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Wednesday, November 18, 2020

Aker Kvaerner Group

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The Aker Kvaerner Group


The fight against bankruptcy


Executive summery


During 16, Kvaerner sought to strengthen its engineering base internationally through the acquisition of the UK-


Buy cheap Aker Kvaerner Group term paper


based conglomerate, Trafalgar House. The acquisition was completed in May 16. Kvaerner became an


international player in shipbuilding, oil and gas, pulp and paper and engineering and construction. It moved its


international headquarters to London in the spring of 16.


In the following years, increasing financial and operational difficulties followed strong growth financed through


debt. The acquisitions had resulted in a broad business portfolio, without a corresponding management capacity. The


consequences were weak integration of the acquired units and no realization of synergies between the different


business areas.


In 1 the company initiated a major sell-off, focusing on realizing capital through divestments. These efforts did


not solve the mounting financial and operational challenges, which eventually brought the company into an acute


liquidity crisis in August 001.


In July 000, Aker Maritime ASA, a Norway-based offshore products, technology and services provider, had bought


6 per cent of the shares in Kvaerner ASA. The investment was made with the aim of creating a focused, profitable


and forward-looking group based in Norway, with substantial international operations.


It took 18 months to achieve the goal of integrating these businesses. In late November 001 an agreement was


reached between Aker Maritime ASA and Kvaerner ASA. Aker Maritime injected NOK .8 bn in net assets, raised


another NOK .5 bn through two direct issues and renegotiated NOK 8.6 bn of Kvaerners debt.


The result was a financially stronger Kvaerner, with four focused business areas Oil & Gas, Engineering &


Construction, Pulp & Paper and Shipbuilding. The group decided to adopt the Aker Kvaerner brand for the entire


group. But in 00 Aker Kvaerner still had a huge liquidity problem, so the company kept selling asset to earn


revenues. But in the end of 00 came the message Aker Kvaerner had again a liquidity cries.


To day Aker Kvaerner dont know how their are going to pay their workers salary the coming month, and their


struggling every day to avoid bankruptcy.


Introduction


The Aker Kvaerner Group


Aker Kvaerner is a world-class international oil services and products, engineering and


construction, and shipbuilding Group with the capability and resources to undertake the


worlds most challenging projects.


Todays Aker Kvaerner is an industrial technology provider. It meets the needs of its


customers by adding value to their business - through the provision of innovative, cost-


effective solutions - for challenges in the hydrocarbons, process, and maritime industries.


The Groups activities are organised in four core business areas


• Oil & Gas


• E&C


• Pulp & Paper


• Shipbuilding


The Group has annual revenues in excess of US$6 billion, with some 4,000 permanent


staff located in more than 0 countries throughout Europe, Africa, Asia and the


Americas.


This assignment is consentrated around the last years, but to explaine how they got their huges


debt, that was the main reasen for their crises, I start the assignment with telling the storry back


from 16. Then I explain about Kvaerners way thru crises after crises and until to days almost


bankruptcy. The assignment try to analyze what went wrong and way it went wrong.


Expanding and growth by loan financing


In 16 Kvaerner was the biggest engineering company in Norway. Kvaerner wanted as most


corporations to increase the value of the company and grow even bigger. To do this its a normal


process to expand their business to foreign countries. Kvaerner already had a lot of operations


around the world, but to grow bigger Kvaerners CEO, Erik Tønseth, saw it as necessary to


increase their international attendance in shipbuilding, oil and gas, pulp and paper and


engineering and construction.


During 16, Kvaerners CEO, strengthen its engineering base internationally through the


acquisition of the UK-based conglomerate, Trafalgar House.


To move the headquarter to London was a big change and an operation with high acquisition


cost.


At this time Kvaerner already had a lot of debt and to finance the new changes they borrowed


more cash from the banks.


The changes resulted in a broader business portfolio and this required greater and more exigent


management than Kvaerner had.


The management capacity didnt correspond to this requests.


The consequences were weak integration of the acquired units and no realization of synergies


between the different business areas.


In the following years, increasing financial and operational difficulties followed strong growth


financed through debt.


No dividends and increase in share outstanding


After 17 the company had to stop to give dividends to save money, but they kept invest money


to expand their business and to try to increase the revenues. But they didnt earn the money they


hoped, and the company started to increase shares outstanding to earn money. In 18 they kept


selling shares, and the value per share just kept falling.


