Each year, one should spend (at most) the amount that a freshly purchased annuity — with a purchase price equal to the then - current portfolio value and
priced at current interest rates and number of years of required cash flows remaining — would pay...
Not exact matches
Important factors that could cause actual results to differ materially from those reflected in such forward - looking statements and that should be considered in evaluating our outlook include, but are not limited to, the following: 1) our ability to continue to grow our business and execute our growth strategy, including the timing, execution, and profitability of new and maturing programs; 2) our ability to perform our obligations under our new and maturing commercial, business aircraft, and military development programs, and the related recurring production; 3) our ability to accurately estimate and manage performance, cost, and revenue under our contracts, including our ability to achieve certain cost reductions with respect to the B787 program; 4) margin pressures and the potential for additional forward losses on new and maturing programs; 5) our ability to accommodate, and the cost of accommodating, announced increases in the build
rates of certain aircraft; 6) the effect on aircraft demand and build
rates of changing customer preferences for business aircraft, including the effect of global economic conditions on the business aircraft market and expanding conflicts or political unrest in the Middle East or Asia; 7) customer cancellations or deferrals as a result of global economic uncertainty or otherwise; 8) the effect of economic conditions in the industries and markets in which we operate in the U.S. and globally and any changes therein, including fluctuations in foreign currency exchange
rates; 9) the success and timely execution of key milestones such as the receipt of necessary regulatory approvals, including our ability to obtain in a timely fashion any required regulatory or other third party approvals for the consummation of our announced acquisition of Asco, and customer adherence to their announced schedules; 10) our ability to successfully negotiate, or re-negotiate, future
pricing under our supply agreements with Boeing and our other customers; 11) our ability to enter into profitable supply arrangements with additional customers; 12) the ability of all parties to satisfy their performance requirements under existing supply contracts with our two major customers, Boeing and Airbus, and other customers, and the risk of nonpayment by such customers; 13) any adverse impact on Boeing's and Airbus» production of aircraft resulting from cancellations, deferrals, or reduced orders by their customers or from labor disputes, domestic or international hostilities, or acts of terrorism; 14) any adverse impact on the demand for air travel or our operations from the outbreak of diseases or epidemic or pandemic outbreaks; 15) our ability to avoid or recover from cyber-based or other security attacks, information technology failures, or other disruptions; 16) returns on pension plan assets and the impact of future discount
rate changes on pension obligations; 17) our ability to borrow additional funds or refinance debt, including our ability to obtain the debt to finance the purchase
price for our announced acquisition of Asco on favorable terms or
at all; 18) competition from commercial aerospace original equipment manufacturers and other aerostructures suppliers; 19) the effect of governmental laws, such as U.S. export control laws and U.S. and foreign anti-bribery laws such as the Foreign Corrupt Practices Act and the United Kingdom Bribery Act, and environmental laws and agency regulations, both in the U.S. and abroad; 20) the effect of changes in tax law, such as the effect of The Tax Cuts and Jobs Act (the «TCJA») that was enacted on December 22, 2017, and changes to the interpretations of or guidance related thereto, and the Company's ability to accurately calculate and estimate the effect of such changes; 21) any reduction in our credit
ratings; 22) our dependence on our suppliers, as well as the cost and availability of raw materials and purchased components; 23) our ability to recruit and retain a critical mass of highly - skilled employees and our relationships with the unions representing many of our employees; 24) spending by the U.S. and other governments on defense; 25) the possibility that our cash flows and our credit facility may not be adequate for our additional capital needs or for payment of
interest on, and principal of, our indebtedness; 26) our exposure under our revolving credit facility to higher
interest payments should
interest rates increase substantially; 27) the effectiveness of any
interest rate hedging programs; 28) the effectiveness of our internal control over financial reporting; 29) the outcome or impact of ongoing or future litigation, claims, and regulatory actions; 30) exposure to potential product liability and warranty claims; 31) our ability to effectively assess, manage and integrate acquisitions that we pursue, including our ability to successfully integrate the Asco business and generate synergies and other cost savings; 32) our ability to consummate our announced acquisition of Asco in a timely matter while avoiding any unexpected costs, charges, expenses, adverse changes to business relationships and other business disruptions for ourselves and Asco as a result of the acquisition; 33) our ability to continue selling certain receivables through our supplier financing program; 34) the risks of doing business internationally, including fluctuations in foreign
current exchange
rates, impositions of tariffs or embargoes, compliance with foreign laws, and domestic and foreign government policies; and 35) our ability to complete the proposed accelerated stock repurchase plan, among other things.
