capital confidence barometer 8 de0399

7/27/2019 Capital Confidence Barometer 8 DE0399

1/12

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Outlook AprilOctober 2013

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Expectations for global economic growth, corporate earnings and credit availability areat some of their highest levels in two years. Normally, this positive sentiment wouldljYfkdYl]aflgka_fa[Yfl[YhalYdafn]kle]flYf\E9Y[lanalq&

However, our respondents are gravitating toward lower-risk value-creation and growthstrategies, including organic growth, smaller bolt-on acquisitions, optimizing capital

kljm[lmj]$kljYl]_a[\an]kle]flkYf\egj]ja_gjgmk[gkl[gfljgdYf\gh]jYlagfYd]^[a]f[q&L`][mjj]flkalmYlagf[YfZ]klZ]\]k[jaZ]\YkY[gf\]f[]hYjY\gpY\ak[gff][lZ]lo]]f[gf\]f[]Yf\E9Y[lanalq&Hj]%fYf[aYd[jakak$][gfgea[k]flae]flYf\E9activity moved in harmony. However, in the new normal economy, these indicatorsYj]\][gmhd]\&EY[jg][gfgea[jakck$km[`Ykl`]=mjgrgf][jakak$MKk]im]kljYlagfYf\slowing emerging markets growth, have given companies pause. Consequently, someof the worlds richest and most mature economies, which would be expected to lead aj][gn]jq$dY[c[gf\]f[]oalàfl`]ajZgj\]jk$dgo]jaf_Yhh]lal]^gj[YhalYdafn]kle]flworldwide. But companies must not allow risk aversion to become the risk itself.

O]eYqZ]YlYfaf][lagfhgafl2nYdmYlagfd]n]dkYf\k]flae]flkm__]kll`]j]akY oaf\gog^ghhgjlmfalqlgk]ar]jkl%egn]jY\nYflY_]afYeYjc]l_Yafaf_ege]flme&@aklgjqk`gokl`Yljklegn]jkafYfq][gfgea[[q[d][Yf[j]Yl]\a^^]j]flaYdnYdm]Yf\position themselves for sustained market leadership. Now is the time to invest and

grow forward.Pip McCrostie$?dgZYdNa[];`Yaj$LjYfkY[lagf9\nakgjqK]jna[]k

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About this surveyL`]?dgZYd;YhalYd;gf\]f[]:Yjge]l]jis a regular survey of senior executivesfrom large companies around the world,conducted by the Economist IntelligenceMfal=AM!&GmjhYf]d[gehjak]kk]d][l=jfklQgmf_[da]flkYf\[gflY[lkYf\j]_mdYj=AM[gfljaZmlgjk&LàkkfYhk`glg^gmjf\af_k_Ym_]k[gjhgjYl][gf\]f[]afl`]][gfgea[gmldggc$Yf\ala\]fla]kboardroom trends and practices in the way[gehYfa]keYfY_]l`]aj;YhalYd9_]f\Y&

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HYf]dg^Ydegkl)$.((]p][mlan]kkmjn]q]\af>]ZjmYjqYf\EYj[`*()+

;gehYfa]k^jge-([gmflja]k Respondents from more than*(k][lgjk

/1,;=G$;>GYf\gl`]j;%d]n]drespondents

1)*[gehYfa]kogmd\imYda^q^gjl`]>gjlmf])(((ZYk]\gfj]n]fm]

L`];YhalYd9_]f\Y

Based around four dimensions, it helpscompanies consider their issues andchallenges, understand their options andmake more informed capital decisions.

