Equity Beta and Asset Beta Conversion Template Strictly Confidential

Notes
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Equity Beta and Asset Beta Conversion

Equity -> Asset Beta

Levered Bet Equity Beta Tax Rate Net Debt ($M) Equity ($M) Debt/Equity Asset Beta
Stock 1 1.21 35% 524 2,542 21% 1.07
Stock 2 1.08 33% - 15,298 0% 1.08
Stock 3 0.87 28% (255) 3,275 -8% 0.92
Stock 4 1.58 34% 785 1,027 76% 1.05
Stock 5 1.35 30% 1,027 9,217 11% 1.26

Average 1.22 32% 416 6,272 20% 1.07

Median 1.21 33% 524 3,275 11% 1.07

Asset -> Equity Beta

Levered Bet Asset Beta Tax Rate Net Debt ($M) Equity ($M) Debt/Equity Equity Beta
Stock 1 1.07 35% 524 2,542 21% 1.21
Stock 2 1.08 33% - 15,298 0% 1.08
Stock 3 0.90 28% (155) 3,275 -5% 0.87
Stock 4 1.05 34% 785 1,027 76% 1.58
Stock 5 1.26 30% 1,027 9,217 11% 1.35

Average 1.07 32% 436 6,272 21% 1.22

Median 1.07 33% 524 3,275 11% 1.21
This file is for educational purposes only. E&OE

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 Equity -> Asset Beta
Levered Beta Equity Beta Tax RateNet Debt ($M)Equity ($M)Debt/Equity Asset Beta
Exploration & Production 1.25 38.5% 0.593 1.000 59.3% 0.92
Jackson Energy 0.89 38.5% 6,480 57,931 11.2% 0.83
Wide Plain Petroleum 1.21 38.5% 39,375 46,089 85.4% 0.79
Corsicana Energy 1.11 38.5% 6,442 42,263 15.2% 1.01
Worthington Petroleum 1.39 38.5% 13,098 27,591 47.5% 1.08

Average 1.17 39% 13,079 34,775 43.7% 0.93

Median 1.21 39% 6,480 42,263 47.5% 0.92

Exploration & Production 1.41 38.6% 0.8519 1.0000 85.19% 0.93

Refining & Marketing 1.33 38.6% 0.4493 1.0000 44.93% 1.04
Petrochemicals 0.85 38.6% 0.6667 1.0000 66.67% 0.60
CONSOLIDATED 1.25 38.6% 0.5930 1.0000 59.30% 0.92
2004 2005 2006
17910 37723 30447
7414 12830 11747
41.40% 34.01% 38.58%