Are Earnings More Volatile Under IFRS? Bhopinder Singh Gill Project Submitted In Partial Fulfillment Of The Requirements For The Degree Of Master Of Business Administration The University ofNorthem British Columbia Apri12009 © Bhopinder Singh Gill, 2009 UNIVERSITY OF NORTHERN BRITISH COLUMBIA LIBRARY Prince George, BC Abstract This empirical study has been done to test the hypothesis that there is increased volatility of reported earnings under International Financial Reporting Standards (IFRS) as opposed to the earnings being presented under another reporting standard such as US Generally Accepted Accounting Principles (GAAP) or other individual country GAAP. Increased earnmgs volatility was an expected cost ofiFRS reporting (Jermakowicz eta!., 2006). This study finds that there is lower earnings volatility from period to period under IFRS reporting when compared to the pre-IFRS timeframe. The sample set for this study was comprised of financial results for over 1,200 publicly reporting entities from seven different countries that have implemented IFRS. The mean standard deviation in earnings indicators (EBITDA, EBIT, and NI) post-IFRS was compared to the pre-IFRS time frame. EBIDTA volatility was lower in Australia (-5.0%), Germany (-1.1%), and in France (-0.5%) with no statistically significant impact in New Zealand, Spain, Switzerland, and the UK. EBIT volatility was lower in Australia (-4.5%), Germany (-2.4%), Spain (-1.8%), and in France (-1.1 %) with no statistically significant impact in New Zealand, Switzerland, and the UK. NI volatility was lower in Australia (-3.3%), Germany (-1.5%), and in France (-1.3%) with no statistically significant impact in New Zealand, Spain, Switzerland, and the UK. There was no statistically significant impact on equity volatility under IFRS reporting for any of the tested countries. Further, it was found that, other than EBITDA in Australia, there was no statistically significant impact on earnings indicators of EBITDA, EBIT, and NI in the first year ofpost-IFRS when compared to the immediately prior year. 11 Table of Contents Abstract 11 Acknowledgement 1 Introduction Literature Review 4 Methodology 14 Analysis 20 Conclusions 29 Bibliography 32 Appendix A: Total Observations- Australia 35 Appendix B: Total Observations- France 39 Appendix C: Total Observations- Germany 44 Appendix D: Total Observations- New Zealand 49 Appendix E: Total Observations- Spain 50 Appendix F: Total Observations- Switzerland 52 Appendix G: Total Observations- United Kingdom 54 Table 1: Sample EBITDA Statistics- Australia 58 Table 2: Sample EBIT Statistics - Australia 59 Table 3: Sample NI Statistics- Australia 60 Table 4: Sample EBITDA Statistics- France 61 Table 5: Sample EBIT Statistics -France 62 Table 6: Sample NI Statistics - France 63 111 Table 7: Sample EBITDA Statistics- Germany 64 Table 8: Sample EBIT Statistics - Germany 65 Table 9: Sample NI Statistics - Germany 66 Table 10: Sample EBITDA Statistics- New Zealand 67 Table 11: Sample EBIT Statistics- New Zealand 68 Table 12: Sample NI Statistics- New Zealand 69 Table 13: Sample EBITDA Statistics- Spain 70 Table 14: Sample EBIT Statistics- Spain 71 Table 15: Sample NI Statistics - Spain 72 Table 16: Sample EBITDA Statistics- Switzerland 73 Table 17: Sample EBIT Statistics- Switzerland 74 Table 18: Sample NI Statistics - Switzerland 75 Table 19: Sample EBITDA Statistics- United Kingdom 76 Table 20: Sample EBIT Statistics- United Kingdom 77 Table 21: Sample NI Statistics- United Kingdom 78 Table 22: Sample EBITDA Statistics- Entire Sample 79 Table 23: Sample EBIT Statistics- Entire Sample 80 Table 24: Sample NI Statistics - Entire Sample 81 IV Acknowledgement I thank Dr. Han Donker, Associate Accounting Professor at the University of Northern British Columbia. His guidance was invaluable and his support and encouragement was vital to completing this study. Introduction Canadian financial reporting IS transitioning away from Canadian Generally Accepted Accounting Principles (GAAP) towards reporting using International Financial Reporting Standards (IFRS). Canadian Publicly Accountable Enterprises will be required to issue financial statements under IFRS effective January 1, 2011. This will be one of the most significant changes in Canadian reporting as it will impact preparers, auditors, end users of financial statements, and other stakeholders. It is anticipated that IFRS reporting will bring benefits. Greater transparency is encouraged suggesting that it will lead to improved accounting quality and better comparability of results across jurisdictions. The European Union provided the following reasons for mandating a single set of accounting rules (European Union, 2002): (1) The establishment of a single set of internationally accepted high quality financial reporting standards (compared to the many different local standards in force). The key target of this harmonization is firms listed on financial markets. (2) To contribute "to the efficient and cost-effective functioning of the capital market". The Commission's goal is to protect investors, by maintaining (or 1 increasing) confidence in the financial markets, which would then reduce the cost of capital for firms in the EU. (3) To increase the overall global competitiveness of firms within the EU and thereby improve the EU economy. Similar reasons are provided as rationale for adoption ofiFRS in Canada (CICA, 2007). IFRS reporting and its expected benefits is a topic of debate amongst practitioners, academics, and other stakeholders. Now that a period of time has passed since IFRS has been widely implemented, several studies have been carried out that look to present evidence of the impacts and/or benefits of IFRS or of the lack thereof. Since voluntary adoption of IFRS reporting was an option in some jurisdictions prior to it being a mandatory requirement, studies have also been carried out to look at marketplace impacts of mandatory and voluntary adoption as well as attempts to identify why some companies resist IFRS while others voluntarily embrace them. The conclusions of some of these studies will be discussed in this report. The main purpose of this report, however, is to analyze data to assess whether or not IFRS reporting has an impact on the volatility of a company's earnings. Volatility of earnings has been expressed by compames as an expected cost of IFRS reporting (Jermakowicz et al., 2006). Volatility of earnings makes future predictability of company performance by analysts, investors, and other stakeholders unnecessarily difficult if not impossible. Volatility of earnings is the result expected by some due to the belief that IFRS reporting requires the utilization of fair value accounting. Currently, IFRS reporting requires the utilization of fair values for measurement of certain assets and liabilities at 2 certain times or under certain circumstances. To define fair value as per IFRS or to outline the conditions under which IFRS requires its utilization for reporting is beyond the scope of this paper. The purpose of this report is to present the findings of a quantitative study that will confirm that certain financial measures and results either are or are not more volatile under IFRS reporting. Historical financial data from countries that have already transitioned to IFRS will be analysed to test the hypothesis that earnings are more volatile under IFRS reporting when compared to other reporting standards. Specifically, financial data of selected active publicly traded companies from Australia, France, Germany, New Zealand, Spain, Switzerland, and the United Kingdom will be compiled and analysed. The volatility of key measures such as net income (NI), earnings before interest and taxes (EBIT), earnings before interest, taxes, depreciation and amortization (EBITDA), and equity will be measured for the period prior to IFRS reporting and compared with the subsequent timeframe under IFRS reporting. The data set will be compiled using data extracted from electronic resources such as OSIRIS and equality of means testing will be performed utilizing statistical analysis software. This empirical study is necessary given the anxiety that some may be having with this reporting change. Change of any sort is bound to bring out fears or concerns as it is a departure from what one is familiar and comfortable with. There were expected benefits and expected costs outlined by stakeholders prior to mandatory IFRS implementation in the EU. Given that a data set now exists since implementation, the impacts to date of IFRS reporting can now be tested. Given Canada's upcoming IFRS implementation, we can alleviate or 3 otherwise address some of the concerns that Canadian stakeholders may have by examining the research being carried out. This study adds to the work being carried out by examining what impact, if any, IFRS reporting has had on earnings volatility. Literature Review The main push towards IFRS implementation on a global scale is so that a common set of reporting standards will be put in place of the myriad of differing existing standards. The variability of standards in differing countries allowed for two companies engaged in identical transactions to acceptably report these identical transactions using different methods resulting in comparability problems. With each country determining their own national standards for financial reporting, not only will comparability be a problem, but there will be a growing credibility problem. A lack of investor confidence in reported figures will lead them to demand higher returns in return for their capital due to the perceived increase in risk (information risk). As businesses move towards raising capital, sourcing materials, and selling goods across national boundaries, a standard set of reporting standards should reduce some of the comparability problems. The Canadian Institute of Chartered Accountants states "In today's increasing global economy, relevant, reliable, clear and consistent financial reporting will offer an improved basis for decision-making for businesses and investors (CICA, 2007 p.l ). Canada has moved forward a joins a list of over 100 nations that either have mandated IFRS reporting or allow for its voluntary usage. The United States is also moving towards this harmonization. The 2002 Sarbanes-Oxley recommends global accounting convergence as a means of raising the quality of financial reporting and to restore investor confidence in publicly traded companies. Foreign firms that are listed and raise 4 capital in the United States no longer are required to reconcile their IFRS reported results with US GAAP. The US Securities and Exchange Commission is even considering allowing US firms to report under IFRS (http: //www .sec. gov/ncws/prcss/2007 /2007-145 .btm). The adoption of a common set of reporting standards for public companies by all countries is only a matter of time. Leading up to the mandatory implementation of IFRS in the EU, there was much debate amongst academics, practitioners, and politicians about both the merits of adopting a common set of reporting standards and of the superiority of a particular set of standards over another. As Canada moved towards mandatory adoption of IFRS, similar reaction took place. A discussion of the differing views would be an endless one. However, it must be acknowledged that the path to IFRS adoption has had, and continues to have, its critics. Outspoken critics who believe this is an unnecessary change to reporting standards that are inferior to Canadian GAAP (Rosen, 2007) will no doubt add to the anxiety companies may be facing with mandatory conversion to IFRS. Fortunately, there is a growing collection of research examining the impacts of IFRS reporting. For example, in a period of economic downturn, there is no difference in timeliness of information, accrual quality, or value relevance between earnings under US GAAP compared to those under IFRS (Van der Meulen et al., 2007) 1• We can look at additional findings to help alleviate some more concerns and also be better informed about what we can expect under IFRS reporting. As we will see, implementation of a certain set of reporting standards as the only measure aimed at improving accounting quality will not necessarily by itself lead to satisfaction of some of the concerns that stakeholders have with reported results. 1 Hope (2007) points out that further research is needed to support this conclusion. 