Round: 3

Dec. 31, C102618

2021
Andrews Baldwin Chester
Aditi Argal Srishti Garg Neer Chhajer
Arushi Chaturvedi Priyanka Israney Shobhana Mohanty
RV NARAYANAN Shreya Maitra Swapnil Mohgaonkar
Rajashekar R Alpi Parwal Rahul Mukherjee
Mrugesh Trivedi Omansh Sharma Srinithi S
Rutuja Tupe Prashansa Srivastav Saumya Sharad

Digby Erie Ferris

Nikhil Kaki
Anandita Mulukutla
HARSHAL RAJVANSHI
Vishal Srivastava

Selected Financial Statistics

Andrews Baldwin Chester Digby Erie Ferris
ROS 2.3% -11.1% -16.7% -1.5% 2.9% 3.7%
Asset Turnover 1.27 1.27 0.53 1.25 1.07 1.36
ROA 2.9% -14.1% -8.8% -1.9% 3.1% 5.0%
Leverage 1.7 2.2 3.4 1.9 2.1 2.1
ROE 4.9% -31.0% -30.0% -3.6% 6.5% 10.7%
Emergency Loan $21,036,780 $0 $65,742,138 $31,983,122 $0 $0
Sales $149,685,605 $112,124,885 $105,143,304 $134,858,570 $160,071,394 $200,214,479
EBIT $10,892,640 ($13,836,542) ($9,059,067) $3,527,410 $15,876,093 $19,573,191
Profits $3,466,408 ($12,447,983) ($17,536,783) ($2,020,050) $4,667,849 $7,385,556
Cumulative Profit $27,592,063 ($13,932,982) ($2,092,729) $5,518,459 $24,247,628 $31,771,860
SG&A / Sales 16.8% 19.3% 19.7% 18.8% 7.8% 10.8%
Contrib. Margin % 30.7% 14.2% 23.5% 28.9% 27.5% 26.8%

CAPSTONE ® COURIER Page 1

 Round: 3
Stock & Bonds C102618 Dec. 31, 2021
Stock Market Summary
MarketCap
Company Close Change Shares Book Value EPS Dividend Yield P/E
($M)
Andrews $39.77 ($18.82) 2,000,000 $80 $35.67 $1.73 $0.00 0.0% 22.9
Baldwin $1.00 ($13.75) 2,511,413 $3 $16.01 ($4.96) $0.00 0.0% -0.2
Chester $1.00 ($37.46) 2,600,062 $3 $22.48 ($6.74) $0.00 0.0% -0.1
Digby $10.54 ($19.73) 2,264,837 $24 $24.79 ($0.89) $0.50 4.7% -11.8
Erie $49.32 ($1.17) 2,187,128 $108 $32.64 $2.13 $0.00 0.0% 23.1
Ferris $57.99 ($2.43) 2,082,276 $121 $33.12 $3.55 $0.00 0.0% 16.4

Bond Market Summary

Company Series# Face Yield Close$ S&P Company Series# Face Yield Close$ S&P
Andrews Digby
14.0S2024 $15,519,698 13.2% 105.80 BBB 14.0S2024 $10,549,530 13.5% 103.57 B
Baldwin Erie
12.5S2022 $13,900,000 12.6% 99.38 CCC 12.5S2022 $13,900,000 12.6% 99.56 CCC
14.0S2024 $20,850,000 13.7% 101.88 CCC 14.0S2024 $20,850,000 13.7% 102.36 CCC
12.2S2031 $5,391,000 12.9% 94.62 CCC 11.7S2030 $2,866,726 12.5% 93.33 CCC
Chester 12.4S2031 $12,919,965 12.8% 96.74 CCC
12.5S2022 $13,900,000 12.7% 98.34 C Ferris
14.0S2024 $20,850,000 14.1% 99.08 C 12.5S2022 $5,093,124 12.6% 99.47 CCC
11.3S2029 $7,124,000 13.2% 85.81 C 14.0S2024 $20,850,000 13.7% 102.12 CCC
11.6S2030 $5,000,000 13.4% 86.35 C 12.1S2031 $12,743,851 12.8% 94.59 CCC
12.1S2031 $9,750,000 13.7% 88.19 C

Next Year's Prime Rate8.50%

CAPSTONE ® COURIER Page 2
 Round: 3
Financial Summary C102618 Dec. 31, 2021
Cash Flow Statement Survey Andrews Baldwin Chester Digby Erie Ferris
CashFlows from operating activities
Net Income(Loss) $3,466 ($12,448) ($17,537) ($2,020) $4,668 $7,386
Adjustment for non-cash items:
Depreciation $8,724 $7,588 $12,152 $8,606 $11,040 $8,487
Extraordinary gains/losses/writeoffs $770 $0 $0 $800 ($2) ($513)
Changes in current assets and liablilities
Accounts payable $255 $3,546 $7,838 $5,533 $2,350 $4,400
Inventory ($21,831) ($2,888) ($66,012) ($20,390) ($3,103) ($9,376)
Accounts Receivable $1,004 ($667) $1,540 ($1,558) ($2,335) ($3,858)
Net cash from operations ($7,612) ($4,869) ($62,019) ($9,029) $12,618 $6,525

