Merton Miller, 1990 Nobel Prize Laureate in Economics

I take my hat off to [Stern Value Management]. Don’t say I’ve never heard of M&M. If you’ve heard of EVA®, you have. Many of the essential notions underlying that were first stated in M&M. EVA® is simply M&M translated into English. You have to account for the cost of capital or you’re nowhere. The people at [Stern Value Management] are very talented at applying M&M to real world situations. They’re more entrepreneurial. We wrote the article. For us, that was the end of it. On the next thing, they set up a firm, and are working with management in ways that neither Franco nor I would be very good at.