5 Recent corporate scandals shook investor confidence in reported results. Kothari and Barone extend that the business failures due to governance and reporting failures have "led to a steady loss in the credibility of financial statements and of the participants charged with producing and reporting on them" (Kothari and Barone, 2006 p.329). A criticism expressed about current GAAP is that it focuses too much on historical results and does not present a fair value of the current results and risks faced by an entity. PricewaterhouseCoopers noted in their publication entitled Trends in Corporate Reporting 2004 - Towards Value Reporting in part that the current model with its backwards short term view is in part to blame for the earnings game that companies play. They note that the lack of reporting of current risk and forward looking analysis leaves investors in the dark about a company's true riskiness as well as a lack of ability to assess management's performance with respect to current results due to a lack of adequate disclosure. Investor confidence is further eroded as the number of restatement of results increases. Cost of equity capital rises as information risk rises. The Huron Consulting Group reported (see Figure 1) on the increasing number of restatements required of American corporate results in recent years. Number of restatements 233 414 33 0 32 3 200 2 2003 270 T 2000 2001 2004 Year Fi gure 1: Number o f res ta tem en ts o f Am ercian co rpo rate res ults fo ll ow in g acco unting erro rs So uce: 2004 An n ual Review of Finan cial Reportin g Ma t ters, Hu ro n Co nsultin g Gro up 6 Improvements in accounting quality may be viewed in terms of greater transparency, decreased earnings management, and timely statement of results. When surveyed, companies themselves also expected to see an increase in accounting quality under IFRS (Jermakowicz et al., 2006). The level of any increase in accounting quality under IFRS reporting is dependent on more than the mandatory adoption of IFRS . Improvements in accounting quality are confined to firms that have incentives to adopt IFRS (Christensen et al., 2008). Without incentives, the pervasiveness of earnings management has been observed as even increasing. This was observed to be the case in France and no improvement was seen in either Australia or the United Kingdom (Jeanjean and Stolowy, 2008). Simply mandating a set of accounting standards is not enough on its own to increase accounting quality. There remains sufficient leeway for management discretion even under IFRS for earnings management through income smoothing. While greater disclosure is required under IFRS, particularly in countries with reporting standards inferior to IFRS reporting, it is questionable whether or not such additional disclosure actually results in better information being provided to readers. It has been suggested that regulators should also focus on harmonization of incentives to aid in improving accounting quality (Jeanjean and Stolowy, 2008). A forced conversion may simply be met with a "tick box attitude" from "label" adopters (Daske et al., 2007) with no sincere effort to improve quality. Improved accounting quality should lead to a lower cost of equity for firms. Even in jurisdictions that had lower quality standards prior to IFRS, a mandatory conversion to IFRS alone will not result in improved quality and the expected result of lower cost of equity (Lee et al., 2008). 7 Voluntary adoption of IFRS reporting also does not necessarily result in increased accounting quality. Average capital markets responded modestly to voluntary IFRS reporting (Daske et al., 2007). Voluntary adoption of non-local GAAP did not provide evidence of a lower cost of capital for adopters (Cuijpers and Buijink, 2005). However, the real determinant is whether or not there is a sincere commitment to make the change. Since the time of Cuijpers and Buijink's work (2005), significant declines have been observed in the cost of capital and market liquidity has increased for firms that are termed as a "serious" adopter of IFRS reporting compared to "label" adopters (Daske et al., 2007). Stock price reaction has been shown to react favourably or unfavourably depending on a firm's willingness to adopt IFRS reporting (Christensen et al. , 2007). These studies demonstrate that it is possible to achieve benefits of lower cost of equity and increased market liquidity, by making a commitment to improving accounting quality. In order to do so, however, Canadian firms will need to become "serious" adopters as opposed to simply "label" adopters. Daske et al. (2007) point out that equity markets can differentiate between the adoption strategies and will react accordingly. Rosen (2008) asserts that "the proposed changes are so significant that every document that references accounting measures in Canada will have to be rethought and possibly redrafted at significant expense to corporations, investors, and individuals alike". He also correctly points out the significant costs that will be incurred as accountants, analysts, brokers, bankers, lawyers, and other financial professionals will require re-education and retraining. The costs related to these professionals will ultimately be charged to Canadian enterprises or 8 taxpayers. IFRS implementation in Canada will certainly result in increased revenues for public accounting firms and consultants as Canadian Publicly Accountable Enterprises move to comply with the mandatory conversion away from Canadian GAAP. However, these costs can potentially be outweighed by cost savings resulting from lower cost of equity and the benefits felt by Canadian investors given increased market liquidity as has been observed and stated above. There has been an overall positive market reaction in Europe to IFRS adoption signalling the market's expectation that benefits of IFRS will exceed expected costs (Armstrong et al., 2008). There will be wi1mers and losers in the period following IFRS adoption as has been seen following the EU's mandatory implementation. As stated by Christensen et al. (2007 p.376) "implementing mandatory IFRS has the potential to redistribute wealth among agents in society through changes to the cost of capital". It is suggested that the "accounting premium" offered through lower cost of equity as a result of higher quality accounting should even be factored in to improve the capital asset pricing model (Emstberger and Vogler, 2008). The degree to which IFRS differs from local GAAP, and by extension the degree to which we can expect any improvement from IFRS reporting, varies. The legal framework (common law/case law) of the country influences local GAAP since this framework will determine the degree of regulation in a country. It is said that full disclosure is more prevalent in shaping the reporting environment in common law countries (Ball et al. , 2000). Ding et al. (2005) found that cultural differences matter even more than legal considerations in determining the amount of divergence between local GAAP and international standards. Legal framework can also impact the subsequent effectiveness and level of benefits 9 associated with adopting supenor reporting standards. For example, pervasiveness of earnings management increased even with the adoption of IFRS in France (Jeanjean and Stolowy, 2008)- a code-law country. Market reaction in code-law countries was also found to be less positive (compared to an overall positive reaction to IFRS) supporting the notion that weaker enforcement of accounting standards is perceived when compared to common Jaw countries (Armstrong et al., 2008). Differences in domestic and international standards are said to also exist due to varying economic, financial, and governance institutions in a country. Absence of certain reporting standards within domestic standards is said to be in countries with a Jess developed equity market or greater concentration of firm ownership and divergence of standards lower in an environment of high economic development but only given the relative importance of the equity market (Ding et al., 2007). Once again utilizing the findings of Jeanjean and Stolowy (2008), the effectiveness (or lack thereof) of IFRS reporting on earnings management was diminished in France where the importance of the equity markets is comparatively lower than Australia and the United Kingdom. A resistor to IFRS may also be behaving in this manner as that particular firm may rely less on equity markets and perceive fewer benefits linked to greater public transparency. They may have more private information channels with their capital providers (i.e. banks) or otherwise have a tighter ownership structure thus having an "insider" orientation (Christensen et al., 2008). A voluntary adoption of IFRS may then be viewed as a signal that the firm is moving towards adopting more of an "outsider" orientation (Christensen et al., 2008). Jeanjean and Stolowy's (2008) suggest that harmonization of incentives is required in addition to harmonization of standards. On a similar note, changes in capital market development and 10 legal environments are considered necessary in addition to a common set of reporting standards to achieve true uniformity (Ding et al. , 2007). Kothari and Barone state that "poor corporate governance practices and business failure are closely linked to poor financial reporting and corporate disclosure" (Kothari and Barone, 2006 p.326). Poor financial reporting and corporate disclosure is not due to poor accounting work, but rather due to management, in large part, playing the "earnings game" . There is a loss of credibility of the reported results as external users of financial information increasingly believe that management is presenting the results in such a way as to favour their own compensation and stock option provisions and minimizing any potential negatives. By the time the negatives come to light, the management has, either through outright fraud or deception, been well compensated leaving general investors and other stakeholders looking at results that were in reality quite different than they were originally led to believe. As previously discussed, implementation of a particular set of reporting standards, such as IFRS, will not by itself necessarily result in a reduction in earnings management. Significant discretion can still be exercised by management under the principles based IFRS as exists under current rules based GAAP. However, the expectation has been that earnings will be more volatile under IFRS (Jermakowicz et al., 2006). This is largely due to the belief that IFRS reporting is more geared towards fair value reporting than current country GAAP. !FRS and the issue of volatility The ability of management to "income smooth" is an example of the way in which management can play the earnings game. Kothari and Barone state that "earnings disclosed 11 in financial statements became unconnected to net operating cash flows, and were 'managed' by smoothing peaks and troughs by means of reserve accounts from year to year" (Kothari and Barone, 2006 p.328). Under current GAAP, which utilizes the historical cost framework, management is able to simply generate gains during times of low earnings by the sale of assets on the books at depreciated historical cost. The sale may actually be to the detriment of the firm in the long run but management may only be concerned with presented short term results. In theory, the ability of management to income smooth by such measures as the simple sale of assets will be reduced under fair value reporting. This is due to, as Donker states, "the asset is already at fair value and the result is reflected in the income statement, thereby reducing the possibility of income smoothing" (Donker, 2005 p.24). IFRS reporting requires the use of fair value accounting upon certain times and in certain circumstances. To define fair value as per IFRS or to outline the conditions under which IFRS requires its utilization for reporting is beyond the scope of this paper. The notion of full fair value accounting does conjure up the possibility that volatility from one reporting period to another will be increased. However, IFRS in current form does not call for full fair value accounting in all instances. There are different approaches (equity, mixed, and income approach) depending on the circumstance. The vast majority of comments related to IFRS being "fair value based standards" are due to either a lack of knowledge about IFRS or a failure in the past to appropriately present financial results and financial position even under existing GAAP and reporting standards (Cairns, 2006). Cairns further writes that the opponents of IFRS that suggest there is a need, which will result in financial statement volatility, to include changes due to fair valuation as gains and losses on the income 12 statement are views that "suggest a lack of understanding of, and confusion about, IFRS. They also bring into question the lack of understanding and application of existing national Generally Accepted Accounting Principles (GAAP) and traditional historical cost accounting" (Cairns, 2006 p.5). Compared to the historical cost based approach under GAAP, one would expect a decreased level of predictability of results under IFRS reporting. In fact, decreased predictability under IFRS reporting compared to US GAAP reporting has been observed (Van der Meulen et al. , 2007). It has been argued that constant revaluation to market does not add any real value. The "smoothing" treatment, it's suggested, is something that investors can take into account and enables them to incorporate past patterns with respect to charges such as depreciation into their analysis of an entity. The lost predictability under IFRS compared to GAAP does not seem to be a concern to investors. It has been found that markets reacted positively to IFRS adoption in Europe (Armstrong et al., 2008). The notion that fair value accounting under IFRS will increase volatility has been, rightly or wrongly, viewed as an expected cost of IFRS reporting. Given that IFRS reporting is relatively new, differences in interpretation, the degree to which companies embrace IFRS ("label" vs "strong" adopters), and the fact that differences in jurisdictions that will still remain in spite of IFRS all are potential reasons for uncertainty around how IFRS reporting will in actuality impact earnings volatility. Given that earnings are generally expected to be more volatile from one reporting period to another, the hypothesis is that post-IFRS earnings statement results will be more volatile when compared to pre-IFRS results. 