a4q16earningsdecka01

3Q16 Call CURRENT Better/ October 25, 2016 February 15, 2017 Worse 2017E 2018E Global GDP Growth Forecast (1) 2017E: 3.4% 2017E: 3.4% tu 3.4% 3.6% U.S. GDP Growth Forecast (1) 2017E: 2.2% 2017E: 2.3% p 2.3% 2.5% U.S. Unemployment Rate (2) 5.0% 4.8% q 4.6% 4.5% Inflation Rate – U.S. Annual CPI Index (2) 1.5% 2.5% p 2.4% 2.3% Crude Oil ($/barrel) (3) $50 $53 p $55 $60 Control of White House, Senate and HoR (4) D,D,R R,R,R p R,R,R R,R,R Three-Month Libor (USD) (2) 0.9% 1.0% p 1.5% n/a 10-Yr U.S. Treasury Yield (2) 1.8% 2.5% p 2.8% n/a GBP-USD (2) 1.22 1.25 p 1.24 1.28 EUR-USD (2) 1.09 1.06 q 1.05 1.10 S&P 500 (2) 2,143 (YTD 6.7%); P/E: 20.1x 2,349 (YTD 5.2%); P/E: 21.6x p 18.1x 16.2x NASDAQ 100 (2) 4,891 (YTD 7.6%); P/E: 24.6x 5,302 (YTD 9.2%); P/E: 25.6x p 19.9x 17.5x RMZ (2) (5) 1,149 (YTD 7.7%); P/FFO: 15.5x 1,153 (YTD 0.8%); P/FFO: 15.9x q 15.9x n/a IT Spending Growth Worldwide (6) 2017E: 2.6% 2017E: 2.7% p 2.7% 2.6% Server Shipment Worldwide (7) 2017E: 3.7% 2017E: 6.4% p 6.4% 2.3% Global Data Center to Data Center IP Traffic (8) CAGR 2014 - 2019E: 31% CAGR 2015 - 2020E: 32% p CAGR 2015 - 2020E: 32% Global Cloud IP Traffic (8) CAGR 2014 - 2019E: 33% CAGR 2015 - 2020E: 30% q CAGR 2015 - 2020E: 30%