BANC ONE CORPORATION An Analysis of their Hedging Strategy By Mark Glitto‚ Gajendra Tulsian‚ Robert Young University of Florida Summer 1997 INTRODUCTION In 1993 the stock price of Banc One Corporation had dropped from about $45 at the beginning of the year to approximately $35 at the end of the year: roughly a 20% fall. This sharp decline in stock price greatly bothered John B. McCoy‚ chairman and CEO of Banc One Corporation. A high stock price was essential for Bank One’s strategic goal
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shock during 1970s‚ making the market under the extremely volatile condition. Maturity gap was used to analyze different between assets and liabilities in maturity and adjusted for the repricing interval. The basic mechanism behind this required Banc One to classify its assets and liabilities into differenct categories according to their relative repricing-adjusted time to maturity. Then‚ the maturity gap can be defined as the difference between assets dollar value and liabilities dollar value for
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Banc One Case Analysis Case Summary Banc One has a problem with the alignment of two of its important strategies: (1) rapidly acquiring profitable banks and (2) sustaining high returns while mitigating interest rate risk. Banc One has been very successful in acquiring banks‚ and much of this is done through the sale/transfer of Banc One’s stock. This strategy relies heavily on Banc One’s ability to maintain a high stock price. The second
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Solutions in the case Banc One’s stock price has fallen recently due to concerns of investors and analysts about the heavy use of the entity of interest rate derivatives. Dick Lodge‚ chief investment officer in charge of the bank’s investments and derivatives portfolio‚ the Director General shall recommend a plan of action to allay the fears of investors to the market and communicate the reasons for Banc One use of derivatives. The Bank uses interest rate swaps to manage its earnings sensitivity
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The Effectiveness and Efficiency of Mergers and Acquisitions by the Example of JP Morgan Corporation Julia Kravchuk 3rd year student of International Relations Department KROK University Submitted in partial fulfillment of the requirements of the Business English course Lecturer: Tetyana Karpova June 2011 Abstract Mergers and acquisitions are considered to be quite effective methods for a company’s growth‚ its development and‚ what is more‚ decrease in the number of competitors by taking
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Case Study: Schuetz v Banc One Mortg Corp This case study talks about the difference between legal fees and illegal kickbacks between mortgage barrower‚ broker‚ and lender. Bettina J. Scheutz (the barrower) thought it was unfair that she had to pay an additional $516.00 to Home Mortgage Financial Corporation (the mortgage broker) for
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CASO BANCO SABADELL: THE RE-INVENTION OF A BANK ¿Cuales son las razones/motivos que impulsan a Banco Sabadell a acometer el proyecto SIBIS? Banco Sabadell era consciente de que para una entidad financiera el tamaño y la transformación eran factores clave para su estrategia de crecimiento. El éxito de Banco Sabadell ha residido en saber conjugar su estrategia de crecimiento‚ basada tanto en un crecimiento orgánico como inorgánico. Banco Sabadell desde 1996 fue realizando fusiones y adquisiciones
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One.Tel is a telecommunications company that was launched in May 1995 by Jodee Rich and Brad Keeling. Initially‚ it was a reseller of Optus network before later on decided to enter the deregulated telecommunications industry. One.Tel believed such deregulation could bring them many advantages. With its major competitors like Telstra and Optus viewed as being bureaucratic‚ slow pace‚ and old-fashioned‚ One.Tel promoted flat adhocracy culture as opposed to bureaucratic. It also used the “dude” mascot
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San Miguel Corporation is one of the Philippines’ largest and most diversified conglomerates‚ generating about 6.5% of the country’s gross domestic product in 2013 through its highly integrated operations in beverages‚ food‚ packaging‚ fuel and oil‚ power and infrastructure. San Miguel is one of the nation’s largest employers‚ with a direct workforce of about 18‚000 employees. For each job created within the San Miguel system‚ many additional jobs are created through suppliers‚ distributors‚ retailers
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I LOVE STUDYMODE. KEEP THE GOOD WORK :D Human Resource Management A Review of Training Methods at Capital One Corporation(choose ur company) Summary Introduction The Training Manager(responsible for delivering training)- talk about training manager and his responsibilities Mode of Training Delivery at Capital One Corporation-1. talk about how training could be delivered to meet the needs of workers 2. Talk about the type of delivering method you think will help the organisation‚ either
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