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RBS Securities, a unit of the Royal Bank of Scotland, has been hired by Summit to raise money; its offering says that "an estimated $700 million of additional equity and $300 million of debt" will be needed to complete construction.
There is not a sensible CEO around who wouldn't trade $1 of debt for $10 of additional equity.
Dezineforce, a developer of software for big engineering projects like new aircraft, has raised approximately £1m of additional equity from existing and new shareholders.
In an afternoon meeting, the banks, according to Senate investigators, told Moody's they might be prepared to put in millions of additional equity in Enron to prop it up.
The board requested that we consider a debt/equity mix that would reduce dilution for existing shareholders and allow the debt component to be advanced prior to the extended time-frame required for the approval of additional equity.
Fifth, Lloyds' balance sheet is strong: its capital ratios, a test of financial strength, will be better than Barclays', even after Barclays raises all those billions of additional equity capital.
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Higher capital ratios will make big banks safer, while the cost of the additional equity will offset some of the benefits of cheap financing.
Mr. Gorman, who will be under growing pressure to improve the bank's performance in his second year on the job, could decide to put some of the additional equity into trading in hopes of increasing returns.
"But we of course need additional equity and we are working on that as well as getting new licensing customers and hoping that we are still turning to cash-flow positive with these new customers".
In the San Jose, Calif., area, home to the slumping Silicon Valley, households have raised about $10,000 on average since the start of 2002 simply by taking additional equity out of their homes when refinancing a mortgage, according to Economy.com.com
2) what other options might be considered by BAC to improve the bank's Tier 1 common and tangible common equity ratios in the absence of additional common equity?; and 3) can BAC provide a more firm estimate of future mortgage putback liabilities from the GSE and non GSE investors?
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