Archive for August, 2008
August 29th, 2008
A bank makes money when it loans money t…. (taking out a mortgages in las vegas)
Posted in Bad Credit Mortgages by Admin
A bank makes money when it loans money to you.
A good mortgage lender should also provide appropriate answers to all your queries.
This is because you have better future if you are able to finish college; this is true in American and even in the other parts of the world.
- Getting a mortgage loan with a bad cre?. (lowest line equity credit loan home in green valley)
- Getting a mortgage loan with a bad credit rating is what we term as Bad credit mortgage.
Bad Credit Mortgages
Content Management: Wise Investment For Business Prosperity
The time when a website was just a simple set of HTML pages has gone by. Its true, just five or seven …
Bad credit can increase the difficulty t?. (tax deductible home equity line in green valley)
Bad credit can increase the difficulty that a homeowner encounters when seeking a home equity line of credit.
With an adjustable rate mortgage, ARM, your payments will vary depending on the interest rate.
a plan that provides the flexibility of moving from an adjustable rate mortgage to a fixed rate mortgage after a certain period of time.
Bad …
You?ll want to consider them first when ?. (las vegas requirements for line equity credit loan home)
You’ll want to consider them first when you are in the market for first time loans for a new mortgage.
Compare several sources.
While applying for online quotes, do not opt for a generic estimate which is based on you monthly income and bills, fill out detailed information whereupon you can get a real accurate quote.
If repaying …
Then it is reviewed at regular intervals?. (risk of a home loan in nevada)
Then it is reviewed at regular intervals after that, ranging from one to three years, usually.
In a society that uses credit for just about everything, having bad credit can make you feel like an outsider and reject.
Bad Credit Mortgages
Buying A Home With Bad Credit - Why A Recent Bankruptcy Will Not Stop You From Getting …
After the broker completes these steps t?. (lowest mortgages in las vegas)
After the broker completes these steps the lender conducts the underwriting process in which your risk as a borrower is determined.
So, interest only mortgage helps you in reducing your monthly mortgage payments for some initial period.
Mortgage rates that vary or adjust carry a lower interest tag; normally 2%-3% lower than the fixed rates.
You will want …
Five Reasons the Economy Will Crash and Will Stay Crashed
If the U.S. economy had to be summed up in one word, the word would be unsustainable. From entitlement programs to trade deficits, the U.S. economy cannot continue indefinitely on its current course. Sadly, changing course is difficult and political impossibilities are quickly giving way to mathematical impossibilities. The economy will soon come face to face with problems that cannot be solved and it will crash. The crash will be major and recovering from it will take many decades.
The Weak Dollar
Large trade and budget deficits have been weakening the dollar in the past few years. The dollar has fallen 30% against the Euro and 20% against the yen. With the war on terrorism and cheap overseas labor, it is unlikely that the dollar will end its slide any time soon.
The only reason that the dollar hasnt fallen further yet is that countries that are dependent on exporting to the United States have been propping it up artificially. They have been buying up dollar based assets as fast as they can in order to maintain a strong dollar and high employment levels in their home countries.
This dollar propping will soon end as it becomes clear that the U.S. stock market and real estate market are both very over valued. As well, it is clear that government bonds are not paying enough interest to even cover the weakening of the dollar. In short, the United States has reached its credit limit.
As foreigners face the dilemma of high unemployment or very risky and unprofitable investing in the United States, the system will start to fall apart. If foreigners try to continue the game of trading goods and services for debt, the problem will only grow. At some point foreign currencies will strengthen and the dollar will weaken drastically.
When this devaluation happens, we are all in for a troubling wakeup call. The U.S. government will be unable to borrow at a serviceable interest rate. Consumers will be unable to pay back debt, let alone buy new things.
The lifestyles of U.S. citizens will drop dramatically. The average family of four will have to lose about $6500 in purchasing power just to eliminate the trade deficit. That does not even include the money that would be required to pay back the decades of chronic trade deficits. As well, it does not include the $6000 in extra taxes that would be needed to close the budget deficit.
Overseas, things will also be bad. Unemployment will rise drastically in Asia as the U.S. economy can no longer absorb hundreds of billions of dollars in exports. China and other developing nations will likely suffer from civil unrest because of the unemployment problems.
The Popping of the Housing Bubble
Traditionally, the cost of a home should be between two and three times the gross annual income of its household. In many U.S. markets, the ratio of housing to income is more like four, five, or even eight times.
These ratios are only possible because of very low interest rates and reasonably stable employment levels. The weak dollar or even a brisk breeze could easily pop the housing bubble. When it pops, things are going to get very messy.
The bubble burst will begin with an increase in mortgage rates or the unemployment rate. It will be followed by an increase in foreclosures and a drop in home prices. Soon banks will start losing money as foreclosed homes dont make enough money to cover outstanding balances. Eventually Freddie Mac and Fannie Mae will be in serious trouble.
Investors who have purchased mortgages will also be in serious trouble. The group of losers will range from retirement plans to overseas businesses.
Coupled with the weak dollar, the popping of the housing bubble will have major effects on the economy. The stock market will die and peoples life savings will disappear overnight.
Terrorism
A substantial drop in the dollar and the bursting of the housing bubble will happen regardless of a terrorist attack. An attack would certainly expedite the process however. In addition, an attack would be so costly, directly and indirectly that investment in the U.S. could disappear.
The psychological and economic costs of a major terrorist attack would likely be worse now than during September 11th. This would be the case because we have our guard up and defending against attacks would almost look futile.
As many experts have said, an attack is a matter of when not if. Hopefully terrorists will fail 100% of the time, but we all know that that is impossible.
Oil
Oil prices will certainly be a problem when the dollar weakens, but in this section I would like to focus on the long-term outlook with respect to oil. I claimed that the coming crash would last decades, and oil is a major reason why.
Imagine that your grandfather left you some land that ends up having oil on it. You decide that you want to develop the land and keep track of your oil production. If you were to graph the oil production it would start at 0 barrels per year. This would be the case because you would have no wells dug.
As you start to add wells the amount of oil produced would increase. There would be a point at which you have dug all of your wells and production would start to level off. Eventually the wells would start to run dry and the production would begin to decrease each year. Finally, there would be so little oil that it would not make economic sense to extract it and you would have no production.
The graph of oil production would end up looking like a bell curve. You would start with 0 barrels a year and end with 0 barrels a year. At some point in the middle you would hit peak oil. That would be the year where you had the most production.
If you were to think of the 48 contiguous US states as a big oilfield, it hit peak oil in the 1970s. After that point, oil production has fallen as the number of depleting wells began to outnumber the number of new wells.
If you were to think of the entire world as an oilfield, it has not hit peak oil yet. It is difficult to estimate when it will happen, but most estimates are between 2006 and 2036. Regardless of when peak oil actually hits, it is important to realize that oil production will level off in the coming decades and will possibly begin to decrease.
Despite a leveling of supply, demand will grow dramatically in the coming decades. Even with economic problems and technological innovation, demand will be too much for oil producers to meet. The industrialization of China and Indian will be a major cause of this increased demand.
The imbalance of supply and demand will make oil exporters rich and oil importers like the United States, Europe, and Japan poor. It will kill the dollar and will add to the rate of inflation, which will approach absurd levels. It will be like the 1970s except worse and it will last indefinitely.
The Generational Problem
The United States had a baby boom after World War 2 and then had a baby bust starting in the 1960s. The result of these demographic changes is that there will soon be a disproportionate number of old people.
The disproportionately old population creates two major problems. One is that the cost of caring for the elderly will increase due to their increased numbers. The other problem is that the elderly will become increasingly powerful as they increase in numbers. The results will be more total retirees and more benefits for each retiree.
Over the coming decades this generational problem will become enormous. The cost of Medicare, Social Security and government pensions well begin to dwarf incoming taxes. The ensuing deficits will leave the government with impossible choices. One would be to increase taxes over 100%. Another choice would be the politically impossible cutting of benefits. A third and most likely choice would be printing money to cover the huge deficits.
Anyway you slice the problem the end result will be decades of high inflation, high taxes, and high political turmoil.
Summary
Between the twin deficits and the overvaluation of U.S. assets, a dollar correction is a certainty. Another certainty is the bursting of the housing bubble. On top of both of these economic certainties, terrorism looms as very likely destructor of the U.S. economy. The three problems together will surely destroy the U.S. economy in the coming years.
In the long run, the problems of peak oil and demographics will keep the U.S. economy in shambles for decades after it crashes.
When will it happen?
I believe that the crash could happen any day. It could be postponed for a few years if U.S. tax payers and homeowners are willing to go even more in debt. This is conceivable because Japan and Europe may be willing to loan the U.S. money in order to boost their exporting. The continued pattern of debt for goods and services cannot last more than a couple years before the U.S. has unserviceable amounts of debt and has to start printing money.
In addition to the continuation of debt for goods and services, the U.S. will need interest rates to remain low. Low interest rates are very unlikely to happen as the dollar weakens and foreigners start losing more and more money on U.S. investments.
When foreigners lose their nerve to invest in the U.S. or long-term interest rates rise by more than a couple of points, the game is up. The housing bubble will be unsustainable, people will go bankrupt, banks will go bankrupt, and the economy will crash.
Will it be inflationary or deflationary?
I have given this some thought and have concluded that the crash will be inflationary at first. Housing prices will fall a lot, but most goods, services, and commodities will get more expensive. When the U.S. begins its inflationary crash, the rest of the world will begin to enter a deflationary one. Eventually the U.S. dollar will bottom out and the U.S. will join the deflationary depression. Any recovery will be constricted by the generational problem and the peak oil problem.
The rest of the world will suffer from deflation because they will no longer be able to run trade surpluses with the United States. This will leave the world with too many goods and too few consumers. The result will be too much business competition, high unemployment, and loan defaulting.