Cash flows from investing activities

Plant improvements(net) $0 $0 ($19,580) ($3,894) ($38,788) ($37,940)
Cash flows from financing activities
Dividends paid $0 $0 $0 ($1,132) $0 $0
Sales of common stock $0 $5,391 $9,750 $8,000 $2,981 $4,972
Purchase of common stock $0 $0 $0 $0 $0 $0
Cash from long term debt issued $0 $5,391 $9,750 $0 $12,920 $12,744
Early retirement of long term debt ($20,000) $0 $0 ($25,000) $0 $0
Retirement of current debt ($1,932) ($6,950) ($3,643) ($6,950) ($20,892) ($19,719)
Cash from current debt borrowing $0 $0 $0 $0 $17,766 $26,928
Cash from emergency loan $21,037 $0 $65,742 $31,983 $0 $0

Net cash from financing activities ($895) $3,832 $81,599 $6,901 $12,774 $24,924

Net change in cash position ($8,507) ($1,037) $0 ($6,023) ($13,396) ($6,491)

Balance Sheet Survey Andrews Baldwin Chester Digby Erie Ferris
Cash $0 $23,192 $0 $0 $21,123 $29,087
Accounts Receivable $12,303 $9,216 $8,642 $11,084 $13,157 $16,456
Inventory $37,904 $2,934 $77,642 $30,676 $7,698 $13,780
Total Current Assets $50,207 $35,342 $86,284 $41,760 $41,978 $59,324

Plant and equipment $130,856 $113,826 $182,280 $129,094 $165,600 $127,300

Accumulated Depreciation ($63,211) ($60,699) ($68,959) ($62,920) ($58,160) ($39,373)
Total Fixed Assets $67,645 $53,127 $113,321 $66,174 $107,440 $87,927

Total Assets $117,852 $88,470 $199,605 $107,935 $149,418 $147,250

Accounts Payable $9,950 $8,117 $18,779 $9,252 $9,718 $12,675

Current Debt $21,037 $0 $65,742 $31,983 $17,766 $26,928
Long Term Debt $15,520 $40,141 $56,624 $10,550 $50,537 $38,687
Total Liabilities $46,506 $48,258 $141,145 $51,785 $78,020 $78,290

Common Stock $18,360 $28,751 $41,026 $26,370 $25,728 $23,331

Retained Earnings $52,986 $11,461 $17,435 $29,780 $45,669 $45,629
Total Equity $71,345 $40,211 $58,460 $56,149 $71,397 $68,960

Total Liabilities & Owners Equity $117,852 $88,470 $199,605 $107,935 $149,418 $147,250

Income Statement Survey Andrews Baldwin Chester Digby Erie Ferris

Sales $149,686 $112,125 $105,143 $134,859 $160,071 $200,214
Variable Costs(Labor,Material,Carry) $103,776 $96,223 $80,389 $95,863 $116,056 $146,494
Depreciation $8,724 $7,588 $12,152 $8,606 $11,040 $8,487
SGA(R&D,Promo,Sales,Admin) $25,192 $21,610 $20,687 $25,288 $12,557 $21,538
Other(Fees,Writeoffs,TQM,Bonuses) $1,102 $539 $975 $1,575 $4,543 $4,122
EBIT $10,893 ($13,837) ($9,059) $3,527 $15,876 $19,573
Interest(Short term,Long term) $5,451 $5,314 $17,921 $6,635 $8,548 $7,979
Taxes $1,905 ($6,703) ($9,443) ($1,088) $2,565 $4,058
Profit Sharing $71 $0 $0 $0 $95 $151
Net Profit $3,466 ($12,448) ($17,537) ($2,020) $4,668 $7,386

CAPSTONE ® COURIER Page 3

 Round: 3
Production Analysis C102618 Dec. 31, 2021

2nd
Shift Auto
Unit & mation Capacity
Primary Units Inven Revision Age Pfmn Size Material Labor Contr. Over- Next Next Plant
Name Segment Sold tory Date Dec.31 MTBF Coord Coord Price
Cost
Cost Marg. time Round Round Utiliz.
Able Trad 1,208 1,574 9/6/2021 1.6 17500 7.1 12.9 $29.00 $10.47 $8.37 26% 39% 5.0 1,801 137%
Acre Low 2,228 214 8/3/2021 2.5 15500 4.0 16.0 $21.00 $7.13 $7.42 30% 76% 6.0 1,401 174%
Adam High 717 134 9/7/2021 1.4 25000 10.2 9.8 $38.00 $15.46 $9.23 34% 0% 3.5 900 88%
Aft Pfmn 594 0 9/28/2021 1.4 27000 11.0 14.9 $34.00 $14.70 $9.23 30% 0% 3.5 600 99%
Agape Size 600 109 7/18/2022 2.9 20000 4.4 10.8 $34.00 $11.39 $9.23 35% 0% 3.5 600 50%

