--Average debt-to-EBITDA and
financial leverage ratios exceeding 2.0x and 40%, respectively, on a six quarter rolling basis;
Our view of financial flexibility (the ability to raise additional cash or capital relative to potential needs) has also improved to adequate now that actual overdraft usage has reduced compared to earlier years, and given that interest coverage and
financial leverage ratios are now expected to remain at levels within our normal tolerances.
The cost of this new borrowing via private placement of debt was not disclosed but DoubleDragon said its
financial leverage ratios remained healthy with debt to equity at 1.07x and net debt-to-equity at 0.58x at end-2014.
DoubleDragon said its
financial leverage ratios remains healthy with debt-to- equity at 1.07x and net debt-to-equity at 0.58x as of the end of December 2014.
APPROPRIATE PRINCIPLE FOR EACH CATEGORY (LIQUIDITY RATIOS, SMALLER-BETTER PRINCIPLE) Nominal Smaller Bigger Category Better Better Better Liquidity ratios 178 162 168
Financial leverage ratios 1 178 174 166
Financial leverage ratios 2 178 178 182 Turnover ratios 1 178 162 162 Turnover ratios 2 178 184 178 Profitability ratios 178 178 158 Growth ratios 178 190 152 Category Appropriate principle Liquidity ratios Smaller-Better
Financial leverage ratios 1 Bigger-Better
Financial leverage ratios 2 Nominal/Smaller-Better Turnover ratios 1 Smaller/Bigger-Better Turnover ratios 2 Nominal/Bigger-Better Profitability ratios Bigger-Better Growth ratios Bigger-Better TABLE 6.
Financial leverage ratios will increase following the issuance of the senior notes to approximately 28% of total debt-to-capital and 32% of debt-to-tangible capital.
UnitedHealth's financial leverage could rise slightly immediately following the offering, but according to Fitch, the company's key
financial leverage ratios, including debt-to-EBIDA, EBITDA-to interest, and debt-to-total capitalisation, will continue to hover around recent levels for the foreseeable future.
The Negative Outlook reflects ANTM's elevated
financial leverage ratios and the uncertainty as to whether the company will reduce those metrics to levels supportive of its current ratings.
The cost of this new borrowing was not disclosed but DoubleDragon said its
financial leverage ratios remained healthy with debt to equity at 1.07x and net debt-to-equity at 0.58x at end-2014.
As such, the new issue is not likely to have a material impact on
financial leverage ratios, according to the analysts.
Commitments to maintain significant holding company cash going forward and other sources of liquidity are offsetting considerations to the near term increase in
financial leverage ratios.
Based on its rating criteria, Fitch has assigned 100% equity credit to the preferred stock for purposes of calculating
financial leverage ratios.