The U.S. will suffer from inflation because it is in debt. This is true of the government, businesses, and consumers. It is not in the interest of decision makers to allow for deflation. Inflation will eliminate debt without the hassle of having to pay it back. Deflation would make debt even less manageable and would economically destroy the country.
The downside to inflation is that the rest of the world will demand higher interest rates. This would in turn leave the government with the decision to either print money, or cut spending, raise taxes, and raise the Fed rate. I think they are more likely to print money and I hope they do; what good is a good credit rating if you own nothing. I would rather us own our land, businesses, and consumer goods and leave foreigners with worthless paper than the other way around.
How should one prepare financially and otherwise?
Be in good health. This is very important at any time, but especially in bad economic times. With the likelihood of civil disorder and bankrupt institutions, medical services may not meet demand. This will be especially true when the baby boomers begin to retire.
Have a close social network. With the possibility of unemployment and homelessness, having people around is a good idea. There will likely be cuts in government services as it tries to save the dollar from becoming worthless. You cannot, therefore, count on the government during tough times.
Own a fuel efficient and reliable car. Oil and automobile prices will likely trend upwards as the dollar weakens. As well, make sure you dont buy an expensive SUV. The payments and gas costs may destroy you financially when the economy goes south.
Dont have adjustable rate debt. If you have credit card debt, pay it off soon. If you have and ARM for your home, you may want to think about selling it before the housing bubble pops. Think of all of your possessions that could be taken away if you could no longer pay your debts. What would you have left?
Think about renting. Even if you have a fixed rate mortgage, it may be a good time to get out of the housing market. This is especially true if you are in a hot housing market.
Lets assume that you have taken all of my advice and are now renting a home. You are driving a fuel efficient Kia that is paid off. You have a close family and network of friends. You eat your vegetables and jog regularly. As a result of selling your home, you have $50,000 in the bank. As well, you have $20,000 in your retirement plan. What else should you do?
You should own about $10,000 in physical gold. This would be an insurance policy against very bad times, or hyperinflation. You should plan on keeping the gold for years to come and only sell if you need the money to buy food or have some other pressing need. Depending on how end-of-the-worldish you are, it may be a good idea to own a couple hundred pounds of rice and a firearm with plenty of ammo.
Consider investing your retirement money in foreign stocks or possibly liquidating it. If you are getting a significant employer match for contributing to your retirement account, then you may want to continue. Dont add money that is not matched however.
Keep a descent amount in a savings account. The cash may come in handy during tough times. If inflation kicks in, you will have the money available to buy high interest investments.
If you have all your debts paid off, a reliable car, some gold, and some money in the bank, then you can think about investing. I would recommend being conservative and investing in oil companies or gold. The market will likely get very volatile for many sectors of the economy.
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About The Author Douglas Phelan is a computer programmer from Virginia. (C)2005 |
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August 28th, 2008
- Getting a mortgage loan with a bad cre…. (lowest line equity credit loan home in green valley)
Posted in Bad Credit Mortgages by Admin
- Getting a mortgage loan with a bad credit rating is what we term as Bad credit mortgage.
Content Management: Wise Investment For Business Prosperity
The time when a website was just a simple set of HTML pages has gone by. Its true, just five or seven years ago simple websites developed with HTML and JavaScript were usual. Nobody thought there could be another option. However, year by year, Internet becomes a place where companies can interact with their clients, can develop online showrooms and online shops, can announce the latest news, and even make market researches. A new era of dynamic web development has come.
Preconditions
Dynamic web development, in other words, server-side programming, is a newest stage in development of modern websites, platforms that integrate such roles as representative, entertaining, interactive, communicative etc. When you talk about a dynamic website, you always have in mind that it is developed with J2EE, PHP, .NET, or other programming language. The cornerstone here is that the website is programmed.
However, any usual WWW-user doesnt bother himself with technologies. He really appreciate if he can perform complicated activity or develop a complex solution with the use of the mouse only. Visualization that Microsoft has introduced has become an issue that average PC user would never reject.
So we have come to a contradiction. An average Internet user that would like to have a website is no longer satisfied with facilities HTML and JavaScript provide. Meanwhile, there are not so many people that would learn at least PHP in order to develop a website. Moreover, they even wont be satisfied if someone else will make programming but the site management would require programming knowledge too. So here we come to visualization.
Visualization => CMS
As an answer for the requirement for visualization of the whole process of web development and website maintenance, web content management systems (CMS) were developed. The cornerstone here is that with the use of CMS one shouldnt be a programmer as well to develop a dynamic website. There is a graphical shell where an average user with only a mouse and simple logic can develop a website of any complexity and enhance it with such interactive tools as forums, polls, feedback forms, automatic menus, protected areas etc. Although, some systems require to know at list basis of HTML and PHP, there is a big set of CMSs that provide a user with a perfect visualization of the whole process from design development up to website maintenance.
It becomes possible because of the structure of any managed with CMS website. It consists of such elements as:
1. Design templates (its an HTML version of websites design along with proper code for interactive elements).
2. Adjustable modules (those are independent programs (polls, forums, newslines etc.) integrated into the CMS; they have their own graphical interface for adjustment).
3. Content (its the texts and graphics individual for each particular page).
Through variation of those three elements with the CMSs graphical shell any average user can develop a dynamic website in several simple steps.
There is a good article about it at the Xitex WebContent M1 website: http://webcontent-m1.com/m1/en/product/develop_dynamic_website
Who can benefit
Although there are several thousands of different content management systems, the market is still growing. And it will be growing as long as people develop new websites. The solutions that are currently present vary from freebies to systems with the cost of up to several thousands of U.S. Dollars. They are either simple, or too complicated. They are either for SMEs or for huge corporations. They can be used for the website management only, or they can be enhanced with facilities to serve as workflow and document repository systems.
Whatever CMS it will be, it will be beneficial for both parties:
1. Customer that needs a dynamic website.
2. Web Development Company that develops this
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August 27th, 2008
After the broker completes these steps t…. (lowest mortgages in las vegas)
Posted in Bad Credit Mortgages by Admin
After the broker completes these steps the lender conducts the underwriting process in which your risk as a borrower is determined.
So, interest only mortgage helps you in reducing your monthly mortgage payments for some initial period.
Mortgage rates that vary or adjust carry a lower interest tag; normally 2%-3% lower than the fixed rates.
You will want to plan on keeping this loan, for about two to five years.
Mortgage Secrets Exposed
The new book that reveals the truth behind bad credit mortgages and the banking industry.
Popularity: 25% [?]
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August 26th, 2008
So those are the two most common reasons…. (las vegas requirements for home equity line)
Posted in Bad Credit Mortgages by Admin
So those are the two most common reasons for going for 2nd mortgage.
Bad credit mortgage is possible too.
Resolved Question: Bad credit mortgage loan?
My husband and I are trying to get a home loan (we only need 20,000) for a home we are looking to purchase in TX. This would be our primary home. My husband’s score is 573 and we need to get this done as soon as possible. We have a small dp to put down (1,000 or so), any advice?
Commonweal - Bad credit: cashing in on the new bankruptcy law
May 20, 2005 — Remember "welfare queens"? That absurd image of black, inner-city, unwed mothers–purposely popping out illegitimate babies so that they could …
Shaw Communications Inc.: Shaw Communications Inc. Announces Solid Start to 2007 With First Quarter Results
CALGARY, ALBERTA —
Shaw Communications Inc. (TSX: SJR.B) (NYSE: SJR) announced today results for its first quarter ended November 30, 2006. Consolidated service revenue of $671.0 million for the three month period, increased 13.8% over the comparable quarter and total service operating income before amortization(1) of $299.8 million improved by 17.4%. Funds flow from operations(2) increased to $243.9 million for the quarter compared to $197.2 million.
Commenting on the results, Jim Shaw, Chief Executive Officer, noted: “We are off to a solid start in fiscal 2007. Both divisions reported strong revenue growth and improved service operating income before amortization over last year. We continued the roll-out of Digital Phone with the service now available to approximately 2.3 million homes, representing approximately 70% of homes passed. We provide a facilities-based, competitive alternative to the traditional phone companies and offer the services and value our customers are looking for.”
Customer gains were posted this quarter across all products. Digital Phone lines increased 38,197 to 250,904 as at November 30, 2006. Internet and Digital subscribers increased by 35,877 to 1,348,639 and 25,331 to 696,887, respectively. Basic subscribers were up 12,664 to 2,213,457 and DTH customers increased 2,426 to 871,634.
Free cash flow(2) for the quarter was $76.1 million compared to $32.1 million for the same period last year. The growth in free cash flow was primarily related to the increase in service operating income before amortization.
“Shaw’s continued customer growth and improved financial performance results from our focus on the customer, the commitment of our team, the capabilities of our network, and the strength of our product offering. The performance to date sets us on a clear path to meet Shaw’s fiscal 2007 free cash flow guidance of $300 - $320 million as announced in October.” said Jim Shaw.
Net income of $81.1 million or $0.38 per share for the first quarter ended November 30, 2006 compared to net income of $75.7 million or $0.35 per share for the same quarter last year. The current and comparable three month period included non-operating items which are more fully detailed in Management’s Discussions and Analysis (MD&A). These included a tax recovery related to reductions in enacted income tax rates in the comparable three month period. Excluding the non-operating items, net income for the three month period ended November 30, 2006 would have been $81.0 million this quarter compared to net income of $38.8 million in the comparable period(3).
Cable service revenue for the quarter of $499.2 million was up 15.8% over the same period last year primarily as a result of customer growth and rate increases. Service operating income before amortization for the three month period increased 14.6% over the same quarter to $237.8 million driven by the growth in revenue.
Satellite division quarterly service revenue of $171.8 million improved 8.4% over the same period last year primarily due to rate increases and customer growth. Service operating income before amortization for the quarter increased by 29.7% to $62.0 million. The improvement was largely due to growth in DTH revenues.
