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  "documentTitle": "Pioneer Natural Resources (PXD)",
  "authorId": "04_Greenlight_Capital",
  "authorName": "David Einhorn",
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  "presentationDate": "2015-05-04 00:00:00",
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  "notes": "Uses an hourglass illustration to represent the time value of money.",
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      "text": "It's fair to say that Pioneer is losing about 20 cents of present value for every dollar it invests.",
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      "text": "Value destruction: -$4",
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      "text": "You have to take the time value of money into account. The well is paid for upfront, but the oil – and hence the revenue – comes over 50 years. Pioneer has an 8.4% weighted average cost of capital. When you take that into account, the present value of the cash flows falls to $16 per BOE, which doesn't cover the upfront capital investment. It's fair to say that Pioneer is losing about 20 cents of present value for every dollar it invests.",
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      "text": "Source: Greenlight calculation based upon gross cash flow estimate from slide 40 and Greenlight capital expenditure estimate in slide 55. Greenlight estimated cost of capital for Pioneer based on figures in Pioneer Form 10-K...",
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      "text": "Gross cash flow $30; WACC 8.4%; PV of cash flow $16; Capital investment -$21; Value destruction -$4",
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      "text": "Return on capital at strip with cost cuts",
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