1. Preserving capital: reshaping theoperational and capital base

2. Optimizing capital: driving cashand working capital and managingthe portfolio of assets

3. Raising capital: assessing futurecapital requirements and fundingsources

4. Investing capital: strengtheninginvestment appraisal and transactionexecution


2/12

51%g^j]khgf\]flkZ]da]n]l ]_dgZYd][gfgeqak

aehjgnaf_$[gehYj]\oal`**afG[lgZ]j*()*

51%g^j]khgf\]flkYj]hgkalan]YZgml

[gjhgjYl]]Yjfaf_k$[gehYj]\oal`+(

in October 2012

O`Ylakqgmjh]jkh][lan]gfl`]klYl]g^l`]_dgZYd][gfgeqlg\Yq7

31%

47%

22%

Oct-12

13%

36%

51%

Apr-13

20%

28%

52%

Apr-12

Improving Stable Declining

27%

44%

63%

23%

38%

52%

30%

44%

51%

26%

30%

49%

15%

5%

32%

Economicgrowth

Employmentgrowth

Corporateearnings

Creditavailability

Short-termmarket

stability

Apr-12 Oct-12 Apr-13

% positive view

Hd]Yk]af\a[Yl]qgmjd]n]dg^[gf\]f[]afl`]^gddgoaf_Ylthe global level

40%

21%

17%

5%

17%

Spain

France

Italy

Netherlands

UK

;gmflja]koal`l`]egklf]_Ylan]na]og^l`]ajdg[Ydeconomy relative to the global economy*

"H]j[]flY_]%hgaflkhj]Y\Z]lo]]fdg[YdYf\_dgZYd][gfgea[k]flae]fl

;gmflja]koal`l`]egklhgkalan]na]ogfl`]_dgZYd][gfgeq

65%

64%

58%

54%

63%

53%

50%

42%

35%

44%

Japan

France

Germany

UK

China

Australia

Brazil

US

India

South Korea

*

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][gfgea[_jgolàkYlalkà_`]kld]n]daflogq]Yjk&Egj]l`Yf

half of the respondents are positive on corporate earnings and

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short-term market stability has more than doubled.

These increasingly positive views, coupled with favorable

sentiment about the regulatory environment for business

growth, would normally signal an increase in both capital

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into action.

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3/12

Oct-12 Apr-13Apr-12

13%

59%

28%

10%

48%

42%

12%

47%

41%

QCreate jobs/hire talent

QKeep current workforce size

QReduce workforce numbers

Oal`j]_Yj\lg]ehdgqe]fl$oà[`g^l`]^gddgoaf_\g]kqgmjgj_YfarYlagf]ph][llg\gafl`]f]pl)*egfl`k7

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fgld]\lgYj]Zgmf\afE9&

Làk[gjhgjYl][Ymlagfakmf\]jklYf\YZd]&L`]_dgZYd

fYf[aYd[jakak YkZ]]f\jYofgml$oalège]flkl`Yl

km__]kl]\lmjfYjgmf\l`Ylf]n]jeYl]jaYdar]\&9ea\làk

h]jkakl]fl[jakak]fnajgfe]fl$l`][mjj]fl_]f]jYlagfg^

[gjhgjYl]d]Y\]jk YkdYj_]dqhmjkm]\_jgol`l jgm_`

gj_Yfa[e]Ykmj]kgjghlaearYlagf]^ gjlk&L`]q`Yn]dYj_]dq

Z]]fj]oYj\]\ZqZgYj\k gjl`]k][gfk]jnYlan]afklaf[lk&

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l`]ajkljYl]_a[gZb][lan]kYf\lggmlhY[][geh]lalgjk&

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D]Y\af_[gehYfa]kYj]dYqaf_l`]_jgmf\ogjc^gjlYcaf_

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[gj]Zmkaf]kk]k$]p][mlaf_\an]kle]flko`]ff][]kkYjq$Yf\

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3%

16%

11%

5%

65%

More than 5%

3%5%

1%3%

Zero growth

Negative growth

:q`goem[`\gqgmlàfcgj]ph][ll`]_dgZYd][gfgeqlg_jgoafl`]f]pl)*egfl`k7

39%

38%

23%

Stagnation inthe Eurozone

Slowing growthin emerging

markets

US debt ceilingchallenges

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lg_jgoZq)+

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3

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global economy, but most recognize it is unlikely to reach peaks

dYklk]]faf*((.(/&L`]][gfgea[mf[]jlYaflql`Yl^gddgo]\

that period has been so long and pervasive that typical cyclical

behaviors have changed.

