reverse leverage

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Reverse leverage

Occurs when the interest on borrowings exceeds the return on investment of the funds that were borrowed.

Reverse Leverage

1. A situation in which a company is spending more money than it is receiving. While this is common in many companies, especially in the first year or two of operation, it is obviously unsustainable in the long-term. A company with reverse leverage often has to resort to loans or equity financing in order to keep its doors open. It is also called negative cash flow.

2. A situation in which the interest a company pays on a loan exceeds the return on any investments acquired with that loan. This usually results in a loss to the company, but some companies may do this deliberately to reduce their tax liabilities. It is also called reverse carry.

reverse leverage

A situation in which the interest rate on a mortgage is so high that one cannot obtain any financial benefits from a property because of the debt service.

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Leveraged Buyout Reverse Leveraged Buyout			The decrease in earnings is due primarily to the reverse leverage effect of the significant drop in Industrial Controls sales volumes versus fixed costs and development costs necessary to satisfy current and future requirements of our core customers. Woodward Reports Second Fiscal Quarter and Six Months Results by Business Wire The second quarter is traditionally our weakest quarter for average store sales volumes; and, accordingly, the reverse leverage on store occupancy expenses is expected to be greater than experienced in the first quarter. Charlotte Russe Announces First Quarter Results by Business Wire			Revenue Officer Revenue Passenger Miles revenue per available room Revenue per Employee Revenue Per User Revenue Reconciliation Act of 1993 revenue ruling Revenue Sharing revenue stamps Revenues Reversal Reversal Amount Reversal Arbitrage reversal effect Reversal Pattern Reverse Reverse a Swap Reverse Acquisition reverse annuity mortgage Reverse auction Reverse conversion Reverse Convertible Note Reverse Crush Reverse entries reverse exchange reverse leverage Reverse Leveraged Buyout Reverse Merger reverse mortgage Reverse Price Risk reverse radius clause reverse redlining Reverse Repo Reverse Repurchase Agreement Reverse shell merger Reverse Stock Split Reverse subsidiary merger Reverse Swap Reverse Takeover Reverse Triangular Merger Reverse-Annuity Mortgages Reversing Trade reversion reversionary factor reversionary interest reversionary value Revertir un swap review appraiser Revised Estimate Revisionary Trust Revisione esterna			reverse graft Reverse Halo Sign Reverse Hamburger Bun Sign reverse hang Reverse hanging Reverse Hedge Reverse Hedges Reverse Hemolytic Plaque Assay Reverse Hill-Sachs Deformity Reverse Implement Option Reverse implied odds Reverse incentive Reverse Indicator Control Channel Reverse Inland Point Intermodal Reverse Integration Reverse Interrupt reverse isolation reverse isolation reverse isolation reverse isolation Reverse Isotope Dilution Analysis Reverse Jet Filter reverse key Reverse Knowledge Transfer reverse lay Reverse lay-up Reverse lay-up Reverse Length-Preserving Transform reverse leverage Reverse Leveraged Buy-Out Reverse Leveraged Buy-Outs Reverse leveraged buyout Reverse leveraged buyout Reverse Leveraged Buyouts Reverse Liaison Action Request reverse lightning Reverse Line of Dance Reverse link Reverse Link Analysis Reverse Link Analysis with Partial Feedback Reverse Link Interference Reverse Link Model Reverse Link Module Reverse listing Reverse listing Reverse logistics Reverse Logistics Association Reverse Logistics Executive Council Reverse Logistics Management Reverse Logistics Trends Shows Reverse Mail eXchange Reverse Make Busy reverse mapping Reverse merger Reverse merger Reverse Mergers

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