project financing assignment

8/9/2019 Project FInancing Assignment

1/31

PPG INDUSTRIES INCANNUAL STATEMENT OF CASH FLOWS

2000 1999 1998

INDIRECT OPERATING ACTIVITIES

Income Beo!e E"#!$o!%&n$!' I#em( 620 568 801

De)!ec&$#&on $n% Amo!#&*$#&on 447 419 383

0 0 0

Dee!!e% T$"e( 0 0 0

E+,' &n Ne# Lo(( -E$!n&n.(/ C C C

0 0 -85

F,n%( !om O)e!$#&on( O#e! 53 82 31

-44 -128 -85Inen#o!' Dec!e$(e -Inc!e$(e/ -92 -7 -73

-11 77 46

C C 9

-103 -109 -85

O)e!$#&n. Ac#&&e( Ne# C$( F3o4 870 902 942

INVESTING ACTIVITIESIne(#men#( Inc!e$(e C C C

S$3e o Ine(#men#( C C C

So!#Te!m Ine(#men#( C$n.e 0 0 0

C$)$3 E")en%,!e( C C C

S$3e o P!o)e!#'5 P3$n#5 $n% E+,&)men# C C C

Ac+,&(&on( 115 1,343 390

Ine(#&n. Ac#&&e( O#e! -521 -301 -191

Ine(#&n. Ac#&&e( Ne# C$( F3o4 -636 -1,644 -581

FINANCING ACTIVITIES

S$3e o Common $n% P!ee!!e% S#oc6 4 9 22

247 82 217

C$( D&&%en%( 276 264 252

Lon.Te!m De7# I((,$nce 32 821 12

Lon.Te!m De7# Re%,c#&on 55 203 64

C,!!en# De7# C$n.e( 244 477 125

F&n$nc&n. Ac#&&e( O#e! 20 15 13

F&n$nc&n. Ac#&&e( Ne# C$( F3o4 -278 773 -361

E"c$n.e R$#e Eec# -3 -1 -1

-47 30 -1

DIRECT OPERATING ACTIVITIES

E"#!$o!%&n$!' I#em( $n% D&(cO)e!$#&on(

S$3e o P!o)e!#'5 P3$n#5 $n% E+,&)men#$n% S$3e o Ine(#men#( Lo(( -G$&n/

Acco,n#( Rece&$73e Dec!e$(e

-Inc!e$(e/

Acco,n#( P$'$73e $n% Inc!,e% L&$7 Inc!e$(e -Dec!e$(e/

Income T$"e( Acc!,e% Inc!e$(e-Dec!e$(e/

O#e! A((e#( $n% L&$7&3&e( Ne#C$n.e

P,!c$(e o Common $n% P!ee!!e%S#oc6

C$( $n% C$( E+,&$3en#( Inc!e$(e-Dec!e$(e/


2/31

In#e!e(# P$&% Ne# 195 123 121

Income T$"e( P$&% 319 394 385

P$'o,# #o e+,': 523 346 469


3/31

199; 199< 199= 199> 199? 1992 1991

714 744 768 515 295 319 201

373 363 352 335 350 373 373

0 0 0 0 0 0 0

0 0 0 0 0 0 0

C C C C C C C

-59 0 0 0 0 0 0

102 0 0 -74 42 64 107

-124 -2 -29 -264 -34 -41 -11-60 -56 -47 -26 27 85 55

40 C C C C C C

-3 C C C C C C

24 -41 29 205 60 -130 -246

1,007 1,008 1,072 691 741 670 479

C C C C C C C

C C C C C C C

0 0 0 0 0 0 0

C C C C C C C

C C C C C C C

363 13 7 34 36 1 4

-220 -456 -269 -212 -201 -255 -271

-583 -468 -276 -245 -237 -256 -275

14 27 7 19 13 12 10

343 635 588 280 81 27 15

239 237 239 238 221 200 183

472 158 118 23 9 11 300

63 153 51 33 199 312 289

-212 257 -4 11 7 111 -65

11 8 4 -1 20 16 16

-360 -575 -753 -498 -452 -389 -227

-5 0 0 2 -2 -1 1

59 -36 44 -50 51 24 -22


4/31

106 109 91 93 112 154 163

452 402 358 254 210 142 231

