Dixon Corporation

Exhibit 8 1979 Revenues Sales-Ton Avg Price/Ton Sales - $000 Mfg Costs Variable - Power Graphite Salt etc Total Variable Fixed Total Fixed Total Mfg Other charges Selling R&D Depr Total Op. Profit Tax Rate CASHFLOWS EBIT(1-T) Depreciation CapEx Change in NWC Recoveries: NWC Tax shield cap. Loss FCF Disc. rate 15.71% Discounted cf. NPV 12000 48.00% Labor Maint Other 1980 32000 415 13280 1981 35000 480 16800 1982 38000 520 19760 1983 38000 562 21356 1984 38000 606 23028 1985 38000 654 24870 1986 38000 707 26860 1987 38000 763 29009 1988 38000 824 31329 1989 38000 890 33836

Increase 81-84

Forecast 85-89

8.08% Incr./ton 80-84

8.00%

6304 645 1285 8234 1180 256 1154 2590 10824 112 451 1060 1623 833

7735 791 1621 10147 1297 277 1148 2722 12869 125 478 1110 1713 2218

9386 875 1753 12014 1427 299 1179 2905 14919 138 508 1160 1806 3035

10526 940 1836 13302 1580 322 1113 3015 16317 152 543 1210 1905 3134

11780 992 1956 14728 1738 354 1153 3245 17973 168 591 1270 2029 3026

13194 1042 2084 16319 1915 384 1153 3452 19771 186 632 1330 2148 2951

14777 1094 2221 18091 2109 416 1154 3680 21771 206 677 1390 2272 2817

16550 1148 2366 20064 2324 451 1154 3930 23994 228 724 1450 2402 2613

18536 1206 2521 22263 2560 490 1155 4205 26468 252 775 1510 2537 2325

20760 1266 2686 24713 2821 531 1155 4507 29220 279 829 1570 2678 1938

12.00% 6.74% 6.55% Incr. 80-84 10.17% 8.44% 0.04% 5.81%

12.00% 5.00% 6.55% 10.17% 8.44% 0.04%

10.67% 7.00%

10.67% 7.00%

433 1060 485 -204

1153 1110 525 316

1578 1160 560 266

1630 1210 600 144

1574 1270 600 150

1534 1330 600 166

1465 1390 600 179

1359 1450 600 193

1209 1510 600 209

1008 1570 600 226 3044 1589

-12000 -12000 -2231

1212 1048

1422 1062

1912 1234

2096 1169

2094 1009

2099 874

2076 747

2015 627

1910 514

6386 1484

1979 Assets AR Inv NET PPE Total Liabilities AP Net Working Capital Net Assets Percentage of Sales Ratios Power Variable FC...