Global economic risks persist

Global market risks are well known by corporate boards.Eurozone issues and slowing growth in emerging markets pose

material challenges to their businesses. In response, many

companies have adjusted their strategies to compensate for

these risks, while others view them as a source of opportunity.

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Forty-two percent of respondents expect to hire talent or

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Even more encouraging, plans for workforce reduction are at

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4/12

Oct-12 Apr-13Apr-12

QImproving

QStable

QDeclining

30%

44%

26%

14%

37%

49%

25%

45%

30%

Hd]Yk]af\a[Yl]qgmjd]n]dg^[gf\]f[]af[j]\alavailability at the global level

51%

50%

46%

33%

31%

32%

12%

13%

16%

4%

6%

6%

Less than 25%

25%49.9%

50%74.9%

75%100%


O`Ylakqgmj[gehYfqk[mjj]fl\]Zl%lg%[YhalYdjYlag7

Oct-12 Apr-13Apr-12

33%

49%

18%

33%

43%

24%

34%

45%

21%

QIncrease

QRemain constant

QDecrease

@go\gqgm]ph][lqgmj[gehYfqk\]Zl%lg%[YhalYdjYlaglg[`Yf_]gn]jl`]f]pl)*egfl`k7

Lghn][gmflja]koal`l`]`a_`]klhgkalan]na]ogf

_dgZYd[j]\alYnYadYZadalq

)& ; afY

*& MK

+& 9mkljYdaY

,& ;YfY\Y

-& BYhYf

24%g^j]khgf\]flkhdYflgaf[j]Yk]l`]aj

\]Zl%lg%[YhalYdjYlagmh^jge

)0kapegfl`kY_g

49%g^j]khgf\]flkna]o[j]\alYnYadYZadalqYk

aehjgnaf_$[gehYj]\oal`*.afG[lgZ]j*()*

,

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;j]\alaf[j]Ykaf_dqYnYadYZd]

In addition to having an improved outlook on the global

][gfgeq$[gehYfa]kYj]egj][gf\]fll`Yf]n]jYZgmll`]aj

ability to access the credit markets.

When asked about credit availability, almost half of respondents

k]]aehjgn]e]fl$l`]`a_`]kld]n]daflogq]Yjk&Gfdq),

j]hgjlY\][daf]Y_Yaf$l`]dgo]kld]n]daflogq]Yjk&


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O]eYqZ]f]YjYfaf][lagfhgafl$oal`[gehYfa]kdYj_]%k[Yd]

changes to capital structure now nearing completion. Debt-to-

capital ratios remain fairly constant today, but the appetite for

leverage is expected to accelerate over the next year. However,

the question remains why organizations are not already taking

greater advantage of available credit.


5/12

25%

20%

22%

24%

21%

21%

21%

41%

31%

18%

13%

16%

12%

5%

10%

Extend maturity(short-term

debt ratio)

Reduceinterest cost

Optimizing thecapital structure

(non-stressedsituation)

Retirematuring debt

Removerestrictivecovenants


O`YloaddZ]l`]hjaeYjqhmjhgk]g^qgmjj]fYf[af_7

29%g^[gehYfa]k]ph][llgj]fYf[]dgYfkgj

\]ZlgZda_Ylagfk

Na]ohgafl;j]\alYnYadYZadalqYkd]Y\af_af\a[Ylgj

Gmjkmjn]qk`gokY a_`]jfmeZ]jg [gehYfa]k]ph][laf_

Yfaf[j]Yk]afl`]aj\]Zl%lg%[YhalYdjYlag$^jge)0af

G[lgZ]j*()*lg*,aflàk:Yjge]l]j&;gmhd]\oal`Y

dYj_]af[j]Yk]afl`gk][alaf__j]Yl]jgn]jYddYnYadYZadalqg^

[j]\al^jge*.lg,1!$làkka_fYdkl`Ylj]khgf\]flk

Yhh]lal] gjd]n]jY_]akhgak]\lgjak]&

L`jgm_`gmll`]][gfgea[[jakak$[gehYfa]kafhj]k]jnYlagf

eg\][Ye]lgna]ol`]mk]g [j]\alYkf]_Ylan]&:mll ]