After two years following this strategy the company hadnt seen anything ells than red numbers,


and in 1 the CEO Erik Tønseth got fired.


Restructuring and downsizing


The new CEO, Kjell Almskog, changed the strategy and initiated a major sell-off, focusing on


realizing capital through divestments. Now it was the agenda for change that again was in focus.


This involves a series of fundamental structural changes in order to create a company with a


clear focus on two core business areas Oil & Gas and Engineering & Construction.


An intense focus will be maintained on the debt reduction program to meet the earlier announced


objective for the Group to have zero net debt by the end of year 000.


Kvaerner planned to build shareholder value by creating a profitable Norwegian player with the


strength to compete internationally in selected regions and market areas. They planned to do this


by


• strengthening profitability through improved operation and better co-ordination between the


Engineering & Construction (E&C) and Oil & Gas (O&G) business areas.


• strengthening profitability through improved operation and better co-ordination between the


Engineering & Construction (E&C) and Oil & Gas (O&G) business areas.


• taking greater advantage of E&Cs strong global position and exploiting its extensive existing


expertise in pipelines, refining and other land-based process plants for the oil and gas industry.


• strengthening the technological platform through the acquisition of small technology-oriented


companies which complement the existing operations and product portfolio.


• strengthening the presence in selected regions such as the Gulf of Mexico, Brazil, western


Africa and the Caspian, with a particular focus on subsea production in deep water• assessing


alliances and partnerships with large companies.


During 000 and 001 the more than 0 businesses was sold or closed. Overhead costs was


reduced by more than NOK billion per year, net interest bearing debt was reduced by NOK 6


billion.


The CEO breach the disclosure requirement


But these efforts werent enough to solve the mounting financial and operational challenges, and


during the summer 001 the CEO Kjell Almskog knew that they were going to meet a liquidity


crisis in August, if they didnt borrow more money.


To the shareholders he told that the future prospect for the q was quite good.


Now the bard struggled for new loans, but the banks said no, and in August the company was in


an acute liquidity crisis.


Now the situation was so different from what the CEO had told the shareholders, so the Oslo


Stock Exchange (OSE) gave Kvaerner an penalty of a half million US $ for breach on the


disclosure requirement.


Kjell Almskog didnt tell about the financial difficulties of the Kvaerner Group, and now they


were suddenly fighting against bankruptcy in day to day operations.


Kvaerner merge with Aker Maritime


After two months with negotiation with banks and investors Kvaerner has agreed to merge with


its main shareholder and industry rival, Aker Maritime. Kvaerner is saved from chapter 8.


The news brought Kvaerners long-running battle against bankruptcy to an end, though the future


was still uncertain for Kvaerners 5,000 employees, 7,000 of them in the UK.


The rescue plan was made by the chairman of Aker Maritime, Kjell Inge Rokke, who have


previous attempt to merge his firm with Kvaerner, but have been strongly resisted by both


Kvaerners management and its board of directors. Mr. Rokke owns more than 50% of the shares


in Aker Maritime and is now the most powerful man in Kvaerner.


Kvaerner, which was suffering a serious cash crunch that would have brought it to its knees in


under a week, had repeatedly called on Mr Rokke to bail it out, but his refusal to step in without


being properly rewarded had been consistent.


But Kvaerner had to accept Mr. Rokkes deal that implied that Aker Maritime will own about


50% of Kvaerner. Aker Maritime injected NOK .8 bn in net assets, raised


another NOK .5 bn through two direct issues and renegotiated NOK 8.6 bn of Kvaerners debt.


The group decided to adopt the Aker Kvaerner brand for the entire group.


Internal problems in Aker Kvaerner


Kvaerner shares rose 40% by lunchtime in Oslo. The result was a financially stronger Kvaerner,


and most investors thought that this was the end of many bad years for Kvaerner.


But the internal problems started from the first day. From the beginning Kvaerner was negative


to Aker. They didnt really wanted to merge with Aker, they just did because there was no other


solution out of the crisis. Kvaerner wanted to have all the control and on the other side Mr.


Rokke wanted to have as much power as he could get. And with the Russian oil firm Yukos,


which owns just less than a quarter of Kvaerner, in the back Mr. Rokke became the new CEO of


the board.


