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2ProcessTedatainthisStudywerederivedromthedenitiveinvestmentagreementsortransactionsclosedbyourrmandmeetingtheeligibilitycriteriaorthisStudy.Teagreementswereanalyzedbyattorneysatourrmandthereviewoeachagreementwasqualitycheckedbyasecondattorneyreviewer.Acommitteeolawyersresolvedalldiscrepanciesinthedataandcompletedanalqualitycontrolreview.DealSampleTe66dealsinthisStudyallinvolvedlawyersatourrmrepresentingclientsoourrmandnecessarilyreectthenegotiatingperspectivesandbiasesotheselawyersandclients.HoweverbecausewerepresentedtheinvestorinsomedealsandthetargetcompanyinothersandbecauseintheaggregatethedealsinthisStudyinvolveddozensodierentinvestorsanddozensoopposinglawrmswebelievetheresultingdataarerepresentativeoasignicantportionothegrowthequitymarket.EquityversusEnterpriseValueMostacquisitionindemnitystudiesuseenterprisevaluei.e.equityvalueplusindebtednessandcashastherelevantcompanyvaluemetricorpurposesocalculatingindemnitycapsandbasketsasapercentageocompanyvalue.Howevergiventhenatureoaminoritygrowthequitydealitisotendifculttoaccuratelydetermineromtheinvestmentdocumentswhattheenterprisevalueothetargetcompanywasatthetimeoinvestment.AccordinglywhencalculatingcapsandbasketsasapercentageocompanyvalueinthisStudyweinsteadusedequityvaluewhichweconsiderareasonableproxytocompareagainstpercentagesoenterprisevaluereportedoracquisitiontransactions.ABAStudyComparisonsWecomparedseveraloourdealpointstothecorrespondingdatainthe2011PrivateargetMergersAcquisitionsDealPointsStudypublishedbytheAmericanBarAssociationtheABAStudy.WeendeavoredineachcaseexceptasspecicallynotedhereintomatchourmethodologytothatotheABAStudy.Notethatwecomparedourdataonlytothedatareportedor2010dealsintheABAStudyandnottoanyprioryears.DataPresentationAllmonetarydataarereportedinU.S.dollars.InvestmentsinvolvingoreigncurrencieswereconvertedintoU.S.dollarsbasedontheprevailingexchangerateontherelevantclosingdate.Tepercentagesinsomeothechartsdonotaddto100duetorounding.mEthodoloGynotES