Cost/Car Car Cost/Member Member Monthl Revenues/Member Monthly Monthly I # Members Contribution Margin/Member Contribution Margin per Month
Cost/CarCar Cost/Member
Members/Car
Monthly fee
Revenues/MemberMonthly Usage
Monthly Interest
# Members
Contribution Margin/Member
Total Contribution Margin per Month
Forecast ActualLeaseAccessInsuranceParkingMaintenanceFuel
Hours Used/MonthUtilization Rate
Monthly fee
Uses/Member$/HourHours/Use$/MileMiles/Use
Uses/MemberDaily Usage Member $/Hour
Hours/Use$/MileMiles/Use
$/MemberI rate (monthly)
Beginning MembersNew Members (sept)
Attrition
Hourly Usage Member
Cost/CarCar Cost/Member 723.33 778.16
39.45 67.14Members/Car
18.33 11.5991.00 26.10 220/12 P. 15 5,088/439 P. 20
Monthly fee6.25 6.25
15,469.23 4,437.41
Revenues/Member130.45 93.24 Monthly Usage
123.2 86.34(92,928+232,320)
(12*220)
Monthly Interest1 0.65
# Members170.00 170.00
Exb 8A
Contribution Margin/Member
Total Contribution Margin per Month
1
Lease 366.67 400.00 4400/12 Page 15, 4800/12 Page 11 2
Access 41.67 41.67 500/12 Page 15 3
Insurance 141.67 141.67 1700/12 Page 15 4
Parking 50.00 62.50 600/12 Page 15, 750/12 Page 11 5
Maintenance 33.33 33.33 400/12 Page 15 6
Fuel 90.00 99.00 1080/12 Page 15, 10% higher Page 11 7
8
Hours Used/Month 16.00 19.00 4x4 Page 15, Page 20 9
Utilization Rate 40.0% 30.6% Page 5 10
11
Monthly fee 6.25 6.25 75/12 Note B Exb 8B 12
13
Uses/Member 1.29 218/169.6 Page 20 14
$/Hour 5.34 7,220.5/1,351 Page 20 15
54.99 Hours/Use 6.20 1,351/218 Page 20 16
$/Mile 0.39 2,106/5,341 Page 20 17
Miles/Use 24.50 5,341/218 Page 20 18
19
Uses/Member 0.69 117/169.6 Page 20 20
Daily Usage Member $/Hour 2.75 5,148/1,872 Page 20 21
31.35 Hours/Use 16.00 1,872/117 Page 20 22
$/Mile 0.02 169.6/10,998 Page 20 23
Miles/Use 94.00 10,998/117 Page 20 24
25
$/Member 300.00 300.00 26
I rate (monthly) 0.33 0.37 27
28
Beginning Members 141.00 141.00 Exb 8A 29
New Members (sept) 101.00 101.00 Exb 8A 30
31
Attrition 0.01 0.02 32
1.69 2.96 141.00 141.00 33
Hourly Usage Member
Cost/CarCar Cost/Member 9.00 9.00
17.00 18.00Members/Car
15.00 16.0027.00 27.00 15 16.00
Monthly fee19 19.00
29 29.00
Revenues/Member26 26.00 Monthly Usage
23 23.0023
23
Monthly Interest25 25.00
# Members28 28.00
28.00
Contribution Margin/Member
Total Contribution Margin per month
Lease 1.00 2.00 2.00
Access 3.00 3.00 3.00
Insurance 4.00 4.00 4.00
Parking 5.00 6.00 6.00
Maintenance 7.00 7.00 7.00
Fuel 8.00 9.00 9.00
Hours Used/Month 16.00 16.00 16.00
Utilization Rate 16.00 16.00
Monthly fee 19.00 19.00 19.00
Uses/Member 19.00 19.00
$/Hour 19.00 19.00
21.00 Hours/Use 19.00 19.00
$/Mile 19.00 19.00
Miles/Use 19.00 19.00
Uses/Member 20.00 20.00
Daily Usage Member $/Hour 20.00 20.00
22.00 Hours/Use 20.00 20.00
$/Mile 20.00 20.00
Miles/Use 20.00 20.00
$/Member 24.00 24.00I rate (monthly) 24.00 24.00
Beginning Members 28.00 28.00 28.00
New Members (sept) 28.00 28.00 28.00