In closing, Mr. Shaw summarized: “Throughout the remainder of this year we will continue to focus on our key priorities of customer service, the further expansion of the Digital Phone foot print, strengthening our video offering with new programming and HDTV services, and bundling strategies. We also plan to launch a business voice service. Our customer focus continues to differentiate us, strengthen our financial position, and build value for all shareholders.”
Shaw Communications Inc. is a diversified communications company whose core business is providing broadband cable television, High-Speed Internet, Digital Phone, telecommunications services (through Shaw Business Solutions) and satellite direct-to-home services (through Star Choice) to 3.1 million customers. Shaw is traded on the Toronto and New York stock exchanges and is included in the S&P/TSX 60 Index (Symbol: TSX - SJR.B, NYSE - SJR).
This news release contains forward-looking statements, identified by words such as “anticipate”, “believe”, “expect”, “plan”, “intend” and “potential”. These statements are based on current conditions and assumptions and are not a guarantee of future events. Actual events could differ materially as a result of changes to Shaw’s plans and the impact of events, risks and uncertainties. For a discussion of these factors, refer to Shaw’s current annual information form, annual and quarterly reports to shareholders and other documents filed with regulatory authorities.
1. See definitions and discussion under Key Performance Drivers in MD&A.
2. Funds flow from operations is before changes in non-cash working capital as presented in the unaudited interim Consolidated Statement of Cash Flows.
3. See reconciliation of Net Income in Consolidated Overview in MD&A
MANAGEMENT’S DISCUSSION AND ANALYSIS
NOVEMBER 30, 2006
January 2, 2007
Certain statements in this report may constitute forward-looking statements. Such forward-looking statements involve risks, uncertainties and other factors which may cause actual results, performance or achievements of the Company to be materially different from any future results, performance or achievements expressed or implied by such forward-looking statements. Included herein is a “Caution Concerning Forward-Looking Statements” section which should be read in conjunction with this report.
The following should also be read in conjunction with Management’s Discussion and Analysis included in the Company’s August 31, 2006 Annual Report and the Consolidated Financial Statements and the Notes thereto and the unaudited interim Consolidated Financial Statements of the current quarter.
CONSOLIDATED RESULTS OF OPERATIONS
FIRST QUARTER ENDING NOVEMBER 30, 2006
SELECTED FINANCIAL HIGHLIGHTS
Three months ended November 30,
--------------------------------
Change
2006 2005 %
---------------------------------------------------------------------------
($000's Cdn except per share amounts)
Operations:
Service revenue 671,006 589,545 13.8
Service operating income before
amortization (1) 299,787 255,322 17.4
Funds flow from operations (2) 243,936 197,208 23.7
Net income 81,138 75,681 7.2
Per share data:
Earnings per share - basic and diluted 0.38 0.35
Weighted average participating shares
outstanding during period (000's) 215,034 219,035
---------------------------------------------------------------------------
(1) See definition and discussion under Key Performance Drivers in
Management's Discussion and Analysis.
(2) Funds flow from operations is before changes in non-cash working
capital as presented in the unaudited interim Consolidated Statement of
Cash Flows.
SUBSCRIBER HIGHLIGHTS
Growth
-------------------------------------
Three months ended
Total November 30,
-------------------------------------
November 30, 2006 2006 2005
---------------------------------------------------------------------------
Subscriber statistics:
Basic cable customers 2,213,457 12,664 29,429
Digital customers 696,887 25,331 28,296
Internet customers (including pending
installs) 1,348,639 35,877 54,724
DTH customers 871,634 2,426 10,199
Digital phone lines (including
pending installs) 250,904 38,197 34,088
---------------------------------------------------------------------------
ADDITIONAL HIGHLIGHTS
- The expansion of Shaw’s Digital Phone footprint continued with roll-outs during the quarter in New Westminster, British Columbia; Lethbridge, Medicine Hat and Red Deer, Alberta; and, Saskatoon, Saskatchewan. Most recently, the service was launched in Kelowna and Kamloops in British Columbia. As at November 30, 2006, the number of Digital Phone lines, including pending installations, was 250,904.
- Customer growth continued across all business lines in the first quarter with increases of 12,664 for Basic cable, 25,331 for Digital, 35,877 for Internet, 38,197 for Digital Phone and 2,426 for DTH.
- Consolidated service revenue of $671.0 million for the three month period, increased 13.8% over the prior year and total service operating income before amortization2 of $299.8 million improved by 17.4% over the same period. Consolidated free cash flow more than doubled over the same quarter last year to $76.1 million.
- The Company announced a 67% increase in the equivalent annual dividend rate on Shaw’s Class A Participating Shares and Class B Non-Voting Participating Shares to an equivalent annual dividend rate of $0.995 per Class A Participating Share and $1.00 per Class B Non-Voting Participating Share, payable in monthly installments commencing December 29, 2006.
- The Company received approval from the Toronto Stock Exchange (”TSX”) to renew its normal course issuer bid to purchase up to an additional 15,300,000 of its Class B Non-Voting Shares for cancellation. Shaw’s normal course issuer bid will now expire on November 16, 2007.
Consolidated Overview
Consolidated service revenue of $671.0 million for the three month period improved by 13.8% over the same period last year primarily due to customer growth and rate increases. Consolidated service operating income before amortization for the quarter increased by 17.4% over the comparable period to $299.8 million primarily due to overall revenue growth. These improvements were partially offset by increased costs in the cable division resulting from expenditures incurred to support continued growth, the delivery of quality customer service, enhancements to products, and the launch of Digital Phone in new markets.
Net income was $81.1 million for the three months ended November 30, 2006, compared to $75.7 million for the same period last year. A number of non-operating items affected net income in each of the periods including a future tax recovery recorded during the first quarter of fiscal 2006 related to a reduction in corporate income tax rates which contributed $31.4 million to net income. Outlined below are further details on this and other operating and non-operating components of net income for each quarter. The fiscal 2006 tax recovery, related to reductions in corporate income tax rates, has been reflected as non-operating.
Three months Three months
ended ended
---------------------------------------------------------------------------
Operating Operating
November net of Non- November net of Non-
($000's Cdn) 30, 2006 interest operating 30, 2005 interest operating
---------------------------------------------------------------------------
Operating
income 183,770 125,153
Interest
on long-term
debt (61,841) (63,442)
---------------------------------------------------------------------------
Operating
income after
interest 121,929 121,929 - 61,711 61,711 -
Gain on
sale of
investments 415 - 415 1,690 - 1,690
Foreign exchange
gain on
unhedged
long-term debt - - - 3,481 - 3,481
Fair value loss
on a foreign
currency
forward contract - - - (360) - (360)
Other gains
(losses) (483) - (483) 2,131 - 2,131
---------------------------------------------------------------------------
Income (loss)
before income
taxes 121,861 121,929 (68) 68,653 61,711 6,942
Income tax
(recovery)
expense 40,826 40,911 (85) (6,960) 22,937 (29,897)
---------------------------------------------------------------------------
Income before
the following 81,035 81,018 17 75,613 38,774 36,839
Equity income
on investees 103 - 103 68 - 68
---------------------------------------------------------------------------
Net income 81,138 81,018 120 75,681 38,774 36,907
---------------------------------------------------------------------------
The changes in net income are outlined in the table below.
Increase of November 30, 2006
net income compared to:
-----------------------------------------
Three months ended
-----------------------------------------
August 31, 2006 November 30, 2005
-----------------------------------------
---------------------------------------------------------------------------
($millions Cdn)
Increased service operating income
before amortization 24.7 44.5
Decreased amortization 6.7 14.2
Decreased interest expense 0.9 1.6
Change in net other costs and revenue (1) (0.2) (7.0)
Increased income taxes (161.3) (47.8)
---------------------------------------------------------------------------
(129.2) 5.5
---------------------------------------------------------------------------
---------------------------------------------------------------------------
(1) Net other costs and revenue include: gain on sale of investments,
foreign exchange gain on unhedged long-term debt, fair value loss on
a foreign currency forward contract, other gains (losses) and equity
income on investees as detailed in the unaudited interim Consolidated
Statements of Income and Deficit.
Earnings per share were $0.38 for the quarter which represents a $0.03 improvement over the same period last year. The improvement in the current quarter was due to higher net income of $5.5 million and included increased service operating income before amortization of $44.5 million and decreased amortization of $14.2 million. These improvements were partially offset by increased income taxes of $47.8 million. The increased income taxes were due to higher service operating income before amortization in the current quarter and a tax recovery of $31.4 million in the comparable quarter related to reductions in corporate income tax rates.
Net income in the current quarter decreased $129.2 million over the fourth quarter of fiscal 2006. The reduction was due to a $150.0 million tax recovery recorded in the fourth quarter, primarily related to reductions in corporate income tax rates, partially offset by improved service operating income before amortization in the current quarter of $24.7 million.
Funds flow from operations was $243.9 million in the first quarter compared to $197.2 million last year. The growth was principally due to increased service operating income before amortization of $44.5 million and reduced interest expense of $1.6 million.
Consolidated free cash flow for the quarter of $76.1 million increased $44.0 million over the comparable quarter due to improved service operating income before amortization. The Cable division generated $44.4 million of free cash flow for the quarter compared to $32.0 million in the comparable period. The Satellite division achieved free cash flow of $31.7 million compared to free cash flow of $0.1 million last year.
During the quarter, the Company increased the equivalent annual dividend rate on Shaw’s Class A Participating Shares and Class B Non-Voting Participating Shares to $0.995 per Class A Participating Share and $1.00 per Class B Non-Voting Participating Share, payable in monthly installments commencing December 29, 2006.
In November, 2006 Shaw received approval from the TSX to renew its normal course issuer bid to purchase its Class B Non-Voting Shares for a further one year period. The Company’s normal course issuer bid will expire on November 16, 2007 and Shaw is authorized to repurchase up to an additional 15,300,000 Class B Non-Voting Shares. Shaw continues to believe that purchases of Class B Non-Voting Shares under the bid are in the best interests of its shareholders and that such purchases constitute a desirable use of Shaw’s free cash flow.