582 872 827 518 302 226 198


5/31


6/31


7/31


8/31


9/31

E@PLAINING PPGS MSTERIOUS EUIT ACCO

F!om Income S#$#emen# 2000 1999

Ne# Income -Lo((/ 620

C$( D&&%en%( 276

Re#$&ne% 344

F!om B$3$nce See# 2000 1999 D c$n.e

Common S#oc6 484 484 0

C$)$3 S,!)3,( 102 104 -2

Re#$&ne% E$!n&n.( 6019 5786 233

Le(( T!e$(,!' S#oc6 To#$3 Do33$! Amo,n 3508 3268 240

To#$3 (#oc6o3%e!( e+,' 3097 3106 -9

Ne# &ncome 620Retained

O#e! com)!een(&e 3o((5 ne# o #$" -133Retained

C$( %&&%en%( -276Retained

P,!c$(e o #!e$(,!' (#oc6 -247 Treasury These item

I((,$nce o #!e$(,!' (#oc6 5 Treasury

Lo$n( #o ESOP -24Retained

Re)$'men# o 3o$n( 7' ESOP 44Retained

O#e! 2 Retained A%%&on$3 &n#e!n$3 $%%&on 2 Treasury

A%%&on$3 &n#e!n$3 (,7#!$c#&on -2 Capital surplus

To#$3 c$n.e &n e+,' $cco,n#( -9

A%,(#men#( #o !e#$&ne% 233 #N!"

A%,(#men#( #o T!e$(,!' -240

A%,(#men#( #o c$)$3 (,!)3,( -2

To#$3 c$n.e &n e+,' $cco,n#( -7


10/31

UNTS

#N!"


11/31


12/31

$eta 0%8672 #N!"

D$#e&e'-95 615%93

(an-96 636%02 3%21) #N!"

*e+-96 640%43 0%69)

!ar-96 645%5 0%79)

pr-96 654%17 1%33)

!ay-96 669%12 2%26)

(un-96 670%63 0%23)

(ul-96 639%95 -4%68)

u,-96 651%99 1%86)ep-96 687%33 5%28)

.'t-96 705%27 2%58)

N/-96 757%02 7%08)

&e'-96 740%74 -2%17)

(an-97 786%16 5%95)

*e+-97 790%82 0%59)

!ar-97 757%12 -4%35)

pr-97 801%34 5%68)

!ay-97 848%28 5%69)

(un-97 885%14 4%25)

(ul-97 954%31 7%52)

u,-97 899%47 -5%92)

ep-97 947%28 5%18)

.'t-97 914%62 -3%51)

N/-97 955%4 4%36)

&e'-97 970%43 1%56)

(an-98 980%28 1%01)

*e+-98 1049%34 6%81)

!ar-98 1101%75 4%87)

pr-98 1111%75 0%90)

!ay-98 1090%82 -1%90)

(un-98 1133%84 3%87)

(ul-98 1120%67 -1%17)

u,-98 957%28 -15%76)

ep-98 1017%01 6%05)

.'t-98 1098%67 7%72)

N/-98 1163%63 5%74)

&e'-98 1229%23 5%48)

(an-99 1279%64 4%02)

*e+-99 1238%33 -3%28)

!ar-99 1286%37 3%81)

pr-99 1335%18 3%72)

COMPUTING THEUses monthly data, De

SP=00C3o(e SP=00Re#,!n


13/31

!ay-99 1301%84 -2%53)

(un-99 1372%71 5%30)

(ul-99 1328%72 -3%26)

u,-99 1320%41 -0%63)

ep-99 1282%71 -2%90)

.'t-99 1362%93 6%07)

N/-99 1388%91 1%89)

&e'-99 1469%25 5%62)

(an-00 1394%46 -5%22)

*e+-00 1366%42 -2%03)

!ar-00 1498%58 9%23)

pr-00 1452%43 -3%13)

!ay-00 1420%6 -2%22)

(un-00 1454%6 2%37)

(ul-00 1430%83 -1%65)

u,-00 1517%68 5%89)

ep-00 1436%51 -5%50)

.'t-00 1429%4 -0%50)

N/-00 1314%95 -8%35)

&e'-00 1320%28 0%40)


14/31

D$#e&e'-95 38%98

(an-96 39%83 2%16) #N!"