Attrition 28.00 28.0028 28.00 28.00 28.00
Hourly Usage Member
Assumption Year 0 Year 1 Year 2 Year 3Beginning Members - 440 856 Attrition 0.15 - 66 128.4 Ending members 440 856 908 New Members 440 482 180.4 Avg # of Members 220 648 882
Uses/Member 1.29$/Mile 0.39
Miles/Use 24.50 32,782 96,558 131,426 $/Hour 5.34
Hours/Use 6.20 112,395 331,053 450,600 TOTAL Hourly Usage 145,177 427,611 582,026
$/Mile 0.02
Miles/Use 94.00 4,919 14,489 19,721 $/Hour 2.75
Hours/Use 16.00 149,309 439,784 598,595 TOTAL Monthly Usage 154,228 454,273 618,316
Application Fee (per new member) 25 11,000 12,050 4,510 Annual Fees (per avg member) 75 16,500 48,600 66,150 Security Deposits (Avg Balance) 300.00 66,000 194,400 264,600
Interest income (On Avg. sec dep. Balan 0.37% 243 715 974 TOTAL Other Revenues 27,743 61,365 71,634 TOTAL REVENUES 327,148 943,249 1,271,976
Contribution Margin/Member 26.10
Variable Costs / CarBeginning Cars - 38 74 Ending Cars 11.59 38 74 78 Avg # of Cars 19 56 76 Lease costs (car/year) - 4,800 - 91,113 - 268,370 - 365,281Access equp. (car/year) - 500 - 9,491 - 27,955 - 38,050Insurance (car/year) - 1,700 - 32,269 - 95,048 - 129,370Parking (car/year) - 750 - 14,236 - 41,933 - 57,075Maintenance (car/year) - 400 - 7,592 - 22,362 - 30,437Fuel (car/year) - 1,188 - 22,551 - 66,422 - 90,407TOTAL VARIABLE COSTS - 177,252 - 522,089 - 710,621
Fixed Costs - Corp. LevelCorporate Insurance - 800 - 800 - 800Reservation System - 2,895 - 3,160 - 12,000Administration - Corp. - 100,000 - 100,000 - 100,000Benefits 20% - 20,000 - 20,000 - 20,000Office Space - - - 5,000Office Equipmen. & Supplies - 1,000 - 1,000 - 1,000Phone - 1,200 - 1,800 - 1,800TOTAL CORP. OVERHEAD - 125,895 - 126,760 - 140,600
0.7% 10.9%Fixed Costs - Per OfficeBilling (member/year) 24 - 5,280 - 15,552 - 21,168Administration - local - 24,000 - 24,000 - 24,000Benefits 20% - 4,800 - 24,780 - 24,780Office Space - - - 5,000Office equip. & supply - 1,000 - 1,000 - 1,000Telephone and Datalines - 1,200 - 1,800 - 1,800
Marketing - 10,000 - 12,000 - 12,000Background checks (per new member) 20 - 8,800 - 9,640 - 3,608TOTAL BOSTON OVERHEAD - 55,080 - 88,772 - 93,356
61.2% 5.2%
TOTAL OVERHEAD COSTS - 180,975 - 215,532 - 233,956
Net Income Before Taxes - 338,946 - 436,770 - 503,151
WACC 13%
TOTAL REVENUES [Thousands] - 327 943 1,272 PV Revenues 3,801.5 TOTAL VARIABLE COSTS [Thousands] - - 177 - 522 - 711PV Variable Costs - 2,113.8TOTAL CORP. OVERHEAD [Thousands] - - 126 - 127 - 141PV Corp. Overhead - 468.3TOTAL OFFICE OVERHEAD [Thousands] - - 55 - 89 - 93PV Office Overhead - 303.1FCF [Thousands] - - 31 206 327 NPV 916.3
$ 916 NPV(WACC=13%, 1 Office)
Year 4 Year 5 908 1,180 136.2 177 1,180 1,196 408.2 193 1,044 1,188
155,566 177,023
533,363 606,931 688,929 783,954
23,343 26,562
708,541 806,271 731,884 832,833 10,205 4,825 78,300 89,100 313,200 356,400
1,153 1,312 89,658 95,237 1,510,471 1,712,024
