
■ High velocity, ~$10 and 4 to 5
generally non- rural or small
items town locations
discretionary
SKUs
4

6. Value Proposition: Price and Convenience
Dollar stores offer pricing comparable to Wal-Mart in a more convenient format.
Dollar stores offer pricing comparable to Wal-Mart in a more convenient format.
Lower income customers use dollar stores as weekly fill-in trips between
Lower income customers use dollar stores as weekly fill-in trips between
supercenter destination shopping. The average FDO store visit is 8 minutes
supercenter destination shopping. The average FDO store visit is 8 minutes
Concept Price Index Store Size ('000)
Dollar Stores 100 7
Drug Stores ~120 40
Grocers ~115 40
Mass Merchants ~95 125
Wal-Mart and dollar stores can coexist. Management believes FDO has ~3%
Wal-Mart and dollar stores can coexist. Management believes FDO has ~3%
share of their core customer’s wallet compared to WMT’s ~35% share
share of their core customer’s wallet compared to WMT’s ~35% share
5

7. Share Gain in Retail
High unit and same store sales growth have led to significant share gains for
High unit and same store sales growth have led to significant share gains for
the dollar store channel
the dollar store channel
Public Dollar Stores Share of Core Retail Sales (Rolling 4Q Avg.)
Recession Recession
________________________________________________
Source: Bernstein, 2009 6

8. Consistent Same Store Sales Growth
Family Dollar, like other dollar store retailers, has consistently grown SSS over
Family Dollar, like other dollar store retailers, has consistently grown SSS over
the last decade even during recessions
the last decade even during recessions
Same Store Sales Growth
9.0%
8.0%
7.0% Recession
Recession
6.0%
5.0%
4.0%
3.0%
2.0%
1.0%
0.0%
1999 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010
________________________________________________
Note: Years are Fiscal Year Ending August
7

9. Sales Mix
Consumables make up a growing percentage of Family Dollar’s sales volume.
Consumables make up a growing percentage of Family Dollar’s sales volume.
Growth in consumables is responsible for most of FDO’s recent traffic and
Growth in consumables is responsible for most of FDO’s recent traffic and
same-store sales growth
same-store sales growth
Sales by Category Consumables Sales Mix
Seasonal &
Electronics, 11% Consumables, 67.0%
Apparel and 65%
Accessories, 65.0%
11%
63.0%
Home Products, 61.0%
13%
59.0%
57.0%
2007 2008 2009 2010
8

10. Substantial Long-Term Growth Opportunity
The three major dollar store retail chains (Family Dollar, Dollar General, Dollar
The three major dollar store retail chains (Family Dollar, Dollar General, Dollar
Tree) operate ~20k units today. We believe there is room for 10k to 12k
Tree) operate ~20k units today. We believe there is room for 10k to 12k
additional stores¹ or a decade of store growth at the current industry build rate
additional stores¹ or a decade of store growth at the current industry build rate
________________________________________________
Source: ¹For research see Morgan Stanley, 2010; Bernstein, 2009; Dollar General management comments 9
Map: UBS, 2010

11. High Rates of Return on
Capital

12. Historical Returns on Capital
Family Dollar has a strong track record of earning high returns on capital
Family Dollar has a strong track record of earning high returns on capital
Percent Return on Capital (without capitalizing leases)
30.0%
25.0%
20% Avg.
20.0%
15.0%
10.0%
5.0%
0.0%
1999 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010
________________________________________________
Note: Years are Fiscal Year Ending August
ROIC Defined as: (Taxed EBIT)/Average (Assets – Cash – A/P – Accrued Expenses) 11