Baker Trad 990 0 10/31/2021 2.0 18500 8.3 12.5 $23.00 $11.49 $8.61 15% 0% 4.0 1,800 55%
Bead Low 2,775 0 1/20/2021 2.9 14000 5.0 15.0 $18.50 $7.56 $9.13 8% 100% 5.0 1,401 198%
Bid High 327 118 6/12/2022 3.0 24000 10.6 11.6 $34.00 $14.61 $9.84 24% 0% 3.0 900 50%
Bold Pfmn 594 0 8/15/2021 1.6 27000 11.5 14.2 $30.00 $15.16 $9.84 17% 0% 3.0 600 99%
Buddy Size 297 0 3/16/2022 3.7 20000 5.8 10.5 $30.50 $11.94 $9.84 28% 0% 3.0 600 50%

Cake Trad 887 1,050 6/6/2021 1.8 18900 6.2 13.8 $29.00 $10.09 $7.65 29% 0% 5.0 2,100 82%
Cedar Low 1,289 1,193 6/5/2021 2.0 15000 2.7 17.2 $22.00 $5.87 $10.73 17% 73% 4.0 2,000 165%
Cid High 195 836 6/17/2022 2.6 23000 9.0 11.0 $39.00 $13.80 $7.65 14% 0% 5.0 1,150 75%
Coat Pfmn 322 394 12/21/2021 1.5 27000 11.0 14.6 $34.00 $14.77 $9.78 20% 25% 4.0 750 119%
Cure Size 475 177 11/8/2021 1.6 20000 5.0 9.5 $34.00 $12.28 $9.78 33% 5% 3.5 600 100%
Cobalt High 442 281 9/15/2021 0.8 25000 11.2 12.0 $37.00 $15.07 $11.13 23% 52% 4.0 640 145%

Daze Trad 1,483 1,481 8/22/2021 1.6 14000 6.4 13.6 $24.00 $8.80 $9.66 13% 42% 4.5 1,902 141%
Dell Low 1,089 0 9/13/2021 2.5 13500 2.4 17.5 $19.50 $5.16 $7.27 38% 0% 5.0 1,401 78%
Dixie High 673 70 9/25/2021 1.3 23550 10.7 9.3 $39.00 $15.47 $9.08 37% 0% 3.5 1,050 71%
Dot Pfmn 723 53 10/30/2021 1.4 27000 11.4 14.6 $34.00 $15.00 $9.08 30% 0% 3.5 700 95%
Dune Size 789 0 10/2/2021 1.5 21000 5.4 8.6 $34.50 $13.20 $9.70 35% 17% 3.5 601 116%

Eat Low 1,988 284 1/15/2021 3.1 14500 5.5 14.5 $21.00 $8.13 $5.68 31% 50% 7.5 1,400 149%
Ebb Low 2,970 0 1/15/2020 7.6 12000 3.0 17.0 $19.00 $5.17 $7.59 32% 100% 7.5 2,000 198%
Echo Trad 1,090 197 8/21/2021 1.4 15000 7.1 12.9 $26.50 $9.69 $8.44 30% 44% 6.0 1,000 143%
Egg Trad 1,245 1 5/19/2021 2.0 16000 7.1 12.9 $26.50 $9.98 $12.15 15% 100% 4.0 600 198%

Fast Low 1,375 0 4/21/2020 3.1 14000 5.5 14.5 $21.50 $8.00 $10.66 12% 100% 4.0 600 198%
Feat Low 1,386 0 7/27/2023 7.6 13000 3.0 17.0 $21.50 $5.49 $7.61 38% 100% 6.0 1,350 198%
Fist High 829 325 11/30/2021 1.1 25000 11.3 8.6 $38.50 $16.48 $12.08 24% 92% 3.0 900 190%
Foam Pfmn 923 166 9/9/2021 1.4 27000 12.8 13.5 $33.40 $16.08 $10.28 20% 69% 4.5 800 168%
Fume Size 1,210 0 11/29/2021 1.3 16000 6.1 7.2 $33.50 $12.68 $10.66 29% 100% 4.0 1,100 198%
Fox High 976 14 11/29/2021 0.6 25000 12.0 8.0 $38.50 $17.05 $8.37 35% 100% 5.5 500 198%

CAPSTONE ® COURIER Page 4

Traditional Segment Analysis C102618 Round: 3
Dec. 31, 2021

Traditional Statistics
Total Industry Unit Demand 9,619
Actual Industry Unit Sales |9,619
Segment % of Total Industry |29.4%

Next Year's Segment Growth Rate |9.2%

Traditional Customer Buying Criteria
Expectations Importance
1. Age Ideal Age = 2.0 47%
2. Price $18.50 - 28.50 23%
3. Ideal Position Pfmn 7.1 Size 12.9 21%
4. Reliability MTBF 14000-19000 9%