Key Performance Drivers
The Company’s continuous disclosure documents may provide discussion and analysis of non-GAAP financial measures. These financial measures do not have standard definitions prescribed by Canadian GAAP or US GAAP and therefore may not be comparable to similar measures disclosed by other companies. The Company utilizes these measures in making operating decisions and assessing its performance. Certain investors, analysts and others, utilize these measures in assessing the Company’s financial performance and as an indicator of its ability to service debt. These non-GAAP financial measures have not been presented as an alternative to net income or any other measure of performance required by Canadian or US GAAP.
The following contains a listing of the Company’s use of non-GAAP financial measures and provides a reconciliation to the nearest GAAP measurement or provides a reference to such reconciliation.
Service operating income before amortization and operating margin
Service operating income before amortization is calculated as service revenue less operating, general and administrative expenses and is presented as a sub-total line item in the Company’s unaudited interim Consolidated Statements of Income and Deficit. It is intended to indicate the Company’s ability to service and/or incur debt, and therefore it is calculated before amortization (a non-cash expense) and interest. Service operating income before amortization is also one of the measures used by the investing community to value the business. Operating margin is calculated by dividing service operating income before amortization by service revenue.
Free cash flow
The Company utilizes this measurement as it measures the Company’s ability to repay debt and return cash to shareholders. Free cash flow for cable and satellite is calculated as service operating income before amortization, less interest, cash taxes on net income, capital expenditures (on an accrual basis) and equipment costs (net). Consolidated free cash flow is calculated as follows:
Three months ended November 30,
--------------------------------
2006 2005
---------------------------------------------------------------------------
($000's Cdn)
Cable free cash flow (1) 44,445 31,993
Combined satellite free cash flow (1) 31,692 110
---------------------------------------------------------------------------
Consolidated 76,137 32,103
---------------------------------------------------------------------------
(1) The reconciliation of free cash flow for both cable and satellite is
provided in the following segmented analysis.
CABLE
FINANCIAL HIGHLIGHTS
Three months ended November 30,
--------------------------------
Change
2006 2005 %
---------------------------------------------------------------------------
($000's Cdn)
Service revenue (third party) 499,195 431,061 15.8
---------------------------------------------------------------------------
---------------------------------------------------------------------------
Service operating income before
amortization (1) 237,769 207,515 14.6
Less:
Interest 51,390 52,869 (2.8)
Cash taxes on net income - 1,042 (100.0)
---------------------------------------------------------------------------
Cash flow before the following: 186,379 153,604 21.3
---------------------------------------------------------------------------
Capital expenditures and equipment costs
(net):
New housing development 22,493 23,266 (3.3)
Success based 20,328 23,310 (12.8)
Upgrades and enhancement 77,148 58,971 30.8
Replacement 9,282 10,135 (8.4)
Buildings/other 12,683 5,929 113.9
---------------------------------------------------------------------------
Total as per Note 2 to the unaudited
interim Consolidated Financial Statements 141,934 121,611 16.7
---------------------------------------------------------------------------
Free cash flow (1) 44,445 31,993 38.9
---------------------------------------------------------------------------
---------------------------------------------------------------------------
Operating margin 47.6% 48.1% (0.5)
---------------------------------------------------------------------------
---------------------------------------------------------------------------
(1) See definitions and discussion under Key Performance Drivers in
Management's Discussion and Analysis.
OPERATING HIGHLIGHTS
- During the quarter the Company added 38,197 Digital Phone lines to total 250,904, including pending installations. The expansion of Shaw’s Digital Phone footprint continued with the service now available to approximately 70% of homes passed and included roll-outs during the quarter in New Westminster, British Columbia; Lethbridge, Medicine Hat and Red Deer, Alberta; and, Saskatoon, Saskatchewan. Most recently, the service was launched in Kelowna and Kamloops in British Columbia.
- Customer growth continued in the first quarter with increases of 12,664 for Basic cable, 25,331 for Digital, and 35,877 for Internet. At November 30, Basic subscribers total 2,213,457, and Digital and Internet stand at 696,887 and 1,348,639, respectively. Internet penetration of basic is now 60.9%.
- Shaw completed the acquisition of several cable systems that complement existing operations including Whistler Cable and Grand Forks, both in British Columbia, as well as a system operating in and around Kenora, Ontario adding a total of 14,702 cable subscribers.
Cable service revenue improved 15.8% over the same period last year primarily as a result of customer growth and rate increases. Commencing in September 2006, rate increases were implemented on stand alone services and packages part of which relate to value enhancements implemented earlier in the year. The increases were fully implemented in October and generate additional revenue of approximately $5.0 million per month. Service operating income before amortization increased 14.6% for the comparable three month period. The increase was driven by revenue growth, partially offset by increased costs resulting from expenditures incurred to support continued growth, the delivery of quality customer service, and the launch of Digital Phone.
Service revenue improved $31.9 million or 6.8% over the fourth quarter of fiscal 2006 as a result of customer growth and rate increases. Service operating income before amortization improved $21.0 million or 9.7% over this same period mainly due to the revenue related growth.
First quarter capital expenditures were $141.9 million, an increase of $20.3 million over the same period last year. Shaw invested $29.2 million in the first quarter of 2007 on Digital Phone compared to $35.4 million in the same quarter last year. Total spending to date on Digital Phone is now $177.9 million.
Spending in the upgrade and enhancement category increased $18.2 million over the comparable three month period primarily due to increase network capacity to support digital phone and internet growth, upgrades to support Video-On-Demand (”VOD”), digital cable and high definition (”HD”) TV initiatives. Spending in Buildings and Other was up $6.8 million over the comparable three month period mainly due to various facilities projects.
Success based capital decreased over the comparable three month period to $20.3 million. Digital Phone success based capital increased during the current quarter as a result of customer growth, however, this was more than offset by reduced success based capital related to digital cable terminal (”DCT”) sales as a result of price increases implemented during the latter part of fiscal 2006.
Throughout the quarter Shaw delivered on its strategy of enhancing its various service offerings, and launching new products. In September, the Company announced the doubling of the download speed of the High-Speed Lite Internet service, at no additional cost to the customer, and in November announced the launch of its newest Internet product, Shaw High-Speed Nitro. This new service has a download speed of up to 25 Mbps and an upload speed of 1 Mbps. Shaw now offers four levels of Internet service including High Speed Nitro, High Speed Xtreme-I, High Speed Internet and High Speed Lite.
The Company continues to expand VOD content, signing agreements during the quarter with Sony Pictures and CBS Paramount to provide “Survivor: Cook Islands” on Shaw’s VOD service.
The Company also recently launched a new Standard Definition Personal Video Recorder (PVR) to complement the HD PVR offered for the past several years. These ongoing initiatives allow Shaw to meet the needs of their customers’ home entertainment requirements and contribute to continued subscriber growth.
SUBSCRIBER STATISTICS
Three months ended
November 30, 2006
-------------------
November 30, August 31, Growth Change
2006 2006(1) %
------------------------------------------------------ -------------------
CABLE:
Basic service:
Actual 2,213,457 2,200,793 12,664 0.6
Penetration as % of homes
passed 65.4% 65.4%
Digital terminals 894,629 855,647 38,982 4.6
Digital customers 696,887 671,556 25,331 3.8
---------------------------------------------------------------------------
INTERNET:
Connected and scheduled 1,348,639 1,312,762 35,877 2.7
Penetration as % of basic 60.9% 59.6%
Standalone Internet not
included in basic cable 163,322 157,200 6,122 3.9
DIGITAL PHONE:
Number of lines(2) 250,904 212,707 38,197 18.0
---------------------------------------------------------------------------
(1) August 31, 2006 statistics are restated for comparative purposes to
adjust subscribers as if the acquisitions of the Whistler and Grand
Forks cable systems in British Columbia and the Kenora cable system in
Ontario had occurred on that date.
(2) Represents primary and secondary lines on billing plus pending
installs.
Three months ended November 30,
------------------------------------------
Churn (3) 2006 2005
---------------------------------------------------------------------------
Digital customers 3.3% 3.4%
Internet customers 3.7% 3.1%
---------------------------------------------------------------------------
---------------------------------------------------------------------------
(3) Calculated as the number of new customer activations less the net gain
of customers during the period divided by the average of the opening
and closing customers for the applicable period.
Shaw began to digitally simulcast its channel line up in Calgary, Edmonton and Vancouver which has allowed the Company to introduce a new low priced digital terminal. The new terminal permits access to all digital features including the on-screen programming guide, music, and VOD and PPV movies and events.
SATELLITE (DTH and Satellite Services)
FINANCIAL HIGHLIGHTS
Three months ended November 30,
--------------------------------
Change
2006 2005 %
---------------------------------------------------------------------------
($000's Cdn)
Service revenue (third party)
DTH (Star Choice) 150,192 137,744 9.0
Satellite Services 21,619 20,740 4.2
---------------------------------------------------------------------------
171,811 158,484 8.4
---------------------------------------------------------------------------
---------------------------------------------------------------------------
Service operating income before
amortization (1)
DTH (Star Choice) 49,682 36,693 35.4
Satellite Services 12,336 11,114 11.0
---------------------------------------------------------------------------
62,018 47,807 29.7
Less:
Interest (2) 10,094 10,209 (1.1)
Cash taxes on net income - 65 (100.0)
---------------------------------------------------------------------------
Cash flow before the following: 51,924 37,533 38.3
---------------------------------------------------------------------------
Capital expenditures and equipment costs
(net):
Success based (3) 18,391 30,202 (39.1)
Transponders and other 1,841 7,221 (74.5)
---------------------------------------------------------------------------
Total as per Note 2 to the unaudited interim
Consolidated Financial Statements 20,232 37,423 (45.9)
---------------------------------------------------------------------------
Free cash flow (1) 31,692 110 greater
than 100
---------------------------------------------------------------------------
Operating Margin 36.1% 30.2% 5.9
---------------------------------------------------------------------------
(1) See definitions and discussion under Key Performance Drivers in
Management's Discussion and Analysis.