13 Methodology An analysis of historical financial data for select companies was undertaken. Certain key metrics of currently active and public financial reporting entities of countries that have implemented IFRS were analyzed. Financial reporting entities were chosen from the countries of Australia, France, Germany, New Zealand, Spain, Switzerland, and the United Kingdom. Data from separate countries was included to diminish the effects ofthe economic conditions in a particular country or region from influencing the conclusions that will be drawn after the analysis. By making observations on pre-IFRS and post-IFRS results by country, ensuring controls for differences among countries (e.g. economic, legal, political, cultural, etc.) is not necessary (Ruland et al., 2007). When reviewing the results, the reader should keep in mind that the long-term impact of IFRS reporting may well be different. IFRS reporting is, on a large scale, a relatively new occurrence. Key metrics that will be analysed are net income (NI), earnings before interest and taxes (EBIT), earnings before interest, taxes, depreciation and amortization (EBITDA), and equity. These metrics were chosen due to the belief of some, either rightly or wrongly, that the IFRS requirement to use "fair value reporting" in certain situations will lead to either charges to the income statement and/or equity resulting in unpredictability and swings in asset and earnings values from one reporting period to another. The actual publicly reported results were examined rightly assuming that financial results, where listed as being in compliance with IFRS, have been duly audited and accepted by regulatory bodies and other stakeholders. 14 Countries transitioned to mandatory compliance with IFRS at varying times. Even within countries, certain reporting entities chose to voluntarily report under IFRS at times prior to mandatory compliance dates. As such, a standard calendar date was not used as the point of conversion to IFRS in a particular country nor for a particular reporting entity. Companies included in the sample set have a minimum of 3 consecutive years of both pre-IFRS and post-IFRS reported data. The point in time that a company has been listed as being compliant with IFRS will be deemed as post IFRS time period 1 (t = 1). Subsequent postIFRS implementation time periods are referenced as t = 2 (second consecutive year of IFRS based reporting) and t = 3 (third consecutive year ofiFRS based reporting). Conversely, preIFRS reporting consecutive years are referenced as t = -1 (year before IFRS based reporting) and prior consecutive non-IFRS reporting years referenced as t = -2 and t = -3. Annualized data prior to time period zero will be analysed to determine pre-IFRS volatility. The available data subsequent to period 0 will be analyzed to determine a post-IFRS volatility level. Reporting entities included in the study were selected by compiling annualized historical data for each country's top (based on size as determined by total asset values denoted in the home country's official currency) currently active and publicly reporting entities. Banks and insurance companies in the financial industry were excluded in the sample selection due their sector specific account structure that would prevent homogeneous statistical processing. The initial search resulted in data being available for a varying number of companies in each country. The data sample was analyzed resulting in exclusion of entities that either did not have both three consecutive years of pre-IFRS and post-IFRS data or where it was unclear 15 what reporting standard (i.e. IFRS or other, such as local GAAP or US GAAP, etc.) the results were being presented in. The number of total available observation sets (i.e. grouping of companies) by country are listed below (see Figure 2). Data will be analysed on a macro level with no subset conclusions being made about particular industry groups within the sample. A complete listing of the companies included in the data sample is provided in Appendices A through G. Countr~ Total Observations Australia France Gem1an~ New Zealand SQain Switzerland United Kingdom 242 282 282 20 85 105 221 Figure 2 -Total selected observations by country Key Metrics To Be Analyzed 1. Standard deviation of the earnmgs indicator post-IFRS reporting compared to the standard deviation of the earnings indicator pre-IFRS reporting under local GAAP or other measure such as US GAAP. This metric has been chosen to compare the volatility of the earnings indicator for the period of three years prior to IFRS implementation to the three years of annualized data post-IFRS implementation. The earnings indicators that will be measured are: i.) earnings before interest, taxes, depreciation and amortization (EBITDA); ii.) earnings before interest and taxes (EBIT); and iii.) net income (NI). These earnings figures for each year have been divided by the average total assets (TA) for each of the three year periods being measured (i.e. average TA years t = 1,2,3 and average TA years t = -1,-2,-3). This has been done to reduce the effect on volatility that would be present simply due to 16 the variability in earnings resulting from comparing larger entities (greater assets) to ones with a smaller asset base. A claim that is being made is that the implementation of IFRS and its move towards fair value accounting will lead to revaluation gains and/or losses from period to period. The suggested result is that the reported earnings will then be more volatile as these non-cash gains/losses are reported on the earnings statement. 2. The earnings indicator for the first year of reporting under IFRS compared to the earnings indicator for the year immediately prior to IFRS implementation. This metric is being compared to determine if there is resulting volatility in earnings during the first year of reporting results under IFRS. The earnings indicators that will be measured are: i.) earnings before interest, taxes, depreciation, and amortization (EBITDA); ii.) earnings before interest and taxes (EBIT); and iii.) net income (NI). These earnings figures have been divided by the total assets for each applicable year (i.e. T A year t = 1 and TA year t = -1) to reduce the volatility effect due simply to differences in company size as mentioned above under metric 1. Upon IFRS implementation, one would expect a one-time impact on reported results due to a revaluation to fair value if this differs significantly from historical cost based figures. 3. Standard deviation of the equity values post-IFRS reporting compared to the standard deviation of the equity values pre-IFRS reporting under local GAAP or other measure such as US GAAP. This metric has been chosen to compare the volatility of the equity value for the period of three years prior to IFRS implementation to the three years of annualized data post-IFRS implementation. These earnings figures for each year have been divided by the average total assets (T A) for each of the three year 17 periods being measured (i.e. average T A years t = 1,2,3 and average T A years t = -1, -2,-3). This has been done to reduce the effect on volatility that would be present simply due to the variability in equity resulting from comparing larger entities (greater assets) to ones with a smaller asset base. Certain gains/losses upon fair value revaluation are charged to equity and are not reflected on the earnings statement. The suggestion is that recognition of revaluation gains/losses under IFRS will result in greater volatility than under GAAP reporting. This metric is being compared to test this claim of increased volatility. A summary of the key metrics calculated is presented below: < Pre-IFRS reporting I t = -3 I t = -2 II Post-IFRS reporting I I I t = -1 t =1 t =2 t=3 > 1. -Std. Dev. EBIDTA post-IFRS (t = 1,2,3) I Average TA post-IFRS (t = 1,2,3) -Std. Dev. EBIDTA pre-IFRS (t = -1,-2,-3) I Average TA pre-IFRS (t= -1,-2,-3) -Std. Dev. EBIT post-IFRS (t = 1,2,3) I Average TA post-IFRS (t = 1,2,3) -Std. Dev. EBIT pre-IFRS (t = -1,-2,-3) I Average TA pre-IFRS (t = -1,-2,-3) -Std. Dev. NI post-IFRS (t = 1,2,3) I Average TA post-IFRS (t = 1,2,3) -Std. Dev. NI pre-IFRS (t = -1,-2,-3) I Average TA pre-IFRS (t = -1,-2,-3) 18 2. - EBIDTA post-IFRS (t = 1) I TA post-IFRS (t = I) - EBIDTA pre-IFRS (t = -1) I TA pre-IFRS (t = -1) - EBIT post-IFRS (t = 1) I TA post-IFRS (t = 1) - EBIT pre-IFRS (t = -1) I TA pre-IFRS (t = -1) - NI post-IFRS (t = 1) I TA post-IFRS (t = 1) - NI pre-IFRS (t = -1) I TA pre-IFRS (t = -1) 3. -Std. Dev. EQUITY post-IFRS (t = 1,2,3) I Average TA post-IFRS (t = 1,2,3) -Std. Dev. EQUITY pre-IFRS (t = -1 ,-2 ,-3) I Average TA pre-IFRS (t= -1,-2,-3) 19 Analysis IFRS requires the utilization of fair value reporting at certain times or for certain transactions. In a free market place, those engaged in arm's length transactions generally will set the range of values for certain tangible items. This range will take into account various factors such as the changing economic climate, currency fluctuations, etc. Some believe that this will result in fair values that will require material revaluation gains/losses. These revaluation gains/losses, should they arise, will be required to be reported either on the earnings statement or the balance sheet for an entity. Given that data exists for companies in countries that have implemented IFRS, we can test the hypothesis that reported earnings results under IFRS are more volatile. I would expect that given there are likely differences among local GAAP and IFRS, there will be a change in the reported results post-IFRS. The main issue is to test whether there is greater volatility from period to period post-IFRS when compared to pre-IFRS reported results. Cairns (2006) articulated that reported results under IFRS should not be materially more or less volatile under IFRS provided that IFRS are implemented correctly. His position is that claims about increased volatility under IFRS when compared to GAAP are either based upon lack of knowledge about IFRS or errors in the way in which GAAP results have been reported. This analysis of data will allow for conclusions based on actual reported results. 20 Following the methodology outlined above, certain earnings metrics have been calculated for the companies that have been selected. The metrics are detailed in the legend below (see Figure 3). LABEL DESCRIPTION EBITDAXI EBITDAX2 Std. Dev. post-IFRS EBIDTA I Average TA post-I FRS Std. Dev. pre-IFRS EBIDTA I Average TA pre-IFRS EBITDAX3 EBITDAX4 EBIDTA t. 1 ITA t.1 EBITDAX7 (EBIDTA t 1 less Average EBIDTA post-IFRS) I TA t 1 EBITDAX8 EBITXI EBITX2 (EBIDT A t. 1 less Average EBIDTA pre-IFRS) I TA t. 1 Std. Dev. post-IFRS EBIT I Average TA post-IFRS Std. Dev. pre-IFRS EBIT I Average TA pre-IFRS EBITX3 EBITX4 EBIT t.1 I T A t.1 EBITX7 (EBIT t 1 less Average EBIT post-IFRS) I TA t 1 EBITX8 NIX I NIX2 (EBIT t. 1 less Average EBIT pre-IFRS) I TA t. 1 Std. Dev. post-IFRS Nl I Average T A post-IFRS Std. Dev. pre-IFRS Nl I Average TA pre-IFRS NIX3 NIX4 Nl t. 1I TA t.1 NIX7 (NI t 1 less Average Nl post-IFRS) I T A t 1 NIX8 EQUITYXI EQUITYX2 (Nl t. 1 less Average NI pre-! FRS) I T A t. 1 Std. Dev. post-IFRS EQUITY I Average TA post-IFRS Std. Dev. pre-IFRS EQUITY I Average TA pre-IFRS Figure 3: Label descriptions The mean value of each earnings metric both post-IFRS implementation and pre-IFRS implementation was calculated by each country as well as for the entire sample set. The null hypothesis was set as: Ho: f.ll = f.l2 Where: H0 = the null hypothesis f..! I = the mean of population I, and f.l2 = the mean of population 2. Testing for the equality of means was carried out and the analysis and observations follow. 21 A.) Standard deviation of earnings post-IFRS compared to pre-IFRS 1.) Earnings Indicator = EBITDA The results from the equali ty of means testing fo r the EBITDA (earnings before interest, taxes, depreciation, and amortizati on) earnings indicator are presented below. Included Obser vations EBITDAX I 1 Post-I FRS Mean EBITDAX2 2 Pre-I FRS Mean Differ ence In Means P-Value Reject Null Hypothesis? Australia France German;t New Zealand S2ain Switzerland United Kingdom 24 1 280 278 20 85 100 220 4.8 7% 2. 13% 3.03% 9. 11% 2.3 3% 3.03 % 2.94% 9.83 % 2.61 % 4. 14% 8.67% 3.18% 3. 16% 2.54% -4.96% -0.47% -1. 11 % 0.44% -0.85 % -0. 14% 0.40% 0.000 0.054 0.0 15 0.946 0.136 0.859 0.340 Yes. *** Yes.* Yes .** No . No. No. No. Entire Sam2le 1224 3.76% 4.65 % -0.88% 0.0 11 Yes.** Country *** ** * 1 Rejec t hypotheses - difference is highly significant at the I% level Reject hypotheses - difference is significant at the 5% level Reject hypotheses- differe nce is signi fica nt at the I 0% level EB ITDAX I = Std. Dev. post-I FRS EBIDTA I Average TA post-! FRS EBITDAX2 = Std. Dev. pre-IFRS EBIDTA I Average TA pre-IFRS Observation #1 - The null hypothesis that there is no difference in the means of the standard deviation of the EBITDA earnings indicator is rejected. There is a significant difference at the 5% level for the entire sample. Observation #2 - There is lower post-IFRS volatility of reported EBITDA for the sample as a whole (post-IFRS mean= 3.76% compared to pre-IFRS mean of 4.65%). The greatest decrease in volatility is observed in Australia (-4.96%) followed by Germany (-1.11 %). 22 2.) Earnings Indicator = EBI T The results from the equality of means testing for the EBIT (earnings before interest and taxes) earnings indicator are presented below. Included Observations EBITX1 1 Post- I FRS Mean EBITX2 2 Pre-I FRS Mean Difference In Means P-Value Reject Null Hypothesis? Australia France German_y New Zealand SQain Switzerland United Kingdom 242 28 1 279 20 85 105 22 1 4.72% 2.42% 3.02% 9.11 % 2.21 % 3. 15% 2.94% 9.21 % 3.53 % 5.42% 8.55% 4.00% 4.10% 3.34% -4.49% -1.11 % -2.40% 0.55% -1 .79% -0.95% -0.40% 0.001 0.012 0.000 0.933 0.086 0.367 0.382 Yes.*** Yes .** Yes.*** No. Yes.* No. No. Entire SamQle 1233 3.79% 5.30% -1.51 % 0.000 Yes.*** Country *** ** * Reject hypotheses -difference is highly significant at the 1% level Reject hypotheses- difference is significant at the 5% level Reject hypotheses- differe nce is significant at the I 0% level EBITX I = Std. Dev. post- IFRS EB IT I Average T A post-I FRS 2 EB ITX2 =Std . Dev. pre-IFRS EB IT I Average TA pre-IFRS Observation #3 - The null hypothesis that there is no difference in the means of the standard deviation of the EBIT earnings indicator is rejected. The difference is highly significant for the entire sample at the 1% level. Observation #4- There is lower post-IFRS volatility of reported EBIT for the sample as a whole (post-IFRS mean= 3.79% compared to pre-IFRS mean of 5.30%). The greatest decrease in volatility is observed in Australia (-4.49%) followed by Germany (-2.40%). 