The program committee did a great job this year (see link at left for the program committee members) planning variety of issues and topics. As in the past, we have three main sessions at the conference, yet if one was looking for a key theme, that single idea would be “Valuation.” Each of the three sessions deals with valuation in some manner.

Beginning with the first session, Real Options is an alternative approach to valuing complex, non-linear projects – the type we increasingly face. This session will start with a bridge from traditional notions of DCF valuation which we understand well, show the linkages to real options and then move beyond to drill down into mini-cases that will allow us to investigate how various software tools can provide real-world solutions to certain classes of problems.

On Friday morning, we are privileged to have two senior statesmen in the area of corporate performance and its impact of firm value with us; Marty Liebowitz from Morgan Stanley and Bennett Stewart from Stern Stewart.

Friday afternoon, our attention turns to mergers and acquisitions. Clearly, valuation (and our ability to add or destroy value) is, of course, one of a core set of issues when considering such key transactions. Here, we will have a handful of presentations and examples with plenty of room for dialogue and debate.

Aside from these three main sessions, we have several keynote addresses. The conference will begin with a lunch time talk on Thursday that will deal with market expectations from a speaker well known to many of you, Michael Mauboussin. Viewed through the lenses of corporate finance, these ideas provide a fresh approach as to the market’s assessment of the cost of capital. Next, the program committee heard a clear call to have some one talk to us about issues in pensions and the retirement system. We are fortunate in that chief executive of the PBGC, Brad Belt, will be our dinner speaker on Thursday. Our third speaker for lunch on Friday is Prof. Richard Ruback from Harvard Business School. His task will be to take us through a ‘working’ lunch where we talk through issues in valuation.

Schedules and conflicts arise over time, however below is the latest version of the agenda.

Program Agenda

Thursday, May 12

12:00 - 1:10: Registration and Lunch at the Allen Center

Speaker: Michael Mauboussin – Legg Mason Funds Management

“Expectations Investing”

Afternoon (Session 1): Application of Real Options

Moderator: Robert McDonald, Northwestern University

1:30 – 2:40: A Bridge Between traditional DCF and Real Options

Mini-case discussions and real options software applications

Gill Eapen, Decision Options

Raul Guerrero, Dynamic Decisions

2:40 – 3:00: Break

3:00 – 4:45: Panel Discussion on Application of Real Options Analysis

Robert McDonald

Gill Eapen

Raul Guerrero

Thoi Truong

Thursday Evening Program

5:00 – 6:00: Reception

6:00 – 7:30: Dinner

Speaker: Mr. Bradley D. Belt, Executive Director, Pension Benefit Guaranty Corporation

“Challenges Facing DB Plans and the Retirement System”

7:30: After Dinner Reception at the Allen Center

Friday, May 13

8:00 – 8:30: Breakfast at the Allen Center

Morning (Session 2): Economic Value Added and Franchise Factor Models

Moderator: Sheridan Titman, University of Texas at Austin

8:30 – 9:30: Presentations

Marty Leibowitz, Morgan Stanley - The Franchise Factor Model

Bennett Stewart, Stern Stewart - Economic Value Added (EVA)

9:45 –10:10: Break

10:10 –11:30: Panel Discussion

Sheridan Titman

Martin Leibowitz

Bennett Stewart

Dean Nolden, Manitowoc

Thomas Thomas, Genetech

Paul Kinscherff, Boeing

Paul Hagy, AON

11:30 –1:00: Working Lunch & Open Forum Discussion on Valuation

Moderator: Richard Ruback, Harvard Business School

Afternoon (Session 3): Mergers and Acquisitions

Moderator: Robert Parrino, University of Texas at Austin

1:00 – 2:00: Presentations

Robert Bruner, University of Virginia

Greg Pearlman, Citigroup

2:00 – 2:15: Break

2:15 – 4:00: Panel Discussion on Mergers and Acquisitions

Robert Parrino

Robert Bruner

Greg Pearlman

Jay Krasoff, Chiron Financial Group

Todd Pulvino, Northwestern University

Adam Spice, Broadcom

Daniel Doheny, Reyes Holdings

4:00 – 4:15: Closing Observations

Richard Passov, Pfizer

4:15: Mini Vans depart for O’Hare and Midway airports