13. Shareholder-Oriented Capital Allocation Strategy
In FY2011, Family Dollar plans to invest $300-$350mm of capex and repurchase
In FY2011, Family Dollar plans to invest $300-$350mm of capex and repurchase
nearly $750mm of stock
nearly $750mm of stock
New Store Growth (~$60mm Capex, ~$15mm SG&A):
300 new store openings and 80-100 store closings, 3% net growth
Long-term, management expects to grow store count 5-7% annually
Store Renovation Program (~$60mm Capex, ~$30mm SG&A):
Over 800 stores in FY2011
Going forward, management expects to renovate 1,000+ stores per year
Share Repurchases & Dividends:
Management has committed to buyback $750mm of shares by fall 2011
FDO raised its dividend this year to $.72/share ($85mm)
12

14. New Unit Growth
New unit growth is accelerating after a pause that allowed management to
New unit growth is accelerating after a pause that allowed management to
refocus on improving core operations. Management now believes that with the
refocus on improving core operations. Management now believes that with the
current model FDO can grow units 5-7% per year by FY2013
current model FDO can grow units 5-7% per year by FY2013
Ending Unit Count
14.0%
7,500
12.0%
10.0%
% Annual Growth
5,000
8.0%
Accelerating to
# Units
5% -7% growth
6.0%
2,500
4.0%
2.0%
- 0.0%
1999 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011E 2012E 2013E
________________________________________________
13
Note: Years are Fiscal Year Ending August

15. New Unit Economics
New units are generally inexpensive to build and highly profitable. On average,
New units are generally inexpensive to build and highly profitable. On average,
units are 90% productive in their first year
units are 90% productive in their first year
Estimated New Store Investment
Capex $ 200,000
SG&A 50,000
Inventory, net 75,000
Estimated Investment $ 325,000
New Store Earnings Low High
Mature Revenue $1,200,000 $1,200,000
Estimated Mature 4-wall EBIT Margin 10.00% 15.00%
Estimated EBIT $ 120,000 $ 180,000
% Pre-Tax Return 37% 55%
14

16. High Return on Renovation Capital
Management began an ambitious renovation program this year. While the
Management began an ambitious renovation program this year. While the
company has not disclosed detailed data, it has revealed that renovated stores
company has not disclosed detailed data, it has revealed that renovated stores
achieve at least a 10% sales lift
achieve at least a 10% sales lift
Renovation ROIC Estimate
Capex $ 77,000
SG&A 38,000
Estimated Investment $ 115,000
Low Mid High
Base Store Sales $ 1,200,000 $ 1,200,000 $ 1,200,000 Lower than
company average
Sales Lift % 10.00% 12.50% 15.00%
(35.7%) to account
Incremental Gross Margin 30.00% 30.00% 30.00% for increased
Estimated Incremental EBIT 36,000 45,000 54,000 consumables mix
% Pre-Tax Return 31% 39% 47%
FDO plans to renovate 6,000 stores
FDO plans to renovate 6,000 stores
15

17. Productivity Opportunity

18. Family Dollar vs. Dollar General
In many ways, Family Dollar and Dollar General are very similar companies:
In many ways, Family Dollar and Dollar General are very similar companies:
Number of Stores ~7,000 ~9,500
Sales per Store ~$1.2mm ~$1.4mm
Size of Average Store ~7k sqft ~7k sqft
Consumables Mix 65% 72%
Properties Leased, Leased,
Mostly rural Mostly rural
& suburban & suburban
Despite these similarities, the two business’ performance has diverged…
Despite these similarities, the two business’ performance has diverged…

19. Family Dollar vs. Dollar General (Cont.)
For many years, the two companies had very similar performance:
For many years, the two companies had very similar performance:
EBIT per square foot
$14.00 Dollar General
Dollar General Family Dollar
Family Dollar
$12.00
$10.00
$8.00
$6.00
$4.00
$2.00
$-
2000 2001 2002 2003 2004 2005 2006
________________________________________________
Note: Family Dollar results are calendarized to year end Feb. 18

