Increasing Shareholder Value: Distribution Policy, A Corporate Finance Challenge

✍ Scribed by Harold Bierman Jr. (auth.)

• Publisher: Springer US
• Year: 2001
• Tongue: English
• Leaves: 148
• Edition: 1
• Category: Library

✦ Synopsis

Corporations earn incomes and amass wealth. There are many books offering advice how to increase the profitability of corporations by achieving excellence in operations and choosing the correct strategic path. Increasing Shareholder Value: Distribution Policy, A CorporateFinance Challenge is concerned with how the corporation should reward its shareholders after the incomes are earned.
Investment decisions, capital structure, and dividend policy must be coordinated so that the well being of the firm's stockholders is considered in the planning process. The corporate planners should realize that the individual investors are also making plans, and the corporation can assist this planning process by making its own financial plans and strategies well known.

✦ Table of Contents

Front Matter....Pages i-vii
An Overview of Corporate Distribution Policy....Pages 1-2
Dividends Versus Retained Earnings....Pages 3-20
Dividends Versus Share Repurchase....Pages 21-41
Share Repurchase and Stock Price....Pages 43-65
Choosing Between Real Investments and Share Repurchase....Pages 67-75
The Return Earned by Share Repurchase....Pages 77-84
Share Repurchase and Earnings Per Share Buyback Parity....Pages 85-95
A Dividend Reduction Strategy....Pages 97-110
The Investor’s Viewpoint....Pages 111-121
Dividend Reinvestment Plans (DRIP’s)....Pages 123-129
Repurchase of Shares Accompanied by the Selling of Puts....Pages 131-135
A Ranking of Alternatives....Pages 137-147
Back Matter....Pages 149-151

✦ Subjects

Finance/Investment/Banking