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"Through 2009, we have improved our balance sheet so that both entities will have solid capitalization to have operational and strategic flexibility," Mr. Jha said in an interview, adding that both companies would also have the ability to obtain additional financing from the capital markets if needed.
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(See: Domino's Knocked Over) "We feel the industry risks are countered by the companys relatively high market capitalization, solid financial condition, relatively stable earnings profile and solid cash flows aided by the companys franchised structure".
HD has reduced shares outstanding by 2.8% in the last 12 months, a substantial amount for a rock-solid company with a mega-market capitalization.
They pick the 60 to 80 stocks in the fund mostly from among 3,000 to 4,000 United States stocks with market capitalizations below $2 billion and seek solid growth companies with profitable businesses and strong management teams.
At about 30% debt to total capitalization, Sadia's balance sheet is very solid.
Investors are rewarding big-capitalization technology stocks for their ability to churn out solid earnings even as other companies see their profits squeezed by dwindling overseas demand.
The updraft that lasted most of the first quarter yielded solid performances by many funds that invest in international small- and mid-capitalization stocks concentrated in Europe.
The debt-conversion will raise only one-fifth of the capital needed to put the bank on more solid financial footing, but paves the way for an attempted equity raise in late December of €4 billion - more than seven times the bank's current market capitalization.
"We have reached a crossroads: simply put, we need capitalization, both for the rest of this season and for the company to continue forward on solid financial footing," said George Steel, general manager and artistic director, in a statement.
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