In: Business and Management

Submitted By mffl0
Words 445
Pages 2
1. According to the Statement of Cash Flows, Chesapeake has a positive cash flow from operations in the amount of $27.8 million in 2009. Moreover, there is a negative cash flow from investing and financing activities in the amounts of -$6.7 million and -$31.1 million, respectively. Chesapeake invested $6.7 million in fixed asset acquisitions. However, Chesapeake still has an overall positive cash flow in the amount of $27.2 million. Although this amount is $10 million lower than the last fiscal year (2008), this should not be too much of a concern at this time because $10 million was used to pay down long-term debt. Overall the main sources of cash was from operations and the main uses of cash were fixed asset acquisition, marketable securities, and paying off long-term debt.

In 2008, Chesapeake (3.67%) went from 2nd to the last among its competitors ranking below the state median and average but above the national median and lower quartile. In 2009, Chesapeake (5.7%) rose to 3rd among its competitors ranking above the national upper quartile and state median. This shows that there is an upward trend in total profit margin and that the MCO has been improving in expense control and performing above the national average. However, among its competitors, Chesapeake can do better.
The total asset turnover has remained the same (2.8) from 2008 to 2009. The ratio is below the national median of 3.1. Thus, Chesapeake may have some difficulty generating revenue from its assets when compared to other managed care companies- poor utilization of assets.
ROA increased from 10.21% in 2008 to 16.27% in 2009. Chesapeake’s ROA is higher than the industry average of 8.99%, meaning it has above return on assets, mainly due to its good expense control. This is good for Chesapeake because it shows that they can generate…...

Similar Documents

New England Area as Compared to the Chesapeake Region

...In the 17th century, the development of the Chesapeake and New England were distinctively different. In the early 1600s, England was faced with population increase and religious hostilities. The increase of the population led to competition to limited resources such as, food, clothing, land for settlement, and religious conflicts. These led the English men to look for newer ways to improve their living standards. Consequently, leaving England was the only remedy to their worries. The immigrants who tried to pursue a better life ended up establishing New England and Chesapeake colonies. However, these two colonies had the distinction between freedom “from” and freedom “for". New England’s colony was largely puritan, religion playing a key role. They believed in God and they looked upon Him for everything they did. Religion was the backbone and source of inspiration for the New Englanders to live in the new world. The colony’s religion was family-based and with extreme piety. This notion shared by the New Englanders is attributed from the feeling that, they had to appease their God since they had escaped from religious persecutions. In contrast, the Chesapeake region was not deeply rooted in religion. Its religious tone was low-church. Therefore, they pursued economic freedom rather than religious freedom. Political freedom in New England was based on pure religion, whereas, the Chesapeake created a society for economic purposes. New England’s......

Words: 299 - Pages: 2

Case 2 Chesapeake Health Plans

...Cheasapeake Health Plans 1. Their uses of cash were primarily used for paying off debt and investing it in marketable securities. Also they spent some of their cash on fixed assets. Even though their ending cash was lower than the previous year, they were using their cash effectively. 2. Chesapeake is doing very well when compared to the national average. Their total margin increased from the year before and compared to the average was almost 3 points higher. Their total asset turnover was lower than the industry average but it did increase from the year before but about a ¼ of a percent below average. However, since their total margin was high, their ROA was higher than national average by almost double. Their equity multiplier was low mainly because they increased their net assets (stockholders equity) by about 21 million dollars. However with all of this, their ROE is an astounding 36.32% which is well above the industry average of 28.41% 3. Financial analysis a. Current ratio i. Good because it is above 1 and the upper quartile. Current ratio of 1.4 means that they can cover their current liabilities 1.4 times b. Days cash on hand ii. Decreased from 2008 because they used their cash to pay off debt and invest in assets, it is below the upper quartile but they still have 29.6 days c. Current Asset turnover iii. For both years it is below the median quartile and its shows its not generating as much revenue......

