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Please solve for the empty Boxes, you can ignore #1,2,3 and the Approximate ratings. Hawaii Mill Hardware (in USS Millions) Corporate Credit Analysis Ratios for

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Please solve for the empty Boxes, you can ignore #1,2,3 and the Approximate ratings.

Hawaii Mill Hardware (in USS Millions) Corporate Credit Analysis Ratios for 2020 2019 60 50 ST Debt LT Debt 2020 60 30 Approximate Rating 56% BB Debt / (Debt + Equity) FCF / Debt Common Stock Retained Earnings 20 55 25 45 FFO / Debt EBIT / Average Capital EBIT / Interest Expense Interest Expense Tax Expense Net Income Depreciation Exp CF from WC changes CF from Capex Cash on B/S 6 3 10 15 -10 -10 20 5 -1 -1 15 20 -5 25 Debt/EBITDA Notes 1) Company has been in business over 100 years 2) 2020 is only the 4th time the company lost money. 3) Company has been a very good customer of the bank for 50 years. You are their main bank 4) Your bank currently has $15 million of credit risk exposure to Hawaii Mill. Total Debt Total Equity Total Capital Average Capital 110 741 184 90 70 160 Questions 1) What is your LT debt rating for Hawaii Mill? FFO CF Ops FCF EBIT EBITDA 2) In addition to the above ratios, what other factors (pros and cons) would you incorporate into your analysis of Hawaii Mill's credit strength? (factors can be financial market, econ, etc) 3) Assume you are under the current Coronavirus situation, Hawaii Millis asking for a 5 year loan for $10 million to shore up its finances

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