Tired of IDSs? Meet the Replacement

Tunick, Britt Erica
November 2004
Investment Dealers' Digest;11/1/2004, Vol. 70 Issue 42, p7
Trade Publication
The article presents information on the use of IDS structure in business enterprises. Iowa Telecommunications Services Inc. is abandoning plans to use the complicated IDS structure in favor of traditional IPOs that include dividend features. A blend of Canadian income funds and master limited partnerships, IDSs are high-yielding, fixed income--like instruments that trade on exchanges like stocks, but also pay shoreholders monthly dividends in the range of 10% to 15% on an annualized basis. Basically, the structure offers a route into the IPO market for issuers that would otherwise find that path blocked. Such issuers are often companies that are unappealing IPO candidates but that generate consistent cash-flows and have no obvious use for the additional cash.


Related Articles

  • Pinigų srautų informacijos formavimas ir analizÄ—. Senkus, Kastytis // Management of Organizations: Systematic Research;2005, Issue 33, p157 

    In this article a formation of information on cash flows in Lithuanian enterprises of processing industry is discussed upon. A considerable attention is paid to classification of cash flows according to spheres of activities (the principal, financial, investment). The phases of the formation of...

  • THE CUPBOARD IS BARE. Richards, Curtis A.; Byrd, John T.; Collins, David // Journal of the International Academy for Case Studies;2010, Vol. 16 Issue 8, p105 

    The article discusses a case about an entrepreneur's investment in an established business. It profiles entrepreneur Charles "Chip" Riley and cites what went wrong with his acquisition of MHC Cabinet Company. The case shows that a successful business experience can distort business judgment in...

  • DOES EARNINGS QUALIFY MODERATE THE PREDICTIVE CONTENT OF NONOPERATING INCOME? Sugiri, Slamet // Gadjah Mada International Journal of Business;May2004, Vol. 6 Issue 2, p275 

    The objective of this study is to empirically examine a hypothesis that earnings quality enhances the ability of nonoperating income to predict future operating cash flow. The magnitude of income smoothing index, measured by Eckel's (1981) index formula, is used to capture a firm's quality level...

  • Investment Decisions with Sampling. Biermanm, Jr., Harold; Rao, Vithala R. // Financial Management (1972);Autumn78, Vol. 7 Issue 3, p19 

    The article presents information on the basis of a study that examined the rejection of investment with a negative net present value in the U.S. Multi-plant firms have an opportunity to innovate sequentially that is frequently not available to firms with single plants. An investment with a...

  • EARNINGS-QUALITY LEADERS.  // Dow Theory Forecasts;10/5/2009, Vol. 65 Issue 40, p5 

    The article presents the 13 companies which have affixed special charges on their net income in the U.S. since 2007. It notes the companies' consistent high cash flows as compared with their net income. It mentions an above 60 Quadrix Quality and Overall scores for all companies. Furthermore, a...

  • Life insurers explore balance sheet options.  // Asset Securitization Report;10/18/2004, Vol. 4 Issue 40, p21 

    The article reports that life insurance companies are entering into new terrain and looking into life embedded value securitizations in Great Britain, as well as in the U.S. Getting a grip on the accounting issues that surround this asset class is part of the story behind the rise in interest in...

  • The Financial Valuation of the Return to Capital. Brainard, William C.; Shoven, John B.; Weiss, Laurence // Brookings Papers on Economic Activity;1980, Issue 1, p453 

    This paper examines cross-sectional evidence on the valuation of firms at different times to estimate the time discounts and risk adjustments necessary to explain observed market values. The authors describe the method of calculating the present discounted value of future cash flows for the 187...

  • Six cash-flow boosters for your business. Grill, Jr., Norman G. // Fairfield County Business Journal;6/20/2005, Vol. 44 Issue 25, p17 

    The article presents information on several methods for good cash flow management. Cash flow is often called the lifeblood of a business. Even a wildly profitable company can't survive unless it systematically converts sales into cash. The best time to inform customers and prospects about one's...

  • Cash is king. Steyn, Greta // Finweek;4/3/2008, p48 

    The article provides information on the developments surrounding the cash level flow in South Africa. The country's cash levels have reached a new high according to the survey of fired managers for March 2008. Asset allocators' cash positions rose to a record high with a net 42% in March...


Read the Article


Sorry, but this item is not currently available from your library.

Try another library?
Sign out of this library

Other Topics