(2) Interest is allocated to the Satellite division based on the actual
cost of debt incurred by the Company to repay prior outstanding
Satellite debt and to fund accumulated cash deficits of Shaw Satellite
Services and Star Choice.
(3) Net of the profit on the sale of satellite equipment as it is viewed
as a recovery of expenditures on customer premise equipment.
OPERATING HIGHLIGHTS
- Free cash flow for the quarter was $31.7 million compared to $0.1 million for the same period last year.
- Star Choice added 2,426 customers to total 871,634.
- For the second year in a row Star Choice received the SQM Group Inc. award for its customer satisfaction rating for customer contact in a call centre within the Telecommunications and TV Industry.
Service revenue improved 8.4% over the same quarter last year primarily as a result of rate increases and customer growth. Effective September 1, 2006 Star Choice implemented rate increases on a number of packages which were fully implemented in September and generate additional revenue of approximately $1.5 million per month. Service operating income before amortization increased 29.7% over the comparable three month period to $62.0 million. The improvement was primarily due to the growth in service revenue, lower bad debt, the recovery of provisions related to certain contractual matters, and certain reduced expenses.
Service revenue increased 4.4% over the fourth quarter of fiscal 2006 primarily due to rate increases and customer growth. Service operating income before amortization improved 6.3% over this same quarter primarily due to revenue growth.
Capital spending of $20.2 million decreased $17.2 million over the comparable three month period. Quarterly success based capital expenditures of $18.4 million was $11.8 million lower mainly due to favorable pricing on receivers and reduced activations. Spending in Transponders and Other decreased $5.4 million over the comparable period primarily due to spending in the comparable quarter on uplink equipment to add additional transponder capacity.
During the quarter, and for the second consecutive year, Star Choice was recognized by SQM Group Inc., receiving their award for customer satisfaction within the Telecommunications and TV Industry. In addition to the focus on customer service, Star Choice has also undertaken several initiatives to enhance the quality of the programming service it offers by continually adding popular channels and new HD channels. Star Choice expanded their channel line up with new HD programming adding A&E HD, Super Ecran HD and Discovery HD during the quarter, and most recently added Showcase HD and National Geographic HD. They now offer 20 HD channels.
CUSTOMER STATISTICS
Three months ended November 30, 2006
--------------------------------------
November 30, August 31,
2006 2006 Growth %
---------------------------------------------------
Star Choice customers(1) 871,634 869,208 2,426 0.3
---------------------------------------------------------------------------
(1) Including seasonal customers who temporarily suspend their service.
Three months ended November 30,
--------------------------------
Churn (2) 2006 2005
---------------------------------------------------------------------------
Star Choice customers 3.2% 3.4%
---------------------------------------------------------------------------
(2) Calculated as the number of new customer activations less the net gain
of customers during the period divided by the average of the opening
and closing customers for the applicable period.
OTHER INCOME AND EXPENSE ITEMS:
Amortization
Three months ended November 30,
--------------------------------
Change
2006 2005 %
------------------------------------------------------------------
($000's Cdn)
Amortization revenue (expense) -
Deferred IRU revenue 3,137 3,137 -
Deferred equipment revenue 23,218 18,369 26.4
Deferred equipment cost (48,970) (49,577) (1.2)
Deferred charges (1,237) (1,258) (1.7)
Property, plant and equipment (92,165) (100,840) (8.6)
------------------------------------------------------------------
------------------------------------------------------------------
The increase in amortization of deferred equipment revenue over the comparative period is primarily due to growth in sales of higher priced HD digital equipment commencing in fiscal 2005. Amortization of property, plant and equipment decreased over the comparative period as the impact of assets that became fully depreciated in fiscal 2006 exceeded amortization on new capital purchases.
Interest
Three months ended November 30,
--------------------------------
Change
2006 2005 %
------------------------------------------------------------------
($000's Cdn)
Interest 61,841 63,442 (2.5)
------------------------------------------------------------------
------------------------------------------------------------------
Interest expense decreased over the comparative period mainly as a result of lower average debt levels.
Investment activity
During the current and comparative quarter, the Company realized gains of $0.4 million and $1.7 million, respectively, on the sale of minor interests in publicly traded companies.
Foreign exchange gain on unhedged and hedged long-term debt
Three months ended November 30,
--------------------------------
Change
2006 2005 %
------------------------------------------------------------------
($000's Cdn)
Foreign exchange gain on unhedged
long-term debt - 3,481 (100)
------------------------------------------------------------------
------------------------------------------------------------------
In June 2006, the Company amended its existing credit facility and repaid US dollar denominated bank loans. Until that time Shaw recorded foreign exchange gains on the translation of foreign denominated unhedged bank debt. In addition, the Company recorded a foreign exchange gain on the US $172.5 million COPrS prior to entering into a US dollar forward purchase contract in the first quarter of 2006 to hedge the redemption of the issue. Currently the Company does not have any foreign denominated unhedged long-term debt and therefore, does not anticipate recording any further foreign exchange gains and losses.
Under Canadian generally accepted accounting principles (”GAAP”), the Company translates long-term debt at period-end foreign exchange rates. Because the Company follows hedge accounting, the resulting foreign exchange gains or losses on translating hedged long-term debt are included in deferred credits or deferred charges. As a result, the amount of hedged long-term debt that is reported under GAAP is often different than the amount at which the hedged debt would be settled under existing cross-currency interest rate agreements. As outlined in Note 4 to the unaudited interim Consolidated Financial Statements, if the rate of translation was adjusted to reflect the hedged rates of the Company’s cross-currency agreements (which fix the liability for interest and principal), long-term debt would increase by $373.1 million (August 31, 2006 - $408.7 million) which represents the corresponding hedged amounts included in deferred credits.
Other gains and losses
This category consists mainly of realized and unrealized foreign exchange gains and losses on US dollar denominated current assets and liabilities, gains and losses on disposal of property, plant and equipment, and the Company’s share of the operations of Burrard Landing Lot 2 Holdings Partnership (”the Partnership”). Due to fluctuations of the Canadian dollar relative to the US dollar, the Company recorded a foreign exchange loss of $1.3 million for the quarter (2005 - gain of $1.2 million).
Income Taxes
Income taxes increased over the comparative period primarily due to the future income tax recovery of $31.4 million related to reductions in corporate income tax rates recorded in the comparative quarter and increased income taxes on higher income in the current quarter.
RISKS AND UNCERTAINTIES
There have been no material changes in any risks or uncertainties facing the Company since August 31, 2006. A discussion of risks affecting the Company and its business is set forth in the Company’s August 31, 2006 Annual Report under the Introduction to the Business - Known Events, Trends, Risks and Uncertainties in Management’s Discussion and Analysis.
FINANCIAL POSITION
Total assets at November 30, 2006 were $7.7 billion compared to $7.5 billion at August 31, 2006. Following is a discussion of significant changes in the consolidated balance sheet since August 31, 2006.
Current assets increased by $16.5 million due to an increase in accounts receivable of $16.4 million. Accounts receivable increased primarily due to customer growth, rate increases and timing of equipment shipments to retailers.
Investments and other assets decreased by $9.3 million due to the sale of an interest in a publicly traded company.
Property, plant and equipment increased by $57.7 million as current quarter capital expenditures exceeded amortization.
Broadcast licenses increased by $67.2 million due to the acquisition of Whistler and Grand Forks cable systems in British Columbia and the Kenora cable system in Ontario.
Current liabilities (excluding current portion of long-term debt) decreased by $16.4 million due to lower accounts payable of $39.8 million, partially offset by increases in bank indebtedness of $17.6 million and unearned revenue of $5.9 million. Accounts payable decreased primarily due to timing of interest payments. Unearned revenue increased due to customer growth and rate increases.
Total long-term debt increased by $60.5 million as a result of higher bank borrowings and Partnership debt of $24.9 million and an increase of $35.6 million relating to the translation of US denominated debt.
Deferred credits decreased by $30.0 million principally due to the decrease in deferred foreign exchange gains on the translation of hedged US dollar denominated debt of $35.6 million. Future income taxes increased by $55.6 million due to the impact of cable system acquisitions and the future income tax expense recorded in the current year.
Share capital increased by $12.0 million due to the issuance of Class B Non-Voting Shares. During the quarter, the Company issued 89,794 Class B Non-Voting Shares for $3.0 million as partial consideration in respect of a cable system acquisition and 274,968 Class B Non-Voting Shares were issued for $9.0 million under the Company’s option and warrant plans. As of December 31, 2006, share capital is as reported at November 30, 2006 with the exception of the issuance of 272,107 Class B Non-Voting Shares upon exercise of options subsequent to the quarter end.
LIQUIDITY AND CAPITAL RESOURCES
In the current year, Shaw generated $76.1 million of consolidated free cash flow. Shaw used its free cash flow along with the increase in bank debt of $42.6 million, proceeds on the sale of various assets of $9.8 million, proceeds on issuance of Class B Non-Voting Shares of $8.8 million and other net items of $8.6 million to fund the cash component of cable systems acquisitions of $52.4 million, pay common share dividends of $32.2 million and fund the net change in working capital requirements of $61.3 million.
On November 14, 2006, Shaw received the approval of the TSX to renew its normal course issuer bid to purchase its Class B Non-Voting Shares for a further one year period. The Company is authorized to acquire up to an additional 15,300,000 Class B Non-Voting Shares, representing approximately 10% of the public float of Class B Non-Voting Shares, during the period November 17, 2006 to November 16, 2007.
At November 30, 2006, Shaw had access to $716.6 million of available credit facilities. Based on available credit facilities and forecasted free cash flow, the Company expects to have sufficient liquidity to fund operations and obligations during the current fiscal year. On a longer-term basis, Shaw expects to generate free cash flow and have borrowing capacity sufficient to finance foreseeable future business plans and to refinance maturing debt.
