{
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  "docSlug": "715a408c4252",
  "documentTitle": "Multiple (ValueAct portfolio: Moody's, CBRE, Motorola Solutions, Adobe, Halliburton, Autodesk, Gardner Denver, Sara Lee, Verisign, CR Bard)",
  "authorId": "10_ValueAct",
  "authorName": "Jeff Ubben",
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  "presentationDate": "2012-10-01 00:00:00",
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  "notes": "The slide uses a table to illustrate how cyclical companies manage leverage and revenue stability.",
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      "kind": "list",
      "text": "Make sure financial leverage is appropriate for the cyclicality of the business\nDon't throw good money after bad\nHigh preference for organic growth",
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      "text": "Net Financial Leverage",
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      "kind": "paragraph",
      "text": "Response: The three most cyclical companies in our portfolio today:",
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      "kind": "source-note",
      "text": "*2011 year-end net debt divided by 2011 EBITDA\n*Revenue Model data is from company financials for Autodesk and Gardner Denver and a VAC estimate for Halliburton",
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      "text": "Company | Net Financial Leverage* | Revenue Model*\nHalliburton | 0.4x | 50%+ of revenue now from long-term contracts\nAutodesk | -2.8x | 39% of revenue from maintenance\nGardner Denver | 0.6x | 32% of revenue from aftermarket -> goal of 40-45%",
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      "kind": "title",
      "text": "Leverage: Lessons Learned",
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