Chinese Company Nine Dragons and 2009 Crisis, Questions and Answers

1952 Words4 Pages

Executive summary

This report will discuss and analyse the several issues regarding financial status of the nine dragons paper holdings limited which is growing at a rate of 120 percent from the last five years and suddenly washed away in the 2009 crisis.

During that period of time the organisation faced rapid change in the business environment. At that Time Company forced to issue profit warning to its shareholders, market conditions were squeezed and heavy burden of debt on the company, return on sales. These are the main key points in the present report.

The burden of debt was the main factors seen by the analysts for the down fall of the NDP. According to the bond traders, investment in the nine dragons was one of the worst deals of 2008, as the existing bond holders suffer huge amount of loss.

The analysts concern about over NDP’s prospects was the impact of declining sales and margin on its ability to service its large debt burden as they look NDP in huge trouble. But Chairlady Mrs. Cheung’s greatness was that she looked Nine Dragon Paper’s present scenario as just a bit fluctuation.

TABLE OF CONTENTS

Executive Summary...................................................................................... 2

1.0 Introduction............................................................................................. 4

2.0 Question 1................................................................................................. 5

3.0 Question 2................................................................................................ .7

Graph 2.1.................................................................................................. .7

Graph 2.2.................................................

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