Read the following extract. Required: 1. What is meant by a share buyback? 2. What is meant
Question:
Read the following extract.
Required:
1. What is meant by a share buyback?
2. What is meant by a debt rating? Why is it important?
3. What role does the balance sheet play in the decisions for Telstra discussed in this article?
Transcribed Image Text:
Telstra talks down T3 buyback by Colin Kruger Telstra... has poured cold water on the prospect of a significant share buyback... We've got a strong balance sheet but we don't want to weaken that balance sheet ..." Broker reports have estimated Telstra could buy back $10 billion in [shares] without having a significant effect on the company's debt rating... www
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1 What is meant by a share buyback A share buyback also known as a stock repurchase is a corporate action in which a company buys back its own shares ...View the full answer
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Related Book For
Financial Accounting An Integrated Approach
ISBN: 9780170349680
6th Edition
Authors: Ken Trotman, Michael Gibbins, Elizabeth Carson
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