You are estimating the fundamental value of young airline

You are estimating the fundamental value of young airline. The payout ratio was changing significantly during last 5 years, but in 2012 company is going to fix the payout ration at 40%. Net Income 2011 is $2bn. Analysts say that in 2012 the growth rate of net income will be about 7%, in 2013 – 10%, in 2014 – 8%. After that everybody expects company’s growth rate to stabilize at 3% level. Analysts forecast that in stable growth stage CFO of the airline will propose to decrease the reinvestment ratio to 30%. Required return for the investment of the same risk level is 10%. As of today the number of shares of the airline in the market is 250 mln. Estimate fundamental value of company’s equity.