23 3.) Earnings Indicator = NI The results fro m the equality of means testing for the NI (net income) earnings indicator are presented below. Included Observation s NIX1 1 Post-IFRS Mean NIX2 2 Pre-IFRS Mean Differ ence In Mea ns P-Value Reject Null Hypothesis? Austra lia France German_y New Zealand SQain Switzerland United Kingdom 242 28 1 279 20 85 105 22 1 4. 17% 2.20% 3.88% 2.27% 2.86% 4.94% 3.25% 7.50% 3.48% 5.42% 3.58% 6.2 1% 6.47% 4. 10% -3.33% -1.28% -1.54% -1.3 1% -3.35% -1. 53 % -0.85 % 0.0 18 0.01 1 0.0 19 0.254 0. 145 0.512 0. 139 Yes.* * Yes. ** Yes.** No. No. No. No. Entire Samp le 1233 3.36% 5.00% - 1.64% 0.000 Yes.** * Country *** ** * Reject hypotheses- difference is highly significant at the I% level Reject hypotheses - differe nce is sign ifica nt at the 5% level Reject hypotheses - difference is significant at the I 0% level NIX ! = Std. Dev. post-IFRS Nl I Average TA post-l FRS 2 N IX2 = Std. Dev. pre-IFRS Nl I Average TA pre-IFRS Observation #5 - The null hypothesis that there is no difference in the means of the standard deviation of the NI earnings indicator is rejected. The difference is highly significant for the entire sample at the 1% level. Observation #6 - There is lower post-IFRS volatility of reported NI for the sample as a whole (post-IFRS mean= 3.36% compared to pre-IFRS mean of 5.00%). 24 B.)Earnings for the initial year of post-IFRS compared to the year immediately prior to 1.) Earnings Indicator = EBITDA The results from the equality of means testing for the EBITDA (earnings before interest, taxes, depreciation, and amortization) earn ings indicator are presented below. Included Observations EB ITDAX3 1 Post-IFRS Mean EBITDAX4 2 Pre-IFRS Mean Difference In Means P-Value Reject Null Hypothesis? Australia France German_y New Zealand SQain Switzerland United Kingdom 23 7 277 273 20 85 98 2 15 14.29% 11 .20% 11 .63 % 24. 11 % 13.00% 11 .32% 13 .67% 17.57% 11.1 6% 11. 80% 13.57% 13.89% 12. 25% 13 .5 1% -3.28% 0.03 % -0.16% 10.54% -0.89% -0.92% 0. 16% 0.029 0.960 0.928 0.279 0.481 0.504 0 .868 Yes. ** No. No . No. No. No. No . Entire SamQle 1202 12.97% 13.48% -0.51% 0.400 No. Country *** ** * Reject hypotheses - difference is highly significant at the I% level Reject hypotheses - difference is significant at the 5% level Reject hypotheses - difference is significant at the I 0% level EBITDAX3 = EBIDTA t 1 I T A t 1 2 EBITDAX4 = EBIDTA t 1 I T A t 1 Observation #7 - The null hypothesis that there is no difference in the means of the EBITDA earnings indicator for the first year of IFRS reporting compared to the prior year is not rejected. The difference for the overall sample is not significant. 25 2.) Earnings Indicator = EBIT The results from the equality of means testing for the EBIT (earnings before interest and taxes) earnings indicator are presented below. Included Observations EBITX3 1 Post-IFRS Mean EBITX4 2 Pre-I FRS Mean Difference In Means P-Value Reject Null Hypothesis? New Zea land SQain Switzerland United Kingdom 24 1 280 279 20 85 105 22 1 10.21 % 7.45% 6.79% 20.86% 9. 15% 5.55% 10.50% 12. 14% 7.04% 5.81 % 8.26% 10.66% 8. 15% 9.21 % -1 .93 % 0.41 % 0.98% 12.60% -1.51 % -2.61 % 1.29% 0.176 0.535 0.456 0.189 0.492 0.322 0. 124 No. No. No. No. No. No. No. Entire Sample 123 1 8.87% 8.65 % 0.22% 0.688 No. Country Australia France Gem1an~ *** ** * Reject hypotheses- difference is highly significant at the I% level Reject hypotheses -difference is sign ificant at the 5% level Reject hypotheses - difference is significant at the I 0% level EBITX3 = EBIT t 1 I T A t 1 EB ITX4 = EB IT t 1 I T A t 1 Observation #8 - The null hypothesis that there is no difference in the means of the EBIT earnings indicator for the first year of IFRS reporting compared to the prior year is not rejected. The difference for the sample is not significant. 26 3.) Earnings Indicator = NI The results from the equality of means testing for the NI (net income) earnings indicator are presented below. Included Observations 1 NIX3 Post-IFRS Mean NIX4 2 Pre-I FRS Mean Difference In Means P-Value Reject Null Hypothesis? Australia France Germani: New Zealand S2ain Switzerland United Kingdom 24 1 28 1 279 20 85 105 221 6.47% 3.99% 2.96% 8.52% 6. 13% 0.74% 8.03 % 5.40% 3.42% 1.72% 9.45% 9.97% 7.59% 7.0 1% 1.07% 0.57% 1.25% -0.93 % -3 .85% -6.86% 1.02% 0.418 0.522 0.23 8 0.8 19 0.404 0.188 0.220 No. No. No. No. No. No. No. Entire Sam2Ie 1232 4.83 % 4.6 1% 0.22% 0.725 No. Country *** ** * Reject hypotheses -difference is highly significant at the I% level Reject hypotheses- difference is significan t at the 5% level Reject hypotheses - difference is significant at the I 0% level NIX3 = Nl t 1I T A t1 2 NlX4 = Nl t. 1I TA t.1 Observation #9 - The null hypothesis that there is no difference in the means of the NI earnings indicator for the first year of IFRS reporting compared to the prior year is not rejected. The difference for the sample is not significant. 27 C.) Standard deviation o[equity post-IFRS compared to pre-IFRS 1.) Earnings Indicator = Equity The results from the equality of means testing for the standard deviation of equity are presented below. Included Observations EQUITYX1 1 Post-IFRS Mean EQUITYX2 2 Pre-I FRS Mean Difference In Means P-Vaiue Reject Null Hypothesis? Switzerland United Kingdom 242 282 282 20 85 105 221 10.22% 6.27% 6.31 % 7.12% 5.09% 7.17% 7.45% 11.81 % 5.56% 5.88% 8.12% 4.67% 5.71 % 6.64% -1 .59% 0. 7 1% 0.43 % -1.00% 0.42% 1.46% 0.81 % 0.173 0.288 0.457 0.726 0.602 0.170 0.182 No. No. No. No. No. No. No. Entire 123 7 7.28% 7.05% 0.23 % 0.519 No. Country Australia France Gem1an~ New Zealand ~a n am~ e *** ** * Reject hypotheses - difference is highly significant at the I% level Reject hypotheses- difference is significant at the 5% level Reject hypotheses- difference is significant at the I 0% level EQUITYXI = Std. Dev. post-IFRS Equity I Average TA post-IFRS 2 EQUITYX2 = Std. Dev. pre-IFRS Equity I Average TA pre-IFRS Observation #10 -The null hypothesis that there is no difference in the equity means pre-IFRS and post-IFRS is not rejected. The difference for the sample is not significant. 28 Conclusions Conclusion 1 - Reported earnings statement values under !FRS are less volatile compared to figures under previous reporting standards. The null hypothesis that the means are the same for the compared timeframes is rejected at the entire sample level. The difference ranges from being significant at the 5% level for EBITDA to being highly significant at the 1% level for EBIT and NI. There is decreased volatility of EBITDA values from one reporting period to another postIFRS compared to the pre-IFRS period in Australia (-5.0%), Germany (-1.1%), and in France (-0.5%). No statistically significant impact on volatility was observed in New Zealand, Spain, Switzerland, or the United Kingdom. There is decreased volatility in EBIT values from one reporting period to another post-IFRS compared to the pre-IFRS period in Australia (-4.5%), Germany (-2.4%), Spain (-1.8%), and in France (-1.1%) with no statistically significant impact in New Zealand, Switzerland, and the UK. There is decreased volatility in NI values from one reporting period to another post-IFRS compared to the pre-IFRS time period in Australia (-3.3%), Germany (-1.5%), and in France (-1.3%) with no statistically significant impact in New Zealand, Spain, Switzerland, and the UK. 29 Conclusion 2 - There is no material impact on earnings statement reported results in the initial year ofIFRS implementation. As noted under observations 7, 8, and 9, we can not reject the null hypothesis that the means in the initial implementation year compared to the immediately prior year are the same. There is no statistical difference in the means of the earnings indicators of EBITDA, EBIT, and NI for the sample as a whole. The exception is Australia where EBITDA decreased 3.3% post-IFRS compared to pre-IFRS and the difference being significant at the 5% level. This difference was not investigated further and could be further researched to explain the difference. IFRS implementation would mean that entities would value certain items at fair value on adoption of these reporting standards. Some of these revaluation charges would be required to be reflected on the earnings statement. However, this study concludes that any revaluations did not have the effect of increasing earnings indicator volatility. In addition to the earnings statement, revaluations may also be required to be booked to equity. 30 Conclusion 3 - There is no significant difference in the volatility of the reported equity values post-IFRS when compared to pre-IFRS.figures. As noted under observation 10 we can not reject the null hypothesis that the standard deviation of the equity value means is the same for the post-IFR period when compared to the pre-IFRS timeframe. Thi s testing does not support that there is increased volatility in the reported equity figures under IFRS when compared to other reporting standards for the sample as a whole. As mentioned under the prior conclusions, concerns that initial implementation of IFRS, as well as its impact on subsequent period results, will have a volatile effect on reported equity and/or earnings results due to fair value reporting measures are not supported by this analysis. In fact , a decrease in volatility among certain countries was observed. 31 Bibliography Armstrong, C., Barth, M., Jagolinzer, A., and Riedl, E. "Market Reaction to the Adoption of IFRS in Europe." Rock Centre for Corporate Governance Working Paper Series No. 5. (2008). Ball, R. 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"The Adoption of International Accounting Standards m the European Union." European Accounting Review Vol. 14, no. 1 (2005): 127-153. 34 Appendix A: Total Observations- Australia 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29 Woolworths Limited Rio Tinto Limited Telstra Corporation Limited Caltex Australia Limited Qantas Airways Limited 36 37 38 39 40 Incitec Pivot Limited Newcrest Mining Limited Sonic Healthcare Limited Crane Group Limited Macquarie Communications Infrastructure Group Lend Lease Corporation Limited Bluescope Steel Limited Leighton Holdings Limited Amcor Limited Origin Energy Limited Toll Holdings Limited Sims Metal Management Limited Onesteel Limited Orica Limited Awb Limited Downer Edi Limited Bora! Limited Worleyparsons Limited Fosters Group Limited Woodside Petroleum Limited Coca-Cola Amatil Limited Csl Limited United Group Limited Automotive Holdings Group Limited Tabcorp Holdings Limited Csr Limited Futuris Corporation Limited Transfield Services Limited Australian Pharmaceutical Industries Limited 41 42 43 44 45 46 47 48 49 50 51 52 53 54 55 56 57 58 59 60 61 62 63 David Jones Limited Santos Ltd Skilled Group Limited Abb Grain Limited Mirvac Group (The) Jb Hi-Fi Limited Village Roadshow Limited Lion Nathan Limited Computershare Limited Ridley Corporation Limited Ap Eagers Limited Straits Resources Limited Healthscope Limited Reece Australia Limited A.B.C. Learning Centres Limited Flight Centre Limited Pmp Limited Billabong International Limited Macquarie Infrastructure Group Graincorp Limited Macquarie Airports Coal & Allied Industries Limited Rhg Limited Ansell Limited 64 30 Fairfax Media Limited 31 Ramsay Health Care Limited 65 Apn News & Media Limited 66 Hutchison Telecommunications (Aust) 32 33 34 35 67 68 69 70 Stockland Spotless Group Limited Nufarm Ltd Harvey Norman Holdings Limited Limited Macmahon Holdings Limited Corporate Express Australia Limited Hills Industries Limited Alesco Corporation Limited 35 Appendix A: Total Observations- Australia (continued) 71 Oz Minerals Limited 72 73 Monadelphous Group Limited Commander Communications Limited 74 Ten Network Holdings Limited 75 On Q Group Limited 76 Iluka Resources Limited 77 78 79 Watpac Limited Apa Group Programmed Maintenance Services Limited 101 Beach Petroleum Limited 102 Amalgamated Holdings Limited 103 Challenger Financial Services Group Limited 104 105 106 107 108 109 Devine Limited Macquarie Office Trust Danks Holdings Limited Coffey International Limited Fkp Limi ted Brickworks Limited 80 Australian Worldwide Exploration 110 Specialty Fashion Group Limited 81 82 83 84 85 86 Adelaide Brighton Limited Salmat Limited Goodman Group Aristocrat Leisure Limited Centennial Coal Company Limited Transurban Group 111 112 113 114 115 116 Gud Holdings Limited Clive Peeters Limited Capral Limited Rcr Tomlinson Limited A vjennings Limited Warrnambool Cheese And Butter Factory Company Holdings Limited 87 88 89 90 Gpt Group Adtrans Group Limited Campbell Brothers Limited Super Cheap Auto Group Limited 117 118 119 120 Perpetual Limited Sunland Group Limited Coventry Group Ltd West Australian Newspapers Holdings Limited Limited 91 Centro Properties Group 92 Pacifica Group Limited 121 K & S Corporation Limited 122 Austar United Communications 93 Washington H Soul Pattinson & 123 Service Stream Limited 94 95 96 97 98 99 100 124 125 126 127 128 129 130 Company Limited Primary Health Care Limited Gwa International Limited Clough Limited Asx Limited Uxc Limited Austal Limited Cochlear Limited Limited Sp Telemedia Limited Cellnet Group Limited Cpi Group Limited Breville Group Limited Aj Lucas Group Limited Wattyl Limited Felix Resources Limited 36 Appendix A: Total Observations- Australia (continued) 131 132 133 134 135 136 137 138 139 140 141 142 143 144 145 Roc Oil Company Limited Boom Logistics Limited Mount Gibson Iron Limited