20. Family Dollar vs. Dollar General (Cont.)
In July 2007, KKR bought Dollar General. Less than four years later, let’s
In July 2007, KKR bought Dollar General. Less than four years later, let’s
compare the two companies:
compare the two companies:
EBIT per square foot
$25.00
Dollar General
Dollar General Family Dollar
Family Dollar
$20.00
KKR Buyout
July 2007
$15.00
$10.00
$5.00
$-
2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010
________________________________________________
Note: Family Dollar results are calendarized to year end Feb. 19

21. And the Winner is: Dollar General
EBIT per square foot
$25.00
Dollar General
Dollar General Family Dollar
Family Dollar
$20.00
KKR Buyout 37%
July 2007 Performance
$15.00
Gap
$10.00
$5.00
$-
2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010
________________________________________________
Note: Family Dollar results are calendarized to year end Feb. 20

22. Productivity Gap
Family Dollar’s lower profitability is a result of both lower sales per square foot
Family Dollar’s lower profitability is a result of both lower sales per square foot
growth and lower margins
growth and lower margins
Sales Per Square Foot EBIT Margin
FDO 8% lower FDO 15% lower FDO 70bps higher FDO 250bps lower
11.0%
$220
DG DG
$200 10.0%
9.0%
$180 FDO FDO
DG
$160 8.0% DG FDO
FDO
$140 7.0%
$120 6.0%
$100 5.0%
2003 2010 2003 2010
Dollar General Family Dollar Dollar General Family Dollar
________________________________________________
Note: 2003 Family Dollar results are calendarized year end Feb. 2004 21

23. Relative Margin Trends
Under KKR’s ownership, Dollar General has dramatically improved margins
Under KKR’s ownership, Dollar General has dramatically improved margins
EBIT Margin
12.00%
Dollar General
Dollar General Family Dollar
Family Dollar
10.00%
KKR Buyout
8.00%
July 2007
6.00%
4.00%
2.00%
0.00%
2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010
________________________________________________
Note: Family Dollar results are calendarized to year end Feb. 22

24. Relative Sales Trends
After years of similar SSS results, since the KKR deal, Dollar General has
After years of similar SSS results, since the KKR deal, Dollar General has
grown at a much faster rate than Family Dollar
grown at a much faster rate than Family Dollar
Same Store Sales
10.00%
Dollar General
Dollar General Family Dollar
9.00% Family Dollar
8.00%
7.00% KKR Buyout
July 2007
6.00%
5.00%
4.00%
3.00%
2.00%
1.00%
0.00%
2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010
________________________________________________
23
Note: Family Dollar results are calendarized to year end Feb.

25. Dollar General Post KKR
Despite similar sales mix, geography, unit count, and store size:
Despite similar sales mix, geography, unit count, and store size:
Dollar General has -
Dollar General has -
Higher sales per square foot
Higher margins
Faster profit growth
24

26. Management is Working to
Close the Gap

27. FDO is Playing Catch Up
FDO has launched gross margin enhancement initiatives that are similar to the
FDO has launched gross margin enhancement initiatives that are similar to the
ones DG has successfully implemented
ones DG has successfully implemented
Private Label Penetration
Dollar General’s consumable private label penetration is ~22%
Family Dollar’s consumable private label penetration is ~14%
Family Dollar’s goal is to get to 20%
Global Sourcing
Bypassing a broker and directly sourcing unlabeled and private labeled goods can offer
1,000bps to 1,500bps of margin improvement
Currently, only 9% of FDO’s goods are directly imported. We believe this number could
approach 15% in the future
Improved Pricing
FDO recently implemented sophisticated pricing software allowing management to better
manage regional pricing zones and elasticity data
Reduced Shrink
26

