{
  "docId": "019dd923-622c-750b-8b9c-80e6d77f0276",
  "docSlug": "14f44cdb0575",
  "documentTitle": "Crown Castle International Corp. (CCI)",
  "authorId": "02_Elliott_Management",
  "authorName": "Elliott",
  "documentKindSlug": "activist-deck",
  "documentKindLabel": "Activist deck",
  "sourceTypeSlug": "activist_investor",
  "sourceTypeLabel": "Activist investor",
  "presentationDate": "2020-07-06 00:00:00",
  "orientation": "landscape",
  "aspectRatio": 1.4444444,
  "pageNumber": 37,
  "pageCount": 67,
  "prevPage": 36,
  "nextPage": 38,
  "slideType": "valuation_reveal",
  "function": "show_valuation_bridge",
  "density": "dense",
  "nDataPoints": 12,
  "notes": "Uses a waterfall-style bridge to isolate the implied value of the fiber segment by subtracting tower valuations from total enterprise value.",
  "elementsJson": [
    "headline_text",
    "subtitle_text",
    "bar_chart_stacked",
    "paragraph"
  ],
  "metadataConfidence": 1,
  "imagePath": null,
  "slideHref": "/slides/019dd923-622c-750b-8b9c-80e6d77f0276/37",
  "deckHref": "/decks/019dd923-622c-750b-8b9c-80e6d77f0276",
  "deckJsonHref": "/decks/019dd923-622c-750b-8b9c-80e6d77f0276.json",
  "deckAnchorHref": "/decks/019dd923-622c-750b-8b9c-80e6d77f0276#slide-37",
  "components": [
    {
      "bbox": null,
      "kind": "callout",
      "text": "Applying 34x on Crown Castle's U.S. tower business EBITDA implies a value of fiber of only $11B compared to $16B of investment, resulting in $5B of value destruction",
      "attrs": null,
      "subkind": null,
      "toolName": "Visual emphasis",
      "toolSlug": "visual-emphasis",
      "confidence": null,
      "componentId": "019dd952-ee36-760b-92a7-55053a5b7776",
      "frameworkName": null,
      "frameworkSlug": null
    },
    {
      "bbox": {
        "h": 0.5,
        "w": 0.9,
        "x": 0.05,
        "y": 0.25
      },
      "kind": "chart",
      "text": "Valuation bridge charts for American Tower, SBA, and Crown Castle",
      "attrs": null,
      "subkind": "waterfall-bridge",
      "toolName": null,
      "toolSlug": null,
      "confidence": null,
      "componentId": "fab3b26a-b6d1-401a-9a38-c19f5a2018e3",
      "frameworkName": null,
      "frameworkSlug": null
    },
    {
      "bbox": null,
      "kind": "metric",
      "text": "implied fiber value: $11B",
      "attrs": null,
      "subkind": "primary",
      "toolName": "Quantification",
      "toolSlug": "quantification",
      "confidence": null,
      "componentId": "019dd952-ee36-760b-92a7-5b94870f334f",
      "frameworkName": null,
      "frameworkSlug": null
    },
    {
      "bbox": {
        "h": 0.05,
        "w": 0.9,
        "x": 0.05,
        "y": 0.12
      },
      "kind": "paragraph",
      "text": "Based on the valuation of U.S. towers implied by American Tower and SBA, we demonstrate that the market values Crown Castle Fiber at only $11B",
      "attrs": null,
      "subkind": "paragraph",
      "toolName": null,
      "toolSlug": null,
      "confidence": null,
      "componentId": "5cd11752-b77c-461f-8709-b9ed363f18d9",
      "frameworkName": null,
      "frameworkSlug": null
    },
    {
      "bbox": {
        "h": 0.1,
        "w": 0.45,
        "x": 0.05,
        "y": 0.78
      },
      "kind": "paragraph",
      "text": "Methodology: Using a blended multiple of publicly traded international tower companies, we calculate that the average implied EBITDA multiple of American Tower and SBA's U.S. towers is 34x EBITDA (see Appendix p. 66)",
      "attrs": null,
      "subkind": "paragraph",
      "toolName": null,
      "toolSlug": null,
      "confidence": null,
      "componentId": "f7011762-b24d-4697-9745-2ae1a368127b",
      "frameworkName": null,
      "frameworkSlug": null
    },
    {
      "bbox": {
        "h": 0.1,
        "w": 0.4,
        "x": 0.55,
        "y": 0.78
      },
      "kind": "paragraph",
      "text": "Methodology: Applying 34x on Crown Castle's U.S. tower business EBITDA implies a value of fiber of only $11B compared to $16B of investment, resulting in $5B of value destruction",
      "attrs": null,
      "subkind": "paragraph",
      "toolName": null,
      "toolSlug": null,
      "confidence": null,
      "componentId": "fca6df90-13c0-4fc5-974e-e75550a0b503",
      "frameworkName": null,
      "frameworkSlug": null
    },
    {
      "bbox": {
        "h": 0.05,
        "w": 0.4,
        "x": 0.05,
        "y": 0.92
      },
      "kind": "source-note",
      "text": "Source: Company financials. Market data from Bloomberg and CapitalIQ. Note: Dollars in millions. See Appendix p. 66 for detailed calculations.",
      "attrs": null,
      "subkind": null,
      "toolName": null,
      "toolSlug": null,
      "confidence": null,
      "componentId": "39bf6979-d5ff-428b-b78c-dd709da49666",
      "frameworkName": null,
      "frameworkSlug": null
    },
    {
      "bbox": {
        "h": 0.05,
        "w": 0.6,
        "x": 0.05,
        "y": 0.05
      },
      "kind": "title",
      "text": "How Does the Market Value Crown Castle's Fiber Business?",
      "attrs": null,
      "subkind": "headline",
      "toolName": null,
      "toolSlug": null,
      "confidence": null,
      "componentId": "10ba363d-1912-456b-b345-2fff48284350",
      "frameworkName": null,
      "frameworkSlug": null
    }
  ],
  "metrics": [],
  "tools": [
    {
      "name": "Waterfall / value bridge",
      "slug": "waterfall-bridge",
      "agent": null,
      "layer": "slide",
      "matchId": "f74c190b-fbfc-489a-ba12-95b3775c46a1",
      "evidence": "Valuation bridge charts for American Tower, SBA, and Crown Castle",
      "confidence": 0.9
    }
  ],
  "frameworks": [
    {
      "name": "waterfall-bridge",
      "slug": null,
      "matchId": "db4cbcad-c35c-4f71-a16d-b23c3ae46e4e",
      "evidence": "The chart visually subtracts components from TEV to arrive at a residual value.",
      "confidence": 0.9
    }
  ],
  "arcBeats": [
    {
      "to": 38,
      "from": 11,
      "beatId": "c051c5c5-ece4-46e8-bf57-9a7cbd17ebc3",
      "arcName": "Problem-Agitate-Solution",
      "arcSlug": "problem-agitate-solution",
      "beatName": "Agitate",
      "beatSlug": "problem-agitate-solution-agitate-make-it-worse",
      "evidence": "Slides 11-38 highlight the issues with Crown Castle's fiber business strategy",
      "position": 1,
      "confidence": 0.9,
      "parentBeatName": "Development",
      "parentBeatSlug": "development"
    }
  ],
  "loops": [],
  "imagePathAlt": null,
  "thumbSrc": null,
  "thumbSrcAlt": null,
  "locked": true
}