The reality is that one doesn't need
interest rates reasonably estimate 10 - year prospective market returns, just as one doesn't need
interest rates to calculate that a $ 100 expected payment in 10 years,
at a
current price of $ 65, will result in an expected total return of 4.4 % over the coming decade.
Put simply, even taking account of
current interest rate levels, and even assuming that stocks should be
priced to deliver commensurately lower long - term returns, we currently estimate that the S&P 500 is about 2.8 times the level
at which equities would provide an appropriate risk premium relative to bonds.
Given the absence of a public trading market of our common stock, and in accordance with the American Institute of Certified Public Accountants Accounting and Valuation Guide, Valuation of Privately - Held Company Equity Securities Issued as Compensation, our board of directors exercised reasonable judgment and considered numerous and subjective factors to determine the best estimate of fair value of our common stock, including independent third - party valuations of our common stock; the
prices at which we sold shares of our convertible preferred stock to outside investors in arms - length transactions; the rights, preferences, and privileges of our convertible preferred stock relative to those of our common stock; our operating results, financial position, and capital resources;
current business conditions and projections; the lack of marketability of our common stock; the hiring of key personnel and the experience of our management; the introduction of new products; our stage of development and material risks related to our business; the fact that the option grants involve illiquid securities in a private company; the likelihood of achieving a liquidity event, such as an initial public offering or a sale of our company given the prevailing market conditions and the nature and history of our business; industry trends and competitive environment; trends in consumer spending, including consumer confidence; and overall economic indicators, including gross domestic product, employment, inflation and
interest rates, and the general economic outlook.
Many (including me) believe the reason that both stock
prices and real estate
prices are currently trading
at historically high valuation ratios is tied to the Feds
current «experiment» in holding
interest rates at almost zero for half a decade and running....
Current market
pricing suggests that an
interest rate increase
at the March 14 - 15 policy meeting is all but a done deal, a move that would bring the Fed's benchmark
interest rate target range to 1.5 % -1.75 %.
As usual, I don't place too much emphasis on this sort of forecast, but to the extent that I make any comments
at all about the outlook for 2006, the bottom line is this: 1) we can't rule out modest potential for stock appreciation, which would require the maintenance or expansion of already high
price / peak earnings multiples; 2) we also should recognize an uncomfortably large potential for market losses, particularly given that the
current bull market has now outlived the median and average bull, yet
at higher valuations than most bulls have achieved, a flat yield curve with rising
interest rate pressures, an extended period of internal divergence as measured by breadth and other market action, and complacency
at best and excessive bullishness
at worst, as measured by various sentiment indicators; 3) there is a moderate but still not compelling risk of an oncoming recession, which would become more of a factor if we observe a substantial widening of credit spreads and weakness in the ISM Purchasing Managers Index in the months ahead, and; 4) there remains substantial potential for U.S. dollar weakness coupled with «unexpectedly» persistent inflation pressures, particularly if we do observe economic weakness.
Conversely, as
interest rates fall,
prices of outstanding bonds rise until their yield matches that of new bonds issued
at the
current rate.
As far as the
price tag is concerned, those
interested in buying the 2015 Subaru Levorg will have to settle for a starting sticker of # 27,495, or $ 42,840
at current exchange
rates.
With stock
prices high and
interest rates low, many people look
at their portfolios and smile: high
current market values.
A bond is considered a discount bond when it has a lower
interest rate than the
current market
rate and, consequently, is sold
at a lower
price.
It is also wise to get the
current pricing as
interest rates on no cost refinances are subject to change
at any time.
They trade in the bond market
at prices reflecting
current interest rates.
Mike Piper from Oblivious Investor presents Benjamin Graham on Asset Allocation, and says, «Should your asset allocation depend
at all upon
current interest rates or stock market
price levels?»
First - time homebuyers affording a 20 percent down payment on a median -
priced home
at the
current average 30 - year
rate would be responsible for an additional $ 720 in
interest each year, according to realtor.com's report.
At current prices and
interest rates, he says, «the numbers are more likely to make sense» — though there are still pitfalls.
With home
prices and
interest rates at current low levels, now is definitely the right time to buy your new piece of southern California paradise.
If the new disclosures only affect ten percent of borrowers, and only lower their
interest rates by.125 % (1/8 of a percentage point, the smallest typical unit of
price difference in the mortgage market), this would lead to an annual saving of $ 1,250,000,000 for mortgage borrowers once all mortgages have been originated with the integrated disclosures and assuming total outstanding mortgage balances were to remain
at their
current level of roughly ten trillion dollars.