Words: 750 - Pages: 3

Chesapeake and New England Colonies Comparison

...Chesapeake and New England colonies Comparison During the early 16th century and into the early 17th century, European colonies rapidly colonized the newly found Americas. England in particular sent large groups to the east coast of North America to two separate regions, which would later become known as the Chesapeake and New England areas. The Chesapeake region included Maryland, Virginia, Pennsylvania, and the New Jerseys. The New England region of the colonies included Rhode Island, Plymouth, Massachusetts Bay Colony, New Haven, and Connecticut. Eventually in the late 1700’s these two regions would come together to form one nation. Both regions were very different and did not share many common ideas. They were different in their views and beliefs on religion, economy, and motives for colonial expansion. In 1609 a group of settlers, led by Captain John Smith, founded Jamestown which became the first colony to thrive and prosper in the New World. The main goal of these Chesapeake settlers was to make money by finding gold, silver, or anything else that they could take back to England and make a profit on. Another goal of theirs was to find a northwest passage to Asia. The New Englanders were mostly puritans who first settled in Plymouth and were driven to the New World in hopes of religious freedom. New Englanders wanted to escape religious persecution rather than make money and grow a rich economy. The living situations between the two colonies were extremely......

Words: 713 - Pages: 3

Chesapeake Energy

...Andrew Hayes Advanced Financial Management Fall 2013 Controversy in Corporate Finance: Chesapeake Energy Controversy in corporate finance is nothing new; it has been going on well before the term “corporation” was ever used. The power of money has always been an ongoing factor ever since humans started to use it to obtain goods and services. While, controversy over money is nothing new, controversy in corporate finance is much more complex and complicated, often requiring finance managers, accountants, and sometimes the SEC to sort everything out. Sometimes an executive or executive(s) get fired, sometimes they go to prison and sometimes they are given huge amounts of money to leave the company. Most of the time it seems like the latter of those options. As in the case of Chesapeake Energy, where the co-founder and CEO was given around 47 million dollars in salary, bonuses, perks, and stock options when he stepped down this year as CEO of the company due to controversial spending and declining cash flow revenue for the multi-billion dollar company. The controversy stems from a breach of financial ethics and decision making that is supposed to have the best interest of your shareholders in mind. Chesapeake Energy Corporation (NYSE: CHK) is the second-largest producer of natural gas, the 11th largest producer of oil and natural gas liquids and the most active driller of onshore wells in the U.S. Headquartered in Oklahoma City, the company's operations are......

Words: 1296 - Pages: 6

New England vs , Chesapeake

...actually founded again by puritans full with ambition and energy to make the state. A state threats these puritans also known to be separatist. Rhode island an exception was also founded for the religious reasons. Founded by a brave man roger wiliams having the same will for the freedom of worship. Chesapeake own purpose is of course had a whole different purpose likewise in a more economical perspective. This region by far had very greedy and shallow minded ideals in economics. Jamestown was founded was by the greed for gold itself. Many in a cruel and terrible way went through a starving time. The use of indentured servant was a ideal by using people as slaves or the pre slaves having no use of cooperation but instead deadlines for food. Many of these indentured servants came to America with very slim chance . Now they are in debt for this thus feeds the region with money in a shallow closed minded way. Both colonies had that purpose to gain freedom they want however from an colonial puritan to contrast to a aristocrats view, we see very different more or less the ying and yang. Climate wise there were very distinct differences in development between new England and Chesapeake. Climate I new England is cold and non fertile for plants to grow in any way. few farms could be made since how harsh the enviorment was. Most of the time the humidity of a state like newyork. This led to more uses of self resistance food made from that region for food. Corn , oatmeal......

