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The alternative plan would give the company a ratio of net debt to earnings before interest, taxes, depreciation and amortization of about 1.7 times, the two contended.
Last year, the company had earnings (before interest, tax, depreciation and amortization) of about $1.2 billion.
At the top of that range, the deal values Jimmy Choo at about 15.7 times last year's earnings before interest, taxes, depreciation and amortization of about £35 million.
In January, AT&T said the cable unit could be expected to generate earnings before interest, taxes, depreciation and amortization of about $2.52 billion this year.
Allen & Company, the investment banking firm, owns the balance of Fox Family Entertainment, which should have 2001 cash flow, or earnings before interest, taxes, depreciation and amortization, of about $174 million on sales of $384 million, according to Larry Gerbrandt, who follows the company for Paul Kagan Associates, a consulting firm.
She bases her calculations on a forecast for Ducati's 1999 sales of around $300 million and earnings (before interest, taxes, depreciation and amortization) of about $55 million.
Similar(54)
The company said it earned 32 million euros ($45 million) before interest, taxes, depreciation and amortization, on revenue of about 200 million euros, roughly in line with its results in 2007.
This last sentence is supposed to be about amortization of resources.
Mr. Brandt argues that Worldcom is already being penalized by its accounting for earlier purchases, from which the amortization of goodwill wipes out about 50 cents of earnings per share a year, he said.
They trade on average at an enterprise value of about 6.6 times earnings before interest, taxes, depreciation and amortization, according to Simmons & Company, an investment bank in Houston.
The tradeoff is that York's earnings for 2002 and future years will get a boost of about 60 cents per share, because it will no longer be taking goodwill amortization charges.
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