Professional Documents
Culture Documents
Note: Results have not been adjusted for a divestiture at the end of 2001 and an acquisition at the beginning of 2005.
Harvard Business Publishing
MIDLAND ENERGY RESOURCES Comparable Companies
Table 2
Maturity: Rate:
1-Year 4.54%
10-Year 4.66%
30-Year 4.98%
Petrochemicals 0.40
(weighted-average)
Credit rating D/V Spread D/E EQUITY BETA
Consolidated A+ 42.2% 1.62% 73.0%
Exploration & Production A+ 46.0% 1.60% 85.2% 1.40
Refining & Marketing BBB 31.0% 1.80% 44.9% 1.35
Petrochemicals AA- 40.0% 1.35% 66.7% 0.56
Question4 Re We Rd Tax Wd Rwacc
Exploration & Production 11.99% 0.54 6.58% 0.4 0.46 8.29%
Refining & Marketing 11.75% 0.69 6.78% 0.4 0.31 9.37%
Petrochemicals 7.76% 0.6 6.33% 0.4 0.4 6.18%
MIDLAND 10.50% 0.58 6.56% 0.4 0.42 7.73%