Words: 757 - Pages: 4

Chesapeake Regional Case Study

...Table 1: Binomial distribution — probability mass function p x n=1 n=2 0 1 0 1 2 0 1 2 3 0 1 2 3 4 0 1 2 3 4 5 0 1 2 3 4 5 6 0 1 2 3 4 5 6 7 0 1 2 3 4 5 6 7 8 0.01 .9900 .0100 .9801 .0198 .0001 .9703 .0294 .0003 .9606 .0388 .0006 0.05 .9500 .0500 .9025 .0950 .0025 .8574 .1354 .0071 .0001 .8145 .1715 .0135 .0005 .7738 .2036 .0214 .0011 0.10 .9000 .1000 .8100 .1800 .0100 .7290 .2430 .0270 .0010 .6561 .2916 .0486 .0036 .0001 .5905 .3281 .0729 .0081 .0005 .5314 .3543 .0984 .0146 .0012 .0001 .4783 .3720 .1240 .0230 .0026 .0002 0.15 .8500 .1500 .7225 .2550 .0225 .6141 .3251 .0574 .0034 .5220 .3685 .0975 .0115 .0005 .4437 .3915 .1382 .0244 .0022 .0001 .3771 .3993 .1762 .0415 .0055 .0004 .3206 .3960 .2097 .0617 .0109 .0012 .0001 .2725 .3847 .2376 .0839 .0185 .0026 .0002 0.20 .8000 .2000 .6400 .3200 .0400 .5120 .3840 .0960 .0080 .4096 .4096 .1536 .0256 .0016 .3277 .4096 .2048 .0512 .0064 .0003 .2621 .3932 .2458 .0819 .0154 .0015 .0001 .2097 .3670 .2753 .1147 .0287 .0043 .0004 .1678 .3355 .2936 .1468 .0459 .0092 .0011 .0001 0.25 .7500 .2500 .5625 .3750 .0625 .4219 .4219 .1406 .0156 .3164 .4219 .2109 .0469 .0039 .2373 .3955 .2637 .0879 .0146 .0010 .1780 .3560 .2966 .1318 .0330 .0044 .0002 .1335 .3115 .3115 .1730 .0577 .0115 .0013 .0001 .1001 .2670 .3115 .2076 .0865 .0231 .0038 .0004 0.30 .7000 .3000 .4900 .4200 .0900 .3430 .4410 .1890 .0270 .2401 .4116 .2646 .0756 .0081 .1681 .3602 .3087 .1323 .0284 .0024 .1176 .3025 .3241 .1852 .0595 .0102 .0007 .0824 .2471 .3177 .2269 .0972 .0250......

Words: 16831 - Pages: 68

Chesapeake Bay

...Great Israeli Rabbis of Iraqi Descent Among the Jewish people there are two major cultures. There are those of Sephardic Descent and those of Ashkenaz descent. Although both cultures are very diverse and have separate communities, they follow the same religious guidelines and rules. However, Sephardic Jewry originated mainly from Spanish and Arab countries while Ashkenazic Jewry originated mainly from European countries and Russia. The most scholarly advanced of the Jews over the last hundred years are those of Iraqi descent which produced prestigious rabbis such as Rabbi Ovadia Yosef, Rabbi Yitzchak Kaduri and Rabbi Mordechai Eliyahu. Many of todays great Iraqi Jewish Rabbis are not just of Iraqi descent but were even born in Baghdad, Iraq. Many Regard Rabbi Ovadia Yosef as the greatest Rabbi of the last one hundred years. Rabbi Ovadia Yosef was born on September 20, 1920 in Baghdad, Iraq. Rabbi Ovadia Yosef attained his incredibly high level of knowledge through vigorous study and a top-notch education starting from a young age. As a teenager Rabbi Ovadia Yosef studied at Porat Yosef Yeshiva, which till today is considered to be the most prominent Sephardic Yeshiva for producing future rabbinic leaders. This prestigious yeshiva is located in the Old City of Jerusalem. It can be compared to a minor league farm system in baseball that produces the top prospects. Rabbi Ovadia Yosef quickly rose to the highest-level lecture taught by Syrian born Rabbi Ezra Attiah. Rav......

Words: 1409 - Pages: 6

New England vs. Chesapeake

...While the majority of people who originally settled in both New England and the Chesapeake region were English, the people who settled in the South came with very different ideals and values compared to those who settled the North, which is the most evident cause for why the two areas quickly became distinctly different. There are three fundamental reasons for the variation of New England and the Chesapeake region. One of these reasons is the differing social structure by which the English immigrated to the colonies, and the way in which that structure was maintained once they settled in America. The other rationale is the development and organization of the government in New England and the Chesapeake region. These two things are both caused by the most important motivating factor for the evolution of two distinct societies in America, Religion. Religion of the settlers coming to America has caused the differences in the two societies, and is the reason why New England and the Chesapeake region developed the way that they did, in a way very different from on another. A major distinguishing factor in the difference between New England and the Chesapeake region is the presence of religion, including its role in daily life and the amount of religious diversity of an area. Because the original settlers in New England were the Pilgrims and the Puritans, religion was immediately an essential part of the lives of New Englanders, and played an important part in the development of......

