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Strategies & Market Trends : Fundamental Value Investing -- Ignore unavailable to you. Want to Upgrade?

To: The Ox who wrote (2018)	7/23/2012 3:42:40 PM
From: bruwin	1 Recommendation Read Replies (1) \| Respond to of 4720

Hi TO, on page 45 of the link below there are details of CL's Long Term Debt. Most of it appears related to issued Notes ... CL L.T.D. With regard to CL's debt, I tend to look at the effect it has on the company's Income Statement, especially as a percentage of EBITDA. It seems Buffett looks at it in terms of EBIT. Interest Expense/EBITDA = 59/4253 = 1.4%, which, IMO, is very low and has a small effect on reducing what's left over of Revenue at the EBITDA level. In Buffett's requirement, Interest Expense/EBIT = 59/3848 = 1.5%.