FIE445 – Take-home Exam Esty, Case n°18: “Mobile Energy Services Company” Candidate numbers: 8 and 17 Question 1: Ownership and contractual structures Following the restructuration of Scott Paper and the subsequent acquisition of the energy complex by the Southern Company, a heavy contractual framework was displayed in order to try to secure the relationships between the parties. The diagram below encompasses the most notable elements of this framework, with respect to the ownership of the Mobile Energy Services Company (MESC) and its agreements with other parties. * MESC LLD was acquired by the Southern Company after a bidding process, through two of its (fully owned) subsidies: MESC Holding Incorporated and Southern Electric International. The acquisition was financed with a bridge loan of $350 million, which is now to be repaid with the issuance of mortgage and tax-exempt bonds. The newly bought energy complex was legally established as a Limited Liability Company, meaning the MESC would be a separated entity (though being fiscally integrated) and that its upcoming bonds will hence be nonrecourse to the Southern Company (through its subsidies). The MESC is thus a …show more content…
This kind of risk is often called environmental and social risk in project finance. The U.S Environmental Protection Agency proposed new regulations on the air pollution and wastewater that produced by paper and pulp manufacturers. The three mills would shut down if they were not forced to comply with the new regulations. Jaakko Pöyry estimated that the pulp mill would need from $150 million to $200 million to update its devices. However, the expenses incurred to adapt to the new regulation for the paper and tissue mill were unknown. There was not enough information to calculate capital expenditures that associated with the implement of new
Case 2 - 6 Chargemaster Maintenance What plan would you come up with? The chargemaster is one of the most important financial aspect of a healthcare facility or hospital because the amounts listed on the chargemaster is what is charged to the patients. If the chargemaster has the wrong amounts on there, the hospital will be either losing revenue is the costs are lower than what they should be or they will be overcharging the patient. This will also be viewed as committing fraud against CMS and the hospital will ultimately be held responsible and would have to incur fines and penalties.
Standard Oil had a good relationship with the railroad industry in the late 19 and early 20th century. Standard oil was trying to gain control of the railroad companies so they could get the most out of their money. Their goal was to make max profit out of everything they were getting. They used vertical integration or the combination of one or two stages of production, that started as two separate companies. Standard oil did this by taking control of the railroads, so they didn’t have to pay for shipping cost, making them more money in the end.
Another unpleasant side affect of the sudden industrial boom was the rise of trusts and monopolies. Both were severely detrimental to workers, as well as to consumers. For this reason, the government had a responsibility to break up prominent monopolies, such as the one held by Standard Oil. A trust forms when a company has control of several other companies in the same business. When that company controls all other companies in the same industry, the trust becomes
One specific example of this has to do with the proposed mining in northern Minnesota. Polymet, a large mining company, has proposed a big nickel and copper mine, but first they must meet extremely strict requirements and acquire many approvals. Much of the concern has to do with water contamination. If there is any way that processes from the mining cause water contamination, then the mining will not be approved. The protection of Minnesota geology is extremely important, especially water.
General Electric bought 48% of the MABE’s shares in 1987 leading to commercial and technological partnership. It offers a variety of products such as refrigerators, washing machines, dryers, heaters, laundry centers and a lot of cooking appliances like grills, furnaces, microwave etc. ANALYSIS OF THE CASE This case is about strategy and execution of the MABE Company. This company has
One of these policies requires that "any major federal action significantly affecting the quality of the human environment" require evaluation and public disclosure of potential environmental impact through the required Environmental Impact Statement (EIS). Due to the bill signed and passed into law by NEPA on January 1, 1970. The Act establishes national environmental policy and goals for the protection, maintenance, and enhancement of the environment and it provides a process for implementing these goals within the federal agencies. I therefore believe that can be resolved in due
Finally, CRD paid $10 million to NUFIC. In the end, the combination of both General RE and CRD, they was totally left with $5.2 million to cover the
The two factors that demonstrate that the traditional system may produce estimates that are different than that of the unit cost are high overheads and indirect cost
Also, it needs to ensure that the corruption does not delay the actual implementation of the pipeline project in any way. If that happens, there are fluctuation risks involved as well. 5. What role should concern for the environment play in the managerial decision making?
Investment Banking Report “Mergers and Acquisitions” Student Names and Numbers Despo Michaelidou - Ioanna Panayiotou - Mikaella Savva - 20140213 Katerina…. Svetlana…. Introduction Back in 2006, a merger & acquisition agreement between two well-known companies set the basis for the continuation of the evolution in the animation industry. Being partners for more than a decade, Disney and Pixar eventually merged, after a number of unsuccessful attempts.
The investment in the plant reduces the firms impact on the environment, promotes
Direct labor which is a human resource will be recalculated on the basis of sales of 3 million bikes. It may happen to produce 1 million products, they require 50000 employees but to produce 3 million products they require 200000 employees and to be on safer size, 10% extra labor will be recruited which will give a total of 220000 employees. Therefore it is clearly understood that the company can prepare their Labor Requirement budget directly from the sales budget. The same concept will apply to overhead and capital expenditures because overheads are directly proportional to the production and if the sales are high, product will automatically are high. Similarly quantity requirement will lead to the requirement of machines.
A Case Study on Polluter’s Dilemma I. Background/Point of View On a small plastic manufacturing, Jonica Gunson works as an environmental compliance manager. The company where she is working with is now facing a serious situation that needs to have a fast and decisive decision, decision whether to invest or not to invest money on new technology that will help decrease or as possible eliminate the level of toxic in the water which is flowing from the back of the factory up to lake. Though the company is compliant with the levels of emissions set by the Environmental Management board, the manager sees that environmental procedures for this specific toxic are sheathing behind logical evidence, particularly that there is a protest from a certain scientist that is publish in the newspaper.
Aaron Salomon was successful leather merchant that specializes in the manufacture of leather shoes, for many years ran his job as a trader and sole. At the time, it was a legal requirement for inclusion at least seven people participate as members, partners of the company. Mr. Salomon, CEO himself. Mr. Solomon owned 20,001 of the 20,007 shares of the company - with the participation of the remaining six individually among six shareholders (wife, daughter and four sons).
1. General business strategy 1.1. General business philosophy Samsung work with the aim of developing innovative technologies and provide people with efficient processes so that regularly new markets are created and they continue to rule the digital work. They follow five core values including: • People: Samsung gives all the resources and opportunities their people need to give their best. • Excellence: Samsung makes sure to provide their customers with excellent products and services.