Main  /  Members  /  Microsoft Corp (MSFT)  /  Financial Forecast Assumptions


Financial Forecast Assumptions
Microsoft Corp (MSFT)
(Dollars and Shares in Millions, Except Per Share Amounts)

 Actual Forecast
  12 Months  
06/30/03  		 12 Months  
06/30/04  		 12 Months  
06/30/05  		   12 Months  
06/30/06  		 12 Months  
06/30/07  		 12 Months  
06/30/08  		 12 Months  
06/30/09  		 12 Months  
06/30/10  
 
Year-to-Year Change in Net Sales NA   14.4%   8.0%    10.0%   10.0%   10.0%   10.0%   10.0%  
 
Operating Expenses as % of Net Sales 70.4%   75.5%   63.4%    70.0%   70.0%   70.0%   70.0%   70.0%  
 
Other Income (Expense) $1,509   $3,162   $2,067    $0   $0   $0   $0   $0  
 
Interest Rate on Borrowings NA   NA   NA    9.0%   9.0%   9.0%   9.0%   9.0%  
 
Interest Rate on Subordinated Debt NA   NA   NA    12.0%   12.0%   12.0%   12.0%   12.0%  
 
Income Tax Rate 31.9%   33.0%   26.3%    30.0%   30.0%   30.0%   30.0%   30.0%  
 
Cash $49,048   $60,592   $37,751    $0   $0   $0   $0   $0  
 
Number of Days Sales in Accounts Receivable 58.9   58.4   65.9    65.9   65.9   65.9   65.9   65.9  
 
Other Current Assets $4,729   $4,084   $3,806    $3,806   $3,806   $3,806   $3,806   $3,806  
 
Intangibles $3,512   $3,684   $3,808    $3,808   $3,808   $3,808   $3,808   $3,808  
 
Investments $13,692   $12,210   $11,004    $11,004   $11,004   $11,004   $11,004   $11,004  
 
Other Assets $3,332   $5,582   $4,920    $4,920   $4,920   $4,920   $4,920   $4,920  
 
Current Maturities $0   $0   $0    $0   $20   $20   $20   $20  
 
Number of Days Operating Expenses in Accounts Payable 25.4   22.5   30.2    30.2   30.2   30.2   30.2   30.2  
 
Number of Days Operating Expenses in Accrued Expenses 22.8   17.6   24.1    24.1   24.1   24.1   24.1   24.1  
 
Taxes Payable $2,044   $3,478   $2,020    $0   $0   $0   $0   $0  
 
Other Current Obligations $7,225   $6,514   $7,502    $0   $0   $0   $0   $0  
 
Other Current Liabilities $1,716   $1,921   $3,607    $0   $0   $0   $0   $0  
 
Term Loan $0   $0   $0    $1,223   $978   $734   $489   $245  
 
Subordinated Debt $0   $0   $0    $213,281   $213,281   $213,281   $213,281   $0  
 
Other Long Term Obligations $1,790   $1,663   $1,665    $0   $0   $0   $0   $0  
 
Other Liabilities $1,056   $2,911   $4,158    $0   $0   $0   $0   $0  
 
Common Stock $49,234   $56,396   $60,413    $94,639   $94,639   $94,639   $94,639   $94,639  
 
Preferred Stock $0   $0   $0    $0   $0   $0   $0   $0  
 
Other Equity $0   $0   $0    $0   $0   $0   $0   $0  
 
Treasury Stock $0   $0   $0    $0   $0   $0   $0   $0  
 
Capital Expenditures (Net) NA   $411   $(114)    $500   $500   $500   $500   $500  
 
Dividends as % of Net Earnings 11.4%   21.2%   294.7%    0.0%   0.0%   0.0%   0.0%   0.0%  
 
Depreciation (Net) NA   $308   $(134)    $400   $400   $400   $400   $400  
 
Estimated Borrowing Base as a % of Accounts Receivable 80.0%   80.0%   80.0%    80.0%   80.0%   80.0%   80.0%   80.0%  
 
Estimated Borrowing Base as a % of
      Property, Plant and Equipment (Net)		 50.0%   50.0%   50.0%    50.0%   50.0%   50.0%   50.0%   50.0%  
 
Common Shares Outstanding (Fully Diluted) 10,882   10,894   10,906    10,906   10,906   10,906   10,906   10,906