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  "docSlug": "886ebab3088d",
  "documentTitle": "Herbalife, Ltd. (HLF)",
  "authorId": "01_Pershing_Square",
  "authorName": "William Ackman",
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  "presentationDate": "2012-12-20 00:00:00",
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  "notes": "The slide uses a bottom-up estimation approach to fill a disclosure gap in SEC filings.",
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      "kind": "callout",
      "text": "Herbalife does not disclose the amount of Wholesale Commissions paid to distributors in its SEC filings. We have estimated them below:",
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      "text": "Wholesale Commissions: $311",
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      "text": "(1) Wholesale Commissions are only earned when NSL distributors purchase product \"directly\" from Herbalife. Assumes 35% of 2011 Retail Sales, excluding literature/promotional/other products, were NSL \"direct\" purchases. Source: HLF at Citi Global Consumer Conference (5-23-12). NSL \"Direct\" Retail Sales allocation is based on Herbalife's 2011 distributor composition. Source: HLF 8-K (5-2-12). (2) For 2011, 27% of Herbalife Non-Sales Leader distributors were \"Discount Buyers\" (25% Discount), 61% were \"Small Retailers\" (35% Discount), and 12% were \"Potential Supervisors\" (42% Discount).",
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      "text": "Wholesale Commissions table showing Discount Buyers, Small Retailers, and Potential Sales Leaders with associated sales, spreads, and commission totals.",
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      "text": "Quantifying Wholesale Commissions",
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