Top Products in Traditional Segment

Units Cust. Cust. Dec.
Market Sold to Revision Stock Pfmn Size List Age Promo A
ware- Sales A

ccess-
Cust
Name Share Seg Date Out Coord Coord Price MTBF Dec.31 Budget n
ess Budget ibility
Survey
Daze 13% 1,283 8/22/2021 6.4 13.6 $24.00 14000 1.60 $2,000 100% $1,500 54% 40
Egg 13% 1,243 5/19/2021 7.1 12.9 $26.50 16000 1.96 $1,200 65% $1,056 69% 42
Able 13% 1,208 9/6/2021 7.1 12.9 $29.00 17500 1.60 $1,500 100% $2,000 59% 39
Bead 12% 1,168 1/20/2021 YES 5.0 15.0 $18.50 14000 2.88 $1,600 82% $1,600 79% 19
Echo 11% 1,083 8/21/2021 7.1 12.9 $26.50 15000 1.38 $1,200 66% $1,056 69% 32
Baker 10% 983 10/31/2021 YES 8.3 12.5 $23.00 18500 2.00 $2,600 100% $2,600 79% 65
Eat 10% 971 1/15/2021 5.5 14.5 $21.00 14500 3.09 $1,200 70% $1,056 69% 18
Cake 9% 887 6/6/2021 6.2 13.8 $29.00 18900 1.81 $1,250 78% $1,350 43% 29
Fast 7% 680 4/21/2020 YES 5.5 14.5 $21.50 14000 3.08 $900 58% $725 36% 13
Buddy 1% 90 3/16/2022 YES 5.8 10.5 $30.50 20000 3.72 $1,300 64% $1,200 79% 3
Bold 0% 22 8/15/2021 YES 11.5 14.2 $30.00 27000 1.57 $1,400 68% $1,400 79% 0

CAPSTONE ® COURIER Page 5

Low End Segment Analysis C102618 Round: 3
Dec. 31, 2021

Low End Statistics

Total Industry Unit Demand 12,488
Actual Industry Unit Sales |12,488
Segment % of Total Industry |38.2%

Next Year's Segment Growth Rate |11.7%

Low End Customer Buying Criteria
Expectations Importance
1. Price $13.50 - 23.50 53%
2. Age Ideal Age = 7.0 24%
3. Ideal Position Pfmn 3.2 Size 16.8 16%
4. Reliability MTBF 12000-17000 7%

Top Products in Low End Segment

Units Cust. Cust. Dec.
Market Sold to Revision Stock Pfmn Size List Age Promo A
ware- Sales A

ccess-
Cust
Name Share Seg Date Out Coord Coord Price MTBF Dec.31 Budget n
ess Budget ibility
Survey
Ebb 24% 2,970 1/15/2020 YES 3.0 17.0 $19.00 12000 7.60 $1,200 69% $1,056 48% 27
Acre 18% 2,228 8/3/2021 4.0 16.0 $21.00 15500 2.48 $2,000 100% $1,500 47% 11
Bead 13% 1,607 1/20/2021 YES 5.0 15.0 $18.50 14000 2.88 $1,600 82% $1,600 47% 12
Feat 11% 1,386 7/27/2023 YES 3.0 17.0 $21.50 13000 7.60 $1,100 68% $1,305 46% 19
Cedar 10% 1,289 6/5/2021 2.7 17.2 $22.00 15000 1.96 $1,200 66% $1,200 31% 7
Dell 9% 1,089 9/13/2021 YES 2.4 17.5 $19.50 13500 2.48 $1,100 60% $1,000 35% 10
Eat 8% 1,017 1/15/2021 5.5 14.5 $21.00 14500 3.09 $1,200 70% $1,056 48% 6
Fast 6% 695 4/21/2020 YES 5.5 14.5 $21.50 14000 3.08 $900 58% $725 46% 5
Daze 2% 200 8/22/2021 6.4 13.6 $24.00 14000 1.60 $2,000 100% $1,500 35% 1
Echo 0% 7 8/21/2021 7.1 12.9 $26.50 15000 1.38 $1,200 66% $1,056 48% 0

CAPSTONE ® COURIER Page 6

High End Segment Analysis C102618 Round: 3
Dec. 31, 2021

High End Statistics

Total Industry Unit Demand 4,007
Actual Industry Unit Sales |4,007
Segment % of Total Industry |12.3%

Next Year's Segment Growth Rate |16.2%

High End Customer Buying Criteria
Expectations Importance
1. Ideal Position Pfmn 11.6 Size 8.4 43%
2. Age Ideal Age = 0.0 29%
3. Reliability MTBF 20000-25000 19%
4. Price $28.50 - 38.50 9%

