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Is Paramount insolvent? What factors are putting Paramount in imminent financial distress in March 2 0 1 1 ( what contractual obligations is the company
Is Paramount insolvent? What factors are putting Paramount in imminent financial distress in March what contractual obligations is the company missing What is the nature of the strategic and operational problems faced by Paramount? Is it a matter of bad strategy, excessive growth, bad financial planning, wrong capital structure, wrong kind of debt, or simply bad luck? Evaluate the company's financial policy prior to Is it consistent with the company's strategic positioning and risk? What errors if any were made: too much debt, wrong kind of debt? The company has $ outstanding convertible bonds with a coupon rate of Why would a company in distress issue this type of instrument? Isn't this coupon too high when compared with the cost of the company's other debt? What factors may have influenced this coupon? What are the key elements for a strategic and operating restructuring that will be required to turn the company around and convince the banks to restructure the debt? Please detail. Please refer to the summary capital structure on the next page. According to these market prices resulting from the announcement of possible Government loan guarantees the enterprise value EV of the firm is approximately $ billion. A valuation presented by management puts total as $ billion. Liquidating the company is not expected to generate more than $ billion. Please assist management presenting a financial restructuring of this firm, incorporating a possible sale of $ million of assets and Government Loan guarantees for an exit financing of $ billion to secure year loans. What would you do with such cash?, How would losses be allocated? How would equity be distributed?
Is Paramount insolvent? What factors are putting Paramount in imminent financial
distress in March what contractual obligations is the company missing
What is the nature of the strategic and operational problems faced by Paramount? Is
it a matter of bad strategy, excessive growth, bad financial planning, wrong capital
structure, wrong kind of debt, or simply bad luck?
Evaluate the company's financial policy prior to Is it consistent with the
company's strategic positioning and risk? What errors if any were made: too much
debt, wrong kind of debt?
The company has $ outstanding convertible bonds with a coupon rate of
Why would a company in distress issue this type of instrument? Isn't this coupon too
high when compared with the cost of the company's other debt? What factors may
have influenced this coupon?
What are the key elements for a strategic and operating restructuring that will be
required to turn the company around and convince the banks to restructure the debt?
Please detail.
Please refer to the summary capital structure on the next page. According to these
market prices resulting from the announcement of possible Government loan
guarantees the enterprise value EV of the firm is approximately $ billion. A
valuation presented by management puts total as $ billion. Liquidating the
company is not expected to generate more than $ billion. Please assist management
presenting a financial restructuring of this firm, incorporating a possible sale of
$ million of assets and Government Loan guarantees for an exit financing of $
billion to secure year loans. What would you do with such cash?, How would losses
be allocated? How would equity be distributed?
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