28. FDO is Playing Catch Up (cont).
We estimate FDO will benefit significantly from its gross margin initiatives
We estimate FDO will benefit significantly from its gross margin initiatives
Estimated Gap
2010 Potential
Global Sourcing 9% 15%
Private Label - Consumables 14% 20%
Estimated Margin Improvement
% of Sales Delta Total
Global Sourcing 6% 1250 bps 75 bps
Private Label - Consumables 4% 1250 bps 50 bps
Shrink, Pricing 100 bps
Offsets - Private label reinvestment, inflation, mix ?
Total <225 bps
FDO’s substantial gross margin opportunity and high percentage of sales in low-
priced necessities, provide a margin of safety against commodities inflation
________________________________________________
27
Note: Consumables are ~2/3 of sales – a 6% change in consumables sales corresponds to a 4% change in total sales

29. SG&A: Highly Leverageable
Two thirds of Family Dollar’s SG&A expense is composed of occupancy and
Two thirds of Family Dollar’s SG&A expense is composed of occupancy and
store payroll costs, which are highly leverageable. Management believes core
store payroll costs, which are highly leverageable. Management believes core
SG&A costs, excluding growth initiatives, will grow modestly at 2 to 3% per
SG&A costs, excluding growth initiatives, will grow modestly at 2 to 3% per
year
year
SG&A Composition (FY 2009)
SG&A includes ~$45mm
(~50bps of sales) of
renovation and new store
pre-opening expense
28

30. Sales Growth Opportunity
Family Dollar has several initiatives in place to support management’s 4-6%
Family Dollar has several initiatives in place to support management’s 4-6%
medium-term SSS growth guidance
medium-term SSS growth guidance
Expanded hours
FDO completed its expanded hours rollout Q2 FY2010
New store growth and renovations
Could contribute 1.5% to 2.0% SSS at the current build rate
New stores can contribute a ~10% comp in the second year
Renovated stores are growing SSS at a double digit rate
New fixtures to support continued consumables growth
FDO’s consumable mix trails DG by ~700bps
Managing to lower stock outs
Improved marketing
29

31. Valuation

32. FDO Shares are Cheap
What you get What you pay
Stable, secular sales
growth A modest forward multiple
on consensus numbers
The opportunity to invest in (7.6% EBIT margin)
an existing store base at
high rates of return 14.7x FY2012 EPS
………(August)
10+ years of high return
new unit growth
Nothing – FDO trades at
nearly the same consensus
The option that FDO closes forward EBIT multiple as
a large productivity gap DG (~9x), a company with
with its closest competitor, similar growth prospects,
Dollar General excluding the productivity
gap
31

33. What Is the Productivity Gap Opportunity Worth?
If Family Dollar’s square footage were as productive as Dollar General’s, the
If Family Dollar’s square footage were as productive as Dollar General’s, the
company would earn ~$6 of EPS and be worth ~$90 per share at a 15x P/E
company would earn ~$6 of EPS and be worth ~$90 per share at a 15x P/E
Consensus
DG FDO % Diff '12 EPS
FY 2012 Sales/sqft $ 210 $ 180 17% $ 0.65
FY 2012 EBIT Margin 10.5% 7.6% 38% 1.46
EBIT/sqft $ 22.05 $ 13.65 62% $ 2.36
FY 2012 EPS - Consensus $ 3.68
FY 2012 EPS - Pro Forma $ 6.03
Price at 15x EPS (Including 1.5yrs of dividends) $ 92
% Return 70%
________________________________________________
Note: Estimates for DG are FY ending Jan. 2013, and for FDO FY ending Aug. 2012 32

34. What if FDO only Partly Closes the Gap?
% of DG Profit Gap Closed
FDO 2012 EBIT Build 0% 50% 100%
2012 Selling Sqft (mm) 51 51 51
Sales/sqft $ 180 $ 195 $ 210
EBIT Margin 7.6% 9.1% 10.5%
Pro Forma FY 2012 EBIT $ 692 $ 893 $ 1,118
Pro Forma FY 2012 EPS $ 3.68 $ 4.79 $ 6.03
2012 P/E 14.7x 11.3x 8.9x
Price @ 15x EPS $ 56 $ 73 $ 92
% Return 4% 35% 70%
________________________________________________
Note: Estimates for DG are FY ending Jan. 2013, and for FDO FY ending Aug. 2012
Price includes 1.5yr of dividends 33

