Ball Corporation

Beta and WACC Derivation

Date SP500 S&P Return BLL Adj Price BLL Return

10/1/2013 1756.54 22.79
11/1/2013 1805.81 2.80% 23.30 2.23%
12/1/2013 1848.36 2.36% 24.21 3.90%
1/1/2014 1782.59 -3.56% 23.99 -0.91%
2/1/2014 1859.45 4.31% 26.03 8.54%
3/1/2014 1872.34 0.69% 25.80 -0.88%
4/1/2014 1883.95 0.62% 26.45 2.52%
5/1/2014 1923.57 2.10% 28.42 7.42%
6/1/2014 1960.23 1.91% 29.64 4.29%
7/1/2014 1930.67 -1.51% 28.97 -2.27%
8/1/2014 2003.37 3.77% 30.31 4.64%
9/1/2014 1972.29 -1.55% 30.04 -0.89%
10/1/2014 2018.05 2.32% 30.59 1.83%
11/1/2014 2067.56 2.45% 31.84 4.10%
12/1/2014 2058.90 -0.42% 32.49 2.04%
1/1/2015 1994.99 -3.10% 30.19 -7.10%
2/1/2015 2104.50 5.49% 34.18 13.23%
3/1/2015 2067.89 -1.74% 33.79 -1.14%
4/1/2015 2085.51 0.85% 35.12 3.92%
5/1/2015 2107.39 1.05% 33.96 -3.30%
6/1/2015 2063.11 -2.10% 33.68 -0.83%
7/1/2015 2103.84 1.97% 32.57 -3.29%
8/1/2015 1972.18 -6.26% 31.64 -2.84%
9/1/2015 1920.03 -2.64% 29.98 -5.25%
10/1/2015 2079.36 8.30% 33.02 10.13%
11/1/2015 2080.41 0.05% 33.46 1.34%
12/1/2015 2043.94 -1.75% 35.19 5.17%
1/1/2016 1940.24 -5.07% 32.33 -8.11%
2/1/2016 1932.23 -0.41% 32.04 -0.90%
3/1/2016 2059.74 6.60% 34.63 8.06%
4/1/2016 2065.30 0.27% 34.67 0.13%
5/1/2016 2096.95 1.53% 35.12 1.29%
6/1/2016 2098.86 0.09% 35.24 0.35%
7/1/2016 2173.60 3.56% 34.45 -2.24%
8/1/2016 2170.95 -0.12% 38.60 12.06%
9/1/2016 2168.27 -0.12% 40.08 3.83%
10/1/2016 2126.15 -1.94% 37.69 -5.95%
11/1/2016 2198.81 3.42% 36.71 -2.61%
12/1/2016 2238.83 1.82% 75.42 105.43%
1/1/2017 2278.87 1.79% 37.42 -50.38%
2/1/2017 2363.64 3.72% 36.08 -3.58%
3/1/2017 2362.72 -0.04% 36.57 1.35%
4/1/2017 2384.20 0.91% 37.87 3.54%
5/1/2017 2411.80 1.16% 40.29 6.39%
6/1/2017 2423.41 0.48% 41.68 3.46%
7/1/2017 2470.30 1.93% 41.37 -0.73%
8/1/2017 2471.65 0.05% 39.49 -4.56%
9/1/2017 2519.36 1.93% 40.89 3.54%
10/1/2017 2575.26 2.22% 42.50 3.95%
11/1/2017 2584.84 0.37% 39.51 -7.03%
12/1/2017 2673.61 3.43% 37.57 -4.92%
1/1/2018 2823.81 5.62% 37.99 1.14%
2/1/2018 2713.83 -3.89% 39.65 4.36%
3/1/2018 2640.87 -2.69% 39.51 -0.35%
4/1/2018 2648.05 0.27% 39.89 0.96%
5/1/2018 2705.27 2.16% 36.76 -7.83%
6/1/2018 2718.37 0.48% 35.47 -3.53%
7/1/2018 2816.29 3.60% 38.88 9.62%
8/1/2018 2901.52 3.03% 41.78 7.47%
9/1/2018 2913.98 0.43% 43.99 5.29%
10/1/2018 2658.69 -8.76% 43.39 -1.36%
WACC Calculation
S&P 500 BLL
COUNT 60 60
MEAN 0.74% 2.08%
STDEV 2.99% 15.88%
CORREL W/ S&P 1.00 0.16
BETA 1.0000 0.8540

Cost of Equity
Risk Free rate of return 3.36%Retrieved from U.S Department of Treasury
Market Rate 6.50%
Beta 0.854
Cost of Equity (CAPM) 8.92%

Cost of Debt
Earmings Before Taxes 514,000,000 All information retrieved from EDGAR 10-K Report
Taxes 165,000,000
Income tax rate 32.10%
BLL bond YTM 10/23/18 4.94% Retrieved from FINRA market website
Cost of Debt (After Tax) 3.35%

Weight Calculations
Closing Price
Shares Outstanding
Common Stock Financing
Long Term Debt Financing
Total Financing
Weight (Common Stock)
Weight (Debt)
$45.11 SEC.gov
339,191,000 NASDAQ.com
$15,300,906,010.00
$ 6,518,000,000.00
$21,818,906,010.00
70.13%
29.87%

WACC
Cost of Equity 8.92%
Cost of Debt 3.35%
Weight of Equity 70.13%
Weight of Debt 29.87%

Weighted Average Cost of Capital 7.25%

rom EDGAR 10-K Report