*e+-96 39%76 -0%18)

!ar-96 41%91 5%25)

pr-96 43%41 3%52)

!ay-96 44%65 2%84)

(un-96 42%07 -5%97)

(ul-96 42%50 1%02)

u,-96 42%87 0%88)ep-96 47%22 9%65)

.'t-96 49%50 4%71)

N/-96 53%48 7%75)

&e'-96 49%01 -8%74)

(an-97 46%71 -4%79)

*e+-97 49%20 5%19)

!ar-97 47%44 -3%64)

pr-97 47%77 0%69)

!ay-97 51%37 7%25)

(un-97 51%37 0%00)

(ul-97 56%56 9%63)

u,-97 55%95 -1%08)

ep-97 55%67 -0%50)

.'t-97 50%29 -10%17)

N/-97 51%77 2%90)

&e'-97 51%04 -1%41)

(an-98 51%26 0%44)

*e+-98 58%23 12%75)

!ar-98 61%04 4%71)

pr-98 63%51 3%97)

!ay-98 65%81 3%56)

(un-98 62%82 -4%65)

(ul-98 57%24 -9%32)

u,-98 46%33 -21%13)

ep-98 49%57 6%75)

.'t-98 52%01 4%81)

N/-98 55%91 7%23)

&e'-98 53%17 -5%03)

(an-99 49%12 -7%93)

*e+-99 47%91 -2%49)

!ar-99 47%16 -1%57)

pr-99 59%76 23%67)

ETA FOR PPG! "99# - De! $%%%

PPGC3o(e PPGRe#,!n


15/31

!ay-99 56%16 -6%20)

(un-99 54%66 -2%71)

(ul-99 55%18 0%95)

u,-99 55%93 1%34)

ep-99 55%87 -0%10)

.'t-99 56%45 1%04)

N/-99 54%88 -2%83)

&e'-99 58%63 6%61)

(an-00 51%60 -12%77)

*e+-00 46%62 -10%14)

!ar-00 49%39 5%78)

pr-00 51%34 3%87)

!ay-00 47%14 -8%54)

(un-00 42%15 -11%20)

(ul-00 38%70 -8%53)

u,-00 38%90 0%53)

ep-00 38%11 -2%07)

.'t-00 42%85 11%73)

N/-00 40%39 -5%92)

&e'-00 44%87 10%52)


16/31

CALCULATING THE GORDON MN,m7e! o ($!e( o,#(#$n%&n.5 Dec 2000 -m&33&o 168%22

S$!e )!&ce5 ?1Dec00 46%31

E+,' $3,e5 Dec00 7791

Me#o% 1 !E Go!%on ,(&n. on3' %&&%en%(S#oc6 )!&ce5 ?1%ec00 46%31

D&&%en%5 2000 1%60

An#&c&)$#e% %&&%en% .!o4# 6%88)

!E5 co(# o e+,' ,(&n. on3' %&&%en%( 10%57)

Me#o% 2 !E Go!%on ,(&n. e+,' )$'o,#

To#$3 e+,' )$'o,#5 2000 518

An#&c&)$#e% .!o4# o #&( )$'o,# 11%91)

!E5 co(# o e+,' ,(&n. #o#$3 e+,' )$'o,# 19%35)

U(&n. #e #4o(#$.e Go!%on mo%e3

N,m7e! o &..!o4# 'e$!( 3

No!m$3 .!o4# $#e! &..!o4# 'e$!( 5%00)

!E5 co(# o e+,' ,(&n. #4o(#$.e Go!%on mo%e3 #N!"


17/31

ODEL !E FOR PPG

#N!"

#N!"

#N!"

#N!"


18/31

PPG EARNINGS PER SHARE VERSUS EA

e$!

1990 0%95 276

1991 1%90 2761992 3%01 319

1993 2%78 22

1994 2%43 515

1995 3%80 768

1996 3%96 744

1997 3%97 714

1998 4%52 801

1999 3%27 568

2000 3%60 620

Com)o,n% .!o4# 14%25) 8%43) #N!"

/ur'e r/t-l/ss 91-00 in this

/r+//

E$!n&n.()e!

($!eP!o#(

$#e! #$"e(


19/31

RNINGS


20/31

CALCULATING THE DIVIDENDS AND EU

e$!

1992 0%94 200 -31993 1%04 221 -65

1994 1%12 238 -12

1995 1%18 239 -14

1996 1%26 237 -15

1997 1%33 239 -2

1998 1%42 252 -6

1999 1%52 264 1

2000 1%60 276 2

r/th 6%88) 4%13)

$%%% "999 "99&

Net in'/me 620 568 801

Cash Dividends 276 264 252

&iidendNet in'/me 45) 46) 31)

Common shares outstanding 168 174 175

D&&%en%()e! ($!e

To#$3 c$(%&&%en%(

M&n,( &nc!e$(e&n common

(#oc6 $n% (,!)3,(


21/31

&iidend ,r/th rate 6)

Net year:s diidendshare 1%70

T/tal diidends 286


22/31

T PAOUT FOR PPG

14 211 #N!"24 181

264 490

571 796

608 829

323 560

208 454

70 335

240 518

11%91) #N!"

