taiwan财务管理_lecture13(ch13)

©TheMcGraw-HillCompanies,Inc.,200113-1Irwin/McGraw-HillIrwin/McGraw-HillChapter13FundamentalsofCorporateFinanceThirdEditionAnOverviewofCorporateFinancingBrealeyMyersMarcusslidesbyMatthewWillIrwin/McGraw-Hill©TheMcGraw-HillCompanies,Inc.,2001©TheMcGraw-HillCompanies,Inc.,200113-2Irwin/McGraw-HillTopicsCoveredCommonStockPreferredStockCorporateDebtConvertibleSecuritiesPatternsofCorporateFinancing©TheMcGraw-HillCompanies,Inc.,200113-3Irwin/McGraw-HillCommonStockTreasuryStockStockthathasbeenrepurchasedbythecompanyandheldinitstreasuryIssuedSharesSharesthathavebeenissuedbythecompany.OutstandingSharesSharesthathavebeenissuedbythecompanyandheldbyinvestors.©TheMcGraw-HillCompanies,Inc.,200113-4Irwin/McGraw-HillCommonStockAuthorizedShareCapitalMaximumnumberofsharesthatthecompanyispermittedtoissue,asspecifiedinthefirm’sarticlesofincorporation.ParValueValueofsecurityshownoncertificate.RetainedEarningsEarningsnotpaidoutasdividends.©TheMcGraw-HillCompanies,Inc.,200113-5Irwin/McGraw-HillCommonStockBookValuevs.MarketValueBookvalueisabackwardlookingmeasure.Ittellsushowmuchcapitalthefirmhasraisedfromshareholdersinthepast.Itdoesnotmeasurethevaluethatshareholdersplaceonthosesharestoday.Themarketvalueofthefirmisforwardlooking,itdependsonthefuturedividendsthatshareholdersexpecttoreceive.©TheMcGraw-HillCompanies,Inc.,200113-6Irwin/McGraw-HillCommonStockExample-H.J.HeinzBookValuevs.MarketValue(4/99)TotalSharesoutstanding=358million1,803Value)(BookequitycommonNet527-lossesdAccumulate2,435-costatsharesTreasury4,380earningsRetained278capitalinpaidAdditional108par)($.25SharesCommon©TheMcGraw-HillCompanies,Inc.,200113-7Irwin/McGraw-HillCommonStockExample-H.J.HeinzBookValuevs.MarketValue(4/99)TotalSharesoutstanding=358millionbillion$17.5ValueMarket358xsharesof#$49/sh=priceMarket1999April©TheMcGraw-HillCompanies,Inc.,200113-8Irwin/McGraw-HillCommonStockExample-No-nameNewscanbeestablishedbyinvesting$10millioninaprintingpress.Thenewspaperisexpectedtogenerateacashflowof$2millionayearfor20years.Ifthecostofcapitalis10percent,isthefirm’smarketorbookvaluegreater?©TheMcGraw-HillCompanies,Inc.,200113-9Irwin/McGraw-HillCommonStockExample-No-nameNews()BookValue=$10mil(equipmentcost)MarketValue=2-=$17.03mil1.101.10(1+.10)20©TheMcGraw-HillCompanies,Inc.,200113-10Irwin/McGraw-HillPreferredStockPreferredStock-Stockthattakespriorityovercommonstockinregardstodividends.NetWorth-Bookvalueofcommonshareholder’sequitypluspreferredstock.Floating-RatePreferred-Preferredstockpayingdividendsthatvarywithshortterminterestrates.©TheMcGraw-HillCompanies,Inc.,200113-11Irwin/McGraw-HillCorporateDebtDebthastheuniquefeatureofallowingtheborrowerstowalkawayfromtheirobligationtopay,inexchangefortheassetsofthecompany.“DefaultRisk”isthetermusedtodescribethelikelihoodthatafirmwillwalkawayfromitsobligation,eithervoluntarilyorinvoluntarily.“BondRatings”areissuedondebtinstrumentstohelpinvestorsassessthedefaultriskofafirm.©TheMcGraw-HillCompanies,Inc.,200113-12Irwin/McGraw-HillCorporateDebtPrimeRate-Benchmarkinterestratechargedbybanks.FundedDebt-Debtwithmorethan1yearremainingtomaturity.SinkingFund-Fundestablishedtoretiredebtbeforematurity.CallableBond-Bondthatmayberepurchasedbyfirmbeforematurityatspecifiedcallprice.©TheMcGraw-HillCompanies,Inc.,200113-13Irwin/McGraw-HillCorporateDebtSubordinateDebt-Debtthatmayberepaidinbankruptcyonlyafterseniordebtisrepaid.SecuredDebt-Debtthathasfirstclaimonspecifiedcollateralintheeventofdefault.InvestmentGrade-BondsratedBaaorabovebyMoody’sorBBBorabovebyS&P.JunkBond-BondwitharatingbelowBaaorBBB.©TheMcGraw-HillCompanies,Inc.,200113-14Irwin/McGraw-HillCorporateDebtEurodollars-DollarsheldondepositinabankoutsidetheUnitedStates.Eurobond-Bondthatismarketedinternationally.PrivatePlacement-Saleofsecuritiestoalimitednumberofinvestorswithoutapublicoffering.ProtectiveCovenants-Restrictiononafirmtoprotectbondholders.Lease-Long-termrentalagreement.©TheMcGraw-HillCompanies,Inc.,200113-15Irwin/McGraw-HillConvertibleSecuritiesWarrant-Righttobuysharesfromacompanyatastipulatedpricebeforeasetdate.ConvertibleBond-Bondthattheholdermayexchangeforaspecifiedamountofanothersecurity.Convertiblesareacombinedsecurity,consistingofbothabondandacalloption.©TheMcGraw-HillCompanies,Inc.,200113-16Irwin/McGraw-HillPatternsofCorporateFinancingFirmsmayraisefundsfromexternalsourcesorplowbackprofitsratherthandistributethemtoshareholders.Shouldafirmelectexternalfinancing,theymaychoosebetweendebtorequitysources.©TheMcGraw-HillCompanies,Inc.,200113-17Irwin/McGraw-Hill-300-200-1000100200300400500600700800$billion80828486889092949698YearSourcesofFundsNetEquityIssuesDebtInstrumentsInternalFundsPatternsofCorporateFinancing©TheMcGraw-HillCompanies,Inc.,200113-18Irwin/McGraw-HillDebtEquityRatiosforH.J.Heinz00.20.40.60.811.21.480828486889092949698YearLongTermDebt-EquityRatioD/EBookD/EMarketPatternsofCorporateFinancing