1. A Tale of Two Cities: Financial Assumptions

2. 1 A Tale of Two Cities: Key Assumptions and Data Points Broadway Financial Projections Revenue Projections: Revenue ProjectionsOperating ProfitReturn on Investment Broadway revenue is based on a 1600 seat theater Average ticket price is $89 Broadway Revenue in Year 1 is projected at $59.0 million Broadway Revenue over 10 year period is projected at $573.0 million Broadway Revenue over 15 year period is projected at $839.0 million Broadway Operating Profit in year 1 is projected at $21.5 million Model A assumes that show sells at 100% capacity – Based on the projections, payback period is 43 weeks At 90% capacity the payback period is 56 weeks At 80% capacity the payback period is 73 weeks Other income is generated by a share of the profit from the foreign and domestic tours and from Licensing and Merchandising If the show runs for 10 years, more than $285.0 million in operating profit will be generated If the show runs for 15 years, more than $400.0 million in operating profit will be generated Operating Margin on the Broadway business is in the 36 to 50 % range At the end of 3 year period ROI is at 151% At the end of 5 year period ROI is at 314% At the end of 10 year period ROI is at 700% – At 90% capacity the 10 year ROI falls to 450% – At 80% capacity the 10 year ROI falls to 309% At the end of 15 year period ROI is over 1000%

3. 2 A Tale of Two Cities: Key Assumptions and Data Points Touring Financial Projections Revenue Projections: Revenue ProjectionsOperating ProfitReturn on Investment Touring Revenue is based on a 2,200 seat theater Average ticket price is $70 Tour Revenue in Year 2 is projected at $64.0 million Each tour requires an additional investment of $7.5 million It is assumed that 4 tours will be launched in the five year period Foreign Tours will also add additional revenue and profit At the end of 9 years Touring Revenue will go over $1.8 billion At the end of 14 years Touring Revenue will go over $3.0 billion Touring Operating Profit in year 1 is projected at $19.0 million Model A assumes that show sells at 100% capacity Investment in each tour is projected at $7.5 million Based on the projections payback period is 31 weeks – At 90% capacity the payback period is 39 weeks – At 80% capacity the payback period is 51 weeks If the show runs for ten years, more than $537.0 million in operating profit will be generated Profit at the end of 15 years is projected to exceed $800.0 million Operating Margin on the Touring Business is in the 30% Range At the end of 2 year period ROI is at 112% At the end of 4 year period ROI is at 150% At the end of 10 year period ROI is at 496% – At 90% capacity the 10 year ROI falls to 393% – At 80% capacity the 10 year ROI falls to 289%. At the end of 15 year period ROI is over 800%

4. A Tale of Two Cities: Financial Projections