Top Products in High End Segment

Units Cust. Cust. Dec.
Market Sold to Revision Stock Pfmn Size List Age Promo A
ware- Sales A

ccess-
Cust
Name Share Seg Date Out Coord Coord Price MTBF Dec.31 Budget n
ess Budget ibility
Survey
Fox 24% 976 11/29/2021 12.0 8.0 $38.50 25000 0.56 $1,100 41% $1,305 58% 41
Fist 21% 829 11/30/2021 11.3 8.6 $38.50 25000 1.13 $1,100 65% $1,305 58% 45
Adam 18% 717 9/7/2021 10.2 9.8 $38.00 25000 1.36 $1,800 100% $2,000 57% 31
Dixie 17% 673 9/25/2021 10.7 9.3 $39.00 23550 1.31 $1,600 94% $1,800 54% 31
Cobalt 8% 315 9/15/2021 11.2 12.0 $37.00 25000 0.83 $1,600 66% $1,600 49% 18
Bid 7% 288 6/12/2022 10.6 11.6 $34.00 24000 3.04 $1,500 75% $1,500 41% 7
Cid 5% 195 6/17/2022 9.0 11.0 $39.00 23000 2.63 $1,600 70% $1,600 49% 4
Bold 0% 9 8/15/2021 YES 11.5 14.2 $30.00 27000 1.57 $1,400 68% $1,400 41% 0
Buddy 0% 2 3/16/2022 YES 5.8 10.5 $30.50 20000 3.72 $1,300 64% $1,200 41% 0
Egg 0% 2 5/19/2021 7.1 12.9 $26.50 16000 1.96 $1,200 65% $1,056 17% 0

CAPSTONE ® COURIER Page 7

Performance Segment Analysis C102618 Round: 3
Dec. 31, 2021

Performance Statistics
Total Industry Unit Demand 3,293
Actual Industry Unit Sales |3,293
Segment % of Total Industry |10.1%

Next Year's Segment Growth Rate |19.8%

Performance Customer Buying Criteria
Expectations Importance
1. Reliability MTBF 22000-27000 43%
2. Ideal Position Pfmn 12.4 Size 13.9 29%
3. Price $23.50 - 33.50 19%
4. Age Ideal Age = 1.0 9%

Top Products in Performance Segment

Units Cust. Cust. Dec.
Market Sold to Revision Stock Pfmn Size List Age Promo A
ware- Sales A

ccess-
Cust
Name Share Seg Date Out Coord Coord Price MTBF Dec.31 Budget n
ess Budget ibility
Survey
Foam 28% 923 9/9/2021 12.8 13.5 $33.40 27000 1.39 $1,100 64% $1,305 35% 37
Dot 22% 723 10/30/2021 11.4 14.6 $34.00 27000 1.44 $1,600 92% $1,600 39% 35
Aft 18% 594 9/28/2021 YES 11.0 14.9 $34.00 27000 1.44 $1,800 100% $1,800 46% 34
Bold 17% 563 8/15/2021 YES 11.5 14.2 $30.00 27000 1.57 $1,400 68% $1,400 37% 41
Coat 10% 322 12/21/2021 11.0 14.6 $34.00 27000 1.50 $800 44% $800 30% 22
Cobalt 4% 127 9/15/2021 11.2 12.0 $37.00 25000 0.83 $1,600 66% $1,600 30% 3
Bid 1% 39 6/12/2022 10.6 11.6 $34.00 24000 3.04 $1,500 75% $1,500 37% 3

CAPSTONE ® COURIER Page 8

Size Segment Analysis C102618 Round: 3
Dec. 31, 2021

Size Statistics
Total Industry Unit Demand 3,284
Actual Industry Unit Sales |3,284
Segment % of Total Industry |10.1%

Next Year's Segment Growth Rate |18.3%

Size Customer Buying Criteria
Expectations Importance
1. Ideal Position Pfmn 6.1 Size 7.6 43%
2. Age Ideal Age = 1.5 29%
3. Reliability MTBF 16000-21000 19%
4. Price $23.50 - 33.50 9%

Top Products in Size Segment

Units Cust. Cust. Dec.
Market Sold to Revision Stock Pfmn Size List Age Promo A
ware- Sales A

ccess-
Cust
Name Share Seg Date Out Coord Coord Price MTBF Dec.31 Budget n
ess Budget ibility
Survey
Fume 37% 1,210 11/29/2021 YES 6.1 7.2 $33.50 16000 1.28 $1,100 64% $1,305 38% 29
Dune 24% 789 10/2/2021 YES 5.4 8.6 $34.50 21000 1.49 $1,750 91% $1,750 41% 28
Agape 18% 600 7/18/2022 4.4 10.8 $34.00 20000 2.88 $1,400 84% $1,400 41% 7
Cure 14% 475 11/8/2021 5.0 9.5 $34.00 20000 1.57 $1,000 52% $1,000 27% 12
Buddy 6% 204 3/16/2022 YES 5.8 10.5 $30.50 20000 3.72 $1,300 64% $1,200 31% 5
Baker 0% 6 10/31/2021 YES 8.3 12.5 $23.00 18500 2.00 $2,600 100% $2,600 31% 0

CAPSTONE ® COURIER Page 9

 Round: 3
Market Share C102618 Dec. 31, 2021

Actual Market Share in Units Potential Market Share in Units

Trad Low High Pfmn Size Total Trad Low High Pfmn Size Total
Industry Unit Sales 9,619 12,488 4,007 3,293 3,284 32,691 Units Demanded 9,619 12,488 4,007 3,293 3,284 32,691
% of Market 29.4% 38.2% 12.3% 10.1% 10.1% 100.0% % of Market 29.4% 38.2% 12.3% 10.1% 10.1% 100.0%