35. Strategic Alternatives

36. FDO is Under Pressure to Perform
Disappointing first quarter results and the rejection of Trian’s $55 - $60 per
JCP shares arefirst quarter since early 2007. At this point, cash$55 balance sheet
Disappointing down 75% results and the rejection of Trian’s on - $60 per
share offer have raised shareholder’s performance expectations
share offer have raised shareholder’s performance expectations
Historical Stock Price
$60
Trian makes a hostile Board rejects
offer between $55 - $60 Trian’s offer
$55
$50
Trian Files 13-D
$45
Trian files a letter
urging management to
$40 Management accept its offer or
reports Q1 earnings commit to closing the
$35 and reduces top end performance gap with
of FY2011 guidance Dollar General
$30
$25
$20
1/4/2010 4/4/2010 7/4/2010 10/4/2010 1/4/2011 4/4/2011
35

37. Family Dollar’s Shareholder Base is Changing
Since Trian’s February 15th bid, the shareholder base has changed to more
Since Trian’s February 15th bid, the shareholder base has changed to more
opportunistic investors:
opportunistic investors:
Change Since
Holder Name Shares Held % Of Company 12/31/10
TRIAN FUNDS 9,966 8.2% 1,130 Pershing Square
HOWARD LEVINE (CEO) 9,691 7.9% 0 purchased its position
PERSHING SQUARE CAPITAL MGMT 8,369 6.9% 8,369 starting in February at
VANGUARD GROUP INC 6,725 5.5% 36 prices between $43 and
BANK OF AMERICA CORP 5,654 4.6% (498)
$54
LONE PINE CAPITAL 5,633 4.6% 900
FRANKLIN RESOURCES 5,288 4.3% 208
STATE STREET CORP 4,661 3.8% (167)
CREDIT SUISSE AG 4,657 3.8% 489
PAULSON & CO 3,455 2.8% 3,455
BLACKROCK 3,272 2.7% 228
INTECH INVESTMENT 3,164 2.6% 824
ADAGE CAPITAL 2,448 2.0% (970)
BANK OF NEW YORK 2,248 1.8% 528
YORK CAPITAL MANAGEMENT 1,962 1.6% 1,962
ETON PARK CAPITAL 1,782 1.5% 1,782
RENAISSANCE TECHNOLOGY 1,782 1.5% (602)
D E SHAW & COMPANY 1,476 1.2% (1,248)
NORTHERN TRUST 1,350 1.1% (93)
FDO has implemented a poison pill at 9.9% that expires on March 2, 2012.
FDO has implemented a poison pill at 9.9% that expires on March 2, 2012.
________________________________________________ 36
Note: Pershing Shares as of May 24, 2011

38. There are Multiple Ways to Achieve Full Value:
Current management
Operational Opportunity
Margin improvement initiatives and renovation program
Capital Structure Opportunity
FDO remains under leveraged. A leveraged buy back would
create meaningful value for shareholders
Sale of the company
Strategic Buyer
Another retailer would bring synergies to the combined company
and possibly accelerate the closing of the productivity gap
Financial Buyer
A private equity firm could optimize the capital structure and work
with management to improve the business
37

