The phrase 'excess cash for' is correct and can be used in written English.
It is typically used to refer to extra cash that is available to be used for a specific purpose. For example, "We had some excess cash for investing in additional equipment."
A firm may have excess cash for a number of reasons.
The economic downturn of the early 1990's coincided with buyouts among retailers -- which then had no excess cash for advertising -- and competition from companies selling newspaper inserts to supermarkets and other local advertisers.
Managers of firms with a large number of ATPs may accumulate excess cash for managerial perquisites.
Any business that doesn't need constant and massive reinvestment is free to generate excess cash for dividends.(Click here for some of Stromberg's picks).
Daiwa has figured House could boost its earnings per share 65% and its return on equity from 5.7% to 16.2% simply by using the excess cash for share buybacks.
As they mature, companies begin to generate excess cash for which there is no logical reinvestment opportunity in the business, and is therefore available for dividends, share repurchases or acquisitions.
Last week when customers asked for excess cash from their accounts, MF Global stalled.
Companies should consider whether their plans for use of excess cash (including, for example, for stock buybacks and/or dividends) are well formulated, publicly known, and viewed generally as being in the shareholders' interest.
The companies below have positive excess cash flow for the latest four quarters, improving excess cash flow margins for the most recent quarter versus the same quarter a year ago, and three-year excess cash flow growth of 17% (annualized) or better.
We further narrowed the screen by excluding heavily leveraged firms and culling out companies with negative excess cash flow for their latest 12 months.
As rates rose steadily last year and as some companies have to refinance debt, excess cash will be for debt repayment (31%), followed by capital expenditures (CAPEX) (29%), and holding cash for future investments (24%).