Able 12.6% 3.7% Able 12.1% 3.6%

Acre 17.8% 6.8% Acre 13.3% 5.1%
Adam 17.9% 2.2% Adam 17.1% 2.1%
Aft 18.0% 1.8% Aft 20.0% 2.0%
Agape 18.3% 1.8% Agape 13.2% 1.3%
Total 12.6% 17.8% 17.9% 18.0% 18.3% 16.4% Total 12.1% 13.3% 17.1% 20.0% 13.2% 14.1%

Baker 10.2% 0.2% 3.0% Baker 12.4% 0.2% 3.7%

Bead 12.2% 12.9% 8.5% Bead 12.0% 11.5% 7.9%
Bid 7.2% 1.2% 1.0% Bid 6.8% 1.0% 0.9%
Bold 0.2% 0.2% 17.1% 1.8% Bold 0.3% 0.3% 24.2% 2.6%
Buddy 0.9% 6.2% 0.9% Buddy 1.3% 8.7% 1.3%
Total 23.5% 12.9% 7.5% 18.3% 6.4% 15.3% Total 26.0% 11.5% 7.2% 25.3% 8.9% 16.4%

Cake 9.2% 2.7% Cake 8.9% 2.6%

Cedar 10.3% 3.9% Cedar 6.9% 2.6%
Cid 4.9% 0.6% Cid 4.6% 0.6%
Coat 9.8% 1.0% Coat 8.4% 0.8%
Cure 14.5% 1.5% Cure 10.4% 1.0%
Cobalt 7.9% 3.9% 1.4% Cobalt 7.6% 3.3% 1.3%
Total 9.2% 10.3% 12.7% 13.6% 14.5% 11.0% Total 8.9% 6.9% 12.1% 11.8% 10.4% 9.0%

Daze 13.3% 1.6% 4.5% Daze 12.9% 1.1% 4.2%

Dell 8.7% 3.3% Dell 9.2% 3.5%
Dixie 16.8% 2.1% Dixie 16.0% 2.0%
Dot 22.0% 2.2% Dot 18.9% 1.9%
Dune 24.0% 2.4% Dune 25.8% 2.6%
Total 13.3% 10.3% 16.8% 22.0% 24.0% 14.5% Total 12.9% 10.3% 16.0% 18.9% 25.8% 14.2%

Eat 10.1% 8.1% 6.1% Eat 9.8% 5.5% 5.0%

Ebb 23.8% 9.1% Ebb 28.4% 10.9%
Echo 11.3% 3.3% Echo 10.9% 3.2%
Egg 12.9% 3.8% Egg 12.5% 3.7%
Total 34.3% 32.0% 22.3% Total 33.2% 33.9% 22.7%

Fast 7.1% 5.6% 4.2% Fast 6.9% 4.0% 3.6%

Feat 11.1% 4.2% Feat 20.0% 7.6%
Fist 20.7% 2.5% Fist 19.5% 2.4%
Foam 28.0% 2.8% Foam 24.0% 2.4%
Fume 36.8% 3.7% Fume 41.7% 4.2%
Fox 24.4% 3.0% Fox 28.0% 3.4%
Total 7.1% 16.7% 45.1% 28.0% 36.8% 20.5% Total 6.9% 24.0% 47.5% 24.1% 41.7% 23.6%

CAPSTONE ® COURIER Page 10

 Round: 3
Perceptual Map C102618 Dec. 31, 2021

Andrews Baldwin Chester

Name Pfmn Size Revised Name Pfmn Size Revised Name Pfmn Size Revised
Able 7.1 12.9 9/6/2021 Baker 8.3 12.5 10/31/2021 Cake 6.2 13.8 6/6/2021
Acre 4.0 16.0 8/3/2021 Bead 5.0 15.0 1/20/2021 Cedar 2.7 17.2 6/5/2021
Adam 10.2 9.8 9/7/2021 Bid 10.6 11.6 6/12/2022 Cid 9.0 11.0 6/17/2022
Aft 11.0 14.9 9/28/2021 Bold 11.5 14.2 8/15/2021 Coat 11.0 14.6 12/21/2021
Agape 4.4 10.8 7/18/2022 Buddy 5.8 10.5 3/16/2022 Cure 5.0 9.5 11/8/2021
Cobalt 11.2 12.0 9/15/2021

Digby Erie Ferris

Name Pfmn Size Revised Name Pfmn Size Revised Name Pfmn Size Revised
Daze 6.4 13.6 8/22/2021 Eat 5.5 14.5 1/15/2021 Fast 5.5 14.5 4/21/2020
Dell 2.4 17.5 9/13/2021 Ebb 3.0 17.0 1/15/2020 Feat 3.0 17.0 7/27/2023
Dixie 10.7 9.3 9/25/2021 Echo 7.1 12.9 8/21/2021 Fist 11.3 8.6 11/30/2021
Dot 11.4 14.6 10/30/2021 Egg 7.1 12.9 5/19/2021 Foam 12.8 13.5 9/9/2021
Dune 5.4 8.6 10/2/2021 Fume 6.1 7.2 11/29/2021
Fox 12.0 8.0 11/29/2021