Shaw Communications Inc.
CASH FLOW
Operating Activities
Three months ended November 30,
-------------------------------
Change
2006 2005 %
---------------------------------------------------------------------------
($000's Cdn)
Funds flow from operations 243,936 197,208 23.7
Net increase in non-cash working capital
balances related to operations (61,345) (22,193) (176.4)
---------------------------------------------------------------------------
182,591 175,015 4.3
---------------------------------------------------------------------------
---------------------------------------------------------------------------
Funds flow from operations increased over comparative periods as a result of growth in service operating income before amortization and lower interest expense. The net change in non-cash working capital balances over the comparative periods is mainly due to timing of payment of accounts payable and accrued liabilities.
Investing Activities
Three months ended November 30,
-------------------------------
2006 2005 Increase
---------------------------------------------------------------------------
($000's Cdn)
Cash flow used in investing activities (201,680) (167,767) (33,913)
---------------------------------------------------------------------------
---------------------------------------------------------------------------
The cash used in investing activities increased $33.9 million over the comparative quarter due to cable systems acquisitions and higher capital expenditures in the current quarter, partially offset by lower cash requirements for equipment costs (net) and inventories.
Financing Activities
The changes in financing activities during the comparative periods were as
follows:
Three months ended November 30,
-------------------------------
2006 2005
---------------------------------------------------------------------------
($millions Cdn)
Bank loans and bank indebtedness - net
borrowings (repayments) 42.6 (170.5)
Proceeds on $450 million senior unsecured
notes - 450.0
Dividends (32.2) (22.4)
Purchase of Class B Non-Voting Shares for
cancellation - (58.0)
Repayment of Partnership debt (0.1) (0.1)
Proceeds on bond forward - 2.5
Issue of Class B Non-Voting Shares 8.8 -
Proceeds on prepayment of IRU - 0.2
---------------------------------------------------------------------------
19.1 201.7
---------------------------------------------------------------------------
---------------------------------------------------------------------------
SUPPLEMENTARY QUARTERLY FINANCIAL INFORMATION
Service
operating Basic
income earnings Funds
Service before per flow from
revenue amortization(1) Net income share (2) operations (3)
---------------------------------------------------------------------------
($000's Cdn except per share amounts)
2007
First 671,006 299,787 81,138 0.38 243,936
---------------------------------------------------------------------------
2006
Fourth 631,888 275,127 210,369 0.97 220,617
Third 626,654 279,544 126,410 0.58 221,099
Second 611,197 267,924 45,790 0.21 208,273
First 589,545 255,322 75,681 0.35 197,208
---------------------------------------------------------------------------
2005
Fourth 562,958 250,759 69,959 0.31 191,507
Third 559,883 252,899 32,836 0.14 190,144
Second 549,919 244,311 5,721 0.02 176,557
---------------------------------------------------------------------------
(1) See definition and discussion under Key Performance Drivers in
Management's Discussion and Analysis.
(2) Diluted earnings per share equals basic earnings per share except in
the fourth quarter of 2006 where diluted earnings per share is $0.96.
(3) Funds flow from operations is presented before changes in net non-cash
working capital as presented in the unaudited interim Consolidated
Statements of Cash Flows.
Generally, service revenue and service operating income before amortization have grown quarter-over-quarter mainly due to customer growth and rate increases. Net income has generally trended positively quarter-over-quarter as a result of the growth in service operating income before amortization described above, reductions of interest expense as a result of debt repayment and retirement, the impact of the net change in non-operating items such as gains on sale of investments, foreign currency fluctuations on unhedged US denominated debt, fair value adjustments on foreign currency forward contracts and the impact of corporate income tax rate reductions. The exceptions to the consecutive quarter-over-quarter increases in net income are the second quarter of 2006 and first quarter of 2007. Net income declined by $29.9 million in the second quarter of 2006 and by $129.2 million in the first quarter of 2007 due to income tax recoveries primarily related to reductions in corporate income tax rates. The Company recorded $31.4 million and $150.0 million in the first and fourth quarters of 2006, respectively. As a result of the aforementioned changes in net income, basic and diluted earnings per share have trended accordingly.
ACCOUNTING STANDARDS
Update to critical accounting policies and estimates
The Management’s Discussion and Analysis (”MD&A”) included in the Company’s August 31, 2006 Annual Report outlined critical accounting policies including key estimates and assumptions that management has made under these policies and how they affect the amounts reported in the Consolidated Financial Statements. The MD&A also describes significant accounting policies where alternatives exist. The unaudited interim Consolidated Financial Statements follow the same accounting policies and methods of application as the most recent annual consolidated financial statements.
CAUTION CONCERNING FORWARD LOOKING STATEMENTS
Certain statements included and incorporated by reference herein may constitute forward-looking statements. Such forward-looking statements involve risks, uncertainties and other factors which may cause actual results, performance or achievements of the Company to be materially different from any future results, performance or achievements expressed or implied by such forward-looking statements. When used, the words “anticipate”, “believe”, “expect”, “plan”, intend”, “target”, “guideline”, “goal”, and similar expressions generally identify forward-looking statements. These forward-looking statements include, but are not limited to, references to future capital expenditures (including the amount and nature thereof), financial guidance for future performance, business strategies and measures to implement strategies, competitive strengths, goals, expansion and growth of Shaw’s business and operations, plans and references to the future success of Shaw. These forward-looking statements are based on certain assumptions and analyses made by Shaw in light of its experience and its perception of historical trends, current conditions and expected future developments as well as other factors it believes are appropriate in the circumstances. However, whether actual results and developments will conform with expectations and predictions of the Company is subject to a number of risks and uncertainties. These factors include include general economic, market or business conditions; the opportunities (or lack thereof) that may be presented to and pursued by Shaw; increased competition in the markets in which Shaw operates and from the development of new markets for emerging technologies; changes in laws, regulations and decisions by regulators in Shaw’s industries in both Canada and the United States; Shaw’s status as a holding company with separate operating subsidiaries; changing conditions in the entertainment, information and communications industries; risks associated with the economic, political and regulatory policies of local governments and laws and policies of Canada and the United States; and other factors, many of which are beyond the control of Shaw. Should one or more of these risks materialize or should assumptions underlying the forward-looking statements prove incorrect, actual results may vary materially from those as described herein. Consequently, all of the forward-looking statements made in this report and the documents incorporated by reference herein are qualified by these cautionary statements, and there can be no assurance that the actual results or developments anticipated by Shaw will be realized or, even if substantially realized, that they will have the expected consequences to, or effects on, the Company.
You should not place undue reliance on any such forward-looking statements. Further, any forward-looking statement (and such risks, uncertainties and other factors) speaks only as of the date on which it was originally made and the Company expressly disclaims any obligation or undertaking to disseminate any updates or revisions to any forward-looking statement contained in this document to reflect any change in expectations with regard to those statements or any other change in events, conditions or circumstances on which any such statement is based, except as required by law. New factors affecting the Company emerge from time to time, and it is not possible for the Company to predict what factors will arise or when. In addition, the Company cannot assess the impact of each factor on its business or the extent to which any particular factor, or combination of factors, may cause actual results to differ materially from those contained in any forward-looking statement.
CONSOLIDATED BALANCE SHEETS
(Unaudited)
November 30, August 31,
(thousands of Canadian dollars) 2006 2006
---------------------------------------------------------------------------
ASSETS
Current
Accounts receivable 154,564 138,142
Inventories 53,734 53,994
Prepaids and other 21,177 20,870
---------------------------------------------------------------------------
229,475 213,006
Investments and other assets 8,707 17,978
Property, plant and equipment 2,307,735 2,250,056
Deferred charges 265,071 261,908
Intangibles
Broadcast licenses 4,758,719 4,691,484
Goodwill 88,111 88,111
---------------------------------------------------------------------------
7,657,818 7,522,543
---------------------------------------------------------------------------
---------------------------------------------------------------------------
LIABILITIES AND SHAREHOLDERS' EQUITY
Current
Bank indebtedness 37,999 20,362
Accounts payable and accrued liabilities 421,290 461,119
Income taxes payable 4,831 4,918
Unearned revenue 112,414 106,497
Current portion of long-term debt (note 4) 297,216 449
---------------------------------------------------------------------------
873,750 593,345
Long-term debt (note 4) 2,759,667 2,995,936
Other long-term liabilities (note 10) 41,362 37,724
Deferred credits 1,070,892 1,100,895
Future income taxes 1,040,587 984,938
---------------------------------------------------------------------------
5,786,258 5,712,838
---------------------------------------------------------------------------
Shareholders' equity
Share capital (note 5) 1,988,917 1,976,966
Contributed surplus 6,102 5,110
Deficit (123,804) (172,701)
Cumulative translation adjustment 345 330
---------------------------------------------------------------------------
1,871,560 1,809,705
---------------------------------------------------------------------------
7,657,818 7,522,543
---------------------------------------------------------------------------
---------------------------------------------------------------------------
See accompanying notes
CONSOLIDATED STATEMENTS OF INCOME AND DEFICIT
(Unaudited)
Three months ended November 30,
(thousands of Canadian dollars -------------------------------
except per share amounts) 2006 2005
---------------------------------------------------------------------------
Service revenue (note 2) 671,006 589,545
Operating, general and
administrative expenses 371,219 334,223
---------------------------------------------------------------------------
Service operating income before
amortization (note 2) 299,787 255,322
Amortization:
Deferred IRU revenue 3,137 3,137
Deferred equipment revenue 23,218 18,369
Deferred equipment cost (48,970) (49,577)
Deferred charges (1,237) (1,258)
Property, plant and equipment (92,165) (100,840)
---------------------------------------------------------------------------
Operating income 183,770 125,153
Interest on long-term debt (note 2) (61,841) (63,442)
---------------------------------------------------------------------------
121,929 61,711
Gain on sale of investments 415 1,690
Foreign exchange gain on
unhedged long-term debt - 3,481
Fair value loss on a foreign
currency forward contract - (360)
Other gains (losses) (483) 2,131
---------------------------------------------------------------------------
Income before income taxes 121,861 68,653
Income tax expense (recovery) 40,826 (6,960)
---------------------------------------------------------------------------
Income before the following 81,035 75,613
Equity income on investees 103 68
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Net income 81,138 75,681
Deficit, beginning of period (172,701) (428,855)
Reduction on Class B Non-Voting
Shares purchased for cancellation - (35,085)
Amortization of opening fair value
loss on a foreign currency
forward contract - (93)
Dividends -
Class A and Class B Non-Voting Shares (32,241) (22,440)
---------------------------------------------------------------------------
Deficit, end of period (123,804) (410,792)
---------------------------------------------------------------------------
---------------------------------------------------------------------------
Earnings per share (note 6)
Basic and diluted 0.38 0.35
---------------------------------------------------------------------------
(thousands of shares)
Weighted average participating shares
outstanding during period 215,034 219,035
Participating shares outstanding,
end of period 215,307 217,619
---------------------------------------------------------------------------
See accompanying notes
CONSOLIDATED STATEMEN
Popularity: 37% [?]