Macarthur Coal Limited Ross Human Directions Limited Ausdrill Limited Thakral Holdings Group Wallace Absolute Return Limited Timbercorp Limited Data#3 Limited Funtastic Limited Iba Health Group Limited Reject Shop Limited (The) Great Southern Limited Envestra Limited 161 162 163 164 165 166 167 168 169 170 171 172 173 174 175 Structural Systems Limited Thomas & Coffey Limited Nylex Limited Perilya Limited Australian Vintage Limited Austereo Group Limited Raptis Group Limited Gazal Corporation Limited Lend Lease Primelife Iinet Limited Autron Corporation Limited Macquarie Telecom Group Limited Bsa Limited Sai Global Limited Sms Management & Technology Limited 146 147 148 149 150 151 152 153 154 155 156 157 158 159 160 Fleetwood Corporation Limited Mcpherson'S Limited Macquarie Leisure Trust Group Energy Resources Of Australia Limited Mincor Resources Nl Clarius Group Limited New Hope Corporation Limited Kagara Ltd Costaexchange Ltd Minara Resources Limited Fantastic Holdings Limited IoofHoldings Limited Country Road Limited Maxitrans Industries Limited Prime Media Group Limited 176 177 178 179 180 181 182 183 184 185 186 187 188 189 190 Resolute Mining Limited Panoramic Resources Limited Cmi Limited Vietnam Industrial Investments Limited Talent2 International Limited Select Harvests Limited Grd Limited Erg Limited Cec Group Limited Oakton Limited Fortescue Metal Group Limited Energy Developments Limited Staging Connections Group Limited Commonwealth Property Office Fund Lindsay Australia Limited 37 Appendix A: Total Observations- Australia (continued) 191 192 193 194 Schaffer Corporation Ltd Industrea Limited Cromwell Group Mitchell Communication Group Limited 221 222 223 224 Melbourne It Limited Scott Corporation Limited Independence Group Nl Rocklands Richfield Limited 195 196 197 198 199 200 201 202 Servcorp Limited Blackmores Limited Invocare Limited Eservglobal Limited National Can Industries Limited Arb Corporation Limited Cabcharge Australia Limited Australian Agricultural Company Limited 225 226 227 228 229 230 231 232 Phileo Australia Limited Jetset Travelworld Ltd Noni B Limited Espreon Limited Imdex Limited Globe International Limited Abacus Property Group Orotongroup Limited 203 204 205 206 207 208 209 210 211 212 Brandrill Limited Cbh Resources Limited Forest Enterprises Australia Limited Strathfield Group Limited St Barbara Limited Symex Holdings Limited Gloucester Coal Limited Aquila Resources Limited Rea Group Ltd Kim Group Ltd Pan Pacific Petroleum Nl Computercorp Limited Sino Gold Mining Limited Mermaid Marine Australia Limited Tamawood Limited Ludowici Limited Hgl Limited Mortgage Choice Limited 233 234 235 236 237 238 239 240 241 242 Wridgways Australia Limited Iress Market Technology Limited Kresta Holdings Limited Euroz Limited Panaust Limited Asg Group Limited Living And Leisure Australia Group Arrow Energy Limited Keycorp Limited Destra Corporation Limited 213 214 215 216 217 218 219 220 38 Appendix B: Total Observations- France Total S.A. Carrefour Sa Electricite De France Sa - Edf Peugeot S.A. France Telecom Sa Suez Compagnie De Saint Gobain Sa Renault Veolia Environnement Vinci Sa Bouygues Sa Sanofi-Aventis GdfSuez Finatis Sa Fonciere Euris Sa Air France- Klm Casino Guichard-Perrachon Sa Vivendi Ppr S.A. Alstom S.A. Alcatel-Lucent S.A. Lafarge Sa Schneider Electric Sa Christian Dior Sa L'Oreal Sa ~om a n e Generate Des Etablissements Michelin (C.G.E.M.) Sa 34 35 36 37 38 39 40 41 42 43 44 45 46 47 48 49 50 51 52 53 54 55 56 57 58 27 Lvrnh Moet Hennessy Louis Vuiton Sa 28 Groupe Danone Sa 29 Faurecia Sa 30 Eiffage 31 Societe Des Participations Du Commissariat A L'Energie Atomique Areva 60 61 62 63 64 32 Thales Sa 33 Rexel S.A. 65 Aeroports De Paris Sa 66 Vi cat 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 59 Colas Sa L'Air Liquide Safran Valeo Sa Lagardere Sea Cap Gemini Accor Sa Technip Pemod Ricard Sa Bollore Financiere De L'Odet Sa Vallourec S.A. Atos Origin Thomson Rhodia Sa Wendel Ciments Francais Sa Publicis Groupe Sa Nexans Sa Sequana Dassault Aviation Sa Derichebourg Groupe Eramet Sa Imerys Sa Bongrain Sa Essilor International Sa Seb S.A. Burelle Sa Plastic Omnium Sa Nexity Sa Compagnie Generate De GeophysiqueVeritas 39 Appendix B: Total Observations- France (continued) 67 68 69 70 71 72 73 74 75 76 77 78 79 80 81 82 83 84 85 86 87 88 89 90 91 92 93 94 95 96 97 98 99 100 Jcdecaux Sa Unibel Sa Fromageries Bel Sa Stef-Tfe Sa Generale De Sante Provimi Groupe Ldc Sa Groupe Norbert Dentressangle Sa Autoroutes Paris-Rhin-Rhone Sa Canal Plus Sa Bonduelle Sa Hermes International Sa Teleperformance Altran Technologies Sa Havas Icade Bic Sa Groupe Crit Sa International Metal Service Sa Groupe Steria Sea Pierre Et Vacances Sa Metropole Television Sa Club Mediterranee Sa Dassault Systemes Sa Iliad Synergie Sa Euro Disney S.C.A Pagesjaunes Groupe Sa Beneteau Sa Biomerieux Sa Belvedere Sa Etam Developpement Sa Kaufman & Broad Sa Sopra Group 101 102 103 104 105 106 107 108 109 110 Ill 112 113 114 115 116 117 118 119 120 121 122 123 124 125 126 127 128 129 130 131 132 133 134 Ubisoft Entertainment Sa Ipsen Sa Vilmorin & Cie Samse Sa Ipsos Sa Neopost Sa Fonciere Des Regions (G.F.R.) Remy Cointreau Sa Trigano Rubis Unibail-Rodamco Lisi Saga Sa Chargeurs Avenir Telecom Sa Groupe Go Sport Sa Evialis Sa Groupe Cegedim Sa Sperian Protection Faiveley Sa F. Marc De Lacharriere- Fimalac Somfy Sa Alten Sa Carbone Lorraine Sa Gfi Informatique Gecina Sa Klepierre Sa Delachaux Sa Bricorama Assystem Spir Communication Sa Camaieu Haulotte Group Gl Events 40 Appendix B: Total Observations- France (continued) 164 165 166 167 Seche Environnement Sa Toupargel Groupe Boizel Chanoine Champagne Societe Anonyme D Explosifs & De Produits Chimiques Sa 139 Compagnie Industrielle Et Financiere D Ingenierie S.A. - Ingenico 168 Compagnie Parisienne De Chauffage Urbain Sa 140 Constructions Industrielles De La Mediterranee 'Cnim' Sa 169 S.O.I.Tec Silicon On Insulator Technologies - Soitec 141 142 143 144 145 146 147 148 149 150 151 152 153 154 155 170 171 172 173 174 175 176 177 178 179 180 181 182 183 184 135 136 137 138 156 157 158 159 160 Gascogne Edf Energies Nouvelles Saft Groupe Sa Vm Materiaux Sa Groupe Exacompta Clairefontaine Sa Orpea Gifi Damartex Recylex Entrepose Contracting Sa Electricite De Strasbourg Sa Guyenne Et Gascogne Sa Eurofins Scientific Sa Montupet Sa Fleury Michon Sa Latecoere Sa Maisons France Confort Sa Mr Bricolage Sa Compagnie Des Alpes - Cda Mgi Coutier Poullain Sa Otor Sa Virbac Sa Manutan International Sa Groupe Partouche Sa 161 Lacie S.A. 162 Groupe Flo Sa 163 Nrj Group Sa 185 186 187 188 189 190 191 192 Infogrames Entertainment Guerbet Sa Groupe Guillin Sa Anovo Etablissements Maurel & Prom Vranken Pommery Monopole Touax Sa Sartorius Stedim Biotech Ginger Groupe Ingenierie Europe Jet Multimedia Sa Actia Group Sica! Le Be1ier Cegid Group Robertet Sa Espace Production International Sa Akka Technologies Sa Osiatis Societe Vermandoise De Sucreries Societe Sucriere De Pithiviers Le Vieil Sa Sechilienne-Sidec Sa Cs Communication & Systemes Grands Moulins De Strasbourg 41 Appendix B: Total Observations- France (continued) 193 Plastiques Du Val De Loire Plastivaloire 194 Lectra Sa 195 Laurent Perrier Sa 196 Gevelot Sa 197 Groupe Psb Industries Sa 221 Linedata Services Sa 222 223 224 225 Therrnador Groupe Sa Fonciere Des Murs Securidev Sa Societe Pour L'Inforrnatique Industrielle - Sii 198 Selcodis 226 La Societe Industrielle Et Financiere De L'Artois Sa 199 200 201 202 203 U10 Dane-Elec Memory Sa Wavecom Sa Business Et Decision Radiall Sa Groupe Outremer Telecom Neurones Jeanjean Sa Tipiak Sa Societe Des Produits Mamier Lapostolle 232 Oeneo 233 Societe Immobiliere De Location Pour L'Industrie Et Le Commerce « Silic » 204 Fiducial Office Solutions 205 Fonciere Developpement Logements Fdl 227 228 229 230 231 206 Vemeuil Participations 207 Groupe Open Sa 208 Societe Internationale De Plantations D' Heveas Sa 234 Delta Plus Group Sa 235 A vanquest Software 236 Stallergenes Sa 209 Dynaction Sa 210 Produits Chimiques Auxiliaires Et De Synthese - Peas 211 Innelec Multimedia Sa 212 Compagnie Industrielle Et Financiere D Entreprises Sa 237 Cristalleries De Baccarat Sa 238 HfCompany 213 214 215 216 217 218 219 220 Sword Group Groupe Rougier Sa Due Finuchem Sa Tessi Ales Groupe Sa Societe Fonciere Lyonnaise Sa Overlap Groupe 239 Carrere Group 240 Groupe Pizzorno Environnement Sa 241 242 243 244 245 246 247 248 Bricodeal Sa Groupe Silicomp lee Professionnel Media Sa Orchestra - Kazibao Groupe Guy Degrenne Sa ProdefSa Signaux Girod Sa Net2S Sa 42 Appendix B: Total Observations- France (continued) 249 250 251 252 253 254 255 256 257 258 259 260 261 262 263 264 265 266 267 268 269 270 271 272 273 274 275 276 277 278 279 280 281 282 Setforge Arbel Sa Groupe Cofidur Sa Nsc Groupe Catering International Services Etablissements Poujoulat Sa Sqli Sa Le Public Systeme Sa Ad Ipartner Keyrus Lvl Medical Groupe Sa Compagnie Financiere Geo Oxymetal S.A. Compagnie La Lucette Ausy Valtech Sa Hi-Media Jacques Bogart Sa Archos Mercialys Sa Groupe Installux Rocamat Sa Groupe Diffusion Plus Gameloft S.A. Vet'Affaires Sa Index Multimedia Audika Sa Delfingen Industry A.S.T. Groupe Bigben Interactive Sa St Dupont Sa Etablissements Gantois Groupe Eca Sa Infotel Sa 43 Appendix C: Total Observations- Germany 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29 30 31 32 33 34 35 Volkswagen Ag Daimler Ag Siemens Ag E.On Ag Metro Ag Deutsche Post Ag Deutsche Telekom Ag BasfSe Bayerische Motoren Werke Ag- Bmw Thyssenkrupp Ag RweAg Audi Ag Bayer Ag Porsche Automobil Holding Se Deutsche Lufthansa Ag Celesio Ag TuiAg Arcandor Ag Continental Ag ManAg Hochtief Ag Energie Baden-Wurttemberg Ag Henkel Ag & Co. Kgaa Linde Ag Heidelberger Zement Ag Adidas Ag Salzgitter Ag Bilfinger Berger Ag Norddeutsche Affinerie Ag Baywa Ag Merck Kgaa Sudzucker Ag Beiersdorf Ag Gea Group Ag Rheinmetall Ag 36 37 38 39 40 41 42 43 44 45 46 47 48 49 50 51 52 53 54 55 56 57 58 59 60 61 62 63 64 65 66 67 68 69 70 Heidelberger Druckmaschinen Ag Andreae-Noris Zahn Ag Wacker Chemie Ag Sea Hygiene Products Ag K+S Aktiengesellschaft Douglas Holding Ag Mvv Energie Ag Axel Springer Ag Prosiebensatl Media Ag Rombach Holding Ag Hornbach-Baumarkt Ag PumaAg Leoni Ag Fraport Ag Deutsche Borse Ag Krones Ag Strabag Ag Rhon-Kiinikum Ag Jungheinrich Ag Freenet Ag A.Moksel Ag Dyckerhoff Ag Pfleiderer Ag Draegerwerk Akti engesellschaft KsbAg Interseroh Ag Hugo Boss Ag Koenig Und Bauer Ag Medion Ag Stada Arzneimittel Ag Sixt Ag Deutz Ag Gildemeister Ag Mainova Ag United Internet Ag 44 Appendix C: Total Observations- Germany (continued) 71 72 73 74 75 76 77 78 79 80 81 82 83 84 85 86 87 88 89 90 91 Diirr Ag Bechtle Ag Altana Ag Sgl Carbon Se Fuchs Petrolub Ag Oel And Chemie Paul Hartmann Ag Gfk Se Kloeckner-Werke Ag Sud-Chemie Ag Grammer Ag Takkt Ag Schuler Ag Lechwerke Ag Indus Holding Ag Villeroy & Boch Ag Hymer Ag Fielmann Ag Pc-Ware Information Technologies Ag H&R WasagAg Vbh Holding Aktiengesellschaft W mf Wurttembergische Meta1warenfabrik Ag 92 Awd Holding Ag 93 Nordex Ag 94 Solarworld Ag 95 96 97 98 99 100 101 102 103 104 VkMuh1enAg Eurokai Kgaa Didier Werke Ag Kws SaatAg Kap Beteiligungs Ag MlpAg Elringklinger Ag Software Ag Alno Ag Ivg Immobilien Ag 105 106 107 108 109 110 111 112 113 114 115 116 117 118 119 120 121 122 123 124 125 Wanderer-Werke Ag Carl Zeiss Meditec Ag Jenoptik Ag Wasgau Produktions & Handels Ag Maxdata. Ag Bowe Systec Ag Computerlinks Ag Schlott Gruppe Ag Kontron Ag Beru Aktiengesellschaft Gelsenwasser Ag Cewe Color Holding Ag Renk Ag Ta Triumph-Adler Ag Bertrandt Ag Surteco Se Nordwest Handel Ag Ids Scheer Ag Mediclin Ag Olympia Flexgroup Ag Cts Eventim Ag 126 Einhell Germany Ag 127 Schwarz Pharma Ag 128 Bijou Brigitte Modische Accessories Ag 129 Gesco Ag 130 Frosta Ag 131 Hawesko Holding Ag 132 D.Logistics Ag 133 Rational Ag 134 Sektkellerei Schloss Wachenheim Ag 135 Biotest Ag 136 Balda Ag 137 Berlitz Aktiengesellschaft 138 Tiscon Ag 45 Appendix C: Total Observations- Germany (continued) 139 140 141 142 143 144 145 146 147 148 149 150 151 152 153 154 155 156 157 158 159 160 161 162 163 164 165 166 167 168 169 170 171 172 Ceag Industrie-Akti en Und Anlagen Ag Simona Ag FunkwerkAg Cancom It Systeme Ag Allgeier Holding Ag Holcim (Deutschland) Ag Washtec Ag Beate Uhse Ag Leifheit Ag Marseille-Kliniken Ag Ahlers Ag Adva Ag Optical Networking Gft Technologies Ag Adlink Internet Media Ag Machinenfafrik Berthold Hermie Ag D+S Europe Ag Kulmbacher Brauerei Ag Schaltbau Holding Ag CuranumAg Moebel Walther Ag Westag & Getalit Ag Singulus Technologies Ag Creaton Ag Suedwestdeutsche Salzwerke Ag Constantin Film Ag M.A.X. Automation Ag Ohb Technology Ag Aixtron Ag Albis Leasing Ag Mpc Miinchmeyer Petersen Capital Ag R Stahl Ag Sunways Ag Mensch Und Maschine Software Se Deutsche Wohnen Ag 173 174 175 176 177 178 179 180 181 182 183 184 185 186 187 188 189 190 191 192 193 194 195 196 197 198 199 200 201 202 203 204 205 206 Vivacon Ag Textilgruppe Hof Ag Berentzen-Gruppe Ag Elmos Semiconductor Ag Compugroup Holding Ag Rosenthal Ag Vogt Electronic Ag Ruecker Ag Telegate Ag Cinemaxx Ag Kaessbohrer Gelaendefahrzeug Ag A.S.Creation Tapeten Ag Uzin Utz Ag Leica Camera Ag Elexis Ag Kampa Ag Repower Systems Ag Integra1is Ag Durkopp Adler Ag Technotrans Ag Tag Immobilien Ag Jagenberg Ag Greiffenberger Ag Nemetschek Ag Data Modu1 Ag Siiss Microtec Ag Kniirr Ag Edel Ag Masterflex Ag Schumag Ag Euromicron Ag Neschen Ag Wire Card Ag Bien-Zenker Ag 46 Appendix C: Total Observations- Germany (continued) 207 Rohwedder Ag 208 Adcapital Ag 209 Psi Aktiengesellschaft Fuer Produkte Und Systeme Der Informationstechnologie 210 Borussia-Dortmund Gmbh & Co Kgaa 211 Turbon Ag 212 Curtis 1000 Europe Ag 213 Mineralbrunnen Uberkingen-Teinach Ag 214 Augusta Technologie Ag 215 Primacom Ag 216 Vivanco Gruppe Ag 217 Zapf Creation Ag 218 Pva