BUTLER LUMBER COMPANY CASE REPORT Francis Davidson Tanguay Paula Zalba Dounia Tazimezalek Carl Helou Applied Corporate Finance Larbi Hammami McGill University‚ Montreal Tuesday‚ May 14th‚ 2013 1. Problem 1.1 Why was sales growth so robust‚ but net income growth anemic at best? 1.2 Does Mr.Butler need additional funding to fuel his growth? 1.3 Why does butler lumber have a cash shortage problem to begin with? 1.4 Could the cash flows of Butler Lumber support additional debt? 1.5 Should butler lumber
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Butler Lumber Case Study Solution Options: The Butler Lumber Company (BLC) could obtain from Suburban National Bank maximum loan of $250‚000 in which his property would be used to secure the loan. Northrop National Bank is considering BLC a line of credit (LOC) of up to $465‚000. BLC would have to sever ties with Suburban National if they were to have this LOC extended to them. | 1988 | 1989 | 1990 | 1991Q1 | EBITDA coverage (times) | 2.5 | 2.26 | 2.15 | 2.1 | Debt Equity Ratio
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| Corporate Finance Case Study Report Ⅰ | Butler Lumber Company | | | 2010-3-17 | | 陈怡 1091209054 严伟洁 1091209036 姜帆 1091209052 敖翔 1091209024 Abstract In this report‚ we study the case of Butler Lumber Company and analyze the financing problem it was facing. First‚ we give a brief review of the background information of the company. Then we diagnose the business by examining its financial statistics and discover that company was seriously lacking of cash
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CASE 13-6 BUTLER LUMBER COMPANY* Question 1 How well is Butler Lumber doing? Despite recording a tremendous growth in revenue as follows: 2009: 18.62% 2010: 33.83% 2011: 6.61% (on annualised basis) The profitability of Butler Lumber is on declining trend. | |2008 |2009 |2010 |1Q 2011 | |Gross Profit Margin |27.99% |28.61% |27.62% |27.30%
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4/1/2015 Butler Lumber Case Discussion | Fathuddin Hamid Academia.edu Search... Log In Sign Up Butler Lumber Case Discussion 1) Is Butler Lumber Case just a bank lending / finance case? Butler Lumber Case is not just a bank lending / finance case. Though this case requires the financial analysis of the company‚ we should also consider other factors such as the establishing the long-term relationship between the bank and Butler Lumber Company. Through thiscross long-term relationship‚
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Subject: Butler Lumber Company Problem: Whether Mr. Mark Butler should go ahead with financing from Northrop National Bank or should stay with Suburban National Bank. Options: 1) Enter into a loan agreement with Northrop National Bank for USD 465‚000 (Assumption: The condition to sever the relationship with Suburban National Bank applies to Short Term Loan only)
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Timothy Gregory Acct 461 Week 2 Case 13-6 Questions 1. How well is Butler Lumber doing? Despite the fact that‚ Butler is demonstrating development consistently; 2009 18.62%‚ 2010 33.83%‚ 2011 6.61% up to the first quarter‚ its gainfulness is gradually declining; 2009 28.61%‚ 2010 27.62%‚ 27.3% 2011 first quarter. In any case‚ the decrease in gross net revenue won’t be so terrible on the off chance that they can figure out how to have great expense administration and bring down their working cost
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hult international business school | Clarkson Lumber Company | | | Adeeb Valiulla | 1/3/2011 | | Summary Experiencing rapid growth in business and generating fairly good profits‚ Mr. Keith Clarkson the sole owner and president of The Clarkson Lumber Company still faced a shortage of cash and found it necessary to increase his borrowings‚ he was therefore on a look-out to start off a new banking relationship where he could not only borrow a larger loan amount but also one that
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RR: Lee Daniel’s The Butler Sara Crocker For this reader response‚ I chose to see the movie‚ Lee Daniel’s The Butler. I was really surprised at how I took the movie. It was almost as if the rest of the day‚ I continued to see parts of the movie in my head and be disgusted with my ethnicity and the history of white people’s actions. It was sickening to see how black people were treated‚ and the extremes that white people would enforce in order to inhibit their freedom. Throughout the life of Cecil
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MEMO RE CLARKSON LUMBER TO: John Doe President‚ Northrup National Bank FROM: George Dodge Loans Officer‚ Northrup National Bank Clarkson Lumber Company is owned and operated by the hardworking‚ 49-year-old Mr. Clarkson. It has low operating expenses‚ a small staff‚ and strong management. The overall impression is one of a conservative‚ efficient operation. Clarkson himself leads a frugal lifestyle with little personal debt. Clarkson Lumber is a company experiencing
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