Estate of Georgina T. Gimbel, Deceased, Janet G. Rogers, JoAnne M. Gimbel, and Thomas W. Gimbel, Co-Executors and Co-Trustees - Page 25

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          estate’s Reliance shares).  Nunes calculates $37,475,695 in gross           
          sales proceeds on the estate’s 1,800,364 dribble-out shares                 
          (1,800,634 shares times $20.8125).  In calculating a discount               
          under the dribble-out method, Nunes concludes that, in order to             
          protect against the risk that the price of Reliance stock might             
          decrease during the extended dribble-out period, a hypothetical             
          investor would enter into hedging contracts such as “cashless               
          collars” or “prepaid variable forward contracts,” which hedging             
          contracts Nunes estimates would cost $1,885,005.  From the                  
          $37,475,685 estimated sales proceeds for the estate’s 1,800,364             
          Reliance shares to be dribbled out, Nunes subtracts the                     
          $1,885,005 estimated cost for the hedging contracts, resulting in           
          $35,590,680 in net sales proceeds to be realized on the estate’s            
          1,800,364 dribble-out Reliance shares, reflecting a 5-percent               
          discount from the valuation date trading value.                             
               Nunes’ 13.9-percent discount applied to the 1,800,363                  
          repurchased shares and the 5-percent discount applied to the                
          1,800,364 dribble-out shares reflect a combined 9.5-percent                 
          overall discount from the valuation date trading value for all of           
          the estate’s 3,601,267 Reliance shares.                                     
               After reviewing the experts’ reports and the evidence at               
          trial, we conclude that the hedging contracts used by Range and             
          Nunes likely would not have been available for a block of stock             
          such as the estate’s Reliance shares.                                       

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Last modified: May 25, 2011