Buy safety shoes only from reputable manufacturers. Collect information before deciding from which manufacturers we will buy. In a recent valuation of Walgreen using the same process, it was suggested that fair value was in the region of $40 per share or 7.25x EBITDA; however, Walgreen’s current market valuation is under 6x EBITDA. The principle driver of Alliance Boots’ warranted EBITDA premium over Walgreen is its tax rate, which is significantly lower, meaning the company keeps more its cash