In 00 Aker Kvaerner still had a huge liquidity problem, so the company kept selling asset to


earn revenues. The debt was a bigger problem than anyone had thought, and in the end of 00


came the message. Aker Kvaerner had again a liquidity cries.


All January have the board had meetings with the banks and investors. Yukos oil want a huge


downsizing of the company, but Mr. Rokke and the rest of the board want share capital


augmentation. The board has announced that it can be a problem to pay salary to the workers the


15th of February.


Aker Kvaerner is struggling every day to avoid bankruptcy.


What could Aker Kvaerner have done to avoid the liquidity crises?


During a period of 6 years Kvaerner went thru expanding strategy, cut of dividends, increase in


share outstanding, restructuring and downsizing, merge with Aker Maritime, internal problems


and the company had three differnt CEOs.


For the first I think that before a company thrie to erxpand its business, it should have full control over its existings


operations. With this I mean that Kvaerner should have got there already existing industries more


profitable, so when the wanted to expand they hadnt needed to borrow so much, and the risks


had been much lower if the investments went wrong.


At least a company which has to cut the dividends and increase shares outstanding at the same


time should never borrow money to invest in new industries. Of course its possible to earn a lot


of money, but its a risk that a huge company like Kvaerner never should have take. When you


are a CEO for 5000 workers and many thousands shareholders you have a responsibility, and


then I dont think its responsible to act like Kvaerner did.


Some companies dont pay dividends, but these companies usually do other things to increase


the per share value, like for example share buybacks. What Kvaerner did when they cut


dividends and on the same time increased share outstanding, was to decrease the per share value


with double effect. And by getting so much debt they will in the future decrease their instrinct


value. All this is important for way Kvaerner had an enormously decrease in shareholders value


from 16 to 001.


Her is some of Kvaerners key share figures that shows this effect very clearly.


Dividend


00100011817


Dividend per share (NOK)1)00007.00


Market capitalisation, number of shareholders and number of share adjusted for dilution effects


00100011817


Adjusted number of share at 1 December 1)106 6 16106 6 1668 1 6448 74 7848 74 78


Average number of shares1)106 6 168 75 5658 55 68648 74 7848 74 78


Number of shareholders 56018 8817 4018 811 5


Market capitalisation at 1 December (NOK millions)6 66510 1106 16 104


Movement in share price 1)


Amounts in NOK


00100011817


Price of A shares 1 December8.656.515.5114.687.


High6.414.150.41.065.


Low5.76.57.857.8.4


Price of B shares 1 DecemberN/AN/A1.5111.806.


HighN/A1.0140.41.16.4


LowN/A7.0.5.78.


1) Adjusted for dilution effects of subsequent share splits, options granted, bonus issues and stock dividend issues.


) Pay out ratio = (Dividend/Net profit)


) Preliminary


When they started the restructuring and downsizing in 1, I think they did the only reasonable


thing they could do. They tried to pay back debt and make their business profitable again, but it


seemed as this was to late.


When they in the end of 001 merged with Aker Maritime they had a new change to get on the


road again, but I think they were unlucky with the time. The year that followed after September


11th wasnt an easy period to improve the business.


To days idea of selling even more stocks is very short dated, and I really dont see how Aker


Kvaerner will be able to pay back the debt of more than a half billion US$.


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The Secret Sharer

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In Joseph Conrads Secret Sharer the archetypal symbols, created symbols, and his references to the identity of Leggatt support the theory that Leggatt is the Captains ideal self. The archetypal symbols are presented to the reader immediately as the solemn blue waters lay without an animated glitter of an imperceptible ripple. The stillness and silence are deafening as the captains isolation is further enhanced by the preparatory stage of his homeward journey.


Standing on the poop in profound silence, the Captain- a stranger to the ship- finds comfort in the great security of the sea as compared with the unrest of the land. Despite feeling ill set for the novel responsibility of command, he volunteers to stand watch at midnight; an action that made him appear eccentric. The darkness, isolation, and depression are ever present around the gray pajama clad Captain. Wishing to bring in the rope side ladder up from the opaque sea, the Captain, cigar cocked in his mouth, is astounded by the immovableness of the ladder. Looking at the sleeping water under the elusive, silent play of summer lightning he catches sight of a man immersed in a greenish cadaverous glow. The ladder is a created symbol for the Captains journey between sub consciousness and consciousness, while the lightning flashing above suggests his intellectual illumination. With his mouth gaping open, the captains cigar, his only comfort in the isolation, drops into the darkness below with a tiny plop and a short hiss audible in the absolute stillness of all things under heaven. Calm and resolute, the self-possessed man, Leggatt, induced a corresponding state in the Captain. With a mysterious communication already established between the two, the Captain invites his double onboard. Together they moved right aft, barefooted, silent.


