In an August 8th article in Human Resource Executive entitled “Union: Workers Fading under Bright Lights of Times Square,” by Michael Felton-O'Brien, he writes about risks and consequences in private equity investing. Many times, private equity firms will purchase a company and there are consequences such as employee layoffs. Harlan Platt, professor of finance at Northeastern University's College of Business Administration, believes this especially when that company is purchased above market price. Because companies often pay "a premium of 15 to 60 percent above the equity market's previous price," they end up increasing the company's debt ratio from about 30 percent to about 80 percent, he says. "Obviously, [income inequality] is a concern, but it's only the tip of the iceberg," states Professor Platt. "The bulk of the concern is that a catastrophic failure, such as a company's inability to service its debt, will force those companies will have to file for bankruptcy and jobs get lost."
To read the full article, go here:
http://www.paradigmshiftpr.com/unionworkers.htm
Wednesday, August 15, 2007
Buyout Industry Woes
Something Pretty Neat
In an August 8th story in Giz Wiz Biz, the reporter reviews the Inflight Power Charger which uses the audio from a plane's headphone jack which is pretty much on every seat now-a-days to charge your iPod, cell phone or PDA.
To read the full story, go here:
http://www.paradigmshiftpr.com/prettyneat.htm
Can It Be Turned Around?
In an August 6th Associated Press article entitled, “American Home Hires Stars for Rescue,” by Jeremy Herron, he discusses how Stephan Cooper with additional funding is going to work on turning American Home Mortgage Investment Corp. around. Mr. Cooper, who was named chief restructuring officer, is known for turning companies around and Harlan Platt, Professor of Finance at Northeastern University's College of Business Administration, believes he can do it. "Stephen is one of the best there is in the business, and he is also one of the most expensive," says Professor Platt.
To read the full article, go here:
http://www.paradigmshiftpr.com/americanhome.htm
Retailers Giving Their Websites A Facelift
More and more retailers are realizing the importance of e-commerce that can help the success of not only their online sales but offline sales also. In the July 16th article in Twice, the reporter discusses how Abt Electronics recognized the need for a more streamlined shopping experience on their website. WebCollage helped them acheive this by enabling them to directly place syndicated marketing content from manufacturers directly on Abt Electronic's website
To read the full story, go here:
http://www.paradigmshiftpr.com/retailersrevamp.htm
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