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Greek default in all but name - Tom Spencer consulting blog

Tom Spencer

This is clever politicking because a “private-sector involvement” sounds like a positive development. Copyright © 2013 Tom Spencer. Undeterred however by rating agency definitions, European leaders have characterised the writedown as a voluntary “ private-sector involvement ” or PSI. Categories. Select Category.

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Why Financial Statements Don’t Work for Digital Companies

Harvard Business

Twitter reported a loss of $79 million before its IPO, yet it commanded a valuation of $24 billion on its IPO date in 2013. This becomes clear when you look at a company’s two most important financial statements: the balance sheet and the income statement. Let’s first look at the balance sheet.

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BIS Slams the Fed; Ridiculous Question of the Day: "Is The Fed Going To Attempt A Controlled Collapse?"

MishTalk

Gross issuance in the high-yield bond market alone soared to $90 billion per quarter in 2013 from a pre-crisis quarterly average of $30 billion. In the syndicated loan market, for instance, credit granted to lower-rated leveraged borrowers (leveraged loans) exceeded 40% of new signings for much of 2013.

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Kodak’s Downfall Wasn’t About Technology

Harvard Business

Today, the term increasingly serves as a corporate bogeyman that warns executives of the need to stand up and respond when disruptive developments encroach on their market. The company filed for bankruptcy protection in 2012, exited legacy businesses and sold off its patents before re-emerging as a sharply smaller company in 2013.

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Seven Charts Explain Why Chicago Bonds Rated Junk

MishTalk

Chart #2: Growing Payments While the current state of the city’s balance sheet is dismal, the real problem relates to what is expected to develop over the next decade. For fiscal 2013, Chicago’s various pension plans were assuming annual rates of returns ranging from 7.5 Per capita income estimate is for Cook County.

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Is Mario Draghi a Bare-Assed Emperor With No Clothes?

MishTalk

We will confirm our determination to continue to comply with our mandate even in face of adverse developments.” Keynesian Inflation Nonsense The Wall Street Journal points out " The annual inflation rate in the 19-country currency area has been far below the central bank’s medium-term target of just below 2% since late 2013.

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Pettis Proposes Savings Glut and Income Inequality are Source of Global Imbalances; Mish vs. Pettis: I Respectfully Disagree

MishTalk

This model rests on an understanding of how distortions in the savings rates of different countries have driven the great trade and balance-sheet distortions with which we are wrestling today, just as they have in most previous global crises, including those of the 1870s, the 1930s, and the 1970s. economy.

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