After examining his doubles rather regular features, the Captain concludes that he is a well-knit young fellow quite like himself. Shoulder touching shoulder, the double retells his tale of killing a man with his bare hands. The captain, although realizing that there is nothing sickly in his eyes or in his expression, thinks that the second stranger is not a bit like himself despite their obvious physical similarities. The Captain offers to let him sleep in his bed, showing the deep connection the two have. Yet the Captain considers himself calm but doubly vexed. In trying to conceal his other self, the captain sinks into further self- consciousness. His double as noiseless as a ghost wanders his L-shaped room, the other shipmates are unaware of his presence.


In the end, as the doubles prepare to leave each other, the Captain laments the loss of the unsuspected sharer of his cabin, who he considers his second self. The double tries to assure the captain that he has to go and the Captain conveys his sincere assurance into his doubles ear. The two have become one and yet they must part.


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After they decide on their plan of landing on Koh-Ring, the Captain steers the ship to safety after seeing the white hat floating on the black water.


Please note that this sample paper on The Secret Sharer is for your review only. In order to eliminate any of the plagiarism issues, it is highly recommended that you do not use it for you own writing purposes. In case you experience difficulties with writing a well structured and accurately composed paper on The Secret Sharer, we are here to assist you. Your persuasive essay on The Secret Sharer will be written from scratch, so you do not have to worry about its originality.


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Monday, November 16, 2020

Feminism: Now and ThenA Comparative Study on Aristophanes' Lysistrata and Weldon's She-Devil

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Chapter II


ANALYSIS


II. A. Women and the Domestic Life


When talking about women, they are always connected with household matters. It is generally believed that the best place for women is inside the house. This statement is provoked by the fact that women are the one who give birth, nurse the baby, and serve the husband. They are even hardly to get out of the house. Cheap University Papers on Feminism: Now and ThenA Comparative Study on Aristophanes' Lysistrata and Weldon's She-Devil


In Lysistrata, the condition is plainly said by Lysistrata herself, the main character of the play "….You know a womans way is hard- mainly the way out of the house fuss over hubby, wake the maid up, put the baby down, bathe him, feed him…" (170 17). Realising that she has been a dutiful wife in her marriage, she is bothered to know that her husband is rarely at home because he must fight against the Spartans. Annoyed, she invites other women to protest the war, forcing the soldiers to stop it by rejecting the husbands conjugal right and taking over Acropolis, a city to save money for the war.


Lysistratas way to gain (male) public attention is unusual but undoubtedly she has created a way where women can also participate in a field outside the house. In this case, they try to enter the state affair. There is an effort to widen the scope of women territory. Instead of dwelling into daily activities at home, there is an effort to involve in an activity outside the house. Lysistrata also emphasises that Athenian women are not slaves but freeborn ones (170 51). Although finally they return to their previous household responsibility, there is new knowledge that women can decide something important for the country and their men.


In comparison with Lysistrata, The Life and Loves of a She-Devil shows a significant change on women and the domestic life on its core. Having a family appears to be a choice not a compulsory for women. Look on how the character of Mary Fisher lives as a single but are prosperous and admitted by her fans (18 1-). Marriage is not more than a business deal and having children is a choice. They are implied on how Ruth can easily leave her children to plan the revenge and her suggestion to Vickie to sell her children (18 8, 07). Even men are also encouraged to share in child care and household cores although there is still a notion that man should have more power over his woman partner.


With these improvements on man-woman relationship at home, there appears new condition that forces another struggle from the women. The rivalry now shifts to a clash between single women and mothers. Fay Weldon herself stated that the world was not ready to create an environment where a mother is going to have the same opportunities with a single woman (18). A single woman can gain equal position with a man but once she gets married, everything is changed.