39. How Accretive Would a Leveraged Buy Back be?
If FDO raised an incremental $1.5bn of debt, bought back stock at $60, and
If FDO raised an incremental $1.5bn of debt, bought back stock at $60, and
closed only half the productivity gap, the company would earn ~$5.50 of 2012
closed only half the productivity gap, the company would earn ~$5.50 of 2012
EPS and trade in the high $70s at a 14x P/E
EPS and trade in the high $70s at a 14x P/E
Leveraged Buy Back Accretion Analysis:
Incremental Debt Raised ($mm) $ 1,000 $ 1,500 $ 2,000
Base EPS: Consensus
FY2012 EPS $ 3.91 $ 4.04 $ 4.19
Accretion $ 0.23 $ 0.37 $ 0.51
Value per share at 14x EPS $ 55 $ 57 $ 59
Base EPS: Pro Forma Closing 50% of Productivity Gap
FY2012 EPS $ 5.22 $ 5.47 $ 5.76
Accretion $ 0.42 $ 0.68 $ 0.96
Value per share at 14x EPS $ 73 $ 77 $ 81
Assumptions:
Incremental Debt Raised $ 1,000 $ 1,500 $ 2,000
Total Net Debt (End FY2011) 1,385 1,885 2,385
Net Debt/EBITDAR 3.8x 4.2x 4.6x
Assumed Cost of Total Debt (Gross) 5.6% 5.9% 6.1%
Trian has sourced $5bn dollars of debt financing for their proposed deal
Trian has sourced $5bn dollars of debt financing for their proposed deal
38

40. What Could a Strategic Buyer Pay?
A strategic buyer could justifiably pay a ~50% premium to market
A strategic buyer could justifiably pay a ~50% premium to market
Low Mid High
Credit for Productivity Gap (% of total) 25% 50% 75%
$ Value per share @15x EPS $ 9 $ 18 $ 27 ~15% of SG&A is
corporate expenses.
Reduction in Overhead 20.0% 30.0% 40.0% Distribution expense is
% Shared with Seller 50.0% 50.0% 50.0% also a potential source
of SG&A synergy
$ Value per share @15x EPS $ 3 $ 5 $ 6
Gross Margin Expansion 0.5% 1.0% 1.5% Possible COGS
% Shared with Seller 50.0% 50.0% 50.0% synergies include:
consolidating direct
$ Value per share @15x EPS $ 2 $ 4 $ 6
sourcing operations,
private label brands,
Total $ Premium to Market $ 14 $ 26 $ 38 and national brand
% Premium to Market 26% 48% 71% buyer power
Implied Takeout Price $ 68 $ 80 $ 92
39

41. Financial Sponsor’s Economics
A financial buyer could pay 40% to 55% above the current stock price and still
A financial buyer could pay 40% to 55% above the current stock price and still
earn a high teens to low 20s% rate of return over four years
earn a high teens to low 20s% rate of return over four years
IRR Sensitivity (2015 Exit)
Exit EBITDA Multiple (FY2016)
40.3% 7.0x 7.5x 8.0x 8.5x
$ 67 9.5x 24% 27% 30% 33%
Entry Multiple
70 10.0x 21% 24% 26% 29%
(FY2012)
EBITDA
74 10.5x 17% 20% 23% 26%
78 11.0x 15% 17% 20% 23%
81 11.5x 12% 15% 17% 20%
85 12.0x 10% 13% 15% 17%
88 12.5x 8% 10% 13% 15%
Returns assume a 10% terminal EBIT margin, $230 sales sqft in 2015, and
Returns assume a 10% terminal EBIT margin, $230 sales sqft in 2015, and
$5bn of leverage (7x FY2011 EBITDAR) at 7.5%
$5bn of leverage (7x FY2011 EBITDAR) at 7.5%
40

42. Valuation Summary
Even if we’re wrong on both the value of the standalone operating opportunity and the
Even if we’re wrong on both the value of the standalone operating opportunity and the
transaction value, we believe shareholders will still make money owning FDO due to the
transaction value, we believe shareholders will still make money owning FDO due to the
company’s attractive growth opportunities and modest forward earnings multiple
company’s attractive growth opportunities and modest forward earnings multiple
$100
$95
$90
$85
$80
$75
$70
$65
$60
Trian Bid
$55
Current Stock Price
$50
Operating Operating Strategic Buyer LBO
Improvements Improvements
(50% to 100%¹) & (50% to 100%¹)
$1.5bn Buy Back
Decreasing Timing and Execution Risk
¹% of performance gap closed