Words: 308 - Pages: 2

Chesapeake Bay

...Jamiu B Giwa-Otusajo BIOL 205 Lab 3 Dr. Erik Davenport THE CHESAPEAKE BAY ECOSYSTEM 1. The Chesapeake Bay is approximately 200 miles in length and it has a width which ranges from 3.4miles to 35miles. The Chesapeake Bay watershed has so much research done on it in order to figure out strategies to revive it. 2. The Chesapeake Bay Program is a regional partnership that leads and directs protection and restoration of the Chesapeake Bay. Although the Chesapeake program partners have mutual restorative objective, they tend to implement restorative actions based on their resources. Their restorative objective include but not limited to * Reducing Pollution * Restoring Habitats * Managing Fishery * Protecting Watershed * Fostering Stewardship 3. Point source nutrient loading is a form of pollution which can be easily regulated because the nutrients are known to originate from a specific location. However in a non-point source nutrient loading the nutrient’s origin is not easily identified, which makes this kind of nutrient loading difficult to contain. 4. The greatest contributor of nutrient loading in the bay is agricultural run-offs. 5. Eutrophication is the enrichment of the ecosystem with chemical substances such as nitrogen and/or phosphorous. It can also be said to be the ecosystem’s reaction to the introduction of natural and artificial substances into aquatic habitats. An excess amount of nutrient loading......

Words: 699 - Pages: 3

New England, Chesapeake and Pennslyvania Regions

... During the seventeenth and eighteenth century many people emigrated from England settling upon the coast of the new Americas. Throughout many expeditions, colonist have then set their own rules and regulations based on significant dogmas. As people migrated from England to the New World, contrast between the Northern and Chesapeake regions became very prevalent. The founding principles which each of these colonies were founded upon influenced many of the colonies decisions, shaping colonists views by different social, political and economic events. Which led to the cultivation of the tobacco crop, the impact of Puritanism in the Colonial Americas and William Penn. Hundreds of settlers came to the Virginia colony seeking riches. Virginia colonists needed a source of revenue to help in the development of their colony. An Englishmen named John Rolfe booked a voyage to the New World. Rolfe was able to attain seeds of tobacco to bring with him to the colony at Jamestown, where he was planning to begin growing the crop in the English colony. It was with this experiment with tobacco that the first profitable export was developed. Rolfe introduced a new sweeter form of tobacco to the colonies, which is different from the Native American variety planted around Jamestown which he found to be bitter. Virginia’s success grew greatly as Rolfe began exporting more and more tobacco. Tobacco then became the New Worlds first commodity to be internationally traded on the global market. Way...

Words: 875 - Pages: 4

Comparison of the Chesapeake and the New England Colonies

...Although the majority of the North American East Coast was settled primarily by English during the 17th century, the way of life and development politically, economically, and socially greatly differed, depending on where one had settled. The New England and Chesapeake colonies, both primarily comprised of English settlers, contrasted in that of their motivation for settlement, as well their style of governance, allowing for the creation and development of two distinct societies. The New England colonies, mainly composed of Massachusetts, Rhode Island, New Hampshire, and Connecticut, consisted of groups that had essentially settled for religious reasons, mainly the Puritans, and Pilgrims. In the Chesapeake colonies, composed of Virginia and Maryland, reasons for settlement mainly alluded to economic advancements and prosperity. The main dividing factors that caused the difference and distinction between the two societies were not limited to the reason for settlement, but in fact were also heavily by the social makeup of the settlers, which varied based on the motivation of the settlements as well. The New England colonies settlement was fundamentally based on religion. The settlers, possessing strong ties to religion, had left England behind due to conflicting views with the Anglican Church. Puritans led their lives based on strong beliefs, such as predestination, believing God already determined belief that one being saved. As they settled, they believed that God had......

Words: 1058 - Pages: 5

Chesapeake Bay Water Pollution and Restoration Mitigation Plan

...Chesapeake Bay Water Pollution and Restoration Mitigation Plan Emmett J. Nixon Axia College 2009 Chesapeake Bay Water Pollution and Restoration Mitigation Plan Detailed description of the problem:             For over 300 years, the Chesapeake Bay water system has sustained the area’s economy and defined its traditions and culture (Chesapeake Bay Program Preamble, 2000).  As the most biologically diverse estuary in the U.S., over 3600 species of fish, plants and animals make the Bay their home.  Land uses in 1990 in the 166,000 square kilometer watershed are estimated to be 57% forest, 16% cropland, 8% pasture, 18% urban or developed land, and 1% of land in rivers and lakes (Chesapeake Bay Program, Linker, L.C., Shenk, G.W., Dennis, R.L., and Sweeney, J.S. (1999).  Water pollution makes most people think of factories and industries dumping toxic chemicals and other contaminants into the Chesapeake Bay.  In reality, the main pollutants are excess amounts of nitrogen, and phosphorous.  These nutrients enter the Bay from a variety of sources and cause an explosion of algae growth and sediment.  Airborne nitrogen reaches the land through air deposition and chemical contaminants.  An overabundance of suspended sediment from erosion is the main factor for water stress and poor aquatic life in the Chesapeake Bay and its tributaries.  Protection of its natural and man-made infrastructures is essential over the long-term as indicated in the illustration......