j]hmlYlagfg [j]\al$dac]l`]][gfgeqYldYj_]$akkdgodqZ]af_

j]`YZadalYl]\&9 l]jk]n]jYd:Yjge]l]jkafo a[ egj]l`Yf Yd g j]khgf\]flk Y\dgo\]Zl%lg%[YhalYdjYlagk$afl akakkm]

l`Yle]lja[^Yddklg,.&

9lYlae]g^Yehd][j]\alYnYadYZadalqYf\àklgja[Yddqdgo

hja[af_$d]Y\af_[gehYfa]kYj][geaf_lgna]o[j]\alYkY

lggdlg^m]dl`]aj_jgol`Y_]f\Y&

Oct-12 Apr-13Apr-12

20%

38%

42%

16%

30%

54%

18%

39%

43%

QCash

QDebt

QEquity

O`Ylakl`]dac]dqhjaeYjqkgmj[]g^qgmj[gehYfqk\]YdfYf[af_afl`]f]pl)*egfl`k7

5

gjl`]f]pl)*egfl`k$l`gk][gehYfa]kl`YlhdYflgj]fYf[]

\]Zl*1!kYql`]qoadd g[mkgfj]f]e]flk$af[dm\af_j]\m[af_

interest rates, extending maturities and removing covenants.

;Yk`\geafYl]kf]Yj%l]je\]YdfYf[af_

L`]hj]\geafYflmk]g^[Yk`lgfYf[]ljYfkY[lagfkak

indicative of companies ongoing cautionary mindset.

Egj]l`Yf`Yd^g^j]khgf\]flkhgafllg[Yk`Ykl`]ajhjaeYjq

kgmj[]g^\]YdfYf[af_gn]jl`]f]pl)*egfl`k&D]kkl`Yf

gf]%làj\kYql`]qhdYflgmk]\]Zl+(!Ykl ]ajhjaeYjq

source, despite reporting abundant credit availability.

Companies reluctance to leverage their own equity may be a

symptom of volatility in the capital markets.



6/12

Oct-12 Apr-13

25%

3%

31%

41%

15%

2%

31%

52%

Q Growth

Q Cost reduction andgh]jYlagfYd]^[a]f[q

QEYaflYafaf_klYZadalq

Q SurvivalO`Ylakl`]hjaeYjq^g[mkg^qgmj[gehYfqkgj_Yfa[_jgol`gn]jl`]f]pl)*egfl`k7

30%

19%

More rigorousfocus on core products/

existing markets

New sales channels

Dgo]jjakc

14%

12%

9%

16%Exploiting technology

to develop newmarkets/products

Changing mix of existingproducts and services

Increasing R&D/productintroductions

Investing in newgeographies/markets

Higher risk

Apr-11 Oct-11 Apr-12 Oct-12 Apr-13

51%

49%

52%

41%

52%

% focused on growth

Oà[`klYl]e]flZ]kl\]k[jaZ]kqgmjgj_YfarYlagfk^g[mkgn]jl`]f]pl)*egfl`k7

A^qgmj[gehYfq`Yk]p[]kk[Yk`lg\]hdgq$oà[`g^l`]^gddgoaf_oaddZ]qgmj[gehYfqk^g[mkgn]jl`]f]pl)*egfl`k7


45%

36%

50%

14%

13%

16%

Organic growth(e.g., investing inproducts, capex,

talent retention, R&D)

Inorganic growth(e.g., acquisitions,

alliances, JVs)

Afn]klaf_jgol`

11%

12%

11%

6%

8%

5%

24%

31%

18%

Pay down debt

Pay dividends

Buy back stock

J]lmjflgklYc]`gd\]jk

.

?jgol`

9hh]lal]^gj_jgol`j]Zgmf\k

9k[gf\]f[]afl`]_dgZYd][gfgeqj]lmjfkYf\[j]\alavailability improves, companies are reporting an increasedappetite for growth and a steady move toward investment.