CAPSTONE ® COURIER Page 11

 Round: 3
HR/TQM Report C102618 Dec. 31, 2021
HUMAN RESOURCES SUMMARY
Andrews Baldwin Chester Digby Erie Ferris
Needed Complement 982 836 1,187 1,016 990 1,126
Complement 982 836 1,187 1,017 990 1,126
1st Shift Complement 749 633 930 861 565 585
2nd Shift Complement 233 203 257 156 425 541
Overtime Percent 0.0% 0.0% 0.0% 0.0% 0.0% 0.0%
Turnover Rate 8.5% 9.6% 10.0% 6.9% 9.0% 8.7%
New Employees 84 430 518 662 284 393
Separated Employees 52 0 0 0 0 0
Recruiting Spend $1,000 $0 $0 $4,000 $2,000 $2,500
Training Hours 40 10 0 80 25 30
Productivity Index 100.0% 100.0% 100.0% 107.9% 100.4% 102.2%
Recruiting Cost $167 $430 $518 $3,312 $851 $1,374
Separation Cost $260 $0 $0 $0 $0 $0
Training Cost $786 $167 $0 $1,627 $495 $676
Total HR Admin Cost $1,213 $598 $518 $4,939 $1,346 $2,050
Labor Contract Next Year
Wages $24.31 $24.31 $24.31 $24.31 $24.31 $24.31
Benefits 2,500 2,500 2,500 2,500 2,500 2,500
Profit Sharing 2.0% 2.0% 2.0% 2.0% 2.0% 2.0%
Annual Raise 5.0% 5.0% 5.0% 5.0% 5.0% 5.0%
Starting Negotiation Position
Wages
Benefits
Profit Sharing
Annual Raise
Ceiling Negotiation Position
Wages
Benefits
Profit Sharing
Annual Raise
Adjusted Labor Demands
Wages
Benefits
Profit Sharing
Annual Raise
Strike Days

TQM SUMMARY
Andrews Baldwin Chester Digby Erie Ferris
Process Mgt Budgets Last Year
CPI Systems $0 $0 $0 $0 $750 $0
VendorJIT $16 $0 $0 $0 $750 $0
Quality Initiative Training $0 $0 $0 $0 $750 $0
Channel Support Systems $8 $0 $0 $0 $0 $750
Concurrent Engineering $8 $0 $0 $0 $0 $750
UNEP Green Programs $0 $0 $0 $0 $750 $0

TQM Budgets Last Year

Benchmarking $0 $0 $0 $0 $0 $750
Quality Function Deployment Effort $0 $0 $0 $0 $0 $750
CCE/6 Sigma Training $0 $0 $0 $0 $0 $750
GEMI TQEM Sustainability Initiatives $0 $0 $0 $0 $750 $0
Total Expenditures $32 $0 $0 $0 $3,750 $3,750

Cumulative Impacts
Material Cost Reduction 0.00% 0.00% 0.00% 0.00% 0.35% 0.01%
Labor Cost Reduction 0.00% 0.00% 0.00% 0.00% 0.30% 0.04%
Reduction R&D Cycle Time 0.00% 0.00% 0.00% 0.00% 0.00% 3.93%
Reduction Admin Costs 0.00% 0.00% 0.00% 0.00% 0.44% 2.44%
Demand Increase 0.00% 0.00% 0.00% 0.00% 0.04% 0.32%

CAPSTONE ® COURIER Page 12

 Annual Report
Round: 3
Annual Report Andrews C102618
Dec. 31, 2021
Balance Sheet
DEFINITIONS: Common Size: The common size column
simply represents each item as a percentage of total ASSETS 2021 2020
assets for that year. Cash: Your end-of-year cash Common
position. Accounts Receivable: Reflects the lag between
Size
delivery and payment of your products. Inventories: The Cash $0 0.0% $8,507
current value of your inventory across all products. A zero
Account Receivable $12,303 10.4% $13,307
indicates your company stocked out. Unmet demand
would, of course, fall to your competitors. Plant & Inventory $37,904 32.2% $16,073
Equipment: The current value of your plant. Accum Total Current Assets $50,207 42.6% $37,887
Deprec: The total accumulated depreciation from your
plant. Accts Payable: What the company currently owes
Plant & Equipment $130,856 111.0% $130,856
suppliers for materials and services. Current Debt: The
debt the company is obligated to pay during the next year Accumulated Depreciation ($63,211) -53.6% ($54,487)
of operations. It includes emergency loans used to keep Total Fixed Assets $67,645 57.4% $76,369
your company solvent should you run out of cash during Total Assets $117,852 100.0% $114,256
the year. Long Term Debt: The companys long term debt
is in the form of bonds, and this represents the total value LIABILITIES & OWNERS
of your bonds. Common Stock: The amount of capital
EQUITY
invested by shareholders in the company. Retained
Earnings: The profits that the company chose to keep Accounts Payable $9,950 8.4% $9,695
instead of paying to shareholders as dividends.
Current Debt $21,037 17.9% $1,932
Long Term Debt $15,520 13.2% $34,750
Total Liabilities $46,507 39.5% $46,377