To sum up then, Lysistrata does the protest because the husbands are away from home often for a long time. She is not protested of becoming a wife but she is bothered when she has been a good wife but the husband does not even know about it. The Athenian women are directly and sincerely back to their duties right after the war stops. On the contrary, Ruth does not stop her action after Mary Fisher, her rival, dies and Bobbo returns. She continues her life living as a she-devil. She takes after the model of a single and successful woman; it is a choice to live as a mother.


II. B. Women and Their Intelligence


In the discussion of womens intelligence, there is a quotation from Lysistrata said by the Chorus of Women (170 58) "….To commence theres Beauty, Duty, Prudence, Science, Self-reliance, Compliance, Defiance, and Love of Athens in balanced alliance with Common Sense." Indeed, these are the characteristics of the women characters in the play. Those women have the brave to show their intelligence and they are good debaters to the mens arguments. However, does it only appear in the play or could it be real?


The Athenian wives of course were good partners for the husbands at home. Husbands talked about their secret and serious matters, discussed it with the wives at home and no one could change the wives positions at this point (Kitto, 157 1). Their education came from conversation, debate, and the theatre. The woman characters are undeniably clever but the important point is that they dare to expose their cleverness, something that is considered as unfeminine and boyish. This is a proof that there is a feminist movement in the play. Those women are not afraid to show and explore all of their potentials. These women do not believe that they are generally dumber than the men and that they have the right to get freedom of speech.


The same thing happens in Weldons novel. Ruth has the confident that she is able to accomplish her mission by careful, wise, and intricate planning. The ability to arrange this kind planning is believed to be owned exclusively by men. Ruth shows the reader that she can have everything she wants by cultivating her brainpower maximally. On the other hand, Weldon also gives a criticism that not all people like smart girl by ending the story with Ruth having a figure of a woman playing dumb.


A smart woman like Ruth may have a lot of money or fame by continuing her business in Vesta Rose Agency but she prefers to live like Mary Fisher, who writes about lies and rubbish, as she once said before, because Bobbo and many other people love this kind of woman. Professor Mira Komarovsky of Barnard College reported in 16 that 40 percent of undergraduate girls in two campuses preferred to play dumb on the date in order to attract their partners attention or not to receive the label of being unfeminine (Koch 16 7). Ruth as a she-devil chooses not to look smart in front of Bobbo. She knows that Bobbo, like most of other men, wants to dominate the relationship.


Although, some women are more likely to hide their intelligence, the others have tried to sell their ability. Just look on how Vesta Rose Agency is doing well. In this story, an intelligent woman has more access to express their opinion or ideas. There is a possibility that they can gain respect by showing their talent as a workingwoman. Decades ago, the best skill owned by women should concern with household matters. Now, there are many fields to be exploited by women without loosing their feminine side or pride.


Furthermore, Ruths decision to play dumb also explains that women now have choices of what they can do or be. They are not confined to be housewives because they are women. These feminist women can be housewives because they chose to be housewives. Unless they take this traditional role, they may take other "jobs" to do. There is the world out there to explore by women.


In Athens during Lysistratas period, women barely had good access to express their brainpower. A married woman was not allowed to go out without permission. Actually, there were single women who were well educated and got more freedom because they lived alone but they were less respected by the society. These women, usually foreigners, are called hetaerae, and placed somewhere between the ladies and prostitutes (Kitto 157 0). Being housewives is the only thing to do by the women in Lysistrata because they are ladies. Thus, the position of an intelligent woman in The Life and Loves of a She-Devil is more respectable than in Aristophanes era.


II. C. The Social Response toward Feminism


Devoted herself in a domestic life may not bad at all. But if this duty is attached to her because she is forced to do so, then the devotion is unacceptable. In Lysistrata the women are confined in the house because the society, the state, and the husband create such an environment where they are not allowed to participate in the affairs outside the house. Moreover, the women should wear veils directed to remind them of their inferiority (170 57).


Because of the rules set by the society for the Athenian women, the husbands of course are shocked when they acknowledge the women strike of "total abstinence of sex". This is what the husbands think of their wives and the strike


"…And yet, I never thought my wife


was anything more than a home-grown brother.


