Dow Chemical Case When Petroquímica Bahia Blanca S.A. (PBB) began the process of becoming privatized by the Argentine government‚ Dow Chemicals saw the acquisition of this company as a golden opportunity to become the leading polyethylene player in Latin America. Dow Chemical’s was already a major player in the chemicals (ethylene)‚ plastics (polyethylene)‚ and agricultural products industries holding position as a low-cost producer. Breaking each segment of their business down into
Premium Discounted cash flow Foreign exchange market Net present value
Executive Summary Managing financial resources and decisions is a concept of managing the finances of a company for running it efficiently and making decisions which are best fit for the company’s current working and position. The assignment covered analysis Living Wood Ltd‚ a furniture manufacturer. With the help from the cash budget prepared‚ I found that Living Wood is not producing as efficiently that they could be. They have many resources available to them‚ that could assist the company in
Premium Balance sheet Cash flow Income statement
Timken leverage ratio is not good‚ so they couldn’t raise cash that needed to be paid for the acquiring because if they did so the investment-grade rating will be deceased. Timken rating now is BBB so they couldn’t risk it to go lower. As Timken stock price is 19$/share they would have to require a lot of shares for the public to gain enough money for the acquisition and there is a risk that Timken couldn’t sell all of shares. For the last option is by issuing share directly to IR would benefit Timken
Premium Stock Stock market Corporate finance
SYMBOLS II 1. Introduction 1 2. The conservatism principle and the asymmetric timeliness of earnings – a summary 2 2.1. The author’s motivation 2 2.2. The asymmetric sensitivity of earnings to returns 2 2.3. Earnings-return association versus cash flow-return association 5 2.4. The asymmetric persistence of earnings changes conditional on news 7 2.5. Conservatism and the asymmetric effect on the earnings response coeffcients 9 2.6 Further testing 11 3. International differences in the effects of
Premium Conservatism Rate of return Cash flow
FUTURE CASH FLOWS 12 ANALYSIS OF CASH FLOWS 13 Sensitivity Analysis of Google’s 2011 Future Cash Flow 14 Sensitivity Graph for Google’s 2011 Future Cash Flow 15 Sensitivity Graph for Google’s 2011 Future Cash Flow 15 Inflation Analysis 15 Google Inc. Discounting Future Cash Flows for Inflation @ 1.7%: 16 Footnotes effect on future cash flows 17 Analysis of Google Competitors 19 ANALYSIS OF CASH FLOWS 20 Footnotes effect of future cash flows 21
Premium Google Cash flow Balance sheet
Ocean Carriers Case Expectations for Daily Spot Hire Rates Next Year Iron ore and coal imports will most probably decrease the upcoming year With the increasing supply of vessels should result in a market surplus By creating this surplus‚ prices will be driven down‚ since we will have limited demand and suppliers competing Average daily rates‚ based on historical numbers‚ have a direct relationship with the number of shipments. What Factors Drive Average Daily Hire Rates? u
Premium Net present value Cash Discounted cash flow
Case Study Report The Power of Terminal Value ARCADIAN MICROARRAY TECHNOLOGIES‚INC. Contents TOC o 1-3 h z u HYPERLINK l _Toc400235473 1. Introduction PAGEREF _Toc400235473 h 3 HYPERLINK l _Toc400235474 1.1. Object of Transaction PAGEREF _Toc400235474 h 3 HYPERLINK l _Toc400235475 1.2. Buyer Sierra Capital Partners PAGEREF _Toc400235475 h 3 HYPERLINK l _Toc400235476 1.3. Seller Arcadian Microarray Technologies‚ Inc. PAGEREF _Toc400235476 h 3 HYPERLINK l _Toc400235477 2. Methodology Analysis
Premium Discounted cash flow Net present value Cash flow
Case 20: Diamond Chemicals plc (A) --PT07 Group 10 INTRODUCTION: Diamond Chemicals is a large worldwide chemicals producer with two factories in Liverpool England and Rotterdam Holland. Both of their plants were built in 1967 with annual output of 250‚000 metric tons polypropylene. Compare with low-cost producer‚ the production cost per ton is 1.09 which is a little bit high than competitors (see Exhibition 1). With the decline EPS from £60 in 1999 to £30 in 2000 and worldwide economic slowdown
Premium Net present value Discounted cash flow
The results of my financial analysis based on the Free Cash Flow Method considering the base case of financial projections and assumptions for Mercury Athletic Footwear collated and developed by John Liedtke indicate that that the project to acquire Mercury Althletic has a positive net present value at $243‚025 (in thousands) [ given by PV(FCF)=86‚681+ PV (Terminal Value) =156‚343] which is also greater than the recommended acquisition price of $186‚216 (in thousands)‚therefore Active Gear Inc. should
Premium Generally Accepted Accounting Principles Free cash flow Discounted cash flow
Key Points Chapter 1: Key to success – recurring cash flows Chapter 2: Key to success for Entrepreneurs – persistence! Chapter 3: Key to success for BP- it Explains 1) Management‚ 2) Management‚ 3) CF Executive Summary – the most important section Include ROI and NPV (IRR?) Ratio analyses Chapter 4: Key point – must use the same accounting method Key point: Successful entrepreneurs know their cash position at all times. Chapter 5: Liquidity – the most important ratios Key point – Entrepreneurs
Premium Cash flow Corporate finance Free cash flow