"99' "99( "99# "99)

714 744 767%6 514%6

239 237 239 238

33) 32) 31) 46)

178 183 194 207

P3,( &nc!e$(e&n #!e$(,!'

(#oc6


23/31


24/31

"99* "99$

22%2 319%4

221 200

995) 62)

107 106 106


25/31


26/31

TATA STEEL5 FINANCIAL MODEL5 2001P+ot and loss ass.m/tons

Sales groth 3%89)

C!"S#Sales 61%39)

S"$%#Sales 18%38)

De&re'iation#"ross (i)ed assets 6%31);nterest rate 6%70)

!in/rity interest as ) /< T 4%32)

"roth rate o( total dividends 4%13)

*a) rate 36%28)

Balane sheet ass.m/tons

Assets

Cash and short-term investments '/nstant

Re'eia+lesales 18%28)

;nent/riesales 12%24).ther Current ssetsales 3%21)

r/perty lant "=uipment Netales 34%08)

;nestments and adan'es '/nstant

.ther ssetsales 7%93)

0a1ltes

''/unts aya+leales 8%50)

''rued "penseales 7%25)

.ther Current >ia+ilitiesales '/nstant

&e+tssets 32%00)

&e


27/31

A22ET2 $%%% $%%" $%%$

Cash and Short-*erm nvestments 111 111 111

e'eivales 1,563 1639 1702

nventories - *otal 1,121 1097 1140

!ther Current %ssets 298 287 299

*otal Current %ssets 3093 3134 3252

ro&ert, lant, and +ui&ment, "ross 7,089 7669 8291

4,148 4613 5116

ro&ert, lant, and +ui&ment, /et 2,941 3055 3174

nvestments and %dvan'es 320 320 320

ntangiles 1,700 1700 1700

!ther %ssets 1,071 1156 1248

TOTA0 A22ET2 9,125 9366 9694

0IABI0ITIE2 $%%% $%%" $%%$

%''ounts aale 764 762 791

%''rued +)&ense 606 650 675

!ther Current iailities 12 12 12

Det 2,971 2,997 3,102

De(erred *a)es 543 564 586

inorit nterest 128 128 128

!ther iailities 1,004 1,130 1,271

E3UIT4

Common Sto' 484 484 484

Ca&ital Sur&lus 102 102 102

etained +arnings 6,019 6,440 6,867

ess: *reasur Sto' 3,508 3,903 4,325

*otal sto'holders euit 3,097 3,124 3,128

TOTA0 0IABI0ITIE2 AND E3UIT4 9,125 9,366 9,694

FREE CA2H F0O5 6FCF7 $%%" $%%$

r/t a


28/31

8al.n PPG

?CC 7%47)

>/n,-term


29/31

200=

$%%* $%%) $%%#

9676 10052 10443

5940 6171 6411

1779 1848 1920

1957 2033 2112

544 587 634

212 219 227

8 8 8

1194 1219 1243

433 442 451

19 19 19

742 757 773

312 324 338

430 433 435


30/31

$%%* $%%) $%%#

111 111 111

1769 1837 1909

1184 1230 1278

310 322 335

3374 3501 3633

8958 9674 10441

5660 6248 6882

3298 3426 3559

320 320 320

1700 1700 1700

1347 1454 1569

10039 10401 10781

$%%* $%%) $%%#

822 854 887

701 728 757

12 12 12

3,212 3,328 3,450

609 633 657

128 128 128

1,431 1,610 1,812

484 484 484

102 102 102

7,297 7,730 8,165

4,760 5,209 5,673

3,124 3,107 3,078

10,039 10,401 10,781

$%%* $%%) $%%#

742 757 773

544 587 634

-122 -127 -132

57 59 62

-667 -716 -767

-99 -107 -115

135 140 145

589 594 598


31/31

$%%* $%%) $%%#

589 594 598

17954 #N!"

589 594 18553

CF +o:th ;

)< #< (< '2 2TOC? 8A0UATION C AND 0ONG-TERM GRO5TH RATE

project financing assignment

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