78 102 102 103 90 103 - 432,374 - 492,011 - 45,039 - 51,251 - 153,132 - 174,254 - 67,558 - 76,877 - 36,028 - 40,997 - 107,012 - 121,773 - 841,143 - 957,163
- 800 - 800 - 6,000 - 7,000 - 100,000 - 100,000 - 20,000 - 20,000 - 5,000 - 5,000 - 1,000 - 1,000 - 1,800 - 2,500 - 134,600 - 136,300
-4.3% 1.3%
- 25,056 - 28,512 - 24,000 - 24,000 - 24,780 - 24,780 - 5,000 - 5,000 - 1,000 - 1,000 - 1,800 - 2,500
- 12,000 - 12,000 - 8,164 - 3,860 - 101,800 - 101,652
9.0% -0.1%
- 236,400 - 237,952
- 523,214 - 547,461
1,510 1,712
- 841 - 957
- 135 - 136
- 102 - 102
433 517
Year 1 Year 2 Year 3 Year 4 Year 5 - 100
-
100
200
300
400
500
600
700
800
900
1,000
1,100
1,200
1,300
177
522
711
841 957
126
127
141
135
136
55
89
93
102
102
31
(206) (327) (433) (517)
Revenue Usage
Variable Costs Corp. Overhead CostsOffice Overhead Costs FCF
10
8
6
4
2
1
$0 $10,000 $20,000 $30,000 $40,000 $50,000 $60,000 $70,000
NPV Vs Citis Launched
Dolars [Thousands]
# Cities
1 Year 1 Year 2 Year 3 Year 4 Year 5Variable Costs 177 522 711 841 957 TOTAL VARIABLE COSTS [Thousands]Corp. Overhead Costs 126 127 141 135 136 TOTAL CORP. OVERHEAD [Thousands]Office Overhead Costs 55 89 93 102 102 TOTAL OFFICE OVERHEAD [Thousands]FCF 31 (206) (327) (433) (517) FCF [Thousands]
# Offices NPV FCF Year 1 FCF Year 2 FCF Year 3 FCF Year 4 FCF Year 510 $62,652 5,720.7 15,667.9 20,900.1 24,668.7 27,844.7
8 $50,215 4,601.7 12,559.6 16,748.2 19,761.9 22,303.0 6 $37,779 3,482.8 9,451.4 12,596.3 14,855.1 16,761.3 4 $25,342 2,363.8 6,343.2 8,444.4 9,948.3 11,219.7 2 $12,905 1,244.9 3,235.0 4,292.5 5,041.4 5,678.0 1 $6,687 685.4 1,680.9 2,216.6 2,588.0 2,907.1
Year 1 Year 2 Year 3 Year 4 Year 5TOTAL REVENUES [Thousands] 327 943 1272 1510 1712TOTAL VARIABLE COSTS [Thousands] 177 522 711 841 957TOTAL CORP. OVERHEAD [Thousands] 126 127 141 135 136TOTAL OFFICE OVERHEAD [Thousands] 55 89 93 102 102FCF [Thousands] 31 -206 -327 -433 -517
Assumption Year 1 Year 2 Year 3 Year 4
Trips/member/month 4Miles/trip 22Hours/trip 4
Beginning Members - 440 856 908 Attrition 0.15 - 66 128.4 136.2 Ending members 440 856 908 1,180 New Members 440 482 180.4 408.2 Avg # of Members 220 648 882 1,044
Application Fee (per new member) 25 11,000 12,050 4,510 10,205 Annual Fees (per avg member) 75 16,500 48,600 66,150 78,300 Per mile charge 0.4 92,928 273,715 372,557 440,986 Per hour charge 5.5 232,320 684,288 931,392 1,102,464 Security Deposits (Avg Balance) 300 66,000 194,400 264,600 313,200 Interest income (On Avg. sec dep. Balance) 4% 2,640 7,776 10,584 12,528 TOTAL REVENUE 355,388 1,026,429 1,385,193 1,644,483
Costs Variable Costs / CarBeginning Cars - 24 48 50 Ending Cars 24 48 50 66 Avg # of Cars 12 36 49 58 Lease costs (car/year) - 4,400 - 52,800 - 158,400 - 215,600 - 255,200Access equp. (car/year) - 500 - 6,000 - 18,000 - 24,500 - 29,000Fuel (car/year) - 1,080 - 12,960 - 38,880 - 52,920 - 62,640Insurance (car/year) - 1,700 - 20,400 - 61,200 - 83,300 - 98,600Maintenance (car/year) - 400 - 4,800 - 14,400 - 19,600 - 23,200Parking (car/year) - 600 - 7,200 - 21,600 - 29,400 - 34,800TOTAL VARIABLE COSTS - 104,160 - 312,480 - 425,320 - 503,440
