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  "documentTitle": "E.I. du Pont de Nemours and Company (DuPont) (DD)",
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  "authorName": "Nelson Peltz",
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  "presentationDate": "2015-02-17 00:00:00",
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  "notes": "Uses a competitor (Monsanto) as a benchmark to highlight DuPont's inefficiency.",
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      "kind": "callout",
      "text": "~1.5x incremental leverage at DuPont yields earnings accretion of 9% by 2017. (DuPont's EPS has fallen >7% between 2011 and 2014)",
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      "text": "~1.5x incremental leverage at DuPont yields earnings accretion of 9% by 2017(3)",
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      "text": "With today's record-low interest rates, DuPont should be utilizing its balance sheet to enhance long-term shareholder returns. DuPont's current leverage is a modest 0.5x. One of DuPont's fiercest competitors – Monsanto – increased its net leverage target.",
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      "text": "Monsanto announced a fundamental change in its idea of an appropriate capital structure... Monsanto intends to begin an accelerated share repurchase program of $6b... - JP Morgan (6/26/14)",
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      "text": "Monsanto announced a fundamental change in its idea of an appropriate capital structure...Monsanto intends to begin an accelerated share repurchase program of $6b in 4Q:F14 or 1Q:F15 and to repurchase $11b in shares over a two year period or approximately 85 million shares or 16% of outstanding common [shares]. Monsanto is a good free cash flow generator and maintaining a 1.5x leverage target would imply meaningful future repurchase beyond the current $11b target by mid 2016. — JP Morgan (6/26/14)",
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      "text": "(1) LTM 12/31/2014 Net Debt / Adjusted EBITDA. (2) As per Bloomberg consensus estimates and SEC filings. (3) Assumes shares repurchased at a 10% premium to $76.10 stock price...",
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      "text": "DuPont's Balance Sheet Is Inefficient",
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