Tepla Ag 219 Edding Ag 220 Paragon Ag 221 Wavelight Ag 222 Joh Friedrich Behrens Ag 223 Hoeft & Wessel Ag 224 Bau-Verein Zu Hamburg Ag 225 Procon Multimedia Ag 226 Bhs Tabletop Ag 227 Deutsche Euroshop Ag 228 Linos Ag 229 Evotec Ag 230 W.E.T. Automotive Systems Ag 231 Deutsche Entertainment Ag 232 Ludwig Beck Am Rathauseck Texteilhaus Feldmeier Ag 233 234 235 236 237 Mme Moviement Ag Kunert Ag Graphit Kropfmiilil Ag Tomorrow Focus Ag Info Ag 238 All For One Midmarket Ag 239 Burgbad Ag 240 3U Holding Ag 241 242 243 244 Jaxx Ag Dierig Holding Ag Dr Real Estate Ag Plambeck Neue Energien Ag 245 246 247 248 249 250 251 252 253 254 255 256 257 258 259 260 261 262 263 Stratec Biomedical Systems Ag Morphosys Ag Stohr & Co. Aktiengesellschaft Isra Vision Ag Analytik Jena Ag Realtech Ag Utimaco Safeware Ag Innotec Tss Ag Eckert & Ziegler Ag Pironet Ndh Ag Odeon Film Ag Pixelpark Ag Energiekontor Ag Hamatech Ag Biolitec Ag Silicon Sensor International Ag Solarparc Ag Tds Informationstechnologie Ag Aap lmplantate Ag 264 265 266 267 268 Deutsche Real Estate Ag Deutsche Immobilien Holding Ag Syzygy Ag Teles Ag Informationstechnologien Medigene Ag 47 Appendix C: Total Observations- Germany (continued) 269 270 271 272 Deutsche Balaton Ag Varta Ag Hambomer Ag Tig Themis Industries Group Gmbh & Co. Kgaa 273 274 275 276 277 278 Bayerische Gewerbebau Ag Bkn International Ag Anterra Vermoegensverwaltungs Ag Ivg Deutschland Immobilien Ag Deutsche Beteiligungs Ag Deutsche Effecten Und WechseiBeteiligungsgesellschaft Ag - Dewb 279 A.A.A. Aktiengesellschaft Allgemeine Anlageverwaltung Vorm. Seilwolff Ag Von 1890 280 Westgrund Ag 281 Stumpf(Otto) Ag 282 Intertainment Ag 48 Appendix D: Total Observations- New Zealand 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 Fletcher Building Limited Contact Energy Limited Nuplex Industries Limited Ebos Group Ltd Sky City Entertainment Group Limited Sky Network Television Limited Steel & Tube Holdings Limited Rubicon Limited Tenon Limited Briscoe Group Limited Michael Hill International Limited New Zealand Refining Co Ltd Restaurant Brands New Zealand Limited Abano Healthcare Group Limited Lyttelton Port Company Limited Cdl Investments New Zealand Limited Nzx Limited Cer Group Limited Northland Port Corporation (Nz) Limited Propertyfinance Group Limited 49 Appendix E: Total Observations- Spain Telefonica Sa 2 Repsol YpfS.A. 3 Acs, Actividades De Construccion Y Servicios, S.A. 31 Sol Melia S.A. 32 Cie Automotive S.A. 33 Pescanova Sa 4 Endesa, S.A. 5 Compania Espanola De Petroleos, S.A. (Cepsa) 34 Enagas, S.A. 35 Uralita Sa 6 Iberdrola Sa 7 Grupo Ferrovial S.A. 8 Fomento De Construcciones Y Contratas Sa 36 Red Electrica Corporacion, S.A. 37 Campofrio Food Group, S.A. 38 Zardoya Otis Sa 9 Acciona S.A. 10 Gas Natural Sdg, S.A. 39 Befesa Medio Ambiente Sa 40 Construcciones Y Auxiliar De Ferrocarriles, S.A. - Caf 11 12 13 14 15 16 17 18 19 20 21 Industria De Diseno Textil Sa- Inditex Acerinox Sa Union Fenosa Sa Sacyr Vallehermoso, S.A. Iberia, Lineas Aereas De Espana Sa Obrascon Huarte Lain S.A. Abengoa S.A. Promotora De Informaciones Sa (Prisa) Abertis Infraestructuras, S.A. Gamesa Corporacion Tecnologica Sa Sociedad General De Aguas De Barcelona, S.A. 41 42 43 44 45 46 47 48 49 50 51 Ercros Sa Inmobiliaria Colonial, S.A. Duro Felguera Sa Cementos Molins, S.A. Antena 3 De Television Sa S.A. Damm Grupo Empresarial Ence S.A. Tubacex S.A. Metrovacesa Sa Tubos Reunidos Sa Mecalux S.A. 22 Ebro Puleva, S.A. 52 Compania Logistica De Hidrocarburos Clh, S.A. 23 24 25 26 27 28 29 30 Indra Sistemas Sa Tecnicas Reunidas, S.A. Prosegur Compania De Seguridad S.A. Elecnor Sa Nh Hoteles S.A. Sos Cuetara S.A. La Seda De Barcelona Sa Cementos Portland Valderrivas S.A. 53 54 55 56 57 58 59 60 Exide Technologies, S.A. Viscofan Sa Papeles Y Cartones De Europa S.A. Tavex Algodonera, S.A. Natra S.A. Vidrala Sa Avanzit S.A. Grupo Amper Sa 50 Appendix E: Total Observations- Spain (continued) 61 62 63 64 65 66 67 68 69 Testa Inmuebles En Renta S.A. Service Point Solutions S.A. Unipapel Sa Faes Farma Sa Adolfo Dominguez S.A. Iberpapel Gestion S.A. Aguas De Valencia S.A. Miguel Y Costas & Miguel Sa- Mcm Tecnocom Telecomunicaciones Y Energia S.A. 70 71 72 73 74 75 76 77 78 79 80 81 82 Natraceutical S.A. Dogi International Fabrics Sa Indo Intemacional Sa Azkoyen Sa Inmobiliaria Del Sur S.A. Zeltia S.A. Prim S.A. Nicolas Correa S.A. Baron De Ley S .A. Funespana S.A. Sniace S.A. Lingotes Especiales S.A. Compafiia Levantina De Edificacion Y Obras Publicas, S.A. - Cleop 83 Urbar Ingenieros S.A 84 Corporacion Financiera Alba Sa 85 Inbesos S.A. 51 Appendix F: Total Observations- Switzerland 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29 30 31 32 33 34 35 Nestle S.A. Roche Holding Ag Novartis Ag Holcim Ltd. Kuehne & Nagel International Ag Schindler Holding Ag Alpiq Holding Ag Swisscom Ag Syngenta Ag Compagnie Financiere Richemont Ag Panalpina Welttransport (Holding) Ag Clariant Ag Oc Oerlikon Corporation Ag Also Holding Ag Sgs S.A. Barry Callebaut Ag Sika Ag Georg Fischer Ag Kuoni Reisen Holding Ag Givaudan Sa Elektrizitaets-Gesellschaft Laufenburg Ag Sulzer Ag Rieter Holding Ag Chocoladefabriken Lindt Und Sprungli Ag Lonza Group Ag Valora Holding Ag Bkw Fmb Energie Ag Galenica Ag Bucher Industries Ag Geberit Ag Publigroupe Ltd Forbo Holding Ag Ratia Energie Ag Ems-Chemie Holding Ag Afg Arbonia-Forster Holdings Ag 36 37 38 39 40 41 42 43 44 45 46 47 48 49 50 51 52 53 54 55 56 Kaba Holding Ag Charles Voegele Holding Ag Jelmoli Holding Ag Daetwyler Holding Ag Kudelski Sa Nobel Biocare Holding Ag Walter Meier Ag Straumann Holding Ag Edipresse Sa Flughafen Zurich Ag Ckw Centralschweizerische Kraftwerke Tamedia Ag Swisslog Holding Ag Kardex Ag Phoenix Mecano Ag Micronas Semiconductor Holding Ag Allreal Holding Ag Von Roll Holding Ag Feintool International Holding Bossard Holding Ag Ascom Holding Ag 57 Highlight Communications Ag 58 Industrieholding Cham Ag 59 Schweiter Technologies Ag 60 61 62 63 64 65 66 67 68 69 70 Gurit Holding Ag Tecan Group Ag Affichage Holding Interroll Holding Ag Orell Ftissli Holding Ag Belimo Holding Ag Temenos Group Ag Schulthess Group Ag Komax Holding Ag Htigli Holding Ag Adval Tech Holding Ag 52 Appendix F: Total Observations- Switzerland (continued) 71 72 73 74 75 76 77 78 79 80 81 82 83 84 85 86 87 88 89 90 91 92 93 94 95 96 97 98 99 100 101 102 103 104 105 Agta Record Sa Mobilezone Holding Ag Sia Abrasives Holding Ag Psp Swiss Property Ag Tornos Holding Sa Metraux Services Sa Mikron Holding Ag Acino Holding Ag Starragheckert Holding Ag Schlatter Holding Ag Lem Holding Sa Swiss Prime Site Ag Cicor Technologies Sa Bachem Holding Ag Schaffner Holding Ag Zueblin Immobilien Holding Ag Comet Holding Ag Aires is Elma Electronic Ag Cos Computer Systems Ag Genolier Swiss Medical Network Sa Infranor Inter Ag Intershop Holding Ag Datacolor Ag Crealogix Holding Ag Sunstar-Holding Ag New Venturetec Ag 4M Technologies Holding Sa Escor Casinos & Entertainment Sa Altin Ag Novavisions Ag Creinvest Ag Bb Biotech Ag Growth Value Opportunities S.A. Spirt Avert Ag 53 Appendix G: Total Observations- United Kingdom 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29 30 31 32 33 Royal Dutch Shell Pic Bp P.L.C. Tesco Pic Vodafone Group Public Limited Company Bhp Billiton Pic Bt Group Pic Glaxosmithkline Pic J Sainsbury Pic Wolseley Pic Astrazeneca Pic Centrica Pic Rio Tinto Pic Xstrata Pic Anglo American Pic Diageo Pic Kingfisher Pic Dsg International Plc Cadbury Plc Associated British Foods Pic Inchcape Pic Balfour Beatty Pic British Sky Broadcasting Group Plc Reckitt Benckiser Group Pic Taylor Wimpey Pic Firstgroup Plc Carphone Warehouse Group Pic (The) Vedanta Resources Pic Pearson Pic Rexam Plc Carillion Pic Next Pic Carnival Pic Bunzl Public Limited Company 34 Woolworths Group Pic 35 Tomkins Pic. 36 37 38 39 Hays Pic Sig Pic International Power Pic Computacenter Pic 40 41 42 43 44 45 46 47 48 49 50 51 52 53 54 55 56 57 58 59 60 61 62 63 64 65 66 67 68 United Utilities Group Pic Travis Perkins Pic Kier Group Pic Serco Group Pic Arriva Pic John Wood Group P.L.C. Yell Group Pic The Go-Ahead Group Pic Invensys Pic Easyjet Pic National Express Group Plc Ds Smith Pic Antofagasta Plc Stagecoach Group Plc Morgan Sindall Plc Hmv Group Plc Galliford Try Pic Debenhams Pic Capita Group Pic (The) Rentokil Initial Pic Lookers Public Limited Company Dairy Crest Group Pic Babcock International Group Pic The Game Group Pic Mitie Group Plc Charter International Pic Ws Atkins Pic Persimmon Public Limited Company Bss Group Public Limited Company(The) 69 Drax Group Pic 70 The Sage Group Pic. 54 Appendix G: Total Observations- United Kingdom (continued) 71 Bellway P L C Lonmin Public Limited Company 73 Cobham Pic 74 Weir Group Pic(The) 75 Guinness Peat Group Pic 76 Burberry Group Plc 77 Berkeley Group Holdings Pic (The) 78 Ashtead Group Public Limited Company 72 105 106 107 108 109 110 111 112 Rok Pic Greene King Pic Cairn Energy Pic Informa Plc Intercontinental Hotels Group Pic Electrocomponents Pic J D Wetherspoon Plc Keller Group Pic Pennon Group Pic Bba Aviation Pic Jjb Sports Pic De La Rue Plc Costain Group Pic 92 Robert Wiseman Dairies Pic 93 Michael Page International Pic 94 William Hill Plc 95 Mcbride Plc 96 Croda International Public Limited Company 113 114 115 116 117 118 119 120 121 122 123 124 125 126 127 97 98 99 100 101 102 103 104 131 132 133 134 135 136 137 138 79 80 81 82 83 84 85 86 87 88 89 90 91 The Davis Service Group Pic Rpc Group Pic Aggreko Pic Northumbrian Water Group Pic Savills Plc Pz Cussons Plc Mouchel Group Plc Redraw Plc Findel P.L.C. Tullow Oil Pic Laird Pic Marston'S Pic Morgan Crucible Company (The) N Brown Group Pic Cranswick Plc Yule Catto & Co Public Limited Company Galiform Pic Greggs Plc Northgate Pic Shanks Group Pic Bovis Homes Group Plc Headlam Group Pic Tt Electronics Pic Pace Pic London Stock Exchange Group Pic Ssl International Pic Kcom Group Pic Millennium & Copthorne Hotels Plc Connaught Pic Misys Pic Speedy Hire Pic 128 Liberty International Plc 129 Dtz Holdings Plc. 130 Tanjong Public Limited Company Spirax-Sarco Engineering Plc Uk Coal Pic Holidaybreak Pic. Helphire Group Pic. Bodycote Plc Marshalls Plc Hill & Smith Holdings Plc Fenner Plc 55 Appendix G: Total Observations- United Kingdom (continued) 139 140 141 142 143 144 145 146 147 148 149 150 151 152 153 154 155 156 157 158 159 160 161 162 163 164 165 166 167 Ultra Electronics Holdings Pic Venture Production Plc Brammer Plc Csr Plc R P S Group Plc Umeco Plc Hunting Plc Dana Petroleum Public Limited Company Restaurant Group Plc (The) F &C Asset Management Plc Segro Plc Severfield-Rowen Plc Delta Public Limited Company Aga Rangemaster Group Plc Euromoney Institutional Investor Plc Elementis Pic Premier Oil Plc Chemring Group Plc White Young Green Plc Chloride Group Public Limited Company Low & Bonar Public Limited Company Hammerson Plc Vitec Group Plc (The) Jazztel P.L.C. Arm Holdings Pic Management Consulting Group Pic Renishaw P L C Luminar Group Holdings Plc James Fisher And Sons Public Limited Company 168 Lavendon Group Plc 169 Fuller Smith & Turner Plc 170 Clarkson Plc 171 172 173 174 175 176 177 178 Camellia Plc Autonomy Corporation Plc Forth Ports Public Limited Company Dignity Plc Tribal Group Plc Zimplats Holdings Limited St. Modwen Properties Plc Henry Boot Plc 179 180 181 182 183 184 185 186 187 188 189 190 Utv Media Plc Derwent London Plc Atrium European Real Estate Limited Cis Holdings Plc Daejan Holdings Plc Charles Taylor Consulting Plc Great Portland Estates P L C Melrose Resources Plc Caledonia Investments Plc Brixton Plc Unite Group Plc (The) Helical Bar Plc 191 Workspace Group Plc 192 193 194 195 196 197 198 199 Entertainment Rights Plc Development Securities P1c Shaftesbury Plc Mountview Estates Plc Soco International Plc Quintain Estates And Development Plc Warner Estate Holdings Plc Numis Corporation Plc 200 Town Centre Securities Plc 201 Law Debenture Corporation Plc(The) 202 A & J Mucklow Group P L C 56 Appendix G: Total Observations- United Kingdom (continued) 203 Mckay Securities P L C 204 Primary Health Properties Plc 205 Minerva Plc 206 London & Associated Properties Plc 207 Tr Property Investment Trust Pic 208 Graphite Enterprise Trust Plc 209 Tr European Growth Trust Plc 210 Candover Investments Public Limited Company 211 The Henderson Smaller Companies Investment Trust Plc 212 213 214 215 216 217 218 Jpmorgan Indian Investment Trust Plc Hansa Trust Plc Temple Bar Investment Trust Plc Jupiter European Opportunities Trust Plc Alternative Investment Strategies Limited Reed Elsevier Plc British Empire Securities And General Trust P LC 219 North Atlantic Smaller Companies Investment Trust Plc 220 Templeton Emerging Markets Investment Trust Plc 221 Svg Capital Plc 57 0.048598 0.031359 0.398323 0 0.057343 2.915817 13 .50454 1455.562 0 11.76081 0.792467 242 Mean Median Maximum Minimum Std. Dev. Skewness Kurtosis Jargue-Bera Probability Sum Sum Sq. Dev. Observations EBITDAX1 241 23.69222 9.529051 113264 .8 0 0.098308 0.054307 2.611511 0 0.19926 8.988176 107.6725 EBITDAX2 241 34.19508 4.776239 401.5038 0 0.141888 0.130558 0.76116 -0.560602 0.141071 0.403018 9.271689 EBITDAX3 Table 1: Sample EBITDA Statistics- Australia 238 41.77085 7.769456 8181.434 0 0.175508 0.160584 1.770563 -0.351326 0.181059 3.5329 30.84049 EBITDAX4 242 5.944907 1.917428 21614.74 0 0.024566 0.02032 0.498866 -0.869764 0.089197 -3.540999 48.7543 EBJTDAX5 241 -3.28092 1.470379 27182.17 0 -0.013614 -0.004613 0.178287 -0.83 2632 0.078272 -5.468816 53.86557 EBITDAX6 241 -19.53285 14.89876 15230.2 0 -0.081049 -0.028273 0.275175 -2 .169312 0.249155 -5 .668343 40.25829 EBITDAX7 238 9.149021 31.20648 312947.7 0 0.038441 2.73E-02 5.238095 -0.795804 0.362868 12.36223 178 .9 16 EBITDAX8 233 -6.792956 4.4143 78 58 217 -11.00845 26.15667 15793.09 0 -0.05073 -0.034073 1.271771 -3 .3 14568 0.347988 -4.468088 43.82703 -0.029154 -0.01069 0.701598 -0.742071 0.13794 -0.56 1995 14.66 148 1332.501 0 EBITDAXIO EBITDAX9 0.047242 0.028142 0.397235 0 0.057824 2.903443 13.01942 1352.264 0 11.43259 0.805806 242 Mean Median Maximum Minimum Std. Dev. Skewness Kurtosis Jargue-Bera Probability Sum Sum Sg. Dev. Observations EBITX1 242 22.29952 9.805322 125244.8 0 0.092I47 0.047541 2.669784 0.000389 0.201708 9.274264 112.8951 EB1TX2 241 24.60931 3.89284 506.2566 0 O.I02I I3 0.095664 0.691711 -0.563459 0.127358 -0.020706 10.10027 EBITX3 Table 2: Sample EBIT Statistics - Australia 242 29.39882 7.870511 9984.988 0 0.121483 0.112002 1.770563 -0.354565 O.I807 I4 3.567883 33.64845 EBITX4 242 5.077126 2.1 90248 42510.47 0 0. 