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August 25th, 2008
This action should be taken if the homeo…. (secured home loan in nevada)
Posted in Bad Credit Mortgages by Admin
This action should be taken if the homeowner who plans to seek a home equity line of credit has a score less than 640.
Lets explore this a bit further.
Whilechoosing a home is an important decision, choosing a mortgage for the home is equally as important, and requires as much, if not morethought, than choosing the house itself.
Secured business loans equipping your business blue print with concrete groundwork
Somebody once said, Business is not financial science; it’s about trading, buying and selling. It’s about creating a product or service so good that people will pay for it. So you are full of ideas and ready to take on the world. No matter how striking your business idea is, it still needs a solid foundation to work on. Without a concrete financial plan your business plan might not be as feasible as it might seem on the pages, realistically speaking. Secured business loans give you the opportunity that you need to be financially independent. Being a homeowner will provide you with more to bank upon than you realize. A business loan by keeping your home as a warranty is the just the right way to get started.
Getting a secured business loan is a guaranteed success, if you take care to do your homework. For Acquiring secured business loans a lot depends on the loan claimant. You have to be very clear about how much money you need, why you need it and you must have a repayment plan. You should be able to convince your loan lender that you are very clear about your business and financial needs. This will go in your favour in assuring the loan lender that you are a good credit risk. There is no doubt that there is a huge market for secured business loans but there are no takers for secured business loans applications whose amortization is not secure.
Whether you are buying a business, paying off previous debts, looking for a cheaper rate of interest, expanding your business or starting a new business, business secured loans are the ideal for your plans. A secured business loan is secured over your property. If you own a property in UK then why not make use of this dormant property in your own home. Secured business loans are straightforward, undemanding and fairly simple. The loan amount can range from anywhere between 50,000 and 1,000,000. You can choose to repay in any term that befits your financial terms. Repayment time period can be from 3 years to 25 years. However, as a homeowner you must be aware that non payment of your secured business loans will lead to annexation of your consequential property or home.
Are you getting started on applying for secured business loans? Then pay a little more attention. A well written secured business loans application must include some occasional imperative information. The secured business loans application must have business name, name of principals, social security number for each principal and address. Make sure that the secured business loans application includes the objective of taking the business loan. The loan applicant must know how he will utilize the business loan. The amount required must be precise. Give an account of your business on your secured business loans request. This includes the history and nature of your business, its age number of employees and also the existing business possessions. Work with relevant agencies to present a complete picture of your business. Your secured business loans application wont be complete without some details of your principals in your business including their education, background, skills and accomplishments. For securing a secured business loan, you must give the financial statements for the past three years. If you are launching a new business, then give projected balance sheets and income proofs.
Your ability to make repayments on secured business loans is the most emphatic point in getting your application accepted. Security agreements on a secured business loan will include the description of the collateral, the identification of the collateral. The business loans agreement will also include provision regarding the preservation of collateral and the right of the secured partys to inspect the collateral. You must understand that in the case of default, the loan lender will look towards the collateral to satisfy the obligation.
Secured business loans are offered at highly economical rates at all leading commercial loan lenders. As it is with a secured loan, the interest rates are low and loan stipulations are flexible. A business loan can be secured at all kinds of business property in UK and also on commercial and residential properties. Secured business loans can offer upto 79% of loans to valuation or LTV. The secured business loans are available with both variable rates and fixed rates options. Secured business loans are accessible at freehold and long leasehold property. Bricks and mortar evaluation generally required to be conducted.
Secured business loans are the sustenance of any kind of business. It is important to discern that getting a secured business loan is in no way like a walk in the park. You will have to go through a lot of paperwork than you assume. But the paperwork will be basically of investigative nature. However, if you understand the market you are getting into, there is no doubt your success in acquiring a secured business loan will be secured. Comprehend your strengths and your weaknesses and try to abate your weaknesses and optimize your strength. You know the golden rule is - Before you start setting your financial goals, you need to understand where you stand financially. Decipher the rule and if you have a viable project, with a secured business loan there will be no looking back.
Education loans can augment the boundaries of what you can achieve.Amanda Thompson
Education never ends it is not said without reason. We are educated all our lives and getting an education not only is a great achievement but something that gives you the tools to find your own way in the world. Education is indispensable; little do we realize how much more it can bring to us in terms of worldly amplifications. Anyone can have propensity and the natural endowment for education. But one might not have the resources to finance their education. You certainly cant let lack of resources impede you from advancing your prospects through education. Then you accidentally stumble upon the word education loans. Loans for education you have never thought about it as a feasible arrangement. Education loans can open newer panoramas in regard to your education aspirations.
Education loans are open to all people in all its myriad forms. Education loans can realize your education plans or the education plans of your children. You can strengthen you own future and the future of your son or daughter with education loans. An extensive range of student and parent loans are presented under the category of education loans. There are many types of education loans. Discerning about the types of education loans will help you in making the accurate decision. The single largest resource of education loans is federal loan. The two main federal education loan programmes are the Federal Family Education Loan Programme and the Federal Direct Loan Programme. In the Federal Family Education Loan Programme the bank, credit union or the school is the lender. While the federal direct loans programme, the department of education is the lender.
Private education loans are offered to people so that they can provide financial backup to their education plans. Private education loans are not endorsed by other government agencies but are provided by other financial institutions. Private education loans programme are optimum for both undergraduate and graduate studies.
Formal education is requisite for future success. Though this is not a hard and fast rule, but education certainly helps you in gaining an upper hand. With universities getting expensive by each day an education loan will certainly give you an incentive to go ahead with your education plans. Each year while contemplating on your education plans the thought of finances almost invariably comes in. While working towards you degree, you are constantly plagued about paying for the education fees, books, and other living expenses. Education loans can provide funding for tuition fees, board and room, books computer, and even student travel. An education loan can help you with all these expenses. Education loans are sufficient enough to take care of all these expenses. If you have been forced to drop your education for any reason, you can still take up your education at any point of time. Irrespective of your age and also where you have left your education.
There are no specific eligibility criteria for education loans. Any person who is in need of sponsorship for education can find an education loan that befits his or her financial necessity. Loan amount on education loans vary with the kind of education you want to pursue. The repayment options with education loans will similarly accommodate your personal financial preferences. You can either repay interest amount while still in school or six months after graduation. Education loans offer upto ten years for repayments. The refund alternatives on education loans also include deferment, forbearance and consolidation. The various sites on education loans can give you innumerable repayment options and monetary remuneration.
Education loans will help you in planning your life after graduation. However, an education loan like every loan is a huge financial obligation. An education loans is generally the first substantial loan for most people and therefore the first major expense. Do not be completely dependent on your education loans for the funding of your complete education. Try to apply for any other financial sustenance like university grants, scholarships, fellowships, work study programmes and assistance ship and any other form of aid. This will certainly encourage a fluid dispensation of your education loans. You can start by going to the financial aid office in your school or university. It will provide you further insight to the kind of education loans, you must apply for.
Education is an experience of life. It is so rewarding in itself that it helps you to manage almost everything in your life. Education loans discipline your impulse towards education and training into a fruitful contrivance. The payoff is delicious in terms of improved quality of life. Education is expensive! Is it? With education loans it cant be. Now, you dont have to take the road in front of you. Make your own road with education loans.
Update your computer system with bad credit computer financing.Amanda Thompson
The moment I placed myself in front of the computer screen a whole new world beckoned me to join it. And years of strolling have proved incompetent to get me acquainted with the full panorama of computers. You have always wanted one in your home. But something is stopping you. Bad credit? Do I hear bad credit? You think bad credit can stop you from getting your computer financed. Which world are you living in? You certainly need a computer. Computer financing for bad credit can enable you to get your very own home computer, lab tops, desk top or any other computer requirement.
Credit can be marred at any stage due to a number of reasons. Late payments, inflating debts, bankruptcy, county court judgments, arrears, any court case all can result in impaired credit. Jaundiced credit report can falter you probability for getting computer financing. Yet the odds are not that diffuse for bad credit computer financing. First of all realize that computer financing for bad credit is not a Gordian knot. Any person with bad credit can find a loan including the one for computer financing. Envision your own position before you make a loan application for bad credit computer financing.
Bad credit has some obvious disadvantages that cannot be ignored. Bad credit is synonymous with greater rate of interest. You cant escape increasing rate of interest for bad credit computer financing. What you can do is shop for a comparative lower rate of interest. First make your own stand clear with respect to bad credit loan. Before you make your claim as a bad credit loan applicant, check out your credit status. This will canonize your computer financing for bad credit with little or no impediment.