O`]fYkc]\YZgmll`]aj[gehYfa]k^g[mkgn]jl`]f]pl)*egfl`k$egj]l`Yf`Yd^g^j]khgf\]flk-*![al]\_jgol`more than all other responses combined, and a major rebound^jgeG[lgZ]j*()*&=n]fYea\làk_jgoaf_ghlaeake$f]Yjdq gf]%làj\g^[gehYfa]k+)!j]eYaf^g[mk]\gf[gklj]\m[lagfYf\gh]jYlagfYd]^[a]f[a]k&;gehYfa]k^g[mk]\gf]al`]jklYZadalqgjkmjnanYd`Yn]\][j]Yk]\ka_fa[Yfldq&

HdYfk^gj]p[]kk[Yk`kà^llgoYj\_jgol`kljYl]_a]k

Companies with excess cash are deploying it toward growthYf\YoYq^jgej]lmjfaf_allgklYc]`gd\]jk&AflglYd$-1g^respondents are pursuing either organic or inorganic growthwith their excess cash; organic growth continues to be theeYbgjhj]^]j]f[],-!&Gfdq,)aflglYdkYql`]qYj] ^g[mk]\gfj]lmjfaf_[Yk`l`jgm_`hYqaf_\gof\]Zl$

hYqaf_\ana\]f\kgjZmqaf_ZY[cklg[cY\jghg^)(h]j[]flY_]hgaflkkaf[]G[lgZ]j*()*&

Gj_Yfa[_jgol`\jan]fZqZYdYf[]\jakchgjl^gdag

;gehYfa]kYj]dYj_]dq^g[mk]\gfdgo]j%jakc_jgol`kljYl]_a]kmuch more cautious approaches than one would expect, givenaf[j]Yk]\[gf\]f[]Yf\[j]\alYnYadYZadalq&Làk`YkZ][ge]l`]f]ofgjeYdafl`]hgklfYf[aYd[jakakogjd\2_jgolàctivities perceived as higher-risk are more cautiously pursued.Companies will want more and longer-lasting evidence of anupturn before making major investments.



7/12

Oà[`Z]kl\]k[jaZ]kqgmjgj_YfarYlagfk^g[mkgn]jl`]f]pl)*egfl`k7

@go\gqgmlàfcl`]ZgYj\jggeY_]f\YYlqgmj[gehYfq`Yk[`Yf_]\^jgeYq]YjY_g7

Greater focus today

Apr-13

Stayed the same

Less focus today

65% 25% 10%

63% 27% 10%

9%30%61%

12%33%55%

12%38%50%

12%39%49%

16%39%45%

19%41%40%

dnaycneicfEcost control

Riskmanagement

Capitalallocation

Regulatoryissues

Investorrelations

Growth innovation R&D

Growth new geographic

markets

17%36%47%People

(attracting/retaining talent)

Corporategovernance*

* Only asked in April 2013

Na]ohgafl:gYj\jggekZYdYf[af__gn]jfYf[]Yf\_jgol`

:gYj\jggekYj][mjj]fldq^g[mk]\gfl`]^mf\Ye]flYdk2

]^[a]f[q$[gkl[gfljgd$jakceYfY_]e]fl$[YhalYdYddg[Ylagf$

j]_mdYlgjqakkm]k$afn]klgjj]dYlagfkYf\[gjhgjYl]

_gn]jfYf[]&9ddg^l`]k]Y_]f\Yal]ek$oà[ò]j][al]\Zq

`Yd^gjegj]g gmjj]khgf\]flk$hgafllgoYj\[gehYfa]k

Zmad\af__j]Yl]jklYc]`gd\]jY[[gmflYZadalq&

Jakca]j_jgolè]Ykmj]k$af[dm\af_j]k]Yj[`Yf\

\]n]dghe]fl$Yj]dgo]jgfl`]Y_]f\Y&@go]n]j$l`]

f\af_kaflàk:Yjge]l]jhgafllgYoaf\gog^ghhgjlmfalq

^gjY[[]d]jYl]\_jgol &=[gfgea[[gf\]f[]$[j]\al[gf\alagfkYf\nYdmYlagfkYdgf_oal`Yj][]fljak]af

