It is unclear whether the increase in leverage for underleveraged
firms comes from changes in debt or equity.
We remain prudent in our management of risk and have built up a strong liquidity position and an underleveraged
balance sheet while also continuing to invest in key global markets on an opportunistic basis.
"I believe that design is one of the most underleveraged
tools in U.S.
These measures should start to stimulate borrowing in the short run -- something urgentlyrequired in an underleveraged
"It is one of the strongest and yet most underleveraged
brands." Formerly a top marketing executive in the Anil Dhirubhai Ambani Group (ADAG) involved with Reliance DTH, Reliance Communications and Reliance BIG Entertainment - and before that with Hindustan Unilever and Nokia - he began by overhauling the company's structure.
The concept at work here is conversion--converting goods into services and converting underleveraged
service assets into more valuable ones.
For example, De Haas and Peeters (2006) notice divergent results for the smallest and largest firms: the first have gradually become slightly underleveraged
while the latter have become less underleveraged
during the research period (1993-2001).
In a situation when the company in underleveraged
, managers could be motivated to additionally increase debt in order to rebalance the cost of financing distress and benefits of interest tax shields.
UNB shares have risen a stellar 17 per cent in the past three months but the bank has an underleveraged
balance sheet, significant potential for accelerated loan growth, cost restructuring and a higher dividend payout.
It is now entirely possible that MLP's with "fortress", underleveraged
balance sheets will accelerate growth via takeover bids, as the interest rate cost of project finance is still benign.
Yet it continues to be confounding that multicultured opportunities remain underleveraged
and underfinanced in targeted and total market platforms.