Very few people actually understand the meaning of the terms credit report and credit score. These are integral to bad credit loans inclusive of computer financing. A credit report contains a list of any credit cards you may hold, loans you may have taken out, how much your monthly payments are and any actions taken against you for any unpaid bills you may have accumulated over the years. Before providing you with finance for your computer, the loan lender will probably check your credit activities, to rule out any bad credit details. Credit score will be extracted out of your credit report. Your credit score is not good, that you already know. Otherwise you would not have been reading this article. Knowing your credit score will facilitate the prevention of abuse at the hands of the loan lender. He might take advantage of your ignorance and charge you higher rate than valid in context to bad credit computer financing. Forewarned is forearmed. You have heard that. Now hear this, it really works.
Another term that directly connects with bad credit is no credit. No credit computer financing is not similar to bad credit computer financing. Bad credit computer financing entails that at least you have installed credit through a bank account or credit card company. In the no credit specimen, no credit you have never owned a credit card or ever inaugurated a bank account. This is altogether an entirely different struggle. Some argue that it is better to have no credit instead of bad credit while contemplating computer financing. But the fact is, in order to establish yourself as a reliable borrower you at least need to have credit. And this cant be done unless you establish a credit.
The facilities that come with bad credit computer financing are a conscientious recompense. The loan lenders are increasingly being innovative with bad credit computer financing products. Computer financing for bad credit permits you to purchase a computer instrument that comes with a full 2-year replacement warranty on parts and service. Also, all machines come with 1-year toll-free tech support. The loan lenders have notebooks and desktops, so that you can choose the machine you want. AMD powered machines that provide the latest processing speeds are also available as bad credit computer financing options. You can avail the latest software programmes through bad credit computer financing. Bad credit computer financing can release new possibilities for students. Computers are indispensable in relation to education.
All said and done I must tell you that even the loan lenders realize that sometimes things go wrong and can lead to bad credit situation. Financial setbacks can undoubtedly affect your life unexpectedly. Therefore the essence of finding a bad credit computer financing is finding a loan lender that is ready to work for you. Bad credit computer financing can get you not only a powerful highly sophisticated computer system. Not only that the added ascendancy is the building up of positive payment history.
Your computer has waited in vain for retirement. But what could you do, you yourself were groping due to bad credit. This time oblige him with a well deserved annulment of services. And compliment your own specialization with state of the art computer system. This season reboot your computer system with bad credit computer financing.
Demystify the allegorical misinterpretation of bad credit personal loans.Amanda Thompson
Every time you go for a loan, the bad credit trademark hits you where it should your odds at finding a loan. For bad credit personal loan, it is necessary to discover your standing as a loan claimant. Loan borrowing is promoted as a much elementary process. And so is loan borrowing for bad credit. It is amazing that loan lending companies are willing to come forward for providing personal loans for bad credit. But you can never understand a dictum unless you heard to both sides of the version. The long queue of loan lender that you see standing in front of you is not standing there without a good reason. Bad credit personal loans implies higher rate of interest. There is money to be made from people with bad credit therefore these hoards of options.
For getting personal loan approval, get a realistic view of your position in context of finding a bad credit personal loan. Your bad credit position will make it difficult for you to get a bad credit personal loan but you can still walk past the road blocks. You can still find your very own personal loans even with bad credit. Bad credit can impair your personal loan finding scenario. Bad credit can be indicted on various grounds. People get bad credit due to default in payments on credit cards, loans, or even, due to mortgage arrears. Having County Court Judgments (CCJs) held against your name also spells bad credit. A county court judgment is registered in your name not if you lose a case in the county court, but if you do not pay the fine that you have been ordered to pay within 28 days of the judgment. Any court case or any other legal impediment can cause bad credit label to attach to your credit report.
A recent study found that more than 3 in 5 consumers have negative information in their credit report, and nearly half of the studied reports contained errors. Many of the errors were serious enough to prevent the individual from qualifying for credit. Sometimes while talking a bad credit personal loan, you dont realize what you are getting into. Your loan lender will confirm you past record at repaying personal loans in order to certify your potential as a loan claimant. A credit checking company will have files on most of the adult population. So you cant escape the aftermaths of bad credit. Not having a credit file is also not an encouraging phenomenon in respect of personal loans. Not having a credit file entails no credit history at all. This is often associated as worse as having a credit history. Anyway, CCJs and other financial problems will show up on your credit record. As a bad credit personal loan claimant you are required to know that the credit checking company will look at all of the people who live at your address before providing you with a personal loan. Now there is much more to it than being a regular credit check. This is done to discipline habitude of someone with good credit history borrowing money on behalf of someone with a bad credit history. The consequence of credit check is that if you are living with someone with a bad credit record then you could have a problem getting approval for any personal loan or financial products. Your relationship with that person is not of much consequence.
Personal loans for bad credit can be taken for any purpose. The personal loans for bad credit is generally taken in small amounts and usually for non businesses purposes like home improvement and loans for financing other products. Bad credit personal loans can be either secured or unsecured and therefore can be secured on your property also. The time span for a bad credit personal loan is usually shorter than mortgage which is about 25 years. If you dont want to go back without a bad credit personal loan gear yourself up with all the necessary information. Get your documents in order before you apply for bad credit personal loan. Also contemplate on how much you can afford to borrow your repayment plan and also inspect the current interest rates for bad credit personal loans.
Before getting an approval for bad credit personal loans it is tremendously suggested that you understand the terms credit report and credit score. Perceiving these two terms will unquestionably connote financial compensations with regard to bad credit personal loans. A credit report is a report detailing an individual’s credit history. While a credit report is a statistical method of assessing an applicant’s credit worthiness. An applicant’s credit card history; amount of outstanding debt; the type of credit used; negative information such as bankruptcies or late payments; collection accounts and judgments; too little credit history, and too many credit lines with the maximum amount borrowed are all included in credit-scoring models to determine the credit score.
Bad credit personal loan is not a loan for people with bad credit. Bad credit personal loan is more than often a way to reform negative credit score. May be those days of bad credit are over but still there are restructuring to be done. Bad credit personal loans promote credit repair by repaying debts and regain your stand in credit report.
Reaping financial rewards bad credit home equity loans.Amanda Thompson
Home is the place you inhabit. It is the place where you live, breathe, grow, thrive. It does more than just providing a living space. The moment you build up this house, or moved to your present apartment, you did not realize that you have struck it rich. Rich that is not the exact word to define your current status as you are struggling with bad credit. I know you want to argue on this point but let me explain. There is something called home equity that lies in the embryonic state waiting to be germinated. Home equity has more to it than what meets the eye. However, many of us do not understand the meaning of home equity. Let alone use it for their own prosperity.
Let us begin with the fundamentals. Home equity is the difference between how much the home is worth and how much you owe on the mortgage (or mortgages, if you have more than one on the property). A home equity loan or line of credit is a loan that facilitates the borrowing of money using home equity as collateral. A home equity loan is in essence a secured loan. Accordingly aborting the repayment agreement will result in seizure of your property or home. That you certainly dont want since you already have been suffering due to bad credit. Confiscation of your property is the one thing you dont want on your list of financial fiasco. Thus careful introspection is recommended in relation to bad credit home equity loans. A key word that might be encountered by you is home equity line of credit. It is categorized as the kind of home equity loan. A HELOC or home equity line of credit allows the loan borrower to borrow various sums up to a fixed amount over a period of time. A home equity line of credit works in a way which is analogous to a credit card; you use it when you need it. Different States set their own laws on limits you can borrow against your house.
Bad credit home equity loans can be used for any personal reason. Bad credit home equity loans are second mortgage that converts your home equity into ready money. This cash can be used for many purposes like home improvement, debt consolidation, college education, and any other expenses. There is no expiration to possibilities to a home equity loan. Tapping on the home equity with bad credit is effortless if the loan borrower understands his own expectations and status in the context of bad credit home equity loans. Bad credit home equity loans are currently very attractive but then again you what is good for someone else might not be good for you. So bad credit home equity loans should be contemplated seriously before taking a concrete decision. You dont need another bad decision on your credit report, so chose wisely.
Bad credit has unwelcome consequences on your entire investments plan. This includes your plans for taking a home equity loan. You might have blundered earlier but this time it is our home which is at stake. Discuss your bad credit with the loan lender you are opting for. Commissioning the right loan lender is crucial for your bad credit home equity loan. In fact it is the thing that guarantees your success in acquiring bad credit home equity loans.
Little do people realize that home equity is a powerful tool for making a statement while placing a loan application. Bad credit home equity loans have a very high incidence of being the finest option of people contemplating debt consolidation. You success with bad credit home equity loans rests on the simple fact that you make a plan and cling to it religiously. The credit card debts have been weighing heavily on you. Those irksome little debts, those just hamper your personal expenditures in every possible way. Get rid of them this time with bad credit equity loans. Let you wallet weigh less of credit card debts and more of ready cash for you personal usage.
Bad credit home equity loans have this great opportunity for home owners. Bad credit home equity loans can be used fittingly for the purpose of home improvement. Make the minor little changes that you have been putting off due to this bad credit. There is an added benefit. You build up your equity while using equity for in your home. Bad credit home equity loans can even help to fund your vacation. Clasp the snow stricken mountains, or go for a dip in the clear blue waters of the Caribbean islands. It can all be realized through home equity loans even if you cant shed off the bad credit tag.
A very congruent utilization of bad credit home equity loans is for initiating a retirement plan. Retirement is to be realized some day. A lot depends on how you are planning your retirement that will reflect on your financial independence in the future. Many bad credit home equity loans have been used to proffer investments. A trusted loan lender or financial advisor can advice you suitably for your current financial status. Make a bad credit home equity plan and see how it can reap economic rewards.
Economic rewards! Does that come with bad credit? You are throwing your hands up in the air and saying no way. No way but you have read all about it. Havent you? You see the house you are standing on, now see the four walls surrounding it. Yes this house, your house that you own. There is a gold mine hidden there in terms of home equity. And you were searching the road to Eldorado.
Popularity: 29% [?]