On the face of it, these businesses had little to offer, as their book value amounted to less than 6% of the bank debt.
Earlier in the summer, industry analysts and investors worried that the unit would be sold at book value, which amounted to 63 billion rubles, or about $2 billion, as of July 1.
So-called book value often amounted to mere pennies on the dollar.
The biggest banks trade at or below their "book value," meaning the amount of cash you'd get if you just put them out of their misery and sold off their parts.
Leverage is measured as the book value of total debts divided by the book value of total assets.
Currently our "Dow Bond" can be purchased at a significant discount (at about 840 vs. 940 "principal amount," or book value of the Dow. Figures are based on the old Dow, prior to the recent substitutions. The returns would be moderately higher and the book values somewhat lower if the new Dow had been used).
Morgan Stanley, which trades for just 58percentt of book value, hasn't disclosed the amount it has been using on its own balance sheet for the three-year-old joint venture.
Many deals have been at two to five times book value -- in this case, the amount invested but not yet recovered under the old rate-setting structure.
Advanta, based in Spring House, Pa., said the sale converted a "substantial amount" of its book value to cash.
Goodwill represents an amount paid above book value to buy something because the buyer perceives a greater value in that something.
The cost of repairs exceeded the insurance company's idea of its Blue Book value, but we settled for an amount that made me happy.
