a2q17earningsdecka01

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1Q17 CALL CURRENT Better/ April 26, 2017 July 26, 2017 Worse 2017E 2018E Global GDP Growth Forecast (1) 2017E: 3.5% 2017E: 3.5% tu 3.5% 3.6% U.S. GDP Growth Forecast (1) 2017E: 2.3% 2017E: 2.1% q 2.1% 2.1% U.S. Unemployment Rate (2) 4.5% 4.4% q 4.4% 4.2% Inflation Rate – U.S. Annual CPI Index (2) 2.4% 1.6% q 2.1% 2.1% Crude Oil ($/barrel) (3) $50 $49 q $51 $55 Control of White House, Senate and HoR (4) R,R,R R,R,R tu R,R,R R,R,R Three-Month Libor (USD) (2) 1.2% 1.3% p 1.6% 2.3% 10-Yr U.S. Treasury Yield (2) 2.3% 2.3% q 2.6% 3.1% GBP-USD (2) 1.28 1.31 p 1.28 1.31 EUR-USD (2) 1.09 1.17 p 1.14 1.15 S&P 500 (2) 2,387 (YTD 7.3%); P/E: 21.7x 2,478 (YTD 11.9%); P/E: 21.5x p 19.0x 17.0x NASDAQ 100 (2) 5,541 (YTD 14.3%); P/E: 26.4x 5,951 (YTD 23.1%); P/E: 26.1x p 21.7x 19.0x RMZ (2)(5) 1,162 (YTD 2.4%); P/E: 16.0x 1,169 (YTD 4.0%); P/E: 16.3x p 15.4x N/A IT Spending Growth Worldwide (6) 2017E: 3.3% 2017E: 3.3% tu 3.3% 3.3% Server Shipment Worldwide (7) 2017E: 4.6% 2017E: 4.0% q 4.0% 3.2% Global Data Center to Data Center IP Traffic (8) CAGR 2015 - 2020E: 32% CAGR 2015 - 2020E: 32% tu CAGR 2015 - 2020E: 32% Global Cloud IP Traffic (8) CAGR 2015 - 2020E: 30% CAGR 2015 - 2020E: 30% tu CAGR 2015 - 2020E: 30%