02098 0.018037 0.497517 -1 .036367 0.095332 -4.860676 67.19821 EB1TX5 241 -3.532544 1.657778 16946. 13 0 -0.014658 -0.003396 0. 187489 -0.832772 0.0831 I I -4.777181 42.95367 EB1TX6 241 -I 0.649 13 30.21277 105270.3 0 -0.044I87 -0.021615 4.325723 -2.166982 0.354805 6.215958 104.6307 EBITX7 242 13.13043 32.40469 330367.8 0 0.054258 0.028021 5.354978 -0.762477 0.366687 12 .56097 182.2558 EBITX8 240 -3 .629868 3.673359 239 -21 .26575 37.77938 23244.63 0 -0.088978 -0.032I 18 1.272549 -4.035842 0.398418 -5.465399 50.06067 -0.015124 -0.005477 0.699431 -0.729428 0.123975 0.189787 17. 92335 2228 .505 0 EBITXIO EBITX9 59 0.041708 0.021482 0.3 13647 0 0.056252 2.725062 10.80285 913.4324 0 10.09336 0.762603 242 Mean Median Maximum Minimum Std. Dev. Skewness Kurtosis Jargue-Bera Probability Sum Sum Sg . Dev. Observations NIX! 242 18.14133 10.60267 103281.8 0 0.074964 0.028746 2.678417 0.001055 0.209749 8.951369 102.6108 NIX2 NIX3 241 15.58839 3.120246 811.6155 0 0.064682 0.062561 0.562051 -0.596241 0.114022 -0.510447 11.93211 Table 3: Sample NI Statistics- Australia 242 13 .06663 6.968502 23214.64 0 0.053994 0.062138 1.78355 -0.889126 0.170044 3.162343 50.56339 NIX4 242 3.893539 2.155084 51982.42 0 0.016089 0.010222 0.495325 -1 .058808 0.094564 -5 . 119446 74.06649 NIX5 241 -2.158348 1.085787 1067.543 0 -0.008956 -0.001363 0.289806 -0.373907 0.067262 -1.599831 12.80 171 NIX6 241 -3.629613 51.02032 292429.1 0 -0.015061 -0.014491 6.531202 -2.150469 0.461069 11.47379 172.1005 NIX7 242 13 .83881 31.00102 403303.4 0 0.057185 0.018225 5.372294 -0.205823 0.358657 13.61383 201.1305 NIX8 241 0.234858 4.138745 12169.94 0 0.000975 -0.001631 1.040841 -1 .031949 0.131319 1.020246 37.75314 NIX9 239 -27.65325 92.07129 238867 0 -0.115704 -0.018126 0.445951 -8.731183 0.621976 -11.51929 156.1531 NIXIO 60 280 280 281 Observations 31.41272 1.506082 7.298938 0.32426 6.002397 0.144925 Sum Sum Sg. Dev. 0.112188 0.103568 0.402252 -0.288352 0.073472 0.327132 7.388546 EBITDAX3 229.6863 0 4619.95 0 Jargue-Bera Probability 0.026068 0.0157 0.367779 0.000378 0.034091 5.081975 42.90002 EBITDAX2 19778.71 0 0.021361 0.014989 0.207417 0.001011 0.022751 3.490141 21.59737 Mean Median Maximum Minimum Std. Dev. Skewness Kurtosis EBITDAXl Table 4: SamJ!le EBITDA Statistics - France 277 30.92704 1.885041 2289.675 0 0.11165 0.111712 0.311408 -0.464872 0.082643 -1.918859 16.55195 EBITDAX4 280 3.066928 0.312735 12030.46 0 0.010953 0.010255 0.332977 -0.09636 0.03348 3. 195138 34.46978 EBITDAX5 281 0.188426 0.155233 280 -7.77102 8 5.216068 560998.5 0 -0.027754 -1.31 E-02 0.141537 -2 .178346 0.136732 -14 .08272 220.4679 0.000671 0.00046 0.204993 -0.111167 0.023546 2. 16576 26.69101 6791.14 0 EBITDAX' EBITDAX6 ' • I 277 1.79565 0.854425 27843 .76 0 279 -0.412978 0.301246 12765.17 0 O.v, lftrt>t,: '-;, J; J. I 1!, 0.5670 , I r;(j, I'· 1. ~ ' fl(J_ -0.424638 0.055639 0.03 2-.. 2.184757 3.136363 51.92201 35 .53816 { 'I;; '!ii 1t> 1.1, 61 278 -3.7242 8 1.0333 59 16215 .89 0 -4.423046 39.35491 47279.97 0 9.927218 1.274807 281 9543.445 0 6.813341 0.240034 281 Jargue-Bera Probabili Sum Sum Sg. Dev. Observations 0.035328 0.018961 0.779123 0.000124 0.067475 6.959496 65.00329 0.024247 0.015057 0.266153 0.000958 0.029279 4.392546 30.1647 EB1TX2 Mean Median Maximum Minimum Std. Dev. Skewness Kurtosis EBITX1 EB1TX3 281 20.90571 1.484536 239.9764 0 0.074398 0.067565 0.393531 -0.318181 0.072814 0. 160778 7.515839 Table 5: Sample EBIT Statistics - France 281 2.552345 0.510358 19.71582 1.954172 280 20107.57 0 0.009083 0.009416 0.348634 -0.38801 0.042693 -0.901763 44.40193 EB1TX5 2784.164 0 0.070414 0.074061 0.296667 -0.585914 0.083691 -2. 114055 17. 85819 EB1TX4 6344.224 0 2.524407 1.046082 280 98089.57 0 -4.644061 1.542447 281 66650.53 0 -0.1767 0.404135 281 0.009016 0.005843 0.422819 -0.462055 0.061232 -0.973946 26.23782 -0.016527 -0.010913 0.393674 -0.94896 0.074221 -6.535232 93.59205 -0.000629 0.000974 0.121895 -0.455589 0.037991 -6.47528 77.3293 7 EBITX8 EB1TX7 EB1TX6 98260.85 0 -4.597947 2.825608 25944.83 0 -0.440787 1.573863 279 -0.01648 -0.005962 0.343249 - 1.2851 77 0.100817 -7.607662 93 .66995 -0.001569 -0.002094 0.674909 -0.584072 0.074973 2.598177 49.78596 281 EB1TX10 EBITX9 62 92174.59 0 9.791616 1.714224 281 7520.929 0 6.187688 0.290248 281 Jargue-Bera Probabili Sum Sum Sg . Dev. Observations 0.034846 0.015364 1.001675 0.000724 0.078245 8.11584 90.23013 0.02202 0.01223 0.282221 0.000497 0.032196 4.291137 26.84746 NIX2 Mean Median Maximum Minimum Std. Dev. Skewness Kurtosis NIX1 Table 6: Sample NI Statistics - France 281 281 -0.333898 0.449037 281 281 9.613553 5.351044 11.21542 0.887698 28 1 -7.439876 12.76109 694485.4 0 -0.026476 -0.009554 0.184891 -3.476252 0.213484 -15 .17406 244.6495 -0.001188 0.000536 0.201127 -0.482859 0.040046 -5 .942509 79.09273 69446.3 0 NIX7 NIX6 2.517537 0.545715 1061 7.31 0 207084.5 0 1121.902 0 NIX5 0.008959 0.005734 0.326991 -0.355361 0.044147 0.401142 33 . 10271 NIX4 0.034212 0.032226 1.950471 -0.580217 0.138242 8.895836 134.7968 0.039913 0.036839 0.361142 -0.319599 0.056306 -0.458404 12.74578 NIX3 -0.654507 2. 14505 5.4563 16 3.783091 281 281 229780 .6 0 96214.39 0 181102.6 0 279 -4.77362 3.753438 -0.01711 -0.00468 1 0.205579 -1.648579 0.116196 -10.34592 142 .0609 -0.002329 -0.001258 1.027586 -0.793526 0.087527 3.200166 93.42475 0.019417 0.006669 1.603858 -0.427395 0. 11623 7 9.122304 126.0243 NIX10 NIX9 NIX8 63 0.041408 0.024549 0.947595 0 0.070302 8.501618 102.6596 0.030325 0.020747 0.158318 0 0.028206 1.938607 7.142483 374.243 0 8.46058 0.221164 279 Mean Median Maximum Minimum Std. Dev. Skewness Kurtosis Jargue-Bera Probabili Sum Sum Sg. Dev. Observations 278 11.5115 1.369032 118394.9 0 EBITDAX2 EBITDAXI 277 32.2663 9.353451 281073.3 0 0.116485 0.102089 2.769719 -0.385972 0.184091 10.87754 157.5304 EBITDAX3 Table 7: Sample EBITDA Statistics- Germany 274 32.24071 14.84646 394377.8 0 0.117667 0.100162 3.619632 -0.386812 0.233201 12.40175 187.1978 EBITDAX4 279 3.113827 0.506685 721.0519 0 0.011161 0.013236 0.151208 -0.250696 0.042692 -1.376005 10.37919 EBITDAX5 64 277 272 274 277 277 -6.246217 2.763099 -2.122413 6.537475 1.285977 8.312965 -6.824449 1.091902 0.306866 0.283538 30963.45 0 564963 .6 0 493865 0 5553 .378 0 1094.27 0 -0.02255 -0.009055 0.5407 I I -1.093287 0. 100056 -4.361815 54.05538 -0.007803 -0.003305 0.2864 -2.444403 0.155317 -14.20877 224.4547 0.004693 0.010538 0.432854 -2.689678 0.1 745 -13.44424 209.2408 -0.024637 -0.015427 0.149221 -0.560337 0.062898 -3 .092239 24.04546 0.001108 2.89E-04 0.149465 -0.185673 0.032052 -0.794658 12.60648 EBITDAX10 EBITDAX9 EBITDAX8 EBITDAX7 EBITDAX6 0.030166 0.021098 0.145512 0.000807 0.028311 1.761558 6.014988 249.9665 0 8.416389 0.222813 279 Mean Median Maximum Minimum Std. Dev. Skewness Kurtosis Jargue-Bera Probabili Sum Sum Sg. Dev. Observations EBITX1 279 18.9538 4.697222 15.11991 1.967818 279 68427.97 0 0.067935 0.058788 1.633726 -0.405647 0.129986 6.393766 78 .6489 EBITX3 13193.92 0 0.054193 0.02739 0.839626 0.001509 0.084134 4.747398 35 .32352 EBITX2 Table 8: Sample EBIT Statistics - Germany 279 279 2.802247 0.489172 16.2132 8.732002 278 0.606492 0.275026 95 7.5646 0 0.002182 0.001027 0.149662 -0.183876 0.03151 -0.417019 12.05383 0.010044 0.011611 0.127695 -0.24546 0.041948 -1.204614 9.516464 561.1234 0 EBITX6 EBITX5 68333.84 0 0.058112 0.054331 2.161963 -1 .044757 0.177229 5.124017 78.9813 EBITX4 279 279 19739.18 0 5762.714 0 8.015562 4.401946 0.02873 0.015269 1.207126 -0.727316 0. 125835 3.68541 43.54213 -0.022357 -0.01471 8 0.197629 -0.561484 0.062694 -2 .797646 24.55018 -6.237588 1.092697 EBITX8 EBITX7 279 -11.07864 5.901932 2.338763 3.513536 279 40776. 56 0 -0.039708 -0.011821 0.19558 -1 .646855 0.145705 -6.346262 60.84946 EBITX10 73577.42 0 0.008383 -0.001374 1.362939 -0.471573 0.112422 6.496678 81.4883 EBITX9 65 15.11965 2.392255 10.83245 0.926377 279 Sum Sum Sg. Dev. Observations 279 11824 0 5000.144 0 Jargue-Bera Probabili 0.054192 0.024294 0.894633 0.00078 0.092764 4.72859 1 33.45783 0.038826 0.020472 0.438961 0.000525 0.057726 3.884003 22.22961 NIX2 Mean Median Maximum Minimum Std. Dev. Skewness Kurtosis NIX! NIX3 279 8.269886 3.648985 2681.419 0 0.029641 0.031674 0.685289 -0.66 1439 0.114568 -0.911193 18.07775 Table 9: Sample NI Statistics - Germany 279 279 279 279 -4.893699 2.247695 0.0 15384 0.955982 0.85 1561 1.802164 4.791806 5.006279 3913.169 0 3087.405 0 16339.28 0 10478.5 0 279 279 3.042186 3.821405 7.680741 4.769048 279 -10.7 1612 6.202058 24373 .63 0 64972.65 0 24017.39 0 NIXIO -0.038409 -0.007697 0.473147 -1.550298 0.149364 -5.428372 4 7.48356 NIX9 0.010904 0.000511 1.398999 -0.424038 0.117244 6.474943 76.62979 0.02753 0.011551 1.296963 -0.746349 0.130977 4.130732 47.69631 -0.01754 -0.0 11712 0.581051 -0.6 10199 0.089918 0.411237 21.32867 5.51E-05 0.001654 0.377308 -0.356164 0.058641 -0.836458 19.2 1063 0.003052 0.006997 0.344662 -0.782971 0.080515 -3 .972949 39.63867 0.0 17175 0.026077 1.012264 -1.088228 0.134195 -0.555203 33.00239 NIX8 NIX7 NIX6 NIX5 NJX4 66 0.091139 0.021056 0.702059 0.001308 0.207632 2.629482 7.995788 43 .8455 0 1.822771 0.819109 20 Mean Median Maximum Minimum Std. Dev. Skewness Kurtosis Jargue-Bera Probability Sum Sum Sg. Dev. Observations EBITDAXI 20 1.734593 0.795106 224.1725 0 0.08673 0.032415 0.946906 0.00986 0.204567 3.992069 17.32692 EBITDAX2 20 4.82132 2.858092 164.2136 0 0.241066 0.168461 1.816061 -0.024718 0.387848 3.553098 15 . 10613 EBITDAX3 Table 10: Sample EBITDA Statistics- New Zealand 20 2.714068 0.63612 2.360244 0.307241 0.135703 0.160215 0.475591 -0.339725 0.182975 -0.740763 3.798358 EBITDAX4 20 0.173078 1.65923 39.25949 0 0.008654 7.01E-03 0.892072 -0.920834 0.295513 -0.237301 9.847345 EBITDAX5 20 20 20 20 67 20 0.896538 2.220746 -0.602159 0.395578 0.033398 0.492287 -0.35 1979 0.632915 0.148579 0.479796 219.7388 0 199.4251 0 157.0816 0 0.044827 -0.028415 1.479155 -0.128522 0.341879 3.960665 17. 1753 -0.030108 0.001438 0.072162 -0.628887 0.144291 -3.81771 16.45401 0.00167 0.01728 0.145664 -0.648785 0.160965 -3.4 73627 14.84203 32.0013 0 -0.0 17599 -0.0111 0.528874 -0.572526 0.182514 -0.076902 9.194991 0.007429 0.002887 0.504672 -0.461439 0.15891 0.269911 9.5 13097 EBITDAX10 EBITDAX9 EBITDAX8 35.5932 0 EBITDAX7 EBITDAX6 0.091055 0.021277 0.70306 0.002503 0.206822 2.629822 7.999841 43.88522 0 1.821092 0.812731 20 Mean Median Maximum Minimum Std. Dev. Skewness Kurtosis Jargue-Bera Probability Sum Sum Sg. Dev. Observations EBITXI 20 1.710972 0.804882 223 .2164 0 0.085549 0.030866 0.950576 0.005311 0.205821 3.986337 17.29322 EBITX2 20 4. 172139 2.82471 179.2834 0 0.208607 0.139535 1.789757 -0.030856 0.385576 3.673352 15.69512 EBITX3 Table 11: Sample EBIT Statistics- New Zealand 20 1.651658 0.553764 I 0.48635 0.005283 0.082583 0.131444 0.280653 -0.384885 0.17072 -1.51245 4.852998 EBITX4 20 0.118801 1.648214 39.26054 0 0.00594 0.002876 0.884298 -0.922149 0.29453 -0.257021 9.84459 EBITX5 20 0.153 33 0.477131 35.85113 0 0.007667 0.001298 0.505633 -0.4578 1 0. 158468 0.310633 9.529577 EBITX6 20 -0.019682 0.500601 -0.291679 0.629621 20 152.0156 0 -0.000984 0.019536 0. 164634 -0.654472 0.162319 -3.420967 14.64503 -0.014584 -0.009319 0.529382 -0.567062 0. 182038 -0.075375 9.125747 31 .28958 0 EBITX8 EBITX7 20 -0.629162 0.393303 197.6336 0 -0.031458 -0.003259 0.08143 -0.627906 0.143875 -3.800199 16.39382 EBITX9 20 1.029227 2.21 7727 219.7009 0 0.05146 1 -0.02256 1.484782 -0.111091 0.341647 3.961528 17. 17273 EBITXIO 68 0.022687 0.015877 0.070602 0.001648 0.01914 1.049087 3.165813 3.691523 0.157905 0.453747 0.006961 20 Mean Median Maximum Minimum Std. Dev. Skewness Kurtosis Jargue-Bera Probability Sum Sum Sg. Dev. Observations NIX1 1.703843 0.119019 20 20 1.038299 0.595026 0.085192 0.064788 0.235226 -0.054247 0.079146 0.340171 2.115074 NIX3 0.715418 0.041548 84.24414 0 0.035771 0.023817 0.211608 0.001181 0.046763 2.883242 11 .23654 NIX2 Table 12: Sample NI Statistics- New Zealand 20 1.88919 0.493828 25.7939 0.000003 0.09446 0.086309 0.613821 -0.312398 0.161217 0.920963 8.249761 NIX4 0.068976 0.015804 -0.047263 0.013919 20 20 6.198148 0.045091 5.398001 0.067273 0.077283 0.962095 20 -0.027231 0.028487 -0.001362 0.000118 0.111973 -0.071123 0.038721 0.754581 5.271609 0.003449 -0.001523 0.081006 -0.060362 0.028841 0.701251 5.123815 -0.002363 -0.004502 0.048352 -0.060842 0.027066 0.004704 2.695613 NIX? NIX6 NIX5 8.091834 0.017494 -0.578445 0.039655 0.487422 0.783714 -0.064052 0.007818 20 1.001616 0.300588 20 185.3306 0 20 -0.028922 -0.028879 0.04051 -0.160654 0.045685 -1.241519 4.882742 -0.003203 -0.00387 0.043784 -0.046623 0.020285 0.224282 3.619433 0.050081 0.016122 0.567751 -0.0245 0.125779 3.72675 15 .91674 N1X10 N1X9 N1X8 69 0.023264 0.020684 0.066007 0.001305 0.0 15026 0.676554 2.968822 6.48789 0.03901 1.977401 0.018965 85 Mean Median Maximum Minimum Std. Dev. Skewness Kurtosis Jargue-Bera Probability Sum Sum Sg. Dev. Observations EBITDAXI 85 2.703561 0.2 13483 1702 .5 0 0.031807 0.01575 0.340137 0.000862 0.050413 4.253992 23.20693 EBITDAX2 85 11.05121 0.334673 84.2669 0 0.130014 0.12007 0.398955 0.026276 0.063121 1.529824 6.798889 EBITDAX3 Table 13: Sample EBITDA Statistics- Spain 85 11.80922 0.802725 1363 .169 0 0.138932 0.126126 0.765197 -0.042105 0.097756 3.241712 21.51648 EBITDAX4 85 1.405274 0.055567 128.9593 0 0.016533 1.93E-02 0.073901 -0.10604 0.02572 -1.493613 8.242949 EBITDAX5 85 0. 