Fixed Costs - Corp. LevelCorporate Insurance - 800 - 800 - 800 - 800Reservation System - 2,895 - 3,160 - 12,000 - 6,000Administration - Corp. - 100,000 - 100,000 - 100,000 - 100,000Benefits 20% - 20,000 - 20,000 - 20,000 - 20,000Office Space - - - 5,000 - 5,000Office Equipmen. & Supplies - 1,000 - 1,000 - 1,000 - 1,000Phone - 1,200 - 1,800 - 1,800 - 1,800TOTAL CORP. OVERHEAD - 125,895 - 126,760 - 140,600 - 134,600
Fixed Costs - Boston OfficeBilling (member/year) 24 - 5,280 - 15,552 - 21,168 - 25,056Administration - local - 24,000 - 24,000 - 24,000 - 24,000Benefits 20% - 4,800 - 24,780 - 24,780 - 24,780Office Space - - - 5,000 - 5,000Office equip. & supply - 1,000 - 1,000 - 1,000 - 1,000Telephone and Datalines - 1,200 - 1,800 - 1,800 - 1,800Marketing - 10,000 - 12,000 - 12,000 - 12,000Background checks (per new member) 20 - 8,800 - 9,640 - 3,608 - 8,164TOTAL BOSTON OVERHEAD - 55,080 - 88,772 - 93,356 - 101,800
61.2% 5.2% 9.0%
TOTAL OVERHEAD COSTS - 180,975 - 215,532 - 233,956 - 236,400
Net Income Before Taxes 70,253 498,417 725,917 904,643
Year 5
1,180 177 1,196 193 1,188
4,825 89,100 501,811 1,254,528 356,400 14,256 1,864,520
66 66 66 - 290,400 - 33,000 - 71,280 - 112,200 - 26,400 - 39,600 - 572,880
- 800 - 7,000 - 100,000 - 20,000 - 5,000 - 1,000 - 2,500 - 136,300
- 28,512 - 24,000 - 24,780 - 5,000 - 1,000 - 2,500 - 12,000 - 3,860 - 101,652
-0.1%
September
Overhead ExpensesBoston 14,000 Corporate 30,000
Application & MembershipBeginning members 141 Applications 112 Application Aproved 105 New members 101 Attrition 3 Ending Members 239 Total "member days" 5,088 Application fees 2,800 Annual member fees received 7,575 Annual member fees Booked 1,512
DepositsDeposits recceived in September 42,300 Total Deposits balance month end 71,700 Average deposit balance 42,090 Interest earned on total deposits 155
UsageAvailable "car days" 439 Total Trips taken (uses) 335 Hour uses 218 Daily uses 117 Total miles driven 16,339 Mile Driven - hourly uses 5,341 Mile Driven - daily uses 10,998 Total Hours used 3,223 Hours Driven - hourly uses 1,351 Hours Driven - daily uses 1,872 Trips - night & weekend % 60%Hours of uses - night & weekend % 53%
RevenueTotal Miles billed 5,765 Miles billed - hourly uses 5,341 Miles billed - daily uses 424 Total hours billed 2,287 Hours billed - hourly uses 1,351 Hours billed - daily uses 936 Total miles billed 2,276 Miles revenue - hourly uses 2,106 Miles revenue - daily uses 170 Total hours revenue 12,369 Hourly revenue - hourly uses 7,221 Hourly revenue - daily uses 5,148 Total usage revenue 14,645 Revenue from hourly usage 9,327 Revenue from daily usage 5,318