Publications

April 1991 (Revised July 1994)
Case

Southland Corp. (B)

Examines Southland's financial difficulties following the LBO in 1987 up to the first restructuring plan in July 1990. The teaching objectives are: to explore the complexities of a failed leverage buyout and the operating restrictions that result from financial... View Details

Keywords: Leveraged Buyouts; Restructuring; Equity; Insolvency and Bankruptcy; Financing and Loans; Crisis Management

April 1991 (Revised December 1997)
Case

Southland Corp. (A)

Examines the Thompson's $4.9 billion leveraged buyout of the Southland Corp. in 1987. As the original founders of Southland, the Thompsons were concerned about losing control over the company upon learning of the Belzberg family's acquiring interest. The teaching... View Details

Keywords: Leveraged Buyouts; Governance Controls; Corporate Governance; Bids and Bidding; Valuation; Forecasting and Prediction; Management Analysis, Tools, and Techniques; Strategy; Cash Flow

October 1990
Article

The Structure and Governance of Enterprise

By: Michael C. Jensen and Richard S. Ruback

Keywords: Governance; Business Ventures

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June 1989 (Revised January 1992)
Teaching Note

RJR Nabisco, Teaching Note

Teaching Note for (9-289-056). View Details

Keywords: Food and Beverage Industry; Agriculture and Agribusiness Industry

May 1989 (Revised August 2006)
Case

RJR Nabisco

Gives students the opportunity to explore issues facing the board of directors in a leveraged buyout. RJR Nabisco is valued under different operating strategies and the source of gains in leveraged buyouts is stressed. View Details

Keywords: Leveraged Buyouts; Profit; Operations; Problems and Challenges; Strategy; Valuation

March 1989 (Revised October 1994)
Case

Philip Morris Companies and Kraft, Inc.

Gives students the opportunity to explore the effect of substantial free cash flow on corporate acquisition and operating strategies. Students are also given the opportunity to extract information from the common stock prices of the participating firms. A variety of... View Details

Keywords: Cash Flow; Strategic Planning; Acquisition; Strategy; Restructuring; Valuation; Stocks

March 1989 (Revised January 1992)
Teaching Note

Philip Morris Companies and Kraft, Inc., Teaching Note

Teaching Note for (9-289-045). View Details

Keywords: Food and Beverage Industry; Agriculture and Agribusiness Industry

March 1989 (Revised February 1998)
Teaching Note

Marriott Corp.: The Cost of Capital, Teaching Note

Teaching Note for (9-298-101). View Details

Keywords: Cost of Capital; Accommodations Industry

March 1989 (Revised April 1998)
Case

Marriott Corporation: The Cost of Capital (Abridged)

Gives students the opportunity to explore how a company uses the Capital Asset Pricing Model (CAPM) to compute the cost of capital for each of its divisions. The use of Weighted Average Cost of Capital (WACC) formula and the mechanics of applying it are stressed. View Details

Keywords: Cost of Capital; Mathematical Methods

March 1989 (Revised April 1990)
Exercise

Interest Rate Exercises

Keywords: Interest Rates

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March 1989 (Revised April 1990)
Teaching Note

Interest Rate Exercises, Teaching Note

Keywords: Interest Rates

March 1983 (Revised March 2008)
Case

Benjamin Franklin and the Definition of American Values

By: Richard S. Tedlow

Discusses the value systems and their relationship to the conduct of business in 18th Century America. Also focuses on Benjamin Franklin, the preeminent colonial American, to examine how business was conducted in his era. Based on an earlier case by B.E. Supple. View Details

Keywords: Business Ventures; Values and Beliefs; Business History; Business and Government Relations; United States