But now dadblast her,


shes a National Disaster!" (170 6)


This quotation describes how some sets of rules are made all across the country as guidance for woman behaviours. The strike results in a catastrophe for the soldiers, the family, and especially the husband. By putting Akropolis in the womens hands, the soldiers are unable to pay the war costs. The women live in this city, abandoning the children and the daily tasks. Moreover, the husbands are miserable for the absence of their sexual life.


Male supremacy is the grand victory and plainly expressed in the play (170 40). The play shows a male dominant society in which the women have no roles. Matriarchy is an unknown word. Athens is not a country for women. H. D. F. Kitto stated that Athens Assembly was male territory. Women were one of the parties who could not give their voice to the affairs (157 14-15). In the story, Lysistrata argues that women can be valuable if they are allowed to take part in ending the war.


Unfortunately, although the womens demand is fulfilled, they still cannot get the equality. Misogyny has become the credo of the Athenian males and they reject the women to be their friends or partners.


Meanwhile in Weldons novel, the society seems to be divided into two opinions. There are men who can accept women with jobs but the others are not. The difference is that the fields of work have been provided. There are many things that can be done by women outside the house, the question is whether they want to explore it or not.


Angus, Ruths father-in-law, is one of the men who support the idea that it is somewhat important for women to have jobs. When he thinks that Ruth is getting depressed at home, he suggests her to get a job and keep herself busy (18 44).


However, men are likely to keep themselves as dominant parties in a relationship. Take the example of Bobbo. He does not directly say that Ruth or Mary Fisher should stay at home. He lets Mary Fisher write novels but at the same time, he criticises her writing all day long. He does not believe in her ability to sell the novel. He tries to prove that he knows the best and is more than his lady-partner (18 118). He is the kind of man who can make a woman stuck at home. For him, the best capability owned by women should be about household matters and this is the reason why Ruth reads the "Litany of the Good Wife". Unintentionally, male being dominant is still important for him.


Chapter III


CONCLUSION


Both Aristophanes Lysistrata and Fay Weldons The Life and Loves of a She-Devil are stories of womens struggle to diminish their inferiority, known as feminist movement. Each story represents its own era. Traced back from Lysistratas time, the women have undergone some progress to come into Ruths time.


First, having a domestic life is now a choice for women. In the past, women must be housewives because they were women. They gave birth to children so automatically they had to stay at home to nurse the babies. Now, the women may choose whether they want to have families or not. The movement is not only physicall but mental and psychological one.


Second, the change occurs on the position of an intelligent woman and the access to explore her brainpower. In Lysistrata, the women are all look very clever but the mens refusal to the womens logic is a proof that women have little access to show their intelligence in public places. Having an intelligence exposure is considered unfeminine and improper for a lady. In She-Devil, there are more ways that can be used by women to prove their cleverness. There have been many women accepted international acknowledgement for their capabilities.


Third is connected with the societys response to feminist movement. In both stories, male supremacy gets a wider acceptance. However, there is a progress in She-Devil. In this story, there are men who can accept the idea that women are not the second class, that they are not inferior to men.


Bibliography


Aristophanes. 411 B. C. Lysitrata. Trans. Douglass Parker. Canada New American Library, 170.


Brockes, Emma. "Life and Loves." The Guardian. 6th May 00. 0th August 00. http//books.guardian.co.uk/departments/generalfiction/story/0,6000,71588,00.html


Guerin, Wilfred L. et al. A Handbook of Critical Approaches to Literature. 4th ed. New York Oxford University Press, 1.


Jenkins, Tabitha. "On Life and Loves with the Original She Devil." Interview with Fay Weldon. rd February 18. 0th August 00. www.varsity.cam.ac.uk/varsityOnline/Online/Content/Life/Stories/008_meetsFayWeldon.html


Kitto, H. D. F. The Greeks. Great Britain R. & R. Clark Ltd., 157.


Koch, Adrienne. "Two Cheers for Equality." The Voice of American Forum Lectures. San Fransisco The University of California, 16.


Lester, Gideon. "Comedy of War." American Repertory Theatre. 10th May 00. 1st August 00. www.amrep.org/lysistrata/comedy.html


Mannes, Marya. "The Problems of Creative Women." The Voice of America Forum Lectures. San Fransisco The University of California, 16.


Montagu, Ashley. The Natural Superiority of Women. New York The Macmillan Company, 15.


Weldon, Fay. The Life and Loves of a She-Devil. New York Ballantine Books, 18.


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