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  "documentTitle": "E.I. du Pont de Nemours and Company (DuPont) (DD)",
  "authorId": "06_Trian_Partners",
  "authorName": "Nelson Peltz",
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  "presentationDate": "2015-02-17 00:00:00",
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  "notes": "Uses a 'preempt_rebuttal' strategy by adopting the opponent's (DuPont's) methodology to prove the activist's (Trian's) point.",
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      "kind": "callout",
      "text": "The elimination of just these excess costs implies 26% to 55% of incremental shareholder value(5)",
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      "text": "The elimination of just these excess costs implies 26% to 55% of incremental shareholder value",
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      "text": "DuPont asserts that Trian has used \"faulty extrapolations\"(1) to arrive at the estimated $2-$4bn of excess costs. DuPont might say that Trian's methodology (Approach #1 and Approach #2) is flawed because i) DuPont allocates corporate costs by employee count, and ii) Coatings had an oversized number of employees, thereby inflating the allocated / excess corporate costs at the business. Regardless, by DuPont's own methodology, there are $1.7bn of excess costs",
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      "text": "excess corporate costs: $1.7bn",
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      "kind": "source-note",
      "text": "(1) James Collins... (2) See page 71... (3) Estimated number of employee... (4) DuPont 2011 Form 10-K... (5) Incremental value estimated...",
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      "text": "Approach #3 - % of Employees ($ in millions) At Axalta / Coatings 2011 Adj. EBITDA - DuPont, before Unallocated Corporate $420 80 = 2011 Adj. EBITDA - DuPont, after Unallocated Corporate $339 2011 Adjusted EBITDA - Axalta $568 - 2011 Adj. EBITDA - DuPont, before Unallocated Corporate 420 Excess Allocated Corporate $148 Axalta Employees 13,000 Total 2011 DuPont Employees 70,000 % of Employees 18.6% Extrapolation to DuPont Excess Allocated Corporate $148 ÷ % of Employees 18.6% Implied Excess Allocated Corp Costs $799 + 2014 Unallocated Corp 907 = Total Excess Corporate Costs $1,706",
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      "text": "Estimated Excess Corporate Costs: DuPont's Methodology",
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