k`Yj]`gd\]jY[lanakeYddka_fYdYfaeh]jYlan]lgY[l&

Hjm\]fl\ak[ahdaf]Yf\_gn]jfYf[]Yj]f][]kkala]k&:mlfgo

eYqZ]l`]lae] gjZgYj\klgY[ a]n]jklegn]jklYlmk&Apr-13

Apr-13

40%

Oct-12

38%

Apr-12

32%

9%

Oct-12

10%

Apr-12

13%

Apr-13

27%

Oct-12

30%

Apr-12

31%

Apr-13

24%

Oct-12

22%

Apr-12

24%

Preserv

ingOptim

izing

Rais

ing

Investing

TheCapitalAgenda

7

Afn]klaf_\geafYl]kl`];YhalYd9_]f\Y

;gehYfa]k]ph][ll`]aj;YhalYd9_]f\Yhjagjala]klg[gflafm]lgegn]lgoYj\afn]klaf_gn]jl`]f]pl)*egfl`k&L`]aj^g[mkgfafn]klaf_`Ykegn]\kl]Y\adqmhoYj\gn]jl`]dYklq]YjfgoYl,(!$oàd]hdYfklghj]k]jn]$ghlaear]Yf\jYak][YhalYdhave held steady or declined slightly. While companies arerepositioning toward an investment mindset, they continue topursue organic growth and portfolio-optimization strategies.



8/12

3%

69%

23%

5%

Return tohistoric highs

Improve

Remain the same

Decline

O`Ylakqgmj]ph][lYlagf^gj_dgZYdE9'\]Ydngdme]k afl`]f]pl)*egfl`k7

Apr-11 Oct-11 Apr-12 Oct-12 Apr-13

38%

41%

31%

25%

29%

Do you expect your company to pursue acquisitions in the

f]pl)*egfl`k7

39%

30%

35%

50%

37%40%

32%

29%

34%

Likelihood ofclosing acquisitions

Quality ofacquisition

opportunities

Number of

acquisitionopportunities


D]n]dg^[gf\]f[]Yll`]_dgZYdd]n]d j]khgf\]flkhgkalan]

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Oct-12 Apr-13

46%

38%

9%

7%

53%

35%

6%6%

Over US$1b

US$501mUS$1b

US$51mUS$500m

US$50m or less

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8

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conservatism persists

Consistent with sentiment over the past six months, deals

are likely to remain smaller in size despite record amounts of

YnYadYZd][Yk`Yf\aehjgnaf_[j]\al[gf\alagfk&AflglYd$00

of respondents planning acquisitions expect deals to be under

MK-((eaddagf&L`]hmjkmalg^keYdd]jljYfkY[lagfkYda_fkoal`

companies overall strategy toward organic growth and lower-

risk sentiment.

K][lgjkdac]dqlgk]]l`]egklY[lanalqYj]l`gk]hjgna\af_

_jgol`ghhgjlmfala]kaf]e]j_af_eYjc]lkYf\Fgjl`9e]ja[Y&

L`]aehjgn]e]flafY[imakalagfhdYfk*1!akdYj_]dq\jan]f

by an increasing number, and a higher quality, of acquisition

opportunities. Thirty-nine percent of companies say there are

imYdalqY[imakalagfghhgjlmfala]kYnYadYZd]$[gehYj]\oal`+(

kapegfl`kY_g3-(^]]degj][gf\]flYZgmll`]fmeZ]jg^

ghhgjlmfala]kYnYadYZd]$n]jkmkgfdq+/kapegfl`kY_g&

Twenty-nine percent of respondents expect their company will

hmjkm]gf]gjegj]Y[imakalagfkafl`]f]pl)*egfl`k&

?dgZYd\]Ydngdme]kYf\Yhh]lal]]ph][l]\

to improve

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companies expect global deal volumes to improve over the