Words: 2101 - Pages: 9

Chesapeake Eneregy

...CHESAPEAKE ENERGY CORPORATION BY: GALE C. HOWARD Chesapeake Energy Corporation is headquartered in Oklahoma City, Oklahoma. With field offices spread throughout its vast operating area to include: Oklahoma, Texas, Wyoming, Louisiana, Ohio, and Pennsylvania. Chesapeake Energy is the second largest producer of natural gas and the twelfth largest producer of oil in the United States. Chesapeake Energy employs approximately 4400 employees and owns about 9.5 million net acres of leasehold rights. As with all energy companies, Chesapeake Energy must follow the legal guidelines of several entities. One of the entities being the State Commissions governing oil and gas interests. These control the conservation of oil and gas products as well as mineral interest owner’s rights. Another entity is the Internal Revenue Service which requires strict adherence to their set procedures and accounting of owner’s tax information and payment history. Chesapeake Energy is also subject to various audits of its accounting systems, data concerning its interest calculations, and all investor information. The social environment at Chesapeake Energy is always expanding. Some of the amenities provided to its employees include: a top of the line fitness center, an employee garden, three restaurants on campus, and an outdoor track and field area. All of these amenities allow the employees to interact with each other in a more relaxed social setting. In a more professional setting,......

Words: 820 - Pages: 4

New England vs. Chesapeake Colonies

...The introduction The Chesapeake and New England Colonies: A Comparison Beginning in the 1600s, England colonized the newly discovered Americas. numerous groups came settled in two regions, the Chesapeake and New England. From the beginning, both had very separate motivation and unique identities. These motivations affected the colonies in every way, including economically, socially, and politically. The Chesapeake and New England attracted different types of settlers and, by 1700, the populations differed enormously. Clearly the Chesapeake and the New England regions did differ in numerous ways. These differences included population, religion, and economy. But also the differences were on a wide-scale range involving almost every aspect of the society, they all sprouted from one initial difference between the two: the very reason the colonists came. Life in colonial America was difficult for all, but more so for some than others. While some colonists struggled to scrape by, some managed to live well and be happy. It is very apparent that health, family, and growth helped New England to be more prosperous and a more enjoyable place to live than in its southern neighbor, Chesapeake Bay. History has proven that these factors have a major effect on the quality of life for people, and this instance is no exception. New England New England was north of the Chesapeake, and included Massachusetts Bay Colony, Plymouth, Rhode Island, Connecticut, and New Haven. In Puritan...

Words: 2131 - Pages: 9

Chesapeake Energy Corp

...use of natural gas is the cleanest burning hydrocarbon currently being used as a fuel. With over 49% of households relying on natural gas for everyday heating of their homes it has become just as important as the standard crude oil. With Oil prices taking a rise and fall in the most recent years the move to natural gas has become an important decision for the regular consumer. Even though U.S retail price for all grades of gasoline fell this month to 6.8 cents from the prior week to $3.662 per gallon in accordance to the Energy Information Administration (EIA), it still remains at a high average for the regular consumer (American Petroleum Institute Statistic, 2011). Although the resources for natural gas pumps are not readily available Chesapeake Energy, Inc. plans to break ground and be at the forefront of this venture, and make natural gas an affordable commodity to all levels of income brackets. Components of Retail Regular Gasoline Prices [pic] Sources: U.S. Dept of Energy, U.S. Dept of Labor, and API This memo will recommend and introduce a new project to be considered for implementation into the SBU portfolio. This project will be the combination of an offering of a crude oil and natural gas mixture of fuel; that will be offered to the public sector as another alternative to the use of crude oil alone. In a review we realize that one of the other projects originally planned will either be delayed or......

Words: 1270 - Pages: 6

海贼vs火影 | Chidiyaghar | Complete list of new home theater photos