transactions are underwritten with reliance on the imputed value of a business ("enterprise value"), which often exhibits a high degree of volatility.
TRA 86 also contains provisions to curb the systematic borrowing from life insurance policies to pay premiums, the cornerstone of leveraged
Banks and securities firms have demanded more information and tightened their credit terms, especially vis-a-vis highly leveraged
company is no longer playing to the constituency of analysts, institutional investors, or stockholders - and this frees management to produce cash flow to meet the capital requirements of its core business as well as its debt service.
The types of oversight under discussion include proposals intended to provide creditors, investors, or the general public with additional information on risk-taking by highly leveraged
Lenders to leveraged
enterprises have been, in large part, those that can most easily absorb losses without major systemic consequences.