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materials or information that figured in such corroboration. His
assertions therefore can do little to increase our confidence.
Another difficulty we have with the valuation produced by
Mr. Cronkite’s market approach is the lack of explanation
concerning the factors taken into account in arriving at the
discount. Environmental issues are mentioned, and Mr. Cronkite
testified that this factor was very important to Mr. Marsh. When
asked what studies he reviewed in making a conclusion as to the
environmental problem, Mr. Cronkite responded:
You know, I don’t--I don’t recall actual studies.
I believe I had a lot of correspondence regarding the
environmental issues. My discussion with Mr. Marsh--he
was certainly well aware of them. The fact that they
couldn’t get, you know, refinancing due to the
environmental concerns was an issue, but my
understanding was, there was no dollar amount, you
know, put on this, this liability.
These remarks, and the reference to environmental issues in
the report, fall short not only of assuring us that Mr. Cronkite
had a reliable foundation for his understanding of the
seriousness of the environmental problem but also of permitting
us to assess the role it played relative to any other factors.
We therefore are unable to accept portions of the analysis while
making adjustments in other aspects that we might find
unsupported by the evidence. Nor can we usefully compare
components as between the two experts. We are placed in a
position of having largely to embrace or reject Mr. Cronkite’s
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