Revenue Rise with Loans

Northwest Airlines and KLM decided what they wanted from each other and used the term alliance to describe their relationship. They structured their partnership as an interdependent relationship— that is, maintaining two separate corporate identities but acting as a single company in the eyes of their customers, allowing them to: Code-share, which gives them the [...]

Clearly investors willing to allocate a part of their budget to corporate bonds are facing two questions. First, they have to decide how much of their budget they want to invest in corporate bonds. In this context we will focus on a pure fixed income portfolio. Usually private as well as institutional investors define their [...]

Yet, free cash flow numbers are not available for all companies. European firms, for example, historically have published only profit figures. Therefore, we also look at EBIT and EBITDA figures. Of these two the latter is preferred because it deducts cash that is needed to maintain the operations. Specifically, on the macro level we use [...]

So far, we have identified a close correlation between credit spreads and future economic activity. When the economy is growing, usually each sector benefits from that growth. In the labor sector, economic growth typically leads to falling unemployment and rising wages. Historically, the corporate sector has benefited particularly during economic expansions. Not only did corporate [...]