Subject category:
Finance, Accounting and Control
Published by:
Harvard Business Publishing
Version: 17 October 2002
Length: 16 pages
Data source: Generalised experience
Abstract
In response to Stanley Work's announcement that it is moving to Bermuda- -and the associated jump in market value--a major competitor sets out to determine how the market is valuing the consequences of moving to a tax haven and whether his company should invert to a tax haven. In particular, the competitor's CFO needs to attribute Stanley's stock price movements across several dimensions of potential tax savings (tax savings on foreign operations and on interest payments) to see whether maybe there isn't something else at play (earnings stripping.) In the process, the mechanics and incentives created by the international tax regime are illustrated. To obtain executable spreadsheets (courseware), please contact our customer service department at custserv@hbsp.harvard.edu.
Location:
Industry:
Size:
USD2,264 million revenues, 15,000 employees
Other setting(s):
2002
Subject category:
Finance, Accounting and Control
Published by:
Harvard Business Publishing
Version: 29 August 2005
Length: 21 pages
Data source: Generalised experience
Spanish language
Subject category:
Finance, Accounting and Control
Published by:
Harvard Business Publishing
Version: 17 October 2002
Length: 17 pages
Data source: Generalised experience
About
Abstract
In response to Stanley Work's announcement that it is moving to Bermuda- -and the associated jump in market value--a major competitor sets out to determine how the market is valuing the consequences of moving to a tax haven and whether his company should invert to a tax haven. In particular, the competitor's CFO needs to attribute Stanley's stock price movements across several dimensions of potential tax savings (tax savings on foreign operations and on interest payments) to see whether maybe there isn't something else at play (earnings stripping.) In the process, the mechanics and incentives created by the international tax regime are illustrated. To obtain executable spreadsheets (courseware), please contact our customer service department at custserv@hbsp.harvard.edu.
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Location:
Industry:
Size:
USD2,264 million revenues, 15,000 employees
Other setting(s):
2002
Related
Subject category:
Finance, Accounting and Control
Published by:
Harvard Business Publishing
Version: 29 August 2005
Length: 21 pages
Data source: Generalised experience
Subject category:
Finance, Accounting and Control
Published by:
Harvard Business Publishing
Version: 17 October 2002
Length: 17 pages
Data source: Generalised experience