Common Stock $18,360 15.6% $18,360

Retained Earnings $52,986 45.0% $49,519
Total Equity $71,346 60.5% $67,879
Total Liab. & O. Equity $117,852 100.0% $114,256

Cash Flow Statement

The Cash Flow Statement examines what happened in the Cash Account Cash Flows from Operating Activities 2021 2020
during the year. Cash injections appear as positive numbers and cash Net Income(Loss) $3,466 $9,411
withdrawals as negative numbers. The Cash Flow Statement is an excellent Depreciation $8,724 $8,724
tool for diagnosing emergency loans. When negative cash flows exceed Extraordinary gains/losses/writeoffs $770 ($18)
positives, you are forced to seek emergency funding. For example, if sales Accounts Payable $255 $521
are bad and you find yourself carrying an abundance of excess inventory,
Inventory ($21,831) ($8,652)
the report would show the increase in inventory as a huge negative cash
Accounts Receivable $1,004 ($100)
flow. Too much unexpected inventory could outstrip your inflows, exhaust
your starting cash and force you to beg for money to keep your company Net cash from operation ($7,612) $9,886
afloat. Cash Flows from Investing Activities
Plant Improvements $0 ($13,406)
Cash Flows from Financing Activities
Dividends paid $0 $0
Sales of common stock $0 $0
Purchase of common stock $0 $0
Cash from long term debt $0 $0
Retirement of long term debt ($20,000) ($6,932)
Change in current debt(net) $19,105 $1,932
Net cash from financing activities ($895) ($5,000)
Net change in cash position ($8,507) ($8,520)
Closing cash position $0 $8,507

Annual Report Page 13

 Round: 3
Annual Report Andrews C102618
Dec. 31, 2021
2021 Income Statement
2021 Common
(Product Name) Able Acre Adam Aft Agape Aru Arg
Total
Size
Sales $35,039 $46,785 $27,257 $20,199 $20,406 $0 $0 $0 $149,686100.0%
Variable Costs:
Direct Labor $10,019 $16,523 $6,630 $5,484 $5,730 $0 $0 $0 $44,38729.7%
Direct Material $12,387 $15,653 $10,974 $8,576 $7,251 $0 $0 $0 $54,84136.6%
Inventory Carry $3,502 $371 $394 $0 $282 $0 $0 $0 $4,5483.0%
Total Variable $25,908 $32,546 $17,998 $14,060 $13,263 $0 $0 $0 $103,77669.3%
Contribution Margin $9,130 $14,239 $9,259 $6,139 $7,143 $0 $0 $0 $45,91030.7%
Period Costs:
Depreciation $3,122 $2,802 $1,200 $800 $800 $0 $0 $0 $8,7245.8%
SG&A: R&D $690 $595 $694 $752 $1,000 $1,000 $1,000 $0 $5,7313.8%
Promotions $1,500 $2,000 $1,800 $1,800 $1,400 $0 $0 $0 $8,5005.7%
Sales $2,000 $1,500 $2,000 $1,800 $1,400 $0 $0 $0 $8,7005.8%
Admin $529 $707 $412 $305 $308 $0 $0 $0 $2,2601.5%
Total Period $7,841 $7,603 $6,106 $5,457 $4,908 $1,000 $1,000 $0 $33,91622.7%
Net Margin $1,289 $6,636 $3,153 $682 $2,234 ($1,000) ($1,000) $0 $11,9948.0%
Definitions: Sales: Unit Sales times list price. Direct Labor: Labor costs incurred to produce the product Other $1,102 0.7%
that was sold. Inventory Carry Cost: the cost unsold goods in inventory. Depreciation: Calculated on EBIT $10,893 7.3%
straight-line. 15-year depreciation of plant value. R&D Costs: R&D department expenditures for each Short Term Interest $3,278 2.2%
product. Admin: Administration overhead is estimated at 1.5% of sales. Promotions: The promotion budget Long Term Interest $2,173 1.5%
for each product. Sales: The sales force budget for each product. Other: Chargs not included in other Taxes $1,905 1.3%
categories such as Fees, Write offs, and TQM. The fees include money paid to investment bankers and Profit Sharing $71 0.0%
brokerage firms to issue new stocks or bonds plus consulting fees your instructor might assess. Write-offs Net Profit $3,466 2.3%
include the loss you might experience when you sell capacity or liquidate inventory as the result of
eliminating a production line. If the amount appears as a negative amount, then you actually made money
on the liquidation of capacity or inventory. EBIT: Earnings Before Interest and Taxes. Short Term Interest:
Interest expense based on last years current debt, including short term debt, long term notes that have
become due, and emergency loans, Long Term Interest: Interest paid on outstanding bonds. Taxes:
Income tax based upon a 35% tax rate. Profit Sharing: Profits shared with employees under the labor
contract. Net Profit: EBIT minus interest, taxes, and profit sharing.

Annual Report Page 14