140206 0.013938 23.98731 0.000006 0.001649 0.001864 0.051397 -0.02 I 827 0.012881 0.859928 4.953199 EBITDAX6 85 -2.222 142 0.083431 90.65182 0 -0.026143 -0.026842 0.061439 -0.171804 0.031515 -1.127659 7.528725 EBITDAX7 85 1.848413 0.337594 2740.44 0 0.021746 0.009551 0.461268 -0.082617 0.063395 4.292438 29.45886 EBITDAX8 83 -0.587 112 0. 163457 70 85 - 1.552208 0.325542 763.5345 0 -0.018261 -0.00587 0.07936 -0.323526 0.062254 -3.30346 1 16. 11239 -0.007074 -0.003373 0.158725 -0.231966 0.044647 -1.112271 14.02386 437 .3896 0 EBITDAXIO EBITDAX9 13571.24 0 6. 140053 0.04642 1.876597 0.015211 85 Jargue-Bera Probability Sum Sum Sg. Dev. Observations 85 3.400389 0.752133 0.040005 0.018538 0.844444 0.000781 0.094625 7.440721 63 .0868 0.022078 0.019739 0.056899 0.001024 0.013457 0.626043 2.59264 EBITX2 Mean Median Maximum Minimum Std. Dev. Skewness Kurtosis EBITX1 EBITX3 85 7.779774 0.287599 204.0174 0 0.091527 0.074136 0.37409 -0.027142 0.058513 1.992696 9.459223 Table 14: Sample EBIT Statistics - Spain 85 9.060813 3.140068 15195.38 0 0.106598 0.08325 1.77393 -0.094729 0.193344 7.662401 66.68368 EBITX4 85 85 -1.883336 0.063408 -0.024169 0.019632 1.391766 0.046484 7.218123 0.027077 97.0127 0 133 .9299 0 85 -0.022157 -0.020445 0.057935 -0.11521 0.027475 -0.345096 4.249677 -0.000284 0.000405 0.053727 -0.066515 0.015288 -0.554123 8.115038 0.016374 0.02103 0.05674 -0.093133 0.023524 -1.570124 8.287188 EBITX7 EBITX6 EBITX5 3981 .54 0 -2.219038 0.613533 6634.881 0 -1 .092686 0.445801 85 14892.57 0 3.030433 1.397365 85 85 -0.026106 -0.009132 0.067621 -0.643835 0.085463 -5.111188 34.93278 -0.012855 -0.002171 0. 134524 -0.579628 0.07285 -5.718294 44.74425 0.035652 0.015602 1.145191 -0.087235 0.128978 7.62472 66.0271 EBITX10 EBITX9 EBITX8 71 17061.67 0 2419.823 0 2.434863 0.091074 85 Jargue-Bera Probability Sum Sum Sg . Dev. Observations 85 5.280765 3.649961 0.062127 0.015646 1.885173 0.000766 0.208451 8.043016 70.5178 0.028645 0.020609 0.252174 0.001958 0.032927 4.381061 27.6266 N1X2 Mean Median Maximum Minimum Std. Dev. Skewness Kurtosis NIX I Table 15: Sample NI Statistics - Spain 85 5.207307 0.331796 49.47466 0 0.061262 0.053584 0.299889 -0.119329 0.062849 0.876755 6.300684 NIX3 85 8.477245 14.7865 21845.87 0 0.099732 0.052935 3.881903 -0. 168178 0.419559 8.763222 79.55761 NIX4 85 1.075078 0.404892 8730.102 0 0.012648 0.018481 0.142413 -0.545328 0.069427 -6.261063 51.04338 N1X5 85 -0.03094 0.055945 349.0801 0 -0.000364 -0.001391 0.138836 -0.064199 0.025807 1.517418 12.4527 NIX6 85 -1.810951 0.126126 264.7727 0 -0.021305 -0.023767 0.162743 -0.105977 0.038749 1.821608 10.84132 NIX7 85 4.890261 6.645538 19402.68 0 0.057532 0.014328 2.556574 -0.123788 0.281271 8.402734 75.08315 NIX8 85 -1.141321 2.011199 10985.29 0 -0.013427 0.000967 0.25154 -1 .294352 0.154735 -6.807692 57.00326 N1X9 85 -3.906841 2.460403 9461 .828 0 -0.045963 -0.010719 0.072507 -1.436923 0.171145 -6.624564 52.96034 NIXIO 72 0.031628 0.016634 0.340137 0 0.048141 4.209441 23.80895 0.029964 0.021459 0.59757 0 0.059841 8.589096 81.79755 27371.6 1 0 3.026322 0.358097 101 Mean Median Maximum Minimum Std. Dev. Skewness Kurtosis Jargue-Bera Probability Sum Sum Sg. Dev. Observations 100 3. 162762 0.229442 2099.542 0 EBITDAX2 EBITDAX I 99 9.500278 3.582567 15939.02 0 0.095962 0.111115 0.398955 -1.59537 0.191198 -7. 132271 63.50229 EBITDAX3 Table 16: Sample EBITDA Statistics - Switzerland 98 12.00191 1.121949 729.8835 0 0.122468 1.21 E-0 I 0.765197 -0.216783 0. 107548 1.79241 15 .88006 EBITDAX4 101 1.539309 0.127925 728 .8475 0 0.015241 0.016182 0. 187037 -0.179307 0.035767 -0.940419 16.02513 EBITDAX5 99 1.60405 2.504214 34646.71 0 0.016203 0.001783 1.57270 I -0.165049 0. 159854 9.450323 92.67702 EBITDAX6 99 -3 .235534 0.78934 18132 .09 0 -0.032682 -0.0209 0.061439 -0.83966 0.089747 -7.491963 67.58437 EBITDAX7 98 1.634142 0.386212 2713 .018 0 0.016675 0.008855 0.461268 -0. 12535 0.0631 3.758753 27 .65562 EBITDAX8 96 -0.641376 0.190129 378.5469 0 -0.006681 -0.0033 0.158725 -0.231966 0.044737 -0.973375 12 .53136 EBITDAX9 73 100 -1.700908 0.420848 592.5575 0 -0.017009 -0.005657 0.130706 -0.323526 0.0652 -2.79843 13 .53038 EB ITDAXIO 0.041005 0.0 I9534 0.844444 0.000781 0.087301 7.644527 69.86269 0.03 I 547 0.019829 0.603072 0.000702 0.062327 7.692407 69.31525 20275.52 0 3.312455 0.404003 105 Mean Median Maximum Minimum Std. Dev. Skewness Kurtosis Jargue-Bera Probability Sum Sum Sg. Dev. Observations 105 4.305487 0.792628 20581.64 0 EBITX2 EBITXI 105 5.822278 3.839655 13649.49 0 0.05545 0.069093 0.37409 -1.618522 0.192145 -6.701524 57.22399 EBITX3 Table 17: Sample EBIT Statistics- Switzerland 105 8.559591 3.698 164 16783.89 0 0.08152 0.07344 1.77393 -0.30 1224 0.188572 6.784673 63.43336 EBITX4 105 1.982169 0.269363 6869.361 0 0.018878 0.018363 0.425194 -0.093133 0.050892 5.027152 41.3282 EBITX5 105 1.35 1548 2.51696 40148.28 0 0.012872 -0.00048 I 1.567545 -0.116918 0.155568 9.629668 96.83938 EBITX6 105 -0.046062 7.876943 29567.43 0 -0.000439 -0.017183 2.643114 -0.848553 0.275209 8.277 195 83.52467 EBITX7 105 3.40772 1.48924 22350.83 0 0.032454 0.015325 1.145191 -0.106702 0.119665 7.79682 72.75384 EBITX8 105 -0.830435 0.496433 8795.731 0 -0.007909 -0.00 1661 0.151221 -0.579628 0.06909 -5.434871 46.50059 EBITX9 105 -3 .012094 0.743679 3362.449 0 74 -0.028687 -0.0081 2 1 0.080228 -0.643835 0.084562 -4.360689 29.31535 EBITX10 0.04938 0.022673 1.368816 0.000998 0. 139674 8.285567 77.57698 25533.93 0 5. 18489 2.028932 105 Mean Median Maximum Minimum Std. Dev. Skewness Kurtosis Jargue-Bera Probability Sum Sum Sg. Dev. Observations NIXI 105 6.78932 3.879837 25017.01 0 0.06466 0.017258 1.885173 0.000766 0.193148 8.20237 76.81774 NIX2 105 0.772177 13.93461 28010.9 0 0.007354 0.050423 0.299889 -3.490774 0.366042 -8.52811 81.17657 NIX3 Table 18: Sample NI Statistics - Switzerland 105 7.970398 15.48854 36062.11 0 0.075909 0.047747 3.881903 -0.460044 0.385912 9.219372 91.89758 NIX4 105 2.212375 0.976761 1288.228 0 0.02107 0.017466 0.495585 -0.545328 0.096912 -0.077465 20.15891 NIX5 105 3.988656 16.058 43201.35 0 0.037987 -0.000948 4.000351 -0.184241 0.392943 9.902977 I 00.3772 NIX6 105 -1.487081 11 .23676 11871.91 0 -0.014163 -0.021975 2.68698 -1.890116 0.328703 3.539751 54.60871 NIX7 105 5.6306 15 6.873949 32458 .56 0 0.053625 0.01364 2.556574 -0.123788 0.257091 8.938591 87 .25857 NIX8 105 0. 396002 2.620059 8598.406 0 0.003771 0.001421 0.631646 -1.294352 0. 158723 -4.62137 46 .35806 NIX9 105 -6.264591 3.361377 5372.04 0 -0.059663 -0.012215 0.072507 -1.436923 0.17978 -5 .246271 36.43354 NJX10 75 0.025419 0.015464 0.705879 0 0.052159 10.38099 133 .3484 5.592231 0.595811 220 0.029467 0.017569 0.20047 0 0.033742 2.369595 9.416792 585.9735 0 6.512125 0.250472 221 Mean Median Maximum Minimum Std. Dev. Skewness Kurtosis Jargue-Bera Probabili Sum Sum Sg. Dev. Observations 159699.4 0 EBITDAX2 EBITDAX1 217 29.78614 1.765913 43.1272 0 0.137263 1.24E-O I 0.483594 -0.080674 0.090419 0.848084 4.375806 EBITDAX3 216 29.09813 2.37416 6152.351 0 0.134714 0. 125583 1.048542 -0.108033 0.105084 3.273592 28.31262 EBITDAX4 Table 19: Sample EBITDA Statistics- United Kingdom 219 2.936325 0.447254 1247.223 0 0.013408 0.009656 0.29568 -0.20799 0.045295 0.231257 14.68195 EBITDAX5 217 -5.508164 0.769462 -0.50013 0.235697 215 504.4227 0 -0.025383 -0.016287 0.200103 -0.341564 0.059685 -1.362352 9.954472 EBITDAX7 3424.399 0 -0.002326 0.000667 0.098109 -0.242465 0.033187 -2.899829 21.67144 EBITDAX6 14779.69 0 -4.47 8562 1.016767 207 159189.2 0 -1.006146 0.590486 216 60402.26 0 216 76 -0.021636 -0.009659 0.182329 -0.648659 0.070255 -5.267358 43.03258 -0.004658 7.14E-05 0.07101 -0.685966 0.052407 -10.47172 134.3357 0.012139 0.007766 0.664265 -0. 15716 0.056591 6.898434 83 .75276 2.622131 0.688551 EBITDAXIO EBITDAX9 EBITDAX8 0.029397 O.O I8864 0.181545 0.001342 0.03073 2.34 1546 9.26971 563 .9241 0 6.496646 0.207756 221 Mean Median Maximum Minimum Std. Dev. Skewness Kurtosis Jargue-Bera Probability Sum Sum Sg. Dev. Observations EBITX1 221 221 23.20231 1.280688 68.6227 1 0 4436 1.86 0 7.37585 1 0.798953 0.104988 0.095112 0.379539 -0.148885 0.076298 0.78565 5.23232 EBITX3 0.033375 0.0 I 9338 0.693369 0 0.060263 7.176792 70.90841 EB ITX2 EBITX4 22 1 20.35966 2. 108035 11 880.38 0 0.092 I25 0.083519 1.0 I0477 -0. 334101 0.097888 3.492222 38.23343 Table 20: Sample EBIT Statistics- United Kingdom 221 1.997619 0.453504 744.8457 0 0.009039 0.009609 0.267685 -0.207321 0.045402 -0.044529 11.99335 EBITX5 221 0.037539 0.234876 4020.057 0 0.00017 0.000 169 0.099072 -0.247599 0.032674 -2.63974 23.21619 EB ITX6 221 -4.163958 0.653522 354.0136 0 -0.0 18841 -0.013792 0.130355 -0.273905 0.054503 -1.318 197 8.6 11982 EBITX7 221 4.051915 0.912691 20 163 .58 0 0.018334 0.011652 0.652479 -0.247407 0.06441 4.735131 48.82602 EB ITX8 220 -2.373254 1.174667 28478 .61 0 -O.OI0788 -0.000376 0.193485 -0.66736 0.073238 -6.3808 14 57.2577 EB ITX9 219 -4.714476 2.228543 50201 .54 0 -0.02 I 527 -0.010203 0.275184 -1.136781 0. 101107 -7.269246 75.73356 EB ITX10 77 0.040959 0.018083 0.679737 0.000974 0.077177 4.94313 33.8 1956 0.032456 0.019506 0.24643 0.000485 0.036302 2.566849 11.49849 907.7496 0 7.172807 0.289928 221 Mean Median Maximum Minimum Std. Dev. Skewness Kurtosis Jargue-Bera Probability Sum Sum Sg. Dev. Observations 17.75475 1.472234 22 1 221 411.7895 0 0.080338 0.067197 0.379452 -0.375908 0.081804 -0.3 54024 9.649654 NIX3 9.05 1869 1.3 10399 9646.498 0 NIX2 NIX I Table 21: Sample NI Statistics- United Kingdom 22 1 15.49774 1.882991 17050.99 0 0.070126 0.058185 0.980967 -0.177751 0.092515 4.647204 45.01554 NIX4 22 1 0.894368 0.575195 608. 1746 0 0.004047 0.007785 0.197977 -0.275306 0.051132 -1.660849 10.41704 NIX5 221 1.092864 0.406389 1648.0 18 0 0.004945 0.00 1084 0.24195 -0.262549 0.042979 -0.20949 16.37142 NIX6 22 1 -3.8 19608 0.59398 358.0 131 0 -0.017283 -0.013755 0.152793 -0.323203 0.051961 -0.756787 9.04883 NIX7 -2.442545 1.098786 221 22 1 220 -6.909837 2. 122254 6794.913 0 -0.03 1408 -0.008562 0.121952 -0.789799 0.098441 -4.527174 28.67649 -0.011052 -0.000667 0.296995 -0.647017 0.070672 -3.894139 35.98054 I 0574.6 0 NIXIO NIX9 7.148438 1.707 152 5775 .682 0 0.032346 0.0 11 475 0.649981 -0.151376 0.08809 4.28469 26.53272 NIX8 78 0.046462 2.28E-02 2.611511 0 0.107113 13.618 284.7764 0.037573 0.020788 0.702059 0 0.058623 5.624165 48.10082 110641.2 0 46.17763 4.220178 1229 Mean Median Maximum Minimum Std. Dev. Skewness Kurtosis Jargue-Bera Probability Sum Sum Sg. Dev. Observations 1224 56.86904 14.03181 4087127 0 EBITDAX2 EBITDAX1 1218 156.3917 25.65296 748679 .3 0 0.1284 0.11379 2.769719 -1.59537 0. 145186 5.078924 124.0335 EBITDAX3 1205 162.3027 31.12138 1899183 0 0.134691 0.121064 3.619632 -0.464872 0.160774 9.814885 196.4961 EB1TDAX4 Table 22: Sample EBITDA Statistics -Entire Sample 1226 24.84498 7.543967 145858.4 0 0.020265 0.013577 0.892072 -0.920834 0.078475 0.333845 56.43086 EBITDAX5 1218 -5.460722 5.954639 2748420 0 -0.004483 -0.000529 1.572701 -0.832632 0.069949 7.543401 235.225 EBITDAX6 1218 -51.18547 26.17579 609071.7 0 -0.042024 -0.017366 0.528874 -2.178346 0.146658 -8.871874 111.1045 EBITDAX7 1205 20.05539 42.7656 13790671 0 0.016643 1.03E-02 5.238095 -2.689678 0.188466 15.17341 526.2094 EBITDAX8 1201 -13.32446 12.72372 3658366 0 -0.011094 -0.002052 0.701598 -2.444403 0.102971 -11.79281 272.3513 EBITDAX9 79 1184 -28.73509 34.21129 1094773 0 -0.024269 -0.00987 1.479155 -3 .314568 0.170056 -7.078436 151.2934 EBITDAX10 0.052953 0.02533 2.669784 0 0.115717 11.75647 226.1441 65.29166 16.49713 1233 0.037891 0.021161 0.70306 0 0.058592 5.563249 47.378 107538.4 0 46.71959 4.229433 1233 Jargue-Bera Probability e Mean Median Maximum Minimum Std. Dev. Skewness Kurtosis Sum Sum ~1 Observations 2586532 0 EBITX2 EBITX1 1232 109.2131 19.99592 255832.9 0 0.088647 0.076839 1.789757 -1.618522 0.127451 1.491682 73 .53266 EBITX3 Table 23: Sample EBIT Statistics- Entire Sample 1232 106.5509 27.05436 212039.1 0 0.086486 0.077625 2.161963 -1.044757 0.148248 4.570658 66.6165 7 EBITX4 1233 22.29484 8.055577 174375.9 0 0.018082 0.012532 0.884298 -1.036367 0.080862 -0.391454 61 .25432 EBITX5 1231 -5.434849 6.381013 2123407 0 -0.004415 -0.000155 1.567545 -0.832772 0.072026 6.477775 206.0538 EBITX6 1232 -33.37972 44.3 1656 3926419 0 -0.027094 -0.015579 4.325723 -2 .166982 0.189738 9.72499 278.8811 EBITX7 1232 35.62506 41.89313 16554474 0 0.028916 0.014127 5.354978 -0.762477 0. 184477 20.0496 569.4643 EBITX8 1230 -7.468634 11.25318 149469.5 0 -0.006072 -0.002086 1.362939 -0.729428 0.095689 1.844471 56.87829 EBITX9 1226 -46.82489 53.3292 1027815 0 -0.038193 -0.012107 1.484782 -4.035842 0.208648 -8.43 802 143.8388 EBITXIO 80 61.66803 20.59029 1233 41.40079 4.438321 1233 Sum Sum Sg. Dev. Observations 1692106 0 2159889 0 Jargue-Bera Probability 0.050015 0.019321 2.678417 0.000526 0.129278 11.13619 183.1119 0.033577 0.016954 1.368816 0 0.060021 10.68529 206.9238 NIX2 Mean Median Maximum Minimum Std. Dev. Skewness Kurtosis NIX! 1232 59.54075 24.06603 5796893 0 0.048329 0.049243 0.685289 -3.490774 0. 139821 -13.53737 337.9529 NIX3 Table 24: Sample NI Statistics - Entire Sample 1233 56.87373 35 .94771 2742954 0 0.046126 0.041197 3.881903 -1 .088228 0.170817 10.88289 233 .0371 NIX4 1233 10.74769 6.154469 222722.2 0 0.008717 0.007853 0.495585 -1.058808 0.070679 -3 .723176 68.42001 NIX5 1232 2.804779 19.1785 37541361 0 0.002277 0.000278 4.000351 -0.482859 0.124818 26.57769 856.5219 NIX6 1232 -22.40387 78.01112 8931393 0 -0.018185 -0.012049 6.531202 -3.476252 0.251738 12.30019 419.3928 NIX7 1233 41.73918 48.93075 10100728 0 0.033 852 0.010825 5.372294 -0.746349 0.19929 18 .1086 444.9233 NIX8 1232 0.6 15196 14. 13068 1227 -58.18813 109.7778 17366938 0 -0.047423 -0.008921 0.473147 -8 .731183 0.299235 -21 .03623 584.3136 0.000499 -0.000666 1.398999 -1 .294352 0.10714 1.313333 71.48117 241090.6 0 NIX10 NIX9 81