f]pl)*egfl`k&



9/12

O`Yl\gqgm]ph][ll`]hja[]'nYdmYlagfg^E9Ykk]lk lg\ggn]jl`]f]pl)*egfl`k7

Oct-12 Apr-13Apr-12

27%

42%

31%

7%

49%

44%

18%

41%

41%

QIncrease

QRemain at current levels

QDecrease


10/12

O`a[`klYl]e]flZ]kl\]k[jaZ]kqgmjYhhjgY[`lgE9afl`gk]]e]j_af_eYjc]lko`a[`Yj]]ph]ja]f[af_

kdgoaf__jgol`7

31%

45%

14%

5%

5%

We remain optimistic and havenot changed our approach

We remain optimisticbut will apply further rigor

We are less optimistic and arereconsidering our strategies

We are less optimistic andhave turned our attention

more toward developed markets

We have discontinued our emergingmarkets strategies for now

Lghafn]kle]fl\]klafYlagfk

Oct12)& ; afY

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Apr13)& ; afY

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Top inbound investors

1. South Korea2. Mexico3. Canada


1. US2. Australia3. UK


1. US2. South Korea3. Australia


1. US2. South Korea3. UK


1. US2. Spain3. South Korea

4. US

5. Canada

1. China

2. India

3. Brazil

)( ?dgZYd;YhalYd;gf\]f[]:Yjge]l]j


11/12

14%

17%

15%

612 months 12 yearsIn progress/planning

O`]f\gqgm]ph][llgafalaYl]qgmjf]pl\an]kle]fl7

"Kgmj[]2EY Global Corporate Divestment Study 2013

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)& >g[mkgf[gj]Ykk]lk

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+& JYak][YhalYd

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38%

29%

17%

16%

Sale ofbusiness unit

Spinoff/IPO ofbusiness unit

Sale ofentire business

Contribution ofbusiness unit

to joint venture

Life sciences*

Technology

Automotive

Power and utilities

Oil and gas

Mining and metals

Financial services

Consumer products


12/12

Ernst & Young

Assurance | Tax | Transactions | Advisory

2013 EYGM Limited.

All Rights Reserved.

EYG no. DE0399

BSC no. 1304-1059591NY

This publication contains information in summary form

and is therefore intended for general guidance only. It is

not intended to be a substitute for detailed research or the

exercise of professional judgment. Neither EYGM Limited nor

any other member of the global Ernst & Young organization

can accept any responsibility for loss occasioned to any

person acting or refraining from action as a result of any

material in this publication. On any specific matter, reference

should be made to the appropriate advisor.

The opinions of third parties set out in this publication are

not necessarily the opinions of the global Ernst & Young

organization or its member firms. Moreover, they should be

viewed in the context of the time they were expressed.

www.ey.com

ED None.

About Ernst & Young

Ernst & Young is a global leader in assurance, tax,

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unwavering commitment to quality. We make a difference

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About Ernst & Youngs

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How an organization manages its capital agenda today

will define its competitive position tomorrow. We

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About this survey

Ernst & Youngs Capital Confidence Barometer is part

of Growing Beyond, our flagship program exploring how

companies are finding new opportunities in challenging

economic times.

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l`gk]kh][a[lgqgmjk][lgjgj_]g_jYh`q$hd]Yk][gflY[lqgmj

=jfklQgmf_Y\nakgjgjYfqg^l`][gflY[lkZ]dgo&

Name Telephone Email

Global

Pip McCrostie

Global Vice Chair

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#,,*(/10((-(( [email protected]

Steven Krouskos

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+1 212 773 3975 [email protected]

Americas

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9e]ja[YkD]Y\]j


+1 212 773 2922 ja[`Yj\&b]Yff]j]l8]q&[ge

=mjgh]$Ea\\d]=Ykl$Af\aYYf\9^ja[Y=E=A9!

Joachim Spill

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+49 6196 996 25366 bgY[`ae&khadd8\]&]q&[ge

9kaY%HY[a[Yf\BYhYf

John Hope

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#0-**0,.111/ bg`f&`gh]8`c&]q&[ge

Kenneth G. Smith

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capital confidence barometer 8 de0399

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