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at trial that he calculated the amounts of discounts from net
asset value at which the limited partnership units were trading
based on the lowest trading prices listed in the source document,
which resulted in his generating slightly higher discounts (about
3 percent higher) than would have been produced if he had used the
average of the range of trading prices for each limited
partnership unit that were reflected in the source document.
Mr. Thomson determined to apply a 23-percent lack-of-
marketability discount. He stated in his expert report and at
trial that the starting point for that discount was 33 to 36
percent (base range), which he identified as the discount for lack
of marketability applicable to relatively small minority interests
in companies that were for the most part operating companies. In
arriving at the base range for his lack-of-marketability discount,
Mr. Thomson reviewed certain, but not all, of the restricted stock
studies considered by Mr. Howard and/or Mr. Pratt. Mr. Thomson
found that the restricted stock studies that he examined showed
that the discounts for restricted stock ranged from 26.5 percent
to 36 percent, and he used the upper end of that range, i.e., 33
to 36 percent, as the base range for determining the lack-of-
marketability discount for each of the blocks of ADDI&C stock at
issue. Mr. Thomson also relied on the following factors to
determine the specific lack-of-marketability discount applicable
to each of those blocks: (1) The size of each block of ADDI&C
stock at issue and its ability to influence management decisions;
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