5. In Note 7, Harnischfeger describes the effect of LIFO inventory liquidation on its reported profits in 1984. Describe what is meant by LIFO liquidation and how liquidation affects a company’s income statement and balance sheet. The LIFO liquidation means: A company is using Last In, First Out method for the valuation of inventory.
Therefore, USG’s board decided to proceed with a leveraged recapitalization on May 2, 1988. This proposed recapitalization would put the company under heavy debt obligations as some analysts suggested. The fact is that in order to proceed with this plan, the company would have to raise approximately $2.5 billion from Citibank, Bankers Trust, and Chemical Bank. These loans would be repaid over the next nine years. The banks require USG to lock in fixed rates for four years for 75% of the principal.
Case Analysis for “Communicating a Difficult Message: AT&T Restructuring and Downsizing” by Julius Datinguinoo A Case Analysis for “Communicating a Difficult Message: AT&T Restructuring and Downsizing” Assignment 3, Unit 2, Organizational Behavior Robert Kennedy College Presented by Julius Datinguinoo on 4 June 2009 I. Analysis AT&T’s Chairman & CEO Robert Allen, and Director of Public Relations Adele Ambrose are ‘change agents’. They are both ‘responsible for managing change activities’ (Robbins & Judge, 2009:621) during the company’s restructuring and downsizing which started in 1995. ‘More than a decade after breaking up the Bell System to settle a Federal antitrust suit’ (Lander, 1995), Robert Allen aggressively sought to undertake a turnaround of the organization by, among other things, leading the strategic restructuring of AT&T that would see the giant company split into three separate publicly traded, global companies. He proposed that the new companies would focus on different core businesses – network communication, communication equipment, and transaction-intensive computing.
TABLE OF CONTENTS Executive Summary 3 History (Timeline) 4 Future Strategy 5 a. Analysis using Porter’s 5 Forces Model 5 b. Problem Statement 6 c. Market Position 7 d. Recommended Merger/Acquisition with Continental Can 8 e. Strategic Options 9 f. Execution Plan 10 Conclusion 10 Executive Summary In April of 1957, when Crown Cork & Seal was on the edge of bankruptcy, John Connelly took over presidency with objective to save the company. By the end of 1957, Crown had "climbed out of the coffin and was sprinting." Connelly's exceptional leadership is what contributed to the success of Crown.
What was he trying to achieve in the round of changes he put in motion in that period? Is there a logic or rational supporting the change process? Welch’s objective in the series of initiative he launched in the late 1980’s and 1990’s was to get rid of businesses that were not top performers while purchasing businesses that were top performers in order to make GE business a world leader in their industries. In 1983 Welch broke the diverse GE divisions into three categories: core, high-technology, and services. The main concern of the core business was “reinvesting in productivity and quality”.
COMPANY ANALYSIS 4.1 SWOT Analysis 6 4.1.1 Strengths 6 4.1.2 Weaknesses 6 4.1.3 Opportunities 7 4.1.4 Threats 7 4.1.5 Conclusions from SWOT analysis 7 5. FINANCIAL ANALYSIS 7 6. CONCLUSIONS 8 7. RECOMMENDATIONS 8 APPENDICES 1 – 4 9-12 1. INTRODUCTION 1.1 Report Purpose This report will evaluate the management strategies utilised by Nucor Corporation in competing against low cost steel imports in the highly competitive US steel industry.
My analysis will be primarily based upon the company's most recent 3 years annual and quarterly SEC filings, and will be comprised of calculations of financial ratios for cash flows and profitability, as well as, forecast performance measures of earnings, analysts' reports and related articles. The decision to invest or not invest will be based upon and supported by this analysis. The company I have chosen for my analysis, IPG Photonics Corporation ,went public in 2006 and is listed on the NASDAQ represented by ticker symbol IPGP. IPG is currently headquartered in Oxford, Massachusetts, but was originally founded in Russia in 1990 by physicist Valentin P. Gapontsev, Ph. D., as a small optics company (Wikipedia, 2013).
Week 2 Case: Dimensional Fund Advisors, 2002 Yujiao Hou 23904313 Company Background: The Dimensional Fund Advisors was an investment firm that had employed 130 employees and ranked the 96th in size among all investment companies in the U.S. in 2002. It had its head office in California and three other offices in Chicago, London and Sydney. DFA’s business strategies can be categorized into three aspects. Firstly, DFA was an advanced index fund and believed in efficient market theory that no one could constantly beat the market by actively picking stocks. Secondly, it emphasized the ability and capability of skilled traders to add profits to its fund, even in passive investments.
Fed Ex has 50000 ground vehicles, 625 aircrafts, 216500 full- and part-time employees that ship more than 5.4 million packages daily UPS has 88000 ground vehicles, 583 aircrafts, and 360000 employees (64% were unionized) and moves more than 13 million packages and documents every day. The air –express segment was a 25 –billion portion of the US package –delivery industry and was concentrated in letters and packages and overnight and deferred. All FedEx’ s business activities were in the air –express segment while only 22 % of UPS revenue were from from the next day air business , however the two companies engaged in a furious competition to dominate the sector . The two companies created a various number of strategies to meet the competition such as: Customer focus – both companies emphasized their focus on the customers by listening to customers needs, providing customized solutions and committing to a service relationship. Price competition –UPS cut the price of overnight Fedex letters by half Operational reengineering -because of the price competition the reduction of cost became a priority Information technology – FedEx uses COSMOS (Costumer Operation Service Master Online System) which transmits data from package movements , customer pick ups, invoices, and deliveries to a central
Esterline closed the year 2005 with revenues of $835 million and income from continuing operations of $51 million; compared to 2004 with revenues of $614 million and income from continuing operations of $29 million. (See Exhibit 1 for the detailed Esterline financial statements.) By the end of 2005, Esterline had 34 business units and employed 7,500 people. Facilities with decentralized responsibility for engineering, production, marketing, and sales, were located in 11 states3 and five countries4 outside of the U.S. According to analysts’ reports, 2006 revenues were likely to exceed $1 billion.